Topre GroupCSR Report 2023
Corporate Social Responsibility( including SDGs )東プレグループCSR報告 2022

CONTENTS

High-level concepts of the Topre Group
Basic Principles

High-level concepts of the Topre Group • • • • • • • • • • • • • • • 2

The Topre Group’s mission is to create products and services by maximizing its technical expertise in order tocontribute positively to the societies in which it conducts business.

Overview of the Topre Group • • • • • • • • • • • • • • • • • • • • • • • • 3
Message from the President • • • • • • • • • • • • • • • • • • • • • • • • 5

The Group will not only pursue excellence in its economic performance, but also carry out business activities as aTopre’s CSR (including the SDGs) • • • • • • • • • • • • • • • • • • • 7group of international companies with the highest ethical standards, which will promote a Topre Group image thatwill be acknowledged and respected.
This philosophy will guide The Topre Groups domestic and international business actions, while also continuously

Environment

seeking to enhance the Group’s long term prosperity and making positive contributions to the societies in which it

Environmental management • • • • • • • • • • • • • • • • • • • • • • • • 13

is engaged.

Development of environmentally-considerate products • •15

Advanced technology,
products and services

Reduction of environmentally hazardous substances • • • 18

Ethnical and conscientious
business operations

Conservation of biodiversity • • • • • • • • • • • • • • • • • • • • • • • • • 19

Code of Conduct

Carbon neutrality • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 21

1. Compliance with law, internal regulations andsocial morality• We comply with all laws and regulations applicableto the company’s activities.
• We establish and comply with internal regulations
for the implementation of fair and transparent
corporate activities.
• We observe morals and norms as a member ofsociety.
• We have established an internal reporting window,
respond appropriately to violations and prevent andcorrect them.
• Managers establish a corporate culture with highethical standards.
• Managers establish internal systems preventing
situations that would violate these Action Guidelines.

Social
Products and services • • • • • • • • • • • • • • • • • • • • • • • • • • • • 29
Supply chain management • • • • • • • • • • • • • • • • • • • • • • • • 31
Respect for human rights • • • • • • • • • • • • • • • • • • • • • • • • • 33
Diversity in human resources • • • • • • • • • • • • • • • • • • • • • • 34
Work styles and education • • • • • • • • • • • • • • • • • • • • • • • • 35
Safety and health • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 37
Social contribution activities • • • • • • • • • • • • • • • • • • • • • • • 39

GovernanceCorporate governance • • • • • • • • • • • • • • • • • • • • • • • • • • • 45
Internal control activities • • • • • • • • • • • • • • • • • • • • • • • • • • 48
Intellectual property activities • • • • • • • • • • • • • • • • • • • • • • 51
Responsibility to shareholders and investors • • • • • • • • 52

ESG data collection • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 53
Third party opinion • • • • • • • • • • • • • • • • • • • • • • • • • • • • 59
Editorial policy • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 60

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Topre Group CSR Report 2023

東プレグループCSR報告 2022

2. Contributions to society• We provide products and services that make society
safer, more convenient and more comfortable.
• We respect the culture and customs of surrounding
communities, engage in activities and contribute totheir development.
3. Fair and equitable relationships• We build fair, equitable, and moderate relationships
with stakeholders.
• We maintain transparency in our transactions anddo not provide entertainment or exchange gifts thatdeviate from common sense.
• We have no relationships whatsoever with antisocial
forces and respond resolutely and systematically tounreasonable demands.
• We disclose corporate information on the details ofmanagement and business activities in a timely andappropriate manner.
• We do not engage in wrongful conduct or acts thatlack fairness and impartiality with regard to politicaland government officials.

4. Respect for human rights and diversity• We respect human rights and do not tolerate
discrimination or harassment based on race, creed,gender, nationality, physical characteristics or any
other reason in any case.
5. Environmental protection• The Topre Group as a whole is working on theprotection of the global environment.
• We strive for resource savings by promoting the 3Rsof reduce, reuse and recycle.
• We work positively on the reduction of greenhousegas emissions.
6. Safety and health• We give top priority to ensuring the safety and healthof employees.
• We eliminate industrial accidents and create safeand healthy work environments.
7. Company assets• We prohibit the private diversion of company assets
and their use for anything other than businesspurposes.
• We do not leak or use corporate information orassets illegally.
• We acquire, use and dispose of assets by legitimate
procedures and not for the interests of any specificperson.
8. Information security• We establish and comply with regulations, etc., on
the management and protection of personal andconfidential information.

Topre Group CSR Report 2023

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Overview of the Topre Group

Overview of the Topre Group

Company profile

Business bases / number of employees
Capital 5,610 million yen (as of March 31, 2023)
Stock
Listed on the Prime Market of the Tokyo Stock Exchange
Business description
Press-related products,
Temperature controlled logistics-related products,
Air conditioning equipment-related products,
Electronic equipment-related productsCompany name Topre Corporation
Established

April 30, 1935

Topre’s product group
We deepen businessand expand ourbusiness domains
while applying coretechnologies

As of March 31, 2023

• Topre Corporation: Head Office, Sagamihara Plant, Hiroshima Plant, Tochigi Plant, Gifu Plant, Saitama Plant
Topre Group companies [consolidated: 6,402 people]
Japan [2,795 people]

Press-related productsTechnology
Automobile
parts

Dies

Press
processing
technology

Temperature
controlled logisticsrelated products

Overseas [3,607 people]

Topre Corporation

Topre America Corporation

Toho Transportation Co., Ltd.

Topre Autoparts Mexico, S.A.de C.V.

Tokyo Metal Pack Co., Ltd.

Topre (Foshan) Autoparts Corporation

Tokyo Kinzoku Co., Ltd.

Topre (Xiangyang) Autoparts Corporation

Tokyo Multifastener Co., Ltd.

Topre (Wuhan) Autoparts Corporation

Toprec Corporation

TOPRE (THAILAND) CO., LTD.

Topre Kyushu Corporation

Topre India Pvt. Ltd.

Topre Tokai Corporation

PT.TOPRE REFRIGERATOR INDONESIA

Mitsuike Corporation

Air conditioning
equipment-related
products: 1,000 people: 50 people: 500 people: 100 people: Less than 50 people

Top shareinrefrigerated
vehiclesSiroccofans,
etc.

Keyboards,
etc.

Electronicequipment-related
products

Topre (Wuhan) Autoparts Corporation
Topre (Xiangyang) Autoparts Corporation

Topre America
Corporation

Topre Corporation, etc.
Main customers

Main products
Press products for automobile

Topre (Foshan) Autoparts Corporation

Topre India Pvt. Ltd.

• Front / center / rear pillars

Automobile
manufacturers

Press-related
products

Topre Autoparts
Mexico, S.A. de C.V.

TOPRE (THAILAND)
CO., LTD.

• Door beams

PT.TOPRE REFRIGERATORINDONESIA• Wheel house
Refrigerated vehicles• Energy saving direct-connection systems
Transportationcompanies• Power generation systems• Cooling and heating systems• Special containers

Temperature
controlled logisticsrelated products

Financial data (consolidated)

Frozen and refrigerated warehouses
Residential ventilation systems
Air conditioning
manufacturers
House manufacturers

Air conditioning
equipment-related
products

Equipment
companies(100 million
yen)

Medical clean units

2,904

3,000

VAV air conditioning systems

2,014

Cooling unit for electrical enclosure

2,136

2,145

Electronicequipment-related
products

Touch panels

Retailers

Card readersOEM, etc.

217

200
150

Desiccant Humidity Control Ventilator
Financial
institutions(100 million
yen)

250

2,336

2,000

165

170

165

2020

2021

2022

107

100

1,000

Keyboards-3-

Ordinary profit

Sales

Fan filter units

50
0
2018

2019

2020

2021

(Fiscal year)

0

2022

2018

2019

(Fiscal year)

PINPAD

Topre Group CSR Report 2023

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Topre Group CSR Report 2023

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Message from the President

Message from the President~ Aiming to be a company that contributes tosociety and prospers permanently ~We hold Topre Group CSR meetings twice a year, send out CSR-related information regularly, and promote
education such as e-learning to share awareness and information. Further, as stated in this report, we areadvancing CSR activities towards our 2030 targets, but this fiscal year is also the year we will formulate our next
medium-term management plan (for fiscal year 2024 to fiscal year 2026) so we would like to incorporate CSR
activities in concrete terms.
For the reduction of CO2 emissions, the most important part of our CSR activities, we are currently advancing
energy-saving activities (installation of energy-saving equipment) and the installation of solar panels. We will getthese moves into full swing in fiscal year 2023, including overseas. After that, we would like to achieve Topre’s
fiscal year 2030 reduction target through measures such as purchasing renewable energy power.

Climate change measures

CSR activities and business

The sixth report of the Intergovernmental Panel on

In fiscal year 2023, moves towards the post-pandemic

Climate Change (IPCC) mentions that the temperature

era will be one of the major points of change, and while

has already increased by 1.1 degrees celsius since

travel demand and consumer activity will be activated, I

before the industrial revolution, and that this increase

think there will also be positive and negative factors,

may exceed 1.5 degrees celsius in the near future.

such as soaring prices and labor shortages. For Topre

Topre Corporation
President and Representative Director

Various state and related-industry requirements for CO2

to develop further in the future, I think it will be important

reduction activities are expected to become stricter fromto apprehend such changes in the environment as

Yutaka Yamamoto

now on, and I feel the need to consider measures suchopportunities and implement corporate management inas bringing forward the company’s own reduction

consideration of CSR and sustainability-related items

targets.

such as the reduction of CO2 emissions, theAt the start of fiscal year 2023

development of environmentally-friendly products and
The impacts of COVID-19, which has been reduced in status to a class 5 infectious disease and is now under

Automotive equipment-related business accounts fortechnologies, the reform of employee work-styles,

control, still remained in fiscal year 2022. However, we were able to increase sales as the Topre Group and they

more than 70% of the company’s total sales and has ahuman resource development, and the strengthening of

were the highest ever. This was thanks to all of our stakeholders and everybody related to the company, and I am

significant impact on CO2 reduction activities. In addition,

corporate governance.

grateful to you all.

recognizing that responding to moves by the automotive

I think that if all Topre Group employees work with theindustry to reduce CO2 emissions is important, we havesame mindset, corporate value will increase and the

In association with such results, the company’s social responsibility increases. In corporate governance, to further

established a new carbon neutrality promotion system inmanagement foundations of the company will become

improve the credibility of corporate management, the company has established a Nominations Committee,

this business separately from the Topre Group’s overallstronger. In other words, our sustainability will improve.

increased the number of outside directors and introduced an executive officer system. With this framework insystem.

place, we will operate so that governance is strengthened.

Looking at the carbon footprint of steel plate press

I want us to be a company that looks to the future evenprocessing products in this business, the proportion of

in a world of rapid change, and move towards “being a

In addition, interest in sustainability initiatives is increasing more and more as a global trend, and among otherCO2 emissions occupied by materials is high, but this iscompany that contributes to society and prospers

developments, it has become mandatory to include information on sustainability in securities reports. I feel that wenot something we can act on alone. First of all, we will

permanently” under the company’s basic principles.

must promote CSR activities (sustainability, SDGs, ESG) further as the group overall from now on. This is basic for

promote with certainty the CO2 reductions (scope 1, 2)

promotion as the group overall, but all employees of the Topre Group need to share awareness of CSR initiatives.

that we can do in our own production activities, and wewill also promote cooperation with partner companies.

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Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

June 2023-6-

Topre’s CSR (including the SDGs)

Topre’s CSR (including the SDGs)

Basic CSR Policy

The CSR promotion system and climate change measures system

CSR education< Provision of regular information >Basic way of thinking
Topre contributes to society by giving top priority to theprovision of products and services that reduce
environmental impacts.
1. As a company, we strive for fairness andtransparency by complying thoroughly with laws andregulations.

The group has established the promotion of CSR and climate change measures under the same system with the Board

We have issued “Topre CSR Information” bimonthly

of Directors at the top. The Board of Directors is composed of all Directors, including External Directors, with thesince October 2022 to provide basic education on

President assuming the role of chair. The secretariat reports to the Board of Directors under the direction of the Director

sustainability and send out updated information to allin charge of CSR and climate change measures. Matters such as the results and plans for the promotion of CSR and

employees. We are working to raise awareness ofclimate change measures are reported after the Topre Group CSR Meetings held regularly twice a year, and when

CSR initiatives by having everybody feel initiatives

important matters concerning plans and implementation for the promotion of CSR and climate change measures occur,

related to CSR and climate change closely.

they are discussed by the Board of Directors through the Director in charge of CSR and climate change measures.
Promotion system

2. We promote social contribution activities andinitiatives for sustainability.

Board of Directors

3. The company as a whole responds to environmental
problems and implements environmental conservation
initiatives positively. In particular, we emphasize
efforts to combat climate change (CO2 reductions).

President
Director in charge of CSR andclimate change measures

4. We enhance and develop technologies to provide
products and services useful to society throughcustomer satisfaction.

Secretariat(CSR Promotion Dept &Climate Change
Measures Dept)

5. We provide safe and healthy work environments forall employees.
6. We promote CSR activities cooperatively throughcommunication with stakeholders.
< e-learning >Topre

We have begun specialized CSR education in an e-• 4 divisions*1

learning format for selected participants in each

• Each global system*2*1: Automotive Equipment, Refrigeration Equipment, Air
Conditioning Equipment, Electronic Equipment*2: Topre global systems: Internal Control Committee;
Operations, Purchasing and Quality Control
Headquarters; ISO14001 (Environment) Secretariat;
Safety and Health Committee*3: Domestic companies: Toho Transportation, Toprec,
Topre Kyushu, Topre Tokai,
Mitsuike*4: Overseas companies: USA, China (3 companies),
Thailand, Mexico, India

Group companies• Domestic companies*3• Overseas companies*4

division. We expect the use of this knowledge and

The sharing of the CSR spirit

information in the improvement of understanding ofTo strengthen activities with a common awareness of
CSR, we distribute these portable cards with the group’s

initiatives aimed at CSR and climate change measuresand in dialogue with customers.

Topre Group CSR Meetings

Basic Principles and Code of Conduct to all Topre Group
employees. These are the high-level concepts of the

The company holds Topre Group CSR Meetings twice a

Topre Group and fundamental to our CSR initiatives. We

year. By reporting on and confirming CSR and thealso prepare and distribute these cards translated into

climate change measures taken in each division,

local languages at overseas bases.

activities are being promoted with common awarenessof the initiatives taken within the group as a whole, bothin Japan and overseas, and we are aiming to connect
this to more enhanced initiatives in each division.
The meeting was held on the web in January 2022

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Topre Group CSR Report 2023

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Topre Group CSR Report 2023

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Topre’s CSR (including the SDGs)

Topre’s CSR (including the SDGs)
CSR Materiality

Contributions to the SDGs

The process of identifying important CSR issues andassociating them with the SDGs

The Sustainable Development Goals (SDGs),
adopted by the United Nations in 2015, are global
goals for 2030 addressing social issues such as
poverty, employment and the environment. The
company will engage with various issues facing theworld and contribute to the realization of asustainable society, namely the achievement of theSDGs, through its business activities.

Grasping of current
state of CSR issues

Large

Level of impact on
stakeholders

The company raises management transparency by disclosing accurate and fair information in atimely manner, and strives to build relationships of trust with shareholders and investors throughconstructive dialogue that leads to understanding of the company’s business activities.
• General meetings of shareholders • IR website• Individual interviews with institutional investors• Financial results briefings

Employees-9-Environment

We respect human rights based on the high-level concepts of the Topre Group, and aim to create
an environment in which each and every employee can demonstrate their abilities to the maximum.
• Plant tours by the president• Labor-management council

Local society

Society• QC competition presentation• Company website• Establishment of consultation desks• Industrial physician interviews• Various training and programs• Company newsletter and internet

We are working positively on social contribution activities and environmental conservationin each country and region.
• Educational support for the next generation• Support for the promotion of sport• Plant tours• Cleanup activities

Topre Group CSR Report 2023

• Regional exchanges

Governance

Shareholders andinvestors• Exhibitions

Our business partners are important for us to produce high-quality products, and we believe theestablishment of cooperative systems is important. We strive to build relationships of trust withbusiness partners and for understanding and cooperation towards the realization of a sustainable
society.
• Daily purchasing activities• Supplier conference

Large

We set the issues inMarch 2022

Setting of important
CSR issues
Reconsider prioritization from thecompany and stakeholder
perspectives, deliberate upon
the issues at a meeting of the
CSR Formulation Committee
meeting headed by the
President, and confirm.

Placing of SDGs logo on related pages

Items

We provide customers with high-quality products and services, value communication with them, andstrive to meet their trust and expectations.
• Daily sales activities• MaintenanceImportant
CSR
issuesLevel of impact on
Topre

Main opportunities for dialogue• Plant tours• Company website

Evaluation of validity
Evaluate the validity of issues
through discussions with relatedparties in each division andinformation gathering toscrutinize whether or not issues
conform with changes in global
conditions and the environment.

Association of the important CSR issues identified with the SDGs (Yellow)

We ensure transparency by disclosing corporate information appropriately to stakeholders, and strive for mutual
dialogue and cooperation.

Business partners

Prioritize social issues based on
their level of impact on Topreand their level of impact on
stakeholders, and evaluate theirimportance.

October 2021 Start of process

Dialogue with stakeholders

Customers

Prioritization of issues

Evaluate and make a list of thesocial impacts of development,
procurement, production andsales with reference to thereview items of the GRI
standards and SRI evaluations.

The company is striving toraise awareness of
initiatives both inside andoutside the company,
such as distributing SDGs
badges.

Stakeholders* In March 2022, the company identified the CSR
materialities to work on in accordance with the following
process, and associated them with important SDGs.

Main initiatives

Related SDGs (1 to 17)

Page

Reduction of CO2 emissions*1• Reduction of CO2 emissions in production activities

13

P21-28Establishment and operation ofenvironmental management• Acquisition of ISO 14001 certification: All domestic
and overseas bases• Integrated acquisition of ISO 14001 certification:
Domestic bases-

P13-14

Thorough implementation ofchemical substance management• Establishment and operation of internalmanagement rules

12.4

P18

Development of environmentallyconsiderate products andtechnologies• Development of renewable energy-related
equipment• Proposal of technologies that connect toenvironmental conservation

7.2, 9.4, 12.2,
13

P15-17

Cooperation with suppliers• Promotion of green procurement

12.4

P31-32

Respect for human rights• Education on human rights and diversity• Implementation of human rights due diligence5, 10.2, 16

P33-34

Establishment and operation ofquality management• Acquisition of IATF 16949 certification: Automotive
related• Acquisition of ISO 9001 certification: Productrelated-

P29-30

Cooperation with suppliers• Promotion of CSR procurement

16.b

P31-32

Strengthening of corporate
governance• Building of group governance-P45-47

IR activities for investors• Publication of CSR reports• Enhancement of disclosed information-

P52

Strengthening of information
security• Establishment of an information management
system across the group

-

P50

11.b

P49-50Strengthening of risk management • Review of BCP*1: Among the CSR materialities, the “reduction of CO2 emissions” is the most important issue

東プレグループCSR報告 2022

Topre Group CSR Report 2023

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Topre’s CSR (including the SDGs)

Topre’s CSR (including the SDGs)

CSR-related initiatives and targets
Blue: CSR materialities / Yellow: SDGs-related Issues, *1: Most important issue
Theme

Items to work on

Main initiatives• Acquisition of ISO 14001 certification: Saitama Plant(Integration with Sagamihara Plant)• Acquisition of ISO 14001 certification: Head Office, Toho, Toprec,
Tokai• Promotion of the integrated acquisition of ISO 14001 certification:
Domestic• The integration of Saitama Plant into Sagamihara Plant wascompleted.
Promotion of the next step in fiscal year 2023.

• Establishment and operation of internalmanagement rules• Determination of management rules and application to eachdivision• PRTR (class I designated chemical substances) Reduction of
the use of specified substances• Continuous operation of management rules• Elimination of the use of PRTR specified substances (class I
designated chemical substances)-

Development of environmentallyconsiderate products and technologies• Development of renewable energy-related
equipment• Proposal of technologies that connect toenvironmental conservation• Commercialization of nano-hydroelectric power generation• Building of a refrigerating machine system for EV and FCV
Vehicles• Launch of new products (improvement of humidity-controlling
equipment energy saving)• Automotive: Body structure proposals conscious of LCA• Refrigerators: Development of a lineup of electric refrigerators(including RH and HP) and the introduction of low-GWP refrigerants• Air conditioning: Promotion of the switch to heat pump products with
low-GWP refrigerants• Electronics: Reduction of packing materials (use of recycled paper /abolition of outer boxes)-

Biodiversity initiatives• At least 1 activity a year at each plant• Continuation of activities

Reduction of water resource
consumption
Reduction of waste generation• Use of rainwater / reclaimed water• Concrete planning of initiatives• Use at domestic bases (plants / daily life)• Suppression and reuse of waste generated• Confirmation of compliance:
Domestic bases subject to laws andregulations• Waste reduction: 4.4% reduction compared to fiscal year 2020

• Waste reduction: 20% reduction compared to fiscal year 2020

• All bases: At least once a year
• Compliance rate: 100%-

• Formulation of plans for fiscal year 2023 and start in fiscal year2024.

• Promotion of green procurement• Green procurement evaluation method and start of evaluations-• Distribution of guidelines to Topre suppliers• Achievement of targets for accidents not accompanied by lost
worktime• Accidents accompanied by lost worktime: 0• Implementation of education at each base-

• Continuation of autonomous promotion of safety activities(RA activities / KYT activities)• Continuation of activities-• Implementation of activities• Continuation of activities-• Implementation of activities

Establishment and operation ofenvironmental management• Acquisition of ISO certification: All domestic
and overseas bases• Integrated acquisition of ISO certification:
Domestic bases

Thorough implementation of chemical
substance management

Compliance with environmental laws
and regulations
Cooperation with suppliers
Safety in the workplace
Implementation of special medical
examinations
Implementation of stress checks• Promotion of the reduction of industrial
accidents• Promotion of environmental improvements
in hazardous workplaces• Follow-up of workplace mental healthmeasures• Implementation of activity instructions and results reports fromseven bases.

-• Implementation of activity instructions, ongoing.

• Education on human rights and diversity• Topre and group companies implementation rate 100%

• Roll-out to suppliers 100%• Implementation of internal training on diversity• Implementation of human rights due
diligence• Topre implementation rate 100%

• Topre Group companies’ implementation rate 100%• Implementation of harassment training• Creation of accepting and diverse
workplaces• Implementation of unconsciousness bias training• Employment of more than 110 female employees• Compliance with the statutory employment rate for people withdisabilities• Ratio of female managers of at least 5%• More than 130 female employees (March 2026 target)-• Implementation of unconsciousness bias training• Employment of 102 female employees• Implementation of visits to special schools• Creation of an organization that allows
flexible work styles• Implementation of work-life balance training• Rate of taking childcare leave by male employees wishing to doso 100%• Rate of taking of childcare leave by female employees 100%

• Verification of understanding of work-life balance management-• Preparation for an engagement survey• Briefing session on the amendment of the Act on Childcare
Leave, Caregiver Leave, etc.
• Extended the periods of childcare leave and shortened workhours

• Human resource development tailored toeach individual• Career plan / design training• Establishment of a system that rewards people who take onchallenges• Completion of roll-out to domestic group companies• Started training for the development of the next generation ofhuman resources

Exchanges with and contributions tolocal society• At least 1 activity a year at each plant• Continuation of activities

Establishment and operation of quality
management• Acquisition of IATF 16949 certification:
Automotive related• Acquisition of ISO 9001 certification:
Product-related• Acquisition of IATF 16949 certification: Sagamihara(automobiles)(Topre, Metal Pack, Multi), Kyushu

Cooperation with suppliers• Promotion of CSR procurement• CSR procurement evaluation method and start of evaluations

Governance

Strengthening of corporate governance• Building of group governance• Inspection and strengthening of group management system• Zero cases of misconduct

IR activities

IR activities for investors• Enhancement of non-financial information• 100% completion of response to CG code

Information
management

Strengthening of information security

Risk
management

Strengthening of risk management

Respect for human rights

Human rights
and labor
Activities of diverse human resources

Socialcontributions
QualityG

Fiscal year 2022 results• Energy-saving activities, the installation of solar panels, etc.,
started in Japan.
CO2 emissions increased in absolute volume even while weadvanced the reduction of CO2 emissions gradually.

• Reduction of CO2 emissions in production
activities

Environment

S

Main targets and measures for fiscal year 2030
(Long-term targets)• 30% reduction compared to fiscal year 2020 (scope 1, 2)

Reduction of CO2 emissions*1

E

Safety andhealthMain targets and measures for fiscal year 2023
(The last fiscal year of the 15th medium-term management plan)• Promotion of the reduction of CO2 emissions in Japan andoverseas• Integration of CO2 reduction items by the Environmental
Improvement Committee of each division-11-• Publication of CSR reports• Enhancement of disclosed information• Establishment of an information
management system across the group• Review of BCP
Topre Group CSR Report 2023

• Thorough implementation of management rules andmaintenance of management tools• Response to major earthquakes• Response to infections• Addition of climate change risk (Response to TCFD)
東プレグループCSR報告 2022

• Continuation of activities at each plant• Acquisition of IATF 16949 certification: Tokai, Mitsuike, USA• Acquisition of ISO 9001 certification: Toho Transportation, Toprec,
Indonesia-• Sagamihara (automobiles) completed acquisition of IATF
16949 certification• Distribution of guidelines to Topre suppliers• Zero cases of misconduct in the group• Compliance education (DVD) 2,144 viewers• Publication of CSR Report 2022
• Enhancement of information disclosure on the website• Zero serious information security incidents• Information security education (all employees)• Completion of response to TCFD

• Completed formulation of the basic content of the BCP“earthquakes” and “infectious diseases” sections• TCFD “Automobile Equipment Division” started disclosure
Topre Group CSR Report 2023

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Environment
Environmental management
The group aims to be an environmentally friendly company in the execution of
corporate activities.

Environmental management
systemEnvironmental audits

Environmental education

In order to operate our environmental activities
properly, we have acquired ISO 14001 certification foreach place of business and have established anenvironmental management system.

We are striving to prevent environmental pollution in ourbusiness activities, products and services, and to enable
the continuous implementation of environmental
conservation activities.

< The Topre Group system >We confirm from an objective standpoint based oninternal and external audits whether or not theenvironmental management plans established in eachdivision conform with the environmental management
system and whether environmental management
systems are functioning in the operations of eachdivision, and we make continuous environmental
improvement while implementing the PDCA cycle.

We think that we need to provide all employees withappropriate environmental education in order to operateenvironmental management systems effectively, andare planning environmental education in each division.
Environmental education is divided into three
categories: “self-awareness education” in which all
employees learn about the deterioration of the global
environment and environmental management systems;“education on environmental impacts and work” foremployees who have an impact on environmental
performance and compliance obligations; and“qualification education” for employees who do workthat requires qualifications.

Environmental policy
The company has shared the following policy with thegroup as a whole and is expanding environmental
activities.
In addition, we are working on environmental activities
with all-employee participation through the enhancementof awareness of all employees involved in ordering,
design, development, production and delivery.

Director in charge of the environment

Environmental management(Quality Assurance Department 2)*1

Topre Group environmental policy< Basic way of thinking >We promote our business activities while
recognizing that conservation of the global
environment is the most important issue for all
humankind.
We aim to be an environmentally friendly company,
strive to save resources by promoting the 3Rs of
reduce, reuse, recycle, and work positively on the
reduction of greenhouse gas emissions.
1. We have established an environmental
management system and each and every
employee carries out environmental activities.
2. We promote the development and purchasing ofenvironmentally-friendly technologies andproducts aimed at the reduction ofenvironmental impacts.
3. We strive for the reduction of greenhouse gas
emissions by suppressing energy use andimproving efficiency.
4. We promote the efficient use and reuse ofresources.
5. We comply with laws, regulations and otherrequirements and manage chemical substances
appropriately.
6. We strive for the prevention of environmental
pollution and the protection of the environment
by suppressing the use and discharge of harmful
substances.
7. We strive to conserve biodiversity through local
contribution activities.

General managers ofeach place ofbusiness
Environmental
Secretariat
Division organization*1: Climate Change Measures Department is in charge ofmeasures to reduce CO2 emissions.

Each place of business is continuing to implement
environmental activities based on the environmental
management system.
We are planning to acquire ISO 14001 certification insuccession at bases that have not yet done so by
fiscal year 2026.
In addition, we will promote the sequential integrationof “environmental management systems” that haveacquired certification at each base in Japan.
< State of acquisition of ISO 14001 certification
at domestic and overseas production bases >Acquisition rate of 86% as of March 2023
Japan

Overseas

Sagamihara Plant

Topre America

Hiroshima Plant

Topre Mexico

Tochigi Plant
Gifu Plant
Topre Kyushu
Mitsuike

Topre (Foshan)
Topre (Xiangyang)
Topre (Wuhan)
Topre Thailand

Plan for the acquisition of certification at bases
not yet certified
Japan

Overseas

Topre Tokai
Topre India
Scheduled for acquisition Scheduled for acquisitionin fiscal year 2025
in fiscal year 2026
-13-

We work on education planning after considering thedetails of business, our environmental policy andobjectives, and clarifying our environmental educationneeds.

Environmental risk
management

Topre Group CSR Report 2023

東プレグループCSR報告 2022

In order to reduce environmental risks, each division
extracts environmental risks related to its businessactivities once a year. In order to prevent or mitigate
environmental accidents and emergencies that may
occur, or the environmental impacts that may occur
along with accidents or emergencies, we haveestablished procedures and make efforts to train
employees and maintain those procedures.

Compliance with environmental laws
and regulations
We identify and comply thoroughly with applicable
environmental laws and regulations. In implementing ourenvironmental management systems, we obtain
information on laws and regulations and otherrequirements related to our business activities andproducts, identify applicable laws and regulations, andcommunicate them to related divisions.

Effective use of resources
Waste generated from each place of business is sorted
fully to ensure appropriate treatment, environmental
preservation and the improvement of public health. We
sort generated waste into different materials as far as
possible to turn waste into resources and reduce its
volume. In addition, to make effective use of resources,
we improve yield rates during production and reuse
detergents.
The adoption of recycled material work clothes andoffice clothes (50% use of recycled PET fiber) is being
promoted at some bases.

If laws and regulations are established or revised, if
there is a change in the business environment such as
the introduction of new equipment due to the launch of
new products, or a request from a stakeholder, we
review our systems each time.
In addition, we also conduct internal audits oncompliance with laws and regulations.

Topre Group CSR Report 2023

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Environment

Environment

Development of environmentallyconsiderate products
We are working on the development of environmentally-considerate products
to reduce the environmental impacts of products throughout their life cycles.

Environmentally-considerate products● Press-related products
One of the company’s major strengths is its hightensile steel plate processing technology. The company
makes products from high-tensile steel, which isparticularly strong and extremely difficult to mold, with
its advanced technological capabilities.
To support the reduction of CO2 emissions while
ensuring automobile safety, we will pursue further
weight reductions and greater strength for each partand provide technologies for the global environment
and a new automotive society.
Front biller

Battery case● Temperature controlled logistics-related
products● Air conditioning equipment-related
products● Electronic equipment-related products• GBS• DesiTop desiccant humidity control ventilator forbuildings

The company’s ergonomically-considerate keyboards
realize quiet typing and exceptional key touch. In
addition, because they minimize fatigue for users, evenwith extended use, and are highly durable, they are usedby various customers as specialized input devices in arange of commercial settings such as financial
institutions, data entry at data processing centers,
logistics, transportation, medicine, ATMs in convenience
stores and broadcasting environments.

GBS, one of the major products of our temperature
controlled logistics-related products business, is a
refrigeration system equipped with a generator. This
enables the refrigerated and frozen vehicles to stop
idling, which was previously not possible, andcontributes to the reduction of CO2 emissions by notidling during cargo handling.

Rear pillar

Integrated refrigerationequipmentInternal temperature
setting range
Twin rotary Electriccompressor

Door beam

Center pillar

Wheel house

Permanent magnet generator (PMG)
Topre original* CO2 emissions reduction effect 15,455 t-CO2 / year
[Gross product weight (980, 1180 Mpa high tensile)× weight reduction rate (compared with 590 Mpa hightensile)× fuel efficiency improvement rate (gasoline reduction)
× gasoline CO2 emission factor]

Demonstrates overwhelming power
generation during low rotation.
Highly efficient generator ideal for
urban distribution.
Weight: 13 kg
Dimensions: 164 mm (l) x 140 mm (w) x 180 mm (h)Control box
Generator
speed

Battery box(Optional)

Electricity
generating
capacity

Inverter / converter• Non-contact electrostatic capacitive keyboards

As part of Japan’s energy-saving policies, CO2
emissions in the commercial and household sectors
in 2030 will have to be drastically reduced by about
40% compared to fiscal year 2013. Equipment for
greater energy saving will be essential due to thepromulgation of the Act on the Improvement of Energy
Consumption Performance of Buildings and the future
ZEB target.
The company used the technology it has accumulated
in heating and cooling, ventilation and air blowing tocommercialize and sell the DesiTop outdoor air
processing unit, which has energy-saving effects. This
product is a heat pump type that does not require aheat source (cold / hot water, outdoor unit). A total heatexchanger, heat pump and desiccant rotor are built into control indoor humidity in three stages. The systemsaves energy, of course, and also realizes a
comfortable indoor preserving stable humidity. This
desiccant system saves about 30% of energy annuallycompared to conventional systems.

The REALFORCE series of keyboards for general saleuse the same non-contact electrostatic capacity typesystem as the business keyboards, which have gained
high acclaim in OEM production.
They have also been adopted as Sagamihara City
hometown tax payment goods, and they are at the top of
the popularity rankings as people regard their good
durability highly.

Maximum continuous use time:
90 minutes
Minimum full charge time:
210 minutes* CO2 emissions reduction effect 4,871 t-CO2 / year
[Number of units operating in the GBS market x Fuelreduction effect (diesel)
x diesel CO2 emission coefficient]• Expansion of application of cold-formed 1,470
MPa material to press parts• Adoption of low global warming potentialrefrigerants

We are advancing the development of technology forcold-formed 1,470 MPa press parts, which have thesame strength as the hot stamp method with little CO2
generated, to switch from the hot stamp method, which
generates a large amount of CO2.

We have led the industry in adopting R452A
refrigerants (for low temperatures) and R513A
refrigerants (for medium temperatures) in refrigerated
vehicles. These are replacement refrigerants with a low
environmental impact at about half the impact
conventional refrigerants have on global warming.

* CO2 emissions reduction effect 433 t-CO2 / year
[High durability (comparison with general keyboards) x Number ofunits produced x CO2 emission coefficient of plastic waste]* CO2 emissions reduction effect (per system) 1.7 t-CO2 / year
[Power saving (compared with conventional air conditioning
system) × power CO2 emission factor]• Development and manufacture of battery cases
for electric vehicles
With battery cases for electric vehicles, it is important
to ensure characteristics such as water-tightness,battery storage capacity and strength, and we aredeveloping technologies that lead to high quality andlow cost by making full use of our production
technology know-how and structural analysis.

-15-* Global warming potential
R452A 46% reduction (compared with conventional refrigerant: R404A)
R513A 56% reduction (compared with conventional refrigerant: R134a)

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

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Environment

Environment

Development of environmentallyconsiderate products

Reduction of environmentallyhazardous substances
We are implementing initiatives aimed at reducing the use of environmentallyhazardous substances in our business activities.

Development of pipeline-type nano-hydroelectric
power generation system

Chemical substance management● Aiming for a recycling-oriented society● Initiatives to reduce environmentally hazardous substances

At present, in order to contribute to the realization of a decarbonized society, we are developing a pipeline-type nanohydroelectric power generation system that uses unused energy (energy creation) in industry-academia cooperation,
making full use of the company’s plastic processing, control and fluid technology. For an overview of nanohydroelectric power generation, please see “CSR Report 2022.”

We are working on the management and reduction of chemical substances that lead to environmental impacts in
products designed by the company. We are promoting initiatives aimed mainly at the reduction of chemical
substances subject to the PRTR Act and the management of chemical substances contained in products.
• Temperature controlled logistics-related products● Initiatives with Takaharu Town, Miyazaki Prefecture
We are currently implementing activities jointly with the local community aimed at revitalizing the local community
and realizing a sustainable autonomous local community using small-scale hydropower and other renewable energy
sources that the community possesses.
< Field verification case 2 >< Field verification case 1 >• Agricultural water facilities in “Sano land improvement
district,” Takaharu Town

• Aquaculture basin for a fishing pond at “Oujibaru Park”
in Takaharu Town (commissioned by Takaharu Town)

The developed product is installed in the terminal of a
mud plug for mud that accumulates in the agricultural
pipeline, with the electricity generated, about 500 W,
supplied to a nursery school about 150 m away (enoughelectricity for one general household). The project has
been developed as a public-private partnership projectwith the Ministry of Agriculture, Forestry and Fisheries toexpand the market by deregulating, creating a systemand proposing standardization aimed at social
implementation.

The developed product is installed at the terminal of thepipeline that supplies water to the farmed fish in thefishing pond, and generated electricity is transmitted to a
multi-purpose facility (Jimmu no Yakata).
The aim of introducing the facilities is to supply theelectricity used in the park using renewable energy,
including hydropower, solar power and wind power. In
addition, the town is also planning for the facilities to be
used for the education of school children.

Elementary school

We are working on the reduction of toluene, xylene, and methylbenzene, whose emissions are particularly high inmanufacturing.
By switching to alternative paints, we were able to reduce chemical substances subject to the PRTR Act by about4%.
• Air conditioning equipment-related products
The paints used in the blower product production process were subject to the PRTR Act, but after testing andevaluation, we obtained customer approval and switched to paints that did not fall under the PRTR Act. Due to thisinitiative, we were able to consider the health of workers and management became easier too as we were able tounify three kinds of paint into one.
• Electronic equipment-related products
We have introduced a dedicated management system for information on chemical substances contained in products
and parts. Due to this initiative, we have become able to handle survey requests from customers and the work ofproviding answers smoothly, as well as searches specifying laws and regulations based on information on contained
substances tabulated at the product, intermediate material and part levels.
By managing information on chemical substances contained in products positively, it becomes possible to obtain
good evaluations from customers.
Chemical substances for automotive parts are controlled using the automotive industry’s IMDS system *1.
We have stipulated chemical substance management rules based on ISO 14001 for our various purchased items, andare implementing chemical substance management. We have also stipulated a “List of Controlled Chemical
Substances,” a management standard, and ask suppliers to manage the chemical substances in the products they
deliver with that and to deliver products managed under the same thinking as that of the company.

Nursery school(Included in the “Topre Group Green Procurement Guidelines”)
With purchased electronic products, we manage chemical substances using chemSHERPA*2.

Nano-hydroelectric
power generation system
Power generation unit

*1
IMDS: A supply chain environmental information transmission

Rectifiersystem developed by the Verband der Automobilindustrie(VDA) of Germany with the ELV Directive in mind.
Dust removal

Verification of power generation using agricultural water facilities● Future development

Verification of local consumption in the park

We will use the technologies the company owns to develop products that can contribute to society as energy creation
products.
We will carry out product development in fiscal year 2023 through a public-private partnership project with the
Ministry of Agriculture, Forestry and Fisheries, including surveys of the amount of water resources at agricultural
facilities and application to other plants and industries.
-17-*2
chemSHERPA: A data creation support tool led by the Ministry of Economy,
Trade and Industry for the proper management of information
on chemical substances contained in products throughout the
supply chain, from upstream companies to downstream
companies

Topre Group CSR Report 2023

東プレグループCSR報告 2022

List of Controlled Chemical Substances

Topre Group CSR Report 2023

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Environment

Environment

Conservation of biodiversity
We are working on the conservation of biodiversity towards the realization of a sustainable society.

Initiatives at each base
The company has not been able to participate positively over the past few years due partly to the COVID-19
pandemic. As raised in the company’s CSR activities, we recognize that the conservation of biodiversity isessential, and we will plan and implement biodiversity initiatives that are a premise of our business activities fromnow on. The following are activities picked up based on the results of implementation in fiscal year 2022.

< Japan >● Topre Sagamihara Plant

Sagamihara Plant is a member of the Sagamihara Environmental Improvement Association run by
Sagamihara City and participates in surveys of aquatic life and water quality in the rivers of SagamiharaCity.
● Topre Tokai
By raising donations for the Green Fund in Mie Prefecture, we are contributing to the creation of forests,
greening, and the development of human resources to cooperate in the three areas of “forest development,”“the promotion of greening” and “international cooperation related to the promotion of forest development or
greening.”
Sagamihara Plant: Survey of aquatic life in a river< Overseas >Topre Thailand: Mangrove planting● Topre Thailand
We have been carrying out mangrove planting activities for many years and have planted more than 1,500
trees.
This fiscal year, 48 people participated on October 13 and we planted a total of 500 trees in an area of about
100 ha along about 2 km of the Gulf of Thailand. We will continue to contribute to the maintenance of diverse
ecosystems in future too.
Number of mangrove trees
plantedFiscal year
2018
2019
2020
2021
2022
Number of trees
planted

150

325

350

330

500

● Topre (Foshan)
Topre (Foshan): Tree-planting activities
On March 14, we carried out tree-planting activities near a forest park in the Sanshui District of Foshan City.
Ten people participated and we planted ten seedlings.

Topre (Xiangyang): Tree-planting activities and donations● Topre (Xiangyang)
On March 16, ten people participated in tree planting activities in the Xiangcheng District of Xiangyang City, andwe planted ten trees.
In addition, we are providing support (donations) for the greening of Xiangyang City.

● Topre (Wuhan)
On March 22, twelve people participated in a tree-planting activity in the Jiangxia District of Wuhan City, and weplanted twelve trees.
Topre (Wuhan): Tree planting activities● Topre Mexico

Topre Mexico: Planting around the plant

We are working on the regeneration of greenery by planting plants that use less water around the plant.
-19-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

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Environment

Environment

Carbon neutrality
We are expanding initiatives towards a decarbonized society.

Responses to climate change

The company established a Climate Change Measures Department in December 2021 to grasp the current state of
CO2 emissions throughout the group and to manage action plans aimed at the reduction of CO2 emissions. Aiming
for carbon neutrality by 2050, we built a climate change measures system consisting of top management, and areworking on this.
Responses to climate change, a global-scale issue, is now a necessity. As an initiative towards the achievement ofcarbon neutrality, the company grasped CO2 emissions in its production activities and set long-term targets for their
reduction. The group as a whole, both in Japan and overseas, will advance reductions step-by-step to achieve “a30% reduction in CO2 emissions in fiscal year 2030” and “carbon neutrality in fiscal year 2050,” based on
improvements in energy saving, the installation of solar panels, purchasing of renewable electricity, and the tradingof CO2 emissions credits.
The group will fulfill its social responsibilities towards the realization of a sustainable society by implementing
various measures.

We set the target values using fiscal year 2020 as the base year.

(1,000 t-CO2)80

68.8
Power system

60

52.3

16.5

Long-term reduction
Fiscal year 2030: 30%
targetTotal

Fiscal year 2031 - 2050

Fiscal year 2050: 100%

● Subject Topre Group companies:

100%- Japan: Topre, Toho Transportation, Toprec,
Topre Kyushu, Topre Tokai, Mitsuike

Energy saving
improvements

CO2 emissions

4.9
Overseas● Grasping of Scope 3 emissions
Scope 3 emissions are those by other companies aside
from CO2 emissions in production activities. The
group’s biggest sources of Scope 3 emissions are in“Category 1 Purchased products and services (54%)”and “Category 11 Use of products sold (38%).”70%

Scope 3
Other categories - 6%

Solarpanels (B)11

Product
Division

31.7- Overseas: USA, China, Mexico, Thailand, India

Solarpanels (A)Solar panels (A)• Investmentrecoverable
installation, PPA,
etc.
Solar panels (B)• Cases where
investment will bedifficult to recover

Scope 1 - 0%
Scope 2 - 2%

Purchasing of

2030
Target2050
Target(Compared to(Compared tofiscal year 2020) fiscal year 2020)

30% reduction 100% reduction

25% reduction 75% reduction
Domestic
group
companies

We will consider the selection and purchase of lowCO2 materials and parts to reduce Category 1
emissions. With regard to Category 11 reductions, wewill develop a lineup of refrigerated vehicles equippedwith electric refrigeration equipment and promotereplacement with low-GWP refrigerants. We arepromoting subsidies for the purchase of electricvehicles with regard to the reduction of commuting byCategory 7 employees.

● Release of CDP answers
Topre has been responding to the CDP questionnaire
since 2017. We are currently publishing the answers
and evaluation results.
In this fiscal year’s survey, we confirmed the company’sscore, and anticipate a B class evaluation result.

renewable energy power(35%)

Trading of CO2
emissions credits

0

Fiscal year 2020

Japan

1

Automotive
Equipment
Division7

Fiscal year 2020 (base year)(3.5%)(Fiscal year 2040: 65%)

11.6

Fuel system

36.7

32.2

20.6

0

* Base year Annual Fiscal year 2021 - 2030
2020
target3.0%

The group recognizes that the reduction of Scope 3
emissions is an important issue, and set targets for
efforts in categories where there are high emissions
and the suppression of CO2 can be expected.
Subject
Subject sector
category

20

Fiscal year 2030: 30% reduction in emissions
Fiscal year 2050: Carbon neutrality● Scope 3 reduction targets

The group’s CO2 emissions associated with fuelconsumption and power consumption were about
68,800 tons in the base year, fiscal year 2020. We plan
to reduce these emissions in line with the targets.

40● CO2 emissions reduction targets• CO2 emissions in production activities● CO2 emissions based on the Topre
Group base fiscal year

Fiscal year 2030

Fiscal year 2040

Scope 3Category 11 - 38%
Scope 3Category 1 - 54%

Fiscal year 2050
Breakdown of supply chain emissions(fiscal year 2022 results)-21-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

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Environment

Environment

Carbon neutrality

Response to TCFD recommendations
The group recognizes that climate change problems are an important issue in the environmental area of corporate sustainability. The Topre Group raised a CO2 emissions reductions target in March 2022 and is advancing initiatives systematicallytowards its achievement.
In addition, the group has expressed its support for TCFD as an indication of its positive response to climate change. We will analyze scenarios of the risks and opportunities presented by climate change, and promote the disclosure of climaterelated information in line with the TCFD framework. First, we have established the risks and opportunities in press-related products business in Automotive Equipment Division, which is the group’s main business and accounts for about 80% ofsales.

Governance< Strategy >Strategy
Described on the page to the right

Risk management
The group analyzes in detail corporate risks, including sustainability risks, in each division. Reevaluation is carried out
once a year in each division and the results are reported to the Risk Management Subcommittee. Risks judged to beof high importance are listed and managed by the Risk Management Subcommittee. New risks that are judged torequire the formulation of new plans or existing risks that are judged to require a review are considered and dealt within each division without restrictions on the timing of the reevaluation of risk. The results are reflected in thereevaluation of risk.
The Risk Management Subcommittee asks each base to implement BCP initiatives with regard to risks on the list
concerning all bases as required to enhance the BCP. Even if climate-related risks are not related to all bases, theRisk Management Subcommittee requests BCP initiatives as required based on the regional and geographicalconditions of each base, and plans to manage them in relation to the risk management at each base.

Financial impact
Time horizon:Large (10 billion yen or more), Medium (1 billion to less than 10 billion yen), Small (less than 1 billion yen)
:Short (to 2026), Mid (to 2030), Long (to 2050)

Major
Middleclassification classification

Minor classificationTimehorizonScenario
below
4ºC
2ºC

Introduction of carbon
Policies and tax

Mid tolong-term-○

Deterioration of profit and loss inassociation with increases inprocurement costs, production costs
and tax burden

Avoidance of additional taxation andPromotion and partial
acquisition of preferential tax treatment by acceleration of CO2 emission
achieving CO2 reductions
reduction measures

Small

Regulations on gasoline Mid tovehicle sales
long-term-○

Decrease in unit sales-> Decrease in sales

Increase in orders for hydrogen, FCV and Proposal of methods
EV parts for non-gasoline vehicles
considerate of CO2 reductions

Small

Mid tolong-term-○

Decrease in orders due to changes inbody structure

Expansion of opportunities for new
portions due to structural changes

Technology proposals using
new materials andtechnologies

Large

Demand for lower
Mid tocarbon in hot stamping long-term-○

Increase in carbon lowering costs

Cold ultra-high tensile plates
Expansion of cold ultra-high tensile parts to
Development of processing
replace hot stamp partstechnology, etc.

Small

Mid tolong-term-○

Promotion and partial
Decrease in orders from customers (car Increase in orders due to the achievement
acceleration of CO2 emission
manufacturers)of CO2 reductions
reduction measures

Large

Short,
mid, long- ○term-

Suspension or shutdown of plant
Strengthening of BCP through installation
production capacity due to restrictions on
Continuous BCP review
of solar panels, storage batteries, etc.
power use

Medium

Mid tolong-term-

Suspension of plant operations andsuspension of employee attendance

Mediumregulations

Indicators and targets

MarketTechnology

Chronic

Acute

The group’s climate change targets are as indicated under “Responses to climate change” on the previous page.
The Topre Group started rolling out its CO2 emission reduction measures (energy conservation measures, installationof solar panels, etc.) in earnest at each base in Japan from fiscal year 2022 and plans to roll out such measures
overseas from fiscal year 2023. We plan for the results of reductions to increase gradually from fiscal year 2023.
The results for The Topre Group’s Scope 1 and 2 and Scope 3 CO2 emissions are as indicated under “ESG datacollection” in this report.

-23-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Shift to EVs

Reputation CO2 reduction target

PhysicalIn addition, Climate Change Countermeasures Department is promoting the group’s reduction of CO 2 emissions, but a
dedicated department in charge of the promotion of carbon neutrality activities has been established separately in thelarge Automotive Equipment Division. In line with the TCFD framework, climate-related risks are evaluated andreviewed once a year by the dedicated department and related parties who grasp the latest information on theautomotive industry, and the results are reported to the Board of Directors.

The group analyzed two scenarios in regard to the impact of climate change on the company’s automotive equipment
business, one with a global average temperature rise of four degrees celsius and one with a global averagetemperature rise of less than two degrees celsius, and identified the risks and opportunities in the “transition” and“physically,” in consideration of the size of the impact. The group will promote its response so that we can minimize
the risks and create opportunities.
In addition to the further development of hot stamp processing technologies, the group is continuously developing
technologies such as cold ultra high tensile plates processing technology, which will be effective in the reduction of
CO2 emissions by reducing fuel and weight during production, as an alternative technology to hot stamp processing.
We are working to contribute to the future reduction of CO2 emissions.
With regard to the financial impacts on profits and expenses, we select the degree of importance within the following
scope based on forward-looking considerations by specialized departments and related parties as described in “Riskmanagement.”

Transition

The group has built a framework for initiatives headed by the Board of Directors, which is indicated in “Topre’s CSR(including SDGs).” The Board of Directors reviews reports on the results and plans of climate change measures, anddiscusses important issues related to climate change measures when they occur through the Director in charge of
CSR and climate change measures.
------ See p.8 of this report.

Average temperaturerise(Occurrence ofabnormal weather)Greater frequency offlooding and flood
damage○Risks< Reference data >Opportunities

Build disaster-resistant factories andestablish BCP

Response

Continuous BCP review

Less than two degrees celsius scenario

Four degrees celsius scenario• IPCC (Intergovernmental Panel on Climate Change)

SSP1-1.9/2.6

SSP5-8.5• IEA (International Energy Agency)

NZE

STEPS

(Net-Zero Emissions(Stated Policies Scenario)

Financial
impactby 2050 Scenario)

Topre Group CSR Report 2023

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Environment

Environment

Carbon neutrality
We are expanding initiatives towards a decarbonized society.

CO2 emissions reduction activities - overall
Bases● Energy saving and CO2 emissions
reduction initiatives

Topre

Overview of considerations

In Japan, we began the installation of solar panels, themain part of our CO2 reduction measures, in earnest
from fiscal year 2022, and our CO2 emission reductions
have increased. Energy conservation measures arealso advancing systematically in parallel, and the
reduction results have increased.
Overseas too, like Japan, we are implementing surveys
and making plans, and we plan to start energy
conservation measures and the installation of solar
panels from fiscal year 2023, gradually increasing the
reduction results.

[1] First, we will thoroughly implement everyday
improvements for energy saving and the successive
installation of solar panels on rooftops where they canbe installed.
[2] Examples of items for consideration (other than solar
panels)- Plant air leakage prevention and supply control- Switch to highly efficient transformers- Change company vehicles to EVs- Change to centralized control of air conditioning- Upgrade to heat exchange type ventilation systems- Adaptation of office buildings, etc. to ZEBs

Switching to LED lights in plants and offices has largely
been completed and we are advancing the change from
mercury lamps, which consume a lot of electricity, toelectricity-saving LED lights. At Tochigi Plant, forexample, we reduced electricity consumption by about
70% by switching some lighting from mercury lamps to
LED lights.

- Following on from each of Topre’s divisions and thenine divisions of the group’s domestic companies, eachof the group’s overseas companies will start CO2
reduction plans from fiscal year 2023.

However, as production volumes are also increasing,
we must accelerate further if emissions are grasped as
the absolute volume.
To accelerate investment in CO2 reductions, thecompany set internal carbon pricing (ICP) in Japan fromfiscal year 2023. We will review ICP once a year in lightof the situation in general and at the company. “Fiscal
year 2023: 10,000 (yen / t-CO2)”In November 2022, we issued a news releaseannouncing that we will make step-by-step investments
in energy-saving facilities at bases in Japan to achieve
the company’s fiscal year 2030 target for the reductionof CO2 emissions. A reduction in CO2 emissions of
10,000 tons is expected based on this initiative.
The company is strengthening the reduction of CO2
emissions based on these initiatives.

-25-• Reduction of power consumption by upgrading to battery-powered forklifts
Reduction effect 22.2 t-CO2 / year (upgraded 10 vehicles)

Hiroshima
Plant
Tochigi Plant

Topre Kyushu

Topre Tokai

ToprecTopre (Foshan)< Logistics >We are conducting activities aimed at the improvement offuel efficiency by setting annual fuel efficiency targets. In
addition, as an initiative to reduce CO2 emissions
associated with manufacturing, we are actively
introducing battery- powered forklifts, which can be
expected to reduce CO2 emissions compared toconventional LPG- powered forklifts. Sagamihara Plant
has introduced a total of 35 battery-powered forklifts
since 2017.

Topre Group CSR Report 2023

東プレグループCSR報告 2022

• Installation of solar panels
Plant 5 and Warehouse 1: Reduction effect 166 t-CO2 / year
• Reduction of power consumption by switching to LED lighting
Reduction effect 170,000 kWh / year (replaced 138 mercury lamps)• Installation of solar panels
Logistics building, plant building: Reduction effect 255 t-CO2 / year
• Reduction of power consumption by switching from fluorescent lighting to LED
lighting
Toin Plant, Yokkaichi Plant, Suzuka Plant: Reduction effect 59.1 t-CO2 / year
• Replaced gasoline-powered company vehicles with hybrid vehicles (18 vehicles)• Reduction of power consumption by natural illumination of the plant and offices
Reduction effect 4.3 t-CO2 / year (equivalent to 20 fluorescent lights)• Reduction of power consumption by optimization of facilities
Reduction effect 115.8 t-CO2 / year (3 facilities in total, automatic control,increased efficiency and integration)

Topre (Xiangyang)• Reduction of power consumption by optimization of plant lines
Reduction effect 156.8 t-CO2 / year (review of material transport)• Changes to air conditioner temperature settings
Reduction effect 31.4 t-CO2 / year

Topre (Wuhan)• Reduction of goods power by automating plant environment control
Reduction effect 206,040 kWh / year

Topre Thailand• Replaced gasoline-powered company vehicle with hybrid vehicle (1 vehicle)< Use of renewable energy >As an initiative for carbon neutrality, we plan to installsolar panels in stages on all plant roofs where installationis possible. (We will consider the purchase of renewableenergy power in the future.)• Installation of solar panels
Press Plant 2 and Saitama Plant: Reduction effect 172 t-CO2 / year
• Reduction of power consumption by upgrading to battery-powered forklifts
Reduction effect 3.6 t-CO2 / year (upgraded 1 vehicle)• Installation of solar panels
Plant 3 Warehouse: Reduction effect 155 t-CO2 / year
• Reduction of power consumption by upgrading transformers• Change of compressor control• Reduction of power consumption by upgrading to battery-powered forklifts
Reduction effect 3.6 t-CO2 / year (upgraded 1 vehicle)< Facilities >We are upgrading to highly efficient power transformers
and air conditioners. In addition, we are also working on
everyday improvements such as reducing power
consumption by adjusting the timing of the turning off ofpower to air compressors and the heating time of heatsource equipment for each season.

• Reduction of power consumption by switching to LED lighting in the plant andoffices
Reduction effect 23,365 kWh / year (replaced 244 fluorescent lamps)• Reduction of power consumption by upgrading air conditioners
Reduction effect 1,000 kWh / year (upgraded 1 unit)

Gifu Plant< Lighting >• Plan for the reduction of CO2 emissions(Japan and overseas)

Sagamihara
Plant

Results of initiatives in fiscal year 2022

Topre Group CSR Report 2023

-26-

Environment

Environment

Carbon neutrality
We are expanding initiatives towards a decarbonized society.

CO2 emissions reduction activities - State of
installation of solar panels● Fiscal year 2022 results● Fiscal year 2023 plan

< Domestic >< Domestic >Topre Sagamihara Plant

Topre Gifu Plant

Topre Sagamihara Plant

Topre Tokai• Installation on Press Plant 2 / one roof of Saitama
Plant• Expected reduction 172 t-CO2 / year

• Installation on Plant 5 / roof of Warehouse 1• Expected reduction 166 t-CO2 / year

• Plan for installation on Press Plant 2 / roof of Saitama
Plant• Expected reduction 361 t-CO2 / year

• Plan for installation onpart of the roof ofToin Head Office Plant• Expected reduction:
175 t-CO2 / year
< Overseas >Topre (Foshan)

Plant 5Press Plant 2
Press Plant 2

Saitama Plant

Welfare building• Plan for installation onpart of the plant roof
• Expected reduction:
1,537 t-CO2 / year

Topre Hiroshima Plant
Warehouse 1

Saitama Plant• Plan for installation on
Plant 7
/ roof of welfare building• Expected reduction:
57 t-CO2 / year

Topre (Xiangyang)• Plan for installation
on part of the plantroof• Expected reduction:
1,889 t-CO2 / year

Plant 7Topre Kyushu
Topre Tochigi Plant• Installation on the roof of Plant 3 warehouse• Expected reduction 155 t-CO2 / year

• Installation on logistics building / roof of plant building• Expected reduction 255 t-CO2 / year

Topre Tochigi Plant• Plan for installation in
adjustment ponds A and B• Expected reduction:
321 t-CO2 / year

Adjustment Pond A

Topre Thailand
Topre Kyushu

Plant 3 warehouse< Front > Logistics building < Back > Plant building• Plan for installation onroof of Technology
Center• Expected reduction:
197 t-CO2 / year

Adjustment Pond B• Plan for installation
on part of the plantroof• Expected reduction:
761 t-CO2 / year

Technology Center (Kurume Plant)-27-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

-28-

SocialProducts and services
We provide products and services of a quality that can make all customers feel at ease to establish the“Topre quality” that our customers recognize.

Quality Policy

Quality management system

At Topre, we are conscious of our quality assurance
philosophy in all processes and at all bases, and inorder to unify and improve the Topre brand, we haveformulated the Group Quality Policy to be worked on
and have rolled it out to related divisions.
In addition, every year, each plant and related division
prepares a Quality Activity Plan based on the MediumTerm Management Plan, the Quality Policy, and the
Quality Management Policy, and engages in quality
activities.

The company’s plants, global subsidiaries and suppliers
have standardized their quality assurance systems
based on the standard requirements of ISO 9001 or
IATF 16949, customer requirements and legal
requirements, and built quality management systems
that they now operate and manage.
The Topre Group has built a global system with Quality
Headquarters positioned at the top of the organization.
In addition, Quality Assurance Department 1 is
responsible for maintaining and managing the quality
system for press-related products produced at the Topre
Group and suppliers, and Quality Assurance
Department 2 is responsible for maintaining andmanaging the quality system for company products
related to temperature controlled logistics, airconditioning equipment, and electronic equipment.

Topre Group Quality Policy< Basic way of thinking >We provide products and services of a quality that canmake all customers feel at ease to establish the“Topre quality” that our customers recognize.
1. We have established a quality management systemand each and every employee carries out quality
assurance activities.
2. We take on the challenge of improving quality inwork at all times, from development to production
and sales.
3. We identify market needs and trends accurately,and provide customers with optimal products,
services and information.

Quality control system
Quality Headquarters

Quality Assurance
Department 1(Press Products
Division)
Quality Control
Department(Pressproducts)

Domestic andoverseas
affiliates

Quality Control
Department(Topreproducts)

Domestic and overseas production bases
State of acquisition of quality management systems[acquisition rate 86%]

The company is striving to create products that cansatisfy customers by strengthening product development
and technologies from a customer perspective in orderto respond to diversifying needs.
Further, in cooperation with affiliated companies, we aremaking efforts to improve customer satisfaction by
feeding back information on customer needs andproblems to products quickly.

Initiatives for QC activities

Information provision andquality labelingContinuing since 1970, the company has held a total of
65 QC competitions as of 2022. This was the eighth
holding of a competition to which QC circles fromoverseas bases were invited. Because of measuresagainst COVID-19 infections from 2020 to 2022, thesewere held as the QC Global Video Competition, with theoutcomes of QC put together on video, and we arecontinuing our activities.

Hiroshima Plant

ISO 9001

5. We strive to ensure quality and safety while
complying with customer requirements and laws
and regulations.

Tochigi Plant‘’

Gifu Plant‘’

Topre Kyushu‘’

Topre Tokai‘’

Mitsuike‘’
Overseas

Topre America

Scheduled for acquisition in 2025
ISO 9001

Topre Mexico

IATF 16949

Topre (Foshan)‘’

Topre (Xiangyang)‘’

Topre (Wuhan)‘’

Topre Thailand‘’

Topre India

Scheduled for acquisition in 2023
ISO 9001

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre is striving to provide appropriate information on
how to use its products in order for customers to use thecompany’s products safely for a long period of time.
We have prepared product labels and instruction
manuals so that customers can operate products, carryout daily maintenance and handle errors safely.

Initiatives for the improvement ofmaintenance quality

Global Video Competition
2021, 2022
Best circles

Japan
IATF 16949-29-

At the initial stage of product planning anddevelopment, the company designs the standards,
regulations and laws that apply to products from theperspective of environmental considerations andlifecycle, and conducts design verification throughanalysis, verification of safety using prototypes andtesting assuming various environments of use to ensure
product quality.

Domestic andoverseas
affiliates

Sagamihara Plant

7. We maintain good relations with cooperating
manufacturers and strive to improve quality.

Consistent quality control

Quality Assurance
Department 2(Topre productdivisions)

4. We develop human resources through educationand training in order to maintain quality activities.

6. We follow the PDCA cycle at all times to makecontinuous improvements.

Quality assurance at the planning anddevelopment stages

In addition, apart from the QC competitions, we havesystems that allow the proposal of improvements inquality, health and safety, environmental conservation,
and work efficiency. The content of proposals is judged
in terms of ingenuity, applicability, effectiveness, etc.,
and we give prizes and awards in accordance with thepoints received.

We have established a dedicated department and asystem for staff with product knowledge to respondquickly to customer inquiries about productexplanations, repairs and replacements. In addition, we
have established a service system that can be deployednationwide through a system of cooperation with othercompanies. By sharing maintenance and service
information, we maintain uniform maintenance quality
nationwide.
In general, with products of high quality, maintenance iseasy to understand and consideration is also given to
making it easy and safe. We are advancing efforts toimprove product quality in newly developed productdesigns by giving feedback on points for improvement
obtained from customers to Design Division andreflecting that in designs, thereby improving the future
quality of maintenance.
We provide customers with highly marketable products
and easy-to-understand instruction manuals andmaintenance explanations. Internally, for staff andservice personnel, we will enhance product educationand maintenance manuals that are easy-to-understandthrough the use of photos and videos. In addition, we
will also work on the further improvement ofmaintenance quality by establishing a system thatenables us to respond quickly and correctly to newly
developed products as well.

Topre Group CSR Report 2023

-30-

SocialSocialSupply chain management
We build fair, impartial and moderate relationships with the people related to the Topre Group.
We maintain highly transparent transactions with business partners, cooperating businesses
and suppliers.

Purchasing policy

Strengthening of supplier partnerships

Topre Group Purchasing Policy

Our business partners are important for us to produce
high-quality products, and we believe the building ofcooperative systems is important.

< Basic way of thinking >The company has shared the following policy with theTopre Group as a whole for the procurement ofmaterials. We build relationships of trust with business
partners, promote procurement emphasizing CSR andenvironmental conservation, and roll-out initiatives
towards the development of a sustainable society.
1. Compliance with law, regulations and social morality
We promote fair and transparent purchasing
activities in compliance with related laws andregulations as well as social morality and norms.
2. Environmental protection
We implement purchasing activities that lead toenvironmental conservation activities based on ourenvironmental policy, and promote “green
procurement activities.”
3. Fair and equitable transactions
We provide open, fair and equitable entry
opportunities regardless of nationality, company sizeor whether or not we have a track record of business.
4. Selection of business partners
We select based on comprehensive consideration ofquality, cost, technology, delivery time and othercapabilities, as well as management attitudes andsystems. In addition, we strengthen cooperation
among each division, domestic and overseas bases
and affiliated companies to ensure the optimal
procurement of materials by using the mass benefitsof centralized purchasing.

The company holds a supplier conference once a year
to explain the group’s current situation, strategies,
purchasing policy and Topre initiatives.
We normally hold this event with the participation of
about 150 business partners, but we were unable to do
so in fiscal year 2022 as it overlapped with various
changes in the environment, including changes of
directors. We will hold this conference in web format in
July in fiscal year 2023.
We will promote procurement that emphasizes CSR
and the environment, strive to build relationships of trustwith business partners throughout the group, and aim tocontribute to the realization of a sustainable society.
At the company’s QC Circle Competitions, we share
information on quality and manufacturing processes andconsider issues. We also ask business partners topresent examples of their quality improvements andwork with them to raise awareness of quality.
Apart from that, the company’s Parts AcceptanceDivision visits suppliers regularly to conduct on-site
audits of manufacturing processes, provide advice on
improvements, and propose improvements to the work
environment.

The Topre Group has established the “Topre Group
Supplier CSR Guidelines” for the further promotion of
CSR procurement, and under the Basic Philosophy of“contributing to society through the creation of products
and services using its outstanding technologies,”
clarifies its approach to CSR as well as requirements
for business partners concerning human rights, labor,
health and safety, anti-corruption measures andconsideration for the environment, and promotes CSR
initiatives across the supply chain together withbusiness partners.

Business partner hotline

Through the “Topre Group Supplier CSR Guidelines”
issued by Topre, we will have existing business
partners understand CSR activities centered on quality,
human rights, the environment and compliance withlaws and regulations, and promote the diffusion andspread of CSR initiatives.
In addition, we will work on the promotion ofsustainable procurement in cooperation with business
partners by asking them to fill out a “Confirmation of
Agreement,” including matters such as cooperation witheach guideline.
Supplier CSR
Guidelines

Green Procurement
Guidelines

In order to maintain fair, impartial, and highly
transparent transactions with related business partners,
the group has established a contact point for business
partners to report.
We promise to protect reporters so that there is no
disadvantageous treatment or deterioration of the
trading environment due to reporting, and handle
personal information based on the company’s protectionof personal information. This contact point has been
established in a division independent of Purchasing
Division, and the manager in charge of complianceinvestigates the details reported and takes appropriate
action.

Purchasing personnel

Supplier CSR Guidelines
https://www.topre.co.jp/en/sustainability/social/files/en_csr_guideline.pdf

6. Information protection
We manage confidential information properly and do
not disclose it without mutual approval.

Topre Group CSR Report 2023

The company has established the “Topre Group Green
Procurement Guidelines” as its basic way of thinking on
consideration for the environment in procurement
activities, including the company’s way of thinking oncarbon neutrality and a request to business partners to
reduce CO2 emissions. In addition, as an initiative at
the procurement stage, we promote “green
procurement,” by which we procure from business
partners who are positive about environmental
improvement activities, such as materials, parts andunits considerate of the environment.

● Initiatives for the promotion of CSR
procurement

5. Building of relationships of trust
We build relationships of trust with business partners
through fair and transparent transactions, andpromote mutual development. By strengthening trustwith suppliers, we realize flexible and timely parts
provision to customers.

-31-

Promotion of green procurement

CSR procurement

The group provides education to employees towards thethorough implementation of fair and transparent
transactions and the promotion of CSR throughout the
supply chain, and provides regular education andtraining for procurement personnel. In recent years,
these efforts have led to an increase in the skills andknowledge of personnel in charge of subcontracting,compliance, CSR procurement and other areas ofparticular importance.
In addition, we also provide education and guidance on
their attitude as employees and buyers.

東プレグループCSR報告 2022

Topre Group CSR Report 2023

-32-

SocialSocialRespect for human rights

Diversity in human resources

We respect human rights and do not tolerate discrimination or harassment based on race,
creed, gender, nationality, physical characteristics or any other reason in any case.

Responses to humanrights risks

Basic policy on respectfor human rights
Topre Group basic policy on respect for humanrights< Basic way of thinking >In conducting business activities, we fulfill our
responsibility to respect human rights, which are
fundamental human rights. We raise “respect forhuman rights” in the Topre Group Action Guidelines,
which is the standard for employee behavior, and are
implementing initiatives for human rights and labor
having clarified in the Action Guidelines that “In orderto respect human rights and accept diversity in the
conduct of business activities, the company will notdiscriminate or harass on grounds of race, creed,gender, nationality, physical characteristics or any
other reason.”Through this policy, we will build a system for therespect of human rights and handle this appropriately.
This policy applies to all officers and employees of theTopre Group.
1. Respect for human rights• In order to respect human rights and accept
diversity, we respect the diverse abilities,
individuality and sense of value of each and every
employee.
• We do not tolerate discrimination based on race,
creed, gender, nationality, physical characteristics
or any other reason, or any harassment that harms
human rights or somebody’s personality.
• We do not tolerate child labor, forced labor or
human trafficking.
2. Responses to human rights risks
We apprehend human rights violations as a humanrights risk and build and manage appropriately
processes to identify, mitigate and prevent humanrights risks.
3. Protection and relief of human rights
We will strive for the protection and relief of humanrights if a human rights violation is made clear.
4. Appropriate labor management
We comply with laws and regulations concerning
labor that are applicable in each country and region,and provide and manage appropriate work
environments for employees.
5. Education and enlightenment
We implement appropriate education andenlightenment activities for all officers andemployees.
6. Business partners
We ask all business partners to understand thispolicy, and to respect and not violate human rights.
7. Information disclosure
We disclose the state of implementation of ourinitiatives for the respect of human rights to thegeneral public.
-33-

We respect diversity and support the potential of people who take on challenges.

Promotion of diversity
Promotion of diversity

The group defines human rights risks as “risks that
could infringe on the human rights of people related to
the Topre Group and its business partners.” In order toensure thorough respect for human rights throughout
the supply chain, we have established items on respectfor human rights in the “Topre Group Supplier CSR
Guidelines,” and are working with business partners topromote initiatives towards compliance with those
items.
In fiscal year 2022, there were no cases involving childlabor or forced labor.

Initiatives for the improvement ofawareness of human rights
The company is making efforts for the improvement of
employeeConsultation
awareness of andhumanrights, including thereportingprohibitionsystemof discrimination
the prevention of
on humanandrightsharassment.
In fiscal year 2022, we implemented training for
employees in Japan, including group companies, andother compliance education aimed at the prevention ofharassment.

Consultation on humanrightsAimed at preventing harassment in the workplace, wehave set up a dedicated consultation desk to raiseawareness not only among general employees, but theentire workplace, including managers. The methods for
consultation are by e- mail, telephone or letter, andmatters will be accepted even if anonymous.
Human Resources Department investigates
information on harassment from people seeking
consultation and if a case of harassment is found,considers measures to be taken against the offenderand for the person seeking consultation. The
department follows up with the offender and the person
seeking consultation while giving full consideration tofurther harassment by the offender.
There were zero cases of discrimination at thecompany in fiscal year 2022.

Topre Group CSR Report 2023

We aim to create an environment in which each andevery employee, regardless of race, creed, gender,
nationality, age or disability, can work actively,
demonstrating their abilities to the maximum.

● Promotion of female participation
Based on the Act on the Promotion of Female
Participation and Career Advancement in the
Workplace, the company has formulated an action plan
to increase the number of female employees andcreate an employment environment in which womencan participate, and is implementing initiatives towards
its achievement.
General Employer Action Plan based on Act on
Promotion of Women's Participation andAdvancement in the Workplace(April 1, 2021 to March 31, 2026)■ Target
Employ at least 130 full-time female employees■ Support measures(1) Secure substitute personnel during childcare
leave, and review the details of work and work
systems(2) Implement initiatives to improve the abilities of
employees after childcare leave(3) Promote the use of a shorter work hours systemand flexible work hours system for employees
after childcare leave● Rehiring of seniors
With regard to the employment of the elderly, we haveintroduced an ongoing employment system based on
the Act on Stabilization of Employment of Elderly
Persons. In anticipation of the raising of the mandatory
retirement age in the future, we are making efforts toimprove the treatment of rehired retired employees byraising the wage level of retired employees anddeveloping work systems considerate of individual
circumstances such as nursing care.
Even if they are above 65 years old, we will continue toemploy employees in an environment where they cancontinue to work in accordance with their wishes andaptitudes.

● Hiring of foreign employees
Regardless of race or nationality, the company selects
people in accordance with their experience and skills.
We do not implement special selection for foreign
nationals as we conduct recruitment activities with anawareness of equal employment for all applicants.
When the employment of foreign nationals in Japan isdecided, we support them in the acquisition of a workvisa, provision of a place of residence, and through thevarious procedures. In addition, we accept foreigntechnical trainees positively, which leads to theinvigoration of the company through the realization ofdiversity and acceptance.
As of November 2022, foreign employees from six
countries of North America and East Asia are working
actively at the company.

● Employment of people with disabilities
There are currently people with various disabilities
working actively at the company. Rather than take thesimpler tasks of daily work and promote the hiring ofpeople with disabilities only as a “quota for hiring
disabled people,” we establish work roles in accordancewith people’s characteristics such as their personality,
experience and skills.
Our goal is not to hire people with disabilities, but tocreate a work environment in which people can continue
to work actively for a long time in cooperation with eachdivision that accepts them.
In addition, from January 2022, we began using a farm,part of a social farm, and started on an initiative tocreate a new point of contact for the employment ofpeople with disabilities. We are currently operating thisfarm smoothly. Further, we also provide training todivision general managers to promote understanding of
the employment of persons with disabilities.
In future, we will continue to create a work environment
so that people with disabilities can play active roles, andwill promote the employment of people with disabilities
positively.

Social farm
東プレグループCSR報告 2022

Topre Group CSR Report 2023

Visit by division general managers-34-SocialSocialWork styles and education

Work-life balance
The company is striving to enhance leave systems andwelfare programs so that each and every employee canenjoy their daily work and life comfortably.

● Support for flexible work styles
The company is supporting flexible work styles byintroducing a flextime system that matches theworkload and nature of each employee.
In addition, if COVID-19 infections occur, werecommend employees work from home or work in
staggered hours in accordance with the type of work
they do to prevent infections.

● Balancing support systems• Balancing of work and childcare
Based on the Act on Advancement of Measures to
Support Raising Next-Generation Children, thecompany formulated and is implementing an action plan
to enable employees to balance work and the raising ofchildren and allow all employees to demonstrate theirabilities to the full.
General Employer Action Plan based on the Act on
Advancement of Measures to Support
Raising Next-Generation Children(April 1, 2021 to March 31, 2026)■ Target
Male employees ... More than 30 employees takechildcare leave during the plan period
Female employees ... Maintain 100% taking of childcare
leave during the plan period• State of taking of childcare leave(People)

Male

20

100

100

100

15

5

10

9

10

6

100
15
7

80
13

0

1

2018

2019

100
80

40
8

9

2021

2022

20

3
2020

(%)

60

4

7

8

6
0

Female rate of
女性取得率takingFemale0(Fiscal year)• Balancing of work and nursing care
We have a system under which employees can use
nursing care leave up to three times within a total of 93
days for each family member who needs nursing care,
and a short work hours system for employees toprovide nursing care for family members who need it.
-35-● Initiatives for overtime work

● Initiatives towards career formation

Based on the enforcement of the revised Labor
Standards Act, the company raises “understanding ofactual working hours,” the major premise in the
management of overtime, as the most important matter.
In general, attention is paid to “overtime cap
regulations,” but if we make efforts towards “work stylereforms” without knowing the workload of each andevery employee, work methods and unreasonable,
wasteful and redundant work, it could lead to therampant unpaid “service overtime” of yesteryear. We
believe that we should avoid such a situation and are
striving to grasp the current situation and gather
opinions. It is conceivable that it may take time torealize this goal, but we are striving to raise awarenessamong all employees, also including managers.

In addition to implementing our human resources policy
thoroughly and ensuring proper understanding of
employees’ own responsibilities, we make efforts aimed
at the acquisition of the knowledge, technology, skills,
planning ability and judgment required to perform duties
accurately and promptly, and the development of broad.

Human resource development
The company’s human resource policy is to cultivate“human resources who are independent in everything,always have a bird’s-eye view of the situation, and work
logically.”
With the globalization of economic activities and thedeclining birthrate and aging population of Japan, weare at a stage where we need to rethink past practices
and ad hoc work methods.
We strive for the development of human resources who
grasp the situation objectively and act logically towards
goals.

● Good relations with the labor union• Career training

The company has three main training systems, which
can be divided into “education by division,” “hierarchicaleducation” and “education by function” based on theaim of the training. We clarify the education required foreach division’s work, including specialized knowledge
and skills, and implement educational plans.
Training courses include: “divisional education,” which
provides education and training on the knowledge andskills required for work by division; “hierarchicaleducation,” which provides education on the knowledge,
technology, skills, management, etc., required at eachlevel from new employees to mid-level employees, core
employees and managers; and “education by function,”
which provides education on the knowledge,
technology, and skills required for manufacturing,
quality control, compliance, etc.
Policies for human resource development andinternal environment development
https://www.topre.co.jp/en/sustainability/social/policy/human_resources.html

Labor practices● Development of global human resources● Fair evaluations and treatment

The company implements overseas training centeredon young employees aimed at the development of thehuman resources who will support our global system inthe future. By experiencing and learning about overseas
realities and practices, we are aiming to cultivate aninternational sense and improve the quality of
employees so that they can respond to the expansion of
our global system in the future with a broadinternational perspective and free thinking.

The company uses a human resources evaluation
system that evaluates the processes and results of
employees’ roles and reflects these in compensation
through salary increases, promotions and bonuses. For
general positions, the system as a whole is divided into
10 grades, and the system is such that the higher thegrade, the more important the results evaluation is.
There is no gender gap at the same level, and we
implement appropriate evaluations of clearly definedroles. In particular, we ensure transparency by holding
feedback interviews with direct supervisors in each
evaluation, and by engaging in dialogue on matters suchas the reasons for evaluation results and future growthissues. For managers, targets are set at the beginning ofeach fiscal year in accordance with the three gradelevels, and we have introduced a target management
system that evaluates managers based on their own
evaluations. We implement clear evaluations based on
results in the same way as general positions, withmanagers confirming target progress and their level ofachievement through feedback interviews.

● Development of employees who haveacquired skills
We are making efforts towards the development of
employees who have acquired skills such as educationon the “Topre way of manufacturing” for the certaintransfer of manufacturing knowledge and skills to occur,“superior education for section managers, plant
managers and leaders by rank” and “education on
practical improvement methods” aimed at the
improvement of productivity.

Topre Group CSR Report 2023

東プレグループCSR報告 2022

In addition, we do not handle wages, work conditions,transfers, education, etc., in a discriminatory mannerbased on reasons such as nationality, creed, external
status, race, gender, religion or age.

The company and the Topre Labor Union respect eachother’s differences of position and ways of thinking,emphasize communication and strive for the
maintenance and strengthening of sound labormanagement relations. We hold labor- management
meetings twice a year at plants and overall to discuss
issues in matters such as work conditions andproduction and to communicate with each other.

● The creation of rewarding workplaces• Implementation of employee awareness surveys
The company conducts “employee satisfaction surveys”
and “potential assessments” in some divisions aimed at
the creation of rewarding workplaces.
• Enhancement of the remote work environment
Topre has created a remote work environment thatallows employees to work without having to go to thecompany. We are promoting various work styles in
conjunction with the “work from home system.”• The creation of opportunities for meetings with
employees
The company provides opportunities mainly for young
employees to meet with Human Resources Divisionpersonnel. During these meetings, employees are
asked about their physical and mental condition, whichconnects to handling such as daily follow-up, and leads
to understanding of the capabilities and levels of eachindividual, and to the implementation of appropriate“hierarchical education” and “education by function.”

Topre Group CSR Report 2023

-36-

SocialSocialSafety and health
We make securing safety and health our top priority and create safe and healthy workplaceenvironments.

Occupational safety andhealth● Initiatives for the creation of safe
workplaces● Basic way of thinking on safety and health
The company has enacted Safety and HealthManagement Regulations, establishes the mattersrequired for safety and health management, and carries
out continuous occupational safety and healthmanagement independently to reduce the potential
danger of industrial accidents, promote the health of all
employees, promote comfortable work environments
and improve the level of safety and health at all plants.

Topre employees definitely receive safety training whenentering the company, and the company distributes
safety guidance to all employees, has established anduses a safety experience room where employees canexperience simulations of the dangers of equipment,
etc., and conducts risk assessments aimed at thecreation of workplaces where employees can work withpeace of mind. In addition, we also install easy-tounderstand stickers on sidewalks to raise awareness ofsafety.

AEDs (automated external defibrillators) are installed inworkplaces and Fire Department personnel visit once a
year to hold training sessions for employees to learn
about cardiopulmonary resuscitation and how to use
AEDs aimed at providing appropriate first aid andminimizing employee health damage when responding
to an accident or emergency in the workplace.

• Safety and health systems
President /Plant Manager
Topre Safety Health
Sect.

Safety officer

Safety experience room

We are focusing on initiatives towards the health ofeach and every employee based on the regular
implementation of medical examinations and special
medical examinations. Industrial physicians and publichealth nurses hold meetings with employees at healthrisk and provide health guidance, such asrecommending medical examinations and reviews oflifestyle habits, to promote health improvements.

Employees● Responses to mental health care for
employees

Sagamihara Plant: Lifesaving training session● Earthquake resistance at plants

We provide mental health counseling services bytelephone and face-to-face, with clinical psychologists
and other mental health counselors responding as
expert consultation staff. Telephone consultation canbe handled anonymously and privacy will be protected.

Sagamihara Plant has implemented measures forearthquake resistance to increase safety at the plant,such as measures to prevent objects falling onto small
control panels or their displacement, and measures toprevent skylight glass from shattering.
These measures were introduced as examples ofearthquake resistance at a “Disaster prevention briefing
for suppliers” held by a customer.

Organization at eachbase

In order to create safe and secure work environments,
the company promotes better health through thecooperation of the company, labor union, healthinsurance union, employees and their families. We
publish “Health News” each month and are working on
the improvement of knowledge of health.

● Implementation of medical examinations• Formulation of a safety standard systems
The Topre Group has formulated a group-wide safety
standard system to promote and implement intrinsic
safety based on the principle of respect for people “prioritize safety in everything.” Based on this safety
standard system, we promote safety activities andestablish safety rules to protect the safety of employees.
We are aiming for the realization of zero hazards fromzero accidents.

Health management andpromotion initiatives● Holding of lifesaving training sessions

Head Office: Lifesaving training session● Handling of health and medical
consultations for employees and theirfamilies
A telephone consultation service for all health andmedical treatment matters is available 24 hours a day,seven days a week, provided by qualified personnel
such as doctors and public health nurses. Telephone
consultation can be handled anonymously and privacy
will be protected.

● Implementation of meetings of Safety and
Health Committees
The company has established a Safety and HealthCommittee at all plants, regardless of the number of
employees, and they hold meetings once a month. The
committees implement surveys and hold deliberations
on matters related to safety and health management,
report on the safety and health of employees, andconsider and implement specific measures to address
the problems raised.
Measures to prevent objects
falling and displacement
Measures to prevent the
shattering of skylights-37-

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SocialSocialSocial contribution activities
Aiming for the harmony and development of corporate and social interests, we implement social
contribution activities positively.

Training support for the next
generation

Keyboard typing
competition● Plant tours● Acceptance of internships (workexperience)
The company offers summer internships for university
students and various kinds of work experience in actual
workplaces.
In addition, as part of our cooperation with university
curriculums, we provide opportunities for practicaltraining and research for the preparation of graduationtheses, and we accept long-term internships for about
five months. We are making efforts to create better
places for practical training by arranging employees andtraining environments that provide support matched tothemes.

Other social contribution
activities

We have currently suspended implementation of thisprogram from the perspective of measures against
COVID-19, but we are implementing plant tours for local
residents and students at some of the production basesof the group.
Through plant tours, we are deepening theunderstanding by local residents of the group’s
manufacturing and we are also making efforts as part ofour support for the education of the children who willlead the future. We hope that by continuing to do so,
visitors will deepen their understanding of thecompany’s manufacturing and plant tours will contributeto the building of relationships of trust.

● Blood donation activities● Local cleanup activities
As part of our workplace environment improvements
and local contribution activities, we carry out cleanup
activities in the area around each base.
• Hiroshima Plant
About 50 employees
participate in cleanup
activities around the plant
once a month.
• Gifu Plant
Plant employees clean up
the neighborhoodon the 6th, 16th and 26th
each month.
They carry out activities
in rotation, in four groups,
each with about 15
employees participatingeach time.
• Toho Transportation
Co., Ltd.
Company employees clean
around the plant on Monday
and Friday each week.

While the number of blood donation participants has
decreased due to the spread of COVID-19, we arecooperating positively with the Red Cross Blood Centerto eliminate blood shortages. Tochigi Plant holds blood
donation activities three times a year, and about 60
employees participate each time.

● Initiatives for the ESR certification system● Holding of REALFORCE TYPINGCHAMPIONSHIP 2023
The company has hosted the “REALFORCE TYPINGCHAMPIONSHIP,” using the company’s keyboards asa keyboard typing competition for adults since 2017.
We have not been able to hold the event since 2019
(third event) due to the pandemic, but we held thefourth event in March 2023.
This competition was held jointly with Nippon
Television, and many viewers became aware of theevent due to announcements on TV. A total of 13,531
people participated in the online qualifiers, and the final
with the 16 winners was streamed live on YouTube.
The high level final, which required not only typing
speed, but also accuracy, was very exciting, withrunning commentary and explanation of the heatedbattle.
We would like to continue holding competitions toconvey the fun of typing and help to spread typing as
an e-sport.

In Mexico, there is an ESR certification system thatprovides annual certification of “socially responsible
companies” that carry out CSR activities. The four
following CSR activities are reviewed by the Mexican
Philanthropy Center (COMEFI), and companies canacquire certification if they meet or exceed thespecified standards.
• Improvement of the quality of work hours, holidays,etc.
• Thorough implementation of corporate ethics• Contributions to local society• Environmental consideration and protection
Topre Mexico has continued its ESR certification since
fiscal year 2020.
In fiscal year 2022, they received the Excellent Awardin recognition of their activities. The company also
implements positive CSR activities overseas.

● Support for sport
Sagamihara Plant and Toprec sponsor SC Sagamihara,
which is based in Sagamihara City, aimed atinvigorating local society.

● Donation to the Japan Traffic Safety
Association
Toho Transportation Co., Ltd., and Toprec Corporation
made donations to the Japan Traffic Safety Association,
which carries out activities aimed at the “realization of asafe and secure community with no traffic accidents.”
Courtesy Nippon Television © NTV

Winner of the Excellent Award● Support for e-sports● Provision of hometown tax payment goods to
Sagamihara City

Electronic Equipment Department sponsors theprofessional “Human Academy CREST GAMING” team
aimed at supporting the expansion of the e-sports
industry.

The company’s REALFORCE keyboards have been
available as hometown tax payment goods from
Sagamihara City, where Electronic Equipment
Department is based, since February 2020, and wehave been getting a response.
-39-

Evaluation of CSR at Topre
MexicoTopre Group CSR Report 2023

Courtesy Nippon Television © NTV

The winner received a gold “REALFORCE”
keyboard
東プレグループCSR報告 2022

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SocialSocialSocial contribution activities
Aiming for the harmony and development of corporate and social interests, we implement social
contribution activities positively.

Activities to contribute to thecommunity● Initiatives at Topre (Foshan)
We established an internal volunteer group in
November 2022. We carried out support activities for
single elderly people in cooperation with the labor
union.
We implemented fund-raising activities and gave
household goods to elderly people living alone.

● Initiatives at Topre (Xiangyang)
Topre (Xiangyang) donated 150 books to No. 2
Elementary School in Hi-Tech Industry Development
Zone, Xiangyang City.

List of social contribution activities● List of social contribution activities
Bases
Topre

Sagamihara
Plant

Results of initiatives in fiscal year 2022
• Plant tours:
Plant tours for local residents continued to be suspended in fiscal year 2022 due tothe spread of COVID-19 infections. We will continue to consider implementing
plant tours in fiscal year 2023 based on the state of COVID-19 infections.
• Local cleanup activities:
We carried out cleanup activities around the plant on May 30 (Monday) and
December 19 (Monday) in fiscal year 2022. We are planning to continue doingthese cleanups twice a year (May and December).
• Holding of events:
With regard to the general opening of the new ground (for youth baseball, etc.),
which started in fiscal year 2021, the frequency of use was not very high (twice infiscal year 2021; once in fiscal year 2022) due to the COVID-19 situation, but infiscal year 2023, we have already had two applications in April.

Formation of a volunteer group

In addition, it depends on the COVID-19 infection situation, but if the company
decides to hold the fiscal year 2023 Summer Festival, we are planning to inform
local residents who want to participate.

● Initiatives at Topre (Wuhan)
In May 2022, we participated in “student intern”
activities organized by the Caidian government.
Government agencies and related university
administrators visited the Topre (Wuhan) plant toexchange opinions, etc.

• Sagamihara City hometown tax payment goods
We started sales of REALFORCE keyboards as Sagamihara City hometown tax
payment goods from February 2020. From an initial six models, the product lineup
in fiscal year 2023 includes 32 models as the R3 series.
Hiroshima
Plant• Plant tours:
We held plant tours for teachers in charge of employment from the Private HighSchool Association.
• Local cleanup activities:
About 50 employees clean the area around the plant once a month.

Tochigi Plant• Plant tours:
Plant tours were held in November for nearby elementary school students.
• Cooperation with blood donations:
We cooperate positively with blood donations in response to requests from theblood center, which sends out a blood donation bus. (Implemented 3 times a year
in April, July and November with about 50 people donating blood each time)

Gifu Plant-41-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

• Local cleanup activities:
As part of our 6S activities, we clean the neighborhood on the 6th, 16th and 26th ofeach month.

Topre Group CSR Report 2023

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SocialSocialSocial contribution activities

List of social contribution activities● List of social contribution activities● List of social contribution activities
Bases

Details of initiatives

Toho Transportation• Local cleanup activities:
Every Monday and Friday, we clean about 100 meters of sidewalk to the north and eastof Sagamihara office.

Topre America• Social contributions
Community Support• Fund-raising activities
Donations to the Japan Traffic Safety Association: For the realization of a safe andsecure community with no traffic accidents

Topre Mexico• Fund-raising activities
Donations to orphanages, facilities for the elderly, and other charity groups

ToprecBases• Tree-planting activity
We distribute seedlings and plant trees around the premises.

• Support for sport:
Aimed at the local invigoration of Sagamihara, a place familiar to the Topre Group, we
have agreed a contract with the J. League’s SC Sagamihara as a pitch signboard
sponsor.
• Local cooperation activities:
Atsugi Service Center participates in mass cleanups and summer festivals sponsored by
the Regional Promotion Association.

• Training support for the next generation
Meetings with universities related to internships
Topre (Foshan)• Plant tours:
We hold plant tours for people such as local residents and high school students(including guardians and teachers) as needed to build relationships of understanding
and trust with regard to manufacturing.
• Plant inspections:
We deepened engagement with employees of the Fukuoka Prefecture Government,
employees of Kurume City and members of Kanda Town Council with overview
explanations of our business and inspections of our production plant and mold plant.

Topre Tokai

Topre (Xiangyang)• Tree-planting activity
We planted ten trees.
• Training support for the next generation
We held plant tours for local students, introduced Topre’s activities and donated 150
books.

Topre (Wuhan)• Social contributions
We provided assistance to the poor.

• Local cleanup activities:
Ten technical interns and specified skill employees participated in activities and wereable to build trust by interacting with local residents.

• Tree-planting activity
We planted twelve trees.

• Support for sport:
We employ three members of the local rugby team.

• Reduction of water resource consumption
We diverted 200 m3 of water from the fire prevention pond that was scheduled for
disposal due to replacement to greening and thereby used it effectively.

• Local cleanup activities:
We participated in the Toin Town Cleanup Campaign, which aims to “create anenvironment in which garbage is difficult to throw out” and for “enlightenment throughcleaning activities.”• Exchange meetings at the plant:
We participated in “student intern” activities organized by the Caidian government, andgovernment agencies and related university administrators visited the plant to interact.

• Fund-raising activities
Donations to Toin Town: Enhancement of schools and education
Donations to Mie Prefecture: The Green Fund

Topre Thailand

Topre Group CSR Report 2023

• Training support for the next generation
We donated stationery and sports equipment to schools.

* Details introduced in the section on conservation of biodiversity is also included here.

* Details introduced in the section on conservation of biodiversity is also included here.

-43-• Tree-planting activity
We planted ten trees.
• Fund-raising activities
The company created a volunteer group, which cooperated with the union to carry out
fund-raising activities, and donated purchased household goods to elderly people living
alone.

• Local cleanup activities:
We conduct cleanup activities around each service center.
Topre Kyushu

Details of initiatives

東プレグループCSR報告 2022

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GovernanceCorporate governance
We share our Basic Philosophy and act looking for contributions to society and thepermanent prosperity of the company.

Corporate governance● Basic way of thinking
The Topre Group’s mission is to create products andservices by maximizing its technical expertise in order
to contribute positively to the societies in which it
conducts business. In addition to pursuing economic
results, we conduct business activities with high ethicalstandards and good sense as a company that isrequired and respected by society as an international
company.
The employees of the Topre Group working around theworld share this philosophy and strive to enhance thesystem of corporate governance aimed at contributing
to society and the permanent prosperity of thecompany.

● Basic policy on corporate governance● Corporate governance system

1. We strive to ensure the rights and equality ofshareholders.

Board of Directors

Accounting audits

The system at the company sees the Board of Directors
cooperate to assume responsibility for management
and business execution. At meetings of the Board of
Directors held each month, basic management policies
are determined and deliberations on business execution
and specific plans take place.

The company appoints an external auditing firm as its
accounting auditor and enters into an audit contract foraudits based on the Companies Act and the Financial
Instruments and Exchange Act.
In addition, the assistants in accounting audits number
twelve people including three certified public
accountants.

2. We strive for appropriate cooperation withstakeholders other than shareholders.
3. We strive to ensure appropriate information
disclosure and transparency.
4. We make transparent, fair, prompt and decisivedecisions, fulfill our management responsibilities andresponsibilities to make decisions on and supervise
the execution of business as the duties and roles of
the Board of Directors.
5. We strive for constructive dialogue with shareholders.
Corporate governance reporthttps://www.topre.co.jp/en/sustainability/pdf/sustainability-co_governance-governance.pdf

Board of Auditors

Corporate governance system

General meeting of shareholders
Questions Compensation

Board of Directors

Reports

In addition to meetings of the Board of Directors, wehold monthly meetings to determine and have intensive
discussions on themes for each division. Positive
deliberations and considerations take place at thesemeetings, and we have a management system thatenables quick and accurate decision-making, andflexible and effective management.

Committee
Nominations
Committee

Accounting Auditor
Board of Auditors
Auditors

We have adopted an auditor system as our corporate
management monitoring system. The Board of Auditors
is comprised of three people in total, one full- time
Auditor, and one legal expert and one accounting expert
as External Auditors, all of whom are men. The Board ofAuditors attends important meetings such as meetingsof the Board of Directors so we have a system that fully
monitors the execution of business by the Board of
Directors.
Internal audits

Directors

Representative
Director
Division in charge ofcompany-wide internal control

Audit Department

Internal Control
Committee

Each division and group company

Each department and section

Each department and section

Each department and section

Control within divisions based on job
authority and regulations

Control within divisions based on job
authority and regulations

Control within divisions based on job
authority and regulations

Appointment / dismissal
AuditsReports
Supervision / instruction-45-

Audit Department is given the functions of accounting audits and work audits asan organization under the direct control of the president.
In addition, we have established an Internal Control Committee consisting of aCompliance Subcommittee, Risk Management Subcommittee and Financial
Reporting Control Subcommittee as the division in charge of company-wide
internal control. Audit Department receives reports regularly from each of these
subcommittees and evaluates whether internal control are being put into practice.
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東プレグループCSR報告 2022

We established Internal Audit Department as anorganization under the direct control of the President toimplement accounting and work audits and report to the
President and the Board of Auditors. The company has
increased the transparency of the Board of Auditors byappointing two External Auditors with expert knowledge
and it fulfills the functions of monitoring and supervising
management.
In addition, while maintaining its independence, theBoard of Auditors meets regularly with the accounting
auditor to further enhance the effectiveness of audits,and confirms the audit policy, accounting system andother key matters that reflect changes. Moreover, it also
exchanges opinions positively on the results of audits
and strengthens its management monitoring function.

Nominations Committee
The company established the Nominations Committee
to ensure fairness, transparency and objectivity in theprocedures related to the nomination of directors. It iscomprised of three or more members, including thePresident and Representative Director and External
Directors.
The Nominations Committee deliberates on mattersrelated to the nomination policy, such as the duties andqualifications required of Representative Directors andDirectors, and matters related to the appointment anddismissal of Representative Directors and Directors,
and submits its findings to the Board of Directors.
Executive officers (employment-type)
The company introduced an executive officer(employment-type) system in April 2023 and has
appointed four executive officers. Executive officers aredelegated the authority to execute business operations
and do so under the supervision of the Board of
Directors in accordance with the basic policies of thecompany resolved upon by the Board of Directors. This
expedites decision making and improves the efficiencyof business execution, thereby achieving more mobile
business execution.
External Directors and External Auditors
We make efforts so that External Directors and External
Auditors grasp the details of business in full through theBoard of Directors and the Board of Auditors. In
addition, the full-time Auditors also communicate
directly with the External Auditors as required tocommunicate information and provide materials.

Groupcompanies

Topre Group CSR Report 2023

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Governance

GovernanceCorporate governanceInternal control activities
In order to build a corporate culture “that does not violate laws and regulations” and “a system that does
not violate laws and regulations” based on the Basic Philosophy and Action Guidelines of the Topre
Group, we established a basic policy on the development of an internal control system and are striving forproper and efficient business execution.

● Executive compensation
The company has established the following policies
regarding the determination of the amounts ofcompensation for officers.
1) A compensation system that motivates directors to
perform their duties
2) A compensation system linked to business results3) A compensation system suitable for the roles andresponsibilities of directors
Based on these policies, the compensation system fordirectors consists of basic compensation, short-term
results-linked compensation and medium to long-term
results-linked compensation. The Board of Directors
delegates matters concerning compensation for
directors to the Compensation Committee aimed at
improving objectivity and appropriateness.

Compliance Subcommittee

The obligation of management to establish an internal
control system to prevent legal violations and losses
was clarified by the Companies Act. Based on the“Basic Philosophy,” the Internal Control Committee,
which includes the representatives of each groupcompany, has established “Action Guidelines” that eachindividual must keep in mind so that everybody canunderstand the direction that the Topre Group is aimingfor. We have established regulations, manuals, etc., toembody the Action Guidelines so that we can promote
work efficiently.

For the strengthening of compliance management
throughout the Topre Group, we hold meetings of theCompliance Subcommittee to diffuse awareness ofcompliance further among officers and employees.

Compensation system• Basic compensation
Monthly compensation is determined for each Director
based on the discussions of the Compensation
Committee.
• Short-term results-linked compensation
Bonuses linked to results for a single fiscal year are
determined based on the discussions of theCompensation Committee taking into considerationeach Director’s contribution to results.
• Medium to long-term results-linked compensation
The company provides its own shares, etc., based on
the cumulative number of points granted inaccordance with the degree of achievement ofmanagement indicators for each fiscal year.
The compensation system for Auditors includes only
basic compensation.

Compensation Committee

Internal Control Committee

Audit
Department

Each division andgroup company

The internal control system ensures• The effectiveness and efficiency of business

Consultation
desk(General Affairs
Department)

Consultationdesk(Lawyer)• The reliability of financial reporting

The processes that are incorporated into work andexecuted by all employees in order to ensure the above
constitute the internal control system. In order topromote work efficiently and comply with laws andregulations, we have established a “corporate culturethat does not violate laws and regulations,” “a systemthat does not violate laws and regulations” and “asystem for preparing correct accounting documents,”
and carry out activities that evaluate and correct thecurrent situation continuously.

Internal control system
Internal Control Committee

Compliance
Subcommittee

東プレグループCSR報告 2022

Compliance Subcommittee

Internal control system

The company established an Internal Control
Committee and the following three subcommittees inorder to develop and promote this internal control
system.

Topre Group CSR Report 2023

President

Employees / Business partners• Compliance with laws and regulations concerningbusiness activities

The Compensation Committee is an optional decisionmaking body comprised of the Representative Directorand External Directors. The Compensation Committee
establishes the amount of monthly compensation andbonuses for each Director based on the regulations
within the total amount of compensation approved by
the General Meeting of Shareholders, excluding stockcompensation.

-47-

Compliance system

Risk
Management
Subcommittee

Financial
ReportingControl
Subcommittee● Compliance education
The company implements compliance education andraises awareness through regularly held hierarchicaleducation. We are working to improve awareness andknowledge of compliance by issuing “Topre Compliance
Communication” to all employees. In addition, with
“Topre Contract Communication,” we are working to
notify employees about matters such as the points ofcaution when concluding contracts.

● Establishment of an internal reporting system
We have established an internal reporting system andconsultation desks (internally and at lawyers’ offices) for
each group company. Reception that can maintain the
anonymity of reporters is available 24 hours a day, andinvestigations are carried out upon receiving reports ofviolations of laws and regulations concerning bribery,bid rigging, etc. We are making efforts to familiarize
employees with the internal reporting system and toestablish the environment for its use.

Topre Group CSR Report 2023

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Governance

GovernanceInternal control activities● Corruption prevention initiatives● Risk identification process

The company has established its “Basic Philosophy”
and “Action Guidelines” and to ensure that all
employees are aware of and comply with them, apartfrom e-learning and DVD training, issues internal
newsletters regularly to provide information on laws andregulations related to business, and compliance, andaims for the thorough prevention of corruption.

Each group company and division reevaluates corporaterisks, including sustainability risks, once a year andformulates countermeasures.

Basic policy of the Topre Group on the prevention of corruption
https://www.topre.co.jp/en/sustainability/governance/policy/anti_corruption.html● Initiatives for the protection of personal
information
From the perspective of respect for human rights, wethink that personal information should be handled withcare, and are striving to ensure the proper handling of
the personal information held by the company.
Topre Group privacy policy
https://www.topre.co.jp/en/sustainability/governance/policy/privacypolicy.html

Risk Management
Subcommittee
The Risk Management Subcommittee has been built asa system led by the President, receives reports on
corporate risks implemented by each division of eachgroup company and lists and manages important risks.

Risk management system
President
Audit
Department

Risk Management Subcommittee

Instructions

New risks that are judged to require the formulation of
new plans or existing risks that are judged to require a
review are considered and dealt with in each division
without restrictions on the timing of the reevaluation ofrisk, and the results are reflected when reevaluating
risks. The level of impact of risks is evaluated based on
the two points of “magnitude of impact” and “frequencyof occurrence” and summarized on a risk map. Risks
that should be addressed with priority are selected andmeasures established for risk avoidance or mitigation.

● Handling of BCP
The company has formulated a business continuity plan
(BCP) with the highest priorities of “protecting andrescuing human life” and “restoring and maintaining
production and services” in response to “major risks thathave a particularly large impact on the company” and is
working on the handling of emergencies.
With regard to the major risks for each division, we have
prepared a “Prevention of assumed risks andcountermeasures table” and are striving to takecountermeasures. The Risk Management Subcommittee
asks each base to implement BCP initiatives as requiredwith regard to risks concerning all bases to enhance
BCP. In fiscal year 2022, we formulated the basic
content of the “earthquake” and “infectious diseases”
sections.
The Risk Management Subcommittee will ask for BCP
initiatives concerning climate-related risks as required
based on the regional and geographical conditions ofeach base, and will manage them in relation to the risk
management at each base.

Risk extraction

Topre Group basic policy on BCP
https://www.topre.co.jp/en/sustainability/governance/policy/bcp.html● Information security
management
Information
security system

Financial Reporting Control
Subcommittee

management system
The company has established the Topre Group
Information Security Policy to manage and protect
information assets acquired in business activities
appropriately, has built an information security systemand strives for the continuous strengthening of security.

The Financial Reporting Control Subcommittee
conducts regular evaluations of the asset management
and accounting of the group as a whole to ensure theappropriateness of financial affairs.

• Organizational safety management measures
The company complies with laws, regulations andguidelines on the protection of personal information,and strives to protect specific personal information
through all of its business activities. Departments that
handle personal information appoint a responsible
person who manages and supervises that informationand provides education and training on its handling. In
fiscal year 2022, 2,144 employees at domestic groupcompanies received education on information security.

The group holds Accounting Division global training
sessions to ensure the accuracy and consistency ofwork related to accounting, costs and finance of thegroup as a whole.

• Technical safety management measures
We are making efforts to strengthen information
security by managing PCs that can connect to internal
networks, introducing systems that prevent
unauthorized intrusion, and restricting external storage
devices based on the control of devices.
• Physical safety management measures
We are striving to prevent information leaks by limiting
the number of employees who can enter server rooms
and by managing records of entry based on electronic
locking.
• Human safety management measures
In order to prevent information leaks, we are striving toraise awareness of information security by
disseminating information security policies and rules,
and providing education on information management
and the prevention of leaks.
• Management of information security incidents
We have established a system to mitigate damage
and prevent reoccurrence if an incident related to
information security occurs, such as an information
leak, unauthorized access or virus infection.

Each division

Topre Group information security policy
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Governance

GovernanceIntellectual property
activities

Responsibility to shareholders
and investors
We strive for the proper disclosure of information to stakeholders and for mutual
dialogue and cooperation.

We create intellectual property and are working on the acquisition and effective use of rights.

Intellectual property
activities● Development of human resources forintellectual property● Basic way of thinking
The company promotes the creation of intellectual
property in Japan and overseas and the acquisition of
intellectual property rights and uses them effectively inbusiness. At the same time, the company conducts
activities to avoid patent disputes and other risks, andto contribute to the strengthening of its development
and sales capabilities.

● Activities that contribute to businessIntellectual Property Division participates regularly inmeetings of divisions related to intellectual property,
such as Development Division and Technology
Division, to discuss invention-finding activities andapplication strategies to promote business superiority. It
also conducts intellectual property activities linked withbusiness activities.
In addition, to create effective patents at an early stage,
the division uses patent maps that digitize and visualize
patent information to understand the state ofapplications and development directions in specificfields and create patent strategies. The division lists
patents related to business regularly and sharesinformation with related departments to consider
applications for intellectual property rights (patentrights, utility model rights, design rights, trademarks,etc.) and their effective use.

There are many situations in which knowledge ofintellectual property rights is required in corporate
activities, and we provide education as part ofcompliance education, as well as education for
Development Division and Technology Division toincrease their basic knowledge of intellectual property
and awareness of applications.
For Intellectual Property Division, we are striving forhuman resource development in accordance with eachstage in order to enhance expertise in areas such as
human resource development by externalorganizations, support for the creation of intellectual
property and the planning of intellectual property
strategies.
In addition, in order to encourage inventors to produce
inventions, etc., we have enhanced our employee
invention incentive system, which provides incentive
payments to inventors in accordance with theirapplications, registrations and results for inventions,etc., as an encouragement for inventions, etc., worthyof future application.

Dialogue with shareholders
and investors

Thinking on information
disclosure and dialogue
The company’s corporate information is concentrated in
General Affairs Department, the department
responsible for the handling of information. General
Affairs Department judges the necessity of information
disclosure. When it does so, it judges theappropriateness of disclosure not only in accordancewith the Timely Disclosure Rules of the Tokyo Stock
Exchange, but also from the perspective of building andmaintaining relationships of trust with the stakeholders
surrounding the company.
1. Information on decisions and financial reports
The Board of Directors discusses important facts
about the company and its decisions arecommunicated promptly to General Affairs
Department (the department responsible for thehandling of information) via the Secretary’s Office,the secretariat of the Board of Directors. In addition,
information on financial reports is communicated toGeneral Affairs Department by Accounting
Department.
2. Information on the facts of occurrence
Each division sends information to General Affairs
Department.
3. Strengthening of disclosure systems at subsidiaries
We are explaining the timely disclosure of corporate
information relating to subsidiaries again to eachsubsidiary in order to promote understanding of theTimely Disclosure Rules in regard to important facts,
and the company is also involved positively in
information collection.

Numbers of patent, utility model and design
applications, and rights held
(Cases)140
120

Applications
国内出願
in Japan

119

Applications
海外出願
overseas

115

116

100

123
113

80
60

Held
in
国内保有
Japan

77

40

91

101

Held
海外保有

General meetings ofshareholders

overseas

119

The company holds an ordinary annual general meeting ofshareholders in June each year. We believe that general
meetings of shareholders are a valuable forum for dialogue
with shareholders and are making efforts to invigorate
general meetings of shareholders and facilitate the exercise
of voting rights. Examples of our main initiatives are as
follows.

113

25

20

10

0

12
2018

15
11
2019

11
2020

8

8

8

4

2021

• Setting of general meetings of shareholders avoiding days
when such meetings are concentrated

2022 (Fiscal year)• Exercise of voting rights by electromagnetic means• Provision of an English version of the Notice ofConvocation (summary)
General meetings of shareholders
https://www.topre.co.jp/en/ir/meeting.html-51-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

● Relationships with individual investors
We are making efforts to have the company known
among individual investors.
Twice a year, we issue shareholder newsletters so thatshareholders can deepen their understanding of thecompany. Shareholder newsletters can be viewed on
the company’s website.

● Relationships with institutional investors
We hold financial results briefings twice a year for
institutional investors and securities analysts, giving
them overviews of results, and explaining business
reports and our future prospects. In addition, we also
hold individual interviews and teleconferences
throughout the year and make efforts to promote
understanding of the company among institutional
investors.

Financial results briefings● Information disclosure on the website
We have set up dedicated pages on the company
website for shareholders and investors that provide thelatest information such as information on financial
reports and press releases. The company discloses
materials concerning quarterly financial reports,
shareholder newsletters and other materials, and carries
out activities aimed at promoting understanding of thecompany.

● Shareholder returns
We recognize that profit distribution is an importantmission for companies to fulfill and our basic policy is torealize stable dividends continuously. The company will
also make investments using retained earnings inreadiness for future business development and thestrengthening of our management structure, such as
capital investment in accordance with technologicalinnovation in related industries and R&D investment toincrease future corporate value.
The company’s basic policy is to pay dividends fromsurplus funds twice a year, an interim dividend andyear-end dividend.

Topre Group CSR Report 2023

-52-

ESG Data
ESG data collection

Environment(1,000 tCO2)

Scope 1
国内
Japan

100

Scope 2
国内
Japan

海外
Overseas

海外
Overseas

80.2

60

51.2

49.9
29.7

40

80.4

62.5

68.8

67.6

63.4

52.3

41.3

61.1
39.3

31.7

31.0

21.3

21.8

20.6
20.2
17.7
16.5
16.4
6.2 19.3
5.7
13.5
4.9
4.8
3.0
13.0
12.0
11.6
11.6
10.5
20.2

20

0

2018

2019

2020

2021

(Fiscal year)2022

CO2 per unit of sales (global)(t-CO2 / million yen)

Consolidated sales per unit

0.5
0.4

Scope 3 _ Categories 1–15
Total

80

0.31

0.32

0.32

0.34

0.3

0.28

0.2
0.1

2018

2019

2020

2021

(Fiscal year)
2022

-53-

3,307.4

3,394.3

3,382.6

1,779.6

1,885.0

68.0

59.0

12.0

90.2

2.3
0.8

0.8

5.8

5.7

8
Upstream leased assets

Excluded from calculation

9
Downstream transportationand distribution

Excluded from calculation

10
Processing of sold products

Excluded from calculation

*1

17.7

19.3

Scope2

52.3

62.5

61.1

Scope33,307.4

3,394.3

3,382.6

Total

3,376.2

3,474.6

3,463.0

239

306

317

310

344

355

2018

2019

2020

173,780

185,085

150,000

403

402

398

357

122,296
53,06550,00058,01058,741

51,4840(Fiscal year)
2022

2021

122,207

127,062
100,000

0

2018

2019

2020

2021

62,878(Fiscal year)
2022

Amount of waste discharged [including
valuable resources] (global)

Quantity of substances subject to PRTR handled(Japan)(t)(t)

Manufacturing
国内製造拠点bases
in Japan*2200,000

Manufacturing
海外製造拠点bases
in Overseas
208,23250

157,790

40

*3

*4

*4

*4

1,425.4

1,412.9

1,295.4

14.2

14.0

14.0

150,000

157,482
113,273

50,00050,641 57,774

Excluded from calculation

*6

2020

35
29

27

26

20

59,209

0
2019

32
30

54,064 50,750 60,841
2018

Manufacturing
国内製造拠点
bases in Japan

96,949100,000

*5

37.7

16.5

548

185,803

Manufacturing
海外製造拠点bases
in Overseas* Overseas bases from fiscal year 2020

15
Investment

Scope1

673

760

1.8

(1,000 t-CO2)
Fiscal year
2022

649

200
82.6

Manufacturing
国内製造拠点
bases in Japan

801

12.2

Excluded from calculation

Fiscal year
2021

(t)

Overseas200,000400

14Franchises

Fiscal year
2020

Japan

Water consumption (global)

1,000

600

5.5

12
End-of-life treatment of soldproducts

(TJ)

800

7
Employee commuting

13
Downstream leased assets

Supply chain emissions (global)(1,000 t-CO2)

FiscalFiscalFiscalyear 2020 year 2021 year 2022

1
1,585.3
Purchased goods andservices2
116.2
Capital goods
3
Fuel- and energy-related
10.5
activities (not included in
Scope 1 or Scope 2)
4
Upstream transportation and 109.9
distribution
5
1.9
Waste generated inoperations
6
0.8
Business travel

11
Use of sold products

0.0

Energy consumption (global)

CO2 emissions [Scope 3] (global)

CO2 emissions [Scope 1 + 2] (global)

2021(Fiscal year)
2022

10
0
2018

2019

2020

2021

(Fiscal year)2022* Overseas bases from fiscal year 2020
16.4

18.5

*1: Recorded under Scope 1 and 2*2, *3: Reasonable calculation is not possible*4: Calculation only of internal products (products designed
internally)*5: There is no external leasing of assets*6: There is no franchising*: Figures for fiscal year 2020 and fiscal year 2021 wererevised due to the addition of overseas bases.

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

-54-

ESG Data

ESG Data

ESG data collection

Human resources
Number of employees (global)(People)(名)

Numberof employees
国内従業員数in Japan

8,000

5,546

6,000

4,248
2,809

4,000

Number of employees (non-consolidated)

Number of job leavers and job-leaving rate(non-consolidated)(People)(People)Numberof employees
海外従業員数
overseas

6,098

3,335

5,959

3,268

Male

2,407

2,737

2,763

Quasi employees, contract employees, etc.

6,402

1,484 1,535
94
88

1,500

3,607

1,597 1,563 1,508
100
102
102

1,396

1,441

1,497

205

211

166

1,461

1,406

175

188

2021

(年度)year)2022 (Fiscal

0

0
2018

2019

2020

2018

2019

2020

2021

Average years of service (non-consolidated)

Average age (non-consolidated)(Year)

(Age)

Male

FemaleOverall

20

14.8

14.8

14.4

14.4

14.9

Female

14.5

15.5

14.9

10

8.7

9.1

8.8

35

10.5

9.6

5

2018

2019

2020

(Fiscal year)
2022

2021

Number of new graduate employees andfemale ratio (non-consolidated)(People)Male

Female(%)

Female ratio

14.6
16.2
8.9

15

10

6.2
65
61

4

79
6

58

72

2019

2020

0
2018

7

41
35
2021

5

6

37
31

38.0

33.8

34.3

2018

38.8

39.3

38.6

39.1

35.2

2019

2020

40
30

2021

Number of users of the system

77.8
69.6
23
16

90.9

(Fiscal year)
2022

Rate of use of the system

79.3
29

27
21

92.6
27

23

100

11

10

2019

2020

2021

0.0
(Fiscal year)
2022

2021

Ratio of female mangers (%)

Female

2.0

1.7
1.1

1.1

200

175

100

173

2

179

3

176

180

194
2

178

2

3.5

80

2.8

60

1.8

40

34

2.1

2.0

39

38

37

2.1
2.1

38

2018

2019

2020

0
(Fiscal year)
2022

183

2

0.0
(Fiscal year)
2018
2019
2020
2021
2022
* These figures are in accordance with the Ministry of Health, Labourand Welfare’s “Employment rate system for persons with disabilities.”

Number of hired-mid-career and foreign managers(non-consolidated)(People)Mid-career hires

Non-Japanese

60
50

1.2

40

0.8

0.7

56
42

41

37

54

30
20

0.4

181

2021

0.0
(Fiscal year)
2022

10

2

2

2

1

2018

2019

2020

2021

1

0

(Fiscal year)
2022

Number of employees taking childcare leave(non-consolidated)

Rate of taking of childcare leave and return towork rate (non-consolidated)(People)

(%)

Male

Female

20

15

9
6

8

10

7

0
2018

1
2019

13
4

FemaleRate of return

80

100

100

100

100

100
80

60
40

7
8

6
0

Male

100

10

5

1.4

0

1.6

192

0

15

25

1.1

1.0

60

20

0
2018

2020

80

40

10

2019

Male

300

6

0
(Fiscal year)
2022

2018

400

(%)
Retirees

4.0

(%)

2.0

36.5

(People)

20

64

37.5

37.7

106

Employment ratio

100

2.1

73

(People)

25

50

9.4

38.3

114

93

6.0

Number of managers and ratio of female
managers (non-consolidated)

Number of users of rehiring system and rehiring
system usage rate (non-consolidated)

300

200

38.0

7.0

0

Overall

37.8

33.2

30

0

98

500

40

7.3

5.8

4.8

(Fiscal year)
2022

15.9

15.3

150

Number of employees
障がい者雇用者数
withdisabilities(People)

20

45

15

100

Male

(%)
8.0

50

500

2,795

Job-leaving rate

6.6

100

1,000

2,691

Number of job leavers

200

2,000

1,841
2,000

FemaleNumber of employees with disabilities andemployment ratio (non-consolidated)

9

20

20

3
2020

2021

(Fiscal year)
2022

0
2018

2019

2020

2021

(Fiscal year)2022* The number of males hired in fiscal year 2021 was revised.
* Rate of male taking of leave from fiscal year 2022

-55-

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Topre Group CSR Report 2023

-56-

ESG Data

ESG Data

ESG data collection

Human resources
Training expenses (non-consolidated)
Training expenses(1 million
yen)
50

Rate of taking of paid leave (non-consolidated)

14,084

40
30

20.9

20

17.7

17.0
5,000

10

80

80

61.3
54.4

61.7

53.6

60
40

47.4

10,00015.7

Rate of taking of paid leave
有給取得率

60

9,831

18.1

(%)

15,00011,324 11,273

11,792

Number of occupational accidents (Japan)(Cases)Training expenses per employee(yen /
person)20,000

20

40

0

0
2018

2019

2020

2021

0
(Fiscalyear)
2022(Hours /
year)
2,500

20
2018

2019

2020

2021

(%)

Total annual actual work hours per regular
employee

Labor union membership as a percentage of all
employees

100

Occupational
労働災害
accidents

2,265

95

2,098

2,098 2,099

90

1,750

91.6

90.4

89.8

85

1,500
2018

2019

2020

2021

(Fiscal year)
2022

88.8

30
30
0
2018

17

42

2018

2019

2020

2021

10,117

10,000

9,301

20

9,554

21

24

22

22

0
2019

0
2020

0
2021

0
(Fiscal year)
2022

(%)
Fiscal year 2022

Topre
Kyushu

Topre
Tokai

All workers

64.3

69.6

73.5

Full-time
employees

76.8

76.6

74.7

Contract
employees, etc.

46.5

59.2

62.8

Topre Group CSR Report 2023

1,758

2018

2019

0

Occupational accident rate

2.28

1.5

Accident severity rate

0.03

0.04

4,865

2,800

2020

2021

(Fiscal year)
2022

0.03
0.03

Applications
国内出願(Cases) in Japan

0.02

140

1.65
1.90

0.01

1.77

1.88

0.01

0.00
2019

2020

119

120

0.01

0.0

Numbers of patent, utility model and design
applications, and rights held

2021

0.00
(Fiscal year)
2022

Applications
海外出願
overseas

115

116

100

Held in
国内保有
Japan

Held
海外保有
overseas

123

119

113

113

8

8

101

80

91
77

60
40

12

20

10

2018

東プレグループCSR報告 2022

2,555

* Overseas bases from fiscal year 2020

0

Topre

1,655

Intellectual property activities* The value for each year is the number of occurrences fromJanuary 1 to December 31.
* Also includes non-manufacturing divisions.

Male-female wage differences

7,317

5,000

Occupational accident rate (Japan)

2018

-57-

20

39

0.5
(Fiscal year)
2022

Overseas

14,166
12,109

44

28

1.0

80

Japan

51

2.0

90.4

(1,000 yen)58

* The value for each year is the number of occurrences from January 1
to December 31.
* The number of occurrences was partially corrected.
(Addition of non-manufacturing divisions, correction of counting errors)

2.5

2,224

2,000

Fatal accidents

15,0003.0
2,250Commutingaccidents

通勤災害

Expenses for social contribution activities(global)(Fiscal year)
2022

Labor union membership as a percentage of all
employees (non-consolidated)

Total annual hours worked per regular
employee (non-consolidated)

Social contribution activities

Safety and health

Topre Group CSR Report 2023

25

11

2019

15
11

2020

8

2021

4

(Fiscal year)
2022

-58-

Third party opinion~ CSR activities of Topre Group ~Response to the third-party opinion

E-Square Inc.
President andRepresentative Director
Hiro Motoki

I have a REALFORCE keyboard made by Topre as mypartner in work, and I am also using it to write this third
party opinion for the Topre Group CSR Report, which isin its second year. As I touch this keyboard, I feel yourcompany’s commitment to its products and their highquality on a daily basis.
I can see that there has been various progress in yourcompany’s CSR initiatives since last year. Firstly, on theenvironmental front, disclosure was based on the TCFD
framework. At present, this is limited to a qualitative
analysis, but the results of consideration of the risks,
opportunities and countermeasures based on two
scenarios, a four degrees celsius scenario and a lessthan two degrees celsius scenario, have beenpresented. Moreover, the introduction of internal carbon
pricing (ICP) in fiscal year 2023 will also be an
important move. On the social front, social contribution
activities, which were only in Japan last year, are now
expanding to China and other countries. In addition, thecompany has strengthened its governance system,
including the new establishment of a Nominations
Committee and an increase in the number of Outside
Directors.
I would like to raise three points with regard to yourinitiatives in the promotion of CSR from now on. The
first concerns organizational structure. The explanationsof the CSR promotion system and climate change
measures system are given in the first half of the report,
and the explanation of the corporate governancesystem is given in the second half. In order to promote
CSR as something integrated with corporate
management, it would probably be better to incorporate
it into the corporate governance system. This fiscal year
is also the year the next medium-term management
plan will be formulated, and the incorporation of CSR
into business is expected. I think that reinterpreting
CSR as part of corporate governance will be able tofoster a sense of integration with management.

-59-

My second point concerns human rights. The United
Nations “Guiding Principles on Business and Human
Rights” are the basis for the group’s human rights
initiatives, but at present, only some of those initiatives
have been described. I appreciate the point that theTopre Group’s human rights policy also requires theunderstanding of business partners, but you should
probably also add matters such as an expression of
support for the United Nations International Bill of
Human Rights as the understanding of the Topre Group.
There is no mention of a complaints handlingmechanism in the human rights section. However, it
would probably be better to explain this from theperspective of human rights as the reporting contact
point for business partners, as well as the internalreporting system and consultation desks for groupcompanies are also part of the complaint handlingmechanism. An explanation of what kinds of measures
are being taken with regard to the use of technicalinternship systems for non-Japanese, which is pointed
out by the international community as a human rights
issue, would also be desirable. And, “Implementation ofhuman rights due diligence: Topre implementation rate100%” is given as the target for fiscal year 2023, but it isunclear what is intended specifically, so detailed
explanation is required.
Third is the use of CSV (Creating Shared Value). CSV isa concept that can be referred to when incorporating
CSR into business. This strategic concept, adopted bymany companies around the world, is one that grasps
working on social and environmental issues andimproving the company’s own profits as the same thing.
For example, the development of pipeline-type nanohydroelectric power generation systems could be an
important initiative in the realization of a decarbonizedsociety. It is currently at the experimental stage, but if it
can bring in revenue as a business in the future, it could
be redefined as a good example of CSV.
In January of this year, the Financial Services Agency
established CSR and sustainability initiatives as mattersto be disclosed in securities reports, etc. Sustainability is
becoming an essential part of corporate management
not only in terms of stakeholder expectations, but also in
the information disclosure rules. Precisely because
Topre is a latecomer, I think learning from the bestpractices of the leading companies would allow thecompany to pursue many more effective initiatives. I lookforward to your further progress.

Topre Group CSR Report 2023

東プレグループCSR報告 2022

Thank you for using “REALFORCE.” And, I would also like to consider the review points that
Mr. Motoki has given us based on the progress of the company’s initiatives last year.
In fiscal year 2022, we started e-learning and other educational programs to deepen the
sharing of CSR-related knowledge with general employees, and the results of initiatives
increased while recognition of CSR at each base and in each division became stronger.
However, due to the differences in the circumstances surrounding each place of businessand division, where the products handled differ greatly, I also feel that there are at least slightdifferences of enthusiasm with regard to CSR initiatives as the Topre Group. As indicated in
the Message from the President, we recognize that it is important for all employees of theTopre Group to share awareness of CSR initiatives, and we intend to strengthen dialogue
with employees.
In addition, this is something that Mr. Motoki pointed out, but we would like to learn the bestpractices of leading companies with regard to sustainability activities and plan and implement
effective initiatives. We will roll out those activities so that we can obtain the understanding ofstakeholders by enhancing information disclosure about them.

Officer in charge of
CSR, Topre Group
Yoshinori Tsuyuki

Editorial policy
The Topre Group published this CSR Report aimed at having all stakeholders understand its initiatives
for sustainability and ESG. There are still some gaps in the content of the report, but we will accelerate
activities from now on.

Organizations subject to the reportJapan: 6 companies, Overseas: 7 companies(Same as CSR promotion system: see page 8)

Financial information details

Period subject to the report
Fiscal year 2022 (April 1, 2022 to March 31, 2023)(Some information from April 2023 on is also included)

https://www.topre.co.jp/en/ir/
Please visit the Topre website.

Time of issue
June 2023

Editorial reference
Ministry of the Environment “Environmental Reporting Guidelines” (2018 edition)

Inquiries
CSR Promotion Dept ＆ Climate Change Measures Dept,
Topre Corporation
Asahi Building, 12-2, Nihonbashi 3-chome, Chuo-ku, Tokyo, 103-0027, Japan
TEL:03-3271-0711 FAX:03-3271-7045
Topre Group CSR Report 2023

-60-