On May 9, 2024, House Foods Group Inc., announced in its press release that it had received a shareholder proposal from Longchamp SICAV for its 78th Annual General Meeting of Shareholders. The proposals are as follows, i) Acquisition of Treasury Shares and ii) Amendment to Articles of Incorporation on composition of outside directors. The company has decided to oppose the proposals for the following reasons, i) The 30 billion yen share buyback under the shareholder?s proposal is required to be completed within one year, which may impair the financial resources for growth investment and stagnate the sustainable enhancement of the Company's corporate value over the medium to long term, and as a result, the Company believes that it will not be in the best interest of its shareholders.

The Company believes that it is appropriate to conduct the share buyback not at the time and in the amount stipulated in the Shareholder Proposal, but based on the mid-term plan, taking into consideration the Company's performance, financial condition, stock price level, and other factors in a comprehensive manner, ii) Establishing a provision such as the shareholder's proposal in the Articles of Incorporation would limit discussions on the ideal form of the Board of Directors and the scope of selection of candidates for Directors, and would hinder the composition of the Board of Directors, which should be flexible based on the management strategy at the time.