The JSR Group mission is to contribute to the realization of a more prosperous society through our business activities. In this process, it is important that we act with integrity as a good corporate citizen and live up to the trust that our stakeholders place in us. Our Group CSR represents the initiatives we employ to successfully achieve our mission and as such we view CSR as a key management issue.

Corporate Philosophy and Management Policies

Basic Approach to Corporate Ethics

●Contribution and Responsibility to Society:

Obey the law, and conduct business activities as a responsible member of society; contribute to the betterment of society as a good corporate citizen. Furthermore, strive to conserve the environment and ensure safety; co-exist with society.

●Trusted Management:

Provide appropriate and timely disclosure of information to shareholders; engage in highly transparent management, and increase corporate value, continually earning the trust of our shareholders.

●Services and Responsibilities to Customers and Other Business Partners:

Interact in good faith with all business partners, maintaining fair and equitable relations while providing high-quality services.

●Respect for the Individual:

Respect employees as individuals, ensuring a discrimination-free, safe and comfortable work environment.

●Relations with the Company:

It is our responsibility to all of our stakeholders to be vigilant against damage to corporate value in any form, including intangible factors, such as societal trust and corporate character.

Management Policies related to Workplace Safety, the Environment, Quality, and Product Safety

●Workplace Safety:

Continue our record of accident- and disaster-free operations, ensuring the safety of our employees and the local community, as we coexist with society.

●Environment:

Reduce environmental impact throughout our entire business cycle?from product development to product disposal?doing our part to preserve the environment.

●Quality:

Offer quality products and services that both meet customer requirements and ensure user safety.

●Product Safety:

Verify safety at all stages?from raw materials tofinished product?protecting the health and property of all individuals involved.

Basic Approach to Risk Management

• ●Our Group believes that preventing a major crisis from occuring and minimizing its effect on business activities is an important role of management. The Group has established a Risk Management Committee, and actively pursues risk management activities.

Basic Approach to Social Contribution

• ●Our Corporate Philosophy dictates that we make a contribution to society through our business activities. Further, as a responsible member of society, we are actively engaged in providing solutions to society’s requirements and issues.
• ●We are continuously engaged in positive social contribution activities, capitalizing on our “chemical/technological” knowledge and skills that form the core of the JSR business.
• ●Every employee is a point of contact between the Company and society. We actively support our employees in their voluntary participation in social contribution activities.

Key Stakeholders Involved with the JSR Group

Based on the understanding that everything begins from society’s expectations, JSR emphasizes dialogue with stakeholders to avoid making self-serving decisions.

System to Promote CSR

The JSR Group reorganized its system to promote CSR in June 2008. The Group works to improve initiatives as a whole, having established a CSR Department to support CSR advancement as well as the following four committees: the Corporate Ethics Committee, which works to establish corporate ethics and prevent misconduct; the Responsible Care Committee, which aims to achieve a sustainable society by advancing “responsible care;” the Risk Management Committee, which seeks to further improve risk management systems; and the Social Contribution Committee, which examines and advances the social contribution activities in which the Group ought to engage.

Measures to Raise Awareness at Group Companies

JSR held CSR Report Presentations at each worksite of all divisions in Japan, including group companies, and distributed the JSR Group CSR Handbook as part of efforts to raise awareness of CSR throughout the Group.

CSR Handbook

CSR Report Presentation

Extending CSR to the Supply Chain

In FY2010 (April 1, 2009 to March 31, 2010), we investigated the systems necessary for CSR procurement so we can implement CSR not only within the JSR Group, but throughout the entire supply chain. We also made visits to some suppliers and conducted briefings on CSR. We hope to fully implement CSR procurement in FY2011.

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