Matsushita Electric Group, Environmental Sustainability Report

Environmental Sustainability Report 2002

Corporate Profile Matsushita Electric Industrial Co., Ltd. Net Sales (´billion) Consolidated Profit (Consolidated) Pre-tax Profit Address: 1006 Kadoma, Kadoma-city, Non-Consolidated (´billion) Net Profit Osaka 571-8501, Japan 7,891 356 97 97 Phone: +81-6-6908-1121 4,875 99 (main representative) 7,640 202 98 98 Incorporated on December 15,1935 4,598 24 7,299 219 Established on March 7,1918 99 99 4,553 100 President and Representative Director: 7,682 101 Kunio Nakamura 00 00 4,832 42 Capital: ´258.7 billion 548 6,877 01 01 Number of Employees: 3,901 431 267,196 (Japan) 124,212 (Overseas) 142,984 Number of Employees (at the end of fiscal year) Profit (Non-Consolidated) Ordinary Profit (´billion) Net Profit Stock Exchange Listings: 156 97 275,962 97 Tokyo, Osaka, Nagoya, 91 Fukuoka, Sapporo, New York, 98 282,153 123 Pacific, Amsterdam, 98 Frankfurt, Dusseldorf, Paris 99 290,448 62 114 Notes 00 292,790 99 42 ¥Matsushita's consolidated settlements of accounts are based on U.S. accounting standards. 01 267,196 115 00 ¥Reductions in corporate taxation rates, in line with the revision of 64 the taxation system, resulted in effects on net income (consolidated) of ´27.5 billion for FY 1997 and ´42.1 billion for FY 1998. 42 01 ¥As of March 31, 2002, companies included in the consolidated set- 132 tlements of accounts (parent and subsidiaries) totaled 304 companies, and the affiliates (where the equity method applies) totaled 46 companies. Net Sales per Business Segment Net Sales per Region (´billion, FY2001) (´billion, FY2001) Asia and Others Corporate Outline and Components URL 1,395 Financial Information and Devices http://www.matsushita.co.jp/ir/en/ 1,358 20% Japan Industrial 20% AVC 3,348 Equipment Networks 289 4% Europe 11% 4,052 49% 775 59% 17% 20% Home Appliances North and South 1,178 America 1,359

Scope of Reporting

Reporting Period Reporting Business Segments AVC Networks Home Appliances Industrial Equipment Components and Devices Fiscal 2001 (April 2001 - March 2002) ¥ ¥ ¥ ¥ Reporting Scope Business Segments and its Main Products This report covers the Matsushita Home Appliances AVC Networks Electric Industrial Co., Ltd. and the Washing machines, Color TVs, LCD and PDP TVs, video- worldwide subsidiaries of its ten clothes dryers, vacuum cassette recorders (VCRs), camcor- main affiliated companies. cleaners, electric irons, mi- ders, DVD players, compact disc (CD), Matsushita Electric Industrial Co., Ltd. crowave ovens, cooking Mini Disc (MD) and SD players, other ¥ Major Division Companies: appliances, dishwashers, personal and home audio equipment, AVC Company, Home Appilance & Housing Elec- refrigerators, room air con- AVC Networks AV and computer product devices, pre- tronics Company, Air-Conditioner Company, ditioners, electric fans, air recorded AV software, broadcast- and Packaged Air-Conditioner Company, Motor Com- pany, Semiconductor Company, Display Devices purifiers, heating equip- business-use AV equipment and sys- Company, Lighting Company, Factory Automa- ment, kitchen fixture sys- Industrial tems, PCs, CD-ROM, DVD-ROM/RAM tion Company Home Appliances tems, electric, gas and ker- Equipment and other optical disk drives, HDDs, ¥Matsushita Communication Industrial Co., Ltd. osene hot water supply other data storage devices, CRT and Matsushita Electronic Components Co., Ltd. equipment, bath and sani- LCD displays, copiers, printers, tele- ¥ tary equipment, healthcare Components phones, cellular phones, Personal Matsushita Industrial Equipment Co., Ltd. ¥ equipment, electric lamps, and Devices Handyphone System (PHS) terminals ¥Matsushita Battery Industry Co., Ltd. bicycles, photographic and other mobile communications ¥Matsushita Refrigeration Company equipment. equipment, facsimile equipment, car Kyushu Matsushita Electric Co., Ltd. AVC equipment, traffic-related sys- ¥ Sys ns Matsushita Seiko Co., Ltd. tems Solutio tems, communications network-related ¥ e-Ne ss equipment, other information and com- Matsushita Graphic Communication Systems, Inc. t Busine ¥ Components and Devices munications equipment and systems. Matsushita Kotobuki Electronic Industries, Ltd. Industrial Equipment ¥ Semiconductors, electronic tubes, LCD panels, Victor Company of Japan, Ltd. ¥ PDPs, general components (capacitors, resis- Electronic-parts-mounting machines, industrial ro- Included from fiscal 2001. tors, coils, speakers, power supplies, mechani- bots, electronic measuring instruments, welding Environmental performance data cal components, high frequency components, equipment, power distribution equipment, ventilation covers all sites with environmental printed circuit boards, etc.), magnetic recording and air-conditioning equipment, car air conditioners, management systems (see pp.55-56). heads, electric motors, compressors, dry bat- vending machines, other food industry-related equip- teries, storage batteries, non-ferrous metals. ment, medical equipment, elevators, escalators.

1 Matsushita Electric Group Environmental Sustainability Report CONTENTS

Editorial Policy Corporate Profile / Scope of Reporting ááááááááááááááááááááááááááááááá1 Editorial Policy / Detailed Information / Publication History / Contents áááá2

The Environmental Sustainability Report is made up of five Environmental Management ¥parts: Environmental Management, Environmental Sustain- Aiming for Coexistence with the Global Environment ááááá3 ability, Economic Performance, Social Responsibility, and Basic Policy for the Environment ááááááááááááááááááááááááááááááááá5 Third Party Comments. A data section is annexed to provide Target and Performance áááááááááááááááááááááááááááááááááááááááááááááááá7 detailed performance information. Environmental Management and Promotion Systemáááááá11 The report is structured according to the GRI*1 Sustainabil- 13 ¥ity Reporting Guidelines on Economic, Environmental, and Environmental Management Systems áááááááááááááááááááááááá Social Performance (published in June 2000). The sections Environmental Accounting áááááááááááááááááááááááááááááááááááááááá15 on Environmental Management and Environmental Sustain- Performance Evaluation of Environmental Managementáááá18 ability conform to the Environmental Reporting Guidelines (FY2000 version) issued by Japan’s Ministry of the Envir- Environmental Sustainability onment. Product Lifecycle and Environmental Load ááááááááááááááá19 The Economic Performance section introduces new R&D Input and Output of Production Activities ááááááááááááááááá21 ¥projects and new business activities relating to the environ- Material Procurement ááááááááááááááááááááááááááááááááááááááááááááááááá24 mental field. Financial and accounting information is shown Environmentally Conscious Product Design áááááááááááááá27 on the Corporate Profile section and on our website. Shift to Green Distribution ááááááááááááááááááááááááááááááááááááááááá32 Information on the environmental load of each operation Recycling of End-of-life Products áááááááááááááááááááááááááááááá33 ¥site shown in the Site Information (pp.60-68) is a newly ad- Environmental Risk Management áááááááááááááááááááááááááááááá35 ded item to the report. Information pertaining to domestic operation sites representative of major division companies Economic Performance and affiliated companies is provided, one site for each com- Research and Development áááááááááááááááááááááááááááááááááááááááá37 pany, in this report. Information on other sites will be pos- Environmental Solution Business áááááááááááááááááááááááááááááá38 ted on the website starting in August of 2002. ¥This report ensures reliability by complying with the Envir- Social Responsibility onmental Reporting Guidelines. A Sustainability Analysis Relationship between Our Business and the Society áááááá41 of our products was conducted by The Natural Step, an en- Corporate Citizenship Activities áááááááááááááááááááááááááááááááá43 vironmental NPO. The results of the analysis are reported in Relationship with Employees ááááááááááááááááááááááááááááááááááááá47 the Third Party Comments section. Safety and Health ááááááááááááááááááááááááááááááááááááááááááááááááááááááá48 ¥The performance data are from FY 2001. Some of the FY Relationship with Customers áááááááááááááááááááááááááááááááááááááá49 2002 activities are also included. Environmental Communication áááááááááááááááááááááááááááááááááá51 *1 Global Reporting Initiative Facts & Figures ¥ ISO14001 Certification Statusááá55 ¥ Prevention of Global Detailed Information Warmingááá57 ¥Chemical Substancesááá58 ¥Wasteááá59 ¥Air and Water Qualityááá59 ¥ Recycling of End-of-life Productsááá59 URL URL mark ¥Environmental Data from Manufacturing Sitesááá60 ¥Products Labeled Please see the website for with Environmental Characteristic Stickersááá69 ¥External Awardsááá71 further information. ¥Environmental Milestonesááá73 DATA Facts & Figures mark Please refer to Facts & Figures for Third Party Comments detailed performance information. Sustainability Analysis by The Natural Step áááááááááááááá74 In Response to the Third Party Comments ááááááááááááááááá76 Publication History

Published annually since FY 1997 TOPICS FY 2000 Edition FY 2001 Edition ¥Environmental Forum 2001ááá9 ¥Conference on the Creation of “Wa- no-kuni” in the 21st Centuryááá10 ¥Application of Environmental Accounting in R&Dááá17 ¥Recycling Initiatives Transcending Industriesááá25 ¥Establishing the Method of Energy Conservation Diagnosesááá26 ¥Dalian City Commending China Hualu Matsushita AVC Co., Ltd.ááá26 ¥IPD Becomes the First Semiconductor to Win the Energy Conservation Awardááá30 ¥Natural Fluid (HC) Refrigerator, Aspiring to Become the Global Standardááá31 ¥Mobile Phones in Europeááá31 ¥Improvement of Transportation Efficiency through the Vehicle Operation Control Systemááá32 ¥Eco-Bicycles, Not Ego- Bicyclesááá39 ¥High-precision Plastic Separator, Pla-selectorááá40 ¥Symposium for Love the Earth Citizens’ Campaign···46 ¥Repair Service at “Pana Service Ko-bo”···49 ¥First Meeting for Reading the Environmental Sustainability Reportááá53 The next publication is scheduled for June 2003.

Matsushita Electric Group Environmental Sustainability Report 2 Environmental Management Aiming for Coexistence with the Global Environment

It was during my business trip to China in April 2002. As our plane descended toward Beijing Airport, the sight of an ashen gray world outside the window left me awestruck. That day that had seen a massive fall of yellow sand. On the city of Beijing alone, 60,000 tons of yellow sand had fallen during the month of March. That was my first-hand experience of China’s desertification. Desertification is advancing in many areas of the world today. I always wonder why most places that are homes to the ruins of ancient civilizations, such as Egypt and Mesopotamia, have become de- serts. The same question intrigued me when I visited Israel. I won- dered why the Sinai Peninsula, “a land flowing with milk and hon- ey” in the Old Testament, was now a desert. I learned that although these civilizations first flourished in a land blessed with luxuriant greenery, their rapid growth in population and increased energy consumption depleted the forests and caused ecological unbalance, thereby triggering desertification. Japan is situated in a subtropical to temperate rainforest region, with most of its land covered by verdant forests. It may therefore be difficult for the Japanese people to fully understand that desertification is a problem faced by mankind throughout history. If we continue our present resource-intensive economic activities, the earth’s fossil fuels will be depleted and global warming will impact the entire world ecosystem. From the history of great civilizations, which President damaged the natural environment and went into decline after ach- Matsushita Electric Industrial Co., Ltd. ieving great successes, we learned that coexistence with the global environment is certainly the most important challenge for all mankind. Companies too, must consider it a prerequisite for their sur- vival.

Two Trends of the 21st Century Environmental Vision and Environmental Forum I¥ believe that there will be two major social trends in the 21st cen- We¥ formulated the Matsushita Environmental Charter on June 5, tury. The first is the trend towards a sustainable society. It will 1991 to show its commitment to global environmental conserva- bring a halt to global-scale environmental damage and a transition tion. Since then, we have conducted all our business activities with to a recycling-based society with sustainable social and economic the idea of “coexistence with the global environment” as our first growth. The second will be the formation of a society built on priority. The year 2001, the beginning of a new century, marked “ubiquitous networks” that are made possible by advances in digi- the 10th anniversary of our Environmental Charter. In this memor- tal and information technologies. These networks will provide con- able year, we returned in spirit to the founding of our company to nectivity to everyone, everywhere, and all the time. These trends, create our Environmental Vision for the “Century of the Environ- made possible by enormous technological advancement, will pro- ment” and with that vision we drew up the Green Plan 2010, an ac- foundly change our lives and our society. It becomes ever more tion plan that brings the next ten years into perspective. In order to important for us, the industrial community that handles these so- communicate the specific approaches and results derived from our phisticated technologies, to maintain high ethical standards in or- Environmental Vision and action plan and to obtain feedback on der to ensure that technologies will not be used for anti-social pur- these efforts, we hosted the Environmental Forum 2001 in Tokyo poses. I have deep faith that industries can coexist in harmony with in October and in Freiburg, Germany, known as the the global environment. It is the most critical mission of the indus- “environmental capital of the world,” in December. Before the trial community today to do our best to make that coexistence a re- year 2000, the Environmental Forum was held as an in-house ality. event. We decided to expand it into a public forum covering our environmental activities because we were keenly aware of the importance of exchanging opinions and working with all members of the society to make harmonious coexistence with the global environment a reality. Although our first public forum was a challenge that required courage, I am happy that it was favorably received in both Japan and Europe.

3 Matsushita Electric Group Environmental Sustainability Report Environmental Management

Efforts in Recycling Electric Home Appliances vironmental value of this 21st century refrigerator is the result of our In¥ April 2001, Japan took the lead in enforcing the Law for Recy- environmental technologies. It has attracted immense interest fol- •

cling of Specified Home Appliances to work towards the realization lowing its recent introduction into the market. Aiming for Coexistence with the Global Environment of a recycling-based society. As a result, last year became a chal- lenging one for us as we built a nationwide recycling system in or- Creating a Truly Enriched Life for Everyone der to establish a manufacturing approach contrary to the conven- Konosuke¥ Matsushita, the founder of Matsushita Electric, left us tional one. Although some issues remain to be solved, thanks to the with a universal corporate philosophy declaring, ”As a public entity understanding and support of our customers and the all-out efforts of entrusted by the society, a business must contribute positively to so- various companies, the collection and recycling of used appliances ciety through its industrial activity.” In the eighty-some years since proved more successful than initially anticipated. In tandem with the the founding of our company, we have become a manufacturer with enforcement of the above-mentioned Law, we opened the Matsushi- a global operation rooted in over 40 countries and regions around ta Eco Technology Center, an advanced recycling plant located in a the world. Looking squarely at reality from a global perspective, we science park in Hyogo Prefecture. Based on the concept of “making find that the condition of the earth today is grim, with forests in new products from end-of-life products,” the Center processed about many areas of the world rapidly disappearing and many people in 565,000 units of used products (TVs, refrigerators, air conditioners, the world suffering from malnutrition. Those with little hope might and washing machines) in FY 2001. The recycled resources were see this as a chaotic era in which the whole world is going down the used to make parts such as new CRTs and base frames for washing same path as the lost civilizations of the past. In order to avoid re- machines. This recycling plant also houses an R&D department that peating the same mistakes that they made, we must gather all the develops recycling technologies and conducts research into making wisdom in the world to find a solution, though this cannot be ach- products easier to recycle. This research is designed to enable em- ieved by a single company or individual. It is, however, extremely ployees involved in product development to apply the experience important for every company and every individual to shoulder their they obtained from the recycling plant to the development and man- own responsibilities and to take action scrupulously. ufacturing of products. Since the Center is a facility open to the pub- In order for Matsushita to become a sustainable company, we are lic, about 1,000 visitors per month from Japan and foreign countries taking the initiative in working towards coexistence with the global tour the plant and provide us with valuable comments and sugges- environment in all aspects of our business operations, working in actions. cordance with the “ET2!” concept (Environmental Technology & Ecological Thinking) stated in our Environmental Vision. At the Major Achievements in FY 2001 same time, we will continue to contribute to the realization of a truly Based¥ on the concept of a Super Manufacturing Company, Matsush- enriched life for all people in the world. To that end, we will devote ita is presently undergoing a self-reformation in search of a new its utmost efforts to fulfill the goals of the Green Plan 2010. identity for the manufacturing industryÐone that can continue contri- Finally, taking the opportunity provided by the publication of the buting to society in the 21st century. One of the company’s greatest Environmental Sustainability Report 2002, I would like to thank you missions is to work towards mankind’s coexistence with the global for your interest in our environmental activities and ask for your environment. In FY 2001, we achieved immense results in the envir- continued support and understanding of our future endeavors. onmental field, for example, demonstrating the operation of a fuel cell powered household cogeneration system (a system providing heat and electricity at the same time) in our Environmental Forum. Thus, we became the first manufacturer to give a public demonstration of such a system, and received high recognition for this achievement. The system will be launched in the marketplace as an environmentally conscious energy source in 2004. We also began a demonstration study to connect electric home appliances with social services providers in preparation for its home energy management business. This system utilizes Echonet, a communications standard that uses the home electrical wiring as a network system. In the field of energy-saving products, both the triple-cooling refrigerator and the power devices for switching power supply were awarded the Minister of Economy, Trade and Industry Prize of the Energy Con- servation Award. In the USA, we have received the Energy Star Partner of the Year Award from the Environmental Protection Agency for the fourth year in a row. Furthermore, we succeeded in commercializing a refrigerator using an entirely new product concept that has the potential to reorient future refrigerator development. It is the natural fluid (HC) refrigerator, which neither depletes Natural fluid (HC) refrigerator now on the market the ozone layer nor has much global warming effect. The added en- (the NR-C32EP model)

Matsushita Electric Group Environmental Sustainability Report 4 Environmental Management Basic Policy for the Environment

Basic Management Objective Environmental Statement Recognizing our responsibilities as industrialists, we will devote ourselves to Our corporate mission is “to devote our- the progress and development of society selves to the progress and development of and the well being of people through our society and the well-being of people business activities, thereby enhancing the through our business activities, thereby quality of life throughout the world. enhancing the quality of life throughout the world.” Based on the management The Basic Management Objective states the purpose and raison dêtre of our company, and serves philosophy stated in the Basic Manage- as the basis of all our business activities. Since its ment Objective, we established the Mat- establishment by Founder Konosuke Matsushita in 1929, we have continuously conducted business sushita Environmental Charter, which in- following this philosophy. Today, amid great tran- cludes the Environmental Statement and sition in the global environment, society, and economy, we continue to base our activity on this the Code of Conduct, on June 5, 1991. In management philosophy with the aim of contributing to the development of a sustainable society, accordance with this Charter, operation thus opening paths to a new era. sites throughout the world set up rules and standards to promote environmental conservation activities. Environmental Statement

¥The Responsibility of Humankind Fully aware that humankind has a special The responsibility of humankind advoca- responsibility to respect and preserve the delicate ted in our Environmental Statement finds its origin in the thoughts on humanity ex- balance of nature, we at Matsushita acknowledge our pressed by the founder, Konosuke Mat- obligation to maintain and nurture the ecology of this sushita. He believed that “humankind is the master of nature,” and for this very planet. Accordingly, we pledge ourselves to the reason, humankind has the serious responsibility to make the best use of all things prudent, sustainable use of the earth’s resources and in accordance with the law of nature. This the protection of the natural environment while we may seem contradictory to the common perception we have in addressing global strive to fulfill our corporate mission of contributing to environmental problems, which views hu- enhanced prosperity for all. man beings as only part of nature and their existence insignificant, dependent The Environmental Statement is based on two entirely on nature. However, when we concepts: look at the state of the earth’s environ- 1. The law of nature that genuine progress and prosperity cannot be achieved without co-prosperi- ment today, we cannot help but admit that ty of all beings on earth, and 2. The fulfillment of mankind indeed behaves like the “master” social responsibility based on the awareness that humankind has the obligation to make the most of because its mass consumption of resour- everything in a caring and fair manner. ces has caused climate change and disrup- tion of ecosystems on a global scale. On the foundation of Konosuke Matsushita’s thoughts on humanity and our aspiration Environmental Vision

to be true masters, the Matsushita Envir- It provides our basic idea and direction for its en- onmental Statement represents our com- vironmental contribution to society in the 21st century (formulated in October 2001). mitment to help restore the global environment into a healthy state through our business activities. Green Plan 2010

It is a concrete action plan targeting 2010 for the realization of the Environmental Vision. At present, it covers 48 items in seven areas (formulated in October 2001).

5 Matsushita Electric Group Environmental Sustainability Report Environmental Management •

Environmental Vision Basic Policy for the Environment

Environmental Statement

Environmental Vision Matsushita Electric Group contributes to “Coexistence with the Global Environment” through Environmental Technology and Ecological Thinking (ET2!).

Coexistence with the Global New challenges for Environment Clean Factories New challenges for ¥Strive to achieve Zero Emission*

“Green” Products *Minimize CO2 emissions and waste gen- •Make all Matsushita products “Green”* eration *Environmentally friendly products and servi- ¥Strive to develop environment- ces made with environment-conscious mate- New challenges conscious production methods rials through efficient use of energy and re- New challenges for and systems sources. for “Green” Products Clean Factories Strengthening of product Environment and recycling energy business initiatives Environment Strengthening ¥Expand product categories for re- and cycling ¥Make endeavors to develop sustain- energy business of product able energy such as fuel cells initiatives recycling “Green” marketing and distribution Environmental “Green” communication Environmental ¥Make commitment to conserve en- Environmental marketing ergy and resources ¥Use various means to communicate communication management and Matsushita’s environmental activities and distribution Environmental management and worldwide human resources human resources development development ¥Take up future challenges by collab- ¥Establish organizational structure orating with internal members and to facilitate speedy and autono- external parties mous decision-making procedure ¥Establish indicators and evaluation systems for environmental management ¥Cultivate environmental awareness in employees

Green Plan 2010

In October 2001, Matsushita formulated the Environmental Vision and Green Plan 2010 after reviewing its existing action plans. These represent our vision to help build a sustainable society and the concrete action plan for taking steady steps toward its realization. As an electronics company, our mission is to keep developing environmental technologies to facilitate human’s coexistence with the global environment. What guides this technological endeavor is an ecological thinking stemming from humankind’s responsibility to seek coexistence with all things in the universe observing the law of nature. We at Matsushita will devote our utmost efforts to realizing the vision and the action plan in order to honor our pledge to the society.

Matsushita Electric Group Environmental Sustainability Report 6 Environmental Management Target and Performance

Green Plan 2010 (Base year: FY 2000, global targets)

Item FY 2005 Target FY 2010 Target New challenges for Prevention of Increase energy use index*1 by 30% Increase by 50% Green Products global warming Chemical substances Discontinue use of lead, cadmium, mercury, hexavalent chromium, brominated and chlorinated flame retardants, and PVC

3Rs Increase resource use index*2 by 50% Increase by 70% (Reduce,Reuse,Recycle)

Product development Increase development of Green Products to more than 70% More than 90%

New challenges for Prevention of Reduce CO2 emissions per unit of production by 5% Reduce by 10% Clean Factories global warming Maintain CO2 emissions at the same level as FY 1990 (Japan) Reduce by 7% (Japan)

Chemical substances Reduce the amounts of use, release and transfer by 40% Reduce by 60%

Waste and by-products Reduce emissions per unit of sales by 10% Reduce by 20% with value

Water Reduce consumption per unit of sales by 5% Reduce by 10% Promote effective use of water resources

Production methods Establish new production methods and systems to enhance the and systems efficient use of energy and resources

Strengthening of product recycling Establish a system to increase the number of products for recy- Establish recycling systems for cling all household electric appliances Improve recycling rate Environment and energy business initiatives Launch full-fledged marketing campaign for home-use fuel cells Conduct full marketing campaign for cogeneration system the system Strengthen energy management business Expand the business Green marketing and Conservation of Conserve resources by making use of the Internet in marketing distribution resources activities Prevention of Promote modal shift in distribution Introduce low-emission vehicles global warming

Environmental Information disclosure Develop the Environment Report into a Sustainability Report communication Publish site reports Promote communication with a wide range of stakeholders

Green investment / Continue implementation of forest preservation activities contribution to Increase green area of factory sites and roof gardens local communities Promote Green investment Establish Green Fund Corporate citizenship Expand Love the Earth Citizens’ Campaign to Build an inter-company network outside the company for LE activities Expand LE families to more than 50% of all More than 80% employee households

Partnership Strengthen partnership and form networks with environmental NPOs Actively cooperate with and contribute to environmental activities of international organizations, governments, and municipalities Environmental Organizational Strengthen the environmental promotion system of Group com- management and structure panies throughout the world human resources Strengthen decision-making functions in each global region development Development of human Prepare environmental training curriculums for each corporate resources level and division

Management Establish a comprehensive environmental accounting system Reflect environmental accounting system evaluation system Reflect the reductions in environmental impact of products and in the evaluation of business results operations in the evaluation of business results

*1 Energy use index = 1 / (CO2 emissions throughout entire life cycle / product functions x product life) *2 Resource use index = 1 / {2 x (mass of resource input throughout entire life cycle Ð mass of 3R materials Ð mass of 3R applicable materials) / product functions x product life}

7 Matsushita Electric Group Environmental Sustainability Report Environmental Management

FY 2002 Target FY 2001 Performance • Target and Performance

FY 2002 Target Green Products (GP): Promoting the Development of GP Increase energy use index*1 by more than 12% Self- Item Target Performance assessment

Complete the introduction of lead-free solder in all Energy Maintain our top-level Increased the number of products from 3 to products conservation performance in the industry 8 in the No. 1 category of the Energy Con- Investigate the amount of prohibited substance servation Performance Catalog*3 (p. 28) use and consider the use of substitutes Reduction in the use of chemical substances Increase resource use index*2 by more than 20% Grasp the material balance of major products Of the 119 registered product categories, all models used lead-free solder in 83 More than one model in every Increase the development of Green Products to Lead-free product categories (70%) and registered product category more than 28% solder some models used lead-free solder in 26 Reduce by 2% product categories (22%) (p. 28) Established targets and announced them in Retrain to 103% of FY 1990 level (Japan) Chemical Clarify chemical substances Green Plan 2010 (p. 7) Reduce by 22% overseas and 39% in Japan substances to be abolished Completed in-house standardization of (compared to FY1998) environmentally conscious AC cord (p. 24)

Reduce by 4% 3Rs Apply study results obtained Succeeded in using recycled materials for Achieve zero emissions of waste (Japan) from the home appliance the manufacturing of CRTs, cabinets and (Reduce, Reuse, recycling plants to the design back covers of TV, and base frames for Reduce by 2% Recycle) of new products washing machines (p. 34) Investigate the current status of effective use of water resources Green Evaluate material suppliers Completed evaluation of 3,173 suppliers Implement studies on chemical and continued studies on chemical sub- Investigate the environmental impact of cell pro- procurement stances (p. 24) duction system substances Completed establishment of criteria for GP Tackle issues lying in expansion of product cate- Product Establish criteria for GP (p. 27) gories assessment Made decision to incorporate the results Enhance activities for reduction and reuse into the evaluation of business performance (from FY 2002) (p. 18) Promote environmental business creation conference and energy management business project *3 Published by the Energy Conservation Center, Japan Hold in-house Environmental Business Forum Increase the demand for Green Products through Clean Factory (CF): Promoting Zero Emissions active promotion on the Web Item Target Performance Self- Develop a system to grasp the environmental im- assessment pact of transportation Formulate and implement a three-year Completed plans at all operation sites Energy energy conservation plan

Promote activities to enhance the credibility of En- conservation Control CO2 emissions to 4% increase Controlled CO2 emissions to 3% vironmental Sustainability Reports and plan for (compared to FY 1990 level) increase in Japan (p. 21) early publication Use of “Reduction” substances: Hold stakeholder meetings 33% reduction Achieved 57% reduction (compared to FY 1998 level) Introduce in-house CO2 emissions trading Reduction in the Japan Releases and transfers of Expand green purchasing items (e.g. introduction use of chemical “Proper Management” substances: of low-emission vehicles) 33% reduction Achieved 46% reduction substances (compared to FY 1998 level) Implement the 33/50 Began implementation in Asia and Overseas Expand the model activities of Love the Earth Citi- Reduction Plan Oceania region (p. 22) zens’ Campaign Waste reduction Establish targets for reduction Established targets and announced Expand LE families to 30,000 households (including by-products them in Green Plan 2010 (p. 7) with values) Achieve 96% recycling rate Achieved 97% recycling rate (p. 23) Propose energy-saving measures for household emissions to the government in the “Conference for ‘Wa-no-kuni’ Lifestyle” Promotion of Love the Earth Citizens’ Campaign (LE Activities)

Self- Strengthen environmental management system to Item Target Performance assessment carry out Green Plan 2010 Achieve 50% employee participation Participation by 21,000 families (p.45) Promotion in FY 2005 of LE activities Expand LE activities to outside the Hosted the first public symposium and Prepare and carry out Matsushita’s original envir- company events (p.46) onmental training curriculums Self-assessment levels: Include progress of the Green Plan 2010 in evaluating the achievements of global business divi- Target accomplished More than 80% of targets accomplished sions Less than 80% of targets accomplished The Green Plan 2010 was formulated in October 2001. Implementation of concrete activities began in April 2002. Consequently, the FY 2001 Performance shows targets as of April 2001 and corresponding results.

Matsushita Electric Group Environmental Sustainability Report 8 Environmental Management

Environmental Forum 2001

President Kunio Nakamura announces the Mat- The exhibition hall – 300 items including about The Mayor of Freiburg, Germany, cuts the rib- sushita Electric Group “Environmental Vision” 120 panels and machine demonstrations (To- bon at the opening ceremony (Europe) and “Green Plan 2010” (Tokyo) kyo)

Symposiums and seminars inviting eminent lec- Former Minister of the Environment Kawaguchi Household fuel cell cogeneration system and turers (Tokyo) reviews various displays on recycling technolo- EV-related products attract attention (Europe) gies (Tokyo)

We held the “Environmental Forum 2001” in home network that is based on the “Echonet” Global Environmental Forum 2001 in October 2001 in Tokyo, and in December in telecommunication standard and utilizes fuel ¥ Europe Europe. The forum aimed to inform the public cell generated electricity. There was also good On December 5 and 6, 2001, the European of our ideas about environmental activities and feedback on the Parts Separator Systems tem- Forum was held with the theme “Seeking Qual- our achievements, and also to obtain feedback porarily set up in the exhibition hall that dem- ity Life through Sustainable Development” in for use in planning our future activities. onstrated the disassembly of discarded prod- the German city of Freiburg, famous for being ucts. Many people enjoyed feeling as if they an environmental model city, with cooperation Environmental Forum 2001 in Tokyo were inside a real recycling plant. Other events from the city itself. About 1200 visitors from lo- This¥ Forum held at our Multimedia Center (Shi- included an environmental education sympo- cal businesses, governments and universi- nagawa, Tokyo) on October 1-6, 2001 under sium for participants from industry, govern- ties/schools came to the exhibition. Particularly the theme of “Exploring Sustainable Lifestyles ment, and academics, as well as wildlife film well received were the keynote speech on fuel and Community, ” attracted about 3,500 visi- shows for the local elementary and junior high cells, given by Dr. Hebling of the Fraunhofer tors. Matsushita President, Kunio Nakamura school children, and an introduction to the ex- Institute for Solar Energy Systems, and the made a commitment to the world by announc- perience of volunteering at the Hitorizawa Citi- panel discussion that followed. Active discus- ing Matsushita’s Environmental Vision, which zens’ Forest in Yokohama City (see p. 46). sion followed on fuel cell technology and future looks 10 years into the future, and the Green energy policy. The full program also included Plan 2010, the Vision’s corresponding action Symposiums and Lectures exhibitions, a tour of environment-related facili- plan. The forum was aimed at the gathering “Energy Trends and the Global Environment” ties in Freiburg, as well as a concert by the EU and sharing of the various knowledge and Mr. Katsuya Fukuoka, Chairman of the Foun- Baroque Orchestra (see p. 44). technology needed to guide a transition toward dation for Earth Environment a sustainable society. To this end, it offered “Freiburg’s Environmental Measures towards a Global Environmental Forum 2001 lectures and symposiums by leaders in the en- Sustainable City” ¥ on the Web Dr. Dieter Woerner, Director of the Environ- vironmental field as well as technical seminars This website gives mental Department of the City of Freiburg given by our engineers on lead-free solder and details of the sympo- “Nurturing Eco-minded Citizens” fuel cells, two technologies we are developing siums and lectures Prof. Hisatake Kato, President of Tottori Uni- and information on with particular emphasis. versity of Environmental Studies the exhibited panels The exhibition featured many demonstrations and exhibition hall “Environment, Living beings, and Humans” on achieving a more environmentally con- Mr. Hiroya Kawanabe, Director General of scious lifestyle. For example, in the exhibition Lake Biwa Museum hall, we gave the first public demonstration of a “Eco Design in Electronics” “household fuel cell cogeneration system” that Dr. Tadatomo Suga, Research Center for Ad- supplies both electricity and hot water. Other vanced Science & Technology, The University demonstrations included a home appliances of Tokyo URL http://www.matsushita.co.jp/ control system, which operates through a corp/vision/en/ecovision/

9 Matsushita Electric Group Environmental Sustainability Report Environmental Management

Conference on the Creation of“Wa-no-kuni” in the 21st Century

In FY 2001, the “Conference on the Creation of ‘Wa- • Creation of the Environmental Model Cities of “Wa-no-kuni,” as a Foundation for a Recycling- TOPICS no-kuni’ Ðan Eco-society through PartnershipÐ in the based Society with the Keys being the Environment and Information Technologies 21st Century” was held with all members of the Jap- anese Cabinet in attendance. Matsushita Chairman Yoichi Morishita participated in the Conference as a member and proposed the “creation of the environmental model cities.” In February 2002, the “Conference on ‘Wa-no-kuni’ Lifestyle” was estab- “Wa-no-kuni” urban model “Wa-no-kuni” suburban/rural model lished calling for citizens to reform their lifestyles for a sustainable society, and Matsushita again was a member of the conference. Environmental infrastructure and support systems ¥Cycle of resources and energy Conference on the Creation of ¥Harmonious coexistence between humankind and nature ¥ “Wa-no-kuni” in the 21st Century ¥Zero emission ¥Reduction of CO2 In March 2001, the “Conference on the Creation of ‘Wa-no-kuni’ in the 21st Century” that looks 100 years into the future was inaugurated to realize a ‘Wa-no-kuni’ Japan that lives in symbiosis with the Proposal for “Creation of an The following three concrete initiatives were Earth. One of its major goals is to review basic poli- ¥ Environmental Model City” declared for the realization of this vision. cies and environmental measures with participation At the third meeting on May 28, 2001, Mat- sushita Chairman Yoichi Morishita introduced 1. Working out a clear Wa-no-kuni vision for the from industry, government, and academia. next 100 years and a direction for the nation The term “Wa-no-kuni” is intended to convey the Matsushita’s efforts, and illuminated our 2. Development and implementation of the image of a “recycling-based society that emphasizes thoughts on the goal of “Wa-no-kuni”, with a “Environmental Model Cities” throughout Ja- simplicity, quality and sustainability” rather than a concrete proposal. pan with the keys being the environment and society of “mass production, mass consumerism, He proposed the “Creation of an Environmen- information technologies tal Model Cities,” taking “Cities” to mean the 3. Construction of a long-term energy supply and mass disposal” which characterized the 20th master plan that includes hydrogen energy century. The Japanese word “Wa” has origins in the place to live and to foster values and dreams. historical and traditional culture of the Japanese that This proposal is based on the following three Opening of the “Conference on lived symbiotically with nature but also includes the ideas: 1) In addressing the environment, an ¥ ‘Wa-no-kuni’ Lifestyle” that meaning of cycles: “environmental cycle,” and approach should be based on daily life; 2) It is PromotesReform in Lifestyles “cycles of a recycling-based society” that effectively necessary to go beyond the passive concept of In February of 2002, the “Conference on Wa- uses resources with little or no waste. The word also being responsible for the protection of the en- no-kuni Lifestyle” was established following the means harmony: “harmonious relationship” among vironment, to efforts to inject value and dreams “Conference on the Creation of” Wa-no-kuni’. ecosystems including humans and other living into life; and 3) It is important to create a “100 Consisting of 16 opinion leaders, the Confer- things. Furthermore, it means links: “links” of human Year Vision for the 21st Century,” and make ence promotes the voluntary participation of cooperative efforts to preserve the environment, and steady efforts to achieve that vision. the public and seeks ways to further promote “links” of international cooperation among developed This proposal, in conjunction with “Urban Re- effective participation, in order to realize the re- and developing nations to conserve the global envir- generation,” an important issue for the nation, formation of lifestyles on all levels in support of onment. The word “Wa” carries within itself a hope aims to prepare for a recycling-based city. The the fulfillment of the goals of the Kyoto Proto- to create cycles, links, partnerships, and harmony “Urban Model” should be developed along with col. Matsushita Chairman Yoichi Morishita par- among humanity, civilization and earth. the “Suburban/rural Model.” For the Model Cit- ticipated as one of the members and ex- Each member expressed their opinions and held ies, there will be concrete long-term environ- pressed his opinion that “We should raise con- lively discussion on various topics in all five meet- mental targets. These include zero waste sumers’ awareness to carry out wise activities. ings. emissions and CO2 emissions reduction as I, myself, am concerned about wasting ener- well as the realization of a harmonious coexis- gy.” The Conference has set up four subcom- Outline of the Conference on the Creation of tence between humankind and nature. mittees and carried out various activities, in- “Wa-no-kuni” of the Japanese Government For transportation, both urban and subur- cluding seminars at which opinion leaders lec- Term: March 1, 2001 Ð July 10, 2001 ban/rural areas will employ the most appropri- (Total of 5 meetings) tured. Chairman: Prime Minister ate infrastructure and support systems: the ur- Attendees: All Cabinet Ministers and 10 Experts ban model will build a more efficient transport system using IT, and the suburban/rural model will use an on-demand bus system as the optimum transport. For housing, systems will be developed to provide support from both the technology and service aspects, with the “Renewable Energy Housing” using hydrogen as an energy source and Household Energy Management Systems using IT being just a The First “Conference on ‘Wa-no-kuni’ Lifestyle” few examples. held on February 16, 2002.

Conference on the Creation of “Wa-no-kuni” URL Conference on “Wa-no-kuni” URL in the 21st Century Lifestyle (Japanese only) http://www.kantei.go.jp/foreign/moritoku_e/ http://www.wanokurashi.ne.jp/ 2001/03/01wanokuni_e.html

Matsushita Electric Group Environmental Sustainability Report 10 Environmental Management Environmental Management and Promotion System

Environmental Management in FY 2001 We are making our best effort to re- Division companies and Management level Corporate Environmental affiliated companies alize the Environmental Vision and Affairs Division (operation sites) Green Plan 2010 with the corporate promotion organization, where En- 2000 / 10 7th Environment Conference vironmental Conference is the top decision-making organ for environ- 11 mental affairs. The operation is particularly strengthened by commit- 12 (FY 2000 performance outlook) tees set up by theme to formulate policies, which manufacturing and FY 2001 Environmental 2001 / 1 management Policies functional divisions at division policy for 2001 companies and affiliated compa- policy announcement nies are responsible for the imple- Formulated 2 Plan mentation. action plans

4 8th Environment Conference Action plan check Environmental

Management Promotion 5 Activity implementation

Based on the Corporate Management Poli- Activity support cies announced in January every year, and 6 also on decisions made at the Environment Do Conference (see p.12), the Corporate En- 7 vironmental Affairs Division (CEAD) announces the environmental policies to En- vironmental Officers in charge of the pol- 8 icy implementation at manufacturing and functional divisions. In addition to these of- First half-year Compiled first half-year 9 Check performance check performance ficers attending CEAD’s policy meeting, in-house satellite broadcasting is used to disseminate information to each operation 10 9th Environment Conference site, where approximately 1,100 environ- Activity implementation mental specialist watched in FY 2001. The 11 summary of the policies were also announced to all Matsushita employees (FY 2001 performance outlook) through the intranet. Taking into considera- 12 Do tion of the businesse nature, division companies and affiliated companies set up their 2002 / 1 Management policy Environmental (announcement ) (policy for 2002 ) own action plans to turn the policies into activities. The results of these environmen- 2 tal activities are evaluated as part of their business performance on a company-by- Performance Compiled FY 2001 company basis (see p.18). Furthermore, Check 3 evaluation performance worldwide environmental performance data Environmental performance and Environmental performance and environmental accounting data are col- 10th Environment 4 Action environmental accounting data and environmental lected, analyzed and disclosed in the Envir- Conference collection and analysis accounting data collection onmental Sustainability Reports. 5

Information disclosure in the 6 (General meeting of shareholders) Environmental Sustainability Report

11 Matsushita Electric Group Environmental Sustainability Report Environmental Management

Organizational Chart Environmental Management Green Procurement Subcommittee

Promotion System Product Design Subcommittee • Environmental Management and Promotion The Environment Conference, chaired by the 3R Manufacturing Subcommittee Green products Promotion Committee president of Matsushita Electric Industrial Technology Development Subcommittee Co., Ltd. (MEI), consists of all the presidents Green Logistics Subcommittee of division companies and affiliated compa- 3R System Subcommittee nies which determine Matsushita’s most important policies and worldwide activities for Corporate Lead-free Soldering Promotion Subcommittee environmental management. Lead-free Soldering Project Environment Lead-free Soldering Engineering Environment Conference Conference Subcommittee Function: Factory Energy Conservation Subcommittee

Top decision-making organ for environmental affairs S Deliberating and determining environmental policies ystem Chemical Substances Management Composition: Subcommittee Chairman: President of MEI Clean Factories (CF) Promotion Members: Presidents of division companies and affili- Committee Resources & Factory Waste ated companies Management Subcommittee Executive directors and directors of related functional divisions Environmental Risk Management (Total: 38 members) Subcommittee Secretariat: Corporate Environmental Affairs Division Meetings: Response-to-legislation Subcommittee Biannually, in first half and second half of the year New 10 meetings held since 1997 Recycling Committee Collection and Recycling Subcommittee Overseas Response Subcommittee The Environmental Vision and Green Plan New Environmental Management Innovation Committee 2010 were decided upon during the 9th En- vironment Conference held in the second half Love the Earth Citizen's Campaign Promotion Committee of FY 2001. Committees and projects were President Manages the Group's overall environmen- set up by theme to tackle important issues. Corporate Environmental Affairs Division (CEAD) tal preservation activities Subcommittees comprised of members from Chaired by the General Manager of the related functional divisions, major division Environmental Working Committee CEAD to communicate, report and discuss environmental issues companies and affiliated companies were set up to plan and carry out their mission. In FY Energy Conservation Promotion Representative Conference 2001, two new committees were established. One is the Recycling Committee, which Internal Matsushita Group Companies Domestic Sites deals with the extended producer responsibil- Affiliated Companies ity to recycle end-of-life products. The other Overseas Sites European Manufacturing Divisions is the Environmental Management Innova- Environmental Conference tion Committee, which constructs an envir- Sales Divisions North America onmental information system to support ef- Environmental Conference fective environmental management. R&D Divisions Asia Environmental Control Committee CEAD manages the entirety of the Group’s Head Office Division environmental activities. It is responsible for China Environmental Conference drafting environmental strategies, supporting Overseas Management Divisions Regional Headquarters their implementation, and reviewing their A planning and promoting office for end-of-life product performance. All the matters and policies de- Recycling Business Promotion Office recycling business cided at the Environment Conference for the year’s activities are confirmed to division An R&D group for creating environment and energy networks Living Environment Development Center in lifestyles companies and affiliated companies throughout the world in the form of Environmental Environmental Production Engineering Center An R&D group for establishing and supporting group-wide Notices issued by the Director of CEAD. En- technology to accelerate the production of Green Products vironmental Officers are appointed by the Matsushita Eco Technology Center Co., Ltd. Recycles appliances specified by the law, develops recycling presidents of their division companies and af- technology, and researches into easy-to-recycle design filiated companies or by the head of func- Conducts systems solutions business in the tional divisions to promote concrete activities Matsushita Environment Airconditioning Eng. Co., Ltd. environment and air conditioning fields at their respective workplaces. Organizational Manufacturing and Environmental Officers in charge of promoting environmental activities at their manufacturing committees functional divisions Officers ()and functional divisions.

Matsushita Electric Group Environmental Sustainability Report 12 Environmental Management Environmental Management Systems

Number of ISO 14001-certified Sites by Region Our drive to establish environmental Manufacturing sites ...... 3 years or more after certification/certification renewal management systems has culmin- Manufacturing sites ...... less than 3 years after certification ated in the acquisition of ISO14001 Non-manufacturing sites .... 3 years or more after certification/certification renewal certification by all our manufacturing Non-manufacturing sites .... less than 3 years after certification sites worldwide and was completed 87(79) by the end of FY 1998.

It is vital that employees have full 36(31) awareness of global environment issues and how manufacturing im- 16(12) pacts environment, in order to make continuous efforts toward improve- 1(1) ment. To this end, we offer a wide va- 32(23) Europe China 19(8) riety of education and development programs for employees. 59(46) Japan 2(0)

Americas

7(3) Acquisition of ISO14001 Certification Asia and Oceania Figures in parentheses denote the number of sites In November 1995, the Kadoma Site of AVC for which the certification has been renewed. Company became the first to obtain ISO14001 certification. In FY 1996, Matsushita adopted a policy of pursuing ISO14001 certification company-wide. Accordingly, all of our manu- Compliance with Laws facturing sites worldwide had obtained certifi- Environmental Audits and Regulations cation by the end of FY 1998. We are currently pursuing certification acquisition by non- To verify the effectiveness of environmental We obtain information on newly enforced manufacturing sites as well. In the case of management systems and the results of en- laws and regulations from our regional newly opened manufacturing sites, we set a vironmental performance, we annually con- headquarters and reliable news sources goal of obtaining certification for these facili- duct internal audits as well as external au- around the world and share them through- ties within three years. dits by independent auditing firms. We have out the Group. Based on ISO14001, each Of our manufacturing sites, 83 percent have created a common internal audit check sheet site compiles applicable laws and regula- already completed certification renewal, a for use by the entire Matsushita Group, with tions, taking into account the type of its op- process conducted every three years. This pro- the aim of upgrading the systems at each operation and located regions. For daily busi- vides an indication that environmental man- eration site and promoting the sharing of ex- ness operations, the sites establish volun- agement systems gain a significant foothold. pertise. Based on environmental perfor- tary standards that are more stringent than The number of ISO14001-certified sites in- mance data (an achievements report) collec- those required by laws. In Japan during FY creased, adding 15 sites of Victor Company of ted from the operation sites at year-end, we 2001, we had one case of wastewater stan- Japan, Ltd. in FY 2000. Business restructur- compile quantitative data, which help us dard violation and 12 cases of noise viola- ing, which involved consolidation of sites, and identify problems, and formulate policies tion. In all cases, remedial measures have an increase in joint certification acquisitions and measures accordingly. been implemented. Levels of exhaust ga- by two or more sites during FY 2001 brought ses, odors and vibrations were within stan- the number of certified sites to 259 as of dards. There were no accidents or fines March 2002. An Internal Auditing Check Sheet Shared Group-wide paid.

Acquisition of ISO14001 Certification

FY Number of certified sites End of FY 1999 245 End of FY 2000 280 End of FY 2001 259

DATA ISO14001 Certification Status P.55–56

13 Matsushita Electric Group Environmental Sustainability Report Environmental Management

Lead-free Soldering Techno-School Awareness-Raising Activities Environmental Education Toward¥ the goal of abolishing the use of As¥ part of an educational program among

and Awareness-Raising lead solders on a global scale by the end of employees to promote environmental man- • Environmental Management Systems FY 2002, “Lead-free Soldering Techno- agement, we issue Environmental Notices At Matsushita, we offer two types of envir- school” was launched for employees work- during Environment Month (June), Recy- onmental education programs for employing in the production technology, design, cling Month (October) and Energy Saving ees: position-specific training aimed to help product quality, environment and material Month (February). Matsushita’s division employees acquire the knowledge of the divisions with the support of Environmen- companies and affiliated companies imple- company’s environmental philosophy and tal Production Engineering Laboratory. ment their own education programs that policies needed to carry out their job; and With two locations in Japan and one in Sin- take into consideration the nature of their function training that help promote specific gapore equipped with demonstration facili- business as well as regional characteristics. environmental activities corresponding to ties, the school offers a curriculum that employees’ function. In addition, each op- Education Activities by Matsushita Division consists of two courses Ð the basic to prac- Companies and Affiliated Companies eration site conducts general and professio- tical application course and the selective AVC Company (Environment Month) nal as well as emergency training, in accor- technical support course to meet specific Environmental exhibition dance with ISO14001 requirements. needs. In consideration of the fact that we Display of panels showcas- ing environmental efforts at Environmental Education System use externally supplied printed circuit its operation sites Group-wide boards using soldering, we offer these Environmental seminar Position A lecturer was invited from training courses to our major domestic Toyota Motor Corp. New employees Introductory education (environmental training) business partners. Lighting Company (Environment Month) Promoted employees Training for supervising staff(environmental training) Engineers conducted training in recyclable design. Managers in An Outline of Lead-free Soldering overseas Pre-assignment training (environmental training) Techno-school Held at the Matsushita Eco Technology Center Function Curriculum LCD Group, Display Devices Company (Energy Saving Month) Environmental Seminars for internal auditors and Number Course Description auditors managerial internal auditors of days An appeal through Environmental News. Technical Lead-free Soldering Techno-school Basic-to-practical- Seminar, Training, application The energy consumption status was reported and specialists actions were called for. Recyclable design training course 3days Demonstration using specific cases Highly recyclable products Matsushita Communication Industrial Co., Ltd. (Environment Month) Technical 1day Demonstration Offered by individual sites support course Special support (Technical Environmental Convention All employees General education consultation, Use of facilities, etc.) Hosting of the Global Con- ference Specified workers Professional and emergency training Techno-schools Opened Environmental Exhibition Number of Primary Location Opened in Display of panels showcas- participants target ing environmental efforts at Training for Environmental Auditors Osaka 246 people from Western its operation sites ¥ (Kadoma) June 2000 65 operation sites Japan We periodically conduct in-house environ- Kanagawa December 27 people from Eastern (Fujisawa) 2001 5 operation sites Japan mental auditing seminars designed to help Employee Suggestion Activities Singapore April 2001 55 people from Overseas employees deepen their understanding of 16 companies To¥ realize “participative management with col- environmental management systems as lective wisdom,” we have been promoting sug- well as to train environmental auditors. In gestion activities of employees since 1950. On addition to this course, we host seminars the environmental conservation front, we desig- targeted primarily at non-manufacturing nate Environmental Suggestion Promotion sites currently pursuing ISO14001 certifi- Months (every June, October and February) to cation, opening the classes to our major do- Hands-on training (left) and quality inspection (right) support the effort. We receive some 40,000 sug- at Techno-school mestic business partners as well, with the gestions (about 3% of a total of 1.37 million sug- aim of upgrading our environmental activi- gestions received annually), which have con- ties. cerned energy conservation, resource conserva- ¥Emergency Training tion and recycling methods in production proces- Number of Participants at Environmental Each site is identifying procedures that ses and other solutions to environment-related Auditor Training Seminars (unit: number of people) may have significant impact on the envir- problems frequently encountered in daily opera- FY 2000 FY 2001 onment. tions. We post outstanding suggestions on Mat- Internal auditors seminars 434 414 sushita’s intranet to ensure that employee knowl- Managerial internal auditors seminars 66 52 edge is shared by all. Total 500 466 Outstanding suggestions (FY 2000) Number of Seminar Attendees from Major ¥Improvement to toilet cleaning methods utilizing microorganisms ¥Waste reduction through improvement in the quality of Business Partners (unit: number of people) lead-free soldering process Training to prevent oil spills during fuel oil receiving FY 2000 FY 2001 ¥Utilization of exhaust heat from a drying furnace for (left) and training to prevent chemicals from flowing cathode ray tubes into rainwater ditches during receiving (right) at the Internal auditors seminars 96 55 Lighting Company. ¥Reuse of packaging materials for solder-free jointing equipment

Matsushita Electric Group Environmental Sustainability Report 14 Environmental Management Environmental Accounting

Environmental Conservation Costs and Environmental Benefits Environmental accounting was intro- ¥ (Environmental Conservation Benefits and In-house Economic Benefits) duced in FY 1998 for better understanding of environmental manage- Environmental Conservation Costs Capital Investments and Expenses for Environmental Activities (unit: million yen) ment. Through active disclosure of en- Capital vironmental accounting, we aim at ach- Category investments Expenses Total Major areas addressed ieving transparency in business man- Pollution ¥ Prevention of air, water, and soil pollution, noise, 3,228 5,496 8,724 vibration, offensive odor, land subsidence agement. Matsushita’s environmental prevention (pp. 13, 35-36) accounting follows the Environmental Cost within Conservation of ¥ Prevention of global warming and business the global 6,255 1,746 8,001 energy conservation measures Accounting Guidelines (2002) an- areas environment ¥ Protection of the ozone layer (pp. 21-22) nounced by the Ministry of the Environ- ¥ Reduction, recycling and appropriate treatment of wastes Resource 1,735 6,086 7,821 ¥ Reduction of water use ment of Japan, and is calculated on a recycling (use of rainwater and wastewater) (p. 23) global scale including overseas opera- Subtotal 11,218 13,328 24,546 tion sites. We will grasp the environ- ¥ Collection, recycling, and proper treatment of end- of-life products mental conservation costs and envir- Upstream/downstream cost 973 1,776 2,749 ¥ Commissioning the recycling of end-of-life products onmental benefits during the entire to external organizations (pp. 33-34) ¥ Development and operation of an environmental product lifecycle more accurately, thus management system (p. 13) ¥ Disclosure of environmental information promoting efficient environmental man- (publishing Environmental Sustainability Reports, organ- Management activities cost 19 8,300 8,319 agement. izing environmental exhibitions, etc.) and environmental advertising (pp. 9, 51-52) ¥ Environmental education and training of employees (p. 14) Technology ¥ Development of elemental technology with environmen- development 5,702 12,065 17,767 tal consideration as the primary objective and introduction of facilities for its production (pp. 27-29, 37-40) R&D cost ¥ Development and introduction of environmentally Packaging conscious packaging (p. 29) Environmental Accounting /distribution 86 295 381 development ¥ Research and development dedicated to reducing in FY 2001 environmental load in distribution (p. 32) Subtotal 5,788 12,360 18,148 For better understanding of the In-house ¥ Donation to and support of environmental activi- Social activities cost 0 40 40 ties conducted by environmental conservation or- Economic Benefits, the effect of capital ganizations and local residents (pp. 43-46) investment is shown for each year and ¥ Investigation and measures addressing past con- Environmental damage cost 202 603 805 tamination (groundwater, soil, etc.) (pp. 35-36) three-year accumulations. To understand Total environmental conservation costs and en- 18,200 36,407 54,607 vironmental benefits for the entire product Notes: ¥ Expenses include labor cost but not depreciation of capital investment. lifecycle, calculations for three major elec- ¥ Whenever the amounts of capital investment and labor costs cannot be counted as entirely an environmental conservation tric home appliances having large electri- cost, differences or appropriate portions (divided proportionally) have been calculated. ¥ R&D costs are limited to investment and expenses for technology development with environmental consideration as the city consumption (air conditioners, refrig- primary objective, and do not include cost of product development utilizing such technology. ¥ In accordance with the Environmental Accounting Guidelines (2002), “Disclosure of Environmental Information” has been erators, and TVs) are shown as Customer moved from social activities cost to management activities cost, resulting in approximately 1.5 billion yen decrease in social Economic Benefits. Furthermore, for En- activities cost compared to the previous year. vironmental Conservation Benefits, we at- tempted to estimate in monetary terms the Analysis of FY 2001 Results to FY 2000, capital investment for R&D in- effects of reduction of CO2 emissions dur- In¥ FY2001, Environmental conservation creased by 3.4 billion yen. The main factors ing business activities and product use. costs totaled 18.2 billion yen for capital infor this increase were: investment in devices Scope of Environmental Accounting vestment and 36.4 billion yen for expenses, mounting equipment for lead-free solder Accounting period: April 2001 Ð March 2002 making a combined total of 54.6 billion yen. (see p.28), manufacturing facilities for mag- Target companies: (Total figures in FY 2000 were 62.2 billion nesium alloy components (see p.40), and Domestic operation sites (149) and overseas companies (158) of Matsushita Electric Industrial Co., Ltd. yen). In-house economic benefits (aggregate manufacturing facilities for “MK- and its 10 major affiliated companies of three years) were : savings of 5.4 billion MWood,”(see p.40) a synthetic wood made Major affiliated companies: ¥ Matsushita Communication Industrial Co., Ltd. yen in energy expenses, 3.7 billion yen in from in-house waste plastics and waste ¥ Matsushita Electronic Components Co., Ltd. waste treatment expenses, and 2.7 billion wood from sawmills. ¥ Matsushita Industrial Equipment Co., Ltd. ¥ Matsushita Battery Industrial Co., Ltd. yen in packaging materials and distribution In FY 2001, environment-related capital ¥ Matsushita Refrigeration Company expenses, plus a 2.9 billion yen profit on investment accounted for 5.9% (4.9% in FY ¥ Kyushu Matsushita Electric Co., Ltd. sale of by-products with values related to re- 2000) of our total capital investment (309.1 ¥ Matsushita Seiko Co., Ltd. ¥ Matsushita Graphic Communication Systems, Inc. cycling of waste and end-of-life products, billion yen). ¥ Matsushita Kotobuki Electronics Industries, Ltd. amounting to a total of 14.9 billion yen. Of the total R&D costs (565.5 billion yen), ¥ Victor Company of Japan, Ltd. While the amount of overall capital invest- environment-related R&D costs accounted Environmental Accounting covers the same scope as the environmental performance data. ment decreased by 6.4 billion yen compared for 3.2% (2.7% in FY 2000).

15 Matsushita Electric Group Environmental Sustainability Report Environmental Management

Monetary Conversion of Environmental Conservation ¥ Benefits and Customer Economic Benefits

Environmental Conservation Benefits Monetary conversion of • Environmental Accounting Improvement in environmental performance (in physical quantity) compared with the previous year, based on direct environmental loads in business activities and indirect environmental loads during product use. environmental conservation benefits Monetary conversion of environmental conservation benefits to indicate improvement in environmental performance (physical quantities) Category Reduced amount Reference (for reference) Energy use 43,589k P.21Ð22 CO2 emissions 27,757tons-CO2 262 million yen Controlled chemical substances 40,946tons Amount used P.22 Releases and transfers 537tons

Environmental conservation Hazardous air pollutant emissions (Japan) 1.3tons benefits in business activities P.36 Industrial waste 11,012tons Volume generated P.23 Volume of final disposal 5,355tons

Water use 957,460m3 P.23

1 - Environmental conservation CO2 emissions* 465,645tons CO2 P.27Ð29 4,388 million yen benefits during product use (Japan) Packaging materials use 8,676tons Total Corrugated cardboard P.29 4,650 million yen Expanded polystyrene 373tons Note: Notes: ¥ Monetary conversion coefficient of CO2 : 9,425 yen/tonÐ CO2 *1 Estimated figures for three major home appliances with large electricity consumption (air conditioners, refrigerators, Source: Calculation is based on 34,560 yen/ton-C, the maximum cost for reducing CO2 in Japan for attaining the targets of TVs)(Lifetime CO2 emission of FY 2000 models during use Ð lifetime CO2 emission of FY 2001 models during use) x number of units sold in FY 2001 in Japan the Kyoto Protocol as calculated by the Ministry of the Environment (carbon tax calculation). In-house Economic Benefits Customer Economic Benefits This is “economic benefits as a by-product of environmental conservation measures.” Cost savings and gains verified by Economic benefits to customers, calculated in terms of firm evidence, obtained as a result of promoting environmental conservation measures (unit: million yen) reduction in electricity costs during product use, a result of improved energy efficiency of products. Category Single year Three-year aggregate

Energy conservation at operation sites 2,656 5,410 Savings in electricity costs during product use (Japan) 571 3,734 Reduction of waste treatment expenses 2 Cost savings Savings in electricity* 1,304,330,000 kWh Reduction of water and sewage cost 115 166 Savings in electricity costs 30 billion yen Reduction of packaging materials and distribution expenses 1,744 2,705 Notes: Profit on sale of valuable by-products resulting ¥ Estimated figures of three major home appliances with large 2,458(Single year) from recycling waste from operation sites electricity consumption (air conditioners, refrigerators, TVs) Gains ¥ Monetary conversion coefficient of electricity costs 23 yen/kWh Source: EDMC Handbook of Energy and Economic Statistics in Profit on sale of by-products with values resulting 431(Single year) from recycling end-of-life products Japan 2001 *2 (lifetime electricity consumption of FY 2000 models Ð lifetime 7,975 14,904 electricity consumption of FY 2001 models) x number of units Total sold in FY 2001 in Japan Notes: ¥ Presumed benefits attributable to avoidance of potential risks and enhanced corporate image are not included in the figure. ¥ Three-year aggregates include aggregate effects of capital investment made in FY 2001 and the past two years. Future Direction Current¥ environmental accounting is targe- As for environmental conservation benefits sumption. ted on costs and benefits occurring in the in business activities, while the amount of The CO2 emissions were converted into business activities. However, in order for energy and water used at operation sites de- monetary terms for reference using the environmental accounting to be an effective creased compared to FY 2000, industrial monetary conversion coefficient, resulting tool to promote environmental management, waste increased mainly due to the participa- in the benefits equivalent to 0.26 billion yen it must cover the entire lifecycle of prod- tion of Victor Company of Japan as group in business activities and 4.4 billion yen ucts. In each step of a product’s lifecycle, companies and the transfer of production during product use, a total of 4.65 billion from manufacturing of materials, to product sites to overseas, where lacks local recy- yen. Similarly, customer economic benefits disposal, energy conservation, chemical cling infrastructure. Continued efforts will (reduced electricity consumption during substance management, and resource con- be exerted to reduce waste and establish the product use) for the three major home ap- servation must be sought for. Focusing on necessary infrastructure. pliances resulted in a reduction of annual these three environmental goals, we will According to a calculation of environmen- electricity consumption by 1.3 billion kWh, strive to establish indicators that help us un- tal conservation benefits realized during amounting to 30 billion yen savings in elec- derstand the environmental conservation product use for three major home appliances tricity costs. costs and benefits more precisely, and prop- (air conditioners, refrigerators and TVs), erly evaluate environmental benefits. We

CO2 emission was reduced by 470,000 tons- will also carry out environmental account-

CO2 as a result of reduced electricity con- ing for individual products.

Matsushita Electric Group Environmental Sustainability Report 16 Environmental Management

Environmental Conservation Costs Breakdown of Environmental Costs by Business Segment (Fiscal year 2001) ¥ by Business Segments Headquarters/Main Divisions AVC Networks The ratio of environmental conservation 0.2% 0.2% 0.7% costs to the sales in the device segment, 3.1% 6.9% mainly consisting of semiconductor and component businesses, was approximately 36.0% four times that of business segments con- 40.6% 9.7 28.8% 13.0 billion yen billion yen sisting of assembly for finished goods. Of 60.8%

the environmental conservation costs for Headquarters AVC 8.7% Main Divisions the device segment, the costs within busi- Networks 14.0% 17.8% 23.8% ness areas accounted for 71%. As the de- Matsushita vice business consumes a great deal of en- Electric Group ergy, most of the expenditure was direc- 54.6 Home Components and Devices billion yen Appliances ted toward energy conservation and other 15.5% Home Appliances 0.1% Components 1.6% measures against global warming, with 2.5% and Devices 40.2% successful results in CO2 emissions reduc- 11.4% Industrial tion. Equipment In the AVC network segment, environ- 11.2% Industrial 2.7% 37.6% 21.9 Equipment 46.4% 8.5 ment-related R&D cost accounted for 3.9% billion yen 0.4% billion yen 0.1% 41% of the total, due to capital investment 70.9%

in new environmental solutions, such as 9.2% 5.2% 30.3% the magnesium alloy business carried out 35.6% in FY 2001. In the appliance segment, 1.5 billion yen Cost within business area 46% of expenditures was spent on R&D, 0.8% Product recycling cost such as development of technology for Management cost 32.8% R&D cost energy conservation during product use. Social activities cost Environmental damage cost

TOPICS

contribution factor of the current FY, which tal costs. The total environmental benefits of Application of Environmental is the percentage of the current FY’s portion all four themes reached roughly 3.3 billion Accounting in R&D to the total amount of development costs, to yen, against their environmental costs of 1.7 obtain the current FY’s environmental bene- billion yen. In our Research and Development (R&D) fits. In the future, we plan to refine this calcula- divisions, a variety of environment-related We then ran a trial calculation of FY 2001 tion method for more precise evaluation of technology development aimed at creating environmental accounting using this method environmental contribution by each R&D Green Products is underway. However, be- for some of the current R&D themes aimed theme, and by using these methods regular- cause a long time is required for such ef- primarily at environmental contribution, and ly aim at more efficient development of en- forts to be applied to products and to yield found that in any of the themes, environ- vironmental technologies. environmental conservation benefits, it is mental benefits exceeded their environmen- extremely difficult to evaluate the extent of environmental contribution made by each R&D theme. Thus, based on the concept of Calculation Method of Environmental A Trial Calculation of FY 2001 Environmental environmental accounting, we developed a Costs and Benefits for the Current FY Accounting of R&D Themes calculation method for estimating the envir- Environmental costs Energy-creating 12 onmental benefits corresponding to R&D R&D costs for current FY equipment 18 costs, now termed environmental costs, and Environmental benefits made trial calculations based on actual R&D Total amount of environmental benefits Energy-saving 2.4 themes. device 10 Environmental Environmental load Development With this method, environmental load dur- conservation benefits during development contribution factor of of a product*1 and manufacturing Energy-saving 1.8 ing product development and manufacturing current FY*3 system software 3.1 is subtracted from predicted environmental conservation benefits within a specified peri- Monetary conversion*2 Data compression 0.6 Environmental costs od after its commercialization, and the result 2.0 *1 Predicted value within a specified period software Environmental benefits is converted into monetary terms to obtain *2 Reduction of CO2 emissions converted using 0 the total amount of environmental benefits. trial calculations of carbon tax Amount (100 million yen) *3 Percentage of FY 2001 portion to the total This is then multiplied by the development development cost

17 Matsushita Electric Group Environmental Sustainability Report Environmental Management Environmental Management Performance Evaluation of Environmental Management

Performance Evaluation: How It Works in the Overall Environmental Management The Business Performance Evaluation

System is a system for yearly evalua- Environmental Vision •

Green Plan 2010 Environmental Accounting/Performance Evaluation of Management/ tion of management activities and achievements by each division company and affiliated company from the Plan Plan perspective of improvement of cor- Annual policy and plan porate value and customer satisfac- Action Review Do Implementation tion. The results are reflected in the Environment Conference Promotion and support of activities evaluation of employees’ performance belonging to their respective divi- Check Verification Actions integrated in sions. Performance evaluation ISO14001 activities Starting in FY 2001, performance at operation sites evaluation of environmental management has been incorporated into this FY 2002 Business Performance Evaluation system, weighted as 10% of the total Evaluation items Evaluation criteria evaluation. We expect that this will Greenness of products further accelerate the implementation of environmental management at all Indicator Criteria our operation sites. Super GP Development of Super GP One model (Super GP refers to sustainability-oriented TOPICS product, p. 27) Improvement of corporate value or GP development rate = Green Concept of Performance Evaluation Products (GP) Sales of developed green products Sales of all developed products 28% of Environmental Management (GP refers to products for improving environmental efficiency and products for solving environmental problems, p. 27) Environmental management evaluation, Environmental constituting 10% of the entire performance management evaluation, consists of “greenness of prod- Clean factory rating ucts”(evaluation of performance in product Category Indicators Criteria development) and a “clean factory rating” Energy-saving rate = Device segments (evaluation of performance in production Amount of energy-saving 7.0% Energy activities). Their respective percentages are Total energy use in FY 2001 Other business segments determined according to the business char- (p.21) (evaluated by CO2 emissions) 3.5% acteristics of each division. Integration of Customer Use of “reduction” ranked substances 39% reduction this performance evaluation practice in the satisfaction Chemical Releases and transfers of PDCA (Plan, Do, Check, Action) cycle of substances “Proper Management” ranked substances 39% reduction the environmental management system at (Classified according to the Chemical Substances (p.22) Management Rank Guidelines, compared with FY 1998) each operation site is expected to lead to Recycling rate = more efficient operation of the system and Waste Amount of recycled resources (p.23) 98% continuous efforts for improvement. Amount of recycled resources + Amount of final disposal

Achievements in FY 2001 The¥ performance evaluation of environmental management, introduced in FY Concept of FY 2002 Business by the attainment rates of the three zero 2001, was carried out at domestic operation ¥ Performance Evaluation emission targets Ð energy, chemical sub- sites of our division companies and affili- Evaluation criteria for FY 2002 environ- stances, and waste. But for the evaluation ated companies for the first time in March mental management are set in coordination of energy, business nature will be taken 2002. This has resulted in such achieve- with the Green Plan 2010 (see p.7) for its into consideration. Overseas manufacturing ments as accelerated introduction of lead- promotion. Specifically, the greenness of sites will also be included in the evaluation free solder, promotion of energy-saving products will be evaluated by the GP devel- for global achievement of the goals. products, and attainment of targeted recy- opment rate or development of Super GP. cling rate of wastes in production activities. The clean factory rating will be evaluated

Matsushita Electric Group Environmental Sustainability Report 18 Environmental Sustainability Product Lifecycle and Environmental Load

Matsushita operates a business Emitted into the air utilizing many of the earth’s resour- CO2: 1.4 million tons- CO2 NOx: 2,090 tons ces for parts and materials for its SOx: 276 tons products, as well as energy and wa- Chemical substances: 345 tons ter during the production process. Discharged into water 3 We realize the importance of cor- Effluent: 6.8 million m Chemical substances: 22 tons rectly understanding the entire en- Waste vironmental load of our business Amount generated: 193,000 tons activities, from the material pro- Amount of final disposal: 4,000 tons curement to the collection and recycling of end-of-life products. For OUT this year’s report, we used some product lifecycle models to identify these environmental effects and calculate the amount of environmental load. We will strive to improve accuracy in order to efficiently reduce the environmental load at each step of the product lifecycle.

Material Procurement (p.24) Calculation Model Approx. 6,000 companies Targeted region: Japan Manufacturing (pp.21-23) 119 manufacturing sites in Japan Manufacturing (Input items) Electricity: Amount of electricity purchased from electric utilities Oil: Use of fuel oil and kerosene Gas: Use of city gas and LPG IN Water: Amounts of municipal water, industrial water, and groundwater used Resources: Amounts of each material used for the seven major product items,*1 weight of Energy packaging materials, and amounts of Electricity: 2.2 billion kWh chemical substances used Oil: 73,000 k Manufacturing (Output items) 3 Gas: 200 million m CO2: Emissions of carbon dioxide associated with the use of electricity, gas, oil, etc. Water NOx: Emissions of nitrogen oxides resulting from the Amount of water used: use of gas and oil 3 SOx: Emissions of sulfur oxides resulting from the use 44 million m of oil Chemical substances: Releases and transfers of chemical substances into the air and water Resources Effluent: Amount of effluent discharged into the Metals*1: 94,000 tons sewage system Plastics*1: 45,000 tons Waste: Amount of waste generated and amount of Glass*1: 41,000 tons final disposal Others*1: 23,000 tons Distribution Packaging materials: 42,000 tons ¥ Targeting domestic transportation from Chemical substances: 67,000 tons manufacturing divisions to retailers ¥ For products imported from overseas manufacturing companies, targeting domestic transportation after their arrival in Japan Use Calculated based on the electricity consumed by each of the seven major product items*1 shipped in FY 2001 Earth’s Resources Collection and Recycling Targeting the four categories of end-of-life products designated by the Home Appliance Recycling Law (TVs, refrigerators, air conditioners, and washing machines) that are collected in FY 2001

*1 Seven major product items: TVs, VCRs, washing machines, microwave ovens, refrigerators, air-conditioners, and mobile phones

19 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability • Product Lifecycle and Environmental Load

Emitted into the air CO2: 84,000 tons- CO2 NOx: 239 tons Emitted into the air SOx: 95 tons CO2: 5.97 million tons- CO2 PM (particulate matter): 75 tons Calculated the amount of CO2 NOx, SOx, and PM calculations are emissions throughout product use based solely on truck transportation

OUT OUT

Distribution (p.32) Use (pp.27-29) 14 sites in Japan (for electric home appliances) Consumers

IN IN

Energy Energy Fuel for vehicles: 30,000 k Electricity: 16.73 billion kWh

Fuel used for truck transportation Estimated the amount of electricity consumed throughout product use, based on hours of use and product life

Collected resources End-of-life products Metals: 29,000 tons Collection and Recycling (pp.33-34) Amount collected: 71,000 tons Glass: 9,000 tons 27 Recycling points in Japan CFCs: 114 tons Collected amount of the four product Others: 6,000 tons items specified by the Home Resources collected in good Appliance Recycling Law condition to transfer to operators for paid recycling, as well as free and inverse onerous contract

Matsushita Electric Group Environmental Sustainability Report 20 Environmental Sustainability Input and Output of Production Activities

the devices area, reduction in total emis- CO2 Emissions by Business Segment The basis of our Clean Factories (pollution- (% share) sions becomes an even more difficult task. Industrial free factories) initiative is the zero-emis- We have included energy conservation ac- equipment 2% sion concept, which entails our efforts to tivities into the target item categories of our Appliances minimize all input and output at manufac- business performance evaluation system 17% turing sites for both reducing the environ- (see p.18) and will make the greatest effort mental load and increasing management AVC 1.4 million t-CO2 to achieve the reduction target. networks efficiency. We aim for a comprehensive re- 17% Devices 64% duction of environmental load by reducing ¥FY 2001 Performance chemical substance usage and waste in The amount of CO2 emissions at our do- (Japan) our production processes, as well as CO2 mestic operation sites in FY 2001 was 1.4

emissions that result from energy con- million t-CO2, +3% of the 1990 level. We out under the Group-wide environmental sumption. Thus Matsushita has devoted thus succeeded at achieving the FY 2001 management system, with individual priori-

great efforts to enable its manufacturing target of holding CO2 emissions at or be- ty themes pursued at each operation site. In plants to become “true zero-emission fac- low the +4% level of the 1990 total. This is addition to these site-specific themes, Four tories” that can coexist in harmony with mainly due to the fact that FY 2001 energy Key Action Programs, applicable to all op- the local communities and the environ- consumption decreased to about 900,000 eration sites, have also been implemented. ment. Furthermore, we have taken up the kiloliters in crude oil equivalent, a drop of Specifically, they are “energy conservation new challenge of expanding this effort of 5% from the FY 2000 level, as a result of diagnosis,” “creation and introduction of en- zero-emissions factories to our overseas our energy conservation efforts in addition ergy conservation standards,” “development operation sites. This has been advocated to the effects of economic downturn. The of energy conservation technologies and facilities,” and “implementation of the Chal- in our global goal, the Green Plan 2010. amount of CO2 emissions at our overseas operation sites was 1.88 million t-CO2, lenge Competitions (accumulation and exchange of expertise).” The energy conserva- Realizing Clean Factories about 1.3 times of our domestic CO2 emissions, while their total energy consumption tion diagnosis is being promoted by Mat- Zero emissions was equivalent to 730,000 kiloliters in sushita Environmental & Air-Conditioning Reduce Reduce crude oil. For the purpose of combating Engineering Co., Ltd., our ESCO*1 opera- Energy CO CO emissions consumption 2 2 global warming, we will further strengthen tor, and other specialized agencies. About 58% of all domestic operation sites have un- Use of chemical Chemical Release of our worldwide efforts in this area. substances substances chemical substances dergone the diagnosis, and the necessary Amount of Waste Final disposal Four Key Action Programs measures taken. industrial waste ¥ Energy conservation activities are carried *1 Energy Service Company Input Output

CO2 Emissions and CO2 Emissions per Unit of Sales

CO2 Emissions (10,000 t-CO2/year) Japan CO2 Emissions per unit of sales (Japan), compared to FY 1990 level (%) Overseas 100 99 100 93 Preventing Global Warming 188 88 89 97 183 Energy conservation activities are an important means for arresting global warming

through reduction in CO2 emissions, and 148 also for strengthening management practi- 143 145 139 140 136 ces. The mid-term plan for the reduction of 136

CO2 emissions formulated in FY 1998 in 100% 105% 102% 107% 109% 103% line with the Kyoto Conference on Climate Compared to FY 1990 level Change serves as the basis for our activi- 100 0 ties. With FY 2010 as the target year, the 98999097 00 01 plan aims at reducing CO2 emissions by Note: Base for calculating Matsushita Group’s CO2 emissions is as follows ¥ Calculation is based on the Environmental Reporting Guidelines issued by the Ministry of the Environment, retroactive 7% from the FY 1990 level at all domestic to FY 1990 from FY 2001.

¥ The CO2 conversion factor used here is derived from the list of emission factors issued in September 2000 by the Minis- manufacturing sites. Since the formulation try of the Environment, announced after the Review of Methods for Calculating the Emissions of Greenhouse Gases. In of this mid-term plan, site-specific targets terms of electricity, a factor that is the average of all power sources at the receiving end was used. After 1999, however, the factor announced by The Federation of Electric Power Companies Japan was applied. have been given to each operation site to ¥ The amount of CO2 reduction resulting from the use of the cogeneration system is calculated by comparing the system’s CO2 emission factor to that of thermal power generation, the source of the purchased electricity.

enable achievement of the plan’s 7% target, ¥ For overseas operation sites, the CO2 emission factor of electricity used is calculated from the composition of fuels used and a three-year plan has been set up to for power generation in those countries. work towards the reduction. With our busi- Energy consumption p.57; Purchased power consumption p.57; Electricity produced by cogeneration p.57. DATA Energy consumption in the global regions p.57; Crude oil and kerosene consumption p.57; City gas consumption p.57. ness activities expanding immensely into CO2 emissions per unit of joule p.57.

21 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability

Efforts at Overseas Operation Sites FY 2001 Performance In¥ support of the energy conservation activi- Comprehensive Management From¥ FY 1998 levels, operation sites in Ja-

ties carried out at overseas operation sites, of Chemical Substances pan reduced the use of substances designated • Input and Output of Production Activities the parent operation sites*2 in Japan are tak- for Reduction by 57% and the amounts of ing a leading role. For example, we coopera- Up until now, Matsushita has employed com- those designated for Proper Management that ted with the Chinese employees at Beijing prehensive management of chemical substan- were released and transferred by 46% in FY Matsushita Color CRT Co., Ltd. in conduct- ces as a foundation of its business activities, 2001. On the other hand, the amounts of ing energy conservation diagnoses for their seeking to prevent environmental pollution, chemical substances released and transferred plants. Seminars were also held for twelve develop environmentally conscious products, at overseas operation sites had a 10% in- subsidiaries in China, thus developing human and reduce environmental risks. In March crease in FY 2001 compared to FY 2000. resources for overseas operation sites and 1999, based on the results of risk assessment, This increase is attributable to the inclusion transferring technological expertise overseas. we ranked chemical substances in need of of the Victor Company of Japan, Ltd. in the In addition, various activities are carried out control into three ranks Ð Prohibition, Reduc- FY 2001 aggregation and the transfer of pro- to support overseas operations, such as dis- tion, and Proper Management Ð in accor- duction sites overseas. dance with Matsushita’s Chemical Substan- patching engineers to Southeast Asian coun- Use, Release, and Transfer of Chemical tries and China and offering training in Japan ces Management Rank Guidelines. The 33/50 Substances to personnel from overseas operation sites. Reduction Plan*3 was drawn up, and meas- (tons) Amount of use 4,830 ures included within it to reduce the use of Release and transfer chemical substances have been carried out. A 33% 3,461 FY 2001 targets according mid-term plan was also formulated in FY to the 33/50 Reduction Plan 2001 with a view to implementing global 2,837

measures to reduce the use of chemical sub- 2,057 Energy conservation diagnosis un- stances and to ensure proper management of derway: Explain- the substances at overseas operation sites. ing the diagnosis 762 816 680 33% measurement *3 Using the 1998 level as the baseline, we aim to method to train- reduce both the use of substances ranked for 415 ees at the Beijing Reduction and the releases and transfers of 0 operation site 98 99 00 01 98 99 00 01 substances ranked for Proper Management by (Japan) Substances for Substances for 33% in FY 2001, and by 50% in FY 2004. Reduction Proper Management *2 Domestic operation site producing the same product category as the overseas operation site Chemical Substances Management Rank Guidelines, ver.2 Survey Results of Release and Rank Substance group Production process Products ¥ Transfer of Chemical Substances Reducing Greenhouse Gas Emissions Prohibition 33 Prohibit use Cannot contain in Japan ¥ substances Other greenhouse gases besides CO2 are In FY 2001, 254 chemical substances from Reduce contents used, including the use of HFC as refrigerant 112 Reduction Reduce use of substances 123 substance groups were used. Ethanola- for air conditioners and refrigerators, and the mine, which accounted for 25% of the total Proper Reduce release Manage properly use of PFC and SF6 for the production of 361 and management and transfer recycle substances amounts of substances released and transfer- semiconductors and liquid crystal displays. red in FY 1999, was reduced to 0.7% thanks Total: 506 substance groups (1,413 substances) In the semiconductor area in particular, Mat- to the efforts to reuse it in the LCD business sushita has set up a voluntary action plan Prohibition-ranked substances and the recycling of waste liquid. Presently, aimed at achieving the 10% reduction of total CFCs, cadmium compounds, chlorinated organic compounds, hexavalent chromium compounds, efforts are being made to develop technology emission of PFCs from the FY 1995 level by nickel compounds, arsenic compounds, etc. for reducing the emission of toluene, the sub- FY 2010, a target agreed upon at the World Reduction-ranked substances stance responsible for the largest share of the Semiconductor Council (WSC). Various Toluene, xylene, HCFCs, antimony compounds, inorganic cyanides, vinyl chloride resin, halogen total chemical releases and transfers. measures are being implemented, such as re- flame retardants, lead, etc. Breakdown of Release and Transfer Proper Management-ranked substances ducing the use of greenhouse gases itself, N, N-dimethylformamide employing other gases as substitutes, and in- Zinc compounds, aluminum compounds, silver 3.3% compounds, barium compounds, boron com- Others Toluenes stalling equipment to decompose. pounds, manganese compounds, copper com- 25.9% 21.9% pounds, organotin compounds, etc. Composition of Greenhouse Gas Emissions Including all substances specified by the PRTR Law*4 Transferred Released into the air 48.0% Xylenes Sulfur hexafluoride (SF6), etc. Hydrofluorocarbons *4 PRTR: Pollutant Release and Transfer Register 48.9% 11.2% 60,000 tons (HFCs) PRTR Law: Law Concerning Reporting, etc. of Release Silicon carbide 3% 30,000 tons of Specific Chemical Substances to the Environment and 3.8% 2% Promotion of the Improvement of Their Management PFCs 6.6% Perfluorocarbons 20% (Japan) Oxalic acid 3.9% (PFCs) Others 9.2% 370,000 tons Total emissions Manganese and 20% 1.86 million its compounds Discharged into water 3.1% GWP t- CO2 /year (Japan) 11.1% 75% Carbon dioxide Chemical Substances Management (CO2) URL Release and transfer of chemical 1.4 million tons Rank Guidelines: DATA substances p.58 75% http://www.matsushita.co.jp/ Use and release / transfer of chemical substances environment/en/m_pdf/ in the global regions p.58 (Japan) GWP: Global Warming Potential chemical-e.pdf Material balance of chemical substances p.58

Matsushita Electric Group Environmental Sustainability Report 22 Environmental Sustainability

430,000 tons of waste in FY 2001, an in- Efficient Use of Waste Reduction crease of 3% compared to FY 2000. This was due to the inclusion of Victor Compa- Water Resources ny of Japan, Ltd., and the transfer of our Throughout the years, Matsushita has The device business, including manufactur- manufacturing sites to overseas. Compared worked to minimize the mass of waste going of semiconductors, requires a large to FY 2000, the amount of waste per unit ing into landfills. Setting up a “zero waste amount of water resources for cleaning and of sales has increased by 15%, with over- emissions” target for FY 2002, we are cooling. Mainly in the device business, we seas operations accounting for 55% of the making an effort to minimize the mass of have implemented initiatives for treating, total. For this reason, we will step up waste final landfill through reuse and recycling. purifying, and reusing effluents. In FY reduction efforts at overseas operation As a result of this effort, we succeeded in 2001, we used 44 million m3 of water in Ja- sites. achieving target set up by ourselves, as pan, and 20 million m3 at overseas opera- well as those by the government and indus- tion sites, totaling 64 million m3. Compared Mass of Waste Generated and 3 try in FY 2000, ahead of schedule. As our Final Disposal, and the Recycling Rate to the 65.3 million m of water used in FY

next step in FY 2001, we formulated a new Mass of waste generated Recycling rate 2000, we managed to put a halt to the in- mid-term plan with a global perspective to Mass of final disposal crease in our global water consumption. (1,000 tons) (%) include our overseas operation sites and ad- 96 97 94 vance the idea of controlling the generation 89 90 of waste, and we have already carried out Water Consumption (operation sites in Japan) 231 Groundwater activities under the plan. 223 223 Industrial water 202 (million m3) 193 Municipal water Zero Waste Emissions means: 45 46 44 43 44 Recycling rate: 98% or above 6 5 5 6 6 Mass of recycled materials Recycling rate = 6 7 Mass of recycled materials + Mass of final disposal 7 7 6

FY 2001 Performance 32 31 33 33 32 In¥ FY 2001, the recycling rate for Japanese 21 19 13 94 operation sites was 97%, surpassing the 00 999897 00 01 96% target, and the mass of waste for final (Japan) 0 disposal was 53% less than that of FY 97 98 99 00 01 Generated waste and (Japan) 2000. In addition to the declaration made DATA final disposal waste p.59 by Kyushu Matsushita Electric Co., Ltd. Waste in global regions p.59 for having achieved the zero waste emis- Water Consumption (overseas operation sites) Groundwater sions, 19 other Matsushita operation sites Rivers and lakes 3 were also commended with the Recycling (million m ) Municipal water and industrial water 20.0 Promotion Conference Chairman’s Award, 19.3 a tribute to our waste reduction efforts. Worldwide, however, we generated

Management Flow for Industrial Waste and By-products with Value (Japan) (Unit: 1,000 tons) 17.9 18.6

Waste generated Final disposal

Total industrial waste and Mass of by-products with value direct final disposal 193 2 0.5 0.9 1.0 0.4 0 00 01 (Overseas)

Recycled materials

Mass of directly Intermediate treatment recycled materials 142 Mass of in-house Effects on the Air and Water intermediate treatment Mass of recycled 4 Mass of final materials after disposal after NOx and SOx emissions, and environmental load of intermediate treatment Mass of direct intermediate intermediate treatment DATAwater pollutants (COD, nitrogen, and phosphorus) p.59 31 treatment on consignment 2 45

23 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability Environmental Sustainability Material Procurement

Green Procurement Assessment Criteria Matsushita is conducting business Supplier Assessment Criteria Green Purchase

with the support of about 6,000 mate- •

¥Acquisition of ISO 14001 Input and Output of Production Activities/Material Procurement rial suppliers in Japan. In order to of- ¥Corporate philosophy and policy on the environment ¥Environment-related corporate organization and planning Matsushita started to purchase recycled pa- fer environmentally conscious prod- ¥Environmental impact assessment ucts, we must make sure that every ¥Environmental education/information disclosure per in FY 1991 with a view toward con- ¥Rationalization of distribution activities serving forest resources, well before the piece of the material we purchase is + also environmentally conscious. term Green Purchase was introduced. Since Material Assessment Criteria then, we have proactively used environ- Since FY 1999, we have practiced ¥Observance of laws/regulations mentally conscious office supplies such as green procurement to purchase ma- ¥Forbidding the use of prohibited substances ¥Chemical Substances Management Rank Guidelines stationery. terials for production using clearly ¥Prevention of vibration/noise/odor In FY 2001, we formulated the internal defined procurement standards. We ¥Reduction of the harmful or poisonous levels of waste at disposal “Rules for the Promotion of Green Pur- also conduct studies on chemical ¥Conservation of energy and resources, and utilization chase” to clarify the steps and enforced the substances contained in the parts recycled resources ¥Recycling-oriented design rules at all our domestic operation sites. and materials. In FY 2001, we began ¥Disclosure of the environmental information of materials ¥Reduction of the environmental burden of packaging For office supplies, the green purchase cri- full-scale implementation of green materials teria have been set up. These criteria will purchasing, drawing up internal be expanded to include uniforms and com- rules for purchasing office supplies. From QCD to QCD+E pany cars in the future. Overall Assessment Green Purchase Criteria (excerpts) Quality Category Criteria Green Procurement Environment Papers Cost Delivery Copy paper 100% recycled paper with below 70% whiteness In FY 1999, Matsushita began to address green procurement with its Corporate Pur- Form paper 70% recycled paper with below 70% whiteness chasing Departments taking the lead in the ef- Development and Introduction of ¥ Printing paper 70% recycled paper with no coating forts by issuing the Green Procurement Stan- Environmentally Conscious Electrical Wire for easy recycling of the paper In electric appliances, halogen compounds such dards Manual and the Chemical Substances Below 70% whiteness for non-coated paper Management Rank Guidelines, which incor- as vinyl chloride resin are generally used to Toilet paper 100% recycled paper porate the objective of reducing environmen- provide electrical insulation and fire resistance Stationery (Applicable to all kinds of stationery) tal load in addition to the original objectives to electrical wires. Wires also contain heavy Plastics Over 40% recycled materials in weight for quality, cost, and delivery of supplied ma- metals such as lead and phosphorus. The envir- Wood Use of materials from tree thinning terials. Green procurement uses clear stan- onmental load resulting from their disposal cau- Paper Over 50% recycled paper dards for evaluating suppliers and materials ses concern. In FY 1998, in cooperation with Equipment (chairs, desks, etc.) Plastics Over 10% recycled materials in weight in order to choose materials with high overall major electrical wire manufacturers, we started Wood Use of wood materials from tree rating. In FY 2001, we have completed the to develop wires that do not contain halogen thinning and causing less than evaluation of 3,173 suppliers in Japan and ex- compounds or heavy metals. Consequently, we 1.5 mg/ of formaldehyde release amined the chemical contents of about 80,000 succeeded in developing low-voltage lead wire Points for Consideration for practical use in the internal electrical wiring ¥ Product packaging shall give consideration components. Further evaluations and studies to easy recycling and lower environmental will be carried out. of products. Then we worked to develop envir- load at disposal ¥ Product design shall give consideration to onmentally conscious AC cords that aimed at facilitating repair, change of parts, reuse of further reducing environmental load. In FY parts, and recycling of materials 2001, we evaluated the quality and safety of AC cords for 125V/7A, Matsushita’s most com- Status of the Purchase of Office Supplies (Japan) monly used specifications, for in-house stan- Category Quantity of purchase dardization. This allowed integration of the sev- Chemical Substances Manage- Copy paper 300 million pieces ment Rank Guidelines, ver.2 Green Procurement eral hundred types of electric cords currently in Standards Manual Printing paper 200,000 pieces use into four types. In FY 2002, we will work (converted to A4 size) on the introduction of these AC cords into prod- Stationery 3,700 items An Overview of Assessment Using the Green Equipment 8 items Procurement Standards (Japan) ucts and expanding the range of product appli- Supplier evaluation: 3,173 companies cations. ¥ (accounted for over 90% of domestic purchases)

Re-selection of suppliers Material assessment: examined chemical contents ¥ of about 80,000 components Environmentally Registration to the product assessment database conscious AC cord

Matsushita Electric Group Environmental Sustainability Report 24 Environmental Sustainability

TOPICS

tries, Ltd., a major iron and steel manufacturer.” Recycling Initiatives Until then, nobody at the Nagaoka Site had Transcending Industries contact with the iron and steel industry, and the recycling of hydrofluoric acid was never consid- Nagaoka Site is one of the main manufacturing ered. He explained, “Many issues had to be re- plants of the Semiconductor Company, one of solved before the recycling was made possible. Matsushita’s division companies established in Among them, the biggest hurdle was the inade- 1968 in Kyoto. The site is active in advanced quate cleaning power of the hydrofluoric acid efforts, as exemplified by its achievement of waste. After repeated studies, we found that complete zero waste emissions in Oct. 2000. combining nitric acid waste with hydrofluoric Complete zero emissions refer to the achieve- acid waste raised the cleaning power (a patent ment of zero emissions in both industrial and has been granted). This method is favorably re- municipal wastes. Jiichi Nakaki of the Compa- ceived by Sumitomo Metal Industries, Ltd. be- ny’s Environmental Promotional Group is ac- cause it can procure hydrofluoric acid at lower tive in promoting establishment of various recy- cost than before.” cling systems and in approaching government In this way, they succeeded in establishing an offices and other companies in the community. ideal recycling system that is beneficial to both Participated in the Kyoto Environmental Fes- the recipient company and Matsushita. They tival 2001 are also working on expanding this system to Prefecture where our plant is located, there are include an even wider range of industries. He many operation sites belonging to different in- adds, “Besides the semiconductor industry, hy- dustries. Therefore, we proposed the establish- drofluoric acid is also used by industries such ment of a joint public/private environmental as glass, fiber optics, and even in the manufac- study group, involving 13 major companies in turing of tombstones. For this reason, use of the area and the government of Kyoto Prefec- our recycling system is sure to be further ex- ture. We served as the first secretariat compa- panded. More than fifty companies represent- Low-cost Recycling of ny of the group.” (The study group is still ac- ing different industries have already contacted ¥ Hydrofluoric Acid Waste tive.) us expressing interest in adopting our recycling The recycling of hydrofluoric acid waste is our The site is also active in working with the local system even by bearing the royalty. Since no biggest challenge in achieving zero emissions. communities by disseminating information special treatment is required on their part, it will Nakaki said, “In the semiconductor manufactur- about zero emissions and hosting lectures. In still be economical for them.” ing process, a large amount of hydrofluoric acid May 2002, they received the Eco Kyoto 21 Cer- tification for Environmentally Leading Busines- is used for cleaning silicon wafers and glass Recycling of Hydrofluoric Acid Waste apparatus. Hydrofluoric acid is an industrial at the Nagaoka Site ses from the Kyoto Prefecture. “We will further waste that requires special management be- Semiconductor Company Ð Nagaoka Site strengthen our ties with local communities and cause of the tremendous load it places on the Hydrofluoricacid waste750 tons/year continue to make improvements in order to Before After environment. It accounts for the largest portion build a resource-recycling society,” said Nakaki. ¥Coagulation and sedimentation of industrial waste released from our site. In the ¥Dehydration

past, a coagulation-sedimentation process has ¥Mixing nitric acid for pH and been used to eliminate the toxicity in hydrofluo- fluoride ion adjustment ¥Testing for toxic substances ric acid waste. The supernatant resulting from Discharging the supernatant into rivers the process was discharged into the rivers and Disposing of dehydrated sludge by landfill the sludge disposed of by landfill.” Sumitomo Metal Industries, Ltd. Compared to solids, it is generally much more Reusing the liquid for cleaning stainless steel pipes difficult to recycle liquids. He added, “It was generally considered impossible to recycle hy- Governor’s Recommendation Received the Award for Excellent Efforts in Preserva- tion of Air Quality commended by the Ministry of the drofluoric acid. Even if it were possible, it would ¥ Brought Commendation by Environment be very costly if new equipment and plant facili- the Ministry of the Environment ties had to be installed to treat the acid. So we Thanks to a recommendation made by the pursued recycling methods that would require Governor of Kyoto Prefecture, the Nagaoka Jiichi Nakaki no new facilities.” Site received the Award for Excellent Efforts in Environmental Promotion Group They started by studying other industries. “We Preservation of Air Quality commended by the Semiconductor Company Ð Nagaoka Site suspected that the liquid was waste for semi- Ministry of the Environment in December 2001. conductor manufacturing but might still be use- The site was recognized not only for having “Our achievement is made possible with the cooper- ful for other industries. The result of our studies achieved zero waste emissions but also for its ation of external organiza- showed that iron and steel manufacturers use efforts in actively approaching many other in- tions and individuals, such virgin industrial hydrofluoric acid to clean the dustries in Kyoto Prefecture to encourage zero as our local government. surface of stainless steel pipes. Since their re- waste emissions activities. It is quite rare for a We will not settle for what we have accomplished but quired concentrations of the acids are similar to private company to be awarded such an honor. will address ‘Reduce’ in our handling of waste as ours, we approached Sumitomo Metal Indus- Nakaki stated, “In the Otokuni area of Kyoto well, thus promoting 3R activities.”

25 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability

Technique to Expose Electricity Reduction Rates at •

Establishing the Method of ¥ “Invisible Wastefulness” Matsushita Refrigeration Company TOPICS Energy Conservation Diagnoses This energy conservation diagnosis uses a pow- Process Domestic Overseas er meter to obtain time-series data covering pow- operation site operation site In FY 2001, the Matsushita Refrigeration Compa- er consumption of each item of machinery and Machine work 24% 36% ny received the Agency of Natural Resources equipment and to combine this with the number Press 39% 32% and Energy’s Director-General Prize as a com- of products being manufactured to ferret out Resin molding 15% (Not yet carried out) mendation for Energy Conservation Best Prac- wasteful use of electricity. “Our goal was to es- Circuit 27% tice Award. It was recognized for having estab- packaging Ð tablish a system that would enable us to correctly 33% gas lished a method for energy conservation diagno- identify and diagnose problems even without the Annealing Ð 13.4% ses at production sites and building a standar- specialized knowledge of a particular manufac- Coating 47% (Not yet carried out) dized procedure to carry out the diagnoses. Ma- turing process. By accumulating the diagnosis Air saichi Tanaka of the company’s NT Business Di- 10% 5.3% expertise gradually, we were able to compile Compressors vision said with confidence that the maximum re- manuals to establish standardized procedures,” duction of over 40% in energy consumption is “a said Tanaka. Better Than Anticipated Result at result that exceeded expectation.” Ideally, the facilities’ power consumption shall ¥ All Production Lines be in proportion to the number of product units He further commented, “The reduction results of ¥Drastic Reduction in Energy being manufactured. “However, we found out our initiative were better than anticipated at all Consumption that we were actually consuming the same level our production lines. The initiative began with the Matsushita Refrigeration Company is a compre- of energy when there were zero units in produc- Refrigeration Division, but it has also produced hensive industry that is comparable to the automo- tion as we were at full operation.” He explained, impressive results at four operation sites over- bile industry. Its production of refrigerators and au- “For example, we found a pump that was always seas. We plan to further upgrade the system and tomatic vending machines encompasses various in full operation at our press forming line even contract it out as a consulting business. We processes including casting, machine works, as- though there was rarely any need to use it. We would like to use this expertise that was origin- sembly, welding, painting, pressing, etc. Tanaka revised the program to put the pump in operation ated at our production site to help accelerate the said, “Since our manufacturing facilities are di- only at need, thus achieving a 39% reduction in energy conservation activities of our society at verse and the operating conditions change from power consumption at the production line.” large in order to contribute to arresting global time to time, simple energy conservation measures warming.” will not be effective. In fact, the effectiveness of the traditional plan to drastically overhaul the facilities reached the ceiling by 1998. Since such improve- Masaichi Tanaka ment would also create a burden in terms of cost, NT Business Division we tried to find ways to reduce energy consump- Matsushita tion using the existing facilities. Under the leader- Refrigeration Company ship of the Energy Conservation Committee, we “We have become skillful continued reviews and studies and finally came up enough to spot any waste in energy use just by looking with our original energy conservation diagnosis.” Members of the Energy Conservation Committee at the equipment.” who helped to realize the diagnosis method

agement has been enforced mainly on the air Dalian City Commending China Efforts for Conserving Water Resources Despite¥ the severe business environment it conditioning facilities, promoting rationalized Hualu Matsushita AVC Co., Ltd. faced in 1998, they constructed a comprehen- use of energy and facility improvement. As a sive wastewater treatment facility. This facility result, about 270,000 kWh of electricity was The China Hualu Matsushita AVC Co., Ltd., was designed to improve water quality to a level saved in FY 2001. In addition, while maintain- which manufactures VCRs and DVD players, surpassing the City’s effluent standard. The trea- ing the level of product quality, they also boldly is located in Dalian City at the southern tip of ted water is utilized for the watering of greenery introduced innovative production technologies China’s Liaoning Peninsula. In tandem with at the plant site. In addition to reducing the pollu- to its manufacturing process, substantially the growth of the Chinese economy, Dalian tion of the water system, the facility also contrib- curbing energy consumption. City is steadily transforming itself into a mod- uted to water savings of about 100,000 tons an- ern city. As the 7th manufacturing site in China nually, benefiting the local communities of Dal- Commended by Dalian City that had acquired the ISO 14001 certification ian City suffering from severe water shortage. Recognized¥ for these strenuous efforts and in 1998, they have implemented a wide range impressive results, they were commended by of activities with a focus on environmental con- Dalian City in the first Environmental Protec- servation at the plant, with energy conserva- Efforts for Energy Conservation ¥ tion Business Leader Award in June 2001. tion as a pri- Conserving energy in the production process They will continue to make improvements to mary exam- is a difficult task. The biggest challenge was maintain themselves as befitting the honor of a ple. presented by reducing energy consumed by the power equipment, which accounted for model company. 55% of the total power consumption of the entire operation site. Since 1999, energy man-

Matsushita Electric Group Environmental Sustainability Report 26 Environmental Sustainability Environmentally Conscious Product Design

Criteria for Green Products (GP) In FY 2001, we reviewed the existing standards for environmen- Sustainability-oriented products tally conscious product design, Super GP and upgraded them by defining Products with improved environmental efficiency their content more clearly. This Achieve targets in one or more categories below; achieve the industry’s top level in the other categories work also established the Energy Energy 1 CO2 emissions in the entire product lifecycle Use Index and the Resource Use 1 use index ( Product life x Product functions ) Index and discontinued the use of six chemical substances. Chemical Discontinue the use of 6 chemicals 2 (lead, cadmium, mercury, hexavalent chromium, brominated Starting in FY 2002, we will incor- substances and chlorinated flame retardants, and vinyl chloride resin) Green porate the content of the revised 2 x Mass of resource input in the entire product lifecycle products Resource 1 Ð Mass of 3R materials Ð Mass of 3R applicable materials standards into the performance (GP) 3 use index ( Product life x Product functions ) evaluation for “environmental management.” By positioning this as one of the important pil- Products for solving environmental problems lars in management, we will strive to make our products en- Matsushita product assessment Preliminary assessment of the environmental friendliness of a product in its entire lifecycle vironmentally friendly. Compliance with requisite standards 1. Compliance with laws and regulations 2. Exercising green procurement 3. Implementation in accordance with the Chemical Substances Management Rank Guidelines

Development of Overview of the Matsushita Product Assessment Support System Green Products Trial Planning Design production Production We define “Green Products” as products Target setting Interim assessment Final assessment that feature environmentally conscious design. When we formulated the Green Plan Matsushita Product Assessment Support System 2010 (see p.7) in FY 2001, we reviewed the Database Results requirements for Green Products and cre- Design ated two new indices, the Energy Use Index guidelines Assessment Energy use ¥Chemical substan- simulation index and the Resource Use Index. We have cate- ces and materials gorized Green Products into three categor- ¥Green procurement information Resource use ies: “products for improving environmental ¥LCA data index efficiency” offering a greater efficiency in ¥Design informa- Component tion, etc. energy and resource utilization while cutting and Assessment is performed Product’s eligibility back on the use of chemicals; “products for material for 35 assessment items for the Green Product information (Product version) designation is determined. solving environmental problems” developed with the objective of addressing environmental problems; and “sustainability-orien- sessment efficiently, we use the Matsushita ted products” attaining the status of “Super Matsushita Product Assessment ¥ Product Assessment Support System. Com- GP (Super Green Products)“–the superor- We have developed the Matsushita Product bining a variety of data on a newly devel- dinate concept of Green Products newly Assessment System that evaluates a prod- oped product, the System calculates the adopted in FY 2002Ðthrough innovative en- uct’s environmental impact during its entire chemical content as well as the energy use vironmental technologies. Matsushita’s lifecycle. Since we introduced Version 1 of index and resource use index of the prod- Green Plan 2010 sets the goal of raising the the system in 1991, which designated re- uct, thus allowing us to make an efficient development rate of Green Products to 90% source conservation and recycling as as- and multidimensional evaluation of the ex- by the end of FY 2010. In order to acceler- sessment items, we have upgraded the sys- tent of the product’s environmental impact. ate our efforts to attain this goal, we inclu- tem in stages by adding assessments of ded this Green Product development rate as both chemical content and a product’s en- an item for evaluating the performance of vironmental load when in use. Today, in its environmental management at Matsushita fifth version, the system incorporates the division companies and affiliated companies LCA (lifecycle assessment) technique. in FY 2002. In FY 2002, we made the Matsushita Product Assessment a prerequisite to Green Products Labeled with Environmental DATA Characteristic Stickers pp. 69-70 Product designation. To perform the as-

27 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability

Promotion of the Development of plications of lead-free solder by also em- ¥ Common Environmental Efforts toward Abolition ploying other solder such as a tin-zinc-bis-

Technologies of Use of Lead Solder muth solder, which allows soldering at lower • Environmentally Conscious Product Design Aiming to stimulate innovation of environ- temperatures, and our proprietary tin-silver- mental technologies throughout Matsushita Aiming to reduce the use of chemicals po- bismuth-indium solder. through company-wide sharing of ad- tentially harmful to people and the ecosys- As a measure to promote the use of lead- vanced environmental technologies and ac- tem, we have set a target of introducing lead- free solder within Matsushita, we have complishments in product development, we free solder in all our products on a global drawn up general guidelines based on dem- held a briefing session and an exhibition on scale by the end of FY 2002. To this end, we onstration research and case studies of oper- development of common environmental created the Lead-free Solder Project under ation sites that took the lead in introducing technologies on February 27, 2002. the Environment Conference and are press- the new solder. The guidelines, which were Reports presented in the briefing session ing ahead with the establishment and adop- distributed throughout the company, pre- centered on “lead-free solder,” “a product tion of the technology required for this goal. scribe the specifications for technology in- assessment system including a study on By the end of FY 2001, lead-free solder troduction and test methods and criteria for chemical substances” and other achieve- was employed in 130 products manufactured quality reliability assessment for each major ments and issues concerning the FY 2001 in Japan and 21 products manufactured by process and recommended solder materials. areas of focus. The concurrently held ex- 32 of our companies overseas. Since we be- Another measure to accelerate the introduc- hibition showcased practical applications came the world’s first company to introduce tion of lead-free solder into all products is of technologies and specific environmental and mass-produce lead-free solder three and the opening of Lead-free Solder Techno- activities. The session and the exhibition a half years ago, we have produced a total of schools in both Japan and overseas (see together attracted some 300 participants. approximately 22 million units that use lead- p.14) that offer a setting for learning, hands- We will strive to further promote informa- free solder. We are accelerating our efforts on training and demonstration. tion sharing among engineers, in pursuit of toward comprehensive development of ma- We were also the first in the world to com- the quick penetration of outstanding envir- terials, production techniques and facilities, mercialize lead-free plating of component onmental technologies and initiatives as well as practical applications, with the electrodes used in devices. About 86% of throughout Matsushita. aim of realizing production of a wide variety new semiconductors, or 1,433 models, now of high-quality products. We primarily rely Briefing Session and Exhibition on Development use lead-free plating. Also, the preparation of Common Environmental Technologies upon a tin-silver-copper solder, for which for the introduction of lead-free planting in Date and Time: February 27, 2002 10:00 Ð 17:00 Matsushita holds a Japanese patent jointly Major topics covered in the sessionand exhibition all electronic components was completed in with Senju Metal Industry Co., Ltd. We are ¥Lead-free soldering technology FY 2001. Currently, efforts to accept and in- ¥Product assessment system including a study on promoting licensing activity to enable global troduce this technology are being made at chemical substances use of this solder. At the same time, we are ¥Environmentally conscious AC cords and PVC- our business partners. free components and materials seeking to broaden the range of practical ap- ¥Flame retardant plastic recycling technology and Examples of Products Employing assessment of recyclability of halogen-free resins Improvement in Energy Lead-free Solder (as of the end of FY 2001) ¥Development of 3R manufacturing technologies Conservation Performance ¥Development of technologies for recycling and treatment of discharged chemical substances, etc. Mobile phones 5 models We endeavor to reduce products’ in-use en- A total of 3.08 million units produced ergy consumption by improving their energy conservation performance. These efforts VCRs All models earned us top-class ranking (third or higher A total of 3.37 million place) in 16 categories, including the top units produced(NV-SVB300) spot in four categories in the washing machine category, on the Energy Conservation Performance Catalog (2001 winter) published by the Energy Conservation Center. At the briefing session: advanced environmental tech- NV-SVB300 nologies and efforts were presented. Ranking by the Energy Conservation Number of Product Categories Using Performance Catalog (those ranked third or higher) Lead-free Solder 130 (Number of product categories) Product Category Air 2.2-kW Class, 2.5-kW Class No.1 21 conditioners 4.0-kW Class

16 500 liters or larger No.1 , 350-400 liters Refrigerators 300-350 liters, 250-300 liters No.1

Printed circuit boards man- BS 36-inch model Wide-screen( BS 32-inch model No.1 , ufactured with mass pro- TVs duction technology using 3 4 25-inch model, Standard screen( 21-inch model lead-free soldering 1 0 98 99 No.1 No.1 Commercially developed TV composed of 50% re- Japan Overseas Japan Overseas Washing 8.0kg ,7.0kg , machines cycled resin and 10% recycled glass. 00 01 6.0kg No.1 ,5.0kg No.1 ,4.2kg

Matsushita Electric Group Environmental Sustainability Report 28 Environmental Sustainability

Improvements Shown in Energy Use Index Environmentally Conscious and Resource Use Index Packaging

Air Conditioners Going back to the fundamental purpose of ¥ Energy Use Index Standby electricity consumption packaging, which is “to ensure product 2001 (%) CO2 emissions and component ratio measured by LCA (compared to FY 1990 level) 100 Power consumption quality,” we pursue optimum packaging Efficiency 2.0 times during operation 0.5 ¥Improved compressor efficiency that best suits the specific characteristics of ¥Enhanced efficiency of the heat Electronic component exchanger production, etc. the products. Acting on the principles of ¥Development of a high-performance fan Material production ¥Development of a high-efficiency motor “elimination,” “drastic reduction” and 97.5 50.3 “reuse” of packaging materials, we strive to 0.07 reduce the use of materials (efficient use of

48.5 resources) and energy during transporta- 34.0 0.47 0.43 tion, cut down the amount of waste gener- 1.53 1.28 0 90 01 2010 Targets ated, and improve packaging efficiency by 1990 streamlining the packaging process. Resource Use Index Efficiency 1.5 times Use of Major Packaging Materials (%) Resource consumption (compared to FY 1990 level) ¥Improvement in heating capacity (4.8 kW 7.5 kW) ¥Corrugated cardboard packaging requiring no foam buffer Corrugated cardboard (1,000 tons) materials Expanded polystyrene (100 tons) ¥Development of a twin-blade fan 74 72 ¥Redesigning electrical components into compact modules 62 54 50 49

100 40 32 64.7 21 Reduction of Chemical Substances 17 with Large Environmental Load 38.1

¥Use of CFC substitutes as 0 0 9798 99 00 01Forecast a refrigerant 90 01 2010 Target (Japan) ¥Use of a PVC-free drain hose ¥Use of halogen-free resin Air Mold In¥ pursuing an ultimate packaging material, Automatic Washing Machines ¥ Energy Use Index Water we focused on a material that makes use of (%) CO2 emissions and component ratio measured by LCA (compared to FY 1991 level) 2001 Detergent 100 air and developed “Air Mold,” a highly ef- Efficiency 2.5 times Standby power ¥Adoption of an inverter-driven direct mech- consumption ficient buffering material. Air Mold, a mul- anical motor Power consumption 41.6 ¥Equipping with the bath water utilization during operation ti-layer-structured film filled with air, com- feature Production process, etc. ¥Lowering the bath ratio*1; improved rinsing bines outstanding shock absorbing proper- Material production 12.1 ties with resource conserving composition 5.5 41.4 and light weight. It can be reduced to 1/250 12.5 28.4 of its original size for disposal. The new 0.0 8.3 8.1 3.7 3.1 28.0 packaging material was first used in pack- 8.7 9.4 0 aging portable DVD players and is now 91 01 2010 Targets 1991 also used for such large-scale products as washing machines. Through its use, we Resource Use Index were able to reduce the use of corrugated (%) Resource consumption (compared to FY 1991 level) Efficiency 1.4 times ¥Increase in washing capacity (6kg 8kg) cardboard by 415 tons annually. We will ¥Downsizing and weight reduction continue working to reduce the use of packaging materials by promoting the introduction of Air 100 Mold to all opera- 71.7 tion sites and ex- Reduction of Chemical Substances with Large Environmental Load 42.2 panding the list of products packed ¥Use of a PVC-free bath water 0 suction hose 91 01 2010 Target with this material. ¥Use of lead-free electrical (Note) The 2010 target figures are a rough estimate using FY 2001 as the wires/lead-free solder base year. *1 Bath ratio means the ratio of the amount of water used to the weight of the laundry A washing machine packaged with Air Mold

29 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability

TOPICS •

this minor glitch in the next version. The resulting Aspiring to Set the Standard for Environmentally Conscious Product Design/ IPD Becomes the First device provided stable operation, but it con- ¥ Power Units Semiconductor to Win the sumed more electricity, becoming less efficient. The power device, along with dozens of circuit Energy Conservation Award To surmount the problem, the engineers took a components to control it, has conventionally been counterintuitive approach: deliberately introduc- mounted on a circuit board. By integrating them to- Matsushita’s IPD (Intelligent Power Device), a ing unstable operation. When tested, it worked gether into a single power device, we were able to development for switching power supplies that beautifully, and power consumption was re- reduce the number of components (approx. 90%) reduces standby power consumption, was hon- duced. Further improvements were made to con- as well as the size (approx. 30%) compared to con- ored with the FY 2001 Minister of Economy, trol the instability, or the thinned-out state, before ventional products. Yuji Yamanishi of Semiconduc- Trade and Industry Prize of the Energy Con- we perfected the “thinned-out control.” Thus, a tor Company says, “Our effort to reduce the size servation Award, thereby becoming the first somewhat strange phenomenon of being un- and weight of the power unit was driven by the glo- semiconductor product to win the award. IPD stable yet highly efficient served as an inspiration bal trends toward the prevention of global warming. TOPICS earned high acclaim not only for lower standby to them. It was also encouraged by the fact that Japanese power consumption Ða reduction of about 81% electronics home appliance manufacturers are compared with conventional modelsÐ but also Intermittent Oscillation Control System leading the world in reduction of standby power (Electric current) for its resource and space efficient one-chip consumption.” The maximum power output for this configuration. IPD is now 60 W, and it can be utilized by 70-80% of all electric appliances. At present, an IPD for Energy Conventional system conservation Award greater output capabilities are under development. Minister of Continuous oscillation Economy, Trade Since the fall of 2001, when we first introduced its and Industry IPD to the market, we have pushed for getting the Prize device into widespread use, gaining momentum During operation During standby from the winning of the Energy Conservation

IPD won the FY 2001 Award. We plan to incorporate it into a wider variety (Electric current) Energy Conservation of appliances that will reach the homes of our cus- Award tomers. The next version, which will realize further Intermittent oscillation reductions in power consumption and size, is slated ¥A Mechanism of Standby Power control system Consumption Intermittent oscillation for introduction in FY 2002. In recent years, greater attention has been focused on standby power consumption as an indicator of the energy conservation performance of Reduction of switching loss Examples of Applications to Products electric appliances. The standby power con- TV door phone sumption takes place at the power unit of an ap- HA-S601K-TW pliance, typically an AC adapter. The power unit Applicable Electric Home Appliances (up to 60W) supplies the main unit with the electricity it TVs (power for a remote control) needs. An electrical current continues to pass VCRs (main body) through the power device even in standby mode, Portable/Stationary DVD players (main body) when the main unit is not in operation. This is Digital video camera (battery charger) why the AC adapter becomes warm to the touch. Digital still camera (battery charger) Desktop/Notebook computers Cordless vacuum cleaner “Thinned-out Control” “Canister” ¥ (main body/power during a standby state) (with a rechargeable battery) Dramatically Reduces Switching Mobile phones (battery charger) MC-BX11 Loss Cordless phones (main body) An electrical current that passes through the Microwave ovens (main body) power device is not constant but rather oscil- Electric rice cookers (main body) lates, alternating between “on” and “off” states. Air conditioners (main body) Every time the switchover takes place, electricity Lighting apparatus Power devices for switching is wasted as a “switching loss.” Our solution to URL power supply (Japanese only) this problem was the development of an Energy Conservation Effect http://www.panasonic.co.jp “intermittent oscillation control system,” which (assuming a propagation of 30 million units a year) /semicon/pr_jpn/orange.html curtails electric current and oscillations during Reduction of power consumption in standby mode standby. In other words, the technique decrea- A saving of about Yuji Yamanishi ses the number of oscillations to match the elec- Discrete Division, Electricity bill ´1. 5 billion Semiconductor Company tric energy, so as to let only the necessary electric current flow. There is an interesting anecdote Reduction in CO2 emissions (as a gas) “The time has finally arrived when this technology reaches about the innovation of this technology. When about Reduction full flower. We are going to the engineers developed the first IPD seven or equivalent of 69 million barrels make further improvements eight years ago, they found the device’s opera- to the IPD and push forward No-load power consumption(with an input of 100V): to get it into widespread use, tion became slightly unstable during standby, al- MIP0225 (existing model) 0.35 W so that it will become a prod- though it met the standards. So, they corrected MIP2E5D 0.065W uct standard.”

Matsushita Electric Group Environmental Sustainability Report 30 Environmental Sustainability

TOPICS

mental efforts to ensuring safety. The total num- Great Response and Brisk Sales Natural Fluid (HC) Refrigerator, ber of patents we’ve obtained in the process has The¥ natural fluid (HC) refrigerator, which won Grand Aspiring to Become the Global reached 87 (634 inventions), two to three times Prize of the Nikkei BP Technology Awards for its Standard the number we would usually obtain for the devel- environmentally friendly features, is receiving much opment of ordinary products.” Matsushita’s engi- attention in various quarters. However, if we pass In past years we have used a non-ozone-deplet- neers have devised a variety of means, such as the cost of making products environmentally friendly ing CFC substitute (HFC-134a) as a refrigerant for using a double-cylinder glass radiant heater for on to customers, the products won’t come into wide- refrigerators. The substance, however, has a glo- defrosting Ðan absolute necessity for a country spread use. So, we seek to produce innovative bal warming potential of as high as 1,300. At the with high humidity like JapanÐ and holding the products that offer the same functions as those of Kyoto Conference on Climate Change held in surface temperature at 340 , which is lower than conventional models, yet at a reasonable price. Ish- 1997, this substance was designated as one of the ignition point of isobutane (460 ). They have io says, “From the moment you make a purchase, the greenhouse gases and a reduction target was also reduced the number of tube joints to prevent you will start enjoying the benefits of quieter opera- set. Accordingly, we pursued development of refrigerant leakage. To ensure safety at the time tion and greater energy-saving capability compared cooling technology that utilizes isobutane, and re- of product disposal, a collection channel of used with conventional models. Your children and grand- frigerators with this new refrigerant went on sale products is established. children will also benefit from its environmentally on February 1, 2002. sound features. So, this is the product we’d really Environmental Loads of Refrigerants like you to choose. We also expect that there are 1994 2002 Nikkei BP great opportunities for its components and materials CFCs *1 Technology Award Refrigerant CFC substitute Isobutane businesses to grow, by eventually making all prod- (CFC-12) (HFC-134a) (HC-600a) Grand ucts natural fluid and establishing the new technolo- Prize Global warming potential 8,500 1,300 3 Ð 5 gy as the global standard.” Ozone depletion potential 1.0 0 0 *1 In Japan, in compliance with the Home Appliance URL Natural fluid (HC) refrigerator Recycling Law, we collect the CFC substitute used (Japanese only) as a refrigerant, to help abate global warming. http://www.national.co.jp/nonflon/ Natural fluid (HC) refrigerator NR-C32EP Major Technologies for HC Refrigerant A Variety of Means to Exploit ¥Reduction of the amount of sealed-in refrigerant by Haruyuki Ishio ¥ the Refrigerant Isobutane accumulator miniaturization (130 g 50 g) Refrigeration Research Laboratory ¥Development of a double-cylinder glass radiant Matsushita Refrigeration Company Isobutane, a refrigerant we have adopted, is high- heater for defrosting (Surface temperature of the glass tube: 650 340 ) “Drawing on massive amounts ly energy efficient yet inexpensive. Haruyuki Ishio ¥Increasing the efficiency of the compressor of background data collected of Matsushita Refrigeration Company says, “It is ¥Reduction in the number of welding points on the from various experiments, we an excellent refrigerant. In fact, it has enabled qui- evaporator tubes (14 4) focused on providing the highest level of safty. Our aim is to eter operation, while saving 5% more energy than * In addition to the elimination of CFCs, we have make the natural fluid (HC) conventional models. But there was one draw- also achieved a drastic reduction in the use of lead and PCBs, substances with high environ- refrigerator the global stan- back: it’s flammable. So, we directed our develop- mental load. dard.”

crux of the problem was standby power consump- The company will begin use of Mobile Phones in Europe tion when the battery charger is in use. According- lead-free solder with the FY 2002 ly, they worked on product design, focusing on im- model, GD67. It is also making efforts to replace brominated and Matsushita Mobile Communication Development of proving charging efficiency, and was subsequently chlorinated flame retardants with Europe Ltd. (MMCDE), a subsidiary of Matsushita able to attain the 2005 target established for the environmentally friendly substitutes. Communication Industrial Co., Ltd. (MCI), designs European external power efficiency standard two and develops mobile phones primarily for Europe- years earlier than originally planned. Furthermore, the energy use index of the FY 2001 model has an markets. The company is working to upgrade Mobil phones GD75 the phones’ basic performance as well as their en- been dramatically improved by as much as 3.5 vironmental performance while minimizing cost. times that of the FY 1998 model. ¥Thorough Implementation of the ¥Steady Efforts for Improvement Matsushita Product Assessment MMCDE is striving to minimize the number of com- Gareth Rice MCI makes extensive use of the Matsushita Prod- ponents used in its mobile phones in order to re- Matsushita Mobile uct Assessment Version 5 Ð a tool designed to as- duce environmental loads exerted by its compo- Communication Development of Europe Ltd. sist manufacturing of highly recyclable productsÐ nent manufacturing operations, identified as a “We consider environmental to evaluate environmental impact from the product problem area in product assessment. It is also conservation as one of our design stage onward. As a result of the assess- working to improve resource use efficiency through most important tasks. Al- ment, energy load during product use and produc- the reduction of the size and weight of its phones. though there is more to be done, this first step lays a sol- tion of components were identified as the areas Weight of the FY 2001 model (GD75) has been id foundation for the manufac- that needed to be addressed. A further study on reduced to 82 g, which is about 53% lighter than turing of clean and environ- the energy conservation of products found that the the FY 1998 model’s (G450) 170 g. mentally friendly products.”

31 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability Environmental Sustainability Shift to Green Distribution

Domestic CO2 Emissions by Mode of parts of the nation, we rely on railroads. Distribution, which involves delivering Transportation (component ratio) During FY 2001, the total number of JR

manufactured products to consumers, containers used by the Matsushita Group •

Air 2% Shift to Green Distribution/ is an important part of business activi- Marine 3% Rail 1% reached 8,333 (on a 5-ton container basis), ties. Meanwhile, increases in the amount representing an emission reduction of

of CO2, NOx (nitrogen oxides) and sus- 4,107 t-CO2 when compared with equiva- pended particulate matters emitted pri- lent truck transportation. marily from automobiles have sparked 84,000 t -CO2 concerns about their adverse effects on Reduction in CO2 Emissions Achieved Truck

by the Modal Shift TOPICS people’s health and the environment. 94% (Number of containers) (t-CO2) Exercising environmental consideration Number of JR containers used on the distribution front is thus growing CO2 reduction 3,996 4,107 in importance. In its Environmental Vi- sion, Matsushita declares its commit- A Drive toward a Modal ment to working toward green distribu- Shift tion, and has implemented measures 2,143 that center on “promotion of modal For transportation over long distances ex- 8,109 8,333 shift” and “improvement of transporta- ceeding 500 km, we are promoting utilization of railroads rather than trucks (modal 855 tion efficiency.” We will aggressively 4,348 shift), which contributes to the reduction of seek to reduce environmental loads in 1,735 CO2 and NOx emissions. For example, distribution activities, putting 00 some of our electric home appliances, such 9899 00 01 “promotion of introduction of low-emis- (Notes) as TVs, are brought in from overseas ¥The number of JR containers is calculated on a 5-ton container sion vehicles” and “promotion of eco- basis. plants. When we move them over long dis- ¥Part of the calculated reduction in CO2 emissions is an estimate. driving,” in addition to the two focus ¥As a result of a reexamination conducted to improve accuracy, tances from the port of arrival to various some of the data up to last year have been revised. areas mentioned above.

TOPICS Environmental Loads of Distribution Activities Improvement of Transportation Efficiency through the Vehicle Since FY 2001, we have been tracking CO2 Operation Control System emissions and transportation amount incur- red in the shipment of products from manu- Kyushu Matsushita Logistics (ML) ¥ Company facturing sites to retailers. In FY 2001, total Kyushu ML Company of Matsushita Logistics transportation amount to 3,389 million t- Co.,Ltd. plays an important role in delivery of km, while CO2 emissions totaled 407,000 t- Matsushita products to retailers throughout the CO2. On the domestic transportation front, Kyushu area. The company provides sophisti-

CO2 emissions deriving from truck trans- cated regional delivery service through its two Kyushu ML Company’s delivery vehicles and on-board portation accounted for 94% of total emis- transportation hubs and 14 transshipping system sions. Thus, improving the transportation sites. Working toward the objective of “ensuring on-time delivery to retailers and im- both the environment and management of the efficiency of trucks themselves and promo- proving transport efficiency to contribute to company,” Kyushu ML Company was quick to tion of modal shift constitute important introduce a vehicle operation control system in areas of challenge. Improvement of Delivery Efficiency by Kyushu ML Company FY 1999. Load-carrying efficiency (%) The system has enabled the company to ac- Transportation Amount and CO2 curately grasp and log information about the Emissions (rough estimates) 65 65 operating status of the delivery vehicles, such Transported: 3,389 million t-km as delivery location arrival and departure Japan Exported from Japan; Imported by Japan times, travel distances and changes in vehicle 48 26% 74% speeds. Based on these data, the company has optimized delivery routes and eliminated

CO2 emissions: 407,000 t-CO2 redundant vehicles, thereby significantly raising load-carrying efficiency. Japan Exported from Japan; Imported by Japan 21% 79% Matsushita Logistics will pursue gradual introduction of the system in other regions as 0 (Notes) 99 00 01 well. ¥Transportation distance is partly estimated. ¥Exports and imports include products and materials.

Matsushita Electric Group Environmental Sustainability Report 32 Environmental Sustainability Recycling of End-of-life Products

Recycling-Oriented Social Systems Efforts to recycle end-of-life prod- From a social system of Mass ucts are being made worldwide. We Deliver production Mass consumption Mass disposal, to a recycling- have developed a system that al- orientated system of Produce lows them to be recycled as resour- Use Produce Use Return Utilize ces, and in Japan we put the system into operation in April 2001. Recycle Our endeavor centers on both the TVs Refrigerators recycling of end-of-life products Materials Materials and development of highly recycla- Washing machines Air conditioners ble products. Return Utilize

Materials

Recycling Fees Matsushita Home Appliances Recycling System Matsushita’s Home Appliance Air conditioner 3,500yen TV 2,700yen Recycling System Origin of discharge (Consumers)

In order to realize the systems aimed at by Refrigerator Washing machine Home Appliance Recycling Law and enlist 4,600yen 2,400yen Retailers Municipalities the cooperation of society and our business partners, it is vital that we minimize recy- Designated collection points (190) cling costs. We have created an efficient Notes: Consumers pay the total of 1. fees paid to a company decentralized processing system that makes or municipalities for collecting and transporting the end-of-life product, and 2. fees paid to a manufacturer Recycling centers use of existing infrastructure and works in for recycling. (27,including Matsushita Eco Technology Center) concert with carriers and recycling business operators. At present, we are focusing on Matsushita’s home appliance recycling net- Subsidiary company (Ecology Net Co., Ltd.) the collection and recycling of TVs, air work, we undertake total operations related conditioners, refrigerators and washing ma- to recycling of home appliances on their Matsushita AB CD chinesÐthe four products designated by the behalf, facilitating the operation of a na- Law. Under a commission from the manu- tionwide network of 27 recycling centers facturers (19 companies) who participate in and 190 designated collection points. DATA Recycling of End-of-life Products p.59

Home Appliance Recycling Law

In Japan, the Home Appliance Recycling Law ing machines and refrigerators together account Four Target products and came into force on April 1, 2001. Obliging manu- for about 80% of the weight of all electric home Their Recycling Rates facturers and importers to undertake product re- appliances disposed of by households. Because cycling, the law was a landmark move that had a home appliances contain many useful resources Air conditioners TVs worldwide impact. The law’s main features in- such as metals and glass, the recycling law 60% or higher 55% or higher clude: (1) placing an obligation on businesses to mandates effective recycling and reuse of re- reduce costs through market competition, (2) sources recovered from used home appliances. Refrigerators Washing machines placing an obligation on retailers to collect and 50% or higher 50% or higher deliver home appliances for recycling, and (3) assigning recycling expenses to those who dis- Recycling rate = (Reused component and material mass / pose of appliances. Air conditioners, TVs, wash- Product mass) x 100 Responsibility based on the law

Origin of discharge Retailers Manufactures and importers

When disposing of the appli- Retailers have an obligation to col- Manufactures and importers are obliged to col- ance, users take responsibility lect end-of-life products for these lect and recycle their own products. They must for the recycling cost, including four specific kinds of products sold achieve the basic recycling rate set for each of collection and transportation to consumers. products. Further, they are obliged to recover costs. and reuse or decompose refrigerant form air conditioners and refrigerators.

33 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability

Examples of Using Scrapped Materials in New Products Matsushita Eco Technology

Center (METEC) • Recycling of End-of-life Products

In 2000 we established the Matsushita Eco Technology Center in the science park in Yashiro-cho, Hyogo Prefecture, which went into operation in April 2001 as an R&D and testing center of home appliance recycling. Besides recycling the four legally designated home appliances collected from the six prefectures of the Kinki district, the Center is engaged not only in researching ways to use scrapped materials in new products but also in development of TVs Washing machines Glass recovered from cathode ray tubes (CRTs) is Recycled plastics are used to make the base frame highly recyclable products, following a used again as a material for new CRT glass. of washing machines. concept of “making new products from end-of-life products.” Made open to the public, the Center received some 9,000 visitors during FY 2001.

METEC 27 recycling centers throughout the country (as of March 31, 2002) Air conditioners Refrigerators Recovered copper and aluminum are used to make We are currently researching the use of recycled URL Matsushita Eco Technology heat exchangers of indoor and outdoor units. plastics for the base plate of refrigerators and cast Center (Japanese only) Cast iron is recycled to make components of a com- iron for components of compressors. http://www.matsushita.co.jp pressor for the outdoor unit. /environment/metec/

Recycling Technologies for Four Electric Home Appliances Recycling efforts Major steps of dismantling and separation into parts Proprietary technology Major resources recovered*2

TVs Recycling of glass The CRT of a TV set consists of two kinds of glass: the recovered from a CRT, panel glass (front) and funnel glass (rear). To recover high- which accounts for purity glass, we have developed Matsushita’s own CRT about 57%*1 of the glass crushers and washers, and are pushing forward with Panel Funnel Panel Funnel Iron Copper weight of a TV their introduction at recycling plants throughout the nation. glass glass glass glass

Refrigerators Recycling of metals After the refrigerant CFCs are recovered, the compressor unit is separated and plastics into parts. Reuse of key product components is being explored in our research Recovery of CFCs and study. We began recovering CFCs from insulation foam voluntarily. We are now working on reusing urethane foam insulation. Iron Mixed Plastic Plastic Plastic metals (Polypropylene)(Polystyrene) (Polyurethane) Washing PP (polypropylene), which makes up a majority of Flow of plastic separation Separation of machines the plastics used in washing machines, is recov- polypropylene (PP) ered with a great degree of purity through the cen- from other plastics for trifugal force separation technology developed by reuse Matsushita, a technique that separates plastics Centrifugal Float and sink Iron Mixed Plastic according to differences of their specific gravity. gravity separation gravity separation metals (Polypropylene)

Air Metals with high We have developed a system that recovers metals such as copper and alu- conditioners component ratio are minum in high degrees of purity from heat exchangers through the vibration recovered with a high gravity separation method. Another development is the technology of crush- degree of purity. ing sturdy compressors under room temperature, which allows us to recover Iron Cast iron Copper Aluminum Recovery of CFCs cast iron material.

*1 1982 models; based on data compiled by the Association for Electric Home Appliances *2 Recovered resources are mixed with virgin materials and reused as materials for new products.

Matsushita Electric Group Environmental Sustainability Report 34 Environmental Sustainability Environmental Risk Management

Restorative Activities at Operation gas, soil and groundwater. Operation sites that Corporate business activities entail a ¥ Sites that Failed to Meet the Standards were found to exceed the standards are making variety of potential environmental In June 1998, based on voluntary notification cleaning-up and restoration efforts, acting on con- risks. We regard environmental con- from Matsushita, local governments announced sent from local government agencies and employ- tamination caused by harmful chemical incidents of groundwater contamination caused by ing such methods as groundwater pumping, va- substances as the most serious of all. VOCs that had occurred at 20 of Matsushita’s op- cuum gas extraction, soil excavation, and iron This is why we conduct comprehensive eration sites in Japan. We immediately established powder mixing. In the case of groundwater pollu- management of chemical substances the “Team for the Accelerated Implementation of tion, we have taken countermeasures with the to evaluate the risk of each of the Groundwater Pollution Countermeasures” and highest priority placed on preventing substances chemicals that require management, conducted thorough investigations and speedy im- from leaking from the site premises. We therefore and, based on the evaluation results, plementation of countermeasures. In compliance bored monitoring wells on the site boundaries. We take steps to eliminate or reduce the with the Operational Criteria for Guidelines for will strive to accelerate the restoration work by use of high-risk chemicals. For those Surveys and Measures for Soil and Groundwater adopting cutting-edge clean-up technologies, chemicals that are difficult to replace Pollution (published in January 1999 by the En- while continuing to monitor groundwater even af- with substitute materials or render vironment Agency), we examined data, surface ter the restoration work is completed.

harmless at the present time, we exer- Iron Powder Mixing Method 4 Back filling cise preventive control against accidental environmental pollution during 1 Excavation 2 Mixing with 3 Observation iron powder normal operations as well as in emer- and verification gencies, in accordance with the Envir- onment Pollution Prevention and Man- Cleaned up soil agement Manual, which represents our cumulative knowledge in this area. Contaminated soil

Conservation of Soil and Groundwater

Elimination of the Use of Volatile ¥ Organic Compounds

Because of their outstanding properties as deter- 1 Soil is excavated with 2 Iron powder is mixed 3 In the presence of represen- 4 Excavated soil is put planks inserted. with excavated soil. tatives from local govern- back. gents, VOCs (volatile organic compounds) have ment, verification is made been our choice to clean components. With the that the standards are met. aim of lessening environmental risks however, we Countermeasures to Offset the Environmental Impact of VOCs set to work toward the prevention of contamina- Site Status Restoration method*1 tion and reduction in usage of these compounds. In Hokkaido Matsushita Electric Co., Ltd. Clean-up underway A, B 2 1989, we decided that we must not allow the com- Arai Site, Semiconductor Company Restored to acceptable standards* Wakasa Matsushita Electric Co., Ltd. Restored to acceptable standards*2 pounds’ infiltration into groundwater and in 1991, Takefu Matsushita Electric Co., Ltd. Clean-up underway A, B prepared the Manual for Preventing Contamination Kusatsu Site, Air-Conditioner Company Clean-up underway A, B of Soil and Groundwater. Using the Manual for Kameoka Site, Toyo Dempa Co. Clean-up underway A, B guidance, we conducted contamination surveys Takatsuki Site, Matsushita Electronic Instruments Corp. Clean-up underway A, B, C and implemented restorative measures. Moriguchi Site, Matsushita Electronic Component Co., Ltd. Clean-up underway A, E

Use of VOCs as a Detergent Moriguchi Site, Matsushita Battery Industrial Co., Ltd. Clean-up underway A, B (tons) Nara Site, Home Appliance & Housing Electronics Company Clean-up underway A, B 3,769 3,605 Tsuyama Matsushita Electric Co., Ltd. Clean-up underway A, B, E 3,416 Kagawa Matsushita Kotobuki Electronics Industries, Ltd., Clean-up underway A, B Wakimachi Site, Matsushita Kotobuki Electronics Industries, Ltd. Clean-up underway A, B, C, D 2,815 Matsuyama Site, Matsushita Kotobuki Electronics Industries, Ltd. Restored to acceptable standards*2 2,450 Oosu Site, Matsushita Kotobuki Electronics Industries, Ltd. Clean-up underway A, B Oita Site, Kyushu Matsushita Electric Co., Ltd., Clean-up underway A, B Kikusui Site, Kyushu Matsushita Electric Co., Ltd. Restored to acceptable standards*3 Taimei Site, Kyushu Matsushita Electric Co., Ltd. Restored to acceptable standards*3 Total elimination Miyazaki Matsushita Electric Co., Ltd. Clean-up underway A of use Kagoshima Matsushita Electric Co., Ltd. Clean-up underway A, B 249 219 *1 Major restoration methods 0 A: Groundwater pumping method B: Vacuum gas extraction method C: Iron powder mixing method 0 89 90 91 92 93 94 95 96 Ð 01 D: Groundwater pumping method using a horizontal well E: Soil excavation method (Japan) *2 Continue monitoring *3 After verification by the local government, switch to monitoring.

35 Matsushita Electric Group Environmental Sustainability Report Environmental Sustainability

¥Preventive Measures Storage and Treatment of Preventing pollution is a vital aspect of risk Plant has made a variety of improvements Electronic Devices that management. To ensure pollution preven- to its buildings and facilities. • Contain PCBs Environmental Risk Management tion, Kyushu Matsushita Electric Co.’s Oita In the past, PCBs (polychlorinated biphe- Examples of Pollution Prevention Measures nyl) were used as insulating oil in electric 4 Recovery equipment is installed for flue gas. capacitors, transformers and ballasts for 1 Moving the plating operation upstairs fluorescent lights. Because this substance 6 A spill prevention dike has been does not decompose easily and the process built around the building. to render it harmless is still under development, we are currently storing used elec- 7 tronic devices containing PCBs, exercising Road the utmost care that no PCBs leak or scatter Monitoring well in the air. While we continue to store PCB- 3 8 2 The floor surface on the second floor has containing devices, we will immediately been treated to make it chemical resistant. 5 formulate a plan for rendering this sub- Building for surface treatment Building for wastewater treatment stance harmless and strive for its imple- 3 Plumbing inside a pit 7 Installation of a spill prevention dike mentation. Underground plumbing is suspended inside a pit, the around chemical storage tanks surface of which is treated with chemical resistant ma- In the event of a chemical spill while the tank is being terial. In case of replenished, the pipe damage, dike serves as a this structure wall to contain prevents the the spilled liq- Reduction in Emissions of leaked liquids uids, and pre- Hazardous Air Pollutants from infiltrating venting them the soil. from infiltrating the soil. Following the guidelines issued by the Ministry of Economy, Trade and Industry and the Voluntary Management Plan for 5 Installation of a well for monitoring 8 Installation of emergency tanks against leakage from the underground tank accidental leakage from chemical storage Hazardous Air Pollutants prepared by the tanks electric and electronics industries, we collect data on the use pattern and emissions of hazardous air pollutants, with the objective of restricting emissions. In FY 1999, we completely eliminated the use of chlorinated organic solvents (a solvent used for coating) in Japan. As a result, hazardous air pollutants emitted in FY 2001 decreased Environment Pollution Prevention sharply to 1.0% of the FY 1996 level. We ¥ and Management Manual Prevention of Dioxin Pollution will seek to gradually reduce the amounts We have prepared a manual that stresses (Discontinuation of Incineration) of hazardous air pollutants currently used the importance and key points of preven- In February 1998, Matsushita adopted a or emitted by our R&D divisions. tive measures and provides emergency pro- policy of totally eliminating its incinera- cedures, highlighted by descriptions of ac- tors. Since then, we have been working to- Emissions of Hazardous Air Pollutants cidents that have occurred or been preven- (compared to FY 1996 level) ward this goal, in conjunction with the im- ted in the past. We are making sure the (%) 100.0 plementation of measures aimed at zero 95.2 100 contents are communicated to and under- emission, such as recycling and thorough stood by employees at all operation sites. 73.8 separation of waste. As of the end of FY 2001, 77 incinerators out of the 79*4 that 58.3 were in use up until 1998 have been de- commissioned. As for the remaining two incinerators, we have reduced the risk of

pollution by making certain that they meet 2.1 1.0 0 the 2002 standards set by the Law Con- 96 97 98 99 00 01 (Japan) cerning Special Measures against Dioxins, and utilizing exhaust heat from them as well.

Environment Pollution Prevention and Management *4 From FY 2001 on, the number includes incinera- Manual distributed to all operation sites tors owned by Victor Co. of Japan, Ltd.

Matsushita Electric Group Environmental Sustainability Report 36 Economic Performance Research and Development

of these two emerging fields and system Structure According to the Strategic Prod- Matsushita’s R&D divisions con- solutions for realizing a new living envir- uct Groups, focusing on the development sist of about 36,000 engineers re- onment, we promote the research and de- of strategic products and core technology, sponsible for a wide range of ac- velopment of advanced technology, in- thereby accelerating and strengthening tivities, from advanced research cluding nano-technology for producing priority themes through the efficient use to product design. About 540 bil- new materials and devices. of Matsushita’s R&D resources. lion yen is spent annually on re- We have also established the R&D search and development of new R&D Structure According to the Strategic Product Groups products and their elemental Digital TVs Fuel cell cogeneration Strategic semiconductors technology, and on creation of ¥ ¥systems ¥ Home AVC servers Professional AV systems system solutions based on them. ¥ Home utility infrastructure ¥ To deal with environmental is- Mobile AVC ¥ AV surveillance systems ¥ Mobile components and ¥ Mobile communications Thermal Affordance sues, the Living Environment De- ¥devices ¥ ¥Systems Automotive electronics velopment Center and Environ- Circuit devices ¥ Fluid-dynamic bearing Home gateway ¥ mental Production Engineering ¥ Rechargeable batteries ¥motors Laboratory have been estab- Color printing ¥ ¥ Display devices lished for the research and de- Home appliances ¥ ¥ Lighting devices velopment of Group-wide tech- networking ¥ nology in the fields of appliances and the environment. Development of the SiC Power R&D in the Environmental ¥ Device Field One of the nanotechnology (one nanome- ter = one millionth of a millimeter) devel- Material Recycling Technology for opment themes we are promoting is the Growth Strategy for R&D ¥ Flame Retardant Resin SiC power device. This power device Resin is one the more difficult materials (MOS-FET) employs technology for fab- We believe that the major technological to recycle from end-of-life products be- ricating the world’s first nano-sized trends in the early 21st century will be the cause of the use of diverse additives. layered structure (delta-dope structure), growth of technologies supporting coexis- Flame retardants, in particular, are addi- which was developed by Matsushita as tence with the environment and digital tives indispensable for ensuring safety the channel structure on the compound- networks, and these will lead to growth in when electrical appliances catch fire, but semiconductor SiC, enabling the control the fields of “networked home applian- resins containing certain types of flame of large amounts of current. Power devices” and “environmental and health-rela- retardants are known to cause such prob- ces are generally used in inverter circuits ted appliances.” Networked home appli- lems as emission of dioxin when inciner- for power on/off switches in home electric ances are not confined to conventional inated. Thus, we have been conducting appliances such as air conditioners and re- door use; our business opportunities are R&D of recycling technology for safely frigerators, and most of the power con- being expanded to networked outdoor separating flame retardants from used res- sumed by these products pass through the (mobile) products and vehicles. Environ- ins. This technology employs a solvent power device. While 5-15% of power is mental and health-related appliances are that dissolves only flame retardants from lost as heat with conventional silicon centered on the household fuel cell coge- resins, and the solvent can be repeatedly power devices, SiC power devices cut neration system and other systems of ap- used. Properly disposing of separated power loss by half (2-7%). Use of this pliances and environmental equipment. flame retardants makes it possible to build product in inverter circuits is expected to With our emphasis on strategic devices material recycling systems with a mini- contribute to substantial energy savings in and semiconductors that serve as the basis mum environmental load. home and office equipment.

Technological Trends in the Early 21st Century Flame Retardant Separation Process Nano-sized Delta-dope-layered 1950 1970 1990 2010 2030 Solid and Structure Mixing liquid separation Resin containing SiO2 insulator Defect region Technology for coexistence with Resin flame retardants Solvent Natural Efficient use of the global environment Source Gate electrode Drain resources resources electrode electrode Nano-device

Nano-technology New material Micro- technology technology Flame Genetic engineering retardants

Delta-doped-layer Digital Analog networks Solvent recycling Channel Analog/digital Digital Network SiC humanoid

37 Matsushita Electric Group Environmental Sustainability Report Economic Performance Economic Performance Environmental Solution Business

Home Life for a Sustainable Society

In our Environmental Vision, we •

Wind power R&D/Environmental Solution Business have set forth Environment and En- generation system ergy Business Initiatives. Taking advantage of our experience in Solar power generation system manufacturing technology, and with Hybrid lighting newly developed environmental system using wind Household fuel OFF and solar power technology, we hope to contribute cell cogeneration system to building a sustainable society Electricity through our business. The main- ON Inverter stay of these initiatives is a busi- Echonet Home Network ness dedicated to energy conserva- Gas (hydrogen supply)

tion and creation to prevent global Fuel cells warming. Various projects are be- Electricity Heat storage tank Hot water ing promoted as life at home, and Gas transportation and urban planning. ECO-MATE Controller In FY 2001, we have successively launched a series of projects aimed Household Energy Management System Fuel Cell Cogeneration System at effective use of resources based ¥ Echonet Home Network Fuel¥ cells generate electricity through reac- on product recycling. Echonet is a standard for the next-generation of hydrogen and oxygen. Emitting no

tion home network system that realizes CO2 or toxic substances, they are attracting home energy-savings and home healthcare attention as decentralized clean generators. needed in the aging society. Matsushita In- Among the four main types of fuel cells, dustrial Equipment Co., Ltd. is undertak- Matsushita is undertaking the research and Energy Conservation ing the standardization and technology de- development of solid polymer electrolyte and Creation Business velopment of this system. fuel cells (PEFCs), which operate even be- Specific tasks include development of a low 100 and are suitable for home use ¥Wind Power Generation System communication system using existing that requires frequent power on/off opera- Wind power generation is attracting atten- home electrical wiring, eliminating the tions. A cogeneration system makes effec- tion as clean energy. Matsushita Seiko Co., need for wiring, and commercialization of tive use of heat, which is generated with Ltd. has been developing a Savonius-type related equipment, such as the communica- electricity, for supplying hot water. With blade, which rotates at a low wind velocity tion module and controller. Network appli- this system, energy efficiency can be dou- of 2.5 m/s, enabling power generation re- ances will also be developed. bled over that of thermal power generation, gardless of wind direction. Its low-noise In FY 2001, we participated in the Home helping reduce CO2 emission. In FY 2001, and safety guard features make it ideal for Energy Management System Project con- the fuel cell cogeneration system was dem- installation in urban areas. In FY 2001, ducted by the New Energy and Industrial onstrated at the Environmental Forum, “Kazekamome,” an Technology Development Organization showing the many visitors how it supplied independent power (NEDO), and jointly established a new power and hot water. We are aiming at the lighting system that company named EL-Quest Co., Inc. with full-scale marketing of the system in FY can be used as a The Kansai Electric Power Co., Inc. and 2004 by further improving its durability streetlight, operated Hitachi, Ltd. A three-year verification test and reducing costs. by a hybrid power has been initiated to introduce the Echonet generation system home network into households. using both wind and solar power, was commercialized.

“Kazekamome,” the name and shape inspires an image of a seagull with spread wings. ECO-MATE Controller displays the result of energy savings in the amount of money saved. Wind power generation system URL (Japanese only) URL Echonet Consortium http://www.msc.panasonic.co.jp http://www.echonet.gr.jp/ /html/20/20_index.htm english/index.htm Household Fuel Cell Cogeneration Systems

Matsushita Electric Group Environmental Sustainability Report 38 Economic Performance

Transportation and Urban Planning for a Sustainable Society Electric Hybrid Bicycles Bicycles¥ are regaining popularity as a noise and pollution-free means of transportation Intelligent Transport System(ITS) and leisure activity. Electric bicycles, in particular, are attracting attention for use Nickel metal-hydride rechargeable batteries on slopes and by the elderly. National Bi- for Eco-cars cycle Industrial Co., Ltd. developed an electric hybrid bicycle in FY 1996. Now the company promotes businesses that are Energy management service business linked to community building, such as the Eco-Cycle System, in which electric bicycles are shared by commuters, who currently ride individually owned bicycles to work Electric hybrid bicycles and school.

Energy Management Service Nickel Metal-Hydride (NiMH) ¥ Business ¥ Rechargeable Batteries In order to reduce energy consumption and for Eco-Cars curtail expenditure on energy in plants and Electric vehicles without exhaust gas, and Electric hybrid bicycles for newspaper delivery adopted by Kochi Shimbun commercial facilities, it is necessary to hybrid vehicles powered by combining an monitor energy use numerically. In re- electric motor and a combustion engine to TOPICS sponse to such needs, Matsushita Power improve fuel efficiency and realize low Distribution Systems Co., Ltd. is providing emissions, are attracting attention as effec- an energy management service (EMS). tive means for solving global warming, air Eco-Bicycles, This service collects data on energy use at pollution, depletion of petroleum resources, Not Ego-Bicycles plants and shops using various measuring and other global environmental issues. In 1996, Toyota Motor Corporation, Matsush- Bicycles are also linked with such social tools combined into a monitoring system. problems as theft and illegal parking. Na- ita Electric Industrial Co., Ltd., and Mat- Measuring tools include power-monitoring tional Bicycle Industrial Co., Ltd. decided it units for Cubicle type power distribution sushita Battery Industrial Co., Ltd. jointly was their mission as a bicycle manufactur- equipment, and multi-circuit type electric established Panasonic EV Energy Co., Ltd. er to solve these problems. First, it sought power monitors for high-energy consump- for the development, manufacturing, and to create a bicycle that cannot be stolen, or tion facilities such as air conditioners. Data marketing of nickel metal-hydride (NiMH) if stolen, that will not move, and developed a new system called Gacharinko, which is transmitted to our data management cen- rechargeable batteries and battery-related control equipment for PEVs and HEVs. Ni- double locks the saddle and stand. In addi- ter via public telephone lines, and custom- tion to achieving a theft prevention rate of MH rechargeable batteries for HEVs were ers can readily check details on their ener- 99.7%, it introduced the company’s unique gy use from the EMS website. Further- adopted in the world’s first HEV PRIUS in Two-Year Theft Compensation System. Bi- more, as part of our consulting service, 1997, and were additionally used in the IN- cycles tend to be illegally abandoned and collected data is analyzed to determine the SIGHT in 1999, and the ESTIMA HY- end up as bulky garbage when they be- optimum control system required, based on BRID and CIVIC Hybrid in 2001. come rusty. With hope that users ride their bicycles with affection as long as possible, the customer’s consumption trends. Panasonic EV Energy Co., Ltd. URL http://www.peve.panasonic.co.jp/ Hearth standards were established. Mate- e_top.html rials were switched from iron to stainless steel and aluminum to prevent rust, and Transmission of Electricity Management Intelligent Transport System (ITS) PVC was eliminated from saddles and Data via Internet Efficient¥ transportation systems make it grips to prevent dioxin emission upon dis- Customers possible to contribute to the environment posal. Hoping to raise environmental con- by alleviating traffic congestion, reducing sciousness among the young, bicycles with the Hearth specifications are promo- EMS-compatible CO2 emissions, and improving fuel effi- Cubicle ted particularly as school commuter bicy- ciency. Using our information and commu- cles. nication technology, we are promoting the Power consumption data can be downloaded from the web- research and development of the Intelligent site at any time. Transport System (ITS), including the Electronic Toll Collection (ETC) system. Website exclusively Data Hearth, coined from heart and earth, embodies for Users under management Projects for intelligent navigation and our wishes for consideration of the environment EMS contract center and cherishing valuable resources through bicy- emergency reporting systems are also being cles. Matsushita implemented.

39 Matsushita Electric Group Environmental Sustainability Report Economic Performance

have developed the Parts Separator System. ¥Solder Recycler Using Sesame Businesses Contributing to This system features a rotary shock separa- Seeds • Environmental Solution Business/ Effective Use of Resources tor for recovering high-purity metals, a A unique solder recycler using sesame maintenance-free simple design, minimum seeds has been developed. Conventionally, ¥Magnesium Alloy Components energy required for recycling, and low cost. solder dross generated in the process of sol- Magnesium is lightweight, strong, highly While larger systems require tens and hun- dering has been disposed of as industrial recyclable, and found in abundance on the dreds of million yen in investment costs, waste. However, it was discovered that by earth. Because of these environment- this system has been delivered to recycling sprinkling sesame seeds and stirring, reus- friendly features, since 1998, we have operators and nonferrous refineries at ap- able solder could be separated from pow- adopted magnesium as a new metal materi- proximately 20 million yen. dered metal oxides, resulting in a practical TOPICS al for replacing plastic materials used in method of solder recy- TVs, portable MD players, and other prod- cling. As lead-free ucts. In August 2001, Matsushita Fujisawa solder is known to pro- Manufacturing Center began full-scale produce more dross com- duction of magnesium alloy components. pared to conventional Currently, the use of magnesium has ex- solder, this new recy- panded to portable DVD players, digital Parts Separator System cler plays a great role still cameras, mobile phones, and notebook in soldering. Solder recycler computers. An integrated manufacturing TOPICS system, from R&D to mass production of various components, sion separator unaffected by the material sur- has been implemented High-precision Plastic face condition. As a result of achieving nearly to improve cost per- Separator, Pla-selector 100% accuracy, the percentage of recycled materials used in new components has been in- formance and product The main problem in the recycling of used TVs creased from the previous limit of 20% to 50%. competitiveness. is distinguishing and separating the plastic We will continue to aim at perfection to produce parts. Dark colors, flame retardants, paint, stain, Portable DVD new components from 100% recycled materials. players and other factors contribute to difficulty in separation. Hiroshi Iwamoto of AVC Development Total Reflection Method of Center, AVC Company was involved in the de- Spectroscopic Analysis velopment of this high-precision separator.

Presser

Magnesium alloy molding line Sample plastic Sample stage

MK-MWood, 100% Recycled Prism ¥ Synthetic Wood Infrared rays Matsushita Kotobuki Electronics Indus- tries, Ltd. has succeeded in the commer- Pla-selector Feedback from Recycling cialization of MK-MWood, synthetic wood Testing of small punched samples has advantages ¥ of compact size and quick identification and separa- Process to Design combining waste plastics from within and tion. To facilitate recycling, consideration in the prod- outside the company and waste wood from uct design stage is important. “After observing lumber mills. Wide-ranging businesses disassembly and crushing of end-of-life prod- Plastic Separation of TVs from materials to secondary processing are ¥ Presents the Greatest Difficulty ucts at the recycling plant and understanding what makes it difficult, I have passed on this being promoted by fully utilizing the com- While a small amount of additives improve the lesson to the engineers in product design.” pany’s technology for woodworking, tool- properties and functions of plastics, it makes Plastics collected using this recycler began to ing, and molding. their recycling difficult. Even a minute amount of be used in TVs sold in December of 2001. We an unexpected ingredient drastically reduces also plan to market the system starting in FY the strength. When recycling, collected parts 2002. must be separated at nearly 100% accuracy if they are to be used as recycled materials. Con- ventional separating methods were unsatisfac- Hiroshi Iwamoto Device Technology Unit tory due to inaccuracy caused by surface paint, AVC Development Center, With an appearance resembling natural wood, MK- stains, and scratches. By adopting the total re- AVC Company MWood is also weather-resistant and recyclable. flection method, which presses the sample We are discussing the ever in- against a prism so that infrared rays are partially creasing importance of recy- Low-Cost, High-Precision cling-conscious design with passed through, it became possible to check ¥ Recycling System design engineers. the cross section as well, creating a high-preci- In response to demands for a low-cost recycling system for printed circuit boards, we

Matsushita Electric Group Environmental Sustainability Report 40 Social Responsibility Relationship between Our Business and the Society

Commitment to People through Business Activities

Corporate citizenship activities p.43

Environmental communication p.51

Relationship with employees p.47

Safety and health p.48

Relationship with customers p.49

Love the Earth Citizens’ Campaign p.45

A Business Ð a Public Entity Entrusted Three Aspects Ð Social, Commitment to People through ¥ by the Society ¥ Environmental, and Economic ¥ Business Activities A company is entrusted by the society with “People,” “materials” and “capital” In this Social Responsibility section, we valuable resources, such as people, entrusted by the society for our business introduce our beliefs and activities in materials, and capital, to carry out business activities are key elements in the “social,” relation to “people,” the key to our activities. Even if a company is privately “environmental” and “economic” aspects business operations. Matsushita’s owned, it must carry out its business of our activity in pursuit of sustainable employees place top priority on activities with the principle that “a business development. In the social aspect, we contributing to the society by making is a public entity entrusted by the society.” employ many “people” who are members every effort to provide valuable products Matsushita’s corporate philosophy is to aim of the society, provide them with the place and services. An important mission of our at the progress and development of society to work, and support their livelihood. In company is to improve the capacity of and the enhancement of quality of life the environmental aspect, we utilize many employees through job assignments, bring throughout the world through the “materials” to create a wide array of out the best potential of every employee, electronics business. We believe that only products and services, exerting a huge and provide the venue for them to use when a business properly carries out burden on the environment in the process. their abilities for the betterment of the activities that contribute to the development And finally in the economic aspect, we society. In addition to contributing to the of the society utilizing the resources efficiently utilize the “capital” invested by society as a corporate citizen, Matsushita entrusted by the society, can it be many people to make reasonable profits also seeks to raise the awareness of compensated in the form of profits as a and contribute our gains to better the life employees as global citizens so that they reward for its social contribution. of people through tax payments and the will actively shoulder responsibilities in Furthermore, part of these profits is distribution of dividends to shareholders. their homes and communities. returned to the society through taxation.

41 Matsushita Electric Group Environmental Sustainability Report Social Responsibility • Relationship between Our Business and the Society Relationship between Our Business and the Society

Acquiring the Values of a Global extremely important to heighten ¥ Citizen environmental awareness among citizens. This is the fifth year of the Love the Earth In this sense, citizens’ activities may be Citizens’ Campaign, an unusual name for the basis for all environmental activities. a corporate initiative. The initiative was That the employees of Matsushita are launched to encourage our employees to becoming aware of the necessary balance adopt environmentally conscious between the environment and economic lifestyles at home and in their activities and taking the lead in becoming communities as global citizens, to go citizens awakened to ecological thinking hand-in-hand with their activities at the holds equal or even more significance workplace. However, as the initiative’s than the environmental activities carried activities are closely related to the private out at the company. I believe that Atsushi Murayama Vice President lives of the employees, it can be said that acquiring the values of a global citizen is in Charge of Planning, Personnel, and General Affairs these activities meddle into private affairs, a prerequisite for facilitating proper Matsushita Electric Industrial Co., Ltd. making it very difficult for a company to business activities in a rapidly globalizing Chairman, Love the Earth Citizens’ promote them. By working closely with business environment. ( Campaign Promotion Committee ) the Workers Union and supported by employee’s voluntary activities, we are gradually expanding the scope of the New Corporate Culture for the campaign. ¥ Global Age The initiative originated in the close Today, the whole society is interconnected relationship of Matsushita’s business by networks, and the world has become activities with the society. Until today, we one. Business activities and and at low prices. This business model, have lived as we please and worked hard environmental issues are intertwined in a however, has become outdated. From now to better our lives. Tackling our single global marketplace. Traditional on, we must shift to new business areas environmental problems means that we personnel systems and organizational such as key device businesses, in which must sacrifice some materialistic comforts frameworks that have supported business imitation will not suffice, as well as the on which we have depended and start a development until now are reorganized services and business solution fields. The new culture of affluence built upon and the corporate culture is rapidly being new, emerging services will not take mankind’s coexistence with the global transformed. shape without employees who can see the environment. At Matsushita, as we make The new working style at Matsushita needs from the customers’ perspective and our living by using large amounts of will be called “Work & Life Cycle,” a who can share the consumers’ feelings. energy and resources to manufacture and reform led by the management to change market industrial goods, it is only natural the corporate culture. It proposes to create A Business Exists for the Society that we try doubly hard to minimize any a good cycle between work and private ¥No matter how the environment faced by damage that our business activities might life by encouraging an employee to not Matsushita changes and how the values of bring to the global environment. Realizing spend so much time on work but to the people who work here change, one the serious responsibility on our part, and cultivate a rich private life as an thing that remains constant is our with the hope to be a leader in this individual building strong ties with other corporate philosophy that Matsushita environmental effort, we mobilize the members of the society. exists for its customers. We believe that whole company to promote the initiatives The immense change in the business our true contribution to the society can be throughout our business activities. model is the background to our reform. made through fulfilling our responsibility On the other hand, the core of our Until now, our business model has been as industrialists Ð to make ourselves business is to deliver convenient products established in a monoculture premised on useful to the society by providing to customers and to enrich their lives. I a single race of the Japanese, working products and services that please believe that customers have the final say under the same work ethics and male- customers. in determining the balance between dominant social systems. With this We have a firm belief that our mission is convenient and affluent life and monoculture, standardized mass to contribute to the development of a environmental concerns. In order to production was made possible Ð society that coexists with the environment resolve environmental problems and to manufacturing and marketing high- with diverse personalities and values achieve sustainable development, it is performance products in large quantities unified by our corporate philosophy.

Matsushita Electric Group Environmental Sustainability Report 42 Social Responsibility Corporate Citizenship Activities

Environmental Conservation Soft Energy Project In addition to our mission as an Organizations Supported by Matsushita ¥ industrialist in bringing satisfac- ¥ Recovering White Beaches and Green Pines of Chikuzen tion to customers throughout the Shingu Club (Fukuoka Prefecture) ¥ N.P.O. Konan Environment (Shiga Prefecture) world through business activities, ¥ Beijing Environmental Volunteers Network (Beijing, China) we also believe in our company’s ¥ Society of Citizens to Protect the Virgin Beech Tree Forests of Hanamaki (Iwate Prefecture) mission as a corporate citizen to ¥ Urban Development Study Group for the Vicinity of Kamoi cooperate as a member of the so- Station (Kanagawa Prefecture) ¥ Commune with Koide River Club (Kanagawa Prefecture) ciety in the building of a healthy ¥ Furukawa River Fan Club (Hiroshima Prefecture) and vibrant society. We have es- ¥ Soft Energy Project (Kanagawa Prefecture) The Project provides learning experience through • Bamboo Volunteer Society “Bamboo Rangers” (Osaka participation in environmental conservation events pecially contributed to the society Prefecture) organized by citizens, governments, and businesses, in particular using solar panels and wind power ¥ Wuyun Forest Desert Tree Planting Volunteer Association by focusing on the “development generators to help combat global warming. (Activ- of human resources.” We have (Osaka Prefecture of Japan, Inner Mongolia of China) ist: Isao Sakamoto) ¥ Myokenzaka District Urban Development Committee also supported programs for mul- (Osaka Prefecture) Bamboo Volunteer Society “Bamboo Rangers” ti-cultural understanding and vol- ¥The Society carries out activities to tend the poorly kept Total funding for volunteer activities in FY 2001: bamboo thickets at the Hattori Ryokuchi Park in the unteer activities to help build a 19,506,000 yen (85 organizations) northern part of Osaka and to preserve the scenery. It society of coexistence in which Funding for environmental conservation activities: also participates in activities carried out at the Park 2,595,000 yen (11 organizations) such as making charcoal from thinned out bamboo every inhabitant can lead a happy plants, walking on bamboo stilts for re- life by supporting each other. Recovering White Beaches and creation, and farming. With a view to achieving coexis- ¥ Green Pines of Chikuzen Shingu Club (Activist: Ichiro Ota) tence with every stakeholder, we are tackling environmental and energy problems with the self- awareness of a global citizen. Support for Major Environmental Conservation Organizations in Japan In the environmental conservation field, Volunteer Activities Funds Matsushita supports civil groups in Japan Support System The purpose of the Club is to recover white sand and “Tate- no-matsubara” pine grove along the Shingu beach in that carry out socially significant activi- Fukuoka Prefecture in order to pass them on to future This system was introduced in FY 1998 to generations. The Club organizes tree-planting gatherings ties, participates in their activities as a for families and tree-thinning activities for primary and group member, and cooperates in the im- lend support to employees so that they middle school students in cooperation with local schools. can actively bear a part in the civil soci- (Activist: Yutaka Yokoyama) plementation of programs. ety. It provides funding for some of the Beijing Environmental Volunteers Network activities carried out by organizations that ¥This is an environmental NGO established in September Japanese Environmental Conservation are participated in on a continuous basis 2000 for the Japanese people living in Beijing and the Chi- Organizations Supported by Matsushita nese to carry out joint ¥ Nature Conservation Society of Japan by Matsushita employees, their spouses, activities, including semi- ¥ Osaka City Promotion Association or retired employees in Japan. In FY nars, environmental con- certs, and exchanges ¥ Ecosystem Conservation Society - Japan 2001, 85 projects received funding; 11 of with environmental ¥ Wild Bird Society of Japan them were related to environmental con- groups and operators of ¥ Institute of Urban Traffic Research organic farms. (Activist: ¥ Japan Environment Association servation activities. Yuko Kitamura) ¥ Forest Culture Association ¥ Organization for Industrial, Spiritual and Cultural Advancement International ¥ Japan National Trust Corporate Citizenship Activity Policy ¥ World Wildlife Fund Japan ¥ KEIDANREN Nature Conservation Fund Development ¥ National Land Afforestation Promotion Organization Management Principles of human resources “Corporations are "Coexisting with ¥ Japan Environmental Education Forum public institutions” the global environment" ¥ Flower Society ¥ Corporation to Protect Verdant Pine Trees in Japan Global ¥ (NPO) Nature Film Network As an industrialist As a corporate citizen environment ¥ General Energy Promotion Committee Using electronics to respond to Contributing to society and • The Children of Earth’s Club customer demand bearing social responsibilities ¥ International Education Information Center ¥ Japan Bamboo Society Research, Product development, NPO support and cooperation, Social ¥ Earth Day 2001 Steering Committee Production, Sales, CS, Recycling Donations, Independent activities, welfare Foundation activities ¥ Kansai Environmental Information Station Pico ¥ Maishima Festival 2001 Steering Committee ¥ Global Environment University Seminars Steering Committee Contributing to society Art and culture A total amount of financial support for the above organizations: 19,890,000yen (as of March 2002 )

43 Matsushita Electric Group Environmental Sustainability Report Social Responsibility

Sponsorship of Panasonic Writing “Feeling Arts” as a Healing Art • ¥ Contest Panama ¥ Japan Corporate Citizenship Activities Major Activities With support from Panama’s Ministry of Education, “Feeling Arts” was created with the unique sensibility Panasonic Latin America S.A. hosts an annual writ- and techniques of a modern artist, Yoshihiro Kita- ing contest with the objectives being to help primary mura. It is a futuristic art form combining paintings, Children’s Supporters Matching Fund school students evaluate their academic ability and luster, and music. The artist himself projects colorful ¥ Japan to give them incentive for learning. In the 4th Writing lights on a big canvas of abstract drawing painted with sumi-ink, soil, and gold powder. Beautifully syn- In cooperation with the International Youth Foundation Contest held in FY 2001, “Towards the establish- thesized or orchestrated music, or gagaku, the an- Japan Office (IYF Japan), Matsushita launched a fund to ment of children’s rights advocated by the United Na- cient court music ren- help strengthen the NPO base in support of children. In tions Children’s dered with a traditional FY 2001, we appropriated grants to seven organizations. Fund (UNICEF)” was chosen as the Japanese wind instru- First Grant Projects Total Grant in FY 2001: 7,500,000 yen theme. In total, ment sho, are used to arouse a myriad of im- (NPO) Takatori Community Center 1,020 students from 20 public and ages in the observer. Supported video making by children of different countries and cultures private schools in It is said that these im- ages can create a re- Japan International Center for the Rights of the Child Panama submitted articles. FY 2001 Writing Contest Award Ceremony laxing and healing The artist collaborating with an Supported the project to strengthen the organizational orchestra at Osaka Izumi Hall base and operation capacity psychological effect. WIZ-NATURE Tangshan Matsushita Environmental Supported staff training to provide nature experience OBP Arts Project Japan ¥ China activities for children Conservation Fund ¥Using the Osaka Business Park (OBP) as the stage, Tangshan Matsushita Industrial Equipment Co., Ltd. es- (NPO) Houjousha the Project is a corporate “mecenat (patronage)” ac- tablished an environmental conservation fund in 1997, Supported the project to strengthen the management tivity to introduce the modern art of young people to the first Chinese company to do so, and has donated a base of the organization the business community. It supports young artists, total of 500,000 yuan in the last four years. It gives pub- Club of Children and Students Working Together who are mainly university students, by providing lic recognition to people who have contributed to Tang- for Multicultural Society them with wide-open space or store space as ven- shan City’s environmental activities. In 2001, monetary Supported the project to upgrade operational functions ues for self-expression. These young artists not only and accountability of activities awards totaling engage in the creative works but also take the initia- 14,000 yuan were (NPO) SEAN tive in the planning, given to 18 individ- Supported restructuring of gender-free educational programs operations, and man- for adolescent children and the training of educators uals who have agement of the Pro- made outstanding (NPO) Artists and Children ject. Therefore, the contributions to the Supported the project to strengthen the base of the Project Project also serves for Artists and Primary School Students protection and im- an educational role provement of the FY 2001 Tangshan Matsushita Environmental as an experimental living environment. Conservation Fund Award Ceremony Kid Witness News (KWN) ground for art man- Dance performance at the atrium ¥ North America agement. This is a program launched by Matsushita Electric K. Matsushita Foundation of Expo ’90 Japan Corporation of America in 1989 to support educa- ¥ In order to facilitate the realization of Expo’90 philos- tion for mainly primary and middle school stu- The European Union Baroque ophy of “Coexistence of Mankind and Nature,” the dents throughout the USA. Today, the program ¥ Orchestra (EUBO) Europe Foundation gives Commemorative and Encourage- provides video equipment and production exper- EUBO was established in 1985 with the support of ment Prizes every year to individuals and groups re- tise to approximately 200 public schools in the the European Commission. Every year, 25 young siding in Japan in recognition of their distinguished USA and Canada musicians are selected from various European coun- academic studies and practical activities. In a Febru- to support their ex- tries to tour the EU and other countries, giving con- ary 2002 event to celebrate the 10th anniversary of tra-curricular activi- certs and carrying out goodwill activities through mu- the Foundation’s estab- ties in video pro- sic. Matsushita Electric Europe (Headquarters) Ltd. lishment, the Foundation duction. Students started giving sup- organized a commemor- from Columbia Uni- port to EUBO activi- ative lecture on “Daily versity also volun- ties in 1989. In FY Life and the Natural En- teer their time to 2001, following a tour Primary school students vironmentÐThe Impor- give seminars in of the UK and Bel- interviewing a gold medallist of tance of Forests,” deliv- support of the activ- the US Olympic swim team gium, EUBO gave its ered by an environmen- ities. (Salt Lake City) first concert in China. tal expert, Professor Hir- oyuki Ishi at the Grad- Concert in China uate School of the Uni- ¥Panasonic Foundation USA versity of Tokyo. ¥Emergency Relief for Terrorist The Foundation was established in 1984 with a Recipients of the 10th Annual Awards Attacks in the USA USA fund of 10 million US dollars to commemorate the Commemorative Prizes Matsushita donated 2.1 million US dollars to the Dis- 25th anniversary of the inauguration of the Mat- aster Fund for Children of NJ aiding victims of the sushita Electric Corporation of America. It provides The sixteenth Touemon Sano Known as the “Guard of Cherry Trees,” Mr. Sano contributed to the terrorist attacks on the USA on September 11, 2001. support to schools, mainly from primary to high preservation of over 200 kinds of cherry trees representative of different parts The donations were used for the provision of emer- schools, in order to improve the educational sys- of Japan, as well as the planting and dissemination of cherry trees overseas. gency supplies, mental health care and counseling tem. In FY 2001, the Foundation donated 1.9 mil- Hideo Tagawa, President of Kagoshima Prefectural College for victims’ children, employment assistance through lion US dollars to support a project, targeting Mr. Tagawa elucidated the process by which nature recovers its luxuriant job training, and educational support such as tuition state by studying the lava plain formed by volcanic eruptions at various stages schools in nine cities (more than 344,000 stu- of its history at Sakurajima Island, and contributed to the designation of fees, etc. In addition, dents), to conduct Yakushima as one of the world’s natural heritage sites. Matsushita Electric investigation, re- Encouragement Prizes Corporation of Amer- view, and engage in ica also donated Yoshihiko Yamate, President of Seikoen Inc. consultation regard- Mr. Yamate contributed to the popularization of the chrysanthemum in Japan flashlights, batteries, ing unfairness in the and abroad by introducing new varieties in form and quality. notebook computers, educational system Ken Sato, Professor of Engineering, Hokkai Gakuen University clothing, and daily resulting from differ- Mr. Sato established many academic theories about Japanese alpine flora supplies. Presenting donations to the ences in race and Teachers attending the Project’s and vegetation and contributed to the discovery of new species such as Callianthemum sachallinese var. kirigishiense. Disaster Fund for Children of disparity in wealth. seminar NJ

Matsushita Electric Group Environmental Sustainability Report 44 Social Responsibility

The goal of Love the Earth Citizens’ Campaign Love the Earth Citizens’ Campaign Changing corporations and society through awareness, behavior, and lifestyle of individuals LE logo Matsushita started promoting the Love the In the community Earth Citizens’ Campaign (LE activities) Active participation in volunteer activities beginning in 1998. In the campaign, employees and their families actively participate in environmental activities at home and in their communities. We believe that As a family In the Company changing the awareness, action, and life- Change to an environmentally Activities to become an environmentally conscious lifestyle advanced corporation style of individuals can contribute to the transition to a sustainable society. In FY 2001, we further expanded our activities Awareness-raising and activity support for employees and their families by shifting emphasis from raising awareness to encouraging participation. Launch of the Eco-bag Movement As¥ an act in support of an environmentally Matsushita Green Volunteer ¥The Environmental Household conscious lifestyle, we advocate the Eco- (MGV) Club Budget Ledger bag Movement, which promotes the use of The Matsushita Green Volunteer (MGV) In Japan, the increase in household energy one’s own bags when shopping. To kick off Club was established in 1993 with funds consumption is a serious concern. Famil- the movement, we invited employees and contributed by approximately 70,000 of ies should be encouraged to have higher their families to submit designs for the Eco- Matsushita’s current and retired employ- awareness of energy saving and to put it bag in FY 2001. ees and the Workers Union. In support of into practice. As a company that supplies Based on the de- the Club, the company also donated a sim- electric home appliances, we encourage signs, the Mat- ilar amount as a matching gift. The clean- employees to implement an eco-life by us- sushita original up of the Osaka Tsurumi Ryokuchi green ing the Environmental Household Budget Eco-bags were Ledger to track the amounts of electricity areas, which started in May 1994, has made. Shopping with the Eco-bag and water consumed in their households. been carried out on a continuous basis on the second Saturday of each month from The Expanding Circle of LE Families ¥Making and Using the LE Video April to November of every year, amount- Families¥ having adopted the use of the to Raise Environmental Awareness ing to a total of 55 times as of April 2002. Environmental Household Budget Ledger To stimulate voluntary LE activities, Mat- It started mainly as a park cleanup effort are called “LE Families.” There were sushita employees made a video to intro- and has evolved in recent years into a na- 21,000 LE Families in FY 2001. Families duce LE Families. The video is shown in ture experience initiative for Club mem- that submitted their eco-account data were informal gatherings at bers to observe nature and make craft- awarded the “LE Family Certification” the workplace and for works with children. In other areas as and Matsushita’s original Eco-bag. Ef- environmental educa- well, the Club strives to make activities forts are being made to invite more famil- tion purposes. enjoyable for families. In FY 2001, among ies to participate in the campaign and to Title screen the total of 10,000 activity participants, of the LE video make steady progress. over 10% came with their families. The Club will continue to provide opportuni- Changes in CO2 Emissions by Energy Type Number of LE Families and Data Submitted (Compared to the previous year) ties for children to experience the richness (%) (No. of households) No. of households registered +4% of nature and the beauty of greenery. Rate of change No. of data submitted +3%

21,000 20,000 +1% Previous year’s level 0 Change in emission amount -1.5% -3%

-6% Environmental Household Budget Ledger +6.2 -9.5 +1.7 -19.7 -21.3 +31.3 kg-c kg-c kg-c kg-c kg-c kg-c 4,000 3,300 Electricity Gas Water Kerosene Total Gasoline Collected in June household CO2 emissions Participants of the 55th Osaka Tsurumi Ryokuchi annually 1,700 1,800 2,500 Cleanup activity held in April 2002 0 (Note) The result represents an aggregate of 98 99 00 01 (Japan) data from part of households (1,344 households) selected as monitors.

45 Matsushita Electric Group Environmental Sustainability Report Social Responsibility

Cleaning up of Beaches Singapore Takatsuki Citizens’ Forest Activity Japan • ¥ Corporate Citizenship Activities/ Community-based In November 2001, about 400 employees Since¥ 1993, the workers and management of LE Activities of Matsushita Group in Singapore and our Lighting Co., Display Devices Compa- their families carried out a beach cleanup ny, and Semiconductor Co. had been partici- Energy Conservation Contest ¥ at the East Coast Park. The event helped pated in a citizen-led afforestation activity. North America raise the environmental awareness of the Having completed the tree planting in 1999, In connection with the Earth Day, Mat- participants. the group continued to carry out weeding sushita Electric Corporation of America and maintenance of the forest. In FY 2000, sponsored a drawing contest for the chil- the group received the Greening Merit TOPICS dren of all employees in the North Ameri- Award from the Osaka Government. ca region. The theme of the contest was “What is energy conserva- Employees and family members participated in the tion to me?” cleanup event The award-winning picture of a kindergarten student chosen from over 70 entries The on-going voluntary forest maintenance activity TOPICS

Symposium for Love the Earth Citizens’ Campaign

As a part of the Environmental Forum 2001 (see p. 9), the first open symposium in LE activity was held in October 2001 in conjunction with other events. We used “Nurturing eco-minded citizens” (environmental education), which is the foundation Keynote speech by Hisatake Kato, President of Tot- A virtual panel discussion using the Internet was for the Creation of “Wa-no-kuni”ÐAn Eco-so- tori University of Environmental Studies held in advance to clarify the expectations and de- ciety Through Partnership, as a universal Mr. Kato explained three rules of prohibition in the mands for businesses and to seek ways to environmental education for children, who are the strengthen cooperation between the industry, gov- theme to study the ways of conducting cor- leaders of the future. ernment, and academia. porate citizenship activities. Number of participants: Approximately 800 Symposium Oct. 2 Approximately 300 people Movie Oct. 6 Approximately 400 people Participatory activities Oct. 6 Approximately 100 people

In summarizing the panel discussion, we stated our company’s plan of action for the future. Since the launch of LE activities four years ago, the symposium was the first Shoichi Sengoku, senior scientist of the Japan Wildlife Various activities, including weeding, cleanup, nature such opportunity to dispatch this message Research Center, was invited to the screening of observation, craftworks, and tree nurturing, are carried to the society. Due to the unexpectedly award-winning films of the 5th Japan Wildlife Festival, out on a continuous basis at the Hitorizawa Citizens’ along with young children, primary school students, and Forest at Isogo Ward, Yokohama City. overwhelming response, we intend to ex- their families living in Tokyo. pand LE Activities beyond our corporate fra- Comment of a participant mework and develop them into a citizen Please take the lead and exert influence on soci- movement. ety in environmental efforts. I realized the importance of nature. I look forward to the next forum. Future Goals Develop the activity with social influence 1. To set targets and pursue them on a global scale to seek real solutions to environmental problems 2. To expand the registration and participation of personnel to carry out volunteer activities Children who watched the environmental films also 3. Within the theme of environmental educa- looked at the exhibition of the Environmental Forum tion, to expand corporate activities into part- with enthusiasm. This was the first time to invite children to the open forum. LE Symposium (Japanese only) nerships with other companies, local gov- URL http://www.matsushita.co.jp/ ernments, schools, and civil groups. environment/event/forum/le/ discussion/

Matsushita Electric Group Environmental Sustainability Report 46 Social Responsibility Relationship with Employees

that will increase employees’ options in ca- A company cannot accomplish its reer planning and on schemes that will enable Personnel System mission if there were not “people” to employees to challenge jobs of their choice utilize its business resources. Mat- utilizing their capabilities. Furthermore, Mat- sushita has established a personnel In order to give recognition to and utilize the sushita is creating a corporate culture that val- system based on “respect for man- diverse values and individuality of employ- ues customer perspective and a flat organiza- kind” and is working to create a new ees, we are working on a personnel system tion based on consensus and cooperation.

corporate culture that approves di- New Personnel System versity in values. Since FY 2001, Mat- Name of system Description Results sushita has been stepping up activi- A system that enables employees to apply for job opportunities of- 700 applications e-challenge fered by Matsushita’s new or expanding businesses, or to demon- ties to shape a vigorous corporate 300 job transfers strate their skills to attain a job transfer to their desired workplace. culture that aims at creating a Flexible payment system Payment system in which employees will be given a choice 52% of new employees “Matsushita Full of Excitement and (upfront payment of of having their retirement allowance and welfare benefits chose this system Creativity.” retirement allowance) paid in advance in addition to their yearly bonuses. (FY 2001) An in-house venture fund established to discover and nur- 210 applications Panasonic ture employees with entrepreneurial spirit and to support 6 companies Spin-Up Fund their ventures. established

An initiative to establish a venue for direct communication between Started in FY 2000 Promoting Personnel Policy the company president and young employees in order to facilitate Total of “exciting works” thorough implementation of management policies and to create an 7 meetings held open corporate culture. Matsushita’s personnel policy is based on A system for a team leader or above employee to have colleagues the principles of “people” as the founda- Multiple Assessment assess his/her performance. It intends to raise awareness of one’s Evaluated 17,631 Program progress in performance and to increase understanding in the as- employees tion for management and “developing sessment process. people before making products.” This policy has three main characteristics: “participative management,” “merit sys- Initiative for Building Employment for People tem,” and “people-oriented management.” Equal Partnership with Disabilities On the basis of this policy, new initiatives have begun. In order to offer cus- Matsushita established its Corporate Equal No matter whether they have disabilities or tomers more innovative and productive Partnership Division in FY 2001. In working not, it is wonderful for people to find satisfac- solutions and to contribute to the society towards a “Matsushita that is filled with di- tion in life by utilizing their various aptitudes of the 21st century, our employees must versity where all the employees work vigor- and abilities in work. To create a workplace display a higher level of independence ously regardless of their gender,” we have for people with disabilities, we support local and individuality than ever before. While disseminated our Equal Partnership vision, governments in the establishment and opera- continuing to share the company’s aspira- supported related departments in reforming tion of welfare factories for manufacturing tion for customer satisfaction, employees their business environment, and promoted activities and operate three subsidiary compa- are expected to fully utilize their creativi- women’s participation in corporate manage- nies for the same purpose. For the past five ty, contribute to the society, and seek self- ment. In order to become a customer value years, we have maintained an employment actualization. Based on the philosophy of creating company, we are committed to culti- rate of people with disabilities higher than the building this new relationship between vate a corporate culture appropriate for a truly private sector average and also higher than “independent individuals” and the global corporation. the rate required by law. Matsushita is highly “company,” we are carrying out various recognized for these efforts and has received personnel initiatives. a variety of awards related to the employment Participative Management of people with disabilities. Each job has its own important functions. Ev- eryone is manager of their jobs. Employment Rate for People with Disabilities (%) Matsushita Merit System Statutory employment rate Compensation shall be determined based on Private sector average 1.94 fair appraisal of performance and capability. 1.91 1.88 1.90 1.85 People-oriented Management 1.80 1.80 1.80

“People” are the source of added values. We 1.60 1.60 realize our responsibility in appropriately devel- Company-wide Equal Partnership Forum oping and allocating human resources. 1.47 1.48 1.49 1.49 1.49

0 97 9899 00 01 (Japan)

47 Matsushita Electric Group Environmental Sustainability Report Social Responsibility Social Responsibility Safety and Health

Occurrence of Labor Accidents • Based on the corporate philosophy The¥ number of labor accidents in 2001 de- Mental Health Relationship with Employees/Safety and Health of “respect for mankind,” all Mat- creased by 20% from the year 2000 total. (Ensuring mental well-being) sushita employees are joining for- In particular, the number of “lost-time acci- ces and making intensive efforts to In view of a growing public interest in dents,” which caused a worker to miss ensure safety in the workplace and mental health, we have upgraded an in- workdays to get medical treatment, has de- to promote employees’ health, an- house counseling system and are making clined by 32%. ticipating future changes in the aggressive efforts to ensure the mental Labor Accident Rate workplace. All industry average well-being of our employees. The Charter of Matsushita Electric (Accidents/1 million work hours) Electric machinery manufacturing industry average During FY 2001, we prepared a work- Occupational Safety and Health Matsushita Electric Group 1.89 1.82 place manual with the intention that men- Declaration of safety and health at the workplace 1.75 1.72 1.80 tal health problems may be detected early We will make a consistent effort to fulfill our 0.46 corporate philosophy that embodies “respect 0.38 0.36 0.34 0.38 and appropriate steps be taken. We have for mankind” by building a safe and pleasant 0.14 0.18 0.12 0.12 0.19 0.13 also established education guidelines to workplace in order to ensure the physical and 0 989796 99 00 01 mental health of all employees. (Japan) ensure that all employees have accurate knowledge about mental health. Guidelines for Occupational Safety and Health Environmental Measurement at 1.Complying with legal requirements ¥ Workplaces 2.Investing management resources 3.Establishing and maintaining occupational We conduct environmental measurement of safety and health management system Matsushita-designated as well as legally-desig- 4.Clarifying responsibilities and authority, and nated hazardous materials at workplaces where establishing an organizational structure 5.Eliminating and reducing dangerous or harm- chemical substances are in use. Based on the ful factors measurement results, we take appropriate re- 6.Setting goals/making and implementing plans 7.Auditing/management review medial steps. This practice enabled us to eradi- 8.Education and training cate the “workplaces requiring remedial meas-

ures” in 2000. On the noise reduction front, Workplace mental health manual our approach has traditionally been operator- based, such as donning protective equipment, Global Efforts to Eliminate but from now on we will implement solider Risk Management System Labor Accidents measuresÐsuch as improvement of facilities and equipmentÐaimed at eliminating workpla- Recognizing that labor safety risk manage- Stepping up our goal from “zero-accident” ces that require remedial action for noise. ment for employees is an integral part of our to “zero-risk,” we are undertaking activities Change in Number of Workplaces by business operations, we have instituted a glo- aimed at identifying and reducing potential Management Category (Number) Matsushita- bal management system. This involved estab- dangers and health hazards lurking in the Measured substances designated Category 3 1,574 1,602 substances lishing the Corporate Overseas Security Man- workplace. To achieve this goal, it is essen- 18 Requires 23 293 agement Committee and assigning principal improvement 1,274 tial that not only managers and supervisors immediately 4 Organic and deputy committee members to each oper- but all employees should have knowledge solvents Category 2 20 694 ation site to be in charge of safety measures. Legally- about risks and understand safety rules. In Requires Dust improvement designated This system ensures emergency communica- October 2001, we started a new systematic particles substances 1,250 1,556 1,579 86 tion with the committee members around the employee education program that encom- Category 1 Specified chemical substances clock. The system’s effectiveness was dem- passes legally required education and other Properly 434 operated Lead95 0 onstrated in the September 11, 2001 terrorist courses unique to Matsushita. 99 00 01 (Japan) attacks in the U.S.: by 3:00 p.m. on the fol- Safety and Health Education System lowing day Japan Time, we had confirmed Rank Target Regular employees Managers and supervisors Top management the safety of all employees in the U. S.Ð614 Education at the time of employment Education at the time of task change Seminar for managers employees and their familes on overseas as- ¥Outside employee education¥ Education for foreman ¥Education prior to leaving for All workplaces ¥ (at the time of employment/task change) ¥ ¥ overseas assignment signment and 264 traveling for business. Health education (health consultation/health class) Personnel ¥ ¥ Global Emergency Communications System engaged in Prior to License Skill training After Employee education (every 5 years/whenever necessary) assignment assignment dangerous or ¥Specific education¥ Guidance on administrative notice ¥ harmful work ¥ ¥ Education for the development of ability Europe ¥ (Safety supervisor / Health supervisor / Safety and health promoter / Operation Coordinator) China Staff in charge Japan of safety Training for safety and health experts to improve business skills Seminar for personnel supervisor Americas ¥ (whenever necessary) ¥ Middle East Corporate Overseas Security and health Training for persons Africa Management Committee ¥ in charge of safety and health Training for persons in charge of chemical substance management; Other training ¥ 24 hr.-availability Education for person in charge Education for person in charge Seminar for production Asia/Oceania Engineers ¥ of special voluntary inspection ¥ of periodical voluntary inspection ¥ technology supervisor ¥Education for production engineers

Matsushita Electric Group Environmental Sustainability Report 48 Social Responsibility Relationship with Customers

Matsushita is engaged in business Customer Care Center Repairs and Services adopting “Customer-comes-first” as the central pillar of its management philosophy and is guided by The Customer Care Center enables us to In FY 2001, the number of repairs handled the spirit of “true service” put for- answer any inquiries from customers all- by our retailers and service centers totaled ward by the founder K. Matsushita. year-round. In FY 2001 the Center received about 6.27 million, decreasing by 330,000 To encourage customers to take about 1.51 million inquiries. from the year 2000. The decline was attrib- good care of products and get the uted to improved product quality and an in- Number of Inquiries crease in the number of customers who op- maximum life out of them, we are (10, 000 cases) 148 151 Others 12 131 ted to replace their products rather than re- implementing measures aimed at 116 Repair 29 pair them, in view of a significant drop in extending the product life, such as 98 Purchasing product price and greater energy-efficiency teaching the correct usage of prod- 36 offered by newer models. We respond to ucts, offering repair service and up- Usage this situation by implementing “service im- grading customer services. We are 74 0 provement campaigns,” with the aim of re- also working on the development of 97 98 99 00 01 (Japan) ducing repair cost by cutting down the time products that are easy to use by ev- required for repair work. eryone. Customer Care Center (Japan) 0120-878-365 (Hours:9:00a.m. Ð 8:00p.m.) Number of Repairs (10,000 cases) When designing a product, we depend on TRUE SERVICE 710 720 700 customer requests and suggestions received 660 627 Service is an integral part of any busi- at the Center. We also offer, through our ness. website, a wide range of information in- A business that does not provide service cluding usage of products and tips for ener- is no business at all. gy conservation. Service, therefore, is the duty and obli- 0 97 98 99 00 01 gation of any businessperson. But (Japan) there’s nothing more aggravating than service provided only out of a sense of Central Technical Repair Center duty. Customers can sense it. The¥ Central Technical Repair Center in Service means satisfying customers, and Saitama Pref. represents one of our central- when we satisfy our customers, we in ized comprehensive repair shops, which turn find satisfaction in a job well done. boasts a yearly repair capacity of about Satisfied customers and satisfied em- 600,000 units. Replete with the advanced ployees. http://www.panasonic.co.jp equipment and systems, the Center offers URL This is what constitutes true service. /cs/japan/css/ (Japanese only) high-efficiency repair work. Konosuke Matsushita

TOPICS

Repair Service at “Pana Service Ko-bo”

Some 20,000 domestic Matsushita-affiliated retailers offer repair service. Out of High-speed receiving and sorting lines these, about 3,000 retailers have been Pana Service certified as “Pana Service Ko-bo” for fulfil- Ko-bo in Retailers ling certain requirements. These retailers put up a “Pana pletion, thereby offering reliable repair Service Ko-bo” work and after-sale follow-up. The retail- sign, set up a re- ers also provide a five-year service pro- pair counter in gram (chargeable) called “Pana Reassur- the store and ance Program.” Our sales companies and clearly indicate service companies assist in building this repair costs and system as well as in upgrading technical Repair lines organized according to the level of difficulty the date of com- skills.

49 Matsushita Electric Group Environmental Sustainability Report Social Responsibility

Thinking behind the Pursuit of Usability • Enhancing Usability Relationship with Customers/ (Overall User-friendliness) Pursuit of usability not only broadens the product’s user base but Fully operable Friendly also raises the ease of use. We view To respond to a variety of changes in soci- Easier to use universal design as an ideal form and ety such as the increase in product func- philosophy that serves as a founda- tions, sophistication of technology and the tion of usability. Easy to operate rising number of the elderly population, we Barrier free TOPICS strives to improve product usability. Removing a barrier that affects “Universal design” is a concept that aims a certain group of people to make daily life easier for everybody re- Not fully operable gardless of disability, age, sex and nation- Accessibility Usability of Turning “can’t use” ality. The term means “featuring designs a product into “can use” that are easy to use for everybody.” At Cannot operate Matsushita, we are engaged in pursuit of People Elderly people People with People with usability worldwide in terms of three as- without (e.g. presbyopia; slight disabilities serious disabilities disabilities cataract) (e.g. weak (e.g. completely pects: “friendly” products, which are easier eyesight) sightless) to use for the people without disabilities; “barrier-free” products, which the elderly Development of goggles for Product Examples and people with disabilities find no diffi- ¥ experiencing cataracts The¥ seated body shower offers a new meth- culty in using; and “accessibility,” which Senile cataracts is one of the physical de- od of bathing: it allows the bather to re- represents products that can be used by clines caused by aging. About 60% of 50- main comfortably seated on a chair and en- people with disabilities. year-olds and about 90% of the 70-year-old joy the same thermal effect as that of bath- During FY 2001, we have increased the population are estimated to be afflicted ing in a bathtub. The device not only redu- number of universal design products to 438 with cataracts. In collaboration with hospi- ces the load on the heart exerted by the models. The number of universal design tals, universities and consumer monitors, pressure of water but also cuts down the considerations or improvements expanded Matsushita has developed goggles for ex- amount of hot water use to one quarter that to 722. These efforts won recognition and periencing cataracts. The device helps of bathtub bathing. In addition, it can be we were honored with the Minister of young design engineers understand and operated by remote control, a useful feature Economy, Trade and Industry Prize of the evaluate the condition of elderly people. when used for care-giving purposes. The “2001 Excellent Consumer-oriented product received the Universal Design Group” Award. Operation panel of a washing machine Prize in the Good Design Awards of 1997. A cordless cleaner is a type of vacuum cleaner that does not have an electric cord. Examples of Research Themes With a lightweight body and operational ¥Ease-of-use factors Without goggles simplicity, which involves simply pulling ¥Timer-setting procedure down the handle to turn the power on, the ¥Daily life of the elderly people ¥Daily life of visually impaired cleaner is easy to use by anyone, from chil- people dren to elderly people. ¥Braille and embossed signs With goggles ¥Audibility of appliance beeps Cordless ¥The posture and movement of cleaner MC-B35M elderly people Ensuring Usability Globally ¥Daily life of people who need We¥ hold in-house seminars on the Tele- care or assistance communications Act and the Rehabilitation Products Incorporating Universal Design Act, both U.S. laws that require improve- Models ment of product usability of IT devices for Considerations/improvements the elderly and people with disabilities. (Number) 722 630 564

438 Seated body shower 366 324

URL Efforts toward universal design In-house seminar at (Japanese only) 0 Matsushita Communication http://www.lifevit.com/ 99 00 01 Industrial Co., Ltd. store/universal_d/

Matsushita Electric Group Environmental Sustainability Report 50 Social Responsibility Environmental Communication

Environmental Advertisement, TV Because their causes are com- Communication Activities ¥ Commercials plex and they are closely related and Achievements We use television and newspaper media to human lifestyles, solutions to to inform the public about our basic global environmental problems Publication of the Environmental stance on environmental conservation and cannot be borne by any single ¥ Sustainability Report efforts through our products. In FY 2001, corporation. To arrive at a solu- First published in FY 1997, the Environ- we created 10 advertisements and 4 TV tion, all participants in the so- mental Sustainability Report is the core commercials emphasizing our response to cial systemÐMatsushita that medium of our environmental communi- the Law for Recycling of Specified Home makes products, suppliers that cation. Because Matsushita’s activities Appliances and were granted the “Japan provide materials, employees and the needs of our readers are diverse, Industrial Journal’s Industrial Advertise- who support manufacturing, the amount of information and number of ment Grand Prix, 40th Anniversary Spe- cial Award.” customers who use our servi- pages in the Report continue to increase ces and products, government every year. Even at our affiliated compa- and research organizations that nies, environmental information disclo- set laws and create systems, sure is being promoted through Environ- mental Sustainability Reports and web- and the mass media that makes sites. information availableÐmust work toward the same goal. Publication History of Environmental communication the Environmental Sustainability Report FY Japanese (copies) English (copies) Pages has an important role of linking FY 1997 17,000 8,000 24 these various stakeholders and FY 1998 10,000 10,000 28 Matsushita. We promote the dis- FY 1999 18,000 5,000 40 closure of environmental infor- FY 2000 22,000 5,000 56 mation using various media FY 2001 20,000 5,000 66 such as the Environmental Sus- Natural Fluid (HC) Refrigerator tainability Report. Matsushita’s new efforts in FY 2001 include Information Disclosure through ¥ the Website the holding of the Global Envir- Participation in Exhibitions Our environmental website provides in- onmental Forums in Japan as ¥During FY 2001, in order to introduce our formation on our activities from a differ- well as in Germany and the first- efforts, we held “National/Panasonic En- ent perspective than that of the Environ- ever Stakeholders Meeting*1. vironmental Forum 2001” in Japan as mental Sustainability Report. During FY We at Matsushita will continue well as in Germany (see p. 9). We also 2001, we largely renovated our website to to promote communications participated in many exhibitions such as offer information to our various stake- aimed at creating a sustainable “Eco-Products 2001” and “ENEX2002.” holders, e.g., Environmental Data File, a society. keyword index for easy searching (see below), and contents suitable for children. *1 See Environmental Sustainability Report 2001

Various Stakeholders and Matsushita

Shareholder Consumers /Investors Matsushita Electric Booth Eco-Products 2001 NPOs Government Organizations

Local Matsushita Industrial Communities Electric Organizations Group The Topics is available on the Top Page.

Mass Media Research Institutions http://www.matsushita.co.jp/ URL environment/en/ Employees Material “Solder Recycler” using sesame Suppliers seeds attracts attention

Society and Environment

51 Matsushita Electric Group Environmental Sustainability Report Social Responsibility

On Environmental Activities in General On the Image of a Sustainable Society • Public Opinions and ¥ ¥ 2 Environmental Communication Opinions It is stated that increased in 2025* *2 In the Environmental Sustainability Report 2001, Our Response production causes an increase in CO2 emis- we offered an image of a sustainable society using sions. Is it difficult to reduce CO2 emissions the scenario planning method and collected when production is increasing? ( reader ’s comments on the image. ) In FY 2001, we received a total of 615 comments and requests. We thank you for The reduction of CO2 emissions with increased pro- Opinions It’s difficult to imagine a society duction volumes is a difficult challenge. In particular, your interest in our activities. Here we in the year 2025, but it is necessary for the gov- there has been a large expansion in the energy-inten- ernment and businesses to have a concrete vision have included some representative opin- sive device business at the domestic operation sites, on what that society is expected to be and take ions and our responses below. and their CO2 emissions have increased to 64% of our total emissions in Japan. In addition to the instal- the first step toward making it real. I can’t deny Opinions and Requests lation of the cogeneration systems, we recently have that the image was meager in its substance, but I Others 4 think such attempts of visualization and introduc- (%) Other material requests 1 begun CO2 reduction efforts early in the product plan- Questionnaire on Website 11 ning stage while selecting materials and designing tion of methods to achieve it were very meaning- ful. Environmental Sustainability Report Requests 62 manufacturing processes. As a result, in a particular outstanding case, energy consumption was reduced I believe that it will take a lot of effort, but we can Total: 615 Inquiries 22 to 1/50 of the previous level due to drastic improve- realize a “Happy Society in Harmony with the En- Environment (No. of inquiries: 135) ments in processes. We will continue to strive to ach- vironment.” I understood the importance of envi- in general Others 27 16 ieve both environment conservation and business de- sioning the future. I had a vision of all global citi- Fuel cells 4 Recycling velopment. zens working together to prevent any further en- 13 vironmental destruction. Products I think that people are increasingly aware of the Energy conservation 4 12 Opinions You have created a recycling Green procurement 4 system, but I have doubts about concentrating environmental issues, but that there is little move- Contents of Chemical substances 7 your efforts only on material recycling. Have ment to join forces. We need a leader. I have high the Environmental Love the Earth Citizens’ Campaign 5 expectations for your company’s direction. This Sustainability Report 4 Product assessment 4 you considered intensifying customer service to lengthen product life? vision of society is very good, but please don’t wait till 2025. I want to ask you to realize it more Just as you stated, recycling is only one method and quickly. we do consider it important to expand our products life. Currently, we perform about 6 million repair and We concretely and qualitatively projected the sustain- maintenance annually (see p. 49). In order to expand On the Environmental Sustainability able future society and lifestyle and from this projec- ¥ these, it is necessary to lower repair costs. In support tion created an environmental vision and action plan Report of this purpose, we are applying easy-to-repair struc- for the early 21st century. We feel that it is necessary ture to our products. We also try to speed up detec- to rely on long-term actions for most environmental It seemed like the Report Opinions tion of malfunctions and damage by installing a self- efforts. We are grateful that you appreciate our com- tried to include everything. Wouldn’t it diagnosis function. Furthermore, beginning in April mitment to take concrete steps toward a future 25 be better to focus on specific points? 2002, we are beginning a business of the “lighting ser- years distant, at a time when the shape of society or Various guidelines are created for information dis- vice” that sells a function of fluorescent lights to fac- business even 1 year in the future is uncertain. We closure to enhance environmental performance tories and offices, rather than light tubes themselves. have received many encouraging responses and throughout society. Within these guidelines, there We will continue to strive to reduce environmental much support for our “Happy Society in Harmony with has been a demand for including and comparing a load when products are discarded, such as with our the Environment” vision. We should work steadily to- wide range of items. We created the publication to new service business. ward realizing it. include as many items as possible in order to closely follow the guidelines. Also, we have created a “Topics” section to highlight our on-site ac- Image of a Happy Society in Harmony with the Environment tivities. However, as you have suggested, we will A society in which one can School in the woods try to focus on some points and to disclose infor- feel connected with not mation in an easy-to-understand format, even only human beings but while we continue to include extensive information. also all beings on earth. Based on recognition that human activities inevitably Opinions I would like to see more exert adverse effect on the concrete, detailed data. How about environment, a variety of publishing a digest edition? measures are taken to maintain ecological bal- We have begun offering detailed information this ance. Environmental tech- year through the inclusion of Facts & Figures (see nology also advances to Cooperative housing pp. 54-73). In this report, information on environ- this end. While the impacts mental load is disclosed by site and includes data of past environmental from 18 sites for domestic division companies and Closed-cycle problems remain, such as factory affiliated companies. For other sites, we are plan- global warming and the de- ning to use the website. Publication of the digest pletion of the ozone layer, edition is under consideration, taking into account critical situation is evaded the practicality, cost of publication, and possible due to growing environ- use of the website. mental awareness through- Community out the society. Environ- farm mental issues become I think that the Stakehold- Opinions closely associated with Hydrogen ers Meeting and The Natural Step’s personal goals of self-reali- station third party comments are significant ef- zation and coexistence forts. with nature, with greater IT communication center Thank you for your kind evaluation. We will contin- and systematic social sup- ue the Stakeholders Meeting with the next meeting port to companies and planned for FY 2002. As for the sustainability ana- people who voluntarily act Market of locally grown produce for local consumption lysis by The Natural Step, a general analysis for toward these universal our environmental efforts was reported in the 2001 goals. The result is a happy society in which each Report. This year, the target of the study was fo- URL Environmental Sustainability Report 2001 cused on our two representative products to en- individual enjoys a sense (Toward a Happy Society in Harmony with the Environment) able a deeper analysis (see pp. 74 Ð 76). of purpose in life. http://www.matsushita.co.jp/environment/2001e/er01e_13.pdf

Matsushita Electric Group Environmental Sustainability Report 52 Social Responsibility

TOPICS

First Meeting for Reading the Joint Sponsors: Suntory Ltd., Matsushita Electric Industrial Co., Ltd. Date and Time: December 18, 2001 (Tuesday) 13:00-17:00 Environmental Sustainability Report Place: Business Innovation Center Osaka Organizers: Takao Hata, Teruo Kamura, and Tatsuro Sugiyama, In December 2001, we held the first “Meeting for Environmental Department, Suntory Ltd. Reading the Environmental Sustainability Re- Yoshiaki Arai port” jointly with Suntory Ltd. This meeting was Corporate Environmental Affairs Division, Matsushita Electric Industrial Co., Ltd. Inside the Meeting Room an opportunity for two-way communication be- No. of Participants: 50 (Business 33% Students 16% Government 7% NPO 7% Others 37%) tween the companies and stakeholders. Staff of corporate environmental division explained the through “environmental technology,” as the motion? 2001 report and the stakeholders were allowed strength of Japanese manufacturing has been This is a project aimed at exploring new to ask questions and express opinions directly. and still is technology, and the importance of A business models, but is still in the research ecological thinking to use these technologies cor- stage at our design division. Efforts on “reuse” Presentation Given by One of the Organizers rectly. The action plan with this Vision as the and “reduce” have been made through review ¥ Four years have passed goal is the “Green Plan 2010.” meetings for several years, but we have yet to since I started working on Normally, corporate plans operate in one-year see results. We have been doing business by the Environmental Sustain- cycles. Even mid-term plans are for 3 years or selling products for 80 years and have had some ability Report. During this so; a 25-year plan is almost unthinkable. We set success. It is very difficult to overthrow this busi- time, my desire has always the plan for 2010, and that was as far as we ness model. We, who are involved in environ- been to “communicate to could go. Although we were often rebuked with mental affairs, intend to convince the company to the public correctly and ac- comments such as “in this era that requires change. We do want a breakthrough. curately our company’s en- speedy decision-making and course correction, Yoshiaki Arai vironmental efforts.” These it’s foolish to make a plan for 25 years,” we be- The third party comments from The Natu- Corporate Environmental lieve that we should run counter to this trend to- ral Step are objective and a bit harsh. After Affairs Division past several years have Q seen tremendous changes in businesses’ views wards quick thinking when addressing environ- receiving these comments, can you tell us how and stances towards the environment, and I mental issues. Fundamentally, it is necessary for you will change? Also, on the last page of the re- wanted the public to feel this dynamism. Through management to have a long-range vision. In port, the founder of Matsushita is talking about my work on the environment, I feel the excite- bringing this long-range perspective to the man- 250 years in the future, isn’t he? Don’t be dis- ment of having a positive influence not only on agement, which tends to be shortsighted, those couraged if you cannot make changes in 25 Matsushita but also on society as a whole. How- who are involved in environmental affairs have a years. If green consumers reach 51% of the pop- ever, I had misgivings that it would be impossible role to play. ulation, the majority will change the world. If this to express these things only through a printed happens, a happy society will be the norm. An- medium and that one-way information disclosure Q&A other point, I am bothered that there is little infor- was inadequate. Today, we will talk about what ¥ As a worldwide company with 30% of its mation from overseas and that the report isn’t in- we wanted to express in the report and we would Q production overseas, how do you handle ternational. like to hear your frank opinions about our work. overseas environmental management? Also, From The Natural Step, we wanted a strict In FY 2001, Matsushita for the first time since within the “Green Plan 2010” there is the idea of A evaluation from the viewpoint of the world’s its establishment posted corporate deficits. Defi- “cultivating environmental awareness in employ- leading authority in this field. We wanted to know cits are an indication that the company is not ees,” but how will you nurture such people within how they viewed our philosophy and efforts and benefiting society and is not accepted. It repre- the company or a community? what level they felt we had reached. With these sents the fact that we have been mistaken in our Each manufacturing division, including results in mind, we will accept the challenge of a way of doing business. Now we must change the A those in foreign countries, operates sepa- drastic change of our business structure. way. One of the keys to the change was the en- rately with the Environment Conference as the As for the green consumer, I don’t believe we vironment. Traditionally, “environment” has a top decision-making organ. However, because have surpassed the 50% mark within Matsushita. strong nuance of cost reduction or voluntary ac- the Japanese viewpoint tends to be prominent Certainly, if there were a 51% majority of green tivity for companies. Now, as it contributes to so- and because there are many region-specific is- consumers, the company and society would ciety, “environmental” efforts have become a way sues, regional headquarters also responsible for change. As there are top-down, bottom-up or for corporations to increase their competitiveness each of 5 global regions are managing environ- many other ways of over the mid to long term. In order for the public mental activities for that region. While each man- accomplishing this, to get a clear picture of these concepts of ours, ufacturing division is the bases for activities, the we would like to we presented a real message from the president, management matrix allows for regional solidarity. overcome this with rather than the usual perfunctory greetings, and “Cultivating environmental awareness in em- wisdom and inno- other features such as “Environmental Vision ployees” is currently being promoted mainly vative ideas. and Scenarios for Sustainable Society and Life- through the Love the Earth Citizens’ Campaign. Enthusiastic questions style in 2025.” This campaign was started in 1998 jointly with la- from participants The Environmental Vision was newly formula- bor unions to educate and support employees Results of the Audience Questionnaire ted in 2001. This period marked the end of the and their families in order to contribute to the en- about the Meeting (%) “Environmental Voluntary Plan” started in 1993, vironmental conservation at home and in the lo- No Answer 9 and we wanted to make a promise for the next cal community. Usual 10 or 20 years. The Vision, setting a minimum Ð Unsatisfied 4 level to be achieved, is a challenge to seek sus- As in “Servicizing products - Making the Usual 9 Satisfied 27 tainability in seven aspects of our business, in- Q most of eco life,” the idea of providing stead of focusing on “products” and functions of products on an as-needed basis, “manufacturing” as we did in the past. The slo- rather than just selling the products, is truly won- Satisfied Ð Usual 51 gan of Environmental Vision “ET2!” represents derful. Are you considering its business aspect or our belief in two things: continued contribution approaching industrial organizations for its pro-

This meeting was held to discuss the Environmental Sustainability Report 2001

53 Matsushita Electric Group Environmental Sustainability Report Facts & Figures

ISO14001 Certification Status 55Ð56 Prevention of Global Warming 57 Chemical Substances 58 Waste 59 Air and Water Quality 59 Recycling of End-of-life Products 59 Environmental Data from Manufacturing Sites 60Ð68

AVC Company, Matsushita Electric Industrial Co., Ltd. 60

Home Appliance & Housing Electronics Company, Matsushita Electric Industrial Co., Ltd. 60

Air-Conditioner Company, Matsushita Electric Industrial Co., Ltd. 61

Motor Company, Matsushita Electric Industrial Co., Ltd. 61

Semiconductor Company, Matsushita Electric Industrial Co., Ltd. 62

Lightning Company / Display Device Company, Matsushita Electric Industrial Co., Ltd 62

Factory Automation Company, Matsushita Electric Industrial Co., Ltd. 63

Matsushita Communication Industrial Co., Ltd. 63

Matsushita Electronic Components Co., Ltd 64

Matsushita Industrial Equipment Co., Ltd. 64

Matsushita Battery Industrial Co., Ltd. 65

Matsushita Refrigeration Company 65

Kyushu Matsushita Electric Co., Ltd. 66

Matsushita Seiko Co., Ltd. 66

Matsushita Graphic Communication Systems, Inc. 67

Matsushita Kotobuki Electronics Industries, Ltd. 67

Victor Company of Japan Ltd. 68

Matsue Matsushita Electric Co., Ltd. 68

Products Labeled with Environmental Characteristic Stickers 69Ð70 External Awards 71Ð72 Environmental Milestones 73

Matsushita Electric Group Environmental Sustainability Report 54 Facts & Figures ISO 14001 Certification Status As of March 2002

Date of Date of RegionSites of Division Companies and Affiliated Companies Major Products RegionSites of Division Companies and Affiliated Companies Major Products Registration Registration

Japan AVC Company, Matsushita Electric Industrial Co., Ltd. Japan Factory Automation Division Chip mounter 1997.8 (Manufacturing) (Manufacturing) Multiple-site Certification Group (10sites) TV, VCR, Audio equipment, DVD 1995.11 Miyazaki Matsushita Electric Co., Ltd. Ceramic capacitor, Fixed resistor 1997.12 Matsunaka Industrial Co., Ltd. Radio cassette recorder 2001.3 Kagoshima Matsushita Electric Co., Ltd. LCD module 1997.3 Home Appliance & Housing Electronics Company, Matsushita Electric Industrial Co., Ltd. Matsushita Seiko Co., Ltd. Home Utility Appliances Division Automatic washing machine, Dishwasher 1998.7 Osaka Site Air purifier, Humidifier, Dehumidifier 1998.2 Ecology & Cleaning Products Division Vacuum cleaner, Garbage disposer 1998.6 Kasugai East Site Ventilation equipment, Air-handling unit 1997.11 Cooking System Division, Kobe Site IH cooking heater, Electric pot 1998.6 Kasugai West Site Ventilation fan, Kitchen-hood 1996.12 Cooking System Division, Yashiro Site IH rice cooker 1998.4 Fujisawa Site Bath dryer, Heat exchanger unit 1998.8 Nara Site Microwave oven, Gas/kerosene equipment 1997.11 Matsushita Graphic Communication Systems, Co., Ltd. Kitchen and Bath Products Group Kitchen system, Bath system 1998.7 Shonan Site Press reporting equipment 1998.12 Air-Conditioner Company, Matsushita Electric Industrial Co., Ltd. Nagano Site Toner cartridge 1998.4 Kusatsu Site Air conditioner, Compressor 1997.10 Niigata Site Facsimile, PPC 1997.5 Kofu Site Compressor 1997.5 Utsunomiya Site Laser scanning unit 1998.3 Motor Company, Matsushita Electric Industrial Co., Ltd. Matsushita Kotobuki Electronics Industries, Ltd. Daito Site Industrial motor 1997.8 Multiple-site Certification Group (8 sites) Computer peripheral 1997.2 Takefu Site Home appliance/air conditioner motor 1998.2 Victor Company of Japan Ltd. Yonago Site IT device motor 1997.12 Headquarters / Yokohama Site Multi-layer circuit board 1998.11 Matsuzaka Electronic Circuit Co., Ltd. Industrial compact geared motor 1999.2 Hachioji Site Monitoring equipment 1997.1 Semiconductor Company, Matsushita Electric Industrial Co., Ltd. Rinkan Site CD 1997.4 Multiple-site Certification Group (4 sites) Semiconductor 1997.11 Yokosuka Site Camcorder 1997.9 Matsushita Electronic Instruments Corporation ,Takatsuki Site Shadow mask 1997.11 Mito Site DVC tape 1998.3 Matsushita Electronic Instruments Corporation ,Utsunomiya Site Semiconductor, Magnetron 1997.6 Yamato Site Card printer, DVD 1998.8 Toyo Dempa Co., Ltd., Kyoto Site Diode 1997.6 Maebashi Site Office Equipment, Car stereo 1998.8 Toyo Dempa Co., Ltd., Kameoka Site Lead frame 1997.9 Tsurugamine Site VTR equipment components 1998.12 Kumamoto Dempa Co., Ltd. Transistor 1997.9 Koriyama Site Crystal oscillator 1998.12 Lighting Company/Display Devices Company, Matsushita Electric Industrial Co., Ltd. Fujieda Site PC motor 1999.1 Takatsuki Site Fluorescent lamp, CRT, PDP 1997.11 Oyama Site Deflection yoke 1999.10 Utsunomiya Site Fluorescent lamp,CRT 1996.9 Victor Isesaki Electronic Co., Ltd. VCR circuit board 1998.12 West Electric Co., Ltd., Nagatano Site Flashtube, Backlight lamp 1998.3 Kanariya Electronic Industrial, Co., Ltd. VCR component 2001.4 Liquid Crystal Display Group LCD module 1998.2 Matsushita Environmenta land Air-Conditioning Engineering Co., Ltd. Air conditioning system, Clean system 2001.3 Factory Automation Company, Matsushita Electric Industrial Co., Ltd. Matsushita Eco Technology Center Co., Ltd. Recycling for home electric appliance 2002.3 Kofu Site Electronic components mounting equipment 1997.12 National Bicycle Industrial Co., Ltd. Bicycle 1999.5 Matsushita Electric Industrial Co., Ltd. Shinto Co., Ltd. Various pump 2001.1 Electronic Circuit Capacitor Division/Matsue Matsushita Electric Co., Ltd. Film capacitor 1998.4 Japan Matsushita Electric Industrial Co., Ltd., Headquarters 1998.9 (Non- Matsushita Fujisawa Factory Center Magnesium alloy chassis components 1997.4 manufacturing) Matsushita Electric Industrial Co., Ltd., Tokyo/Onarimon site 1998.8 Matsushita Communication Industrial Co., Ltd. Matsushita Electric Industrial Co., Ltd., Kyobashi/OBP Twin21N Tower 1999.5 Saedo Site Communications network system 1997.12 Matsushita Electric Industrial Co., Ltd., Overseas Group 1999.9 Hanamaki Site Cellular phone, PHS 1998.10 Matsushita Electric Industrial Co., Ltd., Engineering Group Multiple-site Certification Group (4 sites) 1998.8 Shizuoka Site Cellular phone 1997.12 Matsushita Electric Industrial Co., Ltd., Corporate Production Engineering Division 1998.3 Matsumoto Site Car navigation system, Car-audio equipment 1997.6 Matsushita Electric Industrial Co., Ltd., Corporate Industrial Marketing & Sales Division 2000.12 Shirakawa Site Microphone, CCVE camera 1995.12 Matsushita Electric Industrial Co., Ltd., Human Resources Development Company Hirakata Site 2000.11 Matsushita Electronic Components Co., Ltd. Shinagawa Multimedia Center 1999.12 Multiple-site Certification Group (13 sites) Various electronic components 1996.12 Matsushita Electric Industrial Co., Ltd., Home Appliance & Housing Electronics Company Mikuni Site 2001.1 High Frequency Products Business Unit Digital tuner 1997.11 Matsushita Communication Industrial Co., Ltd., Tsunashima Site 1997.12 High Frequency Products Business Unit, Motomiya Site Hybrid IC 1997.11 Matsushita Communication Industrial Co., Ltd., Research Laboratory Multiple-site Certification Group (3 sites) 2002.3 Hokkaido Matsushita Electric Co., Ltd. Multi-layer chip capacitor 1997.8 Matsushita Refrigeration Company, Osaka site 1997.4 Tsuyama Matsushita Electric Co., Ltd Touch switch 1996.12 Kyusyu Matsushita Electric Industrial Co., Ltd. 1997.12 Matsushita Nitto Electric Co., Ltd. Dielectric filter 1998.1 Matsushita Graphic Communication Systems Co., Ltd., Meguro site 2001.12 Matsushita Industrial Equipment Co., Ltd. Victor Company of Japan Ltd., Kurihama Engineering Center 1999.2 Multiple-site Certification Group (4 sites) FA equipment, Capacitor, Power distribution equipment 1998.3 Matsushita Marketing Training Institute 1999.12 Matsushita Battery Industrial Co., Ltd. Matsushita Industrial Sanitary Science Center 2000.3 Moriguchi Site A Block Battery, Battery components/equipment 1998.4 Matsushita Logistics Co., Ltd. 2000.7 Moriguchi Site B Block Lithium battery 1998.7 Japan Kibi Matsushita Co., Ltd. VCR 1998.9 (Third-Sector Chigasaki Site Nickel hydride battery, Ni-Cd battery 1998.9 Companies) Katano Matsushita Co., Ltd. Micro cassette tape 1999.1 Hamanako Site Car storage battery 1997.9 Asia Matsushita Refrigeration Industries (S) Pte. Ltd. Refrigerator compressor 1996.11 Oceania Wakayama Site Nickel hydride battery, Ni-Cd battery 1998.3 Matsushita Electronics (S) Pte. Ltd. Mini component stereo 1997.2 (Manufacturing) Matsushita Refrigeration Company Matsushita Electric Motor (S) Pte. Ltd. Micro electric motor 1998.12 Refrigerator Division, Kusatsu Site Refrigerator 1997.2 Matsushita Electronic Components (S) Pte. Ltd. Various electronic components 1998.4 Fujisawa Site Refrigerator, Refrigerator compressor 1997.4 Matsushita Semiconductor Singapore Pte. Ltd. Semiconductor 1997.12 Food Solution Business Vending machine, Food industry-related equipment 1997.10 Matsushita Kotobuki Electronics Industries Singapore Pte. Ltd. HDD 1998.9 Cooling Device Division Refrigerator heat exchanger 1997.10 JVC Electronics Singapore Pte. Ltd. Audio equipment 1998.12 Mana Precision Casting Co., Ltd. Cast metal components 1998.12 Matsushita Electric Co., (M) Bhd. SA1 TV, battery 1998.11 Kyushu Matsushita Electric Co., Ltd. Matsushita Electric Co., (M) Bhd. SA2 Vacuum cleaner, Electric fan 1996.12 Joshima Site Well pumping equipment 2002.2 Matsushita Electric Co., (M) Bhd. BNG Washing machine, Refrigerator 1997.8 Saga Site Printer 1997.7 Matsushita Electric Co., (M) Bhd. PK Electric iron base 1998.12 Devices and Components Division, Taimei Site Deflection yoke 1997.10 Matsushita Industrial Corporation Sdn. Bhd. Window-type air conditioner 1997.10 Devices and Components Division, Oita Site Electric motor 1998.3 Matsushita Air-Conditioning Corporation Sdn. Bhd. Separate-type air conditioner 1997.6 Telecom Division, Nagasaki Site Facsimile 1997.10 Matsushita Compressor and Motor Sdn. Bhd. 1 Compressor 1997.12 Telecom Division, Chikugo Site Cordless phone 1997.11 Matsushita Compressor and Motor Sdn. Bhd. 2 Motor 1998.2 Kikusui Site CD-R/RW, COMBO drive 1998.3 Matsushita Compressor and Motor Sdn. Bhd. 3 Compressor 1997.12

55 Matsushita Electric Group Environmental Sustainability Report Facts & Figures • ISO 14001 Certification Status Date of Date of RegionSites of Division Companies and Affiliated Companies Major Products RegionSites of Division Companies and Affiliated Companies Major Products Registration Registration

Asia Matsushita Electronic Components (M) Sdn. Bhd. Various electronic components 1998.10 China Matsushita Audio (Xiamen) Co., Ltd. Mini component stereo, Personal headphone stereo 1997.12 Oceania (Manufacturing) Matsushita Electronic Devices (M) Sdn. Bhd. Various electronic components 1998.10 China Air-Conditioner Group Air conditioner, Compressor 1998.8 (Manufacturing) Kyushu Matsushita Electric (Malaysia) Sdn. Bhd. Deflection yoke 1997.10 Matsushita-Wanbao (Guangzhou) Electric Iron Co., Ltd. Electric iron 1998.12 Matsushita Television and Network Systems Co., (Malaysia) Sdn. Bhd. TV 1997.1 JVC Guangzhou Electronics Co., Ltd. Electronic components 1999.11 Matsushita Electronic Motor (Malaysia) Sdn. Bhd. AV/OA motor 1998.4 Shunde Matsushita Seiko Co., Ltd. Ventilation fan, Ceiling fan 1998.9 Matsushita Precision Capacitor (M) Sdn. Bhd. Film capacitor 1998.12 Xinhui Matsushita Industrial Equipment Co., Ltd. Capacitor for home appliance 1998.12 Matsushita Foundry Industries Sdn. Bhd. Precision casting components 1998.6 Zhuhai Matsushita Electric Motor Co., Ltd. Motor for home appliance 1998.10 Matsushita Refrigeration Industries (M) Sdn. Bhd. Refrigerator compressor 1998.5 Zhuhai Matsushita Battery Co., Ltd. Lithium battery, Nickel hydride battery 1998.9 Matsushita Display Device Corporation (M) Sdn. Bhd. CRT 2000.6 Matsushita Electronic Components (H.K.) Co., Ltd. Various electronic components 1999.4 Toyodempa Malaysia Sdn. Bhd. Semiconductor, Micro components 1998.12 North America Matsushita Television and Network Systems de Baja California,S.A. de C.V. TV 1998.5 (Manufacturing) Matsushita Audio Video (M) Sdn. Bhd. Radio cassette recorder 1997.2 Matsushita Display Devices Company of America CRT 1997.12 Philips and JVC Video Malaysia Sdn. Bhd. VCR 1999.5 Matsushita Electric of Puerto Rico, Inc. Speaker box 1999.3 JVC Electronics Malaysia Sdn. Bhd. Audio equipment 1999.5 Matsushita Home Appliance Company of America Vacuum cleaner 1999.2 NTC Group TV, Electronic components, Electric fan 1998.7 Matsushita Communication Industrial Corporation of U.S.A. Business telephone system, Car audio 1998.11 Matsushita Battery (THAILAND) Co., Ltd. Battery, Car storage battery 1998.7 Matsushita Electronic Components Corporation of America Electrolytic capacitor 1997.8 Matsushita Home Appliance (THAILAND) Co., Ltd. Washing machine, Rice cooker 1998.7 Matsushita Electronic Components de Baja California, S.A. de C.V. Electronic tuner 1998.4 Matsushita Refrigeration Company (THAILAND) Ltd. Heat exchanger 1998.7 Matsushita Battery Industrial Corporation of America (LD) Lithium battery 1999.1 JVC Manufacturing Co., Ltd. Fly-back transformer 1999.4 Matsushita Battery Industrial Corporation of America (MD) Battery components 1999.1 JVC Components Co., Ltd. AV motor 2000.1 Matsushita-Ultra Tech. Battery Corporation Battery 1999.1 Matsushita Electronic Philippines Corporation TV, Refrigerator, Air conditioner 1998.5 Matsushita Battery Industrial de Baja California, S.A. de C.V. Ni-Cd battery, Nickel hydride battery 1998.4 Matsushita Communication Industrial Corporation of the Philippines FDD, ECM(Microphone) 1997.12 Matsushita Refrigeration Company of America Refrigerator compressor 1998.6 P.T. National Gobel TV, Refrigerator, Air conditioner 1998.1 Kyushu Matsushita Electric de Baja California, S.A. de C.V. Deflection yoke 1998.2 P.T. Matsushita Gobel Battery Industry Battery, Battery application equipment 1997.2 Matsushita Kotobuki Electronics Industries of America Inc. TV-video combo unit 1999.2 P.T. Matsushita Kotobuki Electronics Industries Indonesia VTR 1998.6 Panasonic Disc Services Corporation DVD disc 1999.4 P.T. Batam Matsushita Battery Ni-Cd battery, Solar battery 1998.1 Matsushita Electric Motor Company of America Electric motor 1999.3 P.T. Panasonic Gobel Electronic Components Various electronic components 1999.3 Matsushita Electronic Components de Tamaulipas, S.A. de C.V. Car speaker 2000.1 P.T. Matsushita Semiconductor Indonesia Semiconductor 2000.7 Matsushita Industrial Equipment Corporation of America Capacitor for home appliance 2000.5 P.T. Matsushita Lighting Indonesia Fluorescent lamp 1999.12 Matsushita Battery Industrial de Mexico, S.A. de C.V. Rechargeable sealed lead-acid battery 2001.12 P.T. Matsushita Kotobuki Electronics Peripherals Indonesia HDD magnetic head 1999.11 Matsushita Communication Industrial de Mexico, S.A. de C.V. Car audio equipment 1997.12 P.T. JVC Electronics Indonesia Car stereo, Audio equipment 1999.5 Matsushita Avionics Systems Corporation Avionics 2001.1 Matsushita Electric Vietnam Co., Ltd. TV, Audio equipment 2001.10 JVC Magnetics America Co. Videotape 2000.3 JVC Vietnam Ltd. TV 2001.4 JVC Disc America (Atlanta) Fulfillment 2000.6 Matsushita Electric Co., (Australia) Pty. Ltd. TV 1998.1 JVC Disc America (Tuscaloosa) CD 2000.8 Indo National Ltd. Battery 1998.2 JVC Disc America (Sacramento) CD 2000.11 Indo Matsushita Carbon Co., Ltd. Carbon rod for battery 1998.4 Panasonic de Mexico, S.A. de C.V. TV, Stereo set 1999.2 Matsushita Lakhanpal Battery India Ltd. Battery 1997.12 JVC Industrial De Mexico S.A.De C.V. TV 1997.4 Indo Matsushita Appliances Co., Ltd. Rice cooker, Blender 1998.12 Panasonic Peruana S.A. Battery 1998.11 Matsushita Washing Machine India Pvt. Ltd. Washing machine 2001.1 Panasonic Centroamericana S.A. Battery 1999.3 Matsushita Television & Audio India Limited TV, Audio equipment 2001.2 Panasonic de Brasil Ltda. Battery 1999.3 Matsushita Electric (Taiwan) Co., Ltd. TV, VTR 1997.5 Panasonic da Amazonia S.A. TV, Microwave oven 1998.10 Panasonic Computer (Taiwan) Co., Ltd. Personal computer 1997.4 Panasonic Componentes Electronicos do Brasil Ltda. Various electronic components 1999.3 Taimatsu Industrial Co., Ltd. Carbon rod for battery 1998.7 Europe Matsushita Electric (U.K.) Ltd. TV, Microwave oven 1997.7 (Manufacturing) Kuang Yuan Co., Ltd. Deflection yoke, Fly-back transformer 1998.4 Kyushu Matsushita Electric (U.K.) Ltd. PBX, Telephone-related equipment 1996.9 China Beijing Matsushita Color CRT Co., Ltd. CRT 1996.12 Matsushita Communication Industrial (U.K.) Ltd. Cellular phone 1996.7 (Manufacturing) Beijing Great Wall Matsushita Seiko Airconditioning Equipment Co., Ltd. Air-handling unit, Fan coil 1998.11 Matsushita Electronic Components (U.K.) Ltd. Speaker, Transformer, Coil 1999.3 Beijing Matsushita Electronic Components Co., Ltd. Tuner 1998.5 Matsushita Electronic Magnetron Corporation (U.K.) Ltd. Magnetron 1997.5 Beijing Matsushita Precision Capacitor Co., Ltd. Film capacitor 1998.12 JVC Manufacturing U.K. Limited TV, Audio equipment 1998.4 Beijing Matsushita Communication Equipment Co., Ltd. Cellular phone 1998.11 Matsushita Audio Video (Deutschland) GmbH VTR, CD player 1997.12 JVC Beijing Electronics Industries Co., Ltd. VCR 1999.9 Matsushita Electronic Components (Europe) GmbH Tuner, Power supply unit 1999.4 Tianjin Matsushita Electronic Components Co., Ltd. Fixed resistor, Capacitor 1999.1 Matsushita Communication Deutschland GmbH Car audio equipment 1997.2 Tangshan Matsushita Industrial Equipment Co., Ltd. Welding equipment 1998.11 Matsushita Display Devices (Germany) GmbH CRT 1999.4 Shenyang Matsushita Storage Battery Co., Ltd. Rechargeable sealed lead-acid battery 1998.12 JVC Video Manufacturing Europe GmbH VCR 1999.12 China Hualu Matsushita AVC Co., Ltd. VCR 1998.6 Matsushita Battery Belgium N.V. Battery 1998.11 Dalian Matsushita Communication Industrial Co., Ltd. Car audio equipment 1998.12 Matsushita Battery Poland S.A Battery 1998.11 Anyang Matsushita Carbon Co., Ltd. Carbon rod for battery 1999.2 Matsushita Electric Espana S.A. Vacuum cleaner, Audio equipment 1998.5 Shangdong Matsushita Television and Visual Co., Ltd. TV 1998.11 Matsushita Electronic Components (Slovakia)s.r.o. Tuner, Power transformer 2000.7 Qingdao Matsushita Electronic Components Co., Ltd. Touch switch 1997.12 Matsushita Television Central Europe s.r.o. TV 1998.11 Qingdao Matsushita Electronic Components (Free Trade Zone) Co., Ltd. Touch switch 2000.8 Overseas Matsushita Electric Asia Pte. Ltd. 1999.5 Wuxi Matsushita Refrigeration Compressor Co., Ltd. Refrigerator compressor 1998.10 (Non- Matsushita Technology (S) Pte. Ltd. 1997.12 Manufacturing) Wuxi Matsushita Refrigeration Co., Ltd. Refrigerator 1998.10 Panasonic Singapore Laboratories Pte. Ltd. 1999.3 Hangzhou Matsushita Gas Appliances Co., Ltd. Gas cooker 1998.12 Matsushita Compressor & Motor R&D Centre Sdn. Bhd. 1999.12 Hangzhou Matsushita home Appliance Co., Ltd. Washing machine 1997.12 Matsushita Air-Conditioning R&D Centre Sdn. Bhd. 1998.10 Hangzhou Matsushita Motor Co., Ltd. Compact home appliance motor 1998.12 A.P. National Sales Co., Ltd. 1999.9 Hanzhou Matsushita Kitchen Appliances Co., Ltd. Rice cooker 1999.12 Siew-National Co., Ltd. 1999.9 Shanghai Matsushita Battery Co., Ltd. Battery 1998.4 Matsushita Seiko Hong Kong International Manufacturing Co., Ltd. 1999.2 Shanghai Matsushita Semiconductor Co., Ltd. Semiconductor 1998.12 Matsushita Electric Corporation of America 2000.3 Shanghai Matsushita Electronic Instrument Co., Ltd. Magnetron 1998.6 Matsushita Technology Corporation of America 1999.4 Shanghai Matsushita Microwave Oven Co., Ltd. Microwave oven 1998.6 Note: Sites that have been updated by 3rd year audits are marked with . JVC Shanghai Electronics Industries Co., Ltd. DVD 1998.6 Suzhou Matsushita Communication Industrial Co., Ltd. CCVE camera 1998.10

Matsushita Electric Group Environmental Sustainability Report 56 Facts & Figures Prevention of Global Warming

Energy Consumption Crude oil and Kerosene Consumption (1010MJ) (thousand kl) Crude oil Kerosene 80.3 80.2 3.676 77.9 3.522 3.520 3.589 3.502 100% 104% 100% 97% 73.4 100% 100% 102% 99% Base year: 91% 66.6 Base year: FY 1997 83% FY 1997

Crude oil equivalent (million kl) 0.91 0.91 0.927 0.95 0.904 7.3 6.7 7.9 8.2 6.9 0 0 (Japan) 9798 99 00 01 (Japan) 97 98 99 00 01

Purchased Power Consumption City Gas Consumption (million kWh) (million m3) 123.8 2,468 2,425 2,435 2,406 143% 100% 98% 99% 97% 2,198 Base year: 106.0 89% 96.4 122% FY 1997 92.3 111% 86.6 107% 100% Base year: FY 1997

0 0 (Japan) 97 98 99 00 01 (Japan) 97 98 99 00 01

2 Electricity Produced by Cogeneration CO2 Emissions per Unit of Joule (based on consumption* ) (million kWh) (kg-CO2/100MJ) 510 7.62 472 100% 7.37 Base year: 7.31 372 FY 1997 97% 330 96% 7.12 300 93% 6.89 90%

Percentage in total power consumption*1 11% 12% 13% 16% 19%

0 6 (Japan) 97 98 99 00 01 (Japan) 97 98 99 00 01

Energy Consumption in the Global Regions Note: In Japanese facilities, we work to curb the consumption of energy such as crude oil by implementing Energy Consumption cogeneration systems powered by city gas, and by utilizing exhaust heat. As a result, energy Purchased Electricity CO2 Emissions (crude oil equivalent) consumption in terms of CO2 emissions per unit of joule has decreased. (million kWh) (million kl) (million ton-CO2) *1 Percentage of Cogeneration in Total Electricity = Cogenerated Electricity Japan 2,198 0.904 1.404 /(Purchased Electricity + Cogenerated Electricity) *2 CO2 Emissions per Unit of Joule (based on consumption) Americas 609 0.218 0.535 An index showing the amount of CO2 emissions per 100 MJ of heat based on energy consumption by calculating 1kWh of electricity as 3.60MJ (860kcal). As for Energy Consumption, 1kWh of electricity is calculated as Europe 134 0.047 0.097 10.26MJ (2,450kcal) input base.

China 394 0.137 0.483

Asia and Oceania 1,068 0.324 0.765

57 Matsushita Electric Group Environmental Sustainability Report Facts & Figures Facts & Figures Chemical Substances • Prevention of Global Warming/Chemical Substances Release and Transfer of Chemical Substances (Japan/unit: tons)

Release and transfer 1 3 4 5 Substance group* Total Eliminated* Recycled* Consumed* 2 Released into water Released into air Transferred as waste* Subtotal Toluene 844.806 0.895 155.059 16.244 172.198 379.377 289.677 3.554 Xylene 165.878 4.108 79.406 16.798 100.312 39.805 23.069 2.692 Manganese and its compound 7,764.302 0.337 0.034 78.486 78.857 0.004 139.540 7,545.901 PFCs 61.818 0.000 46.311 0.090 46.401 1.701 0.005 13.711 Hydrogen fluoride and its water-soluble salt 107.859 9.446 0.412 20.460 30.318 50.218 25.114 2.209 Oxalic acid 74.053 2.564 0.000 27.274 29.838 0.000 44.215 0.000 Silicon carbide 32.969 0.000 0.000 27.061 27.061 0.000 5.908 0.000 N,N-dimethylformamide 26.630 0.438 0.310 23.197 23.945 1.316 1.107 0.262 Zirconium and its compound 26.531 0.000 0.003 20.074 20.077 0.000 2.838 3.616 Lead and its compound 43,226.498 0.015 0.180 13.834 14.029 0.060 1,304.699 41,907.710 Copper water-soluble salt (except complex salt) 510.644 0.008 0.000 13.513 13.521 94.775 394.866 7.482 Bis(2-ethylhexyl) phthalate 58.108 0.000 11.980 0.344 12.324 0.011 13.480 32.293 Halogenous flame-retardants 389.203 0.000 0.000 10.597 10.597 0.000 7.389 371.217 Ethylbenzene 13.390 0.000 7.680 2.320 10.000 3.018 0.195 0.177 Zinc water-soluble compound 985.575 0.089 0.018 9.318 9.425 0.075 52.606 923.469 HFCs 647.271 0.000 6.889 1.028 7.917 5.285 0.006 634.063 Aluminum compounds (soluble salts) 2,182.339 1.586 0.000 5.801 7.387 3.600 2,171.127 0.225 HCFCs 506.363 0.000 4.784 1.889 6.673 2.847 0.121 496.722 Barium and its water-soluble compound 97.948 0.137 0.001 6.342 6.480 0.002 1.507 89.959 Polymer of 4,4'-isopropylidenediphenol and 1-chloro-2,3-epoxypropane 133.499 0.000 1.216 4.361 5.577 0.000 0.754 127.168 Tetrahydromethylphthalic anhydride 79.751 0.000 0.010 5.367 5.377 0.000 0.372 74.002 2-aminoethanol 375.517 0.388 3.450 1.107 4.945 120.267 250.254 0.051 Antimony and its compound 249.899 0.000 0.041 4.120 4.161 0.016 24.378 221.344 Styrene 62.493 0.000 3.916 0.076 3.992 0.000 0.081 58.420 Boron and its compound 13.637 1.223 0.393 2.167 3.783 0.752 3.408 5.694 Nitrogen oxides 8.545 0.000 3.734 0.036 3.770 2.452 0.000 2.323 2-amino-5-nitrobenzonitrile 3.742 0.000 3.742 0.000 3.742 0.000 0.000 0.000 Formaldehyde 12.172 0.264 0.737 2.661 3.662 8.411 0.003 0.096 Ethyl cellosolve 3.688 0.124 1.073 2.372 3.569 0.089 0.030 0.000 Ethylene glycol 1,107.344 0.382 0.131 2.867 3.380 0.000 167.806 936.158 Methylenebis(4,1-phenylene) diisocyanate 1,566.936 0.000 0.054 3.182 3.236 0.000 0.000 1,563.700 PVC and its compound 145.499 0.000 0.000 3.025 3.025 4.900 8.311 129.263 Hydrogen chloride (gas) 9.768 0.000 2.360 0.143 2.503 7.039 0.000 0.226 Tetrahydrofuran 3.663 0.000 2.383 0.086 2.469 0.000 0.151 1.043 Sulfur hexafluoride 3.242 0.000 2.422 0.000 2.422 0.020 0.000 0.800 Nickel compound 698.991 0.004 0.060 2.083 2.147 0.012 438.901 257.931 Butyl methacrylate 1.723 0.000 1.688 0.000 1.688 0.000 0.010 0.025 Tungsten compound 6.419 0.000 1.674 0.000 1.674 0.009 0.050 4.686 1,3,5-trimethylbenzene 2.865 0.000 1.339 0.078 1.417 0.814 0.000 0.634 Nickel 1,107.744 0.008 0.032 1.338 1.378 0.000 232.846 873.520 Cyclohexylamine 1.196 0.036 0.112 1.048 1.196 0.000 0.000 0.000 Others (82 substance groups) 3,295.548 0.143 1.815 8.164 10.122 26.528 512.311 2,746.587 Total 66,616.063 22.194 345.452 338.950 706.596 753.404 6,117.132 59,038.931 Note:The table shows substance groups that are released and transferred more than 1 ton. Totals may not match the sum of individual items due to rounding. *1 "Substance Groups" includes those listed in the Matsushita Chemical Substances Management Rank Guidelines (Version2) covering all substances listed in the Japanese PRTR Law. *2 "Transferred as waste" includes the mass of substances transferred as waste, as well as wastewater discharge into the sewage system. *3 "Eliminated" refers to the mass of substances that turned into other substances through neutralization, decomposition, or chemical reaction treatments. *4 "Recycled" includes paid recycling, as well as free and inverse onerous contract. *5 "Consumed" refers to the mass of substances, which are contained in or accompanying products shipped out of factories.

Use and Release/Transfer of Chemical Substances in the Global Regions Material Balance of Chemical Substances (Japan/unit: tons) Top figures: FY 2001 Total use Released and transferred Total Eliminated Recycled (tons) (tons) 66,616 753 6,117 Bottom figures: FY2000 77,545 994 9,821 Japan 66,616 707 Shipped as products Americas 17,273 949 59,039 65,683

Europe 16,359 206

China 27,868 1,068 Released into water Released into air Transferred as waste Asia and Oceania 59,397 3,057 22 345 339 30 415 602

Matsushita Electric Group Environmental Sustainability Report 58 Facts & Figures Waste Air and Water Quality

(Japan) (Japan) Generated Waste and Final Disposal Waste (Unit: tons) Emissions to the Air and Water (Unit: tons) Generation Recycling Final disposal Item Total NOx Emissions 2,090 00 01 00 01 00 01 Air Metal 70,505 57,005 70,302 56,691 60 112 Total SOx Emissions 276 Acid 65,146 44,371 63,683 41,912 35 104 COD Load 362 Plastics 22,284 21,923 14,315 17,717 3,064 1,237 Water Paper 18,696 18,597 15,572 16,364 532 208 Nitrogen Load 1,634

Sludge 21,762 16,510 16,969 13,103 3,221 1,894 Phosphorus Load 59 Alkali 8,161 11,721 7,545 7,200 79 52 Glass / Ceramics 8,845 7,821 7,482 7,389 898 338 Oil 6,936 5,841 5,504 4,987 107 78 Others 9,024 9,549 6,724 7,388 967 199 Total 231,359 193,338 208,096 172,751 8,963 4,222

Waste in Global Regions (Unit: tons) Generation Recycling Final disposal Recycling Rate

Japan 193,338 172,751 4,222 97.6%

Americas 50,126 33,345 15,881 67.7%

Europe 20,871 14,047 5,256 72.8%

China 56,603 43,757 8,019 84.5%

Asia and Oceania 107,908 75,449 28,845 72.3%

The status of overall recycling conducted by Matsushita Electric Industrial Co., Ltd. as a manufacturer during Recycling of End-of-life Products April 1, 2001 to March 31, 2002 under the Specific Household Appliance Recycling Law*. *Appliances subject to the law are air conditioners, TVs, refrigerators, and washing machines.

Overview of Recycling for Specific Household Appliances (Numbers after the decimal point are truncated.) Air conditioner Television Refrigerator Washing machine

1 Collected units at designated points (thousand units)* 223 655 528 393 1 2 Treated units for recycling (thousand units)* * 218 635 520 386 2 Treated amount for recycling (tons)* 9,966 17,892 31,746 11,577 Recycled amount (tons) 7,527 11,962 18,366 6,534 Recycling rate (%) 75 66 57 56 *1 "Collected units at designated points" and "Treated units for recycling" does not include wrongly delivered units whose responsible manufacturers are unknown. *2 "Treated units for recycling" and "Treated amount for recycling" refer to the total number of units and total weight of specific household appliances that have been treated for recycling in 2001.

Total amount of materials treated for paid or free recycling to be reused (Unit: tons) (Numbers after the decimal point are truncated.) Air conditioner Television Refrigerator Washing machine Iron 4,860 1,539 15,355 5,866 Copper 247 504 49 49 Aluminum 209 60 3 19 Nonferrous metal and iron mixture 2,162 45 2,848 573 Cathode ray tube glass — 9,353 — —

3 Other by-products with value* 49 461 111 27 Total 7,527 11,962 18,366 6,534 *3 "Other by-products with value" refers to printed circuit boards and other plastics.

Total amount of collected refrigerants (Unit: kg) (Numbers after the decimal point are truncated.) Air conditioner Television Refrigerator Washing machine Total 90,084 — 24,066 —

59 Matsushita Electric Group Environmental Sustainability Report Facts & Figures Facts & Figures NOx: Nitrogen oxides SOx: Sulfur [sulphur] oxides P.M.:Particulate matter Environmental Data from Manufacturing Sites pH:Hydrogen ion concentration BOD: Biochemical oxygen demand COD: Chemical oxygen demand SS: Suspended solids concentration • Waste/Air and Water Quality/Recycling of End-of-life Products/Environmental Data from Manufacturing Sites AVC Company, Matsushita Electric Industrial Co., Ltd. Major Products: AV core associated equipments, Avionics associated equipments, Car associated equipments Kadoma Site (North) Location: 2-15 Matsuba-cho, Kadoma, Osaka, Japan

NOX 13.1 Nitrogen 240 8.8 8.8 1/year Antimony pentaoxide 2.3 0 0 0 0 0 0 2.3 Phosphorus 32 1.2 1.2 1/year Methyl methacrylate 2.0 0 0 0 0 0 0 2.0 Total Emissions to Water (Unit: tons/year) Chromium and chromium • Iodine consumption 220 10 10 1/year (III) compound 1.7 0 0 0 0.6 1.0 0 0.1 Item Total Measurements are from major drainage pipes. Chloroform 1.0 0 0 0 1.0 0 0 0 COD 3.7 "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" The following Health Category substances were below Nitrogen 8.65 refers to the volume of substances that turned into other substances through neutralization, quantification limit and regulation value: decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Phosphorus 0.19 cadmium/compound, cyanic compound, organic substances, which are contained in or accompanied with products and transported outside the phosphorus compound, lead/compound, hexavalent Data does not include drainage into the sewage system particular plant chromium, arsenic, total mercury, alkyl mercury compound, PCB, trichloroethylene, Odor Note • tetrachloroethylene, dichloromethane, carbon Regulation: Standards set by laws and regulations Violation of standards and its description tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Ð : Not subject to regulation standards or no actual measurement cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- No violation ND (not detectable): Values are lower than the minimum quantifiable limit trichloroethane, 1,3-dichloropropene, thiuram, Frequency of measurement is shown as: (number of times measured) / (time period) simazine, thiobencarb, benzene, selenium/compound, Noise & Vibration *1 There are no SOx emissions from facilities powered by city gas (13A). • boron/compound, fluorine/compound. Violation of standards and its description Note:" /compound" stands for " and its compound" Violation due to loud background noise

Home Appliance & Housing Electronics Company, Matsushita Electric Industrial Co., Ltd. Major Products: Microwaves, Gas and petrol equipments, Electric heating equipments Nara Site Location: 800 Tsutsui-cho, Yamato-koriyama, Nara, Japan

NOX 4.8 Nitrogen 240 3.2 3.2 1/year Bis(2-ethylhexyl) phthalate 31.2 0 0 0 0 0 0 31.2 Phosphorus 32 14 14 1/year Chromic(III) oxide 23.2 0 0 0 0 0.6 0 22.6 (Unit: tons/year) Total Emissions to Water Measurements are from major drainage pipes. Polymer of 4,4'-isopropylidenediphenol • and 1-chloro-2,3-epoxypropane 20.0 0 0 0 0 0 0 20.0 Item Total Acetonitrile pentaoxide The following Health Category substances were below 18.4 0 0 0 0 0.6 0 17.8 COD — quantification limit and regulation value: N,N-dimethylformamide 21.5 21.5 0 0 0 0 0 0 Nitrogen — cadmium/compound, cyanic compound, organic phosphorus compound, lead/compound, hexavalent Others 47.2 1.1 0 0 8.3 0.1 0 37.7 Phosphorus — chromium, arsenic/compound, total mercury, alkyl "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Data does not include drainage to the sewage system. mercury compound, PCB, trichloroethylene, refers to the volume of substances that turned into other substances through neutralization, tetrachloroethylene, dichloromethane, carbon decomposition, or chemical reaction treatments. "Consumed" refers to the volume of •Odor tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, substances, which are contained in or accompanied with products and transported outside the Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- particular plant. trichloroethane, 1,3-dichloropropene, thiuram, simazine, No violation thiobencarb, benzene, selenium/compound, Note boron/compound, fluorine/compound, ammonia and Regulation: Standards set by laws and regulations Noise & Vibration ammonium compounds, nitrite and nitric compounds Ð : Not subject to regulation standards or no actual measurement • (nitrogen). ND (not detectable): Values lower than the minimum quantifiable limit Violation of standards and its description Frequency of measurement is shown as: (number of times measured) / (time period) Note:" /compound" stands for " and its compound" No violation *1 There are no SOx emissions from facilities powered by city gas (13A).

Matsushita Electric Group Environmental Sustainability Report 60 Facts & Figures

Air-Conditioner Company, Matsushita Electric Industrial Co., Ltd. Major Products: Air conditioners, Air conditioner compressors, Car air conditioner compressors Kusatsu Site Location: 2-3-1-1 Noji Higashi, Kusatsu, Shiga, Japan

NOX 1.8 Nitrogen 60 33.1 50.4 1/month N,N-dimethylformamide 250.0 128.0 0 0 122.0 0 0 0 Phosphorus 10 0.58 1.21 1/month Lead 240.0 0 0 0 0 0 0 240.0 Total Emissions to Water (Unit: tons/year) • Iodine consumption 220 20.9 36.3 1/month Dioxane 143.0 143.0 0 0 0 0 0 0 Item Total Measurements are from major drainage pipes. Ethylenediaminetetraacetic acid 100.0 0 0 100.0 0 0 0 0 COD 0.8 Boron 99.0 0 0 89.1 9.9 0 0 0 Nitrogen 0.3 The following Health Category substances were below quantification limit and regulation value:cadmium and Manganese 88.1 0 0 0 0 0 0 88.1 Phosphorus 0 its compound, cyanic compound, organic phosphorus Others 249.5 13.3 0 140.4 24.6 0 0 71.2 Data does not include drainage into the sewage system. compound, lead/compound, hexavalent chromium, arsenic/compound, total mercury, alkyl mercury "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Odor compound, PCB, trichloroethylene, refers to the volume of substances that turned into other substances through neutralization, • tetrachloroethylene, dichloromethane, carbon decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Violation of standards and its description tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, substances, which are contained in or accompanied with products and transported outside the No violation cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- particular plant. trichloroethane, 1,3-dichloropropene, thiuram, Noise & Vibration simazine, thiobencarb, benzene, selenium/compound, Note • boron/compound, fluorine/compound, ammonia and Regulation: Standards set by laws and regulations Violation of standards and its description ammonium compounds, nitrite and nitric compounds Ð : Not subject to regulation standards or no actual measurement (nitrogen), antimony, Nickel. ND (not detectable): Values lower than the minimum quantifiable limit No violation Frequency of measurement is shown as: (number of times measured) / (time period) Note:" /compound" stands for "and its compound" *1 There are no SOx emissions from facilities powered by city gas (13A).

Motor Company, Matsushita Electric Industrial Co., Ltd. Major Products: Air conditioning motors, Electric appliance and equipment motors, Fan motors, Industrial motors, Electric bicycle motors Takefu Site Location: 20-1 Imajuku-cho, Takefu, Fukui, Japan

NOX 139.9 Nitrogen — — — — 4,4'-isopropylidenediphenol 64.1 64.1 0 0 0 0 0 0 Phosphorus — — — — 1,1,1,2-tetrafluoroethane 30.0 30.0 0 0 0 0 0 0 (Unit: tons/year) Total Emissions to Water Measurements are from major drainage pipes. Methylenebis • (4,1-phenylene) diisocyanate 22.1 22.1 0 0 0 0 0 0 Item Total 2-imidazolidinethione The following Health Category substances were below 13.2 13.2 0 0 0 0 0 0 COD — quantification limit and regulation value: Formaldehyde 8.9 8.9 0 0 0 0 0 0 Nitrogen — cadmium/compound, cyanic compound, organic phosphorus compound, lead/compound, hexavalent Silver 4.5 0 0 0 0 0 0 4.5 Phosphorus — chromium, arsenic/compound, total mercury, alkyl "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Data does not include drainage into the sewage system. mercury compound, PCB, trichloroethylene, refers to the volume of substances that turned into other substances through neutralization, tetrachloroethylene, dichloromethane, carbon decomposition, or chemical reaction treatments. "Consumed" refers to the volume of •Odor tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, substances, which are contained in or accompanied with products and transported outside the Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- particular plant. trichloroethane, 1,3-dichloropropene, thiuram Not subject to measurement simazine, thiobencarb, benzene, selenium/compound. Note Regulation: Standards set by laws and regulations Note:" /compound" stands for "and its compound" Noise & Vibration Ð : Not subject to regulation standards or no actual measurement • ND (not detectable): Values lower than the minimum quantifiable limit Violation of standards and its description Frequency of measurement is shown as: (number of times measured) / (time period) No violation

61 Matsushita Electric Group Environmental Sustainability Report Facts & Figures • Environmental Data from Manufacturing Sites Semiconductor Company, Matsushita Electric Industrial Co., Ltd. Major Products: System LSIs, CCDs, Analog LSIs Tonami site Location: 271 Higashi-kaihatsu, Tonami, Toyama, Japan

NOX 183.7 Nitrogen 25 2.0 4.9 1/month Difluoromethane 43.6 30.5 0 0 0 0 0 13.1 Phosphorus 2 0.6 2.0 1/month Hydrogen chloride (gas) 27.3 0 0 0 19.1 0 0 8.2 (Unit: tons/year) Total Emissions to Water Measurements are from major drainage pipes. Poly(oxyethylene) • alkyl ether 16.0 0 0 0 0 0 16.0 0 Item Total Boron trifluoride The following Health Category substances were below 12.7 0 0 0 12.6 0 0 0.1 COD 2.6 quantification limit and regulation value: Arsenic 5.6 0 0 0 5.5 0 0 0.1 Nitrogen 3.1 cadmium/compound, cyanic compound, lead/compound, hexavalent chromium, Diborane 2.5 1.7 0 0 0 0 0 0.8 Phosphorus 0.9 arsenic/compound, total mercury, trichloroethylene, Arsine 1.5 0 0 0 1.5 0 0 0 Data does not include drainage into the sewage system. tetrachloroethylene, dichloromethane, carbon tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, N,N-dimethyl acetamide 1.2 0 0.1 0 1.0 0 0.1 0 •Odor cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Violation of standards and its description trichloroethane, 1,3-dichloropropene, benzene, refers to the volume of substances that turned into other substances through neutralization, selenium/compound, boron/compound, decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Not subject to measurement fluorine/compound, ammonia and ammonium substances, which are contained in or accompanied with products and transported outside the compounds, nitrite and nitric compounds (nitrogen). particular plant. Noise & Vibration • Note:" /compound" stands for "and its compound" Note Violation of standards and its description Regulation: Standards set by laws and regulations Ð : Not subject to regulation standards or no actual measurement No violation ND (not detectable): Values lower than the minimum quantifiable limit Frequency of measurement is shown as: (number of times measured) / (time period) *1 The values in ( ) indicate daily average.

Lightning Company/Display Device Company, Matsushita Electric Industrial Co., Ltd. Major Products: Fluorescent lamps, Bulbs, CRTs, Plasma display panels Takatsuki Site Location: 1-1 Saiwai-cho, Takatsuki, Osaka, Japan

(Conforming to the Water Pollution Law and (Matsushita Chemical Substances •Air (Conforming to the Air Pollution Control Law and other regulations and agreements) •Water other regulations and agreements) (Unit:mg/ ) •Chemical Substances Management Rank Guidelines: Version 2) (Unit: kg/year) Actual Measurement Actual Measurement Released Transferred Item Facility Regulation Item Regulation Substance Total Recycled Eliminated Consumed Frequency of Frequency of Average Maximum measurement *2 Average Maximum measurement Air Water Sewage Waste Continuous glass 1,300 738 763 2/year pH (7 as neutral) 5.8Ð8.6 7.0 7.5 more than1 Toluene 52,229 1,982.9 0 0 3,165.6 46,798 282.7 0 NOX melting furnace /year CRT exhaust more than1 (ppm) furnace 240 146 164 2/year BOD 15(10) 3.9 9 /year Antimony trioxide 49,200 0 0 0 0 0 0 49,200 *1 Compact through more than1 flow boiler 60 33 38 2/year COD 15(10) 3.7 15 /year Lead(II) monoxide 43,705 0 4.3 3.0 4.6 8,619.8 0 35,073 Continuous glass more than1 Other bromic melting furnace <0.01 <0.01 2/year SS 50(40) 6.0 43 /year flame retardant 26,418 0 0 0 0 2,113.5 0 24,304 K-value SOX CRT exhaust Extractive more than1 3 furnace Ð Ð Ð Mineral Oil 2 <1 <1 /year Hydrofluoric acid 16,763 0 447.8 0 0 2,741.1 13,574 0 (Nm /h) =1.75 substance Compact through Animal and flow boiler <0.01 <0.01 2/year in n-hexane vegetable oil 10 *3 Lead solder 8,229.6 0 0 0 74.7 1.5 0 8,153.4 Continuous glass more than1 melting furnace 0.2 0.035 0.04 2/year Phenol 1 Ð ND /year Aluminum sulfate 7,110.0 0 1,586.0 0 0 5,524.0 0 0 P.M. CRT exhaust more than1 0.2 0.01 0.01 2/year Copper 3 0.01 0.01 Silver 4,847.9 0 0 144.8 0 4,014.6 0 688.5 (g/Nm3) furnace /year Compact through more than1 flow boiler 0.1 0.01 0.01 2/year Zinc 5 0.038 0.07 /year 2-aminoethanol 3,941.8 0 0 0 0 15.8 3,926.0 0 Measurements are from 3 major facilities. more than1 Soluble Iron 10 0.183 0.26 /year Zinc oxide 3,265.4 0 0 0 0 63.5 0 3,201.9 Soluble Manganese more than1 Total Emissions to the Air (Unit: tons/year) 10 0.05 0.07 /year Boron oxide 1,777.0 0 0 25.7 43.6 489.4 0 1,218.3 • more than1 Item Total Total Chromium 2 0.005 0.01 /year Xylene 1,397.1 16.6 0 0 0 43.3 1,337.2 0 Coliform bacteria count more than1 3 SOX 0 (number/m ) 3,000 71.1 450 /year Manganese 757.1 0 0 0 18.0 63.4 0 675.7 more than1 NOX 10.3 Nitrogen 120(60) 6.0 15 /year Zinc sulfide 628.1 0 0 0 0 188.3 0 439.8 more than1 Phosphorus 16(8) 0.24 0.7 /year Nickel 581.0 0 0 0 0 23.0 0 558.0 Total Emissions to Water (Unit: tons/year) more than1 • Molybdenum 0.07 0.021 0.051 /year Barium carbonate 532.8 0 0 0 15.9 86.3 0 430.6 Item Total more than1 Nickel 0.01 0.003 0.007 /year Mercury 422.8 2.0 0 0 0 17.2 0 403.6 COD 6.6 more than1 Antimony 0.002 0.0016 0.0028 /year Molybdenum 382.8 0 0.7 0 3.2 353.1 0 25.8 Nitrogen 13.2 more than1 Toluene 0.6 0.05 2.4 /year Antimony 339.7 0 0 0 9.0 31.6 0 299.1 Phosphorus 0.8 Measurements are from major drainage pipes. Others 678.1 0 136.5 0 14.3 15.2 5.3 506.8 Data does not include drainage into the sewage system. "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" The following Health Category substances were below quantification refers to the volume of substances that turned into other substances through neutralization, Odor limit and regulation value: cadmium /compound, cyanic compound, decomposition, or chemical reaction treatments. "Consumed" refers to the volume of • organic phosphorus compound, lead/compound, hexavalent Violation of standards and its description substances, which are contained in or accompanied with products and transported outside the chromium, arsenic /compound, total mercury, alkyl mercury particular plant. No violation compound, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon tetrachloride, 1-2dichloroethane, 1,1- Note Noise & Vibration dichloroethylene, cis-1,2-dichloroethylene, 1,1,1-trichloroethane, Regulation: Standards set by laws and regulations • 1,1,2-trichloroethane, 1,3-dichloropropene, thiuram, simazine, Ð : Not subject to regulation standards or no actual measurement Violation of standards and its description thiobencarb, benzene, selenium/compound, boron/compound, ND (not detectable): Values lower than the minimum quantifiable limit fluorine/compound, ammonia and ammonium compounds, nitrite and No violation Frequency of measurement is shown as: (number of times measured) / (time period) nitric compounds (nitrogen). *1 The regulation values for NOx are measured under the oxygen concentration of 0%. Note:" /compound" stands for "and its compound" *2 The values in ( ) indicate daily average. *3 This item is measured when mineral oil is detected over 1mg/l.

Matsushita Electric Group Environmental Sustainability Report 62 Facts & Figures

Factory Automation Company, Matsushita Electric Industrial Co., Ltd. Major products: Electronic component mounting equipments Kofu Site Location: 1375 Sukiawara, Showa-cho, Nakakoma, Yamanashi, Japan

NOX 0.46 Nitrogen — — — — Phosphorus — — — — Total Emissions to Water (Unit: tons/year) • Iodine consumption 220 33 35 2/year Item Total Water temperature ( ) 45 24 24 2/year COD — Measurements are from major drainage pipes. Nitrogen — The following Health Category substances were below Phosphorus — quantification limit and regulation value: Data does not include drainage into the sewage system. cadmium/compound, cyanic compound, organic phosphorus compound, lead/compound, hexavalent Odor chromium, arsenic/compound, total mercury, alkyl • mercury compound, PCB, trichloroethylene, Violation of standards and its description tetrachloroethylene, dichloromethane, carbon Not subject to measurement tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- Noise & Vibration trichloroethane, 1,3-dichloropropene, thiuram, • simazine, thiobencarb, benzene, selenium/compound, Violation of standards and its description boron/compound, fluorine/compound, ammonia and ammonium compounds, nitrite and nitric compounds Not subject to measurement (nitrogen). Note:" /compound" stands for "and its compound"

Matsushita Communication Industrial Co., Ltd. Major products: CCVE cameras, Core cameras, In-vehicle cameras, Microphones Shirakawa Site Location: 15 Ushishimizu, Shirasaka, Shirakawa, Fukushima, Japan

NOX Boiler1 250 53 53 1/year pH (7 as neutral) 5.8 Ð 8.6 7.3 7.7 6/year Lead 293.8 0 0 0 0 146.9 0 146.9 (ppm) Boiler2 180 64 64 1/year BOD 20 3.1 7.0 6/year Nickel 130.0 0 0 0 0 41.2 0 88.8 Boiler1 COD Silver SOX K-value 0.006 0.006 1/year 20 6.5 10.6 6/year 16.8 0 0 0 0 8.4 0 8.4 3 (Nm /h) Boiler2 =17.5 0.001 0.001 1/year SS 50 5.8 11.6 6/year 1,1,1,2-tetrafluoroethane 1.8 1.8 0 0 0 0 0 0 Extractive "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" P.M. Boiler1 0.3 0.003 0.003 1/year Mineral Oil 10 0.5 0.5 6/year substance in refers to the volume of substances that turned into other substances through neutralization, (g/Nm3) Animal and Boiler2 0.3 0.022 0.022 1/year n-hexane vegetable oil 10 0.5 0.5 6/year decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Phenol 1 <0.1 <0.1 1/2years substances, which are contained in or accompanied with products and transported outside the Total Emissions to the Air (Unit: tons/year) particular plant. • Copper 2 <0.1 <0.1 1/2years Item Total Zinc 4 <0.1 <0.1 1/2years Note SOX 0 Regulation: Standards set by laws and regulations Soluble Iron 10 <0.1 <0.1 1/2years NOX 0.2 Ð : Not subject to regulation standards or no actual measurement Soluble Manganese 10 <0.1 <0.1 1/2years ND (not detectable): Values lower than the minimum quantifiable limit Frequency of measurement is shown as: (number of times measured) / (time period) •Total Emissions to Water (Unit: tons/year) Total Chromium 2 <0.1 <0.1 1/2years Item Total Coliform bacteria count (number/m3) 3,000 9.7 23 6/year COD 0.3 Nitrogen — — — — Nitrogen — Phosphorus — — — — Phosphorus — Measurements are from major drainage pipes. Data does not include drainage into the sewage system. The following Health Category substances were below Odor quantification limit and regulation value: • cadmium/compound, cyanic compound, organic Violation of standards and its description phosphorus compound, lead/compound, hexavalent No violation chromium, arsenic/compound, total mercury, alkyl mercury compound, PCB, trichloroethylene, Noise & Vibration tetrachloroethylene, dichloromethane, carbon • tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- No violation trichloroethane, 1,3-dichloropropene, thiuram, simazine, thiobencarb, benzene, selenium/compound, fluorine/compound. Note:"/compound" stands for "and its compound"

63 Matsushita Electric Group Environmental Sustainability Report Facts & Figures • Environmental Data from Manufacturing Sites Matsushita Electronic Components Co., Ltd. Major Products: Aluminum electrolytic capacitor, Tantalum electrolytic capacitor, Functional aluminum electrolytic capacitor, Electric double layer capacitor Uji Site Location: 25 Kohatanishinaka, Uji, Kyoto, Japan

NOX 21.67 Nitrogen 120(60) 39.3 51 1/month Lead solder 255.2 0 0.5 0 103.6 116.1 0 35.0 Phosphorus 16(8) 1.54 3.6 1/month Others 779.4 163.0 159.8 0 108.0 215.5 0 133.1 Total Emissions to Water (Unit: tons/year) • Measurements are from major drainage pipes. "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Item Total refers to the volume of substances that turned into other substances through neutralization, The following Health Category substances were below decomposition, or chemical reaction treatments. "Consumed" refers to the volume of COD 25.8 quantification limit and regulation value: substances, which are contained in or accompanied with products and transported outside the Nitrogen 140 cadmium/compound, cyanic compound, particular plant. lead/compound, hexavalent chromium, Phosphorus 5.5 arsenic/compound, total mercury, trichloroethylene, Note Data does not include drainage into the sewage system. tetrachloroethylene, carbon tetrachloride, 1,1,1- Regulation: Standards set by laws and regulations trichloroethane, fluorine/compound. Ð : Not subject to regulation standards or no actual measurement Odor ND(not detectable): Values lower than the minimum quantifiable limit Note:" /compound" stands for "and its compound" • Frequency of measurement is shown as: (number of times measured) / (time period) Violation of standards and its description *1 There are no SOx emissions from facilities powered by city gas (13A). No violation *2 The values in ( ) indicate daily average. •Noise & Vibration Violation of standards and its description No violation

Matsushita Industrial Equipment Co., Ltd. Main Products: General welding equipments, Input station equipments, Industrial robots, ME/emanation equipments, FA systems Toyonaka Site Location: 3-1-1 Inatsu-cho, Toyonaka, Osaka, Japan

(Conforming to the Water Pollution Law and (Matsushita Chemical Substances •Air (Conforming to the Air Pollution Control Law and other regulations and agreements) •Water other regulations and agreements) (Unit:mg/ ) •Chemical Substances Management Rank Guidelines: Version 2) (Unit: kg/year) Actual Measurement Actual Measurement Released Transferred Item Facility Regulation Item Regulation Substance Total Recycled Eliminated Consumed Frequency of Frequency of Average Maximum measurement Average Maximum measurement Air Water Sewage Waste Gas engine generator 2,000 13 13 1/year pH (7 as neutral) 5.7Ð 8.7 7.7 7.9 2/year Xylene 4,369.7 2,488.8 0 0 0 0 1,880.9 0 NOX Boiler 180 47.4 58 2/year BOD 300 47 47 1/year Lead 1,005.7 0 0 0 12.6 26.4 0 966.7 (ppm) Resin treatment facility — 23 23 2/year COD — 40 40 2/year Toluene 470.9 221.3 0 0 0 0 249.6 0 Gas engine generator 0.3 0.001 0.001 1/year SS 300 55 69 2/year Hydrazine 42.1 0 0 0 0 0 42.1 0 SOX Extractive 3 Boiler 0.3 0.001 0.001 2/year Mineral Oil 5 ND ND 1/year Zinc oxide 30.0 0 0 0 30.0 0 0 0 (Nm /h) substance in Resin treatment Animal and facility — — — — n-hexane vegetable oil 30 2.4 2.6 2/year Ethylbezene 24.3 11.4 0 0 0 0 12.9 0 Gas engine generator 0.05 0.0028 0.0028 1/year Phenol 5 ND ND 1/year Cadmium 11.3 0 0 0 0.1 0 0 11.2 P.M. Boiler 0.15 0.009 0.028 2/year Copper 3 0.03 0.03 1/year Silver bromide 1.2 0 0 0 0.4 0 0 0.8 (g/Nm3) Resin treatment facility 0.1 0.0004 0.0005 2/year Zinc 5 0.11 0.11 1/year Silver chloride 0.9 0 0 0 0.3 0 0 0.6 Measurements are from 3 major facilities. Soluble Iron 10 0.12 0.12 1/year "Recycled" includes paid recycling, as well as free and inverse onerous contract."Eliminated" refers to the volume of substances that turned into other substances through neutralization, Soluble Manganese Total Emissions to the Air (Unit: tons/year) 10 0.05 0.05 1/year decomposition, or chemical reaction treatments. "Consumed" refers to the volume of • substances, which are contained in or accompanied with products and transported outside the Item Total Total Chromium 2 ND ND 1/year Coliform bacteria count particular plant. 3 SOX 0.7 (number/m ) — — — — Note NOX 2.6 Nitrogen 150 74 74 1/year Regulation: Standards set by laws and regulations Phosphorus 20 5.3 5.3 1/year Ð : Not subject to regulation standards or no actual measurement Total Emissions to Water (Unit: tons/year) • Measurements are from major drainage pipes. ND (not detectable): Values lower than the minimum quantifiable limit Item Total Frequency of measurement is shown as: (number of times measured) / (time period) The following Health Category substances were below COD — quantification limit and regulation Nitrogen — value:cadmium/compound, cyaniccompound, organic phosphorus compound, lead/compound, hexavalent Phosphorus — chromium, arsenic/compound, total mercury, alkyl Data does not include drainage into the sewage system. mercury compound, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon •Odor tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- trichloroethane, 1,3-dichloropropene, thiuram, No violation simazine, thiobencarb, benzene, selenium/compound. •Noise & Vibration Note:" /compound" stands for "and its compound" Violation of standards and its description No violation

Matsushita Electric Group Environmental Sustainability Report 64 Facts & Figures

Matsushita Battery Industrial Co., Ltd. Major Products: Lithium primary batteries, Lithium ion rechargable batteries Moriguchi Site B Block Location: 1-1 Matsushita-cho, Moriguchi, Osaka, Japan

NOX 8.0 Nitrogen — — — — Cadmium chloride 30.0 0 0 0 0.7 0 0 29.3 Phosphorus — — — — Indium 25.0 0 0 0 0 0 0 25.0 Total Emissions to Water (Unit: tons/year) • Measurements are from major drainage pipes. Acetonitrile 20.5 19.8 0 0 0.5 0 0 0.2 Item Total Phenol The following Health Category substances were below 7.0 7.0 0 0 0 0 0 0 COD — quantification limit and regulation value: "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Nitrogen — lead/compound, total mercury, trichloroethylene, cis- refers to the volume of substances that turned into other substances through neutralization, 1,2-dichloroethylene, boron/compound, decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Phosphorus — fluorine/compound. substances, which are contained in or accompanied with products and transported outside the Data does not include drainage into the sewage system. particular plant. Note:" /compound” stands for “and its compound" •Odor Note Violation of standards and its description Regulation: Standards set by laws and regulations Ð : Not subject to regulation standards or no actual measurement No violation ND (not detectable): Values lower than the minimum quantifiable limit Frequency of measurement is shown as: (number of times measured) / (time period) •Noise & Vibration *1 There are no SOx emissions from facilities powered by city gas (13A). Violation of standards and its description No violation

Matsushita Refrigeration Company Major Products: Refrigerators, Vending machines, Heat exchanger units for refrigerator Kusatsu Site Location: 3-4-74 Noji-higash, Kusatsu, Shiga, Japan

NOX 7.7 Nitrogen 60 35.0 50 1/week 1,3,5-trimethylbenzene 809.4 2.1 0 0 57.3 0 750.0 0 Phosphorus 10 4.49 8.20 1/week R-404A 597.0 0 0 0 131.0 0 0 466.0 Total Emissions to Water (Unit: tons/year) • Iodine consumption 220 25.4 42 1/month Barium sulfate 453.8 0 0 0 339.0 0 1.8 113.0 Item Total Measurements are from major drainage pipes. Nickel nitrate 314.4 0 0 0 209.6 0 0 104.8 COD 4.50 Poly(oxyethylene) nonylphenol ether 126.1 0 0 0 84.5 0 0 41.6 Nitrogen 2.48 The following Health Category substances were below quantification limit and regulation value: Zinc oxide 104.1 0 0 0 77.9 0 0.2 26.0 Phosphorus 0.20 cadmium/compound, cyaniccompound, organic Others 425.8 9.8 0 0 111.4 0 89.4 215.2 Data does not include drainage into the sewage system. phosphorus compound, lead/compound, hexavalent chromium, arsenic/compound, total mercury, alkyl "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Odor mercury compound, PCB, trichloroethylene, refers to the volume of substances that turned into other substances through neutralization, • tetrachloroethylene, dichloromethane, carbon decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Violation of standards and its description tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, substances, which are contained in or accompanied with products and transported outside the No violation cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- particular plant. trichloroethane, 1,3-dichloropropene, thiuram, Noise & Vibration simazine, thiobencarb, benzene, selenium/compound, Note • boron/compound, fluorine/compound, ammonia and Regulation: Standards set by laws and regulations Violation of standards and its description ammonium compounds, nitrite and nitric compounds Ð : Not subject to regulation standards or no actual measurement (nitrogen). ND(not detectable): Values lower than the minimum quantifiable limit No violation Frequency of measurement is shown as: (number of times measured) / (time period) Note:" /compound" stands for "and its compound"

65 Matsushita Electric Group Environmental Sustainability Report Facts & Figures • Environmental Data from Manufacturing Sites Kyushu Matsushita Electric Co., Ltd. Major Products: Motors, Lead frames, Joint equipments Device Division, Oita Site Location: 2111 Ueda, Usa, Oita, Japan

(Conforming to the Water Pollution Law and (Matsushita Chemical Substances Air (Conforming to the Air Pollution Control Law and other regulations and agreements) Water (Unit:mg/ ) Chemical Substances Management Rank Guidelines: Version 2) (Unit: kg/year) • • other regulations and agreements) • Actual Measurement Actual Measurement Released Transferred Item Facility Regulation Item Regulation Substance Total Recycled Eliminated Consumed Frequency of Frequency of Average Maximum measurement *1 Average Maximum measurement Air Water Sewage Waste Diesel NOX engine 1 950 545 570 2/year pH (7 as neutral) 5.8 Ð 8.6 7.3 7.8 1/month Potassium cyanide 7,942.0 0 0 0 0 0 7,942.0 0 (ppm) Diesel engine 2 950 540 600 2/year BOD 160(120) 3.0 3.0 4/year Lead solder 7,191.0 0 0 0 0 2,876.4 0 4,314.6 Diesel COD Xylene SOX engine 1 5.23 0.17 0.27 2/year 15(10) 1.4 2.9 1/month 4,875.0 4,290.0 0 0 0 585.0 0 0 (Nm3/h) Diesel engine 2 5.23 0.17 0.26 2/year SS 15(10) 1.8 5.2 1/month Nickel 2,656.0 0 0 0 0 0 0 2,656.0 Diesel Extractive engine 1 0.1 0.007 0.01 2/year Mineral Oil — — — — Sodium cyanide 1,655.0 0 0 0 0 0 1,655.0 0 P.M. substance in (g/Nm3) Diesel Animal and engine 2 0.1 0.007 0.01 2/year n-hexane Vegetable oil 9 1.0 1.3 1/month Silver 1,457.0 0 0 0 0 0 0 1,457.0 Phenol — — — — Cuprous cyanide 939.0 0 0 0 0 0 939.0 0 Total Emissions to the Air (Unit: tons/year) • Copper 3 0.010 0.010 2/year Toluene 510.0 448.8 0 0 0 61.2 0 0 Item Total Zinc 5 0.049 0.052 2/year Sulfonic methane 417.0 0 0 0 0 0 0 417.0 SOX 4.24 Soluble Iron 10 0.056 0.092 2/year Boric acid 253.0 0 0 0 0 253.0 0 0 NOX 73.67 Soluble Manganese 10 0.029 0.048 2/year Nickel sulfate 123.0 0 0 0 0 123.0 0 0 •Total Emissions to Water (Unit: tons/year) Total Chromium — — — — Acrylic acid 0.7 0.1 0 0 0 0 0 0.6 Item Total Coliform bacteria count (number/m3) 3,000 30 180 1/month "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" COD 0.2 refers to the volume of substances that turned into other substances through neutralization, Nitrogen 120(60) 3.6 7.1 1/month decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Nitrogen 0.5 Phosphorus 16(8) 0.52 1.9 1/month substances, which are contained in or accompanied with products and transported outside the particular plant. Phosphorus 0.1 Measurements are from major drainage pipes. Data does not include drainage into the sewage system. Note The following Health Category substances were below Regulation: Standards set by laws and regulations Odor quantification limit and regulation value: Ð : Not subject to regulation standards or no actual measurement • cyaniccompound, lead/compound, trichloroethylene, Violation of standards and its description ND (not detectable): Values lower than the minimum quantifiable limit tetrachloroethylene, dichloromethane, carbon Frequency of measurement is shown as: (number of times measured) / (time period) No violation tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, *1 The values in ( ) indicate daily average. cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- Noise & Vibration trichloroethane, 1,3-dichloropropene, benzene. • Note:"/compound" stands for "and its compound" Violation of standards and its description No violation

Matsushita Seiko Co., Ltd. Major Products: Ceiling built-in exhaust fans, General exhaust fans, Kitchen-hoods, Exhaust fan components Kasugai West Site Location: 4017 Shimo Nakata, Takagi-cho, Kasugai, Aichi

(Matsushita Chemical Substances (Conforming to the Air Pollution Control Law and other regulations and agreements) (Conforming to the Water Pollution Law and •Air •Water other regulations and agreements) (Unit:mg/ ) •Chemical Substances Management Rank Guidelines: Version 2) (Unit: kg/year) Actual Measurement Actual Measurement Released Transferred Item Facility Regulation Item Regulation Substance Total Recycled Eliminated Consumed Frequency of Frequency of Average Maximum measurement Average Maximum measurement Air Water Sewage Waste Boiler1 150 71 88 2/year pH (7 as neutral) 5.8 Ð 8.6 7.3 7.6 1/month Aluminum sulfate 3,433.0 0 0 0 0 3,433.0 0 0 NOX Boiler2 180 120 120 1/year BOD 25 2.2 3.0 1/month Toluene 221.0 221.0 0 0 0 0 0 0 (ppm) Boiler3 150 86 99 2/year COD 25 4.5 5.6 1/month Lead solder 213.0 0 0 0 0 4.3 0 208.7 Boiler1 1.1 0.001 0.001 2/year SS 30 1.6 5.0 1/month Xylene 33.0 33.0 0 0 0 0 0 0 SOX Boiler2 3.6 0.045 0.045 1/year Extractive Mineral Oil 5.0 <1.0 <1.0 1/month "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" (Nm3/h) substance in Animal and refers to the volume of substances that turned into other substances through neutralization, Boiler3 1.1 0.001 0.001 2/year n-hexane Vegetable oil — — — — decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Boiler1 0.1 0.0015 0.002 2/year Phenol — — — — substances, which are contained in or accompanied with products and transported outside the P.M. particular plant. Boiler2 0.3 0.001 0.001 1/year Copper — — — — (g/Nm3) Boiler3 0.1 0.0015 0.002 2/year Zinc 5.0 0.1 0.2 1/month Note Regulation: Standards set by laws and regulations Measurements are from 3 major facilities. Soluble Iron — — — — Ð : Not subject to regulation standards or no actual measurement ND(not detectable): Values lower than the minimum quantifiable limit Total Emissions to the Air (Unit: tons/year) Soluble Manganese — — — — • Frequency of measurement is shown as: (number of times measured) / (time period) Item Total Total Chromium — — — — Coliform bacteria count 3 SOX 0.3 (number/m ) — — — —

NOX 0.4 Nitrogen 120 9.5 13.0 1/month Phosphorus 16 0.4 0.5 1/month Total Emissions to Water (Unit: tons/year) • Fluorine 8.0 0.3 0.7 1/month Item Total Measurements are from major drainage pipes. COD 0.8 Nitrogen Not subject to measurement The following Health Category substances were below quantification limit and regulation value: Phosphorus Not subject to measurement cadmium/compound, cyaniccompound, organic Data does not include drainage into the sewage system. phosphorus compound, lead/compound, hexavalent chromium, arsenic/compound, total mercury, alkyl Odor mercury compound, PCB, trichloroethylene, • tetrachloroethylene, dichloromethane, carbon Violation of standards and its description tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Not subject to measurement cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- trichloroethane, 1,3-dichloropropene, thiuram, Noise & Vibration simazine, thiobencarb, benzene, selenium/compound, • boron/compound, fluorine/compound, ammonia and Violation of standards and its description ammonium compounds, nitrite and nitric compounds (nitrogen). No violation Note:" /compound" stands for "and its compound"

Matsushita Electric Group Environmental Sustainability Report 66 Facts & Figures

Matsushita Graphic Communication Systems, Inc. Major Products: FAX, PPC, Electronic print boards, Letter boards, Consumables Niigata Site Location: 1260 Kounosu-cho, Ojiya, Niigata, Japan

(Conforming to the Water Pollution Law and (Matsushita Chemical Substances •Air (Conforming to the Air Pollution Control Law and other regulations and agreements) •Water other regulations and agreements) (Unit:mg/ ) •Chemical Substances Control Ranking Guidelines: Version 2) (Unit: kg/year) Actual Measurement Actual Measurement Released Transferred Item Facility Regulation Item Regulation Substance Total Recycled Eliminated Consumed Frequency of Frequency of Average Maximum measurement Average Maximum measurement Air Water Sewage Waste Boiler1 150 55 55 2/year pH (7 as neutral) 5.8 Ð 8.6 7.1 7.2 2/year Lead 1,185.1 0 0 0 0 233.1 0 952.0 NOX Boiler2 150 55 59 2/year BOD 40 3.5 5 2/year Methyl methacrylate 31.0 0 0 0 0 10.0 0 21.0 (ppm) Boiler3 150 31 35 2/year COD 160 11.5 12 2/year Silver 28.3 0 0 0 0 2.9 0 25.4 Poly(oxyethylene) Boiler1 SS 90 6 9 2/year alkyl ether 4.3 0 0 0 4.3 0 0 0 SOX Boiler2 *1 Extractive Mineral Oil 5 1 1 2/year Boric acid 1.3 0 1.3 0 0 0 0 0 (Nm3/h) substance Animal and Boiler3 in n-hexane vegetable oil 30 1 1 2/year 2-imidazolidinethione 0.08 0 0 0 0 0.04 0 0.04 Boiler1 0.1 0.01 0.01 2/year Phenol 1 0.01 0.01 2/year "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" P.M. refers to the volume of substances that turned into other substances through neutralization, Boiler2 0.1 0.01 0.01 2/year Copper 2 0.01 0.01 2/year (g/Nm3) decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Boiler3 0.1 0.01 0.01 2/year Zinc 5 0.075 0.08 2/year substances, which are contained in or accompanied with products and transported outside the particular plant. Measurements are from 3 major facilities. Soluble Iron 10 0.10 0.14 2/year Note Total Emissions to the Air (Unit: tons/year) Soluble Manganese 10 0.02 0.02 2/year • Regulation: Standards set by laws and regulations Item Total Total Chromium 2 0.04 0.04 2/year Ð : Not subject to regulation standards or no actual measurement Coliform bacteria count 3 ND (not detectable): Values lower than the minimum quantifiable limit SOX 0 (number/m ) 3,000 30 30 2/year Frequency of measurement is shown as: (number of times measured) / (time period) NOX 0 Nitrogen 120 29 37 2/year *1 There are no SOx emissions from facilities powered by city gas (13A). Phosphorus 16 4 6 2/year Total Emissions to Water (Unit: tons/year) • Measurements are from major drainage pipes. Item Total The following Health Category substances were below COD 0.1 quantification limit and regulation Nitrogen 0.2 value:cadmium/compound, cyanic compound, organic Phosphorus compound, lead/compound, hexavalent Phosphorus 0.04 chromium, arsenic/compound, total mercury, alkyl Data does not include drainage into the sewage system. mercury compound, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon •Odor tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- trichloroethane, 1,3-dichloropropene, thiuram, No violation simazine, thiobencarb, benzene, selenium/compound, boron/compound, fluorine/compound, ammonia and Noise & Vibration ammonium compounds, nitrite and nitric compounds • (nitrogen). Violation of standards and its description Note:" /compound" stands for "and its compound" No violation

Matsushita Kotobuki Electronics Industries, Ltd. Major Products: CD-R/RW drives, COMBO drives, DVC-ROM drives, DAT data storages Matsuyama Site Location: 2131-1 Minakata, Kawauchi-cho, Onsen-gun, Ehime, Japan

NOX 2.8 Nitrogen 120(60) 16.6 24.1 3/month Phosphorus 16(8) 2.0 3.0 3/month Total Emissions to Water (Unit: tons/year) • Measurements are from major drainage pipes. Item Total The following Health Category substances were below COD 0.1 quantification limit and regulation value: Nitrogen 0.5 cadmium/compound, cyanic compound, organic Phosphorus compound, lead/compound, hexavalent Phosphorus 0.1 chromium, arsenic/compound, total mercury, alkyl Data does not include drainage into the sewage system. mercury compound, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon •Odor tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- trichloroethane, 1,3-dichloropropene, thiuram, Not subject to measurement simazine, thiobencarb, benzene, selenium/compound, boron/compound, fluorine/compound, ammonia and Noise & Vibration ammonium compounds, nitrite and nitric compounds • (nitrogen). Violation of standards and its description Note:" /compound" stands for "and its compound" Not subject to measurement

67 Matsushita Electric Group Environmental Sustainability Report Facts & Figures • Environmental Data from Manufacturing Sites Victor Company of Japan Ltd. Major Products: ILA devices, Disk originals, Multi-layer circuit boards Headquarters/Yokohama site Location: 3-12 Moriya-cho, Kanagawa-ku, Yokohama, Kanagawa, Japan

NOX 0.2 Nitrogen — 15 18 1/month Hydrogen fluoride 48.0 0 0 0 0 0 48.0 0 Phosphorus — 1.20 1.6 1/month Argentic chloride 39.6 0 0 0 0 39.6 0 0 Total Emissions to Water (Unit: tons/year) • Measurements are from major drainage pipes. Caustic silver 34.9 0 0.35 0 0 32.8 0 1.75 Item Total Lead The following Health Category substances were below 33.7 0 0 0 29.2 0 0 4.5 COD 1.4 Tetrafluoromethane, quantification limit and regulation perfluoromethane 26.3 0 0 0 0 0 26.3 0 Nitrogen 2.8 value:lead/compound, hexavalent chromium, trichloroethylene, tetrachloroethylene, Others 113.6 0 0.1 0 44.1 30.6 36.2 2.6 Phosphorus 0.2 dichloromethane, 1,1,1-trichloroethane, "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" Data does not include drainage into the sewage system. boron/compound, ammonia and ammonium refers to the volume of substances that turned into other substances through neutralization, compounds, nitrite and nitric compounds (nitrogen). decomposition, or chemical reaction treatments. "Consumed" refers to the volume of Odor substances, which are contained in or accompanied with products and transported outside the • Note:" /compound" stands for "and its compound" Violation of standards and its description particular plant.

No violation Note Regulation: Standards set by laws and regulations Noise & Vibration Ð : Not subject to regulation standards or no actual measurement • ND (not detectable): Values lower than the minimum quantifiable limit Violation of standards and its description Frequency of measurement is shown as: (number of times measured) / (time period) Not subject to measurement *1 There are no SOx emissions from facilities powered by city gas (13A).

Major products: Film capacitors Matsue Matsushita Electric Co., Ltd. Location: 369 Daisho, Nogifukutomi-cho, Matsue, Shimane, Japan

(Conforming to the Water Pollution Law and (Matsushita Chemical Substances •Air (Conforming to the Air Pollution Control Law and other regulations and agreements) •Water other regulations and agreements) (Unit:mg/ ) •Chemical Substances Control Ranking Guidelines: Version 2) (Unit: kg/year) Actual Measurement Actual Measurement Released Transferred Item Facility Regulation Item Regulation Substance Total Recycled Eliminated Consumed Frequency of Frequency of Average Maximum measurement *1 Average Maximum measurement Air Water Sewage Waste Octadecafluorooctane, Boiler1 180 100 107 2/year pH (7 as neutral) 5.8 Ð 8.6 (7.4) 7. 6 Ð 7.2 1/month perfluorooctane 9,720.0 9,720.0 0 0 0 0 0 0 NOX Boiler2 250 87 88.9 2/year BOD 160(30) — — — Halogenous flame retardant 7,262.7 0 0 0 0 726.3 0 6,536.4 (ppm) Boiler3 180 93 95.3 2/year COD (29.1) (13.2) 17.7 1/month Toluene 2,297.7 2,297.7 0 0 0 0 0 0 Boiler1 5.99 1.65 — 2/year SS 200(150) (8.0) 55 1/month Antimony trioxide 1,267.7 0 0 0 0 158.5 0 1,109.2 SOX Boiler2 5.12 0.84 — 2/year Extractive Mineral Oil 5 (0.6) 2.3 1/month Lead solder 1,198.6 0 0 0 0 592.6 0 606.0 (Nm3/h) substance Animal and Boiler3 4.76 0.85 — 2/year in n-hexane vegetable oil 30 (1.9) 4.9 1/month Barium sulphate 924.7 0 0 0 0 924.7 0 0 Boiler1 0.3 0.01 0.01 2/year Phenol — — ND 1/year Sulphur hexafluoride 570.0 570.0 0 0 0 0 0 0 P.M. Boiler2 0.3 0.01 0.01 2/year Copper — — 0.08 1/year Xylene 4.0 4.0 0 0 0 0 0 0 (g/Nm3) Boiler3 0.3 0.011 0.011 2/year Zinc — (0.8) 1.55 1/month "Recycled" includes paid recycling, as well as free and inverse onerous contract. "Eliminated" refers to the volume of substances that turned into other substances through neutralization, Measurements are from 3 major facilities. Soluble Iron — — 0.2 1/year decomposition, or chemical reaction treatments. "Consumed" refers to the volume of substances, which are contained in or accompanied with products and transported outside the Total Emissions to the Air (Unit: tons/year) Soluble Manganese — — ND 1/year • particular plant. Item Total Total Chromium — — ND 1/year Coliform bacteria count 3 Note SOX 14.3 (number/m ) (3,000) (32) 94 1/month Regulation: Standards set by laws and regulations NOX 2.6 Nitrogen (19.4) (7.5) 10.4 1/month Ð : Not subject to regulation standards or no actual measurement Phosphorus (2.9) (0.9) 1.8 1/month ND (not detectable): Values lower than the minimum quantifiable limit Total Emissions to Water (Unit: tons/year) Frequency of measurement is shown as: (number of times measured) / (time period) • Measurements are from major drainage pipes. *1 The values in ( ) indicate daily average. Item Total The following Health Category substances were below COD 1.1 quantification limit and regulation value: Nitrogen 0.6 cadmium/compound, cyanic compound, organic Phosphorus compound, lead/compound, hexavalent Phosphorus 0.07 chromium, arsenic/compound, total mercury, alkyl Data does not include drainage into the sewage system. mercury compound, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon •Odor tetrachloride, 1-2dichloroethane, 1,1-dichloroethylene, Violation of standards and its description cis-1,2-dichloroethylene, 1,1,1-trichloroethane, 1,1,2- trichloroethane, 1,3-dichloropropene, thiuram, No violation simazine, thiobencarb, benzene, selenium/compound, boron/compound, fluorine/compound. Noise & Vibration • Note:" /compound" stands for "and its compound" Violation of standards and its description No violation

Matsushita Electric Group Environmental Sustainability Report 68 Facts & Figures

The following are environment-conscious Products Labeled with Environmental Characteristic Stickers products available in the Japanese market.

Products Launched in Fiscal 2001

Product Model number Feature Personal facsimile KX-PW37CL,KX-PW47CL,KX-PW57CL Reduced standby power consumption by 52% with energy-saving power device technology (3.6W 1.7W) *KX-PW55CL KX-PW101CL,KX-PW102CW Reduced standby power consumption by 23.5% with energy-saving power device technology (1.7W 1.3W) *KX-PW38CL UF-A8WCL,UF-A8SCL Reduced standby power consumption with energy-saving power device technology ( 1.8W in main body) Alkali ion water purifier PJ-A38 Reduced standby power consumption by 30% with energy-saving power device technology ( 0.7W) *PJ-A36 Personal facsimile KX-PW101CL PJ-A58 Reduced standby power consumption by 53% with energy-saving power device technology ( 0.7W) *PJ-A36 PJ-A78 Reduced standby power consumption by 46% with energy-saving power device technology ( 0.7W) *PJ-A76 PJ-A201 Reduced standby power consumption by 30% with energy-saving power device technology ( 0.7W) *PJ-A36 Infrared ray family foot warmer Alkali ion water purifier DK-S60AW6-H,DK-S75AW6-H,DK-S75AW6-A, Vinyl chloride resin and lead are used only in the power cord and not in the main body PJ-A78 DK-S75AY6-H,DK-S75AY6-A,DK-S75AY6-C, DK-S76AY6-H,DK-S96AY6-H TV door phone HA-S601K-TW,HA-S601K-TS Reduced standby power consumption by 70% with energy-saving power device technology ( 0.4W)*HA-S104 Hi-Fi VCR NV-HX11,NV-HXB55 Reduced standby power consumption by 63% with energy-saving power device technology ( 1.3W; 0.7W when clock display is off)*NV-H220G Infrared ray NV-HX33G Reduced standby power consumption by 57% with energy-saving power device technology family foot warmer ( 1.5W; 0.3W when clock display is off)*NV-H220G DK-S75AY6-H S-VHS VCR NV-SVB300 Reduced standby power consumption by 80% with energy-saving power device technology ( 1.3W; 0.3W when clock display is off)*NV-SB606 NV-SV100 Reduced standby power consumption by 76% with energy-saving power device technology ( 1.3W; 0.3W when clock display is off)*NV-SX505 VTR-TV combo unit Hi-Fi VCR TH-21VFR30,TH-15VFR3,TH-21VFA30,TH-15VFA3 Uses lead-free solder in mounting the printed circuit boards to the main body NV-HX11 TV (4:3) TH-25FA5 Reduced remote controller standby power consumption by 32% with energy-saving power device technology ( 0.17W) * Our conventional models TH-25FB5 Reduced remote controller standby power consumption by 83% with energy-saving power device technology ( 0.17W) * Our conventional models TH-29FB5 Reduced remote controller standby power consumption by 57% with energy-saving power device technology ( 0.17W) Progressive * Our conventional models wide screen TV TH-21FA50 Reduced remote controller standby power consumption by 92% with energy-saving power device technology ( 0.17W) TH-36FP30 * Our conventional models TH-21FB50 Reduced remote controller standby power consumption by 88% with energy-saving power device technology ( 0.17W) * Our conventional models Progressive wide screen TV TH-28FP30,TH-32FP30,TH-36FP30,TH-28FP25, Uses lead-free solder in mounting the printed circuit boards to the main body TH-32FP25,TH-36FP25,TH-32FS10,TH-32FY10, TH-28FS10,TH-28FY10 Progressive TV (4:3) TH-29FP5 Uses lead-free solder in mounting the printed circuit boards to the main body BS digital built-in TV TH-24D25 Uses lead-free solder in mounting the printed circuit boards to the main body Digital hi-vision TV TH-28D20,TH-32D20,TH-36D20 Uses lead-free solder in mounting the printed circuit boards to the main body BS digital hi-vision TV with built-in hard disk video recorder TH-36DH200 Uses lead-free solder, halogen-free materials, etc. BS digital hi-vision Flat TV TV with built-in TH-15FR5,TH-21FR50,TH-15FA5 Reduced remote controller standby power consumption with energy-saving power device technology ( 0.2W) hard disk video recorder LCD TV TH-36DH200 TH-15TA2 Uses lead-free solder in mounting the printed circuit boards to the main body DVD built-in LCD wide screen TV TH-11LV1,TH-15LV1 Uses lead-free solder in mounting the printed circuit boards to the main body Flat TV Personal mini component stereo TH-15FA5 SC-PM11 Reduced standby power consumption with energy-saving power device technology ( 0.5W) Headphone stereo RQ-SX97F,RQ-SX87,RQ-SX73,RQ-SX53 Uses lead-free solder in mounting the printed circuit boards to the main body SD audio player SV-SD80 Uses lead-free solder in mounting the printed circuit boards to the main body Portable MD player SJ-MJ78,SJ-MR220,SJ-MJ10,SJ-MJ90, Uses lead-free solder in mounting the printed circuit boards to the main body SJ-MJ50,SJ-MJ50C Headphone stereo Portable CD player RQ-SX97F SL-CT790 Achieved 100-hour playback time (48% improved) with energy-saving power device technology *SL-SX500 SL-CT590 Achieved 95-hour playback time (45% improved) with energy-saving power device technology *SL-SX500 Portable MD player *Compared Model number SJ-MJ50

69 Matsushita Electric Group Environmental Sustainability Report Facts & Figures

Environmental Characteristic Stickers • Products Labeled with Environmental Characteristic Stickers IC recorder RR-US620 Product Model number Feature Mini cassette recorder RQ-L26,RQ-L11 Uses lead-free solder in mounting the printed circuit boards to the main body IC recorder RR-QR400,RR-US620,RR-US520 Uses lead-free solder in mounting the printed circuit boards to the main body Portable commuting time radio RF-NS460R,RF-NT850R,R-NT750R Uses lead-free solder in mounting the printed circuit boards to the main body DVD recorder DVD recorder DMR-E30 DMR-E30 Reduced standby power consumption by 50% with energy-saving power device technology ( 3.0W; 0.9W when clock display is off) *DMR-E10 Digital video camera NV-MX2500,NV-EX21,NV-MX1000, Uses lead-free solder in mounting some of the printed circuit boards to the main body NV-DS88K,NV-MX3000 NV-GS5K Uses lead-free solder in mounting the printed circuit boards to the main body SD multiple camera SV-AV10 Uses lead-free solder in mounting the printed circuit boards to the main body SD mobile printer SV-P10 Uses lead-free solder in mounting the printed circuit boards to the main body Digital video camera NV-GS5K Screw-in fluorescent lamp Screw-in fluorescent lamp EFA8EL,EFA8EN,EFA8ED,EFG8EL The brightness equivalent to our 40W incandescent lamps with 8W power consumption EFA8EL EFA13EL,EFA13EN,EFA13ED,EFD13UEL, The brightness equivalent to our 60W incandescent lamps with 13W power consumption EFD13UEN,EFG13EL,EFG13EN,EFG13ED, EFG13EDG,EFG13EDC,EFD13UED EFA22EL,EFA22EN,EFA22ED,EFD22EL, The brightness equivalent to our 100W incandescent lamps with 22W power consumption EFD22EN,EFD22ED,EFG22EL,EFG22EN, EFG22ED,EFG22EDG Screw-in fluorescent lamp (Drimmer control models) EFA22EL/C The brightness equivalent to our 100W incandescent lamps with 22W power consumption Inverter air-conditioner Inverter air-conditioner kirei(CS-E222A,CS-E252A,CS-E252A2, Conforming to FY 2004 targets of the Energy Conservation Law with the installation of high- kirei CS-E282A CS-E282A,CS-E282A2,CS-E402A,CS-E402A2) efficiency scroll compressor; labeling of resin material parts; banning of styrene foam packaging CS-E402BH,CS-E402BH2,CS-E502BH2 Conforming to FY 2004 targets of the Energy Conservation Law with the installation of high- efficiency scroll compressor; labeling of resin material parts; banning of styrene foam packaging CS-V222A,CS-V252A,CS-V252A2,CS-V282A, Conforming to FY 2004 targets of the Energy Conservation Law with the installation of high- CS-V362A,CS-V362A2,CS-V402A2,CS-V282A2 efficiency scroll compressor; labeling of resin material parts Corner air-conditioner Corner air-conditioner CS-PV252A,CS-PV282A,CS-PV282A2, Conforming to FY 2004 targets of the Energy Conservation Law with the installation of CS-PV252A CS-PV362A2,CS-PV402A2,CS-P361A2, high-efficiency scroll compressor; labeling of resin material parts CS-P401A2 Microwave oven NE-JS25,NE-SD10 Reduced power consumption by 44% with high-efficiency microwave supplying technology using new-type inverter and with new heating system ( 239kWh/Year) *NE-N20 NE-JW20 Reduced power consumption by 45% with high-efficiency microwave supplying technology using new-type inverter and with new heating system ( 236kWh/Year) *NE-N20 NE-NS30 Reduced power consumption by 42% with high-efficiency microwave supplying technology using new-type inverter and with new heating system ( 251kWh/Year) *NE-N20 Microwave oven Vacuum cleaner NE-SD10 MC-S84XD,MC-S86XD Reduced power consumption by approx. 53% during automatic operation with dust sign control *Our 1000W-model without dust control sign MC-V280XD,MC-V180XD Reduced the mass of the main body by 31% using exhaust circulation system *MC-S260XD Cordless vacuum cleaner MC-BX11,MC-BX6 Quadrupled the amount of usable charged electricity with high-efficiency battery chargers and inverter motors Vacuum cleaner *MC-B43M MC-V280XD IH rice cooker SR-F10B,SR-F18B,SR-HG10B,SR-HG18B, Reduced power consumption by approx. 30% during heat insulation with all IH and heat insulation control SR-E10B,SR-E18B,SR-D10B,SR-D18B technology (Reduction of 4.1kWh/month in 1.8L types and 3.2kWh/month in 1.0L types.) *SR-IHYC Electric pot NC-JD40,NC-JD30 Reduced power consumption by 47% during heat insulating with vacuum insulating technology Electric bidet with shower DL-ST30,DL-ST20,DL-ST10 Reduced power consumption by 18% using the automatic energy-saving system (Reduction of apprx. 50%kWh/year) *DL-3G Automatic washing machine NA-F80SP1 Reduced power consumption by approx. 62% with new DMM inverter and special cleaner *NA-F80AP2P NA-F70SP1 Reduced power consumption by approx. 59% with new DMM inverter and special cleaner *NA-F70AP IH rice cooker NA-F60SP1,NA-F60RP1 Reduced power consumption by approx. 60% with new DMM inverter and special cleaner *NA-F60BP SR-HG10B NA-F50P1 Reduced power consumption by approx. 69% with new DMM inverter and special cleaner *NA-F50E Automatic washing/drying machine NA-FD8001 Reduced power consumption by approx. 59% with new DMM inverter and special cleaner *NA-F80AP2 NA-FD6001 Reduced power consumption by approx. 49% with new DMM inverter and special cleaner *NA-F60BP Gas cooker GT-WS2R,GT-WS2L,GE-WS20,GE-WS21, Reduced power consumption in stoves by 30% with new high-efficiency burners GE-WG750 *GT-BT3 Air purifier MS-R2500 Reduced power consumption by 38% with high-efficiency inverter motors *MS-R750 rated speed of 15.6Wmin/m3 Automatic washing/ Ion washing water maker drying machine NA-FD8001 MS-W1 Contributes to the reduction of environmental impact by making washing water from tap water and salt. Ion washing water maker *Compared Model number MS-W1

Matsushita Electric Group Environmental Sustainability Report 70 Facts & Figures External Awards

Our environmental efforts and environment-conscious products have been recognized by organizations throughout the world. Category Name of Award SubjectDate Presenter Grand Prize, Fujisankei Communications Group Matsushita Electric Group (P.72) Apr. 2002 Global Environment Award Japan Industrial Journal Nikkei Superior Trend-setting Nihon Keizai Shinbun Matsushita Eco Technology Center Co., Ltd. Dec. 2001 Factories and Offices Award Japan Business and Industry Award for Panasonic Customer Call Center Company, Mar. 2002 Environmental Improvement Council, Exemplary Environmental Program Matsushita Electric Corporation of America Chesapeake, U.S.A The MARS Golden Oak Award Matsushita Communication Industrial U.K. Ltd. Oct. 2001 Berkshire Golden Oak Certificate of Excellence U.K. Environmental Hebei Significant Contributors of Liu Baocheng, Chairman and Vise President of Tangshan Environment Protection Agency, Management Mar. 2002 Environmental Protection Award Matsushita Industrial Equipment Co., Ltd. Education Committee, Hebei, China Top 10 Environment-Conscious Hirose Kozo, President of Shenyang (P.26) June 2001 Environment Protection Agency Executive Managers in Shenyang Matsushita Storage Battery Co., Ltd. Shenyang, China Environmental Protection China Hualu Matsushita AVC Co., Ltd. June 2001 Environment Protection Agency Business Leader Award Dalian, China Wuxi Matsushita Refrigeration Co., Ltd. "Green Company" Award in Wuxi Nov. 2001 Environment Protection Agency Wuxi Matsushita Refrigeration Compressor Co., Ltd. Wuxi, China Leading Facility Award "Model City of the Qingdao Matsushita Electronic Components Co., Ltd. (P.72) June 2001 Economic & Technical Development Zone National Environment-Conscious Construction" (Bonded area) Management Committee, Qingdao, China Energy Star Partner of the Year Matsushita Electric Industrial Co., Ltd., (MEI) Mar. 2002 Department of Energy, Award Matsushita Electric Corporation of America Environment Protection Agency, U.S.A

Minister of Economy, Triple Cooling System Refrigerators NR-D47H2,NR-D44H2, NR-D42H2 Energy Conservation Center Trade and Industry Prize, Jan. 2002 Japan Energy Conservation Award Three-Terminal Intelligent Power Device (IPD) for Conserving Energy During Standby Operation (P.30)

Energy Resource Bureau’s Director Prize, Tsuyama Plant, AVC Media Business Unit, AVC Company, MEI, Jan. to Factory Energy Management Excellence Award Hokkaido Matsushita Electric Co., Ltd. Feb. Fukushima Plant, AVC Network Business Group, AVC Company, MEI 2002 Kusatsu Site, Air-Conditioner Company, MEI Prevention of Ministry of Economy, Trade and Uozu Plant, Semiconductor Company, MEI Global Warming Industry’s Director Prize, Toyonaka Site, Matsushita Industrial Equipment Co., Ltd. Factory Energy Management Factory Automation Division, Kyushu Matsushita Electric Co., Ltd. Excellence Award Suzaki Plant, Matsushita Kotobuki Electronics Industries, Ltd. Headquarter Plant, Matsue Matsushita Electric Co., Ltd. Nagatano Plant, West Electronic Co., Ltd.

Agency of Natural Resources and Energy’s Director-General Corporate Environmental Affairs Division, Matsushita Refrigeration Company Prize, Energy Conservation Best Practice Award Wakimachi Plant, Matsushita Kotobuki Electronics Industries, Ltd. Ministry of Economy, Trade and Industry’s Director Tonami Plant, Semiconductor Company, MEI Prize, Energy Conservation Best Practice Award Kitchen Appliance Division, Home Appliance & Housing Electronics Company, MEI Energy Conservation Center’s Chairman Prize, Kasugai East Plant, Matsushita Seiko Co., Ltd. Energy Conservation Best Practice Award Takefu Matsushita Electric Co., Ltd. Award for Excellent Efforts in Ministry of the Environment Nagaoka Plant, Semiconductor Company, MEI Dec. 2001 Preservation of Air Quality (P.25) Japan Environment Protection Agency Sustainable Product Recognition Mercury-free and low-mercury products Jan. 2002 New Jersey, U.S.A Protection Technology Development Paper Award of the of the “Development of High Speed Local Reflow Soldering Welding Society Symposium on Microjoining and Assembly Feb. 2002 Environment Process for Lead-free Solder with Diode-laser” MEI Technology in Electronics Japan

Electric Science Technology Promotion Award The Promotion Foundation for Electrical “Development of Ecology-Oriented Resin Mold Transformer” MEI Nov. 2001 (OHM Technology Award) Science and Engineering, Japan Grand Prize, “Development of Explosion Prevention Technology to Nihon Keizai Shimbun (P.31) Mar. 2002 Nikkei BP Technology Award Achieve CFC-free Refrigerator” Matsushita Refrigeration Company Japan Recycling Promotion Oct. 2001 Kadoma Site/Okayama Site, AVC Company; Conference Utunomiya Visual Plant, Television System Products Division; Clean Japan Center Yamagata Plant, AVC Devise Business Unit; MEI Conservation of Chairman's Award of Nagaoka Site/Arai Plant/Tonami Plant, Semiconductor Company, MEI Resources Recycling Promotion Conference Okayama Site, Semiconductor Company/Lighting Company, MEI and Recycling Utunomiya Site, Lighting Company/Display Devices Company, MEI Nagasaki Plant, Headquarters/Saga Division/Telecom Division, Kyushu Matsushita Electric Co., Ltd.

71 Matsushita Electric Group Environmental Sustainability Report Facts & Figures • External Awards

Category Name of Award SubjectDate Presenter Saijyo Site/Ipponmatsu Site, Matsushita Kotobuki Oct. 2001 Electronics Industries, Ltd., Recycling Promotion Chairman's Award of Kasugai East Division, Matsushita Seiko Co., Ltd. Conference Recycling Promotion Conference Takefu Matsushita Electric Co., Ltd., Tajima Matsushita Clean Japan Center Electric Co., Ltd., Miyazaki Matsushita Electric Co., Ltd. Nagatano Plant, West Electronic Co., Ltd.

"Air Mold QOOPAQ" World Packaging WorldStar Award Organization AVC Network Business Group, AVC Company, MEI Nov. 2001 Asian Packaging AsiaStar Award Federation Conservation of Director General Award, Manufacturing Industries Bureau, Resources Japan Packaging Ministry of Economy, Trade and Industry Japan Star Award and Recycling Institute President Prize of Japan Productivity Center for "Flower-Open Case" Socio-Economic Development Japan Star Award Television System Products Division, AVC Company, MEI Nov. 2001 Electric Equipment Packaging Category Prize "Environment-Conscious Packaging for Communications Equipment" Matsushita Communication Engineering Co., Ltd., Matsushita Communication Industrial Co., Ltd. Good Packaging Award Nov. 2001 “Creation of New Value: Development of ‘See'n Separate Pack’ for Packaging Technology Prize Dry Cell Batteries and Introduction in the Market” Kinoshita Award May 2001 Matsushita Battery Industrial Co., Ltd. Liaoning Company Efforts for Shenyang Matsushita Storage Battery Co., Ltd. Apr. 2001 Committee of Economy and Trade, Water Conservation Award Liaoning Construction Agency, Liaoning Individual Efforts for Zhang Jiming, Vice president of Shenyang China Water Conservation Award Matsushita Storage Battery Co., Ltd Excellence Prize Matsushita Electric Group Toyo Keizai, Inc. May 2002 Green Reporting Award Environmental Sustainability Report 2001 Japan 40th Anniversary Special Award The Japan Environmental technology advertisement series of MEI Dec. 2001 Environmental Industrial Advertisement Grand Prix Industrial Journal Communication Television Category Trophy Winners Combination (TIE) Hollywood Radio and Environmental TV commercial series of MEI Jan. 2002 International Broadcasting Awards (IBA) Television Society Award for Continued Excellence Ecology Symphony Environmental Website of MEI Mar. 2002 ECO-Web Awards Japan

Grand Prize in the 11th Global Environment Award Energy Star Partner of the Year Award for Four Consecutive Years

In the presentation of the 11th Global Environment Award (presented by In March 2002, Matsushita Electric Industrial Co., Ltd. and Japan Industrial Journal and Fujisankei Communications Group), which Matsushita Electric Corporation of America (MECA) won the recognizes companies who actively work to protect the environment with trophy for the 2002 Energy Star Partner of the Year the aim of encouraging the development of the industry and co- presented by U.S. Environmental Protection Agency for the existence with the global environment, Matsushita received the Grand fourth consecutive year. The award was given for our Prize for the group-wide environmental initiatives in setting the achievement in selling energy-saving products that lead the Environmental Vision and in holding the Environmental Forum. industry, such as audio-visual products (TVs, video Matsushita has also received the 1st Fujisankei Communications Group recorders, and TV-recorder combo units) meeting 100% of Award, the 9th International Trade and Industry Minister's Award, and Energy Star standards in all 15 categories and for actively the 10th Federation of Economic Organizations Chairman's Award in promoting the Energy Star program in the market. past Global Environment Awards.

President Nakamura delivers a speech at the award ceremony. U.S. Environmental Protection Agency Administrator Whitman presents the trophy to Bearden, president of Panasonic Consumer Electronics Company (right), and Thompson, General Manager of MECA (left).

Matsushita Electric Group Environmental Sustainability Report 72 Facts & Figures Environmental Milestones

Era Activities of Matsushita Electric Group Milestones of the world Milestone of Japan

1967 Basic Law for Environmental Pollution Control enacted 1968 Air Pollution Control Law enacted 1968 Noise Regulation Law enacted 1970 Nov Pollution Survey Committee established 1970 Water Pollution Control Law enacted 1970s 1970 Waste Disposal and Public Cleansing Law enacted 1971 Environment Agency established 1972 Dec Environmental Management Office established 1972 Club of Rome publish The Limits to Growth 1972 The first White Paper on the Environment published 1972 U.N. Conference on Human Environment held in Stockholm (Declaration of Human Environment adopted) 1972 United Nations Environmental Program (UNEP) established 1973 Aug Appointed Pollution Prevention Administrator and Pollution Prevention Manager in each division 1975 Jan Environmental Management Regulations enacted 1976 Vibration Regulation Law enacted 1979 Law Concerning the Rational Use of Energy (Energy Conservation Law) enacted 1985 Vienna Convention for the Protection of the Ozone 1980s Layer adopted 1987 Montreal Protocol on Substances That Deplete the Ozone Layer adopted 1988 Feb CFC-reduction Committee established 1989 Oct Environmental Protection Promotion Office 1989 Basel Convention on the Control of Transboundary established Movement of Hazardous Wastes and Their Disposal enacted 1991 Jun Matsushita Environmental Charter 1991 Law for Promotion of Effective 1990s ("Environmental Statement" and Utilization of Resources enacted "Code of Conduct") enacted 1991 "Keidanren Global Environment Charter" enacted by 1991 Oct Matsushita Product Assessment adopted Japan Federation of Economic Organizations 1992 Oct Environmental Policy Committee established 1992 United Nations Framework Convention on Climate Change adopted 1992 The Earth Summit held in Rio de Janeiro, Brazil; Agenda21 and Rio Declaration on Environment and Development adopted 1993 Mar Matsushita Environmental Voluntary Plan 1993 The Basic Environment Law enacted adopted (Basic Law for Environmental Pollution Control 1993 Oct Won Stratospheric Ozone Protection Award abolished) presented by U.S. Environmental Protection Agency 1995 First Conference of Parties to the U.N. Framework 1995 Containers and Packaging Recycling Law enacted Convention on Climate Change (COP1) held in Berlin 1996 ISO 14001 International Standard on 1996 "Keidanren Appeal on the Environment" announced Environmental Management Systems launched by Japan Federation of Economic Organization 1996 COP2 held in Geneva 1997 Oct Corporate Environmental Affairs Division 1997 Koyoto Protocol adopted in COP3 held in Kyoto 1997 "Keidanren Voluntary Action Plan on the (CEAD) established Environment" announced by Japan Federation of 1997 Oct Environmental Conference established (Held Economic Organization semi-annually) 1998 Feb Love the Earth Citizens' Campaign commenced 1998 COP4 held in Buenos Aires 1998 Home Appliance Recycling Law enacted 1998 Feb Matsushita's first Environmental Report 1998 Law Concerning the Promotion of the Measures to published Cope with Global Warming enacted 1998 Jul Recycling Business Promotion Office 1998 Law Concerning the Rational Use of Energy established (Energy Conservation Law) revised 1999 Mar Acquired ISO14001 Certification in all 1999 COP5 held in Bonn 1999 Law Concerning Special Measures against Dioxins manufacturing sites enacted 1999 Mar Green Procurement launched 1999 PRTR (Pollutant Release and Transfer Register) 1999 Nov Won Grand Prize in the Environmental Law enacted Reporting Award presented by the Global Environmental Forum 2000 Jun Lead-free Solder Project commenced 2000 Global Reporting Initiative (GRI) issue The 2000 Develping an Environmental Accounting System 2000s 2000 Nov Won Grand Prize in the Environmental Sustainability Reporting Guidelines (Year 2000 Report) issued Reporting Award 2000 COP6 held in Hague 2000 Basic Law for Establishing the Recycling-based Society enacted 2000 Law for Promotion of Effective Utilization of Resources revised 2001 Apr Matsushita Eco Technology Center launched 2001 Reached final agreement on the actual rules of 2000 Law on Promoting Green Purchasing enacted 2001 Oct Environmental Vision and Green Plan 2010 Kyoto Protocol in COP7 held in Marrakesh 2001 Ministry of the Environment established through adopted reorganization of central government 2001 Oct Held Environmental Forum in Tokyo 2001 Environmental Reporting Guidelines (Fiscal Year 2001 Dec Held Environmental Forum in Freiburg 2000 Version) issued (Germany) 2001 Environmental Performance Indicators for Businesses (Fiscal Year 2000 Version) issued 2001 Law Concerning Special Measures against PCBs enacted 2001 Law for Promotion of Effective Utilization of Resources administered 2002 Feb Won the Energy Conservation Award 2001 Home Appliance Racycling Law administered presented by the Energy Conservation 2001 Law on Promoting Green Purchasing administered Promotion Council for the following products: á Triple Cooling System Refrigerator Series á Power devices for Switching Power Supply 2002 Apr Won Grand Prize in the Eleventh Global Environmental Awards presented by The Japan Industrial Journal 2002 Johannesburg Summit

73 Matsushita Electric Group Environmental Sustainability Report Third Party Comments Third Party Comments Sustainability Analysis by The Natural Step

With the purpose of verifying the Process Leading to the • Sustainability Analysis by The Natural Step validity and improving the quality of Product Sustainability Analysis our environmental policy and activities, as well as specific products June 2000 from the perspective of sustainabil- Studied The Four System Conditions for a Sustainable Society advocated by The Natu- The Natural Step is an international non- ity, Sustainability Analysis and ral Step. profit environmental organization founded Third Party Comments were entrus- in 1989 by Dr. Karl-Henrik Robert, a lead- ted to The Natural Step, a Swedish ing Swedish pediatric oncologist. Current- non-profit environmental organiza- ly, its activities are based in nine nations Ð June 2001 Sweden, its country of origin, Australia, tion dedicated to advocating the ba- Implemented a scenario planning workshop United Kingdom, Canada, New Zealand, sic principles for a sustainable so- for illustrating “a sustainable society in 2025” based on The Natural Step’s backcasting ap- United States, South Africa, Israel, and Ja- ciety and business. proach. pan. Based on the consensus of numerous scientists, The Natural Step in Sweden defined a set of conditions which establish the framework for a sustainable society, July 2001 Outline of Analysis advocating them as The Four System Con- Requested a sustainability analysis employ- ditions. As these conditions are non-over- ing The Natural Step methodology and con- lapping and covers the whole area of sus- ducted a benchmarking study against envir- In July 2001, a sustainability analysis of onmentally progressive companies in Eu- tainability, they are adopted in the sustain- our environmental policy and overall envir- rope. ability strategies of many environmentally (Matsushita staff visited The Natural Step progressive countries and corporations. onmental activities was conducted and re- headquarters in Sweden and received the The overall aim of The Natural Step is to ported on in the Environmental Sustainabil- sustainability analysis of Matsushita’s environmental policy and overall environmental spread this new concept throughout the ity Report 2001. To delve further into the activities. The results were reported in the global society, declaring that by satisfying results of the analysis and integrate them Environmental Sustainability Report 2001.) the conditions for a sustainable society into business activities, a sustainability and by practicing business in line with analysis of product strategy was carried those conditions, businesses can thereby out, taking representative products of our increase competitiveness. October 2001 company, TVs and refrigerators, as exam- An analyst from The Natural Step headquar- The Four System Conditions ples. ters in Sweden visited Japan and attended In a sustainable society, nature is not the Environmental Forum 2001 organized by We intend to not only improve the envir- subject to systematically increasing: Matsushita. 1)concentrations of substances extrac- onmental performance of our products, but A follow-up meeting was held to report on ted from the earth’s crust; also to further emphasize the sustainability the analysis. 2)concentrations of substances pro- aspect and apply it to product planning and duced by society; 3)degradation by physical means manufacturing. through overharvesting, introductions and other forms of modification; January 2002 and, in that society Outline of Product Sustainability Analysis Agreed on conducting a sustainability analy- 4)human needs are met in our society sis of products on a trial basis. Purpose: and worldwide. To examine our product strategy by learning the conditions required of products from the perspective of sustainability. Conditions for a Sustainable Society Analyst: Dr. Karl-Henrik Robert February-March 2002 Chairman and founder of The Natural Step Received and replied to a list of questions Professor of Resource Theory at the Univer- (sustainability template) from The Natural sity of Gothenburg, Sweden Step. 3 Coordinator: Sachiko Takami Chairperson, The Natural Step Japan 4 Translator: April 2002 2 Kazumasa Miyata Results of The Natural Step sustainability Facilitator, The Natural Step Japan analysis reported to Matsushita’s environ- Information provided: mental executives. Matsushita’s answers to the sustainability template presented by The Natural Step 1 Period of Analysis: February 1, 2002 Ð April 3, 2002 1 Extraction from the earth’s crust 2 Chemical substances 3 Degradation by physical means URL Environmental Sustainability Report 2001 (Third Party Comments on the Report) 4 Human needs http://www.matsushita.co.jp/ Reporting the results: April 3, 2002 environment/2001e/er01e_63.pdf

Matsushita Electric Group Environmental Sustainability Report 74 Third Party Comments

April 3, 2002 Sukeichi Miki CTO, Senior Managing Director, Member of the Board Matsushita Electric Industrial Co., Ltd.

Sustainability Analysis Report of Matsushita Products

[Outline] Matsushita’s lines of TVs and refrigerators were analyzed from a sustainability perspective, utilizing the The Natural Step framework. TNS presented a sustainability template containing questions to Matsushita, and based on Matsushita’s answers to these questions, TNS analyzed the current situation, vi- sions and plans for the future, and the early steps taken toward that future, focusing on the following three aspects: global market situation, principle product, and marketing and societal outreach. [Analysis] I. Global Market Situation áIt is an opportunity to further advance the awareness of TVs as an asset in efforts to dematerialize the global society at large. With this awareness, Mat- sushita have a potential to develop active plans to, for example, offer products or services in ways that are not confined to sell TV sets conventionally, but go beyond merely selling them, transcending conventional marketing practices. It is important that these products are regarded not only as sustainability problems that need to be tackled, but also as presenting great prospects for achieving a sustainable society. ·It is essential to enhance awareness that consideration should be given to the developing countries, regarding TV’s as an asset for achieving sustainable development, also taking into account the need to curb rebound effects from IT. and to develop active plans for its sustainability. The IT market must be expanded in the future This awareness may not lead to any immediate actions, but should be used to develop active plans, and be made an explicit part of Matsushita’s long-term executive plans. II. Principle Product i) Dematerialization áMatsushita has reached global top-level technologies when it comes to pursuing lean production, compact and light materials, energy efficient end products, and “pre-recycling” i.e. preparing TVs for recycling as early as the production level. áAs for refrigerators, Matsushita has made remarkable and valuable progress in energy efficiency, 81% less energy use than that of products made in 1995. áFrom the sustainability viewpoint, it is necessary to achieve a much higher recycling rate of TVs than is presently occurring. To improve recycling rates, it is also necessary to eliminate impurities from materials used in TVs. These concerns also apply to refrigerators as well, with emphasis on the need to recycle all refrigerators. ii)Substitution áThat Matsushita is considering magnesium as a prospective material makes future development highly interesting. As magnesium is abundant in natural systems, it is thought that increased concentration is unlikely to occur. (Since the phasing out of many inherently unsustainable materials will require substitutes, it is good that new methods and materials are introduced as assets for sustainable development.) In addition, to take greater advantage of the potential of magnesium, it is extremely important to conduct critical investigation of the current activities in relation to this metal, from energy used for mining and processing to recycling, from the standpoint of sustainability. áSelection of chemicals must be undertaken with more strict discrimination. As lists of hazardous compounds are based on their known effects only, the phasing out of these chemicals will not be sufficient in the long run. The new refrigerant Isobutane (HC-600a) used in refrigerators is an example of stra- tegically sound substitution. However, it is important not to evaluate these chemical substances by the present environmental load alone, e.g. their effect on global warming. From the standpoint of sustainability, all compounds that are persistent in and foreign to nature need to be phased out, and to that end a more rigorous analysis of chemicals needs to be done. áAs for the supply chain, guidelines are necessary for sustainable use of forest resources, strip-mining processes, and restoration of natural systems after resource extraction. It is also important to define and declare Matsushita’s long-term vision that complies with The System Conditions of a sustainable society. ·From a human point of view, Matsushita’s plans are very promising. For example, it has enacted specific measures to increase energy efficiency and reduce CO2 emissions, and made long-term plans for recycling of materials, which is important from a global human perspective. It is the poor countries of the world that seem particularly at risk from a human global perspective, and scarce metals and their prices may become constraints to those countries. However, no comments are provided by Matsushita regarding the social costs of extracting raw materials from developing countries, and the future design of social infrastructure and products that fit the needs of the developing countries. III. Marketing and Societal Outreach A very good example of outreach from Matsushita is the repair service it offers. While a highly positive effort, it is still a poorly exploited means of dematerialization. However, as the future picture is very clear, actions must be taken to change the overall systems in society and promote the use of such services. Another example of outreach is displaying power consumption figures on the refrigerator doors and introducing energy-saving tips in product catalogs. Though Matsushita is already greatly contributing in such ways, as a company heading in the sustainable direction, it must further expand societal outreach as one of its main strategies. To enable evolution into a sustainable society, it is necessary to promote wider communication and actively influence the society at large. The key to this is forming partnerships with other businesses, universities, and governmental institutions, as well as approaching customers. It is critical to link sustainability activities to societal outreach, and at the same time, for the top management level to be aware of sustainability in their business activities.

Comments from TNS Chairman Karl-Henrik Robe`rt “Through the two analyses of overall business activities and specific products, we have come to understand that Matsushita is progressing in the direction of sustainability. With a greater vision, we hope Matsushita will serve as a model for not only Japan, but for Asia and the world as well. We look forward to Matsushita’s continued challenges toward sustainability.”

This report is prepared from excerpts taken from the Sustainability Report of Matsushita Products.

75 Matsushita Electric Group Environmental Sustainability Report Third Party Comments Third Party Comments In Response to the Third Party Comments •

FY 2001 marked an epoch in the history of This is because we believe the keyword for spreading such products to the society. Sustainability Analysis by The Natural Step/In Response to the Third Party Comments Matsushita. Looking at the decade ahead, for realizing our Environmental Vision and By augmenting the “market-in” concept of we established the Environmental Vision Green Plan 2010 is “sustainability.” It is a offering values requested by customers and its action plan, Green Plan 2010, and new concept of realizing both environmen- with the “society-in” concept of respond- the direction to be taken by the company tal conservation and business developing to society’s needs and contributing to was made known to society through the ment. Until now, we have promoted the its development, we hope to promote fur- Environmental Forum, which served as a development of Green Products (GP) in ther evolution of our company. venue for the active exchange of views. pursuit of environmental efficiency. As the This year, we focused on product devel- next step, under the concept of Super GP, opment based on our action plan and had it we are aiming to create products in pursuit analyzed in great detail according to the of sustainability. The natural fluid (HC) re- explicit concepts of The Natural Step. frigerators marketed in FY 2001 and While we consider the targets of Green household fuel cell cogeneration systems Plan 2010 to be high hurdles, the high currently under development are equipped evaluation of their direction has been with new environmental technology. By strongly encouraging. With renewed deter- generating an added value of environmen- mination, we intend to concentrate on at- tal performance, these products contribute taining those targets. Also of great interest to expanding the market, as well as to real- to us are their suggestions for efforts to be izing a sustainable society. Incorporating undertaken by Matsushita as seen from the the results of this analysis, I believe we perspective of sustainability. can deepen discussions on Super GP and sustainability within the company. Furthermore, we learned that with products made in pursuit of sustainability, it is extremely important to make active approaches to the market. Partnership with governmental organizations and other Sukeichi Miki businesses, and activities to raise custom- CTO, Senior Managing Director, Member of the Board in Charge of Technology, Quality, and Environment With Sachiko Takami, The Natural Step Japan ers’ awareness, can serve as a great power Matsushita Electric Industrial Co., Ltd.

generation system, realizing energy sav- Afterwards ings of 30% compared with buildings of In this report, we aimed to convey in as (Scheduled to open in September 2002) equivalent scale. Eco tours of these sys- much detail as possible the lively activi- tems are available. We await your visit to ties and transformation occurred in FY The Panasonic Center is a comprehensive the Panasonic Center. 2001, which served as a big step forward information base for global transmission of for Matsushita, as well as the compara- the corporate image pursued by Matsushi- Information tively tedious efforts behind the scenes. ta, and for marketing through real communi- Hours: 11:00-18:00 (closed on Mondays) There is no place for business activity that cation with customers. It features displays Access: ignores the problems of our society, as of life in the near future, a broadband studio Tokyo-Shinbashi-Ariake ¥ solving those problems gives meaning to equipped with the latest digital recording (JR Yamanote Line Yurikamome) Osaki-Kokusai Tenjijo (Rinkai Line*) our existence. We look forward to receiv- system, and a museum (fee required) ¥* To be extended to JR Yamanote Line Osaki ing your frank comments through this re- where one can learn about the future of hu- Station in December 2002. port. mankind and the global environment For inquiries: Panasonic Center through scientific exhibits of dinosaur fos- Published by Minoru Ueda, Director, 2-5-18 Ariake, Koto-ku, Tokyo sils. Under the theme of coexistence with Corporate Environmental Affairs Division Phone +81-3-3599-2500 the environment, various ideas for preven- Please send comments and inquiries regarding tion of global warming are demonstrated, this report to: Corporate Environmental Affairs Division, from advanced technology such as a Matsushita Electric Industrial Co., Ltd. household fuel cell cogeneration system to (Attn: Yuko Kida, Yumiko Hirai) 1006 Kadoma, Kadoma City, Osaka 571-8501 Green Products for daily use. The Center is Tel: +81-6-6908-1243 Fax: +81-6-6909-1163 also equipped with Matsushita’s own envir- E-mail: [email protected] http://www.matsushita.co.jp/environment/en/ onmental developments, such as an energy Issued in September 2002 management system and a solar power Produced with the cooperation of Cre-en Co., Ltd.

Matsushita Electric Group Environmental Sustainability Report 76 This mysterious deep blue is called Tsugaru lacquer. The blue color is rarely seen in Japanese lacquer ware. What made this color possible was the innovative modern technology of lacquer masters. Lacquer ware is made with several layers of lacquer resin coating painted on wood such as Hiba cypress, Japanese white bark magnolia, or katsura tree. Lacquers have been made since the Jomon Period, a few thousand years ago. They epitomize a highly sophisticated manufacturing culture combining the blessings of rich forest resources that supply the wood and instruments and an exquisite tradition of craftsmanship.

This report uses 100% recycled paper, with an 85% whiteness for the main text and 70% for the Facts & Figures section. Vegetable soy ink is used to conserve oil resources and reduce air-polluting VOCs (volatile organic compounds). The printing was carried out in an ISO 14001-certified plant.

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