For a Greener world

For our Global resources

For future Generations Foreword

Contents We at Noritsu Koki share the strong conviction of our founder to 01 Corporate Profile “put the customer first”which has also become our business phi-

losophy, and we have set for ourselves a corporate image as 02 Foreword Yukihiko Chayama, President and CEO “always the No. 1 choice of customers, a company that leads the 03 Corporate Governance Building a Management System for Swift Decision-Making / Board of Directors / Board global market.” of Auditors / Management Strategy Meetings / Compliance / Counseling and Reporting We aim to become a leader in the global market by offering prod- Arm / Corporate Governance System / Code of Behavior ucts and added-value services that match the needs of customers, 04 Close-up: Our New Environmentally-friendly Product both domestic and international, with each one of our employees 06 Environmental Management and management contributing to their full potential. Our Environmental Policy / Environmental Management System / ISO14001 Acquisition / Environmental Protection Promoting System / Green Procurement Guidelines / Environmental Education / Intra-Company Network / Greenery at the Head Office / With that, we will be working to develop our brand value both in Environmental Objectives, Targets, and Evaluations / Environmental Impact / Japan and abroad, and maximizing the use of our global market Environmental Preservation Activities network, our leading technical capabilities in manufacturing and 15 Social Activities Communicating with Society and the Local Community R&D, and the extensive management resources we have built Collection and Donation of Idle Clothing / Internships /Ambulance Donation /Disaster over the years, to take steps that will earn us high marks from Prevention Drills /Cleanup Activities in the Local Area / Blood Drives Communicating with Customers the marketplace and improve brand value. Photo Event at a Kindergarten / Promotional Support / Demonstrations and Business Exchanges / Connections to End-Users / Acquired ISO9001 Accreditation Businesses today can no longer seek profits as the lone direction Communicating with Investors and Shareholders Appropriate Disclosure of Information for enhancing corporate value and earning respect as a corporate Communicating with Employees citizen, because of the strong pressure placed on them to fulfill Talking with Stakeholders to Ensure a Mutual Understanding / Occupational Safety and Health Management System / Support for Employees their social responsibilities. Environmental problems have grown

Cover Photo : Lupines Field in Hokuseinooka (Kamikawa, Hokkaido) to global scale and are requiring businesses to take creative meas- ures to correct them. About This Report Noritsu Koki has selected specific areas to address in this re- Like last year, we have entitled the 2009 edition of this environmental report “Environmental & gards and is aggressively working to produce results with them, Social Report” in order to make readers aware of our social commitments in addition to i.e., compliance with laws, regulations and social ethics, consumer reporting on our environmental activities. While we have done our best to be as comprehensive as possible, we are also aware that this report may have some shortcomings. Therefore, we protection, environmental preservation and protection, reduction welcome any opinions that may help us to make improvements for future reports. of environmental loads, occupational safety and health, local in- vestment, contributions to local communities, etc. Operations Covered in This Report In addition to the main factory at the head office, Noritsu also has assembly and production Through these efforts, Noritsu Koki is aiming to be a company plants in China (Shanghai) and Brazil (Manaus). However, most of the operations that are likely Yukihiko Chayama with the following four attributes. to have an impact on the environment take place at the head office. These operations include President and CEO product planning and development, material purchasing, machining, painting, chemical handling, 1. That continues to offer products and services that are even assembly, disposal of waste material, and consumption of energy. Noritsu Koki has obtained more appreciated by our customers certification for ISO14001 for its operations at the head office, and therefore this report will cover 2. That continues to develop a working environment that offers operations and activities related to the head office. even greater job satisfaction

Period Fiscal year 2008 (April 2008 - March 2009) 3. That continues to be valued by society through increased *This report covers some activities in and after April 2009. contributions to society 4. That continues to create greater corporate value for Date Published December 2009 shareholders

Contact Noritsu Koki Co., Ltd. Noritsu Koki will be working to increase the number of opportun- Human Resources Development & General Administration Division ities to communicate with all of our stakeholders―customers and General Affairs and Public Relations Group general consumers, shareholders, suppliers, employees and local 579-1, Umehara, Wakayama City, 640-8550, Japan residents―establish ourselves as a company agreeable to and Phone: +81-73-454-0307 trusted by all, improve corporate value and develop business. URL: http://www.noritsu.co.jp

Website information This report and information on Environment Management and Social Responsibility can be viewed from the "About NORITSU" page of the company website.

URL: http://www.noritsu.co.jp/company/index.html

Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 01 Company Profile Domestic Business Locations Net Sales (millions of yen) Corporate Governance 80,000 Non-consolidated Name: Noritsu Koki Co., Ltd. ●Head Office Consolidated ●Domestic Subsidiary Sapporo branch office 60,000 Operations began: June 1951 ●Domestic Factories ● Established: June 1956 ●Domestic Branch Offices 40,000 Building a Management System for Swift Decision-Making Code of Behavior Capital: ¥7,025,302,000 Noritsu Koki is building a management system for speedy decision-making in order to quickly react Noritsu Koki has established the basic criteria for 28 20,000 to changes in the business environment. To begin with, management and business units were sepa- areas of behavior. Here is provided only an outline. Number of Employees (Head Office) : rated and an Executive Officer System was introduced to strengthen corporate governance and in- General Provisions 937 (As of September 30, 2009) 0 2007／3 2008／3 2009／3 crease managerial efficiency. Swift decision-making on the part of management is strengthening 1. Observance of Laws and Regulations Head Office: the organization and enhancing the efficiency of operations. 579-1, Umehara, Wakayama City, Japan ● Sendai branch office Operating Profits Society (millions of yen) 2. Social Contributions Phone: +81-73-454-0307 Osaka branch office Board of Directors 6,000 Non-consolidated 3. Fair Corporate Practices Fax: +81-73-454-0420 Consolidated In a move to further strengthen the management supervising capability of the company's Board of Noritsu Koki Co., Ltd. 4. Abstention from Relations with Antisocial Directors, an outside director was invited to participate in the decision-making process and provide Hiroshima branch office ● Tokyo branch office Powers ● 3,000 Fukuoka ● an independent and neutral outside view to management. 5. Environmental Preservation and Protection branch office ● ● NK Relations Inc. 6. Observance of Trade Laws and Regulations ●● Nagoya branch office ●● 2009／3 Board of Auditors 7. Export Security Control 0 ● 2007／3 2008／3 Head office factory Our company is adopting the Auditing System, and its Board of Auditors consists of four auditors, Customers, Suppliers and Competitors NK Agri Co., Ltd. two of which are outside auditors. Their job is to build a fair and impartial system for auditing the Nishimoto Co., Ltd. 8. Product Safety -3,000 companyﾕs business. Moreover, an Internal Audit Division was created underneath the CEO to con- 9. Observance of Antitrust Laws duct internal audits whenever necessary. In an effort to improve the quality of corporate audits, the 10. Observance of Fair Trade and Board of Auditors and Internal Audit Division work closely together sharing information and opinions Subcontracting Laws Overseas Business Locations Ordinary Profits 11. Relations and Gift Exchanging ●Main Overseas Subsidiaries (millions of yen) through explanations of annual auditing plans, jointly conducted audits and the joint retention of au-

6,000 Non-consolidated diting reports. 12. Appropriate Publicity and Advertisement ●Overseas Branches & Offices NORITSU SHANGHAI PHOTOFINISHING EQUIPMENT MANUFACTURING CO., LTD. Consolidated Shanghai Noritsu Studio Service Co., Ltd. ●Overseas Factories Shareholders and Investors Shanghai factory Management Strategy Meetings 3,000 13. Disclosure of Management Information Noritsu (R) Co. Ltd. At Noritsu Koki, Management Strategy Meetings composed of the President, Executive Managing Di- 14. Prohibition of Insider Trading Noritsu Poland Sp z.o.o. NORITSU Moscow office AMERICA rector, and several Executive Officers and employees that the President selects are periodically held Noritsu (CR) spol. s.r.o. CORPORATION 2009／3 0 as an advisory organ on executive actions of the President. They report, discuss and coordinate ba- Employees Noritsu (Deutschland) 2007／3 2008／3 15. Respect for Human Rights and GmbH sic issues from across all aspects of business, as well as important matters regarding the execution Antidiscrimination NORITSU (UK) ● ● -3,000 of corporate operations for referral to the Board of Directors. Auditors also attend these meetings. 16. Observance of Labor Laws LIMITED ● ● ● NORITSU ● ● ● 17. Health and Safety in the Workplace FRANCE ● Seoul Branch, ● ● Compliance 18. Sexual Harassment and Power Harassment E.U.R.L. ● ● Noritsu Koki Co., Ltd. Noritsu Canada Ltd. ● Net Income Noritsu Koki does not think of "compliance" as merely "observing the law." It has the broader mean- 19. Protection of Personal Information NORITSU ●● ● ● ● Noritsu Taiwan Co., Ltd. (millions of yen) ITALIA S.r.l. ● NORITSU ing of "fulfilling our social responsibilities as a company." The Compliance Committee launched in ● NORITSU (FAR EAST) LIMITED DO BRASIL LTDA. Non-consolidated Company Brazil factory Consolidated April 2004 plays a key role in our corporate compliance. In December 2004, the Code of Behavior ● NORITSU PHILIPPINES, INC. 4,000 20. Prohibition of Illegal Activities ● ●● NORITSU HELLAS LTD. NORITSU MEXICO, was instituted based on our Basic Policy on Compliance. Awareness activities are being conducted 21. Observance of Corporate Accounting Laws (Greece) NORITSU KOKI S.A. DE C.V. (N-MEX) (MALAYSIA) to educate each and every employee. and Regulations SDN. BHD. 2009／3 22. Management of Corporate Assets 0 NORITSU KOKI AUSTRALIA PTY. LIMITED ● 2007／3 Near East Branch, NORITSU Counseling and Reporting Arm 23. Management of Corporate Confidential 2008／3 Noritsu Koki Co., Ltd. SINGAPORE Information PTE LTD At Noritsu Koki, the Internal Audit Division serves as the compliance office and, by auditing compa- India Branch, 24. Protection of Intellectual Property Rights Noritsu Koki Co., Ltd. ny operations, audits the actions of employees. Within the Internal Audit Division is a group to -4,000 which employees can report incidents that happen in the company and seek counseling. This group Supplemental Provisions Summary of Business maintains the privacy of anyone who reports information and it has added more staff to provide sup- 25. Scope of Application of this Code of FY2008 Consolidated Net port for female employees. Requests from employees are gradually growing. The Compliance Com- Behavior Development, manufacturing, and sales of the following: Sales by Product Category (millions of yen) mittee also has a female attorney so that women's opinions on sexual harassment can be shared 26. Amendments to this Code of Behavior - Minilab systems (Indispensable items for photo shops) and effective action taken. 27. Counseling and Reporting Services - Digital dry minilabs (Environment-friendly printers that meet the needs of the new digital age) 28. Punishments - Peripheral equipment and software Other 8,588 (Products that improve efficiency and increase the variety of services that can be offered) Options Minilabs and spare 28,501 parts Corporate Governance System Major Products 8,344

Total 45,434 Board of Shareholders

FY2008 Consolidated Net Appointments Appointments Appointments & dismissals & dismissals & dismissals Sales by Region Management (millions of yen) Auditing Board of Auditors Other Japan Proposals and advice 6,469 6,972 Auditing of Compliance Committee Board of Directors Coordination Reporting of accounts Asia & Supervision, approval and audits and Oceania instruction related to the execution improvements 7,421 North Discussion of business of important operations Auditor America and other topics Europe 16,064 Consideration of business and other topics on 8,506 Auditing important operations and information sharing Digital Minilab QSS-37 HD Series Digital Minilab QSS-35 PLUS Series Consumer Terminal CT-SL Total 45,434 Management Strategy Meetings Representative Director Number of Employees Crisis-management Coordination Non-consolidated Consolidated Supervision, approval and Discussion and reporting instruction related to the related to the execution of Auditing and instruction of execution of important operations important operations 2,000 operation progress Internal Control Committee Executive Officer Instruction related to the Reporting related to the execution of operations 1,000 execution of operations Internal Audit Division Unit / Division Supervision of operations 0 Dry Minilab D703 Dry Minilab D502 Wide-Format Printing System MYTIS-1SP 2007／3 2008／3 2009／3 Operations

02 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 03 Close-up: Environmentally-friendly Product

Noritsu Koki's Dry Minilabs continue their evolution SHOP INTERVIEW

towards even higher“added-value”and Camera no Nishimoto is a photography and image chain with the most enhanced “environmental performance.” stores in Wakayama Prefecture. Using their extensive knowledge and experience, they provide customers with a host of services that convey To remain a viable player in the 21st century, Noritsu Koki is the fun of photography. We asked Kazuki Sosaka, manager of their working to develop and supply products of high added-value that Izumiya store, which was one of the first to introduce the D502, what he meet with the diversifying needs of customers and excel in felt about his new automatic duplex printer. environmental performance. The Dry Minilab is one of those results. Noritsu Koki was the first in the world to develop a Dry I chose the D502 Minilab on an inkjet system that did not use photographic automatic duplex printer chemicals subjected to special management and waste treatment to meet both customer requirements. Efforts were successfully directed at further and environmental needs. enhancing its performance as an environmentally-friendly product and widening our lineup. This report introduces the D502 that was Kazuki Sosaka newly added to our Dry Minilab series in 2009. Manager, Camera no Nishimoto Izumiya store DIMA Vision Award Winner The D502 received the DIMA Vision Award as an environment load. Our company is promoting efforts to innovative product at PMA 2009, the largest Customer opinion keyed us to eliminate waste liquors from photographic chemicals and, international convention and trade show in North introducing the D502 America for every kind of picture related product, in our stores, we are aggressively conserving energy and held at the Las Vegas Convention Center in Las doing other things to help the environment. In today's Vegas, Nevada, USA in March 2009. Our store introduced the D502 in May 2009. We already world, we can't be indifferent to environmental issues. I had been offering photo book services, but many think we need to more constructively appeal to customers customers had expressed their wishes for faster the fact that we are using environment-friendly equipment. turnaround of finished products. The problem was that work was outsourced, so it took time from when an order Better conveying the fun of photography

was placed until the book could be handed over. In that via a plethora of services regard, since the D502 is of space-saving-size, we installed one in the store and started having staff perform the production work, and now can turnaround projects Amongst our services that employ the D502, photo book the same day. Moreover, we were able to offer duplex production is the biggest and practically every customer printing, which was the second most demanded service. who uses this service is glad they did. Another good Wanting to serve customer opinion was the biggest thing about this is that they are showing friends their reason for introducing the D502. photo albums they had made and giving them as presents, which is having a positive effect of increasing Environmental-friendliness was use of this service by word of mouth. And, besides photo another key factor books, printing orders for calendars and greeting cards are steadfast climbing. I want to push the merits of the D502, such as printing for duplex calendars and Another key factor in introducing the D502 was its low business cards, with more customers.

Photo book production flow A long-awaited automatic D502 main features Because books are produced in-house, projects are finished in a few hours after an order is placed. ･ Wide variation of prints (duplex printing available) duplex printer D502 Finished Printing on ０４ (handed over)

The D502 inkjet dry minilab is equipped with the industry's ０２D502 first duplex printing function. It enables a wide variation of Photo books Greeting cards high quality prints for photo books, greeting cards, calendars and other compilations with photographic images that have

been the growing craze in recent years. Additionally, a com- pact design that facilitates maintenance makes it possible to install the D502 anywhere in stores. And, because operation is so simple that anyone can use it, Noritsu Koki expects Colorful albums New year's cards Photo calendars stores other than photo studios to employ it. ･ Chemical-free (Photographic chemicals not required) Order placed Binding

･ Energy- and space-saving design from kiosk ０３ ･ High image quality equal to silver halide prints ０１

04 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 05 Our Environmental Management

Noritsu employees do their part Environmental Management System ISO 14001 Acquisition to live harmoniously We care about our Global resources. We have established an environmental management Noritsu Koki is taking positive steps to protect the global with nature and with society. system in which all parts of the system work together to environment, live harmoniously with the surrounding habitat, achieve continual improvement in accordance with ISO and contribute to society; as we consider these topics to be Noritsu Koki wants to be a company that makes 14001 standards, so as to guide the company in the of the utmost importance. In relation to these activities, we contributions in a wide variety of areas, including the appropriate direction. received certification for ISO 14001 at the head office on environment, social welfare, education, the arts, and October 20, 1999, after careful planning and preparation culture; and through our actions we are striving to live which began on October 1, 1998. We will continue to take Environmental even greater steps to improve and maintain our up to our reputation as such a company. policy Plan environmental agenda, improve the life cycle assessment of We received certification for ISO14001 in October Planning We set our goals, plans and objectives for our products, and work to develop environment-friendly each year based on environmental impact 1999, and have implemented the “Environmental assessment results from the previous year. products. Policy” comprised of the“Philosophy” and “Action Agenda” described below, and are also implementing environmental-preservation activities. Do We are also making social contributions by actively Review Plan-Do-Check-Act Implementation and Operation Management participating in events and activities that benefit the (PDCA) Cycle In order to fulfill our Review goals and The top management community. objectives, we put reviews all of the our plans into activities throughout action. the year, discovering things that need to be improved upon, and We care about We care about puts into effect activities that will a Greener world. future Generations. enable us to maintain Act improvements for the Checking and Corrective Action next year. We check the progress of our plans, compliance with applicable laws and conformity with environmental Philosophy Action Agenda management system regulations.

With the company's head office bordering on both the Seto 1 Continuously improve and maintain our environmental Inland National Park and the Kisengo Prefectural Natural management system to firmly establish environmental Park, Noritsu Koki is highly aware of the importance of the action in our corporate activities, products, and services. relationship between mankind and the environment. Environmental Protection Promoting System From research and development to production, sales and 2 Strictly comply with all laws, regulations, and other service of Noritsu's products, we are initiating corporate environmental requirements for our company; work to To make all employees fully aware of Environmental Preservation Organization (Fiscal year 2008) activities that contribute to society. prevent pollution; and in communication with the local Noritsu's environmental stance, we have community and related government agencies, promote established a system for the promotion of Noritsu will continue to actively implement measures to Management assist with worldwide environmental protection and environmental protection activities, improve the greenery environmental protection. Under the harmonious coexistence with our immediate environment. around the factory, and use all economic and technical direction of environmental representatives, means to further improve the environment. important matters are discussed to set our Administration Division Internal Environment policies among committee members who Audit Committee 3 As actions related to environmental protection, are appointed from each major division/unit, periodically review the following specific measures enabling us to better promote environmental according to key goals and objectives. protection. Also, we established an internal Environmental Management Sales Division (1) CO2 reduction via the promotion of energy environmental audit committee to confirm Representative conservation once a year that environmental preservation (2) Effective use of resources by promoting the 3Rs activities are being carried out in (Reduce, Reuse, and Recycle) Research & accordance with the rules of the Environmental Promotion (3) Improvement to the environmental performance of Development environmental management system, that Committee Division products (low energy consumption, material recycling, the environmental goals and objectives, and environmental safety, etc.) the implementation plan are being (4) Reduced use of hazardous substances achieved, that all laws and requirements are Production & being obeyed, and that the system is in Manufacturing 4 Raise awareness of the company's environmental policy EMS Office compliance with the ISO 14001 standards. Division and environmental activities among all company employees and aggressively publicize the same from a CSR perspective.

06 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 07 Environmental Management

Green Procurement Guidelines Intra-Company Network Environmental Objectives, Targets, and Evaluations for the Fiscal Year 2008

In March 2008, we revised our Green Procurement Environment-related documents Direct impact on the environment Attained target or better Attained target Did not attain target Guidelines. Besides complying with environmental laws and are disclosed on company network Attainment Objective Target Responsible department progress regulations, we now prioritize business with suppliers that We have established a management system based on ISO Waste reduction (Recycle rate aggressively undertake environmental protection activities. By 14001 requirements. We use a company network to post improvement for laser engines) 75% return rate for laser engines CS Division

procuring products that lend themselves to safety, material environmental documents (Environment Manual, Reduce power consumption by 500 kWh by turning off unnecessary demands in General Administration Division, Human

Energy conservation guest rooms of the Center Building. Resources Division, Legal Division recycling and energy conservation, this will help us not only to Environment Standards, Environmental Procedure), which Keep new PC purchases to a minimum by using existing PCs to reduce resource Management Information Systems Division provide products of less environmental load but also to are created to enable continuous improvement in Reduce the amount of consumption. Target：30 PCs resources used reduce environmental load across the entire supply chain. To environmental-preservation activities, enabling any Reduce copy paper use by 17% or more (896 kg→750 kg) from the previous year. Finance Division be fair and impartial, these guidelines have been posted on employee to view these documents any time. Energy conservation Encourage employees to leave the office by 18:30 (twice monthly except in April and October).

our website for anyone to view. Correlation of environmental safety Enhance awareness of environmental safety and associated laws and regulations. Sales & Marketing Unit to sales promotion (Hold workshops 3 or more times /year.)

Increase know-how of environment-friendly design and apply it to product design (industrial field). Environment-friendly Design Plasma Business Promotion Division Increase know-how of environment-friendly design and apply it to product design (medical field).

Encourage employees to leave the office (twice monthly) to reduce power consumption, Production Unit and turn off lights during breaks. Energy conservation

Reduce work outside of regular business hours. (Reduce by 20% from the previous year.) Production Unit (Production Control Group)

Reduce regulated chemical substances Reduce use of eutectic solder by 5% from 154.5 kg. Manufacturing Division 1

(Printed Circuit Board Group) Reduce the amount of resources used Reduce discharge of solder slag by 10% from 301 kg.

Green Procurement Guidelines Equipment assessment in electronic data form Energy conservation Reduce energy consumption by consolidating processing machines. on company website We have devised an electronic data system to check production Manufacturing Division 1 Reduce the amount of Reduce internal defects by 30%. (Machining & Molding Group)

equipment before it is introduced at the factory, remodeled, or resources used Reduce outflow of defects to outside (within company) by 50%. disposed of. Under this system we check to see if there are Environmental Education Comply with wastewater quality standards. any applicable laws or regulations that need to be obeyed, if Obey all applicable laws (Manage COD values in degreasing wastewater treatment.) Manufacturing Division 1

and meet other requirements Measure water quality for 19 items in water pollution control law twice a year. Measure (Sheet Metal Works Group) it is energy-saving equipment, and whether recyclable water quality for 2 items in water pollution control law four times a year. materials are being used. Employees in the applicable Improve plastic recycling rate by thoroughly sorting waste and promoting recycling. Manufacturing Division 2 divisions enter the required information, and this information Waste reduction and recycle (Target: 80% ) (Assembly Groups 1, 2, and 3)

promotion is put into practice after approval is received from the EMS Reduce general waste by thoroughly sorting waste and promoting recycling. Production Engineering Development Division (Target: 5% or more from the previous year) office, the person in charge of equipment management, and Waste reduction Build, operate and specify the report format for a market quality adequacy evaluation Product Quality Assurance Department method using TM, and reduce component waste loss by 30%. the environmental management representative.

Survey suppliers about their environmental efforts and work to reduce environmental load. Environmental Preservation Procurement Division Industrial waste disposal tracing form (Manifesto) (Survey 9 companies on-site.)

In order to make sure that we are in compliance with the Establish environment-friendly design by; 1) Clarifying standards and processes for managing chemicals contained in products. Research & Development Unit, Waste Disposal and Public Cleaning Law (The Waste Environment-friendly Design 2) Setting targets for environmental specification items of products Product Development Divisions 1, 2, 3, and 4, and clarifying required specifications. Intellectual Properties Division Disposal Law) and prevent illegal dumping of industrial 3) Clarifying standards for managing product assessment.

waste, we are using software to issue the Industrial Waste Obey the Energy Conservation Law. (Reduce use of energy by 1% from the previous year.)

Obey all applicable laws and meet Disposal Tracing Form (Manifesto) and make sure that the Comply with the Act on Promotion of Global Warming Countermeasures (including the WakayamaAll divisions other requirements Prefectural Ordinance on Global Warming Countermeasures. (Reduc2 eemissions.) CO

returning deadlines are strictly adhered to. Environmental education to all employees General Administration Division (Facility Obey the Water Pollution Control Law as well as the applicable local law, the Setouchi Maintenance Group), Manufacturing Division Law. (These laws involve regularly checking and monitoring of the water quality.) We provide education to Noritsu employees on all levels (Sheet Metal Works Group)

concerning subjects including the environmental Obey the Waste Disposal Act. (Keep up manifesto thoroughly.) General Administration Division Greenery at the Head Office management system, the purpose and goals of our Product Development Divisions 1 and 2, Product Obey the Poisonous and Deleterious Substances Control Law. Quality Assurance Department, CS Division, environmental activities, our annual plans for environmental (Establishes and regulates inventory requirements for industrial and agricultural chemicals.) Manufacturing Division, General Administration Division

Greenery awards activities, waste sorting and recycling procedures, and our Plasma Business Promotion Division, Product

Our greenery activities have been recognized and we have Development Divisions 2 and 3, Product Quality progress in achieving our environmental goals. Obey the PRTR (Pollutant Release and Transfer Register) Act. Assurance Department, CS Division, Manufacturing received various awards including the Greenery Award of (Involves thorough management of the amount used and discharged.) Division, Production Engineering Development

Environmental awareness articles in Division, General Administration Division Excellence from the Minister of International Trade and Noritsu's magazine for employees Obey Noise/Vibration Regulation Acts as well as the applicable local law, the Wakayama Manufacturing Division Industry. Prefecture Pollution Prevention ordinance. (Control and maintain levels.)

Various information and issues related to the environment Obey the Air Pollution Control Law as well as the applicable local law, the Wakayama

are included in the "ISO 14001 information" section of the Prefecture Pollution Prevention ordinance. (Control and maintain levels thoroughly.) Manufacturing Division, General Administration Division company magazine, "HOTNY," enabling employees to Obey the Fire Prevention Act. (Control and maintain levels thoroughly.)

increase their awareness and understanding. Obey the High Pressure Gas Safety Law. (Control and maintain levels thoroughly.) Manufacturing Division

Obey the Package and Container Recycle Act. (Grasp the shipping volume of applicable CS Division (Parts Center) paper containers, and carry on the consignment contract.)

Implement a no-driving-to-work day. All divisions

Comply with EU directives. Environmental Promotion Committee

Environmental accounting Introduce and test an environmental accounting system. General Administration Division

Indirect impact on the environment

Reduce the effect our products Assess the effect our products have on the environment. Product Development Divisions 1, 2, and 3

have on the environment

08 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 09 Environmental Management

Environmental Impact Environmental Presevation Activities

Everyday at Noritsu Koki is an effort to correctly identify and appropriately mitigate Laws and Other Requirements Laws concerning our business and other requirements (Example)

the environmental loads of our business activities. No item was found to qualify as the “env- ･ Laws concerning the natural environment: Air Pollution Control Law, Soil ironmental debt” that was introduced in Contamination Countermeasures Law, Water Pollution Control Law, etc. INPUT Raw Materials OUTPUT FY2010 as accounting criteria. ･ Laws promoting the effective use of resources: Waste Management and Steel: 1,763t Chemicals: 34t CO2 Public Cleansing Law, Home Appliance Recycling Law, Law for Promotion Other Metals: 83t Packing Material: 647t Electricity: 5,908t-CO2 of Sorted Collection and Recycling of Containers and Packaging, etc. Energy Plastics: 285t Paper for Instruction Electricity: 18,020,000kWh Gas: 3,386t-CO2 ･ Laws concerning corporate environments: Industrial Safety and Health Rubber: 1t Manuals: 12t Law, Environmental Education Promotion Law, etc. (Includes Wind-Powered Water 3 Electricity: 420,000kWh) 27,000m ･ Overseas laws and regulations: RoHS Directive (EU), WEEE Directive Gas: 1,490,000m3 Wastes (EU), TSCA (USA), GHS (UN), etc. Oil: 44kl(Crude converted) Amount of valuable substance: 1,008t Amount of waste disposed: 1,085t Tap Water - Amount of recycled material: 919t 3 - Amount recycled within company: 20t 110,000m Sales, Reducing Waste / Recycling then recorded and compiled. Dividing the waste material Development Management Factory - Amount of thermal recycling: 125t - (Amount of landfill residue Garbage Separation Paper after thermal recycling: 6t (Estimated)) into types and subdividing these types helps to increase the 56t - Amount incinerated: 0t At Noritsu, waste materials are divided into 63 categories percentage of waste materials that are recycled and to - Amount of landfill (Industrial sludge): 21t Products 1,892t based on the table of garbage separation rules. The reduce the amount of garbage that is incinerated and

*Amount of recycled material: Amount of material recovered from waste by recycling Garbage in each division is collected, sorted by type, and landfilled. In this way, we promote efforts toward the then each type of garbage is weighed. These amounts are realization of Zero Emission. Power Consumption Water Consumption Tap water 25,000 ■ 100,000 ■ Amount of Recycling■Amount of recycled material* ■Amount of thermal recycling Recycling Rate ●Material recycling rate* ●Zero emissions attainment rate Electricity consumtion Well water for manufacturing ■ (Percentage reused as material)* 20,462 80,060 Increased 0.9% over last year 20,000 19,266 ● ■ 2,500- 100- 18,230 2,291 18,022 Electricity consumption 80,000 (Due to water leakage on our 98 2,163 for the office area company property) 97 97 1,598 1,880 ● 186 149 3,653 3,304 59,110 60,711 58,864 61,242 - 119 15,000 3,412 ● ■ 60,000 56,615 2,000 3,355 In-house (including 54,807 wind turbine) generated 46,191 Decreased 21.5% from last year electricity consumed (Due to decrease in the amount - 10,000 40,000 of watering for gardens and 1,500 Decreased 11.9% from last year lawns) 93 13,220 13,789 14,518 12,787 ●● 4 92 Decreased 17.9% from last year 90- 2,189 2,214 1,947 91 Decreased 8.1% from last year - 5,000 (By turning off unnecessary 20,000 1,000 lighting) Decreased 11.9% from last year (Due to decreases in production - 0 turnout and running 0 500 air-conditioning units) （1.000kWh） FY 2005 FY 2006 FY 2007 FY 2008 （m3） FY 2005 FY 2006 FY 2007 FY 2008

*Wind power generation decreased 15.6% to 420,802 kWh from 498,722 kWh of the year before. This was because the average wind speed was down from the previous year. 0- 80- （t） FY2006 FY2007 FY2008 （％） FY2006 FY2007 FY2008 Electricity-Production Ratio (Electricity used to produced 100 million yen worth of equipment*) Paper Purchased (Manuals excluded) *Amount of recycled material: Includes amount of valuable substance and amount recycled *Material recycling rate = Amount of recycled material/Total amount of waste disposed within/outside company. Zero emissions attainment rate = Amount of recycled material + Amount of thermal recycling / Electricity-Production Ratio Production Total amount of waste disposed 40,000

350,000 322,334 37,924 305,122 Material recycling means to recover used products and material for new products or raw material. Thermal recycling 300,000 8,000 30,000 30,525 Decreased 20.0% waste produced in production processes, process that in means not only to incinerate waste but also to recover and 284,706 from last year 250,000 ways that make it easy to use, and reuse (recycle) that use the heat energy generated in incineration. 6,000 200,000 5,904 20,000 20,947 4,949 4,807 150,000 4,000

100,000 10,000 Classification and disposal/recycle method of waste items (examples) 2,000 50,000 Classification Disposal/recycle method

Bottles, glass Glass is reduced to cullet, and this is used to make recycled glass. 0 0 (kWh per 0 100 million yen) FY 2006 FY 2007 FY 2008 (millions of yen) （kg） FY 2006 FY 2007 FY 2008 Aluminum Aluminum cans are sent to an aluminum factory where they are melted and then recycled. Cans *Does not include power consumed for office operations not associated with manufacturing. *A system introduced in FY2007 replaced the previously used shipping slips and so forth with copy paper. Steel Steel cans are sent to a steel factory where they are melted and then recycled.

Disposable Alkaline/Manganese, Lithium These are used to make recycled zinc, steel, cadmium, nickel and cobalt. batteries Natural Gas Consumption CO2 Emission Nickel/Cadmium batteries, 2,000 12,000 Rechargeable small shielded lead batteries, ■ batteries Nickel hydrogen batteries, Electricity lithium Ion batteries 1,552 1,611 10,000 Decreased 7.7% from last year Non-electric After dismantling and sorting, we separate the recyclable components (mostly metals) from the other components that 1,487 Scraps (Due to decreases in production parts Industrial syringe are sent to the incinerator (mostly plastics). After incineration, the ash and residue from the other components are used as 1,500 ■ (Regular) turnout and running air- Natural gas landfill for a governmental man-made island in the Osaka bay area. conditioning units) Electric parts 8,000 3,534 3,669 1,203 3386 2,739 Office equipment This is sent to a recycling center where it is dismantled. The parts are sorted and then recycled.

The mercury inside of the fluorescent light tube is collected and recycled. The metal portion is sent to a metal factory 1,000 6,000 Fluorescent lights where it is recycled. The glass is also recycled.

We use the chipper machine to reduce the pruned leaves and branches into small chips which are buried in the ground. Pruned branches 4,000 With the help of microorganisms, over time this becomes fertile soil. This fertile soil is then used in the gardens at Noritsu. 500 5,921 6,120 6,142 5,908 Metal scraps Each type of metal is recycled.

2,000 Scraps Recycled as copper. that can be Wire pieces

exchanged Rare metal is extracted from the PCBs and recycled. for money PCBs 0 0 （1.000m3） FY 2005 FY 2006 FY 2007 FY 2008 （t-CO2） FY 2005 FY 2006 FY 2007 FY 2008 Rollers The stainless steel portion and titanium portion are recycled. The plastic portion is incinerated during the melting process.

*45.0MJ/1000 Nm3 of heat generated from gas was used. The below values are used for the emission coefficients for electricity 0.356kg-CO2/kWh for FY2005, 0.358kg-CO2/kWh for FY2006, 0.338kg-CO2/kWh for FY2007, 0.366kg-CO2/kWh for FY2008

10 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 11 Environmental Management

Environmental Presevation Activities

Natural gas and electric vehicles used to Introduction of an electrostatic fluid cleaner conserve energy An electrostatic fluid cleaner has been introduced to Noritsu Koki has introduced a compressed natural gas truck molding machines to clean working fluid. This has for collecting garbage at the head office and two similar eliminated the need for periodic fluid replacement and, as a specification shuttle buses for transporting employees to result, we realized a reduction of working fluid consumption. and from work, and it has also installed on-site natural gas Development Center remodeled as office replenishing facilities for these vehicles. And, to further To deal with the increased use of office equipment, the Reuse and recycling of roller shafts reduce CO2 emissions, electrically-powered vehicles have Development Center was remodeled into office space. and Using a press, the plastic used on rollers is stripped from also been added as a means of getting around the vast site. carpeting was laid in this area. The carpet eliminates the the stainless steel shafts so that the shafts can be reused. need to wax the floor and use chemicals like strippers in the Also, rollers that cannot be salvaged and were resultantly process, while it also provides insulation which helps to discarded as waste are now being recycled for their Saving Energy and Resources, improve the efficiency of the heater in the winter. materials by a newly developed company. Preventing Global Warming

Developing eco-friendly products to Preventing Water Pollution reduce the impact on the environment We take meticulous care Water pollution prevention requirements The rapid spread of digital cameras and broadband has （mg） increased the need for digital printing services, therefore to prevent water pollution Large washing unit Planting in front of the Center Building Entrance Septic tanks at Noritsu at Sheet Metal Dept. Noritsu Koki tied up with Seiko Epson to develop a dry and maintain extremely National Local Noritsu's Noritsu's Trees that had been damaged by typhoons around the high water quality. In fact, Title requirements requirements standard (max) Tested standard (max) Tested Remarks minilab system. Built with inkjet technology, this system PH 5.0～9.0 5.8～8.6 5.8～8.6 5.8～8.6 reduces environmental impact over earlier products entrance to the Center Building were replaced with a we have adopted a BOD Less than 160 Less than 120 Less than 15 Less than 15 because, in addition to being space-saving, low cost and different variety that holds up well against droughts and salt standard that is higher and COD Less than 160 Less than 30 Less than 25 Less than 20 SS Less than 200 Less than 150 Less than 50 Less than 50 (COD) water carried by typhoons. stricter than that of the The septic highly dependable, it does not require liquid chemicals and Phenol, etc. Less than 5 Less than 5 Less than 5 Less than 5 tanks and Water Pollution Prevention therefore does not produce any waste solution. Copper and Less than 3 Less than 3 Less than 3 Once every Less than 3 Once every washing copper compounds 3 mo. 6 mo. units are Act and the Wakayama automatically Motion-triggered lighting Zinc and Less than 5 Less than 5 Less than 5 Less than 5 Prefecture Drain Water zinc compounds monitored. Wind turbine We are making efforts to Iron Less than 10 Less than 10 Less than 10 Less than 10 In FY2008, this wind conserve energy by replacing the requirements, in regard to Manganese Less than 10 Less than 10 Less than 10 Less than 10 Less than 2 Less than 2 Less than 2 Less than 2 turbine generated about night lights along the staircase BOD, COD and SS figures. All chrome 2.3% of the energy that leads to the parking lot with consumed at our head motion-triggered lights that turn Environment Monitoring Results office, equating to a on when people pass by. 154t reduction in CO2 COD levels Geological surveys emissions. Resumed use of deep ground well In 1985 we adopted machines that automatically test the We have taken soil samples from the ground below the The water treatment system for the deep ground well that water 24 hours a day, and we have been using these to dichloromethane washing line and the NC line in our factory had been taken out of service because of water quality check the COD level ever since. Keeping a careful eye on and did an elution laboratory examination for trace elements. problems was reconditioned, and is now being used again. this number at all times gives us the ability to maintain clean As a result, the lab findings confirm that our soil samples Through this kind of effective utilization of water resources, water and also to stop the discharge any time in the event were safely below the pollution levels defined by the we are promoting a reduction in tap water consumption. that the COD level were to exceed Noritsu's standard. Fundamental Antipollution Act for acceptable environmental Lights-down campaign standards for soil. Every year, Noritsu Koki participates in the Lights-Down Duct cleaning for ceiling fan coil units COD levels Smoke Measurement Campaign of the Global Environment Bureau of Japan's As we improve efficiency 25 Max. level We have installed 3 natural-gas engine generators, 8 Ministry of the Environment. We turned off the lights to the by cleaning inside the 20 Normal level hot/cold water pumps, and 1 heavy oil boiler (class A), all of corporate signs on the rooftops of our Development Center ducts of the factory's fan 15 17 which emit smoke. In accordance with article 15 of the Air and Head Office building, which are seen far and wide coil units. This helps to 15 13 12 13 10 11 11 Pollution Control Law, the amount of specified substances 10 10 10 outside the company, to make people aware of the fact that improve efficiency by 9 8 in the smoke emitted from this equipment is measured twice reducing CO2 emissions by turning down the lights is one reducing the load placed 5 a year, and we are pleased to report that these way to combat climate change, an issue of increasing on absorption liquid 0 （mg/l） 2006 2006 2006 2007 2007 2007 2007 2008 2008 2008 2008 2009 measurements have never produced results that were not importance for all of mankind. chillers. Apr. Jul. Oct. Jan. Apr. Jul. Oct. Jan. Apr. Jul. Oct. Jan. within the specified acceptable range. Installation of air curtains We installed air curtains in Green Purchasing FY2008 Execution Plan six factory corridors without "Green purchasing" means that we procure items that 2008 Apr - Jun 2008 Jul - Sep 2008 Oct - Dec 2009 Jan - Mar air conditioning in order to are energy-saving, easy to recycle, and will not Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Total purchases (Top line: Monthly, Bottom line: Total) [Items] improve efficiency of air discharge any substances that are harmful to the 562 414 386 463 477 404 509 448 427 425 359 4396 conditioning on both sides of environment when they are used or disposed. A 562 976 1,362 1,825 2,302 2,706 3,215 3,663 4,090 4,515 4,874 5,270 Green purchases (Top line: Monthly, Bottom line: Total) [Items] reduction in the amount of waste disposal is expected the curtain by shutting out 407 320 293 365 403 329 425 368 346 334 273 315 hot and cold drafts. as a result of implementing this green purchasing policy. 407 727 1,020 1,385 1,788 2,117 2,542 2,910 3,256 3,590 3,863 4,178 Percentage of goal achieved (Green purchases / Total purchases x 100) Average ： 77.5％ 72.4 74.5 74.9 75.9 77.7 78.2 79.1 79.4 79.6 79.5 79.3 79.3

12 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 13 Environmental Management Social Activities

Environmental Presevation Activities Since our founding, Noritsu Koki has enjoyed the support of the local communities of Wakayama where our headquarters are located, and as an expression of our gratitude for that support, we have Product Life Cycle Assessment January 2005, Noritsu Koki launched a WEHS Committee to developed constructive activities in the fields of environmental Noritsu Koki has been conducting product assessments to kick-start compliance activities for the EU's RoHS Directive protection, social welfare, education, culture and sports as a identify the effect on global resources and the global and WEEE Directive, and other new laws aimed at contribution to these local communities. environment that our products have across their full life eliminating hazardous substances. Those roles were Moreover, we believe that “people make this company”and, cycle from design and development to sales and discard. consolidated in the Environmental Promotion Committee in therefore, have endeavored to make the workplace safe and pleasant The objective of these assessments is to use findings to 2007, and the committee has built schemes so as "not to in recognition of our responsibility to protect our employees. design and develop products that meet the following 6 targets. introduce, use or release" hazardous substances, as well as We will also continue to develop social activities valuing a system for evaluating and auditing those efforts, and then Product assessment targets communications with all stakeholders related to our company. it strives to make this a permanent part of the system.

01 Size, weight and Lighter weight, / smaller products / Fewer parts / Standardization with other products quantity reductions Emergency management planning 02 Reusing resources Easy to dismantle / Easy to disassemble parts / In the preparation for potential emergencies, we have (Recycling) Easy to sort and process / Easy to remove print circuit boards / Integration of resinous materials developed an Emergency Management Plan which includes Communicating with Society and the Local Community the basic procedures for the prevention of accidents, a list of 03 Ease of treatment Less toxic and dangerous when incinerated / as waste Less liquid residue / Easy to dispose of by landfill who should be contacted in the case of an emergency and Collection and Donation of Idle Clothing steps to ease the impact on the environment. We also train We encourage our employees to provide clothing their families are no longer using to 04 Environmental protection Reduced noise emissions and prepare our employees for potential emergencies, be donated via the NPO Japan Relief Clothing Center to people living overseas who No use of materials potentially harmful to people 05 Material safety according to the procedure outlined in this plan. have difficulty obtaining clothing due to regional conflicts, natural disasters, economic 06 Energy and resource Lower power consumption / circumstances, and other reasons. We started the program in 2006, and by October conservation Lower water consumption / Adoption of low energy-consuming mechanisms 2009 Noritsu Koki's employees and their families and friends had donated at total of (Fiscal year 2008) about 670 kilograms filling 66 cardboard boxes. Emergency Group in In addition, we quantitatively measure levels of environmental No. Situations Applicable equipment and facilities charge burdens of our products by implementing a procedure 01 Chamber for washing greased metal parts Internships Hydrocarbon Area for storing unused hydrocarbon established for the simplified product life cycle assessment. 02 solvent Machining Noritsu Koki offers an internship program to vocational school and university solvent for washing greased metal parts & Molding Group spill and fire students to enhance their desire to work and help them choose a career. In 2009, 6 03 Area for storing used hydrocarbon solvent for washing greased metal parts students got hands-on experience working in production together with employees for Comparison of lifetime environmental burdens by product category…CO2(kg) 04 Gas cooling and heating system 3 days. (R1, R2) Development Center

Gas cooling and heating system 05 (GR3, GR4) Factory building 26.6% General decrease 29.9% decrease Lithium Gas cooling and heating system Administration 06 bromide spill (GR1, GR2) Factory building Division, Facility Maintenance Group Hot water absorbing cooling and heating Ambulance Donation 07 66.7% system (CU1, CU2, CU3) Factory building 18.1% As part of our activities aimed at making a social contribution to the local community, decrease decrease Gas cooling and heating system 08 (GR1, GR2, GR3, GR4) Center Building we donated an ambulance to Wakayama City during celebrations to mark our 45th

General Administration year of business. A second ambulance was donated to the Japanese Red Cross Fire extinguishing equipment 09 Division, Facility (Center Building, 1F Machine Room) Society Wakayama Medical Center to commemorate our 50th year of business. Both Halon Maintenance Group emission 10 Halon fire extinguishers Sheet Metal Works Group ambulances are fully equipped and today are used to transport emergency patients.

11 Halon fire extinguishers (for NC lathe) Machining & Molding Group Waste 12 Barrel Room Machining & solution spill Molding Group Disaster Prevention Drills Photofinishing Manufacturing Division 2, 13 Waste solution tank solution spill Technical Service Division Because of our location overlooking most of Wakayama City, we signed a 14 Unprocessed Septic tank (for 1500 people) General Administration memorandum to act as a center for security activities in the event of a major disaster drain water Division, Facility 15 spill Septic tank (for 2000 people) Maintenance Group for police offices and fire stations. Further, we stage drills for a hypothetical major QSS-33 QSS-35 QSS-35PLUS QSS-32 QSS-37 dDP-421 D701 16 PAC spill Polyaluminum chloride tank (Barrel Room) Machining & Molding Group earthquake. Low-end QSS products High capacity QSS products Inkjet products Water soluble Machining center, NC lathe, grinding Machining & Molding ■ Use (electricity only) ■ Shipping ■ Manufacturing ■ Raw materials 17 cutting agent spillmachine, Sparoll processing machine Group *Each model has different processing capabilities. 18 Caustic soda tank (Barrel Room) Machining & Molding Group Caustic soda Caustic soda tank 19 spill Sheet Metal Works (Wastewater processing agent tank) Group Chemical management Cleanup Activities in the Local Area Spent oil spill Machining & Molding 20 Spent oil tank We obtain the MSDS (Material Safety Data Sheet) relative to and fire Group Every year for the annual Wakayama City Cleanup, Noritsu Koki sends about 50 General Administration Division, the chemicals we handle. Obtaining the MSDS prior to Generator lubricating oil service tank volunteers. In cooperation with local communities, we stage cleanup activities not 21 Facility Maintenance Group handling the applicable chemicals enables us to gain a full 22 Injection machine Machining & Molding Group just in the center of the city but also around our headquarters site. understanding of the properties and federal regulations Right angle shear, bending machine, 23 pertaining to the chemicals, and make sure they are handled Industrial oil turret punching press machine Sheet Metal Works spill and fire Group 24 Auto bender, VS in accordance with prescribed procedures. Also, if we handle

any substances that are covered in the PRTR Act, we make Compressor, NC lathe, machining center, Machining & Molding 25 electrical discharge machine tool Group sure that the amount input, amount used, and the amount Spray fluxer, mask washer Printed Circuit Board Group Blood Drives 26 output to each type of destination (disposal facilities, water, 27 Bio cleaner spillDegreased resin washing agent tank (Barrel Machining Room) & Molding Group Twice a year, the blood drive bus visits the company and we ask employees to

the atmosphere, and the soil), are recorded by each Ferric Ferric chloride Sheet Metal Works 28 donate blood. This has been going on for more than ten years and, as a gesture of chloride spill (Wastewater processing agent tank) Group applicable division. These amounts are added up and if any Hydrochloric Hydrochloric acid Sheet Metal Works gratitude, the Japan Red Cross presented us with a certificate of appreciation in 29 of the total amounts exceed the legal limit we report this to acid spill (Wastewater processing agent tank) Group 2005. the appropriate government authority. Organic chlorine 31 Fuel oil Heavy oil tank (Cafeteria) General Administration (heavy oil) Division, Facility solvent, which was heavily consumed in operations, was 32 spill and fire Emergency generator fuel (Development Center) Maintenance Group completely replaced by alternatives substances in 2008. In

14 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 15 Social Activities

Communicating with Customers Communicating with Employees

Photo Events at a Kindergarten Demonstrations and Business Exchanges Talking with Stakeholders to given to employees engaged in special jobs that involve On October 31 (Sat.), 2009, Noritsu Koki staged a photo In July 2009, Noritsu Koki held road shows and business Ensure a Mutual Understanding organic solvents, etc. event at a kindergarten in Wakayama Prefecture so as to exchanges in seven locations across Japan. There, we Since October 2008, small meetings have been held to Noritsu Koki has full-time industrial physicians and health convey the“fun of expression with photographs”and the reproduced model photo shops with necessary elements promote communication between management and experts to help manage the workplace environment, work “fun of printing”to the upcoming young generation. About that we determined through independent studies, and employees. Every month, the Management-Labor Council operations and health, and educate the workforce about 100 persons between the students and their families took presented ideas and rules for making sales. meets in an effort to build healthy relations between their health. The industrial physicians are available to part in the event, printing pictures they took with digital management and labor. Moreover, employees are surveyed employees for periodic health consultations. Moreover, it cameras on our Pribo 2 with self-printing support and then Connections to End-Users from time to time to gauge their level of satisfaction. offers an Employee Assistance Program (EAP) including arranging them into decorative works. Noritsu Koki constructively offers general consumers the telephone counseling and business trip counseling to opportunities presented by digital prints. The company Occupational Safety promote mental healthcare. launched the “fotofoo”online service (Japan only) where and Health Management System anyone can order digital prints over the internet. Moreover, Occupational Safety and Health Management System Support for Employees we manage a website called “DPEgg”(Japan only) that (OSHMS) is certified by the Japan Industrial Safety & connects general consumers with photography stores. Health Association. And, the company established a policy ● Educational Opportunities on safety and health to constructively promote the system and Encouragement to Acquire Licenses further, and then established five codes of conduct under and Qualifications the basic policy shown below. Efforts are being made to Noritsu Koki offers a Hierarchical Training Program and a eliminate on-the-job accidents and ensure the safety and Nomination Training Program (open to all employees) of health of our employees. Moreover, in order to improve our fourteen courses taught by outside instructors. Moreover, occupational safety and health management system, the the company encourages employees to seek licensing and company adopts safety and health management guidelines qualifications by offering constructive incentives such as and targets every April and departments individually financial assistance for taking classes in various skills, etc. fotofoo undertake activities to attain these. ● Introduction of a new personnel system DPEgg From April 2005, Noritsu Koki has been gradually Promotional Support via “ site” introducing a new personnel system. The requirements for and “ ” Acquired ISO9001 Accreditation management level human resources and general Noritsu Koki operates the website“refocus site”loaded with In order to increase customer-assurance in regards to our employees have been made clear and employees have hints on store decorations and end-user needs, as a sales products and services, Noritsu Koki acquired ISO9002 become involved in upgrading their position and designing promotion support tool for photography stores. Moreover, accreditation of our quality control and assurance system in their careers based on autonomy and accountability. rather then just provide information, Noritsu created the 1993. Moreover, in 2003, we acquired ISO9001 website “NORITSU.INFO”(Japan only) where visitors can accreditation for all operations in design, production and ● Support for balancing home and work

download design templates for promotional tools and incidental services. We will continue efforts to improve Along with the new personnel system, Noritsu Koki created instructions on making crafts, to make it easier for stores to product quality and services via the PDCA cycle of ISO9001 a system that enables employees to raise children while undertake sales promotion activities. in order to further enhance customer satisfaction. they work (below table). Moreover, a 2 Days Holiday and a Birthday Holiday were instituted to encourage employees to

take annual paid holidays in a well-planned manner and, thereby, help them balance work and personal life.

Workplace safety and health patrols Registration No.: TUV 100 06 0682 Workplace patrols are conducted to prevent unexpected Scope of accreditation: Design, production and sales of photo processing equipment accidents and disasters by effectively improving the and digital printers workplace environment and work operations. refocus[＋] NORITSU.INFO

Health check-ups and consultation Communicating with Investors and Shareholders To help employees stay fit and healthy at work and home on a regular basis and prevent occupational diseases from

occurring, annual health check-ups are given to the

Appropriate Disclosure of Information communities and all other stakeholders have a proper employees, and health check-ups are also given to those Noritsu Koki is very careful about disclosing important understanding of who we are and what we are doing. who travel abroad. Also, detailed check-ups are periodically information dealing with company management, finances, Moreover, Noritsu Koki takes constructive steps to

and social and environmental aspects, in a fair, timely and communicate with stakeholders. Twice a year, once each in appropriate manner. In addition to complying with laws on the middle and end of the fiscal year, we invite analysts to ● Harassment Consultation securities trading and rules of stock exchanges where the hear explanations about company business and performance, Noritsu Koki created a compliance-required consultation company is listed, Noritsu Koki is always concerned with and, every quarter, we visit 20 to 30 institutional investors to service for sexual harassment, power harassment, etc. ensuring shareholders, investors, supporting local provide this information personally and directly.

16 Noritsu Koki Environmental & Social Report Noritsu Koki Environmental & Social Report 17 NORITSU KOKI CO., LTD. 579-1 UMEHARA, WAKAYAMA SHI, 640-8550 JAPAN PHONE: +81-73-454-0345 URL: http://www.noritsu.co.jp

This publication is made of recycled paper and printed with eco-friendly soy ink. 2009.12