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Concerning Signing of Definitive Agreement on the Transfer of the European Automotive Business

JTEKT Corporation (Headquarters: Kariya-shi, Aichi Prefecture | President & CEO: Yoshihito Kondo, hereinafter referred to as "JTEKT") signed a definitive agreement with LEO III.-VV25-B SAS, which is exclusively advised by DUBAG Investment Advisory GmbH, an investment company headquartered in Munich, Germany for the transfer of our automotive business for European OEM, including all shares of our seven consolidated subsidiaries engaged in the manufacture and sale of automotive components (hereinafter referred to as "Target Companies").

The Transaction is based on the basic agreement announced on February 27, 2026. And it will be completed subject to the approvals of the relevant regulatory authorities.

In our Second Medium-term Management Plan for the period from Fiscal Year 2024 through 2026, JTEKT is planning to strengthen its management and business structure by restructuring its global structure. As for our European business segment, we aim to become profitable by restructuring and consolidating our businesses and improving profitability.

We will pursue our internal reform through optimizing our strategies and business structure according to the market environment in each region and continue proposing solutions to meet demand from customers.

[Outline of Target Companies]

France

(1) Name JTEKT EUROPE S.A.S.
(2) Location Head Office: Irigny, France
Irigny Plant: Irigny, France
Dijon Plant: Chevigny Saint Sauveur, France

France

(1) Name JTEKT COLUMN SYSTEMS FRANCE S.A.S.
(2) Location Valentigney, France

Czech Republic

(1) Name JTEKT CZECH REPUBLIC S.R.O.
(2) Location Pardubice, CZECH REPUBLIC

Morocco

(1) Name JTEKT AUTOMOTIVE MOROCCO S.A.S.
(2) Location Tanger, MOROCCO

BELGIUM

(1) Name JTEKT TORSEN HOLDINGS S.A.
(2) Location Strepy-Bracquegnies, BELGIUM

BELGIUM

(1) Name JTEKT TORSEN EUROPE S.A.
(2) Location Strepy-Bracquegnies, BELGIUM

U.S.A

(1) Name JTEKT TORSEN NORTH AMERICA, INC.
(2) Location Rochester, NY, USA

Refer timely disclosure material

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