FSE listing criteria and eligibility requirements

FSE examines whether an applicant meets listing criteria and eligibility requirements in the listing review procedures.

Listing Criteria

As of February 13,2015

	Main board	Q-Board
Number of Japanese shareholders at time of listing	300 or more	200 or more
Number of tradable shares at time of listing and Implementation of public offering, etc.	Shares outstanding 2,000 or more units ; and More than 25% of the number of listed shares ; or The day before the listing date , Public offering or secondary distribution of 1,000 units Listing the number of shares of 10% of the public offering or secondary distribution It must be carried out,whichever is greater	(500 or more units of public offering)
Market capitalization at time of listing	¥ 1 billion or more	¥ 300 million or more
Operating history	At least 3 years	At least 1 year
Consolidated net assets at time of listing	¥ 300 million or more	Positive
Consolidated operating income for last 1 year	¥ 50 million or more	N/A
Audit opinion	No material misstatements on securities report for last 2 years Unqualified or qualified opinion on securities report for year before last In principle, unqualified opinion on securities report for last year	No material misstatements on securities report for listing application Qualified opinion on securities report for listing application acceptable, but unqualified opinion on securities report for last year is a particular requirement No material misstatements on securities report mentioned in part b
Restriction on transfer of stocks	It is mandatory for there to be no restriction
Specified book-entry transfer institution	It is the handling of the subject in the transfer business of the specified book-entry transfer institution Or that it is promising to be a handling of the subject

Eligibility requirements

Main boald

As of May 10,2012

Review items
（1）Business continuity and profitability	Appropriateness of business planning Prospect of stable profitability Stable and continuous operation
（2）Soundness of corporate management	Rationality of related party transactions and appropriateness of conditions of transactions Appointment of directors with certain interests Independence from parent company
（3）Effectiveness of corporate governance and internal control	Corporate structure with effective auditing Effective internal control structure Sufficient staffing for maintenance of internal control Organization and operation of accounting section Effective compliance regime Appropriateness of accounting standard from point of view of investors protection
（4）Appropriateness and accuracy of disclosure of corporate affairs	Control of internal information Timely and accurate disclosure Appropriate disclosure of current status of corporate group Effectiveness of disclosure by parent company (as appropriate) Adequate disclosure records as listed company (as appropriate)
（5）Matters that FSE deems necessary in light of public interest and protection of investors	Rights of shareholders Introduction of takeover defense measures Breaking off of any relationships with antisocial forces

Q-Board

As of May 10,2012

Review items
（1）Adequacy of disclosure of corporate affairs and risk information	Effectiveness of management and disclosure of corporate affairs Effectiveness of disclosure of corporate affairs and risk information Effectiveness of disclosure by corporate group Effectiveness of disclosure by parent company Adequate disclosure records as listed company (as appropriate) Appropriateness of accounting standard from point of view of investors protection
（2）Soundness of corporate management	Rationality of related party transactions and appropriateness of conditions of transactions Appointment of directors with certain interests Independence from parent company
（3）Effectiveness of corporate governance and internal control	Corporate structure that allows with effective auditing Effective internal control structure Sufficient staffing for maintenance of internal control Organization and operation of accounting section Effective compliance regime
（4）Matters that the FSE deems necessary in light of public interest and the protection of investors	Shareholders' rights Introduction of takeover defense measures Breaking off of any relationships with antisocial forces