

The Ricoh Group is engaged in risk management of chemical substances by applying a risk evaluation method in compliance with the Strategic Approach to International Chemicals Management (SAICM), to minimize the risk throughout the lifecycle of chemicals and to share related information. All the chemical substances used, discharged, and disposed of in the manufacturing processes of Ricoh products are controlled under this management.
We will establish a global scheme by fiscal 2010, whereby chemical substances will be reduced and managed after risk evaluation considering the hazard levels*1 and exposure/used amount (or discharged amount), and information on such evaluation will be shared.
As a measure against chemical substances contamination of business sites and underground water, we have established a system where respective sites make efforts for prevention in compliance with the uniform standards of the Group. In case of contamination, it can be promptly detected and purified under the system.
As for soil and underground water contamination, PCBs, and asbestos, the Group promptly makes efforts to understand environmental liabilities that could affect its financial accounting.
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- *
- Harmfulness to human beings and the environment


- Establish a chemical substances risk management system on a global scale.

- Reduce use of environmentally sensitive substances by more than 30% compared to the fiscal 2000 level (Ricoh's production sites and manufacturing subsidiaries).

- Reduce the amount of environmentally sensitive substances discharged by more than 80% compared to the fiscal 2000 level (Ricoh's production sites and manufacturing subsidiaries).

- The environmental liabilities of PCBs and asbestos in land owned by the consolidated Group companies can be estimated.

- The environmental liabilities are reflected in the financial accounting of the Ricoh Group.

- Chlorine organic solvents used by the Group, including companies that become new members of the Group, are completely eliminated.

We made further discussions about the scheme to assess risk management. The use of environmentally sensitive substances was reduced 69.9% from fiscal 2000, while the amount emitted decreased 80.3% from fiscal 2000 (see graph (2)). As part of the environmental liabilities survey,
we completed a global pre-survey of the Ricoh Group concerning PCBs and asbestos covering the consolidated companies and calculated environmental liabilities reflecting the results. As for chlorine organic solvents used, we formulated a plan to completely eliminate the use of such solvents and started activities to achieve the goal by fiscal 2010.
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We will actively promote the establishment of a risk management system and its upgrading, aiming to realize new global management of chemical substances by the Ricoh Group.
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The Entire Ricoh Group
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Amount of Environmentally Sensitive Substances Used and Emitted in Fiscal 2008
(1) The Ricoh Group's PRTR Targeted Substances

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Changes in the amount used and discharged of environmentally sensitive substances*1
(2) The Ricoh Group (Production)

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- *1
- Data for the substances specified in the environmental action plan, which consists mainly of the substances covered by the PRTR Law and includes other chemical substances used by the Group in large quantities.

Changes in the amount of NOx, SOx and BOD
(3) The Ricoh Group (Production) Air

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The Ricoh Group (Production) Water (BOD)*2

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- *2
- Represents total emissions directly released into public-use water areas.
- *
- Graph (3) does not include data for Shanghai Ricoh Digital Equipment.

(4) Breakdown of the use of environmentally sensitive substances

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Segment Environmental Accounting |
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Segment environmental accounting of pollution prevention activities at business sites (The Entire Ricoh Group)

| Costs |
Effects |
| Economic benefits |
Effect on environmental conservation |
| Item |
Main cost |
Costs |
Items |
Benefits |
Items |
Amount |
| Business area cost |
Pollution prevention cost |
¥269.7 million |
Reduction in social cost |
¥107.1 million |
NOx
SOx
BOD
Environmentally sensitive substances (calculated with the conversion potential) |
-5.3 (t)
0.3 (t)
-2.8 (t)
428.7 (t) |
| Amount of risk avoidance effect (incidental effect) |
¥2,077.2 million |
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