Receipt of Lawsuit Notice Concerning Shareholders’ Derivative Lawsuit

Chubu Electric Power today received a lawsuit notice that four individual shareholders of the company filed a shareholders’ derivative lawsuit against 14 current and former directors of the company. Details are provided below.

1. Plaintiff

Four individual shareholders of the company

2. Defendant

(1) Four current directors

Satoru Katsuno, Kingo Hayashi, Hitoshi Mizutani, Takayuki Hashimoto

(2) Ten former directors

Akihisa Mizuno, Yoshinori Masuda, Akinori Kataoka, Chiyoji Kurata, Satoshi Onoda, Hiromu Masuda, Taisuke Misawa, Yaoji Ichikawa, Shinya Otani, Naoko Nemoto

3. Outline of the lawsuit

In relation to the Japan Fair Trade Commission (“JFTC”) finding Chubu Electric Power to have committed conduct that violates Article 3 of the Antimonopoly Act which prohibits unreasonable restraint of trade (“the conduct”), the plaintiff demands the 14 defendants jointly pay a total of approximately 37.6 billion yen in damages as well as damages for delayed payment thereof by citing failure to maintain duty of care (e.g., negligence in being involved with or acquiescing in the conduct).

4. Public notice

Chubu Electric Power plans to issue an electronic public notice as follows:
“Pursuant to Article 849, Paragraph 5 of the Companies Act, the company hereby issues a public notice that four individual shareholders of the company have filed a shareholders’ derivative lawsuit for damages with the Nagoya District Court (case no. 4651 [wa], 2023) against 14 current and former directors of the company, and the company received the lawsuit notice on December 26, 2023.”

5. Impact on business

Currently, the business of Chubu Electric Power has not experienced any major impact from the lawsuit.

6. Future response

Chubu Electric Power will consider its response to the lawsuit based on the content of the Lawsuit Notice.