Environmental Performance Data

Reporting Period
Fiscal 2021 (January 1 to December 31, 2021)

Guidelines Used for Reference
Ministry of the Environment, Environmental Report Guidelines (2012 Edition)
Ministry of the Environment, Environmental Accounting Guidelines (2005 Edition)
Global Reporting Initiative (GRI), Sustainability Reporting Guidelines

Organizational Units Covered
From 2012, the scope of coverage was extended to all consolidated subsidiaries.

Consolidated Subsidiaries Other Subsidiaries and Affiliates
Japan KOKUYO Co., Ltd. KOKUYO K Heart Co., Ltd., Heartland Co., Ltd., IWAMI Paper Industry Co., Ltd., KOKUYO Hokkaido Sales Co., Ltd., KOKUYO Tohoku Sales Co., Ltd., KOKUYO Kitakanto Sales Co., Ltd., KOKUYO Tokai Sales Co., Ltd., KOKUYO Hokuriku-Niigata Sales Co., Ltd. , KOKUYO Sanyo-Shikoku Sales Co., Ltd.
Kaunet Co., Ltd., KOKUYO Marketing Co., Ltd., KOKUYO Supply Logistics Co., Ltd., KOKUYO Logitem Co., Ltd., KOKUYO Product Shiga Co., Ltd., KOKUYO MVP Co., Ltd., LmD International Co., Ltd., Actus Co., Ltd., KOKUYO Finance Co., Ltd, KOKUYO & Partners Co., Ltd.
Overseas KOKUYO Vietnam Co., Ltd., KOKUYO Malaysia Sdn. Bhd., KOKUYO (Shanghai) Management Co., Ltd., KOKUYO Commerce (Shanghai) Co., Ltd., KOKUYO Furniture (China) Co., Ltd., KOKUYO Design Consultants (Shanghai) Co., Ltd., KOKUYO International Asia Co., Ltd., KOKUYO International (Malaysia) Sdn Hbd, KOKUYO Vietnam TRADING Co.,Ltd., Kokuyo Camlin Limited KOKUYO-IK(Thailand) Co., Ltd.

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Scope of Report: KOKUYO Co., Ltd., 20 consolidated subsidiaries, and 10 affiliates
KOKUYO Engineering & Technology was integrated with KOKUYO Co., Ltd. in July 2019, but there has been no impact on the environmental performance data disclosed

2021 Results

Environmental Policy Goals and Results for 2019 Evaluation
Goals Results
Prevention of global warming Reduction of CO2 emissions
Total year-on-year reduction in volume: +4.2%
(Excluding impact of production: -1.5%)
+6.2%
(Excluding impact of production: -2.3%)
×
Reduction of unit energy consumption Year-on-year reduction: -1.0% Per unit of sales: +0.8% ×
Resource Conservation and Recycling Improve recycling rate in relation to total waste volume
• Business offices: 96.6% and over
• Construction sites: 82.2% and over
Business offices: 97.4%
o
Construction sites: 80.7% ×
Procurement, development, and provision of eco-friendly products Maintain eco x zero Maintained o
Information disclosure and communication Publication of CSR report 2021 Publication of CSR report 2021 o
Environmental management ISO 14001: Regular inspection in 2015 Regular inspection results
• Strong point: 0 cases
• Good points: 16 cases
• Matters pointed out for improvement: 0 cases
• Opportunities for improvement: 32 cases
o

*1 Targets are applicable to the following companies:
KOKUYO Co., Ltd.; Kaunet Co., Ltd.; KOKUYO Marketing Co., Ltd.; KOKUYO Engineering & Technology Co., Ltd.; KOKUYO Supply Logistics Co., Ltd.; KOKUYO Logitem Co., Ltd.; KOKUYO Product Shiga Co., Ltd.; KOKUYO MVP Co., Ltd.; KOKUYO K Heart Co., Ltd.; KOKUYO VIETNAM Co., Ltd.; KOKUYO (MALAYSIA) Sdn. Bhd.; and KOKUYO-IK (THAILAND) Co., Ltd.

Environmental Friendliness Efficiency Indicators

The KOKUYO Group designates unique environmental friendliness efficiency indicators as indices to comprehensively evaluate financial performance and impact on the global environment.

These indicators show the extent to which products and services are being offered to society with respect to specific environmental load and correspond to the following four items.

1. CO2 emissions
2. Final waste disposal
3. Usage of chemical substances subject to PRTR regulations
4. Water usage

Using fiscal 2000 as the baseline for each indicator, the progress status for each fiscal year can be determined.

Environmental Friendliness Efficiency Indicators

Scope of Report: KOKUYO Co., Ltd., 20 consolidated subsidiaries, and 10 affiliates
KOKUYO Engineering & Technology was integrated with KOKUYO Co., Ltd. in July 2019, but there has been no impact on the environmental performance data disclosed

JEPIX

JEPIX (Japan Environmental Policy Priorities Index) is a method of quantifying the individual amount of different types of environmental loads, such as greenhouse gas emissions and air pollutants, as single indicators called Environmental Impact Points (EIP). The EIP is calculated by multiplying the environmental load of each environmentally harmful chemical by the integrated coefficient, which is calculated from the ratio between Japan’s environmental policy target and the actual amount of emissions (environmental friendliness factor), and then obtaining the sum total of them all.

JEPIX

Global Warming Preventive Measures

CO2 Emission Transitions

* Electricity-based emission factors are calculated using the basic emission factors of the relevant electrical power companies for each given year

CO2 emission transitions

* Differences due to changes in emission factors are calculated using the average emission factors of all power sources in 2000 (0.378kg-CO2/kwh).

CO2 emission by source

* Market-based

CO2 emission by source

* Market-based

CO2 emissions by country

* Calculations were made according to the standard electrical power emission factors of each country (location-based).

CO2 emission by country

Tons of CO2 emissions Percentage of total
Japan 26,087 71.5%
India 3,831 10.5%
Thailand 1,943 5.3%
Malaysia 1,921 5.3%
Vietnam 1,483 4.1%
China (including Hong Kong) 1,224 3.4%
Singapore 5 0.0%
Total 36,494 100.0%

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Scope 3 categories and emissions

Category Applicable/ Not applicable Reason for Non-applicability Scope 3 Emissions As Percentage of Total As Percentage of Total Emissions
Category 1 Purchased products / services Applicable - 407,446 82.5% 76.9%
Category 2 Capital goods Applicable - 12,736 2.6% 2.4%
Category 3 Fuel not included in Scope 1 or 2 and energy-related activities Applicable - 5,938 1.2% 1.1%
Category 4 Shipping and delivery (upstream) Applicable - 21,625 4.4% 4.1%
Category 5 Waste materials generated by businesses Applicable - 4,037 0.8% 0.8%
Category 6 Business trips Applicable - 887 0.2% 0.2%
Category 7 Commuting by workers Applicable - 2,338 0.5% 0.4%
Category 8 Leased assets (upstream) Not applicable Included in Scope 1 / 2 - 0.0% 0.0%
Category 9 Shipping and delivery (downstream) Not applicable Included in Category 4 - 0.0% 0.0%
Category 10 Processing of sold products Not applicable KOKUYO is a manufacturer of completed products and does not deal with intermediate products - 0.0% 0.0%
Category 11 Use of sold products Applicable - 112 0.0% 0.0%
Category 12 Discarding of sold products Applicable - 37,392 7.7% 7.2%
Category 13 Leased assets (downstream) Applicable - 671 0.1% 0.1%
Category 14 Franchises Not applicable No franchises - 0.0% 0.0%
Category 15 Investments Not applicable No investments - 0.0% 0.0%
Total - - - 493,722 - -

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Greenhouse gases emitted by the supply chain (by scope) (Tons of CO2 )

Greenhouse gases emitted by the supply chain (for Scope 3)

Amount of CO2 absorbed by Yui no Mori

Amount of CO2 absorbed by Yui no Mori (cumulative total)

Resource Saving and Recycling

Waste Materials: Recycling and Final Disposal Amounts

Waste Materials by Activity

Waste material types (Recycling rate in brackets)

Emissions by Country

Chemical Substances Subject to PRTR Law

Official No. Chemical name Vol. handled (kg) Vol. Released Vol. Treated (kg) Vol. Consumed (kg)
Vol. Released into Air (kg) Vol. Released into Public Bodies of Water (kg) Vol. Released into Sewers (kg) Vol. Sent to Landfill (kg) Sub-total (kg)
1 Zinc compounds (water-soluble) 465.6 0.0 0.0 0.0 465.6 465.6 0.0 0.0
20 2-aminoethanol 221.2 0.0 0.0 0.0 221.2 221.2 0.0 0.0
30 Linear Alkyl Benzene Sulfonic Acid and its salts (LAS) 195.0 0.0 0.0 0.0 195.0 195.0 0.0 0.0
53 Ethylbenzene 15.0 15.0 0.0 0.0 0.0 15.0 0.0 0.0
57 Ethylene glycol monoethyl ether 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
71 Ferric chloride 11,285.0 0.0 0.0 0.0 0.0 0.0 0.0 11,285.0
80 Xylene 18.5 18.3 0.0 0.0 0.0 18.3 0.0 0.2
82 Silver and its water-soluble compounds 1.5 0.0 0.0 0.0 0.0 0.0 1.5 0.0
125 Chlorobenzene 17.1 12.1 0.0 0.0 0.3 12.4 0.0 4.7
134 Vinyl acetate 192.7 19.3 2.9 1.8 11.6 35.7 0.0 157.0
235 Water-soluble salts of bromic acid 440.7 0.0 0.0 0.0 0.0 0.0 440.7 0.0
300 Toluene 167.1 21.2 0.0 0.1 6.7 27.9 0.0 139.2
302 Naphthalene 6.4 0.0 0.0 0.0 0.2 0.2 0.0 6.2
309 Nickel compounds 45.6 0.0 0.0 0.0 0.0 0.0 45.6 0.0
354 Di-n-butyl phthalate 68.0 0.0 0.0 0.0 4.6 4.7 0.0 63.3
392 N-hexane 35.2 35.2 0.0 0.0 0.0 35.2 0.0 0.0
403 Benzophenone 15.9 0.0 0.0 0.0 0.8 0.8 0.0 15.1
407 Poly(oxyethylene)alkyl ether(alkyl C=12-15) 704.6 0.0 0.0 14.4 454.9 469.3 4.8 230.4
410 Poly(oxyethylene)nonylphenyl ether 18.3 0.0 0.0 0.0 0.9 0.9 0.0 17.4
412 Manganese and its compounds 17.3 0.8 0.0 0.0 6.1 6.9 0.0 10.4
448 Methylenebis(4,1-cyclohexylene)diisocyanate 445.3 0.0 0.0 0.0 0.0 0.0 0.0 445.3
453 Molybdenum and its compounds 166.1 0.0 0.0 0.0 0.0 0.0 0.0 166.1
Total 14,541.9 121.9 2.9 16.3 1,367.9 1,509.0 492.6 12,540.2

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* The volume of PRTR Law Class I Designated Chemical Substances that were used, handled, released, transferred, disposed, recycled, and consumed by the business establishments (in Japan) subject to notification under the PRTR Law. For the calculation methods, see the Ministry of the Environment/Ministry of Economy, Trade and Industry’s PRTR Release Estimation Methods Manual, version 4.1 (March 2011).
* “Volume treated” refers to those PRTR designated substances that were treated on site by incineration, neutralization, breaking down, reactive process, etc.
* “Volume consumed” refers to the volume of PRTR designated substances that were modified by way of reaction into other substances, incorporated into products or moved off-site with products.

Environmental Load Material Flow

Input items

Indicator Unit Calculation method
Volume of energy used GJ Power, gas (city gas, LPG, natural gas), oil (gasoline, light oil, kerosene, fuel oil A), heat (hot water, cold water) The power unit calorific values are the daytime and nighttime power values stated in the Enforcement Regulations of the Act on the Rational Use of Energy (effective from April 1, 2008). The unit calorific values of gas, oil, and heat are those values presented in the Greenhouse Gas Emission Calculation and Reporting Manual, Ver. 4.8 (Jan 2022 (Ministry of the Environment, Ministry of Economy, Trade and Industry).
Water 1,000 m3 Tap water, water for industrial use
Substance Input Tons The volume of raw materials used to manufacture KOKUYO products
Overall Sales Volume 10,000 tons Data from furniture and stationery products
Container and Packaging Materials Tons The volume of packaging materials used to package products

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Output Items

Indicator Unit Calculation method
CO2 Emissions from Energy Use Tons of CO2 CO2 emissions from the use of electricity, gas, oil, and heat. *See Global Warming Preventive Measures. Coefficients based on the Act on Promotion of Global Warming Countermeasures (adjusted emission coefficients for each power company for fiscal 2019 and 2020) were used to calculate the CO2 emissions from power consumption in Japan.
Coefficients for each country covered on the GHG Protocol website, released by the World Business Council For Sustainable Development (WBCSD) and the World Resources Institute (WRI), were used to calculate the CO2 emissions from power consumption overseas.
Values presented in the Greenhouse Gas Emission Calculation and Reporting Manual, Ver. 4.8 (Jan 2022) (Ministry of the Environment, Ministry of Economy, Trade and Industry) were used to calculate CO2 emissions from the use of gas, oil, and heat.
The ton/kilo method and the fuel consumption method were both used to calculate the distribution (consigned transportation) CO2 emissions.
Other Greenhouse Gases Tons of CO2e Emissions of greenhouse gases (CO2, CH4, N2O) related to production activities, (in Japan), but excluding such emissions from energy sources, have been converted to a CO2 basis. Emission coefficient values were taken from the Ministry of the Environment and the Ministry of Economy, Trade and Industry's Greenhouse Gas Emission Calculation and Reporting Manual, Ver. 4.8 (Jan 2022).
SO2">x, NO2">x Tons Emissions from smoke- and soot-producing facilities at manufacturing plants (in Japan)
Waste Tons The volume of discharged waste (emissions) is the total amount of waste and valuable substances discharged from business establishments.
The recycle volume is the total of the volume of discharged waste (emissions) that has been recycled through material or thermal recycling, and the volume of valuable substances.
The final waste volume is the combined total of the recycling residue and the volume of waste directly disposed of in landfills, out of the total volume of discharged waste (solid waste). *See Resource Saving and Recycling. If industrial waste has been calculated by cubic measurement, conversion factors (reference) for converting cubic measurements of industrial waste into weights as stated in a notice released by the Ministry of the Environment (December 27, 2006; Env. Ind. Waste Issue No. 061227006) were used.
Wastewater 1,000 m3 Wastewater discharged to areas of water for public use and into the sewage system
COD, BOD kg Of plants in Japan, the volume of effluent discharged to areas of water for public use by plants with a legal obligation to measure water quality

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Other items

Indicator Unit Calculation method
Overall Transportation Volume Tons/km The total of the following outsourced transportation volumes: total domestic transportation in Japan including the transportation of furniture products, store fixtures, stationery products, transportation of catalog sales by Kaunet, and transportation of Actus products; and transportation of products between overseas sites and within Malaysia.
Cyclical Water Use at Plants m3 The volume of water used in a cyclical way (i.e. recycled) on business premises
Cyclical Resource Use on Sitest Tons The volume of recycled resources, such as packaging materials, on the business premises of KOKUYO Logitem Co., Ltd. and KOKUYO Supply Logistics Co., Ltd.
Collected Used Products Tons The volume of used products collected from customers by KOKUYO Logitem Co., Ltd.
Re-use of Used Products Tons The volume of re-used products from the used products collected from customers by KOKUYO Logitem Co., Ltd.

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Environmental Accounting

Environmental Accounting (Unit: Ten thousand of yen)

Item Environment-related Investments Costs Effects Total
2019 2020 2021 2019 2020 2021 2019 2020 2021 2019 2020 2021
Pollution prevention 0 0 690 5,549 3,963 1,532 0 0 0 5,549 3,963 1,532
Global warming prevention 6,477 11,842 10,785 11,642 8,363 8,200 ▲2,052 ▲1,923 ▲2,160 9,589 6,440 6,040
Resource saving and recycling 0 0 0 34,826 42,117 54,265 ▲19,359 ▲15,315 ▲24,564 15,466 26,802 29,701
Procurement and provision of eco-friendly products 0 0 0 4,016 3,181 3,583 0 0 0 4,016 3,181 3,583
Survey and research into environmental technology 0 0 0 167 184 160 0 0 0 167 184 160
Environmental communication 0 0 0 1,836 1,442 1,623 0 0 0 1,836 1,442 1,623
Setting up management structures 0 0 0 6,551 5,851 6,369 0 0 0 6,551 5,851 6,369
Environmental damage response 0 0 0 0 0 0 0 0 0 0 0 0
Total 6,477 11,842 11,475 64,586 65,100 75,732 ▲21,412 ▲17,237 ▲26,723 43,175 47,863 49,009

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Breakdown of economic effects

Item Content of countermeasures 2019 2020 2021
Global warming prevention Effects of introducing energy-saving facilities ▲1,043 ▲703 ▲1,124
Effects of solar power generation ▲980 ▲1,009 ▲978
Effects of improving operations ▲29 ▲211 ▲58
Resource saving and recycling Cost reductions achieved through the use of recycled items ▲19,318 ▲15,313 ▲24,561
Waste Reduction ▲2 ▲2
Cost reductions achieved through the promotion of recycling ▲41 0
Total ▲21,412 ▲17,237 ▲26,723

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Sites with ISO 14001 Certification

No. Company Name Site Name
1 KOKUYO Head Office (including XT and WS)
2 Tokyo Shinagawa Office
3 Tokyo Shinagawa SST Office
4 Tokyo Kasumigaseki Office
5 Nagoya Office
6 Osaka Umeda Office
7 Mie Factory
8 Shibayama Factory