Sato-KY Announces Capital Reduction via Cancellation of Restricted Shares Due to Unmet Employee Conditions

Release Date: August 18, 2026 Statement Date: August 17, 2026 Statement Time: 18:19:06 Company Code: 4190 Company Name: Sato-KY Subject: Board Resolution on Capital Reduction via Cancellation of Restricted Shares Applicable Clause: Clause 11 Factual Date: August 17, 2026

Details: 1. Board Resolution Date: 08/17/2026 2. Reason for Capital Reduction: Restricted shares awarded to employees were收回 due to unmet vesting conditions; the company will cancel these shares and reduce capital accordingly. 3. Amount of Capital Reduction: NT$1,830,000 4. Number of Shares to be Eliminated: 183,000 shares 5. Capital Reduction Ratio: 0.30% 6. Paid-in Capital after Reduction: NT$612,666,470 7. Scheduled Shareholders' Meeting Date: Not applicable 8. Expected Number of Listed Common Shares after Reduction: Not applicable 9. Ratio of Listed Common Shares to Total Issued Common Shares after Reduction: Not applicable 10. Measures for Low Liquidity (if post-reduction listed shares <60 million and <25%): Not applicable 11. Capital Reduction Benchmark Date: 08/24/2026 12. Other Disclosures: The capital reduction ratio and post-reduction capital are calculated based on the total issued common shares outstanding as of August 17, 2026, including shares converted from domestic convertible bonds that have not yet completed capital registration changes.