February 24, 2021

Excellent Integrated Reports and Most-improved Integrated Reports
Selected by GPIF’s Asset Managers Entrusted with Domestic Equity Investment
Government Pension Investment Fund (GPIF) requested its external asset managers entrustedwith domestic equity investment (hereinafter, “external asset manager”) to nominate “excellent
integrated reports” and “most-improved integrated reports.”
This year, GPIF requested external asset managers to each nominate up to 10 companies,
and the result of the survey was compiled into two lists, comprised of 77 (71 in the previous
survey) and 94 (91 in the previous survey) companies selected for having created excellent
integrated reports and most-improved integrated reports, respectively, as shown on page 6
herein.
The following companies were nominated by the most respondents as publishers of excellent
integrated reports and most-improved integrated reports.
[Companies nominated by four or more external asset managers for their excellent

integrated report] (number of external asset managers)







ITOCHU Corporation (6)Hitachi, Ltd. (5)Tokio Marine Holdings, Inc. (5)Kirin Holdings Company, Limited (4)FUJI OIL HOLDINGS INC. (4)Mitsui Chemicals, Inc. (4)







Mitsubishi Chemical Holdings Corporation (4)Kao Corporation (4)OMRON Corporation (4)RICOH COMPANY, LIMITED. (4)MARUI GROUP CO., LTD. (4)[Companies nominated by four or more external asset managers for their mostimproved integrated report] (number of external asset managers)
 NIPPON PAINT HOLDINGS CO., LTD. (6) DAITO TRUST CONSTRUCTION CO., LTD. (4) Ajinomoto Co., Inc. (4)Mizuho Financial Group, Inc. (4)Note: As the definition of an integrated report depends on the individual external asset managers, a report that is not
specified as an integrated report may be nominated if it is considered by an external asset manager that
information disclosure is conducted based on “integrated thinking.” The names of the companies are listed inorder of their securities code in cases where the number of nominating external asset managers is the same.

<Distribution of Nominated Companies based on the Number of Nominations by External Asset Managers>

1[Key remarks on the “excellent integrated reports” nominated by four or more
external asset managers]〇 ITOCHU Corporation
・ As with the Company’s past integrated reports, the CEO’s message is impressive, and their awarenessof issues under the COVID-19 environment and the concept of sustainability are clearly stated.
・ The capital-linked non-financial information, such as a report on the status of establishing governancesystems of listed subsidiaries, and the business opportunities and risks based on PEST analysis
focusing on macro environment factors, is unique and highly regarded.
・ The detailed description of risk management in the investment decision-making process, which isimportant for a general trading company, provides greater peace of mind. The information is not only
highly comprehensive, but also theoretically summarizes the measures for the improvement ofcorporate value by business.
・ In April 2020, the Company revised its corporate philosophy to “Sampo-Yoshi,” meaning “Good forthree sides: the seller, the buyer and society.” The outline of the ways to secure short-, medium- andlong-term growth is clearly illustrated from its original viewpoint by closely connecting the corporate
philosophy to various financial and non-financial fields.

〇 Hitachi, Ltd.
・ The integrated report focuses on the social innovation business, a focus of the Company’s efforts. By
reviewing the results and issues of the past measures taken, the report explains the strategies toachieve the Company’s ideal for the future in the form of stories of value creation by business sector.
Thereby, we can easily understand the Company’s future management policy.
・ The entire integrated report shows a high degree of depth, featuring easy-to-understand explanationsof financial and non-financial targets, the system supporting sustainable growth, capital allocation
strategy and innovation. Regarding TCFD recommendation, the disclosure of opportunities and risks
by section can be highly evaluated.
・ We highly regard the reorganization of the business portfolio toward the achievement of target ROIC
by sector, express disclosure of cash in/out including M&A in terms of capital allocation, execution andseparation of management, and full-scale efforts for global diversity by means of proactively hiring
directors of non-Japanese nationality.

〇 Tokio Marine Holdings, Inc.
・ The description of Part 1 “The Story of Our Purpose” is superb. The Company’s raison d’être, strengths
and aspiration are clearly but simply expressed, and take us to higher expectations for sustainablegrowth.
・ The layout of the report is very well arranged to clearly convey the Company’s message, as illustrated
in the introductory section where the Company’s strengths, such as its track record in M&A, areexplained in the form of a Q&A. Furthermore, we highly regard the Company’s attitude toward providing
information that investors want to know, such as details on the activities of each outside director andoutside audit & supervisory board member, and the disclosure of employee survey results.
・ This excellent integrated report clearly explains the roles that the Purpose plays for the Company’sbusiness strategy and global management. The content of the message from the management andthe conversation article by outside directors are also highly useful.

〇 Kirin Holdings Company, Limited
・ The report clarifies the policy of financial strategy aiming to maximize corporate value, and provides
specific ROIC and EPS levels as financial KPIs. The description of corporate governance is highly
transparent, even disclosing the calculation formula used for performance-linked compensation.
・ In response to a shareholder proposal raising a doubt over the pharmaceutical business, the Company
clearly explains the focus by stating “a special feature on the Company’s growth strategies in the
Health Science domain applying our strengths in fermentation and biotechnology.” Their measures toinstill the philosophy seem to be practical.
・ In the explanation of the Value Creation Model, we highly regard the fact that the strengths of the2
Copyright © 2021 Government Pension Investment Fund All rights reserved.

enterprise are clearly shown with figures, and that additional detailed information is provided as aSpecial Feature. The content suggests that the Company has fully taken into consideration the interestin the stock market in discussions with shareholders.

〇 FUJI OIL HOLDINGS INC.
・ The report receives a high evaluation because this food company with diversified procurement
structures has disclosed its supply chain management in great detail, in terms of the analysis ofimportance and progress ratio of its sustainability strategy.
・ The CFO describes the Company’s financial strategy in detail, and the report illustrates short-term
performance, a medium-term plan and long-term policies, which help us to evaluate the Company ona time axis.
・ The explanations including ESG by each chief officer in the form of reporting are unique, and themessages lead to reader satisfaction.

〇 Mitsui Chemicals, Inc.
・ Financial and non-financial information is provided in an integrated form by business, and how they
are linked to competitive advantage is clearly understandable.
・ In particular, we highly evaluated the report for detailed descriptions concerning how ESG factors will
be reflected in management and the easy-to-understand messages of both the CEO and CFO, which
discussed the thinking of the upper management.
・ For the purpose of achieving the Long-term Business Plan, the Company has set specific KPI basedon the three axes of economy, environment and society. The axes of environment and society are
visualized by a detailed description of the certification process of products and services provided andthe establishment of KPI.

〇 Mitsubishi Chemical Holdings Corporation
・ The report breaks down and clearly explains the Company’s diverse businesses by using the axis of“KAITEKI” management. In particular, the sustainability indices, MOS, are shown by specificcoefficients, leading to reader satisfaction.
・ The discussions concerning materiality have also been improved, which shows that the Company has
fulfilled their strong accountability obligations by providing information on both sides of risk andopportunity, sustainability from the viewpoint of KPI, and more. Furthermore, the statement of “Risks
assumed if we fail to address social issues” is of great interest.
・ The SWOT analysis helps our understanding of the Company’s business. We also highly regard“KAITEKI VISION 30,” the financial and non-financial (ESG) descriptions based on backcasting,including its background, concept and ideals.

〇 Kao Corporation
・ The ESG Vision section clearly indicates the Kao actions and the target values for 2030. While
promoting ESG management, the Company has completed this excellent report to improve corporate
value by attempting to synchronize social value and economic value.
・ The ESG perspective is taken into consideration in each value chain, which suggests that it has been
well established in their corporate culture.
・ The medium- to long-term targets are carefully explained from both financial and non-financial
perspectives. We highly regard that palm oil supply chain management and a policy for plastic waste
reduction were announced ahead of other companies in the same industry.

〇 OMRON Corporation
・ The management with high corporate philosophy has been promoted aiming to create social needs
based on the SINIC Theory. We evaluate the idea of “unleashing” the corporate philosophy stated in
the Message from the CEO to be superb. We confirmed that the management philosophy has reacheda high level.
・ The information provided in the integrated report is rich enough and of such great use to investment
decision-making to an extent that we wonder if any problem could arise from such a generous

3
Copyright © 2021 Government Pension Investment Fund All rights reserved.

disclosure in terms of competition. This is a good example which shows that a company with
unparalleled business models can be positive in disclosure.
・ In the Message from the Chairman section, the Chair looked back and talked about the involvementof the Board of Directors in the process of transfer of one of the Company’s main businesses, theAutomotive Electronic Components Business. This demonstrates that the Board of Directors works
effectively.

〇 RICOH COMPANY, LIMITED.
・ The report provides abundant information disclosure based on a TCFD framework and concerning
diversity. Furthermore, responses to the COVID-19 pandemic are introduced in the special featuresection, which indicates the Company’s strategy to increase corporate value through countermeasuresagainst crises.
・ Vision for 2036, the medium-term strategy and short-term information are balanced well, and they
serve as useful tools to further our understanding of the Company, which is proceeding with atransformation into a digital services company. Furthermore, a list of disclosure information including
ESG information is provided for easy accesses to data other than the integrated report.
・ In the Risks and Actions section, the Company also mentions the impact on its growth strategy, which
would be a good reference for other companies.

〇 MARUI GROUP CO., LTD.
・ Regarding the Company’s “Co-creation Management,” a full range of information is provided on
initiatives for business and investments, sustainability, corporate culture and governance.
・ Each part of the content explaining the value creation process is unique and very persuasive, and astrong awareness of this uniqueness as a company for consumers leads to the strength of its businessmodel.
・ The breakdown of investments and value sought by stakeholders are illustrated using radar charts. In
particular, we highly evaluate the content of disclosure concerning stakeholders, as it has reached ahigh level.

[Key remarks on the “most-improved integrated reports” nominated by four ormore external asset managers]〇 NIPPON PAINT HOLDINGS CO., LTD.
・ The content of the overall report has improved, and it was well received that the Company has newly
disclosed the SASB Index although it was not further described in the report.
・ The corporate value creation process is explained well through the report, including the management
philosophy shared in the Message from the CEO section and the discussions with Outside Directors
aimed at the maximization of shareholder value (MSV). The report has improved dramaticallycompared to those from up to the previous year.
・ Since the M&A with Wuthelam, the descriptions concerning the maximization of the shareholder value
model and the identification process of materiality have increased, and the content has been improved
to include descriptions with a story line of value creation.
・ As the overseas businesses expanded, the Company reviewed materiality. Specific processes andmatrices are illustrated in detail, adding explanations of SDGs relating to each materiality, making thecontent easy to understands.

〇 DAITO TRUST CONSTRUCTION CO., LTD.
・ This report is very understandable since it explains the business environment surrounding theCompany, as well as issues and actions taken in response, by using specific data and figures. The
integrated report for 2020 has improved, and is more comprehensive. The structure of the report has
also been improved to make it easy to search for information.
・ The CEO message conveys a clear awareness of the problems caused by the COVID-19 pandemic,

4
Copyright © 2021 Government Pension Investment Fund All rights reserved.

and other issues concerning the materialization of the management targets and responses to thetrends of regulations. We highly regarded the positive attitude of such information disclosure.
・ The Company’s business models are explained after appropriately providing information which draws
attention such as compliance issues and loan problems with apartment houses.

〇 Ajinomoto Co., Inc.
・ Although the business strategy and the ESG items as the management base to support it wereseparated in the 2019 version, the ESG factors are included in the business strategy in the 2020
version. By implementing a backcasting method based on the Company’s idea of the future, moredetailed non-financial targets and KPI have been established than in the previous year.
・ The corporate vision for 2030 was set to become a “solution-providing group of companies for foodand health issues,” and the initiatives and outcomes are explained in an easy-to-understand manner.
Furthermore, the “Enhancing Human Capital” section discloses detailed initiatives from the viewpointof employees as important stakeholders, and the report indicates quantitative target values for 2030.
・ The message from the President and CEO clearly conveys the intent to enhance investments in nontangible assets for the purpose of achieving the vision for 2030 to become a “solution-providing groupof companies for food and health issues.” Also, the descriptions concerning non-financial initiatives
such as corporate culture reforms, the transformation of business models and operations, and theenhancement of human capital have been improved significantly.

〇 Mizuho Financial Group, Inc.
・ Compared with the report of the previous year, the descriptions have been changed in a manner that
displays an awareness of Mizuho’s “vision for the future.” The Company skillfully analyzes the changes
in the industrial structure within the banking business by coordinating the post-pandemic society, digitaltransformation, international and different types of industries.
・ With the improvement of information disclosure concerning the chain of command and supervisionfunction in the sustainability promotion structure, the disclosure of achievements regarding KPI andtargets of sustainability has increased.
・ The Group has been leading in promoting the TCFD framework among the major banks. The reportconcisely summarizes the key points of the internal efforts for governance, strategy, risk management,
indicators and goals of which the disclosure is required under the TCFD framework.

5
Copyright © 2021 Government Pension Investment Fund All rights reserved.

[Companies selected by GPIF’s external asset managers for excellent integrated reports]
CodeCompany name

1812

KAJIMA CORPORATION

Company name

4523

Eisai Co., Ltd.

6965

HAMAMATSU PHOTONICS K.K.

1925

DAIWA HOUSE INDUSTRY CO., LTD.

4536

SANTEN PHARMACEUTICAL CO., LTD.

7752

RICOH COMPANY, LIMITED.

1928

Sekisui House, Ltd.

4568

DAIICHI SANKYO COMPANY, LIMITED

7951

YAMAHA CORPORATION1963

JGC HOLDINGS CORPORATION

4612

NIPPON PAINT HOLDINGS CO., LTD.

7956

PIGEON CORPORATION

2267

YAKULT HONSHA CO., LTD.

4901

FUJIFILM Holdings Corporation

8001

ITOCHU Corporation

2269

Meiji Holdings Co., Ltd.

4902

KONICA MINOLTA, INC.

8031

MITSUI & CO., LTD.

2282

NH Foods Ltd.

5020

ENEOS Holdings, Inc.

8053

SUMITOMO CORPORATION

2502

Asahi Group Holdings, Ltd.

5332

TOTO LTD.

8113

Unicharm Corporation

2503

Kirin Holdings Company, Limited

5401

NIPPON STEEL CORPORATION

8252

MARUI GROUP CO., LTD.

2607

FUJI OIL HOLDINGS INC.

5411

JFE Holdings, Inc.

8303

Shinsei Bank, Limited

2802

Ajinomoto Co., Inc.

6005

MIURA CO., LTD.

8306

Mitsubishi UFJ Financial Group, Inc.

3086

J. FRONT RETAILING CO., LTD.

6098

Recruit Holdings Co., Ltd.

8308

Resona Holdings, Inc.

3116

TOYOTA BOSHOKU CORPORATION

6104

SHIBAURA MACHINE CO., LTD.

8309

Sumitomo Mitsui Trust Holdings, Inc.

3401

TEIJIN LIMITED

6268

Nabtesco Corporation

8591

ORIX CORPORATION

3407

ASAHI KASEI CORPORATION

6361

EBARA CORPORATION

8601

Daiwa Securities Group Inc.

3626

TIS Inc.

6471

NSK Ltd.

8630

Sompo Holdings, Inc.

4005

SUMITOMO CHEMICAL COMPANY, LIMITED6479

MINEBEA MITSUMI Inc.

8725

MS&AD Insurance Group Holdings, Inc.

Code

Code

Company name4021

Nissan Chemical Corporation

6501

Hitachi, Ltd.

8750

Dai-ichi Life Holdings, Inc.

4183

Mitsui Chemicals, Inc.

6645

OMRON Corporation

8766

Tokio Marine Holdings, Inc.

4186

TOKYO OHKA KOGYO CO., LTD.

6674

GS Yuasa Corporation

8802

Mitsubishi Estate Company, Limited

4188

Mitsubishi Chemical Holdings Corporation

6701

NEC Corporation

9020

East Japan Railway Company

4204

Sekisui Chemical Co., Ltd.

6702

FUJITSU LIMITED

9101

Nippon Yusen Kabushiki Kaisha

4307

Nomura Research Institute, Ltd.

6758

SONY CORPORATION

9201

Japan Airlines Co., Ltd.

4452

Kao Corporation

6770

ALPS ALPINE CO., LTD.

9613

NTT DATA CORPORATION

4507

Shionogi & Co., Ltd.

6869

SYSMEX CORPORATION

9719

SCSK Corporation

4519

CHUGAI PHARMACEUTICAL CO., LTD.

6963

ROHM COMPANY LIMITED

Note: The above list is composed of companies whose integrated reports were selected by external asset managers
as “excellent integrated reports.” (Listed in order of securities code)
The companies highlighted in blue were nominated by two or more external asset managers.

[Companies selected by GPIF’s external asset managers for most-improved integrated reports]
CodeCompany name

Code

1878

DAITO TRUST CONSTRUCTION CO., LTD.

4612

NIPPON PAINT HOLDINGS CO., LTD.

Company name

7994

Code

OKAMURA CORPORATION

Company name

1925

DAIWA HOUSE INDUSTRY CO., LTD.

4665

DUSKIN CO., LTD.

8001

ITOCHU Corporation

1928

Sekisui House, Ltd.

4689

Z Holdings Corporation

8012

NAGASE & CO., LTD.

1979

Taikisha Ltd.

4739

ITOCHU Techno-Solutions Corporation

8031

MITSUI & CO., LTD.

2181

PERSOL HOLDINGS CO., LTD.

4755

Rakuten, Inc.

8053

SUMITOMO CORPORATION

2269

Meiji Holdings Co., Ltd.

4901

FUJIFILM Holdings Corporation

8056

Nihon Unisys, Ltd.

2282

NH Foods Ltd.

4912

Lion Corporation

8058

Mitsubishi Corporation

2502

Asahi Group Holdings, Ltd.

4917

MANDOM CORPORATION

8113

UNICHARM CORPORATION

2503

Kirin Holdings Company, Limited

4922

KOSÉ Corporation

8252

MARUI GROUP CO., LTD.

2590

DyDo GROUP HOLDINGS, INC.

5020

ENEOS Holdings, Inc.

8283

PALTAC CORPORATION

2607

FUJI OIL HOLDINGS INC.

5401

NIPPON STEEL CORPORATION

8303

Shinsei Bank, Limited

2802

Ajinomoto Co., Inc.

5411

JFE Holdings, Inc.

8309

Sumitomo Mitsui Trust Holdings, Inc.

2811

KAGOME CO., LTD.

5713

Sumitomo Metal Mining Co., Ltd.

8316

Sumitomo Mitsui Financial Group, Inc.

3086

J. FRONT RETAILING CO., LTD.

5741

UACJ Corporation

8331

The Chiba Bank, Ltd.

3101

TOYOBO CO., LTD.

5801

Furukawa Electric Co., Ltd.

8363

The Hokkoku Bank, Ltd.

3231

Nomura Real Estate Holdings, Inc.

5947

RINNAI CORPORATION

8411

Mizuho Financial Group, Inc.

3289

Tokyu Fudosan Holdings Corporation

6005

MIURA CO., LTD.

8725

MS&AD Insurance Group Holdings, Inc.

3401

TEIJIN LIMITED

6301

KOMATSU LTD.

8766

Tokio Marine Holdings, Inc.

3407

ASAHI KASEI CORPORATION

6479

MINEBEA MITSUMI Inc.

9005

TOKYU CORPORATION

3591

WACOAL HOLDINGS CORP.

6645

OMRON Corporation

9062

NIPPON EXPRESS CO., LTD.

3941

Rengo Co., Ltd.

6770

ALPS ALPINE CO., LTD.

9101

Nippon Yusen Kabushiki Kaisha

4021

Nissan Chemical Corporation

6902

DENSO CORPORATION

9107

Kawasaki Kisen Kaisha, Ltd.

4063

Shin-Etsu Chemical Co., Ltd.

6952

CASIO COMPUTER CO., LTD.

9201

Japan Airlines Co., Ltd.

4091

NIPPON SANSO HOLDINGS CORPORATION

6971

KYOCERA CORPORATION

9202

ANA HOLDINGS INC.

4183

Mitsui Chemicals, Inc.

6988

NITTO DENKO CORPORATION

9302

MITSUI-SOKO HOLDINGS Co., Ltd.
The Kansai Electric Power Company, Incorporated

4186

TOKYO OHKA KOGYO CO., LTD.

7004

Hitachi Zosen Corporation

9503

4204

Sekisui Chemical Co., Ltd.

7272

Yamaha Motor Co., Ltd.

9504

The Chugoku Electric Power Company, Incorporated

4208

Ube Industries, Ltd.

7532

Pan Pacific International Holdings Corporation

9513

Electric Power Development Co., Ltd.

4452

Kao Corporation

7701

Shimadzu Corporation

9531

TOKYO GAS CO., LTD.

4523

Eisai Co., Ltd.

7741

HOYA CORPORATION

9613

NTT DATA CORPORATION

4536

SANTEN PHARMACEUTICAL CO., LTD.

7912

Dai Nippon Printing Co., Ltd.

9843

Nitori Holdings Co., Ltd.

4540

TSUMURA & CO.

Note: The above list is composed of companies whose integrated reports were selected by external asset
managers as “most-improved integrated reports.” (Listed in order of securities code)
The companies highlighted in blue were nominated by two or more external asset managers.

6

Copyright © 2021 Government Pension Investment Fund All rights reserved.