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Toyo Seikan Group CSR Report 2019 Toyo Seikan Group CSR Report 2019 CSR Ofce, Toyo Seikan Group Holdings, Ltd. Osaki Forest Bldg., 2-18-1 Higashi-Gotanda, Shinagawa-ku, Tokyo, 141-8627 Japan Tel. +81-3-4514-2303 Published in October 2019 Table of Contents Editorial Policy .............................................................................................................................................................. 2 Basic Report/Table of Contents .................................................................................................. 3 Company Profile............................................................... ......................................................................................... 4 Top Message ................................................................................................................................................................. 6 We will seriously look at the current situations regarding our eight material issues and commit ourselves to a continuous reform. CSR Management of Toyo Seikan Group ................................................................ 8 Environment Our Commitment to Global Environment ........................................................... 10 Open Up and Social Quality Assurance System ............................................................................................................... 16 Human Rights .............................................................................................................................................................. 18 Together with Our Employees ................................................................................................... 19 Be Inspired Social Contribution Activities ....................................................................................................... 24 Governance Corporate Governance ........................................................................................................................... 26 Compliance .................................................................................................................................................................... 28 Risk Management ............................................................................................................................................. 29 Toyo Seikan Group Companies ............................................................................................. 30 The Toyo Seikan Group contributes to the solution of social issues through its business activities. All employees of the Group are aware of their social responsibility in daily operations and act accordingly. Through these efforts, the Toyo Seikan Group creates the values of “Open Up and Be Inspired”, and aims to become a company that contributes to creating a sustainable society. Editorial Policy Basic Report The Toyo Seikan Group (the “Group”) promotes CSR management based on its “Management Philosophy” under Companies covered by the Report: Please refer to the relevant websites for details of activities a holding company system. Domestic and overseas group companies at group companies described below. This report was created with the aim to clearly communicate the Group’s CSR vision and activities to its including Toyo Seikan Group Holdings, Ltd. (Reports marked with an asterisk (*) are available only in stakeholders. For your better understanding of our specific CSR activities, we classified our achievements in fiscal Japanese.) Period covered: April 1, 2018 to June 30, 2019 2018 (the year ended March 2019) into environmental, social and governance categories and described them in ■ Toyo Seikan Co., Ltd.: Environmental Website* the corresponding sections of the report. Please visit our website for the information not covered by this report, Numerical data: April 1, 2018 to March 31, 2019 ■ Toyo Kohan Co., Ltd.: CSR* such as our CSR-related policies, systems and data. ■ Tokan Kogyo Co., Ltd.: CSR Our stance on CSR is based on sincere communication with our stakeholders and actions originating from such Published in: communication. We would appreciate your opinions and feedback. October 2019 ■ Nippon Closures Co., Ltd.: Environmental and Social Activities* The following is our new website, which is expected to be available at the end of October. (Next issue to be published in October 2020) ■ Toyo Glass Co., Ltd.: Environmental Activities* https://www.tskg-hd.com/en/csr/ ■ Mebius Packaging Co., Ltd.: Our Commitment to Environment Reference Guideline: ■ Toyo Aerosol Industry Co., Ltd.: Environmental Policy* ISO26000 (Guidance on Social Responsibility) ■ Tokan Material Technology Co., Ltd.: The Measure for Environment 2 Toyo Seikan Group CSR REPORT 2019 3 Company Profile Toyo Seikan Group Holdings, Ltd. Financial Data (Consolidated) Founded: June 25, 1917 Net sales by business segment Net sales Operating prot ROE Representative: Ichio Otsuka, Real estate related 1.0% Functional materials 850 (Billion yen) 40 (Billion yen) 4.0 (%) President and Representative Director Others related 5.2% 3.4% 3.2 Capital: 11,094,600,000 yen 36.2 Head Office: Osaki Forest Bldg., 2-18-1 Higashi-Gotanda, 800 30 2.0 1.9 31.8 Shinagawa-ku, Tokyo 141-8627, Japan Steel plate related 793.1 7.8% Packaging related 785.2 Number of 399 (18,938 on a consolidated basis) 779.4 25.4 Employees: as of March 31, 2019 82.7% 750 20 0 Business Overview 700 10 -2.0 0 0 -4.0 -3.8 Packaging business Steel plate related Functional materials business related business 2016 2017 2018 (FY) 2016 2017 2018 (FY) 2016 2017 2018 (FY) Earnings per share Net assets & equity ratio Research & development costs 150 (Yen) 1,000 (Billion yen) (%) 100 20 (Billion yen) Net Assets Equity Ratio 800 80 103.05 75 725.8 720.2 15 649.8 Manufacturing and sales of Manufacturing and sales of Manufacturing and sales of 60.06 14.3 14.1 13.7 various packaging containers that various steel plate materials used materials with various functional 600 60 support people’s daily lives, such in every phase of daily life, such as properties, such as aluminum 0 57.6 58.2 58.6 10 as metal cans, plastic containers, materials for cans, electrical and substrates for magnetic disks, 400 40 closures, glass bottles, paper electronic components, automotive functional films for optics, glaze, containers and aerosol products. and industrial machinery parts, micronutrient fertilizers, pigments -75 5 and construction and consumer and gel coats. 200 20 electronics. -121.96 -150 0 0 0 2016 2017 2018 (FY) 2016 2017 2018 (FY) 2016 2017 2018 (FY) Machinery and equipment Real estate related Other businesses Cash ow No. of employees Net sales by region business 150 (Billion yen) 19,000 (Persons) Manufacturing and sales of Operating Investing Financing Asia (Thailand, China, Malaysia, etc.) packaging-related machinery and activities activities activities 18,938 7.4％ equipment including container 100 Others (U.S., etc.) manufacturing equipment and filling 18,500 79.9 7.1％ & seaming equipment. 18,490 59.2 55.2 18,419 50 18,000 0 Logistics Leasing of office buildings and Manufacturing and sales of Japan commercial properties. automotive press dies, machinery 17,500 85.5 -29.5 -25.2 ％ and appliances, hard alloys and -50 -30.5 -36.4 -47.6 agricultural-use materials; sales of -53.8 Motor truck transportation and petroleum products; and non-life -100 0 warehousing mainly for group insurance agency business. 2016 2017 2018 (FY) 2016 2017 2018 (FY) companies. * Since the Company has adopted the “Partial Amendments to Accounting Standard for Tax Effect Accounting” (ASBJ Statement No. 28, issued on February 16, 2018) for its consolidated financial statements from fiscal 2018, figures for fiscal 2016 and 2017 are retrospectively adjusted according to the amended standards. 4 Toyo Seikan Group CSR REPORT 2019 5 Top Message We will seriously look ❸ Contribution to environment protection company Toyo Seikan was subjected to an onsite While the Group has been addressing environmental inspection by the Japan Fair Trade Commission (JFTC) for issues based on its mid-term environmental goals, Eco alleged violation of the Antimonopoly Act of Japan related at the current situations Action Plan 2022, the recent development, including the to beverage can trading. The company fully cooperated problem of marine plastic pollution and the movement of with the investigation. On September 26, 2019, it received governments to formulate their plastic recycling policies, from the JFTC a cease and desist order and a surcharge regarding our eight is prompting the Group to set higher goals. Against this payment order under the Act. backdrop, the Group has established this year its new mid- We have seriously taken to heart these facts and will term goals, Eco Action Plan 2030, focusing on “innovation commit ourselves more firmly to compliance with laws and material issues and for decarbonization.” The new plan includes a carbon regulations. footprint reduction target for the entire supply chain as well as targets of replacement to recycled and recyclable commit ourselves to a materials, including plant-derived plastics. continuous reform. ❹ More sustainable supply chain To create a sustainable Earth, we need combined efforts across the entire supply chain in addition to the Group’s commitment. We will contribute to achieving the sustainable Earth through pursuing a responsible corporate procurement with due consideration of environmental, social and human rights issues. Clear strategies with the backcasting PET bottles, the same amount as the
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