Basic Policy

Chori’s Basic Stance on Corporate Governance

Chori has established systems to ensure appropriate operations with the aim of achieving sound management and sustainable growth. The Company strives to strengthen corporate governance by complying with laws and social norms, conducting operations efficiently and effectively, and ensuring the credibility of its financial reports, while positioning the Board of Directors as a body for conducting strategic decision-making and business oversight.

To further strengthen the transparency and oversight function of the Board of Directors, Chori has an Audit & Supervisory Committee in place, the majority of which consists of outside directors. Directors who are Audit & Supervisory Committee members exercise voting rights at Board of Directors’ meetings. To deepen discussions at Board meetings, the maximum number of directors (excluding those who are members of the Audit & Supervisory Committee) is limited to 10, and the term of office of directors (excluding those who are members of the Audit & Supervisory Committee) and executive officers is set at one year to ensure a results-centered approach. The number of directors who are members of the Audit & Supervisory Committee is limited to five.
The Governance Committee, established as a voluntary advisory body to the Board of Directors, consists of the president, CEO & COO and two outside directors who satisfy the requirements for independent directors as stipulated by the Tokyo Stock Exchange. The majority of the committee’s members are outside directors, and an outside director serves as its chair.

In addition, the Internal Auditing Department carries out business operation audits regarding the legitimacy, appropriateness, and effectiveness of business execution as well as anticipated management risks.

The Company has established internal regulations concerning the management of subsidiaries. The regulations provide a certain level of authority and allow for flexibility while ensuring that business operations are appropriately and efficiently executed.

Basic Policies

We strive to do the following:

  • Ensure the rights and equality of shareholders
  • Engage in appropriate collaboration with stakeholders other than shareholders
  • Ensure appropriate information disclosure and transparency
  • Ensure the Board of Directors fulfills its roles and responsibilities to promote transparent, fair, prompt, and resolute decision-making
  • Engage in constructive dialogues with shareholders
Chori’s Corporate Governance Structure at a Glance
(As of December 26, 2023)
Organizational Structure Company with an Audit and Supervisory Committee
Number of Directors(excluding those who are Audit & Supervisory Committee members) 5 (of whom, 1 is an outside director)
Term of Office of Directors According to the Articles of Incorporation 1 year
Number of Directors Who Are Audit & Supervisory Committee Members 3 (of whom, 2 are outside directors)
Term of Office of Directors Who Are Audit & Supervisory Committee Members According to the Articles of Incorporation 2 years
Number of Independent Officers 3
Executive Officer System Yes
Performance-Linked Remuneration System Yes
Accounting Auditor Deloitte Touche Tohmatsu LLC