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Material Issues Relating to Sustainability

Based on the deliberation of the impact on the corporate value of the Japan Post Group and the importance for and expectations from the stakeholders, the important topics and related topics were summarized in six areas, as material issues relating to sustainability, and the direction to be taken by the initiatives were considered.

The material issues were determined through the following process upon discussions by the Sustainability Committee, the Management Meeting, and the Board of Directors.

: Topics were identi ed by referring to the Sustainable Development Goals (SDGs), ISO 26000, Global Reporting Initiative (GRI) standards, etc., grouped, and extracted as the "Sustainability Topic List."
: Questionnaires on the topics extracted in Step 1 were carried out on the executive of cers, employees, customers, and business partners of the Company, while at the same time assessments were made from the two perspectives of "the impact on corporate value" and "the importance for and expectations from the stakeholders," referring to such factors as the opinions of institutional investors, etc., the relationship with key industry-speci c topics based on the Sustainability Accounting Standards Board (SASB) standards, matters that are expected of the post of ces by the nation's municipalities, the opinions of experts of the region, and the results of dialogue with sustainability experts, and the particularly important topics were determined.
: After grouping the particularly important topics and their closely related topics, their consistency with the Management Philosophy and Medium-Term Management Plan was veri ed and sorted into six areas, and the direction to be taken by each initiative was clarified.

Material issues	Direction of the initiatives	Corresponding SDGs issue
Local communities and economies	Provide solutions corresponding to regional issues through the utilization of the Japan Post Holdings network
Responding to the aging society	Giving lifelong support in an era of the 100-year lifespan by providing services that support the aging society
Access to services	Contribute to an enriched life by providing user-friendly services that align with the various needs of the people
Environment	Lessen the environmental load of business operations and contribute to a low-environmental load society
Human resources and human capital	A workplace where employees can work with "pride and fulfillment"
Management base	Establish a management base that is trusted by our customers and contributes to resolving social issues

The specific initiatives for dealing with the risks and opportunities associated with the material issues relating to sustainability are confirmed and their progress is managed by the Sustainability Committee and the Japan Post Group Sustainability Liaison Conference. The following initiatives are carried out for the material issues in each of the six areas.

Material issues	Specific initiatives	Indicators
Local communities and economies	Promote collaboration and cooperation with companies and local governments, ncluding railway companies and regional banks Participate in regional vitalization funds	Number of initiatives per measure, etc.
Responding to the aging society	Improve Watch Over Service and End-of-life Planning Services Support the customers' asset formation through proactive proposals including proposals for Tsumitate NISA	Number of users of each service (the number of active accounts for Tsumitate NISA), etc.
Access to services	Provide the various services of the Group at post offices across the nation Provide basic protection and services to people of all generations Improve digital services and provide services that combine the network of post offices and digital contact points upport communications with foreign nationals and persons with disabilities at the counters	For new initiatives, the actual accessibility of each service, etc.
Environment	Reduce GHG emissions in business activities (expand the fleet of EVs, use LED lighting at post offices, and proactively switch to electricity sourced from renewable energy) Go paperless and expand the use of FSC® certified paper, for example, in postcards Deploy measures to promote regional carbon neutrality by utilizing the Group's resources Expand theme-specific investments such as investments for the purpose of addressing climate change and promote the decarbonization of the investment/loan portfolio	Volume of resources used, etc., relating to each environmental load Status of initiatives implemented and investment amounts to contribute to the achievement of a low-environmental load society ESG targets have been set in JP Vision 2025 for the reduction of GHG emissions.
Human resources and human capital	See the Human Resource Strategy section (on pages 68 to 75) of the Annual Report 2023
Management base	Improve the compliance framework Expand the internal reporting system Grasp events of misconduct Ensure cybersecurity readiness Address the risk of information leaks Develop a system of data governance	The status of usage, etc., for newly adopted systems