On behalf of Tokyo Electron (TEL), I would first like to express my sincere gratitude to all stakeholders fortheir continued support and patronage.

CEO’smessage

In recent years, efforts for building a sustainable society have unfolded on a global level, such as
enforcement of the Paris Agreement, as well as the United Nations Sustainable Development Goals (SDGs)and Environmental, Social and Governance (ESG). To help build a sustainable society from a medium- tolong-term perspective, companies are required to create and provide diverse value through their productsand services, utilizing their management resources effectively.
On the social front, as we enter an age of the Internet of Things (IoT), where almost everything is connectedto the internet, it is expected that new business models and lifestyles will develop resultant of big data, newapplications such as augmented reality (AR) and virtual reality (VR), as well as artificial intelligence (AI) andother technologies are put to practical use. In addition, on the back of the planned introduction of 5G—
the next-generation telecommunications standard—progress is also being made in the development ofassociated infrastructures. Supporting all these trends are semiconductors. In the area of flat panel displays(FPD) too, in addition to growing demand for small- and medium-sized panels, there also appears to be ashift to larger screens and higher resolution, as well as a widespread adoption of organic electroluminescentdisplays,* and a broadening of design characteristics and their applications. Semiconductors and FPDs arein a new growth phase, playing a key role in our social infrastructure, and raising the expectation of further
development attributable to technological innovation.
Our Corporate Philosophy urges us to “contribute to the development of a dream-inspiring society
through our leading-edge technologies and reliable service and support.” We see sustainability as animportant focus for management, and in addition to steadily promoting effective governance andcompliance, we believe it is vital that we improve our corporate value in the medium- to long-term bycontributing through business to the resolution of social issues. We will strive to create value for society
through our high-value-added, strongly competitive products and services, maximizing the effective useof precious management resources, such as the funds generated by our business activities, the knowhow along the value chain, our world-class personnel, and our trust-based relationships with customers
and suppliers. In fiscal year 2017, we redefined the issues that are material in the sustainable growth ofTEL, such as enhancing product competitiveness, reinforcing responsiveness to customers and improving
productivity. This fiscal year, we will again join together in engaging in various activities aimed at achieving
our short-term, medium-term and long-term goals related to these material issues. By continuing topromote sustainability-focused management, our aim is to remain a company which is loved and neededby the community, and in which our employees take pride.
To promote sustainability management in line with international frameworks, we became a signatory to theUN Global Compact in 2013, and have since implemented initiatives for SDGs on a company-wide basis.
Your continued support and patronage is very much appreciated by all of us at TEL.

Toshiki Kawai
Representative Director, President & CEOTokyo Electron Limited* Organic electroluminescent display: The phenomenon of light being emitted from specific organic compounds when voltage is applied.

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