various disciplines. I hope employees will grow as “T-shaped talent,” that is, individuals with specialist capabilities and a wealth of know-how outside their specialist domains.To ensure the sustainability of the construction industry as a whole, cooperation is essential across the entire supply chain, including subcontractors, and not limited to companies within the Toyo Construction Group. We will also take concrete steps to enhance engagement with business partners, an approach that will underpin efforts to realize a sustainable construction industry. As an example, to improve payment terms across the entire construction work-related supply chain, we ensure full cash payment to subcontractors, as of April 2024, and are implementing other approaches as well. We hope to contribute to further development of the entire construction industry by reinforcing relationships of trust and cooperation with our business partners and achieving sustainable mutual improvements in corporate value.In July 2029, Toyo Construction will celebrate its 100th anniversary. Sharing the goal of realizing sustainable social infrastructure through technology, all executives and employees will work as a cohesive team to accelerate growth and enhance capital return to meet diverse stakeholder expectations. Be assured that our activities will lead to a bright future for all.mind, incorporating a highly effective, CO2-reducing, energy-saving, next-generation electric propulsion system and adheres to European standards that reduce SOx, NOx, and other greenhouse gases. A green loan was used to finance construction of this vessel. Efforts to boost environmental value extend to the building construction business as well. We actively encourage clients to consider ZEB (Zero Energy Building) and ZEH (Zero Energy House) proposals and embrace plans for highly energy-efficient buildings.Over the past few years, Toyo Construction has been the target of takeover bids by multiple companies. Some proposals were supported by the Board of Directors, some were opposed, and others were approved but never completed. Rough seas in the capital market have buffeted us over the past few years, and I have no doubt that more than a few of our employees worried about the Company’s future. I am convinced that it is management’s responsibility to create an environment where people can work with peace of mind, but at the same time, I tell employees that while they may feel secure, they should not become complacent. M&A activity in Japan has rapidly increased over the past decade. “Guidelines for Corporate Takeovers,” announced by the Ministry of Economy, Trade and Industry in August 2023, marked a pivotal turning point for how Japanese companies handle M&As. As a listed company, we must deal with shareholders appropriately as we strive to achieve corporate growth. We must also work harder to ensure that shareholders properly understand the future we see for ourselves. When a company grows, it creates work, that is, jobs that make employees grow, which in turn protect the household incomes of employees. Growth requires the courage to embrace change head-on. I tell employees, “Don’t be the frog in the well that knows nothing of the great ocean.” I want people to become more and more interested in what is going on in society and what other companies are doing. I want everyone to look at our own industry and beyond, to other industries and the world around us. Opportunities for corporate growth lie “outside.” But what is “outside”? Knowing the answer to that question is the key that opens the door to those opportunities. In addition, being sensitive to change is essential. Employees should delve deep into their own areas of expertise but also be on the lookout for new knowledge and skills in other fields by assuming a broad, high vantage-point perspective across Expectations about employeesImprove value across entire supply chainTo our stakeholders
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