C.I. TAKIRON Group

Integrated Report 2021

Revision of the C.I. TAKIRON Group

Corporate Philosophy as the Foundation

The C.I. TAKIRON Group has established

a new Group Corporate Philosophy with the hope of

becoming a necessary corporate conglomerate always trusted by society.

As the world encounters more serious social issues,

our Group will contribute to the realization of a sustainable society

by pursuing the potential of tomorrow.

Editorial Policy

We publish this report for the purpose of deepening communication with all of our stakeholders by providing information about ESG management as well as the basic sustainability concepts and specific initiatives of the C.I. TAKIRON Group.

Reporting Period

FY2020 (April 1, 2020 to March 31, 2021)

* This report includes some information outside of this reporting period.

Reporting Organizations

C.I. TAKIRON Corporation and its Group Companies

Publication Date

October 31, 2021

Introduction of Communication Tools

We cover basic information about the C.I. TAKIRON Group on the company homepage while comprehensive management information is published in the annual report.

Corporate Information

https://www.takiron-ci.co.jp/corporate/

Annual Report (IR Information):

https://www.takiron-ci.co.jp/ir/

Main Reference Guidelines

Ministry of Economy, Trade and Industry Guidance for Collaborative Value Creation

Ministry of the Environment Environmental Reporting Guidelines

International Integrated Reporting Council (IIRC) International Integrated Reporting Framework SDG Compass

GRI (Global Reporting Initiative) Sustainability Reporting Standards

Inquiries regarding this report:

Corporate Planning Department Corporate Communication Group

Tel: +81-3-6711-3718

2

C.I. TAKIRON Group Integrated Report 2021

Group Corporate Philosophy

Mission

Creating a people- and earth-friendly future

That is to say, we will carry on fulfilling our responsibility and role in people's lives and the global environment. And to do so, we will tap into the various business resources we have built over the years.

Since our founding in 1919, the C.I. Takiron Group has been supporting people's daily lives and creating a better tomorrow, and we will continue to be a corporate group that provides peace of mind and comfort for the future.

Aspired Corporate Culture

Pride in our accumulated value and the courage to transform

These are things that are important for us to have in order to achieve our Mission.

While remaining proud of the fact that we have refined our technology and built up trust over the past 100 years, we will continue to nurture a corporate culture that never settles for the status quo, is willing to transform, and always has the courage to boldly take on new challenges.

Sustainability Vision

Corporate Message

Supporting Today, Changing Tomorrow

The C.I. TAKIRON Group supports the lives of people today and always works to build a better future for people and the environment with the courage to change toward more prosperous, comfortable lifestyles of tomorrow.

CONTENTS

Corporate Value

History of Social Issues and C.I. TAKIRON Tenacity .............................

4

Business Overview .............................................................................

6

Financial/Non-financial Highlights ......................................................

8

Value Creation Process ....................................................................

10

Top Message ...............................................................................

12

Vision and Strategies

FY2021-FY2023Medium-term Management Plan ...........................

19

Sustainability Vision .........................................................................

22

Materiality .......................................................................................

24

Business Strategy

Construction Materials Division ...................................................

26

Environmental Materials Division .................................................

28

High Functional Materials Division ...............................................

30

Specialty Films Division ................................................................

32

R&D Department ........................................................................

34

Environmental Report

Environmental/Decarbonization Initiatives ........................................

36

Environmental Index ........................................................................

38

Environmental Accounting ..............................................................

41

Sociability Report

Human Resource Strategies .............................................................

42

Health and Safety ............................................................................

46

Dialogue with Stakeholders .............................................................

48

Local Communities ..........................................................................

52

Governance

Corporate Governance ....................................................................

54

Compliance Risk Management ........................................................

58

Directors, Audit & Supervisory Board Members,

and Executive Officers .....................................................................

60

Panel Discussion with Outside Directors..............................

62

Main Financial/Non-Financial Data (Quinquennial Data) .....................

68

Corporate Profile and Stock Information ............................................

70

Business Sites ....................................................................................

71

C.I. TAKIRON Group Integrated Report 2021

3

Celluloid Sheet

Corporate Value

Social Issues and History of C.I. Takiron's Challenges

1959

Takiron Chemical Co., Ltd. changes its

corporate name to Takiron Co., Ltd.

1971

1961

Hama Kasei Co., Ltd. and Kobe Resin Co. Ltd.

merge to form C.I. Kasei Co., Ltd.

Takiron Chemical Co., Ltd. is listed

1973

on the Second Section of the

Osaka Securities Exchange.

Takiron Chemical Co., Ltd. listed on the

1935

1963

First Section of the Tokyo Stock Exchange and

changes its name to Takiron Co., Ltd.

Takigawa Celluloid Plant incorporates

Hama Kasei Co., Ltd. established.

under the name Takigawa Celluloid

1965

Co., Ltd.

1919

Kobe Resin Co., Ltd.

founded.

Takigawa Celluloid

Plant founded.

1919

1930

1960

1970

1980

History of Challenge

Our company has confronted a variety of challenges without fear to resolve social issues and address customer needs since its founding in 1919 by clearly understanding the changes in each generation.

1919

Launch of Remanufactured

Celluloid

Recycling

Remanufactured celluloid is made by making recycled celluloid sheets from the waste celluloid produced when processing new celluloid sheets (average of 20%

of waste celluloid is generated). Orders from processors boomed for these recycled celluloid sheets after the recycled product was praised for having almost the same high-quality as new celluloid sheets.

1955

Launch of Rigid Vinyl Chloride

Sheet Sales

Shift toward Materials that Meet

Product Prototype and

Market Needs

Research Group

Our research into vinyl chloride resin as flame-retardant materials began in 1948 to overcome the shortcomings of celluloids. TAKIRON Plate started sales in 1955 as a rigid vinyl chloride sheet. We began to manufacture rain gutters in 1957, rigid vinyl chloride corrugated sheet with extrusion processing in 1958, and polycarbonate plate in 1961. We also transitioned metal products (galvanized iron sheet/tin rain gut- ters) to light plastics which does not rust.

1978

Launch of Sky 8

Drip, Dust, and Mist

Prevention

Without mist

With mist prevention

Mist inside of

greenhouses

prevention

(Sky 8)

causes diseases in crops. We set

out to prevent fog and mist in greenhouses from around 1976 in light of feedback from farmers about mist forcing them to wear rain gear during work and other such concerns. After three years of testing, our research discovered a way to mitigate mist by applying a special silicone to change the disposition of wet film surfaces. This led to the acquisition of a patent and the start of Sky 8 sales in 1978.

1982

Tunnel

Trans-Tokyo Bay Highway

Umihotaru Undersea

Launch of Vynon

Aqua ATR (Current

Vynon Hydrotite)

Hydrophilic

Water Sealing Material

Vynon Hydrotite

Water-sealing/Waterproofing Panels and Shields

A specialized production method succeeded in blending and molding composite and water-absorbing resins. These panels and shields swell in water to obstruct the penetration of ground water. The product is used as segment sealant in underground tunnels and waterproofing for concrete joints. Today, water sealing materials are used in subway construction throughout Asia.

4

C.I. TAKIRON Group Integrated Report 2021

Walls: Belbien
Flooring: Neo Clean

Former Takiron Former C.I. Kasei C.I. TAKIRONNet Sales

*Net Sales 1935 to 1986: Non-consolidated; 1987 to 2020: Consolidated

(Billion Yen)

160

2017

140

Takiron Co., Ltd. and C.I. Kasei Co., Ltd.

merge and change the corporate name to

C.I. TAKIRON Corporation.

120

100

80

60

40

*2

*1

20

1990

2000

2010

2020 (Fiscal Year) 0

*1 Total from November 21, 1986 to March 31, 1987 due to change in the accounting period 

*2 Total from October 1, 1989 to March 31, 1990 due to change in the accounting period

1995

PVC Stair Treads with Sound

Absorption and Slip Resistant Function TAKISTEP

Safe Even Under Outdoor Rainy Condition

Inspired by customers' potential requests for more safe stepping on slippery steel/metal staircases, TAKISTEP - sound absorption and slip resistant PVC stair tread was developed and launched in 1995.

Indeed that happened often for a first-ever product, TAKISTEP also led problems/complaints in the initial phase, however, we have tenaciously addressed solutions for problems. These our efforts improve TAKISTEP as a stable and safe product, and create the unique installation procedure.

We also have continued to revamp quality of materials, product design, procedure of nosing form by trial productions over and over. After all these trials and errors, the unique features of TAKISTEP are recognized widely in indoor and outdoor flooring sector.

1999

2007

Launch of Lume Carbo

Large Polycarbonate

Plastic Double-layer Panel

Lightweight and Highly Rigid

with High Heat Insulation

The Lume series provides a lineup products to drive energy savings by

ting plenty of natural light into Lume Wall ings while dramatically reducing the

heat lost from openings. Applications include Lume Wall and Lume Roof.

2021

Release of Belbien (Fireproof

Launch of Flame-retardant Plastic Sales

Contributions to Fire Safety

We developed and started sales of the FM Plate product, which conformed to the FM4910* flame- retardant property standard enacted after a large-scale fire at an overseas semiconductor plant. FM Plate forms a carbon layer that acts as an oxygen shield against fire heat source. This enhances safety against fire by preventing the spread of fire and smoke.

  • The FM4910 is a flame-retardant standard for materials used in semiconductor plants and other clean rooms established by the FM Global insurance company in the United States to prevent fires.

Test Starts

Carbonization After 5 Minutes

FM Plate Burning Test

Decorative Adhesive Film) and Neo

Clean (Flooring Material) Anti-

bacterial/Anti-virus Materials

Anti-bacteria/Anti-virus

These products have an antibacterial activity value of 2.0 or higher and reduce at

least 99% of viruses. This inhibits the growth of bacteria and viruses which in turn contributes to maintaining more hygienic environments.

C.I. TAKIRON Group Integrated Report 2021

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CI Takiron Corporation published this content on 24 December 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 December 2021 15:46:05 UTC.