Aeon Report 2022 Sustainability Edition

Enriching People’s Lives andLocal Communities for Tomorrow

Aeon Basic Principles

Editorial Policy

Pursuing peace, respecting humanity, and contributing to local communities,
always with the customer’s point of view as its core.

Peace

Since its founding, Aeon has put its “Customer-First” policy into practice and maintained the belief that the eternal
mission of a retail business is to contribute to customers and communities without limit while achieving happiness for
its employees. Based on its basic philosophy rooted in these values, Aeon continues to innovate and works to createa corporate culture that anticipates and adapts to change.
Aeon produced Aeon Report 2022, its integrated report, as an important tool facilitating constructive dialogue withstakeholders. The report is divided into two parts, the Sustainability Edition (this section), detailing Aeon’s environmental
and social initiatives, and the Management Edition (separeate edition), describing Aeon’s medium and long-term value
creation story.

Aeon Report 2022 Sustainability Edition (This Edition) Contents
The Sustainability Edition reports on the environmental and social activities of the pure holding company Aeon Co., Ltd.
and each of its operating companies, using the Aeon Sustainability Compass (see page 7), which summaries the 14 areas ofactivity Aeon addresses with the keyword “life,” as a basis. The report covers the activities Aeon pursues together withcustomers and through its products and in-store services based on social concerns and perspectives important to Aeon.
The Sustainability Edition also highlights feedback regarding Aeon’s sustainability activities, the role Aeon is to play as
a retailer seeking medium-to-longterm growth, and the expectations placed upon Aeon.

The Customer
PeopleCommunity

The word AEON has its origins in a Latin root meaning “eternity.”
The customers’ beliefs and desires comprise the central core of our philosophy.
At Aeon, our eternal mission as a corporate group is to benefit our customers,
and our operations are thus customer-focused to the highest degree.
Aeon is a corporate group whose operations are dedicated to the
pursuit of peace through prosperity.
Aeon is a corporate group that respects human dignity and values“People”
personal relationships.
“Community” Aeon is a corporate group rooted in local community life anddedicated to making a continuing contribution to the community.

“Peace”

On the basis of the Aeon Basic Principles, Aeon practices its“Customer-First” philosophy with its everlasting innovative spirit.

AEON’s Corporate Commitment
AEON creates a future of limitless promise— an aeon —by transforming daily life with our open,
dynamic approach.

Aeon’s Sustainability

Heartful Community

Data Section

Page 3
Page 5
Page 7
Page 8Page 11
Page 15

Page 60 Urban Development and Forming Bonds
Page 67 Providing Disaster Prevention and a
Lifeline in Times of Disaster
Page 73 Supporting and Nurturing the Next
Generation

Page 108 Environmental Management
Page 113 GRI Standards Indicators
Page 124 List of External Awards
Page 125 Business Operation
Page 126 Corporate Data

Aeon’s Sustainability Efforts in Keywords
Aeon’s Sustainable Management
Aeon’s Vision for Sustainability
History of Sustainability
Materiality[Dialogue]
Chief Sustainability Officer
		×Dr. Taikan Oki, Professor at The University ofTokyo
Sustainable Planet
Page 20 Decarbonization and Climate Change
Page 27 Resource Circulation (Plastics and Food
Waste)
Page 37 Biodiversity and Environmental Conservation
Page 43 Sustainable Procurement
Page 49 Fair Business with Consideration for Human
RightsHealthy & Empowered People
Page 76 Food Safety and Security
Page 81 Health & Wellness
Page 82 Society Where People Live 100-Year
Lives
Page 83 Diversity & Inclusion
Page 87 Employment, Work Styles, and Work
Satisfaction
Initiatives of Public Interest
Incorporated Foundations
Page 96 AEON Environmental Foundation
Page 102 AEON 1% Club Foundation

Front Cover of the
Sustainability Edition
The front cover depicts a biotope set up in aforest at Aeon Mall Hamamatsuichino. A surveyof living creatures was conducted with the local
community to affirm the value of biodiversity
through forest development.

Aeon Report 2022 Management Edition (Separate Section)
Based on the “Five Reforms” set forth in the FY2021 – FY2025 Medium-term Management Plan aimed at achieving Aeon’s
2030 vision of sustainable, circular economy-focused management, sustainable value creation at the Aeon group isdescribed using both financial and non-financial information in an easy-to-understand manner. In preparing this report,
we referenced the disclosure framework of the International Integrated Reporting Council (IIRC), placing a particular focus
on the value that Aeon creates in the areas of the economy, society, and the environment.

https://www.aeon.info/en/ir/library/aeon-report/[Reporting Period] Fiscal 2021 (March 1, 2021, to February 28, 2022)*For the initiatives of some operating companies whose financial reporting periods differ, the applicable periods are specified for each reporting item.
[Reporting Scope] Pure holding company Aeon Co., Ltd., its 286 consolidated subsidiaries, and 26 equity method affiliates (as of February 28, 2022)*When the scope of reporting differs from the above, it will be so stated for each reporting item. In addition, major group companies contribute 1% of profit before income taxes to the
AEON 1% Club Foundation, which develops various social contribution activities, and various activities to protect the global environment and support and grants to each group. We also
report on the efforts of the AEON Environmental Foundation, which conducts environmental activities for the public interest.
[Target Audience] Customers, shareholders, investors, business partners, NPOs, NGOs, governments, and Aeon employees[Guidelines Used] •Global Reporting Initiative (GRI) •Environmental Reporting Guidelines (2018 version), Ministry of the Environment of Japan •Guidance on Social Responsibility, ISO 26000

The word AEON has its origins in a Latin root meaning “eternity.”The Aeon Group’s eternal
mission is to benefit its customers. By fulfilling this mission, we hope to sustain the Group’s
development and prosperity forever.

1

AEON REPORT 2022/Sustainability Edition[Disclaimer] This report includes plans for the future of the Aeon Group, as well as predictions and forecasts about business results. These statements are based on the Group’s judgments
and opinions based on the information available at the current time. Due to various future issues, results may differ greatly from those published in this report.
[Month of Publication] January 2023
[Publication] Corporate Communications Department, Aeon Co., Ltd

AEON REPORT 2022/Sustainability Edition

2

Aeon’s Sustainability Efforts in Keywords
Heartful Community

Decarbonization and Climate Change

Regional revitalization

TargetReduction in CO2 emissions
Down byapproximately

14(compared with
% FY2010 levels)

31(compared with
% FY2010 levels)

FY2021Results

Power Japanese shopping centers and general merchandise stores (GMS) operated by Aeon with
100% renewable energy by FY2030

Electricity generation
capacity of approximately
FY2021Results

PPA Model installed at

kW (total up to FY2021)

Reducing plastic

TargetNumber of plastic shopping bags reduced

withstores

P.21

130

P.61
FY2021Resultsbillion bags

P.29

(per million
JPY of foodproduction):*1 (11 countries)

billion JPY*1 T
 otal number of trees planted by the Aeon Hometown Forests Program, by the Aeon
Environmental Foundation, and by the Aeon Tohoku Reconstruction Hometown Forests
Program from 1991 to the end of February 2022
*2 Cumulative total from 1991 to the end of February 2022
AEON REPORT 2022/Sustainability Edition

P.34

Target

P.37

P.97

P.74

Total of

Laos, Vietnam,

schools Myanmar)

P.103

Asian Students Environment Platform:
10 countries in total

679

P.98

students

Diversity & Inclusion

Roll out of Vegetive products

FY2021Results

Coveragegroups *2

million
JPY

School Construction Support Project Five countries
in Asia(Cambodia, Nepal,

P.62

21

products

TargetP.81

Health Management

Cumulative number of environmental activities
supported through grants and subsidies

64.44
426

Approximately• Sustainable procurement ofagricultural produce• Sustainable procurement offishery products• Sustainable procurement of
paper, pulp, and wood products• Sustainable procurement ofpalm oilP.43

FY2021Results

FY2021Results

Raise the ratio of female managers to 50%
by FY2025
Ratio of female
managers:

26

P.85

%

Society Where People Live 100-Year Lives

Reduce the number of smokers by 25%
compared with the previous year

Approved facilities certified in accordance with
the Barrier Free Law:

Implemented bans on smoking during
working hours and on premisesMore than

115

Group
companies

P.87

FY2021Results

760
11,00081,000Service Care Workers
Approximately

workers

Data Section

12,417,737
3,250
2.96
Approximately

kg/million
JPY

P.73

members

Launch of the Aeon Children’s Cafeteria Cheering
Party – Total funds raised

local municipalities

Food Safety and Security

Sustainable Procurement

Cumulative number of trees planted: Approximately

Approximately

27.0

clubs with

Healthy & Empowered People

Amount of food waste generated
FY2021Results

members•Malaysia

Comprehensive Partnership Agreements
FY2021Results

Halve food waste generated comparedwith FY2015 levels by 2025

Biodiversity

3

billion
JPY*2

clubs

Initiatives of Public Interest
Incorporated Foundations

3.2(Amount of CO2 reduction: 99,164 t-CO2)

FY2021Results

Approximately

Food loss and food recycling

Halve the use of disposable plastics
compared with 2018 levels by 2030

Approx.

• China

Disaster prevention and disaster relief assistancestores (output capacity of 7,672 kW)
stations at

P.60*1 Cumulative total between 2001 and the end of
February 2022
*2 Total amount between April 2009 and the end of
February 2022

(as of the end of February 2022)

FY2021Results(162 varieties)

storesThe number of electricvehicle recharging stationsin Japan and overseas

2.32

members
throughout Japanwith

Gotouchi (Regional) Waon cards
Amount donatedApproximately

clubs

Healthy & Empowered People

1,049
73,23429
2,718 259

4.62

420
5,206
69
2,314
28 797
Approximately

billion
JPY*1

Heartful Community

Solar panels installed atTargetApproximately

P.21

Renewable Energy
TargetAeon Cheers Club
• Domestic

Sustainable Planet

FY2021Results

Energy use (unit basis)
Energy consumption
expected to be reduced
by approximately

Supporting and Nurturing the Next Generation

Total Funds Raised through the Aeon
Happy Yellow Receipt Campaign

Reduce the total emissions of CO2 and other GHGs in our stores to net zero by 2040

Aeon’s Sustainability

Sustainable Planet

Largest number of Dementia Supporters in Japan
Approximately

supporters

P.82

AEON REPORT 2022/Sustainability Edition

4

Pursuing Sustainable Management toSolve Environmental and Social Issues
through BusinessRealizinga Sustainable
SocietyGroup Growth

Achievement of a Sustainable Society

Acceleration and Evolution of the Digital Shift

Further Acceleration of
the Shift to Asian Markets

Establishment of
Unique Value by Supply Chain

New Medium-term Management Plan
(FY2021-FY2025) Five Reforms

Aeon Sustainability Principle

MediumTerm
Initiatives

Aeon strives to ensure Group growth while helping
to realize a sustainable society in accordance with

Board of Directors

Management Committee

Chief Officer for CSR

Corporate Citizenship Department of Aeon Co., Ltd.

Corporate Citizenship Leaders’ meetings
Group
CompanyGroup
CompanyGroup
CompanyGroup
Company

Each WG Each WG

respecting humanity, and contributing tolocal communities, always with the customer’s point• Suggestion box• Bulletin board for opinions and responses• Inquiries by telephone, via the Internet, and by letter• Dedicated call center (Topvalu)• Participation in many different events (tree planting ceremonies, etc.)

of view at its core.”
We aim to think globally and advance activities
locally as we actively promote initiatives involving
both environmental and social aspects with
our many stakeholders.

Customers(Revised September 2018)

Civic groups

AEON

The Customer

Business
partners

Community

Aeon Basic Principles

Enriching People’s Lives and Local Communities for Tomorrow

Thriving with Communities
5

AEON REPORT 2022/Sustainability Edition

Local
communities• Education and training • Aeon Code of Conduct• Employee awareness survey• Helpline system (“Number 110” on Aeon Code of Conduct)• Labor-management consultation• Participation in community activities

Data Section

Employees• Cooperation in business• Business Partner Hotline • Policy briefing• Aeon Supplier Code of Conduct (CoC)

Aeon interacts with a diverse range ofstakeholders as it conducts businessactivities. To continue to be a company
that contributes to the achievement ofa sustainable society, we clearly state
our responsibilities to our stakeholders
and communicate with them in manydifferent ways.
To continue to listen to customers’
opinions and fulfill the expectations ofsociety, the entire Group will promotesustainability activities in collaboration
with our stakeholders.

Initiatives of Public Interest
Incorporated Foundations• Shareholders Meeting• Results briefing• Briefing for investors
Shareholders(Sustainable Management Briefing)
and investors • Interviews with individual shareholders and investors

Peace

People• Participation in many different initiatives• Information exchanges with experts, NPOs, and NGOs
• Many different symposiums

Opportunities and Methods
for Dialogue with Key
Shareholders

Healthy & Empowered People

the basic principle of “pursuing peace,

The system above will operate from March 1, 2021.

Heartful Community

Creation of the Aeon Living Zone

Advancement of Health &Wellness for a New Era

As a member of the Board of Directors, the Chairman and
Representative Executive Officer is responsible for decision-making regarding the direction and execution of theCompany’s business. Based on authority delegated by the
Board of Directors, the Chairman and Representative
Executive Officer assume the highest level of responsibility, including responsibility for decision-making regarding
sustainability issues. The Chief Officer for CSR is responsible for the execution of business related to sustainability.
The Chief Officer for CSR proposes and reports
important matters related to risks and opportunities andaddresses issues related to sustainability to the Aeon
Management Committee (MC), which is chaired by the
Chairman and Representative Executive Officer and iscomprised of all of the executive officers. The results ofdeliberations at MC meetings are put into action after
the Board of Directors, the highest decision-making body,
passes resolutions supporting them. The resolutions are
made known to and shared by the Group companies.
We have established the Corporate Citizenship
Department of Aeon Co., Ltd. as a department responsible for promoting sustainability at Aeon. As an administration office for enhancing sustainability, the Corporate
Citizenship Department submits reports to the Chief
Officer for CSR and is responsible for providing informa-tion, guidance, and support to the Group companies. The
department also regularly holds Corporate Citizenship
Leaders’ meetings to discuss measures to address issues at
the Group-wide and individual company levels. The
department promotes initiatives using the plan, do,check, act (PDCA) cycle in cooperation with Group companies. As an ISO 14001 administration office, it also
works to establish and operate an environmental management system for the entire Group.

Sustainable Planet

Aeon has a motto — “Give the Central Pillar Wheels” —passed down from Okadaya, one of Aeon’s predecessors.
This means that the Company should do business in
response to changes in the needs of the times, theenvironment, society, and customers.
The environment surrounding the retail industry
in Japan is changing at an unprecedented pace.
Environmental issues such as climate change, resource
depletion, and the loss of biodiversity, as well as social
issues such as the reduced working population due to thedeclining birthrate and aging population and the declineof communities, are expanding. Each of those issues isimportant for Aeon, whose roots are established in people’s everyday lives, with support from local residents.
One of Aeon’s missions is the pursuit of sustainable
management, with the goals of contributing to theachievement of a sustainable society and the achievement of the growth of the Group in response to thegrowing importance of corporate responsibility. Under
the Aeon Sustainability Principle, Aeon has set mediumto long-term global-standard goals and works with stakeholders to achieve a sustainable society.

System for Sustainable Management

Aeon’s Sustainability

Aeon’s Sustainable Management• Information exchange with national and local governments• Participation in many different events and volunteer activities• Participation in community activities• Communication with recipients of donations

AEON REPORT 2022/Sustainability Edition

6

History of Sustainability

Continuously innovating in response to customer changes

Under its basic principles, “Pursuing peace, respecting humanity, and contributing to local communities, always
with the customer’s point of view as its core,” Aeon engages in sustainability activities to continuously innovate in
response to customer changes and pass on the root for people’s enhanced lives in the future.

In light of the changing times and social conditions, Aeon has again revised the responsibilities it is expected tofulfill, as well as the environmental and social issues it can solve through its business activities. We believe thatthe direction in which Aeon’s sustainability should proceed will contribute to the happiness of our customers now
and in the future. Aeon’s raison d’etre is to continue proposing “better living” that will lead to the future, andwe define it as the vision of Aeon’s sustainability and express the overall picture with an “Aeon Sustainability
Compass.” We will adopt ESG perspectives and strive over the long term to solve environmental and social issues
at the global level.

SUSTAINABLE PLANET

Sustainableprocurement policy
Sustainableprocurement

Basic humanrights policies

Fairbusiness withconsideration
for humanrightsPeoplefriendly
digitalizedsociety

MSC/ASC/FSC-certified products

Online Store“Regi-Go”

Universal design

Diversity&
inclusion

Lifestyles inwhich each person
can be cheerfuland shine intheir own way

Tohokureconstruction
programTopvalu Gurinai
Replaced with vegetable
ingredients“Vegetive”
Walking for health
Barrier-free

Supportingand nurturing
the next
generation

Bring Your Own Shopping Bag Campaign,
which Aeon has been running with its customers to reduce the use of plastic shopping bags

Started Aeon Happy Yellow Receipt
Campaign to give back to the local
community

Biodiversity principle

Urban
development,
creating
bonds

Disasterprevention
and disaster
lifeline

Initiatives from 2003-2007
Comprehensive
partnershipagreements

BCM Project,
Disaster prevention
agreements

COVID-19 Protocol
for Infectious Disease
Control

The eraof cheerful
100-yearlifespans

HEALTHY &EMPOWERED PEOPLE

HEARTFULCOMMUNITY

Together with a people

Together with people from local communities

AEON REPORT 2022/Sustainability Edition

2001-

2003 Formulated the Aeon Supplier Code of Conduct (CoC)
Began use of biomass packaging materials
2004 Formulated Basic Policy for the Prevention of Global Warming
Endorsed the United Nations Global Compact
Acquired SA8000 certification, an international standard related tohuman rights and labor conditions
Achieved SA8000 certification for TOPVALU supplier management andAeon headquarters operations
Commenced sales of Fairtrade Coffee under the Topvalu label
2005 Opened first Eco Store, Aeon Chikusa SC (currently Aeon Town Chikusa)
2006 Acquired chain of custody certification at stores and shopping centers
for processing and distribution of MSC-certified products (MSC-CoC),
becoming the first general retailer in Japan to receive such certification
Began selling MSC-certified seafood
2007 Began Stop Free Plastic Shopping Bag Program at JUSCO
Higashiyamanijou Store (currently Aeon Higashiyamanijou Store)

2006-

2007-

Began handling MSC-certified products

Became the first chain store operated
nationwide in Japan to cease the provisionof free shopping bags

Expanding Activities from a Global Perspective

Launching Initiatives Incorporating the Ten
Principles of the United Nations Global
Compact
To reinforce its global perspective on sustainability, in
2004, Aeon became Japan’s first retailer to sign the
United Nations Global Compact.
The Aeon Supplier Code of Conduct (CoC), formulated in the previous year in 2003, is based on the
Ten Principles outlined in the United Nations Global
Compact and the requirements of the SA8000 Standard.
Building on these activities, Aeon and three labororganizations, including the international labor body UNI Global
Union, signed the Global Framework
Agreement on labor practices, humanrights, and the environment in 2014.

AEON REPORT 2022/Sustainability Edition

Data Section

Health&Wellness

Children’s cafeteria support
Cheers Club

Biodiversity
Environmental
conservation

Happy yellow
receipt campaign
Gotouchi (Regional)
Waon cards

A joyful life
connected bymutual support
and bonds
between people

Traceability

Food safety
and security

7

Aeon Hometown
Forests Program

Peaceful andTranquil Lifestyles,
Now and in
the Future

1991-

To carry out corporate activities befitting of a retailer
representing Japan as well as Asia, and to continue to bea retailer that consistently delivers vital value in the formof “richness,” Aeon has proceeded to build a framework
for engaging in CSR activities as an organization since thelate 1980s. In 1990, the Aeon Group 1% Club (the present Aeon 1% Club Foundation) was established, followedby the JUSCO Earth-Friendly Committee and the Aeon
Group Environmental Foundation (the present Aeon
Environmental Foundation). In 1991 we launched the
Aeon Hometown Forests Program, the Bring Your Own
Shopping Bag Campaign, and the Collecting Recyclable
Resources at Stores Campaign. In addition to receiving
the international standard ISO 14001 certification forour environmental management system in 2000, we
have launched many activities leading up to today’s sustainability initiatives, including the Aeon Happy Yellow
Receipt Campaign upon the change of our company
name in 2001 and to designate the 11th day of eachmonth as “Aeon Day.”

Initiatives of Public Interest
Incorporated Foundations

Diversity
management

Reduction of
disposable
shopping bags
Over-the-countercollection/recycling

The Customer

Employment
and jobsatisfaction

Plastic usage policy
Food waste reduction targets

Resource
circulation
Food waste

Smart Aeon

Fairtrade-certified
products

Work-life balance

Healthmanagement
statement

Decarbonization
andclimate change

Starting with Trees-Planting on Many
Activities Leading to Today’s Sustainability
Initiatives

Healthy & Empowered People

Information
security policy

Decarbonization vision

Building a Sustainability Management Structureand Launching New Initiatives

Heartful Community

Together with our partners(Business partners, NPOs, and others)

1989 Announced establishment of the Aeon Group 1% Club Foundation
1990 Established the JUSCO Earth-Friendly Committee
Established the Aeon Group Environmental Foundation(public name: Aeon Environmental Foundation)
Established the Aeon Group 1% Club Foundation(current public name: Aeon 1% Club)1991 Initiated the Aeon Hometown Forests Program
Started Clean & Green Activities
Commenced the Bring Your Own Shopping Bag Campaign on a trial
basis and launched the experimental Collecting Recyclable Resources
at Stores Campaign
1993 Started development of organic and other agricultural produce forGurinai (now Topvalu Gurinai) private label
1994 Formulated the independent Aeon Heart Building Design Standards
based on the Heart Building Law (the New Barrier Free Law from
December 2006)
Opened JUSCO Minamikata Store as the first building in Japan certified
under the Heart Building Law
1995 Introduced returnable food containers and reusable hanger systems
1996 Launched the Environment Committee
Founded JUSCO Childrenʼs Eco Club (currently Aeon Cheers Club)
2000 Acquired ISO 14001 certification, the international standard forenvironmental management
2001 Changed company name to Aeon Co., Ltd. and started Aeon Day
Started the Aeon Happy Yellow Receipt Campaign

Sustainable Planet

Sustainability Activity Areas and Specific Actions
That Aeon Takes through Its Business Activities with
“Living” as a Keyword

Initiatives from 1989-2001

Aeon’s Sustainability

Aeon’s Vision for Sustainability

8Initiatives from 2008-2010
Became Japan’s first retailer to Set a CO2 emissions
reduction goal

Formulating the Aeon Group Principles
with Regard for Biodiversity and thePrevention of Global Warming

2009-

2015-

Began handling ASC-certified products

Development of an infrastructure to
support the balance between work life andchild raising

Initiatives from 2011-2013

Striving for Group-Wide Growth andSocietal Development through the Aeon
Group’s Four Key Issues for Sustainable
Management

Better use
ofResources

Aeon Sustainability Principle

Conservationof
biodiversity

2011-

Formulated in 2011

2012Aeon

Reducestrategy

Createstrategy

Energy usage Renewable energy
50% reduction
200,000 kW

Promoting the use of natural refrigerant
equipment

9

AEON REPORT 2022/Sustainability Edition

Protect
strategy
100 emergency
lifeline centers
nationwide

Launched the Aeon Eco Project as anenvironmental target

Initiatives from 20182018 Formulated the Aeon Decarbonization Vision 2050
Revised the Aeon Basic Policy on Human Rights
Revised the Aeon Sustainability Principle
2019 Concluded “Collaborative Agreement on Disaster Response” with the
Cabinet Office
Launched the “10 x 20 x 30 Initiative to Reduce Food Loss and Waste”
Japan Program
Participated in planning of “Loop,” the first sustainable reuse container
product shopping system in the Japanese retail industry
2020 Opened the first Aeon store using 100% renewable energy
Ended free provision of plastic shopping bags
Formulated the Aeon COVID-19 Outbreak Prevention Protocol to preventthe spread of infection
Formulated the Aeon plastic usage policy
2021 Established the Sustainability Compass serving as a compass for
Aeon’s sustainability activities

Achievinga decarbonizedsociety

Conservationof
biodiversity

Promotionof resource
recycling

Aeon Sustainability Principle
Aeon strives to ensure Group growth while helping
to realize a sustainable society in accordancewith the basic principle of “pursuing peace,respecting humanity, and contributing to local communities,
always with the customer’s point of view as its core.”
We aim to think globally and advance activities
locally as we actively promote initiatives involving
both environmental and social aspects
with our many stakeholders.
Creating
products andstores thatmeet social
expectations

Engaging infair businessactivities that
respect humanrightsWorking incooperation
with thecommunity

Putting Sustainability Management into Practice (2)Formulated a new Medium- to Long-Term
Environmental Policy to Realize a
Sustainable Society
In 2018, we revised the social priority issues within the
Aeon Sustainability Principle, setting three priorities. We
also enhanced our activities.
In terms of the environment, we formulated andannounced the Aeon Decarbonization Vision 2050 in
2018. Aeon announced that it would aim to achieve zeroCO2 emissions from its stores. In 2020, we announced the
new goal of ensuring that 50% of the power consumed
at the domestic stores is from renewable energy sources
by FY2030. We aim to achieve this goal ahead of schedule, around 2040.
For 30 years since 1991, we have been running theBring Your Own Shopping Bag Campaign with customers.
Before introducing fees for plastic shopping bags in July
2020, we ended the free distribution of plastic and paper
shopping bags at all directly managed GMS Aeon storesnationwide, which we had started on April 1, 2020. We
formulated an Aeon Plastic Use Policy and announced
a plan to strengthen our efforts to move away fromplastics.
Going forward, we will make an effort to establish
medium to long-term numerical targets and work together
as a Group to achieve them, contributing to the realizationof a sustainable society through our business activities.

Data Section

Project

Create strategy

As the globalization of our business continues to makegreat strides and our impact on the environment andsociety rises to new levels, we are more actively promoting sustainability initiatives throughout the Group.
We formulated and announced the Aeon Sustainability
Principle in March 2011, seeking to achieve sustainable
management by combining both growth of the Groupand the development of society as a whole.
In formulating the principle, we took into accountworldwide megatrends, the changing values of people, social issues addressed in the UN Millennium
Development Goals (MDGs), guidelines regarding social
responsibility such as ISO 26000, and the basic content of
our new Medium-term Management Plan. Deliberations
were made by stakeholders inside and outside theCompany, such as our Environmental Advisory Board, outside directors, and Aeon People involved with sustainability activities. Along with determining the Four Key Issues
for the Aeon Group, we set medium- and long-term key
performance indicators (KPIs) for each key issue and publicize our progress every year in our Sustainability Data
Book (currently the AEON Report Sustainability Edition)
and Aeon’s corporate website.

*CSV: Creating shared value

Initiatives of Public Interest
Incorporated Foundations

Aeon aims to realize a sustainable society
with its stakeholders based on its basic principleof pursuing peace, respecting humanity,and contributing to local communities, always
Realization
with the customer’s point of view as its core.” Addressingof asocialWith “realization of a low-carbon society,”low-carbon
issues“conservation of biodiversity,”society“better use of resources,” and“addressing social issues”
as our core principles, we will think globallyand advance activities locally.

Aeon classified the results of its sustainability activities
into three stages in 2014 to further advance sustainable
management. At Stage I, social, environmental, and economic risks are controlled. At Stage II, growth opportunities function as a process for resolving social issues. At
Stage III, sustainability activities and business activities
combine to realize CSV*. Having self-assessed Aeon as
being at Stage II, we aim to engage in further efforts toreach Stage III by 2020.
In 2015, the United Nations General Assembly
adopted the Sustainable Development Goals (SDGs), andthe United Nations Framework Convention on Climate
Change (COP21) agreed on the Paris Agreement. Basedon global trends and opinions gathered through dialogues, we conducted another materiality assessment
from the perspectives of the “environment” and “society, and in April 2017, we revised Aeon’s Basic Policy on
Sustainability and identified four priority issues from asocietal perspective. In terms of the environment, weformulated the Aeon Sustainable Procurement Policy
and 2020 Sustainable Procurement Goals, and the Aeon
Group Food Waste Reduction Targets.

Healthy & Empowered People

Started Aeon Eco Project, Setting New
Environmental Targets

2011 Formulated the Aeon Sustainability Principle
Announced the Aeon Natural Refrigerants Declaration2012 Established the Sustainable Management Committee
Started the Aeon Eco Project

Revising 2020 Materiality Targets andActivity Categories

Heartful Community

Opened the first FSC®-certified convenience store in
Japan (Ministop Co., Ltd.)

2014-

Putting Sustainability Management into Practice (1)Sustainable Planet

In 2008, we announced the Aeon Manifesto on thePrevention of Global Warming, becoming the first Japaneseretailer to set specific targets for reducing CO2 emissions.
Through initiatives related to our stores (developing Eco
Stores, etc.), products (conserving resources used in packaging materials and changing transportation methods),
and with our customers (planting trees at Aeon stores),we were able to surpass the 30% (1.85 million tons-CO2)
reduction target for FY2012, in comparison with FY2006
levels, one year early by achieving a 2.08 million tons- CO2
reduction in FY2011. In response to this achievement, since2012, we have not only been reducing CO2 emissions but
have also added the Aeon Eco Project as part of our efforts
for stores to act as emergency lifeline centers.
Furthermore, we formulated the Aeon Biodiversity
Principle in 2010, the year that COP10 (the 10th meetingof the Conference of the Parties to the Convention on
Biological Diversity) was held in Japan. Aeon continues todevelop and sell marine and other biodiversity-responsive
products with MSC (Marine Stewardship Council) andFSC®, and create stores while protecting ecosystems.

2014 Formulated the Aeon Sustainable Procurement Principle
Concluded the Global Framework Agreement
Started sales of Aquaculture Stewardship Council (ASC) certified
products
2015 Aeon Yumemirai Nursery School in Aeon Mall Makuhari New City
acquired certification in Chiba City
Commenced sales of first completely farm-raised Bluefin Tuna
Japanese private brand product2016 Launched sales of Topvalu Gurinai “Organic,” “Natural,” and“Free From” products2017 Formulated the Aeon Sustainable Procurement Policy and 2020 Goals
Formulated the Aeon Food Waste Reduction Targets

Aeon’s Sustainability

2008 Formulated the Aeon Manifesto on the Prevention of Global Warming.
2009 Commenced trial sales of Carbon Footprint product labeling for ninevarieties across seven TOPVALU products
Participated in Japan Climate Leaders’ Partnership (Japan-CLP) as afounding member
Opened the first FSC®-certified convenience store in Japan
2010 Formulated the Aeon Biodiversity Principle

Initiatives from 2014-2017(Revised in September 2018)

AEON REPORT 2022/Sustainability Edition

10

Aeon’s Management Approach

Among the many environmental and social issues in promoting sustainable management, Aeon has identified key
areas (material issues) for which it will pursue solutions on a priority basis through its business activities, and has
continued to strengthen its efforts in those areas.

Promoting Sustainable Management Group-WideApproachHigh

Water risks and water resources

Health / Hygiene / Product safety anddisaster prevention / Urban
development / Aging society / People
with poor access to shopping /Human rights

Soil pollution / Wastewater / Noise /Foul odors / Exhaust gases

Bribery / Abuse

Protection of personal informationand privacy / Wages / Work-lifebalance / Harassment / Recovery andreconstruction of disaster-stricken
regions

Job creation / Diversity

Relationship with Aeon’s Business

Aeon operates 20,008 stores in 15 countries around theworld. One of the biggest effects our business activities
have on global warming is the release of greenhousegases due to the use of energy such as gas and electricity
at our stores and business sites, as well as the use of CFC
refrigerant substitutes for air conditioning equipment
and refrigerated cases. For this reason, we have declared
the realization of a decarbonized society, one that does
not release greenhouse gases, as a material issue and weare pursuing various initiatives to reduce our greenhousegas emissions.

In addition to the waste generated from its businessactivities, since Aeon is also involved with the waste generated when customers use plastic bags, containers, andpackaging, it recognizes the Promotion of Resource
Recycling as a material issue and undertakes a number of
initiatives to address it.

High

Environmental Issues / Social Issues

With regard to the prevention of global warming, Aeon
has steadily cleared its goals announced in the Aeon
Prevention of Global Warming Declaration made in 2008
and the Aeon Eco Project launched in 2012 and has
endeavored to reduce its greenhouse gas emissions. In
2011, Aeon announced the Aeon Natural Refrigerant
Declaration and has made progress with the introductionof refrigerated and frozen goods cases that use naturalrefrigerants (CO2) with a small global warming potential.
In the Aeon Decarbonization Vision formulated in2018, we aim to achieve net-zero emissions of CO2 at ourstores from the three perspectives of stores, products,
and logistics, and hand in hand with customers. In 2020,
we set the new goal of switching 50% of the electricity
used at our stores in Japan to renewable energy by 2030
and announced that we would aim to achieve our 2050
goal ahead of schedule in around 2040. The Group willleverage all of its resources to accelerate initiatives
directed at realizing a decarbonized society.

Six Priority Fields for Aeon

11

AEON REPORT 2022/Sustainability Edition

Aeon Decarbonization Vision

Aeon has continued to promote various initiatives tofurther the better use of resources, including the BringYour Own Shopping Bag Campaign and over-thecounter resource recovery. In 2020, we formulated the
Aeon Plastic Usage Policy, through which we work to
reduce the use of disposable plastics, transition to better
materials, and develop a resource recycling model basedat our stores. As a retailer that deals with food, in 2017,
Aeon’s Food Waste Reduction Targets were also established, and we announced plans to halve food waste by2025. Additionally, in 2019 Aeon became the only
retailer in Asia to participate in the World Resources
Institute’s (WRI) food waste reduction initiative to
reduce waste throughout its supply chain.

Aeon Plastic Usage Policy
Targets
By 2030, we willu Halve the amount of disposable plastics usedcompared with 2018 levelsu Use eco-friendly and socially considerate materials inall private brand productsu Switch to 100% renewable or plant-derived materials
for the PET bottles of private brand productsP.

27

Targetsu Switch 50% of electricity used in stores to renewableenergy by 2030
u Achieve zero aggregate CO2
P. 20
emissions from stores by 2040

Data Sectionu Achieving a Decarbonized Societyu Promotion of Resource Recycling (Reducing plastics and food waste)
u Preservation of Biodiversity
u Sustainable Procurementu Engaging in Fair Business Activities That Respect Human Rights
u Collaborating with the Community

Aeon’s Approach

Initiatives of Public Interest
Incorporated Foundations

Nuclear power and radioactivity

Recognition of Issues

Healthy & Empowered People

Impact on Society

Education / Declining birthrate /Children on the waiting list forchildcare

Recognition of Issues

Aeon’s Approach

Waste products
Discrimination and disparities(gender, LGBT, indigenous peoples,
people with disabilities, minorities,etc.) / Job fulfillment / Labor
environment / Animal welfare /Nursing care

Promotion of Resource Recycling

Heartful Community

Poverty / Welfare / Child labor /Immigrant labor

Climate change / Resource
conservation and environmental
resources (including plastics) / Foodwaste / Loss of biodiversity(destruction of forests)

Achieving a Decarbonized Society

Sustainable Planet

To continue to be a company that revitalizes local economies and solves social issues, we believe it is important to respondto the demands and expectations of stakeholders while adapting to changes in society.
To realize this vision, we have implemented materiality mapping from two perspectives, specifically the impact on society and the relationship with Aeon’s business.
For the targets and KPIs set for each material issue, we iterate on the PDCA cycle based on our sustainability promotion
structure, continually implement more effective sustainability activities, and strive to make further improvements.

In its Medium-term Management Plan (FY2021-FY2025), Aeon regards sustainability as the center of its business and has
positioned it as the core of its growth strategy. Aeon will continue to take on the challenges of the Five Reforms and accelerate initiatives aimed at achieving its medium- and long-term goals dealing with environmental and social issues.

Aeon’s Sustainability

Key Areas of Sustainability (Material Issues)

AEON REPORT 2022/Sustainability Edition

12

Recognition of Issues

Recognition of Issues

Recognition of Issues

Recognition of Issues

From the destruction of ecosystems due to overfishingand overhunting and abnormal weather events caused by
global warming, the gifts of nature we use as resources
are under critical threat. The land area taken up by forests, tropical rainforests, in particular, continues todecline, and the number of animals classified as endangered species is also on the rise. Based on the recognition
that Aeon’s businesses would not be possible without
ecosystem services such as agricultural, fishery, and forestry products, we regard the conservation of biodiversity
as a material issue.

The safety and security of customers will always be anissue of the highest priority. In recent years, with supply chains expanding globally, ensuring product quality
and safety has become a growing social issue. In addition, the quality expected by customers can vary significantly depending on the country or region concerned.
To continually respond to such feedback, it is essential
to develop mechanisms to proactively engage in dialogue with customers while creating systems to develop
products, services, and stores that reflect the wishes ofcustomers.

Enormous supply chains have been built along with theglobalization of corporate activities. To engage in sustainable business across many countries and regions, it isnecessary to comply with local laws while promoting fairbusiness activities in light of the United Nations’ Guiding
Principles on Business and Human Rights and otherinitiatives.
Additionally, respecting the human rights of people from a range of backgrounds while utilizing theirdiversity to create new value has taken root as a humanresources strategy essential to corporate growth.

With each region facing unique social issues, we strive tosolve issues in partnership with local governments, NPOs,
NGOs, and international organizations. In recent years,
there has been a growing trend for companies to makeeffective use of their resources, including technologies,
knowledge, information, funding, and even management
expertise to demonstrate an even greater impact sustainably. Meanwhile, companies have also gained a strong
appreciation for how working with local communities isessential for sustainable growth.

Aeon’s Approach

Aeon’s Approach

Aeon’s Approach

To advance sustainable resource utilization while conserving biodiversity, we promote a range of initiatives in
keeping with the action guidelines set forth in the Aeon
Biodiversity Principle.

To put into practice our Customer-First approach andmake good on Our Promise to Customers established in
the AEON Code of Conduct, we have pursued the development of safe and secure products in conjunction with
suppliers in Japan and overseas through the TOPVALU
brand.
In addition, through initiatives that include the development of a traceability system and the creation of rules
concerning ingredient labeling, we make every effort toensure that customers can use our products with peaceof mind. In terms of store facilities, we strive to develop
safe and comfortable stores in terms of both physicaland qualitative terms. Additionally, to reflect the diverse
feedback from society as it changes over time, we havedeveloped systems to periodically gather customer feedback, and in recent years, we have focused on product,
service, and store development focused on keywords suchas the elderly, health, and local products.

To put into practice one of the basic principles of respecting humanity, we have established the Aeon Basic Policyon Human Rights, which is applied to all stakeholders
involved with Aeon’s business activities.
We place importance on our relationship with our
suppliers, who are important partners for our businessactivities, and along with engaging in fair trade in accordance with the Aeon Supplier Code of Conduct (CoC),
we undertake procurement in consideration of oursocial responsibility. In January 2021, we established theSupplier Hotline, which receives consultations and reports
from TOPVALU product suppliers and their employees.
We have also established Basic Principles on Human
Resources that reflect our approach to human resource
matters for our own employees. We place importanceon diverse values regardless of gender, age, nationality,
or other attributes and conduct human rights awarenesstraining globally to put into practice our policies andprinciples concerning human rights.

Aeon espouses the basic principles of being a corporategroup rooted in local community life and dedicated tomaking a continuing contribution to the community andhas tackled solutions to social issues in various regions
through engagement with people in Japan, China, and
the ASEAN region for many years.
We also focus on building value chains designed
to vitalize industries in the regions where we operate,
including the proactive development and marketing ofproducts geared toward the local food culture.
As a corporate citizen, we aim to be a company thathelps develop society and enhances lifestyle and culture
in conjunction with the local community.

n Sustainable Procurement
	We formulated the Aeon Sustainable Procurement
Principle, intending to balance the sustainability ofnatural resources with the continual development ofbusiness activities. We procure marine products, agricultural products, livestock products, as well as paper,
pulp, wood, and palm oil products based on Aeon’s
Sustainable Procurement Policy, which was announced
in 2017.
n Aeon Hometown Forests Program	As activities embodying the Aeon Hometown Forests
Program and the Aeon Basic Principles, we have been
conducting tree-planting activities with customers
since 1991.

P.

37

P.

43

Aeon Human Rights PolicyP.

50

Aeon’s BCP

P.

46

P.

54

Aeon BCM ProjectP.

47

Aeon Supplier Code of
Conduct (CoC)
Aeon Health Management
Declaration

P.

87(Business Continuity Plan)

P.

67

P.

67

(Paper / Pulp / Timber)

Initiatives of Public Interest
Incorporated Foundations

Aeon Biodiversity Principle

Aeon Sustainable Procurement
Principle
Aeon Sustainable Seafood
Procurement Policy
Aeon Forest Resources
Procurement Principle

Aeon’s Approach

Healthy & Empowered People

Collaborating with the Community

Heartful Community

Engaging in Fair Business Activities
That Respect Human Rights

Sustainable Planet

Sustainable Procurement

Aeon’s Sustainability

Preservation of Biodiversity

Data Section

13

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition

14

Aeon’s Sustainability

Dialogue

Sustainability at Aeon Interweaves Management With Peace, People, and Community

Dr. Taikan Oki

Chief Sustainability Officer, Aeon Co., Ltd.

Professor at The University of Tokyo Department of Civil Engineering
Graduate School of Engineering

Kogo Aeon’s Basic Principles are to pursue peace, respecthumanity, and contribute to local communities, always withthe customer’s point of view as its core. On that basis, we are
striving to practice sustainability management that seeks toshape a sustainable society while solving environmental andsocial issues. Leveraging our characteristics as a retailer thatenjoys points of contact with customers, our highest priority
is to work with customers in pursuing sustainability in the
global community.

Kogo The world is currently undergoing unprecedented
environmental changes, and Aeon sees that as an opportunity for exponential growth. Rather than protecting our existing businesses, that means responding to change in every
instance and tackling bold reforms to our business structure.

Shuichi Kogo / Joined The Daiei, Inc. in 1996 and became the General Manager of the
Merchandising Strategy Department and then General Manager of the Operations
Strategy Department before being appointed Executive Division Manager of theManagement Division in 2018. He assumed the position of Director, Executive Officer,
Division Manager of the Business Management Division, and General Manager of theStrategy Planning Department in 2020. He became the General Manager of theStrategy Department at Aeon Co., Ltd. in 2021, a position he remains in today.

15

AEON REPORT 2022/Sustainability Edition

Taikan Oki / Served as Senior Vice-Rector at United Nations University and Assistant
Secretary-General at the United Nations from 2016 to 2021. He researches globalhydrology and the sustainability of world water resources and was one of thecoordinating lead authorities on the Fifth Assessment Report issued by theIntergovernmental Panel on Climate Change (IPCC). In 2021 he was awarded theInternational Hydrology Prize, also known as the Dooge Medal.

Kogo Yes. When we called upon customers to help withdonations, we clearly communicated that Aeon’s stance isto oppose all wars, and we received a great deal of support
in response. There was a strong sense of solidarity and highexpectations from customers.

Oki Since you are closely associated with the daily lives ofmany people, your business activities and corporate stances
can have a significant impact on society. What kinds of
eco-friendly products do you think can gain support from
customers?
Kogo For example, since 2006, Aeon has been retailingproducts with international certification indicating that they
are resource- and environmentally-friendly marine products.
Most of these are varieties of seafood that are familiar partsof people’s diets, such as skipjack tuna, mackerel, oysters,
salmon, and Japanese amberjack, and they are priced thesame as their counterparts. Since we started selling theseproducts without an announcement, there might be people

AEON REPORT 2022/Sustainability Edition

Data Section

Oki I get a sense that donating culture has not really takenroot in Japan, but collecting this amount in donations speaks
to the high degree of trust that Aeon enjoys from its customers. Part of the Aeon Basic Principles is the pursuit of peace
and with these donation drives, you have made your stanceagainst war clear.

Kogo Based on customer surveys and since a certain number of customers have a strong environmental awareness, I
think there is potential there as a market, but when it comesto purchasing a product, the fact is that more people still
place an emphasis on price. At Aeon, we want to pursue
environmental activities that can be easily tackled in daily
shopping and customer’s ordinary lives. That is why theseproducts need to be familiar things that customers choose for
their daily meals, not something special, and in principle, theyshould be priced so that customers can easily incorporate
them into their daily lives.

Initiatives of Public Interest
Incorporated Foundations

Kogo Thank you. Aeon has embodied the idea of “handin hand with customers” in a variety of ways, and just theother day we engaged in the Aeon Ukrainian Children Relief
Fundraising effort in response to recent events around theworld. The 466,656,366 yen we collected as donations from
customers was matched by Aeon, resulting in the fund donating a total of 933,312,732 yen to the Japan Committee for
UNICEF.

Oki However, consumers have an impression of eco-friendly
products being relatively expensive. I look forward to seeing
Aeon change the lifestyles of society as a whole in those ways.

Healthy & Empowered People

Oki I see. The Medium-term Management Plan also statesthat Aeon will practice sustainable management through acycle of its own growth and enrichment of local communities.
This management strategy is based on long-term perspectives
that reflect the kind of role I want to see companies play.

Kogo For example, with Aeon’s Topvalu brand, we havemade every effort to limit price increases, with some exceptions, even in the recent market environment of sharply rising
prices. Rather than simply raising prices, we are exercising ourcorporate efforts to the fullest to ensure that customers canlead enriched lives. At the same time, we have been focusedon appealing to value elements other than price more than
before. We clearly identify products that are eco-friendly or
geared toward Health & Wellness, and by publishing detailed
product information on our website, we respond to customer
concerns over safety and security in an effort to provide value
in various ways.

Heartful Community

Oki Aeon’s Basic Principles advocate the practice of a
“Customer-First” philosophy with an everlasting innovative
spirit. What is meant by “innovation” here?

Oki Perhaps that suggests Aeon’s basic principle of“hand in hand with customers” has taken root with customers. I think we should assess the value of a company’s products and services not based on the company alone but fromthe perspective of the pursuit of sustainability, including the
supply chain.

Sustainable Planet

Shuichi Kogo

The importance of being trusted bycustomers

16

Aeon’s Sustainability

17

AEON REPORT 2022/Sustainability Edition

Expectations and role as an industry leader

Oki Even so, Aeon operates businesses in various regions,both in Japan and abroad. It seems quite difficult to tailor
your approach individually.

Oki It appears that Aeon has focused on directly engaging
with consumers and fostering a relationship with customers,
but am I being too greedy if I say that you should take action
a step further, such as encouraging customers to take theinitiative in choosing things that have a high environmental orsocial value to change their behavior.
 	 For example, local retail stores may lack the ability towork on environmental issues or social contributions, andI wonder if Aeon could serve a role as a think tank for thecommunity.

Kogo Over the past decade since 2012, Aeon has been running Project Aeon Joining Hands to support the recovery after
the Great East Japan Earthquake. This is an effort to utilize

Kogo Indeed. I have experienced being seconded to a local
government for two years, and I gained various insights andlearned a lot of things by deepening relationships with the

Kogo I think the basic approach of “contributing to local
communities through our business activities” is a common
one, but just as we plant trees that occur naturally in a particular area, we also set a specific action to take in our social
contribution activities on a regional basis.

Kogo That’s right. At the management level, we have taken
a leading role in sharing our goals, and we work energeticallytoward them. The junior employees who see that will move
forward, looking ten or twenty years into the future. I thinkthat sort of positive cycle is at play at Aeon.
Oki Aeon commands a valuable and influential presence
in society as a whole. Particularly the basic principle ofpeace and the theme of living zones are extremely interesting. Before long, consumers will be choosing products andservices that are eco-friendly and socially just, and without
realizing it, society will be working together toward carbon
neutrality. Along the road to a world where every person canexperience happiness, I hope that Aeon continues to collaborate in various fields and lead society.
 	 The ultimate goal is not to create a sustainable society but
to increase the well-being of everyone in the world. The word
“Aeon” means “eternity” in Latin. I hope you continue to doyour best so that everyone is glad to have Aeon around.
Kogo Thank you so much for sharing your insight today. It
has been extremely helpful in terms of our responsibility as aretailer that maintains points of contact with customers andin relation to the role of messaging. We will continue to pursue initiatives to build a prosperous future with customers,
with a story and strategy that helps them realize that “shopping at Aeon changes the future.”July 2022

AEON REPORT 2022/Sustainability Edition

Data Section

Oki Aeon’s tree planting activities are based on planting
the trees that grow naturally in each local area, and I haveheard that those decisions are left up to the local communities. In the 6th Assessment Report, the latest output from theIntergovernmental Panel on Climate Chante (IPCC), it wasalso noted how halting the destruction of forests and preserving natural ecosystems is effective in reducing greenhouse

Kogo I also believe that one of the factors in Aeon’s long
history of development lies in the attention paid to training
human resources.

Oki Since Aeon has accumulated a vast array of management resources, including expertise, human resources, andinformation to date, I think it is fully capable of playing a public role. Local communities develop through collaborative creation, and when a living zone is enhanced, the effects extend
to the sustainable development of the local community.
 	 Having spoken with you today, I have gotten a feel for thesense of mission that Aeon has. Developing an environment
in which employees feel autonomy and job fulfillment plays
a big role in a company. And I believe behind that is the factthat Aeon has adopted a long-term perspective in practicing
management based on environmental, social, regional, andsustainable development themes and has shared that sentiment not only among top management, but throughout the
Aeon Group.

Initiatives of Public Interest
Incorporated Foundations

Kogo The roots of Aeon’s sustainability efforts date back totree-planting activities that have been ongoing for more than
three decades. When we open a new store, we plant trees
with customers to ensure trees grow in that area. Combinedwith the trees planted by the Aeon Environmental Foundationand trees planted in disaster-affected areas such as the
Tohoku region, we have planted approximately 12.4 million
trees to date. These activities are not only aimed at reducing
CO2 emissions but also to create the multi-faceted functions
forests demonstrate and contribute to Aeon’s Basic Principles:
peace, people, and community. Through these activities, themembers of the local community develop a love for the trees
they have planted and become fans of Aeon for the forests itbrings to life. Going forward, we are also going to work on
community-based forest initiatives integrated with local community lives.

Oki Efforts deeply rooted in communities is a uniqueapproach of Aeon. And it’s not just environmental issues; theissues that need to be solved differ from region to region,such as the declining birthrate, aging population, shrinking
labor force, or declining of regional communities.

Oki It is also crucial for HR training to instill Aeon’s principles in employees. I think having human resources who canthink and act for themselves is an invaluable asset.

local people and engaging in dialogue with them. I think
active engagement revitalizes local economies and has thepotential to bring about a prosperous co-existence.

Healthy & Empowered People

The roots of Aeon’s sustainability activities
in tree planting efforts

Kogo We have set the goal of net zero CO2 emissions fromour stores by the year 2040. We are currently aiming for 50%of the electricity used at our stores to be from renewableenergy by 2030, and I think we need to thoroughly promoteenergy conservation while raising the percentage of renewable energy we use. For example, we have begun a trial tohave customers supply (discharge) the excess renewableenergy generated by the solar panels at their homes to ourstores via electric vehicles. Rather than having Aeon pursue
decarbonization alone, we aim to decarbonize entire local
communities by sharing renewable energy within them.

the diverse resources gained through Aeon’s management
activities to have employees themselves think autonomously
about what they can do and want to do to contribute.
Employees have taken part in many reconstruction support
activities in which they can demonstrate their creativity to act,
and those activities are then utilized in other regions as well.
In the Aeon Heartful Volunteer program launched in FY2022,
we are promoting ongoing support activities that are evenmore deeply rooted in the communities we serve to shapesustainable local communities.

Heartful Community

Oki Even if, as consumers, we want to purchase things thatare beneficial to the environment or society, we lead busy
daily lives, and the fact is that many people still don’t think ofthese issues as their own. Despite this, the trust of customers, where they place confidence in Aeon’s products, with theconviction that Aeon will never do something untrustworthy,is our strength. It’s rather easy for a customer to use a product when they are convinced that Aeon is actively carrying
products designed to reduce negative effects on the environment or that take proper work environments into account. I
hope you value that trust.

gas emissions. The situation is now being referred to as
a “climate crisis,” and swift and concrete action is being
demanded even more than before. I notice that in its decarbonization initiatives, Aeon has set goals with deadlines.

Sustainable Planet

who don’t even realize that they are eco-friendly. I think communicating the appeal of these products is another challenge
we face.
 	 As to how future lifestyles will change by having customers choose these products, what issues we will face, and how
we will solve them, those are questions we still cannot fully
answer.

18

Sustainable Planet

Decarbonization and Climate Change
greenhouse gas emissions of its stores to zero through energy savings and energy generation and realize a decarbonized society.

work to support lifestyles

Aeon Decarbonization Vision2018 during
formulation

2021
revision

Achievement Target
Net-zero CO2 emissions fromstores by 2050

Interim Target

Achievement Target

Source 50% of energy usedby stores from renewableenergy sources by 2030

Zero aggregate CO2 emissions
from stores by 2040

These mid-term targets are based on scientific foundations geared towards achieving the 1.5°C target in the
Paris Agreement, are certified SBT (Science Based Targets)
initiatives*, and have been scientifically recognized.
*These are common initiatives established by the CDP (formerly the Carbon Disclosure
Project), the United Nations Global Compact (UNGC), the World Resources Institute(WRI), and the World Wildlife Fund for Nature (WWF) to address the issue of risinggreenhouse gases. They promote having companies set reduction targets consistent
with scientiﬁc knowledge to keep the average global temperature from rising more than
1.5ºC compared with pre-industrial levels.

For the realization of a “decarbonized society,” Aeon has established “Aeon Decarbonization
Vision” as well as an interim greenhouse gas emission reduction target to be achieved by 2030

Aeon will work to reduce CO2 and other greenhouse gas emissions (hereinafter ”GHG” ) by taking
the following three-pronged approach, thereby contributing to the realization of a decarbonized society.

that protect vibrant communities.

Stores

Products and Logistics

Hand in Hand with Customers

We will reduce the total CO2 emissions
from our stores to zero.

We will continue our efforts to achieve zero
GHC emissions from our business operations.

We will cooperate with our customers forthe realization of a decarbonized society.

Means forachieving the target

Switch 50% of electricity used in stores to renewable energy by 2030 (in Japan)
Reduce energy consumption at storesand switch to renewable energy

About 90% of Aeonʼs CO2 emissions are attributableto electricity

Energy conservation
Renewable energy[How our initiatives have developed]
2008

2011

2020

2018

2012

2030

2040

Initiatives of Public Interest
Incorporated Foundations

Interim Target

Healthy & Empowered People

We value living peacefully andRevised July 2021

Interim Target
We will reduce the total CO2
emissions from our stores by 35%
by 2030 (compared with 2010)

Heartful Community

Peaceful Living forToday and Tomorrow

Based on Aeon Decarbonization Vision 2050 formulated
in 2018, Aeon has been making Group-wide efforts toachieve net-zero greenhouse gas (“CO2,” hereafter)
emissions from its stores through energy savings andenergy generation as part of a three-pronged approachof Stores, Products and Logistics, and Hand in Hand with
Customers.
In 2021, to bring the achievement of this goal forward, Aeon added the target of switching 50% of theelectricity used at its stores in Japan to renewables
by 2030 and aims to around net-zero CO2 emissions
Groupwide by 2040.
As approximately 90% of the CO2 produced at Aeon
stores is from electricity use, switching the electricity usedat stores to renewables will also contribute to nationwide
CO2 emission reductions in Japan. Going forward, Aeon
will continue to pursue sustainability throughout its business activities and mobilize all of the Group’s resources toaccelerate initiatives for region-wide decarbonization.

Sustainable Planet

Sustainable Planet

The targets in the Aeon Decarbonization Vision have been revised toaccelerate the creation of a decarbonized society

Aeon’s Sustainability

Aeon’s three-pronged approach of Stores, Products and Logistics, and Hand in Hand with Customers aims to reduce the total

Aeon Decarbonization Vision
Aeon Manifesto on
the Prevention of
Global Warming

Aeon’s eco project(2012 - 2020)

Reduction
strategy

Generation
strategy

Protection
strategy(2008 - 2011)

Our initiatives focus primarily on improving energy efficiency, which promotes efficient energy use and reducing
energy consumption. In addition to targets aimed atenergy conservation and solar-centric energy production

19

AEON REPORT 2022/Sustainability Edition

Data Section

Revised July 2021

under our renewable energy generation initiatives, weare also establishing stores as disaster-prevention facilities, enabling them to operate as lifeline sites during
emergencies.
AEON REPORT 2022/Sustainability Edition

20

Sustainable Planet

Reducing CO2 Emissions and Improving
Energy Efficiency

Total annual CO2 emissions per unit

Total energy use factor(CO2 emissions / total ﬂoor area)(Amount of heat / total ﬂoor area)

0.102t/m2

2.776GJ/m2

0.0783t/m2

2.092GJ/m2

0.0764t/m2

2.027GJ/m2

2010
2018
2019
2020

0.0723t/m2

2021

0.0705t/ m2 (expected)

1.999GJ/m2

1.950GJ/ m2 (expected)

FY2021 Results
Reduction in CO2 emissions
Expected to be down by approximately
14% (compared with FY2010 levels)
Energy use (unit basis)
Energy consumption expected to be
reduced by approximately 31%(compared with FY2010 levels)

Solar panels
Installed at 1,049 storesElectricity generation capacityof approximately
73,234 kW (total up to FY2021)
Adoption of the PPA model
Adopted at 29 stores(capacity of 7,672 kW)

Switching to 100% renewableenergy at stores
As of the end of February 2022, 13
stores and other locations nationwide have been developed to use
100% renewable energy

Adoption of the PPA model

We plan to power the Japanese shopping centers andgeneral merchandise stores (GMS) managed by Aeon with
100% renewable energy by 2030 to continue our pursuitof sustainability across all operations and will engage
every Group resource to promote the realization of adecarbonized society throughout the community.

In response to the increasing use of electric and plug-in
hybrid vehicles, we have installed recharging stations at
most of the new shopping centers opened since 2008.
We are actively working to establish WAON authentication and billing services and to install recharging
stations at existing stores, and as of the end of February2022, there were 2,718 stations installed at stores in Japanand overseas.
Furthermore, Aeon Mall Co., Ltd. joined the global
initiative EV100*2 to coincide with the completion of
installations at all of its shopping centers across Japan.

SC

GMS

Primary name

Target period for renewableenergy introduction

Aeon Mall

By 2025

Aeon Town
Aeon, Aeon Style

By 2030*Among total CO2 emissions from store energy use, direct emissions (Scope1) fromburning city gas, propane, fuel oil, etc. accounted for approximately 7%, and indirectemissions (Scope2) from electricity use comprised approximately 93%. CO2 emission
calculations for electricity employed calculation standards and emission coefficients
consistent with the Act on Promotion of Global Warming Countermeasures.

*1 PPA model stands for “Power Purchase Agreement” and is a business model where a
PPA operator rents a site or roof space from a power consumer, installs solar generation
systems, and then sells the power generated there to the consumer. As of the end of
February 2022, 29 stores use this system.

21

AEON REPORT 2022/Sustainability Edition

The number of electric vehicle recharging stations globally

2,718 stations at 259 stores(2,147 in Japan, 570 overseas) (as of the end of February 2022)

Aeon Next will install a solar power generating systemwith a maximum generating capacity of over 3 gigawatts on the roof of the Honda Customer Fulfillment
Center (CFC), Aeon’s first CFC being constructed in
Honda-cho in Midori-ku, Chiba.
The Honda CFC is the core part of Aeon’s next-generation
online grocery operation being prepared by Aeon Next aheadof its opening in 2023 and will operate as a large state-of-theart automated warehouse using the latest AI and robots.
Combined with a sophisticated home delivery system, theCFC will enable services to promptly deliver a wide selectionof fresh foods and daily necessities.
Electricity generated with the solar power generating
system installed using a PPA model will be used for facility

operation and make maximum use of renewable energy with
the installation of large-scale storage batteries. Additionally,
there are plans to conduct demonstration testing with theparallel installation of an energy support service* utilizing AI todevelop technologies for general-purpose storage batteries.

*Energy support service: A service to enable visualization of the energy operation
status of a building and to analyze and evaluate energy conservation.

TOPICS
Implementing the Aeon Light Down Campaign at over 1,000 facilities as
an initiative to prevent global warming
The Aeon Light Down Campaign aimed at reducing CO2

per store. If 1,000 stores switch off signage for four hours

emissions was implemented starting in Environment Month(June) and will continue for the time being at more than 1,000of the commercial facilities*1 operated by Aeon Group companies in Japan. The initiative involves turning off outdoor
signage at Aeon’s commercial facilities to decrease electricity
consumption to reduce CO2 emissions that impact global
warming. Aeon believes the initiative is also an opportunity forcustomers to experience the issue of climate change andprotect the global environment in their daily lives.
As around 90% of the CO2 emissions produced in theoperation of Aeon’s stores and offices are from the use ofelectricity for air conditioning, lighting, and so on, Aeon ispursuing several initiatives toward the goal of achieving netzero CO2 emissions from its stores by 2040. For example, by
turning off outdoor signage four hours after sunset, Aeon
expects to reduce power consumption by around 64 kWh*2

each day for ten days, it will lead to a reduction*3 of approximately 280 t-CO2.
Participating locations*1 Over 1,000 Aeon Group commercial facilities
Aeon, Aeon Style, Aeon Mall,
Main brands
Aeon Town, Maxvalu, The Big, etc.
Implementation Period*1 As needed from Wednesday, June 1, 2022
Switching off outdoor lighting, including
Implementation Details
outdoor signage and store signs*1 Implementation locations, periods, and length of switch-off times vary bycompany. Lighting may not be switched off for some facilities where it is difficult
due to security reasons.
For stores operating 24 hours a day, signage will be switched off from 19:00 to
23:00. At other locations, lighting will be switched off until the stores open thefollowing day.
*2 This is an estimate based on the regular outdoor signage lighting used in the
Aeon Group. Specific reduction amounts will vary by store.
*3 CO2 emission coefficient for FY2020 of 0.439 kg / kWh (based on materials
published by the Electric Power Council for a Low Carbon Society on
September 10, 2021) is used.

AEON REPORT 2022/Sustainability Edition

Data Section

We are focusing on reducing store CO2 emissions
because while initiatives like installing and expanding
solar generation systems on store rooftops, using the PPA
model*1, fortifying gradate FIT purchasing, promoting
direct renewable energy agreements within each community, and other such actions will reduce the CO2 emissionsof store energy sources, they will also significantly reducegreenhouse gas emissions for Aeon as a whole.

*2 E V100 is a global initiative for the promotion of electric vehicles undertaken by theinternational NGO The Climate Group since 2017. This initiative is aimed at increasing
the use of electric vehicles by companies and improving the Environment.

Aeon uses the PPA model to introduce its first large-scale next-generation
online market and solar power generation facilities

Initiatives of Public Interest
Incorporated Foundations

Installation of Recharging Stations forElectric Vehicles

TOPICS

Healthy & Empowered People

Plans to Incorporate Renewable Energy into
Stores by 2030

For two years running, Aeon has been
designated a Supplier Engagement Layer,
the highest Supplier Engagement Rating(SER) offered by CDP, an international NPO
engaged in environmental survey and disclosure activities.

Heartful Community*Energy usage breakdowns show that approximately 95% of emissions came from electricity, with the rest from city gas, propane, fuel oil, etc.
*New businesses added to the group from reorganizations, etc., were recalculated using
values dating back to 2010.

BusinessAlong with the announcement of Aeon Decarbonization
Vision, we have participated in RE100 since 2018, intending to use renewable energy for all Company power consumption by 2040.

Generating Renewable Energy

Example initiatives(achieved)

Obtaining the highest supplier engagement
rating for two consecutive years

Sustainable Planet

FY2021 Results

Reducing CO2 Emissions andImproving Energy Efficiency

Participation in RE100

Aeon’s Sustainability

Aeon stores consume a large volume of energy for airconditioning and lighting to offer a comfortable shopping
environment and for operating refrigerator and freezer
cases. Because electricity use accounts for approximately
90% of store CO2 emissions, we believe powering storesfrom renewable energy sources will contribute to reducing CO2 emissions throughout Japan.

In addition to these actions, we are replacing store lighting, spotlights, common area lighting, etc., with LED
lights, introducing or upgrading systems with energyefficient equipment, verifying efficient total energy management systems, and more.

22

Sustainable Planet

Decarbonization initiatives by Group
companiesl Using Financial Services to Transition to
Decarbonized Lifestylesl Developing Products for Energy-Efficient Homes

Adopting the PPA model to utilize electricity
generated with solar power (creation ofrenewable energy)
Aeon proactively engages in the generation of renewableenergy, using solar panels installed at shopping centers,
general supermarkets, supermarkets, and convenience
stores.
Up to FY2021, we have installed the units at a cumulative
1,049 stores, with a total generating capacity of 73,234 kW*.
In addition to contributing to reductions in electricity
use through self-consumption, we will sell the electricity
generated by solar panels to power companies througha feed-in tariff system.

Aeon Retail Co., Ltd

October 2021

A total of 124 stores sell solar power generation systems, storage batteries, exterior wall
coatings with heat shielding performance, etc.
at a flat rate. Allows up to 60 fee-free installments to reduce the financial burden. In
addition, some stores hold “decarbonization
reform consultation meetings.”

Solar power generation at Aeon Town Konan
Aeon Mall Kawaguchi operates on 100% renewable energy

Aeon Honda CFC, scheduled to begin receiving power from 2023

Solar panels at Aeon Mall Tsuminamil Supporting the regeneration of the entire region
with surplus electricity from households using EVs

23

AEON REPORT 2022/Sustainability Edition

Aeon Fujiidera SC
Generation of enough electricity to power around 30 households for a year

The profit we earn from electricity sales offsets electricity
rate hikes, contributes to our business continuity planning(BCP), and enables us to make environmental investments.
Building upon the previous year, we installed solar
panel equipment via the PPA model at 25 additional
stores in FY2021 to expand our use of renewable energy.
Under this model, stores provide rooftop space for PPA
operators to install solar panels and both parties sign anagreement where the store purchases and uses the energy

Data Section

Aeon Mall Co., Ltd. plans to introduce a service in 2022
that will use excess residential energy from both a customer’s solar system and EV as a new initiative for renewableenergy lending within the community. The system uses
customer EVs that have been fully charged with residential-generated renewable energy to discharge excessenergy via on-site V2H equipment in exchange for points
relative to the amount of power generated. There are

More and more freezing and refrigeration units started
using non-ozone-depleting alternatives to chlorofluorocarbons (CFCs) as refrigerants following the abolitionof the production and use of ozone-depleting CFCs
under the Montreal Protocol adopted in 1987. However,these alternatives have extremely high global warming
potential (GWP)*1 and the problem of leaking into theatmosphere, which prompted calls to switch to naturalrefrigerants with low GWP. Under the Kigali Amendment
adopted in October 2016, alternative fluorocarbons are
newly subject to the provisions of the Montreal Protocol,and clear reduction targets have been established for the
production and consumption of alternative fluorocarbons,
which need to be addressed.
In 2009, Aeon became Japan‘s first retailer to start
introducing refrigerators and freezers that use a low-GWP
natural refrigerant*2 (CO2). Following this, we announced
the Aeon Natural Refrigerant Declaration in 2011 andhave been installing natural refrigerant-based refrigerators and freezers in every new store.
As of the end of February 2022, we have installed natural refrigerant-based refrigerators and freezers at 1,224
stores, including new GMSs, supermarkets, convenience
stores, drugstores, and others. We are also switching tonatural refrigerants on a gradual basis at existing stores.

Initiatives of Public Interest
Incorporated Foundations

Aeon Bank, Ltd.

Contents

Aeon Card holders who are considering the
introduction of V2H (Vehicle to Home) to apply
for a decarbonized housing (housing/ remodSeptember 2021 eling loan) and EV (private car loan) purchasefunds at the same time through a partnercompany. We plan to provide it sequentiallyfrom some areas.

Aeon Retail Co., Ltd. has systematized an in-house
Energy Advisor Program aimed at leveraging its Aeon
Decarbonization Vision to further develop humanresources at its retail stores. Through the acquisition ofknowledge about equipment and energy saving, legal
regulations and compliance issues, energy-saving promotion systems and methods, and store energy management
know-how, Energy Advisors help assess the status ofenergy use in stores and work to propose and promote
ideas toward more efficient usage. As of the end of
February 2022, a cumulative total of 793 Energy Advisors
had been certified.
In the future, we will continue to develop more certified Energy Advisors, enhance the capabilities of current
Energy Advisors, and work to expand the program toGroup companies, including those outside of Japan.

Healthy & Empowered People

Aeon Product
Finance Co., Ltd.

Start time

Improving Energy Management Practices

Preventing Leakage of Fluorocarbons andPromoting Use of Natural Refrigerant
Equipment*Flat fee: Additional fees may apply depending on the construction needs and the condition of roofs, exterior walls, areas, and other considerations.

Business company
name*Approximately 73,234 kW is enough energy to power around 16,600 homes for one year.

Heartful Community

Aeon Retail, Co., Ltd. deployed household energy-saving
products that can contribute to decarbonization at 124
of its stores in Honshu (except for the Tohoku region)and Shikoku. Along with the October 2021 introductionof the Decarbonization Flat-Rate Reform, which set a flatfee* for a package solution that might include installinga solar generation system, the storage batteries that arevital for efficient consumption of residential solar power,
and exterior coatings with insulation performance tomake air conditioning more efficient, some stores offered
Decarbonization Reform Consultation Meetings to address
any questions and concerns from customers. We also introduced an option to waive fees for the first sixty payments
to minimize the financial burden for customers.

Following the opening of Aeon Fujiidera Shopping Centerin 2019, which operates on 100% renewable energy, Aeon
has actively accelerated the roll-out of 100% renewableenergy stores. The Aeon Fujiidera Shopping Center uses
an open network system that integrates management of
all the equipment necessary for the facility’s operation,
allowing both on-site and remote monitoring.
This system allows data on the facility’s operation to
be gathered and analyzed to achieve greater energy savings. Under the PPA model, some of the electricity usedby the facility is provided by solar panels on the facility’sroof, which is in line with Aeon’s efforts to expand the useof renewable energy.
In FY2021, more stores using 100% renewables
were newly developed, including mozo WONDER CITY,
Aeon Mall Fukuoka, Aeon Mall Kawaguchi, Aeon Style
Chiba Minato, Aeon Shinonome Store, Aeon Town
Makuharinishi, and Aeon Mall Nagoya Noritake Garden.
Among these, Aeon Mall Kawaguchi uses carbon-neutral
municipal gas to power the facility’s air conditioning.
Going forward, Aeon will continue with proactive efforts
to develop stores using 100% renewable energy.

Aeon Delight Co., Ltd., in charge of Aeon facilities management, introduced an open network system (building
automation) that integrates and manages equipment
required for facilities operation and remotely controls various equipment inside and outside the facility. In addition
to meticulous and efficient management by equipment
managers, cleaners, and security guards, we promotefurther energy conservation by collecting and analyzing
various equipment data.

as a part of its energy consumption. With these advances,a cumulative 29 stores have introduced the PPA model,
with total generating capacity rising to 7,672 kW.
To work towards the realization of a decarbonizedsociety, Aeon will continue to further reduce its CO2 emissions by advancing a variety of methods to produce renewable energy, transitioning to external energy sources thatuse renewable energy, and through other efforts.

Sustainable Planet

In September 2021, Aeon Product Finance Co., Ltd., andAeon Bank, Ltd. partnered with businesses in the housing
industry and car dealerships to start offering services that
help customers transition to a decarbonized lifestyle. An
example is loan packages that combine loans for new construction and renovation towards a decarbonized house(ZEH) with those for electric vehicles (EV).

Store Development Using 100% Renewable
EnergyOpen Network System Operation

Aeon’s Sustainability

Aeon is a corporate group centered on businesses thatenrich the lives of our customers and what each of us can
do in our daily lives to achieve the big goal of “decarbonization.” We would like to think and work together withour customers.

plans to introduce this system at Aeon Mall Sakaiteppocho(Osaka Prefecture) and expand it systematically throughout the Kansai area.

*1 Coefﬁcient indicating the degree of impact on global warming. If CO2 is 1, the alternative
ﬂuorocarbons being used in refrigerator cases are several thousand times that amount.
*2 Substances known as natural refrigerants include ammonia, carbon hydride, and CO2.

AEON REPORT 2022/Sustainability Edition24

Sustainable Planet

FY2021 Results

Scope 3 Emissions Categories

2021

Aeon Delight Co., Ltd. used historical
data aggregation, form management,
etc., to implement Freon leak management for our partner companies
and provided legal support and data
management assistance.

Implemented at 109 GMS and supermarkets and 82 drug stores for a totalof 191 stores.
(Deployed in 1,224 stores in total)

ResultUse of products sold

136,7932.1%

12Disposal of products sold75,1051.1%

13

Investment leased assets(downstream)

760,128

11.6%

14Franchises

0

0.0%

15

Investments

15,4500.2%

6,567,878

100.0%

Total

Developing and Selling Products That Help
Reduce CO2 Emissions

FY2021 Scope 3 Emissions
Emissions(t-CO2e)Component(%)

1

Purchased products and services

3,627,054

55.2%

2

Capital goods

1,253,975

19.1%

3

Fuels and energy-related activities notincluded in Scope 1 and Scope2

313,273

4.8%

4Transport and shipments (upstream)

219,696

3.3%

5

Waste from business activities

119,502

1.8%

6

Business travel

47

0.0%

7

Employee commutes

46,8560.7%

8

Leased assets

0

0.0%

9

Transport and shipments (downstream)

0

0.0%

Aeon is working to develop and sell products that help
reduce CO2 emissions under its Topvalu brand. Our
Topvalu “Less is More” organic
Yukigura potatoes from Toya,
Hokkaido Prefecture, are one
example of our efforts. These
potatoes use the cooling power ofsnow for preservation after harvest, which reduces electricity use
and helps reduce CO2 emissions.
Aeon handled 25% of all Yukigura
potatoes shipped by JA-Toyako,
and CO2 emissions have been
reduced by about 31 tons through Topvalu “Less is More” organic
Yukigura potatoes from Toya,
this initiative.
Hokkaido

Verification of Greenhouse Gas Emissions by Third Party 2
In FY2021, we conducted a third-party verification of greenhouse gas emissions associatedwith the transportation activities of Aeon Global SCM Co., Ltd., which plays a central role in
Aeon Group logistics.
1. Scope of Verification
	A portion of greenhouse gases associated with the domestic transportation of products handled
by Aeon Global SCM Co., Ltd., from April 1, 2019, to March 31, 2020.
2. Methodology	We received third-party verification based on the requirements of ISO 14064-3 (2006): Greenhousegases-Part 3: Specification with guidance for the validation and verification of greenhouse gas
assertions.

Promoting visualization in logistics
Aeon Global Scm Co., Ltd. handles Aeon’s worldwide supply chains and works towards the decarbonized society
Aeon sets forth in the Aeon Decarbonization Vision.
In FY2021, we continued to visualize the CO2 emissions
produced in transporting one case from logistics centersto stores. By (1) reorganizing the stores served by logistics centers to reduce delivery distances, (2) reviewing
store delivery times to improve vehicle dispatch rates andreduce the number of vehicles dispatched, (3) consolidating deliveries in procurement and logistics, and otherinitiatives, CO2 emissions fell to 102.1g-CO2, a 4.3% reduction over FY2020 store delivery emissions.
Logistics centers have also strengthened and introduced new labor-saving, decarbonization, and low-carbonization initiatives, such as automated forklifts andautomated conveyor equipment to reduce energy consumption from lighting and air conditioning, arm robots
to address labor shortages caused by a declining andaging population, and other initiatives.
In April 2021, Aeon Global Scm Co., Ltd. and Toyota
Motor Corporation partnered to examine actions thatwould solve a variety of issues facing the field of logistics.
While working to address the common problems of labor
shortages and carbon neutrality facing the logistics industry, this partnership will make strides toward building thefuture of the logistics industry and supporting human life

Veriﬁed greenhouse gas emissions
Scope 3 category4
229,394 t-CO2e

by making the entire supply chain system more efficientand building connected systems.

Undertaking White Logistics and Promoting Modal Shifts
Aeon Global Scm Co., Ltd. works to promote modal shifts,
but rail container use dropped primarily from a decreasein the volume of clothing and home-fashion products dueto the COVID-19 pandemic. Aeon Global Scm Co., Ltd. willcontinue expanding its actions towards a modal shift withmore than 28,000 railroad and container shipments annually. As we strive to address problems in the transportationindustry, such as a lack of drivers and improvements toworking conditions for long-haul transportation, we will
add one day to lead times for mainline long-haul transportation and promote initiatives towards white logistics*
while simultaneously proactively advancing a modal shift
and working to reduce CO2 emissions.
Number of JR 12ft conversions used in FY2021

28,95683% compared with the previous year

Data Section

Scope 3 Emissions Categories

Veriﬁed greenhouse gas emissions
Scope 1 category 212,755 t-CO2e
Scope 2 category 2,195,266
t-CO2eInitiatives of Public Interest
Incorporated Foundations*1 For calculations, we reference the Emissions Rate Index Database for Calculating GHG
Emissions, etc., in an Organization’s Supply Chain (Ver. 2.6).
*2 In FY2021, we received third-party verification for Scope 3 emissions from transportationand shipment (upstream) (category 4). This arrangement will continue in the future.

Between April and July 2022, we conducted third-party verifications at 32 consolidated
Group companies, including Aeon Co., Ltd. We will continue to improve data reliability andreduce greenhouse gas emissions.
1. Scope of Verification	Energy-derived CO2 emissions (Scope 1 and Scope 2) between April 1, 2020, and March 31,
2021, by 32 Group companies, including Aeon Co., Ltd.
2. Methodology	ISO14064-3 We received third-party verification based on the requirements of ISO 14064-3
Greenhouse gases-Part 3: Specification with guidance for the validation and verification of greenhouse gas assertions.

Healthy & Empowered People

In addition to managing greenhouse gas emissions theygenerate directly (Scope 1) and indirect emissions fromthe use of electricity (Scope 2), companies must now manage emissions across their entire supply chain (Scope 3).
In response to this development, Aeon has been calculating Scope 3 CO2 emissions, and priority areas have been
subjected to regular third-party verification since FY2012.
Aeon has calculated Scope 3 emissions*1 from FY2012,and locations in priority areas periodically send results to athird party for verification*2.

Aeon is beginning to take specific actions to manage
and reduce its Scope 3 emissions to increase cooperation,
reduce CO2, etc., in its supply chain to realize a decarbonized society.
Of the fifteen categories that comprise Scope 3 emissions, roughly half of Aeon’s scope 3 emissions fall under
Category 1 (Purchased Goods and Services) due to activities including the procurement of raw materials, outsourcing of packaging, and purchase of consumables. For
this reason, starting in FY2021, Aeon began surveying its
major contract manufacturers in the food and HBC categories of its own TOPVALU brand regarding their climatechange initiatives to gain insight into the policies andefforts being made by each company on climate-related
issues and to learn about their expectations of Aeon. In
FY2022, Aeon will classify its suppliers in greater detail
based on the data obtained the previous year, pursuing
approaches tailored to each supplier to develop closer
engagement. In the future, Aeon hopes to calculate the
GHG emissions generated in the manufacturing processof Topvalu products with greater precision, formulate
concrete reduction plans covering the entire supply chain,and promote inter-company coordination on the promotion of decarbonization.

Verification of Greenhouse Gas Emissions by Third Party 1

Heartful Community

Tabulating CO2 Emissions across the Entire
Supply Chain

AEON REPORT 2022/Sustainability Edition

11

Instituting Management and Reductions for
Scope 3 Emissions

Natural refrigeration at Aeon Style Hakusan

25

0.0%

Processing of products sold

TOPICS

Sustainable Planet

2021

0

10

ResultIntroduced freezers and refrigerators that use natural refrigerants

Component(%)

Aeon’s Sustainability

Fully understood Freon replenishment levels in air conditioning andfreezer/refrigeration equipment and prevented leaks

Emissions(t-CO2e)*White logistics: Creating a “white” (non-toxic) working environment that improves the
productivity of truck-based transportation and streamlines logistics, and makes it easier
for women and those over 60 years old to operate trucks.

AEON REPORT 2022/Sustainability Edition

26

Sustainable Planet

Initiatives to achieve our targets

To use our resources as efﬁciently as possible, Aeon works towards realizing a recycling-oriented society by offering products

Reducing the usage of plastic containers andpackaging materials

with minimal environmental burden, reducing waste from business activities, and more.

Initiatives to Realize a Resource RecyclingOriented Society

Sustainable Planet

Since we introduced the Bring Your Own Shopping Bag
Campaign in 1991, Aeon has spent more than thirty years
promoting activities that reduce and reuse resources,
like reducing product packaging and working hand inhand with customers to eliminate shopping bags andcollect materials at stores. Among those initiatives, Aeon
declared its aim to achieve zero waste by eliminating thedirect disposal, incineration, and landfill of waste andestablished the Aeon “Zero Waste” Initiative Concept.
Today, we continue to work towards promoting better useof resources.
While promoting our 3R approach of “Reduce,”“Reuse,” and “Recycle,” we are working to create adecarbonized and recycling-oriented society by replacing
products with more environmentally conscious options,creating a recycling model for used plastics, and more.

Aeon is working to reduce plastic usage and switch toalternative materials for product containers and packaging, particularly its private TOPVALU brand, as well as forthe materials used in the sales process, such as plastic shopping bags and disposable trays. In FY2021, we achieved
a reduction of 8.5% compared with FY2018 levels.
We are also pursuing resource recycling initiatives in
conjunction with customers and local communities.

plastics a year. Additionally, by reducing the size of the
packaging, more units can be placed in cardboard boxes
during delivery, improving logistics efficiency.
Label-free beverages that first went on sale inFebruary 2021 now number 11 products. This not only
leads to less plastic waste but also eliminates the hassle ofremoving labels when sorting garbage and is welcomedby customers.

FY2021 Results
Amount of disposable plastics used per 100 million yen sales(Recycling Commission fee based on the Containers and Packaging Recycling Law
for plastic containers and packaging, including PET bottles)

Aeon “Zero Waste” Initiative Concept

2018(Base year)

2021
2030

Approx. 980kg
Approx. 877kg
Approx. 897kg

Approx. 490kg(Target)Efforts to reduce plastic use

We have also gradually replaced toilet paper andkitchen towel products with rolls that are between 1.5
times and twice as long by making all products more compact. This has resulted in a two-thirds reduction in volume,
reducing waste such as roll core and packaging materials,
and improving transportation efficiency to reduce CO2
emissions.

Heartful Community

We will continue our efforts to eliminate waste through disposal/burning and landﬁlls with our 3R
approach of “Reduce,” “Reuse,” and “Recycle.” We will collaborate with our stakeholders and customers toward realizing a recycling-oriented society.

2020

Aeon’s Sustainability

Resource Circulation (Plastics and Food Waste)

Topvalu initiatives

Through communication with customers

Efforts to Reduce Disposable Plastic Materials

Aeon Plastic Usage Policy
1. We will review the waste of resources and the use of
disposable types in our business activities and aim
for zero disposable plastics.

3. We will build a resource recycling model that collects, reuses, and recycles used plastics from ourstores and work with our customers on sustainable
resource use.

27

AEON REPORT 2022/Sustainability Edition[Goal]
Aiming for sustainable use of plastics with zero CO2emissions• By 2030, we will halve the amount of disposable
plastic used compared to 2018.
• By 2030, all PB products will use environmentallyand socially friendly materials.
• By 2030, we will convert PET bottles of PB products to 100% recycled or plant-derived materials.
Formulated in September 2020

Weightof packaging
materials: 28%
reduction

Weightof packaging
materials: 9%
reduction

Reducing Plastic Cutlery and Straws
Working with customers to promote lifestyles that avoid
the use of disposable items, Aeon is gradually phasing inwooden and paper-based versions of the spoons, forks,
and other items it provides to customers. At stores, we
also value wood and paper as a limited resource at callupon customers to only take what they need. Aeon has
completed the introduction or is currently phasingin these items is complete
at 32 Aeon Group companies, including generalsupermarkets, supermarkets, and convenience
stores, and expects to
reduce plastic use
by around 470
tons a year as aresult.

AEON REPORT 2022/Sustainability Edition

Data Section

2. The necessary plastics will be converted from fossilderived materials to environmentally and sociallyfriendly materials.

2020, we announced the Aeon Plastic Usage Policy, underwhich we have since been making Groupwide efforts.
We continue to transition away from fossil fuels andtowards more environmentally friendly materials, introduce initiatives that create store-point recycling models,and establish new recycling-based lifestyles with our customers through our stores, products, and services.

Initiatives of Public Interest
Incorporated Foundations

Aeon continues advancing its environmental efforts aspart of our responsibility as a retailer selling products
closely related to everyday life, such as reducing the materials used in packaging and halting the free distribution ofplastic shopping bags before it became law. In September

Together with local communities

Healthy & Empowered People

Through stores/products

When developing Topvalu products, we closely examine
the packaging and containers, and after careful consideration of their impact on the quality of product contents
and safety during shipment, we attempt to make productcontainers lighter and thinner and switch to recyclable
materials. Additionally, we are striving to develop refillable containers and change packaging materials based on
customer feedback.
For four Topvalu Course-ground Pork Sausage products that went on sale in June 2022, the shape of theouter plastic packaging material was reduced in size without changing the volume of contents, thereby reducing
the weight of the packaging materials. This is expected
to lead to the reduction of roughly 22 tons of disposable

28

Sustainable Planet

Charging for Plastic Shopping Bags

TOPICS*Amount collected: The sales price of the bags (excluding tax) minus material costs

We are also advancing efforts to switch to environmentally friendly packaging and secondary materials forTopvalu clothing products, working towards a 2025 goal.
We are developing lists of target packaging and materials
for each product group, establishing standards, and proceeding systematically. For example, we have completed
the switch from plastic to paper-based hooks for sockproducts. On the packaging front, we are gradually introducing biomass-derived plastics, and by August 2022, wecompleted this switchover for around 40% of all plastics.

To make it easier for customers to choose products thatuse environmentally friendly containers and packaging,since September 2020, the Topvalu Sustainability Icon
has been applied to containers and packaging that meet
Topvalu standards.

Examples of Projects Funded by Shopping Bag Fees
(FY2021 Results)

Start of the Loop Recycling Platform

Hokkaido

TohokuUsed to protect the
Shirakami-Sanchi area

Kanto
Used for a school
greening project inSuginami Ward

Reducing disposable plastic shopping bags

AEON REPORT 2022/Sustainability Edition

Used for donations to
the Shizuoka
Prefecture Mt. Fuji
Succession Fund
Kinki, Chugoku and Shikoku
Allocated toEnvironmental Fundappropriation projects
in Amagasaki City
Kyushu and Okinawa

Retail store system

 Inspect, separate, and clean
warehouseContainer fees are refunded to customers
through the Loop app

Transport

1. Attach a sticker 2. Scan the QR code 3. Place the container
with a QR codewith the Loop app
in the return box

Cleaning facility

 Return thecontainer Carry the container
to the store

3,219.61million
99,164 t-CO
2

Store

 Go to the store

Promoting Green Purchasing
Aeon has been pursuing its Green Purchasing initiative
since 1996. When purchasing stationery and other officesupplies, we adequately consider their necessity and makepurchasing decisions by prioritizing products with low
environmental impacts. We are also proactively expanding
the scope of green purchasing to include display cases,
shelving, and other fixtures used on sales floors, as well as
construction materials and the like.

Customer Purchase theproduct

Product transported to store

Transport

 Take home

 Use the product

Manufacturer factory Fill the container with productwarehouse

Purchase

Product

Loop container

Loop-affiliatedwarehouse company

Transportationcompany

Data Section

29

Chubu

Initiatives of Public Interest
Incorporated Foundations

Amount of CO2 reduction*On sale nationwide from September 1, 2021
*Packages vary by region of production. The pictured product was made in Aomori
Prefecture.

Donated to Okinawa
Green Network

FY2021 Results

Reduction in number ofplastic shopping bags

*Loop is a new system for providing products that enable containers and packaging to
be reused. It works by targeting the containers and product packaging that have conventionally been disposable, such as those for detergents, shampoo, and other daily
consumables and foods, and instead using highly durable materials such as stainless steel
and glass.

Healthy & Empowered People

Starting with the introduction of the Bring Your Own
Shopping Bag Campaign that asked customers to bring
their own shopping bags in 1991, Aeon has been working hand in hand with customers to reduce the use of
disposable plastic shopping bags. In 2007, we were thefirst national retailer to stop distributing free plastic
shopping bags at the food section, and in April 2020,
we stopped providing free plastic bags for all sections,
including clothing and daily necessities, before it becamelaw. In FY2021, to further conserve petroleum resources
and reduce CO2 emissions generated during production,
the use of plastic shopping bags was phased out at someGroup specialty stores, including COX Co., Ltd., and R.O.U
CO., LTD., with the introduction of paper bags.

Topvalu Gurinai Natural Junkikei chicken uses 20%
plant-derived biomass material for the top film (8%of total packaging materials, including the top film.)
Compared with the tray packaging materials used previously, packaging material weight has been reduced byaround 2 grams per piece (a reduction of about 18%).

Heartful Community

As an initiative to shape a recycling-oriented society transitioning from “disposable” to “reusable” lifestyles, inMay 2021, Aeon launched the Loop initiative in conjunction with various manufacturers of daily necessities andfoods at 19 stores in Tokyo, Chiba, and Kanagawa. Since
then, the number of stores employing Loop has gradually expanded in the Kanto region, and with its July 2022
introduction in eight Aeon stores in Kyoto Prefecture, thefirst rollout to West Japan, the platform is now in place at
66 stores in total. We aim to expand to 100 stores during
FY2022 and will continue to promote the initiatives in
conjunction with manufacturers, local governments, andother stakeholders.

Used to improve andpromote the usage of
wetland environments

Sustainable Planet

To reduce the use of disposable plastics, Ministop haslaunched an initiative to phase out the plastic spoons it
provides when selling soft-serve ice cream in favor of“edible spoons.” Advance trials started at the end of May
2022 at two directly operated branches in Chiba
Prefecture, and in June, the trials were gradually
expanded to the Kyushu and Shikoku areas, in response
to feedback from customers and franchisees. The introduction of edible spoons at all stores would reduce theamount of disposable plastic by approximately 47 tons
per year.

Product initiatives

Aeon’s Sustainability

Providing “Edible Spoons” forSoft-serve Ice Cream

Aeon sells plastic shopping bags to customers who request
one. Local governments and other organizations use themoney generated from this service* to fund environmental conservation projects within the community.
Approximately 137.13 million yen was collected in
FY2021, with approximately 1.15 billion yen collected
since FY2007.

Reductions through the replacement of materials

Loop-affiliatedcleaning facility

AEON REPORT 2022/Sustainability Edition30

Sustainable Planet

TOPICS
As part of efforts to promote eco-friendly lifestyles, Aeon advances initiatives encouraging customers to avoid using
disposable containers and instead purchase only what they need as part of a “sale by weight” approach.

WELCIA YAKKYOKU CO., LTD

Bio c' Bon Japon, the organic supermarket originating in Paris and operated in Tokyo and Kanagawa,has been selling nuts, dried fruits, chocolate, andother foods by weight since opening in 2016. Thissystem has been widely accepted and is used by
40% of customers. In addition, at the Jiyugaoka(Tokyo) store opened in June 2022, an initiative waslaunched allowing customers to bring their own containers to the store to purchase these items.

In collaboration with Kao Corporation, Welcia
Pharmacy launched “sold by weight” sections forfour detergent and fabric softener products at the
Hac Drug Utsukushigaoka Store (Kanagawa) from
September 2021, and for a limited time, at the
Welcia Aeon Town Makuharinishi Store (Chiba) since
it opened in October. By filling dedicated bottles
or empty bottles of the product with the required
amount, this initiative allows customers to make purchases without needing to dispose of containers.

Launch of Waon-Linked Initiative to Collect
Waste Paper and Plastic Bottles

To recycle valuable resources without disposing of them,Aeon stores have been working to collect drink cartons,
food trays, aluminum cans, PET bottles, and other containers in cooperation with customers and local governments.
The PET bottles collected at Aeon stores have gradually
been repurposed as raw materials to produce recycled PET
bottles for Topvalu beverages.

Aeon provides Waon points to customers who contributeto resource recovery (waste paper and plastic bottles), toencourage the recovery of resources and increase convenience for customers.
We are promoting this initiative with a focus on storesin municipalities with infrequent collections of recycling
waste. As of the end of September 2022, we have introduced this initiative at 368 locations, where it has met
with a favorable reception from customers. Through thisinitiative, we established a clear division of roles withrecycling businesses to create a system that can carry out
recovery efforts on an ongoing basis.

A recycling station for the collection of waste paper and plastic bottles

Heartful Community

Collection boxes at an Aeon store

Sustainable Planet

Bio c’ Bon Japon Co., Ltd.

Reducing Waste by Collecting Resources inStoresAeon’s Sustainability

Initiatives for selling by weight

Resource recycling initiatives

Results for FY2021

Aeon is reducing the amount of cardboard thrown away
at stores by using returnable containers and agricultural
product containers that can repeatedly be used to ship
products.
In FY2021, we reduced cardboard waste by using 83.99
million returnable containers* and 28.11 million returnable containers for agricultural products.

We are reducing the number of cardboard boxes andhangers used in the transportation of apparel by using thesame reusable hangers when transporting and displaying
them in sales areas.
Aeon Retail Co., Ltd., and Aeon Retail Store Co., Ltd.
have begun using a collection and circulation systemthrough collaboration with hanger manufacturers and theuse of the National Permit System.* We have expanded
this system to cover almost all types of hangers of certified
companies. Moreover, we have used this initiative as anopportunity to unify hanger management rules at stores,
thereby reducing the man-hours and space required forhanger management. We reviewed and revised facilities
to further increase the recycling rate. As a result, wereduced the amount of waste plastic to essentially zero.

*Aeon’s own containers only

Usage of Returnable Containers
Production
site

Returnable containers:
83.99 million
Returnable containers
for agricultural
products: 28.11 million
AEON

Approx. 161.21 million

Approx. 483.02 million

Collected amount: 4,836 t

Collected amount: 3,381 t

CO2 reduction: 2,418 t-CO2

CO2 reduction: 21,301 t-CO2

Aluminum cans

PET bottles

Approx. 364.49 million

Approx. 492.32 million

Collected amount: 5,831 t

Collected amount: 12,947 t

CO2 reduction: 50,154 t-CO2

CO2 reduction: 46,612 t-CO2

Weight conversion: Drink cartons (1,000 ml): 1 carton = 30
g, food trays: 1 tray =7 g, aluminum cans (350 ml): 1
can = 16g, PET bottles: 1 bottle = 26.3 g* CO2 reduction rate index (per 1 kg of collected material):
Drink cartons: 0.50kg-CO2, food trays: 6.3kg-CO2,
aluminum cans: 8.6 kg-CO2, PET bottles (material
recycling): 3.6kg-CO2
Source: Ministry of the Environment’s “Tools for Visualizing
3R Activities”

Data Section

Reusing and Recycling Hangers

Food trays

Based on the Aeon Plastic Usage Policy, Aeon aims toswitch all plastics used by Topvalu to environmentallyfriendly materials, phasing in 100% recycled or plantderived materials for PET bottles in particular.
As part of efforts to achieve this goal, since February
2021, Aeon and the Marubeni Group have run the Bottle
to Bottle Project, which uses recycled Pet resin from bottles collected at Aeon Stores to completely recycle plastic
bottles for preprocessing and selling through Topvalu.
By utilizing Aeon’s stores, products, and services andMarubeni Group’s vast network that can centrally manage
the entire plastic bottle collection, transportation, andmanufacturing process, the collection and resale of plastic
bottles at each store will be streamlined. The initiative is
expected to reduce the use of virgin petroleum-derived
plastics by around 350 tons per year.
On March 1, 2022, recycled resins created from the PET

Initiatives of Public Interest
Incorporated Foundations

Using Returnable Containers

Drink cartons

Bottle to Bottle Project
Healthy & Empowered People

Total for 19 Group companies handling foods(The containers collected vary depending on the store.)*The National Permit System is a special system under the Waste Management and Public
Cleansing Law that encourages the reuse of resources by allowing manufacturers to process products that they previously manufactured. In response to requests from businesses
that need to dispose of manufacturers’ products, manufacturers collect, process, andconduct integrated management of their products across wide areas.

In March 2022, Topvalu tea beverage products using 100% recycled
PET bottle resin collected by Aeon went on sale

31

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition32

Sustainable Planet

total of 116 stores operated by Maxvalu Nishinihon Co.,
Ltd., and Aeon Retail Col., Ltd. in the Okayama and Hyogo
areas. Roughly 1,000 tons are expected to be collectedannually, accounting for approximately 8% of the Pet
bottles collected by Group-operated stores by weight.

FY2021 Results
Food waste emissions (food waste generation per 1 million JPY in net sales)
2015(reference
year)

2019

Initiatives Undertaken by Group Companies

2020

Release of 26 clothing items using
recycled cotton

The Daiei Kobe Sannomiya Store, in cooperation with
Kobe City and 16 retailers, manufacturers, and recyclers,
has installed collection boxes in retail locations in Kobe.
Kobe City announced its participation in an initiative
aimed at the like-for-like recycling of used refill packs
for detergent, shampoo, and other products and has
cooperated with demonstration tests from June 2021.
When the program was fully launched in October 2021,
it had expanded to 22 stores. 11 Welcia pharmacies and 9
Kohyo stores also took part, which amounted to 44 storesoperated by the Aeon Group serving as collection points.
According to information released by Kobe City, as ofApril 2022, 580 kg had been collected.

Glam Beautique Recycling Program* Limited to 87 Aeon and Aeon Mall stores in Honshu, Shikoku, and Kyushu

Aeon has played a role as a hub for resource recycling in
local communities for many years and has launched new
initiatives that promote coordination with even more
stakeholders and customers to establish lifestyles that
contribute to a recycling-oriented society.

Aeon Retail Co., Ltd. Started the Glam Beautique

33

AEON REPORT 2022/Sustainability Edition

Vacuum skin pack example

Tray-free vacuum packaging

Aeon Group Food Waste Reduction Targets
n Halve food waste by 2025
n Establish a food resource recycling model	Establish a regional recycling model in collaboration with stores, producers, recyclers, andother entities
	Waste generation per unit (food waste generation per one million JPY
in net sales)

Reducing food loss at stores
To reduce waste due to unsold products, Aeon Retail Co.,
Ltd. has introduced “AI Pricing” for delicatessen and daily
food products. An AI is trained on past sales and environmental conditions such as weather and customer counts,
and then by simply scanning a barcode and entering thenumber of items on display, an appropriately discounted
AEON REPORT 2022/Sustainability Edition

Data Section

Coordination with Manufacturers

Recycling Program*1 in June 2021. The program is a joint
effort between TerraCycle Japan, which collects andrecycles containers, and four manufacturers of cosmetics
and daily necessities (KOSE, Shiseido, Nihon L’Oréal, and
P&G). It involves installing collection boxes to collect used
containers for skincare, makeup, hair care, and hair coloring products from customers and recycling them. The
collected empty containers are to be transformed into
shopping baskets used in the Glam Beautique shopping
section.

In July 2020, Aeon Co., Ltd. and the Dow Chemical
Company signed the Carbon Project Agreement, and sincethen, Aeon has adopted vacuum skin packaging utilizing a Dow ionomer resin. By stretching packaging film
according to the shape of the contents, it is possible tovacuum pack items with irregular shapes, such as meat,and extend product shelf life while also protecting the
products from damage during transportation and otherprocesses, thereby mitigating food loss. When converted
into reduced CO2 emissions, the reduction in food loss
due to vacuum skin packaging was confirmed to be about
47 tons of CO2 over the two-year period of FY2020 and
FY2021.
Starting September 2021, the number of stores carrying Topvalu Gurinai Natural Junkikei chicken packed
regionally was expanded to about 2,400 stores nationwide. By supplying the products from domestic packing
plants located close to the producing regions, the numberof days from raw ingredient processing to store delivery
is shortened, and thanks to the introduction of non-tray
vacuum packaging, which eliminates the need for plastic
trays, shelf life can be extended by five to seven days compared with the previous system. By delivering productswith greater freshness, we aim to reduce food loss on thepart of stores and customers alike.

Initiatives of Public Interest
Incorporated Foundations

Initiatives pursued in partnership withstakeholders

Aeon aims to achieve zero waste using the 3R approachand has declared Aeon Group Food Waste Reduction
Targets as part of Groupwide efforts. Aeon is driving
several initiatives to achieve these targets, including the
reduction of food waste through the introduction of newtechnologies and innovative sales approaches, recycling
generated food waste, and the establishment of resource
recycling models based on regional characteristics.

Extending product shelf life with the introduction of
new technologies

Healthy & Empowered People

As fibers are created by collecting off-cuttings of similarcolor shades, the fibers are not all identical colors, creatinga texture similar to mélange (a fabric made from the yarnsof several colors woven together).

27.0 kg / million yen 24.2% reduction versus FY2015

KOBE PLASTIC NEXT – Connecting People to Recycle
Refill Packs

Reducing Food Waste• Unique colors

17.9% reduction versus FY2015

Collaboration with Local Governments

Features of CYCLO® Series Products• Fibers with minimal environmental impact
CYCLO® fibers use off-cuttings and other materials thatwould otherwise have been discarded. In addition, thelarge amount of water used in the dyeing process to create
recycled fibers for each color is not required.

29.2kg / million yen

Heartful Community*1 Global Recycle Standard (GRS) certification ensures that 20% of the raw materials in end products are recycled and that consideration is afforded to social,environmental, and chemical practices in the production process.
*2 As a rough guide, this is the amount of energy equivalent to operating a 500watt microwave oven continuously
for 21 years or approximately 79.4
million kilocalories.
*3 Amount of reduction up to the production process for CYCLO® recycled
cotton, a figure that excludes the
fabric production, sewing, andtransportation processes. Figures
are based on the CYCLO® website
calculating the use of 52 tonesof recycled cotton across 26 new
products.
(https://www.cyclofibers.com/
impact-savings/)

To achieve zero waste, Aeon Mall aims to develop“circular malls” that will establish regional recycling-based economies with malls serving as the hub
and is pursuing various initiatives with this goal inmind. By promoting these efforts, the recycling rate
for in-house waste has reached 92.7%, and efforts
are also being made to effectively utilize unneeded
items brought in by customers as resources.
In FY2021, a “Kofuku Relay” initiative to collectused clothing in collaboration with the BRING™
recycling project operated by JEPLAN, INC. was held
at 139 malls nationwide, resulting in the collectionof 103 tons of clothing. Some of the clothing willbe transformed into new clothes. In addition, in
partnership with Aeon Malls in Cambodia, some 110
kg of clothing collected at seven malls in Japan wasused as part of an initiative to distribute clothing toeconomically disadvantaged children in Cambodia.

2021

29.8 kg / million yen 16.3% reduction versus FY2015

Sustainable Planet

In July 2022, Aeon Retail Co., Ltd. newly released
up to 26 varieties of clothing, including women’s,
men’s and kids’ T-shirts using CYCLO® recycled cotton, which is produced at GRS*1 certified plants thatcollect unneeded fabrics and factory offcuts by theshade of color. Compared with regular cotton, theuse of this recycled cotton is calculated*3 to save
approximately 338 tons of CO2 emissions, about
300,000 tons of water, around 30 hectares of land,
and roughly 330,000 megajoules*2 of energy, andis part of efforts in the fabric industry to switch toenvironmentally friendly materials for products.

Aiming to create “circular malls”
that will establish a recycling-based
economy32.6 kg / million yen 9.9% reduction versus FY2015
Established guidelines for setting food waste targets for eachcompany

Aeon’s Sustainability

bottles procured through this project were used for four
Topvalu Gurinai tea beverage products. These Pet bottles
using 100% recycled materials, excluding the cap, went
on sale at 1,600 stores, including Aeon, Aeon Style, andMaxvalu. Since its launch in the Hiroshima and Yamaguchi
areas, as of August 2022, the project has expanded to a34

Sustainable Planet

Promotion of food drives

AEON REPORT 2022/Sustainability Edition

FY2021: 66.1%

n Food Recycling Loops
	FY2021 Constructed food recycling loops
in 14 locations within Japan

Advancement of Aeon’s Self-Contained Food Recycling Loop

Food waste

Aeon, Daiei,
Maxvalu stores

Aeon Self-contained
Food Recycling Loop
(example of the Aeon
Miki Satowaki Farm)

Recycling
Loop
Agricultural
Products

Daiei KankyoCo., Ltd.

CompostAeon Agri Create Co., Ltd.
Miki Satowaki Farm

Beginning the operation of food recycling loops
based on the regional self-contained recycling model
In October 2021, United Super Markets Holdings Inc.
obtained Recycling Business Plan certification for thestores of its operating company Kasumi Co., Ltd.

Management System for Waste Emissions
Aeon regularly holds internal training courses aimed at
improving its management of waste disposal for environmental managers and waste management leaders ofGroup companies. Online training was introduced starting in 2020, and to expand opportunities for training, in
FY2021 videos were created with the help of the Aeon
Delight Co., Ltd. cleaning division and streamed for a set
period. As a result, the number of personnel participatingin the training increased by 145, bringing to total to 860
since FY2011.
Also, to make manifest management more efficientand precise, we are introducing electronic manifests* instages. For example, to process waste Aeon Retail Co., Ltd.
contracts Aeon Waste Management Center, which is jointly
operated by Aeon Delight Co., Ltd. and specialized companies. We are introducing an IT system that enables theunified management of the periods of processing service
agreements and licenses for contracted waste processors.
We are establishing systemic capabilities that facilitatechecking and clarify the roles of companies emitting
waste, contracted waste processors, and contracted management companies. As well as strengthening compliance,these capabilities have helped reduce man-hours and costs.
As of July 2022, 40 Group companies had introduced electronic manifests, and 13 companies (863 business locations)were using waste management centers.
In FY2020, we conducted an internal audit of the Aeon
Waste Management Center, confirming that improvements
are underway. While communicating with contracted

Launch of the Aeon Tohoku recycling project
Aeon Tohoku Col., Ltd. has started a recycling projectto make effective use of the food waste produced atits stores for livestock feed and compost, which is in
turn, used to develop products. As the first initiative
under the project, breadcrumbs and bread crusts produced in the bread production process were used as
feed to raise Kome-no-Kobuta branded pigs, and sell
products that use this brand of pork. The products are
currently being sold at 28 stores in Akita Prefecture. In
the future, there are plans to use this scheme to produce vegetables from compost and commercialize soilthat has been fertilized with food waste.

companies we are steadily putting in place rules to reflect
the circumstances of individual companies. We plan to
introduce these systems at more company locations going
forward.
*Manifest: A government-mandated control document issued to ensure that processing
has been performed when discharging industrial waste.

FY2021 Results

Electronic Manifest Introduction Ratesl 9 (95% or more) 22 companies
Aeon Liquor Co., Ltd., MV Minami Tohoku Co., Ltd ., MV
Kanto Co., Ltd., MV Tokai Co., Ltd., Maruetsu Co., Ltd.,
Kasumi Co., Ltd., Origin Toshu Co., Ltd. My Basket Co.,
Ltd., Shimizu Pharmaceutical Co., Ltd., Aeon Fantasy Co.,
Ltd., Aeon Kyushu Co., Ltd., The Daiei Inc., Aeon Market
Co., Ltd., Big-A Company Inc. Welcia Pharmacy Co., Ltd.,
Koyo Co., Ltd., Aeon Hokkaido Co., Ltd., Aeon Town Co.,
Ltd., Aeon Big Co., Ltd., Aeon Bike Co., Ltd., Bio c’ Bon
Japon Co., Ltd., Aeon Retail Co., Ltd.

l (50% or more, less than 95%) 8 companies
Aeon Supercenter Co., Ltd., MV Hokuriku Co., Ltd., Aeon
Topvalu Co., Ltd. Aeon Retail Store Co., Ltd., Aeon Food
Supply Co., Ltd., Aeon Mall Co., Ltd., Research Institutefor Quality Living Co., Ltd, Maxvalu Nishinihon Co., Ltd.

l (Less than 50%) 8 companies

Data Section

35

Food Drive corner at the Daiei
Higashikawaguchi store

n Recycling implementation rate

In June 2021, the Aeon Self-contained Recycling Loopbeing pursued as an environmental development project by Aeon Kyushu Co., Ltd. and Aeon Agri Create
Co., Ltd. in conjunction with Kankyo Seibi Sangyo Co.,
Ltd. was certified as a project to utilize food recycling
resources by the Minister of Agriculture, Forestry and
Fisheries, Minister of the Environment and Minister of
Economy, Trade and Industry.
Following the certification, food waste generated
from 13 stores operated by Aeon and Maxvalu in Oita
Prefecture has been collected and turned into compost
by Kankyo Seibi Sangyo Co., Ltd. The compost is thenused to cultivate agricultural produce at the Aeon Oita
Usuki Farm operated by Aeon Agri Create, with theharvested produce sold at Aeon Kyushu stores.

Food recycling resources sorted by the Kasumi
Oizumi store (Gunma) are transported in refrigerated
trucks operated by collection and transportation companies and turned into livestock feed by recycling
companies. Then, eggs are collected from hens fed
with this blended feed at poultry farms to be processed into boiled eggs and used to produce boxedlunches sold at Kasumi stores.

Initiatives of Public Interest
Incorporated Foundations*Based on Conditions Related to Food Lossand Recycling published by the Ministry ofAgriculture, Forestry and Fisheries (FY2020
estimate)

To promote the utilization of food waste as a resource,
Aeon has established 14 Food Recycling Groups acrossJapan to convert the food waste generated at stores into
compost and livestock feed that will be utilized in local
communities. Aeon Agri Create Co., Ltd., which operates AEON Farm, has entered into an Agreement on the
Promotion of Food Recycling Loops with the recycling
business Daiei Kankyo Co., Ltd. In 2015, the Aeon Selfcontained Food Recycling Loop was started at the Aeon
Miki Satowaki Farm in Hyogo Prefecture. The loop involves
having surplus food produced at stores including Aeon
Retail Co., Ltd. and The Daiei, Inc. processed into compost
at a composting facility operated by Daiei Kankyo Co.,
Ltd., and then using that compost at Aeon Farm and selling produce that is subsequently cultivated at stores. Aeon
Agri Create has pursued joint ventures with recyclers inregional areas and has expanded this initiative to 14 locations, including Hokkaido, Mie, and Oita prefectures.
In addition, based on the approach of education forsustainable development (ESD), Aeon Agri Create also
actively pursues environmental educational activities forchildren, including tours of food recycling facilities andinformation about food recycling loops.

Birth of the first food recycling loop in Oita
Prefecture

Healthy & Empowered People

It is estimated that total food waste includes some 5.22
million tons a year that could have been consumed but
was discarded, and about 47% of this food waste is generated in people’s homes. To reduce food waste generated
in people’s homes, Aeon promotes food drives where
customers are encouraged to bring the food accumulated at their homes to stores so that it can be donatedto local food bank groups and similar organizations.
Working in collaboration with local governments in eachregion, Aeon Retail Co., Ltd., Aeon Kyushu Co., Ltd., Aeon
Tohoku Co., Ltd., The Daiei, Inc., and other Group companies are implementing activities in 31 prefectures, andpreparations to further expand these initiatives are also
underway.
Regarding food banks that receive food donations
from companies, we cooperate with activities in areas
where we have been able toestablish partnerships withtrusted operating groups
that meet certain criteria.
Group companies, including
Kasumi Co., Ltd., The Daiei,Inc., Maxvalu Tokai Co., Ltd.,and Maxvalu Nishinihon Co.,
Ltd., regularly provide foodto such organizations.

Constructing Food Recycling Loops

Utilizing Food Recycling Resources

Heartful Community

Calling on customers to reduce food loss

Aeon participates in the WRI’s (World Resources Institute)Japan Project “10x20x30 Food Loss and Waste Initiative,”
which aims to have 10 of the world’s biggest food retailers and providers engage 20 of their leading suppliers tohalve rates of food loss and waste by 2030. We are working with 21 domestic food product manufacturers andcontinue to promote this project.

TOPICS

Sustainable Planet

AI is trained on environmental
conditions to display an appropriate discount priceParticipating in the WRI “10x20x30 Food
Loss and Waste Initiative”

Aeon’s Sustainability

price is displayed. By selling products at prices informedby data, employees can set appropriate sales prices
regardless of their experience in discounting or sellingthrough items, leading to reduced food loss andimproved discount rates.
In addition, for products that result in excess inventory
for various reasons, including surplus production, end ofsales, delivery deadlines, and other issues, Aeon productprocurement coordinates with food manufacturers to playa hub role to deliver products regularly to 11 operatingcompanies around Japan. Food loss reduction sections are
set up at stores to sell surplus goods at prices that offer
great value to customers to limit food loss.
Aeon is also actively cooperating with local government and municipalities to install customer-oriented
educational materials, such as “temaedori” (encouraging customers to select the frontmost products with thenearest expiry dates to reduce food loss) initiatives wherethese products are sold, to use stores as a central location
to call upon customers to help reduce food loss.

Aeon Tohoku Co., Ltd., Ministop Co., Ltd., OPA Co., Ltd.,GFoot Co., Ltd., COX Co., Ltd., Mega Sports Co., Ltd.,
Aeon Pet Co., Ltd., Aeon Delight Co., Ltd.

AEON REPORT 2022/Sustainability Edition

36

Sustainable Planet

Aeon sees the issues arising from damage to biodiversity caused by the progress of global warming and pursues initiatives

In the 1960s, Takuya Okada, then president of Okadaya,
Inc. (present-day Aeon Co., Ltd.) and current honorary
chairman and advisor of Aeon, noticed that the Nandina(heavenly bamboo) berries in the garden of his home had
stopped growing. He assumed that was a result of theearth’s changing environment. Later, he also felt a senseof crisis, realizing that the pollution accompanying economic growth would create social problems and that theloss of nature’s richness would lead to a loss of sourcesof wealth. These experiences led him to consider what
Okadaya could do as a retailer. In 1991, Aeon launched
the Aeon Hometown Forests Program, an activity to plant
trees in the areas around Aeon stores.
By planting trees with local customers, Aeon canstrengthen its ties with people while understanding theimportance of nature and sharing the joy of peace. Aeon
regards and promotes this activity as one that embodies
its basic principles.

aimed at protecting biodiversity — beginning with tree planting activities — to maintain the connection between human life,
culture, and the abundance of nature.

Aeon Biodiversity Principle
Basic Policy
We understand the effects of our overall business activities on the ecosystem and work together with our customers, the government, NGOs, and other stakeholders
to remain actively involved in preservation activities andreduce the effects of such a crisis.
Through our business activities, we aim for thefollowing with the ecosystem in mind:

To pass on the roots of enhanced lives to the
futureAeon Hometown Forests Program
We began planting trees
with local customers on
store premises to coincidewith new store openings
in 1991 with the JUSCOMalacca store (now Aeon
Malacca Shopping Center)and started in Japan in
1992 with the JUSCO Shin
Hisai store (now Aeon
Hisai) and continue tobring people together tobuild community forests.

People gather where there aretrees.

People of all ages, from children to senior citizens, gather toplant trees.
During these times, greetings turn into conversations andspread into smiles.
Planting trees connects the desires of each person and creates
opportunities for long-lasting friendships.

Community

Growing the community whileplanting trees

Aeon plants species of trees that are native to the area.
These grow into forests that are valued by the local
community.
Planting trees is symbolic of our gratitude to the local
community, who nurture us through our daily work.

Aeon Tohoku Reconstruction Hometown Forests
Program

Total number of trees plantedThis tree planting effort was conducted from 2012
onwards to restore the greenery lost in disaster-affectedareas following the tsunami caused by Great East Japan
Earthquake. Although Project Aeon Joining Hands ended
in FY2021, Aeon will continue to support the reconstruction of the Tohoku region.

JUSCO Malacca Store (currently
Aeon Malacca Shopping Center),where the first trees were plantedin the Aeon Hometown Forests
Program

12,417,737

Laos
148,250 trees
Myanmar60,000 trees

Malaysia
569,040 trees
Indonesia
111,006 trees

Japan
9,814,708 trees
Vietnam
109,779 trees
Cambodia
55,004 trees

JUSCO Shin Hisai Store (currently Aeon Hisai), where the first trees were planted in Japanfor the Aeon Hometown Forests Program
2013

Australia
200 trees

Aeon’s Tree Planting Activities

Total number of trees planted
12,417,737 (CO2 reduction of 39,599 tons)
Total number of trees planted by the Aeon Hometown
Forests Program, by the Aeon Environmental Foundation,and by the Aeon Tohoku Reconstruction Hometown
Forests Program from 1991 to the end of February 2022

*Total number of trees planted by the
Aeon Hometown Forests Program, by
the AEON Environmental Foundation,and by the Aeon Tohoku Reconstruction
Hometown Forests Program from 1991
to the end of February 2022

The ceremony unveiling the monument commemorating the planting of 10 million trees at
Aeon Mall Makuhari New City

Thirty years have passed since we began planting trees
together with customers in 1991. We hope that the stores
where we have planted trees will become places for the
local community, and that a spirit of nurturing greenerywill take root among locals. As of 2022, Aeon Hometown
Forests are in place at more than 1,000 stores.
AEON REPORT 2022/Sustainability Edition

Data Section

Tree planting activities begun to regenerate forests lost
due to natural disasters, deforestation, and so on, areconducted by volunteers around the world. (Initiatives of
the AEON Environmental Foundation wP.96)

Kenya
3,450 trees

Thailand
226,070 trees

Initiatives of Public Interest
Incorporated Foundations

China
1,320,230 trees

The AEON Environmental Foundation’s Tree Planting
Activities

AEON REPORT 2022/Sustainability Edition

People1992

Aeon Style Minamikurihashi Tree Planting
Festival (April 2022)

37

Environmental problems are now a global challenge andthreaten our health and peace.
Planting trees is a great reminder of environmental issues
and their relation to our work.

Healthy & Empowered People

In 1991 Aeon launched the Aeon Hometown Forests
Program as an initiative leveraging the characteristics of acommunity-based retailer.

1991

A thriving forest is thefoundation of peace.

Heartful Community

1. To remain aware of blessings and harm
2. Work to protect and nurture
3. To keep others informed of our activities

Course of Action
1. Products
During purchasing and sales, we remain aware of sustainability and set goals regarding resource-managed
perishable and processed products, which we sharewith our clients and customers.
2. Stores
We continue to promote tree planting activities with ourcustomers when opening new locations and develop
ecologically friendly stores that reduce the environmental impact.
3. With our customers
We share and learn about environmental awarenesswith others through our tree-planting activities.

Peace

Sustainable Planet

Tree planting activities that embody Aeon’s
Basic Principles

Aeon’s Sustainability

Biodiversity and Environmental Protection

38

Sustainable Planet

To objectively assess the ecological value of Aeon’s tree
planting activities, we selected 15 stores from the Aeon
Hometown Forests Program where between one and 20
years have passed since tree planting activities and conducted surveys of wild birds there. We identified 34 varieties of wild birds in a comparative survey of the stores andsurrounding areas. Of these, 15 varieties* were essentiallyconsistent across all 15 stores. Of these, seven varieties(those denoted with the l icon in the photo below) were
wild forest birds. From the survey, it was also clear that
the Aeon Hometown Forests zone functions as a feeding
ground and resting area for wild birds. Based on a study
held about ten years after planting, the forests showed aclear increase in the species of wild birds compared withneighboring residential areas. These findings confirmedthat the forests were effective in creating a rich natural

Forest development in conjunction with the
AEON Environmental Foundation*15 varieties were essentially consistent across all 15 storesGreat tit l

Bulbul l

Warbler lWhite-eye l

To minimize the impact that stores have on the surrounding natural environment and ecosystems as much as possible, Aeon practices store development that considers thepreservation and creation of ecosystems. These activities
include conducting biodiversity assessments and formulating environmental impact reduction measures during thedevelopment process.
As a part of these efforts, since FY2013, Aeon Mallhas maintained its certification from the Associationfor Business Innovation in Harmony with Nature andCommunity® (ABINC) and objectively assesses the state ofbiodiversity conservation at its stores. As of March 2022,
15 facilities have acquired ABINC certification.
We also work to obtain environmental certifications
for our buildings from third-party organizations, including
CASBEE, DBJ Green Building Certification, and the WELL
Health-Safety Rating. We will continue urban development rooted in local communities and harmonized innature, in addition to tackling global environmental issues
such as climate change.

About ABINC® Certification(Urban / Shopping Center Category)
ABINC certification is based on the Guidelines for Sustainable
Business Sites® established by the Japan Business Initiative for
Biodiversity (JBIB). Factors including the development of an environment for biodiversity
conservation, maintenance with consideration
for biodiversity, communication with stakeholders, and activities to conserve rare species areassessed to certify sustainable land use by
office buildings and commercial facilities.
conservation at large-scale commercial properties, including the installation of a rooftop biotope, even underbusiness constraints.

Heartful Community

Turtledove l

To contribute to the creation and development of sustainable communities, we work with stake holders in each
community to create Aeon Forests.
Amidst the large-scale societal and lifestyle changes
imposed by COVID-19, from FY2020 to FY2021, we implemented the Sapling Foster Parents Project, a forest creation program that allows people to participate without
visiting planting sites. Volunteers in each region received
saplings to plant in Aeon forests around Japan after caring for them for about one year.
We surveyed carbon sequestration levels at Aeon
Forest Aya-chou in Aya-chou, Miyazaki Prefecture.
Working in collaboration with Aya UNESCO Park, Aya
Municipal Junior High School, and the Remote Sensing
Technology Center of Japan, students from Aya JuniorHigh School studied the health of the forest and theimportance of creating forest areas.

Practicing store development that considers the preservation and creationof ecosystems

Example: Certification obtained by Aeon
Mall Tamadairano Mori
Pale thrush l

Sparrow l

Carrion crow

Starling

Oriental greenfinch Rock dove

Forest carbon sequestration survey

Aeon Mall Tamadairano Mori opened based on the concept of a community garden abounding in greenery. In
the 1st ABINC Awards, the location received the Special
Award (Urban / Shopping Center category).
The facility has tackled the possibilities of biodiversity

Rooftop biotope
A biotope was introduced on the rooftop field of hills. The installation helps to promote
environmental education and raise awareness about environmental protection.

Aeon Mall’s biodiversity conservation initiatives

Practicing store development that considers
the preservation and creation of ecosystems

Preserving existing trees and developing walking trails
Approximately 50 of the existing trees, including zelkova and ginkgo trees, were maintained to develop a green belt, ensuring a safe and healthy walking space that preserves
the vestiges of the Tamadaira-no-Mori forest.

Aeon Mall Shinrifu North Acquires ABINC® Certification

Raising seedlings growing at Aeon Mall Shinrifu North

39

AEON REPORT 2022/Sustainability Edition

Since it opened for business in 2000, Aeon Mall Shinrifu
North has made the most of its expansive and richly cultivated greenery. To coincide with a large-scale renewal
in 2021, the site obtained ABINC® certification. As part of the certification
process, in addition to assessing thecurrent state of the site, a future vision
for five and ten years into the future

Yusuke Tokura
Shinrifu employees take part in collecting the acorns needed toraise seedlings

Aeon Mall Shinrifu North
Operations Manager

was laid out, and an action plan for future biodiversity
was formulated. In addition to a seedling initiative implemented in Miyagiken kenminnomori since FY2021, thesite also promotes fixed-point observation through “birdnest boxes” created together with members of the local
community and monitors activities using a biome. Goingforward, public-private coordination that can better form
bridges with the local community is being considered.
Additionally, to achieve a world that is in harmony withnature, we will learn more about people and living creatures
while implementing new approaches on an ongoing basis.

AEON REPORT 2022/Sustainability Edition

Data Section

Kochi Shozui

Aeon Mall Co., Ltd.
Development Division
Area Development Management Department
Tohoku & Hokkaido Development Department
General Manager

Rain Garden™
Rainwater contaminated with substances found in exhaust gas risks disrupting ecosystems. Rain Garden™ reduces the negative impact on the ecosystem by allowing rainwaterto penetrate the ground, purifying it.

Initiatives of Public Interest
Incorporated Foundations

As part of the development of an Aeon Mall facility
planned on the former site of the Amamiya Campusof Tohoku University, a three-way industry-academia
collaboration project has been launched by Tohoku
University, the AEON Environmental Foundation, andAeon Mall Co., Ltd., and is currently developing agreening program. While Aeon selects mainly local
species in the interest of biodiversity and plants themaround the stores it develops, in autumn 2021, employees collected acorns from trees that grow naturally in
Miyagiken kenminnomori and have been conducting
seedling activities to grow the seedlings at Aeon Malland plant them at the store
to be opened. During thestore development phase,
there are undeniably some
aspects that put a strain

on nature. That is why we believe that environmental initiatives are needed, and we think that employees growing local seeds themselves and planting trees
together with customers will lead to shopping malldevelopment supported by the local community. Goingforward, we will continue striving to develop shopping
malls in ways that are conscious of creating a friendly
and welcoming environment for local communities.

Healthy & Empowered People

Daurian redstart Blue rock thrush Pied wagtail

Jungle crow

Sustainable Planet

environment in the area.

Aeon’s Sustainability

Creating Forests Where Wild Birds Can Gather

40

News: Measuring the biodiversity value of the Aeon Hometown Forests Program

Scientifically verifying the effectsof Aeon Tree Planting Activities

Sustainable Planet

The Aeon Hometown Forests Program is an initiative to plant
trees on the premises of newly opened stores together withcustomers in the local community.
Aeon has been engaged in tree planting since 1991 as anactivity that embodies its basic principles. In recent years, there
has been a growing interest in the biodiversity initiatives being
implemented by companies, resulting in an increasingly stronger
need to visualize the results of those efforts and communicate
them to society. Previously, we surveyed carbon sequestrationlevels and wild birds in Aeon Hometown Forests (see page 43),
but starting in 2021, we began conducting Aeon Hometown
Forests Program Nature Surveys to measure what kinds of creatures live in these areas and what kind of environmental value
has been created. In August 2022, this survey was conductedusing a biotope*1 set up inside the forest at Aeon Mall
Hamamatsuichino to measure the value of biodiversity.

Overview of Aeon Hometown Forests
Program Nature Surveys

Norihito Yamamoto
Aeon Mall Hamamatsuichino
Operations Manager*2 A smartphone app that can identify the names of the animaland plant species observed using AI. It currently uses Japan’slargest database of living organisms, with the ability toidentify approximately 92,000 domestic species. Users havesubmitted around 27,000 types of plants and animals withapproximately 1.33 million individual samples, and the app
is used for academic purposes, including new discoveries,
tracking changes in distribution due to global warming, andmonitoring the propagation of invasive alien species.

l Examples of the species found at Aeon Hometown Forests

The Aeon Mall Hamamatsuichino Biotope is locatedin the oldest area of the wetland known as the
Tenno Marsh. Its current form is the result of collaboration between Aeon, which launched the store
development plan 15 years ago, and professionals
possessing water technologies. This biotope inspired
proactive efforts to create other biotopes in the
Higashi Ward of Hamamatsu. We have continued
with activities to maintain the biotope at Aeon Mall
Hamamatsuichino through friendly competition
leveraging the relationships that have been built.
Through these activities, we hope to preserve aplace where the children of future generations canlearn of the wonders of nature and the living creatures that inhabit it.

Initiatives of Public Interest
Incorporated Foundations

Survey period: August to October 2022
Participants:	Around 500 people in total, comprising customers and employees of all stores, including
specialty stores
Survey method:	The birds, insects, plants, and other living
things found in the forest areas are photographed using smartphones and submitted to
the Biome app*2 to confirm the name, location,and time of discovery for each living organism.

Hamamatsuichino Biotope
Chairperson, Citizen’s Group forInteracting with Nature andLiving Creatures

I think it is wonderful that the children who took partin this survey were able to realize that these livingorganisms exist around where they live, not ingames or textbooks, and that they can be found at
the Aeon Mall. Malls around Japan include these
Aeon Hometown Forests, and they have many uses,
including places of relaxation. As these nature surveys have provided a safe operating frameworkthat achieves a healthy balance between digitaltechnologies in the form of smartphones and outdoor “fieldwork” activities, I hope they will be utilizedby other malls as well.

Healthy & Empowered People

Kazuya Takamori

Heartful Community*1 A
 word meaning “place of life” in German and a general term referring to all habitats
where wildlife live and grow.

In 2021, similar surveys were conducted at 33 stores. This resulted
in a total of 3,440 submissions and the identification of 457 speciesof life, demonstrating the role that Aeon Hometown Forests play inenhancing the biodiversity value of an area. To develop more refined
survey data given these results, this year, the number of stores
conducting the surveys has more than doubled compared with theprevious year.
Stores conducting surveys in FY2022: Approximately 70 storesconsisting of Aeon, Aeon Style, Aeon Mall, and Aeon Town locations
across Japan

Aeon’s Sustainability

The Aeon Hometown Forests Program Nature Survey
conducted in August 2022 at Aeon Mall Hamamatsuichinoincluded explanations by the biotope advisor responsible for the creation of the biotope, and the capturing
and observation of Japanese rice fish, providing opportunities to learn about therich forest environment, its
function as an ecosystem,and the value of biodiversity.

Data Section

Aeon Sapporo Hiraoka Store(Hokkaido)
Seven-spotted lady beetle

41

Aeon Mikawa Store(Yamagata)Japanese tree frog

AEON REPORT 2022/Sustainability Edition

Aeon Nonoichiminami Store(Ishikawa)
Red dragonfly

Aeon Kurashiki Store
Aeon Sanko Store (Oita)(Okayama)
Japanese chestnut
White stripe long-horned beetle

Aeon Mall Hamamatsuichino(Shizuoka)
Swallowtail

AEON REPORT 2022/Sustainability Edition42

Sustainable Planet

Practicing the sustainable procurement of agricultural products

We are working on sustainable procurement to achieve both the sustainability of natural resources and the continuous

Aeon is committed to sustainable agricultural procurement and promotes it through participation in initiatives,
through Aeon’s directly operated farms, and in conjunction with the producers of organic agricultural products.

development of business activities. We draw up principles and policies on procurement so that we procure products
manufactured in accordance with global standards.

Promoting Sustainable Procurement
Aeon Sustainable Procurement Principle
1. Eliminating illegal gathering or trading of natural
resources and illegal fishing.
2. Establishing and managing Aeon standards fromthe perspective of biodiversity preservation andpreventing the depletion of natural resources.
3. Minimizing the use of non-renewable resources.
4. Establishing traceability, including place of production and fishing methods, for agricultural
products and marine resources.

Formulated in February 2014

and palm oil (page 48). With the help of stakeholders, wewill practice the sustainable procurement of products.

Aeon’s Mission Towards Sustainable Procurement and Status of Activities

Sustainable
Procurement of
Seafood*1

Sustainable
Procurement ofPaper, Pulp, andWood*2
Sustainable
Procurement ofPalm Oil

Aeon’s Mission

Aeon’s Activities

Private Brand
Products• We will pursue sustainable agriculture-based
procurement• For agricultural products sold under our private brand,
we will promote good agricultural practices (GAP) andorganic farming and continually work with producers.
• We will practice this approach by actively carrying
certified products, cooperating with various
stakeholders, and taking part in initiatives to promotesustainable agriculture.

Utilizing Third-party Certification• Utilization of third-party certification for GLOBALG.A.P*3, organic farming and so on• Support for the widespread adoption of certification labels for consumers
Project Implementation• Supporting the acquisition of certification through seminars for producers• Working with regional producers through an alliance to provide organic agricultural
producers
Participation in Initiatives• Participation in initiatives, such as CGF*4 and SSCI*5• Formulation of Japanese interpretive guide through the GLOBALG.A.P network

Private Brand
Products• We will pursue the sustainable procurement of seafood• We will aim to procure seafood in a way that enables
the sustainability of private brand marine resources tobe verified• We will practice this approach by actively carrying
certified products, cooperating with various
stakeholders, and taking part in initiatives addressing
the sustainable use of marine resources.

Use of Third-party Certification• Selling products using third-party certifications, such as MSC*6 and ASC*7• Supporting the widespread adoption of certification labels for consumers
Project Implementation• Direct confirmation on-site and support for initiatives• Activities that contribute to the sustainable use of marine resources, such as
promoting consumer adoption
Participation in Initiatives• Participation in initiatives such as CGF and SSCI
• Activities with industry and NGOs, etc., through JaSPON*8

Domestic
ConsolidatedGroup
Companies• We will strive to prevent the destruction of forests andprocure sustainable forest products.
• We will aim to only procure products from regions
where zero forest destruction has been confirmed.
• We will work on wood and palm oil that has a particularimpact.
• We will practice this approach by actively carrying
certified products, cooperating with various
stakeholders, and taking part in initiatives that preventthe destruction of forests.

Use of Third-party Certification• Selling products using third-party certifications such as FSC® (wood) and RSPO
(palm oil)• Supporting the widespread adoption of certification labels for consumers
Project Implementation• Direct confirmation on-site and support for initiatives• Activities that contribute to the preservation of forests, such as widespread
adoption by consumers
Participation in Initiatives• Participation in industry initiatives such as CGF and SSCI
• Activities with industry and NGOs, etc., through JaSPON

43

AEON REPORT 2022/Sustainability Edition

We are taking steps to acquire Japanese AgriculturalStandard (JAS) certification for food manufacturing andprocessing centers as a subdivider of agricultural products.
At present, the Aeon Food Supply Co., Ltd., MinamiKanto and Chubu Centers have acquired this certification.
We plan to have all our centers in Japan acquire the certification.

Topvalu promotes “Less is More” initiatives for agricultural products produced with as few pesticides andchemical fertilizers as possible. As much as it is importantto focus on soil development and restrict the use of agricultural chemicals, it is also important to develop management systems that will not miss any disease or insect. To
ensure ongoing efforts in this area, we have established“Less is More” standards and ask our production partners
to comply with them.
Both producers and Aeon check plans that determine
the amounts of pesticides and chemical fertilizers to be
used and that actual usage is consistent with those plans,
and have developed systems ensuring that only the agricultural products that pass such checks make it to store
shelves.

Topvalu “Less is More” Standards* Organic JAS logo
Operators certified by certification organizations
registered by the Minister of Agriculture, Forestry
and Fisheries can attach the organic JAS logo totheir products. The logo is attached to agricultural, processed, or livestock products, as wellas livestock feed, produced with a method oforganic farming that uses natural power insteadof pesticides or chemical fertilizers.

System for Supporting Organic Vegetable
Farmers
Aeon is working to enrich the array of agricultural products in the TOPVALU Gurinai Organic series to makeorganic food lifestyles closer to consumers for a sustainable future. In parallel with that, we are supportingorganic vegetable farmers. More and more people arehealth-conscious and spend longer at home. We continue
taking different steps to provide more customers withorganic food lifestyles while ensuring safety and peace ofData Section*1 Aeon took the initiative in formulating a procurement policy for seafood as the Aeon Sustainable Seafood Procurement Policy in 2014.
*2 Aeon formulated the Aeon Forest Resources Procurement Principle in 2016 for the procurement of paper, pulp, and timber.
*3 GLOBALG.A.P. (GOOD, AGRICULTURAL, PRACTICES): Practices to manage production processes to ensure sustainability, including food safety, environmental conservation, and occupational safety in agriculture involving themanagement of agricultural production processes.
*4 CGF (The Consumer Goods Forum: An international industry group whose members are major food and consumer goods manufacturers and retailers. CGF is an organization that brings together global retailers and manufacturers in the consumer goods industry and provides a collaborative platform across the world and regionally.
*5 SSCI (Sustainable Supply Chain Initiative): An initiative to formulate social and environmental standards for supply chains. SSCI organizes and formulates standards, guidelines, and benchmarks for the supply chain from socialand environmental perspectives.
*6 MSC (Marine Stewardship Council): A council for the management of marine resources. MSC operates a certification system for natural seafood caught in a sustainable and socially responsible manner.
*7 ASC (Aquaculture Stewardship Council): A council for the management of aquaculture. ASC operates a certification system for seafood produced at aquaculture farms with consideration of the environment and society.
*8 JaSPON (Japan Sustainable Palm Oil Network): JaSPON is a network of sustainable palm oil producers. The group aims to solve various issues, including environmental aspects of palm oil production, and seeks to accelerate theprocurement and consumption of sustainable palm oil.

Acquisition of Organic JAS Certification as a
Subdivider of Agricultural Products

Initiatives to Reduce Our Impact on theEnvironment

Initiatives of Public Interest
Incorporated Foundations

Promoting Sustainable Procurement (Products)

Sustainable
Procurementof Agricultural
Products

Scopeh ttps://www.topvalu.net/gurinai/organic/nousan/(Japanese only)

Healthy & Empowered People

TargetThe Topvalu Gurinai Organic series has an extensive
lineup of environmental products with organic certification in Japan and overseas. As of the end of February2022, it was the largest private brand of a Japaneseretailer, with 361 fresh and processed food items. In
answer to customers’ requests for more items available,
we accelerate the development and procurement oforganic products in Japan and overseas by making use of
the qualification of certified importers of organic agricultural processed products awarded by the Ministry ofAgriculture, Forestry, and Fisheries. Aeon Retail Co., Ltd.
Operated sales areas for organic products at 332 stores.

URL

Heartful Community

5. Preventing the destruction of forest land withhigh conservation value.

We strive to procure sustainable agricultural products that are in harmony with nature, ecosystems,
and society.
By directly cultivating vegetables, we will provide
healthy and delicious vegetables and contributeto a safe food future.

Sustainable Planet

The products Aeon handles are made possible by natureand contain raw materials procured from producers andlocations around the globe.
To achieve both the sustainability of natural resources
and the continuous development of business activities inline with the Aeon Sustainability Principle, we establishedthe Aeon Sustainable Procurement Principles in February
2014. Accordingly, we have been pursuing high sustainability in procurement to fulfill our responsibility as aretailer at all stages of the product lifecycle, including raw
material procurement, production, sales, consumption,and disposal.
Subsequently, we formulated Aeon’s Sustainable
Procurement Policy in 2017 with a view toward greater
sustainability in procurement. It stipulated procurement
policies in four domains in accordance with the global
standards. These domains are agricultural products (page44), seafood (page 46), paper, pulp and wood (page 47),

Aeon Agricultural ProductProcurement Policy

mind. We publish individual farmers’ ideas, specific examples, and comments on the TOPVALU website so that they
can be broadly available to customers.
In 2019, we launched the Aeon Organic Alliance as aplatform of partnerships between organic product operators and Aeon Agri Create Co., Ltd., which organizes
our direct-run farms. As of the end of February 2022, it
had more than 120 member companies. We are working
to increase the number of items in the Topvalu Gurinai
Organic series for different areas as well as their supply
quantities to expand the organic agricultural products wedeal with.

Aeon’s Sustainability

Sustainable Procurement

AEON REPORT 2022/Sustainability Edition

44

Sustainable Planet

Acquisition of GLOBALG.A.P. certification forsafe farm management

URL

https://aeon.ggn.org/Agri/AEON REPORT 2022/Sustainability Edition* The MSC is a group that manages the certification system for sustainable fishing.
Through the certification system and MSC labels for compliant products, MSC conducts
initiatives to advance the spread of sustainable and eco-friendly fishing.

MSC-certified salted red salmon andskipjack tuna flakes in olive oil

Further, in 2014 we became the first store in Asia tosell ASC certified fish. We offer 22 ASC-certified salmon
items spanning 12 fish species as of June 2022. Our goal
is to realize sustainable procurement by popularizing“responsible” aquaculture products that do not place a

ASC-C-00332* ASC (Aquaculture Stewardship Council):
ASC is an organization that implements the world’s leading certification and labelingprogram for responsibly farmed seafood.

ASC-certified deboned rainbow trout(salt-grilled) and mussels

We ensure that these MSC and ASC-certified seafood
products are delivered to consumers without being mixed
in with non-certified seafood and employ the Chain of
Custody (CoC) certification system to assure consumers of
the legitimacy and traceability of these products. CoC certification had been acquired by 11 Aeon Group companies
as of the end of July 2022.
Aeon will continue promoting sustainable procurement of fishery products that do not deplete resources
by increasing the number of Group companies with CoC
certification.
Examples of recently released MSC-and ASC-certified
products
March 2021 Alaskan Atka Mackerel (MSC)
August 2021 Capelin Fish (MSC)
Aquaculture-raised sea bream (ASC)June 2022

Data Section

45

Given the rising pressure of demand on fishery resources
worldwide, Aeon sells MSC and ASC-certified products to
support fishing and aquaculture that are based on appropriate resource management.
We have been steadily expanding our lineup of
MSC-certified products since we began carrying themin 2006. Aeon sells 52 MSC-certified items spanning 29
fish species-among the largest product range in Japan’s
retail industry - as of June 2022. To preserve natural fish
for coming generations, we source products obtained
from fishing that is
consistent with thepreservation of thesea’s environment andresources.
MSC-C-51735

large burden on the environment and that are cultivated with consideration
for local communities andhuman rights.

Initiatives of Public Interest
Incorporated Foundations

Bringing Smiles to Local Communities with Local Flavors

Largest Number of MSC- and ASC-Certified
Products Dealt in among Retailers in Japan

Healthy & Empowered People

TOPICS

1. Provision of Sustainable Products• Actively sell sustainable seafood such as MSC-certified andASC-certified products• Strengthen handling of complete aquaculture
2. Elimination of Illegal Trade• Comply with international conventions, such as the Convention
on International Trade in Endangered Species of Wild Fauna andFlora (the Washington Convention)
3. Establishment of Traceability Measures• Promote the strengthening of resource management in Indonesia
4. Regular Risk Assessments• Launch an organization to promote sustainable procurement

Heartful Community

has been established. In addition, the electricity used at
THE TERRABASE Tsuchiura plant factory comes fromrenewable energy, enabling factory operation based on
100% clean energy for decarbonization. Through thisapproach, we are working tobuild production systems
that pursue the inherent
delicious taste and freshness of vegetables while
being friendly to the environment and creating new value
in vegetables.

Carry out regular risk assessments from aresource depletion prevention and biodiversity conservation perspective. Also, to mitigate risks, review feasible countermeasuresand strive to procure sustainable seafood.
Specific Measures
Aeon is constantly devising and implementing
measures to shift from endangered seafood toseafood with sustainable backing into the future.

comprising Aeon’s Environment Division and other divisions at Aeon Group companies, shared function companies, and other companies. Based on input from external
stakeholders (NGOs, the government, and seafood businesses), we analyzed risks and opportunities, reviewed feasible projects, and used the results to plan key initiatives.

Sustainable Planet

Selling Private Brand Lettuce Produced at Sustainability-oriented Plans

As a central initiative promoting community-based management, Maxvalu Tokai Co., Ltd. has been actively
developing and introducing products that have been
popular locally for a long time and locally produced products with connections to the region. A vital key to thiseffort is the concept of local production for local consumption. Maxvalu Tokai also collaborates with producer
farms to develop original products and proactively introduces them at stores to weave connections between
customers and as many varieties of local produce aspossible.

Aeon established the Aeon Sustainable Seafood
Procurement Policy to help protect the limited marine
resources and to pass down to future generations its traditional culture surrounding food sources from the waterand sea.
We formulated the Seafood Assessment Committee

Aeon Sustainable Seafood
Procurement Policy

TOPICS
United Super Markets Holdings Inc. (U.S.M.H, hereafter)
has started full-scale production at THE TERRABASE
Tsuchiura, a plant factory prepared in collaboration with
Plantx Corporation. The plant factory produces lettuce as
the first product under the new U.S.M.H. private brandGreen Growers and gradually launched sales at stores*
and online supermarkets in June 2022.
Through hydroponic cultivation on fully sealed racks,
the factory has established an environment that makes it
difficult for insects and microbes to propagate, enabling
lettuce to be cultivated using at least 12 liters less water
than is required for lettuce cultivated outdoors. In addition, a production system that controls the optimum
amount of light, air, and nutrients for growing the lettuce
in a completely closed and fully mechanized environment

Promoting the Procurement of Sustainable Seafood
Aeon’s Sustainability

Aeon Agri Create Co., Ltd. operates 20 of Aeon’s directly
managed farms, all of which have obtained one of theworld’s most widespread certification for safe farm management, GLOBALG.A.P. GLOBALG.A.P. not only requires
product safety but also emphasizes the need to ensure thesafety of the employees who work on farms, the safety ofresidents, and the conservation of the local ecosystem.
We implemented these initiatives for some agricultural
products, including Topvalu items, indicating when they
are produced on farms with GLOBALG.A.P. certification.
We have thus become the first company in Asia to startplacing GLOBALG.A.P. Number (GGN) labels on products.
We launched a dedicated website that allows customers
to determine where in the world and by who a productwas produced, simply by entering its GGN (certification
number).

*National brand product

AEON REPORT 2022/Sustainability Edition

46

Sustainable Planet

Developing and Marketing “Full-Cycle
Aquaculture-Raised Fish”

Based on the desire to “pass along a rich food culture
to the next generation,” we have developed Fish Batonsales areas featuring MSC-and ASC-certified products,
indicating that they
are sustainable marine
products.

February 2022, 288 Ministop stores were FSC®-certified.
Going forward, we plan to actively increase the number ofenvironmentally friendly stores.

*MSC- and ASC-certified products
are also available in stores without
Fish Baton sales areas.

A Ministop store underconstruction

Topvalu Gurinai Natural ASC-certified raw
Atlantic salmon

The Fish Baton sales area at
Aeon Style Itabashi Maeno-cho

Promoting the Procurement of Sustainable Forestry Products

A properly managed FSC®-certified forest in Yamanashi
Prefecture

In 2016, we formulated the Aeon Forest Resources Procurement Principle. Based on this principle, we are making efforts tocontribute to the balanced utilization and conservation of forest resources.

As part of a new initiative, in 2018, Ministop Co., Ltd.
opened a reused store at Fukaya, Saitama prefecture thatuses FSC®-certified domestic lumber and is the first commercial facility of its kind anywhere in the world.
The building of a reused store must meet certain
environmental friendliness and cost conditions. These
include the distance between the closing store and theopening store (to curb CO2 emissions) and the lead time
between store closing and store opening (to shorten
storage periods).
We constructed a reused store that meets these
conditions utilizing wood from a closed store. We canreuse roughly 73% of wooden pillars and beams whenreusing wood between stores of the same size. To ensure
strength, we use new wood for the base, studs, andbraces. (The reuse percentage of our first reused store was
33% because we relocated the old store to build a newstore with a larger floor area.)

Aeon Forest Resources Procurement Principle (Paper / Pulp / Timber)

1. Handling of Sustainable Products
Raw material from properly managed forests is authenticated, and products that have acquired FSC® certification are handled assertively.
2. Effective Use of Domestic Lumber in Japan
Efforts for the effective use of domestic lumber are

undertaken to achieve sustainable recycling in Japan’s
forests.
3. Ensuring Traceability Measures
For high-risk countries and regions, confirmation of raw
material traceability to forests is handled on a priority
basis.
4. Prevention of Illegal Deforestation
Confirmation of the legality of lumber, etc., is conducted based on laws related to the promotion of theuse of legally harvested lumber.
5. Preservation of Areas with High Conservation
Value
Confirmation of the implementation of precautionary measures is conducted to maintain areas with high conservation value.

Promoting Wood in Public Spaces by Using Local Materials
Aeon Mall has established Mokuiku Square play spaces for children that abound with the warmth of wood in Aeon Malllocations. These spaces reflect our desire for customers to experience the gentle nature of locally sourced wood and tohelp them think about the environment.

Aeon Mall Shinrifu
Selected as a “Businesses Promoting the Welcoming
Scent of Wood (Miyagi)” with its abundant use of Miyagi
wood

Aeon Mall Kawaguchi
This play space uses Nishikawa wood from Nishikawa
Forest Farm in southwestern Saitama, which boasts a
history stretching back 300 years to the Edo period.

Aeon Mall Ageo
This area uses local Saitama lumber

Promoting Initiatives for Procuring Sustainable Palm Oil

Efforts in Products: Products Using
FSC®-Certified Paper

47

AEON REPORT 2022/Sustainability Edition(FSC®C005942)
Topvalu Best Price tissue paper using
FSC®-certified paper

Stores Using FSC®-Certified Domestic Lumber
Aeon practices store development with consideration
for the preservation of the ecosystem. For example,
Ministop Co., Ltd. opened a Ministop store using 100%
FSC®-certified domestic lumber in 2009 as the first FSC®certified convenience store in Japan. As of the end ofPalm oil, which is known for being used in a broad rangeof processed foods and other products, is the world’s mostwidely produced plant oil. A number of issues have been
associated with the rapid and large-scale developmentof plantations in countries that produce palm oil. These
problems include the destruction of tropical forests, largescale greenhouse gas emissions, and the use of forcedlabor and child labor on plantations.
As part of its efforts toward procuring sustainablepalm oil--taking the environment and human rights into
consideration--Aeon is a member of the Roundtable on
Sustainable Palm Oil (RSPO), an international certifying
body. We also participated in the establishment of theJapan Sustainable Palm Oil Network (JaSPON), whose

members include 18
domestic retailers,manufacturers, andNGOs.

Data Section

The Forest Stewardship Council® (FSC®) certifies wood
products and paper manufactured with timber from properly managed sustainable forests. Aeon has been sellingnotebooks and other FSC®-certified paper products since2008. In addition, we use FSC®-certified materials for pricetags, tags, some cardboard, and other frequently usedmaterials.
Up to now, about 270 stationery and H&BC category FSC®- certified products were sold, and we are also
expanding the use of FSC®-certified materials to packaging and other items.

Initiatives of Public Interest
Incorporated Foundations

Formulated in 2016

Healthy & Empowered People

We will continue to utilize store materials and product raw materials made of lumber and pulp produced
from properly managed forests, and strive to prevent
forest destruction.
Initiatives through Our Products
Identify risks and opportunities, consider viable methods,
and aim for sustainable procurement through continuous
improvement.

Heartful Community

TOPICS

Sustainable Planet*Full-cycle aquaculture-raised: Fertilized
eggs are taken from adult tuna artificially hatched adult tuna, then those
eggs are raised in a full cycle that does
not rely on wild tuna stocks.

Developing Reused Stores That Employ
FSC®- Certified Domestic Lumber
Aeon’s Sustainability

In 2015, Aeon started developing and selling full-cycle
aquaculture-raised* fish that are not dependent on natural resources from the perspective of resource depletion
prevention and biodiversity conservation. As of the end of
February 2022, Aeon sells
ten varieties of full-cycle
aquaculture-raised fish.

“Fish Baton” Sales Areas

Photo credit: Kyodo News Service

AEON REPORT 2022/Sustainability Edition48

Sustainable Planet

Fair Business with Consideration for Human Rights

Aeon Human Rights Policy

Initiatives focused on respecting human rights are central
to the resolution of a range of social issues. In Japan andoverseas, laws and guidelines call on companies to playleading roles in addressing human rights issues.
In 2003, Aeon established the Aeon Code of Conduct
to realize business management that is founded on
respect for human rights, which is one of Aeon’s basic
principles. To advance the Aeon Code of Conduct, theCompany established Aeon Human Rights Policy in 2008.
In 2014, the policy was revised to stipulate that no discrimination will be allowed based on sexual orientation orgender identity. Further, given the recent developments
in social situations worldwide, we revised Aeon Human
Rights Policy (page 52) in 2018 to include suppliers in thescope of activities.
The overriding goal of the revised policies is to help
realize a society that respects human rights. To this end,
the policies clarify Aeon’s commitment to implementing
human rights measures based on domestic laws, international laws, and international agreements and clarify
the policies’ applicability to all business partners andother stakeholders involved in Aeon’s business activities.
Moreover, the policies state the Group’s intention todevelop a due diligence process for human rights.

Based on the idea of respecting humanity, one of Aeon’s
basic principles, since its founding, Aeon has been developing environments enabling motivated individuals totake on challenges equally, regardless of race, age, nationality, or gender, and has cultivated a corporate culturethat respects humanity. Our policy on respect for humanrights is set forth in Aeon Human Rights Policy (page 52),
and Group employees are required to respect humanrights and conduct business activities with integrity
through the Aeon Code of Conduct. In addition, suppliers
contracted to produce goods under Aeon’s Topvalu brandare expected to comply with the Aeon Supplier Codeof Conduct (page 56) and endeavor to understand theimportance of respecting human rights.

Aeon Human Rights Policy is revised* Currently handled by the Chief Officer of Human Resources, Administration & Risk
Management

Subjects to be considered for human rights impacts

Aeon Code of Conduct is formulatedAeon Code of Conduct Hotline is set up

2013

2014
2015
2018

Global Framework Agreement is concluded
Aeon Human Rights Enlightenment Guidebook is published
Aeon Human Rights Policy is revised
Aeon Supplier Code of Conduct is revised
Aeon Human Rights Enlightenment Guidebook is revised

2021

Supplier Hotline is opened
Human Rights Workshop is conducted

AEON REPORT 2022/Sustainability Edition

Aeon people•Group employees ineach country•Employees in eachdivision

Customers
and residents•Employees ofprocurement sources•Employees of suppliers•Employees of tenants
and sales locations•Employees ofcontractors•Customers•Nearby residents•Members of civic
society

Operational guidelines, human rights guidelines(guidebook), Aeon Supplier CoC, etc.

Aeon Sustainability Basic Policy

Human Rights Policy
Aeon Basic Principles,
Aeon Code of Conduct

Establishment of the Human Rights
Enlightenment Ofﬁce
The Human Rights Enlightenment Ofﬁce plans, implements, and supports various human rights-related training
designed to promote awareness of human rights among
Aeon people (ofﬁcers and employees) so that they have a
deeper understanding of human rights and to ensure that
Aeon is a group that respects human rights. The ofﬁce isalso involved with the planning and production of the
Aeon Human Rights Enlightenment Guidebook which

Aeon’s Human Rights Awareness Promotion Structure[Group Human Rights Awareness Promotion Organization]
Aeon Management Committee

Group Promotion Supervisor
Aeon Co., Ltd. Chief Human Resources Officer*
Group Promotion Officer
Aeon Co., Ltd. Personnel Planning Department General Manager
Group Promotion Personnel(Administrative Office)Human Rights Enlightenment OfficeGroup Companies Promotion Supervisor: Chief Human Resources Officer
Promotion Manager: Human Resources Department General Manager
Promotion Personnel: Personnel In Charge of Human Resources andEducation[Group Human Rights Awareness Promotion Committee]
Members

Group Promotion Supervisor (Aeon Co., Ltd. Chief Human
Resources Officer)
Group Promotion Manager (Aeon Co., Ltd. Personnel Planning
Department General Manager)
Group Promotion Personnel (Human Rights Enlightenment Office)Group Company Promotion Managers (Human Resources
Department General Managers at each Group Company)

Implementation•Determination of Group policies on human rights initiatives•Formulation of Group human rights training plan
•Progress checks and assessment of human rights training plan

AEON REPORT 2022/Sustainability Edition

Data Section

2019

Aeon Human Rights Policy is formulated

Positioning of human rights-related
policies and guidelines

2008

Subjects

Aeon expresses support for the United Nations Global Compact

Employees ofsuppliers

compiles basic knowledge on a range of human rights
issues.

Initiatives of Public Interest
Incorporated Foundations

Diversity Promotion Office is established

Scope of Human Rights

Aeon Supplier Code of Conduct is formulated
2004

Promotion Structure
Aeon has established and operates the Human Rights
Awareness Promotion Committee as a Groupwide organization tasked with overseeing and promoting operations
related to raising awareness of human rights.
This organization formulates Aeon’s policies related
to human rights initiatives, develops the Group’s internal
human rights training plans, and discusses and executes
progress checks and assessments in conjunction with thepromotion ofﬁcers and promotion personnel in eachGroup company.
Ultimately the chief ofﬁcer of human resources* submits proposals and reports for deliberation by the Aeon
Management Committee, which is chaired by the CEO andcomprises all executive ofﬁcers as members.

Aeon's History of Respect for Human Rights

2003

Revised October 2018

Healthy & Empowered People

Aeon regards respecting the human rights of all its stakeholders, including Aeon Group employees and suppliers,
to be an extremely important social responsibility in its
global business activities and believes it has a responsibility to ensure appropriate labor practices. Aeon respects
human rights in all its business operations in accordancewith the Guiding Principles on Business and Human
Rights, which serve as global guidelines.

1. Our Approach to Human Rights
For everyone affected by our business activities, we will comply with domestic laws on human rights and labor, theInternational Bill of Human Rights, and the rules on human rights set forth in the International Labour Organization’s
Declaration on Fundamental Principles and Rights at Work in accordance with the Aeon Basic Principles, the Aeon
Code of Conduct, and the United Nations Global Compact, which we joined in 2004. Further, we will support and follow
the United Nations Guiding Principles on Business and Human Rights.
2. Respect for Human Rights in Business Activities
We will respect the privacy of individuals as well as their diverse values and personalities and never discriminate against
anyone for any reason, including discriminatory treatment based on race, nationality, ethnicity, gender, age, place ofbirth, religion, educational background, physical or mental disability, sexual orientation, or gender identity. Further, we willremain mindful of the positions of others and respect them as our equals.
l	We will treat all customers fairly and impartially and provide them with safe, reliable products and services and related
information.
l	We will actively communicate with local community members to ensure that we are respecting their human rights.
l	We will comply with sound corporate ethics and workplace environment-related laws, regulations, and international
standards in our business activities by dealing with business partners fairly. Moreover, we will continually improve our
performance in this regard.
l	We will listen to our coworkers, respect each coworker’s human rights, and create workplace environments that areharassment free, safe, and employee-friendly. At the same time, we will train and educate all Aeon People to further theirknowledge and understanding of human rights.
3. Implementation of Human Rights Due Diligence
Regarding the impact of our business activities on human rights, we will contribute to the realization of a society inwhich human rights are respected through the implementation of human rights due diligence.

Heartful Community

Aeon Human Rights Policy

Sustainable Planet

Initiatives to Respect Human Rights

Basic Approach49

In accordance with this policy, all Aeon’s executives and employees (Aeon People) will further their understanding of human rights and help realize a society that respects these rights. We will adopt this policy for all Aeon
People and share it with all business partners.

Aeon’s Sustainability

Aeon engages in business activities that respect the human rights of all related stakeholders.

50Sustainable Planet

Conducting a Human Rights Workshop* Conducted with the help of Caux Round Table (CRT) Japan4) Aeon Code of Conduct and Human Rights
Promotion Leader Training (approximately ten days
each year)
The Aeon Human Rights Enlightenment Office andCorporate Ethics Team work together to develop leaders who will play a central role in promoting the Aeon
Code of Conduct and human rights.

Since 2004, the Aeon Code of Conduct Hotline has served
as an internal reporting system for employees to reportnoncompliance and improprieties, as well as for discussing
various workplace issues that employees find troublingor difficult to discuss with their immediate managers.
The Hotline is available to all Aeon employees, including
former employees. The Hotline consists of two lines: onefor internal consultations and one for reaching out to andconsulting with external parties.
Also, from FY2020, we have begun taking steps
to reinforce compliance, establishing a Whistleblower
Contact Point at a Law Office for reporting serious violations of law committed by officers.
The Corporate Ethics Team provides reports and consultations to the Group companies concerned as feedback.
We rigorously enforce the rule that an investigation
shall then take place within two weeks to ascertain thefacts associated with each report or consultation. The
Corporate Ethics Team receives a report of the results,
including corrective measures. In addition, the executive
management team of Aeon Co., Ltd. and the presidents of
all Group companies receive regular reports on all consultation matters.

In November 2014, Aeon Co., Ltd. concluded a Global
Framework Agreement on labor, human rights, and theenvironment with the UNI Global Union, which is aninternational labor organization, the UA ZENSEN, andthe Federation of Aeon Group Workers’ Unions. Basedon the agreement, the four parties are cooperating forthe advancement of initiatives for labor, human rights,
and the environment to establish a model for favorable
labor-management relations in Asia.
At the 7th verification meeting held in December
2021, the following matters were reported on, with information shared on related approaches and solutions.
(1) A eon’s supply chain initiatives during the COVID-19
pandemic(2) T he role of labor unions under the COVID-19 pandemic(3) Initiatives on global framework agreements with otherglobal unions (IndustryALL)(4) T he response in the Aeon supply chain to overseas
labor disputes, etc.

Scene from the FY2021 verification meeting

Education and Training
Aeon conducts training to disseminate and instill the
Aeon Code of Conduct as the central component of corporate ethics, primarily through four programs: compliance training for Aeon executives, Aeon Code of Conduct
training for senior management, Aeon Code of Conduct
training for general employees, and training for new
employees. Hiring examinations and promotion training
also incorporates the contents and curricula of the Aeon
Code of Conduct.

Data Section

AEON REPORT 2022/Sustainability Edition

In January 2022, to advance human rights due diligence,
we held a workshop with experts* to have the practitioners of each business identify the actual and potential
risks for the business in general and unique to specificproducts. Based on the results of the workshop, we identified current and potential issues that are important to
Aeon and, in February 2022, conducted a management
review to connect them to management. (page 55)

Aeon Code of Conduct Hotline

Conclusion of a Global Framework
Agreement and Implementation of Related
Veriﬁcation Activities

Initiatives of Public Interest
Incorporated Foundations

51

Holding a Human Rights Workshop

Aeon emphasizes dialogue between labor and management, and discussions are held with the labor union
through health and safety committees and the labor-management council. The labor union has encouraged parttime employees to become members, and as of February2022, the labor union had roughly 300,000 members,
including 250,000 part-time employees. Additionally, weare establishing labor unions in Group companies that do
not have unions to create a system enabling labor andmanagement to resolve issues.

Healthy & Empowered People1) Human Rights Awareness Promotion Committee(convenes once every six months)
Discusses, determines, and evaluates the direction,issues, and annual initiatives involving Aeon humanrights enlightenment efforts. Also responsible for promoting human rights at each Group company.
2) Human Rights Enlightenment Study Group(convenes once every six months)
Shares and promotes understanding andconducts training on the promotion ofhuman rights awareness to educate individuals responsible for promoting human rights
at each Group company.
3) Human Rights College (convenes fourtimes a year)
Curriculum for systematically learning thebasics of human rights throughout the year.
Individuals responsible for or in charge ofthe promotion of human rights participate toreceive basic education.

Aeon has established the Risk Management Department
as an organization responsible for overseeing Aeon’s risk
management functions while maintaining and developing
Group management. Risks relating to human rights are
one of the risk items handled by the Risk Management
Committee, which is organized by the Risk Management
Department.

Since 2003, we have conducted anonymous monitoring(via an employee survey) annually to ascertain the extent
to which the Aeon Code of Conduct has taken root in
the organization and to gather information on workplace issues, employee work styles, motivation levels,and related matters. This survey is a basis for assessing
employee awareness and corporate culture across theentire Aeon Group, including its overseas locations,through evaluating the visibility of promotional activities,
the personal commitment of employees, and workplace
conditions. We also compile, analyze, and share survey
findings with Group companies and use them to help
resolve specific social issues.
In FY2021, the survey was conducted for 60 overseas
Group companies, and responses were obtained from47,081 employees. In FY2022, a similar survey was conducted, and based on an analysis of the results, the surveys will be used to ascertain current conditions at eachcompany, improve employee satisfaction, and strengthen
the response to compliance risks.

Heartful Community

In addition to building a human rights awareness promotion framework, Aeon creates training opportunities
so that all officers and employees of Group companies
can gain a correct understanding and deeper recognitionof human rights and enhance their awareness of humanrights through in-house training and other initiatives.
As a Group-wide initiative, human rights training has
been conducted targeting all officers and employees ofAeon Group companies. To promote the recognition thathuman rights issues are a part of daily life and link themwith regular activities, the training incorporated specificexamples, recent trends and issues such as power harassment and sexual harassment. In FY2021, a total of 427,000
members of 83 Group companies underwent the training.
Through awareness-raising activities designed to solve
various human rights-related issues, Aeon aims to be acompany in which a diverse range of human resources
can succeed in a comfortable workplace environment.
This information on respect for human rights has also
been incorporated into risk management training, humanAnalyzing Human Rights Risks in our
Business Activities

Labor Union

Sustainable Planet

Education on Human Rights

Conducting Employee Surveys

Aeon’s Sustainability

In October 2020, Japan’s National Action Plan on Businessand Human Rights (2020-2025) was announced. The UN
Human Rights Council has endorsed the Guiding Principles
on Business and Human Rights, and the protection andadvancement of human rights is an important elementin achieving the Sustainable Development Goals (SDGs).
As these principles and goals express an expectation that
we identify, prevent, mitigate, act on, and share information on the impact of business activities on human rights
while promoting the introduction of human rights due
diligence, we decided to expand the human rights due
diligence conducted throughout our private brand supply
chain in fiscal 2019 and held a human rights workshop in
fiscal 2021.

resource development training, and diversity promotion
training to spread awareness among as many employees
as possible.
In addition, a Human Rights
Enlightenment Guidebook was
produced in FY2015 as a tool
for acquiring basic knowledge
on this subject. As of FY2021,
167,000 copies of the guidebook
have been distributed. As wellas helping to raise awarenessamong each person, training
materials utilizing the guideAeon Human Rights
Enlightenment Guidebook
book are also being developed.
To reflect recent social conditions around the world, theguidebook was partially revised in March 2022.

AEON REPORT 2022/Sustainability Edition52

Sustainable Planet

Aeon Supplier Code of Conduct

TOPICSn Holding a Workshop on Business and Human Rights

December 2021 Individual interviews and desktop survey

Date:
January 25, 2022
Purpose: 	In promoting human rights due diligence, bring up human rights
issues related to business for discussion with experts, and identify
and organize potential issues that relate to the entire value chain
Attendees: 11 representatives from Aeon Co., Ltd., Aeon Retail Co., Ltd.,
Aeon Topvalu Co., Ltd., Aeon Mall Co., Ltd., Aeon Financial
Service Co., Ltd., and Research Institute for Quality Living Co.,Ltd.

January 2022

February 2022

Held workshop on business and human rights
11 members from the Business Subcommittee andProduct Subcommittee gathered to identify andorganized potential human rights themes related to theentire value chain
Human rights due diligence management review held
(review and exchange of opinions with Aeon’s executive
managers)* Conducted with the help of Caux Round Table (CRT) Japan

Important Human Rights Issues at Aeon (Based on report on results from CRT Japan)
Human Rights Theme (1)Issues with foreign workers in Japan, including at Group
companies and in the supply chain
Parties (rights holders)Foreign workers (for the meantime referring to those in Japan,
including technical interns)

Human Rights Theme (2)Working conditions of producers and farmers engaged in thecultivation and collection of products sourced by Aeon
Parties (rights holders)
Producers and workers

lA scertain the working environments and economic circumstances offoreign workers
l Directly engage with foreign workers
l Ascertaining human rights risks at the operating site and production site levell Formulating Aeon Sustainable Procurement Principles, including secondary
suppliers and beyond (February 2014), and promoting the widespread
establishment and thorough dissemination of the Aeon Sustainable
Procurement Policyl Promoting the widespread establishment of consultation hotlines to fieldcomplaints and concerns from workers in the supply chain, including Group
companies, communities, and NGOsl Establishing and operating a complaint-handling mechanism with multilingual
supportl Information disclosurelA scertaining the working environment and economic circumstancesof producers and farmers involved in cultivation and collectionlD irect engagement with producers and farmersl Ascertaining human rights risks at the farm level (particularly checking that
farmers are making a living wage and whether there is an adverse impact on
residents, etc.)l Formulating Aeon Sustainable Procurement Principles, including secondary
suppliers and beyond (February 2014), and promoting the widespread
establishment and thorough dissemination of the Aeon Sustainable
Procurement Policyl Promoting the widespread establishment of consultation hotlines to fieldcomplaints and concerns from workers in the supply chain, including Group
companies, communities, and NGOsl Establishing and operating a complaint-handling mechanism with multilingual
supportl Information disclosure* Items that should be specifically addressed are indicated in red

n Aeon Human Rights Due Diligence Management Review

Future Issues Identified Through the Management Review
l Ensuring safe and secure recruiting routes and minimizing risksl How to use standards as a measure of the working environment in
the workplace (the pride in working in the Aeon Group)l Identifying the scope of direct influence through a supply chain
visualization processl The importance of direct communication (engagement)l Establishment of a management system with an external perspective
based on the UN Guiding Principles on Business and Human Rights(UNGP)* A total of seven other managers from key departments also attended

Comments from Hiroshi Ishida, Executive Director, CRT Japan Committee

53

AEON REPORT 2022/Sustainability Edition

The future direction to be taken by Aeon in fulfilling
its responsibility to respect human rights was verified.
Beyond the human rights themes identified throughthis assessment, Aeon should be recognized for alreadyhaving identified individual potential human rights
issues that span a wide range of human rights themes,
and for being active in strengthening cooperation withaction groups and designing systems to address thoseissues. I hope that Aeon will continue to pursue these
existing initiatives and implement management systems and messaging consistent with the UNGP.
* UNGP: United Nations Development Programme

Full text of the Aeon Supplier Code of Conduct

URL

Data Section

The human rights risk assessment
conducted this time is a part of humanrights due diligence and is the firststep in identifying and assessing
important human rights risks at Aeon.
To identify and assess important
human rights themes, a desktop survey was conducted, a workshop on
business and human rights was held internally, and theinformation was analyzed and assessed. Based on this,the following candidates were identified as pertinenthuman rights themes and the results of the assessment
were reported to executives and top management.

All decisions pertaining to employment shall be based on criteria
relating to the ability to accomplish the required task.
8. Freedom of Association and the Right to Collective
Bargaining
Suppliers shall respect employees’ right to organize, join andmanage a labor union chosen by the employees themselves andfor the employees’ representative to enter into collective bargaining with the company. Where there are legal and regulatory
restrictions imposed on the right to freedom of association andcollective bargaining, suppliers shall establish as an alternative
measure a complaint-handling system where management andemployee representatives can take their concerns and respondin good faith.
9. Health and Safety
Suppliers shall provide employees with a safe and healthy working environment compliant with applicable legislation, in addition
to providing effective steps to prevent disease, including accidents, injuries, and emotional issues relating to potential healthand safety. Suppliers shall apply similar health and safety standards to dormitories and cafeterias provided to employees.
10. Environment
It shall not be sufficient to only comply with all legislation relating
to the environment of the nation and the region in which manufacturing is being undertaken, instead maximum consideration
shall be given to the environment. There shall be confirmationthat the raw materials and the products used conform to thelegislation of the nation and region from which they are obtained,that international treaties and protocols are being applied andthat the environmental policies specified by Aeon are satisfied.
11. Business Transactions
Suppliers shall comply with the laws relating to the country oforigin of the final product and its components and business
transactions of the exporting country and region.
12. Integrity and Transparency
Suppliers shall never be involved in unethical actions such asbribery, falsification, manipulation, or concealment of records,
evidence, or testimony in any business activity. Information
relating to business activities shall be correctly disclosed inaccordance with the applicable regulations and standard business practices.
13. Engagement
Suppliers shall integrate the requested content of Aeon’s
Suppliers Code of Conduct into their own company or organization’s management system and work throughout the entire
organization to resolve social issues occurring throughout thewhole supply chain.

Initiatives of Public Interest
Incorporated Foundations

Date:
February 8, 2022
Purpose: 	Review the two human rights issues identified and risk assessment
analysis results produced at the workshop conducted in January 2022
Participants:
Hiroshi Ishida, Japan Committee of the Caux Round Table for Business Leaders(CRT Japan Committee), a non-profit organization
Hiroyuki Watanabe, Executive Officer, Human Resources and Administration,
Supervisor of Risk Management, Aeon Co., Ltd.
Takahiro Suzuki, General Manager, CSR Department, Aeon Co., Ltd.
Akihiko Maeda, Deputy Director, Product Management, Aeon Topvalu Co., Ltd.

1. Laws and Regulations
Suppliers shall comply with all applicable legislation, bylaws, andregulations of the countries and regions in which the business is
operated. Suppliers shall also demand that all their suppliers,
subcontractors, and contractors comply with legislation, bylaws,
regulations, and our Supplier Code of Conduct.
2. Child Labor
There shall be no use of or support of the use of a child who is
not older than age 15 or the age at which a child is allowed to be
employed in that country. For individuals who have not yet
reached the age of 18 or who are at or above the age at which itis legally permitted to employ them, education shall be given
priority where there are compulsory education laws, and theyshall not be placed in a situation where they would be subjectedto physical or mental health or developments risks or danger.
3. Forced Labor
The use and employment process shall not be forced or becomplicit in force against an employee’s will by means of violence, intimidation, restraint, mental or physical means, or
unjustly limiting their freedom of conduct.
4. Working Hours
Suppliers shall comply with legislation relating to working hours,
breaks and holidays, and other industry standards. Overtime
work must be voluntary and should not be demanded regularly.
In terms of work exceeding statutory working hours, a determinate overtime allowance shall be paid.
5. Wage and Benefit Packages
Suppliers shall comply with legislation on national wages andbenefits. Wages and various benefits shall be paid and deductedin accordance with the relevant legislation, and records shall be
kept. Wages shall be in excess of the amount required to meet
employees’ basic needs. The paid wages shall include overtime
allowances and shall be described in a manner comprehensible
to employees.
6. Abuse and Harassment
Suppliers shall not engage in, have any involvement in or becomplicit in any punishment of employees, use of mental or
physical force, or use of abusive language. Suppliers shall not
permit any acts of harassment, including gestures, language, or
physical contact, in any workplace within the business activity.
7. Discrimination
Suppliers shall not discriminate or be complicit in employment
discrimination relating to recruitment, wages, promotion, training,termination, or retirement on the grounds of race, nationality,
ethnicity, gender, age, origin, religion, academic background,physical or mental disability, sexual orientation, or gender identity.

Healthy & Empowered People

Future Response

Aeon Supplier Code of Conduct

Heartful Community

Future Response* CoC: Code of Conduct

Sustainable Planet

n FY2021 Activities

Based on the Aeon Basic Principles of pursuing peace,respecting humanity, and contributing to local communities, with the customer’s point of view always as its core,
and to practice Aeon’s “customer-first” philosophy, Aeon
recognizes the importance of respect for human rights
and considers it an inherent part of its approach to Group
employees as well as the entire supply chain.
According to the Aeon Code of Conduct and “Partners
and Aeon,” Aeon respects suppliers who give top priority
to the safety and security of products and services. Aeon
requires that its suppliers comply with and practice international standards and works with suppliers to iterate ona human rights due diligence cycle to reduce and mitigate
adverse impacts in their business activities. Based on its

Aeon’s Sustainability

Conducting Human Rights Risk Assessments

policy of taking responsibility for the entire supply chain,from the procurement of the raw materials for its products to their conversion into end products, Aeon works
with suppliers to ensure the safety and security of its
products.
In accordance with the Aeon Supplier Code of Conduct
as a Company developing global business, we confirm thatthe employment of workers is appropriate, the environment in which they work is safe, and that there is compliance with laws and regulations at production bases ineach country, which leads to improvements. We currently
require suppliers of Topvalu and Topvalu Collection tocomply with Aeon Supplier CoC, and we improve issues
through external, second-party, and first-party audits.

https://www.aeon.info/sustainability/social/coc/coc_download/

AEON REPORT 2022/Sustainability Edition

54

Sustainable Planet

Contract Manufacturer Auditing

Human Rights Due Diligence Initiatives in the Supply Chain

Orientation and Declaration of Compliance
Overseas Factories

Second-Party Auditl Targets: All domestic and overseas
factoriesl Audit and assessment: Aeon-certified
auditors

Confirmation of Corrective Action
STEP 1
Corrective Action Plan (CAP)
STEP 2Aeon-certificated auditors visit andcheck progress at the factories or
confirm submitted documents

Confirmation of Corrective Action
STEP 1
Submit corrective action reports via
suppliers
STEP 2
Assess and confirm at the Aeon Supplier
CoC secretariat

First-Party Auditl Targets:
Factories receiving superior assessments
in second-party auditsl Confirmation and Assessment: Suppliersand Factoriesl Method:
Suppliers check factories based on achecklist by Aeon. Correct findings if
there are non-conformity and submit its
report to the Aeon Supplier secretariat.

Emphasis on communication

Dissemination of Aeon Supplier Code of Conduct

Expanding and strengthening initiatives
l Revising Aeon Supplier Code of Conductl Spreading due diligence to raw materials andGroup companiesl Improving the handling of technical intern trainees

FY2020
Building a cycle of responding to the United Nations’
Guiding Principles on Business and Human Rightsl Developing a complaint reporting systeml Integration into management

Independent management

Improving the handlingof foreign nationals andtechnical intern trainees

Investigating raw
materials(agricultural, livestock,marine products)

Improving the handlingof foreign nationals andtechnical intern trainees
Collaboration with othercompanies
Interviews about actual
conditions

Development of acomplaint reporting
systemSetting up Supplier
Hotline for the
TOPVALU supply chain

Building management
systems for Group
companies Support foraudits and training

FY2021l Began operating a complaint reporting systeml Expanded implementation to Group companies* As of the end of February 2022 (excluding shutdown plants)

55

AEON REPORT 2022/Sustainability Edition

Consultations regarding Aeon employee opinions
and concerns:

6%Consultations from parties related to manufacturingoutside Topvalu:
3%85%Other consultations:

ASSC Review Committee
Aeon Representative

Suppliers

Aeon Supplier
Code of Conduct Secretariat

Action based on thenature of consultations

The details of consultations include matters related tolong working hours, harassment, and transactions in general.

Main consultation desk
(ASSC)We have orientations for new suppliers doing businesswith Aeon for the ﬁrst time to understand the importanceof respecting human rights and cooperating with the
Aeon Supplier Code of Conduct.
Compliance with the Aeon Supplier Code of Conduct
is included in agreements with suppliers so that we canrespond to social issues and grow alongside our partners.
At the orientations, we will also inform suppliers about
corporate social responsibility in the supply chain, Aeon’s
efforts, speciﬁc audit application methods, and contact
points for inquiries. Additionally, to avoid the spread of
COVID-19 infections, the orientations were switched fromin-person to online.

The Supplier Hotline is a complaint handling mechanism(remedial action) for products of Aeon’s brand, TOPVALU,
covering the employees who belong to companies andorganizations associated with the supply chain, which
includes everyone from the raw material stages, such as
raw material procurement, manufacturing, inventory
control, transportation, and sale, to products and services getting into the hands of customers. Consultations
can be made through a website, over the phone or via asmartphone app, and a third-party organization* serves as
the point of contact and works with Aeon to resolve any
issues.
Aeon has provided information about the hotline toroughly 800 contractors and asked that they share that
information with their manufacturing sites and other
upstream suppliers.
While this mechanism is designed for corrective andremedial purposes, we also believe Aeon must confirm
issues in its supply chain and take action for prevention.

Consultations regarding product safety and security: 1%

Person seeking consultation

Orientations for New Suppliers

Building a Grievance Mechanism
Establishing the Supplier Hotline

5%* The Global Alliance for Sustainable Supply Chains (ASSC), a general incorporated association, is an NGO that works with companies to solve their supply chain issues.

In addition, Topvalu conducts online questionnairebased fact-finding surveys about its business dealings
with suppliers to foster mutual trust and make ongoing
improvements through fair trade. Over a survey period
from March 2021 to February 2022, 853 domestic manufacturers were surveyed (including 634 subcontractors).
Aeon will reflect the results of the surveys in the improvements it makes to its business dealings with suppliers andthe approaches it takes.
AEON REPORT 2022/Sustainability Edition

Data Section

The subjects of second-party audits are factories locatedoverseas undergoing second and subsequent audits and all
first-time audits of factories located in Japan. These audits
and assessments are conducted by Aeon-Certificatedauditors. Because we hope suppliers keep managing theirfactories, audit reports and corrective action requests are
made via suppliers. A “Pre-Questionnaire sheet,” which
covers essentially all the items to be confirmed during
the audit is sent out, and the factories respond to them
before audits. After
audits are conducted, pre-questionnaire sheets canbe used as in-housemanagement tools.
For audits in Japan,
especially at facto-

Factories conﬁrmed as having established their own management systems move to the ﬁrst-party audits. Suppliers
use the Aeon audit checklist we provide to check the condition of their factories, take corrective actions if issues
are discovered, and report to Aeon. Our goal is for suppliers to continue managing their own companies and suppliers rather than having Aeon conduct audits. We hopethat this ﬁrst-party audit will be incorporated from Aeon
management into the suppliers’ own management.

The most striking finding from the raw material supply
chain survey conducted in 2019 was that Aeon’s feedback
was not reaching production companies, leading to a lackof response. For this reason, Aeon decided to create theSupplier Hotline to make establishing lines of communication between Aeon and its suppliers and production companies the top priority.

Initiatives of Public Interest
Incorporated Foundations

Second-Party AuditsFirst-Party Audits

Consultations regarding human rights and theenvironment in the supply chain:

Healthy & Empowered People

Based on the Aeon Supplier Code of Conduct, we outsource audits and assessments to an external auditing
agent at overseas Topvalu production sites. The audits
identify the current state of the production sites, andthe sites make corrective action plans (CAP) based on thefindings through communication between the supplier,
Aeon development personnel, and the production site.
The Aeon Supplier Code of Conduct Administrative Officeconfirms that the CAP are valid and approves them. Six
months after the audit, an Aeon-certificated auditor visits
the production site again to confirm that the improvements have been completed as planned.

ries where technical intern trainees are hired, Aeon asks
for details regarding the country-of-origin organizationthat sent the trainee as well as details about their acceptance to train in Japan and, based on this information, we
confirm conditions while communicating more thoroughly
during the audit.

Supplier Hotline

Aeon Contact

Issue Recognition

Heartful Community

Number of Topvalu production contractor plants
2,188 plants (in Japan: 1,384 plants, overseas: 804 plants)

External Audits

Sustainable Planet

External Auditl Target: Overseas Factories for First
Productionl Audit and Assessment: External Auditing
Agent

Objective inspections

FY2019Domestic Factories

Aeon’s Sustainability

Completed preparations for operating a human rights due diligence cycle for business and the supply chain

Flow of Monitoring under the “Aeon Supplier Code of Conduct”

56Sustainable Planet

Status of Monitoring (Audits) in FY2021* As of the end of February 2022

Dialogue with Customers (Customer Feedback)Aeon regards feedback received from customers to be
the starting point of management. Accordingly, Aeon has
worked to develop an environment that makes it easy forcustomers to offer feedback and strives to swiftly reflect

customer feedback in its product range, service improvements, and environmental conservation activities.
Responses to various inquiries from customers, including those related to human rights, are made in conjunction with the departments responsible.

Fairtrade-Certified Products
External Audits

External Audits: Number ofAudits by Region
China Asia Other

150

100

6%

3
42

4
18

50

29%

5

41%

14

87

58

49

2019

2020

2021

24%

0
(FY)

Clothing Food Home HBC

Second-Party Audits
Second-Party Audits:
Number of Audits by Region

Second-Party Audits:
Percentage of Audits by
Industry(including self-assessments)

20
400

53
132

12%

22

17%

4

107
176

64
158

379

333

292

2019

2020

2021

21%

URL
50%
Clothing Food Home HBC

Aeon Launches Sustainable Coffee ProjectFirst-Party Audits: Number of AuditsJapan Overseas

300

11

20
13

200

100

198

250

242

0
2020

2021

(FY)

External Audits
Second-Party Audits (Overseas)
Second-Party Audits (Japan)*Including non-compliance regarding management*Only matters identified from on-site audits

0
(5)

(6)

(7)

(8)

(9)

(10)

(11)

(12)

(1) Laws and regulations (2) Child labor (3) Forced labor (4) Abuse and Harassment (5) Wages and welfare (6) Working hours (7) Health and Safety (8) Discrimination(9) Freedom of association and right to collective bargaining (10) Environment (11) Business Transactions (12) Integrity and transparency (13) Engagement

57

AEON REPORT 2022/Sustainability Edition(13)

Sustainableprocurement
principlel We will conduct risk assessments from the perspectiveof continuity of production and environmental and social
persistence to procure sustainable coffee.
l We will help resolve issues facing communities of
producers and workers as well.

Commitmentl We will use materials with demonstrated sustainability
for all the coffee products sold under our private brands
and the Aeon brand.

Proof ofsustainabilityl We will use materials that have obtained third-party
certification recognized by Aeon.
l We will support projects matched with the needs of thecommunities of producers and workers to help improvetheir living standards, income, environment, and education opportunities.

Actions
Use of third-party certification

Support for projectsl We will use third-party certification
as proof of sustainability, given that
there are many producers all over
the world.
l We will selectively employ certification labels, given that there areseveral.

l We will invest in two or threeprojects and provide support for thecommunities of producers.
l We will work to visualize continued
improvements in specific places of
production.

Data Section

50

Aeon engages in product procurement on the principle of using those products that contain sustainability-proven materials in accordance with Aeon’s Sustainable
Procurement Policy. In January 2021, we announced thelaunch of a Sustainable Coffee Project. It defines coffee asa target that follows the domains stipulated in the policy,
namely agricultural products, fishery products, paper, pulp
and timber, and palm oil. In addition, coffee is perceived
as a matter of high concern in the global community.
The coffee market price is quite variable dependingon market conditions. A low market price means heavy
burdens on local producers. The project consists of four
actions. First, we entrench sustainable coffee. Second, we
support local communities. Third, we offer support on
agricultural techniques. And fourth, we help address thevolatile coffee market. We will thus strive to ensure that
all the coffee products sold under our private brands will
be made of materials with demonstrated sustainability.
We will set a fairtrade price at which we will purchase coffee even when the market price is extremely low. We willbuild a system that will lead to continuous development.
The project has selected Vietnam as the first market toaddress as it is the second largest coffee producer in theworld and it is geographically closer to Japan than othermajor coffee-producing countries. We will expand the
project area to other countries.

Aeon’s Concept of Sustainable Coffee

Initiatives of Public Interest
Incorporated Foundations

2019

100

(4)

h ttps://youtu.be/ZcuXBW8CySw(Japanese only)

The program of Fairtrade Sourced Ingredient Marks encourages
separate corporations to implement fairtrade procurement of single items. It is intended to inspire companies seeking sustainableprocurement of speciﬁed raw materials to introduce them to an
extensive range of products and to increase producers’ fairtradesales. It will give small producers and workers more opportunities
to sell raw materials under fairtrade conditions and allow businesses to take part in fairtrade more ﬂexibly. It will also provide
consumers with wider options for sustainable shopping.

Healthy & Empowered People(FY)

FY2021: Matters Requiring Corrective Action(3)

A video featuring Topvalu Fairtradecertiﬁed coffee and tea is currently
available at:0

Understanding of human rights on the part of suppliers has improved year after year, and matters requiring
reports on corrective action on the part of those audited
have continued to decrease. In FY2021, it was not possible
to secure enough personnel to meet the rapid increase in
manufacturing due to the COVID-19 pandemic, resulting
in some plants being identified as having long working
hours. However, there were cases where employees could
not be maintained and freedom of association was notguaranteed.

(2)

Topvalu chocolate using Fairtrade International-certified cacao(on-site audits only)Japan China Asia Other

800

Trends in Audit Findings(1)*The figure is limited to cacao blend excluding sugar preparations

Heartful Community

Aeon views second-party audits as opportunities for dialogue between Aeon and its suppliers. In addition to theregular content of audits both in Japan and overseas,
additional matters were verified, including the state of
infection prevention measures for employees and whether
explanations were given in languages understood byimmigrant workers. For domestic plants employing overseas technical intern trainees, in addition to audits of thework environment, questionnaires were used to confirm
the situation of technical intern trainees before they
arrived in Japan, and improvements were made to interviews about their daily lives.

Responding to customers’ desires to make contributions through theirpurchases to the world’s underprivileged, Aeon developed and beganmarketing Japan’s first Fairtrade*-certified coffee in 2004 and Fairtradecertified chocolate in 2010, both under the private brand.
To make these products available to a greater number of customers, Aeon has been participating in the new Fairtrade Sourcing Program
launched by Fairtrade International in January 2014. We worked tomeet the target of increasing the trading amount of Fairtrade
International-certified cacao beans to 58 tons*, or ten times the 2012
level, by 2020, reaching it in FY2018. The lineup of Topvalu Fairtrade
products has been expanded to coffee, tea, and jam, and as of May
2022, 20 items are now on sale.

Sustainable Planet

Due to the COVID-19 pandemic, in FY2021, the numberof external audits conducted for new plants amounted toonly 68.
Based on the Aeon Supplier Code of Conduct revised
in FY2019, more stringent assessments were made interms of integrity and transparency.
In FY2021, there were no business dealings that did
not go ahead due to serious non-compliance.

External Audits: Percentage
of Audits by Industry

Aeon’s Sustainability

In FY2021, on-site monitoring continued to be restricted
due to the COVID-19 pandemic. However, we believe that
communication with contracted manufacturers is especially important in such times, and conducted our activi-

ties through a combination of on-site and remote audits
based on mutual verification.
Number of Topvalu production contractor plants
2,188 plants (in Japan: 1,384 plants, overseas: 804 plants)

AEON REPORT 2022/Sustainability Edition

58

Heartful Community

Urban Development and Forming Bonds
urban development that supports community growth and culture.

Heartful Community

Aeon Happy Yellow Receipt Campaign

FY2021 Donations (Japan)

Total funds raised: 297.84 million JPY
Registered organizations: 25,578

FY2021 Results (China and ASEAN)

China: 188 stores
577 organizations gifted approximately
RMB 2,957,000 (approximately 53.58 million JPY)
Cambodia: 2 stores
USD 6,723 (approximately 770,000 JPY)
Thailand: 46 stores
19 organizations gifted approximately*Donation amounts for China, Cambodia, and Thailand are converted to yen at

Aeon works to build communities connected

Held on “Aeon Day”, the 11th of every monthAeon changes the color of shopping receipts from white
to yellow for this day.

the rate as of February 2022.

TOPICS
Celebrating 10 Years of the Aeon Happy
Yellow Receipt Campaign Celebrates in China

through the bonds of mutual assistance that
protect community safety and help
nurture future generations.
Stores calculate
the total value of
receipts for each
Organization

Receive goods worth
1% of the total
value of receipts
contributed to thecause of their choice

As of February 2022,
a total of 4,622.01
million JPY in goods
have been donatedsince 2001.

Data Section*Volunteer organization’s activities should fall under one of thefollowing five categories.

1. Activities to promote welfare
2. Activities to promote environmental preservation andenvironmental education
3. Activities to promote urban development
4. Activities to advance arts and culture
5. Activities to enhance the health and safety of children

59

AEON REPORT 2022/Sustainability Edition

Initiatives of Public Interest
Incorporated Foundations

Place yellow receipts
in the box of theorganization theywish to support

The Aeon Happy Yellow
Receipt Campaign isheld on the 11th of every
month, also known as
Aeon Day. Aeon China
launched this program in2012. As of June 2022, a
total of 195 stores have taken part in the campaign in China,
with approximately RMB 24.88 million (approximately 498.34
million JPY) in goods donated to 577 volunteer organizations.
Aeon will continue to expand the scope of the programin China, building on the charitable idea behind the yellow
receipts.

Healthy & Empowered People

A Joyous Life with Mutual Supportand Interpersonal Bonds

Heartful Community

24 organizations gifted approximately

THB 669,692 (approximately 2.31 million JPY)
How the Aeon Happy Yellow Receipt Campaign Works

Sustainable Planet

Volunteer organizations* and local communities inJapan need support. At the same time, countless Aeon
customers would like to support organizations devoted
to their local communities. Aeon, as a local community
member, launched the Aeon Happy Yellow Receipt
Campaign to link together customers and volunteer
organizations. The Aeon Happy Yellow Receipt Campaign
started from these feelings.
Aeon China launched this program in 2012, followedby Aeon Thailand and Aeon Cambodia in 2015.
To encourage more customers to submit receipts, weare proactively increasing the profile of this campaign.
For example, the personnel at cash registers ask
customers if they would like to participate, and we invite
volunteer organizations to conduct activities in ourstores.

Aeon’s Sustainability

Our bond-building initiatives position Aeon as a corporate citizen who partners with residents and governments to create

AEON REPORT 2022/Sustainability Edition

60

Heartful Community

TOPICSTOPICS
30 Years of Environmental Conservation
Activities with Customers:Started Volunteer
Program to Clean Up Marine Litter
Aeon started Aeon Heartful
Volunteer, a new social
contribution project inwhich employees promote
more community-based
activities.
For the first initiative,
Aeon employees started a volunteer marine debris cleanup
program on Environment Day in June that focuses onbeach and river areas and is conducted with the help of
local citizens. The aim is to help resolve the world’s marine
pollution issue. For the program, Japan is divided into ten
areas and employees from Aeon Group companies cometogether in each area to clean up that region’s beaches.
The beaches targeted for the program in FY2022 are allplaces that locals go to for relaxation and are well-known topeople from other regions as well, making them important
community hubs. The cleanup campaign encourages
individuals to think about what they can do to reduce
marine litter and to take action in collaboration with the local
community.

(total amount between April 2009 and the end of February 2022)

ご当地
WAON

Signing ceremony in Kuki City, Saitama Prefecture

Aeon Welfare Fund

Giving back to the Community
Purchase Gotouchi Waon card to
support a community

Use the Gotouchi Waon card to make apurchase at a Waon participating store

Donate a portion of the corresponding
amount to municipal authorities

The Aeon Welfare Fund was established in 1977 topromote the welfare of persons with disabilities and tosupport their independent participation in society. Aeon
has carried out various projects, focusing on donating
special vehicles and contributing to volunteer activities
through monthly contributions of 50 JPY per employee
matched by the employer.
This brings the total number of donated special
vehicles to 122 since the inception of the Welfare Fundin 1997 and 776 facilities have been visited thus far.

Use contributed funds to contribute to
local communities

Gotouchi Waon
(Itami Waon)
A portion of the money
spent will be used todevelop Itami City intoa friendly, safe, andcomfortable place.

Donee: Soreiyu-no-kai (Hiroshima Prefecture)

Our Slogan“Umanchu nu Kukuru”: Always in Our Heart, Shuri
CastleData Section

We have entered into cooperation agreements withlocal governments around Japan to effectively combine
respective resources for expanding sales of local products,
disaster preparedness, public health, social welfare, andenvironmental conservation, and, through Gotouchi
Waoncards, to stimulate commerce and tourism.
Starting with an agreement concluded with Osaka
Prefecture in June 2010, as of the end of February2022, we have concluded agreements with 130 local
governments (Hokkaido, two metropolitan prefectures,
41 prefectures, 19 government-designated cities, 64 cities
and towns, and three wards).
Through these agreements, we provide emergency
supplies and emergency shelters during times of disasterupon request, hold local product fairs and promotelocal tourism through our stores, and work with local
governments to plan and market boxed lunches madeAeon 1% Club Foundation

Motivated by our desire to provide continuous support
for the restoration of the cultural assets that will bepassed down to the next generation, Aeon launched
the "AEON Shuri Castle Restoration Support Project.”
The project was launched in November 2019 following a
massive pre-dawn fire at Shuri Castle on October 31, 2019that caused major damage. In October 2021, the Aeon
1% Club Foundation presented its second donation of
100 million JPY, and in October 2022, its third donationof the same amount to the Okinawa Prefectural
Government as part of its plan to donate 500 million JPY
over a five-year period. We are expanding the breadthof our efforts to pass Okinawan traditions and culture to
successive generations.

Initiatives of Public Interest
Incorporated Foundations

Concluding Comprehensive Cooperation
Agreements

Waon is a system of e-money prepaid cards available atover 840,000 participating stores throughout Japan. In
the case of Aeon’s Gotouchi (Regional) Waon cards, apart of the proceeds from sales go to social contributions
for communities.
The social contributions that result from using
the cards are wide-ranging and include community

AEON REPORT 2022/Sustainability Edition

Amount donatedApproximately 2.32 billion JPY

Shuri Castle Restoration Support ProjectIssuing Gotouchi (Regional) Waon Cards

61

162
different
cards
issuedHealthy & Empowered People

We are actively involved in community landscaping
projects around our stores. Clean & Green Activities,
conducted since Green Day on April 29, 1991, consist of
employees volunteering to clean up the streets aroundour stores. These activities, which have developed
from the Group’s social contribution activities and into
employees’ volunteer activities, are conducted on Aeon
Day*, the 11th of every month. On this day, we clean
up the parks and riverbeds near Aeon stores nationwide
as well as around head office and business offices andcollect garbage and remove weeds from the area where
the Aeon Hometown Forests Program planted trees.
In April 2022, new employees conducted cleanup*Some exceptions apply

Heartful Community

Clean & Green Activities*Aeon Day: When changing our name from Jusco to Aeon in August 2001, we used theopportunity to establish Aeon Day, which takes place on the 11th of every month. Aeon Day
is set aside for all employees to engage in activities that contribute to the community, basedon the Aeon Corporate Commitment. The Aeon Happy Yellow Receipt Campaign is one
Aeon Day initiative.

with local foods. In this way, we are also helping tostimulate local communities and improve daily life
services.

Sustainable Planet

On the 11th of every month, also known as Aeon Day, we
conduct the Aeon Happy Yellow Receipt Campaign. Beginningin 2012, we extended our March campaign to three days tosupport the children of the three prefectures impacted by theGreat East Japan Earthquake. As of FY2021, total donations
to Iwate, Miyagi, and Fukushima Prefectures have amounted
to 1,091.33 million JPY over eleven years.
In March 2021, this initiative was changed to only the
Tohoku region, with 17,029,488 JPY
collected and donated to the threeprefectures in FY2021. This initiative
supports the future of the children who
will rebuild each region in Tohoku.

environment conservation efforts, promotion of tourism
and sports, preservation of cultural assets, and animal
welfare. As of the end of February 2022, we have issued
162 different cards*, which reflect distinctive regional
identities and include donation functions.

Aeon’s Sustainability

Supporting the Future of Children in Iwate,
Miyagi, and Fukushima Prefectures with the
Aeon Happy Yellow Receipt Campaign

activities at seven locations throughout Japansimultaneously, and through Clean & Green Activities,
they learned the importance of individuals volunteeringand contributing to the local community as corporate
citizens.

Employees at Aeon Ryukyu came up with this slogan, which
incorporates and reflects their heartfelt desire to continually
support the Shuri Castle, a source of local pride.

AEON REPORT 2022/Sustainability Edition

62

Heartful Community

Working to Recreate Tohoku 10 Years Afterthe Great East Japan Earthquake
Fundraising Activities (FY2021)
Activity Period

Number ofparticipating
stores andlocations

Donations from
customers andemployees
nationwide (JPY)

Aeon 1% Club
donations (JPY)

Donations through Support funds
Topvalu products from Aeon Group(JPY)
companies (JPY)

Total (JPY)

DoneesApril 10 to
May 9, 2021

8,944

19,805,578

10,803,793

9,001,785–

39,611,156

Japan Committee for
UNICEF24-hour television 44
fundraising

July 16 toAugust 29, 2021

9,837

175,221,327

–

–

–

175,221,327

24-Hour Television
Charity Committee

6,231

35,873,606

–

–

–

35,873,606

Okinawa Churashima
Foundation– 100,000,000*1––

100,000,000 Okinawa Prefecture––

DonationsNovember 1 tofrom stores
November 30, 2021
Shuri
and online
CastleRestoration Donations fromFund
the Aeon Shuri
October 23 in 2021
Castle Restoration
SupportNational Children's
Cafeteria Support
Fundraising*2

Fundraising for supportof people with disabilities
in Asia–

July 3 toAugust 1, 2021

4,650

21,161,329–

64,447,607
7,387

43,092,348––

193,930January 11 to
February 10, 2022

7,185

25,071,480

25,071,480––

320,225,668

135,875,273

9,001,785

193,930

Total

Association for Aid
50,142,960 and Relief, Japan (AAR
Japan)
465,296,656

October 1 to December 31, 2021

Cumulative total (JPY)4,370,719

358,560,035

mobile retail vehicle that visits 13 locations in the Futaba
and Namie region to support residents with shopping andfoster peace of mind among both residents set to returnhome to the two towns and those who intend to relocate
to those areas. A hydrogen-powered fuel cell mobile
retail vehicle developed and sold by Toyota is being used
for the project. Hydrogen generated at the Fukushima
Hydrogen Energy Research Field, which was opened in
Namie Town in 2020, will be used to refill the vehicle at ahydrogen station set up at the Namie Town Hall adjacentto the Aeon Namie store. Hydrogen-powered fuel cellvehicles make very little noise and do not emit exhaustgas, allowing residents to shop with peace of mind.

DoneesCentral Community Chest ofJapan

Emergency Relief Fundraising Activities
Activity

Atami landslide emergency
relief (Shizuoka Prefecture,
limited to online donations)

Number oflocations

Donations fromAEON 1% Club
customers and employees
donations (JPY)nationwide (JPY)

April 29 to June30, 2021

4,668

37,537,516

37,527,596

July 6 to 15,
2021

286

5,382,674–

July 16 toAugust 31,
2021

Support funds
from Aeon Group
companies (JPY)

155,918

3,000,000
484

4,511,806

Total(JPY)

DoneesHokkaido, Miyagi, Gunma,
Saitama, Saitama City,
Ibaraki, Chiba, Chiba City,
Kanagawa, Yokohama City,
Tokyo, Aichi, Nagoya City,
75,221,030 Gifu, Mie, Nara, Shiga,
Ishikawa, Kyoto, Kyoto City,
Osaka, Wakayama, Hyogo,
Kobe City, Okayama,
Hiroshima, Ehime, Fukuoka,
Okinawa

12,894,480 Atami City–

Support Funds

Restoration andreconstruction funds for
Fukushima Prefecture
Funds for COVID-19 vaccine

63

Activity period

Support funds
from Aeon (JPY)

AEON 1% Club
donations (JPY)

Support funds from
Aeon Group companies(JPY)

March 24, 2021

50,000,000

50,000,000–

June 21, 2021

100,000,000

70,000,000

180,000,000

AEON REPORT 2022/Sustainability Edition

Total (JPY)

Donees100,000,000 Fukushima Prefecture
Governments of ASEAN nations
350,000,000 (Malaysia, Vietnam, Indonesia, Thailand,
and Cambodia)

This mobile retail vehicle sells around 500 items, including perishables, side dishes, frozen foods and daily
essentials. Customers are asked directly what foods they would like included, and these foods are then added to
the lineup wherever possible.

From Disaster-Stricken to an Advanced Model Town Utilizing New Energy
Namie Town (Fukushima Prefecture) issued a Zero Carbon
City Declaration in March 2020. An associated project
revolves around a future vision of becoming a “hydrogentown” that makes efficient use of hydrogen generated
at the Fukushima Hydrogen Energy Research Field. By
using the town to showcase the potential of hydrogen,it hopes to contribute to the realization of a hydrogenbased society. The town has already purchased three fuelcell vehicles for official use and 80 that can be leased
by local businesses. In addition to building hydrogenstations, Namie plans to introduce portable hydrogen
cylinders for residential use. Events and workshops areheld regularly to deepen the understanding of hydrogenamong local citizens and children. Details of the projectand its progress are being released to the public in Japanand abroad.
The hydrogen-powered fuel cell vehicle, based at
the Aeon Namie store that started operation in June
2022, is a symbol of the town’s efforts. Food can now bedelivered to places residents have returned to and areas

people are planning to return to in the future. This is allon the back of clean energy produced in Namie, which isproviding much-needed assistance and encouragement
to residents. We are extremely grateful that Aeon has
continued to deliver relief supplies over such a long
period to local citizens scattered by sudden evacuation
orders following the Great East Japan Earthquake. We
will also never forget that Aeon built a new store here
in response to our request. While the road to recovery is
long, we trust that you will remain a committed partnerand continue to collaborate on initiatives that will lead us
into the future.

Data Section

Activity

Aeon Namie store

Initiatives of Public Interest
Incorporated Foundations

COVID-19 Medical
Professional Support Fund
(Areas where a state of
emergency has been
declared and priority
measures to prevent the
spread of disease have been
issued)Activity period

Healthy & Empowered People

Red Feather Community
Chest

Funds raised from customers
and employees (JPY)

Aeon Tohoku signed a Basic Agreement for the
Establishment of a Mobile Retail Business that Uses a Fuel
Cell Vehicle in Specified Reconstruction and Revitalization
Bases with Futaba Town, Namie Town, and Toyota Motor
Corporation (“Toyota”) in May 2022. Then in June, Aeon
Tohoku launched a mobile retail business using the world’s
first* hydrogen-powered fuel cell mobile retail vehicle.
Around three years have passed since the Aeon
Namie store opened in July 2019, and while the areaaround the store is gradually starting to flourish again,reconstruction is taking a little longer in more remoteareas. For this reason, the Aeon Namie store operates aContinuous Fundraising Activities
Activity period

Started Mobile Retail Business via a Hydrogen Vehicle to Support the Reconstruction of Futaba Town
and Namie Town and the Daily Life of Returnees*According to research carried out by Toyota in April 2022

*1 The Aeon Shuri Castle Restoration Support Project was launched in November 2019 and plans to donate 500 million JPY to Okinawa Prefecture over 5 years.
*2 In December 2020, Aeon and NPO All-Japan Children Cafeteria Support Center MUSUBIE founded the Aeon Children Cafeteria Cheering Club.

Activity

Working with the community towards Restoration Support that Gives Rise to Community, as a lifestylebusiness in close contact with the community, Aeon stays highly involved in the areas affected by theGreat East Japan Earthquake and support each step of restoration, reconstruction, and recreation.

Heartful Community

December 4, 2021,
to January 10,
2022

Musubie, Certified NPO
National Children‘s
Cafeteria Support
Center

RECREATING TOHOKU

Sustainable Planet

Aeon and UNICEF Safe
Water Campaign Fund

Aeon’s Sustainability

Activity

Naka Shimizu
Head of Industry Promotion
Namie Town Hall

Aeon will continue to support Namie Town with amobile retail vehicle that visits housing prepared forpeople planning to return to the area (seen here outside
Namie Town Hall’s Tsushima branch, which resumed
operations in April 2022).
AEON REPORT 2022/Sustainability Edition

64

Heartful Community

Activities to Expand the Range of Tohoku’s Restoration

Volunteer Activities Conducted by Each Group Company

programs. In addition to these activities, Aeon People(officers and employees) have been volunteering underthe Aeon Future Co-creation Program since FY2016,
which aims to support the resolution of community
issues through exchange based on an understanding thatthe sustainable recovery of local communities is a social
challenge facing the disaster-stricken Tohoku region.
Based on our experience in the Great East Japan
Earthquake, we will continue our support activities as amember of the local community to fulfill our mission as aretailer that is a lifeline in times of disaster.

up with ideas voluntarily and independently. EachGroup company has assigned an individual in chargeof the activities. The project is ongoing and focuses on
strengthening ties with the local community.

■ Volunteer activities: 2012 to February 28, 2022

No. of companies assisted: 521 (approximately 1,200 projects)
No. of Aeon volunteers: 414,515

Sustainable Planet

In March 2012, one year after the Great East Japan
Earthquake struck, Aeon started activities under
Project Aeon Joining Hands to assist with recovery andreconstruction in disaster-affected areas.
Aeon has undertaken ongoing support and relief
efforts over the past ten years to FY2021 under
the project, including instituting the Aeon Tohoku
Reconstruction Hometown Forests Program to restore
greenery to disaster-afflicted areas and dispatching
volunteers to the region. Aeon Group companies andlabor and management have also developed uniqueAeon started a program to promote continued support
for the reconstruction and revitalization of disasteraffected areas in Tohoku from afar, with an emphasis on
Group companies and labor and management coming

Aeon’s Sustainability

Aeon completes a decade of initiatives under Project Aeon Joining Hands to realize its
goals for reconstruction following the Great East Japan Earthquake of 2011

Project Aeon Joining Hands
Purpose of Supporting Recovery and Project Vision

Based on the three principles of Aeon,“Peace,” “People,” and “Community”,
Aeon People are committed to utilizing
the diverse resources made available
through Aeon business activities,
exercising their creativity, and taking
the initiative in contributing to therecovery of the areas affected by theGreat East Japan Earthquake.

We are supporting the sustainable recovery of local
communities in which people and industry coexist
with nature and where individuals feel connected andare thinking objectively about what we want to do
and what we are can do to achieve our goals. We willcontinue to contribute by being creative, engaging
in activities, and working alongside people living indisaster-stricken areas who are standing up to rebuild
their communities.

Deployment of Volunteers to Disaster-Afflicted Areas

The Aeon Tohoku Reconstruction Hometown Forests
Program was started by Aeon’s The Big Shiogama store
in March 2012 to restore greenery to areas devastated by
the 2011 tsunami. The target of planting 300,000 trees
was reached with a tree-planting ceremony in Arahama,Sendai, in March 2019. A total of 319,897 trees have beenplanted as of the end of February 2022.

Many Aeon volunteers have been deployed to disasterafflicted areas to experience life and work there.
Employees took part in volunteer activities in RikuzenTakada City, Iwate Prefecture, in FY2012 and Minamisoma
City, Fukushima Prefecture, in FY2013. The experience
allowed them to interact with the local community andconfront the problems faced in the disaster zone.

Tree-planting achievements: 2012 to February 28, 2022

■ Aeon volunteers in disaster-afflicted areas: 2012 to February

Miyagi
Fukushima
Iwate
Total

No. of tree-planting events

No. of trees planted

64
24
22
110

210,081
78,70531,087
319,897

Aeon Future Co-creation Program
In 2016, Aeon launched the Aeon Future Co-creation
Program, which aims to support the resolution ofcommunity issues through exchange based on anunderstanding that the sustainable recovery of local
communities is a social challenge facing the disasterstricken Tohoku region. Under the program, Aeon Group
companies have teamed up with people from the disasteraffected areas* to conduct different support activities.

Making unrefined sake in Komedori, Tono City, Iwate Prefecture*Volunteers were not deployed in FY2020 to FY2021 due to COVID-19.

AEON REPORT 2022/Sustainability Edition

1. Kamaishi City, Iwate
Prefecture

Support for planting and nurturing grape
seedlings and production and sale of Kamaichiwine

2. Otsuchi Town, Iwate
Prefecture

Support for watercress cultivation using
abandoned farmland and its sale

3. Komedori, Tono City,
Iwate Prefecture

Support for the production and sale of ricefor unrefined sake and Iitate white-skinned
pumpkin, and an outdoor challenge in Tono

4. Oshima, Kesennuma
City, Miyagi Prefecture

Support for the harvest and sale of yuzu (acitrus fruit), the cultivation and harvest ofcamellia, and the sale of camellia oil

5. Marumori Town,
Miyagi Prefecture

Support for harvesting and making driedpersimmons and for utilization of bamboo
shoots6. Minamisanriku Town,
Miyagi Prefecture

Support for utilization of FSC*-certified woodand woodworking experience

7. Namie Town,
Fukushima Prefecture

Fundraising and participation in the Tokaichi
Festival and local events

8. Odaka, Minamisoma
City, Fukushima
Prefecture

Help with lunch for high school students,
participation in the Light Fantasy Illumination
festival, support for planting, processing, andselling chili peppers, and planting cherry tree
saplings

9. Kagamiishi Town,
Fukushima Prefecture

Support for Kagamiishi peach farming andincreasing sales of peach-flavored sweets
for high school students and “Bokujo
no Shizuku”, a specially cultivated rice
(Conducted in Okinawa Prefecture)

Volunteer activity to harvest and peel
persimmon in Marumori Town, Miyagi
Prefecture (November 2019)10-11. Hirono Town andIwaki City, Fukushima
Prefecture

Support for making diplomas with banana
paper made from Tono “washi” (Japanese)
paper and Hazard Analysis Critical Control
Point (HACCP) lessons for high school students

Data Section

Volunteer activity to remove rubble in thedisaster-affected area of Minamisoma City,
Fukushima Prefecture (July 2013)

65

Main activity

Supporting the utilization of FSC*-certified wood and woodworking
experience in Minamisanriku, Miyagi Prefecture

No. of trees planted: 13,000 (Japanese black pine, hardwood)Land as of May 2022

Area

*Eleven regions in Iwate, Miyagi, and Fukushima prefectures

28, 2022
No. of deployments: 123
No. of Aeon volunteers: 4,112■ Tree-planting in Watari, Miyagi Prefecture

Land in October 2017

■ Volunteer activities: 2016 to February 28, 2022

Initiatives of Public Interest
Incorporated Foundations

Aeon Tohoku Reconstruction Hometown Forests Program

Aeon Financial Service Co., Ltd. (FY2018)

Healthy & Empowered People

10 Years of Project Aeon Joining Hands

Sunflower presentation ceremony by Aeon Town Co., Ltd. (FY2018)

Heartful Community

Basic Concept

High school lunch planning in Odaka District, Minamisoma City,
Fukushima Prefecture
AEON REPORT 2022/Sustainability Edition

66

Heartful Community

Providing Disaster Prevention and a Lifeline in Times of Disaster
infrastructures and equipment, and conducts training that will help community members in the event of an emergency.

Basic Approach to Risk Management
Aeon strives for transparent and disciplined management
by seeking proactive dialogue with customers and otherstakeholders, taking their evaluations seriously, andbeing self-disciplined at all times. Additionally, we regard
risk management as a management priority that is the
responsibility of each department. Accordingly, theGroup companies and departments handle day-to-day
risk management, while Risk Management Department
and other departments throughout the Group monitor
the status of risk management at each department.
The Risk Management Committee, which reports to
the Aeon Management Committee, reviews and makes
decisions regarding external risk factors, such as new
infectious diseases and large-scale earthquakes, whichcannot be addressed by individual companies, and risks
embedded in products, facilities, and services throughout
the entire Aeon Group. We anticipate, predict, andpreclude risks with the potential for particularly grave
impact by assembling interdivisional task forces.
Moreover, Aeon’s organizational response to eliminate
the influence of antisocial forces includes in-house
regulations and close cooperation with law enforcement
agencies.

Training anddrills to improvebusiness continuity

Response to Natural Disasters and Major
Incidents and Accidents

We have formulated plans to enhance safety and security measures at ourfacilities. We have completed installations at 65 locations since the launchof the program in 2012, with installations at four new locations added in
FY2021. We will continue to establish installations at more locations.

Cooperation
with externalorganizations

Aeon’s BCP

Facilities

Improved measures
for facility safety
and security(Business
Continuity Plan)

Training
anddrills

Products
andlogistics

Registrant
Registration number
Certification standard
Certifying institution
Accrediting institution
Date of registration

Operation and management of the following Aeon Group companies(1) Group crisis management (2) shopping centers (3) stores and supermarkets (4) general merchandise retail (5) drugstores (6) convenience
stores (7) management and operation of logistics centers, logistics operations, and collection and processing of logistics information

Enhanced supply
chainsMall Sakaiteppocho•Welcia Yakkyoku Co., Ltd.
•Aeon
General Affairs Department, Aeon Co., Ltd. •Aeon Mall Iwaki Onahama
Aeon Mall Sakaiteppocho operated by Aeon Mall Co., Ltd.
•Group
Aeon
Komaki
CrisisManagement
Center,
Aeon
Co.,
Ltd.
Aeon
Mall
Iwaki
Onahamaoperated
by
Aeon
Mall
Co.,
Ltd.
Aeon
Style
Sakaiteppocho operated by Aeon Retail Co., Ltd.
•Aeon Mall Makuhari New City
Style Iwaki Onahama operated by Aeon
Sakaiteppocho Center operated by Aeon Delight Co., Ltd.
•Aeon Mall Makuhari New City operated by Aeon Aeon
Retail Co., Ltd.
Shingu Store•Aeon
Mall Co., Ltd.
Iwaki Onahama Center operated by Aeon Delight Co., Ltd.
Aeon Shingu Store operated by Aeon Retail Co., Ltd.
Aeon Style Makuhari New City operated by Aeon
Midorino Ekimae Store
Shingu Center operated by Aeon Delight Co., Ltd.
•KasumiRetail Co., Ltd.
Kasumi Midorino Ekimae Store operated by Kasumi Co., Ltd. •Aeon Mall Kobe Minami
Center Number One, Aeon Mall Makuhari New
Aeon Tower Store
Aeon Mall Kobe Minami operated by Aeon Mall Co., Ltd.
•Ministop
City operated by Aeon Delight Co., Ltd.
Ministop Aeon Tower Store operated by Ministop Co., Ltd.
Aeon Style Kobe Minami operated by Aeon Retail Co., Ltd.
Aeon
Inage
Store
Ministop
Aeon
Tower
Annex
Store
Kobe Minami Center operated by Aeon Delight Co., Ltd.
•Aeon Inage Store operated by Aeon Retail Co., Ltd. •Ministop Aeon Tower Annex Store operated by
Aeon
Style Sumoto•
Ministop Co., Ltd.
Aeon Inage Center operated by Aeon Delight Co., Ltd.
Aeon Style Sumoto operated by Aeon Retail Co., Ltd.
Mall Tomakomai
Narashinodai Store
Awaji Area Center operated by Aeon Delight Co., Ltd.
•Aeon
•Maxvalu
Aeon Mall Tomakomai operated by Aeon
Maxvalu Narashinodai Store operated by Maxvalu •Aeon Ujina Store
Hokkaido Corporation
Kanto Co., Ltd
Aeon Ujina Store operated by Aeon Retail Co., Ltd.
Tomakomai Center Aeon Mall Tomakomai
Maruetsu Shin Kojiya Store
Aeon Ujina Center operated by Aeon Delight Co., Ltd.
•
operated by Aeon Delight Co., Ltd.
Maruetsu Shin Kojiya Store operated by The Maruetsu, Inc. •Aeon Ebetsu Store
Maxvalu
Numanohata
Store
Aeon
Mall
Matsumoto
Ebetsu Store operated by Aeon Hokkaido Co., Ltd.
•Maxvalu Numanohata Store operated by Aeon •Aeon Mall Matsumoto operated by Aeon Mall Co., Ltd. Aeon
Ishikari Area Center operated by Aeon Delight Co., Ltd.
Hokkaido Corporation
Aeon Style Matsumoto operated by Aeon Retail Co., Ltd. •The Big Ebetsu Store
Mall Tendo
Matsumoto Center operated by Aeon Delight Co., Ltd.
The Big Ebetsu operated by Aeon Hokkaido Co., Ltd.
•Aeon
Aeon Mall Tendo operated by Aeon Mall Co., Ltd. •Aeon Style Higashikanagawa
Aeon Global SCM Co., Ltd.
•
Aeon Style Higashikanagawa operated by Aeon
Aeon Style Tendo operated by AEON Tohoku Co., Ltd.
Sakudaira Store•Aeon
Retail Co., Ltd.
Yamagata Area Center operated by Aeon Delight Co., Ltd.
Aeon Sakudaira Store operated by Aeon Retail Co., Ltd.

Related business facilities

1.Information System (Information infrastructure upgrades)
We have upgraded our information infrastructure to better prepare allGroup companies for possible disasters. We have further strengthened
collaboration among Group companies by switching to a new Total
BCM Aggregation System that centralizes disaster-related informationsuch as disaster information, safety confirmation results, and thestatus of stores afflicted by disasters.

2.Facilities (Improved measures for facility safety and security)

3.Products and Logistics (Enhanced supply chains)

4.Training and Drills (Training and drills to improve business continuity)
Aeon periodically conducts disaster prevention and safety drills
throughout the Group. We conduct information-gathering drills
and training at stores and business offices to ascertain the status ofdisaster-stricken areas and improve our present business continuity
capabilities to protect our customers and employees from risk. We will
also continue to conduct drills to improve our ability to respond to andcope with natural disasters other than earthquakes, such as floods.

Higashikanagawa Center operated by Aeon

Aeon Mall Tendo

Scope ofregisteredactivities

Delight Co., Ltd.
Tendo Store•Maxvalu
Maxvalu Tendo Store operated by Aeon Tohoku Co., Ltd. •Aeon Sagamihara Shopping Center
Omiya Store
Aeon Sagamihara Shopping Center operated by•Aeon
Aeon Mall Co., Ltd.
Aeon Omiya Store operated by Aeon Retail Co., Ltd.
Omiya Center operated by Aeon Delight Co., Ltd.

Nagaizumi Nakatogari Store•Maxvalu
Maxvalu Nagaizumi Nakatogari Store operated by

•
•
•
•

5.Cooperation with External Organizations (Greater, more
systematic collaboration with external organizations)•

We are continually reinforcing our relations with external partners
rooted in each community from local government offices, hospitals,
and schools to private enterprises, in addition to our relations withenergy companies, which are indispensable for business continuity
should a disaster occur.

•
•

•
•
•
•
•
•

Toushin Area Center Area Center operated byAeon Delight Co., Ltd.
Aeon Mall Shinkomatsu
Aeon Mall Shinkomatsu operated by Aeon Mall Co., Ltd.
Aeon Style Shinkomatsu operated by Aeon Retail Co., Ltd.
Shinkomatsu Center operated by Aeon Delight Co., Ltd.
Maxvalu Masuizumi Store
Maxvalu Masuizumi Store operated by Maxvalu
Hokuriku Co., Ltd.
Aeon Mall Kochi
Aeon Mall Kochi operated by Aeon Mall Co., Ltd.
Aeon Style Kochi operated by Aeon Retail Co., Ltd.
Aeon Kochi Center operated by Aeon Delight Co., Ltd.
Aeon Mall Miyazaki
Aeon Mall Miyazaki operated by Aeon Mall Co., Ltd.
Aeon Miyazaki Store operated by Aeon Kyushu Co., Ltd.
Miyazaki Center operated by Aeon Delight Co., Ltd.
Maxvalu Ukinojo Store
Maxvalu Ukinojo Store operated by Maxvalu
Kyushu Co., Ltd.
Marunaka Uno Store
Marunaka Uno Store operated by Maxvalu
Nishinihon Co., Ltd.
Marunaka Ikku Store
Marunaka Ikku Store operated by Maxvalu
Nishinihon Co., Ltd.
Marunaka Supercenter Tokushima Store
Marunaka Supercenter Tokushima Store operatedby Maxvalu Nishinihon Co., Ltd.

•
•

•
•

•
•
•
•

Data Section

Maxvalu Tokai Co., Ltd.
Aeon Komaki Store
Aeon Komaki Store operated by Aeon Retail Co., Ltd.
Aeon Komaki Center operated by Aeon Delight Co., Ltd.
Maxvalu Komaki-Ekinishi Store
Maxvalu Komaki-Ekinishi Store operated by
Maxvalu Tokai Co., Ltd.
Aeon Mall Kyoto Katsuragawa
Aeon Mall Kyoto Katsuragawa operated by Aeon
Mall Co., Ltd.
Aeon Style Kyoto Katsuragawa operated by Aeon
Retail Co., Ltd.
Aeon Mall Kyoto Katsuragawa Center operated
by Aeon Delight Co., Ltd.
Aeon Mall Okayama
Aeon Mall Okayama operated by Aeon Mall Co., Ltd.
Aeon Style Okayama operated by Aeon Retail Co., Ltd.
Aeon Mall Okayama Center operated by Aeon
Delight Co., Ltd.
The Big Kurashiki Store
The Big Kurashiki Store operated by Maxvalu
Nishinihon Co., Ltd.
Aeon Fukuoka Store
Aeon Fukuoka Store operated by Aeon Kyushu Co., Ltd.
Fukuoka Area Center operated by Aeon Delight Co., Ltd.
Maxvalu Mikasagawa Store
Maxvalu Mikasagawa Store operated by Aeon
Kyushu Co., Ltd.

Aeon Sagamihara Store operated by Aeon Retail Co., Ltd.
Sagamihara Center operated by Aeon Delight Co., Ltd.
Aeon Mall Ibaraki
Aeon Mall Ibaraki operated by Aeon Mall Co., Ltd.
Aeon Style Ibaraki operated by Aeon Retail Co., Ltd.
Ibaraki Center operated by Aeon Delight Co., Ltd.
Aeon Mall Osaka Dome City
Aeon Mall Osaka Dome City operated by Aeon
Mall Co., Ltd.
Aeon Mall Osaka Dome City Store operated byAeon Retail Co., Ltd.
Aeon Mall Osaka Dome City Center operated byAeon Delight Co., Ltd.
Aeon Mall Tokushima
Aeon Mall Tokushima operated by Aeon Mall Co., Ltd.
Aeon Style Tokushima operated by Aeon Retail Co., Ltd.
Aeon Mall Tokushima Center operated by Aeon
Delight Co., Ltd.
Aeon Mall Kisarazu
Aeon Mall Kisarazu operated by Aeon Mall Co., Ltd.
Aeon Style Kisarazu operated by Aeon Retail Co., Ltd.
Aeon Mall Kisarazu Center operated by Aeon
Delight Co., Ltd.
Aeon Mall Nagoyajaya
Aeon Mall Nagoyajaya operated by Aeon Mall Co., Ltd.
Aeon Style Nagoyajaya operated by Aeon Retail Co., Ltd.
Nagoyajaya Center operated by Aeon Delight Co., Ltd.
Aeon Mall Tsunami
Aeon Mall Tsunami operated by Aeon Mall Co., Ltd.
Aeon Style Tsunami operated by Aeon Retail Co., Ltd.
Tsunami Center operated by Aeon Delight Co., Ltd.

Sakudaira Center operated by Aeon Delight Co., Ltd.

Style Ueda
•Aeon
Aeon Style Ueda operated by Aeon Retail Co., Ltd.

Initiatives of Public Interest
Incorporated Foundations

In March 2016, we launched a new system to be used during disasters
through cooperation with approximately 60 companies, such as food
manufacturers and daily necessities. We use the BCP Portal, whichconnects with our partners through cloud computing, to visualize
information between each Group company and our partners andconduct centralized management of information such as plants,
warehouses, and products ready for shipment.

Aeon Co., Ltd
JQA-BC0031
ISO 22301 : 2019/JIS Q 22301 : 2020
Japan Quality Assurance Organization
Japan Institute for Promotion of Digital Economy and Community
February 20, 2017

Healthy & Empowered People

AEON REPORT 2022/Sustainability Edition

Information
systems
Greater, more
systematic
collaboration
with externalorganizations

Overview of Certification
Information
infrastructure
upgradesHeartful Community*1 BCP: Business Continuity Plan
A strategic business plan to prevent business interruptions or allow key operations
to resume within a targeted time frame in the event of disruptions caused by risks
including natural disasters.

Five Focus Areas of the Aeon BCM Project

Sustainable Planet

Aeon has created rules and procedural manuals to
respond to large-scale natural disasters and major
incidents and accidents, as well as providing educationand training to ensure swift and accurate responses.
Since the Great East Japan Earthquake, we have also
introduced disaster prevention measures in each regionin Japan, including areas affected by the disaster, basedon a Business Continuity Plan(BCP)*1.
Hypothetical risks have become more diverse in recent
years, ranging from more frequent natural disasters,such as earthquakes and torrential rain due to abnormal
weather, to terrorist attacks and bombings.
In light of these environmental changes, Aeon has
formulated its Aeon Group Five-Year Business Continuity
Management(BCM)*2 Plan to build a management
framework that can enhance the performance of the
BCP. To execute this plan, we launched the Aeon BCM
Project in March 2016.
Aeon is working toward establishing an operationalframework by promoting BCM in five areas:
1)information systems; 2)facilities; 3) products andlogistics; 4)training and drills; and 5)cooperation withexternal organizations.

67*2 BCM: Business Continuity Management
A comprehensive management process that involves a set of policies for addressing
issues relevant to the steady implementation of the BCP. BCM compares progressversus plan to manage initiatives such as the switch to new systems or efficienttransportation of supplies to afflicted areas.

In February 2017, Aeon Co., Ltd. became the first company
in Japan’s general merchandise retail industry to acquirecertification for its business continuity management system(BCMS) under the international ISO 22301 standard. Thisinitiative encompassed the head office and stores.
Activities related to business continuity management (BCM)
are implemented in close connection with management. A
framework is being established and put into practice to ensurethat the BCP activities are implemented efficiently and effectively.
The scope of registered activities under ISO 22301
encompasses the Group’s crisis management operations at
the time of registration, operation, and management of the
shopping center at Aeon Mall Makuhari New City, the GMS
Business, and integrated facilities management services.
As of February 28, 2022, 16 companies and 99 stores and offices
were included in the registration, having expanded the scopeof the activities to shopping centers, supermarkets, drugstores,
convenience stores, and the management of logistics centers.

Aeon’s Sustainability

Aeon prepares for large-scale natural disasters and major incidents, fortifies safety and security measures within information

Acquisition of ISO 22301*Company name at the end of February 2022

AEON REPORT 2022/Sustainability Edition

68

Heartful Community

Maintaining Emergency Support Measures and Lifeline Functions

Number of temporary local shelters

2015

2016

2018

2019

2020

69

Established at seven stores, including existing stores and suchnew stores as Aeon Mall Shin-Komatsu and Aeon Mall Tokushima,bringing the cumulative total to 40 stores
Established at eleven stores, including existing stores and such newstores as Aeon Mall Zama, The Outlets Hiroshima, and Aeon Mall
Iwaki-Onahama, bringing the cumulative total to 51 stores
Established at seven stores, including existing stores and such newstores as Aeon Style Okayama Aoe, and Aeon Ujina, bringing the
cumulative total to 58 stores

Established at three stores, Aeon Mall Takaoka, Aeon Mall Kochi,
and Aeon Mall Ageo, bringing the cumulative total to 61 stores

Established at four stores, namely Aeon Mall Shinrifu,
Aeon Mall Hakusan, Aeon Mall Kawaguchi, andAeon Mall Nagoya Noritake Garden, bringing the
cumulative total to 65 stores

AEON REPORT 2022/Sustainability Edition

As an operator of commercial facilities used by a large
number of customers, we take measures and conduct
drills to rapidly ensure the safety of customers andpersonnel in the event of a disaster.
In FY2021, we conducted initial response training,which covers discovery, notification, initial fire
extinguishing, and evacuation guidance at 142 shopping
centers nationwide.

Main areas of cooperation·Share emergency contact points with each other, regularly
exchange opinions, and inspect disaster prevention drills in normal
times·Provide relief supplies and premises and secure thecommunications necessary for activities as designated public
institutions in the event of a disaster·Conduct business continuity management (BCM) to maintain acommunication network in preparation for a disaster

At Aeon stores, safety and disaster preparedness
measures are checked daily, in addition to final
inspections conducted by security staff and store
managers after stores are closed.
Fire prevention drills have been conducted twice ayear, and earthquake response drills run once a year.
Following the Great East Japan Earthquake that struck in
March 2011, however, we decided to increase the numberof earthquake response drills to twice per year from2012. We strive to make these drills as realistic as possible
by devising scenarios based on various possible disasters.
Store employees and tenant employees participate in
the drills. They are conducted to help us provide timely
responses and ensure the safety of customers in the eventof a fire or earthquake.

Aeon has continued to conduct large-scale disasterprevention drills that assume a major earthquake or tsunami
and actively promote initiatives to prepare for business
continuity. Under the Aeon Business Continuity Management
Project, efforts are consistently being made in five key areas:
Infrastructure information upgrades, improved measures forfacility safety and security, enhanced supply chains, training
and drills to improve business continuity, and greater, more
systematic collaboration with external organizations.
In the event of a disaster, Docomo takes steps to ensure
the early recovery of important telecommunications andprovide means of communication to evacuation centersand other affected areas, in addition to cooperating with thedispatch of personnel to affected municipalities to enableswift recovery. Docomo also strives to ensure safety andsecurity by rapidly providing a service to confirm the safetyof people in a disaster, such as through an emergency
message board.
While aiming to further contribute to the local
community, we will continue to fulfill our social responsibility
as a lifeline that protects the lives of local customers.

Concluding Disaster Prevention Agreements
We expect our store personnel to act as members of local
communities at all times, and this expectation extends todisasters. To help residents in the event of a disaster, weare concluding disaster prevention agreements pledging
cooperation with and support for municipal authorities
nationwide.
We have concluded 1,050 disaster prevention
agreements with 750 municipal authorities and privatecompanies as of the end of February 2022. Under theFire Prevention Drills at Stores

Introducing Balloon Shelters
Aeon is deploying a large emergency evacuation tent"balloon shelter" that can be used as an evacuation spacefor disaster victims in the event of an earthquake. As ofthe end of February 2022, we have deployed "balloon
shelters" at 29 locations, mainly in shopping centers
nationwide.
The tents are lightweight and easy to carry, allowing
them to be stored close by and brought to locations
affected by disasters.

Groupwide Disaster Prevention and Safety Drills
Taking lessons from the experience of the Chuetsu
Earthquake Aeon has been conducting earthquake
disaster drills since 2005 to quickly ensure the safety of
its customers and employees in the event of a large-scaledisaster.
In March 2014, we established the Aeon Komaki Crisis
Management Center based at the Aeon Komaki Store(Komaki, Aichi Prefecture) to prepare for the possibilityof Aeon’s head office in Makuhari being affected by adisaster in line with our business continuity plan (BCP)
assuming a large earthquake directly beneath theTokyo Metropolitan Area. The Center is responsible forcollecting information on the damage inflicted by anearthquake as quickly as possible and making initial
responses until an emergency headquarters is up andrunning. As part of the earthquake response drills, theCenter simulates carrying out duties as an alternative
emergency headquarters.
In June 2021, we conducted a disaster prevention andsafety drill assuming an earthquake directly beneath theTokyo Metropolitan Area based on the supposition that

Balloon Shelter
Balloon shelters can be easily inflated with a special blower and are ready for use inaround 40 minutes. Each set comes with one tent, which can accommodate nearly 50
people lying down.

Proposing Rolling Stock
We call on customers to make preparations that can becontinually practiced in their daily lives to the extent
possible to achieve even the slightest reductions indamage in the event of a disaster.
Since it is said that a food stockpile lasting anywherefrom a minimum of three days up to a week is required
for an at-home evacuation scenario immediately
following a disaster, Aeon proposes rolling stock using
Topvalu. In times of emergency, customers can use theitems they stock up on in their daily shopping througha cycle of regularly buying and keeping extras of items
they consume and always making additional purchases ofwhat they have eaten.

AEON REPORT 2022/Sustainability Edition

Data Section

2021
Results

Established at six stores, including existing stores and such newstores as Aeon Mall Sakaiteppocho and Aeon Sumoto, bringing the
cumulative total to 33 stores

In January 2022, Aeon Co., Ltd. and NTT Docomo Inc.
signed an agreement to promote smooth cooperation in adisaster to maximize recovery efforts in disaster-affectedareas and regions.
Under the agreement, both companies will share
emergency contact points during normal times and in theevent of a disaster, provide relief supplies and premises,
and secure the communications necessary for activities as
designated public institutions to establish communications
and enable the swift recovery and maintain the functionalityof store facilities in disaster-affected areas.

Initiatives of Public Interest
Incorporated Foundations

2017

Established at seven stores, including existing stores and such newstores as Aeon Mall Okinawa Rycom and Aeon Komaki, bringing

Disaster and Fire Prevention Measures

Healthy & Empowered People

FY2021 Results

Aeon and Docomo Sign Agreement Related
to Mutual Cooperation in Times of DisasterHeartful Community

Aeon’s private power generators

TOPICS

Sustainable Planet

The role of disaster-prevention facilities is to provide a
temporary refuge during times of disaster, to serve asa hub for rescue and first-aid activities, and to provide
access to daily essentials. Stores serving as temporary
local shelters are equipped with backup generators andsometimes water tanks to provide an emergency watersupply. To fulfill this role, we set up temporary local
shelters at four new stores, Aeon Mall Shinrifu, Aeon Mall
Hakusan, Aeon Mall Kawaguchi and Aeon Mall Nagoya
Noritake Garden, and other existing stores in FY2021. The
total number of Group stores with these facilities is 65 asof February 28, 2022, with more stores to follow.

there is a high probability of a large-scale earthquake
occurring in the near future.
In the drill, Hokkaido served as the alternative
emergency headquarters while other response centerswere set up at Group companies, including those in nonaffected areas, to make sure they could effectively liaise
with each other.
In November 2021, we conducted a disaster safety
and prevention drill simulating the response to a Nankai
Trough earthquake. This enabled us to clarify thedisaster-specific risks for each store and improve initial
response capabilities assuming a severe earthquake in
the Nankai Trough with a half-crack opening, which is inline with the new guidelines set forth by the Japanese
government.
Going forward, we will continue to conduct
drills that leverage the collective strengths of Group
companies while adjusting the parameters of our disaster
simulations to ensure swift response in an actual disaster.

Aeon’s Sustainability

Establishing Temporary Local Shelters

agreements, we will provide relief supplies and allow
the use of our parking lots as evacuation areas during
disasters. We are also stepping up collaboration on an
everyday basis with local communities in their disasterprevention efforts by conducting joint disaster prevention
drills with the parties to these agreements.

70

Heartful Community

TOPICSFor the Safety and Peace-of-Mind of Pet
Owners and their Pets in a Disaster
Aeon Pet Co., Ltd.’s management philosophy is to realize ahappy and symbiotic society between animals and humans
with a corporate mission of ensuring a safe, secure andjoyful life for both animals and their owners. The company
strives to promote awareness of the need for microchips inpets and encourages their use.

Safety measures for escalators

Establishing Parking Pole Lot Guardrails

Improving the Earthquake Resistance of Stores

Raising the Safety Levels of Store
Facilities and Fixtures
We work to enhance the safety of the facilities and fixtures
used in its stores to prevent accidents involving customers.

Installing Automated External Defibrillators (AEDs)
We are promoting the installation of AEDs at each of its
stores. These devices generate electric shock to resuscitate
people who have suffered sudden cardiopulmonary arrest.
In addition, we are providing emergency lifesaving training
for people responsible for sales areas and security staff.
In FY2021, installations reached 1,555 devices at 1,131
stores throughout the entire Aeon Group.

Crime Prevention Measures
There have been a number of incidents at supermarkets
over the past several years involving food products
containing needles or other dangerous objects. We havetherefore installed security cameras in food departments
and begun using needle detectors at its stores. If a needle
were discovered, it would be promptly delivered tothe police or healthcare center, and customers as well
as local stores of Group companies would be informed
through an in-store display or announcement to prevent
additional injury or damage.
We are also conducting crime prevention drills andliaising with police to ensure the safety of customers in
the event of an incident or accident at our store.

Aims of the protocol
The Act on Animal Welfare and Management revisedon June 1, 2022, stipulates that dogs and cats sold bybreeders and pet shops must be microchipped. It also
urges the cooperation of existing pet owners to get theiranimals microchipped.
The law was enacted to help reunite pets with theirowners if they go missing or in a disaster, which means
fewer unhappy dogs and cats. Aeon Pet endorses the spiritof the Act and supports the microchipping of as many dogs
and cats as possible by 2023.

Aeon will implement disease control measuresusing expert advice and the latest insights basedon scientific grounds.
All Aeon employees will work as one to implement
disease control measures.
Aeon will work together with its customers tobuild a disease control system.
Aeon will implement measures utilizing digitaltechnology to reduce contact points withcustomers and invest in facility changes to ensuresocial distancing.

*The microchip is a small electronic signer wrapped in a cylindrical glass capsulewith a diameter of about 2 millimeters and a length of about 8-12 millimeters.
The microchip stores a 15-digit number that links to the owner’s contact
information. A veterinarian uses a special syringe to implant it under the skin of
the animal.
A special reader is used to access the information on the implanted
microchip to identify the pet, making it possible to identify the owner by
matching the information that has been registered with a designatedorganization.

*The Prevention Protocol system was created under expert supervision to create unambiguous standards based on
scientific evidence and infection prevention measures based on the latest knowledge.
Kazuaki Miyagishima Aeon Co., Ltd. Advisor and former Director, Department of Food Safety and Zoonoses, World
Health Organization
Koji Wada Professor, Department of Public Health, Faculty of Medicine and Graduate School of Public Health,International University of Health and Welfare
Itsuko Horiguchi Professor, Department of Pharmacy, Faculty of Pharmaceutical Sciences, Tokyo University of Science
Shinichi Tanabe Professor, School of Creative Science and Engineering, Waseda University

Data Section*Our PM business consists of properties owned by other companies and managed by Aeon Mall.

Parking guardrail

Initiatives of Public Interest
Incorporated Foundations

Based on the extensive damage many of our store
buildings suffered during the Great East Japan
Earthquake, Aeon is moving forward with improving
the safety and earthquake resistance of its stores, giving
utmost priority to protecting people’s lives and thosestores in areas where a major earthquake with a seismic
intensity of at least upper 5 is expected to strike, in
accordance with its own set of standards that are evenstricter than those required by law.
Since the 2016 Kumamoto earthquake, we have
expanded the scope of our efforts to include all stores,
and in FY2021, Aeon Retail Co., Ltd. implemented safetyrelated construction work at four stores, including
Aeon Retail Store Co., Ltd. Further, Aeon Mall Co., Ltd.
completed improvements of smoke protection soffits at all
89 malls, which does not include properties in our property
management (PM) business*, by the end of FY2021.

Parking lot pole

Healthy & Empowered People

Aeon, which has shopping centers around Japan, has in
the past provided assistance when people were unable toreturn home.
Specifically, we provide water, restrooms,
information, and places to rest. We have established a
response system at stores and offices, where many people
would likely be unable to return home in an emergency.
We have also prepared a manual of countermeasures andconduct regular drills.

We continue to promote our epidemic prevention
measures for both the safety and security of customers
and to ensure that our specialty store partners can worksafely. In June 2020, we established the Aeon COVID-19
Disease Control Protocol to protect the safety andguarantee the lifestyles of local communities. Startingwith comprehensive health checks, it lists a variety of
infection control measures like the proper ventilationand disinfection of offices, splashing prevention, andmore. We thoroughly revised the protocol in November
2020 and April 201 under expert consultation to reflect
updated information based on the latest understandingof COVID-19.
We also actively promote the remote workstyle we
introduced in March of last year to reduce staff working
in our main office by 70% so that we can protect
employees from infection. In addition to those measures,
we also implement work styles aimed at changing
behavior patterns like sliding work hours and allocating
working days, asking our employees to avoid public
transportation when commuting, and advocating for
virtual meetings.
As further measures to protect the safety and securityof communities, we began offering shopping center
facilities and parking lots as vaccination sites in March
2021 so that local residents can rapidly and seamlessly
receive the COVID-19 vaccine. In June 2021, we began
administering vaccines in our offices to protect the safety
and security of communities and bring an early end
to the COVID-19 pandemic, and plan to systematically
expand this initiative throughout Japan.

Heartful Community

Measures to Assist People Who Have
Difficulty Returning Home

Accidents often occur in the parking lots of retailcomplexes from drivers mixing up the gas and brake
pedals. We have therefore established parking pole
guardrails at our parking lots to prevent cars fromcrashing into stores and ensure the safety of ourcustomers. As of the end of February 2020, Aeon Mall
Co., Ltd. has completed these improvements at all 58
stores. Further additional measures were implemented at
41 stores in 2021, with renovation work completed by theend of February 2022.

Promoting the Aeon COVID-19 Protocol
for infectious Disease Control

Sustainable Planet

Aeon released an emergency kit for
women with 23 items they may need ina disaster. The items come in a 26-liter
rucksack-type bag that includes an
emergency contact card and nameplate
where women can fill in necessary
information such as date of birth andblood type.

There has been an increasing number of accidents inrecent years involving children getting caught in the gap
between the escalator and walls of shopping centersand department stores. In response, Aeon stores work toprevent escalator-related incidents by setting up barriers
or dividers to prevent exposure to such gaps.
At our new stores, wehave reduced the speed ofdown escalators from 30
meters per minute to 20
meters per minute to prevent
falls by senior citizens.

TOPICS

Aeon’s Sustainability

Released Women-Friendly Emergency Kits
Designed by Female Employees

Safety Measures for Escalators

An introduction to Group initiatives based on
the Aeon COVID-19 Disease Control Protocol

URL

https://www.aeon.info/prevention_protocol/(Japanese only)

71

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition

72

Heartful Community

Aeon partnered with the NPO National Children’s
Cafeteria Support Center Musubie to launch the Aeon
Children’s Cafeteria Support Group in December 2020
because providing food to children can be a significant
challenge for households struggling financially due to thelingering effects of the COVID-19 pandemic.
Aeon, with stores nationwide and deep ties withlocal communities, conducts various support initiatives
together with customers that consider the food needs ofchildren in each region. These include holding events instore and calling for food drives.
In 2021, National Children’s Cafeteria Support
fundraisers were held twice (from July and December2021) at Aeon stores and offices throughout Japan. The
644,470,607 JPY that everyone so generously donated
was gifted to the National Children’s Cafeteria Support
Center Musubie, which it plans to use towards theMusubie Children’s Cafeteria Fund.
Going forward, we will continue working with thelocal community to create a future where all children cangrow up healthy in body and mind.
In addition to providing food support for children,
through the activities at Musubie’s national network ofchildren’s cafeterias, which also serve as hubs for local
interaction, we will continue building lively communities
filled with joy through common bonds where people
support one another.

assist the health and education of children in Asia. We help the next generation by providing a place where children can learnsocial rules and manners.

Aeon Cheers Club

Aeon 1% Club Foundation

The Aeon Cheers Club has been active in Malaysia since2012 and in China since 2014. In FY2021, Aeon Malaysia
had 797 children in 28 clubs and Aeon China had 2,314
children in 69 clubs joining activities. Fewer activities
were held due to the COVID-19 pandemic.

Children taking part in a hands-on program to draw a future surrounded by plants(Aeon Guangdong)Hands-on Farming Programs
Aeon Cheers Club has been offering its Aeon Cheers
Club Farmers’ Program since 2016 to allow children tocontinuously experience agriculture and study how plants
work, the relationship between agriculture and theenvironment, and more.
In FY2021, children
took part in activities at
two farms, Aeon Hanyu
Farm and Aeon Hyogo
Miki-Satowaki Farm,due to the COVID-19
Harvesting green onions at Aeon Tochigi
pandemic.

Putting a smile on the faces of children
the world over using PET bottle caps
Campaign report
Period: June 1, 2008, to February 28, 2021
Cumulative number of bottle caps collected:
Approximately 2,578,470,000
Cumulative donation amount: 31,490,911 JPY*1 Plan International Japan
Save the Children Japan
Japan Committee, Vaccines for the Worlds’ Children*2 Collection period: From March 1, 2020, to February 28, 2021
The proceeds came from recycling businesses in each community that agreed topurchase caps collected through this initiative.

Healthy & Empowered People“Aeon Cheers Club” has a variety of environmental
activities for children from first to ninth grade. This clubis an organization for having club members interested
in the environment and developing their ability tothink and learn social rules and manners through group
activities. The club was started in 1996, initially inspiredby the Foundation’s support for the Children’s Eco Club,a project of the Ministry of the Environment. The projectprovides opportunities for children from the first gradeof elementary school to the third grade of junior highschool to learn about rules and manners through group
activities while cultivating their interest, awareness, andability to think about the environment, agriculture, andother domains through carrying out hands-on activities.
Each club selects a specific theme unique to an area
related to the environment and society. In 2021, 5,206
people from 420 clubs throughout Japan participated infarming experiences and surveys of living creatures andlearned about local specialties. Since COVID-19 prevented
members from assembling in one location, clubs
conducted activities people could join from their homes,
like contests for environmentally themed pictures andcomedic haiku or cultivation kits where members observe
vegetables growing.

ASEAN nations

Aeon has been collecting PET bottle caps from customers
at its stores since 2008 and currently participates in the
campaign “put a smile on the faces of children worldwide
using PET bottle caps.” The caps are collected as recycling
resources and converted into money, which is donated tothree international support organizations.*1 This effort
plays a role in supporting children in developing Asian
countries. The campaign was recently discontinued
due to changes in the environment surrounding plastic
worldwide. In the final year of the campaign, FY2020,
2,261,139 JPY from 232.59 million bottle caps*2 was
donated to these organizations. The funds will provide(1)vaccines, (2)nutritious food, and (3)books to children
in Asia. By the end of February 2021, a cumulative
31,490,911 JPY from a combined 2,578.47 million
collected bottle caps has been donated. We would liketo express our gratitude for everyone’s support andcooperation with this campaign over the years.

Heartful Community

As the population continues to decline, Aeon has created initiatives that support children and households raising children and

PET Bottle Cap Collection Campaign

Sustainable Planet

Supporting Households Raising Children Launchof the Aeon Children's Cafeteria Support Group

Aeon’s Sustainability

Supporting and Nurturing the Next Generation

Utsunomiya Farm

Planting trees through the Aeon Hometown
Forest Program

TOPICSChildren reading in a completed library©Plan International

Started Accepting Donations Through Waon Points for Aeon Cheers Club Activities Aimedat the Healthy Development of Youth Who Will be Leaders of the Next Generation

National Children’s Cafeteria Fundraisers
Period and donation amount:July 3 to August 1, 2021

A child being fed by her father©Save the Children………………………… 4,650 locations 21,161,329 JPY

Data Section

On April 1, 2022, Aeon Financial Service Co., Ltd. and its subsidiaries Aeon Credit
Service Co., Ltd. and Aeon Bank, Ltd. started accepting donations for Aeon Cheers
Club activities, implemented by the Aeon 1% Club Foundation, aimed at the healthy
development of youth who will be the leaders of the next generation. The donations
being accepted are in the form of Waon points, which are accumulated according
to the amount of money spent using an Aeon-marked credit card. Through thisprogram, cardholders can participate in efforts to create a sustainable society
through donations.
Donations can be made in units of 500 points (equivalent to ¥500), 1,000 points(equivalent to ¥1,000), or more.

Initiatives of Public Interest
Incorporated Foundations

Representatives present their results to theWall Newspaper Examination Committee

December 4, 2021, to January 10, 2022………………………… 7,387 locations 43,092,348 JPY
A total of 64,447,607 JPY was gifted to the NPO
National Children’s Cafeteria Support Center MusubieChildren who came to receive a vaccination ©JCV73

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition74

Healthy & Empowered People

Food Safety and Security
and distribution systems.

Topvalu: Giving Form to Customer Feedback
Topvalu Commitments
Aeon developed its own Topvalu brand of products
to improve its customers’ daily lives. We are working
to create products by taking the point of view of ourcustomers into consideration throughout each phase,from product planning and design to the selection of
subcontractors, determination of product specifications,production management, and sales.
The Topvalu Brand Portfolio

The Process of Creating Products

Topvalu products are created by taking the point ofview of our customers into consideration throughout
each phase, from product planning and design to theselection of manufacturers, determination of productspecifications, product inspection, and sales.

1

A natural, organic brand that strives to ensure thesustainability of the environment

In addition to physical and mental health,

1. We shall reflect the voices of customers in our products.
2. We shall offer safe, reliable, and environmentally friendly products.
3. We shall present product information in an easily understandable way.
4. We shall offer products at affordable prices.
5. We shall guarantee our customer satisfaction.

AEON REPORT 2022/Sustainability Edition

Making Products Based on Customer Perspectives
We put our customer’s perspectives at the heart ofmanagement and strive to provide an environment
where customers feel free to provide suggestions.
We also endeavor to promptly incorporate customer
comments into enhancing our product lineup and services,
environmental conservation activities, and other areas.
The opinions and requests provided to us by customers
are managed centrally using a customer feedback
collection system called VOICE. We leverage such feedback
when improving our products and developing new
products. In addition to making possible the kind offunctionality that customers expect from our products,
personnel in charge of development, quality control,and customer service conduct examinations on thesafety of raw materials, the use of additives, and theappropriateness of the manufacturing processes deployed.

Determination of product specifications
Completed prototypes are evaluated by “customer monitors,”
employees, etc. In addition, we also reevaluate the selection of
raw materials, use of additives, and manufacturing processes to
finalize the product specifications and contract manufacturers.

4

Inspection of products
The products manufactured in accordance with their specifications
are inspected to see whether they meet the initially expected quality
standards. Products that pass inspection are sold to customers.

5

After-sales management
Based on the agreement with the manufacturer, we inspect eachproduction lot at the plant for the items agreed upon and keep
records. We also carry out product inspections periodically to findout whether they meet the specified quality standards and manage
manufacturers, including through plant hygiene investigations.

AEON REPORT 2022/Sustainability Edition

Data Section

75

3

Initiatives of Public Interest
Incorporated Foundationsand values and live in their own way.

Selection of contract manufacturers
We conduct factory surveys at contract manufacturers to confirm
factory quality (exemptions apply for GFSI-certified factories)
and conduct audits based on the Aeon Supplier Code of Conduct(page 54) to ensure that all products we consign are produced atfactories that can ensure safety and security.

The Five Topvalu Commitments

we support lives where everyone
can recognize each other's diverse cultures2

Healthy &Empowered People

Daily Lives Where Each Person
is Energetic and Shines
in Their Own Way

A brand focused on price competitiveness toprovide the best price in the region with qualitythat surpasses that of top brands

Product planning and design
In addition to achieving the product performance expected bycustomers by reflecting on their feedback, our development staff,
quality control staff, and customer service staff study issues suchas the safety of raw materials, the reliability of suppliers, the useof additives, and appropriateness in the production process.

Heartful Community

A brand that creates new value by continuing topropose solutions for customers’ daily lives

The Process of Topvalu Products to Customers
Sustainable Planet

Healthy & Empowered
Peoplewe are actively working together with producers and suppliers to maintain and thoroughly implement sustainable production

Aeon’s Sustainability

Aeon is committed to ensuring the safety and security of food based on scientific evidence. At the same time,76

Healthy & Empowered People

Suggestion Boxes and Communication Boards(28 cases related to clothing, 48 cases related to food, 14 cases
related to everyday home products and HBC products)

Acquisition of ISO 9001 Certification
The companies of the Aeon Group are working to acquire
ISO 9001 certification, an international standard for
quality management systems, provide consistent products
and services, and increase customer satisfaction.
Group Companies with ISO 9001 Certification(As of the end of February 2022)
Company

Maxvalu Chubu Co., Ltd.
Head office, Kawaimachi Store, Kawaguchi Store

Since 2016, we have been developing and bringing tomarket Topvalu Gurinai Free From*1 confectionery,bread, ham, sausages, seasonings, instant noodles, andother products. We produce these foods without the useof 109*2 additives and ingredients that can lead to cause

77

AEON REPORT 2022/Sustainability Edition•No antibiotics•No growth hormones•No genetically modified feed
•No meat and bone meal

modified feed at a directly managed ranch on the island of
Tasmania in Australia. To ensure the processes in place
meets safety standards, the ranch is audited by a third-party
organization and has obtained Safe Quality Food (SQF)* Grown at the directly-run SQF-certified farm

certification.
SQF is an international food safety standard andmanagement system recognized by the Global Food Safety
Initiative (GFSI).
Domestically produced natural pork

Natural Pork

In a very challenging attempt to produce
pork with

Our Topvalu Gurinai Natural Pork is very safe and reliable.
Our pork is unique because it is produced without using•No antibiotics•No synthetic antibacterial agents•No genetically modified feed

antibiotics, synthetic antibacterial agents, or geneticallymodified feed-an approach considered to be extremely
difficult for pork.
Junkikei

Junkikei

Topvalu Gurinai Natural Junkikei (healthy chicken) is raised

Grown without stress, haste, and restraints

without using antibiotics or synthetic antibacterial.

•No antibiotics•No synthetic antibacterials

Moreover, some farms that rear this healthy chicken havereceived SQF certification.

* SQF-certified (some farms)

SQF (Safe Quality Foods) is an international management scheme to ensure food safety
and quality.
* Vaccines are administered to prevent disease and commonly to prevent infectious
diseases in livestock.

Actions for Animal Welfare
for concern for customers when shopping for food. Since
FY2022, we have been gradually shifting to the Topvalu
brand. Aiming to meet the needs of people who wantto provide food with fewer additives to their children
as well as the needs of health-conscious customers, we
conducted a questionnaire and decided on the additives
and ingredients to exclude based on the results. We
aim to develop high-quality products that respond to
customers’ needs.
At present, we sell daily necessities such as food,shampoo, body soap, and laundry detergent.
*1 “Free” means “absent” or “non-existent,”
and “free from” in food indicates that
additives and ingredients that can leadto cause for concern for customers are
not used.
*2 29 synthetic colorings, 15 synthetic
preservatives, three color retention agents,
five fungicides, ten artificial sweeteners,
23 flavor enhancers (amino acids), six
flavor enhancers (nucleic acids), threeanti-oxidants, three bleaching agents, six
manufacturing agents, and six foods highin trans-fatty acids.

In February 2020, we released Topvalu Gurinai Natural FreeRange Eggs from hens grown in a single-level cage-freeenvironment in consideration of animal welfare*.
The hens can freely move around the ground and floor in
the aviary house and are given feed without chemicals suchas antibiotics and antibacterial and growth-promoting agents.
As of the end of May 2022, it is available at 142 stores.
In the Kyushu, Kinki, and Chugoku-Shikoku regions,flat-fed eggs from hens grown in a multi-tier cage-freeenvironment have been sold since June 2021, and we will
work to make them available nationwide. In March 2022, welaunched Topvalu Gurinai Organic Free-Range Eggs fromorganic-fed hens in a single-tier cage-free environment at
11 AEON and AEON STYLE stores in Tokyo, Chiba, Aichi,
Osaka, Okayama, and Tokushima.
* Animal welfare is the general belief inprotecting the psychological well-beingof animals by minimizing the sufferingthat people inflict on them, including pain
and stress. Animal welfare provides ameans for raising animals that can live
healthy lives while maintaining their natural
behavior.

(Sales area: Kanto)

Data Section

Launching Food Products without Certain
Additives and Ingredientsthe use of antibiotics, growth hormones, or genetically

Initiatives of Public Interest
Incorporated Foundations

The Aeon Standard for Managing In-Store Food Hygiene
stipulates Aeon hygiene management criteria. Given thathazard analysis and critical control points, or HACCP, isbecoming mandatory, we have revised this standard andother regulations related to hygiene management andour educational manuals on hygiene.
Also, employees working in food sales areas at Aeon
stores receive an education based on the Aeon Standard
for Managing In-Store Food Hygiene at least once a year.

Grown on a farm operated by Aeon on theAustralian island state of Tasmania.

Aeon raises Topvalu Gurinai Natural Tasmania Beef without

TOPICS

Food Sanitation Control
Revamping Tools and Programs for
Educating Employees about Hygiene

Tasmanian beef

Healthy &Empowered People

Aeon Credit Service Co., Ltd.
Aeon Delight Co., Ltd.
Research Institute for Quality Living Co., Ltd. Central Institute
Guangdong Aeon Teem Co., Ltd.
Kasumi Meat Processing Center, Ltd.
Chiyoda Plant of Rose Corporation Co., Ltd.
Kasumi Green Co., Ltd.
Aeon Pet Co., Ltd. Pet Inn Royal Narita Airport
Aeon Credit Service (Asia) Co., Ltd.
Aeon Credit Service (M) Berhad
Aeon Thana Sinsap (Thailand) PCL.
Qingdao Aeon Dongtai Co., Ltd.
Aeon Topvalu Co., Ltd.
Aeon Delight (Jiangsu) Comprehensive Facility
Management Service Co., Ltd.
Wuhan Xiaozhu Comprehensive Facility
Management Service Co., Ltd

Tasmania Beef

Heartful Community

We are implementing initiatives aimed at ensuring
product safety and security. In case a defect or flaw
is discovered in a product despite these efforts, Aeon
informs the public of the fact as quickly as possible andrecalls and withdraws the product in question.
In FY2021, Aeon withdrew 90 products due to serious
incidents involving Topvalu products. Aeon will strive toprevent product accidents through efforts that include
identifying problem areas based on customer feedback
to avoid the recurrence of an issue, strengthening
relationships between related departments, and reviewing
areas of concern in the production and shipment phases ofa product.

Number of withdrawals: 90

Sustainable Planet

Handling When Defects or Deficiencies inTopvalu Products are Identified

Promoting the procurement of livestock products that are safe and reliable
Aeon’s Sustainability

Each Aeon store has set up a box where customers
can submit their opinions and a communication board
disclosing these opinions and Aeon’s response. Comments
and suggestions provided by customers are replied todirectly by a store representative and posted for others
to see. We receive
many suggestions from
customers about things
that are difficult for storesand employees to notice.
The suggestions
are utilized to improve
product lineups and
Suggestion box and communication board
services.

Topvalu: Incident Cases in FY2021(Sales area: Kyushu)(Sales area: Kinki and Chugoku-Shikoku)

AEON REPORT 2022/Sustainability Edition78

Healthy & Empowered People

Disclosing Information Related toRadioactivity and Radioactive Material

For Topvalu products, we consider what information
should be displayed to give customers peace of mind.
We make a thorough effort to display manufacturer
information and perform quality control on products,
including through voluntary inspections.

We have been voluntarily inspecting radioactivity
and radioactive materials in Japanese beef, seafood,agricultural goods, and other food since March 2011.
The results of these inspections are published on our
website.

Improved access to product information

Potato chipsRawmaterials

Potato (domestic), Vegetableoil, Salt(Sea salt, Rocksalt), Kelp, Dextrin, Sugar/
Seasonings (Amino acids, etc.)

Disclosing Information on Agricultural
Product Producers

We receive numerous inquiries from customers regarding
the places of origin of processed food ingredients. Under

79

AEON REPORT 2022/Sustainability Edition

Prior to the enforcement of Beef Traceability Act, *in 2002, Aeon established the Domestic Beef Safety
Confirmation System to provide peace of mind to
customers buying beef.
The system allows customers to find out information
about beef products from cattle raised in Japan,
including where the cow was raised, who raised it, andwhat kind of feed it was raised on.
The system can be accessed through our website.

URL

https://www.topvalu.net/seizosyo-kensaku/(Japanese only)

Labeling of Food Allergens
Aeon uses standardized icons on the outside of all
food product packaging to ensure consumers caneasily identify products
containing food allergens.
The information
covers the use of seveningredients*1 that are

FY2021 Results
Number of complaints and compliments received

2019
2020
2021

Service complaints: 19,813 Compliments: 2,309
Service complaints: 20,059 Compliments: 2,532

Service complaints: 17,217
Compliments: 2,929

ResultData Section

Disclosing the Places of Origin ofProcessed Food Ingredients

Disclosing Information on Domestic Beef

Search System for Manufacturing Plant Codes

The Customer Service Department at Aeon headquarters
receives product and service-related comments andrequests from customers who visit our stores. Comments
and requests, which we receive via phone, the Internet,
letters, and other channels, are responded to after
checking with the relevant departments. In addition,
for Topvalu products, we have set up a call center tocollect suggestions from customers. This information isreported to the responsible department and shared with
employees of relevant departments through systems
that manage customer feedback. We also introduceda chatbot function in 2020 on our website to enable
quicker responses to common queries.
In FY2021, Aeon headquarters received 100,538
opinions and inquiries from customers, down 87.3%,
or 14,584 from FY2020. Feedback received via e-mailcontinued to increase.
The number of service complaints was 17,217, down
85.8%, or 2,842, from FY2020. Throughout the Group,
the number of compliments we received was 2,929.
(Inquiries concerning business conditions and related
products increased in FY2020 due to COVID-19)
Going forward, we will listen carefully to the opinionsof every customer to provide them with better services
and products.

Initiatives of Public Interest
Incorporated Foundations

In April 2001, legislation in Japan enacted a labelingsystem for genetically modified ingredients. However,even before this, in September 2000, Aeon began labeling
Topvalu brand products that contain genetically modified
ingredients in response to customer demands. We have
expanded the scope of labeled items and are striving toprovide labeling on items not mandated by law.
Additionally, the label accuracy of products subject
to labeling (separate items) is confirmed throughcertification of proper separation of production anddistribution (IP handling) or testing for geneticallymodified DNA.

*1 For PET bottle drink products, this information is recorded on the cap. Please checkthe package as the place described thereon will differ depending on the product.
*2 If the distributor is effectively responsible for food product safety, the distributor must
apply to the Consumer Affairs Agency and receive permission to use unique symbols
in the event the sale of foods or additives falls under the provisions of Article 10 of the
Cabinet Office Ordinance related to standards outlined in accordance with Article 19-1of the Food Sanitation Act.
For imported foods and additives, the Food Sanitation Act and the Act forStandardization and Proper Labeling of Agricultural and Forestry Products (JAS Act)handle the stating of the country of origin and location of the importer.

Customer Service Department

Healthy &Empowered People

Labeling of Genetically Modified Ingredients

In 2003, weestablished theProducers Data
Search System for
Aeon Topvalu Gurinai
products to givecustomers online
access to information
on producers. Since
2004, we have also
added a barcode
A product labeled with a QR code
function that allows
customers to access producer data by reading the mobile
QR code, a two-dimensional bar code. The data includes
the places of origin, the differentiated measures taken by
producers, and how the item was grown.

Aeon is ultimately responsible for all aspects of Topvalu
brand products, from planning to design and marketing,and therefore, Aeon Co., Ltd.*1 is labeled as the
distributor on all product packaging.
Consumers can check the names and addresses ofplants that manufacture food products and additives
using a unique code comprising numbers and letters.*2
labeled on the product and reported to the Commissionerof the Consumer Affairs Agency. This system can beaccessed from the TOPVALU website. Consumers can findthe exact name and location of the manufacturing plant
simply by entering the code on the online form.

*1 Items for which inclusion on labels is mandatory: wheat, milk, eggs, peanuts,
buckwheat, prawns, and crab (7 items)*2 Secondary items for which inclusion on labels is recommended: Almonds, abalone,squid, salmon roe, oranges, cashew nuts, kiwi fruit, beef, walnuts, sesame, salmon,
mackerel, soybeans, chicken, bananas, pork, matsutake mushrooms, peaches, yams,
apples, and gelatin (21 items)

Heartful Community

Name

Search System for Manufacturing Plant Codes

Sustainable Planet

Topvalu’s product information search app Topvalu Arekore Navigation was launched in September 2020 toenable customers to easily obtain product information.
The app had been downloaded around 116,000 times asof May 30, 2022.
New features were added in April 2022 so that users
can keep a fitness record by entering their number ofsteps taken, food eaten, weight, sleep, blood pressure,body temperature, and exercise completed. Points areawarded for each entry and can be used to apply to win
Waon Points.

new legal rules which went into effect in September
2017, all processed foods produced or processed in Japan
must have the place of origin displayed on the label withrespect to the raw material with the highest weight ratio.
In response to customer requests, the labels ofTopvalu brand offerings show the places of origin of
ingredients not only for food products in the mandatory
categories but also for as many other products as
possible.

officially designated by law to be displayed on theoutside of product packaging. The back label of products
also contains the 21 secondary items*2 recommended forinclusion in product labeling.
In response to opinions from people with foodallergies, we display information on allergens for eachraw ingredient instead of a blanket description for
the entire product as permitted by law. Inspections ofallergens are also conducted every year on applicableproducts to confirm labeling accuracy.

Aeon’s Sustainability

Labeling and Disclosing Product Information* Beef Traceability: Enforced in December 2004, the official name of the law is The
Law for Special Measures Concerning the Management and Relay of Information for
Individual Identification of Cattle.

AEON REPORT 2022/Sustainability Edition

80

Healthy & Empowered People

Society Where People Live 100-Year Lives

Aeon aims to become a leading company in the development of a new form of health and wellness by offering customers

In anticipation of an increase in the number of senior customers, Aeon is introducing and expanding on the concept of

products that meet their needs in response to increasing health awareness and the changes we are seeing in terms of theuniversal design by enhancing services and creating environments where customers who need support can enjoy shopping

diversification of food and the culture of everyday life.

with peace of mind.

Creating a Convenient and Comfortable
Store Environment for Everyone

In recent years, due to the increasing level ofconsciousness concerning health and changes we areseeing in terms of eating habits, we have responded to
new customer feedback from customers who say theywant to actively incorporate plant-based foods into their
daily meals. We undertook planning and developmentof the Vegetive Series *1, a product series that involves
the replacement of certain ingredients in a product withvarious plant-based ingredients. The focus of this series
is on vegetable protein, which has a low impact on theearth in terms of the greenhouse gases emitted during
production and in terms of the amount of grain andwater required *2. A full-fledged rollout of this series has
been underway since March 2020.
We have replaced
meat, eggs, dairy, white
rice, and wheat andincreased product variety,with a total of 21 items
sold as of June 21, 2022.

The Topvalu Yasashi Gohan series was launched in
November 2016 to meet customer demands related
to products that consider food allergies. The series
was planned and developed without the use of sevenspecific ingredients* based on the concept of “meals foreveryone in the family that are good for the body.” As ofthe end of February 2022, the lineup featured a range of
14 varieties. This series offers a rich variety of products,
such as mixed powders, Japanese Udon-style noodles,
and Chinese-style noodles. The series also features mild
chocolate that does not contain milk
and can be used as an ingredient inbaking. Through this extensive lineup,
we will present meals that allow
everyone to enjoy the same menu, evenin households that include people withfood allergies, and strive toprovide assurance and trust
rooted in daily life.

Aeon developed its building standards based on theHeartful Building Law of 1994 (revised and renamed as
the Barrier Free Law* in December 2006). We use thesestandards when building new stores or remodelingexisting locations. As of the end of February 2022, over
760 of our facilities had been certified as compliant with
the Barrier Free Law.
We are committed to incorporating universal designconcepts to strengthen store function and design.
Recognizing that the number of seniors among ourcustomers is increasing, we aim to incorporate universal
design concepts in all our stores.

Creating Products to Support
Carbohydrate Restriction

Cauliflower(Alternative Rice)150g

Broccoli (Alternative
Rice)150g

Carbohydrate

53.7g

2.1g

2.4g

Energy252kcal27kcal

34kcalDietary fiber

0.5g

3.2g

4.2g

Supporters for People with Dementia

Step-free entrance (Aeon Lake Town)

Easily visible in-store sign

Providing Shopping Support throughMobile Sales Trucks
We began operating mobile sales vehicles in 2016as part of a health and wellness initiative to foster“local community ecosystems” by developing social
infrastructure that helps residents lead physically andemotionally healthy daily lives. We had initially launchedthis initiative to provide a shopping aid for seniors inanticipation of an increase in the elderly population.
However, due to the coronavirus pandemic, the numberof people avoiding store congestion has been increasing,and the usage of mobile sales vehicles is growing. In
cooperation with municipalities, we are extending ourroutes to include areas with a significant need for thisservice, such as parking lots in residential areas andfacilities forthe elderly.

* Eggs, milk, wheat, peanuts, buckwheat, prawns,
and crab

Since 2007, the Aeon Group has been participating in
the Dementia Supporter Caravan jointly promoted by
the Ministry of Health, Labour and Welfare and thenon-profit organization Community-Care Policy Network
for its employees to correctly understand dementia
and provide appropriate support. Thus far, we haverun Dementia Supporter Training Courses to educate
Dementia Supporters*1 and training instructors (in-house
Caravan Mates) for the courses. Employees also undergo
training during the preparation phase for opening a newstore, encouraging them to become Dementia Supporters
before the store opens. As of the end of February 2022,
cumulative Dementia Supporters numbered 81,701, themost of any company in Japan, and about 900 “Caravan
Mate*2” instructors for the training course.
In FY2021, group lectures were suspended and held
online to prevent the spread of the coronavirus.
*1 Dementia Supporters: Individuals certified through a prescribed curriculum
implemented by municipalities and other groups. They have an understanding of
dementia and are able, within their capabilities, to give care to, watch over, andprovide support to people with dementia and their families.
*2 Caravan Mates: Lecturers in seminars on assisting customers with dementia

Dementia Supporter mark and orange band

A dementia supporter training course
taking place

Data Section

Rice
150g

Service Care-Fitter training session

Initiatives of Public Interest
Incorporated Foundations

We have launched a product called Topvalu Cauliflower/
Broccoli/ Three Kinds of Colorful Vegetables (Alternative
Rice) to support diets with mild carbohydrate restriction.
Since its launch, this series has gained the support ofmany customers who praise the mild flavor, crisp texture,and sense of satisfaction provided without reducing theamount of food eaten. Customers can mix the productwith rice to make rice balls or with soup to make it akinto rice porridge.
These suggestions
and more can befound on our official
website.

The Topvalu Yasashi Gohan series was launched in
November 2016 to meet customer demands related
to products that consider food allergies. The series
was planned and developed without the use of sevenspecific ingredients* based on the concept of “meals foreveryone in the family that are good for the body.” As ofthe end of February 2022, the lineup featured a range of
14 varieties. This series offers a rich variety of products,
such as mixed powders, Japanese Udon-style noodles
and Chinese-style noodles. The series also features mild
chocolate that does not contain milk and can be used as
an ingredient in baking. Throughthis extensive lineup, we will
present meals that allow everyone
to enjoy the same menu, even inhouseholds that include people withfood allergies, and strive to provide
assurance and trust rooted in dailylife.

* Service Care-Fitter: A certification administered by the Nippon Care-Fit Education
Institute (a public interest incorporated foundation)* The Act on Buildings Accessible and Usable by the Elderly and Physically Handicapped,
also known as the Heartful Building Law, was revised and renamed the BarrierFree Law
in December 2006

* Eggs, milk, wheat, peanuts, buckwheat,
prawns, and crab

Developing and Selling Food for Allergy
Sufferers

We encourage Aeon employees to acquire the Service
Care-Fitter* certification to help ensure that seniors andpeople in need of assistance can shop in our stores withtotal confidence.
Certified Service Care-Fitters in the Aeon Group
numbered 11,142 as of the end of February 2022.

Healthy &Empowered People*1 “Vegetive” is a word we have coined
Topvalu
Vegetive Series
with the idea of wanting incorporate
vegetables into meals in a way that isboth positive and active*2 According to an investigation done by the Environmental
Working Group

Service Care-Fitters

Heartful Community

Developing and Selling Food for Allergy
Sufferers

Sustainable Planet

Products Made Using Plant-Based Raw
Materials Launch of Vegetive

Aeon’s Sustainability

Health & Wellness

Mobile Sales Vehicles by the Aeon Food Style Konan Store
Display example

81

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition82

Healthy & Empowered People

Diversity & Inclusion

Diversity Training to Empower Diverse Human Resources:
Daimanzoku College

or gender, and a company where the growth of each employee drives enhancements in customer satisfaction.

Aeon views the promotion of diversity not only as oneof its responses to social issues but also as one of its
management strategies. We aim to bring to fruition anorganization that continues to innovate and respondflexibly to customer needs by fully leveraging thecapabilities of our diverse talent.
The entire Aeon Group shares a vision of promoting
diversity through the concept of daimanzoku, whichmeans “very satisfied” in Japanese. Daimanzoku is
about satisfying three groups through efforts aimed atdiversity: employees and their families, customers, andthe Company.
In FY2021, we held The Daimanzoku Award online
to share good examples of the promotion of diversity atGroup companies rooted in the community and that havetaken advantage of the characteristics of their respective
businesses. We also held an online program called
Daimanzoku College to provide stratified training for
women and persons with disabilities.
The program makes it easier for
employees at offices around thecountry to take part and is a place
where people are exposed to newknowledge and interact with rolemodels via cross-group connections.

Basic Principles on Personnel
Since our founding, the primary objective ofmanagement centered around respecting human rights
has been the Aeon Basic Principles on Personnel. The
principles are based on the guiding philosophy of ensuringthat all Aeon People lead a full life at work, at home, andin the community and involve listening to employees’
aspirations, understanding employees’ feelings, andmaking the most of what employees have to offer.

Basic Approach to Personnel■ Creation of a corporate environment in which human■resources can continue to grow as they work over thelong termManagement of personnel based on ability andachievement, not nationality, age, gender, or job
category

Five Human Resources Principles

Management
based on espectfor human rights

Ensuring a full life at work, at home,
and in the community

83

AEON REPORT 2022/Sustainability Edition■

Since FY2015, a total of 210 of our employees haveparticipated in this training.
Interactive management training allows participants
to acquire coaching communication skills used to build
trust-based relationships with subordinates and havethem improve upon their management skills to enhance
the performance of their teams. Our goal is to have these
employees aim to one day become executive officers at
our group companies and have them shoulder the task of
becoming role models and nurturing younger employees.
Female manager candidate (one step before manager) training
We have had a total of 991 employees participate
in this program since FY2015.
The program aims to increase motivation regarding
career advancement, to have participants forge their own
leadership styles, and to train female employees to become
successful in managerial positions. We also use this program
to expand our pool of manager candidates.
In FY2021, we introduced a new training program thattakes a multifaceted approach to life planning for young
women who are candidates for next-generation managerial
positions, with some 222 women taking the course during
the year. Participants had the chance to interact with various
successful senior employees who take on active roles in theorganization, encouraging a more positive outlook toward
work and private life. The course also served to connect
Aeon people from around Japan, enhancing the sense of
belonging to the Aeon Group.

Next Category AwardThe Daiei, Inc.
“The digital Daimanzoku forum: Business
transformation through feasibility studies andrecommendations in the digital domain”
Encouraging the Empowerment of Women in the
Workplace Category Award
Aeon Retail Co., Ltd. (Minami-Kanto Company)“Establishing and promoting a company humanresource development committee”
Promoting Human Resource Diversity Category Award
Aeon Fantasy Co., Ltd.
“Shifting from persons with disabilities being
supported to the ones providing support”
Wellness Management Category
Workstyle Reforms Category Award
Aeon Retail Co., Ltd. (Kita-Kanto Company)

A Place to Reconfirm the Meaning ofManagement Rooted in Diversity
To accelerate the bringing to fruition of management rooted
in diversity, we are continuously reconfirming what it means to
conduct management rooted in diversity, the challenges we needto tackle, and the initiatives we are undertaking.
In FY2021, we held a forum for our online seminar series“Daimanzoku” (meaning great satisfaction) for all levels ofmanagement, which covers important themes that prompt achange in organizational awareness and culture, which are essential
elements of management rooted in diversity. Participants learned
about IkuBoss Management and unconscious bias as part ofrigorous efforts to create an organization where everyone, including
women, can play an active role and continue to drive innovation.
We conducted online visits to Group companies so that thediversity-related opinions and perceptions of management rooted
could be shared directly with top management and executives.

The Daimanzoku Award
Companies that received awards at the 8th award
event (FY2021)“Striving for 100% uptake of men’s childcare leave”

Stratified training conducted online to encourage the empowerment of women in the workplace

Promotion of the Success of Diverse Talent:Aeon Training for Persons with Disabilities
We conduct online training once a month for to hire andestablish employees with disabilities and ensure theirsuccess, in cooperation with Abilities JUSCO Co., Ltd., aspecial subsidiary that has supported the employment
and success of persons with disabilities for forty years.

Data Section

Listening to employee’s
aspirations, understanding
employee’s feelings, and making themost of what employees have to offer

Diversity promotion officers and managers are assigned to about
70 Group companies to analyze their current states, define thechallenges to be tackled, and engage in unique activities thatleverage the characteristics of a business rooted in the local
community. They also participate in activities that are sharedgroup-wide.

■ Training for female managers

Initiatives of Public Interest
Incorporated Foundations

1. Fairness
2. Respect
3. Openness to change
4. Rationality
5. Skills Development

Establishment of a Diversity Promotion System:
Appointment of Diversity Promotion Officers

Stratified Training for Encouraging the
Empowerment of Women in the Workplace

Healthy &Empowered People

Our Aeon Human Rights Policy, established in 2008 (andrevised in 2018), sets forth that we will not, in any way,
discriminate based on nationality, sex, age, physical ormental disability, sexual orientation, or gender identity,
and respects human rights through our business activities.
As of March 2022, we have around 560,000 employees
working in 15 countries. The growth of every one of
our employees serves as a driving force in enhancing
customer satisfaction.

Heartful Community

Promoting Diversity

Sustainable Planet

Empowerment of Diverse Human Resources

The Daimanzoku Award is an event held every year as anopportunity to share and award people for their best practices
when it comes to promoting diversity within the Group. Awards
for best practices are decided following question-and-answer
sessions and assessments conducted by experts and AEON Groupmanagers. The awards lay the platform for Group companies
to review their efforts to promote diversity and learn from thepractices of others, which raises the standard when it comes to thepromotion of diversity in the Group.
In FY2021, the eighth year of the awards, the awards served
to increase the skill level of diverse human resources and promotemeasures that encourage growth. The awards enabled the sharingof best practices by each Group company at a time when the focus
has intensified on efforts to change the awareness of superiors andreform organizational culture to ensure the active participation ofdiverse human resources. This includes initiatives related to malechildcare leave, altering the mindset of managers, and enhancing
organizational culture.

Aeon’s Sustainability

Aeon strives to be a company where motivated people can take on challenges equally, regardless of race, age, nationality,

Diversity training is conducted to resolve the shared issues faced bygroup companies when it comes to promoting diversity and inclusion.
In FY2020, we put all our activities online so that we could
better exercise our strengths when it comes to cross-grouplearning and opportunities for interaction.

Group Award Program: The Daimanzoku Award

Workstyle Reforms Category Award
Aeon Retail Co., Ltd. (Kita-Kanto Company)

AEON REPORT 2022/Sustainability Edition

84

Healthy & Empowered People

V O I C E

“From supporting persons with disabilities tohaving them support work activities”

Hiring Employees of Foreign Nationalities,
Conducting* This, however, was suspended in 2020 due to our compliance with the epidemic
prevention protocols to prevent the spread of Coronavirus (COVID-19).

Online streaming of training for persons with disabilities

85

AEON REPORT 2022/Sustainability Edition

Promotion of IkuBosses
IkuBosses are key persons who manage organizations
characterized by a diverse lineup of employees. Aeon is
promoting the Aeon IkuBoss, a supervisor that respects
the work-life balance of employees with whom theywork and provides support for their careers and lives
while at the same time having that lead to results on anorganizational level.
We have our own IkuBoss Test to facilitate that.
27,975 individuals have passed the beginner test, and6,408 have passed the intermediate test, which meansthat we are increasing the number of IkuBosses in ourGroup.
Furthermore, we have been judging the Daimanzoku
IkuBoss Awards since FY2017. These awards are decided
upon through votes held concerning IkuBoss stories
submitted by employees of Group companies every year.
In FY2021, the fifth year of the awards, the three selected
winners showed the most empathy of all the stories with

Moreover, Aeon and Daiei became the first retailers tojoin the IkuBoss* Corporate Alliance. As of June 2022, 36
Group companies had become members of the alliance.
* IkuBoss: This initiative began with a proposal by a not-for-profit organization Fathering
Japan. Many organizations are now working on the initiative, including the national
government, municipalities, and companies.

Data Section“It’s really rewarding to be entrusted with public relations work,
an area I initially had no experience with. I especially love trying
more creative tasks because it feels like I’m challenging mylimits, which I now really enjoy.” (Personal recollection by the job
support member)

Aeon aims to be an organization that fully leverages
the capabilities of its diverse pool of human resources
based on a basic philosophy of human resources andfocused on ability and results. We also aim to eliminate
discrimination based on nationality, gender, age, physicalor mental disability, sexual orientation, gender identity,and so on. We hold LGBTQ+ training sessions to help
employees acquire the latest knowledge when it comesto human rights and to create a workplace where each
employee can work in their own way.
From FY 2017 to FY 2019, Mirairo Inc. has beensponsoring the Universal Manners Test and Training onCatering to LGBT Individuals for group managers, which has
been taken by approximately 7,400 individuals thus far.
On-demand training videos
in the Daimanzoku library havebeen made available since FY2021
so that anyone can learn anytime,
anywhere, and as many times as
they like. To date, 14,746 people
have taken the training.

Initiatives of Public Interest
Incorporated Foundations

Aeon is working to establish conditions throughout theGroup that allow people with disabilities to work witha sense of purpose. As of the end of February 2022, theemployment ratio of persons with disabilities was 2.66%,
or 9,120 people (including consolidated subsidiaries).
Abilities JUSCO, Ltd was established in 1980 as Aeon's
special subsidiary for the employment of persons withdisabilities.
The company operates 4 Scrum stores sellingbooks and other goods where persons with disabilities
work alongside able-bodied staff and 11 businessestablishments providing employment transfer support.

Kenji Amano (AeonTown Co., Ltd.)
Yuichi Hori (Cox Co., Ltd.)
Fumi Endo (Aeon Fantasy Co., Ltd.)

Healthy &Empowered People

Promoting the Success of Persons with
Disabilities• Winners of the 5th IkuBoss Grand Prize (FY2021)

Heartful Community

International Personnel Exchanges within the Group
Based on the shift to an Asian strategy set out in the
Aeon Group Medium-term Management Plan, Aeon
is actively hiring young people who will become
tomorrow’s leaders in Japan, China, Malaysia, Thailand,
Indonesia, Vietnam, and other Asian countries.
A total of 634 employees participated in a personto-person exchange taking place between FY2013 andFY2019.

LGBTQ-Related Initiatives

excellent communication skills, management style, andunderstanding of needs in people’s private lives. The bossin all the instances was a smiling boss who demonstrated
a strong sense of responsibility for achievingorganizational goals, supported their employees in boththeir work and private lives, and resonated with many
AEON people as IkuBosses that have also enhanced theirwork and social lives. Each boss was cheerful enoughto turn a crisis like the coronavirus pandemic into an
opportunity and have a presence that guides, serving to
make employees feel hopeful.

Sustainable Planet

At Aeon Fantasy Co., Ltd., we employ people with mental
health issues as a form of job support. These employees,
known as job support members, take on active roles in
the public relations department. While the department
deals with highly complex creative tasks such as handlinginterviews, it also involves many routine tasks such as
checking for spelling errors in news releases and registering
for content distribution services, which job support
members found tough. When we consulted the job support
team about this challenge, the team introduced us tosomeone with the skills required for these routine tasks, sothat’s where they began.
Initially, the person held strong concerns over theirability to manage time efficiently, so we arranged weekly
30-minute meetings with the head of education to assist
with managing deadlines and job progress and to clarify
areas they were unsure of. The meetings also provide theopportunity to check the physical and mental well-beingof the job support member. Since the work is also done
from home, we keep in close contact via online chat andmeetings (Google Meet) as part of a support system thataims to eliminate work anxiety.
In the one and a half years since the project began, themember has grown in confidence and can now perform
more advanced tasks in addition to routine work, such as
interviewing stores for the internal newsletter and editing
content. There has been a remarkable improvement inskills and the person now also takes on a leadership roleby setting their own work agenda and directing others who
have come through the job support system.
It's common to think of persons with disabilities as theones requiring support, but at Aeon Fantasy, we view themas an indispensable addition to the team who are often theones providing the support.

At the General Meeting of Shareholders in May 2013,
we announced a goal of increasing the ratio of female
managers to 50% by 2020. Right now, we have nearly
9,000 women working in managerial positions. We will
review our initial targets and focus on further promoting
diversity to achieve those targets by 2025.
As of the end of February 2022, the ratio of female
managers was 26.0%, or 8,967 individuals (including
consolidated subsidiaries). In particular, the ratio of
females in positions at the level of department head or
above increased by 2.3% year on year.

Since FY2020, Aeon and Abilities JUSCO started
holding online training sessions once a monththroughout the year as a joint project to provide
opportunities for practical and professional learning
concerning the issues of employee retention andemployment for persons with disabilities. Anyone canparticipate and learn in addition to human resource
officers nationwide, making it a place to connect,
access the latest information, and exchange ideas. In
combination with training videos that can be watchedon-demand from the Daimanzoku library, this ensuresthat the correct knowledge is being imparted andthat appropriate and rational consideration is given topersons with disabilities. A total of 1,704 people from 61
companies took part in the training in FY2021.

Aeon’s Sustainability

Comments from the 8th Daimanzoku Award winners
Next Category Award Winner Aeon Fantasy Co., Ltd.

Encouraging the Empowerment of
Women in the Workplace

AEON REPORT 2022/Sustainability Edition86

Healthy & Empowered People

Employment, Work Styles, and Work Satisfaction

Aeon’s Health Management during the Six Years from the Declaration to the Second Stage

Aeon is focusing on human resource development based on the belief that the active participation of each employee supports
the sustainable growth of the Group.

Health Management
Aeon Health Management

Health Promotion Initiatives

FY2018Establishment andimplementation ofsystems/measures

FY2019Promotion of
measures

FY2020Company-wide
expansion,
evaluation &Improvement(Formulated in FY2016)

87

AEON REPORT 2022/Sustainability Edition••

Management Organization by ensuring 100% of employees receive regular medical checkups, 100% of employees
recommended for detailed follow-up medical examinations receive consultations (blood pressure, blood sugar), and the numberof smokers is reduced by 25% year on year.
Release health and productivity management strategy map
21 companies certified as Health and Productivity Management Organizations 2022 (one company certified as a White 500
Enterprise)

TOPICS
21 Group companies certified under Health and Productivity Management Organization 2022
Aeon supported the acquisition of Group Health andProductivity Management Organization 2022 certification,with 21 Group companies receiving Health and Productivity
Management Organization 2022 certification, which wasstarted jointly by the Ministry of Economy, Trade andIndustry (METI) and the Nippon Kenko Kaigi.
From FY2019, the top 500 companies that have acquired
Health and Productivity Management certification are
positioned as the “White 500,” and Aeon Credit Service wascertified as a “White 500” company in 2022.

ACS Credit Management, Aeon Mall, Aeon Bank, Aeon
Liquor, Aeon Hokkaido, Welcia Holdings, Ministop, Aeon
Eaheart, Aeon Fantasy, Aeon Pet, Megasports, Aeon
Topvalu

Health and Productivity Management(SME Category)
Aeon Financial Service, Aeon Housing Loan Service,
ACS Lease, Aeon SS Insurance Co., Ltd., Aeon REITManagement, Kyoei A&I, Aeon Allianz Life Insurance

Note: The following companies have been certifiedHealth and Productivity Management(Large Enterprise Category)

Data Section

The Group has established the Aeon Health Promotion Section,in which the executive officer in charge of human resources
and management at Aeon Co., Ltd. is responsible for advancing
measures. The section comprises the head industrial doctor,
public health nurses, and members of the corporate planningdepartment, as well as members of the human resources
departments of Group companies, Aeon’s corporate healthinsurance society, the Aeon Good Life Club, and the labor
union. The section considers and implements measures aimed
at maintaining and promoting employee health while keeping
management strategies in mind.
Furthermore, each Group company has appointed a manager
responsible for health promotion and takes autonomous healthpromotion measures. Health issues are also addressed by the Group
Labor-Management Roundtable, where management and the labor
union exchange opinions on internal issues and health management
policies, set KPIs, and confirm the progress of initiatives.

FY2021
Unified Group
Initiatives

Initiatives of Public Interest
Incorporated Foundations

Promotion Structure

included in “White 500”

Healthy &Empowered People

Aeon will support the health of
employees and their families
Aeon will achieve healthand happiness in the local
community together with
employees

In FY2017, Aeon began holding a regular health promotion
conference among principal Group companies, and since
FY2019, it has also been regularly holding an Aeon-wide healthmanagement conference. At this conference, participants share
health promotion and management measures to promote healthmanagement across the board.
In terms of measures to address the health issues of Group
employees, Aeon undertakes passive smoking countermeasuresand support for smoking cessation, infection control measures,
improvements to health literacy, and other initiatives. Particularly interms of passive smoking countermeasures and support for smoking
cessation, to ensure the health of employees and their family
members during the COVID-19 pandemic, we banned smoking
during working hours and on company premises at 115 Aeon Group
companies to reduce the number of smokers by 25% year on year.
Moreover, to raise awareness and provide support to thosequiting smoking, we are implementing a free online smoking
cessation program for employees and providing website content
that helps employees take on the challenge of quitting according
to their individual circumstances. In terms of infection control
measures, we started occupational inoculation with the COVID-19
vaccine in June 2021 and gradually increased coverage to also
include specialty tenant stores.
Also, Aeon corporate health insurance society evaluates
employees’ health status and health ages and announces the resultsfor each Group company for analysis. Furthermore, in FY2018,
we introduced stomach cancer risk classifications (ABC medical
examination) for mobile medical checkups, changing the content of
testing to make it easier for employees to receive a diagnosis.
In recognition of these initiatives, Aeon was certified as an
Enterprise for Health and Productivity Management in 2022.

• Started to hold a regular health promotion conference• Began to appoint a health and productivity officer and manager responsible for health promotion at each Group company onan annual basis• Health and Productivity Management Organization 2018 (White 500): Aeon, Aeon Retail, and Aeon Kyushu• “DBJ Employee‘s Health Management Rated Loan” (Aeon Kyushu)• Launch of stomach cancer risk classifications (ABC medical examination) for mobile medical checkups• Launch of the PepUp health portal for employees and provision of health points, which can be exchanged for Waon points, toemployees• Anti-smoking measures: Launch of a system to subsidize treatment at smoking cessation clinics (by Aeon corporate healthinsurance society) and reduce the number of employee’s smoking rooms• Health and Productivity Management Organization 2019: The number of Aeon Group companies certified under the systemincreased to 10• ”DBJ Employee’s Health Management Rated Loan” (Aeon, Aeon Kyushu and Sanyo Marunaka)• Launch of a regular Aeon-wide health management conference (on a biannual basis)• Passive smoking countermeasures: Smoking banned at the head office (Aeon Tower and Aeon Tower Annex)• Measures against lifestyle-related diseases: Free-of-charge rental of the Fitbit wearable terminal started• Health and Productivity Management Organization 2020: 14 Aeon Group companies were certified, of which two were
included in the “White 500”• ”DBJ Employee‘s Health Management Rated Loan” (Aeon Kyushu and Marunaka)• Aeon’s health promotion targets: Reduce the number of smokers by 25%, implement measures against hypertension, andfoster the acquisition of “White 500” certification• Company-wide measures in the face of COVID-19: (1) Vaccination against influenza and (2) Non-smoking measures• Smoking during working hours and on the premises banned at 115 Group companies• Health and Productivity Management Organization 2021: 16 Aeon Group companies were certified, of which three were
• Health and productivity management: Expand the number of Group companies recognized as a Health and Productivity

Activities

Aeon Health Management
Declaration

under the initiative (Aeon and Aeon Retail)Heartful Community

As a Companywide initiative to heighten health awareness among
employees, we conduct a health challenge campaign for a twomonth period each year. All employees participate in this programand choose a challenge from various options.
We also launched the PepUp health portal to heighten thehealth literacy of employees and support their independent healthimprovement efforts. Through PepUp, employees aged 40 andabove can view their health check results, identify their “healthage” based on their health information, and seek advice. If healthimprovements are made, employees receive health points, which
they can exchange for Waon points.
Employees who took part in a health walking event introduced
through PepUp were 25% more likely to answer positively in theirnext medical checkup about “making it a habit to exercise 30
minutes or more” than employees who had not taken part.
As of August 2022, more than 92,000 people have registeredwith this program and are engaging in health improvement
behavior. Additionally, to improve employee health literacy, in 2019,we lent wearable devices free of charge to those who wanted to use
PepUp, which as of April 2022, were used by 50,000 employees.

FY2017
Organizational
system• Made the Aeon Health Management Declaration at the presentation meeting on Aeon personnel policies• Health and Productivity Management Organization 2017 (White 500): Included in the first “White 500” companies named

Sustainable Planet

Aeon believes that the health of employees is thefoundation that supports the Company in providing local
customers with services that help them lead healthy andhappy lives. Based on this belief, we made the Aeon
Health Management Declaration to further foster healthmanagement.
At Aeon, health and productivity management results
in a virtuous cycle in which the health of employees is
directly tied to prosperous community life. Ensuring
the physical and mental health of employees enhances
productivity and creativity and results in higher employee
satisfaction. We also believe that the health of employees
as members of the community is important from theperspective of optimizing healthcare expenses and risk
management. Management is responsible for ensuringthat employees can work in healthy and safe ways, andwe believe that working to maintain and advance thehealth of employees will be increasingly important forcorporate management going forward.

FY2016
Declaration

Details

Aeon’s Sustainability

FY

Aeon Credit Service (White 500), Aeon Insurance Services,

AEON REPORT 2022/Sustainability Edition

88

Healthy & Empowered People

Flexible Work Styles

Career paths

General path
A path that aims for career development across awide area while building up diverse experiences
Unit path
A path that aims for specialization while advancing
specialist knowledge and skills
Professional path
A path that aims for an advanced profession

Employee working area

Category N employee: In principle, transfers
nationwide and overseas
Category R employee: Transfers within a certain
block
Category L employee: No transfers that require
moving house
Community employee and part-time: No transfersthat require moving house / part-time only

Promoting Equal Opportunities for PartTime Employees

89

AEON REPORT 2022/Sustainability Edition■■

Number of employees aged 65 or older as of the end of
February 2022
Approximately 10,355 (employees paid by the hour)
Number of employees aged 60 or older as of the end of
February 2022
Approximately 27,300 (employees paid by the hour, day, or month)Welfare Programs
The Aeon Good Life Club, Aeon mutual aid society,has an enrollment list of nearly 280,000 Aeon Group
employees. Programs include the payment of giftmoney for celebratory occasions or condolences (mutual
assistance), subsidies for childcare and nursing care,various forms of insurance (self-help support), andKuruminThis is a system through which the Ministry of Health, Labour and Welfare
certifies companies that implement initiatives to help employees combine workand child-rearing. The system is based on the Act on Advancement of Measures
to Support Raising Next-Generation Children. To receive certification, companies
must prepare a “General Business Owner
Action Plan,” achieve the targets, and meetcertain standards. Companies that satisfy
these accreditation criteria are granted alogo certifying their support for child-rearing,normally referred to as the Kurumin logo.

Acquiring Eruboshi Certification* Eruboshi-certified Group companies (as of June 2021)
Stage 3: 17
Aeon IBS Co., Ltd., Aeon Kyushu Co., Ltd., Aeon Credit Service Co., Ltd., Aeon
Compass Co., Ltd., Aeon Supercenter Co., Ltd., Aeon Delight Co., Ltd., Aeon
Big Co., Ltd., Aeon Insurance Service Co., Ltd., Aeon Hokkaido Co., Ltd., Aeon
Marketing Co., Ltd., Aeon Mall Co., Ltd., Aeon Ryukyu Co., Ltd., Aeon Co., Ltd.,
Aeon Bank Ltd., Kasumi Co., Ltd., Ministop Co., Ltd., Reform Studio Co., Ltd.
Stage 2: 7
Aeon Fantasy Co., Ltd., Aeon Product Finance Co., Ltd., Cox Co., Ltd., G-Foot Co.,
Ltd., Maxvalu Tokai Co., Ltd., Maxvalu Nishinihon Co., Ltd., The Maruetsu, Inc.
EruboshiThis is a system under which the Ministry of Health, Labour and Welfare provides
certification based on the Act on Promotion of Women’s Participation andAdvancement in the Workplace. The criteria for evaluating company performancein empowering women are the hiring of women, the retention of female
employees, working hours and other aspects of work style,the percentage of female managers, and the diversity ofcareer paths. There are three levels of certification, each ofwhich reflects the number of these criteria that companies
have met. Further, the stars on each Eruboshi logo, ranging
in number from one to three, indicate a company level ofcertification.

Currently, 24 Group companies have received Eruboshi
certification* under the Act on Promotion of Women’sParticipation and Advancement in the workplace.

* (as of June 2022)

Aeon Yumemirai Nursery (Aeon Group’s in-house nursery)
Nursery School Name

Construction Date

Location

Makuhari Shintoshin
Okinawa Rycom
Tokoname
Lake Town
Saga Yamato
Natori
Nagoya Chaya
Nagakute
Mitouchihara
Shinkomatsu
Fukuoka Higashi
Aira
Tokushima
Otogana
Matsumoto
Kobe Minami
Haebaru
Zama
ShunanSeifushinto
Iwaki-Onahama
Hiroshima Gion
Kumamoto
Tsuminami
Higashiura
UkiFuji Minami
Ishigaki
Yokkaichi-Tomari
Ageo
Rifu

December 23, 2014
August 1, 2015
December 1, 2015
April 1, 2016
June 1, 2016
November 18, 2016
November 30, 2016
December 1, 2016
December 20, 2016
March 16, 2017
April 1, 2017
April 1, 2017
April 17, 2017
July 27, 2017
September 8, 2017
September 11, 2017
December 16, 2017
March 7, 2018
April 1, 2018
April 18, 2018
May 28, 2018
June 20, 2018
July 18, 2018
October 29, 2018
April 9, 2019
April 14, 2019
July 1, 2019
December 1, 2019
November 1, 2019
November 1, 2020
July 1, 2021

Chiba City, Chiba Prefecture
Nakagami-gun, Okinawa Prefecture
Tokoname City, Aichi Prefecture
Koshigaya City, Saitama Prefecture
Saga City, Saga Prefecture
Natori City, Miyagi Prefecture
Nagoya City, Aichi Prefecture
Nagakute City, Aichi Prefecture
Mito City, Ibaraki Prefecture
Komatsu City, Ishikawa Prefecture
Ashiya-gun, Fukuoka Prefecture
Aira City, Kagoshima Prefecture
Tokushima City, Tokushima Prefecture
Onojo City, Fukuoka Prefecture
Matsumoto City, Nagano Prefecture
Kobe City, Hyogo Prefecture
Shimajiri-gun, Okinawa Prefecture
Zama City, Kanagawa Prefecture
Shunan City, Yamaguchi Prefecture
Hiroshima City, Hiroshima Prefecture
Iwaki City, Fukushima Prefecture
Hiroshima City, Hiroshima Prefecture
Kashima-cho, Kumamoto Prefecture
Tsu City, Mie Prefecture
Higashiura City, Aichi Prefecture
Uki City, Kumamoto Prefecture
Fuji City, Shizuoka Prefecture
Fuji City, Shizuoka Prefecture
Yokkaichi City, Mie Prefecture
Ageo City, Saitama Prefecture
Rifu-cho Miyagi-gun, Miyagi Prefecture

Affiliated Nursery School Facilities
Rabby Kids World Aeon Mall
March 1, 2015
Kyoto Katsuragawa

Kyoto City, Kyoto Prefecture

Nurseries Other than Aeon Yumemirai Nurseries Operated by
Principal Aeon Group Companies
Nursery School Name
Kasumi Iine no mori Nursery School(Kasumi Co., Ltd.)
Well Kids Tsukuba nursery school
Welycia Yakkyoku Co., Ltd.
Shimotai Tsutsuji nursery school(Maxvalu Nishinihon Co., Ltd.)

Construction Date
July 16, 2017
October 1, 2017
December 2019

Location
Tsukuba City, Ibaraki
Prefecture
Tsukuba City, Ibaraki
Prefecture
Takamatsu City, Kagawa
Prefecture

AEON REPORT 2022/Sustainability Edition

Data Section

We have developed various programs that allow parttime employees to thrive in the workplace.
For example, Aeon Retail Co., Ltd. has a system thatallows all employees to utilize the same training and hiring
programs. Based on the Community Employee Program,the system eliminates differences in roles, expectations,and treatment depending on employee classifications(permanent employee or part-time employee) and enables
the continued growth of all employees based on ability,
performance, and motivation. The program eliminates
differences in educational and hiring opportunities. It also
makes it possible for anyone to advance to the position

Intending to become a company in which the “Grand
Generation” (G.G), in other words, the senior generation,
can enjoy an active life and contribute significantly, in
March 2018, Aeon Retail Co., Ltd. introduced the G.G
Partner and G.G Expert System to encourage people ofthat generation to keep working for the company.
Under this system, we reemploy personnel between
the ages of 65 and 70 and pay them by the hour. In August
2021, we newly introduced the G.G. Professional System
to reemploy those aged 70 to 75 to provide them with anopportunity to use their qualifications and make active
contributions at Aeon Retail until they reach the age of 75,
thereby helping them to lead fulfilling daily lives.

Three Platinum Kurumin-certified companies: Aeon Co., Ltd., Kasumi Co., Ltd.,The Daiei, Inc.
21 Companies that have acquired Kurumin certification: Aeon Eaheart Co., Ltd.,
Aeon Kyushu Co., Ltd., Aeon Bank, Ltd., Aeon Credit Service Co., Ltd., Aeon
Global SCM Co., Ltd., Aeon Town Co., Ltd., Aeon Tohoku Co., Ltd., Aeon Topvalu
Co., Ltd., Aeon Big Co., Ltd., Aeon Fantasy Co., Ltd., Aeon Product Finance Co.,
Ltd., Aeon Hokkaido Co., Ltd., Aeon Mall Co., Ltd., Aeon Ryukyu Co., Ltd., Welcia
Yakkyoku Co., Ltd., Origin Toshu Co., Ltd., Kohyo Co., Ltd., Sunday Co., Ltd.,
Maxvalu Tokai Co., Ltd., Maxvalu Nishinihon Co., Ltd., Reform Studio Co., Ltd.

Initiatives of Public Interest
Incorporated Foundations

■
■
■
■

Developing Our Employment System for
Senior Citizens* Platinum Kurumin-certified companies (In the order of the Japanesesyllabary, as of June 2022)

Healthy &Empowered People■■■

To help employees combine childcare and work, Aeon
Retail Co., Ltd. has established a childcare leave system anda “childcare-and-work” period that lasts until April 20 of
the year an employee’s child enters middle school. Japan
Child Care and Family Care Leave Act calls on companies
to provide a childcare-and-work period lasting until an
employees’ child begins elementary school. However,given that employees sometimes need to take time off toattend to their children who are at elementary school, we
provide a longer period. We have also introduced a system
to allow employees to take short-term leave for childcare.
Under this system, which is intended to encourage male
employees to participate in childcare, employees can takeup to 10 paid days off to care for their children.
In addition, for employees with family members
requiring nursing care, we have established a nursing
care leave system and a “nursing care-and-work” systemthat provide time off and shortened working hours,
respectively.

Aeon Group companies have been advancing initiatives
under a “General Business Owner Action Plan” pursuant
to the Act on Advancement of Measures to Support
Raising Next-Generation Children. As a result, Aeon Co.,
Ltd., Kasumi Co., Ltd., and The Daiei, Inc., have earned
Platinum Kurumin certification, and 24 Group companies
have been certified to display the Platinum Kurumin or
Kurumin logos.*

Heartful Community

Aeon Retail Co., Ltd.
“3 career paths” and “Employee working area”

Childcare and Nursing Care Support
Systems

Supporting the Balance between Work Life
and Child Raising

The Aeon Group operates the Aeon Yumemirai
Nursery at 31 locations* in Japan to help its employees,
employees of Aeon Mall tenants and residents aliketo continue to work with peace of mind while raising
their children. The nursery school is open from 7:00 a.m.
to 10:00 p.m. every day, including Saturdays, Sundays,
national holidays, and year-end and New Year holidays,
so that employees can achieve a smooth return to work
after taking maternity and childcare leave and continue
to demonstrate their abilities while raising their children.
The nursery fees are calculated based on hours of careregardless of the day of the week or time of the day tomake it easier to calculate the fees while reducing thefinancial burden on users.
Moreover, based on Aeon’s partnership with Nichii
Gakkan, employees can utilize any of the 90 nurseryschools operated for companies by Nichii Gakkan in all
prefectures.

Sustainable Planet

Based on Aeon’s human resource basic principle “business
management based on respect for human rights,” atAeon Retail Co., Ltd., we aim to create an environment
where employees with diverse abilities can continue towork and grow according to their lifestyles, feel more
active and are rewarded with careers that make the mostof their personal aims and aptitudes.
Aeon personnel system offers a “careerstyle plan”
system that supports personal growth and a “lifestyleplan” system that supports long-term work even in theface of life stage changes. For example, in FY2019, we
introduced “life support leave,” enabling employees totake a leave of absence to undergo fertility treatmentswith peace of mind.
Going forward, we will further develop our programs
and systems so that female employees, in particular,
are in a workplace environment where they can thrive
professionally while achieving a work-life balance
between their job and marriage or childcare.

of daily- or monthly-paid employee or higher, including
ambitious employees whose duties are currently based inlocal communities, if they fulfill certain conditions set by
the company.

Creating Infrastructure to Support theBalance between Work Life and Child
Raising (Yumemirai Nursery)

Aeon’s Sustainability

Ensuring Work-Life Balance

support for leisure activities and health (motivational
assistance). We aim to administer various programs
contributing to the achievement and enhancement ofcommon welfare, enabling Group employees to have asense of security, solidarity, and pride.

90

Healthy & Empowered People

Aeon DNA University

Educational Systems

Aeon Fundamental Education
This is provided for the first three years following
employment with the Company using the same
curriculum Groupwide. In addition to sharing Aeon’s
basic philosophy and set of values, the education aims to91

AEON REPORT 2022/Sustainability Edition

To develop personnel who will lead the Group business
management, Aeon invites applications from Group
company employees who meet certain requirements andsends successful candidates to enroll in MBA courses at
graduate schools in Japan. The aim is for them to learn
specialized knowledge related to management and build
their network outside of the Company.

Global Trainee System
Under this system, Aeon posts outstanding humanresources across national borders to Group companies inJapan, China, and the ASEAN region to train the future
leaders of its overseas business and provide humanresources with the ability to act at the global level. The
aim is to acquire essential knowledge and skills throughpractical experience and training overseas.

A skills competition for masters of Hot Deli

Internal Certifications and Number of Holders*(As of the end of February 2022)

Master of fresh fish preparation (grade 1)30

Master of fresh fish preparation (grade 2)

2,087

Master of fresh fish preparation (grade 3)

3,051

Baby advisor

1,011

Fashion advisor

1,227

Liquor advisor

813

Fish advisor

507

Group Recruitment System

Digital advisor

434

Home appliance advisor

571

This system allows any employee, irrespective of theircurrent business or company, to be ambitious and apply
for other positions or positions in other businesses.
In FY2021, we recruited staff who take on roles that
contribute broadly to the growth of new companies andbusinesses in line with the medium-term management
plan.

General appliance advisor

Aeon Group Self-Declaration Form System

Aeon gardening master

362

Aeon farm product master

1,679This system encourages transfer within the Aeon Group
where each employee communicates his or her desires
regarding future work, place of assignment, and timingof the transfer.
In FY2021, we introduced the system throughout the
AEON Group with plans to expand it to participatingcompanies going forward.

Internal Certification Systems
Aeon has established a wide array of internal certification
systems for specific jobs. Eight of these certifications havebeen accredited by the Ministry of Health, Labour andWelfare and recognized for their quality.

Cycle advisor
Senior cycle advisor

51
1,850
507

Beauty advisor

1,083

Handcraft advisor

647

Hot deli master

3,391

Sushi master

2,951

Aeon greenery masterDNA University class

778

Aeon energy advisor

533

Aeon beauty stylist

49

Aeon flower advisor

91

Aeon glasses advisor

20

Aeon room style advisor

184

Travel advisor

397

Livestock master

459

Livestock master +PLU

29

Denotes qualifications accredited by the Ministry of Health, Labour and Welfare*Total for Aeon Retail Co., Ltd., Aeon Retail Store Co., Ltd., Aeon Hokkaido Corporation,
Aeon Kyushu Co., Ltd., Aeon Store Kyushu Co., Ltd., Aeon Supercenter Co., Ltd., Aeon
Ryukyu Co., Ltd., Aeon Bike Co., Ltd., Aeon Liquor Co., Ltd., Maxvalu Minami Tohoku Co.,
Ltd., Maxvalu Kanto Co., Ltd., Maxvalu Hokuriku Co., Ltd., Aeon Big Co., Ltd., Kohyo Co.,
Ltd., Aeon Food Supply Co., Ltd., and Aeon Tohoku Co., Ltd. (16 companies)

Aeon “Academy” for Corporate Auditors
Corporate auditors play a key role in corporate
governance. To develop candidates for corporate auditor
positions in a planned manner, we launched an in-house“academy” in September 2014. Through education at theacademy, we aim to raise the level of auditing at eachGroup company, thereby enhancing the entire Group
governance system and developing the next generationof management leaders who can appropriately ensure
the proper execution of business. Presently, We havealso provided new full-time corporate auditors with
opportunities to learn at the academy since 2015. About
140 employees have studied at the academy and are
utilizing their knowledge for the benefit of Group
companies.

AEON REPORT 2022/Sustainability Edition

Data Section

Specialized and functional human resources training
is based around the Aeon Business School, in which
employees can learn the knowledge needed for futurejobs to which they aspire in a self-directed manner. In thisway, we facilitate the development of human resources
who will support Group functions. As basic training for
new and junior employees, the Aeon Basic Educational
Curriculum has been introduced across all Group
companies to help employees acquire a comprehensive
understanding of all the basics within three years after
joining the Aeon Group.

Sending Personnel to Graduate Schools in
Japan

Initiatives of Public Interest
Incorporated Foundations

Developing Human Resources

A skills competition for masters of fresh fish preparation

Healthy &Empowered People

Aeon has established three pillars of continuous humanresources development training, namely management
training, specialized and functional human resources
training, and basic training for new and junioremployees.
In management training, we cultivate humanresources across all Group companies, from nextgeneration leaders to current managers, to foster thedevelopment of leaders who will manage the Group in
the future. We have also built mechanisms to integrate
human resources development at Group companies andthe holding company and conduct “career development
support testing” to identify management candidates
early on to produce and cultivate candidates for
management positions early in their careers.

The Aeon Business School offers courses that allow
personnel to acquire the knowledge needed for the
positions they aspire to through self-learning. The school
system supports the self-actualization of motivatedpersonnel. In FY2021, there were 181 participants in thesix courses offered by the school.

Heartful Community

Training Programs Supporting the Growthof Employees

Aeon Business School

Sustainable Planet

Aeon upholds the Basic Principles of “Peace, People,
and Community” and regards the retail industry, which
is based on interpersonal interactions, as a “Human
Industry.” Aeon likewise respects human dignity andvalues personal relationships. Believing that each
employee can provide the Group with a driving force
for its further growth, Aeon thus focuses on thedevelopment of human resources.
Aeon is fostering its human resource development
based on the idea that the greatest form of welfare
is education, and this idea provides the philosophicalunderpinning of the Aeon Business School, which has
produced many graduates. Based on its view that theretail industry is a “Human Industry,” Aeon will continue
to provide individual employees with educational
opportunities, thereby helping them to maximize theirabilities.

have employees completely master the corporate culture
and basic skills as Aeon People.

Aeon’s Sustainability“The Greatest Form of Welfare Is
Education” Aeon Basic Approach to Human
Resource Development

In September 2012, Aeon instituted the Aeon DNA
University to train the next generation of Aeon
management by instilling the philosophy and valuesof the Company passed down since its founding. The
Chairman and Representative Executive Officer himself
serves as an instructor at the university.
In FY2021, a total of 53 employees, who are the 14th,
15th, and 16th term students selected from a group of
applicants, continued to receive instruction through thiseducational program, which included online meetings.
Approximately 260 employees have been trained and are
active in each Group company as of the end of February
2022.

92

Healthy & Empowered People

Sharing and Encouragement at Overseas Companies

Basic Approach—Aeon Code of Conduct

Aeon has been conducting the Aeon Code of Conduct
training, establishing hotlines, and instituting monitoring
systems (the Aeon Code of Conduct Survey) at Group
companies overseas since 2006.
In addition, in 2021, Aeon introduced Whistleblower
Contact Point at a Law Office, which targets overseas

Aeon Code of Conduct
1. AEON People are always grateful to the many otherindividuals who provide support and help, neverforgetting to act with humility.
2. AEON people values the trust of others more thananything else, always acting with integrity andsincerity in all situations.
3. AEON people actively seek out ways to exceed
customer expectations.
4. AEON people continually challenge themselves to find
new ways to accomplish the AEON ideals.
5. AEON people support local community growth, acting
as good corporate citizens in serving society.

Implementing the Aeon Code of Conduct Survey
employees, and workplace conditions. We also compile,
analyze, and share survey findings with Group companies
and use them to help resolve specific social issues.
In FY2021, we surveyed 60 Group companies overseas
and received 47,081 responses. We conducted the same
survey in FY2022 and will continue to strengthen our
response to compliance risk by identifying the current
conditions at each company based on an analysis of
the responses and building systems to draw up andimplement measures to improve our workplace culture.

Promotion Framework
Education and Training

AEON REPORT 2022/Sustainability Edition

Whistleblower report/
consultation
Whistleblower report/
consultation

External contact point
ReportInternal contact point (Aeon Co., Ltd.’s Corporate Ethics Team)
Instruction on response

Report of results

ReportGroup subsidiary headquarters
Instruction on response

Report of results

Executive officer
Audit Committee

Compliance Training for Aeon Executives(since 2014)

This training is designed to give new employees of Group
companies a fundamental understanding of the Aeon
Basic Principles and the Aeon Code of Conduct and ashared identity as “Aeon People.”

All Group executives use case studies and other tools toreconfirm written laws, Aeon voluntary standards, andjudgment and behavior that are illuminated by the Aeon
Basic Principles. The objective of this training is to achieveeven more customer-oriented management through thehighly resolute, ethical, and responsible officers who
protect Aeon’s reputation.

Aeon Code of Conduct Training for Senior
Management (since 2003)
Senior and mid-level executives from Group companies
learn about and share information on internaland external conditions for corporate ethics, risk
management, and compliance.
The curriculum is designed to empower participants
to make their own decisions based on ethical standards.

Employees and hourly workers of Group companies
receive general training to confirm the basic precepts of
the Aeon Code of Conduct, designed to support actual
conduct from the perspective of customers.

Training for New Employees (since 2004)

Training on legal affairs for Aeon business
Led by the Legal Affairs Department, Aeon provides
e-learning so that employees gain proper knowledge
concerning the Act against Unjustifiable Premiums andMisleading Representations, the Act against Delay inPayment of Subcontract Proceeds, etc., to Subcontractors,
the Act on Prohibition of Private Monopolization and
Maintenance of Fair Trade, and intellectual property.
Approximately 11,000 employees received training on
legal affairs for Aeon’s business in FY2021.

Data Section

93

Whistleblower (Group employee, etc.)

Aeon Code of Conduct Training for General
Employees (since 2003)

Initiatives of Public Interest
Incorporated Foundations

Since 2004, the Aeon Code of Conduct Hotline hasserved as an internal reporting system for employees
to report noncompliance and improprieties anddiscuss various workplace issues that employees findtroubling or difficult to discuss with their immediate
managers. The Hotline handles a wide variety of reports
and consultations and is available to all Aeon Group

HotlineAeon conducts training to disseminate and inculcate
the Aeon Code of Conduct as the central componentof corporate ethics, primarily through four programs:
compliance training for Aeon executives, Aeon Code of
Conduct training for senior management, Aeon Code of
Conduct training for general employees, and training
for new employees. Hiring examinations and promotion
training also incorporate the content and curricula of the
Aeon Code of Conduct.

Healthy &Empowered People

Aeon Code of Conduct Hotline

employees (including retirees). The Hotline consists of
two lines: onefor internal consultations, and one for reaching out toand consulting with external parties.
Also, from 2020 we have begun taking steps toreinforce compliance, establishing a Whistleblower
Contact Point at a Law Office for the reporting of serious
misconduct or violations of the law by executives.
The Corporate Ethics Team provides reports andconsultations to the Group companies concerned
as feedback. We rigorously enforce the rule that an
investigation shall then take place within two weeks
to ascertain the facts associated with each report orconsultation. The Corporate Ethics Team receives a reportof the results, including corrective measures. In addition,
the executive management team of Aeon Co., Ltd., andthe presidents of all Group companies receive regular
reports on all consultation matters.

Response/feedback

The Corporate Ethics Team is responsible for promoting
the Aeon Code of Conduct throughout the Aeon Groupand is under the jurisdiction of the executives responsible
for human resource management and risk management.
The Corporate Ethics Team develops and executes policies
for the entire Aeon Group related to corporate ethics andproposes and recommends specific measures to address
various problems and issues facing the Group. The Aeon
Management Committee, an Aeon Co., Ltd. executive
body, and the Audit Committee receive reports on thestatus of compliance issues, initiatives to resolve them,and Group-wide promotion of the Code of Conduct.
The presidents and branch managers of eachcompany in the Group and Aeon Retail Co., Ltd. serve as
Aeon Code of Conduct Promotion Officers. They assign
managers to the Aeon Code of Conduct Promotion
Offices to implement the Aeon Code of Conduct training,
conduct fact-finding investigations for consultations
reported through the Hotline, address revisions, andreport to Aeon Co., Ltd.
Additionally, each store and business office selectone to three employees to serve as leaders in charge ofpromoting the Aeon Code of Conduct. They work on
initiatives to disseminate and inculcate the Aeon Code of
Conduct at their worksites.

Heartful Community

Since 2003, we have conducted our Aeon Code of
Conduct Survey of employee awareness annuallyto ascertain the extent to which the Aeon Code of
Conduct has penetrated the organization and to gather
information on workplace issues, employee work styles,
motivation levels, and the like. This survey is a basis forassessing employee awareness and corporate culture
across the entire Aeon Group, including its overseas
locations, through the evaluation of the visibility ofpromotional activities, the personal commitment of

Sustainable Planet

We established the Aeon Code of Conduct in 2003
to express the Aeon Basic Principles through specificguidelines. We have also begun providing education andtraining relevant to the Code, created the Aeon Codeof Conduct Hotline as an internal reporting system, andinitiated monitoring activities (the Aeon Code of Conduct
Survey) in conjunction with the establishment of theCode in 2003.
The Aeon Code of Conduct explicitly provides Group
employees with criteria for action, consideration, andjudgment in line with the Aeon Basic Principles to serve
customers. It is a shared set of values for the Aeon Group.
In 2004, we began conducting full-fledged training
throughout the Group to ensure all employees shareand understand the Aeon Code of Conduct. Meanwhile,
Group companies overseas have been providing the same
training since 2006.

group companies and reports fraudulent activities
such as violations of laws and regulations involving
management. This service is multilingual, and we areworking to enhance the whistleblower system overseas
as well.

Aeon’s Sustainability

Compliance (Corporate Ethics)

Department in charge of response

AEON REPORT 2022/Sustainability Edition

94

Aeon Environmental Foundation
Outline of the Foundation
Programs for
the Common
Good

1. Grant/Assistance Programs
2. Tree Planting Programs
3. Award Programs
4. Environmental Education Programs
5. Other programs necessary to achieve organization’s goals

ChairmanTakuya Okada (Honorary Chairman and Advisor, Aeon Co., Ltd.)

Location

1-5-1 Nakase, Mihama-ku, Chiba-shi, Chiba, 261-8515, Japan
https://www.aeon.info/ef/en/

Aeon’s Sustainability

Corporate Citizenship

Sustainable Planet

Aeon Environmental Foundation was founded by
Takuya Okada (Aeon Honorary Chairman and Advisor)
in 1990 based on the Aeon Basic Principles of pursuingpeace, respecting humanity, and contributing to local
communities, always with the customers’ point of viewat its core. It was Japan’s first independent corporate
foundation established for environmental preservation.
Since its earliest days, the Foundation has teamed up
with various stakeholders in Japan and abroad to carryout tree-planting activities in Asia and many otherparts of the world, providing grants for environmental
programs, offering environmental education aimed
at fostering personnel with a deep awareness of theenvironment, building eco-related partnerships andawarding environmental prizes.

Tree Planting Program

Aeon Environmental Foundation and

The Foundation partners with local governments andresidents to create Aeon Forests. The different programs,
which include tree planting, offer unique experienceswith the opportunity to spend time in nature and learn
about the environment.

Watari Town, Miyagi Prefecture

Atsuma Town,
Hokkaido

95

AEON REPORT 2022/Sustainability Edition

In 1998, the Foundation began a Forest Restoration
Project at the Great Wall of China, where hundreds ofyears of logging had decimated the woodland area, incollaboration with the Beijing People’s Government.
A total of one
million trees wereby 2010, together
with 15,000
Japanese andChinese volunteers.
Tree planting
activities werealso undertaken in2013.

Jakarta, Indonesia (ongoing)
The depletion of forests that help to protect against
disasters in coastal areas has become an issue in Indonesia
alongside continued economic growth and development.
The first tree-planting program took place between 2011
and 2013, and the second has been ongoing since 2018.
We have planted 82,000 mangrove trees to date withsome 7,000 local and Japanese volunteers.

Data Section

Trees have been planted at sites where leisure facilities
used to exist in the upper reaches of the Atsuma River,where the topsoil had been washed away, severely
hindering groundwater recharging capabilities. In
response to the need to recover the forestland to serve asprotection against disasters, a total of 16,400 trees wereplanted over three
years to restore thefunctions that the
woodlands originallypossessed andstably secure water
resources.

The Great Wall, China

Initiatives of Public Interest
Incorporated Foundations

To restore protective coastal forests that were swept
away in the tsunami after the Great East Japan
Earthquake, tree species were selected in consultation
with a local NPO and arborist. Over a three-year period,
44,500 seedlings ofblack pine, Konara
Oak, and otherspecies cultivatedafter the disasterwere replanted in thearea.

The Foundation conducts tree planting programs in Asiaand around the world in cooperation with stakeholders
overseas.
We have planted trees in the communities of 11
countries, including Japan, thus far.

Healthy & Empowered People

Aeon 1% Club Foundation

Tree Planting Activities in Japan

Tree Planting Activities Outside Japan
Heartful Community

Initiatives of Public Interest
Incorporated Foundations

The Foundation works with volunteers around the world
to plant trees to regenerate forests devastated by natural
disasters and logging, provide a defense against disasters,
and help prevent global warming.

AEON REPORT 2022/Sustainability Edition

96Tree Planting Activities Tree Planting Amid
COVID-19

Sapling Foster Parents Project

The COVID-19 pandemic has affected our lives andsociety in major ways and made it difficult to conducttree-planting activities with large numbers of people. In
response, the Foundation is planning and implementing
projects that allow people in each region to participate
in forest development without the need to go to treeplanting sites.

Tree Planting Project Celebrating the 30th
Anniversary of the Foundation

TOPICS

2021 based on strict measures to prevent the spread of
COVID-19. A total of 410 local volunteers planted 3,040
trees of native varieties, such as rhododendron dilatatum,
the symbolic flower of Kimitsu City. Biomass toilets were set
up for the day of the tree-planting ceremony in considerationof the environment. These toilets are equipped with a system
to break down human waste through activated carbon.
Chiba University is conducting research using the forest
and Aeon Credit Service
Co., Ltd. and My Basket
Co., Ltd. are carryingout forest development
activities that include
clearing undergrowth andplanting trees.
My Basket volunteers clear undergrowth

The Foundation supports non-profit organizations
actively engaged in conservation work to create asustainable society. Every year the Foundation calls forapplications and gives out grants amounting to ¥100

Grants provided in 31st round (FY2021)

Number of groups subsidized

3,250¥2,965.91 million

1st round (FY1991) to 31st round (FY2021)(As of February 2022)

97

AEON REPORT 2022/Sustainability Edition

97 groups/Total: ¥94.14 million
Basic theme
Fields of activity

Revitalization of Common Land in “Satoyama” (meaning
villages that live sustainably with their nearby forest andmountains)
1. Conservation, maintenance, and management of satoyama(including the land, rivers, lakes, and sea)
2. Restoration of satoyama that includes tree planting
3. Protection of wild animals, plants, and endangered species
4. Utilization of natural resources
5. Education about the natural environment■ Gunma Naturalist Shizen Hogo Kyogi-kai

Activity: Education on the natural environment
This organization conducts research into butterflies
and plants with people from inside and outside theregion, holds nature walks, and strives to increaseawareness of andspread information
about environmental
protection. It
also holds photo
exhibitions to convey
the importance ofconservation.

TOPICS
Donating to Conserve the Environment of aWorld Natural Heritage Site
To preserve the natural environment in the northern part of
Okinawa and Iriomote Island, in July 2021, the Foundation
donated ¥10 million each to Kunigami Village, Ogimi
Village, Higashi Village, and Taketomi Town, which includes
Iriomote Island, for a total of ¥40 million. The donations
were made in response to a decision by the World Heritage
Committee of the United Nations Educational, Scientific andCultural Organization (UNESCO) to register the area as a
World Natural Heritage site. The donations will be used toconserve the subtropical evergreen forests, protect endemic
species such as the Okinawa rail (bird) and Okinawa
woodpecker, and for other projects that help conserve theWorld Natural Heritage site.
Outline of donation
Recipients

Kunigami Village, Ogimi Village, Higashi Village, andTaketomi Town, Yaeyama County in Okinawa

Total amountdonated¥40 million
Conserve subtropical evergreen forests
Protect endemic species such as the Okinawa rail andOkinawa woodpecker• Other projects that help conserve the World Natural
Heritage site••

Application

Environmental Education
The Foundation provides opportunities to increaseawareness of and learn about the environment tostimulate interest and develop individuals with the ability
to tackle environmental issues.

To date, 679 university students from 10 countries
have participated in the program.

Asian Students Environment Platform (ASEP)

Data Section

Total amount of grants provided

million. A portion of the costs incurred by the selectedorganizations is subsidized, and the basic themes andfields of activity change in response to the times.

Activity: Conservation of land, mountains, and sea andpurification of rivers in satoyama
This NPO conveys the importance of preserving“yatsuda” (meaning rice paddies in the valley of low,
hilly areas) and satoyama through activities such as
nature walks, collecting garbage, cutting the grassalong ridges andwaterways, andgrowing rice, which
are undertaken withlocal citizens. It also
releases a calendar
showcasing the natureand creatures of theyatsuda.

Initiatives of Public Interest
Incorporated Foundations

Environmental Grant Program■ Chiba Environmental Information Center (NPO)

Healthy & Empowered People

The Aeon Forest Program in Kimitsu City is a model projectfor regenerating local forests pursuant to an agreement
reached with the Kanto Regional Forest Office of Japan’s
Forestry Agency and a memorandum of understanding withKimitsu City in Chiba Prefecture. With the cooperation of theForestry Research Institute of the Chiba Prefectural Agriculture
and Forestry Research Center and Chiba University, areas
devastated by deforestation are divided up according to
objective, such as to regenerate a hometown forest. The plan
is to plant 6,000 trees over a five-year period and enhance thetree-planting site. At the same time, we aim to contribute toregional revitalization through forest development activities by
providing residents the opportunity to spend time in forests
and nature and learn about the environment.
Tree planting activities were carried out twice in(NPO)

Activity: Tree planting
Beech trees are being planted with local citizens to
restore the lost beech forest based on the objective of
the Mori Sato Kawa Umi Project (Forest Village River
Sea Project) to bring stability to life in the Shirakami
area by valuing its
natural resources.
In addition to beech
trees, native species
are nurtured fromthe seedling stage
and replanted in the
Shirakami forest.

Activity: Protection of wildlife and endangered species
To preserve the endangered deciduous Callery peartree, this organization teams up with local citizens toclear trees and undergrowth, conduct benchmarking
surveys, and take nature walks. It also holds exhibitions
with panels, such as at the Nagoya Biodiversity
Center Fair, and carries out other programs to spreadthe importance ofconserving the Callery
pear tree.

Heartful Community

Aeon Forest Program in Kimitsu City Provides Experience in Nature andEnvironmental Education■ The Shirakami Mountains Preservation Society■ Aichi Moriyama Shizen-no-kai

Sustainable Planet

A project to plant 300,000 trees is being undertaken tocommemorate the 30th anniversary of the Foundation.
In cooperation with local
governments, the Foundation is
distributing saplings to residents
to create famous cherry blossom
locations and beautify local
communities.

Examples of activities subsidized in the 30thround of grants

Aeon’s Sustainability

The Foundation has
initiated the Sapling
Foster Parents Project,in which we provide
saplings to local
volunteers who havetaken part in tree
planting activities.
Volunteers raise
trees for one year athome or school, after which the saplings are replanted
at Aeon’s forests nationwide. The project enables theFoundation’s tree-planting activities to continue without
interruption. In FY2021, we asked volunteers in Okinawa
to serve as foster parents for yew plum pine saplings,
which are essential for the restoration of Shujiro Castle,
and planted them around Benoki Dam in Kunigami
Village, Okinawa Prefecture.

University students from Asian countries gather to discussand make proposals on global environmental issues
beyond national borders while learning about differencesin the natural environment and the values of eachcountry to nurture individuals who can take on a globally
active role in the environmental field.

AEON REPORT 2022/Sustainability Edition98

Donation of Solar Power Systems
Waseda University
Japan
Participation in the first meeting (2012)
Korea University
South Korea
Participation in the first meeting (2012)
Tsinghua University
China
Participation in the first meeting (2012)
Vietnam National University, Hanoi
VietnamParticipation in the second meeting (2013)
University of Malaya
Malaysia
Participation in the third meeting (2014)
University of the Philippines
Philippines
Participation in the eighth meeting (2019)

Since 2009, the Foundation has been donating solar
power systems to elementary and junior high schools
inside and outside Japan to promote and spread theuse of renewable energy and support environmental
education.
Recipient Schools
2018

Three schools in the Hong Kong Special Administrative Region
Tai Kok Tsui Catholic Primary School (Hoi Fan Road), Hong Kong SAR
Shak Chung Shan Memorial Catholic Primary School, Hong Kong SAR
Aberdeen St. Peter's Catholic Primary School, Hong Kong SAR
Kowloon Bay St. John the Baptist Catholic Primary School, Hong Kong SAR

2012

Japan

2rd meeting2013 South Korea Humans and the Environment

3rd meeting

2014

China

Five schools in Wuhan, China

2017

2009

Five schools in Wuhan, China

One school in each of Fukuoka, Saitama, andOsaka prefectures

2010

Thinking About the Environment Through Culture
2014

Water and People

Ten schools in Ho Chi Minh,
Cambodia

2013

2015

VietnamBiodiversity and People

5th meeting

2016

Japan

Biodiversity and Wisdom

6th meeting

2017

Japan

Biodiversity and Regeneration

7th meeting

2018

Malaysia

Gifts from the Tropical Rainforests

8th meeting

2019

CambodiaCreating Sustainable Peace■ FY2021

One school in each of Chiba, Ibaraki,
Shizuoka, Kagawa, Nara, and Kagoshima
prefectures

2021

Kochi Shiritsu Josai Junior High School

Aeon Eco-1 Grand Prix
The Aeon Eco-1 Grand Prix celebrates outstanding ecoactivities by high school students who will inherit the
future of the planet. It provides an arena for high schools
nationwide tackling environmental activities to present
their achievements in the hope that they will increaseawareness of the environment and provide the impetus
for other schools to take on eco-activities.
Aeon 1% Club Foundation has sponsored thecompetition since 2021.

1. Biodiversity conservation
2. Sustainable use and development of resources
3. Environmental education utilizing UNESCO
Biosphere Reserves
4. Raising awareness about the value andknowledge of UNESCO Biosphere Reserves

The Foundation established Aeon Towa Research Centerin cooperation with Waseda University in September
2020 to solve current environmental issues. By combining
the experience, knowledge, and academic research ofboth the Foundation and Waseda University, we aim toaddress regional issues, including the environment, anddevelop human resources with strong environmental
awareness.

The start of a collaborative relationship between Aeon
Environmental Foundation and Waseda University■ Tohoku University

The Foundation, Tohoku University, and AEON MALL
Co., Ltd. entered into a three-party industry-academia
partnership agreement in June 2021 to create a safe,
secure, and resilient community. The partnership led tothe establishment of the Aeon Disaster-Resilient andEnvironmentally-Friendly City Creation Joint Research Lab
within the International Research Institute of Disaster
Science, which is undertaking initiatives in this regard.

Remote Sensing Technology Center of Japan(RESTEC)

1. Sustainable regional development using
remote sensing technology
2. Education on the environment■ The University of Tokyo

In March 2022, the Foundation, together with The
University of Tokyo’s Institute for Future Initiatives,
established the Aeon Todai Satoyama Laboratory to build
a healthy society in harmony with nature and revitalize
local economies. The lab has already proposed a newconcept for “satoyama,” or villages that live sustainably
with their nearby forest and mountains, and is carryingout activities to realize the vision in specific areas.

Initiatives of Public Interest
Incorporated Foundations

In July 2019, the Foundation signed a partnershipagreement with RESTEC, which utilizes information
gathered via advanced remote sensing technologies
through observations of the Earth’s surface from aremote location via satellite and other means for forest
management, among other objectives. The partnershipwill focus on the following two areas that are to thebenefit of children, who shoulder responsibility for the
next generation.

Healthy & Empowered People

9th meeting
Building a Recycling-Oriented Society
Held: August 9-11, 2021
Venue: Indonesia (online)
A total of 88 people from nine universities in ninecountries participated remotely in the three-day
program, which was held online for the first time due
to COVID-19. Participating students, who attended
virtual lectures and watched educational videos, weredivided into ten multinational teams to discuss various
themes. On the final day, each team presented theirideas on how to build a recycling-oriented society. As
a new endeavor, other students from the participating
schools watched the presentations of the proposals
online. The 10th meeting in FY2022 was held in Japan
from August 2-4.

Two schools in Selangor, Malaysia
One school in each of Penang, Kuala
Lumpur, Negeri Sembilan, Malacca,
Kedah, Perak, Johor, and Pahang

2011■ Waseda University

Heartful Community

4th meeting

One school in each of Hiroshima, Aichi, Mie,
Miyazaki, Hyogo, and Okayama prefectures

Biosphere Reserves are protected areas established interrestrial, coastal, and marine ecosystems designatedunder UNESCO’s Man and the Biosphere (MAB)
Program for protecting biodiversity. In August 2017, theFoundation concluded a partnership agreement with
JBRN, a first in Japan, in support of the philosophy of
the UNESCO Biosphere Reserves to not only promoteecosystem conservation and protection but also
demonstrate a balanced relationship between people
and nature. Both organizations are working under
this agreement in the following four areas to ensureabundant nature is passed down to future generations.

New Partnerships for a Better Earth

Sustainable Planet

1st meeting

The Foundation cooperates with local governments,
universities, private groups, and other stakeholders totackle environmental issues. In addition, the MIDORI Prize
for Biodiversity was established to honor individuals andgroups for outstanding efforts to preserve biodiversity.

Japanese Biosphere Reserves Network (JBRN)

2019

2016

Participation in the seventh meeting (2018)

Partnerships

Three schools in the Hong Kong Special Administrative Region

2021
University of Indonesia
Indonesia
Participation in the fifth meeting (2019)

Environmental Partnerships
Aeon’s Sustainability

Royal University of Phnom Penh
CambodiaParticipation in the fourth meeting (2015)
Chulalongkorn University
ThailandParticipation in the sixth meeting (2017)
University of Yangon
MyanmarParticipation in the seventhmeeting (2018)

Data Section

99

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition

10 0

Aeon 1% Club Foundation

TOPICS

ProfilePurpose andProjects

1. Projects to contribute to the improvement of educational andliving environments in Asian countries, and international cultural andperson-to-person exchanges and human resources development
2. Projects to foster interest in the field of food production, and tosupport research and education on productivity improvement in thefield of food production
3. Projects to educate and raise awareness toward promoting
environmental and landscape conservation
4. Projects to promote the local culture and society
5. Other projects required to realize the purpose of Aeon 1% ClubFoundation

Chairman

Yoshiki Mori

Address

1-5-1 Nakase, Mihama-ku, Chiba City, Chiba 261-8615
https://aeon1p.or.jp/1p/en/

Sustainable Planet

Aeon has teamed up with the designer
Katharine Hamnett, who creates sustainableclothing lines that are as environmentallyfriendly as possible and based on ethicalproduction, to launch “Saving the Planet”
slogan t-shirts. A portion of the proceedsfrom the sale of these t-shirts, amounting to¥3,585,600, has been donated to the Aeon
Environmental Foundation to assist with tree
planting efforts.

The Aeon 1% Club Foundation was established in 1990
to fulfill our corporate social responsibilities based on
the Aeon Basic principles of pursuing peace, respecting
humanity, and contributing to local communities,
always with the customers’ point of view as its core.
Major Aeon Group companies donate 1% of their pretax profits that the Foundation uses for environmental
and social activities in collaboration with the region,other companies, schools, and local government, witha focus on three core areas: Sound development of thenext generation, promotion of friendship with foreigncountries, and sustainable development of Regional
communities.

Aeon’s Sustainability

Collaboration with Aeon Companies

Sound Development of the Next Generation

AwardsThe MIDORI Prize for Biodiversity(International Prize)

Winners of the 7th MIDORI Prize for
Biodiversity (Japan Awards)
Aeon Environmental Foundation

Supported by

The Ministry of the Environment

Winning Organization

Project

Obirame Restoration Group

Project to restore the population of theendangered Japanese huchen in the
Shiribetsu River

NPO Toume

Management and operation of terraced
rice paddies and preservation of
biodiversity in flora and fauna using theheadwaters of the Noto Peninsula

Toyoda Iron Works Co., Ltd.

Activities to increase awareness of
biodiversity using the Toyotetsu Forest

Kamiina Agricultural High School(Nagano Prefecture) Community
Design Glocal Course

Preserving the future of the Ina Valley
dobsonfly: Aiming for sustainable
conservation and utilization of the riverine
ecosystem

https://www.aeon.info/ef/midoripress2020/en/award/winner/index.html

Winners of the 7th MIDORI Prize for
Biodiversity (International Awards)
This award was established by the Foundation in 2010
in commemoration of the 20th anniversary of theFoundation. This year was also the year of the United
Nations International Year of Biodiversity. The award ispresented biennially in recognition of individuals who
have made significant contributions and outstandingachievements related to biodiversity.
Past winners of the MIDORI Prize for
Biodiversity (International Awards)

URL

https://www.aeon.info/ef/midoripress2020/
en/prize/winner/index.html

The Aeon Cheers Club was launched
in 1996, inspired by the Foundation’s
support for the Junior Eco Club,a project of the Ministry of theEnvironment. The Club provides
opportunities for children from thefirst grade of elementary school to thethird grade of junior high school tolearn about social rules and manners
Experiencing leek harvestingwith the Utsunomiya
through group activities while
Farmer’s Programcultivating their interest, awareness,
and ability to think about the environment andagriculture through hands-on activities at 420 locations
nationwide. A total of 5,206 children have taken part in
the activities as of the end of February 2022.
Each club selects a specific theme based on regional
characteristics related to the environment and society,and in FY2021, clubs carried out activities including
agricultural experiences, wildlife surveys, and learning
about local specialty produce. In addition, as a measureagainst COVID-19, members conducted at-home activities
such as observing the growth of vegetables using homegrowing kits and taking part in poster and poetry
contests with environmental themes.

Launch of Aeon Cheers Club Welcia TsukubaFirst Aeon Cheers Club Formed with Welcia
Holdings to Promote Regional Wellness
In September 2022, the Aeon 1% Club Foundation, withthe cooperation of Welcia Holdings Co., Ltd. and throughcoordination between twenty-two Welcia Pharmacy stores(Welcia Yakkyoku Co., Ltd.) within Tsukuba City, Ibaraki
Prefecture, launched Aeon Cheers Club Welcia Tsukuba,
the first to be based at a drugstore.
The first meeting was attended by 21 of the 25 membersof Aeon Cheers Club Welcia Tsukuba and their families.
Based on the theme, “Eat Delicious Food to Stay Healthy,”
the children experienced harvesting locally grown rice anda hands-on cooking activity to learn about the effects ofspices used in curry.

Activities for children in Tsukuba based on
the theme of taking care of one’s healthOpening ceremony on September 11

The activities at Aeon Cheers Club
Welcia Tsukuba

Data Section

O2FarmPreserving the landscape of worldrenowned Minami Aso in the Japanesecountryside for the next generation: Bestpractices and proposals for agriculturallandscapes

URL

Aeon Cheers Club

TOPICS

Initiatives of Public Interest
Incorporated Foundations

Sponsored by

Past winners of the MIDORI Prize for
Biodiversity (Japan Awards)

The Foundation cultivates children’s abilities toproactively perceive and think about the local
environmental and social issues while learning aboutsocietal rules. It also supports building new schools incountries that lack sufficient educational facilities.

Healthy & Empowered People

This award was established in 2009 prior to Japan holding
the 10th Conference of the Parties (COP10) to theConvention on Biological Diversity in 2010. The award ispresented to schools, organizations, and individuals inJapan who have made outstanding contributions in theareas of biodiversity conservation and sustainable use,
as well as awareness-raising activities and information

sharing regarding biodiversity in Japan.
(The award was renamed the Biodiversity Japan Awardin 2022.)

Heartful Community

The Foundation has established awards to promotebiodiversity conservation and sustainable use and honor
individuals and groups in recognition of outstandingachievements.

Wall Newspaper Contest in the Hokuriku/Shinetsu region

101

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition

10 2

Aeon Eco-1 Grand Prix

Commemorative photo with prize
certificate (Prime Minister’s Prize, Research& Technical Category: Aichi Prefectural
Anjo Norin High School)

In some parts of Cambodia, Laos and Myanmar, it
is difficult to ensure a hygienic water supply, andunhygienic pond water or groundwater, which contains
substances that may be hazardous to health, is used as
domestic water. In addition, many children are unable
to attend school as their time is consumed by fetchingwater from far distances. The Aeon UNICEF Safe Water
Campaign was started in 2010 tosupport such children in both healthand educational aspects. Throughthe Japan Committee for UNICEF,
donations from Aeon customers andcontributions by the Aeon 1% Club
play a valuable part in the provisionof safe water and the constructionof water supply facilities.

Overseas Program

Japan Program~Aeon is Opposed to All War and Conflict~ Donated ¥100 million to Help the Children of Ukraine

1st

Event Biodiversity (Vietnam)

8th

Event Food and Health (Japan)

2nd

Event Sustainable Development (Vietnam)

9th

Event Food and Health (Indonesia)

3rd

Event Water and Economy (Japan)

10th

Event Food and Health (Vietnam)

4th

Event Waste Issues (Indonesia)

11th

5th

Event Air Pollution (Vietnam)

6th

Event Waste Issues (China)

Event Issues, Areas for Improvement,
and Breakthrough Solutions in School
Education during the Coronavirus
Pandemic (Online)

7th

Event Water Quality Problems (Thailand)

12thFood Loss (Online)

Aeon Scholaship
Visit Each Other’sCountry

Visiting the Ministry of Foreign Affairsof China

Exchange activity to learn about the history andculture of the country through tours of historicalsites and facilities■ Previous Exchange Nations

Italy, Indonesia, UK, Australia, Korea, Cambodia, Thailand,
China, Germany, Philippines, Brazil, Bulgaria, Vietnam,
Peru, Malaysia, Myanmar, Laos, Japan

The Aeon Scholarship is an allowance-based scholarshipfor university students in various Asian countries and selffinanced Asian students studying in Japan. The project
started in 2006 in the hope that recipients play an activerole in the future, connecting their home countries withJapan in their respective specialist fields. In addition
to year-round financial support, the project offers
opportunities for various study curriculums and volunteer
activities aimed at scholarship students studying in Japanand provides support for students aiming to develop
into global talent. Support has been provided to 7,927
scholarship students from 11 countries thus far.
Countries with participating universities

Asia Youth Leaders
Asia Youth Leaders is a program in which high school
students from various Asian countries observe and attend
lectures by specialists on the theme of common social
issues, followed by substantial debate and searchingfor solutions to problems using English as a common
language. Students with different cultural values fromeight countries, Indonesia, Cambodia, Thailand, China,
Japan, Vietnam, Malaysia, and Laos, deepen theirunderstanding of ideas and opinions different from

Japan
China
MyanmarThailand

Vietnam
Cambodia

Indonesia

Students receiving their scholarshipcertificates (International Universityof Japan)

TOPICS
Aeon Scholarship 2022 Certificate Awarding Ceremony
Supporting the Dreams of Students for the Future of Asia

Fundraising at Aeon Style Hinode

Fundraising methods:
1. In-store donations at over 10,000 Aeon Group nationwide
2. Donations received via Aeon Bank account
3. Donations received via Aeon Card and Aeon Points
4. Donations received via Waon Points

In July 2022, a ceremony was held to award 60 students* from Cambodia, China,
Indonesia, Malaysia, Myanmar, the Philippines, South Korea, Thailand, and Vietnam
with certificates under the Aeon Scholarship program for FY2021 and FY2022.
The two-day event included a speech titled “My Dream” by a scholarship student
certified in FY2022, as well as a video message for students from representatives ofeach country’s embassy in Japan, a congratulatory message from a representative ofthe donating companies, and a seminar on Aeon Group companies and history.
* Includes 32 scholarship students certified in FY2022 and 28 certified in FY2021.

Data Section

The children of Ukraine are the innocent victims of the current war. They havebeen robbed of their peaceful way of life and forced to flee to far-off locations
or make do in the unfamiliar surroundings of evacuation shelters. The Aeon 1%
Club Foundation is donating ¥100 million to safeguard these children’s lives
and provide whatever relief it can.
The donated funds will be utilized via UNICEF (United Nations Children'sFund) to supply water, emergency medicine, winter clothing and blankets,
educational supplies, and toys.
In addition, Aeon Group companies implemented a fundraising campaign tohelp the children of Ukraine from March 8 to April 30, 2022. The funds donatedby Aeon customers totaled ¥466,656,366*. This donation was combinedwith a matching contribution from the Aeon 1% Club Foundation for a total of¥933,312,732, which was donated to the Japan Committee for UNICEF.
It is our sincere wish that peace and stability will return to the daily lives of
the children of Ukraine as swiftly as possible.

Host Country & Theme

Initiatives of Public Interest
Incorporated Foundations

TOPICS

10 3 AEON REPORT 2022/Sustainability Edition

The Teenage Ambassadors Program is an exchange
project in which high school students from Japan andother nations visit each other’s countries and strengtheninternational mutual understanding and friendship.
Young people of the same generation, but differing
cultures, traditions, and lifestyles, interact via three
activities: Ambassador Activity, Exchange Activity,and History & Culture Activity. This program has been
held annually since 1990, with a cumulative total of 18
countries, including Japan, and 2,241 participants.

Healthy & Empowered People

https://aeon1p.or.jp/1p/en/youth/sakubun/

Teenage Ambassadors Program

their own and broaden theirperspectives to foster the young
leaders of the next generation.
In 2021, students from various
countries were connected online
via Zoom to discuss the issue
of food loss reduction under
the three-year overall theme
Commemorative photo withof “Creating the Future of
Certificates of Participation in hand
Sustainable Food to Contributeto the Realization of a Decarbonized Society.” Some
1,066 people have participated in the program to date.

Heartful Community

Using the theme of “Food”, which fosters a healthy bodyand mind and rich human characteristics, the Foundation
holds the Junior High School Students Essay Contest to
foster participants’ skills to collect their ideas and express
them to others. Aimed at junior high school students
nationwide, we endeavor to promote dietary education
by celebrating and widely circulating outstanding entries.
In FY2021, we invited participants to write essays on thetheme of “Food Loss: Let’s Reduce Waste” and received
7,952 entries. In addition, a “Food Loss” documentary
was streamed, and a “Future of Food” meeting was

URL

Based on the principle that basic education isindispensable for the realization of a peaceful society,since 2000.
The Foundation has been supporting the buildingof schools in five Asian countries in which educational
facilities are underdeveloped. We have utilized donations
made by Aeon customers nationwide and the Aeon 1%
Club to complete the constructionof 426 schools as of the end of
February 2022 in Cambodia, Nepal,
Laos, Vietnam, and Myanmar. This
includes assistance for soft aspects,
such as the training of teaching
staff, the construction of schoolbuildings, and the provision ofwater supply systems and classroom
supplies.

The Foundation provides students with opportunities forinternational cultural and interpersonal exchange andstrengthens the bonds of friendship between Japan andother countries by deepening mutual understanding. In
addition, we support the development of internationallyminded citizens through actions such as awarding
scholarships to foreign students in Japan.

Aeon Unicef Safe Water Campaign

Junior High School Students Essay Contest

See prize-winning entries here:

School Construction Support Project

Promotion of Friendship with Foreign Countries

Sustainable Planet

Commemorative photo with prize
certificate (Prime Minister’s Prize,
Dissemination & Education Category:
Akita Prefectural Omagari Agricultural
High School)

held to provide the opportunity for opinion exchange
between gold prize-winners. By sharing ideas with peersof the same age, we hope that participants will deepen
their culinary understanding and connect the knowledge
to their future actions.

Aeon’s Sustainability

The Aeon Eco-1 Grand Prix celebrates outstanding ecoactivities by high school students. It provides an arena forhigh schools nationwide tackling environmental activities
to present their achievements and share information. The
Grand Prix was started in 2012 in the hope that it would
provide young people, who will inherit the future of ourplanet, with an impetus to think about environmental
issues and take action. At the Final Evaluation Committee
for the 10th Aeon Eco-1 Grand Prix, which was held online,
two schools that conducted initiatives with awareness for“Local Production for Local Consumption” and “Recyclingoriented Society” were awarded the Prime Minister's Prize.
A total of 1,165 schools have taken part since 2012.

Scholarship students certified in FY2021 and FY2022

AEON REPORT 2022/Sustainability Edition

10 4

Sustainable Development of Regional Communities■ Support Fund for COVID-19 Medical Workers■ Aeon Sukusuku Lab. (Parenting Laboratory)

The Foundation donated a total of 37,527,596 yen to thedomestic regional governments of 22 prefectures andsix cities, from our desire to support the many medical
workers responding at the front lines of the pandemic tohelp those infected by the novel coronavirus (COVID-19).

Disaster Relief Assistance
The Foundation provides support for disaster relief andreconstruction so that people affected by large-scale
natural disasters can resume their normal daily lives as
quickly as possible. The Foundation carries out swift
donations of emergency funds in regions affected bydisasters, both in Japan and overseas, to be used forreconstruction activities.

■ Donations to ASEAN Governments to Support
COVID-19 Vaccination

Presentation ceremony of support fund for COVID-19
medical workers (Chiba City)

Shuri Castle Relief Assistance Project
The Foundation endorses the “Shuri Castle Relief
Assistance Project” implemented by Aeon Co., Ltd. in
response to the major damage caused to Shuri Castle(Naha City) by a large-scale fire. Together with customers,
we plan to donate 500 million yen over five years,
starting from 2021, to the restoration of the castle so
it can be passed down to the next generation. In 2021,
we presented 100 million yen to Okinawa Prefectural
Government as the second segment of our donation.

■ Fundraising for Support for People with
Disabilities in Asia

The Foundation endorses the activities of the NPO
Association for Aid and Relief, Japan (AAR Japan),which actively implements educational and employment
support for people with disabilities in Cambodia, Laos,and Myanmar, where the provision of social welfare
systems remains underdeveloped in comparison to othercountries. We have been conducting fundraising activities
since fiscal year 2016.

Heartful Community

Aiming towards a swift end to the novel coronavirus(COVID-19) pandemic, the Foundation donated a totalof 70 million yen to the governments of respective
ASEAN countries: Malaysia, Vietnam, Indonesia, Thailand,
and Cambodia, as support funds to assist COVID-19
vaccination programs.

Local children experiencing Hiroshima Children’s Kagura (Shinto music and dance)

Sustainable Planet

Aeon Parenting Laboratory is an activity that supports
regional members of the child-raising generation andprovides opportunities for participants to become
familiar with Japanese nursery rhymes and songs.
Aimed at young children aged 0-3 and their families,
the Laboratory has been held nationwide, mainly at
Aeon Malls, since 2008. The program consists of twoparts: an advice seminar on child-raising by Professor
Katsumi Tokuda from the Faculty of Medicine, Universityof Tsukuba, who is known as a leading authority on
child-raising, and a concert of nursery rhymes by singing
sisters Saori Yuki and Sachiko Yasuda, sung together withchildren in the audience.

Aeon’s Sustainability

The Foundation supports the transmission of traditional
events and culture firmly rooted in local regions, whichneeds to be passed down to the next generation,
and works to foster new talent who will shoulder the
responsibilities of such activities. In addition, we support
the revival and reconstruction of regions damaged bylarge-scale natural disasters.

part of the Tohoku revival support project, its area has
been expanded, and local junior high school students inregions nationwide are now invited to attend.

Seminar on child-raising

Healthy & Empowered People

Presentation ceremony of support fund for COVID-19 vaccinations (Malaysia)

Donating wheelchairs to children in Cambodia

Preservation Of HomeTown Culture

Presentation ceremony of support fund for COVID-19 vaccinations (Indonesia)

As a member of regional communities, the Foundation
aims to pass down traditional culture and history tochildren who shoulder the responsibility of the future. It
also provides the opportunity for people in these regions
to strengthen connections, which leads to enrichedcommunities.

■ Aeon Hometown Discovery

Nursery rhyme concert by Ms. Saori Yuki and Ms. Sachiko Yasuda

The Foundation holds storytelling events of regional
folktales read by actress Atsuko Asano at shrinesand historic sites nationwide, with the hope thatchildren, the leaders of the next generation, will gaina renewed understanding of the value of “Furusato”(hometown culture) and feel affection and pride for
their hometowns. Since this activity began in 2012 as■ Supporting Regional Community Events

10 5 AEON REPORT 2022/Sustainability Edition

Data Section

By supporting festivals and local events nationwide,
the Foundation aims to pass down traditional eventsand culture firmly rooted in local regions. In 2021,
although many events nationwide were canceled due tothe pandemic, the Foundation-supported events were
held with infection control measures, enabling children
to experience traditional arts and tangibly perceive
traditional culture.
The Foundation has supported 693 events thus far.
Presentation ceremony of support fund for COVID-19 vaccinations (Thailand)

Initiatives of Public Interest
Incorporated Foundations

Donation to Okinawa Prefecture

Hosting an AEON Hometown Discovery event

AEON REPORT 2022/Sustainability Edition

10 6

Environmental Management

Data Section
perspectives of the Group’s growth and realizing a sustainable
society, Aeon is proactively working to build an environmental
management system integrated with our business.

Aeon Basic
Principles

The
Customers
PeopleCommunity–Aeon
Decarbonization
Vision–Aeon Biodiversity
Principle–Aeon Sustainable
Procurement Policy
and 2020 Goals

Groupwide
Policy–Aeon Zero Waste
Initiative Concept–Aeon Plastic Usage
Policy–Food waste
reduction targets

107

AEON REPORT 2022/Sustainability Edition

Aeon
Environme
ntal Policy

Company B
Environme
ntal Policy

Company C
Environme
ntal Policy

3. We will strive to implement resource recycling
initiatives to sustainably use resources.
(1) We will promote “reduce, reuse, and recycle” for all
the resources we use.
(2) We will strive to select raw and general materials
that have a lower impact on the environment.
4. We will comply with legal requirements and withother obligations related to the environment andstrive to prevent pollution. In addition, we willcommunicate this policy to all persons working
for or on behalf of the organization and make itavailable to the public.
5. We will develop partnerships with many
stakeholders, including our customers, andwiden the reach of our initiatives.
Revised March 2020

Motoya Okada
Director, Chairman, andRepresentative Executive Officer
Aeon Co., Ltd.
* The following Group companies conduct their business operations in accordancewith the Aeon Environmental Policy: Aeon Co., Ltd., Aeon Retail Co., Ltd., Aeon
Retail Store Co., Ltd., Aeon Supercenter Co., Ltd., Maxvalu Minami Tohoku Co., Ltd.,
Maxvalu Kanto Co., Ltd., Maxvalu Nagano Co., Ltd., Maxvalu Hokuriku Co., Ltd.,
Aeon Big Co., Ltd., Aeon Integrated Business Service Co., Ltd., My Basket Co., Ltd.,
Aeon Bike Co., Ltd., Aeonliquor Co., Ltd. (as of February 2022)

AEON REPORT 2022/Sustainability Edition

Data Section

Policy ofIndividualCompanies

2. We will promote conservation activities andascertain the benefits and impact of ourbusiness activities on natural ecosystems.
(1) We will strive to develop and procure products thatuse properly managed resources in consideration ofsustainability.
(2) We will promote tree planting and raising activities
and undertake activities that safeguard theecosystems of local communities.

Initiatives of Public Interest
Incorporated Foundations

Aeon
Sustainability
Principle

1. We will strive to reduce greenhouse gases
emissions in all our business activities to realize
a decarbonized society.
(1) We will continually improve the energy efficiency of
our stores.
(2) We will strive to reduce the emission of greenhousegases in all phases of our product supply chain.

Healthy & Empowered People

Peace

We strive to balance enriching lifestyles withenvironmental conservation by providing customers
with safe and comfortable stores, products, andservices.
We also operate an environmental management
system to implement measures, conduct periodical
reviews, and promote continual improvements toenvironmental performance.

Heartful Community

Environmental Policy System

Aeon Environmental Policy*

Sustainable Planet

To realize its basic policy for sustainability from the dual

Aeon established the Aeon Sustainability Principle in linewith the Aeon Basic Principles as the fundamental policy
governing the environmental and social contribution
activities of Aeon Group companies. Following thesepolicies, the Aeon Decarbonization Vision, the Aeon
Biodiversity Principle, and the Aeon Plastic Usage Policy
also represent environmental goals and policies for theentire Group.
Each Group company conducts effective measures
following the establishment of environmental policies
and environmental management systems based on theirunique characteristics. This is because Aeon encompasses
a multitude of business areas and the challenges thateach Group company faces may differ depending on theiroperating format and sector. For example, Aeon Co., Ltd.
undertakes environmental protection activities based on
the Aeon Environmental Policy, which sets targets andobjectives for such activities pursuant to the key issues
defined in the Aeon Sustainability Principle.
Targets for the following fiscal year are determinedby sharing the status of activities undertaken across theentire Group under the guidance of Aeon managers incharge of the environment and social contribution, as
well as by an evaluation of the progress toward meeting
previous targets.

Aeon’s Sustainability

Environmental Policy System

10 8

List of ISO14001-Certified Companies (As of February 28, 2021)
Company

Company
Aeon Mall Co., Ltd.
*3

Aeon Retail Co., Ltd.

Aeon Kyushu Co., Ltd.

Aeon Supercenter Co., Ltd.

Aeon Credit Service Co., Ltd.

Maxvalu Minami Tohoku Co., Ltd.

Aeon Ryukyu Co., Ltd.

Maxvalu Kanto Co., Ltd.

Aeon Delight Co., LTD.

Maxvalu Nagano Co., Ltd.*1

Mega Sports Co., Ltd.

Maxvalu Hokuriku Co., Ltd.

Cox Co., LTD.

Aeon Integrated Business Service Co., Ltd.

Maxvalu Tokai Co., Ltd.
Research Institute for Quality Living Co., Ltd.

Aeon Retail Store Co., Ltd.

Aeon Hokkaido Co., Ltd*4

My Basket Co., Ltd. Head Office

Guangdong Aeon Teem Co., Ltd.

Aeon Bike Co., Ltd. Head Office

The Daiei, Inc.

Aeonliquor Co., Ltd. Head Office

Aeon Market Co., Ltd.

*2

Aeon Tohoku Co., Ltd

The Maruetsu, Inc.

Aeon Food Supply Ltd.

Aeon Delight (Jiangsu) Co., Ltd.

Maxvalu Nishinihon Co., Ltd.

Aeon Delight (Wuhan) Co., Ltd.

Winning the Grand Prize at the Eco Kentei
Awards: Branshes Co., Ltd. Initiatives
Branshes received the outstanding performance
award in the “eco-people” division at the 2012
event and has won an award in the “eco-units”
division in each of the following eight consecutive
years.
The company was highly rated for its activities
aimed at leaving a clean environment for the
next generation, updating its activities every year,
and trying new endeavors while taking measuresagainst COVID-19.

Environmental Education

TOPICS
Initiatives at Aeon Credit Service Co., Ltd.

10 9 AEON REPORT 2022/Sustainability Edition

Winning the Outstanding Performance Awardat the Eco Kentei Awards: Aeon Mall Co., Ltd.
Initiatives
In its medium-term environmental plan, Aeon Mall
upholds the target of all its employees passing
the Eco Kentei and thereby being certified asenvironmental specialists. 1,531, or about 80%, of
its employees in Japan are so certified as a result of
having passed the test.
Aeon Mall implemented reforms in 2021 tostrengthen its ability to create social and economic
value and grow together with local communities
through ESG-based management. This includes
spreading awareness of ESG (environmental,
governance, social) issues by incorporating thisconcept into individual goals for the year, whichheightens understanding. The ESG Award wasintroduced in-house to recognize employees
striving to achieve ESG objectives in step withthe entire organization. Aeon Mall will continue
encouraging employees to undertake ESG-related
activities to accelerate its efforts.

Aeon Delight Co., Ltd. Initiatives

Major activities
1. Coral reef restoration activity Branshes
Sango Forest
Since 2010, for coral reef restoration, Branshes
has been donating 10% of the proceeds from thesale of original hand towels. The pile fabric part of
new towels is now made of 100% organic cotton,
and the packaging was changed to paper. As ofthe end of June 2021, a total of 735,000 yen had
been donated from the sale of 18,027 hand towels,
and the number of corals planted in Okinawa
through the donation and by employee volunteers
totaled 268.

Aeon Delight is focused on developing humanresources specializing in facility management
to continue contributing to the resolution ofcustomer and local community issues. Aeon Delight
Academy Nagahama, a research and training
facility in Nagahama City, Shiga Prefecture, trained
11,840 personnel across 425 courses in FY2021.
Approximately 30 unique practical training
programs and lectures are provided that reproduce
actual facility environments.
Ongoing efforts have led to more than 20,000
qualified personnel, including people indispensableto facility maintenance and those with theknowledge and skills to reduce environmental
burden.

2. Soliciting pictures of sea creatures and thecoral reef
Aeon solicited pictures of living creatures in thesea and around the coral reef from children ofelementary school age and under to increase theirinterest in the environment during the coronavirus
pandemic. The children also took part in the sea
turtle release program from their homes by coming
up with names for the baby turtles.

Data Section

Companies that have acquired ISO 14001 certification
periodically undergo internal audits. For instance,
at Aeon Retail Co., Ltd., each store, company, anddepartment of the head office is audited in accordancewith an internal audit checklist each year to assess andresolve the issues of not only each department but alsoof the entire company. In addition, operational audits
are utilized to improve performance by confirming theresolution of issues identified in store audits.
By incorporating environmental management-related
items, such as the status of Group policy measuresand procedures, into the audit items of the GroupManagement Audit Department, we have a system inplace that also confirms the status of companies thathave not acquired ISO14001 certification.

Branshes conducts a “clean & green” activity inthe area surrounding the head office every month.
Also, its employees voluntarily participate in theBlue Santa Project by dressing up in blue andpicking up trash to clean the sea.

Initiatives of Public Interest
Incorporated Foundations

Environmental Internal Audit

Award ceremony

3. Cleaning activity and other initiatives

Healthy & Empowered People

Taking the impact of our business activities on theenvironment into consideration, we have acquired ISO
14001 certification to systematically manage and promote
our environmental initiatives. Aeon Credit Service Co., Ltd.
has set an environmental goal of “reducing environmental
impact by improving business efficiency.” With this goal inmind, the company continues to engage in various initiatives
with customers to reduce paper usage. Such initiatives
include using tablets for in-store credit card applications
and shifting from paper-based statements received throughmail to online credit card statements available on theInternet. In addition to reducing paper, using Web-basedstatements helps reduce CO2 emissions, as it eliminates theneed for physical delivery.

Aeon provides time in its various training sessions for
employees, including newcomers, to learn about its
environmental policies and initiatives to raise theirawareness of the environment.
We provide training for employees at each company
that obtains ISO 14001 certification. For Aeon Retail Co.,
Ltd., we introduced Web-based training tools and madeit obligatory for all employees to carry the ISO 14001
handbook. In these ways, we foster an understanding ofour policies and objectives and make employees aware of
their roles.
Training seminars for internal environmental auditors
led by qualified instructors are also held every year tofacilitate the smooth operation of the environmental
management system.
At Aeon and Aeon Retail companies that haveacquired ISO 14001 certification, approximately 2,300
auditors have attended the training seminars since 2000
(as of February 2022).

The pictures from the ten entries selected foroutstanding awards were put on plates along withthe child’s name. The plates will be used for coral
reef conservation activities.

Heartful Community

Total operating revenue from the 32 companies that have acquired ISO 14001 certification
exceeds 70% of the Group total.
*1 In June 2021, Maxvalu Nagano was merged into Aeon Big.
*2 In September 2020, Maxvalu Tohoku and Aeon Retail‘s food supermarkets in Tohoku were
integrated into Aeon Tohoku.
*3 In September 2020, Maxvalu Kyushu was merged into Aeon Kyushu.
*4 On March 1, 2020, Maxvalu Hokkaido was merged into Aeon Hokkaido.

The Tokyo Chamber of Commerce and Industry
organizes the Eco Kentei Awards to acknowledge
the achievements made by “eco-people” (those
who passed the Eco Test) and “eco-units”(companies and organizations) that are conducting
exemplary environmental activities.
At the Awards held for FY2021, Branshes Co.,
Ltd. and Aeon Mall Co., Ltd. received the grandprize in the “eco-units” division.

Sustainable Planet

Aeon Big Co., Ltd.

Wastewater discharged from Aeon stores rarely, if ever,contains hazardous substances. Sometimes, however,this wastewater may contain large amounts of oil, which
can violate legal standards, clog drainage pipes, or cause
other accidents. As a result, Aeon uses videos and otherteaching materials to conduct training for its employees
and the employees of its tenants to ensure day-to-day
maintenance is correctly performed, including compliancewith cleaning grease traps. We have made improvements
by strengthening day-to-day management, including
regularly taking photographs of grease traps to monitor
their condition and for instructional use. We have also
adopted a system of hygiene checking handled by a third
party. The continuous implementation of these efforts
is part of our method for maintaining a proper level ofmanagement. Furthermore, Aeon Retail Co., Ltd. andseveral other Aeon Group companies perform water
quality testing concurrently, including for sewage, aspart of annual voluntary inspections. Stores where values
exceed our voluntary standards, which are even stricter
than legal requirements, are required to take corrective
action that helps to improve our overall wastewater
management practices.

Aeon’s Sustainability

Aeon Co., Ltd.

Group Company Initiatives

Wastewater Management

AEON REPORT 2022/Sustainability Edition

110Environmental Accounting

FY2021 ISO 14001 Targets and Performance=Achieved

Environmental
Policy=Did not achieve but will continue to make efforts

TargetResults

Promote energy conservation
Reduce electric consumption by 1.5% relative to FY2020

Low Carbon* Target varies according to company

Evaluation

Main Category

Target: 1,885,426,000 kWhResult: 1,914,310,000 kWh
Stated target 101.5%
Comparison last year 100.0%
Companies reaching targets:Maxvalu Hokuriku Co., Ltd., Maxvalu Minami Tohoku Co., Ltd.,
Aeon Supercenter Co., Ltd., Aeon Big Co., Ltd.
Result: 0.39% Stated target 96.3%
Comparison last year 91.9%

Participating companies
Maxvalu Hokuriku Co., Ltd., Maxvalu Minami Tohoku Co., Ltd.,
Aeon Supercenter Co., Ltd., Aeon Big Co., Ltd.

Companies reaching targets:Maxvalu Minami Tohoku Co., Ltd., Aeon Supercenter Co., Ltd.,
Aeon Big Co., Ltd.

Realization of
DecarbonizedSociety

Subcategory* Each company sets targets to help reduce material consumption
Aeon Retail Co., Ltd., Aeon Retail Store Co., Ltd.:
Increase plastic bag refusal rate
Maxvalu Kanto Co., Ltd.: Reduce 22 kinds of plastic materials
Review recycling route for trays collected in-store
Maxvalu Minami Tohoku Co., Ltd.: Increase plastic bag refusal rate
Maxvalu Hokuriku Co., Ltd.: Enhance in-store collection and recycling
Aeon Supercenter Co., Ltd.: Increase plastic bag refusal rate
Aeon Big Co., Ltd.: Increase plastic bag refusal rate

* Targets for reduction of electricity consumption are shared Group-wide. Each company sets two items to achieve based on Aeon Group’s material issues, environmental guidelines, and company policies.

10,298,128

3,659,566

31,863

Management of fluorocarbon

Adoption of natural refrigerant equipment,
fluorocarbon filling, and leakage management

1,601,414--

Carbon offsets

Carbon offsets

Distribution

Adoption of modal shift, etc.

Tree-planting activities

Customer

Reduction of materials used inpackaging and containers

DisposalTree planting*2
3,848t-CO2

Products

CO2

CO2
CO2

Electricity:
1,452,403,000 kWh

CO2 emissions*1

Packaging

666,662t-CO2

CO2

Discharged into air

StoresUtility gas: 24,123,000 m3
LPG: 1,150 t
Heavy oil: 1,523 kl
Kerosene: 0 kl

Recycling 118,292t
Food scrap recycling
Styrofoam volume reduction
Waste oil recycling
Cardboard

Social Activities

CO2 reduction throughcollection of recyclable items

Environmental
Communication

Other materials*4

6,583,883m3
2,195,661m3

OA, photocopy paper: 821t

Suppliers

Waste products

60,866t-CO2
Waste products
Cardboard

AEON REPORT 2022/Sustainability Edition

51,605-

3,484

1,066,314--

1,117,919

-

3,484

10,907,742

208,657-

Processing cost of recyclables collected in-store,

191,380

514,193

120,485

Processing cost of recycling food residue, etc.

1,280,815

516,049-

Consignment fees for recycling in accordance with
the Container Recycling Law, etc.

1,628,123-

99,164

Subtotal

14,008,060

1,238,899

219,649

Aeon Hometown Forests Program tree-planting,ceremony, construction costs, etc.

Waste disposal at stores, offices, etc.

Contributions to the Aeon Happy Yellow Receipt
Campaign*

296,486--

Human resources development

Activities of the Aeon Cheers Club

23,034--

Tohoku reconstruction support

Coastal forest regeneration in the disaster area,
Aeon’s future co-creation program

15,731--

Human rights issues

COC audit, fair trade products

64,385--

Subtotal

399,636--

Dissemination and disclosureof environmental information

Production of Environmental and Social Report,
environmental advertising, etc.

511,325--

Donations, etc.

Membership dues in and donations for environmentalorganizations (donations, etc., to local WAON)

161,478--

Subtotal

672,803--2,281,731--

Products

Recyclable items
collected
Aluminum cans:1,243 t
Food trays:559t
Paper cartons 1,056 t
PET bottles: 2,862t

Management of waste
disposal

Waste disposal management-related expenses

Operation of EMS(environmental management
system)Cost of implementing the environmental management
system (ISO)81,353--

Maintenance of equipment
and devices

Maintenance and management of equipment for
preventing environmental pollution, prevention ofenvironmental accidents, and restoration in case ofan accident

8,249,035--

Subtotal

10,612,119

-

-

Total

40,954,972

4,961,627

338,277

Applicable companies: 60 consolidated Group companies (General Merchandise Store Business, Supermarket Business, Health & Wellness Business, Financial Services Business, Shopping center Development
Business, Services & Specialty Store Business, shared function companies, etc.)* Activities of volunteer groups receiving Aeon Happy Yellow Receipt Campaign proceeds: (1) promoting welfare, (2) promoting environmental conservation and education, (3) promoting urban development,(4) promoting arts and culture, (5) promoting child health and safety

AEON REPORT 2022/Sustainability Edition

Data Section

CO2 emissions*5

Suppliers

Energy*4Light oil:23,591kℓ

Environmental
Management
Recycling
Manufacturers

Output*1 Calculation based on energy consumption of equipment at stores and business sites.
*2 Calculated based on the total number of trees planted Groupwide under the “Aeon Hometown Forests” program.
*3 Calculated based on the 3R basic unit method (Waste Management and Recycling Department, Ministry of the Environment; March 2013).
*4 Calculated by multiplying the ratio of Aeon Retail by the total energy used by Aeon Global SCM.
*5 Calculated using the CO2 emissions coefficient (2.62 t-CO2/kl) for light oil.

111

Disposal

66,498 t

Input

115,144

25,172t-CO2*3

Recycling
Water
Well water

3,722,728

Initiatives of Public Interest
Incorporated Foundations

Energy*4

CO2Discharge 184,790t

14,144,435

Contributions to local
communities

CO2

Separated collection
boxes

Shopping bags: 1,624 t
Food trays: 5,285 t
Wrapping paper: 338 t
Paper bags: 318 t(Private power generation:
37,223,000 kWh
Renewable energy power
generation: 2,947,000 kWh)

4,903
14,228

Healthy & Empowered People

In-store collection
boxes

OutputInput

330
48,569Reduction of waste

OutputPackaging

15,671
2,198,676

Regular maintenance for planted zones, etc.

Environmental Load in FY2021 Business Activities[Aeon Retail Co., Ltd]64,150Adoption of energy-efficient equipment (installationof LED lighting, visualization of energy usage, etc.)

Waste disposal

Better Use of
Resources

14,263

Energy-saving

Subtotal

Targets missed

30,546

CO2 Reduction(t-CO2)

Heartful Community

Increase sales at Aeon Topvalu Co., Ltd.
Participating companies
Aeon Retail Co., Ltd., Aeon Retail Store Co., Ltd.

GeneralTarget achieved by:
Maxvalu Kanto Co., Ltd., Maxvalu Hokuriku Co., Ltd.

Economic Benefits(Thousand JPY)

Installation cost for photovoltaic power systems

Subtotal

Conservation of
Biodiversity

Environmental
Conservation Costs(Thousand JPY)

Generation of electricity

Reduce single-use plastic consumption

Resource
recycling

Accounting Items

Sustainable Planet* Target varies according to company

Reduce food waste-to-sales ratio

FY2021

Aeon’s Sustainability[Companywide Targets]

112

GRI Standards Indicators
No.

Title

Organizational Profile
102-1
Name of the organization
102-2

Activities, brands, products, andservices

102-3

Location of headquarters

102-6

Markets served

102-7

Scale of the organization

102-8

Information on employees
and other workers

102-9

102-10

Supply chain

Significant changes to the organizationand its supply chain

Precautionary Principle or approach102-12External initiatives

102-13

Membership of associations

a. Whether and how the organization applies the Precautionary Principle or approach.
a. A list of externally-developed economic, environmental and social charters, principles, or otherinitiatives to which the organization subscribes, or which it endorses.
a. A list of the main memberships of industry or other associations, and national or international
advocacy organizations.

Title• Corporate Data (P.126)

102-22Composition of the highest governancebody and its committees

102-23Chair of the highest governance body102-24

Nominating and selecting the highest
governance body102-25

Conflicts of interest

102-26

Role of highest governance body insetting purpose, values, and strategy

102-27

Collective knowledge of highest
governance body

• Corporate Data (P.126)• At a Glance (Management Edition P.27)• Corporate Data (P.126)• Corporate Data (P.126)• Fair Business with Consideration for Human
Rights (P.49)

102-28

Evaluating the highest governancebody’s performance102-29Identifying and managing economic,
environmental, and social impacts• Corporate Governance (Management Edition
P.45)• Message from the President (Management
Edition P.11)

Strategy102-14102-15

Statement from senior decision-maker

Key impacts, risks, and opportunities

102-31a. A description of key impacts, risks, and opportunities.

• Message from the President (Management
Edition P.11)• Setting Material Issues (P.11)• Due Diligence Process for Human Rights(P.49)• Aeon Basic Principles (Management Edition
P.1)• Cover Stories (Management Edition P.3)
• Aeon Sustainability Compass (P.7)

102-34Nature and total number of criticalconcerns102-35

Remuneration policies

102-36

Process for determining remuneration

102-37

Stakeholders’ involvement inremuneration

102-38Annual total compensation ratio

102-39Percentage increase in annual totalcompensation ratio

Ethics and integrity
102-16

Values, principles, standards, andnorms of behavior

102-17

Mechanisms for advice and concerns
about ethics

102-18Governance structure102-19Delegating authority

102-20102-21

113

Executive-level responsibility foreconomic, environmental, and social
topicsConsulting stakeholders on economic,
environmental, and social topics

AEON REPORT 2022/Sustainability Edition

a. A description of the organization’s values, principles, standards, and norms of behavior.
a. A description of internal and external mechanisms for:i. seeking advice about ethical and lawful behavior, and organizational integrity;
ii. reporting concerns about unethical or unlawful behavior, and organizational integrity.
a. Governance structure of the organization, including committees of the highest governance body.
b. Committees responsible for decision-making on economic, environmental, and social topics.

a. Process for delegating authority for economic, environmental, and social topics from the highest
governance body to senior executives and other employees.
a. Whether the organization has appointed an executive-level position or positions with responsibility
for economic, environmental, and social topics.
b. Whether post holders report directly to the highest governance bodya. Processes for consultation between stakeholders and the highest governance body on economic,
environmental, and social topics.
b. If consultation is delegated, describe to whom it is delegated and how the resulting feed- Structureback is provided to the highest governance body.

102-30102-32102-33

Effectiveness of risk management
processes
Review of economic, environmental,
and social topics
Highest governance body’s role insustainability reporting
Communicating critical concerns• Compliance (P.93)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Fair Business with Consideration for Human
Rights (P.49)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Fair Business with Consideration for Human
Rights (P.49)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Fair Business with Consideration for Human
Rights (P.49)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Fair Business with Consideration for Human
Rights (P.49)

a. Processes for evaluating the highest governance body’s performance with respect to governance ofeconomic, environmental, and social topics.
b. Whether such evaluation is independent or not, and its frequency.
c. Whether such evaluation is a self-assessment.
d. Actions taken in response to evaluation of the highest governance body’s performance with respect
to governance of economic, environmental, and social topics, including, as a minimum, changes inmembership and organizational practice.
a. Highest governance body’s role in identifying and managing economic, environmental, and social
topics and their impacts, risks, and opportunities – including its role in the implementation of due
diligence processes.
b. Whether stakeholder consultation is used to support the highest governance body’s identificationand management of economic, environmental, and social topics and their impacts, risks, andopportunities.
a. Highest governance body’s role in reviewing the effectiveness of the organization’s risk
management processes for economic, environmental, and social topics.
a. Frequency of the highest governance body’s review of economic, environmental, and social topics
and their impacts, risks, and opportunities.
a. The highest committee or position that formally reviews and approves the organization’ssustainability report and ensures that all material topics are covered.
a. Process for communicating critical concerns to the highest governance body.
a. Total number and nature of critical concerns that were communicated to the highest governancebody.
b. Mechanism(s) used to address and resolve critical concerns.
a. Remuneration policies for the highest governance body and senior executives for the following
types of remuneration:i. Fixed pay and variable pay, including performance-based pay, equity-based pay, bonuses, anddeferred or vested shares;
ii Sign-on bonuses or recruitment incentive payments
iii. Termination payments;
iv. Clawbacks;
v. Retirement benefits, including the difference between benefit schemes and contribution rates forthe highest governance body, senior executives, and all other employees.
b. How performance criteria in the remuneration policies relate to the highest governance body’s andsenior executives’ objectives for economic, environmental, and social topics.
a. Process for determining remuneration.
b. Whether remuneration consultants are involved in determining remuneration and whether they are
independent of management.
c. Any other relationships that the remuneration consultants have with the organization.
a. How stakeholders’ views are sought and taken into account regarding remuneration.
b. If applicable, the results of votes on remuneration policies and proposals.
a. Ratio of the annual total compensation for the organization’s highest-paid individual in eachcountry of significant operations to the median annual total compensation for all employees(excluding the highest-paid individual) in the same country.
a. Ratio of the percentage increase in annual total compensation for the organization’s highest-paid
individual in each country of significant operations to the median percentage increase in annual
total compensation for all employees (excluding the highest-paid individual) in the same country.

• Corporate Governance (Management Edition
P.45)• Corporate Governance (Management Edition
P.45)• Corporate Governance (Management Edition
P.45)• Corporate Governance (Management Edition
P.45)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Corporate Governance (Management Edition
P.45)• Sustainability Management Structure (P.11)• Corporate Governance (Management Edition
P.45)• Corporate Governance (Management Edition
P.45)

Data Section• Message from the President (Management
Edition P.11)

a. Measures taken to develop and enhance the highest governance body’s collective knowledge of
economic, environmental, and social topics.

Contents

Initiatives of Public Interest
Incorporated Foundations

a. A statement from the most senior decision-maker of the organization (such as CEO, chair, or
equivalent senior position) about the relevance of sustainability to the organization and its strategy
for addressing sustainability

Disclosurea. Composition of the highest governance body and its committees by:i. executive or non-executive;ii. independence;iii. tenure on the governance body;iv. number of each individual’s other significant positions and commitments, and the nature of thecommitments;
v. gender;
vi. membership of under-represented social groups;vii. competencies relating to economic, environmental, and social topics;viii. stakeholder representation.
a. Whether the chair of the highest governance body is also an executive officer in the organization.
b. If the chair is also an executive officer, describe his or her function within the organization’s
management and the reasons for this arrangement.
a. Nomination and selection processes for the highest governance body and its committees.
b. Criteria used for nominating and selecting highest governance body members, including whether
and how:i. stakeholders (including shareholders) are involved;
ii. diversity is considered;iii. independence is considered;iv. expertise and experience relating to economic, environmental, and social topics are considered.
a. Processes for the highest governance body to ensure conflicts of interest are avoided and managed.
b. Whether conflicts of interest are disclosed to stakeholders, including, as a minimum:
i. Cross-board membership;
ii. Cross-shareholding with suppliers and other stakeholders;iii. Existence of controlling shareholder;iv. Related party disclosures.
a. Highest governance body’s and senior executives’ roles in the development, approval, and updatingof the organization’s purpose, value or mission statements, strategies, policies, and goals related toeconomic, environmental, and social topics.

Healthy & Empowered People

102-11

No.

Heartful Community

Location of operations
Ownership and legal forma. Name of the organization.
a. Location of the organization’s headquarters.
b. Primary brands, products, and services, including an explanation of any products or services thatare banned in certain markets.
a. Location of the organization’s headquarters.
a. Number of countries where the organization operates, and the names of countries where it has
significant operations and/or that are relevant to the topics covered in the report.
a. Nature of ownership and legal form.
a. Markets served, including:i. geographic locations where products and services are offered;ii. sectors served;
iii. types of customers and beneficiaries.
a. Scale of the organization, including:i. total number of employees;
ii. total number of operations;iii. net sales (for private sector organizations) or net revenues (for public sector organizations);
iv. total capitalization (for private sector organizations) broken down in terms of debt and equity;
v. quantity of products or services provided.
a. Total number of employees by employment contract (permanent and temporary), by genderb. Total number of employees by employment contract (permanent and temporary), by region.
c. Total number of employees by employment type (full-time and part-time), by genderd. Whether a significant portion of the organization’s activities are performed by workers who are not
employees. If applicable, a description of the nature and scale of work performed by workers who
are not employees.
e. Any significant variations in the numbers reported in Disclosures 102-8-a, 102-8-b, and 102-8-c (suchas seasonal variations in the tourism or agricultural industries).
f. An explanation of how the data have been compiled, including any assumptions made.
a. A description of the organization’s supply chain, including its main elements as they relate to theorganization’s activities, primary brands, products, and services.
a. Significant changes to the organization’s size, structure, ownership, or supply chain, including:i. Changes in the location of, or changes in, operations, including facility openings, closings, andexpansions;ii. Changes in the share capital structure and other capital formation, maintenance, and alteration
operations (for private sector organizations);iii. Changes in the location of suppliers, the structure of the supply chain, or relationships with
suppliers, including selection and termination.

Contents

Sustainable Planet

102-4
102-5

Disclosure

Aeon’s Sustainability

AEON Report Management Edition: https://www.aeon.info/en/ir/library/aeon-report/

AEON REPORT 2022/Sustainability Edition

114

TitleDisclosure

Contents

No.

Title

102-40

List of stakeholder groupsa. A list of stakeholder groups engaged by the organization.

102-41

Collective bargaining agreements

a. Percentage of total employees covered by collective bargaining agreements.

102-42

Identifying and selecting stakeholdersa. The basis for identifying and selecting stakeholders with whom to engage.

102-43

Approach to stakeholder engagement

a. The organization’s approach to stakeholder engagement, including frequency of engagementby type and by stakeholder group, and an indication of whether any of the engagement wasundertaken specifically as part of the report preparation process.

Key topics and concerns raised

201-1

Direct economic value generated anddistributed

a. An explanation of the process for defining the report content and the topic Boundaries.

• Editorial Policy (P.2)

201-2

Financial implications and other risks
and opportunities due to climatechangeii. a description of the impact associated with the risk or opportunity;iii. the financial implications of the risk or opportunity before action is taken;

Entities included in the consolidated
financial statements

102-47

List of material topics

102-48

Restatements of information

102-49Changes in reporting

102-50

Reporting period

a. Reporting period for the information provided.

• Editorial Policy (P.2)

102-51

Date of most recent reporta. If applicable, the date of the most recent previous report.

• Editorial Policy (P.2)

102-52

Reporting cycle

a. Reporting cycle.

• Editorial Policy (P.2)

102-53

Contact point for questions regarding
the reportc. If a fund set up to pay the plan’s pension liabilities is not fully covered, explain the strategy, if any,
adopted by the employer to work towards full coverage, and the timescale, if any, by which theemployer hopes to achieve full coverage.

a. The contact point for questions regarding the report or its contents.

• Editorial Policy (P.2)

d. Percentage of salary contributed by employee or employer.

a. A list of the material topics identified in the process for defining report content.
a. The effect of any restatements of information given in previous reports, and the reasons for such
restatements.
a. Significant changes from previous reporting periods in the list of material topics and topic
Boundaries.

• Aeon’s Sustainable Management (P.5)• Aeon’s Management Approach (P.12)

v. the costs of actions taken to manage the risk or opportunity.
a. If the plan’s liabilities are met by the organization’s general resources, the estimated value of thoseliabilities.

• Aeon’s Sustainable Management (P.5)

b. If a separate fund exists to pay the plan’s pension liabilities:* Not applicable during this period

i. the extent to which the scheme’s liabilities are estimated to be covered by the assets that have been
set aside to meet them;* Not applicable during this period
201-3

Defined benefit plan obligations andother retirement plansi. ‘This report has been prepared in accordance with the GRI Standards: Core option’;ii. ‘This report has been prepared in accordance with the GRI Standards: Comprehensive option’.

i. tax relief and tax credits;a. The GRI content index, which specifies each of the GRI Standards used and lists all disclosures
included in the report.

ii. subsidies;iii. investment grants, research and development grants, and other relevant types of grant;

GRI content index

ii. the page number(s) or URL(s) where the information can be found, either within the report or inother published materials;
iii. if applicable, and where permitted, the reason(s) for omission when a required disclosure cannot
be madea. A description of the organization’s policy and current practice with regard to seeking external
assurance for the report.
b. If the report has been externally assured:102-56External assurance

i. A reference to the external assurance report, statements, or opinions. If not included in theassurance report accompanying the sustainability report, a description of what has and what has
not been assured and on what basis, including the assurance standards used, the level of assurance
obtained, and any limitations of the assurance process;• Comparison with GRI Standards

201-4

Financial assistance received fromgovernmentviii. other financial benefits received or receivable from any government for any operation.
b. The information in 201-4-a by countryc. Whether, and the extent to which, any government is present in the shareholding structure.

• Decarbonization and Climate Change (P.20)
Greenhouse Gas
Emissions, Scope 1 and 2(Third party verification)

Market Presence• Sustainability Management Structure (P.11)

202-1

b. The Boundary for the material topic, which includes a description of:i. where the impacts occur;ii. the organization’s involvement with the impacts. For example, whether the organization has caused
or contributed to the impacts, or is directly linked to the impacts through its business relationships.

d. The definition used for ‘significant locations of operation’.

• Aeon’s Sustainable Management (P.5)• Aeon’s Management Approach (P.12)

a. Percentage of senior management at significant locations of operation that are hired from the local
community.
202-2

c. Any specific limitation regarding the topic Boundary.

Proportion of senior management hiredfrom the local community

a. An explanation of how the organization manages the topic.

a. Extent of development of significant infrastructure investments and services supported.

i. Policies
ii. Commitments
iii. Goals and targets• Aeon’s Sustainable Management (P.5)• Aeon’s Vision for Sustainability (P.7)

203-1

Infrastructure investments and services
supported

203-2

Significant indirect economic impacts

vi. Grievance mechanismsvii. Specific actions, such as processes, projects, programs and initiatives
i. the mechanisms for evaluating the effectiveness of the management approach;ii. the results of the evaluation of the management approach;iii. any related adjustments to the management approach.

AEON REPORT 2022/Sustainability Edition

a. Examples of significant identified indirect economic impacts of the organization, including positive
and negative impacts.
b. Significance of the indirect economic impacts in the context of external benchmarks andstakeholder priorities, such as national and international standards, protocols, and policy agendas.

* Not applicable during this period

Procurement Practicesa. An explanation of how the organization evaluates the management approach, including:
Evaluation of the management
approach• Urban Development and Forming Bonds(P.60)• Aeon’s Sustainable Management (P.5)• ISO14001 Certification (P.109)

204-1

Proportion of spending on local
suppliers

a. Percentage of the procurement budget used for significant locations of operation that is spent on
suppliers local to that operation (such as percentage of products and services purchased locally).

Data Section

v. Resources

b. Current or expected impacts on communities and local economies, including positive and negative
impacts where relevant.
c. Whether these investments and services are commercial, in-kind, or pro bono engagements.

iv. Responsibilities

103-3

c. The organization’s geographical definition of ‘local’.

Indirect Economic Impacts

c. A description of the following, if the management approach includes that component:
The management approach and its
components

b. The definition used for ‘senior management’.
d. The definition used for ‘significant locations of operation’.

b. A statement of the purpose of the management approach.

103-2

a. When a significant proportion of employees are compensated based on wages subject to minimum
wage rules, report the relevant ratio of the entry level wage by gender at significant locations ofoperation to the minimum wage.
b. When a significant proportion of other workers (excluding employees) performing the organization’s
activities are compensated based on wages subject to minimum wage rules, describe the actions
taken to determine whether these workers are paid above the minimum wage.
c. Whether a local minimum wage is absent or variable at significant locations of operation, bygender. In circumstances in which different minimums can be used as a reference, report which
minimum wage is being used.

Initiatives of Public Interest
Incorporated Foundations

Ratios of standard entry level wage by
gender compared to local minimum
wage

a. An explanation of why the topic is material.

103-1* Not applicable during this periodvii. financial incentives;

Management Approach

Explanation of the material topic andits Boundaryv. royalty holidays;
vi. financial assistance from Export Credit Agencies (ECAs);

ii. The relationship between the organization and the assurance provider;iii. Whether and how the highest governance body or senior executives are involved in seeking
external assurance for the organization’s sustainability report.

iv. awards;

Healthy & Empowered People

b. For each disclosure, the content index shall include:102-55iii. when that estimate was made.

e. Level of participation in retirement plans, such as participation in mandatory or voluntary schemes,
regional, or country-based schemes, or those with financial impact.
a. Total monetary value of financial assistance received by the organization from any government
during the reporting period, including:a. The claim made by the organization, if it has prepared a report in accordance with the GRI
Standards, either:i. the number of the disclosure (for disclosures covered by the GRI Standards);

ii. the basis on which that estimate has been arrived at;

Heartful Community

Claims of reporting in accordance with
the GRI Standards

b. An explanation of how the organization has implemented the Reporting Principles for defining
report content.

• Responding to Climate Change throughScenario Analysis (Management Edition P.37)• Setting Material Issues (P.11)• Decarbonization and Climate Change (P.20)

iv. the methods used to manage the risk or opportunity;

102-46102-54115

i. a description of the risk or opportunity and its classification as either physical, regulatory, or other;

Sustainable Planeta. A list of all entities included in the organization’s consolidated financial statements or equivalent
documents.
b. Whether any entity included in the organization’s consolidated financial statements or equivalent
documents is not covered by the report.

ii. Economic value distributed: operating costs, employee wages and benefits, payments to providersof capital, payments to government by country, and community investments;b. Where significant, report EVG&D separately at country, regional, or market levels, and the criteria
used for defining significance.
a. Risks and opportunities posed by climate change that have the potential to generate substantive
changes in operations, revenue, or expenditure, including:

Reporting Practice
Entities included in the consolidated
financial statements

i. Direct economic value generated: revenues;iii. Economic value retained: ‘direct economic value generated’ less ‘economic value distributed’.

i. how the organization has responded to those key topics and concerns, including through its
reporting;ii. the stakeholder groups that raised each of the key topics and concerns.

102-45

Contents

a. Direct economic value generated and distributed (EVG&D) on an accrual basis, including the basic
components for the organization’s global operations as listed below. If data are presented on a
cash basis, report the justification for this decision in addition to reporting the following basic
components:• Labor Union (P.52)

a. Key topics and concerns that have been raised through stakeholder engagement, including:
102-44Disclosure

Economic Performance

Aeon’s Sustainability

No.

Stakeholder Engagement

b. The organization’s geographical definition of ‘local’.
c. The definition used for ‘significant locations of operation’.

AEON REPORT 2022/Sustainability Edition

116

TitleDisclosure

Contents

205-1

205-2

Operations assessed for risks related tocorruption

Communication and training aboutanti-corruption policies and procedures

No.

Title

a. Total number and percentage of operations assessed for risks related to corruption.

a. Total volume of water withdrawn, with a breakdown by the following sources:b. Significant risks related to corruption identified through the risk assessment.

i. Surface water, including water from wetlands, rivers, lakes, and oceans;

Confirmed incidents of corruption andactions taken

ii. Groundwater;
303-1

Water withdrawal by source

v. Municipal water supplies or other public or private water utilities.
b. Standards, methodologies, and assumptions used.
a. Total number of water sources significantly affected by withdrawal by type:i. Size of the water source;
303-2

Water sources significantly affected bywithdrawal of water

Materials used by weight or volume

Recycled input materials used

301-3

Reclaimed products and their packaging
materials

a. Total volume of water recycled and reused by the organization.
303-3

Water recycled and reusedc. Standards, methodologies, and assumptions used.
a. For each operational site owned, leased, managed in, or adjacent to, protected areas and areas ofhigh biodiversity value outside protected areas, the following information:i. Geographic location;ii. Subsurface and underground land that may be owned, leased, or managed by the organization;b. Main outcomes of completed legal actions, including any decisions or judgments.
304-1

a. Total weight or volume of materials that are used to produce and package the organization’s
primary products and services during the reporting period, by:Operational sites owned, leased,managed in, or adjacent to, protectedareas and areas of high biodiversity
value outside protected areas

i. non-renewable materials used;• Better Use of Resources / Food Waste (P.31)(Reducing Waste by Collecting Resources inStores, Reusing and Recycling Hangers)

iv. Reduction of species;
304-2

i. electricity consumption

Significant impacts of activities,
products, and services on biodiversity

ii. heating consumption
Energy consumption within theorganizationd. In joules, watt-hours or multiples, the total:

ii. Extent of areas impacted;
iii. Duration of impacts;
v. Reversibility or irreversibility of the impacts.

iv. steam sold304-3

e. Total energy consumption within the organization, in joules or multiples.
f. Standards, methodologies, assumptions, and/or calculation tools used.

c. Status of each area based on its condition at the close of the reporting period.

g. Source of the conversion factors used.

d. Standards, methodologies, and assumptions used.

a. Energy consumption outside of the organization, in joules or multiples.

a. Total number of IUCN Red List species and national conservation list species with habitats in areas
affected by the operations of the organization, by level of extinction risk:b. Standards, methodologies, assumptions, and/or calculation tools used.
c. Source of the conversion factors used.
a. Energy intensity ratio for the organization.

Energy intensityb. Organization-specific metric (the denominator) chosen to calculate the ratio.
c. Types of energy included in the intensity ratio; whether fuel, electricity, heating, cooling, steam, or all.
d. Whether the ratio uses energy consumption within the organization, outside of it, or both.
a. Amount of reductions in energy consumption achieved as a direct result of conservation andefficiency initiatives, in joules or multiples.

Reduction of energy consumption

b. Types of energy included in the reductions; whether fuel, electricity, heating, cooling, steam, or all.
c. Basis for calculating reductions in energy consumption, such as base year or baseline, including therationale for choosing it.
d. Standards, methodologies, assumptions, and/or calculation tools used.

302-5

Reductions in energy requirements ofproducts and services

304-4• Environmental Management (P.111)(Environmental Load in FY2021 Business
Activities)• Environmental Accounting (P.112)

IUCN Red List species and national
conservation list species with habitats
in areas affected by operations• Biodiversity (P.39) (Creating Forests Where
Wild Birds Can Gather)i. Critically endangered
ii. Endangered* Not applicable during this periodiii. Vulnerable
iv. Near threatenedv. Least concern• Decarbonization and Climate Change (P.20)(Improving Energy Efficiency)• Environmental Management (P.111)(Environmental Load in FY2021 Business
Activities)

Data Section

302-4

Habitats protected or restored

a. Size and location of all habitat areas protected or restored, and whether the success of therestoration measure was or is approved by independent external professionals.
b. Whether partnerships exist with third parties to protect or restore habitat areas distinct from where
the organization has overseen and implemented restoration or protection measures.

Initiatives of Public Interest
Incorporated Foundations

iii. cooling sold302-3

vi. Changes in ecological processes outside the natural range of variation (such as salinity or changes
in groundwater level).
i. Species affected;

ii. heating soldEnergy consumption outside of theorganizationv. Habitat conversion;b. Significant direct and indirect positive and negative impacts with reference to the following:• Environmental Management (P.111)(Environmental Load in FY2021 Business
Activities)

i. electricity sold

302-2

Healthy & Empowered Peopleiii. Introduction of invasive species, pests, and pathogens;c. In joules, watt-hours or multiples, the total:

302-1

v. Size of operational site in km2 (or another unit, if appropriate);

ii. Pollution (introduction of substances that do not naturally occur in the habitat from point and nonpoint sources);a. Total fuel consumption within the organization from non-renewable sources, in joules or multiples,and including fuel types used.
b. Total fuel consumption within the organization from renewable sources, in joules or multiples, andincluding fuel types used.

iv. steam soldiv. Type of operation (office, manufacturing or production, or extractive);i. Construction or use of manufacturing plants, mines, and transport infrastructure;

Energyiii. cooling consumptioniii. Position in relation to the protected area (in the area, adjacent to, or containing portions of theprotected area) or the high biodiversity value area outside protected areas;vi. Biodiversity value characterized by the attribute of the protected area or area of high biodiversity
value outside the protected area (terrestrial, freshwater, or maritime ecosystem);vii. Biodiversity value characterized by listing of protected status (such as IUCN Protected Area
Management Categories, Ramsar Convention, national legislation).
a. Nature of significant direct and indirect impacts on biodiversity with reference to one or more of thefollowing:a. Percentage of recycled input materials used to manufacture the organization’s primary products
and services.
a. Percentage of reclaimed products and their packaging materials for each product category.

b. Total volume of water recycled and reused as a percentage of the total water withdrawal as
specified in Disclosure 303-1.

Biodiversity

a. Number of legal actions pending or completed during the reporting period regarding anticompetitive
behavior and violations of anti-trust and monopoly legislation in which the organization has been
identified as a participant.

b. How the data for this disclosure have been collected.

iii. Biodiversity value (such as species diversity and endemism, and total number of protected species);b. Standards, methodologies, and assumptions used.

ii. renewable materials used.
301-2

ii. Whether the source is designated as a nationally or internationally protected area;
iv. Value or importance of the water source to local communities and indigenous peoples.

b. Total number of confirmed incidents in which employees were dismissed or disciplined forcorruption.
c. Total number of confirmed incidents when contracts with business partners were terminated or not
renewed due to violations related to corruption.
d. Public legal cases regarding corruption brought against the organization or its employees during
the reporting period and the outcomes of such cases.

Materials

301-1• Environmental Management (P.111)(Environmental Load in FY2021 Business
Activities)

Heartful Community

206-1

iii. Rainwater collected directly and stored by the organization;
iv. Waste water from another organization;• Aeon Code of Conduct• Compliance (P.95)• Aeon Supplier Code of Conduct (P.54)

Anti-competitive Behavior
Legal actions for anti-competitive
behavior, anti-trust, and monopoly
practices

Contents

Sustainable Planeta. Total number and percentage of governance body members that the organization’s anticorruption
policies and procedures have been communicated to, broken down by region.
b. Total number and percentage of employees that the organization’s anti-corruption policies andprocedures have been communicated to, broken down by employee category and region.
c. Total number and percentage of business partners that the organization’s anti-corruption policies
and procedures have been communicated to, broken down by type of business partner and region.
Describe if the organization’s anti-corruption policies and procedures have been communicated toany other persons or organizations.
d. Total number and percentage of governance body members that have received training on anticorruption, broken down by region.
e. Total number and percentage of employees that have received training on anti-corruption, broken
down by employee category and region.
a. Total number and nature of confirmed incidents of corruption.

205-3

Disclosure

Water

Aeon’s Sustainability

No.
Anti-corruption

a. Reductions in energy requirements of sold products and services achieved during the reporting
period, in joules or multiples.
b. Basis for calculating reductions in energy consumption, such as base year or baseline, including therationale for choosing it.
c. Standards, methodologies, assumptions, and/or calculation tools used.

117

AEON REPORT 2022/Sustainability Edition

AEON REPORT 2022/Sustainability Edition

118

TitleDisclosure

Contents

No.

Title

a. Gross direct (Scope 1) GHG emissions in metric tons of CO2 equivalent
306-1

c. Biogenic CO2 emissions in metric tons of CO2 equivalent.
d. Base year for the calculation, if applicable, including:i. the rationale for choosing it;
Direct (Scope 1) GHG emissions

ii. emissions in the base year;

Energy indirect (Scope 2) GHG
emissionsa. Total weight of hazardous waste, with a breakdown by the following disposal methods whereapplicable:
i. Reuse
ii. Recyclingiii. Compostingiv. Recovery, including energy recovery
v. Incineration (mass burn)a. Gross location-based energy indirect (Scope 2) GHG emissions in metric tons of CO2 equivalent.

vi. Deep well injection

b. If applicable, gross market-based energy indirect (Scope 2) GHG emissions in metric tons of CO2
equivalent.
c. If available, the gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, orall.

vii. Landfill
viii. On-site storage
x. Other (to be specified by the organization)b. Total weight of non-hazardous waste, with a breakdown by the following disposal methods whereapplicable:

i. the rationale for choosing it;ii. emissions in the base year;• Decarbonization and Climate Change (P.20)(Reducing CO2 Emissions / Tabulating CO2
Emissions across the Entire Supply Chain)

306-2

Waste by type and disposal method

v. Incineration (mass burn)vi. Deep well injection
vii. Landfill
viii. On-site storageix. Other (to be specified by the organization)c. How the waste disposal method has been determined:
i. Disposed of directly by the organization, or otherwise directly confirmed
ii. Information provided by the waste disposal contractor
iii. Organizational defaults of the waste disposal contractor
a. Total number and total volume of recorded significant spills.
b. The following additional information for each spill that was reported in the organization’s financial
statements:
i. Location of spill;iii. the context for any significant changes in emissions that triggered recalculations of base year
emissions.
f. Source of the emission factors and the global warming potential (GWP) rates used, or a reference to
the GWP source.

306-3

Significant spills

g. Standards, methodologies, assumptions, and/or calculation tools used.

c. Types of GHG emissions included in the intensity ratio; whether direct (Scope 1), energy indirect(Scope 2), and/or other indirect (Scope 3).

c. Impacts of significant spills.
a. Total weight for each of the following:• Decarbonization and Climate Change (P.20)(Reducing CO2 Emissions)i. Hazardous waste transported
ii. Hazardous waste imported

d. Gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all.

306-4

a. GHG emissions reduced as a direct result of reduction initiatives, in metric tons of CO2 equivalent.

Transport of hazardous wastec. Base year or baseline, including the rationale for choosing it.
d. Scopes in which reductions took place; whether direct (Scope 1), energy indirect (Scope 2), and/or
other indirect (Scope 3).

b. Percentage of hazardous waste shipped internationally.

• Decarbonization and Climate Change (P.20)(Reducing CO2 Emissions)c. Standards, methodologies, and assumptions used.
a. Water bodies and related habitats that are significantly affected by water discharges and/or runoff,
including information on:e. Standards, methodologies, assumptions, and/or calculation tools used.
a. Production, imports, and exports of ODS in metric tons of CFC-11 (trichlorofluoromethane)
305-6

Emissions of ozone-depleting
substances (ODS)

306-5

Water bodies affected by water
discharges and/or runoff

b. Substances included in the calculation.

iii. Persistent organic pollutants (POP)307-1

iv. Volatile organic compounds (VOC)

c. Standards, methodologies, assumptions, and/or calculation tools used.

AEON REPORT 2022/Sustainability Edition

ii. total number of non-monetary sanctions;* Not applicable during this periodiii. cases brought through dispute resolution mechanisms.

Supplier Environmental Assessmentvii. Other standard categories of air emissions identified in relevant regulations
b. Source of the emission factors used.

i. total monetary value of significant fines;

b. If the organization has not identified any non-compliance with environmental laws and/or
regulations, a brief statement of this fact is sufficient.

v. Hazardous air pollutants (HAP)vi. Particulate matter (PM)119

Non-compliance with environmental
laws and regulations

308-1

New suppliers that were screened using
environmental criteriaa. Percentage of new suppliers that were screened using environmental criteria.

• Fair Business in the Interest of Human Rights(P.49)(Aeon Supplier Code of Conduct)

AEON REPORT 2022/Sustainability Edition

Data Section

305-7* Not applicable during this perioda. Significant fines and non-monetary sanctions for non-compliance with environmental laws and/or
regulations in terms of:i. NOxNitrogen oxides (NOx), sulfur oxides(SOx), and other significant air
emissionsii. whether the water body and related habitat is designated as a nationally or internationallyprotected area;

Environmental Compliancea. Significant air emissions, in kilograms or multiples, for each of the following:ii. SOxi. the size of the water body and related habitat;iii. the biodiversity value, such as total number of protected species.

c. Source of the emission factors used.
d. Standards, methodologies, assumptions, and/or calculation tools used

* Not applicable during this period

Initiatives of Public Interest
Incorporated Foundations

Reduction of GHG emissionsiii. Hazardous waste exported
iv. Hazardous waste treatedb. Gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all.
305-5

* Not applicable during this periodiii. Material of spill, categorized by: oil spills (soil or water surfaces), fuel spills (soil or water surfaces),
spills of wastes (soil or water surfaces), spills of chemicals (mostly soil or water surfaces), and other(to be specified by the organization).

a. GHG emissions intensity ratio for the organization.
GHG emissions intensity

ii. Volume of spill;

Healthy & Empowered People• Decarbonization and Climate Change (P.20)(Reducing CO2 Emissions / Tabulating CO2
Emissions across the Entire Supply Chain)ii. emissions in the base year;

b. Organization-specific metric (the denominator) chosen to calculate the ratio.

Heartful Community

iv. Recovery, including energy recovery

d. Other indirect (Scope 3) GHG emissions categories and activities included in the calculation.
i. the rationale for choosing it;• Environmental Management (P.111)(Environmental Load in FY2021 Business
Activities)iii. Compostingb. If available, the gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, orall.
c. If available, the gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or
all.
e. Base year for the calculation, if applicable, including:i. Reuse
ii. Recycling

a. Gross other indirect (Scope 3) GHG emissions in metric tons of CO2 equivalent305-4iii. whether the water was reused by another organization.
b. Standards, methodologies, and assumptions used.

• Decarbonization and Climate Change (P.20)(Reducing CO2 Emissions / Tabulating CO2
Emissions across the Entire Supply Chain)g. Standards, methodologies, assumptions, and/or calculation tools used.

Other indirect (Scope 3) GHG emissions

ii. quality of the water, including treatment method;g. Standards, methodologies, assumptions, and/or calculation tools used.

iii. the context for any significant changes in emissions that triggered recalculations of base year
emissions.
e. Source of the emission factors and the global warming potential (GWP) rates used, or a reference to
the GWP source.
f. Consolidation approach for emissions; whether equity share, financial control, or operational
control.

305-3

i. destination;

Sustainable Planetiii. the context for any significant changes in emissions that triggered recalculations of base year
emissions.
e. Source of the emission factors and the global warming potential (GWP) rates used, or a reference to
the GWP source.
f. Consolidation approach for emissions; whether equity share, financial control, or operational
control.

Water discharge by quality anddestinationd. Base year for the calculation, if applicable, including:
305-2

Contents

a. Total volume of planned and unplanned water discharges by:

b. Gases included in the calculation; whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all.

305-1

Disclosure

Effluents and Waste

Aeon’s Sustainability

No.
Emissions120

TitleDisclosure

Contents

No.

Title

b. Number of suppliers identified as having significant actual and potential negative environmental
impacts.

405-2

Ratio of basic salary and remunerationof women to menc. Significant actual and potential negative environmental impacts identified in the supply chain.

Non-discriminationa. Number of suppliers assessed for environmental impacts.

308-2

Negative environmental impacts in the
supply chain and actions taken

d. Percentage of suppliers identified as having significant actual and potential negative environmental
impacts with which improvements were agreed upon as a result of assessment.
e. Percentage of suppliers identified as having significant actual and potential negative environmental
impacts with which relationships were terminated as a result of assessment, and why.

b. Status of the incidents and actions taken with reference to the following:
406-1

401-2

Incidents of discrimination andcorrective actions taken

iv. Incident no longer subject to action.
a. Operations and suppliers in which workers’ rights to exercise freedom of association or collective
bargaining may be violated or at significant risk either in terms of:
407-1

ii. health care;

Operations and suppliers in which theright to freedom of association andcollective bargaining may be at risk

iv. parental leave;a. Operations and suppliers considered to have significant risk for incidents of:i. child labor;
ii. young workers exposed to hazardous work.

b. The definition used for ‘significant locations of operation’.
408-1

b. Total number of employees that took parental leave, by gender.

Operations and suppliers at significant
risk for incidents of child laborc. Total number of employees that returned to work in the reporting period after parental leave ended,by gender.
d. Total number of employees that returned to work after parental leave ended that were still
employed 12 months after their return to work, by gender.

c. Measures taken by the organization in the reporting period intended to contribute to the effective
abolition of child labor.
Forced or Compulsory Labor

e. Return to work and retention rates of employees that took parental leave, by gender.

a. Operations and suppliers considered to have significant risk for incidents of forced or compulsory
labor either in terms of:a. Minimum number of weeks’ notice typically provided to employees and their representatives prior
to the implementation of significant operational changes that could substantially affect them.
b. For organizations with collective bargaining agreements, report whether the notice period andprovisions for consultation and negotiation are specified in collective agreements.

409-1

Operations and suppliers at significant
risk for incidents of forced orcompulsory labor• Employment, Work Styles and Work
Satisfaction (P.87)(Aeon’s Health Management)

Security Practices
410-1

Security personnel trained in humanrights policies or procedures

403-2

b. Status of the incidents and actions taken with reference to the following:b. Types of injury, injury rate (IR), and work-related fatalities, for all workers (excluding employees)
whose work, or workplace, is controlled by the organization, with a breakdown by

411-1

i. region;

Rights of Indigenous Peoples

Health and safety topics covered informal agreements with trade unions

b. If so, the extent, as a percentage, to which various health and safety topics are covered by -Labor
Union these agreements.

Human Rights Assessment• Fair Business in the Interest of Human Rights(P.49)(Labor Union)

412-1

Operations that have been subject
to human rights reviews or impact
assessments

412-2

Employee training on human rights
policies or procedures

412-3

Significant investment agreements andcontracts that include human rights
clauses or that underwent human rights
screening

Training and Education
404-1

Average hours of training per year per
employeea. Average hours of training that the organization’s employees have undertaken during the reporting
period, by:i. gender;ii. employee category.

404-2

404-3

Programs for upgrading employee skills
and transition assistance programs
Percentage of employees receiving
regular performance and careerdevelopment reviews

a. Type and scope of programs implemented and assistance provided to upgrade employee skills.
b. Transition assistance programs provided to facilitate continued employability and the managementof career endings resulting from retirement or termination of employment.

• Employment, Work Styles and Work
Satisfaction (P.87)(Educational Systems)

413-1

ii. Age group: under 30 years old, 30-50 years old, over 50 years old;iii. Other indicators of diversity where relevant (such as minority or vulnerable groups).

121

AEON REPORT 2022/Sustainability Edition• Diversity & Inclusion (P.83)

Operations with local community
engagement, impact assessments, anddevelopment programsiii. public disclosure of results of environmental and social impact assessments;
iv. local community development programs based on local communities’ needs;
v. stakeholder engagement plans based on stakeholder mapping;vi. broad based local community consultation committees and processes that include vulnerable
groups;vii. works councils, occupational health and safety committees and other worker representation
bodies to deal with impacts;• Urban Development and Forming Bonds
Aeon Happy Yellow Receipt Campaign (P.60)• Aeon Heartful Volunteer (P.61)• Supporting and Nurturing the Next
Generation Aeon Cheers Club (P.73)

Data Section

i. gender;b. The definition used for ‘significant investment agreements’.

ii. environmental impact assessments and ongoing monitoring;ii. Age group: under 30 years old, 30-50 years old, over 50 years old;b. Percentage of employees per employee category in each of the following diversity categories:• Fair Business in the Interest of Human Rights
Education on Human Rights (P.51)

i. social impact assessments, including gender impact assessments, based on participatory processes;

i. gender;iii. Other indicators of diversity where relevant (such as minority or vulnerable groups).

a. Total number of hours in the reporting period devoted to training on human rights policies orprocedures concerning aspects of human rights that are relevant to operations.
b. Percentage of employees trained during the reporting period in human rights policies or procedures
concerning aspects of human rights that are relevant to operations.
a. Total number and percentage of significant investment agreements and contracts that include
human rights clauses or that underwent human rights screening.

a. Percentage of operations with implemented local community engagement, impact assessments,
and/or development programs, including the use of:a. Percentage of total employees by gender and by employee category who received a regularperformance and career development review during the reporting period.
a. Percentage of individuals within the organization’s governance bodies in each of the following
diversity categories:

Diversity of governance bodies andemployees

a. Total number and percentage of operations that have been subject to human rights reviews orhuman rights impact assessments, by country.

Local Communities

Diversity and Equal Opportunity

405-1* Not applicable during this period

iv. Incident no longer subject to action.

a. Whether there are workers whose work, or workplace, is controlled by the organization, involved in
occupational activities who have a high incidence or high risk of specific diseases.
a. Whether formal agreements (either local or global) with trade unions cover health and safety

ii. Remediation plans being implemented;

Initiatives of Public Interest
Incorporated Foundations

403-4

i. Incident reviewed by the organization;iii. Remediation plans that have been implemented, with results reviewed through routine internalmanagement review processes;c. The system of rules applied in recording and reporting accident statistics.
Workers with high incidence or high riskof diseases related to their occupationb. Whether training requirements also apply to third-party organizations providing security personnel.
a. Total number of identified incidents of violations involving the rights of indigenous peoples during
the reporting period.

ii. genderii. gender403-3

a. Percentage of security personnel who have received formal training in the organization’s humanrights policies or specific procedures and their application to security.

Rights of Indigenous Peoples

i. region;
Types of injury and rates of injury,
occupational diseases, lost days, andabsenteeism, and number of workrelated fatalities

ii. countries or geographic areas with operations and suppliers considered at risk.

Healthy & Empowered Peoplea. The level at which each formal joint management-worker health and safety committee typicallyoperates within the organization.
b. Percentage of workers whose work, or workplace, is controlled by the organization, that are
represented by formal joint management-worker health and safety committees
a. Types of injury, injury rate (IR), occupational disease rate (ODR), lost day rate (LDR), absentee rate(AR), and work-related fatalities, for all employees, with a breakdown by:i. type of operation (such as manufacturing plant) and supplier;b. Measures taken by the organization in the reporting period intended to contribute to theelimination of all forms of forced or compulsory labor.

Occupational Health and Safety
Workers representation in formal joint
management– worker health and safetycommittees

i. type of operation (such as manufacturing plant) and supplier;ii. countries or geographic areas with operations and suppliers considered at risk.

Labor/Management Relations

403-1

b. Operations and suppliers considered to have significant risk for incidents of child labor either interms of:Heartful Community

a. Total number of employees that were entitled to parental leave, by gender.

Minimum notice periods regarding
operational changes

ii. countries or geographic areas with operations and suppliers considered at risk.

Child Labor

vii. others.

402-1

i. type of operation (such as manufacturing plant) and supplier;b. Measures taken by the organization in the reporting period intended to support rights to exercise
freedom of association and collective bargaining.

iii. disability and invalidity coverage;

vi. stock ownership;

Parental leave

ii. Remediation plans being implemented;

Freedom of Association and Collective Bargaining

v. retirement provision;

401-3

i. Incident reviewed by the organization;iii. Remediation plans that have been implemented, with results reviewed through routine internalmanagement review processes;a. Total number and rate of new employee hires during the reporting period, by age group, genderand region.
b. Total number and rate of employee turnover during the reporting period, by age group, gender andregion.
a. Benefits which are standard for full-time employees of the organization but are not provided
to temporary or part-time employees, by significant locations of operation. These include, as aminimum:i. life insurance;

Benefits provided to fulltime employeesthat are not provided to temporary or
part-time employees

b. The definition used for ‘significant locations of operation’.

Sustainable Planet

New employee hires and employee
turnoverContents

a. Total number of incidents of discrimination during the reporting period.

Employment
401-1

Disclosurea. Ratio of the basic salary and remuneration of women to men for each employee category, by
significant locations of operation.

Aeon’s SustainabilityNo.

viii. formal local community grievance processes.

AEON REPORT 2022/Sustainability Edition

12 2

List of External Awards (FY2021)
Title

Disclosure
a. Operations with significant actual and potential negative impacts on local communities, including:413-2

Operations with significant actual andpotential negative impacts on local
communities

Aeon’s Sustainability

No.

Contents

i. the location of the operations;ii. the significant actual and potential negative impacts of operations.

Supplier Social Assessment
414-1

New suppliers that were screened usingsocial criteriaa. Percentage of new suppliers that were screened using social criteria.

• Fair Business in the Interest of Human Rights(P.54) Aeon Supplier Code of Conduct

a. Number of suppliers assessed for social impacts.
b. Number of suppliers identified as having significant actual and potential negative social impacts.
414-2

c. Significant actual and potential negative social impacts identified in the supply chain.

Aeon Co., Ltd. was granted
the highest rating by CDP for
three consecutive years by
being included in its Climate
Change A List.

d. Percentage of suppliers identified as having significant actual and potential negative social impacts
with which improvements were agreed upon as a result of assessment.
e. Percentage of suppliers identified as having significant actual and potential negative social impacts
with which relationships were terminated as a result of assessment, and why.

Public Policy
415-1

Political contributions

a. Total monetary value of financial and in-kind political contributions made directly and indirectly by
the organization by country and recipient/beneficiary.
b. If applicable, how the monetary value of in-kind contributions was estimated.

Customer Health and Safety
416-1

Assessment of the health and safety
impacts of product and service
categories

Aeon Co., Ltd. secured thehighest rating for the second
consecutive year in the
CDP Supplier Engagement
Rating and was selected
as a Supplier Engagement
Leader.

a. Percentage of significant product and service categories for which health and safety impacts areassessed for improvement.
a. Total number of incidents of non-compliance with regulations and/or voluntary codes concerning
the health and safety impacts of products and services within the reporting period, by:

Incidents of non-compliance concerning
the health and safety impacts ofproducts and services

i. incidents of non-compliance with regulations resulting in a fine or penalty;
ii. incidents of non-compliance with regulations resulting in a warning;• Food Safety and Security (P.76)

iii. incidents of non-compliance with voluntary codes.
b. If the organization has not identified any non-compliance with regulations and/or voluntary codes,a brief statement of this fact is sufficient.

Marketing and Labelinga. Whether each of the following types of information is required by the organization’s procedures for
product and service information and labeling:i. The sourcing of components of the product or service;

417-1

Requirements for product and service
information and labelingii. Content, particularly with regard to substances that might produce an environmental or social
impact;iii. Safe use of the product or service;• Food Safety and Security (P.76)• Health & Wellness (P.81)

v. Other (explain).
b. Percentage of significant product or service categories covered by and assessed for compliance withsuch procedures.
a. Total number of incidents of non-compliance with regulations and/or voluntary codes concerning
product and service information and labeling, by:
Incidents of non-compliance concerning
product and service information andlabeling

Aeon Co., Ltd. Received an award forexcellence in the Osaka Stop Global
Warming Awards sponsored by Osaka
Prefecture for FY2020. In addition,
Aeon Mall Co., Ltd. Was selected as
an excellent business operator under
the Kyoto Program of Global WarmingCountermeasures sponsored by Kyoto City
for FY2020.

Aeon Delight Co., Ltd. Was selected as a
DX Certified Business Operator based ona certification system established by the
Ministry of Economy, Trade and Industry inrecognition of the development of a system
to promote digital transformation (DX)and information disclosure aimed at thecreation of a sustainable business model for
facility management.

ii. incidents of non-compliance with regulations resulting in a warning;

September 2021

i. incidents of non-compliance with regulations resulting in a fine or penalty;
ii. incidents of non-compliance with regulations resulting in a warning;iii. incidents of non-compliance with voluntary codes.

Customer Privacy

November 2021
Aeon Mall Co., Ltd. received theOutstanding Performance Award for Eco
Units at the Eco Kentei Awards 2021. At
the ceremony organized by the Tokyo
Chamber of Commerce and Industry,
Aeon was recognized for efforts to use theknowledge acquired in “eco tests” when
conducting environmental activities.

February 2022

February 2022

Aeon Hokkaido Co., Ltd. received the SDGs
Management Award from the Sapporo
Chamber of Commerce and Industry for
FY2021 in recognition of proactive efforts
in support of the SDGs.

The Daiei Co., Ltd. received the Grand
Prize in the Business Owner’s Category
at the Osaka Environmental Awards for
FY2021 for a food drive campaign in Osaka
Prefecture.

ii. complaints from regulatory bodies.

* Not applicable during this periodb. Total number of identified leaks, thefts, or losses of customer data.

Socioeconomic Compliancea. Significant fines and non-monetary sanctions for non-compliance with laws and/or regulations inthe social and economic area in terms of:i. total monetary value of significant fines;
419-1

ii. total number of non-monetary sanctions;iii. cases brought through dispute resolution mechanisms.
b. If the organization has not identified any non-compliance with laws and/or regulations, a brief
statement of this fact is sufficient.
c. The context against which significant fines and non-monetary sanctions were incurred.

123

AEON REPORT 2022/Sustainability Edition

Aeon Hokkaido Co., Ltd. received the
Hokkaido Biodiversity Conservation Award
for FY2021 in recognition of environmental
conservation and youth development
efforts through tree planting andcommunity contribution activities.

i. complaints received from outside parties and substantiated by the organization;c. If the organization has not identified any substantiated complaints, a brief statement of this fact issufficient.

Non-compliance with laws andregulations in the social and economic
area

January 2022

* Not applicable during this period

July 2022
Aeon Co., Ltd. received the Emperor
Showa Memorial Award for the Promotionof Blood Donation as part of the 58th
National Blood Donation Promotion
Campaign organized by the Ministry of
Health, Labour and Welfare, the Japanese
Red Cross Society, and Ehime Prefecture.

AEON REPORT 2022/Sustainability Edition

Data Section

Aeon Super Center Co., Ltd. Received the
Iwate Governor Award for Outstanding
Offices for the Employment of Persons
with Disabilities for FY2021, organized by
the Japan Organization for Employment of
the Elderly, Persons with Disabilities and
Job Seekers.

a. Total number of substantiated complaints received concerning breaches of customer privacy,
categorized by:
Substantiated complaints concerning
breaches of customer privacy and lossesof customer data

Aeon Mall Wuhan Jinyintan, Aeon’s first
store in Hubei Province, China, received
the 2021 CCFA golden lily award foroutstanding shopping center operations at
the 2021 China Shopping Center & Chain
Brand Development Summit sponsoredby the China Chain Store & Franchise
Association (CCFA).

• Food Safety and Security (P.76)

iii. incidents of non-compliance with voluntary codes.

b. If the organization has not identified any non-compliance with regulations and/or voluntary codes,a brief statement of this fact is sufficient.

418-1

July 2021

Initiatives of Public Interest
Incorporated Foundations

Incidents of non-compliance concerningmarketing communications

June 2021

i. incidents of non-compliance with regulations resulting in a fine or penalty;

b. If the organization has not identified any non-compliance with regulations and/or voluntary codes,a brief statement of this fact is sufficient.
a. Total number of incidents of non-compliance with regulations and/or voluntary codes concerningmarketing communications, including advertising, promotion, and sponsorship, by:
417-3

April 2021

Healthy & Empowered People

iv. Disposal of the product and environmental or social impacts;

417-2

Aeon Co., Ltd., Kasumi Co., Ltd., and The
Daiei, Inc. secured Platinum Kurumin
Certification as a result of initiatives under
the General Employer Action Plan based on
the Act on Advancement of Measures to
Support Next-Generation Children. Combinedwith Kurumin Certification, 24 Aeon Group
companies have now been accredited under
this system.

Heartful Community

416-2

A total of 24 Aeon Group
companies have received
Eruboshi certification, whichis granted by the Ministry of
Health, Labour and Welfare
to companies implementing
outstanding initiatives basedon the Act on Promotion of
Women’s Participation andAdvancement in the Workplace.

Sustainable Planet

Negative social impacts in the supply
chain and actions taken

124

Corporate Data

Growing and Developing a Diverse Portfolio of Businesses While
Helping Enrich Customers’ Lives and Achieve Sustainable Growth inLocal Communities

Headquarters

Aeon has grown and developed a wide range of businesses to respond to the needs of customers. From a starting point in theretail industry, Aeon has expanded with the Shopping Center Development Business that handles the development and operationof shopping centers, the Financial Services Business providing credit cards, banking, insurance, electronic money, and otherfinancial services, as well as the Services & Special Store Business. We see all of Asia as our market and have expanded ouroperations to help to enrich customers’ lives while contributing to the sustainable growth of local communities.

Laos

Mongolia

SM: 46 stores
Services Business: 31 locations
Financial Services: 101 locations

Financial Services: 2 locations

Specialty Store: 7 stores

Myanmar

China
GMS: 57 stores
SM: 29 stores
Services Business: 199 locations
Financial Services: 22 locations
Mall-type SC: 27 locations
Other (retail): 71 stores

India

Cambodia

Philippines

VietnamSingapore
Drug Store: 11 storesIndonesia

Australia

GMS: 3 stores
SM: 1 store
Services Business: 31 locations
Financial Services: 10 locations
Mall-type SC: 4 locations

Directly operated farm in Tasmania:
1 location

Countries in which Aeon operates

SM (Supermarket SC: Shopping Center) 2,285 stores

20,008 stores/locations
1,978 locations

Specialty Store

4,503 stores

Other (retail)Directly operated farm in Tasmania

605 stores

Drug Store

2,868 stores

HC (Home Center)

117 stores

Financial Services

592 locations

Mall-type SC (Shopping Center)

262 locations*2

4,661 stores*1

NSC (Neighborhood-type Shopping Center) 150 locations*3

Services Business

DS (Discount Store)

1,368 stores
1 location

Number of stores/locations operated by consolidated subsidiaries and equity-method affiliate*1 On March 29, 2022, sold off all shares in Ministop Korea *2 Including SCs operated under the name of Aeon Mall as well as those with a total leased area of over 20,000m2*3 NSCs operated under the name of Aeon Town
(As of the end of February 2022)

125

AEON REPORT 2022/Sustainability Edition

Aeon History Museum

URL

The Aeon History Museum introduces the
background for the establishment of Aeon’s basic
philosophy and culture to a range of people throughvarious displays depicting its history.

https://aeonhistoricalmuseum.jp/(Japanese only)

Pure holding company

AEON CO., LTD.

General Merchandise Store BusinessThis segment operates general merchandise stores to support the food, clothing, and housingneeds of customers with specialized product lineups and services.

AEON KYUSHU CO., LTD.
Aeon Hokkaido Corporation
SUNDAY CO., LTD.
AEON SUPERCENTER Co., Ltd.
Aeon Tohoku Co., Ltd.
AEONBIKE CO., LTD.
AEON Bakery Co., Ltd.

AEON LIQUOR CO., LTD.
AEON Retail Co., Ltd.
AEON RYUKYU CO., LTD.
ORIGIN TOSHU CO., LTD.
Shimizu Shoji Co., Ltd.
TOPVALU COLLECTION CO., LTD.
Bon Belta Co., Ltd.

Supermarket BusinessThis segment operates community-rooted supermarkets, small-sized stores, and convenience
stores while enhancing its lineups of everyday necessities focused on foodstu¬ffs and services.

FUJI CO., LTD.
Maxvalu Tokai Co., Ltd.
MINISTOP CO., LTD.
United Super Markets Holdings Inc.
AEON SAVEUR Co., Ltd.
AEON MARKET CO., LTD.
KASUMI CO., LTD.
KOHYO CO., LTD.

The Daiei, Inc.
Bio C' Bon Japon CO., LTD.
Fuji Retailing Co., Ltd.
My Basket CO., LTD
MAXVALU KANTO CO., LTD.
Maxvalu Nishinihon Co., Ltd.
MAXVALU HOKURIKU CO., LTD.
The Maruetsu, Inc.

Discount Store BusinessTo continue supporting household finances, this segment implements low-cost measures such as
consolidating product purchasing and integrating logistics and is working to realize managementthat thoroughly pursues lower prices.

AEON BIG CO., LTD.
BIG-A CO., LTD.

MAXVALU MINAMI TOHOKU CO., LTD.

Health & Wellness BusinessThis segment operates drugstores and dispensing pharmacies to help support the healthof residents. In addition to broadening the product lineups from medical products and daily
necessities to health food products, it is expanding its services to include dispensing for homecare patients.

WELCIA HOLDINGS CO., LTD.
AEON BODY Co., Ltd.
ÆON Revecosme Co., Ltd.
WELCIA YAKKYOKU CO., LTD.
Kanamitsuyakuhin Co., Ltd.
Marue Wellness stores Inc.

Cosmeme CO., LTD.
SHIMIZU YAKUHIN CO., LTD.
Marudai Sakurai Pharmacy Co., Ltd.
YODOYA CO., LTD.
MASAYA Co., Ltd.

Financial Services BusinessThis segment offers integrated financial services that combine credit, banking, insurance
services, and e-money WAON cards. Operations extend to Asian countries.

AEON Financial Service Co., Ltd.
AEON CREDIT SERVICE (ASIA) CO., LTD.
AEON CREDIT SERVICE (M) BERHADAEON THANA SINSAP (THAILAND) PCL.
AEON Allianz Life Insurance Co., Ltd.
AEON BANK, LTD.
AEON CREDIT SERVICE CO., LTD.

AEON HOUSING LOAN SERVICE CO., LTD.
AEON Product Finance Co., Ltd.
AEON INSURANCE SERVICE CO., LTD.
AEON Reit Management Co., Ltd.
FeliCa Pocket Marketing Inc.
AEON Financial Service (Hong Kong) Co., Ltd.
AFS Corporation Co., Ltd.

Shopping Mall Development BusinessThis segment develops and operates community-friendly shopping malls in Japan, China, and
ASEAN countries. In cooperation with other segments, it is working to enhance its services andfacilities.

AEON Mall Co., Ltd.
AEON TOWN Co., Ltd.

OPA CO., LTD.

Services & Specialty Store BusinessThis segment provides services that make everyday life more convenient and comfortable
and also operates an array of specialty stores tailored to diversifying customer needs.

AEON DELIGHT CO., LTD.
AEON Fantasy Co., Ltd.
CAN DO CO., LTD.
COX CO., LTD.
GFOOT CO., LTD.
Aqutia Co., Ltd
AEON Eaheart Co., LTD.
AEON ENTERTAINMENT CO., LTD.
AEON CULTURE CO., LTD.
AEON COMPASS CO., LTD.

AEON PET CO., LTD
AEON LIFE CO., LTD.
Branshes Co., Ltd
PRESTIGE SHOES CO., LTD.
MIRAIYA SHOTEN CO., LTD.
Mega Sports Co., Ltd.
MEGA PETRO Co., Ltd.
Reform Studio Co., Ltd.
R.O.U CO., LTD.

International BusinessThis segment operates in China and ASEAN countries, off-ering products and services tailored to
the needs and lifestyles of the respective countries and regions.

[China]AEON Stores (Hong Kong) Co., Limited
AEON (CHINA) CO., LTD.
AEON EAST CHINA (SUZHOU) CO., LTD.
AEON (HUBEI) CO., LTD.
AEON South China Co., Limited
BEIJING AEON CO., LTD.
GUANGDONG AEON TEEM CO., LTD.
QINGDAO AEON DONGTAI CO., LTD.

[ASEAN]AEON CO. (M) BHD.
AEON BIG (M) SDN. BHD.
AEON (CAMBODIA) Co., Ltd.
AEON ORANGE COMPANY LIMITEDAEON (Thailand) CO., LTD.
AEON VIETNAM Co., LTD
DONG HUNG INVESTMENT DEVELOPMENTCONSULTANCY JOINT STOCK COMPANY
LIMITED
PT. AEON INDONESIA

Functional Company and OtherThis segment is in charge of product development and quality control for Aeon’s Topvalu brand,
as well as establishing infrastructure such as logistics, computer systems, and IT.

Abilities JUSCO Co., Ltd.
AEON Integrated Business Service Co., Ltd.
AEON AGRI CREATE Co., Ltd.
AEON GLOBAL SCM CO., LTD.
AEON SIGNA Sports United Co., Ltd.
AEON Smart Technology Co., Ltd.
AEON TOPVALU CO., LTD.
Aeon Next Co., Ltd.
AEON FOOD SUPPLY Co., Ltd.
AEON MARKETING CO., LTD.
AEON 1% Club Foundation
AEON Environmental Foundation

Cordon Vert CO., LTD.
Research Institute For Quality Living Co., Ltd.
Aeon Digital Management Center
AEON TOPVALU (CHINA) CO., LTD.
AEON TOPVALU (HONG KONG) CO., LIMITEDAEON TOPVALU MALAYSIA SDN. BHD.
AEON TOPVALU (THAILAND) CO., LTD.
AEON TOPVALU VIETNAM COMPANY LIMITED
Tasmania Feedlot Pty. Ltd.

Data Section

618 stores

GMS: 6 stores
SM: 24 stores
CVS: 120 stores
Services Business: 13 locations
Financial Services: 4 locations
Mall-type SC: 6 locations
Other (retail): 14 stores

Countries in which Aeon operates

15 countries

https://www.aeon.info/en/ir/library/aeon-report/

Initiatives of Public Interest
Incorporated Foundations

GMS: 33 stores
SM: 9 stores
DS: 21 stores
Services Business: 101 locations
Financial Services: 64 locations
Mall-type SC: 28 locations
Other (retail): 67 stores

CVS (Convenience Store)Japan

Services Business: 47 locations
Financial Services: 4 locations

Malaysia

URL

Healthy & Empowered People

GMS: 2 stores
SM: 14 stores
Services Business: 3 locations
Financial Services: 12 locations
Mall-type SC: 2 locations
Other (retail): 1 store

Aeon Report 2022 Management Edition

Major Group Companies

GMS: 515 stores
SM: 2,154 stores
DS: 584 storesHome Improvement Store: 117 stores
CVS: 1,950 stores
Services Business: 1,553 locations
Specialty Store: 4,496 stores
Drug Store: 2,857 stores
Financial Services: 367 locations
Mall-type SC: 195 locations
NSC: 150 locations
Other (retail): 1,215 stores

Financial Services: 4 locations

GMS (General Merchandise Store)

CVS: 2,591 stores*1

Deloitte Touche Tohmatsu LLC
Sumitomo Mitsui Trust Bank, Limited
1-4-1, Marunouchi, Chiyoda-ku,
Tokyo 100-8223, Japan
Number of Shareholders
857,642
Shares Issued and Outstanding 871,924,572
URL
https://www.aeon.info/en/

Heartful Community

GMS: 2 stores
SM: 8 stores
Financial Services: 2 locations

South Korea

Independent Auditor
Transfer Agent

Sustainable Planet

Thailand1-5-1 Nakase, Mihama-ku, Chiba-shi, Chiba
261-8515, Japan
Representative
Akio Yoshida
President and Chief Executive Officer
Founded1758
Established
September 1926
Groupwide Employees FY2021 (As of the end of February 2022)
Working employees: Approx. 560,000 people(Approx. 380,000 women, 180,000 men)
Daily/monthly wage employees: Approx.
155,000 people(Approx. 70,000 women and 85,000 men)
Hourly wage employees: Approx. 405,000
people(Approx. 310,000 women and 95,000 men)
Fiscal Year End
End of February
Annual Shareholders’ Meeting Held by the end of May
Stock Exchange Listing
Tokyo Stock Exchange

Aeon’s Sustainability

Business Operation

The Cultural Foundation of Okada(As of the end of March 2022)

AEON REPORT 2022/Sustainability Edition

126

AEON CO., LTD. 1-5-1 Nakase, Mihama-ku, Chiba-shi, Chiba 261-8515, Japan

Published January 2023