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CORPORATE NEWS [latest news list] June 26, 2008
"CSR Report 2008" for the Daikin Group

"CSR Report 2008"

Daikin Industries, Ltd. has issued its "CSR Report 2008" summarizing CSR (Corporate Social Responsibility) activities in the Daikin Group from April 2007 to March 2008.

The report serves to inform various stakeholders regarding CSR within the Daikin Group and deepen their understanding of activities undertaken by Daikin to achieve it.

Centering on areas believed to be of highest interest to each stakeholder, this year's edition includes chapters concerning "CSR Management," "Environment," "Products and Technologies," "Human Resources," and "Social Contribution."

"Activities for confronting environmental problems," an area of greatest concern to Daikin, will be announced in feature articles highlighting the efforts Daikin is making in the development and promotion of products applying environmental technology such as heat pumps and inverters. The intention to use this expertise as an engine for both environmental support and company growth is expressed in the strategic business plan "Three-Year Plan for Last Half of FUSION 10."

Daikin will realize further development as a company group and contribute to the continuous development of society by executing our social responsibility to all stakeholders through our business activities.

Both the English version and Chinese version will be posted on the website in a PDF file format in September.

Features of "CSR Report 2008"
1. Feature Articles on the Main CSR themes of "Environment," "Products and Technologies," and "Human Resources"

  Feature Articles:
  "Contribution to Prevention of Global Warming Using Heat Pump Technology"
"Promoting Reduction in Greenhouse Gases at Factories around the World"

  Activities to develop and promote products applying environmental technology such as heat pumps and inverters as well as activities to reduce greenhouse gases at factories around the world are introduced as special topics in "Environment."
  (1) Reduction of CO2 emissions worldwide by development and promotion of heat pump heating systems
  (2) Global promotion of inverter air conditioning systems with high energy efficiency
  (3) Thorough reduction of greenhouse gases (CO2, HFC, PFC) discharged from the production process

  Feature Article: "Realization of 'Comfort' in After-sales Service"
Activities to improve service quality to customers worldwide are introduced in the special topics of "Products and Technologies."
  Feature Article: "Foundation of Group Development is the Sum of Growth of Individual Workers"
Feature article of "Human Resources" introduces development of human resources to realize the diverse potential of the 36,400 workers in the Daikin Group.

2. Environmental Targets and Strategic Themes Newly Established in Strategic Business Plan for 2010
Environmental targets and strategic themes were established in the strategic business plan "Three-Year Plan for Last Half of FUSION 10" to realize both prevention of global warming and company growth.

  (1) Reduction of greenhouse gases emissions during production
Reduce greenhouse gas (CO2, HFC and PFC) emissions by 50% as a whole group compared to 2005 fiscal year (1.4 million tons or less)
  (2) Contribution to the reduction of environmental impacts with products taking advantage of the Daikin energy saving technology
    1) Promotion of inverter products to all countries of the world
- Introduce inverter equipment to the China market, which is primarily comprised of non-inverter equipment
- Develop inverter equipment for the large-size air conditioner market
- Expand sales of hybrid hydraulic pressure products to China, USA and Europe
    2) Replacements utilizing heat pump type heating systems
- Development of a heat pump type heating system/hot-water supply products that meet local needs in such regions as in Europe, USA and China
    3) Advance forward with new refrigerant for air conditioners
- Development of an air conditioner using a natural refrigerant (CO2) and a refrigerant with low global warming potential

3. Results of Environmental Activities in Fiscal Year 2007
In fiscal year 2007, the targets for decreasing environmental impacts at production facilities and for products have largely been achieved.

  (1) Greenhouse gas emissions for the entire group (in production) have been decreased by 83% compared to the reference year.
- Fluorocarbon emissions have been decreased 34% compared to fiscal year 2001. Emission rate per handling amount was 0.6%, a decrease of 1.7% compared to fiscal year 2001.
- Energy saving activities such as the introduction of a cogeneration system have been promoted at plants in Japan. CO2 emissions per sales amount for entire group have decreased by 25% compared to fiscal year 2000.
  (2) Decrease in environmental impacts in production
- Maintain elimination of waste material from production plants in Japan (recycling rate: 99.5%)
- The emissions of substances targeted under the PRTR law have decreased by 63% compared to fiscal year 2005.
  (3) Decrease in environmental impacts of products
- Maintain the top level of energy saving performance ("Ecocute" , water heaters with CO2 refrigerant and "Hot Eco VRV" , commercial air conditioners for cold region won the Energy Conservation Grand Award in 2007)
- The new type of the "Ecocute" package decreased about 50% of the amount of packaging material used. (Won the 'Japan Star Award' of the Japan Packaging Institute and the 'World Star Award' of the World Packaging Organization)

  For more information, please contact
     Daikin Industries, Ltd.
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