Ricoh selected as “Excellent TCFD Disclosure” by GPIF's external asset managers

TOKYO, March 28, 2022 – Ricoh received one of the highest evaluations from external asset managers entrusted with the domestic equity investment of Japan's Government Pension Investment Fund (GPIF.) Among all nominated companies with “excellent TCFD^* disclosure,” Ricoh received votes from five asset managers.

* TCFD:

Task Force on Climate-related Financial Disclosures. Established by the Financial Stability Board (FSB), the TCFD provides stability to financial markets by promoting information disclosure of climate-related risks and opportunities by companies and facilitating a smooth transition to a low-carbon society.

As a new initiative based on the latest revision of the Corporate Governance Code in Japan, the GPIF requested its external asset managers to nominate “excellent TCFD disclosures.” As a result of the survey, GPIF selected 27 companies for having excellent TCFD disclosures, but among all the nominated companies, only Ricoh and three other companies were chosen by four or more external asset managers for excellent TCFD disclosure. Additionally, 54 companies were selected for excellent disclosure in at least one of the four disclosure categories—(1) governance, (2) strategy, (3) risk management, and (4) metrics and targets—with Ricoh being selected in all four categories.

Comments from the external asset managers who highly evaluated Ricoh's disclosure include;

• Ricoh has been engaged in environmental management for many years since its establishment of the Environmental Promotion Office in 1976. Ricoh's first publication of a TCFD report demonstrates its further enhancement of environmental goals for decarbonization, and such efforts could be business opportunities for the company.
• Ricoh's TCFD report provides comprehensive disclosure with abundant examples.
• The comprehensive climate change efforts are easy to understand since they disclose not only disclosure items recommended by TCFD but also the history of climate change efforts, measures and concrete initiatives for achieving goals, and the financial impact as business opportunities.
• In addition to the integrated report, Ricoh publishes a TCFD report and provides a detailed disclosure of the four categories recommended by the TCFD framework.
• Ricoh provides a balanced and high-quality TCFD disclosure. Regarding the governance system, Ricoh discloses GHG emission reduction targets linked to executive compensation and its ESG governance structure. In climate change risk analysis, Ricoh quantitatively analyzes the financial impact as large (50 billion yen or more), medium (billions to 50 billion yen), or small (hundreds of millions of yen) risks. Opportunities are described in an easy-to-understand manner using visuals. In terms of risk management, the process of determining priority management risks is explained with diagrams, not only with the chart showing the risk management structure. The descriptions of indicators and goals refer to Scope 3 and SBT.

Ricoh strives to gain stakeholders' understanding and support towards various aspects of our corporate activities through proactive disclosure while leveraging feedback to enhance our operations and corporate value.