Message from the President

With a Dream for the Future—
Taking on New Challenges for the Development of a
Sustainable Society
Marking the 50th Anniversary
This year marks the 50th anniversary of the founding of
the Tokyo Electron Group in November 1963. Over the past
half-century, the discipline that has undergone the most
rapid development is science and technology, particularly
semiconductors, which are now used in a wide variety ofelectronic devices. It is fair to say that semiconductors haveplayed a crucial role in the development of humanity andprovided a foundation for the current era. As a semiconductor
production equipment manufacturer, the TEL Group has madevarious efforts to accurately understand customer needs inorder to provide high-quality products.
The world is at a turning point. Emerging countries,
including in Asia, are becoming the global driving force, taking
over from Western countries that have traditionally playeda central role. In the next half century, global companies
will find that simply sticking to the same old approaches

used in the past leaves them unable to grow, since public
expectations towards businesses are constantly changing.
There was a time when it was believed that reducing
environmental impact and pursuing technological innovation
were mutually exclusive. Today, balancing the two is a matterof course, and companies cannot grow unless they operate inways that reduce their environmental impact.
It is not easy to reduce environmental impact and keep
costs low while carrying out the world’s most advanced
technological development. As part of the TEL Group’s
effort to achieve it all, we set a high goal of reducing energy
consumption on a per-wafer basis by 50% from the fiscal
2008 level with regard to major models of each business unit
as of fiscal 2015. As of fiscal 2013, we succeeded in reducing
energy consumption by 30% and are continuing to makepersistent efforts to achieve the final target for the benefit ofboth society and the TEL Group.

Organizing Corporate Principles
In celebrating our 50th anniversary, we have established a
Corporate Philosophy and revised our Management Policies
in light of the emergence of a new generation of workers andpossible changes in the business environment. Furthermore,
we have set forth a CSR Policy and developed a CSR
promotion framework. As the foundation of our CSR activities
going forward, we joined the United Nations Global Compactin July 2013.
In carrying out and enhancing CSR activities, we will
incorporate the EICC ® Code of Conduct. By operating ourbusiness in a way that not only takes environmental issues
into account but also respects human rights, is aligned withcorporate ethics, and raises awareness of risk management,
we will establish a management structure befitting a global
company with the goal of gaining the lasting trust of ourstakeholders.

4Initiatives for Launching New Business
Originally founded as a trading company specializing intechnology, the TEL Group established its position as amanufacturer in the 1980s. Because of this history, we havedeveloped a corporate culture that encourages the flexible
and aggressive incorporation of external technologies tosupport our cutting-edge technological development. With
our most recent acquisition, we brought on board two
European and two U.S. companies that are world leaders
in cleaning, advanced packaging and thermal processing
in magnetic fields, all of which are indispensable toboth semiconductor production as well as ever-evolving
photovoltaic panel production. By combining the world-classtechnologies of these firms with the TEL Group’s expertise,
we are confident that we will be able to satisfy every need ofcustomers worldwide.

For the Next 50 Years
Throughout its 50-year history, the TEL Group has held tothe belief that its most valuable asset is its employees. Inorder to continue to grow as a global provider of cutting-edge
technologies, we recognize that we need to improve ourworkplace environment to create a culture that furtherencourages our employees to take on challenging tasks in a
global business environment. With continued and concerted
efforts, we are working to create an environment in which all
employees can work comfortably, productively and passionately.
By taking advantage of experience and expertise acquired
over the past five decades, the TEL Group will continue tocontribute to the development of a sustainable society byproviding high-value-added technologies and services for the
next 50 years. We appreciate your continued support.

Joined the United Nations Global Compact
The TEL Group announced its participation in the United Nations Global Compact
and was registered as a member company in July 2013. In support of the 10principles, the TEL Group will work to maintain a harmonious pursuit of both its
corporate activities and a sustainable society.

What is the United Nations Global Compact?
The UN Global Compact is a global initiative inwhich diverse organizations, including businesses,
voluntarily participate for the development ofsustainable society. It was established by then UN
Secretary-General Kofi Annan in 2000. As of July
2013, about 11,570 organizations (including 7,580
corporate participants) from 140 countries havejoined the initiative to carry out activities based on
the 10 principles in four areas listed below:

Human Rights
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internationally proclaimed human rights; andt1SJODJQMFNBLFTVSFUIBUUIFZBSFOPUDPNQMJDJUJOIVNBOSJHIUTBCVTFT

Labourt1SJODJQMF# VTJOFTTFTTIPVMEVQIPMEUIFGSFFEPNPGBTTPDJBUJPOBOEUIF
effective recognition of the right to collective bargaining;
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and occupation.

Environmentt1SJODJQMF# VTJOFTTFTTIPVMETVQQPSUBQSFDBVUJPOBSZBQQSPBDIUP
environmental challenges;
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responsibility; andt1SJODJQMFF ODPVSBHFUIFEFWFMPQNFOUBOEEJGGVTJPOPGFOWJSPONFOUBMMZ
friendly technologies.

Tetsuro Higashi

Anti-Corruption

Chairman, President & CEOTokyo Electron Limited

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including extortion and bribery.

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