Management Structure and Corporate Data 2015
Transcription
Management Structure and Corporate Data 2015
Corporate Data Management Structure and Corporate Data 2015 (as of March 31, 2015) Corporate Name Head Office 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Prefecture 261-8577, Japan TEL: +81-43-299-0111 URL http://www.kitz.co.jp/english/ Established January 26, 1951 Capital 21,207,084,670 yen Fiscal-year Ended March 31 Stock Exchange Listing First Section of Tokyo Stock Exchange (Code: 6498) Number of Employees 1,227 (Non-consolidated basis) Business Activities Manufacturing and sales of valves, other flow control devices, and related products Main Banks Mizuho Bank, Ltd., Sumitomo Mitsui Banking Corporation, Mitsubishi UFJ Trust and Banking Corporation, The Bank of Tokyo-Mitsubishi UFJ, Ltd., The Hachijuni Bank, Ltd., The Yamanashi Chuo Bank, Ltd., The Chiba Bank, Ltd. http://www.kitz.com/ Board of Directors, Officers Stock Information (as of March 31, 2015) Total Number of Authorized Shares 400,000,000 shares Shares Issued and Outstanding 108,216,989 shares (as of June 26, 2015) Directors and Audit & Supervisory Board Members President Director Director Director Outside Director Outside Director Audit & Supervisory Board Member Audit & Supervisory Board Member Outside Audit & Supervisory Board Member Outside Audit & Supervisory Board Member Note: The number of shares shown above does not include 12,179,522 shares of treasury stock that were held as of March 31, 2015. Number of Shareholders 12,882 General Meeting of Shareholders June Reference Dates Date of resolution of meeting of shareholders: March 31 Year-end dividend: March 31 Interim dividend: September 30 In addition, a public announcement will be made in advance as necessary. Electronic announcement Public Announcement Method However, announcements will be placed in the Nihon Keizai Shimbun in cases where it is not possible to make an electronic announcement. URL for announcements: http://www.kitz.co.jp/ Share Unit Number 100 shares Major Shareholders Investment Shareholdings (thousands) Percent of total shares issued (%) Name Japan Trustee Services Bank, Ltd. 8,609 7.96 CBNY-GOVERNMENT OF NORWAY 4,671 4.32 Nippon Life Insurance Company 4,367 4.04 Kitazawa Agent’s Stock Ownership Plan 3,818 3.53 Kitazawa Ikueikai Foundation 3,411 3.15 KITZ Corporation Client Stock Ownership Plan 2,956 2.73 SUMITOMO LIFE INSURANCE COMPANY 2,865 2.65 The Master Trust Bank of Japan, Ltd. 2,625 2.43 Mizuho Bank, Ltd. 2,553 2.36 Sumitomo Mitsui Banking Corporation 2,553 2.36 Executive Officers President Chief Executive Officer Senior Executive Officer Managing Executive Officer Executive Officer Executive Officer Executive Officer Executive Officer Executive Officer Executive Officer Executive Officer Executive Officer Notes: 1. The above list of major shareholders does not include the 12,179 thousand shares of treasury stock held as of March 31, 2015. 2. The above number of shares held includes shares associated with trust operations as follows: Japan Trustee Services Bank, Ltd.: 8,609 thousand shares The Master Trust Bank of Japan, Ltd.: 2,625 thousand shares 3. Shares held by Nippon Life Insurance Company include 63 thousand shares in the separate account for annuities 4. Shares held by SUMITOMO LIFE INSURANCE COMPANY include 31 thousand shares in the separate account and 73 thousand shares in the variable insurance account. 5. The total number of shares used to calculate percentages of shares held does not include 12,179,522 shares of treasury stock. Composition of Shareholders Composition of Shareholdings Financial instruments exchange 1.2% Less than 1,000 shares 1.1% Treasury stocks 10.1% 1,000 shares or more 12.9% Other domestic companies 13.0% 10,000 shares or more 10.8% Individuals and others 29.6% 100,000 shares or more 26.3% Foreign companies 18.5% 1 million shares or more 48.9% Financial institutions 27.6% 4 1 Yasuyuki Hotta Toshiaki Natori Masahiko Kondo Takahito Hirashima Kazuyuki Matsumoto Minoru Amoh Junichiro Haishima Takafumi Azuma Akio Mitsufuji Tatsuhiko Takai (as of April 1, 2015) Yasuyuki Hotta Toshiaki Natori Masahiko Kondo Takahito Hirashima Kazuhiko Shimodaira Toshiyuki Murasawa Taro Kimura Kazuhiko Hirabayashi Tetsuo Sakane Yukinari Koide Yoriyuki Koyama Management Structure and Corporate Data 2015 History 1951 1952 1959 1960 Approvals and Authorizations of the Group’s Principal Plants Kitazawa Mfg. Works was established. The Nagasaka Plant was constructed in Nagasaka-cho, Yamanashi, and the Company started manufacturing and selling bronze valves. The Nagasaka Plant received JIS certification for bronze valves. Toyo Metals Co., Ltd., was established and started manufacturing brass rods. 1965 1967 1968 1969 KITZ started using a high-performance automated production system using the most advanced machinery, including automated processing and molding machines from Europe and North America. Company name changed to Kitazawa Valve Co., Ltd. KITZ was the first in Japan to start using a brass hot forging press; started manufacturing and selling brass forged valves. KITZ became a registered trademark. Started manufacturing and selling ductile cast iron valves and stainless steel valves. Started manufacturing and selling butterfly valves. Started manufacturing and selling cast gray iron valves. 1970 1973 1974 1975 Started operations at stainless steel valve casting facility and machining facility at the Nagasaka Plant. Started operations at the Ina Plant. Started manufacturing and selling cast steel valves. Changed Japanese-character company name (still Kitazawa Valve Co., Ltd., in English). 1980 1984 Adopted “CHRYSANTHEMUM-HANDLE® ” for cast bronze valves. Shares listed on the First Section of Tokyo Stock Exchange. Established KITZ Corporation of America in Houston, Texas. Established KITZ Corporation of Taiwan in Kaohsiung, Taiwan. Established KITZ (Thailand) Ltd., in Samutprakarn, Thailand. The Nagasaka and Ina plants earned ISO 9001 quality management system certification, making KITZ the first Japanese company to receive this certification. 1962 1985 1988 1989 1991 1992 1994 1995 1998 1999 2000 2001 2002 2003 2004 2005 2007 2008 2009 2010 2011 2012 2013 2015 KITZ merged with TOYO Metals Co., Ltd. ISO S.A. of Spain (currently KITZ Corporation of Europe, S.A.) joined the KITZ Group. Changed name to KITZ Corporation and moved the head office to the Makuhari district of Chiba-shi. Established KITZ Engineering Service Co., Ltd. The Chino Plant was first in Japan’s brass bar industry to receive ISO 9002 certification for quality management systems. Shimizu Alloy Mfg. Co., Ltd., joined the KITZ Group, enabling the Group to begin supplying products for water supply systems. The Nagasaka Plant received ISO 14001 certification. Announced the development of KEEPALLOY brass and bronze alloys that are easy to machine and are free of lead for environmental protection. Miyoshi Valve Co., Ltd., joined the KITZ Group. The Ina Plant received ISO 14001 certification. KITZ marked its 50th anniversary, announcing a New KITZ’ Statement of Corporate Mission and Action Guide. Purchased semiconductor manufacturing machine device business from the former Benkan Group and established KITZ SCT Corporation to operate this business. Established KITZ Corporation of Kunshan in China. Established KITZ Corporation of Shanghai in China. Established KITZ Corporation of Jiangsu Kunshan in China. Purchased the valve business of the former Toyo Valve Co., Ltd., and began business at its reorganized operations. Spun off the KITZ brass bar manufacturing and micro filter businesses to form KITZ Metal Works Corporation and KITZ Micro Filter Corporation. Purchased the brass bar manufacturing business of the former Kyoto Brass Co., Ltd. Established KITZ Corporation of Lianyungang in China. Director and Senior Executive Officer Yasuyuki Hotta was named President & CEO. KITZ Metal Works Corporation and Kyoto Brass Co., Ltd., merged. Perrin GmbH, a ball valve manufacturer in Germany, joined the KITZ Group. Established a new Long-term Management Plan called KITZ Global Vision 2020. Established KITZ Corporation of Asia Pacific Pte. Ltd., in Singapore. Transferred manufacturing operations of Toyo Valve Co., Ltd., to KITZ, changing Toyo Valve into a sales company. KITZ Europe GmbH started operations as European regional headquarters. Purchased Mikuni Engineering (Singapore) Pte. Ltd., an exclusive distributor in Singapore, and began operations as KITZ Valve & Actuation Singapore Pte. Ltd. Micro Pneumatics Pvt. Ltd., industrial valve manufacturer in India, joined the KITZ Group. Established KITZ Valve & Actuation (Thailand) Co., Ltd. in Thailand. 2 Certification item Certification body Business site KITZ Corporation Nagasaka Plant Certification item Shimizu Alloy Mfg. Co., Ltd. ISO 9001 / ISO 14001 Certified by Japan Water Works Association ISO 9001 LRQA ISO 14001 Bureau Veritas Japan Co., Ltd. Certified by Japan Water Works Association Japan Water Works Association (JWWA) API Spec Q1 and 6D American Petroleum Institute (API) Manufacturing plant for PED/CE Marking Products Lloyd’s Register Group Limited Manufacturing plant for AD2000-Merkblatt W0 castings TÜV SÜD Manufacturing plant for AD2000-Merkblatt HP0 products TÜV SÜD JIS product certification (JIS B 2062 Sluice valves for water works) KITZ SCT Corporation ISO 9001 / ISO 14001 KITZ Micro Filter Corporation ISO 9001 / ISO 14001 KITZ (Thailand) Ltd. Certified by Japan Water Works Association ISO 9001 / ISO 14001 JIS product certification (JIS B 2011 Bronze, gate, globe, angle and check valves) Certified by Japan Water Works Association Manufacturing plant for PED/CE Marking Products CSA<Canadian Standard Association> FM<Factory Mutual> UL<Underwriters Laboratories> Australian Standard NSF KITZ Corporation of Taiwan KITZ Corporation Ina Plant ISO 9001 ISO 9001 / ISO 14001 Manufacturing plant for PED/CE Marking Products LRQA UL<Underwriters Laboratories> ISO 14001 Bureau Veritas Japan Co., Ltd. Manufacturing plant for AD2000-Merkblatt HP0 products Certified by Japan Water Works Association Japan Water Works Association (JWWA) API Spec Q1 and 6D American Petroleum Institute (API) Manufacturing plant for PED/CE Marking Products Lloyd’s Register Group Limited JIS product certification (JIS B 2031 gray cast iron valves) Japan Water Works Association (JWWA) (Ministry of Economy, Trade and Industry) Manufacturing plant for AD2000-Merkblatt HP0 products TÜV SÜD KITZ Corporation of Kunshan (China) ISO 9001 / ISO 14001 KITZ Corporation of Jiangsu Kunshan (China) ISO 9001 / ISO 14001 KITZ Corporation of Lianyungang (China) ISO 9001 KITZ Corporation of Europe, S.A. (Spain) ISO 9001 / ISO 14001 Manufacturing plant for AD2000-Merkblatt W0 castings TS certification KITZ Corporation Chino Plant ISO 9001 LRQA ISO 14001 Bureau Veritas Japan Co., Ltd. Certified by Japan Water Works Association Japan Water Works Association (JWWA) JIS product certification (JIS B 2011 Bronze, gate, globe, angle and check valves) Japan Water Works Association (JWWA) Manufacturing plant for PED/CE Marking Products Manufacturing plant for AD2000-Merkblatt HP0 products TS certification Manufacturing plant for AD2000-Merkblatt W0 castings Manufacturing plant for PED/CE Marking Products API Spec 6D Manufacturing plant for AD2000-Merkblatt W0 castings Manufacturing plant for AD2000-Merkblatt HP0 products Perrin GmbH (Germany) ISO 9001 API Spec 6D DIN/GOST certification obtained Manufacturing plant for PED/CE Marking Products CRN<Canadian Registration Number> Type Test Certification of Special Equipment (CHINA) Vender Registration Certificate 3 Management and Financial Information 2015 TOPICS High-Pressure Ball Valves for Hydrogen Stations Receives “Cho (Super)” MONODZUKURI Innovative Parts and Components Award 2014, Environmental Component Award The KITZ “High-pressure ball valves for hydrogen stations” received the Environmental Component Award at the “Cho” MONODZUKURI Innovative Parts and Components Award 2014 sponsored by the Monodzukuri Nippon Conference and Nikkan Kogyo Shimbun, Ltd. Supported by the Ministry of Economy, Trade and Industry and the Japan Chamber of Commerce and Industry, the awards of the “Cho” MONODZUKURI Innovative Parts and Components Award focus on components and materials that “play inconspicuous but important roles” that contribute to the development of industry and society, with the overriding purpose of supporting increases in the competitiveness of Japan’s monozukuri. The grand awards also consist of various awards in each field based on judging criteria that include “products that are creative inventions that spur a large reaction in Japan and overseas,” “products for which precision and performance attain the world’s highest levels” and “products that make remarkable contributions to raising Japan’s industrial technologies.” The KITZ High-pressure ball valves will be used in highpressure lines of 70MPa-class hydrogen stations to fill fuel-cell vehicles with hydrogen. The High-pressure ball valves earned this award in recognition of its technologies for sealing high-pressure hydrogen gas as well as its high durability and excellent cost competitiveness. Long-term Management Plan “KITZ Global Vision 2020” The KITZ Group formulated its “KITZ Global Vision 2020,” a Long-term Management Plan in May 2010. KITZ Global Vision 2020 Slogan Evolution to become a fully global company Maximize corporate value by full globalization Develop global level business locations with composite functions of sales, marketing, engineering, stock, maintenance and service High-pressure ball valves for hydrogen stations • Highly secured rate of profits and cash flow • Continuous development of our corporate value and social contributions by improving our values to the customer, our employees’ quality of life and mutually beneficial business with our partners Tokyo Branch Relocated and Group Bases in Tokyo Consolidated In January 2015, the Tokyo Branch, which was situated inside the head office (Chiba City, Mihama Ward), relocated to Nihonbashi, Chuo Ward, Tokyo. By opening an office in the heart of Tokyo, we have put into place a structure capable of undertaking customerfocused sales activities more than ever before. Additionally, to further strengthen collaboration among the KITZ Group, we consolidated bases that include the head office of Toyo Valve Co., Ltd. and Tokyo Regional Office of KITZ Micro Filter Corporation into the same office as the KITZ Tokyo Branch. With this reorganization, KITZ will continue to promote even greater information sharing and maximize Group synergies. Revitalization of our operations as a dynamic and conscientious group of companies ■ FY2020 Numerical Targets (Consolidated Basis) Net sales Operating income Operating income ratio Overseas sales ratio 250,000 million yen 20,000 million yen 8.0% 50% Interest-bearing liabilities Equity ratio ROE (Return on equity) 24,000 million yen 70% 7.0% ■ Key Concept for Valve Manufacturing Business New office Global & Domestic Shooting for the Top Market Share in Targeted Market Areas and Sectors • Joining the Ranks of the World’s Top 3 Valve Producers ■ Key Concept for Brass Bar Manufacturing Business KITZ Micro Filter Corporation—Second Plant Goes into Operation The second plant of KITZ Micro Filter Corporation, a KITZ Group company, began operation in September 2014. Based on its independently developed hollow fiber membrane and resin processing technologies, KITZ Micro Filter manufactures and sells residential and commercial water purifiers as well as industrial precision filters for use in such fields as electronics, analysis devices, healthcare and foods. Along with an expansion in business content, KITZ Micro Filter’s plant at its head office in Suwa City, Nagano Prefecture, became increasingly cramped, making it difficult to further increase and augment plant facilities. Accordingly, KITZ Micro Filter opened a second plant with a clean environment in Suwa City and relocated its water purifiers and general industrial products assembly lines to the new plant. With the spare space at its head office plant, KITZ Micro Filter will expand the floor area of its clean room and is putting into place a structure for increased production. KITZ Micro Filter will make ongoing efforts to offer products that customers can use safely. Targeting Higher-Value-Added Business by Drastically Streamlining Operations and Developing New Materials and New Ventures Second plant of KITZ Micro Filter Corporation ■ Key Concept for Other Offering World-Class Customer-Oriented Services (Creation of touching experiences) ■ Reinforcement of Business Infrastructure (Human Resources) Global Recruitment and Cultivation of Human Resources ■ Reinforcement of Business Infrastructure (IT / Accounting System) Investment for Reformation of Information Control Systems for Group Operations ■ Reinforcement of Business Infrastructure (Environment) Promoting Environment-friendly Management for Preservation of the Global Environment ■ Reinforcement of Business Infrastructure (CSR: Corporate Social Responsibility) Assembly line 4 Legal Compliance and Internal Control Management Social Contribution 1 Management and Financial Information 2015 Financial Highlights Net Sales Financial Summary Operating Income (Millions of yen) 150,000 100,000 Ordinary Income (Millions of yen) 8,000 117,036 117,355 111,275 108,446 106,059 6,000 (Millions of yen) 8,000 6,558 6,470 6,341 7,581 6,886 6,521 6,501 6,000 5,929 4,638 4,000 4,000 2,000 2,000 4,388 50,000 0 0 FY2010 FY2011 FY2012 FY2013 FY2014 Item FY2010 FY2011 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 (Millions of yen) 106,059 108,446 111,275 117,355 117,036 Operating income (Millions of yen) 6,341 4,638 6,558 6,470 6,886 Ordinary income (Millions of yen) 5,929 4,388 6,521 6,501 7,581 Net income (Millions of yen) 3,063 2,480 4,039 3,564 6,881 Total assets (Millions of yen) 100,138 94,981 99,972 107,583 115,790 Interest-bearing liabilities (Millions of yen) 30,165 24,290 22,319 23,728 21,426 (%) 5.8 4.7 7.2 5.7 9.8 (Yen) 27.36 22.71 36.98 32.63 63.22 PER (Price Earnings Ratio) (Times) 14.6 15.8 12.8 15.5 9.4 Cash dividends per share (Yen) 7.0 7.5 9.5 10.0 13.0 (Millions of yen) 2,911 (291) 3,366 1,120 7,912 EPS (Earnings per Share) FY2010 FY2011 FY2012 FY2013 FY2014 FY2011 Net sales ROE (Return on equity) 0 FY2010 Free cash flows Note: Free cash flows = Cash flows from operating activities + Cash flows from investing activities Net Income (Millions of yen) 8,000 Total Assets (Millions of yen) 120,000 6,881 100,000 100,138 94,981 6,000 115,790 107,583 99,972 4,039 3,063 2,000 3,564 13.0 60,000 9.5 7.0 7.5 0 0 FY2010 FY2011 FY2012 FY2013 FY2014 Sales by Reportable Segments FY2010 FY2011 FY2012 FY2013 FY2014 Operating Income by Reportable Segments FY2010 FY2011 FY2012 FY2013 FY2014 FY2014 Other 5,201 (4.4%) Total 117,036 (Millions of yen) Valve Manufacturing Business 90,152 (77.0%) Asia and Middle East 19,192 (16.5%) FY2014 Total 9,986 (Millions of yen) Valve Manufacturing Business 9,506 (95.2%) Note: Operating income by reportable segments shows figures before adjustments for company-wide expenses and others. 2 Notes: Amounts less than the unit expressed are omitted. These financial statements show major items only. (As of Mar. 31, 2014) 55,866 51,717 36,835 3,315 11,566 107,583 FY2014 Total 117,036 (Millions of yen) Japan 81,983 (70.0%) North America 10,659 (9.1%) LIABILITIES Total current liabilities Total long-term liabilities Total liabilities NET ASSETS Total shareholders’ equity Total accumulated other comprehensive income Minority interests Total net assets Total liabilities and net assets FY2013 (As of Mar. 31, 2014) 20,703 20,101 40,805 Statements of Income FY2014 (As of Mar. 31, 2015) 63,884 51,905 36,617 3,695 11,593 115,790 (Millions of yen) Item Other 231 (2.3%) Other 5,863 (5.0%) ASSETS Total current assets Total fixed assets Property, plant and equipment Intangible assets Investments and other assets Total assets (Millions of yen) FY2013 Sales by Geographical Area Brass Bar Manufacturing Business 248 (2.5%) Brass Bar Manufacturing Business 21,021 (18.0%) Balance Sheets Item 20,000 0 Consolidated Financial Statements 10.0 5 40,000 2,480 (Yen) 15 10 80,000 4,000 Cash Dividends per Share FY2014 (As of Mar. 31, 2015) 25,740 14,556 40,296 Item Net sales Cost of sales Gross profit Selling, general and administrative expenses Operating income Non-operating income Non-operating expenses Ordinary income Extraordinary income Extraordinary loss Income before income taxes and minority interests Income taxes Income before minority interests Minority interests Net income 67,849 2,836 6,439 1,075 66,777 107,583 1,204 75,493 115,790 FY2014 117,355 90,379 26,976 20,505 6,470 734 703 6,501 157 132 6,526 2,906 3,619 55 3,564 117,036 88,662 28,374 21,487 6,886 1,389 695 7,581 2,191 253 9,519 2,564 6,954 73 6,881 (Year ended (Year ended Mar. 31, Mar. 31, 2014) 2015) Statements of Cash Flows (Millions of yen) FY2013 Item 62,865 (Millions of yen) FY2013 Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Effect of exchange rate changes on cash and cash equivalents Net increase (decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 3 FY2014 (Year ended (Year ended Mar. 31, Mar. 31, 2014) 2015) 4,667 (3,546) 66 694 1,881 6,042 7,923 8,923 (1,010) (3,706) 445 4,651 7,923 12,575 Group Network 2015 Overseas Network KITZ (Thailand) Ltd. (Thailand) 426 Moo17 Bangna-Trad Rd., T. Bangsaothong A. Bangsaothong, Samutprakarn 10540, Thailand TEL: +66-2-315-3129~31 (Manufacturing and sales of copper alloy valves and butterfly valves) KITZ Corporation of Shanghai (China) Room 1701-1704, International Corporate City, No. 3000 North ZhongShan Rd.,PuTuo District, Shanghai, P.R. China, 200063 TEL: +86-21-6439-1249 (Sales, marketing and distribution of valves) U.S.A. KITZ Corporation of Lianyungang (China) No. 16 Yun Yang Road, Lianyungang Economic and Technical Development Zone, Jiangsu, Province, P.R. China, 222047 TEL: +86-518-8236-6061 (Manufacturing and sales of carbon steel valves) KITZ SCT America Corporation 1183 Bordeaux Drive, Suite 15 Sunnyvale, California 94089, U.S.A. TEL: +1-408-747-5546 (Sales, marketing and distribution of valves and fittings for semiconductor production facilities) KITZ Corporation of America 10750 Corporate Drive, Stafford, Texas 77477, U.S.A. TEL: +1-281-491-7333 (Sales, marketing and distribution of valves) Domestic Network Sales Bases KITZ Corporation of Taiwan (Taiwan) 5-26 East Street, N.E.P.Z., Kaohsiung, Taiwan (R.O.C.) TEL: +886-7-361-1235 (Manufacturing and sales of stainless steel and carbon steel valves and joints) KITZ SCT Corporation of Kunshan (China) 8-3, No.3 Road, Export Processing A Zone, Kunshan, Jiangsu, P.R. China, 215300 TEL: +86-512-5735-0700 (Manufacturing and sales of valves and fittings for semiconductor production facilities) KITZ Corporation KITZ Corporation of Europe, S.A. (Spain) Ramon Vinas 8, 08930 Sant Adria de Besos Barcelona, Spain TEL: +34-9346-21408 (Manufacturing and sales of stainless steel and carbon steel ball valves) Head Office 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-0111 Hokkaido Regional Office Hokkaido Sales Office 12-1-25 Kita 14 Jo Higashi, Higashi-ku, Sapporo-shi, Hokkaido Pref. 065-0014, Japan TEL: +81-11-733-2225 Tohoku Regional Office Tohoku Sales Office Asahi Seimei Sendai Ichibancho Building, 2-7-17 Ichibancho, Aoba-ku, Sendai-shi, Miyagi Pref. 980-0811, Japan TEL: +81-22-224-5335 Kita-Kanto Regional Office KITZ Corporation of Kunshan (China) No. 15 Taihu South Road Economic and Technology Development Zone, Kunshan, Jiangsu, P.R. China, 215300 TEL: +86-512-5763-8181 (Manufacturing and sales of stainless steel valves) KITZ Corporation of Jiangsu Kunshan (China) No.188, Zhongyang Road, B Zone, Kunshan Comprehensive Free Trade Zone, Jiangsu Province, P.R. China, 215300 TEL: +86-512-5771-6078 (Manufacturing and sales of carbon steel valves) Europe Kita-Kanto Sales Office Sakamoto-2 Building, 3-306-1, Miyaharacho, Kita-ku Saitama-shi, Saitama Pref. 331-0812, Japan TEL: +81-48-651-5260 KITZ Europe GmbH (Germany) Siemensstraße 1, D-61130, Nidderau, Germany TEL: +49-0-6187-928-100 (Sales and marketing for Europe) Micro Pneumatics Pvt. Ltd. (India) Plot No. 133-134, Vasai Municipal Industrial Area, Umela Phata, Papdy, Vasai Road (West) - 401 207. Dist - Thane, Maharashtra, India TEL: +91- 250-2320458 (Manufacturing and sales of industrial-use (pharmaceutical, foods, petroleum) automated ball valves and butterfly valves) Niigata Sales Office Nissai Minamisasaguchi Building, 1-1-54 Minamisasaguchi, Chuo-ku, Niigata-shi, Niigata Pref. 950-0912, Japan TEL: +81-25-243-3122 Perrin GmbH (Germany) Siemensstraße 1, D-61130, Nidderau, Germany TEL: +49-0-6187-928-0 (Manufacturing and sales of steel ball valves) Tokyo Branch Tokyo Sales Office 1 Onward Park Building, 3-10-5 Nihombashi, Chuo-ku, Tokyo 103-0027, Japan TEL: +81-3-6836-1501 Tokyo Sales Office 2 Onward Park Building, 3-10-5 Nihombashi, Chuo-ku, Tokyo 103-0027, Japan TEL: +81-3-6836-1501 Chiba Sales Office 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1706 Yokohama Sales Office Meiji Yasuda Life Radio Nippon Building, 5-85 Chojamachi, Naka-ku, Yokohama-shi, Kanagawa Pref. 231-0033, Japan TEL: +81-45-253-1095 Air Conditioning and Instrumentation Office Onward Park Building, 3-10-5 Nihombashi, Chuo-ku, Tokyo 103-0027, Japan TEL: +81-3-6836-1502 4 1 Group Network 2015 Domestic Network KITZ Group Tokyo Sales Promotion Group Onward Park Building, 3-10-5 Nihombashi, Chuo-ku, Tokyo 103-0027, Japan TEL: +81-3-6836-1503 Industrial Sales Development Group Onward Park Building, 3-10-5 Nihombashi, Chuo-ku, Tokyo 103-0027, Japan TEL: +81-3-6836-1501 Chubu Branch Nagoya Sales Office 1 Gojinsha Meieki 3 Building, 3-9-37 Meieki Nishi-ku, Nagoya-shi, Aichi Pref. 451-0045, Japan TEL: +81-52-562-1541 Nagoya Sales Office 2 Gojinsha Meieki 3 Building, 3-9-37 Meieki Nishi-ku, Nagoya-shi, Aichi Pref. 451-0045, Japan TEL: +81-52-562-1541 Chugoku Regional Office Hiroshima Sales Office NBF Hiroshima Tatemachi Building, 2-27 Tatemachi, Naka-ku, Hiroshima-shi, Hiroshima Pref. 730-0032, Japan TEL: +81-82-248-5903 Okayama Sales Office Mitsui Life Okayama Building, 8-29 Saiwaicho, Kita-ku, Okayama-shi, Okayama Pref. 700-0903, Japan TEL: +81-86-226-1607 Kyushu Regional Office Kyushu Sales Office ZS Fukuoka Building, 3-4-2 Higashihie, Hakata-ku, Fukuoka-shi, Fukuoka Pref. 812-0007, Japan TEL: +81-92-431-7877 Kansai Water Supply Product Sales Office Osaka Glen Check Building, 1-34-15 Shinmachi, Nishi-ku, Osaka-shi, Osaka Pref. 550-0013, Japan TEL: +81-6-7636-1061 Market Development Dept. 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1741 Production Bases and Training Center Hokuriku Sales Office S.F Building, 4-7-14 Futakuchimachi, Toyama-shi, Toyama Pref. 939-8211, Japan TEL: +81-76-492-4685 Project Sales Office 2 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1719 Koshin Sales Office 5125 Kanazawa, Chino-shi, Nagano Pref. 391-0012, Japan (located in Chino Plant) TEL: +81-266-71-1441 Control Valve Sales Office 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1773 Osaka Branch Water Supply Product Sales Dept. Osaka Sales Office 1 Osaka Glen Check Building, 1-34-15 Shinmachi, Nishi-ku, Osaka-shi, Osaka Pref. 550-0013, Japan TEL: +81-6-6541-1178 Water Supply Product Sales Office 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1760 Osaka Sales Office 2 Osaka Glen Check Building, 1-34-15 Shinmachi, Nishi-ku, Osaka-shi, Osaka Pref. 550-0013, Japan TEL: +81-6-6533-1715 Tohoku Water Supply Product Sales Office Asahi Seimei Sendai Ichibancho Building, 2-7-17 Ichibancho, Aoba-ku, Sendai-shi, Miyagi Pref. 980-0811, Japan TEL: +81-22-224-5335 Osaka Sales Office 3 Osaka Glen Check Building, 1-34-15 Shinmachi, Nishi-ku, Osaka-shi, Osaka Pref. 550-0013, Japan TEL: +81-6-7636-1060 Building Utility Products Group Osaka Glen Check Building, 1-34-15 Shinmachi, Nishi-ku, Osaka-shi, Osaka Pref. 550-0013, Japan TEL: +81-6-6541-1357 Air Conditioning and Instrumentation Office Osaka Glen Check Building, 1-34-15 Shinmachi, Nishi-ku, Osaka-shi, Osaka Pref. 550-0013, Japan TEL: +81-6-6533-0350 KITZ Corporation Nagasaka Plant 2040 Nagasaka Kamijo, Nagasakacho, Hokuto-shi, Yamanashi Pref. 408-8515, Japan TEL: +81-551-20-4100 Nishi-Tokyo Water Supply Product Sales Office ALUB Tachikawa Building, 2-3-28, Nishikicho, Tachikawa-shi, Tokyo 190-0022, Japan TEL: +81-42-595-9241 2 KITZ Engineering Service Co., Ltd. 1-7-59 Akanehama, Narashino-shi, Chiba Pref. 275-0024, Japan TEL: +81-47-452-0585 (Maintenance services for valves) Hotel Beniya Co., Ltd. 2-7-21 Kogan-dori, Suwa-shi, Nagano Pref. 392-8577, Japan TEL: +81-266-57-1111 (Operation of hotel and restaurants) KITZ Metal Works Corporation 7377 Kobayakawa, Miyagawa, Chino-shi, Nagano Pref. 391-8555, Japan TEL: +81-266-79-3030 (Manufacturing and sales of copper and processed products) Miyoshi Valve Co., Ltd. 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1734 (Sales of valves for building utilities and freezing and refrigeration equipment) KITZ Corporation supports the public interest incorporated foundation Kitazawa Museum of Art as a part of social contribution activities. Kitazawa Museum of Art 1-13-28 Kogan-dori, Suwa-shi, Nagano Pref. 392-0027, Japan TEL: +81-266-58-6000 Overseas Network KITZ Corporation Chino Plant 5125 Kanazawa, Chino-shi, Nagano Pref. 391-0012, Japan TEL: +81-266-82-0170 Kita-Kanto Water Supply Product Sales Office Sakamoto-2 Building, 3-306-1, Miyaharacho, Kita-ku Saitama-shi, Saitama Pref. 331-0812, Japan TEL: +81-48-651-5260 Yokohama Water Supply Product Sales Office Meiji Yasuda Life Radio Nippon Building, 5-85 Chojamachi, Naka-ku, Yokohama-shi, Kanagawa Pref. 231-0033, Japan TEL: +81-45-253-1095 Hokutoh Giken Kogyo Corporation 4601 Wakamiko, Sutamacho, Hokuto-shi, Yamanashi Pref. 408-0112, Japan TEL: +81-551-42-5151 (Manufacturing and sales of metal processed products) KITZ SCT Corporation Omorieki Higashiguchi Building, 1-5-1 Omori kita Ota-ku, Tokyo 143-0016, Japan TEL: +81-3-6404-2171 (Manufacturing and sales of valves and fittings for semiconductor production facilities) Nitta SC Plant KITZ Corporation Ina Plant 7130 Higashiharuchika, Ina-shi, Nagano Pref. 399-4496, Japan TEL: +81-265-78-1111 YKV Corporation 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1773 (Manufacturing, sales and services of control valves for various applications) KITZ Micro Filter Corporation 2983 Shiga, Suwa-shi, Nagano Pref. 392-0012, Japan TEL: +81-266-52-0002 (Manufacturing and sales of fluid separation products for filters and related products) 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1730 Project Division Project Sales Office 1 1-10-1 Nakase, Mihama-ku, Chiba-shi, Chiba Pref. 261-8577, Japan TEL: +81-43-299-1719 Shimizu Alloy Mfg. Co., Ltd. 928 Higashinonamicho, Hikone-shi, Shiga Pref. 522-0027, Japan TEL: +81-749-23-3131 (Manufacturing and sales of water works valves) Department of Overseas Operation Plants Tokai Sales Office Sumitomo Life Shizuoka Tokiwacho Building, 2-13-1 Tokiwacho, Aoi-ku, Shizuoka-shi, Shizuoka Pref. 420-0034, Japan TEL: +81-54-273-7337 Toyo Valve Co., Ltd. 10-5, Nihonbashi 3-chome, Chuo-ku, Tokyo, 103-0027, Japan TEL: +81-3-6262-1652 (Sales of valves and system equipment) Marketing Bases, KITZ Corporation Korea India U.A.E. KITZ Corporation (Korea Liaison Office) 10th Floor, Seoul Finance Center, 136, Sejong-daero, Jung-gu, Seoul, 100-768, Korea TEL: +82-2-6959-2450 KITZ Corporation (India Liaison Office) 805 Meadows, Sahar Plaza, Off Andheri Kurla Road, Andheri East, Mumbai 400 059, India TEL: +91-22-40154202 KITZ Corporation (Dubai Liaison Office) 6EA501 Dubai Airport Free Zone, P.O. Box 293545, Dubai-U.A.E. TEL: +971-(0)4-701-7524 KITZ Valve & Actuation Singapore Pte. Ltd. (Singapore) No.22 Pioneer Crescent, #03-06 West Park BizCentral, Singapore 628556 TEL: +65-6861-1833 (Sales and maintenance of valves) KITZ Valve & Actuation (Thailand) Co., Ltd. (Thailand) 388 Exchange Tower, 29th Floor, Unit 2901-4, Klongtoey Sub-district, Klongtoey District, Bangkok, 10110, Thailand TEL: +66-2-104-9132 (Sales, marketing and distribution of valves) KITZ Group Training Center Asia KITZ Training Center 3332-1239 Kamisasao Shinohara, Kobuchisawa-cho, Hokuto-shi, Yamanashi Pref. 408-0041, Japan TEL: +81-551-36-3971 KITZ Corporation of Asia Pacific Pte. Ltd. (Singapore) No.22 Pioneer Crescent, #03-06 West Park BizCentral, Singapore 628556 TEL: +65-6339-0350 (Sales, marketing and distribution of valves) 3 KITZ Group Environmental Report Digest 2015 KITZ Group Principle of Environmental Activities KITZ Group companies aspire to become operations worthy of society’s confidence through the supply of environmentally friendly products and services and promotion of environment-responsive corporate activities. KITZ Group Companies: Environmental Action Policy KITZ Group companies shall recognize environmental issues as an essential perspective of corporate management and every employee shall positively participate in the following activities. 1. Development and supply of environmentally friendly products and services 2. Effective use of resources 3. Promotion of reduction, reuse and recycle of waste 4. Prevention of environmental contamination 1 We aim to promote environment-responsive business operations across our entire group while simultaneously pursuing risk prevention and cost reduction The KITZ Group has designated “Group-wide promotion of environmentally conscious management” as one measure for strengthening our business foundation to realize our slogan “Evolution to become a fully global company,” which is articulated in the KITZ Global Vision 2020, a Long-term Management Plan. Based on this, we have set three targets of “Enhancement of Environmental Management System,” “Reduction in Environmental Impact” and “Compliance with Environment-Related Laws and Regulations.” Enhancement of Environmental Management System We have completed certification for ISO 14001 at all our production plants (seven locations) in Japan and will now expand efforts for obtaining ISO 14001 certification to our overseas bases. We will strive to complete the acquisition of ISO 14001 certification in the near future at all overseas manufacturing bases with the aim of building an environment management system as a truly global company. Reduction in Environmental Impact We have set the target of reducing consumption of energy and water used for our business activities and reducing the discharge of carbon dioxide, industrial waste and chemical pollutants from our business operations. We will effectively use finite resources while extensively eliminating waste to reduce environmental impacts in terms of total volume and basic units. Compliance with Environment-Related Laws and Regulations Besides complying with various environment-related laws and regulations for addressing environmental problems amid a tightening of restrictions worldwide, including in Japan, Europe, Asia and the United States, we also engage in activities to eliminate all environmental risk associated with our business activities. The KITZ Group will work in unison to undertake environment-responsive management to attain these three targets based on its policy of achieving a balance between risk prevention and cost reduction. Targets of Environmental Issues in Long-Range Management Projections 1. Enhancement of Environmental Management System 2. Reduction in Environmental Impact ISO 14001 certification and control of environmental issues for overseas manufacturing operations Items to control: CO₂ emissions Energy consumption Industrial waste discharge Final disposal of waste Water consumption Discharge of PRTR target chemicals 3. Compliance with Environment-Related Laws and Regulations Environmental Management Agenda Needed to Accomplish Targets Enhancement of corporate business infrastructure (Group-wide environment-responsive management) Risk prevention Enhancing management system Building the basic structure Cultivation of human resources Visualization Balanced Streamlining action processes Group activities Application of management system 2 Cost reduction Reducing environmentally hazardous substances Combating global warming Common issues (handling waste and water) Care for local communities Prevention of future risk issues Environmental Target and Results in FY2014 We introduced “promotion of Group environment-responsive business operations” in the Second Mid-term Management Plan (FY2013 – FY2015) to promote environmental activities. Forcused subject Actions planned Target for FY2014 Results in FY2014 1. Strengthening environmental management system Enhancement of (1) Revice to integrated ISO 14001 Environmental (1) Building the basic structure for (7 domestic bases). Management group-wide environmental management (2) Implement environmental results system System management at overseas production bases (energy, waste materials, others). (1) Completed the Group review in October 2014. (2) KITZ (Thailand) Ltd. curried out environmental audit. 2. Establishment of a recycling-oriented society Reduction in Environmental Impact (1) Reducing discharged waste Sales consumption units 7.27t/¥100 million 7.28t/¥100 million (*) (2) Reducing finally disposed waste Sales consumption units 0.29t/¥100 million 0.30t/¥100 million (*) (3) Reducing consumed water resource Sales consumption units 454.98 m3/¥100 million 418.90 m3/¥100 million (*) Sales consumption units 0.28t/¥100 million 0.24t/¥100 million (*) 3. Reduce hazardous chemical substances (4) Reducing discharged PRTR Class-1 chemicals 4. Prevent global warming (5) Reducing energy consumption Sales consumption units 503.64GJ/¥100 million 474.01GJ/¥100 million (*) (6) Reducing CO2 emission Sales consumption units 58.22t-CO2/¥100 million 55.12t-CO2/¥100 million (*) 5. Visualization of environmental risk and responses Compliance with Environment- (1) Legal compliance Related Laws and Regulations (2) PCB Responded to revised Water Quality (1) Enhanced structure for gathering information Pollution Control Act. about law revisions and made responses. Responded to revised fluorocarbons law (2) Disposal of PCB waste materials at the KITZ Completed disposal of 21,300Rof Group in Japan low-concentration PCB. (*) KITZ and domestic group companies (except for sales offices) Environmental Data Manufacturers (except for sales offices) Sales offices of manufacturers (data compiled from FY2009) Service companies (data compiled from FY2008) Consumption units at manufacturers (except for sales offices) Energy Consumption (GJ) Energy Consumption Amount (GJ) 800,000 600,000 563.2 513,307 Sales Consumption Units (GJ/Sales (¥100 million)) 504.3 484.9 455.6 519,427 520,922 508,364 400,000 6,122 200,000 191,690 0 (Base Year) FY2005 CO2 Emission (ton- CO2) FY2012 5,911 100,000 450 75,000 300 50,000 150 25,000 5,366 38,725 0 183,970 FY2013 10,000 61,460 60,111 45 47,752 512 14,805 FY2012 FY2013 30 15 523 14,767 489 3,504 0 FY2014 Lead 8.58 8,843 7.40 7,954 7.17 69 76 FY2012 FY2013 FY2014 1,485 Chrome 8,003 97 2,113 Manganese 8 4 (Base Year) FY2005 59,674 60 Sales Output (t/Sales (¥100 million)) 5,000 0 53.9 52.4 (Base Year) FY2005 12 8,974 57.2 Consumption of PRTR Target Chemicals (tons of top 5 items) 15,000 9.85 Sales Output (t-CO2/Sales (¥100 million)) 57.9 0 FY2014 Discharge of Industrial Waste (ton) Industrial Waste Amounts (t) CO2 Emission Amounts (t-CO2) 600 559 Nickel (metal) 412 Chrome oxide 0 277 0 500 1,000 1,500 2,000 2,500 (t) * PRTR target substances, for which annual handling amounts are less than 1t and content is less than 1%, are also compiled. 3 KITZ Group Environmental Report Digest 2015 Overall Image of Environmental Impact INPUT in FY2014 Major Energies Service companies Manufacturers (Sales offices) 96,486 48 10 730 1,944 633 3,026 400 4,084 17 25 256 66 169 32 Electricity Purchased electric power (1,000 kWh) (1,000 kWh) Solar power generation (1,000 m3) City gas (kl) Bunker A (t) LPG (kl) Kerosene (GJ) Cold and hot water Clean water Underground water KITZ GROUP 138 252 (1,000 m ) (1,000 m3) Development and Design 1 2,113 411 1,485 559 41,019 20,909 Sand for cores and castings (t) Paint and thinner (t) Oil solution (t) 5,190 198 321 Main Auxiliary Materials 93 Procurement (t) (t) (t) (t) (t) (t) Lead Nickel Manganese Chrome Copper Zinc Water 3 Manufacturers Main Raw Materials Production Logistics Sales OUTPUT in FY2014 Emission in Air Manufacturers (Sales offices) (t) (t) (t) (t) 60,111 4.3 4.6 4.1 489 CO2 Dust NOx SOx Service companies Manufacturers Discharge of Waste 3,504 0.0 2.7 Industrial waste Non-industrial waste Valuable substances Final disposal (t) (t) (t) (t) 8,003 184 6,015 312 (t) (t) (t) 66 212 0.1 Service companies (Sales offices) 76 143 48 39 1 Discharge of PRTR Target Chemicals Air Waste Public water Environmental Accounting in FY2014 Environmental Conservation Costs Category Main actions Breakdown Cost for premises Pollution control Global environment protection Resource circulation Product recycling Administrative duties Research and development Social activities Damaged environment recovery Other costs Total Introduction, purchasing and maintenance of facilities Introduction of facilities and equipment Reduction, recycling and outsourced disposal of waste (Thousand of yen) Capital Expenditures investment 99,454 387,938 67,453 108,780 23,475 82,492 8,525 196,666 0 8,019 Collection and recycling of used goods ISO-related works, environmental measurement and disclosure of environmental information Development of lead-free and other environmentally friendly products Promotion of greening activities Purification of underground water 0 66,464 0 89,785 0 337 6,000 730 0 105,454 0 553,273 Environmental Conservation Effects Category Effects related with input resources Effects related with output waste and pollutants Costs for environmental conservation Total operation costs (A) Total capital investment 2.9% against total operation cost (A) 3,687,433 Total R&D expenditures 1,935,935 4.6% against total operation cost (A) Results in FY2014 FY2014 less FY2013 Consumed total energies (GJ) Consumed PRTR materials (ton) 704,892 509,809 (195,083) 4,872 4,876 4 Consumed clean water (m3) Consumed underground water (m3) Greenhouse gas emission (ton-CO2) 346,197 138,703 (207,494) 602,742 252,455 (350,288) 76,227 60,232 (15,996) 306 278 (28) 8,393 8,216 (177) Discharged or displaced chemicals (ton) Discharged total waste (ton) Economic Effects of Environmental Conservation Activities (Thousands of yen) Details of effects Profits Total costs Results in FY2013 Numerical targets (Unit) Saved expenditures Earned from recycling waste and used products 415,466 Saved by energy saving activities 112,026 Reduced recycling expenditures 204,808 Saved by waste reduction Total 736,830 Scope of compilation is KITZ Corporation (Head Office, Nagasaka, Ina, Chino), KITZ Metal Works Corporation, KITZ Micro Filter Corporation, KITZ SCT Corporation, Shimizu Alloy Mfg. Co., Ltd. and KITZ Engineering Service Co., Ltd. 4 Amount 4,530 KITZ Group Environmental Report Digest 2015 Strengthening Overseas Environmental Management The KITZ Group formulated its “KITZ Global Vision 2020,” a Long-term ■ Business Offices That Have Acquired Integrated ISO 14001 Certification Management Plan, and places promotion of environment-responsive Name of business office business operations as a major item for strengthening its business KITZ Corporation Nagasaka Plant KITZ Micro Filter Corporation (Head office plant and second plant) 14001 certification. We will continue to make efforts toward the KITZ Corporation Ina Plant KITZ SCT Corporation establishment of global environmental management. KITZ Corporation Chino Plant Shimizu Alloy Mfg. Co., Ltd. KITZ Metal Works Corporation Toyo Valve Co., Ltd. Koshin Sales Office foundations. In the Environmental Mid-term Plan, we set out a target for all 16 production bases in Japan and overseas to acquire ISO ■ Status of Acquisition of ISO 14001 Certification (Overseas) Name of business office Spain (6) China (3) (4) Taiwan (1) Thailand (2) (5) Date of acquisition (1) KITZ Corporation of Taiwan November 2000 (2) KITZ (Thailand) Ltd. Bangplee Plant December 2010 (3) KITZ Corporation of Kunshan December 2010 (4) KITZ Corporation of Jiangsu Kunshan (5) KITZ (Thailand) Ltd. Amatanakorn Plant April 2011 February 2012 (6) KITZ Corporation of Europe, S.A. May 2012 Calculation Standards (Results in FY2014) Environmental performance index Calculation method Unit INPUT Energy amount consumed in business activities (GJ) Total energy input amount Raw materials input amount GJ OUTPUT * Source: Energy supply and demand results in 2013 (final) (published on April 14, 2015) Resources and Energy Agency Electricity: 3.6 MJ/kWh Bunker A: 38.9 MJ/R Kerosene: 36.5 MJ/R Light Oil: 38.0 MJ/R LPG: 50.1 MJ/kg City Gas: 40.3 MJ/m3 Gasoline: 33.4 MJ/R GJ Amount of cold and hot water, the heat source, accepted from local cooling and heating system for ventilation use at KITZ Head Office Building (Makuhari New City, Chiba) Ton Annual use amount of raw materials directly used for manufacturing of products (t) Use amount of water m Carbon dioxide (CO₂) emission amounts ∑[Each energy annual use amount x each unit calorific value] x 10-3 3 Annual use amount of clean water and underground water (m3) CO2 emitted from the energy used in business activities (t) * List of calculation method and emission coefficients in the calculation, report and publication system under the Law to Promote Global Warming Countermeasures Electric power (kg-CO2/kWh) Business activities Tokyo Electric Power Company, Incorporated: 0.530 Tohoku Electric Power Co., Inc.: 0.591 Bunker A: 2.76 kg-CO2/R Ton LPG: 3.01 kg-CO2/kg Cold/Hot Water: 0.057 kg-CO2/MJ Kansai Electric Power Company Co., Ltd.: 0.522 Hokuriku Electric Power Company, Incorporated: 0.630 Kerosene: 2.50 kg-CO2/R City Gas: 2.08 kg-CO2/m3 Chubu Electric Power Co., Inc.: 0.513 Hokkaido Electric Power Co., Inc.: 0.678 Chugoku Electric Power Co., Inc.: 0.719 Kyushu Electric Power Co., Inc.: 0.613 Light Oil: 2.62 kg-CO2/R Tokyo Gas: 2.19 kg-CO2/m3 Osaka/Kita Gas: 2.29 kg-CO2/m3 Gasoline: 2.29 kg-CO2/R Dust amount (t) = dust density (g/m3N) x dry exhaust gas amount per unit hour (m3N/h) x annual operation hours (h/year) x 10-6 SOx (t) = sulfur oxide density (ppm) x dry exhaust gas amount per unit hour (m3N/h) x annual operation hours (h/year) x 64/22.4 x 10-9 Waste NOx (t) = nitrogen oxide density (ppm) x dry exhaust gas amount per unit hour (m3N/h) x annual operation hours (h/year) x 46/22.4 x 10-9 Final disposed amount: consigned waste amount (t) x final disposal rate *(%) * General Waste: 10.7% quoted from the Ministry of the Environment, “Status of Discharge and Disposal of General Waste, etc. (Results in fiscal 2013)” Industrial Waste: figures obtained from intermediate waste disposal service responses Target Period: Target period was FY2014 (April 1, 2014 ~ March 31, 2015) and the results for the period are reported. Scope of Reporting: KITZ Corporation and six group companies in Japan (see website). Policy and Standards for Collection and Reporting of Environmental Performance Information: In compliance with environment-related laws and regulations, the report is published in accordance with the “KITZ Group Environmental Philosophy,” the “KITZ Group Environmental Action Guidelines,” the “KITZ Group Environment, Safety and 5 Health Performance Data Calculation Guidelines” and other environment-related internal regulations. Referenced Guidelines: The Ministry of the Environment, Environmental Report Guidelines (2012 Edition) The Ministry of the Environment, Environmental Accounting Guidebook (2005 Edition) Published: July 2015 Next publication: July 2016 (to be issued every year) KITZ Group Safety and Health Fundamental Philosophy KITZ places the highest priority on safety and health in all of its activities based on the principle of showing respect for people. Group companies conduct extensive safety and health programs with the goal of zero accident. KITZ Group Safety and Health Fundamental Policies 1. KITZ is dedicated to ensuring safety and health for all employees by complying with Japan’s Industrial Safety and Health Act and other associated laws and regulations as well as by adhering to internal rules and standards. 2. KITZ improves safety and health management by educating and training all employees with regard to the knowledge and skills needed for safety and health programs. 3. KITZ is dedicated to ensuring the safety of its machinery and equipment so that employees can do their jobs without concern. 4. KITZ reduces exposure to risk factors with the goal of eliminating potential sources of danger and harm to employees in workplaces. 5. KITZ maintains stimulating and pleasant workplaces that contribute to the mental and physical wellbeing of all employees. Take Preventive Steps and Improve Safety Awareness Through Group-wide Safety and Health Programs KITZ implements measures from the two perspectives of coordinated programs and thorough management by line managers (bottom-up approach via small group activities), with emphasis placed on changing the mindset of each person to improve safety awareness and reform workplace culture. KITZ has formulated the following key actions as measures for employee safety and health with the aims of taking preventive steps for safety and improving safety awareness. Develop a management system (comply with safety and health related laws and regulations) Implement safety measures for machines, equipment and people (prevent similar accidents) Create workplace culture (promote zero accidents) KITZ Group Safety and Health Activities Office safety activities Take preventive steps Develop a management system Create framework Make it visible KITZ Corporation Environmental and Safety Group Improve safety awareness Implement safety measures for machines, equipment and people Measures for equipment and environment Measures for people Create workplace culture Activate small group activities Introduce enlightenment programs 2040 Nagasaka Kamijo, Nagasakacho, Hokuto-shi, Yamanashi Prefecture 408-8515, Japan TEL: +81-551-20-4104 FAX: +81-551-20-4180 Website: http://www.kitz.co.jp/english/about/environment.html 6