Risk Management

The environment surrounding corporations is changing by the minute, and the related risks are becoming more complicated and diverse. Early detection and promptly taking measures are keys to effectively addressing risks. At SoftBank, we work to mitigate and prevent risks by identifying risks company-wide, building organizational structures to implement preventive measures and executing periodical risk management cycles.

Risk management structure

In order to identify and prevent materialization of risks, we adopt a management system to carry out internal analysis from various angles. Along with each department in the head office conducting reviews including risk reviews when devising various measures and policies, the Risk Management Division, which is an organization independent from business departments, conducts company-wide and comprehensive identification of risks and confirmation of the status of measures taken (conducted twice a year), and reports to the Risk Management Committee. The Risk Management Committee, which includes the President, COO, CFO, etc. as members and in which the Audit & Supervisory Board Members and heads of the relevant departments also participate, determines the level of importance and the risk manager (risk owner) for each risk, gives instructions to take measures, etc. and reports the status to the Board of Directors. The committee also supervises risks that may have a significant impact on the group with a Director experienced in information security (Representative Director, President & CEO Junichi Miyakawa) playing a central role.
The Internal Audit Office conducts an independent audit of the entire risk management system and situation.

For our employees, we ensure company-wide awareness and conduct training (e-learning, etc.) on risks that need to be addressed, and have set up an internal consultation desk and incorporated risk management into competency assessment of employees, including those at the managerial level.

In addition, we establish a reporting system for subsidiaries and affiliated companies, and conduct periodic checks of business-related risks identified by each subsidiary and affiliated company and countermeasure status from the standpoint of risk management for the group overall.

  • Risk management structure
[Notes]
  1. *1
    Risk trend analysis: A technique used by risk managers to predict future events such as accidents and business losses
  2. *2
    KRI: Key risk indicators
  3. *
    The CHRO (Chief Human Resources Officer) and the head of the Internal Audit Office independently report on risk management and audits to the Board of Directors based on their respective responsibilities.
  4. *
    We are working to further improve our risk management system by outside evaluation of risk management through an internal control reporting system as stipulated by the Financial Instruments and Exchange Act and evaluation of internal control by a third-party organization that complies with SSAE18.

Risk management methods

We have established a PDCA cycle by engaging in the management described below over the course of the year. By executing this risk management cycle on a regular basis, we are working to mitigate and prevent risks that are growing more complex and diverse.

Risk management methods
  1. Plan: comprehensively identifying potential risks by carrying out annual risk assessment, and at the Risk Management Committee, determining risks to be addressed and management policies
  2. Do: implementing measures based on the management policies
  3. Check: monitoring the status of the measures by the Risk Management Division, which then reports to the Risk Management Committee
  4. Action: making improvements and taking additional measures

Risk appetite and
stress testing /
sensitivity analysis

We comprehensively manage the entire area of risk management by categorizing individual risks in terms of likelihood of occurrence (probability) and magnitude of potential effect on the company (impact) and clarifying the risk appetite (type and amount of risk) that is acceptable for business planning.

Below are examples of risks to the company and risk appetite.

Risk category Risk appetite
Compliance

Based on the SoftBank Code of Conduct for all executives and employees, we are working to achieve compliance with a strong sense of ethics and responsibility in our daily work, ensuring thorough compliance with no tolerance for risks that violate compliance such as impropriety, discrimination, and harassment.

Compliance

Intellectual Property and Brands

The SoftBank Code of Conduct which all executives, employees, and group company personnel must comply with states that “We recognize the importance of intellectual property rights, and will respect the intellectual property rights of others, and promote the appropriate protection and utilization of our own intellectual property rights.” By respecting the intellectual property of others while working to actively create, protect, and utilize intellectual property, we believe that we mitigate risks and can improve corporate value, which will in turn contribute to the industrial development of society at large.

Protecting Intellectual Property and Brands

In terms of financial risks, we conduct sensitivity analysis to foreign exchange rates and the like, and in terms of non-financial risks, we conduct risk analysis related to water stress at key business sites and the like.

Sensitivity analysis (Audited Consolidated Financial Statements)
Risk analysis related to water stress, etc. (Promotion of a Recycling-oriented Society)

Yearly schedule

Risks are identified, selected, evaluated, and reviewed through risk assessments by each head office department, subsidiary, and affiliated company, and interviews with risk owners.

Specifically, the risk owner considers and implements risk countermeasures based on the risks determined by the Risk Management Committee to have a significant impact on the company and the results of risk reviews. The Risk Management Division monitors the status of measures taken by risk owners and reports the status to the Risk Management Committee. Based on the results, risk owners make further improvements and take additional measures.

In addition, the Risk Management Division regularly reports and inputs to the external (non-executive) directors on the selection of risks and the status of measures taken against them as well as the results of risk reviews and the latest risk-related information, including recent technological trends, and receives advice on risk management from the external (non-executive) directors.

  • Yearly schedule
[Note]
  1. *

Addressing risks
that have significant
impact on the company

We are working to mitigate and prevent risks by selecting those that have a significant impact on our business activities based on the likelihood of occurrence (probability) and the magnitude of potential effect (impact), determining which risks should be prioritized, and implementing countermeasures.

1. Risk related to management strategy

Risk items Typical risk examples Risk reduction measures
a. Changes to economic conditions, regulatory or market environments, and competition with other companies
  • Domestic political conditions
  • Competitors' situations
  • Customer expectations
  • Amendments to laws
  • Economic fluctuations
  • Demographic changes
  • Product/service defects
  • Risk of increased competition in the telecommunications industry due to new entrants from other industries and the rapid spread of services from startups competing with the SoftBank group's services
  • Risk of providing products or services with major defects that cause damage to customers
  • Adopt services, products, and sales methods that suit consumer orientation
  • Thorough quality control during manufacturing and development stages
b. Adapting to technology and business models
  • Technological innovation
Risk of the SoftBank group being unable to respond appropriately or in a timely manner to changes in the market such as the emergence of new technologies or business models Research the newest technology and market trends, conduct verification testing to introduce technically superior services, consider alliances with other companies, etc.
c. Leakage or Inappropriate use of information (including privacy information) and inappropriate use of products and services provided by the SoftBank group
  • Leakage or loss of information due to cyber attacks
  • Inappropriate use of information assets
  • Inappropriate use of products/services
  • Risk of information leakage, loss, etc. due to intentional or negligent actions of the SoftBank group or unauthorized access such as cyber attacks by a third party
  • Risk of losing society's confidence and trust in SoftBank group due to an error arising from inadequate management and utilization of our information assets resulting in social criticism
  • Risk of lowered confidence and trust due to misuse (crimes, etc. such as fraud) of apps or payment services provided by the SoftBank group
  • Limit work areas related to confidential information and establish access control rules; monitor and prevent unauthorized access due to cyber attacks from outside the company; separate and isolate access and networks according to information security levels
  • Establish guidelines and conduct training
  • Periodic monitoring of unauthorized use
d. Destabilization of the international situation
  • Procurement of equipment, facilities, etc.
Risk of delays in transportation of telecommunications business equipment and facilities due to regulations and restrictions imposed on aircraft, ships, and so forth by countries in conflict or other countries involved Monitoring, information gathering, decentralization and diversification of suppliers
e. Stable provision of network services
(a) Telecommunication network failures Risk of being unable to maintain telecommunications service quality due to increased network traffic or an inability to secure necessary frequency bands Bolster the telecommunication network based on predictions of future traffic
(b) Unpredictable circumstances such as natural disasters Risk of a natural disaster, pandemic, etc. preventing normal operation of telecommunication networks or information systems Introduce network redundancy, establish an emergency recovery system, and implement countermeasures for power outages at network centers and base stations
f. Corporate acquisition, business alliances, establishment of joint ventures, organizational restructuring within the group
  • Investment and loans
Risk of investee companies being unable to perform as expected; risk of business partnerships and joint ventures not producing expected results Conduct sufficient due diligence when considering each investment to make investment decisions in accordance with the prescribed approval process
g. Dependence on other companies' management resources
(a) Outsourcing
  • Inappropriate management of information by outsourced companies
  • Risk of outsourced companies being unable to perform work as expected
  • Risk of infringing on customers' human rights as a result of an outsourced company fraudulently acquiring SoftBank group and customer information or using it for other purposes
  • Conduct periodic audits of outsourced companies' work
  • Evaluate and select the supplier in accordance with our purchasing rules
(b) Use of other companies' facilities
  • Other companies' management resources
Risk of becoming unable to continue using communication line facilities owned by other operators Use multiple operators' communication line facilities
(c) Procurement of various equipment
  • Supply disruptions
  • Delivery delays
Risk of supply disruptions, delivery delays, etc. in the procurement of telecommunication equipment, etc. Build networks by procuring equipment from multiple suppliers
h. Use of the SoftBank brand
  • Brand use
Risk that our actions negatively impact the trust or interests of SoftBank Group Corp. and we become unable to use the SoftBank brand Bolster the system for checking prior to using the brand, release materials related to brand use, and conduct training
i. Service interruption or degradation due to related system failure
  • System failures
Risk of becoming unable to continuously provide service for customer-facing systems, the PayPay smartphone payment system, etc. due to human error, equipment/system problems, cyber attack by a third party, hacking, or other unauthorized access Add redundancy to the network and clarify recovery procedures in case of failure or other accidents
j. Training and securing human resources
  • Human resources (hiring, training)
  • Labor management (overwork, etc.)
  • Human rights
  • Diversity
  • Risk of being unable to secure engineers or other human resources necessary for business operation as planned
  • Risk of reducing society's trust and confidence in SoftBank due to being unable to meet social demands for consideration for basic human rights
  • Risk of reducing society's trust and confidence in SoftBank due to being unable to meet social demands for for respecting diversity and demonstrating their full potential
  • Adopt a remuneration system that considers the expertise of human resources with high market value
  • Establish a human rights policy and human rights due diligence process; conduct risk assessments
  • Ensure company-wide awareness of efforts related to diversity; conduct training
k. Climate change
  • Increasing damage from natural disasters
Risk of higher restoration and maintenance costs due to an increase in disaster-affected facilities and worsening of damage Promote redundancy of core networks and secure communications in the event of a disaster, etc.

2. Risk related to laws, regulations,
and compliance

Risk items Typical risk examples Risk reduction measures
a. Laws, regulations, systems, etc.
  • Regulations based on laws
  • Subsidiaries and affiliated companies
  • Risk of violating laws/regulations; risk of new or revised laws/regulations that have adverse effects on operations
  • Risk of damaging society's trust in the company in the event that misconduct, etc. by a subsidiary or an affiliated company cannot be prevented
  • Monitor revisions of laws/regulations; consult with lawyers and other external experts as necessary
  • Bolster reporting systems and communication with each subsidiary and affiliated company; understand subsidiaries and affiliated companies' risks through risk assessments, etc.
b. Lawsuits, etc.
  • Contract disputes
  • Lawsuits
Risk of negatively impacting the SoftBank group's corporate image due to infringing upon the rights of a third party Confirm laws, regulations, systems, and agreement terms on contracts, etc.

3. Risk related to finance and accounting

Risk items Typical risk examples Risk reduction measures
a. Fund procurement
  • Liquidity
  • Credit control
  • Exchange/interest rates
  • Financial markets
Risk of increased fund procurement cost due to rising interest rates, etc. Build a financial base to hold sufficient funds by diversifying means of fund procurement
b. Changes to accounting and tax systems
  • Covenants
  • Tax/accounting
Risk of impact to the SoftBank group's business development, financial condition, and performance due to additional tax burden caused by changes to accounting/tax systems, etc. Consult with external experts such as tax advisors as necessary
c. Impairment loss
  • Impairment loss
Risk of impact to the SoftBank group's business development, financial condition, and performance due to impairment loss Build a system for periodic monitoring

4. Other

Risk items Typical risk examples Risk reduction measures
a. Leadership team
  • Leadership team
Risk of impact to the SoftBank group's business development if unforeseen circumstances affect the leadership team Build an organizational structure that can take over work duties
b. Relationship with the parent company
  • Parent company control or substantial influence over matters to be resolved at a general meeting of shareholders
    • Independence
    • Objectivity
    • Transparency
  • Competition with other companies within the SoftBank group
  • Possibility of the parent company having substantial influence over matters to be resolved at a general meeting of shareholders
  • Competing with other group companies in pursuit of investment opportunities
  • Exercise the option to establish a Special Committee, nominating committee and compensation committee in order to ensure independence
  • Strengthen collaboration with SoftBank Group Corp. and its subsidiaries

Emerging risks

In addition, SoftBank also reviews risks on a periodic basis to identify and manage emerging risks that can potentially have a substantial impact on the business*1. We consider these identified emerging risks from short-term and medium- to long-term standpoints*2 and take measures to address them.
The emerging risks for FY 2023 are as follows.

[Notes]
  1. *1
    Risks that do not currently exist or are not recognized, but may appear or change due to changes in the external environment, etc. and can potentially have a substantial impact on the business that requires changes to business strategy or business models.
  2. *2
    In general, we consider “medium- to long-term” to be a timeframe of three to five years or longer.

Protection and security of
personal information and privacy

Risk definition Risk of losing credibility and trust in SoftBank due to improper use and management of information assets held by the company, including personal information, resulting in infringement on the privacy of customers (including employees of customers) and employees of the company
Typical risk examples
  • Loss of society's trust and confidence in SoftBank due to a failure to appropriately address heightened public interest and awareness surrounding privacy and the protection of personal information.
  • Alienation of customers and loss of society's trust and confidence in SoftBank due to mismanagement or mistaken use of the personal information of customers, etc., causing anxiety or disadvantage to individuals.
  • Sanctions could be imposed by regulatory authorities and our social credibility and trust will be lost if we misuse information assets held and violate laws and regulations.
  • Leakage or loss of information due to intentional or negligent actions on the part of SoftBank, or unauthorized access such as cyberattacks by third parties.
  • Loss of society's trust and confidence in SoftBank due to contractors (including agencies) improperly acquiring company information or using the same beyond the intended purpose.
Impact on business

SoftBank offers customers in Japan and overseas various products and services that leverage cutting-edge technology from telecommunications business to 5G, AI, IoT, RPA, cloud services, and big data, and as such, we possess a large amount of information assets related to telecommunications and other businesses, such as personal information of customers (both individuals and corporations) and information of business partners including communication terminals and base station equipment.

At the same time, there has been in recent years a growing awareness around the world of issues related to managing information, including personal information. Legislation is moving forward, as seen in such examples as the EU's General Data Protection Regulation (GDPR) and China's Personal Information Protection Law as well as discussions on the enactment of federal data privacy laws in the US and movement toward tightening of regulations on personal information protection in Southeast Asian countries. In Japan, revision of the Act on the Protection of Personal Information Protection was followed by revision to the Telecommunications Business Act, and now more than ever before, we are required to engage in information protection that takes the rights and interests of individuals into account and ensure the reliability of telecommunications services, including the handling of user information.

In addition, security risks have become more diverse and sophisticated in recent years, including the increasing sophistication of cyberattacks, the increase in relentless attacks by international hacker groups, attacks targeting remote work environments, and internal fraud, with the environment around our business growing tougher year by year.

Given these circumstances, in the event of any infringement of the rights of customers (including customers' employees) due to inappropriate management or use of information assets (including personal information) held by the company, or failure to respond appropriately to the wants and needs of society, including customers, trust and confidence in the company may be damaged, making it difficult to retain and acquire customers, and causing our ability to compete to potentially suffer.

There is also the possibility of leakage or loss of information due to intentional or negligent actions on the part of our company (including executives and employees as well as contractor personnel involved) or cyberattacks, hacking, computer virus infection, or other unauthorized access by third parties with malicious intent, and a large amount of expense being incurred for repairing security systems.

Countermeasures

Under the leadership of our CDO (Chief Data Officer) and CISO (Chief Information Security Officer), we are working to further strengthen our internal system for managing the information assets (including personal information) held by our company and their security.

For example, to protect personal information and respect privacy, in addition to establishing a Privacy Center that presents our efforts to protect personal information, we have formulated guidelines for handling information assets and conduct training for all executives and employees for thorough management of information assets in business and increased employee awareness. In addition, work related to customer information and other confidential information is limited to designated areas, and at SOC (Security Operations Center) or the like within those areas, we maintain and manage security levels through such measures as stronger detection of internal improprieties using AI.

In addition to the Telecommunications Business Act that must be complied with when developing business, we pay close attention not only to revisions to laws and regulations concerning personal information protection in Japan and other countries, but also to new risks due to technological advances and changes in social concerns and awareness, and take appropriate measures such as reviewing our internal rules at the proper time, providing additional training, and ensuring greater transparency for our customers. Moreover, while carefully monitoring and researching social and technological trends that pose threats, we proactively adopt AI and other cutting-edge technologies to create a sophisticated security environment and further enhance our security monitoring and immediate response systems.

International affairs
(including economic security, etc.)

Risk definition Risk of restrictions on or difficulty continuing SoftBank business due to worsening political, social, military, or cultural relations or rising tension between countries
Typical risk examples
  • Delays/difficulty in procuring base stations, network equipment, purchased products (mobile devices, etc.), or development materials from domestic/international suppliers
  • Increased cyber attacks in retaliation for sanctions on countries in conflict, such as the conflict between Russia and Ukraine.
  • Difficulty in procuring energy (fossil fuel, gas, etc.) due to political factors such as the conflict between Russia and Ukraine; impact of rising procurement costs on revenue
  • Regulations excluding foreign products that pose a threat from core infrastructure (such as base stations)
  • Delays in starting service due to prior inspection of core infrastructure by countries, etc.
  • Tightened legal regulations in each country due to global data governance
Impact on business

SoftBank has offices, subsidiaries and affiliated companies in Europe, America, Asia, and around the world, provides products and services to domestic and international customers, and procures telecommunications equipment, products for our customers, and development materials from a wide range of domestic and international suppliers. We work with many international suppliers in the telecommunications business in particular, creating the potential for substantial business impacts from issues such as confrontation between countries on the international stage, regional conflicts, terrorism, and military action. In addition, our telecommunications business uses large amounts of electricity at base stations, network facilities, data centers, etc. to provide our customers with a high-quality communication environment, and 5G requires more power than 4G. Based on these conditions:

In the short term, there is a possibility of global shipping delays for telecommunications-related equipment due to aviation or marine shipping restrictions imposed by countries in conflict or related countries, shortages of semiconductors for mobile devices, etc. due to logistical delays in affected regions, supply chain disruptions due to delays or suspension of suppliers' business activities caused by cyber attacks in retaliation for sanctions on countries in conflict, etc. These may have a large impact on SoftBank's telecommunications business.

In the medium- to long-term, there is a possibility of costs involved in changing suppliers or equipment for base stations or network equipment as a result of conflict increasing crude oil prices and leading in turn to cost increases for shipping, etc. in the supply chain, or changes in the international political landscape leading to changes to national policy or regulations. There is also a possibility that SoftBank's business development, financial condition, and performance will be impacted in the event that changes in the international political landscape lead to regulations or restrictions on suppliers and combine with global increases in crude oil prices, etc. to result in continued increases in power prices, or in the event that obstacles to energy procurement will lead to difficulty in providing a stable supply of services and products.

Countermeasures

We are monitoring and gathering information on international situations, and laws and regulations in countries where it provides services as well as countries where suppliers are based, as well as consult with external experts as necessary to:
In the short term, we are working on distribution and diversification of suppliers to strengthen the supply chain by distributing risk in case of disruptions.
In the medium- to long-term, we work to reduce risk by continuing to work on research and development for practical use of next-generation batteries, working toward adoption of communications infrastructure with low environmental impact being developed by a subsidiary, and further coordinating with government and industry organizations in order to minimize the impact of rising power prices on our revenue on top of monitoring and gathering information on international developments.

Climate change

Risk definition The adoption of carbon taxes and renewable energy, increased restoration and maintenance costs due to the frequency and severity of natural disasters, and the impact on supply chains due to the loss of biodiversity may lead to a risk of financial losses, and an inadequate response to environmental issues may risk a loss in society's trust and confidence in SoftBank
Typical risk examples
  • Increased power costs due to shift to renewable energy
  • Damage to society's trust and confidence in SoftBank if customers, etc. decide environmental efforts are insufficient
  • Increased tax burden due to adoption of carbon taxes
  • Increased restoration/maintenance costs due to frequency and severity of natural disasters and resulting equipment damage
  • Procurement delays/difficulties for base station equipment, etc. as a result of supply chain disruptions due to natural disasters linked to climate change
  • Revenue impact from difficulty in procuring energy (fossil fuel, gas, etc.) due to climate change and rising procurement costs
Impact on business

SoftBank's telecommunications business uses large amounts of electricity at base stations, network facilities, data centers, etc. to provide our customers with a high-quality communication environment, and 5G requires more power than 4G. As we work toward reducing greenhouse gas emissions:

In the short term, there is a possibility that our business development, financial condition, and performance will be impacted by increased power costs due to the shift to renewable energy. In addition, there is a possibility that business operations will be impacted in the event that the SoftBank group's efforts or disclosures related to climate change are seen as insufficient, or in the event that we are unable to win the understanding of customers, employees, suppliers, investors, communities, nations, government agencies, etc.

In the medium- to long-term, there is a possibility of increased tax burden due to adoption of carbon taxes, etc. as well as a possibility of increased restoration/maintenance costs due to frequency and severity of natural disasters and resulting equipment damage. In the event that energy procurement costs continue to rise as a result of increased demand due to the shift toward renewable energy, there is a possibility that power procurement costs for base stations, data centers, etc. will be affected, impacting our business development, financial condition, and performance.

Countermeasures

In May 2021, we made our “Carbon Neutral 2030” declaration, followed by our “Net Zero” declaration in August 2022 to effectively reduce greenhouse gas emissions across the entire supply chain to zero.
We are contributing to the realization of a decarbonized society by switching to substantially renewable energy and energy-saving initiatives that utilize AI, IoT, and other cutting-edge technologies to achieve net zero in Scope 1 (direct emissions of greenhouse gases by the company) and Scope 2 (indirect emissions from the use of electricity, heat and steam supplied by other companies) by 2030, which is the target year for the SDGs (Sustainable Development Goals), and reduce emissions across the entire supply chain, including Scope 3 greenhouse gases emitted by business partners, to net zero by 2050.

In the short term, we bolster our efforts and promote energy conservation by using renewable energy to reduce CO2 emissions for base station power consumption (which makes up the majority of the electrical power used in our business activities), transitioning to energy-saving equipment, and improving the efficiency of energy use by expanding the use of IoT and AI. We are making progress on reducing greenhouse gas emissions, with approximately 70% of base station power converted to renewable energy by FY 2022. We also offer information about our CO2 reduction efforts to help promote understanding of our efforts.

In the medium- to long-term, we continue to work to promote redundancy in the core network and secure communications during disasters using a moored balloon radio relay system in order to bolster efforts to prevent and mitigate disasters. In addition, as one initiative aimed at achieving carbon neutrality in 2030, we are currently working on the joint development of large-capacity, high specific energy density, and lightweight lithium ion batteries.

Addressing emergency

In a major disaster, personnel from each company will gather and analyze information on the damage in their areas of responsibility. Based on the impact of the damage, an Emergency Response Headquarters will be established and take action to rapidly restore the telecommunications network.

Emergency response headquarters structure

  • Emergency response headquarters structure

Structure based on Disaster Response Agreements

To assist swift restoration efforts in the event of a major disaster or emergency, SoftBank has signed “Disaster Response Agreements” with Japan's Ministry of Defense and the Japan Coast Guard for the purpose of securing communications and mutually cooperating in a wide range of areas.

As communications are a necessary means of assisting life-saving activities following a disaster, SoftBank provides satellite mobile phones, SoftBank mobile phones and other communication equipment to the Ministry of Defense and the Japan Coast Guard. Furthermore, the Ministry and Coast Guard provides SoftBank with logistics assistance and the ability to use their facilities and equipment so SoftBank can better secure communications and conduct restoration activities in affected areas.

SoftBank will continue to work closely with the Ministry of Defense, Coast Guard and other related institutions in disaster preparedness and carry out its responsibilities to society as a communications carrier.

Emergency operational plans

SoftBank Corp. is working to ensure the provision of stable telecommunications services and to ensure the safety of customers in emergency situations such as natural disasters, terrorist attacks or pandemics.

Disaster operational plan

Japan's Disaster Countermeasures Basic Act was established for the purpose of protecting national land as well as citizens' lives, livelihoods and property, and to maintain social order and secure public welfare in the event of a disaster. The Act's disaster management system stipulates the roles and responsibilities of the national government, local governments and designated public corporations.

Under the Act, SoftBank is designated public corporations as set out by the national government, and thus formulate Disaster operational plans. The company has established systems for disaster prevention and preparedness, and in the case of disasters, respond in accordance with their Disaster operational plans while working closely with relevant government organizations and public corporations.

Civil protection
operational plan

The Law concerning the Measures for Protection of the People in Armed Attack Situations etc. (“the Civil Protection Law”) was formulated with the aim of protecting the lives, health and assets of citizens in the event of an armed attack and minimizing the impact of an armed attack on citizens' lives and on the nation's economy. The Civil Protection Law allocates roles to the national government, prefectural and municipal governments, cities, towns and villages, defines the roles of designated public institutions and delineates an organizational framework for protecting civilians.

SoftBank, which is designated public institutions, has developed a Civil protection operational plan based on the Civil Protection Law. In the event of the threat or occurrence of a terrorist attack, the company will coordinate with other relevant institutions in accordance with the Civil protection operational plan.

New flu strains countermeasure
operational plan

In its Guidelines on Measures against New Flu Strains, the Japanese government sets out strengthened measures to counter new strains of influenza for the purpose of protecting citizens' lives and health, and to minimize any potential impact on daily life and the economy. The Guidelines stipulate the roles and responsibilities of designated public companies and a management system for emergencies.

Under the Guidelines, SoftBank, which is designated public corporation as set out by the national government, is formulating Operational Plans in line with the government's action plan. Incorporating systems for before an outbreak occurs and after an outbreak occurs outside Japan, infection countermeasures and other items into the Operational Plans, SoftBank will work closely with relevant government organizations and public corporations to respond to an outbreak.