ITOCHU (8001) Investor presentation summary

Strategic partnership and transaction overview

• Tokyo Century will transfer a 50% stake in Aviation Capital Group (ACG) to ITOCHU, creating a 50:50 joint management structure.

• The transaction is valued at USD 1,946 million, with the share transfer expected in November 2026.

• ACG will become an equity-method affiliate of both ITOCHU and Tokyo Century, deconsolidated from Tokyo Century's financials.

• The purchase price was determined through independent valuations and considers ACG's financial condition and growth potential.

ACG business profile and market position

• ACG manages a fleet of 446 aircraft, with 84% of its portfolio in narrowbody jets, serving 85 airlines in 50 countries.

• Weighted average fleet age is 5.4 years, focusing on single-aisle aircraft like the Airbus A320neo and Boeing 737 MAX.

• The global aircraft leasing market is expanding, with narrowbody aircraft expected to account for 80% of new demand by 2044.

• Industry consolidation is intensifying, making scale and capital capacity critical for competitiveness.

Value creation and growth strategy

• The partnership aims to enhance ACG's competitiveness by leveraging both companies' financial strength, networks, and expertise.

• Joint management will enable agile scale expansion, improved risk management, and access to broader aviation value chains.

• Synergies include joint aircraft acquisitions, expanded business origination, and enhanced asset efficiency.

• Collaboration will extend across the aviation value chain, including aircraft maintenance, parts trading, and leasing for domestic and overseas investors.