Material issues
Materiality item(category)Materiality item(subcategory)

Topic● Reducing CO2 emissions

Switching warehouse lighting to LED

Environment

ELessening
environmental
impactCreating attractive
workplaceenvironments inwhich diverse
human resources
can thrive

Renewable power generation (Installation of solar
panels at controlled-temperature warehouses)
Switching from diesel- to battery-powered forklifts
Use of electricity from renewableenergy sources

KPI(s)
Emissions reduction rate
Percentage of Company warehouses transitionedto LED lighting
Percentage of Company controlled-temperature
warehouses equipped with solar panels
Percentage of sub-4t forklifts converted to battery power
Electricity from renewable energy sources as apercentage of all power used

46% reductions (vs. FY2013; reduction volume :45,575t-CO2)

2.4% reduction (end of FY2024)

100% (end of FY2030)

37.6% (end of FY2024)

100% (end of FY2030)

5.1% (end of FY2024)

100% (end of FY2030)

67.4% (end of FY2024)

30% (end of FY2030)

0% (end of FY2024)* Emissions target for end of FY2030: 53,545 t-CO2

Reduction plan established for FY2025 to FY2029

Earning ISO 14001 certification

ISO 14001 certification earned at multiple facilities,
including head office

Under consideration● Promoting health management

Rate of use of paid vacation time

65% (end of FY2025)

63% (end of FY2024)● Enhancing human resource development

Enhancing employee training by level

Enhancing the menu of training programs

Management leadership training(for heads of departments)

Women as a percentage of those in management positions
Percentage of women in career-track positions1

4% (end of FY2035)

2% (end of FY2024)● Respect for human rights and diversity

115% (end of FY2035)−30% (end of FY2035)2−70% (end of FY2035)323% (end of FY2024)

Promoting earning the “G Mark” for trucking safety

Earned at all sites

Earned at all sites

Number of serious accidents

Maintained at zero

Zero

Number of traffic accidents

30% reduction (YoY)
Workplace accident indicators
Frequency: 0.80 or lower
Severity: 0.03 or lower

60% reduction (10 in FY2022, 4 in FY2023)
Results for 2023
Frequency: 0.55
Severity: 0.01

Percentage of vehicles equipped with drive recorders

100%100%

Business Continuity Plan (BCP) development

Completion of BCP formulation at all facilities

Number of facilities with IP wireless phones installedAll facilities (end of FY2030)

28 branches and 80 sites (completed theestablishment of a contact system for all branches)
28 branches and 46 sites (completed installation
at all branches)

Drills for serious disasters

Once/year

Wide-area disaster drills: 0(disaster drills, etc. were conducted at each site)

Installation of emergency power supplies orlargecapacity batteries

Installed at major facilities (head office, Tokyo Office,Nagoya Branch, Fukuoka Branch) (end of FY2030)

Obtain quotes and study installation plans

Percentage of female officers and employees(excluding managers)2
Percentage of men taking childcare leavein business

Number of workplace accidents

SResults and progress in FY2024● Promoting environmental management● Accident prevention and mitigation

SocietyTarget values

Safety initiatives asa responsible
enterprise● Enhancing resilience

Number of employees × 1.1 × 3 days’ supply

Enhancing joint
activities withlocal communities
Promoting businessactivities to meetsociety’s needs● Expanding corporate citizenship activities● Responding to customer needs and* Subject facilities: 27(number of facilities located in regions subject to promotionof countermeasures to Nankai Trough earthquake)

Number of social contribution activities implemented(Growing)

Expanding contributions to athletics and cultural
education
Promoting transport for facilities related to social infrastructures

Transportation of materials and fuel for biomass
power plants 1 new order received● Promoting digital transformation (DX)

Expanding DX measures adopted−3 DX digital tools installed● Maintaining and developing optimal

Percentage of principles of the amended Corporate
Governance Code complied with

100%98.7%(82 of 83 items complied with, 1 item remaining)● Improving the efficacy of Board ofEfforts related to assessing and improving the efficacyof the Board

One assessment completed by an external agency by FY2025

FY2024: One assessment completed by anexternal agency● Enhancing the oversight functions ofImplementing sustained efforts to enhance theoversight functions of the Board of Directors

Establishing an advisory committee pertaining to nomination
and remuneration
Pursuing an appropriate structure for the Board of Directors

Completed establishment of an advisory committee
pertaining to nomination and remuneration
Revision of skills matrix under consideration● Enhancing and improving the transparency

Enhancing and improving the transparency ofdisclosures to improve understanding among stakeholders

Enhancing and improving the transparency of disclosures

Enhancement of non-financial information andEnglish-language disclosures, revision of CG Report

Fostering understanding of business compliance0/yearMeasures such as implementing compliance training
using e-learning and other means
Risk management in business office units
Preventing similar errors by sharing information internally
Using compliance textbooks and assessing their effectiveness0/yearHeld internal webinar on AEO and internal
whistleblowing
Risk management in business office units
Ongoing activities to prevent similar errors (monthly)
12 times/year

Awareness rate based on compliance surveys

Improving awareness rates

100%

Number of cases handled by hotline

Disclosure of number of cases

9 (down 3 from the previous year)

Number of times information security training held

5-10 times/year

4 times/year

Number of incidents (e.g., information leaks, service downtime)

0/year0 times/year

Promoting information security measures

Disclosing details of promotional efforts(currently being examined chiefly by the Cybersecurity Committee)

Updating security software

Directors and audit functions
the Board of Directors

Number of serious compliance violations

G● Raising awareness of compliance among

Thoroughcomplianceall employees● Preventing inappropriate behavior andinteractions in corporate activities● Awareness and use of compliance hotline

Risk management• Sponsorship for Vissel Kobe "Social Seats"(Social Contribution Seats)• Donation of 50 million yen to the 2023 World
Aquatics Championships−of disclosures related to corporate governance

Governance(Growing)

25 sites* Growing track record on transport for facilities related tonew energy/mobility infrastructuresocial issues

systems for the Company

Enhancinggovernance

Stocking of emergency supplies● Enhancing information security

Enhancing compliance education
Reducing operational risk

1: The Company's Board of Directors has decided to add this KPI and target values from the fiscal year ending March 31, 2025 onward. Therefore, there are no results for the fiscal year ended March 31, 2024.
2: Since the target values were achieved, the Company's Board of Directors has decided to change this KPI and target values from the fiscal year ending March 31, 2025 onward ("Number of female officers and employees (including managers): Increase by 20% from the end of FY2022 (end of FY2025)" → "Percentage of female officers and employees (excluding managers): 30% (end of FY2035)").
Therefore, there are no results for the fiscal year ended March 31, 2024. (Actual results for the former goal: 79% increase from FY2022 (end of FY2024))
3: Since the target values were achieved, the Company's Board of Directors has decided to change this KPI and target values from the fiscal year ending March 31, 2025 onward Percentage of men taking childcare leave “10% (end of FY2025)” → “70% (end of FY2035)”*KPI and target values for "Number of officers promoted from midcareer hires (including managers)" and " Percentage completing training on unconscious bias (managers)" in Society (Category) were deleted due to overachievement of targets.

Corresponding Sustainable
Development Goals (SDGs)