EnvironmentalProgressReport1998 - Fuji · PDF fileEnvironmentalProgressReport1998 Fuji Xerox Environmental Progress Report ... 11 Energy Management, Emission Control ... management

Environmental Progress Report 1998Fuji Xerox Environmental Progress Report 1998

Stance on the Environment1 Introduction2 Corporate Philosophy and Environmental Policy

Objectives and Systems3 Environmental Management and Quality Management4 Basic Position on Environmental Issues5 Environmental Improvement Systems6 Environmental Management Systems

Implementation and Results7 Development of Environment-friendly Products9 Product Recycling

11 Energy Management, Emission Control13 Waste Management15 Green Office Activities16 Voluntary Environmental Countermeasure17 Efforts of Affiliated Companies18 Environmental Enlightment and Education

Social Relevance19 Community Activities20 Environment Awards21 History of Environmental Conservation Activities

Corporate Profile22 Company Outline

Chapter 1 Stance on the Environment1

Chapter 1 Stance on the Environment

I n t r o d u c t i o n

Masamoto Sakamoto President, Fuji Xerox

Fuji Xerox has identified the environment as one of the mostimportant issues of corporate management and the company hasbecome actively involved in environmental conservation andpreservation activities. Our "mission statement" and "sharedvalues" were set forth in January 1998 as the foundation of theFuji Xerox philosophy for the 21st century and as amendments tothe former Corporate Philosophy and Action Guidelines. The environment is now designated, along with customersatisfaction, as one of our most important aims.

As we continue to supply our customers with "green" productswhich use fewer resources and energy, the entire company isstriving to reduce waste to zero (nolandfill waste) and to preservethe environment. One example of these efforts is the constructionof a resource circulation system based on the reuse of the parts inour products. The goal of this project is to achieve waste levels ofzero at our manufacturing sites.

In fiscal 1998, significant advances were made in connection withthe implementation of a resource circulation system. These includeincreased volume of reused parts, product design for the reuse ofparts using recycled copiers as resources and recycling of plasticmaterials. As a result of these efforts, Fuji Xerox has receivedmuch recognition and has also been awarded the MinisterialAward for Activities to Prevent Global Warming by theEnviromental Agency.

Furthermore, our goal of "zero waste" at all Fuji Xerox businessplants in Japan also has received attention. There are numerousenvironmental issues requiring cooperation and dialogue betweencompanies, such as measures to prevent global warming andPRTR (Pollutants Release and Transfer Register). Recognition ismade that the severity of these problems is increasing, and FujiXerox will continue striving to be among the most progressivecompanies with regard to environmental conservation andpreservation.

Please take a moment to read our "Environmental ProgressReport 1998." We hope it will help you gain an understanding ofthe efforts and activities of Fuji Xerox in connection withenvironmental conservation and preservation. We welcome anyquestions, comments or suggestions you may have.

M i s s i o n S t a t e m e n t

We, the Fuji Xerox Group, will strive to;

Build an environment for the creation and effectiveutilization of knowledge,

Contribute to the advancement of the globalcommunity by continuously fostering mutual trustand enriching diverse cultures, and

Achieve growth and fulfillment in both ourprofessional and personal lives.

Values

Customer Satisfaction

Environmental Consciousness

High Ethical Standards

Scientific Thinking

Professionalism

Team Spirit

Cultural Diversity

Trust and Consideration

Joy and Fulfillment

Adventurous/Pioneer Spirit

What we va lue

C o r p o r a t e P h i l o s o p h y a n d E n v i r o n m e n t a l P o l i c yAwareness of our role as members of the global community is an absolute necessity of corporate management

Chapter 1 Stance on the Environment

Chapter 1 Stance on the Environment 2

Since the company was founded in 1962, Fuji Xerox hasexpanded its range of products from copiers to informationtechnology products and to document services. In carrying out allof these business activities, Fuji Xerox has always been committedto maintaining harmony with environmental conservation andpreservation.

Beginning with our efforts to manage and improve productionprocesses in order to reduce pollution, the company has recognizedthe growing importance of environmental protection. As the socialand global significance of these issues increases, the entire FujiXerox Group is striving toward its goal of improving theenvironment.

Previous environmental conservation and preservation activitiesinclude the following.>>1985 Establishment of an "Environmental Safety

Council" as corporate-wide body and nomination of an official in charge of environment-related issues

>>1991 Establishment of the "Basic Fuji Xerox EnvironmentalPolicy"

>>1996 Revision of the above policy to coincide withimplementation of ISO 14001 Certification

(environmental management system)The starting point for this basic policy is the fact that corporate

activities create a burden on the environment and the awarenessthat easing of this burden is one of the most importantresponsibilities of corporate management. The position of thecompany with regard to environmental activities can be expressedas follows: we use resources from the Earth, we carry out businessactivities and we dispose of the waste.

Companies obtain resources from the Earth and create productsor services by adding value to those resources. The process ofadding value creates a burden on the environment, and, once theproduct has been consumed, various additional environmentalissues arise, such as waste disposal. Reducing the burden on theenvironment of its production processes, effective use of preciousresources and eliminating waste are considered indispensable tocorporate management. The policies of Fuji Xerox with regard tothe environment are reflected in the company's development ofenvironment-friendly products, recycling activities, "zero waste"waste reduction efforts and energy consumption reductionactivities.

While environmental preservation and conservation efforts areissues for the entire company, these are also issues of globalimportance. Consequently, dialogue and exchange on each positionis absolutely necessary in order to devise effective policies. At FujiXerox, each manufacturing plant creates detailed environmentalpolicies suited to its particular conditions, deals with various plant-specific issues and strives to produce consistent results.

Aiming for harmony between corporate activitiesand the environment

Basic Fuji Xerox Environment PolicyFuji Xerox recognizes the importance of environmental preservation and conservation, devotes energy andattention to maintaining harmony between corporate activities and the environment, and, through thecollective effort of all its employees, the company works to embrace a wide ranging global perspective, toreduce its impact on the environment and to preserve and conserve the environment.

1. Environmental regulations shall be observed for all business activities, and all efforts shall be made to protect the environment and health and safety from harm or impairment.

2. The environmental impact of all business activities shall be evaluated, and consistent efforts shall be made to reduce consumption of resources and energy.

3. Efforts shall be made to develop and introduce advanced technology for environmental preservation and conservation and to reduce further the burden on the environment.

4. Active participation shall be made in environmental preservation and conservation efforts, and these efforts shall be made in cooperation with the communities.

5. Adequate consideration of the environment shall also be taken with regard to business activities in foreign countries.

6. The company shall strive to further improve and reinforce the environmental management systems through the use of such tools as environmental evaluations and appraisals.

Chapter 2 Objectives and Systems3

Chapter 2 Objectives and Systems

E n v i r o n m e n t a l M a n a g e m e n t a n d Q u a l i t y M a n a g e m e n tImproved compatibility between the business planning and the environment

On the occasion of the New Xerox Committee (NX Committee)held in 1993, Fuji Xerox decided to adopt a new attitude toward itsbusiness, shifting from former focus on the pollution control in themanufacturing plants to a new focus on the approach of theenvironmental preservation and conservation as a key issues tobusiness planning.

The following four points were proposed during the NXCommittee.(1)Adoption of the global environmental issues by the corporate-

wide steering council(2)Making an environmental management system centered on

ISO 14001, as the environmental management standardfor the entire company

(3)Adoption of the "green" product concept(4)Establishment of a mid-term plan for the environment

as part of the corporate mid-term business plan as well asan annual plan for the promotion of enviro mental issuesA detailed proposal for consolidation of the environmental

management system was approved, and a quality management

and an ecology management were established with equal levels ofresponsibility. In addition, the goal of becoming a "socio-company"was established.

With a quality management, Fuji Xerox is able to providecustomers with products for which the quality is assured.Moreover, these products are manufactured in accordance withquality control activities in manufacturing process withestablished quality control systems. One result of this effort isimproved customer satisfaction. Similarly, the ecologymanagement allows the company to provide consumers withenvironment-friendly products, produced in a manufacturingprocess with an established environmental preservation andconservation system. The ecology management contributes toimproved customer satisfaction and community satisfaction andhelps the company provide a social profit.

It is the objective of Fuji Xerox to strengthen the foundation ofthe "socio-company" as a concept which brings together qualitymanagement and ecology. The functions of the qualitymanagement and the ecology management have already becomeinterdependent. The Corporate Quality is responsible for qualitymanagement, while the Corporate Ecology and Safety is in chargeof environmental management.

Establishment of a mid-term plan for theenvironment as a part of the mid-term business plan

Total assets profitability

Customer satisfaction

Quality management

Manufacturing plant Product

Employee satisfaction

Social profit

Community satisfaction

Environmental management

Eco-plant Eco-product

Ecologically minded employees

Quality management Ecology management

Socio-Company

Bas ic Pos i t ion on Envi ronmenta l I s suesStrategies and objectives for the embodiment of the ideals


Chapter 2 Objectives and Systems 4

Fuji Xerox aims to be a company that contributes to theenvironment, and the company has identified global warming,energy conservation and saving of resources as issues for mid-termplanning. A test calculation of the annual power consumption ofthe entire company indicated a total power consumption ofapproximately 220 million kWh for consumer products. At thesame time, power consumption at production plants, corporateheadquarters, and offices was also approximately 220 millionkWh. Reducing these consumption levels is one company goal forthe year 2000. With regard to reducing energy used in productdevelopment and manufacture, the assistance of the design andengineering departments has also been enlisted.

As the result of product recycling and various efforts on the partof the business plants to reduce waste to zero (landfill wastereduction to zero), significant improvements have been made inconnection with reduced consumption of resources.All business plants aim to reduce waste further by limiting the sizeand number of parts at the product design stage.

In order to realize a "sustainable" soceity rather than aconventional "straight-line" soceity, Fuji Xerox makes use of aneffective "closed loop" system. The company produces parts byadding value to raw materials, and the company's products aremanufactured by adding further value. This process of addingvalue, however, also causes a strain on the environment. If usedparts could be reused in their same form, this environmentalburden could be minimized. Parts can be recycled as well. Whenrecycling parts into new parts is not possible, used parts can berecycled for use as raw materials.

At Fuji Xerox, the development of environment-friendly productsincorporates emphasizing the ecological manufacture of productsin the design and development stages as well as ecology in the userenvironment. Of course, product safety is an absolute necessity,and consideration of the environment is an additional advantage.

Test calculation the corporate-wide environmentalimpact

Environment-friendly products

The ''Closed loop'' concept

Closed loop

ReusePartsreuse

Material recycled

Assemblyparts

WasteDisposalProductParts Materials

Reduced size

Ever newness

Durability

Safety

Reassemblability

Material recyclability

Disassemblability

Reduced numberand size of parts

Environment-friendly Products

WashabilityReuse

Human Interface [comfort, operations]H I

(noise, odor, heat, dust)NOHAD

Reduced useof resources

Energyconservation

Usingenvironment

Reducedmaterials use

Long-lifeproducts

Electrical safety

Mechanical safety

Material safety

Product safety

Economicaluse of space

Minimal wastedisposal

Reduced energyconsumption

Strategy:

Goal:

Creation of "green" products (materials/parts/consumption parts/packaging)

Reduction of the total volume of resources for the products

Reduced weight

Environmental impact of the entire company 　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　　(test calculation)

10% reduction (compared to the immediate

predecessor)

27,000 t-C (225 million kWh)

117% reduction: Compound interest 3% with the basic unit for 1994 as the principal

(manufacturing plants)28,000 t-C

(223 million kWh)

Targets for 2000For 1998

Zero t1,800t

Increased sales of recycled paper by 5%

(encourage to use Duplex)

83,200t-C

Zero t190t

18,000t (steel: 11,000 t, plastic: 4,000 t, other: 3,000 t)

10% reduction (compared to the immediate

predecessor)Used rawmaterials

Landfill quantity

Paperconsumption

Landfill quantity(non recyclable

resources)

Recycling ofresources

Environmentaltrends

Global warming,conserving energy

Energyconsumption

Products

Businessentity

Total CO2 emissions

As the company continues to maintain quality assurance, FujiXerox is promoting "zero waste" and the recycling and reuse ofresources as the foundation of its closed loop concept.

Chapter 2 Objectives and Systems5


E n v i r o n m e n t a l I m p r o v e m e n t S y s t e m sEstablishment of new systems and respond to diversified issues

The organization responsible to promote environmentalpreservation and conservation have developed and changed overthe years in accordance with changing conditions and necessities.>>October 1986 The Safety Center becomes independent from

the Engineering Management Department>>October 1988 Creation of the Safety Center as part of the

Quality Assurance Department and as a function similar tothe above-mentioned center, but with a stronger emphasison environmental safety.

>>October 1991 Creation of the Environmental Safety Pro-motion Department to work for environmental issues of aglobal scale.

>>January 1995 Creation of the Environmental ProductSafety Department by integration of the Environmentalmental Safety Promotion Department and the Safety Evaluation Department of the Quality Assurance Center.

>>January 1999 Creation of the Corporate Ecology & Safetyas a function of corporate headquarters concerned withpromotion and improvement of environmental safety incooperation with the Environmental Product SafetyDepartment of the Development Support Center.Environmental preservation and conservation activities can be

separated into the following three categories: global environmentalsafety activities (business entity environment), productenvironmental safety activities (green products), and employeeenvironment activities (corporate activities).

Specific activities for each category include control of chemicalsubstances, measures to reduce waste, promotion of energyconservation, product recycling and green purchasing. Eachactivity is advanced and promoted through committees withappropriate departments serving as committee members.

Development of the corporate-wide environmental promotionsystem:>>December 1980 The Product Safety Council begins promoting

product safety activities.>>December 1985 The Environmental Safety Council initiates

promotion of environmental preservation and conservationactivities.

>>April 1999 The Product Safety Council and the EnvironmentalSafety Council merge to form the Ecology and Safety PromotionCouncil.A senior managing director serves as chair of the Ecology and

Safety Promotion Council. The objective of the Ecology and SafetyPromotion Council is the improvement of environmentalmanagement throughout the entire Fuji Xerox Group. The Councilparticipates in higher level Corporate Executive Committee andGroup Executive Committee.

An improvement system with inter-functionalcoordination

Environmental Improvement Systems

Decision-making System for Evaluation of Environmental Management

Group Executive CommitteeCorporate Executive Committee Corporate Strategy CommitteeInformational Exchange Meetings

Financial Affairs CommitteeOfficers Appointment Remuneration Committee

Bridge Meeting

Policy Decisions and Audit

Business Implementation

Pollution prevention Business Entity Environmental Management Committee

Ozone layer protection measures Committee for the Reduction of Flon (completed work in 1993)

Control of chemical substances Committee for Safety Use of Chemical Substances

Waste management Exploratory Committee on the Reuse of Waste Materials

Promotion of energy conservation Exploratory Committee on the Prevention of Global Warming

Conference on Promotion of Environmental Management and Evaluation SystemsEnvironmental management and audit systems

"Green" engineering

Development of "green" products

Product recycling

Public relations activities

Training

"Green" purchasing "Green" Purchasing Promotion Committee

Safe workplace Safety and Hygiene Committees at each business plant

Fire and accident prevention Clean Room Safety Committee

BusinessEutity

environment

Greenproducts

Corporate activities

En

vironm

ental safety

Ecology &

Safety Promotion

Council

DivisionalProgram Review

Committee

ProcessManagementCommittee

SupplyChain

Committee

QualityReview

Committee

CorporateEcology and

Safety Committee

RiskManagementCommittee

ProductRecyclingSteering

Committee

Board Meeting

CorporateTechnology

StrategyCommittee

Chapter 2 Objectives and Systems 6

commitment to these issues.April 1994: Approval by the Environmental Safety Councilof the objective of obtaining ISO 14001 Environment Management System as soon as possible

(goal: to acquire ISO 14001 certification by October 1997).In order that each manufacturing plant achieve inspection

approval, a system was implemented by which a centralcommittee to inspect and evaluate the environmental activities ofeach business entity was organized. As the result of this effort, thethree domestic manufacturing plants and Suzuka Fuji Xeroxachieved ISO 14001 certified by October 1997. With ISO 14001certification, improvement was achieved in the following six areas.(1)The environmental impact of each Fuji Xerox plant was

evaluated.(2)Through identification of environmental issues, the

company was able to clarify its objectives and thereasonsfor these objectives, thereby facilitating implementation.

(3)The business entity management plan was developed as theenvironmental management plan. In particular, businessentity were able to establish clear and specific midtermenvironmental plans.

(4)Every department and every employee are concerned withenvironmental issues, and activities which had previouslybeen limited to specific departments now became activitiesfor plants as a whole.

(5)Assignment of priorities for environmental investments hasbecome easier.

(6)A system of documentation has been established, and recordshave been standardized. Additionally, steadyimprovements canbe seen in the updated documents.Fuji Xerox is making efforts in order that this environmental

management system yield the maximum benefit. The companyplans to improve results further by making informationrelated to environmental activities available to interestedparties.

The ISO 14001 environmental management system wasdeveloped in 1996 and it is an international standard which servesas a model for a system of environmental management activities,including organizational structure, responsibilities, procedures,processes, and administrative resources. Environmentalmanagement at Fuji Xerox has improved significantly as a resultof ISO 14001 implementation.

The following is a summary of the environmental managementeffort at Fuji Xerox.

September 1993: Approval of the advance introduction of the ISO Environment Management Auditing System

(proposal) by the executive board of Fuji Xerox.Following this decision, Committees for the Promotion of the

Environmental Management Evaluation System were establishedparticipation of the Environmental Product Safety Department,the three domestic manufacturing plants, Suzuka Fuji Xerox andthe Auditor's office. The committee was to be under thesupervision of the Environmental Safety Council.

The committees have fostered increased understanding of theISO standard, and have helped deploy ISO standard to manybusiness entity. The environmental audit was performed in twostages with the preliminary environmental audit to evaluate thepresent status at each manufacturing plant in 1994, and audit ofthe environmental management system carried out the followingyear.

As the result of these audit, environmental performance issues,especially with respect to laws and legal regulations, were strictlysupervised and enforced. There were certain problems, however,including the fact that the unique characteristics of each businessentity were not taken into consideration sufficiently. As aconsequence, there was a lack of active involvement of manypeople in each entity, and, what's more, interested parties did notget the impression that the company had made a strong

Environmental management system

ISO Acquisition Status of the Fuji Xerox Group (in Japan) As of March 1999

ISO14001 ISO9001 ISO9002

June 1997Ebina Center October 1995 June 1991

October 1997Iwatsuki Center November 1995 October 1991

March 1997Takematsu Center April 1995

May 1997Suzuka Fuji Xerox March 1993

March 1999Fuji Xerox Office Supplies

Fuji Xerox Distribution December 1998

ISO14001 ISO9001 ISO9002

Taiwan Fuji Xerox January 1993

December 1997Korea Xerox, Inchon Plant 1996(expanded inspection) August 1992

Philippines Fuji Xerox October 1996

Fuji Xerox Singapore May 1996

Fuji Xerox Malaysia December 1996

December 1998Xerox High Technology Company of Shenzhen

ISO Acquisition Status of the Fuji Xerox Group (overseas) As of March 1999


E n v i r o n m e n t a l M a n a g e m e n t S y s t e m sIntroduction of a new International Standards clears the administered criteria

Chapter 3 Implementation and Results7

Chapter 3 Implementation and Results

D e v e l o p m e n t o f E n v i r o n m e n t - f r i e n d l y P r o d u c t sLead the industry by the development of environment concious product

Not only in its business activities but also in its marketing ofproducts, Fuji Xerox is making efforts to include consideration ofthe environment in its planning and activities. Recyclingguidelines were established in 1995, and these guidelinesincorporate the design requirement for facilitating recycling(removal, recovery, ease of transport, use of recyclable materials,etc.). At present, it is not only objective to meet the guidelines, butalso improving the extent to which environmental impact isconsidered is one objective at the product development phase.

A good example is that of the DocuCentre 450/550. This productis a high-speed, high-quality digital copier which can benetworked. It was introduced to the market in October 1998. Avariety of departments and functions worked together to developthis product, beginning with the initial design stage.

The following are results of the cooperation and coordinationcarried out in developing this product.(1)Use of recycled parts

The parts reuse rate (rate of the number of reused parts) is 47%,which is the highest rate achieved by any Fuji Xerox product to thepresent. Not only are the parts designed for standard use but alsoall the circuit boards are designed to be recyclable, e.g., the topcover makes use of recycled plastic and the paper tray materialalso can be reused. Other parts are designed for easy disassembly,one such example is that of the drive assembly. The replacementparts such as toner cartridges and drum cartridges are collectedand reused.

Design considering the environment Digital multifunctional device

The most significant results for 1998 were inconnection with energy conservation, reduceduse of resources and recycling. Details of theseefforts are as follows:

1. Multifunctional machine DocuCentre 450/550 was put on sale. Compared to its predecessor, energy efficiency hasincreasedby 9.8% (the target value is 10%). This is fully complied for the theinternational energy star program for multifunctional device, and, in March 1999, 36 types of products including the DocuCentre 450/550 registered to this program.

2. With regard to recycling of used products with the aim of reducing waste to zero and reuse of resources, 40% of the Year 2000 target of 50% has been achieved for the parts reuse rate. In addition, 34 models now use recycled parts. The target for the year 2000 is 56 models using recycled parts.

3. Compared with 1997, the energy savings (reductionof the use of electricity) at Suzuka Fuji Xerox and the three manufacturing plants at Takematsu, Ebina, and Iwatsuki has amounted to only reached 1.3%. The reduction target is 3%.

4. The waste reuse rate of the three manufacturing plants at Takematsu, Ebina, and Iwatsuki has increased to 98%, with onemore step remaining before zero waste and 100% reuse are achieved.

SummaryResults of 1998 environmental activities

DocuCentre 450/550

Office-friendly design with exhaust of hot air mainly discharged toward the floor

Designed withemphasis of recyclingand reuse of parts andmaterials

Space-saving designpermitting installationin a corner of the office

Energy-savingdesign withautomatic energysaving feature

Green100

Chapter 3 Implementation and Results 8

(2)Long-life designThe longevity of electric parts such as electrolytic aluminum

capacitors and batteries has increased greatly in comparison tothat of conventional parts. Drum cartridges and toner cartridgesnow also last longer. A newly developed longevity enhancer isused, and, as a result, these parts only required changingapproximately half as often as parts for conventional models. Theenergy-saving design reduces the duration of time energy is usedand helps extend the life of the parts.(3)Energy-saving design

DC 450/550 have been complied the International Energy Starprogram criteria (for digital copiers/multifunctional device). Theunit enters a low-power mode of 192 W or less (in the case of theDC550) 15 minutes after copying has been completed. Afteranother 45 minutes, the power to all but a minimum number ofparts is stopped.(4)Low-noise, Low-ozone Emission Design

The construction with the exhaust discharged to the bottomreduces the noise of the copier during operations and keeps theexhaust from being discharged directly around the copier. Asenlargement and reduction are performed electronically,enlargement, reduction and multiple copies can be made with asingle scanning of the document, thereby reducing the operationtime and the noise. The smell also is diminished by the low-ozonedepletion design with the use of an ozone filter. These designfeatures permit the copier to be used closer to desks and otheroffice equipment.(5)High-speed dual-sided copy function

The DocuCentre 450/550 has realized a dual-sided copy speed of55 copies per minute (cpm) by using trayless dual-sided copyingtechnology and other technologies. Although this is not directly anenvironmental design, the easier use of dual-sided copies leads toincreased productivity and contributes to environmentalconservation by reducing paper use in the office. In the future, thedesign for standard parts and for parts which can be recycled inthe field of hardware as well as advances in the software sectorwill further advance the development of copiers and contribute towaste reduction.

The immense energy consumption of our present society is

related to deforestation and waste issues. Fuji Xerox always has

made a strong commitment to these issues, and, as early as the

1970s, resource-saving copy paper was developed, and PPC paper

made of recycled paper was marketed in the 1980s. The quality

and cost performance of these products, however, were not

sufficient, and the market share of this product in the PPC paper

was less than 1%.

The development of good-quality recycled paper with a highcontent of post-consumer paper became possible in the beginningof the 1990s. The following is a summary of the company's steadyprogress since that time.>>March 1990

"R" PPC paper with 70% content of recycled paper was intro-duced to the market. "R" was the first alkaline recycled paper,and the quality was not inferior to that of highquality PPC paper.

>>March 1992"WR" PPC paper introduced to the market. "WR" paper did notinclude recycled newspaper, but it used high-quality paper and a whiteness of 80% was achieved.

>>March 1997"Green 100" PPC paper appeared on the market. This paper was developed based on the technology and sales of "R100," which used 100% recycled paper (mostly newspaper) and "WR100,"which used mostly high-quality recycled paper.

"Green 100" is recycled PPC paper made of 100% recycled paper,mainly from newspaper, and its whiteness is 70%. Packing paper,typically laminated for moisture resistance, has also beenimproved. Non-bleached Kraft paper made with 40% recyclednewspaper content and mixed with a water-soluble resin formoisture resistance is used as packing paper. The volume of paperuse has also declined by 20%. A paper called K-liner with a highcontent of recycled newspaper is being used for cardboard boxes,and no plastic tape or adhesive tape is used in packing. "Green100", environment-friendly even in its packaging, has been highlypraised not only by the business world but by independentorganizations and groups stressing "green" purchasing as well.

Increasing the applications of recycled paper:Recycled PPC paper

After several years of concept studies for product recycling, FujiXerox established a product recycling action team in June 1995. InDecember of the same year, products containing recycled partswere marketed for the first time in Japan, and design was also inaccordance with recovery and reuse requirements. At present,recycling-related measures are promoted primarily through theleadership of the Asset Recovery Management (ARM)Department.

In November 1997, a new recycling line was established at theEbina Center.The objective of this recycling line is production throughcirculation of resources. This line has been linked to the productionline for new products, and the recycled parts are installed in thenew products. The quality of the recycled parts is equivalent tothat of the new parts.

The external appearance, the functions and the quality ofproducts containing recycled parts must be exactly the same asthat of products manufactured with 100 percent new parts. Forthis reason, technology for selection, repair and inspection hasbeen developed and a thorough quality control system has beenimplemented.

This process also incorporates the use of information. In FujiXerox the products quality information by the customer are inputin a database, and those information are then used for weibullanalysis. Weibull analysis assesses factors such as remaining lifeand reusability for several 1000 parts before they are recovered.



Produc t Recyc l ingCoordination of new product production lines and recycling

The "resources circulation system" is a good example of the FujiXerox environmental policy. The "closed loop" system is at theheart of this philosophy. Products introduced to the market arerecovered, and once recovered, they are reused. The use of newresources is kept to a minimum, and the parts are circulated in a"closed loop." Parts which are disassembled and cleaned at theplant pass through a recycling process of repair and selection, andonly parts that meet rigorous quality standards reach theproduction line. The information gathered in the various processesis fed back to the design department, and this information is thenused in recycling design aimed at increasing the number ofrecycled parts. In order to increase overall recycling potential,efforts are being made to reduce the volume of parts made of rawmaterials and primary materials as much as possible, to stayinside the "loop" to the extent possible, to increase productionthrough the use of more advanced technology, to foster increasedrecycling design and to increase the recycling rate.

The goal of "zero waste" has been set for the entire company, andthe 3-R system by means of returning, reusing, and recycling asmuch as possible, has been established. This system functions as a"closed loop" system.

"Closed loop" is fundamental to product recycling Direct link between recycling line and production linefor a unified system

"Closed loop" system

Consumer use

Recovery

Return to the plant, disassembly, and cleaning

Parts selection

Recycle as rawmaterials

Inspection

Repair

Use as raw materials/molding

Qualityinspection,assurance

Unified production line

Design for recycling

Completion, dispatch


The technology includes acoustic emission (AE) evaluations formotor selection, repair technology for electronic circuit boards andautomatic cleaning of parts by blast cleaning or ultrasoniccleaning. The quality assurance process also includesenvironmental testing, print/copy quality evaluations, noise testingand electromagnetic emission testing. These various tests arecarried out in the same way for recycled parts as well as new parts.

With regard to collection of parts, the delivery route to theconsumer is simply reversed, and reversed delivery routes for thereturn of the used products to Fuji Xerox are established. FujiXerox sales departments have reached a recovery rate of 96percent.

An effective tool in promoting product recycling is to require thatproducts be developed for eventual recycling and reuse. At FujiXerox, design processes are carried out based on recycling designguidelines. These guidelines were developed in 1995 by the Xeroxengineers in Japan, the United States, and Europe, and they bringtogether design requirements for the recycling of approximately130 items.

In 1997, Fuji Xerox set forth its own guidelines for design withreused parts. These guidelines cover nine areas includingguidelines for longer life of the parts, design for part unitsstrength, standardized design, dissociated design, reusablematerials and disassembly design. One example of disassemblydesign, for instance, is of motors with gears designed in such a wayas to make it possible to remove only the gear. Moreover, thecasters under the copier are designed so that they can bedisassembled into tires, wheels, and frame. In this way, after partssuch as gears and tires have been removed, the remaining partscan be reused.

Because of efforts such as these, 34 Fuji Xerox products now userecycled parts, and 27 of these products were added in 1998 alone.In addition, the production quantity by unit of products withrecycled parts has now reached 18.5 percent. This level of recyclingfor durable materials is unparalleled in the industry, and anincrease to 56 products and 25 percent of the total productionusing recycled parts is expected in the year 2000.

10

Design and development for future reuse

DocuColor1250

Use of recycled plastic materials for outer covers

Parts reuse rate (rate by parts)

20

30

40

10

01996 97 98 Year 2000

50(%)

30

40

50(Target)

35

Models using recycled parts (running total)

30

40

50

10

20

01996 97 98 Year 2000

60(Type)

15

25

34

56 (Target)

Rate of products using recycled parts compared to total product production

20

15

10

5

01996

11

97

17

98

18.5

Year 2000

25(Target)25(%)

Recycling of plastic materials was one of the most significantissues for recycling. When plastics are recycled, it is difficult tomake the recycled product strong, and it is also difficult to makethe external appearance look as nice as when new materials areused.

In 1998, however, Fuji Xerox, in cooperation with materialsmanufacturer Ube Saikon Co., Ltd., created a new technology forthe recycling of plastic materials. Parts using recycled plasticmaterials are now reaching the production lines.

First, the products recovered by Fuji Xerox are disassembled, theouter cover (ABS resin) is removed from the body, labels andscrews are removed, and the cover is shredded. Ube Saikon Co.,Ltd. washes the shredded plastic material, removes foreignmatter, repelletizes the material and manufactures recycledplastic (recycled ABS resin) with a content of 25 percent or morerepelletized material. The repelletized material is then used as theraw material for the molding of parts such as outer covers, whichare, in turn, used by Fuji Xerox on its production lines. In this way,a "closed loop" system is also achieved for plastic parts. At present,this recycled plastic material is used for the DocuCentre series, theDocuColor series and the Able series products.

Recycling of plastic materials, which previously hadbeen difficult, has also become possible



Energy Managemen t , Emis s ion Con t ro lEnvironmentally conscious risk monitoring and control

Global warming, one of the main causes of which is said to beCO2 emissions, is an important issue for the entire world. Sixty-sixpercent of the CO2 emissions produced by Fuji Xerox and SuzukaFuji Xerox (42,000 t-C) are caused by use of electric power.Accordingly, reducing the electric energy consumption is the mosteffective way to reduce these emission levels, and various power-saving measures have been implemented.

Sixty-six percent of the total electric power consumption of FujiXerox and Suzuka Fuji Xerox is consumed at our threemanufacturing plants at Takematsu, Ebina, and Iwatsuki and bySuzuka Fuji Xerox. A review committee on energy conservationwas organized in 1995, and it began working toward the goal ofreducing power consumption at these four establishments by 3percent per year, beginning in 1995. The 1.3 percent reduction inenergy use in 1998 fell below the targeted 3 percent due to theimpact of increased production. Still, energy consumption wasreduced by 20.7 percent between 1990 and 1998.

The Takematsu Center invested to build a high energy efficiencyplant. The plant operates energy efficient air conditioning systemsand an energy efficient clean room. Additional measures to reduceenergy consumption have been implemented as well. Moreover,management uses the basic energy consumption level or energyconsumption level when the plant is not operating as a gauge inencouraging employees to eliminate unnecessary consumption.

The Ebina Center has created checklists for energy conservation,and these lists are collected every month for managementpurposes. Measures to increase energy saving include publicaddress announcements requesting special attention to energy useand reducing the power supply to vending machines before longholidays.

An ice storage cooling system was introduced at the IwatsukiCenter in 1995, and the same system was implemented at theTakematsu and Ebina Center in 1997. The company is currentlyworking hard to establish its targets for the year 2010.

The following is a summary of current company-wide energy-saving efforts:(1)Further expansion of company-wide energy-saving

activities>>ISO 14001 related activities undertaken by corporate

headquarters and by the various business divisions and corresponding energy-saving activities implemented throughout the company

>>Increase in the number of measures which are adopted byone plant and then implemented at other plants

(2)Research and development of new energies and energysubstitutes

>>Solar power generation>>Shift to use of heavy crude oil, kerosene, LPG, butane to

liquid natural gases(LNG)>>Co-generation systems(3)Development of energy-saving processes for supplies and

materials manufacturing>>Reduction of energy consumption when new plants are

established

Construction of an intranet MSDS systemFuji Xerox is one of the first companies in Japan to implement

policies and procedures with regard to the control of chemicalsubstances. These efforts were the result, in part, of the influenceof our partner corporation, Xerox Corporation, which maintains

Control of chemical substances in accordance withrisk management concepts

Annual reduction of electric power consumption by 3%each year for CO2 reduction

Change in the electric energy consumption of the company's four plants and change in kW units of energy consumed, compared with results from 1990

Energy consumption (10,000 kW) kW units consumed, compared with 1990 (%)18000

16000

14000

12000

10000

8000

6000

4000

2000

0kW units consumed in1990=100

Total energy consumption of the four plants (10,000 kWh)

1990 91 92 93 94 95 96 97 98Year

100

50

55

60

65

70

75

80

85

90

95


control of chemical substances.Based on this philosophy, Fuji Xerox established the following

initiatives in 1999.(1)Introduction of yellow cards for the control of shipping of hazardous

substancesFor shipments of hazardous substances in quantities of 1 ton or

more, the law requires posting of yellow cards listing informationsuch as the substance contents and procedures for handling inemergency situations. Going one step further, in April, Fuji Xeroxwill introduce the use of yellow cards for shipments of quantitiesless than 1 ton as well.(2)MSDS information

MSDS information is accessible throughout the company withthe company's intranet system.(3)Assurance of chemical substance control on a worldwide

standardized basisWith these standards, Fuji Xerox imposes stricter standards for

control of chemical substances than those required in Japan.Proper implementation of these policies requires a high degree of

awareness and understanding with regard to the control ofchemical substances. Accordingly, training is necessary not onlyfor company employees but also for shipping companies andpersons involved in the handling and distribution of thesechemicals. Increased further awareness of the responsibilities ofindependent control and better understanding of the chemicalsubstances are two initiatives for the future.

A strict monitoring system is maintained for waste waterdischarged from Fuji Xerox plants. Effluent characteristics such ashydrogen ion concentrations, COD and BOD are monitoredseparately. For nearly all items, strict standards with values atlevels half of those set forth by prefectural regulations have beenadopted. The Takematsu Center also utilizes colored carp inanimal monitoring in order that no harmful substances will bedischarged.

With regard to the soot and dust discharged from the plants,high-quality heavy crude oil and kerosene is used, efforts are madeto suppress the emission of SOx and soot, and regular inspectionsare carried out twice a year.

12

very strict safety standards at all its operations throughout theworld.

As a concrete step toward controlling chemical substances, FujiXerox now includes MSDS ( Material Safety Data Sheets) withshipments of export products. Additionally, in order to utilizeMSDS effectively throughout the company, a company-wideintranet MSDS system was introduced in 1998. Due in part topreparations for ISO 14001 inspections and to the subsequent ISO14001 approval of each plant, awareness and understanding ofMSDS increased. An MSDS system based on a common formatwas established for the entire company, and, at present, MSDShave been created for approximately 780 chemical substances.

Independence and Disclosure of InformationThere are many kinds of chemical substances and numerous

laws regarding the control and use of these chemicals. At FujiXerox, preparations for ISO 14001 acquisition were handled byvarious departments and divisions at each plant, and,consequently, control of chemical substances has also been carriedout primarily by the departments and divisions. However, theneed for a company-wide unified policy has become evident inrecent years, and the company has begun moving in this direction.In addition, laws pertaining to PRTR (Pollutants Release andTransfer Register) also appear to be close at hand, and, for thisreason, systems for controlling chemical substances will soonbecome indispensable to corporate infrastructure. The responsibleuse and maintenance of chemical substances by companies is anabsolute necessity.

The objectives of Fuji Xerox with regard to chemical substancecontrol are as follows.

First, accurate data on the control of chemical substances mustbe prepared and this data shall be used by top management andby each plant as a reference for decision-making. Control ofchemical substances is required as part of the company's riskmanagement strategy. The company may decide to discontinue theuse of certain chemicals. One recent example of such a move wasthe decision to eliminate use of methyl chloride, a chemical citedby Kanagawa Prefecture as strongly carcinogenic. Next, thecompany must make efforts to improve consumer confidence. Aspart of their commitment to environmental conservation,companies must maintain strict regulations with regard to the

Prevention of air and water pollution

Legally regulated level *industrial-use water

+ domestic waste water Independently regulated level

120Total nitrogen (mg / l) 60

60BOD (mg / l) 30

60COD (mg / l) 30

16Total phosphor (mg / l) 8

5.8~8.6pH 5.8~8.6

Water quality monitoring results at the Ebina Center

1994 1995 1996 1997 1998

3.0 4.0 4.0 6.5 6.0

7.0 6.0 6.0 8.1 7.9

7.4 7.0 7.3 7.4 7.2

0.5 0.5 1.4 2.4 1.1

20 14 25 15.6 15.9

Legally regulated level *Item Independently regulated level

655Soot (g/h) ---

1.44Sulphur oxides (Sox) (Nm3/h) ---

180 (Japan)Nitrogen oxides (Nox)(ppm) 120

Air quality evaluation results at the Ebina Center

1994 1995 1996 1997 1998

18.4 8.6 9.9 15.2 12.1

0.092 0.055 0.067 0.085 0.060

101.0 115.0 79.0 78.5 75.0

*Legally regulated levels: laws, prefectural ordinances, levels forecast by Kanagawa Prefecture

* Legally regulated levels: laws, prefectural ordinances, levels forecast by Kanagawa Prefecture



W a s t e M a n a g e m e n tAchieving zero waste by establishing clear objectives and increasing awareness

waste, however, has become an issue for the community, landfillsare expected to reach capacity soon, and rapid cost increases areanticipated. In these circumstances, and, especially due to thecompany's commitment to reducing its impact on the environment,various measures have been adopted since 1990 in an effort toreduce landfill waste levels to zero.

This effort began with a thorough investigation of the currentwaste processing conditions. As the result, waste produced by ourplants was separated into the following four categories.(1)Waste which can be marketed in its current state. For example,

iron.(2)Waste which can be reused with further classification(3)Waste which can be reused after certain processes are achieved,

though the processing methods have not yet been identified(4)Waste which can not be reused as a resource in its current state

In 1991, the total waste produced was approximately 5,000 tons, of which roughly 2,500 tons came from plants and approximately 2,500 tons of waste was recovered from the consumermarket. The overall amount of waste for landfill was about2,000 tons.

(2)Complete classification with departmental responsibilityThe following policies were adopted in support of our goal of

achieving zero waste(1)Waste shall be classified completely at the location it is

produced.(2)Even for cases in which processing of waste for reuse is more

expensive than landfill disposal, landfill shall be avoided due to considerations of potential future undergroundpollution.

(3)A reliable waste management company shall be selected.(4)The various departments shall work together and participate

in joint activities to reduce waste.Significant changes also were made in the budget. The budget

for waste treatment had previously been the responsibility of theGeneral Affairs Department. Expenses for waste treatment,

Fuji Xerox is promoting a resource circulation model in an effortto achieve a landfill waste level of zero. The Takematsu Centerbegan by classifying waste materials into 67 categories. A systemfor recycling and reusing resources was then established over aseven year period, and a resource reuse rate of 100 percent wasreached in 1997.

The Ebina Center classifies waste materials into 17 categories,and further classification is carried out at the plant in-houserecycling center. The resource reuse rate at the Ebina Centerreached 98 percent in 1998.

In 1996, the Iwatsuki Center had a low resource reuse rate of 58percent. However, a new classification system was introduced tocoincide with ISO 14001 certification, the plant infrastructure wasimproved with the establishment of a waste storage system, and a"return campaign" was started to increase awareness amongemployees of the importance of resource conservation andclassification. In addition, a proprietary waste weighing systemwas introduced, and efforts were made to reduce waste disposalquantities. As a result of these activities, the resource reuse rateclimbed to 74 percent in 1997 and 94 percent in 1998.

Realization of the zero waste objective is now within reach, andreducing the total waste disposal quantities has become one of theplant's goals. The target for 1999 is a 3 percent reduction in wastequantity compared with the previous year.

(1)The first step is a detailed investigation of the current situationThe Takematsu Center produces toner, developer, cartridges,

drums,and other replacement parts and materials for copiers. Inthe past, the photo-sensitive drums were recycled, but most of thewaste created through 1990 was buried in landfills. Industrial

The entire Fuji Xerox organization and all its plants areworking to achieve zero waste

Use of a classification system to achieve zero waste

Landfill waste and landfill price per unit(Takematsu Center

Total disposal quantity (t) Landfill unit price (per m3)

2,000 4

2

0

1,000

0 0

3.8 3.8 3.8 3.8

0.6

2100

1.8

2.2

2.8

255057140

271

1990 91 92 93 94 95 96 Year 1997

Total waste produced by the three plantst

Total disposal quantity (t) Reuse rate (%)7,000

6,000

100

80

60

40

20

0

5,000

4,000

3,000

2,000

1,000

0

100(Target)

98

92

82

7268

6,7696,5136,4026,340

5,779

1994 95 96 97 98 99 Year 2000


requested that the company announce these results to the public.At present, leftover food from the cafeteria is donated for use on ahog farm, used fluorescent bulbs become raw material for glassfibers, and other waste reduction methods have been developed.The result of these efforts has been the steady reduction in wastelevels. In January 1997, the Takematsu Center reached zero waste(landfill), when reuse of ordinary glass and paper waste, the onlyremaining area not previous recyclable, became possible.(2)Efforts to increase reuse and reutilization rates continue

After achieving zero waste, the Takematsu Center focusing itsefforts on reducing use of parts which can not be reused orreutilized but which can only be recycled as fuel. A reuse andreutilization rate of 70 percent is the plant's target for 1999. Alarge part of the waste can currently only be processed byincineration it, and, from a technological perspective, it is difficultto reuse or reutilize this type of waste. However, techniques suchas melting non-recyclable toner boxes with toner and transformingthe resulting material into pallets by mixing the material with rawmaterials are currently being studied and various other methodsare also being tested.

however, were now assigned to each department, requests forspecialists were made by each department and the requests wereforwarded to the General Affairs Department. Storage areas forclassification and recovery were established in each departmentand in each building for complete classification processing onlocation.

As for the General Affairs Department, in addition to themanagement and engineering policies, improvement of overallawareness of this issue throughout the plant is also veryimportant. Initially, if classification of waste was not complete, theGeneral Affairs Department communicated the problem to theperson in charge of the respective department and requested thatthat person conduct the classification again immediately. Itbecame clear that the classification of waste itself was also part ofa process.

Nickel belts were separated into nickel and selenium and soldto parties dealing with nickel and selenium, used developer wassold to iron manufacturers as a source of iron, and used tonerproducts were sold to cement companies for use as fuel. Tonerbottles and cartridges were reused, and toner and developer wereused as raw materials. With regard to recycling, the design oftoner bottles for large copier toner was adjusted to include an airvent to facilitate washing of the inside.

General waste other than that resulting from products returnedfrom the market was divided into nine categories. It was alsodecided that waste processing applications would be created, andpart name, expected quantity, cause and substance content wouldbe clarified. In particular, the clarification of the substancecontents was effective in reducing waste processing costs.(1)Reduction from 2,000 tons to 400 tons of landfill waste in one year

Landfill waste was reduced from about 2000 tons in 1991 toapproximately 400 tons in 1992, and Kanagawa Prefecture even

Special plans for reuse as resources

Reutilization rate (Takematsu Center)

(%)100

80

60

40

20

0

24.3

44.7

70.5

7881

9599 100

1990 91 92 93 94 95 96 Year 1997

Development of reutilization (reuse, reutilization, burning) (Takematsu Center)

96 Percen-tage

Parts recoveredat

the manu-facturing

plant

Percen-tage Total Percen

-tage

Partsrecoveredfrom themarket

Incineration(other

companies)41.0 298 21.8 1,136.3 33.3838.3

Incineration (Fuji Xerox) 20.7 61.8 4.5 483.8 14.2422

Reutilization 32.3 1,006.305 73.7 1,665.905 48.9659.6

Reuse 6.0 0 0.0 123.4 3.6123.4

1,366.105 3,409.4052,043.3

97 Percen-tage

Parts recoveredat

the manu-facturing plant


-tage


Incineration(other

companies)38.3 390.5 25.9 1,395 33.81,004.5

Incineration(Fuji Xerox) 15.3 53 3.5 453.2 11.0400.2

Reutilization 29.4 1,061.8 70.5 1,831 44.4769.2

Reuse 17.0 0 0.0 446.3 10.8446.3

1,505.3 4,125.52,620.2

98 Percen-tage

Parts recoveredat

the manu-facturing plant


-tage


Incineration(other

companies)32.8 425.57 21.8 28.7 31.61,204.0

Incineration(Fuji Xerox) 9.4 50 3.4 394.1 7.7344.1

Reutilization 19.3 1,005.7 67.9 1,715.7 33.3710.0

Reuse 38.5 0 0.0 1,411.9 27.41,411.9

1,481.27 5,151.273,670.0



Green Off ice Act ivi t iesEmployees work together to transform the company from an ordinary working environment to one contributing to the environment

As company making efforts to contribute to the environment,Fuji Xerox has previously taken part in various activities whichrequire the understanding and participation of all employees. Thishas led not only to environmental conservation but also toincreased awareness of environmental issues among theemployees. The "Phoenix Movement" was a campaign to increasecollection of used paper for the purpose of recycling. The PhoenixMovement had the following four aims:(1)Participation by all group employees to encourage the Fuji

Xerox Group to increase its understanding of the need torecycle used office paper and to make the community awareof this as well

(2)Creation of the most cost-efficient and most effective recyclingorganization and use of this organization as an example to helpincrease recycling of paper by our customers and by othercompanies

(3)An improved corporate image for the entire Fuji Xerox Group(4)Increasing group consciousness, strengthening cohesiveness

and solidarity and contributing to better communicationsResearch in 1992 indicated that 83 percent of all employees

were participating in this effort and that 82.5 percent of theemployees were using recycled paper. A study in 1995 showed

Green activities are growing at all stages that 92.7 percent of all employees participated this activity.Following the Phoenix Movement, the "3R Movement," also

called "RE-X1, 2, 3," began in 1994. This was a campaign toexpand the so-called 3Rs -- namely reduce, reuse, and recycle - toinclude materials other than paper and to achieve company-wideparticipation. This campaign involved recycling of used paper andcorrugated cardboard as well as generally adopting the use of dual-sided copies, elimination of the use of paper cups and otherdisposable containers, separation and collection of cans, plasticcontainers and packing paper, and promotion of otherenvironment-related measures into the daily office routine.

Fuji Xerox served as one of the managing companies of the"Green Purchasing Network," established in February 1996 as anassociation of 54 private corporations and other organizations, anda "green" purchasing campaign was started in the company. Theobjective of this campaign was to select those products whichimpact the environment the least in purchasing products orservices necessary to the operations of the company. Guidelines forgreen purchasing were established in 1997, and these guidelineswere used for both general purchase parts (green purchasing) andpurchasing of resources (green procurement). At present, FujiXerox is making preparations to launch a campaign of "green officeactivities" which will incorporate all activities to the present.

Diagram of environmental activities at Fuji Xerox

Achieving a high level Environmental Corporate Identity (ECI)

*EMS: Environmental Management System

PhoenixMovement RE-X3: RECYCLE

RE-X2: REUSE

RE-X1: REDUCE

3R Movem

ent

Green purchasing

Green

office

Green Xerox Movement

Pillar 1

Product recycling

Pillar 2

Establishment of EMS *(ISO 14001)

Pillar 3 Green products (X development)

cause the chemical compounds to break down. The companyhas also constructed an extraction well, and, with the use of avacuum pump to reduce the pressure, vaporized chemicalcompounds are drawn in and adsorbed into charcoal to makethem harmless. The vaporized chemical compounds are thenreleased into the air.

(3)The ground water is pumped out and cleaned through theabsorption of the chemical compounds into charcoal.The cleanedwater is then returned to the soil in a manner which does notinfluence the groundwater level.This project is expected to be completed in 2001, and monitoring

will continue until completion. The cost of the purification projectis expected to be 1.5 billion yen, while the anticipated cost ofmoving the production line is also approximately 1.5 billion yen.

Switching to water washing and detergent washingThe Iwatsuki Center began production of copiers in 1963, and it

is believed that tetrachloroethylene, trichloroethylene and otherchemicals used until around 1982 for washing metal partspenetrated the soil due to insufficient environmental managementat that time. Compounds such as tetrachloroethylene andtrichloroethylene were used widely in the industry for metalplating, metal washing, dry cleaning and removal of stains fromfibers, but, beginning in the late 1970s, these chemical compoundswere replaced by other solvents and detergents and their usedecreased. Several years ago, these compounds were cited as watercontaminants and soil pollutants in an announcement by theEnvironmental Agency, and target levels (standard levels) weredetermined.

Fuji Xerox followed the instructions of the Agency and switchedto the use of Flon in 1982. Flon, however, was abandonedcompletely in 1993 in an effort to halt depletion of the ozone layer.At present, water washing and detergent washing are used towash metals.

The Takematsu Center uses spring water for washing. The plantwaste water is processed carefully for approximately 24 hours andthen is discharged into the general water drainage system. Beforethe water is discharged, however, it is checked several times, and,at the very end, the water is subjected to fish monitoring with theuse of colored carp.

V o l u n t a r y E n v i r o n m e n t a l C o u n t e r m e a s u r eAchieving socially responsible environmental cleaning efforts



As a result of a soil investigation carried out at the plant, theIwatsuki Center found that some soil and groundwater containedorganic chlorine compounds including tetrachloroethylene andtrichloroethylene in concentrations exceeding the environmentalstandard values. The production line producing copiers for largedrawings (building F) was dismantled and cleaning work began.

Background and Objectives of the Cleaning ProjectStudies on soil at the three domestic plants (Iwatsuki,

Takematsu, and Ebina) were carried out as part of the company'senvironmental management efforts in 1995. Becausetetrachloroethylene and other chemicals were detected at theIwatsuki Center during these investigation, Fuji Xerox took actionto gain an accurate understanding of the actual conditions, toevaluate any impact on health and the environment and toinvestigate the use of purification measures. During studiescompleted between February 1996 and July 1998, it wasdetermined that the groundwater contained tetrachloroethylene atlevels as high as 227 times those established in environmentalstandards and trichloroethylene at levels 3.3 times those of thestandard. The soil also contained tetrachloroethylene at 4.3 timesthe standard level. These results were reported to the prefecturalgovernment, the latter then provided the company withinstructions and purification measures were studied.

Following a request by an organization of specialists in theUnited States for an evaluation of the environmental and healthimpact of this situation, it was concluded that the risk of illness ordisease resulting from groundwater permeation is very low. Asthere was no detection of chemical levels in excess of the standardlevels outside the site, it was determined that there had been noimpact on the people near the site, the employees or the localecosystem. Upon consideration of the Fuji Xerox environmentalpolicies, however, and, in order to act in a socially responsiblemanner, the company decided to carry out purification of affectedareas.

Summary of the Purification ProjectThe purification project includes the following.

(1)The steps include 1) dismantling of the production line inbuilding F, 2) excavation of earth in which chlorine compounds had been detected, 3) purification of the excavated soil, and4) return of the newly purified soil to the ground.

(2)Additional measures include inserting air pipes into thesurrounding soil and injecting air into the soil in an effort to

Pollution of the soil near the Iwatsuki Center

Waste water management at the Takematsu Center

Purification project (Iwatsuki Center) Iwatsuki Center Fish monitoring (Takematsu Center)



Effor t s of Aff i l ia ted CompaniesIndependent environmental conservation efforts by each company

The Inchon Plant of Fuji Xerox Korea received ISO 14001certification from the Korean Quality Certification Center inDecember 1997.

This plant manufactures copiers, digital multifunctionalmachines, printers and fax machines. The company alsoactively participates in a recycling program and contributes tothe protection of the environment.

The company created an environmental policy in September1997. Annual and mid-term environmental management planshave been established, and environment-related goals includereduced consumption of resources, reduced use of pollutingsubstances and waste, creation of an environment-friendlybusiness system, a strong environmental managementorganization and expansion of conservation activities.

1. Suzuka Fuji Xerox Co., Ltd. 2. Fuji Xerox Office Supplies Co., Ltd.

Suzuka Fuji Xerox (SFX) was awarded ISO 14001certification by the Japanese Environment CertificationAuthority (JACO) in May 1997. SFX manufactures circuitboards, molded plastic parts, rubber rolls, optical parts (rotatingmirrors and plastic lenses), precision-welded frames, magneticmolded parts and other parts used with copiers and printers aswell as components assembled from the these parts.

Since the company was established in 1982, activities relatedto quality control have been carried out jointly with Fuji Xerox,and environmental management activities also have been instep with those of the other companies. The SFX environmentalpolicy was established with consideration for the globalcommunity, the assigned tasks of the organization, and allapplicable laws and regulations. The environmental policy hasbeen promoted throughout the company, specific targets andgoals have been identified, and the employees all work togetherto achieve commendable results suited to a "truly environment-friendly company."

Fuji Xerox Office Supplies (FXOS) was the first office supplycompany to obtain ISO 14001 certification from JACO for all itsbusiness locations. The company received ISO 14001certification on March 30, 1999.

FXOS sells Xerox paper and other information-relateddocuments. The company is also engaged in planning anddevelopment of OA supplies. The FXOS environmental policywas established based on the concept of promotingenvironmental activities in coordination with consumers. Anenvironmental management system for all business locations (atotal of 12 sites including the main office, 2 businessdepartments, 8 branch offices and a research laboratory) wasintroduced in May 1998, and the entire company is now makingefforts to conserve the global environment and protectresources.

As for specific activities, the company is continuallydeveloping various types of recycled paper and promoting thegeneral use of recycled paper which meets the needs ofconsumers. In addition, the company organizes and assistsefforts to separate and collect used office paper, and offersadvice to customers with regard to green purchasing, theefficient use of resources and other environmental matters.

3. Fuji Xerox KoreaForest Plantation Business in New ZealandIn May 1996, Fuji Xerox and FXOS joined forces with

Southland Plantation Forest Company of New Zealand Limited(SPFL) for the purpose of manufacturing chips. SPFL wasestablished in September 1992 by Shin-Oji Seishi Co., Ltd. andItochu Corp. and the company acquired land for a forestplantation in the Southland area on the southern island of NewZealand. Eucalyptus trees are grown on the plantation. Byparticipating in the plantation industry, the company helpsprevent destruction of the forest ecosystem caused by the rapidshrinking of natural forests. Instead of obtaining the rawmaterials for paper from these precious natural forests, theseresources can be obtained from the company's managed forests.

Suzuka Fuji Xerox Environmental Policy[Basic concept]

Suzuka Fuji Xerox manufactures the main parts andcomponents used in the production of printers, fax machines,copiers and other office equipment. Much energy, naturalresources and chemical substances are used in thesemanufacturing processes. In carrying out its business activities,the company shall make every effort to protect the beautifulenvironment of the Suzuka mountains and to maintain theSuzuka River as the source of drinking water for nearbycommunities. Further, the company shall work to improve theglobal environment, making the saving of resources andharmony with the global community the pillars of itsenvironmental policy.

Environmental Policy of the Inchon Plant, Fuji Xerox Korea

We shall strive to develop products which are in harmony withthe environment, to achieve business expansion throughcustomer satisfaction and to promote environmentalconservation.

Fuji Xerox Office Supplies Environmental PolicyAs a top supplier of cut paper for use in normal-paper

copiers and other office equipment, the company carries outmarketing activities in support of green purchasing and theefficient use of resources by consumers based on the 3R(reduce, reuse, recycle) principle.

As a member of the global community, we shall strive to takethe environment into consideration in carrying out our dailyactivities and we shall make efforts to contribute to society.

E n v i r o n m e n t a l E n l i g h t m e n t a n d E d u c a t i o nEfforts in regard to the environment begin from a high consciousness of each employee



Environmental activities aimed at increasing environmentalawareness among employees are the foundation for solving ofenvironmental issues. The Basic Education for New Employeesprovided for all employees before the beginning of their specializedtraining includes the environment as one of issues examined inteam sessions in which employees are asked to consider what kindof company they want Fuji Xerox to become in 10 years. The newemployees use a classroom in the research laboratory as a virtualoffice to gather information and make their proposal.

During specialized basic training following the basic training fornew employees, the development of green products and issuesrelated to product recycling are covered in engineering training,and green purchasing is taught as part of the businessmanagement training.

In connection with the ISO 14001 certification, internal assessortraining and career development training are provided not only foremployees of the plant, but also for personnel from affiliatesassigned to work at the plant. Other programs include training formanagers to increase understanding and awareness of thestrategic importance of environmental management, training toincrease general awareness of the environment and theenvironmental understanding common to all manufacturingplants, training on the impact of business activities and productson the environment, the required means for reduces this impact,and training with regard to required skills and qualifications.

Environmental education for new employees

Environmental education at manufacturing plants

Media aids to environmental improvement activities includepamphlets on the environment, company newsletters andwebsites. In order to increase awareness of environmentalconservation activities among all employees throughout thecompany, Fuji Xerox has conducted lectures on the environment aswell as local cleaning activities, including the All Xerox GreenCampaign held every year in June to coincide with theEnvironmental Agency's environment month celebration.

In 1998, a book entitled "Facts Regarding EnvironmentalManagement at Fuji Xerox" was published by the Nikka GirenShuppansha. To commemorate this publication, articles on thetheme "my environmental activities" have been collected from theemployees in an effort to improve environmental awareness.

All Xerox Green Campaign

Proposals by new employees with regard to what kind of company Fuji Xerox should become in 10 years

"I want to build a more energy-efficientcopier with no receptacle."

"I want to cooperate not only within thecompany but also with other companies,to collect paper at convenience storesand to improve the overall collectionrate."

Head office (around the Akasaka office, twice a year in springand fall)Ebina Center (around Ebina station, once a month)Iwatsuki Center (around the plant, three times a year)Takematsu Center (near rivers and other natural areas in thevicinity of the plant, once a year)Edogawadai Training Center (around the training center, once ayear)

Chapter 4 Social Relevance19

Sanbanse Higata Nature Observation Gathering (April, in Chiba)Hayama Japanese Beech Forest and Hodgson's Hawk EagleNature Observation Gathering (May, in Yamagata)Hakone no Mori Nature Observation Gathering (June, third time:Kanagawa)Koajiro no Mori and Akategani Nature Observation Gathering(6th gathering in August, in Kanagawa)Kaijo no Mori Nature Observation Gathering (2nd gathering inSeptember, in Aichi)Fujimae Higata Seminar (September, in Aichi)Ichinoya Nature Observation Gathering (November, in Chiba)

China, Huangtu Gaoyuan (2nd time in April)

Chapter 4 Social Relevance

Communi ty Ac t iv i t i e sCommitment to Nature and the Global Environment

Volunteer Cleaning

Nature Observation Gatherings and ''Hasuu Club''Seminars

Overseas Tree Planting Activities

Volunteer Cleaning

Through the cooperation of the company and its employees, FujiXerox carries out environmental protection and conservationactivities which contribute greatly to the community. The companyplans to continue these activities in a manner appropriate to FujiXerox as necessary.

In order to protect irreplaceable natural resources and theenvironment through our own efforts, Fuji Xerox employeesparticipate in independent regional cleaning activities and natureobservations organized by volunteer organizations ''Hasuu Club''.They also contribute to environmental NPOs and volunteerorganizations.

World Wildlife Fund (WWF)Global Environment Human ForumJapanese Wild Bird AssociationKeidanren Nature Protection FundWeather NetworkEcoDesign '99 Execution CommitteeInternational Conferences on Lakes and Wetlands

The various departments of the company collect used stamps, prepaid cards and misprinted postcards which are then sent to volunteer organizations to help them raise funds.

Matching gifts made by ''Hasuu Club'' and the company for 31 locations (by prefecture) and informational organizations

Japanese Nature Preservation Organization (Tokyo)Chikyu no Tomo (Tokyo)Tropical Forest Activity Network (Tokyo)Nishitama Nature Forum (Tokyo)

Isahayawan HigataResearch Group(Nagasaki)Nagatahama SeaTurtle Council(Kagoshima)

Shirakami Mountain Japanese Wild Beech Forest Preservation Club (Akita)Hachimantai Tsutakonda Japanese Beech Forest Preservation Club (Iwate)Funagatayama Japanese Beech Forest Preservation Club (Miyagi)Hayama Nature Preservation Club (Yamagata)

Network for the Preservation of Sanbanse (Chiba)Seizan Environmental Protection Club (Chiba)Nagareyama Natural Forest Observation Club (Chiba)

Osaka Nature Preservation Association(Osaka)Green Earth Network (Osaka)Tenjinzaki Nature Preservation Club(Wakayama)

Shinjiko and NakaumiKisuiko Research Group(Shimane)

Okinawa Coral Network(Okinawa)

Yoshinokawa Conference SteeringCommittee (Tokushima)

Shirouma Nature Club (Nagano)National Association for the Protection of Japan's Forests and Nature (Nagano)Gujo Hachiman Clear Stream College (Gifu)Hakusan Nature Club (Gifu)Seto Nature Club (Aichi)Fujimae Higata Protection Club (Aichi)

Fuji Xerox Independent Groups

Kanagawa Nature Preservation Club (Kanagawa)Ocean Club (Kanagawa)Koajiro Forest Preservation Club (Kanagawa)Sixth National Conference on Woods (Kanagawa)Izumigawa Riverhead Enjoyment Club (Kanagawa)

Support for Environmental NPOs and EnvironmentalProtection Groups

Nature preservation clubs in Taisetsu and Ishikari (Hokkaido)

Nature Observation

E n v i r o n m e n t A w a r d sThe continued efforts of the company have been recognized in various fields


Chapter 4 Social Relevance 20

The Kanagawa Green Model Plant Award was received by theEbina Center in 1987 and by the Takematsu Center in 1988. TheEbina Center received the Japan Green Center Award in 1996. In1998, after many years of environmental conservation activities,the company received numerous awards.>>April ''Global Environment Award'' for product

recyclingactivities (Awarded by the Director-General of the Science and Technology Agency) (Nihon Kogyo Shimbun)

>>June "Saitama Global Environment Award, ExcellenceAward" for the Iwatsuki Center (awarded by the Governor ofSaitama Prefecture)

>>August ''Eleventh Nikkei New Office Award'' (Awarded by the Minister of International Trade and Industry) for FXOS(Nihon Keizai Shimbun Co./New Office Promotion Association)

>>October "98 Excellence Award for a Leading Establishment"for the Ebina Center (Nihon Keizai Shimbun Inc.)

>>December "Ministerial Award for Activities to Prevent GlobalWarming" for recycling activities (Environment Agency)In 1970, Fuji Xerox developed a sensational advertising

campaign entitled, From "Intense" to "Beautiful" Lifestyle, in 1996,

Awards from local communities Fuji Xerox produced a series of advertisements featuring recycledparts in product manufacture.

In 1997 and 1998, a three-item advertising series emphasizedthe efforts of Fuji Xerox with regard to the environment. In 1998,the Japanese Industrial Newspapers' Advertising Award, theJapanese Industrial Advertising Award and the prestigious NikkeiAdvertising Award were awarded to Fuji Xerox. It is said that goodenvironmental advertising becomes teaching material forenvironmental education, and Fuji Xerox continues to supportenvironmental issues through its advertising.

April 22 is celebrated as Earth Day throughout the world, and,on this day, the Xerox Corporation of America presents awards toXerox Group teams which have excelled in environment-relatedactivities in various countries. Fuji Xerox received awards for itsPhoenix Movement in 1994, for the zero waste activities carriedout at the Takematsu Center in 1995, for promoting establishmentof an environmental management system at the Iwatsuki Center,and for supporting customers with environment-related activitiesin 1999.

Xerox Earth Award

3-point advertising series emphasizing the efforts of Fuji Xerox with regard to the environment

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Fuji Xerox environmental conservation Changes and trends resulting from internationalconferences

Chapter 4 Social Relevance21


History of Environmental Conservation ActivitiesEfforts in accordance with international trends

Establishment of Fuji Xerox

Establishment of a unified production and sales system for the Iwatsuki Center, the TakematsuCenter and the Ebina Center

Light-weight PPC (plain paper copying) paper "Xerox paper S"

Deming AwardMarketing of "Xerox paper new CK paper," a PPC paper containing recycled paper

Marketing of the first domestic alkaline PPC paper "Copy Ace N" (achieving long durability)Establishment of the Environmental Safety Council in November

Establishment of the Clean Room Safety Committee in March

Establishment of the Flon Countermeasure Committee in July

Marketing of alkalin recycled copy paper with an recycled-paper content of 70 percent in FebruaryIntroduction of drum and developer recycle for rental machines in October

Establishment of the Phoenix Committee in DecemberEstablishment of the Plant Waste Study Committee in January

Establishment of the Environmental Safety Promotion Department in OctoberCreation of the Mid-term Environmental Plan in October

Creation of the Fuji Xerox Basic Environmental Policy in DecemberMarket introduction of the alkalin recycled paper types "WR100" and "R100" with 100

percent use of recycled paper in MarchEstablishment of the Recycle Design Guideline Study Council

Establishment of the Chemical Substance Safety Management Study Committee in AprilEstablishment of the Ebina Recycling Center in June

Discontinuation of use of Flon and 1.1.1 trichloroethane by all plants in SeptemberEstablishment of the Committee on Environmental Monitoring and Management

Systems in NovemberAdoption of the green product concept in March

First environmental audit in AprilEstablishment of the Iwatsuki Recycling Center in October

Establishment of the Takematsu Cartridge Recycling Center in OctoberEstablishment of the Environmental Product Safety Department in January

Introduction of the Able3221 series as the first "green design" series in MayIntroduction of the recycled parts production line and introduction of reused parts using machines

in DecemberRevision of the Basic Environmental Policy in March

Joint participation in plantation business in New Zealand in June

Integration of Operating Companies Sold Products to recycling program companies in JanuaryRealization of zero landfill waste (Takematsu) in March

ISO 14001 certification of the Takematsu Center (EC96J1079) in MarchMarketing of the ecological paper "Green 100" in March

ISO 14001 certification of Suzuka Fuji Xerox (EC97J1019) in MayIntroduction of a water paint line at the Ebina Center in May

Establishment of the Green Purchasing Promotion Committee in JuneISO 14001 certification of the Ebina Center (EC97J1028) in June

ISO 14001 certification of the Iwatsuki Center (EC97J1099) in OctoberCompletion of the Ebina recycling line in October

ISO 14001 certification of the Korea Xerox Inchon Plant (EAC-00866) in DecemberAwarded the Global Environment Award (by the Director-General of the Science and Technology

Agency) in JanuaryDevelopment of recycling technology for plastic outer parts in April

Joint development of painting technology for plastic recycling in cooperation with Suzuka FujiXerox in April

Ebina Center is awarded the Excellent Leading Company Award in OctoberSoil and groundwater purification of the Iwatsuki Center in October

Awarded the Ministerial Award for Activities to Prevent Global Warming by the EnvironmentAgency in December

Awarded the Nikkei Advertising Award for an environment-related advertising series in DecemberCreation of Green Purchasing Guidelines in February

Introduction of the resources circulation product label in FebruaryIntroduction of flame-resistant recycled ABS resin for outer covers in March

ISO 14001 certification (EC98J1212) of Fuji Xerox Office Supplies Co., Ltd. in March

Announcement of the Pollution Prevention Basic LawAdoption of the Ramsar Treaty (on important wetlands especially important forwaterfowl)Adoption of the Global Inheritance Treaty for the protection of worldwide culturaland natural inheritanceUnited Nations Human Environment Conference held in Stockholm Adoption of the London Treaty (on ocean waste dumping)First oil shockSigning of the Washington Treaty (on international trade of endangered animals)Introduction of the Blue Angel MarkSecond oil shock

Detection of a hole in the ozone layer at the south pole

Adoption of the Vienna Treaty for protection of the ozone layerSigning of the Helsinki Protocol for the reduction of sulphur oxidesAdoption of the Montreal Protocol, or ozone layer protection treaty protocolSigning of the Sophia Protocol for reduction of NOxImplementation of the Vienna Treaty for the protection of the ozone layerExxon Valdez oil spillAdoption of the Basel Treaty on the transport of hazardous substances acrossbordersCopiers receive the Blue Angel Mark

Announcement of the Law for the Promotion of Reused Resources

Adoption of the Climatic Variation Framework TreatyAdoption of the Treaty on Biological VarianceOpening of the United Nations Conference on Development andthe Environment (earth summit)Announcement and enactment of the Basic Environmental LawRevision of the Energy Conservation Law

Implementation of the Climatic Variation Framework TreatyImplementation of the Desertification Prevention Treaty

Introduction of the Eco-Management and Audit Scheme (EMAS)

Implementation of the ISO 14001 StandardIntroduction of the International Energy Star PlanSecond Climatic Variation Framework Treaty Conference heldThird Climatic Variation Framework Treaty Conference (COP3) held

Fourth Climatic Variation Framework Treaty Conference (COP4) held

C o m p a n y O u t l i n eChapter 5 Corporate Profile

22

Fuji Xerox Co., Ltd. business outline(as of January 1999)

Name Fuji Xerox Co., Ltd.

Main Office 107-0052 Akasaka Twin Tower, East Tower, Akasaka 2-

17-22, Minato-ku, Tokyo-to, Japan

Tel. (03)3585-3211 (reception)

Chairman of the Board of Directors Yotaro Kobayashi

Vice Chairman of the Board of Directors Akira Miyahara

President Masamoto Sakamoto

Established February 20, 1962

Investment Capital 20,000 million Yen

Number of Employees 15,384 (as of January 20, 1999)

Products

Office equipment: color copiers, color printing systems, multifunctional

machines (copier, fax, printer), laser printers, fax machines, copiers,

publishing systems, personal computers, work stations, network

equipment, software, storage and retrieval equipment, engineering

systems (management of engineering information, graphics systems,

color plotters, plain-paper plotters, copiers for large drawings), image

processing systems, document projectors, overhead projectors, copier-

related equipment and personal communication products

Training programs: Seminars for businesspeople, video training

materials, systems creation

Other: copy paper and document processing services

Sales 885.3 billion yen (December 1998)

Profit 43.1 billion yen (December 1998)

Chapter 5 Corporate Profile

InquiriesPlease direct any inquiries with regard to this report or toenvironmental conservation activities at Fuji Xerox, or anyquestions or comments to

Fuji Xerox Co., Ltd., Corporate Ecology and Safety 164-0012 Nakano Sakaue Sunbright Twin Building, 27FHoncho 2-46-1, Nakano-ku, Tokyo-to, JapanTel.: 03-5352-7391 Fax: 03-5352-7390E-mail: [email protected]

Fuji Xerox Network

Overseas LocationsFuji Xerox Asia PacificFuji Xerox KoreaTaiwan Fuji XeroxThailand Fuji XeroxPhilippines Fuji XeroxP.T. Astragraphia Fuji Xerox SingaporeFuji Xerox Australia

Fuji Xerox New ZealandFuji Xerox MalaysiaFuji Xerox VietnamFuji Xerox Far EastXerox High Technology Company of ShenzhenFX Global Inc.Xerox International PartnersFX Palo Alto Laboratory

Domestic Sales CompaniesHokkaido Fuji Xerox Co., Ltd.Iwate Fuji Xerox Co., Ltd.Miyagi Fuji Xerox Co., Ltd.Fukushima Fuji Xerox Co., Ltd.Niigata Fuji Xerox Co., Ltd.Ibaraki Fuji Xerox Co., Ltd.Tochigi Fuji Xerox Co., Ltd.Gunma Fuji Xerox Co., Ltd.Saitama Fuji Xerox Co., Ltd.Tokyo Fuji Xerox Co., Ltd.Tama Fuji Xerox Co., Ltd.Chiba Fuji Xerox Co., Ltd.Kanagawa Fuji Xerox Co., Ltd.Nagano Fuji Xerox Co., Ltd.Shizuoka Fuji Xerox Co., Ltd.Hokuriku Fuji Xerox Co., Ltd.Aichi Fuji Xerox Co., Ltd.

Aichi Higashi Fuji Xerox Co., Ltd.Gifu Fuji Xerox Co., Ltd.Mie Fuji Xerox Co., Ltd.Nara Fuji Xerox Co., Ltd.Kyoto Fuji Xerox Co., Ltd.Osaka Fuji Xerox Co., Ltd.Hyogo Fuji Xerox Co., Ltd.Okayama Fuji Xerox Co., Ltd.Hiroshima Fuji Xerox Co., Ltd.Yamaguchi Fuji Xerox Co., Ltd.Shikoku Fuji Xerox Co., Ltd.Kitakyushu Fuji Xerox Co., Ltd.Fukuoka Fuji Xerox Co., Ltd.Nagasaki Fuji Xerox Co., Ltd.Kumamoto Fuji Xerox Co., Ltd.Kagoshima Fuji Xerox Co., Ltd.

Fuji Xerox Office Supplies Co., Ltd.Fuji Xerox Distribution Co., Ltd.Suzuka Fuji Xerox Co., Ltd.Fuji Xerox Information System Co., Ltd.Fuji Xerox Engineering Co., Ltd.Fuji Xerox Carrier Net Co., Ltd.Fuji Xerox System Service Co. Ltd.

Fuji Xerox Learning Institute Co., Ltd.Fuji Xerox General Business Co., Ltd.Fuji System Brain Co., Ltd.Protex Co., Ltd.Assist V Co., Ltd. Zoo Graphics Co., Ltd.

Xerox Corporation

Fuji Photo FilmCo., Ltd.

Fuji Xerox Co., Ltd.

Domestic Affiliated Companies

00

107-0052 Akasaka 2-17-22, Minato-ku, Tokyo-to, Japan Tel.: +81-33585-3211 XEROX and The Document Company are registered trademarks.

This report, "Fuji Xerox Environmental Progress Report 1998" is based on the activities of Fuji Xerox in 1998.

The contents are also available on our website:

http://www.fujixerox.co.jp/eng/ecology/

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