Tohoku University’s Regional Innovative Producer School for entrepreneurs will receive a contribution of ¥100 million ($1 million) from The Prudential Foundation, a nonprofit corporation funded by U.S.-based Prudential Financial, Inc., to support business leaders who can spark the economic recovery of regions affected by the Great East Japan Earthquake and Tsunami that struck in March 2011.

Contributions of ¥30 million will be made each year over 3 years starting in June 2014, totaling ¥90 million. It is part of a larger ¥600 million ($6.0 million) plus commitment made by The Prudential Foundation to support relief, recovery and rebuilding in the aftermath of the disaster. It will facilitate the university’s development of small- and medium-sized businesses that can boost the economies of the Miyagi, Iwate and Fukushima prefectures, which were among the hardest hit.

Immediately following the Great East Japan Earthquake, Tohoku University established the Institute for Disaster Reconstruction and Regeneration Research to guide the recovery effort. The Institute has since implemented eight disaster reconstruction projects, including the Local Industry Reconstruction Support Project led by the Regional Innovation Research Center in the Graduate School of Economics and Management. This project conducts research to support business and cultural revitalization in the Tohoku region. It also operates the Regional Innovative Producer School, which establishes new local business endeavors that can strengthen economies.

“We are extremely proud to partner with Tohoku University in its efforts to foster future business leaders with ideas for restoring the economies of these devastated areas,” said Lata Reddy, vice president, Corporate Social Responsibility at Prudential Financial, Inc. and president of The Prudential Foundation. “The university’s work with local small- and medium-sized businesses reflects our own interest in helping regions that have been devastated by natural disasters and creating permanent solutions that could shorten the recovery time from future disasters.”

To date, more than ¥500 million ($5 million) in grants have been invested to support immediate relief and recovery efforts. The Prudential Foundation is committed to help with recovery and long-term development across the region.

RIPS Graduates Selected to Spark Economic Recovery

After a competitive review and selection process conducted by a Review Committee chaired by Mr. Morimoto, Head of Tohoku Economic & Industrial Bureau, the following RIPS graduates were selected to receive funding and technical assistance to support the implementation of their innovative business plans in 2014.

Recipient   Company   Location   Business   Overview   Grant
Chikako Ise (47)   Representative, Irina Musical  

Sendai City,
Miyagi Prefecture

  Business to support personal growth through exposure to musicals (“Broadway Entertainment Innovation” from Tohoku)   Effort to transform existing musicals business model into a profitable educational business by incorporating new values including human education and formation of communities  

¥10 million

Eita Saito (33)   Managing Director, Saito Orimono K.K.  

Kawamata-cho,
Fukushima Prefecture

  Develop next-generation and highly-functional silk; develop domestic and overseas distribution channels   Develop technology so that high quality silk can be manufactured and handled easier and transform silk into an upscale but also casual material; expand market share and brand value of the company   ¥10 million
Yosuke Hakozaki (36)   Representative Director, Hakoshou Shokuhin Kogyo K.K.  

Hanamakai City,
Iwate Prefecture

  Create new value in foods by leveraging Japanese traditional “dashi” (soup stock) production skills   Use Japanese traditional “dashi” production skills to develop “dashi” made from new raw produce; establish the production method as intellectual property, offer services and sell products   ¥8 million

About PFI

Prudential Financial, Inc. (NYSE:PRU), a financial services leader with more than $1.1 trillion of assets under management as of March 31, 2014, has operations in the United States, Asia, Europe, and Latin America. Prudential Financial Inc.’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds and investment management. In the U.S., Prudential Financial, Inc.’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit www.news.prudential.com.

About The Prudential Foundation

The Prudential Foundation is a nonprofit corporation supported by The Prudential Insurance Company of America, an insurance subsidiary of Prudential Financial Inc. of the U.S. The Prudential Foundation advocates for systemic change focused on eliminating barriers to financial and social mobility in the areas of meeting basic needs, connecting people to quality jobs, building personal assets and transforming communities. As a strategic investor, the Foundation makes long-term commitments that yield tangible results through both grants and program related investments.

Summary of Prudential Foundation’s Support

 
    Description
Purpose   Create new employment and derive innovative business role models among local companies and contribute to revitalization of the local economy and speedy recovery from the earthquake disaster by providing financial support and technical assistance to innovative business plans developed by RIPS graduates
Recipients   Companies and individuals in 3 prefectures affected by the Great East Japan Earthquake whereby RIPS graduates are responsible for the execution of business plans
Number & Amount of Contributions  

- Total amount: $1 million (about ¥100 million) over 3 years

- Number: 3 to 5 cases each year / Grant: About ¥30 million per year

Note: Maximum of ¥10 million per business

Selection Method   Primary screening: on paper / Secondary screening: interview by the Review Committee

Note: Chairman of the 2014 Review Committee is Mr. Morimoto, Head of Tohoku Economic & Industrial Bureau

Support Period   3 years from 2014 to 2016

Note: Tohoku University will provide assistance including periodic consulting to recipients

Reporting of Accomplishments   Business plans selected by Tohoku University will be monitored periodically to check progress and accomplishments and reported to The Prudential Foundation