Initiatives at Offices

As a part of environmentally-conscious efforts by employees at our offices, efforts are being made to upgrade various types of infrastructure, resulting in contributions both to environmental preservation activities and to more efficient operations and cost reduction. We have introduced 48,000 IP phones over the past three years, which significantly cut down energy consumption through consolidating switchboards. IP phones will be introduced in all Matsushita Group sites in Japan during fiscal 2009. We have also introduced digital imaging systems that link to our information systems in order to reduce paper and energy consumption. Moreover, we have set a new target in fiscal 2009 for all nonmanufacturing sites in Japan: to reduce annual average CO₂ emissions by at least 2% from the fiscal 2008 level. Efforts will be made not only at factories, but also at offices, to make a contribution to the prevention of global warming.

In general, CO₂ emissions from offices and other operational divisions in Japan have been on the increase. In view of this trend, we have reinforced our initiatives to reduce CO₂ emissions from non-manufacturing divisions, by incorporating the energy conservation tuning initiative.

Through this measure, we can operate airconditioning and lighting facilities and systems in an energy-efficient manner according to changes in the utilization status of buildings in order to achieve maximum energy conservation.

Specifically, we have formulated a goal to reduce CO₂ emissions from non-manufacturing sites by at least 2% annually on average from fiscal 2008 levels and have established a specific policy for energy conservation activities at offices. We plan to designate model buildings to establish concrete practical methods and to apply such models to other sites for achieving our goal.

We believe that as an electronic products manufacturer and seller, it is our responsibility to lead activities towards the creation of a sustainable society. Therefore, we are encouraging our employees to purchase more environmentally-responsible office supplies and equipment, wherever possible.

In December 2001, we enacted the Rules for Green Purchasing, so as to further promote our Green Purchasing policy throughout our business sites in Japan. We have Green Purchasing criteria in place for office stationery, company vehicles, fixtures and fittings, and office automation equipment. Our purchasing database lists office stationery that meets our criteria, ensuring the staff can select environmentally-conscious items. We have also included educational content covering Green Purchasing in our employee e-learning system.

In fiscal 2008, we formulated the Green Purchasing Guidelines for Paper and Printed Matter. These guidelines provide a checklist of items necessary to produce environmentally-conscious printed matter, such as the raw materials for paper, use of easily recyclable materials, and use of hazardous substance-free ink. In particular, we have introduced a distinct idea that we use not only recycled paper, but also used pulp and virgin pulp from environmentally-conscious sources in a balanced manner. We believe that this initiative will allow us to deliver environmentally-conscious and safe printed matter to customers and to raise office staff's awareness of the environment.

In fiscal 2008, the green purchasing rate for stationery was 76%. The rate for copy and printing paper and office automation equipment was 100%, because only products that met green purchasing criteria were chosen for this category from the very beginning of the procurement process (for copy paper, this figure represents results up to December 31). In fiscal 2009, we will further tighten these criteria and encourage our employees to conform to the guidelines to ensure continuing improvement of the quality of the program.

• * Actual bulk purchases by the Company from April 2007 to March 2008.
• * For paper, figures are the totals of actual purchasing from April to December 2007.