Toshiba to Reorganize Subsidiaries Providing Corporate Staff Services

TOKYO, Japan, Feb. 7 -- Toshiba issued the following news release:

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- To further strengthen internal controls and secure faster decision making

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Toshiba Corporation (TOKYO: 6502) announced that it will unify two companies that are part of its corporate staff function into a single company. The reorganization will become effective on April 1, 2020, when Toshiba Business Expert Corporation (hereinafter "TBEX") and Toshiba Business & Life Service Corporation (hereinafter "TBLS") merge. The new company will operate as Toshiba Business Expert Corporation (hereinafter "the new TBEX").

Under the Toshiba Next Plan policy of reducing subsidiaries so as to secure improved group governance, Toshiba has been reorganizing subsidiaries. With the launch of TBEX on November 2019, Toshiba unified four companies that were part of its corporate staff function.

The current reorganization further advances the goals of the Toshiba Next Plan by unifying and reinforcing the internal control and business operations of two subsidiaries that currently operate autonomously. Unifying communication routes between the new TBEX and Toshiba's headquarters' staff operation is expected to secure faster decision making through smooth communications.

Currently, TBEX provides planning and services in respect of education and training, international staff support, intellectual property licensing and in other areas. TBLS provides services related to welfare services, procurement, photocopying business and other areas.

This reorganization will allow the new TBEX to provide higher quality one-stop services and solutions as a company offering extensive expert staff support. The company will also contribute to the efficiency of its customers' staff operations.

On July 1, Toshiba Insurance Service Corporation, a life and non-life insurance agency, and Toshiba Tourist Corporation, an international and domestic travel agency, will become wholly owned subsidiaries of the new TBEX.

Toshiba Group will continue to strengthen internal control by reorganization of subsidiaries.

Outline of new company

1. Name Toshiba Business Expert Corporation

2. Address 555, Toriyama-Cho, Kohoku-Ku, Yokohama, Japan

3. Name and title of representative Naoto Hasegawa, President & CEO

4. Capital stock 100 million yen

5. No. of employees 1,730

6. Business outline Human resources development and training, support services for human resources,

services in intellectual property, manufacturing engineering and development, welfare services, procurement business, photocopying business, office supplies sales business, construction and greening business and other business support