CSR Report
Corporate Social Responsibility Report2022

CSR at the Central Glass GroupThe Central Glass Group defines CSR as achieving our Corporate Philosophy.
The Corporate Philosophy consists of the Basic Philosophy and the Basic Policies which define the specific directions forachieving the Basic Philosophy. We have established the Central Glass Group’s Code of Conduct in order to sincerely
practice corporate activities based in our Corporate Philosophy.

Basic Philosophy“Creating a Better Future Through Monozukuri* ”
The Central Glass Group will contribute to the establishment of a truly prosperous society through the spirit of Monozukuri.
* Monozukuri refers to all the business activities in which the Central Glass Group engages with the basic stance ofintegrity and sincerity, including R&D, quality oriented manufacturing, and sales. In Japanese, the term Monozukuri
can be broken down into mono (thing) and tsukuru (make). The combination of these terms means “making things”,
or “manufacturing” in the context of the Central Glass Group. We chose Monozukuri to represent the activities of theGroup because the term encompasses not only the meaning of “manufacturing” but also the pride and dedication
required to produce quality products that contribute to society.
Basic Policies

Create new value through innovative technologies.
Strive toward harmony with the environment while contributing to the realization of a sustainable society.
● Endeavor to increase corporate value with global growth as our driving force.
● Aim to be a vibrant enterprise with a pioneering spirit and respect for diversity.
●

1. Be responsible for one’s own actions and engage in corporate activities with integrity and sincerity.
2. Place our highest priority on the quality and safety of our products and continue to meet customer needs.
3. Continuously pursue and refine one’s sense for original ideas and technologies.
4. Support the realization of a society where everyone can live in comfort and good health, and contribute to theprotection of the global environment.
5. Proactively learn about different cultures and customs and create products desired by people around the world.
6. Respect the diversity of every individual and embrace the challenges of the future.

The Central Glass Group will fulfill our corporate social responsibilities through continual improvement efforts utilizing the Plan,
Do, Check and Act (PDCA) cycle for every activity based on the
CSR system outlined below.

CSR System at the Central
Glass GroupThe Group focuses on the ideathat Monozukuri starts with
Hitozukuri as the foundation of
our corporate growth, and we aim
to create workplaces in which
every employee is able to demonstrate their capabilities and skills
to the utmost.

Medium-Term
Plan

Basic
Policies
Employees

The Group carries out quality
control initiatives that always
place customer satisfaction
first, so that we can provide
reliable products and services toour customers.
With our business partners, wework to build fair, equitable, andpositive relationships of trust.

2

Central Glass CSR Report 2022

Basic
Philosophy

Customers
andBusiness
Partners

Shareholders
andInvestors

Code of Conduct

Contents

At the core of the Central Glass Group's Corporate Philosophy is
Monozukuri, which has been at the heart of our corporate activities
since our founding. It refers to all the business activities in which theCentral Glass Group engages with the basic stance of integrity andsincerity, including R&D, manufacturing, and sales. We believe that
Monozukuri is also the foundation for all of our further progress inthe future. Our Basic Policies are a more specific statement of thedirection in which the Group should move in order to realize our
Basic Philosophy.
While this Corporate Philosophy representsof the基 本the方 “thoughts”
針Central Glass Group that should be conveyed to our stakeholders, we
also see it as the starting point for the future corporate activities of
the Group, and we believe that it will enhance our sense of unity asa Group and strengthen the Group’s capabilities.
To ensure that each and every employee shares the Central GlassGroup's Corporate Philosophy, Japanese, English and Chinese
language versions of portable cards are distributed to Central Glassemployees and employees of major domestic and overseas affiliatecompanies.

CSR at the Central Glass Group .............................. 2
President’s Message ................................................ 4
Business Outline of the Central Glass Group .............. 8
Central Glass Group Value Creation Process ............. 10
Special Feature: Medium-Term Plan (FY2022-FY2024)
Achieve New Growth by Strengthening
Our Business Foundations and Original
Technologies .......................................................... 12
Corporate Governance ....................................... 16
Environment and Safety ................................... 20
Quality .............................................................. 28
Employees ........................................................ 32
Society ............................................................. 36
Activities at Individual Plants ........................... 38

Editorial Policy●

Code of Conduct

Corporate Philosophy of the Central Glass GroupThe Group contributes to therealization of a sustainable
society while recognizing theeffect that our business activities
have on the environment. We
strive to reduce our environmental burden and grow in harmony
with the regions where we dobusiness.

This CSR Report 2022 aims to provide comprehensive andeasily understandable information about our engagement with
all Central Glass stakeholders from our customers, business
partners, and investors to employees and members of local
communities.

Reference Guidelines● ISO 26000 (Guidance on social responsibility)● 
Responsible Care Code of the Japan Responsible CareCouncil (JRCC)● 
Environmental Reporting Guidelines 2018 of the Ministry of
the Environment
Report Period
April 2021 to March 2022 (Some exceptions)(The period for information related to health and safety as well
as social and environmental activities of overseas affiliates wasfrom January to December 2021.)
Scope of the Report
The scope of data was the Central Glass Group (the plants, research centers, and headquarters of Central Glass Co., Ltd. aswell as its main domestic and overseas affiliates).
Central Glass Group and the Sustainable Development Goals
The Sustainable Development Goals (SDGs) are international
objectives to be achieved by 2030 that were adopted at theUnited Nations Summit held in September 2015. These objectives consist of 17 goals with 169 targets to achieve a sustainable world.
The Central Glass Group works toward the targets set out by
the SDGs through various business activities with the aim ofcontributing to society and the sustainable growth of theGroup.

Local
Communities

The Group strives to realize rapid
and highly transparent information disclosure. Through ourfinancial results, briefings, andpublications, we are working toprioritize communication with allshareholders and investors.

Central Glass CSR Report 2022

3

President’s Message“Creating a Better Future
Through Monozukuri ”
The Central Glass Group will overcome the drasticallychanging business environment and take a new step
forward as an R&D-oriented company.

Tadashi
Ta
Tad
ash
hi S
Shimizu
himizuhim
himizuiz
RepresentativeRep
e rres
esent
ntati
nt
tati
attiveative
e Dir
DirectDirector,
irect
e or,
ec
or,, Pr
P
President
resi
eside
es
siden
d t & CE
de
CEO
EO
Cen
entra
trall Gtrallasss C
Co.,o., Lttd.
Central
Glass
Ltd.

4

Central Glass CSR Report 2022

Contributing to the Establishment of a Truly
Prosperous Society Through Monozukuri

Solving Climate Change and Other
Environmental Issues with Technology

Under the Basic Philosophy of “Creating a Better Future
Through Monozukuri,” the Central Glass Group has been
engaging in various businesses to contribute to realizing
a truly prosperous society through Monozukuri. I believethat to achieve a truly prosperous society, the ability of acompany to adapt to every change in society as well as tothe needs of consumers in particular is required, and isconstantly being evaluated by society.
The business environment surrounding Central GlassCo., Ltd. (the “Company”) is changing day by day frommoment to moment. Currently, COVID-19 has had a major impact on our social life and just as we are finally beginning to see signs of breaking out from its influence, ashortage of semiconductors is causing restrictions on production activities. The crisis in Ukraine and lockdowns inShanghai have also triggered a global energy price surge,
logistical disruptions and shortages of goods, a complex
combination of which is causing an unprecedented wave
of inflation. In the midst of such drastic changes, I believe that it is my responsibility as the head of the Company to indicate how we should develop our business andwhere we should steer our management.

These structural reforms are being carried out firmly
based on our philosophy. As I mentioned at the beginning, we need to be agile and responsive to the changesof the times and determine what society truly requires toachieve a truly prosperous society. Digital transformation(DX) has attracted interest in the business world, and aconcept called green transformation (GX) is now beginning to spread in Japan as well. GX is an initiative to realize a sustainable society by reforming the entire economic
and social system with the power of advanced technology
to address various issues such as environmental issues
like climate change.
Our basic policy of concentrating management resources on electronic materials for semiconductors, which are
indispensable for improving energy efficiency, and onelectrolytes for lithium-ion batteries, which are essential
for the electrification of vehicles, is one important initiative to achieve our long-term vision to transform ourselves
into an R&D-oriented company that meets the environmental needs of society. It is also in line with the newsocial movement GX.
As we confront the global issue of climate changewith the power of advanced technology, we believe that
the Company can contribute with products that have a
low Global Warming Potential (GWP). For example, until
recently, foaming agents used at construction sites andsolvents used to clean machine parts had GWPs that were
nearly 1,000 times that of CO2 and were used in large
quantities. We developed products with GWPs of less than
1 relative to CO2 more than 10 years ago and introduced
them to the market as alternatives. In the early days, society as a whole was less environmentally conscious than
today, and we struggled with low sales volumes. Since GX
began being discussed, however, sales have increased,
and the products have now become an important pillar ofour business. Given that further advancement of environmental technologies will be required in the future, we will
focus on the development of various products with low
GWPs. In keeping with our Basic Philosophy, “Creating a
Better Future Through Monozukuri,” we will help realize
a sustainable society by actively developing new productswith new value that cannot be developed by just anyone
and offering our products as replacements in fields where
products with high GWPs are still used.
I believe that the key to future business success in the
Glass business will also be the improvement of technology with the environment as a central concept. For example, glass windows in old houses used only one pane ofglass, whereas today's new houses have insulating glasswith improved thermal insulation performance due to the

A Big Decision to Downsize and Restructure
the Glass BusinessFor a long time, we have aimed for growth through twobusinesses, the Glass business and the Chemicals business. However, while businesses in Chemicals have grown
to become new core businesses and the Group's mainstay
businesses have been significantly shifting toward a focus on Chemicals, the Glass business has continued tostagnate. As the recovery of the Glass business did not
progress and the Company's performance deteriorated, amajor and unprecedented change in the business environment occurred and eliminated the option of taking a waitand-see approach.
As such, we had to make a big decision to ensure that
we could continue to be a company of sustainable growth:
the decision to overhaul the Glass business. We decided
to withdraw from the underperforming overseas glassbusiness and make drastic structural improvements to theremaining domestic business in order to return it to profitability by reducing the size of our operation. We intend
to take a new step forward as an R&D-oriented corporategroup by concentrating our management resources on
business fields where further growth is expected, such as
electronic materials for semiconductors and electrolytes
for lithium-ion batteries.

Central Glass CSR Report 2022

5the local community as well as to the industry in Japan.
That was the founding spirit of our company, and fromthen until now, we have continued to fulfill our mission ofcontributing to the local community and to society as awhole.
Our Corporate Philosophy expresses in words this commitment which has continued since our founding, andthe first of the four Basic Policies that accompany thephilosophy states, “Create new value through innovativetechnologies.” Based on the history through which wehave journeyed, it is the “innovative technologies” part ofthe Basic Policies upon which we should place the greatest emphasis today. If asked about the future directionin which I would like to lead the Central Glass Group,
I would say without hesitation that it must be toward
contributing to society as a company with unique technologies. I believe this should be the basis of the Central
Glass Group.

layer of air inside. With current demand for even greater
energy savings, however, there is an accelerating trend
to improve further on this insulation performance. Since
there is a limit to what can be achieved with basic insulated glass, we can anticipate demand for insulating glasswith greater heat insulation performance. Such improvements could be made by increasing the heat-shielding
performance of the glass itself and by sealing a special
gas between the glass panes that prevents heat transfer.
Even as we consolidate our management resources, wewill continue to invest in R&D, not to pursue expansionof business scale, but to ensure the future success of ourGlass business by creating products possessing the dramatically improved environmental performance needed bysociety.

A Commitment to Social Contribution Since
our Founding
While serving as the mayor of Ube City in Yamaguchi
Prefecture, our founder, Nobuyoshi Kuniyoshi, established Ube Soda Industry Co., Ltd. 86 years ago out of adesire to continue doing his utmost in the service of his
hometown after retiring from public office. He wanted tocontribute to the development of the local community by
starting a new business there.
In the industrial structure of the time, the soda industry was an important key industry of Japan, but no factories had yet been built in Ube City. By establishing a soda
industry company in Ube City, he both contributed to6

Central Glass CSR Report 2022

Making Compliance an Integral Part of Our
Corporate Culture
To be a sustainable company, we must be a company
trusted by everyone. The Code of Conduct accompanying our Corporate Philosophy includes the requirement
to “Be responsible for one's own actions and engage
in corporate activities with integrity and sincerity.” In
keeping with this, we have always aspired to be a compliance-conscious organization that adheres to laws,
regulations, and social norms. In recent years, however,there have unfortunately been incidents that violated thisspirit. In FY2021, a defect was found at one of our groupcompanies due to inadequate quality control, resulting
in the suspension of JIS standard certification. Although
we have repeatedly made the importance of complianceknown to our employees, it is truly regrettable that suchan incident occurred. We believe it is of utmost importance to use this as an opportunity to address aspects ofour corporate culture. We are asking all employees to act
with integrity, implementing new guidelines establishedin response to this incident, and educating and raisingawareness among employees in the Group. We are aiming
to share awareness among all employees that following
rules and manuals are part of our corporate culture sothat we thoroughly prevent recurrence.
Against the reality of recent noncompliance incidents,
we are risking falling behind in our efforts toward sustainable management, which has become an indispensable
part of corporate operations in recent years. For this reason, we are determined to ensure compliance at all costs,
especially at production sites.

Strengthening Governance as a Prime
Market Listed Company
Under the reorganization of the Tokyo Stock Exchange in
April 2022, we transitioned to the new Prime Market section. The Prime Market section requires a higher standardof governance, and we are in compliance with all principles of the revised 2021 Corporate Governance Code.
Going forward, we will further strengthen our governanceand actively promote sustainability initiatives.
As a response to climate change in particular, we aim
to set a long-term goal of becoming carbon neutral, reducing CO2 emissions to effectively zero by 2050, anda short-term goal of reducing emissions by 40% from
FY2013 levels by 2030.
As for the current situation, we believe that the possibility of achieving our short-term target has become
extremely high due to the reduction in the number ofdomestic flat glass production lines, the most CO2 emission-intensive facilities, from four to two as a result of therestructuring of the Glass business last year.
We will also focus on enhancing disclosure based on
the Task Force on Climate-related Financial Disclosures(TCFD) and other frameworks, as well as focus on carbon
capture and utilization among our research themes tocontribute to the decarbonization of society as a whole.
This will serve as one of the pathways through which we
become an R&D-oriented company. Along with the development of products with smaller global warming potential, we will continue to take on the challenge of seeking
out the possibilities of carbon capture and effective utilization by applying our technological capabilities to thefullest extent.
In terms of ensuring diversity in the core human resources of the Company, we have set goals for increasing
the ratio of female managers and are accelerating andstrengthening our efforts to further improve this ratio byraising awareness of work styles and enhancing systems
related to childbirth and childcare.
We newly established the Sustainability Committee
in FY2021 to further strengthen our sustainable management. In order to deepen sustainable management
throughout the Group, the Committee is chaired by an
Executive Officer and its members consist of the headsof major business sites who are located at the headquarters, and it is positioned as an advisory body on overallsustainability activities in the Group. The Committee is
responsible for sharing information across the companies
based on a multifaceted vision and values, analyzing andreviewing information gathered from each department
and reporting the results to the Board of Directors, andadvising on the direction that the Company should take inthe future.

Moving forward, we will continue to provide informationthat we would like to communicate to our stakeholders,
and we also intend to actively provide information that
our stakeholders desire from us.

To Our Stakeholders
In the past few years, Central Glass and the Group havestruggled to adapt to major changes in the business environment. We have made a big decision to restructure
the Glass business and accelerate investment in growthareas. We believe this will allow us to focus more of ourmanagement resources on businesses that we expect togrow for a long time to come. In particular, we believethat the market for environmental measures and otherfields that contribute to the sustainability of society willcontinue to grow on a global scale, along with the recognition and penetration of GX and the SDGs.
The Group will move forward as an R&D-oriented company toward the emergence of a decarbonized society andaim to sustainably develop both the Group’s financial andnon-financial activities. We look forward to the ongoingunderstanding and support from all of our stakeholders as
we move into the future.

Central Glass CSR Report 2022

7

Business Outline of the Central Glass Group(As of March 31, 2022)

Major Products of Each Segment

Glass BusinessArchitectural Glass

Float glass, figured glass, wired glass, heat reflective glass, fabricated glass (tempered glass, heat-resistanttempered glass, laminated glass, insulating glass units, security glass, and disaster prevention laminatedsafety glass), mirrors, anti-fog mirrors, and decorated glass

Automotive
Fabricated Glass

IR-cut glass, UV-cut glass, glass antennas, privacy glass, module glass, acoustic glass, defogging glass,head-up display glass, and other various safety glasses

Glass Fiber

Continuous glass fiber, glass wool

EuropeAsia

Company Name

Location

Carlex Glass
Luxembourg, S.A.

Manufacture and sale of fabricatedautomotive glass

ChemicalsCentral Glass
Germany GmbHGermany

GMP contract manufacturing ofactive pharmaceutical ingredients

Central Glass
Europe Limited

UK

Investigation and information
services

Apollo Scientific
LimitedUK

Manufacture and sale offluorinated chemicals

Central Glass
Czech s.r.o.

Czech Republic

Manufacture and sale ofelectrolytes for lithium-ion batteries

Corporate Outline

8

Location

Main Business Operations

Glass
Luxembourg

Company NameCentral Glass Co., Ltd.

Established

October 10, 1936

Number of
Employees

1,630 (5,420 consolidated)

Capital18,168.28 million yen

Listed Stock
Exchange

Tokyo Stock Exchange

Central Glass CSR Report 2022

Hydrofluoroolefin, polyaluminum chloride, gypsum, and hydrofluoric acid

Fine Chemicals

Active ingredients and intermediates for pharmaceuticals and agrochemicals, fluorine organic/inorganic
compounds, high purity fluorine gases for semiconductors, and electrolytes for lithium-ion batteries

Fertilizers

Coated fertilizer, NPK compound fertilizer, NK fertilizer, ammonium chloride, and organic chemical fertilizer

Japan

Company Name

Main Business Operations

Glass

Chemicals
Business

Basic Chemicals

Company Name

The Americas
Location

Main Business Operations

Company Name

Glass

Taiwan Central GlassCo., Ltd.

TaiwanManufacture and sale of processed
glass for electronic materials

Saint-Gobain Central
Sekurit (Qingdao)
Co., Ltd.

China

Manufacture and sale of fabricatedautomotive glass

Chemicals
Giga Gas & Electronic
Materials Company

TaiwanSale of special gases for information andelectronic industries, and chemical
products

Giga Gas & Electronic
Materials Company
Singapore

Singapore

Sale of special gases for information andelectronic industries, and chemical
products

Giga Gas & Electronic
Materials Trading(Shanghai) Co., Ltd.

China

Sale of special gases for information andelectronic industries, and chemical
products

Zhejiang Central Glass
Chemspec Company
Ltd.

China

Manufacture and sale of electrolytes forlithium-ion batteries and fluorinatedchemicalsCentral Glass Trading(Shanghai) Co., Ltd.

China

Wholesale and import/export of glass
products, chemical products, chemicalfertilizers, glass fiber, and other products

Jiangxi Tinci Central
advanced materials
Co., Ltd.

China

Manufacture and sale of raw material
for electrolytes for lithium-ion batteries

Zhejiang Britech
Central Glass Co., Ltd.

China

Manufacture and sale of special gases
for semiconductors

JCEL Co., Ltd.

South
Korea

Manufacture and sale of and technicalservice for electrolytes for lithium-ion
batteries

Central Glass Korea
Co., Ltd.

South
Korea

Wholesale and import/export of glass
products, chemical products, chemicalfertilizers, glass fiber, and other products

Central Glass
Company India Private
LimitedIndia

Wholesale and import/export of glass
products, chemical products, chemicalfertilizers, glass fiber, and other products

Japan Vietnam
Fertilizer Company

Vietnam

Manufacture and sale of chemicalfertilizers

Business Sites in Japan
Headquarters

Kowa-Hitotsubashi Bldg., 7-1 Kanda-Nishikicho 3-chome,
Chiyoda-ku, Tokyo

Chemical Research Center

17-5 Nakadai 2-chome, Kawagoe City, Saitama Prefecture

Chemical Research Center(Ube)

5253 Okiube, Ube City, Yamaguchi Prefecture

Glass Research Center

1510 Okuchi-cho, Matsusaka City, Mie Prefecture

Ube Plant

5253 Okiube, Ube City, Yamaguchi Prefecture

Matsusaka Plant

1521-2 Okuchi-cho, Matsusaka City, Mie Prefecture

Kawasaki Plant

10-2 Ukishima-cho, Kawasaki-ku, Kawasaki City, Kanagawa Prefecture

Location

Main Business Operations

Glass

Central Glass Sales
Co., Ltd.
Central GlassEngineering Co., Ltd.
Bishu Silica Sand
Co., Ltd.
Mie Glass Industry
Co., Ltd.
Central Glass Plant
Services Co., Ltd.
Central Saint-GobainCo., Ltd.
Central Glass
Module Co., Ltd.
Japan Tempered &Laminated GlassCo., Ltd.
Central Glass FiberCo., Ltd.
Sowa Transportationand Warehouse Co.,
Ltd.
Central Insulation
Co., Ltd.

Tokyo
Tokyo
Aichi
Mie
Mie
Tokyo
Tochigi

Construction, wholesale, sale, and installation ofarchitectural and residential glass
Contracted work and construction of architectural
glass

Carlex Glass
America, LLC*

Refinement of silica sand and gravel

Chemicals

Manufacture and sale of secondary fabricatedproducts of flat glass
Cutting and secondary processing of flat glass,maintenance of manufacturing facilities, manufacture
and repair of machines and equipment, andmanufacture and sale of crates and pallets
Purchase, sale, import and export of fabricatedautomotive glass and other glass products
Manufacture, processing, and sale of automotive
parts, etc.

Gifu

Manufacture of fabricated automotive glass andprocessed architectural glass

Mie

Manufacture, sale, and processing of continuous
glass fiber, glass wool, and related products

Osaka

Warehousing and freight transport services

Aichi

Manufacture and processing of glass wool products

US

Manufacture of float glass andmanufacture and sale of fabricatedautomotive glass

SynQuest
Laboratories, Inc.

US

Manufacture, processing and sale offluorinated chemical products

Central GlassInternational, Inc.

US

Investigation and information services,sale of goods

ChemicalsCentral ChemicalCo., Ltd.
Tosho Central Co.,
Ltd.
Central Engineering
Co., Ltd.
Ube AnalyticalCenter Co., Ltd.
Ube Yoshino
Gypsum Co., Ltd.

Tokyo
Tokyo
Yamaguchi
Yamaguchi
Yamaguchi

Manufacture, processing, and sale of coated fertilizer,
ammonium chloride, chemical fertilizers and otherrelated products
Sale of merchandise, insurance agent business,freight-hauling business, and packaging and loading
Design and construction of various plants,
manufacture and repair of machines and equipment
Analysis services for various chemical products,
fertilizers, etc.
Manufacture of gypsum plaster* The shares of Carlex Glass America, LLC and Carlex Glass Luxembourg, S.A. were transferred in May 2022.

Net Sales and Ordinary Profit (Consolidated)

Number of Employees(Unit: million yen)

(Unit: people)

Net sales

222,469
190,673

Ordinary profit

206,184

6,440

Non-consolidated

6,053

FY2021 Sales by Segment (Consolidated)
Consolidated

5,420

94.4

billionyen

11,936
8,565

Total

206.2
billion yen

1,631

4,749

2019

46

%
Chemicals
Business

2020

2021 (FY)

2019

1,671

2020

1,630

2021 (FY)

54

%
Glass
Business

111.8
billionyen

Central Glass CSR Report 2022

9

Central Glass Group Value Creation Process
We will achieve sustainable growth together with society by advancing initiatives to address
various social issues such as responding to climate change, changing lifestyles, and promoting diversity.

INPUT

Business Activities

Financial
CapitalManufacturing
CapitalOUTCOME

Innovative
Technologies

Diversity

Basic Philosophy

Medium-Term
Management Plan
for FY2022
to FY2024

Harmony
with theEnvironment

Global environmental
conservation initiatives

1 Achieve new growth by

Creating a Better Future
Through MonozukuriIntellectual
CapitalContribute to theestablishment of atruly prosperous society.

strengthening our businessfoundations and originaltechnologies

Provision of productsthat meet needs

2 Maintain a healthyfinancial base

Pioneering
Spirit3 Contribute to the global

GlobalGrowthenvironment

Social Capital

OUTPUT

Natural Capital

Glass Business■ Architectural glass●●■ Automotive fabricated glass●●

Central Glass CSR Report 2022

IR-cut glass
UV-cut glass■ Glass fiber
●

●

10

Float glass
Figured glass

Continuous glass fiber
Glass wool
⇒ p8 Glass business

Chemicals Business

Human Capital■ Basic chemicals
Hydrofluoroolefin
Polyaluminum chloride■ Fine chemicals
Active ingredients and intermediates
for pharmaceuticals
Active ingredients and intermediates
for agrochemicals■ Fertilizers
Coated fertilizers
NPK compound fertilizer⇒ p9 Chemicals business●

Enhancement ofcorporate value

Decarbonizationof society

●

●

●

●

Development ofenvironmentallyfriendly products●

Central Glass CSR Report 202211

事業基盤の強化と独創的なAchieve New Growth by Strengthening Our
技術を通じた新たな成長へ
Business Foundations and Original Technologies

Financial Goal (FY2024)

The Central Glass Group has established a Long-Term Vision of continuous growth by strengthening R&D as a driving
force, and has formulated and announced its Medium-Term Management Plan as a new management guideline for
FY2022 through FY2024.

Financial
indicator

Special Feature: Medium-Term Plan (FY2022-FY2024)

ROE goal in the Medium-Term Management Plan: Aim for achievement of 8% ROE

Major item

Indicator

FY2024 Target

Operating profit

14.0 billion yen

Operating profit ratio

8%

ROE

8%

Total return ratio
Shareholder
returns
Dividend on Equity (DOE)●

Capital investments

41.0 billion yen(3-year cumulative total)●

Cost for R&D

24.0 billion yen

At least 30%(3-year cumulative total)

2.4%

Long-Term Vision
Trend in operating profit (by segment)

Establish a Profitable Business Model andConvert to a Highly Profitable Company

Basic Measures to Realize the Long-Term Vision
Strengthen R&D as a growth driver● Clarify roles of each business and optimize the business portfolio
Growth

●1. Businesses to grow and foster
Fostering and growth of businesses
through investment• Basic Chemicals (*HFO products)• Specialty chemicals• Commercialization of priority
research areas

Business Portfolio

4. Businesses to be
restructured

Structural reform and rebirth of
the ability to generate cash

• Architectural glass, automotive glass• Fertilizer

2. Core businesses
Increase in earnings capability
through aggressive investment andestablishment of supply chain• Electronic materials• Energy materials

3. Matured and cash-cow• Medical chemicals• Glass fiber• Concentrate managerial resources to the businesses to be grown in order to accelerate establishment of profitablebusiness models and business expansion to growth markets• In the Chemicals business, harvest the fruits of previous investments and continue further investment for the future• In the Glass business, complete the structural reform and evolve toward profitable business• In other business, further increase earning capability and maximize free cash flow

Continue strengthening R&D to ensure future growth
Provide stakeholders with reassurance and reliability by increasing all employees’ quality awareness

2. Maintain a healthy financial base● Distribute cash flows based on a well-balanced consideration of shareholder returns, investments, and financial
discipline

Central Glass CSR Report 2022

40
20
Glass

0

Chemicals

-20
2015

2016

2017

2018

2019

2020

2021

2022

2023

Operating Profit Total2024

3-year cumulative total(Unit 100million yen)

Stably and systematically raise funds through a combinationof appropriate methods, taking into account the balance
between funding cost and continuity (risk)

Management(Investment)

Inject capital to selected sources generating profits exceeding
funding cost and cash flow exceeding invested capital

Operating CF
Investment Capital Investments
Sales of assets
CF
Total

1. Achieve new growth by strengthening our business foundations and original technologies

1260

Funding

Further increase in businessefficiency and the ability tocreate cash

3. Contribute to the global environment● Reduce greenhouse gas emissions● Provide products and technologies that contribute to reducing environmental burden

80

Basic Policy for Capital Policy

businesses

Basic Policies of Medium-Term Plan●

100

Capital Policy

Distribution

●

120

-40

* HFO: Hydrofluoroolefin (Products that have low global warming potential (GWP) and comply with regulations on fluorocarbon)

Return to a
growth path

140

Seek a capital structure focusing on optimization of investment and funding with the aim of maximization of enterprise value

Profitability●

Period of thisMedium-Term
Management Plan

160
Operating Profit (100 million yen)

Continuously Growing Company Driven by New
Technologies and New Products Created through R&D

Distribute generated cash based on a well-balanced
consideration of shareholder returns, investments andfinancial discipline

Free CF
Financial
CF

Dividend
Funding/repayment
Acquisition of treasury shares
Total

480
-410
170
-240
240
-100
-40
-100
-240

Policy for Shareholder Returns●

Total Return Ratio: At least 30%●

Acquisition of treasury shares●

DOE (Dividend on Equity Ratio) 2.4%

• Fundamentally based on the dividend criterion DOE and the dividend amount based on total shareholder return ratio and adjusted as needed• Allocate about 50% of funds raised by sales of shares in the FY 2022 plan to acquisition of treasury shares

Major investments●

Chemicals• Invest in commercialization of priority research areas (Power semiconductor materials: From research to mass production facility)• Electronic materials: Construct new product facilities and increase capacity• Energy materials: Secure the ability to purchase raw materials (Invest in supply chain), Expand manufacturing bases

●

Glass
Invest mainly in maintenance and renewal within operating cash flow (Keep free cash flow positive)

Central Glass CSR Report 2022

13

R&D Policy●

Intellectual Property Strategy

Focus areas: Electronic materials, energy materials, and priority areas of corporate research** Corporate research refers to the long-term research exploring for new areas in foundation research.

Aggressively inject R&D resources toward solution proposition for customer needs (such as potential needs,
performance improvement and environmental burden reduction)● Strengthen functional materials business by improving application development technologies(performance assessment and data science) (expansion of applications of our original compounds)●

Electronic materials field●●* Create new functional materials realizing the next-generation process
in cooperation with cutting-edge research institutions for meeting
requests of semiconductor and equipment manufacturers in the world.

(Belgium)(Taiwan research center)(Research centers)●

Additive agent
database(Taiwan)Development of environment-friendly semiconductormaterials●

Battery
evaluation●

Customers’ requests
Application: For EVs, PHVs, HVs, electricity
storage systems, etc.
Performance: Long life, high output,
low temperature resistance,high temperature resistance, etc.

Intellectual property strategy
Evaluation of business trends and intellectual property rights (of the Company and other companies)
Establishment of patent strategy in line with the Business strategy● Surveys to prevent violations of intellectual property rights● Periodic survey on uses of intellectual property rights● Contracts that take into account the Patent Act and related acts●●

Solution proposal

Development of post-Li-ion batteries

Measures toward the Global Environment* Explore for Li-ion battery alternatives to support the environment anddiversification• Li-metal batteries• Co- and Ni- free batteries• Na-ion batteries

Reduce greenhouse gas (GHG) emissions

Challenge to realize net-zero GHG emissions in 2050
(Scope 1 + 2)

Milestone reduction goal for GHG emissions in 2030 (vs. 2013)

Product Business Model Based on R&D “Commercialization of SiC”
Under our corporate research system where new areas are widely explored,
we focus on next generation power semiconductor materials and SiC,
which contribute to improvement in performance of rapidly popularizing EVs.
We have advanced R&D of solution techniques with superior quality,
and we are close to establishing mass production techniques for six-inch ingots.
Eight-inch ingots were adopted by the NEDO Green Innovation Fund, and development was started.
Also, for wafers, we are accelerating R&D towards commercialization.

Characteristics of SiC power semiconductors: Possible to significantly reduce the loss of energy at conversion of power

Can contribute to realization of a carbon-neutral society

Our goal (our Group total volume): reduction goal of40％* For automotive glass businesses in United States and Europe (agreed to be) transferred, all has been deducted after 2013, the criterion year for comparison.

2013

2030

2050

GHG-reducing products on the market

GHG-reducing technologies in manufacturing
processes(outside the scope of emission reduction within the Company)

・Fuel conversion (including LNG and total oxygen combustion)
・Waste heat recovery
・Production efficiency by effectively using by-products

・Architecture glass (heat insulation) and automotive weight-reducing thinlaminated flat glass
・Products with low global warming potential (including next-generation
fluorinated cleaning agents)
・Power semiconductor materials

Measures toward Improving Quality AwarenessEight- and six-inch diameter ingots and wafers
Sequential expansion of sales

Commercialization

Themes directly related to businessCorporate research● Open innovation●

・・* Proposal for environment-friendly next-generation materials and process• Low GWP etching gas

Development of custom-made electrolytes for Li-ion
batteries
Molecular
designNational Cheng
Kung University(Japan, United States, Taiwan,
South Korea and China)

Research strategy

Potential and existing requests ofcustomers● Competitor trends●* Create custom-made electrolytes meeting customers’ requests

Semiconductor andequipment manufacturers

Central Glass Co., Ltd.

Business strategy

Energy materials field

Development of next-generation semiconductormaterials

imec

Advance a three-pronged strategy along with business and research and maximize earnings● Intellectual property department plays the role of creating and using intellectual property rights and respecting theintellectual property rights of other companies.
● Intellectual property department contributes to present and future profits of the Company through intellectual
property rights in cooperation with business and research departments.

Become an organization giving reassurance and reliability to stakeholders
by ensuring provision of products and services meeting the needs of customers and society

Permeation of quality culture

Wafer production technology development(including optimization of cutting
and polishing processes)

R&D

Eight-inch diameter ingot development(including diameter enlargement, quality
improvement and validation of mass production)
Six-inch diameter ingot development(including quality improvement
and mass production)

2020

14

Central Glass CSR Report 2022

Characteristics of solution technique

Quality management (system)

Quality management (operation)

Qualitypromotion
meeting・Strengthen and maintain the quality assurance system throughmultilayer audits (including audits of suppliers)
・Immediately deal with issues through operation of the quality issue
reporting line

・Ease of reducing faults in crystal quality
・Able to elongate crystals

2022
Adopted by NEDO Green Innovation Fund(eight-inch diameter)

2030

Group Quality
Compliance Committee
Emergency
response
meeting

Corrective
action meeting

Priority measures in the Medium-Term Management Plan

・Improve quality activities through thorough daily management andpromotion of improvement activities
・Develop human resources supporting quality activities by enhancing
quality education

Central Glass CSR Report 202215

Corporate Governance

Board of Directors

The Central Glass Group has established a corporate governance structure toincrease transparency and fairness of our overall management as well as toimprove efficiency and speed. We carry out initiatives to raise all employees’
awareness of compliance in order to practice sincere corporate activities.

The Central Glass Group is continually increasing thetransparency and fairness of our overall management,
and strives to establish an efficient and rational organizational structure that can swiftly respond to changes inthe business environment in order to further enhance ourcorporate value and expand our revenue. This is our fundamental concept of corporate governance.
Based on this concept, we position our Board of Directors and Board of Corporate Auditors as the foundation of
our corporate governance. In addition, we have adopted
an executive officer system. By separating decision-making regarding important business matters, the supervision

Organizational Chart for Corporate GovernanceAppoint

General Meeting
Appoint

Board ofCorporate
Auditors

Consult
Nomination/
Remuneration Committee

Board of Directors

ReportSupervise

Audit

Coordinate

Accounting Audit

Directors

Accounting
AuditorConsult

Accounting Audit

Executive Officers

ReportBusiness Sites and Affiliate Companies
Coordinate

Deliberate/Investigate/Instruct/Educate

16● Environment Safety Promotion Committee● Anti-Monopoly Law Compliance Committee● Group Quality Compliance Committee● Security Trade Control Committee● Financial Reporting Risk Assessment Committee● Compliance Promotion Committee

Central Glass CSR Report 2022

● Sustainability Committee, etc.

The Board of Corporate Auditors generally meets oncea month to deliberate and resolve important auditing
issues. Corporate Auditors also share information and frequently exchange opinions with each other. In addition,
they meet periodically with the Representative Director to
discuss important matters of auditing.
The Corporate Auditors attend important meetings suchas those of the Board of Directors, and audit the performance of duties that are carried out by the Directors andExecutive Officers, as well as the performance of duties
of each department and affiliate of the Group.

Audit Department
The Central Glass Group has established the Audit Department at the headquarters for the purpose of managing internal control systems related to internal audits andfinancial reporting.
Internal audits are carried out to maintain the effectiveness and efficiency of group-wide operations, conserve
resources, and manage compliance with laws and regulations as well as internal rules. Operating audits are also
conducted to prevent dishonest practices. Through theseaudits, the Audit Department strives to sustain appropriate
and efficient business operations by providing counsel andadvice about improvements when necessary. In FY2021,
they conducted operating audits based on the annual plan.
When counsel or advice about improvements was given
through an audit, the Audit Department provided continual
support until improvements were implemented.
They also raise awareness about the Central GlassGroup Policy Initiative each year and evaluate the effectiveness of internal control at important sites from an independent standpoint to assure the reliability of financial
reporting as part of management of the Group's internal
control system for financial reporting.
In FY2021, they conducted assessments in line withthis policy initiative and submitted an internal control report that described the effectiveness of the internal control

Committee Composition (As of April 1, 2022)
Chairperson

Executive Officer in charge of the Environment and Safety
Department

ViceExecutive Officer (Deputy) in charge of the Environment andChairpersons Safety Department

Committee
Members

General Managers of the Personnel Department, Glass
Quality Assurance Department, Chemicals Technical
Planning & Management Department, Chemicals
Production Engineering Center, Chemicals Quality
Assurance Department, Environment and Safety
Department, Quality Assurance Division, Chemical ResearchCenter, Glass Research Center; Plant Managers of Ube
Plant, Matsusaka Plant, Kawasaki Plant; and the Site
Manager of the Matsusaka Plant Sakai Manufacturing Site

Observers

Corporate Auditors

Activities at Individual Plants

Audit
Department

Management Committee

Board of Corporate Auditors

Society

Coordinate

Supervise

The Management Committee generally meets once aweek, in line with the regulations governing its activities,
to deliberate and resolve proposals to be put forward to
the Board of Directors and other important issues affecting the execution of business.

Employees

Appoint

Management Committee

The Central Glass Group set up the Environment Safety Promotion Committee as an organization to promotegroup-wide environment, safety, and health activities
throughout the entire life cycle from development todisposal of products based on the Guidelines for Environment, Safety, and Health.
In FY2021, as in FY2020, as a measure to prevent the
spread of COVID-19, the committee held remote meetings with participants from many locations, and held ameeting in July with 131 participants, with the Environment Safety Promotion Committee as the main members.
From the headquarters, the participants reported on priority issues related to group-wide environmental and safety
activities and the reduction of greenhouse gas emissions,the results of activities for the Environment Policy, Safety
and Health Management Policy, and environmental andsafety issues for FY2020, as well as the priority actionplans for FY2021 based on each of the above policies.
The manufacturing departments as well as the researchand development departments each reported their
FY2020 activity results and FY2021 activity plans.
Lively discussions were held based on the sharing of
information on basic policies, approaches, and specificinitiatives, and the meeting closed with all participants
reaffirming the need for continuous improvement.

Qualityof business execution, and the actual execution of business, we have slimmed down the Board of Directors tomake management more efficient and prompt.
We have, in addition to an assigned Accounting Auditorin accordance with the Companies Act, an Audit Department for the purpose of internal auditing, which conducts
audits of the full range of activities of Central Glass Co.,
Ltd. and our affiliates, and reports its findings to the Representative Director and the Corporate Auditors.
The Corporate Auditors, the Accounting Auditor, andAudit Department staff exchange information and opinions, ensure coordination, and share problems to enhanceand drive the efficiency of the auditing process.

Environment Safety Promotion Committee

Environment and Safety

Corporate Governance

As a rule, the Board of Directors meets once a month,or when necessary, to deliberate and resolve legal andimportant managerial issues in line with the regulations
covering the Board of Directors, and supervises the execution of business by the Directors and Executive Officers
including the Representative Director.
Outside Corporate Auditors and Outside Directors, whohave no potential for a conflict of interest with ordinary
shareholders, ensure fair decision making within the
Board of Directors and take on the role of rejecting arbitrary board decisions.

system for Group financial reporting as of March 31, 2022.
The Audit Department also convenes regularly andwhen necessary to cooperate with the Corporate Auditors.
The mutual exchange of information and establishmentof a cooperative framework drives the comprehensivenessand efficiency of audits.

Corporate Governance

Increasing Transparency
and Fairness of Overall
Management

Environment Safety Promotion
Committee

Central Glass CSR Report 2022

17

Chairperson

Executive Officer in charge of the Quality Assurance Division

ViceChairpersons

General Manager of the Quality Assurance Division

Committee
Members

General Managers of the Corporate Administration
Department, Purchasing Department, Flat Glass Marketing &Sales Department, Automotive Glass Department, GlassBusiness Planning & Development Department, Glass Quality
Assurance Department, Chemicals Sales Department,
Medi-chemicals Sales Department, Specialty Chemicals Sales
Department, Electronic Materials Sales Department, Energy
Materials Sales Department, Chemicals Business Development
Department, Chemicals Technical Planning & Management
Department, Chemicals Production Engineering Center,
Chemicals Quality Assurance Department, Agri-Bio Business
Promotion Department, Glass Fiber Department, Chemical
Research Center, Glass Research Center; Deputy General
Manager of the Chemical Research Center; Plant Managers of
the Ube Plant, Matsusaka Plant, Kawasaki Plant; Site Manager
of Matsusaka Plant Sakai Manufacturing Site; and Presidents
of affiliate companies (main affiliate companies)

Observers

Corporate Auditors

Committee Composition (As of April 1, 2022)
Executive Officer in charge of the Corporate Administration
Department

Committee
Members

General Managers of the Corporate Administration
Department, Purchasing Department, Flat Glass Marketing &Sales Department, Automotive Glass Department, GlassBusiness Planning & Development Department, Chemicals
Sales Department, Medi-chemicals Sales Department,
Specialty Chemicals Sales Department, Electronic Materials
Sales Department, Energy Materials Sales Department,
Chemicals Business Development Department, Chemicals
Technical Planning & Management Department, Agri-Bio
Business Promotion Department, and Glass Fiber Department
Corporate Auditors; General Manager of the Audit Department;
Tosho Central Co., Ltd.; Central Chemical Co., Ltd.; Central
Glass Fiber Co., Ltd.; and Central Saint-Gobain Co., Ltd.

Group Quality Compliance Committee

Executive Officer in charge of the Finance & Accounting
Department

Committee
Members

Executive Officers in charge of the Corporate Administration
Department, Audit Department; General Managers of the
Finance & Accounting Department, Corporate Administration
Department, and Audit Department

Observers

Corporate Auditors

Compliance Promotion Committee
The Central Glass Group has established a Compliance
Manual to promote compliance. We have also set up theCompliance Promotion Committee as an organization toassess and deliberate on matters related to compliance.
In FY2021, the external whistleblower contact waschanged to improve the internal whistleblower system.
The Compliance Promotion Committee revised theCompliance Manual in light of amendments to laws, regulations, and internal rules and announced the changes toall employees.
Committee Composition (As of April 1, 2022)
Chairperson

Executive Officer in charge of the Corporate Administration
Department

Committee
Members

General Managers of the Corporate Administration
Department, Personnel Department, and Audit Department

Observers

Corporate Auditors

Committee Composition (As of April 1, 2022)
Promotes PDCA quality activities(2) Emergency response
meeting

Rapidly responds to any quality and productsafety issues(3) Corrective action
meeting

Defines comprehensive measures to prevent
any recurrenceCentral Glass CSR Report 2022

Chairperson

Representative Director

Committee
Members

General Managers of the Glass Business Planning &Development Department, Chemicals Technical Planning &Management Department, Information & Computer System
Department, Flat Glass Marketing & Sales Department,
Automotive Glass Department, Chemicals Sales Department,
Medi-chemicals Sales Department, Specialty Chemicals
Sales Department, Electronic Materials Sales Department,
Energy Materials Sales Department, Chemicals Business
Development Department, Agri-Bio Business Promotion
Department, Glass Fiber Department, Environment and
Safety Department, Chemical Research Center, and Glass
Research Center

OutsideCommittee
Members

General Manager in charge of exports and imports at Tosho
Central Co., Ltd.

Observers

Corporate Auditors and General Manager of the Audit
Department

Committee Composition (As of April 1, 2022)
Chairperson

Executive Officer in charge of the Corporate Administration
Department

ViceExecutive Officer in charge of the Environment and Safety
Chairpersons Department

Committee
Members

General Managers of the Corporate Administration
Department, Environment and Safety Department, Personnel
Department, Purchasing Department, Glass Business
Planning & Development Department, Chemicals Business
Development Department, Chemicals Technical Planning &Management Department, Agri-Bio Business Promotion
Department, Glass Fiber Department, Quality Assurance
Division, Intellectual Property Department, Glass ResearchCenter, and Chemical Research Center

Compliance with the Corporate Governance
Code
Central Glass has established a governance system based on
the Corporate Governance Code (CG Code) revised in June
2021 by the Tokyo Stock Exchange (TSE), through which
we regularly submit and disclose a Corporate Governance
Report describing our compliance activities to the TSE.
In the recent revision, a higher level of governance isrequired in line with the reorganization of market segments. As a company listed on the Prime Market, we haveappropriately responded to the newly adopted CG Codeby developing internal systems as necessary to implement the appropriate functions of the Board of Directors,
ensure diversity in core human resources, and address
issues related to sustainability.

Activities at Individual Plants(1) Quality promotion
meeting

The committee has also established the Segment Quality Assurance Meeting to promote quality assurance activities in each segment. The discussions in the Segment
Quality Assurance Meeting are reported to the committee
secretariat.
The quality promotion meeting held in FY2021 confirmed the progress of activities during FY2021 andshared the quality promotion activity direction for
FY2022. It was attended by 82 participants, the majority of whom were Group Quality Compliance Committee
members. Emergency response meetings and corrective
action meetings were convened as necessary.
18

Chairperson

Society

The Group has established the Group Quality Compliance
Committee as a Group-wide cross-organizational body tofurther strengthen the quality assurance system of the entire
Central Glass Group, including product safety activities.
The Group Quality Compliance Committee promotes
quality control activities through the meeting committee
structure below.

The Central Glass Group exports goods and provides technology in accordance with export and trade laws, suchas the Foreign Exchange and Foreign Trade Control Act
which regulates trade regarding supplying exports of cargo as well as providing technology to non-residents andto foreign countries, for the purpose of sustaining international peace and safety and preventing the stockpilingof weapons of mass destruction as well as conventionalarms. We act under a basic policy to never breach suchlaws and have established the Security Trade Control Program to fully raise internal awareness about this policy aswell as a Security Trade Control Committee to thoroughly
implement this program.
In FY2021, the Security Control Committee fully raised
awareness about compliance with laws and regulations
by providing reports on the classification of exported
products of the Glass Segment and Chemicals Segment;
distributing information on major amendments to laws,
regulations and policies; and sharing the results of internal audits.

Committee Composition (As of April 1, 2022)

The Sustainability Committee was established in November 2021 to help improve management governance byanalyzing and evaluating efforts to address issues related
to sustainability.
Discussions during FY2021, the first year of its establishment, focused on the positioning and definition of sustainability in our business activities and the analysis andevaluation of its implementation. In the future, we will shift
to a management cycle of compiling the evaluation resultsof sustainability initiatives and issues, reporting the results
to the Board of Directors, and addressing open issues.

Employees

Observers

Security Trade Control Committee

The Central Glass Group evaluates and analyzes the influence of management decision-making and accounting
records on financial reporting. We set up the Financial
Reporting Risk Assessment Committee to ensure the reliability of financial reporting.
In FY2021, the committee provided guidance to avoid
any potential financial reporting risks by evaluating andanalyzing projects that might have such risks due to internal and external factors.

Sustainability Committee

Quality

Chairperson

Financial Reporting Risk Assessment
Committee

Environment and Safety

The Central Glass Group has established an Anti-Monopoly Law compliance system and set up the Anti-Monopoly
Law Compliance Committee as an organization to promote adherence to the Anti-Monopoly Law.
In FY2021, while primarily conducting internal education in the sales division, the Anti-Monopoly Law Compliance Committee also verified whether any information
was disclosed that may conflict with the Anti-Monopoly
Law, examined the trends in detection of cartels, andsurveyed subcontracting relations. Furthermore, the committee also provided education about the Anti-Monopoly
Law and the Act Against Delay in Payment of Subcontract
Proceeds, etc. to Subcontractors through outside instructors and engaged in activities to ensure compliance with
the Anti-Monopoly Law.

Committee Composition (As of April 1, 2022)

Corporate GovernanceAnti-Monopoly Law Compliance Committee

Compliance Manual

Corporate Governance Report

Central Glass CSR Report 2022

19

Environment and Safety

The Central Glass Group, as part of the Responsible Care Initiative, shallensure environment, safety, and health compliance in all processes fromdevelopment to manufacturing, logistics, use, final consumption, recycling,
and disposal with the sincere cooperation of each and every employee.
The Group shall announce the achievements and engage in dialogue andcommunication with society.

Guidelines for Environment, Health and Safety

Environment andsafety management

Promotion of
Safety and disasterprevention

Compliance

Accurately understand and comply with the details of laws and regulations.

Continuous improvements

Engage in activities based on rules such as regulations and standards and strive for continuous improvement.

Prevention and risktreatment

Try to prevent problems from occurring and, if a problem should occur, make efforts to prevent a recurrenceby analyzing the root cause appropriately.

○

Promote FY2022 Environment Policy.
Promote Safety and Health Management
Policy in 2022.

FY2021 CO2e emissions: 421,000 tons (down 6.2％ year on year)(35.4% reduction relative to FY2013).
● FY2030 reduction target: 40% reduction for Group-wide Scope 1, 2 relative
to FY2013.
● Long-term target: Achieve carbon neutrality by 2050.

○

Carry out activities to achieve GHG emission
reduction targets for FY2030.

Reduce final disposed amountof industrial waste.
Establish FY2025 targets for
reduction of final disposed
amount of industrial waste andtake action to achieve the targets.

Final disposed amount of industrial waste in FY2021: 8,300 tons (down 15%
year on year).
● We considered setting targets based on industry association targets thatincorporated changes to our business environment, but decided to put it on
hold until the restructuring of the Glass business was completed.

△

Set FY2025 targets for the reductionof the final disposed amount ofindustrial waste.
Carry out activities to achieve these targets.

Implement equipment safetymeasures and ensure operationalsafety.

Thoroughly implemented statutory and voluntary inspections.
Adopted and installed safety equipment.
● Prepared and thoroughly implemented comprehensive work standards andother documentation.

○

Implement equipment safety measures andensure operational safety.

Encourage the effective useof accident data.

Utilized the Security and Disaster Prevention Database and shared accident
data and preventive recurrence measures with domestic affiliates.

○

Encourage the effective use of the Security
and Disaster Prevention Database.

Implemented measures to prevent occupational accidents, utilizing information suchas factor analyses of the White Paper of Occupational Accidents in FY2020.
Instructed each business site to utilize safety and health activities to eradicate
occupational accidents.
● Number of occupational accidents at domestic sites: 39 accidents (up 9 fromthe previous year).
● Frequency rate of days away from work (Central Glass): 0.31 (down 48％ year
on year)(Domestic group companies): 0.58 (down 51% year on year).

△

Implement measures to prevent
occupational accidents based on the
White Paper of Occupational Accidents
in FY2021.

Issued Yellow Cards for chemical products, including chemical substances
not legally mandated to require a card.
● Verified that Yellow Cards are properly used according to internal rules
through an internal database, audits, and other measures.

○

Review operational rules of Yellow Cards.
Continue to prepare new Yellow Cards andrevise existing Yellow Cards as necessary.

Investigated switching from raw materials containing Pollutant Release andTransfer Register (PRTR) substances to alternative products.
● Provided the necessary notifications in accordance with the Chemical
Substances Control Law and Act on Assessment of Releases of Specified
Chemical Substances in the Environment and the Promotion of Management
Improvement (PRTR System) and other laws and regulations.
● Verified the level of compliance with relevant laws and regulations throughvoluntary audit reports and on-site environment and safety audits.

○

Reduce emissions of chemical substances
into the environment.
Continue compliance with relevant laws andregulations.

Properly disposed of facilities containing asbestos at the time ofdecommissioning.
● Surveyed level of asbestos use, storage, and disposal in buildings and facilities.
● Verified the level of asbestos use and storage through voluntary audit reports
and on-site environment and safety audits.

○

Identify asbestos use and storage andcontinue to execute proper disposal.

Investigated for and strictly managed equipment containing PCBs.
Systematically disposed of high- and low- concentration PCBs.
Surveyed the level of storage and disposal of equipment containing PCBs
each quarter.
● Verified the management status of equipment containing PCBs throughvoluntary audit reports and on-site environment and safety audits.

○

Identify the use and storage of equipment
containing PCBs and continue to executeproper disposal in accordance with laws
and regulations.

Issued SDS and GHS labeling for our chemical products, including
substances not covered by laws and regulations.
Obtained the latest SDS version for purchased raw materials.
● Conducted education and risk assessment using SDS.

○

Ensure issuance of SDS and GHS labelingfor our chemical products.
Continuously conduct risk assessment
using SDS.

Contributed to community and social welfare activities.
Engaged in dialogues with local communities (online meetings).

○

Continue to contribute to community andsocial welfare activities.
Continue to hold dialogues with local
communities.

●

●

●
●

●

●

Maintain and improve theworkplace environment.
Achieve zero-accident records.

Promotion of
distribution safety

Prevent accidents during thetransportation of chemical
substances and minimize thedamage in case of incidents.

●

Reduce emissions of chemical
substances into the environment.
Continue compliance with
relevant laws and regulations.

Occupational health and safety

Endeavor to eliminate potential dangers in the working environment and promote activities that lead to the
support and maintenance of mental and physical health, in addition to promoting habits to protect one’s own
life, body, and health.

Distribution safety

Comprehensively promote safe logistics to protect employees, forwarding agents, pickup and delivery service
providers, and the environment by managing the means of transportation, transportation status, and safety
information, and make efforts to broadly communicate measures in the event of an accident.

Chemical substance management

Protect the safety of all operators, including our customers and the environment, by understanding the danger
and toxicity of chemical substances and managing and handling them properly.

Communication

Announce the details of our activities and achievements and actively engage in dialogue with all stakeholders.

●

Promotionof chemical
substancesmanagement

Organizational Hierarchy
Supporting Relationship●

Strictly manage machinerycontaining PCBs and conduct
disposal according to laws
and regulations.

●●●

Mitigate risks throughSDS/GHS Labeling.

Communication

Participate in regional activities.
Coexist with local communities.
△: Achieved most targets but not all●●●

×: Additional measures required

Activities at Individual Plants

Environment and Safety Management Promotion System

Identify asbestos use andstorage and execute proper
disposal.

Society

Process Safety and disasterprevention

Secure a working environment that enables employees to work safely and ensure the safety and security of
the local community by making efforts to prevent accidents and disasters such as fire, explosions,and chemical spills.

Employees

Understand the influence that activities related to all processes from development to manufacturing, logistics,
use, final consumption, recycling, and disposal have on the environment and promote the reduction of theirenvironmental impact.

Central Glass CSR Report 2022

Reduce CO2e emissions.
Establish GHG emission reduction
targets for FY2030 and takeaction to achieve the targets.

Promotion ofoccupational healthand safety*2

Rating: ○: Achieved target

20

Drafted annual policies and implemented activities at each business site inaccordance with the FY2021 Environment Policy and Safety and HealthManagement Policy in 2021.
● Verified the progress of initiatives through environmental safety self-audits
and on-site environment and safety audits.
● Conducted management-level reviews via the Environment Safety Promotion
Committee.
● Revised the annual period for industrial safety management (changed period
in Japan from January-December to April-March).
● Revised the basic education system.

●

Environmental protection

The Central Glass Group established the Environment
Safety Promotion Committee with the Environment and
Safety Department acting as the secretariat to promote
Group-wide environment and safety efforts. The headquarters, research centers, plants and affiliate companies
incorporate matters unique to each business site intoa specific activity plan and engage in environment andsafety initiatives.

(Act)
FY2022 Initiatives●

Confirm the conformity, validity, and efficacy of each requirement through regular audits and investigations
and take appropriate action if necessary.

Management Committee(Check)Ratings

Quality

The Central Glass Group, as part of the Responsible Care Initiative, shall ensure environment, safety, and healthcompliance in all processes from development to manufacturing, logistics, use, final consumption, recycling, anddisposal with the sincere cooperation of each and every employee. The Group shall announce the achievements andengage in dialogue and communication with society.

Environment and Safety Management
Promotion System

Promote FY2021 Environment
Policy.
Promote Safety and HealthManagement Policy in 2021.

Enacted: October 30, 2020

“Everything is for people and the global environment”(Do)
FY2021 Performance Results

Environment and Safety

The Central Glass Group has established the Guidelines for Environment, Safety, and Health based on the Corporate Philosophy and Code of Conduct. While not only appropriately complying with the law, we also promote management considering
the environment and safety with the aim of carrying out corporate activities at a higher standard, meeting social demands,
and creating a safe and comfortable working environment.

(Plan)FY2021 Targets●

Promotion ofEnvironmental
Protection*1

Environment and Safety Management

Management
systemIssuesCorporate GovernanceEverything is for People and
the Global Environment

FY2021 Targets and Performance Results-: Not applicable*1 In the Environmental Protection section in this table:
CO2e emissions indicate the total amount of Central Glass Co., Ltd. emissions originating from energy, non-energy, 6 greenhouse gases, transportation (including Scope 3), and fluorocarbons.
GHG emissions indicate the amount of greenhouse gas emissions for Scope 1 and 2 for the entire Central Glass Group.
*2 The period used for occupational health and safety activities was originally from January to December, but was changed to April to March in 2021 to become consistent with the annual periods of otherbusiness activities.
Figures differ from previous CSR reports because the number of accidents and the frequency rates of days away from work have been retroactively recalculated.

Environment and Safety Promotion Committee

What Is Responsible Care (RC)?

Environment and
Safety Department
Headquarters

Research Centers
Affiliate Companies

PlantsResponsible Care is a set of voluntary activities to implement and improve environmental safety measures based on a public commitment to a management policy aimed at preserving the environment and ensuring safety and health in all product processes fromdevelopment to manufacturing, logistics, use, final consumption, recycling, and disposal.
Based on the recognition that companies must not merely comply with laws and regulations but should also execute voluntary management in order to sustain the environment, safety, and health as well as fulfill their corporate social responsibilities, an optimal balanceof legal compliance and voluntary industry (corporate) management has become essential.

Central Glass CSR Report 2022

21

In response to the Japanese government's 2050 Carbon
Neutral Declaration and revised 2030 GHG emissions reduction targets, we have set the following targets for theentire Group including overseas companies.
Reduce total Scope 1 and 2 GHG emissions for the entire
Group by 40% from the FY2013 level by FY2030.
Take on the challenge of achieving net-zero GHG emissions in 2050

Material Balance of the Central Glass Group● Central Glass Co., Ltd.

In FY2021, we were able to reduce CO 2 equivalentemissions to 421,000 tons-CO2e (35.4% of the FY2013
level, and down 6.2% from the previous fiscal year)
through structural reform of the Glass business and efficient operation of flat glass production furnaces.
Changes in Greenhouse Gas Emissions (Central Glass Co., Ltd.)(Unit: 1,000 tons-CO2e)(Unit: 1,000 tons-CO2e)
80

INPUT
1,022,000 tons

Total Amount of Water Resources Input

16.903 million m

3

11,878 TJ

Amount of Net Energy Input

Affiliate Companies

Central Glass Co., Ltd.

Affiliate Companies

Central Glass Co., Ltd.

Affiliate Companies

636,000 tons

386,000 tons

10.684 million m

6.219 million m

6,202 TJ

5,676 TJ

3

3

Manufacturing(Suppliers)

506

200

Sales

(Customers)

Consumption(End users)

Water

830,000 tons-CO e
2

Central Glass Co., Ltd.

Affiliate Companies

445,000 tons-CO e

385,000 tons-CO e

2

Emissions of Air Pollutants

2

4,517 tons

Waste

15.430 million m

Total Amount of Discharged Water

3

74,000 tons

Affiliate Companies

Central Glass Co., Ltd.

Affiliate Companies

10.497 million m

4.933 million m

20,000 tons

54,000 tons

Discharge of Water Pollutants

3

75 tons

Final Disposed Amount of Waste

12,500 tons

Central Glass Co., Ltd.

Affiliate Companies

Central Glass Co., Ltd.

Affiliate Companies

Central Glass Co., Ltd.

Affiliate Companies

3,326 tons

1,191 tons

64 tons

11 tons

8,300 tons

4,200 tons

Reporting range● Central Glass Co., Ltd.: 3 plants, 1 manufacturing site, 3 research centers, the Chemicals
Production Engineering Center, and the headquarters● Domestic affiliates: 13 major affiliates● Overseas affiliates: 8 major affiliates● Total emissions of greenhouse gases: Includes energy origin, non-energy origin, six gases,
fluorocarbons, and transport

22

Total Amount of Waste Produced

Central Glass Co., Ltd.
3

Central Glass CSR Report 2022

421
40

16.9

20
9.3

9.1

9.3

7.8

7.2

2017

2018

2019

2020

2021

Kawasaki

Research centers (Kawagoe/Matsusaka)

0

(FY)

2013

Matsusaka

Sakai

Ube*

85%

Recycling Rate of Waste
Cental Glass Co., Ltd.

Affiliate Companies

75%

92%

FY2030 Target

Headquarters

Freight transport* Ube Plant: Includes research center (Ube) and Chemicals Production Engineering Center* Note: Amount of emissions were calculated based on the Act on the Rational Use of Energy,
but the scope has been changed to Scope 1 and 2 GHG emissions (energy and non-energy
fields and six gases) based on the GHG Protocol from the current fiscal year.
In addition, the emissions factor for calculating emissions related to electricity use in Japan has
been changed to an adjusted value and may not match the values of past reporting and values
in the Material Balance chart on page 22.

● Central Glass GroupIn FY2021, both domestic and overseas affiliates managed to reduce CO2e emissions to 794,000 tons-CO2e(18.0% of the FY2013 level, down 1.3% from the previous fiscal year) as a result of structural reforms in the
Glass business.

▲ 18.0%

805

800
600

794

581

400
200
0

(FY)

2013

2017

Central Glass Co., Ltd.

2018

2019

Domestic affiliates

2020

2021

Overseas affiliates

FY2030 Target

Reporting range● Central Glass Co., Ltd.: 3 plants, 1 manufacturing site, 3 research centers, theChemicals Production Engineering Center, and the headquarters● Domestic affiliates: 15 major affiliates● Overseas affiliates: 8 major affiliates
Note: The scope of the Group's reporting and the coefficients used in the calculationof domestic emissions have been changed in accordance with the change in the
Company's greenhouse gas emissions.

Reduction of the Final Disposed Amount ofIndustrial Waste● Central Glass Co., Ltd.

Central Glass Co., Ltd. strives to reduce industrial waste.
In FY2021, we reached 8,300 tons (down 15% fromthe previous year) by implementing structural reforms in
the Glass business, examining the operational efficiencyof our flat glass production furnaces, and promoting recycling through comprehensive sorting of waste and reviewing of disposal contractors.
We have already achieved the 2025 targets set by ourindustry association, and we will continue to set targets
higher than those set by our industry association so that
we can achieve further reduction. In addition to reducing
the final amounts of industrial waste of which we dispose,
Central Glass will also work to control waste production,
implement thorough sorting of waste, improve the recycling rate, and in particular carry out measures for waste
plastic. We will actively pursue the 3Rs (Reduce, Reuse,
Recycle) as well.
Final Disposed Amount of Industrial Waste (Central Glass Co., Ltd.)(1,000 tons)

Activities at Individual Plants

Total Emissions of Greenhouse Gases

60
449

0

Logistics

Atmosphere▲ 35.4%391

FY2013 Results

OUTPUT

499

497

400

Central Glass Group

Raw Materials
Procurement

▲ 40%

652
600

▲ 40%

Society

Central Glass Co., Ltd.

Emissions of greenhouse gases

Material Balance (FY2021 Results)

896

Employees

The Central Glass Group continues its efforts to reduce
the environmental impact of production activities by carefully monitoring the amount of energy and resources usedin our production activities as well as the environmental
impact they generate. These efforts primarily focus on
reducing emissions of greenhouse gases and dischargeof environmentally hazardous substances into the air andwater, as well as on recycling waste and reducing the final
disposed amount.
We will continue to monitor our resource consumption
and amount of waste to further control generation, emissions and discharge of greenhouse gases, environmentallyhazardous substances, and waste; as well as enhance recycling to build a recycling-oriented society.

Emissions of greenhousegases from freight transportation

Promotion of Environmental Protection

952

895

FY2013 Results

In addition to efforts to reduce greenhouse gas emissions through fuel conversion and other measures, we will
step up research and development of products that cancontribute to reducing environmental impact.
The Central Glass Group will continue efforts to reducegreenhouse gas emissions and environmental impact atdomestic and overseas affiliates to help prevent global
warming.

800

Total Amount of Materials Input(Unit: 1,000 tons-CO2e)
969
1,000
Emissions of greenhouse gases● Central Glass Group Medium- and Long-Term Targets

Quality

The Central Glass Group conducts audits in a multi-layered structure, including self-audits by each business site
and affiliate company as well as Environment and Safety
Department audits for each business site and affiliatecompany to confirm the compliance and effectiveness ofthe management system and its activities concerning theenvironment and safety at each organizational level.
Self-audits are conducted internally once a year byeach business site and affiliate company to verify compliance with environmental and occupational safety laws
and regulations.
Two types of Environment and Safety Department audits are conducted annually: environment and safety onsite audits, in which an audit team from the Environment
and Safety Department at the headquarters goes directly
to the site to check on the state of environmental andsafety management, and documentary audits, in whichcheck sheets are used to check the status of management.
In each audit, we clarify issues and problems related tothe management system, environmental conservation, safety and disaster prevention, occupational health and safety,
logistics safety, chemical substance management, andcommunication activities in accordance with our Guidelines for Environment, Safety, and Health, and work on thenecessary improvements. Particularly in the case of on-site
audits, when they reveal matters requiring improvement,
we look into the countermeasures taken and their effectiveness based on an investigation of the true causes of theissues to ensure that recurrence is prevented.

Changes in Greenhouse Gas Emissions (Central Glass Group)

Reduction of Greenhouse Gas (GHG) Emissions

Environment and Safety

In FY2021, Environment and Safety Department audits
were conducted in the form of documentary audits of 46
domestic business sites of the Central Glass Group, in addition to environment and safety on-site audits conducted
at 10 of those business sites, based on which necessary
improvements are being implemented.
As for our overseas affiliates, we conducted a survey on
occupational accidents and environmental preservation atnine companies, and confirmed that there were no issuesof note.
Our Group will continue to conduct environment andsafety audits as well as various inspections to encouragecontinuous improvement of environment and safety activities at domestic and overseas business sites.

Corporate Governance

Environment and Safety Audits

80
70

67.5

60
50
40
30
20
10
0
(FY)

2000
(Base Year)

9.8

9.0

7.8

9.8

8.3

2017

2018

2019

2020

2021

Ube

KawasakiMatsusaka

Sakai

Central Glass CSR Report 202223

● Water Pollutant Emissions

The Group is always working to reduce the industrial
waste output of both its domestic as well as its overseas
affiliates.
In FY2021, the final disposal volume of industrial
waste decreased at domestic and overseas affiliates, andthe volume for the entire Central Glass Group was 12,500
tons (down 29% from the previous fiscal year).
We will continue our efforts to reduce the final disposal volume of industrial waste by reducing the amount ofindustrial waste generated by processes at both domestic
and overseas affiliates as well as reducing emissions andpromoting recycling through reduction of plastic use andthorough sorting of plastics.

The Central Glass Group monitors the concentration andamount of sulfur oxides (SOx), nitrogen oxides (NOx),dust, and other air pollutants emitted in accordance with
the Air Pollution Control Act, the laws and regulationsof each country, and the emission standards of the regions where our facilities are located. Some plants haveinstalled environmental protection equipment such as
desulfurization equipment for SOx, catalytic adsorption
equipment for NOx, and electrostatic precipitators fordust to recover air pollutants before they can be discharged into the atmosphere.
In FY2021, we were able to reduce emissions of air
pollutants through structural reform of the Glass businessand investigation of efficient flat glass production furnace
operation. There were no cases in which legal limits or
local emission standards were exceeded.

The Central Glass Group monitors the concentrations andamounts of water pollutant emissions including chemical
oxygen demand (COD), total nitrogen discharge and total
phosphorous discharge in accordance with the Water Pollution Prevention Act, the laws and regulations of eachcountry, and the emission standards of the regions where
our facilities are located. At each plant, for environmental
conservation the necessary wastewater treatment facilities have been installed to remove pollutants, and process chemicals in the wastewater were recovered before
discharge, so that there were no cases in which legal orregional emission standards were exceeded.
Reducing emissions of air and water pollutants is critical to the global environment and human health andsafety, and we will continue to carry out appropriate management.

(1,000 tons)
80

SOx Emissions

73.9

70

(Unit: tons)

60(Unit: tons)

2,000

40

1,500

30

23.5

20

19.1

17.6
12.1

12.5

0
2017

2019

Domestic affiliates

2020

2021

79

78

1,431

2.5
57

60

59

40

500
0

20

(FY)

2017

Matsusaka

Sakai

2018
Ube

Kawasaki

2019

2020

Domestic affiliates

2021
Overseas affiliates

Overseas affiliates

0
(FY)

2017

Matsusaka

Sakai

2018
Ube

Kawasaki

2019

2020

Domestic affiliates

2021
Overseas affiliates

NOx Emissions

Reduction of Fluorocarbon Leakage from Industrial
Air-conditioning Equipment and Refrigerators

The Central Glass Group operates plants in compliancewith the local emission standards for atmosphere, water
quality, and other environmental indicators for each business site.

24

Central Glass CSR Report 2022

3,000

3,270

3,017

3,287

(Unit: tons)

3,362
2,946

2,000

2

1,000

1

0

0

(FY)
Matsusaka

2017
Sakai

2018
Ube

Kawasaki

2019

2020

Domestic affiliates

2021
Overseas affiliates

Ash Dust Emissions

1.6

(FY)

2017

Matsusaka

Sakai

1.4

2018
Ube

Kawasaki

1.4

2019

2020

Domestic affiliates

1.3

2021
Overseas affiliates(Unit: tons)

200

100

149

155
133

138

109

80
60

100

59

40

50

24

21

19

20

2018

2019

2020

2021

20

0

0

(FY)

2017

Matsusaka

Sakai

2018
Ube

Kawasaki

2019

2020

Domestic affiliates

2021

(FY)

2017

Overseas affiliates

Matsusaka

Sakai* The data for overseas affiliates is collected according to the standards in each region
and is shown only as reference.

Ube

Kawasaki

0.5
0

2017

2018

2019

2020

2021 (FY)

Central Glass Co., Ltd.
Domestic Affiliates/Business Partners
Manufacturing industry
All industries
Frequency rate of days away from work = (number of deaths or injuries resulting in lost work hours/total
working hours) x 1,000,000 (The frequency rate of accidents that result in lost work hours per million
working hours)
The frequency rates of days away from work for all industries and for the manufacturing industry arereferenced from the Ministry of Health, Labour and Welfare’ s 2020 Survey on Industrial Accidents.
* The period used for occupational health and safety activities at Central Glass and domestic affiliatecompanies and business partners was originally from January to December, but was changed to April to
March in 2021 to become consistent with the annual periods of other business activities. Figures differ
from previous CSR reports because the frequency rates of days away from work have been retroactively
recalculated.

Security and Disaster Prevention

Total Nitrogen Discharge(Unit: tons)

150

2.8

3

1

Domestic affiliates

Overseas affiliates* The data for overseas affiliates is collected according to the standards in each region
and is shown only as reference.

Safety is the highest priority in our corporate activities andthe prevention of accidents and disasters is the foundationof corporate activities. Under the guidance of the authorities
regarding the environment, security, and disaster prevention,
Central Glass Co., Ltd. and domestic affiliates further built up
our full-scale disaster prevention and security systems, prepared with a view to eradicating all accidents, whether fire,
explosion, or chemical leak. In the last several years, however,
we have seen an increase in accidents related to forklifts.
In FY2021, the Central Glass Group strived to preventthese accidents by increasing practical forklift training opportunities offered through manufacturers and intensifying
hands-on training even at partner companies.
We also work to prevent accidents and disasters at eachbusiness site through efforts such as activities that are basedon the Security and Accident Prevention Guidelines issued by
the Japan Chemical Industry Association (JCIA) and throughCentral Glass CSR Report 2022

Activities at Individual Plants

Air and Water Pollutant Emissions

4,000

1.5

Society

Central Glass Co., Ltd. and our domestic affiliates strive
to reduce leakage of fluorocarbons when using equipment
through proper control of refrigerants, by means such as
inspections of industrial air-conditioning equipment andrefrigerators in accordance with the Act on Rational Useand Proper Management of Fluorocarbons.
In FY2021, simplified and regular inspections wereconducted on 2,836 units at Central Glass Co., Ltd. andon a total of 1,200 units at domestic affiliates. As a result, leakage of 1,193 tons-CO2e by Central Glass Co.,
Ltd. was found and reported to the government in accordance with this law. The total leakage by domestic affiliates was 36 tons-CO2e.
We will continue doing our utmost to reduce emissionsof fluorocarbons through measures that include identification and repair of leakage areas, equipment management,
and control of the amounts of refrigerants.

Total Phosphorous Discharge(Unit: tons)

2

Employees

Central Glass Co., Ltd.

2018Frequency rate of days away from work

91

80

1,685

1,398

1,000

10
2000
(Base Year)

1,679

1,807

Quality

100

2,500

50

(FY)

Chemical Oxygen Demand (COD)

Frequency rate of days away from work

Final Disposed Amount of Industrial Waste (Central Glass Group)

As we aim to ensure safe workplaces, the Central Glass Group has
formulated a management policy for health and safety, and conducts occupational health and safety activities at each businesssite in Japan and overseas.
In FY2021, Central Glass Co., Ltd. and domestic affiliates andbusiness partners suffered a total of 39 occupational accidents,of which 13 cases resulted in days away from work and 26 cases
resulted in no lost time, year-on-year increases of 3 and 6 cases,
respectively.
There is a tendency for a large number of occupational accidents to occur at domestic affiliates and business partners, and weare focusing on analyzing the true causes in order to prevent recurrence.
Action is being taken to eradicate occupational accidents ateach work site, including those located overseas.
The Central Glass Group will continue to carry out industrial
health and safety activities to ensure awareness of safety in all
Group employees and eliminate occupational accidents.

Environment and Safety● Air Pollutant Emissions

Corporate GovernanceIndustrial Health and Safety● Central Glass Group

25

3’-Isopropoxy-2-trifluoromethylbenzanilide(also known as Flutolanil)

0

0

0

→

0

71

Ferric chloride

0

0

0

→

0

80

Xylene1200

00Quinoline

0

0

0

→

0

Chloroethylene (also known as vinyl chloride)

0

0

0

→

0

149

Carbon tetrachloride

0

0

0

→

17000

213

N,N-Dimethylacetamide

0

0

0

→

120000232

N,N-Dimethylformamide

19

0

0

→

0

243

Dioxins (Unit: mg-TEQ/year)

0.26

0.085

0

0

281

Trichloroethylene

1800

0

0

→

81
94

0

349

Phenol

31

26

0

480

374

Hydrogen fluoride and its water-soluble salts

550

0

0

→

3.4

930

411

Formaldehyde

0

0

0

→

0.3

438

Methylnaphthalene

43

0

0

0

132

Cobalt and cobalt compounds

0

0

0

→

0

242

Selenium and selenium compounds

120

0

0

412

Manganese and Manganese compounds

75

0

0

→ →

→

41

330

438

Methylnaphthalene

11

0

0

80

Xylene

87

0

0

296

1,2,4-Trimethylbenzene

100

0

0

→

0

80

Xylene

350

0

0

→

0

81

Quinoline

0

0

0

→

0

94

Chloroethylene (also known as vinyl chloride)

2300

0.3

0

149

Carbon tetrachloride

260

2.3

0

213

N,N-Dimethylacetamide

12

0

0

→ → →

11000

243

Dioxins (Unit: mg-TEQ/year)

0.019

0.008

0

262

Tetrachloroethylene

0

0.3

0

280

1,1,2-Trichloroethane

0

17

0

281

Trichloroethylene

0

0.6

0

300

Toluene

260

0

0

→ → →

0

374

Hydrogen fluoride and its water-soluble salts

0

0

0

→

66

392

n-hexane

0

0

0

7100

0
0

0
71000
0
3300
1700
1200

0

0

0

→

610

Hydrogen fluoride and its water-soluble salts

0

0

0

→

1300

Chemical Research Center
(Ube)

374

Hydrogen fluoride and its water-soluble salts

20

0

0

→

0

Central Glass Plant Services
Co., Ltd. Sakai Plant

412

Manganese and Manganese compounds

0

0

0

→

380

53

Ethyl benzene

6900

0

0

→

2100

80

Xylene

12000

0

0

→

2000

82

Silver and its water-soluble compounds

0

0

0

→

63

272

Water-soluble copper salts (excluding complex salts)

0

0

0

→

310

296

1,2,4-Trimethylbenzene

2100

0

0

→

850

300

Toluene

2100

0

0

→

3500

82

Silver and its water-soluble compounds

0

0

0

→

0

87

Chromium and chromium(III) compounds

0

0

0

→

30

53

Ethyl benzene

36000

0

0

80

Xylene

26000

0

0

→ →

1800

Acetonitrile

21000

232

N,N-Dimethylformamide

0

0

0

→

570

296

1,2,4-Trimethylbenzene

8

0

0

0

354

Di-n-butyl phthalate

0

0

0

→

540

Central Glass Plant
Services Co., Ltd.
Central Japan(including Mirror Plant)

Mie Glass Industry Co., Ltd.
Matsusaka Plant

Central Glass Fiber Co., Ltd.
Matsusaka Plant

Central Glass Fiber Co., Ltd.
Kasugai Plant

SDS English-language version

40000

Central Chemical Co., Ltd.

Activities at Individual Plants

Signal word
DangerHazard statements
H226 Flammable liquid and vapour
H303 May be harmful if swallowed
H314 Causes severe skin burns and eye damage
H318 Causes serious eye damage

0

→

13

2. Hazard identification
Classification of the substance or mixture:
Flammable Liquid:
Category 3
Acute toxicity-ORAL:
Category 5
Acute toxicity-DERMAL: Not classified
Skin corrosion/Irritation: Category 1B
Eye Damage/Irritation:
Category 1
Specific Target Organ Systemic Toxicity (Single Exposure) :GHS label elements
Symbol→0374

Chemicals Production
Engineering Center

Central Glass Co., Ltd.
Kowa Hitotsubashi Bldg., 3-7-1 Kanda Nishikicho, Chiyoda-ku,
Tokyo 101-0054, Japan
Energy Materials Sales Department
81-3-3259-XXXX
81-3-3293-XXXX
81-3-3259-XXXX(Monday-Friday 9:00 a.m.-5:30 p.m.(JST))

Category 3(anesthetic action)
Specific Target Organ Systemic Toxicity (Repeated Exposure) : Category 1(bone, tooth)Hazardous to the aquatic environment – acute hazard:
Not classified
Hazardous to the aquatic environment – long term hazard:
Not classified

00Society

Section concerned:
Phone:
Fax:
Emergency Phone:Electrolytic solution containing lithium hexafluorophosphate XXX06
CCK-1111
Lithium ion battery
No information
CCK-1111

00

Employees

1. Identification
Product name:Product code:
Recommended use:
Product Description:
SDS No.:Manufacturer
Company Name:
Address:0

Asbestos

Quality

Safety Data Sheet* D ata sheets that list information related to thehazardousness of chemical substances as well as
information concerning the environment.

2, 2’-Azobisisobutyronitrile

33

Environment and Safety

Issued: February 9, 2022

16

7000

405

Boron compounds

1600

0

0

4000

411

Formaldehyde

0

0

0

→

0

448

Methylenebis (4,1-phenylene) = Diisocyanate

0

0

0

→

277

Triethylamine

3900

0

0

349

Phenol

210

0

0

405

Boron compounds

0

0

0

→

0

411

Formaldehyde

840

0

0

0
1000
520

→

Central Glass CSR Report 2022

Issued: February 9, 2022 p-1/7

CENTRAL GLASS Co., Ltd.

Transported

→ →

26

Electrolytic solution containing lithium hexafluorophosphate XXX06 CCK-1111
Central Glass Co., Ltd.

Kawasaki Plant

Year-on-Year
Emissions→*1 Act on Confirmation, etc. of Release Amounts of Specific Chemical Substances inthe Environment and Promotion of Improvements to the Management Thereof (Lawconcerning Pollutant Release and Transfer Register / PRTR)*2 Amount released into the atmosphere, public water, soil, and landfill.
*3 Amount transferred to the sewage system, amount consigned to industrial waste
disposal company (excludes shipments as products)

The Central Glass Group provides customers with SDSs
based on the latest JIS standards in order to reduce risks
in the handling of our products and samples for testing
and research. When necessary, we provide customers with
SDSs in English, Korean, Chinese, and other languages.
In FY2021, we revised the SDS format to comply withrevisions to the Industrial Safety and Health Act and the
PRTR Law, and have made the updated and compliant
SDSs available.
We will continue to provide appropriate information
through SDSs.

Matsusaka Plant Sakai
Manufacturing Site

Soil

→

Central Glass Co., Ltd. and its domestic affiliates survey, collect and report on substances subject to PRTR notificationin accordance with the PRTR Law and the PRTR System.
The number of substances subject to PRTR notification
in FY2021 decreased from the previous year by one substance to a total of 61, due to increases or decreases in
raw materials and production volume.
(Refer to PRTR Data on page 27.)
Both emissions*2 (up 4.9% from the previous fiscal
year) and transfers*3 (up 27.6% from the previous fiscal
year) increased from the previous fiscal year due to anincrease in certain raw materials as a result of changes in
raw materials and products.

Safety Data Sheet (SDS)* MaintenanceMatsusaka Plant

Water

→ →

Amount of Chemical Substances Subject to the
PRTR Law*1 Emitted, Discharged, or Transported

Central Glass Co., Ltd. and its domestic affiliates ensure
instruments such as transformers, stabilizers, and capacitors that contain polychlorinated biphenyl (PCB) comply
with the Act on Special Measures Concerning Promotionof Proper Treatment of PCB Waste, Waste Management
and Public Cleansing Act, and other laws and regulations.
We dispose of such instruments through strict management following the set schedule of disposal.
In FY2021, in order to ensure that there were no oversights of equipment with an upcoming disposal date, weagain conducted surveys of all equipment with high concentrations of PCBs. We also surveyed all equipment that
could potentially contain low concentrations of PCBs, anddrafted disposal plans.
We will always adhere to laws and regulations and will
properly manage systematic disposal of instruments containing PCBs.

Atmosphere→ →Promotion of the Management of Chemical Substances

Management of Instruments Containing PCB

Substance Name→

* The Emergency Contact Card (Yellow Card) is a card provided as preparation for potential accidents during the transportation of chemical substances, such as high-pressure gas or hazardous substances, that lists the dangers of the chemical substancesin transport; procedures which should be taken by the transportation personnel,
fire-fighters, and police in the event of an accident; and contact information.

Ube Plant

Ordinance
Designation No.

→

Emergency Contact Card
(Yellow Card)

Business Site(kg)

Emissions/Discharge→

In order to ensure prompt response in the event of an accident during transportation of high-pressure gas, poisonous or deleterious substances, or dangerous or flammable
substances designated under the Fire Service Act, we issue an emergency contact card (Yellow Card)* that briefly
describes information such as contact information, emergency measures, and precautions. Drivers are requested
to keep this card with them. Yellow Cards with emergency
contact information are similarly provided even for transportation of small quantities that do not legally necessitate this measure, and also for chemical substances thatare not covered by the law.
To further ensure logistical safety, labels with Guide Numbers and UN Numbers are attached to product containers,
indicating the details of relevant first aid measures.
We will continue working to prevent accidents during
the transportation of chemical substances and to preventthe spread of damage in the event of an accident.

Some of the materials used in buildings and production
facilities at Central Glass Co., Ltd. and its domestic affiliates contain asbestos. We therefore identify the target
locations where these materials are used, comply with theIndustrial Safety and Health Act and other laws and regulations, and manage them appropriately. In addition, we
properly dispose of the materials at the time of removal.
The Central Glass Group will also adhere to legal
amendments related to the management of asbestos announced in FY2020 and planned for a staggered roll out
through FY2023 and ensure their proper management
now and into the future.

PRTR Data (FY2021)→

Logistical Safety

Asbestos Management

Corporate Governancethe passing down of skills and know-how to our young employees by veteran engineers well-versed in their work.
The Central Glass Group will continue to make every effort
to ensure not only safe working environments for its employees but also safe and secure local communities.
(Refer to Activities at Individual Plants (Security and Disaster
Prevention Initiatives) on page 38 and 39.)

1300

30

Linear alkylbenzene sulfonic acid and its salt

0

0

0

→

0

412

Manganese and Manganese compounds

0

0

0

→

0

448

Methylenebis (4,1-phenylene) = Diisocyanate

0

0

0

→

920

・Quantities emitted, discharged, or transported are listed for Class I Designated Chemical Substances handled annually in amounts exceeding 1,000 kg (500 kg for Specific Class I Designated Chemical
Substances). Amounts for dioxins are listed regardless of quantity.

Central Glass CSR Report 2022

27

Quality

The Central Glass Group will always work toward its goal of establishing a truly
prosperous society through the spirit of Monozukuri. We will also emphasize
quality control initiatives that place customer satisfaction first. In addition tocomplying with laws and regulations, our Group will take customer feedback
sincerely in order to provide reliable products and services loved by customers.

Quality Management System
Management
Group Quality
Compliance Committee
Central Glass GroupOperational
AuditsAudit
Quality Assurance
Department
Division
Audits/Support・Code of Conduct and the Quality Guidelines

Description

Cultivate aculture ofquality

Provide high quality and reliable products byensuring compliance with laws and regulations,clients’ requirements, and social responsibilities.

Perform
continuous
improvements

Continuously implement quality improvement
activities, as well as encourage employees toenhance their awareness and abilities throughout
the entire supply chain to keep developing thequality and safety of our products.

Strengthen
audit systems

Detect problems quickly through layered audits
conducted by the plants, quality assurance
departments, and audit departments.

Streamline
reportingsystems

Clarify reporting procedures and reporting
guidelines to ensure quick responses to quality
issues.

Respond to
Respond problems withcorrective andpreventive actions

Prevent recurrences of quality problems byidentifying and analyzing the causes, in addition
to taking necessary measures such as prompt
information disclosure.

Quality Management System
With an aim of being an organization that offers reassurance and reliability to stakeholders by ensuring that we
28

Central Glass CSR Report 2022

We have established a reporting line to rapidly respondto quality issues by quickly receiving information onvarious quality issues that are discovered by customers or at manufacturing sites and reporting to theappropriate department in charge. This reporting
procedure also provides a system to quickly report
serious quality issues to management in order to takeemergency measures without any delay.

With the aim of cementing these systems and ensuring
their operation, we have specified the following priority
measures for implementation in our Medium-Term Management Plan for 2022 and beyond: “Improve quality
activities through thorough daily management and promotion of improvement activities,” and “Develop human resources supporting quality activities by improving quality
education.”

Auditing and Support Through the Segment Quality
Assurance Departments
In FY2021, the Glass Quality Assurance Department andthe Chemicals Quality Assurance Department conducted
audits at 22 departments of 26 companies including theheadquarters, plants, and affiliate companies (9 glass
departments at 17 companies; 13 chemical departments
at 9 companies) based on the annual plan. We provided
assistance until any corrective actions or improvements
requested during these audits were implemented.
We will continue to ensure that nothing is overlooked byexpanding the multilayered audit system, and work to improve the level of quality initiatives at each business site.

Monozukuri Education

Activities at Individual Plants

Invest in human Invest appropriately in human resources andresources and facilities that are essential to achieving our quality
objectives.
facilities

・Reporting procedure for quality issues

The Central Glass Group systematically conducts quality
audits at all levels at its plants as well as at domestic andoverseas affiliates.

Society

Ensure the independence and authority of quality
control and quality assurance departments sothat they can fully exercise their respective duties.

We have incorporated the concept of multilayered
audits into internal audits. The Company implements a three-layered auditing system comprised ofvoluntary audits by quality assurance departments
at the plants, audits of each plant by Glass or Chemicals Segment quality assurance departments, andaudits of the segment quality assurance departments by the Quality Assurance Division.

Quality Audits

Employees

Item

Prevent Update andComply with each policy and procedure andenforce policies
update them as needed.
and procedures

Detect

The Group Quality Compliance Committee serves asa cross-functional organization to further strengthen
the quality management system of the entire Central
Glass Group. The committee holds three types ofmeetings: a Quality Promotion Meeting to improve
quality activities based on the PDCA cycle, an Emergency Response Meeting to promptly address quality
and product safety issues, and a Corrective Action
Meeting to ensure that problems do not recur.

・Multilayered audits

Quality Guidelines

Improveorganizational
structures

・Group Quality Compliance Committee

Quality

We have formulated the Quality Guidelines as a
blueprint for executing our commitment to “Place
our highest priority on the quality and safety of our
products and continue to meet customer needs” as
per the second clause of our Code of Conduct basedon the Central Glass Group Corporate Philosophy.
The Quality Guidelines form a framework to Prevent,Detect, and Respond to quality issues, which arevital aspects of compliance.

provide products and services meeting the needs of customers and society, we take action to promote quality activities under the following Quality Management System.

Environment and Safety

Segment
Segment Quality
Assurance
Departments
Audits/SupportPlantsDepartments
in Charge of
Quality Assurance
Audits/SupportDepartments
in Charge of
Manufacturing

Quality Management
Clause 2 of the Code of Conduct and the Quality
Guidelines

Monitoring/
Directives

human resource development. In the Career Development
Education program, structured quality control educationis conducted that consists of training for new employees, training for newly appointed assistant managers andtraining for newly appointed managers.
On April 16, 2021, 31 employees took part in training
for new employees, centered upon the promotion systemfor quality initiatives. Every participant learned about theoverall quality control initiatives at the Central Glass Group
as well as gained basic knowledge on quality and its impact.
Training for newly appointed assistant managers washeld on June 17, 2021 for 22 participants regarding quality and product safety laws and regulations and focused onunderstanding product safety in particular.
Total Quality Management (TQM) training for newly appointed managers was held on May 20, 2021 for 11 participants, with the goal of learning about TQM as well as
the promotion system for quality initiatives.
The knowledge gained through these trainings as part ofCareer Development Education aids in Group quality initiatives that prioritize quality and safety.
In addition, a lecture on “TQM and Daily Management”
was given by the Executive Officer in charge of quality to
82 people including the heads of business sites and departments on February 24, 2022 at the Quality Promotion
Meeting for the purpose of clarifying TQM. We will further
enhance quality education to develop human resources
who will support quality activities, a key initiative of the
Quality Medium-Term Plan.

Corporate Governance

Providing Reliable Products
and Services to Our Customers

Lectures on Quality
Auditing and Support by the Quality Assurance Division
The Quality Assurance Division executed audits of the
Glass Quality Assurance Department and Chemicals Quality Assurance Department. We provided assistance until
any corrective actions or improvements found during theaudits were implemented.

Quality and Product Safety Education

As part of company-wide quality education, on November 19, 2021, we invited outside instructor Noboru
Maruyama (Director, Institute of ISO Management) to
give a quality lecture titled, “The ‘Spirit’ of TQM and Its
Application: TQM and Its Essence from an ISO Perspective.” Due to the COVID-19 pandemic this fiscal year, thelecture was held online (Zoom live event) for an audienceof roughly 310 people.

The Central Glass Group systematically conducts Career
Development Education and Monozukuri Education as
Central Glass CSR Report 2022

29

Supplier Audits

Business Site

Gold
Prize

Circle Name
LegendUbe Plant

DorubakoCentral Chemical Co., Ltd.

FB

Matsusaka Plant Sakai Manufacturing Site

SK-6

Matsusaka Plant

Scrum

Kawasaki Plant

RenewalUbe Plant

AttackPrevent

Central Glass Co., Ltd. purchases materials from smelting
companies certified through audits by the Responsible
Minerals Initiative (RMI) in accordance with the U.S.
Dodd–Frank Wall Street Reform and Consumer Protection
Act (Section 1502) regarding the procurement of conflictminerals (tantalum, tin, tungsten and gold) to prevent
any complicity in conflicts caused by armed groups or antisocial forces, human rights violations, or environmental
destruction.
In FY2021, thanks to their understanding and cooperation, we regularly conducted surveys of all of our procurement partners handling conflict minerals and verified thatthey were certified under the RMI.

(Do)
FY2021 Performance Results(Check)Ratings

Cultivate a culture of quality

Ensure strict compliance with legal, public
and internal standards. (A)・Supported checks for the existence of productstandards and preparation of new productspecifications (architectural glass).
・Confirmed certification (mark) conformity(automotive glass).
・Despite the downtrend in claims, somescattered claims occurred.

△

Ensure strict compliance with legal,
public and internal standards. (A)Perform continuous
improvements

Strictly check whether all procedures
follow operational standards.

・AEC (Matsusaka) observed work and shared its
report with the concerned business sites.

○

Strictly check whether all procedures
follow operational standards.

Update and enforce policies andprocedures

Clarify and thoroughly implement internal
rules. (B)・Clarified and thoroughly implemented rules.

○

Clarify and thoroughly implement rules.
(A)

Reinforce the authority of quality-related
Improve organizational structures departments (systems allowing suchdepartments to say no). (B)・Maintained the reinforced authority ofquality-related departments.

○

Reinforce the authority of quality-related
departments (systems allowing suchdepartments to say no).

Invest in human resources andfacilities

Educate and train qualified staff.

・Created a comprehensive skill map.
・Implemented position-based education at the
Matsusaka Plant.

○

Educate and train qualified staff.

Strengthen audit systems

Improve auditing procedures and develop
and use auditing tools. (B)・Delays occurred due to the COVID-19 pandemic
and the prioritization of other operations.

△

Strengthen multilayered audits. (A)Streamline reporting systems

Comply with reporting guidelines andutilize databases for reporting.

・The Quality Issues Database was properly
utilized for reporting.

○Comply with reporting guidelines andutilize databases for reporting.

・Properly addressed any quality issues that
arose.

○

Improve root cause analysis capabilities
to prevent recurrence. (B)DetectRespond

Respond to problems with
Improve root cause analysis capabilities tocorrective and preventive actions prevent recurrence.

Rating: ○: Achieved target   △: Achieved most targets but not all   ×: Additional measures required   ―: Not applicable

A: First priority  B: Second priority

FY2021 Targets and Performance Results (Chemicals Segment)

Cultivate a culture ofquality

・Heighten awareness about quality
compliance.
・Thoroughly comply with laws andregulations as well as contractual
terms and conditions.

1) In accordance with policy, each department worked onparticipating in quality lectures, complying with laws andregulations, checking specifications, etc.
2) There were no problems in complying with public standards.
3) There were several cases of minor inconsistencies between
the contractual terms and the documents used in operations,which were rectified.

△

Heighten awareness about quality
compliance.
Thoroughly comply with laws andregulations as well as contractual terms
and conditions.

Perform continuous
improvements

1) Each department clarified and addressed risks by・Identify risks and execute risk
response according to eachestablishing a quality assurance system for new products,
workplace.
establishing production technologies, strengthening suppliermanagement, and thoroughly managing accounts
・Reduce defects caused by outsourcing
and procurement sources.
receivable.

○

Identify risks and execute risk response
according to each workplace.

Update and enforce
policies andprocedures・Revise rules in accordance with
amendments to laws and regulations
as well as changes to contractual
terms and conditions.
・Thoroughly implement QMS.

1) Complied with revisions to GMP ministerial ordinance,
fertilizer testing methods, and contractual terms with noissue.
2) Made efforts to revise company rules and regulations, and to
make system documentation known. No problems with QMS
operation.

○

Review and revise rules in accordancewith amendments to laws and regulations
as well as with changes to contractual
terms and conditions.
Review and thoroughly implement QMS.

Improve organizational structures

・Implement checks of quality
management inspection operations
by the quality assurance departments.

1) Quality assurance departments at Ube, Kawasaki, and theheadquarters confirmed that there were no problems with
the quality management inspection operations for producttests.

○

Implement checks of quality management
inspection operations by the quality
assurance departments.

Invest in humanresources andfacilities

・Consider automation and renewal ofequipment to reduce quality issues.
・Conduct training and strengthen
measures to prevent human error.

1) In the progress of investigating the reduction of quality
defects through modification of facilities.
2) Held a human error review meeting at the Ube Plant.
Each department worked to establish a double-checking
system for business documents.

○

Consider automation and renewal ofequipment to reduce quality issues.
Conduct training and strengthen
measures to prevent human error.

Strengthen audit
systems

・Promote multilayer audits to prevent
quality defects before they happen.
・Systematically audit suppliers.

1) Segment internal and multi-layered audits found zero
deficiencies that could lead to quality defects or failures.
2) Due to the COVID-19 pandemic, audits were conducted
mainly in written format.

○

Promote multilayer audits to prevent quality defects before they happen.
Systematically audit suppliers.

Supplier Initiatives

Streamline reporting
systems

・Properly implement a new system forreporting quality issues.

Periodically reviewed reports to confirm the appropriateness ofthe decision level and whether they were reported promptly. A
system is in place to share them with relevant departments asneeded.

○Properly implement a system for reporting
quality issues (Add functions including
allowing input of corrective actions).

We continually carry out quality initiatives with our business partners in order to provide reliable Central Glass
brand products and services.

Respond to problems
・Conduct rapid and adequate
with corrective andresponse when quality issues arise.
preventive actions

Corrective measures for emergent quality issues were added toa checklist as preventive measures against recurrence.
When quality problems occurred, the Quality Assurance
Division led countermeasure meetings and handled customer
response.

○

Conduct rapid and adequate responsewhen quality issues arise.
Develop and implement effective
recurrence prevention measures.

Carlex Glass Luxembourg S.A.

COPQ

At the Kawasaki site

The Central Glass Group established Green Procurement
Guidelines to comply with legal and regulatory requirements and prioritize procurement of raw materials andgoods with a lower environmental impact.
In FY2021, we conducted a survey based on our Green
Procurement Guidelines checking that procured materials
do not contain chemical substances restricted by the law,and thanks to the understanding and cooperation of ourbusiness partners, we verified that there were no problems found in our procurement activities.
The Central Glass Group will continue to promote legal
and regulatory compliance as well as activities to reduce
the environmental impact throughout its entire supply
chain.

Prevent

Matsusaka Plant Sakai
Manufacturing Site
Presentation by “SK6”(Plan)FY2021 Targets(Do)
FY2021 Performance Results

DetectRespond
Green Procurement Guidelines

Central Glass CSR Report 2022

Activities at Individual Plants(Act)
FY2022 Initiatives

Guidelines

Green Procurement Surveys

Society(Check)Ratings

Silver
Prize

30

(Act)
FY2022 Initiatives

Employees

Kawasaki Plant

Conflict Mineral Surveys(Plan)FY2021 Targets

Guidelines

Quality

38th Groupwide QC Circle ConferenceCentral Glass Co., Ltd. audits its suppliers including contractors as a measure to improve quality.
In FY2021, we audited 40 suppliers with their understanding and cooperation either on-site, online, or
through submission of documents. We also provided
assistance until any corrective actions or improvements
requested during these audits were implemented.

Environment and Safety

The Central Glass Group regularly holds a groupwide QC
Circle Conference in November each year as a venue inwhich teams (“Circles”) selected from each site present
the results of their quality improvement activities. For the
38th groupwide QC Circle Conference in FY2021, theHeadquarters, as well as the Kawasaki, Ube, Matsusaka,
Sakai, and Luxembourg sites were connected online via
Microsoft Teams as a COVID-19 preventative measure.
Despite being held online for the first time, there was alively Q&A session between the Circles and the judges
and audience. Five Circles were awarded Gold Prizes andthree were awarded Silver Prizes. Through the QC Circle
Conference, we aim to achieve our corporate philosophyof “Creating a Better Future Through Monozukuri ” while
encouraging quality improvement through friendly competition on the results of activities based on various themes.

FY2021 Targets and Performance Results (Glass Segment)[Broad policy]・Optimizingmulti-layered audits (methods of validating effectiveness, etc.)
・Promoting zero tolerance for silent changes (counterfeiting)Corporate GovernanceGroupwide QC Circle Conference

Rating: ○: Achieved target   △: Achieved most targets but not all   ×: Additional measures required   ―: Not applicable

Central Glass CSR Report 202231

Employees

Towards Creating a Vibrant Company

Central Glass Co., Ltd. is a Monozukuri company that has continually provided
superior products with higher added value in order to enrich people’s lives.
We focus on Hitozukuri (developing human resources) as the foundation of ourcorporate growth and strive to enhance our programs for human resource development with the aim of building an environment where each individual candemonstrate his or her capabilities and skills to the utmost.

Diversity refers to individuals with all their varied attributes. It is essential for increasing corporate value,achieving sustainable growth, and realizing our corporate
philosophy. Central Glass Co., Ltd. has traditionally rehired retirees and employed people with disabilities. In
addition, the Company hires new graduates and mid-career workers regardless of gender, race, or nationality, andencourages them to make the most of their individual
perspectives. In addition, in order to respond to changes
in employees' lifestyles and career aspirations after theyjoin the company, we have established systems related toevaluation, placement, compensation, childcare, nursing
care, and illness, and are working to enable employees todemonstrate their abilities in accordance with their individual styles.
On the other hand, we recognize that there are issues
in promoting diversity at the Company. For instance, we
had not, as of the end of FY2021, achieved the legally
mandated employment ratio for persons with disabilities,
which was increased to 2.30% in March 2021. We willcontinue to employ and develop diverse human resources while furthering the cultivation of a company culture
where each and every employee can work enthusiastically.

Leave for gradualentry*
Childcare
Parental leave*

Nursing
care

FY2019FY2020

FY2021

1,631
178

1,671
180

1,630
172

(2) Number of new recruits(Female Employees)

74
13

91
12

40
4

2.04%

2.30%

2.00%

(3) Ratio of female managers(4) Average age

36．
4 years old

36.6 years old

37.3 years old(5) Average years of continuous
employment

14.9

15.1

15.8

(6) Number of Job Return Systemapplicants(Number Employed)

5
0

5
0

7
2

(7) Number of non-Japaneseemployees

11

13

13

100%

100%

100%

6.10%

7.95%

15.22%(9) Number of employees on
shortened or staggered working
hours during childcare

34

38

44

Shortened working
Shortening of working hours by one hour per day.
hours for nursing care(10) Number of employees taking
nursing care leave

1

1

0

Job Return System*

Anyone who resigns due to pregnancy, childbirth,raising children, marriage, a spouse’s work transfer,or caring for family is prioritized for re-employment for
up to five years.

(11) Percentage of persons withdisabilities

2.16%

2.17%

2.04%

164

131

May be used five times per month for hospital visits
and rest associated with fertility treatment.

(12) Number of people who arere-employed after retirement

179

Fertility treatment
leave*

Time off for nursing
care

Other

Ten days off per year for nursing care and to attend tofamily members. Employees can take leave in hour
increments.

* An asterisk indicates a program surpassing that mandated by law (the program itself, the length of time, etc.)

Central Glass CSR Report 2022

(8) Percentage of employees taking
parental leave (Female)
Percentage of employees taking
parental leave (Male)* (1) to (6): Non-consolidated, full-time employees only; (7) to (12): Includes temporarily dispatchedemployees.

(Do)
FY2021 Performance Results(Check)Ratings

Action Plan
Final Rating

Use positive outreach to recruit female
candidates and take advantage of the (nextgeneration) re-employment program.

Hired two women under the Job Return System (next-generation re-employment program). The ratio of female
employees among new graduates hired: 10%.

△×
(10.6%)(1) Promote changing working style tofinish work within the designatedworking hours.

Investigate institutionalization of measures
to facilitate flexible working hours andlocations in anticipation of professional life
after the COVID-19 pandemic.

Continued the staggered working hours and teleworkprograms to prevent spread of infectious disease. In
tandem with these efforts, expanded eligibility for flextime
work (to be implemented from FY2022), and considered
the institutionalization of telework.

〇〇(2) Continue to implement Smart Day(days designated for leaving workon time), overtime applications
and planned leave program.

Continue implementation and measure theeffectiveness.

Continued implementation. Smart Day was canceled due
to staggered work hours. A recommended day for taking
paid leave was set once a month. Average number ofannual paid vacations and summer vacation days taken
increased to 16.1 compared to 14.8 in FY2020.

〇〇(3) Encourage managers, including line
managers, to change their attitudes
regarding working style.

Plan and implement training for managers
about flexible work styles.

Held training for managers, including lectures on diversity
management and group work discussing issues.

〇〇

Better utilize the internal corporate bulletinboard and continue to raise awareness.
Investigate follow-up support for employees
on parental leave.

Shifted to a digital approval system for some applications
and updated the internal corporate bulletin board
regarding raising children.

△〇

Target 1: Increase the female employee ratio.
(Numerical target: 11%)

Target 2: Raiseawarenessabout
work-stylereforms.

Target 3: Share child raising and nursing careinformation.
Rating: ○: Achieved target△: Achieved most targets but not all

×: Additional measures required―: Not applicableThird Action Plan to Promote Female Workplace Participation
Targets(To be achieved by the end of FY2025)

Objectives

Example measures

1. Increase the ratio of female managers

Female manager ratio: 4%

Career education for female employees, training to raise awarenessof managers with female subordinates, etc.

2. Increase the ratio of female employees

Female employee ratio: 12%
Target ratio of female hires from FY2022 onwards: 20% or more

Public relations and recruitment activities aimed at increasing thenumber of female job applicants, measures to retain female
employees in shift work, etc.

3. E
 ncourage male employees to take childcare leave(1) Percentage of male employees taking childcare leave: 30%(2) Percentage of male employees taking childcare leave of 30 daysor more: 50%

Raise awareness of childcare-related programs within the company,
strengthen contact points, and provide education to make it easierfor employees to obtain childcare benefits, etc.

VOICE

Kazuhide Sawada (Joined in 2013)
Chemicals Engineering & Technical Group,Engineering & Technical Department, Ube Plant

Voice of an employee taking parental leave
Since my wife and I both wanted to work, I took five months ofparental leave and supported my wife's job search.
There was a precedent of several senior male coworkers at
my workplace taking parental leave, and with the understanding of my colleagues, I think the application and handoverof duties went smoothly. In addition, based on my seniorcolleague’s recommendation, I had monthly meetings withmy supervisor during my parental leave where I learned about

the situation at my workplace,allaying my concerns. After
returning to work, I received
support from those around me
and was able to gradually getreacquainted with my former
job. I am very grateful to everyone involved.
I had the invaluable experience of spending a lot of timewith my child during their firstyear. I believe that it is now myturn to return the favor withthose who take parental leave.

Activities at Individual Plants

May be taken after parental leave ends during thegradual entry period into preschool.
One day off per month for childcare until enrollment
in primary school.
Nursing care leave
36 days off per year for nursing care for children
for children
until graduation from primary school. Employees cantake leave in hour increments.
Shortened working
Shortening of working hours by a maximum of two hours
hours during
per day until graduation from primary school. Female
childcare*
employees can also shorten hours during pregnancy.
Staggered working
One-hour postponement of the start of the workday
hours during childcare for staggered working hours until graduation fromprimary school.
Nursing care leave*
Total of 365 days of leave, which can be divided into
up to three periods.

Item(1) Number of Employees(Female Employees)(Plan)FY2021 Targets

Action PlanSociety

Program name
Description
Childbirth preparation Two days off per month for hospital visits, etc. during
leave*
pregnancy.
Maternity leave
Legally mandated leave 6 weeks before childbirth and8 weeks after childbirth.
Childbirth leave*
Three days off within one month before or after the
expected delivery date.
Parental leave*
Legally mandated childcare leave for employees withchildren between the ages of zero to one year. It is
possible to extend leave until one year and six
months or until two years old. Up to five days of paid
leave from the first day of leave. 30,000 yen isprovided as a support grant for each month of leave.

Second Action Plan to Promote Female Workplace Participation

Employees

Central Glass Co., Ltd. has built systems surpassing thosemandated by law to support a better work-life balance
for people raising children and caring for family members. From April 2022, in addition to establishing leave
programs for fertility treatment and for gradual entry
into daycare, a new “job return” system was establishedfor re-employment of those who left the company forchildcare, nursing care, or other reasons, and we haveorganized the systems to improve employee awareness ofthem and make them easier for employees to use.
The rate of male employees taking parental leave has
been increasing year by year as we continue to promote
its use. We will continue to enhance these systems andemployees awareness of them so that they can work withpeace of mind over the long term.

Quality

Promotion of Diversity

Environment and Safety

Promoting Work-Life BalanceChildcare and Nursing Care Programs

32

Since FY2016, Central Glass Co., Ltd. has been implementing measures aimed at active participation of diverse
human resources and improving the performance of ourorganization as a whole. FY2021 was the final year of theSecond Action Plan to Promote Female Workplace Participation. We were able to steadily educate and inform
employees about the introduction of new childcare-related systems and the implementation and consideration ofsystems related to flexible work styles for April 2022 andbeyond. However, we were unable to achieve our numerical target ratio of female employees of 11%, although theratio increased to 10.6%, compared to 9.8% in FY2017.
In light of these circumstances as we formulated theThird Action Plan to be implemented from FY2022 to
FY2025, we placed new emphasis on improving the ratioof female employees, setting target figures not only forthe ratio of current female employees but also for the ratio of women among new hires.
By creating a corporate culture in which women canplay more active roles, we aim to become a vibrant company in which each employee with diverse work styles andvalues can feel their own personal growth and have both
the desire and the ability to continue working for years
with us.

Corporate GovernanceMonozukuri Is About
Hitozukuri

Central Glass CSR Report 2022

33

Training for new employees
Company entry training/
Training at plants/Inductiontraining/
On-the-Job Training (OJT system)

Overseas job training*◆
Distance
learning

Develop candidates for managerial positions[For all employees] ◆ Distance learning ◆ Language study (English/Chinese/Korean)◆ Preparatory education for employees to be transferred overseas (language study)

Monozukuri Education
Abilitybased
rank

Position-based education

Enhancement programs

Leadership training

GeneralApproximately every five years
Regular employee training

Active Expert
Center (AEC)
training(fostering
leaders)

Groupwide
QC Circle
Conference/
Lecture forengineers/
Various study
groupsSkill
acquisition
supportsystem,SeniorEngineer (SE)training(passing on
skills)Language Study
Central Glass Co., Ltd. provides English, Chinese andKorean language study programs to improve the language
skills of its employees as part of global human resource
development.
We also provide an English Course to Develop Globally
Minded Employees as an enhancement program, in which
our employees are offered opportunities to join local onsite language schools or take intensive online lessons as away to acquire more practical language abilities.
In FY2021, the English Course to Develop Globally
34

Central Glass CSR Report 2022

Compliance Education
The Central Glass Group believes that compliance is an
essential part of fulfilling our social responsibility, and we
conduct annual training to instill its importance.

Major Issues

Cultivation of
global humanresources
through
CareerDevelopment
Education

Improvementof on-site
capabilities
throughMonozukuri
education(Plan)FY2021 Targets(Check)Ratings(Act)
FY2022 Initiatives

Improve systems to support
language study.

・Improvement of employees' language skills through English, Chinese, andKorean language education.

○

・Continue to provide support for
language study.

Strengthen the management
capabilities of managers.

・Partially suspended efforts due to the impact of the COVID-19 pandemic (MOT
dispatch).
・Assigned selected managers to external training (online).
・Continued to strengthen management skills by training those promoted tosenior management positions.

○・Expand external training for
selected managers.
・Use e-learning to strengthen
training and improve programs.

Send trainees to overseas
affiliates.

・Partially suspended efforts due to the impact of the COVID-19 pandemic.

－・Continue human resource
development to nurture
employees with a global
mindset.

Continue to foster a newgeneration of leaders throughActive Expert Center (AEC)
trainee programs.

・Held basic education for 9 selected trainees and improved problem-solving
skills through theme-based activities.

○

・Hold basic education for 6
select trainees and improve
problem-solving skills throughtheme-based activities.

Improve and implement
position-based education
programs.

・Implemented and reviewed position-based education programs.

○

・Continue position-based
education programs.

Rating: ○: Achieved target

VOICE

(Do)
FY2021 Performance Results△: Achieved most targets but not all

×: Additional measures required

Chiharu Sugaya (Joined in 2003)
Quality Assurance Department,
Matsusaka Plant

Voice of participant in training for newly appointed managers
I participated in a training for newly appointed managers in
May 2021, after taking maternity and parental leave between
April 2020 and March 2021 and returning to work. Since thetraining was held online to prevent COVID-19 spread, I started
my training with a negative feeling expecting that it would be
difficult to receive the same level of quality as I could fromface-to-face training, as well as concerns that three days of
non-routine work would affect my childcare. But contrary tothese expectations, my actual impression of the training was
positive. The online training, which I participated in from my
own private space, was relaxing because there were no eyesaround me, but at the same time I felt the right amount oftension as if I was taking the course one-on-one. The three-day
training was structured with two outside instructors and the
managers of each department allocating a moderate amount oftime for the programs including discussion, which allowed theparticipants to stay focused.
The managers of each department who served as in-house
instructors provided precise training to ensure that we, thetrainees, were fully aware of our new positions and roles, and―: Not applicablethat we acquired the necessary skills and professional qualities. The education from a fellow company employee, which
was different from that of outside instructors, was easierto grasp and raised my awareness as members of the same
company working toward the same goal, despite our different
ranks. Some of the instructors I had worked with since I joined
the company, which made me even more enthusiastic.
The group discussions gave me an opportunity to confer
with fellow employees who specialized in completely different
fields. Different perspectives offered diverse opinions, and I
was able to arrive at a solution that I never could have comeup with on my own, no matter how many times I thought itthrough.
As for the impact on childcare, since I would not have beenable to participate in overnighttraining as held in previous years,
the online training made it possible
to join in all three days with no big
imposition. I felt the online discussion using chatting and screen
sharing was an advantageous useof time as it allowed efficient opinion gathering and summarizing.
I realized that online training is
one positive change that has comeout of the COVID-19 pandemic.

Central Glass CSR Report 2022

Activities at Individual Plants

Education for new employees
Training for new employees/
Follow-up training for new employees/
On-the-Job Training (OJT system)

Training for employeesof administrative
departments

Sub-leader training

FY2021 Targets and Performance Results

Society

Leadership

New leader training

Central Glass Co., Ltd. provides management education
for young employees who qualify to participate in eligibility-based programs as well as for selected assistantmanagers and managers, for the purpose of fostering
employees not only who are well versed in technology
and management but also who can promote strategic
research and technological development. The selective
management education programs consist of education
for assistant managers and managers where they are sent
to outside business schools and an English proficiency
program to develop global human resources. The selected management-level participants give presentations tosenior management on the results of their language skill
development, management issues and their initiatives.
In FY2021, as infectious disease prevention we continued to provide opportunities for human resource development through online training. Online training enabled
participants to take the course from home or from overseas business sites, which also helped them improve their
ICT (Information and Communication Technology) skills.
We will continue to nurture human resources who will become candidates for management positions with the aimof continuously increasing corporate value.

The Central Glass Group has established Active Expert
Centers (AECs) at each plant as educational institutions
specializing in the transmission and development of tech-

Employees

Career-track Employee

5th-year training
2nd-year training◆
Preparatory
education for
employees tobe transferredoverseas(language
study)

Selective management training (M3)*Selective management training (C1)

Short-term study abroad*Language study, etc.

Training for newly appointed
assistant managers

Education for
HR assessment
and development

Language
study(English/
Chinese/Korean)Programs to fostera global mindset

Assistant Manager

Training for newly
appointed managers

Selective education

MOT

Training for managers

Training forexecutives on
temporarydispatch

MBA (overseas/
domestic)

Eligibility-based education programs

Fostering On-site Leaders for a New Generation

nology and skills. The AECs provide a full year of training
to selected next-generation leadership candidates as AEC
trainees. After receiving basic education, trainees actually
visit the production floor to identify issues (themes) together with coordinators and staff from the trainees’ original departments. Through repeated information gathering,
analysis, and discussion, trainees consider and understand the essence of the themes and engage in practicalproblem-solving.
In FY2020 (October 2020 to September 2021), nine
trainees selected from each plant participated in the AEC
trainee education. In FY2021 (October 2021 to September 2022), six new employees selected as new trainees
will continue this work to develop future on-site leaders.

Quality

Abilitybased
rankManager

Career Development Education

We also offer interactive training sessions led by executive officers to raise awareness about compliance among
junior and mid-career employees. Since FY2019, we havealso been providing once-yearly e-learning on complianceto all employees, including those working at our affiliatecompanies, in our ongoing efforts to raise awarenessabout compliance throughout the entire Central GlassGroup.

Environment and Safety

The education that Central Glass Co., Ltd. provides to
employees is broadly divided into “Career Development
Education” and “Monozukuri Education.” Career Development Education comprises new position training,
management education, business skills development education, and professional development education. Monozukuri Education, meanwhile, consists of position-based
education, AEC trainee education, and skill acquisition
support education. Both of these educational systems enhance developmental opportunities by providing off-thejob training (Off-JT) for all employees according to theirwork experience and qualifications, as well as selective
programs for those recommended according to their work
performance and abilities.

Minded Employees identified areas where students haddifficulty in speaking, such as sentence structure, vocabulary, pronunciation and fluency, and offered tailoredsupport to overcome these weaknesses. To encourage
students to focus on achieving their own objectives, we
asked each of them to submit a goal achievement sheet
and report on their performance and successes at the endof each month. All three of the employees who took partclearly showed improvement in their English-speaking
abilities in testing upon completion of the course.
New courses for employees with intermediate-level English were offered to cultivate study habits and improve
TOEIC scores. Based on these courses, 7 out of 10 participants improved their TOEIC scores. We will continue
to implement the courses in FY2022 to support improving the language skills of our employees.
The Short-term Study Abroad Program offers opportunities to our employees to attend foreign language schools
for three to six months in order to develop their practical business skills in a foreign language and foster theirglobal mindset. Unfortunately, we were unable to deploy
any students via this study abroad program in FY2021 toprevent the spread of COVID-19. Central Glass Co., Ltd.
plans to continue to offer this opportunity to candidates
in the future while confirming the state of travel to othercountries. In FY2022, we will also support our employees
who will transfer overseas in becoming better at adapting
to different cultures and values by sending them to outside training programs which nurture a global mindset.

Corporate GovernanceCentral Glass’s Education System

35

Society

Coexisting with local communities is essential for a company to survive.
The Central Glass Group strives to not only coexist but also grow together
with local communities as a member of society through social contribution
activities.

The Sakai Manufacturing Site and Central Glass Plant Services Co., Ltd. Sakai Plant, together with people from several
other companies in the neighborhood, regularly clean the
harbor roads in front of the manufacturing site used to transport cargo in accordance with the annual plan as an initiative
based on the municipal law to promote the beautification of
Sakai City—a city designated by government ordinance.
In FY2021, 20 to 30 people each from both companies
took part in the cleanup activities that included pulling
weeds and collecting trash on the sidewalks according to
the annual plan for two cleanup efforts during the year.
The Osaka Bay Clean Campaign, which has regularly beenorganized by the Osaka Port and Harbor Bureau and otherorganizations, was canceled in FY2020 due to measures toprevent COVID-19 spread. Scheduled to resume in November of FY2021, the campaign was carried out by a total of
168 people from 27 administrative bodies and neighboring
companies, including participants from our Sakai Manufacturing Site and Central Glass Plant Services Co., Ltd.

Other Regional Activities
Plant Name

Matsusaka
Plant

・Participation in the Matsusaka Street Cleanup activity
organized by Matsusaka City (once monthly)・Participation in the Matsusaka City Environmental
Partnership Conference and SDGs Conference
・Blood drive by request of the Mie Red Cross Blood
Donation Center (twice a year)
・Participation in the Mie Prefecture Industrial Waste
Management Promotion Council (Chaired by Central
Glass Co., Ltd. in FY2021)

Road Gutter Cleanup in the Chikko District
The Osaka Bay Clean Campaign

36

Central Glass CSR Report 2022

Activities at Individual Plants

Kawasaki
Plant

・Regular cleanups of roads around the plant
・Regular exchange of information concerning theenvironment and safety with neighboring plants in the
Kawasaki Industrial Complex
・Participation in Tokyo Bay General Survey for Water
Environment (Analysis of and report on water quality inTokyo Bay near the plant)
・Participation in joint disaster drills with neighboringbusiness sites in the Ukishima DistrictSociety

Ube Plant

・Volunteer donations by employees to Ube City for the
100th anniversary of its founding
・Cleanup activities for city and prefectural roads on ourplant-wide 5S Day (once a month)・Cleanup activities around Lake Ono (once a year)
・Forest maintenance activities to protect water resources(once a year)
・Cleanup activities in Tokiwa Park (once a year)
・Protection and cultivation of the grasslands at Akiyoshidai Quasi-National Park (once a year)
・Cleaning of roads with road sweepers (every day)・Cleanup activities around Ube Higashi Port (once a
year)
・Participation in regional Responsible Care Meeting in
the Ube District (once every two years)

Regular Cleanup of Harbor Roads

Presentation Ceremony at the Mie Prefecture Council of Workers’ Welfare

Activity Description

Employees

The Central Glass Labor Union (Matsusaka Branch) has
established a committee to promote social contribution
activities as part of its activities intended to give back to
the local community. In FY2021, we participated in the“Randoseru Gift with Memories” Project, conducted by
the Japanese Organization for International Cooperationin Family Planning (JOICFP), through our parent organization, the Mie Prefecture Council of Workers' Welfare(Rofukukyo).
Ongoing since 2004, the “Randoseru Gift with Memories” Project enables Japanese children to help Afghanchildren go to school by providing used school bags tothem, especially to girls who are disadvantaged in termsof educational opportunities. The school bags havehelped many go to school amid circumstances in which
one in two Afghan girls is unable to attend school andmany women are unable to read or write.
A total of 12 school bags were donated through thecampaign. At a time when unrest in the world is cause forconcern, we feel that helping each other across borders
is an important and meaningful activity. The Labor Union
will continue to actively engage in social contribution andvolunteer activities.

Eight plants of seven chemical companies in the western
Yamaguchi region, including our Ube Plant, have been
engaging in dialogue with local residents once every two
years. With no end to the COVID-19 pandemic yet insight, each organization searched for a way to hold the13th meeting, and as a result, we settled on holding the
dialogue in a written format using a questionnaire.
The questionnaire was distributed to neighborhood associations prior to the event, asking for their opinions andquestions that come up on a day-to-day basis. Individual
responses were provided, allowing for sufficient exchangeof opinions even in a written format.
We will continue to foster communication with local
residents to build safe and secure business sites together
with everyone in the community.

Quality

Regular Cleanup of Harbor Roads

The Matsusaka Plant cleans out the gutters along theroads in the Chikko District as one local contribution activity.
The Matsusaka Plant takes seriously the imposition
caused by the scattering of its raw material debris. We
therefore have taken the initiative in offering to lend a
hand in cleaning the roadside gutters in the district.
This cleanup activity has been incorporated into theactivities of the neighborhood association in the Chikko
area adjacent to the Matsusaka Plant, and the Chikko
neighborhood association has expressed its gratitude.
This initiative also helps revitalize communication withthe local residents.
Compared to before participating in this cleanup activity, there are more opportunities for people to approachand talk to us such as during clean-up patrols, and weare able to share information and listen to requests earlyon.
To prevent the spread of COVID-19 in FY2021, theMatsusaka Plant coordinated with the local Chikko neighborhood association to adjust the schedule to clean theroadside gutters.
We will continue to engage in local contribution activities with the aim of maintaining an environment where
everyone can live with peace of mind as well as further
facilitating communication with the local community.

Environment and Safety

Randoseru Gift with Memories Project

Road Gutter Cleanup in the Chikko District

13th Regional Responsible Care Meeting in
the Western District of Yamaguchi

Corporate GovernanceCoexisting with Local
Communities

・Contribution of various funds raised to social welfare
activities
・Provision of support for a project conducted by the
Osaka Port Cleanup Association in Sakai Semboku Port
Matsusaka
to ensure the safety of ships navigating through the port
Plant Sakai
and protect the environment
Manufacturing
・Deployment of employees as needed to support rescue,Sitefire suppression and first aid in case of a large-scaledisaster as a member of the Sakai Disaster Response
Committee
・Blood drive at the Sakai Manufacturing Site

Central Glass CSR Report 2022

37

Activities at Individual Plants

Ensuring Community
Safety and Security

Security and Disaster Prevention Activities

Central Glass CSR Report 2022

Matsusaka Plant
Address	1521-2 Okuchi-cho, Matsusaka City, Mie Prefecture
Number of Employees
297 (as of March 31, 2022)
Major items produced	Automotive safety glass	Architectural and automotive
float glass
Architectural fabricated glass
Acquired certifications ISO 14001 (April 2000)
ISO 9001 (November 2003)
IATF 16949 (June 2018)

Matsusaka Plant manufactures flat glass using the world’s
only duplex equipment capable of employing a consecutive
double-sided polishing method. We also manufacture fabricated glass for automotive and architectural applications.
Because the production of glass consumes large amounts
Masaaki Kawase of energy and resources, Matsusaka Plant has long been
Plant Manager
committed to environmental conservation activities. All emMatsusaka Plant
ployees, including those of our business partners, are informed of our environmental policy, and are working to achieve the environmental goals for our plant, departments, and individuals.
Matsusaka Plant regards energy conservation and the reduction of greenhouse gases to be critical medium- and long-term issues. To achieve carbon
neutrality and the SDGs, we are making improvements by reducing loss, installing energy-saving equipment as part of major renovations, and improving operational techniques. Amidst the difficulty of disposal in Japan, we continually
aim to reach higher levels of waste reduction, as well as make efforts to recovervaluable commodities from waste, one example of which is recycling almost all
the waste glass we produce. Matsusaka Plant has also installed equipment thatprocesses wastewater and ensures concentrations far below the values set inlocal agreements to provide safety and security to the region.
Each of our employees is continually working to achieve growth and improvement, based on our philosophy, “Creating a Better Future Through Monozukuri.”
We will continue to appreciate and contribute to local communities and work to
make our plant safe and happy.

Integrated Office Comprehensive Disaster Prevention Drill(Matsusaka Plant)

Matsusaka Plant is continuing groundwater purification treatment after discovering groundwater containing arsenic and lead in 2002 and groundwater containing fluorine in March 2020.

Comprehensive Disaster Prevention Drill, Earthquake Simulation (Matsusaka Plant)

38

Message from the Plant Manager

Activities at Individual Plants

Each plant of Central Glass Co., Ltd. lays a foundation foraround-the clock safety and disaster prevention systems
with a slogan of “Safety First.”
We systematically conduct disaster prevention drills
that anticipate earthquake-related leaks and fires, as wellas tsunami evacuation drills together with everyone on theplant premises including people from affiliate or partnercompanies.
Our plants will continue to conduct these security anddisaster prevention drills to ensure a safe and secure
plant for the entire local community.

Kawasaki Plant is continuing groundwater purification treatment as a result of contamination from a leak of 1,2-dichloroethane in 1982.

Society

Nighttime Mobilization and Comprehensive Disaster
Prevention Drill (Ube Plant)

Joint Disaster Prevention Drill with Neighboring Business Sites
in the Ukishima District (Kawasaki Plant)

Employees

Address	5253 Okiube, Ube City,
Yamaguchi Prefecture
Number of Employees
657 (as of March 31, 2022)
Major items produced	Fluorine products, otherchemicals
Acquired certifications	ISO 14001 (December 2000)
ISO 9001 (December 1997)
ISO 45001 (April 2020)

Quality

Ube Plant

Ube Plant, established in 1936 and located in the coastal industrial region of Ube along the Seto Inland Sea, began withsoda production and expanded to production of fertilizers
and fine chemical products. Today, Ube Plant primarily manufactures fine chemicals containing organic and inorganic
Isamu Mori
fluorine compounds from raw materials such as hydrofluoric
Plant Manager
acid. Its product lineup includes etching gas, general inhalaUbe Plant
tional anesthetics, and blowing agents for building insulation
foam, all of which enjoy top global market shares. In particular, all the cleaninggas products for semiconductor processes developed by Central Glass are environmentally friendly with zero Global Warming Potential (GWP). In addition, the
GWP of our general inhalational anesthetics has been found to be extremely low
compared to competing products. We also manufacture non-CFC fluorocarbon
products with a next-generation low GWP. Through this type of manufacturing,
our plant is actively striving for eco-friendly businesses.
As plant initiatives to reduce greenhouse gases, we optimize the operation
conditions of each factory and adopt high-efficiency equipment. In FY2021 weachieved a 78.5% reduction in CO2e emissions compared to FY2013 by transitioning the fuel we use from heavy oil to city gas.
As waste reduction initiatives, we have installed equipment to recover the
raw material fluorite from the liquid waste of manufacturing processes, and toincinerate some of the waste oil from each factory. These efforts work to recycle
resources and reduce the final disposed amount of waste.
In April 2020, we completed transitioning our occupational safety management system from OHSAS18001 to ISO 45001. We will continue to maintainand improve a safe, secure, and healthy working environment.

Address	10-2 Ukishima-cho,
Kawasaki-ku, Kawasaki City,
Kanagawa Prefecture
Number of Employees
232 (as of March 31, 2022)
Major items produced	Inorganic chemicals, organic
chemicals
Acquired certifications ISO 14001 (May 2007)
ISO 9001 (July 2001)

Environment and Safety

Message from the Plant Manager

Kawasaki Plant

Kawasaki Plant mainly produces fine chemical products,
such as our next-generation low GWP fluorine-based foam
blowing agent HFO-1233zd (E); our next-generation fluorinated solvent HFO-1233zd (Z), which offers both excellent
environmental performance and high cleaning perforShigeru Suenaga mance; pharmaceutical intermediates; photoresist materiPlant Manager
als; and lithium-ion battery electrolytes.
Kawasaki Plant
We actively promote 3R (Reduce, Reuse, and Recycle)
activities for the byproducts produced during the manufacturing processes ofthese products by reclaiming or recycling flammable waste oil and recycling
sludge. Kawasaki Plant has reduced the amount of final waste disposal bymore than 90% compared to FY2000. These environmental activities havebeen recognized by the city of Kawasaki, and Kawasaki Plant has been certified
as a business site taking environmental action, as defined by the city’s bylaws.
Kawasaki Plant is a business located in a petrochemical complex handling awide range of hazardous materials that is stipulated as a special disaster prevention area. Therefore, we strive to prevent accident and disasters through security and disaster prevention activities, from specific disaster prevention drills
at each business site to all-inclusive disaster prevention drills carried out withall related parties.
Considerations about the environment and safety will always be necessary.
Kawasaki Plant will continue to strive in environmental and safety efforts in the
future.

Corporate Governance“Creating a Better Future Through Monozukuri ”— Each plant of the Central Glass Group strives to achieve this goal by carrying out production
activities in a way that ensures a stable product supply based on aroundthe-clock safety and disaster prevention systems. The Central Glass Groupwill contribute to the establishment of a truly prosperous society throughits products while always considering the environment in each region andcommunicating with the local people.

Message from the Plant Manager

The Sakai Manufacturing Site suspended flat glass production in March 2022 as part of our efforts to restructure our glass business.
Central Glass CSR Report 2022

39

Central GlassInternational
Architectural
Design Competition

56th Theme: Interpathetic Spaces
Central Glass Co., Ltd. has held the Central Glass International Architectural Design Competition since1966. We invite renowned professors in the field of architecture in Japan as judges and also gather students
interested in architecture and architects at the forefront of the field from Japan and overseas. In 2021, judges selected the grand prize winner from among a total of 268 entries, of which 67 were from abroad.
We live in a time in which we need to pursue economic efficiency and rationality while simultaneously
preserving the natural environment and protecting historical and traditional cultures. As a company that
promotes architectural culture, we believe that it is highly meaningful for us to provide occasions to contemplate a desirable society and environment through this competition.

56th First Place Winner

Project Title

Ke Zhang (Freelance, United States)

BUILDING TOWARDS INTERPATHY:
RE-ENVISIONING THE ART OF
UKIYO-E

Central Glass International Architectural
Design Competition Judges
Chief Judge

Hiroshi Naito
Naito Architect & Associates

Kengo Kuma
Kengo Kuma & Associates©The Courier

Tadao Kamei
Nikken Sekkei Ltd.

Jun AokiAS

Project Description

The fear of corona-virus has left the entire human race questioning ourselves, howshould we address the fundamental human needs to simply feel, to connect, and to participate in a new era that is challenged by both the pandemic and the dominance of virtual reality & AI? I believe interpathy has always been the answer.
Floating in Tokyo Bay, this temporary structure is set to open every summer and celebrates ichi-go ichi-e — treasuring the unrepeatable nature of each moment.
It will introduce new spatial possibilities within 5 different zones reflecting our natural
psychological vulnerabilities. In the first zone, encounters are reminded of the past collectively in the same space. In the second zone, we build trust and empathy among eachother. In the third zone, visitors pray for inner peace under the feet of a gigantic Buddha.
In the fourth zone, the spiritual dragon will accompany each visitor as our guide. The
fifth zone celebrates unexpected moments in our daily life.

©Masakazu Yoshiba

Goichi Kamochi
Obayashi Corporation

Yoshiharu Tsukamoto
Atelier Bow-Wow

Remote Judging

This time, as a countermeasure against COVID-19, judging was held remotely, moderated by Shinkenchiku-Sha Co., Ltd. The selection of the first and second place winners
and honorable mentions was all streamed live online.

Concept of the CSR Report 2022 CoverPage
CSR Report
Corporate Social Responsibility Report2022

The integration of glass and chemicals—coreCentral Glass businesses—gives way to new
solutions. The birth and development of new
businesses from the fusion of these different
domains are illustrated visually with two coloredarches blending into a new color. The color harmonyand soft shapes also demonstrate the close
relationship between Central Glass and society.

Contact: Environment and Safety Department
Kowa-Hitotsubashi Bldg., 7-1 Kanda-Nishikicho 3-chome, Chiyoda-ku, Tokyo, 101-0054 Japan
TEL.03-3259-7359 FAX.03-3259-7394 http://www.cgco.co.jp/

Yoshitada Makihata
Central Glass Co., Ltd.
Director, Executive Managing Officer