JNFL has made the decision that in order to accomplish the aim of elevating management integrity and transparency to the next higher level, as well as to expediting and improving efficiency of business administration, we shall carry out restructuring of the business administration.

With this restructuring, the number of directors serving the JNFL Board will be downsized, and so as to improve supervisory functions and decision making functions of the Board of Directors, we shall newly adopt an executive officer system whereby each officer in charge of particular specified duties will be able to afford his/her undivided attention to matters at hand. With these changes, the directors who endeavor to tackle management will assume the responsibilities as executive officer in charge of issues that fall within the clearly defined perimeters of the post.

1. Reform of the Board of Directors

• The number of full-time directors shall be reduced from the current 24 members to 15 members, and in addition to efforts to revitalize the Board of Directors, the decision-making process will also be speeded up.

2. Adoption of Executive Officer System

• Under the director apportionment structure, "Executive Officers" shall be appointed by the Board of Directors to take responsibility for execution of duties falling within a fixed sphere.
• Executive Officers shall be appointed from among the Business Divisions and Principle Positions within the Head Office, giving consideration to the importance of the position from the perspective of administration (term of assignment, one year).

The new management organaization effective as of June 29.