Notice Regarding Transition to a Company with Committees Governance Structure

Japan Display Inc. ("JDI") hereby announces that a resolution to transition from a Company with Supervisory Auditors (kansayaku) to a Company with a Committee governance structure (Nomination, Compensation and Audit committees) has been approved at its 18th annual general meeting of shareholders held today.

Based on the resolution of the shareholders meeting, members of the three committees, which are comprised of a majority of outside directors, have been appointed at the Board of Directors meeting held today. Please see a notice titled "Notice Regarding New Board Directors, Executive Officers and Corporate Officers " for the details.

The Board of Directors will focus on determining basic management policies and supervising business execution to maximize long-term corporate value. The Nominating Committee will decide the candidates for directors and the Compensation Committee will establish a compensation system for directors and executive officers to improve management transparency and objectivity. In addition, the Audit Committee will be chaired by an outside director and work with the Audit Department to strengthen JDI's audit functions. Furthermore, under the supervision of a Board of Directors comprised of a majority of outside directors, executive officers will be entrusted with decisions regarding daily business execution in order to accelerate management decision-making and business execution, driving JDI's sustainable growth and further business reforms.

Under the new governance structure, JDI will strive to implement further the remedial measures such as improving and strengthening accounting control, strengthening audits by the Audit Committee and the Internal Audit Department, and improving the whistleblowing system to restore the trust of all stakeholders.