Sustainability

Prosperous
Coexistence with theGlobal Environment
Confronting all environmental problems with sincerity,
aiming to improve the global environment

Support for the TCFD
At Musashi Group, we regard climate action to be an important task for sustainable management.
We address climate change through our products, services, and corporate activities, thus“contributing to enriched Harmony between our lives and Earth.”
In August 2021, we announced our support for the recommendations of the Task Force on ClimateRelated Financial Disclosures (TCFD) to increase communication with our stakeholders.
We will continue striving to disclose more information via media outlets including integrated
reports and our website.

Strengthening governanceGreen Operation 100

We have strengthened our corporate governance system toreflect our climate actions in our management. We haveclarified the roles and responsibilities of domestic andoverseas Group companies and affiliates in the organization,
to enable them to act to achieve targets in a responsible
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manner while supervised by management.

Achieving 100% carbon neutrality of our businessactivities (Scopes 1 and 2) by 2038, our 100th anniversary.
We have implemented an array of initiatives to addressenvironmental problems, including energy conservation activities.
We will begin acting with renewed determination as amember of a global society to achieve carbon neutrality, agoal supported by a global consensus. We promise to makeour own activities green globally by 2038, aiming to achieve
the carbon neutrality of the entire value chain by 2050.

See our website for more information about Musashi's declaration of Carbon Neutrality.

www.musashi.co.jp/en/newsrelease/news/musashi_set_a_new_middle_term_goal_to_achieve_carbon_neutrality.html

1

Board of Directors

Report/Suggest

Submit matters
Delegate
to discuss/
ReportManagementCommittee
Report/Make
recommendations

Instruct2

ReportSuperviseInternal Control Committee

Cooperate
Sustainability
Strategy Committee

Report/Suggest

3

InstructCompliance
OfficerRisk Management
OfficerInstruct

HQ/Group companies
R&D and new businesses

Business divisions and locations

Corporate

1 Board of Directors

2 Sustainability Strategy Committee

3 Execution area

The Board of Directors makes
decisions on the company'sinitiatives (policies andstrategies).

This committee deliberates and makes decisions regarding theGroup's direction, targets, and indexes for achieving sustainability,
based on the policies and strategies resolved by the Board ofDirectors. It orders affiliates and Group companies all over theworld to take actions to resolve issues, by adding the perspectiveof the medium- to long-term improvement of corporate value to theperspectives of social issues, management risks, and governance.

PDCA cycles for achieving
targets are implemented in a
responsible manner, and thestatus of implementation isreported to management.

(HQ/Group companies)

Chairperson
Members
Frequency of meetings
Chief management
Directors, C-suite
At least twice a year
executive
executives and external
specialists

EnvironmentalPolicy

We intend to address global environmental problems through the achievement of Our Purpose, thereby contributing to theglobal society through all of our business activities as a member of that society. We have summarized our basic approachand stance for this purpose as our Environmental Policy.
See our website for more information.

www.musashi.co.jp/en/sustainability/earth.html

MUSASHIREPORT

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