E H S R E P O RT

Environmental Initiatives in Transportation
The Tokyo Electron Group regards implementing environmental measures in transportation as one ofits priorities. We are committed to reducing environmental impact and promoting the effective use ofenergy and resources in our transportation activities.

Our Approach to Environment-FriendlyTransportation

Packaging Methods for Products
Environmental Impact of Transportation
The Revised Energy Saving Act designates shippers who transport 30 million ton-kilos or more a year as specified shippers
and they are requested to reduce CO2 emissions from the transportation of their cargos.
Freight Transportation Amount(10,000 ton-km)

5,242
4,028

3,837

’05

’06

2,934

The Tokyo Electron Group manufactures and delivers precision
machines, which are generally far larger than ordinary products
and require special packaging methods and skills. What is more,
all of our products are different sizes. Taking the environment aswell as the size and weight of each product into account, we try
to transport our products safely and economically. For example,
we use reinforced cardboard as packaging material to shorten
the time required when opening a package. In delivering largemachines, we usesteel to reduce thepackaging volume
while maintaining
the strength of thepackaging.

0’04

’07

(FY)

(Calculated for major Group products transported in Japan and based on a given load per vehicle)▲ Packaging using steel

T O P I C SRealizing that CO2 emissions from automobiles account for a large
percent of the overall CO2 emissions during transportation, industries are making a modal shift from transporting freight by truck to
the use of rail and marine transportation.
The Tokyo Electron Group manufactures precision machines,
which require special transportation methods. Accordingly, we used
to deliver our products on individual trucks. However, we studied theuse of rail and marine transportation in cooperation with our shipping agents and transportation companies and verified that rail and▲

Modal ShiftFreight from the Group
being driven onto a ferrymarine transportation is as efficient astransportation by truck in terms of timeand costs, quality and safety. As aresult, we started trial transportation ofour products by ship in May 2007. We
now intend to look at expanding
delivery by ship as part of our proactive efforts to reduce CO 2emissions in the transportation of our products.

TOKYO ELECTRON Environmental and Social Report 2007

23
Environmental Initiatives in Transportation* Modal shift: A shift from conventional freight transportation by truck to marine andrail transportation for mass transport

EHS REPORTIn April 2006, Japan’s Act Concerning the Rational Use ofEnergy (Energy Saving Act) was revised and regulations ontransportation were strengthened with the aim of reducing globalwarming. Accordingly, there are now increasing demands toreduce the environmental impact caused during transportation.
In response, the Tokyo Electron Group has been actively
reducing the environmentalimpact caused by the transportation of its products. Forexample, we introduced lowemission trucks to transport
our products and started touse returnable containers fortheir delivery. Also, we give
first priority to driving safety
in delivering products to ▲ Reusable covers used for delivery tosuppliers
customers.

In FY 2007, the Tokyo Electron Group’s freight transportation amount within Japan amounted to 52.42 million ton-kilos(weight of major products transported multiplied by their transportation distance) and the freight transportation amount for
TEL alone exceeded 30 million ton-kilos. As a result, we were
designated as a specified shipper under the Energy Saving Act.
Our transportation amount increased because of an increase in
the number of shipments and an increase in the weight per
product.
At present, we calculate our transportation amount in freight
ton-kilos based on a given load per vehicle. In the future, we willmeasure the transportation amount and distance and CO 2
emissions from the transportation of our products in a moreaccurate manner, while examining measures to reduce our CO2
emissions, including a modal shift* to rail and marine transportation. (See the TOPICS below.)