Lion
Sustainability Website 2022
＜ PDF ＞

PURPOSE

Lion Sustainability Website PDF version: From January 1, 2021 to Present
Some parts also include information about activities conducted outside of the above periods.

* Click each item in the table of contents to move to the corresponding page in this PDF.
Contents ������������������������������������ 1
Message from Managemen ���������������������������� 3

Lion's Sustainability ������������������������������� 7
Sustainability Material Issues and Objectives for 2030 �������������� 10
Sustainability Material Issues, 2030 Objectives and Indicators,

2021 Results and Measures to 2030 ��������������������� 12

ESG Data and Third-Party Verification ��������������������� 29
Initiatives and External Evaluations ���������������������� 47

Stakeholder Engagement��������������������������� 54
Social Contribution Activities ������������������������� 59

Lion's SDG-Related Initiatives ��������������������������� 73

Creating Healthy Living Habits �������������������������� 76
Initiatives to Establish Oral Care Habits  �������������������� 77

Initiatives to Establish Cleanliness and Hygiene Habits������������� 94
Lion Group's Social Contribution Activities ������������������ 101

Together with the Environment ������������������������� 166
Environmental Approach and Policy / Management �������������� 168

Environmental Objectives and Achievements ����������������������������� 172
Realizing a Decarbonized Society������������������������������������� 175
Reduce CO2 Emissions throughout Business Activities ����������������������� 177
Reduce CO2 Emissions throughout Product Life Cycles����������������������� 181
Realizing a Resource-Circulating Society��������������������������������� 186
Recycling Resources ����������������������������������������������� 188
Reducing Water Use ����������������������������������������������� 198
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Lion Sustainability Website 2022

Harmonizing with Nature (Biodiversity) ��������������������������������� 201
Environmental Communication ��������������������������������������� 208
Management of Chemical Substances����������������������������������� 216
Lion's Environmentally Friendly Products ������������������������������� 221

Ensuring Product Safety and Reliability ��������������������� 225

Approach to Quality Assurance, Safety and Reliability ����������������������� 228
Initiatives to Respond to Our Customers ��������������������������������� 238
Reinforcing the Provision of Information to Customers ��������������������� 244

Together with Supply Chains �������������������������� 247
Promoting Sustainability with Materials Manufacturers andProduction Contractors ������������������������������������������� 249

Aiming for Sustainable Raw Material Procurement ������������������������� 254

Together with Employees���������������������������� 258

Developing Human Resources ��������������������������������������� 260
Promoting Work-Life Enrichment ������������������������������������� 268
Promoting Diversity & Inclusion ��������������������������������������� 277
Improving Employee Health ����������������������������������������� 281
Enhancing the Occupational Safety Management System ������������������� 298
Labor-Management Relations����������������������������������������� 304

Respect for Human Rights ��������������������������� 306

Measures to Prevent Human Rights Abuse ������������������������������� 307

Integrated Report & Sustainability������������������������ 315
Editorial Policy and Guideline Reference Tables������������������ 319

GRI Sustainability Reporting Standards 2016 Reference Table ����������������� 320

Reference Table for United Nations Global Compact COP��������������������� 331

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Message from Management
Make a difference in everyday lives by redesigning habits: ReDesign(Left)Itsuo Hama
Representative Director, Chairman of the Board of Directors,
Chief Executive Officer(Right)Masazumi Kikukawa
Representative Director, President and Executive Officer,
Chief Operating Officer

Lion’s Roots

Since Lion’s founding in 1891 as T. Kobayashi & Co., it has striven to help consumers realize health, comfort and cleanlinessin everyday living by redesigning habits in line with its unchanging mission of “benefitting society through businessactivities.”
Lion’s Oral Care Products business began with the launch of Lion Toothpowder in 1896. Lion went on to contributesignificantly to the development of oral care in Japan, establishing Japan’s first dental clinic for children, helping to train
dental hygienists and launching the Oral Health Event of Tooth Brushing for Children. In addition, in the field of laundry wehave provided functional detergents formulated for hanging laundry to dry indoors and worked to protect the environment
by making products more compact in order to use less plastic and promoting the use of refill packs. We have also helped
promote the formation of hygienic habits not only in Japan, but across Asia by promoting hand washing habits suited to
local lifestyles through the KireiKirei brand.
Lion has grown and developed its business by proposing habits that contribute to health, comfort and cleanliness ineveryday living and by providing the various daily commodities necessary for such habits. Indeed, Lion’s strength lies in thediverse capabilities it has built up over time, which play an essential role in the design of daily living habits.
In light of this track record and strength, we have defined our purpose as “Make a difference in everyday lives by redesigning
habits: ReDesign.” We seek to create social and economic value by putting this purpose into action.

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Lion Sustainability Website 2022

New Issues in Recent Years

The COVID-19 pandemic has changed the world enormously. Lifestyles and values have changed in innumerable ways, andmany of these changes are likely to be permanent. At the same time, dealing with global environmental problems cannot be
put off any longer. Northeast Asia is facing a variety of new issues stemming from demographic graying, such as rising
medical costs, and in Southeast Asia, demand for better health and hygiene habits is growing in step with economic
development. In light of such rapid changes in the business environment and to precisely deal with diverse emerging social
issues, continuously generate business value and contribute to society going forward, in addition to the capabilities we havebuilt up to date, we must secure new abilities, including means of providing value outside the provision of goods.
With an unchanging focus of putting its purpose into action, Lion constantly endeavors to transform its businesses.

The Sustainability Material Issues under Vision2030

Based on our purpose, “Make a difference in everyday lives by redesigning habits: ReDesign,” we formulated a long-term
strategic framework, Vision2030, aimed at achieving our management vision, “Becoming an advanced daily healthcarecompany.”

Vision2030 Long-Term Strategic Framework
Under Vision2030, we are synergistically advancing growth strategies and initiatives that address our Sustainability MaterialIssues. Of these, we have positioned “Creating Healthy Living Habits,” which contributes to the realization of everyday
happiness, and “Promoting Environmental Initiatives for a Sustainable Planet” as our top priority material issues, and weare investing management resources in these areas accordingly. To address these issues, Lion will make full use of its uniquestrengths with regard to its capabilities in the area of creating living habits. We believe that promoting the use of a wide
range of environmentally friendly products that reduce environmental burden in the home is one effective way that we cancontribute to the achievement of not only “Creating Healthy Living Habits,” but also “Promoting Environmental Initiatives
for a Sustainable Planet.”
In 2019, we established the LION Eco Challenge 2050 environmental objectives. These objectives put into words ourdedication to working in partnership with all stakeholders to realize a decarbonized, resource-circulating society. This year,
we have updated the objectives, setting even higher targets.
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Lion Sustainability Website 2022

Sustainable Management

We have established the Sustainability Promotion Council, comprising all of the Company’s executive corporate officers,
including the president, as a mechanism for reinforcing sustainable management. Under the Council, we have further
established three working committees led by executive officers, enabling top management to work in an even more unified
manner to tackle Lion’s Sustainability Material Issues. The decisions of the Sustainability Promotion Council are reported toand discussed by the Executive Committee and Board of Directors and then reflected in the business activities of businessexecution departments. This structure helps reinforce Lion’s corporate governance.
Going forward, we will continue to accelerate our growth strategies by leveraging our strengths of wide-ranging insightgleaned through the redesign of living habits as well as marketing and R&D capabilities based on consumer perspectives. By
doing so, we will contribute to the achievement of the Sustainable Development Goals as well as to health, comfort andcleanliness in everyday living and the realization of a sustainable society.
October 2021 marked the 130th anniversary of Lion’s founding. Reflecting on this milestone, on behalf of the entire LionGroup, we would like to express our heartfelt gratitude for our stakeholders’ support and patronage and ask for yourcontinued confidence as we move forward.

Itsuo Hama

Representative Director,
Chairman of the Board of Directors,
Chief Executive Officer

Masazumi Kikukawa

Representative Director,
President and Executive Officer,
Chief Operating Officer

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Lion Sustainability Website 2022

Related Information

LION Scope: Special Feature

Habit formation is a perennial theme. Lion President Masazumi
Kikukawa explains the importance of unconscious thought.
[Japanese]

Integrated Report 2022: Message from the Chairman
Make a difference in everyday lives by redesigning habits

Integrated Report 2022: Message from the President

Now more than ever is the time for Lion to shine: Accelerating growthby redesigning habits

The Lion Group’s Vision for 2030

Vision for 2030, based on Lion’s Purpose

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Lion Sustainability Website 2022

Lion’s Sustainability
Basic Approach
Sustainability Management (Implementation Framework)
Value Creation Process

Basic Approach

Upholding its founding spirit of “benefiting society through its business activities,” Lion, in addition to pursuing economic
development, has long considered its impact on the environment and society and worked to address related issues throughits business activities.
At present, we are tackling key management issues to reduce risks and achieve our management vision for 2030 of“Becoming an advanced daily healthcare company.” At the same time, we are practicing management driven by our
purpose, “Make a difference in everyday lives by redesigning habits: ReDesign.” Based on this purpose, the Lion Group willsynergistically address its sustainability material issues and advance its three growth strategies in order to contribute to therealization of a sustainable society and achieve business growth.

The Vision2030 long-term strategic framework

What is Sustainability?

Lion focuses on sustainability for itself and for the world in terms of environmental, social, and economic factors. A
sustainable company is one that considers not only economic development, but also social and environmental impacts as it
implements ongoing business activities based on long-term strategy.

Contributing to the Achievement of the SDGs

The Sustainable Development Goals (SDGs) are a set of common goals for 2030 established by the United Nations (UN)
aimed at the realization of a sustainable world.
The Lion Group’s contribution will mainly be to the realization of SDG 3, “Ensure healthy lives and promote well-being for all
at all ages,” through its products and services. At the same time, by pursuing initiatives aimed at realizing the Vision 2030
long-term strategic framework, we will contribute to the creation of a sustainable world, the ultimate goal of the SDGs.
Lion’s SDG-Related
Initiatives

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Lion Sustainability Website 2022

Sustainability Management (Implementation Framework)

In order to promote sustainable management, until 2020 we held the Sustainability Promotion Meeting, comprising all
executive directors, including the president, and related departments. In 2021, we revised this implementation system andestablished the Sustainability Promotion Council, which meets twice a year.
We have established three subcommittees under the council, each headed by an executive officer, positioning top
management at the forefront of promoting Sustainability Material Issues more than ever before. Decisions made by theCouncil are reported to the Senior Executive Committee and, as necessary, presented to and discussed by the Executive
Committee and the Board of Directors, before being reflected in the business activities of the business execution
departments.

Expectations for Evolving Sustainability Management
The Audit & Supervisory Board makes sustainability a priority theme
each fiscal year. I have been working in the field of sustainability formany years. As such, I look at how issues related to the environment (E)as well as people and society (S) are decided upon in the Lion Group(i.e., governance (G)), including decisions by the Board of Directors. The
Sustainability Promotion Council is an extremely important body as it
gives specific instructions with regard to sustainability issues anddemonstrates leadership in dealing with investments, risk and progress
management, among other issues. The president, the director in chargeof sustainability, directors responsible for other areas and executive
officers in charge of operations are all driven by the same purpose. As
they are serious about their work, conflict can sometimes arise.
However, I am encouraged by the fact that the more often we meet, themore often we are able to come up with various innovative ideas. Goingforward, there is urgent need to disclose non-financial information more
effectively. This is due to the growing realization that addressing ESGrelated issues is directly connected to corporate value over the medium
to long term. Our challenge will be to convey to society and the market
what it is that Lion does and the ways in which it contributes to asustainable society by redesigning habits.

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Atsuko Suzuki
External Audit & Supervisory
Board Member

Lion Sustainability Website 2022

Value Creation Process

Lion positions its purpose, “Make a difference in everyday lives by redesigning habits: ReDesign,” at the core ofmanagement. To achieve the management vision, “Becoming an advanced daily healthcare company,” we are leveraging thestrength of our capital to synergistically reinforce initiatives to address the sustainability material issues and advance
growth strategies under the Vision2030 long-term strategic framework. We will also accelerate growth, primarily in four
fields of value creation. By providing products and services unique to Lion that help redesign habits, we aim to generatesocial and economic value and invest（capital reinvestment and distribution） in future growth, creating a cycle that will
increase corporate value over the medium to long term.

Sustainability Material Issues and Objectives for
2030

Results of the 2020 Sustainability MaterialIssues

Initiatives and External Evaluations

ESG Data and Third-Party Verification

Stakeholder Engagement

Social Contribution Activities

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Lion Sustainability Website 2022

Sustainability Material Issues and Objectives for 2030
Identifying Material Issues

In 2020, the Lion Group applied the steps below to revise its list of Sustainability Material Issues to address over the coming
decade in order to achieve its goals for 2030, including the realization of the management vision and contributing to therealization of the SDGs. These Sustainability Material Issues are relevant to both the Lion Group and society at large and,with the goal of helping to realize a healthy future for people and the planet, their choice was informed by broad business,environmental and social sustainability perspectives. In identifying these issues, we comprehensively considered the entire
value chain and interests of Lion's stakeholders in order to understand the risks and opportunities each represents.
In particular, we have positioned “Creating Healthy Living Habits” and “Promoting Environmental Initiatives for a
Sustainable Planet” as top priority material issues that we must invest management resources toward to secure acompetitive advantage. In addition, we revised our objectives and other indicators in 2021 due to the COVID-19 pandemic
and drastic changes in the social environment.
Our Approach to Identifying Sustainability Material Issues

Steps for Identifying Sustainability Material Issues

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Risks and Opportunities Related to Sustainability Material Issues in the Value Chain

Lion has classified its Sustainability Material Issues as presenting either risks or opportunities based on considerations of
the entire value chain and its stakeholders.

The Lion Group Sustainability Material Issues and Objectives for 2030

With an eye to achieving its management vision of “Becoming an advanced daily healthcare company” by 2030 andcontributing to the Sustainable Development Goals (SDGs), a set of shared global goals for 2030, the Lion Group has
established the Lion Group Sustainability Material Issues and objectives for 2030.
The Lion Group believes that it is crucial to take a longer-term perspective in order to ensure that it can continue to meetthe needs of society and customers and grow its businesses. In 2021, in light of the COVID-19 pandemic and changes in thesocial environment, we revised our objectives and indicators. Aiming for a higher level of achievement, the 2030 objectives
include quantitative indicators for evaluating our progress.
Taking an integrated approach that incorporates sustainability into management strategy, the Lion Group aims to contributeto the realization of a sustainable society and achieve further business growth.

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Lion Sustainability Website 2022

Sustainability Material Issues, 2030 Objectives and Indicators, 2021 Results and Measures to 2030
Material Issues

Promoting
Environmental
Initiatives for a
Sustainable Planet

WEB

Top-Priority Material Issues

E

Objectives

Indicators (2030)

Reduce CO2 emissions throughout business activities.

• CO2 emissions throughout business activities
Down 55% compared with 2017 levels (Absolute quantity)

Reduce CO2 emissions throughout product life cycles.

• CO2 emissions throughout product life cycles
Down 30% compared with 2017 levels (Absolute quantity)

Achieve a CO2 emissions reduction effect in excess of Lion’s own
emissions to help society become carbon negative.

• Contribute to a CO2 emission reduction effect in excess of Lion’s own
emissions (Japan)

Promote actively the 3Rs (reduce, reuse, recycle) and renewable activities.

• Petrochemical-derived plastic use rate
70% or less

Reduce water usage throughout product life cycles.

• Water usage throughout product life cycles
Down 30% compared with 2017 levels (Per unit of net sales)

Provide opportunities for everyone to practice oral care whenevernecessary and foster oral care habits to promote health for all.

Creating Healthy
Living Habits• Persons provided with products, services and information aimed at creating
healthy living habits
1 billion<Oral care: 500 million, Cleanliness and hygiene: 500 million>

WEB

Promote the establishment of hygienic habits that prevent bacteria andviruses from entering the body across all aspects of daily living.

• Ratio of women in management 30% or more
• Employees who feel that employees with diverse values are able to succeed
professionally 80% or more

Promoting Diversity &Inclusion

WEB

Enable human resources with diverse values and ideas fully express theirindividuality and abilities and succeed professionally.

Promoting Work-Life
Enrichment

WEB

Create an environment that helps employees fulfill their ambitions through • Employees who feel that life outside of work (role at home and external
synergy between work and private life.
activities) has a positive impact on work 75% or more

Developing Human
Resources

WEB

Foster human resources who generate dynamism to realize innovativechange by creating environments that allow all employees to exercise
their diverse abilities to the fullest and embrace challenges.

• Employees who are using diverse educational programs (Lion Career Village)
for individualized skill acquisition and ability development 100%

Improving Employee HealthWEB

Support mental and physical healthcare for employees to reinforce
Group human resources and achieve sustainable corporate growth.

• Employees getting dental checkups 100%
• A bsenteeism Improve from the 2021 level

Enhancing the Occupational
Safety Management System

WEB

Enhance systems to ensure compliance with occupational safety andhealth laws and regulations and to enforce safety awareness thoroughly
for the safety and peace of mind of employees and outside partners
working on site.

• Participation in safety education and training
Implement as planned (100%) at work sites• Compliance with occupational safety and health laws and regulations
Serious accidents and incidents Zero

Respecting Human Rights

WEB

Ensure respect for the human rights of all stakeholders affected by Groupbusiness activities, in line with the LION Human Rights Policy.

• Human rights due diligence implementation for material human rights issues
100%

Building Responsible
Supply Chain Management

WEB

Implement sustainable procurement with zero tolerance for humanrights and labor problems (including child labor and forced labor) or
environmental destruction in line with the Sustainable Material
Procurement Policy and Lion Group Supplier CSR Guidelines.

• Procurement of third-party certified paper and pulp (FSC, PEFC, etc.) and palmoil, palm kernel oil and their derivatives (RSPO, etc.) 100%
• Procurement of third-party certified paper and pulp (FSC, PEFC, etc.) and palmoil, palm kernel oil and their derivatives (RSPO, etc.) from suppliers that support
efforts aimed at zero deforestation 100%

Pursuing Customer
Satisfaction and TrustWEB

Promote and reinforce customer-oriented business activities by improving
customer support quality and the value of products and services.

• Customer opinions are reflected in all products and services so that customers
will continue to choose themPromoting Risk
Management

WEB

Build a comprehensive and exhaustive risk management system for
identifying and quickly and appropriately dealing with risks to achievesustainable corporate growth.

• Disclosure of the results of monitoring significant business risks and progressin implementing reduction measures At least once a year

Reinforcing ComplianceWEB

Reinforce effective initiatives to instill compliance awareness and thus
earn and maintain the trust of society.

• Participation in compliance education and training(100%) at work sites• Serious compliance violations Zero

Enhancing GovernanceWEB

Build a sound, fair, transparent and highly effective governance system toenable sustainable corporate value enhancement.

• Disclosure of the results of the establishment and operation of the internal
control system
At least once a year
• Improvement in evaluations from external organizations
Continuously improve from the 2020 onward

S

G

Implement as planned* The Sustainability Material Issues and objectives published in 2021 have been partially revised.

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Lion Sustainability Website 2022

Progress (2021 results)• Down 7% compared with 2017

• Up 10% compared with 2017

• Plan to formulate actions and KPIs and verify their effectiveness• 95% (Japan)• Down 2% compared with 2017
Oral care: 150 million• L aunched CLINICA and SYSTEMA Gel Toothpaste for use with electric
toothbrushes• L aunched Lightee Toothpaste for whitening• Spread the habit of after-lunch tooth brushing at the workplace• Conduct initiatives under the Okuchikarada Project for children Inclusive Oral Care
• Released an animated video showing how to brush teeth with mouth closed.
• Released “Ee, Ha,” a tooth brushing song to promote the formation of proper
tooth brushing habits among children
Cleanliness and hygiene: 120 million• L aunched KireiKirei Blue series to combat viruses in daily life
• L aunched Pocket Size KireiKirei Medicated Foaming Hand Soap for use whenever,wherever• L aunched KireiKirei Medicated Foaming Hand Soap Auto Dispenser for touchlessdispensing• Began the KireiKirei Relay Project to help create a clean and hygienic environment• Began “Let’s Join Together to Promote Habits for Cleanliness! Produced byKireiKirei” for educational institutions• Released “If I Wash My Hands Together With You”, a song to help encouragechildren to join the hand-washing crowd

Globally Common Measures to 2030

Related SDGs

• Reduce energy usage through energy-saving activities.
• Purchase electricity generated by renewable energy sources.
• Reduce household CO2 emissions from product use through the provision ofenvironmentally friendly products and services and the promotion of environmentallyfriendly habits.
• Reduce CO2 emissions at the stage of procurement through supplier engagement
and the purchase of raw materials that generate low CO2 emissions.
• Reduce society’s overall CO2 emissions through collaboration with other industry
actors and companies.
• Reduce household CO2 emissions through provision of environmentally friendly
products and services.
• Reduce usage of petrochemical-derived materials through the increased use ofrecycled plastic and biomass materials in products, containers and other packaging.
• Continuously promote reduced use and reuse of plastic in products, containers andother packaging.
• Reduce water usage by consumers through the provision of water-saving products.

• Increase range of products and services that promote the creation of better oral
care habits.
• Reinforce educational and awareness activities aimed at establishing preventive
dentistry and better oral care habits.
• Promote activities to address personal and social challenges through Inclusive Oral
Care.

• Provide products and services that support the establishment of hand cleanlinessand hygienic habits in daily living.
• Provide new customer experiences in all aspects of daily living through the provisionof products and services that protect customers from bacteria and viruses.
• Implement educational and awareness-raising activities to establish cleanliness andhygienic habits in all aspects of daily living.

• Ratio of women in management: 20%• Employees who feel so: 56% (Japan)• Provide opportunities for employees to deepen their understanding of diverse values.
• Create systems and mechanisms for diverse human resources to succeed
professionally.

• 54% (Japan)• Create an environment that enables employees to fulfill their life ambitions andachieve their ideal lifestyles.

• 56% (Japan)
Note: Programs are being introduced in stages (Overseas)• Employees getting dental checkups: 56% (Japan; stopped during state of
emergency)
Note: Support for dental checkups is provided (Overseas)• A bsenteeism: 0.7% (Japan)
Note: Calculation method under consideration (Overseas)• Participation in training: 100% as planned• Serious accidents and incidents: Zero

• Currently studying methods for assessing risk of human rights violations• Introduce e-learning system and curriculum that meet the needs of overseas Group
companies.
• Create mechanisms that will be used to provide contents for learning opportunities
on an ongoing basis.
• Use a self-administered daily oral care program and regular dental checkups tocreate an environment that allows all employees to implement a PDCA cycle and toprovide information and learning opportunities regarding oral self-care.
• Provide opportunities for management to learn about checking the mental health ofsubordinates and for all employees to learn about caring for their own mental health.
• Improve health literacy by providing information that helps employees understandtheir own health conditions and future risks, as well as what preventative actions totake in their daily lives.
• Provide opportunities to learn about safety and disaster prevention, and implement
activities to promote understanding of basic safety activities.
• Build mechanisms for exchanging safety information, and proactively disclose
information on levels of workplace safety based on the management of records ofoccupational accident frequency.
• Build a mechanism for addressing human rights issues.
• Identify material human rights risks and verify how those affected are negatively
impacted.
• E xecute and monitor measures for addressing human rights risks that have been
identified.
• Proactively disclose status of response to human rights due diligence.

• Ratio of certified raw materials procurement
Japan:
Certified paper and pulp: 65% (item ratio)
Certified palm oil and palm kernel oil derivatives: 93% (based on key raw materials)
Overseas:• Create and promote a sustainable procurement system in cooperation with suppliers.
Certified paper and pulp: Procurement to begin in stages
Certified palm oil and palm kernel oil derivatives: Procurement to be considered• Ratio of suppliers supporting zero deforestation: 50% (Japan)
Note: Surveys to begin in stages (Overseas)• Evolve the activities of customer response departments by steadily promoting threesteps: Understand the current situation Formulate plans Promote activities• In addition to a monthly newsletter aimed at quickly discovering issues and trends• Create an environment for improving customer relationships and expanding thethrough the voice of the customer, in February 2022 we launched a new weekly
range of problem resolution methods.
VOC newsletter (Japan)• Create and implement a system for reflecting customer feedback in products andservices.
• Build and raise awareness of a management system that includes overseas Group
companies.
• Disclosed once
• Use a consistent format for investigating risks and implement countermeasures.
• Share information on progress of response through reports to the Board of Directors
once a year.
• Build and enhance a compliance system that includes overseas Group companies.
• Further inculcate through ongoing implementation of management and employee• Participation in training: 100% as planned
training and questionnaires, etc.
• Serious compliance violations: Zero
• Improve Group-wide risk perception and accelerate risk response by designatingcompliance managers at overseas Group companies and building a global hotline.
• Disclosed once
• As in 2020, continued activities to improve evaluation results• Evaluate and disclose results of the operation of the current internal control system.
• Clarify status of establishment of internal control systems at overseas Group
companies and evaluate their operation.
• Continuously and proactively disclose governance-related non-financial information.

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Lion Sustainability Website 2022

Sustainability Material Issues, 2030 Objectives and Indicators,
2021 Results and Measures to 2030
1. Promoting Environmental Initiatives for a Sustainable Planet
2. Creating Healthy Living Habits
3. Promoting Diversity & Inclusion
4. Promoting Work-Life Enrichment
5. Developing Human Resources
6. Improving Employee Health
7. Enhancing the Occupational Safety Management System
8. Respecting Human Rights
9. Building Responsible Supply Chain Management
10. Pursuing Customer Satisfaction and Trust
11. Promoting Risk Management
12. Reinforcing Compliance
13. Enhancing Governance

Promoting Environmental Initiatives for a Sustainable Planet
Material Issues １

Environment

Top-Priority Material Issues

Objectives
1 Reduce CO2 emissions throughout business activities.
2 Reduce CO2 emissions throughout product life cycles.
3 Achieve a CO2 emissions reduction effect in excess of Lion’s own emissions to help
society become carbon negative.
4 Promote actively the 3Rs (reduce, reuse, recycle) and renewable activities.
5 Reduce water usage throughout product life cycles.

Objectives
Reduce CO2 emissions throughout business activities.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

CO2 emissions throughout business activities⇒Down 55% compared with 2017 levels (Absolute quantity
Down 7% compared with 2017
Reduce energy usage through energy-saving activities.
Purchase electricity generated by renewable energy sources.

Details
Together with the Environment

Reduce CO2Emissions throughout Business Activities

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ESG Data

Lion Sustainability Website 2022

Objectives
Reduce CO2 emissions throughout product life cycles.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

CO2 emissions throughout product life cycles⇒Down 30% compared with 2017 levels (Absolute quantity)
Up 10% compared with 2017
Reduce household CO2 emissions from product use through theprovision of environmentally friendly products and services and thepromotion of environmentally friendly habits.
Reduce CO2 emissions at the stage of procurement through supplierengagement and the purchase of raw materials that generate low CO2
emissions.

Details
Together with the Environment

Reduce CO2Emissions throughout Product Life Cycles

ESG Data

Objectives
Achieve a CO2 emissions reduction effect in excess of Lion’s own emissions to help society become carbon
negative.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Contribute to a CO2 emission reduction effect in excess of Lion’s own
emissions (Japan)
Plan to formulate actions and KPIs and verify their effectiveness
Reduce society’s overall CO2 emissions through collaboration withother industry actors and companies.
Reduce household CO2 emissions through provision of environmentallyfriendly products and services.

Details
Together with the Environment

Reduce CO2Emissions throughout Business Activities

15

ESG Data

Lion Sustainability Website 2022

Objectives
Promote actively the 3Rs (reduce, reuse, recycle) and renewable activities.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Petrochemical-derived plastic use rate⇒70% or less
95% (Japan)
Reduce usage of petrochemical-derived materials through theincreased use of recycled plastic and biomass materials in products,
containers and other packaging.
Continuously promote reduced use and reuse of plastic in products,
containers and other packaging.

Details
Together with the Environment

Recycling Resources

ESG Data

Objectives
Reduce water usage throughout product life cycles
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Water usage throughout product life cycles⇒Down 30% compared with 2017 levels (Per unit of net sales)
Down 2% compared with 2017
Reduce water usage by consumers through the provision of water-saving
products.

Details
Together with the Environment

Reducing Water Use

16

ESG Data

Lion Sustainability Website 2022

Creating Healthy Living Habits
Material Issues ２

HealthTop-Priority Material Issues

Objectives
1 Provide opportunities for everyone to practice oral care whenever necessary andfoster oral care habits to promote health for all.
2 Promote the establishment of hygienic habits that prevent bacteria and viruses
from entering the body across all aspects of daily living.

Objectives
Provide opportunities for everyone to practice oral care whenever necessary and foster oral care habits topromote health for all.
Indicators (2030)

Progress(2021 results)

Globally Common Measures
to 2030

Persons provided with products, services and information aimed atcreating healthy living habits⇒500 million
Oral care: 150 million
Launched CLINICA and SYSTEMA Gel Toothpaste [Japanese] for use
with electric toothbrushes, further supporting habits that prevent
cavities and gum disease
Launched Lightee Toothpaste [Japanese] for whitening in response
to growing demand for whitening products that meet new lifestyleneeds. Supports fundamental self-care habits to bring out the teeth's
natural beauty
Spread the habit of after-lunch tooth brushing at the workplace
Conduct initiatives under the Okuchikarada Project for children
Inclusive Oral Care
Released an animated video showing how to brush teeth with mouth closed [Japanese] .
Released “Ee, Ha,” a tooth brushing song to promote the formation ofproper tooth brushing habits among children
Increase range of products and services that promote the creation of
better oral care habits.
Reinforce educational and awareness activities aimed at establishingpreventive dentistry and better oral care habits.
Promote activities to address personal and social challenges throughInclusive Oral Care.

Details
Creating Healthy Living Habits

Initiatives to Establish Oral Care Habits

17

ESG Data

Lion Sustainability Website 2022

Objectives
Promote the establishment of hygienic habits that prevent bacteria and viruses from entering the bodyacross all aspects of daily living.
Indicators (2030)

Progress(2021 results)

Globally Common Measures
to 2030

Persons provided with products, services and information aimed atcreating healthy living habits⇒500 million
Cleanliness and hygiene: 120 million
Launched KireiKirei Blue series [Japanese] , going beyond simple
hand washing by fighting germs and viruses arising in all kinds of daily
situations where they may pose a concern in light of new lifestyles
Launched Pocket Size KireiKirei Medicated Foaming Hand Soap [Japanese] for use whenever, wherever. Transforms simple rinsing withwater while on the go into effective washing with hand soap
Launched KireiKirei Medicated Foaming Hand Soap Auto Dispenser [Japanese] for touchless dispensing. Foam is dispensed automatically,making hand washing easy for everyone
Began the KireiKirei Relay [Japanese] Project to help create a clean
and hygienic environment
Began “Let’s Join Together to Promote Habits for Cleanliness! Produce
d by KireiKirei” [Japanese] for educational institutions
Released “If I Wash My Hands Together With You” [Japanese] , a songto help encourage children to join the hand-washing crowd
Provide products and services that support the establishment of handcleanliness and hygienic habits in daily living.
Provide new customer experiences in all aspects of daily living throughthe provision of products and services that protect customers frombacteria and viruses.
Implement educational and awareness-raising activities to establish
cleanliness and hygienic habits in all aspects of daily living.

Details
Creating Healthy Living Habits

Initiatives to Establish Cleanliness and Hygiene Habits

18

ESG Data

Lion Sustainability Website 2022

Promoting Diversity & Inclusion
Material Issues ３

Emplyoee

Objectives
Enable human resources with diverse values and ideas fully express their individuality and abilities andsucceed professionally.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Ratio of women in management ⇒ 30% or more
Employees who feel that employees with diverse values are able tosucceed professionally ⇒ 80% or more
Ratio of women in management: 20%
Employees who feel so: 56% (Japan)
Provide opportunities for employees to deepen their understanding ofdiverse values.
Create systems and mechanisms for diverse human resources tosucceed professionally.

Details
Together with Employees

Promoting Diversity & Inclusion

ESG Data

Promoting Work-Life Enrichment
Material Issues ４

Emplyoee

Objectives
Create an environment that helps employees fulfill their ambitions through synergy between work andprivate life.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Employees who feel that life outside of work (role at home and external
activities) has a positive impact on work⇒75% or more
54% (Japan)
Create an environment that enables employees to fulfill their life
ambitions and achieve their ideal lifestyles.

Details
Together with Employees

Promoting Work-Life Enrichment

19

ESG Data

Lion Sustainability Website 2022

Developing Human Resources
Material Issues ５

Emplyoee

Objectives
Foster human resources who generate dynamism to realize innovative change by creating environmentsthat allow all employees to exercise their diverse abilities to the fullest and embrace challenges.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Employees who are using diverse educational programs (Lion Career
Village) for individualized skill acquisition and ability
development⇒100％
56% (Japan)
Note: Programs are being introduced in stages (Overseas)
Introduce e-learning system and curriculum that meet the needs ofoverseas Group companies.
Create mechanisms that will be used to provide contents for learning
opportunities on an ongoing basis.

Details
Together with Employees

Developing Human Resources

20

ESG Data

Lion Sustainability Website 2022

Improving Employee HealthMaterial Issues ６

Emplyoee

Objectives
Support mental and physical healthcare for employees to reinforce Group human resources and achievesustainable corporate growth.
Indicators (2030)
Progress(2021 results)

Globally Common Measures
to 2030

Employees getting dental checkups ⇒100％
Absenteeism ⇒Improve from the 2021 level
Employees getting dental checkups: 56% (Japan; stopped during stateof emergency)
Note: Support for dental checkups is provided (Overseas)
Absenteeism: 0.7% (Japan)
Note: Calculation method under consideration (Overseas)
Use a self-administered daily oral care program and regular dental
checkups to create an environment that allows all employees toimplement a PDCA cycle and to provide information and learning
opportunities regarding oral self-care.
Provide opportunities for management to learn about checking themental health of subordinates and for all employees to learn aboutcaring for their own mental health.
Improve health literacy by providing information that helps employees
understand their own health conditions and future risks, as well as
what preventative actions to take in their daily lives.

Details
Together with Employees

Improving Employee Health

21

ESG Data

Lion Sustainability Website 2022

Enhancing the Occupational Safety Management System
Material Issues ７

Emplyoee

Objectives
Enhance systems to ensure compliance with occupational safety and health laws and regulations and to
enforce safety awareness thoroughly for the safety and peace of mind of employees and outside partners
working on site.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Participation in safety education and training ⇒Implement as planned(100%) at work sites
Compliance with occupational safety and health laws and regulations
Serious accidents and incidents ⇒Zero
Participation in training: 100% as planned
Serious accidents and incidents: Zero
Provide opportunities to learn about safety and disaster prevention,and implement activities to promote understanding of basic safety
activities.
Build mechanisms for exchanging safety information, and proactively
disclose information on levels of workplace safety based on the
management of records of occupational accident frequency.

Details
Together with Employees

Enhancing the Occupational Safety Management System

22

ESG Data

Lion Sustainability Website 2022

Respecting Human Rights
Material Issues ８

Human Rights

Objectives
Ensure respect for the human rights of all stakeholders affected by Group business activities, in line with
the LION Human Rights Policy
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Human rights due diligence implementation for material human rights
issues ⇒100％
Currently studying methods for assessing risk of human rights violations
Build a mechanism for addressing human rights issues.
Identify material human rights risks and verify how those affected are
negatively impacted.
Execute and monitor measures for addressing human rights risks thathave been identified.
Proactively disclose status of response to human rights due diligence.

Details
Respect for Human Rights
ESG Data

Measures to Prevent Human Rights Abuse（Human Rights Due Diligence）

23

Lion Sustainability Website 2022

Building Responsible Supply Chain Management
Material Issues ９

Supply Chain

Objectives
Implement sustainable procurement with zero tolerance for human rights and labor problems (includingchild labor and forced labor) or environmental destruction in line with the Sustainable Material
Procurement Policy and Lion Group Supplier CSR Guidelines.
Indicators (2030)

Progress(2021 results)

Globally Common Measures
to 2030

Procurement of third-party certified paper and pulp (FSC, PEFC, etc.)
and palm oil, palm kernel oil and their derivatives (RSPO, etc.) ⇒100%
Procurement of third-party certified paper and pulp (FSC, PEFC, etc.)
and palm oil, palm kernel oil and their derivatives (RSPO, etc.) fromsuppliers that support efforts aimed at zero deforestation ⇒100%
Ratio of certified raw materials procurement
Japan: Certified paper and pulp: 65% (item ratio)
Certified palm oil and palm kernel oil derivatives: 93%(based on key raw materials)
Overseas: Certified paper and pulp: Procurement to begin in stages
Certified palm oil and palm kernel oil derivatives:
Procurement to be considered
Ratio of suppliers supporting zero deforestation: 50% (Japan)
Note: Surveys to begin in stages (Overseas)
Create and promote a sustainable procurement system in cooperation
with supplier

Details
Together with Supply Chains

Aiming for Sustainable Raw Material Procurement

24

ESG Data

Lion Sustainability Website 2022

Pursuing Customer Satisfaction and Trust
Material Issues １０

Customer

Objectives
Promote and reinforce customer-oriented business activities by improving customer support quality andthe value of products and services.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Customer opinions are reflected in all products and services so that
customers will continue to choose them
In addition to a monthly newsletter aimed at quickly discovering issues
and trends through the voice of the customer, in February 2022 welaunched a new weekly VOC newsletter (Japan)
Evolve the activities of customer response departments by steadily
promoting three steps: Understand the current situation Formulate
plans Promote activities
Create an environment for improving customer relationships andexpanding the range of problem resolution methods.
Create and implement a system for reflecting customer feedback in
products and services.

Details
Ensuring Product Safety and Reliability

Initiatives to Respond to Our Customers

25

ESG Data

Lion Sustainability Website 2022

Promoting Risk Management
Material Issues １１

GovernanceObjectives
Build a comprehensive and exhaustive risk management system for identifying and quickly andappropriately dealing with risks to achieve sustainable corporate growth.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Disclosure of the results of monitoring significant business risks andprogress in implementing reduction measures ⇒At least once a year
Disclosed once
Build and raise awareness of a management system that includes
overseas Group companies.
Use a consistent format for investigating risks and implement
countermeasures.
Share information on progress of response through reports to theBoard of Directors once a year.

Details
Risk Management

ESG Data

26

Lion Sustainability Website 2022

Reinforcing Compliance
Material Issues １２

GovernanceObjectives
Reinforce effective initiatives to instill compliance awareness and thus earn and maintain the trust ofsociety.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Participation in compliance education and training ⇒Implement asplanned (100%) at work sites
Serious compliance violations ⇒Zero
Participation in training: 100% as planned
Serious compliance violations: Zero
Build and enhance a compliance system that includes overseas Group
companies.
Further inculcate through ongoing implementation of management
and employee training and questionnaires, etc.
Improve Group-wide risk perception and accelerate risk response by
designating compliance managers at overseas Group companies andbuilding a global hotline.

Details
Compliance

ESG Data

27

Lion Sustainability Website 2022

Enhancing GovernanceMaterial Issues １３

GovernanceObjectives
Build a sound, fair, transparent and highly effective governance system to enable sustainable corporate
value enhancement.
Indicators (2030)
Progress(2021 results)
Globally Common Measures
to 2030

Disclosure of the results of the establishment and operation of theinternal control system ⇒At least once a year
Improvement in evaluations from external organizations⇒Continuously improve from the 2020 onward
Disclosed once
As in 2020, continued activities to improve evaluation results
Evaluate and disclose results of the operation of the current internal
control system.
Clarify status of establishment of internal control systems at overseas
Group companies and evaluate their operation.
Continuously and proactively disclose governance-related nonfinancial information.

Details
Basic Approach to Corporate Governance

ESG Data

28

Lion Sustainability Website 2022

ESG Data and Third-Party Verification
Environmental Data

Third-Party Verification

Social Data

Governance Data

Environmental Data
Overview of Environmental Burden Created by Business Activities[Scope of Data] Lion and consolidated subsidiaries: The scope of this data was revised from 2021 for consistency with theconsolidated subsidiaries listed in Lion’s Securities Report. Data for previous years has been revised accordingly.
[Period Covered] January 2021 to December 2021: However, data for PRTR-designated chemical substances is for April 2021
to March 2022
29

Lion Sustainability Website 2022

CO2 Emissions from Business Activities
Domestic
Absolute quantity

Unit

2017

Thousandt-CO2%

Reduction from 2017
Overseas
Absolute quantity

Unit

Domestic and overseas total
Absolute quantity
Reduction from 2017

2019

77
—

74
—

2017

Thousandt-CO2%

Reduction from 2017

2018

2018

Unit

70
—

98
—

2017

2018

171
—

74
5

2020

93
—

2021

96
—

2019

173
—

2021

67
—

2019

94
—

Thousand
t-CO2
%

2020

86
8

2020

163
—

2021

163
—

160
7

More about related initiatives
Total Energy Consumption in Business Activities
Unit

Domestic
Overseas
Domestic and overseas total

2017

2018

1,350
1,122
2,472

TJ
TJ

1,325
1,183
2,509

2019

2020

1,287
1,118
2,404

2021

1,270
1,139
2,409

1,357
1,276
2,632

More about related initiatives
Total renewable and Non-Renewable Energy Consumption in Business Activities
Unit
Total non-renewable energy
consumption
Total renewable energy
consumption
Total renewable energy
consumption/
total energy consumption

Domestic
Overseas
Domestic andoverseas total
Domestic
Overseas
Domestic andoverseas total
Domestic andoverseas total

2017

2018

2019

2020

2021

GWh

239
312
550
0.04
0
0.04

233
329
562
0.04
0
0.04

227
310
537
0.04
0.01
0.05

222
316
538
0.04
0.01
0.05

233
313
546
0.18
42
42

%

0.01

0.01

0.01

0.01

7.13

GWh
GWh
GWh

30

Target for
2021

—
—
533
—
—
—
—

Lion Sustainability Website 2022

Greenhouse Gas Emissions throughout the Supply Chain
Scope 1
Scope 2

Scope 3

Unit

%
%
%
%
%

Purchased goods and services
Capital goods
Fuel- and energy-related activities
not include in Scope 1 or Scope 2
Upstream transportation anddistribution
Waste generated in operations
Business travel
Employee commuting
Downstream transportation anddistribution
Processing of sold products
Use of sold products
End-of-life treatment of soldproducts
Investments

2017

%
%
%
%
%
%
%
%
%
Million tCO2

Total

2018

1.6
2.1
21.8
0.8
0.5
3.4
0.1
0.1
0.1
0.1
5.3
54.2
9.5
0.4
4.62

1.5
2.0
19.8
0.8
0.4

2019

3.5
0.1
0.1
0.0
0.1
2.6
59.0
9.5
0.5
4.99

1.6
2.1
20.6
1.3
0.4

2020

4.6
0.1
0.1
0.1
0.2
2.6
55.6
10.4
0.6
4.51

1.5
1.9
23.4
2.5
0.6

2021

4.3
0.3
0.1
0.0
0.2
1.8
52.7
10.2
0.7
4.84

1.7
1.5
23.7
1.1
0.6
3.8
0.4
0.0
0.1
0.2
2.0
54.4
9.8
0.9
4.93

More about related initiatives

Notes: Scope: Lion and domestic and overseas consolidated subsidiaries (domestic and overseas total)
Scope 1: Direct emissions from operating sites
Scope 2: Indirect emissions from the generation of purchased energy (electricity generation, etc.)
Scope 3: Emissions from the supply chain not included in Scope 1 or Scope 2

Scope 1 and 2 Greenhouse Gas Emissions from Operating Sites
Domestic

Scope 1
Scope 2 (location basis)

Scope 1 + 2 (location basis) total
Scope 2 (market basis)
Scope 1 + 2 (market basis) total
Overseas

Scope 1
Scope 2 (location basis)

Scope 1 + 2 (location basis) total
Scope 2 (market basis)
Scope 1 + 2 (market basis) total

Unit

Thousandt-CO2
Thousandt-CO2
Thousandt-CO2
Thousand
t-CO2
Unit

Thousandt-CO2
Thousandt-CO2
Thousandt-CO2
Thousand
t-CO2

2017

2017

22
55
77

2018

22
54
75

2019

21
52
73

2020

19
50
70

2021

21
52
73

55

53

50

48

52

77

74

70

67

74

51
43
94

2018

54
45
98

2019

50
43
93

2020

54
42
96

2021

64
22
86

43

45

43

42

22

94

98

93

96

86

31

Lion Sustainability Website 2022

Domestic and overseas total

Scope 1
Scope 2 (location basis)

Scope 1 + 2 (location basis) total
Scope 2 (market basis)
Scope 1 + 2 (market basis) total

Unit

Thousandt-CO2
Thousandt-CO2
Thousandt-CO2
Thousand
t-CO2

2017

73
98
171

2018

2019

75
99
174

2020

70
95
165

73
93
166

2021

85
74
160

Target for 2021

72
89
—

98

98

93

90

74

89

171

173

163

163

160

—

Notes: Scope 1：Direct emissions from operating sites
Scope 2：Indirect emissions from the generation of purchased energy (electricity generation, etc.)

Raw Material Usage (Domestic Household Products)
Unit

Raw material usage

Thousand
tons

2017

2018

250

2019

251

2020

245

2021

250

252

More about related initiatives
Container and Packaging Material Usage (Domestic Household Products)
Plastic
Corrugated cardboard
Cardboard
Glass
Metals
Total

Unit

2017

Thousandtons
Thousand
tons

18
23
6
6
0.3
54

2018

18
24
6
6
0.2
54

2019

20
26
6
6
0.2
57

2020

20
27
5
5
0.1
58

2021

19
27
5
6
0.1
57

More about related initiatives
Container and Packaging Material Usage (Domestic and Overseas Total Household Products)
Plastic
Corrugated cardboard
Cardboard
Glass
Metals
Total

Unit

Thousandtons
Thousand
tons

Water Usage (Water Withdrawal) in Business Activities
Domestic
Overseas
Total

2017

Unit

Thousandm3
Thousand
m3

33
55
8
6
0.3
103

2017

917
670
1,586

2018

2018

34
56
8
6
0.2
105

955
740
1,695

2019

2019

37
57
9
6
0.2
110

862
706
1,568

2020

2020

42
59
13
5
0.1
119

823
713
1,536

2021

43
58
13
6
0.1
120

2021

920
704
1,624

More about related initiatives
32

Lion Sustainability Website 2022

Water Usage (Water Withdrawal) by Source
Tap water

Domestic
Overseas

Industrial water

Domestic
Overseas

Groundwater

Domestic
Overseas

Rain water

Domestic
Overseas

Total

Total

Total

Total

Unit

Thousandm3
Thousandm3
Thousandm3
Thousandm3
Thousandm3
Thousandm3
Thousandm3
Thousandm3

Wastewater Discharge in Business Activities
Domestic
Overseas
Total

Unit

Thousandm3
Thousand
m3

2017

2017

339
645
983
538
25
563
38
0
38
1
0
1

526
172
699

Wastewater Discharge by Destination
Sewage systems
Sea areaRiver
Other (industrial park treatment facilities)

2018

2019

362
717
1,080
590
23
613
0.4
0
0.4
2
0
2

2018

353
681
1,033
507
25
532
0
0
0
2
0
2

2019

551
194
745

Unit

Domestic
Overseas
Total
Domestic
Overseas
Total
Domestic
Overseas
Total
Domestic
Overseas
Total

Thousand m3
Thousand m3
Thousand m3
Thousand m3
Thousand m3
Thousand m3
Thousand m3
Thousand m3

448
190
638

2020

343
690
1,033
479
23
502
0
0
0
2
0
2

2020

428
183
611

2021*

2021

387
689
1,076
507
15
522
25
0
25
2
0
2

2021

474
211
684

302
64
366
118
0
118
53
44
97
0
103
103

* Disclosed from 2021

33

Lion Sustainability Website 2022

Breakdown of Water Use over the Life Cycles of Lion Products
Raw material procurement
Production
Transport
Use by consumers
Disposal by consumers

Unit

2019

％
%
%
%
%

2020

19.3
0.1
0.0
76.8
3.8

2021

19.3
0.1
0.0
76.2
4.4

19.4
0.1
0.0
76.2
4.3

* Scope: Lion and domestic and overseas consolidated subsidiaries (domestic and overseas total)

More about related initiatives
Water Use over the Life Cycles of Lion Products
Water Usage
Usage intensity per unit net sales
Decrease in usage intensity per unit net sales
from 2017

Unit

million m3
Tthousandm3/million
yen
%

2017

2019

2,178

2020

2,230

2021

2,273

6.36

—

—

6.26

0

—

—

2

Total Waste Generation, Total Waste Consigned to Final Disposal in Landfills and Total Resources Recovered
Domestic
Total Waste Generation
Total Waste Consigned to Final Disposal in
Landfills
Total Resources Recovered

Overseas
Total Waste Generation
Total Waste Consigned to Final Disposal in
Landfills
Total Resources Recovered
Domestic and overseas total
Total Waste Generation
Total Waste Consigned to Final Disposal in
Landfills
Total Resources Recovered

Unit

2017

Thousand
tons
Unit

2017

Thousand
tons
Unit

Thousand
tons

7.62
0.02
2.88
3.63
3.16
3.15

2,291

2018

2018

8.29
0.01
3.16
4.49
2.83
3.59

2019

2019

8.59
0.01
4.05
4.15
1.04
2.76

2020

10.43
0.01
3.13

2020

3.96
0.74
3.13

2021

2021

2017

2018

2019

2020

2021

2017

2018

2019

2020

2021

11.26
3.18
6.03

12.79
2.83
6.75

12.74
1.05
6.81

14.39
0.75
6.26

9.07
0.01
3.73
3.89
0.54
3.22

12.96
0.54
6.95

More about related initiatives
Waste Disposal by Method (Domestic + Overseas)
Recycled or reused
Landfill
Incinerated (with energy recovery)
Incinerated (without energy recovery)
Disposal method unknown

Unit

Thousand
tons

10.15
3.18
3.63
0.20
0.00

34

12.93
2.83
3.42
0.14
0.00

14.55
1.05
3.64
0.09
0.00

16.38
0.81
3.22
0.13
0.00

15.15
0.65
3.49
0.46
0.00

Lion Sustainability Website 2022

Management of Chemical Substances
PRTR-Designated Substance Emissions (Domestic)
PRTR-Designated Substance Emissions

Unit

Tons

2017

18

2018

18

Emissions of Nitrogen Oxides (NOX), Sulfur Oxides (SOX) and Particulate Matter
Domestic
Emissions of Nitrogen Oxides (NOX)
Emissions of Sulfur Oxides (SOX)
Particulate Matter

Overseas
Emissions of Nitrogen Oxides (NOX)
Emissions of Sulfur Oxides (SOX)
Particulate Matter
Domestic and overseas total
Emissions of Nitrogen Oxides (NOX)
Emissions of Sulfur Oxides (SOX)
Particulate Matter

VOC Emissions (Domestic)
Volatile organic compound (VOC) emissions

COD in Business Activities
Domestic
Overseas
Total

Unit

2017

Tons
Unit

2017

Tons
Unit

2017

Tons

Unit

2017

Unit

2017

Tons

Tons
Tons

25
4
1
52
1
11
77
5
13

73

14
15
29

2018

2018

2018

2018

2018

28
4
1
57
1
13
85
5
14

78

14
38
52

2019

2019

2019

2019

2019

2019

2

25
3
1
107
1
13
132
5
15

67

18
41
59

2020

2020

2020

2020

2020

2020

2

29
4
1
71
2
8
100
6
9

68

20
76
96

2021

2021

2021

2021

2021

2021

3

27
3
1
33
1
58
60
5
59

69

22
77
100

* 2021 figures for Lion Corporation (Korea) are for total organic carbon

More about related initiatives

35

Lion Sustainability Website 2022

Environmental Accounting

Based on the Ministry of the Environment’s guidelines, every year we calculate and disclose the environmental conservation
cost and the economic benefits (real effect) of environmental conservation measures for the entire domestic Lion Group.
Breaking down total environmental conservation cost in 2021, although investment (capital expenditure) increased
approximately ¥920 million year on year, overall cost decreased approximately ¥360 million.
Environmental Conservation Cost (January 2021 to December 2021)
Category
Business area cost
Upstream/downstream cost
Administration cost
R&D cost
Social activity cost
Environmental remediation
cost
Domestic Group total

Key activity
Pollution prevention
Global environmental conservation
Resource recycling
Environmentally friendly productsContainer/packaging recycling
ISO 14001 registration, environmental education
R&D of environmentally friendly products, etc.
Environmental improvement measures, donations toorganizations
Pollution burden duties, etc.
YoY

(Millions of yen)
January 2021 to December 2021
Investment
Cost

7
552
45
4,140
—
0
63
0

286
2,548
327
2,838
813
662
1,041
8

0
4,806
922

7
8,529
-355

Economic Benefit Associated with Environmental Conservation Measures (January 2021 to December 2021)(Millions of yen)
Effects
Cost reduction due to energy saving
Cost reduction due to resource saving
Reduced water utility cost
Waste disposal reduction*

YoY reduction

26
129.0
-18.7
32.7

* Includes cost of sales of valuable waste

36

Lion Sustainability Website 2022

Environmental Efficiency

Every year, Lion calculates its environmental efficiency using the formula below to evaluate how efficient its businessactivities are in terms of the environmental burden they create. We continually strive to improve environmental efficiency.

* Environmental impact (harm) is calculated as a monetary amount using the Life-cycle Impact assessment Method based on Endpoint
modeling (LIME).

Environmental Efficiency and Monetary Value of Environmental Burden (comparison with 2005)
Monetary value of environmental burden(comparison with 2005)
Environmental efficiency

Unit%
Million yen

2017

72
381

2018

74
374

2019

79
350

2020

84
340

2021

84
345

* The monetary value of environmental burden was calculated using the LIME2 integrated coefficient list (July 1, 2010 version).

Production Site Environmental Data

Lion and domestic consolidated subsidiaries （PDF：7KB）
Overseas consolidated subsidiaries （PDF：60KB）

Certification under ISO 14001 (2015 Version)
8 locations
5 locations

Domestic
Overseas

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37

Lion Sustainability Website 2022

Third-Party Verification

To ensure the transparency and accuracy of its environmental data, the Lion Group obtains third-party verification opinions
regarding data on its greenhouse gas emissions (Scope 1 and Scope 2), energy consumption, and water withdrawal anddischarge from SGS Japan Inc. Most recently, the Group obtained third-party opinions regarding its environmental data for
2021.
Going forward, we will seek to put third-party opinions to good use and enhance accuracy.

Verification Opinion

Verification Opinion （PDF：750KB）

PRTR-Designated Substance Emissions

2021 PRTR-designated substance emissions data for production sites (domestic group companies)

Industrial Waste Disposal Facility Maintenance and Management Data
Chiba Plant

2022 Maintenance and Management Data (updated October 03, 2022) （PDF：96KB）[Japanese]
2021 Maintenance and Management Data (updated April 26, 2022) （PDF：98KB）[Japanese]2020 Maintenance and Management Data (updated April 23, 2021) （PDF：107KB）[Japanese]
2019 Maintenance and Management Data (updated April 13, 2020) （PDF：88KB）[Japanese]38

Lion Sustainability Website 2022

Social Data
Employee Data
Scope: Lion Corporation + employees on loan / the Lion Group (Lion Corporation + domestic and overseas Group
companies; employees on loan from Lion Corporation are counted only for Lion Corporation). All as of December 31.

Diversity & Inclusion
Lion Corporation(including employees on loan)
Lion Group

Male
FemaleMale
FemaleLion Corporation(including employees on loan)
Lion Group
Lion Corporation(including employees on loan)
Lion Group

Below 30 y/o
30-50 y/oOver 50 y/oBelow 30 y/o
30-50 y/oOver 50 y/oLion Corporation(including employees on loan)

MaleFemaleLion Group%

Lion Corporation(including employees on loan)
Lion Group%%

Lion Corporation(including employees on loan)

Number%Lion Corporation(including employees on loan)
Lion Corporation(excluding employees on loan)
Lion Group

Number%Number%2017
Employees

2018

2019

2020

2021

2,846
1,003
-

2,827
1,062
-

2,237
1,044
-

2,355
1,205
-

2,347
1,238
4,454
2,944

26.1%
-

27.3%
-

31.8%
-

33.8%
-

34.5%
39.8%

-

-

-

16%
47%
37%
21%
53%
27%

18%
48%
34%
21%
54%
25%

57
36

63
33

42
34

54
33

46
38

-

-

-

86.4%

86.4%

-

-

-

66.2%
73.4%

77.9%
75.1%

216
7.1%

210
6.6%

207
6.3%

243
6.8%

293
8.2%

448

512

400

196

130

76
2.8%
-

77
2.8%
-

75
2.7%
94
1.3%

77
2.7%*1127
1.7%Female employee ratio

Ratios of employees by age group

New hires (new graduates)

Ratio of companies with an independent trade union or collective bargaining
agreements
Ratio of employees represented by an independent trade unions or covered bycollective bargaining agreements

Re-hired retirees
Temporary employees

Employees with disabilities

63
2.4%
-

39

Lion Sustainability Website 2022

Lion Corporation(including employees on loan)

MaleFemaleLion Corporation(including employees on loan)
Lion Group
Lion Corporation(including employees on loan)

Number%Lion Corporation(including employees on loan)

Number%Number%Lion Group
Lion Corporation(including employees on loan)
Lion Group
Lion Corporation(including employees on loan)
Lion Group
Lion Corporation(including employees on loan)
Lion Group
Lion Corporation(including employees on loan)
Lion Group
Lion Corporation(including employees on loan)
Lion Group

Number%Number%Number%Number%Number%Number%Number%Number%Number%Number
%

2017
2018
2019
Average service years (excluding rehired retirees)

2020

2021

20.4
18.0

19.6
16.8

20.1
15.1

19.7
14.0

19.5
14.1

-

-

-

1.2%
3.0%

2.3%
4.9%

1
0.40%

2
0.80%

8
3%

10
4%

4
1.60%

70
6.7%
-

76
7.4%
-

81
9.2%
-

83
9.1%
-

256
17.2%
521
23.2%

-

-

-

-

2
12.5%
47
40.2%

-

-

-

-

91
11.6%
242
18.6%

-

-

-

-

163
30.3%
232
28.1%

-

-

-

-

36
11.4%
154
24.0%

-

-

-

-

19
12.8%
39
16.8%

Voluntary employee turnover rate

Employees who resigned within three years of entering the Company
Women in all management positions*2

Women in top management positions

Women in low- and mid-level management positions

Women in junior management positions

Women in management positions with revenue-generating functions

Women in STEM-related positions

40

Lion Sustainability Website 2022

Lion Corporation(including employees on loan)

Lion Group

Male directors
Female directors
Male external
directors
Female external
directors
Male employees inmanagement
positionsFemale employees
in management
positionsMale employees in
non-management
positionsFemale employees
in nonmanagement
positionsMale employees inmanagement
positionsFemale employees
in management
positionsMale employees in
non-management
positionsFemale employees
in nonmanagement
positions
Users

2017
2018
2019
Gender pay indicators (gender pay gap)

2020

2021

-

-

-

100%
100%

100%
100%

-

-

-

100%

100%

-

-

-

100%

100%

-

-

-

89%

89%

-

-

-

100%

100%

-

-

-

76%

79%

-

-

-

100%

100%

-

-

-

88%

93%

-

-

-

100%

100%

-

-

-

90%

91%

17

17

2

0

Regionally based employees

5*1 The percentage of employees with disabilities is calculated for Lion Corporation (non-consolidated) + employees on loan, in accordancewith domestic standards for caluclating hiring ratios*2 Includes junior management positions from 2021

More about related initiatives

41

Lion Sustainability Website 2022

Work-Life Enrichment
Lion Corporation(including employees on
loan)

Male
FemaleLion Corporation(including employees on
loan)

Male
FemaleLion Corporation(including employees on loan)

2017
2018
Employees who took childcare leave

Users
Days taken

Lion Corporation(excluding employees on
loan)

Overall response
rate
OverallMale
FemaleBelow 30 y/o
30–39 y/o
40–49 y/o
50–59 y/o
60 y/o and above
Non-management
positionsManagement
Positions(Including officers)

2021

16
53

13
61

32
78

54
84

0
57

0
64

0
66

0
77

0
78

12.5hours

13.7hours

11.2hours

9.2hours

12.5hours

60.3%

74.0%

68.0%

65.9%

12
16

13
16

15
19

0
-

0
-

-

91.5%
96.2%
97.2%
94.5%
94.1%
94.8%
95.3%
97.7%
98.1%
95.1%

85.8%
95.7%
96.5%
94.3%
94.0%
93.9%
96.1%
95.7%
98.0%
94.4%

83.0%
97.3%
97.5%
96.8%
95.3%
96.7%
96.8%
97.9%
97.2%
96.6%

84.3%
80.5%
84.3%
77.0%
74.9%
78.9%
79.0%
84.6%
85.4%
77.5%

-

98.5%

98.7%

98.8%

89.6%

Employees who took shorter work hours for childcare
Average overtime per month

50.7%

Lion Corporation(including employees on
loan)

2020

9
57

Annual paid leave used

Lion Corporation(including employees on loan)

2019

Volunteer leave used

Employee Awareness and Behavior Survey*1*2
Employees who take pride in their work

*1 Scope: Lion Corporation, non-consolidated basis (excluding employees on loan)*2 Because the rate of employees answering that they took pride in their work neared 100% in 2020, the survey options were changed toenable Lion to gather data to seek further improvement

More about related initiatives

42

Lion Sustainability Website 2022

Developing Human Resources
Lion Corporation(including employees on loan)
Lion Group

Lion
Corporation

Lion Group

Employees 50 y/o and above
Employees 30–50 y/o
Employees below 30 y/oMaleFemaleTop management positions
Low- and mid-level management
positions
Junior management positions
Employees 50 y/o and above
Employees 30–50 y/o
Employees below 30 y/oMaleFemaleTop management positions
Low- and mid-level management
positions
Junior management positions

Lion Corporation(including employees on loan)
Lion Group

Lion
Corporation

Lion Group

Employees 50 y/o and above
Employees 30–50 y/o
Employees below 30 y/oMaleFemaleTop management positions
Low- and mid-level management
positions
Junior management positions
Employees 50 y/o and above
Employees 30–50 y/o
Employees below 30 y/oMaleFemaleTop management positions
Low- and mid-level management
positions
Junior management positions

2017
2018
2019
Average hours per FTE of training and development

2020

2021

-

-

-

14.6hours
12.1hours

52.8hours*1
31.0hours*1

-

-

-

-

54.5hours
49.3hours
97.7hours
49.2hours
59.8hours
39.7hours
83.3hours
42.9hours
36.6hours
26.3hours
44.2hours
30.1hours
30.3hours
21.1hours
60.4hours
33.4hours---¥52,300¥29,300¥67,100¥36,700

-

-

-

-

¥24,100¥107,700¥67,100¥70,800¥60,000¥65,000¥105,000¥44,000¥16,900¥46,700¥43,500¥41,300¥29,200¥33,700¥76,800¥33,500

Average hours per FTE of training and development breakdown

Average amount spent per FTE on training and development

Average amount spent per FTE on training and development breakdown

43

Lion Sustainability Website 2022

Coverage ofthe MBO
system*2 at
Lion
Corporation
Coverage ofthe MBO
system: % ofall
employees

Top management positions
Low- and mid-level management
positions
Junior management positions
Employees in non-management
positions
Top management positions
Low- and mid-level management
positions
Junior management positions
Employees in non-management
positions

Lion Corporation(including employees on loan)
Lion Group

2017
2018
Type of individual performance appraisal

-

2019

2020

2021

-

○
○
○
○

○
○
○
○

-

-

-

-

55.7%
95.4%
94.6%
62.1%

57.3%
95.5%
94.9%
63.6%

Percentage of open positions filled by internal candidates (internal hires)*3

-

-

-

88.5%
49.2%

69.0%
55.7%

*1 Figures for 2021 increased due to the inclusion of divisional training and development hours*2 MBO: Management by Objectives*3 Percentage of internal hires: Internal hires / (external mid-career hires + internal hires)

More about related initiatives
Key Health Indicators

Physical health

Living habits
Mental health
Health history

Rate of employees getting regular health checkups
Rate of employees getting necessary follow-up examinations
Rate of employees requiring specific health guidance related
to metabolic syndrome (ages 40 and over)Rate of employees getting specific health guidance related tometabolic syndrome (ages 40 and over)Rate of employees maintaining a healthy body weight
Employee smoking rate
Rate of employees who habitually exercise
Proportion of employees who are sufficiently rested after
sleep
Rate of employees who habitually drink alcoholStress level check implementation rate
Rate of employees with high stress levels
Proportion of employees who respond that they “mostly
understand” or “understand well” their health checkup
results
Proportion of employees who respond that they “know what
to do” or “mostly know what to do” to improve their healthbased on their health checkup results

2020

100.0%
58.0%
17.8%

2021

100.0%
59.6%
16.8%

74.9%
69.4%
18.5%
23.7%
66.0%
17.7%
98.2%
7.9%

83.6%
66.9%
17.0%
24.5%
67.6%
14.8%
99.5%
9.0%

89.8%

89.3%

86.3%

86.6%

* Scope: Lion Corporation, non-consolidated (including employees on loan)

44

Lion Sustainability Website 2022

Productivity and Professional Fulfillment Indicators
Productivity
Professional fulfillment*3

2020

Performance*1
Rate of absence due to illness or poor health*2
Work engagement
Proportion of employees that respond that they are“satisfied” or “mostly satisfied” with their jobs
Proportion of employees that respond “Yes” to the statement“My job is professionally fulfilling”

2021

74.4%
0.7%
2.7
73.5%

86.5%
0.7%
2.2
71.6%

75.1%

74.8%

* Scope: Lion Corporation, non-consolidated (including employees on loan)*1 Presenteeism: Measured using the SPQ (University of Tokyo single-item version)*2 Absenteeism: Absence rate = Days absent/Total work days
*3 Measured using stress level check tests (work engagement: average of responses to two questions answered on a four-point scale)

Supply Chain

Switching rate to RSPO-certified products for key raw materials (Domestic)

All as of December 31.

2019

2020

14%

2021

93%

93%

Procurement rate of third-party certified paper from domestic paper manufacturers for key
products

All as of December 31.

2019

2020

96%

2021

98%

98%

More about related initiatives

Number of Suppliers Evaluated and Response Rate

Number of suppliers
Response Rate

2017

2018

625
99%

610
98%

2019

585
99%

2020

574
100%

2021

502
100%

More about related initiatives

Key Suppliers

Number of key suppliersPortion of all primary suppliers that are key
suppliers
Portion of purchasing that is from key suppliers(monetary basis, among all primary suppliers)

2017

2018

90
14.4%

90
14.8%

80%

87%

2019

90
15.4%
80%

2020

90
15.7%
89%

2021

90
17.9%
89%

More about related initiatives

45

Lion Sustainability Website 2022

Governance Data
Lion Career Village (LCV) Compliance E-learning Participation Rate
2017

-

2018

2019

-

2020

-

2021

99.5%

99.2%

More about related initiatives
The AL Heart Hotline Recognition Rate Among Employees
2017

95.8%

2018

98.5%

AL Heart Hotline Consultations and Reports
Harassment
Personnel and labor
management issues
Others

2017

9
5
4

2018

2019

15
6
2

2020

98.6%
2019

11
11
3

2021

99.5%
2020

8
7
58

2021

99.0%

12
5
2

More about related initiatives

46

Lion Sustainability Website 2022

Initiatives and External Evaluations
Participation in Initiatives

Status of Inclusion in SRI Indices

Evaluations and Certifications

Participation in Initiatives

The United Nations Global Compact (UNGC) is a global initiative in which companies
and organizations take action as upstanding members of society by exercising
responsible, productive leadership to realize sustainable growth. Participatingcompanies and organizations are asked to uphold and put into action ten principles in
the four areas of “Human Rights,” “Labour,” “Environment” and “Anti-Corruption.”
The Ten Principles of the UN Global Compact
Human Rights
Principle 1:
Business should support and respect the protection of internationally proclaimed
human rights; andPrinciple 2:
Make sure that they are not complicit in human rights abuses.
LabourPrinciple 3:
Business should uphold the freedom of association and the effective recognition of theright to collective bargaining;
Principle 4:
The elimination of all forms of forced and compulsory labour;
Principle 5:
The effective abolition of child labour; andPrinciple 6:
The elimination of discrimination in respect of employment and occupation.
Environment
Principle 7:
Business should support a precautionary approach to environmental challenges;
Principle 8:
Undertake initiatives to promote greater environmental responsibility; andPrinciple 9:
Encourage the development and diffusion of environmentally friendly technologies.
Anti-Corruption
Principle 10:
Business should work against corruption in all its forms, including extortion andbribery.
Lion announced its support for the UNGC in 2009 and takes part in related initiatives. Furthermore, Lion is a member of the
Global Compact Network Japan (GCNJ)[Japanese] , a local network of the UNGC. The CGNJ has subcommittees aimed atpromoting the CSR activities of its member companies. Lion participates in the Supply Chain, Environmental Management,
HRDD and SRI/ESG subcommittees. The subcommittees share information on the latest CSR-related developments throughlectures by experts and examples of initiatives at participating companies. They also prepare various publications to
47

Lion Sustainability Website 2022

support the CSR efforts of diverse corporate actors based on the experience of the participating companies across a wide
range of industries.
Publications Lion Has Helped Prepare◎Supply Chain Subcommittee
Introductory text on CSR procurement (bringing CSR to the supply chain) [Japanese]
CSR procurement self-assessment tool set [Japanese]

OthersParticipation in External Environmental Initiatives
Participation in Pharmaceutical Product Safety Initiatives
Participation in External Supply Chain Initiatives
Participation in External Human Rights Initiatives

Status of Inclusion in SRI Indices

In addition to financial considerations, Lion works to address environmental, social and governance issues. Lion has been
selected for inclusion in leading socially responsible investing (SRI) indices in and outside Japan, namely the FTSE4Good
Global Index (based in the UK) and the Dow Jones Sustainability Asia/Pacific Index (U.S.A. and Switzerland).
We are also included in the ESG indices used by Japan’s Government Pension Investment Fund (GPIF): the FTSE Blossom
Japan Index, the FTSE Blossom Japan Sector Relative Index, MSCI Japan ESG Select Leaders Index, MSCI Japan Empowering
Women Index (WIN) and S&P/JPX Carbon Efficient Index. Inclusion in these indices indicates that Lion is recognized globally
as a highly trustworthy company that meets high standards of corporate ethics and corporate social responsibility.
As of July 2022

2022

July 2022
FTSE4Good Global Index
An index developed by U.K.-based FTSE Russell that evaluatescompanies’ sustainability from ESG perspectives and selects
companies that meet its standards.
Lion has been included in this index for 15 consecutive years
beginning in 2008.
FTSE4Good Global Index
News Release48

Lion Sustainability Website 2022

July 2022
FTSE Blossom Japan Index
An index developed by U.K.-based FTSE Russell that selects
Japanese companies with outstanding ESG performance.
Lion has been included in this index for six consecutive years
beginning in 2017.
FTSE Blossom Japan Index
News Release

July 2022
MSCI Japan ESG Select Leaders Index
An index developed by U.S.-based MSCI that selects Japanesecompanies with excellent ESG performance.
MSCI Japan ESG Select Leaders Index
News Release
THE INCLUSION OF LION CORPORATION IN ANY MSCI INDEX, AND THE USE OF
MSCI LOGOS, TRADEMARKS,SERVICEMARKS OR INDEX NAMES HEREIN DO NOT CONSTITUTE ASPONSORSHIP, ENDORSEMENT OR PROMOTION OF LION CORPORATION BY
MSCI OR ANY OF ITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVEPROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE
TRADEMARKS OR SERVICE MARKS OF MSCI OR ITS AFFILIATES.

49

Lion Sustainability Website 2022

July 2022
MSCI Japan Empowering Women Index (WIN)An index developed by U.S.-based MSCI that selects for Japanesecompanies that promote the professional participation andadvancement of woman and earn high gender diversity scores.
Lion has been included in this index for six consecutive years
beginning in 2017.
MSCI Japan Empowering Women Index (WIN)News Release
THE INCLUSION OF LION CORPORATION IN ANY MSCI INDEX, AND THE USE OF
MSCI LOGOS, TRADEMARKS,SERVICEMARKS OR INDEX NAMES HEREIN DO NOT CONSTITUTE ASPONSORSHIP, ENDORSEMENT OR PROMOTION OF LION CORPORATION BY
MSCI OR ANY OF ITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVEPROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE
TRADEMARKS OR SERVICE MARKS OF MSCI OR ITS AFFILIATES.

S&P/JPX Carbon Efficient Index
An index comprising the companies in the Tokyo Stock Price Index(TOPIX) that weights said companies based on their disclosure ofenvironmental data and carbon efficiency (carbon emissions per unitof net sales). Japan’s Government Pension Investment Fund (GPIF)
has used this index since 2018.
Lion has been included in this index since its establishment in 2018.
S&P/JPX Carbon Efficient Index

50

Lion Sustainability Website 2022

April 2022
FTSE Blossom Japan Sector Relative Index

FTSE Russell (registered trademark of FTSE
International Limited and Frank Russell
Company) hereby confirms that Lion
Corporation has been independently
assessed and found to satisfy therequirements for inclusion in the FTSE
Blossom Japan Sector Relative Index. The
FTSE Blossom Japan Sector Relative Index
is widely used in the creation andevaluation of sustainable investment funds
and other financial products.

An index developed by U.K.-based FTSE Russell that reflects theperformance of Japanese companies that demonstrate strong ESG
practices relative to their respective sectors.
Lion was included in this index for the first time in 2022.
FTSE Blossom Japan Sector Relative Index
News Release

2021
2020
2019

Evaluations and Certifications

Our environmental, logistics and human resources initiatives have been highly evaluated by governmental and otherexternal institutions.
As of May 2022

2022

March 2022
White 500 Company under the Certified Health & Productivity Management
Outstanding Organization Recognition Program

Human Resources

Under this program, the Ministry of Economy, Trade and Industry
and the Nippon Kenko Kaigi recognize enterprises engaging inoutstanding efforts to promote health and productivity
management.
Lion has been selected under this program for six consecutive years,
since its establishment in 2017.
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Lion Sustainability Website 2022

March 2022
KAIKA Awards

Overall CSR

Sponsored by the KAIKA Institute of the Japan Management
Association (JMA), the KAIKA Awards recognize companies thatengage in sustainable management, organization and humanresource development to create social value in line with the KAIKA
philosophy. In the 8th KAIKA Awards 2022, the participation of Lion
employees in hand-washing educational activities received a Special
Mention.
KAIKA Awards [Japanese]
Related Information [Japanese]

March 2022
Selection Committee Chairman's Commendation in the Good Practices ofConsumer-Oriented Management Awards

Overall CSR

An award system organized by the Consumer Affairs Agency torecognize companies that have made a consumer-oriented
management declaration and implemented outstanding initiatives
based on such declarations.
Lion and Kao Corporation received the newly established Selection
Committee Chairman Commendation in the fiscal 2021 Good
Practices of Consumer-Oriented Management Awards.
News Release

February 2022
CDP Supplier Engagement Rating

Environment

The CDP is an international NGO based in the United Kingdom thatencourages companies to disclose data on their initiatives to combat
environmental problems and surveys and evaluates such disclosure.
The Supplier Engagement Rating (SER) is based on the CDP climatechange questionnaire items about governance, targets, value chain(scope 3) emission calculations and supplier engagement strategies.
As one of the companies that received the highest ratings, Lion was
listed on the Supplier Engagement Leaderboard for a third
consecutive year.
News Release

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Lion Sustainability Website 2022

February 2022
Japan Sports Agency’s Sports Yell Company

Overall CSR

A certification program created by the Japan Sports Agency in 2017
to recognize companies that support or promote sports activities toimprove their employees’ health.
Lion was certified under the Japan Sports Agency’s Sports Yell
Company 2022 program.
News Release

February 2022
Sustainability Site Awards

Overall CSR

The Association for Sustainability Communication of Japan awards companies with outstanding sustainability
websites based on the quality of their sustainability information provision.
Lion received the Gold Award, the top prize, in the Sustainability Site Awards 2022.
News Release

2021
2020
2019

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Lion Sustainability Website 2022

Stakeholder Engagement
Approach

Lion’s Main Stakeholders

Stakeholder Engagement

Stakeholder Dialogue

Approach

The Lion Group recognizes the importance of meeting the expectations and demands of stakeholders. To that end, mutual
understanding with our stakeholders is essential for us to continue our sustainable growth. We strive to actively engage
stakeholders in dialogue and collaboration by through various forms of communication.
We value and take seriously our stakeholders’ opinions and suggestions. After analyzing and reviewing them internally, we
incorporate them into our future corporate activities to further improve our sustainability efforts.

Lion’s Main Stakeholders

Lion considers its main stakeholders to be its shareholders, investors, customers (consumers) and business partners, as wellas municipalities, governments, non-profit organizations, local communities and employees.

Stakeholder Engagement

To ensure that it will be able to continue to contribute to society, Lion listens carefully to the opinions of stakeholders andpromotes stakeholder engagement* by via the following communication methods. The opinions we receive are reported to
management and the relevant departments, and are utilized in our business activities.

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Lion Sustainability Website 2022

Main Stakeholder Communication Methods
Putting Our Purpose into Practice: “Make a difference in everyday lives by redesigning habits: ReDesign”
Stakeholder
Major responsibilities
Main engagement opportunities
Annual Meeting of Shareholders, Annual
Business growth (sales and profit)
Meeting of Shareholders convocation notice
Returning profits to shareholders
Financial results briefings
Sound and transparent management
Briefings for individual investors andinstitutional investors
Accountability and constructive dialogue
IR tours: Individual interviews with overseas
Shareholders andEffective corporate governanceinstitutional investors and analysts
investors
Enhancing disclosure content
Website: Investor Relations and News Release
Timely disclosure of management-related sections
information
Proactive disclosure of financial and nonIntegrated Reportfinancial information
Redesigning habits
Promotional activities and exhibition events
Safe and reliable manufacturing
Factory tours
Product development emphasizing theConsumer research: group interviews,
consumer's perspective
monitoring surveys
Customers
Supplying superior products and services
Commercials, in-store shopping, online(consumers)
useful for everyday living
shopping
Promoting information useful for everyday
Lion’s website and social media
livingAppropriate, sincere customer service
Customer support

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Lion Sustainability Website 2022

Stakeholder

Business partners

Governments andmunicipalities

Non-profit
organizations

Local communities

Major responsibilities●Suppliers (raw material manufacturers,
production contractors)
Establishing supply chain management thattakes human rights and the environment
into consideration
Responsible raw material procurement●Retail stores, wholesalers
Building relationships of trust through fairand equitable trade
Stable supply of products
Proposing value-added products andservices that meet consumer needs
Contributing to the revitalization of markets
in each category
Appropriate dialogue with supervisory
authorities
Collaboration to resolve local social issues
Building and maintaining equitable and soundrelationships

Main engagement opportunities
Self-checks/feedback based on the LionGroup Supplier CSR Guidelines
Compliance consultation and whistleblowing system (AL Heart Hotline)
New product briefings, product seminars
Lion network, wholesaler meetings
Sales floor strategy proposal meetings,
merchandising meetings
Collaborative events and fairs
Collaborative environmental initiatives

Councils, committees, opinion exchange
meetings, personnel exchanges
Conclusion of agreements, collaborative
events and initiatives
Debriefings and information exchange
meetings
Conclusion of agreements, collaborative
events and initiatives
Collaborative, cooperative support for solving Opinion exchange meetingssocial and environmental issues
Support through monetary and productdonationsSocial contribution activities andSolving social and economic issues
participation in the local community
Contributing to regional revitalization andConnecting with local residents throughdevelopment and collaboration with local
eventscommunities
Health seminars
Promoting health and educating the next
generation on hygiene and cleanliness
Disaster relief
Proposing educational curriculums
Supporting science classes
Environmental education
Forest maintenance activities
Consideration for the natural environment
Environmental beautification activities
Biodiversity conservation
Conservation activities with local residents

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Stakeholder

Major responsibilities
Providing a comfortable working
environment for employees.
Support for job satisfaction

Employees

Building good relationships
Fostering an organizational culture thatencourages innovation
Fair evaluation and treatment
Improving the employee benefits system
Utilizing and developing human resources
Promoting occupational safety and health
Promoting and managing healthRespecting human rights
Respecting diversity

Main engagement opportunities
Internal communications throughnewsletters, Group intranet, etc.
Employee awareness and behavior surveys
Compliance Awareness Survey
Roundtable with the President to exchange
ideas with management
Creating new businesses through the newvalue creation program
Labor-management meetings
Individual interviews
Various educational programs and training
for skills acquisition and ability
development
Rank-specific training
Workplace accident prevention program
e-learning training
Health checkups, dental checkups
Compliance consultation and whistleblowing system (AL Heart Hotline)
e-learning training* The process in which a company actively engages with its stakeholders through dialogue and other means to achieve mutually acceptableoutcomes in order to fulfill its corporate social responsibility (see the Japan Business Federation’s Implementation Guidance on Charter ofCorporate Behavior, 7th Edition)

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Stakeholder Dialogue

Lion regards dialogue with stakeholders as a valuable opportunity for seeing how its aspirations as a company comparewith society’s demands and calibrating its sense of balance as a good corporate citizen.
In recent years, in light of the growing importance of responding to new demands from society, we hold study meetings for
management as part of our stakeholder dialogues. These meetings bring together outside experts with Lion’s top
management to discuss sustainability topics directly related to corporate operations. The suggestions and opinions
expressed in these dialogues are reflected in Lion’s operations and used to further promote sustainability activities.
In May 2022, we held a study meeting on the topic of respect for human rights, which has been attracting attention as amajor social issue in recent years. At this meeting, an outside expert specializing in human rights served as an instructor,
leading discussion with Lion’s chairman, president, directors, Audit & Supervisory Board members and executive officers.
We will continue working to understand and meet the needs of our customers and society through a variety of forms of
dialogue with stakeholders.
Implemented
2022
2021
2020
2019

Participating stakeholders

Theme
Respect for human rights (United Nations Guiding
Principles on Business and Human Rights)—Why it isOutside experts
crucial to strengthen initiatives to ensure respect forhuman rights now
An NPOThe Okuchikarada Project for children (Inclusive oral care)
Outside experts, employees Spreading awareness of sustainability
Outside experts
ESG-oriented management
Outside experts
Promoting sustainability-oriented management

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Social Contribution Activities
Overview
Initiatives with Local Governments
Approach
Initiatives Supporting Education
Sports Promotion Activities
Working Towards Gender Equality
Collaboration with Local Communities
Donation Activities (Philanthropy)
Overseas Social Contribution Activities

ApproachSince its founding, Lion has sought to help consumers enjoy healthy living through the provision of products while carryingout educational activities and communication aimed at creating better living habits.
In Japan and other Asian countries, Lion is engaged in initiatives that contribute to the sustainable development of society
and the global environment through the areas of health, comfort and cleanliness. We believe that our continued businessviability depends on co-existing harmoniously with the communities in which we are involved, such as those where Lion
facilities are located. We therefore strive to help solve issues in and invigorate local communities by strengthening
partnerships with local residents, government agencies and citizens’ groups. In addition, by increasing opportunities forevery employee to get involved in business-related educational activities, we foster human resources that create new value
informed by a high level of social and environmental awareness.

Overview

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Lion Sustainability Website 2022

Initiatives with Local Governments
Ishinomaki City, Miyagi Prefecture

Lion’s founder, Tomijiro Kobayashi, had close ties to Ishinomaki City. Honoring thisconnection, Lion has continued to pursue recovery support initiatives in the city since
the Great East Japan Earthquake in 2011.
In January 2019, Lion formed a comprehensive collaboration agreement with the city
to promote the health of city residents and revitalize the area using its accumulated
health improvement expertise. We will continue to implement a variety of initiatives
based on employee participation.

Oral healthcare leader
development lecture

Lion’s initiatives to promote recovery from theGreat East Japan Earthquake

Yamanashi City, Yamanashi Prefecture

Under the first of the Company Forest Promotion Projects being promoted by
Yamanashi Prefecture, Lion employees engage in forest maintenance activities andbuild relationships with local residents.
Forest maintenance activities

Lion Forest in Yamanashi

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Sakaide City, Kagawa Prefecture

The KireiKirei City-Sakaide Project is an initiative being implemented by Sakaide City,
the Lion Chemical Co., Ltd. Oleochemical Production Site and Lion to improve thehealth of the citizens of Sakaide City by establishing good hand and oral hygiene
habits.
Booth at Sakaide City’s
Happy Festaoral health promotion event

KireiKirei City-Sakaide Project [Japanese]

Sumida-ku, Tokyo

In 2020, Lion formed an agreement with Sumida-ku, Tokyo, where its headquarters is
located, to collect and recycle used toothbrushes in order to promote plastic recycling.
The Sumida-ku government set up toothbrush collection boxes at a total of 85
locations, including city offices and all public elementary and junior high schools in thearea. The toothbrushes collected are regularly taken to a designated recycling partner,
where they are recycled into other plastic products.
As part of this initiative, Lion is providing its products (such as new toothbrushes) andinstruction on correct tooth brushing to children at non-profit children’s facilities in thearea, helping to spread and firmly establish healthy oral care habits.

Used toothbrush collection box

Signing the agreement

Collection box set up in the
Sumida-ku City Hall

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Lion Sustainability Website 2022

A visit to a participating
elementary school

An elementary school student
showing off his new ruler

Completed 15 cm rulers

Toothbrush Recycling Program

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Lion Sustainability Website 2022

Initiatives Supporting Education
Employee Participation

As part of Lion’s training program, junior employees go to kindergartens and preschools across Japan to teach children
about the importance of hand washing through fun song and dance activities. In addition to providing products, these
activities play a role in promoting self-directed cleanliness and hygiene habits. Lion is proactively implementing these
activities, which not only serve communities, but contribute to human resource development. By participating in these
initiatives, employees learn about social issues through direct contact with communities and improve their problem-solving
skills, teamwork skills, sensitivity and empathy in addition to increasing their awareness of the importance of contributing
to society.

Supporting Science Education

Education Support Activities for Science Students

One example of how Lion supports science education is by conducting experience-based lessons for high school students
from Super Science High School designated schools,* helping these students to deepen their knowledge, and by offering
tours of the Research and Development Headquarters that cover the history of Lion’s technological development, themotivations of the developers and the technologies used in Lion products in order to foster their interest in science. Because
students are able to hear from researchers directly, these events help students develop a sense of what it is like to work inresearch.
Online classroom performance trends
2020
Times conductedParticipants

2022

2021
1
23

6
117

（3/31時点）

383* The Ministry of Education, Culture, Sports, Science and Technology has implemented the Super Science High School program since 2002 tocarry out research and development focused on math and science education with the goal of developing future international scientists andengineers. Under the program, upper secondary schools providing advanced math and science education are designated as Super Science
High Schools and receive special support.

Super Science High Schools (SSHs) [Japanese]“Rico-Challe” Training Event Participation

Since 2019, Lion has been holding events to support “Rico-Challe,” a campaign to support female junior high, high school
and university students choosing STEM fields being implemented by the Gender Equality Bureau Cabinet Office, the Ministryof Education, Culture, Sports, Science and Technology Education Policy Bureau and the Japan Business Federation. In 2021,
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Lion Sustainability Website 2022

Lion held its first online event, which was attended by 105 female junior and senior high school students from all over Japan
as well as participants from overseas. By teaching participants about work in Lion’s research institutes and plants, we aim toprovide them with useful information that will inform their academic choices. Lion will continue to organize and participatein events in 2022.

Instructor during an online classStudents taking an online classRico-Challe [Japanese]

Volunteer Researchers Conduct Science Classes

Edogawa-ku, where Lion’s Hirai Research Center is located, has been conducting an ongoing science education center
project for more than 50 years, in which the ward, schools, and local residents collaborate to teach children about the
fascinating scientific phenomena happening around them. For more than 15 years, we have been holding science classes forelementary school students to familiarize them with interface science, which is the foundation of Lion’s products, and tohelp them become familiar with science in their daily lives. The program was suspended at the elementary schools in 2020–
21, but will be held for the first time in three years in 2022.
Click here for more research institute activities

Sports Promotion Activities
Activities of Lion’s Rugby Club

Lion’s rugby club is celebrating its 50th anniversary in 2022. We would like to take this opportunity to thank the many
people who have continued to support us and help us achieve this milestone. We would like to express our sincere
gratitude. Every spring, the club holds the Lion Rugby Festival at the Chiba Plant sports field to build relationships with local
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Lion Sustainability Website 2022

residents, children of a local rugby school, coaching staff, and many parents. To prevent the spread of COVID-19, club
activities were suspended since 2020, but was resumed in 2022 for the first time in about three years. At the rugby classes
held here, our current players, who go by the team name "Lion Fangs," teach rugby skills in an easy-to-understand manner
to ruggers ranging from kindergarteners to upper elementary and junior high school students.
At the rugby classes held by the club, current players on the Lion Fangs team teach real rugby skills in an easy to understandway to young athletes ranging from kindergarteners to upper elementary and junior high school students.
Since 2012, as part of Lion’s project to promote recovery from the Great East Japan Earthquake, the rugby club has been
holding rugby classes in the city of Ishinomaki, as well. However, from 2020, these activities have been suspended due tothe COVID-19 pandemic. As soon as the situation settles down, we will resume these activities, and all of the Lion Fangs
members are looking forward to that time.
Rugby Lesson Participants
2017
Participants

Chiba
Ishinomaki

2018

2019

2020

Approx. 450 Approx. 500 Approx. 700 Suspended
Approx. 100 Approx. 80 Approx. 90 Suspended

2021
Suspended
Suspended2022（5/31時点）

Approx. 600-

Activities at the Chiba Plant

Activities in Ishinomaki

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Lion Sustainability Website 2022

Lion Fangs [Japanese]

Other Sports Events Supported by Lion

Lion Cup Top 32 Table Tennis Tournament[Japanese]

RCC Hiroshima Women’s Ekiden (long-distance
relay race) [Japanese]

RKK Women’s Ekiden (long-distance relay race)[Japanese]

All Japan IAIDO TAIKAI (kendo tournament)[Japanese]

Walking Event [Japanese]

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Lion Sustainability Website 2022

Working Towards Gender Equality
Kaji × Kaji Happy Share Project

Lion is promoting the Kaji × Kaji Happy Share Project in partnership withmunicipalities and companies across Japan with the aim of eliminating the “choregap” in households. By helping foster smoother relations within households in thecommunities where we promote this project, we are supporting the resolution of avariety of social issues, such as women’s participation in the labor force and the lowbirth rate. Through this project, we are working with municipalities to provide useful
information not only to married couples, but broadly throughout communities.

Household chore seminarin Saga Prefecture

Kaji × Kaji Happy Share Project [Japanese]

Collaboration with Local Communities
Plant Tours

Lion considers plant tours to be an important contact point between customers and the Company. So that customers can
get to know Lion products and witness the extremely high priority the Company places on safety and environmental
conservation in its operations, we welcome many visitors to the plants every year. Plant tours have been suspended since
February 2020 to prevent the spread of COVID-19.

Odawara Plant ①

Odawara Plant ②

Chiba Plant

Akashi Plant

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Lion Sustainability Website 2022

PlantPlant tours
Participants2020 Plant Tours(January 1, 2020 to December 31, 2020)
Chiba
Odawara
Osaka
3
11
5
50
231
126

Akashi

7
150

Total

26
557

Chiba Plant
Odawara Plant
Osaka Plant
Akashi Plant

Environmental Beautification Activities

Cleanup Activities Near Plants and Offices

Valuing communication with local communities, Lion Group plants and offices proactively engage in cleanup activities notjust within their own grounds, but in the surrounding areas, as well.

Cleanup activities near the Akashi Plant

Cleanup activities near the Odawara Plant

Cleanup activities near the Chiba Plant

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Lion Sustainability Website 2022

Cleanup activities at a seaside park near the Fukuoka Office

In addition to those shown above, Lion is implementing cleanup activities around the Sapporo Office, Tokyo Office, Nagoya
Office, Osaka Plant, Lion Chemical Co., Ltd. Fine Chemical Production Site and Oleochemical Production Site, and Lion
Specialty Chemicals Co., Ltd. Ono Plant and Yokkaichi Plant.

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Sekiguchi River Cleanup Participation (Odawara Office Site)

The Odawara City Kouzu Ward Neighborhood Association holds an annual cleanup of the Kouzu Coast. Lion employees in
Odawara have been participating in the cleanup activities since 2003. In 2008, the location of the cleanup was changed to
the nearby Sekiguchi River. We have continued participating in the cleanup every year. However, the activity has beensuspended since 2020 to prevent the spread of COVID-19.

Participants

Employees engaged in cleanup
activities①

Employees engaged in cleanup
activities②

2017

2018

27

43

2019

36

Kamisu City Coastal Cleanup Activities (Lion Chemical Corporation Fine Chemical Production
Site)

The Lion Chemical Corporation Fine Chemical Production Site has been conducting cleanup activities with employees andlocal residents on the Kamisu City coastline (Hikawa and Hasaki beaches) every June since 2009 as part of our community
contribution activities.

Participants

Wearing matching green T-shirts
during cleanup activities

Employees engaged in cleanup
activities

2017

2018

51

70

46

2019

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Lion Sustainability Website 2022

Biodiversity Conservation Activities at Lion’s Operating Sites

Lion provides a wide variety of products that support daily living based in significant part on value derived from nature.
In addition to striving to use resources in a sustainable manner, Lion is engaged in biodiversity conservation, aiming foreach employee of Lion’s operating sites to proactively contribute to the realization of a society in harmony with nature.

Biodiversity Conservation Initiatives

Other Events Supported by Lion

Lion Chura Action

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Donation Activities (Philanthropy)

Every year, Lion surveys the domestic Group on the implementation status of social contribution activities to collect andmanage data on monetary and product donations for and spending on each activity.
The total amount spent on social contribution activities in fiscal 2021 was approximately ¥778.2 million.
Fiscal 2021 expenditure on social contribution activities (Millions of yen)

* Monetary donations include donations to the Lion Foundation for Dental Health (LDH)[Japanese]

2018
655million yen
20187,426hours

Social Contribution Activity Expenditure
2019
2020
519million yen
1,041million yen

2021
778.2million yen

Hours Volunteered by Employees During Working Hours
2019
2020
5,956hours
1,923hours*

2021
1,053hours** In 2020 and 2021, volunteer hours were decreased to prevent the spread of COVID-19 pandemic.

Overseas Social Contribution Activities
Initiatives at overseas Group companies

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Lion’s SDG-Related Initiatives

Since its foundation, Lion has been promoting awareness-raising activities and information provision for consumers whiledeveloping products that support healthier daily living and proposing the creation of better living habits. Deeply aware thatthe pollution of the global environment is a worldwide issue, we have long strived to respond to environmental concerns,
for example, by developing environmentally friendly products.
Responding to evolving social issues while contributing to each new day in order to create a brighter future for all—this is
the unique contribution Lion can make to the achievement of the Sustainable Development Goals (SDGs).*
Lion alone can only contribute so much to the achievement of the SDGs. In promoting activities, we work to solve problems
through partnerships with a wide range of stakeholders, including consumers, other companies, NGOs, NPOs, government
agencies and municipalities.

* The SDGs are the 17 goals for the period from 2016 to 2030 described in the “2030 Agenda for Sustainable Development” adopted by 193
participating countries at the United Nations Summit in September 2015. (Based on information from the website of the United Nations
Information Centre)

Lion’s Sustainability 2022: SDG-Related Initiatives

In October 2022, Lion published “Lion’s Sustainability 2022: SDG-Related Initiatives.” This document highlights Lion’s
activities from an SDG-centric perspective.
A3-size LION's SUSTAINABILITY 2022 (for viewing) [Japanese] (11.0MB)
A4-size LION's SUSTAINABILITY 2022 (for printing) [Japanese] (11.5MB)

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SDGs: Lessons for the Future

The YouTube channel SDGs MIRAI KAIGI features videos that explain the SDGs for children. The channel includes a series ofvideos called “SDGs: Lessons for the Future,” beginning with a video explaining what the SDGs are and explaining each of
the 17 SDGs in an easy-to-understand way.

The channel also offers a series of videos highlighting companies implementing SDG-related initiatives. These videos are
aimed at helping children understand the SDGs as something familiar and relevant to their lives and help them think about
their own futures by showing actual initiatives being undertaken by companies to solve social issues. Lion's initiatives
regarding SDGs are featured as follows.

Video about Lion’s SDG-Related Initiatives [Japanese]
Initiatives to create a healthy future from oral healthVideo about Lion’s SDG-Related Initiatives[Japanese]
Initiatives to reduce plastics and the importance of hand washinghabits74

Lion Sustainability Website 2022

Lion’s SDG-Related Initiatives
Creating Healthy Living Habits

Lion is advancing the goal of creating healthy living habits, the foundation of health, in order to help achieve health,comfort and cleanliness in everyday living.

① Promoting oral healthcare

Lion is working to promote the establishment of good oral healthcare habits. To this end, in addition to developing andproviding products and services, we implement activities to promote oral healthcare at all stages of life, from infancy to oldage.

Main Activities

Preventive Dentistry (Self-Care/ Professional Care)
Oral Health Event of Tooth Brushing for Children (since 1932)
Inclusive Oral Care

② Promoting cleanliness and hygiene habits

Aiming to realize health, comfort and cleanliness in everyday living for consumers, Lion implements initiatives incoordination with national and local governments, focusing mainly on promoting proper hand washing habits.

Main Activities

Establishing Cleanliness and Hygiene Habits
Hygiene and Health Care in Times of Disaster
Hand Hygiene Management for Professionals

Promoting Environmental Initiatives for a Sustainable Planet

Driven by our purpose, we work with consumers to create environmentally friendly habits in order to continuously offer
planet-friendly lifestyles that make living more sustainably easy, striving to contribute to the environment not only in Japanbut across Asia.

③ Environmental protection activities

Lion’s products, used for such purposes as tooth brushing and washing, are deeply connected to environmental issues inareas related to CO2, plastics and water resources. Accordingly, to realize a decarbonized, resource-circulating society, Lion
proactively carries out environmental protection activities.

Main Activities

Lion’s Environmentally Friendly Products
Water Resource Conservation Activities (Forest Maintenance Activities at the Lion Forest in Yamanashi)
Toothbrush Recycling
Biodiversity Conservation Activities (Promoting Various Activities at Business Locations)
Chura Action (Support for Eco-Activities of Children Nurturing the Future of Okinawa)

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Creating Healthy Living Habits

Creating Healthy Living Habits

Sustainability Material Issues ２ Creating Healthy Living Habits

Basic Approach

The Lion Group, in providing daily commodities and services, plays an important role in society, and we believe thatenhancing basic living habits that directly contribute to health, like tooth brushing and hand washing, is at the core of ourvalue creation. As awareness of and social demands related to health and hygiene continue to grow, we will contribute to
the creation of healthy living habits for 1 billion people in our business areas by further promoting and advancing our
purpose, “Make a difference in everyday lives by redesigning habits: ReDesign.”

The Lion Group’s initiatives leading up to 2030

Initiatives
Initiatives to Establish Oral Care Habits

Initiatives to Establish Cleanliness and Hygiene
HabitsThe Lion Group’s Social Contribution Activities

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Creating Healthy Living Habits

Initiatives to Establish Oral Care Habits

Sustainability Material Issues ２ Creating Healthy Living Habits
Preventative Dentistry (Self-Care)
Preventative Dentistry (Professional-Care)
Approach
Inclusive Oral Care
Research and Academia (Preventive Dentistry Research)

Approach

To date, the Lion Group has worked to establish tooth brushing habits to maintain and improve overall oral health, including
the prevention of cavities and gum disease. With the theme of “realizing healthy minds and bodies,” we will strive to evolvethe idea of preventive dental habits through self-care that can be done at home as well as professional care through theguidance of dentists and dentistry experts. We will make use of AI and IoT to promote enjoyable preventive dentistry*
habits, while also broadening our solutions in other ways to benefit the lives of people. Furthermore, we will work with local
governments to promote preventive dentistry habits with people whom we previously have not been able to focus on. By
providing people with opportunities to engage in proper oral care, we will realize “Creatinghealthy living habits.”* The idea is that preventive dentistry focuses not on waiting to treat cavities until after they form, but preventing them before they can occur.

Preventive Dentistry (Self-Care)
Tooth brushing Song, Videos and Posters
Self-Care (Self-Implemented Preventive Dentistry)
Promoting After-Lunch Tooth Brushing
Promoting the Use of Dental Floss
Promotion of Periodic Toothbrush Replacement and Recycling
Development of Products and Services Using IoT and AI
Educational Activities to Promote Oral Care at Specific Life Stages
Developing Oral Healthcare Leaders
Corporate Oral Care Seminars

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Self-Care (Self-Implemented Preventive Dentistry)

Even if you take care to brush your teeth carefully, without the proper knowledge and techniques, you can still end up
leaving plaque behind. Establishing daily self-care habits in line with the principles of preventive dentistry is key toeffectively managing and maintaining oral health.
The Lion Group is implementing a range of initiatives to promote brushing techniques that effectively remove plaque alongwith new habits that help foster awareness of preventive dentistry based on an understanding of one’s own oral conditions.

Tooth Brushing Song, Videos and Posters

In order to help elementary school-aged children acquire correct and thorough tooth brushing habits in a fun way, Lion has
created a tooth brushing song with lyrics about the steps of tooth brushing, videos featuring the song as well as posters withthe brushing steps. One of the videos is instructional and teaches children the proper brushing method and steps, andanother is a fun animated version for children to watch once they have learned how to brush.

“Ee, Ha” Tooth Brushing Song Lyrics and Composition: Yoshida Yamada

Download the lyrics [Japanese]

Video (instructional version) [Japanese]A dental hygienist teaches key points and demonstrates the brushing steps while following along with the song.
* Recommended for children who are still learning how to brush.

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Lion Sustainability Website 2022

Video (animated version)

This animated video is designed to help children enjoy forming tooth brushing habits.
* Recommended for children who have already learned how to brush.

Tooth Brushing Steps Poster

Art: Yoshitaka Yamada (Yoshida Yamada)Children can check the steps and key points of tooth brushing with the lyrics on the poster.
Character design: Yoshitaka Yamada (Yoshida Yamada)

Download A1 version [Japanese]

A3 version [Japanese]

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Promoting After-Lunch Tooth Brushing

Lion is advancing initiatives to promote after-lunch tooth brushing, aiming to help
establish the habit of brushing three times a day.
With more women entering the workforce, the employed population in Japan has beensteadily rising. Today, approximately 60% of those over the age of 15 are employed(Fiscal 2018 Labour Force Survey, Japan Statistics Bureau). While many consumers
spend their afternoons in the workplace, only 40% of workers in offices and similar
environments report regularly brushing their teeth after lunch, while another 22%
report wanting to but not actually doing so (Lion survey).
To address the needs of working people, Lion launched MIGACOT, an oral care set
designed for tooth brushing at the office that includes a cup. Lion is promoting thisproduct along with educational activities to spread the mindset that brushing one’s
teeth after lunch is a normal part of the workday among as many people as possible.

Related Information: Co-Creation Space: point 0 marunouchi (Demonstration 1: Office toothbrush set)

Promoting the Use of Dental Floss

Under the theme "Taking preventive dentistry a step forward," we promote initiatives to communicate the necessity andbenefits of preventive dentistry.
One of the key points of effective oral self-care is to completely remove all dental plaque. Only about 60% of the plaque that
forms between the teeth can be removed using a toothbrush alone. The combination of toothbrush and dental floss,
however, improves plaque removal by 50%.
In addition to providing products for children old enough to floss (those in elementary school and above) and otherconsumers who may not be used to using dental floss, Lion carries out activities to promote the necessity of using dental
floss and correct flossing techniques.** Lion holds the Oral Health Event of Tooth Brushing for Children every year to provide a fun opportunity for elementary school students tolearn how to use dental floss and brushing techniques suited to the arrangement of their own teeth.

CLINICA ADVANTAGE Smooth and Slim Floss

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Promotion of Periodic Toothbrush Replacement and Recycling

Contributing to the SDGs by realizing “Good for the mouth!” and “Good for the Planet!”

Since its founding, Lion has worked to promote healthy oral care habits among consumers. In recent years, marine plastics
have become a major social issue. As a leader in oral care and a manufacturer, Lion recognizes that it has a duty to address
the issue of plastic recycling. By focusing on toothbrushes, which account for more plastic use than any other Lion product,
we are working to contribute to the formation of healthy consumer living habits while helping to reduce environmental
impact.

Instituting Toothbrush Replacement Day

Over time, regular use of a toothbrush causes the bristles to splay apart, reducing the brushing efficacy. According to a Lion
survey, only about 40% of consumers replace their toothbrushes every month.* Those that do not give such reasons as “It’swasteful to throw it out,” and “I wasn’t aware that the brushing effectiveness diminishes.”* Although the exact timing may vary by individual, we generally recommend replacing your toothbrush every month.

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In February 2018, we designated the 8th of every month Toothbrush Replacement Day*and started calling for monthly toothbrush replacement.
To expand this program, we are collaborating with business partners by developing instore point-of-purchase displays to remind consumers to replace their toothbrushes on
the 8th of every month and creating posters promoting periodic toothbrush
replacement for use in dental clinics.
Lion will continue these activities to promote toothbrush replacement with ourbusiness partners and dental clinics so that monthly toothbrush replacement becomesa regular habit.
* This day was registered and certified by the Japan Anniversary Association on December 27, 2017, and has been established as a new annual
event.

News release: New Habit! Start Your Own Personalized “My Brush Day” on the First Day of the Month! [Japanese]

Promoting Toothbrush Recycling

There is a concern that an increase in the frequency of toothbrush replacement due tothe promotion of toothbrush replacement could lead to a rise in waste.
Addressing this concern, and in light of problem of marine plastics in recent years, Lion initiated its Toothbrush Recycling
Program,* a first in Asia, to collect and recycle used toothbrushes, which had previously just been thrown away, incooperation with TerraCycle Japan. Furthermore, in 2020, we launched a toothbrush recycling initiative in coordination withmunicipal garbage collection operations, a first in Japan. Adopting the perspective that each consumer who participates in
toothbrush recycling is an important partner, we are moving forward with the aim of realizing a resource-circulating society.

Toothbrush recycling activities

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Development of Products and Services Using IoT and AI

CLINICA Kid’s Hamigaki no Okeiko

Lion developed CLINICA Kid’s Hamigaki no Okeiko, an IoT toothbrush linked to an app that helps children learn theimportance of tooth brushing and correct brushing techniques in a fun way in order to form healthy tooth brushing habitsfrom a young age. In developing this product, we put particular emphasis on offering an experience that would encouragechildren to take the initiative themselves in tooth brushing. Specifically, we ran trials in which children tried using
prototypes for a day, a week or a month. This allowed us to identify increasing motivation to brush one’s teeth, learning
tooth brushing techniques and getting better at tooth brushing as important areas in which we could provide value throughexperience. With guidance from pediatric dentistry experts, we developed a toothbrush attachment that contains anaccelerometer to sense toothbrush motion as well as an app that uses a picture book format to make it easy for children tounderstand the importance of tooth brushing and feel a clear sense of satisfaction and progress. Through a development
process prioritizing the consumer’s perspective, we are contributing to the formation of healthy tooth brushing habits inchildhood and thus making a difference in everyday lives.

CLINICA Kid’s Hamigaki no Okeiko

CLINICA Kid’s Hamigaki no Okeiko[Japanese]

HAGUKI CHECKER

Aiming to increase awareness of preventive dentistry, in 2019, we launched HAGUKI CHECKER,*1 an online tool that checks
the state of users’ teeth and gums. Users simply use a smartphone or other device to take photos of the inside of theirmouths, including the teeth and gums, and upload them to HAGUKI CHECKER. The online service then uses AI to identify
individual teeth and check the state of the gums around each tooth (receding, dullness, swelling). Since its launch,approximately 16,000 people*2 have used the service.
In February 2022, we have signed a comprehensive partnership agreement with Koshi City in Kumamoto Prefecture toprovide citizens with opportunities to think about their own oral health by answering a simple questionnaire, either athome or on the go. We plan to use technologies that leverage machine learning to process data on gum conditions from thesmart app HAGUKI CHECKER, as well as health checkup data, to visualize participants’ level of oral health.
By helping consumers see and understand their own oral environments, HAGUKI CHECKER sparks greater interest in thestate of their gums. Periodic use over time can help consumers see the effects of changes in their oral care habits by forexample, making changes to their gums more readily apparent.
News release:Comprehensive Partnership Agreement with Koshi City, Kumamoto Prefecture, for Community Developm
ent*1 Developed based on Lion’s data and expertise, and created using the AI image analysis technology of Automagi Inc. and the service
development technology of MTI Ltd.
*2 Figure for July 22, 2019 to December 26, 2019.

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Items Checked

HAGUKI CHECKER provides an analysis of the state of the user’s
gums around each tooth, evaluating the following three factors
on a three-point scale.
Gum recession
Gum dullness
Gum fullness
The service also provides information about care methods, oral
care products and other aspects of oral care in line with theanalysis results.
HAGUKI CHECKER

Educational Activities to Promote Oral Care at Specific Life Stages

Daily oral care is an important habit that affects lifelong health. Forming healthy oral care habits from a young age is crucial.
Lion believes that practicing self-care at all life stages is important. In order to firmly establish healthy oral care habits
appropriate to the needs of specific life stages, Lion is advancing initiatives in cooperation with external organizations,
including government bodies, schools, hospitals and dental clinics. In addition, Lion supports the oral care promotion
activities of The Lion Foundation for Dental Health (LDH).
* Established in 1964, the Lion Foundation for Dental Health (LDH) changed its status to a public interest incorporated foundation in 2010.
Lion fully supports LDH’s activities to promote oral care awareness and education. LDH coordinates with the Japan Dental Association,
universities, governmental bodies and other partners to help maintain and improve the dental and oral health of consumers through its
three projects. By doing so, LDH stays at the forefront of oral health, contributing to society by helping to improve the quality of life of all
people.

The Three Projects of LDH

Maternity

Lion runs the dentistry information website ORALcom, where it offers answers to common questions about issues related tothe oral health of expectant mothers and infants.

Infancy

Promoting Preventive Dentistry from Age 0

Lion aims to help establish preventive dentistry habits from as early in a child’s life as possible. To this end, Lion developed
the Safety Handle Toothbrush, which enables preventive dentistry from age 0. We believe that time spent on parent-assisted
brushing is a valuable opportunity for deepening parent-child bonds. To spread this idea, we are providing information
through videos designed to spread empathy [Japanese] and the website “HA!HA!HA! Park,” which encourages preventive
dentistry efforts for children. We also distribute a booklet titled “Preventive Dentistry from Age 0” to dental and obstetrics
clinics across the country, aiming to help caregivers obtain the correct knowledge they need.
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The “Preventive Dentistry from Age 0” booklet provides information about toothbrushing techniques for each stage of development

Elementary school students

The Oral Health Event of Tooth Brushing for Children—Reaching a Cumulative Total of More Than
2,460,000 Children in and Outside JapanThe Oral Health Event of Tooth Brushing for Children, started in 1932, is held every year for elementary school students
during Dental/Oral Health Week (June 4th to 10th). For the 79th event in 2022, participating schools choose a date toparticipate and took part by watching an approximately 40-minute long educational DVD. Approximately 250,000
elementary school students attending a total of 4,585 schools participated in 2022, including students in Japan and other
Asian countries. The theme of the 2022 event was “Brush Up Your Teeth and Yourself.” Prepared with editorial supervisionfrom Meikai University President Toshikazu Yasui, the program focuses on the gums, including learning about individual oral
conditions and using dental floss. In addition to promoting understanding of preventive dentistry, the program taught
students about the importance of consistency through oral care, a central part of healthy living habits.
Cumulative participants: 2,460,000

The Oral Health Event of Tooth Brushing for Children in Japan and other Asian countries.
The Oral Health Event of Tooth Brushing for Children in Japan and other countries(mainly in Asia)

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KidZania

Lion has provided dental clinic-themed pavilions at KidZania Tokyo since 2006 and at KidZania Koshien since 2009. Thesepavilions have been popular with kids. At them, children can choose from two activities: the “Dentist” experience or the“Dental Hygienist” experience. These allow them to experience what it is like to work in these jobs.
At the pavilions, kids first undergo “training” as dentists or dental hygienists, learning about the importance of teeth taking
care of their own oral health and hygiene. Then, they use tools that are nearly identical to the real things, including
polishers and dental vacuums, to treat cavities and apply fluoride treatments to patients (training mannequins used in
dentistry schools) in the dentist’s chair. For completing their work, they receive a salary paid in the official currency of
KidZania, usable at other pavilions.
After their work experience, kids have commented that “treating cavities seemed really difficult,” and “adult teeth don’t
grow back, so I definitely want to brush well and make sure I don’t get any cavities.” The dental clinic pavilions thus appear
to be effective in communicating the importance of cavity prevention and oral health.

The Dental Clinic pavilion at
KidZania Tokyo

Kids treating a cavity on amannequin

The Dental Clinic pavilion at
KidZania Koshien

Kids undergoing training

Developing Oral Healthcare Leaders

Lion seeks to promote preventive dentistry practices that consumers can performthemselves. To this end, in communities with which we have formed partnerships, wehold oral healthcare leader development lectures to empower local governments, asoral healthcare leaders, to provide residents with tooth brushing information andpractical techniques that can be beneficial to overall health. We are currently carryingout these activities in the cities of Ishinomaki and Sakaide.

Oral healthcare leader development
lecture in Sakaide

Ishinomaki
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Corporate Oral Care Seminars

Lion offers dental and oral health seminars for corporate and municipal employees. We are committed to helping people
develop healthy habits starting with the mouth and to promoting oral healthcare.

For companies, health insurance societies andmunicipalities
Lion Oral Care Seminar [Japanese]

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Preventative Dentistry (Professional-Care)
Professional Care (Preventive Dentistry Implemented by Dentistry Specialists)
Salivary Multi Test (SMT)Supporting the Implementation of Preventive Dentistry at Dental Clinics: L-Support

Professional Care (Preventive Dentistry Implemented by Dentistry Specialists)

The alignment of the teeth and other oral conditions are unique to each individual. Receiving professional care fromdentists or dental hygienists is crucial—not just to treat dental problems, but to prevent issues like cavities and gum disease
before they arise. Such care includes fluoride treatments and instruction on brushing methods suited for one’s own oral
conditions. In addition, it is best to get regular checkups at a dental clinic two to three times per year to check the state ofyour oral conditions, including the health of the teeth and gums. Lion promotes the habit of receiving regular professional
care.

Salivary Multi Test (SMT)

SMT is a five-minute testing system that can measure the levels of six analytes related to dental and gum health (cariogenic
bacteria, acidity, buffer capacity, leucocytes, proteins and ammonia) in saliva collected by rinsing the mouth with 3 ml ofdistilled water. This allows dentists or dental hygienists to provide immediate feedback to their patients as part of a dental
checkup. Knowing objectively their oral health conditions helps motivate patients to engage in preventive dentistry.
Furthermore, as part of Lion’s efforts to promote preventive dentistry, this test is incorporated into the Company’s internal
dental checkups and utilized to establish good oral care habits among employees. Dental checkups with SMT are currently
suspended to prevent the spread of COVID-19.

Collecting a saliva sample afterrinsing

Measured with test paper andspecial equipment
Share measurement results

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Supporting the Implementation of Preventive Dentistry at Dental Clinics: L-Support

Lion Dental Products Co., Ltd.* operates L-Support, a program to support the implementation of preventive dentistry at
dental clinics.
The L-Support program provides information and services useful for regular patient care to registered clinics so that theycan effectively focus on preventive dentistry. The program offers seminars, video content and a dedicated website for
dentistry professionals, providing opportunities to gain a broad range of preventive dentistry knowledge, including about
oral care products for dental clinics.

A preventive dentistry seminar

Using video content*Lion Dental Products Co., Ltd. [Japanese]

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Inclusive Oral CareTo ensure that anyone can develop effective oral care habits, we are increasing opportunities for people to learn about oral
care through the Inclusive Oral Care project as a way to tackle social issues. In Japan, the relative poverty rate amongchildren (13.5%*1) is becoming a public concern. Children of economically disadvantaged families have inferior healthhabits and fewer beneficial experiences*2 than the children of more affluent households. There is also a correlation between
poverty and cavities, with children of economically disadvantaged families more likely to have unhealthy teeth. Based on
the “Dental and Oral Health” concept, we developed an experience-based program called the Okuchikarada Project. With
employees acting as volunteers, we are working with NPOs and local governments at children’s cafeterias to promote
preventive dentistry habits and boost children’s self-esteem.

*1 Percentage of children under 18 who live in relative poverty (FY2019 Comprehensive Survey of Living Conditions, Ministry of Health, Labourand Welfare)*2 Receiving praise from others, communicating with adults, acquiring life skills, etc.

Inclusive Oral Care [Japanese]

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Research (Preventive Dentistry Research)
Partnerships in Industry and Academia

The Lion Award

Partnerships in Industry and Academia

Our society and ways of living are changing rapidly as we face such increasingly serious social issues as low birth rates, anaging population, declining population and the depletion of resources on the one hand and dramatic technological progressin such areas as AI and IoT on the other. In order to keep up with these changes and continue supporting the public’s health,
we are focusing on not just providing goods but offering new value to our customers. Open innovation through partnerships
with external organizations, such as government agencies and other companies, is key to this endeavor. One example ofopen innovation is the joint research we are conducting under the auspices of the Center of Innovation Science andTechnology based Radical Innovation and Entrepreneurship Program, known as COI STREAM.** The Center of Innovation Science and Technology based Radical
Innovation and Entrepreneurship Program (COI STREAM) is a program
launched in 2013 by the Ministry of Education, Culture, Sports, Scienceand Technology (MEXT) to help revitalize Japan’s economy. Focusing on
a vision of society a decade in the future, COI STREAM is aiming, throughindustry-academia collaboration, to realize radical innovation that isdifficult for industry or academia to accomplish alone. To that end, COI
STREAM has established innovation platforms—COI sites—at 18 locations
across Japan to drive industry-academia collaborative research. Lionhas been participating in such research with Hirosaki University, a COI
site location since 2015.
The Hirosaki University COI project (2013-2021) was an innovative social platform for the creation of “sukoyaka-ryoku,”
meaning the ability to maintain health. It focused on the research, development and commercialization of solutions thatuse health-related big data to detect early signs of conditions like dementia and lifestyle-related diseases as well as toprevent their onset. One of the primary motivators of this platform initiative was the fact that Aomori Prefecture, in which
Hirosaki University is located, has the lowest life expectancy of any prefecture in Japan. Aomori Prefecture has an aging
population and higher risks of age-related disease and lifestyle-related diseases than the norm. For many years, the average
life expectancy in Aomori has been the lowest among all prefectures for both men and women.
Hirosaki University has set the goal of reversing Aomori’s reputation for short life expectancy and is currently running alarge-scale health examination program for the residents of the Iwaki district in the city of Hirosaki. Each year, around 1,000
residents take part in the Iwaki health exam, which has accumulated big data comprising approximately 2,000 data points
per patient on the health of more than 20,000 individuals. The Hirosaki University COI project used these health data sets as
the basis of its research, development and commercialization of unique health innovations that can come only from big data
insights from regions with short life expectancy. As a participant in this program, Lion engaged mainly in research into oral
health and sleep. Our aim was to understand how these two factors influence lifestyle habits, physical constitution andwhole body health and to develop and promote solutions that help extend healthy life expectancy.

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Designing a Dental Checkup System

Under the Hirosaki University COI project, a new health checkup system (quality of life system) that promotes healthconsciousness and lifestyle changes related to such conditions as metabolic syndrome, locomotive syndrome, dental/oral
conditions, clinical depression and dementia was developed. Lion was responsible for the dental/oral part of the healthcheckup. We assessed changes in examinees’ awareness and behavior based on an oral health program that consisted of
Lion’s proprietary Salivary Multi Test system (SMT), an intraoral camera that lets the examinees see the state of their own
teeth and gums, and a medical questionnaire.
Currently, many companies and local authorities omit dental checkups from their health checkup programs due to time
constraints, cost or the availability of dental clinicians. Lion aims to realize a reliable and easy to use dental checkup systemand, in the future, systems that will make it easier and more convenient to get dental checkups.

Oral Healthcare Studies Course Opened at Hirosaki University

Lion has established an ongoing new Oral Healthcare Studies collaborative research course from May 2016 to March 2022 at
the Hirosaki University Graduate School of Medicine for research into the ways that oral health and sleep are related to thehealth of the whole body. In recent years, it has been suggested that an individual’s intraoral condition and quality of sleep
may affect the health of their entire body and that good oral care may prevent lifestyle-related diseases. Offered inpartnership with the Aomori Medical Association and the Aomori Dental Association, this course searches for scientificevidence of these links, and the results of this research may provide the basis for the creation of new products and services.

Employee’s Perspective

Tatsuyuki Midorikawa,Research and Development Headquarters,
Business Coordination Department(Formerly the LIFE SCIENCE RESEARCH LABORATORIES)I started a two-year residency at Hirosaki University in April 2016. My job was toanalyze health-related big data with the goals of identifying the lifestyle habits andphysical constitutional factors that can cause sleep disorders and to elucidate therelationship between sleep and health. During my residency, I also visited Imabetsu,
Mutsu and other areas in Aomori prefecture to take part in health awareness activities
aimed at improving health literacy* in communities, workplaces and schools.
I have been inspired by the passion and commitment of the faculty, local residents, partner companies and local
governments working together on this unprecedented open innovation. All these groups are driven by the belief that good
health cannot be achieved without changing the way society works. I feel privileged to have been at the forefront of thisendeavor through the Hirosaki University COI Program to chart a new direction for the healthcare industry. I hope that thedata analysis work I have carried out will lead to the introduction of a new healthcare business that benefits society.
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The Lion Award

Lion established the Lion Award in 2001 to support the activities of academic associations and the development of young
researchers. The prize is awarded via the International Association for Dental Research, the world’s largest dental research
association, as well as, in Japan, the Japanese Society of Pediatric Dentistry, Japanese Society for Dental Health, JapaneseSociety of Gerodontology, Japanese Association for Oral Biology and Japanese Society of Periodontology. In the 20 years
since its establishment, the prize has been awarded to 209 researchers.
Lion Award

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Creating Healthy Living Habits

Initiatives to Establish Cleanliness and Hygiene Habits
Sustainability Material Issues ２ Creating Healthy Living Habits

ApproachSince the 1890s, Lion has implemented educational activities aimed at spreading the practice of washing with soaps anddetergents. Furthermore, since the 1990s, when group infections through food poisoning came to be seen as a social
problem in Japan, Lion has advanced the unique concept that washing with antibacterial hand soap can be fun, promoting
the formation of proper hand washing habits alongside its products.
We can work together to keep germs and viruses off of us and keep from bringing them into the places we live, work andplay. The first step is to wash our hands and gargle as soon as we get home.
To help realize healthy living for all, Lion seeks to help firmly establish basic habits like these. Lion has long carried out
activities to this end in Japan and across Asia.

Activity Policy

To establish cleanliness and hygiene habits, Lion’s policy is to foster proper habits that can be practiced anywhere, anytime.
In addition to fostering proper cleanliness and hygiene habits in everyday life with a focus on children, Lion promotes handcleanliness care that can be practiced when there is insufficient water for washing and the establishment of cleanliness andhygiene practices for food service professionals, such as those working at restaurants and hotels. In doing so, we seek to go
to consumers where they are, partnering with local communities, including government bodies and schools, to advance
employee-led activities together.

Initiatives
Establishing Proper Cleanliness and Hygiene Habits: Employee Participation / Promotion through Our
Businesses / Local Communities
Hygiene and Health Care in Times of Disaster
Hand Hygiene Management for Professionals

Establishing Proper Cleanliness and Hygiene Habits: Employee Participation

Lion implements activities to promote proper hand washing habits, mainly with the KireiKirei brand, aiming to realize
everyday health and comfort for consumers. We carry out activities to promote proper hand washing habits as part of junioremployee training. Every year, around 100 junior employees work in teams to teach children at kindergartens andpreschools around Japan the importance of hand washing.
Furthermore, we are helping increase awareness among employees through activities in coordination with retailers and byincorporating activities to promote proper hand washing habits at kindergartens and preschools into the training of junioremployees.

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Activities to promote proper hand washing habits as part of junior employee training (2019)

In 2021, we expanded the scope of employees’ activities to promote proper hand washing to include elementary schools. To
minimize the number of visitors to elementary schools and thereby lower virus infection risk, the employees leading theactivities conducted hybrid class visits that could be joined online.
The theme of the classes was “learning proper hand washing to protect our health and the health of those we care about.” In
the classes, the employees worked to instill understanding of hand washing and proper habits by encouraging theparticipating children to think about why hand washing is important and ways of protecting themselves from viruses andbacteria.

A hybrid class merging in-person and online learning

In addition, Lion incorporates activities to promote proper
hand washing habits at kindergartens and preschools intotraining for junior employees and activities implemented incoordination with retailers, thereby helping raise employee
awareness. We are advancing initiatives with retailers aroundthe country, such as Sugiyama Drugs Co., Ltd., in Nagoya.
Lion aims for all current employees to have participated in activities to promote good hand washing habits by 2050. From2012 to 2021, 1,449 employees participated (cumulative participation rate 45.7%). Over this period, approximately 36,700
children participated in these activities.

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Percentage of All Current Employees
That Have Participated in Activities to Promote Proper Hand Washing Habits

Preschoolers, Students and Faculty Participating in Activities to Promote Proper Hand Washing Habits
2017
2018
2019
2020
2021
6,700
5,900
4,100
200
1,300
Cumulative total since 2012: Approx. 36,700

Establishing Proper Cleanliness and Hygiene Habits: Promotion through Our Businesses

The KireiKirei brand is implementing the Kirei Relay Project, which aims to realize a society full of human interaction byencouraging people to practice hygienic habits for the sake of the people they care about.
This project seeks to make everyday hand washing more fun. For example, one activity has participants create one-of-kindpersonalized KireiKirei hand soap bottles, and another involves promoting a week-long hand washing challenge forpreschools and elementary schools. Through these and other activities, the project is promoting the formation of proper
hand washing and gargling habits.
Washing for at least 30 seconds is fundamental to the effective removal of viruses and germs from the hands. We are
implementing fun activities to help foster proper habits like this even among small children.

Establishing Proper Cleanliness and Hygiene Habits: Local Communities

We are promoting proper hand washing habits at kindergartens, preschools, elementary schools and public facilities,
mainly in areas across Japan where Lion facilities are located as well as in Ishinomaki City (Miyagi Prefecture), which wasaffected by the Great East Japan Earthquake and an area closely connected to our founder, and Sakaide City (Kagawa
Prefecture), where KireiKirei Hand Soap is manufactured.
Specifically, we have been promoting proper hand washing habits at kindergartens and preschools in Ishinomaki City as
part of support for recovery from the Great East Japan Earthquake since 2012. Since 2015, junior employees at Lion’s Sendai
Office (also in Miyagi Prefecture) have taken part in these activities as part of their training.

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Activities to promote proper hand washing habits in Ishinomaki City

Activities to promote proper hand washing habits in Sakaide City

Lion began marketing KireiKirei hand soaps overseas in 2005. Today, in addition to Japan, the brand is sold by Lion
Corporation (Singapore) Pte Ltd, Lion Corporation (Thailand) Ltd., Southern Lion Sdn. Bhd., Lion Corporation (Korea), Lion
Daily Necessities Chemicals (Qingdao) Co., Ltd., Lion Corporation (Hong Kong) Ltd. and Lion Home Products (Taiwan) Co.,
Ltd. Each company, alongside the provision of products, carries out activities to promote the formation of cleanliness andhygiene habits, aiming to increase awareness of cleanliness and hygiene.

Ai! Kekute* hand washing class in Promoting hand washing habits
Lion Corporation (Korea)
in Lion Corporation (Thailand)Ltd.
* Ai! Kekute (literally, Oh! Clean!) is a hand soap brand marketed by Lion Corporation (Korea).

Lion Group’s Social Contribution
Activities

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Hygiene and Health Care in Times of DisasterIn times of disaster, living in evacuation shelters, a limited water supply and other factors can increase hygiene-related risks
in daily life, so keeping clean and taking care to stay healthy are extra important. In particular, maintaining oral hygiene andhealth—which is connected to one’s overall health—is crucial.
Lion has published a pamphlet covering oral and hand hygiene and health care in times of disaster as well as ways of
preparing for such situations. In addition to providing information about hygiene and health in times of disaster, Lion
participates in disaster readiness and other events around Japan to promote awareness and good practices.

“Hygiene and Health Care inTimes of Disaster” bookSix-sheet version
Print out and fold stacked sheets
down the center to make a book

“Hygiene and Health Care inTimes of Disaster” pamphlet

The “Hygiene and Health Care in Times of Disaster” pamphlet is available for download here (in English, Japanese, Simplified Chinese and Traditional Chinese)

Disaster Readiness Events

Sumida-ku disaster
preparedness fair
(Ryogoku area)

Edogawa-ku disaster drill(Hirai area)

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Hand Hygiene Management for Professionals

Professionals who handle food, be it in restaurants, hotels, food product factories or other industries, all want to provide thebest service possible so that their customers will enjoy their food with peace of mind, have a good time, and make great
memories.
Lion Hygiene Co., Ltd., as a comprehensive hygiene management company, helps create clean, safe and hygienic
environments through products, hygiene assessments and other forms of support based on scientific insights in order tohelp food service professionals make their vision a reality. In particular, the foundation of hygiene management for
professionals who handle food is thorough hand washing. As part of support efforts, Lion Hygiene provides hygiene
management information that is important for such professionals, including not only hand washing techniques, but key
points about hand washing timing and facilities, among other topics, through “Hygiene Tayori” fliers issued four times a
year.

* “Hygiene Tayori” fliers offering hygiene management information

When to wash hands: handlingfood

Key points for hand washingfacilities

Key points of hygienic handwashing

Infectious disease prevention:bathrooms

Supporting Hand Hygiene
Management by Professionals (Lion
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AI/IoT Cleanliness and Hygiene Initiatives

Joint initiative withKireiKireiand teamLab [Japanese]
KireiKirei× Sony ExploraScience joint workshop [Japanese]

Academic Research on Cleanliness and Hygiene Initiatives

Around 90% of consumers say they wash their hands after returning home, but a simulation shows that people are spre
ading viruses before they wash their hands [Japanese]
Bad breath and susceptibility to getting colds are correlated! The findings of a study of 4,491 men and women aged 20 t
o 69. [Japanese]
Hygienic habits are shifting from something we need to do to something we want to do. We set up a “Cleanliness Voting
Booth” for a limited time at Shinjuku Station as an experiment to encourage hygienic behavior among people out and about at the gateway to the city. [Japanese]
Survey of actual hand washing during the COVID-19 pandemic [Japanese]
Worried about germ transmission at the office? Places and things to watch out for and ways to brush your teeth that reduce risk at the office [Japanese]
Lidea lifestyle information website (content relating to handwashing, gargling, disinfection, etc.) [Japanese]
News release:KireiKireiMedicated Hand Sanitizing Series Launched [Japanese]100

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Lion Group's Social Contribution Activities
Basic Approach

The Lion Group believes that advancing initiatives to create healthy living habits by providing products and services as wellas conducting educational activities and disseminating information is its social responsibility and a way of putting its
purpose into practice. The Group is engaged in establishing an oral health care and cleanliness and hygiene habits in Asia. In
addition, we have been involved with environmental conservation activities at various business locations and in the region
served by our overseas Group companies. In carrying out such sustainable activities, our employees take the initiative,
promoting the activities while working closely with local citizens, forming partnerships with local governments, retailers,
schools, dental experts and communities.

Sustainable Activities Conducted by Overseas Group Companies* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Lion Corporation (Singapore) Pte Ltd

Lion Corporation (Thailand) Ltd.

Southern Lion Sdn. Bhd.

PT. Lion Wings

Lion Corporation (Korea)

Lion Daily Necessities Chemicals(Qingdao) Co., Ltd.

Lion Corporation (Hong Kong) Ltd.

Lion Home Products (Taiwan) Co.,Ltd.

Activities Creating Healthy Living Habits as a GroupThe Oral Health Event of Tooth Brushing forChildren in Japan and other countries (mainly in
Asia)

Promoting Cleanliness and Hygiene Habits

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Creating Healthy Living Habits

The Oral Health Event of Tooth Brushing for Children in Japanand other countries (mainly in Asia)

In order to maintain lifelong dental and oral health, it is important to establish proper oral care habits early on. Placingemphasis on fostering elementary school students’ awareness of dental and oral health, Lion has held the Oral Health Eventof Tooth Brushing for Children since 1932, in cooperation with the Lion Foundation for Dental Health (LDH) . The event isheld every year during dental/oral health week, from June 4 to 10.
2022 marked the 79th year of this event. Instead of holding a single event via live webcast, as in recent years, a more flexible
format was adopted. Schools in Japan could participate on any day by using a 45-minute educational DVD. In 2022,
approximately 250,000 children at 4,585 schools are scheduled to participate.
The annual event is held in Japan as well as other countries, mainly in Asia.

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Lion Group's Social Contribution Activities

Promoting Cleanliness and Hygiene Habits

As the global COVID-19 pandemic rages on, taking care to prevent infection has become a regular party of daily life. The LionGroup provides stable supplies of hand soaps and sanitizers and carries out educational programs about correct handwashing habits in Japan and across Asia. Going forward, using digital tools, we will work to spread hygiene habits suited toliving in the new normal created by the pandemic as we evolve our businesses accordingly.

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Creating Healthy Living Habits

Activities at Lion Corporation (Singapore) Pte Ltd
Oral Health Care

Cleanliness

Donation Activities* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Educational Event Held by the PAP Community Foundation Sparkletots Preschool
22nd March is designated by the United Nations as World Water Day. In celebration ofWorld Water Day in 2021, the PAP Community Foundation (PCF)* Sparkletots Preschooltaught children about the importance of saving water in their daily routines, such as
during tooth brushing. Lion Corporation (Singapore) Pte Ltd (“LCS”) supported theevent by providing 600 KODOMO Toothbrush and KODOMO Toothpaste sets for thepreschool’s 5- and 6-year-old pupils.

Newsletter distributed to parents* PAP Community Foundation (PCF) is a charitable foundation founded by the Singapore People’s Action Party (PAP) in 1986 and is committed
to nurturing a multi-racial, fair, just and inclusive society through the provision of educational, welfare and community services.

2 Supported the Singapore Dental Association’s Oral Health Awareness Campaign

In March 2021, the Singapore Dental Association (SDA) launched an integrated online
communication campaign targeting consumers to raise awareness and correct
misconceptions regarding oral care. The campaign comprised of the three parts shown
below. Invited by SDA to participate the third part, LCS provided SG$60 worth of
Systema and KODOMO products to each of the 22 key opinion leaders.

Campaign card

I. Survey of Singaporeans on their oral health habits: 500 respondents
II. Solicitation of user generated content under the hashtag #toothtruths on Instagram to encourage Singaporeans to talkabout their oral health journey
III. 22 key opinion leaders received oral care gift boxes and talked about their oral health journey on their Instagram
accounts

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3 Product Sponsorship to Smileworks Dental Clinic

Smileworks Dental Clinic celebrated its 20th anniversary in 2021. To mark theanniversary, from August to December 2021, LCS provided goodie bags containing setsof Lion oral care products to enable patients to practice oral care at home after
treatment at the clinic. In total, LCS provided 1,460 goodie bags of Systema products
for adult patients and 360 goodie bags of KODOMO products for pediatric patients.
Systema and KODOMO oral care sets

4 Partnership with Health Promotion Board in Afterschool Oral Care Program

In August 2021, the Health Promotion Board (HPB) launched the Afterschool Oral Care Program, a one-year program
targeting children aged 3-5 years at day-care centers and nursery schools with the aim of teaching the importance of oral
care from a young age. The program entails dental clinic staff visiting day care centers and nursery schools to perform
dental screenings and educate children about the importance of oral care. LCS provided 60,000 sets containing KODOMO
Toothpaste and leaflets for distribution to the children after the conclusion of the program.

KODOMO brand pamphlets

5 Singapore Oral Health Therapy Congress

The Singapore Oral Health Therapy Congress is an annual meeting of dentistry experts, where speakers discuss a wide rangeof topics that are not limited to oral hygiene, but also include total well-being and pediatric management.
Program was continued in 2021 on 17th & 24th October, with about 300 participants from dentistry experts.
LCS sponsored the event with cash support, but the event organizer suspended its planned distribution of products in orderto maintain social distancing

Event held online
Event poster

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6 Promoting Good Oral Health through Dental Clinics

LCS supports Thomson Dental Centre, a dental clinic group in Singapore, in educating patients on good oral health habits. A
dental care set containing KODOMO or Systema oral care products (products of LCS) is provided to first-time patients at
Thomson Dental Centre. Dentists educate patients on correct tooth brushing and oral care habits using a dental care set(KODOMO Kid Set or Systema Gum Care Set) selected based on the patient’s age and oral health conditions. Each dental set
consists of an oral care information leaflet, a toothbrush and toothpaste, with mouthwash in the Systema sets.
In 2021, a total of 10,100 patients from Thomson Dental Centre had received the dental care sets.

KODOMO Kid Set

Systema Gum Care Set

7 Collaboration with Association of Orthodontists (Singapore)

The World Federation of Orthodontists (WFO) has designated May 15 as World Orthodontic Health Day. Started in 2017, thisis a day for orthodontists around the world to celebrate and promote orthodontics awareness.
In celebration of the Silver Jubilee for WFO, the Association of Orthodontists (Singapore) (AOS) has approached LCS to
partner and celebrate the event with the following program:
Smile with braces contest
Distribution of oral care kits
One-day seminar with the WFO Council
However, the contest and the one-day seminar could not be held in 2020 due to thenovel coronavirus pandemic (COVID-19). Instead, LCS continued the support of 4,500
sets of Systema oral care products that were distributed to patients who had started
their orthodontic treatment in May at the participating clinics.
Each set included: a Systema toothbrush, toothpaste, mouthwash and interdental
brush along with an insert card from the World Federation of Orthodontists.

World Orthodontic Health Day insert
card included with the Systema
products* The World Federation of Orthodontists (WFO) was founded in 1995 with the aim of advancing the art and science of as well as clinicalpractices in the field of orthodontics around the world. It has grown to 112 affiliate organizations, representing almost 10,000 orthodontists
who have become WFO Fellows.

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8 Community Dental Checkups for the Elderly in Collaboration with National Dental Centre Singapore

National Dental Centre Singapore (NDCS) has established a program of community dental checkups with the goal of raisingawareness of the importance of oral health among the elderly. The checkups include the provision of guidance on theproper care of dentures and programs aimed at helping to provide treatment to relieve pain and maintain/restore their oral
function.
This program was temporarily suspended to prevent the spread of COVID-19 but was resumed at the end of 2020. LCS
distributed Systema Toothpaste to 480 senior citizens who participated in the community dental checkups in November
2020.

9 Participation in a Public Forum in Collaboration with National Dental Centre Singapore

In March 2019, LCS participated in the public forum organized by National Dental Centre Singapore (NDCS) in
commemoration of World Oral Health Day to educate the general public about commonly asked questions on oral careissues. The forum covered a wide array of common oral care topics such as diabetes and oral health, oral sores andremedies for cracked teeth, as well as tips on good oral care. After the event, the participants received goodie bags that
included Systema products. Approximately 200 members of the general public participated in the forum.

Program leaflet

Presentation by a dentist* National Dental Centre Singapore (NDCS) is a division under Singapore’s Ministry of Health that specializes in multi-disciplinary care forcomplex dental conditions. NDCS also actively organizes community outreach with partner brands like Systema and KODOMO, which are
LCS’s oral care brands.

10 Collaboration with Specialist Dental Group – “Kiddie Visit @ SDG”

Specialist Dental Group (SDG) collaborated with local preschools to conduct “Kiddie Visit @ SDG,” in which they arranged for
either preschoolers to visit a dental clinic or a dentist to visit the preschool. The participating preschoolers were educatedon the importance of caring for their teeth from a young age. They were introduced to the tools used for cleaning teeth andtaught their functions.
This event was held in February, May, June, September and October of 2019, and approximately 180 preschoolers aged 3-5
years participated.
LCS supported this meaningful event by providing KODOMO Toothbrush and KODOMO Toothpaste for use in the oral caredemonstrations and samples for all participants.

Preschoolers receiving KODOMO Toothbrush and KODOMO Toothpaste samples
packed in KODOMO plastic bags

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11 Supporting a Public Seminar on Managing Common Dental Problems

In August 2019, Specialist Dental Group and Channel NewsAsia* jointly organized a public seminar at Mandarin Orchard
Singapore titled “A Healthy Smile amp; You: Specialists’ Perspectives.” This seminar was held to educate the general public
on achieving good oral and overall health through modern dentistry and expertise. At the event, dentists shared knowledge
in four specialty areas of dentistry: endodontics, periodontics, oral and maxillofacial surgery, and prosthodontics. About
500 participants learned about managing common dental problems through modern dentistry and dental expertise. LCS
supported this seminar by providing Systema products for the event goodie bag.

Goodie bag with Systema
products for participants(Source: Specialist Dental Group’s
Facebook page)

Presentation by a specialist* Channel NewsAsia is a Singaporean English-language TV news channel. Aiming to help viewers “Understand Asia,” it reports on global news
from an Asian perspective.

12 Initiative to Cultivate Good Dental Habits in Collaboration with a Medical Group

Cultivating good oral habits from childhood is very important. LCS collaborated with Raffles Dental (part of Raffles Medical
Group*) via the KODOMO brand (product of LCS) to provide on-site dental screening to the preschoolers at the PAP
Community Foundation (PCF)** Sparkletots Preschool and educate them about the importance of taking care of their oral
health. A copy of the children’s dental check results was later shared with their parents. The participants received an event
goodie bag that included KODOMO products, enabling them to practice correct oral care habits at home. 700 preschoolers
participated in the educational event in 2018.

* Raffles Medical Group is an integrated private healthcare provider in Asia. It owns and operates a fully integrated healthcare organization
based in Singapore.
** PAP Community Foundation (PCF) is a charitable foundation founded by the Singapore People’s Action Party (PAP) in 1986 and iscommitted to nurturing a multi-racial, fair, just and inclusive society through the provision of educational, welfare and community services.

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13 Educating Children on the Importance of Cultivating Good Dental Habits from a Young Age

On an ongoing basis, Singapore Dental Health Foundation* is involved in teaching children good dental habits from a young
age. The foundation has initiated a project that involves working with childcare centers to bring children under their care to
nearby dental clinics for dental screening and tooth brushing demonstrations, as well as to learn about the importance ofcavity prevention and early treatment. LCS has supported this meaningful activity by providing KODOMO toothbrushes andtoothpaste for all participants to encourage them to practice good dental habits from a young age since 2017. The project
has been well received, garnering positive feedback from parents while participating children gain awareness of their dental
health.
In 2018, 72 children participated in the event.

Children observing the dentist at work to understand the procedure of a dental check-up* Singapore Dental Health Foundation is an organization of volunteers working to increase dental health awareness and promote dental
health in Singapore. The foundation’s activities include providing public dental screenings and conducting dental talks, seminars, forums,
etc.

Hygiene Care
Teaching Correct Hygiene Habits in Collaboration with Manulife

Free Bee SG* tied up with insurance company Manulife to promote a “Prevent and Protect” program for infectious diseases
such as hand-foot-and-mouth-disease.
This program was held in April 2019 and reached out to preschools in Singapore to provide information about insurance
coverage for hand-foot-and-mouth disease and other diseases. Approximately 1,100 goodie bags, which included KireiKirei
products, were distributed to families with young children. As part of the program, LCS visited preschools with the Lion
mascot to educate children on hygiene tips and encourage good hygiene practices using KireiKirei brand hand soap andbody soap marketed by LCS.
* Free Bee SG is a non-profit online community for parents to obtain information, freebies, etc., regarding pregnancy and parenting.

Poster to promote logo
recognition during events

Facebook post to promote
KireiKirei productsHygiene-related Q&A during
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Lion mascot visits a preschool

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Donation Activities

To fulfill its corporate social responsibility, LCS actively engaged in such corporate social responsibility activities as in-kind
donations of hygiene products sold by the Company.

Donation Activities through Online Events

Activity 1 Collaboration with Centre for Domestic Employees (CDE) - May Day Domestic
Employees Celebration
PeriodOutside collaborators
Donations
Details

June 2021
National Trades Union Congress (NTUC)
Centre for Domestic Employees (CDE)
Systema and Kyusoku Jikan products
The May Day Domestic Employees Celebration 2021 virtual live show was organized by
the CDE, which is a unit under NTUC. The program was live-streamed to domestic
employees in recognition of their hard work and contributions. 250 domestic
employees took part in the program, and LCS supported the event by sponsoringproducts for the game show segment.

Slide showing appreciation for sponsors shown during the event(featuring the Systema and Kyusoku Jikan logos)

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Donation Activities Related to the COVID-19 Pandemic

Activity 1 Collaboration with Healthcare Service Employees’ Union (HSEU) supporting
healthcare workers
PeriodOutside collaborators
Donations
Details

February, March, May, July 2020
National Trades Union Congress (NTUC)
HSEU (an affiliate of theNTUC, which represents healthcare service employees in bothpublic and private healthcare institutions and organizations)
About SGD$175,000 worth of LCS products, including Systema, Shokubutsu andKyusoku Jikan （cooling sheets for feet）products
HSEU donated care kits as a token of appreciation for the healthcare workers working
on the front lines of the COVID-19 pandemic. LCS supported this meaningful initiative by
providing Lion products to 15,500 healthcare workers, with donations including
Systema, Shokubutsu and Kyusoku Jikan products, to show these healthcare heroes its
utmost appreciation and respect.

Leaflet for the healthcare
workers

NDCS members packing the carekitsCare kit for the healthcare
workers

Activity 2 Collaboration with National Dental Centre Singapore (NDCS) supporting migrant
workers
PeriodOutside collaborators
Donations
Details

April 2020
National Dental Centre Singapore
10,008 care kits including Systema toothbrushes and toothpaste, Fresh & White
toothpaste, Between toothbrushes and Shokubutsu Body Foam
As part of measures to counter a COVID-19 outbreak in migrant workers’ dormitories,
NDCS reached out to LCS to collaborate in promoting oral health education andproviding oral care items to migrant workers.

Leaflet for the migrant workers

Care kit for the migrant workers

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NDCS members packing the carekits

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Activity 3 Donations in collaboration with the Singapore Dental Association
PeriodOutside collaborators
Donations
Details

February and April 2020
Singapore Dental Association
1. 1,500 care kits including Systema toothbrushes and toothpaste as well as
Shokubutsu Body Foam
2. 200 of the above care kits
1. In February 2020, in response to a request from Mount Alvernia Hospital, LCS
donated cleanliness and hygiene product sets to 1,500 healthcare professionals as
part of initiatives to show appreciation for their work.
2. In April 2020, in conjunction with the Singapore Dental Association, LCS donatedcleanliness and hygiene product sets to about 200 migrant workers at Mount
Alvernia Hospital.

Activity 4 Collaboration with Association of Orthodontists (Singapore) supporting Ministry of
Health (MOH) staff
PeriodOutside collaborators
Donations
Details

July 2020
Association of Orthodontists (Singapore)
1,300 care kits including Systema, Shokubutsu and Kyusoku Jikan (cooling sheets forfeet) products
In commemoration of the 25th annual World Orthodontic Health Day (WOHD) on May
15, 2020, the Association of Orthodontists (Singapore) initiated a CSR collaboration with
LCS to provide care kits for MOH staff. LCS donated the kits to show appreciation for the
MOH employees who have been working tirelessly to battle the pandemic.

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Creating Healthy Living Habits

Activities at Lion Corporation (Thailand) Ltd.
Oral Health Care

Cleanliness

Environmental Conservation Activity

Donation Activities* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Lion Oral Health Award

Lion Corporation (Thailand) Ltd. (LCT) held Lion Oral Health Award ceremony online in July 2021. In collaboration withThailand’s Ministry of Public Health, LCT has been supporting and fostering people conducting studies and activities thatare beneficial to preventive dentistry in Thailand since 2009.
For the 2021 Lion Oral Health Award, LCT bestowed three awards to dentists and dental nurses. About 700 people, including
dentists and dental nurses, participated in the accompanying online seminar.

Mr. Boonyarith Mahamontri, President of LCT, presenting the winners of the Lion Oral Health Award 2021

The three winners

2 Improving the Oral Function of Senior Citizens in Cooperation with a Provincial Public Health OfficePhrae province is a markedly graying area in northern Thailand. Since 2018, LCT has been promoting activities to increasesenior citizens’ quality of life by reducing incidents of choking, increasing chewing strength and improving dry mouth incooperation with the Provincial Public Health Office. The concept behind these activities was the topic of a talk given by adental specialist at the Lion Oral Health Award 2016 . Dentists of the Provincial Public Health Office regularly present
lectures about oral care in communities with large concentrations of senior citizens. To prevent declines in the mouth’sfunction and to maintain and improve the vitality of the area around the mouth, the dentists teach mouth exercises called“Kenkobi” developed by Lion Foundation of Dental Health (LDH), a public interest incorporated foundation established by
Lion Corporation in Japan. Six months after starting the exercise program, most attendees improve and their difficulties
with choking and dry mouth are reduced. LCT provides “Kenkobi” brochures and display boards to the province to help
more senior citizens do the exercises.

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In 2020, activities were conducted in Chonburi Province in eastern Thailand and in Bangkok. A total of about 150 seniorcitizens participated in the event.
LCT will continue to contribute to improving oral care for the citizens of Thailand in cooperation with the Provincial Public
Health Office.

Attendants listening and watching the demonstration of “Kenkobi” mouth exercises with “Kenkobi” brochures in their hands

Senior community members practicing “Kenkobi” mouth exercises in Chonburi Province

Commemorative photo with community members in Chonburi Province

Senior community members practicing “Kenkobi” mouth exercises in Bangkok

3 Collaboration with Provincial Hospitals, Health Offices and Retailers

Milk teeth sometimes receive less attention than adult teeth because they eventually fall out. However, implementing oral
care from a young age is very important because oral health affects overall health.
With the aim of promoting proper oral health care and firmly establishing the concept of preventive dentistry,* LCTcollaborates with provincial hospitals and health offices to carry out related activities, for example, offering dental
checkups, treatment and instruction in proper brushing to children. At local schools this begins with local dental hygienists
conducting dental checkups. If cavities are found, a treatment called “Smart Technique” is performed by a dentist.
In 2018, LCT collaborated with local retailers to introduce correct brushing methods through a show for children ages 2 to 5
using the KODOMO brand. LCT provided discount coupons for LCT products viable only at the cooperating retailers. Thisinitiative is aimed at encouraging children to continue to brush their teeth correctly at home.
The activity was conducted in Ranong Province (in southern Thailand) in 2020, with 238 children. LCT will expand thisinitiative to other areas to teach more citizens in Thailand about oral care

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The Smart Technique treatment

Participants with KODOMO brand mascots* Lion Group companies overseas are collaborating with dental professionals and retailers on initiatives based on the concept of preventive
dentistry. Working together with dental professionals, Lion strives to increase awareness and understanding of oral care by sharing
information on good oral care and practical tooth brushing methods. In addition, Lion promotes good oral care habits by providing productsthat suit individuals’ specific oral care needs through retailers and other markets.

4 Oral Care and Health Education for Employees during Their Pregnancy

During pregnancy, the secretion of saliva tends to decrease due to an increase in the production of such hormones as
estrogen, causing the risk of cavities and periodontal disease to rise.
LCT conducts seminars to communicate the importance of health and oral care during pregnancy to expectant employees at
its Humanized Hall facility. Regarding health management, nurses from LCT’s nurse office and doctors give lectures onnecessary nutrition during pregnancy. With regard to oral care during pregnancy, they conduct lectures on how a mother’soral condition can affect her baby’s oral health and teach correct tooth brushing practices.
In 2020, 10 employees who were either expecting or recent mothers participated in this seminar.

Presentation of proper
toothbrushing technique by LCT
staff

Attendants brushing their teeth
after a lecture

Commemorative photo withattendants

5 Working with a Provincial Public Health Office in Southern Thailand to Reduce Cavities

Childhood cavities are a big problem in southern Thailand. To solve this problem, LCT has started a project aimed at
reducing cavities among five local families in cooperation with the Provincial Public Health Office in Pattani Province. The
issue in this area is that neither parents nor children are well educated about oral care. They do not know correct practices
for preventing cavities. The idea for this project, called “preventive dentistry with the whole family,” was the topic of alecture given by a dentist at the Lion Oral Health Award 2017.
The participating five families will practice correct self-care at their homes and go to see a dentist periodically for additionalroutine care. Their dentist will record their oral conditions using smartphones and use these records to give them feedback.
LCT will contribute to solving social issues in southern Thailand by establishing good oral care habits and reducing cavities
through this project.
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Routine care at the dentist’s
officeRecording oral conditions using asmartphone

6 Oral Care Promotional Activities in Cooperation with the Government

The Thai government has held an annual Health Fair since 2012 with the aim of increasing Thai citizens’ awareness of healthissues. The 2018 Health Fair was held at the Ao Udom Community Center in Laem Chabang, Sriracha district. The fair’s
events take place in local community centers, where medical facilities and health product retailers set up booths manned byvolunteer physicians and nurses who provide checkups for participants and prescribe medicine. LCT ran a booth in this fairto introduce and practice “Kenkobi” mouth exercises with participants over 50 years old. LCT also gave participants
products from its GoodAge and SALZ oral care brands for seniors. About 1,000 people participated in the Health Fair in 2018.

“Kenkobi” mouth exercises with participants

Cleanliness1 Instruction on Healthy, Hygienic Living Habits at Elementary Schools

In September 2021, LCT held the Happy Life Happy Home program for 4th and 5th graders (ages 9 to 11) at elementary
schools in Bangkok. This program, held online, taught the students techniques for keeping their bodies healthy and clean
and for keeping their homes clean and comfortable.
The program comprises two parts, Happy Life (covering tooth brushing, hand washing, face washing and showering) andHappy Home (covering laundry, dish washing and floor cleaning), and is aimed at increasing awareness of health, comfort
and cleanliness through the use of LCT products. The elementary school students learned ways of keeping their bodies andhomes clean, as well as the proper use of related products, from the participating LCT staff. 89 students participated in these
online events.

The Lion mascot greeting online participants

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Lecture about proper tooth brushing and hand washing techniques

In-person Event in 2020

Lecture about proper tooth brushing technique

Proper tooth brushingtechniques

Washing dishes

Washing clothing

Bathing

Cleaning the floor

Group photo of participating
students

2 The Public-Private Collaboration Project

LCT contributes to the Public-Private Collaboration Project being advanced by the government of Thailand. In 2019, oral
health and hand-washing educational activities were held in Lamphun Province and at the Saha Group’s Fair.* The theme of
LCT's booth was the importance of proper oral health and hygiene practices.
At the Saha Industrial Park in Lamphun, LCT encouraged good hygiene practices using KireiKirei hand soap to teach thelocal students and provided education about “Kenkobi” mouth exercises for senior citizens.
At the Saha Group Fair, Saha Group companies meet each year and set up booths to exhibit their public-private
collaboration projects. This year, LCT invited senior citizens from a senior club in Yannawa district, Bangkok, and Rai Nueng
community center in Sriracha district, Chonburi, to join in “Kenkobi” mouth exercises training and provided instruction onproper tooth brushing methods at the booth. About 360 people from nearby communities participated this year.
* LCT is a joint venture of Lion Corporation and the Saha Group.

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Encouraging good hygiene practices with KireiKirei hand soap at the Saha Industrial Park in Lamphun

Presentation on oral care at the Saha Industrial Park in Lamphun“Kenkobi” mouth exercises forsenior citizens at Saha Group Fair

Instruction on proper toothbrushing methods

3 Conducting Hand Washing Classes for Elementary School Students near a Production Site

LCT provides classes on hand washing for children at schools near its Sriracha Plant. Children first rub a special cream on
their hands that glows under a black light to simulate grime. Then, they are asked to wash their hands and check under theblack light how well the cream came off. From this exercise, children see how washing hands with just water or washinghands poorly cannot get rid of dirt properly and are then taught proper washing techniques.
Since most of the students who participate in the hand washing lecture do not habitually wash their hands before lunch,
LCT will continue its efforts to contribute to the establishment of hygienic habits among students.

Washing hands correctly

Reviewing the hard-to-wash parts
after checking under a black light

Environmental Conservation Activity
Tooth Brushing Lectures at an Environmental FairLCT operated a booth at the “Eco-Products International Fair 2016,” an environmental fair. The concept of the booth wasthat humans are part of the environment and that “people can harmonize with the environment as long as they arehealthy.” The booth also featured the environmental efforts of LCT and Lion Corporation Japan.
On the event’s main stage, LCT conducted tooth brushing seminars for elementary school students, teaching that one’s
overall health starts with oral health, in line with LCT’s booth concept.
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Tooth brushing lectures on themain stage

Students visiting LCT’s boothDonation Activities

To fulfill its corporate social responsibility, LCT, as a hygiene product manufacturer, actively engages in social contribution
activities, such as in-kind donations of hygiene-related products sold by the company.

Activity 1 Donations for seniors in rural areas
PeriodLocation
Donations
Details

March 2021
Disaster Action Center, The Thai Red Cross Society
3,600,000 units of KireiKirei alcohol gel 50 ml
Working with the Relief and Community Health Bureau of the Thai Red Cross Society,
LCT donated KireiKirei alcohol gel for inclusion in health care bags provided to seniors
in rural areas who require long-term support.

Activity 2 Donation of products for flooding victims
PeriodLocation
Donations
Details

October 2021
MCOT Public Company Limited (Thai state-owned public broadcaster)
LCT hygiene products
LCT took part in the MCOT Careless Project, donating hygiene products to support
victims of flooding in Saraburi.

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Donation activities related to the COVID-19 pandemic

Activity 1 Donation of products for medical personnel and patients
PeriodLocation
Donations
Details

May 2021
Charoenkrung Pracharak Hospital (Bangkok)
LCT products worth 1,000,000 baht
LCT donated hygiene products to medical personnel and COVID-19 patients at a field
hospital managed by Charoenkrung Pracharak Hospital.

Activity 2 Donation of products for medical personnel and patients
PeriodLocation
Donations

Details

May 2021
Royal Thai Air Force Hospital (Bangkok)
LCT hygiene products worth 500,000 baht, including the following:·Systema toothpaste·Q’lean Shampoo·Shokubutsu-Monogatari (Plant Story) Shower Cream·Flore bar soap
·Dentor Pro Clean toothbrush·Kodomo talcum powder·Lipon F Purify dishwashing detergent·Silver Nano Powder Detergent·KireiKirei alcohol spray·Essence alcohol spray·Look Multi Surface Spray·Look floor cleaner
LCT donated hygiene products to medical personnel and COVID-19 patients at a field
hospital managed by Royal Thai Air Force Hospital.

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Activity 3 Donation of products for medical personnel and patients
PeriodLocation
Donations
Details

May 2021
Banphaew Hospital
LCT hygiene products worth 121,662 baht
LCT donated hygiene products to medical personnel and COVID-19 patients at a field
hospital managed by Banphaew Hospital.

Activity 4 Donation of products for medical personnel and patients
PeriodLocation
Donations
Details

May 2021
Bangkok Metropolitan Administration City Hall
Saha Group hygiene products worth 2,500,000 baht
LCT partnered with Saha Group to donate Saha Group hygiene products, including LCT
products, to medical personnel and COVID-19 patients at a field hospital managed by
the Bangkok Metropolitan Administration City Hall.

Activity 5 Donation of products for medical personnel and patients
PeriodLocation
Donations
Details

June 2021
Medical Service Department, Bangkok Metropolitan Administration
LCT hygiene products worth 200,000 baht
LCT donated hygiene products to medical personnel and COVID-19 patients at a field
hospital managed by the Bangkok Metropolitan Administration.

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Activity 6 Donation of products for medical personnel and patients
PeriodLocation
Donations
Details

July 2021
Takbai Hospital (Narathiwat Province)
LCT hygiene products worth 100,000 baht
LCT donated hygiene products to medical personnel and COVID-19 patients at Takbai
Hospital.

Activity 7 Donation of products for medical personnel and patients
PeriodLocation
Donations
Details

July 2021·Leamchaban Hospital·Somdej Phraborom Ratchathewi Hospital·Chonburi Hospital
LCT hygiene products
LCT donated hygiene products to medical personnel and COVID-19 patients at threehospitals near its factory.

Activity 8 Donation of products for patients
PeriodLocation
Donations
Details

July 2021
Wat Dok Mai School
LCT hygiene products
LCT donated hygiene products for COVID-19 patients at an isolation center set up at Wat
Dok Mai School.

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Activity 9 Donation of products to a temple
PeriodLocation
Donations
Details

August 2021
Wat Ton Bon Temple·108 Shop laundry detergent·Essence Alcohol Spray·Lipon-F dishwashing detergent
LCT cooperated with Wat Ton Bon Temple and the Yannawa district's elderly school tosupport local residents impacted by COVID-19 by donating hygiene products.

Activity 10 Donation of products for patients
PeriodLocation
Donations
Details

August 2021
National Health Security Office, Ministry of Public Health (Bangkok)·Essence Alcohol SprayLCT worked with the National Health Security Office of the Ministry of Public Health todonate products for use in health care bags provided to COVID-19 patients.

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Activity 11 Monetary donations to support medical professionals
PeriodLocation
Outside collaborators
Donations

Details

April 2020
The eight medical facilities below
Donated money 4.1 million baht to support the supply of medical equipment, etc., forfighting COVID-19 as follows.
1) Bamrasnaradura Infectious Disease Institute 1,000,000 baht2) Siriraj Hospital 500,000 baht
3) Chulalongkorn Hospital 500,000 baht4) Ramathibodi Hospital 500,000 baht5) Charoenkrung Pracharak Hospital 300,000 baht
6) Somdej Phraborom Ratchathewi Hospital 300,000 baht
7) Chonburi Hospital 500,000 baht8) Thammasat Hospital 500,000 baht
LCT donated funds to eight medical facilities to support medical professionals treating
COVID-19 patients

Activity 12 “LION pan suk” donation project
PeriodLocation
Donations

Details

August 2020
Bangkok
1,000 sets of LCT products (contents listed below)·KireiKirei alcohol gel (one 50 ml bottle)·Lipon F dishwashing detergent (one 500 ml bottle)·DENTOR Toothbrush (one)·SYSTEMA Toothpaste (one 96 g tube)·Shokubutsu-Monogatari (Plant Story) Shower Cream (one 250 ml bottle)·Q’lean Shampoo (one 170 ml bottle)·Pao White Powder laundry detergent (one 900 g package)·Lion original cloth mask (one)LCT donated sets of its products to taxi drivers impacted by the COVID-19 pandemic.
LCT promoted the project over traffic news radio stations. The sets were distributed totaxi drivers via a drive-through set up at LCT’s office on Rama 3 Road in Bangkok.

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Activity 13 Product donation to Andaman Sea fishermen
PeriodLocation
Donations

Details

May 2020
Ranong Province, Phangnga Province, Phuket Province
1 set per household (Total 1,600 sets)·Pao Active Powder laundry detergent 80g·Essence Power laundry detergent 40g·Lipon F dish washing detergent 100ml·Lipon F F Bergamot dish washing detergent 100ml·SALZ Sensitive Toothpaste 100g
·St.Andrews Kids Toothpaste 50g·Flore Bar Soap
·St.Andrews Talcum Powder 50g
LCT donated products to fishermen in Ranong Province, Phangnga Province and Phuket
Province who were impacted by COVID-19.

Unloading donated products forfishermen

People in the fishing village withdonated goods

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Creating Healthy Living Habits

Activities at Southern Lion Sdn. Bhd.
Oral Health Care
Cleanliness
Donation Activities

Environmental Conservation Activities* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Promoting the Lion Dental Health Program at Kindergartens and Primary Schools throughout Malaysia

The Lion Dental Health Program is a social contribution program established in 1998 by SL to promote good oral healthhabits in kindergartens and elementary schools throughout Malaysia. It is conducted throughout the year. The main
objective of the program is to create awareness of the importance of maintaining good oral hygiene for better overall health.
The program is targeted at children between the ages of 4 and 12 as SL believes that good oral hygiene must be cultivatedfrom a young age.
The program was developed by the Lion Foundation for Dental Health (LDH) , a public interest incorporated foundation
established by Lion Corporation in Japan. SL has localized the program in terms of content and techniques to the local
audience. Over the years, it has worked with government-run dental clinics and the Malaysian Dental Therapists’
Association (MDTA) throughout Malaysia, and SL believes this program is an effective way to teach the Malaysian public
proper brushing techniques.
The program is conducted in a fun and interactive way to make it more interesting to children. It includes a storytellingsession, slides, tooth brushing demonstrations, tips on good dental habits, a simple quiz and a special appearance by our
mascot Mr. KODOMO Lion.
As a part of SL's commitment to creating awareness of good oral hygiene, every child involved in the program receives agoody bag containing a toothbrush, toothpaste and an educational leaflet with dental tips.
In 2020, the program was held only in January, before the arrival of the new coronavirus pandemic (hereinafter referred to
as COVID-19), with 18,953 children participating. Total participants across Malaysia since the program started in 1998
number more than 1.12 million.

Tooth brushing demonstration and a simple quiz session

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Students were given a goody bag containing a toothbrush,
toothpaste and an educational leaflet with dental tips

Students with the Mr. KODOMO Lion mascot

In addition, since 2020, SL has implemented a plan to welcome new students of Sek Keb Kangka Tebrau elementary school,
which SL chose for their “Adopt a School Program”. This is one of the activities that SL did with them, “Back to School with
KODOMO Lion”. This program offers both the LDH Program & Handwashing activity. When the students left the school, theMr. KODOMO Lion mascot saw them off. In 2020, SL could not carry out the planned activities due to COVID-19, but SL isplanning to extend the Program further to 2022 or 2023 depending on the pandemic situation.

An SL employee telling the participating children about the importance of tooth brushing

Happy children holding KODOMO logo balloons

Children greeting the Mr. KODOMO Lion Mascot character as they leave school after the program

2 Save Your Gums, Save Your Teeth Campaign

In coordination with the launch of Systema Advance Anti-Plaque Toothpaste in September 2018, SL launched the Systema
Save Your Gums, Save Your Teeth campaign*1 to further its mission of raising awareness and educating the community on
gum disease and good oral hygiene.
The campaign, organized with the Ministry of Health (MOH), the Malaysia Dental Therapists’ Association and dentistry
specialists, entails the provision of information via the media and in-store promotions aimed at raising awareness of oral
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care and facilitating gum disease prevention. In addition, mobile dental clinics provided by the MOH and Universiti
Teknologi MARA (UiTM) tour Malaysia to provide free gum checks for locals.
Systema has pledged 30,000 tubes of Systema Advance Anti Plaque Toothpaste to the community for distribution via the
Malaysian Society of Periodontology. In 2019, SL conducted this campaign as “Systema Gumbatta*2 Campaign.”*1 The Save Your Gums, Save Your Teeth campaign carried out dental check-ups using a “dental bus” equipped with dental chairs that visitedlarge retailers throughout the country in collaboration with the Ministry of Health Oral Health Program and UiTM.
*2 “Gumbatta” is an original word that means we make an effort to keep gums healthy with Systema products.

SL members at the Systema booth

Dental bus equipped with dental chairs

3 Oral Health Day

As part of the company’s efforts to promote preventive dentistry*, SL has been conducting Oral Health Day once a year since
2018 to create awareness among internal staff of the importance of good oral hygiene and gum disease prevention. The
event was canceled in 2020 and 2021 due to COVID-19.
In December 2019, the activity was held at SL’s headquarters in Johor Bahru in collaboration with the Oral Health Division of
Ministry of Health (MOH) under KP Abdul Samad. Free dental check-ups were provided by MOH via a mobile clinic, and adental exhibition was conducted at the cafeteria. Around 130 employees participated in the dental check-ups (up 30%
compared to the previous year). In the afternoon, a dental health talk was held by a dentist for all employees, focusing on
the signs, causes, treatment and prevention of gingivitis.
SL will continue this annual activity in an effort to increase awareness of good oral hygiene practices among all its staff.
* Lion Group companies overseas are collaborating with dental professionals and retailers on initiatives based on the concept of preventive
dentistry. Working together with dental professionals, Lion strives to increase awareness and understanding of oral care by sharing
information on good oral care and practical tooth brushing methods. In addition, Lion promotes good oral care habits by providing
productsthat suit individuals' specific oral care needs through retailers and other markets.

Employees were given advice about proper tooth brushing methods

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Dental check-ups by dentists

A dentist delivers a talk on gingivitis

4 Exhibition at the 10th Asian Conference of Oral Health Promotion for School Children (ACOHPSC) *On September 20-21, 2019, the 10th Asian Conference of Oral Health Promotion for School Children (ACOHPSC) was held at
The Wembley - a St Giles Hotel on Penang Island. The conference was organized by the Malaysian Association of Dental
Public Health Specialists (MADPHS). This meeting is held every two years in an Asian country with the purpose of bringing
together school dental health officials from across Asia in order to advance and improve the oral health of young children
and students and to exchange information.
The conference took place over a two-day period, with the theme “Future Smile Begins Today” focusing on caries inchildren. SL participated as one of the conference exhibitors to increase awareness of its oral care brand of products forchildren, KODOMO Lion. About 1,000 dental professionals attended the conference.

* First held in Japan in 2001, the conference was hosted by Malaysia for the first time in 2019.
At this conference, leaders in dentistry from not only Asia but all over the world, including academics, researchers, representatives of thedental industry and dental professionals, come together, exchange opinions and ideas, and share their experiences regarding such topics as
new strategies for the prevention of oral disease and for enhancing oral health service delivery, especially for schoolchildren. At the 2019conference, there were lectures from world-renowned specialists as well as panels that included well-known individuals, and many scholars
presented original research.

KODOMO boothLecture at ACOHPSC

5 Participation in the 4th Malaysian Dental Therapists’ Scientific Conference (MDTSC) 2019

The 4th Malaysian Dental Therapists’ Scientific Conference (MDTSC) 2019 was held April 5-7, 2019 at Berjaya Times Square in
Kuala Lumpur. This event is held every two years and SL participates as one of its major sponsors with the aim ofstrengthening its relationship with the Malaysian Dental Therapists Association (MDTA) and to introduce the Systema brand.
The conference is a good opportunity to increase awareness of the Lion Dental Health Program and increase collaboration
with the MDTA, as it welcomes dental professionals from all over Malaysia. A total of 800 dental therapists from across
Malaysia attended this conference.

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SL members at the conference

A number of the dental professionals attended the conference

Cleanliness
1 Promoting Good Hygiene for Children

From March to June 2022, SL is holding educational events in collaboration with Malaysia’s Ministry of Health and Bridges
PR & Events Sdn Bhd in an elementary school in Klang Valley, Selangor, to teach children (aged 7 to 10) the proper steps ofhand washing and foster voluntary hand washing habits using KireiKirei products. Approximately 600 children are expectedto participate.

Learning about hand washingStudents customizing bottles ofKireiKirei by drawing their own
designs on sticker labels

2 Activities to Support the Health and Hygiene of Refugee Children

SL has been involved with health and hygiene awareness programs for refugee children since 2013. The activities have been
conducted in cooperation with NGOs and the United Nations High Commissioner for Refugees (UNHCR) staff in Kuala
Lumpur and Johor Bahru. The event was canceled in 2020 and 2021 due to COVID-19.
On October 23, 2019, SL conducted a program with a school in Kota Tinggi District, Johor, to raise awareness of cleanlinessand hygiene among Rohingya refugee students protected under the UNHCR.
In addition to the programs, employees from SL celebrated children’s birthdays with them and shared happy moments. All
the children were given goody bags with SL products for general personal hygiene. 90 students aged 7 to 16 were taught
basic hygiene and personal care, including good oral health habits and proper handwashing. About 660 children haveparticipated since the program began.

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Kids receiving sponsorship items
Learning proper hair washing

Environmental Conservation Activities
1 SL Environment Day Activities

To raise awareness among SL staff of the importance of conserving the environment, SL has designated November 27 as its
annual Environment Day. The event was canceled in 2021 due to COVID-19.
In 2020, SL conducted three initiatives aimed at increasing interest in and awareness of environmental issues. These
included promoting the 3Rs (reduce, reuse, recycle) and providing the important experience of growing and eating healthy
foods for oneself.

1. Collecting recyclable materials

Employees collected recyclable materials, such as books, paper, plastic and aluminum, from their homes.

2. Making soap from used cooking oil

Employees brought in their used cooking oil from home and got to reuse it to make soap.

3. Adopt-a-plant garden

Employees grew salad vegetables and herbs on plots of land.
400 SL employees participated in these activities.

Collecting recyclable materials

Working in the SL herb garden

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Reusing used cooking oil to make hand-made soap

2 Johor Zoo Painting and Planting Activities

On January 11-12, 2020, SL conducted painting and planting activities at Johor Zoo in Johor, with the aim of beautifying
part of the zoo, in cooperation with the Johor Zoo management. The space surrounding the lion enclosure has benches
where people can sit and rest, but, unfortunately, they were moldy and no one was using them. As “lion” is part of ourcompany name, SL cleaned and repainted the benches so that visitors would be able to use them and planted some flowers
to beautify the area. Additionally, we painted the company’s lion character on a wall and beautified the area leading up to
the lion enclosure. A total of 46 employees participated in these activities.

Painting and planting on and around the bench

Painting the wall in the Lion-chancharacter color

Tracing the Lion character

Complete! Satisfied employees

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3 Johor Zoo Cleaning Program

On August 28, 2019, SL participated in the cleaning program at the Johor Zoo in Johor with the aim of raising employee
awareness of the importance of community service activities that contribute to wildlife protection and environmental
conservation. In cooperation with the Johor Zoo management, 25 employees participated, primarily cleaning up animal
cages. Through the program, they learned more about the animals and their habitats.

Employees that participated in the program and Johor Zoo staff

Cleaning up inside the hippo enclosure

4 Aid for Kim Kim River Toxic Pollution Disasters

On March 7, 2019, toxic gas, including methane gas, generated from industrial waste illegally disposed of into the Kim Kim
River in Johor was released to the environment, causing a major health crisis for nearby residents. The incident affected
residents of Pasir Gudang district, an industrial zone, and almost 2,700 people were admitted to the hospital for treatment.
Medical staff and volunteers worked day and night to offer aid and give support.
SL donated lunchboxes and food, such as cereal, 3-in-1 drinks and biscuits to the medical staff and first responders who
worked non-stop. In addition, hygiene products, such as liquid hand soaps, were donated to medical staff and volunteers of
the hospital and crisis management center through the Johor Bahru Tracer Community and the Malaysian Red CrescentSociety.

Donation of packed food

Entrusting personal hygiene
products to Malaysian Red
Crescent Society staff

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5 Supporting Wildlife Protection in Cooperation with the Department of Wildlife and National Parks(PERHILITAN) Peninsular Malaysia

SL conducted a wildlife habitat conservation project in collaboration with PERHILITAN in September 2018. An artificial salt
lick was prepared at the foot of Mount Muntahak. By licking the deposit of salt, wildlife gain essential mineral nutrients thatare important for bone, muscle and general growth.
Twenty employees from SL helped to prepare the artificial salt lick area and install sensor cameras to record wildlife that
visit the salt lick area. These cameras help provide information about the animals that visit the salt lick.

Setting up the sensor cameras

SL’s employee volunteers

Donation Activities

To fulfill its corporate social responsibility, SL, as a hygiene product manufacturer, actively engaged in social contribution
activities, such as in-kind donations of hygiene-related products sold by the company.

Donation activities related to natural disasters

Activity 1 Support for people affected by flooding
PeriodOutside collaborators
Donations

Details

December 2021
Malaysian Red Crescent Society
Shokubustu Active Guard Body Shower Foam
Bio Zip Detergent Powder
Fresh & White Toothpaste
KODOMO Lion Toothbrush
KODOMO Lion Toothpaste
Emeron Shampoo
Systema ToothbrushThrough the Malaysian Red Crescent Society (an NGO), SL donated products forapproximately 100–150 families affected by the flooding resulting from heavy rains in
Selangor and Johor.

Handing off hygiene products to Malaysian Red Crescent Society staff

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Donation activities related to the COVID-19 pandemic

Activity 1 Donation of hygiene products to support medical professionals and patients
PeriodOutside collaborators
Donations

Details

June 2021
Low-Risk Quarantine and Treatment Centre (PKRC), Johor Bahru
Shokubustu Active Guard Body Shower Foam
Bio Zip Detergent
Fresh & White Toothpaste
KODOMO Lion Toothbrush
KODOMO Lion Toothpaste
Emeron Shampoo
SL donated hygiene products for approximately 585 women (including pregnant
women) and children under 12 years old undergoing treatment and quarantining at the
Low-Risk Quarantine and Treatment Centre (PKRC) in Johor Bahru.

PKRC and SL employees
SL employees moving products to
be donatedActivity 2 Donations of hygiene products to support students
PeriodOutside collaborators
Donations

Details

November 2021
Sekolah Kebangsaan Kangka Tebrau School, Johor Bahru
Fresh & White Toothpaste
KODOMO Lion Toothbrush
KODOMO Lion Toothpaste
KireiKirei Hand Soap
SL donated products for approximately 600 students at Sekolah Kebangsaan Kangka
Tebrau School, which it sponsors, in Johor Bahru, to celebrate the school’s reopening
and help maintain a hygienic environment.

SL employees handing off donated products to school staff
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Activity 3 Donations of care kits to support medical professionals and patients
PeriodOutside collaborators
Donations
Details

April 2020
Ministry of Health2,000 care kit sets containing hand soap, toothpaste, toothbrushes, shampoo and liquid
laundry detergent
Donated care kits to medical professionals and COVID-19 patients at three hospitals inJohor. The kits were assembled as sets in bags for ease of distribution.
This social contribution activity was featured in the newspaper, Harian Metro (Malay) .

Activity 4 Support for families impacted by COVID-19 directly or by the indirect effects of thepandemic
PeriodOutside collaborators
Donations
Details

May 2020
Malaysian Red Crescent SocietySouthern Lion products
Donated relief supplies to 200 impacted households through the NGO the Malaysian
Red Crescent Society.

SL employees carrying donated products

Handing over donated products

Photo published in thenewspaper

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Creating Healthy Living Habits

Activities at PT. Lion Wings
Oral Health Care

Donation Activities* Some activities have been cancelled or postponed to prevent the spread of the COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Oral Care Educational Event at Kindergartens

PT. Lion Wings (“LW”) values the establishment of good oral care habits from early childhood and has conducted oral careeducational events at kindergartens in Indonesia jointly with local dentists since 2008.
Children from age four to five are the main targets of the event. At the event, the importance of oral care is taught throughpuppet shows using the brand characters of KODOMO (LW’s oral care product line for children) and tooth brushing
instruction by dentists. At the end of the event, all participants, including kindergarteners and parents, brush their teeth
together correctly so that they can practice at home what they have learned through the event.
Moreover, LW visits the same kindergartens every two years to ensure the establishment of good oral care habits.
In 2020, the event was held at 10 kindergartens in January and February, before the arrival of the novel coronavirus (COVID19) pandemic, with about 1,000 children participating.

Teaching children correct tooth brushing

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2 Inclusive Oral Care Activities

Lion Group is advancing inclusive oral care activities aimed at providing opportunities for oral care (via products, services
and education) to people dealing with economic hardship, physical limitations or disparities in education or information.

Activity 1 Donations to an orphanage to support education on oral care and hygiene habits
PeriodLocation
Outside collaborators
Participants
Details

August 2020
Pondok Taruna Orphanage, Jakarta
GBI Jemaat Induk Senayan Church
30 people
150 packages of KODOMO Wet Wipes
150 tubes of KODOMO Toothpaste (20g)
150 bottles of KODOMO shampoo (45ml)
60 tubes of Systema toothpaste (20g)
60 tubes of ZACT toothpaste (20g)

Activity 2 Donations to disadvantaged children supported by a church
PeriodLocation
Outside collaborators
Participants
Details

December 2020
Saint Albertus Harapan Indah Church
30 people
120 bottles of Zinc shampoo (70ml)
44 tubes of KODOMO toothpaste (45g)
44 KODOMO toothbrushes
144 Ciptadent toothbrushes
144 tubes of Ciptadent toothpaste (75g)

Commemorative photo withchildren andstaff from the orphanage

At Saint Albertus Harapan Indah
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Donation Activities

As a company that manufactures and sells products used in everyday living, and to fulfills its corporate social responsibility,
LW actively engaged in such social contribution activities as donations of products sold by the company.

Donation activities related to natural disasters

Activity 1 Support for people affected by the 2021 West Sulawesi Earthquake
PeriodLocation
Details

January 2021
Mamuju Regency, West Sulawesi
Donation of Rp10,272,000 worth of LW products for approximately 500 people affectedby the magnitude 6.2 earthquake that struck West Sulawesi in 2021.

Activity 2 Support for people affected by floods
PeriodLocation
Details

February 2021
Karawang, West Java
Donation of Rp11,027,200 worth of LW products for approximately 500 people affectedby heavy rains and flooding in West Java.

Activity 3 Support for an orphanage
PeriodLocation
Details

April 2021
Depok, West Java
Donation of Rp2,680,000 worth of LW products for approximately 200 orphans.

Activity 4 Support for people affected by floods
PeriodLocation
Details

June 2021
Lebak Regency, Banten
Donation of Rp3,544,000 worth of LW products for approximately 300 people affected byheavy rains and flooding in Banten.

Activity 5 Support for an orphanage
PeriodLocation
Details

September 2021
Kramat Jati, East Jakarta
Donation of Rp3,544,000 worth of LW products for approximately 200 orphans.

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Activity 6 Support for people affected by the eruption of Mount Semeru
PeriodLocation
Outside collaborators
Details

December 2021
Semeru, East Java
CT ARSA Foundation
Donation of 10,272,000Rp worth of LW products for people affected by the eruption of
Mount Semeru in East Java (for approximately 100 children and 300 adults) through CT
ARSA Foundation, an organization that supports poor rural communities.

Children receiving LW products

Donation activities related to the COVID-19 pandemic

Activity 1 Donation of LW products to Faculty of Dentistry, University of Indonesia
PeriodLocation
Outside collaborators
Donations

Details

April 2020
Faculty of Dentistry, University of Indonesia
21 boxes of Zinc shampoo (70ml)
20 boxes of Serasoft shampoo (70ml)
20 boxes of Emeron shampoo (70ml)
19 boxes of Ciptadent toothbrush
19 boxes of Ciptadent toothpaste (75g)
Donation of LW products to those working at the Faculty of Dentistry of the University ofIndonesia affected by COVID-19.

Activity 2 Donation of LW products to disadvantaged communities
PeriodLocation
Outside collaborators
Donations

Details

May 2020
Kodi Utara, East Nusa Tenggara
CT Arsa Foundation
21 boxes of Zinc shampoo (70ml)
7 boxes of KODOMO Wet Wipes (10 sheets)
21 boxes of MAMA Lime dishwashing detergent (230ml)
7 boxes of Ciptadent toothbrush
7 boxes of Ciptadent toothpaste (75g)
Donation of LW products to disadvantaged communities affected by COVID-19 throughCT Arsa Foundation, which supports poor rural communities.

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Creating Healthy Living Habits

Activities at Lion Corporation (Korea)
Oral Health Care

Cleanliness

Environmental Conservation

Donation Activities* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Tooth Brushing Sets Given to Celebrate the Start of School

In April and May 2021, Lion Corporation (Korea) (“LCK”) provided sets of its Kids safe toothbrushes and toothpaste for some
5,300 first-graders in elementary school with the aim of developing proper oral care habits to maintain their health. The sets
were provided through Teacher Mall, a specialized online mall where teachers at registered schools purchase teachingsupplies.

Kids safe toothbrushes andtoothpaste

Kids safe promotional pop-up on
the Teacher Mall website

2 Oral Care Education for Children at Playtime Kids Café

In 2021, LCK partnered with Playtime, South Korea’s No. 1 local kids cafe, to provide 7,500 children aged 3 to 7 who visited
Playtime facilities with a KODOMO Toothbrush. This activity was aimed at reducing children’s reluctance toward toothbrushing and informing them about the importance of oral care. A KODOMO Toothbrush commercial also played inside
Playtime to increase brand recognition.

KODOMO product sampling and flyer displayed onsite at Playtime

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3 Lectures about Health Care for Local Residents

LCK has been contributing to the improvement of local residents’ health care by joining health care programs (promoted by
local community organizations such as public healthcare centers, cultural centers and school nurse associations) andconducting health care lectures.
The content of each lecture is tailored to its target audience. Specialists assigned by LCK give lectures on a wide range ofhealth-related topics, such as correct oral care for infants and parents, oral health management, the relationship between
oral health and systemic illness, and living habits to prevent infectious diseases.
In 2021, to prevent the spread of the COVID-19, lectures were held twice via Zoom, with approximately 250 people
participating, bringing the total number of participants since 2012 to 19,150.

Lectures on health care for local residents (2020)

4 Guidance on Oral Care at Elementary, Junior High and High Schools

In cooperation with Seodaemun-gu Health Center and the Department of Preventive Dentistry and Public Oral Health atYonsei University College of Dentistry, LCK has provided education to elementary, junior high and high school students since2014.
At elementary, junior high and high schools within Seoul’s Seodaemun District, LCK has established tooth brushing facilities
at which dentists and dental hygienists provide ongoing oral care education and monitoring. Dental examinations are
conducted twice a year for four years with follow-ups as needed (covering students in the fourth through sixth years ofelementary school and in the first through third years of junior high school). In order to ensure students develop proper oral
care habits, dental hygienists visit schools to educate them on such habits as brushing their teeth after meals as well as oncorrect preventive dentistry.
In 2021, the number of participating schools was 16, and approximately 12,000 students received education on toothbrushing through the facilities, bringing the cumulative total number of students served to approximately 55,077.

Conducting oral care lectures for all grades (2019)

Establishing the habit of tooth brushing after meals (2019)142

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5 Holding the Oral Health Event of Tooth Brushing for Children

The Lion Group places emphasis on fostering children’s awareness of dental and oral health in order to help them stayhealthy for a lifetime. Aiming to teach correct oral care to elementary school students, the Lion Group has held the Oral
Health Event of Tooth Brushing for Children since 1932. Currently, the event is held annually in Asia.
LCK has held the Oral Health Event of Tooth Brushing for Children since 2009. In June 2021, approximately 80 students fromtwo Japanese elementary schools in the cities of Seoul and Busan participated remotely from their homes. In total, about
8,160 children have participated in this event since 2009.

Oral Health Event of Tooth Brushing for Children (2019)Children who participated in theevent (2019)

LCK employees who participatedin the event (2019)

6 Running the Oral Care Consultation Room Jointly with a Public Health Center

Aiming to increase local residents’ awareness of oral health and preventive dentistry, LCK and Gwangjin-gu Public HealthCenter have jointly held the Oral Care Consultation Room every Tuesday since 2012. Participants learn to conduct selfchecks of their dental and oral conditions and then receive individual professional examinations. Based on these, theyreceive personal guidance on self-care methods in accordance with their individual dental and oral needs.
A total of approximately 17,000 people, including around 1,790 people in 2019, have taken part in the Oral Care Consultation
Room. In 2021, LCK paused this activity due to COVID-19.

Personal guidance on oral care methods based on individual dental and oral conditions

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Cleanliness
1 Ai! Kekute* and CGV Launch Collaborative Promotional Campaign

Since March 2021, LCK has been carrying out a large-scale promotional campaign inmovie theaters operated by CGV, South Korea’s largest movie theater chain (averaging
2–4 million visitors per month).
The campaign features posters and video advertisements in cinema lobbies across thecountry. Furthermore, theater restrooms are set up with posters, Ai! Kekute products
and stickers that provide proper hand washing instructions.

Ai! Kekute, sold by LCK

Large-scale advertising in theaters (on screens and hanging banners, etc.)

Sticker posted in theater restrooms providing instructions for hand washing using Ai! Kekute Premium Moisture* Ai! Kekute (literally, Oh! Clean!) is a hand soap brand marketed by LCK.

2 Ai! Kekute and ChildFund Korea Launch Colorful Bathroom Campaign

In May 2020, LCK signed a basic agreement with the ChildFund Korea, the largest charitable foundation serving
underprivileged children in Korea, to jointly pursue the following.
Improving the hygiene of hand washing environments in facilities used by children, such as local children’s community
centers
Supporting children with disadvantaged hygiene environments by encouraging the use of hygiene products andestablishing hand washing habits, which have become even more important with the COVID-19 pandemic
Providing hygiene education by employees

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As part of this initiative, LCK has donated a portion of the sales of Ai! Kekute (100 million KRW) to the foundation. The
donated funds will be used to cover the sanitation maintenance expenses for sinks and toilets in facilities used by children.
The goal of the Colorful Bathroom Campaign is to improve the health of children and the local community as a whole byadding color to the sanitary environment by putting out Ai! Kekute and keeping sink areas clean at all times.
In 2021, the project visited and provided maintenance at a total of ten local children’s community centers serving 400
children 4 to 16 years old in the Seoul area.

Ai! Kekute in bathrooms before and after
remodeling

Collaborated with cartoonists to promote thecampaign on Instagram

3 Ai! Kekute Limited Edition Products Created in Collaboration with People with Disabilities: Season 2
Project

LCK releases Ai! Kekute limited edition products every year. Through the Miral Welfare Foundation and Goodwill,* people
with disabilities are involved throughout the processes of product design, packaging, sales and handling donations related
to these products. Proceeds of the donated Ai! Kekute Limited Edition to the Miral Welfare Foundation are used to create
jobs for employees at Goodwill and BridgeOn Arte, an organization under the Miral Welfare Foundation that supports artists
with developmental disabilities. This initiative is aimed at contributing to the employment and income growth of people
with disabilities.

Project aims

Create social and economic value through collaborative creation with people with disabilities
Overcome subconscious prejudice against disabilities and respect the diversity of each individual
Create a positive image of the brand and the company by showing that this campaign is unique to Ai! Kekute
In 2021, the limited edition products were launched in April, and the initiative contributed to the creation of employment for
about 40 people with disabilities.
* Goodwill is a non-profit organization that provides job training and employment services for people who are socially disadvantaged in theirsearch for work, such as people with disabilities and homeless individuals.

An artist with a developmental
disability participated in the
package design

Goodwill employees packing theLimited Edition

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Ai! Kekute Season 2 limited
edition products

In-store sales promotion at
Goodwill store

4 Hygiene Care Activities in Cooperation with Municipalities

The declining birthrate is a social issue facing South Korea, and municipalities are promoting activities to counter it. Aiming
to improve the birthrate, LCK has signed partnership agreements with municipalities and is implementing measures incooperation with the government. To support the health of newborns, LCK provides a Hygiene Care Set to families who haverecently filed birth certificates.
In 2021, LCK expanded this initiative, signing partnership agreements with 54 municipalities. In addition, LCK aims to reduce
anxiety about rising health risks in South Korea stemming from environmental pollution, such as fine particulate matter(PM2.5), and provided information on correct hand washing steps to 105,638 households, for a cumulative total of about
278,706 households, along with Ai! Kekute hand soap.

Partnership agreements with municipalities

5 Supporting Healthy Living Environments for Socially Vulnerable People

Health problems arising from poor living environments (such as sick building syndrome and issues caused by house dust)
among the elderly and other socially vulnerable people have become a social issue in South Korea. The Korean Government
has launched a support project (via the Korea Environmental Industry & Technology Institute affiliated with the Ministry ofEnvironment) to tackle this issue in cooperation with companies, hospitals and municipalities.
LCK has been a supporting member of this project since 2015, distributing daily care products such as dishwashingdetergents, laundry detergents and oral care products in areas with significant vulnerable populations.
In 2021, LCK offered support to 1,750 households, and it will continue to support this project with the aim of realizing
healthy living environments for everyone.

Partnership agreement

Donating products to the elderly

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6 Ai! Kekute Soap Donation Campaign Held in Cooperation with Top Retailers

In South Korea, donation culture has taken root, and “ethical consumption”* has become a part of consumers’ purchasing
habits.
In December 2019, in cooperation with the large South Korean supermarkets Lotte Mart and KIM’S CLUB, LCK held adonation promotion campaign involving purchases of Ai! Kekute soap. Through such organizations as the Korea PediatricCancer Foundation, Child Fund Korea and Korea Single-Parent Family Welfare Facility Association, we can support thefamilies of pediatric cancer patients and children living in unsanitary conditions. After the promotion, 10,000 hand soaps
were donated to the foundation and association.
Korea Pediatric Cancer Foundation: Direct donations to ambulatory care clinics and patients’ families
Korea Single-Parent Family Welfare Facility Association: Direct donations to single-parent families
In April 2021, LCK held an event for consumers via livestream in collaboration with NAVER Corp., which is South Korea’s
leading internet service company and boasts the search engine with the top market share in the country. Through the event,LCK sold Ai! Kekute Season 2 limited edition product sets (one bottle and four refill pack) featuring packages designed bypeople with disabilities. The proceeds from these sales were donated to Goodwill to create jobs for people with disabilities.
The amount donated was shown in real time on the stream, encouraging participation. A cumulative 210,000 consumers
tuned into the stream.
LCK will continue to collaborate with various retailers and expand donation promotions.

* Ethical consumption refers to consumers taking into account their purchases’ effect on people, society and/or the global environment, while
supporting those who are contributing to the solution of social issues.

With Korea Pediatric Cancer
Foundation (2019)

Poster for collaborative eventwith NAVER

7 Promoting an Educational Hygiene Program for Children in Cooperation with Happy Alliance*

LCK signed a partnership agreement with Happy Alliance in August 2017 to engage in social contribution activities andpromote a sustainable social contribution business model.
In 2021, LCK provided Happy Boxes to 11,600 children suffering from food insecurity or living in economic conditions that
present hygiene difficulties. These Happy Boxes contain Kids safe toothbrushes and toothpaste marketed by LCK andleaflets about cavity prevention, enabling children to practice proper brushing at home.
Moving forward, LCK will continue its partnership with Happy Alliance to contribute to improving children’s quality of life.

* Happy Alliance is a network of enterprises, institutions and individuals that, based on sharing and cooperation, are working to bring aboutchange by proactively addressing social issues.

Happy Alliance signing ceremony

LCK employee volunteers with boxes of products that include LCK
daily necessities for delivery to the socially vulnerable

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8 Ai! Kekute Hand Washing Class for Children

To teach children ways to protect their health, LCK has conducted educational activities on hand washing using Ai! Kekute, ahand soap marketed by LCK. Childhood is the most critical period for establishing good hygiene care habits.
In 2016, LCK conducted Ai! Kekute hand washing classes for kindergarteners aged 4 to 6 in Seoul and nearby cities. These
classes involved a bubbly foam-shaped mascot character and a facilitator that captured the children’s attention andencouraged active participation. In 2017, LCK carried out the event at 50 kindergartens, with 6,580 kindergarteners
participating.
In 2019, through monthly volunteer programs, LCK taught children at two local community centers as well as four
kindergartens attended by children of LCK employees how to wash their hands properly (target age group: 4 to 13 years old,
for a total of 300 participants). Through hand washing songs and exercises, children learn that hand washing is not boring,
but actually fun.

Ai! Kekute hand washing class

9 Hand Washing Educational Activities in Cooperation with Five Libraries in Seoul

Usually located near their homes, libraries are facilities children use often. Knowing this, LCK has implemented the “LION
reading a book is Ai! Kekute” campaign in cooperation with five children’s libraries in Seoul, namely, Seoul Children’s Public
Library, Dongjak Public Library, Nowon Library, Gangnam-gu Library and Dobong Culture Information Library. This
campaign is aimed at promoting washing hands properly before and after reading books, which can carry a myriad ofinvisible bacteria. This practice is good not only for hygienic purposes; LCK’s campaign also points out that keeping books
clean contributes to the global environment as clean books last longer and longer-lasting books require fewer trees to be
chopped down to make paper.
Librarians use Value BOXes* to teach children the importance of washing hands before and after reading books. These boxes
show the spots where bacteria tend to adhere in daily life, the proper way to wash the hands and tips for keeping hands
clean after washing. Children are given Value BOX sets consisting of one box for educational purposes for use in the library
and another for use at home with quiz contents about hand washing that make hand washing fun to help establish it as ahabit.
LCK conducted this campaign from December 2018 to February 2019, and approximately 615 families participated in it.
* Each Value BOX leaflet shows the proper way to wash the hands, when to wash and the top spots where bacteria tend to adhere in daily life.
After studying it to learn about hand washing, children can fold it into a Value BOX.

“LION reading a book is Ai!
Kekute” campaign
Two versions of Value BOX

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Environmental Conservation
1 Participated in Cleanup Day Activities along the West Sea CoastIn September 2019, the 19th International Coastal Cleanup Day event was held. This event was established by the United
Nations Environment Program (UNEP) to reduce marine waste. Muuido Island’s Masian Coast, where the activity took place,is located near Incheon International Airport and is typical of the area, with both tidal flats and a sandy beach.
In cooperation with the Incheon Regional Office of Oceans and Fisheries, LCK, whose production headquarters is located in
the Incheon area, participated in the cleanup activity for the first time and celebrated its 15th anniversary. Approximately
100 employees cleaned up about one ton of marine waste, including styrofoam, household waste and fishing gear on thisstretch of West Sea coast.
With the theme of “One company, build one river, road, and town,” LCK will continue to participate regularly in West Sea
coastal cleanup activities.

Employees cleaning up plastic bags and other garbage on the beach

2 Supporting a Forest Development Project

A small island on the Han River, Nanjido became Seoul’s official landfill in the 1970s. Due to Seoul’s rapid urbanization andeconomic growth, Nanjido was eventually covered by enormous mountains of garbage. After the landfill site closed downaround 1990, the government gave the issue serious consideration and planned the Landfill Recovery Project. The project
aims to recover the site, transforming it into “ecological parks.” One of these is Haneul Park, where citizen groups,
companies and the government are working together to promote a forest development project aimed at restoring
biodiversity. As an environmentally friendly company, LCK has been supporting this project since 2017.
LCK has developed its own forest with the name of Ai! Kekute, where employee volunteers have planted approximately 100
trees. As the young trees reach sufficient size and strength, LCK employees transplant them to the Haneul Park forest.
This activity was conducted by 86 employees and their families in 2019.

Finding places to transplant thetrees

Tree transplanting

149“Ai! Kekute Forest” project
participants, including membersof employees’ families

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Donation Activities

To fulfill its corporate social responsibility, LCK, as a hygiene product manufacturer, actively engaged in such social
contribution activities as in-kind donations of hygiene products sold by the company.

Donation activities related to the COVID-19 pandemic

Activity 1 Donation of hygiene products for blood donation
PeriodOutside collaborators
Donations
Details

January 2021
Korean Red Cross Blood Services
2,021 hygia sets
LCK created hygiene sets of three types of products marketed under its new hygiene
brand, hygia, and provided them to blood donation event participants to encourage
blood donation and help overcome the nationwide blood shortage caused by the third
wave of COVID-19 infection.

Blood donation drive poster featuring three hygia products

Activity 2 Emergency rescue activities in the early stages of the COVID-19 pandemic
PeriodOutside collaborators
Donations
Details

January–February 2020
Hope Bridge Korea Disaster Relief Association
10 million KRWDonated 10 million KRW in emergency relief funds and Ai! Kekute hand soap for use inquarantine living facilities and at home by South Koreans who had been living in
Wuhan, China and had to suddenly return to South Korea because of the pandemic.

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Activity 3 Ai! Kekute support for medical professionals in Seoul
PeriodOutside collaborators
Donations
Details

March 2020
Seoul City Hall
5,000 bottles of Ai! Kekute
Donated Ai! Kekute to the disease control department of Seoul City Hall and distributed
it to 25 health centers, dedicated COVID-19 clinics and the homes of voluntary
quarantine patients.

Activity 4 Support for physical and mental health for healthcare workers in light of thecontinuing COVID-19 pandemic
PeriodOutside collaborators
Donations
Details

March and November 2020
Korean Red Cross
3,000 bottles of Ai! Kekute
10,000 packs of Kyusoku Jikan
9,000 packs of Naengam Therapy Ice Deo Sheet
March:
1. Donated Ai! Kekute to maintain the cleanliness and hygiene of medical staff
nationwide
2. Donated Kyusoku Jikan to help medical staff who wear protective clothing forextended periods of time and emergency personnel who transport patients all day long
recover from fatigue
November:Donated Cool Therapy Cooling Sheet to healthcare workers at seven hospitals
designated for COVID-19 patients to create a rapid chilling effect as the heating system
may get them overheated in medical protective clothing.

Activity 5 Support for the skin care of healthcare workers wearing masks for long periods oftime
PeriodOutside collaborators
Donations
Details

September 2020–February 2021
Korean Red Cross
3,500 ampoules of RAWQUESTDonated ampoules of the new cosmetics brand RAWQUEST to medical personnel at
hospitals designated for COVID-19 patients

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Other Donation Activities

Activity 1 Donated proceeds from eco-certified product sales under the “Green Hi, Carbon
Bye” campaign for World Environment Day 2021
PeriodOutside collaborators
Donations
Details

May 2021
Korea Environmental Industry & Technology Institute, Miral Welfare Foundation
Proceeds from sales of Chamgreen
LCK participated in an eco-campaign as a certified Green Company in the run-up to
World Environment Day.* As part of efforts to promote ethical consumption, LCK
advertised eco-certified Chamgreen products, selling 3,150 units.
A 2% portion of the proceeds of these sales were donated to support environmental
conservation. The remainder of the proceeds were donated to support job creation forpeople with disabilities.

Eco-certified Chamgreen products* The United Nations designates June 5 every year as World Environment Day, a day for raising awareness of environmental conservation andconducting educational activities. World Environment Day was as established in 1972 at the Stockholm Conference on the Human
Environment.

Activity 2 Emergency Aid: Donation of hygiene products to Afghan refugees
PeriodOutside collaborators
Donations
Details

September 2021 (Part 1), November 2021 (Part 2)
Korean Red Cross
10 million KRW
LCK donated hygiene products for Afghan refugees (approximately 400 individuals in 80
families) who entered the country on an emergency basis due to the crisis in
Afghanistan.

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Creating Healthy Living Habits

Activities at Lion Daily Necessities Chemicals (Qingdao) Co.,Ltd.
Oral Health Care

Cleanliness

Donation Activities* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Oral Health Event of Tooth Brushing for Children

The Lion Group places emphasis on fostering children’s awareness of dental and oral health in order to help them stayhealthy for a lifetime. Aiming to teach correct oral care to elementary school students, the Lion Group has held the Oral
Health Event of Tooth Brushing for Children since 1932. Currently, the event is held annually in Asia.
Lion Daily Necessities Chemicals (Qingdao) Co., Ltd. (“QDL”) has held the Oral Health Event of Tooth Brushing for Children
since 2017. In 2021, about 30 students from Japanese elementary schools in Shenzhen and Qingdao participated in theevents held in June and November. An educational DVD and oral care sets (including an event booklet, toothbrush,
toothpaste, dental floss and mirror) were sent to the participating schools in advance. Using the distributed oral care sets,
the students learned the causes of cavities and how to properly use toothbrush and dental floss.

2 Supporting Maternity Classes

Since 2013, maternity classes have been held annually at about 200 obstetrics and gynecology clinics located in 15 cities in
China. The maternity classes are conducted for soon-to-be mothers to support them as they prepare to give birth. The
maternity classes include periodic lectures on oral care during pregnancy, as expectant mothers tend to be especiallysusceptible to oral health issues.
QDL supports these lectures by providing oral care products and information on correct oral care to the clinics.

Lecture at the Maternity Class

Oral care gift sets were provided to expectant mothers

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3 Raising the Oral Care Awareness of Expectant Mothers

In every district of Shanghai, expectant mothers who have reached the third month of pregnancy are required to register
personal information regarding their pregnancy and birth plans at a community hygiene health care center in their towns.
QDL cooperates with the Shanghai Institute of Planned Parenthood Research, a municipal government department, topromote the importance of oral care during pregnancy. Oral care gift sets that contain leaflets titled “Oral Care Directions forSoon-to-Be Mothers” and Systema toothbrushes and toothpaste (both products sold by QDL) are distributed to expectant
mothers who come to health care centers to register. The oral care gift sets have been provided to about 300,000 expectant
mothers every year from 2014 to 2017.

Oral care gift sets given to expectant mothers (left)
Leaflet titled “Oral Care Directions for Soon-to-Be Mothers” (right)

Handing out the oral care gift set

Cleanliness
1 Hand Washing Activities at Kindergartens

In Shanghai, to prevent the spread of infectious diseases, children are encouraged to wash their hands before entering thekindergarten building. As a support measure, QDL has supported hand washing activities aimed at children ages three to six
in kindergartens in Shanghai since 2016.
QDL provides KireiKirei hand soaps (a product it sells) to kindergartens for children to use at hand washing sinks. Moreover,
QDL supports the hand washing classes conducted in kindergartens. In the hand washing classes, children are taught theimportance of hand washing by their teacher, and every child receives a KireiKirei Health Diary, which contains instructions
on correct hand washing techniques and timing.
In 2021, in addition to Beijing, Guangzhou, Hangzhou, Nanjing, Shenzhen and Chengdu, QDL expanded this activity to
Suzhou, allowing the company to distribute KireiKirei Health Diaries to approximately 76,000 children at 255 kindergartens.

Children washing their hands at kindergarten upon arrival

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Children carefully washing their hands, following the steps recommended by KireiKirei Hand Soap

2 Hand Washing Promotion for Children at Educational Institutions

QDL is promoting the importance of hand washing among children ages three and up at various educational institutions inShanghai. With the hope of making hand washing fun for children, QDL provides KireiKirei hand soap (a product it sells) andposts the “Happy Hand Washing” slogan and stickers showing correct hand washing steps at hand washing sinks.
In 2021, in addition to Shanghai, Guangzhou, Shenzhen, Hangzhou and Nanjing, QDL expanded this activity to Suzhou, andconducted it in 370 educational institutions, teaching more than 370,000 children correct hand washing methods.

KireiKirei bottles are provided by each faucet, and posters featuring illustrations showing correct hand washing steps are put up where they
can be easily seen from the sinks

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3 Awareness-Raising Videos about Hand Washing in Taxis

KireiKirei brand hand soap is sold in a number of countries and regions, including China, by Lion Group companies.
From April to October 2020, amid the COVID-19 pandemic, QDL partnered with a taxi company in Shanghai to raiseawareness about hand washing and hand sanitizing, using taxis as a way to reach a large number of people. Whenpassengers boarded a taxi, screens mounted in the front seat backs played a video explaining correct hand washingtechniques and promoting KireiKirei Hand Soap. The video not only provided information about the product, but
communicated the importance of hand washing for preventing infection during a pandemic and correct hand washingtechniques. This video ran in approximately 8,000 taxis, reaching around 70 million passengers. At the end of the video, thescreens displayed a QR code linking to the major Chinese e-commerce site JD; by visiting this link, consumers were able toeasily purchase KireiKirei products.

When passengers boarded the taxi, the video played, communicating the importance of hand washing for preventing infection

4 Raising Awareness of Health and Hand Washing at Hospitals in Shanghai

QDL has posted hand washing wall-posters featuring KireiKirei illustrations in hospitals to raise awareness of health andhand washing among children and their parents and promote healthy living since 2018. These posters depict correct handwashing practices.
In 2020, these posters were put up at a new hospital in Shanghai, and approximately 250,000 families had the chance tolearn from them. Also, QDL provides KireiKirei samples so visitors can try using it and practice correct hand washingtechniques.

KireiKirei illustrations to raise awareness of the connection between health and hand washing at hospitals

5 Setting up the LION’s Wonderful House in Big Parks in Shanghai

In Shanghai, spring and autumn are the most popular seasons to spend time outdoors, and many people gather at parks.
However, there are not many places at such venues for people to wash their hands before eating and drinking.
Since 2016, QDL has set up the Hand Washing House at key times of year in big parks in Shanghai. Users of the Hand
Washing House are taught how to wash their hands correctly, and KireiKirei Health Diaries, containing instructions oncorrect hand washing techniques and timing, are distributed to all participants.
In 2019, the Hand Washing House was updated to become LION’s Wonderful House. This limited-time event aimed to teachvisitors about the merits of QDL’s products. In addition to conventional KireiKirei hand soap, the house had exhibitionbooths promoting such oral care products and brands as the KODOMO brand. Furthermore, to offer a more comprehensive
look at house cleaning lifestyle options, QDL expanded the display area to include household products for fabric care andliving care, such as TOP brand items. Staff encouraged visitors to try the product samples and explained the products’ key
functions and features. If, after being given the chance to browse all the products, visitors chose to buy a QDL productthrough its website, they were given the chance to play the Interactive Gachapon Machine,* which gives good odds on
winning QDL products. These park events reached appropriately 70,000 park visitors.
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LION’s Wonderful House in a big park

Visitors trying TOP & KODOMO productsInteractive Gachapon Machine* Interactive Gachapon Machine
How to play:
1. Visitors throw a big coin into the hole of the lower green box.
2. A pink or blue capsule containing papers will fall from the upper space automatically.
3. After opening the capsule, visitors can get a gift card for the QDL product named on the paper.
4. With this card in hand, visitors can go to the lottery desk to get the appropriate gift on the spot.

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Donation Activities

To fulfill its corporate social responsibility, QDL, as a hygiene product manufacturer, actively engaged in social contribution
activities, such as in-kind donations of hygiene products sold by the company.

Donation activities related to heavy rain

Activity 1 Support for people affected by flooding
PeriodOutside collaborators
Donations
Details

July 2021
China Children and Teenagers’ Fund
Donations worth RMB1,419,400, including laundry detergent and hand sanitizer
In coordination with 36 companies and institutions, QDL donated its products and cash
to support children affected by flooding in Henan.

Staff and trucks carrying relief supplies

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Donation activities related to the COVID-19 pandemic

Activity 1 Donations of KireiKirei Hand Soap in areas with high rates of COVID-19 infection
PeriodOutside collaborators

Donations
Details

April–October 2020
Hospital and Medical Institutions in Wuhan and Shanghai·Wuhan Jinyintan Hospital·Hubei 672 Hospital of integrated traditional Chinese and Western Medicine·Shanghai Jiading Maternal and Child Health Hospital·Shanghai Jiading District Women’s Federation
A total of 180 boxes of KireiKirei Hand Soap
The pandemic created supply shortages. QDL donated KireiKirei Hand Soap to a
hospital in Wuhan and medical professionals at three medical institutions in Shanghai,areas that faced major COVID-19 outbreaks. This helped medical professionals keep
their hands clean and maintain their health while treating patients.

Relief supplies stacked in awarehouse

Qingdao Lion employees loading
relief supplies onto a truck

Medical professionals receiving
the donated relief supplies

Relief supplies stacked in awarehouse and Qingdao Lion
employees

KireiKirei Hand Soap after arriving at the hospital and medical institutions

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Creating Healthy Living Habits

Activities at Lion Corporation (Hong Kong) Ltd.

* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
1 Supporting “Love Teeth Day”

Lion Corporation (Hong Kong) Ltd. (“LCHK”) participated in “Love Teeth Day,” an annual charity fund-raising event in Hong
Kong started in 2008, organized by the Community Chest of Hong Kong, the Hong Kong Dental Association and the Hong
Kong Department of Health. LCHK has taken part for 12 consecutive years, since 2009. The aim of this campaign is toheighten public awareness of oral health and to encourage people to practice preventive oral health.
On December 10, 2021, “Love Teeth Day” was held and donations were collected from Hong Kong citizens to support Oral
Health Services for the needy. Participants who donated more than HK$35 received the “Love Teeth Day Oral Care Pack” inappreciation of their support. This is a gift set of various oral care products, including toothbrushes, toothpaste and dental
floss, as well as a dental care leaflet, to further promote oral health information and the importance of oral care.
In 2021, LCHK donated 31,000 Systema toothbrushes for inclusion in the “Love Teeth Day Oral Care Pack.”

Love Teeth Day 2021 poster

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2 Supporting Oral Care Education Classes at Kindergartens and Nurseries

The “Brighter Smiles for the New Generation” is a territory-wide oral health promotion program organized by the Hong Kong
Department of Health and the Hong Kong Dental Association. Oral care education classes are conducted at kindergartensand nurseries. LCHK supports this program. (From November 2015 to June 2020.)
In the oral care education classes, children aged three to six are taught how to brush their teeth correctly in a fun manner by
their classroom teacher. After the class, each child is awarded a certificate of class completion and given a Systema Kid’s
Toothbrush and KODOMO Toothpaste (oral care products of LCHK) for use at home.
99,000 children at about 770 kindergartens and nurseries participated in this program in 2020.

Children show their brightest smiles as they hold their Systema Kid’s Toothbrushes.

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Creating Healthy Living Habits

Activities at Lion Home Products (Taiwan) Co., Ltd.
Oral Health Care

Hygiene Care

Donation Activities* Some activities have been cancelled or postponed to prevent the spread of COVID-19. The Lion Group isrevising its activities, including the use of online technologies, as it continues working to create healthy living
habits.

Oral Health Care
Oral Health Class for Children

With the aim of fostering children’s awareness of dental and oral health from a young age, the Lion Group has held the Oral
Health Event of Tooth Brushing for Children since 1932. Started in Japan, the event is presently held in Asia.
As part of this event, in cooperation with the Lion Foundation for Dental Health (LDH) , Lion Home Products (Taiwan) Co.,
Ltd. (“LHPT”) conducted oral health classes at two Japanese elementary schools and three local elementary schools in June
2019.
76 children from Japanese elementary schools (33 from Kaohsiung Japanese School and 43 from Taichung Japanese
School) and 820 children from local elementary schools (120 from Taichung Wurih Elementary School, 100 from Kaohsiung
Wucyuan Elementary School and 600 from New Taipei City Jimei Elementary School), for a total of 896 students,
participated in the event. LHPT first held such classes at local elementary schools in 2018 and extended its outreach todifferent local schools in 2019. The event featured programs prepared specifically for students in lower grades (grades 1 to3) and higher grades (grades 4 to 6).*Students in lower grades were taught about the “function of teeth and replacement of the baby teeth by adult teeth” and“the source of cavities (plaque)” in a 30-minute class. They were also taught tooth brushing techniques for their specifictooth alignment using hand mirrors and toothbrushes.
For students in the higher grades, LDH explained the cause of gingivitis, gave tips for observing the gums, and then provided
individual instruction on how to brush according to specific tooth alignment for preventing gingivitis using a model set ofteeth.
Participating students found the content easy to understand and learned about the importance of teeth and tooth brushing.
* The Japanese elementary school system lasts for 6 years, from 1st grade to 6th grade.

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Photos of the oral health class for children at Japanese elementary schools

Children from Kaohsiung Japanese Elementary School
enthusiastically answering oral hygienist's (LDH) questions

Children from Taichung Japanese Elementary School
listening carefully to a lecture delivered by an LDH oral hygienist

Photos of the oral health class for children at local elementary schools

Teaching correct tooth brushing methods to children(Left: Taichung Wurih Elementary School, Center: Kaohsiung Wucyuan Elementary School,
Right: New Taipei City Jimei Elementary School)

Commemorative photo with the LION mascot, who is popular in Taiwan(Left: Taichung Wurih Elementary School, Center: Kaohsiung Wucyuan Elementary School,
Right: New Taipei City Jimei Elementary School)

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Hygiene Care
Conducting Educational Programs to Raise Awareness of Hand Washing Habits

Hand washing has taken on an increased importance as preventive measure against the ongoing COVID-19 pandemic. LHPT,in collaboration with YoYo TV,* conducted educational programs on hand washing habits at 20 kindergartens across Taiwan
from April to May, 2021, with the aim of teaching children the importance of hand washing and proper hand washingmethods. Classes conducted under the program last 30 to 40 minutes and comprise the following parts.
1. Lesson from the teacher on hand washing hygiene
2. Singing and dancing to a special hand-washing song
3. Drawing original hand soap bottle labels and putting up posters
4. Hand washing
5. Bacteria check
We also donated KireiKirei Foaming Hand Soap to the schools for use in their hand washing areas so children could put thelessons into practice.
In the lesson on hand washing hygiene, the teachers talked about germs and viruses, how hand washing can protect yourloved ones, the correct way to wash hands and the features of KireiKirei Foaming Hand Soap.
After the lesson, the children took home their original soap bottles drawn with crayons to use with their families, helping topromote their continued use of KireiKirei Foaming Hand Soap. A total of 622 children participated in the lessons.
Another 5,600 parents of children at 60 kindergartens that were unable to participate due to preventive COVID-19
restrictions were provided with leaflets (sent home in children’s parent-teacher notebooks) about the importance of handwashing. At the same time, we worked to encourage parents to purchase and try the product by offering special discounts
on our e-commerce site, thereby promoting sales and expanding recognition of the KireiKirei brand.
Furthermore, to publicize the event, in addition to posting on the YoYo kindergarten website and Facebook, we collaborated
with newspapers to publish articles in print and online. This increased the exposure of the event and boosted awareness of
the importance of hand washing among an even greater segment of the public.

Kindergarten event

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Tools for interacting with parents: leaflets and mask cases tucked into parent-teacher notebooks* EBC YoYo, also known as YoYo TV, is a Taiwanese children’s cable channel operated by Eastern Television.

Donation Activities

To fulfill its corporate social responsibility, LHPT actively engaged in such social contribution activities as donations of
products sold by the company.

Donation activities related to the COVID-19 pandemic

Activity 1 Donation of products to local residents
PeriodLocation
Outside collaborators
Donations
Details

June 2021
Taitung
Taipei Medical University Medical Service Group·750 SYSTEMA kids toothbrushes·375 SYSTEMA toothbrushes
The above products are worth a total NT$9,859
Provided knowledge of correct oral care and donated LHPT products to Taitung
residents ages 6–80 with the aims of reducing future needs for dental treatment andpromoting health.

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Together with the Environment

Together with the Environment

Sustainability Material Issues １ Promoting Environmental Initiatives for a
Sustainable Planet

Basic Approach

We at the Lion Group believe it is our solemn responsibility to provide excellent customer experiences in the areas of health,comfort and cleanliness while protecting the global environment—the foundation of health and daily living—in accordancewith our aim of “Becoming an advanced daily healthcare company.”
We have strived to realize a sustainable planet while working to achieve the targets of Eco Vision 2020.
From 2021, we will strive to achieve LION Eco Challenge 2050, a set of long-term environmental objectives formulated in
2019. Going forward, the Group will ambitiously work toward the realization of a decarbonized, resource-circulating society.

Lion’s Commitment to the Environment

In line with the corporate slogan, “life.love.” we have written “Lion and the Environment” to encapsulate our commitment to
the environment, expressing our aim of reducing environmental burden not only through our business activities, but
through our products as well, while making every day brighter for each individual.

Lion and the Environment
Making daily life more pleasant should also mean caring for the environment.
Each everyday activity can do good things for our planet.
That’s Lion’s eco-philosophy. It’s why we make environment-friendly products that fit right into your lifestyle.
For example, we use renewable plant-derived carbon-neutral ingredients.
And we help you conserve water resources with our water-saving products while protecting the water
environment.
So, day by day, without even thinking about it, you help keep our planet healthy.
It’s an eco-lifestyle for everyday life.
That’s Lion's promise to you and the Earth.
“Every Day. For the Earth” pamphlet [Japanese] (5.5MB)

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Approach / Management / Targets and Achievements
Environmental Approach and Policy /Management

Environmental Objectives and Achievements

ESG Data and Third-Party Verification

Initiatives
Realizing a Decarbonized Society

Realizing a Resource-Circulating Society

Harmonizing with Nature (Biodiversity)

Environmental Communication

Chemical Substance Management

Environmentally Friendly Technologies in theChemicals Business

Reducing CO2Emissions throughout Business Activities
Reducing CO2Emissions throughout Product Life Cycles

Recycling Resources
Reducing Water Use

Lion’s Environmentally Friendly Products

Products with the “eco Lion” Mark [Japanese]

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Together with the Environment

Environmental Approach and Policy / Management
Environmental Policy
Approach
Environmental Management Structure

Environmental Management System
Legal ComplianceApproach

In 2019, the Lion Group established the LION Eco Challenge 2050, a set of long-term environmental objectives, with the goalof promoting business activities that help to address global problems, such as those identified in the Paris Agreement andthe Sustainable Development Goals (SDGs). In 2022, many countries, including Japan, began raising their environment- andsustainability-related targets. We have also revised our objectives as we work to achieve carbon neutrality by 2050. Aiming
to realize a decarbonized, resource-circulating society, we will promote environmentally friendly habits with consumers tocontinuously provide planet-friendly lifestyles that make more sustainable living easy.

Environmental Policy

The Lion Group’s Environmental Policy adheres to the spirit of the Lion Group Charter for Corporate Behavior, which states:“We shall play a positive and active role in creating a sustainable society that harmonizes economic development andenvironmental protection.”

Environmental Management System

The purpose of the Lion Group’s Environmental Management System is to identify, evaluate and remedy the adverse
environmental impacts of our business activities, products and services, and to improve our environmental conservation
activities on an ongoing basis.
We strive to enhance systems for environmental management and reporting with the aim of addressing environmental
issues globally. Environmental data on the Lion Group is available on our website.
Environmental Data

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Status of ISO 14001 Certification

Lion acquired ISO 14001*1certification covering its production sites in July 2001 and has maintained this certification since.
Including the plants of Group companies in and outside Japan, the Lion Group continues to push ahead with its
management systems and environmental conservation activities by obtaining ISO 14001 certifications and ensuring
operations are in compliance with ISO 14001.

ISO 14001 Certificate of Registration

Lion Corporation (Korea) (“LCK”) has received certification as a “Green Company”*2 from the government of South Korea.
The certification period is 3 years, and as a result of the examination in November 2021, LCK received recertification (period:
November 2021 to November 2024) following the previous term (period: November 2018 to November 2021).

Certification*1 ISO 14001: An international standard for environmental management*2 Green Company: A company that contributes to the improvement of the environment by significantly reducing pollutants, saving resourcesand energy, improving the environmental effect of products and establishing a green management system, as stipulated in Article 16 of theEnvironmental Technology and Industry Support Act

Lion Group ISO 14001 certifications

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Environmental Management Structure

To grow our businesses while reducing our impacts on the global environment, the Sustainability Promotion Council, which
consists of the executive corporate officers, including the President, and representatives of related divisions. The council
deliberates on policy for dealing with environmental problems and monitors the progress of related efforts.

Top Environmental Audits

Lion’s top management has been carrying out environmental audits of domestic Group production sites since 1999. Since
2009, we have formulated audit plans based on the characteristics of each plant and carried out regular audits every three
years. In 2019, the director responsible for the Sustainability Promotion Department (Kenjiro Kobayashi) carried out top
environmental audits of the Chiba Plant, Osaka Plant and Akashi Plant. Top environmental audits scheduled for 2020 were
postponed to the second half of 2021 due to the COVID-19 pandemic. In 2021, we carried out top environmental audits of theLion Specialty Chemicals Co., Ltd. Ono Production Site and the Lion Chemical Co., Ltd. Fine Chemical Production Site in a
hybrid format combining in-person and online auditing.

Top environmental audits (2021) Left: Lion Specialty Chemicals Co., Ltd. Ono Production Site. Right: Lion Chemical Co., Ltd. Fine Chemical
Production Site

Internal Environmental Audits

Trained internal environmental auditors regularly conduct internal environmental audits to check compliance with therequirements of ISO 14001. The relevant departments then take responsibility for implementing improvements regarding
any issues thus identified. In addition, the general managers of offices and plants conduct management reviews to confirm
that organizational management systems are constantly being improved to be more apt, fair and effective.

Legal Compliance

Lion ensures compliance with environmental laws and regulations. In addition, we carry out management based on
proprietary management standards.

Proper Waste Disposal

For waste disposal, a waste disposal officer at each operating site commissions waste disposal contractors based oncontractor selection standards laid out in Lion’s waste management regulations. We also perform regular on-site
inspections of waste disposal contractors’ facilities to determine whether we should continue to commission them.

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Proper PCB Waste Storage and Disposal

Polychlorinated biphenyl (PCB) was once widely used as an insulating oil in electrical equipment for its excellent fire
resistance and electrical insulation properties, but its manufacture and import are now prohibited by law. Lion is advancing
the treatment of decommissioned equipment containing PCB. Until such treatment can be commissioned, we carefully store
such waste in strict compliance with the Act on Special Measures concerning Promotion of Proper Treatment of PCB Wastes.

Wastewater Management

We manage ordinary wastewater to ensure that we do not emit wastewater that violates legal or regulatory water quality
standards through such means as enhancing the stability of wastewater treatment facilities, maintaining and reinforcing
treatment control, and carrying out emergency drills. Furthermore, operating sites form agreements with individualmunicipalities and establish and enforce voluntary standards to ensure thorough wastewater management.

Responding to Legal and Regulatory Changes Related to the Environment

With regard to revisions of environmental laws and regulations, namely, the Act on the Rational Use of Energy, the Act on
Promotion of Global Warming Countermeasures, the Act on Confirmation, etc. of Released Amounts of Specific Chemical
Substances in the Environment and Promotion of Improvements to the Management Thereof, the Act on the Evaluation ofChemical Substances and Regulation of Their Manufacture, etc., the Waste Disposal and Public Cleansing Act and the Soil
Contamination Countermeasures Act, information is collected from administrative agencies and industrial associations toensure that related departments are up to date on and fully compliant with the latest developments.
There were no violations resulting in fines or other penalties in 2021.

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Together with the Environment

Environmental Objectives and Achievements
LION Eco Challenge 2050 Long-Term Environmental Objectives
Participation in External Organizations

Eco-First Commitment

LION Eco Challenge 2050 Long-Term Environmental Objectives

In 2019, the Lion Group established the LION Eco Challenge 2050, a set of long-term environmental objectives, with the goalof promoting business activities that helping to address global problems, such as those identified in the Paris Agreement
and the Sustainable Development Goals (SDGs). In 2022, many countries, including Japan, began raising their environmentand sustainability-related targets. We have also revised our objectives as we work to achieve carbon neutrality by 2050.
Aiming to realize a decarbonized, resource-circulating society, we will promote environmentally friendly habits with
consumers to continuously provide planet-friendly lifestyles that make more sustainable living easy.

Response to the TCFD

The Lion Group’s businesses are only possible because of value derived from nature, such as the natural resources used as
key raw materials in its products. As such, the impact of climate change on our business activities is significant, and we
regard addressing climate change as an important task.
The Task Force on Climate-related Financial Disclosures (TCFD), established by the Financial Stability Board (FSB), promotes
corporate disclosure of information on climate-change related risks and opportunities as well as governance from an
investor’s perspective.

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In May 2019, Lion endorsed the recommendations of the TCFD and began evaluations of the financial impact on its
operations of climate-related risks and opportunities (scenario analyses*).
Going forward, we will leverage insights gleaned thus far while enhancing our scenario analyses, considering response
measures and advancing disclosure based on the TCFD framework.

* “Practical guide for Scenario Analysis in line with the TCFD recommendations 3rd edition” (published March 2021; pp. 235-247)

Greenhouse Gas Reduction Target Validated by the SBT Initiative
In July 2020, Lion’s greenhouse gas (GHG) reduction target for 2030 was validated by
the Science Based Targets (SBT) initiative*1 as being based on sound scientific grounds
and aligned with the target of limiting global warming to well below 2°C*2.

Science Based Targets*1 The SBT initiative is a collaborative international initiative established in 2015 by the Carbon Disclosure Project (CDP), the United Nations
Global Compact (UNGC), World Resources Institute (WRI) and the World Wide Fund for Nature (WWF). The initiative assesses and validates
whether GHG reduction targets set by companies are properly science-based to help achieve the goal of the Paris Agreement of holding theincrease in the global average temperature to well below 2°C above pre-industrial levels.
*2 SBT-validated target: Reduce total Scope 1, 2 and 3*3 GHG emissions 30% by 2030 (compared with 2018 levels).*4*3 Scope 1: Direct emissions from the use of fuel by the Company.
Scope 2: Indirect emissions from electricity and heat purchased and used by the Company.
Scope 3: Indirect emissions from the Company’s value chain(excluding those covered by Scope 1 and Scope 2)*4 CO2 accounts for 99.4% of Lion’s GHG emissions (2019 figure).
News release: Lion’s Greenhouse Gas Reduction Targets Validated by the SBT Initiative

Eco-First Commitment

Under the Eco-First Program, companies make a commitment to the Minister of the Environment regarding their global
warming countermeasures, efforts to reduce waste and promote recycling, and other voluntary initiatives to conserve theenvironment (Lion's Eco-First Commitment [Japanese] ). The Minister of the Environment then certifies that suchcompanies are leaders in their industries in terms of implementing forward-looking, voluntary business activities inenvironmental areas.
In 2008, Lion became the first company in a manufacturing industry to be certified as a member of the Eco-First Program.
Since then, we have updated our Eco-First Commitment in step with the establishment of long-term environmental
objectives. The last such update was made in 2019 to reflect the LION Eco Challenge 2050 long-term environmental
objectives.

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Eco First Promotion Council

The Eco First Promotion Council [Japanese] is an organization established in December 2009 to reinforce coordination
among environment-related governmental bodies and EcoFirst Program member companies, increase awareness of the
program and further enhance initiatives to address environmental issues.
Since the council’s establishment, Lion has actively participated as a core member, serving as the chair company from fiscal
2012 to 2013 (Chairman: Lion President Itsuo Hama, current Lion Chairman). Lion is currently involved with council
operations as the managing company.

Participation in External Environmental Initiatives
TCFD

Eco First Companies Asso
ciation [Japanese]

CLOMA Japan Clean Ocean Material AllianceJapan Climate Initiative

Plastics Smart [Japanese]Japan Initiative for Marine
Environment

GX League [Japanese]

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Together with the Environment

Realizing a Decarbonized Society
ApproachSince the Industrial Revolution, rising emissions of CO2 and other greenhouse gases (GHGs) have contributed to global
warming. The impact of global warming-driven climate change on people and ecosystems is expected to become
increasingly severe, coming in such forms as more frequent heavy rains, flooding and other natural disasters, dwindlingfood and water resources, extreme heat, and outbreaks of infectious disease.
The Lion Group conducts businesses that utilize natural resources, such as oil palm and pulp and paper, and therefore
recognizes global warming as major risk to its operations.
The Paris Agreement, aimed at mitigating climate change and transitioning to a decarbonized society, came into effect in2016. The agreement includes the shared global long-term targets of limiting the average global temperature increase towell below 2°C (the “well below 2°C target”) and of pursuing efforts to limit the increase to 1.5°C. In support of the targets of
the Paris Agreement, in July 2019, Lion set the long-term CO2 emissions reduction targets of a 30% reduction by 2030
compared with 2017 and net zero by 2050. In 2020, one of Lion’s targets was validated by the Science Based Targets (SBT)
initiative as being aligned with the well below 2°C target.
Furthermore, in May 2019, Lion endorsed the recommendations of the Task Force on Climate-related Financial Disclosures(TCFD).
In May 2021, the LION Group took into consideration such social trends as the Japanese government’s increase in its 2030
greenhouse gas emission reduction target from 26% to 46% (compared to 2013). Based on this, to help realize the common
global goal of limiting the temperature increase from pre-industrial times to within 1.5°C, we raised the 2030 CO2 reduction
target under the LION Eco Challenge 2050 for business site activities from 30% to 55% (compared to 2017).
To speed up the achievement of this goal, we also decided to switch the sourcing of all of the Group’s purchased electricity
to renewable energy sources by 2030. Furthermore, to facilitate capital expenditure on decarbonization, we introduced theInternal Carbon Pricing (ICP) system, which virtually converts CO2 emissions into costs based on our own criteria, thus
securing a reference for environmental investment decisions.
Based on its Environmental Policy and the LION Eco Challenge 2050, the Lion Group strives to reduce GHG emissions in its
business activities and to contribute to decarbonization by providing environmentally friendly products and services in
addition to promoting eco-friendly habit creation together with consumers. Through such efforts, we will contribute to themitigation of climate change.

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Overview

The Lion group is working to reduce GHG emissions at all stages, from raw material procurement to consumer disposal. We
will continue to promote efforts toward the realization of a Decarbonized Society.
Activities Aimed at Realizing a Decarbonized Society

Initiatives
Reduce CO2 Emissions throughout Business
Activities

Reduce CO2 Emissions throughout the Life Cycleof Products

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Together with the Environment

Reduce CO2 Emissions throughout Business Activities

Sustainability Material Issues １ Promoting Environmental Initiatives for a
Sustainable Planet
Promotion of Energy Conservation Activities

Utilization of Renewable Energy

Promotion of Energy Conservation Activities

In 2021, the Lion Group raised the target of reducing CO2 emissions from its business activities from a 30% reduction(compared to 2017) to a 55% reduction by 2030 (compared with 2017). As the first part of efforts to achieve our CO2
emissions reduction target, we are implementing thoroughgoing energy-saving activities at our various plants, offices andother facilities in Japan and overseas to increase energy efficiency.
Our production divisions consume higher amounts of energy, but are aiming to reduce CO2 emissions by 1% or more perunit of production every year through energy-saving activities such as improving productivity and adopting high-efficiency
equipment while working to reduce energy loss from utilities in such forms as steam and pressurized air and by recovering
heat to save energy. In addition, our offices have set up power-saving projects as they strive to save energy.
When constructing new buildings, such as plants and employee facility buildings, we strive to implement energy-efficientfacility design to reduce energy consumption. In the future, by comprehensively understanding the energy consumption
status of all plants, we will discover more ways to conserve energy and achieve further energy savings.
Going forward, we will continue to advance measures to further reduce CO2 emissions.

New employee facility building at the Lion
Chemical Corporation Oleochemical Production
Site (LCCOC)

Energy efficiency label at the new LCCOC
employee facility building

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Received Commendation from the Director-General of the Kanto Bureau of Economy, Trade andIndustry for the Second Consecutive Year for Excellence in Energy Management
Lion received the Kanto Bureau of Economy, Trade and Industry
Director-General’s Award for Excellence in Energy Management in fiscal
2019 as an excellent business operator that has made notable
contributions to energy conservation. This award was given for Lion’s
headquarters building, following the award given for our Tokyo officebuilding in the previous year. Lion was rated highly for its efforts to
reduce energy consumption by utilizing BEMS (Building Energy
Management System) data during the relevant period (April 2014 toMarch 2019) to understand the status and ensure the proper operation ofeach piece of equipment within the building and by implementing
detailed energy management. (Relevant location: headquarters
building)Award ceremony for fiscal 2019

Director-General’s Award, Kanto Bureau of Economy, Trade and Industry, Ministry of Economy, Trade and I
ndustry [Japanese]

Received the Osaka Prefectural Governor’s Award in the Osaka Stop Global Warming Awards forContributions to the Prevention of Global Warming
Lion previously received the Osaka Prefectural Governor’s Award,
sponsored by the Osaka Prefectural Government, in 2018 as the mostoutstanding business operator in terms of efforts to prevent global
warming.
The Osaka Plant (Sakai City) was recognized for its excellent overall
efforts to reduce greenhouse gas emissions through energy-saving
activities with the participation of all employees, reduction of energy
consumption by changing manufacturing processes and types of
production, introduction of energy-saving facilities and equipment, andimprovement of equipment operations. (Relevant locations: Osaka Plant
and Osaka Office)Osaka Stop Global Warming Award

Osaka Stop Global Warming Award [Japanese]

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CO2 Emissions in Business Activities (Domestic and Overseas)

ESG Data

Utilizing Renewable Energy

The Lion Group is committed to implementing thorough energy-saving activities but does not expect these to be sufficient
to meet its CO2 emission reduction targets. To make up the difference, it will be necessary to utilize renewable energy bysuch means as installing facilities to generate solar power for in-house use and switching to purchasing electricity fromrenewable sources.

Introduction of Solar Power Generation System for In-House Consumption

We have already installed facilities to generate solar power for in-house use at the Hirai Office Site. In 2021, we haveadditionally installed such facilities at LCCOC. Overseas, in the same year, a new solar power generation facility was
installed in the building of the new drying tower added to Lion Corporation (Thailand) Ltd. (LCT) We will continue to operatethese systems as sources of renewable electricity.

Solar power generation facility at the Hirai Research Center

Solar power generation facility at LCCOC
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Exterior view of the new drying tower building at LCT

Switching to Renewables for Purchased Electricity

LCT has purchased a renewable energy certificate (I-REC*) equivalent to the amount of electricity purchased in 2021 toachieve zero carbon emissions for electricity used at its facilities.
We will gradually implement the switch to renewable energy at our domestic and overseas business sites, aiming to ensure
100% of purchased electricity at our business sites is from renewable energy sources by 2030.

LCT’s I-REC certificate handover ceremony* International Renewable Energy Certificate

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Together with the Environment

Reduce CO2 Emissions throughout Product Life Cycles

Sustainability Material Issues １ Promoting Environmental Initiatives for a
Sustainable Planet

Lion is taking on the challenge of resolving issues related to decarbonization by focusing not only on reducing CO2
emissions at its business sites but also on reducing CO2 emissions throughout the product life cycle from raw material
procurement to disposal by consumers, as part of its producer responsibility.
LION Eco Challenge 2050 and Targets and Indicators for 2030
Aim to reduce CO2 emissions throughout the lifecycle of its product by 30% from 2017 levels (absolute amount) by 2030
Aim to halve CO2 emissions throughout the lifecycle of its product by 2050

Greenhouse Gas Emissions throughout the Supply Chain

Lion Group recognizes that understanding greenhouse gas (GHG) emissions throughout the supply chain is important torealizing a decarbonized society. Accordingly, since 2013, we have calculated GHG emissions throughout the supply chain
based on the GHG Protocol Scope 3 standard. In fiscal 2021, our Scope 1, 2 and 3 emissions totaled 4.93 million t-CO2.
Going forward, we will continue to promote and develop products that help reduce emissions during product use, a stage
that accounts for a large portion of product life cycle GHG emissions. By doing so, we will work to reduce GHG emissions.
GHG Emissions throughout the Supply Chain (2021)

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Scope 1 and 2 Greenhouse Gas Emissions from Domestic Operating Sites
Scope 1
Scope 2
Total

2017

22
55
77

2018

22
53
74

2019

21
50
70

2020

19
48
67

(thousand tons)
2021
21
52
74

54
42
96

(thousand tons)
2021
64
22
86

Scope 1 and 2 Greenhouse Gas Emissions from Overseas Operating Sites
Scope 1
Scope 2
Total

2017

51
43
94

2018

54
45
98

2019

50
43
93

2020

Included as a Supplier Engagement Leader under the CDP Supplier Engagement Rating for a Third
Consecutive Year
In 2021, the Lion Group was included for a third consecutive year as a Supplier Engagement
Leader, a select list of the highest rated companies under the Supplier Engagement Rating (SER) of
the CDP, an international non-profit organization that provides systems for environmental
information disclosure.
The SER is based on the CDP climate change questionnaire items about governance, targets, value
chain (scope 3) emissions and supplier engagement strategies. The rating examines more than
5,600 companies around the world. The companies that receive the highest ratings for theiractions and strategies to reduce greenhouse gas emissions and manage climate risk in their
supply chains are selected for inclusion in the list of Supplier Engagement Leaders. In 2021, about
500 companies including Lion (105 Japanese companies including Lion) were selected as Supplier
Engagement Leaders.
CDP Supplier Engagement Rating

Logistics Division Initiatives

Lion works to reduce CO2 emissions and energy consumption intensity through the following efforts.
Using larger transport trucks
Improving the transport loading rate
Expanding direct shipping from plants to shorten transport distances
Promoting modal shifts from trucking to transport by rail or ship

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As a result of increased truck transport attributable mainly to urgent transport related to the COVID-19 pandemic as well as
decreases in rail transport due to natural disasters, Lion’s modal shift rates in 2021 declined year on year. The modal shift
rate for intra-company transport was 11.2% (compared with 13% in 2020) and that for long-distance transport overdistances exceeding 500 km was 37% (compared with 41% in 2020).
Although modal shift rates decreased, by using larger transport trucks and improving logistics efficiency regarding suchfactors as loading ratios, annual CO2 emissions from logistics came to 21,859 tons, down 2% year on year. Energy
consumption intensity decreased 3.0% compared with the previous year, for a five-year average increase of 2.9%, fallingshort of Lion’s target average annual reduction of 1% or more. Going forward, we will continue working toward this target.

Eco Rail Mark Certification「The Eco Rail Mark system was created by the Ministry of Land, Infrastructure and Transport tocertify companies and products that use rail freight transport for a certain portion of productshipment. Because distribution processes are typically opaque to consumers, the Eco Rail Mark is
a useful means for companies to indicate that they use or their products are shipped using
environmentally friendly rail freight transport.
Lion’s Eco Rail Mark certification was renewed in 2021. The certified Lion products are listed in
the Eco Rail Mark pamphlet published by the Railway Freight Association and introduced on thewebsite of the Ministry of Land, Infrastructure, Transport and Tourism.
The following six products are certified (as of October 2021).
1. Ofuro no Look
2. KireiKirei Medicated Foaming Hand Soap
3. KireiKirei Medicated Liquid Hand Soap
4. Between toothbrush
5. TOP SUPER NANOX
6. Soflan Premium Deodorizer

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Kao and Lion Conduct Joint Two-Way Transportation

In October 2020, Lion and Kao Corporation commenced regular joint two-way transportation between their respective
operating sites. This initiative is expected to significantly reduce CO2 emissions.* At the same time, by making long-distancetransport more efficient, the initiative is helping to reduce the burden on drivers. Going forward, by expanding joint logistics
and improving labor conditions using relay transportation, we will work to improve logistics environments based on mutual
understanding and cooperation with our trading partners and logistics contractors.
* 45% reduction in CO2 emissions (total for both companies, compared to previous transportation methods)

Logistics flow of regular joint two-way transportation with Kao Corporation

News Release: Kao and Lion Begin Collaboration on Smart Logistics Initiative Taking Part in the Strategic Innovation Pr
omotion Program Being Led by the Cabinet Office [Japanese]
Related SDGs

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Building a Logistics EDI

In the field of logistics data platforms, Lion is taking a leading role in solving logistics challenges facing the household
consumer product industry. Lion collaborated with PLANET, INC., which operates a commercial logistics electronic datainterchange (EDI), a logistics information infrastructure for the industry. Furthermore, Lion carried out demonstrations of
the use of advanced shipping notices (ASNs) to digitize receipts and simplify inspections, and is rolling out the use of ASNs
sent to wholesalers for individual delivery trucks.
We are also involved in activities to improve the efficiency and standardization of business processes at logistics sites,
including the Study Group for Logistics Productivity in the Supply Chain sponsored by the Distribution Economics Instituteof Japan, the membership of which comprises industry manufacturers and the logistics businesses responsible for theirdelivery. We are leading the establishment of an industry-wide supply chain standard model, in cooperation with othermanufacturers and logistics businesses. Through these initiatives, we aim to improve work environments, improve laborproductivity and reduce environmental burden while building sustainable, resilient supply chains.
Aiming for inspection-free logistics using ASN

Related SDGs

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Together with the Environment

Realizing a Resource-Circulating Society
Approach

The Lion Group will address environmental issues, such as plastic-related problems and water resource shortages, bypromoting various activities to realize a resource-circulating society. By doing so, we will contribute to the solution of social
issues.
Plastic-related problems are related to other environmental issues as well. For example, excessive plastic use increases life
cycle CO2 emissions, contributing to global warming, and improper disposal can result in marine plastics, negatively
impacting biodiversity. Because Lion manufactures and sells plastic products, it has a significant responsibility regarding
plastic-related problems.
The Group has published the Lion Group Plastics Environmental Declaration, which lays out its policy for addressing plasticrelated problems. Going forward, based on this policy, we will set targets aimed at realizing a resource-circulating society
both in Japan and abroad and continuously work to solve related issues.
Water is a resource of utmost importance and vital for all living creatures. Global demand for water is predicted to increase
from 4 trillion (in 2000) to 5.2 trillion cubic meters (in 2025), * and shortages of water around the world are expected to growincreasingly grave. To address the shortage of water resources, we are working to reduce water usage throughout our
products’ life cycles. As a corporation that provides products that are helpful in daily lives, we believe it is our responsibility
to reduce water usage not only in business activities, but by offering water-saving products. Since 2010, we have been
selling TOP NANOX (now TOP SUPER NANOX), a highly concentrated liquid laundry detergent that washes away easily for
one-rinse, residue-free washing. In addition, as of 2020, our entire lineup of liquid laundry detergents can be used in singlerise washing. We will continue to strive to reduce water usage.
* Ministry of the Environment, Annual Report on the Environment, the Sound Material-Cycle Society and the Biodiversity in Japan 2010

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Overview

The Lion Group promotes the recycling and effective use of plastic, water and other resources at all stages from raw material
procurement to disposal by consumers. We will continue to promote initiatives to realize a resource-circulating society.
Activities for Realizing a Resource-Circulating Society

Initiatives
Recycling Resources

Reducing Water Use

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Together with the Environment

Recycling Resources

Sustainability Material Issues １ Promoting Environmental Initiatives for a
Sustainable Planet
Reducing Raw Material Usage
Reducing Waste

Measures Aimed at Realizing a Resource-Circulating Society

Reducing Raw Material Usage

The Lion Group understands that the use of raw materials is the use of resources. We therefore work to reduce our use of
raw materials by making product contents more compact, expanding our lineup of refill products and making containers
lighter.
Raw Material Usage (Domestic Household Products)

Measures Aimed at Realizing a Resource-Circulating Society—Reducing
Container and Packaging Materials—the 3Rs and Renewable Materials

The Lion Group is promoting a wide range of initiatives aimed at realizing a resource-circulating society. We aim to minimize
the volume of resources used in business operations, collect resources after their use, and effectively reuse or otherwise
employ those resources that retain utility in business operations.
To reduce container and packaging materials, Lion complies with theLion eco-standard, which is designed to evaluate products over their entire life cycles
by examining each life cycle stage, from raw material procurement to distribution anddisposal. We are increasing the concentration of such products such as laundry
detergents, fabric softeners and dishwashing detergents to make their containers morecompact while using sophisticated design technology to make containers more
lightweight.
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In 2021, Lion’s total container and packaging material usage was around 57,100 tons,
almost the same as the previous year.
Going forward, we will continue working to reduce container and packaging material
usage through such means as making products more compact and developing
innovative container structures.
Lion’s Container and Packaging Material Usage (Domestic Household Products)

Plastic bottles can be refilled and reused. Film packaging for refill packs can beproduced using less material than product bottles, and because they weigh less andtake up less space after use, they also help reduce household waste.
Going forward, we will work to minimize the use of plastic materials by both reducing
and reusing.
Lion’s Use of Plastic for Packaging and Reduction Effects

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Using Recycled Plastics

Lion proactively uses recycled plastic in products and containers. Our dishwashingdetergent bottles, liquid laundry detergent bottles and toothbrush blister packs are
made with plastic recycled from disposable drink bottles and other sources.

Main Uses of Recycled Plastics
Type of plastic

Type of productProduct name

Dishwashing detergent

CHARMY Magica, etc.
TOP SUPER NANOX

Liquid laundry detergent

Polyethylene terephthalate
Liquid laundry detergent(PET)
Hand soap
Body soap

Parts using recycledplastic
BottleBottle (including large
sizes)TOP SUPER NANOX
KireiKirei hand soaps
Pop-up sticker
Hadakara liquid body soaps

As of June 30, 2022

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Promoting Plastic Product, Container and Packaging Resource Recycling

Aiming to achieve a continuous cycle of plastic use in society, Lion is conducting pilot testing for the recycling of usedproducts and containers and packaging in cooperation with household product manufacturers, recyclers, retailers andmunicipalities.
Main Activities
Recyclable items
Toothbrushes

Activitie name
Toothbrush recycling
Sumida toothbrushrecycling
RecyCreation

Refill packs

Kobe Plastic Next: Joining
Forces to Recycle Refill
Packs
Collaborative Plastic
Recycling Program

Bottles and refill packs“Getting healthy with theplanet” JACDS Circular
Economy Project (June–
December 2022)

Area
Over 1,000 locations
nationwide

Main partners
TerraCycle

Sumida-ku

Sumida-ku

Ito-Yokado’s Hikifune Store
Welcia Pharmacy stores(parts of Tokyo andSaitama)

Kao
Ito-Yokado
Welcia Pharmacy Store
Hamakyorex
Kobe City
Household productmanufacturers
75 locations in Kobe City
Retailers
19 recycling companies
Higashiyamato City, Komae 4 household product
City, Joso City
manufacturers
Japan Association of Chain
Drug Stores
31 locations in Yokohama 3 Retailers
City
4 household productmanufacturer
TerraCycle
As of June 30, 2022

Promoting Circulation of Plastic Containers and Packaging Resources through Partnerships
Kao and Lion are reaching out beyond their corporate groups in an effort to recycle plastic refill containers andpackaging (film packaging), aiming to realize a resource-circulating society.
To accelerate the adoption of recycling, building basic systems for resource collection and developing recycling
technologies are indispensable. At the same time, it is necessary to change mindsets across society incooperation with stakeholders, including consumers, with regard to, for example, sorting plastic packaging
after product use.
To this end, we are conducting the following four activities.
1. Studying ways to sort and collect plastic film packaging in cooperation with consumers, government
agencies and retailers.
2. Creating recycled materials and packaging quality design with consideration for usability in a wide range of
products, ease of sorting and collection by consumers, and potential for use across companies or industries.
3. Studying ways to jointly use materials that are collected and recycled.
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4. Engaging in promotional and educational activities that will foster greater understanding and cooperation
regarding recycling among consumers.
Through the above activities, we are working to improve the economic efficiency of collection and recycling as
a whole. First, we are launching collaborative RecyCreation* activities to sort and collect film packaging andraise awareness in cooperation with local residents. By doing so, we are sharing information about thetechnological hurdles to plastic film packaging recycling.
Going forward, we will advance RecyCreation activities. Furthermore, we are investigating ways to makecontainers more recyclable and developing technologies for the horizontal recycling of film packaging into new
packaging with the aim of achieving a continuous cycle of plastic use.
These RecyCreation activities received the Selection Committee Chairman’s Commendation in the fiscal 2021
Good Practices of Consumer-Oriented Management Awards.
News Release: Kao and Lion Awarded the New Selection Committee Chairman’s Commendation in the Good Practices of Consumer-Oriented Management Awards [Japanse]* “RecyCreation” denotes upcycling through which more enjoyable and improved products are developed and resulting in newvalue creation, rather than recycling materials for the purpose of reproducing the same types of materials. The concept of thisinitiative is “Throwing it away after use. We want to change this common practice.”

We have released a concept film presenting these initiatives

Youtube (Japanese)

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In-store Collection of Used Refill Packs—Recycling Field Testing
RecyCreation activities launched at Ito-Yokado’s Hikifune Store (Sumida-ku, Tokyo) have now been expanded to
30 Welcia Pharmacy stores with the aim of field testing the sorted collection of film packaging from used refill
packs. Under this initiative, a special collection box has been installed at the store to collect customers’ usedrefill packaging for such products as laundry detergents and shampoos. Going forward, we will continue toexpand the scope of the project by collaborating with more municipalities, businesses and stores.

The process of recycling used refill packs in the RecyCreation initiative

Overview of the Field Test

PurposeTo examine processes for the sorted collection of used refill packs in collaboration with consumers andretailers.
Content
To enhance consumers’ enthusiasm for recycling through RecyCreation. Through the test, we are collecting
used refill packs for such products as detergents and shampoos at Ito-Yokado’s Hikifune Store and Welcia
Pharmacy stores, studying effective collection systems and developing new recycling technology.
Implementation period
Starting from October 30, 2020
Location of collection box for used refill packs
Ito-Yokado’s Hikifune Store (Sumida-ku, Tokyo) and Welcia Pharmacy
stores (eastern Tokyo and parts of Saitama) We will gradually expand
this initiative to more locations.
How to prepare and return a pack for collection
1 Cut along the top of the pack to open it
2 Rinse out the inside of the pack twice with water
3 Shake off excess water and let dry
4 Put in the collection box
We have released a concept film of how to wash a used refill packs

Youtube (Japanese)

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Toothbrush Recycling Program
Since 2015, Lion has been implementing an initiative to collect and recycle used toothbrushes in cooperation
with TerraCycle Japan. Many municipal governments and schools across Japan have taken part in this initiative.
We will continue developing toothbrush recycling technologies and applications to expand the possibilities ofrecycled plastic.

About the Toothbrush Recycling Program

Program participation is very easy and free.
1 Register an account as an individual, school or other organization in advance
2 Set out collection boxes and collect used toothbrushes
3 A designated carrier will pick up the box by the second business day after a collection request is made4 The toothbrushes will be reborn as new plastic products, such as planters, instead of being sent to a landfill
or incinerator

Participants receive points according to the weight of the toothbrushes that they send. The points can beexchanged for plastic products produced through TerraCycle's recycling program or donated to a charity of theparticipant’s choice.
Toothbrush Recycling Program

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Using Recycled Paper

The containers and packaging for our powder laundry detergents and other products
are made with recycled paper containing recycled pulp.

Using Plant-Based Plastics in Containers and Packaging

The containers and packaging of some Lion products are made with biomass plastic, made from such plant-based raw
materials as corn and blackstrap molasses, a byproduct produced in the process of refining sugar from sugarcane.

Main Uses of Plant-Based Plastics
Type of plastic
Polyethelene terephthalate
Polyethylene

Type of product
Body soap
Toothpaste
Liquid laundry detergent
Laundry bleachHand soap

Parts using plant-based
plastic
Hadakara liquid body soaps Bottle
CLINICA Advantage NONIO, Tubeetc.
TOP SUPER NANOX
Bright STRONG Gel
Refill packKireiKirei Medicated Hand
Conditioning Soap
Product name

As of June 30, 2022

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Reducing Waste
Zero Emissions from Operating Sites (Domestic)

Lion’s four domestic plants all achieved zero waste emissions in 2002. All of Lion’s operating sites,* including research
institutes and offices, achieved zero waste emissions in 2017.
Despite efforts to ensure thorough waste sorting and the conversion of waste into resources, total waste generated by thedomestic Group in 2021 was down year on year, and down 49% compared with 1990. The domestic Group’s total wasteconsigned to final disposal in landfills in 2021 was down 99.9% from 1990.
* Chiba Plant, Odawara Plant, Osaka Plant, Akashi Plant, Hirai Office Site, Sapporo Office, Sendai Office, Headquarters/Tokyo Office, Nagoya
Office, Osaka Office, Fukuoka Office, Lion Chemical Co., Ltd. Fine Chemical Production Site, Lion Chemical Co., Ltd. Oleochemical
Production Site, Lion Specialty Chemicals Co., Ltd. Yokkaichi Plant, Lion Specialty Chemicals Co., Ltd. Ono Plant

Total Waste Generation(Domestic)

Total Waste Consigned to Final Disposal in
Landfills (Domestic)

Total Resources Recovered(Domestic)

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Waste Generation (Overseas)

Total waste generation overseas in 2021 was down year on year as a result of initiatives to promote recycling. We willcontinue to advance initiatives to reduce waste going forward.
Total Waste Generation
Total Waste Consigned to Final Disposal in(Overseas)
Landfills (Overseas)

Total Resources Recovered(Overseas)

Scope of Overseas Data

All overseas consolidated subsidiaries

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Together with the Environment

Reducing Water Use

Sustainability Material Issues １ Promoting Environmental Initiatives for a
Sustainable Planet

The Lion Group is working to reduce water use in line with the LION Eco Challenge 2050, a set of long-term environmental
objectives formulated in 2019 with the aim of realizing environmental sustainability. In 2019, Lion began calculating water
use throughout the supply chain in order to understand water use throughout product life cycles—from raw material
procurement to production, transport, use and disposal. Total water use throughout the life cycles of Lion’s products in 2021
was approximately 2.3 billion m3.
Breakdown of Water Use over the Life Cycles of Lion Products** Scope: Lion and domestic and overseas consolidated subsidiaries, January–December 2021.

At 76.2%, the product life cycle stage that accounted for the largest portion of total water use in 2021 was use by consumers.
This is because many Lion Group products, such as laundry detergents, are used with water for washing. The Lion Group willcontinue to work with consumers to reduce water use throughout product lifecycles by providing environmentally friendly
products and services that help save water and promoting the formation of environmentally friendly habits.

Water Use and Wastewater Discharge in Business Activities (Domestic andOverseas)

The Lion Group continuously monitors water usage (water withdrawal) and wastewater discharge in its business activities as
it strives to alleviate environmental impact and reduce water usage through recycling. We have been implementing ongoingmeasures to reduce water used in cleaning processes. As part of these efforts, in 2016, we began operating industrial
wastewater recycling facilities at the Chiba Plant. In addition, we use limited quantities of rainwater collected from the plantroof for cooling and for watering flowerbeds.
Identification and Evaluation of Water-Stressed Regions
The Group performs water stress evaluations for all its business locations using Aqueduct, a set of tools developed andannounced by the World Resources Institute. We consider the regions in which our business locations are located to bewater-stressed if their baseline water stress (one of the indicators outlined by Aqueduct) is designated “extremely high.” The
results of the evaluation showed that, in 2020, the Group had one location in a water-stressed region, and its water intake
was 2% of the Group’s total. In 2021, there were no locations in water-stressed regions.

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Water Usage (Water Withdrawal) in Business Activities
Water Usage (Water Withdrawal) by Source
Wastewater Discharge in Business Activities
Wastewater Discharge by Destination

The Chiba Plant’s Wastewater Recycling Facilities

The Lion Group manufactures and sells products that are closely tied to water usage. Moreover, Lion’s plants use a great
deal of water in manufacturing processes to clean facilities and in heating and cooling equipment. Recycling wastewater
after use can thus produce a significant water-saving effect. To this end, Lion introduced a wastewater recycling system at
the Chiba Plant—which uses the most water among Lion’s plants—in 2016 that has been in continuous use since installation.
The greatest feature of this system was the adoption of new wastewater recycling facilities (①). Thanks to these facilities, weare now able to recycle wastewater from production processes that was previously discharged into the environment.
Furthermore, we installed new wastewater treatment facilities (②) that enable greater purification of water from employee
sanitary facilities and cleaning facilities than was previously possible, better removing nitrogen, which is a source of marine
eutrophication.
In 2021, we conserved about 180,000 tons of water annually compared to 2010. That amount is equivalent to about 20% of
the total water usage of all domestic operating sites in 2021.
The Chiba Plant’s Wastewater Recycling System

The Chiba Plant was the first household product factory in Japan to recycle wastewater. In 2017, the plant received the New
Technology Encouragement Award*1 from the Japan Society on Water Environment and the Responsible Care Award*2 fromthe Japan Chemical Industry Association.
*1 In June 2017, the development of the Chiba Plant’s wastewater recycling system was recognized with the New Technology Encouragement
Award from the Japan Society on Water Environment, Japan’s largest academic society related to protecting the aquatic environment. Thisaward is given for research related to aquatic environments or to individuals or organizations that have devised innovative, promisingaquatic environment technologies from the perspective of social contribution.
The Japan Society on Water Environment New Technology Encouragement Award [Japanese]*2 In May 2017, the Chiba Plant received the 11th Responsible Care Award from the Japan Chemical Industry Association for its initiatives toprotect the aquatic environment and contribute to the local community. Since the start of its operations, the Chiba Plant has continuously
implemented activities to protect the aquatic environment.

Lion’s Responsible Care Activities

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Reducing Water Usage During Product Use

The Lion Group is working to reduce water usage throughout the life cycles of its products. To reduce water usage during
product use—the product life cycle stage that accounts for the greatest portion of water use—we provide environmentallyfriendly products that help save water. For example, since 2020, all Lion liquid laundry detergents can be used with just one
rinse cycle.
Under LION Eco Challenge 2050, a set of long-term environmental objectives, the Group set the target of reducing water
usage 30% per unit of net sales across product life cycles by 2030 in comparison with 2017 levels. In 2021, life cycle water
usage was reduced 2% per unit of net sales in comparison with 2017.
Going forward, we will continue to develop products that help reduce water usage during product use and promote
environmentally friendly habits as we strive to reduce the environmental impact of households.
Water Use over the Life Cycles of Lion Products

Water-Saving Products (Domestic)
TOP SUPER NANOXTOP SUPER NANOX For Odors

These laundry detergents rinse away easily, enabling one-rinse washing.

CHARMY Crysta Gel

These dishwasher detergents demonstrate high detergency even when used in quick
wash cycles, effectively removing grime from dishes and dishwasher interiors.

CHARMY Magica Enzyme + (“Plus”)
CHARMY Magica Quick Dry + (“Plus”) Antibacterial
CHARMY Magica Antibacterial + (“Plus”)

These nano-cleansing dishwashing detergents make stubborn grease slide off dishes
like water, helping save time and water when washing up.

Water-Saving Products (Overseas)

Lion sells TOP SUPER NANOX through Lion Corporation (Singapore) Pte Ltd, Lion Home Products (Taiwan) Co., Ltd. and Lion
Daily Necessities Chemicals (Qingdao) Co., Ltd., helping to save water.

TOP SUPER NANOX
at Lion Corporation (Singapore)
Pte Ltd.

TOP SUPER NANOX
at Lion Home Products (Taiwan)Co., Ltd.
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TOP SUPER NANOX
at Lion Daily Necessities
Chemicals (Qingdao) Co., Ltd.
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Together with the Environment

Harmonizing with Nature (Biodiversity)
Approach

Lion has long taken the lead in addressing problems in the aquatic environment, such as stream foaming andeutrophication linked to the use of detergents, considering biodiversity at each stage from raw material procurement todisposal by consumers. To continue benefiting from the value provided by biodiversity into the future, we must work withlocal communities to protect biodiversity and utilize such value in a sustainable, non-depleting way. Furthermore, it isimportant that we contribute to the realization of a society in harmony with nature by encouraging changes in consumer
lifestyles through biodiversity-friendly products.
To this end, Lion will contribute to the development of a sustainable society through its businesses by determining which
natural resources are used in business activities and the impacts on biodiversity throughout the value chain. Based on thisinformation, Lion will implement biodiversity conservation activities that help reduce risk and expand opportunities. Also,
by having every employee participate in biodiversity conservation activities as part of our environmental education efforts,
we are spreading awareness of this important issue throughout our operating sites.

1960s Stream Foaming
The synthetic detergents of thetime were slow to break down,
leading to foam that covered
streams. Lion switched to readily
biodegradable detergent
ingredients.

1970s Eutrophication
Aquatic eutrophication led toalgae blooms and otherproblems. One cause of thiseutrophication was thephosphates then used indetergents. Lion led the way,ahead of its competitors, increating phosphate-free laundry
detergents.

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1980s Onward Global
Environmental Issues
Global-scale environmental
issues received increased
attention, leading to growing
calls for consideration of
resources and environmental
burden. Lion is proactively
advancing such efforts asenhancing the detergency of its
cleaning agents to decrease theamount of product needed andutilizing plant-based raw
materials.

Lion Sustainability Website 2022

Overview

Overview of Lion’s Biodiversity-Friendly Business Activities* Watershed: A range of ecosystems, including forests, rivers, domestic woodlands, tidal flats and beaches, that is connected by water.

Initiatives
Biodiversity Conservation Initiatives

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Together with the Environment

Biodiversity Conservation Activities
Environmental Impact Surveys of Surfactants MES and MEE
Activities at Operating Sites
The Excellent Biodegradability and Superior Detergency of MES
Lion conducts biodiversity conservation activities at all of its operating sites. Its plants, in particular, have expansive
premises and handle a wide range of raw materials and thus have the potential to impact the nearby natural environmentand communities. We therefore work to reduce the impact caused by plant operations and, in cooperation with local NPOs
and other organizations, proactively implement biodiversity conservation activities in the watersheds where plants arelocated so that the benefits of biodiversity can be sustainably enjoyed throughout local communities.
Biodiversity Conservation Initiatives
Lion and Biodiversity

Activities at Operating Sites
Basic Principles of Biodiversity Conservation Activities at Operating Sites

Based in part on the Ministry of Environment’s Guidelines for Private Sector Engagement in Biodiversity (2nd Edition), we
have defined the following four key principles for biodiversity conservation activities at operating sites.

Below are some of the biodiversity conservation activities being implemented at Lion’s operating sites. We select activities
to pursue based on the following considerations:Improving wildlife-friendly environments in the rivers and lakes of the watersheds that are connected to our plants via
business activities or products as well as downstream coastal areas
Providing habitats for creatures that are disappearing and breeding and raising them with the aim of returning them totheir natural habitats
Replicating natural habitats lost in the nearby area on operating site grounds and maintaining them as biotopes
Cleaning up and improving business sites, conducting regular assessments of wildlife living there and using business sites
as a place for biodiversity education
Working in partnership with other stakeholders, such as local residents, external organizations and local authorities

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Biodiversity Conservation Initiatives

Biodiversity Conservation Activities at Operating Sites Across Japan [Japanese]

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Lion and Biodiversity

Lion provides a wide variety of products that support daily living based in significant part on value derived from nature. In
addition to striving to use resources in a sustainable manner, Lion is engaged in biodiversity conservation, aiming toproactively contribute to the realization of a society in harmony with nature.

Sustainable palm oil procurement
Plants (operating sites)
Treated and purified water discharge
Waste reduction at plants
Water-saving at plants
Lion products
Lion Forest in Yamanashi
Promoting the 3Rs
Developing water-saving detergents
Evaluating environmental impact
Developing highly biodegradable detergents
Customers [Japanese]

Environmental Impact Surveys of Surfactants MES and MEE

Lion evaluates and confirms the environmental safety of its products during product development, because almost all Lion
products are discharged into rivers and streams after their use. Furthermore, Lion takes part in the Japan Soap and Deterge
nt Association’s measurement of the concentrations of four types of surfactants in four river systems near Tokyo andOsaka and evaluation of related ecosystem risk, which it has conducted four times a year since 1998, to confirm that said
surfactants are not negatively impacting the environment. The measurements to date have consistently found surfactant
concentrations below the maximum level thought to have no impact on aquatic ecosystems, indicating that there is little
environmental impact from detergents.
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Furthermore, because Lion developed the plant-based surfactants MES and MEE, it conducts its own measurement of theconcentrations of these substances in the same watersheds. By doing so, we confirm that their impact on ecosystems isextremely small.
Evaluating and confirming safety is not a task for Lion alone. In addition to gathering and utilizing the latest technological
data from in and outside Japan, Lion is working to provide data to other users in order to enhance safety evaluation
technologies.

Supporting Young Researchers

As part of efforts to protect water resources, in 2009, Lion established the Lion Award, which is bestowed through the Japan
Society on Water Environment (JSWE). By using the award to recognize outstanding research activities, we are supporting
young researchers.
Support for Japan’s largest academic society focused on protecting the aquatic environment

The Excellent Biodegradability and Superior Detergency of MES
Excellent Biodegradability

After being used, surfactants are broken down (biodegraded) by microorganisms in the environment. MES is highlybiodegradable and does not linger in the environment for long.
Surfactant Biodegradability* LAS: Linear alkyl benzene sulfonate
Testing methodology: Organisation for Economic Co-operation and Development (OECD) test guideline 301C
Source: Prepared using data from the Japan Chemical Collaborative Knowledge database (J-CHECK)206

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Superior Detergency

By increasing the detergency of detergents, the amount required for each load of laundry can be decreased, in turn reducing
organic matter emissions and thus reducing the burden on the aquatic environment. Currently, Lion’s TOP Platinum Clear
powder laundry detergent is formulated with high-detergency MES, and its liquid laundry detergent TOP SUPER NANOX isformulated with MEE, helping reduce environmental burden.
Surfactant Comparison by Detergency* AS: Alkyl benzene sulfonate

Organic Matter Emissions Per Load of Laundry

MES and MEE also offer other outstanding features, including maintaining their high detergency in hard water and working
well in complement with enzymes that break down grime.

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Together with the Environment

Environmental Communication
Approach

We at Lion believe it is our solemn responsibility to provide excellent customer experiences in the areas of health, comfort
and cleanliness while protecting the global environment—the foundation of health and daily living—in accordance with ouraim of “Becoming an advanced daily healthcare company.” By using various means of communication to convey ourapproach to addressing environmental issues, related initiatives and the environmentally friendly features of our products,
we promote the formation of eco-friendly living habits.
In addition, we strive to foster environmental awareness among employees through such means as education for new hires
and employees in specific job categories.

Overview

Initiatives

Lion believes that environmental communication with consumers plays an important role. In 2021, we explained our
initiatives and fostered contact with stakeholders via both in-person and online tools and events, as appropriate.

Events, Websites, and Building Relationships
with Communities and External Organizations

Environmental Communication throughActivities

Environmental Communication throughAcademic Support

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Together with the Environment

Events, Websites, and Building Relationships with
Communities and External Organizations
Events and Websites

Through participation in environmental exhibitions and other channels, Lion seeks to communicate to consumers ways they
can be more environmentally friendly both in the course of daily life and through comfortable, clean living using Lion
products. Furthermore, we implement educational programs for the next generation to foster environmentally friendly
habits.
Our booth exhibited at EcoPro 2021 is re-enacted with 360° images. Users can learn about our various activities to realize aresource-recycling society through employee explanation and links to the website.

Virtual exhibition [Japanese]
A website where users can learn about environmentally friendly living practices while looking for opportunities to beenvironmentally friendly alongside fun characters.

LION One Day [Japanese]

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Building Relationships with Communities and External Organizations

Lion participates in the activities of the Japan Chemical Industry Association Responsible Care (RC) Committee, which aims
for constant improvement in the environmental performance and safety of chemical substances throughout their life cycles,from development through disposal.

Japan Chemical Industry Association

Responsible Care* Activities at the Chiba and Osaka Plants

As a member company of the Japan Chemical Industry Association RC Committee, Lion proactively engages in dialogue
with local communities. Each plant provides opportunities for dialogue suited to the characteristics of its local community
to promote communication with community members.
In February 2021, the 11th annual Chiba responsible care community dialogue meeting was held via written communicationin the form of pamphlets in order to prevent the spread of COVID-19. Lion’s Chiba Plant took part in organizing the meetingfrom the planning stages. Pamphlets on safety measures and environmental activities being undertaken by companies in
the area were mailed to neighborhood associations, government bodies, NPOs and other recipients along with surveys inorder to collect feedback and opinions. The participants will utilize the views gleaned from these surveys in their activities
going forward.
In February 2022, the 13th annual Sakai/Senboku responsible care community dialogue meeting was held via written
communication in the form of pamphlets, as with the Chiba meeting. Lion’s Osaka Plant provided materials for use in a
pamphlet about corporate activities in the Sakai/Senboku area. The pamphlet was mailed to neighborhood associations,
government bodies, NPOs and other stakeholders along with a survey. The results of the surveys collected will be used to
improve initiatives going forward.

12th annual Sakai/Senboku responsible care community dialogue meeting held in February 2020

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In May 2017, the Chiba Plant received the 11th Responsible Care Award from the Japan Chemical Industry Association for its
initiatives to protect the aquatic environment and contribute to the local community. Since the start of its operations, theChiba Plant has continuously implemented activities to protect the aquatic environment from water-related risks. The
plant’s efforts to purify industrial water for various applications, recycle wastewater used in industrial processes andmanage wastewater according to standards stricter than those required by law have led to reductions in water usage anddischarge volumes and the conservation of water quality. The award also praised the plant for providing education about
the importance of water through initiatives with local children and plant tours.

11th Responsible Care Award Plaquefrom the Japan Chemical Industry Association* Responsible care refers to voluntary management activities performed by companies that handle chemical substances, encompassing theassurance of protections for the environment, safety and health throughout all processes of product manufacturing, distribution, use, final
consumption, disposal and recycling as well as the disclosure of the results of such activities and dialogue with society.

Support for Environmental Organizations
Lion supports the following organizations.

Sea Turtle Association ofJapan [Japanese]

Japan Society on Water E
nvironment

OISCA

Lion is a member of the following organization.

Eco First Companies Asso
ciation [Japanese]

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Together with the Environment

Environmental Communication through Activities
Lion Forest in Yamanashi

The Lion Forest in Yamanashi is a project launched in October 2006 for the maintenance of an approximately 65-hectare areaof forest owned by Yamanashi City in Mizukuchi, Yamanashi City. Yamanashi Prefecture’s first Company Forest Promotion
Project , it is aimed at fostering environmental awareness among Lion employees by providing experience in themaintenance of forests, a water resource. Lion provides funding for forest maintenance, and employees engage in forest
maintenance as volunteers or as part of training for new hires while building relationships with members of the local
community.

The Lion Forest in Yamanashi—
Where our commitment to protecting water resources
takes concrete form

We have been implementing Lion Forest in Yamanashi activities since 2006 to foster awareness of the aquatic environment
among participating employees through the maintenance of forests, a water resource. Water is not only necessary for lifeand living, but crucial to maintaining business activities. In particular, Lion’s businesses—with such mainstay products as
toothpastes, detergents and hand soaps—are deeply related to water through the act of washing. As such, we particularly
focus efforts on conserving the aquatic environment through business and social contribution activities.
Through activities spanning more than a decade, the Lion Forest in Yamanashi has achieved progress in forest maintenance,
including concrete results, such as promoting tree growth and CO2 absorption. The greatest achievements, however, havebeen the personal connections and communication built with local residents, including local elementary school students
and ladies’ groups, and with forestry staff as well as the enhancement of employees’ environmental awareness that comesfrom getting their hands dirty. These activities allow participants to feel first-hand the importance of working with andconnecting with people and protecting the global environment.
In line with its aim of being an environmentally advanced company, Lion aims to enhance the environmental awareness ofeach employee through Lion Forest in Yamanashi activities while further focusing efforts on environmentally friendly
business activities.

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Toothbrush Recycling Program

The Toothbrush Recycling Program is a program to collect used toothbrushes, which are commonly just thrown away as
non-recyclable garbage, and recycle them into planters and other new plastic products. Lion launched the program, the firstof its kind in Asia, in 2015, in cooperation with TerraCycle Japan.

Activities

Participants collect used toothbrushes in various ways. Some set up collection boxes at kids’ centers, day care centers andkindergartens, while others collect toothbrushes as part of classes at schools, teaching children about the significance ofthe program.

The Recycling Process

Collected used toothbrushes go through several steps in the process of being recycled into planters.

Get Involved

Sign up to participate through this website [Japanese] . The website offers further details about the program and points
awarded for toothbrushes collected.

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Lion Chura Action

Lion Chura Action is a project to support the eco-activities of children nurturing the future of Okinawa, aimed at protecting
and developing the rich ecosystems of the region and achieving lasting harmony with nature.

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Together with the Environment

Environmental Communication through Academic Support
The Lion Award—Supporting Aquatic Environment Student Research

To motivate and support young researchers working in areas related to the aquatic environment, in 2009 Lion created the
JSWE-LION Best Student Poster Presentation Award (the “Lion Award”), bestowed through the Japan Society on Water
Environment (JSWE) in recognition of outstanding research activities.*1
In 2021, 17 students were chosen to receive the Lion Award, one of whom received the Grand Prize, by the 56th Annual
Conference of the JSWE.*2*1 The award is bestowed in recognition of outstanding poster presentations at the JSWE’s annual conference.
Eligible persons: Undergraduate university students, technical school students, junior college students.
Selection method: Based on the votes of regular and corporate JSWE members, winning presentations are selected by the Awards
Committee of the Board of Directors.
*2 The 56th Annual Conference of the Japan Society on Water Environment was held online.

The Lion Award (Japan Society on Water Environment)

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Together with the Environment

Management of Chemical Substances
Chemical Substance Management Policy
Overview
ApproachChemical Substance Management Initiatives at Each Product Life Cycle Stage

ApproachChemical substances are indispensable for people to lead comfortable and fulfilling lives. Failure to properly manage
chemical substances, however, can result in accidents that put human health and ecosystems at enormous risk. In addition
to compliance with related laws and regulations, the Lion Group strive to ensure the strict management of chemical
substances at all stages from product development to use and disposal in accordance with its own independent standards.

Chemical Substance Management Policy

Based on the spirit of the Lion Group Charter for Corporate Behavior, the Group has established the Chemical Substance Ma
nagement Policy. This policy was formulated in light of international trends in chemical substance management and isaligned with the Strategic Approach to International Chemicals Management (SAICM). The policy stipulates that we will
strive to implement sound management of chemical substances throughout their life cycles, minimize significant adverse
impacts on the environment and human health, and promote communication.

Overview

Group-wide Management of Chemical Substances

Management System for Information on Chemical Substances

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Chemical Substance Management Initiatives at Each Product Life Cycle Stage
1. Product Development

Selection of Chemical Substances for Use in Products

The types and amounts of chemical substances used in products are determined at the product development stage, withconsideration given not only to enhancing product performance, but safety and environmental impact.
Safety of Raw Materials and Ingredients

2. Production

Going forward, calls for the improvement and reinforcement of chemical substance management will grow. Accordingly, we
aim to continue and step up the filing of proper notifications and management of emissions volumes as required undervolatile organic compound (VOC) regulations and the Act on Confirmation, etc. of Release Amounts of Specific Chemical
Substances in the Environment and Promotion of Improvements to the Management Thereof.

Management of Total PRTR Substance Emissions

The PRTR (Pollutant Release and Transfer Register) is a system for collecting, compiling, and publishing data on the degree
to which a wide variety of potentially harmful chemical substances are released into the environment from what sources, orare transported off of production sites through waste disposal.
The Company’s emissions of PRTR-designated substances have remained at approximately 2 tons since 2019.
2021 PRTR-Designated Substance Emissions Data for Production Sites in Japan
PRTR-Designated Substance Emissions (Domestic)

Total Emissions of PRTR-Designated Substances (Japan)
PRTR-Designated Substance Emissions

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Air Quality-Conscious Production Activities

Lion implements initiatives to reduce emissions of chemical substances that cause air pollution, including nitrogen oxides(NOX), sulfur oxides (SOX), particulate matter and VOCs. The Air Pollution Control Law designates emissions standards bytype of substance and by type and scale of emitting facility, and many regional governmental bodies have establishedadditional regulations by ordinance. In addition to complying with such laws and ordinances, each plant has formed strict
agreements with local municipalities and established strict voluntary standards, in accordance with which we strive toprevent pollution. For example, even for boilers for which the regulatory limit on the concentration of NOX is 60 cm3/m3, wehave set the voluntary standard of 40 cm3/m3, while for SOX and particulate matter, compared with regulatory limits of 0.2
m3N/h and 0.1 g/m3N, respectively, Lion aims for zero SOX emissions and particulate matter emissions of 0.002 g/m3N
through voluntary efforts to switch fuels. Furthermore, we are working to reduce emissions by such means as improving theefficiency of production processes and utilizing environmentally friendly equipment, such as nitrogen and sulfur scrubbers.
Emissions of Nitrogen Oxides (NOX), Sulfur Oxides (SOX) and Particulate Matter

VOC Emissions

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Water Quality-Conscious Production Activities

A maximum limit on COD*1 of 160mg/L (and a daily average of 120 mg/L) has been set by law as a uniform standard within
environmental standards related to water pollution per the Water Pollution Prevention Act and Sewerage Act. Lion
meticulously complies with these regulations in its business activities. Furthermore, Lion aims for even stricter wastewater
quality management, and some of our operating sites have formed agreements with local governments to maintain COD
stricter than the uniform standard. By stabilizing the wastewater treatment facility, performing regular maintenance andimproving treatment methods, we are working to further reduce COD in wastewater emissions.
COD in Business Activities*1 COD
Chemical oxygen demand. An indicator of water contamination. Indicates the amount of oxygen that will be consumed in the oxidizationand decomposition of the organic matter content of the water.

Complying with the Act on the Regulation of Manufacture and Evaluation of Chemical
Substances

Based on the Act on the Evaluation of Chemical Substances and Regulation of Their Manufacture, etc., Lion notifies theauthorities of the volumes of all the designated chemical substances it manufactures or imports (with exceptions based on
the provisions of the Act, such as for substances manufactured or imported in quantities of less than one ton per year). We
will continue to gather information about volumes and uses of manufactured or imported chemical substances and fileproper notifications.

Utilizing SDSs

Lion prepares safety data sheets (SDSs)*2 on its chemical products and provides them to its customers. We also receive SDSs
on all the raw materials we use from our suppliers. These SDSs are listed in a database to be used effectively.
*2 SDSs
Safety data sheets. Documents providing information about the environmental impact of, safety precautions regarding and the appropriate
handling of chemical products, aimed at preventing accidents caused by chemical substances.

3. Transportation

Provision of Safety Information during Transportation

In case of an accident during the transportation of raw materials or intermediate products, Lion provides information tocarriers about emergency response by distributing and attaching yellow cards and container yellow cards to shipments** Yellow cards and container yellow cards
Yellow-colored emergency contact cards providing information about the properties of and emergency response methods regarding
chemical substances in case of leaks of other issues during transportation. Yellow cards are for carriers to keep with them duringtransportation, while container yellow cards are attached to the containers in which chemical substances are stored. Both are preparedbased on voluntary industry standards determined by chemical companies.

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4. Use and Disposal

Environmental Impact Surveys

After being used, the surfactants in detergents and other products are discharged into the environment. Lion takes part in
the Japan Soap and Detergent Association’s Environmental Monitoring and Risk Assessment of four types of surfactants inrivers near Tokyo and Osaka, which it conducts four times a year. Furthermore, Lion conducts its own monitoring of theconcentrations of the surfactants MES*1 and MEE*2 in the same watersheds, because these surfactants were developed by
Lion. By doing so, we confirm that they have little impact on ecosystems.
Environmental Impact Surveys of Surfactants MES and MEE*1 MES
Methyl ester sulfonate*2 MEE
Methyl ester ethoxylate

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Lion’s Environmentally Friendly Products
The Lion Eco-Standard
About Lion’s Environmentally Friendly Products
Lion’s Environmentally Friendly Products—Water Saving

The “eco Lion” Mark

About Lion’s Environmentally Friendly Products

Lion considers products that have cleared the proprietary Lion eco-standard to be environmentally friendly. The Lion Group
provides products that create effortless ways for consumers to be more environmentally friendly just by living comfortably
and promotes the formation of eco-friendly living habits by engaging in interactive communication with consumers.

The Lion Eco-Standard

Lion has created the Lion eco-standard based on life cycle assessment (LCA), in which the environmental burden created bya product is quantitively assessed at every stage from raw material procurement to disposal. Products that meet at least one
evaluation standard in each evaluation category can bear the “eco Lion” mark. In 2021, 82% of Lion’s household product*sales were from environmentally friendly products that meet the Lion eco-standard.
Products with the “eco Lion” Mark [Japanese]

Portion of Sales from Products that Meet the Lion Eco-Standard (Domestic)
2017

76%

2018

74%

2019

77%

2020

80%

2021

82%

* Products in the Oral Care, Beauty Care, Fabric Care and Living Care fields

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Lion Eco-Standard Evaluation Categories and Standards
Life cycle stage

Evaluation category①Raw material
procurement

Use of plant-based materials
Use of sustainable raw materials②Material
procurement

Use of recycled materials
Use of plant-based materials③Manufacturing

Energy saving
Water saving
Chemical substance use reduction
Waste reduction④Logistics

Making products moreconcentrated and compact⑤Use

Energy saving during use
Reduction of greenhouse gas
emissions during use
Water saving during use⑥Disposal

Packaging reduction
Refill packs

Evaluation standards
At least 50% of the raw materials of product contents(organic ingredients) is plant-based
Of the plant-based materials used, at least 50% arebiodiversity-friendly
At least 10% of the materials used are recycled
Cardboard used is at least 94% recycled paper or
certified pulp from forest thinning
At least 20% of resins used are plant-based
A reduction of at least 20% in greenhouse gas emissions
at the manufacturing stage compared with the baseline
product*
A reduction of at least 20% in water use at the
manufacturing stage compared with the baseline
product*
A reduction of at least 20% in use of chemical substances
other than raw materials at the manufacturing stage
compared with the baseline product*
A reduction of at least 20% in waste generated at the
manufacturing stage compared with the baseline
product*
An increase of at least 20% in product content
concentration or packaging compactness compared withbaseline product*
A reduction of at least 20% in energy consumed byproduct use compared with baseline product*
A reduction of at least 20% in greenhouse gas emissions
after product use compared with baseline product*
A reduction of at least 20% in water use during productuse compared with baseline product*
A reduction of at least 15% in packaging materials usedin bottles compared with baseline product*
A reduction of at least 50% in packaging materials usedin refill packs compared with corresponding productbottles* Baseline product: Products released in 2017, the baseline year for the LION Eco Challenge 2050.

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The “eco Lion” MarkThe “eco Lion” mark symbolizes Lion’s environmental activities and incorporates Lion’senvironmental slogan, “Every Day. For the Earth” which concisely expresses Lion’scommitment to the environment in line with the corporate slogan, “life. love.” To help
customers to choose environmentally friendly products, we use this mark on productsthat meet the proprietary Lion eco-standard. The factors that make each productenvironmentally friendly are printed within the mark.

The mark on a productTOP SUPER NANOX refill pack (350g)

Other Examples of Products with the “eco Lion” MarkCHARMY Magica
TOP SUPER NANOX

KireiKirei Medicated Foaming Hand Soap refill pack

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Environmentally Friendly Products
Lion’s Environmentally Friendly Products—Water Saving

Click the product images for additional details.

Basis for Water Savings Calculations (Lion data)

TOP SUPER NANOX laundry detergent
Washing 3 kg of clothing in a front-loading washing machine (a major manufacturer’s 2009 model with 9 kg capacity), theamount of water saved is 23.3 l per load, or 9,600 l per year (at 8.6 loads per week)
Magica dishwashing detergent
Washing 20 items per wash, the amount of water saved is 3 l per wash, or 2,210 l per year (at two washes per day)
Ofuro no LOOK bath cleaner
Compared with previous detergents, the amount of water saved is approximately 3.2 l per cleaning of the bath, or 1,100 l per
year (365 days’ worth)
LOOK Plus Bath Antimold Fogger mold-preventing fungicide
Assuming cleaning off mold once takes 24 l of water, the amount of water saved is 144 l per year (assuming one moldremoval cleaning every two months)
Soft in1 two-in-one conditioning shampoo
The amount of water saved is 5.7 l per wash compared with using shampoo and conditioner separately, or 2,081 l per year
(at one wash per day)

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Ensuring Product Safety and Reliability

Ensuring Product Safety and Reliability

Sustainability Material Issues １０ Pursuing Customer Satisfaction and
Trust

Basic Approach

In order to provide products that will satisfy customers, Lion carries out quality assurance activities at all stages from thevery beginning of the product development process to consumption by customers.
Specifically, by identifying the key requirements at each stage of corporate activities— ①product planning, ②productdevelopment, ③production, ④sales and ⑤customer support—we are constantly pursuing customer satisfaction.
During product planning, valuable customer opinions are analyzed to identify specific needs. At the product development
stage, product quality is verified with respect to seven metrics, including function and performance, and consideration is
given to making labeling easy to read and accessible. During production, quality is thoroughly managed within eachprocess, and products that have passed inspection are shipped in identifiable lots, aiding in effective after-sales
management. A variety of information is sent to wholesalers and retailers, including product descriptions and samples.

Overview

Product Development Incorporating Customer Opinions

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Developing Safe and High-quality Products* Access the Research & Development page for more information.

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Initiatives
Approach to Quality Assurance, Safety andReliability

Initiatives to Respond to Our Customers

Reinforcing the Provision of Information to
Customers

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Ensuring Product Safety and Reliability

Approach to Quality Assurance, Safety and Reliability
Quality PolicyGroup-wide Reliability Assurance System
Approach
Approach to Quality Assurance
Approach to Safety and Reliability
Approach to Responsible Product Representations
Participation in Pharmaceutical Product Safety Initiatives
Animal Testing Policy

Approach

Lion’s mission is to earn the confidence and satisfaction of customers by providing excellent goods and services that make adifference in everyday lives by redesigning habits.

Quality Policy

Based on our Quality Policy, we create high-quality products that meet customer needs.

Group-wide Reliability Assurance System

In 2018, we established the Reliability Assurance Department to reinforce quality assurance based on a Product Management System covering the entire supply chain.
To implement quality assurance activities on a Company-wide basis, we have established the CS/PL Committee,* comprising
representatives of the Product Planning Division, Production Division, R&D Division, Consumer Service Center andheadquarters staff divisions. The Reliability Assurance Department serves as the secretariat for this committee. The CS/PL
Committee provides overall management of quality assurance activities, monitoring Group-wide efforts and responses toissues in the areas of legal compliance, setting voluntary standards and targets, and developing superior products from theperspective of reliability assurance. Lion manufactures and sells products ranging from everyday sundries topharmaceuticals, so its quality assurance system is designed in line with the respective standards for each product category.
Furthermore, Lion maintains a system for swiftly taking the necessary measures to address any serious problems that may
arise with its products. These measures include responding to individuals harmed or affected, disclosing relevant
information to government authorities and customers, issuing product recalls and taking steps to prevent recurrences.

Reliability Assurance System
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* CS/PL Committee: A committee focused on customer satisfaction (CS) and product liability (PL)Approach to Quality Assurance
Product Management System

Based on its Quality Policy, Lion has established a Product Management System, comprising regulations stipulating work
processes at each stage of product development and quality assurance practices, in order to steadily and rationally develop
excellent goods and services that make a difference in everyday lives by redesigning habits.
This system is compliant with ISO 9001, the international standard for quality management systems. It defines the flow andmechanisms of quality assurance processes at each step of product development (strategy, planning, development,
production, sales, post-launch improvements and discontinuation. Through the system, we put these processes into
practice. As of February 2022, Lion’s headquarters/ Tokyo office, research centers (Hirai Research Center and Odawara
Research Center), plants (Chiba Plant, Odawara Plant, Osaka Plant and Akashi Plant) have acquired the ISO 9001
certification.

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Management System for Information on Chemical Substances

Since January 2018, Lion has operated a Management System for Information on Chemical Substances at its research anddevelopment sites to reinforce the proper use of chemical substances.
This system comprises a database of raw materials and product formulation data, a database of regulatory data, andproduct formula development support functions. The adoption of the system has reinforced our framework for ensuring
legal compliance regarding chemical substances used in products during product development across all our businessfields. In addition, the system’s accumulated data allows employees to instantly search through the chemical substances
contained in products that have been released. This has helped enhance data management, secure traceability andreinforce our ability to ensure compliance.

Management System for Information on Chemical Substances Diagram

Quality Audits

Lion’s auditing officers and staff periodically carry out quality audits of Lion and its contractors, providing guidance on
improvement as needed. Locations are chosen from among all the operations of Lion and its contractors that are subject tothese audits, and the selection of locations to undergo on-site surveys is informed by the timing and results of previous
surveys.

Reinforcing the Quality Management Network among Overseas Group Companies

The Lion Group is expanding operations across Asia in line with its mission of providing excellent goods and services thatmake a difference in everyday lives by redesigning habits. In recent years, the volume of intercompany import and export
business between overseas Group companies has been expanding. At the same time, there is a growing trend toward tighter
regulations internationally, increasing the importance of greater coordination among quality management staff in eachcountry.
In light of these changes, starting in 2018, we held the first annual Asia QA* Meeting, bringing together import, export andquality management staff from overseas Group companies. We held the meeting again remotely in 2020 and 2021, withdiscussions focusing mainly on the status of operations and issues on the ground as well as the creation of a system forcoordination going forward, with the aim of reinforcing the Group-wide quality assurance system.
Going forward, we will continue to implement initiatives like this, striving to provide better products and services tocustomers in all the countries where we do business.
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* QA: Quality assurance

The Asia QA Meeting (2018)

Approach to Safety and Reliability

To ensure that customers can use Lion products with confidence, we evaluate the safety of raw materials and ingredients aswell as of final products during use.

Safety of Raw Materials and Ingredients

Before using a raw material, we first review existing data and information to determine its physical characteristics and if it
has any hazardous properties (hazard assessment) as well as whether we will be able to safely use it in the product being
developed (risk assessment). With the wide-ranging customers that use our products in mind, and with reference to safety
reports from international organizations and standards in and outside Japan, we determine whether or not the material issuitable for use in the product.
Furthermore, in addition to health-related considerations, we similarly examine the material’s impact on the environment
after its use by consumers in line with the latest scientific appraisals. Based on these comprehensive considerations,substances deemed to require caution are carefully documented and managed.
When existing data is insufficient to reach a determination, we perform safety tests using officially designated and otherobjective methods of evaluation. Through such testing, we determine the limits within which the raw material can be usedsafely, taking into account the way the product will be used. Finally, for raw materials deemed suitable for use, we establish
standards based on their applications (such as use in pharmaceuticals, food products, quasi-drugs, cosmetics or sundries).
Raw materials that meet these standards are used in product manufacturing.
As with the raw materials of the product contents, we use only materials that meet appropriate standards for productpackaging and containers.
Even after products are launched, we continue to analyze research data on the raw materials and ingredients used toconfirm that there are no issues with their continued use.
In some cases, small amounts of impurities arising from raw materials or manufacturing processes end up in products. Evenif such impurities present no health concern, Lion implements quality management at every stage, including raw materialpurchasing and production, to reduce impurities as much as is feasible. One example of such efforts is Lion’s response to a
notice published by the Japanese government in 2012 about organic pigments that could have been unintentionallycontaminated with polychlorinated biphenyls (PCBs). Upon the notice’s publication, Lion moved quickly to confirm that
there were no safety issues with its products. Since then, in accordance with the government’s guidance, Lion haspurchased and used such raw materials produced using designated best available technologies (BATs). Through efforts likethese, we ensure that any impurities in our products are maintained at low levels that are safe for customers and theenvironment.
Fragrance Policy

Safety of Products During Use
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Giving due consideration to the various ways products may be used as well as product use by socially vulnerable customers,
we perform safety evaluations based on an approach of avoiding risks at the product design stage.
To this end, we use a checklist to determine whether the product design ensures safety in both “normal use” and “mistakenuse” cases. For “irregular use” cases, we assess whether risk reduction is possible and whether the risk is tolerable, and asnecessary clearly label the product with an explicit safety warning.

Scope of Safety Assurance

In addition, the quality verification meeting, which encompasses representatives of related departments, performs
assessments based on customer use scenarios in order to prevent harm related to product use and to prevent the omissionof items that should be checked for safety.
If there is trouble with a product, we have an internal system in place, ready to promptly issue product recalls or otherwise
respond as needed.

Centralized Management of Data on Bodily Issues Experienced by Consumers

Businesses must swiftly collect and centrally manage information from customers about the bodily issues they experienceand quickly respond as appropriate.
Information on bodily issues from customers that have used Lion products is collected and centrally managed by theConsumer Service Center. We have in place a framework for quickly and appropriately responding to such information,
including sharing the information received with multiple specialized departments and reporting it to top management.
Going forward, we will continue to educate staff involved in implementing responses about the importance of centralized
data management and to collect and manage such information.

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Approach to Responsible Product Representations
Basic Policy

In accordance with the Lion Group Charter for Corporate Behavior and Behavioral Guidelines, Lion complies with thePharmaceuticals and Medical Devices Act, Act against Unjustifiable Premiums and Misleading Representations, Health
Promotion Act and other related laws and regulations. Furthermore, Lion strives to consider customer perspectives in orderto make accurate and reasonable product representations (such as labels and advertising) that will not lead tomisunderstandings or negative customer experiences.
To improve the quality of representations about all the products it sells (including food and pharmaceutical products), Lionhas clearly defined its basic approach to product representation and established a representation drafting manual,comprising guidelines for preparing precise, appropriate product representations at each step of product development
under its Product Management System. These guidelines apply to all product packaging and presentation as well as thewording and expressions used in instructions, pamphlets, sales handbooks, advertisements and other representations(including those for samples).
In line with the guidelines for product representations, representations are subject to stringent checks by specialized staff
as well as external experts (attorneys, etc.), as needed. Through this system of thorough management, we advance the useof representations that are clear and easily recognizable to customers.
Lion’s specialized representation checking staff strive to improve their expert abilities to ensure that they can makedecisions and offer advice about representation quality that accurately reflect the latest legal interpretations, governmental
tendencies and changes in society. To this end, they participate in lectures offered by governmental bodies and externalseminars and, as needed, consult with external experts and governmental authorities.

Product Representations in the OTC Drug* Business

The information displayed on pharmaceutical product labels is subject to the stipulations of the Pharmaceuticals andMedical Devices Act (statutory labeling). The laws and regulations regarding fairness and appropriateness in pharmaceuticalproduct advertising include the Pharmaceuticals and Medical Devices Act and the Standards for Proper Advertisement ofPharmaceuticals, etc., while industry self-regulations include the Japan Federation of Self-Medication Industries’ Guidelines
for the Proper Advertising of Over-the- Counter Medicines.
Pharmaceutical products serve to protect users’ lives and health. Advertisements for pharmaceutical products must
therefore serve not only as marketing tools, but as information sources that encourage customers to use products correctly.
Such advertisements must not encourage improper use, abuse or overuse due to insufficient caution.
Lion’s departments in charge of creating and checking product representations share pharmaceutical product information
templates for statutory labeling and an advertising check sheet based on the Standards for Fair Advertising Practices
concerning Pharmaceutical Products, etc., for advertisements. By ensuring that representations are created and managed
based on a common understanding of the regulations stipulated in the Pharmaceuticals and Medical Devices Act, we strive
to efficiently and accurately advance proper representations.
The Japan Federation of Self-Medication Industries has established an advertising screening committee, which evaluates
pharmaceutical product advertisements after their publication. Comprising third-party and over-the-counter (OTC) drug
manufacturer representatives, the committee works to ensure proper expressions in pharmaceutical product advertisingand enhance confidence in such advertising. Lion participates as a corporate member, contributing to efforts to ensure
proper OTC drug advertising.
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* OTC drugs: Pharmaceutical products that can be purchased at a pharmacy or drug store without a prescription. (Source: Japan SelfMedication Industry)

Product Representations in the Food Product Business

The information displayed on food product labels is subject to the stipulations of the Food Labeling Act and thegovernment’s Food Labeling Standards (statutory labeling). In addition, laws and regulations regarding fairness andappropriateness in the health food products*1 that Lion offers include the Act against Unjustifiable Premiums andMisleading Representations and the Health Promotion Act, while regulations related to fair competition for such products
include the Code of Fair Competition Regarding the Labeling of Food for Specified Health Uses and its enforcement
regulations, and industry self-regulations include voluntary standards for the proper advertising of foods with function
claims*2.
Food products have three basic functions. The first and most important is nutrition (the primary function), the second is thesensory and enjoyment function (the secondary function) and the third is contributing to biological regulation to help
maintain or improve health (the tertiary function). The food products that Lion sells are health food products that provide
this tertiary function. While these products are thought to provide a health effect, it is important to ensure that they areproperly marketed to avoid such misunderstandings as their being confused with pharmaceutical products or their effects
being exaggerated.
Lion uses food product information templates for statutory labeling and an advertising check sheet based on related laws
and regulations and voluntary industry rules for advertising. Furthermore, to ensure the provision of appropriate
information to customers, we include a check by external experts (attorneys, etc.) as a third-party perspective during thefood product advertising checking process.
The Japan Health and Nutrition Food Association, an industry organization, maintains a foods with function claims
advertisement committee and foods with function claims advertisement screening committee, with the aim of enhancing
the appropriateness of foods with function claims advertisements. The foods with function claims advertisement screening
committee, which comprises third-party and manufacturer representatives, screens advertisements after their publication.
Lion is a member of the foods with function claims advertisement committee, contributing to efforts to ensure appropriate
representations of foods with function claims. Furthermore, Lion participates as a member of the operating committee andadvertising study committee of the Foods for Specified Health Uses*3 Fair Trade Council, contributing to the prevention of
inappropriate representations and exaggerated advertisements for foods for specified health uses as well as ensuring faircompetition between businesses in the industry.
*1 Health Food Products
The term “health food product” generally refers to any product that is claimed to be beneficial to health. In Japan, health food productsthat are labeled as having certain functions based on standards of safety and effectiveness established by the national government areclassified as foods with health claims. There are three types of foods with health claims: foods with function claims, foods for specified
health uses, and foods with nutrient function claims.
*2 Foods with function claims are food products that display claims of functions for which, prior to sale, manufacturers must submit
scientifically based information on safety and functionality to the Director-General of the Consumer Affairs Agency. The manufacturers
themselves are responsible for ensuring the accuracy of such information.
*3 Foods for specified health uses
Foods for specified health uses are food products for which permission to display claims of health functions has been granted by the
Director-General of the Consumer Affairs Agency based on evaluations by the agency of the product’s safety and usefulness in maintaining
or improving health.

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Admonishment from the Consumer Affairs Agency Regarding Product Representations

Lion received an admonishment from the Consumer Affairs Agency regarding an advertisement for its product Tomato Su
Seikatsu Tomato Su Inryo that ran from September 15 to November 27, 2015 in the Nikkei Shimbun on the grounds that said
advertisement could be misunderstood by general consumers.
Lion takes this admonishment seriously. We have further reinforced advertisement submission management and aresteadily advancing measures to prevent recurrences of such issues.

Initiatives to Ensure Proper Use

Lion’s food products, particularly its processed food products in tablet form, are easy to consume and therefore present thepotential risk of excessive intake. By such means as displaying recommended intake amounts in large print on the front of
packages, Lion strives to provide clear labeling so that consumers can use its health food products appropriately.

Allergen LabelingLion requires its raw ingredient manufacturers and suppliers to provide information about their use of the seven ingredientsthat under the Food Labeling Standards are required to be listed on food product labels as allergens, as well as the 21
ingredients recommended for such labeling. In particular, we carry out tests as appropriate to ensure appropriate labelingregarding functional substances (used as ingredients in foods with function claims) and substances with specified uses
(used in foods for specified health uses).
Seven raw ingredients required to be listed as allergens: Eggs, milk, wheat, buckwheat, peanuts, shrimp and crab 21 raw
ingredients recommended to be listed as allergens: Apples, oranges, soy, sesame, etc.
Lion shares information about revisions to allergy labeling regulations and other such developments internally, mainly
through a food safety team.

Raising Awareness of Balanced Dietary Habits

Exercise, rest and a balanced diet are all important to maintaining and improving health. Japan’s Food Labeling Standards
require the packaging of foods with function claims, foods for specified health uses and foods with nutrient function
claims*4 to display text reminding users of the fundamental importance of dietary balance based on different food groups.
All of Lion’s food products, including its general health food products, carry this text to enhance awareness of healthy
dietary habits.
*4 Foods with nutrient function claims
Foods with nutrient function claims are food products that display claims of nutrient functions established by the government, backed by
the manufacturer’s self-certification that said items contain certain amounts of nutrients that are believed to affect the body based on
scientific evidence (vitamins, etc.).

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Labeling in the Languages of the Places Where Products Are SoldTo ensure that customers can accurately understand the features of our products, our product labels, including usage
instructions and ingredient lists, are presented in the official languages of the places where they are sold.

KireiKirei Hand Soap labels

Thai

KoreanChineseEmployee Education and Training

To ensure thorough compliance with laws and regulations related to product representations (the Pharmaceuticals andMedical Devices Act, Act against Unjustifiable Premiums and Misleading Representations, Health Promotion Act, etc.), Lion
provides e-learning for all employees and lectures for employees in related divisions as part of its legal education initiatives.

OTC Drugs

Twice a year, Lion educates employees involved in the planning and sale of pharmaceutical and related products on productsafety. This education, based on the Ministerial Ordinance on Good Vigilance Practice for Drugs, Quasi-Drugs, Cosmetics,
and Medical Devices (the GVP Ordinance), teaches employees about the handling and correct use of safety information. Lion
uses specified procedures for education about product representations to promote proper promotional activities. The
education also covers related laws and regulations and appropriate product representations.

Health Food Products

Twice a year, Lion educates employees involved in the food product business on product representation regulations,
including those of the Health Promotion Act and Act against Unjustifiable Premiums and Misleading Representations.
Through such efforts we strive to ensure thorough legal compliance.

Participation in Pharmaceutical Product Safety Initiatives
Pharmaceutical Product Safety Activities

In Japan, under the Pharmaceuticals and Medical Devices Act, businesses must obtain a marketing license to manufactureand sell pharmaceutical products and quasi-drugs. Per this law, businesses must conduct appropriate management andsupervision by establishing and properly operating systems of quality assurance and post-marketing safety control for suchproducts and appointing a general marketing director, quality assurance director and safety control director.
As a company that manufactures and sells pharmaceutical products, quasi-drugs, cosmetics and medical devices, Lioncomplies with such legal requirements and operates an appropriate marketing framework. Lion has created a manual forcompliance with the GVP Ordinance for use in safety control. Safety control is carried out in accordance with this manualand managed by the safety control director. Furthermore, the safety control director manages the safety control divisions,and the general marketing director provides oversight to ensure proper operations and conducts post-marketing safetycontrol. The safety control divisions operate according to internal manuals, including implementing post-marketing safety
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measures for the products Lion sells, collecting and evaluating safety data about pharmaceutical and other products, and,as needed, implementing safety measures.
Twice a year, the safety control divisions provide education and training to divisions that implement safety control to better
promote the proper use of pharmaceutical and other products.

Participation in Industry Groups

To further enhance the safety of the pharmaceutical products it sells, Lion has been a member of the Japan Self-Medication
Industry, an organization of OTC drug manufacturers, since 1978. As of April 2022, Itsuo Hama, the Chairman of Lion’s Boardof Directors, serves as a vice chair of said organization. The Japan Self-Medication Industry works to provide information
about the correct use of OTC drugs and examines all kinds of issues related to OTC drugs, for example, researching how tomake drug instructions easier to read and understand.
Lion’s safety control director regularly takes part in the organization’s committee meetings to gather the latest information
about pharmaceutical product safety for use in safety control.
In addition, to increase the safety of pharmaceutical products, Lion has been involved in creating shared guidelines for
preparing product instructions and warnings in multiple languages. These guidelines help companies meet the needs of
non-Japanese speakers by offering product inserts in English, Chinese and Korean.
In addition to the Japan Self-Medication Industry, in the area of pharmaceutical products, Lion is a member of thePharmaceutical Manufacturers’ Association of Tokyo, and in the areas of quasi-drugs and cosmetics, Lion participates in theactivities of the Japan Dentifrice Manufacturers’ Association (JDMA) and the Japan Cosmetic Industry Association. Throughsuch participation, Lion suggests research initiatives and measures related to regulations and conducts educational
programs for customers about correct product use with the aims of promoting the manufacturing and quality control ofpharmaceutical and other products as well as post-marketing safety management and correct product use.

Animal Testing Policy

The Lion Group adheres strictly to the international principles of the 3Rs for animal testing (Replacement, Reduction,
Refinement) and supports the philosophy of animal welfare.
We proactively work to thoroughly ensure the safety and enhance the functionality of our wide range of products andservices to better serve our customers. In developing cosmetics (including medicated cosmetics), we do not use animal
testing apart from exceptional circumstances in which it is required to ensure safety or satisfy legal requirements. Similarly,
in developing other products, we employ alternative methods as long as the accuracy and replicability of the scientific data
used as the basis for evaluating products are not negatively affected. When no alternative methods are available and wemust use animal testing, we strive to do so properly and in line with the principles of the 3Rs and the laws of relevant
countries.
Lion Corporation has long focused efforts on related research through participation in the Long-range Research Initiative of
the Japan Chemical Industry Association and the Japanese Society for Alternatives to Animal Experiments. We will continue
actively developing alternatives to animal testing and advancing business activities that contribute to both the health of ourcustomers and animal welfare.

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Ensuring Product Safety and Reliability

Initiatives to Respond to Our Customers

Sustainability Material Issues １０ Pursuing Customer Satisfaction and
Trust

Approach

So that we may leverage inquiries received from customers to develop new products and improve our products andservices, such inquiries are registered in a database operating under a strict personal information management system andshared across the Company through an information sharing system that excludes personal information.
Items that are considered impactful to customer satisfaction and product use, and insights gleaned from contact withcustomers are reported daily to top management and development related departments in the form of the VOC*1 Daily
Letter. Through such efforts, Lion works to improve customer support quality by gaining an understanding of the customer’s
perspective and by quickly considering and responding through improvement measures. In 2021, we sent out 241 VOC Daily
Letters.
Customer feedback comes from a wide range of sources, including not only telephone calls and emails, but also SNSs*2 andthe like. An internal dedicated organization (The Consumer Service Center) interprets and analyzes such this feedback andproactively disseminates information gleaned from it to the relevant departments.
*1 VOC: Voice of Customers*2 SNS: Social networking services (Facebook, Twitter, etc.)

Overview

More information about how our customer feedback is put to concrete use is available here [Japanese]

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Customer-Oriented Management Declaration

In the course of developing and providing products and services, Lion places the utmost priority on customer satisfaction.
At the same time, by implementing environmental conservation activities and further enhancing the corporate governancesystem, we aim to ensure the high level of trustworthiness that stakeholders expect. Currently, government agencies,
consumer groups and business associations are working together to promote customer-oriented management initiatives atcompanies. In January 2017, Lion voluntarily declared that it would proactively work toward customer-oriented
management, and we report progress on this front on our website and to the Consumer Affairs Agency.
More information about Lion’s customer-oriented management declaration is available here [Japanese]

Received an Award in the Good Practices of Consumer-Oriented Management Awards for the Second
Consecutive Year

Lion received the Minister of State’s Award in the Good Practices of Consumer-Oriented Management Awards in 2020, and in
2021, won the Selection Committee Chairman’s Award together with Kao Corporation. This award recognizes companies
that have made a consumer-oriented management declaration and implemented outstanding initiatives based on suchdeclarations.
Spurred on by this award, Lion will continue advancing consumer-oriented management and contribute to the realization ofa sustainable society.

News Release: Lion Receives the Minister of State’s Award in the Good Practices of Consumer-Oriented Management Aw
ards
News Release: Kao and Lion Awarded the New Selection Committee Chairman's Commendation in the Good Practices of Consumer-Oriented Management Awards

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Summary of Customer Inquiries in 2021

The Consumer Service Center receives an enormous volume of customer inquiries every year. In 2021, we received
approximately 85,000 inquiries (excluding those sent to direct-to-consumer sales divisions), 99% of the previous year’s
volume. By content, questions about product use, retail outlets that carry Lion products, safety and other topics accounted
for approximately 70% of all inquiries, while complaints and inquiries regarding problems and similar topics accounted foraround 30%. Among the inquiries, there was a rise in questions about vaccinations as well as hygiene products andchemicals in connection with the COVID-19 pandemic.
Going forward, we will continue aiming to provide an environment that facilitates customer inquiries while responding toinquires in a sincere and timely manner. Contact information for inquiries by phone or email is available on the customer su
pport [Japanese] page of Lion’s website.
A list of contact points by topic is available here [Japanese].
Inquiries by Type (2021)

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Information Provision Leveraging Customer Feedback

The customer support [Japanese] page of Lion’s Japanese-language website offers answers and solutions to common
customer questions and problems as well as examples of products improved based on customer feedback, attracting
considerable customer traffic. In addition, to customers that contact us by mail, we send a living information newsletter that
includes content related to common customer questions and seasonal living tips, such as those from Lion’s Meisters of Daily
Life, as well as seasonal information from the Lidea website.
Going forward, we will continue to provide useful information to customers.

Customer support page on Lion’s website [Japanese].

Examples of products developed or improved based on customer feedback are available here [Japanese].

Newsletter with useful seasonal information from our Lidea website sent to customers that inquire by mail241

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Proactive Utilization of Employees

Lion strives to hire and develop the necessary human resources and foster an open and frank corporate culture in order tocreate innovative products and services that provide a high level of value to customers.

Fostering a Corporate Culture that Leverages Customer Opinions

We are working to foster a corporate culture in which all employees think and act based on an understanding of thecustomer’s perspective.
We hold events for newly appointed division managers and product development staff in which they listen to recordings ofcustomer inquiry calls or handle such calls themselves to experience hearing directly from customers. These events help
participants understand the importance of the Company’s contact points with customers and serve as an impetus to think
about customer perspectives in their work. Furthermore, we report the status of customer inquiries at regular meetings inrelated departments and morning briefings at operating sites (offices, research institutes and plants) to share suchinformation internally.
Going forward, we will work to further enhance employee awareness in order to better provide products and services basedon customer perspectives.

Employees experience providing customer support over the phone

Leveraging an Understanding of Consumer Perspectives in Our Operations

We are working to foster a corporate culture in which all employees think and act based on an understanding of thecustomer’s perspective. As part of our response to Japan’s severe demographic graying, we have a set of equipment thatsimulates the physical conditions of old age on hand at all times at the Consumer Service Center. By listening to feedback
from our senior customers and wearing the simulation equipment while looking at product labels or holding productcontainers, we strive to deepen our customer insight and foster consideration and understanding of seniors and all
customers among our human resources. These insights and considerations are put to use in product development,
customer support and communications.
We are expanding the range of these efforts to include not only staff involved in product development, but thecommunicators that staff our phone lines and the Meister of Daily Life engaged in communication efforts.

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Meisters of Daily Life using equipment that simulates old age

Initiatives to Provide Support that Satisfies Customers

We hold phone service training in which customer support [Japanese] phone operators learn the skills to quickly andaccurately understand and respond to the issues that customers seeking support have as well as a broad knowledge of Lion
products and related topics. Specifically, we offer training in which operators discuss a wide range of case studies tomutually reinforce their skills, study groups focused on the health and living issues behind products, and training inpronunciation and word choice to make themselves easier for customers to understand over the phone in order to enhancecommunication.
We have the results of these activities evaluated by a third party and strive to provide service that will better satisfy
customers. In addition, we have launched two systems that enable us to resolve customers’ problems 24/7, 365 days a year:
a product retail distributor search service (February 2021) and a chatbot system (April 2021).

Further Enhancing Quality and Customer Satisfaction

Lion monitors its corporate brand penetration with the help of a market research company. The survey shown below
examines satisfaction after using Lion products and services over time (for the purposes of the study, Lion product users are
male and female general consumers over the age of 16). We will continue to gather objective data on customer opinions inorder to provide high-quality products and services.
Corporate Brand Penetration
2016 2017 2018 2019 2020 2021
Customers who reported a satisfaction level
697
681
706
715
727
Satisfaction level (%)
68.4 67.8 68.1 67.8 71.4
Data from “Brand Strategy Survey,” Nikkei Research Inc.

Customer Support Initiatives at Lion Corporation (Korea)

We maintain mechanisms for responding to customer opinions via customer support hotlines and marketing divisions at ouroverseas Group companies, as well.
Since 2004, Lion Corporation (Korea) has responded to customer opinions and requests in accordance with its customer
inquiry response regulations via a customer support division. Quarterly reports on customer inquiries are made to
management, and important requests are reported to management immediately.

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Ensuring Product Safety and Reliability

Reinforcing the Provision of Information to Customers
Providing Useful Information for Daily Living and Promoting Educational
Activities

Lion actively engages in communication with consumers with the aim of expanding our creation and dissemination of
information that contributes to healthy and comfortable living.

* Specialists who research and provide information useful for comfortable, healthy living

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Initiatives of the Meisters of Daily Life

Lion’s Meisters of Daily Life, career researchers with specialist expertise, are conducting the following activities in the fieldsof oral care, healthcare, hygiene, laundry and living care. Meisters of Daily Life research useful lifestyle information to makeeveryday life healthy and comfortable and share colorful living ideas through various media and events.

Communication with Customers through Workshops

Cleanliness and hygiene classes
for companies(April 5, 2021)

Cleaning seminar at asupermarket culture class(May 18, 2021)

Kaji x Kaji Happy Share LION and Yokohama City co-hosted a housework sharing seminar (October 23, 2021)

Communication with Customers Using the “Lidea” Lifestyle Information Website
Lidea is a lifestyle information website aimed at inspiring curiosity about living habits andhelping users cherish each day by providing content about Lion products, the technologies
behind them, and approaches to daily living. The site provides accurate information that isuseful for consumers’ daily living, presented mainly by the Meisters of Daily Life, lifestyle
information specialists.
Going forward, Lion will continue to provide information useful for daily living throughLidea and use the information accumulated through Lidea to deepen diverse forms ofcommunication with customers.

Lidea [Japanese] https://lidea.t
oday/

Sustainability Communication Booklet

To help consumers easily and enjoyably understand Lion’s sustainability initiatives,
Lion has created a booklet titled “Foundation of Daily Life: In Numbers” (in Japanese).
The booklet uses numbers to illustrate a variety of social issues closely related to dailyliving and highlights the ways that Lion is working to help solve these issues throughproducts, educational activities and communications.
The booklet is distributed at events related to health, cleanliness and the environment,
where Lion comes into direct contact with consumers.

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Media for the Visually Impaired

Lion uses a variety of media to provide information for the visually impaired.

The Roots of Our Information Provision

Across Japan, Lion provides everyday household goods, such as detergents,
toothpastes, toothbrushes, shampoos and household cleaners. We believe it is our
mission to provide such products as well as clear information about them to all
customers.
The Roots of Our Information Provision [Japanese]

Sawatte Wakaru Tooth Brushing Book

In collaboration with Dai Nippon Printing Co., Ltd., Lion issues the Sawatte Wakaru
Tooth Brushing Book, a health guidebook incorporating universal design with tactile
diagrams for the visually impaired.
Sawatte Wakaru Tooth Brushing Book [Japanese]

Making Products Barrier Free

The page below highlights products developed incorporating a barrier-free perspective
and products that visually impaired customers have commented are convenient basedon their actual usage experience.
Making Products Barrier Free [Japanese]

Timeline of Initiatives

The page below provides a timeline of Lion’s initiatives aimed at addressing the needsof the visually impaired.
Timeline of Initiatives [Japanese]

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Together with supply Chains

Together with Supply Chains

Sustainability Material Issues ９ Building Responsible Supply Chain
Management

Basic Approach

The Lion Group regards the creation of responsible supply chain management through reinforced coordination withmaterials manufacturers and production contractors as a key issue in its supply chain initiatives. To reduce the negativeenvironmental and social impacts of business activities and advance sustainable mutual business development, we must
work with suppliers to evolve our sustainably initiatives based on our Procurement Principles. These principles clearly lay
out Lion’s policy of considering legal compliance, environmental conservation and respect for human rights when selecting
suppliers.
Furthermore, Lion recognizes the importance of promoting the sustainable procurement of palm oil, a key plant-based raw
material for the Company, and is advancing initiatives to that end.

Instituting the LION Anti-Bribery Principles

The Lion Group established the LION Anti-Bribery Principles in January 2019 in light of developments around the world
related to strengthening legal regulations against acts of bribery and corruption.
Going forward, we will continue working to ensure that our business activities are fully compliant with the laws andregulations of the countries and regions in which we do business.

Overview and Implementation Framework

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Initiatives
Promoting Sustainability with Materials
Manufacturers and Production Contractors

Aiming for Sustainable Raw Material
Procurement

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Together with Supply Chains

Promoting Sustainability with Materials Manufacturers andProduction Contractors
Self-Checks Based on the Lion Group Supplier CSR Guidelines*1

To advance responsible procurement activities, each year the Lion Group asks that the materials manufacturers andproduction contractors it works with implement self-checks based on the Lion Group Supplier CSR Guidelines . In thisway, we are promoting the creation of frameworks throughout the supply chain to avoid risk related to human rights, labor
practices, the environment, fair operating practices, consumer issues and compliance.
Since 2014, we have moved the self-checks entirely online, enabling suppliers to respond more efficiently. We also provide
suppliers with feedback based on the self-check results. The result of these efforts is a system that continuously advances
CSR procurement. We aim for a 100% response rate every year.
In 2018, Lion Corporation (Korea) requested self-checks from its 162 business partners, achieving a response rate of 75.3%.
In 2021, continuing from 2020, Lion Daily Necessities Chemicals (Qingdao) Co., Ltd., requested self-checks from its 49
suppliers (of which, 9 were also covered by Lion’s self-check request), achieving a response rate of 100%.
In 2021, self-checks*2 were also conducted by 75 trading partners of Lion Engineering Co., domestic Group company.
We will continue to promote sustainability initiatives with our business partners.
*1 The Lion Group Supplier CSR Guidelines comprise 21 guidelines under the five categories (Human Rights/Labor Practices, The
Environment, Fair Operating Practices, Consumer Issues, Compliance)

Lion Group Supplier CSR Guidelines and Glossary (English)
Lion Group Supplier CSR Guidelines and Glossary (Japanese)
Lion Group Supplier CSR Guidelines and Glossary(Japanese) (Lion Engineering Co. Ltd. version)
Lion Group Supplier CSR Guidelines and Glossary (Chinese)
Lion Group Supplier CSR Guidelines and Glossary (Korean)*2 Lion Engineering Co., Ltd.'s version of the self-check includes the addition of “Confrontation with antisocial entities: Cut off relations with
antisocial entities and reject any unreasonable demands” to item 21.

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Timeline of Sustainable and Responsible Procurement Initiatives
2005
Instituted the Basic Policy Regarding Purchasing and implemented appropriate
procurement of raw materials and products.
2008
Established the Procurement Principles, which clarify our social and environmental
considerations. Conducted a questionnaire survey for domestic and overseas raw
material manufacturers and production contractors about their corporate activities
regarding legal compliance, product service quality and safety, environmental
considerations, labor practices and human rights, and fair trade.
2013
Amended the Procurement Principles and clarified our stance of considering legal
compliance, environmental conservation and respect for human rights when selecting
business partners. Instituted the Lion Group Supplier CSR Guidelines , which specify
the sustainability initiatives we expect from raw material manufacturers and production
contractors and asked our business partners to conduct self-checks of theirsustainability initiatives.
2014
Introduced an online CSR self-check system.
2018
Lion Corporation (Korea) requested self-checks from its business partners, expanding
the number of countries in which the Group implements self-checks.
Established the LION Human Rights Policy and LION Anti-Bribery Principles to clarify
2019
our stance on initiatives for sustainable and responsible procurement.
Established the Sustainable Material Procurement Policy to advance initiatives aimed
at the sustainable procurement of palm oil derivatives and pulp and paper products,
which are key raw materials for the Lion Group.
Took part in the Supplier Ethical Data Exchange (Sedex)—headquartered in the United
Kingdom—in order to further reduce social and environmental risk in purchasing.
2020
Overseas Group company Lion Daily Necessities Chemicals (Qingdao) Co., Ltd.
requested self-checks from itssuppliers.
2021
Domestic Group company Lion Engineering Co., Ltd. requested self-checks from its
suppliers
The Lion Group does business with suppliers who have implemented self-checks based on the Lion Group Supplier CSR Guidelines .

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PDCA Cycle for Supplier Sustainability Self-Checks

In order to ensure that our suppliers understand the importance of addressing sustainability-related issues, we include a
section explaining the situation surrounding sustainability in our self-check request form. The self-check employs a threestep checking standard for each initiative and a detailed glossary.
Supplier Sustainability Self-Check Results (2021)

2017
2018
2019
2020
2021

Number of Suppliers Evaluated and Response Rate (Target: 100% every year)
Suppliers
Response Rate
625
610
585
574
502

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99%
98%
99%
100%
100%

Lion Sustainability Website 2022

Results Summary

The response rate in 2021 was 100%, and the average score, on a scale of 1 to 3 points, was 2.70, confirming thatsustainability measures are being implemented throughout the supply chain.
There were no suppliers that did not respond.

Key Suppliers

The Lion Group considers suppliers from whom it purchases substantial amounts of raw materials and suppliers that cannot
be readily replaced to be key suppliers. We monitor the sustainability initiatives of key suppliers on an ongoing basis.
Specifically, we define key suppliers as those that provide 80% or more (on a purchase price basis) of a given material usedby the Lion Group and suppliers that are necessary to the Lion Group’s ability to stably supply products to the market.
Key Suppliers

2017
2018
2019
2020
2021

Number of key suppliersPortion of all primary
suppliers that are key
suppliers

90
90
90
90
90

14.4%
14.8%
15.4%
15.7%
17.9%

Portion of purchasing thatis from key suppliers(monetary basis, among
all primary suppliers)
80%
87%
80%
89%
89%

High-Risk Suppliers

After receiving the self-checks, the Lion Group confirms whether or not suppliers are meeting the standards it has set for its
key sustainability items. Suppliers with low scores are designated as high-risk suppliers.

Selecting New Suppliers

Before doing business with a new supplier, Lion requires the company to perform a self-check based on the Lion Group Sup
plier CSR Guidelines to confirm that the company meets the standards it has set for its key sustainability items.

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Joined Sedex, the Supplier Ethical Data Exchange

Headquartered in the United Kingdom, Sedex is a not-for-profit organization thatprovides the world’s largest platform for managing and sharing ethical supply chain
data, with the aim of establishing ethical and responsible business practices in global
supply chains. The Lion Group joined Sedex as an AB member at the end of 2019 inorder to further reduce social and environmental risk in its purchasing. We encourage
our suppliers to join Sedex to reduce the burden of self-checks and request that they
use the platform provided by Sedex to submit their annual self-check responses. Of
Lion’s 90 key suppliers, 14 are using the Sedex platform (as of December 31, 2021).
Going forward, we will continue to reinforce and enhance supplier management andrisk management.

Employee Training on Sustainable Procurement

Lion provides sustainable procurement training to every purchasing department employee who is involved in buying. We
also hold study groups to help employees obtain certification under the Certified Procurement Professional (CPP) system
offered by the Japan Management Association.* Participants not only learn buying operation management and gain
practical knowledge, they learn about the importance of procurement that takes into account the environment, ethics,
safety and hygiene, human rights and other such factors as well as about working with suppliers.
When selecting suppliers and setting pricing and other terms, we always enter into agreements through negotiations rooted
in fairness and transparency. We thoroughly enforce compliance with the Act against Delay in Payment of Subcontract
Proceeds, Etc. to Subcontractors through such means as training for Purchasing Headquarters employees.
In response to growing calls for CSR procurement, going forward, we will advance human resource development, including
proactively sending employees to seminars related to purchasing and procurement.
* CPP: A qualification for persons involved in corporate purchasing and procurement indicating that the holder has acquired specialized
knowledge in the field of purchasing and procurement.

CPP qualification website [Japanese]

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Together with Supply Chains

Aiming for Sustainable Raw Material Procurement

Sustainability Material Issues ９ Building Responsible Supply Chain
Management

Approach

The Lion Group aims to contribute to the achievement of the Sustainable Development Goals (SDGs), a set of sharedworldwide goals for 2030. However, palm oil derivatives and pulp and paper products, which are key raw materials in the
Lion Group's products, present risks related to raw material procurement to sustainable development in terms of humanrights, labor issues and environmental issues. To address these risks, we have established the Sustainable Material Procure
ment Policy. Based on this policy, we are advancing initiatives aimed at the sustainable procurement of palm oil derivatives
and pulp and paper products.

Sustainable Palm Oil Procurement

The Lion Group is proactively advancing the utilization of plant-derived materials that are carbon neutral and nondepletable. Among the plant-derived materials that Lion uses are derivatives of palm oil—the world’s leading vegetable oilin terms of production volume. Palm oil is produced in principally Malaysia and Indonesia.

The Raw Material Behind Palm Oil: Oil Palms

Palm oil production is increasing year by year, partly because oil palms (the source of palm oil) are highly productive andcan be harvested throughout the year. However, with the rapid expansion of production, a number of issues have arisen in
producing regions, such as the destruction of tropical rainforests and wildlife habitats as land is cleared for thedevelopment of new plantations. Furthermore, improper farming operations involving a wide range of human rights andlabor abuses that reflect a lack of social justice have been identified. These include poor labor conditions with inadequate
consideration given to health and safety, low wages, improper treatment of immigrant workers and the use of child labor.
Since 2006, Lion has been a member of the “Roundtable on Sustainable Palm Oil (RSPO) ,*” which works toward theresolution of such issues. In 2012, the Oleochemical Production Site of Lion Chemical Co., Ltd., a domestic affiliate thatprocures palm oil from Malaysia and Indonesia, passed the RSPO’s supply chain certification system inspection and wascertified as a plant that may handle RSPO-certified palm oils. Accordingly, Lion Group started procuring RSPO-certified palmoils from 2012. The Lion Chemical Corporation Fine Chemical Production Site received RSPO supply chain certification in
March 2020, and Lion Corporation and all its plants (the Chiba Plant, Odawara Plant, Osaka Plant and Akashi Plant) werecertified in August 2020. Moreover, the Lion Specialty Chemicals Co., Ltd. were certified in June 2022.
The Lion Group’s aim for the end of 2030 was to ensure RSPO certification for all the palm oil derivatives it uses. As of theend of 2021, Lion had switched to RSPO-certified products for 93% of its key raw materials.
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Furthermore, regarding the palm oil derivative used in its consumer products, the Group’s aim is to purchase only oil thatcan be traced to sustainability-conscious mills. To ensure traceability, the Group discloses a mill list detailing the key
materials procured from its primary suppliers.
mill list

Going forward, we will continue to work to procure sustainable palm oil.

Targets:
For all palm oil, palm kernel oil and their derivatives used in the domestic Lion Group’s consumer products tomeet the sustainability standards of third-party institutions by the end of 2030.
* The Roundtable on Sustainable Palm Oil
The Roundtable on Sustainable Palm Oil (RSPO) believes that for palm oil production to be sustainable, it must not only be compliant with
relevant laws and regulations, but economically sustainable, environmentally appropriate and socially beneficial. These requirements arelaid out concretely in the RSPO Principles and Criteria. Only palm oil produced in accordance with these seven principles and 40 criteria canbe RSPO-certified.

RSPO Supply Chain Verification
certificates of the Lion ChemicalCo., Ltd. Oleochemical
Production Site and Fine
Chemical Production Site

RSPO Supply Chain Verification
certificate of Lion Corporation
and all its directly owned plants

RSPO Supply Chain Verification
ertificate of the Lion Specialty
Chemicals Co., Ltd.

Sustainable Pulp and Paper Procurement

Pulp and paper are used in the manufacture of the Lion Group’s product packaging, booklets and pamphlets as well as in
the copy paper and other office supplies the Company purchases. In order to better protect biodiversity in the procurementof these materials, based on the Sustainable Material Procurement Policy, we are advancing the procurement of third partycertified paper products. As of the end of 2021, 98% (by weight) of such products procured from domestic manufacturers
was third-party certified, and 65% (SKU) of packaging materials for major products was third-party certified. In addition, we
have identified the country of harvest’s administrative divisions (states, provinces, etc.) for 100% of the woodchips and pulp
used in our product packaging.

Target:For all pulp, paper and woodchips used in the domestic Lion Group’s consumer products to meet thesustainability standards of third-party institutions or be sourced from recycled materials by the end of 2030.

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Participation in External Supply Chain Initiatives

Lion has been a member of the Roundtable on Sustainable Palm Oil (RSPO) , an international initiative, since 2006.
Furthermore, since 2012, Lion has taken part in the Supply Chain Subcommittee of the Global Compact Network Japan,
contributing to the preparation of various publications, such as an introductory text on CSR procurement.

Roundtable on Sustainab
le Palm Oil (RSPO)

Japan Sustainable Palm O
il Network (JaSPON) [Japanese]United Nations Global Co
mpact (UNGC)

Holding the 9th Regional Purchasing Manager Meeting

The Lion Group holds the Regional Purchasing Manager meeting annually with thegoals of reducing costs at the overall Group level and reinforcing communication
between the purchasing staff of participating companies by fostering personalconnections.
In 2021, the conference was held online in September, with participation from six
countries including Japan. At the conference, the 11th of its kind, representatives fromeach company reported on their ESG initiatives, challenges facing Purchasing
Departments with the COVID-19 pandemic, cost reduction efforts and other issues, andshared information. We will continue to support the purchasing activities of eachcompany to strengthen the purchasing power of the entire Group.

Participating Overseas Group Companies

Participating purchasing staff ofeach company at the online meeting

Lion Corporation (Thailand) Ltd.
Southern Lion Sdn. Bhd.
PT. Lion Wings
Lion Corporation (Korea)
Lion Daily Necessities Chemicals (Qingdao) Co., Ltd.

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Green Purchasing

The second item of Lion’s Procurement Principles states that Lion shall “Rationally select business partners not only on thebasis of quality, cost and timely delivery, but also regulatory compliance, environmental protection, labor, and humanrights, to fulfill our responsibility to customers and to create a sustainable, healthy society.” In line with this principle, we
promote environmentally friendly green purchasing on a Company-wide basis.
We utilize an ordering system for employees’ office supplies that helps ensure that such supplies are environmentallyfriendly products. Through such efforts, we are carrying out our commitment to green purchasing.

Transition to Biomass Inks for Product Packaging

Products with reduced environmental impact are required if we are to minimize environmental problems such as marine
plastic pollution and global warming. With this aim in mind, Lion has started using biomass inks* made from plant-based
raw materials for some of the color inks used in product packaging (pouches, shrink films, attention seals, labels, etc.).
* Inks designed with biomass-derived raw materials as a portion of the resin component and comprising more than 10% plant-based
ingredients in the ink film once dry.

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Together with Employees

Together with Employees

Sustainability Material Issues ３〜７

Basic Approach

One of the growth strategies of Lion’s Vision2030 is “Generate dynamism to realize innovative change.” Under this strategy,
we aim to have all employees spurring on each another in their respective growth processes and operating as autonomous
individuals in order to generate waves of innovative change; that is, dynamism, across the organization as a whole. To do so,
we are promoting corporate branding based on understanding of and resonance with our purpose—make a difference ineveryday lives by redesigning habits: ReDesign—to help employees feel real value in working for Lion, thus improving
employee engagement. Furthermore, in addition to our efforts to create employee-friendly workplaces from the perspectiveof human resource development—in everything from hiring to training, compensation and the fostering of healthy habits—
we also aim to increase productivity and create new value by instilling a sense of professional fulfillment in every employee.
Through further advancement of corporate branding and LION Professional Fulfillment Reforms*, we are helping employees
fully display their diverse capabilities to form a collective of human resources that will embody our purpose. In this way, we
will continue to transform for sustainable growth.
* Initiatives to increase the professional fulfillment of each and every employee, develop personnel who generate new value and improvelabor productivity.

Overview

We are advancing a variety of initiatives rooted in the common approach of activating individuals and organizations.
In addition to efforts to enable diverse human resources to succeed, promote diverse work styles and develop independent
human resources, we aim to realize better workplace environments by maintaining and enhancing labor-management
relations, health and safety (Figure 1).
Furthermore, via the Lion Professional Fulfillment Reforms, we are offering a wide range of options and opportunities for
employees based on four overarching themes aimed at making maximum use of diverse talent. By doing so, we are working
to create environments that allow employees to utilize their own strengths, find the work styles that best suit them andbetter coordinate with others (Figure 2).
Figure 1. Initiatives to Activate Individuals and Organizations

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Figure 2. Lion Professional Fulfillment Reform Framework

Initiatives
Developing Human Resources

Promoting Work-Life Enrichment

Promoting Diversity and Inclusion

Improving Employee HealthEnhancing the Occupational Safety
Management System

Labor-Management Relations

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Together with Employees

Developing Human Resources

Sustainability Material Issues 5 Developing Human Resources
Lion’s Ideal Human Resources
Approach
Human Resource Development through Support for Autonomous Learning

Systems

Approach

The Lion Group strives to foster habits that allow employees to feel secure and take on challenges so that they canautonomously exercise their abilities to the fullest. By doing so, we aim to develop human resources who generateinnovative dynamism.
To encourage the growth mindset* necessary for autonomous growth, we provide a program that promotes selfunderstanding as well as career design support aimed at helping each employee develop a career vision. Furthermore, weoffer ongoing e-learning that employees can use for autonomous study aimed at achieving their particular vision and avariety of group discussion programs. Through these and other means, we provide wide-ranging support to suit eachindividual.
Furthermore, the entire Company works to maintain a culture that promotes employee growth. By enhancing therelationships between supervisors and their subordinates, we are working to foster a high level of psychological safety at all
workplaces.
Furthermore, enhancing the creativity of each and every employee will be key to creating the new value that is essential torealize the management vision. To this end, we are taking a two-pronged approach comprising supporting the development
of diverse talents and providing opportunities to utilize such diverse talents.
We provide support for human resource development in which employees grow by autonomously acquiring knowledge andexperience in order to realize the careers they have designed for themselves and thus make maximum use of their diverse
talents.

Overview* The belief that one’s talents and abilities can be developed through experience and effort
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Lion’s Ideal Human Resources

Individuals who proactively think and take action regarding their careers, work and work styled and engage in their work
productively

Human Resource Development System that Support Autonomous Learning

By implementing the following four policies, we will develop human resources who proactively learn and act. In this way, we
will generate personnel-based dynamism.
1. Enhancing leader development programs
2. Building new educational frameworks to develop human resources with the ability to proactively absorb wide-ranging
insights and take action
3. Promoting mindset development at career turning points, such as upon hiring or promotion
4. Linking department-level knowledge and skills acquisition programs with headquarters-led programs to further develop
expertise in specific work areas

Framework of the Lion Professional Fulfillment Reforms

Multifaceted Evaluations of Ability

One of the four overarching themes of the Lion Professional Fulfillment Reforms is Work Management. As a measure in thisarea, we carry out multifaceted evaluations of ability, which provide an impetus for employees to autonomously grow andwork in ways that better suit them.
Once a year, employees and their colleagues evaluate their behavioral characteristics and receive feedback from theirsupervisors. This initiative, adopted from fiscal 2021, helps spur self-directed, autonomous growth.

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Lion Career Village (LCV)

Since 2019, to adapt to changing modes of learning while creating new learning
opportunities, we shifted from conventional level-specific training to a more selfdirected mode of learning via Lion Career Village (LCV), our platform for learning. LCV
offers programs divided into e-learning (mainly video content) and small group
discussions. Users can access and learn from approximately 4,000 units of online
content and discussion-style programs encompassing knowledge from within theGroup and outside.
Going forward, to help employees gain knowledge that will further expand the breadthand depth of their work and with an eye to accelerating institutional learning, we will
create environments that enable them to teach one another and share what they havelearned.
Enhancing Lion Career Village (LCV)

Going forward, we will continue to improve work environments that promote ambition and creation to help all employees
advance their careers in an effort to reinforce front-line capabilities.

Career Planning Support

Lion’s career design support hotline offers consultations about employees’ careers and provides information from insideand outside the Company to support employees in realizing career autonomy in the form of advancing their own careers
based on their own aspirations and actions.

Career design interview with a career consultant

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From 2011 to 2019, Lion’s career counseling desk helped employees proactively enhance their own career path. Focused on
Lion employees, the desk accepted consultations via phone or email, and provided opportunities for face-to-face career
consultations to help employees gain new insights by soliciting employee participation. A cumulative total of 819 employees
used the system (as of the end of 2019). Annual surveys of its users found a high level of satisfaction regarding theirconsultations and positive changes in their mindsets and actions. In 2020, we completely revamped the career counselingdesk and launched what we call Career Design Support, which is aimed at supporting conscious autonomy that will enable
employees to advance their careers themselves based on their own aspirations and actions. The desk offers career
consultations and disseminates information in and outside the Company, helping employees design their careers andrediscover their own potential.
We also hold career design seminars by age group. For young people in their 20s and 30s, the seminars provide an
opportunity to gain insight into career development in response to changes in society and the environment. For those in
their 40s and 50s, the seminars provide a place to take stock of their careers to date and consider future careers that makeuse of their personal characteristics, including their experiences, values and strengths. In total, 789 people participated in
the seminars in 2020 and 2021.

Strengthening Relationships

One of the four overarching themes of the Lion Professional Fulfillment Reforms isStrengthening Relationships. The Lion Group is implementing Relationship
Enhancement Program for Group Management aimed at strengthening relationships
among employees.* Targeting all 600 officer-level Group employees, the program seeks
to redefine their relationships with their workplace colleagues. With 100 individuals
participating in every six-month term, the program will run for a total of six terms(three years). To realize professional fulfillment, strengthening relationships among
employees—the foundation of professional fulfillment—is absolutely essential.
Accordingly, with a focus on psychological safety, the program aims to encompass
everyone in the Group, including management.

Participating in the program online* The program is being implemented in an online format for all Group officer-level employees of the Lion Group working at domestic offices.

ReDesign FORUM

Lion is carrying out ReDesign Activities, a Company-wide initiative, in accordance with
the idea that it is necessary to engage in action that creates dynamism for personnel,
organizations and management based on earnest discussion between employees andmanagement about essential issues that could alter Lion’s corporate behavior.
As part of ReDesign Activities, Lion launched the ReDesign FORUM in 2018 with theaims of directly conveying to management the passionate desire of employees to bringchange to the Company and of rapidly implementing their proposals.

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Overview of Activities

The ReDesign FORUM brings together employees from a wide range of divisions.
Participants form teams to work on specific themes and explore issues related to each. They then work to find solutions tothese issues by, for example, implementing experimental measures and meeting with related departments, external experts
and other companies. The teams brush up their proposals through direct dialogue with management before making their
final reports, at which point management decides whether or not their proposals can be implemented.
Management has examined the feasibility of the measures proposed by the teams in each of the ReDesign FORUM’s three
years. A variety of these have been put into practice and taken root within the Company.
Participants have commented that the ReDesign FORUM gave them a chance to directly convey their passion and ideas tomanagement and see them realized. They also noted that participating increased their affection for Lion and gave them agreater sense of professional fulfillment in their work. As these comments demonstrate, this initiative is both creating
opportunities to change Lion’s corporate activities and helping to increase employees’ professional fulfillment.
Particip
antsFirst term
(2018)

Second term
(2019)

Third term
(2020)

ThemesMeasures implemented

・Work style reforms for maximizing newvalue creation
reforms for maximizing the
95 ・Operational
speed of business・Maximizing the use and development of
human resources
・Expand and Evolve Our Business Domains
through New Value Creation
・Accelerate
Growth in Overseas Businesses
35 through Glocalization
・Reinforce Our Management Base throughBusiness Structure Reform・Accelerating and Refining the Value Chain
・Informing Organizational Action with Data
26 ・Reorienting to Promote Company-WideInternationalization and Form a United
Team

264

Measures based on the themes at left are
being implemented as part of Companywide initiatives, such as the Lion
Professional Fulfillment Reforms
Self-led LION ACADEMIA activities andother measures aimed at transforming
corporate culture are being implemented
Measures are being implemented to break
down barriers between employees in Japanand overseas, such as the internal sidework system, which enables participants to
get more experience in international
operations

Lion Sustainability Website 2022

NOIL

Under the theme of going beyond conventional healthcare wisdom, we launched NOIL,
a program for selecting and implementing new business ideas in 2019, with the aim ofcontinuously creating businesses that offer new value.
Held every year, the program has run three times thus far, each year collecting ideas
based on diverse perspectives from among employees in not only the R&D Division andMarketing Division, but divisions across the Company, including sales divisions and theProduction and Logistics Headquarters. The applicants examine issues faced by society
and consumers and, on their own, come up with ideas aimed at resolving them thatthey turn into business proposals. To commercialize the ideas for new products andservices that management and outside experts select as promising, the employees
who submitted the ideas that are chosen are transferred to the Business Development
Center, where they take a central role in building their new businesses.
Overall Scheme of the NOIL Program

Commercialized Business: Gokinjo Cheftomo
The experience of independently coming up with the solution to a
problem I had in my own daily life was the impetus for my applying to
NOIL. I wanted to share my solution with others and spread the joy it
brought. I also wanted to work on solving consumers’ problems from awider perspective that transcends the boundaries of the areas I had
worked in previously. Bringing together underutilized resources andconsumers’ real desires, I started to work toward commercialization
after my idea was selected through the NOIL new value creation programin December 2019.
From there, we went through about a year of commercialization study and testing, culminating in the launch of
Gokinjo Cheftomo, a service for reserving dinner take out. Gokinjo Cheftomo is a service by which users canreserve dinner take out via an app for the days they need it on a weekly basis. In addition to reducing theburden of housework, Gokinjo Cheftomo fosters the added value of healthy eating habits and community
connection, differentiating it from existing delivery services. The service has been well received by both users
and participating restaurants, and the numbers of both are expanding. Going forward, we will work to grow
Gokinjo Cheftomo into a business that contributes to the formation of new housework habits and value.

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Commercialized Business: Kyuzituhack
I worked in sales for eight years after joining Lion, but I decided to apply
to the NOIL program because I wanted to create a business based on myown ideas in order to offer something exciting to the world. I proposed a
service, Day Off Hack! to help customers mix up their stale regularroutines. My idea was selected for development through NOIL in
December 2019.
We established Kyuzituhack Co., Ltd. with venture capital funding, and I was appointed its president. I had myhands more than full, what with establishing the company, running it as president and developing its business.
First, we developed Day Off Hack! (released October 2020), a service that connects users with interesting things
to do outside the home. Then, in response to growing demand driven by the COVID-19 pandemic for homebased alternatives, we released At-Home Hack!, a service that delivers kits that provide fun, unexpected
experiences that can be enjoyed at home (released March 2021).
Since their release, the services have been well received, with more than 40,000 registered users. Throughservices that offer encounters with new things you wouldn’t think to seek out yourself, I hope we can offer new
living habits and value in a fun and enjoyable way.

Kyuzituhack [Japanese]

Marketing Study Program

The Marketing Study Program has been implemented continuously in the Marketing Division since 2014. This program offers
opportunities for the systematic study of such topics as practical marketing theory and planning design based on consumer
insights and competitive strategies. The program also serves to develop marketing personnel in accordance with individualcareer paths.

Global Personnel Development Program

The Global Personnel DevelopmentProgram was launched in 2021 to further expand Lion’s overseas business in Asia. The
program’s training curriculum encompasses problem solving, understanding cultural differences and learning foreign
languages as well as visits to overseas locations. Through the program, we are developing globally capable humanresources who can excel across Asia, including Japan, based on outstanding expertise.

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Systems
Side Job System

In 2020, we introduced a side job system (in which employees can either devise their own side job or choose from a numberof options) to create opportunities for employees acting with deliberate autonomy to gain knowledge and experience.
Pursuing a side job can be an opportunity for employees to expand their own potential and take a fresh look at their own
abilities. As such, we are both granting employees permission to work side jobs outside the Group and recruiting outside
talent to work side jobs at Lion. By gaining experience outside the Company, employees can grow and evolve while
expanding the breadth of their career and career options. Furthermore, we aim to leverage the external knowledge andconnections that employees build through their side jobs to help create new value.

Expected Benefits

Employees will build relationships outside the Group and broaden their horizons externally, enabling them to expand thebreadth of their careers and grow as individuals. They will then be able to apply the experiences gained to their work at
Lion.
Lion will gain skills, knowledge and experience that it lacks internally.

Handpicked Appointment and Early Promotion

We have launched systems of merit-based “handpicked appointment” to select project leaders and persons to fill specificpositions without regard to years of service or age as well as “early promotion” to quickly identify outstanding humanresources early and expand their responsibility and authority. In addition, we have implemented multifaceted evaluations ofability with an eye to increasing employee satisfaction and fostering professional fulfillment.

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Together with Employees

Promoting Work-Life Enrichment

Sustainability Material Issues ４ Promoting Work-Life Enrichment
Realizing Mid- to Long-Term Life Plans (Balancing Work and Nursing/Childcare)
Workstyles that Help Realize the Daily Lifestyles that Employees Seek

In order to utilize the power of our human resources, it is necessary for a diverse range of people to demonstrate theirdiverse abilities and work in their own way. For this reason, we view work and life as one, and aim to create an environmentthat helps employees fulfill their ambitions through synergy between work and private life. We are committed to creating anenvironment in which each employee can realize their ambitions in life. To this end, we provide a variety of support services
to help each employee realize their mid- to long-term life plan and daily lifestyle.

Realizing Mid- to Long-Term Life Plans (Balancing Work and Nursing/Childcare)
For individual employee to be able to realize their mid- to long-term life plan, it is necessary to expand the range of life
planning options for events that have a large impact on life, such as childcare and nursing care.

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Programs to Support a Balance Between Work and Nursing Care

Lion has enhanced support for employees engaged in nursing care of family members as part of efforts to create anenvironment that allows employees to continue to work with peace of mind while handling such responsibilities. In addition
to ordinary annual paid leave, we have in place programs to support nursing care providers, including nursing care leave of
up to 365 days, shorter work hours for nursing care (short hours flextime system), short-term nursing care leave andaccumulated leave for nursing care (accumulated expired annual paid leave). Furthermore, we have set up a support
website targeting employees aged 40 and over to better provide information on nursing care, including videos of caregiving
seminars for managers and individuals.

Nursing care

Programs to Support a Balance Between Work and Nursing Care
Up to a total of 365 days of leave in one-day units may be
365 days of nursing care leave
taken per family member requiring nursing care
Employees may reduce their work hours (by up to two
Shorter work hours for nursing
hours per day) as long as necessary to provide nursing
care
care
(short hours flextime system)
May be used in combination with the flextime system
Employees may take up to five days per year to provide
Short-term nursing carenursing care for one family member or up to 10 days per
year to provide nursing care for more than one family
leavemember
Accumulated expired annual paid leave (up to 60 days)
may be used for the nursing care of close relatives
Accumulated leave(Close relative nursing care)* Accumulated paid leave may also be taken for the employee’s
own medical care or for volunteering

Programs to Support a Balance Between Work and Childcare

Lion is proactively enhancing its programs that support employees who are balancing work and childcare. We are expanding
related programs in line with our action plans based on the Act on Advancement of Measures to Support Raising NextGeneration Children and the Act on Promotion of Women’s Participation and Advancement in the Workplace and working toincrease awareness among employees. As a result of these efforts, in 2021, 100% of eligible female employees (full-time
employees only, excluding full-time contract employees) took childcare leave. The number of male employees taking
childcare leave is rising at 56% across a wide range of departments.
Employee motivation often falters during the early childcare years. Lion offers support for employees to help develop theircareers while raising small children. For example, we have set up a website offering information for employees returningfrom childcare leave and raising small children as well as support for employees wanting to learn new skills while on
childcare leave. To ensure proper understanding of the programs available, we hold individual orientations, attended byeligible employees and their supervisors, as well as pre-reinstatement seminars and post-reinstatement interviews in orderto facilitate a smooth return to work and support ongoing career development.

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Furthermore, to promote the professional participation and advancement of employees who are raising children, Lion offers
a new work style—the short hours flextime system—combining the reduced work hours system and flextime system (theflextime system applies to all employees, excluding those working in certain workplaces at plants).

ChildbirthChildcare

Programs to Support a Balance Between Work and Childcare
Maternity leave
Six weeks before and eight weeks after childbirth (paid)
Special leave for spouse’s
Two days (paid, with bonus)
childbirth
Employee may take up to 18 months leave until the childis three years old (may be extended by up to six
additional months if there is no available spot for theChildcare leavechild in a day-care center at the 18-month point)(paid for the first successive two weeks)
Employees may reduce their work hours by up to twohours per day until the child finishes first grade
Shorter work hours for childcare
May be used in combination with the flextime system
Employees with children below elementary school age
Exemption from overtime work
may apply for exemption from overtime work
Employees may take leave in hourly units to care for
injured or sick children below elementary school age(paid)
Leave to nurse sick children
Employees may take up to five days per year for one
child below elementary school age or up to 10 days per
year for more than one such child

Employee Benefits [Japanese]

Initiatives Based on the Act on Advancement of Measures to Support Raising Next-Generation Children

Lion is aggressively working to create environments that allow employees to work while raising children so that all
employees can exercise their abilities to the fullest.
As a result, Lion has fully accomplished the first five phases of its Action Plan based on the Act on Advancement of Measures
to Support Raising Next-Generation Children and received Kurumin certification for each. Through such initiatives as
encouraging the use of childcare-related systems, providing support for smooth reinstatement after childcare leave andencouraging male employees to take parental leave, we have achieved a 100% retention rate for female employees one year
after giving birth and a 71% usage rate for childbirth leave or parental leave among male employees (for the period of April
2015 to December 2018).
In addition, under the 5th Phase (covering April 1, 2015 to December 31, 2018) of our Action Plan, we advanced efforts topromote healthy work-life balance among all employees, not only those raising children, such as encouraging the use ofannual paid leave and expanding the use of the work-from home system. As a result of these efforts, in 2019, Lion received
special Platinum Kurumin certification from the Minister of Health, Labour and Welfare.

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2007

1st Phase2009

2nd Phase2011

3rd Phase2015

4th Phase2019

5th Phase

Kurumin Certification
Received Kurumin certification as a childcare-supporting company
from the Minister of Health, Labour and Welfare
Received Kurumin certification as a childcare-supporting company
from the Minister of Health, Labour and Welfare
Received Kurumin certification as a childcare-supporting company
from the Minister of Health, Labour and Welfare
Received Kurumin certification as a childcare-supporting company
from the Minister of Health, Labour and Welfare
Received special Platinum Kurumin certification as a childcaresupporting company from the Minister of Health, Labour and WelfareNews Release [Japanese]

Kurumin certification markPlatinum Kurumin

At present, under the 6th Phase of our Action Plan (covering February 1, 2019 to December 31, 2022), we continue to create
employee-friendly environments that allow employees to work while raising children and exercise their abilities to thefullest.

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6th Phase of Lion’s Action Plan Based on the Act on Advancement of Measures to Support Raising
Next-Generation Children: Goals and Status of Initiatives

Goal 1

Within the period of the Action Plan, implement support measures to create a working environment inwhich employees on childcare leave can smoothly return to work.
Initiatives
2019: Launched the Lion Career Village and provided support for self-study while on childcare leave and forcareer development after return to work.
2020: Holding discussions about career development with internal instructors at pre-reinstatement seminars.
Continuing to provide explanations of childcare support systems to the supervisors of employees using said
systems.
→Launched the Lion Career Village and provided support for self-study while on childcare leave and for careerdevelopment after return to work. (Begun in January 2019)

Goal 2

Within the period of the Action Plan, have 13% or more of eligible male employees take childcare leave,
one or more such employee take long-term parental leave and 30% or more of such employees takespecial leave (for childbirth).
Initiatives
2019: Explained childcare leave systems to employees who filed childbirth registrations and to theirsupervisors and encouraged them to take leave.
2020: Promoting the use of leave systems by featuring employees who have used them in the internal
newsletter, thereby sharing real-life experiences of work-life balance improvement.
→In 2020, of the 66 male employees to whom children were born, 23 (34.8%) took childcare leave, and another30 (45.5%) took special leave for the birth. As such, we achieved the target.

Goal 3

Within the period of the Action Plan, promote measures for understanding and use of the work-fromhome system and implement for support the establishing the system.
Initiatives
2019: Expanded the departments and employees eligible to use the work-from-home system. Promoted
understanding and use of the system through mass orientations, workplace orientations, individual meetingsand other means.
2020: Promoting the use of leave systems by featuring employees who have used them in the internal
newsletter, thereby sharing real-life experiences of work-life balance improvement.
2021: Analyze data on system usage by workplace in order to improve systems.
→In January 2020, we expanded the range of eligible employees to include approximately 70% regular
employees and full-time contract employees, excluding production divisions. In addition, to promote flexible
and autonomous work styles, we have eliminated the previous one day per week limit on telecommuting. The
telecommuting rate is now around 50%, which allows for a better balance between work and private life.

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Perspectives of Employees Balancing Work and Childcare
I used Lion’s childcare leave in 2016 and again in 2019 when I gave birth
to my children. Lion’s various support systems had been well establishedwhen I had my first child, but they were further strengthened for mysecond child, and I felt that they created a very comfortable working
environment for mothers. I was very anxious about returning to work
after childcare leave because I could not imagine a life of raising two
children while working, especially considering that I have not only one
child, but also my second child. However, when I attended the Back-toWork Seminars, I heard stories from more experienced mothers and wasable to get a better picture of what it is like to balance work and family
life. Talking with other mothers who were returning to work at the sametime made me feel like I could do my best, and Lion’s systems werebeing improved, so I was able to look at returning to work in a positive
light.
I met my husband while working at Lion, but when I had my second
child, he was also able to take childcare leave. The Company as a wholeis very supportive of parenting, regardless of gender, so we were able toenjoy raising our children without hesitation, which I appreciated.
Now, I am currently utilizing the short hours flextime system, the superflex system, and the telecommuting system. In addition, my superiors
and coworkers are very understanding, so I am able to work in a flexible
manner, which is very helpful, I feel that I am truly blessed to be able towork while raising my children.

Mariko Watanabe
DX Promotion Department

Work Styles that Help Realize the Daily Lifestyles that Employees Seek

To achieve the daily lifestyles that employees seek, it is necessary to reduce overtime and long working hours, make theleave system more accessible, and increase flexibility in working hours and locations.

Promoting Work Hour Management and Annual Paid Leave

We have been working to reduce long working hours and encourage employees to take annual paid leave since 2010.
Through e-learning programs for employees throughout the Company, such as compliance, we are promoting
understanding of appropriate work management, including work hour management. In addition, in order to achieve our2022 target of 80% annual paid leave taken, we are implementing initiatives for all employees to take at least 5 days per year
under a labor-management agreement.

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Rule Revisions to Promote Independent Work Styles

In 2015, we introduced a work-from-home system that promotes flexible work styles not bound to specific workplaces. Thiswas done with the aims of accommodating autonomous work styles in line with the diversity of our employees andincreasing productivity. In 2019, we improved our work-from-home related systems and their operation, including
encouraging participation in the 2019 Telework Days campaign.*1 By the end of 2019, trial implementation had expanded tothe point that the portion of employees who had used the work-from-home system at least once had grown to 49%.
To prevent the spread of COVID-19 pandemic in 2020, the adoption of work styles that do not require employees to bepresent in offices or commercial premises has rapidly expanded, and digital tools have been adopted throughout theCompany. In January 2021, we reinforced our telecommuting and full-flex systems (eliminating core time and enabling
employees to take discretionary off-the-clock breaks) in response to shifts in work styles due to the COVID-19 pandemic.
This shift toward more independent work styles that accommodate diverse needs has resulted in a usage rate for thesesystems of around 50%.*2 The practice of work styles suited to individual needs continues to take root, helping improve
professional fulfillment. Furthermore, because it is difficult to enable production site employees to freely set their own
hours, we have established a system for such employees to take time off in hourly increments. This system makes it easierfor employees to balance their private lives and work, helping to bolster motivation.
*1 The Ministry of Internal Affairs and Communications and the Ministry of Economy, Trade and Industry, in collaboration with related
government agencies and organizations, called on companies to implement telecommuting throughout Japan with the aim of expanding
telecommuting nationwide and alleviating transportation congestion during the Tokyo Olympic and Paralympic Games.
*2 Excluding periods under state of emergency declarations related to COVID-19 pandemic.

Perspective of an Employee Using the Telecommuting System
An advantage of telecommuting is that it allows you to find better, more
efficient ways of working. After getting my work done efficiently, I often
have more time than I otherwise would to prepare dinner and can takemore care with it. Being able to feel satisfied with the level of housework
I do even on weekdays has felt like a real lifestyle improvement.
Iyo Takatsu
Beauty Care Business Department, Health and Home Care Products Headquarters

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Smart Work

Since 2019, we have been relaxing rules about work attire. This is aimed at enabling employees to practice work styles thatspark open innovation and creativity to the greatest extent possible.
In addition, we are enhancing workplaces to improve employee work styles and the quality of communication. We have
remodeled some offices, creating spaces for collaborative and solo work. Through such efforts, we are testing new types ofworking spaces with the aim of effectively enhancing employees’ various work styles.
In these and other ways, we are fostering employees who focus their efforts on the essential creative, high-value-added
aspects of their work as well as a corporate culture that rewards doing so.

Volunteer Leave System

Lion has a special volunteer leave system (up to five days per year) to support employees participating in Companydesignated volunteer activities as well as a general volunteer leave system (in which employees can use expired annual paid
leave) to support employees participating in volunteer activities of their own choosing.
Japan is frequently affected by natural disasters, such as flooding and earthquakes. Through employees’ active
participation in activities to promote recovery in affected areas, we aim to contribute to local communities and enhance
participants’ awareness of social contribution.
In 2020 and 2021, due to the COVID-19 pandemic, the number of employees who participated was 0.

Forest maintenance participants, including employees using the special volunteer leave system

Users (daystaken)

2017
12 (16days)

Employees Using Volunteer Leave
2018
2019
13 (16days)275

15 (19days)

2020

2021
0

0

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Employee Awareness and Behavior Survey

Since 2013, we have conducted an annual employee awareness and behavior survey of domestic Group employees in order
to confirm changes in employee awareness and behavior, with the aim of achieving a state in which every employee feels
fulfillment in their work. The results of the survey are used for measures to improve job satisfaction of employees.
Employee Awareness and Behavior Survey*1*2
Employees take pride in their work
2018
2019
Response rate
91.5%
85.8%
Overall
Overall
96.2%
95.7%
Male
97.2%
96.5%
Female94.5%
94.3%
Below 30 y/o
94.1%
94.0%
30–39 y/o
94.8%
93.9%
Lion Corporation
95.3%
96.1%
(excluding employees on 40–49 y/oloan)
50–59 y/o
97.7%
95.7%
60 y/o and above
98.1%
98.0%
Non-Management
95.1%
94.4%
PositionsManagement
Positions
98.5%
98.7%
(Including
officers)

2020

2021

83.0%

84.3%

97.3%
97.5%
96.8%
95.3%
96.7%
96.8%
97.9%
97.2%

80.5%
84.3%
77.0%
74.9%
78.9%
79.0%
84.6%
85.4%

96.6%

77.5%

98.8%

89.6%

*1 Scope: Lion Corporation, non-consolidated basis (excluding employees on loan)*2 Since the ratio reached close to 100%, the survey option was modified to enable us to create even better working conditions.

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Together with Employees

Promoting Diversity & Inclusion

Sustainability Material Issues ３ Promoting Diversity & Inclusion
Promoting the Professional Participation and Advancement of Women
Promotion of International Employees
Promotion of Mid-Career Hires
Actively Promoting the Hiring of People with Disabilities
Diverse Work Styles

Employee Data

Lion is promoting internal diversity and inclusion in order to improve the creativity of its business activities.
To maintain the sense of urgency required to create new value and address life and social issues, it is necessary to maximize
the varied knowledge of our diverse human resources so they are equipped to generate new ideas and innovations. We will
create an environment and foster a corporate culture in which employees with diverse values and perspectives, regardlessof nationality, gender, or other attributes, respect each other and can fully demonstrate their individuality and abilities.
Currently, a team responsible for diversity within the Human Resources Development Center is implementing a variety ofmeasures to this end.

Promoting the Professional Participation and Advancement of Women

Lion recognizes that the professional participation and advancement of women is indispensable to the further
enhancement of corporate value and is proactively implementing measures to promote the professional engagement of
women.
Based on the Act on the Promotion of Women’s Participation and Advancement in the Workplace passed by the JapaneseDiet in 2016, Lion is implementing measures to enable the long-term professional participation of women. These include
expanding our childcare-related programs and implementing measures to support employees balancing childcare
obligations with work.
To narrow the gap in compensation between men and women, the Company provides each employee with learning and fair
growth opportunities while also providing training for evaluators aimed at ensuring that gender discrimination andunconscious bias do not affect their judgement of employees with regard to their education and training, care work
responsibilities (i.e., home and childcare) and work experience. In March 2020, we endorsed and participated in theactivities of “30% Club Japan ,”*1 a campaign targeting boards of directors comprising 30% women. The club provides
opportunities to participate in meetings with other companies to exchange opinions on women’s activities and programs
that encourage young women to think about their careers.
Through a range of initiatives, we have increased the proportion of female employees at the management level*2 on a nonconsolidated basis to 11.7% (at the end of 2021). Looking toward 2030, we aim to advance the professional development
and promotion of women on a Group-wide basis, targeting a rate of women in management of at least 30% for the Group,
and at least 35% for Lion Corporation.
Lion’s Action plans based on the Act on Promotion of Women’s Participation and Advancement in the Workplace and its
Declaration are available on the Ministry of Health, Labour and Welfare’s portal site for information about positive action topromote women’s participation and advancement in the workplace.

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Lion’s entry in the Ministry of Health, Labour and Welfare’s database of companies submitting action plans and data b
ased on the Act on Promotion of Women’s Participation and Advancement in the Workplace [Japanese]*1 A global campaign founded in the United Kingdom in 2010 with the goal of increasing the percentage of women in key decision-making
bodies, including boards of directors, to 30%.
*2 Personnel holding managerial positions at the level of manager or higher

Act on Promotion of Women’s Participation and Advancement in the Workplace General
Employer Action Plan
Lion Corporation
Lion Corporate has established the following action plan in order to create environments in which employeeswith diverse work styles and values can participate and advance, regardless of such factors as nationality,
gender or age, and to further increase opportunities for value creation.
1. Plan duration: May 1, 2021 to December 31, 2030
2. Challenges we face:
Closing the gap in the proportion of men and women in management positions
Creating a corporate culture that respects and leverages diversity
3. Action plan
Target 1: A rate of women in management* of at least 35% by the end of 2030
From 2021:
Revise evaluation systems to promote the professional participation and advancement of both men andwomen
Build a career support system that eliminates bias and enables empowerment(enhance the mentoring system, create development plans that account for life events, etc.)
Reinforce internal and external communication about management’s commitment to promoting women’s
professional participation and advancement* At the level of manager or higher, in general

Target 2: For 100% of eligible men to take childcare leave by the end of 2030
From 2021:
Promote a shift in thinking toward leveraging diversity
Implement training on unconscious bias
Reinforce promotional activities to encourage the use of childcare leave
Provide opportunities for reflecting on employee diversity

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Promotion of International Employees

As of the end of 2021, Japanese employees account for 57% of the 7,584 employees in the consolidated Group. At overseas
Group companies, employees native to those various countries and regions work closely with Asian consumers, proposing
better practices and other activities. In Japan, foreign nationals comprise 1.1% of the total number of employees and 0.3%of the total number of managers. We aim to raise the ratio of foreign nationals in management positions to equal that in the
total workforce by 2030. These efforts to promote the appointment of international employees are aimed at accelerating thecreation of new value and achievement of business growth through the realization of a varied and diverse workforce.

Promotion of Mid-Career Hires

In order to further develop our current businesses and actively develop new businesses, we are actively hiring andpromoting mid-career hires who have experience, skills and expertise not previously available in theCompany.
As a result of activities based on the recruitment plan for new graduates and mid-career hires in the medium-term humanresources plan, the rate of mid-career employees hired during the three-year period from July 2018 to June 2021 was 32.9%.
Furthermore, we are actively re-recruiting people who once left the Company for such reasons as career advancement orfamily circumstances.
As of March 31, 2022, the rate of mid-career hires to the total number of employees was 25.5%. The rate of mid-career hires
in management positions was 10.0% (as of July 2021), and we aim to have the same level of mid-career hires inmanagement positions by 2030 as traditional employees.
* Employees of the Company (excluding temporary employees, etc.)

Promoting the Hiring and Activities of People with Disabilities

Lion actively recruits people with disabilities year-round. We are committed to creating a work environment that allows
people with disabilities to make the most of their individual skills while providing thoughtful employment that matches
their abilities.
In March 2016, we established the special subsidiary Lion Tomoni Co., Ltd. as a workplace where people with disabilities
who are willing to work can make the most of their individuality and work with stability.. The business actives of Lion
Tomoni help streamline and rationalize Group operations.
Lion Tomoni Co., Ltd.’s 30 employees with disabilities and ten instructors (as of December 31, 2021) engage in a wide varietyof operations, such as cleaning the employee cafeteria and washing laboratory ware, preparing business cards andemployee badges, and operating a stationery reuse service. Under the four promises of “safety first,” “act wholeheartedly,”“energetic greetings” and “demonstrating teamwork,” Lion Tomoni will continue to promote the hiring and professional
participation of people with disabilities.

Cafeteria cleaning and washing laboratory ware

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Diverse Work Styles
Support Systems for Accompanying Spouses on Work Transfer

Since 2011, Lion has offered support time systems for married couples who both work for Lion as a way of supporting thediversifying work styles of its employees. From 2022, the program has been expanded to include employees whose spouses
work for other companies. When an employee’s spouse is transferred to another location, the employee can choose fromthree options: change their work location, take a leave of absence for up to three years to accompany their spouse, or resignfrom the Company with the option of being rehired within five years.

Retired Employee Re-Hiring System

Lion introduced a system for re-hiring retired employees in 2006. Under the revised system, the Company seeks to increase
the motivation of re-hired employees by providing an environment that allows them to work on terms similar to those
applying to ordinary employees. This includes re-hiring all applicants, permitting changes of duties during their contract
period and awarding performance-based bonuses. Furthermore, incorporating employee suggestions, the Company
conducts explanatory orientations about the system for employees three years before they reach the standard retirement
age as well as meetings with their superiors upon re-hiring to help them understand their new roles. In 2021, the re-hiring
rate for retirees was 82.0%.

System for Re-Hiring Former Employees

Lion has established a system to re-hire former employees who have voluntarily resigned so that they might leverage theirdiverse life and career experience and knowledge in working at Lion again.

Regionally Based Employee Program

Lion has offered a regionally based employee program since 2013. This program is aimed at securing outstanding humanresources who are contributing greatly from among Lion’s pool of temporary employees and enabling regular employees topractice diverse work styles. Under the system, the whole of Japan is divided into seven blocks, and participating
employees are guaranteed not be transferred out of the block of their choosing. These employees’ compensation andbenefits are on par with those of regular employees.
ESG Data_ Regionally Based Employee Program

Employee Data
ESG Data and Third-Party Verification

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Together with Employees

Improving Employee Health

Sustainability Material Issues ６ Improving Employee Health
Guidelines (Guidelines for Health)Approach
Health and Productivity Management Strategy Map
Implementation Framework
Overview
Lion-Style Health Support—“GENKI” Action
MentalPhysicalAwareness
Infection Countermeasures
Lion Employee Preventive Dentistry Data

Approach

When employees act on their own initiative with a high level of health awareness to acquire sound health habits, it not only
serves to maintain and improve their health, but helps them achieve personal growth and professional and personalfulfillment. This, in turn, serves to enhance corporate productivity and creativity and expand opportunities for Lion tocontribute to society through sustainable growth.

Guidelines

Lion believes that the health of employees is the management foundation underlying sound corporate growth. In line withthis belief and in pursuit of its management vision, “Becoming an advanced daily healthcare company,” the Company works
in close coordination with employees and the Lion Health Insurance Society to support the formation of healthy habits insuch areas as improving lifestyles, oral heath, mental health, cancer prevention and anti-smoking, based on the Guidelines f
or Health, with the goal of realizing healthy minds and bodies for all.

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Health and Productivity Management Strategy Map:
Mapping out the ways that the effects of health investments connect with the
management issues we seek to solve through Health and Productivity
Management* Generally, health investments correspond one-to-one to the indicators related to health investment measures and initiatives.
However, some health investments correspond to multiple indicators related to health investment measures and initiatives.
These health investments are deemed “health investments associated with various effects.”

Implementation Framework

Lion aims to promote health and vitality throughout the Company. To this end, the officer responsible for Company-wide
health and productivity management (the director of the Human Resources Development Center) oversees general healthmanagement, while the Health Support Office, the Lion Health Insurance Society, the individuals responsible for health andproductivity management at each office and industrial health staff (industrial physicians, health nurses, etc.) coordinate topromote organizational health management.

Health Support Offices

Health support offices have been set up at each of Lion’s 11 domestic operating sites. At these offices, industrial health staff
carry out health and productivity management operations. Each health support office coordinates with the Health Support
Office at Lion’s headquarters to manage such operations and implement measures aimed at improving health.
The Headquarters Health Support Office formulates Company-wide health management policy, basic plans and annual
plans, and coordinates the implementation of plans and gathering of related data.

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Health Maintenance Promotion Committee

The officer responsible for Company-wide health and productivity management (the director of the Human Resources
Development Center), along with representatives from the Health Support Office and the Lion Health Insurance Society holdregular joint meetings as the Health Maintenance Promotion Committee to discuss Company-wide health management
issues and measures.

Recognized as a White 500 Company under the Certified Health & Productivity Management Outstanding
Organization Recognition Program

For the six consecutive years since 2017, Lion has been recognized as a White 500
company under the Certified Health & Productivity Management Outstanding
Organization Recognition Program. This program recognizes enterprises engaging inoutstanding efforts to promote health and productivity management based on
initiatives to overcome health-related challenges in communities or the promotion ofhealth-conscious activities led by the Nippon Kenko Kaigi.
To achieve its management vision, “Becoming an advanced daily healthcare company,” the Lion Group will further reinforce
management driven by its purpose, “Make a difference in everyday lives by redesigning habits: ReDesign,” aiming tocontribute to the realization of a sustainable society and achieve business growth.
To that end, we believe that it is important for employees to form better habits. We are implementing a wide range ofmeasures in this area, including initiatives in oral healthcare (a strength of Lion), enhancing our various systems aimed atmental and physical well-being, and creating environments that ensure that employees can work with safety andconfidence in the new normal created by the COVID-19 pandemic.
Going forward, Lion will continue to evaluate and analyze such initiatives to further reinforce its health and productivity
management.

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Overview
Health Management Program—Mental, Physical and AwarenessFor ease of understanding how each initiative fits into the program as a whole, we have broken down our healthmanagement program into three categories: mental, physical and awareness (awareness of self-directed healthmanagement). In each category, we are advancing health management measures for employees tailored by age group.
Health Management Program Overview

Lion-Style Health Support—“GENKI” Action

We are implementing Lion-style health support, “GENKI” Action, to promote theformation of healthy habits. The concept behind “GENKI” Action initiatives is to“ReDesign” employees’ health-related habits to be more natural, easy and enjoyable.
Through these initiatives, we are working to raise employees’ health awareness andprovide support for self-directed preventive activities.
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Key Measures

1. Development of new health management system, GENKI Navi

We developed GENKI Navi, a new health management system, based on the concepts of making data (such as that about
health status, countermeasures and future risk) easy to see and understand, enabling self-management (self-checks) andmaking health improvement efforts more fun. The system can be accessed using a computer or smartphone. Through thesystem, we aim to increase employees’ health awareness and foster healthy habits. In addition, from April 18, 2022, weadded a function that uses employees’ health checkup data to clearly present future health risks. The purpose of thisfunction is to utilize risk prevention results in health guidance to motivate employees to reflect on their living habits andchange their behavior.
The system includes a wide range of functions, including the following.
1) Making employee health checkup data accessible (showing dental checkup results, changes over time, advice, etc.)
2) Self-check of data from daily life (input and see weight, step count, food, temperature, blood pressure, etc.)
3) Content to encourage employees to improve their lifestyle habits (setting goals, social media functions, etc.)
4) Answering medical questionnaires (for health checkups)5) Stress level checks (self-checks)

2. Fostering preventive dentistry*habits

As an advanced daily healthcare company, Lion is focusing on initiatives to foster preventive dentistry habits among
employees. In terms of self-care, we are providing health guidance during dental checkups, providing individual guidance toemployees identified as high risk based on dental health questionnaires and checkup results, implementing a campaign toencourage the use of dental floss and interdental cleaning tools and providing educational videos. In terms of professionalcare, we are carrying out a campaign of subsidies for receiving professional care and recommending dentists to employees.

* An approach focused on prevention, rather than receiving treatment after cavities or other problems arise. This approach entails both
receiving professional care at a dental clinic and practicing daily self-care on an ongoing basis.
3. Subsidy program for countermeasures to three common types of cancer*

The number of persons afflicted with and dying from cancer in Japan is steadily rising. However, advances in diagnostics
and treatment are increasingly enabling the early detection and treatment of some cancers. In light of this, separate from
employees’ regular health checkups, Lion has introduced a subsidy program for countermeasures to three common types ofcancer aimed at early detection and treatment. In particular, as cancers of the lungs, stomach and colon account for a large
portion of cancer-related deaths, Lion subsidizes the expenses of detailed screenings for these types of cancers to makethem more accessible to employees. The Company also responds to employee inquiries about consultations at medical
institutions that provide such screenings.
For its proactive initiatives, Lion was given the 2021 Award for Companies Promoting Cancer Control under the Action Plan
for Promotion of Cancer Control, which is a project commissioned by the Ministry of Health, Labour and Welfare.

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The 2021 Award for Companies Promoting Cancer Control

Reinforced Age-Specific Cancer Screening from 2020 Onward* Lung, stomach and colon cancers

4. Reinforcing anti-smoking initiatives

We provide support and have created facilitative environments for employees who want to quit smoking in order to prevent
exposure to secondhand smoke in the workplace. To improve work environments, in January 2020 we banned smoking
during work hours, and in April 2020 we implemented official rules banning smoking indoors. Furthermore, for employees
deemed at high risk of chronic obstructive pulmonary disease (COPD)* based on health questionnaire results, we provided
meetings with industrial doctors, offered guidance related to quitting smoking and encouraged such employees to see a
doctor.
Employee Smoking Rate (Non-Consolidated)* A disease in which the functioning of the lungs gradually deteriorates due to tobacco use and other factors.

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MentalLion established the Mental Health Basic Policy in 2004, and continually and systematically promotes mental care for
employees based on the Guidelines for Maintaining and Improving Mental Health of Workers.

Mental Health Initiatives (Four Types of Care)(1) Self-CareStress Level Checks
Since 2006, before the amendment of the Industrial Safety and Health Act, Lion has been providing stress level checks for
employees to assist them in their own self-care. In 2019, 98.0% of all employees underwent stress level checks.
Since 2020, the COVID-19 pandemic has driven rapid changes in lifestyles and ways of working. To address the psychologicalimpact of these environmental changes, Lion conducted stress level checks twice in 2020 (these checks were previously
conducted once per year). Every year, a high percentage of employees undergoes these stress level checks, and 2021 was nodifferent at 99.5%. Employees found to have high stress levels were required to meet with industrial health staff.

2017
2018
2019
April 2020
November 2020
2021
2022

Stress Level Check Testing
Tested employees

2,851
3,077
3,097
3,112
3,157
3,192
3,257

Test rate

96.9%
98.9%
98.3%
98.2%
98.1%
99.5%
98.8%

Workplace Improvement Activities Leveraging Stress Level Check Data
After the results of stress level checks are compiled, each year, the officers in charge of health management at operatingsites and Lion’s headquarters provide feedback to individual workplaces. Based on analyses of workplaces’ strengths andweaknesses, this feedback is used to help create more sound work environments. The Health Support Office provides
feedback to high-risk workplaces, creating opportunities for dialogue about workplace issues and improvement measures.
Mental Health Care Education as Part of Level-Specific Training
As part of annual level-specific training, industrial health staff give lectures about the importance of mental self-care andrelated techniques.

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(2) Care via Line of Command

Lion aims to create workplaces that foster health and vitality by enhancing workplace communication and conditions.
Education about Care via Line of Command
Care via line of command refers to efforts on the part of supervisors, including employees’ direct supervisors (directly above
them in the workplace line of command), to help reduce their subordinates’ stress and consider their mental health.
Specifically, this entails quickly noticing when employees seem different from usual, reaching out and listening, and taking
any necessary steps to address the situation, such as referring them to industrial health staff.
Support for Reinstatement of Employees on Leave Due to Mental Health Issues
When an employee returns to work after leave due to mental health difficulties, we hold a support meeting, at which theindividual’s boss, the workplace health management officer and industrial health staff coordinate to provide support. We
proactively utilize Rework* to help employees reacclimate to the workplace after their return.
* Rework: Short for “Return to Work,” this program is aimed at supporting the smooth return to work of individuals after leave due to mental
illness or disorder.

(3) Care by Internal Industrial Health Staff

At the Health Support Office, Lion’s supervising industrial physician, a psychiatrist and an industrial health nurse areavailable for consultation at any time. When responding to a request for consultation, we ensure that adequate
consideration is given to ensuring privacy so that employees can feel at ease asking for advice about issues or concerns they
may have. In line with the diversification of work styles, consultation is available not only in person, but via email, phone oronline video conference, as needed. Furthermore, we have set up a mental health help desk in an effort to direct employees
to the consultation resources they need, when they need them, in a clear manner. A career counselor offers counseling
related to individuals’ careers. The Health Support Office provides support finely calibrated to employees’ individual healthcircumstances, including providing feedback after health checkups and health consultations after stress level checks.

(4) Care by External Specialists

We maintain agreements with external institutions so that employees can easily consult with them over the phone orreceive counseling. In addition, depending on the specific circumstances, the Health Support Office may refer employees for
specialist treatment and works in coordination with such providers.

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Physical

Every year, we provide both health and dental checkups for all employees. The items covered by these checkups exceed thelegal requirements for such checkups. When an employee’s checkup results indicate that they require further examination,
we strongly encourage them to get such examination and provide individual guidance. The percentage of employees
undergoing health checkups in 2021 was 56% (the checkups were suspended while state of emergency declarations were ineffect).
Health and Dental Checkup Items for Specific Needs
In-depth checkups: For employees age 40 or above. 21 legally required items + 11 additional items.
Gynecological examinations: Age-specific examination items.
Hepatitis B and C tests: For employees age 40 and above.
Prostate cancer (PSA) examinations: For men age 50 and above.
Stomach cancer (ABC) examinations: For employees age 40 and above.
Dental checkups: For all employees. Dental hygienists provide health guidance. Includes health guidance from a dental
hygienist.

Specific Health Checkups*1 and Specific Health Guidance*2 Related to Metabolic Syndrome

Lion’s Health Support Office coordinates with the Lion Health Insurance Society to implement specific health checkups andspecific health guidance related to metabolic syndrome. We strive to ensure that these serve as effective and clear
inducements to employees to improve lifestyle habits that cause lifestyle-related illnesses.
Portion of Lion Employees Subject to Specific Health Checkups and Specific Health Guidance*3 Classified as Having
Metabolic Syndrome or Pre-Metabolic Syndrome
Metabolic syndrome
Pre-metabolic syndrome
2015
13.4%
12.2%
2016
12.6%
13.1%
2017
15.0%
14.0%
2018
13.5%
14.2%
2019
13.4%
14.9%
2020
13.6%
14.7%
2021
14.3%
14.4%

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Reference: A 2018 survey about specific health checkups and specific health guidance implementation by the National
Federation of Health Insurance Societies of 1,034 health insurance societies found that 15.0% of all said societies’ members
were classified as having metabolic syndrome and 14.0% as having pre-metabolic syndrome.
*1 Health checkups to identify individuals who need specific health guidance, aimed at reducing the number of individuals who have visceralobesity (metabolic syndrome) or pre-metabolic syndrome in order to prevent lifestyle-related diseases, which are involved inapproximately 60% of deaths in Japan. Specific health checkups are conducted for all insured persons and their dependents between theages of 40 and 74.
*2 Health guidance, including providing information, helping generate motivation and offering proactive support from specialized staff(health nurses, registered dieticians, etc.) for individuals who, based on the results of specific health checkups, are at high risk ofdeveloping lifestyle-related illnesses and for whom the onset of metabolic syndrome is expected to be preventable through lifestyle
improvement.
*3 Employees ages 40 and over (who are enrolled in the Company’s health insurance).

Furthermore, in collaboration with the Lion Foundation for Dental Health (LDH), Lion has elucidated the link between gum
disease and metabolic syndrome. We will continue to reinforce initiatives aimed at the prevention of gum disease andmetabolic syndrome among employees going forward.

Proactive Encouragement and Guidance

Under the joint leadership of the Lion Health Insurance Society and the director of the Human Resources Development
Center, individuals identified as requiring specific health guidance are encouraged to receive health guidance. We strive tooffer a health guidance program that facilitates understanding of the goals of specific health guidance and what itcomprises while making makes it easy for individuals to take action and enjoyable for them to continue their efforts.
In 2020, as an internal collaborative initiative, we provided Lactoferrin products and an email newsletter to employees who
signed up, supporting their lifestyle improvement efforts. Furthermore, a dedicated registered dietician provided nutritional
guidance internally. Through these and other efforts, Lion proactively provided support, working with professionals with
abundant knowledge and experience from in and outside the Company.

Preventive Dentistry Program

Since the 1970s, Lion has implemented in-house dental checkups, brushing guidance, scaling and cleaning, education via
lectures and other preventive dentistry measures.
In 2002, in cooperation with the Lion Health Insurance Society and LDH, Lion launched All Lion Oral Health Activity (ALOHA),
aimed at increasing employees’ health management abilities. ALOHA is based on practicing oral health management
primarily though the provision of regular oral checkups to all employees and primary prevention as well as support toenhance employees’ self-directed health management abilities. In accordance with three-year plans, we have been
implementing a PDCA cycle for the dental health program and are currently implementing the ALOHA VII plan. The content
of dental checkups varies depending on whether the individual is receiving professional dental care, placing greater
emphasis on health guidance for those who are not in order to foster awareness of the importance of professional care.

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Furthermore, we seek to increase the ratio of employees who use interdental cleaning goods and are able to effectively
implement preventive dentistry through both self-care and professional care. Our main activities are shown below.

* The Salivary Multi Test, which can rapidly measure patients’ risk of cavities and gum disease and oral cleanliness using a saliva sample

Practicing Preventive Dentistry (Encouraging Professional Care)

Lion is proactively promoting preventive dentistry both within the Company and externally. In line with the belief that it isimportant that employees practice preventive dentistry, we offer limited-time financial incentives for receiving professionalcare to spur employees to find a primary care dental clinic where they can receive regular professional oral care.
In 2020, due to the COVID-19 pandemic, the campaign to encourage the use of professional care was suspended. Instead, we
carried out a campaign to encourage the use of dental floss and interdental cleaning tools. We resumed the campaign toencourage the use of professional care in April 2021. We are working to communicate the importance of receiving
professional care and exploring creative ways of motivating employees to receive such care.

Employee Food Service Committee

We regularly hold meetings of the employee food service committee to enhance the offerings at our employee cafeterias. In
consideration of employee health, we strive to offer healthy, delicious meals. Furthermore, we display information on thecalorie, sodium and sugar content of all menu items and seek ways to make meals healthier, such as offering reducedsodium soy sauce.

Supporting Cultural and Athletic Activities

Lion supports employees’ cultural and athletic activities with the aim of helping employees cultivate healthy minds andbodies and deepen friendly bonds.
Cultural clubs include Japanese tea ceremony and flower arrangement, while athletic clubs include yoga, Pilates,
basketball, tennis, soccer and baseball. A total of approximately 700 employees take part in 52 such clubs nationwide. Club
activities take place after work hours or on weekends and help employees foster healthy minds and bodies.

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Providing Sports-Related Opportunities to Employees

To boost employee health, we are implementing a variety of initiatives aimed at
supporting and encouraging sports-related activities. For these initiatives, Lion wascertified as a Sports Yell Company by the Japan Sports Agency (in Japan, “yell” refers
to cheering and shouts of encouragement).
Encouraging employees walk or bike to work
Holding walking events
Holding health discussions at Safety, Hygiene and Disaster Prevention Committee
meetings
Recommending cultural and athletic activities

Creating Pleasant Work Environments

To ensure that employees can work in comfort, every two months, Lion measures indoor humidity, temperature, andconcentrations of carbon monoxide and carbon dioxide, as well as dust at its workplaces.
We also regularly take measurements related to noise and lighting to confirm that there are no problems in our work
environments.

Data Health Plan Initiatives

The government’s Japan Revitalization Strategy includes the key issue of “Extending the nation’s healthy life expectancy.” To
address this issue, as part of “developing a new system concerning the promotion of preventive care and healthmanagement,” the strategy calls for all health insurance societies to analyze such data as health insurance claims todevelop, announce, implement and evaluate effective and efficient “data health plans” in order to help maintain andimprove the health of their members.
Lion has for some time been promoting initiatives in the area of data-based healthcare in cooperation with the Lion Health
Insurance Society.
Specific health guidance is the foundation of our initiatives in this area; we provide finely tailored health guidance andencourage employees to seek care after health checkups and provide health guidance using AI-generated health risk
predictions
We have implemented a wide variety of collaborative measures, such as a walking campaign

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AwarenessWe are reinforcing age-specific measures designed to reflect the timing of changes in the body and working to strengthenawareness of self-directed health management.

Health Promotion Seminars for 35-Year-Old Employees

To increase employees’ self-directed health management abilities, every year, we hold the Lion Life Innovation Seminar 21(LIS21) health promotion seminar for our 35-year-old employees. This seminar teaches employees about how making theeffort to improve their health while they are young can prevent disease in the future, helping to reinforce health awareness.
Since 2017, we have been implementing LIS21 in whole-day format (three times per year in Tokyo and once in Osaka),aiming to increase employees’ health management abilities (by establishing self-healthcare habits) and promote healthmaintenance and improvement (lifestyle-related disease prevention) through experiences and learning about healthy
habits, with a primary focus on food and exercise.
In 2020, we implemented health promotion through a health advice app that 51 employees downloaded. Users input data
about their living habits, such as food intake and exercise, and took action based on the advice the app provided, then had afollow-up interview with an industrial health nurse. This was aimed at firmly establishing healthy habits.
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LIS21Participation
Participants

2015
2016*
2017
2018
2019
2020

Participation rate

48
159
75
51
51

94%
-%
83%
79%
68.9%
68.9%

* Due to a typhoon, one of the two scheduled sessions was cancelled, and its participants were eligible to participate the following year.

Health Promotion Seminars for 50-Year-Old Employees

Since 2013, we have held the annual LIS21 Senior health promotion seminar for 50-year-old employees. To control healthrisks that rise significantly with age, bolstering self-directed health management skills is crucial. We also aim for the seminar
to serve as an opportunity for employees at the landmark age of 50 (given increasingly long lifespans) to reflect on theircircumstances and lives from multiple perspectives, including their health, work, and home life going forward, so that theycan engage with their work with a renewed sense of vigor.
Although we had planned an in-person group seminar for 2020, it was postponed due to the COVID-19 pandemic. In 2022,
we are planning online training that combines seminars and videos.

2015
2016
2017
2018
2019
2022

140
152
100
95
120
277

LIS21 Senior Participation
Participants

294

87%
76%
68%
68%
85.7%
98.9%

Participation rate

Lion Sustainability Website 2022

Infection Countermeasures
COVID-19 Infection Prevention

In the early stages of the pandemic, we quickly set up a taskforce to prevent the spread of COVID-19. We concretely definedsuch terms as “suspected close contact” and “suspected infection.” Applying these definitions, when an employee wassuspected of having an infection, we distributed PCR test kits to operating sites (or provided vouchers for testing off-site) to
determine whether the employee was infected as soon as possible, minimizing the period of worry and the spread of
infection. In June 2021, the taskforce swiftly made the decision to conduct workplace vaccinations. To date, we haveconducted three rounds of workplace vaccination at two vaccination sites in eastern and western Japan.

Influenza Infection Prevention

In preparation for the winter influenza season, Lion decided to bear the full cost of influenza vaccinations for employees andconducted vaccinations at its operating sites.

Lion Employee Preventive Dentistry Data
Self-Care
Employees Who Brush Their Teeth After Lunch

Employees Who See Toothbrushing* as Highly Important* Employees who brush at least twice a day for at least three minutes

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Employees Who Use Dental Floss* Fiscal 2014 comprehensive oral care survey (women ages 20–59)

Employees Who Use Interdental Brushes* Fiscal 2014 comprehensive oral care survey (women ages 20–59)

Professional Care
Employees Who Received Professional Care at a Dental Clinic During the Year** Employees who went for regular cleanings at dental clinics during the year (excludes employees undergoing treatment)

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Employee Oral Health Data
Proportion of Employees Suffering from Gum Disease

Average Number of Cavities Per Person* 2016 Odontopathy Survey (Ministry of Health, Labour and Welfare) Ages 20–59

Average Number of Teeth Removed Per Person* 2016 Odontopathy Survey (Ministry of Health, Labour and Welfare) Ages 20–59

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Together with Employees

Enhancing the Occupational Safety Management System
Sustainability Material Issues ７ Enhancing the Occupational Safety
Management System
Establishment of the Safety, Health and Disaster Prevention Policy
Approach
Implementation Framework
Emergency Response
Initiatives (Occupational Safety/Facility Safety)

Approach

We are taking steps to enhance our occupational safety and health management system throughout the Lion Group.
Driven by the fundamental principle that safety is its absolute top priority, Lion has added disaster prevention items to the
Occupational Safety and Health Management System (OSHMS)* based on the guidelines of Japan’s Ministry of Health,Labour and Welfare to establish a unique Safety, Hygiene and Disaster Prevention Management System. Since 2009, we haveoperated this system at all domestic Group companies, and since 2012 we have included internal audits in our efforts toimprove the system’s effectiveness. Based on this safety management system, we work to reduce potential hazards andrisks, continuously maintain work environments, create safer workplace environments and build related systems.
* A system for the voluntary execution of continuous safety and health management through PDCA.

Establishment of the Safety, Health and Disaster Prevention Policy（Occupational
Health and Safety Policy）
Lion has established the AL Safety, Health, and Disaster Prevention Policy to define our commitment to ensuring the safety
and health of all employees and establishing a comfortable and pleasant work environment. This policy applies to all
employees of domestic Group companies and is reviewed and updated every January.

Implementation Framework

Twice a year, we hold the Safety, Health and Disaster Prevention Meeting. Chaired by a member of top management(Director Fumitomo Noritake), the meetings discuss Company-wide measures to ensure facility safety and occupationalsafety (including work environment improvement, health problem prevention and mental health maintenance) andcoordinate ongoing initiatives aimed at thoroughly eradicating risk. In addition, we systematically implement top safety aud
its of plants (operating sites). The chair of the Safety, Health and Disaster Prevention Meeting is the officer responsible forthese audits, which serve to evaluate mainly the appropriateness and effectiveness of safety and disaster prevention
activities from an objective perspective.

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Each plant (operating site) has established a Safety, Health and Disaster Prevention Committee based on the Industrial
Safety and Health Act. Operating sites make effective use of these committees, letting them take the lead in working to solve
problems, including issues unique to their respective sites, while incorporating the opinions of all employees working there.
Our domestic companies actively support overseas Group companies in preventing occupational accidents. In 2018, weestablished a Safety and Disaster Prevention Promotion Department directly below the management level, further
strengthening the Lion Group’s occupational health, safety and disaster prevention management system.

Top Safety Audits

Lion implements top safety audits of production division plants (including those of affiliates), with the chair of the Safety,
Health and Disaster Prevention Meeting serving as the responsible officer. These audits mainly examine whether
appropriate mechanisms for safety and disaster prevention are in place, whether Lion’s Safety, Health and Disaster
Management System is being operated properly, and whether the level of safety and disaster management is improving. By
providing guidance and suggestions related to eliminating accidents and disasters through top safety audits, Lion works tofurther increase the safety of each plant and create environments in which employees can work with peace of mind andsafety.

Top safety audits at the Osaka Plant
led by Director Fumitomo Noritake (fiscal 2021)

Emergency Response

Lion prepares for a range of natural disasters, such as an earthquake directly striking the Tokyo metropolitan area, andworks to reinforce its disaster prevention systems.
We are currently working to establish a remote disaster response headquarters in light of the rising use of remote work as
well as the possibility of disasters occurring overnight or on holidays and the challenges of maintaining a facility with all
relevant members physically in attendance.
The 2021 disaster prevention drills were based on a Tokyo metropolitan area earthquake scenario. We conducted drills
covering information sharing and instruction provision in coordination with remote disaster response headquarters, as wellas drills covering the confirmation of the safety and damage status of affected areas. In addition, we continued to
implement ongoing initiatives aimed at reinforcing disaster prevention systems, such as safety confirmation drills, drills on
going home from the workplace by foot and standard first-aid training sessions for all employees.
Going forward, we will continue to carry out drills encompassing entire regions to reinforce disaster readiness.

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Initiatives
Occupational Safety

In 2021, the number of labor-related accidents for the domestic Group was 18, excluding cases that occurred duringcommutes to work (of these, three accidents led to lost work time). Analysis of the causes of these accidents categorized
them as follows: seven cuts or punctures, five falls, one collision, one instance of being caught or entangled in equipment,
one burn or abrasion, one chemical burn and two categorized as “other.” The main cause of these accidents appeared to bea lack of caution (such as taking shortcuts or deviating from rules) attributable to employees’ overfamiliarity with
operations. When occupational accidents occur, the Safety and Disaster Prevention Department at our Headquarters
conducts on-site investigations, thoroughly identifies the causes and takes thoroughgoing corrective response measures.
In order to prevent occupational accidents, it is crucial to enhance our safety management system and heighten ourawareness of occupational safety. Lion implements risk simulation training (safety training) for junior and mid-level
employees. Using external training centers and risk simulation devices built by individual operating sites, we use thistraining under the guidance of seasoned professionals to strengthen sensitivity to risk.
Employees who Participated in Risk Simulation Training (Safety Training) in 2021 (Internal education)
Chiba Plant
Odawara Plant
Osaka Plant
Akashi Plant
Total
106
57
48
25

236

Workplace Safety Training for Key Persons

To prevent occupational accidents, thorough safety management as well as workplaces’ self-directed safety activities
organized by workplace leaders are essential. Lion holds Safety Dojo events taught by leading instructors from the Japan
Industrial Safety and Health Association’s Zero-accident Promotion Department and, from fiscal 2019, has employed asystem for selecting workplace key persons from each plant to participate in a year-long safety training development
program. Due to COVID-19, training was held remotely, and 15 workplace key persons completed the safety training programin fiscal 2021.
Going forward, managers, including plant and operating site general managers, will engage in leadership development, andemployees will take part in experience-based learning about taking the initiative to promote safety. Each workplace will
work as one to leverage the lessons of the Safety Dojo to promote safety activities.
First remote group training session
Second remote training
Third and final remote(May 18 and 19, 2021)
session (September 21,
training session (April 8,
2021)
2022)

Practical training: pointing andcalling, speaking in unison,practical group work training on
the basic 4-round KYT method

Trainees’ report on workplacesafety activities

300

Final report meeting on safety andhealth prevention activities at each
plant
Certificate of completion of
workplace safety training for key
persons
Lion Sustainability Website 2022

Occupational Accidents Incidents
Occupational
Accidents*

Production Division
Occupational
Accident Frequency** Excludes accidents that
occurred during commutes towork* Rate of accidents leading todeath, lost work time of one day
or more, or loss of bodilyfunction without loss of worktime

Production Division
Occupational Accident
Severity Rate** Severity rate: Lost work days /Total work hours (thousands ofhours)

Cumulative Accident-Free Work Hours at the 2021 Year-End (Thousands of Hours)
Research and development
Production divisions
divisions
Hirai
Odawara
Chiba
OdawaraOsaka
Akashi
5,122
4,320
352
1,403
162

Employee (Lion
Corporation)
Employee(Domestic Group
Companies)

Number of fatalities due to occupational accidents*
2017
2018
2019
2020

2,357

2021

0

0

0

0

0

0

0

0

0

0

* Including dispatched employees and part-time employees

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Global Initiatives

Although COVID-19 prevented such in-person site visits in 2021, we were able to confirm the status of safety, health anddisaster prevention activities in each country through remote meetings and internal emailing. Moving forward, by
continuing to provide guidance and advice relevant to the circumstances in each country, we work to reinforce safety, healthand disaster prevention systems throughout the Group.
The Group is taking measures to prevent the spread of COVID-19 in line with each country’s guidelines, streamlining
production by creating standard operating procedures that include allowing administrative staff to work from home,
restricting facility visitors, and reinforcing hygiene practices such as hand washing, disinfection and wearing masks.

Disinfection work (Malaysia)

QR code check upon entry(Indonesia)

Facility Safety

Lion had no serious facility-related accidents in 2021. However, using data on accidents that occurred at the plants of othercompanies, we are working to prevent safety management from becoming a thoughtless formality and maintain employee
skills, abilities and awareness. The two main types of accidents that occur with facilities that handle dangerous substances
are fires/explosions and leaks. To prevent these, since 2016, we have implemented ongoing basic education on static
electricity, which can ignite fires, as well as periodic education at plants about corrosion, the main cause of leaks, toenhance awareness and knowledge. In addition, to further enhance corrosion-related efforts and elucidate the causes offacility corrosion issues at plants, we have begun technological exchanges with specialized outside institutions.
Furthermore, we implement level-specific education for facility operators to foster awareness and knowledge regarding
change management* as part of efforts to reinforce management of facility safety.
To address facility aging, we designate standards for routine inspections and maintenance by degree of importance andcarry them out accordingly.
Going forward, we will continue working to reinforce technological capabilities related to facility safety, including
systematic human resource development, from a medium- to long-term perspective.
* Management activities that prevent risks associated with changes in facilities or operating conditions.

2017

0

2018

Facility Abnormalities (incidents)
2019
0
0

2020

0

2021

0

* Fires, explosions, leaks, etc.

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Asbestos Countermeasures

Lion has surveyed the use of asbestos is its buildings and completed the containment or removal of asbestos products thatreadily scatter. When demolishing or removing structures at plants or other buildings, Lion conducts analyses and confirms
the presence of non-scattering asbestos as required by law.

AL Safety Exchange Conference

To strengthen the safety, health and disaster prevention systems at All Lion (AL), we hold a safety exchange conference thatbrings together safety managers from domestic and overseas Group companies. Although the 2021 conference was held
remotely due to COVID-19, a total of 43 participants, 28 from overseas and 15 from Japan, exchanged opinions andinformation on measures to prevent COVID-19 infections, safety and disaster management and the challenges they face. We
are also working to strengthen cooperation among leading staff through discussion and the exchange of information inorder to resolve issues. We will continue to hold regular meetings to improve our safety, health and disaster prevention
activities, while working to create a safe and secure work environment for the entire Group.

Participating Overseas Group Companies

Lion Corporation (Thailand) Ltd.
Southern Lion Sdn. Bhd.
PT. Lion Wings
Lion Corporation (Korea)
Lion Daily Necessities Chemicals (Qingdao) Co., Ltd.

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Together with Employees

Labor-Management Relations
Promoting Amicable Labor-Management Relations
Labor-Management Relations Data

The Lion Workers’ Union

Promoting Amicable Labor-Management Relations
Approach

Lion executes labor agreements with the Lion Workers’ Union to promote sound labor-management relations based on
mutual understanding and trust. As it does so, the Company adheres to the Lion Group Charter for Corporate Behavior,
which is based on an understanding of the social mission and responsibilities of the Company. Thus, in cooperation with its
workers union, the Company works to grow its business and maintain and improve the working conditions of union
members.
The agreements provide that: the Company shall recognize the freedom of union members to engage in lawful union
activities; the Company shall not treat union members disadvantageously by reason thereof; and the Company and theunion shall engage in labor-management meetings on a regular basis to consult with each other as equals.
Operating under a union shop agreement,* Lion endeavors to build amicable labor-management relations, in which
employees and management proactively conduct such activities as reporting on business conditions and exchanging
opinions about the working environment at labor-management meetings. At overseas Group companies, we actively
maintain communication between employees and management in order to create a better work environment through thelabor-management meetings and strive to establish and maintain sound labor-management relationships.
* A labor agreement in which workers are employed by a company on condition of becoming a member of a specific labor union.

Labor-management meeting

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The Lion Workers’ Union
Approach

The mission of the Lion Workers’ Union is to pursue the happiness and well-being of its members. To that end, the union
seeks to maintain and improve the quality of its members’ work environments and standards of living and to contribute to
the independent growth of each individual to ensure a secure future. Through its activities, the union aims to increase theprofessional satisfaction of its members, in turn contributing to the development and growth of the Company. To fulfill its
mission and principles, the Lion Workers’ Union has established a medium- to long-term vision that it has been
implementing since August 2015.

Lion Corporation (Korea) Receives the Prime Minister’s Award for Labor-Management Culture

The Labor-Management Culture award is given by the government of South Korea (the Ministry of Employment and Labor)
to companies that have built and firmly established cooperative labor-management relations. It is one of the highest awards
in the field of labor in South Korea.
Lion Corporation (Korea) (“LCK”) received the Prime Minister’s Award for Labor-Management Culture in 2017 in recognitionof its initiatives aimed at building good labor-management relations.
The main initiatives of LCK recognized by the prize were as follows.
Held labor-management talks four times a year to discuss work environments and implemented approximately 60% of the
improvements suggested at these talks
Treated non-regular employees (such as temporary and contract employees) on par with regular employees in terms of
employee benefits and opportunities to participate in events
With “fulfilling a spirit of love” and “people-centered management” as the foundations of its personnel policy, gave nonregular employees demonstrating excellent work attitudes and abilities priority when filling regular employee positions
Designated a monthly volunteer day, with employees actively participating in social contribution activities
Activities at Lion Corporation (Korea)

Labor-Management Relations Data
Scope

Ratio of companies with an independent trade Lion Group
union or collective bargaining agreements
Lion Corporation
Ratio of employees represented by an(including employees
independent trade unions or covered byon loan)collective bargaining agreements
Lion Group

2020

2021
86.4%

86.4％

66.2%

77.9％

73.4%

75.1％

Going forward, we will continue to advance initiatives aimed at building better labor-management relations.

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Respect for Human Rights

Respect for Human Rights

Sustainability Material Issues ８ Respecting Human Rights

Basic Approach

Respect for human rights is indispensable to the pursuit of happiness and a higher quality of life. Lion recognizes that it has
a responsibility as a company to affirm diversity, including that of race, religion, gender, sexual orientation, age, nationalityand disability, to fully respect all human rights and, furthermore, that doing so strengthens its business foundation. The
Lion Group Charter for Corporate Behavior states that “We shall respect human rights ... observing both the spirit as well as
the letter of all applicable laws and international rules ... both in Japan and abroad,” and the Behavioral Guidelines statethat the Group will not permit child labor or forced or coerced labor, will provide equal employment opportunities and treat
employees fairly, and will take an active interest in the human rights practices of its suppliers and local communities,
including consumers. In addition, in 2009, Lion declared its support for the Ten Principles of the United Nations Global Com
pact.
Lion has designated “Respecting Human Rights” as one of its Sustainability Material Issues and will continue to advancebusiness activities based on the LION Human Rights Policy in its global business development going forward.

Human Rights Policy

In January 2019, based on the framework of the United Nations Guiding Principles on Business and Human Rights
adopted by the United Nations Human Rights Council in 2011, the Lion Group established the LION Human Rights Policy tofurther clarify its stance on human rights abuse as well as its global efforts in this area. This policy was approved by the
Executive Committee and applies to all employees of the Lion Group, including overseas Group companies, as well as otherparties closely related to the Lion Group, such as suppliers.

Implementation Framework

The Lion Group monitors human rights-related trends in society, mainly through the Sustainability Promotion Department.
Any new problems that emerge are dealt with in coordination with the relevant divisions, such as the Legal Department,International Division or Purchasing Headquarters, as needed.
In response to the COVID-19 pandemic, lockdowns have been implemented in many countries and regions. In many cases,
this has led to the worsening of labor environments for workers. Such deprivations of freedom and restrictions on
movement prompted the Lion Group, as a manufacturer and seller of daily commodities, to reflect deeply on human rights.
We have therefore established a cross-divisional internal team to review human rights due diligence processes, including
approaches to evaluating and identifying risks of human rights violations, in collaboration with external expert.

Initiatives
Measures to Prevent Human Rights Abuse(Human Rights Due Diligence)

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Respect for Human Rights

Measures to Prevent Human Rights Abuse

Sustainability Material Issues ８ Respecting Human Rights
Preventing and Mitigating Negative Impacts
Identifying Human Rights Risks
Access to Remediation（Grievance Mechanism）
Promoting Awareness Internally on Human Rights Day
Human Rights Study Meetings
Participation in External Human Rights Initiatives
Initiatives at Overseas Group Companies

To ensure respect for the human rights of people affected by the business activities of the Lion Group, we implement thefollowing human rights due diligence* process. In addition, we promote human rights due diligence based on the United Nat
ions Guiding Principles on Business and Human Rights .

Overview of Human Rights Due Diligence* Corporate measures to avoid causing human rights violations and provide remediation for the victims of such violations

Identifying Human Rights Risks
Human Rights and Business Risks Assumed as Business Characteristics of the GroupThe Group’s main business encompasses the development, manufacture and sale of household products. Among these, wenotably handle many cleaning products, including laundry detergents. The surfactants that comprise the washingingredients of such products are derived from palm oil, palm kernel oil and their derivatives, which are renewable andcarbon-neutral raw materials. However, the global palm oil industry confronts environmental and human rights issues, suchas deforestation through illegal land clearing and child labor. Specifically, we must be vigilant with regard to labor andenvironmental risks to palm plantation workers (such as overwork, child labor and smoke damage from illegal slash-andburn forest clearing), supply risks related to raw materials for Lion products, and the risk of loss of trust from various
stakeholders due to the use of unsustainable raw materials.
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In addition, for household products, we use many packaging materials (paper and pulp), including individual packaging andcardboard boxes for shipping. This presents potential supply risks and reputation risks due to the use of wood chips—theraw material of paper and pulp—for which sufficient forest management cannot be assured.
In the manufacturing process, we are supplied with many types of raw materials from a wide array of material manufactures
and work with a large number of production contractors. Transactions with suppliers whose sustainability activities are
insufficiently advanced present potential raw material and product supply risks and reputation risks.
Furthermore, with regard to planning, manufacturing and selling household products, we have in place various departments
covering the entire value chain, including procurement, research, planning, production, sales and administration. The
Group has over 7,500 consolidated employees, and the content of its business operations is finely segmented. Among
possible human rights risks, human rights violations could occur, including race and gender discrimination and harassment
as well as conflict between employees regarding work content and employee benefits. This could hinder the smooth
execution of business.

Methods and Overviews of Identifying Human Rights Risks Used to Date

The Group conducts annual surveys of domestic and overseas Group companies and suppliers as a way to reduce andmitigate human rights risks.
Domestic Group Companies
Each department identifies and evaluates business risks and considers risk mitigation measures.
Overseas Group Companies
We hire external consultants to disseminate information about new laws and systems related to human rights
and labor that is newly enacted in the countries and areas where we operate as well as examples of humanrights infringements that have occurred in such locations, so that our overseas employees will be better
equipped to take ownership of such issues. We share information and hold hearings about the state ofcompliance with the officers responsible at eight overseas Group companies in order to monitor initiatives andchallenges at these companies.
Suppliers (Raw Material Manufacturers and Production Contractors)
We ask suppliers to conduct self-checks based on the Lion Group Supplier CSR Guidelines . We confirm andevaluate the results of these checks.

Based on the results of said checks, Lion identifies potential human rights violation risks throughout its value chains, fromraw material procurement and internal business activities and use by consumers. In addition, we work to enhance measures
to mitigate human rights violation risks by stakeholder category and utilize the AL Heart Hotline as a mechanism for
remedying violations.
In raw material procurement, we work to protect children’s rights and worker’s rights by forbidding child labor and coerced
labor. In addition, we ensure respect for diversity, including that of race, religion, gender, sexual orientation, age, nationalityand disability, in Lion’s activities.

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Overview of Lion’s Measures to Prevent Human Rights Abuse by Value Chain and Stakeholder

Lion’s Current Approach to Identifying Human Rights Risks

We are increasing the sophistication of our initiatives to address to human rights violation risks.
Working with outside experts, we have identified 25 human rights issues that are relevant to the Lion Group* based on theparticular characteristics of its businesses and with reference to the International Bill of Human Rights and the ILO
Declaration on Fundamental Principles and Rights at Work. Examining human rights risks related to each of these issues, weevaluate the degree of impact on our stakeholders, including Group employees, dispatch employees and third-party
contractors, suppliers, indigenous and other local communities, and consumers.
To identify salient human rights issues, we evaluate the impact of human rights risks from a range perspectives that include
the risk’s scope, scale, possibility of remediation and possibility of recurrence. Measures to avoid, prevent and mitigate
negative impacts are discussed by the Sustainability Promotion Council and then taken up for resolution by the Board of
Directors. We also evaluate human rights impacts at early stages of new businesses and initiatives.

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* Forced and coerced labor; freedom of movement and residence; child labor; right to an education; rights of young workers; freedom to formand join trade unions; equal pay for equal work; discrimination in hiring; discrimination in conditions of employment; discrimination inopportunities and evaluations; protection of motherhood and childhood; harassment; freedom of thought and religion; overwork andexcessive working hours; right to rest and leisure; just compensation and living wages; freedom of choice of employment and protection
against unemployment; right to safe and healthy working conditions; right to a decent standard of living and health; right to social security;
right to privacy; impacts on the lives of local residents; access to water; environmental management; consumer safety and healthPreventing and Mitigating Negative Impacts

Lion considers human rights risks related to the supply chain and Group employees in Japan and overseas to be major
human rights issues that should be addressed in its businesses. As such, we are working to prevent and mitigate negative
impacts by regularly reviewing the identification and assessment of human rights risks in these areas.

Measures to Prevent and Mitigate Risks in the Supply Chain

One assumed salient human rights issue for the Group is the possibility of forced or coerced labor of employees at suppliers,
including palm oil suppliers. To avoid, prevent and mitigate human rights issues in this and other such areas, Lion has
established the Supplier CSR Guidelines, promotes awareness of these guidelines among new raw material producers andproduction contractors, requires suppliers to perform self-checks and participates in Sedex.

(1) Raw Materials

Prevention and Mitigation Measures

Targets and Progress in 2021
Target: 100% procurement of RSPO-certified materials
Progress: 93% of key raw materials are RSPO-certified(scope: consumer products sold in Japan)
Target: 100% procurement of FSC-certified materials
Progress: 65% of materials are FSC-certified (percentage
of product types sold in Japan); we are promoting theuse of paper certified by the FSC or the Programme for
the Endorsement of Forest Certification (PEFC) andrecycled paper as copy paper and in office supplies
Target: Procurement from suppliers that support efforts
aimed at zero deforestation: All suppliers
Progress: 50% of suppliers of palm oil and relatedmaterials and 58% of suppliers of paper and pulp (scope:
raw material suppliers for the Lion Group in Japan)

Procure third party-certified raw materials → Procure
products certified by the Roundtable on Sustainable Palm
Oil (RSPO) and Forest Stewardship Council (FSC)
Promote trade with suppliers with the ability to resolve
social and environmental problems that may occur in the
supply chain → Suppliers that support efforts aimed atzero deforestation

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(2) Suppliers
Prevention and Mitigation Measures
Regular risk evaluations of the sustainability activities ofsuppliers
Identification of high-risk suppliers
Audits of high-risk suppliers and formulation of
improvement plans

Progress in 2021
Implementing supplier CSR checks for suppliers of Lion,
domestic Group companies , Lion Corporation Korea and
Qingdao Lion
Risk assessment through Sedex: 14companies
Set standards for high-risk suppliers for checks based on
Supplier CSR Guidelines
High-risk suppliers were not applicable

Measures to Prevent and Mitigate Risks among Group Employees

The Lion Group Charter for Corporate Behavior states that “We shall respect human rights,” and the Behavioral Guidelines
state that the Group will not permit child labor or forced or coerced labor, will provide equal employment opportunities
and treat employees fairly, and will take an active interest in the human rights practices of its suppliers, working withthem to mutually promote the fulfillment of corporate social responsibility. Furthermore, we have established the LION
Human Rights Policy and are working to ensure awareness of it throughout the Group.
All domestic employees of the Lion Group (including part-time workers) are asked to complete the annual Compliance
Awareness Survey. The survey results are reported to management and feedback is provided to individual divisions inorder to help maintain and strengthen our compliance systems.
Lion conducts periodic e-learning training for all employees in order to spread correct understanding of human rights
issues throughout the Group. We added content about harassment related to pregnancy and childcare in 2017 andcontent about LGBT issues in 2018. Through such efforts, we are actively working to prevent harassment.
In 2019, we added new content about the LION Human Rights Policy in an effort to spread awareness among employees.
In 2021, as in 2020, we made Lion’s initiatives related to human rights part of the mandatory e-learning curriculum of Lion
Career Village (LCV) in an effort to spread awareness among employees.

Access to Remediation（Grievance Mechanism）

Lion has set up an internal and external whistle-blowing system, the AL (All Lion) Heart Hotline (Japanese) as a grievancemechanism. This system can be used not only by Group employees, but also by suppliers and other external stakeholders,
and the anonymity of users is assured.
Furthermore, via the annual Compliance Awareness Survey of all domestic employees, including part-time workers, we
provide an explanation of the hotline and monitor its recognition among employees. The recognition rate among employees
was 99% in 2021.
Going forward, we will continue to promote thoroughgoing awareness of these initiatives as we work to promote respect forhuman rights throughout our corporate activities.
AL Heart Hotline

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Promoting Awareness Internally on Human Rights Day

Human Rights Day is on December 10 every year. To honor the adoption of the Universal Declaration of Human Rights at thethird session of the United Nations General Assembly on December 10, 1948, this day was designated as Human Rights Day
at the General Assembly’s fifth session, in 1950.
For Human Rights Day in 2019, the domestic Lion Group put up Human Rights Day posters at its headquarters, six sales
offices, research institutes and four plants across Japan, aiming to further increase awareness among employees of theimportance of respecting human rights and the LION Human Rights Policy, adopted in January 2019. On display for two
weeks, these posters served as an impetus to get employees thinking about human rights.

Headquarters

Research and Development
Headquarters

Osaka Plant

Human Rights Study Meetings

To promote awareness and understanding of the LION Human Rights Policy at overseas Group companies, in March 2019, we
held study sessions for all employees from Japan stationed at such companies, promoting understanding of human rights
initiatives.

Human Rights Study Meetings (2019)

In 2022, as part of efforts to promote human rights due diligence, we held study meetings on human rights for upper
management and human rights managers in major departments in Japan (cross-department teams).
Going forward, to reinforce governance related to ensuring respect for human rights, we will develop methods of raisingawareness suited to overseas companies and advance employee education on related issues while strengthening humanrights initiatives in the value chain.

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Participation in External Human Rights Initiatives

Lion has declared its support for the Ten Principles of the United Nations Global Compact. As part of this support, in 2019,
Lion took part in the Human Rights Due Diligence (HRDD) Subcommittee of the Global Compact Network Japan (GCNJ),
deepening its understanding of respect for human rights and human rights due diligence through workshops held by thesubcommittee.
Furthermore, Lion is member of the Japan Cosmetic Industry Association (JCIA) , an organization established bycosmetics manufacturers to promote the sound development of the industry. The JCIA has formulated a sustainability
policy and proactively works to contribute to sustainable social development though the cosmetics industry. As part ofthese efforts, in August 2019, the JCIA’s Environment and Sustainability Committee (currently the Sustainability Promotion
Committee), of which Lion is a member, formulated a basic guide for handling human rights and labor risks in the supply
chain. Furthermore, we participated in the Social Issues Countermeasure Working Group, which was newly establishedunder said committee in 2021. In March 2022, we planned and held a seminar for members on respect for human rights andgender equality.

Initiatives at Overseas Group Companies

In 2013, Lion surveyed the status of human rights initiatives at overseas Group companies by visiting them, conducting
interviews with management and touring factories. Through these actions we were able to confirm that these companies do
not hire employees who are below the legal working age, and that the plants of Southern Lion Sdn. Bhd., PT. Lion Wings andGlobal Eco Chemicals Malaysia Sdn. Bhd. provide prayer rooms for Muslim employees. Furthermore, in countries where
there are many reports of discrimination against immigrant workers, we have shared with Group companies that inadequate
communication with immigrant workers can create business risks and worked with them to respond as needed. Since 2015,
we have been checking the status of sustainability initiatives at overseas Group companies annually.
Going forward, we will continue to monitor and to help improve human rights initiatives at overseas Group companies.

313

Lion Sustainability Website 2022

Compliance Initiatives at Southern Lion Sdn. Bhd.

Southern Lion Sdn. Bhd. (“SL”) distributes an Employee Handbook, containing its CSR policy and stance on human rights, toall employees. Furthermore, SL has prepared a Code of Conduct that includes the key elements of the Lion Group’s latest
policies and works to ensure awareness of it among employees.

Employee handbook

Halal Certification Initiatives

Lion does business in countries with many Muslim residents, such as Malaysia and Indonesia. As such, we are working toobtain halal certification* for our products, so that Muslim customers can use them with peace of mind. We are advancing
halal certification for a wide range of products, from toothpaste, which is used in the mouth, to hand soaps, body washes,laundry detergents and fabric softeners, displaying halal-certified marks on certified products.
Going forward, we will continue to advance product creation that is considerate of religions and lifestyles in the countries
where we operate.
* Certification under systems for labeling products that have cleared halal certification standards with a halal-certified mark. A halal
certificate issued by a certifying body officially recognized by the country’s halal certification authority is required to sell products with ahalal-certified mark.

Example Halal-Certified Products

Systema toothpaste sold inIndonesia
Shokubutsu body wash sold in
Malaysia

Indonesian halal certificate

314

Malaysian halal certificate

Lion Sustainability Website 2022

Integrated Report & Sustainability
Integrated Report 2022
Lion Sustainability Website 2022 ＜PDF＞
Lion’s Sustainability: SDG-Related Initiatives

Back Numbers

Integrated Report 2022

Lion published the Lion Integrated Report 2022 in June 2022.
A3-size Integrated Report (for viewing) (9.47MB)
A4-size Integrated Report (for printing) (9.95MB)

Selected Pages
Our Purpose (3.01MB)

Corporate Message
Contents
Message from the Chairman
Creating Habits and Achieving Business Growth
Value Creation Process
Lion at a Glance
Financial and Non-Financial Highlights

Vision & Strategy (5.15MB)

Message from the President
Achieving Vision2030:
Long-term Strategic Framework
Growth Points
Financial Strategy
New Medium-term Management Plan Vision2030 1st STAGE
Consumer Products Business (Japan)
Overseas BusinessIndustrial Products BusinessResearch & Development
Supply Chain
Human Resource Development
Sustainability

Corporate Governance (499KB)

Messages from External Directors
Corporate Governance System
Compliance
Risk Management
Directors, Audit & Supervisory Board Members and Executive Officers

Performance/Data (672KB)

Management's Discussion and Analysis of Fiscal 2021 Results
Ten-Year Financial Summary

External Evaluations and Participation in External Organizations
Corporate Overview[Scope of Coverage]
Lion Corporation and all of its consolidated subsidiaries are covered, in principle.
* Where the scope of coverage of reported activities or data differs from the above, a description is provided.
[Period Coverd]
From January 1, 2021 to December 31, 2021
(Some parts also include information about 2022)

Lion Sustainability Website 2022 ＜PDF＞

Download All Pages (35.6MB)

Selected Pages
Contents (0.6MB)
Message from Management (0.43MB)
Lion's Sustainability (7.7MB)
Lion’s SDG-Related Initiatives (0.46MB)
Creating Healthy Living Habits (9.6MB)
Together with the Environment (6.3MB)
Ensuring Product Safety and Reliability (1.9MB)
Together with Supply Chains (1.2MB)
Together with Employees (4.0MB)
Respect for Human Rights (1.1MB)
Integrated Report & Sustainability (0.29MB)
Editorial Policy and Guideline Reference Tables (2.5MB)

Back Numbers
Integrated Report 2021 (10.3MB)
Subject Period : January 1, 2020 to December 31, 2020
Integrated Report 2020 Sustainability (6.3MB)
Subject Period : January 1, 2019 to December 31, 2019
Sustainability Report 2019 Full Book (8.4MB)
Subject Period : January 1, 2018 to December 31, 2018
Sustainability Report 2018 Full Book (10MB)
Subject Period : January 1, 2017 to December 31, 2017
CSR Report 2017 Full Book (10.6MB)
Subject Period : January 1, 2016 to December 31, 2016
CSR Report 2016 Full Book (16.7MB)
Subject Period : January 1, 2015 to December 31, 2015
CSR Report 2015 Full Book (13.3MB)
Subject Period : January 1, 2014 to December 31, 2014

CSR Report 2014 Full Book (8.6MB)
Subject Period : January 1, 2013 to December 31, 2013
CSR Report 2013 Full Book (8.6MB)
Subject Period : January 1, 2012 to December 31, 2012
CSR Report 2012 Full Book (10.8MB)
Subject Period : January 1, 2011 to December 31, 2011
CSR Report 2011 Full Book (11.9MB)
Subject Period : January 1, 2010 to December 31, 2010
CSR Report 2010 Full Book (14.1MB)
Subject Period : January 1, 2009 to December 31, 2009
CSR Report 2009 Full Book (3.7MB)
Subject Period : January 1, 2008 to December 31, 2008
CSR Report 2008 Full Book (3.1MB)
Subject Period : January 1, 2007 to December 31, 2007

Lion’s Sustainability: SDG-Related Initiatives
2022

A3-size LION's SUSTAINABILITY 2022 (for viewing) [Japanese] (11.0MB)
A4-size LION's SUSTAINABILITY 2022 (for printing) [Japanese] (11.5MB)

2021 Back Number

Lion’s Sustainability: SDG-Related Initiatives 2021(6.8MB)

Lion Sustainability Communication Booklet“Foundation of Daily Life: In Numbers”

Lion Sustainability Communication Booklet [Japanese] （PDF：6.49MB）

Lion Eco Pamphlet

This pamphlet uses graphs and illustrations to explain Lion’s environmental initiatives.
Lion Eco Pamphlet [Japanese] （PDF：3.7MB）

Editorial Policy and Guideline Reference Tables

Lion views its Integrated Report as an important tool for presenting its ESG initiatives and drawing on stakeholder opinions
while furthering corporate activities. Lion published the Lion Integrated Report, and detailed information aboutsustainability initiatives is available on Lion’s sustainability website.

Editorial Policy

Since 2011, we have systematized our initiatives for sustainability in accordance with ISO 26000, an international standard
concerning corporate social responsibility. Our reporting is structured to reflect this.
The main topics covered in the Integrated Report include Lion’s initiatives to create social value and increase its
corporate value over the medium to long term as well as its management vision, business environment and strategies,
and environmental, social and governance issues.
The sustainability website provides additional detailed reporting on Lion’s ESG data, initiatives related to the SDGs andother sustainability initiatives.

Referenced Guidelines:

Integrated Report

International Integrated Reporting Framework issued by the Value Reporting Foundation (VRF)
Guidance for Integrated Corporate Disclosure and Company-Investor Dialogues for Collaborative Value Creation issued by
the Ministry of Economy, Trade and Industry
GRI Sustainability Reporting Standards issued by the Global Reporting Initiative
ISO 26000: 2010 Guidance on social responsibility issued by the Japanese Standards Association

Sustainability Website

The Environmental Reporting Guidelines (2018) issued by the Ministry of the Environment
GRI Sustainability Reporting Standards issued by the Global Reporting Initiative
ISO 26000: 2010 Guidance on social responsibility issued by the Japanese Standards Association

Scope of Coverage:

Lion Corporation and all of its consolidated subsidiaries are covered, in principle.
Where the scope of coverage of reported activities or data differs from the above, a description is provided.
Overseas consolidated subsidiaries are also covered by the Sustainability Material Issues and Objectives.

Period Covered

Integrated Report 2022: From January 1, 2021 to December 31, 2021
Sustainability Website: From January 1, 2021 to Present
Some parts also include information about activities conducted outside of the above periods.

Guideline Reference Tables

GRI Sustainability Reporting Standards Reference Table
Reference Table for United Nations Global Compact COP (Advanced Level August 2016 Version)
319

Lion Sustainability Website 2022

GRI Sustainability Reporting Standards 2016 Reference Table

Note: “-” in the Table indicates that the contents of the item are not reported in the 2022 Integrated Report and Lion's
sustainability website.
Universal Standards

Pages to find in Lion Integrated Report 2022 (PDF)

General Disclosures 2016
Oraganizational Profile

102-1
102-2
102-3
102-4
102-5

Name of the organization
Activities, brands,
products, and services
Location of headquarters
Location of operations
Ownership and legal form

p77
p4-5, p8-9, p32-40, p70-72
p77
p9
p77

102-6

Markets served

p8-9, p22-24, p32-37, p70-72

102-7

Scale of the organization p8-9, p10, p12-17, p18-27, p28-31, p32-37, p70-72, p77
Information on employees p44-47, p77
and other workers
Supply chain
p41-43, p49

102-8
102-9
102-10Significant changes to theorganization and its
supply chain

102-11

Precautionary Principle or p65-67
approach102-12External initiatives

p41-43p76

320

WebsiteCompany Overview
Business Segment
Domestic Offices and Plants
Domestic Offices and Plants
Company Overview
Business Segment
Domestic Affiliates
Overseas Affiliates
Financial Highlights
Together with Employees
Employee Data
Together with Supply Chains
L ion to Establish a Joint Ventu
re Company in Bangladesh
Notice: Own Share
Notice: Own Share
Internal Control System
Risk Management
Compliance
Initiatives and External Evaluat
ion
Participation in External Enviro
nmental Initiatives
Main Activities (Recycling Reso
urces)
Participation in Pharmaceutical Product Safety Initiatives
Participation in External Suppl
y Chain Initiatives
Participation in External Human Rights Initiatives

Lion Sustainability Website 2022

Universal Standards

102-13

Membership of
Associations

Pages to find in Lion Integrated Report 2022 (PDF)

p76

Strategy102-14

Statement from seniordecision-maker

p2-3, p12-17

102-15Key impacts, risks, andopportunities

p32, p34, p20-27, p49, p66-67

102-16102-17

Values, principles,standards, and norms of p1
behavior
Mechanisms for advice
and concerns about ethics p65

102-18Governance structure

p49, p58, p65

102-19Delegating authority
Executive-level
responsibility foreconomic, environmental,
and social topics
Consulting stakeholders
on economic,
environmental, and social
topicsp59-62102-20102-21

Ethics and integrity

Governancep49, p68-69
p48-49, p52-55

102-22Composition of thehighest governance bodyand its committees

p49, p68-69

102-23Chair of the highest
governance bodyp2-3, p68-69

321

WebsiteInitiatives and External Evaluat
ion
Eco-First Commitment
Participation in Pharmaceutical Product Safety Initiatives
Building Relationships with Co
mmunities and External Organi
zations
Participation in External Suppl
y Chain Initiatives

Medium-Term Management Plan
Message from Management
Quarterly Financial Statements/ Supplementary Materials
Internal Control System
Risk Management
Corporate Philosophy
Charter for Corporate Behavior/ Behavioral Guidelines
Compliance
Basic Approach to Corporate G
overnance
Basic Approach to Corporate G
overnance
Sustainability Material Issues a
nd Objectives for 2030
Leadership Team
Stakeholder Engagement
Sustainability Material Issues a
nd Objectives for 2030
Basic Approach to Corporate G
overnance
Lion Corporation Basic Corpor
ate Governance Policy
Corporate Governance Report
Corporate Governance Report

Lion Sustainability Website 2022

Universal Standards

102-24102-25102-26102-27102-28Nominating and selecting
the highest governancebody
Conflicts of interest
Role of highest
governance body insetting purpose, values,
and strategy
Collective knowledge ofhighest governance body
Evaluating the highest
governance body’s
performance
Identifying and managing
economic, environmental,
and social impacts
Effectiveness of risk
management processes
Review of economic,
environmental, and social
topicsHighest governancebody’s role insustainability reporting

Pages to find in Lion Integrated Report 2022 (PDF)

WebsiteLion Corporation Basic Corpor
ate Governance Policy
Corporate Governance Report
Securities Report [Japanese]

p58-62, p68-69
p63-64

Lion Corporation Basic Corpor
ate Governance Policy
Lion Corporation Basic Corpor
ate Governance Policy
Lion Corporation Basic Corpor
ate Governance Policy
Lion Receives the 2020 Tokyo G
overnor Prize for Corporate Governance of the Year
Corporate Governance Reportp56-64, p68-69
p56-64, p68-69

p56-64, p68-69

102-33

Communicating criticalconcerns

p32, p34, p49, p66-67

102-34Nature and total numberof critical concerns

p65-67102-35

Remuneration policies

p63-64102-36

Process for determining
remuneration
Stakeholders’involvement inremuneration
Annual totalcompensation ratio
Percentage increase inannual totalcompensation ratio

p63-64

Sustainability Material Issues a
nd Objectives for 2030
Internal Control System
Risk Management
Internal Control System
Risk Management
Sustainability Management (Implementation Framework)
ComplianceInternal Control System
Risk Management
Sustainability Management (Implementation Framework)
Initiatives to Respond to Our C
ustomers
Compliance
Securities Report [Japanese]
Lion Corporation Basic Corpor
ate Governance Policy
Securities Report [Japanese]

p63-64

Securities Report [Japanese]

102-29102-30102-31
102-32102-37102-38102-39p48-51
p32, p34, p49, p66-67
p49, p66-67
p49

p63-64

-

-

-

322

Lion Sustainability Website 2022

Universal Standards

102-40Pages to find in Lion Integrated Report 2022 (PDF)

Stakeholder Engagement

p49

102-43

List of stakeholder groups
Collective bargaining
agreements
Identifying and selecting
stakeholders
Approach to stakeholder
engagement102-44

Key topics and concerns
raisedp48-51

102-41
102-42102-45102-46102-47102-48102-49102-50102-51
102-52102-53102-54102-55102-56

Entities included in the
consolidated financial
statements
Defining report content
and topic Boundaries
List of material topics
Restatements of
information
Changes in reporting
Reporting period
Date of most recent report
Reporting cycle
Contact point forquestions regarding thereportClaims of reporting inaccordance with the GRI
Standards
GRI content index
External assuranceManagement Approach and Topic-specificStandards

103
201-1
201-2
201-3

Management Approach
Direct economic value
generated and distributed
Financial implications andother risks andopportunities due toclimate change
Defined benefit plan
obligations and otherretirement plans

WebsiteStakeholder Engagement
Stakeholder Engagement
Labor-Management Relations
Stakeholder Engagement
Stakeholder Engagement
Sustainability Material Issues a
nd Objectives for 2030
Stakeholder Engagement-

Reporting Practicep8-9, p70-75, p77
p0, p77
p48-51
p77--

Back Cover--Domestic Affiliates
Overseas Affiliates
Editorial Policy and Guideline
Reference Tables
Sustainability Material Issues a
nd Objectives for 2030
Editorial Policy and Guideline
Reference Tables

Editorial Policy and Guideline
Reference Tables

p77-

This Table

Third-Party Verification

Pages to find in Lion Integrated Report 2022 (PDF)

Economic Topics
Economic Performance

Websitep58-69p4-5, p8-10, p13, p18, p23, p28-30, p70-75

Securities Report [Japanese]
Quarterly Financial Statements/ Supplementary Materials

p18-21, p49, p66-67

Response to the TCFD-

Securities Report [Japanese]

323

Lion Sustainability Website 2022

Universal Standards

Pages to find in Lion Integrated Report 2022 (PDF)

201-4

Financial assistancereceived from government -

103
203-1

Management Approachp48-51, p58-62
Infrastructure investments and services supported
Significant indirect
economic impacts

203-2

Website-Indirect Economic Impacts-

Procurement Practices

p42, p48-51, p58-62

103

Management Approach

204-1

Proportion of spending on local suppliers

103
205-1
205-2
205-3
103
206-1

-

Anti-corruption

Management Approach
Operations assessed forrisks related to corruption
Communication andtraining about anticorruption policies andprocedures
Confirmed incidents ofcorruption and actions
taken

p48-51, p58-62, p65

Management Approach
Legal actions for anticompetitive behavior,anti-trust, and monopoly
practicesp48-51, p58-62

-

-

-

p42, p48-51-

Promoting Sustainability with
Materials Manufacturers and Pr
oduction Contractors

Instituting the LION Anti-Bribery Principles
Compliancep48-51, p58-62, p65--

Anti-competitive Behavior

Environmental Topics
Materials

103

Management Approach

p15, p42, p48-51, p54-55, p67

301-1

Materials used by weightor volume

-

301-2

Recycled input materials
usedp39, p42, p48-51, p54-55

301-3

Reclaimed products andtheir packaging materials

p42, p48-51, p54-55

324

Environmental Approach and P
olicy / Management
LION Eco Challenge 2050 LongTerm Environmental ObjectivesRealizing a Decarbonized Society
Realizing a Resource-Circulating Society
ESG Data and Third-Party Verifi
cationRecycling Resources
ESG Data and Third-Party Verifi
cationUsing Recycled Plastics
Aiming for Sustainable Raw Ma
terial Procurement
Using Recycled Plastics
Lion Sustainability Website 2022

Universal Standards

Pages to find in Lion Integrated Report 2022 (PDF)

Energy103

Management Approach

p15, p42, p48-51, p54-55, p67

302-1

Energy consumption
within the organization

p11, p42-43, p50-51, p54-55

302-2

Energy consumption
outside of theorganization

p42-43, p50-51, p54-55

302-3

Energy intensity

p50-51, p54-55

302-4

Reduction of energy
consumption

p42-43, p50-51, p54-55

302-5

Reductions in energy
requirements of products
and services

p42-43, p50-51, p54-55

Water

103

Management Approach

p15, p42, p48-51, p54-55, p67

303-1

Water withdrawal bysource

-

303-2
303-3

Water sources
significantly affected bywithdrawal of water
Water recycled and reused p50-51, p54-55

Biodiversity
103

Management Approachp42, p48-51

325

WebsiteEnvironmental Approach and P
olicy / Management
LION Eco Challenge 2050 LongTerm Environmental ObjectivesRealizing a Decarbonized Society
ESG Data and Third-Party Verifi
cationEnergy Consumption
Logistics Division Initiatives
Greenhouse Gas Emissions thr
oughout the Supply Chain
Reduce CO2Emissions throughout Busines
s Activities
Energy Consumption
Reduce CO2Emissions throughout Busines
s Activities
Reduce CO2Emissions throughout Product
Life Cycles

Environmental Approach and P
olicy / Management
LION Eco Challenge 2050 LongTerm Environmental ObjectivesRealizing a Resource-Circulating Society
ESG Data and Third-Party Verifi
cationReducing Water Use
Overview of Lion's Biodiversity-Friendly Business Activities
The Chiba Plant's Wastewater
Recycling Facilities
Environmental Approach and P
olicy / Management
Lion and biodiversity
Biodiversity Conservation Activ
ities

Lion Sustainability Website 2022

Universal Standards

304-1

304-2
304-3
304-4

Operational sites owned,
leased, managed in, or
adjacent to, protectedareas and areas of highbiodiversity value outside
protected areas
Significant impacts ofactivities, products, andservices on biodiversity
Habitats protected or
restored
IUCN Red List species andnational conservation list
species with habitats inareas affected byoperations

Pages to find in Lion Integrated Report 2022 (PDF)

Biodiversity Conservation Initi
atives-Overview of Lion's Biodiversity-Friendly Business Activities
Biodiversity Conservation Initi
atives-Biodiversity Conservation Initi
atives-Emissions

103

Management Approach

p15, p42, p48-51, p54-55, p67

305-1

Direct (Scope 1) GHG
emissionsp11, p42-43, p50-51, p54-55

305-2

Energy indirect (Scope 2)
GHG emissions

p11, p42-43, p50-51, p54-55

305-3

Other indirect (Scope 3)
GHG emissions

p11, p42-43, p50-51, p54-55

305-4

GHG emissions intensity

p42-43, p50-51, p54-55

305-5

Reduction of GHG
emissions
Emissions of ozonedepleting substances(ODS)
Nitrogen oxides (NOx),sulfur oxides (SOx), andother significant air
emissionsp42-43, p50-51, p54-55

305-6
305-7

Website-Environmental Approach and P
olicy / Management
Realizing a Decarbonized Society
LION Eco Challenge 2050 LongTerm Environmental Objectives
Scope 1 and 2 Greenhouse Gas
Emissions from Domestic Oper
ating Sites (tons)
Scope 1 and 2 Greenhouse Gas
Emissions from Overseas Oper
ating Sites (tons)
Scope 1 and 2 Greenhouse Gas
Emissions from Domestic Oper
ating Sites (tons)
Scope 1 and 2 Greenhouse Gas
Emissions from Overseas Oper
ating Sites (tons)
Greenhouse Gas Emissions thr
oughout the Supply Chain
LION Eco Challenge 2050 LongTerm Environmental Objectives
Reduce CO2Emissions throughout Busines
s Activities
Reduce CO2Emissions throughout Busines
s Activities-

ESG Data and Third-Party Verifi
cationManagement of Chemical Subs
tances-326

Lion Sustainability Website 2022

Universal Standards

Pages to find in Lion Integrated Report 2022 (PDF)

Effluents and Waste

103

Management Approach

p15, p50-51, p54-55

306-1

Water discharge by qualityand destination
Waste by type anddisposal method
Significant spills
Transport of hazardous
waste

-

306-2
306-3
306-4
306-5

Water bodies affected bywater discharges and/or
runoffWebsiteEnvironmental Approach and P
olicy / Management
Realizing a Resource-Circulating Society
Management of Chemical Subs
tancesReducing Waste
Legal ComplianceManagement of Chemical Subs
tancesOverview of Lion’s Biodiversity-Friendly Business Activities
Environmental Impact Surveys
of Surfactants MES and MEE-

Environmental Compliane
103
307-1

103
308-1
308-2

Management ApproachNon-compliance withenvironmental laws andregulations

Management Approach
New suppliers that werescreened using
environmental criteria
Negative environmental
impacts in the supply
chain and actions taken-

Supplier Environmental Assessment

p42, p50-51, p54-55
p42, p50-51, p54-55

SocialEmployement

Management Approach

401-1

New employee hires and p44-47, p50-51
employee turnover
Benefits provided to fulltime employees that are not provided to temporary
or part-time employees
Parental leave
p44-47, p50-51

401-3
103
402-1

Management Approach
Minimum notice periods
regarding operationalchanges

Promoting Sustainability with
Materials Manufacturers and Pr
oduction Contractors
Sustainable Material Procurem
ent Policy
Promoting Sustainability with
Materials Manufacturers and Pr
oduction Contractors
Aiming for Sustainable Raw Ma
terial Procurement

p15, p50-51, p54-55

103

401-2

Environmental Approach and P
olicy / Management
Legal Compliancep15, p50-51, p54-55

Employment information [Japanese]
Together with Employees
Employee Data

p44-47, p48-51-

Promoting Work-Life Enrichme
ntLabor/Management Relations

Labor-Management Relations

p44-47, p48-51
-

-

327

Lion Sustainability Website 2022

Universal Standards

103
403-1

403-2

403-3
403-4
103
404-1
404-2
404-3

103
405-1
405-2
103
406-1

Pages to find in Lion Integrated Report 2022 (PDF)

WebsiteOccupational Health and Safety

Management Approach
Workers representation informal joint
management–worker
health and safetycommittees
Types of injury and rates
of injury, occupational
diseases, lost days, andabsenteeism, and numberof work-related fatalities
Workers with highincidence or high risk of
diseases related to theiroccupation
Health and safety topics
covered in formal
agreements with tradeunionsp44-47, p48-51, p66-67

Enhancing the Occupational Sa
fety Management System-

Enhancing the Occupational Sa
fety Management System-

Enhancing the Occupational Sa
fety Management System

Management Approach
Average hours of training
per year per employee
Programs for upgrading
employee skills andtransition assistanceprograms
Percentage of employees
receiving regularperformance & careerdevelopment reviews

p30, p44-47, p48-51
p30

Developing Human Resources
Employee Data

p44-47, p50-51

Human Resource Development
System that Support Autonom
ous Learning

Management Approach
Diversity of governancebodies and employees
Ratio of basic salary andremuneration of women
to menp44-47, p48-51

Management Approach
Incidents of
discrimination andcorrective actions taken

p44-47, p48-51, p65

-

-

-

-

Training and Education--

Diversity and Equal Opportunity
p44-47, p48-51-

Non-discrimination-

328

Promoting Diversity & InclusionPromoting Diversity & InclusionEmployee Data
Promoting Diversity & InclusionPromoting Diversity & InclusionLion Sustainability Website 2022

Universal Standards

103
407-1

103
408-1
103
409-1
103
412-1
412-2
412-3

103
413-1
413-2

Management Approach
Operations and suppliers
in which the right tofreedom of associationand collective bargaining
may be at risk

Pages to find in Lion Integrated Report 2022 (PDF)

WebsiteFreedom of Association and Collective Bargaining
p44-47, p48-51

Labor-Management Relations-

Measures to Prevent Human Ri
ghts Abuse
Child Labor

Respect for Human Rights
Identifying Human Rights Risks

Management Approach
Operations and suppliers
at significant risk forincidents of child laborp42, p48-51

Management Approach
Operations and suppliers
at significant risk forincidents of forced orcompulsory laborp42, p48-51

Respect for Human Rights

p42, p50-51

Identifying Human Rights Risks

Management Approach
Operations that have been
subject to human rights
reviews or impact
assessments
Employee training on
human rights policies orprocedures
Significant investment
agreements and contracts
that include human rights
clauses or that underwent
human rights screening

p42, p48-51

p42, p50-51

Forced or Compulsory Labor

Human Rights Assessment

Respect for Human Rights
Measures to Prevent Human Ri
ghts Abuse
Measures to Prevent Human Ri
ghts Abuse
Identifying Human Rights Risks

p50-51-

p48-51
Management Approach
Operations with local
community engagement, p34-35, p50-51
impact assessments, anddevelopment programs
Operations withsignificant actual andpotential negative impacts on local communities-

Local Communities

Social Contribution Activities
Social Contribution Activities-

329

Lion Sustainability Website 2022

Universal Standards

103

Pages to find in Lion Integrated Report 2022 (PDF)

Supplier Social Assessment

Management Approach
New suppliers that werescreened using social
criteria
Negative social impacts inthe supply chain andactions taken

p42, p48-51

415-1

Political Contributions-

103

Management Approach
Assessment of the healthand safety impacts ofproduct and service
categories
Incidents of noncompliance concerning
the health and safety
impacts of products andservices

p48-51, p53, p66-67

Management Approach
Requirements for productand service informationand labeling
Incidents of noncompliance concerning
product and service
information and labeling
Incidents of noncompliance concerningmarketingcommunications

p66-67

Management Approach
Substantiated complaints
concerning breaches ofcustomer privacy andlosses of customer datap48-51, p66-67

414-1
414-2

416-1

416-2

103
417-1
417-2
417-3

103
418-1
103
419-1

WebsiteTogether with Supply Chains-

Selecting New Suppliersp42, p50-51

Aiming for Sustainable Raw Ma
terial Procurement

Public Policy

Political Contributions

Customer Health and Safety

Ensuring Product Safety and R
eliability
Approach to Quality Assurance,
Safety and Reliability
Safety of Products During Use

p48-51, p53--

Marketing and Labeling

Ensuring Product Safety and R
eliability
Approach to Responsible Prod
uct Representations-

Approach to Quality Assurance,
Safety and Reliability--

Customer Privacy-

Handling of Personal Informati
on-Socioeconomic ComplianceManagement Approachp48-51, p65-67
Non-compliance with laws
and regulations in thesocial and economic area

Compliance-

330

Lion Sustainability Website 2022

Reference Table for United Nations Global Compact COP

Lion Group announced its support for the UNGC in 2009 and takes part in related initiatives. As upstanding member, COP(Communication on Progress) on the status of initiatives on ten principles in the four areas of “Human Rights,” “Labour,”“Environment” and “Anti-Corruption” is submitted once a year. The Lion’s sustainability activities introduced in the
Integrated Report 2022 and Websites are laid out in this Reference Table based on the GC Advanced COP Self-Assessment(Updated 19 August 2016).
Criteria for the GC Advanced Level (August 2016 Version)

WebsiteGeneral

Does your COP contain a statement by the CEO (or equivalent) expressing continued support for
the Global Compact and renewing your company's ongoing commitment to the initiative and its
principles?

Message from Management

Charter for Corporate Behavior / Be
havioral Guidelines
Sustainability Material Issues andObjectives for 2030
LION Human Rights Policy
Environmental Policy
Together with Employees
LION Anti-Bribery Principles
Sustainability Material Issues andObjectives for 2030
Stakeholder Engagement

Does your COP contain a description of actions and policies related to the following issue areas?
Human Rights, Labour, Environment, Anti-Corruption

Does your COP include qualitative and/or quantitative measurement of outcomes illustrating thedegree to which targets/performance indicators were met?
How does your organization share its COP with stakeholders?
a) Through the UN Global Compact website onlyb) COP is easily accessible to all interested parties (e.g., via its website)c) COP is actively distributed to all key stakeholders (e.g., investors, employees, consumers, local
community)
Both b) and c)
How is the accuracy and completeness of information in your COP assessed by a credible third-party?

The COP describes any action(s) that the company plans to undertake to have the credibility of
the information in its COP externally assessed, including goals, timelines, metrics, andresponsible staff
Information is reviewed by multiple stakeholders (e.g., representatives of groups prioritized instakeholder analysis)
Information is reviewed by a panel of peers (e.g., members of the same industry, competitors,
benchmarked leaders, others organized via Global Compact Local Network)
Information is assured by independent assurors (e.g., accounting or consulting firm) using theirown proprietary methodology
Information is assured by independent assurors (e.g., accounting or consulting firm) against
recognized assurance standard (e.g., ISAE3000, AA1000AS, other national or industry-specificstandard)
Other established or emerging best practices
The COP incorporates the following high standards of transparency and disclosure:

Applies the GRI Sustainability Reporting Guidelines
Is ‘in accordance - core’ with GRI G4
Is ‘in accordance - comprehensive’ with GRI G4
Applies elements of the International Integrated Reporting Framework

Available on our website-

331

Stakeholder Engagement
Initiatives and External Evaluations

GRI Standard

Lion Sustainability Website 2022

Criteria for the GC Advanced Level (August 2016 Version)

WebsiteProvides information on the company’s profile and context of operation
Which of the following Sustainable Development Goals (SDGs) do the activities described in your COP address?

SDG 1: End poverty in all its forms everywhere
SDG 2: End hunger, achieve food security and improved nutrition and promote sustainableagriculture
SDG 3: Ensure healthy lives and promote well-being for all at all ages
SDG 4: Ensure inclusive and equitable quality education and promote lifelong learning
opportunities for all

SDG 5: Achieve gender equality and empower all women and girls

SDG 6: Ensure availability and sustainable management of water and sanitation for all

SDG 7: Ensure access to affordable, reliable, sustainable and modern energy for all

SDG 8: Promote sustained, inclusive and sustainable economic growth, full and productive
employment and decent work for all

332

Company Overview
Business Segment
Integrated Report 2022 p4-5

Inclusive Oral Care [Japanese]-

Lion’s SDG-Related Initiatives
Creating Healthy Living Habits
Creating Healthy Living Habits
Environmental Communication
Measures to Prevent Human Rights
Abuse
Together with Employees
Promoting the Professional Partici
pation and Advancement of WomenKaji × Kaji Happy Share Project[Japanese]Compliance
LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Reducing Water Use
Initiatives to Establish Cleanlinessand Hygiene Habits
LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Reduce CO2Emissions throughout Business Act
ivities
Realizing a Resource-Circulating So
ciety
Promoting Sustainability with Materials Manufacturers and Production
Contractors
Measures to Prevent Human Rights
Abuse
Together with Employees
Developing Human Resources
Promoting Work-Life Enrichment
Promoting Diversity & Inclusion
Occupational Safety and Safety of F
acilities
Labor-Management Relations
Health and Productivity ManagementPromoting Sustainability with Materials Manufacturers and Production
Contractors

Lion Sustainability Website 2022

Criteria for the GC Advanced Level (August 2016 Version)

WebsiteSDG 9: Build resilient infrastructure, promote inclusive and sustainable industrialization andfoster innovation

SDG 10: Reduce inequality within and among countries

SDG 11: Make cities and human settlements inclusive, safe, resilient and sustainable

SDG 12: Ensure sustainable consumption and production patterns

SDG 13: Take urgent action to combat climate change and its impacts

SDG 14: Conserve and sustainably use the oceans, seas and marine resources for sustainable
development

333-

LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Realizing a Resource-Circulating So
ciety
Reduce CO2Emissions throughout Business Act
ivities
Inclusive Oral Care [Japanese]
Measures to Prevent Human Rights
Abuse
Together with Employees
Developing Human Resources
Promoting Diversity & Inclusion
Promoting Sustainability with Materials Manufacturers and Production
Contractors
Compliance

Together with the Environment
LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Measures Aimed at Realizing a Resource-Circulating Society—Reducing
Container and Packaging Materials—the 3Rs and Renewable Materials
Toothbrush Recycling Program
Aiming for Sustainable Raw Material Procurement
Ensuring Product Safety and Reliab
ility
Together with the Environment
LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Toothbrush Recycling Program
Promoting Sustainability with Materials Manufacturers and Production
Contractors
Ensuring Product Safety and Reliab
ility
LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Realizing a Resource-Circulating So
ciety
Reducing Water Use
Biodiversity Conservation ActivitiesPromoting Sustainability with Materials Manufacturers and Production
Contractors

Lion Sustainability Website 2022

Criteria for the GC Advanced Level (August 2016 Version)

WebsiteTogether with the Environment
LION Eco Challenge 2050 Long-Ter
m Environmental Objectives
Biodiversity Conservation ActivitiesPromoting Sustainability with Materials Manufacturers and Production
Contractors
Measures to Prevent Human Rights
Abuse
Promoting Sustainability with Materials Manufacturers and Production
Contractors
Basic Approach to Corporate Governance
Stakeholder Engagement
Social Contribution Activities
Initiatives and External Evaluations
Toothbrush Recycling Program
Social Contribution Activities
Measures to Prevent Human Rights
Abuse
Promoting Sustainability with Materials Manufacturers and Production
Contractors

SDG 15: Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably
manage forests, combat desertification, and halt and reverse land degradation and halt
biodiversity loss

SDG 16: Promote peaceful and inclusive societies for sustainable development, provide access tojustice for all and build effective, accountable and inclusive institutions at all levels

SDG 17: Strengthen the means of implementation and revitalize the global partnership forsustainable development

With respect to your company’s actions to advance the Sustainable Development Goals (SDGs),
the COP describes:

Opportunities and responsibilities that one or more SDGs represent to our business
Where the company’s priorities lie with respect to one or more SDGs
Goals and indicators set by our company with respect to one or more SDGs
How one or more SDGs are integrated into the company’s business model

The (expected) outcomes and impact of your company’s activities related to the SDGs
If the companies’ activities related to the SDGs are undertaken in collaboration with otherstakeholders
Other established or emerging best practices

334-

Lion’s Sustainability
Risks and Opportunities Related to
Sustainability Material Issues in the
Value Chain
Sustainability Material Issues andObjectives for 2030
Lion’s SDG-Related Initiatives
Lion’s Sustainability
Risks and Opportunities Related to
Sustainability Material Issues in the
Value Chain
Sustainability Material Issues andObjectives for 2030
Risks and Opportunities Related to
Sustainability Material Issues in the
Value ChainContributing to the Achievement of
the SDGs
Lion’s SDG-Related Initiatives
Toothbrush Recycling Program

Lion Sustainability Website 2022

Items

Implementing the Ten Principles into Strategies & Operations
The COP describes mainstreaming into corporate functions and business units

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff

Medium-Term Management Plan

Place responsibility for execution of sustainability strategy in relevant
corporate functions (procurement, government affairs, humanresources, legal, etc) ensuring no function conflicts with company’ssustainability commitments and objectives
Criterion 1

Align strategies, goals and incentive structures of all business units andsubsidiaries with corporate sustainability strategy
Assign responsibility for corporate sustainability implementation to anindividual or group within each business unit and subsidiary
Design corporate sustainability strategy to leverage synergies between
and among issue areas and to deal adequately with trade-offs
Ensure that different corporate functions coordinate closely tomaximize performance and avoid unintended negative impacts
Other established or emerging best practices-

The COP describes value chain implementation

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Analyze each segment of the value chain carefully, both upstream anddownstream, when mapping risks, opportunities and impacts
Criterion 2

Communicate policies and expectations to suppliers and other relevantbusiness partners
Implement monitoring and assurance mechanisms (e.g.
audits/screenings) for compliance within the company’s sphere of
influence
Undertake awareness-raising, training and other types of capacity
building with suppliers and other business partners
Other established or emerging best practices

335-

Message from Management
Sustainability Management (Implementati
on Framework)
Basic Approach to Corporate GovernanceCorporate Governance Report
Medium-Term Management Plan
Basic Approach to Corporate Governance<
Sustainability Management (Implementati
on Framework)
Sustainability Material Issues and Objectiv
es for 2030
Basic Approach to Corporate Governance<
Internal Control System
Risk Management
Sustainability Material Issues and Objectiv
es for 2030
Together with Supply Chains
Sustainability Material Issues and Objectiv
es for 2030
Risks and Opportunities Related to Sustain
ability Material Issues in the Value Chain
Together with Supply Chains
Procurement Principles
Sustainable Material Procurement Policy
Lion Group Supplier CSR Guidelines
Sustainability Material Issues and Objectiv
es for 2030
Self-Checks Based on the Lion Group Suppl
ier CSR Guidelines
Joined Sedex, the Supplier Ethical Data Exc
hange
Employee Training on Sustainable Procure
ment

Lion Sustainability Website 2022

ItemsCriterion 3

Robust Human Rights Management Policies & Procedures
The COP describes robust commitments, strategies or policies in the area of human rights

Sustainability Material Issues and Objectiv
es for 2030
Respect for Human Rights

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Commitment to comply with all applicable laws and respect
internationally recognized human rights, wherever the company
operates (e.g., the Universal Declaration of Human Rights, Guiding
Principles on Human Rights)
Integrated or stand-alone statement of policy expressing commitment
to respect and support human rights approved at the most senior levelof the company
Statement of policy stipulating human rights expectations of personnel,
business partners and other parties directly linked to operations,products or services

Human Rights Policy

Statement of policy publicly available and communicated internally andexternally to all personnel, business partners and other relevant parties
Other established or emerging best practices-

Charter for Corporate Behavior / Behavioral Guidelines
Human Rights Policy
Charter for Corporate Behavior / Behavioral Guidelines
Human Rights Policy
Charter for Corporate Behavior / Behavioral Guidelines
Human Rights Policy

The COP describes effective management systems to integrate the human rights principles

Criterion 4

Sustainability Material Issues and Objectiv
Any relevant policies, procedures, and activities that the company planses for 2030
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Respect for Human Rights
Process to ensure that internationally recognized human rights are
Measures to Prevent Human Rights Abuse
respected
On-going due diligence process that includes an assessment of actual
Measures to Prevent Human Rights Abuseand potential human rights impacts
Internal awareness-raising and training on human rights for
Lion Group Employees
management and employees
Operational-level grievance mechanisms for those potentially impacted
Complianceby the company’s activities
Allocation of responsibilities and accountability for addressing humanCompliancerights impacts
Internal decision-making, budget and oversight for effective responses
Measures to Prevent Human Rights Abuseto human rights impacts
Processes to provide for or cooperate in the remediation of adverse
Measures to Prevent Human Rights Abuse
human rights impacts that the company has caused or contributed toProcess and programs in place to support human rights through: core
Participation in External Supply Chain Initi
business; strategic philanthropic/social investment; public policy
ativesParticipation in External Human Rights Initi
engagement/advocacy; partnerships and/or other forms of collective
ativesactionOther established or emerging best practices-

336

Lion Sustainability Website 2022

The COP describes effective monitoring and evaluation mechanisms of human rights integration

Sustainability Material Issues and Object
ives for 2030
Respect for Human Rights
Compliance
Sustainability Material Issues and Object
ives for 2030
Promoting Sustainability with Materials
Manufacturers and Production ContractorsComplianceInternal Control System
Risk Management
Promoting Sustainability with Materials
Manufacturers and Production Contractors
Basic Approach to Corporate GovernanceInternal Control System
Risk Management
Compliance
Basic Approach to Corporate GovernanceComplianceCorporate Governance ReportCompliance

Any relevant policies, procedures, and activities that the company plans toundertake to fulfill this criterion, including goals, timelines, metrics, andresponsible staff
System to monitor the effectiveness of human rights policies andimplementation with quantitative and qualitative metrics, including in the
supply chain

Monitoring drawn from internal and external feedback, including affectedstakeholders
Criterion 5

Leadership review of monitoring and improvement results
Process to deal with incidents the company has caused or contributed tofor internal and external stakeholders
Grievance mechanisms that are legitimate, accessible, predictable,
equitable, transparent, rights-compatible, a source of continuous learning,and based on engagement and dialogue
Outcomes of integration of the human rights principles
Other established or emerging best practices-

337

Human Rights Policy
Compliance

Lion Sustainability Website 2022

ItemsCriterion 6

Robust Labour Management Policies & Procedures
The COP describes robust commitments, strategies or policies in the area of labour

Any relevant policies, procedures, and activities that the company plans toundertake to fulfill this criterion, including goals, timelines, metrics, andresponsible staff
Reference to principles of relevant international labour standards (ILO
Conventions) and other normative international instruments in company
policies
Reflection on the relevance of the labour principles for the company
Written company policy to obey national labour law, respect principles of
the relevant international labour standards in company operations
worldwide , and engage in dialogue with representative organization of theworkers (international, sectoral, national).
Inclusion of reference to the principles contained in the relevantinternational labour standards in contracts with suppliers and otherrelevant business partners
Specific commitments and Human Resources policies, in line with national
development priorities or decent work priorities in the country ofoperation
Participation and leadership in wider efforts by employers’ organizations(international and national levels) to jointly address challenges related tolabour standards in the countries of operation, possibly in a tripartite
approach (business – trade union – government).
Structural engagement with a global union, possibly via a Global
Framework Agreement
Other established or emerging best practices

The COP describes effective management systems to integrate the labour principles

Sustainability Material Issues and Object
ives for 2030

Human Rights Policy-

Charter for Corporate Behavior / Behavio
ral Guidelines-

Charter for Corporate Behavior / Behavio
ral Guidelines-

Any relevant policies, procedures, and activities that the company plans toundertake to fulfill this criterion, including goals, timelines, metrics, andresponsible staff
Risk and impact assessments in the area of labour

Criterion 7

Dialogue mechanism with trade unions to regularly discuss and review
company progress in addressing labour standards
Allocation of responsibilities and accountability within the organization
Internal awareness-raising and training on the labour principles for
management and employees
Active engagement with suppliers to address labour-related challenges
Grievance mechanisms, communication channels and other procedures(e.g., whistleblower mechanisms) available for workers to report concerns,
make suggestions or seek advice, designed and operated in agreement withthe representative organization of workers
Other established or emerging best practices-

338

Together with Employees
Sustainability Material Issues and Object
ives for 2030
Together with Employees
Labor-Management Relations
Basic Approach to Corporate Governance
Together with Employees
Developing Human Resources
Promoting Sustainability with Materials
Manufacturers and Production ContractorsCompliance
Labor-Management Relations

Lion Sustainability Website 2022

The COP describes effective monitoring and evaluation mechanisms of labour principles integration

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff

Sustainability Material Issues and Objectiv
es for 2030
Sustainability Material Issues and Objectiv
es for 2030
Developing Human Resources
Initiatives (Occupational Safety/Facility Saf
ety)
Promoting Diversity & Inclusion
Promoting Work-Life Enrichment
Improving Employee Health
Labor-Management Relations

System to track and measure performance based on standardized
performance metrics
Criterion 8

Dialogues with the representative organization of workers to regularly
review progress made and jointly identify priorities for the future
Audits or other steps to monitor and improve the working conditions ofcompanies in the supply chain, in line with principles of international
labour standards
Process to positively engage with the suppliers to address thechallenges (i.e., partnership approach instead of corrective approach)through schemes to improve workplace practices-

Outcomes of integration of the Labour principles
Items

Other established or emerging best practices-

Robust Environmental Management Policies & Procedures
The COP describes robust commitments, strategies or policies in the area of environmental stewardship

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff

Criterion 9

Measures to Prevent Human Rights Abuse
Compliance Awareness Survey
Promoting Diversity & Inclusion

Reference to relevant international conventions and other international
instruments (e.g. Rio Declaration on Environment and Development)
Reflection on the relevance of environmental stewardship for thecompany
Written company policy on environmental stewardship
Inclusion of minimum environmental standards in contracts with
suppliers and other relevant business partners
Specific commitments and goals for specified years
Other established or emerging best practices

339

Sustainability Material Issues and Objectiv
es for 2030
Together with the Environment
Environmental Approach and Policy / Mana
gementLION Eco Challenge 2050 Long-Term Enviro
nmental Objectives
Environmental Approach and Policy / Mana
gementLION Eco Challenge 2050 Long-Term Enviro
nmental Objectives
Environmental Approach and Policy / Mana
gementPromoting Sustainability with Materials Ma
nufacturers and Production Contractors
LION Eco Challenge 2050 Long-Term Enviro
nmental Objectives
Recycling Resources

Lion Sustainability Website 2022

The COP describes effective management systems to integrate the environmental principles

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Environmental risk and impact assessments

Criterion 10

Assessments of lifecycle impact of products, ensuring environmentallysound management policies

Allocation of responsibilities and accountability within the organisation
Internal awareness-raising and training on environmental stewardshipfor management and employees
Grievance mechanisms, communication channels and other procedures(e.g. whistleblower mechanisms) for reporting concerns or seeking
advice regarding environmental impacts
Other established or emerging best practices-

Environmental Approach and Policy / Mana
gementOverview of Environmental Burden Createdby Business Activities
Realizing a Resource-Circulating Society
Realizing a Decarbonized Society
LION Eco Challenge 2050 Long-Term Enviro
nmental Objectives
Overview of Environmental Burden Createdby Business Activities
Realizing a Decarbonized Society
Realizing a Resource-Circulating Society
Overview of Lion’s Biodiversity-Friendly Bu
siness Activities
ESG Data and Third-Party Verification
Environmental Management Structure
Environmental Communication
Compliance
Environmental Communication through Ev
ents

The COP describes effective monitoring and evaluation mechanisms for environmental stewardship

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
System to track and measure performance based on standardized
performance metrics
Leadership review of monitoring and improvement results
Criterion 11

Process to deal with incidents
Audits or other steps to monitor and improve the environmental
performance of companies in the supply chain
Outcomes of integration of the environmental principles
Other established or emerging best practices-

340

Environmental Approach and Policy / Mana
gementEnvironmental Approach and Policy / Mana
gementEnvironmental Management Structure
Environmental Approach and Policy / Mana
gementEnvironmental Management Structure
Environmental Approach and Policy / Mana
gementEnvironmental Management Structure
Sustainability Material Issues and Objectiv
es for 2030
Promoting Sustainability with Materials Ma
nufacturers and Production Contractors
Legal Compliance
ESG Data and Third-Party Verification
Management of Chemical Substances

Lion Sustainability Website 2022

ItemsRobust Anti-Corruption Management Policies & Procedures
The COP describes robust commitments, strategies or policies in the area of anti-corruption

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff

LION Anti-Bribery Principles

Charter for Corporate Behavior / Behavioral Guidelines
Procurement Principles
LION Anti-Bribery Principles
Initiatives and External Evaluations
Charter for Corporate Behavior / Behavioral Guidelines
Procurement Principles
LION Anti-Bribery Principles
Initiatives and External Evaluations

Publicly stated formal policy of zero-tolerance of corruption

Criterion 12

Commitment to be in compliance with all relevant anti-corruption laws,
including the implementation of procedures to know the law andmonitor changes
Statement of support for international and regional legal frameworks,
such as the UN Convention against Corruption
Detailed policies for high-risk areas of corruption-

Policy on anti-corruption regarding business partners
Other established or emerging best practices-

Charter for Corporate Behavior / Behavioral Guidelines
Procurement Principles
LION Anti-Bribery Principles

The COP describes effective management systems to integrate the anti-corruption principle

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics, and responsible staff
Support by the organization’s leadership for anti-corruption
Initiatives and External Evaluations

Internal Control System
Risk Management
Compliance

Carrying out risk assessment of potential areas of corruption

Criterion 13

Human Resources procedures supporting the anti-corruption
commitment or policy, including communication to and training for all
employees
Internal checks and balances to ensure consistency with the anticorruption commitment
Actions taken to encourage business partners to implement anticorruption commitments
Management responsibility and accountability for implementation of
the anti-corruption commitment or policy
Communications (whistleblowing) channels and follow-up mechanisms
for reporting concerns or seeking advice
Internal accounting and auditing procedures related to anticorruption
Other established or emerging best practices-

341

Internal Control System
Risk Management
Promoting Sustainability with Materials Ma
nufacturers and Production Contractors
Internal Control System
Risk Management
ComplianceInternal Control System
Risk Management

Lion Sustainability Website 2022

The COP describes effective monitoring and evaluation mechanisms for the integration of anti-corruption

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics, and responsible staff
Leadership review of monitoring and improvement results
Criterion 14

Items

Criterion 15

Process to deal with incidents
Public legal cases regarding corruption
Use of independent external assurance of anti-corruption programmes
Outcomes of assessments of potential corruption and mechanisms forseeking advice /reporting procedures supporting anti-corruption policy.
Other established or emerging best practices
Taking Action in Support of Broader UN Goals and Issues
The COP describes core business contributions to UN goals and issues-

Any relevant policies, procedures, and activities that the company plans
Sustainability Material Issues and Objectiv
to undertake to fulfill this criterion, including goals, timelines, metrics,
es for 2030
and responsible staff
Align core business strategy with one or more relevant UN goals/issues
Medium-Term Management Plan
Develop relevant products and services or design business models that contribute to UN goals/issues
Adopt and modify operating procedures to maximize contribution to UN goals/issues
Other established or emerging best practices
The COP describes strategic social investments and philanthropy

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Pursue social investments and philanthropic contributions that tie inwith the core competencies or operating context of the company as anintegrated part of its sustainability strategy
Criterion 16

Internal Control System
Risk Management
Internal Control System
Risk Management

Coordinate efforts with other organizations and initiatives to amplify—
and not negate or unnecessarily duplicate—the efforts of othercontributors
Take responsibility for the intentional and unintentional effects offunding and have due regard for local customs, traditions, religions, andpriorities of pertinent individuals and groups
Other established or emerging best practices-

342

Social Contribution Activities
Sustainability Material Issues and Objectiv
es for 2030
Social Contribution Activities
Creating Healthy Living Habits
Eco-First Commitment
Social Contribution Activities
Together with Supply Chains
Initiatives to Establish Oral Care Habits
Inclusive Oral Care [Japanese]
Aiming for Sustainable Raw Material Procur
ement

Lion Sustainability Website 2022

The COP describes advocacy and public policy engagement

Criterion 17

Any relevant policies, procedures, and activities that the company plans
Social Contribution Activities
to undertake to fulfill this criterion, including goals, timelines, metrics,
Stakeholder Engagement
and responsible staff
Message from Management
Publicly advocate the importance of action in relation to one or more
UN goals/issues
Eco-First Commitment
Commit company leaders to participate in key summits, conferences,and other important public policy interactions in relation to one or
Eco-First Commitment
more UN goals/issues
Other established or emerging best practices
The COP describes partnerships and collective action

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Criterion 18

Items

Develop and implement partnership projects with public or privateorganizations (UN entities, government, NGOs, or other groups) on corebusiness, social investments and/or advocacy
Join industry peers, UN entities and/or other stakeholders in initiatives
contributing to solving common challenges and dilemmas at the global
and/or local levels with an emphasis on initiatives extending thecompany’s positive impact on its value chain
Other established or emerging best practices
Corporate Sustainability Governance and Leadership
The COP describes CEO commitment and leadership

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Criterion 19-

Social Contribution Activities
Stakeholder Engagement
Social Contribution Activities
Initiatives to Establish Oral Care Habits
Inclusive Oral Care [Japanese]
Eco-First Commitment
Together with Supply Chains
Eco-First Commitment
Basic Approach to Corporate Governance
Sustainability Material Issues and Objectiv
es for 2030
Message from Management
Message from Management

CEO publicly delivers explicit statements and demonstrates personalleadership on sustainability and commitment to the UN Global Compact
CEO promotes initiatives to enhance sustainability of the company’s
Eco-First Commitment
sector and leads development of industry standards
CEO leads executive management team in development of corporate
Message from Management
sustainability strategy, defining goals and overseeing implementation
Make sustainability criteria and UN Global Compact principles part ofgoals and incentive schemes for CEO and executive management team Other established or emerging best practices-

343

Lion Sustainability Website 2022

The COP describes Board adoption and oversight

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Criterion 20

Basic Approach to Corporate Governance

Board of Directors (or equivalent) assumes responsibility and oversightfor long-term corporate sustainability strategy and performance
Board establishes, where permissible, a committee or assigns an
individual board member with responsibility for corporate
sustainability.
Board (or committee), where permissible, approves formal reporting on
corporate sustainability (Communication on Progress)
Other established or emerging best practices
The COP describes stakeholder engagement-

Any relevant policies, procedures, and activities that the company plans
to undertake to fulfill this criterion, including goals, timelines, metrics,
and responsible staff
Publicly recognize responsibility for the company’s impacts on internaland external stakeholders
Criterion 21

Define sustainability strategies, goals and policies in consultation withkey stakeholders
Consult stakeholders in dealing with implementation dilemmas andchallenges and invite them to take active part in reviewing performance
Establish channels to engage with employees and other stakeholders tohear their ideas and address their concerns, and protect ‘whistleblowers’
Other established or emerging best practices-

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Basic Approach to Corporate Governance
Sustainability Management (Implementati
on Framework)
Leadership Team
Sustainability Management (Implementati
on Framework)
Sustainability Management (Implementati
on Framework)
Stakeholder Engagement
Message from Management
Stakeholder Engagement
Stakeholder Engagement
Sustainability Material Issues and Objectiv
es for 2030
Stakeholder Engagement
Stakeholder Engagement
Compliance

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