Environmental policy and Management

Environmental Management Structure

To promote environmental management, Rengo has established the Environment Subcommittee overseeing the entire company, along with Division Environment Subcommittees at divisions, plants, and mills. The Environment Subcommittee's purpose is to strengthen environmental management across the company. It is chaired by the senior managing executive officer responsible for the Environmental Management Department, and its members are officers and general managers in charge of production departments and related organizations.
At meetings, the current state of achievement for environmental targets and state of legal compliance are reviewed for the entire Group, and discussions and decisions are made on items such as Groupwide directions, targets, and plans related to the environment. These are then reported to the CSR Committee. Decisions made by the Environment Subcommittee are further deliberated in detail at the Division Environment Subcommittees to develop environmental improvement activities rooted in their respective local communities. To effectively promote environmental management, Rengo has introduced ISO 14001, the international standard for environmental management systems, since 2001.

Environmental Management System ISO 14001

Rengo has obtained ISO 14001 certification at all of its divisions, plants, and mills, and operates an environmental management system based on this certification. To confirm the proper operation of the system, internal audits and external inspections are conducted regularly.
In internal audits, we confirm the status of environmental improvement initiatives, compliance with laws and regulations, and emergency response, and we strive for continuous improvement.

Status of ISO 14001 Certification at Production Sites (as of March 31, 2025^*1)

• Scope:Manufacturing sites of Rengo as a standalone entity and domestic and overseas consolidated subsidiaries
• *1Information of overseas consolidated subsidiaries is as of the end of December 2024.
• *2Ratio of certified sites = (Number of certified sites) / (Number of the total sites)

Environmental Policy

The Rengo Group has established the Rengo Group Environmental Charter as its management policy concerning the environment and is promoting environmental management.

Environmental Charter

Environmental Targets

The Rengo Group has set the long-term target, Rengo Group Environment Action 2050, toward 2050 and the medium-term target, Eco Challenge 2030, toward 2030. With the aim of realizing a sustainable society, the Group as a whole is advancing these initiatives.
The Rengo Group has set two environmental targets: the long-term "Rengo Group Environment Action 2050" and the medium-term "Eco Challenge 2030," each aligned with its respective year. United as one, the Group is advancing these initiatives to realize a sustainable society.

• Rengo Group Environment Action 2050
• Eco Challenge 2030

Handling of Environmental Laws and Regulations and Environmental Accidents

Compliance with Environmental Laws and Regulations

To minimize environmental risks, Rengo complies with environmental laws and regulations, including those related to air pollution and water quality. We conduct internal compliance checks related to environmental laws and regulations twice a year to detect potential risks early and prevent violations before they occur. As a result of these efforts, for FY3/2025, as well, there were no significant environmental legal compliance violations.

Countermeasures Against Environmental Accidents

Rengo works to prevent environmental accidents such as oil, chemical, or wastewater leaks, which could affect surrounding communities, by making daily inspections and periodic self-checks to ensure the early detection of abnormalities and minimize potential risks. In addition, to prepare for unforeseen circumstances, each division, plant, and mill conducts emergency response drills at least once a year.
When an environmental accident occurs, cases subject to administrative guidance are classified as "environmental accidents," and other cases are classified as "minor environmental accidents." Both are properly addressed. To prevent the recurrence of similar incidents, the causes and countermeasures of each accident are analyzed, and information is promptly shared within the Group based on internal reporting standards and communication channels.

Complaints Related to the Environment

When Rengo receives environmental complaints, such as those related to noise or vibration, we promptly identify the cause and take appropriate action, including equipment-related measures and revisions to operational methods. We also carefully explain the causes and countermeasures to those who raised the concerns to ensure their understanding. Going forward, we will continue working to prevent noise, vibration, and other issues before they arise, while fostering close communication with local communities to avoid causing inconvenience to residents.