Editorial Policy
The Casio Corporate Report was first published in 2006, when the previous Corporate Social Responsibility Report , which detailed Casio’s social and environmental activities, and the previous Corporate Profile ,which covered Casio’s business areas and main products, were combined. Starting in 2010, environmental
and social initiatives will be published on the website, with the aim of disclosing them in a comprehensive and systematic way.

■ Differences in the Web and PDF version

Information stakeholders want to know

Sustainability Report 2010 (PDF)
Describes social and environmental initiatives
in fiscal 2010
This report provides the information that Casio believes
stakeholders most want to know, as well as information that
Casio especially wants to convey. It focuses on content with ahigh level of importance to both society and Casio, and gives
details on those initiatives.

PDF version

CSR & Environmental Website
Together with the Sustainability Report 2010 (PDF), this website
contains the latest topics, news, supplemental data, and related
information on the company’ s environmental and social
initiatives.

WEB version
Information Casio especially wants to convey

The “information stakeholders want to know” includes third-party opinions, reader opinions
and requests concerning the 2008 report, items listed in the guidelines below, and items fromquestionnaires such as socially responsible investment (SRI) surveys. The “information Casio
especially wants to convey” includes topics selected based on Casio’ s corporate creed, theCharter of Creativity for Casio, and the Casio Group Code of Conduct.

Guidelines used as a reference
Environmental Reporting Guidelines (2007 Edition) and Environmental Accounting Guidelines 2005 issued by Japan's Ministry of the Environment, and Sustainability Reporting Guidelines 2006 of the Global
Reporting Initiative (GRI).

Forecasts and forward-looking statements
The future forecasts and forward-looking statements published in this report for Casio Computer Co., Ltd.,and the Casio Group are based on information available at the time of publication. These forecasts andstatements include potential risk and uncertainty, and the reader should be aware that the actual resultsof business activities may differ from these predictions.

Inquiries
Casio Computer Co., Ltd.
http://world.casio.com/
For inquiries on CSR in general:
CSR Operations Section
Address: 1-6-2 Honmachi, Shibuya-ku, Tokyo 151-8543
Tel.: +81-3-5334-4901 Fax: +81-3-5334-4547
E-mail: csr-report@casio.co.jp
For inquiries on environmental issues:
Environment Center
Address: 3-2-1 Sakae-cho, Hamura-shi, Tokyo 205-8555
Tel.: +81-42-579-7256 Fax: +81-42-579-7718
E-mail: eco-report@casio.co.jp

1

Scope of the report
PeriodThis report covers fiscal 2010 (April 1, 2009 to March 31, 2010), and also includes some information pertaining to years before and after fiscal 2010.

IssuedOctober 2010 (Previous publication: October 2009, next publication planned: October 2011)

Coverage
Some information in this report applies only to the parent company, Casio Computer Co., Ltd., while othermaterial refers to the entire Casio Group.
Further clarification is provided in each case, as needed.
The name “Casio” in this report indicates the Casio Group, while “Casio Computer Co., Ltd.,” refers only
to the parent company.
The scope of the environmental accounting and impact data in this report includes 10 sites of Casio Computer, Co., Ltd., in Japan, 17 group companies in Japan, and 23 group companies outside Japan.

Contents
Editorial Policy
Scope of the report
Message from the President
Business Overview

001
002
004
006

■ Special Feature
Environmental Vision
Green Star Products
Talking About the Future with Young People

013
021
024

■ Management
Casio's Corporate Creed and Approach to CSR
CSR Promotion System
Corporate GovernanceCompliance and Risk Management

028
030
034
036

■ Customers
Product Development and Design Initiatives
Intellectual Property Initiatives
Customer Satisfaction & Quality Assurance
Stable Supply of Products

041
045
050
057

■ Suppliers
Building Strong Partnerships

059■ Shareholders and Investors
Responsibilities to Shareholders and Investors

062■ Employees
Respect for Human Rights
Building Workplaces for a Diverse Workforce
Creating Supportive Workplaces
Motivating Employees to Take on Challenges
Initiatives for Health and Safety

064
065
068
070
073

2

■ Society
Responsibilities to Society

076■ Environment
Environmental Action Plan (Targets and Performance)

083

Material Balance
Performance Data
Logistics
PackagingGreen Procurement and Purchasing
Printer Initiatives
Environmental Accounting
Environmental Compliance
Environmental Management
Environmental Communication
Biodiversity

086
090
098
100
101
103
105
107
110
112
115

Independent Opinion of the Sustainability Report 2010
Responses to the Independent Opinion of the 2009 Report

117
119

3

Message fromthe President

Casio remains essential to society because
we continually strive to live up to our corporate creed of “Creativity and Contribution.”

It’s in Casio’s DNA to make something from nothing-to go from “0” to “1”All along, Casio has been developing completely new products that have never existed before, and has
created new markets and inspired cultural developments as a result. True to its identity as a company, Casio has done this time and again since its founding.
In 1957, when foreign-made calculators were dominating the Japanese market, Casio got its start with thedevelopment of the “Casio 14-A,” the world’s first compact, fully electric calculator. This calculator was
small, extremely quiet and had a rapid calculation speed, enabling it to instantly penetrate the calculator
market.
Since then, Casio has continued to develop new calculators with ever-more advanced arithmetic elements. In 1972, the company developed the “Casio Mini,” the world’s first personal calculator and theprototype of all calculators in use today. This product was an instant success, and calculators went frombeing a piece of office equipment, to a household item. By providing the market with a calculation tool
based on a completely new concept, Casio helped to change people’s lifestyles and the broader culture.
Casio did the same thing with timepieces. By transforming the conventional personal timepiece, which
had to be handled as carefully as jewelry, into a tool for everyday use by adopting a strong plastic case,
we created digital watches that provide various forms of time-related information. The G-Shock watch isthe prime example of this, and it still enjoys widespread popularity around the world. Globally, G-Shockhas sold the largest number of units of any watch under a single brand.
We repeated this kind of innovation in the field of musical instruments. It began with the desire to take anacoustic instrument sound that could only be produced by a highly practiced musician and transform it
into a product that anyone could easily play. This led Casio to develop electronic keyboards that produce avariety of instrument sounds with the touch of a key. These products became popular worldwide and created a whole new market.
Casio’s next innovation came in the area of digital cameras. In 1995, Casio launched the world’s first digital camera with an LCD screen. This camera gained instant popularity as a convenient device for capturing
digital images and transferring them to a computer. Today, this kind of technology is universal, and filmless cameras are the norm.
None of these products were created based on consumer requests. Casio developed them first, then introduced them to the world as innovations. One by one, they earned outstanding consumer support for
their convenient, fun, and environmentally friendly features.
By developing products that have never existed before, and making them useful tools for everyday life,
Casio has helped to make life more convenient and enriching for people the world over, while also inspiring new cultural developments. In short, this is the story of how Casio has delivered on its corporate
creed of “Creativity and Contribution.”

Strengthening management culture and continuing to fulfill the corporate creed
As you may know, Casio’s business performance took a hit from the global economic recession sparked
by the recent financial crisis beginning in the US. However, we are now seeing a recovery in earnings after reorganizing to focus resources on priority businesses.
Specifically, on April 1, 2010, we transferred Casio’s TFT liquid crystal business to a joint venture established with Toppan Printing. This diversified risk in a field which requires massive long-term investments
to succeed, where continuing independently posed heavy risks. Then, on June 1, 2010, we transferred ourcellular phone business to a joint venture established with NEC. This was necessary for a variety of reasons including the enormous development costs for a single product model, the maturity of the Japanesecellular phone market and consequent difficulty of selling enough units to recoup investment, as well as
the enormous size of competitors in the global market. By entering business alliances with these powerful partners, Casio aims to increase its investment efficiency so that “one plus one”equals more than “two.”4

Meanwhile, we continue to see growth in our Stable Businesses, which have long enjoyed high profit
rates. Timepieces, electronic dictionaries, electronic musical instruments, and system devices are businesses areas in which Casio has many years of experience. We are now developing competitive productswith even more efficiency following the integration of our development and sales departments. We arealso pursuing even more precisely targeted sales activities in markets outside Japan. We expect these efforts to deliver steadily growing sales and improved profit rates.
The key to Casio’s business performance expansion is the digital camera business. This is one of the markets that Casio helped to create—when we introduced the world’s first digital camera with an LCD screen.
However, the Japanese market for compact digital cameras is currently saturated, and the unit productprice is also trending downward. By providing products with new features such as high-speed and composite moving-image creation technologies, Casio is offering consumers revolutionary ways to enjoy digital photography. This is our strategy to keep expanding the digital camera market and help to broaden theculture of imaging.
Casio is also actively promoting new businesses. We have already created new markets and inspired new
cultural developments through the digitization of calculation, timekeeping, music making, and photography. Now we are working on the digitization of painting by utilizing the technology and expertise that
Casio has acquired over the years.
Decade after decade, Casio has created new markets and cultural gems by fulfilling our corporate creedof “Creativity and Contribution.” The key to it all has been developing unique products that only Casio cancreate. I believe this is Casio’s reason for existence. Going forward, we will continue striving to be a company valued by society.
While promoting our business activities, we will continue to listen with sincerity to public opinion bycommunicating with our stakeholders. At the same time, we will be sensitive to the changes in society,and move forward with society in a suitably responsive way.
In terms of environmental issues, I am deeply aware that global warming is a great concern. Casio has
set medium and long-term reduction targets for the total volume of greenhouse gases generated by our
global business activities. We are also working to accelerate our current environmental initiatives.
In closing, let me invite you, as a valued stakeholder, to share with us your comments and suggestions
for improvement.

President and CEO

Kazuo Kashio

5About the Casio Group

Business
Overview

Company Data (As of end of March 2010, fiscal year ended March 31, 2010)
Name: Casio Computer Co., Ltd.
Headquarters: 1-6-2, Hon-machi, Shibuya-ku, Tokyo, Japan
Established: June 1, 1957
President & CEO: Kazuo Kashio
Employees: 2,869 (consolidated: 12,247)
Paid-in capital: ¥48,592 million
Net sales: ¥427,925 million (consolidated)
Operating loss: ¥29,309 million (consolidated)
Ordinary loss: ¥25,082 million (consolidated)
Net loss: ¥20,968 million (consolidated)

Global Presence■Sales¥59,373 million■Sales■Number of subsidiaries

Europe9■Employees

Americas713■SalesAsia and Others¥35,047 million■Number of subsidiaries

6■Employees¥26,017 million■Numberof subsidiaries
14■Employees
4,997■Sales¥307,488 million■Number of subsidiaries

21■Employees

Japan

6,274

■Sales by region ／●Number of consolidated subsidiaries by region(Fiscal year ended March 31, 2010; as of March 31, 2010)

6263

Main Businesses
Casio provides products that make the most of its unique digital technologies to create new demand inglobal markets. Casio develops its products by envisioning what users truly want and need, and constantly works to make them more compact, lightweight, and energy efficient. Casio will keep creating productswith superior environmental performance and products with great functions that no one has ever experienced before.
* The products and services presented here are based on business composition as of June 2010. Cellular phones are made by NEC CASIO
Mobile Communications, Ltd.

Digital cameras
Casio digital cameras deliver outstanding performance in fundamentals like image quality, processing
speed, and battery life, but that’s not all. They also offer people entirely new ways to do digital photography--ultra high--speed burst shooting made possible by Casio’s high-speed image processing technology,
and a revolutionary function for creating composite moving images right on the camera. Casio is overturning conventional thinking about what a camera can do, and has the second largest share of the Japanese compact digital camera market (according to a 2009 GfK Japan survey).

HIGH SPEED EXILIM
EX-FH100EXILIM ZOOM
EX-Z2000

EXILIM G
EX-G1

Electronic dictionaries
At over 50%, Casio has the top share of the electronic dictionary market in Japan (according to a 2009 GfKJapan survey). The company offers a full lineup of products for diverse customer segments including highschool students, foreign language learners, and businesspeople. While delivering ease of use throughintuitive touch-panel operations and easy-view color screens, Casio’s electronic dictionaries appeal to theuniversal desire to learn and are packed with all the resources people need to get the job done.

EX-word
XD-A10000

7

Calculators
Casio also commands the largest portion of the calculator market in Japan, with a share of over 50% (according to a 2009 GfK Japan survey). The company has sold over 1 billion units worldwide. The diverse
lineup of models ranges from practical business calculators that meet the needs of accounting and finance experts, to scientific calculators that are useful for mathematics education. Casio calculators are
popular worldwide thanks to their convenient functions and superior quality.

DS-20DT

fx-993ES

Label printers and photo printers
Casio products meet a diverse range of printing needs from the home to the office. Casio’s unique label
printers and photo printers can be used as stationery tools. The Name Land conveniently prints beautiful
labels, and the Purinsharu prepares and prints custom postcards without a computer.

NAME LAND
KL-T100

Purinsharu
PCP-1300

Electronic musical instruments
Casio makes the joy of playing music available to more people by developing electronic musical instruments that are easy to play and produce beautiful, natural sound. There is a Casio musical instrument forpeople at every stage of the musical journey--from electronic keyboards for beginners with keys that lightup to show where the fingers should go, to electronic pianos with the beautiful sound and rich power of
expression of a grand piano. Casio instruments continue to captivate, making music accessible to all.

PriviaPX-8308

Timepieces
Casio provides highly appealing timepieces under the G-Shock, Oceanus, Protrek, and other brands. Casio’s timepiece product development and marketing approach are unique, driven by advanced electronic
technologies, such as a solar-powered radio-controlled function that can receive standard time signals
from six radio towers worldwide. In 2009, Casio surpassed the 50-million unit mark for shipment of GShock watches. Casio has the top share of the global market for radio-controlled watches.

OCEANUSOCW-S1400

G-SHOCK
GWF-1000

IDC-510J

Cellular phones
Casio develops innovative cellular phones for the Japanese and US markets. Casio’s cellular phones makethe most of toughness technologies from the company’s other waterproof and shock-resistant products
and offer advanced camera performance based on Casio’s work with the Exilim digital camera.

au
Exilim Keitai
CA005

Data projectors
Casio’s slim, high-brightness data projectors are getting more portable than ever thanks to the company’s
cutting-edge optical and high density packaging technologies. Using its proprietary Laser & LED HybridLight Source, Casio now offers a mercury-free high-brightness projector. Count on Casio for more nextgeneration projectors.

XJ-A145

9

Page printers
Casio’s page printers are both environmentally friendly and economical, leveraging a unique, all-in-one
system that includes the main printer unit, the toner and the printing software. Casio was the first in theindustry to offer toner featuring a carbon offset, and also provides free printing tools to help users save
paper. Users appreciate all these advanced features.

SPEEDIA
N3600

Electronic cash registers
Casio has the largest share of the electronic cash register market in Japan (according to a 2009 RJC Research survey), thanks to an extensive offering of functions and uses. With the 2007 development of the
Net Register service, which enables users to perform sales tracking and management over an Internet
connection, Casio cash registers are popular with restaurants and retailers.

TE-5500

Handheld terminals
Casio is bringing the benefits of IT to a variety of different fields with its lineup of handheld terminals thatare both durable and easy to use. The terminals have a wide range of applications—from back-end operations such as inventory management to front-end operations like retail customer service. Casio handheld
terminals also serve as communication tools to promote better operational efficiency.

DT-5300

10

System Solutions
Casio Information Systems develops specialized systems for various industries, business types, and operations. One such system solution is Rakuichi, which provides support for sales management, accounting, and payroll operations at small and medium-size companies. Casio Human Systems offers the ADPS
Personnel System and other tools to support the effective use of human resources.

RakuichiElectronic components
Casio Micronics is engaged in consignment production of cutting-edge semiconductor packages (WLP),
which are used in many devices including cellular phones. Kofu Casio manufactures electronic components such as small and medium-sized STN/TN LCDs.

WLP

Molds and plastic molding
Utilizing the molding technologies it has developed for making Casio products, Yamagata Casio is engaged in consignment production of molds, and the molding of plastic parts for cellular phones and electronic components in automobiles.

Mold design

11Sales by Segment and Region■ Fiscal 2010 Sales by Segment (Consolidated)
Electronic Components and Others segment

Sales: ¥47,335 million

Others category
Sales: ¥26,947 million
Molds, etc.

Electronic Components category

Sales: ¥20,388 million
LCDs, BUMP processing
consignments

Electronics segment

Sales: ¥380,590 million

6.3%
4.8%
8.2%

System Equipment category

Sales: ¥35,113 million
Electronic cash registers(including POS systems),
office computers, page
printers, data projectors

24.7%

37.8%

¥427,925
millionConsumer category

Sales: ¥161,718 million
Calculators, label printers, photo printers,
electronic dictionaries, digital cameras, electronic
musical instruments

Timepieces category

Sales: ¥78,074 million
Digital watches, analog watches, clocks

18.2%

MNS category

Sales: ¥105,685 million
Cellular phones, handheld terminals■ Sales by Region
Asia and others

Europe FY2010 net sales¥427,925 million

Japan

North
America

Note on change in segment composition
As a result of the transfer of the TFT business to Toppan Printing Co., Ltd., in April 2010 and the transfer ofthe cellular phone business to NEC Corporation in June 2010, the financial reporting product segments for
Casio will be changed as follows, starting in fiscal 2011 (April 1, 2010 to March 31, 2011).
Segment

Main products

Calculators
Label printers and photo printers
Electronic dictionaries
Consumer

Digital cameras
Electronic musical instruments
Digital watches
Analog watches
ClocksElectronic cash registers（including POS systems）
Office computers

System Equipment

Page printers
Data projectors
Handheld terminals
LCD

OthersBUMP processing consignments
Molds, etc.

12

Environmental Vision
Special Feature

Casio is working hard to help build a sustainable society. Its initiatives, based on
the Casio Environmental Vision, adopt a long-term perspective with a target date of2050.

Environmental Management Policy: Initiatives to combat climate change“Casio's goal is to become carbon neutral byleveraging its ability to develop compact,
lightweight, slim, and energy-efficient products tocreate new markets and cultural phenomenon.”
Executive Vice President & Representative Director

Yukio Kashio

All around the world today, the effort is on to reduce greenhouse gas emissions, and awareness of thethreat of climate change is growing. In December 2009, the Fifteenth Session of the Conference of Parties to the United Nations Framework Convention on Climate Change (COP15) was held in Copenhagen,Denmark. The Parties agreed on a long-term climate change prevention goal for the year 2050, to limit the
average rise in global temperature to no more than two degrees Celsius above pre-industrial levels. Eachparticipating country was to submit its emissions reduction plans to the UN by the end of January 2010.
These plans are expected to be achieved by 2020 in order to reduce greenhouse gas emissions as soon as
possible.
As an industrialized country, Japan has pledge to achieve a 25% reduction in its greenhouse emissions by
2020, and an 80% reduction by 2050, compared to 1990 levels.
■ CO2 emission reduction targets for 2020 made by principal countries
RegionBase Year

Reduction Target

Japan

1990

25% reduction

Entire EU

1990

20% or 30% reduction

US

2005

17% reduction

Canada2005

17% reduction

Russia1990

15% to 20% reduction

China

2005

40% to 45% reduction (GDP basis)

India

2005

20% to 25% reduction (GDP basis)

13

Given these global trends, in August 2009, Casio completely revised its Casio Environment Charter and its
Environmental Fundamental Policies. The new policies were re-released as the Environmental Vision andthe Environmental Declaration. Then, in February 2010, Casio announced medium and long-term greenhouse gas reduction targets.
Based on this situation, the awareness of general consumers of the environment is growing worldwide.
In Europe, North America and Japan, for example, the concept of carbon footprint is already being used,particularly for food products, and it is expected that the ISO will issue a policy on carbon footprint labeling by March 2011. This will enable people to tell at a glance which products cause minimal CO2 emissions,and will help them to choose better products.
Many retailers are actively expanding their use of suppliers with strong environmental initiatives. In North
America, companies such as Wal-Mart, Target, and Costco are carrying out their own environmental surveys of suppliers, and reviewing the business with those that do not meet their environmental standards.
There are also an increasing number of socially responsible investment (SRI) funds and other ecologicalfunds that invest in companies with high standards for environmental management. Financial institutions
also offer preferential interest rates to ecologically sound companies.
In other words, society demands that companies have strong performance in environmental management. Companies that fail to meet these new standards will not survive long in this new era.

Development of Green Star Products
Environmental considerations are an important part of product development. Since its founding, Casio’s
core competence has been developing compact, lightweight, slim, and energy-efficient products. In fiscal
2002, the company began raising the bar for its environmental technologies by launching Green Products.
In order to promote lower environmental impact throughout the product lifecycle, Casio then establishedthe Green Star Concept. Casio products that meet these standards are certified as Green Star Products. By
placing a Green Star logo on these products and disclosing their specific environmental features, Casio
aims to demonstrate its environmental commitment to general consumers. Casio’s goal is to ensure that
Green Star Products make up at least 30% of its total sales by 2012.

Combating climate change by providing products that enable paperless lifestyles
By promoting paperless lifestyles, Casio can help offset its CO2 emissions from business activities. Thisis because paperless lifestyles save natural resources and reduce CO2 emissions arising from the manufacture, use and disposal of paper. Moreover, by helping to avoid the logging of forests, which serve toabsorb CO2 from the atmosphere, Casio is aiming to offset its emissions and ultimately to become carbon
neutral. In other words, Casio’s goal is nothing short of reducing its net environmental impact to zero.

Biodiversity protection initiatives
In October 2010, the Tenth Meeting of the Conference of the Parties to the Convention on Biological Diversity (COP10) will be held in Nagoya, Japan. The Basic Act on Biological Diversity was established in Japan
in 2008, and the Ministry of the Environment has issued the Guidelines for Private Sector Engagement in
Biodiversity, and Nippon Keidanren (Japan Business Federation) has issued its own Declaration of Biodiversity. In the effort to preserve the global environment, not only is the fight against climate change crucial, but also the drive to protect biodiversity. In 2010, Casio will establish biodiversity protection guidelines. The company will carry out an evaluation of the impact of all its business areas, identify issues, andestablish themes for initiative themes by 2011.
Casio is serious about its potential to help build a sustainable world, not only through its products, butalso through its efforts to protect the global environment.

14

Environmental Management Policy: Helping to build a low carbon society
The planet is faced with various environmental issues today, including climate change, resource depletion, pollution caused by chemical substances, and dwindling biodiversity. Climate change in particular
has become a pressing issue for the entire world.
The amount of greenhouse gas emissions now being produced worldwide far exceeds the acceptablelevel. In order to halt the scope and severity of the impact of climate change, and to secure the sustainability of the planet, it has become vital for the whole world to work together to establish medium- andlong-term targets as soon as possible, and to begin the process of achieving them.
Given this situation, Casio recognizes the importance of establishing new targets from a long-term perspective, drawing up appropriate measures, and launching initiatives to achieve these new targets.

International developments in the fight against climate change
At the G8 summit held in L'Aquila, Italy, in July 2009, the leaders’ declaration included a clear statement
on climate change. The statement included support for targets to reduce greenhouse gas emissions in industrialized countries by 80% or more by 2050 compared to the level in 1990, or other more recent years.
It also recognized the broad scientific view that the increase in global average temperature above preindustrial levels ought not to exceed two degrees Celsius.
At the UN Summit on Climate Change held in September 2009, Japan announced that it would achieve a
total-volume greenhouse gas emissions reduction of 25% by 2020, compared to the 1990 level.
The Fifteenth Session of the Conference of Parties to the United Nations Framework Convention on
Climate Change (COP15) was held in Copenhagen, Denmark, in order to discuss a new climate change
framework to take effect after the Kyoto Protocol expires in 2013. The participants debated the setting ofgreenhouse gas reduction targets by each country for achievement by 2020 and 2050. Although the participants were not able to set definite targets, they released the Copenhagen Accord, summarized below.

Main Points of the Copenhagen Accord

・Long-term target: To keep global temperature rise below two degrees Celsius above preindustrial levels
・Reduction target: Each country to decide 2020 greenhouse gas reduction targets by the endof January 2010.
・Support for developing countries: Industrialized nations to provide developing countries witha total of USD 30 billion from 2010 to 2012, and USD 100 billion by 2020.

Following the announcement of the Copenhagen Accord, the next step is for each nation to submit its
medium-term target for 2020. Based on the premise of building an international framework that ensures
the fair and effective participation of all the principal countries, Japan announced its target for a 25% reduction in greenhouse gas emissions by 2020, compared to 1990.
In addition to this 2020 target, the Japanese Cabinet also approved a bill on the Act on Promotion of Global Warming Countermeasures, which mandates an 80% reduction in greenhouse gas emissions by 2050,
compared to 1990.
This new law requires the creation of an emissions trading system in Japan, the investigation of a global
warming tax, and the expansion of the Feed-in Tariff system for renewable energy.
A schedule, or medium- and long-term roadmap, is also being investigated for the achievement of themedium- and long-term targets.

Approach to setting medium- and long-term targets
Given these developments, Japanese industry has been considering various measures. Casio has also decided to make a new start on building a low-carbon society by releasing its own medium- and long-termtargets.
With the establishment of these medium- and long-term targets, Casio intends to reduce its greenhousegas emissions significantly. Moreover, the company is emphasizing its goal of becoming carbon neutral,* 1
which means reducing Casio’s net greenhouse gas emissions to zero. Accordingly, Casio has adopted thefollowing Environmental Management Policy.

15

Casio’s goal is to become carbon neutral by leveraging its ability to develop compact, lightweight,
slim, and energy-efficient products to create new markets and cultural phenomenon.

*1. Casio defines“carbon neutral”as offsetting its direct CO2 emissions with CO2 emissions reduction and absorption through other methods.

Scope of emissions reduction targets
When Casio established its medium- and long-term emissions reduction targets, it also announced thetarget scope as greenhouse gas emission from business activities at Casio’s production sites and offices
in Japan and around the world. Furthermore, Casio is aiming to become a carbon neutral company byoffsetting its total volume of greenhouse gas emissions (including the CO2 emissions resulting from logistics, product usage, employee travel, and consignment production) with the reduction effects of Casio’s
eco-products such as data projectors, electronic dictionaries and other products that promote paperless
lifestyles.
In addition to the CO2 emissions reduction achieved by the efforts of the Casio group, the target CO2 emissions reduction also includes reductions due to the availability of cleaner energy such as electricity, anddue to carbon reduction in the entire social infrastructure (see diagram).

■ CO2 Emissions Reduction Targets
Share of reduction
from Casio’s own efforts

CO2 emissions from businessactivities (direct emissions)
Scope of announced targets

Share of reduction
from carbon
reduction in thesocial infrastructure

CO2 emissions arising fromthe use of energy-saving
products (indirect emissions)
CO2 emissions that can beabsorbed due to promotion of
paperless products (offset amount)Base year
2006

Current
situation

2021
target2051
targetSwitching to total-volume emission reduction targets
With the setting of global medium- and long-term targets, total-volume emissions reduction targets forgreenhouse gases have been established in Japan and around the world, including reduction targets andemission trading systems. Casio has now finished the move to total-volume emissions reduction targets.
Casio had already set targets for the total volume of greenhouse gas reduction at its offices worldwide.
However, with the establishment of its recent medium- and long-term targets, Casio has now set worldwide targets for reductions in the total volume of CO2 emissions, which is a change from previous targets
for reduction per unit of production.
The base year for Casio’s medium- and long-term targets is fiscal 2006, decided based on changes in Casio’s business structure, as well as the scope and accuracy of data acquisition.

Carbon neutral calculation examples
Casio is looking into trial calculations for its reduction of greenhouse gases based on the use of Casio’s
eco-products and, in particular, products encouraging the transition to a paperless society.
The company’s current target products for this paperless initiative are data projectors and electronic dictionaries. Casio’s approach to greenhouse gas reduction is as follows. The use of paper causes CO2 emissions during manufacturing. However, when paperless products such as data projectors and electronic
dictionaries are used, CO2 emissions are reduced during use of the product as a result of less paper being
manufactured and consumed. Although CO2 is still emitted during the manufacture and use of paperless
products, the net CO2 emissions are calculated by offsetting this by the CO2 emissions avoided throughthe use of paperless products.

16

When using a data projector
If meetings of ten people each given 10-page information packets are held twice a week, or 100 times
a year, and this continues for five years, a total of 50,000 sheets of paper will have been used. Usinga data projector for the same meetings would prevent the logging of trees to make the 50,000 sheetsof paper, enabling the trees to continue absorbing CO2. It would also avoid CO2 emissions from the
manufacture of the 50,000 sheets of paper, and the emissions from operating the printer to make the
50,000 copies. However, assuming that each meeting using the data projector is about 3.5 hours, theemissions from the resulting electrical usage also need to be taken into account.
Calculating using the above approach, use of the Casio data projectors sold in fiscal 2010 would result in an annual reduction of about 16,000 tons of CO2.

When using an electronic dictionary
Most Casio electronic dictionaries today contain as many as 100 dictionaries in one unit. Without one ofthese electronic dictionaries, it would be almost impossible for the average person to assemble the same
number of dictionaries in paper form. Accordingly, it can be assumed that the typical Japanese consumer
would actually only use the following paper dictionaries: a Japanese dictionary, an English-Japanese dictionary, and a Japanese-English dictionary. Any other paper dictionaries would probably be used at a library.
Therefore, the CO2 reduction benefit of an electronic dictionary would be the CO2 emissions from paper
manufacturing, and the CO2 no longer being absorbed by the trees logged to make the paper dictionaries.
On the other hand, assuming that the electronic dictionary is used for an hour a day, 100 days a year, forfive years, the corresponding amount of emissions from electrical use also has to be taken into account.
Calculating using the above approach, use of the Casio electronic dictionaries sold in fiscal 2010
would result in an annual reduction of about 8,000 tons of CO2.

Medium- and long-term targets
Based on its approach to setting medium- and long-term targets, Casio’s goal is to become carbon neutral. In order to keep global temperature rise below two degrees Celsius above pre-industrial levels, Casio
has set a long-term target of an 80% reduction in greenhouse gas emissions by fiscal 2051, compared tofiscal 2006.
In order to achieve this long-term target, Casio has set a medium-term target of at least a 30% reduction
in greenhouse gas emissions by fiscal 2021, compared to fiscal 2006 (see diagram).
■ Casio Group Greenhouse Gas Emissions

2051

2041

2031

2021

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

Base YearHighlight

Casio group’s medium- and long-term targets for greenhouse gas emissions reduction

・Medium-term target: To reduce the total volume of global greenhouse gas emissions from business activities by 30% compared to fiscal 2006, by fiscal 2021.
・Long-term target: To reduce the total volume of global greenhouse gas emissions from business activities
by 80% compared to fiscal 2006, by fiscal 2051.
* Business activities: This indicates activities of production sites and offices in Japan and overseas, and does not include CO2 emissions
from logistics, product usage, or employee travel.

17

Measures for achieving medium- and long-term targets
In order to achieve its medium- and long-term targets for fiscal 2021 and 2051, Casio will steadily promote
the following three points relating to initiatives for greenhouse gas reduction, taken from the five pointsof the Casio Environmental Declaration.

1. CO2 reduction and absorption
In order to contribute to the realization of a low-carbon society, Casio will work to create products that reduce CO2 and systems that absorb CO2 more than ever before.

2. Utilization of clean energy
Casio will work to create products and systems using energy sources that are easy on people and theplanet.

3. Adoption of renewable energy in business activities
Casio will undertake its business activities based on the adoption of renewable energy resources such as
solar, wind, and water-powered energy.

Measures for fiscal 2021
Casio is studying the potential of the following initiatives to achieve the medium-term target for fiscal
2021. It will also strive to assess as quickly as possible their potential to help meet the fiscal 2051 target.
1. Reduction of CO2 emissions in various business activity processes
・Materials procurement, product manufacturing, transport and distribution, product usage, recycling, and disposal
・Expansion of the scope of CO2 emission data gathering on logistics, transport efficiency improvement, and modal shift
・Making production facilities more energy efficient, and improving production processes
2. Increasing the percentage of non fossil-fuels used at sites
・Installation of LED lighting
・Installation of solar panels
3. Environmental contribution through product usage
・Reducing the amount of electricity used by products
・Minimizing and optimizing the amount of product packaging
・Increasing the percentage of products that run on solar cells
4. Utilizing carbon offsets
・CO2 absorption effect based on the expansion of paperless products (reducing demand for logging,etc.)
・Purchasing carbon offsets for products
・Promoting tree planting and greening
・Emissions trading, Clean Development Mechanism (CDM), and Joint Implementation (JI)

Environmental Management Policy themes for fiscal 2011
For the current year, fiscal 2011, Casio has set and is promoting the following four Environmental Management Policy themes, based on a medium- and long-term perspective towards fiscal 2051.

18

Environmental Management Policy: Theme 1
Casio’s goal is to become carbon neutral by leveraging its ability to develop compact, lightweight,
slim, and energy-efficient products to create new markets and cultural phenomenon.
・Medium-term target: To reduce the total volume of global greenhouse gas emissions from businessactivities by 30% compared to fiscal 2006, by 2021.
・Long-term target: To reduce the total volume of global greenhouse gas emissions from business activities by 80% compared to fiscal 2006, by 2051.
* Business activities: This indicates activities of production sites and offices in Japan and overseas, and does not include CO2 emissions
from logistics, product usage, or employee travel

Environmental Management Policy: Theme 2
Casio will obtain environmental performance data as part of its management activities, such as total
emissions that include emissions from Casio and its consignees.

Environmental Management Policy: Theme 3
Casio will promote Green Office and Green Star Product development.
・Green IT promotion
・Green Star Product development
・Strengthening compact, lightweight, slim, and energy efficient technologies
・Introduction of carbon footprint labeling

Environmental Management Policy: Theme 4
Casio will establish guidelines for biodiversity protection■ Casio Environmental Vision

Environmental Management for 2050
Since its founding, Casio has been providing consumers with innovative products by creatingcompact, lightweight, slim, and energy efficient technologies. We have helped to create newmarkets and inspired new cultural phenomenon by enabling people everywhere to acquire
products that were previously out of their reach.
Casio's environmental initiatives began in earnest in the 1990s with efforts to comply with environmental regulations and to avoid pollution risk. These activities have since grown into an
Environmental Management system that simultaneously pursues environmental conservationand healthy profits.
Now humankind must solve climate change and energy resource problems on a global scale.
Lifestyles based on mass production and mass consumption are being called into question, andbuilding a low-carbon society has become an important global issue. In this light, Casio must
reexamine the uniquely "Casio" way that people expect it to create products and serve society.
It is obvious today that the information and electronic data that individuals possess and use areextensively shared across information networks. This highlights the importance of focusing on
the growing business in software that enables each piece of hardware to be used for a longer
period of time.
A society that conserves energy and does not rely on traditional resources must be built. In thiseffort, new ways of performing office work including paperless systems, green offices, green
IT, and teleworking will no doubt become more popular. Casio also envisions a future where
people will more seriously address the rejuvenation of the depleted global environment, while
seeking to create more value in harmony with nature and the planet's living things.
Across its business operations, Casio is planning and implementing new measures with a target
date of 2050 to help realize sustainable use of the global assets of energy, resources, and living
things, and coexistence with them. Casio aims to become a leading environmental company
that contributes to the richness of the human spirit, as well as a healthy global environment, by
creating a new sense of values and fostering lifestyles that result in completely new markets
and cultural phenomenon.

19

■ Casio's Environmental Declaration

Casio's Environmental Declaration
1. CO2 reduction and absorption
In order to contribute to the realization of a low-carbon society, Casio will work to create
products that reduce CO2 and systems that absorb CO2 more than ever before.

2. Utilization of clean energy
Casio will work to create products and systems using energy sources that are easy on
people and the planet.

3. Effective use of resources
Casio will work to create products and systems that limit the use of substances and materials with high environmental risks, and that make use of alternative materials.

4. Adoption of renewable energy in business activities
Casio will undertake its business activities based on the adoption of renewable energy
resources such as solar, wind, and water-powered energy.clean&green

5. Protection of ecosystems
Casio will work to operate with respect for nature and all living things, and ensure its business activities are in harmony with natural ecosystems.

Highlight

Carbon Disclosure Project (CDP)
Casio Computer Co., Ltd., was included in the Carbon Disclosure Leadership Index
2009 in the Japan 500 Report, which is a list of Japanese companies with outstanding initiatives and information disclosure in the fight against climate change.
A non-profit organization, the Carbon Disclosure Project (headquartered in the UK)
carries out a survey every year in order to select and list the leading companies. The
goal is to encourage institutional investors to invest in companies that actively promote climate change prevention initiatives. This year, based on a survey of 500 major
Japanese companies, Casio Computer Co., Ltd., and 30 other Japanese companies
were selected.
Casio will continue to help conserve the global environment by promoting environmental management that helps to build a low-carbon society.
Carbon Disclosure Project
In cooperation with institutional investors, the Carbon Disclosure Project (CDP) is an
initiative that asks companies to quantify and report their greenhouse gas emissions,along with their strategies to address climate change. It is run by an NPO of thesame name established in 2000 and headquartered in London.
The CDP was launched in the recognition that companies must take climate change
prevention measures and report information about them to institutional investors,
based on the understanding that climate change affects corporate financial performance.
In order to facilitate information disclosure, a questionnaire is sent by CDP to major
companies asking them what they are doing to address the risks and opportunities presented by climate change. The questionnaires began with the first survey in
2002-2003, and the 2008-2009 survey was the seventh. The number of institutional
investors that participate in the project is increasing every year, along with the number of responding companies. For the seventh survey, 475 institutional investors(total investment assets of about 55 trillion dollars) sent questionnaires to 4,000 of
the world’s major companies, and received 940 responses. Of the 500 top Japanese companies in terms of total market value that received questionnaires, 201
responded. Last year, questionnaires were sent to 150 Japanese companies, and 110
responded.
For more information visit the website below.
Carbon Disclosure Project
https://www.cdproject.net/CDPResults/CDP2009_Japan500_EN.pdf

20

Green Star Products
Special Feature

In order to minimize the environmental impact of its products, Casio is promoting
the development of environmentally friendly products in every aspect of planningand design.

Green Products
Since its founding, Casio has taken environmental considerations such as effective use of resources very
seriously when creating its products. In order to more clearly articulate this policy, in 1993 Casio started
conducting preliminary assessments at several stages of the product development process: planning,
design and component configuration. The aim of this was to promote the systematic creation of environmentally responsible products. The company also established the Casio Green Product certification for its
products and services with outstanding environmental features. In fiscal 2009, Casio exceeded its target
early as the share of Green Products of total sales reached 84%.

Full-scale development of Green Star Products
In order to take the next step in its Green Product efforts, in fiscal 2010 the company began an initiative
for Casio Green Star Products. This effort involves a strict evaluation of Green Products with outstanding
environmental features in each stage of the product life cycle. Only those that meet higher standards are
certified as Casio Green Star Products. Full-scale implementation of the initiative will begin in fiscal 2011.
The certified products will bear a Green Star symbol. The symbol represents Casio’s environmental activities and helps to show these are eco-products. Casio has set a target for Green Star Products to reach 30%
of total sales by fiscal 2013, and is working hard to help build a sustainable society by fulfilling its social
responsibilities through provision of eco-products.

Yoshiaki Aikawa

Pursuing Better Environmental Design Concepts
It goes without saying that companies have to meet the environmental regulations
established around the world, but we wanted to promote a culture of superior environmental design by ensuring that Casio held itself to a higher standard. While wehave many products that are already close to the ideal in terms of energy consumption, our tradition at Casio calls us to keep achieving what was previously considered
impossible. We must stand out as a leading company when it comes to environmental responsibility. The Green Star Product initiative is based on this idea.

Environment Center

Green Star Mark
Products certified as Casio Green Star Products are labeled with a special mark along with a list of theoutstanding environmental specifications that qualify that particular product as a Green Star Product.

This mark indicates a productthat was developed in accordancewith the Green Star Concept.

21

Casio Green Star Products
See the product lineups that were certified as Casio Green Star Products in fiscal 2010 (photos show product examples).
Calculator that meets the requirementsof Japan’ s Law on Promoting Green Purchasing

Environmental Features

Environmental Features

Solar battery powered
Contains at least 40% recycledplastic(gross weight ratio of plastic)

Transport efficiency increased by
36% by reduced packaging(compared to Casio's XD-SP6600)

Environmental Features

Environmental Features

Energy consumption per photo reducedby 49% according to CIPA standards
Transport efficiency increased by
42% by reduced packaging(compared to Casio's EX-Z1200)

We do not use a mercury light source
Transport efficiency increased by
30% reduced packaging(compared to Casio's XJ-S33)

Increasing the share of Green Star Products in total sales: Performance and targets
In fiscal 2010, Green Star Products made up 15.8% of Casio's total product sales.
Casio is aiming to reach 30% by fiscal 2013.

Concept for Green Star Product expansion and designation standards
In order to develop more Green Star Products, Casio is strengthening initiatives at each stage of the product lifecycle. Casio addresses environmental issues based on the Casio Green Star Concept, which calls
for low environmental impact across the lifecycle.
■ Casio Green Star Concept diagram● Develop products with functions that yieldvery high environmental performance● Conserve resources through the use of IT● Improve recyclability rate
●An unbroken recycling loop

Green Star
DesignGreen Star
Recycling●Procure safe parts●Procure parts with highenvironmental performance

Green Star
Procurement
Casio Green Star
Product

C.G.S.P.

Green Star
Factories

Green Star
Logistics●Use transport methods withhigh environmental efficiency● Optimize loading efficiency

Green Star
Packing● Ensure factories have strong
environmental performance● Transition to renewable energy● Optimize packaging for loading efficiency●Adopt packaging with excellent 3R features22

■ Assessment
categories
Assessment
categories

Target : 30%
Casio Green Star Products

Casio Green Products●

Assessment criteria for each productGreen Product Assessment

Casio Green Star Product Assessment

1. Promotes recycling( labeling of materials contained )1. Power consumption during use reduced by 20%

2. Designed for recycling
3. Components of products can beseparated, disassembled
4. Improved recyclability
5. Reduced resource volume
6. Reduced resource weight

2. Solar batteries used and Eco Mark acquired
3. Use of solar batteries and long-life structure
4. Comes with a 10-year battery and long-life
structure
5. Body volume reduced by 20% or more
6. Weight reduced by 20% or more

7. Improved energy efficiency

7. Load ratio reduced by 20% or more due to morecompact packaging

8. Regulated use of chemical substances

8. Uses 30% or greater recycled plastic

9. Recyclability of batteries

9. Uses 25% or greater bioplastics

10. Recycling label on batteries

10. Contains no specific hazardous chemical substances(polyvinyl chloride)

11. Regulatory compliance
12. Components of packaging can be
13. separated, disassembled

Regulated use of packaging materials

14. Preserves the natural environment
90 points or more,out of a total 100 points possible*Casio Green Star Product certification standards
may vary for some products.
*These standards will be periodically revised tokeep pace with environmental advances.

11. Improvement of 10% or more over the conventionalratio based on an LCA environmental assessment
12. Improvement of 10% or more over the conventionalratio based on product environmental efficiency
13. Has functions that make considerable contributions
to environmental performance
14. Has functions that contribute to the reduction
in resource use through IT
When products meet the Green Product standards
and also fulfill a criterion above.

23

Talking About the Future with Young People
Special Feature

Casio helps to prepare today’s youth to build a better future by offering school visits
and factory tours for students.

Companies can play an important role in education
Seven years ago, two employees of Kofu Casio began an initiative called, “Encouraging Kids to Havea Dream.” It began as a program that involved factory tours of a Casio production site, and grew into a
unique educational program that encourages young people to think about the environment, and the importance of life. In 2007, Casio began a school visit program for interested elementary schools, and thisinitiative began to spread to other Casio sites across Japan.
A 90-minute class during a school visit is roughly divided into three parts. The first part covers the importance of life through “connectedness, creativity, and emotional growth.” In the second part the students
take apart an environmentally friendly calculator, and then reassemble it. In the final segment, the instructor explains the importance of protecting the global environment with specific examples. The aim is toassist the children to think about what is happening in the world, and to give them a real sense of what
they can do to help. The program is designed to help the children think for themselves, to understandthe importance of empathy, kindness, goodwill, and a smile, and to foster generosity of spirit by raisingawareness.
The first step to creating a better society is to raise children that are empathetic towards others. Casio believes properly handing on the baton to the next generation is part of its social responsibility and cooperates with educators toward this end while carrying out activities such as factory tours and school visits.

School visit by Casio employee

Employee Message

Hisashi Wakao
CSR Operations
SectionChildren have the power to change the world of adults. This realization made me
want to help foster healthy children with kind hearts, as they will be working members of society one day. So I have been taking action based on my belief that I should
be a part of the company’s social contribution efforts.
I am often asked why we talk about the importance of “life.” As a manufacturer, one
of Casio’s important corporate responsibilities is to make safe and reliable products
while considering the effect on the environment, which is the basis of all life. Thiseffort naturally leads us to value our lives. I believe that this gives rise to empathy towards others, a feeling of wanting to care for things, and an awareness of the needfor environmental protection. I want to continue putting all my effort into initiatives
that place importance on generosity of spirit.

24

Program spreading to other plants and sites in Japan
In 2004, Kofu Casio began the “Factory Tours for 10,000 People” program to deepen understanding of thecompany by opening up its facilities to the public. Through the program, many elementary and junior highschool students have learned about product creation, and the importance of life. In 2007, the Hachioji R&D
Center was also opened to students for educational tours with an emphasis on environmental issues.
The tours of the Hachioji R&D Center allow visitors to see Casio’s environmental facilities, and to learn
about the company’s approach to environmental protection through energy-saving technologies andother initiatives. This unique program, which connects the importance of life with the importance of theenvironment, has been well received by educators. However, only 70 people can tour the site at a time. In
order to reach even more students, Casio also sends employee instructors to schools.
In fiscal 2010, Casio was able to talk to a total of 700 children about the importance of life and the environment through its site tours and school visits. At the end of each session, there is always an enthusiastic
response from the students and teachers. Based on the many letters of appreciation received afterwards,
it is clear that these efforts are producing results steadily.
Starting in fiscal 2011, these activities will be expanded through cooperation with the Tokyo Metropolitan
Government, Toshiba Corporation, TEC Engineering Corporation, and other companies.

Employee Messages
I have been providing site tours at our environmental facility, while also giving
classes at schools, as part of our efforts to contribute to the community. I think it isimportant to have as many children as possible understand the importance of lifeand develop environmental awareness. Through these activities, we instructors also
learn a lot, and this inspires us to improve ourselves. My aim is to provide even moreenriching classes in order to meet the attentive expectations of students.

Kumiko Kawai
Manager, General Affairs Section, Hachioji
R&D CenterI hope that the elementary and junior high school students that come for the site
tours will deepen their interest in product creation, and become fans of Casio products. I am optimistic that this experience will help foster a diverse sensitivity within
individual students. The positive reactions of the students provide us with renewedenergy and purpose.

Kiyoe Kawahata
General Affairs Section,
Hachioji R&D Center

Since this is an R&D center rather than a production plant, we provide educational
tours that show students the environmental features of the building and how it operates. By adapting the Kofu Casio factory tour program, we help the students learn
about environmental protection and experience calculator assembly, while teachingthem about the importance of life. Other employees also actively participate in these
activities. Although it is a small initiative, I believe it will produce big results.

Kiyoshi Kazama
Hachioji Office, Casio
Business Service Co.,
Ltd.

25

Message from a Partner Company in a School Visit Program

Naomi Kanazawa
TEC Engineering Corporation

Casio has been very supportive towards us as a partner company of the Tokyo Metropolitan Government, participating in the Kids ISO 14000 Program.
Starting in 2009, we have had the opportunity to work with Casio on school visits atspecial-needs facilities in Tokyo. Together we were able to provide a venue for diverse
learning that could not be achieved by one company alone. We provided classes relating to life and natural science, focused on hands-on learning using the theme ofdevices from everyday life, including Casio’s calculators and our cash registers.
The students expressed their individual discoveries and perceptions in words andactions full of feeling. At times I was startled by the realization that I was also learning along with the students. This was a result of our two companies bridging theframeworks of our individual organizations to work together with the aim of giving anexperience of true value to the students. I feel the program is a great asset.
In the future, we would like to continue working with Casio and other companies tocontribute to the development of youth in order to help create a sustainable society.

Supporting local communities at Casio sites around the world
Factory tour for local university students at Casio Thailand
In October 2009, Casio Thailand gave a factory tour to a group of about 50 university students interested
in becoming engineers. The students enthusiastically observed the operations of engineers working on a
timepiece production line, demonstrating outstanding efficiency and productivity. Casio Thailand is also
actively engaged in other social contribution activities including participation in local community events,
as well as visits and donations to orphanages and hospitals.

Local university students on a factory tour26

Training provided to 280 vocational college students
In December 2009, Casio Zhongshan, which produces electronic dictionaries, electronic pianos and otherproducts in Southern China, welcomed high school students from Hong Kong. High schools in Hong Kongusually visit the operations of Western subsidiaries, but this time they came to visit Casio based on thestrong wishes of students interested in someday working at a Japanese-owned company. Both the students and teachers were impressed with the visit, saying that it was a better learning experience than anyof their previous factory tours.
Around the same time, a visit request was also received from a vocational college in Henan province, and280 students were invited to Casio Zhongshan as trainees. The students were able to perform actual operations on the electronic dictionary production lines, and received valuable onsite experience.

Hong Kong high school students on a factory tour

Helping Japanese university students to gain international awarenessIn November 2009, Casio India welcomed a group of 20 students and instructors from the international
management program of Rikkyo University in Japan. While participating in an international conferencein India, the group visited Casio India in order to see the overseas operations of a Japanese-owned company.
On the day of the visit, the students had an animated discussion in English about Casio’s role in India,
which proved to be a memorable moment. Although the visit was not a direct contribution to the local
community, some of these students may well go on to make a future contribution in India.

Rikkyo University students and instructors visit Casio India

27

Casio’s Corporate Creed and Approach to CSRManagement

Determined to fulfill its corporate social responsibility (CSR), Casio realizes its corporate creed of “Creativity and Contribution” by ensuring that all employees, in thecourse of their daily work, implement the Charter of Creativity for Casio and Casio
Common Commitment.

Casio’s Approach to CSR■ Casio’s CSR Platform

Corporate Creed“Creativity and Contribution”

Charter of Creativity for Casio andCasio Common Commitment
Casio Group Code of Conduct
Local communities

Customers

Casio’s Business Activities
Development, design, procurement, production,
logistics, sales, service, business support
Global environment

Investors
Employees

Suppliers

Since Casio’s founding in 1957, generations of employees have worked to realize the company’s unwavering corporate creed of “Creativity and Contribution.”“Creativity and Contribution” expresses Casio’s commitment to bringing entirely new types of value tothe world by creating things that have never existed before, thereby enriching people’s lives and contributing to society. In other words, Casio has explicitly sought to make a social contribution through its business activities. This is the basis for the company’s current CSR platform.
In 2003, Casio adopted the Charter of Creativity for Casio and Casio Common Commitment, a promise
from everyone working at Casio. They are designed to ensure that Casio employees will be aware of thecorporate creed at all times, and act upon it. These promises cover the three key aspects of CSR—economy, environment, and society—as well as the company’s approach to compliance.
The Casio Group Code of Conduct was established in 2008. Along with the Charter of Creativity for Casioand Casio Common Commitment, these declarations clarify guiding principles and precepts that all Casio
employees are to follow.
To ensure thorough application of these principles, the directors and department heads sign the Charterof Creativity for Casio and Casio Common Commitment every year, and together recite a pledge to abideby the Charter and Commitment and familiarize their subordinates with it. All employees also sign a card
printed with these promises, to carry with them at all times.

28

Charter of Creativity for Casio and Casio Common Commitment
First Chapter
We will value creativity, and ensure that our products meet universal needs*.
1. We will strive to “ensure that our products meet universal needs” and this includes not only manufactured
goods, but also services and support, and everything else that we do.
2. We will be idealistic in all of our work.
3. We will carry our work through to completion, with a strong determination to take on every challenge thatcomes our way.
Second Chapter
We will strive to be of service to society, providing customers with delight, happiness, and pleasure.
1. We will provide people with “limitless inspiration.”
2. We will share a “life of spiritual and material prosperity” with people.
3. We will foster relationships of “respect and trust.”
Third Chapter
We will back up our words and actions with trustworthiness and integrity, and work as professionals.
1. We will take complete responsibility for all of our words and actions in accordance with all laws and regulations.
2. We will each take responsibility for our results and success, according to our individual role.
3. We will strive daily to improve everything we do.
* To create innovative products that everyone needs but no other company has ever produced. At Casio, this is the mission not only of
product development, but of every other part of the business.

There is also a site on the company intranet entitled CASIO STYLE which includes messages about thecorporate creed and the Charter and Commitment from the four brothers who founded the company,
along with other simple, compelling stories presented once a month. This helps all group employees tobetter understand and identify with Casio’s essential character.
Every other year, Casio conducts a comprehensive questionnaire survey to learn what group employees
in Japan think about the Charter of Creativity for Casio and Casio Common Commitment, the Casio Group
Code of Conduct, and the Whistleblower Hotline. The results are analyzed to determine how thoroughly
employees have embraced the company’s approach to CSR. The next questionnaire will be conducted infiscal 2011.

CASIO STYLE

29

CSR Promotion System
Management

Casio promotes its CSR activities by ascertaining public expectations, observing
changes in society, and ensuring each department sets its own issues before engaging in problem resolution.

Reorganization of the CSR promotion system
In 2004, Casio established a CSR Committee chaired by the president of Casio Computer Co., Ltd., andwith a membership of directors and corporate auditors. The committee was tasked with establishing basic
policies and discussing vital matters related to group-wide CSR activities.
Decisions of the committee have been disseminated group-wide. The advantage of this top-down form of
CSR promotion is that information can be quickly distributed to everyone. On the other hand, a top-downsystem does not necessarily help individual departments to independently consider their own CSR issues.
Meanwhile, society’s expectations of companies are changing and growing year by year. In order to accurately meet these expectations, and to promote CSR activities at the ground level, Casio has decided torevise its CSR Committee system in fiscal 2011.
Specifically, the company must determine the public’s expectations, how society is changing, and what
the appropriate responses are. With the new system, each department will investigate these questions independently, and determine the themes to be pursued. In March 2010, the former CSR Committee decided
to implement the following new CSR promotion system.
■ New CSR Promotion System

Board of Directors
Reports and resolutions

Main CSR
departments

CSR Committee
Secretariat

Business
Administration
Department

Environment
CenterIntellectual
Property Center

Public Relations
Department

Information
Technology
Department

Product &Purchasing Unit

Corporate
Management
Department

Finance
Department

General Affairs
and Personnel
Department

Casio Computer Co., Ltd. / Group companies
Supply chain

CSR Committee administration
The new CSR Committee is chaired by the director in charge of CSR and is composed of the director in
charge of staff function departments, the heads of each staff function department, and the corporate auditors.
By analyzing changes in society, public expectations, and Casio’s current situation, the CSR Committee
works to make problem points always visible. At the beginning of each fiscal year, it selects priority issues
to be addressed.
The committee then assigns each issue to a main department, and those departments determine futuregoals in consultation with other relevant departments, and then draft a promotion plan for the year. Specifically, they carry out activities according to a plan-do-check-act (PDCA) management cycle.
Meanwhile, the CSR Committee Secretariat confirms progress conditions throughout the fiscal year and30

then performs an audit at the end of the period. It sorts out the activity results for the year, and identifies
issues for the following period. The annual activity results are reported to the board of directors.
The new CSR Committee will absorb the old Risk Management Committee. The risk management themes
will be set each year along with the CSR themes, and be promoted within the CSR Committee framework.
A Kickoff Meeting was held for the new CSR Committee members on April 7, 2010, in order to launch the
new system. The CSR Operations Section, which is the secretariat for the new CSR Committee, explained
the new system, next steps, and the issues relating to Casio’s current situation.
At the same meeting, Hideto Kawakita of the International Institute for Human, Organization and the Earth(IIHOE), who has written independent opinion reviews of the Casio Corporate Report for the last three
years, gave a talk entitled, “The Latest CSR Trends and Outstanding Examples from Other Companies.” His
lecture helped to create a unified awareness among the CSR Committee members.

CSR Committee Kickoff Meeting31Social initiatives: Fiscal 2010 action plans and performance / Fiscal 2011 action plans
In order to steadily promote CSR initiatives, Casio carries out activities using a specific plan-do-check-act(PDCA) management cycle. The following covers the fiscal 2010 issues and activity results for social initiatives, along with the priority issues for fiscal 2011, based on these activity results.

Corporate governance
FY 2010 Targets & Plans

FY 2010 Performance

FY 2011 Action Plans

Introduced a system that specifies the person responsible
Promote further improvement of internal controls based on for each operation as an initiative for strengthening the Promote further internal control improvements based on
the Financial Instruments and Exchange Act.
company's monitoring system (self inspection system), which Japan's Financial Instruments and Exchange Act
was created in fiscal 2009.

Compliance and risk management
FY 2010 Targets & Plans

FY 2010 Performance

FY 2011 Action Plans

Monitor to confirm ongoing improvement, and implement
Monitored to confirm ongoing improvement and implemented Monitor to confirm successive ongoing improvements andsimulations to confirm crisis response capabilities, related tosimulations related to five major laws.
implemented simulations related to major laws.
major laws.
Carry out education on the Casio Group Code of Conduct at Carried out education on the Casio Group Code of Conduct at Carry out education on the Casio Group Code of Conduct at allgroup companies in Japan.
all group companies in Japan.
group companies in Japan and for Japanese staff overseas
Carried out education on the Charter of Creativity for Casio Carry out education on the Charter of Creativity for Casio andCarry out education on the Charter of Creativity for Casio andand Casio Common Commitment at all group companies in Casio Common Commitment at all group companies in Japan
Casio Common Commitment.
Japanand for Japanese staff overseas

Promote measures to prevent unauthorized use or falsificationof data in information systems.

Strengthen information security controls at groupcompanies.

Performed thorough access and log management for Implement activities to reduce the risk of personal information
information systems
leakage using the Privacy Mark system
Promoted measures to strengthen security measures based Implement activities to reduce information system risk usingISMS
on risk review
Implemented training and oath-taking at group companies

Take on the challenge of reducing major system malfunctions
to zero through ITIL introduction

FY 2010 Targets & Plans

FY 2010 Performance

FY 2011 Action Plans

Set priority issues for quality improvement and carry out
priority measures.

Set priority issues for each cause of quality problem including
software, devices and configuration, and implemented
improvement activities

Customers

Take thorough initiatives for defect reoccurrence prevention
Take thorough initiatives for defect reoccurrence prevention Took thorough initiatives for reoccurrence prevention andand improve technological ability to prevent problems
and improve technological ability to revent problems.
defect avoidance, using a quality information database
Execute the Product Safety Action Plan and put safety first in
Took thorough measures to secure consumer safety, based on every action
Implement the Product Safety Action Plan.
Review design and manufacturing standards based on
the Product Safety Action Plan
accident cases at Casio and other companies
Revise design and manufacturing standards with reference to Set, revised and verified design and manufacturing standards
Ensure accurate compliance with all laws and regulations
accident cases at Casio and other companies.
to prevent accident reoccurrence
related to safety
Monitored the situation for reporting, certification acquisition,
Ensure strict compliance with all laws and regulations related
and compliance confirmation, in accordance with laws andto safety.
regulations related to safety

Promote ongoing improvement of service quality based on theenhancement of repair speed and quality.

Improved telephone customer service quality by concentrating
services at the Customer Repair Service Center and staff
specialization by productPromote continuing measures to improve customer
satisfaction, based on surveys of after-sales customer
Analyzed the content of customer inquiries through recording
satisfaction levelsof calls received by the Customer Repair Service Center, andtook initiatives for improving response accuracy
Promote ongoing improvement of customer support websites
Changed name of product support website in Japan to Promote ongoing improvement of customer satisfaction byenhancing repair service“Customer Support”

Promote ongoing improvement of product support websites.
Redesigned the website to make it more visual and to make Strengthen analysis of customer feedback, and create a
information easier to find, with the aim of enhancing usability database for information distribution and sharing
Promote activities to improve product functions based on Promoted ongoing improvement of products, manuals,
catalogues and websites based on customer feedback
customer feedback.
Combine management systems at production sites.

Constructed and operated a planning and management Expand the operation area for production management
system at Casio Thailand
system integration

Carry out integrated management of global logistics for the Carried out a process trial in Aomi, Tokyo for the
Simplify site allocation policy by standardizing production
entire group, from the customer’s standpoint.
reconstruction of the current mainframe systemfacilities and sharing management systems at production
sites in China

Reduce country risk.

Implement SCM production in close adherence to the sales
Expanded multiple-item production in plants for import plan
processing in China
Begin full-scale operation of the planning system. Promotelogistics process reform at the global level together with
Casio SCM

32

Suppliers
FY 2010 Targets & Plans

FY 2010 Performance

FY 2011 Action Plans

Held a vendor meeting on August 28, 2009 in Shenzhen,
China, with 400 participating suppliers; representative
Continue to hold material procurement policy briefings in
suppliers presented their CSR activities as model examples, Continue CSR questionnaires for suppliers in and outside
Southern China and Thailand.
and awards were given to suppliers with outstanding MQCD Japan(management, quality, cost, and delivery period management)
Received questionnaire responses from 119 companies in Urge CSR promotion by suppliers outside Japan throughthe activities of the CSR promotion project with new CSR
China and 42 in Thailand
organizations overseas
Conduct CSR questionnaires in China and Thailand as well.

Prepared the results along with comments about future
expectations for suppliers, which was sent by the production Make model CSR initiative presentations by representative
suppliers a regular feature at vendor meetings outside Japan,
sites to their suppliers as feedback
and use the meetings as an opportunity for dialogue
Began to create a CSR promotion system outside Japan(started CSR promotion project)

Employees
FY 2010 Targets & Plans

FY 2010 Performance

FY 2011 Action Plans

Held Female Employees Advancement Working Group meetings(twice a month)
Continue the activities of the Female Employees

Held a round-table discussion between the president and theFemale Employees Advancement Working Group
Held department head round-table discussions (department
head interviews)
Casio Computer Co., Ltd. (fiscal 2009: 1.83% -> fiscal 2010:
1.96%); consolidated group in Japan (fiscal 2009: 1.67% ->fiscal 2010 1.76%)

Advancement Working Group.
Actively developed ongoing hiring activities, and now
promoting efforts for the achievement of the legally mandated
employment rate, group-wide
Continue seminars and education for the advancement ofContinue to provide employment opportunities to retirees
female employees.

Conduct an awareness survey among female employees andmanagers concerning female employee advancement, and
In July 2009, obtained the Kurumin Mark for efforts to foster establish a female employee advancement action plan based
Meet the legally mandated employment rate of persons with the next generation from the Ministry of Health, Labour and on the results
disabilities at main group companies.
Welfare, as a company that actively helps employees tobalance work and family responsibilities
Continue to promote achievement of the legally mandated
employment rate of persons with disabilities, group-wide
Improved the nursing care leave system
Continue to provide employment opportunities to retirees[Through March 31, 2009]
Nursing care leave + shortened working hours for nursing
Continue to maintain the percentage of eligible female
care (1 hour) … Up to 93 days
Continue to provide employment opportunities to retirees.
employees taking childcare leave (above 90%)
[Starting April 1, 2009]
Promote activities to reduce overtime work as well as healthNursing care leave … Up to one year
Shortened working hours for nursing care (2 hours) … Until and safety activities, group-wide
nursing care is no longer needed
Promote awareness raising activities for better employee
Take initiatives to help employees balance work and family Continued to improve the percentage of eligible female healthresponsibilities.
employees taking childcare leave (above 90%).

Improve the nursing care leave system.

Employees reported their career, skill and goal intentions
to the company, as a regular measure, which is used as animportant reference material by supervisors of personnel
development policies and for future personnel placement
planning

Continue to improve the percentage of eligible female Implemented an internal personnel recruiting system at main
employees taking childcare leave (above 90%).
group companies in fiscal 2010

Promote the career challenge system.

Continued to provide training where regular employees canchoose the instruction they need from a selection of courses,
with the aim of enabling staff to effectively and efficiently
obtain the various skills necessary for their jobs
(Began in 2005; 17 courses offered in fiscal 2010)

Implement a personnel recruitment system at main group Increased the number of industrial physicians and begancompanies.
health and safety activities that include group companies

Local communities
FY 2010 Targets & Plans

FY 2010 Performance

FY 2011 Action Plans

Continue to visit schools and welcome school tours.

Provided learning opportunities to students: Casio Computer Expanded activities by enhancing the content of the schoolCo., Ltd., to a total of 800 students, and Kofu Casio to 683 visit program
students

Continue to support research through the Casio
Science Promotion Foundation.

Casio Science Promotion Foundation awarded a total of 42 Continue to support cutting-edge science and technology
research
research grants worth ¥52 million

33

Corporate GovernanceManagement

To increase corporate value, Casio always strives to improve management integrity
and transparency. True to this commitment, Casio works to ensure that management decision-making is quick and that all operations are executed properly and efficiently.

Corporate governance framework
Casio recognizes that quick decision-making, proper execution of operations, and a robust management
oversight function that increases the integrity and transparency of business management are extremely
important factors in achieving business goals and continuing to raise corporate value. This recognition
guides Casio’s ongoing efforts to improve corporate governance.
In June 1999, Casio adopted a corporate officer system that clearly separates the management oversightand execution functions. Meetings of the board of corporate officers are attended by corporate officers,
directors and corporate auditors. They deliberate on important affairs relating to the execution of business
operations, and this mechanism enables implementation of groupwide adjustments and measures.
The board of directors is tasked with making prompt, reasonable management decisions. Board meetings
are attended by directors and corporate auditors, who discuss and make decisions on important businessissues. Furthermore, in order to clarify the management responsibility of directors and to ensure a prompt
response to changes in the business environment, the term of office of directors was changed from two
years to one, as of June 2007.
In accordance with audit policies approved by the board of corporate auditors, corporate auditors (including external auditors) attend board of directors’ meetings, meetings of the corporate officers, and otherimportant meetings. In addition, they perform careful audits by gathering information and receiving reports from directors and others, and by reviewing resolution documents relating to important decisions.
The external auditors are independent officers registered with the Tokyo Stock Exchange in compliancewith regulations. In addition, Casio has full-time staff that provide support for corporate auditors.
Accounting auditors perform external audits according to generally accepted Japanese auditing standards, and they also provide recommendations for operational improvement. The Internal Audit Department carries out audits of Casio operations to ensure they are in conformity with laws and regulations
as well as internal standards such as the Organization Control Standard. It also conducts evaluations andoffers recommendations for improvement.
Casio also has a CSR Committee consisting of the officers in charge of staff function departments and corporate auditors, which is chaired by the officer in charge of CSR at Casio Computer Co., Ltd. The committee discusses basic policies and vital matters related to group-wide CSR activities.

General Meeting of Shareholders■ Corporate Governance Framework
Electionanddischarge

Board of Corporate Auditors
Corporate auditors

Audit
Oversight

Audit
Electionanddischarge

Board ofDirectors
Directors

Appointment,
dismissal,and oversightPresident
and CEOCSR Committee
Subcommittees
Electionanddischarge

Board ofCorporate
Officers
Corporate
officers

Business
divisionsGroupcompanies

Internal audit

Accounting audit

Accounting
auditorOversight

Audit staff

Accounting audit

Internal Audit Department

12 directors and 3 corporate auditors, 2 of which are external auditors (as of March 31, 2010)34

System of internal controls
Based on its corporate creed of “Creativity and Contribution,” Casio has established basic policies to ensure the accuracy and reliability of its financial reporting. It has also set up an Internal Control Committee
composed of members of the Accounting Department, Information System Department, CSR Operations
Section, and Internal Audit Department, in order to secure an effective system of internal controls.
In fiscal 2009, a self-inspection (monitoring) system was established in order to identify risks that can impact financial reporting in the key business processes of main departments and group companies at an
early stage.
Fiscal 2010 marked the second year of Casio’s internal control reporting system based on Japan’s Financial Instruments and Exchange Law. Accordingly, the company introduced an operation responsibility system as part of its efforts to strengthen the monitoring system which began the previous year.
Based on the policies of the Internal Control Committee, the administrators appointed by each groupcompany and division are exercising their responsibility to maintain and manage proper operations inimportant business processes. They also regularly perform inspection of operational conditions. Any deficiencies or inefficiencies that they discover are promptly reported to the Internal Control Committee, andimprovement measures are established and implemented.
The International Financial Reporting Standards (IFRS) are likely to be adopted in Japan in five years’
time. Accordingly, starting in fiscal 2011, Casio is working on further improvement of its internal control
standards, along with initiatives to enhance financial strength on a group-wide basis.

35

Compliance and Risk Management
Management

Casio is pursuing total compliance through integrated management of three foundations of employee conduct: the Casio Group Code of Conduct, risk management,
and the Whistleblower Hotline.

Casio Group Code of Conduct
In May 2008, Casio revised its Code of Conduct. The new Casio Group Code of Conduct represents apledge made to the company and to the world by each individual Casio employee and executive—a commitment to observe all relevant laws and ethics in their daily work and personal lives, as responsible
citizens. With this major revision of the Code, Japanese and English versions were prepared, which also
serve as the basis for translation into other languages by individual group companies, becoming thefoundation for conduct by all group employees worldwide.
To promote awareness of the new Casio Group Code of Conduct, compliance training sessions were carried out group-wide. The training in fiscal 2010 included a comprehension level test designed to enhance
understanding among participants. The test enabled participants to check their own level of understandingof the Code. A passing score was established, and trainees challenged themselves to achieve this target.
The training results were provided as feedback by the secretariat to the persons responsible for each division, and will serve as a reference for carrying out compliance education in the next fiscal year.
■ Casio Group Code of Conduct

Provisions of the Casio Group Code of Conduct
1. Purpose
2. Basic Policies
3. Code of Conduct
3-1. Compliance with Laws and Ethics

3-6. Information Protection

3-2. Respect for Human Rights

3-7. Environmental Conservation

3-3. Provision of Safety and Peace of Mind to Customers 3-8. Disclosure of Corporate Information
3-4. Fair Competition and Transactions

3-9. Maintenance of Social Order

3-5. Separation of Personal Affairs from Business3-10. Social Contributions

4. Implementation of the Code of Conduct
5. Handling Violations

Risk management
Based on its Basic Risk Management Policies, Casio has built a risk management organization designed
to manage risk efficiently. The Chief Risk Management Officer, assigned by the CSR Committee, chairs the
Risk Management Committee. The Risk Management Committee discusses and makes decisions for selecting and addressing important risk management themes.
Based on themes selected by the Risk Management Committee, the main risk management departments
carry out measures to address risk management issues in their respective divisions and group companies
and to ensure widespread knowledge and thorough understanding of necessary items, while also providing guidance. The Risk Management Committee Secretariat operates a management system based on
an annual plan-do-check-act (PDCA) cycle. The secretariat also holds various meetings and oversees the
progress of risk management activities.
The Internal Audit Department performs audits of this management system, independently from the risk
management activities.

36

■ Risk management system

CSR Committee
Internal Audit Department
Chief Risk Management Officer
Risk Management Committee
Risk Management
Committee Secretariat
Main risk management
departments
Risk management
departments

Staff function departments
Casio Computer Co., Ltd., Group companies

Fiscal 2010 activities
The following is a report on risk management activities undertaken in fiscal 2010, presented according to
the PDCA cycle.

Plan: Selection of risk management themes
The fiscal 2009 risk management themes under which targets were not achieved were retained in fiscal
2010 as ongoing themes. Going beyond risks relating to compliance violations, risk relating to public expectations was added as a new theme in fiscal 2010.
In fiscal 2010 a total of 9 themes were undertaken. The themes for which targets were achieved in fiscal
2009 were discontinued, but the secretariat has listed them for ongoing monitoring.

Do: Risk management activities
The main risk management departments prepared annual risk management programs on each of the risk
management themes, and promoted measures to manage risk. The secretariat performed progress checks
on the risk management measures once every quarter. Risk Management Committee meetings were held
twice during the year to discuss and set policies and goals. Individual themes and cases of potential risk
were presented, and the committee ensured overall consistency for thorough correction of notified items.

Check: Evaluation and monitoring of risk management programs
At the end of fiscal 2010, the secretariat carried out a performance evaluation and a system effectivenessevaluation of the risk prevention measures promoted during the year. The main risk management departments reported on the progress of risk management activities according to the initial theme promotion
plans, as well as on the effectiveness of the systems and the degree of results achievement. The secretariat evaluated their reports.
After the evaluation was complete, the Internal Audit Department performed an audit of the secretariat
and the main risk management departments. This audit focused primarily on whether management systems had been properly implemented, maintained and operated. The secretariat also performed monitoring of risk management themes where targets had been achieved in fiscal 2009, in order to confirm ongoing maintenance and progress on these themes.

Act: Improvement of Risk Management Activities
Since fiscal 2008, Casio has been undertaking its risk management activities on a three-year cycle, andhas achieved a certain level of results in the area of compliance. At the beginning of fiscal 2011, the Risk
Management Committee was reorganized into a new CSR Committee. The aims of this move were to enable early detection of potential risks from both the compliance and CSR perspectives, to meet public expectations, and to strengthen internal controls.

37Responding to emergencies
The environment in which companies operate presents a variety of risks, and responding to incidents flexibly is a crucial aspect of business management. In the event of an emergency, saving human life takes
first priority, and this requires an initial response that is both rapid and appropriate.
In order to respond to these contingencies with the resources of the company organization, Casio has created a Crisis Management Manual for securing the safety of all employees, directors, and their families,
preserving corporate assets, and maintaining business activities.
Sequential updates of the manual keep pace with changes in the business environment, and the company
is taking practical initiatives at the same time. Specifically, the following measures have already been undertaken:
・Regular evacuation drills and general lifesaving classes for employees
・Development and in-house distribution of disaster prevention support tools as well as disaster stockpiling・Construction of a system to ensure absolutely no contact with organized criminal elements
・Disaster prevention drill with the local community and provision of an open area for a temporary evacuation site

Highlight General Disaster Prevention Drill

Coordinated Practicefor Walking Home
after a Disaster in the
National Capital

September 1 is Disaster Prevention Day in Japan. Every year on this day, Tokyo’s
Shibuya Ward holds a general disaster prevention drill. As a member of the Shibuyaku Honmachi Community Association, Casio sends several employees from the Hatsudai Headquarters of Casio Computer Co., Ltd., to participate in the drill.
In fiscal 2010, as part of the “Coordinated Practice for Walking Home after a Disasterin the National Capital,” the participants walked from Yoyogi Park where the general
disaster prevention drill is held to an open area at Casio’s Hatsudai Headquarters.
The Casio Hatsudai Headquarters also signed an agreement to provide an open plotof land as a temporary evacuation site for the Honmachi Community Association.
While holding regular information exchange meetings with the community, Casio is
deepening its understanding and cooperation for disaster prevention.

Information security
Casio is aware of its important social responsibility to maintain the security of information that it collectsfrom customers and other stakeholders in relation to its business activities. Casio strives to maintain thehighest level of information security. With the full implementation of Japan’s Act on the Protection of Personal Information in 2005, Casio launched the Protection of Personal Information Project and publicized
the Privacy Policy on its web site. Furthermore, as part of Casio’s drive to strengthen its system for safeand proper handling of personal information, Casio Computer Co., Ltd., worked to qualify for the Privacy
Mark* certification and received it in December 2005.
Since obtaining certification, Casio has been properly carrying out the plan-do-check-act (PDCA) cycle
to maintain its personal information protection management system. This includes the establishment ofannual plans, having all employees undergo training and take an oath, regular checking of personal information, access management on information systems, consignee supervision, and internal audits. Accordingly, Casio has been able to renew and maintain its certification.
As risk reduction measures, in fiscal 2010 Casio classified its operational processes forhandling important personal information, and strengthened safety measures for eachprocess. Group companies that handle large volumes of personal information also
implemented the same kind of PDCA cycle as Casio Computer Co., Ltd.
Going forward, Casio will keep strengthening information security and personal information protection throughout the group to further increase stakeholder confidence.
* Privacy Mark: A program where the Japan Information Processing Development Corporation, a public-service foundation, evaluates theadequacy of corporate protective measures related to the handling of personal data. Companies that are found to have adequate protective
measures in place are certified and permitted to display the Privacy Mark.

38

■ Personal information protection system
CSR Committee
Officer in charge of audits
Chief Privacy Officer (CPO) andnotification
personal information manager
Personal Information
Protection Office
Person responsible
for customer service
Contact for matters relating
to personal information

Person responsiblefor information systems

Person responsible
for education

Person responsible for departmental
personal information management
Person in charge of departmental
personal information management

Employee Message

Takashi Watanabe
Personal Information
Protection OfficeCasio provides a lot of products that are part of the everyday lives of general consumers. As a result, the company handles a lot of personal information at various
customer contact points, and carries out the necessary risk management measuresfor each operation. At Casio, we believe that it is important to protect the rights ofcustomers, and we have strong mechanisms in place for information security. In order to prevent accidents and improve the level of information security management,
it is essential to keep raising awareness among all employees. At the Personal Information Protection Office, we are working hard to strengthen the company’s information protection systems, focusing mainly on training and awareness-raising activities.

Whistleblower Hotline
As a way to help ensure compliance, Casio set up a Whistleblower Hotline in April 2006. The hotline has
been functioning with neutrality and fairness across all of its internal and external contact points.
Operating on a basis of impartiality, the hotline follows up on all whistleblower reports and consultations,and takes resolute measures against any improper behavior discovered. Effort is put into preventing issues before they grow into real problems. In fiscal 2010, the hotline’s intranet site was improved, andhotline awareness was raised within the company.
In fiscal 2010, three calls were made to the hotline, which was down significantly from the 13 calls of theprevious year. On the surface it may appear that the number of concerns is decreasing. However, further
study is necessary to determine if problems are really on the decline or if people are just more cautious
about reporting them.
In fiscal 2011, the company plans to ensure this system is further entrenched within the group throughtraining and the use of questionnaires. It will also look into the reason for the drop in whistleblower reports.

39

■ Whistleblower Hotline
Whistleblowers
HotlineExternal hotline agency

Internal hotline
Investigation

Hotline Office

Reporting

Applicable departments

Improvements/notification

Instructions

Top management

Export control
Export control, or export control security, aims to maintain international peace and security. It involves
regulations on the export of goods and technology that could be diverted for the development of weapons of mass destruction or other weaponry. The regulations are designed to prevent such goods and technology from reaching countries and regions of concern or terrorist organizations.
In 1987, the Export Control Security Program of Casio Computer Co., Ltd. (a compliance program) was established in order to make sure proper measures are taken to ensure the security of exports. The program
has since been continually updated along with changes in the Japanese Export Control Regulation.
Casio has appointed employees responsible for export control in relevant departments as part of an internal system to ensure observance of the program.
As relevant regulations have been revised, the needed training updates have been given to the employees responsible for export control. Casio is committed to total legal compliance, and ensures that the program is properly maintained and managed through annual self-audits.

Initiatives for compliance with fair trade and advertising laws
In order to promote proper transactions as well as fair, transparent and free competition, complianceseminars were given at the sales offices of Casio Computer Co., Ltd., in Japan. Employee instructors conducted the seminars in both fiscal 2009 and 2010, and covered compliance with Japan’s Act against Unjustifiable Premiums and Misleading Representations, and Japan’s Act on Prohibition of Private Monopolization and Maintenance of Fair Trade. In fiscal 2010, seven seminars were given at sales offices, while threewere held at the sales management department in the headquarters. A total of 551 employees received
the training, growing in their understanding of fair transactions.
In order to prevent inappropriate claims in advertising, a new Advertising Control Committee was formed
with representatives from relevant departments. The committee is working to improve advertising management through the use of Terminology Usage Standards relating to marketing.

40

Product Development and Design Initiatives
Customers

Casio’s greatest responsibility as a manufacturer is to create products that havenever existed before, thereby contributing to social progress. Casio develops products that offer new value and create new cultural phenomena. Casio's product development concept is simple: going from "0" to "1."Innovative product planning and advanced technical capability
In order to create products that have never existed before, Casio believes that both product planningability driven by revolutionary ideas and superior technologies are needed. Employing flexible thinking
that goes beyond conventional concepts, Casio carries out product development by discovering latent demand for things that everyone needs, though they may not have noticed it yet. In order to realize uniqueproduct planning and create competitive products that cannot be imitated by others, it is necessary tohave a high level of technical capability, which can overcome various obstacles. Casio is always working
to develop advanced technologies, and continues to explore new frontiers.

Highlight Casio’s Digital Art Frame: Another Great Innovation
Casio’s revolutionary Digital Art Frame is scheduled for release in the fall of 2010. Going beyond conventional units, this new product utilizes image recognition and image
processing technologies. Featuring a “snapshot-to-painting conversion” function, it
can convert an image taken with a digital camera into an artistically stylized image
that looks like an oil painting, watercolor, pastel or colored pencil drawing.
Moving images can also be integrated into the converted “artwork,” right on the Digital Art Frame. These modified artworks can be displayed not only at home, but also
uploaded to the Web. In addition to the enjoyment of viewing photos and interior
decorating with a conventional digital photo frame, Casio’s Digital Art Frame provides
the added value and enjoyment of creating and showing original artwork images. This
completely new digital imaging product provides true aesthetic value.
Digital Art Frame

Core technologies for realizing new ideas
Casio creates products based on revolutionary ideas by constantly developing its five core technologies.

Digitaltechnologies
Energysaving5 core Ease of use
technologies

Compact
size

Durability

41

Digital technologies make the impossible possible
Casio’s Exilim Engine 5.0 for digital cameras uses a multi-CPU design, in which two CPUs run in parallel,to achieve complex image processing in an instant. Using the latest image processing algorithms, thetechnology instantly analyzes photographic conditions, such as backlighting or a night scene, and performs the optimal processing. This results in beautiful images with reduced noise.

Smartly operating on little power
Casio has developed the industry’s first all-band CMOS receiver LSI, which integrates the analog circuit that receives radio waves with the digital circuit that processes data. The LSI can be used for radiocontrolled watches, enabling them to maintain operational stability with an ultra-low power level that is
1/1,000th of that required by ordinary communication devices. The technology has already been appliedin Casio watches featuring Multiband 6 technology that can receive radio signals worldwide.

Easy for anyone to use
Casio’s high-end calculator models have a special feature that ensures reliable key punching. The surfacesof the keys for 1 through 9 are concave, while the keys at the bottom such as “zero” have a gentle convex
shape, making it easier to move the fingers across the keypad. Moreover, in order to enhance the sensation of a completed keystroke, a unique super-thin cushion has been incorporated beneath the keys. Even
if the side of the key is hit, the input is still registered.

Concave key

Convex key

Compact, slim, lightweight
WLP*1 is a high performance, compact, highly reliable, low-cost, material-conserving semiconductor packaging technology. Applications of it are rapidly expanding, particularly for cellular phones. Casio has also
developed a high-density packaging technology, EWLP,*2 in which the chip itself is embedded in the printed circuit board, and is expanding the applications for this cutting-edge technology. Casio is also working
to realize solderless packaging, in order to help protect the global environment.
*1	WLP (wafer level package): An LSI package that enables rerouting of copper traces, formation of electrode terminals, and encapsulation ofchips in epoxy resin, all on an intact wafer.
*2	EWLP (embedded wafer level package): By embedding WLPs on a system circuit board, this packaging technology maintains the highperformance of electronic devices while making them even more compact, slim, and lightweight.

42

A sense of security anywhere, anytime
The glass face, buttons, and back case of every G-Shock watch are all designed not to make direct contact with the ground if dropped. Further, the heart of the watch is protected from shocks by a design thatkeeps the internal module suspended in a hollow structure. Each electronic component is also protectedby buffer materials. Casio takes other steps to enhance shock-resistance such as placing the radio-control
antenna in a stack of amorphous membranes that are difficult to bend even when subjected to a shockand using its shock-resistant Tough Movement to drive the hands in analog G-Shock watches.

Digital design data shared on a network
Casio products are all designed in 3D using computer software, and are stored as digital data. These files
are centrally managed along with circuit diagrams, component data, specifications, and production schedules, and are shared via network with production sites and logistics facilities. This system was establishedto enable Casio to flexibly adapt to changing conditions, such as changes in user needs and the economic
environment.
By sharing this data throughout the company, Casio can ensure that circuits and parts that work the sameway, even if used in different product areas, are standardized, achieving lower procurement costs andgreater efficiency in assembly. If any problems arise in relation to quality or the environment, Casio canefficiently go through its past product lineup to determine if there is a need to replace a certain part, or
can work across departmental lines to examine the total environmental impact, for instance, calculating
the amount of designated chemical substances contained in products.
Design data is also used in the creation of catalogs and instruction manuals. Since design data can beused to create 3D diagrams and cross-section diagrams, there is no need to start drawing new diagramsfrom scratch. This accelerates the production process and keeps costs down.

43Platform design for flexible production
Casio’s electronic dictionaries come in a variety of models and in a wide array of colors to meet the needsof today’s diverse users. To efficiently produce product lineups that span a wide range of configurations,
Casio integrates all the common parts of each product to create a single “platform unit.” This allows Casio to keep costs down by ordering parts in large quantities, and to improve manufacturing efficiency bystandardizing production processes.
Casio determines how many of each product to ship by looking at the market conditions immediately
before shipment, inserting different types of content into the platform units, assembling the exterior, andthen packaging the products. This allows Casio to supply only the number of models necessary in the
shortest period of time.
■ Use of platform unit in electronic dictionary

Model A

Platform unit
Data insertion
Exterior component
assembly
Packaging

Model B

Shipment

Post processing

Model C

Reflection of market conditions

Going beyond universal design to human-centered design
Casio works to develop products using human-centered design (HCD) in conformity with ISO 13407 processes, with the objective of improving product ease of use as part of the product’s overall quality. In the
HCD process, Casio seeks optimal ease of use by determining important issues from customer feedback
and observation of product use in real-world situations. Through repeated evaluation and verification, Casio works to develop highly desirable products.
In fiscal 2010, Casio improved the ease of use of its business PDAs, employed for data collection as information terminals by distribution sites, or for customer service by retailers. For the development of the DT5300, ease of use considerations were incorporated from an ergonomics standpoint, such as adopting ashape that is easy to carry and hold while working long hours, and keypad specifications to enable effortless operation at all sorts of work sites.

DT-5300 featuring universal design

44Intellectual Property Initiatives
Customers

Casio is actively promoting intellectual property activities in line with its management strategy through cooperation between
its R&D and business divisions. Based on these activities, the company aims to protect its businesses, and contribute to corporate profitability. Casio takes a medium- to long-term perspective in order to increase its technology management ability,
and is systematically promoting research and development for the creation of future business. While recognizing R&D results
as intellectual property, Casio is taking steps to ensure that they are properly managed and utilized in order to secure profits.

Policies for promotion of intellectual property activities
Casio places importance on intellectual property as an important measure of corporate value. In order toeffectively promote intellectual property activities, Casio has established the following three policies forpromoting intellectual property activity, and implements them group-wide for effective utilization of intellectual property.

1 Making Casio a company with strength in technology and intellectual property
・Setting R&D themes that build capacity to generate intellectual property (for group-wide implementation)
・Establishing an intellectual property strategy in conjunction with business and technology strategies
・Actively developing activities for obtaining effective patents
2 Improving the balance of income and expenditure on intellectual property
・Employing a strategic response to disputes and lawsuits, minimizing expenditures, and maximizing income
・Promoting strategy establishment, and aiming for favorable negotiations
・Pursuing upcoming licensing activity themes, from which stable income can be expected3	Developing engineers with an awareness of patent creation, and fostering world-class intellectual
property personnel
・Developing engineers with an awareness of patent creation during the processes of technology andproduct development
・Developing engineers that create patent maps for technologies
・Education and training for the creation of groups of intellectual property professionals
・Deliberately transmitting knowledge and expertise based on specific case researchRole of the Intellectual Property Center
Since its founding, Casio has worked to develop innovative new technologies and products that are completely original and have never existed before. The protection of these development results through thecreation of intellectual property rights is vital to ensuring corporate competitiveness. At the same time,
protecting Casio brands and designs from counterfeiting by securing intellectual property rights is also an
important activity for the company.
The Intellectual Property Center aims to secure intellectual property rights on a global level. Its role is toutilize patent, design, and trademark rights in order to help establish competitive advantage for corporate
management.
The center also broadly manages intellectual property (rights) such as copyrights and trade secrets aswell as general intangible properties, while signing contracts with third parties and resolving disputes.

Intellectual property activities
Casio implements various intellectual property activities. Casio actively utilizes the intellectual property
that it has accumulated over the years, and carries out activities to protect its businesses. The company
conducts ongoing R&D necessary for sustained growth, and has put in place various systems for producing new intellectual property.

1. Patent application and rights acquisition activities
Casio constructs patent nets based on patent application and registration in priority fields (selection andconcentration), and actively promotes activities for the acquisition of effective patents based on quality
improvement. The company carries out patent application and rights acquisition activities worldwide, in-45

cluding in the USA, China, South Korea, Taiwan, and other Asian countries.
■ Global patent portfolio
TaiwanChina(Number of registered patents)
500

Korea

EuropeUS(Number of registered patents)
700

Japan

600

400

500
300

400
300

200

200
100
0

100
2005

2006

2007

2008

0

2009 (FY)

2005

2006

2007

2008

2009 (FY)

2. Intellectual property rights utilization
In addition to securing intellectual property rights for its inventions and other proprietary developments,
Casio works to ensure freedom of operations by preventing legal claims from other companies and earns
profits by licensing its technologies to other companies (including cross licensing). The company alsouses intellectual property as a barrier to deter other companies from entering the same business, and carries out activities to establish competitive advantage for corporate management. In particular, Casio takes
stringent measures to combat counterfeit products, and cooperates with government agencies to remove
fakes from the marketplace.

3. Patent expert system
Casio initiated a patent expert system in 1994 in order to promote the ongoing creation of outstanding
intellectual property. With the aim of business strengthening through stronger intellectual property, engineers with high-level understanding of technologies and leadership skills have been assigned to eachdivision as patent experts. While cooperating with the Intellectual Property Center from positions within
their respective divisions, these patent experts work to strengthen the intellectual property abilities of
their respective organizations.
Here are details of specific activities.
1. Patent activity planning based on ascertainment of technology and development trends at Casio andother companies, as well as target management
2. Discovering and updating inventions
3. Evaluation of patent applications, determination of direction for patent creation according to business strategy, as well as evaluation of patent maintenance
4. Surveys of patents at other companies, patent infringement avoidance, and patent risk management
5. Creation of new businesses centered on intellectual property

Meeting for patent experts

4. Techno Power
Casio’s in-house Techno Power technology exhibition began in 1992 and is held annually to stimulate engineers, and foster sharing and cross-fertilization of technology. By creating a place for engineers to present
their results to top management, and an opportunity for outstanding engineers and designers to receive

46

recognition (i.e., awards based on the suitability of intellectual property results), the exhibition is a sourceof pride and motivation for engineers and encourages them to take on the challenge of developing newtechnologies.

Techno Power exhibition

5. Invention award system
Since 1968, Casio has had an award system for those employees that contribute to inventions and designs. By increasing the incentive for inventors and designers, the system fosters the desire for in-houseengineers to take on the challenge of discovering new technologies. In accordance with Article 35 (Inventions by Employees) of Japan’s revised Patent Act, which took effect in April 2005, Casio has revised its
environment for employee inventors. It updated its intellectual property rules and created a consultation
process in which the employee inventors can voice opinions in the revision of the rules. It also implemented a system for employee inventors to file an objection to monetary reward amounts. Based on the
demands of employee inventors, the rules were revised again in April 2006.

6. Intellectual property training system
In order to create a stronger awareness about the acquisition of intellectual property, Casio holds intellectual property seminars to deepen employee understanding and interest in intellectual property. The
company also distributes relevant information online (through intellectual property website content), anduses outside educational organizations such as the Japan Intellectual Property Association and the Japan
Institute of Invention and Innovation. In this way, the company is promoting various intellectual property
education activities.

7. Brand support activities
Protecting rights to the Casio brandIn order to promote smooth corporate operations on a global level, the company protects the Casio brandwith 1,738 registered trademarks in 187 countries around the world, most of which are product trademarks. In 2009, the Casio brand was recognized as a well-known trademark by the Chinese authorities (seethe related Highlight column).
In recent years there have been more trademark applications by other companies—mainly in emerging
economies such as China and India—which try to mimic the well-known Casio brand. As a result Casio
has been strengthening its monitoring activities and its efforts to prevent the trademarking of look-alikebrands.

47

■ Trademarking of the Casio Brand

Casio (classes 9, 14, 15)
All registered

Pending

Casio has registered the Casio brand for product trademarks in the countries indicated in green. In the countries indicated in yellow, trademark
review has been delayed in one area, there is no trademark system, or applications are not being accepted due to the politician situation.

Activities for minimizing risk entailed by new product naming and design, as well as
rights acquisition
While avoiding the risk of infringing upon the design or trademark rights of other companies, Casio is actively promoting business support activities based on the strengthening of Casio’s own design and trademark rights.
■ Design rights acquisition
By region / country
By product type
Electronic
musical instruments
3%

Other
16%

North America
Timepieces
36%

Electronic
dictionaries
10%

Japan

Timepieces
CamerasCalculators
Electronic dictionaries
Electronic musical instruments
Other

China
EuropeCalculators
13%

Cameras22%

Current number in effect: 2,109 design rights

Other regions
0

100

200

300

400

500

600

700

800 (Number of rights)■ Trademark rights acquisition
By region / country

By product type
Electronicdictionaries
5%
Cameras
6%
Electronic
musicalinstruments
7%
Calculators
8%

Japan

Other
12%

China, Taiwan, andSouth Korea

Timepieces45%

Timepieces

EuropeCentral andSouth America

Calculators
Electronic musical instruments
CamerasElectronic dictionaries
Other

North America

17%

Current number in effect: 6,596 trademark rights

Other regions
0

48

500

1,000

1,500

2,000 (Number of rights)

Counterfeit product removal and consumer protection activities
Counterfeit versions of Casio watches and calculators can be found around the world, and they can havea large negative impact on sales. In 2005, Casio began holding regular group-wide conferences combat
fake products. At these meetings, employees discuss the damage situation, priority of countermeasures,and the degree of importance. Business divisions and sales departments at headquarters are committed,
and Casio is working to strengthen its counterfeiting countermeasures in China, Hong Kong, and otherconsumer countries. At the same time, Casio has appointed an employee in charge of counterfeiting
countermeasures at Casio Shanghai, and is strengthening efforts to stop these products at Chinese factories and in customs inspections.

Highlight Casio brand recognized as a well-known trademark by the Chinese Trademark Office in April 2009
On April 25, 2009, the Casio brand was officially recognized by the Trademark Office of the Chinese State Administration for Industry & Commerce as a “well-known
trademark” in China.
The well-known trademark system was established in China for the purpose of raising brand awareness for Chinese companies and improving their brand power. Therefore, most of the recognized trademarks belong to Chinese companies, and it is exceedingly rare for a non-Chinese company such as Casio to receive this recognition.
There were 368 companies that received the recognition at the same time as Casio,
and of this number only 11 companies were foreign-owned, including Casio and 6other Japanese companies.
The Casio brand name, written with three Chinese characters 西 欧 - is widely
recognized among Chinese consumers. The recent authoritative certification of the
Casio brand as a well-known trademark by a Chinese government agency is evidenceof the strength of the Casio brand, and Casio’s long years of operation in China.

49

Customer Satisfaction & Quality Assurance
Customers

In all of its business processes, Casio always takes the customer’s perspective and bases its actions on
the Principle of the Five “Gens” ── in Japanese, genba (on site), genbutsu (actual goods), genjitsu (reality), genri (theory) and gensoku (rule). Casio focuses on daily improvement in order to provide customers
with reliability and peace of mind, and to meet customer demands with speed and integrity.

Casio’s Approach to quality assurance
To offer products and services that please and impress customers, Casio is committed to making products that earn high marks in every possible aspect, including safety, of course, as well as function, design,
price, reliability and durability, serviceability, and environmental conservation.
Together, these are what make “Casio Quality” what it is. The role of the quality assurance system is toensure that Casio reliably delivers quality that meets or exceeds customer expectations.
■ Casio Quality
Functions,performance,
design, price,usability
Environmental
conservation,
recycling

Casio
Quality

Reliability,
durability

Safety,legal
compliance

Serviceability

Quality assurance system
Constantly striving to achieve the highest level of Casio Quality helps improve customer satisfaction,
leading to further growth for Casio’s business. Casio’s carefully designed quality assurance system is essential to this outcome.
Casio has created a company-wide quality assurance system, shown in the diagram below, and strives toensure quality by enlisting the cooperation of all manufacturing, sales, and service departments.
■ Quality Assurance System
President

Promotion Committee forGroupwide Quality Enhancement

Sales andservice affiliates

CS Control
Group

Engineering
Department

CS activities

Qualityactivities

Collaboration

Production &Purchasing Division
Manufacturing
affiliates

50

System business

Product &Purchasing Unit

Digital camera business

Sales departments
for each business

Division in chargeof groupwide quality

Timepieces business

Global Marketing
Headquarters

Consumer business

Chaired by the Executive
Vice President

The Casio Promotion Committee for Groupwide Quality Enhancement is the highest authority responsiblefor quality assurance. It meets semiannually, convening the heads from each business segment and manufacturing and service affiliate companies. Decisions are made at these meetings on company policies
and important issues relating to quality. The policies and measures are then communicated to individual
departments and reflected in specific quality assurance activities within the departments.
In addition, the CS Control Group (within the Global Marketing Headquarters) has been linked together
with the Engineering Department (within the Production & Purchasing Division) to improve product quality and services.
In order to ensure complete awareness and implementation of quality policies and activity targets, presentations are given on the improvement of quality management skills to top management and persons
responsible for quality control on the Casio Promotion Committee for Groupwide Quality Enhancement.
The company carries out training with the goal of having employees obtain technical expertise along withwidespread understanding of rules and standards relating to quality and safety. Casio is also striving to
improve quality skills through measures such as the use of outside instructors to teach advanced quality
approaches.
Casio’s production plants carry out plan-do-check-act (PDCA) cycles using the ISO 9001 Quality Management System. In order to deliver reliability and peace of mind to customers that use Casio products, Casio
employees focus on daily improvement.
■ List of ISO 9001 Certified Sites
Classification

Development, Production and Service
Sites in Japan

Certified and Registered Sites

Initial Version Registration Date

Product Solution Unit, System Product
Division, Casio Computer Co., Ltd.

June 25, 1994

Kofu Casio Co., Ltd.

August 1, 1994

Casio Electronic Manufacturing Co.,Ltd.

August 5, 1994

Yamagata Casio Co., Ltd.

December 16, 1994

Casio Micronics Co., Ltd.

March 29, 1996

Casio Techno Co., Ltd.

May 21, 2004

Casio (Hong Kong) Ltd., Panyu Factory July 29, 1998
Production Sites outside Japan

Casio (Thailand) Co., Ltd.

October 24, 2000

Casio Electronic (Shenzhen) Co., Ltd.,
Guandu Factory

March 22, 2002

Casio Electronic Technology(Zhongshan) Co., Ltd.

October 26, 2006

Pursuing top quality
Casio's efforts to achieve premium quality are guided by a clearly articulated Quality Concept and Quality
Management Policies, which provide indices for evaluating all quality initiatives.

Quality Concept
Casio maintains a strong quality assurance system, based on its belief in “Quality First.” This system
requires all employees to make quality their first concern in every task they perform, enabling thecompany to offer products and services that please and impress customers. The company’s commitment to quality supports its corporate growth and makes social contributions possible, while at thesame time winning customers' trust and giving them peace of mind.

51

Quality Management Policies● To build a good corporate image, we offer products and services that please and impress our customers, gain their strong trust, and ensure their peace of mind.
● We respond to our customers’ requests and inquiries with sincerity and speed, and reflect theirvaluable comments in our products and services.
● In all our business processes, we base our actions on the Principle of the Five “Gens ”—in Japanese, genba (on site), genbutsu (actual goods), genjitsu (reality), genri (theory) and gensoku(rule)—and adhere to the basics of business operations.
● We capture and analyze quality assurance activities quantitatively, using reliable data, and use theanalysis to make continuous improvements. We also maintain a quality information system thatenables the sharing of quality information and prevention of problems before they occur, and prevents recurrence of quality problems.

Ensuring customer satisfaction
To make sure that its products continue to satisfy customers, Casio periodically conducts satisfaction surveys that address not only issues of durability or safety, but also issues of comfort during use and design
features. Casio constantly works to improve customer satisfaction by utilizing the feedback offered bycustomers via the Customer Support Center in the product development process.
■ Improvements to digital cameras after customer feedback

Customer feedback

Realizing Full Auto
Photography

I would like to capture beautiful landscapeswith ease

Premium Auto
Auto Best Shot

I wish I had a camera that could selectthe right shooting mode

Best Shot

I wish I could take nice people shotseven with backlighting

More advanced
technology

I wish I could take souvenir photos
without any mistakes

EX-H15EX-Z2000

I want to be able to take good night shots.

These are some of customers’ needs
for easy and beautiful photography

EX-Z550

Improving Customer Satisfaction
In order to improve customer satisfaction (CS), in fiscal 2009, Casio began strengthening its initiatives forthe three main CS activities listed below. The company is working to use customer feedback more thanever before in the creation of even better products.
1. After-sales CS: Responding to customer requests and inquiries with service that is fast, accurate, andpolite2. Functional CS: Striving to create value and product functionality that leads to customer satisfaction
3. Quality CS: Working to strengthen product quality to assure customer satisfaction
Under these three main CS activities, Casio is investing in programs to improve product knowledge, repair technique, and customer service skills. The goal is to consistently deliver after-sales service that ensures total customer satisfaction. Casio is also working hard to ensure that customer feedback is always
delivered to the relevant departments, to help generate ideas for improvement and ensure continual enhancement of product functions (functional CS).
Casio gives special attention to monitoring the quality of newly released products, and strives to rapidly
detect and respond to any problems.

52

Customer Support Center activities
In order to promote long-lasting relationships of trust with customers, the Customer Support Center responds to customer inquiries with service that is fast, accurate, polite, and sincere. The center strives toresolve any issues customers may have.
Casio carries out training in order to improve the technical and communication skills of customer support
staff. This enables them to properly provide customers with the useful information that they need. By also
expanding the training program for writing skills to improve email response capabilities, the aim is to ensure that each staff member can earn the confidence of customers.
Customer inquiries and complaints are welcomed as important customer feedback. After analyzing thecontent of this feedback, the relevant departments and the Center work together to implement improvement measures, and these efforts help to improve customer satisfaction for Casio products and services.
■ Breakdown of Customer Inquiries (Fiscal 2010)

Complaints 0.3%
Requests forcatalogues anduser manuals
4.7%
Pre-purchaseinquiries
10.8%

Other 3.7%

Post-purchaseinquiries
80.5%■ How customer comments are utilized for products and services•To offer productsatisfaction,amazement•To offer service
satisfaction,amazement•To create Casio
fans

Quality issue Sales departments
Service
Information
departments
searchDevelopment
Database
departments=

Customer Support Center
Repair centers
Dealers and agents
Customersatisfaction surveys
Questionnaire surveys
Meeting with customers=

Customer•Requests•Proposals•Opinions•Complaints

Neededimprovements

Quality issue
Investigation
analysis
Deciding response

Dealers and agents
Customer
Support Center
Repair centers
WebsiteManufacturing
departments
Quality issue
Investigation
into cause
Problem solving
Horizontal
solution sharing
Preventive activities

Quality
improvement

Neededimprovements

Products adopting
improvement

Discussion of
improvements

Follow-up
identification

Service
improvement

Adoption of
improvements

Defectshipment stop53

Early detection

Online support sites
Casio has customer support websites for various regions around the world, offering customers convenient access to information 24 hours a day, 365 days a year. In order to ensure that customers can use
Casio products with confidence and peace of mind, these websites provide product operation, repair andother support information that customers may need. In fiscal 2010, the Japanese online support site wascompletely overhauled to make it more visual intuitive and more convenient for finding desired information. Menu icons were created for each purpose. A new section of useful information to resolve customer
product problems has been created, as Casio strives to improve its information provision.
Casio continues to monitor and analyze the traffic at each of its websites. The company is working to improve and expand its online support sites so that customers can get the information they need before
having to call a customer support center.

Top page of the customer support site

http://www.casio-intl.com/support/

54

Repair service
Casio’s service departments, which are responsible for product repairs, strive to satisfy customers by providing after-sales service that fulfills three commitments: dependable technology, prompt response, andreasonable fees. Casio conducts its own customer satisfaction surveys concerning its after-sales service
in order to determine and evaluate the progress of each of its service initiatives. Problem points or issues
are identified, and improvements are made.

Dependable technology
Casio’s service departments are working to improve their repair technology, product knowledge, andcustomer service skills (through training programs and in-house competitions, for example) in orderto maintain customer confidence and realize the kind of service quality that customers expect. In fiscal
2010, Casio introduced a technical skill ranking system, as part of efforts to raise staff skill levels. This new
system will serve to improve not only technical repair skills, but also product knowledge, and customer
service abilities, for the provision of even better quality and personalized service. Casio staff are also putting a lot of effort into the acquisition of various official qualifications, and in fiscal 2010 Casio received an
outstanding organization award from the Photo Master certification program. Casio held its first internal
photo contest, and is launching initiatives for staff to obtain product knowledge from the customer’s perspective through actual use of products.

Technical contest

Technical contest

Photo Master outstanding organization award

Prompt response
Casio’s service departments are taking steps to improve operations by focusing on parts procurement, therepair system, and repair technology, so as to shorten repair time and return repaired products to customers as quickly as possible. The counters at some service centers offer quick service for the repair of digital cameras and watch battery replacement within about 60 minutes. Casio also offers a repair shipping
service that enables customers who do not have the time to bring in a broken digital camera, electronic
dictionary, or watch to a service center or the retailer to arrange the repair through an online repair request system. Casio is striving to improve customer convenience through various repair support options
including the use of special shipping boxes for easy return of a product needing repair, thereby reducing
customer inconvenience for packing the product themselves.

Online repair request screen

55

Reasonable fees
Casio is striving to ensure reasonable repair fees by controlling costs through the improvement of methods for repair and parts procurement. The company has created a fee structure based on fixed prices thatare easy for customers to understand. In fiscal 2010, Casio carried out analysis of watch repair costs inthe market and at other companies, and revised its fees to ensure even greater customer satisfaction. As
part of this change, the company prepared repair fee leaflets for retailers with specific examples of repair
costs, making the system easier for customers to understand. Upon entering the new color LCD electronic
dictionary market, Casio also established fixed repair fees for this product, as part of its system for fee
transparency.

Repair cost examples for watches

Electronic dictionary fee chart

56

Stable Supply of Products
Customers

Casio’s primary mission is to deliver the products desired by customers at the righttime. The company is working to strengthen its global supply chain, and to continue
providing cutting-edge products without interruption.

Approach to stable product supply
Delivering a stable supply of products to consumers is one of the most important responsibilities of amanufacturer, and is required to ensure customer satisfaction and loyalty.
As part of Casio’s mission to provide delight, happiness, and pleasure to customers through its innovative
products, the company is promoting the following policies.
■ Policies on Stable Product Supply

Policies on Stable Product Supply
1. Shortening production lead-time and improving planning and execution accuracy through the streamlining of
the supply chain (procurement - production - logistics - sales - service) based on information technology.
2. Building good relationships with contracted suppliers that provide Casio with the needed parts so as to realize
stable material procurement.
3. Creating a decentralized production system—featuring at least two production sites producing the same
product and Casio Group production sites producing multiple products—which can maintain flexibility to deal
with various risks involved in manufacturing.
4. Constructing an optimum production system for each product that corresponds to characteristics of location(market proximity, technological level, material procurement environment, labor costs, logistics costs, andforeign-exchange risk).

Supply network is highly responsive to changes in demand
Since sales for products such as electronic dictionaries for education (for schools, teachers and students)
are concentrated in the early spring when the Japanese school year starts, this makes accurate sales planning more difficult. On the other hand, the components at the core of these products, such as semiconductors and display devices, have a procurement lead time that is determined by the market. This means
long-term planning is required.
Accordingly, Casio has taken various measures to minimize the loss of sales opportunities, and has
worked to expand its market share.
One such measure is the operation of parallel supply chain management systems (SCM) at the headquarters procurement division and a production site, in order to enhance capacity simulation speed.
Production sites carry out simulations based on sales plans provided by the sales department, and calculate the personnel and equipment levels needed for production, before making the necessary arrangements. The materials procurement department adjusts the procurement quantities every week by looking
at information on materials to be received and the models prioritized by the sales department. These efforts help ensure timely production delivery.
By using common platforms as base models, and performing primary assembly production, it is possible
to add individual model specifications, such as dictionary content, display panels, and keyboards, duringsecondary assembly just prior to delivery. This enables Casio to rapidly meet changes in customer demand.
In the past, all parts procurement was carried out three months in advance. However, through the use ofmodel platforms, the lead time for final product specifications determination has been shortened to just
two weeks in advance, which also helps minimize surplus production.

57

■ Inventory turnover period for consumer products
Sales value¥1 million
100,000

Inventory value

Turnover days Days
90

80,00060

60,00040,00030

20,000
0

2003

2004

2005

2006

2007

2008

2009 (FY)0

Diversifying production risk and producing core components in-house
Casio maintains a stable supply of products by having each production site manufacture multiple productitems, and by ensuring that two different sites can produce any given Casio product.
The company is also increasing the internal production of components in order to protect newly createdtechnologies and to reduce parts procurement risk.
■ Production sites for individual products

Contract manufacturers

Calculators, electronic musical instruments,
printers, timepieces, digital cameras, systems,
data projectors

Casio (Hong Kong), Panyu Factory

Yamagata Casio

Watches, in-house component production

Casio Electronic
Manufacturing

Electronic dictionaries,
electronic musical instruments

Casio Electronic (Shenzhen), Guandu Factory
Timepieces

Casio Electronic Technology (Zhongshan)
Electronic dictionaries,
electronic musical instruments, timepieces

Casio (Thailand)
Timepieces

Contract manufacturers
Electronic cash registers

58

Systems (printers)

Casio Micronics

Electronic components

Kofu Casio

Systems, data projectors

Building Strong Partnerships
Suppliers

Casio procures various materials from a large number of suppliers in and outside
Japan. In order to develop long-term business relationships based on its Procurement Policies, Casio is working to strengthen CSR activities across its entire supply
chain, while improving measures for proper transactions.

Socially responsible procurement at Casio
Casio has established Procurement Policies in order to execute its social responsibility to conduct fair andequitable transactions throughout the supply chain. The policies cover matters including legal compliance,
respecting human rights, labor, safety, and health, as well as environmental protection and information
security. Casio constantly improves its socially responsible procurement by obtaining the understanding
and support of suppliers for the policies and building strong partnerships.
■ Procurement Policies

Procurement Policies
Casio aims to fulfill its social responsibilities, including compliance with relevant laws and social norms,
and protection of the environment, through fair and equitable transactions throughout the supply chain bystrengthening partnership with suppliers.
1. Fair and equitable transactions
Casio carries out fair and equitable transactions by providing equal opportunities to all suppliers (and candidates)in and outside Japan in accordance with its internally established procedures.
2. Compliance with laws and social norms
Casio's procurement activities comply with all relevant laws, social norms, standards and treaties worldwide,
including the protection of human rights, the prohibition of child labor, forced labor and discrimination, andrespect for freedom of association, the right to associate, and the right to collective bargaining, as well as ensurethat absolutely no contact is made with organized criminal elements. Therefore, Casio requires its suppliers to
observe the same legal and social requirements.
3. Environmental protection
Casio helps to protect the global environment through environmentally friendly procurement, which is based on
the Casio Environment Charter and Fundamental Policies, in cooperation with suppliers.
4. Strengthening partnership with suppliers
Casio builds up relationship of trust with its suppliers through reciprocal efforts, such as merging andcomplementing mutual technological development abilities, supply chain cooperation, compliance with laws andsocial norms and protection of the global environment, which will benefit both parties.
5. Policies on supplier selection and transaction continuation
Casio initiates and continues transactions with suppliers based on comprehensive evaluation criteria, which
include compliance with laws and social norms, environmental protection, proper information security, respect
for intellectual property, sound and stable corporate management, superior technological development ability,
right price and quality, stable supply capabilities and electronic transaction systems.
6. Securing right price and quality
Casio endeavors to secure right price and quality in order to provide its customers with stable supply of optimal
products, which ensures that Casio gains the full confidence of customers around the world.
7. Prohibition of personal-interest relationships
Casio does not allow any employees to have personal-interest relationships with any suppliers.

Fulfilling social responsibilities together with suppliers
In order to ensure compliance with the Procurement Policies together with its suppliers, Casio has established the Supplier Guidelines summarized (available at link below). All of Casio’s suppliers in Japan andelsewhere have agreed to these guidelines to help Casio fulfill its social responsibilities.
Casio is also managing its supply chain more successfully by introducing a regular monitoring systemthat ensures that these guidelines are properly fulfilled.
Supplier Guidelines

http://world.casio.com/csr/exchange/exchange01/

59Disseminating supplier guidelines
Over 80% of Casio's production activities are in China and ASEAN. Every year, Casio holds briefings on its
Procurement Policies in Southern China and Thailand.
In the past, these briefings simply involved Casio explaining its business policies to suppliers. Starting infiscal 2010 however, Casio is using these briefings as an opportunity for mutual communication, including
presentations on model CSR initiatives by a selected supplier.
Casio is aiming for continued improvement of the CSR implementation level, through joint efforts with
suppliers.

Briefing on Procurement Policies

Award ceremony at the Procurement Policies briefing

Managing guideline fulfillment
In fiscal 2008, Casio started conducting a questionnaire survey* on corporate social responsibility (CSR)
for principal suppliers in Japan. In fiscal 2010, the survey was expanded to include overseas suppliers.
As over 80% of Casio’s production activities are in China and ASEAN, materials procurement is also being
expanded in these regions. Ascertaining actual conditions at overseas suppliers is an important issue for
CSR initiatives across the entire supply chain. Casio surveyed oversees suppliers using the same questionnaire items used for suppliers in Japan in fiscal 2009.
Responses were received from 161 suppliers in China and Thailand. The compiled and analyzed results
were sent as feedback to all the suppliers, along with information on Casio’s approach and goals for CSR
procurement.
A questionnaire survey was carried out, targeting principal suppliers in Japan, including those of Casio
group production companies, and 278 responses were received.
In the past, the survey consisted of questions on implementation conditions for 39 CSR items (implemented, planned, or not planned). In fiscal 2010 however, the questionnaire was revised with a five-point
scoring system for 340 CSR fulfillment items relating to management policies, promotion system, training, and self evaluation of the supplier’s situation.
The questionnaire results were sent by email to each supplier as feedback. The results included the average response rate of all suppliers, and the response rate for each supplier, in table format for easy comparison.
The theme for the fiscal 2011 survey will be to ascertain the actual conditions at suppliers using onsite inspection. Therefore, a CSR Promotion Project was launched at oversees sites using mainly local staff.
* The questionnaire was prepared in accordance with a Supplier Checklist for CSR Procurement based upon the Guidebook for Supply Chain
Implementation of CSR Procurement published by the Japan Electronics and Information Technology Industries Association (JEITA). It covered:(1) human rights and labor conditions; (2) health and safety; (3) the environment; (4) fair transactions and ethics; (5) quality and consumer
safety; (6) information security; and (7) social contribution.

60

■ Improving CSR across the supply chain
Disclosure ofpurchasing
policies

Questionnaire
survey on CSR
implementation
conditions

Disclosure andfeedback ofquestionnaire
results

Ascertainmentof actual
conditions
through onsite
inspections

Support for
improving
CSR issues

Building asystem for CSR
procurement
across the entire
supply chain

Supplier Message
Murata Manufacturing endorses Casio's CSR procurement system.
Murata Manufacturing supports Casio's Procurement Policies, and is actively participating in the improvement of CSR fulfillment as a member of the supply chain.
We will strive to fulfill and maintain Casio’s CSR requirements.

Manager, Nishi-Tokyo
Regional Office, Sales& Marketing Dept. 1, Tokyo Metropolitan Area,
Sales & Marketing Unit,
Murata ManufacturingCo., Ltd.

Masahiro Tani

Subcontract Act compliance initiatives
Casio has established a Compliance Committee on Japan’s Act against Delay in Payment of Subcontract
Proceeds, Etc., to Subcontractors (Subcontract Act) which includes group companies, and is striving toensure all transactions comply with the law.
In particular, employees that deal directly with suppliers and outsourcers are provided with the necessary
knowledge through in-house seminars and classes sponsored by the relevant government authorities.
In fiscal 2010, 3,615 Casio employees attended in-house seminars, and 59 people also participated inclasses sponsored by the Japan Fair Trade Commission and by the Small and Medium Enterprise Agency.
This training helped to raise compliance awareness and provide employees with the necessary knowledge.
At the in-house seminars, understanding was further enhanced through specific training relating directly
to business, using case studies of actual subcontract situations. Casio also invited instructors from Japan’s Small and Medium Enterprise Agency, and took various other measures in each department in orderto improve employee compliance knowledge.
The Compliance Committee also obtains the latest information from government websites and email notification services, and sends the information directly to committee members. The news is also posted on
the committee’s website, and shared with the entire group.
In offices where subcontract transactions are handled, independent audits are carried out on an ongoingbasis. Casio confirms that proper, compliant transactions are executed, by inspecting the document record of the entire series of transactions from ordering to payment. The goal is to ensure that no problems
occur.
In fiscal 2010, Casio revised the Subcontract Act compliance system at its group companies, in order tocreate a more efficient system for maintaining proper subcontract transactions.
Casio will continue to promote understanding of the Subcontract Act among its employees, and work tostrengthen its system for even better compliance.

61

Shareholders
and Investors

Responsiblities to Shareholders and Investors
Casio discloses information promptly and fairly to shareholders and investors, andalways strives to increase shareholder returns.

Basic policy for shareholder returns
Casio considers the maintenance and expansion of returns for all of its shareholders an important management issue, and constantly strives to improve its business performance and financial structure. The
company’s dividend policy calls for maintaining stable dividends, and Casio determines the allocation of
profit by taking into account all factors such as profit levels, financial position, the dividend payout ratio,
and future business development and forecasts.
Considering the above policy and forecasts for fiscal 2011, Casio paid dividends of ¥15 per share in fiscal
2010.

SRI listings
As of June 2010, Casio was included in the Morningstar Socially Responsible Investment Index, based onan evaluation of its proactive CSR initiatives.

Communication with shareholders and investors
IR events
Every quarter, Casio holds a financial results briefing for institutional investors and securities analysts on
the same day that the company announces its results. The president or the director responsible for investor relations is the main speaker at these briefings, and explains the financial results and forecasts. Casio
also holds meetings with institutional investors and analysts worldwide, while occasionally providing factory tours and small on-the-spot meetings for investors interested in specific business areas.

Financial results briefing

Improving IR publications
To provide IR information for shareholders and investors, the company issues an Annual Report , semiannual business reports (Japanese only), and quarterly Consolidated Finanacial Results. Casio’s Investor
Relations website also features these publications and other IR information. Casio completely redesigned
its Japanese Investor Relations site in March 2010 to make the information more accessible and useful.
Investor Relations http://world.casio.com/ir/

62

Reaching out to individual shareholders and investors
Casio is carrying out various initiatives in order to deepen the understanding individual investors andshareholders have of its business. The General Meeting of Shareholders was recently moved to a larger
venue in order to accommodate more shareholders. In order to make the meeting content easier to understand for shareholders, new efforts were taken, such as adding visual presentations to promote understanding of speeches, as well as showing videos concerning Casio and its products in the waiting room of
the meeting venue. Accompanying the complete redesign of the Japanese Investor Relations site, a new
section was added specifically for individual investors.

63

Respect for Human Rights
Employees

Casio's strong commitment to human rights is spelled out in the Casio Group Codeof Conduct, which is being thoroughly implemented throughout the group.

Respect for human rights
The Casio Group Code of Conduct states that “we will respect all fundamental human rights, and will not
engage in any form of discrimination,” and “we will not use or permit any form of child or forced labor.”
The Code of Conduct has been disseminated and is well understood throughout the group. In April 2007,
Casio issued additional Guidelines to Prevent Sexual Harassment, and established a hotline, and continues to strive to resolve issues and prevent harassment. In fiscal 2010, the company carried out activities
to raise the awareness of employees concerning the need to prevent harassment.

64Building Workplaces for a Diverse Workforce
Employees

Casio respects the human rights of every individual, and strives to continually expand the creation of employment opportunities for people, regardless of their gender or any disabilities they may have.

Initiatives to enhance the role of female employees
By promoting environments and systems that enable employees to further demonstrate their abilities, Casio is developing a greater number of professional employees, with the aim of raising productivity for theentire company. As part of these efforts, Casio created a Working Group for Female Employee Advancement in April 2008, and has been actively encouraging its activities.
With a focus on reform of employee awareness and the corporate culture, Casio has been providing elearning courses for managers and seminars for female employees.
Casio is building a solid foundation for women to succeed by helping both managers and female employees to understand how important it is that women advance in the workplace, and building an environment conducive to their advancement.
The president held a discussion meeting on the topic of how women could change the company, highlighting Casio’s ideals about female employees taking the initiative in the workplace.
Casio also implements a wider range of events, including meetings between the working groups and division managers. In the meetings, participants discuss challenges and solutions for the advancement offemale employees.
The company will pursue steady, effective implementation of activities to build a corporate culture thatfully supports the job satisfaction and career advancement of women.

Activities of the Female Employees Working Group

Initiatives in hiring
The Casio Group Code of Conduct states that “we will respect all fundamental human rights, and will not
engage in any form of discrimination.” Casio provides equal employment opportunities to anyone withthe desire to work.
Casio also endorses the Japan Business Federation’s charter of hiring ethics. The company strives to avoid
early hiring of undergraduate university students to minimize any impact on their studies, and conducts
hiring events at different times during the day and week. In this way, Casio is striving to provide hiring
opportunities to as many students as possible.

65

Initiatives for hiring persons with disabilities and seniors
Casio hires people who display creativity and have the desire to work and take on challenges, regardlessof any disabilities they may have. The company is creating workplace environments that allow every individual to display their full abilities and aptitudes.
As of April 1, 2010, the percent of the workforce at Casio Computer Co., Ltd., with disabilities was 1.93%.
This is higher than the average rate of 1.63% at private companies in Japan (as of June 2009), and also
surpasses the legally mandated rate of 1.80%.
The percent of the workforce with disabilities at consolidated group companies in Japan was 1.76%. Casio
will continue to pursue hiring to achieve the legally mandated rate for the entire group.
Casio makes a special effort to ensure that persons with disabilities continue to feel supported after being
hired. Casio Computer Co., Ltd., has introduced a follow-up system based on regular interviewing of theemployees concerned, every three years after joining the company. This system will be expanded to cover
all group companies.
For seniors, Casio has introduced a Casio Senior Staff Program and a Senior Employee Program at allgroup companies in Japan. The purpose of these programs is to provide retirement-age employees with
employment opportunities, and to effectively utilize the skills and know-how that these individuals haveaccumulated over the course of their careers. The system enables employees that wish to work past theage of retirement to continue using their career skills and expertise within the Casio group.
■ Percent of workforce with disabilities
As of April 1, 2009

As of April 1, 2010

Casio Computer Co., Ltd.

1.83%

1.93%

Group companies in Japan

1.52%

1.60%

Average for consolidated group companies in Japan

1.67%

1.76%

Prioritizing local hiring and promotion at subsidiaries outside Japan
Along with the globalization of its operations, Casio is actively pursuing local hiring at its sites outside Japan. The aim is to promote management that is responsive to local conditions in each country, as a truly
global company. This is being done not just in manufacturing, but also in various other fields.

Number of Casio Group employees
Japan(Number of employees)
15,000(13,202)

AmericasGroup employees by region (FY 2010)
Europe(12,358)
4,953

5,387

6,000
3,000
0

622
248

Americas 2%(12,247)

12,000
9,000

Asia

651

713
263

Asia 41%

6,945

6,491

6,274

2008

2009

2010 (FY)12,247

Europe 6%

4,997

263

Total number of
Casio Group employees* This includes only regular employees.

66

Number of
employees
by region(as of Mar. 31 2010)

Japan 51%

Highlight

Personnel Hiring and Employee Welfare Programs outside Japan

Casio Thailand receives
award as an Outstanding Company in Labor
Relations and Employee
WelfareCasio Thailand
Casio Thailand is actively hiring and promoting local employees based on the belief
that local management is essential to the company’s success.
As of March 31, 2010, 970 of the total 974 employees at Casio Thailand (99.6%) werelocally hired, and 12 of 16 managers (75%) were local personnel.
In order to prevent any cases of child or forced labor, which have been issues forsome companies in certain regions recently, Casio Thailand ensures that it does not
employ anyone under the age of 18. The company performs thorough age checks using graduation certificates and other documentation. In addition to improving its employment system, the company also makes active contributions to local communities
such as regular employee participation in neighborhood events.
As a result, for four consecutive years, Casio Thailand has received an award fromthe Thai Ministry of Labour and Social Welfare as an outstanding company in the areaof labor relations and employee welfare. This award was established for the purposeof improving working conditions. It is given to companies with outstanding employment systems in terms of labor law compliance, good relations with labor unions andemployees, and employee welfare programs.
In fiscal 2010, in addition to improving the workplace environment, Casio Thailand
was commended for its donations to orphanages and hospitals, support of local
school events, and other activities. The company is now working hard in order to earn
the award for the fifth consecutive year.

Human resources data
■ Number of employees in Japan(As of end of March 2010)

Casio Computer Co., Ltd.

Group companies in Japan

Total

Male

2,493

2,982

5,475（87%）

Female376423

799（13%）

Total

2,869

3,405

6,274

■ Average employee age in Japan(As of end of March 2010)

Casio Computer Co., Ltd.

Group companies in Japan

Male

44.7

43.8

44.2

Female

36.9

39.1

38.0

Total

43.7

43.2

43.4

■ Average years of service in Japan

Total(As of end of March 2010)

Casio Computer Co., Ltd.

Group companies in Japan

Male

19.2

16.2

17.7

Female

12.3

16.6

14.6

Total

18.3

16.2

17.3

* Not including Hitachi employees at Casio Hitachi Mobile Communications■ Number of employees hired in FY 2010 in Japan (April 1, 2010)
Casio Computer Co., Ltd.

Male

26

Female

6

Total

32

67

Total

Creating Supportive Workplaces
Employees

Casio creates work environments and systems that enable all employees to demonstrate their full potential.

Initiatives to help employees balance work and family life
Casio is working to build a supportive work environment that permits all employees to fulfill their job
responsibilities and demonstrate their full potential on the job. Casio aims to be a place where people
can achieve their desires for their own lifestyles and life stages. As part of this effort, Casio has set up aSpecial Committee on Measures to Aid the Nurturing of the Next Generation of Children. Through theexchange of information between the company and union, and while also considering the opinions of
employees, the committee is working to build an employee support system that adjusts work schedules
for family responsibilities such as child and nursing care. Casio’s programs for child care support surpass
legal requirements in Japan. During the three-year period from fiscal 2008 through 2010, over 90% of theeligible women at Casio Computer Co., Ltd., took childcare leave in connection with childbirth.
As a result of these initiatives, in July 2009, the Japanese Ministry of Health, Labour and Welfare granted
Casio the Kurumin mark for helping to foster the next generation. This certification recognizes Casio as acompany that actively supports employees’ efforts to balance their work and family lives.
Casio Computer Co., Ltd., is working to reduce annual work hours, and is carrying out a “Daily Improvement ‘Zero Overtime Movement’” with an eye to changing work styles and improving productivity.
■ Number of employees taking childcare leave (Casio Computer Co., Ltd.)
Number of employees

FY2008FY2009FY2010272632

Helping senior staff prepare for retirement
Each year, Casio holds Life Planning Seminars for employees who have just reached age 53 or age 58. The
seminars cover topics such as the pension system, as well as living costs, taxes, and health after retirement. This provides participants with an awareness of these issues while they are still working, and helps
them plan their post-retirement lives. Taught by an outside instructor, the seminars also provide financial
information including details on the costs required to sustain full retirement. These learning opportunities
have been well received by participants.

Life Planning Seminar for seniors

68Communication between labor and management
Through regular communication between management and the labor union, Casio hopes to raise theawareness of employees about their participation in the management of the company. Casio values close
communication between labor and management.
At the core of this labor-management communication is the Group Workers’ Labor-Management Conference, which is held twice a year. At these conferences, opinions from management and labor, together
representing the entire group, are exchanged. In addition, close communication is maintained at various
other levels, including the Central Labor-Management Meeting, the Division Labor-Management Meeting,and the Sales Chapter Labor-Management Meeting. Casio operates on a union-shop basis; as a rule, allemployees except for managers are members of the union.

Maintaining employment, even in economic crises
Casio has been deepening the bonds of trust between employees and the company, based on the universal theme of achieving the best conditions for both employee development and corporate growth.
Given the difficult business environment in fiscal 2010, the company worked to maintain employment andensure the effective utilization of personnel through reassignment of regular and non-regular personnel
within the group.

Main employee leave programs
ProgramDescription

Vacation Day
Accumulation

Employees can accumulate a maximum of 30 unused vacation days to carry over to thefollowing year, but which will expire at the end of that year. The leave days can be used if
the employee gets sick or injured, or in order to care for a family member.

Childcare Leave

An employee can take this leave until the day before the child turns one year and six months,
or until March 31 after the child turns one. The employee can also reduce working hours,
up to two hours per day, from the time that the employee returns to work until the childcompletes grade three of elementary school.

Nursing Care Leave

An employee can obtain up to one year of nursing care leave per eligible family member.
After that, the employee can also reduce working hours, up to two hours per day, as long as
the reason for nursing care leave continues.

Re-employmentof Employees that
Retire for Childcare
or Nursing Care
Reasons

This program enables the re-hiring of employees that retire in order to give birth, care for achild, or care for a family member, when they are ready to come back to work.

Child Nursing CareLeave

An employee with a child that has not yet completed grade three of elementary school, cantake up to five days off per year (or ten days when there are two or more eligible children) inorder to care for the child when sick or injured, or in order to take the child for vaccinations
or medical appointments.

Hourly Leave

Employees can take their annual paid leave in hourly increments, for a maximum of five days
per year.

69Motivating Employees to Take on Challenges
Employees

Casio works to maintain a healthy corporate culture where fairness and impartiality are valued in all promotion decisions. The company uses a merit-driven system
combined with a performance-based approach to evaluate employees and determine compensation.

Policies for effectively appointing and deploying employees
Casio continually improves its human resource system to achieve fairness and to maximize “Creativity
and Contribution.”
Casio's human resource system aims to strike the optimal balance between the development of employees and the growth of the company. This is achieved following a basic performance-based approach. No
matter their academic background or age, employees are graded based on the extent of their roles, thenevaluated and compensated based mainly on actual job performance.

Overview of human resource system
Casio's human resource system consists of three subsystems: the Grade System, Appraisal System andCompensation System.
The Grade System forms the base of Casio’s human resource system. For some time now, Casio has
graded and ranked managers based on their individual roles and accomplishments under its Professional
System. Casio now also defines roles for each job type for non-managerial employees under its Role
Grade System. The aim is to increase the acceptance of the Grade System, by clarifying the roles for eachjob type. Casio also encourages employees to target higher positions and pursue self-development. Before receiving a grade promotion, employees must undergo training and interviews, which provides themwith ample opportunities for development.
In the Appraisal System, employees are evaluated in three areas, namely, target achievement under management by objectives, work performance (competency) in their job type, and contribution made toward
the department. The evaluation is made on a five-point scale. Managers discuss the evaluation results individually with each employee in order to seek a high level of understanding.
The Compensation System applies a salary range that is based on job grade under the principle of a competitive salary. Pay raises are given in accordance with performance evaluation and salary levels. Bonuses
are distributed in a balanced way, depending on evaluations. Now, Casio has made application of its performance-based approach even more complete by incorporating allowances, such as those for employee
attributes including family and residence status, into base salaries.

Overview of human resource development
Casio has various human resource development programs designed to develop creative employees whoare eager to take on challenges and to train professionals with early tracking into specialized fields.
Casio aims to develop professionals in the form of strategic generalists who pass on the company’s corporate culture, and technical specialists who pass on the company’s unique technology and know-how.
For this purpose, based on the convictions that people grow through their work and that the source ofgrowth is personal motivation, Casio helps employees improve their skills by providing environmentsthat enable them to overcome challenges through personal determination and effort.
Accordingly, the company emphasizes on-the-job (OJT) training to improve practical skills, complemented
by off-the-job (off-JT) training to provide theoretical knowledge. In recent years, the training system has
been improved to ensure even more effective, efficient skill development via a broader choice of training
courses.

70

■ Training participants
2,200Participants

Percentage of total employees
60%

1,900

50%

1,600

40%

1,300

30%

1,000

2008

2009

2010 (FY)20%

Main human resource development programs
Career Challenge System
This system lets employees periodically register their careers, skills, and personal challenges with thecompany, and serves as an important reference for assisting managers to determine policies on developing their subordinates and future placement planning.

Career Challenge: Advanced
This program preferentially places employees who have been in their current career position for a rather
long time and hope to challenge themselves to pursue work environments and careers that require newskills, for the objective of self-improvement and making further contributions to the company, in their desired divisions, if their desires meet the needs of the new department.

Job Posting System
This system seeks to satisfy both the company's business needs and employees' career paths, and is a
program for priority placement of suitable people, based on selection of candidates for jobs which thecompany offers. It is operated jointly with other Casio group companies.

New Employee Training, Follow-up Training, Career Development Training
Training for young employees becomes a place for learning the basics of being a Casio employee, and offers opportunities for employees to consider their own career paths, with training for new entrants as wellas one-year and three-year employees.

Skill Selective Training
The training targets all regular employees, for the objective of effectively and efficiently acquiring diverse
skills required for work operations, in a training program that allows employees to select from a large variety of training courses.

Techno PowerThis is a technology exhibition held annually for the objective of stimulating engineers, and of sharing
and accumulating technology, serving as a place for recognizing technology superiority, patentability,
completeness, and other in-house advanced technology.

Advanced Technology Seminars
These are in-house seminars mainly targeting engineers, using case studies of innovators at other companies who were able to develop revolutionary new manufacturing methods and create new businesses,
for the objective of understanding advanced technology trends and of fostering a development mindset
and the will to take on challenges.

71

Intrapreneurship Program
Casio established its Intrapreneurship Program in April 2010 to foster the desire to take on challenges andexpand opportunities for new business development. The program allows individual employees to maketheir own business proposals to top management. Those employees whose proposals are approved as
management themes become the project leaders, and then work to realize the goals they proposed.
■ Training System
OJT
Measures to
Measurestrain existingfor proper
workers
to make themplacement
professionals

Off-JT

Department
Manager
CareerTraining

Multi
Evaluation
System forManagers

Other

DivisionManager Rank
Consulting
4
Engineer
Department
Manager Rank
Senior3
Engineer

Follow-up
Training

Assessmentof Job
Performance

New
Employee
Training

72

Venture Program

CareerDevelopment
Training

Patent Award System

G3
CandidateTrainingAwardsystemand other
incentives

Techno Power / President’s Award

G3 Career
Training

Sales Training System for Engineers

G1-1

New
ManagerTraining
Skill Selective Training

T

OJT-MAP

G1-2

Job Posting System

G2

SectionManager
CareerTraining
Career Challenge System

G3

Career Challenge: Advanced

Rank
1

Career Roadmap

Chief
Engineer

Development Evaluation System

Rank
2
Assessment of Job Per formance

SectionManager
Advisory
Engineer

Training for Each Department / Professional Ability

Training for
Skill
specific
selective
job gradetraining

Advanced Technology Seminars / Language Training / Correspondence Education

Training for
selected
employees

Initiatives for Health and Safety
Employees

Casio undertakes various measures to maintain and enhance the health of all employees and prevent occupational injuries.

Approach and policies
Based on Japan’s Industrial Safety and Health Act, various other legal requirements, and Casio’s employment regulations, the entire Casio Group is dedicated to building an environment which ensures that all
employees can work with peace of mind. Casio strives to maintain and enhance employee health and toprevent occupational injuries and eliminate any chance of recurrence if one does occur. Similar measures
have been adopted at group companies outside Japan in compliance with each nation’s laws and regulations.

Occupational health and safety activities
Casio has established Occupational Safety and Health Committees in all of its business locations. The
committees’ industrial physicians, occupational health managers, and labor and management representatives design and implement policies tailored to each workplace, doing all they can to keep employees
physically and mentally healthy and to ensure occupational safety. Committee activities are reported to
employees via the intranet. Casio also runs campaigns to raise employee awareness about occupationalsafety and health.

Initiatives for managing and promoting employee health
Casio goes beyond employee health management. It also seeks, by taking active measures to promotebetter health, to improve employee motivation and raise productivity.
Employees receive regular health checks that are more thorough than legally mandated, in order to maintain and enhance their health and to help prevent lifestyle-related diseases. An increased number of industrial physicians have been stationed at principal Casio sites, and careful health management activities
are being carried out, including offering health guidance to employees after their regular health checks.
In the effort to prevent lifestyle-related illnesses, Casio is promoting initiatives that focus on exercise andhealthy eating. From September to November every year, Casio holds a Walking Campaign at its sites
across Japan: 3,516 people participated in fiscal 2010. In this way, Casio is providing opportunities for employees and their families to improve their health through exercise.
The employee cafeterias provide healthy menu choices featuring a balance of calories and nutrition. Wellness Fairs are also held at all Casio cafeterias.
Casio holds “employee cafeteria conferences” attended by the employees and medical staff of company
sites as well as those who run its cafeterias. The purpose of the meetings is to report and share information on conditions and initiatives in different regions, in order to create menus that meet needs and develop recommendations for improving employee health.

Healthy menu selections in the cafeteria

73

Initiative to prevent overwork
Casio is carrying out an initiative to prevent the damaging health effects to the brain or heart which canbe caused by accumulated fatigue due to long working hours. In order to ensure proper work schedules,
all employees that work 80 hours or more of overtime in a month must be interviewed by an industrial
physician. The physician then checks the employee’s health condition, and provides the person with advice and guidance. In this way, Casio is working to prevent health problems from overwork, and to ensure
employees observe appropriate working hours.

Mental health care initiatives
Casio has established a mental health education system to support the mental health of its employees.
As part of this system, Casio Computer Co., Ltd., has initiated an e-Learning Program, a Self-Checkup,
and a Stress Test by Organization for all its employees. A separate e-Learning Program and a Program forManagers have also been created for those in leadership positions. All of these programs are designed to
improve awareness of mental health issues.
In addition, Casio has an in-house mental health physician and an external Physical and Mental HealthHotline in place to offer counseling in and outside the company.
In fiscal 2011, Casio will begin establishing the same kind of support system for group companies in Japan, in order to ensure that all group employees can perform their jobs in good health.

Quit smoking campaign
Under the Japanese Health Promotion Act that came into effect in 2003, smoking is prohibited in all company buildings. With the aim of encouraging smokers to kick the habit, the Casio Health Insurance Association has created a Quit Smoking Challenge website to provide helpful information and encouragement
to employees seeking to quit.

H1N1 influenza response
In fiscal 2009, Casio took steps to address the H1N1 influenza pandemic. After the new influenza virus was
discovered in Mexico in April 2009, Casio required employees to follow official warnings for international
travel, and refrain from any unnecessary or non-urgent business trips. Later, when the Japanese government announced cases of H1N1 in Japan, Casio carried out complete measures to ensure the safety ofcustomers, suppliers, and employees, including workplace warnings, infection prevention activities, andthe distribution of hand sanitizers and facemasks. As a result, the pandemic passed without any major incidents at Casio.

Safety initiatives
Casio is committed to the goal of zero occupational injuries and operates regular safety programs withthe aim of maintaining an accident-free record at all Casio work sites.
In addition, each site and group company conducts fire and disaster prevention/evacuation drills, as wellas general lifesaving classes to ensure emergency preparedness. The company has made good progresson equipping worksites with automatic external defibrillators (AEDs) and other emergency equipment.

74

■ Occupational injuries at Casio Computer Co., Ltd. (in the last five years)
Injury frequency rate*1

Injury severity rate*2

Casio

Manufacturers

Casio

Manufacturers

FY2006(Jan.–Dec. 2005)

0.60

1.01

0.002

0.090

FY2007(Jan.–Dec. 2006)

1.11

1.02

0.027

0.110

FY2008(Jan.–Dec. 2007)

0.33

1.09

0.004

0.100

FY2009(Jan.–Dec. 2008)

0.51

1.12

0.005

0.100

FY2010(Jan.–Dec. 2009)

0.19

0.99

0.001

0.080

*1 Number of deaths and injuries, per 1 million actual cumulative working hours, resulting from occupational accidents.
*2 Work days lost per 1,000 actual cumulative working hours; indicates accident severity.
* The term“occupational injuries”here includes injuries or illnesses (requiring at least 1 day off work) and deaths of workers in connection withthe performance of their jobs.

75Responsibilities to Society
Society

Striving to be a model corporate citizen, Casio makes the most of its unique knowhow and management resources to fulfill its various social responsibilities.

Philosophy on Social Contribution
Aiming to help create a healthy, generous society, Casio is earnestly engaged in a variety of social contribution initiatives.
Casio takes good corporate citizenship literally, so its process for determining the most useful things to
do is guided by communication with various stakeholders. The five priority themes of Casio’s social contribution initiatives are outlined in the figure below. Leveraging its unique know-how and management
resources as well as the wide range of knowledge and experience possessed by its employees, Casio fulfills its social responsibilities in its own innovative way.
■ Casio's social contribution priorities
Educationof the next
generation
Cultureand arts

Casio’s social
contribution
priorities

Study
and
research

Environmental
conservation

Community
service

Activities to help nurture the next generation
Casio helps to prepare today’s youth to build a better future by offering school visits and factory tours forstudents in and outside Japan(see pages 24-27).

Support for the Casio Science Promotion Foundation
Casio is contributing to the development of science and technology by supporting the Casio Science Promotion Foundation.

About the Foundation
The Casio Science Promotion Foundation was established in 1982 by the four Kashio brothers and the former
chairman, Shigeru Kashio.
The Foundation provides research grants with the principle objective of fostering pioneering and creative
research in the early stages by young researchers who are persevering with challenging research on limited
funding. This is based on the philosophy that advanced R&D should be promoted in various fields, in order tofulfill the Foundation’s mission of helping Japan contribute to the world as a nation of advanced technology.
The Foundation provides grants in a wide range of scientific fields-from electronic and mechanical engineering, to natural sciences related to health, to energy saving-as well as in the cultural sciences including humanresources development and human behavior.
Over the last 27 years, the Foundation has provided a total of about ¥1.281 billion in 1,014 grants.

The 27th grant presentation ceremony (fiscal 2010)76

Grants in fiscal 2010
In addition to its 21 basic categories in 5 fields, in fiscal 2010 the Foundation established 3 special topics
considered to be important based on recent social trends: miniaturization and energy-saving technology;
electronic devices for the maintenance and improvement of health; and human intellectual progress in an IT
society.
After asking 135 universities to submit research topic proposals, the Foundation received the highest number of applications to date: 216 proposals from 72 universities. The large number of proposals on health andenvironment-related topics was an indicator of the current scientific and technological needs.
After a rigorous selection process, ¥45 million (37 grants) was awarded in the natural sciences, and ¥7
million (5 grants) was awarded in the cultural sciences. Most of the grant recipients are in their thirties orfourthies, and many young researchers representing the promise of the next generation attended the grantpresentation ceremony held in December 2009.
■ Grants from the Casio Science Promotion Foundation(¥ million)
60(grants)
60

Total amount (¥ million)
Number of grants

50

50

40

40

30

30

20

1984

1988

1993

1998

2003

2008

20
2010 (FY)

Message from the Foundation

Tomohiro Shimizu

In recent years, there has been a rapid increase in the need for research grants,
and in fiscal 2010 we received five times the anticipated number of applications.
Due to the substantial strengthening of regulations on foundations for serving
the public interest, we must take great pains to ensure that our review and selection system is fair and impartial. At the Casio Science Promotion Foundation,
we pledge to put even more effort into our social mission of fostering goodscience and technology, in order to better meet the pressing needs of society
today.

Secretary General,
Casio Science Promotion Foundation

Message from a grant recipient

Junichi Shirakashi

Researchers are now trying to find engineering applications for unique phenomena found in the microscopic world of atoms and molecules. In the researchareas known as nanoelectronics and nanotechnology, I am undertaking an inevitably exploratory and challenging research topic. Due to the pioneering natureof my work, I have encountered many difficulties in getting people to properly
understand the significance, intention, and full scope of the research project.
This is why I feel a special debt of gratitude to the Foundation for recognizing
and supporting this research. I look forward to further support in the future.

Associate Professor,
Graduate School ofEngineering
Tokyo University of Agriculture and Technology

77Supporting the Dolphin & Whale Eco-Research Network
Since the Fourth International Dolphin and Whale Conference held in Japan in 1994, Casio has been offering special G-SHOCK and Baby-G models to support the protection of these wondrous animals. Part ofthe proceeds from the sales of these watches is donated to the International Cetacean Education ResearchCenter (ICERC) of Japan*1. In this way, Casio has been supporting worldwide education and research activities relating to dolphins and whales.
In fiscal 2010, Casio launched a lineup of four G-SHOCK and Baby-G models featuring the ocean, animals,
and plants based on the theme of “Love the Sea and the Earth.” Part of the proceeds from these models
will be donated to ICERC of Japan, which Casio has long supported with dolphin and whale watch models, and another part to the Earthwatch Institute,*2 which promotes environmental protection and research.
*1 International Cetacean Education Research Center (ICERC) of Japan	Founded in 1991, this non-profit organization undertakes activities to convey the wonder of dolphins, whales, and nature. Participants follow
the three steps of learning, encountering, and caring, in order to help protect dolphins, whales and the natural environment.
*2 Earthwatch Institute	This international NGO was established in 1971 in Boston, Massachusetts, and is the oldest and most trusted organization of its kind in theworld. It provides both funding and human resources for ongoing environmental research activities in the field. Earthwatch sends out volunteers
to conduct field research around the world relating to climate change, wild animals, and ecosystems.

G-SHOCK and Baby-G watches help support the International Dolphin & Whale Eco-Research Network project

Relief efforts for disaster victims
When a major natural disaster strikes, Casio provides relief to disaster victims, as well as support for
rapid post-disaster reconstruction.

Fiscal 2010 initiatives
・Donated NT$150,000 to help the victims of Typhoon Morakot in Taiwan.
・Contributed ¥1.9 million to help the victims of the 2009 earthquake in Sumatra, Indonesia.
・Donated ¥1.0 million to help the victims of Typhoon Ketsana in the Philippines.
・Donated ¥1.0 million to help the victims of the Haiti earthquake.
・Donated ¥1.0 million to help the victims of the 2010 earthquake in Chile.

Supporting a Japanese master’s thesis contest in China
For the second consecutive year, Casio (Shanghai) Co., Ltd., provided support for the only master’s thesis
contest for Chinese graduate students in the field of Japanese-language studies. Held in fiscal 2010, thecontest was sponsored by the Guidance Committee for Foreign Language Higher Education of China’s
Ministry of Education, the Japan Association of Chinese Language Education, and the Beijing Center forJapanese Studies at Beijing Foreign Studies University.

78The purpose of the contest is to promote exchange with various Chinese universities, to improve the fieldof Japanese studies in China, and to foster even more outstanding Japanese-language researchers in thatcountry. As a manufacturer of electronic dictionaries, Casio is actively supporting this effort as the organizer of the thesis contest, which is called the Casio Cup.
For the second annual contest held in fiscal 2010, 41 master’s theses were submitted from 33 universities,
an increase of four universities from fiscal 2009. The entries were evaluated by a panel of Chinese andJapanese experts, and three scholars took a first prize, six received a second prize, and nine obtained athird prize.
Casio (Shanghai) will continue to provide support for the development of Japanese-language education
and Japanese studies research in China.

Award ceremony at the Beijing Center for Japanese Studies, Beijing Foreign
Studies University

Donation of graphing scientific calculators to Chicago public schools
Casio America donated 5,000 graphing scientific calculators to 20 public schools in Chicago.
Students at some US high schools use graphing scientific calculators in their classes. However, due to differences in household income, not all students can afford to buy one.
In order to provide learning opportunities to as many students as possible using graphing scientific calculators, Casio America worked together with Chicago public schools. The company provided not only products but also training to teachers at recipient schools, to support more effective classroom instruction.
The teachers praised the devices, saying that Casio’s graphing scientific calculators are easy to use andhelpful for increasing student understanding.
Casio America will continue to provide support and training to other interested schools.

Teacher training79Support for Cherry Marathon in Higashine City
Yamagata Casio has been supporting the Cherry Marathon in Higashine City since 2004. The company’s
intention is to become an enterprise that is appreciated by the local residents not only for its corporate
activities, but also for its contribution to the local community and Higashine City.
At the eighth annual marathon held in 2009, Yamagata Casio provided prizes as a corporate sponsor andset up a sales booth. About 40 Yamagata Casio employees also participated in the event as runners, cheering squad members, and route volunteers.
In order to forge even deeper relationships of cooperation and trust with local residents, the company willcontinue to actively promote this kind of community contribution activity.

Yamagata Casio cheering squad80Other major social contribution initiatives■ Social contribution initiatives in fiscal 2010
Details

Implementing
organization

Hosting class visits

As part of general studies programs, welcomed 400 students,
mostly junior and senior high school students.

Casio Computer Co., Ltd.

Participation in a program for teacher training byprivate companies

Participated in a program for the training of teachers at privatecompanies sponsored by the Japan Institute for Social andEconomic Affairs. Welcomed five teachers for a three-day
program.

Casio Computer Co., Ltd.

Education

Category

Theme

Educational activities at the Casio World Open
Golf Tournament

Environment

Casio Computer Co., Ltd.

2) Tour golfers gave golf lessons to 22 elementary school
students.
Accepting trainees from a vocational college

280 students from a railway vocational college in Huaihua City,
Casio Electronic
Hunan Province received hands-on experience on an electronic
Technology (Zhongshan)
dictionary production line from November 2009 to February 2010 Co., Ltd.

Student training as part of university courses

Provided three to four months of practical training to 19 Thai
university students in work relating to their majors, consistent
with their university classes.

Casio (Thailand) Co., Ltd.

Hosted two university students and gave them approximately
two weeks of on-the-job training.

Casio Information
Systems Co., Ltd.

Hosted nine university students and gave them on-the-job
training.

Kochi Casio Co., Ltd.

Internship participation

Other

1) Invited local elementary school students to the competition.
Gave them a tour of the event as part of an extra-curricularlearning program, let them experience the game of Snag Golf,
and gave them a tour of the broadcasting center.

Participation in Lights Out Campaign

The Japanese Ministry of the Environment sponsored a CO 2
Reduction Lights Out Campaign on June 21 and July 7, 2009.
On these two days, four Casio Group companies (including six
Casio Group
workplaces) participated in activities to turn off unnecessary
lights. By saving 2,415 kWh of electricity, the total CO 2 reduction
effect of this effort was about 913 kg of CO 2 .

Promoting Ecocap activities

Casio Techno, Casio Information Systems, Casio Business
Service, and Casio Computer Co., Ltd. (sales offices in Japan)
joined an Ecocap campaign carried out by the NPO Ecocap
Movement, and donated used plastic bottle caps.

Participation in tree-planting activities

In order to help beautify the urban environment in Shenzhen,
Electronics
China, 29 Casio employees participated in a tree-planting event Casio(Shenzhen) Co., Ltd.
sponsored by the Shenzhen Greening Fund, and planted 35 trees.

Manufacturing and distributing eco-bags

Manufactured eco-bags and distributed them to employees andsuppliers.

Participation in Kokubu River grass burning

As a contribution to the local community, 27 employees took partin the clean-up (grass burning) along the Kokubu River, in order to Kochi Casio Co., Ltd.
eliminate harmful insects and raise awareness of environmental
beautification.

Participation in the Saitama Global Warming
Prevention Winter and Summer Campaigns

A total of 130 employees and family members participated in thisenergy-saving initiative by keeping their homes at a moderate
Casio Electronic
temperature, and turning off unneeded lights and electrical
Manufacturing Co., Ltd.
appliances.

Volunteer clean-up activity

Regular clean-up activities held around Casio Group sites by
employee volunteers.

Casio Group

Participation in blood donation and bone marrowdonor registration drives

Employees participated in drives held at Casio Computer Co.,
Ltd., Yamagata Casio, Kofu Casio, Kochi Casio, Casio Micronics,
Casio Hitachi Mobile, and Casio (Thailand) Co., Ltd.

Casio Group

Subcontracting of product disassembly andunpacking to workshops employing people withdisabilities

Consigned work to workshops for people with disabilities. The
work involved disassembly, unpacking, and sorting of disposed
products, accessories and sales promotion materials. This
contributed to the local community by helping people withdisabilities to become independent.

Casio Business Service
Co., Ltd.

81

Casio Group

Casio Electronics(Shenzhen) Co., Ltd.

■ Donations in fiscal 2010
Category

Education

Project title

Donation recipient

Implementing
organization

Support for the International University of Japan

International University of Japan

Casio Computer Co., Ltd.

Donation to SIFE JAPANSIFE JAPANCasio Computer Co., Ltd.

Established the Casio Education Fellowship

Peking University, Beijing Foreign Language Studies University,
Tianjin Foreign Languages University, Shanghai International Studies
University, East China University of Political Science and Law, and Casio (Shanghai) Co., Ltd.
Tongji University, etc.

Establishment of a Casio scholarship fundPinellas City Schools, Florida; Denver Public Schools, Colorado; Omaha Casio America, Inc.
Public Schools, Nebraska

Donations to the Costco Scholarship Fund

Costco Scholarship Fund

Donation to the Toys“R”Us Children's Fund

The Toys“R”Us Children's Fund

Casio America, Inc.

T he 3rd“SF L EP·C ASIO”National E asy Reading Shanghai Foreign Language Education Press
Competition

Casio (Shanghai) Co., Ltd.

Eighth“21st Century CASIO Cup”National High School China Daily
and Primary School English Speaking Competition

Casio (Shanghai) Co., Ltd.

Support for Chinese teachers to participate in the 2009 Asian Technology Conference in Mathematics
Asian Technology Conference in Mathematics (ATCM)

Casio (Shanghai) Co., Ltd.

Suppor t for the International A r t & Technolog y International Art & Technology Cooperation Organization (ArTech) Casio Computer Co., Ltd.
Cooperation Organization (ArTech)(NGO)
Donation to Keidanren Nature Conservation Fund

Keidanren Nature Conservation Fund

Casio Computer Co., Ltd.

Support for the“Think the Earth Project”

Think the Earth Project (NPO)

Casio Computer Co., Ltd.

Environment Support for WWF Japan (World Wide Fund for Nature WWF Japan (NGO)Japan)

Cultureand arts

Donation to the Japan Industrial Waste Management Japan Industrial Waste Management Foundation
Foundation

Casio Computer Co., Ltd.

Support for the cultivation of tulip bulbs and Ohga lotus Hamura City, Tokyo
for the preservation of fallow rice fields

Casio Computer Co., Ltd.

Support for the NHK Symphony Orchestra

NHK Symphony Orchestra

Casio Computer Co., Ltd.

Support for the Tokyo Philharmonic Orchestra

Tokyo Philharmonic Orchestra

Casio Computer Co., Ltd.

Sponsorship of the Friends Association, MAISON DE Friends Association, MAISON DE LA CULTURE DU JAPON À PARISLA CULTURE DU JAPON À PARIS

Casio Computer Co., Ltd.

Support for the National Children’s Keyboard Contest

Casio (Shanghai) Co., Ltd.

Soong Ching Ling Foundation (China)

Local
Donations to local temples, kindergar tens, and Local temples, kindergartens, and elementary schools
communities elementary schools
Support for World Children’s Baseball Fairs
Other

Casio Computer Co., Ltd.

World Children’s Baseball Foundation

Casio (Thailand) Co., Ltd.
Casio Computer Co., Ltd.

Volunteer employee p ar ticip ation in the Kanp a Japan Commit tee for UNICEF, National Federation of UNESCO Volunteers from the Casio
fundraising activit y for promoting social welfare Associations in Japan, the Ashinaga organization, and other
Labor Union
sponsored by the Casio Labor Union

82

Environmental Action Plan (Targets and Performance)
Environment

Casio sets environmental targets and undertakes environmental initiatives for eachfiscal year, based on a detailed Environmental Management policy which takes into
account the latest global trends.

Fiscal 2010 Casio Environmental Action Plan

Product Targets
1. Development target for eco-products
Increase Casio Green Star product sales to30% of total sales by
FY2013.

Plant and business-site targets
1. Medium- and long-term targets for greenhouse gas emissions reduction
Medium-termtargetTo reduce the total volume of global
greenhouse gas emissions from

Long-term
targetbusiness activities by 30% comparedto fiscal 2006, by fiscal 2021

To reduce the total volume of global
greenhouse gas emissions frombusiness activities by 80% comparedto fiscal 2006, by fiscal 2051.

* Business activities: This indicates activities of production sites and offices in Japan and overseas, and does not include CO2 emissions from logistics,
product usage, or employee travel.

2. Energy conservation targets (electrical power, fuel, etc.)
Reduce CO2 emissions per unit ofJapan production
sites

actual production by 35%,
averaged over 5 years from FY2009
to 2013 (compared to FY 1991)

Reduce CO2 emissions per unit of

Production sites
outside Japanproduction by 30% by FY2013(compared to FY 2005)* Actual production is calculated by adjusting the production output by the Bank of Japan Domestic Corporate Goods Price Index for electronic products,
based on the policies of the four main electrical and electronics industry associations in Japan

Reduce CO2 emissions per unit by

Japan officesites

Reduce CO2 emissions per unit

9%, averaged over 5 years from

Office sites
outside Japan

FY2009 to 2013
(compared to FY 1991)

by 3% by FY2013(compared to FY 2005)

3. Reduction target for greenhouse gases other than CO2
Reduce total emissions of greenhouse gases other than CO2 (CO2 equivalent) to below 2000 level by 2010.
・Eliminate or reduce SF6 emissions
・Reduce HFC-134a emissions*Eliminate or reduce SF6 used in the electronic component production process*Replace HFC-134a used in machinery such as dust blowers, with products that use chemical substances that have a lower global warming factor

4. Resource conservation targets (water, paper)
Reduce water usage per unit ofJapan production
sites

actual production by 25% by fiscal
2013 compared to fiscal 2001.

Reduce water usage per unit of

Production sites
outside Japanproduction by 15% by fiscal
2013 compared to fiscal 2005.

Reduce paper usage in offices per

Japan sites

unit of sales by 10% by fiscal 2013
compared to fiscal 2008.

5. Waste reduction targets
Reduce generation of waste per

Japan sites

Reduce generation of waste perunit of actual production by 50％
by fiscal 2013 compared withfiscal 2001.

Production sites
outside Japan

83

unit of production by 30％ by
fiscal 2013 compared to fiscal
2005.

6. Volatile organic compound (VOC) reduction targetJapan
production sites

Reduce emissions of VOCs by 30％ by fiscal 2011 compared to fiscal 2001.
*20 types of VOCs are specified by the four main electrical and electronics industry associations in Japan.
Among them, Casio uses 8 types.

7. Hazardous substance phase-out target

Detoxify PCB-containing equipment now in storage as Japan Environmental Safety
Corporation (JESCO) starts program in each region.
・Kofu Casio Co., Ltd: By fiscal 2014
*Store stabilizers, including the low concentration capacitors kept at Hachioji R&D Center, until they can be accepted by JESCO.

8. Target for output reduction of PRTR substancesJapan
production sites

Reduce output of PRTR substances per unit of actual production by 40％ by
fiscal 2013 compared to fiscal 2004.

9. Green procurement target
Achieve 100％ green parts procurement rate (all supplied parts are green parts) by fiscal 2011.
*1 Parts and materials that do not contain prohibited substances as designated by Casio*2 Excluding those substances that are within legal limits, if customer requests

10. Green purchasing target
Raise the green purchasing ratio at Japan sites to 75％ of total purchases (based on the numberof purchases) by fiscal 2013.
*Applicable to sites using the CATS e-P system

Overall business activity targets
1. Biodiversity preservation target
To preserve biodiversity and eco-system services,conduct biodiversity impact surveys in all businessareas by 2011, and establish a policy theme84

■ Fiscal 2010 Casio Environmental Action Plan Performance
Theme

TargetPer-unit value of baseyear, etc.

Product targets
1. Eco-products

Actual performance of
Performance by the end Progress
per-unit value for FY2010,
of FY2010
assessment
etc.

Target per-unit value oftarget year, etc.
In parentheses (Raise share of Green Star
Product sales in total sales.

Increase Green Star Productsales to 30% of total sales by
FY2013.
Maintain Green Product sales
at 80% of total sales or more.

―): FY2009

Upper level: Compared with base year
Lower level: (Compared with previous year)
14.2 percentage points
remaining to reach target
Exceeded target by 3
percentage points

30%[80% or more]

15.8％［83％ ]

0.203(Tons-CO2/¥ million)

0.217*(0.181)(Tons-CO2/¥
million)Reduced by 30.4%*Average value for(Increased by 19.9%)
FY2009 and FY2010☆

10,458(Tons-CO2)

9,533*(9,655)(Tons-CO2/¥
million)Reduced by 17.0%*Average value for(Reduced by 1.3%)
FY2009 and FY2010

FY2010☆☆☆

☆

Plant and business-site targets
Reduce CO2 emissions(Japan production sites)

1. Energy conservation Reduce CO2 emissions(Japan office sites)(electrical power,
fuel, etc.)
Reduce CO2 emissions(production sites outside
Japan)

2. Reduction ofgreenhouse gases

Reduce emissions per unit ofproduction by 30% by FY2013
compared to FY2005.

0.235(Tons-CO2/¥ million)

0.164(Tons-CO2/¥ million)

0.265(0.291)(Tons-CO2/¥ million)

Increased by 12.8%(Reduced by 8.9%)☆☆

Reduce CO2 emissions (officesites outside Japan)

Reduce total emissions by
3% by FY2013 compared to
FY2005.

5,099(Tons-CO2)

4,263(Tons-CO2)

7,362(6,493)(Tons-CO2)

Increased by 44.4%(Increased by 13.4%)●

Reduce total emissions ofgreenhouse gases other than
CO2 (CO2 equivalent) to below
2000 level.

Reduce total emissions to
below 2000 level by 2010.

7,278（Tons-CO2)

7,278（Tons-CO2) or below

11,355(18,021)（Tons-CO2)

Increased by 56.0%(Increased by 37.0%)☆☆

0.0077(Thousand m3/ ¥ million)

0.0058(Thousand m3/ ¥ million)

0.0094(0.0061)(Thousand m3/ ¥ million)"Increased by 22.1%(Increased by 54.1%)●

0.0039(Thousand m3/ ¥ million)

0.0033(Thousand m3/ ¥ million)

0.0032(0.0031)(Thousand m3/ ¥ million)"Reduced by 17.9%(Reduced by 3.2%)☆☆☆

0.00035(Tons/¥ million)

0.00032(Tons/¥ million)

0.00041(0.00037)(Tons/¥ million)"Increased by 16.2%(Increased by 11.3%)

●

0.024
(Tons/¥ million)

0.012(Tons/¥ million)

0.021(0.014)(Tons/¥ million)

Reduced by 12.5%(Increased by 50.0%)☆

Reduce waste per unit ofproduction by 30% by FY2013
compared to FY2005.

0.012(Tons/¥ million)

0.008(Tons/¥ million)

0.0106(0.0124)(Tons/¥ million)

Reduced by 11.7%(Reduced by 14.5%)☆☆

Reduce emissions by 30% by
FY2011 compared to FY2001.

47 tons

33 tons

32 tons(39 tons)

Reduced by 31.9%(Reduced by 17.9%)☆☆☆

Reduce water usage (Japanproduction sites)
3. Resource
Reduce water usage
conservation (water, (production sites outside
paper)
Japan)
Reduce office paper usage(Japan sites)
Reduce generation of waste(Japan sites)
4. Waste reduction

Reduce generation of waste(production sites outside
Japan)
5. Reduction of volatile Reduce emissions of VOCs toorganic compounds atmosphere(VOCs)(Japan production site)

Detoxify PCB-containing
equipment now in storage as
6. Hazardous
substance phase-out Japan Environmental Safety
Corporation starts
7. Output reduction of
PRTR substances

8. Green procurement

9. Green purchasing

10. Logistics-related
global warming
countermeasures

Reduce emissions per unitof actual production by 35%,
0.312
averaged over 5 years from
(Tons-CO2/¥ million)
FY2009 to 2013, comparedwith FY1991.
Reduce total emissions by 9%,
averaged over 5 years from11,492(Tons-CO2)
FY2009 to 2013, comparedwith FY1991.

Reduce usage per unit ofactual production by 25% by
FY2013 compared to FY2001.
Reduce usage per unit ofproduction by 15% by FY2013
compared to FY2005.
Reduce usage per unit of sales
by 10% by FY2013 comparedto FY2008.
Reduce waste per unit ofactual production by 50% by
FY2013 compared to FY2001.

Detoxify all PCBs stored at
Kofu Casio by FY2015.

―

Reduce output of PRTR
substances(Japan production sites)

Reduce output per unit ofactual production by 40% by
0.00011(Tons/¥ million)
FY2013 compared to FY2004.
Achieve green partprocurement ratio (ratio ofgreen parts*1 to all parts andmaterials ordered) at sites inand outside Japan of 100%.*2
Improve the green procurement *1 Parts and materials that―ratio.
do not contain prohibited
substances as designated by
Casio*2 Excluding those substancesthat are within legal limits, if
customer requests―

Finished delivering thisequipment to JESCO.
Continuing to store
equipment until it can be
accepted for treatment.

―

Reduced by 51.2%(Reduced by 28.4%)

0.00006(Tons/¥ million)

0.00005(0.00004)(Tons/¥ million)

FY2011: 100%

In Japan: 100%
Outside Japan: 100%

―

☆☆☆

70%

70%

―

☆☆☆☆

☆☆☆

Raise green purchasing ratio
to 70% of total purchases
of office supplies and officeequipment (Japan sites)

Raise the ratio to 70% of totalpurchases by FY2009 (basedon the number of purchases)

Reduce CO2 emissions(distribution in Japan)

Reduce emissions per unitof sales in Japan by 40% by
FY2010 compared to FY2001.

11.4(Tons/¥ billion)

6.8(Tons/¥ billion)

7.9(7.2)(Tons/¥ billion)

Reduced by 31.1%(Reduced by 8.9%)＊△

Reduced CO2 emissions(distribution outside Japan)

Reduce CO emissions perunit of sales outside Japan by
5% by FY2010 compared to
FY2005.

171.3(Tons/¥ billion)

162.7(Tons/¥ billion)

209.8(185.0)(Tons/¥ billion)

Increased by 22.5%(Increased by 13.4%)●

Conduct biodiversity
impact surveys in all
business areas by 2011,and establish a policy
theme.

☆

―

2

Overall business activity targets
1. Biodiversity
preservation target

Preserve biodiversity and ecosystem services

Conduct biodiversity impact
surveys in all business areas
by 2011, and establish a policy
theme.

――* The scope of target for logistics-related global warming countermeasures in and outside Japan is distribution for product sales.

―* △ : Target not achieved, but improvement made beyond base value

Progress assessment key
1. Target was achieved and a new, higher target was established.
2. Target was achieved.
3. T arget not achieved, but steady improvement made over previous fiscal year.
4. M aking progress toward achieving target and expect results next fiscal year and beyond.
5. Same as or worse than base value.

85

☆☆☆☆
☆☆☆
☆☆
☆
●

Material Balance
Environment

The material balance represents an environmental assessment of Casio’s energysaving and resource-saving manufacturing practices. Casio is always striving tominimize its energy and resource inputs as well as its

What is a material balance?
A material balance provides an overall picture of a company's environmental impact. It shows the amountof energy and resources a company uses in its business activities (inputs into business activities), theamount of environmentally harmful substances (including waste) it emits, and the amount of output it
produces and sells (outputs from its business activities).

Fiscal 2010 performance
In fiscal 2010, Casio’s consolidated sales contracted about 17% from the previous fiscal year due to thelingering global economic downturn. As a result, many of the input and output items on the fiscal 2010
material balance also declined year on year.
Due to the drop in production, many of the per-unit-of-production figures relating to Casio’s Environmental Action Plan deteriorated. In particular, since there was a large decrease in output at production sites inJapan, results per unit of production fell substantially for these sites.
This fiscal year, the electronic components business (Kochi Casio, etc.) and the cellular phone businesswere removed from Casio’s scope of consolidation, and substantial environmental performance improvements are expected. Furthermore, improvements are being promoted within the group by shifting to production equipment with better energy efficiency and streamlining production processes.

86

■ Material balance in business activities (fiscal 2010)Material balance for business sites

InputsMaterial balance for products

Outputs

crude oil
44,907 kl
equivalentElectricity
154.826 million kWhcrude oil
Fuel
5,630 klequivalent
Water resources
2.1839 million m3
SF6 (sulfur hexafluoride)
0.9 tons

Greenhouse gases

EnergyGreenhouse gases otherthan SF6
Paper usage
PRTR substanceParts and materials

Recycled material
Manuals
Recycled material
Packaging material
Recycled material

SF6 emissions
Other greenhousegas emissions

R&D/design

23,933 tons
246 tons
5,133 tons
304 tons
12,390 tons
10,049 tons

87,674 tons-CO2
tons-CO 2
10,405 equivalent
2
950 tons-CO
equivalent

Air pollutants*1

0.7 tons
143 tons
161 tons
111 tons

VOC*2

CO2 emissions

11.1 tons
3.9 tons
0.4 tons

NOx
SOx
Dust

33 tons

VOC emissions
to atmospheremillion1.8529 m3
29 tons

Wastewater

Procurement

BOD
PRTR substanceReleases / transfers

90 tons
10 tons
80 tons

Releases
Transfers

5,584 tons
3,148 tons
2,436 tons

Waste generated, etc.
Waste

2,600 m3

Rainwater
Recycled industrial
water

170,000 m3

Valuables

Manufacture

9 tons

Reused plastics

Landfill disposal

346 tons

Recycled waste*3

5,080 tons

CO2 emissions

91,521 tons-CO 2

Logistics*4

Logistics
sales

Electricity

Sales TFT-LCD packaging

120 million
0.2 tons

CO2 emissions

10,429 tons-CO 2

Total products sold

24.730 million kWh
Use

Recovered
System equipmentfrom corporate customers

Recycled
20.6 tons

0.17 tons
3.4 tons
Drums and toner cartridges
370 tons

System equipmentfrom corporate customers

Household PCs

Label printer tape cartridges

0.13 tons
3.4 tons
Drums and toner cartridges 362 tons
Household PCs

Recoveryrecycling*1. Ozone depleting substances have been fully phased out.
*2. Parts and materials include consumables, such as toner cartridges.
*3. Recycled waste includes thermally recycled material.
*4. Product distribution is consigned to transportation companies.

87

17.1 tons

Label printer tape cartridges

■ Material Balance (Electronics Segment)
Material balance for business sites

InputsMaterial balance for products

Outputs

crude oil
17,556 kl
equivalentElectricity
59.843 million kWhcrude oil
Fuel2,290 klequivalent
Water resources
0.4769 million m3
SF6 (sulfur hexafluoride)
0 tonsGreenhouse gases

EnergyGreenhouse gases otherthan SF6
VOC
Paper usage
PRTR substanceParts and materials*2
Recycled material
Manuals
Recycled material
Packaging material
Recycled material

CO2 emissions
SF6 emissions
Other greenhousegas emissions

R&D/design2
950.3 tons-CO
equivalent

Air pollutants*1

0.7 tons
0 tons
152 tons
0.9 tons
23,430 tons
246 tons
5,133 tons
304 tons
11,906 tons
9,604 tons

44,146 tons-CO2
tons-CO 2
0 equivalent

0.9 tons
1.7 tons
0.2 tons

NOx
SOx
Dust

0 tons

VOC emissions
to atmospheremillion0.4223 m3
13 tons

Wastewater

Procurement

BOD
PRTR substanceReleases / transfers

0 tons0 tons0 tonsReleases
Transfers

3,150 tons
1,536 tons
1,614 tons

Waste generated, etc.
Rainwater

2,600 m3

Recycled industrial
water

45,000 m3

Waste
Valuables

Manufacture

9 tons

Reused plastics

Landfill disposal

343 tons

Recycled waste*3

2,731 tons

CO2 emissions

91,521 tons-CO 2

Logistics*4

Logistics
sales

Electricity

Sales

24.730 million kWh

90 million

Total products soldCO2 emissions

10,429 tons-CO 2

Use

Recovered
System equipmentfrom corporate customers

Recycled
20.6 tons

0.17 tons
Label printer tape cartridges 3.4 tons
Drums and toner cartridges
370 tons

System equipmentfrom corporate customers

Household PCs

Recoveryrecycling*1. Ozone depleting substances have been fully phased out.
*2. Parts and materials include consumables, such as toner cartridges.
*3. Recycled waste includes thermally recycled material.
*4. Product distribution is consigned to transportation companies.

88

17.1 tons

0.13 tons
3.4 tons
Drums and toner cartridges 362 tons
Household PCs

Label printer tape cartridges

■ Material Balance (Electronic Components Segment)
Material balance for business sites

InputsEnergyOutputs
Greenhouse gases

crude oil
27,351 kl
equivalent

94.983 million kWhcrude oil
Fuel
3,340 klequivalent
Water resources
1.707 million m3
SF6 (sulfur hexafluoride)
0.9 tons
Electricity

Material balance for products

Greenhouse gases otherthan SF6
VOC
Paper usage
PRTR substanceCO2 emissions
SF6 emissions
Other greenhousegas emissions

R&D/design

Packaging material
Recycled material

0 tonsNOx
SOx

143 tons
9 tons
110 tons

Dust
VOC emissions
to atmosphere
Wastewater
BOD
PRTR substanceReleases / transfers

503 tons
484 tons
446 tons

Releases
Transfers
Waste generated, etc.
Waste

Recycled industrial
water

125,000 m3

Valuables

Manufacture*4

Logistics
sales

10 tons
2.2 tons
0.2 tons
33 tons
million1.4306 m3
16 tons
90 tons
10 tons
80 tons
2,435 tons
1,612 tons
822 tons

Landfill disposal

2.9 tons

Recycled waste*3

2,349 tons

Total products sold

30 million
0.2 tons

Sales TFT-LCD packaging*1. Ozone depleting substances have been fully phased out.
*2. Parts and materials include consumables, such as toner cartridges.
*3. Recycled waste includes thermally recycled material.
*4. Product distribution is consigned to transportation companies.

89

2
0 tons-CO
equivalent

Air pollutants*1

Procurement
Parts and materials*2

43,528 tons-CO2
tons-CO 2
10,405 equivalentPerformance Data
Environment

This section provides a report on the performance data for Casio’s business activities in fiscal 2010.

Reducing CO2 emissions
Fiscal 2010 marked the second year of the target period (five years from fiscal 2009 to fiscal 2013) for CO2
emissions from sites in Japan. The performance figures using comparisons with the base year are average values for the initial year (fiscal 2009) and the second year (fiscal 2010).
The target for the production sites in Japan was a 35% reduction in CO 2 emissions per unit of actual
production compared to fiscal 1991. In fiscal 2010, Casio’s CO2 emissions were approximately 30% lower
than in fiscal 1991, but this was about a 20% increase compared to the previous fiscal year. The increasein the amount per unit of actual production compared to the previous fiscal year was due to a substantial
decrease in production in Japan. Thanks to energy savings from adopting a heating system that replaces
absorption chillers, which use heavy fuel oil A, with turbo chillers that run on electricity, the total volumeof CO2 emissions fell by about 12% from the previous year.
The target for office sites in Japan was a 9% reduction in the total amount of CO2 emissions compared tofiscal 1991. In fiscal 2010, emissions were about 17% lower than in fiscal 1991, meeting the target again
this year. This was also an approximately 1% reduction from the previous fiscal year.
Fiscal 2013 is the target year for all sites outside Japan.
The target for production sites outside Japan was a 30% reduction in CO2 emissions per unit of production compared to fiscal 2005. Although fiscal 2010 emissions were about 13% higher than in fiscal 2005,
production sites outside Japan saw an approximately 9% reduction from the previous year
The target for office sites outside Japan was a 3% reduction in the total amount of CO2 emissions compared to fiscal 2005. In fiscal 2010, emissions were approximately 44% higher than in fiscal 2005, and thisalso represented an approximately 13% increase over the previous fiscal year. The reason for this increaseover the previous fiscal year was an increase in emissions based on the newly built Casio Europe officebuilding that went into operation at the end of fiscal 2009. As a result of constructing and moving to thenew office building, several logistics sites that were previously not included in the scope of data reporting
were integrated into the expanded facility. Thus, comprehensive data are now included. In addition, theenergy used by office heating and cooling systems was previously not ascertained due to the fact that it
was included in facility rental costs. Since this information can now be directly tracked, it has made thetotal CO2 emissions figure for Casio Europe more accurate, and higher.
Casio will continue to strive to improve the energy efficiency of its production equipment and to streamline production processes at all its production sites in and outside Japan. The company will also work to
reduce CO2 emissions by promoting energy-saving measures for its lighting and heating/cooling equipment at offices in and outside Japan.
■ CO2 emissions (production sites in Japan)
CO2 emissions: tons-CO2
100,000

Emissions per unit of actual production: tons-CO2/¥million
CO2 emissions

0.312
79,18979,472Emissions per unit ofactual production

79,36575,000

0.253
0.209

50,000

0.209

0.205

53,68847,1430.181

25,000
0

0.35
0.30
0.25
0.20
0.15

22,693

0.10
1991

2006

2007

2008

2009

2010 (FY)*Trends in CO2 emissions from energy sources (electrical power, fuel, etc.) used at production sites in Japan.

900■ CO2 emissions (office sites in Japan)
CO2 emissions: tons-CO2
12,50011,492CO2 emissions
10,12910,000

9,451

9,350

9,655

2007

2008

2009

9,410

2010 (FY)

7,500
5,000
2,500
0

1991

2006

*Trends in CO2 emissions from energy sources (electrical power, fuel, etc.) used at office sites in Japan.
For sites which had no data available for the fiscal 1990 base figures, the oldest available data was used instead.

■ CO2 emissions (production sites outside Japan)
CO2 emissions: tons-CO2
40,000Emissions per unit of production: tons-CO2/¥million

CO2 emissions

Emissions per unit of
0.272
production

0.235

30,00033,5690.242

20,00016,41018,491

0.291

0.32
0.265

29,0400.193

0.24
23,75820,6540.16

10,000

0.08

0

2005

2006

2007

2008

2009

2010 (FY)0*Trends in CO2 emissions from energy sources (electrical power, fuel, etc.) used at production sites outside Japan.

■ CO2 emissions (office sites outside Japan)
CO2 emissions: tons-CO2
10,000CO2 emissions
7,362

7,500
5,000

5,099

5,690

5,907

2006

2007

6,489

6,500

2008

2009

2,500
0

2005

2010 (FY)*Trends in CO2 emissions from energy sources (electrical power, fuel, etc.) used at office sites outside Japan.
For sites which had no data available for the fiscal 2005 base figures, the oldest available data was used instead.

91

■ CO2 emissions (Electronics and Electronic Components segments)
Unit: thousand tons-CO2
200.0

Electronics segment

150.0
100.0

113.5

115.5

42.0

43.4

Electronic Components segment

128.8
98.9

54.7

87.7

46.1

50.0
0

74.1

72.1

71.5

2006

2007

44.1

52.8

2008

2009

43.5

2010 (FY)*Represents CO2 emissions from energy source (electricity, fuel, etc.).

■ CO2 emissions and emissions per unit of sales for logistics in Japan
Tons-CO
2 トン-CO2CO
2 排出量：
3,500
3,000

254

2,500

866

2,000

Plant/port ﬁ Logistics Center
Distribution C ﬁ Customer

11.4

1,500
1,000

597

373
569

554

1,144
8.0

1,614

1,080
7.5

500
0

Tons-CO2 /¥ billion
17.5

635

554

530

550

1,085

Logistics C ﬁ Distribution C
Logistics C ﬁ Customer
15.0
Per unit of sales

539
518

1,139

7.1

12.5

547

476
7.2

967

7.0

6.7

529

10.0

446
7.9

7.5

651

784

343

312

294

210

174

152

136

127

2001

2004

2005

2006

2007

2008

2009

2010 (FY)

5.0*Represents CO2 emissions from energy source (electricity, fuel, etc.).

■ CO2 emissions and emissions per unit of sales for logistics outside Japan
Tons-CO2 ：
CO2 排出量
トン-CO2

Tons-CO2 /¥ billion

150,000
125,000
100,000

Rail
171.3

166.1

1,303

1,611

21,53075,00050,000
0

Sea
180.7

177.1
1,683
26,193

1,447
20,742

69,436

2005

2006

185.0
1,681
22,15725,32772,926

Air

82,07490,369

2007

2008

92

Per unit of sales
209.8

1,441
18,78671,992

69,54020092010 (FY)

250
200
150
100
50
0

Reduction of SF6 Gas
Casio has set a target of reducing its emissions of greenhouse gases other than CO2 to less than year
2000 levels by 2010.* The fiscal 2010 results for SF6 emissions were approximately 43% higher than in
2000, but this represented an approximately 42% reduction compared to 2008. The decrease in production
volumes was the main reason for the emissions reduction compared to the previous year.
In April of fiscal 2011, Kochi Casio and the electronic component division of the Hachioji R&D Center, bothsites that emit SF6 gas, will be transferred from Casio to the Toppan Printing group. A substantial reduction in emissions is expected as a result.
* This target is set on a calendar year basis, while other overall results are on a fiscal year basis.

■ SF6 gas usage and emissions to atmosphere (Japan production sites)
SF6 inputs: tons
6.0

SF6 emissions to the atmosphere (CO2-equivalent): tons-CO2

SF6 input
SF6 emissions to the atmosphere
SF6 emissions to the atmosphere(CO2 -equivalent)

5.0

18,7144.0
3.0

30,00025,00020,446

19,68220,00018,021

15,00015,595
10,397

2.0

7,278

1.0

0.6

0

0.3

2000

1.7

1.6

1.3

1.6

10,000

1.5

0.7

0.8

0.9

0.8

0.8

2004

2005

2006

2007

2008

0.9

5,000

0.4
2009 (Year)0*Years shown in this graph are calendar years, to match industry action targets.

Reducing waste
Casio’s waste reduction target year is fiscal 2013.
The target for reducing waste from sites in Japan was a 50% reduction in waste per unit of actual production compared to fiscal 2001. In fiscal 2010, waste was about 13% lower than in fiscal 2001, but this wasan approximately 50% increase compared to the previous year. Although the total volume of waste fell by
about 8% from the previous fiscal year, the amount per unit of actual production increased due to a substantial decrease in production volumes in Japan.
The target for reducing waste from production sites outside Japan was a 30% reduction per unit of actual production compared to fiscal 2005. In fiscal 2010, waste was approximately 12% lower than in fiscal
2005, which was also about a 15% reduction from previous year.
Further waste reduction measures for production sites outside Japan are being considered.
■ Generation of waste, volume of landfill disposal, and waste per unit of actual production (all sites in Japan)
Generation of waste

Volume of landfill disposal

Generation of waste, and volume
廃棄物等排出量of landfill disposal:
・最終埋立処分量
tons ：トン

Per unit of actual production: tons/¥million
0.025

10,000
8,000

6,414

0.024
6,614

0.016

0.018

6,000
4,000
2,000
0

5,788
1.089

2001

Per unit of actual production

6,312

0.017

0.016

1,679

1,920

4,735

4,392

6,695

4,138

0.014

3,818

1,397

1,378

2,741

2,439
25

101

74

29

20

31

2005

2006

2007

2008

2009

General waste, etc: [

93

0.021

2010 (FY)
Valuables

0.020
0.015
0.010
0.005
0
Wastes]■ Generation of waste, volume of landfill disposal, and waste per unit of production (production sites outside Japan)
Generation of waste

Volume of landfill disposal

Generation of waste, and volume
廃棄物等排出量of landfill disposal:
・最終埋立処分量
tons ：トン
2,000

Per unit of production

Per unit of production: tons/¥million
0.020

1,750
1,500
1,250
1,000
750

1,364

0.01200.0105

839

804

0

164

152

168

2005

2006

2007

0.015
0.0106

1,238
951

994

500
250

0.01100.00930.0124

340

311

90

2008

2009

2010 (FY)

0.010
0.005
0

■ Reduction in generation of waste and volume of landfill disposal, by segment (Electronics segment)
Unit: tons
6,000

Generation of waste

5,000
4,000

Volume of landfill disposal

4,428
3,423

3,689

3,605

3,000

3,150

2,000
1,000
0

619

648

800

2006

2007

2008

452

2009

343

2010 (FY)■ Reduction in generation of waste and volume of landfill disposal, by segment (Electronic Components segment)
Unit: tons
6,000
5,000

Generation of waste

5,105

4,728

Volume of landfill disposal

4,715

4,000
2,967

3,000

2,435

2,000
1,000
0

6

10

1

2006

2007

2008

196

2009

3

2010 (FY)*A plant outside Japan, which was added in the Electronic Components segment in fiscal 2009, was eliminated in fiscal 2010.

Reducing usage of water resources
The target year for meeting water use reduction goals is fiscal 2013.
The target for production sites in Japan is a 25% reduction in water resource input per unit of actual production compared to fiscal 2001. In fiscal 2010, water input per unit of actual production was about 22%
higher than in fiscal 2001, and this also represented an increase of about 54% over the previous fiscal
year. While the amount of water input fell by about 3% from the previous fiscal year due to the substantial
decrease in production volumes in Japan, the amount per unit of actual production increased. Water input
fell by about 10% compared to fiscal 2001.
The target for production sites outside Japan is a 15% reduction in water resource input per unit of actual
production compared to fiscal 2005. In fiscal 2010, the figure was 18% lower than in fiscal 2005, meetingthe target again for the second consecutive year, although there was an approximately 3% increase over94

the previous fiscal year. The reason for this increase was that, although the amount of water usage decreased, the effect of the decrease in overseas production volumes was slightly greater.
Casio will continue striving to reduce its usage of water resources.
■ Usage of water resources and recycled industrial water, and input per unit of actual production (Japan production sites)
Water resources

Recycled industrial water

Water resources, and recycledindustrial water: thousand m3
10,0008,000

0.0077Per unit of actual production: thousand m3/¥million
0.012
0.01010.00736,000

Per unit of actual production

0.00750.0074

0.010
0.008

0.00720.006

0.0065

4,000

0

2,851

2,806

2,073

2,000

2001

2,827

2,801

0.004

1,937

1,876

174

208

209

185

106

125

2005

2006

2007

2008

2009

2010 (FY)0.002
0■ Usage of water resources and recycled industrial water, and usage per unit of production (production sites outside Japan)
Water resources

Recycled industrial water

Water resources, and recycledindustrial water: thousand m3
1,000

Per unit of actual production: thousand m3/¥million
0.00500.00400.0039800

0.00340.0031

600
400

Per unit of actual production

318

274

384

368

0.00310.0032312

284

0.00400.00300.0020200

0.0010

0

2005

2006

54

46

48

2007

2008

2009

45

2010 (FY)0■ Reduction in usage of water resources (Electronics and Electronic Components segments)
Unit: thousand m3
5,000

Electronic Components segment

Electronics segment

4,000
3,000

2,792

2,761

2,748

2,000
1,000
0

1,774

523

2006

587

580

2007

2008

95

491

2009

1,707

476

2010 (FY)Reducing usage of paper resources
The reduction target for the usage of office paper at sites in Japan, starting in fiscal 2010, is a 10% reduction compared to fiscal 2008 by fiscal 2013, per unit of sales. The result for fiscal 2010 was about 17%
higher than in fiscal 2008.
The total volume of office paper used decreased by about 21% compared to fiscal 2008, but due to a dropin sales, the amount per unit of sales increased.
Along with the increased promotion of green IT, Casio will further strengthen its efforts to reduce paper
usage.
■ Usage of paper and usage per unit of actual production (all sites in Japan)
Office paper usage: tons

Per unit of sales: tons/¥million

400

Office paper usage

300

0.00060
0.000450.000410.000370.00035

Per unit of sales

200

0.00030
115

100
0

98

2008

91

2009

0.0001502010 (FY)

Reducing PRTR substances
The target for reduction of emissions of substances specified by Japan’s PRTR Act is a 40% reduction perunit of actual production compared to fiscal 2004, by fiscal 2013. In fiscal 2010, Casio met the target for thesecond consecutive year, with approximately 51% lower emissions than in fiscal 2004. However, this was
an increase of about 28% over the previous year. Although total emissions decreased by about 17% fromthe previous year, due to a decrease in production volumes, the per-unit emissions went up.
Casio will continue to explore and adopt replacements for PRTR substances.
■ PRTR substance usage, releases, and releases per unit of actual production (Japan production sites)
PRTR substance usage and releases: tons

Per unit of actual production: tons/¥million

300
250

0.00011

208

200
150

0.00010

158

256
182
0.00005

100
50
0

39
2004

177

37
2006

0.00004

0.00004

0.00012
Usage
Releases
0.00010
Per unit ofactual production
0.00008
0.00005

0.00006110

0.00004
0.00002

18

16

12

10

2007

2008

2009

2010

96

0

Reducing VOCs
Fiscal 2011 is the target fiscal year for reducing atmospheric emissions of volatile organic compounds(VOCs) from production sites in Japan. The target is a reduction of 30% compared to fiscal 2001. In fiscal
2010, Casio’s emissions of VOCs were about 32% lower than in fiscal 2001. This also represented a reduction of approximately 18% from the previous fiscal year.
Casio will continue to pursue VOC replacements.
■ VOC usage and emissions to atmosphere (Japan production sites)
VOC usage and emissions to the atmosphere: tons
500

VOC usage

VOC emissions to the atmosphere

400
300

325

317

200
100
0

244

211

177

142

47

52

52

43

39

2001

2006

2007

2008

2009

32
2010 (FY)

Reducing NOx, SOx, and dust
Casio’s atmospheric emissions of nitrogen oxides (NOx), sulfur oxides (SOx) and dust in the peak yearof fiscal 2006 were 138 tons, 37 tons, and 2 tons, respectively. Emissions in fiscal 2010 were 11.1 tons, 3.9
tons, and 0.4 tons, respectively. These dramatic reductions are attributed to the shift from heavy fuel oil A
to natural gas and electricity.
Casio will continue to strive to reduce its use of heavy fuel oil A.
■ NOx SOx and dust emissions to atmosphere
Unit: tons
100
80

NOx emissions
SOx emissions
Dust emissions

77

60
40
20
0

22

18
2

2007

16
5

5

1

2008

0.3

2009

97

11.1
3.9

0.4

2010 (FY)Logistics
Environment

Read about Casio's environmental initiatives in logistics.

Logistics process initiatives
Casio is actively reducing its environmental impact by striving to reduce CO2 and waste emissions arisingfrom logistics.
In order to reduce CO2 emissions in the logistics process, Casio is promoting the following three actionplans.
・Shortening transport distances: Promoting direct shipping to customers from logistics centers in andoutside Japan・Promoting a modal shift: Actively using modes of transport with low environmental impact such as rail
for transport between sites
・Improving loading efficiency and reducing transport volume: Improving the packaging design of digital
cameras, electronic dictionaries, musical instruments electronic cash registers, and other products, andreducing the volume of packaging

Example Initiatives
Eco Rail Mark Certification Obtained
On October 29, 2009, Casio was certified by the Japanese Railway Freight Association as a company carrying out Eco Rail Mark initiatives.
The Eco Rail Mark indicates that a product or company is actively engaged in efforts to alleviate environmental problems through the use of rail freight transport. Rail transport has a smaller environmental impact, producing about 1/7th the CO2 emissions of commercial trucking.
Casio actively uses rail for shipping from its logistics center in Mie Prefecture to its distribution centers in
Hokkaido and Tokyo.
Casio will continue working to reduce its environmental impact by pursuing environmentally friendly
transport.

Eco Rail Mark

Promoting a modal shift to rail transport Promoting a modal shift to rail transport

Environmentally friendly rail containers Environmentally friendly rail containers

Introduction of reusable shipping cartons in Asian distribution
To reduce packaging material, Casio is working to introduce the use of reusable shipping cartons in its
Asian distribution operations.
In an effort to switch to plastic reusable shipping cartons in its air freight shipments between Japan, Hong
Kong, and Thailand, Casio launched the use of new cartons in September 2009.
These cartons can be used to ship parts made in Japan to Hong Kong for use at Chinese production sites,
and to ship timepiece parts from vendors in China, from Hong Kong to Thailand. By then transporting
finished timepieces or timepiece parts from Thailand to Japan, the cartons never have to travel empty between the three countries.
Unlike traditional cardboard boxes, these cartons do not have to be discarded, and instead can be used
many times over, thereby reducing environmental impact.

98

A reusable shipping carton

Developing smaller packaging
Casio is reducing the size of its packaging in order to reduce CO2 emissions.
The company is reducing the size of packaging for various items by working with relevant departments to
reduce logistics costs and CO2 emissions, from a logistics standpoint.
In the first phase of the process, the packing box is redesigned to be smaller, and in the second phase
there is a review of bundled items as part of ongoing streamlining efforts.
In fiscal 2010 alone, Casio's package redesign efforts contributed a 2,300-ton reduction in CO2 emissions
and roughly ¥1.5 million in cost savings. Electronic dictionaries, musical instruments, electronic cash registers, cellular phones and other products all saw new packaging in fiscal 2010.
■ Reducing packing box size
The user manual is changed tomatch the size of the CD

Stage 1
Reducing the packing box size

Stage 2
Changing the included items

Promoting a shift from air to marine transport
The sales, production, and logistics departments at Casio are working together to shift a portion of items
usually sent by air to marine transport.
Over six months this has reduced costs by approximately 1 million yen, and lowered CO 2 emissions by
about 6,000 tons.
* See the Performance page (p. 92) for information on reduction of CO2 emissions from logistics and the changes per unit of sales.

99

Packaging
Environment

Get details on Casio’s environmental initiatives in packaging.

Downsizing packages to improve loading efficiency during transport and storage
Casio is working to make the individual packages for all of its products smaller in order to improve transport and warehousing efficiency.
More specifically, the company is able to reduce the buffering space inside packages due to efforts toincrease the shock resistance of the products themselves. Casio is also reviewing the type and quality of
packaging materials it uses, and packing the products and bundled items more efficiently in order to reduce dead space in packages, making them even more compact.
In fiscal 2010, Casio improved the packages for all of its products. This page introduces the packaging improvements for four representative products: digital photo printers, data projectors, handheld terminals,
and musical instruments.
■ Improvements in individual packages
1) Digital photo printer (Photo Card Processor)
Increased loading capacity

Improvements

PCP-48Box size:
Pallet loading:
efficiency
Container loading :efficiency

Before26.5% reduction
28.6% improvement
36.0% improvement* Container size: 40-foot container* Pallet dimensions: 1.1 m X 1.1 m

After2) Data projector
XJ-A130

Improvements
Box size:
Pallet loading:
efficiency
Container loading :efficiency

Before25.6% reduction
33.3% improvement
34.5% improvement* Container size: 40-foot container* Pallet dimensions: 1.1 m X 1.1 m

After3) Handheld terminal
Improvements

DT-7

Box size:
Pallet loading:
efficiency
Container loading :efficiency

Before44.7% reduction
71.4% improvement
80.7% improvement* Container size: 40-foot container* Pallet dimensions: 1.1 m X 1.1 m

After4) Musical instrument (digital piano)
PX-130

Improvements
Box size:
Pallet loading:
efficiency
Container loading :efficiency

Before17.8% reduction
28.6% improvement
21.7% improvement* Container size: 40-foot container* Pallet dimensions: 1.5 m X 1.1 m

After

100

Green Procurement and Purchasing
Read about Casio’s environmental initiatives in design and procurement.

Environment

Green design and green procurement
As a company with operations around the world, Casio must comply with the laws and standards ofmany different countries. This is why Casio starts with the design and procurement stages to ensure thatits products comply with restrictions on specified chemical substances in parts and materials and meet alllabeling obligations.
In the procurement stage, Casio regularly updates its Green Procurement Standards to ensure compatibility with all the current laws and standards in countries around the world. Thus, by procuring parts andmaterials that meet its own strict standards, Casio can be confident that its product development meetslegal requirements worldwide. Casio also ensures the compliance of its products by scientifically verifying and analyzing the content of chemical substances in parts and materials used.
In the design stage, the company confirms that all parts and materials that will go into a completed Casio
product meet the Casio Green Procurement Standards. Products are approved for production only after
confirmation using a database of the chemical substances contained in procured materials.
Casio’s processes for selecting materials and providing information by labeling products with certification
marks also comply with the relevant laws and standards worldwide on product recovery and recycling aswell as on chemical substances contained in products.
The company has also established internal standards to comply with laws for energy-saving design, suchas Europe’s Energy-related Products (ErP) requirements.
The table below shows the principal environmental laws relating to the distribution of Casio products incountries around the world.
■ Major environmental laws and regulations related to Casio products
Product
Collection andRecyclingEU

WEEE

Hazardous
Substances
RoHS
REACH

EnergyConservation
ErP

Collection andRecycling

Hazardous
Substances

Battery
Collection andRecycling

TurkeyTurkey RoHSUS

California
Proposition 65
Each state's TV/PC California SB50
recycling laws
California
Regulations onformaldehyde

China

China WEEE

EU Directive on Packaging andPackaging Waste

Batteries directive

Turkey batteries directive

Turkey batteries directive

Each state's
external power
energy efficiency
regulations

China RoHS

South Korea RoHS/WEEE/ELV

Each state's
packaging andheavy metal
regulations

Australia

Australia RoHS
(currently underinvestigation)Argentina

Argentina RoHS
(currently underinvestigation)

California
Rechargeable
Battery Recycling
Act

China RoHS
South Korea
South Korea
EnergyRecycling Law
Conservation Law

TaiwanSouth Korea
Recycling Law

Product Quality
Management andProduct Safety
Management Law

Used battery
collection
regulations

Dry-Cell Battery
Mercury
Regulations

External power
energy efficiency
regulations
Argentina
batteries
regulation
Brazil batteries
regulation

BrazilThailandJapan

Global conventions

Hazardous
Substances

Chemical
substance
regulations

NorwaySouth Korea(as of May 2010)

PackagingThailand RoHS
Recycling Law

Container andRecycling Law (J- Energy
Packaging
Moss)
Conservation Law
Recycling Law
Convention on
Persistent Organic
Pollutants (POPs)

101

Recycling Law

As an initiative to help prevent climate change in the procurement stage, Casio requests suppliers not touse greenhouse gases in the manufacturing process, and also to ascertain and reduce their emissions ofCO2. In the development and design stages, Casio promotes product development by setting targets that
surpass its competitors’ products with the best energy consumption efficiency in the same category.

Green purchasing
Casio is committed to green purchasing, or the proactive effort to purchase environmentally friendly indirect materials, which includes office supplies and office equipment (excluding software). Casio has beenpromoting its goal of a 70% green purchasing rate*1 in fiscal 2010 at sites that have adopted the CATS e-P
System,*2 a goal established in fiscal 2009. In fiscal 2008, 13 group companies introduced the system, followed by an additional company in fiscal 2009, bringing the total to 16. Although the green purchasingrate was expected to drop temporarily, in fiscal 2010 the target was achieved with a rate of 70%. The company has set a new goal to achieve a green purchasing rate of 75% by fiscal 2013.
■ Green purchasing rate (in terms of number of purchases)
（%）
100
90
80

73.0

70

66.4

2006

2007

75.0
70.0

58.7

60
50

36.7

40
30

64.9

41.2

25.8

20
10
0

2002

2003

2004

2005

2008

2009

2012

(FY)

*1 Sites that have adopted the CATS e-P System:(As of March 31, 2007: 2 companies)
Casio Computer Co., Ltd.: Headquarters, Hamura R&D Center, Hachioji R&D Center, Eastern Japan hub centers (Chiyoda, Sendai, Saitama,
Yokohama, Chiba, and Special Sales Office), and Western Japan hub centers (Nagoya, Osaka, Hiroshima, and Kyoto)
Casio Hitachi Mobile Communications -> Eliminated at the end of May 2010
(As of March 31, 2008: added 13 companies, reaching a total of 15)
Casio Information Service Co., Ltd.
Casio Communication Brains, Inc.
Casio Support System Co., Ltd.
Casio Business Service Co., Ltd.
Casio Field Marketing Co., Ltd.
Casio Information Systems Co., Ltd.
Casio Marketing, Inc.
Casio Electronic Manufacturing Co., Ltd.
Casio Human Systems Co., Ltd.
Casio Techno Co., Ltd.
Yamagata Casio Co., Ltd.
Kofu Casio Co., Ltd.
Kochi Casio Co., Ltd. -> Ortus Technology Co., Ltd. starting in April 2010
(As of March 31, 2009: added 1 company, reaching a total of 16)
Casio Micronics Co., Ltd.
*2 Green purchasing rate (% ):Number of purchases of stationery, office supplies, and office equipment (excluding
software) with an environmental mark× 100
Number of purchases of office supplies and office equipment (excluding software)102Printer Initiatives
Environment

This section introduces Casio’s initiatives for printer carbon offsetting and life-cycle
assessment (LCA).

Carbon offset initiative
As an initiative to help combat climate change, Casio began selling toner cartridges featuring a carbon
offset in July 2008. In general, carbon offset works like this: an organization purchases a credit equivalent
to a reduction of emissions of certain gases thought to contribute to climate change in order to “cancelout” its own emissions. Even though Casio’s products are compact and energy-efficient, which in itself
reduces emissions, Casio’s toner initiative seeks to offset CO2 emissions equivalent to the amount generated to produce the electric power the printer uses during the life of the toner cartridge. This unique initiative is an industry-first.
In the initial fiscal year, Casio performed offsetting using carbon credits from Clean Development Mechanism (CDM) projects outside Japan registered with the UN CDM Executive Board. In fiscal 2010, Casio
also began using Japan Verified Emission Reduction (J-VER), a newly created carbon credit system inJapan. Casio signed a contract with Kochi Prefecture, which received the initial certification of J-VER, andthe offsetting was performed. The applicable proceeds from toner cartridges sold in Kochi Prefecture went
towards the purchase of carbon credits from greenhouse gas reduction projects within the prefecture. Thisis known as “local production for local consumption” carbon offsetting.
Casio will continue to introduce unique initiatives to address the challenge of climate change.

Carbon offset using Kochi Prefecture J-VER
CO2 resulting fromelectrical usage in
Kochi Prefecture

Carbon credit from greenhouse gas reduction projects
in Kochi Prefecture

OffsetCertification Center on Climate
Change, Japan

Invalidation
service outlet
Kochi Prefecture
Wood Resource
Energy Utilization
Project
Calculating the offset
volume from thenumber of units soldin Kochi Prefecture(Product)

J-VER project certified by the Certification
Center on Climate Change, Japan

Receiving an invalidation certificate
Purchasing carbon credits(Price)Carbon offset report (fiscal 2010)
The following is a report on the carbon offsetting from the sale of Casio toner cartridges offering a carbon
offset.
Period:Product:						April 1, 2009 to March 31, 2010
N3000 Series Return Toner Cartridges
N6000 Series Return Toner Cartridges
V2000 Series Return Toner Cartridges
B9000 Series Return Toner Cartridges

103

■ Allowance credit
Project

CreditID number

Invalidation provider

Type

Name

Type

CDM

Braco Norte III Small Hydro Plant (Brazil)(UN CDM Executive Board Registration
No: 0667)

CER

BR-000-000-036-140-636
gConscious, Inc.
to 141-525

CDM

Bundled Wind power project in Tamilnadu(India) (UN CDM Executive Board
Registration No: 0991)

CER

IN-000-000-056-473-363 togConscious, Inc.
474-326

Kochi Prefecture Wood Resource Energy
In
Utilization Project B (Certification Center
Japan on Climate Change, Japan, Registration
No: 0001)

J-VER

JP-200-000-000-005-779 to
Kochi Prefecture005-780

Offset amount: 1,856 tons-CO2
Information on carbon offsetting (in Japanese only) http://casio.jp/ppr/green/

Life-cycle assessment for page printers
Life-cycle assessment (LCA) is a method of quantifying the environmental impact (such as CO2 emissions)that a single product has on people or the planet over the course of its life, from the materials used, toproduct assembly, logistics, and product usage, to final disposal of the item.
Based on an LCA for its Color Page Printer N3600, Casio has obtained Eco-Leaf certification from the Japan Environment Management Association for Industry.
The Eco Leaf certification program enables general consumers to obtain environmental information about
products online, so that they can check the environmental impact of a product before they buy it.
Casio will continue striving to make products with minimal environmental impact through the implementation of LCAs for new products.
■ CO2 conversion values (kg) in each stage of the product life cycle for the N3600

1,993

2,000

Direct impact
Recycling effect

1,500
1,000
500
0

270
13

56

11

-72
-384
Materials
Product
manufacturing manufacturing

Logistics

Calculation basis: Printing 540,000 copies over a usage period of 5 years

104

Use

Disposal,
recyclingEnvironmental Accounting
Environment

Overview of fiscal 2010 performance
Casio’s capital investments in environmental conservation, including the introduction of exhaust equipment to prevent atmospheric pollution, and energy-saving equipment for production lines, were valued at¥78 million in fiscal 2010.
The expenses of Casio’s environmental conservation activities, including collection, recovery and recycling of products, parts and supplies, as well as the costs of maintenance of energy-saving and wastewater processing facilities, ISO certification and management activities, were ¥2,450 million.
That investment resulted in ¥2,050 million in business profits including a real benefit of ¥1,458 million
from strengthening recycling activities and a cost savings of ¥592 million through energy-saving activities
and the reduction of resources used in product packaging. The fiscal year’s total economic benefits were¥2,328 million. This includes the reduction of CO2 emissions from business activities, and the reduction of
power consumption during product use by customers. It also includes estimated economic benefit suchas the monetary conversion amount for the environmental impact reduction from paperless products including electronic dictionaries and data projectors.
The total value of the economic benefits and the cost efficiency of economic conservation activities both
improved over the previous fiscal year.
■ Environmental conservation costs (April 2009 - March 2010)
Category by business activity
Main initiatives

Environmental Environmental
expenses*1
investment(¥ million)(¥ million)

Business area costs (costs arising in the main areas of business activity(manufacturing, processing, sales, distribution etc.)

75

577

(1) Pollution prevention
cost

Upgrading and maintenance of wastewater and exhaust gas treatment
facilities

22

226

(2) Global environmental
conservation cost

Introducing and maintenance of energy-saving systems

50

220

(3) Resource circulation
cost

Reducing and recycling of industrial and general waste

3

131

Upstream/downstream cost*2

Collection and recycling of products, parts, supplies

0

1,322

Administration cost

Secretariat operation costs, environmental information disclosure

3

318

R&D cost

R&D for reduction of environmental impact

0220

Social activity cost

Participation in, donations to, and support for environmental conservation
organizations

0

13

78

2,450

Totals
*1. Depreciation costs are included in the expenses. *2. Costs arising before and after the processes of the main business activities.

Category by type of environmental conservation measure

Environmental Environmental
expenses
investment(¥ million)(¥ million)

Cost related to global warming measures

50

233

Cost related to ozone layer protection measures03

Cost related to air quality measures

22

77

Cost related to noise and vibration measures0

16

Cost related to environmental conservation measures for the aquatic, ground, and geologic environments

0285

Cost related to waste and recycling measures

3

1,470

Cost related to measures for chemical substances

045

Cost related to natural environment conservation

1

20

Other cost (ISO certification, maintenance costs, secretariat operation costs, etc.)

Totals

105

2

301

78

2,450

■ Economic benefits of environmental conservation (April 2009 - March 2010)
Economic benefit

Amount(¥ million)

Type of benefit
Actual benefit(benefit that contributes to profits as a result of the promotion of environmental conservation measures)
Profits

Profits

Estimated benefit*

2,050

Business revenue from recycling of used products, etc.

1,458

Cost reduction through energy saving activities

331

Cost reduction due to resource-saving activities such as the creation of smaller
packaging, and reduction of waste disposal costs, etc.

261

Reduction of CO2 emitted from business activities
Reduction of power consumption during product use by customers, etc.

278

Totals2,328* The estimated benefit is calculated as the CO2 reduction amount from business activities plus the reduction from power savings during productuse by customers. It also includes the monetary conversion amount for the environmental benefit from paperless products such as electronic
dictionaries, and the resource saving benefit from water recycling.
The following statistical sources are used to perform these calculations:
CO2 unit prices are the average values for fiscal 2009 (¥1,716.7/ton) based on the Nikkei-JBIC Carbon Quotation Index
Electrical power unit prices are based on the fiscal 2008 results published by the Agency for Natural Resources and Energy of the Ministry of
Economy, Trade and Industry (¥17.36/kWh)■ Trends in environmental investments, environmental expenses, and economic benefits(fiscal 2008 - fiscal 2010)

Amount (¥ billion)

Environmental profitability rate

120%

4.0

Environmental
investment

100%

Environmental
expenses

3.0

80%

Economic
benefit60%

2.0

Environmental
profitability rate(economic benefits /environmental expenses)

40%
1.0

20%
0%

0

FY2008FY2009FY2010*The above graph corrects past figures with regard to the estimated effects that were first calculated in fiscal 2010.

■ Environmental conservation effectEnvironmental
conservation effectTypes of environmental conservation effects

Environmental performance indicator

Unit

Environmental conservation effect relating
to resources used in business activities

Water resources

Thousand
m3

2,264

2,183

81

CO2 emissions

Tons-CO2

98,88387,674

11,209Specially designated chemical(PRTR) emissions

Tons

12

10

2

Waste emissions

Tons

6,571

5,584

987

BOD

Tons

34

29

5

NOx emissions

Tons

16

11

5

SOx emissions

Tons

Environmental conservation effect relating
to environment impact and waste generated
by business activities

Environmental conservation effect relating
to goods and services produced frombusiness activities

CO2 conversion emission for consumed Tons-CO2
by products soldPackaging usage
Tons

FY2009FY2010

4.5

3.9

0.6

12,571

10,4332,138

12,856

12,390466

Scope of data compilation for environmental accounting: Casio Computer Co., Ltd., and consolidated subsidiaries in and outside Japan.
Reference guideline: Environmental Accounting Guidelines 2005, Ministry of the Environment, Japan

106

Environmental Compliance
Environment

Worldwide, environmental regulations are being strengthened to preserve the beauty of the Earth.Whether global or local, environmental
compliance has become an integral part of the corporate mission. Companies today recognize the need to address issues such as risk management and environmental information disclosure, while complying with greenhouse gas emissions regulations, the prohibition of products
containing harmful chemical substances and ISO 14001 legal requirements.Here is an overview of Casio's environmental compliance initiatives.

Standards management and audits: Regular internal audits and third-party audits
There are 18 Casio sites which have obtained 1SO 14001 certification.
Each of these sites regularly implements conditions management and improvement activities by measuring concentrations of dust, SOx, and NOx in exhaust emissions, based on voluntary standards and standards established by national and local governments. They also measure wastewater quality (water containing harmful substances or non-production wastewater). Moreover, the sites measure and report usage
conditions for harmful atmospheric pollutants, as well as handling quantities and atmospheric emissionsof volatile organic compounds (VOCs).
Each site trains internal environmental auditors and environmental provisional auditors. In addition tocarrying out internal audits, third-party audits by external organizations are also regularly performed, andimprovement activities are carried out.
Going forward, Casio will work to improve the environmental risk detection skills of its internal environmental auditors, as a way to improve its overall environmental audit capability. Casio will also seek toimprove auditors’ understanding of various environmental laws, and provide training in worldwide laws
relating to chemical substance control and information management. Casio intends these auditors to leadthe way in environment compliance, starting at the local site, by discovering issues and proposing ways
to improve.

Compliance relating to product development, design, and manufacturing: Chemical substance control regulations
The EU’s REACH regulation is considered to be the most far-reaching chemical substance control regulation in history.
Japan has also enacted the Revised Act on the Evaluation of Chemical Substances and Regulation of Their
Manufacture, etc., while China plans to pass a revised Chemical Substance Environmental Control Law
and the US is preparing to revise its Toxic Substances Control Act (TSCA).
These chemical substance control regulations will likely impose severe penalties and measures such as
market surveillance, recall, market withdrawal, or import prohibition for products that represent a majorrisk.
Casio continues to improve its management and design system and its information disclosure system.
These systems track the type and amount of a chemical substance contained in products or supplies, aswell as the status of new chemical substance registration.
Casio has established a Product Environment Law Study Working Group within its New Green ProductDevelopment Conference. The working group provides legal compliance support for development, design,
manufacturing and sales, covering but not limited to the laws and regulations mentioned above. It performs the following activities.
1. Gathering information relating to laws and regulations (from industrial associations and special committees)
2. E
 nsuring obligations are met by manufacturing, import, export, and sales entities
3. Creating development and design standards, and conducting inspections
4. Developing material procurement guidelines and information management
5. Updating the database on chemical substances contained in materials for design support, and improving database accessibility
With the enactment of regulations carrying severe penalties, Casio recognizes the need to keep strengthening risk management.

107

Compliance relating to waste and recycling
Various countries are now regulating the recycling of waste electrical and electronic goods as well as
packaging materials. Regulations include the EU WEEE Directive, the EU Directive on Packaging and Packaging Waste, the Chinese version of WEEE, the TV and PC recycling laws of various US states, and theregulations on heavy metals in packaging materials of various US states.
By developing Green Star Products, Casio is working to minimize environmental risk starting in the design
stage, and is promoting the careful use of resources.
In addition, addressing materials (such as production dies, etc.) other than electronic devices and packaging, Casio uses plan-do-check-act (PDCA) management to eliminate potential violations of laws concerning waste in various countries due to inconsistent waste disposal. This is a priority risk prevention theme.

Compliance with greenhouse gas emissions regulations
1：Revised Act on the Rational Use of Energy
The Revised Act on the Rational Use of Energy went into effect in Japan in April 2010, as a measure tohelp combat climate change.
To comply with this revised law, Casio will perform the following.
1. Change its energy management unit from individual sites to business entities (i.e. corporations: companies that make up the Casio group)
2. Manage and report energy usage conditions for the whole entity (medium and long-term planningand regular reporting), for entities using more than 1,500 kiloliters (kl) annually, in crude oil equivalent, which are subject to the new law.
3. Carry out the appointment and reporting of energy management coordinators and energy promotion
planners, and promote energy-saving activities.
*There are four Casio entities subject to the law: Casio Computer Co., Ltd., Casio Micronics, Kofu Casio, and Yamagata Casio.

2：Environmental Regulations in TokyoIn April 2010, the Tokyo Cap-and-Trade Program for greenhouse gas emissions took effect for large business facilities located in Tokyo. The system requires companies to reduce total greenhouse gas emissions.
A system for Reporting on Measures against Global Warming was also introduced for all small and medium-size business facilities (with energy usage of less than 1,500 kl per year, crude oil equivalent) in Tokyo.

（1）Tokyo Cap-and-Trade Program
The Casio sites that must comply with this program include the Hamura R&D Center of Casio Computer
Co., Ltd., the Head Office, and the Nos. 1 and 2 Plants of Casio Micronics.
Since these three sites use fuel, heat, and electricity equivalent to more than 1,500 kl of crude oil eachyear, they are obligated to reduce their emissions by 4% to 6% in each upcoming five-year reduction period.
They are also required to obtain emission rights for any portion of emissions exceeding the target level,in order to achieve carbon offsetting. Verification by a certification organization is necessary in order toensure the accuracy and veracity of company reporting.

（2）System for Reporting on Measures against Global WarmingWith a solid understanding of the purpose of this system, Casio will use an ISO 14001 management cycle
to guide its participation. The company will ascertain current conditions, implement countermeasures,and prepare and submit the necessary reports, both mandatory and voluntary.
Casio believes that compliance with these greenhouse gas emissions regulations is consistent with thecommitments it has made in its Environmental Vision and Environmental Declaration of medium andlong-term goals, and will do its part to build a low-carbon society.

108Compliance relating to environmental information disclosure
There is a growing international movement calling for the creation of information disclosure standards
for companies.
Along with the need for Japanese standards to coincide with the International Financial Reporting Standards (IFRS), there is a movement calling for the provision of Management Commentaries (MC) as a formof disclosure of non-financial and corporate forecast information. In other words, companies will needto disclose non-financial data which describes the connections between the company’s current situation,business strategy, risks, and financial performance, and other relevant information.
In order to provide its stakeholders with the proper environmental information in a way that it is easy tounderstand, Casio has the following aims.
1. To adopt more accurate indices relating to environmental impact, and to provide comparable information
2.To provide non-financial information including environmental information that indicates the connections with corporate strategy
3. To explain the capability of environmental information to improve corporate performance
Along with working to disclose environmental information, Casio will promote international disclosure
standards for non-financial information, and work towards standardization.

Highlight

Participating in the Wal-mart Sustainability Index Project
Sustainability is becoming a key word for manufacturers, retailers and suppliers. Recently, retailers are aggressive about achieving their sustainability goals.
Manufacturers and suppliers need to respond and be actively involved in retailers’
initiatives. For example, Wal-Mart is actively engaged in sustainability initiatives. One
of its initiatives is a Sustainability Index.
Wal-Mart conducted a Supplier Sustainability Assessment which is a brief survey toevaluate supplier's sustainability in 2009, and Casio responded to the survey.

Global Milestone Meeting hosted by Wal-Mart
in July 2009, in Arkansas (Photo courtesy of
Wal-Mart)

109

Environmental Management
Casio's environmental management system is driven by the biannual Casio Environmental Conferences. The company makes the most of this system to implement
its environmental management strategy.

Environment

Implementation framework
The biannual Casio Environmental Conferences decide on the company's specific environmental plans,
including its environmental policies and action plan targets. Positioned within the conference are special
committees that deal with environmental issues shared by all group companies. Each business site andgroup company then implements the policies and plans.
The international environmental management standard ISO 14000 has been adopted at each Casio site
and group company, and more than 80% of all group employees now work at sites with ISO 14000 certification. The smaller business sites where it is difficult to implement this standard use Casio's independent
environmental management system.
Structureofof thethe Casio
Conservation
Committee■
Structure
CasioEnvironmental
Environmental
Conservation
Committee
Casio Environmental Conference

Chairman: Yukio Kashio, Executive Vice President

Secretariat
SpecialCommittee
Chairpersons

DivisionManagers

New Green ProductDevelopment
Conference
Product
Environment Laws
Study Working
Group
Product
Environment Index
Study Working
Group• Product
Categories
Consumer
Timepieces• QV• System••

Environmental Auditing Organization
Director with
OverallResponsibility for
Casio Sites

Director with
Responsibility
for R&D and Staff
Departments

Director with
Responsibility
for Sales Departments,
Subsidiary Presidents

Main Subsidiary
Presidents

Implementation
organizations

Implementation
organizations

Implementation
organizations

Implementation
organizations• Hatsudai
Headquarters• Hachioji R&D
Center• Hamura R&D
Center

• R&D and Staff
Departments• Sales
Departments• Branches• Sales Offices• Japanese
Consolidated
Sales
Subsidiaries• Overseas
Consolidated
Sales
Subsidiaries• Japanese
Consolidated
Production
Subsidiaries• Overseas
Consolidated
Production
Subsidiaries

Special Committee
on Packaging
Special Committee
on Green
Procurement
Environmental
Accounting
Committee
Special Committee
on Green
Purchasing110

■ List of ISO 14001 Certified Sites
Certified and registered site

Date acquired

Yamagata Casio Co., Ltd.

November 1997

Kofu Casio Co., Ltd.

January 1998

Kochi Casio Co., Ltd.

March 1998

Casio Electronic Manufacturing Co., Ltd.

September 1999

Casio Business Service Co., Ltd.

January 2000

Casio Micronics Co., Ltd.

March 2000

Hamura R&D Center, Casio Computer Co., Ltd.

October 2000

Hachioji R&D Center, Casio Computer Co., Ltd.

October 2000

Headquarters, Casio Computer Co., Ltd.
(including seven sales sites)

December 2000

Casio Human Systems Co., Ltd.

December 2001

Casio Techno Co., Ltd.

May 2002

Casio Hitachi Mobile Communications Co., Ltd.

June 2004

Casio Computer (Hong Kong) Ltd., Panyu
Factory

September 1999

Casio Computer (Hong Kong) Ltd.

December 1999

Casio (Thailand) Co., Ltd.

September 2001

Casio Taiwan Co., Ltd.

December 2001

Casio Electronics (Shenzhen) Co., Ltd.

February 2002

Casio Electronics (Zhongshan) Co., Ltd.

April 2002

No longer a consolidated
company as of April 2010

No longer a consolidated
company as of June 2010

Compliance with Environmental Laws
In fiscal 2010, Casio was not subject to any legal violations, penalties, fines, or lawsuits relating to the environment.

111

Environmental Communication
Environment

Casio understands the importance of communicating with all of its stakeholders
about environmental issues.
Here are the company’s main activities.

Casio exhibits around the world
Casio promotes its environmental initiatives at trade shows and exhibitions in Japan and abroad.
In Japan: Eco-Products
Location: Tokyo Big Sight
Most recent event : December 10 to 12, 2009
Number of visitors : Approximately 180,000
Outside Japan: Consumer Electronics Show
Location: Las Vegas, USA
Most recent event : January 7 to 10, 2010
Number of visitors : Approximately 120,000

Exhibiting at Eco-Products 2009
Every year Casio exhibits at Eco-Products, the largest environmental trade show in Japan.
Marking the show’s 11th year, Eco-Products 2009 was held at Tokyo Big Sight from December 10 to 12.
Over 800 companies and organizations displayed their environmentally friendly products and services.
The show attracted more than 180,000 visitors, the largest attendance to date.
Casio has exhibited at Eco-Products every year since the show began. The 2009 Casio booth featured aforest motif and showcased Casio Green Star Products and the various environmental activities of the
Casio group. The theme of Casio’s exhibit was “For a Beautiful Planet and Our Children’s Future: The Harmony of Technology and Ecology.”
The stage area of Casio’s exhibit featured a narrated video on the company’s environmental initiatives. In
the display area, visitors learned about the environmental features of the different components that makeup Casio products. There was also a hands-on calculator assembly activity for elementary school children,
a hit every year, as well as a nature observation corner. These features attracted many visitors to the Casio
booth, especially children and young adults.
In coming years, Casio will continue to raise public awareness of its environmental activities throughevents like this one, while also working to further heighten environmental awareness within the Casio
group.

Casio booth, with a forest
motif

Calculator assembly class,popular every year

Green Star Concept display Exhibit of Casio’s environ- Display on environmental
mental products and initia- efforts in logistics and packtives
aging

Participation in CESEvery year, Casio exhibits at the Consumer Electronics Show in Las Vegas, the world’s largest event of its
kind.
This time, the show was held from January 7 to 10, 2010, and attracted 120,000 visitors, surpassing attendance the previous year. The show was an excellent opportunity for Casio to promote its innovative new
products. The Casio booth also featured an exhibit on the company’s environmental initiatives, which captured a lot of attention.

112

Display on initiatives for smaller packing boxes Casio boothDisplay on environmental initiatives

Engaging with local communities
Casio is promoting environmental initiatives as part of its interaction with the communities in which thecompany operates.
Hachioji R&D Center, Casio Computer Co., Ltd.
Environmental education through the provision of site tours and school visits to provide environmental
education to elementary school students
Hamura R&D Center, Casio Computer Co., Ltd.
Supporting activities for the cultivation of tulip bulbs and Ohga lotus for the preservation of fallow rice
fields in Hamura City, Tokyo, where the center is locatedKofu Casio Co., Ltd.
Supporting the revival and preservation of the Otoguro cherry tree in Chuo City, Yamanashi Prefecture,
where the company is locatedYamagata Casio Co., Ltd.
Supporting the Beautiful Yamagata & Mogami River Forum in Higashine City, Yamagata Prefecture, where
the company is locatedSupporting the cultivation and management of cherry trees on the banks of the Shiromizu River.

Adopting tulips and Ohga lotus plants
Hamura City, located in Tokyo, is promoting tulip cultivation as an effort to preserve fallow rice fields andto make effective use of rice fields after their crops have been harvested. Casio has been a foster-sponsorof these tulips since 2004. Every year, many tourists visit these tulip fields, the largest in the Kanto region.
Since 2006, Casio has also been a foster-sponsor involved in the preservation and cultivation of Ohga
lotus plants, an ancient form of lotus flower excavated from ruins dating back to ancient times (c. 400
BC~300 AD).

Photos provided by Industrial Revitalization Promotion Officeand Hamura Tourism Association, Hamura City

113

Collaboration with NPOs and NGOs
Casio supports the activities of NPOs and NGOs that work for environmental protection and biodiversity
preservation.
Supporting the activities of ICERC Japan (International Cetacean Education Research Center)
Casio is supporting the activities of ICERC Japan by including the ICERC logo and message, “All as one,”on special models of G-SHOCK and Baby-G watches.
Supporting education and research activities relating to dolphins and whales worldwide
Supporting ocean environmental classes (Environmental learning concerning dolphins, whales and theoceans)WWF Japan
Casio supports the World Wide Fund for Nature Japan as a corporate member and licensee.
Conservation Alliance Japan
Casio provides tie-up models like the PROTREC CAJ.
For more details about Casio’s environmental communication activities,
visit Casiò s Environmental Communication web page: http://world.casio.com/csr/env/communication/

114

Biodiversity
Environment

This page introduces Casio’s initiatives for preserving biodiversity.

Casio’s approach to biodiversity preservation
The 10th Conference of Parties to the Convention on Biological Diversity (COP10) will be held in Nagoya,Japan in 2010. It is an important international conference for resolving issues relating to the richness oflife on this planet.
Casio supports efforts to build a consensus at COP10, and is striving to fulfill its own pledge about biodiversity.

Determined to preserve biodiversity preservation:
Casio’s Environmental Declaration and Environmental Action Plan
In August 2009, Casio established an Environmental Vision and an Environmental Declaration to be realized by 2050.
The Environmental Vision states, “Lifestyles based on mass production and mass consumption are being
called into question, and building a low-carbon society has become an important global issue.” In addition, regarding biodiversity protection, it states, “Casio also envisions a future where people will more seriously address the rejuvenation of the depleted global environment, while seeking to create more value
in harmony with nature and the planet's living things.” Casio also made the following pledge.

“Across its business operations, Casio is planning and implementing new measures to help realize
sustainable use of the global assets of energy, resources, and living things, and coexistence withthem.”
Based on this Environmental Vision, Casio includes “Protection of ecosystems” in its Environmental
Declaration: “Casio will work to operate with respect for nature and all living things, and ensure its
business activities are in harmony with natural ecosystems.”

Casio has established the following goal under its Environmental Action Plan, and has launched formal
initiatives to achieve it.

“To preserve biodiversity and eco-system services, conduct biodiversity impact surveys in all business areas by 2011, and establish a policy theme.” Working toward this goal, Casio will take the following steps.
Step 1: Establish a Casio Biodiversity Activity Policy and Guidelines (by 2010)
Step 2: Evaluate levels of biodiversity impact in all business areas (by 2011)
Step 3: Implement Casio's policy themes for the realization of biodiversity protection (by 2012)115

Fiscal 2010 Biodiversity Preservation Activities
Casio supports NPOs and NGOs involved in the protection of endangered plants and animals as well as
environmental education through business tie-ups including co-branded products. Casio also provides
ongoing support for biodiversity protection in local communities.
In 2009, Casio showcased its activities at the Eco-Products exhibition.

WWF Japan support

ICERC Japan support

Conservation Alliance Japan support

Activities for the cultivation of tulip bulbs andOhga lotus for the preservation of fallow rice fields

Beautiful Yamagata &Mogami River Forum support

Initiative to Save Otoguro Cherry Trees
Otoguro cherry trees (scientific name: Cerasus serrulata, or “Komatsunagi”) are a type of wild cherrythat comes into full bloom in mid April. They have white blossoms measuring 5 to 6 cm, and the leaves
emerge at the same time as the blooms.
In the late 19th century and early 20th century, this cherry tree variety was growing along the banks of the
Fuefuki River, which flows through present-day Chuo City in Yamanashi Prefecture. The Otoguro cherry
gets its name from the Otoguro Embankment in the Otoguro District, where the trees used to bloom. Thisvariety of cherry tree has long been a favorite of the people in that region.
However, with the improvement of the Fuefuki River in 1932, the Otoguro cherry trees were cut down. Mr.
Matsuhiko Tanaka of Otoguro District grew grafted seedlings from a few remaining descendent trees, in order to bring back the historic Otoguro cherry. His activities eventually came to fruition, and a volunteer groupfor saving the Otoguro cherry was established in 2002. The Tamaho-cho (now Chuo City) Board of Education
lifelong learning center led the whole community in efforts to save and cultivate Otoguro cherry trees. This
was achieved through cutting and grafting methods using a few remaining descendents of the original trees.
As part of Kofu Casio’s environmental activities, the company offered to participate in the cultivating of this endangered type of cherry tree, for the purpose of preserving the variety and beautifying the landscape around theplant. Kofu Casio received a donation of trees from Tamaho-cho (now Chuo City) in 2004, and over the three subsequent years, the company planted more than 30 Otoguro cherry trees. All the transplanted trees took root, andevery spring they provide a beautiful display of blossoms for people to enjoy on the grounds of the Kofu plant.
The Otoguro cherry serves as a symbol of the connection between Casio and the people of Chuo City.
The company is proud of its early participation in helping to preserve the tree variety, as part of its biodiversity protection efforts on the local level. This is just one example of Casio’s vision of harmony amongpeople, businesses, and living things.

Otoguro cherry trees on the grounds of Kofu Casio

116

Independent
OpinionIndependent Opinionof the Sustainability Report 2010

The opinion presented here was written based on the content of this report and interviews with Casio personnel responsible for environmental, procurement, human resources, and CSR initiatives.
The report makes it reasonably clear that Casio’s CSR initiatives use the plan-do-check-act (PDCA) management cycle with a focus on reducing the company’s environmental impact.

Commendable efforts by Casio・I commend the company for establishing the Casio Environmental Vision and Environmental Declaration
to be achieved by 2050, articulating its medium- and long-term goals for reducing environmental impact(pages 13-20). In order to achieve these goals, I have high expectations for the progress of Casio’s initiatives across the entire product life-cycle, as the company identifies how to take full advantage of recycling systems and improve waste recycling rates throughout not only the group and its supply chain, butalso among consumers.
・Regarding the CSR initiatives for suppliers (pages 61-63), it is admirable that Casio is ascertaining, “visualizing,” and sharing data about suppliers. For instance, feedback is sent to each supplier outside Japan based on the results of the questionnaires on the reduction of environmental impact and employee
initiatives to foster the protection of human rights, and other matters. In Japan, Casio also evaluates
suppliers in Japan on a five-point scale for all 340 items derived from the Supply Chain CSR Promo-tion Guidebook from the Japan Electronics and Information Technology Industries Association (JEITA).
Furthermore, it is positive to see Casio welcoming an inspection by a European consumer group, and tonote the very favorable review received for its transparency. Going forward, I hope that the company willfurther raise the visibility of its supplier environments and human rights initiatives and related issues,
while continuing to build a system of dialogue for sharing case studies, rewarding outstanding suppliers
and resolving issues.

Points for improvement while commending progress to date・Regarding the CSR initiatives for the entire group (pages 32-33), Casio should be commended for reorganizing its CSR Committee in March 2010, in order to allow each division to independently look into andpursue issues of concern to society. In the future, Casio will need to promote and establish bottom-up
approaches to make the most of this new framework.
・On a related matter, Casio should be praised for continuing to feature articles about CSR in its internal
newsletter. I hope that the newsletter will continue to cover particularly important CSR issues and initiatives from diverse sites within the group.
・It is also admirable that Casio cut paper usage by 39% compared to the previous year by reducing thesize and number of pages for user manuals for products such as electronic dictionaries and other measures. Now the company should make an even greater contribution by introducing universal design
fonts and other such steps.
・Regarding the environmental impact reduction data in this report, it is commendable that details areprovided on the principal sites in and outside Japan including group companies. My hope would be that
Casio will continue to increase the level of accuracy of group reporting, not only for environmental data,
but also for personnel and procurement initiatives and data.
・Regarding the employment of persons with disabilities (page 68), Casio deserves congratulations formaintaining the legally mandated employment rate, which had been an issue for many years. Now however, the company must work with the parties concerned to make it easier for persons with disabilities
to keep working within the Casio group.

117

Points for improvement
・Casio must take steps to promote reuse of the rare metals used in high-performance products such as
digital cameras and electronic dictionaries, for which recycling systems have not yet been established.
Measures could include further studies with other companies in the same industry and recovery of rare
metals in used products. This, in turn, could be linked to sales promotion, and to development of products that use recycled metals.
・The improvement and utilization of human resources diversity throughout the group is essential forthe company to further globalize its business development. Casio should take a ten-year perspective,
and plan a global personnel portfolio that goes beyond division and company boundaries. Along withthe appointment of a global personnel officer to promote this goal through various channels including
personnel hiring, training, and interaction, the company needs to establish recruitment and training systems that can make the most of a diverse workforce as a truly global company.

International Institute for Human, Organization and the Earth (IIHOE)Profile of IIHOE:International Institute for Human, Organization and the Earth (IIHOE) is a nonprofit
organization (NPO) that has been supporting NPO management and CSR capacity
building since 1994.
http://blog.canpan.info/iihoe (in Japanese)

Hideto Kawakita
Chief Executive Officer

118

Progress of
Improvements

Responses to the Independent
Opinion of the 2009 Report

Independent Opinion
Casio needs to provide more group-wide information on initiatives other than environmental protectionin order to improve the accuracy of the report for the group as a whole.

Casio's Response
In the 2010 report, Casio worked hard to disclose data on group company initiatives, to the extent currently possible, in the areas of employee initiatives and social contribution activities. The company willcontinue to strengthen its efforts in this regard.

Independent Opinion
Regarding the reduction of greenhouse gases, it is strongly recommended that Casio take immediate
steps to collect and treat current emissions and introduce this alternative on mass production lines.

Casio's Response
In fiscal 2010, Casio completed the evaluation of processes where F2 can be used as a replacement forSF6. However, due to reorganization of the group’s Electronic Components business, the SF6-emitting processes at Kochi Casio and the Hachioji R&D Center (device division) have been transferred from Casio to
the Toppan Printing Group, as of April 1, 2010. Accordingly, measures such as the collection and treatmentof emissions based on the operation of the process and the introduction of this technology on productionlines have been transferred to the Toppan Printing Group. Starting in fiscal 2011, amounts of SF6 which
Kochi Casio and Hachioji R&D Center (device division) emit will no longer be reported by Casio.

Independent Opinion
Concerning CSR initiatives for suppliers, looking to the future, Casio should establish a system for “visualizing” the environmental and human rights initiatives and problems of its suppliers, as well as forums
for sharing and honoring best practices, and resolving relevant issues.

Casio's Response
In fiscal 2010, Casio conducted a questionnaire survey of its suppliers in China and Thailand. Along withthe data and results analysis, Casio provided the suppliers with feedback on its approach to CSR procurement. In Japan, Casio conducted a survey of its suppliers by revising its previous 39 questions (with response choices of “implemented,” “planned,” and “not planned”) to a full 340 questions (with a five-point
response scale). Each supplier received feedback in the form of statistics concerning the average response
values for all suppliers, and the response values for that particular supplier.
At the Procurement Policies briefing in China, a selected supplier presented its model CSR initiatives. The
switch to a supplier-participation format enabled the briefing to promote mutual communication.
Casio will continue to investigate the holding of participatory meetings relating to the promotion of CSR
in the industry, along with efforts to ascertain actual conditions based on onsite inspections at suppliers
outside Japan.

Independent Opinion
With regard to the promotion of employment for persons with disabilities, it is admirable that Casio Computer Co., Ltd., has achieved its goal of reaching Japan’s legally mandated employment rate, though thecompany will need to keep working on this over the long term. The company should work with the parties
concerned to make it easier for employees with disabilities to continue working at the Casio group.

Casio's Response
The employment rate for persons with disabilities at Casio Computer Co., Ltd. is now 1.93% (1.83% in fiscal 2009), and the rate is 1.76% (1.67% in fiscal 2009) for consolidated Casio companies in Japan.
Casio will work to achieve the legally mandated employment rate for all consolidated companies in Japan.
To ensure that employees with disabilities can continue to work without concerns after joining the company, at Casio Computer Co., Ltd., they receive regular follow-up interviews and other supports every three119years after joining the company. This measure will be expanded to the rest of the group in the future.

Independent Opinion
Looking at the group-wide CSR initiatives, Casio must quickly create a medium-term CSR strategy, treating this as an important element in its Medium-term Management Plan, and also establish a system forbottom-up promotion of the strategy.

Casio's Response
At the CSR Committee meeting in March 2009, Casio established the following medium-term CSR initiative policies:1)Ascertain society’s expectations based on stakeholder opinions, and take steps to make CSR issues continually visible
2)Relevant divisions are to work together to solve CSR issues using a bottom-up approach3)Specific issues are to be flexibly promoted not only within the Casio group, but also at relevant suppliers, according to individual circumstances
Together with these policies, the role of the CSR Committee was substantially revised.
The new CSR Committee and CSR promotion system took effect in fiscal 2011.

Independent Opinion
Although paper use is increasing along with Casio’s growing number of sales sites worldwide, the company should accelerate initiatives to reduce the number of sheets used per site, based on a careful reexamination of paper consumption. Casio should study the examples of other companies, for example,
introducing universal design fonts for its user manuals and other publications.

Casio's Response
The reduction target for the usage of office paper at sites in Japan starting in fiscal 2010 is a 10% reduction compared to fiscal 2008 by fiscal 2013, per unit of sales. In fiscal 2010, paper usage was about 17%
higher per unit than in fiscal 2008, due to a 32% decrease in sales compared to the same year. The total
amount of office paper used, however, was about 21% lower than in fiscal 2008. The amount of office paper used outside Japan was about 8% lower than the overseas target year of fiscal 2009.
Casio will continue to work to reduce the amount of paper its uses worldwide.
Casio has taken initiatives to reduce its paper use by reducing the size and number of pages in the user
manuals included with it products. As a result, for digital cameras, scientific calculators, and electronic
dictionaries, the amount of paper usage for fiscal 2010 was reduced by an average of 39% from the previous year.
Regarding the introduction of universal design fonts, the company is now introducing the concepts of “easyto read,” “easy to view,” and “reduced paper use” to consumers in order to increase customer satisfaction.

Independent Opinion
Casio must take more sophisticated steps concerning reuse of the increasingly expensive rare metals
used in high-performance products such as digital cameras and electronic dictionaries, for which recycling systems are not yet established. Measures could include recovery of rare metals in used products,
which can be linked to sales promotion, and development of products that use recycled metals.

Casio's Response
Together with other companies in the same industry, Casio is now looking into recovery of rare metals
from personal electronic devices including digital cameras, based on the establishment of study groups
last year at the Japan Electronics and Information Technology Industries Association (JEITA) and the Camera & Imaging Products Association (CIPA), organizations of which Casio is a member.

Independent Opinion
Regarding the group-wide personnel portfolio, Casio should establish a long-term plan for building recruitment and training systems that can capitalize on a diverse workforce as a truly global company.

Casio's Response
In fiscal 2011, the company will begin an initiative to accelerate the needs-analysis and other preparatory
studies underway regarding the development and implementation of a human resources management
system befitting a global company.
First, the company will identify the issues and needs not only of the personnel department, but also the120relevant internal departments and each of the Casio sites outside Japan.
Based on these efforts, Casio will then draw up more specific measures for the building of a global human resources management system, before testing and implementing them in an incremental, carefullyplanned way.

121