2016
Corporate Report

Mitsubishi Paper Mills Ltd.

Message from the President■ Steadily conduct business in accordance with the Corporate Philosophy andcontinually improve corporate value.

■ Reliably achieve "Stabilization of Profit," which is the target of the Second Mid-Termfuture.

■ Undertake distinctive CSR activities in terms of ESG (Environment, Society,
Governance) and contribute to making a sustainable society.

The Mitsubishi Paper Mills Group places a high value on the trust and understanding of our stakeholders
regarding our efforts to improve corporate value. Through communication with these stakeholders, we haveidentified challenges concerning the environment, society, and corporate governance, and are undertaking
distinctive CSR activities in order to make society more sustainable.
In the fiscal year ended March 2016, in addition to establishing "initiatives to ensure strict legal
compliance" and "enhancement of activities to ensure safety and health" as issues of the highest priority, we
have worked to increase environment-conscious products, including the Thermal DigiPlate System and
FSC-certified paper, which contribute to a sustainable society.
For the fiscal year ending March 2017, "securing the effectiveness of corporate governance" and"enhancement of activities to ensure safety and health" are our two highest priority issues. Pursuing theseissues will see the Group take specific actions towards the aims set down in the basic policy concerning
corporate governance and conduct CSR activities that help improve corporate value.

About this Report

Kunio Suzuki,
President & C.E.O.

The Mitsubishi Paper Mills Group started this publication, which provides both financial and non-financial
highlights, in the fiscal year ended March 2015 to share information about the Group's business activities in amore easily understandable way. We view this report as an important tool for communicating with our
stakeholders, and we will continue to improve this report so that it might convey our message more concisely
and clearly.

Increasing Corporate Value
Aims of the Mitsubishi Paper Mills Group
The Mitsubishi Paper Mills Group has adapted to rapidly changing conditions around the world and its
business environment, providing products that satisfy the needs of society from a global perspective inharmony with the changing times.
Since our founding in 1898, we have committed ourselves to the art of manufacturing and have continued
to proceed due to the technical expertise and challenge-seeking spirit developed over our 118 years ofhistory and the steadfast support of our stakeholders.
In April 2016, we launched the Second Mid-Term Management Plan, which focuses on the key phrase"stabilization of profit through alliances." To ensure we achieve the aims of the Second Mid-Term
Management Plan, we will be working as a company united towards creating corporate value and a bright
future for the Mitsubishi Paper Mills Group.
In order to meet the expectations of our stakeholders, the Mitsubishi Paper Mills Group will devote all its
energy so it can go forward into the future and bring about sustainable development, passing the baton ofhistory to succeeding generations for the next 150 years, 200 years.
We look forward to everyone's continued support and encouragement even more than before.
5 Mitsubishi Paper Mills Corporate Report 2016 To Our Stakeholders

Second Mid-Term Management Plan
Key phrases

Stabilization of Revenue
through Alliances■ Structural reform in the printing paper
business■ Improving the profit base
■ Developing new business■ Strengthening the business foundationand financial ground that will support theGroup’s earning power

Enhancing CSR Activities
The Five Basic Policies■ Strengthening our CSR managementfoundation■ Promoting environmental management■ Raising customer satisfaction levels bycarefully addressing user needs■ Taking further measures to provide our
employees with a pleasant working
environment■ Pursuing activities that contribute tosociety

Mitsubishi Paper Mills Corporate Report 2015 To Our Stakeholders 6

To Our Stakeholders

Management Plan and strive to be a company that will continue to grow into theContributing through CSR Activities

Financial Highlights (Consolidated)■ Net sales/operating income results by segment
FYE March 2014

FYE March 2012 FYE March 2013 FYE March 2014 FYE March 2015 FYE March 2016
149th term

150th term

151th term

Printing Paper Business

161.7

165.4

164.3

164.0

Imaging Media Business

41.6

43.5

41.8

45.0

Speciality Materials Business

16.0

16.8

16.9

18.0

Other

16.0

15.1

15.8

15.0

Elimination (offsetting)

∆27.8

∆26.0

∆22.5

∆22.0

Total

207.5

214.9

216.3

220.0

Printing Paper Business

∆1.8

∆1.3

2.0

2.1

Imaging Media Business

1.5

1.5

2.4

1.9

Speciality Materials Business

0.3

0.5

0.9

1.2

Other

0.5

0.4

0.4

0.1

194,856

200,850

207,470

214,944

216,340

Operating income

Millions of yen

2,164

3,332

473

1,038

3,872

Net income (loss)

Millions of yen

888

2,663

62

135

2,216

Net income (loss)
per share

Millions of yen

565

1,710

280

∆4,272

2,217

Outstanding interest-bearing debt

Billions of yen

158.0

155.3

149.0

Shareholders’ equity

Millions of yen

49,484(multiple)

3.2

2.9

ROE

％

1.1

Equity capital ratio％

52,75952,529

138.8

144.8
52,01849,242

2.8

2.8

2.8

3.4

0.5

∆8.2

4.4

17.9

19.8

20.4

20.5

20.4

Millions of yen

11,74014,469

11,687

11,993

14,534

％

27

30

29

31

31

■ Shareholders’ equity and ROE
Shareholders’ equity(millions of yen)

52,529

Total

0

∆0.1

0

0

0.5

1.0

3.9

4.5

■

52,7590.5

Outstanding interest-bearing debt
(Billionsof yen )52,018

6.0
4.0

1,650

D/E ratio(multiple)

Outstanding interest-bearing debt and D/E ratio

3.3

3.2

3.2

1,600
1,580

2.0
1,550

3.1
1,553
3.0

■

■

1.1

Elimination (offsetting)

1,700

4.4

■

52,000ROE（%）

Shareholders’ equity and ROE

3.4

Risk
Factor ∆0.8

■ Trends in outstanding interest-bearing debt and D/E ratio

54,00053,000Operatingincome■Overseas ratio(net sales)

Net sales

49,24249,000

-4.0
-6.0

2.9

2.9

1,448

1,450

2.8

1,400

■

49,484

1,490

2.8

2.8

■

1,500
-2.0

■

51,000■0.0

50,0001,388■

48,000-8.2

47,000FYE March 2012 FYE March 2013

7 Mitsubishi Paper Mills Corporate Report 2016 To Our Stakeholders

To Our Stakeholders

148th term

Millions of yen

EBITDAFYE March 2017
(forecast)FYE March 2016

147th term

Net sales

D/E ratio

FYE March 2015

(Billions of yen)FYE March 2014

FYE March 2015 FYE March 2016

-8.0

1,350

-10.0

1,300

2.8

2.7

2.6

FYE March 2012 FYE March 2013

FYE March 2014

FYE March 2015 FYE March 2016

Mitsubishi Paper Mills Corporate Report 2016 To Our Stakeholders 8

Special Feature 1 Second Mid-term Management Plan

To strengthen the stable profit structure

Second Mid-termManagement Plan,
Business target
Term ending March 31,2019:
Final year

In March 2016. Mitsubishi Paper Mills Limited ended the First

Mid-term Management Plan(including the Rolling Plan) that started in
October 2011, and in April 2016, we implemented the Second Mid-term

1,500

Target

1,000

500

230 billion yen

The key word of the Second Mid-term Management Plan is

0-500

Operating income

6.5 billion yen

Each business field (i.e. Printing Paper, Imaging Media andglobal perspectives,utilizing the technical capabilities that have been
gained through our 118-year history and the Company’s positioning, in

Key player of the Printing Paper Business, Hachinohe Mill
(View from the Hachinohe port facility)

Ordinary income

4.5 billion yen

Term Ended
March 31.2017

Term Ended
March 31.2018

Term Ended
March 31.2019■Speciality Materials ■Imaging Media ■Paper & Pulp ■Other
80

Speciality Materials Business) will try to take various measures from

Term Ended
March 31.2016

Consolidated operating Income (100 million yen) by segment

7060Special Feature 1"To stabilize earnings through alliance."

Consolidated sales(100 million yen) by segment

2,000

Values: Consolidated base

Sales

Management Plan, which is a new stage to leap into the future.

2,500

50
40

order to strengthen the stable profit structre.

Interest bearing debts 125 billion yen

Four basic principles of the Second Mid-term Management Plan are

as follws.

30
20
10
0

1

Structural Reform of Printing Paper Business

2 Improving Profit Base・We will strengthen our alliance with Fujifilm Corporation to build an efficient
production system.
・We will improve the profit base business by effectively using the businesssuperiority and positioning of Mitsubishi Paper Mills.

3 Developing New Businesses
・We will launch a biomass power generation business in collaboration with Oji
Group.
・We will strategically develop new businesses.
・We will make careful strategic and selective investment in the focus fields.

Strengthening business foundation and financial
ground that will support the Group’s earning power・We will work on the reconstruction of business process and IT infrastructure toachieve the Group’s business structure reform.
・We will promote reduction of interest bearing debts, which we have managed toreduce to the pre-Great East Japan Earthquake level, and futher strengthen theGroup’ s financial ground.

Stabilization of profit through Alliances

・We will achieve stable earning structure not affected by the external environment
through structural reform and strengthening our alliance with Oji Group.
・We will optimize our distribution and logistics systems.

4

D/E ratio

2.3-fold-10

Term Ended
March 31.2016

Term Ended
March 31.2017

Term Ended
March 31.2018

Term Ended
March 31.2019■Speciality Materials ■Imaging Media ■Paper & Pulp ■Other■Risks(External factors)

1

Structural Reform of Printing Paper Business

The basic strategy is “ to build a stable earning structure not affected by the external environment.” Based on this strategy,
we will work on the followings:（a）Strategically expand OEM with a focus on information/specialty papers by promoting alliance with oji Group;（b）Increase exports through OEM utilization and further export more production inkjet paper and printing paper; and（c）Increase the information/specialty paper ratio in Hachinohe Mill.

Basic Strategy
Key Challenges

Build a stable earning structure not affected by the external environment
Concrete Measures

Strategic expansion of OEM●Promotion of our alliance with Oji Group centered on communication/specialty paper

Maintenance of our factory
operating rate

●Increase in exports through OEM utilization●Further strengthening of production inkjet paper and printing paper exports●Increase in the information/speciality paper ratio in Hachinohe Mill

Challengea
Key Challenges
Streamlining of the supply
chain through integrated
management of manufactureand sales

Concrete Measures●Streamlining of distribution through a review of the roles of our firm/Mitsubishi Paper
Sales by sales contact and by product●Streamlining of prduction in line with a product portfolio reyiew●Promotion of product portfolio diversiflcation in Mitsubishi Paper Sales●Reduction in inventory through optimization of our distribution systems● Sales strategy focused on the European market where demand for heat-sensitive
paper is strong

Improvement in the profitability●Expansion of the effect from a decrease in costs (materials,energy and yieldof German operation
improvement)●Examination of alliances,etc. from a mid-to-long-term perspective

9 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 1

Mitsubishi Paper Mills Corporate Report 2016 Special Feature 1 10

2

3

Improving Profit BaseDeveloping New Businesses(1)Strategic Strengthening of Imaging Media Business(1) Launch of Biomass Power Generation Business

The basic strategies are “ expansion of allianes and expansion of existing products.” Based on these basic strategies,
we will work on the followings:（a）Expand the alliance with Fujifilm Corporation to increase the production/supply of photographic base paper andsecure the top position in the market;（b）Develop the flexographic and screen printing market of printing photo-sensitive materials with thermal digital plate(TDP) products; and（c）Expand the inkjet paper business including mini-laboratory and HP indigo method in the growing B to B market.

Through joint investment with Oji Green Resources Co., Ltd., which has expertise in power generation business operation andfuel procurement, we will launch a joint biomass business making the best use of advantageous location of oceanfront plant andpower generation technology and strengthen the earnings base of the Hachinohe Site,which is our main factory.

Mitsubishi Paper Mills・Advantageous location of oceanfront plants●Expansion of alliances

・Power generation technology and expertise as●Expansion of existing products

Strengthening of theProfit Base at Our
Hachinohe Sitea paper manufacturer

Expansion of alliances

We will further expand our alliancewith Fujifilm Corporation toincrease the production/supply ofphotographic base paper.

Expansion ofexisting products
We will develop theflexographic andscreen printing
market with TDP
products.

Scheduled in June 2019

・Expertise in power generation business

operation and fuel procurement

Graphic arts
materials

Inkjet andother Digital
Imaging MediaWe will strengthen oursales capabilities throughapplication development
and enhanced productline-up in the commercial
field where demand is
expected to increase.

Summary……Utilization of the FIT System●Company Name: MPM Oji Eco Energy Co., Ltd.(Financing: 45% from Mitsubishi Paper Mills and 55% fromOji Green Resources)●Location: In the premises of Hachinohe Mill of Mitsubishi Paper Mills●Production Capacity: Approx. 75,000kW(Power generation capacity)●Sales: Approx. 11 billion yen●Investment: 24 billion yen (Lease of main facillties, such as the boilar and turbine)(2)Strategic Expansion of Speciality Materials Business
The basic strategies are “ further growth of non-woven fabric-related products,and increase in sales in the growing
Chinese,Korean and ASEAN markets.” Based on these basic strategies, we will work on the followings:（a）Increase sales of water treatment membrane supporting body and battery separators;（b）Increase sales of rewrite media for public/private demand in China and launch products and create markets in the ASEAN
region;（c）Strengthen functions of filter products to increase sales in East Asia; and（d）Enter the tape base paper market in Eurooe for the chemical paper business.

Basic Strategy

Start of business

Oji Green Resources Co., Ltd.

Photographic
Base Paper

Special Feature 1

Basic Strategy

Launch of Joint Biomass Business with Oji Group●Further growth of non-woven fabric-related products(water processing and battery separators)(2) Functional film
we will act offensively to expand the electric conducive film business in its major markets inTaiwan,China and South Korea in ahurried pace, expecting that silver mesh films will be demanded for large touch panels.
Our photo resist has high resistance and adhesion capacities, Its peeling piece also melts when the resist layer is peeled. By using
these features, we will secure a certain level of sales of dry film resist* and produce them by ourselves, which will lead to the
expansion of the photo resist business and increase in earnings.
*Dry film resist: Resist to form wiring pattern of printed wiring boards.
Application

Area

Features

Activity・Superior silver mesh film
suitable for large-sized
touchscreen devices

・To expand our target market;
Taiwan, China and Korea and accelerate
the business・Excellent resistance andadhesion・Fragmented anddissolved in stripping
process

・To improve the profitability of DFR businessby in-house production based on its large
and stable sales volume●Increase in sales in the Chinese, Korean and ASEAN makets
・We will set up a
non-woven fabric machinein Takasago to increase
sales.

・We will enter theEuropean tape basepaper(KJ specialty paper)market for the first time.

Non-wovan
fabric/water
treatment
and BS

Rewritemedia

Chemicalpaper(KJ)

Filters

11 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 1

・We will increase sales for
public/private demand in
China.
・We will launch products
and create markets in the
ASEAN region.

Conductive Film
A touchscreen device with our conductive fijm

Photosensitive DFR
Step structure processed with our DFR

・We will dstrengthenfunctions to increase sales
in East Asia.

Main Strategic Investment
A new coating machine

TargetPlant

Expand sales volume & Improve profitability by In-house Production

Kyoto Mill

Mitsubishi Paper Mills Corporate Report 2016 Special Feature 1 12

(3) Digital Textile Inkjet (IJ) Printing Transfer Paper
In the rapidly growing digital textile inkjet printing transfer paper market, we will form a new market not just with our existingtransfer paper for polyester but also newly-developed inkjet printing paper for natural materials.
Area

Application

IJ Transfer Paper

Features

Activity

・Newly developed IJ
transfer paper for cottonand silk (Natural fiber
textiles)・In addition to the existing dye sublimation
paper for polyester (Synthetic fiber); newly
developed IJ transfer paper for natural
fabrics will offer growth opportunity in thedigital textile marketplace.

4

Strengthening Businesses foundation and financial groundthat will support the Group’s earning power(1) Strengthening of Business Foundation
As company-wide efforts, we will establish a business structure that can flexibly correspond to the management strategies.
Specifically, we will strongly promote the followings:（a）Introduce ERP package in 2018 and restructure business process and IT infrastructure; and（b）Streamline production and sales systems and distribution stock with a focus on the Printing Paer Business.

ERP Introduction (Scheduled for 2018)

Digital textile by MPM tecrnology

Streamline production
and sales systems
with a focus on the
Printing Paper Business

Establish an optimized
business flow acrossthe entire group

Strengthen profitability(4) Expansion of New Non-woven Fabric-related Areas

Special Feature 1

Restructure businessprocess andIT infrastructure（a）We will provide polyester separators with advanced safety that offer an inorganic coating layer for electronic vehicles.
（b）We will deploy paper-type separators manufactured using multiple functional fibers (e. g. fine fibrous cellulose) for electric
double layer capacitors (EDLC) focused on rapid charging/discharging.

Area

Application

EV separators

Features

Activity

・Advanced safety
・Heat-resistance・Long battery life

・Provide polyester separators (NanoBaseX®)
with an inorganic coating layer that offer
advanced safety for electronic vehicles (EVs).

・Heat-resistance・Improved drying
・Thin and high-strength・Expand newly separators of the paper type
(NanoBase2®) manufactured using multiple
functional fibers (e. g. fine fibrous cellulose)
for electric double layer capacitors (EDLC)
that focused on rapid charging/discharging.

Lithium-ion Battery

EDLC saparators
Paper-type Separator(2) Strengthening of Financial GroundWe will aim to continue reducing our interest bearing debts and further reduce our D/E ratio.
Term Ended
March 31,2016:ActualTerm Ending
March 31,2019:Plan

Improvement

Interest bearing debts

138.8 billion yen

125 billion yen

13.8 billion yen reduction

D/E rstio

2.8-fold

2.3-fold

0.5 improvement

2,000

Main Strategic Investment

TargetPlant

A new non-woven fabricmachineTo increase non-woven fabric and battery separator sales

Takasago Mill

5.0
1,919

1,900

interest bearing debts…… Actual ……

1,800

……

1,705

1,700

1,626
1,598

1,600

(5) Expansion into Other New Business Fields

1,580
1,500

Application

Features

Concrete Measures

2.9

2.8

2.4

1,250

2010/3

2011/3

2012/3

2013/3First Mid-termManagement Plan:
Phase 1

2014/3

2015/3

Plan

2009/3

2.3

Plan

2008/3

2.3

2.5

Plan

2007/3

2.1

2.5

2016/32017/3

2018/3

2019/3

Plan

2006/3

2.7

Actual2005/3

2.2

3.0

1,300

2.8

2.6

Plan

1,100

2.5

Actual13 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 1

2.8

Plan

Sheet Coated with CNT

1,400
1,388

2.8

1,200

1,000
(100 million yen)

3.5
1,448

1,350

2.9

Actual

CNT-related
products

・Commercialize processed products (e. g.
tapes and sheets) that take advantage ofcapability on CNT (carbon nano-tube)
dispersion with high concentration.

1,450

3.2

1,400

2.5

・Superior electricalconductivity
・High thermal
conductance

1,490

1,435

1,300

Area

Plan ……

1,553

1,500

We will commercialize processed products of carbon nano-tube, taking advantage of high conducive and high thermal
conductive features based on the high-concentration dispersion liquid mass production technology.

4.5

4.0

1,616

1,530

3.5

D/E rstioFirst Mid-termManagement Plan:
Phase 2 Rolling Plan

2.0

(x-told)

Second Mid-termManagement Plan

Mitsubishi Paper Mills Corporate Report 2016 Special Feature 1 14

About the FSCⓇ Forest Certification System

Special Feature 2 CSR Initiatives◆ FSCⓇ Forest Certification System mechanisms

Creating a More Sustainable Society

FM (Forest Management) Certification

1.Sustainable Timber Procurement and Paper Production
Mitsubishi Paper Mills Group carries out business with timber as a principal raw material. In order for timber tobe a renewable raw material, sustainable forest management is required and, in conjunction with that, after
considering what must be done to ensure the continued development of the company, we became one of thefirst to acquire FSC certification※.
Ⓡ

We have acquired FM certification for a plantation in Chile and company-owned forests in Japan, as well as

COC certification for all of our paper production facilities both in Japan and overseas. In addition, as the FSC
pioneer in Japan in conducting responsible forestry management and are working to get FSC certification※FSC：Forest Stewardship Council A.C.

COC (Chain of Custody) certification (processing anddistribution process management certification)

Certifies that timber felled and taken from certified forests is managed so that it is not mixed with other timber in the processing
and distribution stages.
In August 2001, Mitsubishi Paper Mills' Hachinohe Mill became the first COC-certified paper mill in Japan.

Did You Know.

FSC Principles

Principle 1: To comply with all laws, regulations, treaties, conventions and agreements,
together with all FSC Principles and Criteria
Principle 2: To define, document and legally establish long-term tenure and use rights
Principle 3: To identify and uphold indigenous peoples’ rights of ownership and useof land and resources.
Principle 4: To maintain or enhance forest workers' and local communities’ social andeconomic well-being.
Principle 5: To maintain or enhance long term economic, social and environmental benefits
from the forest.
Principle 6: To maintain or restore the ecosystem, its biodiversity, resources and landscapes.
Principle 7: To have a management plan, implemented, monitored and documented.
Principle 8: To demonstrate progress towards management objectives.
Principle 9: To maintain or enhance the attributes which define such forests.
Principle 10: To plan and manage plantations in accordance with FSC Principles and Criteria.

Mitsubishi Paper Mills-owned forest in Aomori Prefecture(FSC-certiﬁed forest)

Please see

P16

FSC principles areprovided on page 16.

TOPICS
MPM receives highest DBJ environmental
rating for 4 years in a row◆ FSC-certified paper

For the fourth year running, Mitsubishi Paper Mills has been given
the highest DBJ environmental rating available. Announced in March
2016, this rating reflects an acknowledgment by the Development
Bank of Japan (DBJ) that Mitsubishi Paper Mills has "excellent
advanced environmental initiatives."
Along with actively using certified forest timber in our products, wehave been lauded for our focus on the propagation and promotion of
the certification program itself.

The Mitsubishi Paper Mills Group has acquired COC certification for all of its production facilities in Japan and overseas, andproduces FSC-certified paper under the FSC credit system. This system allows us to use the FSC logo for an amount of
products commensurate with the amount of certified-wood used to make the products.
Mitsubishi Paper Mills has an “excellent
advanced environmental initiatives” rating
and in March 2016 received anenvironmentally rated loan from theDevelopment Bank of Japan (DBJ).

In an effort to become a corporate group capable of contributing even more to building a more recycling-oriented
society, Mitsubishi Paper Mills is actively engaged in global environmental preservation. With the acquisition of the DBJ
environmental rating, we will continue focusing on forward-looking environmental management and striving to prevent
global warming and preserve biodiversity through the use of sustainable forest resources.

15 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2：Chain of Custody

Organizations may use the FSC logo if they process products using supply chains that have received both FM and COC
certifications. Choosing a product with this logo supports properly managed forests and helps prevent global warming and thepreservation of biodiversity.

Responsible Timber Procurement
Responsible forest management, with regard for society, theenvironment and the economy through FSC certification is based on
the kind of sustainable forest management proposed at the 1992
Earth Summit in Rio de Janeiro.
Under such sustainable forest management, efforts are made toensure that forests will continue to be usable in the future by only
allowing logging commensurate with the forest's growth and by
nurturing, logging, and replanting trees, with care taken not tonegatively impact the soil, air, water, or ecosystems of wildlife and fishin the area.
Mitsubishi Paper Mills procures timber used as the raw materials for
its products from forests that are rigorously managed according to
FSC principles.

Certifies that from the viewpoint of environmental preservation, the forest management is appropriate, provides social benefits
and is economically sustainable.
After acquiring FM certification for a plantation in Chile in 2002, we acquired FM certification for company-owned forests in Japan.

Special Feature 2

throughout our entire supply chain.

：Forest Management

FSC credit system

FSC-certified
wood
X%
FSC-controlledwood
Y%

FSC-certified
products

Certified wood usedamount of X%▲The FSC logo can be put on a quantity of products equivalent tothe amount of certiﬁed wood used (X%)(The amount of certiﬁed wood supplied, amount of certiﬁed
products sold, credit management tables, etc. are audited)
Controlledwood▲Verify that the timber was notlogged illegally(usage of risk evaluation sheets,
etc. for controlled wood)

Non-certified
products

FSC-controlled woodamount of Y%

Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2 16

Making Paper while Preserving Forests◆FSCⓇ-Certified Paper — Helping Improve Communities◆Sustainable usage of Hard wood produced in Japan
In cycles of approximately 40 years, Hard wood have been used for fuel wood, charcoal and pulp wood in a process thatconsists of logging followed by germination, tree growth, and logging again. However, in recent years, a shortage of lumberjacks
and other factors has led to a downturn in the amount of Hard wood produced.
The Kitakami HiTec Paper Corporation produces high brightness hard wood pulp and base paper for photographic paper, andthe hard wood chips used to make this pulp and paper are 100% made in Japan.

Our Hachinohe Mill in Aomori Prefecture produces Yamanashi Forest Paper, an original brand of paper made using
FSC-certified chips from Yamanashi Prefectural Forests.
The mill began making copy paper for local governments and companies in Yamanashi Prefecture in 2010, and has now
expanded into printing paper used to make pamphlets and catalogs.

Yamanashi Forest Paper
Excellence Award at the 17th Green Purchasing Awards
Honorable Mention Award at the 5th Carbon Offset Awards⇨
5 years after logging

Before the logging season(tree age: approx. 40 years)◆Paper that contributes to forest thinning
Mitsubishi Paper Mills works together with the Office Chonai-kai, an environmental NPO, in carrying out Morino Chonai-Kai(forest neighborhood association) activities.
As an effort to preserve the environment, purchasers of "paper that contributes to forest thinning" pay a forest thinningpromotion cost of ¥15 per kilogram, all of which goes to fund forest thinning operations and the effective use of thinningmaterials.
This initiative helps efforts to thin Japan's forests and keep them healthy.

Forest thinningsupport paper
Forest thinningpromotion
costs

Printing
companies

Forest thinningsupport paper

Forest thinningsupport paper
Forest thinningpromotion
costs

Forest thinning supporter companies, etc.

Forest thinningpromotion costs

Certificate of contribution to forest thinningand wood from thinning usage

Promotional Council of
Yamanashi Mori no Kami
"Forest thinningsupport paper" （an environmental NPO）
production report

Paper distribution
companies

Forest thinning promotion
cost of ¥15/kilogram

Report of receiptof thinned lumber

Forest thinningpromotion
costs

Conventional
paper costs

Wood from thinning

Paper manufacturers

MorinoChonai-Kai paper

Forestowners’cooperative

Morino Chonai-Kai mechanism:¥15 per kilogram goes to promote forest thinning

Forest thinning promotion costs

Paper contributing
to forest thinning

Forest thinning
reportIn December 2015, the Yamanashi
Forest Paper brand of printing and copy
paper, which is made at our HachinoheMill, was given an award.
The award was granted to thePromotional Council of Yamanashi Morino Kami, of which Mitsubishi Paper Millsand Mitsubishi Paper Sales Company
are members. It is in recognition of ourhaving leveraged the characteristics ofareas rich in forest resources and offset
carbon through the sale of products thatare environmentally conscious, and also
for our making products in coordination
with facilities for people with disabilities.

Special Feature 2

Soon after logging⇨"Use, Grow, and Make Our Forests Happy", With FSC® Forest Certification at the Center

The Mori-smile® Projects —Creating Happy and Smiling Forests

Since its acquisition of Chain-of-Custody certification for its Hachinohe Mill (Aomori Prefecture) in August 2001, thefirst such certification for a Japanese paper manufacturer, Mitsubishi Paper Mills has been providing FSC-certified
paper.
We are also engaged in projects that "create happy and smiling forests," which we call Mori-smile projects, for arange of services that are centered on FSC forest certification.

Creating happy and smiling forests.
Mitsubishi Paper Mills-owned forest in Aomori Prefecture(FSC-certiﬁed forest)
Making forests healthy requires making effective use of wood resources.
(Forest thinning work)

17 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2

Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2 18

2. Driving Further Adoption of Sustainable
Forest Management◆ Hands-on learning
Environmental education for local elementary and junior high school students

We believe that, for companies to ensure their business survives and achieves growth into the future, theymust recognize how they benefit from the bounties of our natural environment — and our plentiful forests, inparticular — and how they must work to preserve the health of these forests.

Through the proactive use of recyclable wood, the Mitsubishi Paper Mills Group practices sustainable forest

With the cooperation of people in the community, the facility has been providing hands-on learning since it opened in 2010,
using a forest owned by Mitsubishi Paper Mills in Nishigo-mura, Fukushima Prefecture, where our Shirakawa Site is located.
With study themes of “About the environment and forests,” and “Learn about paper,” and “Papermaking workshop,” and “Forest
observation and tree measurement workshop,” students learn about the importance of forest recycling and management andabout the art of making paper from trees.

management and helps contribute to a more recycling-based society.

Activities of the Eco System Academy
Two kinds of recycling

Heat recovery
equipment

Aim
To know the role forests play, to give thought to how best
to use the gifts from forests, to understand the cycles offorests and paper through hands-on learning, and thereby
develop an interest in caring for the forest.

Paper recycling
Forest recycling

Properly managed forests
Wood chips

Customers
Waste paper
Paper and
paperboard

Nishigo daiichi Junior High School"Using Forests and Wood" class

Since 2014, Mitsubishi Paper Mills has been conducting traveling environmental education at Ryogoku Elementary school,in Sumida Ward, where Mitsubishi Paper Mills’ head office is located and at the Ikejiri Institute of Design with the Kids
Workshop. In 2015, we provided participants with a new environmental education course through the Mitaka Public Lecture
program.
The content of the environmental education we provided to Ryogoku
Elementary School in 2015 was developed with regard for what thestudents were set to learn at school, making it a meaningful experience
for them.

Pulp plant and paper millComments from children andparticipants

Our business activities focus on three areas: hands-on learning,
environmental seminars, and forest surveys and research.
The following describes the specific activities we have undertaken.

Ryogoku Elementary School
Tailoring curriculum to the"Advice from the Shirakami
Sanchi" class

Hands-onlearning
Forest surveys
and research

Traveling environmental education in Kansai
Dream Project"Sending this postcard to myself 10 years in the future"

Hands-on learning：
IIn addition to learning about the environment, this involves papermaking and creating paper crafts as a means toexperience the art of manufacturing and make observations, take measurements, and plant trees using company-owned
forests. Since its opening, the facility has conducted "traveling classes" for 644 children and been toured by 503 business
partners.

Mitsubishi Paper Mills conducted a traveling environmental education classin Nagaokakyo City (where our Kyoto Mill is located) in October 2015, the firstsuch class to be conducted in the Kansai region.
At the Nagaokakyo-shi Environmental fair, we conducted our "Forest
Cycles, About Paper" class along with a papermaking workshop. This
program, which taught the importance of forest cycles and the mysteries andfun of papermaking, was well received by all attendees.

Environmental seminars：
At the six seminars held to date, a total of 1,764 attendees have heard from lecturers working as university instructors
or engaged in pursuits that have included forestry, Japanese traditional culture, and national environment preservation.

Forest surveys and research：
We conduct surveys of vegetation and forest growth and, through activities of the Wild Bird Society of Japan, conduct
surveys of wild birds living in company-owned forests. We are also working to create birdwatching areas.

19 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2

Omotego Elementary School
Papermaking workshop

Traveling environmental education workshops in Tokyo

Specific Activities

Environmental
seminars

Yone Elementary School
Forest observation

Special Feature 2

In May 2010, we founded the Eco System Academy
centered on the cycles of forests.
Support was provided by the village of Nishigo-mura,
National Nasukashi Youth Outdoor Learning Center, and Wild
Bird Society of Japan.
Collaboration was provided by members of the
Nishishirakawa Forest Owners’ Cooperative, Fukushima
Prefecture Pulp Cooperative Association, Minami Lumbermill,
Nakashou, and Nishigo-mura

How fascinating that this is whatpostcards are made from"I learned how much time and effort ittakes for trees to grow, and it made me
want to take better care of trees."(Ryogoku Elementary School)"I didn't know that paper is made fromwood pulp. I'll always treat paper more
carefully".
(Ryogoku Elementary School)"I had seen the FSC logo before, but
only learned what it means today."(Mitaka Public Lecture)"It's interesting that different quality
paper is produced using different types oftrees. I want to have my kids andhusband try it."
(Mitaka Public Lecture)"Along with learning how to makepaper, I also learned about theimportance of forest environments."(Dream Project)"I sent off a postcard I made with amessage to myself 10 years in the
future." I'm looking forward to getting it."(Dream Project)Great job
Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2 20

◆ Forest surveys and research
Mitsubishi Paper Mills is conducting forest surveys and research with support from experts that include university professors
and members of the Wild Bird Society of Japan. These efforts include surveys of vegetation and wild birds conducted in an
ongoing manner using a Mitsubishi Paper Mills-owned forest (located in Nishigo-mura in the Nishishirakawa District ofFukushima Prefecture).
Preserving biodiversity
Please see
P37(also see pg. 37)

FSC-Certified Forest Supporter Program◆ Environmental seminars

Under this program, companies purchasing FSC certified
products pay a portion of the costs of managing certified forests.
Certified forest managers (local governments) use this money tofoster healthy forests and turn these forests' wood into certified
products.

At the 5th Environmental Seminar, entitled "The gifts from Forests and the Collaboration Between Industry and Nature,"
participants learned about efforts being made to practice sustainable forestry business and came away with a deeper
understanding of the cycles of forests.

The first supporter was Mitsubishi UFJ Kokusai AssetManagement’ s MUAM Forest in Iwaizumicho, Iwate Prefecture.

FSC-certified forest
management costs

Support CSR
activities

Local governments
andforest owners’
cooperative○"Depending on the gifts from Forests — Brewing Sake and Managing Communities," Giichiro Yaegashi, Senkin Shuzo Co., Ltd.

Comments from participants○"The Gifts of Tokyo's Forests", Ryosuke Aoki,

President Giichiro Yaegashi giving a talkon the appeal of the gifts from forests

See Mitsubishi Paper Mills' website for more information.
https://www.mpm.co.jp/fsc/forest/index.html

FSC-certified
wood supply

FSC-certified
product
manufacturing
companies

FSC-certified
product sales

Team to create IWAIZUMI blessing Forest
Mitsubishi Paper Mills Group company Shin-Hokuryo Forest Products Co., Ltd. is a member of the Association for a
Healthy Forestry Industry whose head office is located in Iwaizumicho, Iwate Prefecture. The company participates insustainable forest development activities with FSC certification and contributes to revitalizing the forestry and lumber
industries.

A breath of fresh air for the forestry industry!
President Aoki

6th Environmental Seminar — "The gifts from Forests and Cool Japan"
The event further reinforced in me how forests foster culture and allow for a better future.

As a company that is rooted in the community and that benefits from the gifts of the forest, Shin-Hokuryo Forest
Products works to develop communities with the aim of achieving all possibilities for revitalizing communities throughforestry management. It does this through a number of activities that include creating new value by using hard wood.

○ "Tokyo Olympics 2020 and FSC", Yasunori Iwase, FSC Japan - secretariat○"Echizen Washi Stepping out onto the Global Stage", Hiroshi Ishikawa, Fukui
Prefecture Washi Kogyo CooperativeWeb

Brokering
CSR support

Special Feature 2"The event gave me a better sense of therelationship between people and the forest.
I developed an interest in the relationshipbetween the forest and sake, which isfamiliar, and even got pleasantly
intoxicated.""Using Tokyo's forests as a brand is a
fresh and concrete move that casts off
convention. Very inspiring."

Tokyo Chainsaws Co., Ltd.

Brokering
Support activities

User companies(companies thatpurchase
FSC-certified
products)

Zealous audlence

Comments from participants

Mr. Iwase, furthering the adoption of FSC

Mr. Ishikawa, explaining the potential of
Echizen washi paper"I learned about the relationship between
the Olympics and FSC certification. The
Olympics presents an opportunity to
expand FSC business to more people who
handle paper."
The event taught me the history of washi(Japanese paper), a charming and inspiringstory. I hope they will keep this aspect oftraditional Japanese culture alive."

Eco-friendly FSC-certified products

N — Pearl Card FSC-Certified – MX

In March 2016, our N – Pearl Card flagship brand of special white paperboard, produced at our Hachinohe Mill,
became an eco-friendly FSC-certified product.
This applies to all standing inventory of materials, which isintended for use by the commercial printing industry forthings such as catalogs and pamphlets as well as wide useby the packaging industry, an industry where needs continue
to grow.

Eco-Products 2015
As part of efforts to drive home the importance of forestry
management, we set up a booth at the Eco-Products convention
held at Tokyo Big Sight in December 2015 to tell people about theactivities of the Eco-System Academy with a focus on the cycles offorests.
Visitors to the booth had great things to say about the various
activities we conducted, including measuring the height of trees
and taking a quiz to guess the names of trees that grow in
Mitsubishi Paper Mills-owned forests.

We believe demand will continue to grow across the
spectrum for FSC-certified wood, including demand
prompted by the upcoming 2020 Tokyo Olympics.

Visitors hearing about the Eco-System Academy

21 Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2

Introduction of our environment-conscious products

With a commitment to the continued development andsales of environment-conscious products, the Mitsubishi
Paper Mills Group will contribute to make our society moresustainable.
Mitsubishi Paper Mills Corporate Report 2016 Special Feature 2 22

Business Development of
the Mitsubishi Paper Mills Group

Extensive Technical Expertise and Robust Product Lineup
for Myriad Lifestyles
Since our founding in 1898, we have prided ourselves on our technological focus. During this time, we havedeveloped and provided high added value products and contributed to furthering information culture throughthings such as publishing, printing, and photography.

Mitsubishi Paper Mills Group's Global Operations

Main business facilities around the world

With production facilities in Japan, Germany, China, and Mexico and sales offices in Japan, Germany, theU.S., Hong Kong, and Taiwan, the Mitsubishi Paper Mills Group does business around the world with access tonumerous overseas markets.

Overseas sales ratio 31％

Mitsubishi HiTec Paper Europe GmbH (Germany)
Flensburg Mill
Bielefeld MillA Wide Range of Products to Support Our Information Culture
Since our founding in 1898, Mitsubishi Paper Mills has done
business as a general manufacturer providing high-grade printing
and communication papers.

Mitsubishi Imaging (MPM), Inc.

(Rye, New York, USA)MP Juarez LLC(Juarez, Chihuahua, Mexico)

Forestal Tierra Chilena Ltda.

Zhuhai MPM Filter, Ltd.

(Chile) Afforestation(Zhuhai, Guangdong, China)■ Sales by region (FYE March 2016)■ 地域別売上高（2015 年 3 月期）

A testament to our technical expertise and the high quality of our integrated production system

Europeヨーロッパ
North America
ア ジ ア
Asia
北
米
Japan
日
本
Other regions
その他の地域

Mitsubishi Paper Mills is a distinctive paper manufacturing
company doing business in the field of digital imaging. We selectwood for use as a raw material, produce pulp, produce paper andcoat base paper with resin, apply photosensitive materials, andeverything in between as the world's only paper manufacturer withevery production process.

Madiath thermal platesetter
TGP (Thermal Green Plate) system

We have cemented a global position for ourselves as one of theleaders in the field of inkjet paper, for which we began researchand development in the 1970s, and are also a savvy player in thedomestic printing business. Also, our unique prepress-related
products, developed with feedback from the production floor, havebeen well received.

Our new technologies, continually evolving
Leveraging the synergy between our accumulated array of
existing technologies and our research and development, we are
actively pioneering business in fields that include electronics, theenvironment and amenities, and energy conservation.

Lithium-ion batteries(Battery separators)

Our forward-looking product development spans high function
filters, water treatment membrane supporting bodies, battery
separators, and rewritable thermal recording material that allows
repeated renewal of records, as well as transparent conductive
films for touch panels and rear projection screen films.

23 Mitsubishi Paper Mills Corporate Report 2016 Business Development of the Mitsubishi Paper Mills Group35.4 billion yen
３６7 億円11.2 billion yen
１３０億円
14.4 billion yen
１０5 億円
149.1 billion yen
１,４８1 億円
6.2 billion yen
６７億円

Business Development of
the Mitsubishi Paper Mills GroupWe are also a leading force in the industry for paper used todirectly record and output information. From carbonless paper tothermal paper, we contribute to society by offering the full spectrumof communication papers to satisfy a variety of needs.

Hachinohe MillMPM Operation Co., Ltd.
Shin-Hokuryo Forest Products Co., Ltd.
Kitakami Hitec Paper Corp.
Toho Tokushu Pulp Co., Ltd.
(Kitakami Mill, Oyama Mill)
Takasago Mill

Shirakawa Site,
Process Development Laboratory
Tsukuba R&D Laboratory
KJ Specialty Paper Co., Ltd.
Kyoto Mill, Kyoto R&D Laboratory

Mitsubishi Paper Mills Corporate Report 2016 Business Development of the Mitsubishi Paper Mills Group 24

CSR within the Mitsubishi Paper Mills Group
Basic Policy for CSR Activities

Key Issues (Material Issues) for the Mitsubishi Paper Mills Group
1.We have identified issues important to the Mitsubishi Paper Mills Group based on our basic policy for CSR activities.
2. In recognizing the necessity of distinctive activities that aim to resolve social issues and that are true to the nature of the
Mitsubishi Paper Mills Group, we have established key issues to tackle based on their societal importance and the degree of
impact they have on the sustainable development of the Group.

With the goal of contributing to making society more sustainable, the Mitsubishi Paper Mills Group has
established five basic policies that guide its CSR activities.

1. Strengthening our CSR management foundation

Please see

Basic Policy for CSR Activities Key issues

2. Promoting environmental management

working environment

5. Promoting activities that contribute to society

FY 2016 Activity Results— Also see P. 49

are the top priority issues)

Ensuring the effectiveness of corporate governance3. Raising customer satisfaction levels by carefully addressing user needs
4. Taking further measures to provide our employees with a pleasant(

P49

Establishing a risk management structure

Strengthening our CSR
management foundation

Thoroughly familiarizing employees with our Code of Conduct and Compliance Conduct Standards
Ensuring strict legal compliance
Promoting communication with stakeholders
Expanding initiatives out to afﬁliated Group companies
Promoting activities to prevent global warming

The 7 core subjects of ISO 26000
Organizational GovernanceFair Operating Practices
Environment
Human Rights

Labor Practices

Consumer Issues
Community Involvement andDevelopment

Page

Promoting environmental
management

Raising customer satisfactionlevels by carefully addressinguser needs

P27〜32

Fair Operating Practices

P33

Promoting activities that
contribute to society

Relationship with the Environment

P34〜40Relationship with Employees

P41〜42

Relationship with Customers

Relationship with Communities

P43〜44

P45〜48

Improving and enlarging our environmentally conscious product lineup
Reducing environmental risk and impact

Taking further measures toprovide our employees with apleasant working environment

Corporate Governance

Promoting activities to preserve biodiversity

Ensuring product safety
Ensuring product quality
Rolling out new user-oriented products and building optimal sales channels
Enhancing activities to ensure safety and health
Promoting various measures to improve human resource performance
Promoting community support activities

CSR within the Mitsubishi Paper
Mills Group

Mitsubishi Paper Mills' CSR activities and how they help improve the corporate value, referring to the sevencore subjects of the ISO 26000 international guidance standards (Guidance on Social Responsibility).
The Mitsubishi Paper Mills Group takes its social responsibility as a company seriously and, with a strong
sense of ethics, conducts its business with an emphasis on transparency.

Promoting cultural contribution activities
Promoting activities of the Eco System Academy☆The process for defining key issues (material issues)< 1> Ascertaining the circumstances surrounding the Mitsubishi Paper Mills GroupWe analyzed the social, financial, and environmental circumstances surrounding the Mitsubishi Paper Mills Group andreviewed the actions to be taken against issues identified according to our basic policy.

< 2> Establishing key issues to satisfy the needs of society① We examined our business environment, including progress made towards achieving our business plan, and created ashort list of issues based on importance.
② We looked at the global landscape, industry indicators, and feedback from our stakeholders, thoroughly examined activity
priority, and established key issues where the Mitsubishi Paper Mills Group will satisfy the needs of society.

< 3> Deciding on the top priority issues (highlighted in the table above)
As "earning the trust of our stakeholders by improving corporate value" is currently the issue of highest priority for the
Mitsubishi Paper Mills Group, we have decided on "initiatives to ensure strict legal compliance" and "enhancement ofactivities to ensure safety and health" as our two top priority issues.

25 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group 26

Corporate governance("organizational governance" according to the seven core subjects of
the ISO 26000 standard)With the goal of achieving sustainable growth and improving corporate value, the Mitsubishi Paper Mills

Group promotes management that places an emphasis on CSR and works to enhance transparency ofCorporate governance structure
By taking concrete steps towards achieving each of the matters specified in the Mitsubishi Paper Mills Limited’s Basic Policies
on Corporate Governance, we aim to build a governance structure that satisfies the expectations of our stakeholders and toachieve sustainable growth for the Group while improving corporate value over the medium- to long-term.

management while bolstering its corporate governance.

Basic Policies on Corporate Governance

Overview of Corporate Organizations

CSR Promotion Structure

We have chosen to structure ourselves as a company witha board of corporate auditors. By electing two independent
outside directors and three outside corporate auditors wehave put together a structure capable of fulfilling thefunctions required of the Board of Directors. (As of June 28,
2016)
We have instituted a Nomination and Compensation
Committee that is chaired by an independent outside director
and that acts as an advisory body to the Board of Directors.
An executive officer system is also in place to streamline
the Board of Directors and speed up decision-making.

In order to manage the Mitsubishi Paper Mills Group witha focus on CSR, we have appointed the vice president tobe the CSR Director and have established a CSR
Committee, which is comprised of people from throughout
the Mitsubishi Paper Mills Group and chaired by thepresident. The CSR Committee oversees all nine areas of
the Group's CSR activities (compliance, risk management,
safety and health, the environment, product safety, productquality, human rights and labor, information, and social
contribution), drafts CSR basic policy and annual plans,and deliberates on and reports to the Board of Directors.

The rationale behind the corporate governance system at Mitsubishi Paper Mills is discussed by the Board of
Directors, which then formulates and publishes a basic policy.
Chapter 1: Securing the Rights and Equal Treatment of Shareholders
Sets forth policies concerning General Meetings of Shareholders, capital policy, cross-shareholding, anti-takeovermeasures, and transactions among related parties.

Audit & Supervisory Board(Audit & Supervisory Board Members
and outside Audit &Supervisory Board Members )Executive Committee

Board of Directors(Directors, Outside
Directors)

Accounting Auditors(Auditing company)

Internal Audit Department
Paper Division
Imaging Media Division
Specialty Materials Division
Mills
Head Office Divisions
Affiliated Companies

We have all Group employees in Japan participate in CSR activities and are working to have those activities

understood and promoted.

27 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Chapter 5: Dialogue with Shareholders
Sets forth policies concerning communication with stakeholders, investor relations activities, communicating theresults of dialogue with shareholders to internal departments, managing insider information, and other areas.
(Created October 2015)

Compliance
CSR Committee■ CSR promotion efforts (from 2009 to the present)

Chapter 4: Responsibilities of the Board
Sets forth policies concerning matters such as the role of the Board of Directors, the appointment of andcompensation for executives that include independent outside directors, the chairman of the Board of Directors anddirectors, director training, and succession plans for the president and other executives.

Nomination andRemuneration
Committee

President & C.E.O.

Mill Managers' &Executives’ Committee

Chapter 3: Appropriate Information Disclosure and Transparency
Sets forth policies concerning accounting auditors and means for disclosing information.

CSR within the Mitsubishi Paper
Mills Group

General Meeting of Shareholders

Chapter 2: Considering Interests of Stakehdders
Sets forth policies concerning corporate compliance, issues involving sustainability, diversity, and internal
whistleblowing.

In order to be a company of integrity and fairness that is trusted bysociety, the Mitsubishi Paper Mills Group practices corporate
management with a focus on compliance.
Based on the Code of Conduct of the Mitsubishi Paper Mills Group(enacted in January 2007), we thoroughly maintain legal complianceamong all personnel, from executives to general employees, andensure good corporate conduct by following the Compliance Conduct
Standards, which provide for rules to be observed in our businessactivities.

◆ Compliance training and legal education

Cellular’s card

We provide compliance education to all employees working in Japan through training programs developed based oncompliance infractions that have occurred internally or externally to the company. We also provide legal training twice a year to
instill in employees the importance of knowing the laws that govern our business activities. Training focused on different themes
is conducted by specialized lawyers.

◆ Corporate Ethics Hotline internal whistleblowing system
The Corporate Ethics Hotline is available to all employees working in the Mitsubishi Paper Mills Group. Rules are in place andcareful measures are taken to ensure informants do not receive unfair treatment.
Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group28

Risk Management

Relationship with Stakeholders

The Mitsubishi Paper Mills Group believes that it is important to properly manage the various risks that arise in conducting
business in order to achieve corporate growth and improve corporate value.

To provide our stakeholders with a better understanding of Mitsubishi Paper Mills Group’ s business activities, we arecommitted to strong communication and proper disclosure of information.
Maintaining robust communication through our investor relations activities ensures that we carry out high quality initiatives
aimed at improving corporate value.

We closely examine and manage business environment risks, risks that arise from our business activities, and other risks, froma multilateral viewpoint.
We are currently working to bolster our risk management structure, which includes the involvement of affiliated companies,
with a focus on preparing a risk management structure and improving our risk matrix as part of Group management.

◆ Dialogue with stakeholders◆ Preparing a Crisis Management Manual (revised January 2016)
Along with preparing communications equipment for maintaining contact in emergencies, we have revised our Crisis
Management Manual and are finalizing our contact system.

◆ Preparing Information Management Regulations (created March 2016)
Companies have the need to properly use, protect, and dispose of the information they handle, which includes personal
information and trade secrets.

Product explanation

Analyst briefing

Dialogue with employees (Safety and Health Conference)

Dialogue with customers (Head Office gallery in Ryogoku)

To ensure robust information management, we have reviewed our management policy from a holistic perspective and have
prepared a guideline for the handling of information along with establishing the Information Management Rules.

We ensure conduct that complies with the law and is in accordance with corporate ethics with respect to the following majorrisks.

Legal violation risk
Code of Conduct of the Mitsubishi Paper Mills Group

Safety and health risk

Compliance Committee convened twice a year

Group-wide Safety and Health

Environmental risk
Environmental Charter (see p. 34)

Management Guideline (see p. 41)
Safety and Health Committees convened
monthly at mills, etc.
Group-wide Safety and Health Committee
convened annually

Environment Conservation Committees
convened monthly at mills, etc.
Group-wide Environmental Conservation
Committee convened twice a year

Product safety risk

CSR within the Mitsubishi Paper
Mills Group◆ Addressing major risks

Communication with shareholders
To ensure that shareholders have sufficient time to consider the agenda for general meetings of shareholders, weannounce and mail out convocation notices early (an online announcement is made 27 days prior to the meeting date, andnotices are mailed out 25 days prior to the meeting date), and notices are also translated into English.
At general meetings of shareholders, we make every effort to ensure shareholders come away with a better understandingof the Mitsubishi Paper Mills Group. This includes incorporating video to ensure information is conveyed plainly, and allotting
ample time for questions and answers with shareholders.

Product Safety Code (see p. 43)
Product Liability (PL) Committee convened twice a year
Mill audits conducted annually◆ Drafting business continuity plans (BCP)
To strengthen the trust placed in us by our stakeholders, the Mitsubishi Paper Mills Group believes it is essential to improve its
ability to respond to emergencies.
We will put in place an effective risk management structure informed by our experiences in recovery activities for damage
caused by the Hanshin-Awaji and Great East Japan earthquakes.
151st Ordinary General Meetingof Shareholders

29 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group30

Relationship with the Environment

Fair operating practices(Environment, one of the 7 core subjects of ISO 26000)(Fair Operating Practices, one of the 7 core subjects of ISO 26000)

We promote responsible and ethical conduct in accordance with the Code of Conduct of the Mitsubishi Paper

Mills Group.

Web

See Mitsubishi Paper Mills'
website for more information.
https://www.mpm.co.jp/eng/company/kensyou.html

The Mitsubishi Paper Mills Group intends to make an active contribution to the protection of the global

environment and the creation of a sustainable society. To this end, the Group will not only strive to help prevent
global warming and preserve biological diversity, but also to earn the trust of all its stakeholders through the useof sustainable forest resources.

President

Fair Competition
The Mitsubishi Paper Mills Group works to make employees more legally-minded through awareness-raising initiatives that
include holding internal seminars conducted by specialized lawyers and our Compliance News newsletter, published every othermonth. In keeping with our focus on ensuring fair and free competition in our business practices, we studied the competition laws
and prepared an Antimonopoly Act Compliance Manual so that we can act appropriately in the workplace.

Preventing Corruption
Mitsubishi Paper Mills' Compliance Conduct Standards prohibit the following business activities that may result in the
degradation of society, entertaining or giving gifts to civil servants (including low-ranking civil servants), and giving benefits toofficials in foreign governments and public organizations.

Responsible Raw Material Procurement

How we verify the legality and appropriateness of forest management
We use one of the two methods below to verify that all wood chips and wood pulp used in the production of FSC-certified paper
comes from forests that are legally and appropriately managed.
1. Certification using the forest certification and COC certification systems (FSC-certified wood)
2. Certification via the methods of individual companies or organizations (controlled wood)
In 2. above, we verify that wood is controlled in accordance with FSC Controlled Wood Requirements (FSC-STD-40-005 (V2-1)).
We use the following methods for verification.
◎Verification of the place of origin of woodchips and pulp
・Confirmation of the place of origin, wood type, forest management methods, etc. from traceability reports
・Confirmation of documentation certifying the place of origin (e.g. documents related to transport and sales)
・Regularly auditing suppliers and verifying document reliability◎Risk assessment
・Assessing and verifying that places of origin of wood constitute a low risk with respect to A) through E) below.
A) Illegal logging
B) Violations of indigenous rights and citizens' rights
C) Threats to high conservation-value forests
D) Turning natural forests into man-made forests or using them for other purpose
E) Genetically modified trees
・Receiving audits of risk assessment results by an FSC certifying body

FSC-certified wood
39%

0

20

FSC-controlled wood
61%

40

60

80

Chile
36%

100%

0

20

Australia
13%

Other
16%

40

60

100%

Disavowal of Anti-social Elements
The Mitsubishi Paper Mills Group maintains a resolute stance against anti-social elements that threaten social order and safety.
This stance is set forth in the Code of Conduct of the Mitsubishi Paper Mills Group, and executives, employees, and othercompany-related persons are made fully aware of the content of the code.

33 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills GroupThe Technology & Environmental Department conducts
internal environmental audits once a year for each of ourmain mills and checks the level of its environmental
performance.

●Fundamental Principles

Research HubMill

Affiliated Company

Branch Manager

Mill Manager

President

Legal Manager
Environmental
Management Division

Environmental
ManagerMill Environmental
Conservation Committee
Special Subcommittee(s)Environmental Charter

The Mitsubishi Paper Mills Group intends to make an active contribution to the protection of the global
environment and the creation of a sustainable society. To this end, the Group will not only strive to help prevent
global warming and preserve biological diversity, but also to earn the trust of all its stakeholders through the use ofsustainable forest resources.

●Basic Policies
1. Promote measures to counter global warming
2. Protect and nurture forest resources, with appropriate care given to the preservation of biological diversity
3. Promote the sustainable use of resources
4. Develop environmentally friendly production technologies and products
5. Enhance environmental management systems
6. Enhance environmental communication
7. Appropriate emergency response
Revised July 2010

1.Management of chemical substances used in the manufacturing process

Japan
35%

80

The Mitsubishi Paper Mills Group has acquired ISO
14001 certification for all of its mills and business offices aspart of its efforts to practice good environmental
management.

Environmental Conservation
Committee

Technology &Environmental Department

Chemical Substance Management Guidelines (excerpt)■ Wood chip producing countries■ Types of wood raw materials

We are building a structure with voluntary initiatives tospecifically promote the fundamental principles and basic
policies of our Environmental Charter.

Environmental Director

CSR within the Mitsubishi Paper
Mills GroupWe verify that all wood, woodchips, and wood pulp used to make FSC-certified products come from forests that are legally andappropriately managed.

Environmental Management Structure

We aim to minimize the impact of chemical substances used in the manufacturing process on the environment,
people, and organisms. To this end, we control chemical substances in the procurement, storage, production,
emission, and disposal processes in accordance with the Law concerning Pollutant Release and Transfer Register("PRTR Law").

2. Management of the constituent chemicals of products

We aim to offer safer products by conforming to the basic principle of "never creating products using highly
hazardous substances or substances that have a significant impact on the environment, people's health, or
ecosystems." We manage the chemical substances contained in products in accordance with internal chemicalsorting standards.
Revised January 2012
Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group34

Efforts to Prevent Global Warming◆ Logistics segment initiatives

Mitsubishi Paper Mills Group believes that it is important for companies to adapt to climate change in the course of conducting
their business, and therefore identifies risks in its procurement and various other business activities as part of efforts to prevent
global warming.

◆ Manufacturing segment initiatives
Reducing fossil fuel energy usage
To reach its target of achieving CO2 emissions of 1,016 thousand tons or less by fiscal 2016, the Mitsubishi Paper Mills
Group made efforts to reduce CO2 emissions from fossil fuels. As a result of environmental conservation efforts that included
optimizing the types of energy used and deploying related equipment, we achieved this target with a result of 956 thousand
tons of CO2 emitted in fiscal 2015.

CO2 emissions and production

Emissions(thousand tons)

Production(thousand tons)
1,000

1,500
◆

◆

◆

◆

800
◆

1,000

970

928

943

944

956

600

200
0

0

FY 2012FY 2013
FY 2014
CO2 emissions◆

FY 2015
Production

FY 2016(data for Mitsubishi Paper Mills, Kitakami HiTec Paper Corporation, and KJ Specialty Paper)
The graph below shows the types of energy used in our business activities.
We are continually developing ways to reduce our usage of fossil fuels, which produce emissions that contribute togreenhouse gases.

Namitsu has acquired Green Management Certification at its main facilities and is reducing the level of CO2 emitted by its
trucks during transport.
Ongoing efforts that include the use of start-stop systems improve fuel efficiency and cut down on fuel usage.

1 Green Management Certification：Aimed at reducing the environmental impact of the transport industry,
this involves auditing and registration by the Foundation for Promoting Personal Mobility and EcologicalTransportation of businesses that have reduced the environmental impact of their operations by a certain degree inaccordance with the Green Management Promotion Manual.
＊

Eco Rail Mark Certification
Under the Eco Rail Mark system, companies or products are certified andallowed to use the Eco Rail Mark if they use a certain volume of eco-friendly rail
freight transport. Usage of the mark offers consumers a standard for making
decisions.
Mitsubishi Paper Mills acquired Eco Rail Mark certification in October 2010,
becoming the first to do so in the paper industry. Since then, we have contributed
to global environmental conservation through the dissemination of the Eco RailMark.

◆ Initiatives in the office areas and in
the home

Conserving energy used by officebuildings

We work to preserve the global environment bypromoting the conservation of energy used in our
office areas of our buildings.

Monitoring electricity usage using
demand monitoring devices

Types of energy used

To control peak energy usage in the summer andwinter, the Tsukuba R&D Laboratory has installed
demand monitoring devices in its offices and uses
them to keep track of electricity usage.

FY 2016（KWh）

Electricity usage

400,000■ Electricity usage

380,000

CSR within the Mitsubishi Paper
Mills Group

400

500

Green Management Certification ＊１

360,000
340,000
320,000
300,000

2014

2015

2016

(FY)

Total for Head Ofﬁce / Ryogoku City Coreand the Filter Products Department (Yashio)

Promoting participation in thehousehold environmental
accounting booklet program

FY 2006

0

5,000

10,00015,00020,00025,00030,000

Energy consumption (TJ)
■ Fossil fuels■ Purchased electricity■ Renewable energy■ Energy from waste(data for Mitsubishi Paper Mills, Kitakami HiTec Paper Corporation, and KJ Specialty Paper)

35 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

The Mitsubishi Paper Mills Group promotes
participation in the household environmental
accounting booklet program.
We encourage a better understanding of theimportance of global environmental conservation
among our employees by having them track theCO2 emitted by their households.

Demand Monitoring device

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

36

Preserving Biodiversity

Effectively Utilizing Resources

Wood is the primary raw material used in our business. The Mitsubishi Paper Mills Group believes it is important to effectively
use the bounties given by forests with their rich ecosystems as renewable resources and to revitalize forests through ourbusiness activities. By carefully protecting and nurturing forests, we strive to preserve biodiversity and will contribute to making
society more sustainable.

◆ Effectively utilizing waste paper◆ Sustainable forest development
Preserving the Rich Ecosystems of Forests

The Mitsubishi Paper Mills Group is promoting initiatives to protect rich ecosystems through its business activities.
We are paying full respect to the ecological system of the regions and company-owned forests that supply our raw
materials, both in Japan and elsewhere. We do not over log the wood that is our main raw material and, furthermore, we strive
to preserve the endangered species and precious flora and fauna that inhabit these regions.

Vegetation survey

In the forests we own in Fukushima Prefecture, we have vegetation surveys conducted by the Wild Bird Society of Japan anduniversity faculty members as a means to help preserve ecosystems.

Birds that come for tree fruits and nuts in company-owned forests (Nishigo-mura, Fukushima Prefecture)
Bush warbler

Bottle tit

Orientalgreenﬁnchr

Rufousturtledove

○

○

○

○

○

○

○

○

Willow tit

Japanese
great tit○○○

Coal tit

Brown-earedbulbul○○○Japanese
white-eye○○○(sap)

○

○

○

○

○

○

Concept for forests inhabited by wild birds
Company-owned forests(Nishigo-mura, Nishishirakawa District, Fukushima)

Creating birdwatching areas

Initiative For Biodiversity (JBIB )We make effective use of the waste produced at our mills by reusing it as cement material, for example.

Artificial backfill (brand name: Reglobe)
We make effective use of things such as recycled boiler ash(papermaking sludge, etc.) and coal ash produced at our mills, which
is a Type 1 Improved soil that is at least 70% recycled material.
We meet the standards indicated in such regulations as theOrdinance for Enforcement of the Soil Contamination
Countermeasures Act and the Environmental Standards Concerning
the Pollution of the Air, Water, and Soil by Dioxins, and have received
Eco Mark certification. (No. 14131006)

With the cooperation of the Wild Bird Society of Japan, Mitsubishi
Paper Mills conducts surveys of the wild birds that inhabit
company-owned forests and has begun creating birdwatching areas
which incorporate mountain streams that flow through these forests.

Our Participation in the Japan Business◆ Pallet recovery rate
The Mitsubishi Paper Mills Group uses a pallet recovery
system to recover pallets used for transport and reuses thesepallets.

The JBIB is a group of companies actively working towards preserving
biodiversity.
Mitsubishi Paper Mills has participated in JBIB activities since fiscal
2011, deepening relationships with companies undertaking advanced
environmental initiatives while engaging in forest preservation activities
focused on maintaining biodiversity.

（％）

In October 2015, we gave JBIB members a tour of a company-owned
forest in Fukushima Prefecture.

50

The Eco-System Academy provided information on the company's
activities and through the tour of the forest; the participants were able toexperience the richness of the forest's ecosystems, making the one-day
event a reminder of the importance of preserving biodiversity.

37 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Waste paper plant (Hachinohe Mill)

Varied tit○○○

Jungle crow

◆ Waste recycling

CSR within the Mitsubishi Paper
Mills Group

Mountaincherry tree
Japanese
sumac

Great spotted
woodpecker

At our waste paper plant located at the HachinoheMill, we use waste simili vellum and colored waste
paper, among others, that is generated primarily inTokyo and areas around the mill.

Additionally, we strive to increase our usage of waste by developing ways to turn incineration ash from waste boilers into suchthings as soil stabilizer, sand-blow preventing materials, and weed control materials.

Trees that grow, and birds that have been observed, in the forests we own

Japanese
red pine
Quercusserrata
Mistletoe

Mitsubishi Paper Mills produces recycled paper fromrecycled waste paper and post-consumer waste paper.

100

Pallet recovery rate

68.6

67.1

FY 2014

FY 2015

70.1

TOPICS
The Mitsubishi Paper Mills Labor Union (Young
Women's Committee) conducts PET bottle capcollection activities.
Collected caps are put to good use by exchanging
them for vaccines through a nonprofit organization.
(In fiscal 2016, enough caps were collected toprovide 26.3 people with polio vaccines)

0

FY 2016
Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group38

Ecobalance(Statistics include: Hachinohe Mill, Kyoto Mill, Takasago Mill, Tsukuba R&D Laboratory, Shirakawa Ofﬁce and three Group production companies)■ Resource investments
Primary raw materials (1,000 tons)

Atmospheric release

777

948

397

CO2 emissions
NOx emissions(1,000 tons)

Domestic wood chips(1,000 Nm3)

910

Purchased wood chips

35

SOx emissions(1,000 Nm3)

223

Used paper

43

Dust and soot(tons)

405

Inorganic pigments

63

Three mills
One business office

Energy (1,000kl crude oil equivalent)
40

Biomass

338

Refuse-derived fuel41

Municipal water

KJ SPECIALTY PAPER
Toho Tokushu Pulp

Industrial water

127

No.

7,051

SS

(tons)

3,730(1,000 tons)

Waste generated

99

Amount repurposed

84

Final disposal amount8

Products soldCO2 emitted(1,000 tons)

Wastewater(1,000 tons)(1,000 tons) 843
37

Sensitive materials (million m2)
Wood pulp(1,000 tons)

64

Units: kg/year (mg-TEQ/

PRTR-applicable substances emitted/transferred (FY 2015) year in the case of dioxins)

Class 1 Designated PRTR substances

Ordinance no.

Amount emitted
AtmosphericFossil fuel energy
consumption rate

GJ/product-ton

14,818

10,596

10,52811,085

13.9

11.8

11.8

12.1

- Fossil fuels+ purchased electricity
12.1 FY 2021 target

125

124

123

125

-

Wastewater

Million tons

-

123

123

124

-

CO2 emitted※1

1,000 tons

Municipal water used Million tons

1,130

943

944

956

NOx

3

1,000 Nm

1,076

878

849

910

SOx

1,000 Nm3

247

265

263

223

-

356

406

-

1,016 FY 2016 target-

soot and dust

Tons

444

322

COD

Tons

7,717

6,359

6,763

7,051

-

SS

Tons

3,417

3,599

3,738

3,719

-

Waste generated

1,000 tons

120

95

91

99

-

8

-

Final disposal amount 1,000 tons
Final disposal rate※2

Percentage vs.
amount produced

15

10

8

1.40%

1.09%

0.95%

0.86% 0.30% FY 2021 target※1 We use the CO2 emissions coefficient published by the Federation of Electric Power Companies of Japan for CO2 emitted from purchased
electricity.
※2 Final disposal rate = (final disposal amount/amount produced) x 100(Statistics include: Hachinohe Mill, Kyoto Mill, Takasago Mill, Tsukuba R&D Laboratory, Shirakawa Ofﬁce,
Kitakami HiTec Paper, and KJ SPECIALTY PAPER)

Paper

42
2,005

Chemical Substances Control■ PRTR Data

(tons)

Fossil fuels consumed TJ

Notes

Amount transferred

Water systems Sewer system■ Environmental Accounting
Statistics include: Mitsubishi Paper Mills (Head Office, Tsukuba R&D Laboratory, Takasago Mill, Kyoto Mill, Hachinohe Mill,
Shirakawa Office), Kitakami HiTec Paper, and KJ SPECIALTY PAPER
Applicable period: April 1, 2015 - March 31, 2016
Statistical method: Based on the 2005 Environmental Accounting Guidelines from the Ministry of the Environment■ Environmental conservation costs

Off site

Units: million yen

Categories

Primary initiatives

Investment Cost

1 Ferric chlorides

71

0

0

0

0

2 Silver and water-soluble silver compounds

82

0

0

0

0

3 Chloroform

127

21,800

4,300

0

0

4 Cyclohexylamine

154

0

0

0

0

5 2,2-dibromo-2-cyanoacetamide

210

0

796

0

7.5

3. Resource Circulation costs

80 1,029

6 Dioxins

243

2.0

0.42

0

14

Countermeasures against waste products, recycling of used paper and otherproducts

7 Triethylamine

0

0

0

Recovery and recycling of container and packaging materials

347

2,300

(2) Upstream, downstream costs

347

277

59

300

2,955

0

0

7,629

Environmental education, environmental management system, acquisition ofcertifications

4

8 Toluene(3) Administration costs

9 Hydrazine

333

0

0

0

0

(4) R&D costs

Development of environmentally conscious products

0316

10 Hydroquinone

0

0

230

0

(5) Social activity costs

Greenification, beautification, disclosure of environmental information

28

30

336

Monetary charges for pollution-related health damage

047

11 Boron and boron compounds(6) Environmental Remediation costs

405

0

0

310

0

12 Formaldehyde

411

237

0.6

59

2.1

13 Methylnaphthalene

438

270

0

0

0

■ PCBs(Statistics include: Hachinohe Mill, Kyoto Mill, Takasago Mill, Tsukuba R&D Laboratory, Shirakawa Ofﬁce, Kitakami HiTec Paper)

The detoxification of hardware (transformers and capacitors) containing high concentrations of PCBs is outsourced to theJapan Environmental Storage & Safety Corporation (JESCO). Forty-one capacitors were rendered harmless in fiscal 2016 androughly 77% of transformers and capacitors that have been pre-registered have been detoxified to date.
We will continue practicing proper management in accordance with regulations.
*We are also gradually processing hardware (stabilizers) other than transformers and capacitors that contain high concentrations of PCBs.

（1）Business Area Costs
1. Pollution prevention costs

CSR within the Mitsubishi Paper
Mills Group【Reference data only】Two mills in Germany
Purchased wood pulp (1,000 tons) 141
Used paper(1,000 tons)
0
2,665
Municipal water (1,000 tons)

COD

Waste

(million tons)

126

Waste

Purchased electricity

Amount released (million tons)

Kitakami HiTec Paper

249

Fossil fuels

Released into water

Tsukuba R&D Laboratory

quality

Imported wood chips

FY 2016 environmental impact data
FY 2006 FY 2014 FY 2015 FY 2016 Target
results results
results results

Atmospheric Water

Mitsubishi Paper Mills Group(domestic)■ Environmental emissions■ Environmental impact data

Resources"Resource inputs" refers to the raw materials and energy used in paper production, while "environmental emissions" refers tothings emitted when paper is produced.
Figures from Mitsubishi HiTec Paper Europe GmbH (two mills in Germany: the Bielefeld Mill and the Flensburg Mill) areprovided as a reference but are not included in the total for the Mitsubishi Paper Mills Group as environmental regulations differ
in Germany.

Environmental Indicators

191 2,319
Countermeasures, etc. against air pollution, water pollution, odor pollution,
noise pollution, vibrations pollution

2. Global environment conservation costs Measures, etc. for domestic afforestation, overseas afforestation, and energy
saving measures

Total

40

Details of benefits

Units: million yen

Yen amount

Revenue

Benefits from reused palettes

572

Costsaving

Profits from sale of repurposed resources

19

Costsaving from energy efficiency

54

Costsaving from increased resource yields

62

Total

0

570 3,118■ Economic benefits accompanying environmental conservation measures
Category

71 1,290

707(Statistics include: Hachinohe Mill, Kyoto Mill, Takasago Mill, Tsukuba R&D Laboratory, Shirakawa Ofﬁce)

39 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group40

Relationship with Employees(Human Rights and Labor Practices, 2 of the 7 core subjects of ISO 26000)

The Mitsubishi Paper Mills Group is paying continuous efforts to improve working environments that fully

leverages the abilities of every employee and make them feel comfortable and fulfilling based on our“Principles and Guidelines Concerning Human Rights and Labor Practices.”

Occupational safety and health initiatives
In accordance with our Group-wide Safety and Health Management
Guideline, which incorporates our guiding principles concerning safety
and health, we are also making efforts as a unified group from theviewpoint of CSR.

Principles and Guidelines Concerning Human Rights and Labor
Principles:

To respect the personhood of every employee, make safety the top priority in the workplace, fully leverageeach person's abilities, and create comfortable and fulfilling work environments.

Guidelines:
1.Respect human rights and forbid discrimination

We shall work to maintain wholesome work environments, respect the human rights of every employee,never engage in sexual harassment, power harassment, or other practices that ignore human rights, andnever take actions that are discriminatory on bases that include one's birth, nationality, race, ethnicity, religion,
gender, age, disabilities, or academic background. We shall never engage in child labor or forced labor. We
shall also ensure the proper handling of our employees' personal information in accordance with the Act on
the Protection of Personal Information.

2.Ensure workplace safety and healthWe shall make safety and health the top priority in the workplace, work to maintain safe and healthy work
environments, and know and comply with the Industrial Safety and Health Act and related laws.

The Group-wide Safety and Health Management Guideline (excerpt)
forms the ideological foundation for many of our activities.
The Group-wide

We shall strive to maintain comfortable and wholesome work environments in compliance with the Labor
Standards Act and related laws.
Created July 2009

※Mental health checkups and external consultation service
Under revisions to the Industrial Safety and Health Act that went into effect on December 1, 2015, employers are
required to provide stress checks to their employees. In response, the Mitsubishi Paper Mills Group is making a
concerted effort to create a structure for conducting stress checks and offering health consultations, including formental health.

Efforts to create comfortable working environments

CSR within the Mitsubishi Paper
Mills Group

With the view that the safety and health of all people involved in the business activities of the Mitsubishi
Paper Mills Group takes top priority, we will foster a corporate culture where people can feel good about
working and achieve wholesome work environments where none come to harm.

3.Comply with labor laws

Achieving comfortable work environments and a good work-life balance contributes not only to healthier, more prosperous
lives for employees but also makes the company more competitive. Out of a desire to give the Group more vitality and make it afulfilling place to work, we are undertaking a number of initiatives.

◆ Regular program reviews done in conjunction with our labor union
Safety training(Zhuhai MPM Filter, Ltd.: China)

FY 2016（Ended 2016.march 31）Results
In light of the accidents that occurred last fiscal year, in fiscal 2015 we took measures that prioritized effectively educating
employees engaged in work in which they have little experience in order to stamp out accidents arising from unsafe practices.
As a result, although we cut down the number of accidents overall, a rise in the number of lost time accidents led to a worse
lost time accident rate.

Achievements madeReceived Safety Commendation at the 55th National Paper

Pulp Safety and Health Conference

・Excellence in Safety Award Mitsubishi Paper Mills' Kyoto Mill

41 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Together with our labor union, we hold regular meetings of a specialized committee to review human resource programs andhold labor-management discussions on creating better programs. Meetings focus on issues such as wages, retirement benefits,
the taking of annual paid leave, hours being worked, the reemployment situation, and work-life balance.

◆ Work-life balance initiatives
To tackle the recent problem of children on waiting lists for day care, we extended the childcare leave period to allow all
employees to have two opportunities to get their children into a childcare facility in April.
We have also extended the period during which employees can work shortened hours to provide care for a first grader to theend of the school year. This is to help with the "first-grade wall" problem, which refers to how it becomes difficult to getmorning-to-night childcare for children coming out of nursery school and going into first grade.
In addition, we have created an action plan to ensure compliance with the Act on Advancement of Measures to Support Raising
the Next Generation Children and the Act on Promotion of Women's Participation and Advancement in the Workplace. We havealso reduced overtime work through efforts to inform employees of work-life balance programs and better management of working
time, and are working to improve female employment and retention rates.

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group42

Relationship with Customers(Consumer Issues, one of the 7 core subjects of ISO 26000)

In order to provide customers with products they can feel good about, we formulated a Product Safety Codeand are proceeding with efforts to improve product safety.

We will continue to actively work with our customers to provide products that benefit society.

Creating products that incorporate customer feedback
In the Mitsubishi Paper Mills Group, sales departments have joined forces with R&D and production departments to provide
products that satisfy the needs of customers around the world.
Our R&D and production personnel accompany sales staff and gather feedback from customers as we, a corporate group thatis consistently on the cutting edge of technology, make continuous efforts to create products that benefit the world at large.

Quality control system
At each of our mills, we use a quality control system thatputs mill managers in charge of quality control and that lets
us quickly respond to quality issues and information from ourcustomers.
All of the production facilities of the Mitsubishi Paper Mills
Group have acquired ISO9001 certification and are working
to maintain and improve product quality.
Product brieﬁng (Printing Paper Business Unit)
International printing and media trade fair
(Drupa 2016, held in Düsseldorf, Germany)

Product safety control system

The products the Mitsubishi Paper Mills Group provides are made from materials proven to be safe.

PICTORICO PHOTOCONTEST 2015-2016
At an exhibition for prize-winning pieces

Product Liability (PL) Committee

Legal compliancemeasures

TOPICS
Printing plate production system using
a direct thermal system

Product Liability (PL) Subcommittee

Negotiations withoutside parties

Education

Along with swiftly obtaining information about new regulations and toxicity, all departments involved share information witheach other and conduct thorough safety inspections of materials used.
We will contribute to the betterment of society by continuing to provide eco-friendly, safe products that customers can feel
good about using.

Responding toconsumers

Product safetyassurance

Product Safety Code
Mitsubishi Paper Mills believes that the role of a company in society is to provide safe and useful products alongwith satisfying services to customers, and we have utilized our excellent technology to provide safe products tosociety.
From here on, we will steadily implement the following actions throughout the entire company in order to maintainstable management and continue providing society with safe products and satisfying services that meet the needsof the time.
(1) We will strengthen our quality control systems and product safety control systems, and provide products after
their safety has been checked using the latest science and technology.
(2) We will work to stabilize the manufacturing process to always provide products of uniform quality.
(3) We will provide accurate and reliable information on the correct way to use products and the safety of products.
Created March 1995

43 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills GroupCSR within the Mitsubishi Paper
Mills Group

Encouraging the worry-free use of our products

With the goal of actively promoting specific product safety
initiatives, we have established the Product Liability (PL)Subcommittee and Product Safety Judgment Panel under
the larger Product Liability (PL) Committee.

Product Safety Judgment Panel

China International Battery Fair
(CIBF 2016, held in Shenzhen China)(TDP: Thermal DigiPlate System)

Awarded the Japan Machinery Federation
Chairman's Award
We received the Japan Machinery Federation Chairman's Award in
fiscal 2015 for our direct thermal imaging printing plate production
system. The award was granted as part of a superior energy-saving
machine awards program conducted by the Japan Machinery Federation.
This award is given to organizations that "contribute to promoting theeffective use of energy through the development and commercializationof superior industrial energy-saving machines."
The printing plate production system using direct thermal imaging that
we developed does not require development using the kinds ofchemicals that are needed for conventional systems. Moreover, it does
not require ribbons, toners, or other consumable parts; they have an
extremely small impact on the environment.
Mitsubishi Paper Mills will continue to develop its own technologies
while working to bring society more in harmony with the global
environment.

ＴＤＰ-７５０

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group44

Relationship with Communities(Community Involvement and Development, one of the 7 core subjects of ISO 26000)
At each of the business sites in the Mitsubishi Paper Mills

Group, we engage in proactive communication with community

members and aim to grow together with everyone as a company
rooted in the community.

◆ Community support
In addition to actively participating in community events,
our sites welcome and deepen our interaction with
community members through efforts that include allowing
our facilities to be used free-of-charge for events and offering
mill tours.
Our Takasago Mill participates in the Takasago lantern

We will keep working to revitalize communities through thefestival and provides a company facility as a venue for jazzconcerts and other events.

continuation of our business activities.

The Uomachi Club, all lit up(Lantern Festival in Takasago)

Lending a tree planting company's unused land to local governments

Employees from Mitsubishi HiTec Paper Europe GmbHhave helped run a Kendo tournament smoothly in thecompany's home city, Bielefeld.

In response to a request from the municipal government of Cañete, Chile, Forestal Tierra Chilena Ltda. (a Mitsubishi Paper
Mills tree planting company located in Cañete) provides one area of its woodlot to the city free of charge.
The area is an important historical site, where a battle was fought between the Spanish army and the indigenous people ofChile in 1558. Preservation of this site contributes to the country's cultural initiatives.

Communication with Community Members
As members of their communities, every business site in theGroup proactively participates in local activities and furthers
communication with every community member.

Explanatory Meeting on the State of Operations(Shirakawa Site, April)Community Gathering(Kitakami HiTec Paper Corporation, December)
Environmental Monitoring Meeting(Hachinohe Mill, November)

Explanatory Meeting on the State of Operations (Shirakawa Site)

Lending of land to Cañete (the ceremony, the land being lent, and the plaque)Participation in Fuji Beech Forest Development Projectetc.

Every year, KJ Specialty Paper takes part in Fuji Beech Forest
Development Project, which began as an effort to preserve nature at thebase of the mountain.
10 people participated in fiscal 2016, planting 2,000 beech saplings.

◆ Taking in students for workplace
experiential learning

Each of our business sites regularly takes in local students looking toexperience life in the workplace.
The students use these opportunities to learn about the actual
knowledge and skills needed to succeed.

CSR within the Mitsubishi Paper
Mills Group◆ Dialogue with community members

Mt. Akazura Greening Society
Shirakawa Site, Hakuryo Paper Technology Co., Ltd., MPEC
Shirakawa, and the Process Development Laboratory
Mitsubishi Paper Mills' Shirakawa Site has endorsed and taken part inafforestation activities aimed at restoring greenery to a development siteat the base of Mt. Akazura (Nishigo, Fukushima Prefecture), an effort
organized by the Mt. Akazura Greening Society.
We will continue offering our support to restoring greenery on Mt.
Akazura.

Group company Ryoshi Co., Ltd. took in local middle
school students and taught them about the work done bysports clubs through the cleaning of facilities andparticipation in exercise programs.

Social Contribution - Direction of Activities

Participants in Fuji Beech
Forest Development Project● Environmental protection: We will contribute to the creation of a recycling society to maintain our precious global
environment.
→Our efforts to conserve the global environment include supporting FSC®-certified forests, supporting thinning, etc.
with the cooperation of NGOs, and protecting the environment through our business activities.
● Living alongside local communities: We are strengthening our social contributions rooted in local communities.
→Mills and offices play key roles actively engaging in local community activities and contributing to their development.
● Supporting volunteer activities: We support voluntary social contributions by our employees.

Created January 2008
Employees taking part in the Mt. Akazura Greening Society's afforestation efforts

45 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group46

Support of a Coming of Age Day event◆ Photo printing service

Namitsu supported a raffle as part of Fukushima Ward's
Coming of Age Day Memorial Gathering, which was held inJanuary 2016.

Leveraging the technologies of Mitsubishi Paper Mills' imaging
business, we offered photography and printing services to an event
held in Kyoto where our Kitakami HiTec Paper Corporation and Kyoto
Mill are located.

Through efforts such as these, we will continue to strengthen
relations with community members and grow with the community.

Community cleanup activities

We will continue to deepen relations with community members andcontribute to revitalizing communities.
Coming of Age Day Memorial Gathering

Kitakami Tenshochi Sakura Festival (Kitakami HiTec Paper
Corporation)
Iwate Kitakami Marathon (Kitakami HiTec Paper Corporation)

Every one of our business sites regularly takes part in efforts tobeautify and clean up the surrounding areas, promoting efforts with
community members to make comfortable towns.

Nagaokakyo Garasha Festival (Kyoto Mill)One such effort was a cleanup campaign in October 2015 byNamitsu to beautify public spaces in preparation for the Osaka
Marathon organized by the Osaka City Environment Bureau.

In the children’ s Tama and Tadaoki Costume Area at
the Nagaokakyo Garasha Festival (photo shoot and print service)◆ Nacre (tissue and toilet paper)

Beautifying public spaces(Namitsu)

Produced at Kitakami HiTec Paper
Corporation, nacre is a rare product in the world
today. It is rare because all the production
processes, from the wood chips, which are theraw material, to the finishing of the final product,
are done in one factory.

Neighborhood cleanup(KJ Specialty Paper Co., Ltd.)River cleanup(Shirakawa Hokkawa River Protection Society, Genryu no Sato)*In recognition of its urban revitalization achievements as a company rooted in the community, Kitakami HiTec Paper
Corporation was recognized as a Certified Kitakami Regional Contributor by Kitakami City and the Kitakami Citizens
Cooperative in March 2016.

Neighborhood cleanup(Toho Tokushu Pulp Co., Ltd.'s Oyama Mill)CSR within the Mitsubishi Paper
Mills Group

Roughly 85% of hard wood pulp used tomake nacre is produced in Iwate Prefecture
where the factory is located. Very soft to thetouch, it is a highly acclaimed product useful inpeople's lives as a daily necessity connected to
the local history and culture.

Making use of our business activities◆ Braille Calendar

Philanthropic Expenditures

Our 2016 issue of the Braille Calendar marks the 20th year since thepublication was launched in 1997.

Mitsubishi Paper Mills is a member of the Keidanren 1% Club and reports the results of our social
contribution activities annually.

The publication, which features unique content every year, has been wellreceived by donation recipients such as social welfare organizations and theJapan Braille Library, as well as the visually impaired who use it.
2016 Braille Calendar

Expenditures on social contribution activities(10,000 yen)
6,000

Other

◆ Shodo Performance Koshien
Our Hachinohe Mill provides paper to help local high schools competing for
the Shodo Performance Koshien, a high school calligraphy competition held in
Ehime Prefecture.

Breakdown of expenditures on social
contribution activities（2016FY）
Social welfare

Regional activities/
culturalpreservation

4,000

Environmental
2,000

At the competition in fiscal 2014, Aomori Prefectural Hachinohe Higashi HighSchool won the Nankai Broadcasting Award.

Culture/arts

Academics/
research/
education0

2011

47 Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills GroupIn the act of creation(Hachinohe Higashi High School)

2012

2013

2014

2015

2016
(FY)

Mitsubishi Paper Mills Corporate Report 2016 CSR with in the Mitsubishi Paper Mills Group48

FY 2016 Activity Results
In FY 2015, with compliance with related laws and improvement of our safety record as continuing themes, we establishedensuring strict legal compliance and enhancing activities to ensure safety and health as our two top issues and took actions
towards improving our corporate value.
In addition, we promoted global environmental preservation activities such as playing an active role in reducing industrial
waste and in the activities of community environmental conservation groups. We also worked to fill out our line ofenvironmentally conscious products, such as FSC-certified paper.

Basic Policy 1. Strengthening our CSR management foundation

Key Issues
Action Plan
・Prepare a corporate governance structure
・Ensuring theeffectiveness of corporate in response to amendments to theCompanies Act and our new Corporate
governance
Governance Code・Review governance functions
・Enhance structural preparations and our・Establishing a risk
risk map in the interest of Groupmanagement structure
management
・Discuss the drafting of a BCP
・Thoroughly familiarizing ・Improve employees' understanding of theemployees with our Code Corporate Code of Conduct, the Compliance
Conduct Standards, and related lawsof Conduct andthrough more robust compliance education
Compliance Conduct
Standards
・Strengthen legal functions
・Thoroughly ensuring
strict legal compliance
・Promote a better understanding of laws
applicable to our operations, and enforcing
compliance
・Create information management rules

Key Issues

Action Plan

・Promote CO2 emissions reductions in ourbusiness activities and employees' homes
・Discuss efforts to absorb more CO2 using
company-owned forests in Japan・Track trends of Scope 3 CO2 emissions

・Promoting activities topreserve biodiversity

・Increase the percentage of FSC-certiﬁed
wood we procure・Participate in the Japan Business Initiative
For Biodiversity (JBIB)・Improving and・Promote environmentally conscious
enlarging our
products such as FSC-certiﬁed paper, etc.
environmentally
・Develop and roll out new environmentallyconscious product lineup conscious products
・Reducing・Reduce industrial wasteenvironmental risk andimpact・Improve environmental communication

Basic Policy 3. Raising customer satisfaction levels by carefully addressing user needs

・Prepared a structure by looking closely at Companies Act
amendment trends
・ Established a system for reporting the state of risk
management to the Board of Directors○

・Reviewed the Crisis Management Manual as the ﬁrst step・Conducted the ﬁrst round of training for executives andline managers, who then conducted training in theworkplace○○・Conducted legal checks and provided legal counseling,etc.
・Provided legal education and issued the ComplianceNews newsletter (to foster better legal awareness)
・Created information management rules and guidelines inorder to prevent the leakage of, and make appropriate useof, corporate information
・Launched a corporate governance website○

Basic Policy 4. Taking further measures to provide our employees with a pleasant working environment

・Launched an Eco System Academy website○

・Held eight exhibitions and worked to provide timely
information
・Issued our Corporate Report 2015, an integrated report
・Exchanged views with line managers in afﬁliatedcompanies concerning the state of CSR activity progress○

Activity Results

○

○

○
○

Key Issues

・Enhancing activities toensure safety and health○・Promoting various
measures to improve
human resource
performance○○

Evaluation

・Proceeded with a survey on CO2 reduction methods,
including analyzing the potential for reducing CO2, at
Kitakami HiTec Paper Corporation
・Are currently drafting a Forest Management Plan tomaintain J-VER (a carbon offsetting credits system)
certiﬁcation
・Worked to acquire information for a survey on industry
trends・Made active use of FSC-certiﬁed wood chips○

・Acquired deeper insight through participation in regularmeetings
・Took part in Eco-Products 2015 and promoted the FSC
logo
・Made public relations efforts, including introducing TDP
at overseas trade shows・Achieved year-over-year improvement in both theeffective utilization ratio and disposal ratio
・Worked to hold a dialogue with community members (e.g.
through Environmental Monitoring Meetings at HachinoheMill, etc.)○

49 Mitsubishi Paper Mills Corporate Report 2016 FY 2016 Activity Results and FY 2017 Target

Key Issues
・Ensuring product safety

Action Plan・Effectively educate employees on workwith which they have little experience
・Promote mental health policies following
amendments to the Industrial Safety and
Health Act
・Conduct physical strength checkups andfollow-ups to promote better health・Ensure the proper placement of employees
across the entire Group・Promote work-life balance
・Create mechanisms for developing
employees' careers

Activity Results

Key Issues
・Promoting community
support activities
・Promoting culturalcontribution activities○

・Promoting activities of
the Eco System
AcademyAcademy

Action Plan
・Participate in regional activities at each of
our sites and maintain good relations in
those regions
・Provide on-going support focusing on the
Mitsubishi Group and related industry
groups・Entrench and expand efforts in the form of
on-going activities

Top Priority Issues

○
○
○

○

Evaluation

・Reviewed educational programs, conducted mental
health checks, discussed establishing a system for making
stress checks mandatory, and conducted physical strength
checks based on locomotive syndrome severity checks,etc.

○・Made effective use of manpower by, for example,
reevaluating required personnel numbers
・Created an action plan in accordance with the Act on
Advancement of Measures to Support Raising Next –Generation Children
・Are currently discussing training curriculum for improving
employee motivation○

Activity Results
・Fostered good will with communities by participating inand providing paper for community activities at eachbusiness site
・Made donations to and sponsored various related groups
and their projects
・Provided environmental education, etc. to local elementary
school students(Evaluation)○△

Evaluation

Basic Policy 5. Promoting activities that contribute to society△○

Activity Results
・Promptly revised controlled substance lists in light ofregulatory amendments
・Shared information through email, etc.
・Promoted measures at each business site to reducecomplaints; set more challenging targets for the Takasago
Mill, which met previous targets
・Worked to invigorate the proposal system by, forexample, establishing socially popular themes

Evaluation

Action Plan・Enhance chemical substance management
・Enhance the activities of the Product
Liability (PL) Subcommittee
・Ensuring product quality ・Promote thorough adherence to ISO 9001
management and improve customer
satisfaction (fewer complaints, etc.)
・Promote the commercialization of・Rolling out products
proposed ideas and support businessbased on user input andactivities focused on the customers'building optimized sales
purchasing processchannels

Basic Policy 2. Promoting environmental management
・Promoting activities toprevent global warming

Evaluation

FY 2016 Activity Resultsand FY 2017 Targets

・Further improve the IR information we
provide on our website, etc.
・Disseminate information about new
products, etc. (share information on afﬁliatedcompanies)
・Enhance and make use of the Head Ofﬁce
gallery・Enhance our Corporate Report・Expanding initiatives out ・Ensure compliance at subsidiaries in thewake of amendments to the Companies Act
to afﬁliated Group
companies
・Promoting
communication withstakeholders

Activity Results
・Created basic principles concerning the Corporate
Governance Code○: target achieved

○

○

○

△: Insufficient implementation

○
○
○
○

Mitsubishi Paper Mills Corporate Report 2016 FY 2016 Activity Results and FY 2017 Targets 50

FY 2017 Targets
Our two top priority issues for fiscal 2016 are "ensuring the effectiveness of corporate governance" and "enhancing activities
to ensure safety and health." In pursuing greater corporate value, the foremost task at hand for the Mitsubishi Paper Mills
Group, taking specific measures towards each of the areas described in the newly-established Basic Policy on Corporate
Governance is now the highest priority issue for CSR-centric corporate management. Implementing our action plans will see
us carry out the PDCA cycle in order to improve the quality of our CSR activities. At the same time, we will undertake
initiatives uniquely suited to the Mitsubishi Paper Mills Group, using our dialogue with all our stakeholders as a reference.

Basic Policy 1. Strengthening our CSR management foundation
Key Issues

Action Plan

・Ensuring the effectiveness of corporate governance・ Ensure good governance based on the Basic Policy on Corporate

Basic Policy 3. Raising customer satisfaction levels by carefully addressing user needs
Key Issues

Action Plan

・Ensuring product safety

・Enhance chemical substance management
・Enhance the activities of the Product Liability (PL) Subcommittee

Governance・ Review governance functions
・Establishing a risk management structure

・Ensuring product quality

・Promote thorough adherence to ISO 9001 management and improveof Group management

・Rolling out products based on user input and・Promote the commercialization of proposed ideas and supporting・Discuss the drafting of a BCP

building optimized sales channels

business activities focused on the customers' purchasing process

・Enhance structural preparations and our risk map from the viewpoint

・Thoroughly familiarizing employees with our Code of・Improve employees' understanding of the Corporate Code of

Conduct and the Compliance Conduct Standards

Conduct, the Compliance Conduct Standards, and related laws
through more robust compliance education

・Thoroughly ensure strict legal compliance・Strengthen legal functions
・Promote a better understanding of laws applicable to our operations,and enforcing compliance・Follow up on and more effectively instill information management rules
・Promoting communication with stakeholders

customer satisfaction (fewer complaints, etc.)

Basic Policy 4. Take further measures to provide our employees with a pleasant working environment
Key Issues

Action Plan

・Conduct special audits of accidents caused by unsafe practices

・Enhance activities related to health and safety

・Take measures towards making stress checks mandatory

as well as information handling guidelines
・Further improve the IR information we provide on our website, etc.

・Take measures towards making chemical substance risk

assessments mandatory

・Disseminate information about new products, etc. (sharing information

on afﬁliated companies)
・Enhance our Corporate Report・Expanding initiatives out to afﬁliated Group・ Ensure compliance at subsidiaries in the wake of amendments to thecompanies

Companies Act

Basic Policy 2. Promoting environmental management
Key Issues

Action Plan

・Promoting activities to prevent global warming

・Promote CO2 emissions reductions in our business activities and・Promote various measures for improving employee

・Enhance hiring practices according to personnel requirements andperformanceensure appropriate personnel placement
・Take measures in line with the spirit of the Act on Promotion of
Women's Participation and Advancement in the Workplace andpromote diversity

Basic Policy 5. Promoting activities that contribute to society
Key Issues

Japan・Track trends of Scope 3 CO2 emissions
・Promoting activities to preserve biodiversity

・Increase the percentage of FSC-certiﬁed wood we procure・Participate in the Japan Business Initiative For Biodiversity (JBIB)・Improving and enlarging our environmentally

・Promote environmentally conscious products such as FSC-certiﬁed

conscious product lineup

paper, etc.
・Develop and roll out new environmentally conscious products

・Reducing environmental risk and impact

・Reduce industrial waste

Action Plan

・Promoting community support activities

・Participate in regional activities at each of our sites and maintain good・Promoting cultural contribution activities

・Provide on-going support focusing on the Mitsubishi Group and・Promoting activities of the Eco System Academy

related industry groups
・Entrench and expand efforts in the form of on-going activities

relations in those regions

employees' homes
・Discuss efforts to absorb more CO2 using company-owned forests in

FY 2016 Activity Resultsand FY 2017 Targets

・Enhance and make use of the Head Ofﬁce gallery

・Have women participate in workplace patrols

Top Priority Issues

・Improve environmental communication

51 Mitsubishi Paper Mills Corporate Report 2016 FY 2016 Activity Results and FY 2017 Target

Mitsubishi Paper Mills Corporate Report 2016 FY 2016 Activity Results and FY 2017 Targets 52