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On the Establishment of the Nippon Unipac Holding Group's (Nippon Paper Group)Action Charter and Codes of Conduct |
The Nippon Unipac Holding Group has been making a proactive and continuous contribution to society as a company that provides broad-based support for industry and culture. The Group strives to grow as a resource-recycling operation that is in harmony with the society.
The internal and external circumstances that impact business are changing dramatically and the public now pays even closer attention to corporate activities. In other words, companies must not merely seek economic profits but should proactively fulfill their general social responsibilities in terms of ethics, fairness and transparency.
Our Group has today set Vision, Action Charter and Codes of Conduct as guidelines for business management. We remain committed to serving society by further strengthening our internal compliance system and by continuing our sustainable development into the future, to ensure that we are truly a world-class company.
We hereby pledge that not only our top executives but also every our single officer and employee will observe and act in compliance with the Nippon Unipac Holding Group's Action Charter and Codes of Conduct.
April 1, 2004
Takahiko Miyoshi, President
Nippon Unipac Holding
Vision
Nippon Paper Group will strive to become a world-class company through our diverse business activities.

Action Charter
- We shall pursue a sustainable growth for the future to contribute to society through our business activities.
- We shall abide by the letter and the spirit of laws and regulations, and comply with the highest ethical standards and social codes of conduct, both in Japan and abroad.
- We shall conduct our business in a fair, transparent and liberal manner.
- We shall win the trust of customers through the development and provision of socially useful and safe products and services.
- We shall disclose corporate information positively and fairly to all stakeholders of the Group.
- We shall actively address environmental issues, and shall endeavor to conserve and enhance the environmental state of our planet.
- We shall maintain consistency between the corporate development and the personal contentment of individual employees, and create a company filled with dream and hope.
Codes of Conduct
- Fulfillment of social responsibilities
| (1) |
We shall contribute to society through our business activities, centered on paper manufacturing, as a good corporate citizen. |
| (2) |
When conducting businesses overseas, we shall respect local cultures and customs, |
| (3) |
We shall stand up firmly against antisocial factions and groups. |
- Fair, transparent and liberal corporate activities
| (1) |
We shall not become involved in a cartel, collusive behavior, inappropriate labeling or other acts that violate the provisions and spirit of Anti-Trust Law and related regulations, and we shall conduct fair business transactions. |
| (2) |
We shall not become involved not only in bribery of public officers, illegal political contributions or offering of profits, but also in actions that could be conceived as back-scratching or cozy relations with legislature or administrative bodies. |
| (3) |
We shall not become involved in after-hours entertainment or gift giving that is unacceptable given community standards and general business practice. |
- Winning trust of customers
| (1) |
We shall consistently provide products and service that are socially useful, of high quality and with a high degree of safety, and environmentally friendly. |
| (2) |
We shall provide quality labels and other product information accurately and fairly, to enable customers to make informed choices. |
| (3) |
We shall take every opportunity to listen to the opinions of customers, and endeavor to maximize customer satisfaction. |
- Strict handling of corporate information
| (1) |
We shall manage business information, intellectual property rights, customer information, personal information and other important internal information strictly and appropriately. |
| (2) |
We shall not obtain or use information on customers or competitors in an illegal way. |
| (3) |
We shall respect the intellectual property rights of others. |
- Fair and positive disclosure of corporate information
| We shall positively disclose not only business-related information but also fair and reliable information on our environmental and community activities to our customers, consumers, shareholders, investors, business partners, regional communities, administrative bodies, employees and other stakeholders. |
- Active involvement with environmental issues
| (1) |
We shall promote afforestation projects, to create and make effective use of sustainable forest resources. |
| (2) |
We shall promote energy conservation, the use of wastepaper and other measures to effectively use resources that are limited in quantity. |
| (3) |
We shall manage and reduce all types of discharge and waste generated in the course of corporate activities. |
| (4) |
We shall research and develop manufacturing technologies, and products and services that are in harmony with the environment. |
- Desirable mindset of employees
| (1) |
To act with a willingness to improve oneself and to take up challenges, to make corporate development consistent with personal contentment. |
| (2) |
To abide by laws, regulations and social codes, and to be responsible for oneÕs own conduct. |
| (3) |
To respect each otherÕs human rights and to consider the positions of others when taking action. |
| (4) |
To distinguish at all times between official and private settings, and to avoid using business positions for personal benefit. |
| (5) |
To restrain from using for private purposes nonpublic information obtained in oneÕs company or in the course of business.
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Established on April 1, 2004
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The world economy has experienced significant expansion in the 15 years since the end of the Cold War. At the same time, deregulation, the flow of goods across borders and the faster speed at which information is exchanged have done much to level the playing field between markets.
During this time, economic growth in developed countries has fluctuated less, and in recent years, a deflationary phenomenon has arisen with negative rates of inflation.
On the other hand, in Japan, birth rates are continuing to fall and the Japanese population is expected to peak in 2006, from which point the nation will, for the first time in history, enter an age of negative population growth. By 2015, the proportion of those aged 65 years and older is expected to increase greatly from 19% to 26%. This population decline and increase in the aged population will have multifarious effects on Japan's market trends and on the labor environment, etc.
More recently, as well, with the economic development of China, for example, the escalating prices of international commodities like crude oil look set to continue on into the long term, and yet there is no room for product prices to increase with the intensified price competition currently taking place between companies.
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The world paper market is continuing to grow, both in terms of production and consumption, and the pulp and paper industry is said to be a growth industry. The center of production and consumption is shifting from North America and Western Europe to Asia. With quantitative growth not expected in the Japanese market, it is critically important for the Group to become actively involved in the Asian paper market, which is now anticipated to witness the strongest growth and market expansion in the future.
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The environment in which the Group operates sees the Group facing global mega-competition with the rapid growth of China's pulp and paper industry, and along with increased opportunities, will also come increasingly rapid change. Very noticeable, too, in the domestic market is the rise of imported paper amongst the products that affect market conditions.
In responding to global environmental and resource problems, whether or not companies can channel their collective strengths into promoting CO2 countermeasures and afforestation programs will clearly become a game of survival of the fittest on an international level.
Through mergers and business integration, the Group has now become Japan's pulp and paper industry's leading company. Under the First Medium-Term Business Plan (FY2004-2006) that we are currently pursuing, we have been working on comprehensively upgrading and strengthening our organizational framework, and as a result, we expect that we will have mostly achieved our structural goals of reducing interest-bearing debt and achieving a better human-resource structure this financial year, which is the final year of the Plan.
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The Group, which has its base in Japan, is favorably positioned in close proximity to the Asian market, which will see significant growth.
Amidst an ever-intensifying business climate, we need to develop even greater
competitive strength along with a solid business foundation that has the ability
to adapt to change, if we are to succeed in international competition and achieve
sustainable growth. Thus, we have come up with the Group Vision 2015 to guide
the management of the Group in the future, with a view to realizing stable and
high revenues in our domestic businesses and a full-scale expansion of our businesses
overseas over the next ten years.
May 2005
Nippon Paper Group, Inc.
President Takahiko Miyoshi |
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