At it`s board meeting on April 25,2024 Chuo Spring Co. Ltd. resolved to start discussions with Stumpp Schuele & Somappa Springs (hereafter, SSS Springs) regarding the establishment of joint venture company as followings: The purpose of establishing joint venture company is to strengthen product competitiveness, focus on potential business areas, and achieve significant cost reductions not only Japan domestically but also internationally, within medium to long-term business plan. In order to enhance sales activities in the Indian market and future exports from India, have decided to establish joint venture company with Stumpp Schuele & Somappa Springs Private Limited, which specializes in the manufacturing and sales of automotive suspension springs, precision springs, and industrial springs, in India.

Stumpp Schuele & Somappa Springs Private Limited desires to expand their market in India by utilizing their existing production facilities. Chuo Spring, with its outstanding spring technology, aims to establish the joint venture company and increase profitability through overseas production, expanding sales, and cost reduction through potential sourcing of materials in India. Both companies are currently in discussions to finalize the joint venture project, with the aim of commencing operations in June 2024.

Outline of the joint venture to be established: Company Name - SSS Chuhatsu Precision Springs Private Limited (tentative), Address - Suburbs of Delhi (tentative), Scope of Businesses - Manufacture and sale of precision spring products in India, Investment ratio - Chuo Spring 50%: SSS Springs 50% (tentative,) Date of establishment -Jun. 2024 (schedule). The joint venture company is planning to start with a minimum capital at the time of establishment, thereafter, depending on business expansion, will consider increasing the capital without changing the ratio of capital contribution.

The representative of the joint venture company will be appointed by Chuo Spring after mutual discussion by Chuo Spring and SSS Springs. Overview of Joint Investors: Company Name - Stumpp Schuele & Somappa Springs Private Limited, Address - #4, Bommasandra Industrial Area Bangalore - 560 099, India. Representative - Satish Machani, Description of Businesses -Manufacture and sale of suspension springs and precision springs for automobiles and industrial springs, Year of establishment - 1960, Number of employees - 382.