CORPORATE REPORT 2010

1

CONTENTS

2

Company Overview

3

Management Philosophy and Group Slogan

45
7

Message from CEO

9

Precious Metal Recycling Business

14

Environmental Protection Business18

For the Environment

Corporate GovernanceGroup Overview

19 Environmental Impact Resulting
from Business Activities

1

21 Global Warming Prevention Efforts
23 Reduction of Environmental Burden
Through Business Activities

25 Environmental Management

Editorial Policy
Based on our principle of “contributing to therealization of a sustainable society through our
profession”, this report is devised with considerations given to the three aspects of “company”,“environment” and “society”. In terms of the company aspect, a summary is provided to facilitate
easy understanding of the principle activities of
the company group’s business[Period covered by this report]
From April 1, 2009 to March 31, 201026

For the Society

27 With Our Customers
28 With Local Communities
30 With Our Employees
35 With Our Shareholders and Investors
36

Reference

37 Group History
39 Group Companies
40 Cover Design and Group Logo MarkCompany Overview
The Asahi Holdings Group complies
in good faith with the demands of
its customers and society in order tofulfill its responsibilities as a sensible
industrial group.

2

Management Philosophy

SocialContribution
Contributing to society through theprovision of superior products andunique services

Asahi HoldingsGroup
3EnterpriseContinuity
Pursuing the continuity of the company through innovation and challenges in responding to changing
circumstances

Respect for
Human Dignity /Capability

Respecting individuality and developing ourselves through our jobs while
creating a happy workplace withmotivation in life anda sense of unity

Group Slogan
V11: Toward Change and Creation
The first three years from the establishment of Asahi Holdings is
the “period of new company establishment” and everyone within
the company group is working together as one toward the next stage— reform and creation.

Message from CEO

Contributing to the realization of a sustainable
society through business development

An Environmental Century
Since our establishment in 1952, we have been working toward contributing to the wider society through business activities with thethemes of “effective use of resources” and “protection of the earth’s
environment”. The various types of environmental issues faced by
the human race today make us even more aware of the finite natureof the earth’s resources and we feel the growing importance of providing the various services including recycling and waste treatmentthat are central to our group business. We earnestly take on the mission of realizing a sustainable society in the new era and will continue to work toward making our group business activities useful toensure a lasting society.

The “second business establishment”
in Times of Global Financial Crisis
In April 2009, we began a brand new start by adopting a holdings
company system to become the Asahi Holdings Group. Although
we are sailing right into global financial crisis, we see it as a “second
business establishment” during such dire times and the entire groupis working toward obtaining new business opportunities and reducing costs. While the foggy future of the global economy remains
unclear, I am aware that the most important management issues
will be how to strengthen our business basis at a time like this andbuild a foundation for the leaps in the future. The 5th Medium-Term
Management Plan devised last year is also being revised and we areworking hard toward a higher goal.
In addition, as part of our strategy for future growth in the precious
metals recycling business area we are now constructing new plants
in Amagasaki city (Hyogo prefecture, Japan) and in the suburbs ofSeoul (South Korea). Not only that, but in March this year we concluded a joint-venture contract with a local influential enterprise inGuangdong province, China. In the area of environmental protec-

tion business, we helped establish JW Glass Recycling, a subsidiaryof Japan Waste Corporation in December last year. By continuing
the M & A and such alliances, we have decided to expand a one-stop
solution system regarding waste treatment. Our future plans include
maintaining sound and stable profitability and financial foundation,
proactively making investments with considerations given to thegrowth area and overseas markets, and realizing continuous business growth and improvement of corporate value.

Toward Realizing Profits
with Balance between Stakeholders
The management of the group on the whole is built upon the relationships with our various types of stakeholders, regardless of whatkind of relationship, securing one of our management philosophiesof “enterprise continuity” is particularly important. For that reason,
it goes without saying that we strive to thoroughly follow laws andmoral principles; we also implement company-wide monitoring forstrengthening our internal control in order to discover potential
risks at an early stage. In addition to that, we relentlessly seek to improve the mobility and transparency of our management, aiming toestablish a management system that can respond to the changes of
the times. We will continue to make efforts on a daily basis and hope
to be an enterprise group that can be trusted always as a member ofthe society.

Mitsuharu Terayama
Chief Executive Officer
May 2010

4

Company Overview

Corporate GovernanCe
We aim to realize even stronger group governance and promote risk managementby taking the opportunity of our conversion to a holding company.

Philosophy Regarding Corporate Governance
Asahi Holdings, being a holdings company, is at the center of thegroup’s governance and carries the weight of the strategic functionality of the entire group, as well as acting as a compact organization to implement the tasks of risk management and responding toexternal accountability.

As operating companies, Asahi Pretec Corporation and Japan Waste
Corporation advance projects through rapid decision making andoptimal structures for executing operations that are suited to thecharacteristics of each sector, with the aim of strengthening theircompetitiveness and enlarging their earning capacity. Both companies strive to maximize corporate value for all of their stakeholders
by fulfilling their respective duties.

Group Governance Structure
Shareholders’ General Meeting

5

Board of Auditors

Auditors

Examines company business tasks and audits company accounts through activities such as attending
the Board of Auditors, visiting offices for inspection,
and auditing report meeting presented by Auditors.

Audit company accounts and related documentsfrom an independent stance, explain their expert
opinions and create audit reports.

Asahi Holdings
Board of Directors
Comprised of Directors, the board makes decisions on matters as regulated by law and importantmatters concerning management, as well as monitors the implementation of business tasks centering
around Corporate Officers.

Representative Director
Group Management Strategy Conference
Comprised of Directors and related department heads, the aim of the conference is to discuss important matters such as new businesses, investments and loans, and to enhance discussions concerning
strategic decision-making.

Asahi Pretec Corporation

Japan Waste Corporation

Board of Directors

Board of Directors

Representative Director

Representative Director

Management ConferenceManagement Conference

Internal Auditing

Internal AuditingEstablishing a System forInternal Control

The Group Ethics Plan Serves as
the Judgment Criteria for Employees

We are working toward establishing internal control within thegroup by instituting rules and regulations (such as the Board of Directors Regulations, the Board of Auditor Regulations, the Corporate
Officers Rules, the Internal Inspection Rules and the Internal Control
Rules) as well as a management system that follows the Financial
Instruments and Exchange Act.

Officers and employees are called upon to conduct themselves witha spirit of legal compliance and with an ethical outlook in their decision-making and actions. On this account, the company provides
specific examples suited to everyday work situations and strives tohave our officers and employees both understand and implement
our Group Ethics Plan.

In addition, an Outside Director has been allocated within thegroup since June 2009, with an independent board member being
assigned to the holdings company since March 2010. We will bemaking efforts to continue adopting external viewpoints to further
enhance our corporate governance.

Risk Management
Asahi Holdings itself retains risk management functions for thegroup as a whole. It conducts risk determinations, evaluations, andcountermeasures for business activities with the goal of anticipating
and preventing risks in advance to the maximum extent possible, as
well as minimizing economic and social losses when said risks develop into hazards. We are working to fulfill our social responsibility
and earn the trust of stakeholders through the proper application ofrisk management.

Compliance
Waste-related businesses are regulated by administrative approval
and license where law-abiding awareness and behavior are
extremely important norms. Asahi Holdings Group has set in placecompliance regulations and manuals, and also carries out initiatives
to constantly diffuse and thoroughly ensure a law-abiding
awareness through employee education venues for all employees
and venues for mutual communication among employees.

Education on the personal information protection policy

Setting in Place Internal andExternal Contact Points for Matterswhich Run Counter to the Legal
Compliance and Public Interest
In order to find and take action against any illegal or improper deeds
or practices in our company as soon as possible, we have been providing an internal report scheme called the “Asahi Hotline,” which
has a contact point at an external law firm. We have also set up aninternal contact point which accepts anonymous reports. With regard to the notified matters, the company has set in place a systemfor conducting investigations and taking corrective actions, with
sufficient consideration given to the protection of privacy of boththe accuser and the accused. The installation of this contact point isdisplayed on the top screen of the company’s Intranet to make every employee aware of it.

6Company Overview

Group overview
We are expanding business activities on the recycling of precious metals and environmental protection,
thereby contributing to the protection of the earth’s environment.

Asahi Holdings, Inc.
●●Company Profiles
Established :July 1952

Incorporated :April 2009

Capital :4,480 million yen

Representative : Mitsuharu Terayama
Head Offices :Nissay Sannomiya Building 16F
4-4-17 Kano-cho, Chuo-ku, Kobe, Hyogo Prefecture
650-0001, Japan
Sapia Tower 11F
1-7-12 Marunouchi, Chiyoda-ku, Tokyo
100-0005, Japan
Kobe Headquarters

Number of employees (consolidated) : 1,192
URL : http://www.asahiholdings.com(As of April 2010)
List of Officers:

7

CEO : Mitsuharu Terayama
Director : Yoshikatsu Takeuchi
Director : Tomoya Higashiura
Director : Tsutomu Sakurai
Director : Yukio Tanabe
Outside Director : Shoji Morii
Outside Auditor : Sumiaki Ariumi
Outside Auditor : Teigo Kobayashi
Outside Auditor : Kazuhiko Tokumine(As of June 17, 2010)●●Component Ratio of Group Sales by Business Segment
Environmental
protecttion

15.1%

FY2009Precious and raremetals recycling

84.9%

Tokyo Headquarters

Asahi Pretec Corporation

Japan Waste Corporation●●Company Profile●●Company Profile

Business line :Business line :Precious metals / rare metals recycling andindustrial waste treatment

Environmental protection(Industrial waste treatment and other environmental
protection businesses)

Representative : Mitsuharu Terayama

Representative : Yoshikatsu Takeuchi

Headquarters : Nissay Sannomiya Building 16F
4-4-17 Kano-cho, Chuo-ku, Kobe, Hyogo Prefecture
650-0001, Japan

Headquarters : Nissay Sannomiya Building 16F
4-4-17 Kano-cho, Chuo-ku, Kobe, Hyogo Prefecture
650-0001, Japan

Sapia Tower 11F
1-7-12 Marunouchi, Chiyoda-ku, Tokyo
100-0005, Japan

Sapia Tower 11F
1-7-12 Marunouchi, Chiyoda-ku, Tokyo
100-0005, Japan

Number of employees : 910

Number of employees : 266

URL : http://www.asahipretec.com

URL : http://www.japanwaste.co.jp<Domestic Business Footholds><Subsidiaries>

Research laboratory : Techno-Center

Nihon Chemitech Co., Ltd. (HQ : Kawaguchi, Saitama Prefecture)

Plants : Saitama, Amagasaki, Kobe, Ehime, Fukuoka, Kitakyushu,
Kitakyushu Hibiki

JW Glass Recycling Co., Ltd. (HQ : Koto-ku, Tokyo)

Recycling centers : Saitama, Chiba, Amagasaki

Fuji Rozai Co., Ltd. (HQ : Ota-ku, Tokyo)
Sansho Co., Ltd. (HQ : Yokohama, Kanagawa Prefecture)

Offices : Sapporo, Aomori, Sendai, Niigata, Kitakanto, Kanto, Yokohama,
Kofu, Shizuoka, Nagoya, Hokuriku, Kobe, Okayama, Hiroshima,
Shikoku, Fukuoka, Kitakyushu, Kagoshima, Okinawa

Shioiri Kenzai Co., Ltd. (HQ : Nagano, Nagano Prefecture)
Iyotec Co., Ltd. (HQ : Akashi, Hyogo Prefecture)
Taiyo Chemical Co., Ltd. (HQ : Kagoshima, Kagoshima Prefecture)<Overseas Bases>(As of April 2010)

Asahi G&S Sdn. Bhd. (Malaysia)
Shanghai Asahi Pretec Co., Ltd.
Asahi Kanfort Environmental Management Co., Ltd.
Asahi Pretec Korea Co., Ltd.
(As of April 2010)●●Company Organization Chart(Asahi Pretec Corporation)

Board of Directors
Representative Director

Internal Audit
OfficeAdministration
Division

GeneralTechnology Support
Administration& Production
Department
Management Division

Environmental
Business
Department

Industrial
Precious Metal
Recycling
Recycling
Business Division Business Division8

Business Introduction

preCious Metal reCyClinG

9

Utilizing Effectively the Limited
Resources to Contribute to
the Earth and Society.
With Asahi Pretec Corporation at the core, we collect and recycle scraps containing precious
and rare metals found in various industries and products.
We contribute to the effective use of resources and the development of industry by means ofreproducing precious and rare metals such as gold, silver, palladium, platinum, and indium as
metal products that are indispensable to advanced manufacturing.

Precious Metal Raw Materials are Recoveredfrom Wide Array of Sectors and Regions.
By utilizing our unique technology and know-how, as well as business networks in and outside of Japan, we efficiently collect and recycle precious and rare metal resources from various industrial areas

such as electronics, flat panel displays, monitors, catalysts, dentistry,jewelries, information equipment and photography.

●●Business Network

Photography

Electronics
Asahi Pretec

IT Equipment

Sectors ofCollection

Jewelry

Flat Panel
Displays

Asahi Pretec
Korea Co., Ltd.
Shanghai
Asahi Pretec Co., Ltd.
Asahi G&S
Sdn. Bhd. (Malaysia)

Catalysts
Dentistry10

Our Reliable Quality Receives High Accolades
from Japan and Overseas.
Asahi Pretec is a regular member of the Japan Gold Metal Association and its gold, silver, platinum and palladium metals are recognized as brand products for the delivery supply of the Tokyo Commodity Exchange. Not only that, its metals are highly regarded in the

global market for their reliable quality, with gold and silver being
recognized by the London Bullion Market Association (LBMA), andplatinum and palladium being certified by the London Platinum andPalladium Market (LPPM) as good delivery bars.

TOPICS 1

TOPICS 2

Construction of a New Plant in South Korea

Conclusion of a Joint-Venture Contract with a
Local Influential Enterprise in China

Within 2010 a new plant will be constructed in South Korea,
where global manufacturers from areas ranging from semiconductors, flat panel displays,electronic components,
etc. come together.
With the further expansionof the electronics businessoverseas, we will expand
its know-how in the dentistry area accumulated inJapan to overseas.
Rendering of the plant in South Korea

Shanghai Asahi Pretec Co., Ltd. (wholly owned subsidiary ofAsahi Pretec) and Kanfort Industrial (Jiangmen) Precious Metals Co., Ltd. (subsidiary of the Kanfort International Holdings
Limited) have concluded a joint-venture contract to establish
in Jiangmen City of Guangdong Province the company Asahi
Kanfort(Jiangmen)Environmental Management Co.,Ltd. for developing the precious metal recycling business in China.

Business Introduction

Precious Metal Recycling

Electronics
In the electronic materials field, we meet the requirements for therecovery and recycling of precious and rare metals that are discharged from the manufacturing processes for computers, electronic parts used in cell phones and other devices, and printed circuitboards, with distinguished technology. For the plating treatment
field, we have been engaged mainly in the recycling of precious
metals contained in plating solutions.

We propose various collection systems to meet the needs of user
production lines, such as our uniquely developed electrolytic precious metal collection devices ZIPANG and PLATA. Along with therecovery of precious metals like gold, silver, and palladium, we also
provide environmentally friendly recovery technology for rare metals and the like, which includes recycling, water treatment and reuse.

●●Flowchart for the Recovery of Gold and Silver

from Plating Solutions

Standard
specifications

Precious metal
recoveryRefining and smelting

Electrolysis
machine11

MaintenancePrecious metal recovery equipment(installed in the plating line)

Customizing

Flat Panel Displays
Indium, silver and other metals are used in flat panel displays usedin LCD or plasma televisions, etc. As the flat panel display market issaid to maintain a high growth rate over a medium term, the recycling of precious and rare metals is becoming more of a vital issue.

Commercialization

Smelting

Refining

Pre-treatment

Inspection

Discharge from flat panel display
manufacturing factories

Asahi Pretec is working to recycle these precious and rare metals
through our proprietary advanced technology.

Catalysts
In the area of catalysts, precious metals are used as automotive catalysts under environmental regulations concerning exhaust fumes set
forth in the Air Pollution Control Act, the NOx • PM Act for automotive area, and other laws. We are making efforts to recycle precious
metals from automotive catalysts, chemical catalysts, etc. utilizing
our unique technology know-how.

Automotive catalysts

Dentistry

Jewelry

Removed tooth crowns and cast chips from dental clinics and dentallaboratories are valuable precious metal resources. With our uniquemanagement system, Asahi Pretec conducts dual/triple cross checks
on each process to improve the accuracy of the analyzed values andshorten the period of analysis.

With thorough individual control, an advanced analytic grade, andprecious metal refining technology, we have achieved a high recovery ratio for buffing powders, electrolytic polishing solutions, andcutting dusts that are disposed of by jewelry manufacturers andprocessors. We are subcontracted by organizations in the jewelry
manufacturing industry for “precious metal scrap collection andanalysis,” and Asahi Pretec’s many years of proven performance haveearned the profound confidence of all of our customers.

Commercialization

Refining andsmelting

Acid treatment

Pre-treatment

Inspection

Deposited materials

Analysis and report

IT Equipment
Computers and other IT equipment are collected from the offices,
factories, data centers throughout nation and consigned to ourprocessing centers for optimum material recycling by disassembling and sorting into various parts and material which contributes

to reducing environmental burden. We take responsibility to ensure
information security and prevent leaking of corporate and personal
information through measures such as implementing complete erasure of HDD data.

Recycle Flow
Reuse Flow

Inspection andweighing

IT equipment

Receiving inspection
Data deletion
Reuse

Plastics

Iron

Aluminum

Glass

Disassembly
sorting

Items for treatment:
computers, analysis
equipment, medical
equipment, liquid crystal
monitors, servers,
printers, communication
terminals, ATMs, etc.

HDD

Data deletion

Photography
We collect photographic effluents, X-ray film, and printing plate filmthat are disposed of by photographic developers, medical institutions, printing plate makers, and others, and then recycle the silverand detoxify the remaining solutions. Film cases, cartridges,and
medicine bottles are also recycled as raw materials after being compressed and crushed to achieve zero-emission material recycling.

Printing plate film

Smelting

X-ray film

Refining

Pre-treatment

Fixer

Silver bullion

12

RESEARCH & DEVELOPMENT
1. R & D
We strive to create new products and new businesses by always being the first tounderstand needs, applying accumulated elemental technologies and developing new technologies.
(1) Technology for separating, refining and analyzing precious and rare metals.
(2) Precious metal molding and refining technology.
(3) Applied electrolysis technology.
(4) Environmental protection and resource recycling technology.

2. Analysis
As Asahi Holdings Group’s core analysis function, we support a diversity of corporate activities using the latest analytical equipment and high-level analysis technology. In addition, we steadily maintain and further the trust of our customers
and client companies.
(1) Development of new analysis technologies.
(2) Technical guidance for analysis groups at each plant and sales office.
(3) Purity analyses of precious metal products and dental alloys.
(4) Environmental analysis of issues such as factory wastewater discharges.
(5) Environmental measurement certification.

13

3. Production Technology

Inductively Coupled Plasma Mass Spectrometer(ICP-MS)

Using cutting-edge technology, experts from each business area design, produce,
construct and provide maintenance of facilities in domestic and overseas subsidiaries, helping to support safe and stable operation of the facilities.
(1) Designing, production, construction and maintenance of facilities andbuildings.
(2) Maintenance control of existing facilities.
(3) Installation of precious metals collection facilities for our customers andafter-sales service.

TOPICS

Putting Technology-Related Divisions Together at the Techno Center and Constructing a New Test Building.

Since the inception of the Techno Center in 1998, we have been using the center forour own research development and analytical technique development. In September 2009, the Manufacturing Department and the Environment & Safety Management Department of our Kobe headquarters, as well as the Production Technology& Engineering Department of the Kobe Office were transferred to the Techno Center. In addition, the new test building has effectively allowed the R&D Department
to conduct demonstration experiments and the Production Technology & Engineering Department to develop facilities.
This gathering of the departments has provided an opportunity to further strengthen the organic linkage of all technical divisions, thus allowing quality improvement
and technical innovations.

Business Introduction

environMental proteCtion Business14

We are Working Towards the Realizationof a Sustainable Material-Cycle Society
as an Expert of Waste Treatment.
We perform the detoxification and appropriate disposal of various types of waste
to contribute to resolving global environmental issues. We respond to ourcustomers’ variegated needs by offering the proprietary technology which ourGroup companies have cultivated over many years in their respective fields.

we offer total solutions reGardinG industrial
waste and speCially Controlled industrial waste.
Asahi Holdings Group boasts the largest business network in
the field of industrial waste management. With business centers
located throughout Japan, we offer dedicated services to ourcustomers.

Acquisition of Licenses by Our Group■ Operating permit to collect and transport industrial waste

47 prefectures and 62 government ordinance cities■ Operating permit to dispose of industrial waste

15 prefectures and 10 government ordinance cities■ Operating permit to collect and transport specially controlledindustrial waste
47 prefectures and 62 government ordinance cities■ Operating permit to dispose of specially controlled industrial waste

12 prefectures and 8 government ordinance cities(As of March 31, 2010)

Striving to Provide Added Value Services
in a Wide Range of Fields.
We promptly meet the increasingly diverse and sophisticated needsof our customers through disposal technology that is specially suited
to each industry.

Business centers
Factories
Subsidiaries

15

Shioiri Kenzai (Nagano)● Public works and demolition work, as well as

recycling construction waste.

Nihon Chemitech(Saitama / Yokohama / Ibaraki)● Disposal of industrial effluents fromsemiconductor production.

Iyotec (Akashi)● Personnel dispatches to various types● Treatment of organic effluents andfermenting and composting of sludge.

of manufacturers.

JW Glass Recycling(Tokyo / Hokkaido / Miyagi /Gunma / Shizuoka)● Recycling of sheet glass and glass bottles.

Fuji Rozai (Tokyo / Yokohama / Kobe)● Demolishing and periodic repairing of facilities

such as glass manufacturing and waste incineration
furnaces.
● Collection, transportation, intermediate process

and recycling of fire - proof bricks and other items.

Taiyo Chemical (Kagoshima)

Sansho (Yokohama / Kawasaki)● Incineration of medical-related and● Appliance and IT equipment-related waste disposal.

other wastes.

● Cleaning semiconductor production equipment.

Aiming to Realize One-Stop Solutions for Waste.
We have acquired permission for the collection, transportation,and intermediate treatment of most articles of industrial waste andspecially controlled industrial waste, and have created a structurethat allows us to dispose of such waste appropriately and promptly.

Customers

Educational institutions(Universities; elementary,
middle, and high schools;
Boards of Education)

Government andpublic offices
Chemical reagent
manufacturers

Research institutions

Collection, Transportation, andIntermediate Treatment
Collection and transportation● Industrial waste

17 articles, including waste acids,
waste alkalis, waste oil, sludge,
waste plastics, etc.

Intermediate treatment
Neutralization
Condensation and precipitation
Concentration● Specially controlledindustrial waste

Dewatering

RecycleOther types ofmanufacturers

Furthermore, we are promoting the establishment of distinguisheddetoxification and disposal technology and a zero-emission system
for industrial waste by realizing one-stop solutions within our group.

11 articles, including waste acids,
waste alkalis, specially designated waste acids, infectious waste,
specially designated waste oil,flammable waste oil, etc.
Waste efﬂuent treatment facility

Analysis offices

Cyanide decomposition
Separation of oil from water

Hospitals, doctor’s offices, etc.
Wing Truck

Incineration

Incinerator

Lorry Truck

Drying

Sorting, compressing, crushing
Melting

Landfill

Cleaning

16

Treatment of Specifically Hazardous
Waste Acid, Waste Alkaline and Sludge
It is necessary to adequately treat wastes acid/alkaline discharged
from factories and business offices and waste reagents used atlaboratories of universities or private enterprises. With a thoroughly devised safety management system, the Asahi Holdings Groupharnesses the technologies cultivated over the long years to treatsuch waste materials at dedicated lines at each plant and detoxifies. Waste test reagents, in particular, are collected with every bottle
separately packed in plastic bag to prevent mixing. In addition tothat, the containers are classified and stored as regulated by theclassification standard of our company group, implementing measures to prevent the occurrence of abnormal chemical reaction during collection, transportation and storage. In case of waste reagentswith unknown content due to test chemical bottles without labels,
we analyze them and provide adequate treatment support.

Main Recycling●●Recycling of Fire-Proof Bricks
Disused fire-proof bricks from furnace demolishing and periodic
repairing work, such as glass manufacturing and waste incineration
furnaces, or fly ashes produced during replacement of bag filter forthe dust collector are finely separated after hazardous substances(heavy metals and dioxins) are analyzed and treated with an aim toachieve high recycling rate of these as fire-proof bricks and paving
material.

●●Recycling of Glass

Packing

Waste reagents treatment facility

17High-Speed Microbial Treatment ofWaste Acid / Alkaline and Sludge
When it comes to waste liquids from factories and business offices,
the liquids are detoxified using our unique technology and microbial treatment (purified until the level reaches below the discharge
standard) after hazardous substances (even when containing nitrogen and phosphorus) are removed and before being discharged.
Energy consumption and carbon-dioxide emissions, in particular,
are lower compared to other treatment processes.
On the other hand, the neutralization of waste liquids and dewatered sludge (of copper, iron, zinc, etc.) are effectively used as material for things such as metal refining and land reclamation. Non-recyclable sludge is disposed of in landfills.

We collect sheet glass, glass bottles and other products from glass
manufacturers, sash manufacturers, municipalities and so forth. The
sheet glass scraps and glass bottles collected are sorted and crushed
at our plants, before being recycled and sold as high-quality glass
cullet. Materials that cannot be reused as raw glass material are recycled as paving material. We are helping to prevent the exhaustionof mineral resources and reduce environmental burdens throughglass recycling.

●●Recycling of Organic Sludge
Organic waste liquids from food systems and sludge discharged
from food manufacturing factories and restaurant chains are neutralized and dewatered. The filtered liquid is treated with microorganisms to detoxify (purified until it reaches the level below thedischarge standard value), before being discharged into the sewer.
Sludge is turned into compost at fermentation and maturing plants
turning it into recycled fertilizer for effective use by farmers.

●●Cleansing of Hazardous Wastes
We cleanse hazardous wastes attached to semi-conductor manufacturing devices and all kinds of laboratory equipment used by semiconductor manufacturers, electronic component manufacturers andresearch laboratories. After the cleansing treatment, the devices andequipments are then divided by material type and recycled in orderto reduce environmental burdens.

For the Environment
Asahi Holdings Group has formulated and implemented
policies to address conservation activities for the global
environment, and aims for sustainable development
harmonious with the environment.

INDEX

Environmental Impact Resulting
from Business Activities
21 Global Warming Prevention Efforts
23 Reduction of Environmental Burden
Through Business Activities
25 Environmental Management1918

For the Environment

environMental iMpaCt resultinG froM Business aCtivities
This indicates the INPUT of the resources and energy needed for our group’s business activities,
as well as OUTPUT in the form of the environmental impact produced through our business activities.

<Legend>OUTPUT■ Envisioned positive environmental impacts

INPUT

Recycling

Recycling

Resources

Products

Cement, raw material for steel,fuel for biomass power generation,
fuel for cement, gravel, sand,plastic, glass, fire-proof bricks,
fermented compost.

■ Envisioned negative environmental impacts

Procurement

Sales

Precious
metal bullions

Dental alloys

Industrial society

Production■ Effective utilization ofDistribution

resources■ Effective utilization of

resources

Reuse
19

Liquid crystal
monitors

Recycling raw materials

Computers■ Effective utilization of

resources

Industrial waste

Asahi Holdings Group

Waste

Plants■ Reducing the final disposal

volume■ Capacity shortage for final
disposal sites

Exhaust fumes

Effluent

Business sites,
research lab,
etc.

Energy■ Consumption of resources,

Water

Global warming* Electrical generation time at power
plants(Purification until it is within the standard values for discharge)■ Global warming■ Consumption of resources

Environmental Performance
The energy, resources (water), chemicals, and so on used in our precious metal
recycling and environmental protection business activities are listed as INPUT,
while the environmental burdens given off from conducting business activities
with the substances in the form of INPUT are listed as OUTPUT data.

INPUT
Unit

FY2006

FY2007

FY2008FY2009

Electricity

MWh15,892

18,94222,503

21,960

Heavy oil

kℓ

1,410

2,433

2,406

1,466

Kerosene

kℓ

574

569

541

379

Light oil

kℓ

2,823

2,746

2,804

2,965

Gasoline

kℓ

632

704

804

848

Urban gas

1,000 m3

784

700

684

527

Water

1,000 m3

206

253

366

345

t

20,082

21,336

17,347

13,293Chemical, etc.

OUTPUTUnit
CO2 emissions *1

FY2006t

FY2007

FY2008FY200921,65325,23327,35524,466

Effluent *1,000 m

252

250

245

208

Waste

t

23,70024,84820,886

16,6442

3

20*1 : Calculated in accordance with the Law Concerning the Promotion of the Measures to Cope with Global Warming in 2009.
*2 : Purified until it is within the standard values for discharge.

Environmental Accounting
For the promotion of environmental management, we have introduced environmental accounting starting in FY2005 and publicly disclose costs related toenvironmental protection. These are prepared in line with the Environmental
Accounting Guidelines of the Ministry of the Environment.

●●Environmental Protection Costs

1. Costs within the business area

2. Upstream and downstream costs(Unit: million yen)

Category

Contents of major initiatives

Expenses

Investments(1) Cost of preventing pollution

Control and maintenance of gas emission
facilities, water drainage, and so on.

417.0428.28(2) Cost of protecting the earth’s
environment

Energy saving (Decreasing electric consumption,
improving fuel-efficiency for vehicles, and so on.)

8.55

9.47

(3) Cost of recycling resources

Entrustment of industrial waste treatment

214.19

25.48

—

0.00

0.00

3. Cost of management activities

Management activities of ISO14001
Preparation of Corporate Report

59.70

5.48

4. Research and development costs

Improving efficiency for the precious metal refining
process Decreasing the landfill disposal volume

85.47

0.00

5. Cost of social activities

Clean up activities in the neighboring
communities

4.42

0.00

6. Cost of handling environmental damage

—

0.00

0.00

Total

—

789.3768.71

For the Environment

GloBal warMinG prevention efforts
The Japanese government has announced the goal to reduce 25% of greenhouse gasses compared to the amount in1990 by the year 2020. We are working proactively toward meeting that goal by establishing a “CO2 Reduction Office”
to promote measures of reducing greenhouse gasses.

Cutting GHG emissions by 25% or greater by 2020 from 2008 levels.
Major Policies① Effective use of wastes (alternative use of fossil fuel).
② Updating energy efficient machines, facilities and buildings.

③ Effective use of wasted heat from incineration furnaces.
④ Introduction of photovoltaic generation.

The results of this fiscal year’s efforts are as follows.

●●Transition of Greenhouse Gas Emission Volume
We calculated the volume of greenhouse gas emission from energy
sources (electricity, fossil fuels) and non-energy sources (from incineration of industrial wastes).

<Transition of greenhouse gas emission volume>（t）

80,00075,100Industrial Waste Furnaces

The volume of CO2 created during the incineration of industrial
wastes is calculated by following the Law Concerning the Promotionof the Measures to Cope with Global Warming.

<Transition of greenhouse gas emission volume from industrial waste furnaces>（t）

72,00070,00021●●Greenhouse Gas Emission Volume from12,000

10,54910,4482008

2009

10,00060,0008,000

50,00040,0006,000

30,000

4,702

4,000

20,0002,000

10,000
0

2008

0

2009

2007

The volume of CO2 emission increased as a result of
being given a large industrial waste furnace in FY 2007.

●●Greenhouse Gas Emission Volume Details
Calculated using energy sources*1 and non-energy sources*2.
1: CO2 created when use of energy such as electricity and fossil fuel takes place.

*

2: CO2 created when wastes are incinerated and methane gas created during
sewage treatment.

*<Greenhouse gas emission volume by origin of cause>
Electricity

12.0%（ℓ/km）
0.145013.5% Total emissions
8.5%

We have numerous vehicles in service and are making efforts to promote energy efficiency as the assigned transporter. With fuel cost
reduction through the introduction of digital tachograph and bettertransportation efficiency through using more efficient collection
routes, we continue to achieve fuel cost reduction of over 3% compared with the data yielded in FY 2005, prior to the introduction ofdigital tachograph.

<Comparison of vehicle fuel costs>

Car fuel

Heavy fueloil, etc.

●●Car Fuelfor FY2009:
Appx. 72,000 tons

Non-energy caused CO2

66.0%

The emission coefficient given under
the Law Concerning the Promotion of the Measures to Cope with
Global Warming is used to calculate
greenhouse gas emission volume.
For CO2 emission from wastes, theemission coefficient is used by calculating from the analysis value of
wastes per category in the Wastes
Disposal and Public Cleansing Act.

0.14030.14000.13570.13500.13000.1250

0.0

2005

2009

3.3% more cost
efficient

●●Basic Unit of Energy (Fossil Fuel) Consumption●●Actual Examples of Energy-Saving Efforts

Basic unit of energy consumption per ton during industrial waste incineration has showed a substantial continued decline as a result of
being given a large industrial waste furnace in November 2007 andreducing fossil fuel by separation of waste incineration.

<Actual examples of energy-saving efforts in FY 2009>

with Industrial Waste Furnaces<Basic unit of energy consumption in industrial waste furnaces>

at Each Plant

Plant

Details

Volume of greenhousegas reduction*

KitaKyushu

Reduction of Class-A heavy fuel oil by 15%
and electricity by 20% through better sortingof wastes and energy eﬃcient incineration

2,090 t / year

Fukuoka

Reduction of 48,000kWh through cycling ofwater discharged from the chiller andconcentrated operation.

27 t / year

KitaKyushu
HibikiClass-A heavy fuel oil basic unit reduced
by 20% through adequate management of
the amount of air conditioning.

41t / year

（GJ/kg）
3.00

2.50

2.48

2.00

1.70

1.50

1.00

* : Conversion of energy (electricity and fossil fuel) reduction volume into CO2emission volume.

0.68

0.50

0

2007

2008

2009

●●Trial Introduction of LED Lighting●●Basic Unit of Energy Consumption in Precious

and Rare Metals Recycling Business

Basic unit of energy consumption increasingly reduced due to achange in the composition of the production volume of precious
and rare metals in FY2009.

<Basic unit of energy (electricity, fossil fuel) consumption
with precious and rare metals recycling>
standard year

（MJ/kg）
350
300

292

280

280

reduced by 41%

250

LED fluorescent lights were introduced at the Techno Center
office as a trial. The practicalityof LED lighting is evaluated inregard to the brightness, effects
on working conditions andother aspects.

22●●Efforts to Improve Recycling Rate
We have achieved 80% of recycling rate in FY 2009 as a resultof our efforts in recycling various types of wastes.

<Recycling rate>
（%）
82

78.6

78

192

200

76

150

74

100

72

50

0

0

80.8
79.1

80

2006

2007

2008

72.3
2006

2007

2008

2009

2009

●●Accessible Energy Saving●●Participaing in “CO2 Minus Project”
We have participated in “CO2 Minus Project” since 2009, which National Federation of Industrial Waste Management Associations has
advocated the independent guidelines. Members control emissions of greenhouse gasses inthe year 2010 at the same level as the year 2000.

A useful energy saving guide (published by the Energy Conservation
Center, Japan) for use at a plant, in the office and at home is madeavailable to everyone via our in-house information network, supporting the efforts being made at each of our business centers.

For the Environment

reduCtion of environMental Burden throuGh Business aCtivities
Results of Our Group’s Environmental Burden Reduction (FY2009)
Volume(thousand tons / year)

Reducing of externalburdens on the environment

Recycling of glass andbricksFuel production
for energy generation

Photovoltaic
power generation

Fermenting andcomposting

Freon detoxification
treatment

Treatment
by incineration

Treatment of effluent

Construction waste
recycling

Reduction ofenvironmental
burdenIT equipment recycling

23

Business process

Precious metal recycling

We evaluated the major businesses
and tasks of the company group tosee how much of the environmental
burden in the society as a whole has
been reduced through our businessactivities. The subjects of the evaluation were the two business divisions
for precious metals recycling and environmental protection, implementing
at our plants and offices activities tosave resources and make calculations
in regard to (1) the reduction volumeof natural resources, (2) the volume ofrecycling, (3) the volume of controlledgreenhouse gas emissions, (4) the effects of reduction of final disposal, and(5) the effects of fossil fuel reduction.

Saving exhaustible
natural resources

3,092

Recycling

340.8

Reduction ofgreenhouse gases

91.5

Minimization of the
final disposal volume

86.1

Saving fossil fuels

7.0

Results of reducing the final disposal volume: Covers the quantity by which the volume of waste brought to us(excluding waste oil, waste acids, and waste alkalis) is reduced (the quantity that could avoid controlled landfill
disposal) as a result of going through our waste treatment process.

1. Results of Saving Exhaustible
Natural Resources: Calculated by weight: Not targeted for numerical evaluation

3,092.0 thousand tons / year

Through recycling all kinds of raw materials, we are cutting back on the amount of natural resources(precious metals, non-ferrous metal ores, gravel, sand, agalmatolite, quartz sand, plaster, forests, etc.)that are being mined or felled, thus contributing to the protection of the global environment.

●●Precious Metal Ores●●Gravel●●Timber

Recycling materials containing a lot of
precious and rare metals contributes tosaving mineral resources, such as precious
metal ores.

Materials such as sand, gravel and backfill soil
are recycled from construction wastes like
concrete waste.

Wood chips made from wooden constructionwaste are used as a carbon-neutral fuel inplace of fossil fuels.

(Precious Metal Recycling)(Construction Waste Recycling)(Construction Waste Recycling)2. Recycling (Including Reused Products)

340.8 thousand tons

Various industrial wastes are treated for reuse as raw materials, with the following major recycled/reusable products being manufactured.
* : Raw materials in parenthesis.

●●Fermented Compost●●Gravel, Sand

11.9 thousand tons / year

69.0 thousand tons / year●●Fuel for Cement●●Metal Scraps(Food Waste)(Plastic Waste)

3.5 thousand tons / year

(Construction Waste)(Construction Waste, OA Equipment)

2.1 thousand tons / year●●Wood Chips●●Fire-Proof Bricks(Construction Waste)(High-Temperature Furnace Waste)

1.7 thousand tons / year

3.1 thousand tons / year●●Rivers*●●Glass Cullet

209.0 thousand tons / year

40.5 thousand tons / year

(Waste Liquid, Food Waste)(Bottles, Waste Sheet Glass)* : Water discharged from waste treatment facilities

3. Results of Reducing Greenhouse Gases
91.5 thousand tons

4. Results of Minimizing the Final Disposal Volume
Waste reduction volume: 27.1 thousand tons

We are making contributions to help reduce greenhouse gas emission through business activities such as the collection of precious
metals, glass, fire-proof bricks and CFCs.

The final disposal volume (landfill disposal) can be reduced byincinerating waste.

* : Subject of evaluation: gold, silver, palladium, platinum, indium, glass and fireproof bricks.

●●GoldWaste

Amount of CO2 emitted frommine production
Amount of CO2 emitted fromour company’s recycling
production

100%
Treatment by incineration

Incinerated
ash

14.3%

6. Reduction of External Environmental Burdens
665.3 tons / year

5. Results of Saving Fossil Fuels
7.0 thousand tons / year
By effectively utilizing the thermal energy retained by waste (wasteoil, waste plastics, etc.) for the incinerator we are able to reduce thefuel (heavy oil) needed for incineration.

We are making efforts to reduce environmental burdens createdoutside of the company, such as by cutting back on the amount ofmaterials purchased (chemicals, printing paper, etc.) and changing
the route for outsourced transportation of wastes. The effects areconverted into the volume of CO2.
Subject

Kitakyushu Hibiki Plant

75% or greater
reduction

Kitakyushu Plant

Content

Amount Reduced

Rawchemicals

Reducing chemicals by 571t.

PPC paperManaging copying and PC printing via software;
reducing 854,000 sheets of A4 paper.

1.36t / year
(forest resource : 0.85t)

Altering final disposal site and changing the

415t / year
(ship/car fuel : 160kl)

Transporta- transportation route from Tokyo » Kita-Kyushu totion route Tokyo » Chiba and Fukushima.

249t / year24For the Environment

environMental ManaGeMent
Environmental Policies
We will contribute to the environmental protection of the earth
and establish a sound material-cycle society through the company’s businesses on recycling of precious and rare metals and industrial waste treatment.
(1) In all business activities we will strive to conserve resources andenergy and reduce, reuse, and recycle waste to minimize theenvironmental burden.
(2) We will promote the recycling of resources of precious and rare
metals to achieve a more effective use of the limited resourcesof the earth.
(3) We will adequately and safely perform our operations for thecollection, transportation, and treatment of industrial waste toprevent environmental pollution.
(4) We will prioritize a harmonious coexistence with nature and regional communities. We will strictly follow the relevant environmental laws and regulations and other requirements which we
recognize.
(5) We will establish environmental objectives and targets and periodically review them to continue improving our activities.

25

Environmental Management
Promotion System
Our “Company-wide Environmental Purpose/Goal (annual plan)” isdevised based on the Environmental Policy that establishes our environmental protection philosophy.
With this established, the business offices which have acquired
ISO 14001 approval, set the “Center Environmental Purpose/Goal(annual plan)” and implement environmental protection activities
closely related to their business tasks. Furthermore, the Environment
Committee of each center abides by the regulations set by the environmental law, revises plans and examines environmental education, etc. and provides reports to the management. While the ISO
Office controls the environmental management system (EMS), an
environmental protection supervisor is assigned for each businessoffice as an aim to implement thorough promotion of environmental activities.

Manager(6) We will educate all our employees and increase their environmental awareness as members of the community, promote theirunderstanding of environmental protection activities, and participate in such activities.
These environmental policies shall be conveyed to all of our employees and all those working for the company and announced tothe public as our commitment.

Environmental Management Supervisor
General Environment Committee
ISO Office
ISO 14001 approved center
Center Chief
Environmental Protection Supervisor

ISO14001 Approval
The Asahi Holdings Group has obtained comprehensive ISO approval for the 10 centers including the 6 large centers of Asahi Pretec.
In addition, 4 companies and 7 centers related to Japan Waste havealso individually obtained the approval.

ISO14001 Authentication Certificate

Internal Environmental Inspection Team
Environment Committee

ISO14001 Environmental Audits
Regular inspections are carried out on the state of compliance withspecifications by an external examining authority for ISO14001
activities. Moreover, internal environmental audits are conducted atleast once a year at business sites in order to ensure that EMS isbeing properly administered.

An internal environmental audit

For the Society
We continue making our social
contributions through various activities
as a good corporate citizen that should
coexist in harmony with society.

INDEX

With Our Customers
28 With Local Communities
30 With Our Employees
35 With Our Shareholders and Investors
27

26

For the Society

with our CustoMers
We make efforts to provide detailed responses to the wide-ranging needs of each of our customers
under our motto that “customers come first.”

Initiatives to
Improve Customer Service●●Customer Satisfaction Surveys
We periodically conduct Customer Satisfaction Surveys. We survey
the level of satisfaction with our business activities as a whole, andthen improve upon problem areas based on the results of thereports. Hereafter, we will continue conducting periodic surveys
and working to improve customer satisfaction.

●●Providing Information to Customers
We publish the “Asahi Bulletin” primarily for our customers involvedin the dental sector. Columns on the supply and demand situation
for precious metals and on medicare are posted to the Asahi Bulletinin the interest of providing information.

Quality Assurance System
We hold a Quality Assurance Meeting that is led by the Quality
Assurance Division through an amalgamation of our Sales Division,
Technology Development Division, and Product Manufacturing
Division. Through this meeting we share information such as
customer opinions and market trends in our efforts to improvecustomer satisfaction.
In addition, in order to provide customers with products that earn
their reassurance and satisfaction, we have acquired ISO9001 andstrive to make continuous improvements to our quality management system, while also maintaining and improving upon our
quality. Furthermore, Asahi Pretec also makes efforts to reduce theenvironmental burden while giving consideration to “green procurement” and the Restriction of Hazardous Substances (RoHS) Directive,
which is a European regulations on chemical substances.

Acquisition of ISO 9001 approval
27

Asahi Pretec Co., Ltd.
Techno Center
Fukuoka Plant
Ehime Plant
Saitama Plant
Asahi Bulletin
ISO9001 Certificate●●Initiatives Concerning Fair Trade
We have established the Group Ethics Plan, and prohibit our officers
and employees from having any connection with corruption or antisocial powers.

Asahi Holdings Group Ethics Plan (Excerpt)■●Removing incitements for personal profit and securingcorporate profit- With regard to purchase and other transactions, employees shallnot exert influence designed to impede the adoption of optimalbusiness clients in terms of price, quality, or the delivery term,
and cannot act as a proxy for clients■●Moderate business dining, entertainment, and gifts- Employees shall neither request nor receive money from clientsand customers- Employees shall not provide money or gifts which constitute a
bribe to clients and customers- As a general rule, employees require prior permission from theirsuperiors when both receiving and offering meals and businessentertainment, and the locations and contents of such meals andentertainment should not be expensive■●Emphasizing safety, the environment, and local

communities- Employees shall not have any connection nor engage in any typeof transaction whatsoever with anti-social powers or activities

Our Risk Management
on Information Leakage
By thoroughly banning the taking copies and bringing duplicatesoutside the company (via information storage media), we have further strengthened our internal and external information risk management. We employ security measures features such as a lockfunction on computers used by sales representatives to ensure thatthe computer cannot be easily operated in the unlikely event thatthe computer is lost or stolen. In addition, we provide a data deletion service at our Recycling Centers located in Saitama, Chiba, andAmagasaki for the sake of countermeasures against data leakage
accompanying the disposal of computers, thereby contributing topersonal information protection through our business activities.

with loCal CoMMunities
We are expanding its business activities nationwide, and the support and understanding of local residents areindispensable. In order to continue being as a good corporate citizen who can coexists with the society, the Asahi
Holdings Group carries out grass roots activities in local communities and contributes to society in various ways.

Introduction of Some Activities●●Efforts for a Clean Environment
The Suma Beach located to the west of Kobe city is not only a symbol of Kobe, but also a beach for swimming that makes use of the
only natural coastline in the Hanshin (Osaka and Kobe) region. In
order to protect the fantastic coastal scenery there, local residents,
businesses, schools and administrations came together to work as
one to clean up the beach before and after the swimming season.
Our employees who work at offices nearby also participate every
year with their families to clean up the beach prior to the opening of
the official swimming season.

●●Participating in Local Traditional Events
At Taiyo Chemical, employees participate as volunteers in “Myoen-ji
mairi”, a historically traditional event in Kagoshima prefecture, withgreat excitement. In addition to the usual offering of water and distribution of the event pamphlets to visitors of the event, this year
our employees took advantage of their special skills to decorate theyagura towers erected along the Satsuma Kaido road. Their efforts
to pave the ground around the yagura with stones, handmade signs
and street maps were greatly enjoyed by the visitors.

●●Training for International TechnicalCooperation

The Kitakyushu business office was requested by the Kitakyushu
International Techno-cooperative Association to provide training
concerning waste treatment business to JICA technical trainees fromSoutheast Asia. Participants were young environmental administrative officers working with environmental policies and waste management by the industrial sector in their own countries. They wereattentive to explanations about regulations stipulated by Japan’senvironmental law and our plant’s waste management system.

28

For the Society

Social Contributions ThroughBusiness Activities
We agree with the purpose and support the activities of the 8020
Promotion Foundation for the 8020 Campaign (a campaign to still
have over 20 of one’s own teeth upon reaching the age of 80).
We also recycle the removed teeth crowns collected by dental clinics that agree with the purpose of the cooperating organization forreproducing precious metals such as gold and palladium. The net
profits obtained from sales of these precious metals are madeavailable as funds to assist the activities of various cooperatingorganizations.

<Major organizations that our company
assists>●●The 8020 Promotion

Foundation●●The Japan Cleft Palate

Foundation, a Specified
NPO

29(Provides medical assistance to children
with oral handicaps such as cleft lips andpalates)●●Medecins Du Monde Japon, a Specified

NPO(Provides medical assistance to people suffering from wars andnatural disasters)

TOPICS

Exhibiting at the Kyushu Dental Show
We participated at the 2009 Kyushu Dental Show held at the Marine
Messe Fukuoka in June. At our booth we provided information concerning our recycling technology and products in the area of dental materials to visitors from the dentistry world. By exhibiting at such specializedshows, we are promoting our company activities and disseminating theimportance of recycling awareness.

Medical assistance by Medecins Du Mondewith our eMployees
Our aim is to create happy workplaces infused with a sense of motivation and solidarity that respect individuality andenable self-refinement through work under the management philosophy of “Respect for Human Dignity/Capability.”
We promote a variety of initiatives designed to elicit the strengths possessed by each individual employee tothe greatest extent possible and apply this to work, and to enable them to tackle their work with a sense ofchallenge and job satisfaction.

Creating an Environment Where People Can Work with Peace of Mind
Work-Life Balance

Living one’s life by utilizing the abilities to full extent while striking a balance between
challenging, rewarding work and a fulfilling personal life is not only important to employees,
but to the company as well. There are a wide variety of important values in one’s personal
life, such as family, health, sports, and hobbies, which vary depending on each individuals.
Our company offers support which allows employees to strike a balance in their personal
and working lives.

●●Refresh Holiday●●Mental Healthcare

This is a system whereby employees can take three to five days ofcontinuous holiday time every year beginning in their second year.
This makes it possible to take nine days of continuous vacation time
if weekends are included, which can be used for travel with family
or hobbies.

It is said that stress from work or daily-living related anxieties or worries is spreading in our modern society.
At Asahi Holdings, we believe that mental health is a vital key to ouremployees’ productivity and the improvement of their vitality, andwork with industrial medical professionals with expertise on mental
healthcare to provide individual consultations and preventive seminars. In addition, efforts are made toward comprehensive healthmanagement and seminars concerning better health through medical viewpoints are given whenever necessary.

Individual Cosultaion●●Managing Working Hours
Aiming for suitable workloads and working hours, we conduct personal interviews with every employee and have created a system
to manage actual working conditions with a view to the work-lifebalance of each and every employee. We also provide guidance individually on improving one’s working environment.

Disease Prevention Seminar

30

For the Society●●Childcare Leave●●Supporting Company Club Activities

We assist employees for the birth and childcare, and support working patterns that are suited to their lifestyle through childcare leaveand short-time work.

The Asahi Holdings Group supports the Golden Fighters, the group’s
American football club team. We hope you will continue to support
and cheer for the team.

●●Employee’s Opinion Surveys
We conduct an Opinion Survey on all our employees once every
three years. This survey is conducted in order to objectively grasp
the employees’ level of satisfaction in the company, and the resultsof the survey serve to further vitalize the organization and its humanresources.

●●Employment of Disabled Persons
Employees with disabilities engage in the same types of work thatphysically unimpaired employees do at our workplaces.

31

Employees having a pleasant conversation during break time
(Amagasaki Recycling Center)

Communication between colleagues and with clients is enhanced
through club activities such as baseball and futsal.

Fostering Human Resources

We strive to have professional human resources which value expertise within every rank
Basic Philosophy
and line of work within the company. We provide initiatives like our unique qualificaRegarding the Fostering tion scheme and internal education curriculum, as well as voluntary small group activities which are known as Asahi Small Group Activities (ASG Activities). Furthermore, weof Human Resources

have seven courses of action (mindfulness of profits, CS, information, cooperation, CSR,
growth, and risk) which adopts a results-oriented personnel system that fairly and impartially evaluates the degree to which each and every employee contributes to businessperformance. As such, we endeavor to foster human resources with a fighting spirit.

●●Employee Training Program
Our company provides education suited to the employees’ level ofproficiency from the time they join the company (Entrance Training,
Step-up Training, Power-up Training), as well as education and training for selective human resources by rank (Junior Leader Training,
Manager Training, Leader Training). In addition to which we also

instill each individual with the practical knowledge needed byprofessional human resources through training by division andtechnical ability education. We have also established training
programs which make it possible to nurture specialized capabilities.

32

Step-up Training

Power-up Training

Training by rank

Entrance training

Self-education

Support for acquiring qualifications

Correspondence education

ASG Activities (Asahi Small Group Activities)

DIPS Training (Dental Division training)

Promotion test and training

Leader Training

Manager Training

Junior Leader Training

Power-up Training (around 1 year after joining the company)

Step-up Training (around 3 to 6 months after joining the company)

Primary
management
positions

Training upon joining
the company

Mid-level
management
positions

Training for management positions
upon joining the company

High-level management positions
Specialized andfull-time positions

Training for new entrants

Training by division

For the Society

Promoting Safety and Health Activities
Initiatives for OSHMS

Environmental Safety Education

It is essential to nip disasters in the bud by focusing on the innumerable risks latent in the workplace and reducing such risks in advanceso as to reduce the number of disasters. Our company aims to
improve the safety and health standards of our workplaces by incorporating the reasoning behind the Occupational Safety and HealthManagement System (OSHMS*) and reducing risks.
Our OSHMS is based upon reducing workplace risks by repeatedly
applying the PDCA Cycle. This is a sequential cycle which runs from“establishing a plan” based on assessments of factors contributing torisk and hazards (Plan) -> “implementing the plan” (Do) -> “evaluating the results of the plan” (Check) -> “revisions and improvements
based on the evaluation” (Act).

Environmental safety education is conducted as part of the Human
Resource Fostering Program in the employee training systemdescribed above, and teaches things like a frame of mind for safely
conducting work and basic knowledge of hazardous substances.
Furthermore, we also incorporate into this role play-type education
which holds group discussions by envisioning specific emergency
situations, such as how you should react if a fire were to break out
during working hours. We also contrive of means to enable individuals to correctly understand the actions that should be taken at theactual work site.

A(Act)
Revise and improve

33

C(Check)
Confirm and evaluate
the progress

D(Do)Implement
the planP(Plan)Create a plan
Rank challenges
in order of priority

Environmental safety education

In terms of on-site support, on-the-job training (OJT) is provided by
specialized staff concerned with health and safety at our sales andplant sites. We strive to improve health and safety in workplaceenvironments by means of safety instruction to workers and persons
in charge.

Identify and evaluate
risk factors: Occupational Safety and Health Management System*

Plant training

Responding to Emergencies

Safety Commendation Activities

By way of safety measures at plants, our company seeks out risks
regarding our business activities, decides on a “Safety Promotion
Director” for each work site, and takes preventive measures. In addition, we have set in place a structure for promptly responding to any
problems in the event that something should occur.
Furthermore, as a means of responding within the company andoutside the company when emergencies occur, we have completed
the “Emergency Response and Management Manual.” We have also
distributed “Accident and Disaster Response Procedures,” which contain essentials for responding to accidents and disasters when they
initially occur, and have mandated that every employee must carrythese with them at all times.

Every year, we strive to enhance awareness of safety by holding
activities to commend business sites and employees who havemade a contribution to safety management at general meetings of
employees.

Holding General Meetings of
Employees
We hold general meetings of employees every year. At the general
meetings of employees a number of different activities are held, including a message from CEO, presentations on the previous term’s
performance and priority issues for the current term from the various division directors, ASG presentations by selected teams, anddiscussions between top management and employees.

Safety commendation

Creating Vital Workplaces
Through Small Group Activities
We implement what we call Asahi Small Group Activities (ASG Activities) with voluntary participation from employees within the same
workplace. Through these activities, participants use their creativity
to work toward solving issues and problems within their workplace.
Groups with outstanding efforts are awarded at the employee general assembly.

General meeting of employees

INTERVIEW

Taking Part in ASG Activities

The main theme of our team, the Yokohama Sales Office B-Team, was tocome up with ways of solving issues
pertaining to cost reduction. Of what
we came up with, our efforts to catalog complicated equipment for easy
viewing and to devise detailed documents concerning industrial wastes
have received high appraisal.
When you look at the effects of ourcost reduction effort you might think
each effect is insignificant. However,since the effort was expanded to
all national sales offices, the effects
have been tremendous. More thanbeing awarded for our efforts, I am
proud and overjoyed to know that
we were able to bring good influences to the company as a whole.

Masami Igarashi
ASG Activities B-Team group leader
Yokohama Sales Office34

For the Society

with our shareholders and investors
We are proactively promoting growth strategy and striving to improve corporate value and provide stabilized returns to
our shareholders through business development.
●●Sales

Shareholder Composition
The total number of our shareholders as of the end of March 2010
was 11,338. When it comes to the stock distribution status by holder,individuals and others hold 46.75%, foreign corporations and others
hold 12.68%, financial institutions hold 19.74%, other corporations
hold 10.08%, treasury stocks hold 9.70%, and securities firms
account for 1.05%.

(100 million
yen)
（億円）
1,500

1,174

1,200

1,264

976
820

900

600

623

300

●●Stock Distribution Status by Holder

0

2005

2006

2007

2008

2009

Securities firms
191,172 stocks

1.05%
Individuals and others
17,270,063 stocks

Treasury stocks
4,038,767 stocks

46.75%

9.70%●●Ordinary Profit(100 million
yen)
（億円）
120

108
95

100

Other corporations
4,050,150 stocks

10.08%

75

80

Financial institutions
5,279,246 stocks

Foreign corporations, etc.
5,424,946 stocks

19.74%

12.68%

35

As of March 31, 2010

60

55

40
20

-5

0

Basic Philosophy
on Shareholder Returns-20

Our basic philosophy with regard to the sharing of profits is to “measure up to the expectations of all of our shareholders through dividends and the like by striving to raise our corporate value throughmaintaining a stable earning capacity and further growth.” At thesame time, we also believe that “it is important to aim for ample
retained earnings in order to provide for things like investment togrowth sectors and new business development.” As such, we haveadopted Dividends on Equity (DOE) as indicators for returns toshareholders, which is a multiple with Return on Equity (ROE) by thedividend payout ratio. Based upon this fundamental policy, withregard to shareholder dividends we will make strategic business
investments to strengthen and grow our earnings structure, while
also striving to continue effectively utilizing shareholders’ equity.

2005

2006

2007

2008

2009

●●Total Assets(100 million
yen)
（億円）
600

556

500

456

417
400

492

364

300

200

100

0

2005

2006

2007

2008

2009

1,151

1,180

2008

2009

●●Number of Employees●●Transition of Dividend Per Shareyear-end dividend ■ 中間配当
mid-term dividend■ 期末配当

(Yen)
（円）
50

50.0

50.0

25.0

25.0

25.0

0

1,000

1,076
911

945

2005

2006

800

25.0

600

400

20
10

1,200

45.0

40
30

50.0

(Persons)
（名）

20.0

2006

25.0

25.0

25.0

2007

2008

2009

200

0

2007

Reference

36

INDEX

Group History
39 Group Companies
40 Cover Design and Group Logo Mark37

ReferenceGroup history
Effective utilization of resources and environmental protection — these are the themes that we have been
consistently and invariably addressing since our foundation.

Stage 1
We commercialized the recycling of silver from photographic development processes at a time when publicconcern was not as focused on recycling and environmental issues as it is today. Additionally, we also newly
entered the environmental protection business.

1974
Fukuoka Office opened, thereafter followed by offices and plants
throughout the country.

1975
PLATA, small electrolytic silver recovery equipment, entered production.

1952
Asahi Chemical Laboratory founded.
Started recovery of silver from photographic fixing solutions.
The photography industry expanded significantly along with therapid economic growth, and the demand for silver expanded inindustries related to silver for photo-sensitive materials.

1964

1978
Head Office building completed in Higashi-Nada-Ku, Kobe.
Registration of environmental measurement certification office

1981
Started objective management and internal proposal system.
Announced practical realization of the digital camera.

Incorporated as a limited company.

37

1968
Kobe Plant constructed in Higashi-Nada-Ku, Kobe.
Started supply of silver to then Fuji Photo Film Co., Ltd.

1969
We took the lead to introduce the industry’s first electrolytic
silver recycling device which we developed, making it possible
to recycle silver efficiently and with high purity.

1971
Enactment of the Waste Management and Public Cleansing Law.
Became mandatory to control the amount of waste discharged
and treat it properly.
Contracted to join then Fuji Photo Film’s photo treatment and environmental protection program.

Stage 2
We responded to changes in the market through technical innovations while promoting the diversification of
our precious metal recycling business.

1982
Entered the precious metal recycling business from the dentalrelated business.
Determined the diversification of precious metal recycling business
foreseeing the reduction of the photo effluent treatment market.

1986
Started recycling precious metals from electronic components
and the jewelry industry.

1988
Started manufacturing and sales of chemicals for plating.

1973
Industrial waste disposal license obtained from Kobe City authorities.
First in Japan to receive a license to treat toxic effluent related
to photography. The number of employees was only around 20
people.

1992
Obtained specially controlled industrial waste disposal license.

1993
Establishment of the Basic Environmental Law which forms the
backbone of Japan’s environmental policy.

Stage 3
Opened overseas bases for the first time in order tomeet the needs for precious metal scrap collection
which arose in local regions in the wake of the overseas business expansion of our clients in Japan, andbecame listed on the stock market.

2004
Acquired Nihon Chemitech Co., Ltd.

2005
Acquired Shioiri Kenzai Co., Ltd.
Daimon Co., Ltd. merged to Nihon Chemitech Co., Ltd.

1994

2006

Asahi G&S Sdn. Bhd. established in Malaysia.

Acquired Iyotec Co., Ltd.

1997
Five subsidiaries and affiliates merged and changed their nameto become Asahi Pretec Corporation.

1998
Headquarters moved to Sannomiya, Kobe.
Techno-Center opened.

Acquired Nishiki Kosan Co., Ltd.
Eco-Material Co., Ltd. merged to Nihon Chemitech Co., Ltd.
Established Asahi Pretec Korea Co., Ltd. in Korea.

2007
Established the Tokyo Headquarters in Marunouchi, Chiyoda-ku,
Tokyo.
Merged with Nishiki Kosan Co., Ltd.

1999

Acquired Taiyo Chemical Co., Ltd.

Stock made available to public on over-the-counter market.

Acquired part of the environmental business from Sanix Incorporated, established Kitakyushu Office.

Acquisition of ISO9001 certification with Techno Center

2000
Acquisition of ISO14001 certification with Techno Center
Listed on the 2nd Section of the Tokyo Stock Exchange.

Stage 4
Promoted an expansion of the items dealt with andenlarged our service provision area through M&A inorder to meet the increasingly diverse needs of ourcustomers concerning waste treatment.

2008
Established Japan Waste Corporation.
Acquired Fuji Rozai Co., Ltd.

Stage 5Carrying on with challenges in aspiring to be a leading company in the eco-business that contributes tosociety through its businesses.

2009
Asahi Holdings, Inc. newly listed.

2001

Conversion to a holding company.

Acquired Sansho Co., Ltd., Daimon Co., Ltd., and Eco-Material Co.,Ltd.

Business commencement of JW Glass Recycling

2002
Promoted to the 1st Section of the Tokyo Stock Exchange.

2003
Shanghai Asahi Pretec Co., Ltd., established in China.

2010
Conclusion of a joint-venture contract with a local influential
enterprise in China.

38

Reference

asahi holdinGs Group CoMpanies
Asahi Pretec Corporation●●Shanghai Asahi Pretec Co., Ltd.

(Head Offices: Kobe city, Hyogo prefecture / Chiyoda Ward, Tokyo)

Precious Metals Recycling

Precious Metals Recycling
Collecting, refining and recycling precious and rare metals used in a variety of areas such as electronics, flat panel displays, catalysts, dentistry, jewelry, information
device, photography and so forth.

●●Asahi Kanfort (Jiangmen) Environmental

Management Co., Ltd.

Environmental Protection

Precious Metals Recycling

Waste treatment and other environmental protection efforts.

Collection of precious metals from areas such as catalysts and recycling at the
local plant scheduled upon joint venture with Kanfort Industrial (Jiangmen) Precious Metals Co., Ltd.

<Overseas Bases>●●Asahi G&S Sdn. Bhd. (Malaysia)●●Asahi Pretec Korea Co., Ltd.

Precious Metals Recycling

Precious Metals Recycling

Collection of precious metals from electronic parts and local jewelry manufacturers and recycling them at the local plant.

Collection and recycling of precious metals from a wide range of areas including
the electronics industry and dentistry, etc.

Japan Waste Corporation●●Sansyo Co., Ltd.

(Head Offices: Kobe city, Hyogo prefecture / Chiyoda Ward, Tokyo)
39

Collection of precious metals from mainly Japanese IT manufacturers establishedin China and recycling them at the local plant.

Joining subsidiary companies under Japan Waste to broadly conduct extensive
waste treatment and other environmental protection business.

<Subsidiaries>(Head Office : Yokohama City, Kanagawa Prefecture)

Environmental Protection
1. Efficient sorting and crushing of industrial wastes such as waste plastic produced by industries.
2. Cleansing of hazardous wastes attached to semi-conductor manufacturing devices and all kinds of research laboratory equipment.

●●Nihon Chemitec Co., Ltd.

(Head Office : Kawaguchi City, Saitama Prefecture)

Environmental Protection
1. Neutralization and biotreatment of industrial wastes discharged frommanufacturers of semi-conductors, electronic components, etc. to make such
wastes harmless.
2. Biotreatment, dewatering and volume reduction of organic waste liquids andsludge from foods discharged from various food manufacturers and restaurants.
In addition, producing compost from organic waste.

●●Shioiri Kenzai Co., Ltd.

(Head Office : Nagano City, Nagano Prefecture)

Constructions
Engineering work on rivers, roads, bridges and tunnels; contracting of water andsewage works and building dismantling.

Environmental Protection
Recycling of specific construction waste materials like concrete blocks, metal
scraps, construction waste wood, waste soil from digging, etc.

●●JW Glass Recycling Co., Ltd.

(Head Office : Koto Ward, Tokyo)

Environmental Protection
Recycling of sheet glass and glass bottles.

●●Iyotec Co., Ltd.

(Head Office : Akashi City, Hyogo Prefecture)

Temp Service
Dispatching of human resources to mainly chemical and machinery plants.

●●Fuji Rozai Co., Ltd. (Head Office : Ota Ward, Tokyo)

Furnace Repair
Demolishing and periodic repairing of glass manufacturing furnaces, waste
incinerators, etc.

Environmental Protection
Collection, transportation, intermediate treatment and recycling of fire-proof
bricks, etc.

●●Taiyo Chemical Co., Ltd.

(Head Office : Kagoshima city, Kagoshima prefecture)

Environmental Protection
1. Incineration and neutralization of waste oil and liquids discharged from electronics components and photography industries.
2. Incineration of infectious medical wastes from hospitals.

40

Cover Design and Group Logo MarkThe group’s logo uses a spiral shape as a motif to signify our corporate stance in seeking “environmental protection through recycling”,
a feature of our business, and also means continuity and growth.
The arrowheads stretching upward and downward symbolize ourbeing an advanced and cutting-edge company. The three colors ofblue, red and green each respectively signifies “clean water and sky”,“the energy of people doing activities” and “beautiful nature andforests”.
This front and back of this report cover is based on this group logo.

Note of Caution Concerning
Our Views on the FutureThis report not only includes facts on the past and present of the
Asahi Holdings Group, but also contains statements pertaining tofuture reappraisals of items like future plans and strategies. Thesefuture reappraisals inherently contain risks and uncertainties, and inreality results which differ vastly from these statements may
potentially arise owing to various factors. We ask for the reader’s
understanding with regard to this point.

Asahi Holdings, Inc.
11F Sapia Tower,
1- 7 -12 Marunouchi, Chiyoda-ku, Tokyo
100 - 0005, Japan
TEL : + 81 - 3 - 6270 - 1833
Website : http://www.asahiholdings.com
Environmental Consideration in Printing■ PaperThis report uses paper certified by Forest Stewardship Council (FSC) that
includes fiber from responsibly managed forests certified by the FSC.
■ Ink
This report was printed with ink which does not contain volatile organic
compounds (VOC).
■ Printing
This report has adopted a waterless printing method requiring nodampening water containing alkaline developers or isopropyl alcohol.