Kaga Electronics Co.,Ltd. announces that, at a Board of Directors meeting held on May 27, 2021, a resolution was passed to establish a Nomination and Compensation Committee as a voluntary advisory body to the Board of Directors, details of which are as follows. Purpose of establishment: The Nomination and Compensation Committee, a voluntary committee, will be established for the purpose of strengthening the supervisory function of the Board of Directors and enhancing the corporate governance systems by ensuring transparency and objectivity of evaluation and decision-making processes relating to nomination, compensation, etc. of directors and auditors. Role of the Nomination and Compensation Committee: In response to inquiries from the Board of Directors, the Committee deliberates and reports to the Board of Directors on matters related to the appointment and dismissal of directors and auditors, appointment and dismissal of directors with titles, compensation of directors and auditors, and other important management issues that the Board of Directors deem to be necessary. Structure of the Nomination and Compensation Committee: The Committee shall comprise three (3) or more directors appointed by the Board of Directors, a majority of whom shall be independent outside directors. The Committee’s chairperson shall be appointed from among the Committee members who are independent outside directors. Date of Establishment is June 29, 2021.