Corporate Policy of the JAL GroupThe Japan Airlines Group, as an overall air-transport
enterprise, will act as a bridge to bring peoples, theircultures and their hearts closer together and thus
contribute to world peace and prosperity.

1 We will prioritize safety and quality.
2 We will think and act from the standpointof the customer.

3 We will strive to maximize corporate value.
4 We will fulﬁll our responsibility as a corporate
citizen.

5 We will appreciate hard work and take on a
positive attitude.

Company Proﬁle (as of March 31, 2006)
Holding Company

JAL Group

Company Name: Japan Airlines Corporation

Constituent Companies:
Japan Airlines Corporation, 275 subsidiaries and 97 afﬁliatedcompanies. The main 12 group companies are as follows:

Date of Foundation: October 2, 2002
Company Activities:
As the holding company of a group of air-transport companies
and related businesses, administration of these companies’
operations and support services
President & CEO: Haruka Nishimatsu
Head Ofﬁce: 2-4-11 Higashi-Shinagawa,Shinagawa-ku, Tokyo 140-8605 Japan
Paid-in Capital: ¥100,000,000,000
Shares Issued: ¥1,982,383,250
Number of Stockholders: 329,922

Japan Airlines International Co., Ltd.
Japan Airlines Domestic Co., Ltd.
Japan Asia Airways Co., Ltd.
Japan TransOcean Air Co., Ltd.
JALways Co., Ltd.
JAL EXPRESS Co., Ltd.
Japan Air Commuter Co., Ltd.
AGP Corporation
JALPAK Co., Ltd.
JAL Tours Co., Ltd.
JAL Hotels Co., Ltd.
JALUX Inc.

Contents
Corporate Policy of the JAL Group
Contents and Editorial Policy
Discussion Between President & CEO
and Safety Advisory Group Chairman

Inside cover
1
2

Resolution on Flight Safety
Report for 2005
Safety Incidents in 2005
Recommendations of Safety Advisory Group
Safety Measures in Medium- to Long-Term
Management Plan
Safety Promotion Center
Establishing a New System

6
7
8
10

Together with Our Stakeholders
Together with Our Customers
Together with Our Shareholders and Investors
Together with Our Employees
Together with Society

16
17
25
26
30

Environmental Report
Environmental Action Program
Environmental Conservation
Environmental Social Activities

36
37
39
43

Corporate GovernanceParticipation in the UN Global Compact
Third-Party Opinion
Operating Results and Trafﬁc Statistics

44
47
48
49

12
13
14

Cover illustration: Eizin Suzuki

Editorial Policy
Through this report on corporate social responsibility (CSR), we in the JAL
Group hope to make our CSR activities clear and easy to understand as partof our efforts towards more effective communication with our stakeholders.
This CSR report essentially covers the period from April 1, 2005 to March 31,
2006, but we also include events before or after this period. The report covers
activities at the group level, though on occasion we limit our discussion to
speciﬁc group units, such as Japan Airlines Corporation and Japan Airlines
Corporation together with Japan Airlines International Co., Ltd. and Japan
Airlines Domestic Co., Ltd. (collectively referred to as JAL).
Publication of Related Reports in English
The group released the Environmental Report 2004 and CSR Report 2005.
These reports are also available on the company website:
http://www.jal.com/en/environment/report/2004/
http://www.jal.com/en/corporate/csr2005/
The next English CSR report is due to be published in August 2007.
Published by the CSR Committee, Japan Airlines Corporation
To contact us:
CSR Committee Executive Ofﬁce (Corporate Management Bureau)
Phone: +81-3-5460-3749 Fax: +81-3-5460-3164
e-mail: jal_csr@jal.com
Address: JAL Building, 2-4-11 Higashi-Shinagawa,Shinagawa-ku, Tokyo 140-8605, Japan
This CSR report is printed on paper made from plantation timber imported
mainly from Chile and South Africa. The use of plantation timber contributes toexpanding forests worldwide. In processing the pulp used as the raw material
for this paper, an elemental-chlorine-free (ECF) process was employed, whichemits virtually no organic chlorinated compounds, signiﬁcantly reducing thenegative environmental effect of waste-water processing.

2

Discussion Between President & CEO and Safety Advisory Group Chairman

JAL Group Faces Improvement Measures
Haruka Nishimatsu, president and CEO, and Kunio Yanagida, chairman of the Safety Advisory Group, exchanged frank views about how to create a stable “safety culture” (seepages 10–11) as proposed by the Safety Advisory Group.

No Proﬁts Without Safety
Nishimatsu: We have been rebuilding the safety
structure of the JAL Group since we were issued the
Operational Improvement Order Related to the Securingof Safety on Air Transport by the Ministry of Land, Infrastructure and Transport in March 2005. I am extremely
sorry for inconveniencing passengers with the various
problems that have occurred. I was appointed president
and CEO after being in the ﬁnancial division, and thishas been a year in which I’ve been made painfully awareof the direct relationship between safety and company
survival — in the form of proﬁts.
When thinking about our stakeholders —customers, investors, shareholders and employees —we should probably consider our employees ﬁrst andforemost. If our employees can work enthusiastically,that is certain to have a positive impact on safetyissues. In addition to safety, an enthusiastic attitude
towards work will have a positive effect in such areas asimproved service quality and punctuality. That will leadto a recovery in the trust that society places in us andthe renewed support of our customers. These factors
are crucial to the whole recovery process. If we can’t
ensure safety, we won’t generate proﬁt. If we’re unable
to carry out the necessary reforms to our organizationand corporate culture, increasing the motivation andsatisfaction of our stakeholders, we won’t win back thetrust of those stakeholders.

Yanagida: In the proposals presented by the Safety

Haruka Nishimatsu
President & CEO and chairman of the CSR Committee

Advisory Group, we pointed out that if employees are
not motivated, they are unlikely to engage positively intheir work. And without this positive motivation, there’s
little hope for safety. If staff are put in a position where
they can engage actively in their work, business performance will improve.

Nishimatsu: As a publicly traded company, our ultimate objective is to meet the expectations of our inves-

3

tors, but that alone is insufﬁcient as a corporate goal.
We have to revert to our original starting point — ensuring the safety of our customers. And we need to make a
new start to win back the valuable trust we have lost.

Badly Shaken Trust
Yanagida: At one time, the state held a 50% stakein JAL, and it was partly a government-run enterprise.
Some elements in the company then adopted the attitude that the government would always provide JAL
with ﬁnancial support. That was useful in helping propel
JAL in its early years. But the company has now privatized and is publicly listed on the stock exchange in linewith global trends for national airlines.
As a publicly listed company, JAL is obliged to makeproﬁts for its shareholders. But JAL is also an airline
with a well-deﬁned public role. And since the company
is responsible for preserving the lives of its passengers,that means it cannot engage merely in the pursuit of
proﬁts. If the company fails to ensure safety, it will lose
trust along with its customers, and ultimately JAL won’t
be able to maintain its position as a corporate entity.
Nishimatsu: It’s perhaps better to view proﬁts not as
the objective, but as a result. The desirable situation isprobably more one of JAL achieving speciﬁc goals andproﬁt being generated in line with those efforts. Firstof all, we need to ensure that all JAL employees fully
understand safety awareness and the viewpoint of thecustomer. We need to provide safe transportation every
day and show our wholehearted commitment to providing our customers with the very best service.

Yanagida: For JAL, safety and business performancemust be viewed as two sides of the same coin if thecompany is to operate as an airline. So what is it thatconnects these two factors? It is clearly trust. And I believe trust is what has been called into question over the
past year. For an airline, trust is at the core of everything,

Kunio Yanagida
Born in Tochigi in 1936, he graduated from Tokyo
University’s Faculty of Economics and later worked asa reporter on social issues for broadcaster NHK before
becoming a writer in 1974. Winner of numerous prizes
for his writing, including a Ministry of Land, Infrastructure
and Transport award to commemorate 50 years of civilaviation development for his efforts at spreading the ideasof aviation security in 2002, he became chairman of the
Safety Advisory Group in 2005.

4

but with JAL that trust has been badly shaken. We should
be grateful that no accidents involved the loss of human
life. However, cases that in the past might have been trivialized or brushed aside have now been put ﬁrmly in the
spotlight and are being debated by society at large. We
can probably regard this as being a trend of the times.
The values and concerns of Japanese passengers, which

different people with different jobs all have their own
feelings about their duties. My aim as president and CEO
is to ensure that all those efforts are directed towards thesame goal.

Yanagida: For a long period, Japanese employees attached special importance to the company they worked

Without safety,
we can’t recovertrust; without trust,
we can’t restore
business.

constitute the majority of JAL customers, are changing.
Japanese passengers now look for a safety system that is
veriﬁable and transparent. And JAL was caught up in avery difﬁcult year, with the business stance of the company being called into question.

Building Teamwork
Yanagida: What is the prime issue that an airline president and CEO faces in times like these?

Nishimatsu: The answer is simple — building teamwork. The airline industry covers a wide range of jobs:
from work carried out at the airport and in the cabin to
the duties covered by mechanics and management. Perhaps no other industry embraces so many disparate occupations under the umbrella of a single organization. And

for. That had both positive and negative implications
for the postwar history of this country. Indeed, a special
awareness of the role of the company has been the underlying power of Japanese ﬁrms. Over the last 10 years
or so, however, we’ve seen the streamlining of management — and in some cases of the company itself. There
have been repeated corporate spin-offs and the subcontracting of responsibilities in answer to various imperatives, such as cost cutting. At the same time, we’ve also
witnessed more mergers and acquisitions. Overall, it has
been a difﬁcult period from the point of view of industrialorganization. In a situation like this, it’s extremely difﬁcult
for a company to work as a uniﬁed operation or to increase the team spirit.

Nishimatsu: Following the bursting of the asset “bubble” in 1991, we entered the so-called lost decade of

5

the 1990s, which was a severe period for the Japanese
economy. The JAL Group made an ordinary loss of¥53.8 billion in 1992, and it was from that point that westarted implementing various structural reform measures,
including spin-offs, aimed at reducing costs and raisingproductivity. We attempted to cut costs while maintaining
quality, but now I see that things have begun to unravel
at JAL.

that militates against a creative approach to their work.
This is especially true today, where young people, which
you tend to get in JAL subsidiaries, place a high priority
on lifestyle and their own values. If we lose the sense ofparticipation or the joy in creating, there’s the risk of deterioration in the workplace. For me, that is perhaps the
major consequence of the fragmentation of JAL into anassortment of group companies.

Yanagida: How do you mean “unravel”?

Nishimatsu: We do in fact hear that kind of argument

Nishimatsu: There is some distance between companies
in the group network and the parent headquarters, andthis impedes customer feedback being conveyed to thetop. Spinning off operations was an unavoidable step we
had to take to survive, but I do have my regrets about
having pursued that course. We must improve communication among the various members of the group andmake the workplace itself a place of increased communication.

More Bottom-up Management
Yanagida: You say you were obliged to implement reforms in order to survive, but the distortions created bythat policy continue. It is vitally important how you intend
to address those distortions since these could damage
your product value.

in all our business operations. We must pursue a morebottom-up style of management, so that our staff canwork in an environment that allows them to develop theirtalents and abilities freely, while maintaining a full senseof participation.

Safety and Winning back Trust
Yanagida: For various reasons, such as the sudden escalation in the price of oil, JAL’s business results have progressively declined.
Nishimatsu: We’ve made good progress in cutting costs
and have also disposed of non-proﬁtable operations. On
that level, we can still match the performance of airlines
in North America and Europe. Now, we have to establish
revenue balances and achieve our revenue forecasts. If we
can’t raise our revenues, we won’t be able to get back on
track and recover our original verve.

Nishimatsu: Absolutely correct! I believe a major failing of JAL is that it has not put a mechanism in place tofollow up on the results of past decisions. We must also
implement checks a little more frequently following planning and action. If we spin off operations, we have toreview the complete ramiﬁcations of that decision.

Yanagida: We at the Safety Advisory Group felt thesame way when we went to various work sites and spoke
directly to employees. One major consequence reported
was that it is increasingly difﬁcult to maintain teamwork.
As far as the relationship between headquarters andspun-off operations is concerned, one point we highlighted was that plans formulated in the head ofﬁce are often
simply passed along to subsidiaries without adequate
discussion. As a result, those companies do precisely what
they have been directed to do. These afﬁliates thus fall
into a passive mode, merely following directions, andYanagida: Even in this day and age, communication byword of mouth is still very important for one company
to be able to distinguish itself from its rivals. A company
can be evaluated in ways other than simple price, suchas someone telling their friends, “JAL is just that little bit
different,” after having a JAL employee say a few kindwords when they were needed, or receiving good service
performed with real sincerity.
Nishimatsu: I believe we must continue to offer dedicated service in an unassuming manner so that morecustomers will want to ﬂy with JAL. In October this year,
JAL International and JAL Japan will merge. With this, wein management will unify our motivation to create a spiritof new enterprise. Safety is the most important issue, andwe will promote this to win back the trust of society andstakeholders.

6

Resolution on Flight Safety
For the JAL Group, ﬂight safety is the very foundation of our existence as an airline as well asa social responsibility. With a renewed sense of the dangers involved in not implementing
safety measures and a heightened awareness of the need for safety, each member of the JAL
Group has pledged to maintain the safety of every JAL ﬂight.

Safety

Stakeholders

Environment

United to Promote Safety

Report for 2005
Between December 2004 and March 2005, the JAL Groupwas responsible for a series of safety incidents, which culminated in the Ministry of Land, Infrastructure and Transportissuing the company with a Business Improvement Orderand an Administrative Warning. We express our deepest
apologies to our customers and everyone involved for theincidents and inconvenience we caused.

Improving Operations
The common factor in the safety incidents that led to theissuing of the Business Improvement Order and Administrative Warning was human error. To resolve this issue, thecompany is now united in its efforts to review its safety
awareness and safety organizational system, and we have
implemented the following reform measures.

Safety AwarenessTo reafﬁrm and deepen our awareness of the fundamental
importance of ﬂight safety to us as an airline, the JAL Group
designated April and May 2005 as an Emergency Safety
Awareness Improvement period, with the aim of making allgroup companies exert a concerted effort to improve safety
awareness.

Emergency Safety Meetings
The CEO and other executives visited local ofﬁces, overseas ofﬁces, airports and group companies and conducted
Emergency Safety Meetings. A ﬁrm effort was made topromote safety awareness as well as open up the lines ofcommunication between management and staff throughdirect dialogue. Over 220 meetings involving 5,530 employees were held in April and May at domestic and overseas ofﬁces, operating bases and group companies. The
opinions and desires expressed at these meetings areundergoing close consideration by a follow-up review committee to the Emergency Safety Meetings established byJAL. Interim and ﬁnal results are reported to the newly created Flight Safety Committee, and feedback from thosemeetings is printed in Corporate Safety, an in-house JAL
Group newsletter.

Ongoing Safety Meetings
In all, over 235 meetings
were held between July
2005 and March 2006,
and approximately 2,800
employees from JAL’s
domestic ofﬁces centeredon Haneda and Narita as
well as staff from overseas ofﬁces had the opportunity to exchange opinions with
the CEO and other members of the JAL Board of Directors.
The executives explained the company’s present position
and basic ideas as well as the safety efforts JAL is making.
For their part, employees were able to explain their desires
to management, express their frank opinions and make proposals for improvement from the workplace viewpoint. As
a result, management and employees were able to reach acommon awareness of the necessity to unite in their efforts
to rebuild JAL.

Improving Procedures and Manuals
In light of the Business Improvement Order and Administrative Warning, JAL designated the period from April to
December 2005 as one for improving procedures and manuals. During this time, safety-related work manuals and procedures were reviewed across all divisions of the company.
The objective here was to improve manuals so as tomake them easier to understand as well as easier to use for
employees working in ﬂight, maintenance, cabin, airportand cargo operations. To this end, manual-improvement
committees were established in each division, and safety
proposals were collected from employees. As a result, JAL
received approximately 2,600 safety proposals from theﬂight, maintenance and cabin divisions, and about 650
from the airport and cargo divisions. After carefully reviewing each proposal, JAL adopted approximately 700 and has
incorporated them in updated manuals. The company has
also implemented measures to ensure thorough complianceand familiarization among ﬂight crew, ﬂight attendants andmechanics regarding procedures and manuals updated orchanged as a result of this review.

7

8

Safety-Management Activities

Safety Incidents in 2005

Safety Audit
The company conducts internal audits of the structure ofoperational activities related to safety. These reviews cover
not only operations on the ﬂight deck and in the passenger
cabin, but all safety-related operations, including groundbased handling at airports as well as operations at headquarters. If problems are discovered, corrective measures
are immediately implemented and activity reports madeto company management. Audits were conducted at 23
domestic ofﬁces, 18 overseas ofﬁces and 23 headquarter
staff divisions in 2005.

IOSA Accreditation
The IATA Operational Safety Audit (IOSA) program is aninternationally recognized and accepted evaluation system
operated by the International Air Transport Association(IATA), which sets strict safety standards and assesses operational management and control systems for airlines. Japan
Airlines International was audited on 744 items in December 2004, with all items passing the audit. IOSA audits arerepeated every two years, with the next audit being scheduled for October 2006. JAL is also engaged in a variety ofother safety-related activities.

The JAL Group has set about implementing a variety ofsafety-improvement measures and has devoted considerable
managerial effort into rebuilding its safety system. It was,therefore, distressing to witness further safety incidents in2005. Those events and the measures put into effect as aresult are listed below.

Emergency Landing by Flight 047
On May 8, 2005, JAL ﬂight 047, ﬂying from São Paulo to Narita
via New York, had to make an emergency landing at New Chitose Airport. This resulted after its rapid descent owing to a dropin cabin pressure at approximately 11,000 meters at a point
about 370 kilometers southeast of New Chitose Airport. This descent and landing were achieved without injuries to passengers.
Temporary Measures: JAL carried out functional tests on thepressurization systems on all 747-400 aircraft in its ﬂeet. We removed all cabin-pressure controllers that had been in use for extended periods and tested them at our component-maintenancefacility. In addition, we implemented detailed inspections ofinternal circuit boards for these controllers. The Ministry of Land,
Infrastructure and Transport classiﬁed the ﬂight-047 event as aserious incident, and an investigation into the causes is being
carried out by the Aircraft and Railway Accidents Investigation
Commission. JAL is fully prepared to implement any necessary
additional measures upon receipt of the accident-investigation
report.

Damage to Landing Gear on Flight 778
On May 30, 2005, JAL ﬂight 778, scheduled to ﬂy from Sydney to Kansai International Airport, suffered damage to part ofthe left-wing landing gear while being towed from the parking
apron. The Australian Transport Safety Bureau classiﬁed thisevent as a serious incident, and an investigation is ongoing. According to the interim report, it is assumed that the damaged
forward trunnion suffered reduced fatigue strength as a result ofskipping shot peening and inadequate wall thickness owing to
inappropriate mechanical processing during manufacture, andthat long usage led to fatigue failure.
Temporary Measures: JAL implemented an emergency inspection of the forward trunnions on all 747-400 aircraft in its ﬂeet
and conﬁrmed that there were no similar defects. The company
also measured the wall thickness of the forward trunnions andperformed non-destructive inspections on them. JAL has also
fully established a maintenance program for periodic inspection.

Safety

We are prepared to implement any necessary additional measures upon receipt of the ofﬁcial investigation report.

Damage to Nose-Gear Wheels of Flight 1002
On June 15, 2005, two tires from the nose-gear wheels on JAL
ﬂight 1002 from New Chitose Airport became separated as theplane landed at Haneda Airport. There was also damage to partof the wheels, and the aircraft became stranded on the runway.
Three passengers complained of neck pain and of feeling sick,with one receiving treatment at the airport clinic.
Temporary Measures: JAL implemented visual checks of all
tires and wheels on all aircraft in its ﬂeet, conﬁrming that there
were no similar defects. The Ministry of Land, Infrastructure andTransport classiﬁed this event as a serious incident, and an investigation into the causes is being carried out by the Aircraft and
Railway Accidents Investigation Commission. The company isprepared to implement any necessary additional measures uponreceipt of the accident report.

Engine Trouble on JALways Flight 58
On August 12, 2005, JALways ﬂight 58 (DC-10) from Fukuoka
to Honolulu encountered left-wing engine trouble shortly after
takeoff and immediately returned to Fukuoka Airport. In theprocess, some engine parts fell on the Sharyo district of Fukuoka.
As a result, several people were slightly injured and windscreensof automobiles parked around Sharyo were damaged. Investigation revealed that the probable cause was erosion of the turbine
blades inside the engine. The erosion produced holes in theblade, through which the cooling air escaped, and the blade
overheated, leading to failure.
Countermeasures: The company shortened the borescopeinspection interval from 2,500 to 1,000 hours for 747 aircraft
using the same type of turbine blade. By October 2005, all
DC-10 aircraft had been decommissioned.

Problems with Emergency Escape Slide on JAA Flight 209
On December 26, 2005, a ﬂight engineer on Japan Asia Airways(JAA) ﬂight 209 from Narita to Taipei discovered that the slide
packs storing the emergency escape slides, positioned by the
emergency exits on the upper deck of the aircraft, were not intheir correct position in front of the emergency doors, but wereto the rear. The attendant responsible for the upper-deck cabin
had made a preﬂight check and mistakenly given the OK.
Measures to Prevent Recurrence: The reason why the slide
packs were not in their correct position could not be identi-

Stakeholders

Environmentﬁed. The crew had failed to discover the problem with the slide
packs prior to the ﬂight, and JAL put the cabin crew of the ﬂight
through retraining. To prevent recurrence of the problem, JAL
modiﬁed the slide packs so that they could be ﬁxed in position.

Failure of Thrust Reversers on Flight 3913
On January 7, 2006, the left-engine thrust reversers on JAL ﬂight
3913 from Itami to Kagoshima failed to operate upon landing at
Kagoshima Airport. The pilot performed a normal landing, andthere were no injuries to passengers or crew. Checks revealed
that the safety lock pin, which is used during maintenance toprevent activation of the thrust reversers, had been left in placeon the left engine.
Upon investigation, it was found that when repair work was
carried out on the left engine at Itami Airport, the mechanic
had disabled the thrust reversers by inserting the safety lock pin
without a streamer, attached to the hydraulic-control unit of theaircraft as a safety precaution. However, the mechanic failed toremove the safety lock pin when the work was completed.
Countermeasures: The company has fully enforced the use ofsafety lock pins with streamers stored in the tool room when disabling the thrust reversers.

Time Limit Exceeded for Mandatory Tests on an MD-87
On March 20, 2006, it was discovered that the time limit forcarrying out inspection of the main-gear section of an MD-87,
mandated by the Ministry of Land, Infrastructure and Transport
as being 450 ﬂights, had been exceeded by 41 ﬂights (10 days).
JAL rushed an inspector to New Chitose Airport to perform thenecessary inspection. On March 22, reconﬁrmation of the contents of the inspection revealed that it had not been carried out
in accordance with the manual.
Countermeasures: The aircraft underwent further inspection at
New Chitose Airport. Inspection of the main gear of all MD-87
aircraft was completed by March 26. On March 22, JAL wasissued with a written reprimand by the Ministry of Land, Infrastructure and Transport. On April 5, the company submitted areply to the ministry, detailing the results of investigations into
the causes and measures to prevent a recurrence of the incident.

We are promoting safety awareness by following the advice of
the Safety Advisory Group: improving communication between
management and staff, continuing regular education of managers in charge of safety and making effective use of the Safety
Promotion Center.

910

Recommendations of Safety Advisory Group
Establishment of Safety Advisory Group
Despite implementing measures for improvement in thewake of the Business Improvement Order and Administrative Warning, JAL continued to be responsible for safety incidents. Thus it was that on August 3, 2005, the JAL Groupestablished the Safety Advisory Group.
Under the chairmanship of well-known writer Kunio
Yanagida, the Safety Advisory Group is made up of ﬁve
independent experts with knowledge and hands-on experience in such areas as safety, crisis management, defectanalysis, organizational operation and corporate culture.
Over the ﬁve-month period from August to December
2005, the committee met 30 times, conducted 130 hours
of interviews and made site inspections. Among its activities, the committee interviewed those directly connectedwith the safety incidents as well as other parties involved.
The committee observed ﬂights and visited important worksites, including TAECO, a maintenance factory in Xiamen,
China, to which JAL contracts maintenance work. In addition, the committee climbed Mount Osutaka (the site where
JAL ﬂight 123 crashed in 1985) and made an inspection
tour of the Ministry of Land, Infrastructure and Transport’s
Air Trafﬁc Services Department at Haneda Airport.
The committee ﬁnalized the results of its investigations
and analysis in a report titled Recommendations Aimed at
Revitalizing the JAL Group as a Company with High Safety
Standards. Some 25,000 copies of the report have been
printed and distributed to employees in the JAL Group sothat they become fully familiarized with the recommendations. Kunio Yanagida also conducted a series of lectures,
each lasting over two hours, at JAL headquarters in Tokyo
as well as at ofﬁces and operational bases in Sapporo,
Haneda, Narita, Nagoya, Osaka, Fukuoka and Okinawa so

as to promote greater understanding of the contents of thereport. More than 2,000 JAL Group employees attended
these lectures, which also included spirited Q&A sessions.
These lectures helped staff acquire a better grasp of therecommendations.

Summary of December 2005 Proposals
Revamping Our Mentality
JAL must change its mentality from one of thinking thatsomeone else will take care of a particular situation to one
where the employee says “I will do it,” and JAL must shift
its stance from one of passivity to one of being active. JAL
must address the problem of overreliance on manuals andthink about how each individual’s job ﬁts into the wholescheme of things. In addition to making these efforts, JAL
must aim to do something extra for its customers, witheach employee taking the standpoint of “What would I do
if I or my family were the passengers?”

Revamping Our Organization
JAL must establish a central safety organization as a powerful staff division, reporting directly to the CEO as well as tothe corporate planning division. JAL must remove the partitions that make parts of the JAL Group operate as closed
segments and isolated cultures. JAL must undertake
mandatory personnel exchanges and periodically arrange
opportunities for reciprocal checking of work and for
information-exchange councils to meet.

Central Organization Responsible for Safety
Most of the time of existing safety-promotion sections is

Safety Advisory Group Members
Kunio Yanagida (chairman), nonﬁction writer; Yotaro Hatamura, professor,
Kogakuin University; professor emeritus, Tokyo University; Shinichi Kamata,professor, National Defense Academy; Shigeru Haga, professor, Departmentof Psychology, College of Arts, Rikkyo University; Akinori Komatsubara,
professor, School of Science and Engineering, Waseda University

Kunio Yanagida
visits JAL Engine
Technologies, Ltd.

Safetytaken up with organizational adjustments and administrative operations related to safety. There has been no development of a professional staff responsible for safety, evenat headquarters. The newly established central organization
responsible for safety must be led by a senior member ofmanagement trusted throughout the company who is capable of strong leadership. That person has to be responsible
for promoting safety-related education and development
throughout the entire group.
JAL must establish a safety-promotion archive to preventthe lessons of past accidents from being forgotten and touse them as a basis for reestablishing safety measures.

Human Error
The practice of carrying out unequivocal verbal communication needs to be established. This manner of speaking
should remove any doubts about what it is that the otherparty is attempting to do and ensure that one’s own ideas
are properly understood by the other party. JAL must establish a corporate culture in which it is possible to say “Stop!
That’s dangerous!” This must be a culture where the true
meaning of the manual is correctly understood so as toprevent employees from falling into the trap of letting themanual decide their actions.

Rapid Information
The central safety organization must gather information
and also rapidly transmit analyses, countermeasures andrelated information to the workplace and promote “horizontal” development of risk information. Professional staff
responsible for safety must be thoroughly acquainted withdetails of past incidents and JAL must submit relevant data
in a timely fashion to those who need it.

Stakeholders

Environment

important that errors be reported immediately and that thedetails of each case be presented in a format that can beaccessed by everyone. That would be a major contribution
to establishing safety measures. Nurturing a culture where
this practice is recognized will increase communication in
the workplace.

Pride and Motivation
JAL must no longer simply continue old ways of doing
things, but attempt to establish new practices. When staff
participate right from the planning stage, they will be motivated to do their best. For that reason, JAL must include
important staff from related organizations (including thosefrom subsidiaries and contractors) at the planning stage of
projects and operations.

Cultivating a Culture of Safety
If you are a passenger experiencing the operations of anairline, you adopt a ﬁrst-person perspective. Where a family
member is the passenger, this becomes the second-person
perspective. Airline staff carrying out their duties without
properly considering the position of the passenger is a thirdperson perspective. Trying to adopt a ﬁrst- or second-person
perspective could lead airline staff to become excessively
emotional and unable to make professional judgments.
From the third-person perspective, there is a tendency totreat human beings as inanimate objects. What is needed
is for JAL to maintain its consideration for the ﬁrst- andsecond-person perspectives, while calmly dealing with its
duties as professionals. This we term the “second-to-thirdperson perspective.”
Ultimately, safety is created by passengers, airlines, theadministrative authorities and the media.

Improving Communication
Communication between management and staff and acrossdifferent group segments is not proceeding smoothly. The
lack of adequate communication is a major obstacle toestablishing safety. JAL must implement cross-segment personnel exchanges and interchanges between headquarters
and local ofﬁces as well as among the safety councils working in different segments.

Revealing Defects
Errors are not reduced by punishment. Where committing
errors leads to punishment, they tend to be concealed. It is

Extract from Safety Advisory Group Recommendations
The recommendations of the Safety Advisory Group are
not meant to be individual prescriptions for the series ofincidents and problems recently experienced by JAL. They
are a set of third-party investigations and analyses concerning signiﬁcant elements of fundamental revisions, outlining
what is necessary to create a stable “safety culture.” What
this means is establishing a corporate culture that ensuressafety amid the sharp changes seen in the economic andsocial environments and in the organization of JAL.

11

12

Safety Measures in Medium- to Long-Term Management Plan
The 2006–2010 medium-term management plan was
drawn up in March 2006 based on the JAL Group Corporate Reform Initiatives, announced in November 2005 asa vision for revitalizing the JAL Group. The plan includes
measures for achieving the recommendations made by the
Safety Advisory Group. We plan to carry out a series of safety investments, amounting to approximately ¥60 billion overthe ﬁve-year period from ﬁscal 2006 to 2010. We intend tostrengthen and utilize the IT operations that support ﬂight
safety, along with expanding our maintenance facilities. At
the same time, we will step up such measures at the grouplevel as increased hiring of engineering staff and mechanics
in our group companies.

Awareness of Issues• Analysis of safety issues and measures to deal with them
are not being properly communicated among group companies. This is particularly true in the case of human errors
leading to incidents.
• We have not fully developed our abilities in handing on
requisite skills and training professionals in the area oftransportation safety.
• We still lack an awareness of the crucial central role ofsafety owing to our not having established a safety culture that continuously learns from the past, and our educational efforts to promote safety have been insufﬁcient.

Medium-Term Response Initiatives• In response to the Safety Advisory Group, we have established the Corporate Safety Division, responsible for all
safety improvement and for promoting safety improvement as a group.
• The company will tackle issues resulting from human error. We will make investments centered on strengthening
our maintenance base and improving ﬂight quality. We
aim to reinvent ourselves as a company with high safety
standards and recover the trust of our customers.

Concrete Activities
1. Reconstruction of Safety Systems
In addition to setting up the Corporate Safety Division andestablishing its authority with regard to safety issues, wehave allocated professional staff under the senior vice president and promoted safety improvements as a group. We
will create a safety-information database and collect dataon safety information and failings. We will share this information and analyze it within the group, utilizing it as basic
data for horizontal development and for formulating safetymeasures. JAL will also continue the Safety Advisory Group,
made up of external advisors who provide advice to the JAL
Group safety system.

2. Employee Activities
We will periodically review the extent to which unequivocal
verbal commuication is widespread throughout the company and review too the simpliﬁcation of company manuals. In addition, we will prepare an educational program
under the theme of “Safety as Our Ultimate Priority” andimplement safety education and training towards establishing a safety culture. By the efﬁcient utilization of the Safety
Promotion Center and having new employees climb Mount
Osutaka, we aim to nurture a corporate culture that continues to learn from the lessons of the past. JAL also aims toestablish opinion-exchange and research venues for employees, starting with the ﬂight crew and air-trafﬁc controllers,and conduct periodic opinion exchanges.

3. Promoting Safety PR
While unveiling PR activities involving pilots and mechanics,
the company will also host study tours of aircraft hangars
and hold ﬂight classes for children.

4. Strengthening Maintenance
JAL will expand maintenance-related investment. Measures
will include the introduction of an integrated IT maintenance system, a 777 dock at Narita Airport, a large-engine
test facility and purchasing of spare engines, aiming tostrengthen the maintenance base through increased hiring
and the transmission of vital skills.

5. Flight Performance
We will take active steps to prevent safety incidents arisingby staying abreast of ﬂight performance, while extracting
and analyzing unsafe elements. JAL will improve the crewrelated information base, transmitting safety information to
the crew in a rapid and timely manner.

Safety

Stakeholders

Environment

Safety Promotion Center
On April 24, 2006, following recommendations of the Safety Advisory Group, JAL established the Safety Promotion Center at Haneda
Airport to reafﬁrm the awareness of ﬂight
safety. A major exhibit is the aft pressure bulkhead from JAL ﬂight 123. Wreckage from theaft fuselage is on display, as are newspaper
reports of the accident and photographs ofthe crash site. The center presents information
on major accidents that have involved JAL as
well as panels displaying details of aviation
accidents from around the world.
A main objective of the Safety Promotion
Center is to establish safety awareness among
JAL Group staff. Following a speciﬁc proposal
from the Safety Advisory Group that accident
sites and wreckage material have a powerfuleducational value, we will reﬂect on past incidents and have all our employees fully grasp
the importance of ﬂight safety.
It is our strong belief that this Safety Promotion Center will operate as a basis for establishing safety within the company, and wewill use it as the starting point for a pledge on
ﬂight safety. We have to be constantly awarethat the responsibility for the lives and property of our customers is entrusted to us.

The wrecked vertical stabilizer of JAL ﬂight 123 (top); the aft pressure bulkhead(above left); records of aviation disasters (above right)

Guide to Safety Promotion Center
03-3747-4491

03-3747-4493

Address: Daini Sogo Building 2F, Haneda Kuko 1-7-1,
Ota-ku, Tokyo 144-0041
Access: ﬁve minutes’ walk from Seibijo Station on the Tokyo Monorail
Opening hours: Monday to Friday 10:00 to 12:00, 13:00 to 16:00(closed holidays and during the year-end holiday period)
Size: exhibition area approximately 600 square meters
The center is open to all those with an interest in aviation safety. Visits canbe made by members of the general public. However, reservations are required and should be made the day before the intended visit, so as not to
conﬂict with staff-education days and for reasons of site security. The center
offers daily one-hour guided tours for groups of up to 10 people at 10:00,
11:00, 13:00, 14:00 and 15:00. Safety Promotion Center staff will accompany visitors at all times during visits and explain the facilities and exhibits.

13

14

Establishing a New System
My Personal Pledge to Promote Safety
Kiyoshi Kishida, General Manager, Corporate Safety Division
We inaugurated the Corporate Safety Division on April 1,
2006. This move was based on a recommendation by the
Safety Advisory Group to establish a central organization responsible for safety to report to top management. Both thecompany, which was responsible for a series of safety incidents, and I are now in the position where we have to devote all our efforts to getting to grips with ﬂight safety. Thatis one reason we established the Corporate Safety Divisionin Terminal 1 of Haneda Airport, close to the maintenanceand ﬂight-operation areas. And that is where I work froman ofﬁce along with my staff to fulﬁll our safety-promotion
duties.

Information Disclosure
Reporting to me are two deputy general managers, bothvery professional and with long experience at maintenanceheadquarters. One of these will continue as safety advisor, aposition created last year to serve as a liaison between management and staff.
We have also assigned to the center staff members of
department-head status with extensive backgrounds inﬂight, maintenance, passenger-cabin, airport and cargo
operations. Along with the two deputy general managers,
other staff also possess the experience and management
capabilities necessary to give directives to each division. To
achieve the rapid disclosure of safety-related information,
we have included staff from the PR division, who will carryout their original duties in addition to safety matters. The
Corporate Safety Division is an organization that has beendelegated with strong authority. And as the ofﬁcer respon-Stakeholders

Safetysible and a professional, I pledge to be a severe judge ofissues as my staff and I pursue safety.

Comprehensive Safety Measures
The safety organizations established in the ﬂight, maintenance, passenger-cabin, airport and cargo divisions willcontinue to investigate problems and produce countermeasures. The Corporate Safety Division works across departmental divisions and produces medium- to long-term safetymeasures. In cases where departmental safety measures are
judged to be insufﬁcient, we shall issue the necessary directives to the departments involved.
Many aviation incidents are complicated in nature, andinvestigations into the causes tend to be conducted in a
vertical fashion. But such an approach makes it impossible
to obtain optimal results. The Corporate Safety Divisionaims to promote comprehensive safety measures by providing a lineup of professional staff with responsibility for thevarious issues involved.

Accident Prevention Through Safety Promotion
CenterWith its display of the wreckage of JAL ﬂight 123 from
Mount Osutaka, the Safety Promotion Center has been established as a place to afﬁrm the importance of ﬂight safety

and allow people to reﬂect on past accidents. The centerhas been set up to exhibit case studies not only of JAL accidents but also various aviation accidents from around theworld. I believe we must use the center as the starting point
for each and every JAL employee to learn about the importance of ﬂight safety.

Overall Aviation Safety
I participated in ﬁeld operations for 35 years as a memberof a ﬂight crew. And I intend to use that experience to contribute to achieving aviation safety. It is my aim to ensurethat the opinions of the relatives of those who died in the
JAL ﬂight 123 accident on Mount Osutaka, their prayers forthe prevention of a reoccurrence and their strong will arereﬂected in my work. I believe that the product we provide
should be secure, safe, dependable and comfortable. It isthe combination of hardware, software, infrastructure andhuman elements that determines the quality of a service.
If JAL staff can maintain their love for their work and society, their workplace will become fault-free. It is the job ofmanagement to create and promote the methods needed
to produce a quality service. And it is my desire that JAL
become united in its efforts to provide the kind of personal
service that will ensure that our customers feel safe and satisﬁed with every JAL ﬂight.

Reorganizing Central Safety Organization
Following the recommendations of the Safety Advisory
Group, the company strengthened its safety organization.
And to promote safety improvement throughout the entire
group, we have newly established the Corporate Safety Division, which reports to the CEO.
• A Planning Group, Audit Group, Research Group and the
Safety Promotion Center have also been established andreport to the general manager of the Corporate Safety Division.
• As well as promoting a safety culture, sharing data andoptimizing safety levels throughout the JAL Group, the Cor-

Environment

Corporate Safety Division
Deputy General Manager

Masaaki Haga

Planning
Group

General Manager

Deputy General Manager

Kiyoshi Kishida

Shinobu Kobayashi

Audit
Group

ResearchGroup

SafetyPromotion
Centerporate Safety Division carries out research mainly of latent
factors and output, is in close liaison with external organizations and provides support for various JAL departments
and group companies.

15

16

Together with Our Stakeholders
Through an active dialogue with our customers, shareholders, investors and the local society
where our operations are based, we are making efforts to reestablish a relationship based on
mutual trust with our stakeholders.

Stakeholders

SafetyEnvironment

Together with Our Customers

Thinking and Acting from the Customers’ Standpoint

Shaping Customers’ Comments into Concrete Responses
For more than half a century, JAL has enjoyed a relationship of close cooperation
with its customers, receiving their valuable support at each step of the way. Our
aim is to see our work from the standpoint of our customers, come up with new
ideas to satisfy their needs and expectations and thereby provide a better service.
At JAL, we adhere to the principle of always being there for our customers
and make efforts to include the opinions and feedback we receive from them ona daily basis in improving our service. The company has set up a Customer Support Center to respond directly to customer comments, and approximately 80
full-time staff cater to customer proposals, opinions and wishes. Our customers
can contact us via a toll-free comment line, the comment cards placed onboard
the aircraft or by post. The company takes great pains to provide an honest andappropriate answer to every communication. Customer comments are analyzed
and fed into a database. This information is forwarded to the appropriate division in a timely fashion, and this is then used as a vital link in company-wide efforts to improve service.

Customer comments
Phone, e-mail, comment cards, post
Reply

Customer Support Center
Data veriﬁcation, database input, data sharing

Service Improvement

Relevant division
Customer Support Improvement
Committee

Fiscal 2004

Fiscal 2005

13,49015,000(36.7%)

11,00010,350(34.2%)

8,740

10,000In ﬁscal 2005, JAL received 36,760 customer comments, a 14% increase over the previous year. Of
these, 13,490 were customer opinions, a 23% increase and 36.7% of the total. The company also
received 10,350 customer complaints, an 18% rise,making up 28.2% of all customer comments forwarded to JAL.

(28.2%)(27.1%)

8,680

8,810

(27.0%) (24.0%)

3,340 3,690

5,000(10.4%)(10.0%)

450

420(1.4%)(1.1%)

0

Opinions

Complaints

PraiseInquiries

Others17

18
Together with Our CustomersAs part of my ground-based cabin-operations training, I
handle replies to customer comments related to cabin operations in the Customer Support Center. At this center, I comeinto direct contact with a variety of customer comments, fromcomplaints to praise. When I’m on duty as a regular member of the cabin crew, however, my contact with the groundstaff is rather limited. I was not, therefore, aware just how
the customer comments I pick up onboard were put to use in
the company. I have to respond honestly to every customer
comment, and that has broadened the way I view service.
I’ve become keenly
aware that every comment we receive is justone among thousands ortens of thousands fromJAL customers.

J

AL introduced à la carte meals in First Class on long-haul
ﬂights in 1998, enabling passengers to eat whenever theywish after the ﬁrst meal service. This service was introduced
in response to numerous customer comments, indicating thatthey wanted to spend their time freely on the plane. We did
not aim to put together a deluxe
menu, but decided to offer instead
more the kind of fare that passengers might choose to eat at home
as a light meal, such as curry andramen noodles. Last year, we extended this First Class service to
Executive Class, where it is now
available on our London, Paris, NewYork and Chicago routes. Looking
ahead, we will be constantly considering our passengers’ tastes andwishes as we aim to provide themwith menus that match their needs.

Mio Iida

Seiji Tanaka

Customer Support Center

Planning Division

Dealing with Customer CommentsM

y job is to take the diverse comments we receive, identify issues requiring improvement and then work in conjunction with various divisions to make those improvements
come about. Often, however, issues are resolved with a touchof on-site ingenuity — even before a proposal for improvement has been submitted. An example of this can be seen in
an incident following the suspension of our service allowing
pets into the passenger cabin on international ﬂights in April
2006. One passenger commented, “I’m worried my pet may
be rather cold in the cargoarea.” We all considered how
we might tackle the question.
One division came up with aproposal, which was to use athermal mat in the cargo area.
That idea was quickly adopted.
This shows an optimal situation,in which various divisions comeup with ideas and proposals at
the same time to deal with aproblem.

I’m responsible for responding to comments and opinions
received in English. In many cases, I can see that dissatisfactions voiced by non-Japanese customers are a case of linguistic
misunderstandings. We occasionally receive complaints from
non-Japanese customers who feel that they weren’t treatedthe same way as Japanese. When we look into these, we ﬁndthat in the great majority of cases misunderstandings arose asa result of incomplete on-site explanations. I feel that in the
conﬁned space of an airport or aircraft, where our staff comes
into contact with many different customers, there may be cases
where we’re unable to provide a complete, satisfactory English
explanation. Once I make a detailed explanation of the situation
in a letter, I ﬁnd that almost all customers are satisﬁed. Someeven write back full ofpraise, thanking me forhaving explained things
clearly. Of course, I simply do what the job demands, but I admit that it
is at such times that I feelthe greatest pleasure.

Naoaki Kamekawa

Emiko Hatayama

Customer Support Center

Customer Support CenterStakeholders

SafetyEnvironment

Assuring All Our Passengers a Pleasant Flight
Universal Design as a Guiding Principle
Universal design is a central concept to the workings of
the JAL Group. The principle of universal design is to create goods, services and environments that are easily usable
and accessible by as broad a range of the population as
possible. This concept aims to standardize design to makecommodities and public spaces as easy to use and accessfor people with disabilities as for those without.
With universal design, we do our utmost to understandour diverse customers and set up facilities in accordancewith their different needs. The group also aims to offer
services that meet our customers’ high level of expectation,
and we will continue improving the quality of our service.
Our basic thinking is that the JAL Group offers a helping
hand to all our customers. We aim to make products andservices safe and easy for customers to understand and use.

Universal Design Workshop
In ﬁscal 2005, some 80 JAL staffers attended workshops tostudy ideas related to universal design (see box, right), andall attained Class 2 Universal Design Coordinator Grade. In
ﬁscal 2006, 200 JAL staffers are scheduled to take part inthis workshop.
The Universal Design Coordinator is a qualiﬁcation
sponsored and accredited by the Institute of Advanced
Studies in Universal Design, a nonproﬁt organization (NPO)certiﬁed by the Cabinet Ofﬁce. The qualiﬁcation attests thatthe holder maintains specialized
knowledge of areas including social
welfare and medicine, understands
universal design theory and canutilize this in products and services.

Reﬁning Hardware and Software
JAL is aiming to provide a service that is easier for its customers to use, including automatic check-in machines on
domestic and international ﬂights, ticketless service anduser-friendly cabin interiors and onboard facilities. We are
pursuing ease of use along with ease of understanding inall our communications.

This passageway is easy to follow even for passengers with imperfectcolor vision: facilities at Kobe Airport designed in a black-and-white
pattern (above left). JAL vehicle at Kobe Airport for use by passengers
with special needs (above right)

Workshop Attendee Comments
The good thing about universal design is that those withdisabilities are not viewed as some different class of humanbeing. Its results beneﬁt all customers.
Yukiko Ikeuchi, Reservation and Ticketing Procedures Department

An aircraft is a conﬁned environment, and this presents difﬁculties not only for elderly passengers and those with special
needs, but also for crew members. With universal design,
though, we’re able to provide more comfortable conditions
for everyone onboard.
Tomotake Mori, Station Operation Planning Department

Though we’d intended to introduce a number of functions
for the sake of convenience, it resulted in such areas as ourtimetable and homepage becoming more complex. I feel wemust make documentation and services in general easier tounderstand, not only for our passengers, but also our staff.
Ayako Izuma, Station Operation Planning Department

I think I’ve become a lot more aware of what is going onaround me after having studied universal design. I also believe I’ll be in a position to offer opinions and make proposals from the standpoint of people with disabilities.
Miho Fujita, Training Department, Cabin Attendants Division

Having studied universal design, I’m able to understand thedifference between that and barrier-free theories so muchbetter. I also feel we can apply universal design to many different areas. There’s no limit to its possible applications.
Keiko Miyazaki, Passenger Services Planning Department

19

20
Together with Our Customers

Becoming Care-Fitters
In an effort to promote universal
design, JAL staff at all domestic
airports in January 2006 began
working towards acquiring acare-ﬁtter* qualiﬁcation. In the
future, we plan to use such qualiﬁed staff as key individuals as
we look to systematize a highlevel care-ﬁtter education in thecompany. Our aim is to have all
airport staff acquire care-ﬁtter and service techniques.
At present, some 290 staff in our airport division havecommenced distance learning towards acquiring the careﬁtter qualiﬁcation. By the end of September 2006, we plan
to conduct practical instruction and complete ﬁnal testing
and are making efforts aimed at ensuring that all 290 participants receive accreditation.
*The notion of being a “care-ﬁtter” is one that originated in Japanand is directed at acquiring particular skills by those who frequently
deal with senior citizens and people with disabilities. To this end, acare-ﬁtter qualiﬁcation is awarded by the Nippon Care-Fit Service Association, an NPO. The qualiﬁcation is given to those who participate
in training courses (correspondence courses and two days of practical
instruction) hosted by the association following the passing of a certiﬁcation test.

Seeing from the Other Person’s Perspective
I received my care-ﬁtter instructor qualiﬁcation in January and am now teaching airport staffers aiming to qualify asClass 2 care-ﬁtters. In the two days ofpractical instruction, apart from teaching the basic thinking behind being acare-ﬁtter and how to operate wheelchairs, the course includes a simulationof the environment as experienced byelderly customers and those with disabilities.
Through this simulation, which I
also studied when I qualiﬁed, I was able

to gain a deep understanding of how
other people deal with certain situations. This was something that before I’dconsidered only in a theoretical fashion.
Staff who attended the classes also told
me that afterwards they felt they wereable to provide a more comprehensive
service to customers in general.

Eriko Kamimizu
JALSKY Tokyo Co., Ltd., Passenger
Services Planning Department(Care-ﬁtter instructor)

Safety

Stakeholders

Environment

JAL Smile Support

Services for expectant mothers andpassengers with babies

Carefree Journeys• Priority seating• Mama & Baby Odekake Guide (only in Japanese)• Loan of strollers• Priority boarding

For domestic ﬂights, the JAL Group has established the Smile Support Desk to help passengers with special needs, such as expectant
mothers, passengers with babies, children
traveling alone and elderly passengers. Full details are listed alongside our timetable, on our
homepage and in pamphlets at airports.

Support for children traveling alone andelderly passengers• Priority seating• Guidance to the arrivals lounge upon landing• Original JAL toys for children

Smile Support Desk
0120-25-0001(available seven days a week from 06:30 to 22:00)

Service with a Smile
JAL Smile Support was established to help passengers
with special needs, and the support desk receives numerous inquiries. Typical requests and inquiries would
be a granddaughter wanting someone to accompany
her elderly grandmother to the bus stop after a ﬂight
or a mother concerned about the inﬂight effects of airpressure on her baby. As one of the JAL staff who comes
directly into contact with customers in such cases, I attempt to ease concerns.
JAL Smile Support has
been going just three
years, and there are still
a number of matters
we’re unable to deal
with. Occasionally, customers come back witha severe assessment of
the work we do, and I
hope to play a role inaddressing those shortcomings in future.

Hitomi Yamada
JAL Smile Support Desk,
JAL Navia Fukuoka Co., Ltd.

21

22
Together with Our Customers

Priority Guest Support

Assistance for Safe Transport
Consistent Teamwork
In the JAL Group, we refer to passengers with disabilities
and those with illness or injury as priority guests and givethem precedence over our other customers. Established ina pioneering move in 1994, the JAL Priority Guest Center
coordinates all efforts by JAL towards the treatment of priority guests.
JAL has systems in place to ensure that passengers withdisabilities or with injuries have problem-free travel. In
serious cases, where the passenger is ﬁtted with such
equipment as artiﬁcial respirators, we send out advance
notiﬁcation and give appropriate instructions to eachdivision at each stage of the journey so as to provide
constant support for the passenger.

Case Study: Overseas Organ Transplants
Once a passenger in need of an organ transplant hasreceived a certiﬁcate of admission to hospital, we decideon the ﬂight details so as to transport the person in time
for the operation. We supply any medical equipment thepassenger may need onboard and determine whether anambulance will be necessary at the airport of departure or
arrival. Sometimes, an accompanying physician with sterilized medical equipment, passenger transport by charter
ﬂight and even hosting a press conference before departure are required. But we respond to all demands by close
information exchange among all concerned departments
before departure.
In ﬁscal 2005, JAL transported 15 passengers overseas
for organ transplants.

Appropriate and Flexible Response
The JAL Priority Guest Center responds ﬂexibly to a variety
of situations, such as passengers suffering from panic syndrome, autism, kidney diseases or passengers ﬁtted withpacemakers or artiﬁcial anuses. The Priority Guest Center isstaffed by eight experienced employees, who make committed responses to each of the approximately 100 communications that arrive at the center every day. All thesestaffers are aiming to qualify as certiﬁed care-ﬁtters.

Supporting Heart-Transplant Recipients
JAL established the Priority Guest Center in 1994. At
ﬁrst, our lack of experience showed in our response to
the needs of certain passengers. With time, though, weestablished intra-organizational links that cut acrossjurisdictional lines: the various departments worked
together like a single project team to ensure that passengers were transported safely to their destinations. Thoseefforts were recognized in the Dream Skyward Award(details about the award on page 29), which the Priority
Guest Center received in recognition of its transporting
passengers overseas for heart transplants.

Noriko Oba
JAL Priority Guest CenterSafetyInﬂight Support
On international routes, the JAL Group provides special
meals, such as ones for diabetics and low-calorie fare. We
also offer inﬂight explanations in Braille, boards for written
communication, toilets for use with inﬂight wheelchairs
and stretchers on both international and domestic routes.
Seeing-eye, service and hearing dogs may be taken into theaircraft on all ﬂights.

Priority Guest Center
http://www.jal.co.jp/en/jalpri/
0120-747-707 (available daily from 09:00 to 17:00)
0120-747-606 (reservations and information for those withhearing and speech disabilities)

Stakeholders

Environment

Cargo Carrier Responsibility
Our objective at JAL Cargo is not just to carry cargofrom one point to another. We make efforts to ensure
we fulﬁll our social responsibilities as an international
carrier by constantly considering what is necessary fromthe standpoint of the customer and acting accordingly.
Even where unforeseen circumstances lead to delays
and cancellations, we develop alternative courses of action to avoid any inconvenience to customers, includingtransporting goods via alternative routes on our partner
airlines in the WOW cargo alliance.

Peanut-Free Flights
In the pressurized atmosphere of an aircraft passenger
compartment, there is a danger that passengers with
peanut allergies might ingest airborne peanut dust. Thiscan set off such symptoms as palpitations and respiratory problems. For these passengers, we provide meals
and snacks that do not contain peanuts. Depending on
the seriousness of the symptoms, we may remove peanut
products from all inﬂight snacks and meals. Since 2001,
we have operated 242 peanut-free ﬂights, including 26
on domestic routes.

Tay Swee Huat
Cargo marketing & sales manager,
Singapore Cargo Ofﬁce

Learning Sign Language

Noriko Omura
Cabin attendant

After a number of volunteers fromthe cabin crew got together with thedesire to provide a better service forcustomers with hearing disabilities, theJAL Sign Language Class started up in
1995. The classes were carried out ina role-play format based on inﬂight
service situations and were designed tohave the students learn sign language
as a conversational skill, not simply set
vocabulary patterns. I’ve participatedin the classes for about seven years
and have seen a gradual increase in thenumber of cabin-crew members wishing to attend. Many of our passengers
with hearing disabilities are delighted
when we communicate with them insign language, and that is extremely
fulﬁlling. Of course, some passengers
do not wish to use sign language, so wehave to exercise care how we respondwhen we ﬁrst meet them.
I would like to expand our signlanguage circle not just among cabincrew but to other divisions in close
contact with our customers.

23

24

Passengers Taken Sick Onboard
All attempts are made to maintain the inﬂight environment as close as possible to that on the ground. Within
the plane, however, such factors as atmospheric pressure,humidity and turbulence do, of course, make conditions
very different to those before takeoff. These differences
may have an adverse effect on the health of our passengers, and so JAL has an inﬂight medical system in place todeal with the eventuality of a passenger taking sick while
onboard.

Medical Education and Training
Cabin crew receive 16 hours of medical education as partof their induction training when they join the company.
They study introductory aeronautical medicine, health andhygiene and how to deal with a number of conditions that
tend to occur onboard, including cardiopulmonary resuscitation (CPR) and automated external deﬁbrillator (AED)
protocols. Following thecompletion of their induction training, cabin crew
also receive approximately
2 1/ 2 hours of ﬁrst-aid training every year to maintaintheir knowledge and skills.
Cabin crew receiving AED training

Onboard Pharmaceuticals and Medical
Equipment
All JAL Group aircraft with over 60 seats carry a doctor’skit. The company reviews the types and amount of pharmaceuticals and medical equipment in this kit on an annual
basis. In ﬁscal 2005, JAL experienced 394 cases of onboard
sickness demanding medical assistance by cabin crew oninternational ﬂights and 272 on domestic ﬂights.
In 85% of such cases on international routes, a request
was made for help from physicians onboard, while help
was requested in 88% of similar cases on domestic routes.
The doctor’s kit was used in approximately 31% of cases
on international ﬂights and 9% on domestic ﬂights.

Doctor’s Kit. This is the set of pharmaceuticals and medical
equipment carried onboard to be administered by a physician.
A 1993 directive from the predecessor of the Ministry of Land,

Infrastructure and Transport requires that airlines provide
emergency pharmaceuticals and medical equipment on aircraftwith over 60 passenger seats.

AED. JAL began carrying AED equipment on its aircraft in
October 2001, the ﬁrst instance of such equipment being
deployed in locations other than hospitals in Japan. This move
had a major impact on emergency medical systems in thiscountry.

Resuscitation Kit. This contains such equipment as an
Ambu bag, endotracheal tubes and a laryngoscope.

Medicine Kit. Included are nonprescription drugs, suchas those for gastrointestinal complaints and colds, as well asadhesive plasters.

Ground Medical Support
JAL maintains a ground-based support system known as
telemedicine, whereby a JAL doctor on 24-hour call uses asatellite telephone to communicate medical instructions tothe crew in case there is no physician onboard.

Food Safety
To prevent such incidents as food poisoning from occurring inﬂight, the JAL Group has imposed stricter safety andsanitation management at its food-preparation plants. In
October 2005, the group began implementing rigorous
third-party safety and sanitation inspections using a consultant specializing in food quality and safety and sanitation standards. As part of those activities, JAL, along with
Air Canada, Aeroﬂot, KLM, Northwest Airlines and others,
participates in the IATA Catering Quality Assurance (ICQA)
program. This program was introduced in January 2006
to enhance inﬂight meal safety and sanitation throughout
the IATA.
As well as making efforts in safety and sanitation, theJAL Group takes every care with such food-related issues
as bird ﬂu, BSE, residual pesticides and food tampering.
In March 2006, however, it was discovered that U.S. beef,
which the group had prohibited (in line with Japanese
government policy), had found its way into inﬂight meals
intended for infants on a JALways ﬂight departing from
Guam. To avoid such incidents in future, we have madestrenuous efforts to keep our overseas contractors thoroughly informed about restricted food materials in addition to making menu checks immediately prior to takeoff.

Safety

Stakeholders

Environment

Together with Our Shareholders and Investors

Meeting Expectations

Disclosure and Communication
The JAL Group promotes active communication with ourshareholders and investors, providing them with businessdata in a speedy and impartial format. The group willcontinue such activities, thereby putting shareholders andinvestors in a position where they fully understand JAL andare able to make responsible investment decisions. JAL also
seriously listens to the opinions and proposals made byshareholders and investors and makes efforts to see thatthese ideas are reﬂected in management decisions.

Timely Release of Accurate Data
The company aims to provide timely disclosure of information, including the posting of updated information on the
JAL homepage for the beneﬁt of shareholders and investors. JAL also periodically provides investors with various
kinds of data, notable among which is the company’s
annual report, published in English. JAL posts this information for shareholders and investors on the company
website at:
http://www.jal.com/en/ir/index2.html

PR Activities Aimed at Diversiﬁed Investors
The JAL Group hosts ﬁve brieﬁng sessions each year for institutional investors and analysts, coinciding with the quarterly results and medium-term business plan. Videos andother materials presented at these brieﬁngs are available on
our website. The company also gives brieﬁngs to individual
investors, and we value the two-way communication withinvestors achieved through direct dialogue. The materials
distributed at these brieﬁngs and presentation images areavailable on our website at:
http://www.jal.com/en/ir/management/setsumeikai.html

Socially Responsible Investment Index
The CSR activities of the JAL Group havebeen acknowledged and in September
2005 were included in the FTSE4Good
Index Series, designed by the global certiﬁcation body to measure the performanceof companies that meet globally recognized corporate-responsibility standards.

Shareholder Activities
Shareholders Beneﬁt Program
So that shareholders can better understand and support
the JAL Group, we operate the Shareholders Beneﬁt Program and invite them to use group products and services.

Shareholders Desk
For matters relating to the Shareholders Beneﬁt Program,the group operates an inquiry counter known as the Shareholders Desk, which handles telephone calls and lettersfrom our shareholders.

Shareholder Events in Fiscal 2005
As part of the Shareholders Beneﬁt Program, JAL conducts a variety of events so that our investors get better
acquainted with the JAL Group and our business. In ﬁscal
2005, JAL was pleased to show investors around our maintenance facility at Haneda Airport in August and October.
With the cooperation of Central Japan International Airport(Centrair), we also hosted a lecture presentation titled “Sky
Tales.” Following an explanation from pilots and cabin attendants, who spoke about their training and job responsibilities, we provided investors with a close-up view ofaircraft taking off and landing from the Centrair Sky Deckagainst the backdrop of Ise Bay.

“Sky Tales” lecture presentation (left) held on January 20, 2006, at Centrair;
visit to the maintenancefacility at Haneda Airport
in August 2005 (below)

25

26

Together with Our Employees

A Comfortable Workplace
Training and Development
JAL Staff — an Indispensable Asset
As in any business, human resources are an indispensable
asset in the JAL Group, powering our efforts to increase
our corporate value. Employees are our most highly valued
stakeholders, and the JAL Group and its employees are
partners joined by the ﬁrmest of links. The mutual development of the company and its staff also makes a contribution to the development of society as a whole. The JAL
Group supports the development of its employees, both asmembers of the organization and of society, through careerdevelopment, and we aim to create a workplace in which
employees can give full expression to their abilities and talents while feeling they have a secure future.

Furthering Employee Careers
The JAL Group conducts various education and training programs so that staff may acquire knowledge andenhance their skills, improve safety and service from thecustomers’ standpoint and develop strong links within thegroup through interdepartmental exchanges.
In addition to launching CSR Safety Education, a program designed to establish a corporate culture that prioritizes safety issues, the JAL Group has since 2005 vastly
increased opportunities for employees to participate intraining exchanges among the departments within thegroup.

One program that the JAL Group has developed is the
Shigoto Genki Program. In this, employees are encouraged
to take the initiative and work on improving their own skills
and make lifestyle choices so they can give full expression
to their capabilities. JAL also operates the Kokoro Genki
Program, a plan that helps employees manage stress.
The JAL Group aims to enhance its education and training programs, strengthening efforts towards human-asset
development. In ﬁscal 2005, the JAL Group conducted 263
in-house group-education and/or training sessions, with
4,763 employees taking part.

Balancing Personal and Professional Life
The JAL Group has established an environment in which
employees can develop their ideas about improving thebalance between their professional and personal lives. The
group aims to enhance support systems for achieving thisbalance in a variety of ways. In addition to support for
self-development and career development, these systems
include support for bringing up children, increasing leisuretime and rehiring retired employees.

Maternity, Child and Family Care
Maternity and child-care leave is a policy aimed at actively
supporting JAL Group employees. The JAL Group allows
female employees to take maternity and child-care leave
up until the end of the month of their child’s third birthday.

A Worker and a MotherI am a mother with four sons, aged 5, 6, 12 and 16. I became eligiblefor discretionary employment when I turned 40, some two years after
my youngest son was born. The timing worked out well as I’d always
thought I wanted to continue working as long as possible, but I’d justreached the stage when bringing up the kids and looking after thehouse were becoming a burden. If the company hadn’t provided thissystem, I would probably have been forced to stop work. I want tocontinue working as long as I have the understanding and cooperation of my family. At the moment, I’ve little time for anything except
work and my family. But the discretionary labor system also allows
me to take on a second job, so once I have a little more free time on
my hands, I’d like to try that different working challenge.

Yuko Sumiya
Cabin attendantSafety

This system compares favorably with the legal requirement
for a single year of leave, extendible by six months in certain cases. Almost 40% of those applying for maternity andchild-care leave take the full period offered. Some 70% of
those whose maternity and child-care leave drew to a closein ﬁscal 2004 returned to the workplace, underscoring theeffectiveness of this system in retaining staff.
The group also provides a system for leave of absence
to care for parents and close relatives for up to 18 months.
This too compares favorably with the legally mandated 93
days. In all, 63 staffers took advantage of this system in ﬁscal 2004.
The company introduced a system of “discretionary labor” for cabin crew in May 2000, which allows those over
the age of 40 to adjust their work schedules to accommodate personal circumstances. Under this system, employees
may be required to work just 10 days a month, which ishalf the normal workload.
Staff Taking Maternity and Child-Care Leave

Fiscal 2003: 692
Fiscal 2004: 771
Fiscal 2005: 782

Paternity Leave
The JAL Group introduced a system of child-care leave formale employees in ﬁscal 2005 to support efforts by ourstaff to balance work with child rearing. The participationof fathers in the child-rearing process is a social necessity,
particularly against the backdrop of the severe decline in Japan’s birthrate. JAL actively supports these initiatives, withseven employees having taken paternity leave in 2005.

Promoting Work-Life Balance
The operations division at JAL headquarters has been actively involved in reducing the work burdens on employees
and implemented the following initiatives in ﬁscal 2005:•Work-Life Balance Day — a system to ensure all staff leave
the ofﬁce at the end of standard working hours on Wednesdays•Flexibility in working hours•Work-Life Balance Communication — a weekly educational publication•Special summer vacations — for longer holidays

Stakeholders

Environment

Our First Child
Just before my wife gave birth, I discovered that a system of child-care leave for male employees had been
introduced. I decided to apply for leave under this system so that I could better support my wife and help her
adjust to life with the baby. It was wonderful for her andme to have this opportunity to work
together in bringing up our child. I
highly recommend
this system to all
my colleagues.

Yushi Kanakura
JAL Aviation Technologies Co., Ltd.
First Landing Gear Maintenance Department

Safety in the Workplace
The JAL Group maintains numerous divisions, including
those for operations, maintenance, passenger cabin, airportand cargo. Each is involved in activities to prevent industrial
accidents and to create a comfortable working environment.
The maintenance division aims to heighten safety
awareness and play an educational role in promoting staff
safety and health for all personnel, from new employees todivisional heads. Staff and management make every effort
to maintain a high level of communication to improve thesafety of the daily working environment.
An example of safety control is seen with aircraft paints,
which contain large amounts of organic solvents. Becauseof this, the company ensures that ventilation equipment
is in operation in the hangars when painting is done. JAL
also stipulates that all workers wear appropriate protective clothing. Conscious of the need to improve both theworking and the global environment, JAL is making efforts
to reduce the amount of organic solvents released into theenvironment by introducing organic-solvent-free paintstripping agents and electrostatic paints.

27

28

Together with Our Employees

Reemployment System
In line with the growing demand for employment opportunities for senior citizens, JAL in April 2006 introduced asystem to provide reemployment opportunities to all employees who reach ofﬁcial retirement age but wish to continue working. With this system, retired employees desiring
reemployment are rehired by the JAL Group Senior Centerand posted to group companies.

Staff with Disabilities
The JAL Group is developing an environment in which employees with physical disabilities can feel completely fulﬁlled
in their work. The group established JAL Sunlight Co., Ltd.
in 1995 to promote employment of people with disabilities
and create an environment where they can work effectively.
JAL Sunlight was accredited as a special subsidiary under alaw related to the promotion of employment for the physically disabled, and a large number of such staff are actively
engaged, working mainly in business-service operations.
At present, physically disabled staff make up 1.48% of the
JAL workforce (combined ﬁgure for JAL, JAL International,
JAL Domestic and JAL Sunlight), which is below the legally
mandated ﬁgure of 1.8%. The company thus needs to engage in further activities aimed at promoting employmentof those with physical disabilities.
We promote the employment of people with visual disabilities. In 2006, JAL Sunlight began operating a welfare
facility where JAL employees can receive massages.

Pledge on Promoting Human Rights
The JAL Group does not discriminate based on gender, age,nationality, race, religion, social station or physical disability
and positions this initiative as a code of company conduct.
To tackle discrimination, it is necessary to be ﬁrmly awareof the issue. And the company promotes human rights at
various in-house training venues as it attempts to further
the awareness of respecting human rights among its employees.
http://www.jal.com/en/corporate/action.html

Working Environment for Female Staff
Approximately half the staff in the JAL Group (including
consolidated domestic afﬁliates) are women, and these employees are active in a broad array of work settings. As an
example, the company has 11 female ﬂight-crew members
and 54 female mechanics, all of whom are engaged in securing safe ﬂights on a daily basis. When new staff are employed, such issues as gender and nationality are irrelevant

Airport Station Manager

Kazuko Yashiki
Kobe Airport station manager

Starting in September 2005, I participated in preparations for the opening of
the new Kobe Airport and became station manager in November. I’m the sixth
woman to be appointed station manager
by JAL, and because of the efforts of thewomen who did this work before me, I
felt little pressure when I assumed theposition. The station manager is thesenior JAL ofﬁcial at the airport, responsible for all JAL operations there. In thisposition, I have to utilize the skills of
various experts to provide a superior

service. It’s also the station manager’s
job to promote teamwork. Fortunately,
Kobe is a relatively small airport, wedon’t have so many employees and so I
get to know everybody. At Kobe Airport,
it’s possible for staff working in different
areas to communicate through normal
everyday exchanges. And that’s probably
the ideal format in terms of teamwork.
I want to make this an airport that conveys a sense of human warmth to ourcustomers, and that’s something I probably couldn’t achieve at a larger airport.

Safetyto the JAL Group: of far greater importance are the spirit ofperseverance and capacity to accept challenge on the partof prospective employees.
And while the JAL Group looks to employ motivatedstaff with talent, we also aim to create a comfortable working environment for our female employees. This includes
fully ﬂedged maternity and child-care systems along with
employment support. In ﬁscal 2006, JAL hired 57 people
as general ofﬁce workers, and of these 10 were women.
In ﬁscal 2006, 7.4% of our managers were women, an increase from the ﬁscal 2005 ﬁgure of 7.0%.

Dream Skyward Award
In 2004, the Dream Skyward Award was established to recognize achievements made in promoting an understandingof the JAL corporate philosophy, increasing individual andorganizational vitality and helping shape a dynamic corporate culture. The Occasional Prize is awarded on an ad
hoc basis. The Annual Prize goes to particularly noteworthy
recipients of the Occasional Prize. In 2005, the OccasionalPrize was awarded to 1,904 recipients, and 51 group companies, overseas ofﬁces and subcontractors won the Annual Prize. The Dream Skyward Award has the following
divisions: Safety and Quality, Customer Service, Good Corporate Citizen and Effort and Challenge.
Good Corporate Citizen Division Winner

Japan Wheelchair Basketball
Before joining JAL, I was a member of the Japan Wheelchair Basketball Federation for a number of years. At
present, I’m involved in promoting sports activities for thephysically disabled as a member of the organizing committee at the federation. Because of JAL’s connection with theJapan Wheelchair Basketball Federation, we’ve been able
to forge closer ties with othergroups involved in sports forthe disabled. As a result, JAL
has become an ofﬁcial sponsor of the Paralympics.

Satomi Kitajima
JAL Engine Technologies Co., Ltd.
Administration Department

Stakeholders

Environment

Staff in Overseas Ofﬁces

Wang Lei
Shanghai Ofﬁce
I’m responsible for providing thelinks between ﬂight management
and ﬂight-crew members at the JALofﬁce in Shanghai Pudong International Airport as well as assisting in matters relating to ﬂightpolicy decisions. I built up various kinds of experience over afour-year period before becoming ﬂight operations manager.
Things get very busy for me if the weather worsens, aircraft
have problems or there’s a closing down of airspace. And it’son those occasions when I manage to ﬁnd quick solutions tosuch problems — and make sure that work at each affecteddivision is ﬂowing smoothly again — that I feel most satisﬁed.

Quengo Kanatani
Administration supervisor, São Paulo Ofﬁce
After graduation, I was looking for an
opportunity to travel around the world,
a good career in a multinational company and a new challenge to develop
my knowledge. All this I thought I’d ﬁnd
in JAL. I now handle various contract
agreements in the São Paulo Ofﬁce inaddition to my accounting duties, which
include budget analysis and ﬁnancial reports. I’m lucky to be ina place where I feel comfortable with the people I work with.
Occasionally, I go to the airport to visit the check-in counter,
watch the passengers’ smiling faces and witness the efforts ofour staff — in such areas as maintenance, passenger services
and cargo handling. And that sight makes me very proud tobe working for JAL.

Patrick Furrow
Administration, the Americas Ofﬁce, Los Angeles
I joined JAL because I wanted towork in an international company
with links to Japan. More importantly, I wanted a job that presented me with challenges and kept
me happy. JAL offered me thosechallenges. I handle various legal, insurance and tax-based
work in the administrative section of the Americas Ofﬁce. The
future holds many challenges for this airline, and I want toplay a signiﬁcant role in meeting these challenges.

29

30

Together with Society

Being Trusted and Needed by Society

Air Transport as a Bridge to Society
The JAL Group corporate philosophy is to contribute to world peace and prosperity, and the group’s numerous corporate activities have long been in line withsuch aims.
The JAL Group is engaged in CSR-based activities that are directed at contributing to society in a way that allows the group to give full expression to thecharacteristics and strengths of its main business of air transport. JAL employees
are engaged in volunteer activities that help them become aware that they are
all full members of society, and the company also collaborates on projects withcivil society. In ﬁscal 2005, the group was even more involved in such activities
than in the previous year.

Topics in Fiscal 2005
Wings of Love
Now in its 19th year, the Wings ofLove program invites children fromchildren’s homes across Japan for athree-day trip to Tokyo. The themeof the latest program was “Having Fun in Tokyo with Friends from
Faraway,” and the company hosted
19 children from six areas around
Japan. Altogether, 48 JAL Group

Within the PR department, the JAL Group created a Social Activities section dedicated full time to addressing CSR matters. In April 2003, we drew
up a set of Social Conduct Guidelines and Priority Fields of Activity. Group
employees have participated in various activities while realizing the full potential of the characteristics of JAL’s core business.

Social Conduct Guidelines•The JAL Group will fulﬁll its responsibilities as a corporate citizen as outlinedin the Code of Conduct. Through active participation in social activities by
every employee, JAL aims to become a group trusted by society and onethat people will positively choose to do business with.
• As an air-transport business with a network that unites the world, theJAL Group will use its unique characteristics to encourage greater humaninteraction and support cultural activities.
• As a corporate citizen, the group will support activities that help the
younger generation. We will also help those with ﬁnancial or physical difﬁculties and participate in activities that show respect for nature.
• The group will actively plan and participate in various social activities, including those at the local level.

Priority Fields of Activity
1 International exchange among young people
2 Education and social welfare of young people
3 Art and cultural activities
4 Environment-conservation activities

volunteers also came to Tokyo fromaround the country to lend theirsupport to the program.
Thanks to the cooperation of
the Mori Art Museum, the children
toured Roppongi Hills and enjoyed
the Paper Museum before going on
a tour of the maintenance facilities
at Haneda. The children and volunteers exchanged albums they had
made as mementos of the trip. JAL
aims to maintain year-round mutual-exchange programs with the local
outlets of facilities that cooperated
with this year’s Wings of Love.

Safety

Stakeholders

Environment

Global Citizens’ Month

Pink Ribbon Campaign

Following the participation of the JAL

JAL participates in the Pink Ribbon

Group in the UN Global Compact at

campaign, which serves to highlightbadges to Akebono Kai, the Breast

the end of 2004, the company has

the importance of early detection

Cancer Patients’ Network.

declared June of each year Global

and treatment of breast cancer. In

Citizens’ Month. The company hosted

October 2005, we initiated our Pink

the JAL Global Citizens’ Seminar 2005

Scarf Flights, which are designed

in our maintenance facility at Haneda

to inform customers about thisAirport, attracting 119 participants,

campaign: the cabin crew on threemainly parents with children who had

domestic ﬂights wore pink scarves,of ¥620,000 from the sale of 620

applied to attend from Tokyo’s Ota andand ground staff at the boarding

Shinagawa wards. The ﬁrst section

gates distributed Pink Ribbon badgesof the seminar was the Earth Lecture,and cards to passengers. At this time,

conducted by Toshifumi Sakata of

Pink Ribbon badges were also soldTokai University, which was followed

in-house, and from this the com-by a tour of the maintenance plant.

pany was able to make a donation

Pink Scarf Flights
With the start of Breast Cancer Month on October 1, the cabin crew on three ﬂights participated in the Pink Ribbon campaign by wearing
pink scarves and aprons. I did a little reading
beforehand about breast cancer so I’d be able toanswer passengers’ questions, and that made meaware of my own ignorance. I’d always assumed
breast cancer had nothing to do with me, but I
realized it was a much closer concern than I’dimagined. So I went for a checkup myself. Breast
cancer concerns women everywhere and can’t
be viewed simply as somebody else’s problem.
That’s a point I want to communicate to thosearound me, regardless of whether or not we’re in
the campaign period.

Sayaka Nagai
Cabin attendant31

32
Together with Society

Picture Books for Children

Support for Disaster Victims

The Send Picture Books to Laos andchildren in Laos and Cambodia andFollowing a request from Japan Plat-

Cambodia campaign began in 2003

learn the true meaning of volunteer

form — an umbrella organization

and was conducted four times in

activities. Participants paid part of thebringing together government, theﬁscal 2004, collecting 114 picture

participation costs to the Shanti Vol-business community and nongovern-books. In 2005, the campaign was

unteer Association, the balance being

mental organizations (NGOs) — theheld 10 times in seven locations

covered by the Volunteer J Fund (seeJAL Group set up a series of emergen-throughout Japan, resulting in 477

page 33).

cy ﬂights between Narita and Islam-

donated books. The campaign wasabad, ferrying free winter blankets to

conducted by the Shanti Volunteer

the victims of the Pakistan earthquake

Association.

of October 2005.

Pasting translated text into theBlankets from Hiroshima Prefecture

books gives participants the experi-collected by Japan Platform and thoseence of engaging in an activity pro-purchased with donations from JAL

moting international cooperation. JAL

Group companies were transported

employees were able to appreciate

to Islamabad. There, they were given

something about living conditions for

to Japanese NGOs for distribution toearthquake victims. JAL also contributed ¥1.15 million in donations. The

Books for Cambodia
I helped by cutting out the Khmertranslations and pasting them over theJapanese sections of the picture books
to be sent to Cambodian children. The
task itself was fun as it reminded meof school handicraft classes I had as achild. But I also learned how difﬁcult
it is to be a volunteer. What impressed

Kiyomi Otsuka
JALSKY Nagoya Co., Ltd.
General Affairs Division

me was the caring attitude of the NGO
members as they explained the spiritof the campaign. It occurred to me
that if I had the chance, I’d like to gomyself and hand over the books tothe children. But after seeing the way
the NGO members approached theirwork, I realized that this is not thekind of thing you just do on a whim.
Most of us are busy with our dayto-day work and don’t ﬁnd time tothink about others. It’s gratifying,
though, to consider that some people
out there are happier today because
we spent just a few hours working as
volunteers. Other JAL staffers I worked
with in these volunteer activities
seemed to feel the same way, and I’m
glad I was able to participate.

company forwarded donations to theJapan Red Cross Society in responseto an appeal from the Keidanren (amajor business organization) andcooperated with earthquake efforts
by expanding free shipping of reliefmaterials on ﬂights to New Delhi andtransporting humanitarian support
staff.
The JAL Group canvassed for
emergency donations throughout thegroup for the victims of Hurricane
Katrina and forwarded ¥1.5 million
through the Japan Red Cross Society.

Stakeholders

SafetyEnvironment

Shinagawa Terakoya Project

Volunteer Activities by JAL
Group Staff

Following a request from Shinagawa Ward,

The JAL Group maintains a volunteer organization
for staff called Volunteer J. The group has 348 registered staffers, and the Volunteer J Tsushin magazine
goes out to 769 group employees. Funds fromdonations and proceeds from charity bazaars andcharity concerts are forwarded to the Volunteer J
Fund and used to support staff volunteer activities
and cover participation costs.
The Volunteer J Emergency Support Fund makes
donations to humanitarian groups and purchases
aid material to be sent to disaster areas. The JAL
Group supports the activities of Volunteer J andmakes air tickets and company facilities available tostaff participating in social activities planned by theorganization.

the JAL Group extended its cooperation to the
Shinagawa Terakoya Project, which arranges forworking people to lecture at junior high schools
in the Shinagawa area, where JAL maintains
its headquarters. Six participants from the JAL
Group — ﬂight crew, cabin crew and mechanics— visited junior high schools in the area to talkabout working at JAL.
It is our hope that these
activities provide young
people with some ideas tohelp them consider theirown career plans andalso raise their awarenessof society.

Listening to Pilots

Eiichi Tsuchida
MD-90 captain

In September 2005, I visited Ito Junior High School in
Shinagawa Ward to talk about my job as a JAL pilot.
I received a number of written questions from thestudents beforehand, and my talk was an attempt toanswer those questions. One child asked me how I
felt being responsible for the lives of so many people.
I replied that I don’t really see that responsibility aspressure: if anything, that for me is the challenge ofthe job. I later received a letter saying how the talk had
inspired the students, and that really pleased me.
As a working adult, I enjoy talking to children
about my job. And if just one kid out there decides
he or she wants to be a pilot after hearing me, I’m delighted. Haneda Airport is close to Shinagawa Ward,so aircraft are seen up close by local students. It all
begins with a kid watching an aircraft overhead andthinking, “I’d like to ﬂy a plane like that!” Children
today enjoy computer games, but instead of looking
down at their screens, from time to time they ought
to try looking up at the sky.

33

34
Together with Society

Earthwatch

JAL Sky School in Hong
Kong

JAL Group Young Green
Squad

Earthwatch is an international NGO

The 22nd JAL Sky School was held

Every year, young employees fromengaged in volunteer-dispatch ac-

by JAL’s Hong Kong ofﬁce. In all, 144

the JAL Group engage in a variety oftivities and supporting ﬁeld research.

elementary school students went on

volunteer activities, learning how to

Earthwatch Japan is a nonproﬁt

a sightseeing ﬂight over Hong Kong.

plan and participate as volunteers inorganization (NPO) set up to handle

This program was run by TVB andthe process. In ﬁscal 2005, 47 em-

activities in Asia. Since 2005, JAL has

the Leisure and Cultural Department

ployees representing 40 group com-played a role as a corporate member,and was supported by Shell Hong

panies participated in the following

supporting the activities of Earth-

Kong and AFSC Refueling.

activities:

watch Japan by offering transport,• Visiting nursery schools and old people’s homes• Soba (buckwheat noodle)-making
classes, Japanese-language classes andvisits to Toshogu Shrine, Nikko, withinternational students• Supporting Japanese classes for nonJapanese children and taking them ona tour of Kamakura• Visiting children’s wards in hospitals

providing data to employees who
participate in projects and covering
participation costs. The company
has also hosted an in-house seminar,
introducing Earthwatch activities to
JAL employees.
In 2005, JAL Group employees
also participated in such ventures as

Former members of the JAL Groupthe Tanzawa Nature Project (see box,

Young Green Squad also participate

below) and protecting sea turtles inin activities aimed at environmental

the Amami Islands, southwest Japan.

protection of areas of natural beauty.

Tanzawa Nature Project
I participated in the Tanzawa Nature
Project in October 2005. We checked
what small animals had built nests
in the nesting boxes we had set up
the previous year. Six volunteers split
into two groups to look inside the
130 nesting boxes for signs of animal

Tanzawa Nature Project

life. Though the climbing was at times
a little difﬁcult, I was overjoyed when
our group found a baby ﬂying squirrel in one of the nesting boxes.
I think volunteer work is satisfying, especially if the activity coincides
with one’s own interests. Happily,that was the case on this occasion. A
thing that made a strong impression
on me was when one person at thebrieﬁng pointed out that anybody
who works a ﬁve-day week has over
100 days off a year: there are people
who would derive enormous beneﬁt
if we devoted some of those days tovolunteer activities.

Nami Usui
Access International Network,
Product Planning DivisionSafety

Stakeholders

Environment

Other Activities
Cooperation with UNICEF• Painting the UNICEF symbol on our aircraft• Collecting donations and selling UNICEF
cards onboard• Transporting coins collected for Change
for Good campaign• Informing passengers of UNICEF activities• Offering transport assistance during
UNICEF-related seminars• Helping with street donations for
UNICEF’s Hand-in-Hand with Children
campaign

Supporting the World Wildlife
Fund (WWF)music programs and cultural seminars, notably those by physically disabled artists.

The JAL Group organizes tours of its maintenance facility at Haneda Airport andholds aviation classes throughout Japan.

Cooperation with International
Aid Organizations
Local-Community Activities• With Santa Claus on the Airplane, cabincrew and maintenance personnel don
Santa outﬁts and bring gifts to children
and elderly people in the Narita area.

• Running advertisements in the JAL inﬂight magazine• Collecting in-house donations• Hosting seminars for board members• Educating our Narita staff about endangered ﬂora and fauna

KIDS Project
JAL offsets the participation costs of employees who volunteer to take part in the
KIDS Project (hosted by KIDS, an NPO) anddonates prizes. In this project, volunteers
spend time at Tokyo Disneyland with mentally and physically disabled children.

• Formed in 1995 by JAL Group staff at
Kansai Airport, Love-Wing is a volunteer
group, whose members visit children’s
homes and hold charity bazaars.
• Charity concerts by employee volunteer
group Ensemble J

Donations to Environmental
Activities• Wild Bird Society of Japan• Japan National Trust• Japan Society of Aerospace and Environmental Medicine

Collaboration Programs with JAL
Foundation
The JAL Foundation collaborates withscholarship programs and the Fulbright
Program as well as organizes lectures by
globally minded citizens.

Support of the Arts
The JAL Group supports art exhibitions,

Maintenance-Facility Tours andAviation Classes

Local-Community Sports
Among employees’ sports and culturalactivities supported by the group are JAL
Rabbits (women’s basketball) and JAL
Wings (rugby).

Marunouchi Citizens’ Environmental ForumThe JAL Group, Tokio Marine & Nichido
Fire Insurance and Mitsubishi Corporation
cosponsor this ecological forum.

• The JAL Group provided air tickets for
Chinese who raised Japanese war orphans
left behind in China so they could visit
those children who later returned to Japan• Transport for the Lee Su Hyon scholarship fund
• Providing air tickets to NGO staff attending training courses connected with theOfﬁce of the UN High Commissioner for
Refugees• Use of the JAL Building for the Japan
Association for Refugees for advanced
training courses and providing air tickets
for overseas seminars• Help with the World Food Programme
essay contest• Hosting in-house volunteer programs for
Caring for Young Refugees, an NPO• Amnesty International Japan conducteda lecture for Narita Airport staff, “Coexisting in a Multicultural Environment”;
JAL assisted with transport for speakers
at domestic seminars• Children Without Borders: JAL provides
air tickets for staff engaged in constructing schools in Cambodia• The symposium “Learn about Fair Trade”
was held in the JAL Building• Spoiled-Postcard Collection campaign:
the JAL Group contributed unusable
postcards with prepaid stamps to Shapla
Neer (Citizens’ Committee in Japan for
Overseas Support)• Citizens towards Overseas Disaster
Emergency (CODE) conducted a lecture
for Osaka Airport staff on reconstruction
support for victims of the October 2005
Pakistan earthquake• The JAL Group exempts wheelchairsfrom excess-baggage fees

35

36

Environmental Report
The JAL Group recognizes the environmental impact of the greenhouse gases it emits as an
air-transport organization. We are also aware of such problems as noise and atmospheric pollutants and are making efforts towards improvement.

An unpainted cargo aircraft, its lighter
airframe reducing CO2 emissions

Safety

Stakeholders

37

Environment

Minimizing Environmental Burden

Environmental Action Program
The JAL Group has established a Basic Environmental Policy
along with its Environmental Action Guidelines (both initiated October 2002). We have also created a set of priority
items and action plans related to environmental protection
while promoting environmental activities. The group has
adopted environment-management systems and environmental audits and supports worthy environmental efforts.
We promote environmental activities in such ways as establishing an environmental subcommittee, directors committee, project teams and environmental study groups — allorganized under the CSR committee.

Basic Environmental Policy

is an action plan that sets speciﬁc environmental goals forthe group to achieve by 2010:
1. Promotion of environmental management
2. Measures against global warming
3. Reduction of aircraft noise
4. Measures to reduce air pollution
5. Promotion of resource recycling
6. Management of chemicals
7. Environmental communication
8. Promotion of environmental education and awareness9. Promotion of social activities relating to the environment

ISO 14001 Accreditation(established October 2002)

In its capacity as a public transportation organization,
the JAL Group exerts an impact on the environment insuch ways as consuming fossil fuels and emitting noise.
We recognize that dealing with the environment is avital management issue, and our aim is one of symbiosis with the global environment while striving to reduce
the environmental burden in all our business activities.

The JAL Group is promoting efforts to acquire ISO 14001
accreditation, an International Organization for Standardization qualiﬁcation related to the quality of environmental
management systems, mainly in ﬁeld operations with relatively high environmental impact. By ﬁscal 2005, the company had acquired accreditation at the following sites.
Company/division
Narita Cargo Ofﬁce

Environmental Action Guidelines(established October 2002)

1 We will comply with environmental laws and regulations and engage in environment-protection activities.
2 We will promote the efﬁcient use of various energy
sources and resources.
3 We will promote waste reduction and proper waste
disposal and recycling.
4 We will select environment-friendly products and materials, including aircraft.
5 We will enhance environmental awareness and makesocial contributions.

Sky Eco [2010]
Following due reﬂection on the direct and indirect impactof our operations on the environment, the JAL Group implemented Sky Eco [2010] in October 2002. Sky Eco [2010]

Narita Maintenance
DivisionDock Maintenance
Department (Haneda)
Haneda Maintenance
Division
JAL Aviation
Technologies(Haneda and Narita)
JAL Engine
Technologies (Narita)
AGP
Hotel Nikko Tokyo at
OdaibaMain operations

Staff(approx.)Air-cargo and mail-transport operations

2,500

Line maintenance and inspections

1,530

Regular aircraft maintenance, replacement of engines and landing gear

160

Line maintenance and overhaul

1,400

Maintenance of landing gear, control
surfaces and electronic, hydraulic andpneumatic components

1,000

Aircraft engine maintenance

780

Aircraft power supply

600

Hotel management750

JAL is also promoting the introduction of Ecostage (an evaluation and support system for environmental management)
to company divisions and group companies that have relatively light impact on the environment. We have acquired
Ecostage 1 accreditation at JAL Simulator Engineering Co.,
Ltd. (120 staff) at Haneda Airport, at Japan TransOcean Air(250 staff), based in Naha, and at Nitto Aircraft Maintenance Co., Ltd. (220 staff), also at Haneda.

38

Fiscal 2005 Activity Report

Fiscal 2005 Environmental Accounting

Introducing New Equipment

JAL has been conducting environmental accounting sinceﬁscal 1999 as one tool for quantitative evaluation of ourenvironmental activities.

In ﬁscal 2005, the company decommissioned 17 older DC-10 and 747
aircraft and introduced 12 newaircraft, including 777s and 767s.
We also plan to retire more 747s and introduce 737-800s and777s in ﬁscal 2006, along with 787s (see photo, above) in ﬁscal 2008 to promote more efﬁcient fuel consumption.

1. Scope of Data Collection
Data for environmental accounting were collected fromdomestic operations by JAL and other JAL Group airline companies (Japan Asia Airways, JALways, Japan TransOcean Air,JAL EXPRESS, J-AIR, Ryukyu Air Commuter, Japan Air Commuter, Hokkaido Air System) along with the operating bases of
JALUX, JAL Logistics and AGP.

Team –6% Campaign
JAL is now taking part in the Team –6% Campaign, which is
promoted by the Ministry of the Environment and sets a reduction target of 6% below 1990 levels for Japan’s greenhousegases by 2012. Activities in ﬁscal 2005 were as follows:• Promoting the campaign on JAL’s timetables, inﬂight magazines, website and posters• Raising thermostat levels in summer, lowering them in winterand encouraging the use of appropriate clothing• Raising awareness of the campaign among JAL staff andtheir families

2. Main Environmental Impact
CO2

1,712

Aircraft emissions (1,696), electricity andthermal energy (converted), vehicle
emissions, etc.

NOx

10,630Aircraft emissions (10,454), groundpower, vehicle emissions, etc.

(10,000 metric tons)(metric tons)

Glossary
APU Auxiliary Power Unit. Power units mounted on the aircraft apartfrom the engine in order to supply air pressure, hydraulic pressureand electrical power to the aircraft.
GPU Ground Power Unit. Vehicle- or ground-based equipment mountedwith an alternator to provide an external supply of AC electrical
power or cooling and heating air to aircraft on the ground.
ATK Available Ton-Kilometer. An indicator of available trafﬁc volume,
being the combined total of available tonnage in each sector multiplied by the distance of the sector.

E-learning-Based Environmental Education
In line with Sky Eco [2010], JAL commenced an e-learning
course in October 2005 with the aim of providing all domestic
employees of the JAL Group with a basic environmental education in such areas as global warming, environmental pollution
and waste materials. This is a self-schooling program using inhouse PC networks and CD-ROM teaching materials.

Environmental Accounting Data Collection Results
Environment-protection costs
Category
Subcategory

Million yen; 2004 ﬁgures in parentheses

Cost
Investment Expenditure

Major activity

Economic beneﬁt
Real
Estimated

152
(–)

596
(661)

–
(–)

Global environ- Purchase and lease of fuel-efﬁcient aircraft andment protection engines; power control system, Haneda M1 Building

3,388
(507)

10,721(7,960)–(–)

Resources
recycling

Waste management and reduction; recycling
polyethylene packing sheets

–
(–)

1,291
(1,315)

Income12 (8)

Up- or downstream operations

Decreased use of polystyrene foam; recycling plasticbags to wrap inﬂight shopping goods

–
(–)

2
(1)

–
(–)

–
(–)

Management activities

Promoting environmental management system

–
(–)

398
(313)

–
(–)

–
(–)

Research and development

New tropospheric-observation project

–
(–)

349
(104)

–
(–)

–
(–)

Social activities

Hosting environmental seminar; contribution toenvironmental action group

–
(–)

17
(18)

–
(–)

–
(–)

–
(–)

–
(–)

–
(–)

–
(–)

3,540
(507)

13,374(10,372)

12
(8)

1,674
(19,371)

Pollution
control
Operation

Subsidence protection, Kiso and Haneda M3 buildings;
environment-friendly reconstruction, Haneda hangar

Environment damage
Total

Environment
beneﬁt–(–)

CO2 (10,000
metric tons)
reduction
Reduction
1,618 (19,366) through use ofGPUs instead of
APUs (estimate)
Reduction
16.0 (15.0)
56 (5)NOx (metrictons) reduction
through use ofGPUs instead of
APUs 416 (312)Stakeholders

SafetyEnvironment

Environmental Conservation
Reducing Aircraft Fuel Consumption

Global Warming
Air Transport and Global Warming
Aircraft engines use fossil fuels, and when burning, thesefuels generate carbon dioxide (CO2). This accounts for the
majority of greenhouse gases, which are believed to be
the cause of global warming. The amount of CO2 emitted
by commercial aircraft in Japan is estimated to be approximately 0.9% of total domestic CO2 emissions, and 2%–3%of worldwide totals.

The amount of CO2 emitted by aircraft is approximately proportional to the amount of fuel consumed. The JAL Group istargeting fuel-consumption cuts of 20% per transported ton
by 2010 compared with 1990 levels. In line with this, we aremaking various efforts towards reducing fuel consumption,such as the following measures:
Division
Companywide

Improved cruise-performance monitoring system adopted
in all aircraft in ﬁscal 1994

CO2 Emissions for Japan (ﬁscal 2003)
SectorTransport

Waste materials Energy
conversion
1.9%
6.8%
Construction

3.8%

Households

13.5%

15.5

Taxis 1.8%
Buses 1.8%

Manufacturing

37.9%

Railroads 3.0%
Airlines 4.3%

Parcel-delivery
trucks16.3%

Business andothers%Shipping 5.4%

Transport

20.7%

Total emissions
1,259.4 million metric tons

Measures
Phasing in fuel-efﬁcient aircraft, decommissioning older
aircraftSelection of optimal ﬂight altitude, speed, route
Auto-landing under low-visibility conditions
Selection of shorter domestic routes, using area
Flightnavigation
operations
Operation of Communications, Navigation, Surveillance/
Air Trafﬁc Management (CNS/ATM)

Privateautos

Optimizing aircraft center of gravity to reduce wind dragUse of ﬂight simulators in ﬂight-crew training and testing

49.4%

GPU use with aircraft parked at airports

Other trucks

Reducing volume and weight of cabin-service goods

18.0%

Total emissions
260.2 million metric tons

Other
divisions

Source: National Institute for Environmental Studies

Local purchase of cabin-service goods and cargo ﬁttings
Efﬁcient engine testing in aircraft maintenance
Determining optimum fuel load in ﬂight planning
Direct inbound cargo ﬂights from Europe using 747-400Fs

Global Environmental Working GroupOne of the important features of this working group is to promoteawareness activities by hosting monthly meetings. In those meetings, we discuss ideas to reduce CO2 emissions that can be effectedby the pilot. For example, when the aircraft is on the ground, theAPU provides air-conditioning and electricity, but we can reduce
CO2 emissions by cutting the usage time. We can also reduce CO2
emissions by altering altitude and speed during the ﬂight. Of
course, ensuring safety is our top priority, and passenger comfort
is also important, so it is not always possible to give precedence
to CO2 reduction. The working group provides ideas to meet particular conditions that occur during ﬂight so that crews can maketheir ﬂights more eco-friendly, while taking into account such factors as weather, punctuality and passenger comfort.

Hideki Kudo
747-400 captain, Global Environmental
Working Group leader

39

40

Domestic JAL Energy Saving

Aircraft CO2 Emissions
Classiﬁcation

Aircraft type

Fiscal 2005 performance

747

Large
aircraft

747-400
777

A300
Medium-sized
A300-600
aircraft
767-300
MD-81

Smaller
aircraftMD-90
010,00020,00030,00040,000

The annual consumption of electricity, thermal energy andwater in the domestic operational bases of JAL for the last
ﬁve years is shown in the following charts. Total consumption at domestic ofﬁces in ﬁscal 2005 was as follows:
Electricity: 222 million kWh (2.4% decrease from previous year)
Thermal energy (converted into crude oil):
16,809 kiloliters (4.9% decrease from previous year)
Total electricity and thermal energy:
2.83 billion MJ (3.0% decrease from previous year)
Water: 705,000 cubic meters (1.5% increase from previous year)

CO2 emissions per hour of ﬂight (kg/hour)

Electricity Consumption

Changes in Aircraft CO2 Emissions
The graph below shows changes in estimated emissions per
available ton-kilometer (ATK) emitted by commercial operation of JAL Group aircraft. The total CO2 emissions in ﬁscal
2005 were 16,875,000 metric tons, down 0.8% from theprevious ﬁscal year.

Million kWh
250

223
200

24

245
45

28

28

82

85

220

227

222

27

39

34

28

29

31

85

88

88

Total

150
Other airports

100
JAL buildingsin Tokyo

CO2 Emissions per ATK
Fuel consumption

ATK

881

0

850

86

2001

2002

79

71

69

2003

2004

2005

Narita Airport
Haneda Airport

20

800

15

784

750

10

705

700

Thermal Energy Consumption
Converted into crude oil (kiloliters)
25,0005

20,000650

8825ATK (billion ton-km)
Fuel (billion liters)

CO2 emissions (g CO2/ton-km)

900

50

CO2 emissions per ATK

1990

91

92

93

94

95

96

97

98

99

2000 01

02

03

04

05

2010

0

NB: For aircraft operated by JAL, Japan Asia Airways (JAA), JALways,
Japan TransOcean Air (JTA), JAL EXPRESS (JEX), J-AIR, Ryukyu Air
Commuter (RAC), Japan Air Commuter (JAC) and Hokkaido Air
System (HAC)
ATK is calculated by using the great-circle distance.

CO2 Emissions Per ATK for Freighters
Aircraft
747F, 747-400F

Fiscal 2003
550

Fiscal 2004
537

g CO2 /ton-km

Fiscal 2005
520

ATK Percentage of Five Low-CO2 -Emission Aircraft

We aim to increase the
ATK percentage of these ﬁve
low-CO2-emission aircraft.

922
1,257

15,000
9,710

9,739

18,985
821
1,184
9,179

5,000

0

16,809
1,124
1,049

9,074

8,039

8,281

7,801

2001

2002

2003

7,022

6,419

2004

2005

Thousand cubic meters
1,000

854

2%

6%

777

15%
767-300 10%

Narita Airport
Haneda Airport

63

Total

840
56
103

798
66

695

705

57
91

92

356

334

224

191

206

2003

2004

2005

85

418

74

413

Other airports

424

400

MD-90
A300-600

Other airports

Water Consumption

747-400

33%

396
1,190

JAL buildingsin Tokyo

600

34%

17,682

8,217

118

Other aircraft
types

1,895
1,148

10,000800

Fiscal 2005 performance: 65.6%
Fiscal 2010 target: >75.0%

19,928

Total

21,064

200

0

254

268

2001

2002

JAL buildingsin Tokyo
Narita Airport
Haneda Airport

Safety

Industrial waste in the Kanto area (Tokyo and environs) accounts for the great majority of waste produced by JAL.
Changes in waste amounts and ﬁnal disposal percentages
are shown in the charts below.

Industrial Waste in the Kanto Area
4,828
4,277
4,000

3,000

2,000

846
457
461

4,167

452

659

495

351

528

400

696

625

547

2,103

3,866

363

636

610

368

743

472

1,504

2002

2003

580

Waste alkali

736

Metal and cans

Sludge

1,074
2004

2005

Industrial-Waste Final Disposal Percentages in
the Kanto Area
Final disposal (%)
15.0

12.3
10.0

8.5

5.0

0

2001

2002

3.2

3.0

2003

2004

2.5

1.0

2005

2010

targetGeneral ofﬁce waste produced by JAL in ﬁscal 2005 for the
Kanto area amounted to 5,423 metric tons, of which 3,328
tons was disposed. The amount of disposed to total waste
was reduced 46.5% compared with the 2001 ﬁgure.
For the past ﬁve years, JAL has not had to report signiﬁcant violations of laws relating to waste materials. We
incinerate the leftover food from our inﬂight meal services

Recycling Performance at Airports
Recycled goods
Aluminum drink canson international ﬂights
Inﬂight newspapers

Polyethylene packing
sheetsWater recycled frommaintenance facilities

As part of its domestic refreshment service, JAL originally
distributed milk and sugar as a single set. Since July 2005,
we have been providing them separately to accommodate
passengers who wish only one or the other but dislike thethought of the waste that this involves.

Recycling Inﬂight Magazines

Waste oil

Waste plastic

2001

Milk and Sugar on Domestic Flights

Others

2,092

1,233
0

475
317

628

733
1,000

Total

4,600

553

Environment

on international ﬂights arriving in Japan within the period
stipulated by plant-quarantine regulations.

Waste Reduction and Recycling

Metric tons
5,000

Stakeholders

JAL has been involved for some time in recycling thepaper from its ofﬁces, aiming to help create a recyclingoriented society that does not waste precious materials.
Since April 2005, the company has recycled leftover copies of its inﬂight magazines, Skyward and JEN Guide. We
have also achieved major cost reductions by manufacturing a container for use when this paper piles up andrationalizing transportation methods. Before recycling
the magazines, we used to incinerate them, but now wedeliver 15 to 20 tons a month to a recycled-paper company for reuse as magazine paper and cardboard. We
also aim to increase these efforts and to expand ourrecycling of newspapers as well.

Metric tons

Fiscal 2003 Fiscal 2004 Fiscal 2005

Narita

27.8

35.0

36.6

Kansai

20.9

23.8

20.9

Narita

11.8

55.1

21.2

Haneda

—

21.5

38.9

Narita

1,201

1,151

1,163

Kansai

360

264

265

Nagoya

—

—

1,290

Naritaabout 54,000/year

Hanedaabout 114,000/year

Naoki Kato (left)
Facility Maintenance Services Dept., JALUXTakayuki Yokoyama (right)
Maintenance Service Department, Airport Ground
Service Co., Ltd.

41

42

Noise-Reduction Measures
Airlines from member countries of the International Civil
Aviation Organization (ICAO), which includes Japan, operate their aircraft in accordance with ICAO aircraft-noise
standards. The Japanese Civil Aeronautics Law has also established noise standards, and all aircraft are inspected forcompliance with these standards as part of their airworthiness certiﬁcation on delivery.

Air and Water Pollution
Aircraft-Engine-Emission Regulations
Aircraft engines emit several air pollutants, such as carbon
monoxide (CO), sulfur oxides (SOx), hydrocarbons (HC) andnitrogen oxides (NOx). ICAO regulates four substances —HC, CO, NOx and smoke and soot emitted from aircraft
engines — through its Emission Certiﬁcation System andFuel Emission Certiﬁcation System. In Japan, the Civil Aeronautics Law establishes engine-emission standards. In phasing in new types of aircraft, the JAL Group promotes theselection of low-emission aircraft engines that comply withthese standards.

Conservation Activities in Cargo
Operations
In 1992, JAL began operating cargo aircraft with unpainted exteriors. This saves approximately 150 kg of paint witheach aircraft and dispenses with the need for paint remover in periodic repainting. The lighter aircraft consumes
less fuel and emits less CO2. Since November 2005, wehave deployed 747-400Fs and have thus been able to operate direct ﬂights on some inbound routes from Europe,
avoiding the need for a stopover in Anchorage. In thisway, we havebeen able toprovide a faster
service. Starting
this ﬁscal year,
all cargo ﬂightsfrom Europe are
direct ﬂights.

Anti-ice and De-icing Fluid
The amount of anti-ice and de-icing ﬂuid (principal ingredient, propylene glycol) used to free aircraft of snow and ice
in winter varies with the climate and amount of snow. JAL
is engaged in reduction efforts by modifying the spraying
device employed.

Managing Chemical Usage
The JAL Group utilizes over 2,400 chemicals in aircraftmaterials, paints and hydraulic oil. We have created a database of the chemicals used and keep track of this data
via material-safety data-sheet (MSDS) management andour intranet. The group is striving to shift to alternative,
environment-friendly products. In ﬁscal 2005, the groupas a whole reduced the use of substances regulated by the
Pollutant Release and Transfer Register (PRTR) law by 34%
and their emission into the environment by 35%, compared with ﬁscal 2001 levels. Over the past ﬁve years, thegroup generated no health hazards; no complaints weremade and there were no accidents related to chemicals.

Green Procurement
JAL has expanded the scope of its eco-friendly purchasing of stationery and ofﬁce supplies. The company set apurchase target ratio of 50% for such materials for ﬁscal
2005 and achieved 45.9%. The company will continue topromote green procurement.
Glossary
MSDS Material-Safety Data-Sheet. A ﬁxed-format document listing thenames, harmful effects and cautionary notes on the handling ofchemical substances.
PRTR Pollutant Release and Transfer Register. A law to promote
improved management of speciﬁed chemical substances emitted
into the environment.

Stakeholders

SafetyEnvironment

Environmental Social Activities
Tropospheric Observation
As part of studies into the mechanisms behind global
warming, JAL and the JAL Foundation set up a joint projectin 1993 with the Meteorological Research Institute, supported by the Ministry of Land, Infrastructure and Transport. The concentration of greenhouse gases is periodicallyobserved in the atmosphere using automatic samplers installed on our aircraft on regular routes between Australia
and Japan. Conducting observations twice a month, thecompany had made 278 observations by the end of 2005.
Observation route and points

Changes in CO2 concentration in theupper atmosphere over timeence and Technology. With the introduction of CME, it has
become possible to gather data on CO2 concentrations on
various JAL routes around the globe. CME will have been
installed on ﬁve JAL Group aircraft by the end of 2006.

Atmospheric Measuring
Previous

Current

JAL; JAL Foun- JAL; JAL Foundation; JAMCO Corp.;
dation; MRIJMA JAXA; MRIJMA; National Institute
Organization
for Environmental Studies; Tohoku
University
MethodSubstances
measured

Flask sampling(12 points)
2 aircraft

Flask sampling (12 points)
2 aircraft
Automatic measurement CO2
5 JAL, 1 JAXA aircraft

CO2; CH4; CO

CO2 (sampling and continuous data);
CH4; CO; N2O; H2; SF6; carbon in CO2,
stability of oxygen isotopic ratios, etc.

MRIJMA, Meteorological Research Institute, Japan Meteorological Agency
JAXA, Japan Aerospace Exploration Agency

Siberian Forest-Fire Reporting

New Tropospheric ProjectJAL commenced a new tropospheric-observation projectin November 2005, expanding both the area under observation and the data collected. The company developed
continuous CO2-measuring equipment (CME) as a cooperative project between industry and academia, using special
coordination funds for promoting science and technology
allocated by the Ministry of Education, Culture, Sports, Sci-

The Siberian taiga is the world’s largest forest, but it isreleasing CO2 owing to the outbreak of numerous forest ﬁres, thereby exacerbating the problem of global
warming. To help tackle this, we at Hokkaido University
are intensifying efforts to develop a satellite-based earlywarning system for ﬁres in the taiga. Such systems have,
however, produced false identiﬁcation of ﬁres and been
impaired by weather conditions. JAL’s European ﬂights
pass over Siberia every day, and we’ve gained the cooperation of JAL pilots in forwarding ﬁre-detection information during June and July, when ﬁres are frequent.
Summer 2005 marked the third year of this cooperative
endeavor and had relatively few ﬁres, but thanks to JAL
we still picked up reports of 30 ﬁreoutbreaks. Cross-checking this information with satellite data allows
us to improve detection capabilities.

Masami Fukuda
Professor, Institute of Low Temperature
Science, Hokkaido University

43

44

Corporate Governance
Company Organization
1 To integrate the management of Japan Airlines Corporation,
as a holding company, and that of our operating companies,
all board members of the holding company and operatingcompanies shall double as board members of both the holding company and of the operating company for which they
are responsible. We also aim to integrate our operating companies by creating a single company out of Japan Airlines
International Co., Ltd., which is responsible for international
passenger and cargo operations, and Japan Airlines Domestic Co., Ltd., which is responsible for domestic passenger
operations, in October 2006.

2 Japan Airlines Corporation adopts an executive management
system in order to expedite decision making. As of June 28,
2006, Japan Airlines Corporation has 18 directors (including three external directors) and six executive ofﬁcers. The
directors and executive ofﬁcers serve a one-year term, whichenables the company to clarify executive responsibilities foreach speciﬁc year.

3 We employ the corporate auditor system. JAL has a boardof ﬁve corporate auditors, three of whom are external auditors. We have also created an Ofﬁce of Corporate Auditors
and allocated full-time employees (corporate auditing bureau staff) to assist the auditors in the execution of their duties. To ensure the independence of the Ofﬁce of Corporate
Auditors staff from company directors, said staff shallreceive operational directives and orders from the corporate
auditors. Personnel matters relating to the bureau shall be
carried out with the agreement of the corporate auditors.

4 We have instituted an Executive Compensation Advisory
Committee with the group CEO, external directors and external auditors as members. This board reports on matterspertaining to executive compensation to the Board of Directors. JAL discloses the separate total amounts of compensation for internal and external directors in the ﬁnancial
statement.

5 For our major subsidiaries and afﬁliates, we have adopted
a system whereby operating companies manage their own
operations according to guidelines established by the holding company. Through this, we aim to clarify the allocationof responsibility, facilitate the smooth execution of management operations and enhance the corporate governance ofthe overall group.

6 Working closely with our legal counsel and by contractingwith outside attorneys, we are working to strengthen ourmanagement of legal risks.

7 To promote our emphasis on results for each ﬁscal year, we
discontinued retirement bonuses for board members as ofﬁscal 2004.

Internal Control Systems
Basic Philosophy
To ensure safety, which is the very foundation of our operations, the JAL Group does not stop at merely fulﬁlling its economic responsibility of making appropriate proﬁts by providing
viable products through fair competition, but aims to become
an organization that fulﬁlls its responsibilities as a fully ﬂedged
member of society.
With this aim, JAL has established a Basic Policy on Internal
Control Systems, in line with article 362, section 5 and section
4, part 6 of the Company Law, and article 100, sections 1 and
3 of the enforcement regulations of the Company Law inorder to ensure the validity and effectiveness of operations,the authenticity of ﬁnancial reports and compliance withrelated laws and regulations.
JAL aims to minimize risk by identifying potential events
that may impact on operations, while maintaining and raising
corporate value and achieving operational targets.

Compliance

Compliance at the JAL GroupTo establish a common concept of compliance, the JAL Group
has set the deﬁnition and content of compliance as described
below. We strive to disseminate this repeatedly through various educational and awareness activities, such as issuing messages. Compliance does not end simply with observing laws
and regulations. It also means conforming to in-house manuals and procedures, common sense in the social environment,
agreements or sets of rules (including contracts) and even matters that individuals decide for themselves.

Compliance Promotion Structure
We promote compliance through the Corporate Complianceand Business Risk Management Committee. This committee is
responsible for planning and promoting philosophy and policies on issues that require coherence and unity in the group45

General Shareholders’ Meeting

JAL Group Internal Control Systems

Board of Corporate
Auditors
Ofﬁce of Corporate
Auditors

Board of Directors

AuditsAudits (audits bycorporate auditors)

Compliance & Risk
Management Audits(internal audits)

President & CEO

Corporate Compliance and Business
Risk Management Committee
Business Risk
Prevention
Task Force

Information
Security
Task ForceBusiness Risk

Safety Enhancement Task Force

Operation Risk
Committee

Flight Safety
Committee

Operation Risk

Head Ofﬁce, Branch Ofﬁces and Group Companies

strategy. It also monitors the status of activities at each company in the group at the same time as implementing various
measures related to compliance.

Major Activities Undertaken in Fiscal 2005
1. Educational Activities• JAL implemented collective education in various ways, including training newly promoted management staff, businessleader management training, management training for
non-Japanese staff, training for overseas assignments, newly
hired staff-education leader training, training for newly hired
staff.
• The company implemented an e-learning-based Introduction
to Compliance course for approximately 60,000 employees indomestic group companies as well as for external contractors.

2. Compliance Network Activities
The company set up the JAL Group Compliance Network, an
information network with the objective of compliance information sharing, raising awareness and establishing and reinforcing compliance-promotion structures. About 100 domestic
group companies have signed up so far. The main activities
include the following:• Publishing a Japanese internal communication magazine,
Mamoru-kun, to provide employees throughout the company
with a variety of information and educational materials• Overall support of group company efforts to establish systems and enforcement measures• Fielding questions and responding with advice to requests fordiscussions from group companies• Conducting education programs and providing training materials for group companies

3. JAL Group Compliance MonthTo promote compliance activities and adherence to the Group
Code of Conduct, the company designates a JAL Group Compliance Month as a group-wide undertaking each year. In
October 2005, the company implemented a series of activities
targeting employees across the entire group. These included
self-evaluation check sheets, along with compliance-awarenesssurveys for each division, while also inviting visiting lecturers
to conduct seminars and hosting compliance meetings at eachbranch ofﬁce (operational division).

4. Law for Protection of Informants in the Public Interest
The JAL Group had already instituted a complianceconsultation and counseling center ahead of the April 2006
enforcement of the Whistleblower Protection Act and has now
expanded the functions of this center and repositioned it as anintegrated consultation center for the entire group. We havealso established Group Hotline Regulations, clarifying operations and systems related to consultations and publicized thisdevelopment throughout the group.

46

Corporate GovernanceRisk Management
1 We have established two organizations to manage risk:
the Safety Enhancement Task Force and the Corporate
Compliance and Business Risk Management Committee.

2 Given our special corporate characteristics as an airline company, we divide risk into two broad categories: risk fromengaging in the air-transport business (operation risk) andrisk from other business operations (business risk). We assign
risk-management roles to the various committees accordingly. Operation risk is the risk related to our 3S program,namely, Safety, Security and Sanitation.
Safety Enhancement Task Force• Establish safety philosophy and policies• Plan company-wide ﬂight safety• Address operation risk
Corporate Compliance and Business Risk Management
Committee• Establish general risk-management philosophy and policies• Address business risk
Gathering information and reporting pathways for risk management are set up separately for normal and emergency
situations. JAL has established precautionary measures aswell as a structure for rapid reporting when such problems
occur. Separately, the company has also prescribed the responsibilities of board members when dealing with such
emergencies.

3 The company has set up an Operation Risk Committee and a
Flight Safety Committee as subordinate bodies to the Safety
Enhancement Task Force. We have also established a Business Risk Prevention Task Force and an Information Security
Task Force as support organizations for the secretariat of the
Corporate Compliance and Business Risk Management
Committee.

Information Security and Protection of Personal Data
In the JAL Group Code of Conduct, the company has laid
down basic principles concerning the handling of data, including client data. As we develop our in-house systems for dealing with data protection, we approach this whole issue as oneof the priority tasks of the entire group. In light of the enforcement of the Act on the Protection of Personal Information in
April 2005, JAL has been reexamining the management statusof the data it holds, and we are making efforts towards thorough implementation of data management. To that end, thecompany has taken the following steps.

1 JAL Group Basic Policy for Information Security andPersonal-Information Protection
In September 2004, JAL established common basic group
policies. Group companies are working to develop their own
frameworks based on this initiative.

2 Information Security Regulations and PersonalInformation Protection Regulations
In December 2004, JAL developed a set of in-house rules referring to the requirements set down by law and the guidelines issued by relevant government ministries. We have fully
implemented personal-information protection at the operational level by including these operational procedures.

3 Standards for Information Security Measures
From 2004 to 2005, the JAL Group performed risk analysisof the data in its possession, establishing appropriate security standards in compliance with ISO 17799. In ﬁscal 2005,
JAL systematized these standards, clarifying areas of authority and responsibility with regard to the owner divisions incharge of the data and user divisions that utilize the data.
In this way, we were able to facilitate the implementation ofthese standards at the operational level.

4 Employee Education and Development
Since 2004, the JAL Group has been implementing
e-learning-based education once a month for all group employees. The CEO also issues messages, while JAL preparesand distributes Information Security Action Handbooks anddisplays educational posters throughout the company.

5 IT System Responses
On an as-needed basis, JAL implements ongoing measures toensure in-house systems are protected from a variety of threatsin the face of changes in the IT environment.

6 Result of Investigations into Information Management
Since 2004, JAL has instituted a self-check framework at eachdivision after investigating what, how much and where important data was being managed. We decided to establish asystem to conﬁrm periodically whether this framework complies with the Standards for Information Security Measures.

Leaking of Client Information
In April 2005, JAL was responsible for two separate incidents that led to the leaking of client data. These involved
the loss of merchant copies of credit-card receipts forinﬂight purchases and the loss of air tickets following
the completion of boarding procedures. The JAL Group
profoundly regrets the incidents and is devoting itself toensuring there is no reoccurrence.

47

AuditsEach year, the corporate auditors attend important meetings
with the JAL Board of Directors. In addition, along with staffof the Bureau of Corporate Auditors, they visit each of the approximately 100 corporation departments, operational branchofﬁces and group companies and conduct audits, reporting
the results to the CEO. In addition to engaging in informationexchanges with internal-control divisions and auditing companies, the corporate auditors also hold meetings with fulltime auditors at JAL subsidiaries for information exchange andstrengthening and expanding auditing efforts.
As well as newly appointing two executive ofﬁcers for auditing operations to assist the corporate auditors at our operating company, Japan Airlines International Co., Ltd., we havealso appointed ﬁve group auditors to audit subsidiaries that
contract operations from Japan Airlines International. Eachgroup auditor is responsible for operations at three to seven of
the 26 group companies handling reservations and ticket issuance, airport, cargo and maintenance operations.
To strengthen and check internal-control functions, thecompany implements the following internal audits in addition
to audits by the corporate auditors:

1 Operational Audits — Departmental. We audit general
operations at the department and ofﬁce levels, focusing on
their overall area of operations.

2 Operational Audits — Speciﬁed Areas. We select a
subject area and audit across companies and organizations
with respect to policies, institutions and operations of thetwo main operating companies and other group companies.

3 Accounting Audits. We conduct audits at the divisional
unit (each operational base) to ensure that procedures forcomplying with accounting regulations and standards arebeing followed.

4 Group Audits. We audit each group company to promotebusiness operations based on group management policies
and the operational mission given to each company. This isalso performed to improve each company’s internal controls,
compliance and risk-management functions.

5 Environmental Audits. We audit the entire group withthe objective of promoting business operations based oncompliance with environmental laws and ordinances in addition to group policies, rules and regulations related to environmental issues.

Participation in the UN Global Compact
The Global Compact proposed by the UN calls for businesses around the world to implement 10 principles in theareas of human rights, labor, the environment and anticorruption. The JAL Group has participated in the Global
Compact since 2004 and submits CSR reports to the UN
Global Compact Ofﬁce as an update on the results of implementing the 10 principles.

Ten Principles of the Global Compact
Human Rights
1 Businesses should support and respect the protection ofinternationally proclaimed human rights; and2 make sure that they are not complicit in human-rights
abuses.

Labor Standards
3 Businesses should uphold the freedom of association andthe effective recognition of the right to collective bargaining;

4 the elimination of all forms of forced and compulsory labor;
5 the effective abolition of child labor; and6 the elimination of discrimination in respect of employment
and occupation.

Environment
7 Businesses should support a precautionary approach to environmental challenges;

8 undertake initiatives to promote greater environmental responsibility; and9 encourage the development and diffusion of environmentally friendly technologies.

Anti-corruption
10 Businesses should work against all
forms of corruption, including extortionand bribery.

The JAL Group is chosen by 60 million customers eachyear. We aim to exploit our strength in maintaining
contact with all these customers to make a distinctive
contribution to Global Compact initiatives.
President & CEO
Haruka Nishimatsu

48

Third-Party Opinion
This report presents the JAL promotional systems that support thecompany’s safety, environmental and social activities, along withthe views of its employees in a multifaceted, comprehensive manner. It is a report that represents the proactive stance and practicesof the company towards CSR.

3. Regarding the employment of the physically disabled, I would
like to see JAL learn from the example of other companies thathave made pioneering efforts in this area. JAL needs to diversify
job and employment classiﬁcations so as rapidly to attain legally
stipulated levels.

Commendable Points

4. Regarding ﬂight-operation procedures, JAL should adopt suchmeasures as promoting fuel efﬁciency and reward efforts made inthis area.

1. Regarding safety, JAL does not restrict itself to in-house activities, but has established the Safety Advisory Group and Safety
Promotion Center to develop a system that incorporates external
opinions and ideas. JAL also lists the safety incidents for which it
was responsible in ﬁscal 2005 and reports the temporary countermeasures it introduced as a result. The report details the measures
aimed at preventing reoccurrence of such incidents.
2. JAL actively promotes staff education and training in universal
design, aiming to provide services that accommodate all users.
3. The company prepares inﬂight meals free of nuts for passengers
with peanut allergies, and in some cases even operates ﬂights inwhich peanut products are removed from all snacks and meals.
4. It is encouraging to see that many employees return to work
after taking maternity leave and leave of absence to care for relatives. This is indicative of effective staff-support systems.
5. The company raises funds for disaster victims and provides
emergency transport to disaster areas. I would hope that provisions be made for staff to participate in rescue and relief efforts
on a par with those of JAL’s competitors.
6. JAL set the ecological action program Sky Eco [2010] as part ofits medium- to long-term plans and is following this based on annual priority items.

Room for Improvement
1. JAL needs to set annual targets at each of its work sites so as toachieve thorough implementation of safety efforts. This will demonstrate the motivation towards safety and highlight the resultsof its efforts. In addition, it will show quantitatively who is doing
what, which will in turn lead to a sense of security and a recovery
in trust.
2. JAL has to present concrete results that can be properly analyzed with respect to the causes and background of accidents. If
motivation or knowledge is found to be lacking, such areas can beaddressed by education and training. But I assume that the needexists to raise the level of skills or improve systems and facilities.
JAL should not become preoccupied with abstract arguments. It isessential that the company position quality as the foundation of its
management. At the same time, JAL needs to have a quantitative
grasp of just what is lacking. For it to achieve this, the company
should consider adopting an employee-evaluation system, rewarding proactive and spontaneous action while penalizing negative
responses and the failure to act.

5. JAL should actively call on users to cooperate with efforts to
reduce the burden on the environment, such as with energy andwaste materials. User cooperation is essential for the future of
ecological activities. It is important that JAL offer concrete proposals in this area, stating in its inﬂight magazine and on its websitethat in order for the company to be ecologically sound it needs
the cooperation of its customers in speciﬁed ways.
Hideto “DeDe” Kawakita, representative,
International Institute for Human, Organization and the Earth (IIHOE)IIHOE was established in 1994 with the objective of promoting progress that is harmonious with all life on the planet. It supports NPOs andcompany management that is oriented towards social responsibility.

Hideto “DeDe” Kawakita
After graduating from university in 1987, Mr. Kawakita
joined Recruit, which he left in 1991, serving as representative of an NGO promoting international youth exchanges and as political secretary of a Japanese memberof parliament before founding IIHOE in 1994.

Reaction to the Third-Party Opinion in the 2005
CSR report
Here are some of the actions that JAL has undertaken in response to
the third-party opinion by Ms. One Akiyama in JAL’s 2005 CSR report.
Proposal 1
Disseminate CSR information to group employees.
We distribute the CSR report among group companies, making efforts to familiarize staff with its contents and disseminate information about our CSR. We also display CSR content on the JAL intranet
and company homepage. We present the CSR report and CSRrelated comments in JAL in-house PR magazines. However, weare conscious that this information has not penetrated sufﬁciently
throughout the group. We realize that further efforts are necessary
and are aware, too, that we need to come up with new ideas.
Proposal 2
The corporate policy has to be expressed so that it is easy tounderstand, practiced responsibly, evaluated with integrity
to stakeholders and reviewed and updated.
We have followed up with a presentation in this year’s reportabout our activities relating to ensuring ﬂight safety, which was
our top priority in ﬁscal 2005. The JAL Group is making a unitedeffort to achieve the aim of establishing ﬂight safety. We will makeadditional efforts in the above areas.

49

Operating Results and Trafﬁc Statistics
Operating Revenue & Expense

Employees

Operating, Current, Net Income (Loss)

Hundred million yen

Hundred million yen

25,00060,000900
600

20,00040,000300

15,0000
10,0000

20,000

-300

5,000

-600
2003

2004

-900

2005

2003

2003

2004

2005

Income (loss)

Operating revenue 19,317

21,29921,994

Operating expense 19,994 20,737 22,262

2004

0

2005

Operating

2003
–676

2004
561

2005
–268

Current

–719

698

–416

Net

–886

301

–472

2003

No. employees

2004

2005

2003

2004

2005

54,05353,96253,010International Trafﬁc Statistics
Passengers

Cargo Load Factor

Passenger Load Factor

1,000 passengers%%

15,00010,000120,000

75

20,00075

100,000

70

15,00070

80,00065

10,00065

60,000

60

5,000

60

55

0

5,000

0

2003

2004
2003

No. revenue
passengers

11,74540,0002005
2004
14,743

2003

RTK

2003
10,032

2004
11,253

2005
10,955

97,175

ATK

15,481

16,614

16,415

69.4

RWLF

64.8

67.7

66.7

RPK

2003
59,1602004
68,986

2005
67,435

ASK

91,64599,492

RPLF

64.6

69.3

2005
14,188

2005

2005

2003

55

2004

2004

Domestic Trafﬁc Statistics
Cargo Load Factor

Passenger Load Factor

Passengers
1,000 passengers

50,00040,00030,000%%60,000

70

8,000

55

50,000

65

6,000

50

40,000

60

4,000

45

30,000

55

2,000

40

50

0

20,00010,000
0

2003

2004
2003

No. revenue
passengers

46,42720,0002005
2004
44,70543,849

RPK, revenue passenger kilometers (million passenger-km)
RTK, revenue ton kilometers (million ton-km)

2005

RTK

2003
3,050

2004
2,974

2005
2,939

51,416

ATK

6,384

6,157

6,035

64.0

RWLF

47.8

48.3

48.7

2005

RPK

2003
34,628

2004
33,3682005
32,911

ASK

54,20652,410

RPLF

63.9

63.7

ASK, available seat kilometers (million seat-km)
ATK, available ton kilometers (million ton-km)

2003

35

2004

2004

2005

2003

RPLF, revenue passenger-load factor (%)
RWLF, revenue weight-load factor (%)