Social Activity Report [January 1– December 31, 2019] Team Shimano’s Social Activity Policy

“To promote health and happiness through the enjoyment of nature and the world around To promote health and happiness through us.” Upholding this motto, all Team Shimano members commit to social activities based on the following three pillars of the company’s guiding principles: “Creating Exhilarating Joy,” the enjoyment of nature and the world around us. “Taking Care of the Environment,” and “Building Confidence.” At the same time, we believe it is important to steadily and consistently carry out programs that are suitable for Shimano. In principle, such programs comprise activities related to our In line with this corporate mission, Shimano has dedicated itself to providing its customers with not only business and benefit the local communities. Captivating Products for cycling, fishing, and rowing, but also opportunities to use them to promote healthy and enriched lifestyles. These activities, however, are only possible when both the beautiful natural environment and the safety of our society are maintained. Offering Enjoyment and Fun for Everyone As a corporate citizen, Shimano will continue to engage in activities to help realize a sustainable society Proposing ways to enrich lifestyles : as it has always done. To this end, we will make even greater efforts to tackle global challenges in Implementing activities to enrich lifestyles highlighted by cycling, fishing, and rowing collaboration with local communities to preserve our common home, Earth. Operating facilities for learning : Operating facilities to share a wide variety of knowledge Creating and information, including those on the history of cycling, fishing, and rowing, as well as ways to enjoy them Exhilarating Joy Promoting sports : Holding and supporting events where visitors can enjoy firsthand experience of cycling, fishing and rowing

Improvement and Preservation of the Fields of Outdoor Activities

Natural environment : Implementing activities to preserve and foster the natural environment, such as cleanup and tree-planting campaigns, as well as environmental education Taking Care of the Living environment : Taking measures, such as noise control, energy conservation, Environment and wastewater treatment; and improving facilities to protect the surrounding environment

Reducing the environmental impact of manufacturing processes : Producing items friendly to people and the environment through thorough legal compliance (Shimano Green Plan) and other measures

Collaboration with Local Communities as a Corporate Citizen

Educational support : Building Promoting cycling safety and supporting children’s Confidence education Contribution activities : Donating to orphanages, supporting the disabled, providing scholarships, etc.

Contribution to local communities : Creating better environments for cycling and fishing, cooperating in blood donation drives, and promoting other activities as a good corporate citizen

2 3 Issuance of Social Activity Report

Corporate Mission...... 02

Team Shimano’s Social Activity Policy...... 03

Issuance of Social Activity Report...... 05

Enhancing Corporate Value...... 06

Offering “Captivating Products” Creating the Human Resources Needed to Support Shimano In 2019, amid radical changes in the global economy and social situation, people in both developed In-house Activities to Promote Cycling, Fishing, and Rowing and developing countries began placing greater emphasis than ever before on the vital importance of Enhancing Industrial Safety caring for one another as global citizens.

Creating Exhilarating Joy...... 12 At the same time, while rapid progress of AI and IoT technologies make our daily life more convenient, these technologies also bring about a flood of information, including fake information, which in turn To Share the Enjoyment of Cycling, Fishing, and Rowing with Many More People makes us uneasy and exhausted. — Shimano Experience Center Other Activities Moreover, the worsening global environment has become a pressing issue, urging all organizations, Organizing and Supporting Events regardless of their nations or industries, to tackle this challenge.

In this situation, Shimano will dedicate itself to creating environment-conscious products by effectively ...... Taking Care of the Environment 22 using its cutting-edge technologies to fulfill its mission: “To promote health and happiness through the Wastewater Treatment to Mitigate Environmental enjoyment of nature and the world around us.” Impacts Worldwide Shimano Green Plan In March 2021, Shimano will celebrate its centennial. Initiatives to Preserve Local Environment While responding to changing social needs with greater flexibility, Shimano will continue to pursue even more precise manufacturing as a development-oriented manufacturing company based in .

Building Confidence...... 30 At the same time, by providing Captivating Products, we are determined to strive further to long remain a Value Creating Company that helps create new and enriched cycling and fishing cultures. Toward the Safe and Enjoyable Use of Bicycles Education Program for Children It is our sincere hope that this Social Activity Report will help deepen your understanding of Shimano. Donations and Relief Activities Corporate Citizenship Activities

Yozo Shimano ...... Some Thoughts about the Social Activity Report 38 President, SHIMANO INC.

4 5 Enhancing Corporate Value

Enhancing Offering “Captivating Products” Corporate Value Shimano offers what we call “Captivating Products,” including bicycle components that ensure a comfortable ride and ease of operation, fishing tackle products characterized by a fusion of advanced technologies and human sensitivity, and sportswear and shoes that further enhance the enjoyment of outdoor activities. By promoting cycling, fishing, and rowing, all pastimes enjoyed in natural settings, Shimano aims to help enrich the lifestyles of all users of our products.

Components for Mountain Bikes (MTBs) Lightweight spinning reel: Vanquish SHIMANO DEORE XT M8100 series The new Vanquish series is lighter, more durable, and has SLX M7100 series longer flying distance. The new model is up to 40 grams lighter The SHIMANO DEORE XT series and SLX series have been trusted than the previous model and has improved sensitivity and by users for many years. operability. Moreover, incorporating Shimano’s cutting-edge For these lines, Shimano has simultaneously launched new technologies, such as HAGANE Body and HAGANE Gear, the models featuring Shimano’s original technologies and improved new series features by far greater durability and rigidity than functions essential for full-fledged MTB components. previous models. Vanquish 2500S The new models include a drivetrain that enables smooth shifting even under heavy pedaling loads, a brake lever with SHIMANO DEORE XT M8100 series Reel for electric jigging: Beast Master 2000 EJ improved operability, and a 12-speed rear derailleur, which before had been available only in the XTR M9100 series—the Jigging is a type of lure fishing that uses metal lures known as flagship model for MTBs. “metal jigs” designed in the shape of small fish. It is suitable for catching a wide variety of fish species, including yellowtail, yellowtail amberjack, red sea bream, and flounder. While electric reels make jigging more comfortable and enjoyable, conventional products did not have sufficient durability. In response, we have developed new electric reels for jigging, which enable anglers to move jigs at a high speed and attract BeastMaster 2000EJ fish that do not respond to slowly moving jigs. Combining SLX M7100 series the electric reels with rods and jigs, Shimano markets sets of electric jigging products to propose a new style of fishing.

Components for gravel road bicycles Shimano’s products awarded at ICAST: SLX DC, SHIMANO GRX Stradic FL, and POWER PRO’s Moon Shine Braid Gravel riding is a type of long-distance cycling along unpaved Shimano exhibited its products at the International Convention roads with drop handlebars and fat tires. To support gravel of Allied Sportfishing Trades (ICAST), the world’s largest trade riders, whose number is increasing particularly in North America, show of fishing tackle products, held in Orland, Florida. At this we have launched new components, SHIMANO GRX. At the trade show, Shimano let visitors not only look at its exhibits same time, we launched the RX8 gravel shoes, featuring stiff but also handle them to confirm their performances firsthand. outsoles, and the SPD (Shimano Pedaling Dynamics) system, Among these products, the SLX DC and Stradic FL won the Best which enables riders to walk. To enhance the enjoyment of Freshwater Reel Award and the Best Saltwater Reel Award, gravel riding, we offer sets of a variety of products, ranging SHIMANO GRX RX800 series respectively. In addition, POWER PRO’s Moon Shine Braid was from bicycle components to soft goods. honored with the Best Fishing Line Award. SLX DC RX8

6 7 Enhancing Corporate Value 9 2016 2003 2011 2009 2013 since since since since since eam (CERT)

ograms and ograms and f mentorship project New diploma and degree New diploma and degree  staf Emergency drills Training pr Training  who for new employees orientations universities graduated from have just The 10th anniversary  of the Company T Emergency Response Shimano Academy In order the promote the new diploma and degree staff degree staff In order the promote the new diploma and mentorshipto competent for their job, STJ launched the project and carried out a series of training items for them. adopted emergency response Malaysia has Shimano procedures to prepare for a fire and spill of chemical substance and oil from their storage areas and machines. The company formed emergency response teams at respective factories and drills fire held and evacuation training. Shimano Kunshan an- Shimano Kunshan train- nually organizes new for programs ing employees. of Shimano Singapore the CERT On its 10th anniversary, relief and of its emergency demonstration performed a first aid programs. The visit a paid also team to the Singapore Civil Defense Force. programThe Shimano Academy is a European educational Shimano members, including for a wide range of Team The employees. and new leaders, young executives, and program is aimed at capacity building of individuals business and its teams, as well as the growth of Shimano’s It competences. core proved to be effective in employees’ career development. - 2017 2014 2006 2015 since since since since

eparedness Cross-training programs Cross-training Fishing seminar Initiatives to improve disaster disaster Initiatives to improve  pr of first aid staff Training Training Program for leaders Program for leaders Training  outside Japan of companies Team Shimano Program Learning gency evacuation. In In evacuation. gency Inc. Shimano addition, takes various initiatives to prepare for a disas- storing including ter, food and water. Inc. transfers its employees to various Innovative Textiles, in-house sections so that they can develop a wide range in enhancing of skills. This system proved to be effective their motivation and engagement. Shimano Shanghai annually holds fishing seminars for its employees to promote their knowledge of the latest products, as well as their fishing skills. During the event, the company also intro- corpo- duces Shimano’s rate culture to its new employees. Shimano Inc. provides managerial candidates worldwide candidates worldwide provides managerial Shimano Inc. - Partici programs. training development leadership with his- can learn Shimano’s training programs pants in these birthplace. In Sakai, the company’s tory and traditions in the various challenges the com- addition, they can discuss the senior management. Moreover, pany now faces with together challenges address to projects join participants - has proved effec members. This with Shimano Inc. staff that transcend the framework tive in building networks of individual companies. formed been have teams firefighting Inc., Shimano At members for respective floors of the building. The team emer an guide to ability their develop to training receive to respective Inc. assigns first aid staff Innovative Textiles, that they can sections and provides them with training so first aid services in an emergency before the arrival offer of medical staff. () Shimano Inc. Shimano Kunshan Shimano Kunshan Training Program at in their second year at Training for employees Training Program for new mid-career employees at Shimano Inc. Training Program at Shimano Europe Employee education Training Program for new employees Training Program Shimano Leadership Development (SLD) Leadership Development Shimano Team Shimano’s companies worldwide organize training organize training Team Shimano’s companies worldwide corporate programs to share with their employees Shimano’s culture. Toward mission, spirit of manufacturing, and corporate producing moviesShimano’s centennial in 2021, we are currently staff members. by holding interviews with present and former including the These films cover a wide variety of themes, development, history of the company’s management, product of new initiatives to create a new culture, and establishment movies at training companies. In 2019, we began showing these the movies programs held at respective companies, selecting that are the most appropriate for the purpose of respective career and tasks participants’ as well as programs, training members Team Shimano help films the that believe We stages. corporate Shimano’s of essence the understand worldwide over the past century and has been nourished culture, which will stay unchanged for the coming years. Shimano Inc. annually organizes a three-week training program Shimano Inc. annually which is provided for its new employees. During the session, Integrity, and Harmony of spirit Shimano’s with Team line in necessary for new employees learn not only basic manners Shimano’s business businesspersons but also the key points of staff. After the through lectures and interviews with senior their respective program, new employees are assigned to in engage and learned have they what out carry to sections value creation activities as Team Shimano members. The Shimano Leadership Development (SLD) program was was program (SLD) Development Leadership Shimano The of of fostering future leaders 2000 with the aim initiated in potential we dispatch As part of the program, Team Shimano. world. various markets in the to major dealers in future leaders of our dealers, the dispatched With the generous cooperation as mechanics or shop assistants while members serve either local markets and local cultures learning about their respective In 2019, Shimano dispatched six through firsthand experiences. in the world. members to six countries Creating Human Resources Needed to Support Shimano Support to Needed Resources Human Creating 8 Enhancing Corporate Value 11 Award ceremony Mr. Soo Ming Hwa, General Manager of Shimano Kunshan Improving safety awareness of individual employees leads to the Improving safety awareness of individual employees leads creation of a sound company. A simulated experience of risks involved in machine operations The certificate presented in recognition of safety awareness and efforts of all members of Shimano Kunshan > Initiative of Shimano Kunshan of Shimano Initiative < Shimano Kunshan (China) has been committed to industrial safety education to enhance employees’ safety awareness. safety awareness. to enhance employees’ safety education committed to industrial (China) has been Shimano Kunshan at aimed campaigns safety started and Department (ES) Safety and Environment the established company the 2007, In result of the company’s items. As a and produces high-quality industrial safety of a factory that prioritizes the creation Grade 2. Safety Standardization it received the Work at the end of 2016, continued efforts, Bicycle Components selected Shimano Kunshan Companies in Kunshan in terms one of the Top 10 in 2018 of industrial safety to ceremony an award held city Kunshan 2019, January In in the city that improved advanced companies commend 163 high-quality development. promoted efficiency and innovation Kunshan was commended as one of At the ceremony, Shimano in Kunshan in terms of industrial safety the Top 10 Companies evaluated the company’s commitment in 2018. The city highly its of promote further encouraged and safety industrial to safety program. industrial safety Shimano Kunshan will further reinforce its with safety industrial employees’ guarantee and management the number of high efficiency to achieve its goal: reducing company seeks to disasters and accidents to zero. Ultimately, the management in contribute to the promotion of industrial safety and Zone Development Technological and Economic Kunshan the entire city of Kunshan. to offer Hands-On Safety Training Room opened safety education its efficiency, To advance a safety education process and improve Hands-On Safety in January 2019, Shimano Kunshan opened the type as used on Training Room, where 16 machines of the same the factory floor were installed. risks involving At the training program, trainees learned Using accidents. potential simulating by machines respective of accidents,sensory devices, trainees had a simulated experience and tactile perceiving them through their own visual, auditory, is believing.” senses. This proved to be very effective as “Seeing to continue will Kunshan Shimano activities, such Through grow the and seek to awareness safety promote employees’ company into a sustainable and sound organization. Enhancing Industrial Safety Industrial Enhancing > (Malaysia) () (Cambodia) (Poland) (Indonesia) 2013 2007 2019 2019 2007 Rowing < Fishing competitions Fishing events for children Fishing event “The Kids Day” Fishing event “The Kids Fishing competitions since since since Participation in a boat race event since since > (China) (Singapore) (Canada) (The ) () 2013 2010 2016 2015 2019 Fishing < Fishing competitions since Fishing competitions since Fishing event “Warehouse Wobbler” since Fishing events for children since Fishing tournaments since () () () (Malaysia) (The Netherlands) 2012 2018 2009 2006 2019 Cycling along the course of the Cycling events in Nantou county Staff rides Treasure hunting cycling Mechanic training programs Mechanic training programs and cycling events since since since since since > >

(Belgium) (Singapore) (China) (Italy) (The Netherlands)

2016 2010 2013 2017 Cycling Mechanic Cycling events and test rides Group cycling events since since Cycling events since SHIMANO STEPS day Mechanic training programs since < < In-house Activities to Promote Cycling, Fishing, and Rowing and Fishing, Cycling, Promote to Activities In-house 10 Creating Exhilarating Joy 13 Shimano Experience Center Experience Shimano To Share the Enjoyment of Cycling, Fishing, and Rowing and Rowing Fishing, of Cycling, the Enjoyment To Share More People with Many — with the aim of (SEC) was established Experience Center The Shimano people with opportunities to see and experience providing many more its cutting-edge products firsthand and to recognize Shimano’s Shimano’s of categories in all exhibits products The center technologies. rowing fishing tackle products, and business: bicycle components, virtual to viewing exhibits, visitors can have equipment. In addition displayscycling, fishing, and rowing by using virtual reality experiences of latest can also have real experiences of using our and simulators. They natural settings in Valkenburg. products in the pictorial suggest the most suitable products to respective At SEC, technical staff and retailers to help them enjoy cycling, fishing, visitors and introduce rowing even more. on held are events various SEC, at area workshop and lounge the In SEC also plans to broaden themes related to cycling, fishing, and rowing. collaboration with the hotel the range of its activities. For example, in SEC plans to organize event and restaurants in the commercial complex, visitors. packages that will meet demands of longtime of cycling, fishing, and SEC will continue to promote the enjoyment work to enable visitors to rowing, as well as Shimano’s products. It will time they visit the facility. discover and experience something new each Germany Luxembourg Valkenburg The Netherlands Belgium Valkenburg, located in the southern region of the Neth- located in the southern region Valkenburg, Germany with borders national the to close is erlands, destination, and Belgium. The city is a popular tourist a new commercial particularly among cyclists. In this city, the oldest complex with a hotel opened by remodeling in this new brewery in the Netherlands. SEC is located commercial complex, called PAR’COURSE. Offering enjoyment and Offering enjoyment fun for everyone

rowing cultures. create and promote cycling, fishing, and create and promote cycling, fishing, and along with our long-term endeavors to along with our long-term endeavors to April 2019 in Valkenburg, the Netherlands, April 2019 in Valkenburg, the Netherlands, Shimano Experience Center (SEC), opened in Shimano Experience Center (SEC), opened in many others. This page introduces the many others. This page introduces the activities and friendly interactions with with interactions friendly and activities where people can enjoy both outdoor where people can enjoy both outdoor various cycling, fishing, and rowing events, cycling, fishing, and rowing events, various With this view, we organize and support With this view, we organize and support enjoy them to as many people as possible. enjoy them to as many people as possible. activities and to offer the opportunity to to the opportunity activities and to offer to convey the fun and excitement of these these of excitement and fun the convey to believe it is an important part of our mission our of part important an it is believe and rowing to their hearts’ content. We hearts’ content. We and rowing to their enable their users to enjoy cycling, fishing, enjoy cycling, fishing, enable their users to “Captivating Products” are designed to are designed to “Captivating Products”

— Exhilarating Joy Exhilarating Creating Creating 12 Creating Exhilarating Joy 15 Various events are held at SEC. In May 2019, with the support of Shimano, of support the with 2019, May In SEC. at held are events Various the event “KPMG Gold Race” was held, in which SEC was the cycling starting point. ordinary and industries related in clients both comprise of SEC Visitors visitors, of range wide a such of expectations diverse meet To citizens. Valkenburg, in events cycling including various events, plans to host SEC tours, and fishing events. meetings related to these events, inspection Through these programs, we hope to grow SEC into a leading facility for promoting cycling, fishing, and rowing. Hosting various events ROWING EXPERIENCE FISHING WORLD FISHING HERITAGE CLOUD ❺ ❹ ❻ history. In this zone, visitors can view movies on Shimano’s This zone displays panels and films of various fishing scenes, scenes, of various fishing panels and films This zone displays Visitors used in the scenes. fishing tackle products along with how they feel. Moreover, the exhibits to confirm can touch to the pond created adjacent using the products at they can try the building. for rowing operations, There are two simulators Dynamics (SRD) system. using the Shimano Rowing Entrance Layout of the floor Layout

BIKE WORLD SHIMANO WELCOME LOUNGE SHIMANO WELCOME WORKSHOP ❸ ❷ ❶ In this zone, various types of bicycles, including MTBs, E-bikes E-bikes MTBs, including bicycles, of types various zone, this In are displayed. (electric-assisted sports bicycles), and road bikes, func- their of illustrations with exhibited are components The tions provided in an easy-to-understand manner. explain characteris- Visitors can also view promotion videos that by professional tics of individual components and films of rides cyclists. bikes for road one simulators: of cycling types are two There machines to ex- and the other for MTBs. Visitors can ride both perience the fun and excitement they provide. bicycle suggest the most suitable In the bike fitting space, staff to respective visitors based on their fitting data. Next to the entrance is the Shimano Welcome Lounge, where is the Shimano Welcome Lounge, where Next to the entrance and pastries in a casual atmosphere. visitors can have soft drinks sells SEC original items, including T-shirts, The attached fan store that are available only here. In the caps, and cycling goods and training programs are held. workshop area, events SEC’s Six Zones SEC’s Shimano’s display to areas the including comprises six zones, SEC lounge for a space, and event an machines, test products and visitors to relax. 14 Creating Exhilarating Joy 17 19:00 (Closed on Mondays) 16:30 (Closed on Mondays) +81-3-5785-0403 10:00-  KDX Residence Minami-Aoyama (1F), 3-4-8 Minami-Aoyama, Minato-ku, Tokyo 107-0062 An 8-minute walk from either Omotesando Station on the Tokyo Metro (Ginza Line or Hanzomon Line) or Gaienmae Station on the Ginza Line +81-72-243-3196 10:00- A 13-minute walk from Mozu Station on the JR Hanwa Line A 13-minute walk from Mozu Sakai, Osaka 590-0801 18-2 Daisen-nakamachi, Sakai-ku,

 

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Phone Open Address Access Access Address Phone Open 2006 2014 1992 since since since LIFE CREATION SPACE OVE (Singapore) Cooperation in the Operation of the of the in the Operation Cooperation Center Museum Cycle Bicycle The Bicycle Museum Cycle Center (operated by the Shimano Shimano (operated by the Museum Cycle Center The Bicycle City, Sakai in 1992 in opened Center) Development Cycle museum in Japan dedicated hometown. As the only Shimano’s possesses approximately 300 bicycles, to bicycles, the museum of the Drasine, the first bicycle ranging from a reproduction cutting-edge models used by Olympic invented in 1818, to its exhibition of bicycles, the museum athletes. In addition to and training programs to promote holds various events by the use of bicycles. enriched lifestyles highlighted on bicycles to help OVE is an activity base offering information “sanso,” which is create a new cycling culture. OVE proposes taking a stroll. The to ride a bicycle through the town just like riding, rather than essence of “sanso” is to enjoy the process of events, OVE offersto reach a destination. By organizing various their lifestyles to visitors various suggestions on how to enrich through the use of bicycles. Shimano Cycling World hands-on Shimano Cycling World (SCW) is a cycling-themed in Singapore withexhibition facility, opened in September 2014 across Southeast the three purposes: developing cycling culture spreading Shimano Asia, promoting cycling as a lifestyle, and more enriched brand awareness. SCW proposes to visitors Visitors can attend lifestyles highlighted by the use of bicycles. cycling courses such as workshops on excellent various events, of visitors in 2019 and maintenance methods. The number reached about 42,000. 1973 since

(Japan)

 Visits to local elementary school  the gold medal at the Shotaro Iribe wins Championship All Japan Road Race Members of the Shimano Racing Team annually visit local visit local Members of the Shimano Racing Team annually Yasui Elementary elementary schools. In 2019, they visited to explained and Shimano, of hometown Sakai, in School in the city and the children the history of the bicycle industry held in front of about Tour of Japan, the annual cycle races Emperor Nintoku), the Daisenryo Kofun (the burial mound of Heritage site. which has been inscribed as a UNESCO World Although the pupils seemed began soon they first, at nervous enjoying conversations with the were they When members. team the bikes, road latest the shown children were eager to observe and even touch them firsthand. On June 30, 2019, Shotaro Iribe, a member of the team, won Iribe, a member of the team, won On June 30, 2019, Shotaro Championship, held the gold medal at the All Japan Road Race Prefecture. at Fuji International Speedway in Shizuoka SHIMANO Racing SHIMANO has the Shimano Racing Team in 1973, Since its establishment evolving its activities to meet races Japan’s cycle been leading the time. Over the past few years, the the specific needs of racers world-class developing on efforts its focused has team are members team The step. by step goal this achieved and to enhance Japan’s cycling culture also committed to activities of cycle racers. and increasing the number Other Activities Other 16 Creating Exhilarating Joy 19 ❷ ❽ ❿ ❹ ❻ ❼ ❾ ⓫ ❶ ❸ ❺ Shimano organizes and supports various cycling and fishing programs, such as programs, fishing cycling and various and supports organizes Shimano ranging world, the of parts various in events, other and tournaments, races, Asia, and Latin America. to North America, home to bicycle races, from Europe, 2009 2014 2010 2010 2017 1984 1991 2019 2019 2018 2019 since since since since since since since since since > Major bicycle races/eventsMajor bicycle (Brazil) (The Philippines) (China) (Japan) (Belgium) (USA) (Italy) (Australia) MTB Grand Prix Series Shimano SuperCrit Shimano Fest Shimano Dirt and Play Ji Cheng Class Shimano Suzuka Road Shimano Suzuka Road (Mie Prefecture) SHIMANO Biker's Festival (Nagano Prefecture) Tour de France Commemorative Event The Lazer Century Ride Tuesday Night Thunder Social Ride with Omar di Felice Organizing ❼ ❽ ❾ ❿ ⓫ Organizing and Organizing Events Supporting < ❶ ❷ ❸ ❹ ❺ ❻ http:/tv.Shimano.co.jp/ Fishing Channel “Shimano TV” Magazine: Fishing Café

21:00 (Closed on Mondays) Free magazine: Cyclingood +81-6-4256-6789 10:00-  Knowledge Capital, Grand Front Osaka North Knowledge Capital, Grand Kita-ku, Osaka 530-0011 Building (4F) 3-1 Ofuka-cho, Close to JR Osaka Station and Umeda (Osaka) Station Close to JR Osaka Station and  Line, and the Osaka on the Hankyu Line, Hanshin Metro Midosuji Line

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[WEB] https://www.shimanosquare.com Phone Open Address Access Website: Cyclingood Web 2013 2000 2017 since since since

Cyclingood (Japan)

Tools for Disseminating Bicycle- Tools for Disseminating Bicycle- and Lifestyle-Related Information — Shimano publishes a magazine and website titled Cyclingood titled Cyclingood Shimano publishes a magazine and website enriched lifestyle to help more people enjoy a healthy and will help boost through cycling. Shimano hopes that Cyclingood information on the bicycle culture by offering a wide range of results from relationship between cycling and health, including joint research projects with universities. The Fishing Café Project is designed to enable anglers to freely anglers to freely The Fishing Café Project is designed to enable new sport fishing interact with one another and to create a sport fishing are culture. Various topics and information on issued three provided by the following three media: a magazine BS Fishing Vision, times a year, TV programs on Sky Perfect TV In 2007, Shimano and a website sharing the latest information. website Shimano began a worldwide fishing channel on the 365 days a year, TV. The program, accessible 24 hours a day and range of anglers, offers useful content designed to satisfy a wide from beginners to experts. Fishing Café Project & Fishing Café Project Shimano TV SHIMANO SQUARE is designed to offer visitors opportunities to offer visitors opportunities is designed to SHIMANO SQUARE offered appreciate the value both people and ideas, encounter rest and thrilling experiences, and simply by Shimano, have the gaining while relax can visitors café, spacious the In relax. cycling and fishing from the galleries. latest information on of Shimano’s products will inspire We hope that the displays been particularly interested in cycling or people who have not activities and share with us the value fishing to enjoy outdoor can provide them. that new urban sports SHIMANO SQUARE SHIMANO 18 Creating Exhilarating Joy 21 ❿ ⓬ ❷ ❹ ❻ ❽ ❾ ⓫ ❶ ❸ ❺ ❼ 2019 2019 2019 2016 2019 2019 2014 2016 2016 2018 1984 since since since since since since since since since since since > > Major fishing tournaments/eventsMajor fishing (Germany) (USA) (Singapore) (Canada) (Italy) (Singapore) (China) (UK) (Japan) Kid’s Fishing Derby Fishing with Dad Fishing events for children Skelton Cup Casting Tournament Open House Casting Fishing Tournament Organized and supported various fishing tournaments Cooperated with retailers Organized and supported events for next-generation anglers Tribal Gathering event Shimano Organizing Supporting < < ❿ ⓫ ⓬ Ontario Junior Bass Nation Championships ❶ ❷ ❸ ❹ ❺ ❻ ❼ ❽ ❾ ⓮

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Supported Shimano Neutral Australia Shimano dispatches technical support cars and staff to a wide-range of to a wide-range of Shimano dispatches technical support cars and staff professional races and cycling events worldwide, including both top-level the safety of all those for entry-level riders. Our priority is to guarantee the events. participants and to ensure that they all fully enjoy OCBC Cycle Supporting ⓬ < 20 Taking Care of the Environment

< Wastewater treatment implemented at Shimano>

Sakai Intelligent Plant (SIP)

In addition to compliance with relevant laws and regulations, SIP treats wastewater in line with its own criterion, which is Taking Care of Wastewater Treatment to more rigorous than existing laws and regulations. SIP, which Mitigate Environmental started operations in 2014, uses abundant water, particularly in the process to clean anodized aluminum pieces for surface the Environment Impacts Worldwide treatment. To reduce water consumption, SIP has introduced a system to automatically control use of water in accordance — Cooperation in taking Shimano is engaged in wastewater treatment to mitigate with product volume. The wastewater is automatically sorted care of the natural, environmental impacts. In addition to observing relevant by its composition and concentration. The chemical content living, and product-use laws, regulations, and guidelines of the respective countries/ in the wastewater is then reduced to a desired level through environment regions concerned, we are seeking a wise use of water chemical reactions. The processed wastewater is then filtered, resources to fulfill our responsibility as a manufacturer. For and the deposit is treated as industrial waste. As a result of these Protecting the natural environment is a pre- example, we seek to reduce wastewater by cutting water measures, the annual volume of wastewater from SIP has been requisite for enjoying outdoor sports. Striv- consumption and recycling used water. reduced by 30% from that of the previous factory, and about 30 ing to preserve the natural setting is, of to 40% of wastewater is recycled and reused at SIP. course, a basic responsibility for Shimano. With this in mind, Shimano is actively in- volved in cleanup campaigns for seashores Shimano Shimonoseki Factory and rivers and other environmental preser- The Shimano Shimonoseki Factory introduced a new wastewater vation activities, in addition to improving treatment system upon the completion of its new plant, the and innovating its facilities to minimize the Shimano Shimonoseki Factory Intelligent Plant (SSF_IP), in environmental impact from its manufactur- 2016. While discharge of wastewater into rivers, in addition ing processes. Here we will introduce some to sewage systems, is permitted in this district, a particularly of the wastewater treatment activities that rigorous regulation is imposed on the discharge into rivers. Shimano is committed to on a global scale. The wastewater, primarily generated in the surface treatment process, is treated at the facility inside the factory premises. Part of the treated wastewater is fed to the adjustment reservoir inside the premises before being discharged into the river. Releasing and keeping young fish in the reservoir, the factory demonstrates the safety of the treated wastewater. Moreover, the reservoir and its surrounding settings serve as a natural habitat for diverse species, helping the reproduction and preservation of the natural environment in the community.

Shimano Kumamoto

Shimano Kumamoto has introduced a circulating-type treatment Adjustment reservoir at Shimano Shimonoseki Factory (Courtesy of Placemedia) facility to sediment and filter the wastewater generated in the rod polishing process. The sludge produced at the facility is treated in an appropriate manner.

22 23 Taking Care of the Environment 25 Shimano Malaysia Shimano Shimano Philippines Shimano Kunshan Shimano Lianyungang In 2012, Shimano Malaysia built a wastewater treatment a wastewater treatment Malaysia built In 2012, Shimano waste- The factory. the surface treatment plant within in process is treated in the production water generated by treatment criteria set with the wastewater accordance of Environment in this plant. the Malaysian Department taking by wastewater its treats Philippines Shimano chemical reactions, com- various methods, including to committed is company The filtering. and pression, manufacturing its across consumption water reducing processes. puri- wastewater a constructed has Kunshan Shimano This fication facility to recycle part of its wastewater. per in saving 45 kilotons of water proved to be effective The company also introduced sludge drying tech- year. which led to the reduction of 120 tons of sludge nology, (containing water) per year. at the Shimano Lianyungang treats its wastewater also treatment plant within its premises. The company to works and consumption water monthly monitors reduce use of water.

Shimano Cambodia Shimano Batam Shimano Singapore Shimano

Since Shimano Cambodia produces shoes, it uses a it uses a Since Shimano Cambodia produces shoes, other Team less amount of chemical substances than a built has company so, the Even Shimano factories. generated in filtering system to treat the wastewater and controls the process of cleaning printing plates company the effluent constituents. In addition, the wastewater to a pond in front of discharges the treated the safety the factory, where it keeps fish to demonstrate of the treated wastewater. Since Shimano Batam is located in an industrial park is located in an industrial park Since Shimano Batam company’s premises comprise a surrounded by hills, the plants. After natural habitat of diverse wild animals and facility inside treating its wastewater at the treatment wastewater the premises, the company stores the treated constituents. in tanks and precisely analyzes effluent park’s The wastewater is discharged to the industrial that the sewerage system only after it is confirmed effluent meets the set criteria. Shimano Singapore established a committee dedicated a committee dedicated established Shimano Singapore of its wastes, the proper management to ensuring to takes initiatives The company including wastewater. improve the efficiency consumption and to reduce water constantly it Specifically, treatment. wastewater of treatment process and effluent monitors the wastewater them appropriately. To promote constituents to control resources, the company has begun efficient use of water to use stored rainwater. 24 Taking Care of the Environment 27 2011 2004 2005 2000 2019 2019 since since since since since since

eam

> Cleanup by Shimano Lianyungang Local cleanup activity Shimano Kumamoto’s Kumamoto’s Shimano  activities cleanup the Cleanup around  Factory Shimano Shimonoseki Beach cleanup on  Hikoshima Island Road cleanup campaign  with the Shimano Racing T Cleanup activities Cleanup Staff of Shimano Lianyungang cleaned the vicinity of their factory as part of its corporate citizenship activities. in factory their Shimano Malaysia cleaned the vicinity of Staff of Malaysian the and Assembly District Pontian the with collaboration Ministry of Health. Initiatives to Preserve Local Environment to Preserve Initiatives < Shimano to the present site in 2005, relocation Since the factory’s every April cleanup campaigns has been involved in Kumamoto and October. Shimonoseki Factory cleaned of the Shimano In April 2019, staff 106 bags of 119 members collected the vicinity of the factory. cleanup Another cans. used and twigs, weeds, including refuse, in which 99 members participated. was held in October 2019, of the Shimano Shimonoseki Factory In September 2019, staff at Nishiyama Bathing engaged in the first cleanup of the beach A total of 33 staff Resort on Hikoshima Island (Shimonoseki City). and long 300m about of beach the cleaned families their and 60m wide in an hour. the gold medalist The Shimano Racing Team, led by Shotaro Iribe, the road used at the All Japan Road Race Championship, cleaned cyclists, the team in the Tour de Okinawa. Together with other riders during the race members picked up the bottles discarded by northern Okinawa. and other litter to clean the Yanbaru District, the list of the World The district is expected to be inscribed on its abundant natural Natural Heritage sites in recognition of blessings. SGP training Program for responsible employees (Shimano Inc.) Offering products of minimum impacts on environment and users’ health Improving the efficiency of response to relevant laws and regulations Reinforcing information sharing and communication Placing priority on responses to market demand Optimization of the SGP Improving the efficiency of response to relevant laws and regulations Obtaining and sharing necessary information [Activities to enhance corporate value] SGP#9 Stage3 Manufacturing, screening, and inspecting products in line with SGP

Even small parts are inspected one by one in house. 2004 Enhancement of the SGP’s effectiveness and compliance [Building confidence] Revising the Self-Check Sheet Evaluating partner manufacturers’ compliance levels with the SGP Auditing partner manufacturers Generation of NC: improving compliance Distributing documents via SGP-WEB Stage2 Sharing relevant information with related parties, including partner manufacturers, and confirming their compliance since Systematic activities on a global basis, led by the SGP Committee at Shimano Inc. Stipulating regulated products and regulation levels etc. *2 SGP#4,5 SGP#6Establishment of the SGP system Conformance with laws and regulations SGP#7 SGP#8 [Basic requirements for corporate activities] Stage1 Preparing and distributing SGP texts Collecting written oaths Revising the SGP in response to relevant laws and regulations Self-Check Sheet First article inspection REACH, *1

Shimano Green Plan Plan Green Shimano Roadmap

Restriction of Hazardous Substances Directive (directive on the restriction Restriction of Hazardous Substances Directive (directive on of the use of certain hazardous substances in electronic equipment)  Roadmap Responses to laws and regulations Reducing environmental and health impacts environmental Reducing Collecting from around the world information concerning regulations of hazardous chemicals contained in products and analyzing the collected information Reducing perfluorooctanoic acid (PFOA), which is resistant to degradation Reducing perfluorooctanoic acid (PFOA), which bioaccumulate in the environment and has the potential to Communicating to customers about compliance with the EU RoHS, Shimano Green Plan Shimano Green Plan *2: Registration, Evaluation, Authorization and Restriction of Chemicals *2: Registration, Evaluation, Authorization and Restriction *1: Illustration of the Shimano Green Plan Illustration of the Shimano Currently, Shimano is at Stage 3 on the roadmap. That is, in compliance with the ninth version of the SGP, the company is Currently, Shimano is at Stage 3 on the roadmap. to relevant laws and regulations and to reinforce information sharing working to improve the efficiency of its responses of hazardous chemicals contained in its products throughout its supply chain, and communications. By reinforcing control and health-conscious products and to enhance its corporate value. Shimano will continue to work to create eco-friendly - In 2019, Shimano was engaged in responses to new laws and regulations. In 2019, Shimano was engaged in responses to new laws and regulations -Preparing for the revision of SGP in response - The SGP is a procurement standard that Shimano has adopted with the purpose of providing its customers around the the around customers its providing of purpose the with adopted has Shimano that standard procurement a is SGP The share its understanding and users’ health. To both the environment minimum impact on products that have the world with substances chemical of levels regulated the clarified has manufacturers, Shimano partner with regulations related of customer products. It has revised the SGP to meet parts, and products to be used in Shimano’s contained in raw materials, While seeking increasingly rigorous year by year. of related countries that have become demands, as well as regulations to factories inspect materials and components from partner manufacturers, Shimano’s understanding and cooperation analysis when and asking external organizations for to the SGP by using various analyzers confirm their conformance products. Shimano is striving to create the most dependable necessary. In this way, In 2004, Shimano adopted the Shimano Green Plan (SGP), guidelines for promoting manufacturing with reduced environmental environmental reduced with manufacturing for promoting guidelines (SGP), Green Plan Shimano adopted the Shimano In 2004, with the SGP. constant efforts to comply has been making manufacturers, Shimano efforts with its partner impact. In joint -Organizing in-house training programs on a regular basis -Organizing in-house training programs on 26 Taking Care of the Environment 29 2015 since 2015 since > 2019 2019 1999 2016 2019 > since since since since since

TH HOUR activities TH HOUR Recycling of coffee pods Recycling of coffee Noise control Participation in Participation  EAR world environmental campaign Participation in a and office space Promoting recycling in common rooms Recycling acetone A party to exchange  unwanted items on Earth Day Environmental protection initiatives protection Environmental Initiatives to Reduce Environmental Impact Initiatives to Reduce < To celebrate Earth Day, staff of Innovative Textiles, Inc. held a a held Inc. Textiles, Innovative of staff Day, Earth celebrate To items for free. gathering where they exchanged their unwanted landfill wastes. At Through exchange, they worked to reduce person helped the same time, giving their belongings to another foster a habit of treating them carefully. Lazer engages in recycling of various items used at its office. For the addition, In pods. coffee used recycling began it example, to and supplies office recycle to staff its encourages company reuse packing materials for shipping. Shimano Kunshan has installed a noise monitoring system at its factory. Using the data constantly fed from the online system, the company works to improve the workplace environment. Staff of Shimano Kunshan participated in welfare activities of of activities welfare in participated Kunshan Shimano of Staff including Through various activities, HOUR campaign. the EARTH recycling of clothing, and turning off green cycling, refuse sorting, environmental global of importance the advocated staff the lights, preservation. Love My City,” originated in 2015 under the theme “I of the world environmental campaign To celebrate the anniversary the company. the national route running in front of Cambodia picked up plastic wastes to clean 35 members of Shimano < to collect recyclable items in all common rooms. Innovative Textiles, Inc. has installed containers recycling have been placed at various spots throughout the office. In addition, boxes to collect used paper for industrial by using dyestuff used treats Inc. Textiles, Innovative dyestuffs through solvent that removes acetone from waste reused and collected then is acetone removed The distillation. company the Adopting this method, new dyestuffs. to produce wastes generated at intends to reduce the volume of hazardous waste to zero. its facility. The ultimate goal is to reduce the - 2017 2016 2014 2019 2009 2012 2018 since since since since since since since

>

ee planting programs ee planting programs ee-planting program ee-planting day eproduction project eproduction Tr  with customers Planting nursery trees Support of a national  tr Participation in tree-planting Participation in tree-planting  activities in an industrial park Funding a river  r Shimano Tianjin’s Shimano Tianjin’s  tr Million Trees Project Million Trees

ld by an NPO called the Tse-Xin Organic Agriculture Foundation Foundation Agriculture Organic Tse-Xin the called NPO an by ld Tree-planting campaigns Tree-planting Shimano Turkey observes annual tree planting campaigns with Shimano Turkey observes annual tree planting campaigns with local the of leaders invited company the 2019 In customers. its government and planted 1,000 trees together. All participants rode E-bikes equipped with SHIMANO STEPS to the tree planting area. To preserve a healthy natural environment, staff of Shimano Tai preserve a healthy natural environment, staff To wan and their families participated in a tree-planting campaign campaign tree-planting in a participated families their and wan he Shimano Singapore has been involved in a national tree-planting Shimano Singapore has been involved in a national with its environment program to assist the National Parks Board has company the To date, activities. greening and education central regions. In planted 250 trees in parks in the east and 2019, the company planted 50 trees. Shimano Philippines participated in a tree-planting campaign in in campaign tree-planting a in participated Philippines Shimano the company’s the First Philippine Industrial Park (FPIP), where other companies at factory is located. Staff of Shimano and further raised their the FPIP participated in the activities, which local environment. awareness of the importance of protecting the In cooperation with an NPO called OZFISH, Shimano Australia Shimano Australia In cooperation with an NPO called OZFISH, trees and bushes donated a fund to a program of planting 1,500 region in order around a river mouth in the Australian southeast to protect the local vegetation and fish species. To preserve the local environment, Shimano Tianjin holds a holds a the local environment, Shimano Tianjin preserve To planted 21 trees. In 2019, the company tree-planting day. In partnership with NPO Shanghai Roots & Shoots, Shimano Shimano Roots & Shoots, with NPO Shanghai In partnership campaign to Project, a Trees in the Million Kunshan participated in the Desert in the Ningxia Hui Autono- plant one million trees the received company has The Mongolia. Inner and Region mous from the NPO. CSR Award < and planted nursery trees at Wu Qi fishing port, located close to and planted nursery trees at Wu Taichung. 28 Building Confidence

Toward the Safe and Enjoyable Use of Bicycles Support of traffic safety campaigns since 2017 Support of the construction As an official sponsor, Shimano Latin America supports the Yellow of a pump track since 2019 May movement (global traffic safety campaigns), held by São Shimano Czech offers a fund to the Paulo’s Secretary of the Transportation and other organizations. Karvina Wheel Club’s project to construct In 2019, the company provided mechanical support to all cyclists a pump track. riding along bicycle lanes on two boulevards in São Paulo.

A workshop on delivery Building service by bicycle since 2019 Support of a women’s racing team since 2016 In Brazil, the number of young cyclists engaged in home delivery Confidence Shimano France supports the women’s road race team “FDJ Nouvelle Aquitaine service food is increasing. The number of traffic accidents is also — Collaboration with Futuroscope” to encourage many more women to ride road bicycles. increasing due to the lack of their experience and maintenance local communities as a of bicycles. In response, Shimano Latin America held a workshop corporate citizen Offering bicycle maintenance service to improve their skills and service quality. Around 120 cyclists to children in an orphanage participated in the workshop, comprising lectures by specialists since 2018 and basic mechanic training programs. As a responsible corporate citizen, Shimano Members of Shimano Poland and their families visited seeks to maintain close contact with the local a local orphanage and provided bicycle maintenance Providing a bicycle inspection communities and work together for mutual service. They cleaned and lubricated 8 bicycles and and maintenance service in the benefit. Hence, Team Shimano companies replaced defective parts. They also offered presents to Road Safety Community Park since 2008 across the world play an active role in com- the children. In Singapore, more than 50,000 children a year join the traffic munity activities. safety school held by the Singapore Police and the Road Safety Visiting a local school since 2018 Community at Road Safety Community Park. In 2019, 27 staff members of Shimano Singapore inspected and repaired 1,300 Members of Shimano Poland visited a local school to give a talk on bicycles in the park. The service was recognized by the Singapore the evolution of bicycles, as well as the history of Shimano. They also Police, which presented a letter of thanks to the company. offered instructions and on-site training to children concerning bicycle maintenance and safe riding techniques. Maintenance of a bicycle air-pump station since 2015 A cycling class at a The number of users of the air pumps installed by Shimano kindergarten since 2008 Singapore in the Road Safety Community Park has been increasing Members of Shimano Shanghai visited a year by year. Featuring bright colors and a unique structure, the local kindergarten and described about air pumps attract the interest of both children and adult cyclists. sports bicycles to children aged from six The company’s CSR committee members continue periodical to seven. Their talk stimulated the chil- inspections and maintenance of the air-pump station, providing dren’s interest in cycling culture while at inspection service even on holidays. the same time expanding the range of potential customers for Shimano. Maintenance of MTB trails since 2005

In collaboration with the Boulder Mountainbike Alliance and Louisville City, Pearl Izumi USA cleans and maintains MTB trails and cycling roads in Boulder County.

Education Program for Children

Inviting elementary school children to a factory tour since 2014 Shimano Kunshan invited children from a local elementary school to its factory, known as the Kunshan Intelligent Plant (KIP).

30 31 Building Confidence 33 2013 2019 2019 2019 2019 2013 since since since since since since

Organizing the charity ride  “Pedal 4 Possible” Support of activities of the  Lelooska Foundation Donation to the NCSSEF’s to the NCSSEF’s Donation  promote fisheries project to Fishing Support of the Fly  Collaborative tackle products Donating fishing  (GY6) to Got Your 6 Fishing Donation to the  Shop with a Cop program To support patients of spinal cord and brain injury, Pearl Izumi injury, Pearl Izumi To support patients of spinal cord and brain will fund therapy USA organizes a charity ride. All money raised ride is participatedprograms for patients’ rehabilitation. The charity of the event, while in by many cyclists who support the objectives employees of Pearl Izumi help the event operation. and other activities. G.Loomis helps the Lelooska Foundation with its fundraising for educational programs on rich and diverse The foundation was established in 1977 with the aim of supporting and promoting research cultural assets of indigenous people in North America. Donations and Relief Activities Relief and Donations fundraising Rendezvous, a to North Coast Salmon G.Loomis donates & Steelhead Enhancement by the North Coast Salmon event held the promote to used be will funds raised The (NCSSEF). Fund Oregon. the coast of northern fisheries along Fly Fishing Collaborative, an organization G.Loomis donates to the sustainable solutions to poverty and devoted to creating the of activities supports also company The trafficking. human organization. non-profit organization to help active duty Got Your 6 Fishing is a healing through military and veterans find physical and emotional opportunities to recreation. The NGO also provides them with G.Loomis veterans, to respect its show To stories. their share donated rods and reels to the organization. G.Loomis In cooperation with the Woodland Police Department, the Shop with a Cop donates money raised by its employees to less privileged program, in which children who are economically On the day of buy special Christmas presents with police officers. as event the supported also G.Loomis of members shopping, the volunteers. 2014 2014 2019 2014 2017 2016 2011 since since since since since since since

Providing scholarships to  university students in Tianjin Apprenticeship programs  for high school students Internship programs for students Inviting university students to tours  of the company and its factory The Brigada Eskwela Program The Brigada Eskwela  school at an elementary Donation of school supplies of school supplies Donation  school pupils to elementary Support of needy children of needy Support

Shimano Tianjin offered scholarships to disadvantaged students Shimano Tianjin offered scholarships to disadvantaged students at Tianjin Polytechnic University & Tianjin University of Science and Technology to enable them to concentrate on their studies. In cooperation with a vocational education program in the the in program education vocational a with cooperation In students school high provides Inc. Textiles, Innovative district, specialists in logistics with apprenticeship programs to learn from and maintenance engineers. To further reinforce its partnership with Colorado Mesa University, Innovative Textiles, Inc. To further reinforce its partnership with Colorado of the company and its factory. invites students from the university on tours In partnership with Colorado Mesa University, Innovative Textiles, Inc. organizes internship programs for students In partnership with Colorado Mesa University, information technology, accounting, and finance. majoring in studies of personnel affairs, engineering, Shimano Philippines participated in the Brigada Eskwela ProgramShimano Philippines participated Education to by the Department of led (a nationwide initiative businesses, families and including involve all societal constituents, members of the company in education). At a local school, staff on how to main- served as lecturers, imparting basic knowledge school and home. In tain good health, hygiene, and safety at school. addition, they held an earthquake drill at the Members of Shimano Philippines visited a local elementary Philippines visited a local elementary Members of Shimano of school supplies to children. The school and offered packages and crayons, pencils, erasers, notebooks, contained packages raise to sought also the company program, this Through snacks. of corporate social responsibility. its employees’ awareness To support the children who cannot receive sufficient education due education sufficient receive who cannot children support the To Lianyun- members of Shimano conditions, every year to their family school supplies. shoes, books, and other schoolbags, gang offer 32 Building Confidence 35 - 2007 2019 2011 2014 2019 since since since since since

Blood donation drive Donating the income of a technological train of a technological income the Donating  facility welfare to a ing Program a Donating food to  charity organization Donation to an orphanage Manufacturing Week  A bus tour visit to G.Loomis In cooperation with the Indonesian Red Cross Society, Shimano Society, Shimano In cooperation with the Indonesian Red Cross and a year (in April twice donation drives blood holds Batam 148 packs, October’s October). In 2019, 238 packs (April’s Batch: Batch: 90 packs) of blood were donated. Together with its sales offices, Shimano Latin America donates Latin America donates sales offices, Shimano with its Together to a training program fees for its technological all registration safety daily children’s supports that children for facility welfare MTB classes. and organizes donates the food contributed by visitors Shimano Latin America the company donated about 4 tons of to Shimano Fest. In 2019, food to a charity organization. has been donating about 1 ton of Since 2014, Shimano Cambodia local orphanage. Members of the company rice each month to a Day and Puchum Ben visit the orphanage on Khmer New Year’s children. Day to celebrate the occasions together with Corporate Citizenship Activities of the annual In 2019, G.Loomis was included in the destinations by the Association of Manufacturing Week bus tour, organized visit manufacturing Washington Business. Participants in this tour Week is sites across the State of Washington. Manufacturing industry promoting the manufacturing the aim of operated with in the State of Washington. 2019 since 2019 since 2010 since 2017 2019 since 2010 2015 since 2019 since since since esearch on digestive diseases esearch

Joining the Noble Gift program Cooperation with the MTB Foundation Cooperation with the MTB Foundation Support of welfare facilities Donation to Digest Science, an organization  dedicated to r Support of a technological contest held by a vocational school Support of a technological contest Support of a project to help orphans become independent to help orphans become independent Support of a project fire brigade Support of a volunteer Donation and support of support and Donation  CliniClowns

As an annual event in the Christmas season, members of Shimano Poland participate in a Polish charity program, known as As an annual event in the Christmas season, members of Shimano Poland participate in Noble Gift. In this program, the members offer presents and money to needy people. Shimano France is engaged in the maintenance of MTB trails and the promotion of MTBs in France. Shimano France is engaged in the maintenance Technical support team members of Shimano France who are engaged in repair and quality control tasks offer repair and Technical support team members of Shimano and bicycle shows. At the end of each year, they donate twice the amount maintenance services at various cycling events an organization dedicated to research on digestive diseases. collected from customers to Digest Science, euros. In 2019, the members donated about 5,000 Shimano Czech financially supports welfare facilities to promote education. Shimano Czech financially supports welfare Shimano Czech financially supports the commending of winners at annual technological contests held by a junior Shimano Czech financially supports the commending company has maintained a partnership for many years. vocational school in Karvina, with which the Shimano Czech supports a local volunteer fire brigade by offering funds to purchase firefighting tools. a local volunteer fire brigade by offering Shimano Czech supports Shimano Czech financially supports the After Becoming Adult project to help children who have left a local orphanage to help children who have left a local orphanage supports the After Becoming Adult project Shimano Czech financially and become independent. Shimano Benelux and Shimano Belgium organize various events events various organize Belgium Shimano and Benelux Shimano offer of the two companies Each time the members for customers. brake and chains of replacements as such services, maintenance the All donation. small a offer to customers their ask they parts, to the charity organization CliniClowns,money collected is donated children feel happy. which works to make hospitalized 34 Building Confidence 37 2009 2018 2003 2019 2019 2019 since since since since since since

Support of the JIME program Cooperation with a Cooperation  charity organization with suppliers Information sharing an NGO Partnership with Supporting welfare facilities  through the auction of artworks Supporting kids’ fishing event Shimano Benelux and Shimano Europe supported an annual an annual Shimano Benelux and Shimano Europe supported raises donations for fishing event held by an organization that tackle products, disabled children. In addition to offering fishing fish. Shimano’s employees taught children how to Shimano Australia is one of the main sponsors of the Junior Indigenous Marine and Environmental Cadets (JIME) program, which provides aboriginal students at middle schools with job training to work in maritime industries, including a job as a fishing guide. Members of Shimano Taiwan visited the Maria Social Welfare Welfare the Maria Social Shimano Taiwan visited Members of spiritually or intellectually an organization helping Foundation, (traditional the mooncakes and helped wrapping disabled children, The children. disabled the by made confectionary) autumn as gifts for the mooncakes to use them members purchased the the Mid-Autumn Festival. company’s customers during with its suppliers, staff of Shimano Malaysia To share information concerning workers’ safety and hygiene explained important facts on factory floors. entered into a partnership with an NGO, Shimano Latin America company the partnership, the Through Worldwide. Kids Safe in daily life and to seeks to offer education on risks of accidents habits of paying encourage both parents and children to build attention to safety and acting with care. America held a live During the Shimano Fest, Shimano Latin The finished works painting event by an artist, Apolo Torres. to a welfare facility were auctioned, and the sales were donated classes MTB organizes and safety daily supports children’s that for children. - 2013 2018 2019 2019 2016 2000 2009 since since since since since since since

The Star Award of the  May Day Awards Visiting a local home for the elderly Establishing cooperation project of Establishing cooperation project  industry-academia collaboration Visiting employees’ hometowns Expressing gratitude to the elderly Expressing gratitude Blood donation drive Blood donation drive Blood donation

Shimano Singapore was honored with the Star Award at the Shimano Singapore was honored with the Star Award at the awarding ceremony of the May Day Awards, held by the National Trades Union Congress (NTUC). From among the past recipients of Gold Awards, the Star Award is presented to the companies in movements labor to contribution exceptional made have that Singapore. Shimano Singapore received the Gold Award in 2009. company was honored with the Star Award in the This time, work conditions. to improve endeavors of its continued recognition Members of Shimano Tianjin visited a local nursing home for the Members of Shimano Tianjin visited a local to the stories of elderly in Dongli District, Tianjin. They listened residents attentively and offered gifts to ensure that they would not feel lonely. To search for an ideal state of new industry-academia collaboration,To search for an ideal state of new industry-academia project in partnership Shimano Kunshan established a cooperation joined a discussion with universities. Members of the company also of Technology on the held at the library of Changzhou Institute accomplishments. theme of professional knowledge and cultural At Shimano Kunshan, representatives of management and the the and management of representatives Kunshan, Shimano At to express their labor union visited employees’ hometowns mooncakes them give and families employees’ the to gratitude presents. (traditional autumn confectionary) and other To express thanks and offer gifts to the elderly, members of of members gifts to the elderly, express thanks and offer To visit a local nursing home or com- Shimano Kunshan annually Ninth Festival munity for the elderly shortly before the Double 2019, the members (the ninth day of the ninth lunar month). In visited the Kunshan PingXiang community. In partnership with major local hospitals, Shimano Malaysia holds local hospitals, Shimano Malaysia holds In partnership with major In 2019, 305 packs of blood were donated. a blood donation drive. 2000 has reached 4,122 packs. The cumulative total since Together with the Philippines Red Cross Society, Shimano Philippines Red Cross Society, with the Philippines Together held in drive. In the fourth event a blood donation annually holds each of cooperated in the drive, of the company 2019, 40 members fering 450 ml of blood. The company provided the participants with provided the participants of blood. The company fering 450 ml their strength. in restoring snacks that are effective 36 Some Thoughts about the Social Activity Report 2019

In 2019, we saw China’s economic slowdown caused by the U.S.–China trade conflict, Brexit in Europe, and turmoil in the international financial market. In addition, many natural disasters took place in various parts of the world. In terms of business, on the other hand, we saw the progress of digital transformation (DX). This trend has led people to even more value activities “to promote health and happiness through the enjoyment of nature.” In this environment, as stated in this report, Team Shimano has improved its performance and fulfilled its social responsibility in line with its corporate mission. Closer to Nature, This year’s Social Activity Report comprises the following four sections: “Enhancing Corporate Value,” which features provision of Captivating Products, “Creating Exhilarating Joy,” focusing on joyful events and experiences, “Taking Care of the Environment,” which highlights considerations to Closer to People natural and living environments, and “Building Confidence,” introducing corporate citizenship activities carried out in various parts of the world. Specifically, the publication reports briefly but concretely activities carried out by individual establishments in the world. The Sustainable Development Goals (SDGs), adopted at the United Nations Summit, stipulates 17 goals and 169 targets. Since the U.N. requires concrete reports of specific activities to fulfill these goals and targets, I believe that Shimano’s report has a point.

Concerning the Bicycle Components Business, the focus is on the SHIMANO DEORE XT M8100 series and SLX M7100 series, for mountain bikes; and the SHIMANO GRX series, components for gravel ride, a type of long-distance cycling along unpaved roads with fat tires. I believe that these products have been created based on users’ experiences. In the Fishing Tackle Business, this report introduces the Vanquish, a lightweight and durable spinning reel, and the Beast Master 2000 EJ series, an electric reel for jigging using a lure in the shape of small fish. The electric reel enables anglers to move jigs at a high speed and attract fish that do not respond to slowly moving jigs. At the International Convention of Allied Sportfishing Trades (ICAST), the world’s largest trade show of fishing tackle products, held in Orlando, Florida, Shimano’s reels and a line were awarded, a fact attesting to the high reputation of Shimano’s products in the global market.

Meanwhile, Shimano is committed to many education and training programs for its employees, In the Shimano Leadership Development program, potential future leaders of Shimano are dispatched to major dealers in various markets in the world. With generous cooperation provided by dealers, the dispatched members serve as shop assistants. Team Shimano’s companies worldwide organize training programs to share with their employees Shimano’s corporate mission, spirit of manufacturing, and corporate culture. I believe that use of movies at such programs will be effective in promoting common understanding of Shimano’s corporate culture. Use of diverse approaches, such as lectures, workshops, movie shows, on-site OJT, e-learning, and mechanic training programs, attests to Shimano’s commitment to human resource development. Particularly noteworthy are risk management programs, including emergency drills, first aid training, fire drills, and industrial safety education, held in Japan, the U.S., Malaysia, and China.

In “Creating Exhilarating Joy,” the focus is on the Shimano Experience Center (SEC), opened in April 2019. The SEC was established in Valkenburg, the Netherlands, to share the enjoyment of cycling, fishing, and rowing with many more people and offer visitors with interaction opportunities. The facility comprises six zones, including the Welcome Lounge, event space, areas dedicated to cycling, fishing, and rowing, and Shimano’s history section. From a customer viewpoint, Philip Kotler listed the following three items that a company or a brand offers: products, customer experience, and finally customer engagement. The last one offers the highest-level of satisfaction to customers according to him. I believe that SEC functions in the stage of customer engagement. Inside Japan, Shimano operates several similar facilities, such as the LIFE CREATION SPACE OVE in Minami-Aoyama in Tokyo, which serves as a base for activities to share information, SHIMANO SQUARE in Osaka Umeda, and the Bicycle Museum Cycle Center in Sakai. Moreover, Shimano organizes and supports various cycling and fishing programs, such as cycle races and fishing tournaments, around the world.

In “Taking Care of the Environment,” as that protecting the natural environment is the prerequisite for enjoying outdoor sports, striving to preserve the natural setting is Shimano’s basic responsibility. This year’s report focuses on the wastewater treatment initiatives that Shimano is committed to on a global scale. In addition to observing relevant laws, regulations, and guidelines of the respective countries/regions, Shimano believes wastewater treatment is the duty of the manufacturer. I value highly the steady wastewater treatment conducted at Team Shimano facilities. For example, some factories reuse nearly half of treated wastewater and precisely analyze effluent constituents before discharging wastewater. In addition, through joint efforts with its partner manufacturers, Shimano has reviewed and revised the Shimano Green Plan (SGP), initially adopted in 2004, in response to changes in laws and regulations, as well as customer demands. Currently, Shimano is at Stage 3 on the roadmap stipulated in the ninth version of the SGP. I expect that the company will continue its efforts in coming years. This year’s report also introduces employees’ engagement in cleanup activities around their factories, beaches, and roads, along with a gathering to exchange unwanted items. All cases show the high level of their awareness towards environmental preservation.

In “Building Confidence,” the focus is on corporate citizenship activities held by Team Shimano companies worldwide to maintain close partnerships with their respective local communities. In Poland, for example, Shimano’s staff taught children at a school and an orphanage about bicycle maintenance and safe riding techniques. In the U.S., a charity ride was organized to support therapy programs for patients. Blood donation drives were held in cooperation with the Red Cross Societies in the Philippines, Indonesia, and Malaysia. These diverse social contribution activities indicate enhanced awareness of citizenship shared by Shimano’s employees.

Reading this year’s report, I was able to confirm that Shimano’s establishments worldwide are steadily committed to social contribution activities in compliance with the company’s three principles and by focusing their targets in line with the SDGs. It is believed that further progress of the digital economy will lead people to seek “health and happiness through the enjoyment of nature.” Toward its centennial in 2021, I truly hope that Shimano will continue its endeavors as a sustainable Value Creating Company.

Toshihiko Fujie Professor Emeritus, Chiba University of Commerce Vice Chairman, Japan Business Management Association

38 39 SHIMANO INC. Corporate Communications 3-77 Oimatsu-cho, Sakai-ku, Sakai, Osaka 590-8577, Japan Phone : +81-72-223-3957 Fax : +81-72-223-6045