Environmental Sustainability Report 2003

Environmental Targets and Results
We set environmental targets and work to achieve them—based on TEL Credoand Principles on Environmental Preservation.

On September 25, 1998, TEL established the Credo and Principles to define its approach to environmental protection.

The plans and results for FY 2003 are shown in the table below,
along with plans and targets for FY 2004 and beyond.

TEL promotes its environmental protection activities on theCredo and Principles.
Environmental Targets and Results
FY 2003 PlanEHS
Management System

Plans and Targets for FY 2004 and Beyond

See

Implemented LCA for all products

Apply LCA to all new products

P12

Promote the introduction of lead-free solder

Eco Design Working Group studied leadfree solder and set target dates for introduction

Start task teams with representatives of eachbusiness unit, and go fully lead-free by the endof 2005

P13

Promote green procurement

Helped low-ranking suppliers (based on
the results of assessments) make improvements

Re-assess suppliers, review business relationships

P14

Study potential to achieve zero emissions. Set targets

Defined the concept of zero emissions in
the context of TEL businesses. Set targets and deadlines

Achieve zero emissions at all production facilities FY 2006. Increase whole TEL recycling rate
to over 90%

P16

Reduce energy consumption (by 1% CO2 emissions
per unit of sales, based on the Law Concerning theRational Use of Energy)

As a result of energy conservation efforts at each location, reduced energy
conservation by 8% per unit of sales

Promote further energy conservation. Achieve
1997 standard levels of energy use per unit ofsales

P17

Determine amounts of chemicals used that are subject to PRTR reporting

Succeeded in determining amounts

Continue monitoring amounts of existing andnew chemicals. Reduce amounts used

P19

Expand EHS activities in overseas factories

Determined conditions overseas

Take next steps based on information obtained—Develop global EHS organizational structure

Created Global EHS Committee. Established four working groups and reviewed
entire organization

Expand activities in each organization. Communicate smoothly with overseas operations

P21

Implement TEL Eco-Activity (basic environmentalmanagement system) at office facilities

Launched activities at each location

Promote activities further. Work toward
ISO14001 certification at Tokyo Electron Device

P22

Introduce occupational health and safety management systems at production facilities

Introduced at many locations. Implemented risk assessments and risk reduction plans

Promote introduction at facilities not yet covered. Promote risk assessments and risk reduction plans

P22

Develop EHS assessment system

Trained assessors and conducted EHS
assessments at two facilities

Promote assessments at facilities in Japan, andconsider applying at production facilities overseas as well

P23

Promotion of activities at overseas offices

Started to assess activities in each region and started to prepare educational
materials

Implemented environmental education, considered introduction of environmental management
system, including TEL Eco-Activity, etc—

Achieved target

Promoting Environmentally-friendly
Product Design—Industry-WideTEL is following two tracks to reduce the burden on
the environment. One focus on the impact that occurs
when our customers use our products and the other on theimpact from our own production processes.
In design and development, we make an effort to consider whether it is possible to use gases with low greenhouse gas coefficients and reduce the amounts of purewater and electricity consumed when customers use TEL
semiconductor production equipment. We do not stop
there, of course. We also work through other initiatives
such as holding seminars to raise the overall industry’s
awareness about environmental impact.

9Evaluation

Introduce life cycle assessment (LCA)

Eco Products

Eco Factories

Results

TOKYO ELECTRON Environmental Sustainability Report 2003

Achieved 80% of target

Meanwhile, in terms of production activities of TEL,
we are aggressively promoting efforts to raise our recycling rates at factories nationwide in Japan. We are implementing efforts to achieve “zero emissions” this fiscal
year in the Kyushu region, in the Tohoku region in FY
2005, and in the Yamanashi region by FY 2006. We also
believe that by shortening manufacturing lead times forsemiconductor production equipment and eliminating
waste on the assembly line, we can not only reduce production costs, but also considerably reduce environmentalimpact. TEL has traditionally had a culture that emphasizes safety in production activities, but at the same time,
we are actively working to consider the environment.

Achieved less than 80% of target

Masaki Kaneko
Director, Environment,
Health & Safety Center,
Tokyo Electron Limited