Tokyo - The Yokohama Rubber Co., Ltd. today announced that it would introduce corporate officership into its new management organization immediately after the 128th regular general meeting of shareholders to be held on June 29, 2004, in order to further strengthen corporate governance and improve the efficiency and transparency in corporate management.

1) Intention of introducing corporate officership
Directors will constitute the Board of Directors and take responsibility for corporate decision-making and carry out supervisory functions. Corporate officers, in commission from the Board of Directors, will assume responsibility for business operation. In this way, introducing corporate officership will contribute to the clarification of the responsibility of corporate decision-making and business operation.

2) Purpose of introducing corporate officership
Corporate officership is introduced to make the board meeting more active, business operation more efficient, and YRC group management stronger.

3) Establishment of Corporate Officer and Director Personnel/Remuneration Committee
Corporate Officer and Director Personnel/Remuneration Committee will be established as an advisory panel of the Board of Directors for the purpose of securing transparency and fairness in personnel and remuneration decisions in connection with directors and corporate officers.

4) Management structure after the introduction of corporate officership
After the introduction of corporate officership, the number of directors will be reduced to 7 from current 19., while the number of corporate officers will be 19 (including 5 officers who will be also in the position of directors). The tenure of a corporate officer is one year, the same as that for a director.