2010 - Hitachi Metals › e › csr › pdf › cbl_csr › ... · ers the production bases of Hitachi Cable and 14 domes-tic production companies in the Hitachi Cable Group. Furthermore,

Akihabara UDX, 4-14-1, Sotokanda, Chiyoda-ku, Tokyo 101-8971, JAPANTEL: +81-3-5256-5454 FAX: +81-3-5256-3240http: //www.hitachi-cable.co.jp/en/index.html

©Hitachi Cable, Ltd. 2010 All Rights Reserved.

Corporate Social Responsibility Report

2010アタリケイ

1 | Hitachi Cable, Ltd. CSR Report 2010

Editorial Note

Purpose of Publication and Editorial NoteThis report describes the corporate social responsibility (CSR) activities of Hitachi Cable and the Hitachi Cable Group in order to provide our many stakeholders with the clearest and most accurate explanation possible of the Group's philosophy, plans and activities in progress. In preparing this report, we consulted the GRI Sustainability Reporting Guideline 2006 (3rd Edition) by the Global Reporting Initiative (GRI) as well as questionnaire items on socially responsible investment (SRI) given in the Environmental Report Guideline (2007 Edition) by the Ministry of the Environment to select and provide information deemed significant for both our Stakeholders and the Hitachi Cable Group. In order to receive an objective outside evaluation, we had the GRI Secretariat confirm this report fully meets the application level “B” requirements as defined in the GRI Guidelines.

Period CoveredMainly Fiscal Year 2010 (from April 1, 2009 to March 31, 2010)(Some earlier and later activities are also included.)

Corporations and Production Bases CoveredIn relation to our environmental activities, this report cov-ers the production bases of Hitachi Cable and 14 domes-tic production companies in the Hitachi Cable Group. Furthermore, we have included some activities by 19 overseas manufacturing sites. Other descriptions in this document mainly refer to operations and activities by Hitachi Cable and include information of some Group companies.

●Hitachi Cable, Ltd.　 Densen Works, Hitaka Works, Takasago Works, Minato

Works, Toyoura Works and Tsuchiura Works●Group Companies at Hitachi Cable Sites　 Hitachi Cable Logi-Tech, Ltd., Hitachi Cable Fine Tech,

Ltd., Hitachi Cable MEC-Tech, Ltd., Hitachi Cable Networks, Ltd.,*1 Hitachi Magnet Wire Corp., Hitachi Wire & Rod Ltd., Hitachi Cable Precision Co., Ltd. (at Hitachi Works), Advanced Cable Systems Corp. and J-Power Systems Corp.*2

●Domestic Group Companies　 Hitachi Alloy, Ltd., Tonichi Kyosan Cable, Ltd., Tonichi

Kyosan Technos, Ltd., Tohoku Rubber Co., Ltd., Hitachi Cable Precision Co., Ltd. (at Yonezawa Works)*3 and Hitachi Cable Film Device, Ltd.*4

●Overseas Group Companies A*5

　 Hitachi Cable (Johor) Sdn. Bhd., Shanghai Hitachi Cable Co., Ltd., Hitachi Cable (Singapore) Pte. Ltd., PHCP, INC., Thai Hitachi Enamel Wire Co., Ltd. and the wire and cable plant of Hitachi Cable (Suzhou) Co., Ltd.

●Overseas Group Companies B*6

　 Hitachi Cable PS Techno (Malaysia) Sdn. Bhd., AHCL (Thailand) Co., Ltd., Hitachi Cable Philippines, Inc., the assembly plant of Hitachi Cable (Suzhou) Co., Ltd., Giga Epitaxy Technology Corporation, Shenzhen Hitachi Cable Co., Ltd., Suzhou Hitachi Cable Precision Co., Ltd., Hitachi Cable Manchester Inc., Hitachi Cable Indiana, Inc., Hitachi Cable Florida, Inc., HC Queretaro, S.A. de C.V., Hitachi Cable UK, Ltd. and Hitachi Cable Austria GmbH

※1 Business activities within Hitachi Cable works only are covered.※2 Production activities within Hitachi Cable works only are covered.※3 Activities for global warming prevention and waste reduction only

are covered.※4 Fiscal 2010 results for the “global warming prevention,” “transport

energy reduction” and “effective use of resources” categories are excluded.

※5 Based on an evaluation system for environmental measures, GREEN21 Ver.3 resources and energy consumed and disposal and CO2 emission into the environment are covered.

※6 The input of resources and energy, the output to the environment and CO2 emissions are covered.

Period of PublicationDate of publication: August 31, 2010 Scheduled publication of next issue:August 2011 (previous issue: August 2009)

GuidelinesCompliance: GRI Sustainability Reporting Guideline 2006

(3rd Edition) by the Global Reporting Initiative (GRI)

For a comparative table between this report and the Guideline, please visit our website athttp://www.hitachi-cable.co.jp/en/about/publish/csr/index.htmlReference: Environmental Report Guideline (2007 Edition)

by the Ministry of the Environment

ContactHitachi Cable, Ltd.Corporate Social Responsibility OfficeTEL：03-6381-1050　FAX：03-5256-3240 http://www.hitachi-cable.co.jp/en/inquiry/index.html

DisclaimerThis report contains forward-looking statements and descriptions of plans, estimates and projections as well as facts about the Hitachi Cable Group in the past and at present. Such statements and descriptions reflect our current assumptions and expectations of the future events based on information available at present. Accordingly, they are inherently susceptible to uncertain-ties and changes in circumstances, and future perfor-mance and events may differ. This report has been translated into English from the Japanese version. In cases where the Japanese descrip-tion is dif ferent from the English description, the Japanese description shall take preference.* Empowering Energy & Communication is a registered trademark of Hitachi Cable, Ltd.

Hitachi Cable, Ltd. CSR Report 2010 | 2

CS

R M

anagement

So

cial Perform

anceE

nvironmental P

erformance

Contents

Environmental Performance:

Social Performance:

CSR Management:

Environmental Policies of the Hitachi Cable Group ...................................37Environmental Management Status ..........................................................38Environmental Accounting ........................................................................42Environmental Action Plan and Results Evaluation ...................................43Input of Resources and Energy and Output to the Environment ...............45Global Warming Prevention ......................................................................46Promoting Recycling of Resources ..........................................................49Chemical Management in Production Activities........................................ 51Green Procurement ..................................................................................53Environmental-Conscious Products .........................................................54Site Data ..................................................................................................55

Engagement with Customers ...................................................................23Engagement with Suppliers .....................................................................26Engagement with Shareholders and Investors .........................................27Engagement with Employees ...................................................................29Engagement with Society and Local Communities ..................................33

CSR Management: .................................................................................. 15CSR Medium-Term Targets / Plans and Results ....................................... 17Corporate Governance ............................................................................. 19Compliance .............................................................................................. 21Information Security .................................................................................22

Brief Overview of the Hitachi Cable Group ..................................................3A Message from the President........................................................5

Special Feature: Social Contributions through Business .................................................7

Electric Power Infrastructure and Next-Generation Energy ..........7

Industrial Infrastructure ...........................................................9

Information and Telecommunications Infrastructure .................11

Electronics, Semiconductors and Automotive Fields .................13

Sp

ecial Feature


Brief Overview of the Hitachi Cable Group

Ever since the spin-off from Hitachi, Ltd. in 1956, Hitachi Cable, Ltd. has pursued “communication” technologies demanded by the age in the fields of “energy” and “infor-mation” as a wire and cable manufacturer to serve as a core business in the Hitachi Group. The company has expanded its business domains, including information systems, semiconductor materials and packaging, metal materials and component products as well as electronic and automotive products, offering such products as wires and cables to support information transmission and power supply, a wide variety of materials and parts to transmit electric signals and heat in different equipment and various information and telecommunication network devices. Hitachi Cable continues to develop a compre-hensive range of products and services to transmit ener-gy and information more quickly, safely and efficiently and provide them to various fields of businesses in order to support customers throughout the world and contrib-ute to society.

Corporate Profile (As of March 31, 2010)

Trade Name Hitachi Cable, Ltd.

Established April 10, 1956

(Founded in 1918)

Head Office Location Akihabara UDX, 4-14-1,

Sotokanda, Chiyoda-ku,

Tokyo 101-8971, Japan

Capital ¥25,948 million

Number of Employees 4,154 (non-consolidated);

15,335 (consolidated)

■ Profile

Wires and Cables

175.3 (47%)

60.2

Information and Telecommunications Networking

(16%)

Sophisticated Materials

134.7(36%)

Others2.3(1%)

Total ¥372.5

billion

600

400

200

0

Net Sales(¥ billions)

FY2006 2007 2008 2009 2010

325.1349.2

298.1241.7

268.8

425.1

544.2493.2

372.5

566.0

Non-Consolidated　　Consolidated

Ordinary Income (Loss)(¥ billions)


12

6

9

3

0

R&D Expenses(¥ billions)

FY2006 2007 2008 2009 2010

9.710.2 10.7

9.1

10.510.810.0

11.1

9.610.5


Sales by Business Segment (Consolidated; Results in FY2010)

0

30

60

90

120

0

2000

4000

6000

-5000

-3750

-2500

-1250

0

1250

2500

3750

500030

10

20

0

–20

–10

FY2006 2007 2008 2009 2010

10.6 12.1

(5.4)

5.9

12.0

20.4

(20.0)

(1.7)(4.9)

21.6

Business Overview (Figures are rounded off to the nearest hundred million)


Europe

Japan

Major Bases (As of March 31, 2010)

●Manufacturing Bases　 ■ Sales & Marketing Bases

North and Central America

South-East Asia

China

United Kingdom　●Hitachi Cable UK, Ltd.　■Hitachi Cable Europe Ltd.Austria　●Hitachi Cable Austria GmbHUkraine　●Akutron LLC

Thailand　●AHCL (Thailand) Co., Ltd.　●Thai Hitachi Enamel Wire Co., Ltd.　■HCAS Thai Trading Co., Ltd.Singapore　●Hitachi Cable (Singapore) Pte. Ltd.　■Hitachi Cable Asia Pacific (HCAP) Pte. Ltd.Malaysia　●Hitachi Cable (Johor) Sdn. Bhd.　●Hitachi Cable PS Techno (Malaysia) Sdn. Bhd.The Philippines　●Hitachi Cable Philippines, Inc.　●PHCP, INC.Vietnam　●Hitachi Cable Vietnam Co., Ltd.

　●Shanghai Hitachi Cable Co., Ltd.　●Hitachi Cable (Suzhou) Co., Ltd.　●Giga Epitaxy Technology Corporation　●Shenzhen Hitachi Cable Co., Ltd.　●Suzhou Hitachi Cable Precision Co., Ltd.　■Hitachi Cable (China) Trading Co., Ltd.　■Hitachi Cable Asia Ltd.　■Hitachi Cable Trading (Dalian F.T.Z.) Co., Ltd.

●Tonichi Kyosan Cable, Ltd.●Hitachi Cable Film Device, Ltd.●Hitachi Alloy, Ltd.●Hitachi Wire & Rod Ltd.●Hitachi Cable Precision Co., Ltd.●Hitachi Cable Fine Tech, Ltd.●Hitachi Cable Logi-Tech, Ltd.●Hitachi Cable Networks, Ltd.●Hitachi Magnet Wire Corp.●Hitachi Cable MEC-Tech, Ltd.●Tohoku Rubber Co., Ltd.●Tonichi Kyosan Technos, Ltd.●Hitachi Cable Rubber Technology Co., Ltd.■Hitachi Densen Shoji, Ltd.■Hitachi Cable Trading Ltd.■Hokkai Hitachi Densen Kihan, Ltd.

United States　●Hitachi Cable Indiana, Inc.　●Hitachi Cable Florida, Inc.　●Hitachi Cable Manchester Inc.　■Hitachi Cable America Inc.Mexico　●HC Queretaro, S.A. de C.V.

■xicoMexico● QHC Q

■o

QQUK, LtdUK, Ltd.rope Ltprurope Ltd

Uurope Ltr europe Ltd

Japan 279.5 (75%)

Asia 65.1(17%)

North America 21.4 (6%)

Europe and Others 6.4 (2%)

Total ¥372.5

billion

Japan 8,082 (53%)

North America 624 (4%)

Asia 6,150 (40%)

Europe and Others 479 (3%)

Total 15,335(Persons)

Net Income (Loss)(¥ billions)


16,000

12,000

8,000

4,000

0

Number of Employees(Persons)

2006 2007 2008 2009 2010Non-Consolidated　　Consolidated (At Fiscal-Year End)

Sales by Region (Consolidated; Results in FY2010) Number of Employees by Region (Consolidated; Results in FY2010)

-10000

0

10000

20000

30000

0

4000

8000

12000

16000

4,076 4,074 4,134 4,1544,320

15,199 15,10016,230

15,33515,917

15

5

10

0

–60 FY2006 2007 2008 2009 2010

4.46.2

(9.2)

3.04.9

8.7

(9.1)

10.7

(53.8)(38.8)

(Note) FY2010: April 1, 2009 to March 31, 2010


“Empowering Energy & Communication”—this is the cor-porate vision for the Hitachi Cable Group. This vision embodies the Group’s permanent goal of helping improve the speed, accuracy and efficiency of energy transmis-sion and information communication through the provi-sion of sophisticated cables and other products. It also expresses our passion in continuing to pursue higher value for our products and services. If we were to elabo-rate on this corporate vision, we would add, “through mastery of the art of cable creation.” And here, I might note that this “mastery” involves not only technological advances, but also striving for perfection as a corporate entity, which means the constant enhancement of corpo-rate value for all stakeholders. Today, political, economic and social environments throughout the world are changing rapidly and dynami-cally. While strategically adjusting to such changes, we must maintain our strong foundation, which one might say is a perpetual sense of value, and thereby continue to exist as a trusted member of society—this is what Hitachi Cable believes corporate social responsibility involves. To fulfill its social responsibility, the Hitachi Cable Group adheres to its management philosophy of respect-ing harmonious relationships and communication with society, its employees and all other stakeholders through-out its entire value chain, and making sincere efforts in every facet of its activities. At the same time, the Group embraces the management principle of contributing to society by offering products and services that empower energy and communication.

The Hitachi Cable Group is contributing to the realization of a sustainable society by “Empowering Energy & Communication.”

A Message from the President

Plan “BRIDGE”—Our New Medium-Term Management Plan

Plan “BRIDGE,” the new medium-term management plan that we formulated in April 2010, extends over the period from FY2011 to FY2013. Under this plan, Hitachi Cable has defined the fundamental policy of restoring the Group’s status as a highly profitable enterprise and trans-forming it into a truly global company. In line with this poli-cy, the Group aims to achieve the following targets in FY2013 and beyond.

<Targets through FY2013>1. Net sales of ¥500 billion 2. Ordinary income of ¥25 billion

<Targets beyond FY2013> 3. Ratio of ordinary income to net sales of 5% or more in

all businesses 4. Overseas sales ratio of 40% or more

Although we must accomplish these targets, the bottom line for us remains unchanged: we will keep to the straight and narrow. More specifically, the Hitachi Cable Group will strive to comply with all laws, regulations and corpo-rate ethics, contribute to environmental preservation and people’s safety and ensuring fair information disclosure and security, while respecting human rights. Only through successes in these and other activities will our corporate value be appropriately evaluated by the global market and community, and, consequently, we will be able to meet the targets presented above. Taking a closer look at Plan “BRIDGE,” Hitachi Cable has defined new priority target areas through a compre-hensive review of its operations for individual products. Namely, these areas are: (1) electric power infrastructure and next-generation energy; (2) industrial infrastructure; and (3) information and telecommunications infrastruc-ture. With particular focus on these target areas, the Group will work to reinforce its strengths in the wires and cables business, which boasts a solid business founda-tion, and in the information systems business, where we have established a stable earnings structure. Also, we will tap the opportunities that arise in line with growing demand for infrastructure development, particularly in overseas markets. Meanwhile, in the electronics, semiconductors and automotive fields, the Hitachi Cable Group continues to promote business restructuring and increase its focus on products that boast a competitive advantage and have the potential for high profitability. Through such an approach, we aim to accommodate ever-diversifying mar-ket needs, as we plan to do the same in the aforemen-tioned priority target areas also. The products that the Hitachi Cable Group intends to expand the sales of under Plan “BRIDGE” are those


Sp

ecial Feature

contributing to environmental preservation through prod-ucts and services and reducing the environmental burden of its production activities, the Hitachi Cable Group has begun tackling the protection of biodiversity. The Japan Business Federation (Nippon Keidanren) has announced a Declaration of Biodiversity. Having affirmed the idea behind this declaration, Hitachi Cable has participated in the promotion of related initiatives as a Promotion Partner since December 2009. In addition, the Company is encouraging its works and Group companies—domestic and overseas—to proactively join local activities to pro-tect the natural environment and biodiversity. Turning to the area of compliance, the Japan Fair Trade Commission (JFTC) conducted an on-the-spot inspection in June 2009 on the suspicion that Hitachi Cable was determining order prices, order awardees and order shares jointly with other manufacturers and vendors for fiber optic cables and associated products for tele-communications carriers. In May 2010, the JFTC issued cease-and-desist and surcharge-payment orders to the five manufacturers and vendors involved. Hitachi Cable was excluded from the scope of these orders. However, representing the entire Hitachi Cable Group, I hereby express our deepest apologies to all stakeholders for any concerns and troubles caused due to this incident. Although the entire Hitachi Cable Group has endeavored to ensure compliance with laws, regulations and corpo-rate ethics, the occurrence of this incident proved that its efforts were not sufficient. Humbly accepting responsibili-ty in this case, we are now more determined than ever before to further strengthen our compliance systems and educational programs involving all executives and employ-ees. In this way, we will simply and honestly keep to the straight and narrow. In closing, all executives and employees of the Hitachi Cable Group are working as a team and stepping up activities in line with the corporate vision, “Empowering Energy & Communication.” Through such activities, Hitachi Cable will continue to contribute to the realization of a sustainable society. We ask you, our fellow stake-holders, for your unwavering support and understanding, and, finally, we welcome your candid opinions on this report and its content.

*1 Eco-Design Directive: The EU’s Directive on Eco-Design of Energy-Using Products

*2 Registration, Evaluation, Authorization and Restriction of Chemicals Directive: An EU directive relating to chemical substances

*3 Restriction of Hazardous Substances Directive: An EU directive regulat-ing the use of specified hazardous substances in electric and electronic devices and equipment

The Hitachi Cable Group is contributing to the realization of a sustainable society by “Empowering Energy & Communication.”

supporting various types of social infrastructure, and they serve as a foundation that makes people’s lifestyles more comfortable and convenient. Indeed, the advancement of society is a prerequisite for the growth of the Hitachi Cable Group, and the opposite is also true. In this sense, we acknowledge that the corporate social responsibility we have to fulfill is of a significant level and scale.

Emphasizing Environmental Preservation and Compliance

The Hitachi Cable Group’s Code of Conduct clearly states that we must “keep to the straight and narrow.” This means that we must conduct all operations honestly and in harmony with the global community. Our observance of this statement serves as our backbone in fulfilling our cor-porate social responsibility, and there are certain areas of CSR on which we are currently placing particular empha-sis. They are environmental preservation and compliance. The Hitachi Cable Group is taking a two-pronged approach in making contributions to environmental pres-ervation. Specifically, the Group is providing environment-friendly products that help realize sustainability of the environment and society while working to reduce the environmental burden of its production activities. As explained above, we have set our new priority tar-get business areas. By increasing focus on our opera-tions in these areas, we will assist in the establishment of a sustainable environment and society. For instance, the Hitachi Cable Group is promoting environment-friendly product design, pursuant to the Eco-Design Directive.*1 Also, in response to the REACH Directive*2 and the RoHS Directive,*3 we are conducting stringent management of chemical substances contained in our products. In addi-tion, we are continuing other initiatives aimed at reducing CO2 emissions, including fuel conversion and modal shift. Meanwhile, aggressive R&D for products and services that contribute to environmental preservation throughout their entire lifecycle is being undertaken. Specifically, we are advancing projects to develop products that enable manufacturers to create finished products that feature higher energy efficiency and compactness, boast longer service life and present low environmental burden at disposal. In recent years, the entire world is witnessing accelera-tion of the destruction of nature. The global ecosystem is being damaged, and an increasing number of irreplace-able animal and plant species are facing greater risk of extinction. There are many causes for these unfavorable developments, including the growing world population, ongoing industrial development, climate change and a variety of destructive human activities. Whatever the causes are, there is no doubt that the human race and the global environment are in a critical condition. With this in mind, in addition to its efforts aimed at

President and CEOMitsuo Imai


■ Products for PV Power Generation

In solar cell modules, photovoltaic (PV) wire connects the individual cells that make up a solar cell, serving as a conduc-tor that collects the electric power generated. Hitachi Cable’s NoWarp* PV wires boast high electrical conductivity and flexibility thanks to the Company’s efforts to optimize thermal processing conditions. NoWarp PV wires have won high marks in recognition of the flexibility to resist cell warp as solar cell manu-facturers increasingly create thinner cells. In addition, environment-friendly NoWarp PV wires use lead-free soldering—a feature consistent with being a product for “clean” energy applications. Due to this and other superior features, NoWarp PV wires now command a roughly 20% share of the global PV wire market (Hitachi Cable estimate). As expectations continue to increase for the further growth of the PV cell module market, the Hitachi Cable Group started production of these wires in Malaysia in August 2010 to complement the similar facilities it has in Japan and China, thereby establishing a global tripolar production structure for NoWarp PV wires.

* NoWarp is a registered trademark of Hitachi Cable, Ltd.

Special Feature: Social Contributions through Business

Electric Power Infrastructure and Next-Generation Energy Hitachi Cable has long contributed to the stable supply of electricity in Japan through the provision of power and other

cables. Based on its extensive record of accomplishment in the field, the Company is today promoting the power infra-

structure products throughout the world. At the same time, we are playing a significant role in various projects relating

to wind power, photovoltaic (PV) power and other next-generation energy.

NoWarp PV wires


Sp

ecial Feature

■ Products for Heavy Electrical Machinery

The Hitachi Cable Group provides a lineup of wide-rang-ing products that support the entire power generation and distribution process. For example, our radiation- and flame-resistant cables, as well as high-voltage, large-capacity electric wires and cables, which include over-head and underground power lines (CV cables), are widely used at nuclear power plants. These products are making significant contributions to the safe, stable opera-tions of nuclear power plants. Also, wind power generation, along with PV power generation, has gained a strong foothold in the power industry as an effective means to convert natural force into electricity. Power generators that convert the rota-tional force of windmills into electricity are the core of wind power generation facilities. Hitachi Cable’s magnet coils for heavy electrical machinery use are applied as stators in power generators and transformers at normal power plants as well as in power generators for wind power generation. These are only a few examples of Hitachi Cable technologies utilized for infrastructure development and environmental considerations.

The reactor used in the ITER project employs three types of superconducting coils. Of these coils, all of the central solenoid (CS) coils and part of the toroidal field (TF) coils are to be pro-cured in Japan. At present, materials for the TF coils are being procured, and Hitachi Cable is accordingly manufacturing superconducting wires and superconductors for the ITER project. Measuring 0.82 millimeters in diameter, each of the Company’s superconducting wires is com-prised of 11,077 superconducting filaments, each measuring 3 micrometers in diameter and stranded consistently along the wire’s length. Meanwhile, the Company manufactures the superconductor by stranding 900 superconducting wires and 522 copper wires into a cable measuring about 40 millimeters in diameter. These superconductors are capable of stably transmitting electric current even in strong magnetic fields. We are manufacturing the super-conducting wires at the Tsuchiura Works and the Toyoura Works, while producing the supercon-ductors at the Hitaka Works. At these works, Hitachi Cable has established a structure to ensure stable product quality and enable the mass-production of these products.

Superconducting Wires and Superconductors for the ITER Project

■ Superconducting Wires Business

Through the supply of superconducting wires, Hitachi Cable has participated in the International Thermonuclear Experimental Reactor (ITER) project.* Nuclear fusion ener-gy is increasingly recognized as “dream” energy for the human race as it is not related to the depletion of fossil-fuel resources, in addition to the fact that it generates lim-ited radioactive waste and produces no CO2 emissions. To induce nuclear fusion, ultra-high-temperature plasma of more than 100 million degrees Celsius must be con-fined in a reactor. Since there are no materials capable of withstanding such a severe reaction environment, strong magnetic fields are used to maintain the ultra-high-tem-perature plasma, and the generation of such magnetic fields requires superconducting wires. High-magnetic-field applications constitute the very field where superconduc-tivity technologies can be used most effectively. In addi-tion to nuclear fusion applications, Hitachi Cable will work to aggressively expand the application of its supercon-ducting wires in such promising fields as medical and sci-entific equipment.

* This international cooperation project aims to begin operations of experimental thermonuclear reactors in 2018, involving Japan, the EU, Russia, the United States, South Korea, China and India. The Japan Atomic Energy Agency (JAEA) serves as the contact to equip-ment manufacturing and human resource contributions to the ITER project in Japan.

Illustration of ITER unit（source: http://www.naka.jaea.go.jp/ITER/iter/index.html）

Approx. 30 m in diameter

Magnet wires for wind power generators

Magnet wires for large-capacity transformers Cross-section view of a superconducting wire (image courte-

sy of the Japan Atomic Energy Agency)


■ Cables for Railway Vehicles

Our cables are used for cab wirings, underfloor wirings and inter-vehicle wirings in the bullet train and other railway vehi-cles. In recognition of their reliability and high quality, our products have attained the top domestic market share (Hitachi Cable estimate). Overseas, railway transportation is drawing attention as a mode of transport that consumes less energy and emits less CO2 per unit of transportation volume. Consequently, many countries are now accelerat-ing the development of railway networks. In response, Hitachi Cable has completed the development of POLYENEX,*1 a halogen-free cable for rail-way vehicles that complies with the EN*2 and is continuously bolstering the POLYENEX lineup. This innovative cable features high flame retardan-cy and high durability as well as low smoke and toxicity—properties that reduce the effects on the human body when the cable catches fire. By further bolstering collaboration among Hitachi Group companies, Hitachi Cable aims to win orders for large-scale projects overseas.

*1 POLYENEX is a registered trademark of Hitachi Cable, Ltd.

*2 European Norm

Industrial InfrastructureThe Hitachi Cable Group’s wires and cables for industrial infrastructure are used in a wide range of fields, including railway

vehicles, industrial robots and medical equipment. In addition, Hitachi Cable is contributing to the development of industrial

infrastructure through innovative technologies that are applied in the development of various products. These products

include rolled copper foils for use in lithium-ion batteries, which are expected to find hybrid- and electric-car applications.

EN-compliant cables for railway vehicles


Sp

ecial Feature

■ Products for Industrial Robots and Machine Tools

Cables used in industrial robots and automated machine tools are required to have various properties depending on the section and environment in which they are used. These properties include flex resistance, torsion resis-tance, flexibility and oil resistance. As a top manufacturer of industrial robot cables, Hitachi Cable boasts an exten-sive array of cables that accommodate ever-diversifying customer needs. For exam-ple, for cables used in swivel bases and wrist joints, which are subject to severe bend-i ng and t w i s t i ng , the Company has used the combination of fine-sized conductors and fluorocar-bon insulation to realize superior flex resistance in cables.

■ Probe Cables for Medical Equipment

These cables connect the main body of ultrasound diag-nostic equipment with the probe used for an echographic examination. They are light-weight, excel in elasticity and flexibility and boast high electrical characteristics, helping to realize the ultimate in application-friendliness and high-definition diagnostic images. Hitachi Cable’s probe cables command a 20% share of the global market (Hitachi Cable estimate). These copper alloy wire, w h i c h m e a s u r e s 16 micrometer in diameter—as thin as one-fif th of a human hair. This copper alloy has additional ingredi-ents, namely, tin and indi-um, and such a mixture has enabled the Company to make these cables thin-ner while maintaining their

strength and conductivity. Through the offering of such cables, we are contributing to the realization of advanced medical equipment.

■ Products for Next-Generation Cars

The Hitachi Cable Group provides power harnesses—a core hybrid car component that connects batteries, inverters and motors—and enamel wires for automotive motors. Our automotive power harnesses satisfy such automobile-specific requirements as heat resistance, oil resistance, flexibility and high-voltage and high-current compatibility. Meanwhile, our enamel wires have enabled the development of more compact automotive motors with higher output, contributing to the realization of more environment-friendly, energy-efficient cars. In addition, Hitachi Cable has developed a high-ten-sile-strength, high-heat-resistance rolled copper foil for use in next-generation lithium-ion batteries. Demand for lithium-ion batteries is expected to grow in line with their increased application as the power source for hybrid and electric cars. The application of this rolled copper foil has enhanced the strength and heat resistance of next-gener-ation lithium-ion batteries that use alloy as a negative-electrode active material,*1 while extending the service life of these batteries. Through this and other products, we are assisting the evolution of next-generation cars. *1 Active materials have the characteristic of emitting or capturing

electrons through chemical reactions involving electrolytes within batteries. In the area of next-generation batteries, the development and proliferation of alloy materials boasting high electric charge and discharge capacity are highly anticipated.

*1 Sponsored by the Japan Institute for Invention and Innovation, this award system supports scientific and technological advances as well as industrial development by recognizing remarkable inventions that encourage and nurture innovation.

*2 Sponsored by the Okochi Memorial Foundation, this award system presents awards for remarkable industrial achievements based on outstanding inventions or designs attained through research on production engineering and technologies.

Hitachi Cable’s micro-miniature coaxial cable, comprising an inner conductor that employs 16-micrometer copper alloy wires, received a Distinguished Invention Service Award and a Minister of Education, Culture, Sports, Science and Technology Award for Invention as part of the National Commendation*1 for Invention in 2009, in recognition of its high flex performance and conductivity. In 2010, we also received an Okochi Memorial Technology Prize*2 thanks to the high evaluation of the same cable and the innovative production technologies used. After receiving the award and prize, we continued efforts aimed at reducing the diameter of our wires and eventually commercialized a superfine coaxial cable with an inner conductor using wires measuring 13 micrometers in diameter. This cable is contributing to the development of slimmer probe cables for ultrasound diagnostic equipment and more compact notebook PCs and mobile phones. More recently, we realized a 10-micrometer copper alloy wire.

Superfine Copper Alloy Wires Receives Okochi Memorial Technology Prize

Industrial robot cables

Probe cables for ultrasound diag-nostic equipment A wide variety of enameled wires for use in electric motors

10-micrometer copper alloy wire (the latest product) and a human hair

Copper alloy wire

Human hair


■ Antennas and High-Frequency Coaxial Cables

Hitachi Cable has been involved in the construction of more than 1,000 domestic UHF broadcast relay stations, leverag-ing its high-frequency technologies to support the communication environment throughout Japan. At the same time, the Company is contributing to the realization of an environment where all people in Japan—including mountainous regions and remote islands—can enjoy watching digital broadcasting, accessing the Internet, and using mobile phones and other devices and services. Hitachi Cable has an extensive portfolio of products in the information and telecommunication field. These products include antenna systems for digital terrestrial broadcasting and mobile phone base stations as well as high-fre-quency coaxial cables for wireless communication systems and various other antenna systems. In particular, we are a leading manufacturer in Japan of main power cables that deliver radio waves from transmitters to antennas. In fact, our transmission antennas for digital terrestrial broadcasting have been installed at several dozen key stations and many relay stations all over Japan. More recent-ly, our antenna systems have been selected for use in the Tokyo Sky Tree.*1

*1 Tokyo Sky Tree is a registered trademark of Tobu Railway Co., Ltd. and Tobu Tower Sky Tree Co., Ltd.

Information and Telecommunications Infrastructure Information communication networks are indispensable for modern society, and infrastructure for such networks must always proceed on the leading edge. Hitachi Cable develops and supplies high-frequency coaxial cables, various anten-nas, optical submarine cables and wide-ranging information network equipment, thereby supporting information com-munication networks employed by broadcasting companies, telecommunications carriers and other private corporations as well as public organizations.

Ultra-wideband stacked loop antenna


Sp

ecial Feature

■ Information Network Equipment

Hitachi Cable developed its proprietary APRESIA*1 series of Ethernet*2 switches in 2003 and has provided them for use in corporate LANs and wide-area Ethernet services offered by communications carriers. The Company has expanded its share to approximately 70% of the Japanese market of layer-2 switches for wide-area Ethernet net-works. The development of wide-area Ethernet networks throughout Japan has enabled large-volume data trans-mission, making it much easier to establish a convenient IT environment in households and offices. Today, due to the high evaluation of our capability to build high-speed, reliable networks, our products are increasingly adopted as backbone systems for next-gen-eration mobile phone communication networks and FTTH,*3 as well as in the construction of overseas net-works. In line with the spread of Ethernet applications, the

application of our APRESIA series is expanding likewise. Overseas, particularly in Asia, projects are being pro-moted to establish the infrastructure necessary for high-speed data transmission, such as optical f iber communication lines. In recognition of the high evaluation that Hitachi Cable has earned in Japan, communications carriers in Thailand have adopted the Company’s Apresia series as core switches for their Ethernet services. In addition to these products, the Company provides systems and devices it has developed on its own, such as Ethernet long-distance transmitters and optical trans-ceivers. Through the supply of these products, we are supporting the development of cost-effective, reliable network infrastructure.*1 APRESIA is a registered trademark of Hitachi Cable, Ltd. *2 Ethernet is a registered trademark of Fuji Xerox Co., Ltd. *3 Fiber-to-the-Home is a type of high-speed communication service

for households using optical fiber cables.

Hitachi Cable won orders for transmission antenna systems for digital terrestrial broadcasting to be installed on the antenna gain tower on the upper section of Tokyo Sky Tree. More specifically, the Company received orders for four units of omni-directional, multi-panel antenna systems (a total of 640 antenna panels), which consist of two 20-panel omni-directional antenna systems in four stages (a total of 160 antenna panels) as well as for main power cables, power feed parts and components and necessary installation work. Scheduled for opening in the spring of 2012, the Tokyo Sky Tree is a new tower compati-ble with digital terrestrial broadcasting. Tobu Tower Sky Tree Co., Ltd. is conducting construction of the tower in Sumida-ku, Tokyo. The Tokyo Sky Tree will house two observation decks, a broadcasting center and other facilities. When completed, it will be 634 meters high, making it the tallest self-standing tower in the world.

Hitachi Cable Wins Orders for Broadcasting Transmission Antenna Systems for Tokyo Sky Tree®

Antenna gain tower

Artist’s rendition of Tokyo Sky Tree (image courtesy of Tobu Railway Co., Ltd. and Tobu Tower Sky Tree Co., Ltd.)

APRESIA series of Ethernet switches

10-Gigabit Ethernet long-distance transmitter

Optical transceivers XENPAC LX4 (left),X2 LX4 (right)

■ Optical Submarine Cables

Optical submarine cables support the infrastructure of the Internet. These cables are required to enable the estab-lishment of a broadband society, where the faster trans-mission of more data is always an issue. Hitachi Cable has oceanfront works, where products and materials can be directly loaded to and unloaded from ships, and maintains a comprehensive production structure, which covers the manufacture of both optical-fiber base materials and cables. Leveraging these and other advantages, the Company provides high-quality products as one of the top three manufacturers in the global optical submarine cable market. To date, we have delivered to our customers a total of 120,000 km or more

of optical submarine cables—a length in excess of three complete journeys around the Earth. Looking ahead, we aim to increase our participation in large-scale projects worldwide, thereby supporting the foundation of the glob-al information communication network society.

Optical submarine cables


Electronics, Semiconductors and Automotive Fields The Hitachi Cable Group has many of fields of expertise other than those relating to various types of infrastructure. A variety of Hitachi Cable Group products are used in mobile phones, PCs, digital con-sumer electronics and automobiles, contributing to the realization of more compact finished products boasting higher performance.

Electronic Wires and Cables Compound Semiconductors

■ Gallium Arsenide Compound Semiconductors/Gallium Nitride Substrates

Hitachi Cable’s gallium arsenide (GaAs) compound semiconductors demonstrate superior high-frequency properties and are character-ized by their low power consumption. In the area of electronic devic-es, our GaAs compound semiconductors have found wide-ranging applications in mobile phones and wireless LAN equipment as trans-mission/reception devices and switch elements. In the area of optical devices, they are used in laser diodes for CD and DVD player pick-ups, display lamps of electronic equipment and electrical bulletin boards. Meanwhile, demand for our gallium nitride substrates is expected to grow in line with the increasing popularity of Blu-ray*1

disc players.*1 Blu-ray is a registered trademark of the Blu-ray Disc Association.

■ Micro-Miniature Coaxial Cables/ Flexible Flat Cables

The world of mobile devices is undergoing an unprecedented revolu-tionary phase. Wide-ranging products—such as mobile PCs and other high-performance devices for mobile use—are now found in every facet of our daily lives. In the area of mobile devices, which achieve previously unimaginable functionality, performance and compactness, our cable and other products are playing important roles. For example, our micro-miniature coaxial cables and flexible flat cables (FFCs), which balance excellent flex performance with space-saving features, are widely used as connectors in the foldable joints of mobile phones and notebook PCs. More specifically, our micro-miniature coaxial cables boast high-speed data transmission capa-bilit y, while our FFCs have the economic viabilit y to help finished-product manufacturers reduce the costs of mounting. They are making significant contributions to the development of more compact digital consumer electronics and other devices, with improved functionality and performance.

Micro-miniature coaxial cables

Flexible flat cables (FFC)

Gallium arsenide compound semiconductors

Gallium nitride substrates


Sp

ecial Feature

■ Lead Frames for Semiconductors

The Hitachi Cable Group is a comprehensive lead-frame manufac-turer, undertaking the entire process from material development to lead frame production. Currently, lead frames are used in semicon-ductors for use in mobile phones and PCs. Since lead frame demand is anticipated to expand in the digital consumer electronics and auto-motive fields, Hitachi Cable is working to stabilize the growth of related operations. Our lead frame business is underpinned by our fundamental technologies relating to materials, metal molds, plating and pressing, which we have accumulated through product development. We cover the whole range of lead frames, from those for general-purpose use in capacitors and those capable of accommodating such require-ments as heat-dissipation, high-density mounting and modulariza-tion, to those for high-end use in automotive and other products that require ultimate durability and reliability. Through the provision of these products, we are contributing to the improved functionality and performance of various finished products.

Lead Frames

■ Rolled Copper Foils

Rolled copper foils are used as conductors on flexible printed circuit boards, which are embedded in mobile phones and various other electric and electronic devices. The manufacture of rolled copper foils requires very sophisticated technologies to thin copper to its limit and simultaneously enhance flexibility. Leveraging the rolling technologies that it has nurtured through the manufacture of copper strips, Hitachi Cable has manufactured rolled copper foils since the 1990s. By performing the entire pro-cess, from casting to rolling, in-house, Hitachi Cable supplies world-class, surface-treated rolled copper foils that boast superior flexibility. Measuring seven micrometers or thicker, our rolled copper foils are contributing to the development of more compact, light-weight and thinner electronic devices.

Copper Products

■ Brake Hoses

Brake hoses are an important automotive safety component, as they convey hydraulic pressure to activate the basic braking function that stops automobiles. Therefore, the manufacture of brake hoses requires sophisticated quality control, and these products must be highly durable. Boasting outstanding durability and low expansibility, and having been widely used by the world’s leading automakers, the Company’s brake hoses are supporting the safe operation of auto-mobiles worldwide. Due to the superior characteristics of these hoses and the high evaluation they have received from automakers in Japan and overseas, we command the top share of the global brake hose market (Hitachi Cable estimate).

Automotive Materials and Components

Brake hoses

Rolled copper foils

Lead frames for semiconductors


CSR ManagementEver since its foundation, Hitachi Cable has always aimed to widely contribute to society and we consider CSR to be a part of business activities.

Since April 2005, we established the Corporate Social Responsibility Office, and by coordinating individual activity results of our Group the level of all things are increasing. Furthermore, in order to promote recognition of CSR activities and raise awareness that daily opera-tions are directly related to CSR for all executive officers and employees of the Hitachi Cable Group, in FY2007,

we established the “Hitachi Cable Group CSR Policy” and distributed the “Brand/CSR Guidebook” to all execu-tive officers and employees. Using these materials, we offer opportunities to raise awareness and recognition of CSR to employees. In FY2009, we hosted “CSR educa-tion” through corporate-wide education by level and Hitachi Cable Group Executive Development Course.

■ Basic Stance of CSR

Fundamental Credo

The basic credo of Hitachi Cable is to further elevate Hitachi’s founding concepts of harmony, sincerity

and pioneering spirit, to instill a resolute pride in being a member of Hitachi, and thereby to contribute to

society through the development of superior, original technology and products.

Deeply aware that a business enterprise is itself a member of society, Hitachi Cable Group is also

resolved to strive as a good citizen of the community towards the realization of a truly prosperous soci-

ety and, to this end, to conduct its corporate activities in a fair and open manner, promote harmony with

the natural environment, and engage vigorously in activities that contribute to social progress.

Corporate Vision

Empowering Energy & CommunicationContributing to society by continuing to improve the speed, accuracy

and efficiency of energy and information

Code of Conduct

Surpass Customers’ ExpectationsUnderstand and respond to customers’ true needs

Utilize group synergy to provide unsurpassed value

Transform the global market through innovative technologies and services

Continue to Progress in ManufacturingImprove manufacturing to provide faster, more accurate and efficient communication

Facilitate personal growth and advancement

Keep to the Straight and NarrowConduct all operations honestly and in harmony with the global community

Protect and respect the environment

Respect individuals and allow them to reach their full potential


CS

R M

anagement

Employees

●…Main manner and opportunity for communicating

Suppliers

CustomersSociety and local communities

Shareholders & investors

1　 Awareness of Corporate Activities as Social Responsibilities

All Hitachi Cable Group directors and employees shall remain aware of the fact that corporate social responsibili-ties (CSR) should be fulfilled through corporate activities. In accordance with this policy, Hitachi Cable Group will fulfill its social responsibilities to ensure the sustainable development of society and businesses

2　 Social Contributions through Business Activities

Through business activities based on outstanding research, technologies, and product development, Hitachi Cable Group wil l provide safe and quality products and services to cus-tomers, while playing its part in build-ing an enriched and vibrant society.

3　Disclosure and CommunicationTo maintain and enhance relationships of trust with the Hitachi Cable Group’s diverse array of stakeholders, Hitachi

Cable Group will provide fair and high-l y t r anspa re n t d i sc l osu re wh i l e responding in a responsible manner to stakeholders through various forms of communication.

4　 Corporate Ethics and Respect for Human Rights

In a global business environment with diverse cultures, morals, ethics, legal systems, and other attributes, Hitachi Cable Group will conduct fair and sin-cere business activities, while acting in accordance with respect for human rights and the highest ethical stan-dards.

5　 Promotion of Environmental Preservation Activities

To realize a sustainable society in har-mony with the natural environment, Hitachi Cable Group will reduce the environmental impact of its activities and make effective use of finite natural resources.

6　 Promotion of Community Support Activities

As a good corporate citizen, Hitachi Cable Group will vigorously promote community support activities to realize a better society.

7　 Creation of Workplaces with Good Working Conditions

Hitachi Cable Group will endeavor to provide workplaces with good, worth-while conditions while energetically supporting motivated employees who can display indiv idual i ty and self-development on the job.

8　 Common Awareness of Social Responsibilities with Business Partners

Hitachi Cable Group will request that business partners share a common awareness of social responsibilities to conduct fa i r and sound business activities.

Established in December 2006

Hitachi Cable Group CSR Policy

The business of the Hitachi Cable Group is materialized through engagement with stakeholders. The Hitachi Cable Group considers stakeholders strongly associated with its business activities as “customers,” “suppliers,”

“shareholders and investors,” “employees” and “society and local communities,” and develops its CSR activities by continuously responding to requests and expectations from those stakeholders.

■ Engagement with Stakeholders

●Daily sales activities● Inquiries to our website● Various explanatory meetings for distrib-

utors, etc.● Product exhibitions, etc.

● Daily procurement activities● Guidance meetings for suppliers● Quality and environmental auditing● Supporting safety activities, etc.

● General shareholders meeting● Financial results explanatory meetings,

information meetings for investors● Publication of annual reports and

correspondence for shareholders● Information disclosure on corporate

website, etc.

● Various labor-management conferences● Publication of company in-house

journals● Establish management-by objective

and self-certification● Establish proposal for improvement● Guidance of various systems and

health/welfare benefits via the Intranet, etc.

● Compliance with laws● Factory tours for people in the community● Participation in local events● Volunteer activities by employees● Providing information to the media● Collaboration with NPOs, etc.


CSR Medium-Term Targets/Plans and ResultsWe establish medium-term targets and challenges based on the “Hitachi Cable Group CSR Policy,” making har-monized efforts for CSR activities across the Group.

★★★……Achieved　　★★……Partially achieved　　★……Insufficient


Themes Medium-term targets/challenges FY2010 results Self assessment Reference page Plans for FY2011

1. Awareness of corporate activities as social responsibilities

Corporate governance

Continuous improvement of Group-wide corporate governance (internal control) system

● Provided guidance and improvement support to Group companies through internal control monitoring ●Enhanced the management of off-balance sheet transactions (quasi-government funds)

★★★P.19 〜 20

● Further reinforce the quality of internal control (instill PDCA&M cycle) ● Optimize internal control systems ● Promote risk minimization activities through internal control monitoring ● Ensure the effectiveness of internal control over the Group’s financial reporting Compliance with J-SOX Law

●Ensured the effectiveness of internal control over the Group’s financial reporting ●Implemented awareness-raising activities including seminars and education programs

★★★

Information security

Strengthen and thorough pursuit of information security education and awareness-raising throughout the Group

● Set more strict in-house rules regarding the use of company PCs outside company venues and disseminated information concerning such rules

●Reinforced our web filtering system ● Acquired promissory letters regarding information leak prevention from suppliers who handle our

customer information ● Conducted various awareness-raising activities at Hitachi Cable, Ltd. and its domestic Group companies

during Information Security Month ● Offered educational sessions regarding information leak prevention to all employees including those at overseas Group companies

★★★ P.22

● Continue information security education and awareness-raising activities for employees ● Review and enhance information security management systems ● Review and enhance information security-related guidelines ● Reinforce information security initiatives to prevent information leaks and other incidents

Risk management

Strengthen risk management system● Formulated New Influenza Countermeasure Guidelines and Business Continuity Plan (BCP) ● Prepared to examine necessary measures in line with the stipulations under the Act for Promotion of

Renovationfor Earthquake-Resistant Structures of Buildings★★★ P.20 ● Enhance preparatory measures against new, highly virulent influenza

● Formulate plans to comply with the Act for Promotion of Renovation for Earthquake-Resistant Structures of Buildings

Enhancement of control system through precise improvement of exports control examination

● Provided guidance regarding export control to newly established Group companies (domestic: 2; overseas: 2) ● Implemented export control audits and education (domestic: 15; overseas: 6) ●Strengthened groupwide e-learning educational programs

★★★ P.22● Reinforce export control systems through audits and education (domestic: 11; overseas: 10) ● Expand the provision of seminars to facilitate accurate judgment on export control-related matters and increase opportunities for practical

training

Education and awareness-raising

Awareness-raising of the significance of CSR and the fact that CSR equals corporate activities

● Implemented CSR education through companywide position-specific education and new employee education ● Distributed Corporate Social Responsibility Report 2009 to all managers and related personnel as well as Group

companies ●Conducted promotional activities through the Intranet

★★ P.15

● Implement CSR education through companywide position-specific education and new employee education ● Revise Corporate Behavior Standards and Business Ethics Guidelines, disseminate revised standards and guidelines and prepare and distribute

Brand/CSR Guidebook ●Identify Groupwide issues and promote awareness-raising activities in preparation for the implementation of ISO26000

2. Social contributions through business activities

Quality control

Promotion of corporate-wide quality improvement activities

● Implemented the Quality First for 21st Century (QF21 III ) three-year companywide quality improvement plan (first year) ●Conducted seminars to improve quality assurance capabilities

★★ P.23 〜 25 ● Continue the implementation of the QF21 ( III ) (second year) ● Continue to provide quality assurance education

Expansion and permeation of the Hitachi Cable Just-in-Time (JIT) Production System (deployment to domestic and overseas Group companies)

● Continued to implement the Hitachi Cable Just-in-Time (JIT) Production System at all of our six works ● Started the Hitachi Cable JIT Production System at domestic Group companies ● Identified issues and ideals in production systems used at overseas Group companies

★★★ P.23● Continue to promote the Hitachi Cable JIT Production System at all six of our works ● Continue to promote the Hitachi Cable JIT Production System at domestic Group companies ● Select model Group companies in China and Southeast Asia to promote innovation in supply chain and information communication

3. Disclosure and communication

Information disclosure

Enhancement of justice, fairness and accuracy of information disclosure

● Formulated guidelines for production of product advertisements and promotion materials ★★ P.27 ● Formulate in-house rules for insider trading and timely disclosure

Continuous improvement of the content of information disclosed

● Acquired the GRI Application Level C for Corporate Social Responsibility Report 2009 ● Ranked the top in the non-ferrous metal sector of “FY2010 Listed Company Website Quality Ranking” by

Nikko Investor Relations Co., Ltd. and received many external awards relating to our website★★★

P.27 〜 28● Acquire the GRI Application Level B for Corporate Social Responsibility Report 2010

Continuous expansion of IR activities ● Conducted perception studies※ for 19 securities analysts ★★★ ● Promote overseas IR activities ● Hold business explanatory meetings and accept works tours in line with the launch of the Plan “BRIDGE” medium-term management plan

4. Corporate ethics and respect of human rights

Compliance

Strengthening of compliance system, organization and activities

● Strengthened compliance promotion structure (established Compliance Committee chaired by President & CEO, established and enhanced in-house compliance-related rules and conducted thorough management of system administration, etc.)

★★★

P.21 〜 22

● Ensure stringent administration of internal rules relating to compliance (Antimonopoly Act, bribery, insider trading, etc.) and review them as necessary

● Hold regular meetings of Compliance Committee and Sales Compliance Promotion Chief Council to further raise compliance awareness ● Improve the level of compliance management through regular audits

Steady implementation of internal audits

Promotion of compliance and human right education throughout Group companies

● Provided companywide Antimonopoly Act education including domestic Group companies (six times in total; approx. 1,800 participants)

★★★

Proper management of compliance reporting system● Continued regular educational programs relating to compliance and human rights through companywide

position-specific education and education for managerial staff at Group companies ★★

5. Promotion of environmental preservation activities

Environmental preservation

Refer to “Environmental Action Plan and Results Evaluation” P.43 ~ P.44

6. Promotion of community support activities

Coexistence with local communities

Strengthening of communication with local communities

● Promoted volunteer cleaning activities throughout Japan with participation of employees at Group companies ● Participated in local festivals as volunteers ● Tohoku Rubber Co., Ltd. registered as a business qualified to use automated external defibrillators (AEDs)

under the Mori-no-Miyako Heart Aid initiative started by the Sendai City Fire Department ●Continued ecoCAP Movement in cooperation with an NPO ★★★ P.33 〜 36

● Continue to encourage Group employees to participate in local cleaning activities ● Encourage Hitachi Cable employees to participate in “floating-heart planting activities” in Kasumigaura in cooperation with an NPO ● Continue ecoCAP Movement in cooperation with an NPO ● Promote the groupwide use of “goo Green Label” search engine in Japan to make donations to environmental organizations through the

provider

● Accepted works and site tours of local elementary, junior high and senior high schools students ● Continue to accept works and site tours of local elementary, junior high and senior high school students ● Supported local sports events through Marathon Team and Basketball Team (volunteer participation in International Blind

Marathon Kasumigaura, provision of basketball technical training for elementary, junior high and senior high school students, etc.)

● Continue to support Marathon Team and Basketball Team in promoting local sports events

7. Creation of workplaces with good working conditions

Health and welfare

Continuous implementation of measures toward safe and comfortable workplaces

● Achieved status of zero disasters accompanying lost workdays ★★★ P.31 〜 32 ● Maintain the status of zero disasters accompanying lost workdays

Enhancement of mental healthcare measures● Started stress coping seminars to prevent mental health-related problems of employees ● Strengthened counseling for employees showing signs of mental health problems and enhanced support

system for employees who had taken leave due to mental health problems to return to work ★★ P.32

● Start full-scale stress coping seminars ● Continue offering counseling to employees showing signs of mental health problems and assisting employees who have taken leave due to

mental health problems to return to work

Work-life balance

Work-life balance through reviewing the manner of working

● Started a project aimed at improving work conditions at certain business sites ● Established a new labor-management committee in charge of reducing total work hours and promoted

related initiatives ★★ P.31 ● Start full-scale implementation of the project to improve work conditions

● Enhance measures to support employees who take child nursing and rearing leaves and family care-giving leaves

Diversity

Promotion and establishment of the employment of challenged persons (achievement of legally required employment rate on a consolidated basis)

● Employment rate of challenged people→“Consolidated” 1.92% “Non-consolidated” 1.86% (+0.8 percentage points on a consolidated basis; +0 percentage points on a non-consolidated basis compared with the previous year）

★★★

P.30

● Promote the employment of the physically and mentally challenged (achieve the government-designated rate of employment on a consolidated basis)

Promotion of the recruitment of females and an expansion of their areas of reponsibility (20% target, in particular for major career path)

●Ratio of female new graduates→7.6% (-8.2 percentage points compared with the previous year) ★ ● Promote the employment of female workers and expand opportunities for them (aim for the 20% target in terms of the composition of female employees who take a major career path)

Promotion of the employment of non- Japanese employees

●Number of non-Japanese employees → 34 persons (+1 persons compared with the previous year) ★★ ● Promote the employment of non-Japanese people

8. Common awareness of social responsibilities with business partners

Collaboration with suppliers

Sharing CSR awareness through collaboration with suppliers

● Held REACH Directive explanatory meetings for suppliers (17 times in total; participants: 522 people from 416 companies)

● Published revised Green Procurement Guidelines on website (Japanese, English and Chinese versions) ● Promoted Environmental Supplier Certification System (certification rate: 93%; certified: 1,256 suppliers) ● Promoted Environment-Friendly Items Certification System (certified: 15,423 items, up 4,289 year on year)

★★★

P.26● Increase the use of common environmental/CSR specification sheets via the Internet ● Launch next-generation IT systems incorporating environmental/CSR procedures and provide training to suppliers ● Publish REACH Directive Compliance Guidelines in English and Chinese Promotion of CSR procurement (required by

environmental and social standards)★★

※Perception study: A study conducted to investigate the perception of the company by securities analysts, institutional investors and other participants in the securities market, to analyze various opinions and evaluations about the company from different perspectives and to take advantage of the results for IR activities to eliminate the difference between the company’s own perception and the perception of others.


CS

R M

anagement

★★★……Achieved　　★★……Partially achieved　　★……Insufficient


Themes Medium-term targets/challenges FY2010 results Self assessment Reference page Plans for FY2011

1. Awareness of corporate activities as social responsibilities

Corporate governance

Continuous improvement of Group-wide corporate governance (internal control) system

● Provided guidance and improvement support to Group companies through internal control monitoring ●Enhanced the management of off-balance sheet transactions (quasi-government funds)

★★★P.19 〜 20

● Further reinforce the quality of internal control (instill PDCA&M cycle) ● Optimize internal control systems ● Promote risk minimization activities through internal control monitoring ● Ensure the effectiveness of internal control over the Group’s financial reporting Compliance with J-SOX Law

●Ensured the effectiveness of internal control over the Group’s financial reporting ●Implemented awareness-raising activities including seminars and education programs

★★★

Information security

Strengthen and thorough pursuit of information security education and awareness-raising throughout the Group

● Set more strict in-house rules regarding the use of company PCs outside company venues and disseminated information concerning such rules

●Reinforced our web filtering system ● Acquired promissory letters regarding information leak prevention from suppliers who handle our

customer information ● Conducted various awareness-raising activities at Hitachi Cable, Ltd. and its domestic Group companies

during Information Security Month ● Offered educational sessions regarding information leak prevention to all employees including those at overseas Group companies

★★★ P.22

● Continue information security education and awareness-raising activities for employees ● Review and enhance information security management systems ● Review and enhance information security-related guidelines ● Reinforce information security initiatives to prevent information leaks and other incidents

Risk management

Strengthen risk management system● Formulated New Influenza Countermeasure Guidelines and Business Continuity Plan (BCP) ● Prepared to examine necessary measures in line with the stipulations under the Act for Promotion of

Renovationfor Earthquake-Resistant Structures of Buildings★★★ P.20 ● Enhance preparatory measures against new, highly virulent influenza

● Formulate plans to comply with the Act for Promotion of Renovation for Earthquake-Resistant Structures of Buildings

Enhancement of control system through precise improvement of exports control examination

● Provided guidance regarding export control to newly established Group companies (domestic: 2; overseas: 2) ● Implemented export control audits and education (domestic: 15; overseas: 6) ●Strengthened groupwide e-learning educational programs

★★★ P.22● Reinforce export control systems through audits and education (domestic: 11; overseas: 10) ● Expand the provision of seminars to facilitate accurate judgment on export control-related matters and increase opportunities for practical

training

Education and awareness-raising

Awareness-raising of the significance of CSR and the fact that CSR equals corporate activities

● Implemented CSR education through companywide position-specific education and new employee education ● Distributed Corporate Social Responsibility Report 2009 to all managers and related personnel as well as Group

companies ●Conducted promotional activities through the Intranet

★★ P.15

● Implement CSR education through companywide position-specific education and new employee education ● Revise Corporate Behavior Standards and Business Ethics Guidelines, disseminate revised standards and guidelines and prepare and distribute

Brand/CSR Guidebook ●Identify Groupwide issues and promote awareness-raising activities in preparation for the implementation of ISO26000

2. Social contributions through business activities

Quality control

Promotion of corporate-wide quality improvement activities

● Implemented the Quality First for 21st Century (QF21 III ) three-year companywide quality improvement plan (first year) ●Conducted seminars to improve quality assurance capabilities

★★ P.23 〜 25 ● Continue the implementation of the QF21 ( III ) (second year) ● Continue to provide quality assurance education

Expansion and permeation of the Hitachi Cable Just-in-Time (JIT) Production System (deployment to domestic and overseas Group companies)

● Continued to implement the Hitachi Cable Just-in-Time (JIT) Production System at all of our six works ● Started the Hitachi Cable JIT Production System at domestic Group companies ● Identified issues and ideals in production systems used at overseas Group companies

★★★ P.23● Continue to promote the Hitachi Cable JIT Production System at all six of our works ● Continue to promote the Hitachi Cable JIT Production System at domestic Group companies ● Select model Group companies in China and Southeast Asia to promote innovation in supply chain and information communication

3. Disclosure and communication

Information disclosure

Enhancement of justice, fairness and accuracy of information disclosure

● Formulated guidelines for production of product advertisements and promotion materials ★★ P.27 ● Formulate in-house rules for insider trading and timely disclosure

Continuous improvement of the content of information disclosed

● Acquired the GRI Application Level C for Corporate Social Responsibility Report 2009 ● Ranked the top in the non-ferrous metal sector of “FY2010 Listed Company Website Quality Ranking” by

Nikko Investor Relations Co., Ltd. and received many external awards relating to our website★★★

P.27 〜 28● Acquire the GRI Application Level B for Corporate Social Responsibility Report 2010

Continuous expansion of IR activities ● Conducted perception studies※ for 19 securities analysts ★★★ ● Promote overseas IR activities ● Hold business explanatory meetings and accept works tours in line with the launch of the Plan “BRIDGE” medium-term management plan

4. Corporate ethics and respect of human rights

Compliance

Strengthening of compliance system, organization and activities

● Strengthened compliance promotion structure (established Compliance Committee chaired by President & CEO, established and enhanced in-house compliance-related rules and conducted thorough management of system administration, etc.)

★★★

P.21 〜 22

● Ensure stringent administration of internal rules relating to compliance (Antimonopoly Act, bribery, insider trading, etc.) and review them as necessary

● Hold regular meetings of Compliance Committee and Sales Compliance Promotion Chief Council to further raise compliance awareness ● Improve the level of compliance management through regular audits

Steady implementation of internal audits

Promotion of compliance and human right education throughout Group companies

● Provided companywide Antimonopoly Act education including domestic Group companies (six times in total; approx. 1,800 participants)

★★★

Proper management of compliance reporting system● Continued regular educational programs relating to compliance and human rights through companywide

position-specific education and education for managerial staff at Group companies ★★

5. Promotion of environmental preservation activities

Environmental preservation

Refer to “Environmental Action Plan and Results Evaluation” P.43 ~ P.44

6. Promotion of community support activities

Coexistence with local communities

Strengthening of communication with local communities

● Promoted volunteer cleaning activities throughout Japan with participation of employees at Group companies ● Participated in local festivals as volunteers ● Tohoku Rubber Co., Ltd. registered as a business qualified to use automated external defibrillators (AEDs)

under the Mori-no-Miyako Heart Aid initiative started by the Sendai City Fire Department ●Continued ecoCAP Movement in cooperation with an NPO ★★★ P.33 〜 36

● Continue to encourage Group employees to participate in local cleaning activities ● Encourage Hitachi Cable employees to participate in “floating-heart planting activities” in Kasumigaura in cooperation with an NPO ● Continue ecoCAP Movement in cooperation with an NPO ● Promote the groupwide use of “goo Green Label” search engine in Japan to make donations to environmental organizations through the

provider

● Accepted works and site tours of local elementary, junior high and senior high schools students ● Continue to accept works and site tours of local elementary, junior high and senior high school students ● Supported local sports events through Marathon Team and Basketball Team (volunteer participation in International Blind

Marathon Kasumigaura, provision of basketball technical training for elementary, junior high and senior high school students, etc.)

● Continue to support Marathon Team and Basketball Team in promoting local sports events

7. Creation of workplaces with good working conditions

Health and welfare

Continuous implementation of measures toward safe and comfortable workplaces

● Achieved status of zero disasters accompanying lost workdays ★★★ P.31 〜 32 ● Maintain the status of zero disasters accompanying lost workdays

Enhancement of mental healthcare measures● Started stress coping seminars to prevent mental health-related problems of employees ● Strengthened counseling for employees showing signs of mental health problems and enhanced support

system for employees who had taken leave due to mental health problems to return to work ★★ P.32

● Start full-scale stress coping seminars ● Continue offering counseling to employees showing signs of mental health problems and assisting employees who have taken leave due to

mental health problems to return to work

Work-life balance

Work-life balance through reviewing the manner of working

● Started a project aimed at improving work conditions at certain business sites ● Established a new labor-management committee in charge of reducing total work hours and promoted

related initiatives ★★ P.31 ● Start full-scale implementation of the project to improve work conditions

● Enhance measures to support employees who take child nursing and rearing leaves and family care-giving leaves

Diversity

Promotion and establishment of the employment of challenged persons (achievement of legally required employment rate on a consolidated basis)

● Employment rate of challenged people→“Consolidated” 1.92% “Non-consolidated” 1.86% (+0.8 percentage points on a consolidated basis; +0 percentage points on a non-consolidated basis compared with the previous year）

★★★

P.30

● Promote the employment of the physically and mentally challenged (achieve the government-designated rate of employment on a consolidated basis)

Promotion of the recruitment of females and an expansion of their areas of reponsibility (20% target, in particular for major career path)

●Ratio of female new graduates→7.6% (-8.2 percentage points compared with the previous year) ★ ● Promote the employment of female workers and expand opportunities for them (aim for the 20% target in terms of the composition of female employees who take a major career path)

Promotion of the employment of non- Japanese employees

●Number of non-Japanese employees → 34 persons (+1 persons compared with the previous year) ★★ ● Promote the employment of non-Japanese people

8. Common awareness of social responsibilities with business partners

Collaboration with suppliers

Sharing CSR awareness through collaboration with suppliers

● Held REACH Directive explanatory meetings for suppliers (17 times in total; participants: 522 people from 416 companies)

● Published revised Green Procurement Guidelines on website (Japanese, English and Chinese versions) ● Promoted Environmental Supplier Certification System (certification rate: 93%; certified: 1,256 suppliers) ● Promoted Environment-Friendly Items Certification System (certified: 15,423 items, up 4,289 year on year)

★★★

P.26● Increase the use of common environmental/CSR specification sheets via the Internet ● Launch next-generation IT systems incorporating environmental/CSR procedures and provide training to suppliers ● Publish REACH Directive Compliance Guidelines in English and Chinese Promotion of CSR procurement (required by

environmental and social standards)★★

※Perception study: A study conducted to investigate the perception of the company by securities analysts, institutional investors and other participants in the securities market, to analyze various opinions and evaluations about the company from different perspectives and to take advantage of the results for IR activities to eliminate the difference between the company’s own perception and the perception of others.


Corporate GovernanceHitachi Cable strictly adheres to laws and regulations as well as to the management policies of the Hitachi Group, thereby continuing to strengthen its corporate governance structure and conducting fair and transparent corpo-rate management.

Hitachi Cable considers its efforts for continuous devel-opment of business as the foundation of corporate gov-ernance on the basis of compliance with relevant laws, business ethics and CSR principles as well as one of the most important challenges of management. In order to speed up management decision-making and enhance management transparency under the principles, the company has adopted the committee system, clearly separating executive and supervisory functions of man-agement. Based on an outline decided by the Board of Directors, the internal control system is constructed and operated as an organization “supervision.” As of March 31, 2010, Hitachi, Ltd. and its group com-panies (collectively, “the Hitachi Group”) hold 53.1% of

the total of Hitachi Cable shares with voting rights. In conducting its business, Hitachi Cable maintains inde-pendence from parent company Hitachi. At the same time, the Company’s operations do not heavily rely on transactions with the parent company. Moreover, Hitachi Cable has designated one of its outside directors as an “independent director,” defined under the securities list-ing regulations of the Tokyo Stock Exchange and the Osaka Securities Exchange on which its stock is listed. This independent director provides various opinions and advice regarding corporate management from a third-party standpoint, enabling the Company to ensure the objectivity of its Board of Directors’ decision-making pro-cesses and its independence from the parent company.

■ Basic Approach

■ Corporate Governance Structure

　 Supervisory Function Management and Operating Functions

Hitachi Cable designs and administers its internal control system in line with the basic internal control policies for-mulated by its Board of Directors, which is tasked with

the supervision of the system. The Board of Directors devotes itself to decision-making on such matters as basic management policies and supervisory functions, and it has broadly transferred executive authority for operations to executive officers. As part of the supervisory

Corporate Governance Structure

The General Meeting of Shareholders

Board of Directors (eight directors, three of whom are outside directors)Supervision

Nominating Committee

•Main responsibilities

Selection of candidates for directorship

(Three directors, two of whom are outside directors)

Compensation Committee

•Main responsibilities

Determination of compensation to directorsand executive officers


Audit Committee

Audit Committee Office

•Main responsibilities・Audits of directors’ and executive officers’ performance of their duties・Selection and dismissal of the independent auditor


President & CEOExecutive Vice-President & Executive OfficerSenior ExecutiveManaging Officers ExecutiveManaging OfficersExecutive Officers

Executive Committee(Entity responsible for internal control overbusiness execution of executive officers)

Corporate Social Responsibility Office

InternaAuditingOffice

Compliance Committee

Internal Control

Committee

Risk Management Committee

IndependentAuditors

ExecutionInvestigation of important matters asrequested by the Board of Directors


CS

R M

anagement

functions of the Board of Directors, three independent committees, each of which comprises of two outside directors and one Hitachi Cable director, have been established to contribute to the fulfillment of the audit responsibilities of the Board of Directors: the Nominating Committee, the Audit Committee, and the Compensation Committee. Basically, the Audit Committee meets month-ly, wh i le the Nominat ing Commit tee and the Compensation Committee meet whenever necessary. There are eight members on the Board of Directors, including three outside directors. The Chairman of the Board who chairs meetings of the Board of Directors does not serve as an executive officer. Regarding the nomination of candidates for director, the Nominating Committee considers ability, experience, character and other factors for each candidate. Regarding the nomination of executive officers, the Board of Directors considers the aforementioned attributes as well as the leadership each candidate provides. As part of internal control over the execution of opera-tions by executive officers, an Executive Committee com-prised of all executive officers has been established. The purpose of the Committee is to enable each executive offi-cer to review and make decisions about important issues transferred from the Board of Directors in different angles and to share information about the execution of operations by individual executive officers.

　 Directors and Executive Officers Compensation System

The committee determines compensation for members of the Board of Directors and executive officers. This is individually determined as per policies decided by the Compensation Committee. Compensation for directors is comprised of a monthly salary and year-end benefits, and no compensation as a director is paid to any director also serving as an executive officer. Compensation for executive officers is comprised of a monthly salary and renunciation linked to performance. The renunciation linked to performance is determined by the status of medium-term plans, budgets and other target achieve-ments, depending on the distribution ratio of consolidat-ed results, the performance of a division each executive officer assumes responsibility for and personal achieve-ments specified by position.

To share risk-related information about decision-making on risk management policies, responses to risks and recurrence prevention, Hitachi Cable has established a Risk Management Committee under the Executive Committee and headed by the President and Chief Executive Officer as its chairperson. The committee attempts to identify, assess, prevent and reduce risks. Hitachi Cable provides wide-ranging products and services in many markets throughout the world while uti-lizing an extensive portfolio of advanced technologies to promote its business. Due to the nature of its business, the Company’s activities may be affected by various fac-tors. These factors include: (1) changes in demand and political and economic conditions in the markets where Hitachi Cable operates; (2) fluctuations in raw material

prices and procurement conditions; (3) fluctuations in foreign exchange rates; (4) the implementation of busi-ness restructuring; (5) product-related accidents and quality problems; (6) new product development; (7) laws, regulations and official restrictions; (8) intellectual proper-ty rights; (9) information security; (10) large-scale disas-ters and pandemics; (11) retirement and severance benefit obligations; and (12) relationship with the parent company. Furthermore, to prepare for such risks as large earth-quakes and other disasters, acts of terrorism and new types of influenza and other pandemics, the company prepares a business continuity plan (BCP) so that any interruption to the business will not have any substantial impact on society.

■ Risk Management

The total amount of annual compensation for direc-tors, excluding outside directors, for the fiscal year ended March 2010 was 123 million yen. Compensation for out-side directors and executive officers totaled 28 million yen and 427 million yen, respectively.

　Audit Function, Internal Control System

To further strengthen the Company’s internal audit and internal control functions, the Internal Audit Office (7 ded-icated staff members and 37 staff members serving con-current positions) has been established. The Internal Audit Office strategically implements internal audits and promotes internal control to ensure the legality and appropriateness of operations by individual departments and sections of Hitachi Cable and its Group companies. Furthermore, the Compliance Committee and its secre-tariat—the Compliance Office (3 dedicated staff mem-bers and 7 staf f members ser v ing concurrent positions)—have been established to promote training and audits and provide guidance on a Groupwide scale, thereby ensuring that the Company’s activities conform to laws, regulations and business ethics. The Audit Committee monitors and verifies the status of these audits while having directors and executive officers report their execution of business operations as appropriate. In this way, the Audit Committee is overseeing the Company’s management overall. The Company also has an Internal Control Committee that determines policies, plans, operations and procedures of the internal control system regarding internal control associated with finan-cial reports and reviews/approves results of the assess-ment of the effectiveness of the system, organizing a structure to assure appropriateness and reliability of financial reporting. With regard to account auditing, Ernst & Young ShinNihon LLC has been appointed as the independent auditor. The composition of the team involved in auditing operations is determined on the basis of the account auditor's selection criteria and, in precise terms, is com-prised of seven certified public accountants, and nine-teen other staff. The independent auditor reports to the Audit Committee at its meetings, exchange opinions with the Audit Committee members and the General Manager of the Internal Auditing Office who also attend the meet-ings, promoting partnership in auditing.


The Company takes every opportunity to host as many as more than a dozen compliance education courses including corporate-wide function-wise education, man-agement education for Group Companies and Anti Monopoly Act education mainly for Sales. Furthermore, as material to supplement educational opportunities, the Company published Japanese, English and Chinese ver-sions of “Framework Handbook for Business Ethics” so that the awareness of compliance should be promoted as wide as possible in the Group including overseas

Group Companies, distributing it to employees of all Group companies. In FY2010, we hosted a total of eight corporate-wide, function-specific compliance and human rights education courses and a total of two manager education programs for Group companies. We also hosted a corporate-wide Antimonopoly Law education program, attracting the participation of a total of 1,782 employees. In addition, the Company offers its employees an e-learning program to raise their awareness of compliance.

■ Compliance Education

On June 2, 2009, the Japan Fair Trade Commission (JFTC) conducted an on-the-spot inspection on the sus-picion that Hitachi Cable was determining order prices, order awardees and order shares jointly with other manu-facturers and vendors for fiber optic cables and associat-ed products for telecommunications carriers. Hitachi Cable has fully cooperated with the investigation of the JFTC. On May 21, 2010, the JFTC issued cease-and-desist and surcharge-payment orders to the five manu-facturers and vendors involved. Hitachi Cable was

excluded from the scope of these orders due to the lapse of the time limit imposed by the statute of limitations. However, humbly accepting the fact that the JFTC acknowledged us as having violated the Antimonopoly Law, we are currently accelerating initiatives aimed at fur-ther raising and instilling awareness of compliance among our employees. Moreover, the Company is working to improve the level of its business management through regular audits.

■ Compliance Status

To supplement its corporate purification, Hitachi Cable established the Disclosure Compliance Reporting System in October 2003. If not only employees of Hitachi Cable or its Group companies but also suppliers and other external parties concerned once become aware of any illegal or inappropriate action, he or she can directly report to our Compliance Office Legal Group. These are then summarized and publicly released. Also, in 2009, the Company reinforced the Disclosure Compliance Reporting System in order to facilitate the acceptance of anonymous reports regarding illegal or inappropriate action under the Antimonopoly Law.

■ Disclosure Compliance Reporting System

Compliance

The Hitachi Cable Group espouses “Keeping to the Straight and Narrow” as part of its code of conduct to be com-plied with by all management and employees and makes it clear that compliance is the prerequisite of business activities.

Hitachi Cable has established the Compliance Office Legal Group in charge of promoting compliance activi-ties. In addition, the Compliance Committee holds regular meetings to deliberate and make decisions on basic poli-cies regarding compliance with laws, regulations and business ethics as well as on matters relating to compli-ance education and audits. The Compliance Office then works to educate Hitachi Cable employees on compli-

ance-related issues, conducts necessary audits, and provides appropriate guidance to parties involved. In addition, the Compliance Office proactively collaborates with the Internal Audit Office and the Legal Department to enable the Company to promote business in such a way that demands of society presented to it can be effectively met.

■ Compliance Promotion Structure

■ Internal Company Contact■ Mailing address Compliance Office Legal Group, Hitachi Cable

Akihabara UDX, 4-14-1 Sotokanda, Chiyoda-ku, Tokyo 101-8971, Japan

■ FAX +81-3-5256-3240■ E-mail address [email protected]

We strictly manage and control any personal information received at the time of notification in accordance with the “Hitachi Cable Personal Information Protection Policies” and do not use the infor-mation for any purpose other than investigations of the notified matter and its reporting.

Contacts of the Disclosure Compliance Reporting System


CS

R M

anagement

Hitachi Cable considers the essence of export regulations lies in compliance of export regulation related laws and reg-ulations in direct and indirect export projects, protection from illegal acts by business partners and compliance with CSR requirements in terms of international security. We founded the Corporate Export Regulation Office directed by the Vice President and Executive Officers to strengthen our export regulation system by promoting the guidance of establishment and improvement, auditing, education and awareness-raising activities of the system by our Company and domestic and overseas Group companies. As part of a comprehensive range of activities in FY2010, we helped two overseas Group companies and two domestic Group companies in the design of export

regulation systems. These Group companies have suc-cessfully established and started the administration of necessary systems. Moreover, Hitachi Cable has offered all Group employ-ees e-learning sessions to learn about export regulations, including such subjects as the amendment to the Foreign Exchange and Foreign Trade Law. Through these sessions and other activities, Hitachi Cable has continued to strengthen its systems required to manage its export activi-ties. Going forward, responding to amendments of relevant laws and regulations, we will continue to improve and pro-mote thorough implementation of steady and efficient export regulations.

■Export Regulations

　Information Security Management System

Our Group sets forth various regulations and rules regard-ing information security and personal information protec-tion, including “Information Security Basic Policies” and “Hitachi Cable Personal Information Protection Policies” and ensures that every employee is familiar with them. In promoting the information security management system, the Information Security Committee has been established since FY2005. The committee has been engaged in such activities as the establishment of rules and systems to properly manage internal and external important information, including personal information in addition to the provision of educational tools.

　 Information Security Education and Awareness-Raising Activities

Hitachi Cable focuses its efforts on a wide range of edu-cational and awareness-raising activities, including infor-mation security education through e-learning for the employees of Hitachi Cable and its domestic and over-seas Group companies. In order to further enhance information security aware-ness among all Group employees, the company has des-ignated February as “Information Security Month” since FY2009 and conducts education and awareness-raising activities about in-house rules related to information secu-rity and reviews of information management conditions. Also, in FY2010, Hitachi Cable provided employees of overseas Group companies with an educational program to facilitate the prevention of information leaks.

　Information Security Measures

In order to reduce the risk of information leakage, the Hitachi Cable Group has implemented various informa-tion security measures, focusing on the three aspects of computer systems and networks, human resources and physical environments. In FY2010, we adopted a stricter rule prohibiting the use of company PCs outside company venues. Also, as a measure to prevent information leaks via the Internet, the Company reinforced its Internet filtering system. This reinforced system limits the access to certain websites from company PCs, effectively preventing information leaks via the Internet. Meanwhile, we have received Promissory Letters Concerning Information Leak Prevention from our business partners who handle confi-dential information of our customers.

Promotion

organizationM

anagement

organization

Responsible persons forinformation security(Each General Manager)

(President of each Group company)

Information systemadministrator

(Head of Corporate IT Center)

Responsible person forpersonal information control(Manager of Legal Department)

[Chairman] CIO[Committee members] Corporate Sales & Marketing Group / Corporate Advanced / Legal Group / Technology Group / Corporate IT Center, Procurement Center Human Resources & Administration Group / Representatives

Information SecurityCommittee

Information assetsadministrator

(Head of each department)

Information Security & Promotion Organization

Information SecurityIn order to prevent the leakage or unauthorized use of any information, including not only documents and elec-tronic data, but also know-how owned personally by employees, the Hitachi Cable Group takes a comprehensive range of measures, including hardware and software countermeasures, improvement of control rules and educa-tion of individual employees, making thorough efforts to establish and maintain the information security control system.


Engagement with CustomersIn order to deliver high-quality products to customers, we emphasize product development from the viewpoint of customers and optimize production, quality assurance and other systems.

■ Production-Process and Human-Resource Development with the “Hitachi Cable Just-in-Time (JIT) Production System”

　Hitachi Cable JIT Production System

Hitachi Cable introduced the Hitachi Cable JIT Production System in FY2007. This system is based on the Toyota Motor Corporation Production System and aims for a thorough elimination of waste. From the standpoint of total optimization, every process from marketing, design to procurement, manufacturing and shipment is reviewed to establish a production framework to produce “what is needed to be produced to the amount needed when it is needed.” The Hitachi Cable JIT Production System is to ensure a rearing of talent in view of total optimization take root in the company. Under the concept that the evolu-tion of “manufacturing” means “development of human resources,” Hitachi Cable keeps on advancing. Currently, the Hitachi Cable JIT Production System has been introduced to all six works, expanding the cov-erage to all departments and sections. The system is now being deployed at domestic Group companies, and preparations for the FY2011 implementation at overseas Group companies are also in progress.

　Initiatives to Enhance Value for Customers

In order to effectively operate the Hitachi Cable JIT Production System and to enhance value for customers, the flow of the entire supply chain must be adjusted. Our Group started the “Business Strategy Visibility Project” with a cross-functional team comprising of members from Manufacturing, Business Planning, Sales, Development/Design, Production Planning, Procurement, Quality Assurance and Logistics, since FY2007. The project team has thorough discussions on what values must be provid-ed to customers by division or by product group, grasps the strengths and weakness of individual divisions, clarifies the key challenges and takes the necessary measures.

■ Quality Assurance

　Our Approach to Quality Assurance

Basic Principle of Quality AssuranceAiming for “quality first” and “customer first” based on Hitachi’s Ochibo Seishin (spirit of Ochibo),*1 we offer highly reliable products with secured product safety (including software, etc.) to satisfy custom-ers, and thereby contribute to the development of society.

Based on its “Basic Principle of Quality Assurance,” Hitachi Cable promotes initiatives to improve quality and customer satisfaction within the entire Group. In order to realize this Basic Principle, we establish a yearly corpo-rate-wide quality policy, set concrete targets and address quality assurance activities. Furthermore, to improve quality and operational effi-ciency and to increase customer satisfaction, the Hitachi Cable Group has established quality management sys-tems appropriate for individual operations while aggres-sively supporting the achievement of ISO9001 or ISO/TS16949 at both domestic and international production bases.*2

　Quality Assurance System

The Quality Assurance Departments of each business group and Group company are engaged in quality assur-ance operations of products they are responsible for, mak-ing efforts for quality improvement. In addition, from a corporate-wide perspective, the Quality Assurance Center supports on a departmental basis, the Group and Divisions through promoting corporate-wide quality assurance activities and implementing quality education in order to make sure quality-related activities go smoothly. As a company-wide organization on quality, we have established a Quality First Committee and Company-wide Quality Assurance Conference. These committee activities enable those concerned including, Officers to share information on quality situations and to promote continuous improvement by discussing challenges and directions for improvement.

*1 Ochibo Seishin: Hitachi Group’s tradition of “acting on the basis of conscience and humanity.” Our efforts to eliminate product defects and accidents are based on this spirit.

*2 Group companies manufacturing products for vehicles have achieved ISO/TS16949 certification.


So

cial Perform

ance

Acquisition of ISO Quality Management System Certifications(As of March 31, 2010)

President & CEO

Quality First Committee

Company-wideQuality Assurance Conference

BusinessHeadquarters

Group Companies

Quality AssuranceDepartment

Quality AssuranceCenter

Quality AssuranceDepartment

[Chairman] Executive responsible for quality assurance[Committee members] Executives

[Chairman] General Manager of the Quality Assurance Center[Committee member] Manager of Quality Assurance Department

Quality Assurance System

Tonichi KyosanCable, Ltd. 1996.1 LRQA

Hitachi Cable FilmDevice, Ltd. 2009.1 JQA

Hitachi Alloy, Ltd. 2004.3 LRQA

Hitachi Wire &Rod Ltd. 2003.8 LRQA

Hitachi CablePrecision Co., Ltd. 2002.7 LRQA

Hitachi Cable FineTech, Ltd. 1994.2 LRQA

Hitachi CableLogi-Tech, Ltd.

LRQA

Hitachi CableNetworks, Ltd. 2004.3 LRQA

Hitachi Cable MEC-Tech, Ltd.

1998.10 LRQA

Hitachi MagnetWire Corp. 2002.9 LRQA

Tohoku RubberCo., Ltd. 2001.11 LRQA

Domestic Group Companies

Hitachi Cable

Name of WorksMonth and year

of ISO9001acquisition

Authorizingagency

Name of WorksMonth and year

of ISO9001acquisition

Authorizingagency

Densen Works 1995.10 LRQA

Hitaka Works※ 1994.2 LRQA

Tsuchiura Works 1998.12 LRQA

※Simultaneously acquired with the works ofHitachi Cable

※Including Takasago Works,Toyoura Works and Minato Works

Company name Authorizingagency

Month and yearof ISO9001acquisition

Month and yearof ISO/TS16949

(automobiles acquisition)Authorizing

agency Remarks

Shanghai Hitachi CableCo., Ltd.

2002.3 SAC 2008.1 SGS

Hitachi Cable(Suzhou) Co., Ltd.

Cable Works 2007.8 CQC

AssemblyWorks

2004.5 UL

Hitachi Cable (Johor) Sdn. Bhd.

PLO502000.5 LRQA 2006.7 LRQA

PLO40

Giga Epitaxy Technology Corporation 2003.1 AFAQ-EAQA

Hitachi Cable Indiana, Inc. 2007.2 Eagle Registrations

AHCL (Thailand) Co., Ltd. 2006.2 URS 2006.2 URS

Hitachi Cable Florida, Inc. 2008.12 SGS

Hitachi Cable (Singapore) Pte. Ltd. 2002.11 LRQA 2005.6 LRQA

Suzhou Hitachi Cable PrecisionCo., Ltd.

2006.7 LRQA 2008.1 LRQA

Thai Hitachi Enamel Wire Co., Ltd. 2003.5 SGS 2007.3 SGS

Hitachi Cable Philippines, Inc. 2003.12 AJA

Hitachi Cable Manchester Inc. 2003.8 UL

HC Queretaro, S.A. de C.V. 2006.11 SGS 2006.11 SGS

PHCP, INC. 1998.5 SGS 2005.1 SGS

Shenzhen Hitachi CableCo., Ltd.

2008.9 UL

Hitachi Cable Austria GmbH 2006.6 TÜV

Hitachi Cable UK, Ltd. 2003.1 BSI

Hitachi Cable PS Techno (Malaysia) Sdn. Bhd.

2002.10 BVQI 2009.3 BVQI

Overseas Group Companies


　Small Group Activities

Ever since their introduction as the core of Total Quality Control (TQC) in 1968, small group activities have driven quality improvements at each business group and Group company. In recent years, the scope of these activities has been expanded to cover “quality, cost and delivery” (QCD) improvement. With the expanded scope, small group activities have become an important initiative that underpins Hitachi Cable’s business foundation. Today, with the aim of further reinforcing its production processes and human resources, Hitachi Cable focuses on linking these activities with the Hitachi Cable JIT Production System and, at the same time, integrating bottom-up activities with top-down activities. Also, in order to encourage the development of individual small-group activities, the Company holds a “Companywide Convention,” where small groups from business divisions and Group companies give presentations on the out-come of their activities. We also hold a Groupwide “International Convention,” which includes overseas Group companies. At the 8th International Convention held on April 20, 2010, selected small groups from 17 companies in 8 coun-tries gathered in Hitachi City, Ibaraki Prefecture, to give presentations. Through these presen-tations, par t ic ipants ac t i ve l y exchanged opinions and engaged in discussions on the t h e m e o f q u a l i t y improvement.

　Tackling Quality Issues

If any quality issue occurs, it is communicated to depart-ments and sections concerned through predefined rules and routes. If a major product accident takes place, it is promptly reported to top management to take quick action, placing priority on customers. Countermeasures for any product accident are pursued on the basis of two aspects, direct cause of the accident and the motivation-al reason of the background to prevent a recurrence. In addition, from May to June every year, an “Ochibo Hiroi” meeting*3 inherent to the Hitachi Group is held at each Business Group and domestic Group company, and under the guidance of top management, those directly involved in accidents and those concerned learn lessons from the mistakes and contribute them to future operations.

*3 “Ochibo Hiroi” meeting is an activity to review product accidents from the viewpoint of customers, reflect on them and prevent their recurrence.

　Quality Improvement Activities

Aiming for a further improvement in quality, Hitachi Cable has launched a “Quality First for 21st Century Phase III” (QF21 III ) initiative, which extends from FY2010 to FY2012. Prior to the launch of the QF21 III initiative, Hitachi Cable reviewed and renewed quality improvement activi-ties implemented under the previous “New QF21,” which extended from FY2007 to FY2009. These quality improvement activities are promoted

with a focus on addressing the following five issues, and each business group and division implements them by running a Plan-Do-Check-Act (PDCA) cycle: planning, trial, follow-up and review by the Committee, including executives, and imple-mentation.

Logo mark of quality improvement movement

8th International Convention of the Hitachi Cable Group’s Small Group Activities (Hitachi City, Ibaraki Prefecture)

① Strengthen quality-related CSR In order to promote business operations in an orderly

manner, we carry out investigations on and thorough awareness raising of technical laws and regulations applied to our products as well as the establishment of compli-ance mechanisms for individual operational processes.

② Quality improvement of procured and subcontract-ed goods

In order to strengthen supply chain management, including the globalization of the procurement of parts, components and materials, we are restructuring the quality control system of procured and subcontracted goods, and are promoting activities to improve the skills of control engineers.

③ Global quality improvement Aiming for the “same quality throughout the world,” we

promote quality improvement activities working together with overseas Group companies.

④ Improvement of quality measures To meet customer's expectations of quality and to firmly

establish a business foundation, we quantify quality for improvement.

⑤ Human resource development We regularly hold quality control and quality control

technical courses in order to improve skills by function. Furthermore, in consideration of frequent issues of cor-porate ethics in recent years, we host ethical education for engineers through manager training and e-learning courses in order to promote an understanding of the importance of compliance and to prevent issues in actual business.


So

cial Perform

ance

Engagement with SuppliersThrough the establishment of guidelines and the holding of explanatory meetings, the Hitachi Cable Group shares information with suppliers, thereby jointly promoting CSR activities.

Under the basic principles of fairness, justice and equal opportunities, Hitachi Cable selects partners based on a total judgment in accordance with the Hitachi Cable Group’s purchasing standards, regardless of the country and scale. In procurement, we attempt to share a sense of social responsibility with partners such as compliance with relevant laws and regulations and a consideration of the global environment and aim to establish relationships to widely contribute to society through mutual business as good partners.

As a forum to share the basic policies on purchasing and to enable purchasing staff to reflect on their own purchase activities, we also hold a Hitachi Cable Group Materials Meeting both in Japan and abroad once a year. The company further holds Group training courses on compliance with relevant laws and regulations and ethics on materials associated with procurement activities every year, implementing continuous education.

■ Approach to and System for Procurement

The Hitachi Cable Group operates in diverse fields and manufactures and sells a wide range of products for vari-ous industries and businesses. In order to conduct man-u fac tu r ing that compl ies w i th va r ious soc ia l responsibilities, including environmental conservation, it is essential for Hitachi Cable to share CSR awareness with its partners who jointly promote business. Hitachi Cable has created a “Procurement” section on its website, widely disclosing its procurement policies and other related information while holding explanatory meetings for suppliers when appropriate. In FY2010, Hitachi Cable held 17 explanatory meetings on compli-ance with REACH regulations for 416 par tners. Furthermore, in order to prevent information leaks, we regularly conduct investigations of our partners with regard to the status of their measures to prevent informa-tion leaks.

■ Sharing CSR Awareness with Suppliers

In order to comply with RoHS directives and other chem-ical substance regulations, the Hitachi Cable Group has established rules for eco-fr iendly manufacturing ( Env i ronmenta l CSR-Compl iant Manufactur ing Standards), reviewing corporate-wide manufacturing from a CSR viewpoint. The Group continues initiatives toward reducing its environmental burden throughout the lifecycle of its products, from design to disposal. In FY2007, the Group established the Hitachi Cable Group Green Procurement Guidelines, distributed cop-ies to partners, solicited cooperation for surveying and auditing of chemical substances contained in products, and continuously implemented green procurement. (For

details of green procurement, see Page 53.) In FY2010, we revised the Hitachi Cable Group Green Procurement Guidelines, and the revised version has been translated into English and Chinese. All versions are available on the Company’s website. Also, in FY2009, we started an environmental supplier certification system. Based on this system, we have compiled supplier information into the Environmental Supplier Certification Database and have begun using this database in our operations. At the same time, the Company is promoting the registration and certification of the environmental quality of items procured.

■ Promotion of “Green” Procurement

Explanatory meeting on compliance with REACH regulations


Engagement with Shareholders and InvestorsIn order to meet the trust and expectations of shareholders and investors and allow them to deepen their under-standing of the Company, Hitachi Cable is working to strengthen communication with them through various media and events.

Hitachi Cable maintains strict adherence to fair and transparent activities. In line with this principle, the Company promotes corporate management and busi-ness operations by respecting trust-based relationships with customers, shareholders and investors, society, and other stakeholders. More specifically, in disclosing important information relating to Hitachi Cable and its Group companies, in

addition to the above principle, we closely adhere to the policy of valuing speed and timeliness, we observe relat-ed laws and regulations and the guidelines and internal rules of financial instrument exchanges, and we work to comprehensively understand and manage the informa-tion to be disclosed and ensure that such content is appropriate and accurate.

■ Principle of Disclosure

Taking such factors as performance status, the strength-ening of our business structure and future business strat-egies into consideration, we properly distribute the profit we make through business to shareholders. With regard to paying dividends based on surplus profit, we value stability in terms of the amount and fre-quency of dividend payments, while giving due consider-ation to our business performance. We effectively use

internal reserves to invest in promising operations and to vitalize existing businesses while maintaining a sound f inancial standing and working to strengthen it. Furthermore, regarding the repurchase of shares as an effective measure to distribute profit to shareholders, we undertake share buybacks as appropriate by taking into account share price trends and financial conditions. The annual dividend for FY2010 was 5.00 yen per share.

■ Basic Policy on Profit Sharing

■ Communication with Shareholders and Investors

　Hosting IR Events

For securities analysts and institutional investors, we host a results briefing on the day of account settlement announcement every quarter, as well as meetings to explain management policies and business details when appropriate. As a most recent example, we held a meet-ing on April 30, 2010 to introduce details of our new Plan “BRIDGE” medium-term management plan, which covers the period from fiscal 2011 to fiscal 2013. For people who cannot attend said briefings and meetings, we provide meeting minutes and other related materials online. In addition, for analysts and investors, we respond to individual inquiries, hold various other types of meetings and offer factory tours.

　Perception Study

In fiscal 2010, we conducted a perception study of 19 security analysts. Management considered this feedback and made use of the results in creating a new Medium-Term Management Plan.

　 Providing Shareholders and Investors with Information

We send Hitachi Cable News—a brief business report—to shareholders at the end of the second quarter and at the end of the fiscal year to inform them of our perfor-mance and provide a business overview for each period in an easy-to-understand manner. As a means of disclos-

As of March 31, 2010, the number of shares issued and outstanding was 374,018,174 shares, held by a total of 22,331 shareholders. The composition of shareholders is comprised of domestic financial institutions (about 17%), individual investors (about 17%), overseas investors (about 10%) and domestic corporations, including Hitachi, Ltd. (about 53%), plus the company’s own shares (about 3%).

■ Shares and Shareholders Information

Composition of Shareholders(As of March 31, 2010)

Financialinstitutionsand securitiescompanies

17.47%

Other domestic corporations

53.12%

Overseasinvestors9.87%

Individuals, etc.

16.99%

Own shares

2.56%


So

cial Perform

ance

ing information to shareholders and investors in a prompt and fair manner, we make full use of the Internet. To pro-vide individual investors with information equivalent to that offered to institutional investors, the latest IR informa-tion—including news releases, financial results, materials used in various explanatory meetings and details of Q&A sessions in explanatory meetings—is available on our IR website. We have also established a dedicated website for individual investors and are constantly endeavoring to strengthen the content of the website. Moreover, we offer a service that sends registered users e-mail* notices of any updates made to our website. For overseas investors, we issue annual reports and distribute information in English via the Internet, including news releases and summaries of explanatory meetings on business and financial results. Through these and other activities, we have established a structure to deliver our

corporate information in the most appropriate manner to overseas shareholders and investors. *Only available in Japanese.

Presentation of Medium-Term Management Plan

● Companies with Excellent Disclosure Selected by Securities Analysts

In the 2009 Awards for Excellence in Corporate Disclosure, organized by the Corporate Disclosure Study Group of the Securities Analysts Association of Japan, Hitachi Cable ranked third in the Iron & Steel/Non-Ferrous Metal category (the top in the cable industry). Specifically, the Company received high praise for the strong explanations and elucidat-ing materials it uses at its results briefing sessions and for its acceptance of interviews to promote bet-ter understanding of the content of these materials, as well as for other efforts it makes to continuously enhance its disclosure activities.

● 2009 All Listed Company Website Ranking

In the Fiscal 2009 Listed Company Website Quality Ranking, announced on November 25, 2009 by Nikko Investor Relations Co., Ltd., Hitachi Cable was ranked 19th among all companies listed in Japan, totaling 3,779. In the Non-Ferrous Metal category, the Company received the top ranking for the sec-ond consecutive year.

● Award for Excellence in Internet Investor Relations

On April 24, 2009, Hitachi Cable was selected as one of 580 companies that maintain outstanding

Internet IR websites by Daiwa Investor Relations Co., Ltd. This represented the fourth consecu-tive year for its selection to this group.

● Excellent Company Award in Internet Investor Relations

On December 18, 2009, Hitachi Cable was presented an Award of Excellence in the 2009 Internet IR Awards, announced by Daiwa Investor Relations Co., Ltd.

●General Ranking of IR WebsitesHitachi Cable was selected as one of the 110 Excellent Companies in the General Ranking of IR Websites in March 2009, announced by Gomez Consulting Co., Ltd. on April 15, 2009. The Company was also select-ed as one of the 127 Excellent Companies in the General Ranking of IR Websites, announced by Gomez Consulting on April 14, 2010, marking the fourth consecutive year of winning this honor.

External appraisal in relation to IR

In order to realize fair and prompt information disclosure, Hitachi Cable continuously makes efforts to improve IR activities, including the utilization of its website. In FY2010, we received the following evaluations from external organizations in relation to our attitude toward IR activities and conditions of information disclosure.

優秀企業賞

2009

R

Internet IR


Engagement with EmployeesHitachi Cable is striving to develop its human resources through a fair personnel system and various measures, while promoting a work-life balance and other initiatives to provide an employee-friendly work environment.

In its Business Ethics Handbook, the Hitachi Cable Group declares that it respects the personalities and human rights of its individual employees and will never commit any discrimination or unjustified acts. Under the basic stance of “not allowing any kind of harassment to occur” and “taking the appropriate measures, including aware-ness-raising activities and education, in order to prevent various types of harassment from taking place,” the Group encourages the prevention of harassment. To be precise, contact persons are assigned at individual offic-es and workplaces to provide consultation, and aware-ness-raising activities are conducted as appropriate,

taking advantage of the Intranet, in-house magazines and other measures. Furthermore, Hitachi Cable is providing position-spe-cific and other types of education programs on a variety of human rights-related subjects, such as Dowa issues, discrimination based on ethnicity, disabilities and gender, and gender harassment. Through these programs, the Company is disseminating accurate information and pro-moting proper understanding of these subjects among its employees, while encouraging appropriate approaches to these subjects.

■ Respecting Human Rights

■ Human Affairs Systems and Human Resources Development

　 Improving Management-by-Objectives System and Formulating Role Definitions

To enable employees to promote the enhancement of their ability and skills and to encourage autonomy, Hitachi Cable has continued to update its human affairs systems. The management-by-objectives system was introduced to managerial employees and above in 1995 and has been improved every year by, for example, expanding the coverage to all employees on a major career path. In FY2009, Hitachi Cable stipulated the roles and requirements expected of l ine managers in Role Definitions, updated the management-by-objectives sys-tem based on this, and restructured and simplified the system to agree with the original goal of management by objectives of “human resources development” and “assessment.” The Role Definitions were prepared on the basis of interviews with about 70 managerial employees, including executives, as well as medium-term manage-ment plans and other management policies. The goal here is to facilitate workplace management more suitable for accomplishing business strategies by enabling indi-vidual line managers to set targets and manage their implementation based on their defined roles. By integrating Role Definitions and the management-by-objectives system and running its PDCA cycle every year, Hitachi Cable commits itself to “developing inde-pendent human resources” and “establishing reasonable assessment systems.”

　Business-Specific On-the-Job Training

We started a “business-specific on-the-job training” course with new college and university graduates who joined Hitachi Cable in FY2009. Under this new scheme, when each new employee has gained a basic under-standing of the department he or she has been posted

to, the new employee will then receive on-the-job training at a business department related to his or her depart-ment (mainly a plant) for a period of three to six months. The purpose of this training course is to help new employees understand the basic concept of “manufac-turing” and operational and supply-chain flows and to raise awareness of the significant responsibility inherent in “manufacturing.” In FY2010, the second year of this scheme’s imple-mentation, a total of 64 new employees took the course, deepening their understanding of the operations con-ducted at the individual departments to which they were assigned. Reflecting on successes and failures in the first year, in FY2010, we designated section chiefs of the departments to which those new employees were assigned as on-the-job training instructors. These instructors worked to promote effective and practical training. Building on this training system, Hitachi Cable plans to reinforce its educational and training infrastructure, there-by becoming a company with employees who will con-tribute to the sustainable development of society.

　Overseas Operations Training

Ever since its commencement in 1978, this training system has enabled employees to gain overseas operational experience. The goal of the system is to help participants master the practical command of a foreign language and to attain operational expertise in the international commu-nity at local language schools, universities or professional schools while attaining experience at our overseas Group companies. There are one-year and short-term (3 to 6 months) courses available, greatly contributing to the development of human resources with global business capabilities among young to middle-rank employees.


So

cial Perform

ance

■ Initiatives to Promote Diversity

　Promoting Diversity in Human Resources

Hitachi Cable promotes diversity management to inte-grate the ability and value of diverse human resources into one to invigorate the entire organization, regardless of personal attributes (gender, age, nationality and physi-cal/mental challenges.)

　Expanding Opportunities for Female Workers

Currently, the ratio of females having managerial roles at Hitachi Cable is rather low when compared with other Hitachi Group companies and major global companies, and we are somewhat behind in terms of the active roles that females play within the Company. For this reason, we set a target of promoting the employment of females taking a major career path so that the ratio reaches 20% among all the newly employed candidates planning to take a major career path. Thus, within the last ten years, the number of females planning to take a major career path has increased fivefold. We continue to enthusiastically employ female employees on a major career path and promote the education and development of female candidates for managerial posts. In becoming a company that can fully offer opportuni-ties for women to exert their abilities and skills, it is essential to improve the work process and environment. This includes changing work attitudes among male employees, enhancing various systems to support a work-life balance and diverse ways of working, and pro-moting understanding of this initiative throughout the Company. Hitachi Cable will continue to take a wide range of initiatives so that employees can work with vigor, regardless of race, religion, age, or gender.

　 Promotion of Employment for the Physically and Mentally Challenged

By the end of FY2008, Hitachi Cable, on a non-consoli-dated basis, succeeded in offering jobs for people with disabilities at a higher proportion than the 1.8% set by the government. The ratio in FY2010 was 1.86%, and the

ratio on a consolidated basis stood at 1.92%. We contin-ue to make efforts to expand the range of job functions available for the physically and mentally challenged, improve working environments and secure more employ-ment opportunities for them.

2006 2007 2008 2009 2010

200

160

120

80

40

0

Numbers of Foreign Employees (Non-Consolidated) and Employees Aged 60 Years or Over (Non-Consolidated)

(Persons)

2006 2007 2008 2009 2010

2.0

1.5

1.0

0.5

0

Ratio of Employees with Disabilities(%)

(At FiscaYear End)

(At FiscaYear End)

FY2006 2007 2008 2009 2010

20

15

10

5

0

Ratio of Females Hired as New Employees (Non-Consolidated)(%)

Number of employees aged 60 years or over Number of foreign employees

Number of employees aged 60 years or over Number of foreign employees

Non-Consolidated

(Persons)

50

40

30

20

10

0

66

87

114146

180

25 2629

3334

1.61 1.651.83

1.86

1.83 1.86

1.92

11.9

15.817.4

16.0

7.6

Consolidated

(Mandatory proportion of jobs for people with disabilities: 1.8%)

everything new, from work processes and workplace environment to language and in-office relations. At the same time, however, it was a very meaningful experience to try to sell services offered by a Hitachi Cable customer to whom I had previously provided business proposals and sold Hitachi Cable systems. This is definitely some-thing that I would never be able to experience if I had been dispatched to a Hitachi Cable subsidiary. So, for me, par-ticipating in the training program was a truly invaluable experience. Today, I belong to the Global Business Development Planning Division and am involved with activities aimed at expanding overseas sales of information- and communi-cation-related systems, particularly in Asia. I feel a sense of fulfillment when the experience and personal connec-tions that I nurtured through the training program actually help me out in my daily operations. I hope to see many young Hitachi Cable employees take advantage of this training program and develop their strengths and interna-tional business capabilities.

VOICE

　 Comment by Overseas Operations Training Participant

Takayuki KishimotoGlobal Business Development Office, Global Business Development Planning Department, Global Business Development Group, Hitachi Cable

I had long hoped to participate in this training program and was finally able to join the program in my seventh year after joining the Company. I was sent to San Jose, California for about a year. In fact, I was the first participant, throughout the his-tory of this program, to be dispatched to a customer’s office, instead of to a Hitachi Cable overseas subsidiary. Naturally, it was extremely difficult for me to adjust to


■ Health and Safety

　Safety Management

We endeavor to maintain high levels of health and safety standards and further improve them under the basic principle of “Protecting the health and safety of employ-ees comes before all else.” In the area of safety management, we have estab-lished an employee health and safety management sys-tem and, accordingly, promoted related activities in a voluntary and systematic manner. To raise safety aware-ness in all workplaces, we are conducting risk assess-ment with the participation of all employees, facilitating communication through morning assembly and meetings and implementing regular safety inspection by manageri-al staff.

returning to my office from these leaves, a year has already passed. But right after I returned to work, my boy had trouble getting used to the day-care center, and I took many days off due to a fever he developed. So I was worried about whether or not I would be able to continue working. However, when we used the day-care center, I was allowed to make use of the short-time work system. I could leave the office at 3:30 pm, pick up my boy and thus be with him as much as possible. To make things much easier, my boss was so very con-siderate, telling me to prioritize family matters. Such kind words from my boss and the help of my colleagues sup-ported me. It was only with their support that I was able to keep going during the first year after my return. Now that I have gained confidence in balancing nursing and child rearing with work, we are thinking about having another baby.

VOICE　 Comment by Nursing/Child Rearing

Leave System Applicant

Mari Sunagawa

Kansai Regional

Operation, Hitachi Cable

I used a year and a half of childbirth and nurs ing and ch i ld r e a r i n g l e a v e s . Thanks to this sys-tem, I could prepare myself better for the delivery of my first baby, a bouncy little boy. Since

In order to enable employ-ees to choose the ideal way to work in accordance with personal values and family conditions, a wide variety of alternatives are available. For childbirth, nursing and child rearing, and family care-giving, e m p l oye e s c a n t a ke advantage of the tempo-rary leave system, short-time work system, and childbirth leave system. Hitachi Cable has also estab-lished a system to reemploy workers who left the Company for child rearing and nursing. The Company has also introduced a “volunteer vacation system.” Under this system, employees may take leaves and participate in volunteer activities by taking advantage of the discre-tionary work and flextime systems and their paid holi-days. Through this and other systems, we have established flexible working conditions. In addition, in FY2010, Hitachi Cable launched a “Change the Way of Working” initiative aimed at facilitating the realization of the optimal work-life balance for individual employees.

Short Time Working System Use Results*

FY 2006 2007 2008 2009 2010

Persons 1 9 3 0 10

Childbirth Leave System Use Results*

FY 2006 2007 2008 2009 2010

Persons 3 8 24 25 24

■ Work-Life Balance

25

20

10

5

15

0

Childcare Leave System Use Results*

(Persons)

FY2006

15

2007

11

2008

16

2009

21

2010

13

* The number of persons who started to use the system in the relevant year

* 1　Rate＝

* 2　2009 figures were not disclosed as of August 13, 2010.

Casualty Figure of labor accidents

Total working hours× 1,000,000

0.0

0.5

1.0

1.5

2.0（%）

0.0

0.5

1.0

1.5

2.0

2.0

1.5

0.5

1.0

0

Labor accident rates*1

(%)

2005 2006 2007 2008 2009

All industries rates*2

Manufacturing industry rate*2

Cable industry rate

Hitachi Cable


So

cial Perform

ance

In addition, we are strengthening safety education and training and the provision of safety-related information. For example, we are providing safety training through disaster identification drills and video learning. We are also implementing safety education programs designed for inexperienced workers using materials based on past disasters and incidents, while offering employees safety-related information through the weekly Safety News magazine and the health and safety Intranet website. In addition, with the aim of improving the level of safety management on a Groupwide scale, we are promoting information-sharing throughout the Hitachi Cable Group, while coordinating Groupwide safety activities.

　Countermeasures against Disasters

Hitachi Cable sets December as “Disaster prevention awareness month” to raise anti-disaster awareness and to improve the disaster prevention management system. In September, we run drills to prepare for a major earth-quake at our works. Also, we continue to provide various kinds of traffic safety activities for employees. These include traffic lectures, inviting law enforcement officials as speakers, providing education for new car owners who commute to work and training sessions using driv-ing safety demo cars (touring vehicles equipped with safe-driving educational facilities). All works of the Hitachi Cable Group have established an internal firefighting team that regularly takes part in firefighting drills to prepare for unexpected fires. In addi-tion, both domestic and overseas Group companies con-duct a comprehensive range of activities to raise employee awareness of disaster prevention.

　Health Management and Mental Healthcare

To protect the health of employees, Hitachi Cable works to control employees’ hours of service, while providing opportunities to take regular health checkups and com-plete medical checkups as well as health guidance based on the results of these checkups. Meanwhile, we urge health insurance unions to introduce such mechanisms as reference services to specialist doctors and telephone health consultation. Through these mechanisms, we have built an environment where employees can work with a sense of safety and security. In recent years, mental healthcare for employees has become a critical issue for Hitachi Cable. In order to enable the prevention, or early detection, of mental health problems in employees, we are striving to enhance work-place communication and mental health education. In particular, Stress Coping Seminars are frequently held to counsel individual employees on ways of reducing stress so that they can work happily and productively. We are encouraging young and middle-aged employees to take the seminars. Also, in order to help employees solve a wide variety of mental health-related troubles through consultation, we collaborate with medical institutions within the Hitachi Group. F u r t h e r m o r e , t h e Company has estab-l ished a program to assist employees who took long-term leaves due to mental health-re lated prob lems in returning to work and preventing a recurrence.

At Hitachi Cable, all employees, except managerial staff, belong to a labor union. To promote communication between employees and management, refine corporate management, improve business development and enhance working conditions for employees, Central Management Committee meetings between representa-tives from the Head Office and Labor Union Headquarters and Works Management Committee meetings between representatives from each business site and Labor Union branch office are held twice a year.

In addition, when establishing, amending or abolishing various systems related to labor conditions, Hitachi Cable and the Labor Union establish task forces for discus-sions, making efforts to maintain and strengthen sound and favorable labor-management relations. During FY2010, the Company and the Labor Union par-ticularly focused their discussions on such subjects as the “Change the Way of Working” initiative and the establish-ment of a labor-management committee aimed at reducing the total working hours, while promoting related activities.

■ Sound Labor-Management Relations

In order to make the lives of employees and their families more affluent and stable, Hitachi Cable offers a compre-hensive range of measures to support them. In 2003, as one of the employee benefits and welfare initiatives to support self-help efforts and the independence of employees, the Company introduced the “Cafeteria Plan System” (selective benefit and welfare system). This sys-tem offers options to meet the different lifestyles and

needs of individual employees such as “ability and skill development,” “child rearing,” “nursing” and “health build-ing,” in addition to such conventional benefits as dormito-ries for single employees and company-run houses and provision of medical services for employees. Within a range of points that each employee has earned (“Cafeteria Points”), he or she can choose the type of support wanted when necessary.

■ Employee Benefits and Welfare

In this day of declining birthrates and an aging popula-tion, and as lifestyles in old age become more diversified, having a definitive life plan is becoming more and more important. Hitachi Cable provides information to serve as the basis for life planning after retirement (retirement ben-

efits, company pension, welfare pension, health insur-ance, employment insurance, etc.) and hosts Life Plan Seminars as an opportunity to think about one’s current work style and one’s lifestyle after retirement.

■ Life Plan Support

Stress coping training


of June 2010 we have collected a total of 2,057,800 caps, the equivalent of 2,572 pol io vaccines or 16,205 kg of CO2 e m i s s i o n s — t h e amount absorbed by 1,15 8 J a p a n e s e cedars in a year.

Engagement with Society and Local CommunitiesIn line with its Fundamental Credo, the entire Hitachi Cable Group is working as one to conduct corporate activi-ties in a fair and open manner, promote harmony with the natural environment and engage vigorously in activities that contribute to social progress. These activities are implemented through the daily operations of all Group employees, domestic and overseas.

■ Works and Regional Environmental Improvement/Environmental Preservation

　 Joining Japan Business Federation’s Declaration of Biodiversity

The Japan Business Federation (Nippon Keidanren) announced a Declaration of Biodiversity in March 2009, explaining the basic concept behind its promotion of corporate activities that give due consideration to biodi-versity. In December 2009, in accordance with its Fundamental Credo that upholds the principle of promot-ing harmony with the natural environment, Hitachi Cable has agreed to cooperate on and participated in related initiatives with the Nippon Keidanren as a Promotion Partner. Meanwhile, the Hitachi Cable Group is promoting wide-ranging environmental projects, from those aimed at improving conditions surrounding its works to those

■ Collaboration with NPOs

　Continuing the “ecoCAP Movement”

Through the ecoCAP Movement, the caps of plastic bot-tles are sorted, collected and recycled as a reusable resource. The recycling of these caps not only saves resources but also reduces CO2 emissions by an amount equivalent to the CO2 that would have been generated through their incineration. Also, proceeds from sales of these caps to recycling companies are used to deliver vac-cines for various infectious diseases to underprivileged children throughout the world. The Hitachi Cable Group joined the ecoCAP Movement in November 2007, and as

Plastic bottle caps collected from the Group companies

Environmental develop-ment activities in the Ogitsuyama Nature Park

Cleaning activities in Singapore

　 Cleaning Activities in Singapore’s Sungei Buloh Wetland Reserve

Hitachi Cable (Singapore) Pte. Ltd. started cleaning activities in the Sungei Buloh Wetland Reserve in Singapore in January 2010. Boasting an area of 87 hectares, this wet-land site is the first to be designated as a nature park by the Singaporean government. Being home to mangroves and rare animals and plants as well as being a migratory stopover for birds, many people visit this reserve to observe the wildlife.

intended for protecting the global environment. Also, while conducting biodiversity-conscious corporate activi-ties, Hitachi Cable is proactively implementing other activities to maintain and revitalize the natural environ-ment. These activities include a project that improves conditions of the Ogitsuyama Nature Park.

Also, the reserve has been selected as a target for nature protection and forest restoration under the Singapore Green Plan 2012 promoted by the Singaporean government.


So

cial Perform

ance

Technical training programs by the Basketball Team members

(Basketball Team URL: 　http://www.hitachi-cable.co.jp/basketball/index.htm)

participation in these and other sporting events and local festivals, we are striving to invigorate local communities and contribute to sports promotion.

　Basketball Team: Assisting Sports Promotion

Hitachi Cable’s Basketball Team, the “Hitachi Cable Bulldogs,” belongs to the Japan Basketball League 2 (JBL2), competing in games all over Japan and contribut-ing to the promotion of basketball. Aside from such professional activities, our basketball team conducts exchange activities in the community around Hitachi City, their hometown, through basketball. In particular, technical training programs and practice matches are popular events, attracting the participation of a number of local elementary, junior and senior high school students each year.

■ Corporate Sports

　 Marathon Team: Regular Contestant in the New Year Ekiden

Hitachi Cable’s Marathon Team has participated in the New Year Ekiden (All-Japan Inter-Business Organization Ekiden Relay Race), which takes place every New Year’s Day, for the past eight consecutive years, for a total of 23 times. Not only runners, but also team staff, employee supporters throughout Japan and people in the local communities along the relay course all share the excite-ment and come together for this event. Members of the Marathon Team also participate in the Hitachi Sakura Road Race held in Hitachi City, Ibaraki Prefecture, as guest runners and in the Kasumigaura Marathon (International Blind Marathon Kasumigaura), which takes place in Tsuchiura City, Ibaraki Prefecture, as escorts for visually impaired runners. Through proactive

Escort running at the Kasumigaura Marathon

(Marathon Team URL: 　http://www.hitachi-cable.co.jp/gaiyou/marathon/index.html)

　Participation in the “goo Green Label” Project

NTT Resonant Inc. operates a search engine called “goo Green Label.” This environment-friendly search engine is operated with a special mechanism. That is, users of the search engine can contribute to environmental conserva-tion as NTT Resonant donates 15% of the gross profit it makes from advertisements placed on goo Green Label search result displays to various kinds of soical contribu-tion NGOs and NPOs. Having become a corporate partner of this project, Hitachi Cable has promoted the use of the goo Green Label search engine on a companywide basis.

　Participation in the “Morino Chonai-Kai” Initiative

Hitachi Cable has participated in an initiative called “Morino Chonai-Kai” ( literally, Forest Neighborhood Association), which is promoting forest thinning and the effective use of paper made from wood collected through forest thinning, as a support company. This initiative is operated by Office-Chonai-Kai, an environmental NPO working to encourage the recycling of used paper. By prioritizing the use of certain types of paper that contrib-ute to the promotion of forest thinning, we are assisting in the sound development of forests in Japan.

■ Social Welfare and Donations

　 Participation in the Hitachi National Food Drive in the United States

　Hitachi Group companies located in North America are promoting the Hitachi National Food Drive. From the Hitachi Cable Group, Hitachi Cable America Inc. and Hitachi Cable Manchester Inc. have joined this initiative. Through this program, foodstuff is donated, while mone-tary contributions are also made. Proceeds from mone-tary donations are used to purchase foodstuff for donations.

　 Donation of Stationary to Elementary Schools in Mexico

Located in Mexico, Hitachi Cable Group company HC Queretaro, S.A. de C.V. manufactures and sells automo-tive brake hoses. HC Queretaro has participated in sta-tionary donation activities promoted by the Queretaro City government and local teachers’ associations. Through these activities, the company collects such sta-tionary items as pencils, pens and notebooks, which are then donated to local elementary schools, and is thus contributing to the development of the educational envi-ronment in local communities.


Other Major Social Contribution Activities in FY2010Category and Activity Description Name of Company and Works

Regional Cleaning Activities

“Clean & Green Project” parks cleaning and weeding activities organized by the association of local corporations Hitachi Cable Precision Co., Ltd.

Sendai City volunteer cleaning activities organized by Hitachi Aobakai Tohoku Rubber Co., Ltd., Hitachi Densen Shoji, Ltd. (Tohoku Branch)

“Clean-Up Day” cleaning activities around the works Hitachi Cable Film Device, Ltd.

Kazusagawa River cleaning activities promoted by local volunteers

Works and Group companies in the Hitachi area

Cleaning activities along the river near the works in cooperation with the Juo RiverFishermen’s Cooperative

Cleaning activities at stations, along commuter roads and on beaches near business sites

Mount Kamine and Mount Takasuzu Climb & Clean Program

Cleaning activities around Kanda Station in Chiyoda-ku, Tokyo

Hitachi Densen Shoji, Ltd.Environmental beautification activities in Aoba-ku, Sendai City

Cleaning activities on streets from the Chubu Region Branch Office to nearby stations

Love Earth Clean Up in Hokkaido

Hitachi Cable, Ltd. (Hokkaido Sales Office), Hokkai Hitachi Densen Kihan, L td., Tonichi Kyosan Cable, L td. (Hokkaido Sales Office)

Tree-Planting Activities

Volunteer Experience Tour to Horqin Desert Greening Project in China Hitachi Cable (China) Trading Co., Ltd.

Tree Planting Forum Thai Hitachi Enamel Wire Co., Ltd.

Tree-planting activities promoted by companies operating in the LIMA Technology Center Hitachi Cable Philippines, Inc.

Environmental Development

Activities

Project to improve the hiking courses within the Ogitsuyama Nature Park Works and Group companies in the Hitachi area

Greening of employee parking area within the works’ site 25 Tonichi Kyosan Cable, Ltd.

Safety- and Hygiene-Related

Activities

Award presented by Sendai City in recognition of ensuring safety at business siteTohoku Rubber Co., Ltd. Registered under Mori-no-Miyako Heart Aid, a Sendai City initiative to register businesses

that are qualified to use automated external defibrillators (AEDs)

Award presented by the head of Hitachi Labor Standards Supervision Office for achieving Class-3 no accident record Densen Works, Hitaka Works

Voluntary fire department organized Works of Hitachi Cable, Ltd., Tonichi Kyosan Cable, Ltd.

Blood Drive Contributions to blood driveWorks and Group companies in the Hitachi area, Tsuchiura Works, Tonichi Kyosan Cable, Ltd.

Local Production for Local

ConsumptionPromotion of local production for local consumption at welfare facilities Welfare facilities in the Hitachi area

(Hitaka Club, Suginouchi Club)

Cleaning activities along the Juo River Cleaning activities (Hitachi Densen Shoji, Ltd.)

Tree-planting activities (Thai Hitachi Enamel Wire Co., Ltd.)

Tree-planting activities (Hitachi Cable Philippines, Inc.)Volunteer experience in Horqin Desert Greening Project in China(Hitachi Cable (China) Trading Co., Ltd.)

Drill of voluntary fire department (Tonichi Kyosan Cable, Ltd.)


So

cial Perform

ance

Category and Activity Description Name of Company and Works

Educational Activities

Summer Family Hands-on Experience SeminarHitachi Cable Logi-Tech, Ltd.

Work experience programs for junior-high school students

Works and site tours for local residents and elementary and junior-high school studentsHead Office, Hitaka Works and Takasago Works of Hitachi Cable, Ltd., Tohoku Rubber Co., Ltd.

High-School Student Internship Program hosted by the Hitachi Chamber of Commerce and Industry Hitachi Magnet Wire Corp.Opening Company

Facilities to the Public

Athletic field, gym and welfare facilities opened to the public Hitaka Works

Athletic field opened to the public free of charge, tennis court opened to the public Tonichi Kyosan Cable, Ltd.

Participation in Regional Events

Hitaka Onmosa Matsuri festival

Hitaka WorksHitachi Sakura Matsuri festival as volunteers

Hitaka Natsu-Matsuri festival

Tsuchiura City Industry Festival Tsuchiura Works, Hitachi Densen Shoji, Ltd.

Donations

Donations by employee volunteers to typhoon victims through churches, etc. PHCP, Inc.

Participation in “My Tree” tree-planting initiative promoted by the Bureau of Construction, Tokyo Metropolitan Government

Hitachi Densen Shoji, Ltd.Donations to Aojyu-Kai, an organization promoting tree planting in Inner Mongolia

Donations to NPO Adventure Navigation Crew of Oarai

Donations of Hitachi Cable Manchester’s category cables to be used in the construction of a new Manchester Boys and Girls Club building Hitachi Cable Manchester Inc.

Monetary donations to Haitian earthquake victims Five Hitachi Cable Group companies in North and Central America

Donations to Overseas Mutual Aid Funds organized by the Japan Red Cross Society and Japan Broadcasting Corporation (NHK) Hitachi Cable Precision Co., Ltd.

Donations to the Japanese Foundation for Cancer ResearchHitachi Cable, Ltd.

Donations to NPO Budou-no-Ie

Others

Tohoku Rubber’s escalator handrails received a 77 Business Support Foundation prize from the 77 Business Support Foundation in recognition of their top domestic market share Tohoku Rubber Co., Ltd.

Became a supporting member for the NHK Symphony Orchestra Hitachi Cable, Ltd.

Joined as a board member of the Hitachi Foundation (U.S.) Hitachi Cable America Inc.

Summer family hands-on experience seminar(Hitachi Cable Logi-Tech, Ltd.)

Works and sites tour for elementary school students (Takasago Works)

Works and sites tour for high school students (Tohoku Rubber Co., Ltd.)

Hitaka Natsu-Matsuri festival <summer festival>

CSR-Related External Commendations during FY2010Organization Survey, etc. Ranking

The Nippon Foundation Survey on CSR of Top Japanese Companies 76th (out of 1,725 companies)

Toyo Keizai, Inc. 2009 CSR Ranking 146th (out of 1,104 companies)

Nikkei Inc. Nikkei Sangyo Shimbun Worker-Friendly Companies Survey 166th (out of 1,543 companies)


The Hitachi Cable Group had formulated the Hitachi Cable Group Corporate Behavior Standards, which stipu-lated the mission and roles that the Group and its mem-bers must accomplish, and had promoted business activities in line with these standards. In 1993, in light of the growing importance of contributing to the protection of the global environment through its corporate activities, the Company formulated Environmental Protection Guidelines. Based on these guidelines, we continue to promote environmental protection activities. In 2005, the Group established Action Guidelines for Environmental Conservation, which additionally touched upon strengthening stakeholder relations, and in 2006, the Hitachi Cable Group CSR Policy was established. In

September 2010, we will amend our Environmental Protection Action Guidelines by adding a section con-cerning the protection of the ecosystem through corpo-rate activities. In line with these policies, we have established the Environmental Action Plan, with particular focus placed on the four areas of: (1) balancing production activities with environmental conservation; (2) creating products that help reduce environmental burdens; (3) promoting environmental management and an environmental mind-set; and (4) facilitating environmental collaboration with stakeholders. Underpinned by this plan, we are promot-ing our environmental conservation activities.

Hitachi Cable Group’s Action Guidelines forEnvironmental Conservation Hitachi Cable Group CSR Policy

Hitachi Cable Group Corporate Behavior Standards

Environmental Policies of the Hitachi Cable GroupIn every facet of its corporate activities, the Hitachi Cable Group is working to contribute to the protection of the global environment and the realization of a sustainable society in accordance with its Environmental Protection Action Guidelines.

Hitachi Cable Group’s Action Guidelines for Environmental Conservation

Purpose

1. Realization of a sustainable societyGlobal environmental conservation is a critical challenge shared by all humans. We are committed, therefore, to fulfilling our responsibilities by assisting in the realization of an environmentally harmonious and sustainable society as one of our management priorities.

2. Contributing to society by developing technologies and products

We will make efforts to contribute to society by developing highly reli-able technologies and production processes, while identifying needs considering concerns related to the prevention of global warming, conservation of resources, and preservation of ecosystem.

3. Responsibilities of members of the Board of Directors and departments responsible for environmental conservation

Members of the board in charge of environmental conservation are responsible for facilitating appropriate environmental conservation activities. Departments responsible for environmental conservation should endeavor to promote and ensure environmental conservation activities, including improving environment-related rules and regula-tions and setting goals for environmental burden reduction. These departments should also confirm that their environmental conserva-tion activities are conducted in a proper manner and ensure that these activities are maintained and improved.

4. MONOZUKURI to reduce environmental loadsWe will promote globally-applicable ‘MONOZUKURI’ with the aim of understanding and reducing environmental burdens at every stage, including product research and development, design, production, dis-tribution, sales, usage, and final disposal.

5. Initiatives to reduce environmental burdensWe will investigate and review the environmental impact caused in the course of our MONOZUKURI processes. Hitachi Cable will also intro-duce excellent technologies and materials useful to safeguard the environment, in other words, to reduce environmental burdens

through energy and resource saving, recycling, chemical substance management, consideration for the ecosystem, and other measures.

6. Observation of environmental regulationsOur environmental conservation efforts are not only to be focused on observing international environmental regulations and those of nation-al and local governments, but also on conserving the environment by implementing voluntary environmental standards when necessary.

7. Meeting local community’s requestsRegarding globally-applicable ‘MONOZUKURI’ activities, impact on the local environment and community are to be considered. In addition, measures that meet local communities’ requests should be imple-mented.

8. Employee educationWe will educate our employees to take action in order to obey envi-ronment-related laws, raise their global environmental awareness, and encourage their interest in environmental conservation having wide-view about society activities.

9. Prevention of environmental problemsWe will evaluate potential environmental problems and prevent them from occurring. In the event that any environmental problem occurs, Hitachi Cable will take appropriate measures to minimize the environ-mental burden.

10. Communications with stakeholdersWe will make efforts to disclose information on our environmental conservation activities to our relevant stakeholders. We will also actively communicate with these stakeholders so as to strengthen mutual understanding and forge cooperative relationships with them.

Established April 2005

[To be] amended September 2010

In order to realize an environmentally harmonious and sustainable society through products and services, the Hitachi Cable Group is committed to meeting its social responsibilities by promoting globally-applicable “MONOZUKURI” (designing, manufacturing or repairing of products) that is aimed at reducing the environmental burden of products throughout their entire life cycle, advancing environmental conservation.


Environm

ental Perform

ance

Environmental Management StatusThe Hitachi Cable Group formulates an Environmental Action Plan every year, and by reviewing the level of achievement of the plan the Group strives to manage its environmental conservation activities in a strategic manner.

The Hitachi Cable Group has established a Companywide Environmental Committee and project-specific subcom-mittees to promote related activities. The Companywide Environmental Committee consists of such members as representatives of works, Group companies, subcommit-tees, the Corporate Social Responsibility Office and the Procurement Center. The committee prepares blueprints for annual Hitachi Cable Group Environmental Action Plans, reviews and evaluates achievements, runs the PDCA cycle to study possible improvements, and dis-cusses common challenges toward protecting the envi-ronment. The Company’s Executive Commit tee deliberates on the annual plan blueprints, and with the approval of the Executive Committee, those blueprints are established as the Hitachi Cable Group Environmental Action Plan. Also, the Company has established the Environmental Center under the Corporate Quality & Environment Group as an organization tasked with Groupwide environmental management. The Environmental Center disseminates

the Company’s environmental policies and other related information to individual works and Group companies, while compiling data on results of environmental activities throughout the Group. In addition, the Environmental Center has been included in the scope of ISO14001 envi-ronmental management system certification obtained by the Hitachi Group Environmental Operation Organization. Accordingly, the Environmental Center, as an organiza-tion in charge of environmental management within the Hitachi Cable Group, is advancing environmental activi-ties that are closely linked with those promoted by the Hitachi Group. Meanwhile, individual works and Group companies of Hitachi Cable are implementing environmental conserva-tion activities based on the Hitachi Cable Group’s Action Guidelines for Environmental Conservation. The scope of these activities is governed by the scope of ISO14001 certification. In other words, these activities are conduct-ed for the entire works or company, or for applicable facilities.

■ Environmental Management Structure

President & CEO

Executive Officer Responsible for the Environment (Group-Executive, Corporate Quality & Environment Group)

Hitachi Cable Works (and Group Companies at Works sites)

Domestic Group companies

Overseas Group companies

Green Logistics PromotionWorking Group

Chemicals Management Subcommittee

Environment Center, Corporate Quality & Environment Group

Companywide Environment Committee

Recycling Promotion Subcommittee

Eco-Products Subcommittee

Global Warming Prevention Subcommittee

As of April 2010, a total of 25 domestic and overseas sub-sidiaries of Hitachi Cable have received ISO14001 environ-mental management system certification, three less than in FY2009. This decrease reflected mergers and transfers of affiliated companies during FY2010. More specifically, one domestic subsidiary and two overseas subsidiaries

have been removed from the scope of ISO certification. Also, the Hitachi Group Environmental Operation Organization, which consists of the environmental pro-motion offices of Hitachi Group companies, has acquired ISO14001 certification. This organization includes the Environment Center of Hitachi Cable.

■ ISO14001 Certification Status

Environmental Management Structure

Hitachi Cable, Subsidiaries and Affiliates under Integrated Certification

Number of Certificates

Number of Certified Hitachi Cable Sites Subsidiaries/Affiliates

3 6 9

Domestic and Overseas Subsidiaries

Domestic Overseas

Number of Certificates 8 14

Hitachi Group Environmental Operation Organization

Scope of Certification Hitachi Environmental Strategy Office and environmental promotion offices of Hitachi Group companies

Certified Body at Hitachi Cable Environment Center, Corporate Quality & Environment Group


During FY2010, the Hitachi Cable Group faced one case of administrative guidance and received two complaints. More specifically, Hitachi Cable’s Takasago Works received administrative guidance in the form of a warning statement from the local sewage department regarding excessive fluorine concentration in its sewage water. This incident was caused by accidental discharge of fluoro-nitric acid, used for cleansing containers handled in pro-duction processes, into the sewage system. As a countermeasure, the Takasago Works separated drain-age and sewage systems while it conducted modification work so that drainage water is discharged into a dedicat-ed tank. At the same time, the works provided all employ-ees involved with an educational program to reconfirm proper work processes, emergency reporting and response procedures. Two complaints related to the noise generated by Hitachi Cable’s Densen Works and Hitachi Cable Film Device, Ltd. were received from local residents. The

Densen Works received a noise-related complaint from the same resident in FY2009. In response, the Densen Works conducted noise measurement tests and analysis in the area surrounding the works. Based on the test results and analysis, we implemented noise-reduction measures for the facilities that we concluded were the source of the noise, while slowing down night-time oper-ations. Following receipt of the complaint during FY2010, we conducted noise measurement tests and analysis again and provided the resident with clear explanations about the noise-reduction measures that we were imple-menting. As for the noise complaint received by Hitachi Cable Film Device, apparently the noise emanated from a crushing plant when a door was left open. We explained the cause of the noise to residents and that we would keep the doors of the crushing plant in operation closed. They fully understood our efforts, and the situation was settled.

■ Status of External Environmental Communications

As a means to improve employee awareness of compli-ance with environmental laws and regulations and envi-ronmental protection, we conduct general education for all employees, position-specific education and advanced education. Through the general education for all employees, we offer environmental e-learning updated every year, as well as introductory and explanatory articles through publica-

tions for employees and their families. Ninety-four per-cent (5,228 employees) of all Group employees on a global basis to whom environmental education is avail-able have taken the FY2010 version of the environmental e-learning course. Meanwhile, with the aim of strengthen-ing employees’ understanding of ISO and the environ-mental management system (EMS), we hold meetings to explain objectives and targets as well as implementation

■ Environmental Education

Administrative Guidance and Complaints

Category FY2007 FY2008 FY2009 FY2010

Administrative Guidance ２１０１

Complaints １１３２

Category Activity

General Education

Environmental e-learning education

Environmental policy/objective/target presentations

ISO education

Environmental lectures

Publication for employees and their families

Position-Specific

Education

Manager and supervisor education

Middle-ranking employee education

Education for newly employed

Advanced Education

Advanced environmental education

Education relating to specified operations

Internal EMS auditor education

Department-Specific

Education

Education on chemicals management

Education on chemical products regulations

Education on waste sorting and disposal

Seminar on chemical substances for new employees (Hitaka Works)


Environm

ental Perform

ance

Through environmental auditing conducted at each works during FY2010, we audited the status of compliance to relevant laws and regulations as well as to regulatory allowable values in the areas of wastewater discharge, discharged air quality and noise. At the same time, we examined results of internal environmental audits con-ducted at the works and Group companies included in the scope of ISO14001 certification. Through the audit of the status of compliance to regu-latory allowable values, we confirmed reports on one case of excessive noise value and two cases of violation of voluntary control values in noise and sewage water

quality. We also confirmed that all these three cases have been solved. Through the examination of results of internal environ-mental audits conducted at applicable works and Group companies, we inspected items that were determined to be non-compliant. These items were cases that were minor or subject to continued observation, such as failure to fill out certain forms. For these cases, management review has been appropriately performed. Through these auditing and checking processes, we confirm compliance, risk management and the effective-ness of systems throughout the Group.

■ Environmental Auditing

Category Description

Audit of Legal and Regulatory

Compliance

Subject 15 works

Violation of regulatory allowable values 1 case

Violation of voluntary control values 2 cases

Examination of Results of Internal

ISO14001 Audits

Subject

9 ISO14001-certified units (groups of

manufacturing bases) 169 divisions and

departments

Violation 24 cases

Improvement required 72 cases Internal ISO14001 audit (conducted at J-Power Systems Corporation located within the Hitaka Works)

schemes at individual works and Group companies included in the scope of ISO and EMS certifications. With regard to advanced education, we offer courses aimed at preventing environmental pollution anticipated from indi-vidual operations and at upgrading the skills of internal EMS auditors.

All works conduct risk checks on environmental facilities and emergency drills every year. In FY2010, we: (1) inspected risk items identified through inspection conducted during FY2009; (2) con-firmed that there are no leaks in oil and chemical solution tanks, breakwater, chemical storage, exhaust gas treat-ment towers, and wastewater processing facilities; (3) inspected factors for risks of pollution through daily oper-ations; and (4) inspected systems and procedures required to minimize the negative impact of such emer-gency situations as earthquakes, winds, floods and other natural disasters, accidents and operational mistakes. Also, we conducted emergency drills for spill prevention on the assumption that oil or chemical solutions had leaked within individual work sites. Another example of emergency drills was for the boiler departments at indi-vidual works, allowing them to practice response mea-sures on the assumption that a photochemical smog advisory had been announced.

Based on the results of checkups and drills, all Hitachi Cable works are moving to improve the facilities that require attention, reducing the risk of pollution and contamination.

■ Risk Minimization through Environmental Facility Checkups/Emergency Drills

Emergency oil-leak drill (Hitaka Works)

0

1000

2000

3000

4000

5000

6000

6,000

5,000

4,000

3,000

1,000

2,000

0

Number of Employees Who Have Taken e-Learning Course (Persons) (%)

FY2007

1,621

3,965

4,8965,228

Number of course takers Course-taker rate

Number of course takers Course-taker rate

95

90

85

8081

85

94

2008 2009 2010


Based on the Hitachi Group’s unique evaluation system for environmental measurement, “GREEN21,” Hitachi Cable evaluates environmental management levels and Environmental Action Plan achievements in eight catego-ries. Under this system, the Company is promoting activi-ties aimed at achieving 1,280 Green Points (GPs) in FY2011. For FY2010, the Hitachi Cable Group set the tar-get of 1,152 GPs and managed to record 1,194 GPs, up 60 GPs compared with 1,134 GPs recorded in FY2009. By category, Eco-Management/Environmental Management showed a year-on-year improvement, reflecting the pro-motion and achievements of the Environmental Action

Plan. Environment-Friendly Products also showed an increase in GPs, owing to successes in activities to regis-ter environment-friendly products and in the management of chemical substances contained in products. However, increases in GPs for other categories have slowed down. In response, for FY2011, ending March 31, 2012—the final year of the current CSR Medium-Term Targets—Hitachi Cable will promote new initiatives to improve GPs in Environmental Collaboration with Stakeholders and other categories that lag behind those with higher GPs. In this way, the Company will work to enhance its environmental management in a more comprehensive manner.

■ Environmental Management Evaluation System, GREEN21 Ver. 3

Categories and Evaluation Items

Category Major Evaluation Items

Eco-Management/Environmental Management Environmental Action Plan, environmental accounting, compliance with laws and regulations

Eco-Mind Environmental education of employees

Environment-Friendly Products Eco-design management, environment-friendly products

Green Procurement Supplier selection, use of green procurement system

Next-Generation Product/Service Strategies Eco-products strategies, sustainable business models

Eco-Factory (Global Warming Prevention) Energy-saving at factories, energy-saving in transportation

Eco-Factory (Resource Recycling) Waste reduction, chemicals management

Environmental Collaboration with Stakeholders Information disclosure, award applications, global citizenship activities

Eco-Management/Environmental Management

Eco-Mind

Environment-Friendly Products

Green Procurement Eco-Factory

(Global Warming Prevention)

Eco-Factory (Resource Recycling)

Environmental Collaboration with Stakeholders

Next-Generation Product/Service Strategies

Green Point Evaluation Results

50

100

150

200

FY2008 FY2009FY2010

159GP

149GP

155GP

143GP

136GP

150GP

140GP

162GP

826GP1,134GP

Total 1,194GP

50

100

200

150


Environm

ental Perform

ance

Environmental AccountingShown below is the current status of the costs of environmental conservation activities performed at Hitachi Cable Group’s domestic sites as well as the economic and environmental conservation effects. The Company cal-culates the economic effects of its environmental conservation activities to use them as indicators for its envi-ronmental activities.

Overall environmental conservation cost in FY2010 slight-ly increased compared with that in FY2009. This increase was due to the inclusion of Hitachi Cable Film Device, Ltd. in the scope of calculation, despite a decrease in costs within the works site. By category, R&D costs, par-ticularly for environment-friendly products, are growing every year, with the FY2010 figure showing a 13% increase compared with the FY2009 figure. On the other

hand, the overall investment amount continued to decline substantially compared with FY2008 and FY2009. FY2010 was the final year of the Company’s investment plan for fuel conversion. In fact, the final construction project in connection with fuel conversion was imple-mented during FY2010. The Company slowed down its environmental investments in other areas during the peri-od under review.

■ Scope of calculation: Hitachi Cable and production bases of domestic Group companies (including Hitachi Cable Film Device, Ltd. but excluding the Yonezawa factory of Hitachi Cable Precision Co., Ltd.)

■ Period: April 1, 2009 to March 31, 2010

Environmental Conservation Cost (Unit: Millions of yen)

Category Major Activities Investment Amount Cost

Cost at works area Pollution prevention, energy saving, resource saving, waste processing, monitoring of and measurement at environmental facilities 504 3,866

Breakdown

Pollution prevention cost Facility investment and maintenance for removal of air pollutants and wastewater treatment 65 1,323

Global environmental conservation cost Facility investment and maintenance for energy saving and CO2 emission reduction 420 544

Resource recycling cost Waste processing operations Facility investment and maintenance for waste recycling and reduction 19 1,999

Upstream/downstream cost Collection and reuse of drums, bobbins, reels, pallets and containers 0 471

Management activity costAdministration and maintenance of environmental management systems Cost of environmental education for employees and labor costs of environmental management organizations

0 511

R&D cost R&D of environment-friendly products 0 1,263

Social activity cost Greening, beautification, landscaping and other environmental improvements 0 5

Environmental damage compensation cost Environment-related donation and surcharges 0 3

Total 504 6,119

Environmental Conservation Effect

Environmental Performance Index (unit) Comparison with FY2009 (reduction)

Total energy input (TJ) 143

CO2 emissions (t) 7,395

Waste/recyclable waste generated (t) 3,267

Final disposal of waste (t) 65

VOC emission into atmosphere (t) 131

* Hitachi Cable Film Device, Ltd. excluded for comparison purposes

Economic Effects Generated from Environmental Conservation Measures

(Unit: Millions of yen)

Description of Cost Reduction Amount

Energy cost reduction through energy saving 316

Cost reduction through reuse of drums, bobbins and pallets 439

6,000

4,000

2,000

0 0

Environmental Conservation Cost/Investment (¥ million)

3,000

2,000

1,000

(¥ million)

FY2006 2007 2008 2009 2010

5,840 6,004 6,076 6,1195,652

503

1,166931

504

1,359

Environmental conservation cost 　　Investment amount

Environmental conservation cost Investment amount

0

1000

2000

3000

4000

5000

6000

7000


Environmental Action Plan Involving Production Activities at Domestic Works 〇: Achieved; ×: Not achieved/improvement efforts required; —: Not applicable

Item FY2010 Environment Action Plan

Evaluation Page FY2011 Target FY2016 Target (Plan) Target Result

Balancing production activities with

environmental conservation

Global warming prevention

Reduce CO2 emissions from energy use by 7%(compared with the FY1991 level)

25% reduction* 〇 P.467% reduction (compared to the FY1991 level)

Reduce CO2 emissions from energy use by 12% (compared with the FY1991 level)

Reduce SF6 emissions by 34% (compared with the FY2004 level)


－

Transport energy reduction Reduce crude oil-equivalent energy use per unit (ton-kilometer) of transportation by 3% (compared with the FY 2007 level)

5.2% increase* 〇 P.48

4% reduction in crude oil-equivalent energy use per unit (ton-kilometer) of transportation (compared with the FY2007 level)

Reduce crude oil-equivalent energy use per unit (tom-kilometer) of transportation by 15% (com-pared with the FY 2007 level)

Effective use of resources

Reduce waste and recyclable waste generation by 26.2% (compared with the FY2001 level)


Reduce waste and recyclable waste generation by 10% (compared with the FY2006 level)

Improve the resource recycling rate*1 by 8% (compared with the FY2006 level)

23%* 〇 P.50 10% －

Chemical emissions management Reduce VOC air emissions by 25.5% (compared with the FY2001 level)

46% reduction ○ P.51〜5233% reduction (compared to the FY2001 level)

Reduce VOC air emissions by 20% (compared with the FY2006 level)

Creating prod-ucts that help

reduce environ-m

ental burdens

Increasing Eco-Products Improve the registration rate*2 of Eco-Products to 80% or more Registration rate: 83% 〇 P.54 Registration rate: 80% Improve the Eco-Product sales ratio to 65%

Promoting environm

ental manage-

ment and environm

ental mindset

Improving GPs under GREEN21 Ver. 3

Achieve 1,152 GPs 1,194 GPs 〇 P.41 1,280 GPs Launch a new evaluation system

Promoting green procurement Increase the green procurement rate of stationery and office supplies purchased on the Internet to 86% or more

97.5% 〇 P.53 90% －

Promoting environmental education Increase the participation rate for environmental e-learning to 86% or more 94% ○ P.39〜40 90% Maintain the participation rate at the 90% level

Protecting biodiversity － P.37

Include a statement concerning bio-diversity protection in the Hitachi Cable Group’s Action Guidelines for Environmental Conservation

Promote activities aimed at reducing the environ-mental burden on the global eco-system

Facilitating envi-ronm

ental col-laboration w

ith stakeholders

Promoting environmental communi-cation and implementing global citizenship activities

・Enhance communication through exhibitions, etc. ・ Promote social contribution activities relating to the environment, including the opening of works

facilities to the public, community cleaning activities and greening activities

・Participated in an exhibition ・ Implemented community

cleaning activities ・ Participated in various

volunteer activities, etc.

〇 P.33〜36,54

Expand social contribution activities relating to the environment

Accelerate stakeholder communication

・Figures indicated by asterisks exclude Hitachi Cable Film Device, Ltd. ・Figures relating to GREEN21 Ver. 3 and the participation rate for environmental e-learning include overseas business sites.

Environmental Action Plan Involving Production Activities at Overseas Business Sites

Balancing production activities w

ith environmental conservation

Global warming prevention Reduce CO2 emissions per unit of net sales by 4% (compared with the FY2004 level)

39 % reduction 〇 P.47〜485% reduction (compared with the FY2004 level)

Reduce CO2 emissions per unit of net sales by 20% (compared with the FY2006 level)



41% reduction 〇－ 21.4% reduction (compared with the FY2005 level)


Reduce water usage by 8% (compared with the FY2006 level)

31% reduction 〇－ 10% reduction (compared with the FY2006 level)


Chemicals management Reduce VOC air emissions*3 by 8% (compared with the FY2006 level)

4.1% increase ×*4 － 10% reduction (compared with the FY2006 level)

Reduce VOC air emission ratio*3 by 15% (compared with the FY2006 level)

・Evaluation for six major overseas business sites ・VOC air emissions of three overseas business sites with the VOC air emission ratio of 15% or more were factored in.

Environmental Action Plan and Results EvaluationThe following table shows targets, results and evaluation for key items addressed by the Hitachi Cable Group under the FY2010 Environmental Action Plan. The table also shows targets under the FY2011 Environmental Action Plan and thereafter, until the end of the FY2016.


Environm

ental Perform

ance

Environmental Action Plan Involving Production Activities at Domestic Works 〇: Achieved; ×: Not achieved/improvement efforts required; —: Not applicable

Item FY2010 Environment Action Plan

Evaluation Page FY2011 Target FY2016 Target (Plan) Target Result

Balancing production activities with

environmental conservation

Global warming prevention

Reduce CO2 emissions from energy use by 7%(compared with the FY1991 level)


Reduce CO2 emissions from energy use by 12% (compared with the FY1991 level)

Reduce SF6 emissions by 34% (compared with the FY2004 level)


－

Transport energy reduction Reduce crude oil-equivalent energy use per unit (ton-kilometer) of transportation by 3% (compared with the FY 2007 level)

5.2% increase* 〇 P.48

4% reduction in crude oil-equivalent energy use per unit (ton-kilometer) of transportation (compared with the FY2007 level)

Reduce crude oil-equivalent energy use per unit (tom-kilometer) of transportation by 15% (com-pared with the FY 2007 level)





Improve the resource recycling rate*1 by 8% (compared with the FY2006 level)

23%* 〇 P.50 10% －

Chemical emissions management Reduce VOC air emissions by 25.5% (compared with the FY2001 level)

46% reduction ○ P.51〜5233% reduction (compared to the FY2001 level)

Reduce VOC air emissions by 20% (compared with the FY2006 level)

Creating prod-ucts that help

reduce environ-m

ental burdens

Increasing Eco-Products Improve the registration rate*2 of Eco-Products to 80% or more Registration rate: 83% 〇 P.54 Registration rate: 80% Improve the Eco-Product sales ratio to 65%

Promoting environm

ental manage-

ment and environm

ental mindset

Improving GPs under GREEN21 Ver. 3

Achieve 1,152 GPs 1,194 GPs 〇 P.41 1,280 GPs Launch a new evaluation system

Promoting green procurement Increase the green procurement rate of stationery and office supplies purchased on the Internet to 86% or more

97.5% 〇 P.53 90% －

Promoting environmental education Increase the participation rate for environmental e-learning to 86% or more 94% ○ P.39〜40 90% Maintain the participation rate at the 90% level

Protecting biodiversity － P.37

Include a statement concerning bio-diversity protection in the Hitachi Cable Group’s Action Guidelines for Environmental Conservation

Promote activities aimed at reducing the environ-mental burden on the global eco-system

Facilitating envi-ronm

ental col-laboration w

ith stakeholders

Promoting environmental communi-cation and implementing global citizenship activities

・Enhance communication through exhibitions, etc. ・ Promote social contribution activities relating to the environment, including the opening of works

facilities to the public, community cleaning activities and greening activities

・Participated in an exhibition ・ Implemented community

cleaning activities ・ Participated in various

volunteer activities, etc.

〇 P.33〜36,54

Expand social contribution activities relating to the environment

Accelerate stakeholder communication

・Figures indicated by asterisks exclude Hitachi Cable Film Device, Ltd. ・Figures relating to GREEN21 Ver. 3 and the participation rate for environmental e-learning include overseas business sites.

Environmental Action Plan Involving Production Activities at Overseas Business Sites

Balancing production activities w

ith environmental conservation

Global warming prevention Reduce CO2 emissions per unit of net sales by 4% (compared with the FY2004 level)

39 % reduction 〇 P.47〜485% reduction (compared with the FY2004 level)

Reduce CO2 emissions per unit of net sales by 20% (compared with the FY2006 level)



41% reduction 〇－ 21.4% reduction (compared with the FY2005 level)



31% reduction 〇－ 10% reduction (compared with the FY2006 level)


Chemicals management Reduce VOC air emissions*3 by 8% (compared with the FY2006 level)

4.1% increase ×*4 － 10% reduction (compared with the FY2006 level)

Reduce VOC air emission ratio*3 by 15% (compared with the FY2006 level)

・Evaluation for six major overseas business sites ・VOC air emissions of three overseas business sites with the VOC air emission ratio of 15% or more were factored in.

Remarks on Target Column *1 The resource recycling rate is a value showing the rate of improvement in an index commonly used in the Hitachi Group to

quantify levels of sophistication of resource recycling by setting weight factors for individual disposal categories of waste reuse and recycling, thermal recycling, simple incineration and final disposal and multiplying the disposal amount of each category with the corresponding factor.

*2 Registration rate = Sales of an Eco-Product

Total sales of products in the same category

*3 VOC air emission ratio = Emission into air

Amount used

Remarks on Target Column*4 The total VOC air emissions increased due to increased use of volatile organic compounds (VOCs) in the processes charac-

terized by high VOC air emissions. In response, the Group is promoting initiatives aimed at recovering VOCs more effectively.


Input of Resources and Energy and Output to the EnvironmentShown below is the material balance of the Hitachi Cable Group. In other words, the following table shows the inputs of energy, water resources, raw materials and other purchased goods and chemical substances handled as well as the outputs in the forms of environmental burdens, waste and products shipped, along with product recovery and recycling in FY2010 at the production sites of the Hitachi Cable Group.

INPUT OUTPUT

Production sites

Recycledcooling water:

20,299,000 m3

Total energy input ............................6,193TJ

Electricity ............................... 507 million kwh

Fuel oil ........................... 4,413 thousand litters

LPG ................................................ 1,615 tons

LNG ................................................4,997 tons

City gas ........................... 16,646 thousand m3

Electricity from photovoltaicpower generation .................. 33 thousand kwh

Water usage ..................5,531 thousand m3

Service water ...........................86 thousand m3

Industrial water ......................523 thousand m3

Ground water ..................... 4,922 thousand m3

Raw materials and other purchased goods

Copper ................................ 231 thousand tons

Iron ....................................... 13 thousand tons

Other non-ferrous metals ...... 15 thousand tons

Plastic/rubber ....................... 43 thousand tons

Parts and components ......... 2.8 thousand tons

Chemical products ................ 16 thousand tons

Paper ................................... 0.6 thousand tons

Wood ................................... 4.3 thousand tons

Packaging materials ............. 3.1 thousand tons

Others ................................. 1.7 thousand tons

Chemical substances handled (chemicals contained in raw materials and other purchased goods)

Chemicals regulated under the PRTR Law ....4,922 tons

Energy input

Electricity ................................ 148 million kWh

Fuel oil .............................. 153 thousand litters

LPG ...................................................445 tons

LNG ................................................... 740 tons

Raw materials and other purchased goods

Metals (copper, iron, others) .. 58 thousand tons

Plastic/rubber ....................... 12 thousand tons

Parts and components ......... 4.0 thousand tons

Chemical products ............... 2.9 thousand tons

Others .................................3.2 thousand tons

Do

mestic p

rod

uction sites

Overseas p

rod

uction sites

Air emissions CO2 ....236 thousand tons (220 thousand tons)*

SOX ........................................................ 5 tons

NOX ..................................................... 21 tons

SF6 (CO2 conversion)...................... 0.991 tons (23.7 thousand tons)

PFC, HFC and other GHGs (CO2 conversion) ................................. 98 tons

Chemicals regulated underthe PRTR Law ...................................83.6 tons

VOC ...................................................386 tons

Wastewater

Sewage water ....................... 861 thousand m3

Drainage into public water systems ...2,826 thousand m3

BOD ..................................................... 55 tons

COD ..................................................... 41 tons

Chemicals regulated under the PRTR Law .....4.0 tons

Waste and recyclable waste

Waste generation .. 35,972 tons (34,258 tons)*

Recycling ............... 27,755 tons (27,035 tons)*

Final disposal .......................70 tons (70 tons)*

Products shipments .....263 thousand tons

CO2 emissions from product

transportation ................. 13 thousand tons

CO2 emissions from product

transportation ................ 5.0 thousand tons

Do

mestic p

rod

uction sites

Air emissions

CO2 .................................... 109 thousand tons

Waste and recyclable waste

Waste generation ............................ 6,441 tons

Recycling ........................................3,960 tons

Final disposal ..................................2,481 tons

Overseas p

rod

uction sites

These figures are for 19 overseas production sites.

* Figures indicated by asterisks exclude Hitachi Cable Film Device, Ltd.


Environm

ental Perform

ance

Global Warming PreventionIn an effort to contribute to the prevention of global warming, the Hitachi Cable Group continues to implement facility upgrading at its production bases, working to more effectively use truck transportation and promoting modal shifts. In offices, the Company is encouraging all of its employees to reduce the use of energy by effective-ly controlling the operation of air-conditioning and lighting systems.

Hitachi Cable is working to achieve the target of reducing its CO2 emissions from energy use in Japan by 7% (com-pared with the FY1991 level) in FY2011. In Japan, the Hitachi Cable Group’s CO2 emissions from energy use during FY2010 totaled 220 thousand tons. Compared with the 296 thousand tons recorded in FY1991, the Group achieved a 25% reduction. Also, achieving a 3% year-on-year reduction, the Group accomplished the tar-get set under its Environmental Action Plan of reducing CO2 emissions from energy use by 7% compared with the FY1991 level. Hitachi Cable has promoted the replacement of con-ventional fuels with those that are considered to be more environment-friendly over the past four years. FY2010 was the final year for this initiative. During the period under review, we changed the fuel used in industrial fur-naces at our Toyoura Works from butane to liquefied nat-ural gas (LNG). At the same time, the Company continued to promote facility upgrading to reduce CO2 emissions. The significant 25% reduction from the FY1991 level reflected these and other efforts made by the Company as well as the effect of the electricity emis-sion factor (factor adjusted for emission calculations).

■ Reducing CO2 Emissions from Energy Use

2007 2008 2009 2010 2011

400

300

200

100

0

Hitachi Cable Group CO2 Emissions and CO2 Emissions per Unit of Net Sales (kt)

(Target)

1.0

0.9

0.8

(t/¥ million)

CO2 emissions CO2 emissions per unit of net sales

FY1991

296266

0.862

0.842

220

275

0.958

1.044

309 227

0.946

CO2 emission (domestic) CO2 emission per unit of net sales (domestic)

*1 The following CO2 conversion factors have been used: [ Fuel] Fuel Category-Specific Emission Factors, Law Concerning the Promotion of the

Measures to Cope with Global Warming [Electricity] Average for all power sources for FY1991; 2006 and 2007 CO2 Emission Factor

for Each Power Producer, notification by the Ministry of Economy, Trade and Industry and the Ministry of the Environment for FY2007 and FY2008; 2008 Adjusted Emission Factor for Each Power Producer for FY2009 and FY2010

*2 In the calculation of CO2 emissions per unit of net sales, a zero-base amount of net sales, which exclude the cost of copper, has been used.

*3 The above figures exclude Hitachi Cable Film Device, Ltd. *4 When real emission factors are used as electricity emission factors, CO2 emissions amount to

267 thousand tons and 261 thousand tons for FY2009 and FY2010, respectively.

Greenhouse gases (GHGs) other than CO2 generated through energy use include sulfur hexafluoride (SF6), which is a gas used in insulation performance tests of electric parts and components, CO2 generated without energy use, and perfluorocarbon (PFC) and hydrofluoro-carbon (HFC), used for purging and as cooling agents for heat transfer performance tests of copper pipes. Total SF6 emissions in FY2010 were 0.99 tons, or 23,700 tons when converted to CO2. We achieved a 52% reduction from the FY2004 level, outperforming the 34% reduction target set under the Environmental Action Plan. This favorable result was due to the Company’s initiative to recover and reuse the SF6 used in insulation perfor-mance test devices. Total CO2-equivalent emissions of CO2 generated without energy use, PFC and HFC amounted to 100 tons. Also, total emissions of all GHGs, which include SF6 and exclude CO2 generated through energy use, amounted to 23,800 tons.

■ Reducing Emissions of SF6, PFC and Other GHGs

150

100

50

0

SF6, HFC and PFC Emissions (Domestic)

CO2 emissions

(Unit: 1,000 t-CO2)

FY1991SF6 HFC, PFC

0

50

100

150145.8

2004

0.5

87.6

2008

0.2

56.8

2009

0.3

41.9

2010

0.1

23.7

*1 For emissions calculations, the Fuel Category-Specific Emission Factors have been used, as defined under the Law Concerning the Promotion of the Measures to Cope with Global Warming, have been used.

*2 Calculation period is each fiscal year. *3 The above figures exclude Hitachi Cable Film Device, Ltd.

The following table shows major facility upgrading activi-ties that Hitachi Cable conducted at its domestic produc-tion sites during FY2010. These activities were aimed at improving energy-saving performance of applicable facili-ties and thereby reducing their CO2 emissions.

Through these activities, Hitachi Cable reduced CO2 emissions by 3,010 tons year on year. This amount of reduction is equivalent to 1,790 kiloliters of crude oil, or to 69,500 gigajoule (GJ) of energy.

■ Energy-Saving Initiatives Aimed at Reducing CO2 Emissions


The revision of the Law Concerning the Rational Use of Energy, also known as the Energy Saving Law, will take effect in FY2011. Within the Hitachi Cable Group, Hitachi Cable, Ltd., Hitachi Alloy Co., Ltd., Tonichi Kyosan Cable, Ltd., Tohoku Rubber Co., Ltd. and Hitachi Cable Film Device, Ltd. will fall under the category of “Specified Enterprise” under this revised law. These companies report their energy use status periodically to related

authorities. In addition, each of these companies pre-pares periodic reports and medium- and long-term plans for the rational use of energy while appointing energy managers.

■ Specified Enterprises under the Revised Energy Saving Law

Hitachi Cable Film Device, Ltd. operates a plant that manufactures chip-on-films (COFs), which are thin-film substrates that transmit data to liquid crystal panels. COFs are manufactured in cleanrooms, which use turbo freezers to achieve optimal air conditions. These freezers consume a significant amount of electricity. Previously, Hitachi Cable Film Device manually adjusted the operation of turbo freezers—two units in winter and four in summer—to control the temperature in the cleanrooms. However, during FY2010, the compa-ny introduced an energy-efficient automated freezer control system based on its proprietary patented tech-nology. As a result, the operation of freezers is no longer required during winter.* Moreover, during summer, nec-essary air-conditioning can be achieved through the automated variable operation of three freezers. The reduction in the company’s annual power consumption thanks to the new automated freezer control system totaled 2,000 MWh. The company presented its energy-saving activities based on this new system at the 2009 Kanto Energy-Saving Initiative Presentation Assembly. In fact, the com-pany received a Director-General, Kanto Bureau of Economy, Trade and Industry prize for this development.

* Operations in a free-cooling mode have eliminated the need for turbo-freezer operations in winter.

Introduction of Automated Freezer Control System

At Tonichi Kyosan Cable, Ltd.’s Ishioka Head Office, the company’s employees create bitter-gourd greenery on the exterior wall of the office building every year. By invit-ing employees’ family members to the planting of bitter gourds, the company is working to raise the environ-mental awareness of the participants. Bitter gourds grow into a large green curtain by mid-July every year, effec-tively blocking the sunlight and preventing a rise in office temperature.

Creating Bitter-Gourd Greenery on Exterior Walls

Bitter-gourd planting and a green bitter-gourd curtain (Ishioka Head Office, Tonichi Kyosan Cable, Ltd.)

Total CO2 emissions from energy use at 19 overseas pro-duction sites amounted to 109,000 tons in FY2010. This figure represents a significant reduction from FY2009,

■ Reducing CO2 Emissions at Overseas Production Sites

150

100

50

0

CO2 Emissions (19 Overseas Production Sites) (1,000 t-CO2)

FY2006

136

2007

139

2008

132

2009

130

2010

109

* The following CO2 conversion factors have been used: [Fuel] Fuel Category-Specific Emission Factors, Law Concerning the Promotion of the Measures to Cope with Global Warming [Electricity] Emission Factors 2003 of the Survey Report of Estimated GHG Emissions Intensity in the Power Sector by Country, compiled by the Japan Electrical Manufacturers’ Association

Automatedfreezer

control panel

MCleanroom

Air-conditioning coil

Cooling tower

Read signals

On/Offcommands

Water flow

Turbofreezer

Free-cooling

T

T

T

Automated Freezer Control System

Category Description of Upgrading

Fuel conversion Changed fuel gas used for heating industrial furnaces from butane to LNG

Energy shift Changed plating solution heating process from steam system to electric system Changed from storage central steam heat-retention system to drum distributed electric heat-retention system

Management reinforcement

Introduced an automated freezer control system Reinforced the rule of stopping blowers and pumps for facilities that are in a standby mode Introduced an automated compressor control system Reinforced the rule of closing valves when heating steam is not in use and optimized steam pressure

Use of inverters Introduced inverters in cooling water pumps

Power distribution systems Improved distribution efficiency by renewing transformers and streamlining their arrangement


Environm

ental Perform

ance

Located in Bangpakong in the suburb of Bangkok, Thailand, Thai Hitachi Enamel Wire manufactures enamel wires. A num-ber of machines are operating at this company’s plant, including enamel-coating equipment and air-conditioning and other utility devices, and the plant consequently consumes a significant amount of electricity. In response, the entire plant started energy-saving activities in June 2009, beginning with those for air-conditioning systems, cooling-water pumps and compressors. First, plant workers have endeavored to reduce the number of air-conditioning units by optimizing capacity, dividing plant floors into smaller sections and blocking off the sunlight. For cooling-water pumps, they started with analyzing the operational status of produc-tion facilities and, based on results of this analysis, they streamlined the pump arrangements, thereby reducing the number of pumps required for a certain level of production capacity. Meanwhile, by installing inverters and undertaking overhauls, the power consumption of compressors has been reduced. In addition, they have conducted monthly inspections for air leaks from pipes and facilities. Through these activities, the plant has realized a substantial reduction in energy use. Looking ahead, Thai Hitachi Enamel Wire plans to reduce the power consumption of enamel-coating equipment.

Energy-Saving Activities at Thai Hitachi Enamel Wire Co., Ltd.

With the aim of saving energy and reducing CO2 emis-sions in product transportation, the Hitachi Cable Group is striving to reduce crude oil-equivalent energy use per unit (ton-kilometer) of transportation by 4% in FY2011 from the FY2007 level. During FY2010, Hitachi Cable changed the method of calculating the consumption of most types of energy it uses in product transportation, from the conventional improved ton-kilometer method to the fuel consumption method. We adopted the fuel consumption method because we expect that the scope of improvement mea-sures and related activities will be expanded and that cal-culation accuracy will be enhanced. Based on this new calculation method, Hitachi Cable reduced energy use per unit of transportation in FY2010 by 5.2% from the FY2007 level, achieving the target set under its Environmental Action Plan. Specific activities included: activities included: (1) reducing the number of regular trips made by trucks through integration of operations; and (2) improving truck

cargo utilization through the use of effectively designed stacking jigs and preventing sudden changes in shipment schedules. In the area of modal shift, the total volume of product transportation by railway and domestic vessels did not grow in FY2010, despite new transportation rou-tines to Hokkaido and Kyushu, reflecting the discontinua-tion of certain routines due to their small volumes.

■ Global Warming Countermeasures in Product Transportation

FY2007 2008 2009 2010

56

54

52

50

48

Energy Use per Unit of Transportation (Domestic)(kl/million tons-kilometer)

53.653.3

50.8

54.4

48

50

52

54

56

In the FY2010 annual report that it has submitted as a Designated Shipper, set forth under the Energy Saving Law, Hitachi Cable reported that its energy use per unit of transportation was 92% of that in FY2009 and that CO2 emissions from transportation totaled 6,910 tons. This CO2 emissions figure represents a 17% reduction from the reported figure in FY2009. In addition to the benefit of vari-ous initiatives and the new calculation method, a decline in the volume of transportation contributed to the reduction in CO2 emissions.

■ Annual Report as Designated Shipper

10,000

8,000

6,000

2,000

4,000

0

CO2 Emissions from Transportation (Non-Consolidated) （t）

FY2007

9,390

2008

8,840

2009

8,406

2010

6,910

Thai Hitachi Enamel Wire Staff Who Promoted Energy-Saving Activities

owing to a decline in energy use, which was brought about by decreased production volume in line with the ongoing global recession from the second half of FY2009. With the aim of further reducing energy use and CO2

emissions, individual overseas production sites are pro-moting facility upgrading to achieve their ISO and EMS objectives and targets.

* The above figures exclude Hitachi Cable Film Device, Ltd.


Promoting Recycling of Resources In an effort to promote resource recycling, Hitachi Cable is working to reduce waste generation, increase the vol-ume of recycling and cut down the volume of final disposal. More specifically, the Company is striving to improve the yield of each production stage, expand the volume of materials reused and reduce the use of lubricants and cleaning solutions. In addition, to reduce the final disposal volume, we conduct stringent sorting of waste through rigorous waste monitoring activities.

Hitachi Cable is stepping up efforts to achieve the target of reducing the volume of waste and recyclable waste generated at its domestic production sites by 29% (com-pared with the FY2001 level) in FY2011. For FY2010, the volume of waste and recyclable waste generated at domestic production sites totaled 34,258 tons, down 38% compared with FY2001. With this decrease, we outper-formed our FY2010 target of a 26.2% reduction. Also, in comparison with FY2009, we achieved an 8% reduction. Meanwhile, for the period under review, the Company reduced the volume of final disposal down to 70 tons, for a final disposal rate (the ratio of the final disposal volume to total waste generation) of 0.2%. These achievements were due to the Company’s pioneering of new recycling applications for adhesive-attached waste plastics and other wastes that were previously difficult to recycle. Through this success, we have substantially reduced the volume of final disposal of waste plastics, which previ-

ously had accounted for the majority of the final disposal volume.

■ Reducing Waste Generation and Final Disposal Rate

FY2001 2007 2008 2009 2010

50,000

60,000

40,000

30,000

20,000

10,000

0

Waste Generation and Final Disposal Rate (Domestic)

(t) (%)

5

0

10

9.2

1.1 0.5 0.4 0.2

55,172

40,795 41,32937,525

34,258

Volume generated Final disposal rate

Volume generated Final disposal rate

0

5

10

15

0

10000

20000

30000

40000

50000


Total70(t)

Total27,035

(t)

(Unit: 1,000 tons)

Volume ofWaste andRecyclable

Waste34.3

Recycling/Reuse

27.0

FinalDisposal

0.07

Waste plastic29Scrap metal

15,676Waste plastic 4,842

Waste paper14

Waste paper 1,347

Woodchips 2,466

Debris 6

Waste fiber 1

Sludge 2

Sludge 562

Waste oil 599

Slag 944

Waste acid 3

Waste acid 394

Others15

Others 205

Primary Recycling/Reuse17.5

In-House Waste Treatment6.7

Contracted Waste Treatment 10.1

Secondary Recycling/Reuse9.5

Disposal with Treatment 0.07

Reduction WasteVolume

7.2Disposal without Treatment

0.0

Waste and Recyclable Waste Processing Flow (Domestic)

Breakdown of Recycling/Reuse Volume by Category

Breakdown of Final Disposal Volume by Category


Environm

ental Perform

ance

In an effort to advance recycling, the Hitachi Group employs a “3R load” concept as an indicator to evaluate the effectiveness of every waste treatment and disposal option. In view of the reduction of 3R load directly leading to the improvement of the resource recycling rate, the Hitachi Group is promoting related activities. More spe-cifically, under the 3R load concept, the 3R load calcula-tion formula has been defined so that improvements in waste treatment processes used—namely, final disposal as the most undesirable, simple incineration, heat recov-ery, recycling and reuse as the most desirable—result in a lower 3R load value. The 3R load value obtained through calculation is then used for comparison with a

load value in a reference year. The Hitachi Cable Group uses the same system. Under this system, Hitachi Cable aims to improve its resource recycling rate by 10% (com-pared with the FY2006 level) in FY2011. For FY2010, Hitachi Cable’s 3R load value stood at 291 terajoule (TJ). The resource recycling rate showed a substantial 23% improvement, far beyond the Hitachi Cable Group’s target of an 8% improvement under the Environmental Action Plan. This achievement was attrib-utable to the Company’s efforts to cultivate new recycling applications with the aim of reducing the volume of final disposal.

■ Increasing the Resource Recycling Rate

Reducing Waste Generation

Hitachi Cable’s Densen Works treats most of the waste solution discharged in its semiconductor parts manufacturing processes in-house at its water treatment plant. However, due to difficulties attributable to process arrangements, certain waste acids and alkalis were previously drained into the same tank through a combined drainage system. Since the mix-ture of waste acid and alkali cannot be treated in-house, the Densen Works had used an external treatment specialist. This has been a pending issue in Hitachi Cable’s activities, which are aimed at reducing the volume of waste treatment outsourcing. In response to this situation, the Company conducted a thorough examination of the mixture’s content and concluded that if it collects waste acid and alkali separately, their in-house treatment can be performed. Accordingly, prior to modify-ing the drainage system, we tested the viability of the in-house-treatment of the waste solutions. Through these tests, we confirmed that post-treatment drainage was of a satisfactory quality. We then modified the drainage system and began the in-house treatment of the acid and alkali waste solutions. This improvement has led to the significant achievement of the Densen Works in reducing the volume of waste solution treated by external specialists by 100 tons annually.

In-house treatment of waste acid

Semiconductor partsmanufacturing

processes

Improved manufacturingprocesses

Water treatmentplant

External treatmentspecialists

Waste acid and alkali

Waste alkali

Drainage system before improvementWaste acid

Wastewater

Sludge

Waste Acid and Alkali Treatment Flow

400

200

300

100

0

3R Load (Domestic)(TJ)

FY2006

378

2007

370

2008

331

2009

313

2010

291

3R Load Calculation

Volume reused

Volume byTreatment Process Factor Total

Volume recycled

Volume of heatrecovery

Energy amountSet for each type of wasteand treatment process

3R Load

Volume of simpleincineration

Final disposal

× ＝（）



Substance Number

Name of Designated Chemical Substance

Amount Released Amount Transferred

Into Air Into Water As Sewage As Waste

1 Zinc compound (water-soluble) 0.0 0.0 0.0 1.1

9 Adipic acid bis (2-ethylhexl) 0.0 0.0 0.0 3.1

25 Antimony and its compounds 0.0 0.0 0.0 3.6

29 4,4’-isopropylidenediphenol [bisphenol A] 0.0 0.0 0.0 0.0

30

Condensation polymer of 4,4’-isopropylidenediphenol and 1-chloro-2,3-epoxypro-pane [bisphenol A epoxy resin]

0.0 0.0 0.0 23.9

32 2-imidazolidinethione 0.0 0.0 0.0 0.3

40 Ethylbenzene 4.4 0.0 0.0 5.1

43 Ethylene glycol 0.1 2.6 0.0 0.6

63 Xylene 19.3 0.0 0.0 14.8

64 Silver and its water-soluble compounds 0.0 0.0 0.0 0.0

67 Cresol 1.2 0.0 0.0 4.6

108Non-organic cyanide com-pound (excluding complex salt and cyanate)

0.0 0.0 0.0 0.0

115 N-N-Cyclohexyl-2-benzothiazolesulfenamide 0.0 0.0 0.0 0.2

120 3,3’-Dichloro-4,4’-diaminodiphenylmethane 0.0 0.0 0.0 0.4

172 N,N-dimethylformamide 8.1 0.0 0.0 30.7

181 Thio uric acid 0.0 0.0 0.0 37.0

Substance Number

Name of Designated Chemical Substance

Amount Released Amount Transferred

Into Air Into Water As Sewage As Waste

202 Tetrahydromethylphthal ic anhydride 0.0 0.0 0.0 0.0

204 Tetramethylthiuram disulfide 0.0 0.0 0.0 0.0

207Copper soluble acid

(excluding complex salt) 0.0 0.2 0.0 1.9

224 1,3,5-trimethyl benzene 0.6 0.0 0.0 0.1

227 Toluene 46.9 0.0 0.0 3.9

230 Lead and its compounds 0.0 0.0 0.0 0.8

231 Nickel 0.0 0.0 0.0 0.4

232 Nickel compounds 0.0 0.0 0.0 1.8

252 Arsenic and its non-organic compounds 0.0 0.0 0.0 5.3

266 Phenol 1.5 0.0 0.0 15.3

269 Phthalic acid Di-n-octyl 0.0 0.0 0.0 0.7

270 Phthalic acid Di-n-butyl 0.0 0.0 0.0 0.0

272Phthalic acid bis

(2-ethyl hexl) 0.0 0.0 0.0 8.7

283 Hydrogen fluoride and its water-soluble salt 0.0 0.0 0.4 3.5

304 Boron and its compounds 0.0 0.0 0.1 1.1

308 Poly(oxyethylene) octylphenyl ether 0.0 0.0 0.0 4.5

309 Poly(oxyethylene) nonylphenyl ether 0.2 0.2 0.0 0.6

312 Phthalic anhydride 0.0 0.0 0.0 0.0

60 other substances 1.0 1.0 0.0 3.2

Total 83.6 4.0 0.6 176.6

Amount of PRTR Law-Regulated Chemicals Released and Transferred in FY2010 (Unit: tons)

Notes: 1. Chemicals included in “60 other substances” above were handled in amounts of less than one ton during FY2010.

2. Figures were rounded up to the first decimal place. Accordingly, the sum of these figures may not equal the total figures.

Chemical Management in Production ActivitiesThe Hitachi Cable Group handles approximately 500 kinds of chemicals in its production activities. Hitachi Cable utilizes an Internet-based management system for all chemicals contained in raw materials and other purchased goods to consistently and accurately monitor the amount of chemicals handled, released and transferred by its production sites and on a Companywide basis. The Company makes use of the database compiled through such monitoring not only in scrutinizing itself, but also in formulating its response to chemical substances-related laws and regulations, which are rapidly being established throughout the world. Moreover, the database is used in activities aimed at reducing the amount of chemicals used by the Company. Through these activities, we are working to ensure that chemical management is performed appropriately Groupwide, thereby preventing eco-system destruction and environmental pollution.

The total amount of PRTR Law*-regulated chemicals handled by Hitachi Cable in FY2010 was 4,922 tons. The amount released was 88 tons, while the amount trans-ferred was 177 tons. The amount handled decreased year on year, owing to a decline in the use of lead—a raw material for certain cable products—caused by a change in the Company’s lineup of cable products from FY2009. Also, reflecting a decrease in VOC air emissions, the amount released decreased. On the other hand, the amount transferred showed a year-on-year increase. This was caused by the inclusion of Hitachi Cable Film Device, Ltd. in the scope of calculation from FY2010. In more specific terms, the amount of chemicals transferred (dis-posed of) by Hitachi Cable Film Device was newly fac-tored into the calculation for the period under review.

■ Chemicals Emission Control

6,000

4,000

2,000

0 0

Amount of PRTR Law-Regulated Chemicals Handled, Released and Transferred (Domestic) (t)

300

200

100

(t)

FY2006 2007 2008 2009 2010

5,4715,049

5,3654,922

5,484

132

90104

11694 88

115

156177169

Amount handled Amount released Amount transferred

Amount handled

* Includes chemicals handled in an amount less than 1 ton a year

Amount released/amount transferred


Environm

ental Perform

ance

As part of efforts to reduce chemical emissions, Hitachi Cable is promoting activities aimed at reducing emissions of 41 volatile organic compounds (VOCs) into the air from its domestic production sites by 33% from the FY2001 level. There were 16 VOCs handled by each Hitachi Cable domestic production site in an amount in excess of one ton during FY2010. Air emissions of these VOCs totaled 386 tons, a 47% reduction from the FY2001 level. This substantial reduction is attributable to our new n-decane

absorption collector, which started operations in January 2009 and effectively reduced n-decane emissions into the air from 189 tons in FY2009 to 85 tons in FY2010. Meanwhile, emissions of isopropyl alcohol, used for cop-per surface reduction treatment and oil cleansing, remain high. Hitachi Cable is now working to reduce isopropyl alcohol emissions through the transfer of production pro-cesses to a facility that is expected to help reduce the emissions of this VOC, and through the introduction of more efficient and effective recovery methods.

■ Reducing VOC Air Emissions

Each production site of Hitachi Cable stores used electric equipment contaminated with polychlorobiphenyl (PCB). During FY2010, 30 contaminated capacitor units, which have been stored by the Densen Works and the Hitaka

Works, were detoxified by the Hokkaido Facility of the Japan Environmental Safety Corporation. Hitachi Cable will store and manage applicable equipment waiting for detoxification in a safe and secure manner.

■ Storage Status of Used Electric Equipment Contaminated with PCB

Equipment Stored

Site Transformer Capacitor Others (fluorescent lamp stabilizers, etc.)

Densen Works, Hitachi Cable, Ltd. 0 1 Stabilizer: 391 pieces; waste oil: 54 liters

Hitaka Works 0 26Stabilizer: 40 pieces Fluorescent capacitors: 2,356 pieces Cotton waste: 13 cans

Toyoura Works 0 64

Stabilizer: 21 piecesFluorescent capacitors: 655 pieces Cotton waste: 6 packs Waste oil: 50 kg

Tsuchiura Works 1382

(Including 17currently in use)

Stabilizer: 573 pieces Waste oil: 4 cans Cotton waste: 3 cans

Equipment Factory, Hitachi Cable MEC-Tech, Ltd.

0 0 Stabilizer: 185 pieces

Kisai Factory, Hitachi Alloy, Ltd. 0 135 Stabilizer: 24 pieces

Ishioka Works, Tonichi Kyosan Cable, Ltd. 0 6 0

Headquarters Plant, Tohoku Rubber Co., Ltd. 0 9 0

Notes: 1. As of March 31, 2010 2. In addition to those shown in the table above, there are 40 transformers, 4 capacitors and 6 high-voltage reactors, all of which have been contaminated with trace PCB.

800

600

400

200

0

VOC Air Emissions (Domestic) (t)

FY2001

728

2007

660

2008

688

2009

514

2010

386

VOC Air Emissions by Type

Total386(t)

Isopropyl alcohol 127

n-decane 85

Ethanol 33

Toluene 47

Xylene 19

Methyl ethyl ketone 17

Acetone 20

9 other VOCs 38

* Only the VOCs handled by each domestic production site in an amount in excess of one ton are disclosed.

Equipment Detoxified

Site Capacitor

Hitachi Cable Densen Works 14

Hitaka Works 16


Green Procurement The Hitachi Cable Group strives to procure products and services that have a low environmental burden. In the management of chemical substances contained in products, Hitachi Cable is working to reinforce its risk man-agement systems while cooperating with suppliers to promote related initiatives.

The Hi tach i Cable Group has estab l ished an Environmental CSR-Compliant Manufacturing Committee to promote eco-friendly manufacturing Groupwide. The Group has also established Hi-PECCS—a unique system to manage chemical substances contained in products—to comply with the RoHS Directive*1 and the ELV Directive.*2 Through the administration of the Hi-PECCS system, Hitachi Cable has built a structure to centrally control 15 Level-A Prohibited Substances and 10 Level-B Controlled Substances for each material and product procured. At the same time, the Company is maintaining a mechanism to stop shipments of any product having excessive content of applicable chemical substances. In addition to these systems and mechanisms, the Company has formed a framework to collect and com-municate information relating to chemical substances contained in products in cooperation with its suppliers, in line with the Hitachi Cable Group Green Procurement Guidelines. Also, through the administration of an envi-ronmental supplier certification system and a green product certification system, we are advancing activities in collaboration with our suppliers. In the meantime, European Union’s REACH Directive is expected to soon include approximately 1,500 chemi-cal substances under the category of Substances of Very High Concern (SVHC). Accordingly, it is more important than ever before to promote efficient and effective infor-mation communication throughout the entire supply chain. In response, the Hitachi Cable Group has formu-lated REACH Directive Compliance Guidelines, which clearly define procedures for information communication with suppliers and for ensuring compliance. Moreover,

we hold explanatory meetings for suppliers regarding these guidelines. To complement our structure for infor-mation communication, we have adopted a standardized communication tool provided by the Japan Article Management Promotion-Consortium (JAMP). Also, we plan to upgrade our Hi-PECCS system in FY2012 with the aim of further strengthening our Groupwide structure to manage chemical substances contained in products.

*1 Restriction of Hazardous Substances Directive: An EU directive regulating the use of specified hazardous substances in electric and electronic devices and equipment

*2 End-of-Life Vehicle Directive: An EU directive aimed at reducing the environmental burden of automotive waste

*3 Registration, Evaluation, Authorization and Restriction of Chemicals Directive: An EU directive relating to chemical sub-stances

■ Management of Chemical Substances Contained in Products

Pursuant to its purchasing policy focusing on reducing its environmental burden, the Hitachi Cable Group is pro-moting the purchase of stationery and office supplies that embody little environmental burden, such as Eco Mark-certified products, Green Mark products and products compliant with the Green Purchase Law. Under its Environmental Action Plan for FY2011, Hitachi Cable has set the target of increasing the green procurement rate—the ratio of green procurement to total procurement—of stationery and office supplies purchased on the Internet* to 90% or more. The green procurement rate for FY2010 was 97.5%. * Via “e-sourcing Mall,” an Internet purchasing service provided by Hitachi

Procurement Service Co., Ltd. (e-sourcing is a registered trademark of Hitachi, Ltd.)

■ Green Purchasing of Stationery and Office Supplies

FY2007 2008 2009 2010

3,000

2,000

1,000

0

Amount of Stationary and Office Supplies Purchased/Green Procurement Rate

(¥ ten thousand) (%)

60

80

100

71.6

90.996.8 97.5

720

2,1742,352 2,253

Amount purchased Green procurement rate

Amount purchased Green procurementrate

0

20

40

60

80

100

0

1000

2000

3000

Hazardous Chemical Substances

Acquisition of quality-assurance statement

Collection of information (on SVHC)

Compilation of database Certification of green products

Communication of information (on SVHC)

Environment-friendly product certification

Analysis of chemical substances contained in

materials andproducts procured

Risk management Environmental inspections/

simulations

Analysis of chemical substances contained in

finished products

Suppliers

Do not use (on the supplier side)

Do not use (on the Hitachi Cable side) Do not deliver

Customers

Environment-Friendly Design Development/Design

Manufacturing

Green Procurement Purchasing

EnvironmentalQuality Assurance Hi-PECCS

Hi-PECCS System


Environm

ental Perform

ance

Environmental-Conscious ProductsThe Hitachi Cable Group is committed to contributing to the sustainable development of society by designing, cre-ating, manufacturing and providing environment-friendly products and services and, consequently, by assisting the global community in protecting the environment. In line with the Hitachi Group’s proprietary product assess-ment standards, Hitachi Cable defines its products that satisfy the said standards as “Eco-Products” and those that are more sophisticated in terms of environmental performance as “Super Eco-Products.” The Company is working to expand sales of these products in accordance with the aforementioned commitment.

In order to realize a society that sustainably develops in harmony with the environment, we must reduce the envi-ronmental burden of our products and services and, at the same time, make more efficient and effective use of limited resources. To this end, we must incorporate environmental considerations into the design and development of our products and services. To enable such design and devel-opment processes, Hitachi Cable has adopted the Assessment for Design for Environment (DfE) scheme, which is unique to the Hitachi Group. The Assessment of DfE allows us to evaluate the environmental impact of our products and services throughout their entire lifecycle, covering such stages as raw materials, manufacture, transport, use, disposal and reuse. Results of such evalua-tion are utilized in the design and development of products with even lower environmental burden. Specifically, our products, and services where applica-ble, are assessed using eight criteria including weight reduction, product longevity and energy efficiency in com-parison with existing products. Then, products that satisfy certain set standards are designated as Eco-Products. As of March 31, 2010, the aggregate number of Hitachi Cable products designated as Eco-Products totaled 190, with sales of these products amounting to ¥177.5 billion for FY2010. This sales figure accounted for 48% of consoli-dated net sales of the Hitachi Cable Group for the period. Furthermore, among Eco-Products, those products and services having especially high environmental efficiency—an index reflecting reductions in greenhouse gas emis-sions, consumption of resources and increases in product and service values—are designated as Super Eco-Products. To attain the Super Eco-Product status, Eco-Products must also meet one of three conditions: (1) boast a global warming prevention factor or resource factor of 10 or more; (2) be an industry leader; or (3) be award-winning or highly regarded by external parties. During FY2010, seven Hitachi Cable products have been designated as Super Eco-Products, for an aggregate total of 16. The EU’s Eco-Design Directive* states the importance of reducing the lifecycle environmental burden of products

and services, particularly in the design and development stages. With the aim of ensuring compliance with the Eco-Design Directive, we plan to incorporate necessary pro-cesses into our existing management systems based on ISO14001 and ISO9001, thereby further promoting our Assessment for DfE initiative. 　* Eco-Design Directive: Directive on Eco-Design of Energy-Using Products

1. Weight reduction 2. Product longevity 3. Resource recycling 4. Ease of disassembly 5. Environmental conservation 6. Energy efficiency 7. Information disclosure 8. Packaging materials

Aggregate Number of Eco-Products * Figures in brackets indicate the number of Super Eco-Products.

Category FY2006 FY2007 FY2008 FY2009 FY2010

Aggregate Number of

Eco-Products

98 103 127 164 190

(2) (9) (16)

For details of Hitachi Cable’s Eco-Products, please visit our website at: http://www.hitachi-cable.co.jp/about/csr/environmental/regard/index.html(Japanese language only)

■ Assessment for DfE

In order to communi-cate its environmental initiatives, the Hitachi Cable Group exhibits many environment-f r i end l y p roduc ts , including those desig-nated as Eco-Products at various exhibitions.

■ Participating in Exhibitions

Exhibitions Where We Exhibited Eco-Products

Exhibition Name (Location) Period

Automotive Engineering Exposition 2009 (Yokohama) May 20–22, 2009

Electrical Construction Equipment and Materials Fair (ECEMF) 2009 (Tokyo) May 27–29, 2009

INTEROP TOKYO 2009 (Makuhari) June 10–12, 2009

Tsukuba Forum 2009 (Tsukuba) October 14–15, 2009

11th Printed Wiring Boards Expo (PWB Expo) (Tokyo) January 20–22, 2010

10th Fiber Optics Expo (Tokyo) January 20–21, 2010 INTEROP TOKYO 2009 at Makuhari

0

20

40

60

80

100

2006 2007 2008 2009 2010

200

150

100

50

0

Eco-Product Sales and Ratio to Consolidated Net Sales (¥ billion)

80

60

40

20

(%)

FY2005

21

146.7

197.6

38

4881.797.8

2723

35

187.2 177.5

Eco-Product sales Eco-Product sales ratio

Eco-Product sales Eco-Product sales ratio

Eco-Product sales ratio = 　Sales of Eco-Products

Consolidated net sales× 100

Criteria of Assessment for DfE


Site Data (April 2009 – March 2010)

Environmental burden data (by works) of the Hitachi Cable Group are as follows.

CO2 Emissions/Waste Data

Domestic Sites

Company Name LocationCO2

Emissions (t)

Waste/Reusable Resources

Volume Generated (t)

Recycled Volume (t)

Final Disposal Volume (t)

Final Disposal Rate (%)

Hitachi Cable, Ltd. Densen Works 3-1-1 Sukekawa-cho, Hitachi City, Ibaraki Prefecture

23,865 (29,052)

1,948 1,400 3.7 0.2

Hitaka Works 5-1-1 Hitaka-cho, Hitachi City, Ibaraki Prefecture

29,872 (35,743)

10,346 9,002 28.2 0.3 Takasago Works 880 Sunazawa-cho, Hitachi City, Ibaraki Prefecture

35,078 (42,841)

Minato Works 4-5862-2 Kuji-cho, Hitachi City, Ibaraki Prefecture

2,560 (3,181)

Toyoura Works 4-10-1 Kawajiri-cho, Hitachi City, Ibaraki Prefecture

45,506 (52,322)

6,828 6,439 0.9 0.01

Tsuchiura Works 3550 Kidamari-cho, Tsuchiura City, Ibaraki Prefecture

59,414 (68,831)

6,492 2,370 2.9 0.04

Hitachi Cable MEC-Tech, Ltd.

Equipment Works4-12-1 Hitaka-cho, Hitachi City, Ibaraki Prefecture

801 (979)

178 104 0.0 0

Hitachi Cable Logi-Tech, Ltd.

Hitaka Office5-3-3 Hitaka-cho, Hitachi City, Ibaraki Prefecture

131 (156)

1,728 1,717 0.8 0.05 Tokai Office 150 Terunuma, Tokai Village, Naka

County, Ibaraki Prefecture361 (412)

Hitachi Alloy, Ltd. Kisai Works254-2 Uchitagaya, Kasu City, Saitama Prefecture

8,823 (10,501)

807 683 6.2 0.8

Tonichi Kyosan Cable, Ltd. Ishioka Office

1-1 Aragane, Ishioka City, Ibaraki Prefecture

8,813 (10,885)

4,096 3,533 0 0

Tohoku Rubber Co., Ltd.

Headquarters Plant1-1-12 Minato, Miyagino Ward, Sendai City, Miyagi Prefecture

3,207 (3,821)

448 425 3.2 0.7

Hitachi Cable Precision Co., Ltd

Yonezawa Works901 Hosen-machi, Yonezawa City, Yamagata Prefecture

1,283 (1,776)

1,388 1,363 24.4 1.8

Hitachi Cable Film Device, Ltd. 545 Ichouhata, Chuo City, Yamanashi Prefecture

16,098 (19,367)

1,714 720 0.1 0.01

* The following CO2 conversion factors have been used: [Fuel] Fuel Category-Specific Emission Factors, Law Concerning the Promotion of the Measures to Cope with Global Warming [Electricity] 2008 Adjusted Emission Factor for Each Power Producer, notification by the Ministry of Economy, Trade and Industry and the Ministry of the

Environment; in the “CO2 Emissions” column above, the upper figures are based on the adjusted emission factors, while the lower figures in parentheses are based on the actual emission factors.

Overseas Sites

Company Name LocationCO2

Emissions (t)

Waste/Reusable Resources

Volume Generated (t)

Recycled Volume (t)

Final Disposal Volume (t)

Hitachi Cable (Johor) Sdn. Bhd. Malaysia, Johor Bahru 12,052 492 －－

Shanghai Hitachi Cable Co., Ltd. Shanghai, China 22,275 1,269 1,109 143

Hitachi Cable (Singapore) Pte. Ltd. Singapore 12,232 496 108 －

PHCP, INC. Dasmarinas, the Philippines 4,192 662 409 58

Thai Hitachi Enamel Wire Co., Ltd. Chachoengsao, Thailand 19,124 557 153 －Hitachi Cable (Suzhou) Co., Ltd., Densen Works

Suzhou, China 7,955 332 301 31

* Data for six major overseas production sites * The following CO2 conversion factors have been used: [Fuel] Fuel Category-Specific Emission Factors, Law Concerning the Promotion of the Measures to Cope with Global Warming [Electricity] Emission Factors 2003 of the Survey Report of Estimated GHG Emissions Intensity in the Power Sector by Country, compiled by the Japan Electrical

Manufacturers’ Association


Environm

ental Perform

ance

Air and Water Quality Data

Densen Works

Air Facility name Item Unit Legal Limit Voluntary Control Value

Observed Value (Maximum)

Boiler NOx ppm 150 60 26

Water Quality

Drainage Item Unit Legal Limit Voluntary Control Value


River

Cyanogen mg/ℓ 1 0.5 0.02Mercury mg/ℓ 0.005 0.0025 0.0008Boron mg/ℓ 10 5 0.2Fluorine mg/ℓ 8 4 0.4Ammonia mg/ℓ 100 50 2PH 5.8〜8.6 6.0〜8.4 6.6〜8.4BOD mg/ℓ 160 12.5 4SS mg/ℓ 200 12.5 7Oil mg/ℓ 5 2.5 NDCopper mg/ℓ 3 1.5 0.4Zinc mg/ℓ 2 1 0.5Meltable Iron mg/ℓ 10 5 3

Hitaka Works

Air

Facility name Item Unit Legal Limit Voluntary Control Value


BoilerMetal Melting Furnace

NOx ppm180150

15060〜135

3777

Dust g/m3N0.20.1

0.10.05

＜0.01＜0.01

Lead mg/m3N 10 0.8 ＜0.1

Water Quality



River

Lead mg/ℓ 0.1 0.08 0.016Ammonia mg/ℓ 100 80 0.8PH 5.8〜8.6 6.0〜8.4 7.1〜8.0BOD mg/ℓ 160 20 3SS mg/ℓ 200 30 4Oil mg/ℓ 5 4 0Zinc mg/ℓ 2 1.8 0.005

Takasago Works

AirFacility name Item Unit Legal Limit Voluntary Control

ValueObserved Value

(Maximum)

BoilerHot-and-Chilled Water

GeneratorHydrogen Generator

NOx ppm180150

106.3〜17560〜99

11039

Dust g/m3N 0.10〜0.30 0.01〜0.22 0.03

Minato W

orks

Air




NOx ppm 180 170 89Dust g/m3N 0.2〜0.3 0.1〜0.24 0.01Lead mg/m3N 10 0.8 ＜0.1

Toyoura Works

Air




NOx ppm 180〜260 50〜150 18〜82Dust g/m3N 0.2〜0.3 0.05〜0.1 0.006〜0.013

Water Quality



River

Ammonia mg/ℓ 100 80 0.3PH 5.8〜8.6 6.0〜8.4 7.4〜8.3

BOD mg/ℓ 160 20 6.2SS mg/ℓ 200 30 3.7Oil mg/ℓ 5 4 ＜1

Phenol mg/ℓ 5 0.8 0.34Copper mg/ℓ 3 2 0.13

Zinc mg/ℓ 2 1.8 0.08Meltable Iron mg/ℓ 10 8 0.1


Tsuchiura Works

Air



Metal Heating FurnaceMetal Melting Furnace

NOx ppm 180 144 28Dust g/m3N 0.2 0.16 0.103

Water Quality

Drainage Item UnitLocal Regulation

and Regional Agreement Value

Voluntary Control Value


River

Fluorine mg/ℓ 0.5 0.4 0.1Ammonia mg/ℓ 100 80 1.3

PH 6.0〜8.6 6.0〜8.4 7.3〜8.1BOD mg/ℓ 10 8 5.7SS mg/ℓ 15 12 6.4Oil mg/ℓ 3 2.4 0.5

Copper mg/ℓ 1 0.8 0.15Zinc mg/ℓ 1 0.8 0.05

Meltable Iron mg/ℓ 1 0.8 0.04Meltable

Manganese mg/ℓ 1 0.8 0.01

Nitrogen mg/ℓ 8 6.4 1.3Phosphorus mg/ℓ 0.5 0.4 0.39

Hitachi Alloy, Ltd. Kisai Works

Air



Metal Heating FurnaceMetal Melting Furnace

NOx ppm 180 144 64Dust g/m3N 0.1〜0.25 0.08〜0.16 ＜0.01

Water Quality

Drainage Item Unit Local Regulation Value



River

PH 5.8〜8.6 ※１ 6.0〜8.4 7.4〜8.0BOD mg/ℓ 25 20 6.8SS mg/ℓ 60 48 13Oil mg/ℓ 5 ※１ 4 ＜1

Zinc mg/ℓ 2 ※１ 1.6 0.36Nitrogen mg/ℓ 120 ※１ 96 2.3

Phosphorus mg/ℓ 16 ※１ 12.8 0.49

*1 Same as the regulation value set by the Japanese government

Tonichi Kyosan Cable, Ltd. Ishioka O

ffice

Air



BoilerNOx ppm 300 300 78Dust g/m3N 0.5 0.5 0.001

Water Quality




River

BOD mg/ℓ 25 22 3.9SS mg/ℓ 40 36 6.0

Nitrogen mg/ℓ 60 54 4.4Phosphorus mg/ℓ 8 7 0.4

Tohoku Rubber Co., Ltd. Headquarters Plant

Air



BoilerHeat Medium Boiler

NOx ppm 130〜150 130〜150 58Dust g/m3N 0.10〜0.15 0.10〜0.15 0.01

Water Quality

Drainage Item Unit Regional Agreement Value



Ocean

PH 5.8〜8.6 6.0〜8.4 6.3〜7.4COD mg/ℓ 20 18 9.9SS mg/ℓ 20 18 14Oil mg/ℓ 3 2.8 1.3

Zinc mg/ℓ 2 ※2 - 0.2

*2 The regulation value set by the Japanese government presented due to the absence of a value agreed upon among businesses in the region


Environm

ental Perform

ance

Hitachi Cable Film Device, Ltd.

Air



BoilerNOx ppm 150 120 84Dust g/m3N 0.1 0.08 0.007

Water Quality




River

Boron mg/ℓ 10 ※3 1 0.19Fluorine mg/ℓ 1 0.7 0.2

Ammonia mg/ℓ 100 ※3 30 12PH 5.8〜8.6 ※3 5.8〜8.6 6.9〜7.9

BOD mg/ℓ 30 20 8.3SS mg/ℓ 50 30 20Oil mg/ℓ 5 3 2.0

Phenol mg/ℓ 1 0.7 0.02Copper mg/ℓ 1 0.7 0.05

Zinc mg/ℓ 1 0.7 0.06Meltable Iron mg/ℓ 1 0.7 0.25

Meltable Manganese mg/ℓ 1 0.7 0.09

Chrome mg/ℓ 0.5 0.3 0.02

*3 Same as the regulation value set by the Japanese government

Acquisition of ISO14001 Certifications (as of March 2010)

Domestic Subsidiaries

Company Month and Yearof Acquisition

Tonichi Kyosan Cable, Ltd. (including Tonichi Kyosan Technos, Ltd.)

2000.1

Hitachi Alloy, Ltd. Kisai Works 2002.11

Hitachi Wire & Rod Ltd. 1997.3 ※１

Hitachi Cable Precision Co., Ltd.Yonezawa Works 2000.11

Hitachi Works 1997.3 ※２

Hitachi Cable Fine Tech, Ltd. 1997.3 ※１

Hitachi Cable Logi-Tech, Ltd. 1997.3 ※１

Hitachi Cable Networks, Ltd. 1997.3 ※１

Hitachi Cable MEC-Tech, Ltd. 1997.3 ※１

Hitachi Magnet Wire Corp. 1997.3 ※１

Tohoku Rubber Co., Ltd. 2003.3

Hitachi Cable Rubber Technology Co., Ltd. 2005.6

Hitachi Cable Film Device, Ltd. 2009.3

Hitachi Densen Shoji, Ltd. 2002.3

Hitachi Cable Trading Ltd. 2005.1

※１ Same certification as that of Hitaka Works, Hitachi Cable, Ltd.※２ Same certification as that of Densen Works, Hitachi Cable, Ltd.

Overseas Subsidiaries

Company Month and Yearof Acquisition

Shanghai Hitachi Cable Co., Ltd. 2005.5

Hitachi Cable (Suzhou) Co., Ltd.Wire and Cable Plant 2007.9

Assembly Plant 2005.3

Hitachi Cable (Johor) Sdn. Bhd. 2002.5

Giga Epitaxy Technology Corporation 2003.2

Hitachi Cable Indiana, Inc. 2002.2

Hitachi Cable (Singapore) Pte. Ltd. 1998.9

Suzhou Hitachi Cable Precision Co., Ltd. 2006.10

Thai Hitachi Enamel Wire Co., Ltd. 2005.12

Hitachi Cable Philippines, Inc. 2001.12

PHCP, Inc. 2004.11

Shenzhen Hitachi Cable Co., Ltd. 2008.9

Hitachi Cable UK, Ltd. 2007.10

Hitachi Cable PS Techno (Malaysia) Sdn. Bhd. 2005.6

Hitachi Cable, Ltd.

Site Month and Year of Acquisition

Densen Works 1997.3

Hitaka Works (including Takasago Works, Toyoura Works, Minato Works, J-Power Systems Corp. and Advanced Cable Systems Corp.)

1997.3

Tsuchiura Works 1999.3

Akihabara UDX, 4-14-1, Sotokanda, Chiyoda-ku, Tokyo 101-8971, JAPANTEL: +81-3-5256-5454 FAX: +81-3-5256-3240http: //www.hitachi-cable.co.jp/en/index.html

©Hitachi Cable, Ltd. 2010 All Rights Reserved.

Corporate Social Responsibility Report

2010アタリケイ

Documents

2010 - Hitachi Metals › e › csr › pdf › cbl_csr › ... · ers the production bases of Hitachi Cable and 14 domes-tic production companies in the Hitachi Cable Group. Furthermore,