Environmental and Social Report

2004

Contents

Editorial Policy

Editiorial Policy

02

Massage from the President / Corporate
Philosophy

03

Outline of the Reporting Organizations
Company Outline
Transition of Major Financial IndicesMajor Business Sites
Moving Ahead with Corporate Management
based on CSR

04
04
05
06

Environmental Conservation
Yamaha’s Policy on the Environment
Message from the Director, Environmental
Management
History of Environmental Initiatives
Goals and Achievements
Material Balance
Environmental Management

07
07
07
08
09
10

Environmental Management System / Acquisitionof ISO 14001 Certification / Environment-related
Accidents and Lawsuits / Emergency Response
Training / Environmental Audit / Internal
Environmental Auditors / Environmental Training
and Education / Environmental Communication

Producing Environmentally Conscious Products

14

Product’s Lifestyle Assessment (LCA) /Controlling Chemical Substances Contained in
Products / Saving Energy and Resources

Environmental Conservation in Production

16

Zero Emissions Efforts / Preventing Global
Warming by Energy Saving / Reducing Water
Consumption and Reusing Wastewater /Reducing CFC Substitutes* / Responding to the
PRTR Law* / Groundwater Pollution and
Purification

Environmentally Friendly Packaging andDistribution

Taking corporate social responsibility (CSR) into consideration, the quality of thisreport is enhanced this year. The report covers personnel affairs, occupationalsafety and health, social contribution in terms of CSR, quality assurance of
products and employment, in addition to the environmental conservation activities
report. The title of the report is modified from “Environmental Report” to“Environmental and Social Report” this year. Environmental performance data arecompiled as separate and bound-in document. The report was prepared on thebasis of the Environmental Reporting Guidelines (2003 editions) published by the
Ministry of the Environment of Japan and the Sustainability Reporting Guideline
2002 by the Global Reporting Initiative (GRI).
Scope of Organizations Covered by This Report
Yamaha’s policy is that the organization covered by Environmental and Social
Report should be as close as possible to the ones covered by the consolidated
financial statement.
For environmental conservation activities, this report covers 34 facilities* thathave acquired ISO 14001 certification. Some items, however, may not cover
information from the above-listed 34. Therefore, each section clearly specifies thescope covered.
For sections of the report other than environmental conservation activities (seepages 19 to 27), this report primarily covers Yamaha Corporation but some partscontain reports regarding the activities of Group affiliates. We will include more
reports from Group companies in the future.
*Headquarters, all factories of Yamaha Corporation in Japan, and all production affiliates and resort facilities in Japan and overseas areincluded. (See page 10) “Yamaha Group” used in this report means these 34 facilities.

Ratio of employees belonging to the 34 facilities with ISO 14001 certification

18

Efforts for Packaging Material and Distribution
FY2003 Data

79%

The number of employees who belong to the 34
facilities that have acquired ISO 14001 certification
totals 14,942. This is 79% of the total employees of
the companies within the range of the consolidated
accounting.

Environmental Performance Data
(supplement)
Promise to Customers
Pursuing Quality in Products
Enhancing the Customer Support System
Communicating the Enjoyment of Playing MusicalInstruments to as Many People as Possible

19
19

Issuance of the Next Report
The next report will be issued in October 2005.
21
21

For inquiries regarding this report, please contact the following:
21
22

22
22

Promise to Those Who Work with
YamahaEmployment without Discrimination
A Personnel and Educational Training System
Positively Promoting Female Employees
Labor Agreement with the Union
Giving First Priority to the Safety and Health of
Employees
For Fair Trade

02 YAMAHA Environmental and Social Report 2004

Environmental Planning Section, Environmental Management Division, Yamaha
Corporation
10-1, Nakazawa-cho, Hamamatsu, Shizuoka, Japan 430-8650
Phone: +81-53-460-2834
Fax: +81-53-466-3598
E-mail eco-rep@gmx.yamaha.com
This report, annual report, financial report, and other information are available on the Web site.

23
23
23
24
24
24

Promise to Society
Efforts to Popularize Music
Communication with the Local Community
Providing Excitement for Children and theElderly
Regional and Social Contribution Abroad*Part of the report includes information as of April 2004 or later.

20

Promise to Shareholders
Securing Transparency and Improving Quality
in Corporate Management
Financial Strategies
Securing Sound Business Performance andFinancial Standing
Distributing Profits Among Shareholders via
Stable Dividends
Yamaha’s Social Efforts Held in High Esteemby SRI Evaluation Organizations in Japan and
AbroadCommunication with Shareholders and Investors

Period of Terms Covered by This Report
From April 1, 2003 to March 31, 2004 (FY2003)

25
25
26
27

http://www.global.yamaha.com/

Message from the President
Yamaha started manufacturing organs in 1887, and this is
In the YSD50, we focus on three basic policies, which are
the 118th year. Even today, the core of Yamaha’s business“emphasizing corporate social responsibility (CSR)” as well
is a variety of musical instruments, while expanding its
as “achieving sustainable development and stable, highrange to audio and video products, IT equipment, LSI soundearnings” and “creating and developing innovative, highchips, and Golf products. From its infancy, we believed that
quality products and businesses”. In accordance with thesemusical instrument manufacturers should not only sellpolicies, we, as a comprehensive business dealing withproducts but also offer opportunities to havesound and music, are committed toas many people as possible recognize theendeavor to expand business and increase
profit, increasing annual consolidated
enjoyment of music, and we haveoperating income to ¥50 billion while
endeavored to popularize music as part ofeffectively reducing to the balance of actual
this goal. As a result, Yamaha Music School,interest-bearing debt to zero in the fiscal
which started as an experimental lesson inyear ending March 2007. At the same time,
1954, celebrated the 50th anniversary thisto respond to expectations from all
year with 5 million people who completed
stakeholders, we exert efforts to enhance
the course. We started to tackle
compliance, improve operational quality
environmental conservation, when it
and security for employees, conserve theestablished the Environmental Management
environment, and disclose information
section (present Environmental Management
proactively. Especially for environmental
Division) in 1974. To enhance the
Shuji Itoconservation, we set concrete goals, such asenvironmental management structure, all
President and Representative Director
environmentally friendly products, zero
domestic and overseas production facilities
emission, and prevention of global warming, and declared
and resort facilities had acquired ISO 14001 certification by
the intention to achieve these goals for sure. Through thesethis year.
activities, we aim to realize a business structure that enables
Thus, Yamaha has contributed to society in terms ofsustainable development of the Yamaha Group and society,music culture and made efforts to conserve thewhile steadily generating high-level profits. The Yamaha
environment, while playing an important role in theGroup will keep on communicating with all stakeholders toeconomic society. In February 2001, we laid down a new
realize a sustainable society on the earth and develop ourcompany philosophy, and it includes the brand slogan
business in line with social development. Your continued“Creating ‘KANDO’ Together” where we defined our
support would be highly appreciated.
stakeholders as customers, shareholders, those who work
August 2004
with Yamaha*1 and society, as well as four commitments
for them. They declare that we are committed to carry out
our responsibilities for a variety of stakeholders, i.e.,
corporate social responsibility (CSR). We believe that it isessential to incorporate the CSR into the core of ourbusiness management. For this purpose, we launched the
Shuji Itonew medium-term business plan titled “Yamaha Sustainable
President
andRepresentative
Director
Development 50 (YSD50)” *2 which covers the three years
Yamaha Corporationfrom April 2004.
*1 “those who work with Yamaha”: YAMAHA revised the expression from “employees” to “those who workwith Yamaha” in April 2004.
*2 YSD50: “50” means the target to increase annual consolidated operating income to ¥50 billion while
effectively reducing the balance of actual interest-bearing debt to zero in the fiscal year ending March 2007.

Corporate Philosophy
Coporate Objective
Yamaha will continue to create ‘Kando’ and enrich culture with technology and passion
born of sound and music,together with people all over the world.
‘Kando’ is a Japanese word that signifies an inspired state of mind.

To Customers

To Shareholders

Yamaha will fully satisfy the customer, by offeringhigh quality products and services, which use newand traditional technologies, as well as creativity andartistry, and continue to be a known, trusted andloved brand.

Yamaha will increase the satisfaction andunderstanding of its shareholders by striving for
healthy profits and returns, and by achieving
productivity, using high quality, transparent
management, and practicing disclosure.

Estimate, anticipation, and plan for the futureThis report includes not only the facts in the present or past but also the estimates,
anticipation, and plans for the future about Yamaha Corporation and its affiliatecompanies (Yamaha Group). These are the results of assumptions or judgments basedon the information that could be obtained when this report was prepared and thus may
contain uncertainties. Therefore, they may be different from the results of the futurebusiness activities or phenomena that may occur in the future. Please note that the
Yamaha Group is not liable for any damages that could arise from this information.

To Those Who Work with Yamaha
Yamaha will develop relationships of mutual trust withall of those who work with Yamaha in accordancewith fair rules based on social norms, and strive to be
an organization in which individuals can demonstrate
their abilities fully, have confidence, and have pride.

Brand Slogan

Creating ‘Kando’
TogetherTo Society
Yamaha will give first priority to safety, and will carefor the environment. Yamaha will be a good
corporate citizen, and observe laws and work
ethically, developing the economy, and contributing
to local and global culture.

YAMAHA Environmental and Social Report 2004 03

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Outline of the Reporting Organizations
Company Outline

Major Business Sites

Company name: Yamaha Corporation
Head office: 10-1, Nakazawa-cho, Hamamatsu, Shizuoka
430-8650 Japan
Date of establishment: 1887
Incorporated: October 12, 1897
Representative: Shuji Ito, President and Representative Director
Paid-in capital: 28,535 million yen
Number of employees: Consolidated 18,842 Unconsolidated 5,920*No temporary employee included.

Consolidated Net Sales by Business Segment
Consolidated Net Sales by Geographical Segment

Others 4.8%

Asia, Oceania, Others
9.0%

Recreation 3.7%
Electronic equipment andmetal products 14.3%
Lifestyle-related products
8.3%

FY2003539.506 billion yen

Europe 15.5%

Musical instruments
54.4%

North America 16.0%

Number of consolidated
subsidiaries: 89 (including overseas companies)
Number of companies
accounted for by
the equity method: 2

AV / IT business 14.5%

FY2003539.506 billion yen

Japan 59.5%

Musical instruments

Electronic equipment and metal products

Yamaha develops and produces acoustic musical instruments including
pianos, wind, string and percussion instruments,
electronic/digital musical instruments, networkcompatible musical instruments, PA equipment,*
soundproof rooms, etc. Recently, it also ventured
into digital content/network-related business suchas distribution of ringing melodies for mobile
phones. The music school business has
approximately 700,000 students old and young at home and abroad. It
contributes to the diffusion and improvement of performing technique ina wide variety of musical instruments and music culture.

Yamaha develops and produces special alloys that are used as raw
materials for semiconductors and electronic metals. In thesemiconductor business, the demand for LSI (large-scale integrated
circuits) is increasing. Yamaha’s LSI is used in avariety of sound and network-related
equipment, such as mobile phones and PCs or
AV amplifiers for home theaters and ISDN
communication devices. In the electronic metalbusiness, Yamaha supplies highly functional
copper or nickel alloys for wide-ranging
purposes like IC lead frames.

2 sites in Hokkaido*PA equipment stands for Professional Audio Equipment.

AV / IT

Recreation

Yamaha develops and produces AV (Audio and Video) equipment andinformation communication devices. In the AV business, Yamaha leads
the market in the digital home theater sound system field by utilizing its
original Cinema DSP (Digital Sound field Processing) technologies. It
also offers comprehensive home theatersystems that are equipped with visual devices
including propriety digital cinema projectors. In
the IT business, it develops and produces
routers with excellent security capability anddata transmission speed, keeping pace with the
diffusion of broadband networks.

Yamaha runs six resort facilities in Japan.
Kiroro™ offers the enjoyment of communing withmagnificent nature and outdoor sports from season
to season in Hokkaido. Tsumagoi™ and
Nemunosato™ are equipped with sports and music
facilities surrounded by vast greenery. Katsuragi
Golf Club™ features the fusion of Japanese-stylebuildings and the warmth of wood. Toba Hotel International™ has respect
for tradition and formality. Haimurubushi is Japan’s southernmost resort,
located in Kohama on the Yaeyama Islands. All the facilities offer recreational
opportunities integrated with nature in each region.

Production facilities(all with the ISO 14001 certification)

4 sites in Osaka
2 sites in Miyagi

Resort facilities(all with the ISO 14001 certification)
Sales, service, and other facilities

15 sites in Tokyo

OthersLifestyle-related products

The golf business develops and produces golf clubs to meet a broad
range of requirements from golfers.
The automobile interior wood component
business develops and produces automobileinterior components that make the most of thebeauty of natural wood. The mold andcomponent business develops and produces
magnesium and plastic components for electric home appliances,
telecommunications, and precision equipment industries. The FA
business develops and produces precision machines and robot systems.

Based on the concept of “Life Resort,” Yamaha develops and produces
a wide variety of house equipment and furniture. It suggests a
comfortable dwelling space including a roundstyle kitchen unit that has removed sharp edges
and allows users to move around freely, and abathroom of ergonomic design equipped with arelaxation function using a combination ofsound, wave, mist, and light.

2 sites in Aichi

10 production facilities with ISO 14001 certification
2 resort facilities with ISO 14001 certification
10 sales, service, and other facilities
in Shizuoka

Relationship between Yamaha Corporation and Yamaha Motor Co., Ltd.
Yamaha Motor develops and produces motorcycles, sailboats, snowmobiles, etc. It was separated from Yamaha Corporation andbecame independent in 1955. Yamaha Motor is an affiliate by equity method, but is not included in the scope of this report. Bothcompanies, however, use the “Yamaha” brand and work in collaboration with each other in terms of maintaining product and corporate
images and synergy in business.

Transition of Major Financial Indices
Income before income taxes and minority interests

Net sales(unit: million yen)
Consolidated

527,897369,129

519,104 504,406

524,763539,506

316,742

334,078

23,491
17,012

22,612

Consolidated

Consolidated

47,45643,541
Unconsolidated

24,443

FY2000FY2001

FY2002

FY2003

FY1999FY2003-47,115-47,601

FY2001

FY2002

22,067
21,771
43,221
46,944

18,33921,59036,62845,714
95,214

100,197(unit: million yen)

Others

20,956
20,90326,061
Recreation

60,55446,031

20,100Electronic equipment
and metal products

83,67050,45245,88673,397

72,95773,45896,00591,72093,52447,472

76,89245,721

Asia, Oceania,
Others77,18548,55289,72883,473

EuropeNorth America

86,671

Lifestyle-related products

FY200344,765284,901

286,920

78,257

292,647

308,042

308,539

289,951

312,129

Japan

320,809

Musical instruments-36,798
FY2002

7,706-10,274-24,312FY2001

FY200025,579Net sales by geographical segment(unit: million yen)

AV / IT

-5,784

FY200017,947

13,320
9,685

8,857

345,354
FY1999FY1999Net sales by business segment(unit: million yen)

Unconsolidated

Unconsolidated

346,175

Net income(unit: million yen)

293,430-25,328-40,777
FY2000FY2001

FY2002

FY2003

FY1999FY2000FY2001

FY2002

FY2003*FY1999 is not included in this diagram, as the business segmentation in FY1999 was different from the current one.

04 YAMAHA Environmental and Social Report 2004

YAMAHA Environmental and Social Report 2004 05

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Introduction

Environmental
Conservation

Promise to
Customers

Outline of the Reporting Organizations

Environmental Conservation

Moving Ahead with Corporate Management based on CSR

Yamaha’s Policy on the Environment

Enhancing Corporate GovernanceYamaha aims for a transparent and high-quality corporate
management to respond to the trust and expectations of a rangeof stakeholders. For instance, we have carried out innovation of
corporate governance since 2001 by introducing an executive
officer system, reforming the implementation of generalshareholders’ meetings, and augmenting and upgrading investorrelations activities.

objectives as fair business transactions, environmental
conservation, employment and working conditions, information
disclosure, and the provision of high-quality products.
We also chose ‘emphasizing corporate social responsibility(CSR), as one of the three basic policies in the Group’s new
medium-term business plan (YSD50) laid down in February
2004. (For details of YSD50, refer to page 3.) In accordancewith the policy, the CSR Committee was established and headedby the President in April 2004. We are thus strengthening
corporate management based on CSR, with the CSR Committee
and Compliance Committee working closely together.

Strengthening the Supervising Capabilities of the Boardof Directors
To strengthen the transparency and supervising capability of theBoard of Directors, Yamaha invited a director and auditors fromoutside of Yamaha in FY2003. To further increase thetransparency in the nomination processes of directors, auditorsand executive officers, we established a Corporate Officer
Personnel Affairs Committee, composed of all full-timemembers of the Board of Directors, where the appointment andcultivation of executives is discussed.

Compliance Committee
The committee was established in January 2003 and consists often members, including our corporate directors, executive
officers, and external committee members, headed by thechairman. In April 2003, the committee completed theCompliance Guide, where codes of behavior that conform tosocial norms and corporate ethics, in addition to the observanceof laws and regulations were defined, as well as their operationalrules and explanations. The guide was distributed to all theGroup’s directors, permanent employees, employees on a shortterm contract, contract employees, and part-timers. Explanatory
meetings were held in each workplace to ensure rigorouscompliance by the applicable employees.
The Compliance Help Line was also established in April
2003, where the Compliance Committee provides consultation
and accepts reports regarding compliance. Last year, about forty
cases were reported to the Help Line, including questions
regarding company policies, and all of them were properly
addressed.

Clarifying the Role of Directors and Executive Officers
To strengthen the ability of company management, to further
invigorate the Board of Directors, and to enhance the businessexecution capability, Yamaha clarified disparity within the rolesof directors and executive officers in FY2003. Basically, it was
decided that the directors, as members of the Board of Directors,
should not be responsible as department heads, but should be
responsible for total company management including making
strategies, plans and decisions for the Group as a whole, andmonitoring and directing departmental business execution. On
the other hand, the executive officers should be responsible forbusiness execution within their respective departments andendeavor to maximize departmental performance.

CSR Committee
Headed by the president, the CSR Committee promotes
voluntary activities to further enhance the social value of thecompany with priority objectives such as environmental
conservation, employment and working conditions, andinformation disclosure.

Accelerating the CSR Promotion
Yamaha established the Compliance Committee in January
2003. We regard compliance not only as the observance of
applicable laws and regulations, but also as adherence to themoral and ethical standards expected by society. We tackle such

Premise
Earth exists not only for those of us who currently live on it, butalso for our descendants. We must live in a way that will ensure afuture for our children and grandchildren. It is, therefore, our duty
to protect our valuable environment so that all living creatures cancontinue to live on this planet forever.

PolicyYamaha’s corporate objective is to continue to create ‘Kando’ andenrich culture with technology and passion born of sound andmusic, together with people all over the world. We have to beaware that corporate activities are deeply related to theenvironment, and we at Yamaha acknowledge our responsibility
to nature. We are dedicated to enriching people's lives and helping
to preserve the environment as we live together harmoniously insociety.

The Six Principles of Yamaha’s Corporate
Environmental Activity
1. Make efforts to develop technology and provide products thatwill be as sensitive as possible to the earth’s animals, plants andenvironment.
2. Promote energy-saving activities and make effective use ofresources in the areas of research and development, production,
distribution, sales and service.
3. Minimize and recycle waste products, and simplify waste
disposal procedures at each stage of production and distribution,
as well as during and after use.
4. Strictly follow environmental rules and regulations, encourage
environmental protection activities, and ensure the well-beingof employees and citizens by practicing sound environmental
management.
5. In developing operations overseas, make environmental
protection a priority through investigation and understanding of
the environmental standards of the host country.
6. Actively distribute information, contribute to the communityand carry out educational activities concerning environmental
preservation.

History of Environmental Initiatives
Structure of Corporate Governance
General shareholders’ meeting
Election/
dismissal

Election/
dismissal

Board of Auditors

Board of Directors(Eight directors including
one outside director)(chairman)(president)

Audit(four auditors including
two outside auditors)

Organization for businessexecution
Management meetings(Consisting of full-time
directors, a senior
executive officer anda representative auditor)

Company-widecommittees• Corporate Officer Personnel Affairs Committee• Compliance Committee• CSR Committee• Environment Committee, etc.

Divisions and administrative departments(Twelve executive officers)

06 YAMAHA Environmental and Social Report 2004

1974 • Established the Environmental Management Division1975 • Started company-wide rationalization of energy consumption• Started local clean-up activity
1981 • Started electric power generation fueled by wood waste at Tenryu
Factory
1990 • Completely prohibited the use of trichloroethylene andtetrachloroethylene
1993 • Prohibited the use of specified CFCs and trichloroethane• Brought out the Silent Piano that was invented with special
consideration of the residential environment, the first product of the
newly developed and marketed Silent Series of musical instruments
1994 • Laid down Global Environmental Policy and the six principles ofcorporate environmental behaviors• Established the Environmental Committee and five specialist groups
1995 • Commenced the recycling and reuse of waste castings and1997 • Announced the challenge to acquire the ISO 14001 certification
1998 • Disclosed facts related to soil and groundwater contamination bychlorinated organic solvents in the factory at Yamaha headquarters,
Yamaha Toyooka Factory, and Yamaha Metanix and started
decontamination
1999 • Started a new business to support the acquisition of ISO 14001
certification
2000 • Published the first Environmental Report• Introduced environmental accounting
2001 • All factories in Japan acquired ISO 14001 certification
2003 • The Group’s all production affiliates in Japan and overseas acquired ISO
14001 certification
2004 • The Group’s all resort facilities acquired ISO 14001 certification

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Message from the Director,
Environmental Management
We focus on environmental
conservation activities to realize
a sustainable society.

Shinya Hanamoto
Director, Environmental Management

The Yamaha Group laid down its Global Environmental
Policy in 1994 as a guideline for company-wide efforts toconserve the environment. From 1997, the Group started
obtaining ISO 14001 certification, and all production andresort facilities at home and abroad acquired thiscertification by the end of FY2003. From 2004, our major
sales offices (Tokyo, Nagoya and Osaka) set out to work
toward certification.
We chose ‘emphasize corporate social responsibility(CSR)’ as one of the three basic policies in the Group’s
new medium-term business plan (YSD50), together with‘achieving sustainable development and stable, highearnings,’ and ‘creating and developing innovative, highquality products and businesses.’ Based on this policy, weare committed to realizing a company management thatcan respond to the expectations of stakeholders including
customers, shareholders, colleagues, and society. Above
all, we will focus on environmental conservation as animportant issue for all stakeholders and attain concrete
objectives. By promoting these efforts for environmental
conservation steadily together with economical and social
contributions through business operations, we would likeplay a part in realization of a sustainable society.

Concrete Objectives for Environmental Conservation:•Compliance with the RoHS*1 Directive(green procurement and environmentally friendly design)

Promote green procurement and environmentally friendly design and build astructure to supply products that do not contain any substances*2 specified in
the EU Directive on the Restriction of the Use of Certain Hazardous
Substances in Electrical and Electronic Equipment (RoHS) by the end of
FY2005.
•Promoting Zero Emissions*3
Further promote the recycling of industrial wastes and reduce the volume of
final disposal to landfill to achieve Zero Emissions from the factories of
Yamaha by the end of 2005.
•Reducing release of substances specified in the RPTR Law*4
Promote substitution and restrain release of the substances specified by the
PRTR Law (Pollutant Release and Transfer Register) and reduce the amountof released substances by 20% in FY2006 in comparison with the figure in
FY2002.
•Reducing CO2 Emissions
Reduce CO2 emissions by 6% in FY2010 in comparison with the figure in
1990.
*1. RoHS stands for Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic
Equipment.
*2. Substances defined in RoHS: Lead, mercury, cadmium, hexavalent chromium, polybrominated biphenyl(PBB, bromic fire retardant) and polybrominated diphenyl ether (PBDE, bromic fire retardant)*3. Zero Emissions: The Yamaha Group defines this as “restricting the volume of final waste landfill to 1% of
the waste generated or less.”*4. PRTR is an abbreviation of Pollutant Release and Transfer Register. The PRTR Law stands for the Law
Concerning Reporting, etc., of Releases to the Environment of Specific Chemical Substances andPromoting Improvements in Their Management.

YAMAHA Environmental and Social Report 2004 07

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Environmental Conservation Activities

Goals and Achievements

Environmental
management
system(pp. 10–13)

Product
development(pp. 14–15)

Goal

Achievements in FY2003

Plans for the coming years

Acquisition of ISO 14001 certification by
all affiliates in Japan and overseas(production and resort facilities) by
FY2003•All production facilities and resort facilities in Japan andoverseas acquired ISO 14001 certification (34 facilities intotal).
<New acquisition>
One overseas production affiliate and one resort facility•Major sales offices (Tokyo, Nagoya andOsaka) shall acquire ISO 14001 certification
by FY2006

Introduction of an environmental
information system•Yamaha and the production affiliates in Japan introduced
Yamaha’s environmental information system (Yecos).
Started unification of management of the environmental
information at the headquarters.

•Introduce Yecos into overseas production
affiliates

Promotion of environmental training andeducation•Internal environmental auditor training
45 employees were qualified as internal environmental
auditors in Yamaha and 31 in affiliates in Japan. (Total
number was 545.)•Environmental seminar (349 participants)“For the construction of a recycling society – realizing zero
emission in business”•Product/environment seminar (190 participants)“EU Directive on the Restriction of the Use of Certain
Hazardous Substances in Electrical and Electronic
Equipment (RoHS Directive)”•New employee training•Hold internal environmental auditor training
seminars as in the previous year.
•Hold training programs to raise the level ofinternal environmental auditors.
•Hold environmental seminars as in theprevious year.

Promotion of the development ofenvironmentally friendly products andimplementation of LCA

Response to the EU Directive on the
Restriction of the Use of Certain
Hazardous Substances in Electrical andElectronic Equipment (RoHS Directive)Green
procurement

Promotion of green procurement(p. 14)

Prevention of
global warming

1% improvement in CO2 emissions perunit of sales compared to FY2002(p. 16)

Waste reduction(p. 16)

Material Balance

Reduction of waste disposal andpromotion of recycling

The Yamaha Group produces a wide variety of products,
including musical instruments, AV/IT equipment, lifestylerelated products, semiconductors, special alloyed metals, andautomobile interior components. The Group understands anddiscloses the material balance that indicates volume of input andoutput of materials to clarify the relationship between
production activities and environmental impact. This data is

INPUT

(+6%)

•Hold new employee training as in the previous year.

•Promoted lead-free soldering
Use of lead-free soldering on wind instruments
Increase of lead-free soldering on AV equipment•Realized “environmentally friendly products”
Electone was put on the market, which realizes partial
upgrading and thus long product life.
The standby power consumption of an AV amplifier is kept
as low as 0.1 W or less.
“Silent Bass” pursuing downsizing and energy saving was
put on the market.
•Started company-wide efforts to reduce formaldehyde•Implemented LCA on AV products•Further expand lead-free soldering

LPG, etc.

3,000 tons(0%)

SOx emissions

17.6 tons(-11%)

Coke

1,000 tons(-11%)NOx emissions

187 tons(+1%)

2,230,000 m3(+20%)

8.6 tons(-23%)•Investigated inclusion of chemical substances subject to
the RoHS Directive and promoted use of substitutesubstances.
Established the standard for the use of lead-free soldering.
Started the use of chrome-free steel sheet.

•Complete compliance with RoHS Directive
by FY2005•Issued the second edition of the Standards for ChemicalContent in Products•Conducted research on overseas suppliers•Further increase green procurement under
the standards•CO2 emissions per unit of sales:
7.5% improvement over FY2002 (2.22 tons-CO2/billion yen)
(CO2 emissions: 102,000 tons-CO2/year)•Waste disposal: 19% reduction from FY2002 (3,400
tons/year)•Recycling rate: 6 point increase compared to FY2002(70%)

Control ofchemical
substances

Reduction of emissions of PRTRspecified substances.
Reduction of harmful air pollutants andvoluntarily controlled substances
Reduction of emissions offormaldehyde by 64% by FY2003
compared to FY1995.

•Emission of PRTR-specified substances: 4% reduction
from FY2002 (145 tons/year)•75% reduction in formaldehyde compared to FY1995. (75kg/year)•Increase the number of environmentallyfriendly products

Water

Wastewater•Set product standards and implement reduction•Increase the target products of LCA

3,000 m3(-93%)

Well water(ground water)

2,720,000 m3(+2%)

Total amount used

2,840,000 m3(0%)

Industrial-use water

Amount recycled
in the processes•Reduce CO2 emissions by 6% in FY2010
compared to the figure in FY1990.
(Yamaha’s headquarters and factories, andproduction affiliates in Japan)

Chemical substances
Amount release of PRTR
145 tons-specified substances
Amount transferred of
PRTR-specified substances 15 tons

127,000 m3

Chemical substances
Amount of PRTR-specified
substances used
Amount of CFC
substitutes used

869 tons(-4%)

1.9 tons(+3%)

Raw materials•Achieve zero emissions in 2005 (Yamaha’s
headquarters and factories)

Discharged to
public water system
BOD(public water system)

115,000 m3 (+16%)

Tap water( )Head Office,factories andall the affiliatedmanufacturers
in Japan(-4%)(-14%)

Valuable waste
Amount of valuable
waste generated

3,000 tons(+3%)

11,500 tons(-2%)

3,400 tons(-19%)

8,100 tons

(+8%)

Waste
Volume of waste
generated

Wood *for piano and housing-related products only

•Eliminate the use of CFC substitutes by 2010
(Yamaha and affiliates in Japan)•Reduce emissions of PRTR-specified
substances by 20% in FY2006 compared to
FY2002. (Yamaha’s headquarters andfactories, and production affiliates in Japan)

Continued remediation of groundwater•The contamination in two factories improved to the level
under the environmental standards•Continue remediation of groundwater withthe pumped water aeration/activated carbon
absorption method

Enhance scope of information in theenvironmental report•Inclusion of production affiliates in Japan and overseas•Enhancement of information about corporate social
responsibility•Expand the scope of organizations coveredby the report•Further increase information about corporatesocial responsibility

Promotion of environmental education•Held environmental seminars during factory tours forelementary, junior and high school students•Held environmental seminars during the factory tours forcorporate customers and residents of local communities•Continue environmental seminars during
factory tours•Participated in Shizuoka Business Fair.
•Participated in Hamamatsu Manufacturers’ Technology
Exhibition 03•Participate in Shizuoka Business Fair
•Participate in Hamamatsu Manufacturers’
Technology Exhibition 04•780 employees participated in regional clean-up
campaigns•Continue participation in regional clean-up
initiatives(p. 17)08 YAMAHA Environmental and Social Report 2004

Other greenhousegas emission
20,000 tons- CO2(CO2 equivalent)(-2%)(-45%)•Volume used: 2.7% increase from FY2002 (1.9 tons/year)

Implementation of regional clean-up
promotion(-3%)

12,000 kL

Elimination of the use of CFC substitutes
by FY2010

Participation in environment-related
events102,000 tons- CO2

247,000 m3

Ozone layer
protection (p. 17)(p. 13, pp. 25–27)

CO2 emissions

City gas•Started company-wide project toward zero emissions(investigation tour to advanced companies, studying usageof recycled materials, etc.)

Information
disclosure
Environmental
communication
Socialcontributions

Exhaust gas(-2%)

Heavy oils

Achievement of zero emissions in 2005
(Yamaha’s headquarters and factories)

Groundwater
remediation

Figures in parentheses indicate year-on-year variations

Energy *used as motive energy

Plywood/laminated wood(p. 17)OUTPUT

Figures in parentheses indicate year-on-year variations

Purchased electricity 170,000,000 kWhutilized in the activities toward reducing environmental impact.
In FY2003, raw materials, packaging materials, and the recycledvolume of water and recycled boards (particle boards) wereadded to the input items, while the greenhouse gas emissions
and released PRTR-specified substances were added to the
output items.

14,000 m3

Solid wood

21,100 m3

Recycled board (Particle board)

8,500 tons

Metal * the ones purchased in the form of bare metal only
Iron

6,600 tons

Copper2,630 tons

Nickel313 tons

Titanium

16 tons

Silver

5 tonsVolume of waste
disposalVolume of waste
recycled

About output substances:
CO2:

NOx:

SOx:
Waste:

Packaging materials*Yamaha’s packaging materials subject to theContainers and Packaging Recycling Law only

Cardboard

2,340 tons

(-8%)

Paper

65 tons(-36%)

Plastic

295 tons(-14%)

Others (wood, etc.)

256 tons(-11%)

2,960 tons(-10%)

Total amount consumed

Landfill afterincineration orother treatments.
Raw material
or fuel ofother companies

Waste disposal:
Waste recycled:

Valuable waste:
Wastewater:
BOD:

Carbon dioxide generated as aresult of the use of electricity, gas
and fuel consumption
Nitrogen oxides generated as aresult of gas and fuelconsumption
Sulfur oxide generated as a resultof fuel consumption
Waste specified by the Waste
Management and Public
Cleansing Law, including sludge,
waste oil, waste acid, waste alkali,
waste plastic, metals, glass,ceramics and ash
Waste that cannot be recycled
Waste reused, materially recycled
or thermally recycled to be usedas material, raw material or
resources
Waste that can be sold
Wastewater from production andhouseholds
Biochemical oxygen demand
meaning the amount of oxygen
required for biochemical oxidationof sludge in the wastewater

1,400 tons werereused as recycled
boards(particle boards)

YAMAHA Environmental and Social Report 2004 09

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Environmental Conservation Activities

Environmental Management
Each division of the Yamaha Group has built an environmental management system based on ISO 14001. The Group
continuously improves the total management system, while sharing information about each activity.
Environmental Management System
Yamaha established the Environmental
Management Section in 1974 and the
Global Environment Division (present
Environmental Management Division) in
1992, and totally prohibited the use of
specified CFCs in 1993, thus having
exerted company-wide efforts forenvironmental conservation. In addition,
a company-wide cross-sectionalorganization, the Environmental
Committee, was established in 1994,
which is headed by the director,
Environmental Management. Under thecommittee, specialist groups were set to
discuss individual objectives. Thus, thewhole company strives to conserve theenvironment.
From 1998, we established theDivisional Environmental Committee
one by one in the divisions that havealready attained ISO 14001 certification.
The committee is composed of a division
head as chairman and the representatives
from each division and department ascommittee members. The committee has
subcommittees, each of which is
specialized in such themes as energy
saving, resources and wastes, chemical
substances, and product assessment andis moving toward achievement of
concrete objectives like energy saving,
zero emissions, and compliance with the
RoHS Directive. Furthermore, the Group
companies in Japan acceleratecommunication among them through the

Yamaha Eco System (Yecos), theGroup’s environment-related information
system on the intranet.

Resort affiliates

Acquisition of ISO 14001
Certification
The environmental management system
is one of the schemes that help to realize
environmentally friendly company
management. The Yamaha Group
promotes acquisition of the international
standard ISO 14001 certification, startingfrom production facilities then to resort
facilities in the order of magnitude of
impact on the environment.
In FY2003, Yamaha Electronics(Suzhou) (established in 2002) andHaimurubushi acquired the certification,
which means all production facilities inJapan and overseas and resort facilities
have successfully obtained thecertification. During the three years from
FY2004 to FY2006, major sales offices(Tokyo, Nagoya, and Osaka) will
endeavor to obtain the certification.

Nemunosato Co., Ltd.

Feb. 2002

Kiroro Associates Co., Ltd.

Feb. 2002

Tsumagoi Co., Ltd.

Jan. 2003

Toba Hotel International Co., Ltd.

Mar. 2003

Haimurubushi Co., Ltd.

Mar. 2004

Site
Katsuragi Co., Ltd.

Date
acquired
Nov. 2001

Overseas production affiliates
Site

Date
acquired

Yamaha Electronics Manufacturing
Malaysia Sdn. Bhd.

Dec. 1998

Kaohsiung Yamaha Co., Ltd.

Nov. 1999

Tianjin Yamaha Electronic MusicalInstruments, Inc.

Dec. 1999

Yamaha Music Manufacturing, Inc.

Dec. 2000

PT. Yamaha Musical Products Indonesia

Jan. 2001

PT. Yamaha Music Manufacturing Indonesia Dec. 2001
Yamaha Musical Products, Inc.

Apr. 2002

PT. Yamaha Indonesia

May 2002

Taiwan Yamaha Musical Inst. Mfg. Co., Ltd.

Jun. 2002

PT. Yamaha Music Manufacturing Asia

Jul. 2002

Guangzhou Yamaha-Pearl River Piano Inc.

Sep. 2002

Date acquired

Kemble & Company Ltd.

Dec. 2002

Kakegawa Factory

Nov. 1998

PT. Yamaha Electronics Manufacturing
Indonesia

Jan. 2003

Iwata Factory

Mar.1999

Xiaoshan Yamaha Musical Instruments
Co., Ltd.

Mar. 2003

Saitama Factory

Sep. 1999

Yamaha Electronics (Suzhou) Co., Ltd.

Mar. 2004

Toyooka FactoryJun. 2000

Yamaha factories in Japan
Site

Headquarters area
(Headquarters and factory)

Tenryu Factory(including Yamaha Fine Technologies Co., Ltd.)

Feb. 2001

Mar. 2001

All production facilities in Japan and overseas andthe resort facilities acquired ISO 14001
certification.

Haimurubushi

Realizing centralized managementof the Group’s environment-related
information

Production affiliates in Japan
Site

Date acquired“Yecos” is a system introduced in FY2003 to collectthe Yamaha Group’s environment-related information
including environmental performance data. By utilizing
this system to increase efficiency in site management,
to share information between headquarters anddivisions, to unify management of the Group’s
environment-related information at the headquarters,
and to grasp necessary information when required, theGroup is now able to disclose necessary information
promptly. The system has been introduced into the
production affiliates and major offices in Japan and will
be introduced into the overseas affiliates.

Yamaha Kagoshima Semiconductor Inc.

Nov. 1997

Yamaha Metanix Corporation

Mar. 1999

Yamaha Music Craft Corporation

Jul. 2000

D.S. Corporation

Feb. 2001

Yamaha Livingtec Corporation(including Yamaha Living Products Corporation)

Dec. 2001

WP Winds Corporation

Feb. 2002

Sakuraba Mokuzai Co., Ltd.

Sep. 2002

Haimurubushi runs a resort facility consisting of
hotels, restaurants, etc., that perfectly fit the richnature of Kohama Island, Yaeyama in Okinawa
Prefecture. In March 2004, it earned ISO 14001
certification. Yamaha Resort Haimurubushi™ gives
utmost care to waste disposal and prevention ofwater contamination in its business operations toconserve the beautiful sea and world-class coral reefaround the island. It has endeavored to separate
wastes, to build an oil-proof dike for heavy oil tanks,
and to realize 100% composting of food waste.
These efforts achieved good results and thus
contributed to the acquisition.

Environmental Management System Structure
President

Environmental Committee
Chairman:
Director, Environmental Management
Secretariat:
Environmental Management Division

Environment-related Accidents andLawsuits
In FY2003, no fine, minor fine or lawsuit
was imposed on the Yamaha Group. The
Group caused no accident that exerted an
influence outside the company.
Emergency Response Training
The Group prepared a responsibleorganization and a procedure manual foreach facility in accordance with the ISO
14001 standard in preparation for anassumed emergency that may have an
impact on the environment. In addition, it
provides an opportunity for regularemergency response training so that theemployees will be able to takeemergency actions and communicate
with each other in case of an emergency.
In the emergency response training, aspecific accident is assumed, like an oil
leak. Employees of the facilities simulate
the emergency actions andcommunication to the parties concernedin accordance with the specified
procedures, check the emergency
equipment and goods, and verify the
results. If any inadequacy should befound in the procedure, the procedure
manual would be amended, and thetraining would be conducted again to
verify the effect of the amendment. Thus,
repeating the training and verification
further improves the level of risk
management.
Case example
Tenryu Factory of Yamaha Corporation

Enhancing the measures to prevent leaksof oil or hazardous substances
The factory produces components for car
interior accessories, molds and FA
equipment. It is equipped with a gate thatprevents leaks of oil and other hazardous
substances through gutters to provide for
emergent accidents in the oil storage
facilities. In FY2003, another gate wasadded to provide double protection andthus to enhance the leak-proof measures.
After installation, an emergency response
training was conducted to simulate theoperational procedure of the doubleprotection gate, as well as to confirm theexisting communication route and the useof the oil absorption mat.

Product Assessment Group
Packaging Group

Panoramic viewof Kohama Island

Sites having acquired ISO 14001

Environmental Committee ofISO 14001-certified Sites
Chairman: Division Head
*Each division has different groups.

10 YAMAHA Environmental and Social Report 2004

Product Assessment Group
Chemical Substance Group
Energy Saving Group

Enhancing the system to promote theenvironmental conservation activitiesof the whole factory

External environmental audit

Corrective actions
The factory defined the objectives andtargets for the whole organization and set
up a product assessment subcommittee asa cross-sectional organization to observe
the implementation. It promoted
compliance with the RoHS* Directive anddeveloping environmentally friendly
products as the factories objectives andtargets, as well as reviewing the production
process.

In FY2003, an external environmental
audit was conducted in the 34 facilities,
including the Group’s domestic andoverseas production facilities and resort
facilities according to the following
schedule. Corrective actions wereimmediately taken for the issues pointed
out, and the environmental management
system was improved so that it could
function effectively.
Yamaha factories in Japan(a total of 21 issues were pointed out)
Date
Facilities
Category of audit
of audit
Kakegawa Factory
Oct. 2003 Regular surveillance
Iwata FactoryDec. 2003 Regular surveillance
Saitama Factory
Sep. 2003 Regular surveillance
Toyooka FactoryMay 2003 Renewal audit
Headquarters area
Jul. 2003 Renewal audit
Tenryu Factory
Feb. 2004 Renewal audit

Production affiliates in Japan( a total of 15 issues were pointed out )Facilities
Yamaha Kagoshima
Semiconductor Inc.
Yamaha Metanix
Corporation
Yamaha Music Craft
Corporation
D.S. Corporation
Yamaha Livingtec
Corporation(including Yamaha Living
Products Corporation)

Dateof audit

Category of audit

Oct. 2003 Regular surveillance
Feb.2004 Renewal audit
Jun. 2003 Renewal audit
Jan. 2004 Renewal audit
Nov. 2003 Regular surveillance

WP Winds Corporation Jan. 2004 Regular surveillance
Sakuraba Mokuzai
Sep. 2003 Regular surveillanceCo., Ltd.

Facilities

Industrial Waste Group
Typical divisional groups*

The Yamaha Group is subject to regularexternal environmental audits inaccordance with the ISO 14001 standard,
while each facility conducts internal
environmental audits by itself.
In June, the Environment Month every
year, Yamaha’s factories conduct anenvironmental patrol, where internal
environmental auditors mutually checkthe status of environmental conservationand environment-related facilities ofother factories. In addition, staff from the
Headquarters’ Environmental
Management Division visit and examine
the compliance with laws and regulations
and management conditions of the
facilities in order to support theenvironmental conservation activities ofthe domestic production affiliates.

Resort affiliates ( a total of 19 issues was pointed out )ODS Group
Energy Saving Group

Group’s Environment-relatedInformation Network (Yecos)

Case example
Toyooka Factory of Yamaha Corporation

Environmental Audit

ISO promotion team in
Yamaha Resort Haimurubushi

Emergency gate

Emergency response training(operation of the gate)

Dateof auditIn the renewal audit for ISO 14001
certification in the Toyooka Factory, thefollowing issue was pointed out in terms of
the objective and targets of theenvironmental conservation activities. The
factory took the measures as described
below.
Issues pointed out
The environmental policy of the Toyooka
Factory is “to reduce the environmental
impact, products, and production
processes, and production facilities should
be designed in consideration of theenvironment”. The objectives and targets of
the activities based on the policy are
specified for each department but notclarified for the whole factory.

*RoHS stands for Restriction of the Use of Certain Hazardous
Substances in Electrical and Electronic Equipment.

Overseas production affiliates
Date
Facilities
Category of audit
of audit
Yamaha Electronics
Manufacturing Malaysia Dec. 2003 Regular surveillance
Sdn. Bhd.
Kaohsiung Yamaha
Nov. 2003 Regular surveillanceCo., Ltd.
Tianjin Yamaha
Electronic MusicalJan. 2004 Regular surveillanceInstruments, Inc.
Yamaha Music
Dec. 2003 Regular surveillance
Manufacturing, Inc.
PT. Yamaha MusicalJan. 2004 Renewal audit
Products Indonesia
PT. Yamaha Music
Dec.
2003 Regular surveillance
Manufacturing Indonesia
Yamaha MusicalApr. 2003 Regular surveillance
Products, Inc.
PT. Yamaha Music
Sep.
2003 Regular surveillance
Manufacturing Asia
PT. Yamaha Indonesia May 2003 Regular surveillance
Taiwan Yamaha Musical Jun. 2993 Regular surveillanceInst. Mfg. Co., Ltd.
Guangzhou
Yamaha-Pearl River
Sep. 2003 Regular surveillance
Piano Inc.
Kemble & Company Ltd. Dec. 2003 Regular surveillance
PT. Yamaha Electronics Nov. 2003 Regular surveillance
Manufacturing Indonesia
Xiaoshan YamahaMusical Instruments
Mar. 2004 Regular surveillanceCo., Ltd.
Yamaha Electronics
Mar. 2004 Audit for ISO acquisition(Suzhou) Co., Ltd.

Category of audit

Katsuragi Co., Ltd.
Nov. 2003 Regular surveillance
Nemunosato Co., Ltd. Jan. 2004 Regular surveillance
Kiroro Associates
Jan. 2004 Regular surveillanceCo., Ltd.
Tsumagoi Co., Ltd.
Dec. 2003 Regular surveillance
Toba HotelInternational Co., Ltd. Mar. 2004 Regular surveillance
Haimurubushi Co., Ltd. Mar. 2004 Audit for ISO acquisition

Resource/Waste Group

YAMAHA Environmental and Social Report 2004 11

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Environmental Conservation Activities
Environmental Management

Yamaha factories in Japan
Facilities
Headquarters area
(Headquarters and factory)

Yamaha Electronics Manufacturing
Malaysia Sdn. Bhd.

Semiannually

Kaohsiung Yamaha Co., Ltd.

Annually

Semiannually

Toyooka Factory

Annually

Iwata Factory

Annually

Kakegawa Factory

Annually

Production affiliates in Japan
Frequency

Yamaha Kagoshima Semiconductor Inc.

Annually

Yamaha Metanix Corporation

Annually

Yamaha Music Craft Corporation

Annually

D.S. Corporation

Semiannually

Yamaha Livingtec Corporation(including Yamaha Living Products
Corporation)

Annually

WP Winds Corporation

Annually

Sakuraba Mokuzai Co., Ltd.

Annually

Resort facilities
Frequency

Katsuragi Co., Ltd.

Annually

Nemunosato Co., Ltd.

Annually

Kiroro Associates Co., Ltd.

Annually

Tsumagoi Co., Ltd.

Annually

Toba Hotel International Co., Ltd.

Semiannually

Haimurubushi Co., Ltd.

Annually

FY2003

FY2002

Waste

33

37

Water quality

11

10

Storage of chemicals

9

4

Noise

2

0

Semiannually

Yamaha Music Manufacturing, Inc.

Annually

Air

6

0

PT. Yamaha Musical Products Indonesia

Semiannually

Offensive odors

61

PT. Yamaha Music Manufacturing Asia

Annually

Others

5

4

Total

72

56

Yamaha Musical Products, Inc.

Semiannually

PT. Yamaha Music Manufacturing Asia

Semiannually

PT. Yamaha Indonesia

Semiannually

Case example
Saitama Factory of Yamaha Corporation

Taiwan Yamaha Musical Inst. Mfg.
Co., Ltd.

Annually

Improving the method to fix exhaust fans

Guangzhou Yamaha-Pearl River Piano Inc. Semiannually
Kemble & Company Ltd.

Annually

PT. Yamaha Electronics Manufacturing
Indonesia

Annually

Xiaoshan Yamaha Musical Instruments
Co., Ltd.

Annually

Yamaha Electronics (Suzhou) Co., Ltd.

Annually

Environmental Patrol

Saitama Factory

Items

Number of issues pointed out

Tianjin Yamaha Electronic MusicalInstruments, Inc.

Semiannually

Annually

Facilities

Issues pointed out in the environmental patrol
Frequency

Frequency

Tenryu Factory(including Yamaha Fine Technologies)

Facilities

Facilities

Yamaha conducts an environmental
patrol in June, as the Environment
Month, every year. Internal
environmental auditors from the factories
in Japan and the staff from the
Headquarters’ Environmental Division
are organized into groups and mutually
examine the status of environmental
conservation and environment-related
facilities of other factories.
6 factories in Japan went through theenvironmental patrol on June 5, 6 and 19,
2003.
72 issues were pointed out in FY2003,
which was an increase of 16 over
FY2002. The industrial waste-related
issues command more than 50% of thetotal issues every year, but were reduced
from 37 in FY2002 to 33 in FY2003,
which meant other issues, including
storage of chemicals and offensive odors
increased. Reflecting these issues, thecompany endeavors to improve
environment-related facilities and toprevent environmental pollution.

In the Saitama Factory, the following issues
were pointed out in terms of noise andvibration.
Issues pointed out
The exhaust fans are not well fixed so thatthe outer wall vibrated and generated
noise. Take the necessary measures toimprove the facility.
Corrective measures
The factory examined the two identified
exhaust fans inside the wall, as well as theother fans, and resolved the vibration
problem. It will continue to regularly monitor
and measure the condition of the fans.

Environmental Training and
Education
To promote environmentally friendly
activities proactively in daily operations,
the Yamaha Group provides
environmental training and education toits employees.
Such environmental education isprovided for new employees before they
are assigned to their individual positions.
For rank-and-file employees, management,
and staff in charge of the environment,
general or specialist education is provided
according to the employee’s echelon in theorganization to raise their level ofawareness and knowledge regarding
environmental conservation. In addition,
the Group encourages employees toacquire environment-related official
qualifications or to participate in externalseminars. Furthermore, environmentrelated information is submitted via theEnvironmental
seminar

List of Training Programs held in FY2003
Name

Internal Environmental Auditors
The Yamaha Group devotes its energies
to training internal environmental
auditors to improve the accuracy of theinternal audit and patrol. An internal
environmental auditor training seminar isheld quarterly, inviting lecturers fromauditing/registration institutes. Thus, thecompany cultivates internal
environmental auditors based on an
educational program.
In FY2003, 45 employees werequalified as internal environmental
auditors in Yamaha Corporation and 31
in affiliates in Japan. This means a totalof 545 employees have been qualified
since 1996.

intranet in relation to environmental laws
and regulations, ISO 14001, Greenprocurement standards, andenvironmentally friendly products anddesign. To the suppliers and other relatedcompanies who frequently visit theGroup’s sites, educational opportunities
such as lecture meetings are offered on
topics related to environmental
conservation.

Shuji Ito, president, giving an address atan environmental seminar

General education

Overseas production affiliates

The Yamaha Group conducts internal
environmental audits in each of the
facilities to check the implementation of
the environmental management system.
In FY2003, 45 internal audits wereconducted in total in the 34 facilities,
including production facilities in Japanand overseas and resort facilities. For theissues pointed out by the internal
environmental auditors, corrective
actions were immediately taken in eachfacility. The details of the issues andcorrective actions were communicated toother departments in the same facility.
The Environmental Committee was held
for the cross-sectional improvement of
the whole facility to continuously
improve the environmental management
system.

Specialist training

Internal Environmental Audit

Participants

New employee training

New employees

Product manufacturing seminar

All applicants“Environmental management” course at Yamaha Advanced Skill
SchoolEmployees enrolled in the School“Environmental management” course at Yamaha TechnicalTraining Center

Employees enrolled in the Course

ISO 14001 general training

All employees belonging to the facilities that acquired ISO 14001
certification

Environmental seminar “For the construction of recycling society– realizing zero emission in business”

Directors and all employees

Internal environmental auditor training

Candidates for internal environmental auditor positions

Wastewater treatment facility operation manager training

Operations managers at factory’s wastewater treatment facilities.

Environment-related legislation education

Employees in charge of environment and in the related departments

Zero emission seminar

Employees in charge of environment and in the related departments

Environment-related information system training

Employees in charge of environment and in the related departments

Product/environment seminar on “EU Directive on the Restrictionof the Use of Certain Hazardous Substances in Electrical andElectronic Equipment (RoHS Directive)”

Employees in charge of procurement and in the related departments

Environmental seminar “Yamaha’s efforts for green procurement”

Yamaha’s suppliers and other related companies”Explanatory meeting on green procurement” (overseas
production facilities) Suppliers

Suppliers“Explanatory meeting on Corporate Forest”

Employees in charge of lumber procurement and design engineers

The Yamaha Group believes that it isimportant to disclose information to the
public about our efforts toward
environmental conservation. Based on
this belief, we try to communicate withsociety through a wide variety ofchannels.
The factory headquarters holds anenvironment seminar together with apiano factory tour for junior and seniorhigh school students. The factory also
explains its environmental efforts
individually to the elementary and juniorhigh school students who visit the factoryin the class for integrated study.
In addition, employees of Yamaha areoften invited as guest lecturers on
environment at the seminars of otherorganizations.
Yamaha’s factories give importance tocommunication with the local
community and have explanatory
meetings or social gatherings about
environment-related information. One
example is the Toyooka Factory, which
invites local residents every year tofactory tours and social gatherings,
where employees play musicalinstruments, provide an explanation ofenvironment-related information, andinvite residents to share their opinions.
Information about these activities isdisclosed in the Environmental Report,
which has been issued annually since
2000, and on the web site. The Annual
Report and Fact Book also includes suchinformation, as well as the vision andstatus of businesses and financial
information.

“An Illustrated Guide to Trees Used for Musical Instrument” and“Senju-en” to Highlight the Value of Raw Materials for Employees
The Yamaha Group inserts a serial story named “An Illustrated Guide to Trees Used for
Making Musical Instruments,” which gives detailed explanations about the woods used inmusical instruments, into the Yamaha Group magazines, “The World of YAMAHA” (English)and “Symphonia” (Japanese) Yamaha’s Tenryu Factory has “Senju-en (the garden of athousand woods)” on its premises, where a variety of woods are planted and most of them
are used in Yamaha products. It tells us the character and growth conditions of the woods
we use and what the raw materials for musical instruments look like in their original form.
This helps to raise the awareness of the employees, so that they can take good care of the
raw materials.

Environmental seminarfor junior and senior highschool students

Social gathering with local residents(Toyooka Factory)
Senju-en

TOPICS
Tianjin Yamaha Electronic Musical Instruments Awarded Environmental Prize

Checking the drain ditch (atHeadquarters)
Internal environmental auditor training seminar
Checking the PCB storage
condition (in the Kakegawa
Factory)

Tianjin Yamaha Electronic Musical Instruments was awarded the prize “Excellence in Environmental
Conservation in 2003” by the Tianjin Economic-Technological Development Area.* The company’senvironmental conservation activities based on the ISO 14001 standard were positively evaluated, and thecompany has won the prize for three consecutive years. At the same time, Ms. Liu Yan Hong, staff incharge of ISO at the quality assurance department, was awarded the “Excellent Contributor toEnvironment” prize.
* The Tianjin Economic-Technological Development Area is a special economic zone established with the approval of the StateCouncil of the People’s Republic of China. Tianjin Yamaha Electronic Musical Instruments is located in this area.

12 YAMAHA Environmental and Social Report 2004

Environmental Communication

Mr. Zhao Jian Bo, quality assurance manager,
holding the prize cup for “Excellence inEnvironmental Conservation in 2003” (on the left)
and Ms. Liu Yan Hong, staff in charge of ISO at
the quality assurance section.

YAMAHA Environmental and Social Report 2004 13

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Environmental Conservation Activities

Producing Environmentally Conscious Products
To reduce the environmental impact on the total society and to recycle resources, producing environmentally conscious products
is an important challenge. We focus on the reduction of hazardous chemical substances, saving energy and resources, and theimprovement of efficiency in recycling, when we develop and design products.
Product’s Lifecycle
Assessment (LCA)
LCA is an effective evaluation method
for promoting environmentally conscious
design in view of the total lifecycle of the
product, including material procurement,
production, transport, use, and disposal.
Yamaha started preparation in FY2002
and implemented LCA for the
representative products in AV/IT.
Environmental impact in every stage ofthe lifecycle from production of materials
to assembly and disposal is converted to
the volume of CO2 emissions forassessment. As a result, it was found thateach product has its own characteristics.
For example, one product's environmental
impact mainly occurs in the material
production, but another’s occurs mostly
during use. This is an important tool forenvironmentally conscious design. We
would like to expand the number of
products LCA applies to and fully utilize
the system to develop environmentallyconscious products.
Comparison of CO2 Emissions at
Each Stage of the Lifecycle
Material production
Transportation

Assembly
Use

DisposalRouterMore environmental impact
during use
The reduction of power
consumption is important

SpeakerMore environmental impact in thematerial production process
The selection of propermaterial/components isimportant

AV amplifierMore environmental impact
during use followed by thematerial production process
The reduction of power
consumption and standby
energy and selection of propermaterial/components isimportant

14 YAMAHA Environmental and Social Report 2004

Controlling Chemical Substances
Contained in Products
The Yamaha Group defined the‘Standards for Chemical Content in
Products’ in February 2003, and has
controlled chemical substances containedin products in the product development
and design processes according to thestandard to secure compliance with law
and to reduce the environmental impact.
In March 2004, the Group issued thesecond edition of the ‘Standards for
Chemical Content in Products’, after
examining the additional information
about environmental laws andregulations in various countries of theworld. The Standard is defined withreference to the guidelines of the Japan
Green Procurement Survey
Standardization Initiative (JGPSSI)(Secretariat: Japan Electronics
Information Technology Industries
Association) and includes the substances
subject to the EU Directive on the
Restriction of the Use of
Certain Hazardous
Substances in Electricaland Electronic
Equipment (RoHS) andthe special items definedby the Yamaha Group.
The Group will perfect
the compliance withThe Second Edition of
RoHS Directive by thethe ‘Standards for
Chemical Content in
end of FY2005.
Products’Promoting Green Procurement

In order to control chemical substances
contained in a product, it is mostimportant to control chemical substances
contained in the components andmaterials to be incorporated in the
product.
The Yamaha Group asked forsuppliers’ cooperation and started
research about components and materials
from June 2002. From FY2003, theGroup conducted research on almost all
suppliers in Japan and overseas. It aims
at confirming, as an immediate objective,that the six
substances
specified in RoHS
Directive are notcontained in any
component ormaterial of the
products subject Explanatory Meeting on Green
Procurement in Taiwan
to the Directive.

The Formaldehyde Reduction Project

Formaldehyde is often contained inadhesives used in wood products and its
relation with sick building syndrome(indoor air pollution) is suspected.
Yamaha has endeavored to reduce theuse of formaldehyde voluntarily in the
production process.
The Formaldehyde Reduction Project
was organized by staff from thedevelopment, technology, and sales
departments in July 2003, and acompany-wide effort has been made to
reduce the use of it. As a concrete
objective, the Yamaha Group aims at
reducing the emissions from the target
products to less than half of the 2003
model by July 2006.

Case example
Electone and STAGEA™

Case example
The High-efficiency MX-D1 Digital Amplifier

Realizing Long Product Life byUnitization of Components

Realizing Both Low Power Consumptionand High Power

Eliminating Lead from Solder

By adopting Yamaha’s proprietary LSI, theMX-D1 digital amplifier realizes both a highpower (500 W + 500 W (4 to 8 Ω)) rated
output and a low distortion rate of 0.002%(at 1 kHz/8 Ω/10 W). Electricity consumed
by the power amplifier is reduced toapproximately 30% of the conventional
analog amplifier. The standby power
consumption is kept as low as 0.1 W or less.

The Yamaha Group started producing wind
instruments using lead-free solder in 2003.
Parts of our trumpets and flutes are now
completely free of lead solder.
To attain this, we studied for many years
and finally succeeded in developing aproprietary lead-free soldering technique,which maintains traditional sound quality
and product quality.
This success was exhibited at the NAMM
Show, a musical instrument trade show
held in California, USA in January 2004,
and MusikMesse, an international musicalinstrument exhibition held in Frankfurt inMarch 2004.
The Group plans to produce all wind
instruments using the lead-free soldering
technique and to set up an after sales
service network by December 2005.
The Group is also continuously
promoting lead-free soldering inelectric/electronic products. In particular,
almost all flow soldering processes using asoldering bath have been replaced by leadfree soldering in the production of newmodels of AV equipment. We will apply thistechnique to other products, including thereflow soldering process using solder
cream in the future. The Group is planningto complete the application of thistechnique to all the products specified in
EU RoHS Directive by the end of FY2005.

Electone is an electronic musicalinstrument with upper and lower keyboards
and pedals, which allow the musician toplay the melody, harmony, and rhythm at
the same time and has thus become
pervasive. Since its introduction into themarket in 1959, Yamaha has sold morethan 4.6 million units in total all over theworld.
A new model, “STAGEA™,” was put on
the market in March 2004. As components
were unitized in this product, thereplacement of keyboards or the additionof a sound generator board has become
extremely simple. It enables an upgrade of
the product without purchasing acompletely new product. In addition, it canbe disassembled into separate units, sothat it will save space when stored ortransported.

The Yamaha Group attaches highimportance to realizing energy andresource saving in products as a part ofmeasures against global warming and for
global resource protection. It hascontinuously tackled this as a priority
issue in the product development stage.
As a result, it has realized highefficiency in power amplifiers byadopting a digital circuit in FY2003(approximately twice the efficiency of
analog amplifiers) and reduced standby
power consumption in home theater
products by adopting a dedicated circuit(0.1 watt or less). Another example ofresource saving is the development of the“Silent Bass” realizing both energysaving design and downsizing.

Case example
Musical instruments

Promoting the Substitution ofRare Wood Species
Some tonewoods used in musicalinstruments are not grown in plantations
and so are becoming rarer. While the
Yamaha Group is enthusiastic about
creating good instruments, it is also acutely
conscious of resource protection. It tackles
the challenge of developing new materials
and substituting them for rare resources,
steadily producing good results.
For example, the Group developed theebony-like natural wood, WPC* processed
mansonia wood, as a substitute for theebony used in the black keys of a piano. It
also promotes the substitution of“Acoustalon” fiber-reinforced plastic for the
Honduras rosewood used in marimbas.

Formaldehyde Emission Measurement Chamber

STAGEA™

Saving Energy and Resources

MX-D1

Case example
Wind Instruments and Electric/Electronic Products*WPC stands for Wood Plastic Composites. It is a processing
technology where plastics are filled between the tissues of wood toharden it.

A Trumpet Produced with Lead-Free Soldering
Rear panel: 0.6 kg
Upper rear frame: 3.4 kg

Case example
The SLB-200 Silent Bass

Pursuing the Reduction of Wood
Consumption and Saving Energy
Keyboard unit: 37.0 kg

Side frame (left): 9.2 kg

Lower rear frame: 3.4 kg

Side frame (right): 9.2 kg

Speaker unit: 19.5 kg

Side cover (left): 0.2 kgSide cover (right): 0.2 kg

Pedal unit: 17.0 kg

Disassembled units

The SLB-200 Silent Bass is a
product where the concepts ofdownsizing and energy saving are
pursued. Its compact design andimproved efficiency in using
lumber has substantiallyreduced theconsumption of wood
as a raw material.
Volume is reduced toapproximately 60%
and weight toapproximately 70%
compared with theconventional model.
High efficiency in theelectric circuits havedramatically improved
SLB-200
the continuous
operating time from 12hours in theconventional model to
as long as 350 hours.

Presentation board explaining the lead-free soldering(at MusikMesse)

YAMAHA Environmental and Social Report 2004 15

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Environmental Conservation Activities

Environmental Conservation in Production
To reduce the environmental impact, the Yamaha Group makes continuous efforts in reducing generation of wastes, recycling
wastes, preventing global warming by saving energy and controlling chemical substances.

Zero Emissions* Efforts
The Yamaha Group promotes a zero
emissions initiative to effectively utilize
wastes as resources and to address theshortage in capacity of waste disposal
facilities.
Yamaha established a zero emissions
promotional organization and started
activities to achieve it in each factory in
September 2003. The organization
introduces the activities of Yamaha
Kagoshima Semiconductor, which has
already achieved zero emissions in theGroup, and organizes an investigation
tour to other advanced companies, whichhave achieved zero emissions, to deepen
the knowledge and understanding of it,
while starting concrete efforts to achieve
it within Yamaha. We minimize waste
generation by recycling unnecessary
materials in each facility and studies
separation methods before recycling andusage of recycled materials.
At the same time, we work out
company rules to promote recycling ofwaste.
We have established a company rulethat defines the method of discarding
fixed assets including electric home
appliances and information devices; weshould not destroy the asset but should
hand it over to the recycling industry as itis, to help recycling and reuse.
Based on the above efforts, Yamaha
aims at achieving zero emissions in all
factories by the end of December 2005.
*The Yamaha Group defines “zero emissions” as the state where thevolume of final disposal in a landfill is 1% or less of that of total waste
generation.

Case example
Yamaha Metanix Corporation

Reclaiming Wastes into RPF for Reuse
Yamaha Metanix Corporation started toreclaim back ropes (ropes to prevent
scratches; annual volume of disposal 2.32
tons), which have been disposed of in alandfill, into recycled plastic fuel (RPF). The
thermal recycling of used back ropes isrealized through a PRF manufacturer,
resulting in reduction of industrial wastes
disposed of in a landfill and waste
treatment cost. As RPF is high-calorie andclean fuel, it is effective for resource saving,energy saving and reduction of CO2
emissions.

Back rope

Recycle plastic fuel (RPF)

Case example
Kiroro Associates Co., Ltd.

Producing Fertilizer from Food Waste to
Reduce Waste and Recycle Resource
Yamaha Resort “Kiroro™” is located in
Hokkaido and consists of skiing areas anda hotel. It obtained ISO 14001 certificationin 2002 and has produced successful
results in reducing and recycling foodwastes since then.
The resort introduced a raw garbage
recycling/treatment system and produces
high-quality fertilizer from food waste fromthe kitchen. The fertilizer is used in theresort’s farm to grow vegetables, which is
cooked in the hotel. Thus, it has tackled therecycling of resources. The effort produced
good results, and the farm reaped a richharvest of high-quality vegetables including
pumpkins, potatoes and corn in FY2003.
The harvested vegetables are cooked by
top-ranking chefs and served to hotel
guests.

Preventing Global Warming by
Energy Saving
To prevent global warming, the facilities
in Japan and overseas of the YamahaGroup endeavor to reduce CO2 emissions
by drawing up concrete programs to saveenergy.
An example is a shift in the air
conditioning method from a centrally
controlled system, where the temperature
is kept constant within a facility, to anindividually controlled system, where
each block can set the temperature. It
enables careful control of the temperatureand thus saves energy.
Each facility introduces energy
efficient models when the equipment has
to be replaced or replaces a large-sizedboiler with a small-sized one.
Reducing Water Consumption andReusing Wastewater
The Yamaha Group has been recycling
wastewater from the production
processes since the early 1970’s. In
FY2003, the Group reused 127,000 m3
out of total water consumption of 2.84
million m3.
Case example
Yamaha Kagoshima Semiconductor Inc.

Promoting Recycling Water by
Replacing the System
Yamaha Kagoshima Semiconductor Inc.
totally replaced the wastewater treatment
system in FY2003 to increase the treatment
capacity. As a result, approximately 70% of
the total waste from the production
processes can be recycled, and water
consumption is reduced. The volume ofsludge generated in the treatment process
is reduced to 60% of the conventional
system, which, we believe, contributes to a
reduction of industrial waste.

Wastewater treatment system

Panels explaining the cases of recycling

Chefs cooking vegetables

To protect the ozone layer, the YamahaGroup had totally phased out the use of
specific CFCs* by the end of 1993.
Since then, the Group has studied thepossibility of reducing CFC substitutes(HCFC) used in one Yamaha factory anda production subsidiary. In FY2003, the
CFC substitutes used amounted to 1.9
tons, which had leveled off from
FY2002. By the end of FY2004, all CFC
substitutes will be replaced by substances
other than CFCs and therefore will betotally phased out.

Reducing Emissions of PRTR-specified
Substances by Changing the Types of Paints
Yamaha Livingtec Corporation replaced thepaint used on materials for household
equipment and on flooring with paint that
does not include PRTR-specified
substances like toluene and xylene assolvents or does not include any solvent at
all. This reduced the emissions of the
PRTR-specified substances by 37%(equivalent to 10 tons) compared to
FY2002.

Responding to the PRTR Law*
The PRTR Law imposes upon eachfacility the duty of reporting to theauthorities of the region where thefacility is located the volume of 354
PRTR-specified substances released into
the environment in and after FY2001.
In FY2000, the Yamaha Groupcalculated the amount of PRTR-specified
substances released during FY1999.
Since then, the Group has endeavored toreduce the amount released. As a result,the volume released to the environment
was reduced to 145 tons in FY2003,
down 6 tons from the previous fiscal year.
*PRTR stands for Pollutant Release and Transfer Register. The PRTR
law is an abbreviation of the Law Concerning Reporting, etc., of
Releases to the Environment of Specific Chemical Substances andPromoting Improvements in their Management.

Case example
Tenryu Factory of Yamaha Corporation

In FY2002, the Tenryu Factory introduced aregenerative exhaust gas treatment system
to remove volatile organic compound(VOC*) elements contained in exhaust gas
from the product’s painting process. The
system removes 98% of VOC elementsfrom PRTR-specified substances including
styrene andtoluene. In
FY2004, thesame system isplanned for
introduction
into the otherpainting
process.
*VOC stands for Volatile
Organic Compound.

16 YAMAHA Environmental and Social Report 2004

Case example
Yamaha Livingtec Corporation*Specific CFC and CFC substitutes: Chlorofluorocarbon (CFC) is a
generic name for chemical compounds where at least one hydrogen
atom of a hydrocarbon is replaced with fluorine atoms. Specific CFCs
mean those that are identified as major factors in ozone layer
depletion and the total phase-out of which are required by the Law
Concerning the Protection of the Ozone Layer through the Control ofSpecified Substances and Other Measures. CFC substitutes are
CFCs containing hydrogen in their molecules. Their ozone depleting
potential is considered to be comparatively low, and they often
substitute for the specific CFCs.

Introducing a Regenerative Exhaust Gas
Treatment System

Presentation meeting about zero emissions

Harvesting the resort’s farm

Reducing CFC substitutes*

Kitchen units coated the paint that does not include PRTRspecified substances

Groundwater Pollution and
Purification
In two facilities and one subsidiary of the
Yamaha Group, groundwater pollution
was detected in 1997. Since then, theGroup has continued purification efforts.
We would like to explain the backgroundand the current status as below.
In January 1990, the Yamaha Group
totally abolished the use of chlorine
organic solvents (trichloroethylene andtetrachloroethylene) that had been used
for cleaning components of pianos andelectronic materials.
In 1997, when the environmental
quality standards for groundwater were

formulated, we conducted a voluntarysoil/groundwater contamination
investigation in all factories andsubsidiaries that have used thesematerials in any way. As a result, it was
revealed that the headquarters’ factory(Hamamatsu city, Shizuoka) and the
Toyooka Factory (Iwata-gun, Shizuoka)
of Yamaha Corporation and Yamaha
Metanix Corporation (Iwata city,
Shizuoka) had soil/groundwatercontamination.
In response to the result, the Group
reported the fact to Shizuoka Prefecture
and local authorities, voluntarily
announced the result in newspapers andother media, and held explanatory
meetings for local residents in 1998. It
also started purification of the soil withthe vacuum suction method andpurification of groundwater with the
pumped water aeration method. The
purification of the soil was completed in
2000, while the purification ofgroundwater is continuing.
As of the end of FY2003, groundwater
purification advanced to the level where
it met the standard value in the Toyooka
Factory and Yamaha Metanix
Corporation, but purification iscontinuing. The level of purification
came close to the standard value in theheadquarters’ factory, which iscontinuing purification for further
improvement.

Purification system

TOPICS
Efforts toward symbiosis with nature—Tsumagoi
In 2003, Yamaha Resort Tsumagoi™ determineda new management policy to become a resort
facility that realizes symbiosis with nature.
Investigation revealed that 536 species of plants
grow naturally and 47 spices of birds and 61
species of insects live on the premises of the
facility. This includes Gastrodia pubilabiata andCalanthes, specified as endangered species by
the Ministry of the Environment, and goshawks,
specified as a natural treasure. It is confirmedthat a rich natural environment isconserved on the premises.
Yamaha Resort Tsumagoi™ wants tobecome a facility that can offer
experiential activities in nature to anumber of people either in the form offamily recreational activities or a part ofschool education, while conserving thenatural environment and protecting
animals and plants.

Biotope in the premises

Regenerative exhaust gas
treatment system

YAMAHA Environmental and Social Report 2004 17

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Environmental Conservation Activities
The Yamaha Group takes into account the impact the packaging and distribution processes have on the environment, including
increased waste by the use of packaging materials in product distribution to customers and CO2 emissions through transportation.

Improvement of efficiency byconsolidated transportation

Case example
Yamaha Livingtec Corporation

Utilizing “Green Containers” andReturnable Packaging Units
Yamaha Livingtec Corporation introduced
the use of “green containers,” a simplified
packaging and transportation method, in
FY2000. By loading all facility components
required by a construction site on a rack
specially designed by the company, thevolume of corrugated cardboard used forshipping was significantly reduced to 25%
compared to the conventional way ofpacking all components one by one.
Utilization ratio of the “green container”
method in prefabricated bath products wasmore than 40% in FY2003.
We will further expand the category of
products the method is applicable to in
FY2004. In February 2004, the company
developed a “returnable packaging unit” forkitchen sink cabinets, which is made ofwaste paper and enables repeated use up
to 20 to 30 times, in collaboration with
Asahi Kasei Homes Corporation. The
material becomes flat when unpacked sothat the volume during collection andstorage is significantly reduced, thus
requiring no large space for those
purposes. Even after repeated use, thematerial can be recycled again to be reborn
as a new returnable packaging unit.
In the conventional packaging method,
approximately 25 kg of cardboard wasused per set of cabinets and disposed by abuilder at the construction site. By adopting
the reuse of returnable packaging units andby using the collection system of Asahi
Kasei Homes Corporation, cardboard
wasted at construction sites can be
reduced by approximately 250 tons perannum in total.
The unit was introduced in Kansai area in
April 2004, and expansion to nationwide
operation is planned.

Routes of returnable packaging units

Transportation by chartered truck

Yamaha Livingtec Corp.

Asahi Kasei Homes Corp.

Distributor

Production line (packaging)
Company B

Company A

Distribution to theconstruction site

Delivery

YamahaUnpackingStorage

Distribution center

Destinationof A

Cleaning/checking/mendingof the collected unit

Consolidated transportation
under cargo control

Stocked until a
specified volume
is collected

Returning the
packaging unit

Unable to reuse
To material recycling,
thermal recycling, etc.

Distributor
Improving load efficiency
Company B Company A Yamaha

Pursuing Quality in Products
Quality Management System to Assure
High Quality

The Yamaha Group has a quality
management system headed by thepresident to give first priority tocustomer satisfaction and to produce
products that can respond to therequirements from customers. Eachdivision is responsible for its productquality under its own quality
management system. On the other hand,
the Quality Assurance Division monitors
the quality of the products manufacturedby the divisions in accordance withquality standards that the Yamaha Groupshould maintain. The supports eachdivision to establish and strengthen its
quality management system.
Each division and the Quality
Assurance Division liaise closely witheach other to develop employee
awareness to thoroughly ensure (1) thereflection of customer requirements in
products, (2) safety, (3) compliance withrelated laws and regulations, and (4)prevention of the recurrence of inferior
quality in the product planning, design,and production processes. We arecommitted to offering safe, high-quality
products by thus securing product safety
and accumulating and utilizing thetechnologies and know-how to realize therequirements from customers.
It is our fundamental commitment that
we do not produce any defect that may
threaten product safety. We alsoendeavor to prevent it proactively in thedevelopment/design and production
processes. If any defect should be foundin a product that is already on the market,
the quality assurance manager would callan emergency committee meeting andpromptly take measures, including anannouncement to customers and recall of
the product.
Quality Assurance Structure

Reducing the number of cars

Collaboratively developed returnable
packaging unit

Returnable packaging unit (stored on arack)

Quality Committee
Quality Assurance
Division

Destinationof B

Destinationof A

Complying with the Safety Standard

It is a fundamental principle for
manufacturers to observe the safety
standards applicable to the product. The
Yamaha Group has established a systemthat ensures compliance with laws andregulations so that customers are able touse the products safely.
The Quality Assurance Division
gathers information about safety
standards for electric/electronic productsin the world and verifies whether the
Yamaha’s products are compliant withthe applicable standards. The Divisionalso compiles a database of theverification results and has built a system
where the Group’s companies in theworld can promptly confirm via a
network which product is compliant withwhich standards. In addition, our EMC
laboratory has been certified by ETL
SEMKO* in FY2002, and we are now
able to evaluate compliance for EMC of
products within the company.
We have prepared the “Indication
Guide” that defines the standards for thedescription of product safety andoperation manuals. The Group’s
companies provide
appropriate labelingaccording to theguide.

Warehouse of
YamahaEnhancing the Customer Support
SystemThe Yamaha Group offers consultations
on products, systems, and services foreach product category to provide firstclass services for the customers as wellas to reflect their opinions in the future
product development.
One good example of this first-rateservice is the Musical Instrument
Information Center. In FY2003, it
extended the operating days and hours;
started new consultation for the winds,
strings, and percussion instruments; andupgraded the Computer TelephonyIntegration (CTI) system.* The
information service via the Internet has
also been enhanced to most respond to email inquiries within the same day. As aresult, we can now respond to inquiries
faster and with delay and to provide more
precise answers. The information from thecustomers is compiled in a database to be
utilized in the future product development
as well as to make improvements on
product and service quality.
*CTI system is a customer service system where telephones andcomputers are integrated.

Indication Guide

Acquiring the International Standard
ISO 9001 Certification

The following divisions of the YamahaGroup acquired ISO 9001 certification,
an international standard for productquality assurance and quality
management. The Group endeavors tocontinuously improve and strengthen
product quality as well as the quality
management systems.

(Constituent members:
Quality assurance
manager, head of thequality assurance sectionof the division, and thehead of the related
administrative department)

Product-related
Division

Product-related
Division

Quality assurance
sectionQuality assurance
sectionQuality assurance
sectionAffiliates
Registration
Date
Certificate
AquiredNumber29-Mar-94
Yamaha Kagoshima Semiconductor Inc. JQA-0448
Facility

04-Oct-95

FA Division, Yamaha Fine Technologies
JQA-1614
Co., Ltd.

28-Feb-97

Yamaha Metanix Corporation

JQA-1963

14-Nov-97

PT. Yamaha Musical Products
Indonesia (Indonesia)

Q1191502-Feb-98(As of April 31, 2004)

D.S. Corporation

JQA-2167

20-Feb-98

YAMAHA Corporation

P.T. Yamaha Electronics Manufacturing
Q14502Indonesia (Indonesia)

14-Oct-98

Yamaha Electronic Manufacturing (M)
Sdn.Bhd. (Malaysia)

AR042008-Mar-99

Guangzhou Yamaha-Pearl River Piano
Inc. (China)

60895

10-Sep-99

Yamaha Music Tokai Co., Ltd.
(Hamamatsu Branch)

Acquisition of ISO 14001 Certification

Semiconductor Division

Registration
Date
Certificate Aquired
Number
JQA-0862
28-Apr-95

Piano Division

JQA-1549

String Guitar and Percussion Division

JQA-QM4278 21-Jan-00

0005398

23-Jun-00

AV / IT Business GroupJQA-0381

Sound and Proofing Division

JQA-QM5802 22-Dec-00

Toba Hotel International Co.,Ltd.

20069502-Aug-02

Band & Orchestral Instruments Division

JQA-QM6245 9-Mar-01

Yamaha Music Kanto Co., Ltd.

72296

28-Aug-00

Car Parts Division

JQA-QM8474 5-Jul-02

Kiroro Associates Co.,Ltd.

CI/188108-Jan-01

Tsumagoi Co.,Ltd.

CI/2606

30-Oct-01

Xiaoshan Yamaha Musical Instrument
Co.,Ltd. (China)

0201035

06-Mar-02

17-Jan-97
1-Sep-00

PA/DMI Division

Product-related
Division

Musical Instrument Information Center

Taiwan Yamaha Musical Inst. Mfg. Co.,
4T2Y001-00
Ltd. (Taiwan)(Including PT.Yamaha Music Manufacturing00593-2002
Asia, Kaohsiung Yamaha Co., Ltd., Xiaoshan
Yamaha Musical Instrument Co.,Ltd.)

18 YAMAHA Environmental and Social Report 2004

Promise toSociety*SEMKO: A testing and certification body authorized by the EU that
evaluates the safety of electrical products.

Division

President

Conventional packaging material

Reducing thetotal mileage

Promise to Those
Who Work with Yamaha

Promoting Product Risk Management
Distributionof the units

Warehouse of
YamahaPromise toShareholders

The Yamaha Group is committed to offering quality products and services for full customer satisfaction. We endeavor to assure safety andimprove the quality of our products, while pursuing comfort and convenience to respond cautiously to the customer requirements and expectations.
We offer information, services, and opportunities, as well as after-sales support at home and abroad, to realize enjoyable use of the products.

Construction site

Reuse
Destinationof B

Promise to
Customers

Promise to Customers

Environmentally Friendly Packaging and Distribution
Efforts for Packaging Material
and Distribution
The Yamaha Group adopted the use offutons (comforters) as cushioning
materials when packing grand pianos in
the 1960’s. This enables repeated reuse
and prevents generation of waste at thetime of delivery, thus reducing the
packaging materials compared with thepast.
For the distribution process, the Groupbuilt a supply chain management (SCM)
system and established a consolidated
transportation system to improve
efficiency in transportation. In addition,
the Group has made a continuous effort
to increase the use of Japan Railways
containers and ferryboat transportation
since FY2001 thanks to the cooperationof distributors.

Environmental
Conservation

Introduction

19-Sep-02

Material & Component Development Center JQA-QM9731 20-Mar-03

Yamaha Livingtec Corporation (Including
JUSE-RA-748 20-Jan-03
Yamaha Living Products Corporation)
Yamaha Sound Technologies Inc.

JBC4002129/J 03-Apr-03

YAMAHA Environmental and Social Report 2004 19

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Customers

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Shareholders
The Yamaha Group is committed to transparency and the highest standard in corporate management to ensure sound businessperformance and to distribute profits among shareholders accordingly. We also proactively disclose a variety of information about
corporate management. Through these efforts, we will further increase the understanding and satisfaction of our shareholders.

Communicating the Enjoyment ofPlaying Musical Instruments to as
Many People as Possible
Yamaha is willing to serve all music
lovers as well as our users. Based on thisidea, we support an improvement in theenvironment for practicing musicalinstruments and the development of
performing technique, while offering avariety of services to provide
opportunities to play musical instruments
for as many people as possible.

Music School for Seniors“Music Lessons for People
Over 50”This is a new style of musical instrument
lessons for senior beginners. All
instruments are prepared in theclassrooms, and students can participate in
the lesson without the need for carrying
their own instruments. This allows them tolearn music very informally.
In 2003, 40% of the total number ofstudents in all Yamaha Music Schools for
adults, including the “Music lessons forpeople over 50” program were 40 years old
or older.

Soundproofed Productsthat Enable Playing at Home
Yamaha developed the Silent Series ofmusical instruments and the Avitecs
soundproof room. The Silent Series
enables users to play musical instruments
freely even in apartments andcondominiums, as they do not produce an
audible sound except through headphones.
In FY2003, new models of pianos andcellos were added to the Silent Series.

Supporting Realizationof a Dream“Fathers’ Private Recital”

Yamaha’s Original Products to
Communicate the Joy of Playing
Music to Everyone
Yamaha develops and provides productsthat enable anyone to enjoy playing musicalinstruments very casually. EZ-EG is aunique, user-friendly guitar that illuminates
and incorporates a number of music dataand indicates the fingering position on thestrings while playing accompaniment. The
Music Table is a table incorporating padson the surface. Simply by patting the pads,
a variety of sounds, including musicalinstruments and voices of animals, arereproduced. It can be used as an ensembleor as a game.

Yamaha wants to offer substantial
presentation opportunities for middle-aged
male musicians and support the dream ofplaying in a concert hall or holding a recitalof their own.
A recital was held in Yamaha Hall in
Ginza, Tokyo, on November 15, 2003. Only
the families of the players were invited toattend. Fathers aged from 35 to 75 played
their favorite pieces on a variety of musicalinstruments.

EZ-EG“Music lessons for people over 50”

Securing Transparency and
Improving Quality in Corporate
Management
Yamaha has adopted an auditing system
to secure transparency in corporate
management, where auditors monitor andaudit the management and the Board of
Directors. The company has established a
Corporate Auditor’s Office as anadministrative team for auditors and an
Auditing Division to audit the businessexecution of all companies in the
Yamaha Group.
In FY2003, to further strengthen thetransparency and business monitoring
capability of the Board of Directors,
Yamaha invited a director and two
auditors from outside the company. As ofJune 2004, the company has eight
directors, including two representative
directors and one outside director. It has
four auditors including two outside
auditors.
As for the personnel assignment of
directors, candidates for directors,
auditors, and executive officers shall beselected after the Corporate Officer
Personnel Affairs Committee, consistingof all directors, thoroughly examines
each assignment to enhance transparency
and fairness.
The company introduced an executive
officer system in FY2001 so that theBoard of Directors can concentrate on
developing management strategies andmanaging business execution, in order topursue the highest standard in corporate
management. This means separation of
the managerial functions and thebusiness execution functions, which
enhances corporate management basedon consolidated accounting, speed up thedecision-making process of the Board of
Directors and strengthen businessexecution. The company has twelve
executive officers including one senior
executive officer.

Financial Strategies
Establishing ADR*1 program

Yamaha established a Level 1*2
American Depositary Receipts (ADRs)
program in July 2003, to expand the baseof new investors through over-thecounter (OTC) dealings in the UnitedStates (shares unlisted) and to increase
Yamaha brand recognition.
This enables OTC trading of ADRs
representing Yamaha stock, increasing
convenience for foreign investors living
outside Japan.
The Level 1 of the ADR program does
not require disclosure of accounting
information to the SEC (Securities andExchange Commission) in the U.S.
standards. Therefore, the accounting
standards Yamaha adopts will notchange.
Description of the ADR Program
1. Type of ADR program: Sponsored*3 Level 1 ADR
Program
2. Effective date: July 7, 2003
(at 9:00 a.m., U.S. Eastern Standard Time)
3. Ratio: 1 ADR = 1 ordinary share
4. U.S. security code: (Cusip) 984627 10 9
5. Depositary bank: Deutsche Bank Trust Company
Americas
6. Local custodian bank: Sumitomo Mitsui Banking
Corporation

Interest-bearing debt

(unit: million yen)

103,304
96,166

88,16790,43654,036*1 ADRs are U.S. dollar-denominated negotiable inscribed
instruments issued in the United States by a foreign company inplace of ordinary shares.
*2 Level 1 ADR program: Level 1 is not for public offering but theshares can only be traded on the OTC market. Level 2 requires
disclosure of financial information under the U.S. accounting
standard. ADR functions as an acquisition currency in M&A in the
U.S. Level 3 means listing on a stock market and issuing shares toraise capital becomes possible.
*3 Sponsor: A bank with which the company has a stock deposit
agreement and that issues ADRs. Yamaha’s sponsor is Deutsche
Bank Trust Company Americas.

Consolidated

48,871
31,576

31,457

31,573

Unconsolidated

19,128FY1999 FY2000 FY2001 FY2002 FY2003

Shareholders’ equity ratio
Setting a Limit to Repurchase Treasury
Stock

Yamaha set a limit to repurchase treasury
stock in FY2003 pursuant to theprovisions of Article 210 of theCommercial Law to enable expeditious
implementation of financial strategies
responding to the change in the
management environment.
Description of the Limits

People enjoying the Music Table

Securing Sound Business
Performance and Financial Standing
For business performance in FY2004, weare going to apply fixed-assetimpairment accounting ahead ofschedule, which should be in place by
FY2005, and expect the fixed-asset
impairment loss to be approximately 32.0
billion yen. The net income, however,will be secured by the profit gained fromreturning the substitutional portion of theemployees’ pension fund to thegovernment and the profit on sale ofassets in addition to ordinary businessprofits.
As for financial standing, we are
reducing interest-bearing debt bydebenture redemption and othermeasures. The balance of interest-bearing
debt in real terms, less cash bankdeposits amounted to 16.8 billion yen asof the end of FY2003, down 29.1 billion
yen from the previous year. As a result,the shareholders’ equity ratio has become
51.1%.

1. Type of share repurchased: Yamaha ordinary share
2. Total amount of shares repurchased: 20 million
shares (upper limit)
3. Total amount of the share value: 30 billion yen(upper limit)(unit: %)Consolidated

50.5%

53.4%
47.6%

46.3%

42.1%

Unconsolidated

51.1%

41.8%

40.8%

39.6%
37.7%

FY1999 FY2000 FY2001 FY2002 FY2003

Total assets
543,088522,486

Fathers’ private recital(unit: million yen)509,663

512,716

347,499
307,476

298,578

Consolidated

508,731
Unconsolidated

295,861

337,029

Silent celloFY1999 FY2000 FY2001 FY2002 FY2003

20 YAMAHA Environmental and Social Report 2004

YAMAHA Environmental and Social Report 2004 21

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Shareholders

Environmental
Conservation

Introduction

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Those Who Work with Yamaha
The Yamaha Group can conduct business only with the cooperation of employees, temporary staff, cooperative factories,
authorized dealers, and the many other people working with us. We are committed to making every effort so that these people
are able to exhibit their utmost abilities, grow together, and become affluent together.

Distributing Profits Among
Shareholders via Stable Dividends
As for profit distribution, our basic
policy is to pay stable dividends while
endeavoring to strengthen the
management base and improve return on
equity (ROE). Retained earnings will be
used for investment into research anddevelopment, capital investment, and the
expansion of future business withconsideration of our businessperformance and financial standing.
Basic net income per share(unit: yen)
Consolidated

210.63
Unconsolidated

123.38

86.65

64.50
46.90

36.95

FY1999 FY2000 FY2001 FY2002 FY2003-49.75-122.65-178.18-197.45

Diluted net income per share(unit: yen)

Consolidated

196.01

Unconsolidated

118.36
77.32
61.84
45.77

– –
FY199936.33– –FY2000 FY2001 FY2002 FY2003

Yamaha’s Social Efforts Held in High
Esteem by SRI Evaluation
Organizations in Japan and AbroadSocially responsible investment (SRI)
means taking into account a company’ssocial responsibilities, including theirefforts in environmental conservation,
contribution to society, and consideration
for human rights, as well as its
economics, when selecting targets forstock investment. This is becoming more
and more important in Japan.
Yamaha has been included in the
FTSE4 Good Global Index (FTSE*), theworld’s leading index for SRI, since
March 2002. In Japan, the Company was
also selected and incorporated into theMorningstar Socially Responsible
Investment Index (MS-SRI), whichstarted in FY2003. As a whole, it isincluded more than half of the domestic
SRI funds, including the Asahi Life
Socially Responsible Investment Fund
“Asunohane” and UBS (JPN) Equity
Fund Eco Japan “Dr. Eco” as of August
2004.
The FTSE4 Good is an index that
evaluates companies from three aspects:
environmental activities, social
responsibility, and human rights. The
evaluation criteria of MS-SRI are;corporate governance, accountability,
market, employment, social contribution,and the environment. Asunohane’s
policy is to invest in listed or over-thecounter stocks of companies that makepositive efforts to tackle social issues andcontribute to society through theirbusiness. We are committed tocontinuing our steady efforts, in order tobe highly and continuously evaluatedfrom these aspects of social
responsibilities.

Communication with Shareholders
and Investors
As the Tokyo Stock Exchange made it
obligatory to disclose quarterly businessperformance from FY2003, we started
this disclosure in advance. In thequarterly results briefing, the president
and management explain the results andcommunicate with securities analysts andinstitutional investors. IR staff members
answer interviews from analysts andinvestors at home and abroad and also
visit investors. The number of theseopportunities totaled 250 last year. The
management visits institutional investors
in the United States and Europe once a
year to explain corporate strategy
directly. Furthermore, the company
discloses company management
information on its Web site and transmits
IR and corporate information via e-mailnewsletters and the contract page on the
Web site.
The Company holds a generalshareholder meeting avoiding the special
day when most of the companies hold themeeting in order to invite as many
shareholders as possible. For thisopportunity, we try to devise an elaborate
plan like giving a performance with our
new musical instruments. The meetingfor the year ended in March 2004 washeld on June 25, 2004, and a professional
performer played the Electone“STAGEA™” in the headquarters’ hall.

* FTSE: a joint venture of Financial Times (U.K.) and London Stock
Exchange

Dividends per share(unit: yen)
Unconsolidated

President Ito making a speech at the results briefing

15.00

Employment without Discrimination
The Yamaha Group offers fair selectionand employment opportunities under the
principles of respect for human rights
and non-discrimination.
As part of a policy to realize an
appropriate and efficient personnel
structure, the Group actively promotes
the recruitment of university graduates,
while continuing the practice of midcareer employment to obtain readily
available human resources to meet therequirements from each division.

8.00(unit: no. of people)

149(7,918)139(7,563)141(7,376)139(7,220)No. of disabled
employees*

138(7,074)

1.91

1.93

Ratio ofdisabled
employees

1.95

1.88
1.84
FY1999 FY2000 FY2001 FY2002 FY2003

Number of employees in Japan(unit: no. of people)
and overseas

23,02023,563

21,59922,277

9,034

9,952

11,174

11,676

12,565

12,325

11,846

11,887

23,903
Overseas

12,054

Japan

11,849FY1999 FY2000 FY2001 FY2002 FY2003* Including the average numbers of part-time employees.

Promoting Employment of Disabled
PeopleYamaha has promoted employment of
disabled people through establishment of
the YP Business Service Corporation as
an exceptionally authorized subsidiary*in 1989. The ratio of disabled employees
vs. all employees is 1.95% as of the endof March 2004, which is higher than theratio designated by law.
In FY2003, the office was relocatednear the headquarters to provide easieraccess. New toilets for disabled people
were added and wheelchair access was
improved.
*Exceptionally authorized subsidiary: A subsidiary authorized by theLaw for Employment Promotion, etc., of the Disabled. This can beestablished if it meets specific requirements such as number and ratioof disabled employees vs. all employees. The employees working forthis company are regarded as employees of a parent company, andthe number is included in the ratio of disabled employees of theparent company.

10.00

Number and ratio of disabled employees

7.00

3.00

STAGEA™ play at shareholders’ meeting
FY1999 FY2000 FY2001 FY2002 FY2003

A New office for YP Business Services* The numbers in parenthesis refer to the ones of full-time workers at
Yamaha.

A Personnel and Educational
Training System“Only the result of collaboration between
a capable company and a capable
employee can touch people’s heart.”
Under this philosophy, the YamahaGroup has prepared a personnel system
consisting of education and careerdevelopment.
The education system provides
programs suitable for specific purposesin categories such as the strategic
development of human resources,
functional skills training, seniority
training, and a self-development support
system.
Regular In-house Staff Recruitment
System Motivates Employees

This is a system where each division
recruits the necessary human resourcesfrom within the company based on its
policy, medium-term plan, and theobjectives to be implemented. Since its
introduction in 2001, it has proved more
successful at getting the right people in
the right place. It also helps their careerdevelopment which forms the basis of
our performance-based evaluation.
Paid Leave for Personal Research inSpecialized Fields

This system provides employees withpaid leave to concentrate on research of
special themes as part of their selfdevelopment support education. It isapplicable to research studies in the fieldof natural or social science, which are
related to the employees’ own work andwhich demonstrates a high level ofexpertise, on-the-job training in othercompanies, participation in a short-term
international seminars, and others. This
leave is granted if you submit anapplication and pass a documentary
examination.

The Group’s Annual Event;“KANDO of the Year”(Excitement of the Year)

This is an annual event organized by theGroup to facilitate communication
among employees and to enhance theirmotivation. In the main event, the“KANDO! Awards”, employees’
achievements are honored by thepresident for their hot-selling productdevelopment, inventions, and patents. In
addition, the event solicits stories of
exciting business experiences or
proposals for new and exciting products
and services, and presents awards after aselection process.
In FY2003, the event site was changed
from Yamaha’s headquarters to Yamaha
Resort Tsumagoi™, and the event washeld in the style of a festival where
employees and their families could enjoy
themselves. Approximately 2,000 people
participated in the event from all over theworld.

Participants in the “KANDO of the Year” event

Positively Promoting Female
Employees
Positive Action Project

While society is undergoing a change toeliminate the segregation of roles bygender, it is strongly required thatcompanies support female employees’
career development. Under this system ofrecognition, Yamaha is preparing aworking environment and in-house rules
and systems where female employees canfully employ their abilities. In May 2004,
the Positive Action Project wasestablished and twelve employees (11female and 1 male) were selected as
members through an open recruitment
process. The Project examines, from theviewpoint of women, the personnel andeducation systems where careerdevelopment is involved. It adopted agoal of having twenty females inmanagerial positions in 2008.
Number of Yamaha employees and theaverage years of service(as of May 2003)

male 4,762

male
female22 YAMAHA Environmental and Social Report 2004

female 1,051

23.8 years
21.2 years

YAMAHA Environmental and Social Report 2004 23

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Those Who Work with Yamaha

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Society
The Yamaha Group contributes to both local communities and global society as a company engaged in music or as a good
corporate citizen. We endeavor to popularize music, which gives emotion and excitement to our life, contribute to culture andart through music education systems, and to be positively involved in social contributions in each region.

Supporting Employees with Children

In 2003, the government enacted the Law
concerning Promotion of Supportive
Measures for Raising the Next Generation(Next Generation Law). Companies withmore than 300 employees are required toestablish an action plan to support
employees with children.
Yamaha has introduced a number ofsystems that are beyond the requirementsof the law.
Comparison of Yamaha’s System andthe Legal Standard
SystemYamaha Corporation

Legal standard

Child-careleave

Leave can be taken until
the child becomes one year
and six months old or until
the end of March after thechild becomes one year,
whichever longer. (Thesystem was introduced
before the law.) Half of thedays of child-care leave isincorporated into the lengthof service.

Leave can betaken until thechild becomes
one year old.

Working hours
can be shortenedby one hour a day
until the childbecomes three
years old.

Upper limit on In addition to the legal
overtime work standard as specified in theright column, the upper limit
applies even after the childenters elementary school, if
there should be a special
circumstance.

The upper limit on
overtime work is
24 hours/monthand 150
hours/year until
the child enterselementary school.

Maternity
leave

Action Policy and the Administrative
Structure of Industrial Safety and
HealthSafety and health are fundamental
conditions for a fruitful life. The sites inJapan and overseas of Yamaha and its
affiliated companies have established anadministrative structure where policies
and measures are drawn up by theIndustrial Safety and Health Committee
headed by the Director in Charge ofIndustrial Safety and Health (director)
and composed of team leaders and thechairman of the Committees for specificIssues. They tackle such issues as
Industrial safety and health, traffic safety,
and health promotion.
Industrial Safety and HealthManagement Structure

Short working Working hours can beshortened by two hours ahours forday at maximum until theparents
end of March after the childbecomes three years old.

Nursing leave

Giving First Priority to the Safety
and Health of Employees

The scope of application of
conventional family-careleave is expanded andrenamed nursing leave.
100% paid leave.

Making efforts is
obligatory.

Fifty-six days both before
and after giving birth.
Maternity allowance is paid
from the health insurance
fund during the legal term(in conformity with the law).
In addition, 15% of thestandard salary is paid fromthe mutual aid system
during the leave. If any
special circumstance arises
during early pregnancy,
pregnancy sick leave isapplicable.

Forty-two days
before and Fiftysix days after
giving birthPresident andRepresentative
Director
Director in
Charge ofIndustrial Safety
and Health

Safety and
Health Section,
Personnel Division

Industrial
Safetyand HealthCommittee

EmployeesManagement
Meeting on
Industrial Safety
and HealthCommittees for SpecificIssues (e.g., labor accident
prevention, traffic accident,
etc.)

Meeting on
Industrial Safety
and Health*Maternity leave is applicable only to women. Other systems areapplicable to both women and men. Instead, birth leave is applicable
only to men and the length of leave is extended from two to five days
in FY2004.

Labor Agreement with the Union
Yamaha concluded a labor agreement on
an equal footing with the union toestablish proper conditions for work,
maintain order in management, increase
labor efficiency, and realize a peacefulindustry. 86% of all employees,
excluding management, are members of
the union.
The management council is held oncea year, the labor-management meeting
twice a year, and the production/salescommittee once a month, to allow
opportunities for discussion between
labor and management, where a variety
of issues are discussed from management
policy to labor conditions.

24 YAMAHA Environmental and Social Report 2004

Industrial Safety and
Health Management
at Each Site

Thoroughly Promoting Industrial Safety
and Health

To prevent Industrial accidents, theDirector in Charge of Industrial Safety
and Health Promotion determines
policies and measures, while the Safety
and Health Section,Personnel Division
implements education and training.
Experiences of injuries and accidents areshared by all employees and reflected intheir improved activities. The current
circumstances for disaster prevention andsafety for each workplace are checked
through the Safety Patrol to thoroughly
ensure that the first priority is given tosafety.
The targets for FY2004 are 0.3 for thefrequency rate of all industrial accidents
and zero for the severity rate (zeroserious disaster) at headquarters and in
the factories, while one or less (0.5 orless for the frequency rate) for
occupational accidents in the sales
offices.

Consideration for Mental Health

The Yamaha Group has a system ofMental Health Counseling open to allgroup employees, where they can consult
a counselor about any problems they facein the working environment or with theirfamilies. The counseling service is open
once a week in the Health Control Centerof headquarters, and medical specialists
and counselors welcome employees.

For Fair Trade
The Yamaha Group regards suppliers andsubcontractors as partners who work with
us to realize corporate objectives andseek fair trade based on the relationshipof mutual trust.
We abide by laws and regulations andensure fair selection and appropriate
evaluation according to company
regulations and standards when entering
into a business. According to the open
procurement principle, we keep our eyeson openness, fairness, andnondiscrimination irrespective ofwhether it is inside or outside thecountry, and regard resource andenvironment conservation as our basic
policy. We will share this basic policy
and concrete measures through meetingsand other opportunities with suppliers
and subcontractors and strive together toachieve the objectives.
Payment of Fines Imposed by theEuropean Commission (EC)On July 16, 2003, Yamaha Corporation and four of its
European musical instrument sales subsidiaries werefined a total of Euro 2.56 million by the European
Commission (EC) for problems with some of thecontract terms with EU dealers.
After taking its response to the matter into
consideration, Yamaha completed the payment of thefines through its European musical instrument sales
subsidiaries.

Efforts to Popularize Music“Hamamatsu Jazz Week” – Local
culture festival under the cooperationof the public and private sectors

Yamaha hosts the Hamamatsu Jazz Week
every year jointly with Hamamatsu citywhere the company is headquartered.
Hamamatsu Jazz Week is a uniquelocal culture festival where concerts andother events are planned and operated by
the local government and the private
sector. The theme of the festival is“jazz,” which many people, young andold alike, can enjoy, and the objective isto embody the ideal that “music iseverywhere and music creates the town.”
The event realizes the city’s philosophyof “creating a town where music plays acentral role” and has been held every
year since 1992.
During the nine days of the festival,
we invite a wide range of jazz musiciansfrom young players to veterans and holda series of concerts. We dare to choose
places of a size where audience can evenfeel the breath of players to enhance thesense of togetherness. In addition to theconcerts, we provide such opportunities
as a lecture on the theory of jazz and alesson in performance technique, both ofwhich are aimed to deepen theunderstanding of jazz. Thus, we do allkinds of things to encourage the audienceenjoy the music.
Supported by such elaborated
presentations and the cooperation ofmusic lovers and musicians, Hamamatsu
Jazz Week is highly esteemed as one of
the greatest jazz events in Japan.

TOPICSPart of Corporate Philosophy
Revised to Expand the Rangeof Stakeholders
The Yamaha Group can conduct business only withthe cooperation of employees as well as temporary
staff, subcontractors, cooperative factories,
appointed stores, and many other people working
under various contracts other than employment.
The Group reviewed a part of its Corporate
Philosophy in April 2004 and revised the expression
from “promise to employees” to “promise to those
who work with Yamaha” After this, it created anddistributed brochures about compliance management
to share the understanding. Compliance is an
important pillar of management based on CSR. We
will bring this idea into practice with the many people
who support the Yamaha brand.

Providing Performance Opportunities
for Amateur Bands

Communication with the Local
Community

Yamaha sponsors the All Japan Band
Boasters Concert to provide
opportunities for amateur band musiciansin a variety of categories to perform infront of an audience. The first concert
was held in 1999. Since then, we haveprovided the opportunity every year,
celebrating the fifth in 2003.
The number of applications is also
increasing year by year and totaled 513
in FY2003. Twelve bands that had
passed through a selection process fully
expressed individual originality and gave
performances that might reach the levelof professional musicians. The concert
was broadcast on a national network by
NHK BS2 as was the four concerts in the
past.

Marimba Concert Hosted by Sakuraba
Mokuzai

A scene from the All Japan Band Boasters Concert

The “Free-for-all Concert” WelcomesAnyone who Wishes to Participate

Anybody who loves music and musicalinstruments are welcomed to the Free
Participation Concert, irrespective of age,sex, and level of skill. The event startedin Yokohama, Kanagawa, in 1996, andYamaha participated in 2002 as acosponsor. We called for participation
via appointed stores and website on anationwide scale. More than 600 people
took part in the event, largely exceeding
the average in the past and boosting thescale of the event.
In November 2003, the number ofparticipants further increased and as
many as 950 amateur musicians got
together in the Yokohama Cultural
Gymnasium. The age of participants
ranges from five to sixty-nine. Somecame with families or friends and otherscame by themselves to seek anopportunity to meet other musicians.
Thus, the concert was exceptionallysuccessful.

Sakuraba Mokuzai produces and sells
wood for musical instruments in
Moriyoshi-machi, Akita prefecture. In
November 2001, we started an effort toestablish an environmental management
system and obtained ISO 14001
certification in September 2002.
In FY2001, we hosted a piano concert
and invited local residents as a part of theeffort to show gratitude for the richnessof nature, which is the source of its raw
materials, and to work and prosper
together with local communities. The
concert by professional players wasnamed “Gifts from the Forest” and waswell received. In October 2003, thesecond concert, named “Marimba
Concert 2003,” was held. Ms. Junko
Kato and two other marimba players
were invited to help express the sincere
gratitude. The audience enjoyed themarimba tones, which they seldom havea chance to hear. This was also avaluable opportunity for people tobecome familiar with musicalinstruments and understand Yamaha
products. Sakuraba Mokuzai will makeefforts to communicate with the local
community by providing suchopportunities.

Marimba performance

Local residents enchanted with theperformance

Events in Hamamatsu Jazz Week

Participants in the Free Participation Concert

YAMAHA Environmental and Social Report 2004 25

Introduction

Environmental
Conservation

Promise to
Customers

Promise toShareholders

Promise to Those
Who Work with Yamaha

Promise toSociety

Promise to Society

Cooperating in the National Sports
Festival in Shizuoka

The Yamaha Group places a high value
on maintaining good relationships withlocal communities and supports theirevents in a variety of ways.
In FY2003, the Group provided
cooperation to the 58th National Sports
Festival (NEW!! Wakafuji Kokutai) andthe 3rd National Sports Games for the
Challenged (Wakafuji Taikai) held in
September to November in Shizuoka, interms of musical instruments, music, andacoustic systems. All wind andpercussion instruments played by brass
bands and marching bands in the opening
and closing ceremonies were offered by
Yamaha. A variety of soul-stirring music
was played with the instruments. Among
all, the Yamaha Brass Band participatedin a fanfare with thirty trumpets in the
ceremony, and it became the topic of atalk. The acoustic system team of
Yamaha’s affiliate, which has anabundance of experience in concerts withprofessional musicians, overcame thetechnically difficult acoustic conditionsof the concert venues and thus
contributed to the performance in thefestivals.
Shizuoka is a prefecture where bothsports and music are promoted andpopular. The two were successfully
merged at this time, and these festivals
were called the “Music Games” andgreatly appreciated.

Local Clean-up Campaign

The Yamaha Group companies
participate in community programs as
good corporate citizens.
An example is the Lake Hamana
Clean-up Campaign hosted by the Groupfor Purification of Lake Hamana, which
is one of the large-scale Local Clean-up
Campaign in Shizuoka. In FY2003, the25th meeting was called andapproximately 6,000 people participatedfrom two cities and five towns aroundthe lake. From Yamaha, approximately
300 employees and family members
participated and collected rubbish andwaste cans in collaboration with otherparticipants. Including Yamaha’s Local
Clean-up Campaign implemented in eachfactory, the number of participants from
Yamaha amounted to approximately 780.
From Yamaha Livingtec Corporation,
98 employees and family members took
part in the clean-up initiative for Lake
Sanaru, Hamamatsu in FY2003.
Together with the clean-up activities
around the factories held by eachdivision, the Yamaha Group willcontinue participation in such activities
to live together with local communities.

Providing Excitement for Children
and the Elderly
Proposal for Yamaha Health Rhythms

Yamaha proposes the Yamaha Health
Rhythms to maintain and improve themental and physical health of the elderly
and improve their quality of life.
Yamaha Health Rhythms is an
exercise program focusing on
multifaceted group drumming, where
anybody can easily take part irrespectiveof knowledge and experience with music
and communicate with many otherparticipants. The program can bearranged or enhanced to fit into the music
culture or rhythmic sense of theJapanese. By doing so, the participants
can always experience new programs,
and it helps them to continue theprogram, which is the great advantage ofthe program. Yamaha introduced it as aprogram where people in many parts ofJapan can experience the enjoyment ofmusic and rhythm, the physical sense isactivated, and the program is highly
evaluated by the participants.
*Health Rhythms: A program invented in the United States that helps
to maintain and improve people’s health through multifaceted group
drumming. It was established for use in music therapy and wellness
programs and is an activity people can enjoy and continue.

importance through these activities. By
offering this opportunity, we would liketo support their healthy growth.

A scene from the Experience Nature Program

Twelve Years of Volunteer Service in a
Nursing Home for the Elderly

The Tenryu branch of Yamaha’s labor
union volunteered at Ikkuen, a nursing
home for the elderly in November 2003.
The branch has been volunteering at thisfacility since 1992. In FY2003, the union
members cleaned the bedrooms,
bathrooms, and the garden. In addition,
they presented the residents with a digital
camera and videotapes of popular
Japanese singers, using the money
collected through such steady activities
as one-yen coin donations, recycling
pull-tabs from canned drinks, and theproceeds from charity sales. They fully
appreciated the gifts.

People enjoying Yamaha Health Rhythms

Clean-up campaign at Lake Hamana

Experience Nature Program forChildrenA fanfare in the ceremony of the 58th National Sports
Festival

Donating the Proceeds of a Charity
Sale to the Local Community

The Toyooka Branch of the Yamaha
Labor Union donates the proceeds of acharity sale held at a local summer festival
as a part of the local contribution initiative
every year. In FY2003, the union
purchased articles requested by the
Toyooka Social Welfare Council withproceeds of approximately 80,000 yen andpresented them to the Toyooka Municipal
Government on October 8, 2003.

26 YAMAHA Environmental and Social Report 2004

Yamaha Resort Nemunosato™ started anexperience nature program named “Playin the Hideout in the Forest.” Theconcept came from our desire to have as
many children as possible play in natureand experience its wonders. In the richforest, children will enjoy putting up
swings with ropes and making slingshotsfrom the branches of trees, as well as
learning the names of flowers, plants,
and insects and the functions of forests ina global environment. Children are able
to meet nature and recognize its

Electronic, and Information Union. They
tackled the excavation while
communicating with local residents.
Finally, two wells were completed anddonated. The wells secured water for
approximately 100 people, and they are
now able to use clean water near theirhouses.

Residents of Ikkuen and volunteer staff

Regional and Social Contribution
AbroadSecuring Clean Water for the
Cambodian People

Three members from Yamaha’s labor
union participated in the volunteer
activities of digging wells in Cambodia,
which was organized as the 50th
anniversary event of the Shizuoka
Council of Japanese Electrical,

Local children and volunteer staff with a completed well

Supporting Music Education throughDonations

Yamaha Corporation of America (YCA)
and the National Association of Music
Merchants (NAMM) donated $330,000
to nonprofit charity organizations formusic education and research. The funds
were the proceeds from a charity concert
by Sir Elton John sponsored by Yamaha
in January 2003. The amount of the
donation was the highest ever in thehistory of NAMM.
Starting Charity Programs toContribute to Local Communities

Yamaha Corporation of America (YCA)
started an employee-based charitable
program called Yamaha Cares. The
objective of the program is to contributeto the educational and welfare services
and local communities, focusing oncontributions to areas where employees
live and work.
In March 2004, YCA complimented
Sarah from Cobden, Illinois, who studies
music and wants to be a professionalmusician, with Yamaha’s Disclavier andthe teenager cello player Anna Choi with
a $1,000
scholarship.
Thus, theprogram iscurrently
providingpositive
opportunities.
Sarah smiling in front of the

Editor’s Note

Thank you for reading through theEnvironmental and Social Report
2004.
This is the fifth report from Yamaha
Corporation. This time, in addition to
the conventional reports ofenvironmental conservation activities,
we prepared a chapter for each of thecommitments to the four groups ofstakeholders—customers,
shareholders, those who work with us
and society—specified in the
Corporate Principles of the YamahaGroup and detailed our efforts in eachchapter. In addition to the information
about the personnel system,
occupational safety and health, andsocial contributions, which had
already been included in theEnvironmental Report 2003, weenhanced the liaison with related
divisions and incorporated suchinformation as educational andemployment systems and the
response to customers andshareholders. Reflecting thesechanges, the report is renamed the“Environmental and Social Report”
instead of the “Environmental Report.”
As for environmental conservation
activities, the information fromoverseas divisions was included sothat the scope of the organizations
covered by this report was expanded.
The environmental performance data
was compiled as a separate, bounddocument. Thus, we haveendeavored to provide an easy-toread report.
We appreciate the opportunity tocommunicate the efforts and progressof the Yamaha Group’s environmental
conservation and social activities to
as many people as possible.
We appreciate your suggestions
and will continue the improvements inpursuit of a reader-friendly report.

presented Disclavier

August 2004
Environmental Planning Section,
Environmental Management Division,
Yamaha Corporation

YAMAHA Environmental and Social Report 2004 27

Environmental Management Division

URL: http://www.global.yamaha.com

Printed in Japan using soy-based inks on recycled paper.
It also uses waterless printing method that generates no harmfulwaste liquid.
November 2004

Explanatory Note The Yamaha Group in Japan: Yamaha Corporation Head Office,
Factories and all the affiliatedmanufacturers in Japan
Unconsolidated: Yamaha Corporation Head Officeand Factories
Affiliates: all the affiliated manufacturers in Japan

Environmental Performance Data
Environmental Accounting

Organizations subject to the environmental accounting: the Yamaha Group in Japan, statistics gathered between April 1, 2003 and March 31, 2004.

Environmental Costs
In FY2003, our unconsolidated
Environmental plant-and-equipment
decreased by 135.1 million yen from thefigure in the previous year of 302.7
million yen. However, consolidated
environmental investment, including
affiliates, was 791.4 million yen, an
increase of 300.4 million yen from
FY2002, due to the updates ofwastewater treatment facilities ataffiliates, etc.
The environmental expenses stood at
2.88 billion yen consolidated basis at the
Yamaha Group in Japan down 99.7
million yen from FY2002 due tostreamlined managerial activities.
Environmental Effects
1. Environmental Conservation Effects
While the amount of sales increased,
CO2 emissions decreased by 3,000 tonsCO2 as a result of the environmental
investment and efforts by management.
Also, the volume of waste disposal
decreased by 800 tons on a year-on-yearbasis, and the introduction of exhaustprocessing equipment reduced theemissions of chemical substances by 6
tons from the previous fiscal year.
2. Economic Effects
As a result of the increases in cost perunit of energy and waste disposal, utility
expenses increased by 258 million yen
and the cost of waste disposal by 67
million yen from the previous fiscal year,
although the use of energy and theamount of disposal were reduced.
The sales of valuable wastes resulted
in an income of 66 million yen, a slightincrease on a year-on-year basis.
Each figure represents the cost actually
paid out and does not reflect any
estimates.

Environmental Costs(Unit: million yen)
Investment*1
Details

Expenses*2

The Yamaha (Unconsoli- The Yamaha (Unconsolidated)
dated)
Group in Japan
Group in Japan

Prevention of air, water and soil
pollution, etc.
of global warming,
Energy conservation, etc. Prevention
protection of the ozone layer, etc.
Waste recycling, resource saving,
Waste, etc.
conservation of water, etc.
Recycling of products, improvements
Upstream/downstream costs
in distribution, etc.
Environmental education, ISO 14001,
Management costs
greening of premises, etc.
Development of environmentallyResearch and development costs
friendly products, models, etc.
Business area costs Pollution prevention

386.8

497.2

105.7

566.5

283.4

52.4

102.6

76.6

9.2

7.9

739.1

529.1

1.0

1.0

149.1

96.7

0.7

0.7

695.0

555.7

–

–

559.5

363.3

Social activities costs

Social contributions, etc.

0.0

0.0

32.8

22.7

Environmental damage remediation costs

Groundwater remediation, etc.

0.0

0.0

40.1

18.3

791.4

167.6

2,884.5

2,049.1Total*1 Equipment investment refers to investment in factories and equipment made for environmental conservation objectives. The figure is calculated bymultiplying the purchase price of individual piece of equipment by a figure determined by the proportion of the environmental conservation purposeto the whole purpose of the purchase of such equipment (e.g., 0.1, 0.5, 1.0).
*2 Expenses refer to personnel and other costs expended for environmental conservation activities. Personnel expenses are calculated by multiplying
the time spent on environmental conservation activities determined by the manager of each department by a common unit cost of personnel
expenses set in each company. Costs are determined by multiplying the amounts paid externally by a certain figure calculated using a proportional
distribution method as in the case of investment amounts (e.g., 0.1, 0.5, 1.0). Depreciation costs are not included.

Environmental Investment

Environmental Expenses(Unit: million yen)791

(Unit: million yen)
2,984
868

2,885
Affiliates

2,103
491
188
309

2,080

836

2,116

1,765

Affiliates

623

303

240

Yamaha
Corp

148

2,049
Yamaha
Corp

168
1999

2000

2001

2002

FY2003

1999

Environmental Conservation Effects

2000

ChangeDetails

CO2 emissions

tons-CO2 105,000 102,000

3,000

Total savings

Water consumption

Million m3

2.83

2.84

-0.01

Waste disposal

tons

4,200

3,400

Chemical substances
released

tons

151

145

FY2002

2002

Economic Effects

FY2003(Unit)

2001

FY2003(Unit: million yen)

FY2002

FY2003

AmountUtility costs

2,563

2,821

(-258)

800

Water costs

33

32

(1)

6

Effluent charge

39

41

(-2)

Waste disposal expenses

343

409

(-67)

Income from sale ofvaluable wastes

64

66*1 Chemical substances refer to those that the Yamaha Group in
Japan uses among the substances subject to the PRTR Law.
*2 Waste disposal expenses include the subcontracting expenses for
disposal and recycling as well as the internal interim processing
expenses.

Economic Effects

-326

66
-260

YAMAHA Environmental Performance Data 01

Environmental Performance Data

Responding to the PRTR Law
In FY2003, total volume of PRTRdesignated substances handled by thefacilities of the Yamaha Group in Japanamounted to 869.4 tons, down 37.9 tons
compared to FY2002. Releases into theenvironment amounted to 144.7 tons,
down by 6.8 tons compared to FY2002.
Out of the total release, styrene, toluene,
and xylene from the painting process
made up 88%. However, transfer andrelease of the three substances has showna decrease compared to the previous fiscal
year as a result of a changeover to thepaints that do not contain these substances
and introduction of a regenerative exhaustgas treatment system.
*As for the formal nomenclature of the PRTR Law, see the note in theleft column on page 17 of this report.

Release of PRTR-designatedsubstances into the environment (Unit: tons)
167
59
108

151
61
90

145
Affiliates

53
Yamaha Corp

92
2002

2001

Use of CFC substitutes
Yamaha Group PRTR Results
Class 1 designated chemical substances
Order Substancenumber
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31

177
320
227
231
63
283
40
145
68
230
310
69
232
144
108
64
270
272
181
30
309
78
16
266
304
224
198
307
1
61
43

(Unit: tons)

Styrene
Methyl methacrylate
TolueneNickelXyleneHydrogen fluoride and its water-soluble salts
Ethylbenzene
Dichloromethane
Chromium (III)
Lead and its compounds
Formaldehyde
Chromium (VI) Compounds
Nickel compounds
Dichloropentafluoropropane (HCFC-225)
Inorganic cyanide compounds (except complex salts and cyanates)
Silver and its water-soluble salts
Di-n-butyl phthalate
Bis (2-ethylhexyl) phthalate
Thiourea
Bisphenol A epoxy resin (liquid)
Poly (Oxyethylene-nonylphenyl ether)
Diisocyanate
2-Aminoethanol
PhenolBorons and its compounds
1,3,5-trimethylbenzene
Hexamethylenetetramine
Poly (oxyethylene)-alkyl ether
Zinc compounds (water-soluble)-Caprolactam
Ethylene glycol
Total

556.2
105.1
65.8
51.5
28.6
23.4
8.2
5.3
3.9
2.8
2.7
2.4
2.4
1.9
1.8
1.6
1.4
0.9
0.9
0.6
0.3
0.3
0.3
0.3
0.2
0.2
0.2
0.2
0.1
0.1
0.1
869.4

FY2003CO2 emissions(originated from energy)

Yamaha Corp (%)

8.6
6.8

24.1

11.7
5.4
6.3

Recycling rate for70.5 the YamahaGroup facilities
in Japan (%)

5.6

2001

2002

into sites
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0

509.0
104.6
6.8
51.5
1.5
17.9
1.5
0.0
0.0
2.7
2.6
2.4
2.0
0.1
1.8
1.6
0.6
0.9
0.8
0.6
0.2
0.3
0.3
0.1
0.1
0.0
0.2
0.2
0.1
0.0
0.0
710.1

1.1

1.1

1.87

24.0

1.98

(tons-CO2/
100 million yen)

9.8
5.2
Waste generated
by affiliates(unit: 1,000 tons)

10.5
5.8

7.4

*Resource recovery rate : Waste handed over to the recycling
industry/Waste generated x 100

Total volume of waste generated from the
Yamaha Group facilities in Japan was 11,500
tons in FY2003, down 200 tons compared to
FY2002. The resource recovery rate reached70%, up 6.3 points from the previous fiscal year.

10.2
5.7

5.2

4.6

Affiliates(10,000 tons)

4.7

Waste generated
by Yamaha Corp
(unit: 1,000 tons)

FY2003

2002
4.5

Yamaha Corp
(10,000 tons)

In FY2003, greenhouse gas
emissions by the Yamaha Groupfacilities in Japan, excluding CO2,
was 19,800 tons (global warming
potential, CO2 equivalent), up
1,100 tons from FY2002.
This is a result of an increase inproduction. We will reduce theemissions by introducing an
exhaust gas treatment system.

Affiliates

1.1

1999

2000

2001

2002

FY2003

The CO2 emissions from the Yamaha Groupfacilities in Japan amounted to 102,000 tons in
FY2003, down 3,000 tons compared to FY2002.
CO2 emissions per unit of sales was 2.22 tonsCO2/billion yen, which was a 7.5% improvementcompared to the previous fiscal year.

YamahaCorp

Yamaha
Corp

1.2
1999

2000

2001

2002

FY2003

To protect the ozone layer, the Yamaha Groupfacilities in Japan had totally phased out the useof specific CFCs by 1993. Since then, the Grouphas reduced CFC substitutes (HCFC) used in the
degreasing/cleansing process of metal materials,
and the use of HCFC has leveled off for the last
three years.
Currently HCFCs are used only by one Yamaha
factory and an affiliate. By the end of FY2004, all
CFC substitutes will be totally phased out.

Water consumption
2.74
1.49

2.83
1.59

1.83

2002

7.3
FY2003

2000

2001

Rail

FY2003: Affiliates 0
Yamaha Corp
FY2002: Affiliates 0
Yamaha Corp
FY2001: Yamaha Corp

Sea

FY2003: Affiliates
Yamaha Corp
FY2002: Affiliates
Yamaha Corp
FY2001: Yamaha Corp

(unit: million m3)
2.84
Long-distancetransportation

1.24

2002

Air

Affiliates

Total volume
of energy
consumption
1,270TJ*

6.8

Electricity 597

1.7
2002

YamahaCorp

1.8
FY2003Affiliates

175

NOx is generated by the
combustion of heavy oils,
coke and LPG. NOxemissions from the
Yamaha Group facilities inJapan amounted to 187
tons in FY2003, which isleveling off from FY2002.

Yamaha
Corp

13
2002

12
FY2003(unit: 10,000 tons-kilometer)
5,710
2,760
6,580
2,900
2,910

48
54
58
85
307
110
350
320

FY2003: Affiliates 0
12
Yamaha Corp
FY2002: Affiliates 0
Yamaha Corp 10
13FY2001: Yamaha Corp

Breakdown of CO2 emissions in distribution

BOD discharged to the
public water was 8.6 tons in
FY2003, which was a 2.6ton reduction from FY2002.
The wastewater treatment
capacity was enhanced by
the equipment
replacement, resulting in
the reduced BOD.

(unit: tons-CO2)
19,100FY2003: Affiliates

Short/mediumYamaha Corp
FY2002: Affiliates
Road
distance
Yamaha Corp
transportation
FY2001: Yamaha Corp

Rail

8.6

187

FY2003

Water consumption by the Yamaha Group facilities
in Japan amounted to 2.84 million m3, which
remained almost unchanged from the previous
year. Yamaha Kagoshima Semiconductor totallyreplaced the wastewater treatment system toincrease the amount of recycled water. As a result,water consumption is expected to be reduced
significantly.

11.2
9.5

185
172

(unit: tons)

FY2003: Affiliates

1.20
1999

SOx is generated mostly
by combustion of heavy oil
and coke. As the amountof SOx generation is
proportional to the content
of sulfur in fuel, theYamaha Group facilities inJapan chose to use lowsulfur fuel in Japan. SOx
emissions in FY2003
amounted 17.6 tons, down
2.1 tons from FY2002.

Short/mediumYamaha Corp
FY2002: Affiliates
distanceRoad
Yamaha Corp
transportation
FY2001: Yamaha Corp

1.64
1.25

NOx emission(unit: tons)

Breakdown of total transportation

Affiliates

1.51

Others 34

Heavy oils 486

10.3
7.6

(Biochemical Oxygen Demand) (unit: tons)(the facilities of the Yamaha Group in Japan)
LPG and natural gas
149

Affiliates

0.7

BOD

FY
2003

Sources of energy consumption* TJ=1012J

02 YAMAHA Environmental Performance Data

1.9

YamahaCorp

Greenhouse gases(unit: 10,000 tons)
emissions*22.2 per unit of sales

11.5

5.9
2000

into soil
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0

CO2 emissions

62.8 64.2
12.9
6.1

1999

to sewage waste material
0.0
3.2
0.0
0.3
0.0
1.7
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
3.7
0.0
3.9
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.4
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.8
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.2
14.4

waterways
0.0
0.0
0.0
0.0
0.0
2.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.0
2.3

1.8
0.7

*Mostly consisted of perfluorocarbons (PFC)

73.3 73.7 recovery rate for

69.0

7.7

atmosphere
44.1
0.1
57.2
0.0
27.1
3.3
6.7
1.6
0.0
0.0
0.1
0.0
0.0
1.7
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.2
0.0
0.0
0.0
0.0
0.1
142.4

1.9
0.8

SOx emission
19.7
12.1 17.6

2.2

VolumeVolumeVolumeVolumeVolumeVolumeVolume Consumption,
handled discharged into discharged into discharged discharged transferred transferred as products, etc.

Substance nameResource

61.8

Volume transferred* 354 Class1 Designated Chemical Substances in quantities of at least 0.1 ton are reported above.
Note: Some totals may appear not to tally with the column figures, which have been rounded to the nearest full number.

Waste generated andresource recovery rate
72.4

Volume discharged into the environment(unit: tons)

Long-distancetransportation

FY2003: Affiliates 0
Yamaha Corp
FY2002: Affiliates 0
Yamaha Corp
FY2001: Yamaha Corp

Sea

FY2003: Affiliates
Yamaha Corp
FY2002: Affiliates
Yamaha Corp
FY2001: Yamaha Corp

Air

FY2003: Affiliates 0
Yamaha Corp
FY2002: Affiliates 0
Yamaha Corp
FY2001: Yamaha Corp

7,000
18,800
7,540
7,700
11
12
13
40
145
50
160
150
175
150
190

Traffic volume of cargo to/from the Yamaha Group facilities in Japan amounted to 89.2 million ton-kilometers
and the emissions to 26,000 tons-CO2. Traffic volume decreased by 11% with only a 1% decrease in CO2emissions from FY2002 compared to the previous fiscal year.

YAMAHA Environmental Performance Data 03

Environmental Performance Data

Amount of containers and packaging
materials used in Japan(Unit: tons)

3,710

Data of the environmental impacts of the overseas
affiliates (manufacturing bases)
Water Consumption

310
365
75

3,379
260
420
77

3,272
2,949

Waste Generated

288
345
102

219
282
62

2,955
Others (woods, etc.) 256
Plastics 295
Papers 65

Resource Recovery
Resource Recovery Rate
CO2 Emissions

m3

860,000

tons/year

5,600

tons/year

2,700

%

48.1

tons-CO2/year

64,000

1999

2,386

2,622

2000

2001

2,537

2002

Saitama Factory

Iwata, Shizuoka
Business line: Production of piano frames

Ooi-cho, Iruma-gun, Saitama
Business line: Production of wind instruments

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification* Please refer to page 8 of this section for data concerning overseas production affiliates.

2,960

Iwata Factory

Cardboards 2,339

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

58
48,840Included in the data of
Yamaha Matanix Corp.

7.0
800
6,000
0.5
0.9
2.3
Mar, 1999

Review on FY2003
As part of our commitment to reducing the use of chemical substances,
Yamaha at the Iwata Factory successfully lowered the use of the substances
subject to the PRTR Law by 15% compared with FY2000 by revising thecomposition of organic solvents and painting conditions during the painting
process. The efforts for waste reduction and recycling were also made inorder to fulfill the goal of zero emissions.

FY2003In FY2003, the amount of containers and packaging materials used by
Yamaha was 2,955 tons, 317 tons decrease from the previous fiscal year.

Future action
The factory will continue to further cut down on wastes and promote recycling
with the aim to reduce the use of the substances subject to the PRTR Law
and to achieve zero emissions.

Data by Site
Yamaha Corporation (FY2003)

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Future action
At the Saitama Factory, Yamaha will further promote reduction of wastes toreach the goal of zero emissions, and as part of our measures to cut down
chemical substances, the factory will strive to reduce the use of lead in thewind instruments production process. Moreover, control on the wastewater
treatment plant will be further tightened under a revised management systemand operational procedures.

Toyooka Factory

Tenryu Factory [including Yamaha Fine Technologies Co., Ltd.]

Kakegawa Factory

Hamamatsu, Shizuoka
Business line: Includes production of grand pianos / audio products and overall management

Toyooka-mura, Iwata-gun, Shizuoka
Business line: Includes production of electronic musical instruments, wind instruments,and electronic components

Hamamatsu, Shizuoka
Business line: Production of automobile interior wood components, metallic molds, industrial
robots, soundproof rooms, golf products and other products

Kakegawa, Shizuoka
Business line: Upright piano production

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

2,980
252,600
174,000
17.0
1,700
11,0000.02
2.7
1.6
Feb, 2001

Review on FY2003
Yamaha made efforts to cut down on the power consumption through theintroduction of the ice thermal storage air-conditioning system and therearrangement of the facilities along with the change in the air-conditioning
system from that of central control to that of individual control. Reduction ofwastes and enhancement of waste control were pursued with the aim ofachieving zero emissions. Furthermore, Yamaha took initiatives to eliminate
lead, to use alternative substances with less environmental impact, and to
reduce the storage of chemical substances from the design and production
process.
Future action
In the Head Office region, Yamaha will make utmost efforts to reduce CO2
emissions by introducing a photovoltaic system, as well as shifting the energy
source for the boilers from the Bunker A heavy oil to city gas. We will also
continue promoting zero emissions.
* Yamaha Group defines "zero emission" as reducing the amount of waste sent to landfill as less than 1% of
the amount generated.

04 YAMAHA Environmental Performance Data

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

1,320
184,197
721,000
2.1
800
13,0000.7
3.2
1.9
Jun, 2000

Review on FY2003
At the Toyooka Factory, Yamaha has completed repair work on the drainagearound the premises as a measure to avert the risks of leaking ofenvironmental pollutants. As measures to conserve energy, the factory
renewed the transformer station, and shifted the manufacturing system forelectronic musical instruments from the line system to the cell system.
Considering environment-friendliness in product designing, the factory iscommitted to trying to comply with EU’s RoHS and eliminate lead.
Future action
At the factory, Yamaha will work on eliminating chromic anhydride from the
manufacturing process of wind instruments and materializing lead-free wind
instruments. In our efforts for zero emissions, the factory achieved the goal in
April 2004, over a year earlier than the initial target. We will continue
persevering in promoting reduction and recycling of wastes.

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year649
225,810163,000
48.0
1,400
11,0000.1
3.9–
Mar, 2001

Review on FY2003
The power and gas consumption was reduced following the revision ofovernight operation of the boilers and adoption of energy saving machinerythat suits the renewed facilities. At the Tenryu Factory, Yamaha also reduced
the substances subject to the PRTR Law generated from the painting line forcar interior parts by 98%, using a regenerative exhaust-gas heat treatment
system. With the objective to achieve zero emissions, the factory also tried toshed wastes and enhance recycling as well as developing technology to
reduce VOC (volatile organic compound) as an air pollution control effort.
Future action
While continuously pursuing zero emissions, trying to comply with the VOC
regulations, and carrying out research and examination on co-generationequipments, the factory plans to implement more regenerative exhaust-gas
heat treatment systems into the painting line, to newly install equipment totreat sludge created by a dust collector, and to build an integrated scrap
yard.

270
18,602
98,000
0.8
500
2,000
0.1
0.2
0.3
Sep, 1999

Review on FY2003
Regarding reduction of chemical substances, the use of chromic acid in the
preprocessing for painting was completely abolished at the Saitama Factory.
In order to promote uniformed management of the industrial wastes subject
to special control, the factory set up a new scrap yard and tightened control.

Headquarters Area [including Yamaha Life Service, YP Engineering Corporation and the labor union]

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
Amount of CFC Substitutes
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year
tons/year

510
222,41058,000
39.9
1,400
7,000
0.3
1.9
1.2
1.2
Nov, 1998

Review on FY2003
At the Kakegawa Factory, Yamaha pushed reduction of energy use by taking
measures such as operating air conditioners intermittently and replacing
large-size boilers with a smaller size flow-through boilers. In an effort to
reduce chemical substances, the factory cut down on the use of thesubstances subject to the PRTR Law by 14% on a year-on-year basis, as wellas committing to achieving total abolition of HCFCs(hydrochlorofluorocarbon). Each section of the factory stated a theme linked
to the section’s missions to be able to put efforts into environment
conservation in the manner best suited to its assignment.
Future action
At the factory, Yamaha will continue to promote energy saving by making ashift from large-size boilers to smaller size flow-through boilers and further
reduction of the substances subject to the PRTR Law, while carrying out
productive activities aiming to achieve zero emissions by the end of 2005.

YAMAHA Environmental Performance Data 05

Environmental Performance Data

Data of the Affiliates in Japan (FY2003)

Yamaha Livingtec Corporation [including Yamaha Living Products Corporation]

Yamaha Metanix Corporation

YP Winds Corporation

Sakuraba Mokuzai Co., Ltd.

Hamamatsu, Shizuoka
Business line: Includes production and sales of residential equipment and furnishing,building components, furniture and woodwork

Iwata, Shizuoka
Business line: Production and sales of electronic metals

Toyooka-mura, Iwata-gun, Shizuoka
Business line: Assembly and adjustment of wind instrumentsMoriyoshi-machi, Kitaakita-gun, Akita
Business line: Production of musical instruments parts and wood products

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

971
111,652
215,000
17.1
3,400
8,000
0.2
2.8
1.3
Dec, 2001

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year290
84,541
691,000
4.5
400
21,000
2.2
169.2
7.1
Mar, 1999

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

Future action
In addition to efficient use of wooden materials, Sakuraba Mokuzai will strive
for reduction of wastes such as plastic and adhesive wastes, and as acommunity-based company, take initiatives in activities which consider
conservation of the environment.

Future action
Yamaha Metanix Corporation will make efforts to reduce wastes and saveenergy as well as renewing NOx processing equipment as part of its air
pollution control measures.

Yamaha Kagoshima Semiconductor Inc.

D.S. Corporation

Yamaha Music Craft Corporation

Kurino-cho, Aira-gun, Kagoshima
Business line: Semiconductor production

Fukuroi/Hamamatsu, Shizuoka
Business line: Assembling audio/communication equipments and printed circuit boards

Hamamatsu, Shizuoka
Business line: Production of strings, guitars and percussions

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
Amount of CFC Substitutes
ISO 14001 Certification

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions

BOD (Public water area)
NOx Emissions
SOx Emissions
Green House Gases Emission
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year
tons/year270
17,800
4,000
0.9
200
1,000
0.2
–
–
0.7
Feb, 2001

Review on FY2003
Yamaha Kagoshima Semiconductor strived to pursue zero emissions, further
reduction of wastes, energy saving through the introduction of inverters for air-conditioner control boards, and an increased water recycling rate throughthe renewal of the wastewater treatment equipment.100% green
procurement for stationary was achieved.

Review on FY2003
D.S. Corporation succeeded in slashing CO2 emissions and the amount ofwaste disposal as a result of its efforts in recycling of wastes and savingenergy. The company also pursued expansion of the range of lead-freemodels for its audio-video and other equipment in cooperation with Yamaha
Corporation.

Future action
Yamaha Kagoshima Semiconductor will strengthen the measures to prevent
global warming by implementing greenhouse gas elimination facilities andmake efforts to zero wastes from removers, which are conventionallydisposed by sub-contractors, through wastewater treatment. The company
will also commit themselves to awareness campaign outside the company,
for example, by passing out eco bags for households to reduce the use of
shopping bags.

Future action
With the objective of completely abolishing lead soldering by the end of
FY2005, the company will actively promote lead-free soldering in conjunction
with Yamaha Corporation. It will also strive to fulfill the goal for total abolitionof HCFCs by the end of FY2004, while promoting reduction and recycling ofwastes aiming at the accomplishment of zero emissions in FY2007.

06 YAMAHA Environmental Performance Data

65
52,85415,000
1.8
30
1,000
–
0.1
0.1
Sep, 2002

Future action
The company will continue to put efforts in energy saving and waste
reduction and actively carry out environment-oriented business activities.

Future action
With an eye to zero emissions, Yamaha Livingtec Corporation will pursue thereduction and recycling of wastes, and carry out its plan for reduction of thesubstances subject to the PRTR Law, as well as complying with the VOC
regulations.

566
56,000696,000
2.3
800
22,0004.2
1.9
1.3
20,000Nov, 1997

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year

Review on FY2003
Sakuraba Mokuzai promoted thermal recycling of wood chips generated fromthe productive activities of the Yamaha Group companies. At the same time,
the company tried to reduce chemical substances and succeeded incompletely replacing the adhesive containing formaldehyde (Technoply) withan alternative.

Review on FY2003
Yamaha Metanix Corporation accomplished significant energy saving throughimprovement of heat efficiency of the furnaces and the installation of waste
heat boilers. It also started recycling plastic wastes (back rope) that had been
disposed as landfill, through a recycling manufacturer for reuse as a new solid
fuel, RPF (recycle plastic fuel).

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year
GWP tons-CO2/year

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions
BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Review on FY2003
YP Winds Corporation enjoyed decreases of 28% in wastes, 5.7% in power
consumption, and 15% in the use of chemical substances in the year-on-yearcomparison as a result of the following activities: energy saving, a cut in
wastes, reduction of chemical substances, and improvement in the yield rateof the products.

Review on FY2003
Yamaha Livingtec Corporation developed a reusable packaging material for
kitchen sets in conjunction with Asahi Kasei Homes Corporation. Also, theadoption of painting materials that do not contain the substances subject to
the PRTR Law enabled the company to realize a significant cut in the
discharge of the substances subject to the PRTR Law.

Number of Employees
Site Area
Water Consumption
Substances Subject to PRTR Discharged
Waste Generated
CO2 Emissions

85
4,742
5,000
0.1
10
200
–
–
–
Feb, 2002

BOD (Public water area)
NOx Emissions
SOx Emissions
ISO 14001 Certification

Numberm2
m3/yeartons/year
tons/year
tons-CO2/year
tons/year
tons/year
tons/year120
14,474
200
3.3
100
1,000
–
0.1
0.4
Jul, 2000

Review on FY2003
Yamaha Music Craft Corporation’s efforts in promoting effective utilization ofrare wooden materials for musical instruments allowed the company a 40%
reduction in wastes from wood for musical instruments on a year-on-yearbasis.
Future action
Yamaha Music Craft Corporation will be committed to energy saving andwaste reduction activities centralizing efficient utilization of rare woodenmaterials. Furthermore, the company plans to connect its human sewage,
which is, at the moment, treated in its own water-purifier tank, to the sewage
system of Hamamatsu City in order to reduce the impact on public water
resources.

YAMAHA Environmental Performance Data 07

Environmental Performance Data

Overseas Affiliates (Production Sites) Data (FY2003)[North America • Europa]
Yamaha Music Manufacturing, Inc.

Name of Site
Location
Number of Employee
Site Area
Business
Water Consumption

Numberm2—
m3/yearWaste Generated

tons/year

CO2 Emissions

tons-CO2/year

ISO 14001 Certification

U.S.
250
25,545
Manufacturing of pianos and PA speakers
5,000
1,200
5,000
Dec,2000——

Yamaha Musical Products, Inc.
U.S.
270
50,000
Manufacturing of wind instruments
41,000300
3,000
Apr,2002

Kemble & Company Ltd.
U.K.
129
14,350
Import and sales of musical instruments
4,000
700
1,000
Dec,2002[Taiwan • China]

Location
Number of Employee
Site Area
Business
Water Consumption

Numberm2—
m3/yeartons/year

CO2 Emissions

tons-CO2/year—

Guangzhou Yamaha-Pearl River Piano Inc.

Name of Site
Location
Number of Employee
Site Area
Business

Numberm2—
m3/yearWaste Generated

tons/year

CO2 Emissions

tons-CO2/year

ISO 14001 Certification

China
179
18,987
Manufacturing of pianos
9,000
20
1,000
Sep,2002—

Water Consumption

Tianjin Yamaha

TaiwanTaiwan496
133
26,32050,000
Manufacturing of guitars and PA equipment Manufacturing and sales of pianos and Electones
47,00026,000
200
300
6,000
2,000
Nov,1999
Jun,2002—

Waste Generated
ISO 14001 Certification

Taiwan YamahaMusical Inst. Mfg. Co., Ltd.

Kaohsiung Yamaha

Name of Site—

Xiaoshan YamahaMusical Instruments Co., Ltd

China
1,482
30,689Manufacturing of electronic instruments
175,000
400
9,000
Dec,1999
Yamaha Electronics (Suzhou) Co., Ltd.

China
430
43,000
Manufacturing of piano parts, and assembling
and manufacturing of wind instruments

42,000200
3,000
Mar,2003

China
450
120,000
Manufacturing of AV equipment
23,00010
2,000
Mar,2004[Indonesia • Malaysia]
PT. Yamaha Musical Products Indonesia

Name of Site
Location
Number of Employee
Site Area
Business
Water Consumption—
Numberm2—
m3/yearWaste Generated

tons/year

CO2 Emissions

tons-CO2/year

ISO 14001 Certification—

Number of Employee
Site Area
Business

m2

Indonesia
736
19,542—

Manufacturing and sales of YI/pianos
and digital musical instruments—
Number

Water Consumption

m3/yearWaste Generated

tons/year

CO2 Emissions

tons-CO2/year

ISO 14001 Certification

PT. Yamaha
Electronics Manufacturing Indonesia

PT. Yamaha Indonesia

Name of Site
Location

PT. YamahaMusic Manufacturing Indonesia

PT. Yamaha Music Manufacturing Asia

Indonesia
Indonesia
Indonesia
807
1,619
2,100
58,46022,250120,000
Manufacturing of wind instrument parts, cases, etc. Manufacturing of string and percussion instruments Manufacturing and sales of electronic musical instruments
161,000
84,00088,000
200
700
900
5,000
5,000
11,000Jan,2001
Dec,2001
Jul,2002—

08 YAMAHA Environmental Performance Data

42,000400
4,000
May,2002

Indonesia
600
50,000
Manufacturing of AV/IT products (speakers)
27,00010
2,000
Jan,2003

Yamaha Electronics Manufacturing
Malaysia Sdn. Bhd.
Malaysia
1,080
107,000
Manufacturing of AV equipment
86,00050
4,000
Dec,1998