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Response to TCFD and TNFD recommendations

Committed to the preservation of the global environment as a basis for building a sustainable future, the Japan Post Group is addressing a range of environmental issues, such as reducing GHG emissions, mitigating climate change, achieving a recycling-oriented society, and maintaining and restoring biodiversity.

Recently, abnormal weather due to the impact of climate change, such as rising temperatures and the increasing scale of typhoons, have already been observed, and the effects of these phenomena are expected to become even greater.
While Japan Post Group develops close-knit businesses for local residents through its network of 24,000 post offices across the country, the Group recognizes that climate change is an issue that could have a material impact on its businesses, leading to such possibilities as the disruption of the post office network and the delay of accompanying services.
The Group has adhered to a policy of reducing GHG emissions as one of its initiatives aimed at achieving the SDGs in Japan Post Group Basic Sustainability Policy and has been working to contribute to the creation of a sustainable society through such means as investment in green bonds. In addition, the Group declared its support for the recommendations of the TCFD, which was established by the Financial Stability Board (FSB) in April 2019, and strives for increased information disclosure by deepening analysis of the impact of climate change on the business of each Japan Post Group company based on the TCFD recommendations.
According to Japan Post Group Basic Sustainability Policy, Japan Post Group will continue to strive to undertake business operations adapted to the impact of climate change and will actively promote business and environmental conservation activities with consideration toward reducing our burden on the environment.

The Group has identied the environment as one of its material issues pertaining to sustainability, and recognizes that Group business activities are made possible only through the bene ts of ecosystems. We promote management that considers our relationship with nature and the conservation of biodiversity,and as part of these efforts, we disclose nature-related information.
The Taskforce on Nature-related Financial Disclosures (TNFD) has developed an information disclosure framework to be used by business and other organizations, with the aim of directing global funds toward the restoration of nature, and published it as a set of final recommendations in September 2023.
Within our group, Japan Post Holdings, Japan Post Bank, and Japan Post Insurance participate in the TNFD Forum.

We will continue to enhance our group's disclosure of nature-related information.

Governance	Based on the Japan Post Group Sustainability Basic Policy, we are promoting business operations that are resilient to the impacts of climate change, business activities that help reduce environmental impact, and environmental conservation initiatives. The Japan Post Group has set targets for reducing greenhouse gas emissions to achieve carbon neutrality by 2025 and has positioned climate action as a key part of our management strategy. The Group CEO has ultimate responsibility for climate change and nature-related matters, and the Board of Directors oversees these efforts. The Sustainability Committee, which serves as an advisory body to the Management Meeting, identifies climate change- and nature-related risks and opportunities, discusses response policies, targets, and the progress of initiatives, reports to the Management Meeting and the Board of Directors, and also provides regular reports to the Audit Committee.
Strategy	The Japan Post Group has set a long-term, group-wide target of reducing greenhouse gas emissions to achieve carbon neutrality by 2050. We are also evaluating the risks and opportunities identified through scenario analysis for our principal businesses, along with their financial impacts, from the perspectives of both climate change and biodiversity, and using those findings to formulate our response policies. The Group has identified risks and opportunities that climate change may have on its main business and has conducted a scenario analysis to determine their effects on its business portfolio. Japan Post Holdings and Japan Post conducted a trial analysis in fiscal year 2024 on the dependence on and impacts to nature, risks, and opportunities related to their core businesses, following the LEAP approach. LEAP (locate, evaluate, assess, prepare) refers to TNFD's methodology for identifying corporate Nature-related risks and opportunities, involving a four-phase approach with 16 steps.
Strategy	【TCFD】 In our Medium-term Management Plan, JP Plan 2028, the Japan Post Group set a long-term target of achieving carbon neutrality by 2050. As a milestone toward this goal, we also set a target of reducing greenhouse gas emissions by 46% by FY2030 compared with FY2019 based on a 1.5°C scenario, and we are advancing climate-related initiatives as part of our management strategy. Postal and Domestic Logistics Business and Post Office Business Banking Business Life Insurance Business Real Estate Business International Logistics Business Refer to "Our climate risks and opportunities" (pp.17) in Toll Holdings' Sustainability Report 2024. Going forward, the Group will further examine specific steps it can take in consideration of the identified climate risks and opportunities, and analyze the quantitative effects of those risks and opportunities on the business portfolio.	【TNFD】 <Results of LEAP Analysis of Main Business Area> The following is the summary of results of the LEAP approach applied to the assessment of Japan Post Holdings and Japan Post. Postal and Domestic Logistics Business, Post Office Business, International Logistics Business, and Real Estate Business Going forward, the Group will further examine possible specific steps to take in consideration of the identified nature-related risks and opportunities and move forward with relevant activities.
Risk Management	Japan Post Group determines its material issues relating to sustainability ("material issues") through deliberation by the Sustainability Committee and Japan Post Group Sustainability Liaison Conference, and the approval of the Management Meeting and the Board of Directors. The Sustainability Management Department and other relevant departments cooperate in responding to sustainability-related risks after risks and opportunities are identified and assessed in the examination of material issues, and management methods are discussed. When material issues were examined in FY2022, environmental issues including climate change were selected as one of the more material issue categories. The Sustainability Committee and Japan Post Group Sustainability Liaison Conference deliberated on the identification of major risks presumed for the issues and reported to the Management Meeting and the Board of Directors.
Indicators and Targets	【TCFD】 The strategy under the Group's medium-term management plan includes: the long-term target of achieving carbon neutrality by 2050; the reduction of CO2 emissions by 46% (compared with the FY2019 figure) in FY2030 based on a 1.5°C scenario; and the promotion of overall adequate responses to climate change Japan Post Group GHG Emission Reduction Target TScope 1, Scope 2 and Scope 3 emissions of the Japan Post Group ESG Data	【TNFD】 In line with strategies and risk management processes, the Group will consider introducing indicators and targets to assess and manage material Nature-related risks, opportunities, dependencies, and impacts