Corporate Information

Corporate Governance

1|Basic Policy on Corporate Governance

We aim to establish good relationships with all stakeholders (shareholders, customers, employees, society and client companies), to differentiate ourselves from other companies and win an overwhelming presence and the trust of customers to enhance our corporate value. We have therefore been making improvements in manufacturing, sales, and customer service in order to enhance our reputation and strengthen the "MUJI (Mujirushi Ryohin)" brand image.

We will demonstrate our reliability by improving our business performance, engaging in proactive IR activities, making fair and transparent disclosures, and increasing returns to shareholders. In our relationships with employees, we will provide a vector for our staff members to make efforts to achieve our company's goals and establish an open and stimulating corporate culture so that employees can realize their full potential. Our organizational management processes ensure constant self-reflection and self-discipline, based on the lessons learned from a spate of corporate scandals seen in recent years.

2|Current status of Corporate Governance System for final decision-making,
and of Managerial Organization for execution of decisions and supervision

Corporate Governance System
(As of Nov 24, 2022)
1.Board of Directors
Currently, taking into account the size of our company, its organizational status and staff mobility, the Board consists of six directors within the company (six directors doubling as executive officers) and three directors outside the company, who were appointed as independent directors in accordance with rules stipulated by the Tokyo Stock Exchange and who report to the TSE. The supervisory functions and managerial responsibility of the Board of Directors are clearly stipulated, and we also promote delegation of authority, including reviews of the board system and decision-making systems as appropriate, in order to accelerate the implementation of processes.
2.Board of Auditors
Our company has adopted an audit system. Currently, the Board of Auditors consists of four members (including one full-time corporate auditor). Two of the four members were appointed as independent directors in accordance with rules stipulated by the Tokyo Stock Exchange and these members report to the TSE. The Board of Auditors audits the directors' execution of their duties by attending Board meetings and checking important documents. In addition, the Board of Auditors regularly liaises with the Internal Audit Office, which conducts internal audits, and with the accounting auditor, who conducts accountancy services.
3.Remuneration Advisory Committee
3.Nominating Advisory Committee
The Remuneration Advisory Committee (consisting of three directors outside the company (including one chairperson) and two directors within the company) advises the Board of Directors on the payment of directors. The Nominating Advisory Committee (consisting of three directors outside the company (including one chairperson) and two directors within the company) advises the Board of Directors on the nomination of directors.
4.Internal Audit Office
The Internal Audit Office, which currently consists of eight members, conducts internal audits. The department audits the status of compliance with internal rules and manuals at stores and headquarters, the appropriateness and effectiveness of overall business activities and procedures, etc. Audit results are regularly reported to the representative directors and the Board of Directors.
5.Accounting Auditor
Financial audits of our company are conducted by a team consisting of two certified public accountants with KPMG AZSA LLC, six assistant certified public accountants, and 18 other members. Thus an environment for fair auditing is established. The team of certified public accountants with KPMG AZSA LLC consists of Ms. Miho Kawabata and Mr. Yosuke Sato.
6.Advisory Board
The Advisory Board, consisting of company executives as well as frontline employees, meets to discuss and make policy on the path MUJI should take based on its founding philosophy and sense of incongruity with society.

3|Board Meetings Attendance

Board Meetings Attendance for FY22 August *horizontal scroll to view full table

Name Current Position Board of
Directors
Board of
Auditors
Remuneration
Advisory
Committee
Nominating
Advisory
Committee
Masaaki
Kanai
Chairman and Representative Director 16 out of 16 - 6 out of 6 9 out of 9
Nobuo
Domae
President and Representative Director 16 out of 16 - 6 out of 6 9 out of 9
Satoru
Matsuzaki
Vice Chairman and Director 16 out of 16 - - -
Satoshi
Shimizu
Managing Director 16 out of 16 - - -
Satoshi
Okazaki
Director 16 out of 16 - - -
Asako
Shimazaki
Director 13 out of 16 - - -
Kei Suzuki Full-time Corporate Auditor 16 out of 16 10 out of 15 - -
Shingo
Kawanokami
Internal Corporate Auditor 16 out of 16 15 out of 15 - -
Isao Endo Outside Director 15 out of 16 - 5 out of 6 8 out of 9
Masayoshi
Yagyu
Outside Director 16 out of 16 - 6 out of 6 8 out of 9
Atsushi
Yoshikawa
Outside Director 16 out of 16 - 6 out of 6 9 out of 9
Masaru
Hattori
Outside Corporate Auditor 16 out of 16 15 out of 15 - -
Sachiko
Ichikawa
* 2 out of 16 5 out of 15 - -
Jun Arai Outside Corporate Auditor 15 out of 16 15 out of 15 - -

* Ms. Ichikawa retired from her post.