Communication with Stakeholders Communication with Stakeholders

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Advantest implements the following types of communication with stakeholders.

Main stakeholders Main communication methods
Shareholders and investors Shareholders' meeting, business report, and interim reports
Financial results and Quarterly / Annual financial securities report
Corporate governance reports
Dissemination of information via the Sustainability report
Holding of briefings for institutional investors and analysts each quarter on the day of publication of earnings announcement
Implementation of regular overseas IR roadshows (at least once a year in each of North America, Europe and Asia), and participation in major IR events in Japan
Individual meetings with domestic and overseas institutional investors
Individual meetings with major domestic and overseas shareholders
Customers CSR questionnaire
User group meetings (VOICE)
Exhibitions (SEMICON, etc.)
Suppliers Suppliers New Year Meeting
Suppliers Reception
QCD Cooperate Forum
Employees Labor‐bargaining

Dialog with Shareholders and Investors

Shareholders' Meeting

Advantest views the ordinary general meeting of shareholders (which constitutes the company's highest decision-making body) as also providing an important opportunity for dialog with all of the company's shareholders. We actively welcome questions from shareholders, and strive to reply to them in a considerate, easy-to-understand manner, endeavoring to help shareholders understand the measures that we implement in order to enhance the company's value.

At Advantest's 76th ordinary general meeting of shareholders held in June 2018, the following proposals were all approved:

  • Proposal 1: Partial amendment to the articles of incorporation
    To further enhance the operational efficiency, we decided to relocate the head office to Chiyoda-ku, Tokyo, where our headquarters is located. Accordingly, we changed the location of the head office stated in Article 3 of the articles of incorporation from Nerima-ku, Tokyo to Chiyoda-ku, Tokyo.

  • Proposal 2: Appointment of six Directors (excluding Directors serving as Audit and Supervisory Committee Members)
    Yoshiaki Yoshida, Osamu Karatsu, Seiichi Yoshikawa, Sae Bum Myung, Hans-Juergen Wagner, and Soichi Tsukakoshi were elected and appointed as Directors who are not serving as Audit and Supervisory Committee Members. Osamu Karatsu and Seiichi Yoshikawa are outside Directors.

  • Proposal 3: Appointment of one Director serving as an Audit and Supervisory Committee Member
    Yasushige Hagio, a Director who is serving as an Audit and Supervisory Committee Member, resigned from his position on the day of the 76th ordinary general meeting of shareholders. Accordingly, Tsuneko Murata, Director, was newly elected and appointed as a Director who is serving as an Audit and Supervisor Committee Member. Tsuneko Murata is an outside Director.

  • Proposal 4: Determination of the amount and details of performance-based stock compensation for Directors (excluding outside Directors and Directors serving as Audit and Supervisory Committee Members)
    Our directors' compensations used to consist of a fixed compensation, performance-based compensation, and stock option. We changed the compensation structure and introduced a performance-based stock compensation system where shares would be issued according to the degree of achievement of the performance goal.

  • Proposal 5: Change of the amount and details of stock option compensation for Directors (excluding outside Directors and Directors serving as Audit and Supervisory Committee Members)
    With regard to the stock options issued to our Directors (excluding outside Directors and Directors serving as Audit and Supervisory Committee Members), we changed the amount of compensation for these Directors, the Directors to whom stock options would be issued, and the commencement date of the period for Directors to exercise their rights.

Six shareholders asked questions and shared opinions about topics that included the relocation of the head office, amendment of the articles of incorporation, and the US-China trade conflict over the course of the one-hour ordinary general meeting of shareholders, all of which received replies from the Chairman. The ordinary general meeting of shareholders was followed by a social event, which combined displays of the company's products and business development plans with Advantest directors providing direct explanations, in an effort to strengthen dialog with participating shareholders.

Shareholders' Meeting

IR activities

Technical briefing for institutional investors and securities analysts held in December 2018

To fulfill the company's duty to demonstrate the company's accountability to our shareholders and investors, and to further increase the level of trust placed in the company, Advantest has formulated the Basic Investor Relations Policy, and is working to foster more intensive communication with shareholders and investors under the direction of our CEO. Under our basic IR policy, Advantest discloses material information appropriately in order to ensure fair disclosure to shareholders and investors both in Japan and overseas. Our IR activities are implemented through designated IR spokespersons, including the CEO, CFO, Executive President and Vice President in Corporate Relations Group, and IR personnel. Moreover, we engage multiple IR spokespersons in conversation or other venues for communication to avoid the disclosure of material non-public information and prevent information gaps during discussions. We also formulated the internal regulations related to the handling of material information for all executives and employees in domestic and overseas group companies to comply with the fair disclosure rules of Japan enacted in April 2018 as well as similar law and regulations in each country, and is providing e-learning to ensure that the importance of fair disclosure is understood by entire company. With regard to our IR activities, we are working to enhance information disclosure on the corporate website and hold a financial information meeting on a quarterly basis, at which senior Advantest managers give presentations. We also hold individual meetings with domestic and overseas institutional investors (with around 420 such meetings being held in fiscal 2018) as well as business and technical briefings, striving to help our shareholders and investors develop a more in-depth understanding of the business environment within which Advantest operates and of the business strategies adopted by the company. The useful suggestions that we receive from shareholders and investors in the course of engaging in communication with them are shared with the board of directors, and are utilized to help Advantest realize sustainable growth and increase its corporate value over the medium and long term.

Dialog with Suppliers

Suppliers New Year Meeting

To help build harmonious relationships with suppliers, Advantest holds a Suppliers New Year Meeting, and QCD Forum with suppliers. Besides providing an opportunity for presenting awards that give recognition to suppliers who have made a particularly valuable contribution to Advantest's business, these events also provide an opportunity for the suppliers to exchange their opinions with Advantest's President and Directors.

Dialog with Employees

As opportunities for the dissemination of the President’s Message and for dialog with employees, Advantest seeks to engage in communication with employees at the monthly Morning Meetings and Meetings of All Employees which are held at each business location, the New Year Greeting event held in January each year, the Spring Labor Talks which are held each year starting in February, the ceremony to mark the company's founding which is held in July each year, the Central Labor Negotiations which are held in September each year, and various social events, etc.