Dividends and Shareholder Benefit Program

We offer a special benefit program for shareholders twice a year to the parties listed in the shareholder registry at the date of right allotment.

• Dividend policy
• Dividend status
• Shareholders' benefit program

Dividend policy

Distribution of profit to shareholders is an important management issue. However, in consideration of recent performance, we regrettably decided not to pay dividends in the fiscal year ended March 2019.

Dividend status

Shareholders' benefit program

Leopalace21's benefit program for shareholders is aimed at informing more shareholders of the Leopalace21 Group's products and services and increasing the number of people who own Leopalace21 shares over long periods. The benefit program is available to all persons stated or recorded on Leopalace21's shareholder registry as of September 30 and March 31 of each year who own one unit (consisting of 100 shares) or more of Leopalace21 shares.

Details of the benefit program for shareholders

Free accommodations at Leopalace Resort Guam and a 50 percent discount on accommodations at Leopalace hotels in Japan (100 or more shares)

Shareholders can use one complimentary ticket per night in one hotel room.

During peak seasons, shareholders can use complimentary tickets on limited days only. The tickets do not cover travel expenses, including the cost of airline tickets. The discount applies to accommodation rates. Food, drinks, golfing and other expenses are not included. Please inform us of your intention to use a complimentary ticket when making a reservation for a hotel room and show the ticket at the front desk when checking in. Free accommodation tickets only apply to rooms in Quest Tower after September 1, 2017. ※Tickets are unavailable from December 28 to January 3 for Leopalace Resort Hotel in Guam

Discounts on expenses for occupying rental properties managed by Leopalace21 (300 or more shares)

Leopalace21 offers discounts on the initial costs that shareholders must pay to occupy rental properties under its management.

Shareholders can use complimentary tickets at stores directly managed by Leopalace21 or those operated by its partners. The discount applies to key money, rent on a per diem basis and rent for the following month included in monthly contract expenses or initial lease contract expenses. The discount may not be available depending on monthly contract plans and conditions for the plans. Please confirm the details with the clerk in charge at store. Please enter the required information on the complimentary ticket and give the ticket to the salesperson in charge before applying for occupancy. The use of the ticket will not be accepted after the application for occupancy has been made. Shareholders can use one ticket for each contract for occupying a property.

Discounts on expenses associated with construction work undertaken by Leopalace21 Corporation or Morizou Co., Ltd. (300 or more shares)

Leopalace21 offers discounts on expenses for construction work for the building body undertaken by itself or construction work for custom-built houses ordered through Morizou, its affiliate.

Shareholders can use complimentary tickets for apartment houses, houses for rental and residential use, custom-built houses, commercial facilities, nursing care facilities and more. Discounts do not apply to additional construction work, remodeling work, land acquisition and maintenance and repair work after building completion. Please enter required information on a complimentary ticket and give the ticket to the salesperson in charge prior to the first estimate. Use of the ticket will not be accepted after the submission of the first estimate. Shareholders can use one complimentary ticket for each contract for constructing new buildings.

Number of shares owned and the period of ownership	Free accommodation ticket usable at Leopalace Resort Guam		50 percent discount accommodation ticket usable at Leopalace hotels in Japan
	Fewer than three years	At least three years	Fewer than three years	At least three years
100 to 299 shares	2 tickets	3 tickets	2 tickets	3 tickets
300 to 499 shares	2 tickets	3 tickets	2 tickets	3 tickets
500 to 999 shares	2 tickets	3 tickets	2 tickets	3 tickets
1,000 or more shares	2 tickets	3 tickets	8 tickets	12 tickets

Number of shares owned and the period of ownership	Discount ticket usable for expenses for occupying a rental property managed by Leopalace21 * Discounts stated on the second line		Discount ticket usable for construction work that Leopalace21 performs on buildings proper * Discounts stated on the second line	Discount ticket usable for construction work that Morizou Co., Ltd. performs on buildings proper * Discounts stated on the second line
	Fewer than three years	At least three years	At least one year	At least one year
100 to 299 shares	－	－	－	－
300 to 499 shares	1 tickets 10,000 yen	1 tickets 15,000 yen	1 tickets 100,000 yen	1 tickets 0.3% of the price of contracted construction work
500 to 999 shares	1 tickets 20,000 yen	1 tickets 25,000 yen	1 tickets 200,000 yen	1 tickets 0.5% of the price of contracted construction work
1,000 or more shares	1 tickets 30,000 yen	1 tickets 35,000 yen	1 tickets 300,000 yen	1 tickets 1.0% of the price of contracted construction work

• * Discounts expanded anew, namely, discounts on expenses for occupying rental properties managed by Leopalace21 and discounts on expenses for contracted construction work, apply to shareholders who have owned Leopalace21 shares for at least one year.

• * The shareholders are entitled to use 50% discount coupons for Leopalace hotels in Japan between January 1, 2020 and March 31, 2020 in light of the planned sale of the hotels.  The entitlement is for the shareholders of record as at the end of September, 2019  as the date of right allotment. For the shareholders of record as at the end of March, 2020 and onward, we will not provide as special shareholder benefits the 50% discount coupons for Leopalace hotels in Japan.
  Related information: Notice Concerning Sale of Non-current Assets

• * Shareholders corresponding to shareholders for three years or longer are people who have been stated or recorded in the Leopalace21 shareholder registry as of March 31 (end of the fiscal year) and September 30 (interim point) of each year for at least the past seven consecutive times under the same shareholder number and have owned a prescribed number of Leopalace21 shares at any point during the sustained period of their share ownership. The base date immediately after a change in the shareholder number becomes the starting point for calculation in cases where a shareholder number is changed for reasons including inheritance and removal from the shareholder registry.

Facilities subject to the program

You will be able to use Leopalace Resort in Guam and Leopalace hotels. Leopalace Resort Hotel in Guam manages sports facilities such as golf courses and baseball fields, as well as hotels and condominiums. Leopalace hotels are situated across Japan in 4 locations.

Leopalace Resort in Guam

Leopalace Resort in Guam, which is integrated with the natural beauty of Guam and a variety of leisure facilities, is a tropical paradise you can only dream of. Please enjoy the exquisite atmosphere created by first-class interiors such as furniture and carpets, hand-picked not by a fad but by genuine elegance.

Leopalace hotels

Leopalace hotels offer you comfortable stays. A total of 4 hotels are located in Sapporo, Sendai, Nagoya, and Hakata. We will provide services so our customers may further enjoy their stay.

Overseas

Leopalace Resort Guam

This resort facility accounts for 1% of the land of Guam, with two different accommodation options, as well as a golf course, restaurant, spa, and other activities.

• Leopalace Resort Guam

Domestic

Hotel Leopalace Sapporo

Prime location situated in the heart of Sapporo's downtown

• Hotel Leopalace Sapporo

Hotel Leopalace Sendai

Prime location, just a 5 minute walk from Sendai Station

• Hotel Leopalace Sendai

Hotel Leopalace Nagoya

Urban-style exterior design

• Hotel Leopalace Nagoya

Hotel Leopalace Hakata

A polished and stylish design, just a 3 minute walk from Hakata Station, Chikushi exit

• Hotel Leopalace Hakata

Presentation method

Leopalace21 sends complimentary tickets to its shareholders in the mail together with documents, such as the notices of resolutions at Ordinary General Shareholders' Meetings and interim business reports.

• * Leopalace21 is unable to send complimentary tickets to shareholders whose addresses are located overseas.
  Please ask your securities company about methods for receiving complimentary tickets if you live abroad.

Points to note regarding the use of complimentary tickets

• Leopalace21 does not allow shareholders to use any complimentary ticket in combination with its other discount programs, such as campaigns.
• Leopalace21 does not reissue any complimentary ticket due to conditions such as theft, loss and disappearance.