Mid Term Business Plan (2021-2023) Progress Update
1st Half 2021

August 10, 2021
Member of the Board

Global CEO and Representative Executive Officer

Shu Ishibashi

Mid Term Business Plan (2021-2023) Communications

February 16, 2021 (Tue)■ Mid Term Business Plan (2021-2023) based on
Mid-Long Term Business Strategy Framework■ Looking toward 2030
May 17, 2021 (Mon)■ Mid Term Business Plan (2021-2023) Progress Update

August 10, 2021 (Tue)■ Mid Term Business Plan (2021-2023) Progress Update- Rebuild earning power / Strategic growth investment- Enablers for execution: Management Structure
Portfolio Management
HRX- Realization of the Sustainability Business Framework- Our Way to Serve: CSR activities- Rebuild earning power / Strategic growth investment- Realization of the Sustainability Business Framework- Enablers for execution: HRX“Mid Term Business Plan (2021-2023) Progress Update” planned at each quarter’s financial results announcement for 2021

2/31

3/31

Bridgestone 3.0 Journey

Bridgestone 3.0 Business Scenario: Mid Term Business Plan (2021-23) “Aggressive approach” & “Challenge”
2020
COVID-19 Impact

2021

Gradual recovery
Crisis management

Stage

2022

August

2023

RecoverySustainability at the core

Transformed“strong” Bridgestone

Rebuild earning power

Strategic growth investment■ Tire businessCore business*Dan-Totsu: clear and absolute leader

Expense and cost structure reformation: Expense structure reformation (fixed cost, etc.),
business portfolio & manufacturing footprint restructuring, resource reallocation
Reinforce premium business strategy (EtoE): Reinforce Dan-Totsu* product strategy and sales in “premium” Rebuild earning power■ Solutions business
Growth business

Exploratory business

Enablers
for execution
4/31

Tires

Strategic growth investment
Expansion: Accelerate global expansion of solutions
Expansion of Tire-centric solutions (subscription model, retread strategy)
Mobility solution expansion etc.

■ Start in areas where Bridgestone can leverage its core competencies- Toward commercialization of recycle business and soft-robotics business

Strategic growth investment■ Reinforce foundation for financial strategy: reinforce management structure and portfolio management■ HRX

Rebuild earning power
Strategic growth investment

Solutions

Bridgestone 3.0 Journey

Mid Term Business Plan(2021-2023) 2021 full year forecast: “Execution” & “Results”■ Through the execution of “Rebuilding earning power”,
expect to achieve 2022 level ahead of plan for revenue, and also exceed plan for gross profit
Evolution of revenue and gross profit (Excluding M&A impact)
40,000
Revenue[B JPY]

3,790

35,0002,805

30,000Gross profit
25,000
[%]

3,320

3,507

39.5%

3,100 B JPY level

40%
41.0%level

40% level

40.0%

39.0%

38.0%

38.1%

37.8%

15,0003,300 B JPY level

39.1%

20,000

37.0%

36.7%

10,000
Diversified Products

Tires business

3,010

42.0%

36.0%

5,000

2015

2015

JPN account. standards

5/31

Revenue: 3,320 B JPY• Increase premium productratio• Improve business quality• Flexible agile management tosupport demand recovery
Gross profit %: 39.1％

35.0%

Solutions business

0[2021 Full year forecast]

2019

2019

2021 2021
2022
2021
Plan Forecast
Plan
2020International
2021
2022
見込
accounting standards（IFRS）
2020*

2023

Plan
2023

34.0%

Plan: Mid Term Business Plan (2021-2023)*Excluding U.S. building products businessBridgestone 3.0 Journey

Mid Term Business Plan(2021-2023) 2021 full year forecast: “Execution” & “Results”■ Adjusted operating profits also expected to achieve 2022 level,
accelerating to achieve Mid Term Business Plan (2021-2023) ahead of schedule
6,000
Adj.
Operating Profit / Net Profit / OPEX % / ROIC / ROE (Excluding M&A impact)

5,000

14.7%
517
13.6%
343
9.8%

4,000

3,000
Adj. Operating
Profit [B JPY]
Adj. Operating
Profit ratio [%]Profit fromcontinuing
operations:[B JPY]ROICOPEX %
ROE

2,000

284

1,000

0

12.0%

4.8%

-45

25.8%

28.0%

29.8%
-2.0%

8% level

8.3%

290 B JPY
8.0%
level

220 B JPY

230

6.3%

2020*

10.0%

11% level

10%10.0%
level

195
6.9%

2019

13.3％

360 B level

450 B JPY level
14.0%
13% level

260
8.6%

2015

JPN account. standards

6/31

7.4%
240

(1,000)360 B JPY
10.8%

16.0%

level

Plan

4.0%

2021

Forecast

29.5% 28.3%
6.8%

10.4%

Adj. Operating Profit: 360 B JPY
Adj. Operating Profit ratio: 10.8%
ROIC: 8.3%

6.0%

150

2021

[2021 Full year forecast]

2022
Plan

29% level
9% levelInternational accounting standards（IFRS）

2023

2.0%

Accelerate transformation
to a “strong” BridgestonePlan

27% level 0.0%
12% level

Plan: Mid Term Business Plan (2021-2023)*Excluding U.S. building products businessBridgestone 3.0 Journey

Mid Term Business Plan(2021-2023) Progress in 1H 2021: “Aggressive approach” & “Challenge”■ Execute Premium Business Strategy taking into account the evolution of mobility & sustainability,
thoroughly rebuild earning power
Strategic Focus

Rebuild earning power

Premium Business Strategy (EtoE)
Core
Business- Reinforce sales in “premium”- Improvement of manufacturing- Dan-Totsu Product Strategy

Execution & Results*1 HRD: High Rim Diameter, *2 REP: Replacement Tires• Thoroughly improve the quality of business- Thoroughly improve sales MIX (increase HRD sales ratio, expand major brands)→ HRD*1sales for 1H 2021: Global REP*2 approx. 140% (vs. 2020)
Respond to rising raw material price, reinforce strategic price management (incl. price increase)
capitalizing product power- Improve conversion cost through manufacturing (Genba) reinforcement(productivity improvement & maximum utilization of existing equipment)→ Improvement impact for 1H 2021 : approx. 12 B JPY (vs. 2020)• Flexible agile management “Transform change to opportunity”- Ensure capturing demand recovery through “aggressive approach” & “challenge”:
Secure manufacturing resources in Japan & Asia to continue supporting demand recovery &“aggressive approach” in U.S. & Europe• Accelerate planning for “premium production” reinforcementwith global optimization perspective• Reinforce premium production, taking into account evolution of mobility & sustainability- Investments in production capacities in the Americas to prepare for EV/electric vehicles demand recovery:
Passenger car & light truck tires production capacity increase (Bahia, Brazil)
Firestone Industrial Products air spring plant expansion (Williamsburg, U.S.)

Expense and cost structure reformation- Business portfolio & manufacturing
footprint restructuring
7/31• Reinforce & expand ENLITEN technology taking into account sustainability &the evolution of mobility• Emphasize & reinforce ROIC within group, execute thorough expense & cost management• Consider restructuring in tires / diversified products / material manufacturing bizfrom mid-long term perspective- As of August 2021: restructuring of 23 locations in place- aggregate manufacturing sites for diversified products, material manufacturing sites

Bridgestone 3.0 Journey

Mid Term Business Plan(2021-2023) Progress in 1H 2021: “Aggressive approach” & “Challenge”■ Globally expand mobility solutions, execute strategic growth investments

Growthbusiness

Exploratory
business
Enablers
for execution

Strategic Focus

Execution & Results

Accelerate global expansion of solutions- Expand mobility solutions• U.S.: Agreed acquisition of Azuga Holdings – digital fleet solutions provider (Aug.)
Investment in Kodiak Robotics – autonomous long-haul trucking technology company (July)• Australia: Agreed acquisition of Otraco – mining solution provider (May)• Japan: Investment in NEXT Logistics Japan (Feb.)• Reinforce organization:
Global Chief Business Solutions Officer（CSO) role established
Global Business Solutions Model Committee established

Recycle business & soft-robotics business- Exploration toward commercialization• Explore technical seeds, participate in establishing an ecosystem• Organize structure to drive exploratory business:
Recycle Business Preparation Office (Feb), Soft-robotics Business Preparation Office (July)

Reinforce foundation for financial strategy- Management structure- Portfolio management• Established an extended Global CFO function (New structure from Sept. 1)• Reinforced Global Controller Division: monitor & strictly evaluate strategic resource investment

Realize Sustainability Business Framework‐Reinforce structure for “execution”• Corporate Sustainability Division reinforced

HRX• Separate core business & growth & exploratory businesses organizations step by step

Strategic growth investment• Established committees for investment and M&As, reinforce functions• Global Sustainability Business Committee / Global Sustainability Committee established• Reinforce R&D organization enabling technology innovation• Rotate PDCA semi-annually, maintain lean organizations

8/31

Bridgestone 3.0 JourneyCore business: Rebuild earning power – Premium business strategy
Improvement of manufacturing
Reinforce sales in “premium”
Marketing

R&D

Procurement

Promote flexible, agile management to support demand recovery
Continued thorough improvement of business quality (EtoE)
Production
Plan

Manufacturing■ Promotion of flexible, agile management• Flexible, agile management of supply chain- Reexamined sales & supply plan based on “aggressive approach” & “challenge”- Decided on supply plan adapting to change & supporting demand recovery
from global optimization perspective (incl. COVID-19 impacts)
For 2021: Maximize production capacity in each region (local production for local sales)+ supplement from Japan & Asia
→ Support demand recovery & “aggressive approach” in U.S. & Europe- Support demand recovery in N. America (agenda item from Q1)→ Increase manpower in Thai plant, reinforce production to supplement

Logistics

9/31

3R

‐Expect to achieve sales ratio growth outperforming Mid Term Business Plan (2021-2023)

U.S. & Europe: 2021 full year forecast of sales ratio for tires 18” and above■ Reduction of conversion cost through manufacturing improvement- Continue supporting plants in Asia, Europe and Americas from Japanas core of genba improvement

Customer Use■ Expand HRD tire sales for passenger cars

Agenda for 2H 2021 onwards: continue to support recovery trend“transform change to opportunity”“aggressive approach” & “challenge”
1H 2021 (vs. 2020): Approx. 12 B JPY

Sales(vs. plan)OE** OE: original equipment tire
REP: replacement tire

REP*

OE
REP
2019 2021 2023
Forecast

2019 2021 2023
Forecast

Bridgestone 3.0 JourneyCore business: Rebuild earning power – Premium business strategy■ Reinforce structure for “premium production” taking into account sustainability & the evolution of mobility
Reinforce and expand high-value-added products & technology that responds to the accelerated shift toward EVs
Automobile industry:
acceleration of CASE

Reinforce production to support premium business strategy
 Production capacity increase in Bahia plant (Brazil): PS + LT*1

Respond to demand increase of HRD PS tires for EV, electric vehicles and hybrid vehicles in the Americas＋respond to accelerated expansion of demand for LT tires
・ Acceleration of electrification toward
carbon neutrality
・ Numerous emerging manufacturers(ex. Chinese manufacturers) entering Consideration of further reinforcement of “premium production” structure (PS/LT/TB)
Accelerate planning from global optimization perspective based on commonality・modularity*2

 Innovative next generation eco-friendly product: reinforce & expand ENLITEN Technology
Innovative tire technology achieving both environmental &driving performances*1 PS=Passenger car tires, LT=Light Truck tires, TB=Truck & Bus tires*2 Technology that allows simplification through sharing of case & belt combinations (modules) between products, differentiating through tread performance

Diversified products business: leverage Bridgestone’s core competencies & maximize synergy
 Firestone Industrial Products (U.S. Diversified products business)– expand Williamsburg plant (U.S.)
Develops & manufactures products that contribute to improved electricity
efficiency and protection of battery for of EVs/electric vehicles throughtechnology innovation, while ensuring riding comfort & stability→ Increase production capacity of air springs for EVs
10/31

Bridgestone 3.0 JourneyCore business: Premium business strategy■ Support the accelerating EVs & FCVs, and contribute to sustainable mobility■ Fitted on many EVs & FCVs, supporting efforts toward
carbon neutrality from the ground up

BMWi3 / i4 / iX3 / iX

Mercedes-Benz

EQA / EQB / EQS

AUDI

e-tron / eQ4

VW

ID.3 / ID.4

TOYOTAMIRAINISSANLEAF

Realization of Sustainability Business Framework■ Co-creation with emerging EV manufacturer:
partnership contract based on sustainability concluded with Fisker (U.S.)

Custom-developed Potenza Sport tires with
ENLITEN technology chosen as original equipment“Fisker Ocean”: an all-electric SUV made with recycled materials and a veganinterior (set for release in 2023)

・ Featured as original equipment on Lightyear’s “Lightyear One”
(TURANZA ECO with ENLITEN technology)

11/31

Bridgestone 3.0 JourneyCore business: Rebuild earning power – Expense and cost structure reformation■ Execute manufacturing footprint & business portfolio restructuring over a long term

Global manufacturing footprint restructuring (incl. diversified products & material manufacturing sites) planned
during the Mid Term Business Plan period (2021-2023): approx. 40% reduction by 2023 from approx. 160 locations in 2019
Diversified Products BusinessRestructuring of production items(Iwata plant)

Tire Business

Bethune plant, France(Closed end of April, 2021)

Diversified Products Business

Firestone Building Products Company, LLC(US Building products business)(15 sites – 13 in the US, 2 in other regions)

Bridgestone Cycle Co., Ltd.
Kisai Plant
Internal Manufacturing

Diversified Products Business

Diversified Products Business

Bridgestone(Huizhou) Synthetic
Rubber Co., Ltd

Bridgestone Everlight (Shanghai) Co., Ltd(Polyurethane foam products, Shanghai)(Synthetic rubber, Huizhou)

Diversified Products Business

Diversified Products Business

Bridgestone Automotive
Products de Mexico S.A. de C.V.
(Polyurethane for automobiles)

PT Bridgestone Astra Indonesia(Automotive anti-vibration rubber)

Tire Business

Port Elizabeth plant, South Africa(Closed Nov. 15th, 2020)

12/31

Restructuring of 23 locations in place
Continue consideration

Mid Term Business Plan presentation material(February 16th)

Bridgestone 3.0 JourneyCore business & Growth business: Restructuring with resolve - 4 categories for execution
Continue reinforcement/expansion

Expand solutions business based on our strong corebusiness, accelerate value amplification
Resources

N. America Tire/Solutions biz

Proactive investment

Profits

Maximize• Reinforce premium business strategy• Expand solutions business

Mining Tire/Solutions biz• Master manufacturing, business structure reformation• Reinforce tire-centric solutions

Japan Tire/Solutions biz

Contribute to global strategy
Build framework for strategic synergy &contribution to global group
Resources

Europe Tire/Solutions biz

Limitedinvestment

Profits

Build foundation(stabilize profitability)• Tire business: Reinforce premium business strategy• Solutions business: Drive & reinforce global expansion*Basis for global strategy regarding: sustainability, regulations,
MaaS/CASE, OEM (Passenger cars, truck and bus)

Aviation Tire/Solutions biz

13/31• Expand solutions businessCore business

Growth business

Aim to become “MAIN”
Start contribution to group
Resources

China Passenger Car Tire biz
L. America / India PS /Asia-Pacific / Middle East
Tire biz

Step-by-stepinvestment

Profits

Build foundation• Reinforce premium business strategy• Lay foundation for solutions• Reinforce premium business strategy

Aim to become “NEXT”
Stabilize profitability
Resources

China Truck & Bus Tire biz
India Truck & Bus Tire biz
Russia / Africa Tire biz

Minimalinvestment

Profits

Build foundation(break away from deficits)• Rebuild business• Reinforce premium business strategy

14/31Bridgestone 3.0 JourneyCore business: Japan business - Premium business strategy-MAIN-■ Dan-Totsu products in Japanese market: ALENZA & BLIZZAK

On-road premium SUV tire – ALENZA –Premium studless tire

ALENZA 001：

New dimension BLIZZAK VRX3, with tremendous evolution

Draws out driving performanceheightened in European markets
at a high level, allowing a quality ride

15/31

ALENZA LX100：

With “REGNO for SUV” as the concept,
ensures total performance advantage

・ Significant improvement of ice performance, durability and lasting-effect“A new dimension premium BLIZZAK”
Highest ever BLIZZAK performance・ 1st adoption of commonality・modularity in Japan

Bridgestone 3.0 Journey

Rebuild earning power: Europe, Russia, Middle East, India & Africa business- STRATEGIC & DEVELOPING ■ Europe business: building foundation to stabilize profitability, contribute to global group as a STRATEGIC function
Marketing

R&D

Procurement

Production
Plan

Manufacturing

Premium business strategy (EtoE)・ Improvement of manufacturing: improved productivity & conversion cost
・ Manufacturing footprint restructuring: Bethune plant (France) closure,
reduction of fixed cost
・ Focus on premium products: expand sales of HRD & major brands
・ Reinforce price management: respond to rising raw material prices while
strategically managing price to capitalize product power・ Reinforce premium channel sales: subscription model (ex. Mobox)

Logistics

Sales

Customer Use

3R

Reinforce STRATEGIC role:
・ Evolve core business to respond to CASE & MaaS trends- OEM approach including solutions- Evolution of retails network to serve EVs etc.

・ Reinforce function as a hub for global expansion ofmobility solutions
・ Reinforce approach & info. gathering, analysis
regarding sustainability■ Russia / S. Africa business: execute thorough operational excellence, and break away from deficits
・ Improvement of manufacturing: thorough genba improvement ofBrits plant (S. Africa) and Ulyanovsk plant (Russia)
・ Expense and cost structure reformation: Port Elizabeth plant (S. Africa) closure
・ Specialize in premium products (major brands, winter tires – Russia),
thorough improvement of sales MIX

16/31

Move up from DEVELOPING to NEXT category,stabilize profitability

Bridgestone 3.0 Journey

Growth business: Strategic growth investment – Global expansion of mobility solutions■ Strategic growth investment: acquisition of U.S. digital fleet solutions provider Azuga Holdings agreed**Expected to close by end of 3Q, pending customary closing conditions and regulatory approvals

Name

Azuga Holdings Inc.

Headquarters

California, U.S.

Employees

Approx. 430(As of end of May 2021)

Outline ofbusiness

Fleet solutions leveraging a
cutting-edge fleet management
platform:
GPS tracking, telematics, driver
behavior management etc.
Service area/scale:Over 6,000 fleet customers &over 200,000 connected vehicles
in N. America

Maximize synergy to support customers’ safe secure and efficient mobility
operations, further create social & customer value such as
safety, environment, economy and productivity

C

Mobility
SolutionsB

Tire-centric
Solutions

A

Tires

17/31

Leverage Azuga platform
Provide digital fleet solutions
Evolve & expand mobility solutions
Leverage vehicle & operation data
Evolution of tire-centric solutions
around retread

Synergy with core business
Development of revolutionary
Dan-Totsu products
Expansion of customer base to sell tires

Bridgestone 3.0 Journey

Growth business: Strategic growth investment – Global expansion of mobility solutions■ Accelerate global expansion of mobility solutions through strategic growth investment

After the acquisition of Azuga, globally leverage the approx. 1M connected vehicles to create social & customer value
Azuga Holdings Inc.
Leverage knowledge & expertise of Webfleet Solutions
No.1 position

Key market: W. Europe→ Expand to E. Europe,
Reinforce No.1 position in Europe
Connected vehicles: Over 800,000

Scale up in N. America, the largest
market for mobility solutions
Connected vehicles: more than 200,000

Bridgestone Mobility Solutions Business Unit
(Amsterdam)
WEBFLEETEUWEBFLEETInternational

Tire-centric
solutions

Data solutions &innovation

Reinforce solutions business organization in Europe

Global expansion of Webfleet Solutions
Aim to secure leading position in each region

MexicoChile
South Africa

18/31

Australia

Bridgestone 3.0 Journey

Growth business: Strategic growth investment – Global expansion of mobility solutions■ Investment in Kodiak Robotics that develops autonomous long-haul trucking technology
Create synergy as a leading tire company and a promising partner
Name

Kodiak Robotics

Headquarters

California, U.S.

Founded2018■ Through the synergy, drive innovations for autonomous driving technology

KodiakHigh level (level 4*)
autonomous driving technology• Innovative tire technology• Tire-centric technologies (ex. sensors)• Top class tire-centric solutions in N. America

・ Development of autonomous trucking technology through tires,tire sensors, and predictive maintenance technology
・ Speedy and high-precision development of mobility solutions
・ Currently testing autonomous trucking with a safety
driver on board in Texas, U.S.
・ Contribution to sustainability through stable
operations leading to CO2 emission reduction, etc.

・ Enhancement of Dan-Totsu products and tire-centric solutions
leveraging autonomous vehicle data

Through the synergy, contribute to the development of mobility
that is more sustainable, safe and assures peace of mind

*Levels of Driving Automation™ set out by SAE International (global association of engineers and related technical experts) – Level 4: High automation

19/31

Bridgestone 3.0 Journey

Enablers for execution: Reinforce foundation for financial strategy– management structure, portfolio management■ Reinforce management structure: establishment of extended Global Chief Financial Officer role
Consolidate finance + business planning + administration functions

Current “Global CFO”

FP&A*

Business Planning

Procurement

IT infrastructure

Finance function
Accounting,Tax, IR*Financial Planning & Analysis■ Promote portfolio management: clarify “what to do” and “what not to do”
・ Promote company-wide activities to understand ROIC tree:organize actions by business/by region → accelerate genba-level improvement
ROIC

ROIC Tree

NPAT
Investment capitalturn overGP margin %OPEX %Cash Conversion Cycle
Fixed asset turnover
Investment management by item

・ Reinforce function of Global Controller Division:

Thorough evaluation of individual investments/M&As→ Ensure optimization of strategic resource investment on global level

・ Global M&A Committee:- Explore opportunities in coordination with M&A teams in U.S. & Europe- Ensure discussion among global management for key M&A items(evaluation of synergies)- Validation from Global Controller function (financial evaluation, risks)- Speedy decision-making and bias for action with Global CEO as leader, follow-up

・ Global Investment Committee:‐Discuss key investment items, evaluate return based on ROIC

Adjust management structure & process to increase financial value,
accelerate transformation to a “strong” Bridgestone
20/31

Mid Term Business Plan presentation material(February 16th)

Bridgestone 3.0 Journey

HRX : HR & organizational strategy as enablers for Mid Term Business Plan

■ Execute an HR strategy with “Aggressive approach” & “Challenge”, while leveraging our strengths
Build HR strategy and organizational structure for each business step by stepCore business

Growth Business

Culturetransformation

New culture
creation

Challenge
Exploratory business

Bridgestone’s HRX*
*HRX: Human Resource Transformation

21/31

Breakaway from existing challenges and make a radical transformation,
while leveraging our unique strengths- Group global optimization aligned with business strategy- Clarify roles and responsibilities, improve organizational efficiency, optimize talent allocation→ Create resource capacity, and flexibly reallocate to growth and exploratory businesses
Create structure and working style for solutions business→ Utilize new culture to influence core business to make it stronger- Build global organizational structure for solutions business, maximal leveraging of diversity & inclusion- Develop digital talent.
Promote exchange of talent on global basis from Webfleet Solutions and iTrack solutions business, etc.

Build new structure based on challenge- Diversity & inclusion, global utilization of talents- Internal and external networking and talents exchange to facilitate co-creation- Entrepreneurial spirit

Maximize organization capability (Organization x Talent output) for execution of Mid Term Business Plan
Continuously promote development of diverse talent and next-generation global management

Bridgestone 3.0 Journey

HRX : Bridgestone’s HRX (Japan)

22/31

Bridgestone 3.0 Journey

HRX : Reinforcement of R&D organization enabling technology innovation (Japan)■ Introducing the Chief Engineer Concept: Chief Engineers ensure consistency throughout the value chain
in line with the product strategy→ Improve certainty of technology development, accelerate speed of product development

Product strategy
Technology strategy
Material strategy■ Create an optimal working environment for improved productivity and diverse & flexible workstyles:
Based around Bridgestone Innovation Park (completion planned end of 2021), promote a new workstyle strategy
where teammates can select their workplace according to their objective/activity

Enhance core competencies such as “mastering rubber”
Interaction with empathy
23/31

Co-ideation

Innovation for Solutions
Co-R&D

Co-creation

Bridgestone 3.0 Journey

HRX : Transformation of organization and HR system (Japan)■ Process to maintain a lean organizational structure:continuous organizational/HR system improvement through PDCA

Build & maintain alean organization
structure

Clarify role &responsibility of position,
fix # of positions

Reexamine roles/positions that are unclear
Control number of positions

PDCA fororganizational
structure
improvement

Continuous organizational improvement,
maintain lean structure through periodic agile PDCA
in line with strategy & business environment

Matching

Match the right person to the right position

Reskilling

Support talent who are taking initiative in their career

Matching &Reskilling

24/31

Bridgestone 3.0 Journey

Progress in realizing Sustainability Business Framework■ Initiatives for realizing the sustainability business framework
Overall<Mid Term Business Plan – priority items>
・ Efforts to achieve carbon neutrality and realize acircular economy■ Switched electricity sourced from outside providers to

100% renewable energy for 4 plants in Japan (July)→ CO2 emission reduction for all tire plants in Japan : approx. 30％ (vs. 2011)
Tosu plant/
Shimonoseki plant

・ CO2 emission reduction target for 2023:
more than -30% (vs. 2011)- Long-Term Environmental Vision (Milestone 2050): Carbon neutrality- Mid term environmental targets (Milestone 2030): -50％ (vs. 2011)- Drive global efforts to achieve mid-long term environmental targets･ Reinforce utilization of carbon pricing
Carbonneutrality- For investment decision-making:Introduced in 2011, continue improving global application→ Reinforce application @ 60USD / t-CO2 for Scope 1 & 2- For enterprise value:
Expand application across all operations including Scope 3.
Enhance understanding of carbon pricing across the company

・ Expand use of renewable energy

・ Accelerate actions taking into account European climate change
action plans, etc., execute adapting to regional situation

Circulareconomy
25/31･ Start exploration of recycle business

Hikone plant

Kitakyushu plant・ Bridgestone Europe NV/SA (BSEMIA) switched to 100% renewable energy
for electricity in all of its European locations (April)
Globalrenewableenergy ratio(electricity)

2021
Approx.

2023
Aim forand higher■ Reinforce structure to drive sustainability efforts
・ Global Sustainability Business Committee established・ Global Sustainability Committee established・ Reinforcement of Corporate Sustainability Division■ Sustainability Report 2020-2021 (published in June)
・ Commitment to contribute to the realization of a sustainable society
・ Reinforce communication to enable value co-creation

Bridgestone 3.0 Journey

Our Way to Serve: Supporting People and Communities■ Guided by our global CSR commitment “Our Way to Serve”, promote social contribution activities globally
Contribute to improving the way people move, live, work and play

Build trust with society, customers and partners by fulfilling our responsibilities toward the future
Initiatives to realize a society where all people can live well and play an active role
“The Valuable 500”

・ Joined the global movement empowering people withdisabilities
・ Continue striving to build a workplace that empowers
teammates with disabilities

26/31

PRIDE index

・ Evaluation index for promotion of LGTBQ in theJapanese workplace
・ Achieved Gold, the highest ranking 3 years in a rowBridgestone 3.0 Journey

Our Way to Serve: Supporting People and Communities■ Supported efforts to combat COVID-19 across the entire global group■ Bridgestone’s effort to support each community: funds/donated a total of approx. 250 M JPY

India

Cooperation between Bridgestone
in Japan, U.S. & Europe to provide
ventilators & oxygen concentrators
amidst the sudden outbreakJapan
Production & donation of masks to
hospitals and local governments

Spain / France

Free 24h emergency tire maintenance service
provided to healthcare professionals

Distribution of masks & handdisinfectants to pedestrians■ COVID-19 workplace vaccination (Japan)
Conducted with objective to vaccinate as many people as early as possible
・ Scope : Group employees, families and business partners (approx. 63,000 people)
・ Locations : 16 Bridgestone locations in Japan (Head office, Technical Center, Diversified Products Technical Center,Tochigi/Kurume/Kitakyushu plants, etc.)

27/31

PolandBridgestone 3.0 Journey

Our Way to Serve: Supporting People and Communities■ Bridgestone Group’s social contribution activities:
fulfilling our responsibilities toward the future as a leading tire and rubber company
Protecting biodiversity(Indonesia)
Held environmental conservation andawareness-raising with local NGOsand elementary school children（planting native trees, releasing fish, etc.)

Accessible and inclusive education:
Global communication class(Japan)Held an online course for junior highschool students with Bridgestone
teammates, as teachers
In 2020: shared the importance of diversity &communications based on experiences asa global company

Infrastructure to support local lives &education(Vietnam)
Built & maintain bridges in areas often
flooded during the rainy season

Before

28/31

/

After

In 2020: built 3 bridges, supporting safe accessto schools for students from over
1,000 households

Support of youth development programs(U.S.)
Supporting youth education through the
longtime partnership with the Boys and Girls
Clubs of America (BGCA)
In 2020: collected $3.6 M USD as donations from
customers through the “Driving Great Future”
program, which provided technology grants to help
kids adapt to remote learning, among other uses.

Bridgestone 3.0 Journey

Toward the enhancement of enterprise value
Mission: “Serving Society with Superior Quality”
Business activities

Social Value

Social contribution activities

Customer Value

Social Value(Safety, Environment, Economy, Productivity)

Mid-Long Term Business Plan
Mid Term Business Plan (2021-2023)

In harmony with nature and communities
Human Resources(Talent development)

Corporate governance(Foundation for value creation)

Competitive advantage
Financial value
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Enterprise value enhancement

Building trust
Non-financial value

Bridgestone 3.0 Journey

From the “world’s roads” to the “lunar surface”■ Carrying the dreams of humankind on the harsh lunar surface – tires evolve with every new dream -Rover for mobility on the lunar surface “LUNAR CRUISER”

An unprecedented air-free tire with steel wool

An international space exploration mission* using manned rovers with a pressurized cabin,consolidating Japanese technologies to explore ice on the moon.
The evolution of tires supports the evolution of civilization.
Toward the end of 2020s, a tire groove will be marked on the moon – and the future of humankind lies beyond.
* In collaboration with the Japan Aerospace Exploration Agency (JAXA) and Toyota Motor Corporation (Toyota)

30/31‐Go Farther. Go Anywhere‐

2021

2nd Year of Bridgestone 3.0, the “Third Foundation”
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Statements made in this presentation with respect to Bridgestone's current plans, estimates, strategies and beliefs and other statements that are not historical facts areforward-looking statements about the future performance of Bridgestone. Forward-looking statements include, but are not limited to, those statements using words such as"believe," "expect," "plans," "strategy," "prospects," "forecast," "estimate," "project," "anticipate," "may" or "might" and words of similar meaning in connection with a
discussion of future operations, financial performance, events or conditions. From time to time, oral or written forward-looking statements may also be included in othermaterials released to the public. These statements are based on management's assumptions and beliefs in light of the information currently available to it. Bridgestone
cautions you that a number of important risks and uncertainties could cause actual results to differ materially from those discussed in the forward-looking statements, andtherefore you should not place undue reliance on them. You also should not rely on any obligation of Bridgestone to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise. Bridgestone disclaims any such obligation.

Copyright © Bridgestone Corporation

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