Morinaga Milk to Launch 4th Phase of "Smiles & Health for Children" School Lunch Support Program in Vietnam Starting July 2026

Morinaga Milk Industry Co., Ltd. launched its proprietary school lunch support program, "Smiles & Health for Children," in May 2023 to contribute to improving the health and nutrition of children in Vietnam. We have now completed the third phase of this initiative. We will continue our efforts and launch the fourth phase of the program in July 2026, in collaboration with the international NGO Plan International.

For the fourth phase, we will continue to focus on Lai Chau Province as the support region, targeting children, teachers, health and cooking staff, parents, and local community residents. Furthermore, for the first time, we plan to implement a "Study Tour" where teachers and parent representatives from schools supported in the third phase will exchange experiences and opinions with teachers and parent representatives from schools scheduled for support in the fourth phase, fostering mutual learning.

We will also continue to monitor and follow up on the health and nutritional status of children, as well as the nutritional and hygiene knowledge and skills of staff, at the seven kindergartens and one elementary school supported in the first, second, and third phases. To date, the program has supported over 900 children, more than 130 teachers and health/cooking staff, and over 800 parents.

Report on the Third Phase Program (July 2025 - June 2026)

In cooperation with Plan International, we completed the construction of child-friendly school lunch spaces and cooking facilities with improved sanitary environments at one kindergarten and one elementary school in Lai Chau Province, and donated them to the Ministry of Education and Training of Vietnam. On May 19, a handover ceremony for the school lunch cooking facilities was held at the supported kindergarten and elementary school, with the participation of program stakeholders, teachers, staff, parents, and children from the supported institutions.

Ribbon-cutting ceremony at the school lunch cooking facility handover ceremony. Children and Morinaga Milk Group employees.

Main Support Details for the Third Phase (July 2025 - June 2026)

In the third phase, we continued the support framework encompassing both hardware and software aspects, expanding the target age group from preschoolers to elementary school children. Additionally, we provided software support, including improving nutritional and hygiene knowledge and skills for teachers, parents, and children, and strengthening knowledge and techniques for measuring children's nutrition and health.

Target: 1 kindergarten, 1 elementary school (Construction of school lunch facilities at 1 kindergarten and 1 school, provision of cooking utensils, water and sanitation facilities, equipment, etc., and awareness-raising activities on nutrition and hygiene for all).

Number of Beneficiaries: Over 450 children, over 70 teachers and health/cooking staff, over 800 parents.

Newly constructed school lunch facilities (interior) Newly constructed school lunch facilities (exterior) Children eating lunch prepared in the newly constructed school lunch facilities.

Overview of the School Lunch Cooking Facility Handover Ceremony

The handover ceremony for the school lunch cooking facilities, held on May 19, was attended by kindergarten and elementary school students, teachers, cooking staff, parents, community representatives, Plan International staff, and 11 members from the Morinaga Milk Group. At the ceremony, Hiroko Yamakawa, Manager of the Global Communication Group, Overseas Planning and Management Department, Overseas Business Division, of our company, expressed gratitude for the successful completion of the third phase handover ceremony. She stated, "We strongly believe that providing nutritious and hygienic meal environments in Vietnam, a crucial country for our business expansion, and contributing to improved well-being will have a positive impact on children's lives and pave the way for a healthier future." She also expressed appreciation for the daily dedication of teachers and staff in improving the environment surrounding the children, and for the cooperation of the Vietnamese local community, residents, and government officials.

Following the ceremony at the elementary school, a commemorative tree was planted on the school grounds. We deepened our interaction with the children through activities like group jump rope and paper balloons, and shared lunch in the newly completed school lunch space and cooking facilities.

Mr. Lo Van Sau from the District People's Committee, who attended, commented, "This project significantly contributes to improving the educational environment. We intend to properly maintain and utilize these facilities in the future to preserve their value long-term," expressing his appreciation and willingness for continued efforts.

Presentation of gifts to children. Morinaga Milk's Yamakawa giving a speech. A traditional Vietnamese hat, "Non La," is presented.

Commemorative tree planting at the elementary school. Interacting with children through group jump rope and paper balloons. Interacting with children through group jump rope and paper balloons.

Launch of the Fourth Phase Program

The fourth phase program, starting in July 2026, will continue to utilize the established hardware and software support framework from previous initiatives. Furthermore, the software support will extend to community residents, promoting improved nutrition and hygiene knowledge and skills, and strengthening knowledge and techniques for measuring children's nutrition and health.

Additionally, for the first time, a "Study Tour" will be implemented, allowing teachers and parent representatives from schools supported in the third phase to exchange experiences and opinions with their counterparts from schools scheduled for support in the fourth phase, fostering mutual learning.

Monitoring and follow-up for the kindergartens supported in the third phase will also continue.

Main Support Details for the Fourth Phase (July 2026 - June 2027)

Project Location: Lai Chau Province, Socialist Republic of Vietnam

Target: 2 kindergartens

Beneficiaries: Approximately 140 preschoolers, approximately 50 teachers and staff, approximately 140 parents, approximately 400 local community residents.

Project Overview:

1. Construction of cooking rooms 2. Provision of cooking room equipment and utensils 3. Training for teachers and staff on nutrition, food hygiene, and child health and development 4. Awareness-raising activities on nutrition, food hygiene, and child health and development for preschoolers, parents, and teachers (kindergarten and nearby elementary school) 5. Holding a "Study Tour" for teachers and parent representatives from schools supported in the third phase to exchange experiences and opinions with teachers and parent representatives from schools supported in the fourth phase, fostering mutual learning.

Current school lunch cooking facilities at a kindergarten. Current school lunch cooking facilities at a kindergarten.

Background of Support

Lai Chau Province, the project site for the third and fourth phases of the "Smiles & Health for Children" program, is a mountainous region near the border with China, located an 8-hour drive from the capital, Hanoi. The poverty rate is high at 24%*, and a significant proportion of children suffer from malnutrition. The project site also faces challenges in the sanitary conditions of school and kindergarten cooking facilities and in knowledge related to nutrition. Therefore, improvements in children's health and nutritional status are needed through both hardware improvements to cooking facilities and software-based nutritional education.

Morinaga Milk Industry's 10-year vision aims to achieve "over 15% overseas sales ratio" by the fiscal year ending March 2029. Vietnam is one of the countries where we have established production and sales bases and are focusing our overseas business efforts. Furthermore, to realize the goal of "contributing to the well-being of all generations through products and services utilizing Morinaga Milk Group's unique ingredients," which is one of the themes of our Sustainability Mid-term Plan 2030, we aim to contribute to health, nutrition, and happy lives.

Since May 2023, we have been implementing the "Smiles & Health for Children" school lunch support program in the Thuan Chau District, Thuan Chau Regional Development Program in Vietnam, to improve children's health and nutritional status. We are continuously working to establish the foundation for providing school lunches in Vietnamese kindergartens and to enhance the knowledge and skills of teachers and health staff regarding nutrition and hygiene.

Starting in July 2025, with the cooperation of Plan International, we will leverage our accumulated expertise, expand the support region from Dien Bien Province to Lai Chau Province, and broaden the target age range from kindergartens to elementary schools, thereby continuing our contributions in Vietnam, a country where we are expanding our business.

*1 Plan International is an internationally recognized NGO accredited by the United Nations, operating in over 80 countries worldwide, working to resolve inequalities affecting children and girls globally. Its Japanese office, Plan International Japan, was established in 1983.

*2 Source: Lai Chau Province Household Survey 2023

Morinaga Milk Group's Involvement in Vietnam

- Export of infant formula began in 2010 through Le May Production, Trading and Service Company Limited (Le May), a local distributor in Vietnam. - In June 2021, to strengthen sales in the Vietnamese market, we acquired Elovi Vietnam Joint Stock Company (Elovi) as a wholly-owned subsidiary. In November 2022, we began local manufacturing and sales of Morinaga Milk brand products. - In 2023, Morinaga Milk established a joint venture with Le May. A share transfer/acquisition agreement and a shareholders' agreement were concluded with the aim of making Morinaga Le May Vietnam Joint Stock Company (Morinaga Le May) a subsidiary. - In March 2024, to foster greater group unity, the company name of Elovi was changed to Morinaga Nutritional Foods Vietnam Joint Stock Company.