Sustainability Management

Basic Policy and Slogan on Sustainability

The KITZ Group has promoted sustainability management to realize”KITZ’ Statement of Corporate Mission”,and our Long-term Management Vision “Beyond New Heights 2030-Change the Flow” which expresses the KITZ Group’s corporate philosophy. Under the KITZ Group Long-term Management Vision , all employees will work together in practicing sustainability management as the core of our management strategy. As the roadmap for doing so, the Basic Policy on Sustainability was formulated and approved by the Board of Directors in December 2021.

Basic Policy on Sustainability

To realize”KITZ’ Statement of Corporate Mission”, which expresses the KITZ Group’s corporate philosophy, we will work toward the following:

• 1. Strive to increase both corporate value and social value by delivering solutions to social challenges through our businesses
• 2. Be an enterprise that deserves society’s trust, through realizing efficient, fair, and transparent, highly ethical corporate management
• 3. Build unshakeable relations of trust through dialogue with all stakeholders

Slogan on Sustainability

The Slogan on Sustainability is a guidepost for all KITZ Group employees to realize the Basic Policy on Sustainability.

Structure to promote Sustainability management

Group-wide Sustainability Promotion Committee

In December 2021, the KITZ Group established the Group-wide Sustainability Promotion Committee as an organization to assist the Board of Directors in promoting integrated sustainability management groupwide. It will promote sustainability management powerfully throughout the entire group by sharing priority themes and key performance indicators (KPIs) on sustainability management and deploying groupwide measures targeting issues, KPIs and other topics from individual companies and sections.

Goals	①Promoting integrated sustainability management groupwide ②Ensuring sustainability management takes root in individual companies and sections ③Sharing the Key Themes for Sustainability Management, formulating KPIs for individual companies and sections, and revising plans
Activities	①Reporting and sharing the Basic Policy on Sustainability with individual companies and sections ②Reporting and sharing the Key Themes for Sustainability Management with individual companies and sections ③Reporting and sharing Group KPIs and formulating and reporting individual companies’ and sections’ KPIs ④Reporting on the progress of Group plans and reporting and sharing Group basic policies and revised plans, and formulating and reporting individual companies’ and sections’ revised plans ⑤Sharing and deliberating on issues related to sustainability management at individual companies and sections
Chairperson	General Manager, Corporate Planning Division
Membership	Executive Officers, presidents of KITZ Group companies
Administrative office	Sustainability Promotion Office
Frequency of meeting	Twice a year
Meetings (FY2022)	First half (held in May): Report on the Key Themes for Sustainability Management Second half (held in November): Report on individual topics related to ESG

Sustainability Promotion Office

In July 2019, the KITZ Group established the Sustainability Promotion Office under the direct supervision of the executive team as the section in charge of planning and promotion of activities related to the environment, society, and governance (ESG) and the Sustainable Development Goals (SDGs), as well as reforming employees’ awareness and the organizational culture, to realize continued, sustainable growth. Beginning in January 2021, the Sustainability Promotion Office has been placed under the supervision of the Management Planning Division, resulting in a structure under which it is able both to promote initiatives swiftly from a position closer to management and to cooperate and share information closely with individual sections and Group companies.