In an effort to enhance management transparency and efficiency, Hitachi
Metals has positioned corporate governance as a priority issue with
the aim of raising corporate value for the benefit of all stakeholders.
To this end, we are working to build an organizational platform that maintains optimum efficacy and a clear balance between the supervisory and operational executive functions. The Company will continue to disclose pertinent and quality information in a timely fashion, including business results, segment information, and details of our medium-term management plan.
As an upstream materials manufacturer, Hitachi Metals is fulfilling its responsibility of addressing environmental problems by prioritizing them as important management issues and taking aggressive measures to preserve the environment.
In fiscal 2003, Hitachi Metals achieved the following results from its measures to preserve the environment. The ratio of sales of environmentally friendly products to net sales increased 18.8 percentage points to 45.4%, reflecting changing customer preferences. In our efforts to reduce industrial waste, we improved the recycling ratio 0.9 percentage point to 89.6% by stepping up the reuse of casting sand and slag-derived materials as well as continuing to recycle slag. The energy consumption rate to net sales was 1.60, a decrease of 5.9% compared with the previous fiscal year, owing to higher net sales and progress in energy conservation measures to reduce fixed energy consumption. Hitachi Metals has reduced emissions of chemical substances to 40.4% of fiscal 2000 levels, an improvement of 4.6 percentage points from the previous fiscal year. In our efforts to eliminate prohibited substances, we terminated the use of lead in all our automobile component products.
Hitachi Metals positions environmental issues as a major priority of management. The Company is striving to increase the rate of emissions recycling, reduce energy consumption rates, meet customer needs for green procurement and curtail the use of chemical substances in line with the European Unionfs (EU) Restriction of Hazardous Substances (RoHS) and End-of-Life Vehicle Directive (ELV) guidelines. In product development, Hitachi Metals will make every effort to expand production of environment-friendly products designed to reduce environmental impact. These initiatives are included in the Companyfs ISO 14001 improvement plan and are subject to an audit each year. In addition, the Hitachi Metals Group issues an environmental report, has implemented environment accounting and will continue to expand the disclosure of information regarding its environmental activities.
Corporate Community Service Action Plan
The Hitachi Metals Group has made concerted efforts to promote greenery and cleanliness at the local community level as the centerpiece of its contributions to society. While working closely with local residents, we have continuously promoted the monitoring of local rivers and wastewater, planting of flowers along riverbanks, and clean-up campaigns along roads and in train stations and parks. In addition, Hitachi Metals participates in greenery projects such as tree planting. We aim to strengthen communication with local residents through support for sporting events and by letting local communities use our sports facilities located on our plant sites.
We extend our support to local elementary schools by providing educational opportunities about the environment as a part of our activities to support the global environment. We also sponsor tours of our manufacturing plants. In the classroom, we encourage children to realize the importance of protecting the environment by explaining current environmental conditions and introducing the environmental activities of the Hitachi Metals Group.
(Kumagaya Works, March 2004)