As the above mentioned improvement support activities, out of about 600 companies, we selected 13 partners with the result ofcompliance level less than 65% in the self-assessment for three years before the Period. We conducted on-site audits for threepartners by third-party auditors. And for the ten other companies, we instructed them in writing to make improvements in theareas where the Nikon CSR Procurement Standards were not satisfied. We demanded that all 13 companies submit action plansfor our approval, and they are taking actions in accordance with such plans.2

We will provide support to those who do not reach the required level of compliance for acertain period to make improvement. We may terminate the transaction in case they are not willing to cooperate.2