Subaru Announces Share Repurchase Plan for Executive Compensation

TOKYO, Jul 10 (Pulse News Wire) – Subaru Corporation (7270.T) announced plans to repurchase shares as part of its executive compensation program. The company will conduct the share repurchase on August 7, 2026, involving ordinary shares worth a total of ¥269.6 million.

The repurchased shares will be distributed among four directors and 24 executives, excluding certain roles such as external directors and audit committee members. Each share will be valued at ¥2,488 per share. The repurchase follows a review of the company's restricted stock award system initiated in 2024, aimed at enhancing long-term value creation incentives for executives and aligning their interests with shareholders.

The plan includes fixed-rate awards based on performance metrics evaluated over fiscal years 2025 and 2026, as well as variable-rate awards tied to financial performance and employee engagement. Subaru also noted that the restricted period for these shares extends until the end of the respective executive’s tenure or until March 31, 2027, depending on the role. During this period, the shares cannot be transferred or used as collateral without approval.

Upon completion of the restricted period, the shares will be freely tradable subject to conditions outlined in the agreement.