Notice Regarding Recording of Extraordinary Loss (Business Restructuring Expenses) H.U. Group Holdings, Inc. (hereinafter, the Company ) hereby announces that it recorded an extraordinary loss in the consolidated results for fiscal year ended March 31, 2021, as described below. 1. Reason for recording extraordinary loss (business restructuring expenses) The business environment surrounding the H.U. Group is expected to continue to be difficult, especially in clinical testing market in Japan, reflecting the pressure to reduce laboratory test service costs associated with worsening business conditions of medical institutions and demand for healthcare expenditure reduction, as well as projected growth of healthcare expenditures caused mainly by aging of population and the introduction of advanced medicine. Moreover, appropriate response to recent changes in consumer behavior and patients self- restraint of seeking medical attention due to the spread
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