Notice Regarding Disciplinary Actions for Executives Related to Voluntary Product Recall of “MANI DIA-BURS”

November 7, 2025

Regarding the "MANI DIA-BURS (Generic name is Dental Diamond Burs)," which the Company manufactures and sells in China, as announced on October 30, 2025, the voluntary recall conducted in March 2025 was largely completed by August 2025. Additionally, the amendment application to correct the product registration information was approved by the Chinese regulatory authorities on October 29, 2025, and sales of the product have resumed.

The Company has taken this situation with utmost seriousness and commissioned an external attorney with no conflict of interest to conduct an investigation, including a review of past events. Based on the results of this investigation and considering that the voluntary recall and the amendment application to correct the product registration information have been concluded, the Board of Directors resolved to return a portion of executive remuneration to clarify supervisory and management responsibilities. We hereby inform you of the following:

Reference: Measures to Prevent Recurrence

To prevent recurrence, our company is united in implementing the following measures.

1. Re-establishment of Product Registration Document Preparation Process

   We will thoroughly organize technical documents, such as product specifications and process standards, and clarify review criteria based on the adopted public standards. To ensure the accuracy of the content, we will strengthen the review procedures and conduct regular monitoring of their application.

2. Strengthening of Pharmaceutical Affairs System

   In May 2025, we established the Quality and Safety Management Headquarters, which oversees pharmaceutical affairs and quality across our entire group, directly under the President. We have also hired experienced management personnel in pharmaceutical affairs and will further reinforce the team by increasing operational staff. This will enable us to strengthen our global pharmaceutical affairs system and operational processes through collaboration among headquarters, overseas subsidiaries, and local sales partners.

3. Human Resource Education and Training

We will continue to enhance internal education and training, reinforce pharmaceutical affairs education and legal compliance, and strive to create a culture that fosters open communication.

We remain committed to thoroughly implementing measures to prevent recurrence and to restore trust. We sincerely ask for your continued understanding and support.