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Sustainability Management and Information Disclosure

Sustainability Management and Information Disclosure. June 2, 2005 Yoshiaki Arai Corporate Environmental Affairs Division Matsushita Electric Industrial Co. , Ltd. Corporate Profile of Matsushita Electric. Foundation: 1918 Started business by only three people. Sales. Overseas 47 %.

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Sustainability Management and Information Disclosure

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  1. Sustainability Management and Information Disclosure June 2, 2005 Yoshiaki Arai Corporate Environmental Affairs DivisionMatsushita Electric Industrial Co., Ltd.

  2. Corporate Profile of Matsushita Electric Foundation: 1918 Started business by only three people Sales Overseas47% Japan53% Employees Founder Konosuke Matsushita (Business establishment at age 23) Japan45% Overseas 55% At the Kyoto retreat, Shinshin-An

  3. Business Domains in Matsushita Group Other (7%) AVC Networks (41%) Victor Company of Japan(JVC) (8%) Matsushita Electric Works and PanaHome(17%) Components and Devices (13%) Home Appliances (14%) (% of sales in FY2005)

  4. Management Philosophy A Company isa Public Entity Philosophy … Time People Land Building Funds Knowledge Information "Deposits" entrusted from Society Company Utilize Use for Society Products and Services Contribution to the Prosperity of Society "Profit" is a Reward for our Contribution Re-invest for Further Contribution Return to Society

  5. Matsushita's Vision for the 21st Century Business Vision Environmental Vision Environmental Statement Realizing a Ubiquitous Network Society Environmental Vision Coexistence with the Global Environment New challenges for "Green" Products New challenges for Clean Factories Coexistence with the Global Environment Environment and energy business initiatives Strengthening of product recycling Enrichment of people'slifestyles Environmental management and human resources development "Green" marketing and distribution Environmental communication Digital Networks Home AppliancesEnvironmental Systems Environmental Technology & Ecological Thinking Services & Solutions ET2! Components & Devices Production Systems Green Plan 2010

  6. History of Environmental Activities 1972: Established the Environmental Management Office 1991: Formulated the Matsushita Environmental Charter 1995: Started development of the environmental management system 1997: Established the Environment Conference 1999: Completed the acquisition of the ISO 14001 certification at all manufacturing sites worldwide 2001: Started the home appliances recycling 2001: Held the Environmental Forum in Japan and Europe Announced the Environmental Vision and Green Plan 2010 2004: Completely eliminated lead solder from all products worldwide Corporate Environment Conference Environmental Forum 2001 (Freiburg,Germany)

  7. Status of Acquiring ISO 14001 Certification The establishment of environmental management systems (EMS) forms the foundation of all environmental programs. 73 58 18 2 26 17 1 Europe Japan China and Northeast Asia Americas 60 10 Asia and Oceania * Since an increasing number of site acquire integrated certification, these figures are different from the number of individual sites. (As of March 2005)

  8. Data-based Management and Information Disclosure Serve as the Driving Force for Environmental Initiatives

  9. Overall Structure of Sustainability Management Systems 5 Environmental performance Product chemical substance management Chemical substance management at factories Product assessments ET manifest 1 3 4 2 Energy Environmental accounting Environmental performance 1 Environmental investments Water ECO ASSIST Site reports General waste Environmental impact DB Industrial waste Sustainability Report PRTR Comprehensive chemical substance management 3DCAD parts lists 5 Product assessments (Environment conscious design) Contained substances Environmental assessments Parts lists Part DB Product chemical substance management 2 GP-Web Chemical substance management at factories 3 Compliance with laws Material purchase records (Supplier surveys) Chemical substances Chemilution Supplier DB PRTR Chemical substance DB Part DB Manufacturing process DB (Data collection) Material DB Part DB Waste management at factories 4 Search of environmental law-related information Waste DB Manifest ET manifest Industrial waste

  10. Steps of the Development of our Non-Financial Reports Information disclosure, which started with the environmental sector, now complies with the guidelines and almost reaches to a complete level. Dialogue with community Incorporation in business operations Leading enterprise 2005 2001 Visions & ActionPlans Advanced enterprise 2004 Definitions of sustainability 2000 1999 2003 Information disclosure in compliance with guidelines (Environment) Environmental Reporting Guidelines (CSR) GRI Guidelines  Accountability 2002 1997, 1998 Started to publish reports and disclose information Minimum  requirements Environmental Reports Economic performance andsocial responsibility reports

  11. Overview of Environmental Reporting Corporate non-financial reports Environmental performance data English Japanese Chinese Booklet Chinese Japanese English Third-party assessments Third-party assessments Sustainability Data Files Performance data including social aspects Japanese site English site Third-party assessments Web Domain environmental report Site environmental report Individual manufacturing sites' environmental performance data(Japan: 153 sites; Overseas: 181 sites) Individual domain companies' environmental performance data(Total 11 domains) Japanese site (Japan) Chinese site (China) English site (Others) Japanese site English site

  12. Ensure Compliance with Guidelines by Using the Web Disclose detailed information for each item. The Table of contents conform to the GRI Guidelines and Environmental Reporting Guidelines (Japanese Ministry of the Environment).

  13. Backing of Society Serves as the Driving Force for Information Disclosure Sustainability Reporting Awards (since 1997 in Japan) The Global Reporters 2004 A wide variety of evaluation and ratings Japanese companies ranked in the top 50

  14. Information Disclosure and Communications Environmental Forum Sustainability Report Marketing Website Various Stakeholders Shareholders Investors Consumers NGOs NPOs Local residents Employees Business partners Academic organizations Mass media Government organizations

  15. HFC-free Refrigerators Prevention of global warming HFC gas HFC-free Energy conservation 1,190 Annual power consumption (kWh/year) Reduced to approx. 1/6 200 10 years ago HFC-freerefrigerators NR-F462U

  16. Information Disclosure (FY2004 results)

  17. TV Commercials HFC-free refrigerator "Clouds in the Sky" Tilted drum washing machine "Miracle of Water" HFC-free refrigerator "Demonstration of Heat Insulation" Home appliance recycling "Glass Sands" Dishwasher "Faucets" Home appliance recycling Leave it to wool

  18. Communications with Stakeholders Stakeholder meeting Meeting to Read the Sustainability Report Learn the readers' impressions and questions about our Sustainability Reports. Discuss new partnership among society, NGOs and corporations.

  19. Reviews by Third Parties Third Party Comments Report of The Natural Step International Third Party Analysis Report of Azusa Sustainability Co.

  20. Thank you for listening our presentation Environmental Technology & Ecological Thinking

  21. Opening of Home Appliance Recycling Factory to the Public Opening of the factory to the public Matsushita Eco Technology Center Co., Ltd. Some 38,000 people visited since 2001 Publication on the website Live broadcast at the Panasonic Center Tokyo

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