Shimizu TO ISSUE SHARES AS PART OF EXECUTIVE COMPENSATION PLAN

TOKYO, Jul 30 (Pulse News Wire) – Shimizu Corporation (1803.NG) announced that its board of directors, held, approved the disposal of treasury shares as part of an executive compensation plan. The company plans to dispose of ordinary shares totaling 97,100 on August 20, 2026, at a price of ¥2,392 per share, resulting in a total value of ¥232.3 million.

The shares will be transferred to Nippon Mitsubishi UFJ Trust and Banking Corporation (Role Compensation BIP Trust Account). This action follows the approval of a mid-term performance-linked equity incentive program at the 124th Ordinary General Meeting of Shareholders on June 26, 2026. The purpose of the program is to enhance executives' commitment to long-term growth and sustainable improvement in enterprise value by aligning their interests with shareholders through stock-based compensation.

The number of shares to be disposed of represents approximately 0.01% of the outstanding shares as of March 31, 2026, which is considered reasonable based on the company's assessment. The disposal price was determined based on the closing price of Shimizu Corporation’s shares on the Tokyo Stock Exchange on July 29, 2026, adjusted upwards to the nearest whole yen, ensuring objectivity and fairness. The Audit Committee confirmed that the adopted price is reasonable and does not constitute favorable treatment.

No additional procedures are required according to the Tokyo Stock Exchange listing regulations due to the low dilution rate of less than 25% and the absence of changes in controlling shareholder status.