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CSR Report 2015 The Sekisui Plastics Group Expanding Our Dreams for People and the Earth We invite you to visit the Sekisui Plastics corporate website for a wealth of up-to-date information, including corporate information, shareholder and investor information, detailed information on the Group’s products, and information on environmental improvement activities. http://www.sekisuiplastics.com This paper is derived from the wood of forests certified by the Forest Stewardship Council ® (FSC ® ). The FSC’s efforts to achieve a balance between utilization and protection of forests lead to the prevention of illegal logging. Printed using a waterless printing method, without the developing solution or dampening water, it discharges no hazardous wastewater. The amount of CO2 emissions from manufacturing processes is visualized and offset through purchasing carbon emissions rights equal to or surpassing the amount (of CO2 emissions) in the aim of preventing global warming. Waterless printing causes no water contamination and no CO2 emissions during wastewater treatment. Furthermore, the efforts of carbon offsetting contribute to CO2 reduction. This publication is printed by a certified Green Printing company using printing materials that meet the green printing standard. Easy-to-read universal design fonts are used in this report. Using plant-derived ink containing less than 1% of petroleum-based solvent minimizes the emission of volatile organic compounds (VOCs) and cuts air pollution. Sekisui Plastics Co., Ltd. Contact: CSR Promotion Department, Technology Headquarters Address: 2-7-1 Nishi-Shinjuku, Shinjuku-ku, Tokyo 163-0727, Japan Tel: +81-3-3347-9711 Fax: +81-3-3344-5653 CSR Report 2015 1508SD276.5-1000 1110SD276.1-1000

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Page 1: Plastics corporate website for a wealth CSR Report 2015 · CSR Report 2015 The Sekisui Plastics Group Expanding Our Dreams for People and the Earth We invite you to visit the Sekisui

CSR Report 2015The Sekisui Plastics GroupExpanding Our Dreams for People and the Earth

We invite you to visit the Sekisui Plastics corporate website for a wealth of up-to-date information, including corporate information, shareholder and investor information, detailed information on the Group’s products, and information on environmental improvement activities.

http://www.sekisuiplastics.com

This paper is derived from the wood of forests certified by t he Fo re s t S t ewa rdsh ip Council® (FSC®). The FSC’s efforts to achieve a balance be tween u t i l i za t ion and protection of forests lead to the prevent ion o f i l lega l logging.

Printed using a waterless printing method, without the developing solution or dampening water, it discharges no hazardous wastewater. The amount of CO2 emissions from manufacturing processes is visualized and offset through purchasing carbon emissions rights equal to or surpassing the amount (of CO2 emissions) in the aim of preventing global warming. Waterless printing causes no water contamination and no CO2 emissions during wastewater treatment. Furthermore, the efforts of carbon offsetting contribute to CO2 reduction.

This publication is printed by a certified Green Printing company using printing materials that meet the green printing standard.

Easy-to-read universal design fonts are used in this report.

U s i n g p l a n t - d e r i v e d i n k containing less than 1% of petro leum-based solvent minimizes the emission of volatile organic compounds (VOCs) and cuts air pollution.

Sekisui Plastics Co., Ltd.Contact: CSR Promotion Department,

Technology HeadquartersAddress: 2-7-1 Nishi-Shinjuku, Shinjuku-ku, Tokyo

163-0727, JapanTel: +81-3-3347-9711Fax: +81-3-3344-5653

CSR Report 2015

1508SD276.5-10001110SD276.1-1000

Page 2: Plastics corporate website for a wealth CSR Report 2015 · CSR Report 2015 The Sekisui Plastics Group Expanding Our Dreams for People and the Earth We invite you to visit the Sekisui

1 CSR REPORT 2015 2CSR REPORT 2015

Net assets per share

Net sales

Net assets (per share) ROE (return on equity)

Recurring income Net income (per share)

Operating income

0

20,000

40,000

60,000

80,000

100,000

120,000

0

1,000

2,000

3,000

4,000

FY2012 FY2013 FY2014 FY2012 FY2013 FY2014

FY2012 FY2013 FY2014 FY2012 FY2013 FY20140

1,000

2,000

3,000

5,000

4,000

0

1,000

2,000

3,000

0

10

20

30

13.48

9.86

27.07

FY2012 FY2013 FY2014 FY2012 FY2013 FY20140

20,000

40,000

60,000

0100200300400500

700600

0.0

1.0

2.0

3.0

5.0

4.0

(%)

1.9

2.5

4.6531.84 568.26

615.6880,000

(Million yen) (Million yen)

(Yen)(Million yen) (Million yen) Net income per share

(Million yen) (Yen)

926926

2,5302,530

1,2641,264

1,152

3,930101,784

113,660

1,237

2,206

4,180

2,124

109,923

54,036 58,27550,929

Name Sekisui Plastics Co., Ltd.

Founded October 1, 1959

Capital 16,533 million yen

President Masato Kashiwabara

Number of employees

444 (non-consolidated)1,859 (consolidated)

Business lines

Eslen Beads, Eslen Sheet, Piocelan, Lightlon, Celpet, Neo-Microlen, other foamed plastics

Techpolymer, ST-gel, other functional polymeric material

Marine and agricultural product containers, food containers, distribution materials, construction materials, civil engineering materials, automobile components, packaging materials for transporting of automobile parts, industrial packaging, and other related products and systems

In accordance with Sekisui Plastics Group’s 100-Year Vision, articulated in October 2009, the Sekisui Plastics Group engages in CSR activities with the aim of being a corporate group trusted by stakeholders around the world. To communicate our activities in a more readily understandable way, we have organized this report into sections corresponding to the core subjects of social responsibility in ISO 26000.

For details, please refer to Annual Report 2015 or visit the Investor Relations section of our public website.

Responsibility to StakeholdersStakeholders Responsibilities of the Sekisui Plastics Group

Responsibility to Customers

The Sekisui Plastics Group, a plastics solution company, not only supplies safe and reliable products, but also always creates new functions and value and contributes to improving the lifestyles of people by providing materials and services that assist clients to solve problems.

Responsibility to Group Members

The Sekisui Plastics Group respects human dignity and mutual trust and seeks the happiness of its employees.For that purpose, we aim to improve fairness of skills development and evaluation and make efforts to create a healthy and safe work environment that allows employees to properly balance work and family.

Responsibility to Local Communities

The Sekisui Plastics Group believes securing the safety of our workplace is of the utmost importance to the community.Furthermore, as a member of the local community, we aim to be a company that is trusted and loved by the whole community.

Responsibility to Shareholders

The motto of the Sekisui Plastics Group is “sincerity.” We create relationships of trust with our business partners through fair and honest business practices.In addition, we aim to be a partner that strives to achieve mutually beneficial outcomes.

Responsibility to Business Partners

The motto of the Sekisui Plastics Group is “sincerity.” We create relationships of trust with our business partners through fair and honest business practices.In addition, we aim to be a partner that strives to achieve mutually beneficial outcomes.

Responsibility to Global Environment

The Sekisui Plastics Group takes concrete steps to protect the precious earth in which we live.In particular, we make contributions to the development of recycling in the community and lowering carbon levels centering on foamed plastics that conserve natural resources.

Sekisui Plastics Hokkaido Co., Ltd.Sekisui Plastics Tohoku Co., Ltd.Sekisui Plastics Toubu Co., Ltd.Sekisui Urethane Kako Co., Ltd.Sekisui Plastics Kanto Co., Ltd.

Sekisui Plastics Gunma Co., Ltd.Sekisui Plastics Saitama Co., Ltd.Shonan Sekisui Kogyo Co., Ltd.Sekisui Plastics Chubu Co., Ltd.Sekisui Plastics Ohmi Co., Ltd.

Sekisui Plastics Shiga Co., Ltd.Sekisui Plastics Sakai Co., Ltd.Sekisui Giken Co., Ltd.Sekisui Plastics Tenri Co., Ltd.Sekisui Plastics Yamaguchi Co., Ltd.

Sekisui Plastics Shikoku Co., Ltd.Sekisui Plastics Kyushu Co., Ltd.Sekisui Plastics Okinawa Co., Ltd.

Company Profile Consolidated Financial Highlights

◆ Guidelines Referred to in Preparing the Report• Ministry of the Environment’s Environment Report Guidelines (2012 Edition)• Ministry of the Environment’s Environmental Accounting Guidelines (2005 Edition)• Japanese Standards Association’s Guidance on Social Responsibility JISZ26000 (ISO 26000)

◆ Scope of ReportingThis report covers the 31 companies of the Sekisui Plastics Group, including Sekisui Plastics Co., Ltd. However, environmental performance data are aggregated for 19 domestic Group companies with 35 production sites and the Central R&D Laboratory unless otherwise specifically indicated.

◆ Reporting PeriodThis report includes activities during fiscal 2014 (from April 1, 2014 to March 31, 2015) and some activities until July 2015.

EditorialPolicy

The Sekisui Plastics Group’s Vision◦A Message from the President …………………… 3◦Management Philosophy, Code of Conduct, Management  Policies Related to the Environment, Safety, and Quality … 4◦The Sekisui Plastics Group’s 100-Year Vision … 5◦Mid-Term Management Plan ……………………… 6◦Sekisui Plastics Products in Our Lives ……………… 7◦Special Feature: Environmental Contribution  through Business Activities ………………………… 9

Initiatives to Address the Core Subjects of Social Responsibility in ISO 26000

1 Organizational Governance …………………… 132 Human Rights/Labor Practices ………………… 153 The Environment…………………………………… 214 Fair Operating Practices ………………………… 275 Consumer Issues …………………………………… 296 Community Involvement and Development … 37

Environmental Performance Data …………………… 41

Overseas Subsidiaries (As of July 1, 2015)

The Sekisui Plastics Group's Business Network (31 Companies) A Plastics Solution Company

Sekisui Plastics Europe B.V.Sekisui Plastics U.S.A., Inc.

Sekisui Plastics Taiwan Co., Ltd.Sekisui Plastics (Shanghai) Precision Forming Co., Ltd.

Tianjin Sekisui Plastics Co., Ltd.

PT. Sekisui Plastics Indonesia

Sekisui Plastics S.E.A. Pte. Ltd.

Sekisui Plastics Korea Co., Ltd.

Sekisui Plastics Co., Ltd.

Domestic Subsidiaries

Suzhou Sekisui Plastics Co., Ltd.Sekisui Plastics (Shanghai) International Trading Co., Ltd.

Sekisui Plastics (Hong Kong) Trading Co., Ltd.

Sekisui Plastics (Thailand) Co., Ltd.

CSR Declaration

CON T EN T S

We, the Sekisui Plastics Group, carry out our responsibility toward stakeholders (including the global environment) by practicing our management philosophy, as we contribute to the sustained development of a global society.

The Sekisui Plastics Group — Expanding Our Dreams for People and the Earth

SocialContribution

Practicing Our Management

Philosophy and Carrying out

Business Activities

BusinessPartners

LocalCommunities

ShareholdersGroupMembers

The GlobalEnvironmentCustomers

Manufacturing that considers the environment, safety and qualitySound management activities that center on compliance

Practice ‶All Member Management"

Foundation of CSR Activities

Some of the data in this report differs from the data in last year’s report as a result of revisions implemented to reflect changes in calculation methods and business sites covered.

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3 CSR REPORT 2015 4CSR REPORT 2015

In fiscal 2014, although prices of petrochemical raw materials entered a downward phase because of a decline in crude oil prices from mid-year, the business environment remained dif f icult due to the impact of economic stagnation in Europe, the slowing of economic growth in China and developing countries, the stagnant consumption in Japan affected by the consumption tax increase, and other factors. In such a management environment, the Sekisui Plastics Group has engaged in business activities in order to achieve its transformation into a solutions offering-based business that meets all customer and market needs, as formulated in our ENS2000-Challenge mid-term management plan. As a result, we were able to achieve year-on-year increases in sales and income in fiscal 2014 by meeting overseas demands in the electric home appliances and IT fields as well as automobile relations and by successfully improving profitability through flexible pricing policies and cost reductions. To create a sustainable society together with our stakeholders, I believe that the most important CSR activity is to contribute to society through our businesses. The Sekisui Plastics Group will aspire to be “a plastics solution company trusted by customers around the

world,” as set forth in our 100-Year Vision, by continuing to propose products and systems that enrich your lives, including with eco-friendly products, under our motto: “Sekisui Plastics Group—Expanding Our Dreams for People and the Earth.” At the same time, we will enthusiastically engage in business improvement activities with t h e a i m o f t h e g l o b a l e nv i ro n m e n t a l improvement and environmental impact reduction. I would like to ask for your continued support for our endeavors.

August 2015

PresidentSekisui Plastics Co., Ltd.

We propose products and systems that enrich your lives and strive for global environmental improvement and environmental impact reduction.

Management Philosophy

Code of Conduct

Management Policies Related to the Environment, Safety, and Quality

We, Sekisui Plastics, practice “All Member Management” based on mutual respect and trust. We are always innovating in our pursuit of “new happiness.”

1. Unite individual efforts to make a strong power.2. Grow and develop together with customers by creating top quality

and service.3. Contribute to a better environment and an enriched society in

perfect harmony among people, nature, and technology.4. Make a honest, generous and fresh workplace.5. Address each and every challenge in creation and innovation to

achieve our goals.

1. Provide high-quality, safe products and services that meet the expectations of each customer.

2. In overall business activities, strive to prevent accidents and disasters and ensure the health and safety of all the people including employees, business partners, and local residents.

3. Consider the environment and safety in every process from product development to use and disposal and strive to conserve the environment.

4. Consider the resource and energy savings in product development and production, and promote the recycling of used products.

5. Engage in responsible care activities to improve environment, safety, and quality management and gain further confidence from society.

6. Comply with domestic and overseas laws, regulations and standards established by local governments and industries, and engage in business activities.

Responsible care activities are voluntary initiatives pursued by companies that handle chemicals to protect “the environment, public safety and health” throughout the stages of a product’s life, from development to manufacturing, transportation, use, final consumption and disposal, and to dialog and communicate with the public by disclosing the results of such activities.

Responsible Care Activities

RESPONSIBLE CARE

A Message from the President

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5 CSR REPORT 2015 6CSR REPORT 2015

Challenges of the Mid-Term Management Plan Concept

Transformation from businesses focused on existing customers based on a conventional product-out business model to solutions-driven businesses that meet all customer needs

Discovery and satisfaction of customers’ total needs by means including team activities that work across organizational and regional boundaries leading to a rise in new customers and markets

At businesses in Japan, production structure optimization, transition to a sales structure based on and proximity to customers, and control of Group workforce growth through multi-skills training of current personnel

In the global market, acceleration of earnings growth through the exchange of overseas personnel hired during the previous mid-term management plan and sales and development personnel from Japan

Business Model Transformation

Earnings Structure Reform

ENS2000-ChallengeCompleting the Transformation of the Business Model and Reforming the Earnings StructureThe continuing quest to secure a growth path to achieve the sales target of ¥200.0 billion in fiscal 2019 set forth in the previous mid-term management plan

Business Vision

Mid-Term Management Plan

The Sekisui Plastics Group implements CSR and All Member Management groupwide on the basis of the founding spirit and a new management philosophy and aspires to be a plastics solution company trusted by customers around the world.

The Sekisui Plastics Group’s100-Year Vision

Founding Spirit

Corporate Vision for Our 100-Year Anniversary (in Fiscal 2059)

For the sake of workers’ happiness

Situation Goal Scale Goal

Sekisui Plastics Group Solutions Sekisui Plastics Group Contributions

A plastics solution company trusted bycustomers around the world Consolidated sales of ¥500 billion or more

New Management Philosophy

Corporate Domain

MaterialsPlastic based

TechnologiesTechnologies that

create added value

SystemsBy systemizing, know-howand providing information

× ×

We, the Sekisui Plastics Group, practice All Member Management based on mutual respect and trust. We are

always innovating in our pursuit of “new happiness.”

Contributions to Industry

Contributing to the growth and development of industry by

proposing business solutions to client companies

Contributions to Lifestyle Transformation Contributing to the transformation of people’s lifestyles

Contributions to the Global Environment Simultaneously aiming to improve the global environment

100-Year Anniversary FY2059

¥71.5billion

¥29.2billionConsolidated sales

Employees

billion

2,257

¥100.7

Industry

Human Life

Environment and Energy50-Year Anniversary FY2009

¥250billion or more

Consolidated sales

Employees

¥500 billion or more

8,000

¥50billion or more

¥200billion or more

Quantitative Targets (¥ billion)

Proceed with initiatives focused on sales expansion (original target of ¥120.0 billion) and operating income ratio improvement (operating income ratio of 4%/ROE of 5% or higher)

Fiscal 2013 results

Fiscal 2014 results

Fiscal 2015 plan

Sales 1,099.2 1,136.6 1,200.0Overseas sales(Overseas sales ratio)

(142.2)(12.9%)

(208.7)(18.4%)

(250.0)(20.8%)

Operating income(Operating income ratio)

21.2(1.9%)

39.3(3.1%)

50.0(4.2%)

Recurring income 22.1 41.8 47.0Net incomeROE

12.6(2.5%)

25.3(4.6%)

30.0(5.1%)

To synchronize the accounting period of overseas Group companies with the accounting period in Japan beginning in fiscal 2014, the fiscal 2014 results for overseas Group companies are for a 15-month accounting period.

Dividend Plan (yen)

Fiscal 2013 results Fiscal 2014 results Fiscal 2015

plan

ividend per share 7.09.0

(Ordinary dividend 8.5)(Commemorative dividend 0.5)

10.0

Consolidated payout ratio 51.9% 33.2% 31.2%

■ Shareholder Returns Policy◦ Although the Company has set a target of a dividend payout

ratio of 30% to 40% on a consolidated basis, dividends are decided on the basis of a comprehensive consideration of trends in the stock market and business performance.

◦ The Company implements treasury stock acquisitions with flexibility and acumen, taking into consideration the stock market environment and its capital position.

Completion of transformation to a business based on customers’ total needs・ �Expansion�of� the�customer�base�and�sales� through�fusion�of�the�new�divisional�system�and�CS�teams*

・ �Business� transformation� and� earnings� reform� at�domestic�and�overseas�Group�companies

Strategic utilization of resources and fostering of human resources in preparation for global business expansion・ �Full�utilization�of�new�production�sites,�additional� input�of�human�resources� from�Japan�and�early�development�of�human�resources�in�overseas�countries

Rapid cult i vation of new pr o duc t s and new businesses and acceleration of earnings contribution・ �Rapid� cult ivation� of� nex t-generation� strategic�products,� such�as�composite�structural�component�materials�that�combine�carbon�fiber-reinforced�plastic�(CFRP)�and�Sekisui�Plastics�foam

Control of fixed costs through cost-reduction activities and continued rigorous selection of capital expenditures

Fostering asser tive and dynamic human resources

*CS�(cross-functional�solution)�TeamsThe�purpose�of�CS�teams�is�to�develop�business�models�by�forming�teams�that�work�across�organizational�and�regional�boundaries�for�specific�customers�and�on�specific�projects.

High-Priority Policies

1

2

3

4

5

Investment Policy (¥ billion)

Fiscal 2013 results

Fiscal 2014 results

Fiscal 2015 plan

Three-year plan (cumulative)

Capital expenditures 34.4 59.1 41.5 135.0

(10.7)

■ Fiscal 2014 Capital Expenditures◦Principal Facilities Completed PSP warehouse and distribution facility (Japan) TECHPOLYMER capacity expansion (Japan) Construction of a new molding and processing plant (Taiwan) Expansion of a molding and processing plant (Thailand) Warehouse expansion at the Tennessee plant (USA)

■ Fiscal 2015 Capital Expenditures◦Principal Facilities Completed Construction of a new molding and processing plant (Indonesia) Construction of a new plant in Ohio (USA)

■ Three-Year Investment  Breakdown  (¥ billion)

Mergers and acquisitions are strategically implemented and considered separately from ordinary investments.

Overseas(capacity expansion)

49

Japan(capacity expansion)

12

Japan(streamlining

and distribution)17

Shared investments57

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7 CSR REPORT 2015 8CSR REPORT 2015

STATION

Energy-saving beads

TYK Form(Decorative concrete formwork)

Blocks for expanded polystyrene construction method(Lightweight embankment method)

Piocelan(Packaging material for transporting automobile parts)

Piocelan(Container for transporting LCD/PDP components)

Security Pack(UN-standard-compliant transport container for infectious material)

F RollerCelpet(PET foamed sheet)

Set Box(Box container for consolidated transport of frozen food)

Fruit Pack

Celpet-F(Recycled PET foamed sheet)

Epsrem(Expandable polystyrene beads made of 100% recycled material)

Reftelas(High-function resin optical reflector)

Techpolymer(Polymer microparticles used for lighting covers)

ST-gel(Electrodes for low-frequency therapy equipment)

ES Dan Mat LV(Heat insulating material with low VOC emissions)

Dress Wall(Exterior insulation finish method)

TS Sand(Lightweight foam aggregate for mixing with cement)

SM Panel(Insulation material that doubles as a permanent mold form)

Techpolymer(Polymer microparticles for use in paint)

Super Soilen System(Lightweight greening construction method)

Snow-melting panel heaters(Snow-melting system using PTC ceramic heaters)

Piocelan(Foamed plastic automobile components)

Foamac(Acrylic resin rigid foam (core material for CFRP))

Techpolymer(LED light equipment)

ST-gel(Cosmetic pack)

Eslen Container

Aqua Road(Rainwater storage osmotic cell)

Heat-resistant polystyrene sheet

Lightweight tray sheet

Sekisui Plastics Pro ducts in Our LivesProducts from the Sekisui Plastics Group bring comfort and convenience to our

l ives and help protect the global environment.

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9 CSR REPORT 2015 10CSR REPORT 2015

The Sekisui Plastics Group aspires to be a plastics solution company trusted by customers around the world by proposing solutions involving Sekisui Plastics Group products and systems that enrich people’s lives, including environmentally conscious products.

Piocelan Tibia Pad (Energy Absorption Material)

Snow-Melting Heater Units that Combine Tech Heater and PiocelanSpecial Feature

Environmental Contribution through Business Activities

The Sekisui Plastics Group is implementing the transformation to solutions offering-based businesses, an objective set forth in the ENS2000-Challenge mid-term management plan. We will resolve our customers’ issues by forming the Cross-functional Solution team that works across organizational and regional boundaries and by proposing solutions that take full advantage of Groupwide resources (human resources, technologies, expertise, and customer networks) and industry–university joint developments, focusing on the Sekisui Plastics Group’s products and systems, including eco-friendly products.

For some time, Toyota Motor Corporation has been using automobile components made of Piocelan for a wide range of applications in many of its automobile models, including the Lexus and other high-end models and hybrid vehicles such as the Toyota Prius. Currently, Toyota is adopting Piocelan Tibia Pad (energy absorption material) because of its impact energy absorption performance and also lightweight to reduce environmental load. We will continue to contribute to the realization of a low-carbon society by pursuing other uses for this material in fuel-cell vehicles and other environment-friendly vehicles.

Piocelan is a high-function resin foam, which combines the rigidity and high expandability characteristics of polystyrene with polyolefin’s excellent resistance to impact, chemicals, and abrasion, given by our unique polymer hybrid technology. It is possible to reduce the weight and package size by increasing its expansion rate while ensuring the required performance. Piocelan has been adopted for automobile components and distribution packaging material as eco-friendly materials.

Akita Shinkansen trains run through snowy regions so there were concerns about the possibility of accidents caused by dropping and scattering ice built up behind the wheels. Then, we carried out basic testing and implementation testing together with Kawasaki Heavy Industries, Ltd. to stabilize the snow-melting performance of snow-melting heaters in areas where snow adheres to train cars and verified an efficient heat insulation structure. As a result, snow-melting heater units have been adopted for the Akita Shinkansen - high speed train

“E6 series Komachi,” which began commercial operation in March 2013. We will pursue additional applications for the heater units in the railway sector, such as local trains in snowy regions.

Low power consumption heater units that combine the Tech Heater, using PTC ceramic materials, and Piocelan heat insulation materials, passing train flammability tests.

1)Tech HeaterThe use of PTC ceramic material, self-controlling electric power output, reduces temperature unevenness of each part and makes it possible to control output as necessary, avoiding excess power consumption. In addition, since PTC ceramic material prevents excessive temperature rises and maintains temperatures constant, there is no need to install a separate control device such as a thermostat. Tech Heater has been adopted for use as a snow-melting panel heater on the roof at Shin-Aomori Station on the Tohoku Shinkansen line .

2)Piocelan Heat Insulation MaterialPiocelan is a hybrid resin of polystyrene and polyolefin. Its molded foam provides high dimensional stability and heat resistance properties as an insulation material. We unified Tech Heater with molded Piocelan foam with a corrugated inner surface in order to transmit heat efficiently.

CustomersFormation of teams that

work across organizational and regional boundaries to �rd solutions to customers’

issues utilizing the Group’s full range of products and resources

DivisionA

CompanyB

DivisionC

Sekisui PlasticsGroup

Teams

Adopted for the MIRAI Fuel Cell Vehicle (Toyota Motor Corporation)

Adopted for the Akita Shinkansen - High Speed Train “E6 Series Komachi”

Example of Tibia Pad adopted by an automobile company

Features of Snow-Melting Heater Units

Snow-melting heater units

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11 CSR REPORT 2015 12CSR REPORT 2015

Waterless Fish Distribution Box for Live Flounders Napping Mats for Kids and Noise-reduction, Shock-absorption Floor Mats

LED Lighting Equipment

Consumer demands for fresh fish are growing in Japan and around the world, thanks in part to the surging popularity of Japanese food. At this time, the major method of transporting live fish is to use water-filled tanks or containers with oxygen supply, however, there are many issues. The transportation of large volumes of water is inefficient and the method is unsuited to air transport where water spillage is strictly prohibited. The Sekisui Plastics Group, in a joint development project with Miyagi University with support from the Japan Science and Technology Agency (JST) Center for Revitalization Promotion, succeeded in developing the waterless transport of flounders, high-grade fish produced in Aomori Prefecture, using a waterless fish distribution box, our original foamed polystyrene container designed to preserve freshness and ice packs. We will apply the full range of products and technologies of the Sekisui Plastics Group to offer total solutions proposals for this new way of product delivery, including peripheral materials. In the future, we plan to extend this solution to other types of fish that can be transported without water, particularly cultivated fish, which can lead to their continued and stable supply.

The Kids Design Award is an award program sponsored by the Kids Design Association (an NPO) to recognize designs to contribute to the safety and security of children, designs to develop creativity and create the future of children, and designs to comfortably raise children. Award-winning products can display the Kids Design mark on the products. Two Sekisui Plastics Group products, developed and commercialized as solutions to assist in raising healthy children, won awards in the 2015 competition: Napping Mats for Kids and Noise-reduction, Shock-absorption Floor Mats.

These mats can be easily folded up and put away. A unique block structure that combines elasticity and breathability enables these thin mats to provide gentle support for children as they sleep with all the comfort of futon. Since the surface fabric is water-repellent, it is easy to deal with sweat and bed wetting.

These special-purpose floor mats can be designed according to any shape and can be easily installed in existing buildings. Since the mats provide excellent shock-absorption performance and also it can reduce floor noise for downstairs, they are suitable for preparing indoor areas for children to engage in vigorous, active play.

LED lighting, which offers excellent energy savings, has become widely used in recent years in the lighting market. However, LEDs produce highly directed light, and their use as a light source in lighting equipment requires efficient diffusion of light to avoid glare. The Sekisui Plastics Group offers Techpolymer, microspheres diffusing light efficiently, as a light-diffusing material for LED lighting and has sold molded articles such as light bulb filter covers made using Techpolymer in response to customer requests. Currently, we are utilizing the technologies and know-how accumulated in this business to develop and commence sales of LED lighting equipment. We not only sell equipment but also offer total solutions, extending from lighting design to installation, to resolve a variety of light-related issues we hear from our customers, such as “LED light is too bright at hand for close inspections,” “Insects are gathering at lights,” and “Mercury lamps are glaring in plants and warehouses.”

Developed Lighting Equipment1. Blue-light cut type (straight tube light)2. UV cut type - low insect-attracting (straight tube light)3. Mercury lamp typeIn addition, standard type and high luminance type are available.

Successful Joint Development Project with Miyagi University, with Support from the JST Agency Center for Revitalization Promotion

The 9th Kids Design Award-winning Products

LED Lighting Equipment Made Using Techpolymer, Light-Diffusing Material, is Commercially Available

Noise-reducing, cushioning floor matsNapping Mats for Kids

Napping Mats for Kids Noise-reduction, Shock-absorption Floor Mats

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13 CSR REPORT 2015 14CSR REPORT 2015

We, the Sekisui Plastics Group, practice All Member Management based on mutual respect and trust. We are always innovating in our pursuit of “new happiness.”

The Sekisui Plastics Group—Expanding Our Dreams for People and the Earth We, the Sekisui Plastics Group, carry out our social responsibility toward stakeholders (including the global environment) by practicing our management philosophy, as we contribute to the sustained development of a global society.

“The Spirit of the Entrepreneur and Industrialist”—An Innovative ApproachExtending well beyond Eslen Beads and Eslen Sheet packaging to include products used in automobile parts and liquid crystal components, Sekisui Plastics has continued to take the lead in developing and bringing products that change lifestyles of end users and consumers to market, through our proposal to customers.

“All Member Participation Management”—The Declaration of Sekisui Plastics’ Founder Masao Fukumoto—Executives and Employees Working in UnisonIn developing work relationships that go beyond organizational boundaries and an optimal workplace environment, we have continued to witness the free exchange of opinions and ideas and a positive attitude toward mutual development. These efforts have spurred growth in our employees, which by association has ensured the Company’s growth. Such initiatives as the former Junior Board1 and our Group Kaizen Activities2, which predate the Company’s current SKG Kaizen Activities3 embody this corporate culture and process.1 Junior Board (Meeting of Young Employees): A forum for young employees to study and hone their skills in preparation for their participation in management. The Junior Board was

one of five sub-committees that supported the Business Promotion Committee established in 1962.2 SKG Kaizen Activities: Group Kaizen Activity launched in 2006. Currently more than 200 groups in the whole Sekisui Plastics Group participate in the activities.3 Group Kaizen Activities: Company’s unique Kaizen Activities introduced in 1968. It is characterized by more variety of themes selected than those of other conventional quality

control activities.

Individualand

CompanyGrowth

Linking to an overarching Group goal

Each employee recognizing the direction of the

Group

Achieving established goals

Sharing aspirations and a vision of the

future: finding common ground

Taking full advantage of individual character traits

and strengths(the power of the individual)

Respecting diversity while cooperating as a

team(the power of the team)

Meaning and Process of All Member Management

The Culture and DNA that Underpins Sekisui Plastics’ Ongoing Development

Management Philosophy

CSR Vision

Corporate Culture Vision

The Sekisui Plastics Group aspires to be a plastics solution company trusted by customers around the world as we carry out our responsibility toward all stakeholders. We consider the establishment of a management structure through the effective functioning of corporate governance that ensures management transparency and soundness and is capable of responding promptly to changes in the business

environment an important management task in realizing our objective. The current governance structure, which comprises two outside directors and three outside corporate auditors, ensures the rationality, transparency, and fairness of management decisions and management oversight from an objective, neutral stance.

An audit team led by the chairperson of the Responsible Care Internal Audit Committee conducts responsible care (RC) internal audits across the Sekisui Plastics Group. The team checks the outcomes and implementation status of RC activities and maintains legal compliance by checking documents and making on-site checks, and strives to improve RC activities by reflecting audit results in the policies and objectives for the following fiscal year.

To mark our 50th anniversary, we formulated Sekisui Plastics Group’s 100-Year Vision and a CSR Vision. In keeping with the CSR Vision and to promote CSR, we instituted the CSR General Committee, chaired by the president. CSR General Committee

Safety Committee(Chairperson: Director in charge)

Compliance Committee(Chairperson: Director in charge)

Responsible Care Internal Audit Committee(Chairperson: Director in charge)

Secretariat(CSR Promotion Department)

Social Contribution Committee (Chairperson: Director in charge)

CSR Promotion Structure

(Chairperson: President)

Board of Directors 8 Directors

Independent Audit

Shareholders’ meeting

President

Executive Committee

Other committees

Divisions/Departments/Subsidiaries

Audit Department

●Responsible Care Internal  Audit Committee

CSR General Committee●Compliance Committee, etc.

(6 internal and 2 outside)

Executive Officers 13 Officers

(5 concurrently serve as directors)

Board of Corporate Auditors 5 Corporate Auditors(2 internal and 3 outside)

Operational audit

Internal AuditInternal Audit

Appoint/dismiss

Appoint/dismiss

Appoint/dismiss

Appoint/dismiss

Assign and supervise

(Deliberate on substantive matters)

Financial audit

Financial audit

Cooperation

Corporate Governance Structure

Advisory board

An internal audit

Corporate Governance

CSR Promotion

Responsible Care Internal Audit

Risk Management

In accordance with its management philosophy, the Sekisui Plastics Group is taking steps to build a sound management structure, ensure transparency, validity and compliance in management, and practice prompt and pertinent information disclosure.

Section 1

Organizational Governance

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15 CSR REPORT 2015 16CSR REPORT 2015

The Sekisui Plastics Group’s stance on human rights appears in the Compliance Manual and is widely publicized among the Group’s employees. To prevent sexual harassment, power harassment, and other abuses that could occur in the workplace, we conduct several training programs as part of employee education. In addition, we have set up the SKG (Sekisui Kasei Group) Clean Network, an internal whistleblowing system whereby a staff member can directly report human rights abuses to an internal point of contact or an outside attorney and address issues related to human rights.

Ⅲ.会社と社員との関係 1.人間尊重と差別の禁止

2.セクシャルハラスメント、パワーハラスメント

22 23

1

2

関係法令

セクシャルハラスメントの具体的事例はどのようなものがありますか? ①性的行為の要求 ・無理やり一人暮らしの部屋に上がりこもうとする

・肉体関係の実現を目的とした話題を振る、など ②身体への接触 ・「手相を見てあげる」と言って手を握る ・宴会で一緒に踊ることを強要する、など ③身体的特徴に言及した行為 ・体重やスリーサイズを聞き出そうとする ・化粧や髪型の変化についてしつこく発言する、など ④プライバシーを詮索する行為 ・「まだ結婚しないの?」としつこく聞く ・子供ができたかどうか尋ねる、など ⑤その他 ・「女性には重要な仕事を任せられない」と発言する、など

パワーハラスメントの具体的事例はどのようなものがありますか? ・特定の部下を標的に執拗で無理な要求をする ・言葉や態度によって多くの人前で非難する

・飲み会への参加を強制する、飲めない人に飲酒を強要する ・正当な理由を装って仕事を取り上げる、別室に隔離する ・意見の合わない部下を左遷する ・物を投げつける、殴る蹴る、脅す ・身体的特徴をあだ名にして呼ぶ ・退職強要をする、退職や再就職を妨害する

私たちは、出生・国籍・人種・民族・信条・宗教・性別・年齢・各種障がい、趣味学歴などに基づく非合理なあらゆる差別を行いません。 私たちは、暴力・罵声・誹謗・中傷・脅迫による業務の強制、いじめなどによる人権侵害行為は行いません。

1

2

私たちは、性的嫌がらせまたは他人に性的嫌がらせと誤解される恐れのある行為は行いません。また、他人がこれを行わないよう防止についても徹底します。 私たちは、その地位と職権を濫用して嫌がらせまたは他人に嫌がらせと誤解される恐れのある行為は行いません。また、他人がこれを行わないよう防止についても徹底します。

社内相談先 人事部、総務部 男女雇用機会均等法など

就業規則、SKGコンプライアンス行動指針など

関係 法令

社内 規定

社内相談先 人事部、総務部 日本国憲法、労働基準法など

就業規則、SKGコンプライアンス行動指針など

関係 法令

社内 規定

QA

QA

The Sekisui Plastics Group respects fundamental human rights and takes care to ensure that no one is subject to discrimination on account of birth, nationality, ethnicity, creed, religion, sex, age, or disability.

In keeping with the founding spirit of Sekisui Plastics expressed in the motto, “For the sake of workers’ happiness,” we regard human resources as one of our most important management resources. For this reason, the Sekisui Plastics Group provides skills development support, treats employees fairly, proactively promotes work-life balance, conducts occupational safety and health activities, and creates workplaces that provide peace of mind.

The prerequisites to achieving our 100-Year Vision are a transformation to a global company and business expansion. People are our key management resource in this aim. The Sekisui Plastics Group is committed to the development of human resources in the pursuit of growth and transformation of the Group.

To achieve our 100-Year Vision, we have clearly defined the characteristics expected of Group members, and formulated detailed guidelines toward that end.

Developing human resources (characteristics sought)▼A professional who puts All Member Management into practice● A person who contributes to society (customers) by demonstrating wealth of

knowledge and outstanding skills● A person who is committed to innovation and to meeting challenges● A person capable of playing a central role globally

Action guidelines1. Innovation We will address each and every challenge in our unwavering pursuit of

innovation.2. Speed We will take immediate action toward achieving set goals.3. Teamwork We will share aspirations and goals, acting as a single united force.4. Respect for diversity We will respect every individual’s personal traits, views and perspectives.

CSR General Committee

Compliance Committee

Whistleblower

Involved department

Outside point of contact○ Corporate attorney

Internal points of contact○ General manager of General Affairs Department○ Secretariat of the Compliance Committee

Selection

Reporting

Instructions

Investigation request

Response

Response Response

Reporting

Reporting Reporting

Reporting

SKG Clean Network

Vision for Human Resource Development

 ●Improve the level of SKG Kaizen

Activities (strengthen the capabili-ties of front-line staff) and share them with global subsidiaries

●Promote SKIT activities (enhance the intellectual productivity of engineers)

●Oversee productivity improvement activities

●Disseminate the corporate culture to personnel overseas

●Promote globalization of personnel in Japan

●Strengthen the sales and marketing capabilities of Group companies

Production and TechnologyInnovation Department

Global Human ResourcesDevelopment Department

President

Human Resources Developm

ent Center

Human Rights Initiatives

Developing Human Resources to Achieve Our 100-Year Vision

New training system to realize our 100-Year Vision (since April 2012)

Mid-level

employees

(assistant managers)

 

Specialized training courses, for example in engineering or sales

  

SKG culture, the basics of business conduct1) New employee orientation

Logical thinking, problem analysis and communication skills2) Basic training: Introductory level

Skills in coordinating tasks, people, schedules and improving upon these

3) Basic training: Intermediate level

Skills in identifying and solving problems4) Basic training: Advanced level

Improving problem-solving skills; basic leadership training, etc.

5) Career enhancement training: Introductory level

Skills in developing strategies based on multiple perspectives; building on leadership skills, etc.

6) Career enhancement training: Advanced level

Essential knowledge for senior managers, financial analysis, problem analysis, etc.

7) Training for newly appointed senior managers (at the time of promotion)

Management by objectives, improving problem-solving skills, etc.8) Management training

Developing a vision, formulating strategies, business management, etc.

9) Advanced management training

Financial management, organizational management, developing management strategies, etc.

10) Training for next-generation executives

Entry-level employees

(general office em

ployees)

Step ❶Step ❷

Managem

ent orsenior positions

(senior managers)

Step ❸

Supplementary training in the form

of correspondence courses, etc., and support for self-learning

Planned human resource development and a clear definition of skill development The entire training program is divided into three steps (levels) and there is a development policy for each level. The required skills and the purpose of each course are clearly defined to provide employees with training in a consistent manner.

Acquiring the habit of thinkingOne of the main objectives of our human resource development is to enhance the ability to think. We regard this as the basis of all skills, including problem solving. This objective is reflected throughout the training programs, as in the Logical Thinking course for entry-level employees.

Acquiring the habit of learningWe regard the first to the third year of employment with the company as the most important period for training. Opportunities for intensive training through Group training and correspondence courses are offered to employees during this period so that they can acquire the habit of learning.

Creating a learning environmentIn close collaboration with individual workplaces in light of such programs as on-the-job training, we create an environment where employees can continue to learn so that the results of training have more than a temporary effect.

Acquiring higher skillsWe provide new training opportunities for mid-level employees who play a central role in business operations so that they can participate in skills improvement training at the right time.

Acquiring a wealth of knowledgeIn collaboration with the relevant divisions, we organize specialized courses, such as in engineering or sales, so that participating employees can acquire knowledge in a systematic and efficient manner.

Training System

Human Rights

Labor PracticesSection 2

Human Rights/Labor Practices

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17 CSR REPORT 2015 18CSR REPORT 2015

The Sekisui Plastics Group set up the Consortium of the Business Promotion Committees comprising every employee including directors, and encourages their voluntary participation in management. The Consort ium of the Business Promotion Committees has the purpose of pursuing workers’ happiness and All Member Management, while advancing the principles of respect and mutual trust. We continue to foster the founding spirit of Sekisui Plastics, “For the sake of workers’ happiness” and disseminate the corporate culture of All Member Management through the activities of the Consortium of the Business Promotion Committees.

Aspects of Workers’ Happiness1. To receive a salary sufficient for good

quality of life2. To work willingly and humanely3. To contribute to society through work4. To improve oneself5. To keep healthy6. To be confident about one’s future

1. A means for staff to more easily understand the direction of the Company

2. A means whereby individual intent is c o m m u n i c a t e d a n d r e f l e c t e d i n m a n a g e m e n t n o t o n l y t h r o u g h a hierarchical relationship in the Company structure, but also through horizontal ties through the Consortium of the Business Promotion Committees

3. A means for staff to gain a broader perspective not only on their career, but also on personal development and health

The Consortium of the Business Promotion Committees holds Group Exchange Meetings, an opportunity for interaction among Group staff, and other recreational activities such as sports events and Christmas parties to deepen ties and develop a strong sense of unity among employees of Group companies. In addition, the Consortium engages in various other activities, including social contribution activities and the

“say hello project,” a campaign for a more pleasant work environment, promoted by the entire Sekisui Plastics Group.

In May 2014, we again acquired the “Mark of Certification of Support for Raising Next-Generation Children (commonly called Kurumin)” from the Osaka Labour Bureau of the Ministry of Health, Labour and Welfare. We first received the accreditation in 2012. This is an official acknowledgement of our efforts to support employees to balance work and family life by enhancing our childcare leave system and promoting

taking paid leave. We continue to aspire to be a company that supports child-raising by implementing and enhancing systems that create employee-friendly workplaces and work–life balance.

To support the physical and mental health of employees, we provide a wide range of services including medical checkups, medical consultations with an industrial physician, guidance from public health nurses on reversing metabolic syndrome, and hygiene training. With regard to mental health, in fiscal 2012 we formulated a basic policy for promoting mental health among the Sekisui Plastics Group. We prepare an annual plan and continually and systematically engage in comprehensive mental health support activities, including preventive measures. In fiscal 2014, we conducted training related to mental health for managers. In fiscal 2015, we will continue to conduct such

training and also engage in activities to prevent lifestyle-related diseases from becoming severe, conduct stress checks, and provide health information for the purpose of raising health awareness among employees.

Basic Policy on Mental Health PromotionThe Sekisui Plastics Group recognizes that mental health is an important priority that enables employees and their families to lead happy lives, increases productivity, and creates vibrant workplaces. We not only provide support for employees with mental health issues, but also systematically engage in ongoing comprehensive mental health support activities, including preventive measures.

Global Talent System Sekisui Plastics Cram School Physical and Mental Healthcare

Consortium of Business Promotion Committees—the Founder’s Spirit Lives On

Activities of the Consortium of Business Promotion Committees

SKG Kaizen Activities

With the aim of developing talented individuals who will play an active part vigorously in the global market, the Sekisui Plastics Group introduced the Global Talent System for developing and managing human resources according to individual experience and skill level and conducts educational programs adapted to levels of know-how. In fiscal 2014, we focused on developing people capable of playing an active part vigorously in the global market by providing language training, cross-cultural communication training, and management training for global personnel, especially those recommended by general managers and business divisions. In addition, to quickly develop global personnel more effectively in step with the expansion of our global business bases, we conduct personnel development that emphasizes on-site experience by actively dispatching molding and processing engineers, sales development personnel, and other young employees in specific job classifications to overseas Group companies.

In Sekisui Plastics Cram School, we have further developed the Sales Devel- opment Skills Enhancement Program, inaugurated in fis- cal 2013, and are providing t r a i n i n g c e n t e re d o n fostering activeness and vitality, a high-priority policy for fiscal 2015 in the Mid-Term Management Plan.

Course A: Enhancement of Business-Building Skills and Organizational Transformation

This course develops independent thinking from a global perspective, the ability to identify customer needs, while enhancing business-building skills, and those for organizational transformation.

Course B: Sales Development Skills Enhancement with Greater Collaboration Between Sales and Engineering, Creating a New Business Model

This course develops a market-in mentality, the ability to utilize resources across organizations, and to propose solutions to customers.

Course C: Enhancement of Activeness and Vitality This course develops activeness and vitality, and individuals who take the initiative, encourage others, and play a central role in work assignments.

Global skill levels Required skills

GT4

Global Management

Global top management・ Serves as representative of an overseas Group company and a general manager overseeing the territory, and develops, superv ises and carr ies out bus iness strategies.

・ Carries out business operations as a company representative.

・ Cultivates human resources for global senior management.

GT3 Leader

Division head at an overseas Group company・ Serves as senior manager of an overseas Group company and explains company policy to local staff members.

・ Implements bus iness measures and facilitates communication from the local office to headquarters.

・ Cultivates global human resources.

GT2 Front Runner

Staff engaged in local business operations・ Takes the initiative in carrying out business with a certain level of overseas experience and knowledge of global business.

・ Identifies and resolves business issues.・ Explains policy from headquarters to local staff members.

GT1 Trainee

An assistant in global operations・ Has the communicat ion sk i l l s to be positively engaged in global operations.

・ Prepares for and goes on business trips by himself/herself.

GT0 Entrant

Entry-level position as global staff・ Allowed to participate in global operations (including business trips).

・ Takes initiative to interact with global staff members.

Working in overseas offi

cesEngaged in overseas business

We promote human resource development at production sites because we believe that human resources are the basis of manufacturing capabilities. SKG Kaizen Activities are companywide efforts to develop skills at production sites and enhance the manufacturing capabilities of the entire Group. All staff at production sites, whether they are regular, part-time or temporary employees, is involved in SKG Kaizen Activities and is committed to manufacturing superior products in terms of the environment, safety, quality and cost. At a company convention held in July every year, teams selected from individual Group companies nationwide present their Kaizen or workplace success stories.

Five Skill Levels

Activities of the Consortium of Business Promotion Committees

Recognition for Supporting Child-Raising

All Member Management

Creating an Employee-Friendly Work Environment

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19 CSR REPORT 2015 20CSR REPORT 2015

Policies on Security, Safety, and Health Activities◦ All business site managers and employees work

together to rigorously implement security, safety, and health activities to achieve no accident/no disaster.

◦ We continuously identify potentially hazardous locations and operations to eliminate potential risk factors.

◦ Technology departments reinforce safety-related activities and eliminate the hazards related to irregular operations.

Safety-Related ActivitiesIn addition to safety patrols of the workplace and tours of the premises by business site managers, we implement the following safety-related activities.

Emergency Measure DrillsAs the Group uses hazardous materials and high-pressure gases, we conduct periodic spill accident prevention drills and fire drills. We make the best use of the drills for the future and all possible preparation for emergencies. Sekisui Plastics Kanto won top prize in an outdoor fire hydrant operation competition sponsored by the local fire department thanks to its fire drills.

Safety-Related Activities at Overseas Business SitesSekisui Plastics Taiwan, Miaoli Plant and PT. Sekisui Plastics Indonesia, which began operations in fiscal 2015, engage in safety-related activities using a safety calendar, safety education videos, and other tools.

Safety-Related and Health ActivitiesWe conduct periodic training and safety education and emergency response drills to hone employee abilities and skills and maintain and improve safety and health.

Risk AssessmentThe Sekisui Plastics Group engages in risk assessment. We identify dangers and hazards in the workplace, perform risk assessment, consider and implement risk mitigation measures, and eliminate or mitigate risks. Information on residual risks that cannot be completely eliminated is shared among business sites, as we strive to increase safety awareness and improve workplace safety.

Promoting Safety AwarenessTo mark National Safety Week, we solicit safety-themed posters, slogans and proposals from all domestic Group companies, offer prizes, and display outstanding examples at all Group business sites. In addition, individual Group companies participate in public awareness campaigns conducted in locations.

Awarded the Accident-Free Record CertificateThe Shimodate Production Group of Sekisui Plastics Kanto won the golden award and Sekisui Plastics Okinawa won the silver award in the Small and Medium-Sized Enterprise A c c i d e n t - F r e e Record Certificate Program of the Japan Industrial Safety and Health Association.

Safety AwardsTo raise employee a w a r e n e s s o f security, safety and health , we bestow annual safety awards on b us i n es s s i te s t h a t m a i n t a i n a c c i d e n t - f r e e operations and a c h i e v e o u t -standing performance in safety improvement and disaster prevention.

Safety PerformanceIn fiscal 2014, four occupational accidents (including one accident involving loss of workdays) and one fire occurred.

Sekisui Plastics Group places the highest priority on the health and safety of its employees and local community residents and organizes activities on prevention of accidents and injuries.

1 Safety briefings with managersManagers conduct safety-related briefings with all employees. (Some business sites utilize the results of a safety response survey conducted by the Japan Industrial Safety and Health Association.)

2 Designation of daily safety managersAll Group companies designate daily safety managers with the aim of increasing safety awareness and the sense of responsibility for a safe workplace among employees and identifying and correcting unsafe conditions.

3 Production section safety meetingsGroup companies that have similar production facilities and production operations get together to devise and carry out safety measures pertaining to shared issues.

Local fire department: Ibaraki Seinan Regional Fire Department

▪ Safety training hallsSafety training halls, where employees can experience simulated accidents, exist at five locations of Sekisui Plastics of Japan as educational facilities to raise safety awareness among individual employees and impart safety skills. The training halls are utilized to periodically provide hands-on educa t ion and enable all employees to learn the basics of safety.

▪ First-aid trainingWe engage ou t s ide instructors to periodically conduct first-aid training at Group companies.

Sekisui Giken Meihan Ogura Plant

0

1.00

2.00

3.00

2014

20110

0.050

0.100

0.150

20142013201220102009

20132012201120102009 (fiscal year)

0.010 0.000

0.040

0.006 0.0040.014

0.100 0.100

0.0900.080

0.090

0.080

0.000.260.27 0.82

0.55

1.00 1.060.940.99 0.98 1.05

0.29

Rate of lost-work-time injuries1

Severity rate2

(fiscal year)

1 Rate of lost-work-time injuries: The number of employees absent from work because of industrial accidents per 1 million working hours2 Severity rate: The number of workdays lost per 1,000 working hours

Rate of lost-work-time injuries and severity rate at manufacturers (with 100 or more employees): Excerpted from statistics in the Ministry of Health, Labour and Welfare’s Survey on Industrial Accidents

Sekisui Plastics Group

Manufacturers (with 100 or more employees)

Security, Safety, and Health Initiatives ▪ Safety SeminarsWe periodically hold seminars inviting outside lecturers on the dangers associated with high-p res su re ga ses and hazardous materials and on handling precautions.

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21 CSR REPORT 2015 22CSR REPORT 2015

FY2014 FY2015

Plan Result Plan

Total energy consumption

Reduction of 1% or more in unit consumption/output compared with the

previous year

Increase of 1.0%

Reduction of 1% or more in unit consumption/output compared with the

previous year

Electricity consumption Increase of 0.1%

Non-electric energy consumption (crude oil equivalent) Increase of 1.8%

CO2 emissions (production) Increase of 1.8%

CO2 emissions (transportation) Decrease of 2.8%

Recycling

■ Sales ■ Production

■ R&D

Totaleffluent

COD

Rawmaterials

input

Non-electric energy input(crude oil equivalent)

Waterresource

input

Electricityinput

Sekisui Plastics

Aquatic environmental load

Products Atmospheric environmental load

Inputs Outputs

Final landfill disposal and simple incineration: 108 tons/year7,537 tons/year

CO2:101,399 tons (manufacturing)CO2:6,333 tons (transportation)NOx:25.6 tons/yearSOx:52.1 tons/year

7,646 tons/year

2,645 m3/year

12.6 tons/year

112,671 MWh/year

15,380 kl/year

2,882 m3/year

Total energy input

171.947 million MJ(           )Materials recycling: 6,406 tons;

Thermal recycling: 1,131 tons

Industrial waste

In fiscal 2014, we used 171,947 million MJ of energy in total (112,671 MWh of electricity input and 15,380 kl of non-electric energy input [crude oil equivalent]), in manufacturing. The atmospheric environmental load (CO2 equivalent) from this energy consumption was 101,399 tons of CO2 . We also used 2,882 m3 of water resources and discharged 2,645 m3 of effluent.

We generated 7,646 tons of industrial waste in the manufacture of products. Of this industrial waste, 7,537 tons were recycled (materials recycling of 6,406 tons and thermal recycling of 1,131 tons). The final landfill disposal was 108 tons.

The Sekisui Plastics Group identifies and manages the environmental impact arising from business activities in “unit consumption/output,” which expresses the quantity of environmental loadings per unit in the volume of production (or the volume of transportation in the case of distribution). We are currently implementing the Commitment to a Low Carbon Society launched in fiscal 2013.

Environmental Load Reduction Targets

Initiative to Reduce Total Energy Consumption and CO2 Emissions in ProductionIn addition to activities at individual Group companies, the Sekisui Plastics Group has formed the committee of Energy-Saving Promotion and has been promoting energy conservation through production process innovations. Although we were able to decrease total energy consumption and CO2 emissions in fiscal 2014 as a result of these efforts, unit consumption and unit emissions increased year on year, and we were unable to achieve the targets in the annual plan. In fiscal 2015, we will strive to achieve the targets by continuing initiatives such as reducing heat loss, replacing equipment with inverted-equipped models, solving problems of steam/air leakage, and improving processes.

Total energy consumption Total unit energy consumption CO2 emissions (production) Unit CO2 emissions (production)

174,231 171,947

FY2013 FY20140

50,000

100,000

150,000

200,000(万MJ)

8,322 8,403

FY2013 FY20140

4,000

6,000

8,000

10,000(MJ/ton)

2,000

(ton-CO2) 487 496

FY2013 FY20140

100

200

300

500(kg-CO2/ton)

400

101,906 101,399

FY2013 FY20140

60,000

80,000

100,000

120,000

40,000

20,000

Decrease of1.3%

compared with FY2013

Decrease of0.5%

compared with FY2013

Increase of1.0%

compared with FY2013

Increase of1.8%

compared with FY2013

*The CO2 emissions are calculated according to the GHC Emissions accounting, reporting and disclosure system based on the Act on Promotion of Global Warming Countermeasures.

Inputs/Outputs (FY2014 Actual)

Fiscal 2014 Activity Results

Section 3

The Environment

In accordance with its environmental policy—“We consider the environment and safety in every process from product development to use and disposal and strive to conserve the environment”—the Sekisui Plastics Group proactively works to reduce emissions of environmentally hazardous substances generated through business activities and contribute to the realization of a sustainable recycling and low-carbon society through biodiversity preservation and other activities.

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23 CSR REPORT 2015 24CSR REPORT 2015

Unit CO2 emissions (distribution)

FY2013 FY2014

31.8 31.0

(kg-CO2/ton)

0

10

20

30

35

5

15

25

Decrease of2.8%

compared with FY2013

Emissions of Chemical Substances Subject to the PRTR1 ActWe aim to further reduce emissions of specific chemical substances in accordance with the Act on Confirmation, etc., of Released Amounts of Specific Chemical Substances in the Environment and Promotion of Improvements to the Management Thereof (PRTR Act).1Abbreviation for Pollutant Release and Transfer Register

Initiative to Reduce CO2 Emissions in DistributionTo reduce energy use during product transportation and mitigate environmental load, we are taking steps to reduce CO2 emissions in distribution in a number of ways. Although unit CO2 emissions (distribution) increased by 0.8% in fiscal 2014 compared with the previous year, these activities resulted in a reduction of 451-ton CO2 emissions.

Initiative to Reduce CO2 Emissions in OfficesThe Sekisui Plastics Group has introduced energy conservation activities in offices, such as turning off lights during the lunch time and unnecessary lights, and installations of energy-saving equipment (such as LED lighting and individual air conditioners). In fiscal 2013, we implemented such activities at Group companies, beginning with conversion of all lighting at Sekisui Plastics headquarters to LED lamps.

Substances Styrene Toluene Methyl methacrylate Ethyl benzene

Fiscal Year 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014

Emissions

Air 9.6 9.6 8.0 5.5 5.8 1.4 0.8 0.7 0.7 0.7 1.4 1.3 1.0 1.4 1.3 0.1 0.1 0.1 0.0 0.0

Water 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Soil 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Transfer 3.0 2.8 1.8 2.1 1.1 0.0 0.0 0.0 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Appropriate Storage of Polychlorinated Biphenyl (PCB)In accordance with the Act Concerning Special Measures for PCBs, we appropriately store and manage and sequentially detoxify condensers containing PCB. We disposed of 10 containers in fiscal 2014 and are storing 69 containers as of July 2015.

Management of IncineratorsWe have two incinerators subject to the Act Concerning Special Measures Against Dioxins. We measure the amount of exhaust gas, incineration ash and dioxin content in smoke dust every year, and maintain and control these in an appropriate manner.

We recycle waste generated in our sites without using landfill or simply incinerating it.

With the aim of reduction and recycling of industrial waste, we launched zero emission activity in fiscal 2001. We have expanded this activity to our Group companies since April 2005, and achieved a total recycling rate of 98.6% in the entire Group in fiscal 2014. In addition, Osaka Head Office started zero emission activity in office buildings in November 2004 and undertook waste separation, achieving almost a 100% recycling rate in fiscal 2014.

Emissions of chemical substances (Substances subject to PRTR Act: Rounded to one decimal place) (Unit: tons)

We are taking steps to reduce the amount of chemicals released as part of measures to protect the global environment.

【CO2 Emission Reduction Activities】

1) Reduction of environmental load during transportation

Load efficiency improvement due to increase in product size (increase in product rolling volume)

Promotion of the modal shift (use of long-distance ferries)

Transport lot increase resulting from larger vehicle sizes (reduction in the number of delivery vehicles)

Improvement through use of return vehicle trips of other companies

2) Improvement in energy consumption by shortening transportation distance

Shortening of delivery distances by a means of direct delivery to users

Reduction of the transport volume between business sites resulting from expansion of the number of items produced at each site

3) Improvement in energy consumption resulting from an increase in storage volume within business sites

Reduction in the volume of product movement to external warehouses (transport between warehouses)

4) Reduction in vehicle idling Promotion of switching off idling engines of transport vehicles during stand bys

Chemical Substance Management

Zero Emission (Zero Waste) Activities

To make an environmental contribution through the effective use of land, the Sekisui Plastics Group has opened mega-solar power plants in the city of Nakatsu, Oita Prefecture, and in Nara, Nara Prefecture, jointly with Kyushu Eternal Energy Co., Ltd. (Oita) and OR Solar Seven Co., Ltd. (Nara), respectively. The combined projected annual power generation of the two power plants is 3.1 million kWh (equivalent to the annual power consumption of 8.6 million households). The plants are expected to contribute to the expansion of renewable energy and reduce CO2 emissions and environmental impact.

Overview

Sekisui Plastics Kyushu Solar Power Plant Sekisui Plastics Nara Solar Power Plant

1.Location Within the Sekisui Plastics Kyushu Oita Plant (Nakatsu, Oita Prefecture)

Within the Sekisui Giken Meihan Ogura Plant (Nara, Nara Prefecture)

2.Installation area 19,700m2 17,900m2

3.No. of installed panels 6,500panels 4,900panels

4.Power generation capacity 1,600kW(1.6MW) 1,250kW(1.2MW)

5.Projected annual power generation 1,773,000kWh 1,333,000kWh

6.Start of power generation December 1, 2014 March 31, 2015

7.Power plant operator Kyushu Eternal Energy Co., Ltd. OR Solar Seven Co., Ltd.

8.Land lessee Sekisui Plastics Co., Ltd. Sekisui Plastics Co., Ltd.

Sekisui Plastics - Kyushu Solar Power Plant Sekisui Plastics - Nara Solar Power Plant

Unit CO2 emissions (office)

FY2013 FY2014

67.8

57.5

(kg-CO2/m2)

0

20

60

80

40Decrease of15.2%

compared with FY2013

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25 CSR REPORT 2015 26CSR REPORT 2015

Biodiversity Workshops and Environmental Competitions

To raise knowledge about biodiversity and foster environmental awareness, we periodically hold biodiversity workshops and environmental competitions using a quiz format. In fiscal 2014, we held these events at three business sites. Participants, including employees of Group companies in the vicinity of the host business sites, came away with renewed awareness of t he impor tance o f env i ronmenta l preservation, including responsibility for their immediate natural environment.

We engage in environmental improvement measures to protect the precious global environment.

Environmental Conservation Initiatives

Nationwide Survey of Local Water Environments

The Sekisui Plastics Group continues to participate in the Nationwide Simultaneous Survey of Familiar Water Environments with the aim of ascertaining the state of local water environments near business sites, residences, and other locations and contributing to activities to preserve water environments. The 11th Survey was conducted at 38 river locations nationwide, and the 12th Survey in June 2015 was conducted at 35 locations.

Alien Plant Eradication ActivitiesSince fiscal 2011, nearby Group companies have pa r t i c ipa ted i n b iod i ve r s i t y preservation and alien invasive plant eradication activities in Shiga Prefecture to preserve Lake Biwa’s biodiversity.

Green Curtain (Green Wall) ActivitiesA total of 34 of the Group’s business sites participated in greening activities which the Ministry of the Environment encourages as a summertime power-saving and CO2 reduction measure. We also held a green curtain photo contest in which contestants compete by submitting photographs of the results of their green curtain efforts, and it helped the participants improve their planting techniques.

Green Wave 2014 ActivitiesA total of 13 business sites of 10 Group companies participated in Green Wave 2014 activities promoted by the Ministry of the Environment, planting trees and flowering plant seedlings.

At the Kick-Off Forum for the Midpoint in the United Nations Decade on Biodiversity, sponsored by the Ministry of Environment and held on February 20, 2015 at Keidanren Hall in Tokyo, we presented an act i v i t y repor t on Sek isu i P las t ics Group’s environmental preservation activities, focusing on Green Wave activities.

Activity Report at the Kick-Off Forum for the Midpoint in the United Nations Decade on Biodiversity

Basic Policy Concerning Biodiversity

A variety of life forms interact on the Earth to create a large ecosystem. The existence of a great variety of organisms is necessary to preserve this ecology, and the preservation of endangered species is a critically urgent task. The Sekisui Plastics Group aims for a sustainable, recycling-oriented society and a society with full of vitality that coexists with nature through biodiversity workshops and preservation activities.

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27 CSR REPORT 2015 28CSR REPORT 2015

The Sekisui Plastics Group promotes the development of a favorable relationship with the public in accordance with the Sekisui Plastics Group Compliance Guidelines that explains the manner in which employees should conduct themselves as members of the Group. The Compliance Committee assures compliance with all relevant laws and regulations as well as enhanc-es and promotes compliance throughout the Group. The Committee meets twice a year to deliberate on compliance issues. The Group also promotes cooperation on compli-ance matters. The principal Group companies establish their own compliance committees, and other Group companies appoint compliance managers. To fulfill its corporate social responsibility, the Group has set up the SKG Clean Network, an internal whistleblowing system, and strives to develop organiza-tions that are fair and full of vitality. Please refer to 2. Human Rights/Labor Practices for information on the SKG Clean Network.

In principle, we return profits to shareholders depending on consolidated financial performance and with the aim of distributing stable dividends. In addition, we continue to rev iew and implement the acquis i t ion and retirement of treasury stock in a flexible manner as part

of profit-sharing with shareholders. Internal reserves are selectively appropriated for strategic investment leading to the future growth and enhancement of the management structure.

Section 4

Fair Operating Practices

The Sekisui Plastics Group complies with laws and regulations, strives to engage in fair operating practices, and conducts business activities based on high ethical standards.

Basic Policy Concerning the Distribution of Profits

Information Security Measures

Promoting Compliance

Information security is gaining importance within corporate social responsibility. The Sekisui Plastics Group is committed to promoting an information security program in accordance with the Information Security Policy established in fiscal 2011.

【1】 Purpose of the Policy ❶ Handling of information assetsInformation assets and systems shall be handled in an appropriate manner in accordance with the information security rules established by the Company.❷ Handling information security breachesA breach of information security shall be reported immediately in accordance with the rules. Security issues shall be analyzed and mea-sures to prevent recurrence shall be taken in accordance with each incident.❸ Business continuity managementThe Company shall ensure that the interruption of operations caused by information security issues is kept at an acceptable level for the sake of business continuity.❹ Security trainingThe Company shall provide employees with information security training using handbooks and e-learning, among others.❺ Compliance with laws, regulations and contract requirementsThe Company shall observe all laws and regulations and contract requirements concerning information security.

Sekisui Plastics strives to be a company trusted by all stakeholders. To this end, the Company must protect its information assets in an appropriate manner and prevent information security breaches. Toward this end, the Company developed a basic policy on information security and disseminated it among Group companies.

【2】 Purpose of information securityThe primary purpose of information security is to protect information resources possessed by the Company from information security breaches, crimes and negligence. At the same time, informa-tion security is part of sound and reliable business operations, not compromising convenience, it promotes awareness of the importance of the Company’s information assets and provides guide-lines for facilitating the development of security measures.

【3】 Basic principlesAll Directors and general employees who handle information assets and systems of the Company shall observe the following principles:

Sekisui Plastics Group Information Security Policy

Sekisui Plastics Group Compliance Guideline

Procurement Policy

Basic Policy on Intellectual Property

Procurement Policy

Respect for Intellectual Property

【1】 Business activitiesThe Sekisui Plastics Group conducts its operations in a lawful, appropriate and rational manner and contributes to society through the provision of products and services of the highest quality and safety.❶ We promote fair and free competition among companies in compliance with the

Act Concerning the Prohibition of Private Monopolization and we observe other relevant laws such as the Subcontract Act and the Construction Business Act.

❷ We fully understand the laws and standards applicable to product safety and we are committed to providing products and services of the highest quality and safety.

❸ We conduct tax accounting in an appropriate manner in accordance with the relevant laws, regulations and accounting standards.

❹ We observe all domestic and overseas regulations applicable to import and export in international operations.

【2】 Relationship with societyThe Sekisui Plastics Group is committed to environmental conservation and coexistence with society as a good corporate citizen.❶ We disclose management information in a timely and appropriate manner.❷ We observe all environmental laws and regulations and are committed to

environmental conservation.❸ We maintain a sound and appropriate relationship with political and admin-

istrative bodies.❹ We take a strict stance toward antisocial groups and we never enter into a

relationship with them.

【3】 Relationship with employeesThe Sekisui Plastics Group ensures a safe and healthy working environment, while the employees respect confidentiality (in terms of Company/personal business), observe all laws, regula-tions and company rules and fulfill their tasks with integrity.❶ The Company observes all labor regulations and makes every effort to

ensure a safe and healthy working environment.❷ Employees observe all company regulations and other company rules.❸ Employees recognize the confidentiality of trade secrets and never disclose

Company information without obtaining prior permission.❹ Employees never partake of illegal stock transactions (insider trading).

We build partnerships through fair and open business practices. In pursuing better products and services the Pro-curement Division of the Sekisui Plastics Group keeps an open door policy of equal opportunity for suppliers, built on transparency and fairness. The procurement policy (on the right) aids in deepening business partner-ships and promoting sustainable development and green procurement on both sides.

【1】 ComplianceWe observe all relevant laws and regulations and social norms in our procurement activities.

【2】 Mutual trustWe open our doors to domestic and overseas business partners, provide them with equal and fair business opportunities, aspire together to harmony and benefits, and strive for mutually beneficial relationships.

【3】 Environmental considerationWe purchase raw materials and components selectively, giving preference to those that have less impact on the global environment, with a lower environmental load, in line with a recycling-oriented society (promoting green procurement of raw materials).

【4】 Important considerations from a CSR standpoint● Compliance with laws, regulations, social and ethical norms● Due consideration for human rights issues and the labor environment● Commitment to safety and environmental conservation● Sound financial condition that allows for continuity of business● Maintaining standards of quality, price and delivery and improving quality as-

surance system

The Sekisui Plastics Group has instituted a basic policy on intellectual property. We ensure proper use of intel-lectual property in business activities and respect the in-tellectual property rights of others by complying with the basic policy in our activities and by designating a department to conduct checks.

● We aim to acquire intellectual property rights beneficial to our business activities.● We utilize intellectual property in a proper manner as an important company

asset.● We take steps to protect our intellectual property.● We take appropriate measures to avoid infringing on others’ intellectual

property and respect others’ intellectual property rights.● Trade secrets  We do not acquire or make use of other companies’ trade secrets dishonest-

ly for any reason whatsoever. We do not make use of trade secrets disclosed by a company for any purpose other than that permitted by the company.

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29 CSR REPORT 2015 30CSR REPORT 2015

Low-stack tray sheetThis foamed polystyrene sheet is used to make trays with a lower stacking height than trays made from a conventional sheet. It is a resource-saving product that uses less raw material per sheet (Reduce). High loading efficiency saves energy during transportation.

100100

Conventional sheet

Conventional sheet

traystrays100100

Low-stack tray sheet Low-stack tray sheet

traystrays

Reduced by 40%◦◦◦ Product-related accidents or defects ◦◦◦

◦◦◦ Raising customer satisfaction ◦◦◦

We have internal regulations to handle potential product-related accidents. When an accident occurs, the department in charge takes the lead in promptly responding, with full consideration of the customers’ perspective, in accordance with the regulations, and those departments involved cooperate in finding a solution as necessary. In the case of an especially serious product accident, the department in charge promptly reports the incident to top management and takes rapid, appropriate response measures.

The Group attempts to identify customer needs using inquiries via our corporate website and by visits to customers, in our pursuit of customer satisfaction. In addition, the Sekisui Group as a whole (including the Sekisui Chemical, Sekisui House, and Sekisui Jushi groups) shares basic data on products and aims to provide an “all Sekisui” response to customer needs.

Basic Stance on Quality AssuranceIt is the Company’s philosophy that product quality reflect customer values, not those of the Company, and as such we carry out upstream management (ensuring product quality at the development stage) in an integrated manner throughout the entire Group and offer products of high value to customers.

Approach to Product SafetyWe are committed to developing products that take into consideration the environment, safety and health throughout the entire product life cycle from research and development to product disposal after use. We also conduct extensive testing and analysis to meet diverse quality requirements.

Compliance with Regulations on Chemical SubstancesThe Sekisui Plastics Group has actively proceeded to comply with domestic and overseas regulations on chemical substances. We have participated in the Joint Article Management Promotion-consortium (JAMP) and have built and administered the information distribution system for chemical substances, and effectively utilize JAMP mechanisms (the MSDSplus and the Article Information Sheet) to provide detailed information on trace components contained in our products. Related laws including the Industrial Safety and Health Act have been revised and Globally Harmonized System (GHS)-based labeling, workplace notification, and Safety Data Sheet (SDS) requirements have been expanded and enhanced. In Japan, the Sekisui Plastics Group has classified all products containing regulated hazardous substances and has been in compliance with the revised Industrial Safety and Health Act. For export products, we are proceeding with GHS compliance in accordance with legislation in the EU, South Korea, Taiwan, China, and other countries.

We operate a quality assurance system, centered on the customer and applied at the development stage to ensure that all products and services meet the expectations of our customers.

Quality Assurance

Consumer Issues

Aqua Road (Rain water storage osmotic cell)Aqua Road is used to build rain water storage osmotic cells under roads. It helps alleviating flooding and inundation damages during short localized downpours.

EPS Construction Method (Lightweight embankment method)This is a lightweight embankment method using Eslen Block, which boasts excellent features such as l ight weight , sel f - s tanding capabilit y, and compression resistance. It enables manual construction in a shorter period without heavy machinery and contributes to energy conservation.

A compar ison of CO2 emissions between the raw material and process stages within concrete water reservoirs

Reductionin CO2

emissions57%

A compar ison of CO2 emissions between the raw material and process stages within lightweight air-mixed soils

Reductionin CO2

emissions48%

Sekisui Plastics Group Environmental Contribution Products

Dress Wall (Wet exterior insulation finishing system)This is an exterior insulation finishing system with superior quality and performance that protects the building and ensures a comfortable living environment.Qualified fireproof (effective for two hours)FP120BE-0070 certifiedFP120BE-0097 certified

TYK Form (Decorative concrete formwork)This is a decorative foamed polystyrene formwork that adds natural rock patterns to concrete structure surfaces. We have obtained cert i f ication under the Nat ional Permit System of Waste Disposal and Public Cleansing Law and have been engaged in recycl ing beyond the regions using our own system.

ES Dan Mat LV (Insulation material that contains low VOC)High-performance heat insulating material that emits fewer volatile organic compounds (VOCs) such as to luene . Th is i s a se l f -extinguishing material free of HBCD fire retardant (one of the brominated flame retardants).

Super Soilen System (Lightweight greening construction method)This is a lightweight greening construction method using New Soilen (lightweight drainage material) and Clinker Ash Soil (lightweight artificial soil), which are eco-mark certified. The use of lightweight artificial soil reduces a l o a d o n b u i l d i n g s a n d contributes to urban landscape designs and heat island control measures.

Tray with peelable liner (Special foamed polystyrene sheet)Tray with peelable liner (Special foamed polystyrene sheet)This special foamed polystyrene sheet is used for food trays. Used trays can be recycled as white trays by peeling away the film.

at the supermarket

Soiled food tray

Peel away the film without washing the tray食品トレー回収

BOX

Bring the white tray to a recycling station

Ensuring product quality at the development stage

Market needs, customer needs

Evaluation and selection ofdevelopment theme

Environmental impact assessment

Review of relevant laws and regulations

Preliminary safety review

Initial production control

New product

Market evaluation

Marketing

Design review

A compar ison of CO2 emissions between the raw material and process stages within a case that the material is not used

Reduction in CO2

emissions73%

A comparison o f CO 2 emissions between the raw material and disposal stages within conventional print-laminated trays

Reduction in CO2

emissions22%

A c o m p a r i s o n o f C O 2 emissions within a case that exterior insulation is not used

Reduction in CO2

emissions32%

Section 5

Consumer Issues

To carry out our responsibility toward consumers, we pursue safety and peace of mind through measures that focus on product safety and the correct understanding of environmental impact.

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31 CSR REPORT 2015 32CSR REPORT 2015

Piocelan (Packaging material for transporting automobile parts)Efficient package designs to a wide r a n g e o f t r a n s p o r t c o n d i t i o n s , maintaining the safety of automobile parts, increase loading efficiency during transport packaging and contribute to energy saving during the transport of automobile parts.

Carton Instrument panel

Instrument panelsMolded foam

Packaging Using Cartons Packaging Using Molded Foam

1.7 times the storage efficiency!

Automobile instrument panel

packaging

Piocelan (Container for transporting LCD/PDP components)This container is reusable as transporting container offering excellent shock-absorption performance. Use in combination with our unique design technology increases loading efficiency and contributes to energy saving during transport.

Water-sealed box with side drainage holes (Functional fish box)This unique water-seal structure keeps ice frozen longer by blocking air from outside. The box preserves freshness and saves energy by a long-period transportation using ice only in the container without a refrigerator truck. Water-sealed box with

side drainage holes Conventional box

Water-sealed box with side drainage holes

Yellowtails

Weight of ice at the setting time

Yellowtail box

Weight of ice after 18 hours

Conventional box

Weight after 18 hours in outside air (4:00 p.m. to 10:00 a.m.)

Water-seal structurePraining

Ice

Water

Prevents blockage from scales, blood,

or slime

4.0

Water-sealed box with side drainage holes Conventional box

Water-sealed box with side drainage holes

Yellowtails

Weight of ice at the setting time

Yellowtail box

Weight of ice after 18 hours

Conventional box

Weight after 18 hours in outside air (4:00 p.m. to 10:00 a.m.)

Water-seal structurePraining

Ice

Water

Prevents blockage from scales, blood,

or slime

4.0

AIR-ZAIR-Z is foamed polystyrene boxes that reduce raw material use while maintaining durability by our unique design technology. AIR-Z is adaptable for shape designs suitable to individual applications and contributes to energy saving by increasing loading efficiency.

Set Box (Box container for consolidated transport of frozen food)This conta iner i s reusable through the impact resistance property of Piocelan. Our unique design technology makes it possible to maintain a constant temperature inside the container, and contributes to energy saving and the product temperature control in integrated distribution from pre-cooling to cold storage.

Heat insulated foldable containerThis all -plastic container is reusable and has excellent washability. It is foldable to save space and contributes to energy saving during transportation by increasing loading efficiency.

Saving space! Increasing load efficiency!!275mm

105mm

60Approximately

Techpolymer (Fine polymer particles for light covers)Light covers, made of base resin containing uniformly dispersed Techpolymer, can provide the same brightness with less power consumption by diffusing a l ight ef f ic ient ly and i t contr ibutes to energy conservation.

Reftelas (High-performance optical reflective board)Reftelas features high reflectivity (total reflectivity of more than 98%) that reduces uneven light distribution in reflectors such as LEDs and illuminated signs, contributing to energy savings.

Proposed Use as an LED Light Cover MaterialProposed Use as an LED Light Cover MaterialProposed Use as an LED Light Cover MaterialMolded article containing

inorganic particlesMolded article containing

TechpolymerTechpolymer

Base resin Incoming lightIncoming light

Transmitted light Transmitted light

TechpolymerTechpolymer

Base resin Incoming lightIncoming lightInorganic particles

Transmitted lightTransmitted light

LED light source LED light sourceLED light source LED light source

Schematic representation

Epsrem (100% recycled polystyrene foam material)Epsrem is a 100% recycled polystyrene foam material (beads) made of polystyrene waste collected from used home appl iances such as televisions and refrigerators and used polystyrene foam. Molded articles using Epsrem are eligible for eco-mark certification.

Example of use: Epsrem Returnable Container

Existing EPS beads Recycled EPS beads ERX-ZERO

(where CO2 emissions from existing EPS beads are regarded as 100%)

CO2 emissionsfrom existing

EPS beads

CO2 reductionthrough recycling

CO2 reduction throughcarbon offsetting

Celpet F (Recycled PET foamed sheet)Celpet F is a foamed sheet using recycled PET as a main raw material. It can be used effec- tively as a recycled packaging material with low environmental impact.

ST-Gel (Electrodes for low-frequency therapy equipment)These electrode pads, manu- factured using the Sekisui’s unique Technogel technology, minimize skin irritation. They can be washed with water and reused.

Here’s how Epsrem is made.

Discarded polystyrene foam

Crusher

Bead extruder

Home appliancecushioning material

Expandable polystyrene beads

Discarded home appliances(TV panels, refrigerator shelves)

Pelletizing extruder

Recycling Center (EPSY Plaza)

Discarded homeappliance crushed

particles Epsrem Pre-expanded particlesEpsrem

Applicationof steam

Mold fillingand molding

EPSREM ERX-ZERO (Carbon-neutral polystyrene foam material)This is a polystyrene foam material (beads) with zero CO2 emissions achieved by carbon offsetting of the CO2 emissions of Epsrem.

As beads:*Calculated based on data for Epsrem ERX

As beads:

As molded articles:

A comparison of CO2 emissions between the raw material and product stages within EPS beads

Reduction in CO2

emissions62%

A comparison of CO2 emissions between the raw material and molding stages within EPS molded articles

Reduction in CO2

emissions19%

A comparison of C O 2 e m i s s i o n s w i th in the f l a t -typed Reftelas

Reduction in CO2

emissions19%

A c o m p a r i s o n o f C O 2 emissions between the raw material and product stages within existing EPS beads

Reduction in CO2

emissions100%

A comparison of C O 2 e m i s s i o n s w i t h i n a l i g h t cover made from inorganic materials

Reduction in CO2

emissions27%

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33 CSR REPORT 2015 34CSR REPORT 2015

The Kyoto City Board of Education has included polystyrene foam as the subject of one of its Kyoto Monozukuri Hall education programs. To enable elementary school students in Kyoto to learn that polystyrene foam is highly useful in our daily lives through an enjoyable hands-on learning experience that highlights the material’s characteristic light weight, shock-absorbing and thermal insulation properties, the Sekisui Plastics Group collaborates with the 3S Senior Venture Club (volunteer retirees of Sekisui Chemical Co., Ltd.) to provide materials for use in hands-on learning, among others.

To introduce to our stakeholders environmental contributions made in the course of our business activities, the Sekisui Plastics Group have established the Environmental Exhibition Room at the Tenri Operations Facility (Tenri, Nara Prefecture) and has exhibited eco-friendly product models outside. In addition, at ten locations (including the Tenri Operations Facility) we operate exhibition rooms (and/or mobile exhibition vans) with all Sekisui Plastics Group products displayed by function (transport, packaging, preserving) under the concept “The Sekisui Plastics Group serves you in every aspect of your day-to-day life.” Of particular interest, we have assessed the environmental performance between the raw material and disposal stages of our eco-friendly products and have displayed data on CO2 emissions that can be reduced in the production process and customer’s utilization process. We would like to invite you to one of these exhibition rooms.

Learning about polystyrene foam

Sekisui Plastics Tenri Operations Facility/Sekisui Plastics Tenri (Nara Prefecture)

Sekisui Plastics Hokkaido (Hokkaido Prefecture)

Sekisui Plastics Kanto (Ibaraki Prefecture)

Sekisui Plastics Tochigi (Tochigi Prefecture) Sekisui Plastics Kyushu (Fukuoka Prefecture)

Sekisui Giken (Hyogo Prefecture)

Mobile Exhibition VansSekisui Plastics Tohoku (Miyagi Prefecture)

Sekisui Plastics Yamaguchi (Yamaguchi Prefecture)Sekisui Plastics Shikoku (Ehime Prefecture)

Sekisui Plastics Okinawa (Okinawa Prefecture)

Collaboration in the Kyoto Children’s Monozukuri (Craftsmanship) Project

Environmental Exhibition Room and Exhibition of All Sekisui Plastics Group ProductsLife-Cycle Assessment

Recycling

Recycling of expandable polystyrene foam (EPS)As a member of JEPSA, Sekisui Plastics actively collects and recycles used polystyrene foams.

Used polystyrene foam

Sorting Grinding mill

Pulverized grains

Coarse grains

Lightweight aggregate mixed with cement

Expandable polystyrene beadsMelt extruder pelletizer Recycled polystyrene pellets

Melt-solidification Ingot

Soil conditioner

Construction aggregate

Electronics retail stores and otherbusiness entities

Recycling facilities Pulverizing mill

EPS Recycling Performance (FY2014)

89.3%(          )Materials recycling 55.8%Thermal recycling 33.5%

Raw material Manufacturing Processing Total

250

200

150

100

50

0

PSP tray (foamed polystyrene paper)Heat-laminated PSP traySolid PS tray (non-foamed polystyrene sheet)Paper tray

(kJ/tray)

Life-Cycle Assessment of Food Trays

Calculation basis: The base weight is 180 grams for a PSP tray, 186 grams for a heat-laminated PSP tray, 263 grams for a solid PS tray and 330 grams for a paper tray. A total of 40 trays are produced from one square meter of individual materials.

Source: ‶Environmental Impact Assessment (LCA) of Packaging Materials Such as Plastic,” Plastic Waste Management Institute (March 1995)

“Resin Processing Inventory Data Study Report,” Plastic Waste Management Institute (January 2000)

The Sekisui Plastics Group uses life-cycle assessment (LCA)* to grasp a perspective on environmental impact of products. We ascertain and analyze environmental impact at every stage from procurement of raw materials to the manufacture and transport of products, and from use to disposal by customers. We utilize the analysis results in product development to reduce environmental impact effectively.*LCA is a comprehensive evaluation method for the environmental impact caused by a product during the entire life cycle from procurement of raw materials to manufacturing, use, and disposal.

The Sekisui Plastics Group has been recycling polystyrene foam for forty-three years, ahead of the industry. In 1979, raw materials manufacturers and molding companies established the Japan Expanded Polystyrene Recycling Association (renamed Japan Expanded Polystyrene Association (JEPSA)) and EPSY Plaza, a recycling base for foamed polystyrene. The Sekisui Plastics Group obtained the certification under the National Permit System in the Waste Management and Public Cleaning Law in 2003, and strives to reduce environmental impact by engaging in wide-area recycling using our own system.

Polystyrenefoam

Carton boxmade of 100%recycled paper

(kg/unit)

4

5

3

2

1

0Polystyrene

foamCarton box

made of 100%recycled paper

(MJ/unit)

60

40

20

10

70

50

30

0

Energy consumption of cushioning material CO2 emissions from cushioning material

Calculation basis : Polystyrene foam, from oil drilling to product shipment; carton box, from logging to product shipment (assuming the ratio of raw wood and recycled paper is two to one)Calculated per packing material for a 23-kg television set

Source: ‶Environmental Impact Assessment (based on LCA) of Packaging Materials Such as Plastic,” Plastic Waste Management Institute (March 1995)‶Resin Processing Inventory Data Study Report,” Plastic Waste Management Institute (January 2000)

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35 CSR REPORT 2015 36CSR REPORT 2015

Regional Representative Company in the Kanto Region Completes the Regional Representative Company Network

Start of Sales of a General-Purpose F Roller Exhibit at NPE2015 - The International Plastics Showcase

New Business Development at Overseas Group Companies

Sekisui Plastics sells F Roller, a forward-display conveyor for lightweight objects that is mainly used for beverage stocking at convenience stores and other retailers. We have received requests from small retailers in Japan and overseas for an F Roller that can be used to shelf products other than beverages. To meet these needs, we have added to the F Roller line a general-purpose product that can be flexibly adapted to the size of products to be shelved with no loss of sliding performance or durability thanks to the original material and design used. We plan to use the general-purpose F Roller in applications such as forward-display conveyor for a variety of retail shops and parts pickup on assembly lines for lightweight industrial products.

Sekisui Plastics USA exhibited at NPE2015 - The International Plastics Showcase, one of the three largest comprehensive plastics trade shows in the world. The show was held in Orlando, Florida. The theme for the Sekisui Plastics booth was “Your Partner for a Better Future, Ever-Renewing Technology to Fulfill Your Needs,” and the booth was divided into four zones: Automobile, Industry, Human Life <Life Sciences>, and Imagination and Innovation. NPE2015 drew more than 68,000 visitors and was a valuable trade show f o r a c h i e v i n g b r a n d penetration. Many business discussions took place at the booth. We received n u m e r o u s i d e a s a n d requests at the show that we wi l l pursue as new business opportunities and l i n k t o f u r t he r g l oba l business expansion.

In Asia, to boost sales and further speed up business development in Taiwan, Sekisui Plastics merged two Group companies and established Sekisui Plastics Taiwan Co., Ltd. In addition, we opened and started operations at a multipurpose molding plant in Miaoli, Taiwan, in order to meet customer demand for high-quality and high-performance molded products. In Indonesia, where demand for packaging materials for automobile components and household- and IT-related products is expected to increase, we opened and started operations at a molding plant at Jababeka Industrial Estate. In the United States, we established a PIOCELAN raw materials plant and molding plant in Tennessee that supplies raw materials and molded products to Japanese automakers and other customers in the U.S.A. However, since demand for molded automobile parts, other molded parts, and cushioning materials is growing, we have decided to open a second U.S. molding plant in Ohio.

TOPICS TOPICS

F Roller

New molding plant (Taiwan) New molding plant (Indonesia) New molding plant (United States)

To further expand our business in the Kanto region, mainly in the Human Life segment, by establishing a stronger local presence and accurately and promptly meeting customer needs, Sekisui Plastics merged and integrated four Group companies (Sekisui Plastics Ibaraki Co., Ltd., Sekisui Plastics Tochigi Co., Ltd., Sekisui Plastics Sakura Co., Ltd., Sekisui Plastics Package Co., Ltd.) into Sekisui Plastics Toubu Co., Ltd. in Sakai, Ibaraki Prefecture. In addition, in April 2015, we integrated Sekisui Plastics Agrisystem Co., Ltd., a company engaged in agricultural businesses, into Sekisui Plastics Toubu, enabling it to pursue business expansion as a regional representative company that can offer a wider range of proposals for solutions. As a result, the Group now has representative companies in all regions of Japan and a structure for increasing sales by proactively proposing solutions to customers in every region.

Sekisui Plastics Hokkaido

Sekisui Plastics Tohoku

Sekisui Plastics Toubu

Sekisui PlasticsChubu

Sekisui PlasticsYamaguchi

Sekisui PlasticsShikoku

Sekisui Plastics KyushuSekisui Plastics

Okinawa

Sekisui Giken

Regional Group Companies

NPE2015

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37 CSR REPORT 2015 38CSR REPORT 2015

In accordance with our CSR Declaration set out in the Sekisui Plastics Group’s 100-Year Vision, we foster a culture of social contribution and promote social contribution activities. With greater importance given to CSR-oriented management, the Social Contribution Committee

developed the Action Policy of the Social Contribution Committee to promote activities in an organized manner throughout the Group. The Action Policy defines two themes: corporate social contribution activities and support for activities by Group employees in its promotion of social contribution.

Support for Reconstruction of the Tohoku RegionThe Sekisui Plastics Group is collaborating with Sekisui Chemical and Sekisui Jushi in providing support for reconstruction of the Tohoku region. We formed the Tohoku Reconstruction CS Team, whose members are mainly drawn from Sekisui Plastics Tohoku, a regional representative company in the Tohoku region, and have stepped up contributions to the reconstruction through business activities, such as total solutions proposals in the civil engineering-related domain (as in infrastructure development) and in the agriculture- and marine-related domains. In addition, we have donated Sekisui Plastics Group products (such as simple food containers) for use at earthquake reconstruction events, and Group employees participated in the Millennium Hope Hills Tree-Planting Festival. We will continue to contribute to the prompt reconstruction of the Tohoku region through these activities.

Sekisui Plastics Groupwide Initiative

Action Policy of the Social Contribution Committee ❶ We play an active role in and fulfill our responsibilities toward local and international communities as good

corporate citizens.❷ We use our management resources effectively and promote distinctive activities.❸ We stay focused on the objectives and results and make every effort to promote activities of value to all.❹ We encourage the voluntary participation of everyone in the Group.❺ We disseminate information on our activities both within and outside the Group.

Planting Mangrove Trees in the Kingdom of ThailandOnce again in fiscal 2014, employees o f S e k i s u i P l a s t i c s ( T h a i l a n d ) participated in mangrove planting activities in the Kingdom of Thailand, sponsored by Sekisui Chemical since fiscal 2011. This activity regenerates mangrove forests, which are being cleared for the creation of shrimp ponds, and contributes to the recovery of fishery resources, disaster mitigation through tide prevention and storm protect ion, and c l imate change mitigation through warming control.

Eco-Cap ProjectSince August 2008, we have participated in the Eco-cap project which provides polio v acc i ne s t o ch i l d r en i n deve lop ing countr ies by collecting and selling plastic bot t le caps to recyc l ing companies.

Book MagicThe Book Magic project offers the proceeds from selling used books and CDs to the School Support Program, a worldwide education support program organized by a nongovernmental organization.

Table for TwoWe participate in Table for Two (TFT), an NPO that supports school meal programs in developing countries. Employees make a donation just by choosing a TFT support meal (a premium is added to the usual price) at the company cafeteria.

Support for Social Contribution Activities of Group Employees

Sekisui Plastics Fund as part ofthe Mirai Fund OhmiWe have created the Sekisui Plastics Fund that contributes funds to the NPO Ohmi Culture Promotion Foundation and in April began providing support for organizations involved in protecting the Lake Biwa environment.

Support for the corporate forest development activities of NPO Koga Community Forest Preservation GroupWe sponsored the corporate forest development activities organized by NPO Koga Community Forest Preservation Group as part of our ongoing contribution to environmental activities in the Kanto region. Sekisui Plastics Kanto and nearby Group companies engage in the restoration and preservation of neglected and overgrown satoyama (lowland forests). The companies use these activities as an opportunity to interact with the local community and provide employees with lessons on the environment.

Tree-planting in Samut Songkhram, Thailand

Section 6

Community Involvement and Development

As a good corporate citizen, the Sekisui Plastics Group aims to meet the expectations and reward the trust by society. The Group will fulfill its role as a member of society through its business activities in order to promote the sound development of communities.

Social Contribution Activities of the Sekisui Plastics Group

Group employees participated in the Millennium Hope Hills Tree-Planting Festival.

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39 CSR REPORT 2015 40CSR REPORT 2015

As a member of local communities, the Group promotes community interaction by cooperating in environmental conservation activities and social contribution activities through active dialogues with the locals.

Activities Rooted in Local Communities

Shonan Sekisui Kogyo/Sekisui Plastics Toubu (Sakura Production Group) Chiba

Sekisui Plastics Hokkaido Hokkaido

Sekisui Plastics Saitama Saitama

Sekisui Plastics Osaka/Tokyo

Sekisui Giken, Meihan Ogura Plant Nara

Sekisui Plastics Tenri Nara

Sekisui Giken, Kobe Plant Hyogo

Sekisui Plastics Shikoku, Naruto Operations Facility Tokushima

Sekisui Plastics Yamaguchi, Mihara Plant Hiroshima

Sekisui Plastics Shiga Shiga

Sekisui Plastics Kanto (Shimodate Production Group) Ibaraki

Sekisui Plastics Chubu Aichi

Sekisui Plastics Sakai Osaka

Cleanup Activity at the Chitose Industrial Complex

Salmon fry release

Participating in Tulip-Bulb Harvesting

(Tulip Association)Voluntary cleanup activity around the plant

Osaka Marathon Cleanup Campaign

Local cleanup activity

Sunflower Seed Sowing (Yagura-area Yayoi Association)Tsuge Summer Festival 2014 Himawari Project

Cleanup activity near the plant

Ichinomoto School District Haniwa Festival

Shinjuku Zero Garbage Campaign

General Fire Drill at Odakyu Dai-Ichi Life Building

“Green Day” Activity(beautification activity around the plant)

A cleanup activity around the plant

Weeding Activity at Tree-Planting Sites (Kyosei no Mori-Symbiotic Forest)

Uchi River and Doi River Beautification Cleanup Activity

Green Wave Activity (Growing Seedlings and Donation to Bantani Kindergarten)

Participating in the Prefectural Community Cleanup Activity

Yamanokami Swamp Beautification Volunteer Activity

Cleanup Activity (Sakura Industrial Complex Liaison Council)

A class at a preschool“How EPS Products are Made”

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41 CSR REPORT 2015 42CSR REPORT 2015

Certified sites Scope of certification

Sekisui PlasticsDevelopment, manufacture, and sales of neutral electrodes, biofunction test electrodes, and stimulating electrodes

Category Major activities FY2013 FY2014Investment Costs Investment Costs

1) Business area costs

① Pollution control Pollution control measures for air and water quality 2 131 2 118

② Global environment Energy saving 36 35 39 27

③ Recycling Recycling, industrial waste disposal 8 180 11 184

Subtotal 46 346 52 329

2)Upstream/Downstream costs Product recycling 0 428 0 434

3)Management activities Departmental costs associated with introducing environment management system

0 115 0 115

4)Research and DevelopmentResearch and development of products contributing to environmental conservation

0 47 0 49

5)Community-service activities Greening and other community service 0 3 0 3

6)Environmental deterioration countermeasures Nature restoration 0 0 0 0

Total 46 939 52 930

Environmental Conservation Costs (Unit: million yen)

Details of effects (unit) FY2013 FY2014

1) Effects on business area costs

① Electricity consumption (MWh) 74,136 71,918

② Crude oil consumption (kl) 3,742 3,641

③ Total effluent (1,000 m3) 1,406 1,591

④ Amount of COD (kg) 5,140 5,399

2) Effects on upstream/downstream costs

Amount of recycled polystyrene foam (tons) 759 777

Environmental Conservation Effects (in terms of volume)

ISO 9001 certification (as of July 2015) ISO 14001 Certification (as of July 2015)

ISO 13485 Certification (as of July 2015)

Details of effects FY2013 FY2014

1) Cost reduction through energy-saving activities 21 38

2) Income from recycling 334 448

Total 355 486

Economic Effects Related to Environmental Conservation Measures (Unit: million yen)

FY2013 FY2014

38% 52%

Cost Effectiveness of Environmental Conservation Activities

Outputs (Emissions) 35 production sites of 19 domestic Group companies and the Central R&D Laboratory

Environmental Accounting

Change in Key Environmental Performance Indicators

Certified sites Scope of certification

Sekisui Plastics ShigaDevelopment and manufacturing of styrene resin, expandable styrene resin and its particles and special synthetic resin

Sekisui Plastics Kanto, Sekisui Plastics

Development and manufacturing of expandable styrene resin and extruded foaming products. Design, construction and sales of industrial materials

Sekisui Plastics Tenri

Development and manufacture of extruded foam products, polymer hydrogel products, and processed products and intermediate processing of waste plastics

Sekisui Plastics KyushuDevelopment and manufacturing of extruded foaming polystyrene

Sekisui Urethane KakoDevelopment, manufacturing and sales of plastics products, in particular polyurethane foam

Sekisui Plastics GunmaManufacturing and sales of foam polystyrene articles and processed products

Taiwan Sekisui YunchuManufacturing of expandable styrene resin and its particles

Tianjin Sekisui Plastics Manufacturing of expandable styrene resin particles

Sekisui Plastics SakaiManufacturing of liquid crystal panels in Green Front Sakai

Suzhou Sekisui Plastics Manufacturing of expandable styrene resin particles

Sekisui Plastics (Shanghai) Precision Forming

Designing and manufacturing of precision plastic molded articles, and manufacturing of plastic sheet/film processed products

Certified sites Scope of certification

Sekisui Plastics

Development, management of commissioned manufacturing and sales of synthetic resin (such as polystyrene, polyethylene, polypropylene, polyethylene terephthalate and polyphenylene ether), molded articles (including foamed articles) and related products (such as industrial materials, distribution packing materials, freshness-preserving agents and housing and construction components integrating a heating system)

Development, manufacturing and sales of polymer hydrogel products and processed productsDevelopment, manufacturing and sales of neutral electrodes, biofunction test electrodes and stimulating electrodes

Sekisui Plastics Kanto Development and manufacturing of expandable polystyrene resin and extrusion foamed plastics products

Sekisui Plastics ShigaDevelopment and manufacturing of styrene resin, expandable styrene resin and particles. Manufacturing of acrylic resin particles

Sekisui Plastics Ibaraki Manufacturing and sales of polystyrene foam articles

Sekisui Plastics Kyushu Development and manufacturing of extrusion polystyrene foam (Eslen Sheet and laminated sheet)

Sekisui Plastics Tenri Development and manufacturing of extrusion foamed plastics products

Shonan Sekisui Kogyo Development and manufacturing of polystyrene foam sheet

Taiwan Sekisui Yunchu Manufacturing of expandable polystyrene resin and its particles

Sekisui Giken

Manufacturing of synthetic resin containers

Development, manufacturing and management of commissioned manufacturing of synthetic resin food containers (such as food product trays)

Sekisui Plastics Shikoku Development, manufacturing, sales and materials supply of polystyrene foam articles and processed products

Sekisui Plastics Ohmi Manufacturing of polystyrene foam articles and processed products

Sekisui Plastics Gunma Manufacturing and sales of polystyrene foam articles and processed products

Sekisui Plastics HokkaidoManufacturing, processing and sales of polystrene foam articles, manufacturing and sales of polystyrene foam and extruded polyethylene sheet and ice packs

Sekisui Giken Kansai PlantDevelopment, manufacturing and management of commissioned manufacturing of synthetic resin food containers (such as food product trays)

Sekisui Plastics Yamaguchi

Design and manufacturing of foamed plastics articles (cases, floats, blocks and cushioning materials made from polyethylene foam and polystyrene foam)

Development, manufacturing and sales of polystyrene foam products (articles and processed products)

Tianjin Sekisui Plastics Manufacturing of styrene resin particles

Suzhou Sekisui Plastics Manufacturing of styrene resin particles

Sekisui Plastics Saitama Development and manufacturing of polystyrene foam sheet and polystyrene foam laminate sheet

Sekisui Plastics (Shanghai) Precision Forming

Designing and manufacturing of precision plastic molded articles, and manufacturing of plastic sheet/film processed products

Inputs (Energy Consumption) 35 production sites of 19 domestic Group companies and the Central R&D Laboratory

Total energy consumption (production) Total unit energy consumption (production) Unit electricity consumption (production)

0

50,000

100,000

150,000

200,000178,935

FY2014

171,947

FY2012 FY2013

174,231

(万MJ)

0

3,000

6,000

9,000 8,469

FY2014

8,403

FY2012 FY2013

8,322

(MJ/t)

0

200

400

600 572

FY2014

551

FY2012 FY2013

550

(kWh/t)

Seven major business sites: Sekisui Plastics Kanto (Head Office, Shimodate Production Group), Sekisui Plastics Shiga, Sekisui Plastics Tenri (Head Office, Okayama Manufacturing Division, Miho Manufacturing Division), and Sekisui Plastics Kyushu (Oita Plant)

*The CO2 emissions are calculated according to the GHC Emissions accounting, reporting and disclosure system based on the Act on the Promotion of Global Warming Countermeasures.

(A substitute value is used for the CO2 emissions coefficient of electricity.)

CO2 emissions (production)* Total effluent (production)

Unit CO2 emissions (office)

Unit CO2 emissions (production)

Unit CO2 emissions (distribution)

0

40,000

80,000

120,000104,227

FY2014

101,399

FY2012 FY2013

101,906

(CO2/t)

0

1,000

2,000

3,000 2,747

FY2014

2,645

FY2012 FY2013

2,727

0

15

25

35

10

5

20

3030.3

FY2014

31.0

FY2012 FY2013

31.8

0

20

40

80

60

77.3

FY2014

57.5

FY2012 FY2013

67.8

(千m3)

0

50,000

100,000

150,000

200,000 493

FY2014

496

FY2012 FY2013

487(kg-CO2/t)

(kg-CO2/m2)(kg-CO2/t)

Investment figures are for construction completed during the period.◦ Investment:  Outlays for capital expenditures, etc., for the purpose of environmental conservation◦ Costs:  Variable costs, personnel costs, and other costs for the purpose of environmental conservation◦ Scope of calculation:  Seven major manufacturing sites of the Sekisui Plastics Group

Environmental Performance Data