ISK announced plans to restructure its inorganic chemicals business

ISK  announced that the Board of Directors approved plans to restructureits inorganic chemicals business, and it will permanently shut down sulfate-basedproduction at its location in Yokkaichi, Japan, as at the end of March 2027

BackgroundUnder our long-term vision, "Vision 2030", starting from 2021, with the slogan"Originality. Acceleration. Global Reach. Transforming Lives Through thePower of Chemistry.", ISK has devoted itself to enhance the value of itsproducts in the society, As part of the plan, iSK has been studying how werestructure its inorganic chemicals business, where we face severecompetitions with Chinese players.As the result, while we continue to fulfillour supply responsibility for chloride-based TiO2 products as a solemanufacturer in Japan, we will dramatically convert our production structuretoward functional materials focusing on materials for electronic components

2Outline of the restructure

ISK will solidify its revenue base by reviewing the product portfolioorganization,sales and R&D strategies, and optimizing the entire businessoperations to accelerate the shift toward highly functional, high-value-addedproducts including new products. To minimize the inconvenience which maybe caused by the cessation of our sulfate-based production, we will continueto operate the plant until the end of March 2027, and we will also study thepossibility to alliance with others

Financial Forecast3As the result of this restructure plan, lSK books the impairment loss of JPy6.7 billion as an extraordinary loss for FY2023 ending at the end of March2024.