Unit CO2 Emissions Index in Japan / Unit CO2 Emissions Index outside Japan (Sumitomo Chemical Group*1)

13 気候変動に具体的な対策を

The reason for the deterioration from the previous fiscal year in the unit CO2 emissions index in Japan in fiscal 2018 is a decline in the capacity utilization rate because of periodic maintenance of factories and other factors. Sumitomo Chemical is working to improve this index, both inside and outside Japan, putting greater focus on saving energy.

*1 Index reflects the total production plants of Sumitomo Chemical and its major Group companies that share CO2 emission intensity index reduction goals.

Greenhouse Gas (GHG) Emissions Volume (Sumitomo Chemical Group*2)

The main factors contributing to the year-on-year decline in GHG emissions in fiscal 2018 were the temporary impact of periodic maintenance at Sumitomo Joint Electric Power Co., Ltd., our group company. We will continue our efforts to achieve the targets certified by the Science Based Targets initiative in the future.

*2 Refer to Addressing Climate Change for the boundary of calculation.

Water Usage (Sumitomo Chemical Group*3)

We will work to reduce water usage through effective use of water, depending on the application, while endeavoring to assess risks to water supplies. Seawater is used for cooling plants and other facilities.

*3 Sumitomo Chemical’s manufacturing facilities and the production plants of major Group companies.

Lost-workday Incident Rate*4 (Sumitomo Chemical Group*5)

The frequency rate of lost-workday incidents for fiscal 2018 was 0.58, which was far worse than our target of 0.1. We will thoroughly investigate the cause and implement basic safety rules to take preventive measures.

*4 Indicates the frequency of industrial incidents as the number of deaths and injuries per one million hours of total work time.
*5 Sumitomo Chemical (including its partner companies and others) and consolidated subsidiaries in Japan and overseas.

Number of Female Managers / Percentage of Female Managers (Sumitomo Chemical)

In order to promote the advancement of female employees, Sumitomo Chemical has set a goal of at least 10% of female employees in positions equivalent to manager or above.

* All numbers as of April 1 of that year.

Number of Men Taking Cessation from Work for Childcare*6 / Percentage of Men Taking Cessation from Work for Childcare*7 (Sumitomo Chemical)

Sumitomo Chemical is encouraging male employees who have had children to take cessation from work for childcare, with a goal of realizing at least 50% of male employees taking cessation from work for childcare.

*6 The percentage of male employees who have taken cessation from work for childcare and had a child of three years or younger as of April 30.
*7 The number of people who have taken cessation from work for childcare divided by the number of male employees who have had children in the relevant period.

Research and Development Expenses /
Ratio of R&D Expenses to Sales Revenue
(Sumitomo Chemical Group)

R&D expenses for the previous Corporate Business Plan (FY2016-FY2018) amounted to 486.8 billion yen. The new Corporate Business Plan (FY2019-FY2021), which began in fiscal 2019, is expected to spend approximately 540 billion yen, primarily in specialty chemicals in the Pharmaceuticals Sector and the Health & Crop Sciences Sector.

Number of Directors / Number of Outside Directors / Ratio of Outside Directors and Corporate Auditors (Sumitomo Chemical)

With the goal of further strengthening the Board of Directors’ oversight and advisory functions to increase the transparency and objectivity of management, in June 2018 we added one outside director, increasing the total number to four (including one female director). As a result, of the 18 total members of the Board of Directors and the Board of Corporate Auditors, seven are outside members.

*FY2019 only as of July 1