Directors' Remuneration

Remuneration System Designed to Establish Greater Linkage with Corporate Performance

The remuneration of company officers is comprised of both performance-based and non-performance-based remuneration. Policies for deciding the pay ratios for these are decided by considering the level of responsibilities for improving business performance and increasing medium- to long-term corporate value.
These decisions are made by the Board of Directors after receiving the findings of the Nomination & Remuneration Committee in order to ensure the objectivity of remuneration policy and the systems and operations for distributing remuneration. However, outside directors are only paid fixed remuneration amounts in light of their responsibilities and from the perspective of emphasizing autonomy.
Performance-based remuneration indexes are set for each officer, involving a combination of quantitative indexes such as net profit for the year, and individual qualitative evaluations. These indexes are selected because they can be used to comprehensively determine the level of contribution to short-term and medium- to long-term business performance for the Company, and because they are thought to be evaluation indexes that can be common to all executives and employees, allowing for objective quantitative evaluation. Similar to the policies for deciding pay ratios, amounts of performance-based remuneration are decided by the Board of Directors after receiving the findings of the Nomination & Remuneration Committee.

Remuneration for Directors and Corporate Auditors

Officer Classification

Total remuneration
(millions of yen)

Total remuneration by type (millions of yen)

Number of eligible recipients

Basic salaryPerformance-linked

Directors
(excluding outside corporate directors)

106 76 30 8

Auditors
(excluding outside corporate auditors)

- - - -
Outside corporate directors/auditors 94 94 - 11
  • The above figures include the three directors (of whom two were outside directors) who resigned as of the closing of the 11th General Meeting of Shareholders held on June 22, 2018.
  • Total amount of remuneration includes amounts scheduled to be paid as performance-based remuneration for that business year.
  • The total amounts of remuneration shown above do not include the total officer remuneration of 147 million yen for subsidiaries at which directors also served.
  • The upper limit for total remuneration payments is 300 million yen/year (of which 60 million applies to outside directors), as determined by resolution of the General Meeting of Shareholders (at the General Meeting of Shareholders held June 27, 2008).