November 28, 2011
JS Group Corpotaion
LIXIL Corporation

The LIXIL Group releases its Environmental Vision on December 1
The LIXIL Group is committed to technological innovations that help achieve a
net zero balance of energy use in housing, and to environmentally-conscious
management that contributes to energy conservation and CO2 reduction
On December 1st, the LIXIL Group, which comprises JS Group Corporation (HeadOffice: Chiyoda-ku, Tokyo; President: Yoshiaki Fujimori) and the companies operating
businesses under its control, is releasing its Environmental Vision, which is a long-term
vision for sustained efforts to address global environmental problems.
In June of this year, we at the LIXIL Group formulated our Basic Policy for
Environmental Protection, which outlines the environmental principles and courses ofaction of the Group as a whole.

As the next step, in part because of our increased global

presence, LIXIL is releasing this Environmental Vision as a summary of important
obligations that should be fulfilled by companies in the housing and living solutionsindustry to address global environmental and energy problems. Furthermore, based on
our Environmental Principles, we have also identified priority themes in ourEnvironmental Strategy, as well as concrete courses of action to achieve these.
LIXILGroupiscommitted

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promotion

ofenvironmentally-friendly management, which we plan to achieve not only by putting thislong-term vision into practice within the Group, but also by spreading it to others in thelarger society using a variety of means.

LIXIL Group Environmental Vision
We the LIXIL Group seek by 2050 the net zero balance between a full, bountiful way ofliving and an acceptable burden on the earth’s environment, leading the world in thehousing and living amenities industry.
We will introduce technical innovations that will achieve net zero balance energy
use in residences and buildings as a total provider of housing and living
requirements, and contribute to global energy conservation and CO2 reduction.

LIXIL Environmental Strategy
Theme 1

As we offer products and services that reflect and optimize the fullbounty of nature, we will also consider future ways and standards ofliving, together with our customers.

Theme 2 We will conduct our regular business activities in a manner that will
reduce carbon emission, enhance recycling of resources, and promoteharmonious coexistence with nature.
Theme 3 We will work to further mutual understanding with our stakeholders, andcollaborate with them to take actions in our own, original way.
The Environmental Vision can be accessed through the LIXIL website (http://global.lixil.co.jp/about/environment/).

Environmental Strategy priority themes
In conjunction with the publication of the Environmental Vision, priority themes in theEnvironmental Strategy were also identified.
First, we will try to strike a balance between the needs of customers and the needs oftheglobalenvironment.

Specifically,thisinvolves

combiningenergy-saving,energy-creating, insulation, passive solar, and others that achieve a net zero balance ofenergy use in residences and buildings.

More specifically, this means promoting

products that result in a net zero balance of energy consumption and that greatly reducewater consumption. LIXIL will also develop new technologies and create new businesses
revolving around renewable energy.

In doing so, LIXIL shall contribute to a reduction in

the consumption of energy in areas in which it has an indirect influence, namely incustomers’ use of its products.
The second priority is reducing LIXIL’s own environmental impact in its day-to-day
business activities. This means an increase in the number of self-sufficient plants that
adopt environmentally-friendly ‘green’ power by introducing renewable energy into themanufacturing process, the establishment of high-grade product recycling systems, thereduction in the use of virgin material, and the establishment of recycling systems forwater used at factories.

Moreover, it means that in its procurement operations, LIXIL

will utilize action plans and technological developments so that it can use more lumber
resources that have been harvested using means conducive to forest ecosystempreservation.

In addition, LIXIL is committed to reducing CO2 emissions volumes

resulting directly from its Japanese centers of business operations to levels below those of
FY2010.
Third, LIXIL will encourage activities designed to give back to local communities bypreserving and restoring water resources and forest ecosystems throughout the world.
We shall raise the environmental literacy level of all employees through in-house
education and awareness campaigns, including environmental classes and workshops foremployees on keeping pristine water and verdant forests, and in the process help
preserve forests, forest-settlement border areas (satoyama), in addition to other tasks tohelp preserve the environment and otherwise contribute to the community.
■ The societal underpinnings and significance of the Environmental Vision
The problems of the environment and energy became a point of international debate
after the March 11 Great East Japan Earthquake and Tsunami Disaster, yet driven
especially by emerging markets such as those in Asia where the economies are thriving
and the populations are exploding, the world energy consumption continues to rise.
Even in the Japanese domestic market, the consumption of energy by the civilian sectors(business and household sectors) had greatly increased since 1965, which is widely
regarded as the year when Japan’s period of rapid economic development began.

According to the data as of FY2009, the civilian sectors accounted for about one-third ofJapan’s final energy consumption figures.

If we can achieve zero net energy use inresidential and commercial buildings, we can go a long way to decreasing energy
consumption in civilian sectors.

The LIXIL Group is fully committed to helping to provide solutions to the world’s
environmental and energy problems as a comprehensive provider of housing and living
products and services.
The increase in energy consumption used to support more affluent lifestyles led to theincrease in greenhouse gases.

Since the Rio Summit in 1992, the moves to address

global environmental problems have gradually been seen as tasks to be shared bycountries throughout the world, and the discussions over what to do about global
warming now occupy a much larger stage. The Intergovernmental Panel on Climate
Change (IPCC) has issued a report suggesting a long-term approach to preventing global
warming, specifically one that spansto 2050.
When we look at the aggressive
efforts by Japanese companies totake anti-global warming measures,
specifically when we look by sector at
CO2 emissions for Fiscal 2009, theindustrial sector has achieved a
19.5% reduction compared with 1990
levels, which is indicative of adetermined effort.
LIXIL is committed to reducing CO2 emissions volumes resulting directly from its
Japanese centers of business operations to levels below those of FY2010.
LIXIL is also a business that is pursuing global interests in China and other countries.
If the Group is to take the highly efficient manufacturing technologies it has developedfor itself and apply them on a global scale, it is then possible to dramatically reduce CO2
emissions in countries in which it plans to expand operations.

As companies that have

until now freely used fossil fuels for the purpose of economic growth, we feel thatJapanese companies also have a responsibility to coexist peacefully, help each other atenvironmental preservation, and strive toward each other’s growth.

■ Our commitment to “Pristine water.

Verdant forests.

A bountiful future.”

By the year 2050, the children of this generation will have become parents.

Corporateenvironmental activities amount to nothing unless they are sustained and taken up by
successive generations.

Using the Environmental Vision as its template for action, theLIXIL Group will become even more cohesive and actively and sustainably promote
environmentally-sound management.
A truly rich and fulfilled way of living needs to establish harmony with the globalenvironment.

We the LIXIL Group believe in achieving harmony between how

humankind lives and the earth that we live on.

We will conscientiously apply ourenvironmental awareness across the entirety of what we do: what, how, and for whom wecreate a better living setting, in order to leave “Pristine water.
bountiful future” for our children.

Verdant forests.

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