Response to Climate Change (Global Warming Prevention)

The Fujifilm Group has been implementing anti-global warming measures intensively at its six factories in Japan, (*1) whose CO₂ emissions account for about 60% of the total CO₂ emissions of the Group, and has set challenging targets for each of the factories.(*2) In 2003, we started to convert our fuel to natural gas and have been implementing a range of other measures, including improving the energy efficiency of our factories.

In fiscal 2006, two factories started to manufacture flat panel displays and the total CO₂ emissions from the six factories, including these two, was 900,000 tons. Both in fiscal 2007 and 2008, however, emissions decreased as a result of measures such as installing energy safety equipment and converting fuel to natural gas.

Of the six factories in Japan, the total CO₂ emissions for the existing four factories (the Ashigara and Odawara Sites of the Kanagawa Factory, the Fujinomiya Factory, and the Yoshida-Minami Factory) have decreased to less than the 1990 level. On the other hand, as a result of the substantial decrease in production following the slump in the global economy, production efficiency declined. As a result, both the energy consumption and CO₂ emissions increased in fiscal 2008 from the previous fiscal year.

• *1 Six major chemical factories in Japan (the Ashigara and Odawara Sites of the Kanagawa Factory, the Fujinomiya Factory, the Yoshida-Minami Factory, FUJIFILM Opto Materials Co., Ltd., and FUJIFILM Kyushu Co., Ltd.)
• *2 To decrease energy use by 30% and CO₂ emissions by 40% by 2012 (from the 1990 level)

• Response to Climate Change (Global Warming Prevention): Initiatives in Fiscal 2008
• Response to Climate Change (Global Warming Prevention): Initiatives in Fiscal 2007

We plan to convert all the fuel used at the Kanagawa Factory's Ashigara Site to natural gas by September 2009, thereby reducing CO₂ emissions from the site by 56,000 tons a year. We expect that total CO₂ emissions from the six factories in Japan will reduce by at least 160,000 tons as a result of converting the fuel to natural gas in fiscal 2010.

We will further reduce total CO₂ emissions from the six factories by making investments in energy-saving equipment and implementing measures to increase efficiency. However, if it becomes difficult to achieve this target by fiscal 2012, we may need to examine using our emission rights (obtained by participating in the Community Development Carbon Fund of the World Bank).

Also, each operating company in the Fujifilm Group will set its CO₂ emission reduction target for around 2020 and will make a concerted effort to prevent global warming.