DIC REPORT 2015

English Version

Basic Management Approach
In February 2008, DIC celebrated its centennial anniversary. Taking advantage of the opportunity provided by thismilestone, the Company changed its official name to “DIC Corporation” and introduced a new corporate symbol.
Prior to embarking on its second century in business, DIC adopted “The DIC WAY,” an articulation of its new
management approach, for the entire DIC Group.
The DIC WAY comprises three elements, namely, DIC’s “management vision,” “corporate values” and“principles of conduct.” These three elements are supported by “The DIC SPIRIT.”

MANAGEMENTVISIONThe DIC SPIRITEnterprise
Integrity
Diligence

CORPORATEVALUES

PRINCIPLES OFCONDUCT

MANAGEMENT VISIONCORPORATE VALUES
Through unceasing innovation, the DIC Group strives to create
new value directed at sustainable development for its customers,society and the environment.

PRINCIPLES OF CONDUCTWe shall hone our sensitivity to changes in society and be awareof our mission to always be ahead of the times.
We pledge to incorporate the concepts of social andenvironmental sustainability into our corporate activities.
We vow to strive constantly to hone “The DIC SPIRIT.”
We shall respect the autonomy and initiative of each individual
employee in applying his or her talents to the pursuit of our values
and the realization of our vision.

Established in 1908 as a manufacturer of printing inks, DIC has expanded
its mainstay organic pigments and synthetic resins businesses while atthe same time cultivating world-class related core technologies.
Since then, DIC has leveraged these technologies to build a broad
portfolio encompassing materials and finished products. This has enabled
the Company to respond to market needs by providing customers in theautomotive, electronics, food packaging, housing and other industries
with solutions that bring “color” and “comfort” to people’s lives.
Looking ahead, DIC—today a multinational organization with operations
in more than 60 countries and territories— will redouble its efforts tocontribute to environmental protection and to the realization ofa safe and sustainable society.
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DIC Report 2015

Connecting the DIC Group and its Stakeholders

DIC Group Communications Tools

The DIC Group uses a variety of tools to promote communication
with its many stakeholders to encourage greater awareness of theGroup’s activities. More detailed sustainability-related informationand data can be found on the DIC website.

Printed/PDF-Form Publications

Reports on activities
DIC Report

DIC Report(summary version)

Annual Report(complete version)

Contents
A Message from the President

3

The DIC Group: A Global Powerhouse5

Messages from Top Executives at
Regional Headquarters

7

The DIC Group’s Business Portfolio

9

Developing Innovative Products that
Address Key Social Imperatives

15

Special Feature

Report on sustainability
initiatives and corporate
profile (published annually)

Report on sustainability
initiatives and corporate
profile (published annually)(Printed report)(PDF-form report)

Repor t on operations
and financial condition(PDF-form report)

Real-time information
WEB

18

Topic

DIC Website
DIC Global Website

Adhesive with Oxygen Barrier Properties (PASLIM )Epoxy Resin and Curing Agent for Infrastructure Renovation (EPICLON with LUCKAMIDE )Firefighting Foam (MEGAFOAM )http://www.dic-global.com/en/csr/

U m b r e l l a w e b s i t e p r ov i d i n g
information to the global public
about the DIC Group and reports
on its various activities; updated asnecessary

Groundbreaking Sun Chemical Solution Enhances
the Recyclability of Shrink Sleeve-Labeled PET Bottles

The DIC Group’s Sustainability Program

19

Corporate Governance20

Sustainability Report
Goals and Achievements of Major Sustainability Initiatives
Goals and Achievements of Major Responsible Care Initiatives

About this Report
The DIC Group publishes a combined corporate profile andsustainability report with the aim of presenting a clear, easy-tounderstand picture of the Group and its sustainability initiatives. For
fiscal year 2015, the Group published a simplified summary version(printed), which focuses on key highlights, and a more detailed
complete version (PDF), which contains extensive quantitative data.
DIC Report (Complete version) (PDF-form report)
WEB

http://www.dic-global.com/en/csr/annual/Note: The designation “Asia–Pacific region” as used in this report refers to Asia—
excluding Japan and Greater China—and Oceania.

21
23

Compliance
Risk Management
Information Security

25

Environment, Safety and Health (ESH) and Quality
Human Resources Management
Supply Chain Management

27

25
26

Business Models that Respond to Social Imperatives
New Technology Development and Value Creation
Harmony with the Community and Social Contributions
Communication with Stakeholders

37
40
41
42
43
45

Third-Party Verification

46

The ( WEB ) mark indicates that more detailed information and/or
data can be found on the indicated page of the DIC website.

DIC Group Milestones

47

DIC website WEB http://www.dic-global.com/en/

Corporate Data

49

Links with the DIC Website

Scope of Reporting

In principle, this report provides information on DIC Corporation andconsolidated DIC Group companies in Japan and overseas. For informationon the scope of reporting for ESH-related initiatives, please visit the pertinent
page of the DIC website.
WEB

http://www.dic-global.com/en/csr/pdf/dic_report_scope_en_2015.pdf

Reporting Period

Fiscal year 2014 (January 1–December 31, 2014)

Date of Publication

June 2015 (The next report is scheduled for publication in June 2016.)

Guidelines Referenced

Guidelines referenced in the preparation of this report were ISO 26000, theInternational Organization for Standardization’s standard for social responsibility,
released in 2010, and Japan’s Responsible Care Code.

Cover Design
The cover of this year’s DIC Report is a paper craft
artwork evoking the contributions DIC products make to
comfortable, vibrant communities. The design also alludes
to the idea of the DIC Group’s business activities providing
attractive, exciting products to customers around the world
and driving growth.
DIC Report 2015

2

A Message fromthe President

Representative Director,
President and CEO
DIC Corporation

Yoshiyuki Nakanishi

We continue working to address challenges with thegoal of creating value through our business activities and achieving
sustainable growth for the DIC Group.
A Global Fine Chemicals
Manufacturer
The DIC Group is a multinational organization comprising 176
companies in 63 countries and territories. In fiscal year 2013, we
embarked on our current medium-term management plan, DIC105,
which will guide our efforts through fiscal year 2015. Operating in a
dynamic global economic and business environment, we continue
to promote development and innovation with the aim of ensuring
our products, services and technologies align with the needs ofstakeholders and meet their expectations.
We continue working actively to address challenges to create
new products and businesses that are ahead of the curve. At thesame time, we remain dedicated to guaranteeing the safety of ouroperations, contributing to protection of the environment, adhering
to a strict code of ethics and effectively managing risks, enabling
us to fulfill our responsibilities to society as a global fine chemicals
manufacturer.

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DIC Report 2015

DIC105: Year 2 in Review
In line with our medium-term management plan, we continue tofocus our allocation of management resources on key businessdomains with the ultimate goal of securing sustainable growth.
DIC105 calls for the expansion of three key forward-looking
businesses that will drive growth in the years ahead—thinfilm transistor liquid crystals (TFT LCs), pigments for color
filters and polyphenylene sulfide (PPS) products. In fiscal year
2014, sales of TFT LCs*1 were hampered by delays in obtaining
customer qualification. In contrast, sales of both green and blue
pigments for color filters rose briskly, while sales of PPS products
increased favorably, bolstered by successful efforts to respondto rising demand, particularly for automotive applications. In thisenvironment, consolidated net sales advanced 5.9% from fiscal
year 2013, to ¥830.1 billion. Despite higher sales, operating
income declined 6.9%, to ¥41.1 billion, well below our target of¥50.0 billion for the period, owing to a number of factors, including
an increase in Japan’s consumption tax and a delay in raisingsales prices to reflect increases in raw materials and fuel prices.

In contrast, our debt-to-capital ratio*2 as of December 31, 2014,
was 49.8%, as we essentially achieved our target for fiscal year2018 (50%) a full four years ahead of schedule. During the period,
we proceeded with efforts to restructure our North American andEuropean printing inks businesses—one of the central strategies
of DIC105—in line with a roadmap formulated to guide related
measures, which include the closure of certain facilities andthe shift of production to other regions. We also continued toinvest actively to reinforce our operating foundation in promisingSoutheast Asian markets, notably India, thereby laying the
groundwork for the future expansion of our operations.

Pressing Ahead with Decisive Efforts
In my view, the most important prerequisite to success in theyears ahead will be ensuring the commitment of all DIC Group
employees to working as one to implement the strategies wehave set, mindful always of the importance of acting decisively.
We are thus promoting the creation of a platform to facilitate theappropriate allocation of management resources. As part of thiseffort, in fiscal year 2014 we established printing inks technicalcenters in Thailand and the People’s Republic of China (PRC) as
well as a PPS technical center in the PRC, while early in fiscal
year 2015 we opened a polymer technical center in Thailand,
which will oversee and direct technical aspects of these respective
businesses in the Asia–Pacific region. These new facilities position
us to further drive technological development that responds tolocal market requirements rather than depending on technologies
transferred from Japan, thereby expediting commercialization.
We also continue to advance R&D that emphasizes fostering
next-generation businesses, with efforts focusing on such areas
as gas barrier materials for packaging applications, printed
electronics*3 materials, cellulose nanofibers, organic–inorganic
hybrid materials and heat-dissipating materials. Going forward,
the DIC Group pledges to work as one to press ahead withdecisive measures aimed at resolving social imperatives related
to, among others, safety and reliability, the environment, resource
conservation and the increasingly important role of information,
and at providing products and services that respond to society’s
evolving needs, thereby enabling us to act as a positive force insociety.

The DIC Group’s Approach to Sustainability
Having acknowledged the need to pursue sustainable growth in amanner that contributes to sustainability for the global environmentand society, as well as ensures our own sustainable growth, inJanuary 2014 we changed the designation we use across ourprogram from “CSR” to “sustainability.” We also established a
global configuration that classifies our initiatives into four regionalgroupings: Japan, the Americas and Europe, Greater China—(Above) Opening ceremony for DIC Zhangjiagang Chemicals Co., Ltd.’s second
production facility(Below) DIC’s booth at Eco-Products 2014 in Tokyo

which for DIC encompasses the PRC, the special administrative
region of Hong Kong and Taiwan—and the Asia–Pacific region. To
enhance our ability to effectively manage risks with the potential
to hinder our sustainability, we have declared 10 DIC Groupsustainability themes and set theme-specific medium-term targets.
As a manufacturer of fine chemicals with operations aroundthe world, we have a particular responsibility toward operationalsafety. Accordingly, we work tirelessly to reinforce our safety
infrastructure while maintaining a Groupwide awareness of safetyrelated issues. As we strive to accelerate the global expansion of
our operations, we also acknowledge the importance of fostering
human resources with the skills to excel on a global stage and of
valuing the diversity of our labor force. To this end, we are creating
a comprehensive human resources database. We are also
promoting measures designed to cultivate a new generation of
employees with leadership capabilities and encouraging initiatives
such as our Global Challenge Program, which focuses on helping
younger employees gain a better understanding of other cultures.
In addition, we are taking decisive steps toward the creation of aframework for ensuring environmental soundness and effective
governance across our entire global supply chain.

Targeting Sustainable Growth
The DIC Group provides a wide variety of products thatmeet the needs of manufacturers in industries ranging
from electronics to materials used in everyday life and the
expectations of society. To facilitate the swift expansion andevolution of our businesses, we will continue to take boldsteps to optimize all aspects of our operations from a global
perspective. In these and all our efforts, we look forward to
the ongoing support and guidance of our stakeholders.

*1 For more information on DIC’s TFT LCs, see page 12.
*2 Debt-to-equity ratio is calculated as Interest-bearing debt / (Interest-bearing debt + Total net assets).
*3 As a next-generation production process for electronic circuits that employs printing technologies, printed electronics continues to attract attention for,among others, its suitability for mass production, ability to reduce fabrication costs and solid environmental credentials.

DIC Report 2015

4

The DIC Group: A Global Powerhouse
Corporate Data
Registered name:
Corporate headquarters:

DIC Building, 7-20,
Nihonbashi 3-chome,
Chuo-ku, Tokyo 103-8233, Japan
February 15, 1908
March 15, 1937
¥96.6 billion
20,411(Nonconsolidated: 3,542)
176 Domestic: 32,
Overseas: 144

Date of foundation:
Date of incorporation:
Paid-in capital:
Number of employees:(

Number of subsidiaries
and affiliates:)

Global Network
DIC has 176 subsidiaries in 63 countries andterritories around the world.

50

32

EuropeChina

Europe and Africa
Sun Chemical Group and others

Net sales¥201.9 billion

Operating income

33

24South &Southeast Asia

5¥8.8 billion

Asia and Oceania

Africa

Japan
Japan

DIC Corporation, DIC Graphics
Corporation and others

2¥334.7 billion
Operating income¥21.1 billion

DIC (China) Co., Ltd., DIC Asia
Pacific Pte Ltd and others
Net sales¥148.9 billion

Operating income¥8.7 billion

Oceania

Breakdown of Net Sales by Region

Breakdown of Operating Income by Region

Asia and Oceania

Asia and Oceania

17.9%

North, Central andSouth America

17.4%

Europe and Africa

24.3%

19.0%

￥830.1billion

Japan

40.3%

North, Central andSouth America

15.9%

Europe and Africa

19.1%

Note: Operating income as used here includes eliminations (approximately ¥3.5 billion). Accordingly, these percentages do not represent shares of reported operating income.

5

Net sales

DIC Report 2015

￥41.1
billion

Japan

46.0%

Reportable Segments
Operating Income (Billions of yen)200
0Fine Chemicals▶ Page 11

41.1

20

40.2

400

The DIC Group has leveraged its distinctive organic pigments
and synthetic resins, essential to the manufacture of printing inks,
to build an extensive business portfolio.

Printing Inks
38.5

30

830.1

600

705.6

40

703.8

800

734.3

50

779.0

1,000

35.0

(Billions of yen)

37.2

Net Sales▶ Page 1210’10 ’110’12 ’13 ’14（FY）’10 ’11 ’12’13 ’14（FY）

Note: The consolidated results for fiscal year 2013 comprise the accounts for the nine months ended December 31,
2013, of DIC and its domestic subsidiaries but one and the 12 months ended December 31, 2013, of its
overseas subsidiaries and one domestic subsidiary.

415.7 billion
17.3 billion

138.3 billion
13.8 billion

Net sales: ￥Net sales: ￥Operating income: ￥Operating income: ￥Polymers

Application
Materials▶ Page 13

14▶ Page 14

North
America
190.8 billion
Operating income: ￥7.8 billion

123.0 billion
Operating income: ￥7.1 billion

Share of Net Sales

Share of Operating Income

Net sales: ￥Central andSouth America

Sun Chemical Group and others
Net sales¥144.5 billion
Operating income¥7.3 billion

Application
Materials

14.2%

Printing Inks

47.9%

￥830.116

billionCentral & SouthAmerica

Polymers

22.0%

Fine Chemicals

15.9%

Net sales: ￥Application
Materials

15.4 %

Printing Inks

37.6%

￥41.1
billionPolymers

17.0%

Fine Chemicals

30.0%

Note: The aggregates of net sales and operating income by region on page 5 and above do not correspondto reported net sales and operating income, as the former include income not attributable toreportable segments and eliminations.

Principal Global R&D Sites

Qingdao DIC
Finechemicals (PRC)

St. Mary Cray Technical Centre(United Kingdom)Eurolab(Germany)

Polymer
Technical Center—
Asia Pacific ( Thailand )Central ResearchLaboratories (Japan)

Cincinnati(United States)

Carlstadt(United States)

Printing Inks
Technical Center—
Asia Pacific (Thailand)

DIC Report 20156

Messages from Top Executives at Regional Headquarters

We will make further progress
toward eco-efficiency torealize sustainability.

Sun Chemical Corporation

Sun Chemical’s sustainability efforts are based on the conceptof eco-efficiency as defined by the World Business Council
for Sustainable Development: “the delivery of economicallycompetitive goods and services that satisfy customers’ needs andbring quality of life, while progressively reducing ecological impact
and resource intensity throughout the life cycle.” In 2015, we will
make further progress toward this goal, with the following key
initiatives:- a rigorous development process and analytical tools that guideour choice of materials and the safety of our products- manufacturing processes that demonstrate environmental
excellence through reduced waste generation, lower energy andwater usage, and strong safety performance- meeting local regulatory requirements, working proactively withgovernment, industry trade groups, and business partners in thevalue chain to better define, measure, and promote sustainability,
product stewardship*, and risk management.
We are committed to meeting our customers’ needs, while
never losing sight of the business essentials: reliable, on-time
delivery, consistent product quality, dependable service andgroundbreaking innovation.
Sun Chemical’s Pledge: As the world’s leading producer of inks,
pigments and coatings, we will lead our industry by understanding
and minimizing the life cycle footprint of our products’ impact on
the environment.
* Product stewardship is a philosophy that emphasizes reducing theenvironmental impact of products over their entire life cycle.

President and Chief Executive Officer

Rudi Lenz

With a population that makes it one of the world’s largest markets, the PRC
remains highly promising, evidenced by its 7% target for gross domestic
product (GDP) growth in the current fiscal year. With the aim of capitalizing
on colossal demand in this market, we are taking decisive steps to revamp
the DIC Group’s existing local production and sales networks, as well as tointroduce new technologies. Through such efforts, the management andstaff of DIC Group companies in the PRC are committed to making a positive
contribution to boosting the Group’s overall operating performance.
In fiscal year 2015, DIC Group companies in Greater China also formulated
sustainability activity plans, in line with which we are promoting a variety ofrelated initiatives. As a manufacturer of fine chemicals, DIC recognizes thatits highest priorities in this region must always be the environment, safety,
health and quality. In recent years, authorities in the PRC have cracked
down on violations of the country’s Environmental Protection Law, and at
this year’s National People’s Congress the government pledged to toughenenvironmental measures. The PRC has often been accused of complacency
when it comes to environmental issues, but as can be seen from the hardline it has taken against air pollution caused by high levels of PM2.5 airbone
particulates—a major issue for the entire country—it is expected to tighten
regulations substantially in the years ahead. To ensure its continued growthand prosperity in the PRC, the DIC Group must of course abide by local laws,

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DIC Report 2015

but more than that it must establish its reputation as an environment-friendly
organization.
In 2014, regulators in the PRC fined a number of companies in the country,
primarily multinationals, as punishment for violating antitrust laws. Theseand other incidents have highlighted the importance of our ongoing efforts toenhance understanding of compliance and build awareness within the Group.
Growing the DIC Group’s businesses in the PRC also depends on
promoting efforts to ascertain market needs and to cultivate promisingmarkets in line with two key Group sustainability themes, namely,
Business Models that Respond to Social Imperatives and New Technology
Development and Value Creation.
In recent months, the news has brought us numerous stories about
Japanese companies withdrawing from the PRC for reasons such as rising
personnel costs and unfavorable currency rates. In our case, most of the
products we manufacture in the PRC are sold to Chinese companies,
including subsidiaries of Japan-based enterprises, so our business model
is different from that of companies that are primarily dependent on exports.
Looking ahead, we will accelerate the implementation of our global businessstrategies, which include exploring the investment of management resources
to reinforce our ability to market our products to customers in the PRC.

Holding company DIC Asia Pacific Pte Ltd was established in October 2001 as
the regional headquarters for the DIC Group in the Asia– Pacific region*. As ofJanuary 2015, we have 73 employees and oversee 17 DIC Group companies.
We also function as the front line for the Group’s principal product segments in
the region.
The DIC Group has production bases in six Association of Southeast Asian
Nations (ASEAN) member countries: Indonesia, Singapore, Thailand, thePhilippines, Vietnam and Malaysia. The fastest-growing of these is our base inIndonesia, which employs more than 1,000 local individuals and pays special
attention to conducting its operations in a manner that ensures harmony withlocal society.
Against a backdrop of rapid market change, major brand owners areaccelerating purchases of environment-friendly products for use in packaging forfood and household goods in response to heightened consumer awareness ofenvironmental issues in this area. In response, we are taking decisive steps tocultivate markets for such products, particularly environment-friendly toluene- andmethyl ethyl ketone-free gravure inks for use on flexible packaging, offset inks foruse on paper containers, and water-based inks for use on cardboard cartons.
A key area of focus is environment-friendly PPS compounds, which play a
key role in reducing vehicle weight. Having positioned Malaysia as a principal
production base for PPS compounds, we are actively expanding our presence
in four strategically important regional markets, namely, Thailand, Malaysia,
Indonesia and India.
Looking ahead, we will seek to expand our presence in increasingly relevant,promising markets and business areas by reinforcing our operating configuration
in South Asia. To enhance the profitability of our chemicals business in India
and promote the expansion of our operations elsewhere in the area, including
Pakistan and Sri Lanka, we established a regional representative office, which
is headed by an executive officer on assignment. Asia and Oceania currently
accounts for approximately 15% of the DIC Group’s earnings from its businesses.
We will step up efforts to respond to the needs of our customers in key markets
with the aim of further increasing this percentage and of growing together with thecommunities in which we operate.

We are taking decisive steps to cultivate markets
for environment-friendly products.

DIC Asia Pacific Pte Ltd
Managing Director

Kazunari Sakai* Asia—excluding Japan and Greater China—and Oceania

We are working to expand our operations
to respond to evolving market requirements.

DIC (China) Co., Ltd.
Chairman and General Manager

Hideki Inouchi

DIC Report 2015

8

The DIC Group’s Business Portfolio
An Efficient Corporate Organization that Leverages DIC Group Strengths
Target Markets and Business Development
The DIC Group has capitalized on its capabilities in organic pigments and synthetic resins, the principal material for printing inks, to build a broad portfolio. Today, theGroup classifies its products in four business segments: Printing Inks, Fine Chemicals, Polymers and Application Materials. Through its Advanced Technology Sales
Administrative Div., Life & Living Sales Administrative Div. and Packaging & Graphics Sales Administrative Div.—three sales administrative divisions organized in linewith three key market categories—and its affiliated companies, the DIC Group works to provide products that respond to the needs of society and its customers.

Electronics

Automobiles

Displays

EnergyPackaging

Advanced
Technologies

Digital printing

Markets

Packaging &Graphics

Fine Chemicals
Application
Materials

Polymers

Polymer design

Basic technologies

Organic molecular design

Coatings

Life &
LivingPrinting Inks
Businesssegments

Livingenvironments

Infrastructurebuilding

Optics andcolor

Dispersion

Applicability assessment(Coating/printing/molding)

The DIC Group’s Basic Technologies
The DIC Group strives constantly to contribute to a materially and spiritually affluent society through the development and provision of environment-friendly
technologies and products. To this end, the Group is leveraging its basic technologies in the areas of optics and color, organic molecular design, polymer design,
dispersion and applicability assessment to promote the development of products in key target markets.

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DIC Report 2015

to Respond Swiftly and Accurately to Evolving Social Imperatives
A Matrix-Like Corporate Organization that Leverages Comprehensive Capabilities
With the aim of facilitating concentrated efforts to grow core products, as well as a shift toward market-focused business development, the DIC Group has created amatrix-like corporate organization. This organization centers on six product divisions, which are responsible for spearheading the implementation of global productstrategies, and three market-oriented sales administrative divisions. The DIC Group is confident that this format will enhance agility—enabling it to respond swiftly to
evolving social imperatives—and improve the internal sharing of information, thus underpinning efforts to leverage its comprehensive capabilities.

Product divisions

Categorized at the process chain level; responsible for spearheading theimplementation of global product strategies for each constituent product group

Advanced Technology
Sales Administrative Div.
Optronics materials
Advanced polymers

Application Materials Segment

EnergyAutomobiles

Health foods

Functional devices

Printed processed products

Multilayer processed products

Coated plastic products

Processed
Products Div.

Molded plastic products

Films

PPS compounds

High-performance compounds

Coatings

Colorants

Jet inks

Fluorochemicals

LiquidSolidCompounds Compounds
Product Div. Product Div.

Polyurethane resins

UV-curable resins

Specialty fire retardants

Epoxy resins

Polystyrene

Displays

Processed unsaturated
polyester resin products

General polymers for
low-temperature applications

Pigments

General polymers forhigh-temperature applications

Polymers
Product Div.

Alkylphenols

Fine
Chemicals
Product Div.

Functional additives

Printing
Inks
Product Div.

LC materials

Polymers Segment

News inks

Fine Chemicals
Segment

Liquid inks

Printing Inks
Segment

Offset inks

Business segments

Electronics

Materials for information/communications devices

Automotive materials

Life & Living Sales
Administrative Div.
Coatings
Lifestyle-related materials
Materials for consumables

Livingenvironments

Coatings

Infrastructurebuilding

Construction andhousing materials

Packaging &Graphics Sales
Administrative Div.
Graphic arts materials
Packaging materials

Packaging

Digital printing

Sales administrative divisions

Organized by core market; charged with providing the distinctive value thatpermeates all DIC Group products to customers and with implementing marketing
initiatives in line with forward-looking themes that reflect the customer’s perspective

DIC Report 201510

Printing Inks
A stable businesssince the startThis segment focuses on printing inks, DIC’s
mainstay business since its establishment.
A global market leader, DIC boasts an extensive
product portfolio ranging from publishing inks toinks and adhesives for packaging, enabling it torespond to the needs of customers worldwide.

Printing inks
Offset inks
Gravure inks
Flexo inks
Can coatings
News inks
Packaging adhesives
Printing supplies

Outstanding color reproduction,
reduced energy consumption
DAICURE HR series(High-sensitivity UV-curable offset inks)

DAICURE HR offset inks contain no volatile organic
compounds (VOCs) and facilitate high-speed drying,properties that help improve working environments
and workability and that continue to support market
expansion. Recent years have seen a sharp increasein the popularity of high-sensitivity ultraviolet (UV)-curable
offset inks, which facilitate the use of low-watt orlight-emitting diode (LED) lamps in UV curingsystems, thereby contributing to the reduction ofenergy used. As well as suitability for use with
low-power UV printers, DIC’s innovative DAICURE
HR high-sensitivity UV-curable offset inks deliver
outstanding color reproduction, thus responding to
the needs of customers seeking to switch fromprinting with oil-based inks to UV-curable printing.

Ensuring safety for food and the environment
FINART series(Gravure inks for food packaging)

In recent years, growing concern for food safety and increased awareness of environmental issues has
hastened demand for the reduction or elimination of solvents in food packaging materials. With FINART,DIC has developed a series of gravure inks for food packaging that combines consideration for foodsafety and the environment with the superb image quality and suitability for high-speed printing
demanded of gravure inks. In addition to conforming to the Japan Printing Ink Makers Association’s
voluntary regulations concerning the use of chemical substances in printing inks, theseenvironment-friendly inks, which balance superior safety with excellent printability, also comply with foodpackaging regulations in Europe.

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DIC Report 2015

Fine Chemicals
Optronics materials and otherhigh-value-added products
Products in this segment include a wide variety
of materials indispensible to digital devices,
including LC materials and organic pigments forcolor filters, which are expected to drive growthfor DIC in the years ahead.

Fine chemicals
Organic pigments
Special effect pigments
LC materials
Alkylphenols
Metal carboxylates
Sulphur chemicals (lubricant additives)

A marked increase in brightness andreduced LCD energy consumption
G58 series(Green pigments for color filters)

In addition to pigments for printing inks and coatings, DIC—the world’s leading manufacturer of organic pigments interms of market share—produces high-performance
pigments for color filters used in LCDs. In manufacturing
its G58 series of green pigments for color filters, DIC
defied conventional wisdom by using zinc, rather thancopper, as the central metal in the chemical composition,
thereby achieving a marked increase in brightness.
The highest-grade product in the G58 series,
FASTOGEN GREEN A310‚ is particularly noted for its
exceptional brightness and contrast. FASTOGEN GREEN
A310 has been adopted widely for use in LCDs with LED
backlights—the dominant format for LCDs used in
televisions and smartphones—contributing to improved
picture quality and reduced energy consumption.

Responding to the evolution of LCDs
TFT LCs

TFT LCs demand sophisticated expertise in molecular design, as well as advanced technologies forsynthesis, mixing and the removal of minute impurities. DIC is one of only a few companies in the world
capable of manufacturing TFT LCs. The ability of DIC’s TFT LCs to satisfy customers’ needs for higher
brightness, faster response times and greater long-term reliability is evidenced by the fact that they
have been adopted for use by liquid crystal display (LCD) manufacturers worldwide. DIC continues tosee sales of these products expand, particularly in the PRC and elsewhere in Asia. In addition to
responding to customer needs arising from demand for larger LCD television screens and higher picture
quality, DIC is promoting the production of TFT LCs for use in smartphone and tablet computer displays.

DIC Report 201512

Polymers
DIC’s second core business
Capitalizing on DIC’s world-class technologies
and know-how, this segment provides synthetic
resins and resin-related products to a wide arrayof industries.

Polymers
Acrylic resins
Alkyd resins
Amino resins
Epoxy resins
Fluorochemicals
Methacrylate resins
Phenolic resins
Plasticizers
Polyester resins
Polystyrene
Polyurethane resins
Processed sheet molding compounds (SMCs)
and bulk molding compounds (BMCs)
Unsaturated polyester resins
UV-curable resins
Waterborne resins

Shielding houses and otherstructures from rain and air
pollution
CERANATE series(Waterborne hybrid resins for coatings)

Coatings for housing, public structures, iron bridges,
roads, automobiles and other objects must provide
protection against rain and UV rays, as well as oily or
acidic particulates from vehicle and factory emissions. In
response, DIC has developed the CERANATE series ofwaterborne hybrid acrylic–polysiloxilane (organic–inorganic)
resins, which use nanotechnology to control dispersion.
Hybrid molecules fuse together with the evaporation ofmoisture to form an exceptionally durable coating thatboasts superior gloss retention and excellent resistance tooily stains, as well as a self-cleaning capability whereby ituses rainwater to wash off dirt. Demand for CERANATE
resins continues to rise in emerging economies, whereconstruction is still booming.

Exceptional heat resistance facilitates use in precision instruments
EPICLON series(Epoxy resins for electronics substrates)

Epoxy resins are UV-curable synthetic resins that cure when combined with curing agents, achieving
exceptional moldability, heat resistance, electrical insulating properties and adhesive properties. These
resins are used by manufacturers of electronics substrates and in a broad range of other industries.
As Japan’s largest manufacturer of epoxy resins, DIC supplies the EPICLON series ofenvironment-friendly, high-performance epoxy resins, which combine outstanding heat and flame
resistance. Applications for EPICLON epoxy resins are diverse and include smartphones andcomputers.

13

DIC Report 2015

Application Materials
Key applications ofbasic technologies
This segment encompasses a diverse range ofapplied products, including jet inks, engineering
plastics and industrial adhesive tapes, which are
made possible by the integration of DIC’ ssynthesis, dispersion, coating and molding
technologies.

Liquid compounds
Jet inks
Fiber and textile colorants
Artificial leather colorants
Coatings for optical films
UV-curable coatings and bonding adhesives for optical discs
Coatings for building materials
High-performance coatings and adhesive materials
Inks for printed electronics
Solid compounds
PPS compounds
High-performance compounds
Plastic colorants
High-performance optical materials
Coextruded multilayer films
Processed products
Industrial adhesive tapes
Label stock for printing
Hollow-fiber membranes and modules
Magnetic tape and coated sheets
Plastic pallets and containers
Decorative boards and interior housing products
Decorative interior sheets
Health foods

Responding to the rapid
evolution of smartphones

DAITAC WS#84 series(Double-sided adhesive tape for waterproof
mobile communications devices)

The DAITAC WS#84 series, one of the first series ofwaterproof tapes to be developed and marketed forwaterproof smartphone construction, qualifies for IPX7,
an international standard for protection against water
ingress, earning it an unrivaled position in this market.
The thin foam substrate of DAITAC WS#84 series’
tapes is soft, with a fine closed pore structure similar tothat of a sponge. The substrate and the adhesive layer
form a single tape that adheres tightly regardless ofminute surface irregularities, thereby preventing waterfrom penetrating. DIC continues to promote thedevelopment of adhesive tapes and other products in
response to the trend toward lighter and moresophisticated mobile communications devices.

Contributing to the realization of lighter, more fuel-efficient vehicles
DIC.PPS series(PPS compounds)

PPS polymer is an engineering plastic that boasts high resistance to heat—it has a melting point ofapproximately 280ºC—and chemical substances. In addition to delivering outstanding heat and chemical
resistance, PPS compounds in the DIC.PPS series maintain excellent rigidity, strength and electrical insulating
properties, are lighter than iron and can be molded into more complex shapes, as a result of which thesecompounds have found application in components for hybrid, electric and other environment-friendly vehicles asa lighter, high-performance alternative to metal materials. As the world’s leading manufacturer of PPS
compounds in terms of market share, DIC enjoys a solid global presence, with bases in Asia, North America
and Europe.

DIC Report 201514

Special Feature

Developing Innovative Products that Address Key
Social Imperative ＞

1/3 of world’s
food production

Reduce food loss and conserve packaging resources byrealizing more functional packaging materials

1.3
Approximately

Millions of people the world over suffer from malnutrition, yet it is estimated that approximately 1.3
billion metric tons of the food produced globally for human consumption is wasted annually. Efforts to
help resolve this paradox include the use of high-performance packaging materials to prolong shelflife, thereby minimizing food loss. Particularly notable among these is flexible plastic film with oxygen
barrier properties, which, as its name indicates, prevents oxidization. However, a key issue withoxygen barrier packaging films is that they are generally made from multiple layers of film that mustbe laminated together, which makes manufacturing difficult in many places. Simplifying the laminatedstructure of such films would thus help reduce both food waste and resource consumption.

billion metric tons

Annual foodlosses

Source: Global Food Losses and Food Waste, Food and Agriculture Organization of the United Nations, 2011

DIC’s Response ＞

Adhesive with Oxygen Barrier Properties (PASLIM )Adhesive for packaging film that prevents oxygen permeation and keeps foods fresh longer

An adhesive that prevents oxygen permeation,
facilitating the reduction of packaging film weight● DIC has developed an adhesive that can be used instead ofoxygen barrier film to minimize food loss
In summer 2013, DIC developed PASLIM, an adhesive with oxygen barrier properties. PASLIM combines apolymer with low oxygen permeability and an inorganic compound filler, thereby lengthening the distance tothe food (the “maze effect”). The new film thus imparts an oxygen barrier performance equivalent to that ofconventional laminated packaging films, which are several times thicker.
Because it eliminates the need for a conventional oxygen barrier film layer, PASLIM facilitates the manufactureof dramatically thinner and lighter laminated packaging films. As well as preventing food deterioration, PASLIM
reduces the volume and the cost of film used, emissions of CO2 during product transport and the amount of
packaging film disposed of post-consumption. DIC estimates overall CO2 emissions attributable to the production,
use and disposal of PASLIM are around 30% lower than for conventional oxygen barrier films.
Examples of Structures of Laminated Oxygen Barrier Films
Structure of conventional laminated packaging film
O2
O2

O2

O2

Structure of packaging film employing PASLIM
O2

O2

O2

O2

Film (nylon, other)

Adhesive

PASLIM

Oxygen barrier film

15

Film (polypropylene, other)

DIC Report 2015

Superior
oxygen barrier
properties
protectfoodSocialImperatives

In addition to our usual packaging materials
customers, we have proposed a PASLIM-based
food packaging solution directly to a Chinese food
manufacturer. This is a successful example of asolution realized thanks to the provision of technicalassistance to a local company, which encouraged
the company to adopt PASLIM for use in its foodpackaging. Looking ahead, we plan to apply thisbusiness model worldwide by leveraging DIC’s
technologies and networks to propose solutions
tailored to market conditions and requirements
across various countries and regions.
Manager in Charge,
Adhesives Project

Adhesive

Cross-section of a sliced ham package

We are establishing a businessmodel in the PRC and expanding
its application worldwide.

Gen Suehiro

Film (nylon, other)Cast polypropylene

KEY PERSON from DIC

O2

O2

Conventionallaminated film

Energyconservation

3Rs (“reduce,reuse, recycle”)

Aging
society

Safety/reliability

HumanrightsHighly informationoriented society

Climate change, energy, food and disaster prevention are just a few of the urgent issues that the world needs to address.
The DIC Group is leveraging the power of chemistry to provide products that can help resolve such issues and drive social sustainability.

Social Imperatives

WEB

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Bridges: 4,332 in 2011
To reach

Address the urgent need to repair aging roads, bridges
and other infrastructure elements

20,152 in 2021
Tunnels: 148 in 2011
To reach

Many of Japan’s roads and bridges were built in the 1960s. Over the years, such structures havedeteriorated, but tight national and local government finances have hindered the progress ofrenovation, resulting in an upsurge in road and bridge closures due to safety concerns. Given
these circumstances, repairs using safe, affordable techniques that prolong the useful life ofexisting infrastructure are garnering considerable attention. However, rainfall and river conditions
can cause major delays. Accordingly, there is a growing need worldwide for superior repair agents.
This is also true in the United States, where infrastructure decay has long been an issue, and in the
PRC, which will likely face the same challenges in the years ahead.

640 in 2021

Japan’s deterioratingroad infrastructure

Source: Ministry of Land, Infrastructure, Transport and Tourism, and four public highway corporations

DIC’s Response ＞

Epoxy Resin and Curing Agent for Infrastructure Renovation (EPICLON with LUCKAMIDE)
Superior adhesiveness, even on damp surfaces, shortens repair times and improves workability

A revolutionary curing agent that dramatically improves
adhesiveness on damp surfaces● DIC’s new curing agent shortens construction delays due torain and improves workability
Repairs involving aging concrete structures usually require the bonding of new concrete. If it rains during
this process, work must be suspended until the wet concrete is fully dry. To address this problem, DIC
sought not only to develop a new version of EPICLON, the base material, with enhanced bonding properties
but also to improve the water resistance of the curing agent added to harden the resin. In June 2014,
these efforts, which focused on leveraging proprietary polymer design and compounding technologies
to realize a new formulation, resulted in the development of LUCKAMIDE, which boasts groundbreaking
water resistance and cures at ambient temperatures. The interaction between EPICLON and LUCKAMIDE
results in dramatically increased adhesiveness to damp concrete and improved workability in rainy or
humid environments, reducing project delays and shortening repair times.
Superb water resistance and ambient-temperature curing reduce construction lead times

EPICLON with
LUCKAMIDE
helps keep
construction
schedules on
track

KEY PERSON from DIC

Ambient-temperature curability andsuperb water resistance underscore
LUCKAMIDE’s significant potential.
Developing an agent with enhanced water
resistance and adhesiveness that didn’t
need heat to cure was a particularly daunting
challenge. It was a process of trial and error,
but in the end the success of our efforts was
immediately obvious. The resin in which it isused expands smoothly on wet concrete almost
as if it is pushing the water out of the way, at thesame time demonstrating strong adhesiveness.
A number of contractors are currently using theresin in trials to verify long-term durability. I am
excited about LUCKAMIDE’s potential.
Head Researcher,
Polymer Technical Group 1,
Polymer Technical Division 1

Tsugio Tomura

Rainy andhumid
environments
greatly prolong
repair work

Other
applications for
EPICLONwith
LUCKAMIDE

Preventing
falling concrete

Also effective as an undercoat for sheet materials used toprevent concrete detaching from tunnel interiors

Comfortable
lifestyles

Reduction of substancesthat harm the environment

Reduction of
CO2 emissions

Improvementof convenience

Food loss
reduction

DIC Report 201516

Social Imperative ＞

113

Effectively extinguish dangerous fires at facilities
handling hazardous substances

fires in 1994

188

Fires at petrochemical complexes, chemical plants and other facilities handling hazardous substances
have the potential to cause massive damage. In addition to human casualties, such fires can result in theloss of machinery and equipment, and of products, the release of environmentally damaging substances
and the suspension of production and resulting disruption of supply chains. Fires involving liquid materials
such as gasoline and alcohol cannot be extinguished by water alone. For such fires, it is imperative toblanket burning surfaces with a firefighting foam containing a fire extinguishing agent diluted with water,which prevents contact with oxygen while cooling the fire. The foam must coat the burning surface quickly
without being broken down by the heat and be able to suppress fires involving a variety of chemicals.

fires in 2013

The incidence of fires atfacilities handling hazardous
substances is increasing.

Source: Fire and Disaster Management Agency report on fires in 2013 involving hazardous substances

DIC’s Response ＞

Firefighting Foam (MEGAFOAM )Foam extinguishing agent quickly extinguishes fires involving hazardous substances, thereby minimizing damage

A firefighting foam with a superior extinguishing performancethat has earned it the top share of the Japanese market● DIC has developed a firefighting foam with awide range of applications
Developed in 1982, MEGAFOAM is Japan’s first aqueous film-forming firefighting foam, an innovative productthat leverages DIC’s molecular design and mixing technologies in the area of fluorochemical surfactants. Since
its launch, the product has earned an outstanding reputation for its fire extinguishing capabilities. MEGAFOAM
is currently in use at numerous airports, facilities handling hazardous substances, tunnels, underground parking
lots and other facilities and is the leading firefighting foam in Japan in terms of market share. Capitalizing
on its polymer gel formation technologies, DIC also developed a robust foam structure, which led to thecommercialization of an alcohol-resistant version of MEGAFOAM. Equally effective against water-soluble andwater-insoluble flammable liquid materials, this version of MEGAFOAM is particularly prized by fire departments,
which often must deal with fires involving unspecified materials.
Alcohol-resistant gel foam structure
Fluorochemical surfactant
clings to polymer gel

Water-soluble polymer gel

Gel foamprevents
contact withoxygen while
cooling
the fire

KEY PERSON from DIC

Easily diluted and resistant tobreaking up, MEGAFOAM combines
numerous DIC technologies.
With firefighting foam, you can alter
expansion and choose a foam shower,
nozzle or other discharge format
according to the nature of the fire
to be extinguished. In addition to its
superior fire extinguishing performance,
MEGAFOAM has garnered praise for its
manageability and suitability for diverse
applications, both attributable to foam
generating capabilities that reflect our
high-precision polymer design andmixing technologies.
Head Researcher,
Polymer Technical Group 10,
Polymer Technical Division 2

Jiro Matsuo

Water-soluble andwater-insoluble flammable liquid materials

Foam does notbreak down or defoam
Fluorochemical surfactant and polymer gelinteract to create a strong barrier

17

DIC Report 2015

TOPICS特T o集p i SPECIALc

QR Code accessWEB

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Groundbreaking Sun Chemical Solution Enhances the
Recyclability of Shrink Sleeve-Labeled PET Bottles
The Sun Chemical Group, a core member of the DIC Group, is the leading manufacturer of printing inks
in terms of market share in both the Americas and Europe.
SocialImperative

Shrink wrap is a material made of thermoplastic film that shrinks tightly to conform to the shape ofwhatever it is covering when heat is applied. In recent years, shrink sleeves—printed tube-shaped
shrink wrap for full-coverage labeling of containers—have come into wide use for labeling polyethylene
terephthalate (PET) bottles. Shrink sleeve labels have been extremely successful in terms of marketing and package
appeal, which has driven up demand, spurring growth in the overall market for shrink wrap products. However, in the UnitedStates and Europe, sorting and separation issues have had a significant negative impact on the recycling of PET bottles.
During the recycling process, granulated PET bottles go through a separation tank, where the density of water is used toremove contamination in the form of non-PET materials, such as caps and labels. Problems arise because shrink sleevelabels made from common current materials (i.e., PET-G) typically do not separate completely, causing the recycled PET
material to be contaminated, residual label material or discolored by inks bleeding into the washing or flotation solutions.
As a consequence, recycling efficiencies are impacted (lower yields) and/or the resultant poorer quality recycled PET must
be downcycled into carpet fibers and pallet stripping, for example, rather than upcycled into food-grade recycled PET for
new bottles.

Sun Chemical’s
Response

Sun Chemical has addressed this imperative by developing apioneering solution that facilitates the complete separation ofshrink sleeve labels from PET bottles. This solution centers
on a breakthrough de-seamable composition that is applied tothe shrink sleeve, as a result of which it detaches easily andcompletely from the bottle during the full bottle washing stepthat uses a hot caustic solution. Bottles simply emerge fromthe washing process without labels, improving the efficiency
of optical sorting and also sink/float separation. This new deseamable composition is attracting considerable attention
from the entire value chain involved in PET containers as asolution that will improve the quality and efficiency of recycling
and expand applications for recycled PET.

Stockpiles of PET bottles with shrink sleeves

V O I CEfrom the DIC Group

Field Marketing Manager, Sun Chemical Corporation

Jeremy Teachman

We have developed a solution that improves the recyclability of PET bottles.
Sun Chemical has explored numerous ways to improve the recyclability of PET bottles, focusing primarily on the developmentof inks and coatings suitable for use on floatable shrink sleeve label materials, which make it easier to remove contaminantsin the separation tank. However, challenges always remained. Our new de-seamable composition can be applied to shrink
sleeves at the same time they are seamed and as a seaming adhesive using seaming equipment common in industry today.
We are excited about the global potential for this innovative new product.

DIC Report 2015

18

The DIC Group’s Sustainability Program
WEB

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QR Code accessIn recent years, the need to achieve sustainability in a manner that takes into account, among others, the environment, ecosystems and socioeconomic
issues, including global warming and the depletion of natural resources, has gained increased recognition worldwide. The DIC Group launched its
corporate social responsibility (CSR) program in fiscal year 2007, identifying 10 key themes as a framework for its efforts. Having further clarified theoverall direction of its sustainability-related initiatives, effective from fiscal year 2014 the Group changed the designation used across its program from
“CSR” to “sustainability,” which it feels is more appropriate for a globally active corporate entity.
The DIC Group’s basic sustainability policy calls for it to conduct its business while retaining a strong commitment to five key concepts: preserving
safety and health, ensuring fair business practices and respect for human rights, maintaining harmony with the environment and advancing its protection,
managing risks, and creating value for society through innovation. DIC Group employees will continue working to deliver the value that its stakeholders—
including its customers, suppliers, local communities, shareholders and investors, and employees—expect, showing ingenuity and a sense of
responsibility. The Group itself will strive to remain an organization that contributes to sustainability for society and the global environment by capitalizing
on its businesses to achieve unfaltering growth, thereby enhancing its own sustainability.

Ensuring DIC Remains a Globally Trusted Corporate Citizen with a Proud Reputation
In December 2010, the DIC Group pledged its support for the 10 principles put forth by the United Nations (UN), as well as for the UN’s Millennium Development
Goals (MDGs), and became a signatory to the United Nations Global Compact (UNGC). In addition, the DIC Group operates in a manner that is consistent withISO 26000, released in November 2010, which provides businesses and organizations with guidelines for operating in a socially responsible manner.

Sustainability Framework and Themes
The DIC Group has developed aframework comprising 10 themes andhas introduced a system wherebyt he s e are c ate g o r ize d as basic
themes, themes that demonstrateunique capabilities and themes thatcombine elements of the previous
two classifications, and clarified thepositioning thereof. Each fiscal year, theGroup formulates targets and activity
plans for each of these themes.

Business models focused on social issues
New technology development and value creation
Harmony with the community and contributions to society
Communication with stakeholders

Themes that demonstrateunique capabilities (A)Core and category-specific themes
Themes that combine
elements of (A) and (B)ESH and quality
Human resources management
Supply chain management

Basicthemes (B)Compliance
Risk management
Information security()

Expanding the Scope of Sustainability Initiatives
To guide its efforts to promote sustainability as an integral part of its business activities, the DIC Group formulates theme-specific medium-term targets in line with its basic
sustainability policy and creates annual Group activity plans. Individual sales and technical administrative divisions, product divisions, business sites and overseas and domestic
DIC Group companies are then charged with pursuing effective sustainability programs by formulating their own annual activity plans, ensuring that the Group’s basic sustainability
policy and targets permeate their organizations and labor forces and linking sustainability activities to business targets.

System for Promoting Sustainability
The DIC Group’s system for promoting sustainability centers on the Sustainability Committee, which answers directly to the president and CEO and is tasked with reporting on the statusof sustainability themes, as well as with proposing policies and programs for advancing sustainability and deliberating on related matters as a vital component of corporate management.
○Formulates Groupwide targets and activity plans→ Submits to the Board of Directors○Evaluates sustainability initiatives

Board of Directors

Sustainability Committee

President and CEO

Corporate Communications
Department○Promotes sustainability(coordinates and supports initiatives)○Advances awareness of sustainability○Serves as secretariat for the Sustainability Committee

19

DIC Report 2015

As of January 2015

Sales administrative divisions, product divisions,
Production Administrative Division, Technical Administrative Division,
Corporate R&D Division, headquarters’ administrative divisions, offices,
domestic and overseas DIC Group companies

Sustainability themes

Corporate GovernanceWEB

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QR Code accessBasic Approach to Corporate Governance
The DIC Group identifies the purpose of corporate governance as being to ensure effective decision making pertaining to its management policy ofachieving sustainable corporate growth and expansion through sound and efficient management, while at the same time guaranteeing the appropriatemonitoring and assessment of and motivation for management’s execution of business activities. With the aim of achieving a higher level of trust on thepart of shareholders, customers and other stakeholders and enhancing corporate value, DIC promotes ongoing measures to reinforce its management
system and ensure effective monitoring thereof.

Corporate Governance System
A company with internal auditors, DIC maintains a Board of Directors and a Board of Corporate Auditors. As well as appointing two highly independent
outside directors, DIC has instituted an executive officer system, a move aimed at separating decision making and implementation and thereby
accelerating business execution and clarifying responsibilities. DIC also has a Nomination Committee and a Remuneration Committee, which include thetwo outside directors, to ensure objectivity in the nomination and selection of, and determining remuneration for, directors and executive officers. The fourmember Board of Corporate Auditors, which includes two individuals—one a lawyer and the other an accounting scholar—as outside auditors, liaises withthe accounting auditors and the internal auditing department.

System of Internal Control
To ensure fair business practices, the Board of Directors has set a basic policy on internal control that encompasses, among others, compliance with laws
and regulations and DIC’s Articles of Incorporation, risk and information management and the creation of systems to foster business efficiency. Specificinitiatives to date have included formulating a code of business conduct that encompasses a whistle-blowing system, various risk management initiatives
implemented by the Sustainability Committee, the establishment of various internal rules and monitoring (internal control audits and environment andsafety audits). The Board of Directors also hears annual reports on measures implemented in line with the policy on internal control.

Corporate Governance Organization

Meeting of Shareholders

Audit

Board of Directors
Nomination Committee

Accounting
audit

President and CEO

Remuneration Committee
Sustainability Committee

Internal Control Department

Board of Corporate Auditors
Accounting auditors

Executive Committee
Sales administrative divisions, product divisions, Production Administrative Division,
Technical Administrative Division, Corporate R&D Division,
headquarters´ administrative divisions, offices

Group companies

Internal audit

Supporting the United Nations Global Compact as a
global chemicals manufacturer
Seeking to fulfill its responsibilities as a member of the international community in a more proactive
manner, in December 2010 the DIC Group pledged its support for the 10 principles put forth by the United
Nations (UN), as well as for the UN’s Millennium Development Goals (MDGs), and became a signatory to
the United Nations Global Compact (UNGC).
Inaugurated in 2000, the UNGC is a voluntary initiative for companies that seek to achieve sustainable
development worldwide. More than 13,000 companies and organizations have pledged their support for
the UNGC in the belief that global sustainable development is possible if companies align their businesspractices with, and fulfill their social responsibilities in, 10 globally accepted principles in the areas ofhuman rights, labor, the environment and the prevention of corruption.

DIC Report 201520

Sustainability Report
Goals and Achievements of Major Sustainability Initiatives

21

DIC Report 2015

Basic Themes
Themes that Demonstrate
Unique Capabilities

Core and CategorySpecific Themes

Evaluations are based on self- evaluations of current progress. Key: ★★★ = Excellent; ★★ = Satisfactory; ★ = Still needs work

DIC Report 201522

Goals and Achievements of Major Responsible Care Initiatives* Japan Chemical Industry Association (a general incorporated association): As one of Japan’s major industry organizations, JCIA is a member of the International
Council of Chemical Associations (ICCA) and pursues the healthy development of the chemical industry with other chemical-industrial organizations around the world.

23

DIC Report 2015

Basic Themes
Themes that Demonstrate
Unique Capabilities

Core and CategorySpecific Themes

Evaluations are based on self- evaluations of current progress. Key: ★★★ = Excellent; ★★ = Satisfactory; ★ = Still needs work

DIC Report 201524

Compliance

Toward Fair and Transparent Corporate Activities
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QR Code accessBasic Approach
Compliance in the DIC Group encompasses not only obeying laws but also acting in a manner that is in keeping with social norms and the expectations of customers, communities andother stakeholders. With the aim of ensuring sustainable growth of businesses that are both fair and transparent, DIC formulated the DIC Group Code of Business Conduct, a unified
set of guidelines the adherence to which it considers to be the foundation of compliance. DIC compels all DIC Group employees to conduct themselves in accordance with the code.

The DIC Group Code of Business Conduct
The DIC Group completed the DIC Group Code of Business Conduct in July 2014 and subsequently distributed it to all DIC Group employees. The code not only
mandates compliance with national laws and international rules but also presents 10 principles essential to the professional conduct of DIC Group employees. In
fiscal year 2014, the DIC Group held 114 explanatory meetings on the DIC Group Code of Business Conduct in Japan and 32 in the PRC, Southeast Asia and otherparts of Asia. In Europe and the United States, the Group mainly used e-learning to keep employees informed about the code. The Group also translated the code
into 25 languages to foster understanding among employees around the world.

Establishing and Operating a Whistle-Blowing System
The DIC Group has established a whistle-blowing system through which one can directly report an issue or question regarding compliance to the compliancedivision. Since fiscal year 2014, the Group has maintained whistle-blowing hotlines that can handle reports in the languages of more than 160 countries. The Group
has also devised strict rules under this system to protect whistle-blowers from retaliation, and is working to ensure the system functions in a proper manner.

Antitrust and Anti-Corruption Legislation
The DIC Group has formulated a basic policy to comply with antitrust legislation and made Groupwide efforts to ensure fair business practices. The DIC Group Codeof Business Conduct includes rules for complying with antitrust legislation, and prohibits involvement in bribery or corruption. In fiscal year 2014, the Group held 110
explanatory meetings about antitrust and anti-corruption legislation for relevant employees to ensure strict compliance with the laws of the countries in which it operates.

Risk Management

Reducing Business Risks and Preventing the Recurrence of Incidents
WEB

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QR Code accessBasic Approach
The DIC Group undertakes risk management initiatives with the aim of appropriately and flexibly addressing changes in its operating environment and the diversification ofrisks, and of swiftly mitigating damage. The Group recognizes risks in three principal categories: externally caused risks that are beyond its control, corporate risks that canbe prevented and business risks that should be handled by the relevant departments. The Risk Management Subcommittee works to ensure effective risk management inand an effective division of responsibilities with individual businesses.

Risk Management Policy
The DIC Group first introduced risk management initiatives in 2001 by creating the Compliance Committee and setting up reporting channels. Following theestablishment of the Risk Management Subcommittee in May 2012, the Group undertook initiatives aimed at responding to serious natural disasters andpromoting business continuity management (BCM). Since fiscal year 2014, the Risk Management Subcommittee has focused its attention on establishinga risk management policy and a risk management system, efforts that are designed to further enhance corporate value Groupwide. In a bid to ensure theeffective and sustainable implementation of initiatives, in January 2015 the Group introduced a newly formulated risk management policy.

25

DIC Report 2015

Risk Management System
Basic Themes

The DIC Group risk management system was established to reflect the Group’s new risk management policy. The system reduces risks by promoting use of the plan–do–check–act(PDCA) cycle to implement risk management plans. The Group has positioned fiscal years 2014 and 2015 as the first phase of Groupwide risk management initiatives predicated on
the new system. Subsequent phases will also last two years. The Group has commenced the implementation of initiatives based on the system in Japan and will consider rolling themout globally if the nature of risks faced warrants doing so. Administrative divisions at DIC’s corporate headquarters in Japan and other divisions/departments, which are organizedvertically by function, will independently undertake such initiatives through direct collaboration with pertinent departments.
Risk Management Configuration

December (prior year): A risk survey of product division general managers and other executives is conducted
January (current year): Risk questionnaires are distributed to directors → The Risk Management Subcommittee creates a risk map
February (current year): The conference determines priority risks and risk ownership → Risk owners formulate response measures

November (subsequent year): The Risk Management Subcommittee assesses theeffectiveness of response measures

March (current year): A list of response measures is prepared (an explanation of the list is provided to the Sustainability Committee)

1

Framework forconstruction andmaintenance ofsystem2

3
Production of risk
management plan

PLAN
Risk management policy
Risk management system
Risk management organization,
rules and manuals

4Management ofrisks

Assessment ofrisk management
performance

DO

5

CHECK

February (current year)–November (subsequent year):
Individual response measures are implemented (by risk owners)

6

Adjustment andimprovement ofrisk management
systemManagement
review

ACT

December (subsequent year): A list of the results of response measures is prepared(submitted by the Risk Management Subcommittee to the
Sustainability Committee)

Information Security

Initiatives to Ensure Information Security
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Basic Approach
The DIC Group has positioned information security as a key management priority, andestablished a Basic Policy on Information Security. In line with this policy, the Group formulated
management regulations for confidential information, information management guidelines andindividual guidelines. These were prepared to ensure that individual directors and employees fully
understand the importance of information assets and manage them responsibly and appropriately
as a matter of course, enabling them to optimize confidential information and make effective useof information assets. Looking ahead, the Group will pursue further improvements by conducting
internal audits and confirming current issues.

Globally Maintaining and
Enhancing Information Security
Regional headquarters in the Asia–Oceania region*—located in Singapore
and the PRC—formulated management regulations for confidential
information and information management guidelines, which were deployedin fiscal year 2014 after being approved by the Information Security
Conference. In fiscal year 2015, subsidiaries overseen by these regional
headquarters will enforce these regulations. The DIC Group will continue toidentify fits and gaps between information security policies in Europe andJapan and consider approaches to global deployment policies. In Japan,
DIC will continue to maintain and improve rules and guidelines by reviewing
rules for implementation, particularly those pertaining to information andcommunications technology (ICT)-related systems.

Preparationof response
measures

QR Code access

Implementation
proceduresManagement
regulations forconfidential
information

Information
management
guidelines
Individual
guidelines

Further
improvements

Basic
policyBasic Policy
on Information
Security
Internal audits

V O I CEfrom the DIC GroupWe are working to improveinformation security in Greater China.
We are tackling the rapid development of
virtualization technology and cloud computing
Corporate IT Director,
DIC (China) Co., Ltd.
by promoting a network integration plan in
Tylone Zhou
Greater China. We are also deploying the Basic
Policy on Information Security, management
regulations for confidential information and information management
guidelines at regional subsidiaries with the aim of creating an internalmanagement system that will ensure the security of all information. Thisis one of several key medium- to long-term projects, and will enable
us to develop global and regional information systems that meet ourbusiness needs as well as satisfy Group security requirements.

* As used here, the Asia–Oceania region includes China but excludes Japan.

DIC Report 201526

Environment, Safety and Health (ESH) and Quality

Toward the Achievement of a Sustainable Society
WEB

Related information

http://www.dic-global.com/en/csr/environment/

QR Code access

Promoting Responsible Care
Basic Philosophy
As a company that manufactures and sells chemical substances, DIC sets standardized safety regulations for ESH initiatives. The Company is working to exceed regulatory
standards and fully disclose results.

Initiatives in Fiscal Year 2014
The DIC Group established the following policy for Responsible Care initiatives in fiscal year 2014:• Promote Responsible Care activities across DIC’s global network.
• Establish a safety culture oriented toward “zero accidents.”• Set targets to reduce environmental impact through business activities and openly report performance and achievements.
• Manage chemical substance information in an appropriate manner, providing it to customers and using it in DIC Group activities.
The DIC Group also expanded its management by objectives (MBO) system beyond Japan to encompass Group companies in other areas. As aresult, effective from fiscal year 2015 all Group companies in Japan, Greater China, the Asia–Pacific region, and the Americas and Europe (theSun Chemical Group) set specific goals for disaster mitigation, occupational safety and health and environmental protection and determine key
initiatives, enabling the entire global Group to work as one to raise the level of its Responsible Care initiatives.

Responsible Care Department

Sales administrative divisions

Implementation

Each year, the DIC Group defines priority issues
to address and uses PDCA cycles in voluntary
initiatives at the business company, plant andresearch laboratory levels. The Responsible Care
Department makes various efforts to help these
activities to progress well and regularly audits
them to ensure compliance and enhance safety,
environmental and quality efforts.

Framework

Product
divisions

Framework for Promoting
Responsible Care

Technical Administrative Division
Production Administrative Division

Persons in charge of
Responsible Care

Production and R&D(plants and R&D centers)

Safe environmental
monitoring

Product divisionquality audits

Environment,
safety and quality groups

Quality audits

Branch and sales
office audits

Responsible Care implementation framework

Responsible Care auditing framework

Responsible Care Auditing
Basic Approach
Responsible Care Department specialists with expertise, experience and auditing capabilities regularly visit DIC Group companies to assess the status of Responsible Careinitiatives. In addition, top management ESH audits, which include participation by DIC’s President and CEO, as well as by senior executives and executive officers, areconducted at multiple sites each year with the goal of enhancing Responsible Care performance levels across the domestic DIC Group.
Overseas, Responsible Care Department specialists and regional ESH officers assess the progress of efforts at production sites and work together to enhance theeffectiveness of Responsible Care initiatives.

27

DIC Report 2015

Occupational Safety and Health, Security
and Disaster Prevention

Occupational Safety and Health
Basic ApproachCore and CategorySpecific Themes

As a responsible member of society and a company that manufactures and sells chemical substances, the DIC Group recognizes that proper consideration for ESH isfundamental to its operations and works to incorporate this awareness into all of its business activities.
Guided by this philosophy, the DIC Group analyzes accidents and communicates information thus derived, based on which it undertakes risk assessment with the aimof ensuring occupational safety and health.

Initiatives in Fiscal Year 2014
❶ Promoting Appropriate Regional Benchmarks

The DIC Group conducts its diverse businesses in accordance with a wide range of national and regional legal systems, working
environments and practices. As such, in fiscal year 2014 DIC defined accidents, disasters and reporting procedures for each region, as
well as gathered and shared statistical information related to occupational safety. This approach made it possible to objectively compare
operational safety, establish more precise targets and facilitate improvement programs. The DIC Group has used benchmarks identified
through this process to formulate specific regional targets for fiscal year 2015 and will continue working to improve its performance.
❷ Reducing Risks

By understanding potential risks in production processes, facilities and devices, and the hazards of chemical substances, the DIC Groupsystematically also prepared initiatives to prevent accidents and occupational injuries. In line with its commitment to reduce risks, 27 Risk
Assessment Workshops were held at 16 sites around Japan for approximately 400 participants and appropriate training was provided to theindividuals responsible for conducting risk assessments.
❸ Training Skilled Safety Personnel to Predict Risks

The DIC Group regularly educates skilled safety personnel on how to handle chemical substances, using materials such as its Principles of
Safe Conduct and Environment and Safety Guidelines for the R&D Department, as well as safety data sheets (SDSs) and its Occupational
Accident Case Studies database.
❹ Promoting Hands-On Safety Training

Hands-on safety training is an effective alternative to classroom-based learning that uses actual equipment to simulate potential risks in theworkplace, thereby heightening employees’ awareness of the importance of proper safety. In fiscal year 2014, the DIC Group included twodays of safety training and Kiken Yochi Training (KYT) (“hazard prediction training”) in the training curricula for new employees.
❺ Top Executives Appear in Posters Promoting the Principles of Safe Workplace Conduct

Underscoring its commitment to reinforcing its safety infrastructure and creating a culture of safety, the DIC Group produced posters featuring
Group company presidents and plant general managers from around the world to remind employees of the importance of putting safety first.

Topic

DIC safety officers’ conferences in Greater China and the Asia–Pacific region will be expanded

Participants in DIC safety officers’ conferences exchange views on initiatives in such areas as safety performances, progress in
deploying safety management systems, ways to enhance the effectiveness of safety training and education, and environmental protection
initiatives. They also take part in hands-on safety training to gain experience that they can later apply when at their own workplaces.
A total of 24 officers from 16 companies (including participants from Japan) attended the fiscal year 2014 Asia–Pacific region safety
officers’ conference, which was held in Malaysia. The DIC Group will continue to foster human resources with a keen awareness ofsafety, the fundamental goal of which is to enhance the capabilities of Group companies and establish a mechanism for promoting
autonomous, localized Responsible Care initiatives.

Plenary session of the fiscal year 2014 Asia–
Pacific region safety officers’ conference (Malaysia)

DIC Report 2015

28

Status of Occupational Accidents
In fiscal year 2014, the number of occupational accidents at DIC and
DIC Group companies in Japan declined, as did the domestic DART
rate*. The number of occupational accidents for the global DIC Groupalso decreased.
* The Days Away, Restrictions and Transfers (DART) rate is calculated as N/EH x 200,000. (N = total days
away from work. EH = total annual hours worked by all employees. The 200,000 hours in theformula represents the equivalent of 100 employees working 40 hours per week for 50 weeks per year.)

Workdays Lost Due to Occupational
Accidents in Fiscal Year 2014
DIC
Number of
workdays lost

(Figures in parentheses
are for fiscal year 2013)

DIC Group (Japan) DIC Group (global)

0（2）

4（6）

80（84）

Frequency rate

0.000（0.338） 0.429（0.622）

2.133（ー）Severity rate

0.000（0.001）

0.006（0.018）

ー

DART rate

0.1（3.5）

9.6（16.0）

20.3（17.8）

Note: Effective from fiscal year 2014, the scope of “DIC Group (global)” was amended to include all
DIC Group companies worldwide, including those in the Americas and Europe.

Topic

DIC employee wins JISHA Green Cross Award

Yasuaki Oohira, senior manager of the Responsible Care Department and in charge of environmental and safety initiatives, received the Green Cross
Award from the Japan Industrial Safety and Health Association (JISHA). JISHA bestows the award annually in recognition of individuals and groups
who have helped advance occupational safety and health over many years and have made noteworthy achievements.
As one of the principal individuals responsible for occupational safety and health at DIC, Mr. Oohira has developed and deployed safety initiatives
entailing full employee participation, spearheaded the formulation and revision of risk assessment guidelines and promoted hands-on safety
training across the DIC Group. Mr. Oohira also participated in the establishment and promulgation of a safety assessment system for evaluating andenhancing the safety capabilities of industrial sites by the Japan Society for Safety Engineering (JSSE)’s Safety Competency Enhancement Center.
These and other commendable endeavors encouraged the Japan Chemical Industry Association (JCIA)* to recommend Mr. Oohira for the Green Cross Award.
* For more information on JCIA, a general incorporated association, see page 23.

Mr. Oohira holding his
Green Cross Award certificate

Occupational Health
The DIC Group handles a broad range of chemicals, including specified chemical substances and organic solvents. The Group regularly carries out working environment
measurements, in keeping with rules and guidelines, to safeguard the health of employees working in related businesses and modifies and improves working conditions asnecessary. Occupational health physicians and other experts conduct specialized health checks and inspect workplaces as part of worker health management.

Security and Disaster Prevention
Basic Philosophy
Any fire, explosion or leak of hazardous substances from a chemical plant could have a tremendous impact on local residents and the rest of the community and damage thehealth of employees, including those of partner companies.

Facility Safety Assessment❶ Assessment Procedures

DIC Group production facilities have a vast array of equipment, ranging from units where chemical reactions are conducted to machine presses
and other processing equipment. When modifying processes or upgrading/replacing equipment, safety is assessed at every stage, from process
design and construction through to operation, maintenance and final disposal, to ensure higher safety levels for new processes and facilities.
❷ Accident and Disaster Analysis and Timely Information

DIC collects and compiles information on internal and external accidents, disasters and problems into its Occupational Accident Case Studies
and Accident Case Studies databases. After identifying the causes of accidents or problems and establishing points to be checked, the Company
incorporates database information into safety education for DIC and DIC Group companies in Japan and overseas.
❸ Initiatives to Enhance Safety Competency

DIC introduced a safety competency assessment system in fiscal year 2013 as a means of objectively
evaluating and enhancing its safety competency, that is, its ability to maintain safety levels at its
various sites. This system was developed by JSSE, and is a common benchmark for engineers in the
petrochemicals industry. The system is currently used by the 19 major corporations in Japan that jointly
established JSSE’s Safety Competency Enhancement Center. In fiscal year 2014, voluntary safetyassessments were conducted at DIC’s Hokuriku, Yokkaichi and Kashima plants.

Conceptual Illustration of DIC’s Safety Infrastructure
Production facility
safety information
Safe design
Process risk
management

Operation

MaintenanceConstruction

Education

29

DIC Report 2015

Managementof change
Disaster and accident
predictions and responses

ESH and Quality

Safety Management in Logistics
The DIC Group commissions logistics firms to transport its chemical products. In Japan, these firms use containers that comply with the Fire Service
Act and other transportation laws, as well as with related United Nations’ standards. The Group supplies information needed to display labels
complying with GHS*1 as well as provides SDSs and other documentation to ensure safe shipping in Japan and overseas. DIC endeavors to maintainand enhance safety by requiring transport personnel to carry Yellow Cards*2 to ensure proper responses in the event of an emergency.

Core and CategorySpecific Themes* Super Science High School is a designation awarded by Japan’s Ministry of Education, Culture, Sports, Science and Technology (MEXT)
to seniorschoolsSystemthat ofimplement
curriculafocusedon the sciences and mathematics that goes beyond the Ministry’s official*1 GHS:
Globallyhigh
HarmonizedClassificationand Labellingof Chemicals
guidelines
withparttheof aim
of fostering
the next
generation
talentedengineersscientists.
*2 Yellow
Cards areactivities
recommended
by JCIA.
The cardsofcontain
information
aboutandthe right
actions if accidents occur and provides contact details to ensure proper responses of transportation companies,
firefighters and police officers if accidents occur during the transport of chemical substances. Transport personnel must carry these cards at all times.

Preventing Global Warming
Basic Philosophy
Climate change, a principal cause of which is global warming, is an increasingly pressing issue for the entire world. DIC has included initiatives aimed at reducing
greenhouse gas emissions from its production facilities in its annual sustainability policy for fiscal year 2015. The Company is currently implementing initiatives toreduce its consumption of energy—and thus its emissions of CO2 —as well as promoting the active disclosure of related data.
❶ Undertake energy-saving initiatives Groupwide.
❷ Deploy effective strategies through working group activities.
❸ Operate energy-saving cogeneration systems (combined heat and power generating facilities).
❹ Employ energy from renewable resources (biomass, wind power and solar power) at suitable sites.
In fiscal year 2013, DIC inaugurated conservation efforts at overseas DIC Group companies, which consume approximately 1.6 times more energy than their domestic
counterparts.

Framework for Promoting Energy-Saving Initiatives
DIC and DIC Group companies in Japan have established energy-saving promotion committees at each of their production and R&D sites.
Committee activities include confirming the progress of initiatives, engaging in discussions and conducting patrols. DIC has also set up an energysaving working group comprising members chosen from each production facility that fosters the exchange of information, research pertaining to new
items and the Groupwide implementation of effective measures. This combination of site- and Group-level initiatives forms the framework under which
the DIC Group works to reduce CO2 emissions.
DIC Group companies overseas promote a wide range of independent energy-saving initiatives. The Production Control Department provides
support on multiple fronts, including the deployment of management systems and the training of employees.

Principal Initiatives in Fiscal Year 2014
❶ Energy Consumption and CO2 Emissions by the Global DIC Group

Against a 7.3% decrease in global production volume, the volume of energy consumed by the global DIC Group in fiscal year 2014, calculated
in kiloliters of crude oil, amounted to 288,452 kiloliters, down 10.5% from 322,210 kiloliters in the preceding fiscal year, while energy
consumption per unit of production declined 3.4%, to 148.4 liters/ton, from 153.7 liters/ton in fiscal year 2013.
The Group also succeeded in reducing its global CO2 emissions a remarkable 9.1% in fiscal year 2014, to 657,457 tons, from 722,955 tons
in fiscal year 2013. This achievement was attributable to energy conversion and the installation of energy-efficient equipment at production
facilities and other business sites worldwide, as well as to process improvements and the steady implementation of energy-saving initiatives.
Declines in key indicators:
Results of energy-saving initiatives implemented by the DIC Group
Globalproduction volume

Energyconsumption- 7.3％ -10.5％

Energy consumption perunit of production

-3.4％

Down

9.1％

from fiscal year 2013

722,955
tons

657,457
tons

Fiscal year 2013

Energy Consumption and Change in Energy
Consumption Per Unit of Production from Base Year
(Kiloliter crude
oil equivalent)
350,000

100

98

103

300,000

（％）

100

110

250,000

100

200,000
150,000
100,000

120

149

liters/ton

145

liters/ton

154

liters/ton

148

liters/ton

90
80

50,000

70

0

60

’11

’12

’13

’14

-10.5%
fromfiscal year 2013

Energy consumption
Change in energy
consumption per unit ofproduction from base year

Note: Energy consumption per unit of production (liters per ton) is
calculated as energy consumption divided by production volume

Fiscal year 2014

DIC Report 201530

❷ Energy-Saving Initiatives in Japan

Results of Energy-Saving Initiatives in Japan in Fiscal Year 2014

DIC Corporation
Domestic DIC Group companies
Total

Number of
initiatives

Reduction in energy
consumption (kl)Reduction in CO2emissions (tons of CO2)

406

2,175

5,859

488

2,677

6,883

82

502

1,024

The DIC Group promoted a number of highly successful energy-saving initiatives in Japan in fiscal year 2014. At domestic sites, namely, plants and R&D sites, theseincluded integrating production and replacing waste-heat boilers to reduce consumption of thermal energy, reconsidering refrigerants used in and the operating
hours of air conditioning equipment to lower consumption of electric power, ensuring the488 energy-saving initiatives accounted for a reduction in energy
efficient operation of air compressors and replacing existing lighting fixtures with LED consumption equivalent to 13,385 200-liter drums of crude oil.
lights to reduce the use of electricity. These initiatives reduced energy consumption by
488 initiatives
2,677 kiloliters (crude oil equivalent) (associated reduction in CO2 emissions: 6,883 tons),
Equivalent toequivalent to 13,385 200-liter drums of crude oil, or 2.8% of total energy consumption by Reduction
the DIC Group in Japan in fiscal year 2013.
in energy
consumption

13,385200-liter drums of crude oil

Expanding Application of System to Enhance the Visibility of Energy Consumption
With the aim of optimizing the use of electric power on an individual facility basis, DIC has developed asystem that measures, monitors and verifies waste and irregularities in use, thereby enhancing the visibilityof energy consumption. Initially installed at the Hokuriku Plant in 2012, the system—which won the ECCJ
Chairman’s Prize at Japan’s 2012 Energy Conservation Grand Prize awards, sponsored by the Energy
Conservation Center, Japan (ECCJ)—has since been rolled out at DIC business sites across Japan. In fiscal
year 2014, the system was installed at the Komaki Plant.
One outcome of efforts to enhance the visibility of energy consumption was an increase in the numberof categories of Scope 3*, in which DIC reports indirect emissions of CO 2, to six (including “upstream
transportation and distribution,” “capital goods” and “waste generated in operations”) in fiscal year 2013.

System to enhance the visibility of energy consumption* Scope 3 is the Greenhouse Gas Protocol’s standard for calculating indirect greenhouse gas emissions resulting from production, transport,
business travel and commuting, among others, across entire supply chains.

❸ Using Renewable Energy

In Japan, the DIC Group actively promotes the use of energy from renewable sources (biomass, wind power and solar power) at suitable sites. In fiscal year 2014, DIC
dramatically enhanced the generating capacity of biomass boilers (4,000 kW and 30 tons of steam per hour) by improving the quality of the wood chips used to fire boilers
and reinforcing maintenance procedures, which facilitated a significant increase in operating rates, boosting output of both electric power and steam (waste heat). The
Group also raised operating rates at its two wind power generation facilities (each has a generating capacity of 2,300 kW). These improvements, together with contributions
from a small solar power plant, resulted in an increase in the DIC Group’s renewable energy output in
CO2 Emissions Reductions at theJapan of 7.9% from fiscal year 2013, while independently generated renewable energy accounted for
Kashima
Plant (January–December 2014)
8% of all energy consumed by the domestic Group. As a consequence, the Group’s CO2 emissions incalendar year 2014 were down 39,735 tons, or 11%, from calendar year 2013.
Reduction attributable to use ofwood biomass energy
Leveraging the biomass boiler management technologies it has developed through operation of
tons
facilities at its Kashima Plant, in 2016 DIC plans to expand the installation of such boilers to include
of CO 2
its Hokuriku Plant, in Ishikawa Prefecture.

-37,109

Use of Renewable Energy
Electric power produced through theuse of renewable energy+ 7.9％ fiscal year 2013
fromWaste heat produced+ 13.0％ fiscal year 2013
from

31

DIC Report 2015

Reduction attributable touse of wind power

Reduction attributable touse of solar power-2,571tons -55 tons

Resultof CO 2

Reduction in CO2 emissions(January–December 2014)-39,735 tonsof CO2of CO 2

ESH and Quality❹ Energy-Saving Initiatives Overseas

Greater China

Total

In November 2014, 26 energy officers from 16 sites in the PRC gathered at DIC Zhangjiagang
Chemicals Co., Ltd., a manufacturer of synthetic resins in Zhangjiagang, Jiangsu Province, in
the PRC, for an energy management conference on the theme of energy-saving and wastewater
processing. Participants reviewed initiatives, and shared information on ongoing challenges
and discussed future plans. A representative of DIC’s Production Administrative Division gave apresentation using the Company’s installation of LED lights and efforts to promote the efficient
operation of air compressors as case studies.
Authorities in the PRC are encouraging companies to switch from light oil to environmentfriendly town gas, as well as to make use of an active biodiesel refined from vegetable matter.
DIC Group companies in the PRC are exploring the possibility of making this switch, examining
such considerations as infrastructure and site locations. Shanghai DIC Ink Co., Ltd., which
manufactures printing inks, began using biodiesel in fiscal year 2013. The company plans toreplace 90% of its boiler fuel with biodiesel in fiscal year 2014.

87

1,259

Core and CategorySpecific Themes

Laws and regulations, as well as infrastructure, differ between countries and regions. The DIC Group strives to promote energy savingsand efficient operations wherever it is active and in so doing to set precedents for the global chemicals industry. Against a 10.3% decline
in production volume, energy-saving initiatives by DIC Group
Results of Energy-Saving Initiatives Overseas in Fiscal Year 2014
companies overseas in fiscal year 2014 reduced energy
consumption 15.4% and yielded a 5.7% improvement in energy
Reduction in energy
Reduction in CO2
Number of
consumption (kl) emissions ( tons of CO2 )initiatives
consumption per unit of production. These achievements supported
a substantial decline in associated CO 2 emissions of 15.9%, orGreater China
26
374
842
76,235 tons.
Asia–Pacific
61
885
1,960
region2,802Energy management conference held in Zhangjiagang

Americas and Europe

In October 2013, the Sun Chemical Group—which has operations in 13 countries in North, Central and South America and 43 countries in Europe—rolled out a
new internal Web-based data collecting system called EcoTrack, which facilitates the collection and centralized monitoring of data for key sustainability metrics
related to energy, water, waste and safety at 153 sites. In addition to increasing the transparency of site data related to production, energy-saving initiatives
and CO2 emissions, among others, EcoTrack was designed to encourage the sharing of information and the horizontal deployment of measures. The full
implementation of the system across the Sun Chemical Group in fiscal year 2014 greatly increased the transparency of crucial data, which in turn accelerated
the cycle of analyzing data, formulating responses and deploying measures, significantly increasing the progress of energy-saving initiatives. At two sites, forexample, the mounting of sensors on production equipment and analysis of resulting data facilitated the calculation of optimum electric power and operatingtimes for individual processes to minimize wasted power and optimize production. As a consequence, both sites succeeded in boosting production volume
while substantially lowering their use of electric power, enabling both to achieve noteworthy reductions in both energy consumption and costs.

Topic

Chiba Plant signs environmental conservation accord

A consortium of 50 companies with a combined total of 59 major production facilities in the Keiyo–Rinkai area, a coastal strip extending
across Tokyo and Chiba Prefecture, are signatories to an environmental conservation accord with Chiba Prefecture, as well as with six major
prefectural cities, including Chiba and Ichihara, and to a detailed agreement outlining emissions standards designed to prevent air and waterpollution.
The detailed agreement is reviewed every five years. In March 2015, a signing ceremony
was held for a new agreement, where Mitsuo Fujino, general manager of DIC’s Chiba Plant,
who attended the ceremony on behalf of signatory companies in Ichihara’s Yawata
district, together with representatives of signatories in other cities and districts, handed
over the new signed agreement to Kensaku Morita, governor of Chiba, and Takayoshi
Sakuma, mayor of Ichihara.
Taking into account issues of particular concern in recent years, the new five-year
agreement, which went into effect in April 2015, includes regulations for airborne
particulates designated PM2.5 (i.e., with a diameter of 2.5 µm or less). The agreement
will come up for review again in March 2020.
()
Photograph courtesy of Chiba Prefecture

DIC Report 201532

Reducing Emissions of Chemicals
into the Environment
Basic Approach
As chemicals companies handle a considerably greater volume and more diverse range of chemical substances than companies in other industries, theymust be extremely vigilant to prevent discharges of such substances into the environment. DIC and DIC Group companies in Japan have worked to reduce
emissions into the air, water and soil of substances designated under the Pollutant Release and Transfer Register (PRTR) since fiscal year 2000 and of
substances targeted under a voluntary scheme created by the Japan Chemical Industry Association (JCIA) since fiscal year 2005. In fiscal year 2013, DIC
introduced MBO at DIC Group companies in Greater China and the Asia–Pacific region with the aim of further encouraging emissions reductions.

Principal Initiatives in Fiscal Year 2014

Environmental Emissions of Targeted Chemical Substances(551 Substances, Including those Designated by the PRTR,
and One Substance Group) in Fiscal Year 2014

In fiscal year 2014, DIC and DIC Group companies inJapan used and/or produced 93 and 108 PRTR-designatedsubstances*, respectively, in amounts exceeding 1.0 ton.
During the period, DIC Group companies in Japan sought tomeet their emissions reduction targets for these substancesby reviewing cleaning processes for reaction tanks and local
exhaust ventilation devices.
Overseas, DIC Group companies tracked emissions oftargeted substances and reported findings to regulators in linewith pertinent national and regional regulations. The Groupwill continue working to attain both facility- and operationsrelated reductions targets.

189 tons
13 tons
0 tonsEmissions into the air
Emissions into water

DIC

Emissions into soil

354 tons
13 tons
0 tonsEmissions into the air
DIC Group (Japan)

Emissions into water
Emissions into soil

Number of Targeted Chemical Substances Used and/or Producedin Amounts Exceeding 1.0 Ton in Fiscal Year 2014

* In 2014, the JCIA reviewed chemical substances designated under the PRTR, as aresult of which the number of targeted substances, previously 105, was revised to 89.

DIC

93

Reducing Environmental Impact
on the Air, Water and Soil

(Tons)

DIC

’10

’11

’12

’13

354

261

’09

189

283

466

310

’00

309

0

555

646

500

745

985

1,000

304

Having succeeded in achieving a voluntary target—set in
fiscal year 2007—of reducing emissions into the air of VOCs
30% by fiscal year 2010 (using fiscal year 2000 as the baseyear) for the DIC Group in Japan, domestic Group companies
continue to pursue steady annual reductions through facility
improvements and emissions management. Overseas, Group
companies in Greater China and the Asia–Pacific region areusing MBO to promote ongoing emissions reductions.

108

Emissions into the Air of Targeted Chemical Substances(551 Substances and One Substance Group)561❶ Addressing VOC Regulations

DIC Group (Japan)’14 (Fiscal year)

DIC Group (Japan)❷ Managing Water Resources

The DIC Group withdraws fresh water (tap water and industrial water) for use in production
processes and air conditioning and for drinking, among others. The Group also discharges
wastewater—after purifying it in line with internal standards that exceed official standards inthe countries and territories where it has operations—into rivers and other fresh water bodies.
In fiscal year 2014, fresh water withdrawn by the global DIC Group amounted to 23,176,000
m3, a decline of 7.5% from the preceding fiscal year, while wastewater discharged by the
global DIC Group in fiscal year 2014 amounted to 14,363,000 m3, a decrease of 3.8%.

Fresh Water Withdrawn
by the Global DIC Groupin Fiscal Year 2014

Wastewater Discharged
by the Global DIC Groupin Fiscal Year 2014

-7.5％

from fiscal year 2013

23,176,000 ㎥

from fiscal year 201314,363,000 ㎥-3.8％❸ Soil and Groundwater Pollution Studies

The DIC Group in Japan implements soil and groundwater surveys and countermeasures as necessary and assesses related environmental and safety risks.
33

DIC Report 2015

ESH and Quality❹ Reducing SOx, NOx and COD

Core and CategorySpecific Themes

Taking fiscal year 1990 as the base year, DIC Group companies in Japan have worked to reduce sulfur oxide (SOx) and nitrogen oxide (NOx)emissions—key causes of acid rain—from boilers. These efforts have yielded noteworthy results. The Group is also achieving steady resultsin the reduction of chemical oxygen demand (COD), an indicator of water quality deterioration in wastewater, thereby enhancing its water
quality management. Overseas, Group companies are also switching fuel from light oil to natural gas and replacing light oil- and heavy oilfired boilers with waste wood-fired biomass boilers at sites with appropriate infrastructure.
In the area of water quality management, the Group is also working to protect the environment, including promoting the reuse of waterand installing closed-loop water recycling and wastewater treatment systems at its sites that purify water to a level that exceeds the legally
mandated standard.
❺ Complying with Regulations Governing Dioxin Emissions

In Japan, the DIC Group monitors emissions of dioxins from waste incinerators that produce these byproducts. At present, the Group has
six such facilities. Continuous efforts to reduce emissions levels have enabled the Group to achieve results that greatly surpass standards
specified in the Law Concerning Special Measures Against Dioxins.

Reducing Industrial Waste
Basic Approach
The DIC Group aims to minimize industrial waste by recycling and reusing materials. Since fiscal year 2001, DIC has been involved in a zero-emissions
initiative aimed at reducing industrial waste disposed of as landfill. DIC has deployed zero-emissions initiatives at DIC Group companies in Japan since fiscal
year 2008. With the aim of expanding efforts across the global DIC Group, in fiscal year 2013 DIC began to introduce MBO at overseas Group companies. DIC
subcontracts the treatment of industrial waste to be disposed of as landfill, and ensures waste is properly treated by promoting strict compliance and on-site
confirmation by designated departments at each of its production facilities.

3,000

0

49 tons 80 tons

1,560
2,296

6,000

’00

’01

（Base year）

DIC

DIC Group(Japan)

DIC

’02

’03

537
1,288
312
991
128
537
125
320
89
232
90
207
104
158
48
106
44
86
49
80

9,000

4,190
3,426
4,326

The DIC Group actively works to reduce its
disposal of industrial waste as landfill by recycling
cinders, dust and sludge, using thermal recycling
to recover waste heat and reducing production
losses by increasing yields.
In fiscal year 2014, the demolition of DIC’s
Suita Plant, in Osaka Prefecture, resulted in the
discharge of a significant amount of industrial
waste during the period. However, thanks toefforts to make effective use of wastewaterin production processes, the total volume ofindustrial waste generated by the DIC Group in
Japan in fiscal year 2014 declined 52.4% from thefiscal year 2013 level.

（Tons）

5,581

Reducing Industrial
Waste Disposed of as Landfill

Industrial Waste Disposed of as Landfill
7,981

Principal Initiatives
in Fiscal Year 2014

’04

’05

’06

’07

’08

’09

’10

’11

’12

’13

’14（Fiscal year）

DIC Group (Japan)

Industrial Waste Generated by the
DIC Group in Japan in Fiscal Year 2014
DIC

+15.6 ％
from fiscal year 2013

Domestic DIC Group companies- 74.9％from fiscal year 2013

DIC Group (Japan)- 52.4 ％from fiscal year 2013

Initiatives Overseas
In addition to ensuring the disposal of industrial waste in a manner that complies with national and regional regulations, the DIC Group’s
overseas production facilities work to minimize industrial waste through the voluntary recycling and reuse of materials. In fiscal year 2013,
overseas Group companies sought to reinforce efforts to reduce industrial waste by introducing MBO.
In fiscal year 2014, DIC Group companies in the Americas and Europe and the Asia–Pacific region deployed measures aimed at achieving
reductions in waste generated during various production processes that exceed national and regional legal requirements. Nonetheless, thetotal volume of industrial waste generated by DIC Group production facilities overseas rose 6.7%.

DIC Report 201534

Note: The “551 substances and one substancegroup” indicated in the chart comprises 462
chemical substances designated by the PRTR
and 89 substances and one substance grouptargeted for study by the JCIA.

OUTPUT

INPUT

Total energy consumption(crude oil equivalent)

111,898kl*

907,000
tons（-3.6％）

255,000 +4.4
tons

354

* Renewable energy is not included in the above figures.

11,298,000

12,458,000㎥

Production
volume1,037,000
tons（-10.3％）%

from fiscal year 2013

tons

13

+1.7%
from fiscal year 2013

fiscalyear 2013-0.5 % fromSOx emissions

46

-2.4

%
m3 from fiscal year 2013

+23.8

Aquatic emissions of targeted substances%(551 substances andone substance group)
tons from fiscal year 2013

Total water
consumption

10,718,000㎥

NOx emissions

185

COD in+7.1%
wastewater 530 tons from fiscal year 2013

fiscal-14.3% fromyear 2013

176,554 kl -15.4-22.4

Wastewater discharged

Total energy consumption(crude oil equivalent)from fiscal% year 2013

tons

Emissions into water

Total water
consumption

DIC Group(Overseas)

Emissions into the air
CO2 emissions

Atmospheric emissions of targeted substances(551 substances and one substance group)from fiscal% year 2013
tons

fiscal-1.4 % fromyear 2013

Production
volumeOUTPUTThe DIC Group quantif ies its
environmental inputs (resources
c o n s u m e d ), s u c h a s e n e r g y
and water c onsumption, andoutputs, that is, emissions into theenvironment, and uses its findings
to formulate comprehensive andefficient strategies for reducing its
environmental footprint.

DIC Group(Japan)INPUT

Overview of Environmental
Impact of the DIC Group’s
Operating Activities

fiscalyear 2013-20.7% fromEmissions into soil
Industrial waste disposedof as landfill

80

-6.5

%
tons from fiscal year 2013

Soil-related emissions oftargeted substances(551 substances andone substance group)
tons

0

Emissions into the air
CO2 emissions

402,000-15.9%
tons from fiscal year 2013

Emissions into soil
Industrial waste
disposed of as landfill

23,539+6.7%

Wastewater
discharged

3,066,000

m3

-8.7%

from fiscal year 2013

tons from fiscal year 2013

Managing Chemical Substances in Products

Promoting Safety for Chemical Substances and Products
Basic Approach and Framework for Implementation
In 2003, the UN Economic Commission for Europe issued the first edition of the GHS. To respond swiftly to requests to reduce risks by providing customers with complete
information on hazardous substances, DIC introduced CIRIUS (Chemical Substance Information Comprehensive Management System) for domestic products in 2009.
CIRIUS centralizes the management of raw materials and information to facilitate the provision of reliable SDSs. The system also automatically checks various laws andregulations. These include security export control rules, the Act on the Evaluation of Chemical Substances and Regulation of Their Manufacture, etc., the Industrial Safety
and Health Act and the Poisonous and Deleterious Substances Control Act. In 2013, DIC began using the Wercs (a global SDS/label creation system developed with knowhow from DIC) for products for export. As a result, DIC now has a structure that enables it to compile SDSs for more than 250,000 products that comply with national andregional laws and regulations and is accessible in all local languages. In April 2014, DIC began using the Wercs to issue SDSs and labels for all exported products.
As specialized knowledge about chemical substance management is essential, DIC focuses on training in
the manufacture, import and handling of chemicals in accordance with applicable laws and regulations anddraws on its proprietary licensing system to enhance the skills of employees.
The Wercs logo

Collecting, Analyzing and Communicating the Latest Information
DIC collects the latest information on chemical substances through international consultants and experts, news wire services and chemicals industry associations toensure that it can respond swiftly and effectively to revisions in laws and regulations.
Recent years have seen the European Union enact Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH)* legislation, and the Republic ofKorea (ROK), the PRC and Taiwan introduce legislation aimed at strengthening chemical substances risk management. As well, countries around Southeast Asia
have deployed GHSs. DIC has responded swiftly to such developments, and has supplied the latest information to its customers by issuing SDSs and labels.
* Under REACH, businesses bear full responsibility for evaluating the safety of chemical substances they produce and/or use with no distinction made between “existing” and “new” substances.
REACH also prohibits the use of specified chemical substances that pose unacceptable hazards to human health.

Training in Chemical Substance Management
Compliance with laws and ordinances is central to risk management for DIC as a comprehensive chemicals manufacturer. Accordingly, the Company
endeavors to improve employee awareness and knowledge of chemical substance regulations in Japan and overseas by holding workshops andmaintaining a proprietary internal licensing system.
Efforts include providing specialized training for individuals involved in exporting chemical substances in line with the Foreign Exchange and Foreign
Trade Act, and for individuals involved in importing substances in line with the Act on the Evaluation of Chemical Substances and Regulation of Their
Manufacture, etc., and the Industrial Safety and Health Act and the Poisonous and Deleterious Substances Control Act. DIC only licenses employees who
have completed designated training and passed in-house examinations. Licenses permit these individuals to engage in import and export operations. To
renew their licenses, they must retake classes and pass the subsequent exams. In fiscal year 2014, 777 employees qualified for a Class A license, which
requires specialized knowledge, while 120 people passed the exam for a Class B license, which pertains to ancillary operations.
35

DIC Report 2015

ESH and Quality

Quality Management (Customer Satisfaction)
DIC’s Quality Policy“Contribute to the prosperity of customers and society
by consistently providing reliable products.”

Basic Approach

Framework for Implementation

Enhancequality

To better leverage its agility and comprehensive capabilities, in April 2012 DIC realigned its
overall quality management system (QMS), establishing a matrix-like corporate organizationthat positions product divisions on the vertical axis and sales administrative divisions,the Production Administrative Division and the Technical Administrative Division on thehorizontal axis. In line with this change, the Group introduced a QMS based on ISO 9001, theInternational Organization for Standardization’s benchmark for such systems, and subsequently
earned ISO 9001 certification for all of its production facilities. The Group capitalizes on thisQMS and on its overall system to promote ongoing efforts to enhance quality.
Domestic and overseas DIC Group companies (domestic consolidated companies andcompanies in Greater China and the Asia–Pacific region) also use ISO 9001-compliant systems
as part of efforts to continuously enhance their quality management capabilities.

Core and CategorySpecific Themes

Along with its Environment, Safety and Health Policy, the DIC Group views the improvement of quality as a theme that is essential toupholding a sound operating foundation. Accordingly, the Group seeks to ensure every employee shares the sentiment conveyed inits Quality Policy and works continuously to enhance quality and ensure customer satisfaction.

Increasecustomersatisfaction

Product
divisions
QMS

Production facilities certified under ISO 9001

Production Administrative Division
Technical Administrative Division
Sales administrative divisions❶ Initiatives Aimed at Increasing Customer Satisfaction

Close cooperation among relevant divisions and departments from product planning through to shipment enables DIC to develop and manufacture productswith high added value, while rigorous process and identification management ensure product quality. Meticulous risk evaluation is conducted at the design
review stage to guarantee safety. After products are sold, customer and market assessments are gathered and fed back to development departments tofacilitate further quality improvements.
❷ Redefining and Promoting Awareness of DIC’s Distinctive Quality

Management System

DIC has developed a distinctive QMS that focuses on constant quality improvements. In addition to providing training
designed to upgrade the skills of internal auditors, since fiscal year 2013 DIC has quality audits attended by internal
auditors from other sites to encourage self development.
Based on audit results at individual production sites, in fiscal year 2014 DIC published information on best practices
and internal materials in-house and rolled out initiatives Groupwide with the aim of further enhancing internal audits.

Using case studies to identify causesof quality-related issues❸ Preventing the Recurrence of Problems

Information on quality problems (complaints and criticisms) that arise is collated and analyzed to prevent
recurrence. The Group employs “why-why analysis” (“naze-naze bunseki ”), which involves repeatedly asking“why” to encourage people to investigate and identify the actual root causes of such problems, thereby making
it possible to prevent recurrence. In fiscal year 2014, DIC proposed expanding the scope of why-why analysis toencompass back-office functions with the goal of reducing/preventing the recurrence of mistakes made in thereceipt and placing of orders. In fiscal year 2015, training in why-why analysis was introduced on a trial basis.
In 2011, DIC began publishing Quality News, which provides useful information on quality management
and ways to enhance work quality. In addition to being published regularly on DIC’s portal site and distributed
directly to relevant parties, Quality News is used in employee training.

Why-why analysis training session
on office procedures

Change in the Number of Quality Problems
Change in the Number of Product Returns
00
ー10
ー10

-16
-16

-10
-10

ー20
ー20
ー30
ー30

’11
’11

’12
’12

Change in the Number of Complaints Received
00

-25
-25

-26
-26

’13
’13

’14
’14

ー10
ー10
ー20
ー20
(FY)
(FY)

ー30
ー30

-22
-22
’11
’11

-10
-10
’12
’12

-18
-18
’13
’13

-27
-27
’14
’14

(FY)
(FY)

DIC Report 201536

Human Resources Management

Working to Enhance Job Satisfaction
WEB

Related information

http://www.dic-global.com/en/csr/stakeholder/staff.html

QR Code accessBasic ApproachWith the aim of being an organization that empowers all employees to reach their full potential, the DIC Group is committed to respecting human rights and eliminating all
forms of discrimination and to creating a work environment that embraces diversity. The Group also strives to support a healthy work–life balance for each employee andcreate a work environment conducive to job satisfaction and to foster local human resources in markets around the world, which it recognizes as essential to ensuring
sustainable corporate growth under its current medium-term management plan.

Respect for Human Rights
The DIC Group Code of Business Conduct, which outlines standards that DIC Group employees are expected to observe, lays down provisions
prohibiting human rights violations and requiring respect for diversity—philosophies that are the foundation of the DIC Group’s corporate activities.
In fiscal year 2014, 59 domestic and overseas Group companies underwent voluntary human rights and labor practices inspections as part ofongoing efforts to prevent issues from arising. All DIC Group employees are obliged to provide written pledges to abide by the DIC Group Code ofBusiness Conduct and to conduct themselves as stipulated therein.

Building Trust with the DIC Employees’ Union
DIC’s management and representatives of its employees’ union meet regularly with the goal of ensuring healthy industrial relations based on
mutual trust. In addition, through labor–management councils and casual management conferences, DIC shares management information and its
vision for the future with union representatives and encourages the frank exchange of opinions.

Global Human Resources Management
The DIC Group has established a
global human resources management
framework capable of supporting
efforts to foster local employees
overseas, as well as to hire individuals
based on business considerations
without regard for nationality. Having
created a human resources system
and introduced specialized training
for the next generation of executives
at Group companies in the PRC, theGroup has recently taken similar steps
for companies in Southeast Asia. Other
efforts include creating global humanresources databases and establishingsystematic training programs.

Basic Personnel Statistics

Number of
employees

MaleFemaleTotal
Male

Average age

FemaleTotal

Average years of
employment

Male
Female
Total

Separations (voluntary)(number of individuals)

Male
Female
Total

Separation rate(voluntary)

Male
FemaleTotal

Fiscal year 2012

Fiscal year 2013

Fiscal year 2014

2,804
622
3,426
42.2
39.4
41.7
18.1
16.7
17.9
31
12
43
1.1%
1.9%
1.3%

2,842
642
3,484
42.2
39.4
41.6
18.2
17.0
18.0
14
10
24
0.5%
1.6%
0.7%

2,876
666
3,542
42.2
39.8
41.7
18.2
17.4
18.1
23
7
30
0.8%
1.1%
0.9%

Promoting Diversity
The DIC Group actively pursues diversity by employing a broad spectrum of individuals without regard to considerations such as gender,
nationality, physical limitation or age. The Group works to foster a corporate culture that draws on its understanding and respect for diversity to
produce creative ideas and to incorporate the concept of diversity into management, thereby creating workplaces that enhance job satisfaction.
37

DIC Report 2015

Expanding Career Opportunities for Women
DIC is implementing a variety of initiatives to promote career opportunities for women in line with its commitment to creating a work environment inwhich motivated employees can fully exercise their abilities. While pushing ahead with measures to transform employee mindsets and the corporate
culture, the DIC Group has undertaken various steps to further encourage the drive and determination of female employees, including by providing
education to enhance awareness and broaden the range of jobs open to women. DIC also continues to offer specialized training for female employees
tapped for management positions and one-on-one training designed to expand job opportunities.

Core and CategorySpecific Themes

Initiatives that Support a Healthy Work–Life Balance
DIC views work–life balance as essential to both self-realization and sustainable corporate growth. Accordingly, the Company encourages
employees to seek both a satisfying work life and a fulfilling life outside work, creating a positive cycle that yields value-added results.
DIC strives to encourage work–life balance by creating positive, supportive workplaces, notably by enhancing programs that enable people
to balance the demands of work with private commitments such as caring for children or family members who are ill. The Company has also
deployed systems that enable employees to restrict the distance they can be transferred, reduce the amount of overtime hours, encourage
employees to take annual paid leave and promote health management.

Enhancing Programs to Help Employees Balance Work, Childcare, Nursing Care and Other Private Commitments
In 1986, DIC blazed a trail for chemicals manufacturers in Japan by implementing a childcare leave program. In 2007, the Company establishedwork and childcare balance support programs, which introduced flexible working styles. DIC has also set up various systems that exceed legal
requirements, and has done much in workplaces to make it easier for employees to harness its systems. In fiscal year 2008, the Company acquired
the Kurumin Mark, which recognizes companies that promote initiatives designed to assist employees in raising children.
Kurumin Mark Certification

Number of Employees Using DIC’s
Childcare Leave Program(Number of individuals)

In fiscal year 2008, DIC wasaccorded the Kurumin Markby Japan’s Ministry of Health,Labour and Welfare, which
recognizes companies that
actively promote initiatives thatassist with child rearing.

Average Years of Employment
Underscoring the success of DIC’s efforts to enhance job satisfaction, in
fiscal year 2014 just 0.9% of employees resigned of their own accord. In
recent years, there has been very little difference in the average years of
employment for male and female employees.

40

28

40
31

30

30

Number of employees
in fiscal year 2014

30

31

28

24

21

20
10
0

’07

’08

’09

’10

’11

’12

’13

’14

(Fiscal year)

Average Years of Employment(Including Individuals Seconded to Group Companies)
Average years of employment in fiscal year 2014
(Years)Male employees

Female employees

’09

’11

Overall

19.5 years 18.2 years 19.2 years

25
20
15
10
5
0

’94
Male employees

V O I CEfrom the DIC Group

’08

’10

Female employees’12
Combined

Production Section 4, Polymer Production Department 2, Chiba Plant

’13

’14

(Fiscal year)

Ayumi Hachioji

I want to help create work environments that make female employees feel welcome.
I received quite a bit of attention when I became the first female employee posted to a DIC production site. Today, it is common to
see women working in production, so there are no particular issues to contend with. Jobs at production sites are not limited to justplant operations and it is hugely motivating for both male and female employees alike to be assigned to a position of responsibility.
Although the number of women working at DIC Group plants is still relatively small, it is my hope that we will see more in the years
ahead. As such, I would like to help create work environments that make female employees feel welcome.

DIC Report 201538

Human Resources Management

In fiscal year 2014, 28 employees made use of
DIC’s Childcare Leave Program, all of whomsubsequently retur ned to wor k. DIC also
encourages male employees to take leave to assist
with parenting, and 57.3% of eligible employees
took such leave in the year under review.

Numbers of Employees Taking Leave to Assist with Parenting(Including those Seconded to DIC Group Companies)
Fiscal year 2012

Fiscal year 2013

Fiscal year 2014

102
62
60.8％

74
43
58.1％

110
63
57.3％

Number of male employees
whose partners gave birth
Number of male employees taking leave toassist with parenting
Leave-taking rate

Caring for Mental Health
DIC works to correct problems that have been shown to negatively affect psychological well-being, implementing measures to combat harassment and enhance themanagement of work hours to prevent extreme overwork, among others, thereby ensuring that its labor management practices comply with legal requirements. DIC
has also established a mental health program under the direction of an in-house occupational health psychologist, under which it is promoting comprehensive efforts
to address mental health care issues, including providing ongoing training to facilitate effective line care* and equip employees with self-management skills, installing
an internal help desk and providing access to outside counselors, and providing support to ensure a smooth return to work for employees taking leave.
* Line-care training: Training for supervisors to help them recognize promptly when an employee is unwell and respond appropriately by, for example, recommending
guidance or counseling or making workplace improvements.

Securing and Fostering Human Resources
Ability-Oriented Qualification System and Fair and Impartial Treatment
To enable all employees to fulfill their potential in jobs suited to their abilities, and to ensure that their efforts are reflected appropriately in theirtreatment, DIC has consolidated its numerous employee qualification systems irrespective of job classification and educational credentials. The
selection of employees to recommend for qualification is done through screening based on objective standards, thereby guaranteeing equal
opportunities for promotion to all motivated, capable employees.

Training System

DIC’s training system comprises programs in six categories. These programs are based on practical curricula that focus on honing workplace skills
and accelerating change in line with business strategies. In fiscal year 2015, the Company will reinforce its global human resources developmenttraining programs.
DIC Training Programs
Management-leveltraining

DIC Management School, DIC Business College,
training for newly appointed CEOs of Group
companies, media training

Department- and jobspecific training

Production department-specific human resources
development program, technical departmentspecific human resources development program,
programs to foster human resources for sales
departments and support departments

Global human resources
development

Pre-departure training for employees assigned
to overseas posts, training to enhance Englishlanguage communications skills, training in how
to compose e-mails in English, Global Challenge
ProgramOn-the-job training

Overseas trainee program, domestic trainee
program, trainee program for non-Japaneseemployees, practical training for new recruits

Level-specific training

Level - specif ic training for newly promoted
employees, training for coaches to instruct new
employees, follow-up training for new employees
and others

Self development

Correspondence courses (approximately 220 different
courses are offered), e-learning courses, in-houseseminar courses, Skype-based English conversation
courses, the TOEIC Institutional Program(IP)test

V O I CEfrom the DIC Group

General Affairs and HR Department

The support and understanding of my colleagues ensured a worry-free leave.
I decided to take advantage of the Leave to Assist with Parenting Program to take five days’ leave when my wife had our second
child. My wife returned to her family home to give birth, so I was able to join her there for the duration of my leave. While I was there,
my job was to look after our three-year-old son. The two of us spent the days going for walks, playing together and relaxing. I think
we both felt refreshed and recharged. I admit that I was a little concerned about my responsibilities at work beforehand, but mycolleagues were very understanding and supportive. All in all, it was a rewarding experience for my entire family.

39

DIC Report 2015

Jun Tsutsumi

Supply Chain Management

Advancing Initiatives Across the Global Supply Chain
WEB

Related information

http://www.dic-global.com/en/csr/stakeholder/partner.html

QR Code accessBasic Approach

The DIC GroupCSR Procurement Guidelines❶ Compliance with laws and social norms❷ Respect for human rights andconsideration for work environments❸ Safety and hygiene❹ Promotion of sound business management❺ Consideration for the environment❻ Information security❼ Appropriate quality and safety andimproved technologies❽ Flexible attitude to ensure stable supplies andrespond to change❾ Contribution to local communities and society
 Promoting CSR and deploying it in the
supply chain

Core and CategorySpecific Themes

With the aim of ensuring its extended supply chain functions in a socially responsible manner, the DIC Group established the DIC Group Universal Purchasing
Policy, based on which it also formulated purchasing management regulations and the DIC Group CSR Procurement Guidelines. The DIC Group has
operations in Japan, the Americas and Europe, Greater China and the Asia–Pacific region. Group companies in different regions collaborate to promote CSR
procurement across the entire supply chain.

Promoting CSR Procurement
In July 2013, the DIC Group published version 2 of its DIC Group Supply-chain
CSR Deployment Guidebook. The Group promotes awareness of these guidelines
among suppliers and uses them as a tool to encourage efforts to advance CSR
procurement. Version 2 of the guidebook—which further segments the DIC Group’s
10 CSR Procurement Guidelines into 46 issues, providing explanations of eachissue and self-evaluation questionnaires and a five-level marking sheet—has been
distributed to suppliers worldwide. From April 1, 2013 through December 31, 2015,
the Group conducted a second round of assessments for 429 companies using
version 2 of the guidebook.
Following the self-evaluation stage, the DIC Group conducts on-site inquiries
for certain suppliers. In addition to enabling the Group to request necessary
improvements, such inquiries are usefulin enhancing mutual understanding andencouraging responsible procurement
practices. From fiscal year 2011 throughfiscal year 2014, the Group identified 43
suppliers as warranting an on-site inquiry.
Number of Companies
Providing Feedback
November
2013–March 2015

CSR Procurement on a Global Scale

429

Feedback sheet

The DIC Group uses English- and Chinese-language versions of the DIC Group Supply-chain CSR Deployment Guidebook to promote CSR acrossits global supply chain. Since fiscal year 2011, the Group’s regional headquarters in Greater China and the Asia–Pacific region held briefings for local
suppliers and distributed questionnaires. In fiscal year 2014, self-evaluation questionnaires were sent to 25 suppliers in Greater China.
The Group’s regional headquarters in the Americas and Europe undertakes its own efforts to promote awareness of CSR procurement, using an
independent purchasing manual into which the DIC Group CSR Procurement Guidelines have been incorporated.

V O I CEfrom the DIC GroupManager, Purchasing and Logistics Division

Toshio Yamagami

On-site inquiries help build trust and understanding.
I accompanied officials when they conducted on-site CSR inquiries at the importers that I am in charge of and verified the resultsof CSR procurement assessments submitted by those companies. I initially had no idea what sort of CSR initiatives I might find—after all, trading houses are not manufacturers. In fact, all of the importers I visited maintain CSR programs as a key component of
their corporate policy. Exchanging opinions with suppliers on assessment results helped enhance mutual understanding and I foundthe opportunity to see different perspectives on CSR, particularly in areas such as quality control and supply stability for imported
materials, especially useful.

DIC Report 201540

Business Models that Respond to Social Imperatives

Establishing Solutions-Oriented Businesses
WEB

Related information

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QR Code access

Capitalizing on the Changing Needs of Society

The cornerstone of the DIC Group’s approach is to swiftly grasp the concerns of its customers and, by identifying those shared by multiple customers, to gain insights into
emerging social needs and offer appropriate solutions. While the starting point is the voice of its customers—an approach known as “customer-in”—the Group also takes a“market-in” approach, paying heed to issues of global significance, such as global warming, with the aim of predicting trends and anticipating the future needs of society.

Business Activities with Roots in Issues of Concern to Society

The principal factor behind efforts to advance the use of electric vehicles is the need to address crucial issues such as global warming and fossil fuel depletion.
Doing so will depend on resolving a number of key technological challenges, notably increasing the capacity of storage batteries, reducing the size and weight ofpowertrains*1 and improving the durability of fuel cells. The DIC Group continues to promote research aimed at addressing such challenges, based on which it isdeveloping technologies that will yield concrete, viable solutions, including innovative materials that boost battery capacity and improve the performance of powerdevices*2. In the information and communications field, the Group is promoting the development of materials for printed electronics in response to needs arisingfrom the increased sophistication of information networks. In addition to automobiles, information and communications and other fields that necessitate advanced
technologies, the Group is responding to social imperatives in such areas as packaging, graphics and the field it has dubbed “life and living,” as well as proposing
new businesses with the purpose of further evolving its business model.
*1 In a motor vehicle, the powertrain is the group of components that transform stored energy into kinetic energy for the purpose of propulsion.
*2 A power device is a semiconductor used as a switch or rectifier in power electronics.

Enhancing Brand Strength

Established as a printing inks manufacturer, DIC has expanded its business by leveraging its capabilities in organic pigments and synthetic resins to develop adiverse portfolio of innovative products. The Company’s wealth of elemental technologies is what makes these products possible. To encourage broader customer
awareness of its distinctive products and technologies, DIC publishes and distributes market-oriented product guidebooks. DIC also strives to enhance the DIC
Group’s brand through participation in trade shows such as FINETECH JAPAN and Tokyo Pack.

V O I CEfrom the DIC Group

Corporate Marketing Department

Processed
Products

Solid
Compounds

Life & Living

Corporate Communications Department
Finance andAccounting Division
Purchasing and
Logistics Division
General Aﬀairs andLegal Division

Packaging & Graphics

Production
Administrative Division
Technical
Administrative DivisionCorporate R&D Division

Manager in Charge, Corporate Marketing Department

The Corporate Marketing Department focuses on fostering new markets over the medium to long term. Our team got off to a lively start in fiscal year
2015, welcoming new members whose experience is in business planning. We are charged with predicting new markets based on emerging needs arisingfrom global megatrends—a task we approach from four perspectives: impact on the earth and natural environment, economic and political implications,
legal and regulatory issues and technological considerations—and collaborating with technical groups to develop essential new technologies. Under
DIC’s matrix-like corporate organization, we are also focusing on the establishment of robust new businesses based on such new technologies. We hope
to realize viable solutions in a variety of areas including resources, materials, energy, transport equipment, medical care and medical devices.

DIC Report 2015

LiquidCompounds

Advanced Technology

Corporate Planning Department

Our goal is to capitalize on new technologies to develop robust new businesses.

41

Polymers

Sales administrative
divisions
Corporate
Strategy Division

Fine
Chemicals

To encourage awareness of the DIC Group’s comprehensive capabilities,
namely, its products and technological prowess, DIC continues topromote reforms aimed at shifting from a product-specific to a marketfocused management approach. In fiscal year 2012 the Group adopted
a matrix-like corporate organization, which positions product divisions
on the vertical axis, thereby eliminating the organizational barriers
that previously divided these divisions, while the sales administrative
divisions, the Production Administrative Division and the Technical
Administrative Division—further subdivided by business area—are
positioned on the horizontal axis, a configuration designed to increase
synergies and reinforce collaboration.

Product divisions
President
and CEO

Printing Inks

Leveraging the DIC Group’s MatrixLike Corporate Organization
to Expand Operations

Hiroko Sakurai

New Technology Development and Value Creation

Proposing Solutions that Leverage Elemental Technologies
WEB

Related information

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QR Code accessAchieving Sustainable GrowthWith the aim of achieving its Color and Comfort by Chemistry management vision, the DIC Group is leveraging its core technologies, including
those in the areas of optics and color, organic molecular design and polymer design, as well as its elemental technologies in such areas assynthesis, compounding and formulation, and surface treatment, to develop high-value-added products. The Group is also building a portfolioof next-generation products and new technologies that will support sustainable growth for such key applications as LCDs, electronics, digitalprinting and packaging, by integrating technological resources originating across the Group.

To maximize global R&D resources, DIC’s Technical
Administrative Division and Corporate R&D Divisioncooperate with the R&D components of DIC Group
companies in Japan; the Sun Chemical Group’s research
centers in the United States, the United Kingdom andGermany; and its corporate R&D facilities in the PRC(Qingdao DIC Finechemicals Co., Ltd.) and Japan (theCentral Research Laboratories). In fiscal year 2014, theGroup established two printing inks technical centers, one
in Thailand for the Asia–Pacific region and one in the PRC,
as well as a PPS technical center in the PRC. In January
2015, the Group opened a polymer technical center inThailand for the Asia–Pacific region.

Themes that Demonstrate
Unique Capabilities

A Global Framework for Product Development
The DIC Group’s R&D Configuration
Technical
services

Domestic and overseas
DIC Group companies, including:Technical Administrative Department
Technical divisions

R&D aimed at improving
existing products

Fine Synthesis, Polymer, Adhesives,
Dispersion, Polymer Processing,Coating & Applied Materials

R&D aimed at developing
new products

Shanghai EP Technical Service Center

Technology Planning
Department

Printing Inks Technical Center̶Asia PaciﬁcIntellectual
Property Center

Printing Inks Technical Center̶China

Product Safety &Regulatory Group

Research aimed atcommercializing
newly developed
products

Product Innovation Center

Polymer Technical Center̶Asia Paciﬁc

Analysis Center

DIC Graphics
Corporation

Sun Chemical
Group

etc.
Basic research
Investigative
research

Corporate R&D Division
Core Value Research CenterCore development projects

Advanced Characterization
Research Center

Process Engineering Research Center

China
R&D Center

Technology Research Group

Collaborative research, contracted research,
participation in public research programs, others

Universities and research organizations in Japan and overseas, national projects (Japan)

Specific Initiatives and Achievements

The DIC Group is encouraging a shift toward materials with a reduced environmental impact—notably waterbased and solvent-free materials—and is advancing the development of environment-friendly products for use
in displays and packaging, as well as for infrastructure-related applications, that help improve the environmental
performance of the finished products in which they are used.

Promoting Environment-Friendly Products

Product packaging

Conscious always of the importance of ensuring its products are environment-friendly, DIC promotes the development of products and new technologies thatare useful to society and works to increase the weighting of environment-friendly products in its portfolio, by reducing the volume of hazardous substances it
uses, focusing on products that are less hazardous and products that facilitate recycling, and realizing safer production processes that generate less waste
and use less energy. DIC also conducts environmental assessments on a continuous basis and strives to maintain a solid grasp of laws and regulations indifferent countries and territories and of trends in environmental measures, thereby ensuring its ongoing ability to engineer products that comply with diverse
regulations governing the use of chemical substances in different markets. In fiscal year 2014, environment-friendly products accounted for 52% of all products
manufactured by DIC and its subsidiary DIC Graphics Corporation.

V O I CEfrom the DIC Group

Assistant Manager, Dispersion Technology Group 9, Dispersion Technical Division 1

Keisuke Wakahara

We are working to develop products that boast outstanding performance features and are environment-friendly.
One of the best examples of a DIC Group product that is both environment-friendly and delivers superior performance is our VOC-free UV-curable printing inks. While the increasing
predominance of electronic media has slowed growth in demand for printing inks in general, demand for UV-curable inks for use in packaging applications remains firm, as aconsequence of which these inks have become one of our principal products in the offset inks market. In recent years, awareness of the need to protect the natural environment andrising concern regarding product safety have spurred an increase in the use of environment-friendly energy-saving UV and UV-LED lamps, further drawing attention to these inks
that coat cleanly and safely, underscoring fundamental changes in operating conditions for printing inks manufacturers. In response to such changes, we are capitalizing on the DIC
Group’s proprietary polymer and pigment engineering technologies to develop products that boast outstanding performance features and are environment-friendly.

DIC Report 201542

Harmony with the Community and Social Contributions

Adding Color and Comfort to Lifestyles
WEB

Related information

http://www.dic-global.com/en/csr/society/

QR Code accessBasic Approach
Based on its Guidelines for Social Contribution Activities, established in fiscal year 2009, the
DIC Group promotes harmony with local communities and individuals through activities aimed
at building a strong relationship with society.

The DIC Group’s Guidelines
for Social Contribution Activities
WEB

http://www.dic-global.com/en/csr/society/guideline.html

Examples of Recent Initiatives
Visiting Science Lab Program

In line with the Japanese government’s efforts to promote career education
initiatives, DIC Corporation and DIC Graphics Corporation conduct
visiting science labs at public elementary schools. Through this program,which focuses on, among others, experiments in pigment synthesis andoffset printing, the Group seeks to spark children’s interest in science andencourage them to realize the close relationship between science and theireveryday lives.
In fiscal year 2014, the DIC Group’s visiting science lab program wasnominated in several categories in the 2014 CSR Initiative Award in
Education*, sponsored by Tokyo-based Leave a Nest Co., Ltd., winning theSpecial Jury Award and finishing third among 28 entries in the Award for
CSR Initiatives in Education Selected by Junior and Senior High SchoolStudents category.

Children participating in a pigment synthesis experiment

DIC’s 2014 CSR Initiative
Award in Education certificates* The CSR Initiative Award in Education comprises the Award for Visiting Labs and Lectures for
Elementary School Children and the Award for CSR Initiatives in Education Selected by Juniorand Senior High School Students, which are voted on by, respectively, teachers and junior andsenior high school students from across Japan. In fiscal year 2014, the DIC Group’s program
was one of 28 entries, eight of which were nominated for the Special Jury Award.

Initiatives Led by the Central Research Laboratories
The Central Research Laboratories offers a variety of programs in such uniquely DIC topics assynthesis and chromatics to the students of local schools. In September 2014, students at Chiba
Prefectural Sakura High School, a designated Super Science High School*, were invited to the Central
Research Laboratories to participate in a lab lesson on the theme of “synthesis and craftsmanship.” Theevent included a lab experiment, a hands-on lesson on the use of analytical equipment and a lecture on
DIC products. The researchers who serve as lecturers also incorporated a career education component
into the event, taking time to talk to interested students about the challenges and rewards of being a
researcher.
* Super Science High School is a designation awarded by Japan’s Ministry of Education, Culture, Sports, Science and Technology (MEXT)
to senior high schools that implement curricula focused on the sciences and mathematics that goes beyond the Ministry’s official
guidelines with the aim of fostering the next generation of talented engineers and scientists.

Comment

Lab lesson for Chiba Prefectural Sakura HighSchool students at the Central ResearchLaboratories

Vice-Principal, Itabashi Municipal No. 2 Elementary School

The visiting science labs at our school emphasize the role of science in children’s lives.
Our school has enjoyed hosting visiting science labs conducted by DIC and DIC Graphics since 2011. When we evaluate offers by corporations to organize
educational programs for us, we have thee criteria: Is the proposed program safe? Does it align with the relevant curriculum unit? Is the school’s burden for
preparation minimal? The DIC and DIC Graphics program ticks all three boxes for us. The focus is on showing children that studying science is useful in everyday
life and the children are always delighted by the departure from their ordinary classwork. Each employee instructor works directly with three or four students, which
I particularly appreciate as it gives children a chance to speak to the instructor directly and ask questions about the career of a scientist. I am a firm believer that
initiatives such as this, which involve companies with deep local roots partnering with schools, play a vital role in community development.

43

DIC Report 2015

Kaoruko Tanaka

Kawamura Memorial DIC Museum of Art

The Kawamura Memorial DIC Museum of Art, located adjacent to the Central Research Laboratories in Sakura,
Chiba Prefecture, was established in 1990 to publicly exhibit works of art collected by DIC Corporation and its
affiliates. In May 2015, the museum celebrated its 26th anniversary. The museum exhibits works from a collectionthat spans numerous genres, with a focus on 20th century American art, and encompasses works by Rembrandt;
Impressionists such as Monet and Renoir; modern European artists such as Picasso and Chagall; and earlymodern, modern and postwar Japanese artists. In addition to its standing exhibit from its permanent collection of
Kawamura Memorial DIC Museum of Art
more than 1,000 major works, the museum stages special exhibitions several times a year that focus on pertinent
literature and other artifacts that evoke the cultural atmosphere at the time the works were created to help visitors better understand the collection.
Another appealing aspect of the Kawamura Memorial DIC Museum of Art is its location on a lushly forested 10-hectare site alive with seasonal flowers andfoliage that has been open to the public since the museum’s establishment. The museum also welcomes art classes, led by teachers, for museum tours, with thegoal of further supporting art education.

In addition to manufacturing and selling a broad range of molded plastic products in line with its ultimate objective, whichis to protect lives, Group company DIC Plastics, Inc., in Japan, is an active proponent of environment-friendly businesspractices, particularly material recycling*1. Among the company’s noteworthy achievements is its development of asystem for sorting waste plastic generated during the manufacture of original products by type and color, which greatly
assists with recovery. This has enabled the company to diversify its lineup of products made with recycled plastics,
increasing the volume of such materials it uses and adding value to the products in which they are used.
DIC Plastics also promotes recycling by purchasing recycled plastics from reclaimers, which it uses in the manufactureof its mainstay plastic helmets and other products.
One of the most recent additions to DIC Plastics’ product portfolio is the IZANO professional helmet for disastersituations. In addition to offering superb safety, the IZANO helmet can be folded to approximately 60% of its full size.
These features, plus the extensive range of colors available, earned IZANO an award in the 2014 Good Design Awards*2,
sponsored by the Japan Institute of Design Promotion.

Themes that Demonstrate
Unique Capabilities

Capitalizing on Business Opportunities Yielded by Recycling Initiatives

Products made fromrecycled plastic bottle caps
*1 Material recycling involves the recycling ofmaterial from an original application but in adifferent form.
*2 Operated by the Japan Institute of Design
Promotion, the Good Design Awards is
a commendation program that annually
recognizes products that represent superb
achievements in design.

Siam Chemical Industry Receives CSR-DIW Award
On October 21, 2014, DIC Group company Siam Chemical Industry Co., Ltd., was presented with a CSR-DIW Awardfor 2014 by the Thai Ministry of Industry at a ceremony held at the Bangkok International Trade & Exhibition Centre.
The CSR-DIW Award program was established in 2008 with the goal of raising the global competitiveness of Thaicompanies. Awards are given to companies in recognition of corporate social responsibility (CSR) initiatives judged as
exceptional from the perspective of compliance with ISO 26000, the International Organization for Standardization’s
standard for social responsibility. (The DIC Group uses the designation “sustainability,” rather than “CSR.”)
Since 2012, Siam Chemical has promoted a variety of undertakings, including mangrove planting,community support and volunteer activities, and sponsorship for blood drives, with the active participationof both local and Japanese staff. The company’s efforts continue to earn high marks, evidenced by thefact that it has received CSR-DIW awards for three consecutive years. Siam Chemical pledges to continue
contributing to Thai society through effective sustainability initiatives designed to benefit residents of local
communities as well as protect the environment.

Awards presentation

Matching Gift Program

DIC has a matching gift program whereby it matches the total amount collected through an annual year-end
fundraising drive spearheaded by its employees’ union. Funds raised through the 2014 drive and matching gift
program were donated to 19 children’s homes and facilities providing support for disabled individuals.

V O I CEfrom the DIC GroupDIC employees visit Toko Niji-no-ie in Ota,
Gunma Prefecture, to present a donation

President, Siam Chemical Industry Co., Ltd.

Takahisa Yamatoya (center)

We will redouble our efforts to promote sustainability.
We are very proud to have earned our third consecutive CSR-DIW Award in 2014. We see this award
as recognition of ongoing commitment to ensuring that our operations are in harmony with the local
community. This is an honor that I share with the employees of Siam Chemical. I look forward to continuing
to work with everyone on staff to promote meaningful initiatives and redoubling our efforts to contribute to
the sustainability of our community.

DIC Report 201544

Communication with Stakeholders

Promoting Disclosure and Communication
WEB

Related information

http://www.dic-global.com/en/csr/stakeholder/

QR Code accessBasic Approach

Ties withshareholders andinvestors

Ties with society

Ties with employees

Ties with the media

Build trusting relationships.
By incorporating the demandsof customers, seek to develop
products that enhancecustomer satisfaction.

Ensure appropriate disclosureand build trusting relationships
with shareholders andinvestors, encouraging both toevaluate DIC as an attractive
investment.

Operate in harmony with thecommunity and build positive
relationships with local
residents that will underpin
the long-term sustainability ofoperations.

Provide workplaces that are
conducive to job satisfactionand enable all employees
to fulfill their potential. Overthe long term, achieve true
diversity.

Deepen mutual understanding
through effective publicity,
advertising and othercommunications efforts.

● DIC Report● DIC Report● DIC Report● DIC Report● Press conferences

Ties with customers

Basic approach● Websites● Product pamphlets● Corporate profile

DVD

Communications tools

Opportunities forcommunication● Websites● Press conferences● Annual report● Quarterly results announcements●Yuka Shoken Hokokusho● Websites● Site reports● Corporate profile DVD(financial disclosure document
required of listed companies inJapan)● Shareholder newsletters● Corporate profile DVD● Sales activities● Participation in

exhibitions● General shareholders’meetings● Results presentations● IR conferences● IR meetings

Ties with customers● DIC Plaza(in-house newsletter)● Intranet● DIC Pocket Book
(in-house Group data file)● Production facility tours● Labor–management councils

collaboration among industrial
concerns, government bodies andacademic institutions● Participation in community events● Environmental monitoringfor employees● Presentations on the DIC Group
Code of Business Conduct● Sustainability presentations● Participation in projects involving● Results presentations

COSME Tech 2014 (5th InternationalC o s m et i c s D eve l o p m e nt E x p o)(Tokyo Big Sight, Japan)

45

DIC Report 2015

● Economic publications● Industry publications

Arts and Crafts Fair in the Park
(Kawamura Memorial DIC Museum of Art)
Junior high school students visit
DIC’s headquarters in Tokyo

2014 American Coatings Show,
held in Atlanta, in the U.S.
state of Georgia

Official results presentation(February 2014)● Newspapers

Ties with society

Display Innovation 2014
(Pacifico Yokohama, Japan)

Ties with shareholders and investors● Interviews with journalists

High school students visit
DIC Compounds (Malaysia)

Ties with employees

Official results presentation(February 2014)

Ties with the media

DIC Plaza(in-house newsletter)Press
conferences infiscal year 2014

Interviews withjournalists infiscal year 2014

53

104

Themes that Demonstrate
Unique Capabilities

The DIC Group places a priority on communication with its stakeholders worldwide, which it promotes actively through direct dialogue in the form of, among others,
participation in exhibitions, websites and events. By communicating effectively with stakeholders, the Group strives to ensure an adequate understanding ofstakeholder expectations and to reflect such expectations in its business activities. The DIC Group is also expanding its awareness of the concept of stakeholder
engagement, a key requirement under ISO 26000.

Third-Party Verification

The DIC Group commissioned SGS Japan Inc. to conduct third-party verification of its data forgreenhouse gas emissions and discharge of industrial waste.

DIC Report 201546

107 Years of Achievement

DIC Group Milestones

1908

Established as
Kawamura Ink
Manufactory
Established by Kijuro Kawamura as Kawamura Ink
Manufactory; adopts the dragon as its producttrademark and begins manufacturing inks.

1925

1957

Develops production method for organic
pigments and begins production for its own use,the first step in its evolution as a fine chemicals
manufacturer.

Enters the plastic products business with the aim of
becoming an integrated manufacturer with operations
encompassing production of everything from plastic raw
materials to finished products.

1940

1962

Begins production of organic
pigments

Commences production ofwater-based gravure inks
Amid wartime restrictions on use of volatile oils,
develops water-based gravure inks—one ofseveral achievements that would later facilitate
expansion into synthetic resins.

Enters the market for helmets andother molded plastic products

Changes Company nameto Dainippon Ink and Chemicals
Embarks on a new chapter in its history by absorbing Japan
Reichhold Chemicals, Inc., and changes Company name toDainippon Ink and Chemicals Incorporated (DIC).

1952

Makes full-scale entry into thesynthetic resins business
Establishes Japan Reichhold Chemicals Inc.,
then the second-largest joint venture with anoverseas firm in the history of the Japanesechemicals industry, and makes a full-scale entry
into the synthetic resins business.

DIC’s founder, Kijuro Kawamura

1968

Dragon product trademark

1915

Commences sales of the
DIC Color Guide ®

Commences production of
offset printing inks
Becomes one of the first companies to conduct
research in the area of offset printing inks andsucceeds in producing a viable product in only
one year.

DIC’s previous
corporate symbol

Launches the DIC Color Guide®, which becomes the defacto standard for color selection in numerous industries,
bolstering recognition of the DIC name.
Reichhold Chemicals’ San Francisco plant

DIC Color Guide ®

Sustainability Initiatives

Promotes
expansion of
printing inks
business

1973

Establishes theEnvironment and Safety
Response Department
Creates department under the directsupervision of DIC’s president tooversee safety and environmental
initiatives (today’s Responsible Care
Department); creates Environment and
Safety Management Regulations andInterim Emergency Countermeasures
Department and begins promotingd e c i s i v e e f f o r t s, i n c l u d i n g t h eimplementation of plant safety
inspections.

1990

1995

Located in Sakura, Chiba Prefecture, adjacent to theCentral Research Laboratories; established to exhibit works
of art collected by DIC and DIC Group companies; now
called the Kawamura Memorial DIC Museum of Art.

Takes an active role in the Responsible Caremovement since the start as one of 74
founding members of the Japan Responsible
Care Council (JRCC); reinforces efforts to,among others, reduce negative environmental
impact of operations and reduce energy
consumption.

Opens Kawamura
Memorial Museum of Art

Kawamura Memorial DIC Museum of Art

47

DIC Report 2015

Actively
introduces
technologies
from overseas
and promotes
furtherdiversiﬁcation

Diversiﬁes
operations bybuilding on base inprinting inks,
organic pigments
and synthetic
resinsDeclares intention to uphold theprinciples of Responsible Care

1970

1999

2009

Establishes Crown Zellerbach Packaging Materials Japan
Co., Ltd., in a joint venture with Crown Zellerbach
Corporation of the United States and Nippon Kakoh Seishi
Co., Ltd., and enters the multilayered films business.

Amid rising awareness of environmental issues, develops
Japan’s first organic solvent-free sheetfed offset ink.

In October 2009, establishes a joint venture with Dai Nippon
Printing Co., Ltd. subsidiary The Inctec Inc. and integrates its
domestic printing inks business with the printing inks
business of The Inctec.

Succeeds in developing 100% soybean
oil-based printing ink

Enters the multilayeredfilms business

Establishes DIC Graphics Corporation

2013

1973

Launches DIC105 medium-term
management planEnters the market for LCs
Develops revolutionary high-performance, long-lastingnematic LCs, commencing its evolution into one of theworld’s foremost manufacturers of LCs.

New Champion Naturalith 100
organic solvent-free sheetfed offset ink

2015

1999

Acquires Coates, the printing inks
division of France’s TOTALFINA
Establishes presence in India, Central and South America andelsewhere by acquiring the Coates Group from TOTALFINA
S.A., France’s largest oil company.

Nematic LCs

1986

Acquires the graphic arts materials division of
Sun Chemical Corporation of the United States
Becomes world’s largest manufacturer of printing inks interms of market share and leading name in graphic arts
materials business.

Embarks on a new plan—the slogan of which is “StepBeyond”—that is positioned as the first three-year phase ofa longer-term initiative that sets clear, concrete objectives forfiscal year 2018.

Completes reconstruction of corporate
headquarters in Nihonbashi
In May 2015, completes the reconstruction of its corporate
headquarters—the DIC Building—in Nihonbashi, Tokyo, the role ofwhich was expanded to include oversight of the global DIC Group.

2008

Changes Company nameto DIC Corporation

Marks centennial anniversary by changing Company name to
DIC Corporation and adopting a new corporate symbol.

DIC Building

DIC’s new corporate symbol
Sun Chemical’s headquarters

Takes steps
to advanceenvironmental
protection andexpands
global presence

Seeks
to advanceglobalization ofcore businesses anddiversify into
new areas

Prepares for a
new phaseof growth

2006

2007

2010

2014

Signs Declaration of Support for the Responsible
Care Global Charter, established by theInternational Council of Chemical Associations, as
befits its status as a member of the global
community of fine chemicals manufacturers.

Begins promoting CSR
initiatives; identifies fulfilling
its responsibilities as a memberof society through its businessactivities and contributing to
the evolution of society as thecornerstones of CSR.

In December 2010, becomes a participant in the United
Nations Global Compact, with the aim of maintaining its
reputation as a socially responsible corporate entity.

Clarifies its overall policy of achieving sustainability in a manner thattakes into account, among others, the environment, ecosystems andsocioeconomic issues, and changes the designation used across its
program from “CSR” to “sustainability.”

Launches CSR
program

Joins United Nations
Global Compact

Changes designation to “sustainability”

In-house poster promoting sustainability initiatives

Certification of DIC as Signatory to
the Responsible Care Global Charter

Becomes signatory to the
Responsible Care Global Charter

DIC Report 201548

Corporate Data
Corporate Data

Consolidated Financial Highlights
Fiscal year 2013

Registered name:

DIC Corporation

Registered address:

35-58, Sakashita 3-chome, Itabashi-ku,
Tokyo 174-8520, Japan

Corporate
headquarters：

DIC Building, 7-20, Nihonbashi 3-chome,
Chuo-ku, Tokyo 103-8233, Japan
Tel: +81-3-6733-3000¥830,078
41,07639,92525,19426.78
803,703200
0176 (Domestic: 32, Overseas: 144)

(Information is as of December 31, 2014.)

41.1

20

40.2

Domestic facilities： Two branch ofﬁces and nine plants

38.5

30

400

35.0

40

600

37.2

50

800

830.1

1,000

705.6

20,411 (Nonconsolidated: 3,542)

Operating Income (Billions of yen)(Billions of yen)

703.8

¥96.6 billion

734.3

Paid-in capital：

Net Sales

779.0

March 15, 1937

Number ofsubsidiaries
and afﬁliates：¥705,647
40,181
37,123
26,771
29.23
761,690

Millions of yen, except for per share information

Date ofincorporation：

Number of
employees：(Year ended
December 31, 2014)

Net sales
Operating income
Ordinary income
Net income
Earnings per share (yen)Total assets

Date of foundation： February 15, 1908

Fiscal year 2014

(Year ended
December 31, 2013)10’10 ’11 ’12 ’13 ’14（Fiscal year）

0’10 ’11 ’12 ’13 ’14（Fiscal year）

Note: The consolidated results for ﬁscal year 2013 comprise the accounts for the nine months ended
December 31, 2013, of DIC and its domestic subsidiaries but one and the 12 months ended
December 31, 2013, of its overseas subsidiaries and one domestic subsidiary.
(Information is as of May 31, 2015.)

Executive Ofﬁcers

Board of Directors
Representative Director

Yoshiyuki Nakanishi

Representative Director

Masayuki Saito

Director
Director
Director

Tetsuro Agawa

Director

Takao Suzuki*

Director

President and CEO

Yoshiyuki Nakanishi

Executive Ofﬁcer

Hiroshi Fujita

Yoshihisa Kawamura

Senior Managing Executive Ofﬁcer

Masayuki Saito

Executive Ofﬁcer

Rudi Lenz

Hitoshi Wakabayashi

Managing Executive Ofﬁcer

Yoshiyuki Masuda

Executive Ofﬁcer

Toshio Kanbe

Managing Executive Ofﬁcer

Kazuo Kudo

Executive Ofﬁcer

Hideki Inouchi

Managing Executive Ofﬁcer

Toshio Hasumi

Executive Ofﬁcer

Kaoru Ino

Managing Executive Ofﬁcer

Tetsuo Agawa

Executive Ofﬁcer

Toshifumi Tamaki

Managing Executive Ofﬁcer

Hitoshi Wakabayashi

Executive Ofﬁcer

Masaya Nakafuji

Managing Executive Ofﬁcer

Kazunari Sakai

Executive Ofﬁcer

Koji Tanigami

Executive Ofﬁcer

Hideo Ishii

Executive Ofﬁcer

Shinsuke Toshima

Executive Ofﬁcer

Naoyoshi Furuta

Executive Ofﬁcer

Sakae Yoshida

Executive Ofﬁcer

Masao Hotozuka

Executive Ofﬁcer

Masami Hatao

Yukako Uchinaga**

OutsideCorporate Auditors
Corporate Auditor

Jiro Mizutani

Corporate Auditor

Yoshiyuki Mase

Corporate Auditor

Katsunori Takechi*

Corporate Auditor

Cindy Yoshiko Shirata**

Outside(Information is as of March 26, 2015.)

Headquarters/Branches in Japan
Corporate Headquarters
Headquarters
DIC Building, 7-20, Nihonbashi 3-chome,
Chuo-ku, Tokyo 103-8233, Japan
Tel: +81-3-6733-3000

Branch Ofﬁces
Osaka
5-19, Kyutaro-machi 3-chome, Chuo-ku, Osaka 541-8525, Japan
Tel: +81-6-6252-6161 Fax: +81-6-6245-5239
Nagoya7-15, Nishiki 3-chome, Naka-ku, Nagoya 460-0003, Japan
Tel: +81-52-951-9381 Fax: +81-52-962-3591

Chiba
12, Yawatakaigandori, Ichihara, Chiba 290-8585, Japan
Tel: +81-436-41-4141 Fax: +81-436-43-1059
Hokuriku
64-2, Minatomachi-So, Hakusan, Ishikawa 929-0296, Japan
Tel: +81-76-278-2332 Fax: +81-76-278-5354
Sakai
3, Takasago 1-chome, Takaishi, Osaka 592-0001, Japan
Tel: +81-72-268-3111 Fax: +81-72-268-1705
Kashima18, Higashifukashiba, Kamisu, Ibaraki 314-0193, Japan
Tel: +81-299-93-8111 Fax: +81-299-92-6384

PlantsYokkaichi
5, Kasumi 1-chome, Yokkaichi, Mie 510-0011, Japan
Tel: +81-59-364-1151 Fax: +81-59-364-1620

Tokyo
35-58, Sakashita 3-chome, Itabashi-ku, Tokyo 174-8520, Japan
Tel: +81-3-3966-2111 Fax: +81-3-3965-4320

Komaki151-1, Nagare, Shimosue, Komaki, Aichi 485-0825, Japan
Tel: +81-568-75-2751 Fax: +81-568-73-4120

Saitama
4472-1, Komuro, Ina-machi, Kita-Adachi-gun, Saitama
362-8577, Japan
Tel: +81-48-722-8211 Fax: +81-48-722-6087
Tatebayashi
6023, Tobukogyodanchi, Ohshima-cho,Tatebayashi, Gunma 374-0001, Japan
Tel: +81-276-77-2461 Fax: +81-276-77-2468

Laboratories
Central Research Laboratories
631, Sakado, Sakura, Chiba 285-8668, Japan
Tel: +81-43-498-2121 Fax: +81-43-498-2229

Art Museum
Kawamura Memorial DIC Museum of Art
631, Sakado, Sakura, Chiba 285-8505, Japan
Tel: +81-43-498-2672 Fax: +81-43-498-2139(Information is as of May 31, 2015.)

49

DIC Report 2015

Principal Domestic Subsidiaries and Affiliates
Cast Film Japan Co., Ltd.

DIC Kako, Inc.

Mizushima Kasozai Co., Ltd.

DC Katsuya Co., Ltd.

DIC Kitanihon Polymer Co., Ltd.

Nippon Epoxy Resin Manufacturing

DIC Bayer Polymer Ltd.

DIC Kyushu Polymer Co., Ltd.

Co., Ltd.

DIC Color Coatings, Inc.

DIC Lifetec Co, Ltd.

Oxirane Chemical Corp.

DIC Color Design, Inc.

DIC Machinery & Printer s Supplies, Inc.

Renaissance, Inc.

DIC Decor, Inc.

DIC Material Inc.

Seiko PMC Corporation

DIC EP Corp.

DIC Molding, Inc.

SUNDIC Inc.

DIC Estate Co., Ltd.

DIC Plastics, Inc.

Techno Science, Inc.

DIC Graphics Corporation

Hamamatsu DIC Co., Ltd.

Topic Co., Ltd.

DIC Interior Co., Ltd.

Japan Formalin Company, Inc.

YD Plastics Co., Ltd.

DIC Investments Japan, LLC.

KJ Chemicals Corporation(Information is as of May 31, 2015.)

Principal Overseas Subsidiaries and Affiliates
Aekyung Chemical Co., Ltd.

P.T. Pardic Jaya Chemicals

Changzhou Huari New Material Co., Ltd.

Qingdao DIC Finechemicals Co., Ltd.

S.A. de C.V.

DIC Alkylphenol Singapore Pte., Ltd.

Qingdao DIC Liquid Crystal Co., Ltd.

Sun Chemical Delta B.V.

DIC Asia Paciﬁc Pte Ltd

Samling Housing Products Sdn. Bhd.

Sun Chemical de Panama, S.A.

DIC Australia Pty Ltd.

Shanghai DIC Ink Co., Ltd.

Sun Chemical do Brasil Ltda.

DIC (China) Co., Ltd.

Shanghai DIC Pressure-Sensitive Adhesive

Sun Chemical Group Coöperatief U.A.

DIC Colorants Taiwan Co., Ltd.

Materials Co., Ltd.

Sun Chemical de Centro America,

Sun Chemical Group S.p.A.

DIC Compounds (Malaysia) Sdn. Bhd.

Shanghai Showa Highpolymer Co., Ltd.

Sun Chemical (Hai an) Limited

DIC Epoxy (Malaysia) Sdn. Bhd.

Shenzhen-DIC Co., Ltd.

Sun Chemical Holding (Hong Kong) Ltd.

DIC Europe GmbHSiam Chemical Industry Co., Ltd.

Sun Chemical Inks A/S

DIC Fine Chemicals Private Limited

Suzhou Lintong Chemical Science Corp.

Sun Chemical Inks Ltd.

DIC Graphics Chia Lung Corp.

TOA-DIC Zhangjiagang Chemical Co., Ltd.

Sun Chemical Inks S.A.

DIC Graphics (Guangzhou) Ltd.

Zhongshan DIC Colour Co., Ltd.

Sun Chemical Lasfelde GmbHDIC Graphics (Hong Kong) Ltd.

Sun Chemical Ltd. (Canada)

DIC Graphics (Thailand) Co., Ltd.

● Sun Chemical GroupSun Chemical Ltd. (U.K.)

DIC (Guangzhou) Co., Ltd.

Sun Chemical Corporation

Sun Chemical Matbaa Mürekkepleri

DIC Imaging Products USA, LLC.

Benda-Lutz Corporationve Gereçleri Sanayii ve Ticaret A.Ş.

DIC India Ltd.

Benda-Lutz Skawina Sp. z.o.o.

Sun Chemical N.V./S.A.

DIC International (USA), LLC.

Benda-Lutz Volzhsky ooo

Sun Chemical Nyomdafestek

DIC Korea Corp.

Benda-Lutz Werke GmbH

Kereskedelmi es Gyarto KFT

DIC Korea Liquid Crystal Co., Ltd.

Coates Brothers (Caribbean) Ltd.

Sun Chemical Osterode Druckfarben

DIC Lanka (Private) Ltd.

Coates Brothers (East Africa) Ltd.

GmbHDIC (Malaysia) Sdn. Bhd.

Coates Brothers (West Africa) Ltd.

Sun Chemical Oy

DIC New Zealand Ltd.

Coates Screen Inks GmbHSun Chemical Peru S.A.

DIC Pakistan Ltd.

Hartmann D.O.O.

Sun Chemical Pigments S.L.

DIC Performance Resins GmbH

Hartmann Druckfarben GmbHSun Chemical Portugal-Tintas Graﬁcas

DIC Philippines, Inc.

Hartmann-Sun Chemical EOOD

Unipessoal Ltda.

DIC (Shanghai) Co., Ltd.

Inmobiliaria Sunchem, S.A. de C.V.

Sun Chemical Printing Ink d.o.o.

DIC Synthetic Resins (Zhongshan)

Lorilleux Maroc S.A.

Sun Chemical S.A.

Co., Ltd.

Parker Williams Design Ltd.

Sun Chemical S.A. de C.V.

DIC (Taiwan) Ltd.

Sinclair International Inc.

Sun Chemical S.A.S.

DIC Trading (HK) Ltd.

Sinclair S.A.S.

Sun Chemical (South Africa) (Pty) Ltd.

DIC (Vietnam) Co., Ltd.

Sinclair Sun Chemical Ecuador S.A.

Sun Chemical Sp. z.o.o.

DIC Zhangjiagang Chemicals Co., Ltd.

Sun Branding Solutions Ltd.

Sun Chemical s.r.l.

Earthrise Nutritionals, LLC.

Sun Chemical AB

Sun Chemical, s.r.o. (Czech Republic)

Hainan DIC Microalgae Co., Ltd.

Sun Chemical AG (Austria)

Sun Chemical, s.r.o. (Slovakia)

Kangnam Chemical Co., Ltd.

Sun Chemical AG (Switzerland)

Sun Chemical Trading (Shanghai) Co., Ltd.

Lianyungang DIC Color Co., Ltd.

Sun Chemical Albania SHPKSun Chemical Ukraine Ltd.

Lidye Chemical Co., Ltd.

Sun Chemical A/S (Denmark)

Sun Chemical Venezuela C.A.

Nantong DIC Color Co., Ltd.

Sun Chemical A/S (Norway)

Sun Chemical ZAOPT DIC ASTRA Chemicals

Sun Chemical B.V.

Tintas S.A.S.

PT. DIC Graphics

Sun Chemical (Chile) S.A.

(Information is as of May 31, 2015.)

DIC Report 2015

50

（Contact）

Corporate Communications Dept.
DIC Building, 7-20, Nihonbashi 3-chome, Chuo-ku, Tokyo 103-8233, Japan
TEL: +81-3 - 6733 - 3034

FAX: +81-3 - 6733 - 3038

http://www.dic-global.com/en/

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