Sustainability Management The Fujikura Group conducts its CSR activities based on its mission statement in the Corporate Philosophy MVCV, which is to help customers create value and contribute to society through its "Tsunagu" technologies. To earn trust from society, we are conducting CSR activities based on ISO 26000, which is the international standard on social responsibility. Fujikura Group CSR Philosophy, Basic Policy, Activity Guidelines Fujikura Group CSR Philosophy Fujikura Group believes that the corporate social responsibilities the Group should follow are comprised of activities required for sustainable corporate management and activities for the establishment of a sustainable society, based on Fujikura Group's Corporate Philosophy (MVCV). Fujikura Group CSR Basic Principles Fujikura Group aims to serve as a bridge to an affluent future for people, society and the global environment through "Tsunagu" Technologies by becoming a company that serves the anticipated growth and development of society. We have established the following four focus areas to fulfill our social responsibilities in all aspects of our corporate activities so that each and every employees will comply with the relevant laws and regulations of every country or region we operate in as well as international rules and social norms; become aware of his or her own role as a member of society, and act according to good social sense. [Four Focus Areas] 1. Sincere corporate activities 2. Concern for the environment 3. Respect for people 4. In harmony with society Fujikura Group Activity Guidelines 1．Sincere Corporate Activities (1) We conduct corporate activities sincerely, complying with all relevant laws and regulations in the various counties and regions we operate in good faith. We conduct ourselves with a sense of ethics and social decency, recognizing ourselves as members of society. (2) We work on maintaining and improving customer satisfaction by providing useful, safe and high-quality products and solutions from the viewpoint of customers. (3) We conduct fair and transparent transactions in free and open competition. (4) We maintain a healthy and normal relationship with politics, governments, citizens and various organizations. (5) We manage and protect thoroughly information related to the Fujikura Group and its customers. 2．Consideration of the Environment (6) We set voluntary management standards and work on maintaining and improving them, while complying with environmental regulations of the various countries and regions we operate in. (7) We promote reducing our environmental burden in all business activities ranging from developing, designing, procuring, manufacturing, constructing to selling, distributing and disposing products, aiming to develop a sustainable society in harmony with the global environment. (8) We promote environmentally friendly technological innovations and manufacture environmentally friendly products, while providing customers with information on appropriate ways of use, recycling and disposal of products. (9) We contribute to society widely, actively participating in environmental preservation activities in the various countries and regions we operate in. (10) We work on preserving the ecosystems, recognizing the importance of biodiversity in the global environment. 3．Respect for Human Beings (11) We secure the safety of all people involved in corporate activities of the Fujikura Group to maintain and improve the working environment. (12) We aim to create a comfortable workplace, where all employees can fully demonstrate their initiatives and creativity, without discrimination. (13) We work on providing employees with opportunities equally and do all we can to assist them in maintaining their work-life balance. (14) We respect the rights of all people and never allow human rights violation, including forced labor and child labor. 4．In Harmony with Society (15) We make social contribution actively, respecting the cultures and customs of the various countries and regions we operate in. (16) We work on maintaining and developing healthy relationship with all stakeholders by broadly communicating with them. (17) We disclose corporate information actively on a timely and appropriate basis. Activities Supporting the UN Global Compact Following a decision made by its CSR Committee (Management Committee) in July 2013, Fujikura Ltd. announced its support to the United Nations Global Compact (UNGC), which outlines the universal and international principles on human rights, labor, the environment and anti-corruption. Currently, we acquire the latest information through participation in the subcommittee, and are promoting penetration within the company, such as developing into internal divisions. Participating subcommittees CSV Subcommittee SDGs Subcommittee Anti-Corruption subcommittee Human Rights Due Diligence subcomittee GC's Internal Penetration Research Subcommittee Supply Chain Subcommittee Environmental Management Subcommittee Respect for Keidanren "Charter of Corporate Behavior" Fujikura respects the "Charter of Corporate Behavior" and the "Table of Contents of Implementation Guidance on Charter of Corporate Behavior" (7th edition) revised in November 2017 as a member company of the Japan Business Federation Federation. We are aiming to realize a sustainable society by contributing toward achieving SDGs and promoting management with consideration of ESG. Charter of Corporate Behavior below Initiatives for achieving the Fujikura Group's SDGs are here Sustainability Management System Since 2009, the Fujikura Group has mainly pursued sustainability through a management structure centered on the Group's CSR Committee. In recent years, striving for sustainable growth based in ESG activities, rather than corporate social responsibility (CSR) alone, is being viewed as important, in an era where society is demanding response to climate change issues and institutional investors are basing investments on ESG. The existing CSR Committee established the new Sustainability Strategy Council meetings to incorporate the ESG perspective into business plans, enhance corporate value, and achieve sustained growth (sustainability). The sustainability management system was updated at the same time to clarify the roles of existing meeting bodies in monitoring and supervision, and in execution. Sustainability Management Structure Stakeholder Engagement The Fujikura Group strives to maintain and develop sound relationships with all stakeholders through extensive communication. The Fujikura Group's CSR Activity Guidelines stipulate that the Group will The six stakeholders with whom we have a particularly close relationship in the course of our business activities are customers, employees (including their families), investors and shareholders, business partners, local communities, and the environment and government. The relevant departments serve as contact points for major stakeholders involved in our business activities and engage in a variety of communications to deepen mutual understanding, leading to the sustainable development of society and the growth of our company. Fujikura Group's Communication with Stakeholders Stakeholders Our Responsibilities and Tasks Communication Methods Customers -Provision of safe products and services -Manufacturing from customers' viewpoints -Assurance of quality -Provision of eco-friendly products -Management for higher CS -Protection of personal information -Website (production and technological information) -News releases -Responses to CSR questionnaire surveys and audits -Publication of newsletters on new products and technologies -Display of products at showrooms and exhibitions -Contact for inquiries Employees -Human rights -Diversity and Inclusion -Equality -Work-life balance -Human Resource Development -Fair evaluation and treatment -Health and Safety -Good Workplace -In-house magazines of the Group -Intranet -Invitation of employees' families to the workplaces -Internal whistle-blowing system -Discussion-oriented labor-management relationship -Management of employees' health and safety -Employees' awareness surveys Shareholders and Investors -Appropriate return of profit through dividends -Timely and proper information disclosure -IR communication -Enhancement of the auditing function -ESG disclosure -Increase of corporate value -Website (investor information) -Business reporting and integrated report -General meetings of shareholders -Briefings on financial results, including those for analysts -Visits to and individual meetings with investors -Contact for inquiries Business Partners -CSR-oriented procurement criteria -Fair and appropriate trading -Green procurement -Supply chain management -Partners' meetings -CSR questionnaire surveys targeting suppliers -Website for exclusive use by suppliers -Daily discussion with suppliers -Contact for inquiries Local Communities -Local social contribution activities -Volunteer activities and collaboration with NGOs -Dialogue and collaboration with local inhabitants -Community investment -Respect for local culture and customs -Environmental protection -Safety and prevention of accidents -Factory tours and open access -Local volunteer -Regular meetings with local governments -Disaster support agreements with local governments and others -Support to local cultural and traditional events -Participation in and support for activities to revitalize local industries -Support for school education (through the dispatch of lecturers) Governments and the Environment -Tax payment -Formulation of environmental protection policies -Collaboration with NGOs -Biodiversity conservation -Zero emissions and recycling -Anti-global warming measures and energy conservation activities -Management and reduction of the use of hazardous chemicals -Participation in economic and industrial associations -Discussions with and requests to the governmental authorities -Submission of various notifications and questionnaire replies -Compliance with legal regulations -Responses to environmental authorities and regulations -Public disclosure of the environmental policies and activities External Recognision FTSE Blossom Japan Index (From June 2017) * Government Pension Investment Fund (GPIF) ESG Index Placement The MSCI Japan Empowering Women (WIN) Select Index * Government Pension Investment Fund (GPIF) ESG Index Placement S&P/JPX Carbon Efficient Index * Government Pension Investment Fund (GPIF) ESG Index Placement Morningstar Socially Responsible Investment Index（From January 2016） * Morningstar Socially Responsible Investment Index CDP Climate Change score A-(2021) The Sweet Viburnum In 1881, Zenpachi Fujikura moved to Kanda Awaji-cho as he looked for a way to recover from a series of business failures. The new residence was located adjacent to Kaku Shrine, which has a distinguished history. Zenpachi took care of the shrine's sacred tree (a sweet viburnum) every day, and perhaps due to this deed, he began to succeed in business. He started the electric wire business in 1885, and this became more prosperous by the day. After the death of Zenpachi, employees bought the tree from the shrine as a "living monument to the foundation of the company" and the tree has been taken care of by employees from then to the present. While the tree suffered in two fires, one caused by the Great Kanto Earthquake (1923) and the other by the air raid on Tokyo in 1945, new buds continued to sprout from the burned stump and each time the tree sprang back to life. This miraculous tree provided great motivation to employees who were devoted to the recovery of the manufacturing facilities in the wake of the disasters.