2014/06/23

Kao Corporation (President and CEO: Michitaka Sawada) has released its Sustainability Report 2014. The report primarily provides information on the activities in each of 3 key areas of the Kao Sustainability Statement announced in July 2013 to ensure that as many stakeholders as possible understand Kao Group's contributions to a sustainable society.

•The "Kao Sustainability Report 2014" is available at our website.
http://www.kao.com/jp/corp_csr/reports.html
(in the Japanese language only)

The Kao Group's mission is to strive for the wholehearted satisfaction and enrichment of the lives of people globally while contributing to the sustainability of society through Yoki-Monozukuri, with products and brands of excellent value. The Group formulated the "Kao Sustainability Statement" in July 2013 to clarify the sustainability policy and key areas of activities across the Group.

In determining the key areas of activities, we reviewed what the materiality issues were for Kao in light of global issues and the opinions of internal and external stakeholders as well as our business strategy. We then defined three key areas and target fields of activities in each of these. In the area of Conservation, we aim to contribute to environmental conservation by partnering with a variety of stakeholders as well as reducing environmental impacts at all stages of the product lifecycle. In the area of Community, we will make social and regional contributions through our social contribution activities and products offered by the Kao Group. In the area of Culture, we intend to develop sound business activities founded on integrity with our diverse employees and business partners.

This report provides information on the process of drafting the Kao Sustainability Statement, its promotion structure, the results achieved in 2013 and targets for 2014. It also introduces detailed examples of activities undertaken by the Group in the three key areas of Conservation, Community and Culture. Voluntary recall of Kanebo Cosmetics brightening products containing Rhododenol and the Kao Group窶冱 responses are also reported. In addition to these activities, other efforts implemented by the Group are introduced, including our governance organization, responsibility to employees and social contribution activities in communities, categorized according to environmental, social and corporate governance (ESG) and accompanied by detailed performance data.

Currently released versions are only available in Japanese; the English version of Kao Sustainability Report 2014 is scheduled to be published at the end of August.

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