Sustainability Report2021

T.HASEGAWA CO.,LTD. SUSTAINABILITY REPORT 2021■

TABLE OF CONTENTSUSTAINABILITY AT T. HASEGWA ....................................................................................................21.

Message from the Top Management ..........................................................................................22.

The Meaning of Why T. Hasegawa Exists .................................................................................43.

The Value Creation Process of T. Hasegawa .............................................................................5

4.

Towards Sustainable Growth .....................................................................................................65.

T. Hasegawa’s Sustainable Business Practices…………………………………………………… 7

6.

T. Hasegawa Corporate Code of Conduct ................................................................................. 9

SUSTAINABILITY INITIATIVES ........................................................................................................ 11
1. CSR POLICY 1 Procurement .................................................................................................. 11
2. CSR POLICY 2 Environment..................................................................................................14
3. CSR POLICY 3 Human Rights and Labor .............................................................................30
4. CSR POLICY 4 Quality and Safety ......................................................................................37
5. CSR POLICY 5 Governance and Fair Corporate Activities ..................................................43
6. CSR POLICY 6 Innovation......................................................................................................59

DATA SECTION ...................................................................................................................................64

Editorial Policy
The purpose of this Report is to convey how we are dedicated to creating value through our highly
important activities based on our CSR Policy proposed in November 2020. We will use this report tostrengthen our relationship with stakeholders, create values and accelerate our sustainability initiatives.

・Subject of Report︓In principle, this report is stand-alone basis of T.HASEGAWA CO.,LTD. The phrases of “T. Hasegawa” in this reportrefer to our company and our consolidated subsidiaries.
・Reporting Period︓In principle, Fiscal 2020（Oct 2019〜Sep 2020）。In part、Fiscal 2021 initiatives are also mentioned
・Please direct all Inquiries to this report to the CSR Department of T.HASEGAWA CO.,LTD.
E-mail: eco@t-hasegawa.co.jp

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Sustainability at T. Hasegawa
1. Message from the Top Management
The sustainable development goals (SDG’s) adopted by theUnited Nations and the implementation of the Paris
Agreement have accelerated the worldwide movement
towards resolving the many social challenges such asenvironmental issues. According to the report by theWorld Meteorological Organization (WMO), the average
global temperature in 2020 reached the highest ever since
it began its observation and has led to the frequent
occurrences of flooding, inundations and landslide
T.HASEGAWA CO.,LTD.
President & Representative Director
Takao Umino

disasters in magnitudes never before experienced. Theseabnormal weather conditions have led to the decrease incrop harvest, deterioration of the quality of natural raw materials, destruction of facilities and equipment due
to disasters, suspension of corporate activities due to the interruption in the supply chain and changes in thecustomer needs and consumer movements as a result of temperature increases. Long term affects to the usageof water resource are also expected. Under such environment, we at T. Hasegawa have been undergoing
management reforms since 2017；building an organization that brings solutions to the challenges we face
without fear of changes. The prolonged spread of the COVID-19 pandemic has created enormous damage tocountries throughout the world. Even under such major changes in management conditions during the Covid19 pandemic, we were able to achieve the highest profit in Fiscal Year 2020. We believe that this was due toour ability to respond flexibly to risk factors, all as a result of our reforms conducted over the years thatenhanced each individual employee’s work consciousness and exerted a positive influence on the overall
corporate culture.

At T. Hasegawa, contributing to increasing the corporate value of our customers through the use of our flavor
and fragrance technology, we have progressed one step further in our efforts to provide more service to thenotion of “customer success” rather than to the notion of “customer first”. As our customers are forced to react
to this “new business environment” due to the effects of the Covid-19 pandemic，we believe that to focus on
this notion of “customer success” is very important. We are proactively providing our customers market
research, analysis and trend presentations accelerating our customers understanding the potential needs oftheir consumers. Therefore, we launched the Business Solution Operations Headquarters to consolidate the
R&D, sales and marketing activities in October 2020. In order to respond systematically to increasing complex
social issues, demands and risks, the Corporate Planning Division and the CSR Division will play central

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Copyright© T.HASEGAWA CO., LTD. All rights reservedroles in integrating business strategy with environmental and social considerations throughout global supply
chain.

The possibilities of flavors and fragrances are infinite. The growing interest in maintaining health due to thedeclining birth rate and aging population, T. Hasegawa is putting efforts to developing flavors and fragrancesthat may serve as solutions to the many challenges being faced in the diminishing worldwide supply of food
related raw materials. Our employees, which are the most valuable assets for us, have supported T. Hasegawa
since its foundation in 1903 which has led to our “customer success” by bringing out the potential in flavors
and fragrances. The creation of flavors and fragrances at T. Hasegawa, has been achieved by each individual
employees’ contribution to the success of our business. Our corporate motto of “company founded on technology”
reflects our stance to contribute to making a better world through flavors and fragrances. T. Hasegawa, will
aim to solve challenges the world is facing through the technology of creating flavors and fragrances while
enriching society to the extent all people in the world may be able to live on equal terms and with happiness.

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2. The Meaning of Why T. Hasegawa Exists
T. Hasegawa’s corporate motto being “company founded on technology”, we contribute to the creation ofan enriched society through flavors and fragrances.

T. Hasegawa provides our customers with products that are safe to use by remaining committed to our
corporate motto of “company founded on technology”. Every department collaborates to engage in joint
research sometimes utilizing outside resources to pave the way to “customer success” by providing ideas thatmeet or exceed the needs of the consumers through continuous improvement. As a trusted contributing
member of society, we strive to enhance the relationship with stakeholders, solving problems that society is
faced with through the use of flavor and fragrance technology.

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3. The Value Creation Process of T. Hasegawa
Lead to customer success through the cycle of the “Creation” of the one and only flavors and fragrancesin the world and the “Production” of high quality and safe product

Value Creation at T. Hasegawa is done through:① The Sales and Marketing Division analyze the needs of the consumers to understand our clients’requirements and their potential wants.
②The R&D Division creates samples of flavors and fragrances reflecting the customer requirements andpotential needs③The Purchasing Division develops an efficient supply chain in raw material sourcing④The Production Division optimizes production equipment to manufacture over 12,000 different flavors andfragrances on an annual basis efficiently and accurately under a complete quality control system

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4. Towards Sustainable Growth
We will expand our business opportunities through innovation.
Taking into consideration all the environmental and social factors, we aim to achieve sustainable growthby reducing risks associated with those factors.

The Flavor and Fragrance Industry is highly impacted by such domestic factors as the low birth rate andaging population, climate changes, food shortages, variation in consumer needs, etc.
In order to cope with such changes in our business environment, we aim to pursuit business opportunities
through innovation by “creativity”. At the same time, we enhance our efforts to deal with sustainability issues
such as engaging in responsible purchasing, environmental impact reduction, labor rights and assuring
quality. Implementation of risk management allows us to contribute to the creation of an enriching society,where we protect the planet and ensure that all people enjoy healthy lives and prosper, using flavors andfragrances.

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5. T. Hasegawa’s Sustainable Business Practices
We will proceed to improve our Sustainable Business Practices(1) Signed the IFRA-IOFI Sustainability Charter

The Japan Flavors and Fragrance Manufacturers Association to which we belong is a member of theinternational organization IFRA (International Fragrance Association). We are also a member of theinternational organization IOFI (International Organization of the Flavor Industry). Our Company either
directly or through The Japan Flavors and Fragrance Manufacturers Association has patriated in thevarious product safety enhancing activities. Both IFRA and IOFI have recognized that it is imperative toinclude sustainable business practices in business strategies to achieve prosperity and a sustainable future
thereby launching the Sustainability Charter. At T. Hasegawa, we have placed the utmost importance onsustainability and have been engaging in various activities. In order to make known our official
commitment, we signed the aforementioned Sustainability Charter on March 31, 2020. Towards achievinga sustainable society, we will adhere to the five focus areas defined by this Sustainability Charter.

IFRA –IOFI SUSTAINABILITY FRAMEWORK

1. Ensure responsible sourcing throughout the value chain.
2. Reduce the Environmental Footprint of the industry and address climate change.
3. Enhance the well-being of employees and ensure a rewarding labor environment.
4. Be at the leading edge of product safety.
5. Be transparent and a reliable partner for society.

(2) Commitment to the United Nations Global Compact Ten Principles

T.HASEGAWA CO.,LTD. signed the “United Nations Global Compact” advocated by the United Nations
and was registered as a participating company on August 24, 2020. On the same date, we also joined “TheGlobal Compact Network Japan” which is the local network of the “United Nations Global Compact”. The“United Nations Global Compact” calls for the member companies and organizations to act as a goodmember of society by initiating responsible and creative leadership while providing a global framework toachieve sustainable growth.
We support the ten principles raised by the UN Global Compact on "human rights, labor, environment, andanti-corruption" to achieve global sustainability and continue to conduct responsible business activities toall of our stakeholders. The ten principles provide a framework to help shape a global culture where we
end extreme poverty, protect the planet and ensure that all people enjoy peace and prosperity now and in
the future.

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(3) Formulation of CSR Policy

By signing the IFRA-IOFI Sustainability Charter and the United Nations Global Contract, we have defined
six focus areas in our CSR Policy.

(4) Enhancement of Management System to Promote Sustainability
At T.HASEGAWA CO.,LTD. we have created a Sustainability Committee headed by the officer in charge ofadministration. The committee is a cross functional team designed to promote all CSR related matters andsustainability initiatives including ESG (Environmental, Social, Governance). This committee will draft
all business plans and initiatives related to Sustainability for T. Hasegawa. All deliberated matters by the
Sustainability Committee are proposed to the Strategic Meeting for management decisions which iscomprised of the Representative Director and the executive officers appointed by the Representative
Director. If necessary, all matters are proposed and/or reported to the Board of Directors Meeting.

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6. T. Hasegawa Corporate Code of Conduct
Under the corporate motto of “company founded on technology”, we established the corporate code of
conduct to be complied by each one of our employees in order to contribute to the creation of an enrichedsociety using flavors and fragrances.

At T. Hasegawa, we established the T. Hasegawa Corporate Code of Conduct. This Corporate Code of Conduct
is to fulfill the social responsibilities through activities with high ethical standards, sincerity and fairness,understood and complied by the officers and employees of T. Hasegawa.

T. Hasegawa Corporate Code of Conduct
1. Compliance with the Laws and Regulations

We will always pay attention to the laws and regulations, endeavor to understand them and act
with social decency.
2. Environmental Issues and Initiatives

We will actively address environmental issues as a member of society and endeavor to protect theenvironment.
3. Opposition to Antisocial Forces

We will oppose antisocial forces or to any related parties and cut off any kind of relationship withthem.

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4. Respect for Human Rights

We respect each individual’s basic human rights and will not engage in any unfair discriminationor harassment.
5. Respects for the Rights of Third Parties

We respect the rights of third parties when conducting business and will not infringe on suchrights.
6. Compliance with Quality Safety Standards

Under our strict quality control system, we will endeavor to provide products that are incompliance with the laws and are safe.
7. Prohibition of Insider Trading

We will engage in fair stock exchange and will not deal with insider trading or any othersuspicious stock exchanges.
8. Prohibition of Conflicts of Interests

We will not engage in actions as stipulated hereunder that may result in conflicts of interests
between one’s interests and those of the company.
(1) Become an officer or employee of a competitor(2) Actions that may assist or support the sales activities of a competitor(3) Actions that may compete with the business of our company
9.Handling of In-house Information

We fully recognize the value of the information possessed by the company and those that were
provided by third parties. We will put them under strict control by conforming to the “Confidential
Information Control Rules” and the “Rules related to In-house Information Control and Insider
Trading”, both of which are part of our corporate regulations.
10. Actions towards our Customers

As to entertainment and gifts, we will never engage in actions that may be regarded as bribery
or any other business practices that may deviate from social acceptability.
11.Relationship with Suppliers(1) During business with our suppliers, we will deal with good sense and sincerity with fairness
and justice.
(2) When dealing with suppliers, we will not impose any unjustified disadvantages using ourdominant bargaining position.
(3) We will never receive any rebates, etc. from our suppliers.

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Sustainability Initiatives
1. CSR POLICY 1 PROCUREMENT
Promote responsible procurement throughout the entire value chain

1-1 Basic Concept

It is imperative for us to establish a supply chain that enables us consistent procurement of raw materials
with high quality and at competitive prices. We will establish long term trustful relationships with our
suppliers through fair, justifiable and highly transparent transactions. In order to achieve sustainablegrowth throughout the entire supply chain, we will promote procurement activities taking into
consideration all the factors related to resources, environment and human rights.

PROCUREMENT POLICY OF T. HASEGAWA GROUP

1. TRADING IN COMPLIANCE WITH LAWS AND ETHICS
We will promote procurement activities together with our suppliers with high ethics and social
decency that are in compliance with the laws and social norms of every country and region.

2. CONSIDERATION OF HUMAN RIGHTS
We will respect human rights without any discrimination under all situations and will not engage
in activities that may lead to human rights violations throughout the supply chain.

3. CONSIDERATION OF THE ENVIRONMENT
We will work with all suppliers to reduce the environmental impact and engage in sustainableprocurement activities with consideration to conserve the environment.

4. MUTUAL TRUST, COEXISTENCE AND CO-PROSPERITY WITH THE SUPPLIERS
We will make efforts to realize coexistence and co-prosperity with our business partners including
suppliers by respecting our partners’ positions with mutual trust under the competitive principles
of fairness and equality.

5. SAFETY, SECURITY AND CUSTOMER SUCCESS
We will engage in procurement activities aimed at achieving customer success by providing ourcustomers and the consumers beyond, products that are safe and in high quality.

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Relationship with Stakeholders

According to the ”T. Hasegawa Corporate Code of Conduct”, we will endeavor to build an unwavering
relationship between all of our stakeholders secured through trust. We will establish a long-term trust
relationship with our suppliers with trading that are fair, equal and highly transparent.

・SDG Goals to Contribute

1-2 Governance Framework

The Purchasing Department will primarily engage in the procurement of raw materials. The Risk
Management Committee which is a cross functional team of T. Hasegawa headed by the President andRepresentative Director with assistance from other directors being members, controls and verifies theactivities of the respective department.
1-3 Risk and Strategies-Risk

Inability to procure flavor and fragrance raw materials derived from natural resources due to climatechange.
Stagnation of business activities and decline in corporate value due to delay in responding to the socialand environmental issues within the supply chain.

-Strategies

Implement global procurement of raw materials
Search, evaluate and develop substitute raw materials
Require suppliers to engage in CSR by having them agree with our policies.
1-4 Main Initiatives Undertaken in 2020.

Received the Roundtable on Sustainable Palm Oil (RSPO) Certification. Signed the UN Global Compact.
Signed the IFRA-IOFI Sustainability Charter.

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Procurement of Perilla Oil

In order to achieve sustainable procurement of perilla oil, an important flavor and fragrance raw material,
we worked in collaboration with the Growers Union of Perilla by providing assistance to secure acceptable
quality and sufficient quantity of oil for stable production through the following tactics:

・Providing Seeds: Annually providing seeds to growers for the purpose of maintaining quality and yield.
With the cooperation of the nursery company, we are closely monitoring the situation and developmentof the production site.
・Technical Assistance: To increase productivity, we are dispatching research and technical staff to give
support and assistance to production practices and/or improvements to equipment.
・Quality Improvement Assistance: To provide training and assistance to members of the agricultural
cooperative on quality control.
・Packaging Assistance. To supply the packaging materials to the cooperative.
・Production Facility Renovation Assistance. To provide engineers and technical resources to assist inrenovation of our suppliers perilla oil extraction system which may have become obsolete without our
technical support.
1-5 Towards the Future

Beginning in Fiscal Year 2021 and the years beyond, we will promote sustainable procurement by strengthening
our relationship with the suppliers through the initiatives indicated hereunder:
・Sharing raw material procurement policy with suppliers・Request suppliers to promote Sustainability.
・Provide suppliers a copy of the CSR Procurement Self -Assessment Tool provided by the Global Compact
Network Japan., and ask them to fill out the self-assessment tool for our supply chain sustainability analysis

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2. CSR POLICY 2 ENVIRONMENT
Actively initiate measures to secure and improve the environment.

2-1 Basic Concept
・Environmental Philosophy

T. Hasegawa recognizes the fact that passing on this irreplaceable Earth to the future generation is themost important challenge shared by mankind and as a manufacturer of flavors and fragrances, all of ourbusiness activities will be conducted to protect the environment.

・Basic Policy

We consider “security and disaster prevention”, “industrial safety and health” and “chemical safety” to bejust as important as “environmental protection” and have incorporated these themes into our“Environmental Safety Activity Policy” for implementation.

Environmental Safety Activity Policy

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・Relationship with Stakeholders

According to the ”T. Hasegawa Corporate Code of Conduct”, we endeavor to secure an unwavering
relationship with all of our stakeholders built on trust.

(1) Information Disclosures to Customers

We disclose information via such platforms as CSR Procurement Self-Assessment Tool (Global
Compact Network Japan), SEDEX, EcoVadis and CDP.

(2) Environmental Education to Employees

We conduct multifaceted education on environment to raise environmental awareness among employees.

・Conduct training and provide information via intra-company network

We post environment related pages on the intra-company network and provide environment related
information such as the “Annual Environment Report”.

・Conduct intra-company seminars on environment

The Environmental Safety Committee and/or the Education Committee host seminars and classes onenvironmental issues.

・Attending external seminars on environment

Employees engaged in environmental safety duties enhance their knowledge related to the environmental
issues by attending conferences, seminars, lectures and exhibitions.

・New employee training

Training for new employees are conducted with dedicated training sessions on environment and safety.

・Environmental education through The Environmental Management System (ISO14001)

At Fukaya Factory, Itakura factory and the Research Center, education and training on environmental
issues are systematically done through the Environmental Management System. At each location,“ISO14001” Bulletin Boards are setup to provide information on environmental policy, environmental
promotion posters and other environment related information to promote environmental safety.

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(3) Information Disclosure to Stock Holders

We publish our Environmental Report annually. From here on, the Environmental Report will beincorporated and disclosed in The Sustainability Report Section “2. CSR Policy 2 Environment”. The
Sustainability Report will also be made public on our website.

SDG Goals

2-2 Governance Framework
・Framework

We establish and promote our environmental safety with control systems based on our “Environmental
Safety Control Regulation”. The Fukaya Factory, Itakura Factory and the R & D Center are certified by
The Environmental Management System (ISO14001), allowing both the production division and the R &D division to operate in conjunction with each other.

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(1) The Corporate Environmental Safety Committee①Committee chaired by the officer in charge of CSR appointed by the Representative Director andPresident. Deliberates and makes decisions on policies and programs that relate to environmental
protection and safety measures.
②Receives environmental safety reports on activity plans and performance records from all operating
units to mediate issues throughout the entire company.
③Selects auditors for environmental safety audits (environmental protection, security, disasterprevention, and occupational safety). These internal audits are performed annually in all premises;
HQ, R&D centers and factories.
(2) The Environmental Safety Committee①An environmental safety committee chaired by the top management of each location is setup at the
Head office, R & D Center, Fukaya Factory and Itakura Factory respectively. Meetings are held every
month.
② Specific policies, objectives and performance activities related to environment and safety are
established per location.
(3) The CSR Department responsibilities:①Drafts and promotes the plans related to CSR and SDG’s.
②Centrally manage T. Hasegawa’s environmental safety activities.
③Serves as the secretariat of the Environmental Safety Committee and environmental safety audits.
④Coordinates public relations efforts such as the Sustainability Report and the T. Hasegawa website.
(4) ISO14001

Since 2001, Fukaya and Itakura factories have been operating under the Environmental Management
ISO14001 certification obtained from the JSA Group (current certifying body is DNV Business Assurance
Japan Co., Ltd). Production divisions act in concert to achieve continuous improvement by running the
PDCA under the ISO14001 System. In 2012, the R & D Center was certified to enhance our initiative to
reduce environmental impact.

“ISO14001 Environmental Policy“

As a manufacturer of flavors and fragrances that engages in the production and R & D activities for foodand beverage flavorings, fragrances for cosmetics, synthetic aroma chemicals, food additives, food andcosmetics ingredients, etc., T. Hasegawa aims to solidify the importance of being in harmony with theenvironment and be trusted by society. To realize this aim, we will engage in environmental activities
according to the undermentioned policies:

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①Foster resource and energy savings to protect the earth environment②Reduce waste and promote recycling③Enhance environmental control, endeavor to prevent contamination④Comply with laws and standards on air quality management and wastewater⑤Conduct internal audits to continue improving the environmental management system⑥Conduct training on the environment and endeavor to raise awareness of all employees

・GOVERNANCE

We conduct environment and safety audits every year at each operations site. Our Environment and Safety
Control Regulation stipulates that the results of the audits are to be reported at the strategic meeting. As
part of being certified by ISO14001 annually, we receive regular maintenance reviews by the outside
certifying body in addition to internal environmental audits being conducted within the departments.
Through these regular audits, we confirm that the environmental management system is effectivelyfunctioning and make improvements as needed.

Environmental Safety Audit by the Corporate Environmental Safety Committee

Since 1997, the Corporate Environmental Safety Committee has been conducting audits on environmental
protection and safety measures. Through continues improvement and in order to provide a more detailed
structure, our audits have been divided further into “Environmental Protection Audit”, “Security andDisaster Prevention Audit” and “Occupational Safety and Health Audit”. We select auditors with special
knowledge to verify compliance to environmental laws, the state of all activities and the state of how all
the facilities are controlled. etc. For any issues that require improvements, corrective action reports areissued. The auditees, in return, will draw up improvement action reports against the issues, report to the
Corporate Environmental Safety Committee and make the required improvements. In July of 2020,individual audits were conducted at operating locations while enforcing COVID-19 protection measures.

ISO14001 Regular Maintenance Reviews and Internal Environmental Audits

Having been certified under the Environmental Management System ISO14001, Fukaya Factory, Itakura
Factory and the R & D Center receive regular reviews by the outside certifying body DNV Business
Assurance Company Japan to confirm that the system is functioning and operating.
Internal audits for the entire departments are also conducted by the internal environmental auditors who
are registered and approved as stipulated in the environmental manual. If any corrective actions or
recommendations are issued, corrective measures are promptly introduced to continue the improvement.

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2-3 Risks, Opportunities and Strategies, Responses
・Risks(1)Administrative actions and lawsuits as a result of inadequate compliance to laws and regulations.
(2)Obstructing the environmental protection of the local society.
(3)Decline in social reputation.
(4)Suspension of business by customers.
(5)Poor harvest of raw materials due to climate changes.
(6)Severance of the supply chain due to natural disasters, etc..

・Opportunities(1)Increase in demand of raw material substitutes due to period of climate change.
(2)Acquisition of new customers.
(3)Increase in social recognition.
(4)Increase in valuation by ESG Investors.

・Strategies

・Thorough compliance to the laws and thorough responses to risks.
・Based on CSR policies, solve environmental challenges and materialize in growth strategies.

・Responses to Risks – Example

・In a meeting comprised of officers including the President and Representative Director, it was reported
that we have achieved a significant initiative for climate change which is in line to the Paris Agreement.
The initiative was based on the economic validity of an investment regarding the change of boiler fuelusing evidence that CO2 emission over the past 15 years was reduced and that the rate of reduction
surpassed that of Japan (reduce 26% by 2030 starting from 2013).
・Deploy continuous improvement action plans that enhance systems such as conducting the environment
audit annually to run plan-do-check-action cycle (“PDCA”).
・Thorough implementation of measures against global warming (i.e. reduction of energy consumption
and CO2 emission, resource saving of raw materials, effective use of waste such as composting).
・Implement information disclosures and maintain transparency by joining such platforms as CSR
Procurement Assessment Tool (Global Compact Network Japan), Sedex, EcoVadis, CDP, etc.)

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・Response to Opportunities –Example
・Expansion of business with customers through information disclosure and guarantee of traceability.
・Acceleration of innovation, new product development, presentations and sales as a part of our efforts toachieve SDGs’ goals.
・Advancement in technology and partnering with bottle manufacturers using our carbonation enhancing
flavors and natural light deterioration prevention inhibitors which contributes to resource saving of raw
materials that are used to reduce the thickness and weight of PET bottle containers.

2-4 Major Initiatives of Fiscal Year 2020
(1) Environmental Accounting

To efficiently and effectively promote environmental protection activities, we implemented the“environmental accounting” by referring to the “Environmental Accounting Guidelines” published by the
Ministry of the Environment in Japan.

Period Covering: October 1, 2019~September 30, 2020

(Unit: JPN thousand)20
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・Energy Consumption

Energy saving is an active opportunity at T. Hasegawa. We have streamlined and set up standards of usage
to engage in energy saving activities throughout the company, like upgrading all the boilers of the facilities
to those with better efficiency. We also introduced cogeneration facilities and energy monitoring systems.
The Fukaya Factory and the Itakura Factory are both designated as ‘Class 1 Energy Control Factory’ under
the Energy Saving Law in Japan. In Fiscal Year 2020, the modification of the manufacturing processes,
reduction of steam loss by effective use of steam and efficient operations of the boilers have reduced energy
consumption by 21600 GJ year over year and improved 6% in terms of Basic Unit for Energy, which is aunit measured consumed energy in KL per manufactured products per ton. We will continue to implement
effective measures and endeavor to continue reducing energy consumption.

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Designated as an “S” Class Evaluation Grade for Six Consecutive Years under the Business Classification
Evaluation System

Energy Saving Law Periodic Report/Business Classification Evaluation System is a system where The
Ministry of Economy, Trade and Industry of Japan evaluates businesses that submit periodic reports andgrades them into 4 categories(S,A,B,C) and publishes the results on its Homepage website. We received
the S class evaluation (the highest ranking) for the first time in 2015 and have continued to receive thesame S class evaluation for six consecutive years. Under the 2020 report, based on the 2020 actual figures,
our 5 year moving average of the energy intensity recorded 99.0%, qualifying for the Energy Saving Law’s
requirement of more than 1% annual improvement in terms of Basic Unit for Energy.

The Environmental Safety Committee plays the central role to plan the energy saving policies, and the
production division assumes the primary role to design and develop facilities with energy efficiency,
monitoring the actual state of the operations of energy and implement modifications.

Working in collaboration with the R & D division, we have been able to receive such high marks by building
procedures to achieve energy savings and will continue to initiate further energy saving measures.

・CO2 Emission
In 2020, we accomplished a major reduction in energy use due to the effective consumption of energy. The
CO2 emission was reduced by 7.6% year over year. On a mid to long term basis we will continue to
implement effective measures and endeavor to reduce CO2 emission significantly.

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・Water Consumption

We use water not just for production but also for cooling and cleaning. We have been reducing water
consumption by modifying the production processes and increasing the number of water recycling facilities.
In 2020, our water consumption was 463.648 ㎥ which resulted in a 5.4% decrease compared with thepreceding year. We will continue efforts to reduce water consumption in the future.

・Effective Utilization of Waste

As a result of manufacturing flavors and fragrances, we generate waste. Waste management, is a priority
at T. Hasegawa, so we can effectively utilize waste and divert or reduce waste from going to a landfill. We
champion programs for recycling of cans, paper, glass, oil, etc. In 2020, we reduced waste 9.5% in

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comparison with the preceding year and the effective utilization rate of waste was 9.6%. In addition, ourfactories continue not to generate any landfill wastes.

We also generate a high volume of botanical residue from our natural botanical extraction process. Thisbotanical residue is currently being processed into compost using the fermentation composting technology of
the Koumi Compose Co., Ltd., which is a joint venture company between T.HASEGAWA CO.,LTD. (45%ownership) and a company producing compost. Growers of highland vegetables are the prime beneficiaries ofthis compost.

Spraying compost (Koumi Town, Nagano Prefecture)

Vegetable fields (Koumi Town, Nagano Prefecture)25
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・Air Quality Management

Being a manufacturer of flavors and fragrances, we place special attention to odor countermeasures andvolatile compounds. Using deodorizing technology, we make efforts to prevent the emission of malodors. We
conduct regular environmental evaluation of our locations and the surrounding local community areas.

Deodorizing System（R & D Center）

Deodorizing System（Itakura Factory）

・Waste Water Treatment

Since the installation of the waste water treatment system at the Fukaya Factory in 1969, we have been
improving our waste water treatment by increasing our treatment technology such as the activated sludge
method, dissolved air floatation method, anaerobic method, coagulation and sedimentation method and themembrane filtration method. We are engaged in efforts to purify waste water by not just complying withthe regulatory values set by the water pollution control laws, but to exceed the regulations in our selfgoverned requirements.

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Environmental Data Library(1)Impacts on environment through our business activities

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(2)Environmental Targets and Actual Achievements (year 2020)

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(3)Emissionsof

PollutantReleaseandTransfer

RegisterRegulation(“PRTR”)

subjected

materials/Transported Data (Last 3 years)

Note: Reporting year ends of Emissions of PRTR subjected materials/Transported Data do not coincidewith final year end of T.HASEGAWA CO.,LTD.

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3. CSR POLICY 3 HUMAN RIGHTS AND LABOR
Feature a work place that respects human rights and diversity with improved welfare, safety and easy-towork/better environment for the employees.

3-1 Basic Concept
・Basic Policy

We at T. Hasegawa support the global human rights standards such as the “The Universal Declaration of
Human Rights”, “The ILO Declaration on Basic Principles and Rights in Labor” and the “UN Global
Compact”. Our policies to conduct business are based on the “United Nations’ Guiding Principles on
Business and Human Rights”, as shown below:
1. Never engage in child labor and forced labor.
2. Comply with regulations on working time, holidays and minimum wages stipulated by the law.
3. No discrimination in terms of hiring, salary increases and promotions.
4. No harassment against employees and in any working environment.
5. Make efforts to prevent accidents and disasters by giving priority to securing health and safety of theworkplace and workers.
6. Discuss with labor representatives appropriately and faithfully.

3-2 Governance Framework

The Compliance Committee chaired by the President and Representative Director and also being comprisedof other directors has been formed to ensure compliance with human rights and labor as we regard humanrights and labor to be at the forefront of our business. The committee will proceed to make improvements
as necessary.

・Initiatives For Human Rights
The “T. Hasegawa Corporate Code of Conduct” is in effect for all employees to follow when performing
their business duties. “Respecting human rights” is an item included in the Code of Conduct. We instillthat the Code of Conduct is thoroughly understood to cultivate human rights awareness and to prevent
any human rights issues. We also have a “compliance regulation” enacted whereby employees or
stakeholders can report potential risks for the purpose of early detection of human rights issues and forproper actions to be taken.

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・SDG’s to Contribute(1) Human Resource Development
3-(1)-1.

Risks .Opportunities and Strategies

・RisksShortage of human resources with appropriate skills, business slow down and reduction of technology
transfer.

・Opportunities

Enhancement of employee motivation and company culture.
Increase in production efficiency by improving the working environment.

・Strategies
By adhering to the management policy of “fostering a better working environment for all employees”, we
aim to establish a dynamic corporate climate where human resources are developed and where the will
and motivation to work are sustained” and where the opportunity to advance one’s career is provided
equally without any prejudice to race, nationality, gender, religion and disabilities.

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・Education System※Job rotation and/or On-The-Job-Training System for enhancing knowledge and skills of
employees in other division after approximately 3 year working experience in one
division.

3-(1)-2.

Main Initiatives in 2020

Understand the roles and responsibilities of each job requirement and acquire the expected skills
・Segregated Training by Respective Job Title and Department

We conduct training for newly hired employees, full-time employees and new management staff. Training
is done with the objective to providing the necessary understanding of the roles and skills expected. We
go through the Plan-Do-Check-Action (“PDCA”) cycle procedures to plan and manage so that the training
sessions are improved as needed.

Supporting Employees Willing to Learn by Themselves and Grow
・Subsidizing System for Correspondence Education

To promote continuous learning we provide financial assistance to employees completing educationalcourse programs that encourage enhancements of skills.

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・Support System for Acquiring Qualifications

Financial assistance is subsidized up to a maximum of 50% of the tuition fees to acquire advanced
qualifications that the company recognizes such as a certified tax accountant, certified public accountant
and certified social insurance labor consultant. We also provide incentives to employees who meet certain
requirements of the company such as Test of English for International Communication (“TOEIC”) scores.

・In-house Seminars

We give lectures on department activities and on current events as cross-functional learning opportunities.
Recipients of these seminars are able to understand the connection and relationship between their own
department and the lecturer’s department which builds cross-department knowledge.

Cultivating Management Awareness among Junior Employees
・Junior Board

We conduct a management trainee program with the objective of cultivating an ability to develop strategicplanning and enhance managerial skills.

Support of Cultivating Global Human Resources
・Foreign language training

We provide training lessons in English and/or Chinese by native speakers paid in full by the company toemployees.

・Training prior to assuming overseas appointments.

For those employees assigned to work at our overseas subsidiaries, we provide training on the local
cultures, law and business practices

3-(1)-3. Towards the Future

While we continue the initiatives undertaken in 2020, we are planning to introduce further effective education
systems in conjunction with our human resources system.

Support managerial position employees
・Management Training

We conduct training aimed at the managerial position employees so that they will understand andimplement management methods that encourage growth and the autonomy of their staff members.

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Executives
・Executive Training

Provide assistance for executives to continue education within various fields of development pertinent toenhance their leadership roles and responsibilities within T. Hasegawa.

(2) Building Up a Safe and Rewarding Workplace
3-(2)-1 Risks. Opportunities and Strategies
・RisksOccurrence of occupational accidents.
Administrative actions, lawsuits and decline in reputation as a result of occupational accidents.
Loss of quality employees as a result of poor working conditions.
Quitting due to taking care of children and elderly parents.
Difficulty in recruiting as a result of decline in corporate reputation.

・Opportunities

High quality candidates seeking employment and employee retention.
Improvement in production efficiency due to work environment.

・Strategies

By adhering to the management policy of fostering a better working environment for all employees”, we
aim to establish a dynamic corporate climate where human resources are developed with the will andmotivation to work”.

3-(2)-2. Main Initiatives in 2020・Conduct interviews and training to newly hired employees and mid-hired employees so they may eliminate
any anxieties about their new workplace and demonstrate their abilities as soon as possible.
・Encourage employees to use vacation days to increase motivation, improve mental health and decrease
burnout.
・Harassment Prevention in the Workplace.
The purpose of this policy is not to regulate our employees’ personal morality, but to ensure that in theworkplace, no one harasses another individual. Harassment can be intentional and unintentional;
therefore, consistent training on ways to recognize and prevent harassment is key to any successful work
environment.

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・Hold monthly meetings with the Labor Union to appropriately understand and evaluate the requests of
employees.
・“Safety Patrol”: The Safety and Health Committee conducts patrols in premises every month.
・“5S” Activities”: The Safety and Health Committee monitors the building, rates the performances of every
department and hands out rewards once a year. The initiative is set to promote the *5S Activities:*5S stands for Seiri (Organize), Seiton (Tidy up), Seiso (Clean up), Seiketsu (Keep clean), andShitsuke (Discipline)
・”Safety Slogan”: Each year a contest is held to submit a winning motto for a safety slogan which is judged
and decided by the Safety and Health Committee. The slogan is used for one year which leads toawareness while representing our beliefs and values.
・ “Safety Social Gathering”: Held once per month to share information from the Safety and HealthCommittee and other committees as appropriate to employees.
・Fire Prevention Drill: Conducted twice annually the fire drill is a comprehensive coverage of protocols
that includes elements of “extinguishing”, ”alerting”, ”escaping and guiding”, “rescuing”
and ”protecting”.

■Related Data (Fiscal 2020)
・Number of Employees by Employment Type
Executive Officers

Men 11

Women 1

Employees

Men 672

Women 333

Full time Contract Employees

Men 56

Women 15・Average Length of Service by Gender

Men : 17.5 years Women : 15.2 years(Includes contract employees with employee contract with a fixed-term)
・Percentage of Employees covered by the Union Agreement(Numbers in parenthesis indicate statistical total)
Against Total Employees

54.0% ( 1,088)

Against non-managerial employees

95.3% (616)・Average utilization rate of Paid Leave

63.6%

・Rate of turnover 1.4% (Past 3 year average of employees who left for personal reasons)・Total number of employees who took paternity/maternity leave Men 3 Women 12
・Total number of employees who returned to work after paternity/maternity leave during reporting period.
Men 3 Women 10
・Number of employees working 12 months after returning to work from paternity/maternity leave
Men 1 Women 9

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・Return to work percentage and 12 months job remaining percentage of employees who returned to work
after paternity/maternity leave
Men Job Return Rate 100% Job Remaining Rate 100%
Women Job Return Rate 100% Job Remaining Rate 100%

■Systematic work environment management
・Self-declaration system
・No overtime work day
・System to encourage all employees to consume all paid holidays
・System to allow shortening work hours to caring of children and nursing elders
・Job application system for those having left to take care of children and nursing elders.
・Long Time Service Awards.
・Supporting cultural events and sporting activities for team spirit building.

■Obtaining KURUMIN Mark,KURUMIN Mark is a proof that a corporation is certified by the Minister of Health, Labor and Welfare in
Japan as a "child-rearing support company.
Received certification in 2015 and 2019 for meeting the requirements of the “Act on Advancement of
Measures to Support Raising Next-Generation Children”.

3-(2)-3. Towards the Future
・We strive to support work/life balance and recognize that our employees need time away from work tofocus on family and self-care. We introduce paid-time off per working hour system to enable such work
time flexibilities to function.
・Employees are our number one assets; therefore, providing proper training and development throughour human resources system is vital to our success. We review our human resource system as necessity
requires.
・Our working environment is highly diverse with Employees in terms of ages, physical conditions andworking experiences. This level of diversity requires us to look at the working environment from many
angles to continue supporting and engaging all of our team members.

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4. CSR POLICY 4QUALITY SAFETY

We will be the leader of Product Safety

4-1 Basic Concept
・Basic Policy

In order to meet the demand of our customers for “safe and secure to use”, we have established a quality
assurance system that places importance in supplying safe and secure products.

・Relationship with Stakeholders

We aim to continue providing our customers with products that are safe and secure to use and also withvalues that leads to customer success.
Product Quality/Food Safety Policy

We will implement the following policies to provide our customers with products that are safe to use.
1.

We value engaging in communication with our customers to provide products that meet or exceed theneeds of our customers.

2.

From R & D to raw material procurement, production, logistics, sales and administration, every
department will fulfill its duty, to provide our customers the highest quality products and services.

3.

We comply with related laws and regulations in establishing a quality assurance system that provides
products that are safe and high in quality as we continually make improvements.

・SDG’s To Contribute

We have a traceability system that uses bar codes to track raw materials from the point of receiving throughall the way to product shipment so that our customers may feel safe to use our products. We are able to
track finished product lot numbers, production records, product test results, lot numbers of the raw
materials used in the products and all the records of tests conducted on the raw materials upon receiving.
We check quality and safety related information such as the specifications, allergens and residual pesticides
for all the raw materials used. For compound flavors and fragrances, we confirm that they comply with therelated laws and regulations such as the Food Sanitation Act, Fire Service Act, Occupational Safety and
Health Act, Regulations related to Chemical Substance Reviews and Production. We always use raw
materials that are guaranteed and reflect the quality of such raw materials to our products. We produce
products that are safe and secure to use and to minimize environment footprint.

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Copyright© T.HASEGAWA CO., LTD. All rights reservedWe publish Safety Data Sheet (“SDS”)’ conforming to Globally Harmonized System of Classification andLabelling of Chemicals (“GHS”) to disclose information regulated by law. Through our traceability system,
we are able to trace information which allows us to reduce the time required to respond to the request fromour customers and provide information in a timely manner.
4.2. Governance Framework

To guarantee the quality and safety of our flavor and fragrance products to our customers, we have establisheda quality assurance system led by the Quality Assurance Department which is under the direct control of the
President and Representative Director. All raw materials used at our company are registered in our raw
material lists by the Quality Assurance Department. Only those raw materials with quality and safety checks
having been completed are used for samples and finished product production. We conduct completion tests
against all products that we supply to our customers to make sure that we provide high quality products.

■Quality Assurance System■Communication with clients38
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■Quality Control from Raw Materials to Products(1)Quality Assurance Department
At the time of purchasing raw materials, we confirm that they are in compliance to the laws and regulations.
We require products not to just comply with Japanese laws, but also in response to our overseas customers,
we confirm the acceptance to local country and region laws and regulations.

(2)The Quality Control Department
The Quality Control Department at the factories conduct the QC activities like quality checks on the finishedproducts and incoming raw materials purchased. Every product and raw material handled at the factories
are checked for quality. We have internal systems and equipment in place to conduct tests and continually
upgrade equipment necessary in maintaining the quality of our product and raw materials. The test results
are uploaded by the autonomous transfer system to our computer system whereby the data provides recorded
numbers, determination of pass or fail, and printouts of test results. This helps to prevent tampering of data.
As a flavor and fragrance company, we also put emphasis on cultivating sensory expert personnel. Sensory
experts have accumulated many hours of training to distinguish different odors and have passed sensory
certification tests.

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(3)ISO9001
We received the global standard Quality Management System Certification for ISO9002 for both Fuakaya
and Itakura factories in 1998. In 2003, we transferred over to ISO9001 and then expanded the certification
to cover R&D center in 2007. Under the President and Representative Director, all employees fully cooperate
and participate in our quality control system. Acquiring the Food Safety Management System FSSC22000
in 2012, we have been deploying a consolidated management system of ISO9001 and FSSC22000 since 2019.
Each department adopts the optimum standard: the headquarters, sales branches and offices, the R & D
Center and the fragrance factory are covered by the requirements of ISO9001 whereas the flavor factories
are covered by the FSSC22000 Certification.

(4)FSSC22000
We received the FSSC22000 Food Safety Management System Certification for Fukaya factory, Itakura
factory and R&D Division in 2012. By acquiring an international standard recognized by GFSI (Global Food
Safety Initiative), we are able to reduce the risk associated with food safety which is recognized by ourcustomers. Since R&D center is covered by ISO9001, we decided to exclude R&D Division from subjects of
FSSC22000 to avoid overlap in 2019 so that it is valid only for Fukaya factory and Itakura factory.

(5)Internal Audits
We conduct internal audits related to quality and food safety once per year. Internal auditors have received
training as auditors and are useful in coming up with detailed improvement ideas which leads to theelimination of unnecessary or wasteful elements of work. The suggested points are also shared with otherdepartments to conduct continuous improvement initiatives.

(6)5S Audits
At the Fukaya and Itakura factories, members of the Quality Control Center enter the production areas andconduct sanitary audits based on 5S Activities (Seiri (Organize), Seiton (Tidy up), Seiso (Clean up), Seiketsu(Keep clean), and Shitsuke (Discipline). Sanitation control inside the factories are the basics of Food Safety
and is useful to prevent contamination by foreign matter and microbes.

(7)Management Review
Annual reviews of the quality and food safety activities are provided in a report to top management. By
reviewing the annual activities, top management makes strategic direction and plans what initiatives wewill engage for continuous improvement.

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(8)Compliance Initiatives
Employee engagement and awareness in compliance for food safety is important in providing high quality
products to our customers. We conduct repetitive education and training on quality matters upon hiring
new employees and regularly thereafter on a timeline prepared by the QC department. Since laws andregulations change frequently, we promptly convey information related to laws and regulations to ouremployees through the internet, regular training sessions and lectures from industry related associations
and third-party suppliers, vendors or customers. At the factories, we hold regular training sessions related
to food safety to increase compliance awareness among the employees.

(9)Internal Halal Committee
We have received Halal certification for export products to Southeast Asia to achieve safe and secure supplyof our products. We have established an Internal Halal Committee comprised of members from sales, R &D and production to share information related to Halal matters and to maintain and control the Halal
Certification. We also signed an Advisory Agreement with the Nippon Asia Halal Association to assist withcompliance and continuous improvement.

(10)Actions Taken When Claims are Received and the Role of the Quality Control Committee
When claims are received, the Quality Assurance Department and the Quality Control Center work
together to verify the causes and work on the countermeasures of the claim and respond promptly to thecustomers with a root cause analysis. In the event of serious claims, top management is notified
immediately and appropriate actions are taken. The information related to the claims are shared by the
Quality Control Committee, horizontally deployed to other related departments to be used to prevent any
quality issue recurrences.

4.3. Strategies
・Continuous Enhancement of Governance(1) To respond to the constantly changing information related to the laws and regulations, we participate
and are members of industry related associations. We are active members of International Fragrance
Association (IFRA ) and International Organization of the Flavor Industry (IOFI ), and dispatch our
employees as committee members to Japan Flavor & Fragrance Materials Association (JFFMA) and
The Japan Food Additives Association to participate in the meetings of these associations. We areengaged in activities for the development of the flavor and fragrance industry.

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(2) Reinforcing Quality at the R & D Level
Globally, laws and regulations change regularly and we proactively obtain information from industry
associations to maneuver with those changes, while being able to convey proper information to ourcustomers．The information received from outside resources is evaluated and recorded into an internal
data base and utilized immediately. The updated information is accessed by researchers in thedevelopment of new products. We utilize this setup not only to provide newer information to thecustomers but also to develop better products.

(3) Reinforcing Quality during the Production Process
Products with consistent quality are demanded of the production process. We assign codes to all raw
materials and finished products. By using a bar code management system, we prevent mixing oferroneous raw materials and product mishandling. At the factories, the scales and balances used formeasuring or weighting raw materials are registered in production control system. Data collected fromthe scales and balances and automatically entered to the system are matched with data from the bar
code management system for ensuring accurate traceability. We aim to provide products with consistentquality at the factories utilizing technology.

4-4. Major Initiatives of Fiscal 2020

We received standard annual audits of ISO9001 and FSSC22000 with no major issues and continuation of
our certifications under both. Audits for Halal were also completed and renewal certification was approved.
Further food safety initiatives were undertaken such as the installation of additional security cameras, acontrol system to monitor entry and exit of rooms and pest control devices. Also at the factories, we havebusiness improvement proposal system in place and approximately 1,500 proposals were submitted by theemployees during the fiscal year. Employees are committed to providing products with awareness towards
quality and food safety.

4-5. Towards the Future

We will continue to enhance our quality assurance system so as to maintain continuous trust in our quality
from our customers. The Quality Assurance Department is in direct control from the President andRepresentative Director. The Quality Assurance Department will work together with other division suchas Quality Control Center of the production division and quality control departments of our overseas
locations to provide products with quality satisfactory to all of our customers both domestically and globally.

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5. CSR POLICY 5 Governance. Fair Business Activities
We become a trustful partner to the society based on securing soundness, fairness and transparency inManagement.

(1)Corporate Governance5-(1)-1 Basic Concept

As a listed company on the Tokyo Stock Exchange first section, we respect the 5 basic principles of corporate
governance indicated here below.

(1) Protecting shareholder rights and secure fairness(2) Establishing good relationship with stakeholders through seamless dialogue(3) Fostering a better working environment for all employees(4) Making timely and appropriate disclosures to secure transparency(5) Further improving management supervision by Board of Directors and Board of Auditors and securingaccountability to stock holders

Observing those 5 principles, we will enhance the function to check management and comply with the laws
and regulations. Those kind of actions will enable us to make precise and prompt management decisions
in a timely manner and maximize our corporate values through attaining sustainable growth.

SDG’s To Contribute

5-(1)-2 Governance Framework

We have adopted to setup the Board of Auditors in our organizational structure as required by theCompanies Act. The Board of Auditors supervises important business decisions made and executed by the
Board of Directors.
The executive duties of the Board of Directors are audited by both in-house auditor, outside auditors andthe Board of Auditors who are independent from the Board of Directors.
Furthermore, we established a division of roles between management and execution of business
responsibilities by introducing Executive Officers. The Executive Officers hold a strategic meeting that
reviews and evaluates the business and builds management strategies. The Appointment Committee along

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with the Committee on Compensation decides on the compensation of board members and provides
transparency and objectiveness to stakeholders.

Outline of our Corporate Governance System as indicated here below【Corporate Governance System】

Stockholders' Meeting
Election・Dismissal
Inquiry
Appointment
Committee
Compensation
Committee

Participation

Board of Directors（Directors）

Participation

Reply
Election・Dismissal

Election・Dismissal

Board of Auditors

Audit・Supervision（Auditors）

Appointment・RemovalElection.Dismissal
Exchange ofInformation.Ideas

Representative
Director

ReportParticipation

Strategic Meeting
Instruction

Participation
Audit・Supervision

Accounting Auditor

Full-time Auditor

Participation

Report（President）

Executive Officers（Chief Officer・Officer in charge）

Execution of Work

Exchange ofInformation.Ideas

Audit Division
Exchange of Information・Ideas

Internal Audit

Departments in charge of Operations
Audit

・Diversity of Directors and Auditors

To realize corporate governance that is the foundation of a highly trustful and transparent management
system, we secure the Board of Directors with diverse backgrounds in education and career paths. The
appointment of the directors and auditors take into consideration personality, insight, and knowledge
related to various areas of expertise. The number of directors is held to less than 10 according to the Articles
of Incorporation which forms a structure with an optimum number of members, with the ability to actively
engage in discussion, review and decisions.

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■Skill Matrixes of Directors and Auditors
SKILL MATRIXSPECIFIC SKILLS POSSESSED TO UTILIZE AMONG SPECIALIZED SKILLS REQUIRED BY OUR COMPANYNAME

MANAGERIAL POSITIONCORPORATEMANAGEMENT& STRATEGIESQUALITY

SALES &SUSTAINABILITY MARKETING
ESG

Tokujiro Hasegawa

Chairman & Representative Director

╤

╤

╤

Takao Umino

President & Representative Director

╤

╤

╤

╤

Yoshiaki Chino

Director & Deputy President

╤

╤

╤

╤

Minoru Nakamura

Director & Senior Executive Vice President╤

Shingo Daimon

Outside Director╤

Takao Yuhara

Outside Director╤

Koji Kataoka

R&D

PRODUCTIONLEGAL,GLOBAL ACCOUNTING HUMAN COMPLIANCE,STRATEGIES & FINANCE RESOURCESRISKMANAGEMENT

╤

╤
╤

╤

╤

╤

╤

╤
╤

╤

╤
╤

╤

╤

╤
╤

╤
╤

╤

╤

Full Time Auditor╤╤

Tomonori Arita

Outside Auditor╤╤

Kazuhito Yamamura

Outside Auditor╤╤

Junko Imura

Outside Auditor╤╤

・Succession Program

Cultivating a successor to the President and Representative Director through a planned approach is themost important matter in our management strategy to the continuity of our corporate values in the future.
In identifying a successor the candidate must hold or acquire the ability, experience and skills required forthe post of President and Representative Director. This can be achieved by having the candidates
accumulate the management experience through job execution, attending the Board of Director Meetingsand Strategic Meetings. To maintain transparency of selecting the proper candidate for the President andRepresentative Director, an additional Appointment Committee may be formed, comprised of the President
and Representative Director along with outside Directors and provide a detailed report at the Board of
Directors meetings. The Board of Directors manage the overall initiative to cultivate the successor.

・Evaluating the Effectiveness of the Board of Directors

Every year, our Board of Directors analyzes and evaluates the effectiveness of the Board and discloses theoverview of the results for transparency.

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■The PDCA Cycle to improve the effectiveness of the Board of Directors

5-(1)-3. Strategies

Fulfilling our social responsibility while achieving sustainable growth, it is imperative that we make prompt
decisions under a management system with good reliability and transparency that responds flexibly to thechanges in the management environment. Our group consider Corporate Governance which is thefoundation of a management system with good reliability and transparency as an important challenge andtherefore continue to make initiatives to strengthen an effective governance system.

・Objectives

Our objective is to grow our business through sustainable and stable development. One objective is toincrease the consolidated sales rate by more than 4.0%; secondly our aim is to have a consolidated
operating profit rate of 11.0% and a consolidated ordinary profit rate of 12.0% by the end of Fiscal Year2023.

5-(1)-4 Major Initiatives of Fiscal 2020

・We followed the “Basic Principles related to Corporate Governance” enacted according to each principle of
the Corporate Governance Code.
・Board of Directors:- 11 meetings were held through the year.
- Critical matters such as business strategy, sales budget and business matters related to law andregulations were determined.
- Analysis of sales achievements and ongoing business matters were discussed monthly.
- All discussion and decision making were conducted to be compliance to laws and regulations along withappropriate business activities.
・Board of Auditors:

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- 4 auditors with 3 being outside auditors.
- 12 meetings were held throughout the year.
- Reviewed reports and made appropriate decisions based on the received information.
- Auditors attended Board of Director meetings.
- Auditors reviewed the performance of duties conducted by directors.
- Interviews to the officers who were department heads were done twice through the year.
- Auditors visited and audited subsidiaries and factories in accord with audit plan.
- Regular meeting with the public accountants and in-house audit team members improved quality ofauditing activities.
・Other critical activities- The Appointment Committee meeting which is made of Representative Director and outside auditors
were held once through the year. The Appointment Committee selected candidates for directors andmade a proposal to the Board of Directors.
- Compensation Committee Meeting, of which members are comprised by Representative Director andoutside auditors were held once through the year. The Compensation Committee reviewed thecompensation of the directors and made a proposal to the Board of Directors.
- Questionnaires related to the make-up of the board and operations were handed out to all directors andall auditors to ensure the effectiveness of the Board of Directors. The responses were compiled and theresults indicated that the effectiveness of Board of Directors’ meeting was acceptable in 2020.

5-(1)-5 Towards the Future

・In light of the ‘effectiveness analysis’ of the Board of Directors’ meetings, we will increase discussion timein the Board Meeting by providing sufficient explanation of meeting agendas prior to the meeting. To
assist outside board members with understanding the nature and details of the content and activities, thecontent of the reports from each department were reformatted and improved. Regular interviews between
the outside auditors and executive officers were held in order to continue the improvement of governance.
・We will continue our initiatives to strengthen our effective corporate governance.
(2) Compliance5-(2)-1. Basic Concept

We consider compliance as one of the most important challenges of our business. The T. Hasegawa
Corporate Code of Conduct and Compliance Regulations is established so that the business activities of all
officers and all employees are in compliance.

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Initiatives to Prevent Bribery and Corruption

We support the 10 principles related to “Human Rights, Labor, Environment, Anti-Corruption” raised by
the United Nations Global Compact to realize global sustainability. We will continue to promote responsible
management to all of our stakeholders in the future.

Policies of T. Hasegawa to Prevent Bribery and Corruption

In view of the global enforcement of anti-bribery and anti-corruption regulations, we have stipulated theundermentioned basic directives to prevent bribery and corruption that are in compliance with the local laws
and regulations of the countries we are doing business in.

1. Within the “T. Hasegawa Corporate Code of Conduct” and stipulated in our employment handbook thecodes related to “compliance of laws and regulations”, “actions towards customers,” and “relationship with
suppliers”, T. Hasegawa will prohibit corruption based activities while complying with laws and regulations
related to bribery and corruption applicable to both domestic and overseas.

2. Under no reasons should T. Hasegawa gain any profit through bribery and corruption or any other illegalmeans. We will direct our business partners both domestic and overseas to fully understand the meaningof our policies and not engage in any illegal activities to gain any profits on behalf of our group.

3. T. Hasegawa appoints the officer in charge of administration as the chief supervisor related to theprevention of bribery and corruption and to supervise our compliance system. We will endeavor to control
our compliance system by implementing necessary training to prevent bribery and corruption and by
expanding our internal notification system.

・Installation of Tax Policy

Due to our global expansion, taxes are becoming complicated along with the tax risks. In order to enhance
our tax governance capabilities, we will establish the T. Hasegawa Tax Policy to cultivate awareness oftaxes among officers and employees of our group.

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T. Hasegawa Tax Policy

Basic Policy

T. Hasegawa will comply with the laws and regulations based on the “T. Hasegawa Corporate Code of
Conduct”. By appropriately fulfilling our tax obligations in the various countries where we conductbusiness, we accomplish our social responsibilities as a company and aim towards further improving ourcorporate value.

1. Compliance with Laws and Regulations

We will comply with tax related laws and regulations and appropriately fulfill our tax obligations. We
will not take advantage of any tax incentives that has nothing to do with our business activities orengage in any tax avoidance measures such as using regions known to be as tax haven areas. In global
trade, we will comply with the laws and regulations, tax treaties and global taxation of the various
countries and regions where we conduct business.

2. Secure Transparency

We will make efforts to appropriately disclose information to all of our stakeholders by complying with
our accounting standards and disclosure standards. If any requests are made from the tax authorities,
we will provide all the necessary information to establish a positive relationship with the authorities. If
any tax related issues are raised, we will promptly implement corrective measures to prevent any
recurrences.

3. Minimizing Tax Risks

We will aim to minimize the tax risks to improve our corporate values through correct understandingof the tax system. In the event of any business dealings where there are some vague tax related
interpretations, we will conduct adequate reviews in advance with the help of experts and if necessary,confirm with the tax authorities to try to reduce the tax risks.

4. Tax GovernanceTo make sure that our tax related interpretations are correct, we receive advice from outside experts on
matters related to business environment changes and tax law changes of various countries and regions.
We thereby are able to respond in a timely and appropriate manner at all of our business locations toensure a system where all the information are shared with us.

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・Policy towards Animal Experimentation

We do not engage in any animal experimentation for the research and development of our flavors andfragrances. We also do not support any animal experimentation activities. However, we will comply withthe authorities accordingly.

5-(2)-2. Governance Framework(1) The Compliance Committee
Established under the Compliance Regulations, members of the Committee include directors with the
President and Representative Director being the Chairman. The Compliance Committee monitors andprevents illegal activities as well as preventing inactions and concealment of potential illegal activities
by investigating for any illegal activities within the company. The committee aims to quickly evaluate
any illegal activities that may have occurred and make corrective actions.

(2) Whistle-Blower System
We have an established Whistle-Blower System to receive reports of illegal activities(3) Training and Education regarding Compliance
By training and education, we cultivate awareness to all of our directors and employees to respectcompliance to the laws and regulations.

(4) Streamlining and Implementation of Internal Control
To strengthen credibility of our financial reports, we have in place an internal control regulation that ismonitored and tested regularly that establishes a system that properly evaluates the validity andeffectiveness of the reports.

5-(2)-3 Goals(1) Compliance Tests: Conduct once annually.
(2) Seminar to prevent harassment: Conduct once annually (Mandatory to all promoted to managers).

5-(2)-4 Main Initiatives for Fiscal 2020・The “T. Hasegawa Corporate Code of Conduct”, we established an environment to confirm from time totime that copies of the corporate codes are distributed and are thoroughly understood by all of the officers
and employees. Also in order to make sure that the codes of conducts and regulations that requirecompliance with sincerity and ethics are thoroughly understood, compliance understanding tests wereconducted to cultivate awareness towards compliance.

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・Based on the Compliance Regulations, the Compliance Committee Meeting was held once in 2020.
Important issues regarding compliance and the results of the Compliance Understanding Tests werereported during the Compliance Committee. During Fiscal 2020, there were no serious complianceviolations related to our businesses. The percentage of correct answers to the Compliance Understanding
Tests were 99.9%, thereby allowing us to confirm that the understanding of compliance is deepening
within the group.
・Whistle-Blower Systems have been established at T.Hasegawa. Any situation of a whistle-blowing reportwill be sent and investigated by the full time auditor.
・ We will not pursue, forge or establish any relationships whatsoever with Anti-Social Forces. Our
T.Hasegawa Corporate Code of Conducts addresses this issue and is being complied with by all of ourofficers and employees. We always engage in assisting information requested from government agencies
and organizations like the police department, we have a system in place to work together closely withthese agencies, organizations and lawyers to deal with these issues promptly.
・It is our policy to prohibit harassment of any employee by any supervisor, employee, customer or vendor
on the basis of sex or gender. It is not always easy to define precisely what types of conduct could
constitute harassment and there is a wide range of behavior that may violate this policy; therefore,
frequent and consistent training on harassment prevention is required. New managers are provided
training at time of hire and periodically thereafter.

5-(2)-5. For the Future

We will continue all the initiatives to enhance compliance awareness. We will enrich and strengthen thecompliance system of our entire group.

(3)Risk Management
5-(3)-1 Basic Concept

A Risk Management Committee has been established which is a cross functional team that analyzes,
manages and/or takes actions against risks. Business Continuity Regulations and Business Continuity
Procedures have been installed. Officers and employees are provided these internal regulations andindividual departments are to spearhead analyzing, managing and developing countermeasures to deal
with risks.

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5-(3)-2 Governance Framework(1) Compliance Committee

By managing internal regulations, the related departments take the lead to analyze, manage and come up
with counter measures. Also for risks that need to be dealt with as a whole company or as a group, therelated departments as well as the Risk Management Committee based on the Risk Management
Regulations will take the lead. The Risk Management Committee is setup as a cross sectional organizationof group companies with officers being members and chaired by the President and the Representative
Director.

・Risk Identification Process

Based on the Risk Management Regulations, we conduct an annual risk survey covering the entire
company to identify risks. The results of the analysis of the risk survey are reported to the Risk
Management Committee as well as to the Board of Directors. Based on the survey results, important risks
that should be monitored by The Risk Management Committee are selected with the progress being
reported on a regular basis.

Organizational Chart of the Risk Management Committee

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Major Risks

The major risks and the initiatives undertaken
RISK

ASSOCIATED RISKSMAJOR INITIATIVESUNDERTAKEN

Risks associatedDecline in sales of finished products ofDiversify our portfolio of customers

with weather

our customers’ industries (beverage,

other than the beverage industry sincefood, toiletries, etc.) due to unstable

it is the most affected by unstableclimate.

climate conditions

Damage due to impacts of abnormal

Strive to procure raw materials fromweather

multiple suppliers around the world,

CATEGORY

Risks associatedwithprocurement of
raw materials

hurricanes,
products,

conditions(cyclones,etc.) on agriculturalsocialunrests(terrorism,

andpromotediversificationofprocurement methods.

war, pandemics, etc.) , accidents at

Implement global purchasing throughsuppliers, etc. lead to difficulties incollaboration

procurement and affect sales of ourdomestic and overseas subsidiaries.

among

the

Group'sgroup.
Risks associatedwith disasters

Risks associatedwith quality

Damage due to natural disasters

Install and adopt Business Continuity(earth quakes, typhoon) and social

Plans (“BCP”) and its procedures tounrests (terrorism, war, epidemic) atsecureour production sites affect sales of ouractivities

group.

occurrences of disasters and crisis.

Damage due to defects of our finished

Make efforts to supply our finishedproducts affect the sales of our group.

continuation
in

case

of
of

business
unexpected

products with quality that satisfies
our customers, bearing in mind thatfood safety comes first.
Quality Assurance Division reports
directly

tothePresident

andRepresentative Director
Purchase Product Liability Insurance.
Risks associatedwith economic
situations

The economic situations, economic

Accelerate global expansion in Asia,

trends, financial affairs and trends inmainly in China and Southeast Asia,

personal consumption lead to decline

and in the United States, and diversify

in sales of finished products of our

the regions in which we operate.

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RISK

ASSOCIATED RISKSMAJOR INITIATIVESUNDERTAKEN

CATEGORY

customers and affect the sales of our

Accurately understandthe market

group.

growth and consumer preferences ofeach country and region of our
subsidiaries,

plan

and

executebusiness strategies that align withtrendsRisks associated

Enforcement of environmental laws

Comply with environmental laws andwithincrease costs, possibly restricting

regulations of each country and region

environment

business activities, etc. which affects

where we engage in business.

the sales of our group.

Develop initiatives in compliance with
the CSR Policy and our Corporate
Code of Conduct.

Risks associatedIf the current value of our assets

Evaluate profitability of fixed assets

withdrastically drops or if the profitability

and decide continuation of ownership,

impairment loss

of

the

or propose alternative solutions. In

application of impairment accounting

addition, maintain the asset value byleads to impairment loss of fixed assets

spending

and affects financial performance ofcapital expenditures.

our group.

In implementing M&A, draw up

ourbusiness

declines,

adequatemaintenancebusiness plans and conduct adequate
reviews of future value assessment.
Once M&A is completed, proceed to
PMI(post-merger

integration)tomaximize estimated synergy effects.
Risks associatedWe position the global market as theConsider corporate governance, whichwith Subsidiarydriving force of growth for our groupis the foundation of a highly reliable

Management

and we are increasing our businessand transparent management system,

exposure in Asia such as China andto be an important issue, and strives toSouth East Asia as well as in thestrengthen its effective governance

United States of America. However, if

system,the subsidiary management (corporate

subsidiaries.

including

those

of

our

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RISK

ASSOCIATED RISKSMAJOR INITIATIVESUNDERTAKEN

governance) becomes inadequate or

Apply the T.Hasegawa Corporate Codeillegalof

CATEGORY

andscandalous

incidences

Conduct

andtheComplianceoccur, the corporate image may be

Regulations to our subsidiaries anddamaged and trust lost, which may

make efforts to establish a complianceaffect financial performance of oursystem that covers the entire group.

group.

Also we setup whistle-blowing system
to receive reports of illegal activities at
subsidiaries.
Strengthen governance structure atouroverseassubsidiaries

byestablishing important standards andregulations.
Regardingoperation

risk

in

our

overseas subsidiaries as major risk
factors of our group, we plan andconduct business operational audits of
our overseas subsidiaries based on theimportant standards and regulations
we developed and our business audit
procedures in planned manner.
Risks associated

The financial statement items of ourOur businesses are diversified into

with

foreignoverseas subsidiaries are indicated in

multiple currencies such as Yen, US

rate

local currencies; therefore, in the

Dollar and Chinese Yuan.

consolidationexchange
fluctuations

converted

process,
into

they

are

Create business plans anticipating

Japanese

Yenforeignexchangecurrency

equivalent. The exchange rate at thefluctuations.

time of the conversion may affectOn a stand-alone basis, we are hardly

financial performance of our group.

affected by exchange rate fluctuations
because the amount of exports fromJapan and imports of raw materials
from overseas are almost equal.

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RISK

ASSOCIATED RISKSMAJOR INITIATIVESUNDERTAKEN

Risks associated

The world-wide pandemic of Covid-19

In order to ensure business continuity,with Covid-19

is still spreading since it was firstwe established the Emergency

reported back in January of 2020 inCountermeasures

Wuhan City of the People’s Republic of(“EMH”)

China.

futureContinuity

outcome of the pandemic, businessprocedures.

performance of our group may be

EMH

affected.

domestically

CATEGORY

Depending

on

the

based

Headquarters
on

Plan

collected(“BCP”)

Businessandinformation

andformulated

the

its

both

internationally,

andpromoted

countermeasures, and took measures
to prevent the spread of Covid-19
infection and ensure the safety of
employees.
Implementation

examplesarestaggered working hours, alternate
work-at-home system in Japan except
for production divisions.
Depending on the future outlook of
Covid-19,

ourgroup'sbusiness

activities may be affected, and we willcontinue to monitor the situation
closely.

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5-(3)-3 Main Initiatives of Fiscal 2020
・Risk Management Committee

The Risk Management Committee made an evaluation report on the analysis, maintenance and actions
taken against important risks. These included the planning of the annual program, drafting andimplementation of the actions. In Fiscal 2020, a meeting of the Risk Management Committee was held.

・Business Continuity

To enable our business to continue in the event of unexpected situations and disasters, we have business
continuity regulations and guidelines developed. Officers and employees are aware of the details of thecontinuity plan. Implementation of the procedures of the plan are practiced by holding emergency fire drills
and confirming safety of all employees via an electronic safety confirmation service on the assumption thata major disaster had occurred.

・Internal Audits

The Internal Audit Department conducted internal audits based on the internal audit plans.

・Information Security

For the purpose of protecting our information assets, we have the Basic Information Security Policy,
Countermeasure Standards and the Information Security Implementation Guidelines in place to maintainand improve our information security activities. Also we have rules in our T. Hasegawa Corporate Code of
Conduct that stipulates how to handle internal information. Officers and employees are provided theserules to enhance information security.

・Intellectual Property

With the increased social awareness of intellectual property as well as the implementation of various
regulations by the government, the importance of intellectual property is on the rise year after year. At T.
Hasegawa, our Legal Department handles intellectual property. We acquire intellectual property rightsfrom the results of our research and development so that we may utilize them to provide high quality andhigh value added products.

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・Responding to the COVID-19 Pandemic

With the widespread epidemic of COVID-19 throughout the world, we established the Emergency
Countermeasures Headquarters to respond to this pandemic. The EMH implemented various infection
prevention measures such as introduction of staggered working hours, alternate work-at-home system,
restrictions of business trips, and restrictions of holding meetings with visitors.

5-(3)-4

Towards the Future

We will continue our initiatives to reduce risks by monitoring important risks planned by the Risk
Management Committee.

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6. CSR POLICY 6 INNOVATION
Contribute to solving social challenges through the flavor and fragrance business

6-1. Basic Concept
・Basic Policy

Our initiatives are related to the research into proprietary aromas and new aromatic ingredients making
use of analysis, synthesis, compounding, material development while achieving rationalization andefficiency of our production procedures.
We lead to the development of new products and new business research activities by responding to theneeds and potential demands of customers, which start with the resolution of social issues.

・Relationship with Stakeholders

Providing high quality and high added value, we provide the optimum "fragrance" that customers demand.
By rationalizing and streamlining the manufacturing methods, it is possible to shorten the delivery, whichleads to cost reduction for both our company and our customers.

・SDG’s to Contribute

6-2. Governance Framework

The Business Solutions Division pursues to contribute to the resolution of social issues and achievesustainable growth by strengthening cooperation among the Sales Division, Sales Planning Department,
Marketing Department, and R&D Division. All department work together in unison to provide high-quality,
high-value-added products to customers based on the strategies planned by the Business Solutions Planning
Department.

The Flavor Institute, The Fragrance Institute and The Technical Institute all pursue specialized fields
respectively but by having all three Institutes work together and by combining results, we are able toenhance our R & D capabilities.

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6-3. Main Initiatives in Fiscal 2020

The core of aroma development rest on the shoulders of R&D Center (in Kawasaki City, Kanagawa
Prefectures). We make our contributions to the creation of an enriched society through flavors andfragrances.
・Reduced energy consumption and attain reduction of CO2 by modifying the production procedures of citrus
flavors・Developed ingredients to mask odors
・Present ingredients for sensitive skin protection■Contributions we can provide to solving social challenges(1)Food Shortage

We are focusing on the development, market analysis and sales promotion of flavors for alternative
protein based products. By developing meat flavors for alternative protein products, it is possible toreduce livestock meat by using plant based substitutes.

Our Milk Colloid® and Utility Flavor® are becoming ingredients to compliment the loss of milk supply
as a result of the decline in the number of dairy farmers. Our FATENHANCER® are displaying effects
to suppress excessive calorie intake by imparting fat mimetic to low calorie and non-oil products.

(2)Food Loss

We contribute to the reduction of food loss by re-verification of our flavor shelf life; Re-verification of thequality assurance period of our flavor extends the shelf life of the customer's product inventory whichcontains the flavor.

(3)Health and Aging Society

We developed masking ingredients that help to mask odors and improve the environment at hospitals
and nursing homes. With the application of Near Infrared Spectroscopy (“ NIRS ”) and through Mapping
The TongueTM, we are engaged in the work to make nursing home food more delicious to eat.

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■Details related to Innovation

Overviews・Initiatives

Products・Solutions
Solutions for an Aging Society

・Development of masking odors to improve theenvironment at hospitals and nursing homes.
・As a part of our efforts in the field of "food" in asuper-aging society, we are making nursing carefood easier to eat and tastier (using and developing
Near-infrared spectroscopy (“NIRS”) and
Deglutition Mapping™ (Myoelectric potential
measurement)).

Solutions for Shortages of Food Resources

・Reduce consumption of livestock meat by utilizing
meat flavors to food ingredients of botanical protein
origin as part of efforts to combat forecasted foodresource shortages in the future.

Carbonation Enhancer ®:・Enhances the fizzy feeling of carbonated drinks.
Enables thinning of PET bottle thickness.
・The main ingredient of Carbonation Enhancer ® is
Yuzunone which is an ingredient that T.Hasegawa
discovered from a natural yuzu fruit.

HASEAROMA ®

・Our series of flavors rich in natural characteristics
as a result of detailed research of the aroma of real
food sources. Utilizing the combined T.Hasegawa
technology of analysis, synthesis andcompounding .We discovered the aroma of food by avariety of methods bearing in mind the concept of“making it more delicious” and adding to it a touchof creativity of the flavorists.

MARUKAJIRI Flavors ®

・Marukajiri means biting into a whole fruit inJapanese. Recreates experiences when one bites intoa fresh whole seasonal fruit.
・Flavor series developed by putting focus on the retro
nasal aroma(plays an important role in the61
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Products・Solutions

perception of deliciousness when eating food as thearoma passes from the mouth to the nose).
Masking Flavors

・Masking agent developed to respond to therequirements of customers such as to improve thearoma of sweeteners, inhibit sourness, sour taste
and bitterness, etc..
・There are aromatic ingredients that affects theoverall aroma of food stuff. These aromatic
ingredients were discovered from the food stuff
during the development phase of the
HASEAROMA® which involved the detailed
research of aroma of food components. Having
confirmed the effects, we are now utilizing them as
flavors effective for masking.

BOOSTRACT ®

・Materials that give richness and mouthfulness toflavor.
・Pursuit of deliciousness in food.

HASELATTE ®

・Materials that give the flavor of milk.
・Pursuit of deliciousness in food.

HASELOCK ®

・Powdered Flavoring agent with excellent
preservation stability.
・Pursuit of deliciousness in food.

AQUASPACE AROMA ®

・Natural and fresh fragrances for fragrance products.
・Captures, analyzes and recreates aromatic
ingredients of botanicals without collecting theactual plants.

Utility Flavors ®

・Aroma modifying ingredients to enhance oily andmilk fat features.
・Applicable to low fat food, refrigerated snacks,
desserts, beverages, breads, bakery products,
cream stews, etc.
・Effective to mask sourness and protein odors.

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Products・Solutions
FATENHANCER ®

・Ingredients to impart cooked oily aroma andkoku(bodily character)to low calorie low fat foods,
non-oil products, etc.

ReplaTH ®

・Flavor-improving materials to replace savory
natural raw materials that are subject to soaring
price and instability in quality.

MILK COLLOID®

・Enhances milk fat feeling without using any milk
products, providing solutions to the shortage ofdairy ingredients.

Natural Light Degradation Inhibitor・Ingredients introduced to respond to therequirements to make PET bottles more lighter inweight.

Hasegawa Seasoning Oil・Aroma improving ingredients/animal fats andvegetable oil in which the flavors of the material
and the flavor produced by heating are transferred.
Such flavors are created in operation process suchas heating and stirring.
・Also known as aroma oil, seasoning oil.
・Enhances aroma and deliciousness of processedfood.

The Harumeki Foundation

・Participated in the tree planting program andproduct development program of the HarumekiFoundation which was founded to support people
with visual disabilities.
・Supported product development and also part of thesales were donated to the Foundation.

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■DATA
Environment

Human right & Labor

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Governance65
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