CSR Information Supplement 2013 - AGC57 29 16 60 26 15 71 19 10 Eligible employees Respondents Response rate First survey (conducted in July 2005) 9,247 8,435 91% Second survey (conducted

2013

Index

CSR at the AGC Group �� 1

Organizational Governance �� 2

Human Rights and Labor Practices �� 4

The Environment �� 10

Fair Operating Practices and Consumer Issues �� 16

Community Involvement and Development �� 19

CSR Information Supplement

AGC Report

AGC Group Charter of Corporate Behavior

Vision and Charter of Corporate Behavior

Under the Group vision, , the AGC Group’s mission is to look beyond to make the world a brighter place. With this objective, the Group strives to be a company trusted by all of its stakeholders, a company that meets the expectations of the world business community to grow and develop responsibly, and a company that significantly contributes to a healthier global society. To this end, the Group has established the AGC Group Charter of Corporate Behavior and acts in line with the following principles.

Integrity: Sincere Behavior

1. TheAGCGroupwilldevelopandprovideusefulgoodsandservicesofsuperiorquality,givingdueconsiderationtosafetyandtheenvironment,andwillstriveforcustomersatisfactionandloyalty.

2. TheAGCGroupwill understandandcomplywithapplicable lawsand regulationsof thecountriesand regions inwhich itdoesbusinessandwillrespectinternationalnormsofbehavior.

3.The AGC Group will promote fair trade and conduct its operations in accordance with the principle of fair competition and allapplicablelawsandregulations.

4. TheAGCGroupwillmaintainsoundrelationshipswithgovernmentagenciesandotherresponsibleorganizations.TheGroupwillnotsupportanypersonorgroupthatthreatentheorderandsecurityofsociety.

5. TheAGCGroupwillproperlymanageandsafeguarditsownproprietaryinformation,intellectualproperty,andotherassetsandwillrespectthepropertyrightsandinterestsofothersincludingcustomersandbusinesspartners.

Environment and Safety: With Due Consideration

6.TheAGCGroupregardsenvironmentalconservationasanessentialresponsibilityofglobalcitizensandwillproactivelycontributetothedevelopmentofasustainablesociety.

7. The AGC Group will pursue technological innovations and new product developments that reflect due consideration for theenvironmentandwillparticipateinactivitiestopreservetheenvironmentandsafetyandsecurityatwork.

8.TheAGCGroupwillmaintain itsworkplaceswithaproper regard tooccupationalhealthandsafety for thepeople related to itsbusinessactivities.

Diversity: Respect for People

9. TheAGCGroupwillrespecthumanrightsandwilloperateitsbusinesswithdueregardfortheculturesandcustomsofeachcountryandregionintheworld.

10. TheAGCGroupwill respectpeople’sdiversecapabilitiesandpersonaldignityandwillcreate fairandopenenvironmentsat itsworkplaceswithoutdiscriminationbasedonrace,ethnicity,religion,nationality,gender,disability,oranyotherlegallyprotectedgroup.

11. TheAGCGroupwillnotengageinforcedlabororchildlaborandwillnottolerateinfringementsofhumanrights.

Harmony with Society: From “Responsibility” to “Reliability”

12. TheAGCGroupwillstrivetobeatrustedcorporatecitizen,fulfillingitsresponsibilitiestothecommunitiesinwhichitdoesbusiness.13. TheAGCGroupwillbuildproductiveandproperrelationshipswithbusinesspartnersandencouragethemtoadheretobusiness

principlesconsistentwithitsown.14. TheAGCGroupwill communicate responsiblywithcustomers, localcitizens,shareholders,employees,andothermembersof

societybygatheringtheiropinionsanddisclosinginformationinafairandappropriatemanner.

The managements of all AGC Group companies, recognizing that it is their responsibility to realize the spirit of this Charter, will take the initiative to achieve an understanding of the Charter within all Group companies, and at the same time, will seek its business partners’ cooperation.

The managements will also promote the development and implementation of systems that the principles stipulated in this Charter can be duly incorporated into the Group’s decision making and implementation.

In the case of any behavior contrary to the principles of this Charter, we will work to identify the cause and prevent a recurrence, making it clear to those inside and outside Group companies that the situation is being addressed diligently. We will take appropriate corrective and disciplinary actions when necessary.

(Established on June 1, 2007 and revised on May 10, 2012)

CommunityInvolvementandDevelopment

FairOperatingPracticesandConsumerIssues

TheEnvironmentHumanRightsandLaborPractices

OrganizationalGovernance

AGCReport2013CSR Information Supplement

CSR at the AGC Group

1

Executive Officers:27 Officers

General Meeting of Shareholders

Corporate Auditors: 4 Auditors(Including 3 OutsideCorporate Auditors)

Independent Accountants

GroupCorporate

Nominating Committee:4 Directors

(Including 3 Outside Directors)

Compensation Committee:4 Directors

Compliance Committee

Fair Trade Committee

Information Management Council

Security Export ControlHeadquarters


Board of Directors: 7 Directors

Management Committee

In-house Companies/Strategic Business Unit (SBU)1

1 SBU: AGC Ceramics3 In-house Companies: Glass Electronics Chemicals


CSR CommitteeInternal AuditOffice

Man

agem

ent

Ove

rsig

htB

usin

ess

Exe

cutio

n Gro

upC

orp

ora

teF

unct

ion

Bus

ines

sO

per

atio

nsF

unct

ion

Mut

ual C

oope

ratio

n

President & CEOSenior Executive Vice President &

Overall business managementExecutive Vice President &

Overall business managementSenior Executive Officer &

Overall business management

FY Attendance rate

2010 100%

2011 99%

2012 100%

EuropeanAuditingDivision

AGC Group companiesin Europe

Japan/AsiaAuditingDivision

AGC Group companiesin Asia including Japan

NorthAmericaAuditingDivision

AGC Group companiesin North America

Reporting ofaudit results, etc.

Evaluation, policy and planning, education, etc.

Monitoring, suggestedimprovements, etc.

Board of DirectorsGroup CEO,

Corporate Auditors

Internal AuditGlobal Leader

Regional Leaders(Europe)

Regional Leaders(Japan/Asia)

Regional Leaders(North America)

Attendance Rate of Each Director in Board of Director Meetings

Corporate Governance

Overview of Corporate Governance Structure

1AnIn-houseCompanyisdefinedasabusinessunitwithnetsalesexceeding200billionyenwhichconductsitsbusinessglobally.Atpresent,therearethreeIn-houseCompanies:theGlassCompany,theElectronicsCompanyandtheChemicalsCompany.BusinessunitssmallerthanthisaredefinedasStrategicBusinessUnits(SBUs).

Internal Audits

Internal Audit System Structure

(As of March 28, 2013)




CSRattheAGCGroup


Organizational Governance

2

Immediate reporting route for serious incidents of noncompliancePeriodic reporting routeMonitoring

Board of Directors

Group CEO(Chief Compliance Officer)

Global Compliance Leader(Executive Officer

in charge of Asahi Glass)

AGC Groupcompanies in

Europe

AGC Groupcompanies in Asiaincluding Japan

AGC Groupcompanies inNorth America

In-house Companies/Strategic Business Unit (SBU)

EuropeComplianceCommittee

Japan/AsiaComplianceCommittee

North AmericaComplianceCommittee

FY Number of employees subject to submission (percent of total)

2012 Approx� 40,000 (81%)

FY

Number of employees receiving online training

(e-learning)

Number of employees receiving classroom training1

in Japan in North America in Japan in North

America

2012 Approx� 12,000

Approx� 1,200

Approx� 3,200

Approx� 3,400

FY Number of consultations

2012 Approx� 550

Compliance

Items for AGC Group Code of Conduct Global Requirements

1. FoundationsforCompliance2. FairCompetitionandAntitrust3.WorkplaceHealthandSafety4. Environment5.RespectforPeople

Global Compliance System Submission of Personal Certification on the Code of Conduct

Compliance Training Results

Help Line Consultations

1NumberofemployeesreceivingclassroomtrainingdirectlyprovidedbytheComplianceCommitteesinEurope,NorthAmericaandAsiaincludingJapan(excludingemployeeeducationprovidedbyeachGroupcompany)

10. ConflictofInterest11. GiftsandEntertainment12. RelationswithGovernmentOfficials

andPoliticians13. InternationalTradeControls

6.QualityandSafetyofProductsandServices7. ReportsandRecords8. InsiderTrading9.CompanyandThird-PartyAssetsand

ConfidentialInformation

0% 20% 40% 60% 80% 100%

Intelligibility

Satisfactionof content

Integration of previous “AGC

Report” and “CSR Report”

Design

Excellent Very poor1 2 3 4 5

23 41 31 5

25

17 50 24 7 1

53 19 3

1

19 52 24 3 1

25%21%

2%

52%

Excellent Very poor1 2 3 4 5

Evaluation ofCSR activities

AGC Report and Website Feedback

Comments on AGC Report 2012 Evaluation of AGC Group CSR Activities

Responses through the AGC Report 2012 questionnaire: 144 (92 of which came from countries other than Japan) Opinions through the website: 404

NoteDuetorounding,thepercentagesumdoesnotamountto100%.




CSRattheAGCGroup


Organizational Governance

3

The AGC Group Human Resource Management Vision

AGC Group “7 Key Principles for People”

AGC Group wishes to purse these principles as the foundation of our “7 Key Principles for People” to maximize our performance as a truly global corporation.

Implementation of

AGC Group requires all employees to commit to our Shared Values of —Our four Shared Values: Innovation &OperationalExcellence,Diversity,Environment,andIntegrity.

Diversity for Organizational Competitiveness

AGCGroupbuildsteamsofdiversepeoplewhosupportourfourSharedValuesof andhavetheabilitiestocontributetoorganizationalcompetitiveness.

Development and Growth

AGCGroupencouragesemployeestogrowandprovidesthemwithopportunitiesforself-development.

Job Satisfaction and Pride

AGCGroupencouragesemployeestoachievetheirgoalssothattheyfeelasenseofprideandsatisfactionintheirwork.

Work Environment and Conditions

AGCGroupprovidesasafeandhealthyworkenvironment.

Open Communication

AGCGroupemphasizesopencommunicationintheworkplacetocreateabetterorganizationalclimate.

Evaluation, Recognition and Rewarding Performance

AGCGroupevaluatesandrecognizesemployeeswhocontributetotheorganizationandrewardstheircontributions.



TheEnvironmentOrganizationalGovernance

CSRattheAGCGroup


Human Rights and Labor Practices

4

By job type

North America 7.8%

Country/Region

Japan38.6%

Asia otherthan Japan28.5%

Professionalor office worker

21.3%

Manager 20%

Shop floor 50.7%

Executive 4.6%Not indicated 3.4%

Europe25.2%

Employee Engagement

Clear and Promising Direction

Leadership

Quality & Customer Focus

Respect & Recognition

Development Opportunities

Compensation

Employee Enablement

Performance management

Authority & Empowerment

Resources

Collaboration

Work Efficiency

Favorable (%) Neutral (%) Unfavorable (%)

61 1327

75 718

56 1728

76 519

52 1830

51 1534

41 3030

63 1324

61 1524

61 1525

57 1629

60 1526

71 1019

Eligible employees Respondents Response rate

First survey(conducted in July 2005) 9,247 8,435 91%

Second survey(conducted in November 2007) 40,100 31,126 78%

Third survey(conducted in November 2010) 39,055 31,729 81%

Type Number

Award 8

Excellent Quality Improvement Plant Award 6

Excellent Cost Reduction Plant Award 7

New Business/New Market Development Award 9

Excellent Business Support Award 18

Technical Innovation & Performance Award 28

KAIZEN Award 21

Enhancement and Transfer Technologies & Skills Award 7

Excellent Safety Plant Award 34

Environmental Contribution Award 8

Diversity Award 5

Integrity Award 3

Total 154

FY Number of Awards

2010 122

2011 145

2012 154

Respect for Human Rights and Sufficient Labor Practices

Respondents of ES Survey

Respondents by Region/Job (3rd ES survey)Results of the Third Employee Satisfaction Survey in Each Category

Commendations Awarded across the AGC Group and Numbers Thereof in Fiscal 2012 Total Number of Awards Won




CSRattheAGCGroup



5

50

90

80

70

60

100

(%)

(FY)2011201020092008

Asahi Glass Manufacturers (with 1,000 or more employees)

91.4 93.489.4

63.159.2 57.4 59.7

2012

91.488.9

FY No. of employees who took childcare leave No. of employees who took family care leave

2008 421 (Including 2 employees taking short-term leave) 2


2010 703 (Including 2 employees taking short-term leave) 4 (Including 2 employees taking short-term leave)


2012 825 (Including 2 employees taking short-term leave) 4 (Including 2 employees taking short-term leave)

FY Number of members1

Average age

Average length of service

2008 3,974 40�1 18 years and 4 months

2009 4,009 39�2 16 years and 11 months

2010 4,230 37�9 15 years and 4 months

2011 4,215 38�1 15 years and 6 months

2012 4,245 37�4 14 years and 6 months

Total Asia including Japan Europe North America

49,961 31,139 (62%) 14,899 (30%) 3,923 (8%)

Classification Male Female Total Percentage of females

Managers 1,899 96 1,995 4�8%

Non-managers

E Course1 808 119 927 12�8%

S Course2 2,869 65 2,934 2�2%

C Course3 14 504 518 97�3%

Subtotal 3,691 688 4,379 15�7%

Total 5,590 784 6,374 12.3%

NoteExcludingmanagers

Employees Taking Childcare/Family Care Leaves (Asahi Glass)

Average Percentage of Annual Paid Leave Used (Asahi Glass)

Data about the Labor Union (Asahi Glass)

Making the Most of Diversity

Number of Group Employees by Region

1ofwhichthreeemployeesweremale 2ofwhichthreeemployeesweremale3ofwhichtwoemployeesweremale4ofwhicheightemployeesweremale 5ofwhichfiveemployeesweremale

1AsahiGlassadoptsaunionshopsystemunderitslaboragreement.

Number of Employees (Asahi Glass) As of December 31, 2012, excluding those dispatched to other Group companies

(As of December 31, 2012)

1ECourse:Appliedtoemployeeswhowillpromotebusinessstrategiesandimplementenhancementmeasuresfortheirdepartmentsaskeypersons2SCourse:Appliedtoemployeeswhowillcontributetomanufacturingactivitiesbyacquiring,improving,andhandingdownmanufacturingtechnologiesandskills3CCourse:Appliedtoemployeeswhowillbeinchargeofconductingclericalworkaccuratelyandquickly

Respect for Human Rights and Sufficient Labor Practices




CSRattheAGCGroup



6

Male Female Total

Average age 40�6 38�3 40�3

Average length of service 17 years and 1 month 11 years and 11 month 16 years and 6 months

Average overtime working hours 19�0 hours/month (average for members of the labor union)

FYNumber of non-

Japanese graduates from Japan

Number of Japanese graduates from

abroad2

2010 4 2

2011 9 5

2012 9 0

FYNumber of

reemployed retirees

Number of retirees

Continuous employment

rate

2008 94 159 59�1%1

2009 70 176 39�8%2

2010 13 117 11�1%2

2011 73 132 55�3%

2012 82 122 67�2%

FY Proportion of female employees

2010 10�4%

2011 20�9%

2012 22�9%

FY Number of people with disabilities (actual number)

Employment rate

2008 105 1�95%

2009 104 1�97%

2010 105 1�98%

2011 104 1�94%

2012 107 2�00%

FY Number

2010 29,664

2011 24,259

2012 31,973

FY Annual training hours (hours/person)

2010 10�62

2011 8�42

2012 11�53

Employee-Related Data (Asahi Glass)

Number of Global Management Staff1 Recruited from Annually Hired Graduates Designated for Career-Track Positions, E Course (Asahi Glass)

Proportion of Women Recruited for Career-Track Positions, E Course from Annually Hired Graduates (Asahi Glass)

Continuous Employment Rate of Retirees (Asahi Glass) Employment Rate of People with Disabilities (Asahi Glass)

Employee Education

Number of Monozukuri Training Center Users Annual Per-capita Training Hours1 (AGC Group in Japan)

1InApril2008,anewcontinuousemploymentsystemwasintroduced.Asaresult,thecontinuousemploymentrateincreasedfromthelevelsinfiscal2007.

2Asaresultofimplementingarangeofemploymentmeasuresinresponsetotheeconomicrecessionthathittheworldinthefallof2008,thecontinuousemploymentratedecreasedfromthefiscal2008levelinfiscal2009and2010(non-managers).

1TraininghoursincludethehoursspentintheeducationontechnologiesandskillsandstratifiededucationalseminarsgivenattheAGCMonozukuriTrainingCenterbutdonotincludethehoursspentinthetrainingprovidedindependentlybyeachdepartmentorinexternaltraining.

2TraininghourshavebeenshortenedduetotheeffectsoftheGreatEastJapanEarthquake.


1Humanresourceswhoseachievementatagloballevelisexpected.2Japanesewhograduatedfromoverseasuniversity

Making the Most of Diversity




CSRattheAGCGroup



7

AGC Group CEO

President of eachIn-house Company/

Strategic Business Unit (SBU)

AGC Group Corporate

Each manufacturing plant/Group company department head

Manufacturing/Development departments, etc.

Health and safetydepartment ofeach In-houseCompany/SBU

Health andsafety department

Each businessdivision

Formulation of policies, medium term and annual planningCommunication of data about serious accidentsImplementation of education and internal audits, etc.

Reporting on occupational accidentsHandling and reporting of internal audit results, etc.

Environmental Safety and Quality Coordination Group

General Manager of the Group Corporate CSR Office Coverage Number of

certified plants

Asahi Glass 2

Group companies in Japan 6

Group companies in Asia other than Japan 12

Group companies in Europe 65

Group companies in North America 0

Total 85

(As of the end of December 2012)

Occupational Health & Safety

AGC Group Basic Occupational Health & Safety Policy

Basic PolicyTheAGCGroupwillmanage itsOccupationalHealthandSafety (hereinafter “OH&S”)under thepolicyof “NoProductionwithoutSafety”andallmanagerswillensurethattheOH&SpolicyshouldbeclearlyunderstoodandpermeatedthroughouttheGroupandthatalloftheemployeesshouldbeactivelyinvolvedinthepromotionofOH&Sactivities.

Guidelines for Occupational Health ActivitiesWewillactively implementOH&Sactivitiesbyaddressinganypossible issuesonoccupationalaccidentsand illnesses toachievecontinualimprovementinourOH&Sperformance,basedonthefollowingguidelines.

1. WewillenhancethelevelofourRiskAssessmentstopromoteeffectiveuseofourOHSMS.

2. Wewillcontinueourconventionalon-sitesafetyactivitieswithoutmakingthemmererepetitiveroutine.

3.Managerswilltreattheirsubordinateslikeafamilymemberandensuresafetyatworkplaces.Wewillpromoteintrinsicsafetyofequipment,andlookforcontinualimprovementintheworkplaceenvironment.

4. WewillimplementOH&Sactivitiesasapartofproductionlineactivities.ThedepartmentsinchargeofOH&Swillprovidenecessarysupportforlinemanagement.

5.WewillcomplywithOH&Srelatedlawsandrequirements.

6.WewillencourageproactiveemployeeparticipationinallOH&Sactivitiesthroughopen,honestandfairinteractionsandcommunicationatworkplaces.

(Established on February 9, 2001 and revised on March 29, 2013)

Health Management Policy

The AGC Group has established the following health management policy to be followed by its employees in conducting their business operations, to continuously create value for the world under the Group vision

Health consciousnessEmployeesrepresentoneofthemostimportantassetsfortheAGCGroup,andhealthisoneofthemostimportantelementsofthedailylivesofemployees.

Corporate support for employee healthTheAGCGroupwillactivelyimplementmeasurestomaintainandpromotethephysicalandmentalhealthofitsemployees,therebysupportingthemindrivingthegrowthoftheGroupbyfullydisplayingtheirindividualabilities,andinstrivingtoleadmeaningfullives.

Self-discipline by employeesEmployeesthemselvesmustbeawareoftheimportanceoftheirhealth,andtheymustmaintainandpromotetheirhealththroughself-discipline,takingresponsibilityfortheirownhealth.

NoteTheAGCGroupplanstoextendthisHealthManagementPolicyfromAsahiGlasstoGroupcompaniesinandoutsideofJapaninthefuture.

Occupational Health and Safety Management System Number of Plants Obtaining Third-Party Certification for OHSMS

(Established on March 1, 2007)




CSRattheAGCGroup



8

TypeJapan Group companies in Asia

other than Japan TotalMajor sites1

Fatalities 0 (0) 0 (0) 2 (1) 2 (1)

Accidents requiring leave 15 (18) 10 (3) 12 (7) 27 (25)

Accidents not requiring leave 22 (17) 14 (7) 4 (12) 26 (29)

Minor injuries Not counted 17 (22) Not counted 17 (22)

Total 54 (57) 41 (32) 18 (20) 72 (77)

0

15

10

5

20

(Number of accidents) Fatalities Accidents requiring leave

1314

2

15 17

(FY)2011201020092008

15

2012

0

20

15

10

5

(Number of accidents)

1216 1

7

(FY)2011

2

12

2012201020092008

2

Fatalities Accidents requiring leave

1

9

200

135

0

150

100

50


135179

138

(FY)2011201020092008

1

1

2 1

132

2012

3

20

16

0


1112 12

(FY)2011

14

2012201020092008

10

5

15

(Frequency rate)

Entire manufacturing industry Japan Chemical Industry Association membersAsahi Glass

0.10

1.120.99 0.98

0.420.48

0.220.31

0.17

0.17

1.20

0.00

0.80

0.60

0.40

0.20

1.00

(FY)

1.05

0.38

2011201020092008

0.35

2012

Number of Occupational Accidents

Japan Asia other than Japan

Europe North America

Number of Occupational Accidents in Fiscal 20121 (AGC Group in Asia including Japan)

Trend in Frequency Rate for Accidents Requiring Leave (Asahi Glass)

NoteTheassessmentcriteriaforaccidentsrequiringleavedifferamongAsiaincludingJapan,EuropeandNorthAmerica,whichdisablesthesimplecomparisonofthenumbersofoccupationalaccidentsamongeachregion.

NoteThefiguresinparenthesesrepresentthenumbersofoccupationalaccidentsinfiscal2011.NoteThefiguresincludetheemployeesofbusinesspartners.1ThenumbersaretotaledforAsahiGlassandsomeGroupcompaniesinJapan.

Occupational Health & Safety




CSRattheAGCGroup



9

1 Group company in Asia other than Japan

1 Group company in Japan

1 Group company in Japan

1 Group company in North America

President & CEO (Management)

Integrated EMR1 Glass Company

9 Group companies in North America9 Group companies in Europe

11 Group companies in Asia other than Japan

6 Group companies in Japan4 plants of Asahi Glass

Electronics Company



Chemicals Company



Production Technology Center 1 plant of Asahi Glass

1 site of Asahi Glass

Research Center 1 site of Asahi Glass

Purchase & Logistics Center1 Group company in Japan

AGC Ceramics 1 plant in Japan

Tokai Kogyo 2 plants in Japan

Engineering Center 1 plant of Asahi Glass

1 Group company in JapanCorporate Center 2 sites of Asahi Glass

RegionNo. of

manufacturing plants

No. of certified manufacturing

plants (No. of plants incorporated into

the Integrated EMS)

Asahi Glass 12 12 (12)

Group companies in Japan

89 74 (71)

Group companies in Asia other than Japan

33 32 (29)

Group companies in Europe

75 57 (8)

Group companies in North America

33 8 (8)

Total 242 183 (128)

Environmental Management

AGC Group Basic Environmental Policy

Basic Policy

The AGC Group has designated environmental activities as one of the Shared Values in the Group Vision, with the awareness of large amount of natural resources and energy usage in its activities.

As a global material and component provider, we shall contribute to the development of a sustainable society through:– effective use of limited natural resources and energy, and– consideration of the influence of our activities on the natural environment including climate change and biological diversity.

Slogan

Play your part as a responsible citizen in creating a better environment.

Guidelines for Environmental Activities

The AGC Group will implement environmental activities based on the following Guidelines throughout our business activities.1. WewillmakecontinuousimprovementsbasedontheIntegratedEnvironmentalManagementSystem.2. Wewillcomplywithallregulationsandstandardsprescribedbyenvironmentallaws,ordinances,treatiesandagreements.3.We will take steps to reduce environmental impact and to prevent pollution. We will set voluntary targets as regards resource

conservation,global-warmingcountermeasures,wastereductionandrecycling,andthepropercontrolofchemicals.Wewillworktoaccomplishthesegoalswhilemakingfurtherimprovements.

4. Wewilldevelopandprovideeco-consciousproducts,technologies,services,andfacilitiesforsocietyinallareasofouractivities.5.Wewillactivelycommunicatewithsocietytofosteranappropriateunderstandingofallaspectsofourenvironmentalactivities.

The AGC Group Basic Environmental Policy is disclosed to the public.

(Established on February 9, 2001 and revised on June 25, 2008)

Promotion Structure of Integrated EMS ISO 14001-Certified Manufacturing Plants (As of December 31, 2012)

NoteForplantsandGroupcompaniesbelongingtomorethanoneIn-houseCompany/SBU,theabovenumbersareindicatedperIn-houseCompany/SBUinduplication.

NoteOrganizationsincorporatedintotheIntegratedEMSareeachISO14001-certified,undergoingexaminationsbyanexternalcertificationbodybasedonthesameexaminationcriteria.

1EnvironmentalManagementRepresentative


NoteAsfornon-manufacturingsites,atotalof48locationsareISO14001-certified(includingtheIntegratedEMS).



HumanRightsandLaborPractices


CSRattheAGCGroup


The Environment

10

Global (Japan’s) GDP

Sales of AGC Group (Asahi Glass)

AGCEnvironmentalIndicator

SOC emissions in the world (Japan)

SOC emissions1 by AGC Group (Asahi Glass)

Economiccontribution

Environmentalimpact ratio

2.0

1.5

1.0

0.5

1.5

0

(FY)2011

1.2

2010

1.3

2009

1.4

2008

1.6

2012

Greenhouse gases

2.5

2.0

3.0

1.5

1.0

0.5

0

(FY)2011 2012201020092007

2.0

2.0 2.0

2.3

1.7 1.5 1.4 1.5

0.30.40.5 0.5

0.91.0

0.8

0.9

1.51.4

0.0 0.0 0.1

2.42.2 2.2

3.0

1.31.2

1.1

Total energy consumption Greenhouse gases COD Soot and dustCO2 Sent to landfill NOx SOx

2.5

1.6

1.7

0.50.8

0.0

3.3

0.9

Transportation Use Disposal

INPUT

Total energy consumption

38PJ1

Water consumption

28million m3

Fuel oil :350 million litersElectric power purchased: 2.48 billion kWh

Raw materials purchased

1.8million tons

OUTPUT

OUTPUT

Water Air

Greenhouse gases:

Chemical substancesRelease and transfer amount: 1,396 tons2

SOx:

NOx:

Soot and dust:

COD: 692 tons

Industrial wasteTotal generation: 169,000 tons

Products Sales:543.1billion yen

Was

te(in

tern

al r

ecyc

ling)

Circ

ulat

ion

of

cool

ing

wat

er

In-flight melting,all-electric melting,

etc.

Recycling: 169,000 tons

Recycling rate: 99.8%

Sent to landfill: 259 tons

CO2:

Development Manufacturing

Display glassFlat glass Automotive glass

Electronic materials

Chemicals Others

2.21 million tons

464 tons

2,480 tons

39 tons

2.14 million tons

Total wastewater volume: 20million m3

Industrial materials including silica sand, soda ash, salt, fluorite, and potassium chloride

Architectural laminated glass

Used fluorocarbons(Recycling)

AGC Environmental Indicator Calculation Method

Assessing Environmental Impact

AGC Environmental Indicator (AGC Group)

AGC Environmental Indicator (Asahi Glass)

Material Balance (Asahi Glass)

NoteDuetorounding,thepercentagesumforeachitemdoesnotnecessarilyamountto100%.NoteFordetailedenvironmentalperformancedata,pleaserefertopage12andonwards,andtotheEnvironmentsectionontheCSRwebsite.1PJ(petajoule)=1015J(joule)2TotalemissionsofsubstancesregulatedbythePRTRAct(infiscal2011)

NoteAtpresent,theGroupaimstomakeimprovementsbasedontheactualresultsinfiscal2007.

1SubstanceofConcern





CSRattheAGCGroup


The Environment

11

0

150

200

250

100

50

300

(PJ)

6,000

8,000

10,000

4,000

2,000

12,000

(1,000 tons-CO2)


Group companies in Japan Asahi Glass



0

1335

56

635

145

770

2,680

3,300

454

2,780

9,980

926

53

433

125

484

2,270

3,110

222

1,940

8,020

1029

63

538

145

563

2,050

4,220

220

2,160

9,220 650

2,450

4,510

221

2,020

1230

64

437

9,860

147

690

2,230

4,600

330

2,210

1027

69

638

10,050

150

(FY)2011 2012201020092008

(1,000 tons-CO2)

0

3,000

4,000

2,000

1,000

15,000

14,000

76

11,026

3,425 3,127122

2,040

125

1,820 1,940

(FY)2011

74

2,140

2012201020091990 1995

Fluorinated gases CO2

1.0

0.5

0

1.5

(GJ/1,000 tons-kilometer)

1.06 1.041.101.111.16

(FY)2011 2012201020092008

(t)

0

3,000

2,000

1,000

554

1,119

1,164553

606

94 1,203658

828

113 1,830130

446

1,129

950132

(FY)2010 201120092008

Asahi Glass: Emissions of PRTR substancesAsahi Glass: Transfer of PRTR substances

Group companies in Japan: Emissions of PRTR substancesGroup companies in Japan: Transfer of PRTR substances

0

2,000

1,000

3,000

4,000

0

(Index)

50

25

75

100

(FY)

1,850

100

2002 2009 2010 2011 2012

1,830 1,970 1,770

88.1

2,030

(1,000 tons-CO2)CO2 Index (Note)

Total Energy Consumption (Left) and Greenhouse Gas Emissions (Right)

Greenhouse Gas Emissions (Asahi Glass)

Energy Conservation and Reduction in Greenhouse Gas Emissions

NoteDuetorounding,thepercentagesumforeachitemdoesnotnecessarilyamountto100%.

FY Fluorinated gases

2011 125,000 tons-CO2

2012 96,000 tons-CO2

Per Unit Change of Energy Consumption in Logistics

Emission of Greenhouse Gases Other than CO2 (AGC Group)

Emissions and Transfer of Substances Regulated by the PRTR Act (AGC Group in Japan)

Chemical Substances Management

CO2 Emissions (AGC Glass Europe)

NoteIndexedwithfiscal2002CO2emissionsasthestandard(100).





CSRattheAGCGroup


The Environment

12

(Million m3)

150

120

90

60

30

0

123

21

27

19

27 27

20

27

20

4648 47 4727

21

48

(FY)201220112010200920081998

Asahi GlassGroup companies in Japan

0

3,000

2,000

1,000

4,000

(t)

3,0902,630 2,680 2,580 2,480

(FY)2011 2012201020092008

0

3,000

2,000

1,000

4,000

(t)

3,500

2,430 2,240

1,440

(FY)2011

960

2012201020092008

0

30,000

20,000

10,000

40,000

(t)

37,40039,900

30,90028,100

(FY)2011

31,000

2012201020092008

0

15,000

10,000

5,000

20,000

(t)

10,70012,60012,200

17,800

(FY)2011

11,400

2012201020092008

100

80

60

40

20

(FY)

0

(Index)

7

5

12

9

6

3

15

1998 2008 2009 2010 2011 2012

31

100

0

7 67

12

(Million m3)

Total Wastewater Index (Note)

0

(Million m3)

40

50

30

10

20

60

29 28 29 27 28

29

57

(FY)2011201020092008 2012

Asahi GlassGroup companies in Japan

NoteIndexedwithfiscal1998totalwastewatervolumeasthestandard(100).

Total Amount of Wastewater (AGC Group in Japan)

Water Resource Usage

COD Emissions (AGC Group)

Pollution Prevention

Soot and Dust Emissions (AGC Group)

NOx Emissions (AGC Group)SOx Emissions (AGC Group)

Total Amount of Wastewater (AGC Glass Europe) Water Intake Volume (AGC Group in Japan)





CSRattheAGCGroup


The Environment

13

0

6

4

2

8

(Incidents)

6

5

7

8

(FY)2011

5

2012201020092008

0

90

92

94

96

98

88

86

100

(%)

0

30

40

50

60

70

20

10

80

(1,000 tons)

3235

58

41

41

31

6

8

2550.3

25

96.2

2012

AGC GroupGroup companies in Japan Asahi Glass

Recycling rate [AGC Group]Recycling rate [Asahi Glass]

96.8

99.596.9

99.6 99.5 99.8

(FY)2011201020092008

Industrial Safety & Security

Changes in Number of Small Fire Incidents (Asahi Glass)

AGC Group Basic Industry Safety & Security Policy

The AGC Group, in the pursuit of carries out the following activities for industrial safety & security under the principle that industrial safety and site safety are part of its responsibility towards the local community as a corporate citizen.

1. TheAGCGroupshallcomplywithall laws,ordinances, treatiesandstandardsetc.concerningindustrialsafetyandsecurities,bothnationallyandlocally.

2. TheAGCGroupshallcarryoutactivitiesforindustrialsafety&securitytopreventaccidentsordisasterfromoccurring,andshallstriveforcontinualimprovement.

3.TheAGCGroupshallmakeeffortstocommunicatewithstakeholderssuchasthelocalcommunity.

(Established on February 7, 2003 and revised on March 28, 2008)

Waste Sent to Landfill and the Recycling Rates

Waste Reduction





CSRattheAGCGroup


The Environment

14

(Millions of yen)

0

3,000

2,000

1,000

4,000

7,000

6,000

5,000

10,000

8,000

9,000

45%

58%

21%

22%

66%

2%10%

22%40%

15%83%1%4%11%

41%

7%

52%

9,856

4,044

6,165

2,943

8,048

(FY)2011 2012201020092008

Pollution preventionUpstream/downstream R&DGlobal environmental conservation

Resource circulation

0

4,000

8,000

12,000

24,000

16,000

20,000

(Millions of yen)

43%

3%3%8%7%

35%

64%

4%3%3%4%

21%

49%

5%4%10%

26%

5%

59% 64%

3%4%7%

19%

3%

4%4%5%3%

25%15,711 15,949

20,214

18,10317,309

(FY)2011 2012201020092008

Pollution preventionAdministrationUpstream/downstream

R&D

Global environmental conservationResource circulation

Social activity

Item Investment Cost

(1) Business area 4,722 5,070

Breakdown (1)-1 Pollution prevention 567 3,356

(1)-2 Global environmental conservation 4,155 488

(1)-3 Resource circulation 0 1,226

(2) Upstream/downstream 0 641

(3) Administration 0 495

(4) R&D 3,326 11,095

(5) Social activity 0 8

(6) Environmental remediation 0 657

Total 8,048 17,966

ItemChange in

environmental impact2

Simple Y-to-Y

change

Sales-corrected change3

Total energy consumption 1 PJ 3% 3%

CO2 emissions 200,000 t 10% 11%

Greenhouse gas emissions 190 tCO2 9% 10%

Waste sent to landfill –553 t –68% –71%

COD emissions 62 t 10% 10%

SOx emissions –10 t –2% –2%

NOx emissions 40 t 2% 2%

Soot and dust emissions –6 t –13% –14%

Effect on upstream/downstream cost

Recycling of packaging materials for products’ shipment

(Actual benefits listed in table below)

Other environmental conservation benefits

Benefits associated with transportation and other operations (not measured by Asahi Glass)

Benefit Value

RevenueRevenue from the recycling of used products and waste from core business operations

591 (418)

Cost reduction

Effects of energy saving 1,821 (1,354)

Lower waste treatment costs due to resource saving/recycling 233 (284)

Environmental Conservation Cost

Environmental Accounting

Breakdown of Environmental Investment

Breakdown of Environmental Cost

NoteThebreakdownfiguresdonotalwaysadduptothetotalbecauseofrounding.

NoteEnvironmentalremediationcostsareexcludedfromtheabovesummationbecausethemethodofallocatingcostandinvestmentdiffersdependingontheyearofcalculation.


Environmental Conservation Benefits1

Economic Benefit Associated with Environmental Conservation (Actual Benefit)

1ChangeinenvironmentalimpactandsimpleY-to-Ychange:Apositivefigureindicatesanincreaseandanegativefigureindicatesadecreaseinenvironmentalimpactfromthepreviousfiscalyear’slevel.

2Changeinenvironmentalimpact=(Fiscal2012outputvolume)–(Fiscal2011outputvolume)

3Sales-correctedchange=SimpleY-to-Ychange/Y-to-YsalesratioAsahiglassY-to-Ysalesratio=(Fiscal2012sales)/(Fiscal2011sales)=5,431/5,605=0.96

(Millions of yen)

NoteNumbersinparenthesesarefiguresfromfiscal2011.

(Millions of yen)

NoteEnvironmentalremediationcostsareexcludedfromtheabovesummationbecausethemethodofallocatingcostandinvestmentdiffersdependingontheyearofcalculation.


Scope of data: Asahi Glass Target period: January 1 to December 31, 2012





CSRattheAGCGroup


The Environment

15

Legal support and request for improvement

Board of Directors

CEOIn-house Companies/

Strategic BusinessUnit (SBU)

Group General Counsel(GM, Legal Office of AGC)

Regional General Counselfor Europe


(GM, Legal, European Regional Headquarter)

Regional General Counselfor Japan/Asia

Group companies in Japan/Asia

(GM, Legal Office of AGC)

Global LegalConferencemembers

Regional General Counselfor North America


(GM, Legal, North AmericanRegional Headquarter)

Serious disputes and litigations are reported

upon occurrence,and the progress thereof is

reported every month

Periodic reporting

FY Asahi Glass Group companies in Japan




2010 6,100 3,400 3,300 4,400 1,600

2011 4,400 3,700 3,500 4,000 1,500

2012 4,900 4,000 3,800 1–1 900

FY Number of employees receiving online training (e-learning)

Number of employees receiving group training Number of internal audited sites

2012 Approx� 5,900 Approx� 2,900 46 Group companies and divisions

Fair Operating Practices

Global Legal Management System

Measures Implemented in Fiscal 2012 to Prevent Noncompliance with Antitrust Laws

Self-Checks on Information Security

NoteApproximatefigures1DuetoarevisionintheGroup’sITsecuritypolicy,self-checkswerenotcarriedoutatGroupcompaniesinEurope.




CSRattheAGCGroup


Fair Operating Practices and Consumer Issues

16

Name Target Theme

Number of times held Number of participants

In Japan Other countries In Japan Other

countries

CS Dialogue Mainly managers Business administration incorporating the concept of CS 5 3 28 15

CS Seminar, etc. Managers and general employees Basics and tips for CS 12 2 325 40

Promoting social responsibility across the supply chain

AGC Group Purchasing Policy

AGC Group values the idea of the Group Vision and the “AGC Group Charter of Corporate Behavior” and will regulate our performances on purchasing which are explicitly stated in the following “AGC Group Purchasing Policy”.

1. Basic Purchasing Principle

1. Fair & Equitable tradeOurprocurementpolicy is toconsistently search for innovative technologies,productandserviceswitha “Fair” and “Equitable”mannerglobally.

2. Compliance to related Laws & Regulations, and Pro-environment behaviorAGCGroupwillcomplywiththeapplicablelawsandregulationsofeachcountrywhereourprocurementtakesplace,andgivedueregardtosafetyandenvironment.

3. PartnershipAGCGroupwillestablishalong-term,mutualprosperouspartnership,basedonoursharedvision,toproduceabetterproductwithourbusinesspartners.Tothisend,weshallendeavortokeepclosecommunicationwithourbusinesspartnerstobuildandenhanceourtrustingrelationship.

4. Protection of information, intellectual property and other assetsAGCGroupwillproperlymanageandprotecttheproprietaryinformation,intellectualpropertyandassetsofourbusinesspartnerswhileprocuringgoodsandservices.

2. Criteria for Selecting Business Partners

AGCGroupwillapplykeycriteriatoevaluateandselectbusinesspartners,asfollows.1. Soundmanagement,SteadysupplyandFlexibilitytomatchwiththefluctuatingdemand.2. AppropriateQuality,Pricing,Deliverydatepunctualityandtechnicalservicelevel.

3. Expectation of Business Partners

TheAGCGroupstrivestobeacompanytrustedbyallitsstakeholders,acompanythatmeetstheexpectationsoftheworldbusinesscommunitytogrowanddevelopresponsibility,andacompanythatsignificantlycontributestoahealthierglobalsociety.

Essentially,CSRactivitiesareperformedonvoluntarybasisinitiatedbyeachindividualcompany.However,fortheAGCgroup,topursuetheCSRpolicy,itisimperativeforallthesupply-chainlinkedcompaniestopursuetheirindividualCSRactivitiesaswell.Accordingly,toenableustojointlyworkwithourbusinesspartners,wekindlyaskourpartnerstounderstandourpolicyandtocooperate.

ThefactorsrelatedwithourBusinessPartnersare,1. Concentrate to supply products and services with good quality, considering Safety & Environment and Compliance to Laws &

Regulationsofeachcountry.2. SecureandpropermanagingofProprietaryinformationandIntellectualproperty.3.Nottobeengagedtoforcedlabororchildlaborandnevertolerateinfringementsofhumanrights.4. Makeeffortstoenvironmentpreservationandensuringsafetyandsecurity.5.Maintainadequatelevelofoccupationalhealthandsafety.

Customer Satisfaction (CS)

Number of Participants in CS Related Training Given in Fiscal 2012 (AGC Group in Asia including Japan)

(Established in 2009)




CSRattheAGCGroup



17

AGC Group CEO

Head of each In-house Company/Strategic Business Unit (SBU)

AGC Group Corporate

Heads of Business Units andGroup companies

Manufacturing/Developmentdepartments

Quality assurancedepartments

Reporting serious product accidentsSubmitting a list of legal and regulatory requirements for products

Quality auditsQuality compliance education

Quality and CS Secretariat, Environment, Safety & Quality General Group

General Manager of the Group Corporate CSR Office (CQMR1)

DQMR2 ofeach In-houseCompany/SBU

Location Number of certified organizations

Japan 31

Asia other than Japan 23

Europe 65

North America 13

Total 132

0

150

100

50

200

(Persons)

(FY)20111201020092008

38

29

102

4

131

41

19

1

5

66

15

88

2

218

40

2012

7

214

78

Fourth degreeFirst degree Second degree Third degree

FY Number of cases

2008 3

2009 0

2010 0

2011 0

2012 1

Quality Assurance

AGC Group Basic Quality Policy

Quality Management System Acquisition of ISO 9001 and ISO/TS 169491 Certification

Basic Policy

The AGC Group will continue to create the expected value by pursuing “Innovation & Operational Excellence” as one of the Shared Values in the Group Vision .

Guidelines for Quality Activities

Having “Incorporating the concept of CS into daily work processes” as the fundamental of our businesses, we will act to gain trust from our stakeholders including customers, based on the following guidelines.

1. Wewillprovideproductsandservicesthatconformtotherequirementsoflaws,regulations,andcustomers.

2. Wewillensureandimprovethequalityofourproductsandservicesincludingappropriateconsiderationtosafetyandenvironment.

3.Weallwillparticipateinthecontinualimprovementofeffectivenessandefficiencyofourqualitymanagement,andeachofuswillindividuallystrivetoenhancethevalueofourwork.

4. Inordertoensurethattheabovepointsarematerialized,eachwillestablishindividualpolicyandtarget,andimplementthePDCAcycle.

NotePercentageofAGCGroupemployeesatthecertifiedorganizations:81.3%

1Standardsforqualitymanagementsystemstobeappliedintheautomotiveindustry,whichrequirescompliancewiththeglobalprocurementcriteriaforautomotiveparts

(As of the end of December 2012)

1CQMR:Corporatequalitymanagementrepresentative2DQMR:Divisionqualitymanagementrepresentative

Number of Employees who Passed the QC Certification Examination (AGC Group in Japan)

Change in the Number of Reported Serious Product Accidents (AGC Group in Japan)

1Onlyonequalitycontrolcertificationexamwasheldin2011duetotheGreatEastJapanEarthquake,whichexplainsthereductioninnumberofthosewhopassedtheexamcomparedtofiscal2010.

(Established on September 8, 2004 and revised on March 29, 2013)




CSRattheAGCGroup



18

34%

Harmony with local communities

Total

383.7 million yen

Others 7%Naturalenvironmentconservation13%

Support forthe next generation

45%

Category Amount Rate

Support for the next generation 172�9 million yen 45%

Harmony with local communities 132�3 million yen 34%

Natural environment conservation 50�6 million yen 13%

Others 27�9 million yen 7%

FY Amount

20101 525 million yen

20111 814 million yen

20121 383�7 million yen

Social Contribution Activities

AGC Group Social Contribution Basic Policy

Expenditures in Fiscal 2012 for Social Contribution Activities

Financial Expenditure on Social Contribution Activities for Fiscal 2012 and its Breakdown

Total Financial Expenditure on Social Contribution Activities

In its AGC Group Charter of Corporate Behavior, the AGC Group declares it will “strive to be a trusted corporate citizen, fulfilling its responsibilities to the communities in which it does business.” To achieve this, we conduct social contribution activities in three priority areas.

Priority Areas

1. Support for the Next GenerationWe,asacreatoroffuturevalue,supportthedevelopmentofchildren,whowillcarrythefuture,helpingthemtoliveouttheirdreams.

2. Harmony with Local CommunitiesWe,asamemberofthecommunitiesinwhichweoperate,contributetotheirsustainabledevelopment.

3. Natural Environment ConservationWe,asaglobalenterprise,contributetothesolutionofglobalenvironmentalproblems.

NoteDuetorounding,thepercentagesumdoesnotamountto100%.

(Established on February 10, 2010)

Scope of Report

Fiscal2012(Jan.—Dec.2012)Some information includescontent fromfiscal2011andbefore,aswellasfromfiscal2013.

Organizations Covered in the ReportAsahiGlassandits202consolidatedsubsidiaries(Groupcompanies)inandoutsideJapan

Primary Notation and Report Targets Used in the Report•The AGC Group........................... Sameas“OrganizationsCoveredinthe

Report”mentionedabove•The AGC Group (Japan).............. Domestic(Japan)Groupcompanies

includingAsahiGlassCo.Ltd.•Asahi Glass/the Company........... AsahiGlassCo.Ltd.(onan

unconsolidatedbasis)•The AGC Group (Asia)................. GroupcompaniesinAsiaexcludingthe

AGCGroup(Japan)

www.agc-group.com/en/

1-5-1, Marunouchi, Chiyoda-ku, Tokyo 100-8405, JAPANCSR OfficeTel: +81-3-3218-5282Fax: +81-3-3218-7801E-mail: [email protected]

Published in June 2013(Next report scheduled to be published in June 2014)

1DuetoexpendituresrelatedtotheGreatEastJapanEarthquake,theamountiscomparativelygreaterthanotheryears.




CSRattheAGCGroup


Community Involvement and Development

19

Documents

CSR Information Supplement 2013 - AGC57 29 16 60 26 15 71 19 10 Eligible employees Respondents Response rate First survey (conducted in July 2005) 9,247 8,435 91% Second survey (conducted