Table of Contents
From Our Editors
Message from the President
Company Overview
Outline of Our Business
Management Philosophy/Environmental Policies
Corporate GovernanceManagement System
FY2013 Achievement of Environmental Goals and Objectives
Environmental Goals and Objectives for FY2014
Setting Mid and Long-term Goals for CO2 Reduction--------------1--------------2--------------2--------------3--------------4--------------5--------------6--------------8--------------8--------------9Highlights of Our Environmental Activities--------------10

Controlling Environmentally Unfriendly Chemicals
Environmental Conservation Activities
Environmental Burden Data
Environmental Accounting
Environmental Education
Numbers of Employees with Certification in the Environmental Field
Improve environmental awareness--------------13--------------15--------------17--------------20--------------21--------------21--------------22

Social Contribution
Benefits with Employees--------------23--------------24

Postface--------------26

From Our Editors
Every year at Cosel Co., Ltd., we are preparing and disclosing Environmental Report so that more
people understand our environmental activities.
We are more than happy if this report helps you understand our environmental initiatives and activities.
In preparing this report, we have referred to "Kankyo Hokokusho Gaidorain 2007 (Guideline toEnvironmental Reports 2007)" issued by the Ministry of Environment.
◇Organizations Covered by this Report:
Cosel, Co., Ltd.
Head Office and Plant/Tateyama Plant◇Period Covered by this Report:
May 21, 2013 to May 20, 2014("FY 2013" in this report refers to above period)◇Issue Date of the Next Environmental Report:
July, 2015
◇ Last Issuance: July, 2013

Taken from our Digital Photo Club

1

Environmental Report2014 COSEL CO.,LTD

Message from the President
Today, natural disasters maybe be affected by global warming are occurring more often problems such as air
pollution, exhausting resources and energy associated with economic expansion in emerging countries have been
exposed, and environmental issues have been more serious worldwide. Since the nuclear plant accident happened
at Fukushima after the Great East Japan Earthquake, we have experienced a energy supply shortage due to a new
direction in our nuclear energy policy. In this situation, sustainable growth and expansion of business will not be
accomplished unless wework on integrating a business management and environmental management.
As a developer and manufacturer of equipment related to electricity, we believe that we can contribute to energy
saving for the entire society through our business activities. In particular we are promoting energy saving products
for power loss reduction of customer's systems. We also believe that it is our mission and responsibility to pass on
this precious earth's environment with healthy conditions to our next generation.
We will strive to continue providing new value obtaining customers' and social needs based on the environmental
principle "Harmonize production and product development with environment, endeavor to maintain and improveglobal environment and thereby contribute to the society." And we aim to become a company to which ourcustomers would say "we would like to use Cosel products" for both the quality and environmental responsibility.
Keeping the idea of protecting the global environment and of realizing a sustainable society, we would like tocontinue to advance as a trusted company. Please feel free to contact us with your honest opinions and input for
our further improvement.

President and Representative
Director

Masato Tanikawa

Company Overview■Trade Name:■Headquarters:

Cosel Co., Ltd.
1-6-43 Kamiakae-machi, Toyama City, Toyama Prefecture, 930 0816, Japan
TEL：076-432-8151
FAX：076-441-5324
Manufacturing and Sales of Electric Devices and Electrical Machine Equipment■Business:
Regulated Power Supplies (such as Switch Mode Power Supplies)■Main Products:
Masato Tanikawa■Representative:
July 26, 1969
■Date of Establishment:
2,055 Million Yen■Paid-in Capital:
19,638Million Yen (Non-consolidated basis for the period ended May 20, 2014)■Annual Sales:■Number of Employees: 419 (Non-consolidated basis as of May 20, 2014)
Taiyoudenshikougyou CO.,LTD. (Tsukioka-machi, Toyama City, Toyama Prefecture)■Affiliates:
COSEL U.S.A.INC. (San Jose, USA)COSEL EUROPE GmbH（Frankfurt, Germany)
COSEL ASIA LTD.（Hong Kong, China)
Cosel (Shanghai) Electronics Co., Ltd.
Shanghai Cosel International Trading Co., Ltd.
Wuxi Cosel Electronics Co., Ltd.
◆Sales (Non-consolidated Basis)◆Operating Profit/Current Profit/Net Profit for the Period（Millions ofYen）
25,000Unit

On Boad（Million of
Yen）

Noise Filter

6,000

Operating Income
Net Income

Ordinary Profit

5,000

20,0004,000

15,0003,000
10,000

2,000

5,000

1,000

0

0
2009/5

2010/5

2011/5

2012/5

2013/5

2014/5

2009/5２

2010/5

2011/5

2012/5

2013/5

2014/5

Environmental Report2014 COSEL CO.,LTD

Outline of Our Business

Unit Type
Unit type
Power supply
Regulated
Power supply

PC Board TypeStandard
Power supply
On-Board Type
On-Boad type
Power supply

Power Module Type

Noise Filter
Many electric components including semiconductor devices are used in electronics products such asindustrial and commercial equipment. For this equipment to operate, electrical power delivered tofactories and households needs to be converted from alternating current (AC) to direct current (DC).
Our regulated DC power supplies make this possible.
In particular, switch mode power supplies are our main products. They are used in many electric
devices such as information syastems,telecommunications, medical and FA equipment because they
are compact, light weight and highly efficient.
We can say that switch mode power supplies are the hearts of this equipment and hold a key to the
future of the electronics era.
We will continue our dialogue with new technologies and make highly reliable products which will help
build the future of electronics.

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Environmental Report2014 COSEL CO.,LTD

Management Philosophy/Environmental Policies
Management Philosophy"Responding to the trust of the society by putting Quality as themost important priority"
We are trying to improve ourselves by using the idea
and methodologies of Total Quality Management (TQM)
based on our management philosophy of "meeting up
with expectations from society by putting quality above
anything else."
In order to achieve this, we are striving to secure ourposition in the increasingly competitive switch-mode
power supply market by clearly presenting goals andmeasures and applying them on the company-widebasis to live up to expectations from society by providing
attractive products.

Management Philosophy"Responding to the trust of the society
by putting Quality as the most important priority"
Cosel's Charter on Ethic
Standards for Voluntary Action
Internal Rules and Regulations

Awareness and Sense of Ethics of Individual
Employees

Positions of Cosel's Charter on Ethics and Standards for Voluntary
ActionSupremacyofSupr
Qualityemac

Cosel's Charter on Ethic and Standards
for Voluntary Action are established sothat all the management and employeesof Cosel group become fully aware of
their social responsibilities, completely
comply with laws and regulations insettings of various business activities andact in a socially ethical manner in orderto achieve our management philosophyof "responding to the trust of the society
by putting Quality as the most importantpriority" (established in September,2006).

Environmental Policies
Environmental Principle
Harmonize production and product development with the environment, endeavor to maintain andimprove the global environment and thereby contribute to the society
Action Guidelines(1) Offer environmentally friendly products.
(2) Avoid unnecessary consumption of resources and promote reuse of waste.
(3) Reduce and eliminate the use of environmentally unfriendly chemicals
and endeavor to improve the global environment.
(4) Set and review goals and objectivities to control our activities,
work for continuous improvement and prevent contamination.
(5) Comply with national and local environmental regulations and align with
the needs of customers and local communities.
(6) Enlighten employees about environmental preservation including biodiversity conservation throughenvironmental of all employees.
This environmental policies are made public.
Set forth on May 21, 1999
Revised on November 21, 2012
Masato Tanikawa
CEO
Cosel, Co., Ltd.

４

Environmental Reporｔ COSEL CO.,LTD

Corporate Governance【Basic Concept】
We take corporate governance as important business challenge. We are trying to make ourmanagement more efficient;to become a company which lives up to the trust and expectations ofvarious stakeholders. We have adopted the Corporate Auditor System so that we perform better
management monitoring and compliance with laws and regulations.
< Outline of Corporate Governance Organizations >Shareholders' Meeting
Appointment/Dismissal

Appointment/Dismissal
Accountant Auditing

Auditing

Board of Auditors
Auditors

Appointment/Dismissal

Accountant Auditors
Auditing Firm

Board of Directors
Directors

ReportingAppointment/Supervising
ReportingCEO
RC (RiskManagement andCompliance )Committee,
Environmental
Committee,
Quality
Assurance
Committee

Auditing

Auditors' Office

Action Plan Setting
Meeting(Enlarged) Management
Meeting
Accountant
Auditing

Reporting

Auditing

Business Divisions and Group Companies

Corporate Governance System
We are adopting the Board of Auditors System. Two of our three auditors are external auditors
as defined in paragraph 16, Article 2 of Companies Act. Currently, Cosel does not have any
external director. There is no department to support our external auditors.
However, information is conveyed to our external auditors at our monthly board of auditors
meeting.
【Board of Auditors】【Board of Directors】

The Board of Auditors is comprised of threeauditors; one standing auditor and two external
auditors (out of which one is an attorney). They
attend meetings of the board of directors and othermeetings and audit execution of duties bydirectors.

The Board of Directors makes decisions on
matters as required by laws, regulations andarticles of incorporation. The Board also makes
decisions on management policies, business
operations and checks the execution of duties bydirectors.
The Board of Directors comprises of sevendirectors. The meetings of the Board of
Directors are usually held once a month.
Directors execute businesses in the area of
responsibility under the dection of CEO thebased on the management policies decided onat meetings of the Board of Directors.

【Auditors Office】
Auditors' Office (one person) is established toenhance internal governance function incollaboration with auditors, the Board of Auditors
and Accounting Auditors.

５

Environmental Report2014 COSEL CO.,LTDマネジメントシステム状況
Management System
Organizational Strucuture
The following is our organizational structure to promote the activities to reduce environmental burdens.
CEO*1Manager for
Environmental Activities*2
Environmental
Auditors

Environmental
Committee

Secretariat
Division in charge ofenvironmental issues

Conduct
Environmental
Audit

Department

Beautification andRecycling Committee

Safety and Hygiene
Committee

SectionMake recommendations
concerning
Labor Safety Law

Give directions on Recycling
Activities*1*2

Chairman of Environmental Committee = Manager for Environmental Activities
Made up of major departments

ISO14001
We are in compliance with ISO14001 at
our Head office and Tateyama Plant,
and are promoting continuous activities
to improve ourselves.

●Date of Acquisition: December 17, 1999
●Area Covered: Head Office and Plant/Tateyama Plant●Registered by: Japan Quality Assurance Organization

International Sales Dept.

CEOSales Support Section

11 Sales Offices

Domestic Sales Dept.

Toyama Sales Office

Administration Dept.

General Affairs Debt.

Accounting Debt.

Human Resource Dev elopment
Debt.

Unit Standard Design
Dept.
On-Board Standard Design
Dept.
Intelligent Power System
Design Dept.
R & D Dept.

Noise Filter

Design Dept.

Global Standard Design
Dept.
Quality Management
Dept.

Ｔhe coverage outside

Information Systems Dept.

Head Office and Plant
Unit Production Dept.

Tateyama Plant

On-Board Production Dept.

Purchasing Dept.

６

Environmental Report2014 COSEL CO.,LTD

Management System
Legal Compliance and Others
We are keeping abreast of changes and revisions in environmental laws and regulations which weneed to abide by in our monthly environmental management activities. If there are any changes or
action required, we inform all employees through our internal Environmental Committee,
Regarding other requests, we input them in our computer system so that all the employees and therelevant can access the infomation.
We consider all the laws, regulations, requirements and evaluation results in our internal rules,
regulations and standards then evaluating our legal compliance each year to make sure we do not
violate any laws, regulations or requirements.

Environmental Audit
We are conducting an environmental audit each year to confirm our compliance with ISO14001,
implementation and performance status.
Our internal auditors form a team comprising of those who have taken internal and external audit
trainings and deemed qualified to audit each department.
Currently, there are 23 internal environmental auditors.
Each auditor reports audit results including areas of improvement to each department manager.
Each department reviews their activities and engage in activities for continuous improvement.
In FY 2013, 9 non-compliance cases were observed. Corrective actions were completed for allcases.

Prevention of Accidents
We have developed a "Environment-related Equipment Map" which shows where the environmentrelated equipments is at our Head Office and Tateyama Plant to prevent and detect accidents caused
by abnomal operation.
If we determine that a certain equipment needs more control, we check if the procedure set forth in
the case of emergency are put in place, and if regular maintenance and measurement are performed.
In this manner, we are well-prepared to cope with an unexpected incident.
We have received no complaints from our stakeholders about the environment-related issues in
FY2013.
We have confirmed that all our measured environmental data, including vibration and noise level, do
not exceed legal and regulatory maximum limits.
(Example) We are checking kerosene and oil tanks every month to see if there is any cracks or
damages to prevent soil contamination.
環境関連設備マップ（本社工場）
少量危険物貯蔵取扱所

液体窒素タンク

GHP（4F屋上）

コンプレッサー（本社A）
LPGバルク貯槽

環境関連設備マップ（立山工場）

本館(1F-3F)

廃棄物置き場（機械室）

Ｒ機械室(4F室内)2009.5.1ボイラー
吸収式冷温水機

・吸収式冷温水機(立山ａ)・コンプレッサー

立山工場

・消火栓ポンプ室
危険物屋内貯蔵所（有機溶剤貯蔵庫）
特別管理産業廃棄物置き場

太陽光発電

コンプレッサー（本社B）
地下水循環ポンプ（揚水機）
L P ガスタンク

窒素タンク置場（現在不使用）
少量危険物貯蔵取扱所

ガスボンベ貯蔵庫

渡
廊
下

緑
地
帯

新館
(1F-4F)

駐車場

60KW太陽光発電
水路
コミュニティ
クラブ

ＫＨＰ
氷蓄熱式空調システム
ＧＨＰ

正
門

LPGバルク貯槽
吸収式冷温水機(立山ｂ)

灯油タンク・貯油槽
少量危険物取扱所

給湯ボイラー

N

敷地境界線

駐車場

緑地帯

廃棄物置き場

ガスボンベ（LPガス）
テニスコート

灯油タンク・貯油槽

西門
水路
駐車場
未開発地域

敷地境界線

７

Environmental Report2014 COSEL CO.,LTD

FY2013 Achivement of Environmental Goals and Objectives
We achieved the targets for the recycling ratio of industrial wastes and for the reduction of power
consumption in the specified departments.
We decreased CO2 emission more than the one in FY2012, however, we could not reach the target for
the reduction of CO2 emission .
As to the items related to new products, we could not have enough record to judge due to productdevelopments delay .
【Results:
No.
1

2

3

4

Objectives○: Goals Achieved, ×: Not Achieved】

Control Item

Results

Evaluation

Amount of CO2 Emission from power
0.104t/million yen
consumption per 1 million yen ofsales: 0.101t or less
Amount of Wastes per 1 million yen of
Reduction of Industrial
0.47kg/million yen
sales: 0.40kg or lesswastesRecycle rate: 95% or more
95.4%
Efficiency improvement of new product A No record due toReduction of CO 2 by
product developments
90% or more
new products Efficiency Efficiency improvement of new product Ｂ delay
90% or more
Reduction of power
Reduction ratio of Power Consumption in
consumption in on-board
14.7%
Base Unit 5% or moreproduction department
Reduction of power
consumption

×
×
○
○

Environmental Goals and Objectives for FY2014
Progress in each area for FY2014 is confirmed at the environmental committee, which is held every othermonth.

No.

Objectives

1

Reduction of power
consumption

2

Reduction of Industrial
wastesControl Item
Amount of CO2 Emission from power consumption per 1 million
yen ofsales: 0.101t or less
Amount of ｗastes per 1 million yen of sales: 0.40kg or less
Recycle rate: 95% or more

８

Environmental Report COSEL CO.,LTD

Setting Mid and Long-term Goals for CO2 Reduction
Setting Mid and Long-term Goals for CO2 Reduction
In FY2009, "CO2 Reduction Project" was launched and mid/long term reduction goals and action plans
were established.
To realize the goals and plans, we have developed energy saving products for improving customers'
system energy consumption and performed implementations to save daily energy consumption at
COSEL facilities.
Mid andＣＯ
Long-term
Goals for CO2 Reduction
２排出量中長期削減目標

120%

Goals for 2050
75% Reduction from
2005

Goals for 2020
35% Reduction from
2005

100%

80%

60%

40%

20%

0%
1990

2000

2010

2020

2030

2040

2050

事業年度

FY

●3 Categories of CO2 Emission
87.7％

U Emission

The amount of CO2 emitted directly or indirectly from
Cosel was divided into 3 categories.
● U Emission: Emission from Product Using Process● F Emission: Emission from Factory process● M Emission: Emission from Materials/Parts
manufacturing process

2.5％

F Emission

9.8％

M Emission

-

2

4

Estimate (FY2005)
6

8

The left graph shows the estimated CO2 emission asof 2005.

1012
14［Ten thousand t-CO2］

Introduction of Power Monitoring System～ Research of peak shift effect by ice storage chilled water supply apparatus～
Peak Shift

氷蓄熱_稼動_8/6～8/10
Operation
8/6-8/10
氷蓄熱_未稼動_8/27～
Non-operation 8/27-8/31
8/31

The chart on the left, it is an
example of using an energy
management system(Elco).
It shows our peak shift effectdata of ice storage chilledwater supply apparatus.
We have created actions
and implemented energy
saving actions by using thedata effectivety.

９

Environmental Report2014 COSEL CO.,LTD

Highlights of Our Environmental Activities
環境活動ハイライト
Development of Smaller and Highly Efficient Power Supplies
When we develop new products, we conduct their environment assessment from the standpoints of energy-saving,recyclability, use or non-use of toxic substances and environmental friendliness of packing materials to develop moreenvironmentally friendly products.
Furthermore, we have established our internal evaluation criteria based on which environmentally friendly products
are recognized and registered as "eco model." We have created the following symbol for to show environmentallyfriendly models and promote these products to our customers (please see page 11).

Small size and high efficiency DIN Rail power supply World's smallest size achieved byhigh efficiency

Industry's highest efficiency
realized by synchronousrectification circuits and resonant
EnergySavingKHEA60F

Resource
SavingWorld's smallest size and highest efficiency product - TUHS series
5～6% Efficiency Improvement from Our
Previous Model！
Internal loss at no load is reduced by
80%！

Efficiency

90
85

75% Smaller than Our
Previous Model！
Previous
Model
10Ｗ
(VAF)

80
EnergySavingTUHS10F24

75

従来品VAF1024
Previous
Model

70
0

0.1

0.2

0.3

0.4

Resource
Saving

TUHS
10F

0.5

Load Current［Ａ］

Small size and low profile EMI filter - JAC series
Low profile design 省エネ
Height：Compared with TAC30

Resource
Saving

３０％ Down

Space and Weight
Reduction !

EnergySavingTransportation energy: Compared with
TAC30

-1.1 kg-CO２

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Environmental Report2014 COSEL CO.,LTD

Highlights of Our Environmental Activities
Establishing Eco Products: Environmentally Friendly Products and its Symbol
We have developed a new internal evaluation system on environmental burdens in order to provide
our customers with information on our products and our efforts to promote the development ofenvironmentally friendly products since 2010.
We are looking at the following 3 items in evaluating our products to reduce their environmental
burdens.
(1) Environmental burdens generated when our products are in operation at customers' site(2) Environmental burdens generated when our products are manufactured at our factories(3) Environmental burdens generated when materials and components we purchase are
manufactured.
Based on the above 3 items, we set our own criteria to certify and register products which satisfy
our criteria as "Eco Products." These Eco Products are highly efficient in reducing environmental
burdens. To promote Eco Products, we developed the following symbol which represent Eco
Products.

The total number of the eco-model180

The total number

160
140
120
100
80

Cosel Co., Ltd. Eco ProductSymbol Mark

60
40
20
0
2010

2011

2012

2013

We will proactively expand our Eco Products to create an environmentally friendly low-carbon
recycling-oriented society and to continue to grow with our customers.
This symbol mark is used in our product catalogue on pages covering Eco Products to provide
information to our customers.

Example of a page in Our Catalog where this Symbol Mark is Used

１１

Environmental Report2014 COSEL CO.,LTD

Highlights of Our Environmental Activities
Reducing Environmental Burden in Production Floor:～Reducing power consumption by compact size soldering pots～

Developing automatic soldering
We have been developing and improving compact automatic
soldering equipments for reducing assembly cost by 50%.
Equipment cost: 50% decrease over the current cost
Soldering time: 50% decrease over the current
soldering timeItem

Ｂ Type machine

Cost

Soldering time

Area

Compact swing
soldering pots

100

49

(Index number)(Index number)

120

Reductin ratio

51%
57%

(second)

52（second)

1,885

1,425 （m2)

24%

(m 2)

Reduction Power Consumption
120

はんだ槽別
Accumulated
power積算電力量比較
use by soldering pots
AA型はんだ槽積算電力量
Ｔｙｐｅ

97kWh

Power consumption(kwh)
電力量（kWh）

100

80

B Ｔｙｐｅ
Ｂ型はんだ槽積算電力量

60kWh

60
Compact swing soldering pots

40

22kWh
20

0

Time
時間

100.0%

Powerはんだ槽別
use ratio by電気使用量割合
soldering pots
(Ａ型はんだ槽を基準として算出)(Compared with A type soldering
pot)

75.0%
61.9%

-77.3%
77.3％減

50.0%

22.7%

25.0%

0.0%

Ａ型はんだ槽A tｙｐｅ

Ｂ型はんだ槽B tｙｐｅ１２

小型ｽｲﾝｸﾞはんだ槽
Compact
swing soldering
pots

Environmental Report2014 COSEL CO.,LTD

Controlling Environmentally Unfriendly Chemicals
EU RoHS Directive (*1) came into effect on July 1, 2006.
Cosel had achieved 100% compliance with RoHS Directive inFebruary, 2006 (*2).
REACH(*3) and PFOS came into effect in FY2007 and
FY2008, respectively. Requirements to control environmentally
unfriendly chemicals became even stricter. We haveestablished the systems to control environmentally unfriendly
chemicals and using these systems so that environmentally
unfriendly chemicals are not used in our products.

Pb
Lead
PBB
Polybrominated biphenyls

Hg
Mercury

CertainHazardous
Substances
PBDE
Polybrominateddiphenyl ethers

Cd
Cadmium

Cr6+
Hexavalent chromium

Green Procurement

Supplier Management

At Cosel, we are facilitating "Green
Procurement" in which we procure environmentallyfriendly components and materials in order todeliver environmentally friendly products to ourcustomers.
We have defined "prohibited materials,""materials targeted for elimination" and "materials
targeted for reduction" for components andmaterials which are used in our products. By doing
this, we can prevent the entry of environmentally
unfriendly chemicals into our products.

We are evaluating the environmental risk ofenvironmentally unfriendly chemicals by our
suppliers and ranking them at 3 levels.
This ranking is used for the "Measurement ofEnvironmentally Unfriendly
Chemicals ofPurchased Materials" and "Audit of Suppliers'
Management of Environmentally Unfriendly
Chemicals." This ranking is reviewed once ayear.
Under this system, we audit and review how
environmentally unfriendly chemicals arecontrolled by high risk suppliers and how highrisk components and materials are controlled bysuppliers. We also facilitate registration of highrisk suppliers, materials and components.

Education on Environmentally
Unfriendly Chemicals(*1)What is RoHS Directive?
RoHS Directive is an EU directive that
restricts the use of certain hazardous materials
in electrical and electric equipment. The use ofsix substances, mercury (Hg), cadmium (Cd),lead (Pb), haxavalent chromium (Cr6+),
polybrominated biphenyls (PBB),
polybrominated diphenyl ethers (PBDE), will be
prohibited from July, 2006.

In FY2006, we conducted an educational
campaign
onenvironmentally
unfriendly
chemicals.
This included people working at ourheadquarters and Tateyama Plant, but also people
who are involved with Cosel's products at ourcontractors and at transportation companies. All
participated in our test and training sessions.
Using a training material developed by ourdepartment which is responsible for environmental
issues, training sessions were held by department
and tests were given to participants to check theirunderstanding about environmental issues. This
enabled them to deepen their understanding of theobjectives and the importance of managing
environmentally unfriendly chemicals as well asactivities taken by Cosel.

(*2) Excluding Maintenance Items(*3) What is REACH?
REACH is a regulation in which manufacturers
or importers of chemical substances are
obliged to register and evaluate chemical
substances in manufacturing or imported and,in the case of chemical substances of very highconcern, an authorization from relevant
authorities is required and high risk substances
are subject to limitation including ban. REACH
entered into force in June 2007.

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Environmental Report2014 COSEL CO.,LTD

Controlling Environmentally Unfriendly Chemicals
New Components, New Products and Mass Production Management
Since FY2006, we have been conducting fluorescence X-ray tests (*4) by target measurement area
to prevent the entry of environmentally unfriendly chemicals into our products. The fluorescence X-ray
test allows us to confirm and verify whether or not a component is complying with our "Green
Procurement Standards."
The evaluation is performed at the following 3 levels.
We have four X-ray fluorescence instruments in total, two units at our headquarter plant and anothertwo at our Tateyama plant.
New Product Launch

Acceptance of Purchased Components

In the past when we adopted a new component,
we conducted a "Quality Evaluation" to preventthe use of defective components. However, we
decided to conduct fluorescence X-ray tests formass production components to check thepresence of environmentally unfriendly chemicals
in newly adopted components. Test results arecompared to the data about environmentally
unfriendly chemicals which are submitted fromsuppliers before components are officiallyregistered.

We also conduct fluorescence X-ray tests inaccordance with the risk rank when we accept
purchased components.

After Mass Production Started
After we start mass production, we evaluate thepresence of environmentally unfriendly chemicals to
make sure if Green Procurement Standards areobserved on an ongoing basis, in addition to ourlongstanding electrical quality and mechanical quality
evaluations.

(*4)What is fluorescence X-ray test?
It is an analytical method in which
information on the existence of an atom isacquired based on the wavelength of a specific
X-ray and the intensity of the energy of the Xray which is generated when X-ray is irradiatedto an atom which comprise molecules.

Fluorescence X-ray Instrument

Management of Production Lines
In order to prevent the entry of environmentally unfriendly chemicals into our products, RoHScompliant products and non-RoHS-compliant products are manufactured in separate lines on our
production floor by using separate equipment, jigs and tools.
Equipment, jigs and tools for soldering process are identified by signs and labels as shown in thefollowing pictures.

Indication of Lead-free Solder

Indication of Soldering Equipment

Indication of Pb Solder

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Environmental Report2014 COSEL CO.,LTD

Environmental Conservation Activities
1．Energy Saving
87% of the energy Cosel consumes is electric power. Since the inception of the Company, all our
fluorescent lamps at our production floors and offices have had pull switches to reduce the amount of
power consumed. We are making sure that lights are turned off during breaks and when not in use.
Furthermore, all the personal computers used at Cosel are set in the energy-saver mode and theirmonitors are automatically turned off when not in use. We are always taking small but importantmeasures.

●Cutting Down Power Consumption of Computers
The entire company has adopted a power-saving configurationin which a monitor goes off and a computer goes to a stand-bymode when it is not in use for a certain period of time.
Power switches are provided for each computer or for eacharea so that when somebody goes home, he or she can turn off
the power to reduce power consumption of computers not inuse.

2．Use of Renewable Energies
・FY2002 60kw solar power generator was installed at the rooftop of the new headquarters building
・In FY2004, 50kw solar power generator was installed at the rooftop of the Tateyama Plant
・In FY2006, 50kw solar power generator was added at the rooftop of the Tateyama Plant
・In FY2010, 50kw solar power generator was added at the rooftop of the Tateyama Plant
The impact of these generators is about 200,000kwh annually (CO2 emission of about 84t-CO2 reduction).

Ten thousand kwh

Headquarters
本社

20
15
10
5
0
'07

Solar Panels at New Headquarters

Tateyama
立山

'08

'09

'10

'11

'12

Solar Panels at Tateyama Plant

'13
（FY）

Trend of Solar Power Generation

3．Reduce● Reduction of Use of Air Cap Bags for Packing
Air cap bags were used when we send transformers andsheet metals,or other items . to contract manufacturers.
Once packages are opened at contract manufacturers'
sites, the air cap bags were disposed as industrial waste.
We reduced the use of air cap bags by changing our
packing methods using reusable Tupperware and othercontainers.
Unpacking at contract manufacturers' sites also became
more efficient.
(This is one example of our QC circle activities)

Air Cap Bags

Reusable Tupperware and Container

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Environmental Report2014 COSEL CO.,LTD

Environmental Conservation Activities●Elimination of Styrofoam
We had been using styrofoam as a buffer material for the shipment of our products because it wascheap and excellent to protect our products. After being used, it had been discarded as the industrial
waste.
We have replaced plate-shaped styrofoam with cardboards and small styrofoam balls withbiodegradable resin in order to reduce industrial wastes.

4. Reuse●Reuse of Tape Reels and Semiconductor Sticks
We use chip components in our products. These chip components are shipped from manufacturers
on plastic reels.
When they are used up, empty reels are left, which use to be discarded as industrial waste. This
was a sizable amount of industrial waste. Some semiconductors come in plastic sticks when shippedfrom manufacturers. These sticks had been discarded once the semiconductors were used up just likethe reels.
Because they do not get deformed or worn after use, we have changed our procedures to reuse
them by having manufacturers collect them after use.

● Reuse of Used IPA
We use isopropyl alcohol (IPA) as a diluent for
fluxes which are used in soldering our products.
We also use IPA for cleaning of jigs and tools.
In 2010, we introduced IPA recovery equipment
to recover used IPA and reuse it . As a result, wewere able to reduce the amount of chemical
substances.
IPA Regenerator

Regenerated IPA

5．Recycle●Recycling of Waste Products andParts

Defective products, unusable bottom
plates and dummy circuit boards thatwere cut off in the production
processes had been discarded asindustrial waste.
Now we are dividing these wastes
into metals, plastics, or other before
disposing of them so that they can beused as ingot and furnace combustion
improver.

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Environmental Report2014 COSEL CO.,LTD

Environmental Burden Data
Every year, we at Cosel are investigating the environmental burden in our business activities forcontrol purposes.
( ) YoY Jan, 2013 to Dec, 2013
ＩＮＰＵＴ
EnergyMaterials

Electrical Power

LPG

About
467 million kwh(109%)

About
50,000m3(114%)

Kerosene

Gasoline

Flux/IPA

About 10kℓ
(71%)

About 8kℓ
(108%)

About 22t
(106%)

Office Paper

Solders withlead(*1)

Lead-free
Solders

Copy Paper

About 0.07t(115%)

About 7t
(104%)

About 7t
(91%)

Packing Materials

Water Resources

Packing Boxes(Cardboard Boxes)

Buffer Materials(Cardboard Boxes,Plastics)

About 170ｔ
(119%)

About 206t
(212%)

Water

Underground Water

About 6,400m3(118%)

About 102,000m3(110%)ＯＵＴＰＵＴ
Products

Recycling

WastesDomestic Waste
About 3t
(107%)
Industrial Waste ofControlled Type

About 4t
(88%)

Industrial Wasteof Stabilized
About 0.9t
(150%)
Industrial Waste
subject toSpecial Control
About 0kg(-)

Valuable Resources
Lead-free
Solders Balls
About 4.0t(-)

Cardboard Boxes
About 86t
(104%)

Used Papers
About 24t
(121%)

Plastics
About 13t
(113%)

Waste
About 1.0t
(48％)

→Cardboard Boxes→Toilet paper,
Newspaper→Accelerants→Accelerants

About 86kg
(141%)

Waste Oil

Styrene Foams

About 1.0t
(92%)

About 0.8t
(116%)

Fluorescent
About 80kg
(92%)

→Accelerants→Polystyrenematerials→Glassmaterials

CO2 Emission

Conductive→Tarpaulin

Discharged Water

Waste Metal(*2)

CO2SewageAbout 38t
(140%)

About 2,320t -CO2(109%)

About 6,400m3(119%)(*1)Became completely lead-free(*2)It is changed from recycling to valuable resources

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Environmental Report2014 COSEL CO.,LTD

Environmental Burden Data
1. Amount of Emissions（ｔ）
250.00*Recycling Rate (%) = Total Amount of Wastes collected for
Recycling and Reuse and Valuable Items for FY (kg)/Total
Emission Amount for FY (kg) *100

Valuable Resources
Amount or Recycled and Reused Resources
Total Amount of Wastes

（％）
100

200.0094.7

9595.3 95.7 95.4

94.4

150.0090

100.00

90.7
87.7

85

50.00
0.00
'07

'08

'09

'10

'11

'12

Trend of Amount of Emissions

80

'13
（FY）

'07

（ｔ）
Industrial Waste subject to Special Control

20.00

（ｔ）

Industrial Waste of Controlled Type
Industrial Waste of Stabilized Type

15.00

'08

'09

'10

'11

'12

Trend of Recycling Rate
Cardboard Boxes
Used Papers
Plastics
Fluorescent Lamp
Conductive Shoes
white robes
Styrofoam
Waste Plastics

'13
(FY)

Waste IPA/Flux
Metal
Reel Sticks
Confidential Documents
Waste Liquid
batteries
Waste Metal

200.00

Domestic Wastes

150.0010.00
100.00
5.00

50.00

0.00

0.00
'07

'08

'09

'10

'11

'12

Trend of Amount of Wastes

'13
(FY)

Many types of wastes are generated in ourbusiness activities. Many of them are recyclable, if
we segregate them properly.
We at Cosel, Environmental Committee andBeautification and Recycling Committee areworking together in such activities as making surewastes are properly separated and emissions are
reduced.

'07

'12

'13

Trend of Recycling and Reuse

'08

'09

'10

'11

(FY)

Chairman ofEnvironment Committee
Masanori Ishii

In the environment committee, we have beenworking on 3 activities as the focus items in FY2013:
1. Reducing CO2 emission
2. Increase recycling ratio
3. Complying with environmental related laws andregulations.
Results of each items are:1. We promoted an energy saving plan for "Reducing
CO2 emission" with the energy saving subcommittee.
2. We achieved 95% or more recycling in FY2013.
3. We worked on the activities complying withenvironmental laws and regulations.
We are continuing to undertake activities focusing on
major items.

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Environmental Report2014 COSEL CO.,LTD

Environmental Burden Data
2. Total Energy AmountCO2排出量CO
2 Emission

Basic
Unit CO2 t-CO2/
原単位CO2排出量
Emission
Million Yen

0.13

0.13 0.12 0.140（ｔ-CO2）2,500.00.12

0.13

1,500.0
1,000.0
500.0

0.12

（Amount of Wastes/Sales）

125

0.120

0.11

2,000.0

(%)

130

118

120

0.100
2,497
0.080
2,229
2,179
2,136
2,173
2,394 0.060
2,008
0.040

110

118
109
108

100

98

0.020

0.0
'07

'08

'09

'10

'11

'12

114

90

0.000
'13 （FY）'07

Trend of CO2 Emission and Basic Unit CO2
Emission

'08

'09

'10

'11

'12

'13
(FY)

CO2 Basic Unit CO2 Emission with that in FY2005(Ten thousand kwh)

14%

500

Electrical
Power
LPG

1% 1%

489

450

Kerosene
Gasoline

480

437
439

439

'10

'11

429

414

400

84%

350
'07
Breakdown of CO2 Emission

'08

'09

Trend of Electrical
Power

'12

'13
(FY)

As we mentioned before, 84% of our CO2 emission comes from electrical power consumption. In
order to reduce this, the Environmental Committee is playing a central role in implementing many
activities.
As for our total energy use (crude oil equivalent) as a business operator under Law Concerning the
Rational Use of Energy was 1,389kl, which was not subject to notification requirement. However, it isassumed that our energy use will exceed the 1,500kl criteria within a few years. Therefore, we havetaken the Energy Management Training. We have also confirmed that we are not a specified
consigner as defined by Law Concerning the Rational Use of Energy.

3. Amount of Environmentally Unfriendly Chemicals
Among chemical substances handled by Cosel, Class I Designated Chemical Substances whose
handling amounts are subject to notification requirement with PRTR are "lead and its compounds."
However, lead solder which falls under "lead and its compounds" is not subject to the notification
requirement because we have already changed all of our solder to lead-free solder.

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Environmental Report2014 COSEL CO.,LTD

Environmental Accounting
Covered Area: Head Office and Plant, Tateyama Plant
Unit: Thousands of Yen

Environmental Conservation Cost
Category(1) Cost within business area

Description

Cost

Investment

Cost incurred to curb environmental burden through production and service activities implemented within business areas.
①Pollution prevention cost00②Global environment conservation cost

0

11,9940
0

2,074
42,032(Investment)Power Monitoring System(Cost) Management of Environmental activities.
Monitoring and measuring data fromfacilities with Environmental burdens.
Handling of Responses to Survey on
Chemicals.
(Cost)Research and development of
the environmental conservation products

018,8000

104(Cost) Sponsoring Environment-related radio program

0

0

－

0

0

0

75,005③Resource circulation cost(2) Cost at upstream and downstream(Cost) Green procurement
Cost incurred to curb environmental burden generated at
Controlling Environmentally Unfriendly
upstream and downstream of production and service
Chemicals
activities.

(3) Management cost
Environmental Conservation Management Cost

(4) R&D cost
Environmental Conservation R&D Cost

(5) Social activities cost
Environmental Conservation Cost for Social Activities(6) Environmental damage control cost
Cost to Control Environmental Damages

Total※Environment Conservation Cost includes depreciation of capital investment of the past year and labor cost.

Environmental Conservation Effect(Substance Volume)

Environmental Conservation Effect(Economic Impact)※Economic effect based on assumption such as risk avoidance (expected effect) is not posted as effect.

Investment（Thousand of yen）
120,000
100,000

Cost

Economic Impact

112,085

92,37887,56884,66780,00075,006

72,04767,64360,00040,77740,00020,00019,00012,259

7,490

0

0
'07

'08

20,1938,454

13,6560'09'10

17,4032,588'11

11,764

10,042

'12

0
'13

（FY）

Trend of Environmental Conservation Cost and Investment and Economic

２０

Environmental Report2014 COSEL CO.,LTD

Environmental Education
For the purpose of Environmental Management, we have clearly identified types of the training needed.
We are offering;(1) General trainings to raise awareness among employees about Environmental issues.
(2) Professional trainings to improve technical skills in specialized areas as shown below.
(3) Training on environmentally unfriendly chemicals (see page 13)(1) General trainings cover all the employees, including part-timers, temporary employees, if engaged fora certain period. As for the new employees, they are trained at first. If they do not understand enough,they will be trained till satisfaction.
List of professional
No.
1

2
3
4
5
6

7

Operation

Description of training
The concerned・How to dispose of solder wastes
Soldering
Persons who handle them・Check soldering machine・Emergency measures
・How to dispose fluid containing flux and/or
Treatment of waste organic solvent
IPA
・Emergency measures
How to process industrial waste control 3
Paper work concerning industrial waste
slips (manifest)
Confirmation of revision of and
How to confirm the revision of, and evaluate
Evaluation of compliance withcompliance with environmental laws andEnvironmental laws and regulations
regulations
People in charge of relevant tasks
・Check when observing liquid nitrogen filling
Observe nitrogen gas fillingcheck
・DailyControlling chemicals and hazardous Control methods based on internal
substance
regulations
Confirmation of kerosene tank check
results and emergency response

How to train, provide hands-on exercises andcheck understanding based on "Kerosene
Tank Control Procedures (PEC018)."

Numbers of Employees with Certification in the Environmental
We are encouraging employees to be certified with the environmental field and trying to increase theFieldnumber of certified employees.
As of today, the following numbers of employees have the certifications in the environmental field.
Number of Credential Holders

No.

Name of Credentials

1

Hazardous materials security superintendent

1

2

Class B hazardous materials engineer

19

3Class C hazardous materials engineer

104Chief of lead

4

5

Chief of organic solvent

13

6

Special controlled industrial waste

5

7

Chief of specified chemical substances

0 No pertinent substances exist

8

ClassⅠ health officer

99Safety officer

2

10Fire prevention manager

8

11

Eco test

66

12

ISO internal environment auditor

23

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Environmental Report2014 COSEL CO.,LTD

Improve environmental awareness
Visiting a company collecting wastes and processing recycle
In November, 7 members of Cleaning and Recycling
Committee from Headquarters and Tateyama visited acompany to which we subcontract waste collection andprocessing recycle.
We confirmed process of our wastes and outline of its
process. We, members of Cleaning and Recycling
Committee, renewed our awareness of the environment
after discussing how we could increase recycling ratio.

Segregate plastic bottles

Global Standard Design Dept.
Naoki Fujita

I visited a recycling facility for the first time. I
saw that the company separate wastes
further after collection part of the separatingprocess is performed manually. I foundmany people are involved with recycling. I
could learn recycling and disposal systemof a variety of wastes and how important
separating wastes is. I am trying to make athorough separation of wastes.

Beverage vending machines are installed in our
premises. Used plastic bottles are separated into exteriorfilms(labels), caps and bottles (main bodies) before
being discarded.
We are trying to improve environmental awarenessthrough an easy-to-do environmentally friendly activity.

Encouraging taking Eco Test:
Developing People who Work on Environmental Issues
Eco Test (officially known as Certification Test forEnvironmental Specialists) is a certification test run by the Tokyo
Chamber of Commerce in order to develop people with a wide
range of knowledge who can play a leading role in tacklingenvironmental issues and facilitate the realization of a sustainable
society where we can protect environment
and achieve economic growth at the same time.
Cosel's employees started to take the test from the 6th test
and 66 of them have passed the test so far.
We are encouraging our employees to take the test by
subsidizing a the test fee and making those who passed the test
eligible for certification reward money.
We will continue this effort in FY2014.
Number of People Who Passed the Test

70
60
50
40
30
20
10
0

66

Up untilthe 7th

8th

9th

10th

11th

12th

13th

14th

２２

Saitama Sales office
Junko Seto

( Passed the 15th Test)

I am surprised to find that we areexposed to a various of environmental
problems, which I felt ashamed because
we are part of problems. As I have beencertified with "eco people," who passed
the eco certificate exam, I realize theresponsibility and contribution as a social
person, behave with care, and work on
improvement. I would like to become asales person who offers products andservices with the customers
environmental point of view.

Environmental Report2014 COSEL CO.,LTD

Social Contribution
JEITA Toyama District Manufacturing ClassOn May 31, 2014 (Saturday), “7th JEITA Toyama
District Manufacturing Class" was held at Hokuriku
Denki Kogyo (in Osawano Town). 33 students ingrades 5 and 6 from nearby elementary schools
participated in the class and engaged in an electricalengineering project under the theme of "Let's make anelectrical organ."
Cosel has been participating in this class since the
1st class was carried out. Our employees served as
instructors and gave students advice.
Children seemed to struggled with the unfamiliar
tasks of assembling and soldering, but we received
such feedbacks as "It is very interesting!" and "It isvery fun to do. I would like to do this again."※What is JEITA?
Japan Electronics and Information Technology Industries Association.
An organization composed of manufacturers and sellers of such products as electricaland electronic equipment, electronic devices, electronic components, electronic materials
and software.

Cosel Cup Challenge Super Kids
This is our 26th anniversary since we became a special
sponsor for a sporting event for boys and girls in grades 4
through 6. This event was hosted by a local TV station.
About 319 children in Toyama prefecture participated in
5 events ranging from 100-meter sprints, ball throwing,broad jump, zigzag dribbling and swimming.
Due to family and friends cheering, they broke threemeet records this time.

Fund-raising Activities
Proceeds from the sales of our internal bazaar and contributions from our employees are donated to Toyama
Prefecture Cooperative Donation Society.
Donation amount is approximately 50,000 yen per year. It is used for home-based service, volunteer training,
accident prevention programs for children and fostering and nurturing of young people.

２３

Environmental Report2014 COSEL CO.,LTD

Benefits with Employees
タイトル
Human Development【Our Philosophy on Training】【Educational Activities】

We believe that people are our most important
assets and developing human assets is the driverfor our growth.

The Educational Committee is playing acentral role in planning and implementing
various training and educational events incollaboration with other related departments.

【Basic Educational Policies】
Based on the above philosophy, the following basic
educational policies are set forth.
1. Invigorate workplace
2. Improve leadership
3. Acquire necessary knowledge and techniques tobecome more capable
4. Develop skills for the operation and maintenanceof an appropriate quality system
5. Be aware of the need of an environmental
management system and develop skills for its
operation and maintenanceMember feedback of DP workshop(Re-form staff consciousness)

Company Newsletters【Purpose of Company Newsletters】
Newsletter Committee is playing a central
role in issuing Company Newsletters twice ayear, hoping that they will provide topics ofconversation and serve as lubricant, making
Cosel a company that everybody feel
fortunate to be a part of.

【Topics Covered】
Our newsletters cover a wide range of
topics including topics related to our
workplaces, club activities and hobbies
which employees are proud of.
Every issue of our newsletter provides
enjoyable topics, sometimes revealing
our colleague' hidden talents andsometimes showing us hidden lesspretentious side of our usually naggish
bosses.

Cover of company newsletter issued in FY2013

２４

Environmental Report2014 COSEL CO.,LTD

Benefits with Employees

Activities for Labor Safety andHygieneClub Activities

Safety and Hygiene Committees organized separately
for the headquarters and Tateyama Plant are taking alead and conducting a safety and hygiene patrolling forthe purposes of maintaining and improving the safety ofwork environment (bimonthly).
When a problem is found as a result of the parole, arecommendation for improvement is issued, upon whicha relevant department takes actions and reports back to
the committee.
The number of labor accidents in the past 5 years is asfollows.

We have 11 clubs, both culture-related and sports
related. The members of these clubs extend
friendships to each other through common hobbies.
There are 15 members in a cycling club and theytake part in events held nationwide. They mainly
participate in "Long ride event," and try to finish
driving a 100 to 200km course within the time limit.
They also participate in local events such as"Granfond Toyama" and "Tateyama alpine hill climb"
as both athletes and volunteers. Promoting health inbody and mind, they are promoting the spread a bike
culture as transportation with less environmental
burden.

10
8
6
4
2
0
'04 '05 '06 '07 '08 '09 '10 '11 '12 '13（FY）

Trend in the number oflabor accidents reported

Cycling club members

Work and Life Balance
It is very challenging to raise children in single or dual-income families. This is one of the factors which
invited declining birth rates and decreasing population of children. In this environment, one of the social
responsibilities of businesses is to "support life and work balance" for their employees.

【Promoting the use of shorter work hours
for child care system】

Employees who are raising children in the 6th
grade or younger (as of the end of March of a fiscal
year) can work shorter hours within the prescribed
hours under our flexible work hour system.

【Encouraging Employees to Use Planned
Paid Days Off】
Our internal rule stipulates that we have to use at leastof 2 days of paid days off every half-year term.
By working efficiently, having good communication
with our bosses and colleagues and using paid days off
in a planned manner, we would like to achieve a goodlife-work balance and personal development andfreshen up ourselves.

２５

On-Board Standard Design Dept.
Misato Kajii
I have short work hours in 30 minutes eachof the start and finish time. I am so gratefulthat everyone understands it. You may think
30 minutes is very short, however, it is very
precious for me to keep working whileraising a child. Having open time makes me
relax in mind, and my child gives me fullsmile. I do my work and raise a childobtaining energy from my child's smile.

Environmental Report2014 COSEL CO.,LTD

PostfaceThank you very much for reading our "Environmental Report 2014."
Since we started to issue "Environmental Report" in 2000, we have expanded the coverage of
our articles by adding articles about our social activities in addition to environmental activities inorder to bring a better disclosure.
As a part of corporate social responsibilities, we will make our company-wide efforts to achieve
our goals and disclose our activities.

Juｌｙ, 2014
Cosel, Co., Ltd.
Quality Management Dept.
Quality Management Div.3
http://www.cosel.co.jp/en/

２６Environmental Report2014 COSEL CO.,LTD