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Business Service Group

Business Service Group

Business Service Group

The Business Service Group coordinates MC’s companywide from upstream to downstream, including consulting and IT strategies, covering everything from individual business system and IT infrastructure integration. Our comprehensive strategies to planning, development, and administration. services help to continuously raise the enterprise value of MC As the business climate trends toward diversity and Group companies and client companies, reform administrative globalization, and digital technology advances, the procedures, and develop operations. Furthermore, by importance of IT in corporate activity grows. There are now introducing and enhancing the most advanced and optimal greater demands to more effectively use IT as a tool for IT functions to respond to the enormous changes in IT needs, business expansion. we contribute to business expansion by boosting companies’ The Business Service Group provides integrated IT services competitive strength.

BUSINESS SERVICE GROUP BUSINESS

In order to help solve issues faced by MC Group companies and client companies, improve business processes and raise corporate value, the IT Service Business Division provides integrated IT services ranging from consulting to system development and operation, and IT outsourcing. We provide these services through business investments, or with the cooperation of business partners. We also work to expand and strengthen new IT-related businesses by supporting the introduction and deployment of advanced information technologies and uses for such technologies. IT Service Business ◦ Promotion of SI business and IT outsourcing business Division ◦ Promotion of consulting business and BPO business ◦ Support for businesses through advanced technologies and prior application experience ◦ Promotion of IT support and application for business investments both overseas (automobile business, Asian market, retail business) and . ◦ Promotion of collaboration and partnership with Tata Consultancy Services Limited (TCS)

New Joint Venture Company Established with TCS New, State-of-the-Art Data Center Opened MC and Tata Consultancy Services (TCS) teamed up to establish In October 2013, MC opened a new data center in the Mitaka Tata Consultancy Services Japan, which began operations on area of metropolitan . The center is equipped with the latest July 1, 2014. The new company was created by merging MC’s technologies, including seismic dampening devices and the first wholly-owned IT Frontier Corporation (ITF), Tata Consultancy municipal-use, fully outdoor air cooling system. Having already Services Japan (the Japanese arm of TCS), and Nippon TCS provided its customers with high-quality data center services for about Solution Center Limited (NTSC), an existing MC-TCS joint 30 years now, MC is keen to build on that track record with high value- venture. TCS, which is India’s largest, global IT services provider, added services that give due consideration to environmental concerns, owns 51% of the new company, with MC owning the remaining protect client data from disasters, and offer enhanced security. 49%. Leveraging the customer relations expertise of both MC and its former subsidiary ITF, along with their knowledge of the Japanese market, the joint venture offer its clients the same competitively-priced IT services that TCS has been developing around the world. It will also provide quick and efficient IT solutions to Japanese enterprises that are moving into overseas markets and support those launching new overseas businesses.

IT Planning Department The IT Planning Dept. is responsible for MC’s companywide IT measures such as IT systems and infrastructure, covering strategies and planning, as well as investments and cost management. The business needs of the MC Group are becoming increasingly diverse and more globalized, and IT technology is forever advancing. Always quickly responding to these changes, the IT Planning Dept. not only deploys MC’s companywide IT measures on a consolidated basis, but also proposes and promotes IT internal control and information security measures.

ORGANIZATIONAL STRUCTURE: 1 Development Division (2 Departments) /1 Department Business Service Group CEO Office ■ IT Service Business Division IT Service Business Planning Department, IT Service Business Development Department IT Planning Department

11 GLOBAL ENVIRONMENTAL & INFRASTRUCTURE BUSINESS GROUP The Global Environment & Infrastructure Business Development energy, such as renewable energy. We are also involved in Group, which was established as a group directly under manufacture of lithium-ion batteries, an essential component the president, was reorganized into a business group on for today’s environmentally friendly vehicles and electricity July 1, 2013, when it became the Global Environmental & storage. Infrastructure Business Group composed of three divisions: Our aims are to foster the growth of stable, long-term Environmental Business Division, New Energy & Power earnings drivers and raise our corporate value, while at the Generation Division, Infrastructure Business Division. same time working towards the realization of a sustainable This group mainly handles trade and related business society, with full consideration for the natural environment. operations in power generation, water, transportation, and Ours is a long-term approach, and we remain committed to other necessary infrastructure that have a direct impact on our developing mechanisms, technologies, and systems in business quality of life. We are active in a number of areas that help fields that have high growth potential and that will enable to combat global warming and secure sustainable supplies of more people to live on fewer resources.

GLOBAL ENVIRONMENTAL & INFRASTRUCTURE BUSINESS GROUP BUSINESS

◦ Lithium-Ion Batteries Environmental ◦ Neodymium Magnets Business Division ◦ New Environmental Business Development and Management

MC, Robert Bosch and GS Yuasa set up a joint venture “Lithium Energy and Power GmbH & Co. KG” in Stuttgart, Germany in November 2013. The joint venture focuses on marketing of automotive batteries and development of next-generation lithium-ion battery technology.

◦ Power Generation in Japan and Overseas ◦ Onsite (Inside-the-Fence) Power Generation New Energy ◦ Overseas Power Transmission & Power ◦ Export of Power Generation and Transmission Generation Equipment Division ◦ ESCO* Operations ◦ District Heat Supply *ESCO: Energy Service Company MC has a 20% investment in Star Energy Geothermal Pte Ltd. that owns the 230 MW Wayang Windu Geothermal Power Plant in Indonesia, one of the world’s largest geothermal power plants.

◦ Water Business ◦ Railway, Harbor, and Airport Operations Infrastructure ◦ , Gas, and Petrochemical Business Division Equipment, FPSO Chartering ◦ Steel, Non-Ferrous Metals, and Cement Plant Equipment

An overall view of the container terminal in Valencia, Spain in which MC has an equity stake.

12 Offshore Substation of London Array Offshore Transmission Asset run by MC from 2013, which deliver the electricity generated by the world largest offshore wind farm to UK mainland.

ORGANIZATIONAL STRUCTURE: 3 Development Divisions (14 Departments) Global Environmental & Infrastructure Business Group CEO Office, Global Environmental & Infrastructure Business Group Administration Department ■ Environmental Business Division Environmental Energy Business Department, Environmental Magnetics Business Department, Environmental Business, R&D Department ■ New Energy & Power Generation Division EMEA Power Generation Business Department, Americas Power Business Department, Asia & Oceania Power Business Department, Power Systems Department, Power Systems International Department, Power Transmission Business Department, Power Marketing, Japan Department ■ Infrastructure Business Division Water Business Department, Transportation Infrastructure Business Department, Engineering Business Department, Plant Projects Department

13 INDUSTRIAL FINANCE, LOGISTICS & DEVELOPMENT GROUP

The Industrial Finance, Logistics & Development Group is working hard to develop the industrial finance business, targeting real assets and businesses where we can leverage our expertise and networks as a global integrated business enterprise. By integrating our three main functions of “development & trade”, “ownership & administration”, and “asset management”, we are funding industries and providing more opportunities for investors to manage their capital. Specifically, our group is providing comprehensive finance services in certain domains that are unique from those offered by financial institutions. These include asset management, infrastructure financing, corporate financing, and leasing. In addition, we are promoting real estate development concentrating mainly on commercial facilities, logistics centers and condominiums, and providing solutions in logistics fields.

MC is currently developing its private aviation services business on a global scale, including its wholly-owned aircraft leasing subsidiary, MC Aviation Partners. 14 INDUSTRIAL FINANCE, LOGISTICS & DEVELOPMENT GROUP BUSINESS

◦ Asset management for real estate investment funds and related finance Asset business Management ◦ Private equity investment management Business Division business ◦ Asset management business for other real assets

GYRE, a high-end retail complex owned by Japan Retail Fund Investment Corporation managed by an MC subsidiary.

◦ Infrastructure related finance business ◦ General leasing business in Japan and Industrial Finance overseas including auto leasing Division ◦ Airline-related business including aircraft leasing and aircraft engine leasing

MC Aviation Partners is developing a comprehensive aircraft leasing business, and has offices in Los Angeles, Tokyo and Dublin. (CG image)

Real Estate Development ◦ Real estate development & Construction ◦ Providing construction/real estate solutions Division

This student housing in the U.S. was developed by Diamond Realty Investments, Inc.

◦ International intermodal transport ◦ Dry bulk carrier logistics Logistics Division ◦ Solutions business for the logistics sector ◦ Logistics consulting

Mitsubishi Corporation LT, Inc.’s Keihin Operations Dept in Yokohama, Japan.

ORGANIZATIONAL STRUCTURE: 4 Divisions (12 Departments) Industrial Finance, Logistics & Development Group CEO Office, Industrial Finance, Logistics & Development Group Administration Department ■ Asset Management Business Division Real Estate Asset Management Business Department, Asset Management Business Development Department, Merchant Banking Department ■ Industrial Finance Division Infrastructure Finance Department, Lease & Finance Department, Aviation Business Department ■ Real Estate Development & Construction Division Commercial Real Estate Development Department, Residential & Urban Development Department, Township Development & Construction Department ■ Logistics Division Logistics Business Department, Dry Bulk Business Department, Logistics Business Development Department

15 Energy Business Group

The Energy Business Group contributes to the development of upstream to downstream in the energy value chain. We industry and helps to improve the quality of people’s lives. We explore for, develop and produce oil and gas, and have handle energy in liquid, gas, and solid states, which provide investments in LNG projects. We import and trade trilaterally, consumers with light, heat and power. Our expansive energy and we have interests in domestic trading and retail businesses. portfolio includes liquefied natural gas (LNG), crude oil, Our group is taking measures to use energy more effectively petroleum products, liquefied petroleum gas (LPG), petroleum and at the same time protect the natural environment. We are coke, coal coke and carbon products. proactively working on new energy businesses such as gas-to- Our business model seeks to cover areas ranging from liquid (GTL) and biogas projects.

MAIN OVERSEAS PROJECTS OF THE ENERGY BUSINESS GROUP

Canada UK North Sea Shale Gas Development/Production Development Project (Crude oil)

Iraq Sakhalin Ⅱ LNG Production (Crude oil) Cameron LNG Iraq SGU US Gulf of Mexico Liberia Development/Production Exploration (Crude oil) (Crude oil) Myanmar Oman LNG Production Gabon (Crude oil/Natural gas) Exploration/Development/Production Venezuela (Crude oil) Brunei LNG Development of Orinoco heavy oil Malaysia LNG Browse LNG Donggi-Senoro LNG (Crude oil) Angola Wheatstone LNG Development/Production Investment in MEDCO (Crude oil) Tangguh LNG North West Shelf LNG

Kimberley Kangean Papua New Guinea Exploration Development/Production Exploration/Development (Crude oil/Natural gas) (Crude oil/Natural gas) (Natural gas)

LNG VALUE CHAIN

Host Country Upstream Liquefaction Plant Logistics Marketing

Brunei Malaysia Exploration, Australia Transportation by Japan and Russia Development LNG Production LNG Vessels Global Market Indonesia & Production Oman, etc.

Petroleum and Oil Products Stored at Onahama MC established a joint venture plant in Jiangsu Province, Natural gas development and production site in the Petroleum Co. in Fukushima, Japan. China, to produce anodes for aluminum smelting. Kangean Exploration Blocks, located offshore East Java, Indonesia.

16 Shale Gas Development Project (Canada) MC launched exploration and supply operations in the Cordova Embayment (2010) and Montney Lands shale gas reserves (2012), both of which are located in British Columbia, Canada. The plan is to establish both locations as LNG hubs that will someday feed Energy Business Group Japan and other markets.

ORGANIZATIONAL STRUCTURE: 4 Divisions (23 Departments) Energy Business Group CEO Office, Energy Business Group Administration Department ■ E&P Business Division Asia E&P Business Department, Europe & Africa E&P Business Department, Americas & Oceania E&P Business Department ■ Natural Gas Business Division Brunei Natural Gas Business Department, Malaysia Natural Gas Business Department, Australia Natural Gas Business Department, Indonesia Natural Gas Business Department, Middle East Natural Gas Business Department, Russia Natural Gas Business Department, Americas Natural Gas Business Department, Donggi-Senoro Project Department, Shale Gas Business Department, LNG Operation & Trading Department ■ Petroleum Business Division Crude Oil Department, Petroleum Products Department, Industrial Petroleum Marketing Department, Utility Feedstock Department, Petroleum Feedstock Department ■ Carbon & LPG Business Division Carbon Materials Department, Petroleum Coke Department, Aluminium-Related Carbon Materials Department, Specialty Carbon & Graphite Business Department, LPG Business Department

17 BMA (Australia) produces about 60 million tons of coking coal per year, and is the world’s largest coking coal producer, handling 30% of the Metals Group global seaborne trade by volume.

In the Metals Group, we handle a wide range of commodities in ferrous raw materials, steel products and non-ferrous metals. By providing global markets with stable, sustainable supplies of high-quality raw materials and products, we are helping to create more affluent societies around the world. As far as our investments are concerned, we are active in metals raw materials, including coking coal, thermal coal, iron ore, copper, nickel and chrome. As the world economy continues to grow, future demand is expected to be quite robust for coking coal in particular. We are also undertaking ventures in precious metals like platinum and palladium. With respect to trade, we are leveraging high-quality services and functions to strengthen our supply structure, including raw materials and intermediary products. Our subsidiary Metal One handles our steel products trade, while Corporation RtM International and RtM Japan handle our ferrous raw materials and non-ferrous metals trade. The latter two companies were established in April 2013. By accurately assessing customer needs in each industry, we aim to develop our group’s businesses further and respond even better to global markets. In doing so, we hope to maximize our profits and business value.

ORGANIZATIONAL STRUCTURE: 3 Divisions (8 Departments) Metals Group CEO Office, Metals Group Administration Department ■ Steel Business Division Metal One Department, Auto Components Department ■ Mineral Resources Trading Division RtM Department ■ Mineral Resources Investment Division Iron Ore Department, MDP Department, Base Metals Department, Aluminum Department, Stainless Steel Raw Materials Department

18 DEVELOPMENTS IN THE METAL RESOURCE FIELD

■Coking coal ■Copper ■PGM (Platinum Group Metals) ■ Iron ore ■Aluminum ○ Existing project ■Nickel, Chrome ■Uranium ☆ Project in exploration / under development

JCU West McArthur (Japan Canada Uranium) (Canada) AREVA Mongol (Canada) (Mongolia) Marathon IOC (Canada) PACIFIC METALS CO., LTD. (Canada) Furuya Metal (Japan) (Japan)

Weda Bay (Indonesia) Albras Antamina (Brazil) Gresik (Peru) Mozal (Indonesia) BMA Kintyre (Australia) (Mozambique) (Australia) Quellaveco Crosslands Resources Boyne Escondida (Peru) (Australia) (Australia) (Chile) Ulan Hernic Ferrochrome Oakajee Port & Rail Los Pelambres CMP (Chile) (South Africa) (Australia) (Australia) (Chile) Clermont Warkworth/Coal & Allied Anglo American Sur S.A. (Australia) (Australia) (Los Bronces, etc) CAP (Chile) (Chile) AREVA Resources Australia (Australia)

METALS GROUP VALUE CHAIN

Resources Investment Trading (Processing, Distribution & Marketing etc.)

Ferrous Raw Materials Production Processing, & Steel Products Raw Materials Procurement Production End Users Distribution & Marketing

Coking Coal Thermal Coal Iron ore Mitsubishi Corporation RtM International Steel Sheets & Plates Metal One Shipbuilders Mitsubishi Corporation RtM Japan Specialty Steel & Wire Corporation BMA (Coking Coal) IOC (Iron Ore) etc. Metal One Steel Service Oil & Gas CMP (Iron Ore) Scrap Steel Steel Mills Keiyo Blanking Kogyo Warkworth (Thermal Coal) Power Metal One Structural EAF Mills Coilplus MSAT ISTW etc. Clermont (Thermal Coal) etc. Steel & Resource Corporation Kyushu Steel Auto Components Manufacturers Construction Shinkansai Steel etc. DMET, Hirotec Australia Automobile

Non-Ferrous Raw Materials Machinery Copper Aluminum PGM Bullion Home Appliance Nickel & Chrome etc. Non-Ferrous Products Mitsubishi Corporation RtM International & Products Anglo American Sur (Copper) Stainless Products etc. Mitsubishi Corporation RtM Japan Can Mitsubishi Corporation RtM International Escondida (Copper) Makers of Copper TATA TOYO RADIATOR Mitsubishi Corporation RtM Japan & Copper Alloy Wire Cable Los Pelambres (Copper) T.RAD Czech s.r.o Triland Metals & Other Products Beverage Antamina (Copper) Mozal (Aluminum) Rolling Mills & Foundries Qingdao Toyo Heat Exchanger Boyne (Aluminum) Marathon (PGM) Precious Metal Processeors Toyo Radiator Zhongshan etc. Jewelry Hernic (Chrome) etc. Smelter etc.

MC subsidiary Metal One has more than Mitsubishi Corporation RtM International Efforts are underway to expand production The Escondida mine in Chile produces more 70 steel service centers in Japan and Pte. Ltd., an integrated subsidiary in at BMA (a coal joint venture than 1 million tons of copper each year. countries around the world, adding value metals resource trading, was established in between Mitsubishi Development Pty Ltd It is the world’s largest copper mine, with to steel products as an integral part of the Singapore in April 2013. and BHP Billiton Ltd) in Australia. BMA reserves for at least another 50 years of global steel supply chain. has a good reputation for highly efficient operation. production.

19 Machinery Group

The Machinery Group handles a wide range of machinery and partners, we are responding to changes in the business in four key domains: industrial machinery, shipping, defense environment and developing our operations all over the world. and aerospace, and motor vehicles. We handle machine tools, We continue to strengthen our existing operations as we agricultural machinery, construction and mining equipment, forge longer value chains spanning sales to finance, distribution elevators and escalators, ships, space-related equipment, and our extensive business investments; but at the same time, automobiles, and other businesses. we are looking to create the kinds of new businesses that will Leveraging our expertise and extensive global networks develop into future earnings pillars for MC. in these fields, connecting us with customers, manufacturers,

MACHINERY GROUP BUSINESS

◦ Export, overseas transactions, and maintenance Industrial business for elevators and escalator Machinery ◦ Sales of industrial and agricultural machinery Business Division ◦ Rental of machinery and sales of mining equipment

MC conducts rental services and sales centered on construction and industrial machinery through rental services provider Nikken Corporation.

◦ Transactions in ships, drillships, FPSOs/FSOs, marine equipment, etc.; finance; ship owning and management business Ship & Aerospace ◦ Space development & utilization business, With MC also having an equity and satellite imagery sales business interest, this state-of-the-art Division “Sayaendo” type LNG carrier is ◦ expected to join the fleet this year. Sales of aircraft and defense systems for (Photograph supplied by Mitsubishi Japanese Ministry of Defense Heavy Industries, Ltd.) (above) High Resolution Imagery Satellite, GeoEye-1 (right) ©DigitalGlobe, Inc.

◦ Automobile exports Motor Vehicle (built-up vehicles, assembly parts, spare parts) Business Division ◦ Overseas local production and sales business ◦ Automobile financing business

Our motor vehicle business in Indonesia is working to strengthen the value chain, including auto loan operations, with our partner KTB playing a central role.

◦ Overseas local production and sales business ◦ Overseas automobile financing, after-sales Isuzu Business servicing and other related business Division ◦ Automobile exports from Thailand and Japan (built-up vehicles, assembly and spare parts)

A new model SUV variant of a pickup truck was unveiled on October 31, 2013 at a launch event in Thailand.

20 Ship Business The Machinery Group is forging an extensive value chain that covers ownership and operation of ships and offshore structures, as well as financing, trading, and other businesses. Our group is working hard to globalize its ship- Machinery Group related operations.

ORGANIZATIONAL STRUCTURE: 4 Divisions (13 Departments) Machinery Group CEO Office, Machinery Group Administration Department ■ Industrial Machinery Business Division Elevator & Escalator Operation & Marketing Department, Industrial Equipment Business Department, Construction & Mining Equipment Project Department ■ Ship & Aerospace Division Commercial Vessel Department, Offshore and Gas Carrier Department, Defense and Aerospace Department ■ Motor Vehicle Business Division Motor Vehicle Asean & South West Asia Department, Motor Vehicle North Asia Department, Motor Vehicle Europe, Middle East & Africa Department, Motor Vehicle Americas & Australia Department ■ Isuzu Business Division Isuzu ASEAN Department, Isuzu Europe, Middle East, Americas & Oceania Department, Isuzu Asia Department

21 Exportadora de Sal, S.A. de C.V. (ESSA) in Mexico is a joint venture between MC and the Mexican government. It operates the world's largest solar salt business, providing a stable supply of high purity and high quality salt to Japan, Chemicals Group North America, and other parts of the world.

The Chemicals Group is active in three business segments: Commodity Chemicals, which handles upstream materials including petrochemical products and fertilizers; Functional Chemicals, which handles downstream production including plastics and electronic materials; and the Life-Sciences, which is developing food sciences, pharmaceuticals and agrochemicals. Principal markets cover numerous industries, including petrochemicals, industrial chemicals, energy, automobiles, construction, paints and adhesives, electrical products and electronics, semi-conductors, communications equipment, textiles, apparel, fertilizers and agricultural chemicals, agriculture and livestock, food and foodstuffs, pharmaceuticals and medical supplies, and distribution. By offering a wide array of products and services in so many industries, we are helping people to enjoy a better quality of life. Many consumer-related fields such as clothing, food and housing are associated with the chemicals industry. Our business group leverages the unique attributes of this industry to provide the most pertinent and up-to- date information to consumers. To that end, we continue to add new links to our global value chain.

ORGANIZATIONAL STRUCTURE: 4 Divisions (16 Departments) Chemicals Group CEO Office, Chemicals Group Administration Department, Phoenix Department, Saudi Petrochemical Project Department ■ Commodity Chemicals Division A Olefins & Aromatics Department, Petrochemical Intermediates Department, Polyester Department, Chlor-Alkali Department ■ Commodity Chemicals Division B Methanol Department, Ammonia Department, Fertilizer Department, Inorganic Chemicals Department ■ Functional Chemicals Division Plastics Department, PVC Department, Functional Materials Department, Specialty Chemicals Department ■ Life Sciences Division Bio- Fine Chemicals Department, Life Science Products Department

22 MAIN OVERSEAS SUBSIDIARIES (MANUFACTURERS)

● Commodity Chemicals Div.A/B ● Functional Chemicals Div./Life Sciences Div. FUJIFILM Diosynth Biotechnologies UK Limited (UK) Contracted manufacturing of biopharmaceuticals Liling Fine Chemicals Co., Ltd. (China) Contracted manufacturing of Tri-Pack Films Ltd. agrochemical intermediates FUJIFILM Diosynth Biotechnologies U.S.A., Inc. (Pakistan) and active ingredients (USA) Film production DECCAN Contracted manufacturing of biopharmaceuticals (India) Contracted manufacturing of THAI CHEMICAL DM Color Rimtec Corporation agrochemical intermediates (Thailand) (Mexico) (USA) TOSOH HELLAS and active ingredients Manufacturing of plasticizers Manufacture and sale of Manufacture of (Greece) and adhesives plastic compounds PVC compounds Battery resources MC-Towa International Sweeteners Co., Ltd. Metanol de Oriente, METOR, S.A. Eastern Petrochemical Company (Thailand) (Venezuela) CASTELLO (SHARQ) Maltitol production business Methanol production (Spain) (Saudi Arabia) Exportadora de Sal, S.A. de C.V. Production of tartrates Petrochemicals (Mexico) DIA RESIBON Salt production (Thailand) Petronas Chemicals Aromatics Sdn. Bhd. Manufacturing of polishing materials (PC AROMATICS) and whetstones (Malaysia) Basic petrochemicals business FOSFATOS DEL PACIFICO Fermentech Indonesia (Peru) PT. Sorini Towa Berlian Corporindo (Indonesia) Phosphoric ore extraction/ (Indonesia) Production of nucleic acid production of diatomaceous soil and bricks Sorbitol production and curdlan

CHEMICALS GROUP VALUE CHAIN AND SUBSIDIARIES & AFFILIATES

Manufacturing Company Sales Company

Materials Product Commodity Chemicals Div.A Functional Chemicals Div. markets Marine Packaging Resources Industrial Salt ESSA PVC Raw Materials Polyvinyl Chloride (PVC) Synthetic Resin Products Mitsubishi Shoji Plastics KIBIKASEI Materials RIMTEC TRI PACK Chuo Kagaku DM Color Polyester Fiber Interior materials Crude Paraxylene PC AROMATICS for construction Oil Naphtha Ethylene PET Resin Benzene Synthetic Rubber / Functional Resins Coating & adhesives Xylene Ethylene Glycol SHARQ Coatings & Polyethylene Resin Mitsubishi Shoji Chemical adhesives SHARQ THAI CHEMICAL Automobiles Natural Home Electronics Methanol METOR Semiconductor Chemicals Raw materials for batteries Gas Polishing Materials, Whetstones IT・Communications Industrial Resins TOSOH HELLAS DIA RESIBON Ammonia Cosmetics & detergents Phosphate Ore FOSFATOS Chemical & Compound Fertilizers Mine Fertilizers Resources Mitsubishi Shoji Agri-Service Maltitol, sorbitol Sweeteners, medical foods, yeast extract, seasonings Potassium Chloride MC Ferticom (sweeteners) Mitsubishi Shoji Foodtech MC Food Specialties Textiles KOHJIN Life Sciences Co., Ltd. MTIS・STBC Ethanol Pharmaceutical & Tartaric acid Agrochemical intermediates and active ingredients agricultural Liling Fine Chemicals DECCAN Commodity Chemicals Div.B CASTELLO Bio-pharmaceuticals FUJIFILM Diosynth Biotechnologies Food products Plants Resources Life Sciences Div.

SHARQ’s production capacity is among the Petronas Chemicals Aromatics Sdn. Bhd. Chuo Kagaku Co., Ltd. is the only Japanese One of Japan’s leading food science largest in the world for a single plant, with is a joint venture between Japanese and plastic food packaging and container companies, MC Food Specialties Inc., capacities of 2,050,000 tons per year for Malaysian companies that is capable of manufacturer to has five manufacturing provides high-quality seasonings and food ethylene glycol and 1,550,000 tons per producing 540,000 tons of paraxylene bases in China, and is expanding business ingredients. year for polyethylene. and 200,000 tons of benzene per year. in the country from these sites.

23 Living Essentials Group

The Living Essentials Group provides products and services, Group’s comprehensive abilities through business investments develops businesses, and invests in various fields that directly and affiliates in Japan and overseas, we provide products impact our quality of life. These operations include foods, and services that match the needs of consumers with the aim textiles, daily necessities, healthcare, distribution and retail. of making a contribution to society. In addition, as a group Our strength as a group is that we conduct a well-balanced providing services that are closely connected with the lives of business throughout our value chains, extending from the consumers, we place a strong emphasis on the reliability and upstream sourcing of resources to the downstream retail safety of food in our operations. and food service businesses. While further reinforcing the

LIVING ESSENTIALS GROUP BUSINESS

◦ Planning, execution, and promotion of new Global Consumer businesses in emerging markets Business Division ◦ Developing food business in the UK and other European markets

“Alfamart” operated by Alfa Group, one of Indonesia’s leading retailers.

◦ Sales of food, clothing, furniture and interior furnishings, daily goods and others ◦ Development and distribution of various consumer Retail Division sales materials and services ◦ Marketing business, point-based loyalty programs and payment settlement-related services businesses Convenience store Lawson is venturing into new and original outlets, to meet the demands of customers and communities.

◦ Sale of processed foods, frozen and chilled products, confectionery, liquor, pet food and others ◦ Raw materials procurement and product sales for tires and industrial rubber materials; afforestation and raw materials for paper including woodchips and pulp; and various paper products and Living Essential packaging products Products Division ◦ Manufacture centering on OEM and sale of clothing, furniture, interior furnishings, daily goods and others ◦ Hospital-related business including medical equipment, medical supplies and pharmaceuticals, and nursing care equipment rental and wholesale Dedicated delivery center for Life Corporation, the business largest food supermarket chain in Japan, to which Mitsubishi Shokuhin Co., Ltd. provides services.

◦ Developing a business platform to provide stable supplies to customers in Japan and overseas by handling a range of materials including grains, rice, fresh produce, oils and fats, marine Living Essential products, sweeteners and starches, feed, meats, Resources Division beverage ingredients, dairy products, housing and construction materials, and functional fibers, and carrying out operations extending from production and procurement to manufacturing and processing MC subsidiary, AGREX Inc. is strengthening its grain procurement capabilities in the U.S.

24 MC subsidiary, Princes Limited, a UK-based food and drink manufacturer and distributor, is expanding business in the European market. The company Living Essentials Group is wholly owned by MC.

ORGANIZATIONAL STRUCTURE: 4 Divisions (21 Departments) Living Essentials Group CEO Office, Living Essentials Group Administration Department ■ Global Consumer Business Division Indonesia Department, China & ASEAN Department, New Markets Development Department ■ Retail Division Food Retail Department, Apparel and Consumer Products Department, Product Development Department, Retail Innovation Service Department ■ Living Essential Products Division Processed Foods Department, Paper & Packaging Department, Apparel Department, S.P.A. Manufacturing Department, Healthcare Department, Tire & Consumer Goods Department ■ Living Essential Resources Division Agricultural Produce and Oils & Fats Department, Grain & Oilseeds Department, Marine Products Department, Sweetener & Starch Products Department, Feed & Meat Products Department, Beverage and Dairy Products Department, Housing & Construction Materials Department, Fiber, Yarn & Industrial Textiles Department

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