Board of company auditors is composed of all company auditors.

Board of company auditors performs the following duties;provided, however, that the decision in item (iii) may not preclude company auditors from exercising their authority:

Board of company auditors must appoint full-time company auditors from among the company auditors.

If a board of company auditors requests, company auditors must report the status of the execution of their duties to the board of company auditors at any time.

A board of company auditors meeting is called by any company auditor.

To call a board of company auditors meeting, a company auditor must dispatch the notice thereof to each company auditor no later than one week (or if a shorter period of time is prescribed in the articles of incorporation, that shorter period of time) prior to the day of the board of company auditors meeting.

Notwithstanding the provisions of the preceding paragraph, the board of company auditors meeting may be held without the procedures of calling if the consent of all company auditors is obtained.

The resolution at a board of company auditors meeting is passed by a majority of the company auditors.

With respect to the business of the board of company auditors meeting, minutes must be prepared pursuant to the provisions of Ministry of Justice Order, and if the minutes are prepared in writing, the company auditors present at the meeting must sign or affix the names and seals to it.

With respect to the matters recorded in an electronic or magnetic record if the minutes under the preceding paragraph are prepared in that electronic or magnetic record, an action in lieu of the signing or the affixing of names and seals prescribed by Ministry of Justice Order must be taken.

Company auditors who participate in resolutions at the board of company auditors meeting and do not have their objections recorded in the minutes under paragraph (2) are presumed to have agreed to the resolutions.

A company with board of company auditors must keep the minutes referred to in paragraph (2) of the preceding Article at its head office for the period of ten years from the day of the board of company auditors meeting.

If it is necessary for the purpose of exercising the rights of a shareholder of a company with board of company auditors, the relevant shareholder may, with the permission of the court, make the following requests:

The provisions of the preceding paragraph apply mutatis mutandis to the cases where it is necessary for the purpose of enforcing the liability of officers by a creditor of a company with company auditor and to the cases where it is necessary for the purpose of exercising the rights of a member of the parent company.

If the court finds that the inspection or copying relating to the requests under paragraph (2) (including the case of the mutatis mutandis application under the preceding paragraph; hereinafter the same applies in this paragraph) is likely to cause substantial detriment to relevant company with board of company auditors or its parent company or subsidiary company, the court may not grant the permission under paragraph (2).

If the directors, accounting advisors, company auditors or financial auditors have notified all company auditors of matters that are to be reported to a board of company auditors meeting, it is unnecessary to report relevant matters to a board of company auditors meeting.