①A stock company may consolidate its shares.

②Whenever a stock company intends to consolidate its shares, it must determine the following matters by a resolution at a shareholders meeting:

③The total number of authorized shares under item (iv) of the preceding paragraph may not exceed the number four times the number of total issued shares on the effective day;provided, however, that this does not apply if the stock company is not a public company.

④The directors must, at the shareholders meeting referred to in paragraph (2), explain the reasons for the need to consolidate the shares.

①No later than two weeks prior to the effective day, the stock company must notify the shareholders (or, for a company with class shares , referring to the class shareholders of the classes of shares under paragraph (2), item (iii) of the preceding Article; hereinafter the same applies in this Subsection) and the registered pledgees of the shares thereof of the matters set forth in each item of that paragraph.

②A public notice may be substituted for the notice under the provisions of the preceding paragraph.

①On the effective day, the shareholders become shareholders of shares in the number obtained by multiplying the number of shares (or, for a company with class shares , shares of the classes provided for in Article 180, paragraph (2), item (iii); hereinafter the same applies in this paragraph) they held on the day immediately preceding that day, by the ratio provided for in paragraph (2), item (i) of that Article.

②A stock company consolidating shares is deemed to have changed the articles of incorporation related to the matters set forth in Article 180, paragraph (2), item (iv) on the effective day in accordance with provisions on those matters.

①A stock company consolidating shares (if share units (in cases of a company with class shares, share units of shares of classes under Article 180, paragraph (2), item (iii); hereinafter the same applies in this paragraph) are stipulated in the articles of incorporation, limited to those generating fractional shares with the number obtained by multiplying the rate under paragraph (2), item (i) of the same Article; hereinafter the same applies in this Subsection) must keep documents detailing the information set forth in the items of the same paragraph and other information prescribed by Ministry of Justice Order, or electronic or magnetic records in which the information has been recorded, at its head office for the period from the earliest of the following days until the day when six months elapse after the effective day:

②Shareholders of stock company consolidating shares may make the following request to the stock company at any time during its business hours;provided, however, that the cost specified by the stock company must be paid for making a request set forth in items (ii) or (iv):

If the consolidation of shares violates laws and regulations or the articles of incorporation, when shareholders are likely to suffer disadvantage, shareholders may demand to cease the consolidation of shares from the stock company.

①If fractional shares are included in the number of shares when a stock company consolidates shares, dissenting shareholders may demand that the stock company purchase, at a fair price, all of the fractional shares from among shares that they hold.

②"dissenting shareholders" prescribed in the preceding paragraph means the following shareholders:

③When applying the provisions of Article 181, paragraph (1) to the notice to shareholders if a stock company consolidates shares, the term "two weeks" in the same paragraph is deemed to be replaced with "twenty days".

④To make a demand under the provisions of paragraph (1) (hereinafter in this Section referred to as the "exercise of appraisal rights"), a dissenting shareholder must indicate the number of shares with regard to which the shareholder is exercising appraisal rights (or, for a company with class shares, the classes of the shares and the number of shares for each class), between twenty days prior to the effective day and the day immediately preceding the effective day.

⑤When intending to exercise appraisal rights for shares for which share certificates have been issued, shareholders of those shares must submit to the stock company the share certificates representing those shares;provided, however, that this does not apply to a person who made a request under the provisions of Article 223 with respect to the shares.

⑥Shareholders exercising appraisal rights may withdraw their demands for appraisal only with the approval of the stock company.

⑦The provisions of Article 133 do not apply to shares that are subject of the exercise of appraisal rights.

①If a shareholder exercises appraisal rights and an agreement determining the price of the shares is reached between the shareholder and the stock company, the stock company must pay that price within sixty days from the effective day.

②If no agreement deciding the price of shares is reached within thirty days from the effective day, the shareholders or the stock company may file a petition for the court to determine the price within thirty days after the expiration of that period.

③Notwithstanding the provisions of paragraph (6) of the preceding Article, in the cases provided for in the preceding paragraph, if the petition under the same paragraph is not made within sixty days after the effective day, shareholders exercising appraisal rights may withdraw their demands for appraisal at any time after the expiration of that period.

④The stock company must also pay interest on the price determined by the court at the statutory interest rate from and including the day of the expiration of the period referred to in paragraph (1).

⑤The stock company may pay to shareholders the amount the stock company considers as a fair price until the determination of the price of shares.

⑥A share purchase connected with the exercise of appraisal rights becomes effective on the effective day.

⑦If a shareholder exercises appraisal rights with respect to shares for which share certificates are issued, the share certificate-issuing company must pay the price of the shares relating to the exercise of the appraisal rights in exchange for the share certificates.

①A stock company having consolidated shares must prepare a document or an electronic or magnetic record in which it details or records the total number of issued shares at the time when consolidation of shares comes into effect (in cases of a company with class shares, total number of the issued shares of class under Article 180, paragraph (2), item (iii)) and other information prescribed by Ministry of Justice Order as related to the consolidation of shares after the effective day without delay.

②A stock company must keep the document or electronic or magnetic record referred to in the preceding paragraph at its head office for six months from the effective day.

③Shareholders of a stock company that consolidated shares or persons who were shareholders of the stock company on the effective day may make the following requests from the stock company at any time during its business hours;provided, however, that the cost specified by the stock company must be paid for making a request set forth in items (ii) or (iv):

①A stock company may split its shares.

②Whenever a stock company intends to split its shares, it must prescribe the following matters by a resolution at a shareholders meeting (or at a board of directors meeting for a company with board of directors):

①Shareholders that have been entered or recorded in the shareholder register on the record date (or, for a company with class shares, class shareholders of the classes provided for in paragraph (2), item (iii) of the preceding Article that have been entered or recorded in the shareholder register on the record date) acquire, on the day provided for in item (ii) of that paragraph, shares in the number obtained by multiplying the number of shares (or, for a company with class shares, shares of the classes provided for in item (iii) of that paragraph; hereinafter the same applies in this paragraph) they hold on the record date, by the ratio provided for in paragraph (2), item (i) of that Article.

②Notwithstanding the provisions of Article 466, a stock company (excluding a stock company that in fact issues two or more classes of shares) may, without a resolution at a shareholders meeting, effect an amendment to the articles of incorporation that is intended to increase the total number of authorized shares on the day provided for in paragraph (2), item (ii) of the preceding Article to the extent of the number obtained by multiplying the total number of authorized shares as of the day immediately preceding that day, by the ratio provided for in item (i) of that paragraph.

A stock company may allot the shares of that stock company to shareholders (or, for a company with class shares, shareholders of certain classes) without requiring them to make additional contribution (hereinafter in this Subsection referred to as "allotment of shares without contribution").

①Whenever a stock company intends to effect the allotment of shares without contribution, it must prescribe the following matters:

②The provisions regarding the matters set forth in item (i) of the preceding paragraph must stipulate that the shares under item (i) of that paragraph will be allotted in proportion to the number of shares (or, for a company with class shares, shares of the classes under item (iii) of that paragraph) held by shareholders (or, for a company with class shares, class shareholders of shares of the classes under item (iii) of that paragraph) other than that stock company.

③The determination of the matters set forth in each item of paragraph (1) must be made by a resolution at a shareholders meeting (or of a board of directors meeting for a company with board of directors);provided, however, that this does not apply if it is otherwise provided in the articles of incorporation.

①Shareholders to whom the shares under paragraph (1), item (i) of the preceding Article have been allotted become shareholders of the shares provided for in item (i) of that paragraph on the day provided for in item (ii) of that paragraph.

②Without delay after the day provided for in item (ii) of that paragraph, a stock company must notify shareholders (or, for a company with class shares, class shareholders of the classes under item (iii) of that paragraph) and the registered pledgees of the shares thereof of the number of the shares (or, for a company with class shares, the classes of the shares and the number of shares for each class) that have been allotted to the shareholders.