CSR
CSRReport
Report2011
2011

MITSUBISHI
MITSUBISHIGASGASCHEMICALCHEMICALCOMPANY,COMPANY,INC.
INC.
Mitsibishi
Mitsibishi
Building,
Building,
5-25-2
Marunouchi
Marunouchi
2-chome,2-chome,
Chiyoda-ku,
Chiyoda-ku,
Tokyo
Tokyo
100-8324,
100-8324,
Japan
Japan

Corporate
Corporate
Communications
Communications
Division
DivisionTel:
Tel:+81-3-3283-5041+81-3-3283-5041
Fax:
Fax:
+81-3-3287-0833+81-3-3287-0833
Environment
Environment
andand
SafetySafetyDivision
DivisionTel:
Tel:+81-3-3283-4828+81-3-3283-4828
Fax:
Fax:
+81-3-3283-4840+81-3-3283-4840
URL
URLhttp://www.mgc.co.jp/eng/
http://www.mgc.co.jp/eng/(English)(English)http://www.mgc.co.jp/chi/
http://www.mgc.co.jp/chi/(Chinese)(Chinese)

Contents

Message from Our President & CEO

Message from Our President & CEO

2

Profile of Mitsubishi Gas Chemical(MGC)
Company Overview and BusinessResearch and Development Activities

3
5

CSR Management
MGC’s Efforts in CSR

9Corporate Governance

10Compliance and Risk Management

11

Stakeholders and MGC
Together with Stakeholders

13

Responsible Care and MGC
Environment and Safety Management

17

Results and Plans for RC Activities

19

Occupational Health and Safety, Process
Safety, and Disaster Prevention

21

Environmental Burden of Business Activities

23

Environmental Accounting

24

Global Warming Prevention

25

Chemical Emissions

27

Waste Reduction

29

Air and Water Conservation

30

Safety Management of Chemicals and Products

31

RC Activities on Site

33

MGC Group’s Environmental and Safety Activities

37

12 Member Companies of the MGC Group
Environment and Safety Council

38

About this Report
The purpose of the ‘CSR Report 2011’ is to provide
information related to the various activities carried out
by Mitsubishi Gas Chemical Company, Inc. (MGC) in
the area of Responsible Care (RC), the steps it is taking
to improve corporate ethics and compliance, and toreport our relations with our many stakeholders in
addition to broadly promoting our (CSR) activities.
MGC began producing an environmental report in
2001. In 2007, the report was renamed the RC Report,
and it continued to provide details about company
activities related to the environment and safety. Startingin 2010, we are changing this report to the CSR Report
to reflect our wide-ranging efforts in the area ofCorporate Social Responsibility. As a result, you willfind that this year’s report provides a much broader
selection of information.
We have put great effort into making this reporteasy to understand, and look forward to your honest
opinion and feedback.

Scope of this Report
Organizations included
All offices in Japan. In the case of MGC Group
companies, proper reference will be madewhere necessary.
Reporting period
April 1, 2010 through March 31, 2011 (includes some
activities after April 2011).
However, Responsible Care (RC) activities are included
from 1 January, 2010 – December 31, 2010 (includes
some RC activities in 2011).

Reference Guidelines
Ministry of the Environment, “Environmental Reporting
Guidelines (2007)”
Ministry of the Environment “Environmental Accounting
Guidelines 2005”
Global Reporting Initiative (GRI) “Sustainability
Reporting Guidelines Version 3.0”

Publication Information
Date of publication: February 2012
Date of next scheduled publication: October 2012

Responsible CareAt every stage of their operations,companies dealing with chemicals mustensure that the environment, safety andhealth are safeguarded. This starts withthe development and manufacturing ofchemicals, and goes all the way throughto distribution, use and final disposal
after consumption. It also involves
publishing the results of those activities,
being engaged and willing to communicate with society. The chemicalindustry refers to this conscientious activity as Responsible Care (RC).

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Disclaimer: This report contains past and present facts, in addition
to information about expectations regarding social conditions,management plans and policies of the company together with
anticipated results. These assertions or assumptions are based on
the information available at the time of drafting, however unforeseen
circumstances may lead to unexpected social conditions or result inchanges to business activities which are different to thoseexpressed here.

The Great East Japan Earthquake and subsequent
nuclear power plant accident subjected Japan to a trial
unlike any other in recent years. All of us at MGC offer
our sincere condolences for the many lives lost in thedisaster, as well as our sympathies for the victims
forced to live as refugees.
Within the MGC Group, our Kashima Plant and our
subsidiary Electrotechno Co., Ltd. suffered damage,and the supply of major products was delayed forsome time. The unfortunate result was considerable
unease placed upon our stakeholders. Yet with thesupport of devoted efforts by many concerned parties,
all of our workplaces had returned to normal
operations by the end of June. I would like to take thisopportunity to offer my deepest gratitude.
Looking ahead 10 years to the 50th anniversary of
our founding (2021), we are currently engaged in our
medium-term management plan titled MGC Will 2011.
A company can record sales and profit only when it
can fulfill its social responsibility. The disaster was anopportunity for us to reaffirm the degree to which ourGroup exists only through the support of so many
people, and the degree to which our products play animportant role for our customers. Based on thelessons of this experience, we hope to meet the
expectations of the community more than ever, andgrow sustainably toward the desired MGC Group
in 2021.
The time has come again to issue a new CSR
Report following up on last year’s report. As achemical manufacturer, our company always takes
into account the impact of our current businessactivities on future generations, based on the principleof sustainable development. At the same time, we
continue to provide a variety of materials boasting highperformance and originality, and through that corebusiness, hope to strengthen our presence as acompany that is truly needed by society.
Toward that end, in FY 2010 we again madeefforts toward goals such as prevention of global
warming, reduction of environmental impacts, andreduction of wastes, all with solid results. In addition,
the Group as a whole is setting key policies and annual
plans as it makes efforts in areas including
occupational health and safety, process safety, andchemical and product safety. Our achievements inthese areas are detailed in the Responsible Care and

MGC section.
We have also strengthened our efforts in corporate
governance, compliance, and risk management inaccordance with the needs of the times. Yet due tothe recent massive disaster, we must appropriately
review details, such as the establishment of business
continuity plans, in the light of practical realities. In thismanner, we believe that the essence of CSR activity is
the steady building of continuous improvements under
the PDCA cycle, with respect to each and every issue
we face.
We hope that everyone reading this report will gaina deeper understanding of the MGC Group’s CSR
activities. We welcome your honest opinions
and suggestions.

Kazuo Sakai
President
November 2011

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Profile of Mitsubishi Gas Chemical (MGC): Company Overview and Business

To Continue Providing the Technology and Products that
Help People Increase Their Quality of Life While Supporting
the Sustainable Development of the Global Community.
Corporate Information (as of March 31, 2011)

Financial highlights (Consolidated)

Company name
MITSUBISHI GAS CHEMICAL COMPANY, INC.
Corporate Logo

Net sales / Operating income / Ordinary income

Head office address
Mitsubishi Building, 5-2 Marunouchi 2-chome,
Chiyoda-ku, Tokyo 100-8324, Japan
Established

January 15, 1918

Incorporated April 21, 1951
Capital¥41.97 billion (as of the end of March, 2011)

Operating income

38

Tokyo Techno Park (TTP)
opened in October 2009.
This urban research anddevelopment center is
responsible for the study of
specialty chemicals andadvanced materials.

Natural Gas Chemicals Company(Millions of yen)

500,000

100,000

400,000

80,000300,000

60,000200,000

40,000100,000

20,00000-100,000-20,000
2002

2003

2004

2005

2006

2007

2008

2009

2010

(FY)

Natural Gas
Chemicals

Return on equity (ROE)(Millions of yen)(%)

50,00015

40,00012

30,000920,000

6

10,00030

0-10,000

Aromatic
Chemicals

2002

2003

2004

2005

2006

2007

2008

2009

2010

(FY)

Total assets / Net assets ratio

Inorganic
Chemicals

Net assets ratio

Total assets(Millions of yen)(%)

300,000

60

200,000

40

100,000

20

0

Major products
Methanol, Formalin, Methanol
synthesis catalyst, Ammonia,
Amine, Polyol, Methyl
methacrylate, Dimethyl ether(DME), Catalase, CoenzymeQ10

Develops unique aromatic products centered on
the metaxylene chain, including aromatic aldehydes
and aromatic polycarboxylic acids, which are used
as intermediates in pharmaceuticals,
agrochemicals and fragrances, monomers, andadditives. One of our core products, Nylon-MXD6,
is a derivative of metaxylene that is used for PET
bottles and food packaging because of its excellent
gas barrier property.

Major products
Metaxylene, Metaxylenediamine,
Nylon-MXD6, Aromatic aldehydes,
Aromatic polycarboxylic acids,
Purified isophthalic acid (PIA),
Plasticizers

Develops a range of products from industrial-usehydrogen peroxide to chemicals for use in theelectronics industry and environmental agents. Also
involved in the development of resinous material for
functional thermal curing, and has a product lineupthat ranges from monomers for high refractive
index plastic lenses to photoresist monomers.

Major products
Hydrogen peroxide, Chemicals foruse in the electronics industry,
Persulfates, Organic titanates,
Water treatment agents,
Environmental agents, Monomers
for high refractive index plastic
lenses, Adamantane derivatives

Mainly involved in development of engineering
plastics, including polycarbonate and polyacetal.
Also develops special polycarbonate for specificapplications such as optics as well as
polycarbonate sheet & film with excellent surface
coating technology.

Major products
Polycarbonate Iupilon®, Polyacetal
Iupital®, Polyamide MXD6 Reny®,
Polycarbonate sheet Iupilon®
sheet, Special polycarbonate
Iupizeta®

Specialty Chemicals Company

-3
2001

Includes a wide product lineup, spanning fromcore chemical materials such as methanol,ammonia and their derivatives to CoenzymeQ10
made using biotechnology. Also involved in the
exploration and drilling of petroleum and natural
gas and geothermal development.

Aromatic Chemicals Company

Net income / Return on equity (ROE)
Net income

Main business sites in Japan
Branches
Osaka branchOverseas offices
Shanghai Office, Taiwan Office
Research institutes
Tokyo Techno Park (Tokyo ResearchLaboratory, MGC Chemical Analysis Center),Niigata Research Laboratory, and Hiratsuka
Research Laboratory
PlantsNiigata Plant, Mizushima Plant, Kashima Plant,
Yokkaichi Plant, Yamakita Plant, Naniwa Plant,
and Saga Plant

Ordinary income(Millions of yen)

2001

Number of employees
2,331 (non-consolidated), 4,979 (consolidated)
Number of consolidated subsidiaries

Net sales

Major Products and Business Lines—Six businesses operated by four companies

Engineering
Plastics

0
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

(FY)

Information & Advanced Materials Company
Medium-Term Management Plan MGC Will 2011

Aiming to produce sustainable growth as a highly differentiated, widely recognizedchemicals group operating from a strong platform of proprietary technology.

MGC Will 2011

Kyoso 2008
(FY 2006 – 2008)• First stage toward the desired MGC
Group of 2021
• Return to a growth path

The desired MGC
Group in 2021, ranked
in the Global Top 30
Sales exceeding ¥1 trillion* 2021 will be MGC’s 50th anniversary.



Major products
Laminate materials for printed
circuit boards (epoxy-relatedmaterials, BT-related materials)
and entry sheets (“LE sheets”)
used for the mechanical drilling ofprinted circuit boards.

Expanding the business with a focus on oxygen
absorber AGELESS® which was developed basedon the idea to create an oxygen-free packaging
environment that prevents food deterioration byoxidation. Currently it is not only used forpreserving food freshness but also in other areas asa total solution for maintaining quality, including forpharmaceuticals, medical devices, electronic/metalparts, and important cultural assets.

Major products
Oxygen absorber AGELESS®,
PharmaKeep®, RP System®,anaerobic cultivation system
AnaeroPack®, and desiccant
AGELESS DRY®

(FY 2009 – 2011)(MGC’s previous medium-term plan)
Kyoso literally means ‘collaborative innovation.’• Achieved record earnings in
FY 2006 and FY 2007
• Lost growth momentum in FY
2008 with impact of global
recession

Electronic
Materials

Mainly involved in laminate materials for printed
circuit boards and entry sheets, used inmechanical drilling of printed circuit boards. Its
core product BT laminate material led the movetowards using plastic material for semiconductor
packaging, and it still remains synonymous withsemiconductor package boards.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

OxygenAbsorbers

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Profile of Mitsubishi Gas Chemical (MGC): Research and Development Activities

MGC places importance on original technology and isengaged in the research and development of products that
contribute to society.

Research and Development Sites and Structure

R&D Strategy
Our philosophy for being is stated as follows: “MGC
contributes to societal growth and harmony by creating awide range of value through chemistry.” On thisfoundation, we position research and development as animportant means of becoming a distinctive and excellent
chemical company. Drawing on this thinking, MGC has a
tradition of corporate culture that cherishes originaltechnology, and has used and evolved core technologies
created over many years to develop new technologies andmaterials ahead of their time, and has thus responded tothe demands of society.
Today, using our catalyst, synthesis, polymerization,
mixing, processing, and bio technologies, MGC isadvancing research & development into methanol andxylene derivatives, a wide variety of engineering plastics
and their processed products, product groups usinghydrogen peroxide to reduce environmental load, theoxygen absorber that revolutionized food distribution,and more.
At the same time, we are also undertaking
development of technologies and products that contributeto the environmental and energy problems facing theworld, life science-related product groups that meetgrowing health consciousness, and product groups related
to the ever-evolving field of information electronics. In the
future we will focus even more on these areas.

MGC’s research and development sites comprise threelaboratories, plant research technology sections, anddevelopment and technology centers, each of which
carries out research related to its overseeing company.
Research is divided into Company R&D and Corporate
Research. Company R&D conducts new productdevelopment based on existing products andResearch Divisions
Company / Division
R&D Department

technologies, and improvement of processes for existingproducts. Corporate Research aims to create future corebusinesses from a longer-term perspective, and is carriedout at all laboratories.
The MGC Analysis Center performs analysis and safety
testing for the entire company.

Corporate ResearchCompany R&D
Natural Gas
Chemicals Company

Aromatic Chemicals
Company

Specialty Chemicals Information & Advanced
Company
Materials Company

Corporate DivisionTokyo Research Laboratory, R&D Department
of Yokkaichi, Kashima Yamakita Plant
Niigata Research Laboratory,
R&D Department of Niigata Plant

R&D goals and targets
Creation of businesses for
growth sectors

Reinforcement of production
processes in existing businesses

Deepening of technologies andsecuring of competitive edge

• IT
• Environment and energy• Functional • Specialty chemicals
chemicals• Life science• Energy savings, CO2 reduction• Cost reduction• Pursuit of ultimate technology• Practical use of technology platform

Hiratsuka Research Laboratory, R&D
Department of Mizushima Plant
Electronics Materials R&D Center,
Oxygen Absorbers Techno Center
MGC Chemical Analysis Center

R&D Strategy

Tokyo Techno Park

Technology platform and main products
Xylene separation andisomerization / Methanol /Methyl methacrylate / Ammonia /Dimethyl ether / Aromatic
aldehydes

Hydrogen peroxide /Naphthalene dicarboxylic
dimethyl / Neopentylglycol /Purified terephthalic acid /Meta-xylenediamine

Polycarbonate (Iupilon®) /Polyacetal (Iupital®) / MX Nylon /Special polycarbonate (lupizeta®) /Modified PPE (lupiace®) / Resinforming

Oxygen absorber (AGELESS®) /Printed circuit board materials /Environmental agents /Electronics chemical agents / BT
resin / Chemical polishing agents

Coenzyme Q10 (BioQ10) /Catalase (ASC super) / Specialty
amino acids

Catalyst

Synthesis

Polymerization

Functional products

BioSuperacid /Oxidized solid catalyst /High pressure

Air oxidization /Liquid-phase oxidization /Hydrogenation

Condensation polymerization /Bulk polymerization /Oxidization polymerization /Films and sheets /Resin treatment

Oxygen absorber-related /Varnish-related /EL chemical-related

Continuous cultivation /Breeding

Gathered into one place, three research and development
divisions and the Analysis Center cooperate and share informationin the performance of research and development. Tokyo Techno
Park also explores the new themes that will carry MGC into the
future, centered on development of functional materials andresearch into applied technologies for existing products.

Niigata Research Laboratory
The Niigata Research Laboratory conducts distinctive research
activities that contribute to the realization of a sound andprosperous society and to environmental conservation. Research
focuses on chemical product and process development using
catalysts and high-pressure reaction technology, and thedevelopment of high value-added products using biotechnologies
such as continuous culture of microorganisms and recombinant
DNA technology.

Hiratsuka Research Laboratory
The Hiratsuka Research Laboratory focuses its research on
development of polymer materials and applied processing
technologies. The Laboratory’s research and development covers
an extensive range, from development of new high-performancepolymers and development of applications and technical services
for existing products, to basic research, new productdevelopment, application development, and technical support.



MITSUBISHI GAS CHEMICAL COMPANY, INC.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Profile of Mitsubishi Gas Chemical (MGC): Research and Development Activities

Born from R&D that leverages our core technologies,
MGC products find use in environmental conservation,
Close upconsumer lifestyles, and industry.
With our sights set on social issues and the future, MGC continues to create new technologies and newvalues. Below are examples of the products and technologies born from our endeavors.

Clean energy
Dimethyl ether (DME)
Application of clean fuel DME made from natural gas todiesel fuel, etc.

Energy saving and CO2 reduction
through lighter products

Fuel cell

MX nylon resin
Non-chlorinated resin with high gas barrier capability. Through theswitch from glass bottles to lighter PET bottles for beverages, etc., thismaterial contributes to the improvement of fuel efficiency in transport.

Development of methanol fuel cell which enables directelectricity generation without fuel reforming intohydrogen. Under test of introduction as a power supply
for welfare electric vehicle.

Water purification
Diafresh® series

Reny ® (Polyamide MXD6)

Geothermal power generation
Contributes to the application ofgeothermal steam to electric
power generation.

This series includes chemicals to greatly reducevolumes of sludge produced and chemicals toenable fluoride separation, contributing towater purification.

Used for side mirror stay of vehicle, contributing to the energy
saving by light weight property.
Iupiace® (Modified polyphenylene ether)
Mainly used for office automation equipment, this resin contributes
to improved fuel efficiency
in transport by enabling
Reduction of wastes
lighter products.

PersulfatesContribute to cleaning up contaminated undergroundwater and soil.

Deslime®, Contlime®
Water treatment agent for recycled coolingwater in piping, contributing to both thecleaning and long-life of said water, andhigh thermal efficiency.

Mild Fenton method
Soil / underground water clean up technology that
decomposes organic substances under neutral conditions
in combination with hydrogen peroxide and catalyst.

AGELESS ®
Agent keeping quality and freshness in foodsector and, as a result, reducing waste of foods
and contributing to efficiency of production
and distribution.

Environmental improvement

Neofade® (damping material)
High performance damping material, contributes topreventing vibration and noise.

Reduction of environmental risk

RP System®
Oxidation and corrosion resistant system formetals and electronic parts, contributing to
reduction of waste.

Hydrogen peroxide
Substitute for bleaching agents containing chlorine,
used in a pulp and paper production process.

PharmaKeep®
Agent keeping quality and performance in
medicines and medical devices, improving their
shelf life, and contributing to reduction of waste.

Materials for printed circuit boards
Including heat resistant materials for printed
circuit boards suitable for lead-free solder,
printed circuit boards without brominated flame
retardant, and others.

DEOPOWER(deodorizer)
Deodorant agent that
contributes tosolving the issue ofbad odor at
sewage-treatment
plants, etc.

AGELESS ®

Oxygen absorption technology that prevents degradation in a variety of productsThis oxygen absorption technology takes advantage ofthe property by which iron rusts on contact with oxygen,to create an oxygen-free state. This state prevents theoxidation of food and the growth of mold, preserving
flavor and freshness. Unlike food additives, thetechnology is safe in that it does not make any change
in the food itself. MGC’s oxygen absorber AGELESS ®
extends shelf life and also contributes to the reductionof waste.

Change over time in vitamin C in green tea

Stored at 25°C

Vitamin C (mg / 100 g)
300
Stored with AGELESS®

280

Hydrogen peroxide

260

Bleaching pulp without chlorine: peroxymonosulfuric acid system

240
Stored without AGELESS®

220
0

30

60

90

120

150 180 210(days elapsed)

Diafresh® series

Water treatment utilizing patented technology to deliver antibacterial agents into corrosion inhibitors
Nitrite-based corrosion inhibitors have been
known for their performance, but have a fatal
flaw in that they lose effect in the presence ofnitrous acid-oxidizing bacteria. MGC hasdeveloped technology that addresses the flaw
to maintain full performance (registered patent
no. 4715987). MGC is working to develop theworld’s first water treatment chemical applying
this technology.



MITSUBISHI GAS CHEMICAL COMPANY, INC.

Corrosion inhibitor effect of
the new technology

Additional
application ofCorrosion inhibitor concentration (mg / L)corrosion
Concentration in conventional products
inhibitor
Concentration in product in development
2,500

Antibacterial effect (image)● Without antibacterial agent
NO2–
Nitrite ions

2,000
1,500

NO3–
Bacterial
growthNitrate ions

● With antibacterial agent

1,000

NO2–

500
0
0

50

100 150 200 250 300 350
Days elapsed

NO2–

Suppression of
Nitrite ions
Nitrite ionsbacterial growth
Nitrite oxidizing bacteria generally exist in thenatural environment as soil bacteria.

While chlorine has been used over the years to bleach pulp, inrecent times its considerable environmental impact is spurring
a switch to more environmentally friendly non-chlorine
bleaching methods. However, pulp manufactured throughnon-chlorine bleaching methods combining hydrogen peroxide,
oxygen, ozone, and other inputs suffered from the problem ofyellowing over time. MGC pinpointed the cause of the yellowing
as hexenuronic acid (HexA) in the pulp, and identified
peroxymonosulfuric acid as a chemical for efficiently removing
HexA. In the past, peroxymonosulfuric acid’s instability also
required it to be manufactured directly at the site of use.
However, MGC became the first in the world to succeed at
producing the substance on an industrial scale. For thistechnology, MGC and Oji Paper Co. jointly received the 39th
Sasaki Prize conferred by the Japan Technical Association of
the Pulp and Paper Industry.

Difference in post-bleaching changes between non-chlorine
bleaching method and peroxymonosulfuric acid bleaching system

Non-chlorine bleaching method(conventional method)

Peroxymonosulfuric acidbleaching system

MITSUBISHI GAS CHEMICAL COMPANY, INC.



CSR Management

CSR Management

MGC’s Efforts in CSR

Corporate GovernanceIn October of 1991 we put in place the “MGC
Philosophy for Being,” followed in December of 1997
by the “MGC Corporate Behavior Guidelines,” as a way
for our company to gain the trust and understanding ofsociety while ensuring that we could foster confidence
and pride among our employees. Then in November
2007, we undertook a major revision of the “MGC

Corporate Behavior Guidelines” to incorporate a more
assertive Corporate Social Responsibility (CSR) functionthat plays a critical role in ensuring MGC’s continued
development as a healthy company.
We are committed to the CSR activities in our
medium-term plan—MGC Will 2011—launched in 2009as part of our CSR program.

MGC Philosophy
Management Philosophy
Marketing that expands andcreates markets, with an eye on
the world to capture its needs
Management thatcreates an inspiring work environmentand builds a dynamic group withrespect for motivations and abilities
Creative research anddevelopment that deeply
understands needs and refines theseeds that will grow success

Production activities that strive fortechnological improvement,
environmental conservation,
safety, and better products

MGC Philosophy

Philosophy
for Being

Management
Philosophy

Principles
of Conduct

An open corporate culture forshared goals and individual growthPhilosophy for Being
MGC makes contributions
towards development inharmony with society throughthe creation of a diverse range ofvalue based on chemistry.
Principles of Conduct
As a Professional Group
1. Courage unafraid of change
2. Aspiration toward lofty goals
3. Perseverance towardachieving goals
4. Communication to broaden
rapportMGC Corporate Behavior Guidelines
Mitsubishi Gas Chemical Company, Inc. (“MGC,” “the Company”
or “we”) aims to be a company that acts with sound judgment
and maintains the trust and understanding of society. The
Company operates under six behavioral principles, presented
and explained below, and will share knowledge of theseprinciples widely throughout Group companies.
Senior managers recognize that it is their role to embody thespirit of these principles, and while ensuring that they have a fullunderstanding of the necessary information inside and outside
the Company, they will take the initiative to promote a high levelof corporate ethics, and strive to develop and operate an effective
framework for this purpose through the internal control system.
Furthermore, if an incident takes place in contravention of theseguidelines, they will take command and fulfill their obligations forinternal and external disclosure, strive to identify the cause of theincident and prevent its recurrence, and deal with the matter strictly
and fairly in respect to all parties, including management itself.

(1) MGC will ensure customer and consumer satisfaction
and trust by providing high-quality products andservices that are useful, safe and reliable.
(2) MGC will voluntarily and proactively addressenvironmental issues.
(3) MGC will comply with laws, regulations and rules, andwill conduct fair, transparent, appropriate and open
business activities.
(4) MGC will endeavor to ensure broad-ranging
communication with society through appropriate
disclosure of information.
(5) MGC will engage in business activities that are usefulfor society, and actively contribute to society as a
responsible corporate citizen.
(6) MGC will provide comfortable and productive working
conditions for employees, and will ensure a safe andrewarding working environment.

The establishment and maintenance of a sound and transparent management system is a key
management issue, and a number of measures are being pursued with the aim of improving
transparency, ensuring fairness, and accelerating decision-making.

The Company has adopted an executive officer systemand positioned the Board of Directors as the organization
responsible for making decisions on critical management
issues, including basic policies, and for overseeing
business execution. This has strengthened governanceand enhanced the operational framework by clarifying
functions and responsibilities. MGC has also adopted aninternal company system for its business divisions, which
has clarified responsibility and improved
management performance.
MGC aims to enhance the transparency and fairnessof management through internal audits performed by theCompany’s Board of Corporate Auditors and will develop
effective corporate governance through appropriate
disclosure of management information.

Overview of Corporate Governance Structure
The current management structure consists of 10
directors and 22 executives (including people who
concurrently serve as directors).
Any important matters affecting MGC are to bereviewed and decided with a broader perspective atmanagement meetings where management policy may
Corporate governance, risk management structure figure

General Meeting of Shareholders
Management
Board of Directors

MGC Group aims to thoroughly realize CSR goals in all its activities while developing and growing sustainably on the global stage
as a highly differentiated, widely recognized chemicals group operating from a strong platform of proprietary technology.

Board of Corporate
Auditors
Auditing / Corporate Auditors
Supervision

Advising

Auditing / Supervision
Crisis Management
Established as atemporary framework

Business Execution

Auditing

Attorneys, etc.
Independent Auditors

ChairmanPresident
Compliance Committee
Compliance Consultation Desk

Incident Response
DivisionManagement Council
Operations Council

Overseas Safety
OfficeInternal Control
Promotion Committee

For entire guidelines, please refer to our website; http://www.mgc.co.jp/eng/about/compliance/index.html

Group Vision—‘MGC Will 2011’ Medium-Term Planbe discussed, and at executive officer meetings wheredefinitive action plans may be discussed. In addition,
MGC draws upon the expertise of legal counsel and otherexperts when required in the decision-making process andthe business execution of the company.
There are five corporate auditors, three of whom areexternal. They attend important meetings as well as board
meetings, conduct audits on subsidiaries, and strive tounderstand the decision-making process and status ofbusiness execution. In addition to ensuring a rational
decision-making process and compliance with the law andcorporate ethics, the auditors conduct inspections of ourbusiness operations. The auditors hold regular meetings
with the CEO, and receive status reports from directors
and employees on a regular basis or ad-hoc basis whenconcerning important matters, and may request surveys
or reports concerning business compliance. The auditors
also inspect important documents concerning businessexecution, and require information from directors
and employees.
In order to enhance internal controls and improve
efficiency of business management, we have establishedan Internal Audit Office that is separate from the statutory
auditors. This office oversees the execution of MGC and
MGC Group companies to ensure adherence to ourannual plan.

Basic Approach to Corporate Governance

Company Groups

Risk Management Committee
Inspection /Reporting /Auditing

Internal Audit DivisionCorporate Groups

Inspection

Application of MGC’s Internal
Control System
Subsidiaries



MITSUBISHI GAS CHEMICAL COMPANY, INC.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

10

CSR Management

Compliance and Risk Management
In our aim to earn the trust and understanding of the community, MGC practices compliance while
readying and strengthening systems for responding to any manner of risk.

MGC Group Compliance

Compliance System and the Initiatives

Risk Management

MGC established its “MGC Corporate Behavior
Guidelines” in 1997 in an effort to strengthen its
compliance system. In 2002 it established a Compliance
Committee and a Compliance Consultation Desk.
Moreover in 2004, the company laid down its “MGC Codeof Conduct” and “Compliance Regulations,” and worked
with its group companies to ensure that they were awareof the policies and adhered strictly to the compliance rules.
Within the MGC Group we
strive to proactively meet theneeds of society by not limiting“compliance” to a set of laws andinternal rules, but by embracing abroader belief in “complying withthe law, internal rules, and social
norms, as well as recognizing ourcorporate social responsibility
to create a company with fair,
MGC ComplianceHandbooktransparent and open
business practices.”

At MGC we have established a Compliance Committee
to oversee matters concerning the Group’s complianceprogram, headed by the Chief Compliance Officer andreporting directly to the President. In addition, we set up a“Compliance Consultation Desk” to detect and rectify noncompliance issues at the earliest stage.
Also, we set aside October each year as “Ethics
Month” for compliance training. MGC’s intranet contains
materials covering roughly 40 types of compliancerequirements. We select some particular agenda, whichmatch the social conditions of the time, and have our staff
learn them through our e-learning system. In an effort toraise awareness of “Ethics Month,” the President actively
promotes the program by communicating the details to allof our offices.

MGC created a Risk Management Committee in 2006
to respond to various risks related to our businessactivities. This committee helped to raise awareness of risk
management’s importance by conducting seminars forsenior management and for all employees at every MGC
offices. The committee identified risks specific to eachbusiness sector, and created a detailed list of hundreds ofrisks for further evaluation.
In 2007, we selected the pressing risks among thelisted in order to prioritize them and consider potential
solutions, and formulated a Business Continuity Plan (BCP).
Since 2008, we have worked to ensure that risk
management permeates even deeper within the company,
while at the same time implementing measures to reduce
potential risks, and re-evaluating the BCP on an
ongoing basis.

MGC compliance structure

Risk Management Promotion System

Board of Directors

Auditors

President

MGC compliance concepts

Executive Board
ReportReportCompliance Regulations
MGC Corporate Behavior Guidelines
Toward a more concreteStandard of Conduct
MGC Code of Conduct

Compliance Committee
Chairman (Compliance Officer)
One director
General Manager of Internal Audit Div.
General Manager of Environment &Safety Div.
General Manager of Corporate
Communications Div.
General Manager of General Affairs Div.,
Administrative & Personnel Center
Temporary members

Corporate divisions
Each company
Each affiliate

Countermeasures for Company-wide Risk
and BCP Development

ReportCompliance OfficeInternal Contact
Individual Contact
General Counsel

General Contact
External Contact
Attorney
Consultation andnotification

The Risk Management Committee, headed by the risk
management officer, is responsible for assessing andprioritizing the status of risk management and providing
instructions and supervision to the appropriate division sothat mitigating actions can be taken.
In terms of risks associated with project
implementation, we have developed an action plan to
identify and evaluate risks inherent in our operations orinternal control systems. We then take the appropriate
steps to prevent, avoid, reduce or divert the risk. In theevent that a serious risk is identified, we set up a specialgroup to cope with it according to internal rules.

Consultation andnotification

At MGC, all of our facilities cooperate closely in theformulation of business continuity plans (BCP) that ensure
the company can cope with such company-wide risks
as caused by earthquakes, poisons, hazardous material
leaks, fires, explosions, and information leaks.

Countermeasures for Metropolitan
Epicentral Earthquake
In 2008, MGC put special measures in place to copewith a major earthquake in the Tokyo metropolitan
area (a magnitude 7.3 earthquake north of Tokyo Bay
assumed by the Cabinet Office). We introduced a safety
confirmation system and provided each office with satellite
phones and radiotelephone so that we are able to contact
each office even in the event of a major earthquake.
As part of our BCP, we conduct emergency training
sessions using these systems and equipment each year,
so that even if headquarters becomes paralyzed, eachof our facilities such as plants and research centers may
continue supporting customers and maintaining otherservices, supplementing the headquarter’s function.

Response to the Great East
Japan Earthquake
Immediately after the Great East Japan Earthquakethat struck on March 11, 2011, MGC established an
Earthquake Response Task Force and worked to confirm
the safety of employees and ascertain the damage
situation throughout the Group. Following that, we
worked to procure and deliver materials in short supply
at damaged workplaces and affiliate sites, and provided
support for the quickest possible recovery of supply
chains. During that time we also made continuous efforts
to provide information inside and outside the company
regarding our damage situation and our recovery schedule.
MGC will reflect the lessons learned from theearthquake in our business continuity planning, andthereby enhance our readiness for disaster risks and ourability to respond in the event that risks materialize.
MGC also provided daily necessities and donations as
support for the affected area. We will consider additional
support activities based on the needs of the community.

People involved in MGC
Group’s business activities

11

MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Stakeholders and MGC

Together with Stakeholders
As a member of society MGC contributes to the community, and by fulfilling its responsibilities tovarious stakeholders, the company will earn society’s trust and sympathy.

Support for training
With the participation of visitors from externalorganizations, our workplaces conduct lectures and study
tours. In addition, from April 2010 our Niigata ResearchLaboratory dispatched a researcher to the Niigata
University Faculty of Science as a lecturer for half a year.

Together with the Community
MGC is deeply aware of its role as a member of society,working to improve its position of trust through a varietyof communication channels, and promoting activities that
contribute to the community.
Safekeeping of cultural properties
MGC provided its RP System® free of charge for the
temporary storage of cultural properties damaged by
the tsunami that accompanied the Great East
Japan Earthquake.

Scroll from Ryuzoin Temple (Kashima City, Ibaraki Prefecture) wrapped by
the RP System®, for mold protection and safe storage until restoration

Kashima District Local Dialogue
MeetingOkayama District Local Dialogue
Meeting

Donation of science kits
To help students become more interested in science,since 2008 we provide junior high schools near ourfacilities with chemistry kits to make their own portable
heating pads. These kits teach the students about theoxidation of iron, which generates heat and makes thepads warm.
In 2011, we also donated kits to elementary and juniorhigh schools in the Tohoku region that faced shortages ofschool supplies after the Great East Japan Earthquake.

Yokkaichi Plant / Receiving training under
the Waste Management for Promoting a
Recycling-Oriented Society in Venezuela
course, as part of region-specific
JICA training

Environmental cleanup activities atworkplace surroundings
At each of its sites MGC participates in voluntary cleanup
activities such as roads and nearby river beds.

Neighborhood council briefings
Our workplaces undertake active communication every
year with neighborhood councils, through briefings andstudy tours.

Content
of science
experiment kits

Kashima Plant / Briefing and study tour for neighborhood council

Participation in local dialogue meetings
To explain our environmental conservation and process
safety activities to local communities and deepen mutual
understanding, MGC has continued to participate in local
dialogue meetings held by the Japan Responsible CareCouncil (JRCC).
In November 2010 the Mizushima Plant took part in
the 7th Okayama District Local Dialogue Meeting, andin February 2011 the Kashima Plant took part in the 7th
Kashima District Local Dialogue Meeting.

Facility tours
In response to requests from neighborhood schools,
we organize tours for students to be conducted at
our facilities.

Niigata Research Laboratory / Local university and vocational high school
students taking a tour of facilities

Building better relationships with partner companies
At the Logistics Department, Purchasing & Logistics
Center, we work with our partner, transportationcompanies, to ensure the safety of our supply chain, toimprove the quality of distribution, and work towards a
modal shift. Moreover, from a compliance standpoint we
conduct audits of our partner companies and strive tobuild even stronger relationships with them.
In addition, each of our offices conducts a Safety
Day together with partner companies, enhancing
safety awareness.

Tokyo Techno Park / Cleanup of
workplace surroundings

Hiratsuka Research Laboratory /Planting tulip bulbs together withelementary school students at
Banyu Fureai Park along the
Sagami River

Reducing CO2 emissions through modal shift

Participation at tradeshow
MGC actively participates in various exhibitions as a way
to listen to the voice of our customers, which in turn helps
us to develop better products.
As an example, at Eco-Products 2010 in Decemberof last year, MGC exhibited a newly developed nylon
made from plant-derived materials, both to broadly
announce the product and to tailor product development
to customer needs.

Our Business Partners
Efforts to improve customer satisfaction
In order to provide customer satisfaction to our clients,from our business partners to end consumers, MGC is
committed to providing safe and reliable products andservices. As a component of this commitment, all of ourplants have received ISO 9000 series accreditation forinternational quality management.
We also conduct customer satisfaction surveys in aneffort to constantly improve the quality of our products
and services.

MGC booth

Mizushima Plant / Local technicalhigh school students taking a tour offacilities

13

MITSUBISHI GAS CHEMICAL COMPANY, INC.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

14

Stakeholders and MGC

Together with Stakeholders

Employees
Personnel system and human resources development
MGC’s management concept is, “making contributions
towards development in harmony with society throughthe creation of a diverse range of value based on
chemistry.” Our desire is to foster a team of professionals,
empowering individuality in each employee and creating
an energized workplace.
Personnel system
MGC’s personnel system is a multi-stream vocational
qualification grading system based on objective
management. Up to the standard age of 28, employees
belong to the same basic career path regardless of genderor educational background, and then move on to selectcourses that will help them in their career. It is a system thattreats all employees equally, providing them with a range ofcareer opportunities in line with individual aspirations thatmeet their role, achievements and capabilities.
Human resource development
In order to create an environment for each employee toachieve individual goals, we are working to enhance selfdevelopment programs (language training and distancelearning, support for qualifications, external training,etc.) for each rank and sector using tools such as skilldevelopment training and distance education.
Retention of new employees (three years after joining)
FY 2006

FY 2007

FY 2008

FY 2009

Number of new employees

24

47

69

84

Number of employees atthird year after joining, as
of April

24

47

69

81

100.0%

100.0%

100.0%

96.4%

Retention

Average continuous
tenureFY 2007

FY 2008

FY 2009

FY 2010

77

65

68

44

Workers desiring re-employment
Re-employed workers

77

65

68

44

Re-employment rate

100.0%

100.0%

100.0%

100.0%

Support for social contribution activities
We take pride in the fact that our employees contribute tovarious social activities in their everyday lives. In 2009, to
encourage more social activities, we introduced a special
paid leave such as “volunteer holiday” or “donor holiday.”We also provide employees with paid leave for public
service activities such as the saibanin (jury) system,
creating an environment in which employees can actively
contribute to society.
Work-life balance
At MGC we believe that a proper work-life balance isvital. To help promote this idea we have implemented a
no-overtime day, encouraged our employees to take their
paid leaves, and introduced flextime as well as a systemthat allows employees to roll-over expired annual leave.
In order to support employees with children or
aging parents who need assistant care, we introduceda childcare leave and nursing-care leave system, in
addition to a system allowing shorter working hours, tohelp employees balance work with family life. In 2011,
we revised the childcare leave system, expanding theapplicable period of the childcare leave and of theshortened working hour system.

FY 2007 FY 2008 FY 2009 FY 2010

Male

FemaleTotal

41 years old and7 months

41 years old and3 months

41 years old and6 months

Number of employees on maternity
leave before & after birth

6

5

4

3

19 years and0 months

Number of employees on childcare
leave*

5

6 (1)

4

4 (1)

19 years and0 months

18 years and
10 months

Re-employment
In response to measures that raise the eligibility age
for special payments of the old age pension, we haveintroduced a retiree re-employment scheme to ensure astable life after retirement. MGC provides in principle all

15

Re-employment of retirees

Maternity leave

Employee tenure (as of March 2011)

Average age

employees the opportunity to continue working if they arehealthy and desire to do so. Having motivated employees
continue to play an invaluable role in the company helps tomake it a vibrant workplace.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

* Number in ( ) indicates men on childcare leave* For women, the fiscal year of child care leave is determined by the first day of maternity leave.

Family care leave
Employee exercising leave

FY 2007

FY 2008

FY 2009

FY 2010

1

1

0

1

Mental health initiatives
It is important that our employees maintain their physicalhealth, at MGC we have implemented programs toensure mental health as well. The Employee Assistance
Program (EAP) is one of these, in which employees canfreely contact external professional institutes by e-mail,telephone or in person to discuss concerns. In addition,
we conduct an annual “mental health” test to assess
stress conditions and provide opportunities for selfevaluation while striving to raise stress awarenessthrough workshops.
We also conduct mental health training during
sessions designed for new employees and employees
receiving a promotion. For new employees in particular,
we have a “mentor system,” which helps new staff gain
independence as both an MGC employee, and as amember of society.
Respect for human rights
At MGC, we strictly adhere to our Corporate Behavior
Guidelines and MGC Code of Conduct, to respectindividual personality and human rights, to not hurt anyone
by discriminating against them based on their race,
gender, nationality, age, religion or place of origin. We
provide separate training courses on human rights for new
employees and managers to raise awareness of humanrights among all employees.
Our Code of Conduct also articulates that sexual
harassment and power harassment are prohibited. We arecommitted to preventing them within our company, andreinforce this principle through training sessions, internal
communications and a special consultation desk.
These guidelines and code—along with guidelines forthe prohibition of child labor and forced labor—have beencommunicated to our group companies overseas.
Union / labor-management relations
Over the years MGC and the Mitsubishi Gas Chemical
Workers Union have built up mutual trust and respect
between each other based on positive labor-management
relations, which allows them to work together to solve various
issues. We regularly hold management council meetings
to discuss issues related to management, and organize ajoint management committee (such as a Personnel System
Review Committee, etc.) for more specific agendas. Together
we have revised the personnel system, the re-employment
system, and retirement plans. Other issues such as wages
and bonuses are determined through yearly collective
bargaining and other negotiations.

With Shareholders and Investors
Basic policy on profit distribution
Returning profits to shareholders is considered one of
MGC’s most important management issues. Distributions
are determined by a combination of performance-linked
factors and stable dividends.
General meeting of shareholders
The annual shareholders meeting is held avoiding
peak days so that as many shareholders can attend
as possible. MCG is also endeavoring to send theconvocation notice earlier to give shareholders more time
to consider what to vote, and adopt an electronic voting
system for better convenience.
Briefings for institutional investors and securities
analysts, facilities tours
MGC holds results presentations for securities analysts
and institutional investors following the announcementof its interim and year-end financial results, in addition
to conducting tours of its facilities. In FY 2010, a tour of
Hiratsuka Research Laboratory was arranged.

The interim results briefing in March 2011

Hiratsuka Research Laboratory tour

MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Responsible Care and MGC

Environment and Safety Management
Sustainable development, building a recycling-based society, and safe operations are the three
critical business challenges that MGC faces. Responsible Care (RC) is our response to both theenvironment and safety issues, and has been rolled out throughout the company.

Fundamental Policies on Environment and Safety
MGC, as an important member of the community, makes an effort to earn social trust by recognizing our responsibility tocontribute to the community, to secure the environment and safety of the community, and to put our corporate activities
in harmony with the protection of the global environment under the principle of sustainable development.
Environmental and Safety Targets
Zero Accident, Zero Occupational Injury, and Environmental Preservation
Fundamental Policies■ Ensuring health and safety in our operations■ Ensuring security management of facilities and increasing self-protection technologies and skills■ Reducing environmental burden in business activities■ Ensuring safety in use, handling, and disposal of products■ Development of environmentally-friendly and safety-conscious products and technologies■ Ensuring environmental conservation and safety in the logistics of obtaining raw materials, and storing and delivering our
products■ Building society’s confidence in us■ Providing support to subsidiaries and affiliates in implementing their own RC activities■ Continuously improving our RC management system
We shall comply fully with applicable domestic laws and foreign rules and shall also cooperate with related internationalorganizations, international and national administrative organs, and nongovernmental organizations as required.

RC Medium-Term Plan 2014
In 2010 we concluded our RC Medium-Term Plan 2010. In 2011 we established a new RC Medium-Term Plan 2014, andare enacting initiatives to achieve its targets.

Message from the Director in Charge of Environment and Safety
Three years ago, MGC launched a company-wide project, the AZ Project, aimed at
eradicating accidents and fostering a culture of safety. For the three years from 2011, we
will continue to focus on our plants under initiatives aimed at achieving specific results. In
terms of environmental issues, we are continuing our efforts to meet the numerical targets
we set for each area of reduction of industrial wastes, emissions of chemical wastes, andenergy saving. In addition, we are refining our processes and manufacturing technology toconsume less energy.
The Great East Japan Earthquake that occurred on March 11 highlighted the many
challenges that lie within Japan’s safety and environmental policies. With many plants
located in areas susceptible to large-scale earthquakes, the MGC Group is taking thelessons learned from this earthquake to rethink our manufacturing facilities risks, our disasterprevention equipment, our tsunami countermeasures, and the functions of our anti-disaster
headquarters. As a matter of our corporate responsibility, we will consider measures tominimize the damage from disasters.

Occupational Health and Safety
Process Safety and Disaster
Prevention

RC Medium-Term Plan 2014 (2011 – 2014)
Working toward zero occupational injuries and accidents■ Establish a culture of safety.
• Enhance communications.
• Eradicate human error.
• Identify fundamental causes of accidents and occupational injuries, and undertake active measures to improveequipment.
■ Enhance voluntary process safety inspections.
■ Enhance joint disaster prevention systems with neighboring affiliates.
■ Reduce the energy consumption rate index to below 85% of the FY 1990 level.

• Implement energy saving measures and reduction of equipment problems.

RC Audit in 2010

All of MGC’s divisions, at both the company andcorporate level, follow fundamental environmental andsafety principles that promote Responsible Care. Every
December, MGC holds environment and safety meetings,
which are chaired by the president and consist of all
executive officers, division heads, and plant managers,
and takes steps to make continuous improvements in the
PDCA cycle based on the RC Medium-Term Plan targets
and annual activity targets.

The director in charge of environment and safety, together
with an auditing team, conducts the RC audit. This audit
assesses the implementation status of RC action plans at
each of our sites while deciding upon and auditing highimportance audit items for the year.
In 2010, the audit focused on our initiatives to eradicate
accidents, our pollution prevention management, and our
initiatives to reduce emissions of chemical substances.
■ Audit period

July — October, 2010

President■ Auditees

Director in charge of environment and safety
Environment and safety meeting
MGC Group
Environment and Safety Council
GHG task force
Responsible Care audit
Audit of certified high pressure gas plants
Environment and safety inspection
Environment and safety manager meeting■ Reduce the greenhouse gas emissions rate to below 75% of the FY 1990 level.

Environmental Preservation■ Reduce emissions of PRTR substances and VOCs.

• Focus reductions on substances with high emissions volumes.
■ Achieve zero emissions of waste.
(Zero emissions: Implement the 3Rs to reduce final disposal of generated wastes to 0.3% or less by weight.)■ Workplaces that achieve zero emissions will further reduce the final disposal volume.
■ Provide product safety information.

Chemical and Product Safety

17• Reflect up-to-date information in MSDS.
■ Conduct product risk management.
• Perform risk assessment and risk reduction.
• Adapt to overseas regulations for product risk management.
• Conduct appropriate assessment of new products.
■ Promote development of products with lower environmental burden and energy saving technologies.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Managing Executive Officer

Responsible Care Promotion System* Description of Distribution Safety, Dialogue with Society and RC in general, has been omitted.
RC CodeMakoto Mizutani

Administrative divisions
Companies

5 plants, 3 laboratories (including Tokyo Techno Park),business divisions of 4 companies, Purchasing &Logistics Center■ Audit findings
Full conformity (18 cases)
Non-conformity (0 cases)
Improvement orders (19 cases)
Comments (26 cases)■ Follow-up issues identified in previous year
We monitored the handling of items identified atworkplaces in the previous year to confirm that proper
measures have been taken.

Business divisions
Planning anddevelopment divisions
PlantsEnvironment andsafety departments

Research laboratories

Environment andsafety departments

Corporate headquarters
Environment and safety division (Administrative office of RC)

Niigata Plant / Overall audit

Hiratsuka Research Laboratory /Confirmation of documented
evidence

MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Responsible Care and MGC

Results and Plans for RC Activities
MGC formulates RC Medium-Term Plans, and establishes yearly plans in pursuit of achieving thosegoals. It then evaluates the results of the activities to help the company meet its designated targets.
* Description of Distribution Safety, Dialogue with Society, and RC in general has been omitted.
★★★: Achieved★★: Mostly achieved★: Further efforts required

RC CodeOccupational Healthand Safety

Process Safety andDisaster Prevention

RC Medium-Term Plan 20102006 – 2010

■ Achieving zero occupational injuries■ Achieving zero accidents

2010 RC Action Plan

1. Continue daily activity (hazard foreseeing activities, Hiyari-Hatto (near miss)identification activities, 5S activities).
2. Practice risk assessment.
3. Establish AZ Project activities.
• Construct a safety education system.
• Enhance communications.
• Improve management of aging facilities (including piping).
4. Devise emergency response training.
5. Improve guidance for partner companies’ occupational injury prevention.

■ Reduce the energy consumption rate index to below

85% of the FY 1990 level.
■ Reduce the greenhouse gas emissions rate to below

1. By working on energy saving measures while ensuring the stable operation of eachprocess, we aim to achieve the Medium-Term Plan goals for energy consumption
rate index improvement and reduction of the greenhouse gas emissions rate.

80% of the FY 1990 level.

Environmental
Preservation■ Reduce PRTR substances emissions by 10% over FY

2004 levels.

1. Identify key PRTR substances (including pseudocumene*) and VOCs that need to be
reduced, then devise and execute a reduction plan with specific target values.
* 1,2,4-Trimethylbenzene■ Reduce VOC emissions by 10% over FY 2004 levels.

■ Achieve zero emissions of waste.

■ Offer up-to-date Material Safety Data Sheets (MSDS).

• Support for the Globally Harmonized System ofClassification and Labeling of Chemicals (GHS).

Chemical and
Product Safety

19■ Perform product safety assessments.

• Participate in Japan Challenge Program (Checkexisting chemicals).
• Comply with REACH regulation.
• Assess new substances appropriately.
■ Promote the development of environmentally friendly
products and energy saving technologies.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Medium-Term
Plan
Assessment

RC Medium-Term Plan 2014 (2011 – 2014)2011 RC Action Plan

Zero occupational injuries and accidents: Not achieved
1. We devised measures to improve participation in exposing near misses in ongoing daily work.
2. We perform safety inspections in advance for equipment and to identify the risks ofnear misses.
3-1. We are constructing process safety education systems specific to each employee level.
3-2. As a part of our communications, we undertake initiatives to share what was gained
from these experiences.
3-3. We conduct systematic inspections and enact countermeasures (block and line
management) aimed at areas with corrosion.
4. We devised and implemented emergency response drills at all workplaces (including
unannounced drills, no-scenario drills, nighttime rapid response drills, and earthquake
bulletin-based drills).
5. We provide partner companies with safety education and education prior to periodic
maintenance, and performed safety audits and safety inspections of partner companies at
a number of plants.

★

1. Continue daily activity (hazard foreseeing activities,
Hiyari-Hatto (near miss) identification activities, 5S activities).
2. Practice risk assessment.
3. Enhance communication and link communication toeradication of human error.
4. Pursue valid corrective measures against accidents andoccupational injuries.
5. Establish periodic inspections of pipes and other equipment;
create and implement maintenance plans.
6. Establish or review joint disaster prevention systems withneighboring affiliates.
7. Devise emergency response training.
8. Provide guidance for partner companies’ occupational
injury prevention.

1. Energy saving
Despite a 5.5% year-on-year improvement in the energy consumption rate index in FY
2010, the resulting 94.1% energy consumption rate index compared with FY 1990 failed
to meet the target of the Medium-Term Plan (85% of the FY 1990 level). As a measure tosave energy, we implemented an annual reduction in excess of 1%.

★

1. Greenhouse gases
The greenhouse gas emissions rate in FY 2010 saw a 5.9% year-on-year improvement,with the resulting 79.3% emissions rate compared with FY 1990 meeting the target of
the Medium-Term Plan (80% of the FY 1990 level).

★
★
★

1. For sites with high substance emissions, we have created and executed plans for
reducing substances such as pseudocumene, dichloromethane, methanol, hydrogen
fluoride and its water soluble salts, and xylene.
On a basis prior to legal revision, we have reduced our emissions of Japan Chemical
Industry Association PRTR substances by 43% from the FY 2004 level.
The equivalent reduction in VOCs was 44%, achieving the Medium-Term Plan’s target.
Pseudocumene emissions, which have been targeted by the revised law, were 446 tons,
a reduction of about 7% from the FY 2009 level.

★
★
★

2. We will set priorities for reducing emission volumes of PRTR
substances and VOCs, and will draft and enact reductionplans with clear target values.

2010 Achievements

1. By working on energy saving measures while reducing
equipment troubles to assure stable operation, we will
improve our energy consumption rate index and reducegreenhouse gas emissions rate.

1. Zero emissions of waste• Sites where targets have been met will continue their efforts to further reduce
final landfill.
• Sites where targets were not achieved will set a landfill reduction target and strive
to achieve zero emissions.

1. We achieved zero emissions at 6 production sites in FY 2010. Final landfill at our
production sites totaled 97 tons, a reduction of 27% compared with FY 2009’s total of
134 tons.

★
★

3. Sites where zero emissions of waste targets were notachieved will set a landfill target and strive to achieve
zero emissions.
Sites where targets were achieved will continue the practiceof zero emissions, and undertake further reductions in final
disposal volumes.

1. GHS support (JIS compatible) for MSDS will be implemented by December 2010
and will be offered to customers.

1. We completed GHS support for MSDS and provided these to customers.

★
★
★

1. Reflect up-to-date product safety information in MSDS.
(provide accurate information on hazards to customers, etc.)

1. Respond appropriately to the Japan Challenge Program.
2. Respond appropriately to the REACH regulation, including Europe’s new CLP rules.
3. Promote safety assessment during new product development (e.g., acute toxicity,
Ames test, primary skin irritation).
4. Promote development of products with lower environmental burden and energy
saving technologies.

1. We are participating in 4 substance safety information programs and are proceedingaccording to plan.
2. In conformance with REACH regulation, MGC completed registration of two substances
which have 2010 registration deadlines and for which MGC is the lead registrant. MGC is
also in the process of addressing products subject to CLP regulations.
3. We conducted 33 cases of safety testing for new products in 2010 (acute toxicity, 9cases; Ames, 13 cases; primary skin irritation, 11 cases).
4. We launched a new catalyst and a hydrogen peroxide specifically for soil
decontamination, and are conducting external PR for these products.

★
★
★

2. Implement in-house basic education on risk assessment.
3. Set implementation plans for risk assessment.
4. Conduct proper notifications and management in compliancewith the EU REACH and other regulations.
5. Promote safety assessment during new product development(e.g., acute toxicity, Ames test, primary skin irritation).
6. Promote development of products with lower environmental
burden and energy saving technologies.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

20

Responsible Care and MGC

Occupational Health and Safety, Process Safety, and Disaster Prevention
MGC’s top priority is to ensure safety, and we have a proactive approach aimed at zero accident andzero occupational injury.

Safety performance
In 2010, occupational injury incidents resulting in losttime totaled one case at MGC, and three cases atpartner companies.
Change in lost time injury frequency rate*1

Safety Philosophy

2006

2007

2008

2009

2010

MGC

0.92

0.59

1.43

0.57

0.28

The top priority of our business activity is ensuring safety.

Chemicalindustry

0.88

1.10

0.84

0.72

0.72

Manufacturingindustry

1.02

1.09

1.12

0.99

0.98

Safety is the basis of our business activity and ensuring safety is our duty to society.

Certified high pressure gas plants
We conduct audits of our certified high pressure gas
plants under the direction of the Director in charge ofenvironment and safety (Process Safety Management
General Controller). Accordingly, our Niigata Plant
and Mizushima Plant are “high pressure gas safety
management code certified” high pressure gas plants.
The aim of our audits is to objectively evaluate the highpressure gas safety management system and the certified
inspection management framework to ensure that they are
working effectively.

*1 Frequency rate: Number of occupational injury casualties per one million
working hours

President
Environment and safety meeting

Phase II Launch of the Accident
Eradication Project
In response to yearly increases in accidents andabnormalities, as well as a serious accident that occurredat our Niigata Plant in December 2007, MGC launched theAZ (Accident Zero) Project in February of 2008. Its goal is
to firmly establish accident eradication activities during the
project’s three-year Phase I.
In the three years of the initiative through 2010,activities were standardized and established in researchlaboratories, while exploration of various activities and thedevelopment of new initiatives remain ongoing in plants.
For that reason, we have decided to have plants continue
focused activities under Phase II of the AZ Project(hereinafter “AZ Step II”).

1. Priority objectives
Eradicate accidents and occupational injuries
2. Key policies(1) Improvement of on-site capabilities ofindividuals and organizations
1. Discussion of ideal operation for factories,
and working group activities
2. Improvement of communication
3. Continuation and strengthening ofcommunication among plants(2) P revention of equipment and operational
troubles through cooperation with theProduction Engineering Division
1. Stabilization of operations
2. Introduction of TPM activities
3. Pursuit of effective corrective measures
4. Enhancement of equipment management
training
5. Thorough use of flow sheets (P&ID)
3. Project period
Three years from 2011
4. Numerical targets
Achieve zero accidents by the end of the final year
of AZ Step II (2013)21

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Director in charge of environment and safety(Process safety management general controller)

Change in lost time injury severity rate*2

Mizushima Plant / Unannounced
patrols by the Plant Manager

Kashima Plant / Patrols by theDivision Chief

2006

2007

2008

2009

2010

MGC

0.20

0.01

0.07

2.14

0.01

Chemicalindustry

0.10

0.04

0.07

0.13

0.04

Manufacturingindustry

0.11

0.10

0.10

0.08

0.09

*2 Severity rate: Number of lost working days per 1,000 working hours

Niigata Plant / Hands-on safety
technique training
Yokkaichi Plant / Point-and-callactivities

Occupational Health and Safety Initiatives
In order for MGC to achieve its no accident goal, eachsite must take part in daily safety activities (Hiyari-Hatto(near miss) activities, 5S activities, hazard foreseeing
activities, etc.), in addition to our efforts directed at various
educational drills and at occupational health and safety
risk assessment.

Hiratsuka Research Laboratory /Nationwide Safety Week

Yokkaichi Plant / Health and safety
activity presentations

Yamakita Plant / 5S report meeting

Niigata Research Laboratory /Emergency medical training

Preventing occupational injuries at partner companies
To prevent occupational injuries at partner companies,
MGC conducts safety education and education prior toperiodic maintenance, and also holds joint workplace roundtables and informational
meetings with regularpartner companies. In someplants, we also conduct
audits and safety inspectionsof partner companies.

Environment and safety division at Head Office(Administrative action for certified self-maintenance)
Audits of certified plants
Audit of supervisory organization forcertified facility inspection

Audit of process safety management system

Certified plant

Plan
Act Safety management system Do
Check

Supervisory organization forcertified facility inspection
Chief supervisor(appointed by the president)
Appropriate certified
facility inspection
Confirmation of statusof implementation

Certified facility
inspection department

Management departments· Process safety management department· Operational management department· Facility management department

Disaster prevention drills in preparation for emergencies
As a precaution, MGC has established a disasterprevention system at each of its sites, and conducts
various drills according to the annual plan.

Mizushima Plant / Partner company
participation in safety meetings

Process Safety and Disaster Prevention
Activities
To prevent the occurrence of accidents and injuries, it isimportant to ensure the safety of production processes
and the soundness of facilities. Moreover, it is criticalthat the company maintain safe operations. At each site
we conduct inspections and renewal planning for aging
facilities, and prioritize inspections, repairs and renewals
according to each aging facility’s risk and importance.
We are also undertaking preventative maintenancemaking use of M3 equipment management systems.
Major functions of M3■ Work management■ Inspection and maintenance planning andmanagement■ Instrument management■ Search■ Statistics and analysis■ Construction management

Tokyo Techno Park / Joint comprehensive
drills with the Kanamachi Fire Station

Kashima Plant / CG leak scenario drills

Yokkaichi Plant / Launch of drills based onearthquake bulletins (joint comprehensive
drills)Hiratsuka Research Laboratory /Comprehensive drills for companies in the B
Block of the Hiratsuka District

Mizushima Plant / Drills every July andNovember

Niigata Research Laboratory / Evacuation
drills for earthquake scenarios, withparticipation by partner companies

MITSUBISHI GAS CHEMICAL COMPANY, INC.

22

Responsible Care and MGC

Responsible Care and MGC

Environmental Burden of Business Activities

Environmental Accounting

The environmental burden of our business in FY 2010 is displayed in the table below. Each MGC
Group business has continued to make headway in making efficient use of input resources andmaking reductions in environmental emissions.

Using the Ministry of the Environment’s guidelines on environmental accounting, the cost ofenvironmental preservation through MGC’s business activities and the economic result of those
activities have been calculated quantitatively, and published for the public’s review.

Total of MGC Group*1

Environmental Preservation Cost

MGC alone*2

FY 2009

FY 2010*2

FY 2009

FY 2010*2

Number of production sites: 39

Number of production sites: 39

Number of production sites: 8

Number of production sites: 8

INPUTSUnits

FY 2009

Energy consumption
including purchased
electricity (crude oil
equivalent)

1,000 kℓ

593

Water consumption

1,000 m3

45,500

Tap water

Breakdown%

2

INPUTSFY 2010Units

FY 2009

FY 2010

639

Energy consumption
including purchased
electricity (crude oil
equivalent)

1,000 kℓ493

536

44,079Water consumption

1,000 m3

40,47538,8602

Tap water%

1

1

Industrial
water

%

57

60

Groundwater

%

1

1

Industrial
water

%

58

60

Groundwater

%

3

4

River water

%

34

31

River water

%

38

36

Others%3

3

Others%3

2

OUTPUTSUnits

FY 2009

FY 2010

Breakdown

OUTPUTS

Emissions to atmosphere

Emissions to atmosphere

Greenhouse gas emissions(CO2 equivalent)Greenhouse gas emissions(CO2 equivalent)

Units

FY 2009

FY 20101,000 tons

1,166

1,269

SOx emissions

tons

174

151

721

NOx emissions

tons

680

668

35

Soot and dust emissions

tons

15

29

1,000 tons

1,369

1,478

SOx emissions

tons

263

181

NOx emissions

tons

744

Soot and dust emissions

tons

24

Drainage volume

1,000 m3

37,78536,613

Drainage volume

1,000 m3

34,26332,858COD emissions

tons

262

300

COD emissions

tons

226

260

Total nitrogen emissions

tons

299

292

Total nitrogen emissions

tons

273

269

Total phosphorus emissions

tons

71

56

Total phosphorus emissions

tons

68

54

tons

7,392

9,933

tons
tons

32,96832,424

1,580

1,558

Transfer to off-site
Final landfill

tons

134

97

Notified substances under PRTR Law*3

Notified substances under PRTR Law*3
Emissions (air)

tons

1,166

1,806

Emissions (air)

tons

190

626

Emissions (water)

tons

46

18

Emissions (water)

tons

38

13

Emissions (soil)

tons

0

0

Emissions (soil)

tons

0

0

Transfers

tons

738

1,075

Transfers

tons

342

552

*1 The data used for the total of MGC Group is the sum of the main domestic manufacturing and processing businesses.
*2 Although MGC has set the Tokyo Techno Park as a non-production site from FY 2010, for reasons involving the final fiscal year of the RC Medium-Term Plan,
data for FY 2010 is handled as a production site.
*3 Performance for FY 2010 incorporates an increase in volume due to an increase in the number of substances requiring notification under the revised law.

23

Expenses
Total expenses related to environmental conservation
activities in FY 2010 were 9.42 billion yen. Of these,
the highest expense was 3.5 billion yen for researchand development, accounting for 37% of the total. The
next highest was 1.97 billion yen for prevention of waterpollution, representing 21% of the total.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Apart from the reduction in environmental burden that
resulted from our environmental preservation efforts, werealized positive economic benefits such as income fromthe sale of wastes.
Environmental preservation benefit
Generation of wastes and landfill volumes in FY 2010
declined from FY 2009. The results are shown on the
Waste Reduction page.
Economic benefit
We generated additional revenue by selling valuable waste
for recycling and re-use by other companies, and throughcost savings from reduced energy consumption.
Economic benefit
Item

Amount(millions of yen)

IncomeProfit on sale of valuable wastes, etc.

78

Reductionof expenses

Effects due to energy saving

181

Title

Environmental preservation cost (Breakdown of investment and cost by business)
Breakdown

Main areas of activity

Investment(millions of yen)

Expenses(millions of yen)

Air pollution prevention

Renewal, repairs, and maintenance of emission gas
scrubbers, etc.

142

618

Water pollution
prevention

Renewal, repairs, and maintenance of wastewater
treatment facilities, etc.

124

1,977

Soil, Noise

Prevention of soil infiltration, odor control, and lowfrequency noise control

34

13

Global environmental preservation cost

Maintenance of cogeneration facilities, reduction ofenergy loss

118

1,317

Resources recycling cost

Pollution
prevention cost
Onsite cost

Generation of waste

Generation of waste

Final landfill

Investments
The total investment related to environmental preservation
activities in FY 2010 was 880 million yen. The main itemsof that investment were the enhancement of tank ventgas recovery facilities at the Mizushima Plant, and theenhancement of fluoride fixation facilities.

Released to water area

Released to water area

Transfer to off-site

The cost of environmental preservation activities
includes the investment costs of installing environmental
preservation facilities and the expenses associated withrunning and managing those facilities, as well as the costof research and development into environmentallyfriendly products.

Benefits of Environmental Preservation
Activity

Material and thermal recycling of waste

22

1,268

Up or down stream cost

Retrieval and reuse of product containers

043Management activity cost

Maintaining green spaces, maintaining environment
management systems

32

548

R&D cost

Research and development of energy-saving
technologies and environmentally friendly products

410

3,504

Social contribution cost

Greening the surrounding area, and support forenvironmental conservation organizations.

031

Environmental damage costCompensation for environmental preservation

0

107

882

9,426

Total

* Compliance with the Ministry of the Environment’s Environmental Accounting Guidelines 2005
Period: From April 1, 2010 to March 31, 2011
Scope: MGC only
Methods: Investments are proportionally related to the approved or enforced amount of capital expenditure to environmental preservation. Expenses areproportionally related to the ratio of environmental preservation and include depreciation allowance.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

24

Responsible Care and MGC

Global Warming Prevention
At MGC, each sector—manufacturing, transportation, office and residence—is making efforts toprevent global warming.
The progress of the Plant Manufacturing Division, the focus of the initiatives, toward the targets of
the RC Medium-Term Plan up to FY 2010 is shown below.

Manufacturing Plant Initiatives
Under the RC Medium-Term Plan, through FY 2010
we worked toward the targets of reducing the energy
consumption rate index to 0.85 or less compared to the
FY 1990 level, and the GHG (greenhouse gas) emissions
rate to 0.80 or less compared to the FY 1990 level. The
resulting energy consumption rate index of 0.94 did notreach the target, but the GHG emissions rate surpassed
the target at 0.79.
However, FY 2010 energy usage and GHG emissions
volume themselves each increased by about 9% due toincreased production.
Energy-saving measures in FY 2010 focused on
equipment operations, such as optimization of operating
conditions. The net result was an energy savings effectequivalent to 4,600 kℓ of crude oil. This corresponds to a
reduction in GHG emissions equivalent to 9,500 tonsof CO2.
The RC Medium-Term Plan that runs from FY 2011
through FY 2014 has again set a goal of an energy
consumption rate index of 0.85 or less compared to
the FY 1990 level. We aim to achieve the target throughfurther energy-saving measures, such as energy auditsof steam equipment at plants and identification of
improvement measures.

Prefecture, with the aim of constructing a geothermal
power plant.

Trend of energy consumption amount andconsumption rate

In Niigata Prefecture, MGC has been actively conducting
exploration and development work of natural gas, a clean
fuel that has low emissions of CO2 for each calorie ofenergy, as well as less sulfur and other impurities. We
have deployed natural gas at our Niigata Plant, where it isused as both a raw material and an energy source.
We are also promoting the switch to natural gasrelated fuels, such as city gas and LNG, at locations otherthan our Niigata Plant, and year by year are raising theratio of natural gas within our energy consumption.
In FY 2010, the ratio of natural gas-related fuels within
our energy consumption reached 59%.
In addition, MGC is participating in a project inHachimantai, Akita Prefecture, to supply geothermal
steam to an adjacent power plant. Geothermal energy
is a plentiful form of renewable energy in Japan, and is
expected to see further development.
MGC is also taking part in a project to survey anddevelop geothermal resources in Yuzawa City, Akita

25

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Energy consumption rate

Energy consumption amountAmount(1,000 kl as crude oil equivalent)
1,000

1.00

0.93

0.88

Target of rate in FY 2010

Energy consumption rate index(FY 1990 = 1)
0.87

0.89

0.89

0.95

1.00

1.0

0.94

0.8

800
600
400

569

554

544

562

577

531

430

493

0.4
0.2

0

0
1990

2003

2004

2005

2006

2007

2008

2009

As an energy-saving measure in our Transportation
Sector, MGC is undertaking initiatives focused on
efficiency improvements in truck transport (use of larger
transport lot sizes and improvement in loading ratio) andmodal shift to rail transport.
In FY 2010, CO2 emissions increased along with theincreased transport volume that accompanied production
recovery, but our CO2 emission rate index has improved
by about 5% in the five years since FY 2006.
From here out, we are planning energy-saving
measures that include greater lot sizes for ship transport
and the shortening of shipping distances through a reviewof shipment sites.

0.6

536

200

2010

(FY)

By rail

By ship

By truck

Volume of transportation(million ton-km)
600
4.7%

Trend of GHG emission amount and emission rate
Emission amountEmission rate index

GHG emission amount(1,000 tons CO2)

Target of rate in FY 2010
GHG emission rate index(FY 1990 = 1)

3,000
2,500

1.2
1.00

1.0

0.91

0.86

2,000

0.83

0.87

0.82

1,541 1,536 1,562 1,560 1,490

1,500
1,184

0.83

0.84

0.79

5.3%

2006

2007

2008

2009

6.0%

64%

65%

64%

30%

28%

30%

62%

100

33%

33%

2006

2007

2008

(FY)

2010

Trend of CO2 emission
By rail

By ship

CO2 emission rate index

By truck

CO2 emission(1,000 tons)

CO2 emission rate index(FY 2006 = 1)
1.05

45

Trend of energy source component ratio
Purchased steam

Energy source component ratio(based on thermal units) (%)

40

Purchased power

Other purchased fuelCoal

Heavy oil

(FY)

2010

2009

0.4

0
2005

6.4%

200

1,269

0
2004

5.6%

300

0.6
1,166

0.2

2003

62%

0.8

500

1990

400

0
1,334

By-product fuelNatural gas

100
90

1.00

0.99

0.98

0.95

30

1.9%

25

30%

10

0.90

30%

68%

2.2%

2.6%

33%

37%

65%

61%

2.5%

0.85

33%

0.80
0.75

65%
0.65
0.60

0

50

In response to the power shortage issues that occurredin the wake of the March 11, 2011 Great East Japan
Earthquake, we undertook electricity conservation
measures at all of our workplaces.
In the summer of 2011, especially at workplaces
coming under the 15% electricity consumption restriction
targeting high-demand electricity consumers within theregion served by Tohoku Electric Power Co. and Tokyo
Electric Power Co., MGC supplemented its regularelectricity conservation activities with measures including
a partial shift of work to weekends, cuts in peak electricity
usage through production schedule adjustments, andinstallation of new in-house electricity generators.
At workplaces facing difficulties in making cuts on theirown, we made plans to jointly achieve the 15% reduction
target through grouping of workplaces. One grouping
included five of our workplaces served by Tohoku ElectricPower, centered around the Niigata Plant; and anothergrouping included three workplaces, the Yamakita
Plant, Tokyo Techno Park, and the Hiratsuka ResearchLaboratory, served by Tokyo Electric Power. For this lattergroup, we made use of newly-installed in-house electricity
generators from the Yamakita Plant. By implementing
electricity usage reduction plans through these groupings,
we greatly surpassed the initial target with reductions of
25-35%.

0.70

68%

5

60

0.95

2.1%

15

70

1.00

0.97

35

20
80

These include ‘Cool Biz’ during summer, ‘Warm Biz’
during winter, and turning off lights and computers when
not in use.
As a facilities-related measure in FY 2010, at the
Hiratsuka Research Laboratory and at the head office weupgraded server room air conditioning equipment to highefficiency systems.
In the employee residence area, we expanded ourongoing CO2 reduction efforts and conducted energysaving activities using a check sheet method unique to ourcompany. Over 400 employee volunteers participated andachieved an average CO2 reduction of a little over 2 kg perperson (or household), amounting to a total reduction in
CO2 emissions of over 300 tons annually.

Electricity Conservation Measures
Trend of volume of transportation

500

1,000

Development and Utilization of
Clean Energy

Initiatives in the Transportation Sector

2006

2007

2008

2009

2010

(FY)

40
30
53

48

20

Activities in the Office and Employee
Residence Area

39

38

35

33

10

59

0
2004

2005

2006

2007

2008

2009

2010

(FY)

We conduct a number of proactive measures to reduceenergy consumption at our head office and laboratories.

Yamakita Plant New in-house power generation system

MITSUBISHI GAS CHEMICAL COMPANY, INC.

26

Responsible Care and MGC

Chemical Emissions
Under the RC Medium-Term Plan 2010, MGC undertook efforts to reduce emissions of volatileorganic compounds (VOCs) and of chemical substances subject to notification of emission andtransfer (Pollutant Release and Transfer Register, or PRTR). Doing so, we surpassed our initial
targets for reduction.
Under the RC Medium-Term Plan 2014, we will again strive to reduce emissions.

Results of the RC Medium-Term Plan 2010
Under the RC Medium-Term Plan 2010, we set numericaltargets and worked to reduce emissions of PRTR
substances and VOCs.
To enable easy comparison with the benchmark year
of FY 2004, the scope of the comparative totals is basedon target chemical substances that the Japan Chemical
Industry Association (JCIA) had set as voluntary targets
for reduction (480 substances plus 1 substance category)prior to legal revision. We evaluate the results of the RC
Medium-Term Plan 2010 by comparing FY 2004 resultswith FY 2010 results.
1. Reduction of PRTR substance emissions

RC Medium-Term Plan 2010

2. Reduction of VOC emissions

RC Medium-Term Plan 2010
Reduction of VOCs by 10%
compared with FY 2004
VOC emissions
FY

FY 2004

FY 2010*

Reduction rate

Emissionamount

443 tons

248 tons

44%

Number of
substances

20

21

—

* Comparison is based on the same target substances in FY 2004.

Reduction of PRTR substances by 10%
compared with FY 2004
Emission of PRTR substances on the JCIA list
FY

FY 2004

FY 2010*

Reduction rate

Emissionamount

507 tons

291 tons

42%

Number of
substances

73

77

As a result of continuing to reduce PRTR substanceemissions in excess of targets, we reduced FY 2010
emissions by 42% compared with FY 2004.

—* Comparison is based on the same target substances in FY 2004.

For VOCs we summed the emissions for PRTR
substances on the JCIA list for which there was release
into the atmosphere. For those emissions as well, as aresult of continuing reductions in excess of targets, wereduced FY 2010 emissions by 44%compared with
FY 2004.
Our reduction of both PRTR substance emissions and
VOC emissions achieved the targets of the Responsible
Care Medium-Term Plan 2010.

Revision of PRTR substances
A cabinet order revising a portion of the enforcement ordinance of the Law for PRTR and Promotion of Chemical
Management (PRTR Law) was promulgated in November 2008. Under the revision, Class I Designated Chemical
Substances (substances subject to confirmation of release and transfer amounts) were amended from 354
substances to 462 substances from April 1, 2010.
Accordingly, PRTR substances on the JCIA list, which are targeted for voluntary confirmation and reduction by
the JCIA, are also being reviewed for confirmation of release and transfer from April 1, 2010. Following the revision,
the JCIA target substances were changed from 480 substances plus 1 substance group (legally targeted substancesprior to the legal revision, plus JCIA’s own targeted substances) to 433 substances plus 1 substance group* (legallytargeted substances with some substances, mainly agricultural chemicals, excluded, plus JCIA’s own targeted
substances).
* 1 Substance group: Chain hydrocarbons having a carbon number between 4 and 8, excluding the 480 or 433 JCIA targeted substances.

Substances Subject to Notification under
the Revised PRTR Law Enforcement
Ordinance
In accordance with the revision of PRTR substances,
the number of Class I Designated Chemical Substances
subject to notification has increased to 462.
Company-wide, MGC made notifications in FY2010 for 58 substances handled. Emissions for thesesubstances totaled 640 tons, while transfers totaled
557 tons.
The equivalent FY 2009 statistics, for target
substances prior to the legal revision (354 substances),were 45 substances with emissions totaling 228 tons andtransfers totaling 345 tons. While direct comparison of
the two years is difficult due to their differing scopes, anincrease in total emissions accompanied the expansion oftarget substances.

PRTR Substances on the Revised JCIA List
The revised JCIA list of PRTR substances is 433
substances plus 1 substance category. Across thecompany, MGC handled 82 of these substances in FY
2010, with emissions totaling 768 tons and transfers
totaling 2,436 tons.

The equivalent FY 2009 statistics, for target substancesprior to the legal revision (480 substances plus 1 substancecategory), were 75 substances with emissions totaling 441
tons and transfers totaling 1,469 tons.
The increased transfer volume in FY 2010 is due to thehalt of sales of waste acid, which was sold up through FY
2009, and its subsequent treatment as industrial waste.

RC Medium-Term Plan 2014
Under the RC Medium-Term Plan 2014, we are promoting
the reduction of PRTR substance emissions and VOCemissions, focusing on substances with high emission
volumes.
MGC considers the scope of its PRTR substances tobe those substances subject to legal notification plus the
JCIA target substances. With regard to VOCs, in addition
to PRTR substances emitted to the atmosphere we arepaying attention to volatile organic compounds that we
handle in large volumes, as we strive to confirm volumes
and reduce emissions.
Substances with high levels of emissions in FY2010 included 1,2,4-trimethylbenzene (pseudocumene),dichloromethane, and xylene. We will focus on thesesubstances as we take measures to reduce emissions.

PRTR Law substances with high levels of emissions (substances with emissions of 1 ton or more in FY 2010)(tons)FY 2010 results
New reg. no

Chemicals

New*

Emission amount
Air

Water

Soil

Total

Total volume oftransfers

466.6

0.0

0.0

466.6

48.0

296

1,2,4-Trimethylbenzene

186

Dichloromethane

100.7

0.0

0.0

100.7

5.8

80

Xylene

22.4

0.0

0.0

22.4

6.6

35

Isobutyraldehyde

9.3

0.0

0.0

9.3

0.0

°

°

300

Toluene

9.1

0.0

0.0

9.1

2.1

374

Hydrogen fluoride and its watersoluble salt

0.2

8.9

0.0

9.1

0.2

53

Ethylbenzene

392

n-Hexane

5.1

0.0

0.0

5.1

0.0

3.9

0.0

0.0

3.9

170.0

405

Boron compounds

0.0

2.3

0.0

2.4

1.2

297

1,3,5-Trimethylbenzene

2.2

0.0

0.0

2.2

15.0

°

56

Ethylene oxide

1.7

0.0

0.0

1.7

0.0

411

Formaldehyde

0.4

1.0

0.0

1.4

21.8

151

Dioxolane

1.0

0.0

0.0

1.0

0.0

—

Other chemicals

3.7

1.0

0.0

4.8

286.4

626.3

13.2

0.0

639.5

557.2

Totals for substances subject to PRTR Law°* ° in the New column indicates a substance newly subject to notifications under legal revision.

27

MITSUBISHI GAS CHEMICAL COMPANY, INC.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

28

Responsible Care and MGC

Responsible Care and MGC

Waste Reduction

Air and Water Conservation

MGC promotes the 3Rs* and defines zero emissions as the reduction of final landfill to 0.3% or lessof the volume of generated waste.
We set that as one of the goals to be achieved under RC Medium-Term Plan 2010, and undertook the
reduction of landfilled waste volumes at every workplace.

In order to preserve the air and water environments, MGC is making efforts toward further reductionof emitted substances, based on compliance with all applicable laws, regulations, ordinances, andthe regulatory values set by these.

* 3Rs: Reduce, Reuse, Recycle (of waste)

Waste Reduction Achievements

Zero Emissions of Waste

Prevention of Air Pollution

Prevention of Water Pollution

In FY 2010, total final landfill continued to fall year by year,
reaching 97 tons. The increase in final landfill experienced
in FY 2007 was due to one-off sludge and soil waste of
285 tons.

In FY 2010, we achieved zero emissions at the fiveproductions sites from the previous fiscal year, and also
at the Kashima Plant. Our total for all production sites also
continues to achieve zero emissions.

We measure the emissions of sulfur oxides (SOx), nitrogenoxides (NOx), soot and dust, and other toxic substances
contained in the emission gas of boilers and othercombustion facilities, to ensure that we stringently adhere
to regulated limits through our operations.

We are committed to operating in compliance withregulations for wastewater generated through production
by ensuring that chemical oxygen demand (COD), total
nitrogen, total phosphorus, pH and other chemicals arewithin tolerance levels.

Change in waste generation, recycling, and transfers

Plants achieving zero emissions in FY 2010

Emission of SOx

Emission of COD

Generated amount

Recycled amountTransferred

FY 2009

FY 2010(tons / year)(tons / year)

Niigata Plant

0.18%

0.15%

600

300

Mizushima Plant

0.07%

0%

Kashima Plant

2.46%

0.19%

(1,000 tons / year)
120
98.5

94.2

93.9

88.5

80

40

29.7

26.2

0
2006

29.1

8.2

7.9

2007

25.9

2009

9.9

2010

Yamakita Plant

0.01%

0.05%

Naniwa Plant

0.05%

0.27%

Saga Plant

27.3

7.4

7.6
2008

87.2

Total of 8 production sites*
(FY)

0%

0%

0.15%

0.11%

Zero emissions : Final landfill / waste generated = 0.3% or less
* Tokyo Techno Park is included among the 8 production sites.

Final landfill(tons / year)
541

2007

Although not all workplaces achieved the RC Medium-Term
Plan 2010 goal of zero emissions, the eight production
locations as a whole were able to meet the goal.
Under RC Medium-Term Plan 2014, we will carry on
the goal of achieving zero waste emissions, while also
adding efforts to further reduce final disposal volumes atworkplaces that have achieved the zero emissions goal.

400
293
200

179

134

97

0
2006

2008

2009

2010

(FY)

278

174

151

226

2009

2010

100

0

0
2006

2007

2008

(FY)

2006

2007

Emission of NOx

Emission of total nitrogen(tons / year)(tons / year)

1,200

600
927

863

400
680

2008

2009

2010

252

273

269

2008

2009

2010

(FY)

353

668

284
200

400

0

0
2006

2007

2008

2009

2010

(FY)

2006

2007

Emission of soot and dust

Emission of total phosphorous(tons / year)90(tons / year)
90
76

74
60

60

71

60

49
30

(FY)

68
51

54

30

29
15

0

Recycled amount
22,565 tons
(25.9%)

260

250

200

800

Waste Treatment in FY 2010

256

280

200

948

Waste-related Goals in the RC
Medium-Term Plan

600

412

400

289

Recycled amount
4,744 tons
(5.4%)

Reduced amount
54,721 tons
(62.7%)

Reduced amount
5,092 tons
(5.8%)

0
2006

2007

2008

2009

2010

(FY)

Water Consumption / Wastewater Volume

Generated amount87,219 tons
(100%)

Amount emitted externally
9,933 tons
Amount landfilledinternally0 tons(0%)

On-SiteOff-Site

Final landfill
97 tons(0.1%)We are committed to confirming our use of water
resources and our wastewater, and making efficient useof resources.

2006

2007

2008

2009

2010

(FY)

Water consumption / wastewater volume(1,000 m3 )Water consumption

Wastewater volume

60,00040,00020,0000
2006

29

MITSUBISHI GAS CHEMICAL COMPANY, INC.

2007

2008

2009

2010

(FY)

MITSUBISHI GAS CHEMICAL COMPANY, INC.

30

Responsible Care and MGC

Safety Management of Chemicals and Products
MGC clearly explains properties, safety, and handling of its chemical products, as well as deploying
various activities to protect the environment and to ensure the health and safety of all who use our
products. Additionally, MGC participates in domestic and international chemical safety assessment
activities that publicly disclose chemical safety information.

Safety Assessment of Chemical Substances and Products
MGC is committed to product development that considers environmental
and safety issues over the entire life cycle of the product, from the researchand development stage onward. For new products, we conduct basic
surveys and safety assessments before making hazard classifications
based on factors such as GHS*. We then prepare MSDS and other safety
information. Based on the above, we conduct analysis and assessment ofrisks at each stage through to disposal of the product (i.e., assessment of thehazardousness of the product itself and of exposure to it), and finally offer the
product after screening it for marketability.
* GHS: The Globally Harmonized System of Classification and Labeling of Chemicals. Chemicalhazards are classified under fixed standards and are indicated clearly with pictogramson labels and MSDS documentation. Ultimately, the information contributes to accident
prevention, human health, and environmental preservation.

Basic survey• Survey of literature• Access to MSDSs for raw materials, etc.

MGC provides safety information on products throughmeans that include submission of product MSDSs(material safety data sheets), placement of display labels
on products, and distribution of Yellow Cards.
MSDS
MSDSs are intended to convey detailed information about
product safety, and are submitted to companies that
handle our products, such as customers, sales agents,and shipping companies. Our Japanese MSDSs for all
products comply with the GHS, even where not requiredby law.

Safety assessment• Hazard assessment• Assessment of environmental safety impact

Hazard classifications• Survey of applicable laws
• United Nations classifications• Classifications in Japan

Preparation of safety information• MSDS• Product warning labels• Yellow Cards

Premarketing investigations• Assessment of risk management• Determination of marketability

Product supply

Customer information

Chemical and Product Safety Education
MGC conducts chemical and product safety
education within its PL (product liability)
education. In 2011, our education covers risk
assessment, notifications for new chemical
substances, and revisions to the Law Concerning
the Evaluation of Chemical Substances andRegulation of Their Manufacture, etc.

Providing Safety Information• Collection of customer information• Compliance with applicable laws
• Rationalization of product logistics

Compliance with EU REACH Regulation
In accordance with the EU REACH regulation on the management of chemicals, the MGC Group completed registration by
December 1, 2010 for eight targeted products, two of which were joint submissions with MGC as the lead registrant.
The REACH regulation is seen as a tool for minimizing the impacts of chemical products on people and the environment.
In addition to our ongoing collection of safety information, the MGC Group is confirming import volumes, and collecting andmanaging information on importers and use, for not only registered products but also those scheduled for future registration.

GLP Certified Testing Facility
For chemicals handled by the MGC Group, the Niigata Research Laboratory conducts safety testing that
includes biodegradability tests, mutagenicity (Ames) tests, acute oral toxicity tests, primary skin irritation
tests, and pathogenicity tests. Of these, the biodegradability tests and Ames testing facilities are recognizedby the Japanese government as conforming to GLP* testing facilities.
Test reports under GLP also command high confidence internationally. In addition, we are alsoable to comply with notifications under the Law Concerning the Evaluation of Chemical Substances andRegulation of Their Manufacture, etc. and the Industrial Safety and Health Law, and are conducting tests
for notifications of new chemical substances.

Yellow Cards
A Yellow Card is a card readiedin preparation for an accident
during domestic shipment.
It briefly lists a product’s
properties and emergency
response measures, or contact
information including fire, police,
and our Company. We adhere
to the carrying of these cards
during product shipments.

Emergency Response in Distribution
At every MGC workplace, we have set up a wide-area
support system that includes supplying emergency goods
and equipment to production sites and establishingcommunication between sites to facilitate emergency
response to accidents that occur during transportation.
Because of our response system preparation, we are able
to use firefighting and other apparatus to cooperate withlocal police or fire departments upon request, should an
accident occur during another company’s transport ofproduct in the vicinity of our workplaces.
In addition, every year we carry out oil barrier
extension drills to prepare for marine leakage accidents
during ship transport.

Mizushima Plant / Widearea support vehicles
carrying emergency goods
and equipments

Product display labels
We are revising labels affixed to product containers to be
GHS compliant, even for products which are not subject
to legal requirements but which may become subject
to GHS label compliance. For all remaining products,
we have completed preparations for GHS compliant
Japanese labeling and are affixing the labels in conjunction
with production.
Kashima Plant / Drills
for shipping yard truck
leakage scenarios

Mizushima Plant / Oilbarrier extension drills* GLP (Good Laboratory Practice): GLP is a system which ensures the reliability of test results, through government
recognition of excellent testing facilities that demonstrate GLP standards-based management, testing equipment, testplanning, internal auditing systems, reliability assurance systems, and compliance with test result standards.

31

MITSUBISHI GAS CHEMICAL COMPANY, INC.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

32

Responsible Care and MGC

RC Activities on Site

Niigata Plant

Mizushima Plant

Address: 3500 Matsuhama-cho, Kita-ku, Niigata-shi, Niigata 950-3121, Japan Tel: +81-25-258-3474

ISO14001 certification: June 1998 (certification body: DNV)
Main products

Message from the Niigata Plant Manager
The Niigata Plant, which enjoys abundant resources such as waterand natural gas, is a plant with close relations with people in thesurrounding area and deep roots in the Niigata region. Aware of
our responsibility as the only high-pressure gas certified workplacein Niigata Prefecture, we are committed to process safety anddisaster prevention, as well as to contributing to the community.

derivatives• m-Phenylenebis (methylamine)• MX Nylon• Bio-related productsPlant Manager

Main products

Message from the Mizushima Plant Manager•M ethanol, Ammonia, and their

Masato Inari

Address: 3-10 Mizushima Kaigan Dori, Kurashiki-shi, Okayama, 712-8525, Japan Tel: +81-86-446-3822

ISO14001 certification: May 2000 (certification body: JCQA)

Environmental burden data (FY 2010)
Water consumption (1,000 m3 )12,496

GHG emissions (1,000 tons-CO2 )461

NOx emissions (tons)

355

SOx emissions (tons)

0

Total drainage volume (1,000 m3 )At the Mizushima Plant, we have several themes aimed atenvironmental preservation. These include promoting the rationaluse of energy, reducing emissions of harmful air pollutants
reducing emissions of water pollutants and promoting of reduced
waste and zero emissions.
These past few years, we have been working to reduce ourenvironmental impact, through measures such as switching
our fuel to natural gas, introducing energy-efficient boilers, andimproving fluorine fixation devices. We have also undertaken
the reduction of volatile organic compounds (VOCs) together
with other companies in the Mizushima industrial complex, withsignificant results.

• Xylene isomers• m-Xylene derivatives• Specialty aromatic products• Polyols

Kenji Inamasa
Executive Officer
Plant Manager

Waste transferred offsite (tons)

Water consumption (1,000 m3)

12,362

GHG emissions (1,000 tons-CO2)

535

NOx emissions (tons)

278

SOx emissions (tons)

9,489

COD emissions (tons)

Niigata Research Laboratory

The Niigata Research Laboratory is located in the northern partof Niigata city. We cooperate with our neighbor, the Niigata Plant,
in a variety of RC activities. Our goals are to aim for harmony
with nature, contribute to the development of society throughchemistry, and grow sustainably. We will muster scientifictechnology to undertake the development of new products that
contribute to the formation of an environmentally friendly recyclingbased society, with the participation of all.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Ethylene oxide

1.7

0.0

Dichloromethane

0.5

2.3

Methyl methacrylate

0.3

25.1

Main research themes

Takafumi Abe• Process development• Catalysts• Pharmaceutical intermediates• New energy-related research• Biotechnology• Life science

Executive Officer
Laboratory Director

Lecture on technological fundamentals

33

Emissions (tons) Transfers (tons)

Address: 182 Tayuhama Shinwari, Kita-ku, Niigata-shi, Niigata 950-3112, Japan
Tel: +81-25-259-8211

Message from the Research Laboratory Director

5,053

Final landfill (tons)
PRTR substances

Scene from a comprehensive disaster drill

158

Waste transferred offsite (tons)

2,079

11,002

070

Final landfill (tons)
PRTR substances147

Total drainage volume (1,000 m3)

37

BOD emissions (tons)

Environmental burden data (FY 2010)

Acting as crosswalk guards every spring and fallParticipation in cleanup activities around
Mizushima Port

Hiratsuka Research Laboratory

Emissions (tons) Transfers (tons)

Xylene22.7

6.6

Hydrogen fluoride andits water-soluble salt

9.1

0.0

Isobutyraldehyde

9.2

0.0

Address: 6-2 Higashiyawata 5-chome, Hiratsuka-shi, Kanagawa 254-0016,
Japan Tel: +81-463-21-8600
Main research themes

Message from the Research Laboratory Director
The Hiratsuka Research Laboratory has installed AEDs andconducted basic lifesaving training for staff, earning us registration
by Hiratsuka City as a “workplace cooperating in emergencies.”
In addition, we received recognition by the Kanagawa Prefecture
Association for Safety of Hazardous Materials as a “superiorhazardous materials workplace” for our management of hazardous
materials facilities for many years with zero accidents.
From FY 2011 we have initiated patrols to confirm that
protective equipment is worn to prevent occupational injuries,
as we also work to prevent the occurrence of burns or chemicalburns. To increase sensitivity toward safety, we are promoting
active participation in external seminars.

• Specialty plastics• Functional materials• Packaging materials• Resist materials• High heat-resistant films

Toshiya TakagiLaboratory Director

Workplace tour for Ohara High School students

Spraying water during a disaster drill

MITSUBISHI GAS CHEMICAL COMPANY, INC.

34

Responsible Care and MGC
RC Activities on Site

Yokkaichi Plant

Kashima Plant

Address: 4-16 Hinagahigashi 2-chome Yokkaichi-shi, Mie 510-0886, Japan Tel: +81-59-345-8800

ISO14001 certification: August 1999 (certification body: JQA)
Main products

Message from the Yokkaichi Plant Manager
Yokkaichi City, located in the northern part of Mie Prefectureand surrounded by the natural beauty of Ise Bay and the Suzuka
Mountains aims to become an environmental conservation city
through the establishment of basic environmental regulations andenvironmental planning. In response to these local initiatives, forthe past few years the Yokkaichi Plant switched its boiler fuel tocity gas, and has undertaken environmental risk assessments. At
present, the plant is committed to safety and is focusing on 5S
activities so as to conduct its business activities with the trust of
surrounding residents.

chemicals• Polyacetal plastics
Environmental burden data (FY 2010)
Plant Manager

Water consumption (1,000 m3 )7,431

GHG emissions (1,000 tons-CO2)

86

NOx emissions (tons)

25

SOx emissions (tons)

3

Total drainage volume (1,000 m3 )45

Waste transferred offsite (tons)

784

Final landfill (tons)

Yamakita Plant• Hydrogen peroxide• Polycarbonate plastics

Tsuneaki Iwakiri
Plant Manager

Environmental burden data (FY 2010)
Water consumption (1,000 m3 )1,683

GHG emissions (1,000 tons-CO2)

151

NOx emissions (tons)

4

SOx emissions (tons)

0

Total drainage volume (1,000 m3 )

4

1,503

COD emissions (tons)

13

Waste transferred offsite (tons)

646

Final landfill (tons)

1

Emissions (tons) Transfers (tons)

1,2,4Trimethylbenzene
Receiving region-specific training from JICA
(Japan International Cooperation Agency)

The Kashima Plant, located in the Kashima Eastern Industrial
Complex, is surrounded by the Pacific Ocean to the east and theTone River to the west. The plant was considerably damaged in
the Great East Japan Earthquake of March 11, 2011, and wasforced to suspend production. However, recovery work wascompleted in mid-June and the entire plant was able toresume operations.
The lessons learned from the earthquake will be put to use in
future RC as we work to create a plant that will earn the trust of
the community and contribute to society more than ever before.

5,800

COD emissions (tons)

PRTR substances

Main products

Message from the Kashima Plant Manager•H ydrogen peroxide, other industrial

Yoshihiko Sekine

Address: 35 Higashi Wada, Kamisu-shi, Ibaraki 314-0102, Japan Tel: +81-299-96-3121

ISO14001 certification: February 1999 (certification body: JQA)

128.4

0.0

Toluene1.5

2.1

Formaldehyde

0.9

0.0

PRTR substances

Evaluation by managers in TPM activities

Address: 950 Kishi Yamakita-machi, Ashigarakami-gun, Kanagawa, 258-0112, Japan Tel: +81-465-75-1111

Tokyo Techno Park

Emissions (tons) Transfers (tons)

1,2,4Trimethylbenzene

338.2

48.0

Dichloromethane

100.2

3.5

Address: 1-1, Niijuku 6-chome Katsushika-ku, Tokyo 125-8601, Japan Tel: +81-3-3627-9411

ISO14001 certification: May 2000 (certification body: JQA)

Surrounded by the Tanzawa and Hakone mountains at the northend of the Ashigara plain, the Yamakita Plant has seen the detailsof its work change through the years since its establishment in
1933. However, it has maintained a consistent harmony with theabundant natural environment throughout the continuation of its
production activities. The major flooding along the Sakawa Riverdue to heavy rain in September 2010 reminded us again that theblessings and the dangers of nature are two sides of the same coin.
Never forgetting our humility in the face of that, we will conduct
our business activities with a focus on safety, environmental
conservation, and our relationship of trust with the community.

• Derivatives of hydrogen peroxide• Persulfates

Environmental burden data (FY 2010)

Kuniaki Jinnai

Water consumption (1,000 m3 )4,713

Plant Manager

GHG emissions (1,000 tons-CO2)

18

NOx emissions (tons)

4

SOx emissions (tons)
Total drainage volume (1,000 m3 )COD emissions (tons)
Waste transferred offsite (tons)
Final landfill (tons)

TTP internal organization

Message from the Tokyo Techno Park
General Manager

Main products

Message from the Yamakita Plant Manager

0
3,834

Inaugurated in October 2009, Tokyo Techno Park is an urbanstyle research and development base. Development continues
at the open space on the north side, and a decision has been
made to expand the laboratory. We aim to build lush laboratories
in harmony with the surrounding landscape. In adjacent areas,
construction has begun on a university that is scheduled to open
in the spring of 2013.
Our first priorities in research and development areenvironmental preservation and safety. Everyone working at theTechno Park is highly sensitive to these, and is steadfastly working
to build a safety-oriented culture.

• Management Center• Oxygen Absorbers Techno Center• Electronics Materials R&D Center• Tokyo Research Laboratory• MGC Chemical Analysis Center

Makoto Mizutani
Managing Executive
Officer
General Manager

8
489
0

Lifesaving training for new employees
Ammonia leak drill

35

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Participating in the volunteer fire brigade committee
under the Kanamachi Fire Station jurisdiction

MITSUBISHI GAS CHEMICAL COMPANY, INC.

36

Responsible Care and MGC

Responsible Care and MGC

MGC Group’s Environmental and Safety Activities

12 Member Companies of the MGC Group Environment and Safety Council

Twelve domestic subsidiaries of the MGC Group that handle the Group’s chemical products (as ofAugust 2011) are promoting environmental and safety initiatives within the MGC Group Environment
and Safety Council. In addition, the director in charge of the environment and safety carries out
environmental and safety audits on domestic and overseas affiliates.

RC Medium-Term Plan 20142011 RC Action Plan

■ Expanding target groups for■ Enhancement of the MGC

environmental and safety
activities(support to include terminals,
transport, etc.)

Group Environment and Safety
Council■ Sharing and horizontal■ Promotion of the sharingof safety information withdomestic and overseas groupcompanies

promulgation of information
on abnormal occurrences andindustrial accidents(Member companies ofCouncil, three additional
companies, and a portion ofoverseas Group companies)

MGC Group Environment and Safety Council
The Council meets twicea year to exchange ideas
and to report on topics
including MGC’s and member
companies’ annual plans forenvironmental and safety
activities, the results of theactivities, and the status of
accidents and occupational
injuries.

Environmental and Safety Audits
With the director in charge of the environment and safety
as team leader, we conduct three or four domestic
and two or three overseas environmental and safety
audits each year in support of the Group companies’
environment and safety activities. In 2010, audits werecarried out on the following six companies.
■ Japan U-PiCA Co., Ltd., Shonan Plant■ JSP Corporation Yokkaichi No. 1 Plant■ Electrotechno Co., Ltd.
■ MGC Filsheet Co., Ltd., Osaka Plant■ MGC Pure Chemicals America, Inc. (MPCA)■ MGC Advanced Polymers, Inc. (MAP)MGC Filsheet Co., Ltd. / Osaka
Plant

MPCA / U.S.

MGC Group Company Topics

An environmental communication
meeting was held for area resident
and local government visitors to thecompany.
(MGC Filsheet Co., Ltd.,
Tokorozawa Plant)

Training was conducted using
actual firefighting pumps.
(Toyo Kagaku Co., Ltd.)

37

Plant safety assembly on the
opening day of National Safety
Week.
(MGC Filsheet Co., Ltd., Osaka
Plant)

Fire extinguisher instruction is given
every year during disaster drills.
(Japan Circuit Industrial Co., Ltd.)MITSUBISHI GAS CHEMICAL COMPANY, INC.

Experiencing the fearsome impactof falls during hands-on hazard
drills.
(Electrotechno Co., Ltd.)

Important production equipment
is carefully polished and maintained.
(Japan Finechem Co., Inc.,
Sakaide Plant)

Eiwa Chemical Industry Co., Ltd.

MGC Filsheet Co., Ltd.

Manufacture and sale of blowing agents

Manufacture of polycarbonate film and sheet

Address: Daido Seimei Co. Kyoto Bldg., 595-3
Manjuya-Cho Sanjo-sagaru Karasuma-dori,
Nakagyo-ku, Kyoto-shi, Kyoto 604-8161, Japan
Tel: +81-75-256-5131
URL: http://www.eiwa-chem.co.jp/en/

Address: 4-2242, Mikajima, Tokorozawa-shi,
Saitama 359-1164, Japan
Tel: +81-4-2948-2151
URL: http://www.mgcfs.jp/en/

Yasuki Yamase

Yukio Suzuki

President & CEO

President & CEO

The Kinuura Plant in Aichi performs the only synthesis of chemical
blowing agents in Japan, and the Ujitahara Plant in Kyoto performs
processing of the blowing agent powder. Proper safety
management in the manufacture of blowing agents, which are
broken down using heat, protects the lives of those of us directly
involved in production, and ensures a stable supply to ourcustomers. All employees work toward this under the slogan“Maintaining safety and the environment together.”

Our company was not directly damaged by the earthquake, but
energy-related measures, as seen in restrictions on electricity
consumption and the launch of CO2 emission trading schemes,
have become a major issue for us. With “Continuingenvironmentally-friendly, safe, and stable production” as our
foundation, we are calling upon our collective wisdom to eliminate
waste and improve productivity.

Electrotechno Co., Ltd.

JSP Corporation

Manufacture of copper-clad laminates

Manufacture and sale of foamed plastics

Address: 9-41, Aza-Sugiyama Oaza-Yone,
Nishigo-mura, Nishishirakawa-gun, Fukushima
961-8031, Japan
Tel: +81-248-25-5000

Address: Shin-Nisseki Bldg., 4-2, Marunouchi
3-chome, Chiyoda-ku Tokyo 100-0005, Japan
Tel: +81-3-6212-6300
URL: http://www.co-jsp.co.jp/english/

A rescue training series was
conducted in preparation foroxygen deficiency accidents in
towers and tanks.
(Shin Sanso Kagaku Co.)

Participating in Eco Life Fair in
Kanuma 2010.
(JSP Corporation, Kanuma)

Takayuki Watanabe

Kozo Tsukamoto

President & CEO

President & CEO

In the recent earthquake, we were hit by a shock of just underintensity 6 and were forced to suspend production. Despite that,through the indomitable spirit of our employees and the support we
received from MGC and our affiliate companies, the resumption of
production that we had initially thought to require a half-year oreven a year was instead achieved in only three weeks. Our
miraculous avoidance of any human loss was, we believe, theresult of our ongoing emergency drills.

As an internationally competitive company focused on addressing
safety and the environment, we aim to conduct business activities
that earn the trust and agreement of all of our stakeholders. To
meet the trust and responsibility granted by our stakeholders, weoperate our corporate governance effectively, and thoroughly
pursue efficiency, transparency, and soundness in our management.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

38

Responsible Care and MGC
12 Member Companies of the MGC Group Environment and Safety Council

Japan Finechem Co., Inc.

Toyo Kagaku Co., Ltd.

Japan Pionics Co., Ltd.

Fudow Co., Ltd.

Manufacture and sale of fine chemicals andelectronic products

Resinous molding processing

Manufacture and sale of gas purifiers andabatement system

Manufacture and sale of molding resin

Address: Kayaba-cho Nakano Bldg., 22-15, Shinkawa
1-chome, Chuo-ku, Tokyo 104-0033, Japan
Tel: +81-3-3552-7611
URL: http://www.jfine.co.jp/eng/

Address: 3-3-32 Tamura, Hiratsuka-shi, Kanagawa
254-0013, Japan
Tel: +81-46-353-8300
URL: http://www.japan-pionics.co.jp/en/

Address: 5F, NOF Shin-Yokohama Bldg., 2-15-16
Shin-Yokohama, Kouhoku-ku, Yokohama-shi,
Kanagawa 222-0033, Japan
Tel: +81-45-548-4210
URL: http://www.fudow.co.jp/e-index.html

Norio Hakuta

Shinichi Takahashi

Ryoichi Takahashi

Yuji Takamizawa

President & CEO

President & CEO

President & CEO

President & CEO

Our company is engaged in the businesses of fine chemicals using
hydrazine as the primary raw material, and electronic components
with a focus on high value resistors. In both of these businesses wereduce the risks to equipment and to work through voluntary
maintenance activities and activities such as risk assessment andhazard prediction, based upon the recognition that ensuring safety
is the core premise of our business activities. In this way, we strive
to achieve zero accidents and occupational injuries.

We are developing our molded plastic product manufacturing andsales business in the Chubu Region, Okayama Prefecture, andGuangdong Province in China. Safe and stable operations, as wellas the reduction of environmental impacts through improvements inrecycling, are immediate issues for us. As one of our minor
activities, we mow the grass alongside neighboring public roads
several times every summer in order to ensure a walkway and thesafety of pedestrians.

Our company conducts RC activities according to the MGC
Group’s Fundamental Policies on Environment and Safety to ensure
the promotion of the environment and safety. With regard toenvironmental conservation, we set specific targets for thedevelopment of energy-saving products, reduction of industrial
waste, and energy conservation. Our policy in the area of safety iszero accidents and zero occupational injuries, and all of us areengaged in safety activities and their respective goals.

Our company, which produces molding materials and molded
products at four plants, places safety and environmental
conservation at the top of our management policies. With the aimof zero accidents and occupational injuries, we are working toestablish 5S, C-TPM, KYT, and Hiyari-Hatto (near miss) activities,
and to enhance the sensitivity to safety of all employees. We arealso undertaking activities that contribute to the global
environment, including the development of biophenol resin and thefurther promotion of energy conservation.

Shin Sanso Kagaku Co.

Japan Circuit Industrial Co., Ltd.

Japan U-PiCA Co., Ltd.

Yonezawa Dia Electronics Co., Inc.

Manufacture of hydrogen peroxide

Manufacture and sale of printed circuit boards

Address: 148-58, Yufutsu, Tomakomai-shi,
Hokkaido 059-1372, Japan
Tel: +81-144-55-7337
URL: http://www.sskc.co.jp/

Address: 2-1236, Kamiike-cho, Toyoda-shi,
Aichi 471-0804, Japan
Tel: +81-565-88-3718
URL: http://www.jci-jp.com/

Manufacture and sale of unsaturated polyester
resin and coating resins

Manufacture of printed circuit boards,
auxiliary materials for processing

Address: Madre Matsuda Bldg., 4-13, Kioi-cho,
Chiyoda-ku, Tokyo 102-0094, Japan
Tel: +81-3-6850-0241
URL: http://www.u-pica.co.jp/English/

Address: 446-3, Hachimanbara 3-chome,
Yonezawa-shi, Yamagata 992-1128, Japan
Tel: +81-238-28-1345

Chiharu Nishizawa

Kazuhiro Miyasaka

Kuniaki Ageishi

Takayuki Watanabe

President & CEO

President & CEO

President & CEO

President & CEO

Our company’s base of Tomakomai City is an industrial city rich innature, encompassing a portion of Shikotsu-Toya National Park. It
is also home to Lake Utonai, which is registered with the Ramsar
Convention. As the only manufacturer in Hokkaido producing theenvironmentally-friendly chemical product hydrogen peroxide, we
undertake production with safety and environmental conservationas our top priorities.

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Address: 51-497, Aza-Doudou, Oaza-Morowa,
Togo-cho, Aichi-gun, Aichi 470-0151, Japan
Tel: +81-561-39-0531
URL: http://www.toyo-kagaku.co.jp/

MITSUBISHI GAS CHEMICAL COMPANY, INC.

Our company recognizes human, environmental, product , andequipment safety as the most important components of stable
operations, and all of us as one are committed to pursuing these.
In December 2009, we signed the Agreement for the Promotion ofEnvironment Preservation with Toyota City and are working toenhance our environmental conservation. Especially mindful ofenergy conservation in 2011, we have put out a call for an energy
conservation slogan, and from July have implemented specificpower-saving measures.

In the area of production, we aim to reduce CO2 emissions byraising productivity, while reducing the probability of accidents andoccupational injuries through the innovative production technologythat forms the base for the environment and safety. In the area ofdevelopment, we will accelerate the development of biomass
products and contribute to improving the global environment.

Although we were hit by a shock exceeding intensity 5 in the recent
earthquake, our location on particularly solid ground in Yamagata
Prefecture fortunately allowed us to escape with little damage.
Some areas of the plant had cracks in walls and other issues, butthere was no toppling of equipment or harm to people. We wereable to resume production the following week, which we credit toour ongoing emergency training.

MITSUBISHI GAS CHEMICAL COMPANY, INC.

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