Executive Interviews｜Sustainability｜SINANEN HOLDINGS CO., LTD.

Message from an Outside Director

Hiroyuki OhashiOutside Director

Applying My Management Experience in Diverse Sectors to Advance the Group Structural Reform

The Group's current management challenges include quantifying KPIs and resetting targets, designing appropriate HR evaluation systems, and applying financial discipline in strategic business selection and concentration. Drawing on my experience in corporate management and finance, I will continue working with the management team to drive improvements in these areas. The Group's long-cultivated customer base and sales network are valuable assets that do not appear on the balance sheet, but better leveraging them can improve profitability and operational efficiency. With preparations for structural reform now in place, the next step is to invest in high-return businesses, aiming to improve ROA and ROE. Sustainable growth requires building recurring revenue. By investing with a clear focus on acquisition costs, returns, and future value, the Group can lay a more solid management foundation.

Yuichiro MunakataOutside Director and Audit/Supervisory Committee Member (Full-time)

Promoting Proactive Governance within the Group, Based on Trust and Dialogue

The Group's strengths include reliable petroleum and gas supply capabilities, a wide-reaching customer base and sales network rooted in local communities, and comprehensive building maintenance businesses in the non-energy sector. The key to sustainable growth is for the Group to become an organization that can meet the needs of communities with one-stop services, by integrating energy and non-energy offerings while responding to diverse energy demand and decarbonization needs. To ensure this transformation advances soundly and contributes to long-term corporate value, I aim to provide balanced monitoring and advisory functions, grounded in trust and dialogue with the business execution team, while promoting proactive governance. In this way, I intend to help the Group establish a high-quality, effective governance framework.

Ren ShinoOutside Director and Audit/Supervisory Committee Member

Drawing on My Legal Expertise to Support the Creation of a Change-Driven Organization

Through my experience in corporate law, I have come to understand the importance of risk awareness and responsiveness. As an outside director, my role is to provide advice from a broad perspective -- on risk recognition, scheme reviews, and problem response in new business areas that differ from the predictable petroleum and gas business. The Group's strong trust-based relationships with communities are invaluable, but I believe its sales capabilities have not yet been fully realized. The planned April 2026 integration of four companies is a prime opportunity to concentrate management resources, improve efficiency, and unlock employees' potential. Structural reform represents a turning point toward expanding service businesses around our core energy supply, and I expect it will create new paths to the future. In an era of rapid change, I believe that fostering a mindset where employees think, innovate, and act for themselves will be the true driving force for sustainable growth.

Hiroyuki MitaniOutside Director and Audit/Supervisory Committee Member

Using My Experience at Multinational Companies to Address the Challenge of Corporate Culture

Through my management experience at multinational companies, I have gained a deep understanding of governance, operations, and leadership essentials. As an outside director, my role is to support the building of a new management structure and to provide an external perspective on the direction of the new Sinanen. The Group's strengths lie in the experience it has gained in the energy sector and in its honest and straightforward corporate culture. At the same time, I see room for improvement in terms of bureaucratic tendencies and separation from the front lines, highlighting the need to update behavioral guidelines to encourage more proactive thinking. Business structure reforms are moving forward steadily under the new framework, as the Group breaks away from past constraints. Looking ahead, it will be crucial to persevere in driving fundamental reforms -- especially in the area of corporate culture. Fulfilling the Third Medium-Term Management Plan will require both advancing reforms and earning broader public trust, while deepening discussions about the Group's purpose and how to build a mutually beneficial future with society.

Motoshi MuraokaOutside Director and Audit/Supervisory Committee Member

Focusing on Change While Strengthening the Group's Agility

The Group operates across diverse business areas, from energy products and services to comprehensive building maintenance and sharing services, demonstrating both clear strengths and areas for improvement. While discussions at the Board of Directors tend to focus on administrative functions, including HR, I believe we need to deepen strategic dialogue on core businesses such as energy. While business structure reform is advancing steadily, much of the discussion on growth strategy remains focused on cost-effectiveness. Expanding the scope of these discussions represents an important challenge ahead. Fulfilling the Third Medium-Term Management Plan is important, but it is equally vital to design strategies that bridge short-term and long-term perspectives, mindful of evolving social needs and policy shifts. When it comes to environmental issues, I recognize a need for the Group to keep a close watch on regulatory policy trends while strengthening its business responsiveness.

Yoshishige TakenakaOutside Director and Audit/Supervisory Committee Member

Helping Drive Transformation and Enhancing Corporate Value

Achieving both the financial and non-financial goals set out in the Third Medium-Term Management Plan will require enhancing the Group's profit-generating capabilities while addressing the challenge of decarbonizing society. The return to profitability in the electricity business is a positive step, but it remains essential to continuously assess the effectiveness of risk management measures, and to analyze causes and consider preventive measures as necessary. The planned integration of the four core companies is expected to bring about greater resource concentration, regional business reorganization, and improved quality and responsiveness of services. At the same time, the Group must carefully monitor reform progress and its contribution to performance to ensure that the benefits of integration are realized. Furthermore, the Group should pursue new growth initiatives that incorporate feedback from the front lines, such as advancing cross-selling and upselling using integrated customer data, while adopting AI in a strategic way. Finally, I believe that maintaining a flexible approach to reviewing practices -- including how meetings are conducted -- unbound by past methods, will be essential for enhancing corporate value, going forward.