Briefing on “Sustainability (Environment)”

December 21, 2022
Yamato Holdings Co., Ltd.

1. Overview of “Sustainable Management”

1．Our aspiration
Sustainable corporate value enhancement, through Yamato’s“Contribution to realizing a rich and prosperous society”

Management Philosophy
Yamato helps enrich our society
by enhancing our social infrastructure,creating more convenient services
for evolving lifestyles and industries, anddeveloping innovative logistics and distribution
systems.

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

12．Change in the business environment
Drastic and sudden changes in the environment surrounding
Yamato’s business

Diversification of customer needs
Rapid growth of EC market
Declining population & decaying regional infrastructure
Decline of working population
Climate change and resource scarcity
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2

3．Yamato Group’s materiality
Based on risks and opportunities in our business, Yamato has identified its
material issues which will contribute to establishing a sustainable society
and enhancing Yamato Group’s corporate value
Step 1

Step2

Step3

Refine Choices forMaterial Issues

Hold Stakeholder
Dialogue

Identify
Material Issues

Based on international frameworks such as
the GRI Guidelines, SASB standards, ISO26000
and the SDGs (Sustainable Development
Goals), and ESG survey items that investors
consider to be highly important, weconsidered risks and opportunities in ourbusiness using actual data, and narrowed
down candidate material issues

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved(Implemented in Nov. 2019)
We invited experts from universities,
international institutions, and securities
companies and received their opinions
on material issues and the expectedrole of the Yamato Group in solving
environmental and social issues.

(in Jan. 2020)

We identified material issues andannounced our Transformation Plan
“YAMATO NEXT100” as a grand designfor our management over the medium
to long term

3

4．Management embedded with sustainability
Yamato has, in its “YAMATO NEXT100” grand design for mid-to-long term
management, outlined the environmental and social vision, and declaredits goal of achieving climate neutrality in 2050
〜 Yamato embedded “Environment” and “Society” in its management
plan, and is promoting sustainability initiatives

2023“Sustainable Medium-term
Plans 2023”
Outlined action plan for eachmaterial issues, as well as interim
goals for FY2023 (March 2024),
and is promoting sustainable
initiatives

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

2030
Mid-term targets
48% reduction in GHG emissions
from FY March 2021
・Introduce 20,000 EVs
・Increase usage of renewableenergy-derived electricity to 70% of
the total・Introduce 810 solar power
generation facilities
・Reduce use of dry ice to zero

2050

Environmental Vision

Connect. Deliver the future via
green logistics.

Long term targets

Virtually zero emissions**Scope 1 and Scope 2

Social Vision

Through co-creation and fairbusiness activities, help create asociety that "leaves no one behind"45．Organizational structure to promote sustainability
Conduct “Yamato Group Environment Committee” and “Yamato Group
Social Promotion Committee”, with President as Chairperson and
Directors of Yamato Transport (Senior and Executive Officers, etc.) and
Presidents of our major Group companies as members, to promotesustainable initiatives
Yamato Holdings Board of Directors
Yamato Group Environment Committee

Yamato Group Social Promotion Committee

Yamato Group Environment Subcommittee

Yamato Group Social Subcommittee

Yamato Transport
Environment
Committee

Group Companies
Environment
Committee

Regional Environment
Committee
Regional Branch
Environment
Committee
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

56． Key initiatives related to sustainability
2020

2021

2022

Generalinitiatives●Set Environmental and Social Vision, as well as long-term targets●Set “Sustainable Medium-term Plans 2023”

Environmental
initiatives●Deployment of EMS(Environment Management System)●Set “Yamato Group
Environmental Policy”

Socialinitiatives
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved●Announced mid-term target
for GHG emission reduction●Disclosed third party assessment
results of GHG emission volume●Endorsed TCFD, andannounced scenario analysis
results●Set “Yamato Group Human Rights Policy”●Set “Yamato Group Responsible Procurement Policy”●Set “Yamato Group Business
Partner Guidelines”
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2. Initiatives Based on the
Recommendation of the TCFD

7．Initiatives Based on the Recommendation of the TCFD

（１）Governance
Environmental management structurewith the "Yamato Group Environment
Committee" as the decision-making
body, under the supervision of theBoard of Directors（３）Risk management
Manage and address
climate change-related risks

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved（２）Strategy
Yamato Transport’s risks
and opportunities specified
as of today

Climatechangeinitiatives（４）Metrics and goals
Metrics and goals for
managing climate changerelated regulations andtheir implications

7

8．Governance■ Sustainability (Environment) Promotion Structure
Yamato Holdings Board of Directors
Yamato Group Environment Committee

Yamato Group Social Promotion Committee

Yamato Group Environment Subcommittee

Yamato Group Social Subcommittee

Yamato Transport
Environment
Committee

Group Companies
Environment
Committee

Regional Environment
Committee
Regional Branch
Environment
Committee■ Compensation of Directors and Audit & Supervisory Board Members
Medium- to long-term performance-linked, share-based compensation(variable compensation)
introduced in FY2022/3
Performancebenchmarks

ROE, total shareholder return, and
ESG indicators (greenhouse gas emissions)

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89．Strategy -Assessment of Risk Importance (Transition risk)
Assumed time period: short term (up to 2023), medium term (up to 2030), and long term (after 2030)
Level of importance: high (annual financial impact of over ¥10 billion), medium (between ¥1 billion and¥10 billion), and low (less than ¥1 billion)

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

910．Strategy -Assessment of Risk Importance (Physical risk)
Assumed time period: short term (up to 2023), medium term (up to 2030), and long term (after 2030)
Level of importance: high (annual financial impact of over ¥10 billion), medium (between ¥1 billion and¥10 billion), and low (less than ¥1 billion)

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

1011． Strategy -Evaluation of Business Impact andDirection of Countermeasures ➀■ Financial impact* due to introduction of a carbon tax
Evaluation of Business Impact

Business impact* related to calculations if
a carbon tax is fully introduced, assuming
no measures are taken after the current
Sustainable Medium-Term Plan 2023
2030: ¥13.3 billion

2050: ¥25.6 billion*Estimated using carbon tax prices$130 per ton (2030)$250 per ton (2050)
Note:
We determine the business impact byreferencing energy-related indexes, such as the
carbon pricing published in the World Energy
Outlook by the IEA.
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved*For Yamato Transport

Direction of Countermeasures• Implementation of measures to achieve targets for
reducing GHG emissions by 2030 (48% reduction
compared with FY2021/3)→ Introduction of 20,000 low-carbon vehicles (mainly EVs),
installation of 810 solar power generation equipment, etc.

<Expected result (in 2030)>
Reduction of business impact due to introduction ofcarbon tax (¥6.1 billion decrease)• Implementation of measures to achieve targets forclimate neutrality by 2050
→ Introduction of low-carbon vehicles, including EVs withcartridge batteries, further installation of solar power
generation equipment, reinforcement of other measures, etc.

<Expected result (in 2050)>
Elimination of business impact due to introductionof carbon tax
To realize the above effects, aim for proactive capital
expenditures in low-carbon transition and examine
the introduction of internal carbon pricing.
1112． Strategy -Evaluation of Business Impact andDirection of Countermeasures ②■ Financial impact* assessment regarding decreasing revenues and increasing
repair costs for facilities and equipment due to abnormal weather and disasters*For Yamato Transport

Evaluation of Business Impact

Direction of Countermeasures

Business impact* of decreased sales due
to abnormal weather, such as heavy rain
resulting from increasingly severe
typhoons and linear rainbands, and repair
costs for damaged facilities andequipment• Opening of stores by utilizing hazard maps
and periodic reviews of our business continuity
planning manual

2030: ¥1.9 billion
2050: ¥3.8 billion*Calculated by referencing past disasters
Note:
To understand changes in trends, we reference data,
including the frequency of flooding, published by theJapanese Ministry of Land, Infrastructure, Transport andTourism; the Ministry of Education, Culture, Sports,
Science and Technology; and the Japan Meteorological
Agency in light of climate change.
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved• Examination of disclosing information onefforts to adapt to climate change internallyand to our business partners• Commencement of testing for use ofrenewable energy and EVs with cartridge
batteries that enhance resilience
Continual reevaluation of business impact
going forward while adding extra prerequisites,such as enhancing predictions for location andscale of occurrences of incidents, andcontinuous examination of countermeasures1213．Risk Management／Indicators and Targets■ Risk Management
Climate change-related initiatives for the entire Yamato Group● Manage environmental issues and risks, including climate change, under YamatoGroup Environment Committee and Yamato Group Environment Subcommittee● Discuss and resolve important matters at the Board of Directors■ Indicators and Targets＜Indicators ＞
Transition risks：Referencing energy-related indexes, such as the carbon pricing published in the World
Energy Outlook by the IEA.
Physical risks：Referencing data, including the frequency of flooding, published by the Japanese Ministry ofLand, Infrastructure, Transport and Tourism; the Ministry of Education, Culture, Sports, Science and Technology;
and the Japan Meteorological Agency in light of climate change.

＜Targets＞

Targets for reducing GHG* emissions* In-house emissions (Scope 1 and Scope 2)

Targets for percentage of electricity
generated via renewable energy sources

Short Term: 10% decrease by 2023 compared with FY2021/3

Short Term: 30% by 2023

Medium Term: 48% decrease by 2030 compared with FY2021/3

Medium Term: 70% by 2030

Long Term: Virtually zero emissions (Climate neutrality) by 2050
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13

3. Initiatives to make “Green Delivery” a reality〜Solving social issues through collaboration〜14．Initiatives to achieve Green Delivery＜Long-term Target＞

Achieve Climate neutrality in 2050
Virtually zero for Yamato’s own GHG emissions＜Mid-term Target＞

48% reduction in GHG emissions in 2030
(vs FY March 2021)＜Focus initiatives＞
Introduction ofEVs

Utilize renewableenergyReduce use of
dry ice andfluorocarbon gas

Make it possible to“see” electricity use

Study newtechnologies, andimprove operational
efficiency＜Basic initiatives＞
Energy saving（Renew equipment /facilities, switch to LED, etc.）

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

1415．Key initiatives towards 2030

Introduce 20,000 EVs
Promote use of renewable energy（70% of electricity usage to come from renewable energy sources）

Introduce 810 solar power generation (PV)facilities（On-site and off-site power generation）
Integrate EV introduction and use of renewable energy(= self-sufficiency of electricity)

Modify operations to achieve zero use of dry ice
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15

16．Social issues related to the Yamato’s initiatives
 Introduction of EVs and establishing charging infrastructure
・Usage and charging of commercial vehicles takes place at the same time
Since both commercial vehicle use and solar power generation take place during thedaytime, a way to “operate” and “charge” in parallel must be devised

・Increased capex burden in relation to EVs and charging infrastructure
Heavy burden for mid-sized and small transportation companies when introducing
EVs and establishing charging infrastructure, which could also affect the larger
transportation companies

 Use of electricity generated from renewable sources
・Shortage of electricity from renewable sources
Not enough supply to address sharply rising demand for renewable energy

・Lack of grid capacity
Renewable energy-derived electricity needs to be transmitted via the grid, which isalready near capacity, while there are concerns about increasing capacity in an era of
population decline
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16

17．Solutions for social issues
Develop new style of energy management to “Generate, store, transport
and use” clean electricity, using cartridge-type batteries

Cartridge batteries
Standardization
EVs

Usage of electricity
regardless oflocation

Generate
Install PV equipment togenerate electricity onsite (at Yamato facilities)
and off-site (otherlocations)

Buildings

Local community

・Develop infrastructure in less populated areas
・Utilize in disaster-struck areas
・Share battery infrastructure in the entire
transport industryStore

Use stationary batteries
at Yamato facilities andcartridge batteries tostore electricity
generated during theday using PV equipment

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Transport

Transport cartridge
batteries to point of use(use grid transmission
for electricity generated
off-site with PV
equipment)

Transportationindustry as a whole

Solar power
generation
Use・Yamato’s facilities
・Delivery trucks (EVs)・Underpopulated anddisaster-struck areas
・Entire transportationindustry17

18．Introduction & Operation of EVs to Realize Green Delivery
Demonstration Projects utilizing the Green Innovation Fund

Period／Area
Details of
Demonstration

KPI

FY March 31, 2023 to FY March 31, 2031 (Scheduled) ／Gunma Prefecture
Optimization of EV Operations, Development of System to Standardize Charging
and Development of System for Flexible Inter-Base PowerDistribution・200 EVs within the prefecture by FY2024/3
・Transform all vehicles into EVs within the prefecture and reduce 5,000 t CO2
emissions generated by vehicles by FY2027/3
・Transform all vehicles into EVs with cartridge batteries and reduce 7,500 t CO2
emissions generated by vehicles by FY2031/3

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1819．Considerations to standardize and commercialize cartridge batteries■ Challenges in introducing commercial battery EVs (BEV)Longer charging time compared to filling gas and diesel vehicles
Longer downtime in logistics (hours of non-operation vehicles and parcels), due to concentration of charging timing
Higher peak of electricity use at facility, due to timing of charging being concentrated during hours when vehicles are
not in operation■ Initiatives
 Began studies to standardize and commercialize removable and portable cartridge
batteries as part of energy management with CJPT*＜Details of Study and Expected Results＞① Decrease in costs of introducing EVs: Reduce vehicle costs by equipping them with batteries sufficientfor distance traveled② Decrease in burden of charging for drivers: Reduce workload by shortening charging times andsimplifying operation③ Decrease in logistics downtime: No interruptions during pickup and delivery operations since vehicles
do not need to stop for long while charging their batteries④ Standardization of demand for electricity: Charge replacement batteries even when vehicles are in
operation to optimize contracted volume of electricity by spreading out charging time

Fixed battery

Cartridge batteries

for replace*CJPT (Commercial Japan Partnership Technologies
Corporation) is a company that plans and develops CASE
(connected, autonomous, shared & service, and electric)
technology for commercial vehicles and which is fundedby four car manufacturers

Aim to contribute to resilience of local communities through the supply of electric energy, by
promoting use of commercial battery EVs (BEV) and green electricity, as well as delivering cartridge
batteries to areas hit by disasters and areas where it is difficult to maintain electricity infrastructure
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

1920．Example of initiative to reduce dry ice usage
Introduce transportation material that does not use dry ice, thereby reducing GHG emissions,improving quality and optimizing costs

・ Introduced equipment and materials to allow ultra low temperature (minus 75℃ ) transportation of
medicine
・ Jointly developed with Denso mobile-type “Freezer for vehicles” that runs on electricity, to be used when
picking up and deliver parcels for Cool TA-Q-BIN
・ Developed insulation and cold storage material for air freight containers, used in trunk-route transportationof Cool TA-Q-BIN
Ultra low temperaturetransportation of medicine
Equipment and materials forultra low temperaturetransportation at minus 75℃(equivalent to using dry ice)

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

Cool (temperature-controlled) TA-Q-BIN
Last-mile“Mobico”, Mobile-type freezer
for vehicles

Trunk-route transportation
Insulation and cold storage
material for air freightcontainers

204. Initiatives to provide value to corporateclients engaging in climate change

21． Value Provision for Corporate Clients
Promoting comprehensive value provision on an “End To End” basis, from the
upstream to downstream of corporate clients’ businesses, by positioning asopportunities the expansion of e-commerce in all industries as well as changes in the
supply chain→contributing to the improvement of customers’ corporate value and theenhancement of customer value through provision of solutions for innovating the
supply chains and business processes of these customers■ Corporate sales structure of One YAMATO

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved■ Starting point and mid-to-long term
positioning through “One YAMATO 2023”

21

22．Issues faced by clients in supply chain management (SCM)
Risks heightening, with the globalization of clients’ supply chains→ “Supply chain resilience” becoming ever more important in SCM■ Risks related to supply chain resilience
Natural risks

Climate change, natural disasters, pandemics

Political risks

Protectionism in trade, political tensions, wars

Economic risks

Changes in industrial structure, rise in fuel prices, currency fluctuations

Social risks

Decline in population and labor force, changes in consumption trends, humanrights issues

Criminal risks

Terrorism, cyber attacks, destructive activity■ Key issues
Short-term

Mid-term

Response to
COVID-19

Coping with blocks
being formed inpolitics, economics
and supply chain

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

Long-term
Addressing
environmenta
l issues andclimatechange22

23．Supply chain optimization
・Maintain and improve service level, while lowering total logistics cost
→ Contribute to reducing clients’ GHG emissions by avoiding waste in logistics and inventory
・At the same time, promote energy shift in transportation, simplify and reuse transportationand packaging materials, etc.

Service level•Shipment cycle•Lead time•On-time delivery•Error ratio•Out-of-stock ratio•Response to market•Others

Supply chain network•Location, size and function of factory/
warehouse•Supplier (location) of materials and parts•Clients’ location/ delivery point of
products•Location and period of inventory storage•Mode, route, lot and frequency oftransportation•Others

Total logistics cost
•Logistics (transportation anddelivery, storage, loading/unloading, packaging,
information mgmt.)•Inventory (cost of carrying
inventory)•Others (cost of processingorders, production andprocurement mgmt. costs, etc.)

Sustainability•GHG emissions•Cyclical use of resources•Waste•Others
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

2324. Example of initiative with client ① 【Nihon Michelin Tire】
As Lead Logistics Partner that achieves the sustainable growth of corporate clients,
Yamato Transport is supporting supply chain innovation and optimization of logistics
operation globally, contributing to better management for clients→By innovating the overall supply chain and optimizing logistics and inventory control, Michelin and Yamato
will collaborate and aim to lower total logistics cost, enhance Michelin’s value proposition to its customers,※ Sep. 2022：Begin partial operations
and realize sustainable and environment-friendly logistics by visualizing
Jan. 2023：Full-fledged operations (plan)and reducing GHG emissions【Achievements expected with Yamato managing the entire logistics structure of Michelin】
Consolidate the approx. 20 warehouses into 5, and visualize & optimize inventory control ineach facility
Resolve the uneven distribution of inventory, and reduce transportation between facilities, while
making use of the middle-mile network for corporate clients etc. to achieve shorter and morestable delivery lead times and lower GHG emissions (Michelin’s Scope 3 emissions)

Use Warehouse Management System to track the production year of all tires in the inventory,
thereby minimizing waste loss
By managing the production year of each and every tire in the inventory, and shipping out tires
that are closer to the expiration date first, minimize waste loss due to expiration (lower theenvironmental burden)Track orders using the Transport Management System
Visualize the delivery status of each client’s order, and provide prompt responses through theMichelin Call Center, as well as merge (bundle) separate products in the transportation process
at Yamato Group’s facilities and on its Transportation and Delivery network, thereby enhancing
the value proposition to Michelin’s customers→ The scope of the project will be expanded to the more up-stream parts of the supply chain, notonly in Japan but globally, thereby considering the optimization of Michelin’s logistics and inventory
control, including production management and shipment coordination overseas
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

Under its corporate vision of“100% Sustainable”, Michelin
values People, Profit & thePlanet, and has committed to
manufacture tires with 100%
sustainable materials by 2050.
Michelin is working on
decarbonization initiatives
globally, including promoting
the use of sailing cargo ships on
the Atlantic, plantation of natural
rubber in Southeast Asia, and the
optimization of forest
preservation management.
2425. Example of initiative with client ② 【Adastria】
Yamato Transport signed logistics partnership contract, to make Adastria’s supply chain moresustainable→By reviewing the logistics and inventory operations in Adastria’s supply chain both in Japan and overseas, from the sourcing of raw
materials to production and omni-channel sales, reduce GHG emissions and establish a logistics structure that is more effective formanagement (1st step)→Utilize Adastria’s expertise on fashion supply chains, and Yamato Transport’s logistics infrastructure and expertise in Japan andoverseas, and collaborate with other companies to realize and expand Sustainable Fashion**Initiative to become sustainable now and in the future, in the process covering the production, wearing and disposal of clothing, and paying consideration to
the earth’s environment including the ecosystem, and the people and society involved【Initiatives to achieve Sustainable Fashion】
 Establish production and logistics structure that matches the demand Sustainable operation reform, GHG emission reduction, etc.

Adastria’s mission is “Play fashion!”, seeking
to make more enjoyable the lives ofeveryone through fashion. Adastria aims to

Sourcing ofPlanning,
Sea / air
Production
textiles, raw
design and trial
transportationmaterials and sub
production ofmaterials
products

Domestic
logistics
centerStores, EC, etc.
Omni-channel

Customers

create an open community of people andinformation, and become a “Good
Community Co-Creation Company” thatbrings new values.
Based on its sustainability policy of “Bring
the joy of fashion to the future”, theVisualize and link information about inventory,transportation, ordering and sales

Production planning

Transportation planning

Delivery planningcompany is engaged in various initiatives,
including inventory control and reusage tobring to zero waste incineration of apparelinventory, and establishing fair and ethicalprocurement activities.

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

2526．Challenges in making clients’ GHG emissions more visible
Challenges exist for clients (corporate clients) and/or logistics companies,
in making GHG emissions in the supply chain more visible
Clients’ challenges••

When calculating Scope 3•
emissions, it is preferable
to obtain data from eachcounterparty in the supply
chain, but data is currently •not collected from logistics
companies
The most common way of
calculating emissions fromlogistics is a simplified
method using formulas /coefficients, based on theamount spent etc., which is
not accurate and makes it
hard to see the effects ofefforts to reduce emissions

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

Logistics companies’
challenges
Have calculated own
emissions, but notcalculated / measured
each client’s emissions

When proposing supply
chain reforms to clients,
not been able to quantify
and show efforts to reduce
own emissions

Challenges for both•

Because there is no global
standard in the logistics
industry regarding thescope for calculating
emissions, each company
uses different standards
for the calculations,making it hard to
appropriately assess in themarket competition

26

27．Initiatives to visualize clients’ GHG emissions
Achieve the establishment of “GHG emission visualization system”, based on the
new international standard (ISO14083) for calculating logistics GHG emissions, andmake it possible to actually see reduction efforts → Collaboration with DPD Groupof France which is focused on progressive environment-related measures
GHG emissions

Calculation of GHG emission reduction

Present

Present？

Calculate emissions using
Volume ×coefficients based on amountemissioncoefficient/ volume handled
Amount ×Volume handled

GHG emission→Only way to show results emission coefficient
to reduce emissions is to
reduce volume handledNot
possibleto see theresult ofefforts

GHG emissions

Reduce emissions (EV, PV, etc.)

Establish an ISO-based visualization system

After measures

After establishing visualization system
Calculate emissions byanalyzing each process in theactual transportation operations

Volume handled

GHG emission

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved→Can show results bycomparing emissions withprevious operations

Submitemission
reports foreach client

GHG emissions

Possibleto seeresult ofefforts
27

Summary

Promote sustainable management, in order to“contribution to realizing a rich and prosperous
society”

Achieve sustainable corporate
value enhancement, andrealize a sustainable society

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved28

Ref. Sustainable Medium-Term Plans 2023 Progress 【Energy & Climate】

Mitigate climate change
Overview

Risk

Opportunity

Reduce greenhouse gas emissions by using electricity generated via renewableenergy sources, enhancing transportation efficiency, and reducing the use of dry
ice, etc.
•••

Reduce GHG emissions
10% *1 compared with FY2021/3
Reduce GHG emission intensity by 10% *1*2 compared with FY2021/3
Achieve 30% usage rate *3 of electricity generated via renewable energy
sources

FY 2022/3
Progress•••

GHG emissions
2% decrease compared with FY2021/3
GHG emission intensity
2% decrease compared with FY2021/3
Electricity generated via renewable energy sources
11% usage rate

Examples of
Initiatives

•
•
•
•
•

Development and verification of EVs
Visualize the operational status of vehicles and reduce inefficient routes
Implementation a modal shift
Consolidation of touch points and installation of LED lights (495 facilities)
Establishment of a department (Green Innovation Development Department)
to promote the development and introduction of vehicles and equipment that
contribute to reducing greenhouse gas emissions

FY 2024/3
Targets

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved*1 In-house emissions of consolidated companies in Japan and Swan Co., Ltd. (Scope 1 & Scope 2)
of ¥100 million *3 For consolidated companies in Japan and Swan Co., Ltd.

*2 tCO2e//operating revenues 29

Ref. Sustainable Medium-Term Plans 2023 Progress 【Atmosphere】

Clean up the skies(prevent air pollution)
Overview

FY 2024/3
Targets

FY 2022/3
Progress

Examples of
Initiatives

Risk

Pursue transportation that reduces the effects of air pollutants emitted by vehicles
and cleans up skies in local communities••

Reduce NOx and PM emissions from vehicle 25% *4 compared with FY2021/3
Introduce vehicles that emit fewer air pollutants•NOx emissions: 9% decrease
PM emissions: 3% decrease
3,200 vehicles introduced••

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

Holding of discussions and implementation of technical checks on automatedmobility with suppliers that contribute to low-carbon transportation and theprevention of air pollution*4 For Yamato Transport30

Ref. Sustainable Medium-Term Plans 2023 Progress【Resource Conservation & Waste】

Promote resource conservation
Risk
and reduce waste
Overview

FY 2024/3

Opportunity

Drastically reduce our environmental burden and promote the use of technology
and creation of opportunities for minimizing environmental impact

Targets•••

Use renewable resources and recycled materials for paper material 55%*5
Reduce landfill disposal rate (final disposal rate)
5% or less*6
Provide products utilizing recycled materials and resource saving materials

FY 2022/3
Progress•••

Renewable resources and recycled materials for paper material
52%
Landfill disposal rate
10%
Identification of target materials and partial switch to resources that utilize
recycled materials

Examples of
Initiatives•

Use of renewable resources and recycled materials for containers andpackaging materials
Launch of studies into the development of materials for reuse and common
reusable materials•

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved*5 Paper materials refer to cardboard for shipping, pickup and delivery materials, etc. *6 Equivalent to reduction by half
compared with the past

31

Ref. Sustainable Medium-Term Plans 2023 Progress【Resilience of Companies & Society 】

Support a society that combats
Risk
environmental changes

Opportunity

Overview

Collaborate with diverse partners to increase the resilience of stakeholders andlocal communities and create environmental value

FY 2024/3••

Targets

FY 2022/3•••

Progress•

Examples of
Initiatives•

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

Advance green logistics in collaboration with our business partners
Collaborate with society to improve environmental resilience (verify and share
information about mitigating climate change)
Provide environmentally friendly products and services*7
Determination of methods for understanding GHG emissions of our partners
Launch of discussions aimed at the collaborative development of cartridge batteries andsharing of disaster forecasts based on data from the Japan Meteorological Agency with ourpartners
Determination of evaluation methods and standards for the environmental burden andeffects of services and products

Addition of function for collecting data on greenhouse gas calculations to an
application for understanding the operational status of transportation partners*7 Products and services with environmental value and a low burden on the environment32

Ref. Yamato Group’s GHG emissions / breakdown
GHG by source of emission※Scope1 & Scope2

Dry ice,Electricity,

fluorocarbon,

heat

etc.

25%

12%

Fuel (vehicles)
Fuel

62%

(facilities)
1%

GHG emission by Scope
Scope1※Scope1&Scope2

21%

Scope3

Scope2
7%

72%
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

33

Ref. ISO14083■International voting is ongoing, towards issuance of international standard
ISO14083（As of Dec 20, 2022）
Name ofstandard

ISO 14083
Greenhouse gases — Quantification and reporting of greenhousegas emissions arising from transport chain operations

Date ofissuance

2023 (scheduled)

Objective

Requirements / guidance for calculation and reporting of GHG
emissions from passenger and cargo transportation

Transportation
Covers all transportation modes, including road, sea, air, water (rivers,
mode subjectetc.), rail, pipelines and cable cars. Also includes discharge fromto thelogistics facilities
standard

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

34

Ref. Collaboration with DPD Group in the environmental domain
In July 2022, Yamato Holdings and France’s DPD group, which has the largest
delivery network in Europe, signed a basic agreement with the aim ofcooperating in the environmental domain, such as by examining common global
standards for calculating GHG emissions.
＜Details of Agreement＞● Examination of Common Global Standards for Calculating GHG Emissions
to achieve sustainable logistics
Visualization of corporate GHG emissions across the entire supply chain bystandardizing basic calculations utilized by individual logistics companies●Sharing of Knowledge in the Environmental Domain

Sharing of information in four fields below and promoting of environmental initiatives① Climate change mitigation② Air pollution prevention③ Resource-recycling promotion④ Resilience improvement for society and companies

We will collaborate and carry out initiatives in the environmental domain torealize a sustainable society and green logistics.
Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

35

Ref. External certifications and assessments(As of Dec 20, 2022)

Metric, name, etc.

Organization

Yamato HD’scertification

MSCI

MSCI Japan Empowering Women (WIN)
Select Index

Included in the index
6.675 （Max 10）

FTSE

FTSE 4 Good Index Series
Included in the index
FTSE Blossom Japan Index
4.0 （Max 5）
FTSE Blossom Japan Sector Relative Index

S&P

S&P/JPX Carbon Efficient Index

Included in the index

SOMPO
Asset
SOMPO Sustainability Index
Management

Included in the index

CDP

Climate change
B （A~D）

Copyright 2022 Yamato Holdings Co., Ltd. All rights Reserved

36

Disclaimer
This material is intended for informational purposes only and is not a solicitation or offer to buy or sell securities or related financial
instruments. Ultimately it is the responsibility of investors to select and buy securities and the Company assumes no responsibility
for investors who act on the basis of this material.