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Risk of the business and others

About Business Environment, etc.

The business strategy and business results, etc. of the Company Group may be influenced by a change in demographic and population structure, change in disease structure, innovation in medical technology, trends of various regulations by the government, etc.

About Risk relating to Total Pack Produce Business (TPP)

1.About Trends in facility demand of medical facilities, etc.
2.About Recruitment and development of personnel relating to consulting, etc.
3.About Cooperation with outside associate companies, etc.
4.About Efforts for large-scale projects
5.About Legal regulations
6.About Construction of medical facilities and etc.
7.About The Company’s own products
8.About Intellectual property
9.About Computer viruses, etc.
10.About Control of personal information, such as electronic medical records

About Risk relating to Medical Supply Business (MSP)

About Influence etc. from drug price cut of diagnosis materials and medical consumables

Price cut etc. of the special treatment materials may influence the business results of the Company.

About Focus on out-of hospital SPD form

If another company receives order of out-of hospital SPD business, it put constraints on transactions of the SHIP Healthcare group with medical institutes. Further, in the future, if other company obtains orders from medical institutions, etc. by way of provision of a more excellent system, it may influence greatly on business results.

About Legal regulations, etc.

The business of medical supplies is under the regulation of Pharmaceutical Affairs Law. Then if permission or notification, etc. as a reason for cancellation under the law takes place for any reason, it may influence greatly on main business activities and business results.

About Risk relating to Lifecare Business (LC)

Business of nursing care home management

1.About Legal regulations
2.About Recruitment of personnel for nursing care
3.About Safety and health care of facility users
4.About Future business development and large amount of capital investment
5.About Control of personal information

About Food delivery service business for hospitals and welfare facilities

1.About Legal regulations
2.About Recruitment of personnel form food delivery service
3.About Food delivery business

About Risk relating to Dispensing Pharmacy Business(PH)

1.About Legal regulations
2.About Policy of store opening
3.About Dispensing business
4.About Control of personal information

About Transaction, etc. with medical institutions, etc.

1.About Credit management against medical institutions, etc.
2.About Financial support to business connections
3.About Risk from lowering credibility

About M&A

The Company Group considers M&A one of the means for business expansion, so there is a possibility that a large sum of funds will be needed in the future. Also, it is not clear whether the Company Group will be as successful as the Company Group estimates in business development or in contributing to business performance by making target companies its subsidiaries or affiliates of M&A in the future, and this may negatively influence the business results depending on the situation.

About Financial status, etc.

About Interest-bearing debt and future demand of funds
In the future business plan of the Company Group, there is no guaranty for the Company to raise funds on a favorable conditions where there is the possibility of future increase of interest-bearing debt from demand of funds relating to M&A, Nursing Care Division of the life care business (LC), etc.; which then may become constraints of the business of the Company.

About Natural disasters

If natural disasters such as large-scale earthquakes occur, it may influence greatly on services provided by the Company Group.