D EN SO C orporationEnvironm ental R eport1999Fo rt h eWorldTe c h n o lo g yCorporate ProfileC orporate N am e: D EN SOC O R PO R ATIO ND ate of Establishm ent: D ecem ber 16, 1949C apitalization: 165.9 billionN um ber of Em ployees: 40,300Note: Figures for capitalization and number of employees are as of March31, 1999; yen values under 100 million have been rounded down.Financial Results (Nonconsolidated)N et Sales: 1,329.0 billionN et Incom e: 37.0 billionFinancial Results (Consolidated)N et Sales: 1,758.8 billionN et Incom e: 58.9 billionNote: Figures for net sales and net income are as of March 31, 1999; val-ues under 100 million have been rounded down.Principal BusinessesAutom otive C om ponents B usiness: Air conditioners and heaters, electrical autom otive andelectronic control products, fuel m anagem ent system s,radiators, m eters, filters, and otherN ewB usiness D om ains: W ireless telephones and other telecom m unicationequipm ent, factory autom ation (FA) system s, appliedelectronics, and environm ental system sContentsA M essage fromthe President....................................1Environm ental M anagem ent SystemFundam ental Thinking R egarding Environm ental Protection Activities ..............................................2Environm ental Action Plan...................................3O verviewof D EN SO s Environm ental M anagem ent System ...4C om pliance w ith ISO14001 International Standards ...........4Environm ental C osts ...........................................6Environm ental Education and Aw areness B uilding ..................7Product D ivision ActivitiesFundam ental Thinking .........................................8Im proving Autom otive Fuel Efficiency...................9R educing the Im pact of Autom otive Air C onditioners on G lobal W arm ing ...............10Approach to End-of-Life Vehicles ......................12C leaning Autom otive Exhaust Em issions ...........14R educing the U se of H azardous Substances.....16Production ActivitiesFundam ental Thinking .......................................18Energy C onservation .........................................19R educing C om panyw ide W aste ........................21R educing the Environm ental Im pact G enerated by Production Processes................22R educing the U se of O zone-D epleting Substances ...24Environm ental Protection Activities of Subsidiaries and AffiliatesTeam w ork w ith D om estic Affiliates.......................26Environm ental M anagem ent of D EN SO s O verseas N etw ork ............................................27Social C ontribution ...................................................28M ain Sites and Affiliates............................................29Environm ental D ata by Plant.....................................30GRegarding DENSOs Environmental Symbol MarkThis environmental symbol was developed in July1995 and is used on pamphlets and during exhibi-tions and events to introduce DENSOs environ-mental activities. The design was created by an in-house designerand expresses the concept: The earth has a heartand lives with vitality and vibrancy in harmony withhumankind and nature.This report covers fiscal years beginning on April 1 and ending on March 31 of the following year.O ver a century has passed since the advent of autom obilespow ered by internal com bustion engines. These autom obileshave played a pivotal role in m oving products and peoplearound the w orld as w ell as having contributed to the devel-opm ent of industry and the enhancem ent of peoples lives.At the sam e tim e, gasoline and diesel vehicles create a bur-den on the environm ent in term s of global w arm ing due inpart to exhaust em issions as w ell as air pollution and w aste-related problem s, fromtheir developm ent to their usage anddisposal. D EN SOis one of Japans leading autom otive com ponentm anufacturers and is keenly aw are of these facts. W e placetop priority on attaining harm ony betw een econom ic devel-opm ent and environm ental protection. R educing environ-m ental im pact is a focus in all our operations, particularly in product developm ent and production processes. W e are contributing to the prevention of global w arm ingthrough product developm ent that creates sm aller and lightercom ponents as w ell as applies technologies that reduce fuelconsum ption by m ore efficient com bustion. In line w ith this,w e are m aking products easier to recycle to cut dow n onw aste and developing products to clean exhaust em issions.D EN SOis contributing to reducing harm ful em issions w hilepursuing the necessary technologies for electric cars andother vehicles to run on alternative energy sources. D EN SOis prom oting a range of activities in the m anufactur-ing field as w ell. W e are conserving energy by deployingcogeneration system s, reducing w aste through the 3R(R educe, R euse, and R ecycle) Action Plan and im plem entingvoluntary guidelines for w ater- and air-quality m anagem entthat are stricter than those m andated by law . Furtherm ore, w e are engaged in the developm ent of theElectronic Toll C ollection System(ETC ) and navigation sys-tem s for Intelligent Transport System s (ITS). D EN SOis alsoinvolved in areas of environm ental protection that incorporatea w ider viewof the entire autom otive transportation system .D EN SOw ill develop innovative technologies and system sand reduce the environm ental im pact of all its operations tohelp the autom otive industry continue to growas one of thew orlds m ajor industries in the 21st century. W e w ill con-tribute to the happiness of people w orldw ide and balance the needs of both econom ic prosperity and environm entalprotection.D EN SOhas published its Environmental Report 1999, w hichintroduces D EN SO s activities w ith regard to environm entalprotection, particularly in fiscal 1998, ended M arch 31, 1999.Through this report, D EN SOhopes to provide readers w ithan understanding of both its viewon environm ental protec-tion and specific activities that it has been im plem enting. W ew ould appreciate hearing your frank opinions regarding thisreport, as they are valuable in shaping our future activities. 1H iro m uO k a b eP re sid e n t AMessagefromthePresid ent2In the next century, various problem sthreaten to em erge, including risingprices for food and energy and thedeterioration of the natural environ-m ent. W e are taking action to preventsuch problem s. For exam ple, byreducing exhaust em issions andupgrading energy efficiency, w e cancreate an even better environm ent and prom ote even richer interactionthrough a variety of avenues, suchas autom obiles as w ell as inform ationand com m unications system s. D EN SOw ould like to help create a society thatfosters an even better environm ent tosolve problem s that are global in scaleand facilitates even richer interactionam ong people everyw here. B ased on the D EN SOPhilosophy,w e have form ulated the D EN SOEnvironm ental C harter and the D EN SOEnvironm ental Action Plan to clarifyour fundam ental m ind-set and havem ade definite steps tow ard realizingthe goals of the Environm ental Action Plan. DENSO Environmental Charter (adopted in March 1993)EnvironmentalManagementSystemThe DENSO PhilosophyMissionContributing to a betterworld by creating valuetogether with a vision forthe futureManagement Principles1. Customer satisfactionthrough high-quality prod-ucts and services2. Global growth throughanticipation of change3. Environmental preser-vation and harmony withsociety4. Corporate vitality andrespect for individualityIndividual Spirit1. To be creative inthought and steadyin action2. To be cooperative and pioneering3. To be trustworthy by improving ourselvesFund amentalThinkingRegard ingEnvironmentalProtec tionAc tivitiesD EN SOis profoundly aw are that corporate activities deeply affect the earths environm ent. B ased on its fundam ental policy to trea-sure nature and growin harm ony w ith the global com m unity, D EN SOseeks to m eet the needs of both econom ic developm ent andthe environm ent and thus build a socioeconom ic systemthat is in harm ony w ith the environm ent. To this end, in all D EN SO s w orld-w ide activities, it seeks to 1) protect the global environm ent, 2) give full consideration to the preservation of the ecology and naturalresources, and 3) im prove the living environm ent in local com m unities and ensure the health and safety of both em ployees and localcitizens. The follow ing activities are designed to achieve these objectives. Fundamental PrinciplesDENSO PhilosophyDENSO Environmental CharterEnvironmental ProtectionActivities and ManagementActivities and management based on environmen-tal management system standards (ISO 14001)Planning and ObjectivesDENSO Environmental Action Plan1. Product Design and ProductionImplement prior evaluations and undertake measures to remove dele-terious influences in all operating activities, from the selection of plantlocations to product design, manufacturing, and disposal(1) Prevention of pollution (air, water, waste, noise, vibra-tion, etc.)(2) Elimination of ozone-depleting substances (specificCFCs, trichloroethane, etc.)(3) Effective use of resources 1. Adopt production processes that reduce industrial waste through recycling 2. Reduce the volume of paper used(4) Reduction of energy consumption by raising efficiencyand taking other measures2. Technological DevelopmentDevelop innovative technologies and systems that enable energy andresource conservation and recycling, thus contributing to resolvingenvironmental problems3. Public Relations, Awareness Building, and Coexistence with SocietyDENSO is implementing public relations and awareness-buildingprograms that target both its employees and society as a whole. Byencouraging employees to proactively participate as members oflocal communities in volunteer activities and promoting communica-tion at all levels of society, DENSO seeks to build a relationship withsociety for mutual prosperity. 4. ApproachOur approach to such issues involves forming the EnvironmentCommittee in cooperation with affiliates around the world to promoteenvironmental preservation activities and raise the level of environ-mental management. E n viro n m e n ta l M a n a g e m e n t S yste m3D EN SOuses natural resources andenergy in its operations and im pactsthe environm ent in various w ays. Inrecognition of this, the C om pany isenthusiastically prom oting not only pol-lution prevention but also activities toconserve both energy and resources.Follow ing the G lobal Sum m it in June1992, D EN SObecam e even m oreaw are of the im portance of environ-m ental preservation. To intensify itsactivities in this area, the C om panyundertook a thorough reviewofgoals,plans, and action item s DENSOs Business ActivitiesEnvironmental ImpactEnvironmentalAc tionPlanEnvironmental IssuesG lobal w arm ing O zone-layer destruction R esource depletion Air pollution W ater pollution W aste problem s N oise pollution O ffensive odorsand form ulated its Environm entalAction Plan. B y im plem enting this plan,D EN SOw ill im prove the efficiency ofproduction and resource usage andcreate innovative products and newtechnologies that help m ake the recycling society a reality. D e ve lo p m e n t/P ro d u c tio n /S a le s P ro d u c tsE n e rg y c o n su m p tio n ,u seo f re so u rc e sU seo f c h e m ic a ls,g e n e ra tio no f wa steE n e rg y c o n su m p tio nG e n e ra tio no f wa steApproach (DENSO Environmental Action Plan)1. Improve fueleffi ci ency Devel op and commerci al i ze fuel - effi ci ent technol ogi esFurther reduce wei ghtPrevention of2. Improve effi ci ency i n use of newRecover new refri gerants (HFC- 134a) and devel op recycl i ng systemsGlobal Warming refri gerants for ai r condi ti oners3. Conserve energy at pl ants Reduce CO2 uni t*energy consumpti on more than 1% per year through energy conservati on and mai ntai n the 1990 l eveli n FY 2000 (* per physi calproducti on amount)4. Respond to market andEstabl i sh a pri or- assessment system for recycl abi l i ty from the desi gn stagesend- of- l i fe cars Standardi ze materi al s for maj or resi n componentsResource ConservationBui l d a suppl y system for rebui l t productsand Recycling 5. Reduce i nternalwasteReuse packagi ng materi al s and reduce packagi ng wastegenerated by pl ants Reduce the vol ume of i nternal l y generated waste 50% i n FY 2000 (compared wi th the 1990 l evel )6. Reduce exhaust emi ssi ons Devel op technol ogi es that contri bute to the further reducti on of exhaust emi ssi on l evel s from gasol i ne and di eselvehi cl es7. Reduce the use of hazardous substances Promote the further reducti on of hazardous substances used i n productsReduction of8. Reduce envi ronmentali mpactReduce hazardous substances i n pl ant effl uent and promote cl osed- l oop systemsEnvironmental Impact created by pl ants9. Adhere to l aws and promote Compl y wi th l aws and regul ati ons (for exampl e, compl y wi th mandates regardi ng proacti ve compl i ance substances that cause ai r pol l uti on as sti pul ated under the Ai r Pol l uti on Preventi on Law) and strengthen vol untary management standards10. Promote envi ronmentalprotecti onIn addi ti on to tradi ti onalpol l uti on preventi on (i mpl ement envi ronmentalGlobal Approachatoverseas faci l i ti es management systems, establ i sh new faci l i ti es, and undertake top- cl ass envi ronmentalpreservati on acti vi ti es around the worl d), promote energy conservati on acti vi ti es, resource conservati on, and recycl i ng11. Undertake PR and other acti vi ti esStrengthen communi cati ons acti vi ti es ai med at mutualprosperi ty wi th soci etyPublic Relations to bui l d understandi ng i n soci ety Encourage and support the DENSO Groups envi ronmentalpreservati on acti vi ti esand Education 12. Promote empl oyee trai ni ng andEstabl i sh and promote a corporate cul ture of harmony wi th the naturalenvi ronmentawareness- bui l di ng acti vi ti es13. Conform to ISO envi ronmental Promote the acqui si ti on of ISO 14001 certi fi cati on at al ldomesti c and overseas l ocati ons management system standards and at si x affi l i ated compani esStructure and14. Coordi nate Companywi de Integrate Companywi de envi ronmentalpreservati on acti vi ti esOrganizationsenvi ronmentalpreservati on acti vi ti es4Product TechnologySubcommitteePromote technological development to make componentslighter and more efficient to support improved fuel efficiency DENSOs Business ActivitiesEnergy SubcommitteeReduce energy used in production processes and developenergy-saving production technologiesPublic Relations and Awareness-Building SubcommitteeEnhance awareness among employees regarding environ-mental preservation and communication activities with societyBusiness Group SpecificSubcommitteesCoordinate and promote environmental preservation activi-ties in various business groupsPlant EnvironmentSubcommitteeReduce environmental impact generated by productionactivities (wastewater, waste, exhaust, noise, etc.)Product RecyclingSubcommitteeDevelop recycling technologies for used automotive com-ponents and technologies that contribute to the elimina-tion or reduction of hazardous substancesDENSOEnvironmentCommitteeChaired byPresident Hiromu OkabeIn D ecem ber 1992, D EN SOm ade environ-m ental protection a top m anagem ent prior-ity and established the D EN SOEnvironm entC om m ittee as a unified forumfor evaluatingits response to environm ental protection,w hich previously w as overseen indepen-dently by each business group. The com -m ittee discusses and sets policies, targets,and initiatives concerning environm entalpreservation to reduce the environm entalim pact of its products throughout their lifecycles, fromdevelopm ent and design tom anufacturing, usage, and disposal. U nder the Environm ent C om m ittee, fivesubcom m ittees w ere established to con-sider m ajor issues. The subcom m itteesOverviewofDENSOsEnvironmentalManagementSystemStructure and Organizationinclude the Product Recycling Subcom m ittee,the Product Technology Subcom m ittee,the Plant Environm ent Subcom m ittee, theEnergy Subcom m ittee, and the PublicR elations and Aw areness-B uilding Sub-com m ittee. In addition, B usiness G roupSpecific Subcom m ittees w ere establishedto discuss product-specific issues.D EN SOis aggressively prom oting theacquisition of ISO14001 certification, theinternational standards for environm entalm anagem ent system s, to strengthen itsow n environm ental m anagem ent systemand increase the transparency of its activ-ities to external parties. Follow ing the Ikeda Plants ISO14001 cer-tificationthe first facility in the Japaneseautom otive com ponent industry to receivesuch certificationin O ctober 1996, all 14of D EN SO s operating units in Japan w erecertified by the end of fiscal 1998. Lookingatits overseas production netw ork, 15 ofthe 25 m ajor facilities obtained ISO14001certification (as of January 1997), and therem aining 10 facilities are m aking the nec-essary efforts to becom e certified.Environmental PolicyThe DENSO PhilosophyDENSO Environmental CharterImplementation and OperationImplement environmental man-agement activitiesChecking and Corrective MeasuresInspection of progressInternal audits and improvementsManagement ReviewReview policies, plans, and targets PlanDoCheckActionComp lianc ewithISO1 4 0 0 1 InternationalStand ard sPlanning and ObjectivesDENSO Environmental Action PlanAnnual Fiscal Plan (Companywide, Business Group)E n viro n m e n ta l M a n a g e m e n t S yste m5Environmental AuditsD EN SOconducts audits to ensure thatits environm ental activities are in accor-dance w ith the rules outlined in its envi-ronm ental m anuals. The C om panycarries out both internal and externalaudits. External audits involve the veri-fication of ISO14001 com pliance byinspection and registration organiza-tions outside D EN SO . Internal audits are conducted by in-house auditors w ho use an auditcheck sheet covering 660 item s in24 categories. The results of suchaudits are reported to senior execu-tives for review . In fiscal 1998, the internal auditorsconfirm ed that there w ere no issuesraised in term s of accidents, com -plaints, or law suits concerningD EN S O s environm ental preser-vation efforts. In addition, no m ajorproblem s w ere pointed out in theexternal assessm ents. Approach to Life-Cycle Assessment (LCA)Products affect the environm ent in avariety of w aysincluding global w arm -ing and w ater pollutionthroughouttheir life cycles, fromprocurem ent tom aterials processing, product m anu-facturing, usage, and disposal. Environm ental protection m easuresthat focus on m erely one stage of thiscycle m ay indeed w orsen the burdenon the environm ent. The im pact thatproducts exert on the environm entm ust be view ed holistically, and tech-nologies that can evaluate the effec-tiveness of environm ental protectionm ust be developed com prehensively.ISO 14001 Certified DENSO Facilities in J apan (completed at all facilities) 1. Direct audit2. Conductaudit3. Reportaudit results4. Direct improvementsInternal Audit OrganizationsCompanywide EnvironmentalPreservation Manager(Directors responsible for environmental activities)Environment Managerfor Business Units(Directors responsible for business units)Audit Team(Internal auditors)Business UnitsLC A m ethodologies arose fromthisneed. Today, LC A is being activelystudied around the w orld. D EN SOisw orking on building an LC A systemforautom otive com ponents in the near future.ISO 14001 Certified DENSO Overseas Facilities Region Country CompanyNorth America United States DENSO MANUFACTURING MICHIGAN, INC. 6.11.98 DNVDENSO MANUFACTURING TENNESSEE, INC. 6.18.98 AWMDENSO SALES CALIFORNIA, INC. 3.18.99 DNVAMERICAN INDUSTRIAL MANUFACTURING SERVICES, INC. 4.2.99 ULASSOCIATED FUEL PUMP SYSTEMS CORPORATION 5.13.99 DNVEurope United Kingdom DENSO MANUFACTURING UK LTD. 12.2.96 LRQADENSO MARSTON LTD. 4.3.97 LRQASpain DENSO BARCELONA S.A. 12.2.98 LRQAOceania Australia AUSTRALIAN AUTOMOTIVE AIR PTY. LTD. 12.14.97 LRQADENSO MANUFACTURING AUSTRALIA PTY. LTD. 3.1.99 QASAsia Thailand DENSO (THAILAND) CO., LTD. 1.22.98 TISITaiwan DENSO TAIWAN CORP. 4.8.98 ULPhilippines PHILIPPINES AUTO COMPONENTS, INC. 8.24.98 AJAIndonesia P.T. DENSO INDONESIA CORP. 12.8.98 KEMAChina YANTAI SHOUGANG DENSO CO., LTD. 4.23.99 CCEMSLocation Date of Registration Inspection and Registration OrganizationHeadquarters and Kariya Plant 11.9.98 JARIIkeda Plant 10.9.96 J ETAnjo Plant 12.26.96 JARINishio Plant 12.26.97 J ETTakatana Plant 1.16.98 JARIDaian Plant 3.26.98 JARIKota Plant 10.22.97 J ETToyohashi Plant 11.19.97 JARIAgui Plant 7.28.97 JARIKitakyushu Plant 12.18.97 JARIZenmyo Plant 3.20.99 J ETHiroshima Plant 4.17.98 J ETNukata Testing Center 5.25.98 J ETDENSO Research Laboratories 1.26.98 J ETJARI: Japan Automobile ResearchInstituteJET: Japan Electrical TestingLaboratoryISO 14001CERTIFICATED a teo fR e g istra tio nI n sp e c tio na n dR e g istra tio nO rg a n iza tio n6Environm ental accounting is designed toassess the costs and benefits of environ-m ental preservation. At present, the prin-ciples of environm ental accounting arenot w ell established in considering w hichitem s should be com piled to calculatethe costs of environm ental protectionand howavoidable coststhat m aycontribute to profitabilityshould beestim ated. D EN SOhas recently form ed a w orkinggroup to study environm ental accountingin an effort to define its approach to environm ental accounting and to builda cost-calculation system . As such, theC om pany is not yet in a position torelease accurate data on environm entalcosts. H ow ever, D EN SObelieves thatdisclosing environm ental costs is anobligation of all com panies and hasincluded such data to the extent pos-sible in this report. Environmental Costs Coveredinthis Environmental ReportIn this report, environm ental costs w ereestim ated in accordance w ith theEnvironm ental Agencys EnvironmentalAccounting Guidelines published inM arch 1999, w hich stipulate the follow -ing categories: D irect C osts for theR eduction of Environm ental Im pact,Indirect C osts for the R eduction ofEnvironm ental Im pact, and R &DC ostsfor the R eduction of Environm entalIm pact. R egarding direct costs for the reductionof environm ental im pact, D EN SOhascom piled capital expenditures targetedprim arily at environm ental preservation,expenses incurred for operating pollution-prevention equipm ent, and processingcosts for industrial w aste. In addition, theC om pany included a portion of capitalinvestm ents for facilities that serve bothenvironm ental protection and other pur-poses according to a certain standard; forexam ple, the portion of investm ent in aproduction line that contributes to reducingenvironm ental im pact w as included. Indirect costs for the reduction of envi-ronm ental im pact (adm inistrative costsfor environm ental issues) include the por-tion related to environm ental protectionof investm ent in production facilities forproducts that contribute to environm entalpreservation; expenditures for em ployeesenvironm ent-related training; expensesfor building and operating environm entalm anagem ent system s and obtaining cer-tification for those system s as w ell aspersonnel expenses for the environm en-tal com m ittees. R &Dcosts for the reduction of environ-m ental im pact include costs incurred forR &Dand the design of products andproduction processes to im prove auto-m obile fuel efficiency and to cleanexhaust em issions.The aggregate total of all such expendi-tures during fiscal 1998 w as approxi-m ately 12 billion, about 0.9%of netsales. EnvironmentalCostsTo ta l A m o u n t:A p p ro x . 1 2B illio n(FY98 R esults)D ire c t c o sts fo r re d u c in ge n viro n m e n ta l im p a c tI n d ire c t c o sts fo r re d u c in ge n viro n m e n ta l im p a c tR &Dc o stsGThe Zenm yo Plant B iotopeC om bining biofor living things and topefor place, a biotope is a natural ecosystemw here a w ide variety of life can coexist.D EN SO s Zenm yo Plant created a biotope to recreate a countryhillside to provide respite to the com m unity.E n viro n m e n ta l M a n a g e m e n t S yste m7To realize successful environm entalpreservation, all m anagers andem ployees m ust clearly understandits objectives and proactively partic-ipate in its relevant activities. Toenhance em ployeesknow ledgeregarding environm ental issues andto translate that know ledge into betterunderstanding, D EN SOis prom otingenvironm ental education and sponsor-ing environm ental exhibitions on anongoing basis.GEnvironm ental Education D EN SObuilt an environm ental educa-tion system tailored to em ployeesaccording to their positions, fromnewem ployees to m anagersthat enablesthe reinforcem ent of the learningprocess throughout an em ployeescareer. In fiscal 1998, em ployees atthe ranks listed in the table on the rightreceived training on the im portanceofenvironm ental preservation andtheirroles. GEnvironm ental ExhibitionsD EN SOheld exhibitions to introduceits environm ental preservation activitiesin a readily com prehensible m annerand thus encouraged em ployeesunderstanding of environm ental issuesand prom oted their participation inenvironm ental activities. An exhibitionheld fromJuly 14 to 16, 1998, attract-ed m ore than 1,700 em ployees andm anagers. The exhibition w as w ellreceived, and subsequent exhibitionsw ere held in each business unit. In thefuture, D EN SOw ill regularly hold suchexhibitions to further enhance aw are-ness of environm ental issues.EnvironmentalEd uc ationand AwarenessBuild ing*Environm ental w orkers: Em ployees that D EN SOdeterm ines to be involved in the operation and m aintenance of critical facilities in term s of potential im pact on the environm ent, including production engineers, em ployees w orking in safety, health, and environm ent-related roles, and em ployees responsible for pow er generation facilitiesG Environm ental ExhibitionThis exhibition, held for the prom otion ofD EN SOenvironm ental protection efforts,com prised an array of booths and displayscovering a range of issues.G Status of environmental destruction andDENSOs approachG Prevention of global warming G Reduction of industrial waste G Prevention of environmental pollutionG Business groups environmental preservationactivities: The life of an automotive air condi-tionerG ISO environmen-tal managementsystems and othersRank ContentNew EmployeesB asic environm ental issues; D EN SOenvironm ental policies; Environm ental policy in the w orkplace; Fundam ental know ledge of environm ental preservationTeam LeadersB asic environm ental issues; Status of environm ental preservationat D EN SO ; R esponsibilities of teamleadersAssistant Managers B asic environm ental issues;Process for environm ental m anagem entManagers B asic environm ental issuesEnvironm ental m anagem ent (responsibilities and authority)Managers (technical staff)Environm ental preservation technologiesEnvironmental Workers*O verviewof facilities; O peration and inspection; M aintenance; Taking m easures for irregularities and em ergenciesAll Employees Key points of environm ental m anagem ent systemNewlyPromotedEnvironmental Education SystemDepartment ManagersPlant ManagersD EN SO s fundam ental thinking w ithregard to product developm ent is todevelop innovative technologies and sys-tem s that enable energy conservation,resource conservation, and recyclingand thus contribute to the resolution ofglobal environm ental problem s causedby the use and disposal of autom obiles.The C om pany approaches environm en-tal issues in line w ith the follow ing fivegoals: 1) im prove autom obile fuel efficiency, 2) reduce the im pact of autom otive air conditioners on globalw arm ing, 3) find a solution to deal w ithend-of-life vehicles, 4) clean autom otiveexhaust em issions, and 5) reduce theuse ofhazardous substances. To achieve these goals, D EN SOdevelopsa range of technologies, products, andsystem s, including products that im proveengine efficiency, Intelligent TransportSystem s (ITS) products to facilitate trafficflow , refrigerant technologies to reducethe im pact of autom otive air conditionerson global w arm ing, and products andsystem s that reduce pow er consum p-tion. To solve the problemposed by end-of-life vehicles, D EN SO is alsodeveloping products that are easy torecycle. M oreover, the C om pany isdeveloping control technologies andpurifiers to clean exhaust em issions andis actively w orking to reduce the use ofproducts that burden the environm ent. Fund amentalThinkingProd uc tDivisionAc tivities 8Goal Item Activity Objectives Activity ResultsPrevention of1. Im prove autom obileD evelop products that im proveM ass production of C ontinuously Variable ValveGlobal Warming fuel efficiency engine efficiency Tim ing M echanismand equipm ent for hybrid carsD evelop products toC om m ercialization of ETC(Electronic Toll facilitate traffic flow C ollection) systemin the ITS field2. R educe the im pact of autom otiveD evelop products to reduceM ass production of leak-resistant hoses and jointsair conditioners on global w arm ing the im pact of refrigerants R esearch into alternative refrigerants (C O 2, H C , etc.)D evelop energy-saving products M ass production of high-efficiency subcool condensers,high-efficiency com pressors, and dual-layer unitsfor external and internal airResource3. Find a solution to deal w ithD evelop easy-to-recycle products M aterial labelling of resins and rubber for separationConservationend-of-life vehicles D evelopm ent and diffusion of refrigerant recoveryand RecyclingD evelop and diffuse equipm ent technologiesfor environm ental preservation D evelopm ent and diffusion of LLCconcentration and separation equipm entReduction of4. C lean autom otiveD evelop products toM ass production of air-fuel (A/F) ratio sensors,Environmentalexhaust em issions clean exhaust em issions hexagonal cell m onoliths, and com m on rail Impact system s 5. R educe the use of hazardousR educe the use of products that 89%reduction in lead usagesubstances contain hazardous substances (com pared w ith the 1996 level)Activity Objectives and ResultsP ro d u c t D ivisio nA c tivitie s9Contributing to the Improvement of FuelEfficiency through New TechnologiesAs an autom otive com ponents m anufac-turer, D EN SOcooperates w ith its cus-tom ers, autom obile m anufacturers, todevelop newtechnologies and supplycom ponents that create m ore efficientpow er trains and are necessary for thesw itch over to electric cars, hybrid cars,and cars running on alternative fuels. Improving Fuel Efficiency with ITSC onsidering traffic flowas a w hole,D EN SObelieves that prom oting theadvancem ent of ITS w ill help alleviatetraffic congestion and sm ooth trafficflow , thereby im proving fuel efficiencyoverall. For the ITS field, D EN SOis developingand m arketing such products as theElectronic Toll C ollection System(ETC )and navigation system s that supportthe Vehicle Inform ation and C om m uni-cation System(VIC S) and the AdvancedVehicle O peration System(AVO S).To cite just a fewexam ples, for ToyotaM otor C orp. in 1995 w e developed thecontinuously variable valve tim ing m ech-anism , w hich optim izes the tim ing of theopening and closing of intake valves ac-cording to engine operating conditions.In 1996, Toyota adopted D EN SO s high-pressure fuel pum ps and high-pressureinjectors for direct-injection gasolineengines. In 1997, D EN SO s electroniccontrol units (EC U s) for batteries and D C -D Cconvertors w ere adopted in ToyotasPrius, the w orlds first m ass-producedhybrid vehicle. In 1998, our intake-exhaust continuously variable valve tim -ing m echanismand other products w ereadopted in Toyotas Altessa. OCVVCT controllerEngine ECUDrive circuitImp rovingAutomotiveFuelEffic ienc yContinuously Variable Valve Timing Mechanism DENSO Products Used in Toyota Priuss Control SystemETC SystemC urrent sensorEnginePow er separationm echanismD EN SOproductsTireAcceleratorsensorShiftsensorVelocitysensorBatteryECUB ackupbattery(12V)Ni-MH batterychargerG ener-atorE/GECUM otorM otor EC UInverterH ybrid EC UDC-DCconverterH V battery(288V)B rakeEC UC o n ve n tio n a l L a n eE x itD ecelerator(B ased on im ages created by Japan H ighw ay Public C orporation.)T o ll C e n te rN o n sto pL a n eG u id a n c eD isp la yE n tra n c eA n te n n aE n fo rc e m e n t C a m e raVe n d in gM a c h in etoP a ssVe h ic leD e te c to rA n te n n aVe h ic leC la ssifie rC o n ve n tio n a l L a n e1 0Reducing the Impact on Global Warming through New TechnologiesD EN SOhas adopted m easures to reducethe im pact of its autom otive air condition-ers on global w arm ing, w ell ahead of otherm anufacturers. Autom otive air conditioners im pact globalw arm ing due to the greenhouse effect(caused by the high absorbency of infraredlight) of the gas refrigerant fromtw o m ajorsources of C O 2 em issions: air conditionersthem selves and the extra engine fuel con-sum ed to pow er them . Total EquivalentW arm ing Im pact (TEW I), w hich is calculat-ed as the sumof these tw o factors, is anindicator of the im pact of air conditionerson global w arm ing. D EN SOis w orkingproactively to low er the TEW I values ofits autom otive air conditioners. First, w ith regard to reducing refrigerantem issions, D EN SOabolished the use ofC FC -12 after it w as identified as an ozone-depleting substance and com pletely con-verted to using H FC -134a, w hich does notharmthe ozone layer, by the end of 1994.H FC -134a has a TEW I value less thanone-sixth that of C FC -12. At the sam eRed uc ingtheImp ac t ofAutomotiveAirCond itionersonGlob alWarming CO2 emissions from increased engine load caused by air conditioners x1 03k gC O 2 )CFC-12 (conventional models)HFC-134a(1994 models)HFC-134a(1998 models)Amount of leaked refrigerant0 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0tim e, D EN SOhas realized a m ajor reduc-tion in the im pact of its air conditioners onglobal w arm ing by im proving hose jointsto m inim ize refrigerant leakage. R egarding reducing the am ount of enginefuel required to run air conditioners, D EN SOhas been im proving the efficiency and re-ducing the w eight of air conditioners andcom ponents. In 1998, D EN SOachievedfurther reductions in the im pact of its airconditioners on global w arm ing by com m ercializing such technologies as ahigh-efficiency subcool condenser, a high-efficiency com pressor, and a dual-layerunit for external and internal air. Looking to the future, D EN SOis prom ot-ing R &Dactivities related to air condition-ers that use natural refrigerants, such asC O 2 and H C , that have a m inim al im pacton global w arm ing.Prior to global warmingGreenhouse-effect gasesCO2, methane, ozone, nitrous oxide, CFCsAfter global warmingSunlight Infrared lightCauses for increases in greenhouse- effect gasesForests and fieldsSunlightInfrared lightMechanisms for Global WarmingTEWI=valueReducing the Impact of Automotive Air Conditioners on Global Warming TEWI ValueIncrease in CO2 emissions fromincreased engine load due to running of air conditionersGlobal warming index of refrigerant i amount of leaked refrigerant+P ro d u c t D ivisio nA c tivitie s1 1Dual-Layer Unit for External and Internal Air (for heating)High-Efficiency Externally Controlled Variable CompressorLow-temperatureexternal airExternal air (50%)Internalair(50%)Fresh air toward the roofAntifoggingWarm air toward the floorHigh-Efficiency Subcool CondenserHigh-Efficiency Subcool CondenserThe function of conventional con-densers is to cool the gas refrigerantto m ake a saturated liquid refrigerant.For high-efficiency condensers, am echanismfor subcooling liquid refrig-erant is created by using a gas-liquidseparator (m odulator tank) in the m id-dle of the process. This enablesgreater efficiency in the refrigerationcycle, resulting in a 10%savings inpow er consum ption, a 100-gramre-duction in refrigerant usage, and a de-crease in w eight of roughly 350 gram s. High-Efficiency CompressorD EN SOreduced the am ount of enginefuel necessary to pow er air condition-ers through a m echanismusing aninternal m agnetic valve to electricallyand continuously change the displace-m ent value of a com pressor from100%to 0% . Zero displacem ent obvi-ates the need for cutoff by a m agneticclutch and enables a m ajor reductionin overall size and w eight. Dual-Layer Unit for External andInternal AirIn autom obiles, external air is intro-duced into the vehicle interior to pre-vent the w indow s fromfogging (freshm ode) w hen the heater is used. D uringthis process, the sam e am ount of w armair is ventilated to the outside, w hichresults in a ventilation loss that accountsfor roughly 70%of the heating load.D EN SO s dual-layer unit for externaland internal air introduces external aironly to the top part of the cabin w hilecirculating internal air to the floor area,thus cutting ventilation loss in half. In sum m er, the systemtrim s ventilationloss fromthe air conditioner to half andachieves approxim ately 40%in pow erconsum ption savings. M o d u la to rta n kS ig h t g la ssR e frig e ra n tin flo wR e frig e ra n to u tflo w1 2Overall ApproachIn Japan, approxim ately five m illionvehicles are scrapped every year, anum ber that is significant in term s ofthe effective reuse of parts and theappropriate disposal of w aste. Follow ing the initiative of the M inistry ofInternational Trade and Industry (M ITI),the autom obile industry and autom ak-ers have been form ulating and publi-cizing voluntary action plans to dealw ith this problem . As an autom otivecom ponents m anufacturer, D EN SOtakes a C om panyw ide approach tofulfill its objectives as described inM ITIs initiative. Ap p roac htoEnd - of- LifeVehic lesSubcommittee for Waste Processing and Recycling of the Industrial Structure Committee: Formulation of targets for the recycling of end-of-life vehicles Ministry of International Trade and Industry:Formulation of the Initiative for the Recycling of End-of-Life VehiclesJapan Automobile Manufacturers Association:Formulation of Voluntary Action Plan for the Initiative of Recycling End-of-Life VehiclesAutomobile Manufacturers:Formulation of Voluntary Action Plan for the Initiative of Recycling End-of-Life VehiclesDENSO(EnvironmentalActionPlan)ParticipationOverview of Quantitative Measures in the MITI Recycling InitiativeSpecific ActivitiesD EN SOis striving to im prove the recyclability of used autom otive com ponents. Activities tow ard this end include 1) investigating easy-to-disassem ble structures anddeveloping easy-to-recycle productsthrough m aterials labelling and otherm ethods; 2) developing and prom otingthe use of equipm ent to recover Relationships with External Organizationsrefrigerants and long-life coolants(LLC s) fromend-of-life vehicles as w ellas LLCconcentration and separationequipm ent; and 3) reusing com po-nents for repairs.Item Recycling ratio after 2002 Recycling ratio after 2015End-of-life vehicles (weight) Recycle more than 85% Raise recyclability to more than 95%Landfill processing (volume) Less than 60% of the 1996 level Less than 20% of the 1996 levelNew vehiclesRaise recyclability-- --to more than 90%Usage of deleterious substances By the end of 2000 By the end of 2005Lead usage (weight)Less than 50% of the 1996 level Less than 1/3(except for batteries) of the 1996 levelActivity Content SolutionDevelopment ofEasy-to-disassemble structures (under investigation)Easy-to-Recycle ProductsMaterials labelling for the separation of plastic and rubber products (in progress) Solution IPrior evaluation of the recyclability of products during the design stages (under investigation)Development and Diffusion Development and diffusion of refrigerant recovery equipment Solution IIof Environmental Preservation Development and diffusion of LLC concentration and separation equipment Solution IIIEquipment(jointly developed with Toyota Motor Corp.)Reuse of ComponentsRelevant products: starters, alternators, compressors,Solution IVfor Repairs diesel injection pumps, engine electronic control units (ECUs), navigation systems, and othersP ro d u c t D ivisio nA c tivitie s1 3At D EN SOservice stations and autom obile retailers, incooperation w ith autom otive m anufacturers, D EN SOhas installed 13,000 in-house-developed refrigerantrecovery units that recover the ozone-depleting sub-stance C FC -12 and 3,000 units that can also be usedto recover H FC -134a, an alternative to C FC s, w hichexacerbate the green-house effect. Further-m ore, the C om panyactively participates, asa m anufacturer of car airconditioners, in JAM Asnationw ide programtobuild and operate sys-tem s to recover anddestroy refrigerants. In collaboration w ith Toyota M otor C orp., D EN SOdevelopeda systemto concentrate and separate LLC s. Approxim ately400 units are installed at autom otive retailers through thecooperation of car m anufacturers. W aste LLC s totalingapproxim ately 150,000 kiloliters per year arem ajor factors in deteriorating w ater quality inJapans rivers. This equip-m ent concentrates LLC s tom ore than 90%of their orig-inal density, and the productcan be used as a fuel inw aste-oil stores and boilers.The separated w ater con-form s to national w aterquality standards (biochem i-cal oxygen dem and (B O D )values of less than 120 m il-ligram s per liter) and can be disposed of as norm alw astew ater or releasedsafely into rivers.D EN SOoperates approxim ately 800 service stations nationw idefor the inspection and repair of the C om panys autom otive com -ponents. W hen com ponents are repaired, only those partsdeform ed through abrasion and w ear are replaced w ith newproducts. R eused products are installed in all other possible cir-cum stances, thus contributing to the efficient use of resources. Since 1992, D EN SOhas been using a m aterials labellingsystemfor plastic and rubber com ponents that is com -pliant w ith international standards. This systemis basedon m aterials labelling guidelines stipulated by the JapanAutom obile M anufacturers Association (JAM A) andlabelling is applied to all plastic and rubber parts w eigh-ing m ore than 100 gram s. The C om pany is also w orkingon labelling partsthat w eigh lessthan 100 gram s.Solution I Solution IIDevelopment and Diffusion ofRefrigerant Recovery EquipmentSolution IIIDevelopment and Diffusion of LLCConcentration and Separation EquipmentSolution IVReuse of Components for RepairsMajor Components Reused for Repairs in FY 1998Marking on a car air-conditioner partRefrigerant recovery equipmentLLC concentration andseparation equipmentRepair of a compressorMaterials Labelling for the Separationof ComponentsComponents Repairs in FY 1998(average reuse rate (relative weight))Starters approx. 200,000 units (approx. 85%)Alternators approx. 230,000 units (approx. 85%)Compressors approx. 110,000 units (approx. 80%)Diesel injection pumps approx.50,000 units (approx. 90%)1 4Contributing to Cleaning ExhaustEmissions through New TechnologiesAs an autom otive com ponents m anu-facturer, D EN SOis cooperating w ithits custom ers to proactively developtechnologies and supply com ponentsfor cleaning the exhaust em issionsgenerated by autom otive engines. CleaningAutomotiveExhaustEmissionsAir-Fuel (A/F) Ratio SensorHeaterHexagonal Cell Monolithic CarrierEffectivecatalystNewly developedhexagonal cellsConventional square cellsAir-Fuel (A/F) Ratio SensorW hen fuel is burned w ithin an engine,such harm ful substances as nitrogenoxide (N Ox), hydrocarbon (H C ), carbonm onoxide (C O ), and sm oke are gener-ated and em itted. The engine m anage-m ent system s in gasoline enginesm easure a broad range of A/F ratios(ratio of air intake volum e to fuel) andprecisely control the catalyst-cleaningrate to optim al levels. Thus, these sys-tem s can reduce the am ount of H Cand N Ox em itted. C onventional oxygen sensors m easureonly A/F ratios close to their theoreticalranges (A/F=14.5). D EN SOsuccess-fully developed an A/F ratio sensor thatm easures a w ider range of A/F ratiossoon after the engine starts. In 1996,Toyota becam e the first com pany inthe w orld to adopt D EN SO s A/F sen-sor technology in its vehicles. The A/Fratio sensor is currently used by auto-m otive m anufacturers w orldw ide forprecision control of the A/F ratio. Hexagonal Cell Monolithic CarrierIn 1998, D EN SOdeveloped the w orldsfirst ceram ic m onolithic carrier of cata-lysts for cleaning car exhaust em issionsusing hexagonal pores instead of squarepores. This configuration im proves clean-ing perform ance and has been adoptedin Toyota vehicles. The m onolithic carriercom prises several thousand pores onem illim eter in diam eter, each of w hich isseparated by thin ceram ic w alls 0.1 m il-lim eter to 0.2 m illim eter thick.C atalysts carried in the pores cleanN Ox, H C , C O , and other gases w henengine exhaust em issions pass through.U sing hexagonal pores enables a m oreuniformthickness of the catalyst com -pared w ith square pores. As a result,the effective volum e of catalysts isincreased approxim ately 20% , thusim proving the carriers cleaning perform ance. ElementExhaust gasClean gasElectronically Controlled Fuel-Injection System for Diesel EnginesC onventional fuel injection system s fordiesel engines are m echanically con-trolled and therefore rely on enginespeed to determ ine injection pressure,volum e, and tim ing. They do not gen-erate sufficient injection pressure w henthe engine starts or w hen the enginespeed is slow . The lack of injectionpressure m akes the cleaning of car exhaust em issions difficult. D EN SOdeveloped a pressure-storagetechnology to electronically controlinjection volum e and tim ing, indepen-dent of m echanical control, by usingan electrom agnetic valve. In 1996, theC om pany w as the first to com m ercial-ize this breakthrough in its EC D -U 2com m on rail system , w hich reducesN Oxem issions and sm oke. Furtherm ore, in 1998 D EN SO s EC D -V4 electronically controlled injectionpum p for com pact trucks w as adopt-ed in Toyotas Land C ruiser and hascontributed to reducing sm oke in thisvehicles exhaust em issions to anundetectable level.1 5P ro d u c t D ivisio nA c tivitie sCommon Rail System (ECD-U2)Pressure sensorCommon railLeakageSupply pumpECUENG loadENGloadENG rpmand camangle1 602 04 06 08 01 0 01 2 01001/21/311developing safe alternatives to replacethese substances.Reducing the Use of LeadLead has been draw ing the m ostattention am ong substances thatim pact the environm ent. In January1998, the Japan Autom obileM anufacturers Association (JAM A)published its Voluntary Action O ve ra ll A p p ro a c hD EN SO s Product R ecycling Sub-com m ittee directs D EN SO s efforts toelim inate the use of substances thatim pact hum an health and the ecosys-tem , such as asbestos, cadm ium , hexa-valent chrom ium , m ercury, and lead. There are various chem ical com -pounds that can be hazardous to theenvironm ent. D EN SOnot only com -plies w ith environm ental regulations inJapan and overseas but also takes aholistic approach covering m aterialsprocurem ent, design, and m anufactur-ing. The C om pany is also w orking toreduce the use of other hazardoussubstances that are not regulated.H azardous substances that D EN SOhas reduced or elim inated its use ofinclude asbestos, cadm ium , hexava-lent chrom ium , m ercury, and lead.Asbestos, w hich has been labeled acarcinogen, had been used in plasticproducts as a reinforcer, but D EN SOhas not used this substance since the late 1980s.In addition, cadm iumw as used in relaycontact points. W ith a fewexceptions,it has been replaced w ith alternativesubstances. W e are nowreplacing itsuse in all areas. H exavalent chrom iumis used as aplating m aterial in finishing processesand m ercury as a backlight for auto-m otive m eters. D EN SOis currentlyRed uc ingtheUseofHazard ousSub stanc esVoluntary targets set by JAMAMajor reduction in leaduse in radiators, heatercores, and harnessesLead usage (index)(1996 =100)Graph 1: The Automotive Industrys Voluntary Targets and DENSOs Reduction in Lead UsageGraph 2: Breakdown of Lead Usage at DENSO (lead and lead com pounds)C o p p e r ra d ia to rs 5 8 %O th e r 3 %E le c tro n icp a rts7 %C o p p e r h e a te rc o re s3 2 %1998 TotalLeadUsage250 tons1996 TotalLeadUsage2,300 tons1996 1998 2000 2005E le c tro n icp a rts7 2 %H a rn e sse s m in u teq u a n titie s)O th e r2 8 % Reduction of2,050 tonsP ro d u c t D ivisio nA c tivitie s1 7Plan for the Initiative of Recycling End-of-Life Automobiles, w hichincludes voluntary targets for theindustry to reduce the am ount of lead used in newvehicles to roughlyless than half the 1996 level by the end of 2000 and to roughly less than a third of the 1996 level by the end of2005.(See G raph 1, page 16.)D EN SOautom otive com ponents thatcontain lead included copper radia-tors, copper heater cores, and printedw iring boards. (See G raph 2, page 16,and Figure 1 below .) R egarding cop-per radiators and heater cores, theC om pany has replaced the bodym aterial w ith alum inum(see photo-graph below ) and replaced lead solderw ith a lead-free w ax m aterial, thusreducing lead usage 2,050 tons peryear. In addition, D EN SOhad usedlead com pounds as a stabilizer for thepolyvinyl chloride that goes into theprinted w iring boards, D EN SOevaluated tin, silver, copper, zinc, bism uth, and other alloys for their w ettability and strength. As a result, the C om pany determ inedthat Sn-Ag-X (C u and other) com -pounds are suitable for autom otiveapplications and is proceeding w ithtechnological developm ent using these com pounds. Lead-Free Aluminum Radiator insulation covering of its harnesses but nowuses alternative m aterials in cooperation w ith its suppliers. B y applying such technologies,D EN SOhas significantly exceededindustryw ide targets and w ill continueto achieve its ow n stricter objectives. Future ApproachD EN SOw ill keep close surveillance on the chem icals it uses and w ill w orkon chem ical restrictions ahead of theintroduction of legal regulations. In par-ticular, the C om pany com m its itself tothe ongoing developm ent ofalterna-tives to lead. Products that still contain lead includesolder for printed w iring boards, w hichare autom otive com ponents that re-quire exceptionally high standards forreliability. In the search for a replace-m ent for lead solder in autom otiveFigure 1: Use of Lead Parts in DENSO Products and Status of ReductionOthersPart Name 1996 1998Copper Radiators In use Compl etel y el i mi natedCopper Heater Cores In use Compl etel y el i mi natedPrinted Wiring Boards In use Devel opi ng technol ogi esHarnesses In use Compl etel y el i mi natedElectrodeposition Coating In use Devel opi ng technol ogi esSteelIn use Devel opi ng technol ogi esElectrical Parts In use Under consi derati onOther Parts In use Under consi derati onD EN SO s basic policy is to protect theenvironm ent froma global perspectiveand achieve clean factory operationsin each business group. In addition topreventing environm ental pollution incom pliance w ith concerned regulations,the C om pany is w orking in line w ith thefollow ing objectives to m inim ize energyand resource consum ption in produc-tion processes: 1) conserve energy inproduction processes, 2) reduce the in-house w aste generated by produc-tion processes, 3) reduce the environ-m ental im pact generated by productionprocesses, and 4) com pletely elim inatethe use of ozone-depleting substances. In fiscal 1998, D EN SOattained a C O 2unit usage level of 96.4 (Index: 1990 =100) by reducing crude-oil consum ptionto the equivalent of 23,000 kiloliters andis thus contributing to the prevention ofglobal w arm ing. In addition, by follow -ing the principles of the 3R(R educe,R euse, and R ecycle) Action Plan, theC om pany reduced the am ount ofindustrial w aste generated to 59%ofthe 1990 level and attained its goal forthe year. In efforts to reduce the envi-ronm ental im pact of its productionprocesses, D EN SOrealized its targetsfor reducing nitrogen, phosphorus,cyanide, and chrom iumin its effluent. 1 8Fund amentalThinkingProd uc tionAc tivitiesActivity Objectives and Results4,000kW gas turbinecogeneration system(Nishio Plant)Goal Item Activity Objectives ResultsPrevention of 1. Conserve energy in CO2unit value to be below 100 CO2unit value of 96.4Global Warming production processes (Index: 1990 = 100)Implementation of measures to reduce energyconsumption 23,000 kiloliters (crude-oil basis)Resource Conservation 2. Reduce the in-house waste Volume of industrial waste to be less than 12.5 kilotons and Recyclinggenerated by production processes 12.5 kilotons (less than 59% of the 1990 level) (less than 59% of the 1990 level)Reduction of3. Reduce the environmental impactReduction of nitrogen andComponent-cleaning processes without using nitric acidEnvironmentalgenerated by production processes phosphorus in effluent Reduction of ammoniawater usein semiconductor processesImpact Installation of denitrogenization and dephosphorizationeffluent processing Reduction of cyanide and chromium Elimination of cyanideand chromiumusewith alternativereagentsin effluent Implementation of closed-loop system for chromium effluent4. Completely eliminate the use Complete elimination of In progressof ozone-depleting substances HCFC-225 by the end of fiscal 1999and kerosene and such secondaryenergy sources as steamand airgenerated by cogenerationsystem s, com pressors,and boilers. Thus, theC om pany prom otes activi-ties that protect the globalenvironm ent and im provethe C om panys profitability.This newsystemhas servedto heighten the energy con-sciousness of each depart-m ent. D espite the success ofthese activities, in fiscal 1998 a rise in basic energydem ands corresponding tothe establishm ent of newfacilities and a low er produc-tion volum e due to the slug-gish econom y caused a 3%increase in the unit output of C O 2 com pared w ith the 1997 level. R esponding to increasingly im portantglobal environm ental issues, in 1994D EN SOintroduced a strategy forenergy conservation targeting 2000based on three basic objectives: 1) protect the global environm ent, 2) reduce energy costs, and 3) ensurethe stable w orldw ide supply of energy.The D EN SOEnvironm ental ActionPlan, revised in 1996, set a goal tolow er C O 2 exhaust em ission levels tothe 1990 level by 2000, m ainly throughenergy conservation. To achieve thisgoal, D EN SOhas forged ahead w ithproactive energy conservation activi-ties.1 9P ro d u c tio nA c tivitie sEnergyConservation100939608 59 09 51 0 01 0 51 9 9 0 1 9 9 1 1 9 9 2 1 9 9 3 1 9 9 4 1 9 9 5 1 9 9 6 1 9 9 7 1 9 9 8 1 9 9 9 2 0 0 0Trends in CO2 Unit Usage(1990=100)CO2 unit usage (CO2 emission volume/physical production value)Fiscal YearEnvironmental Action PlanIn fiscal 1998, the unit output of C O 2 atall D EN SOfacilities w as 4%low er thanthe 1990 level, due to aggressive energyconservation activities. Since 1991,D EN SOhas introduced cogeneration(electricity and heat supply) system s inall its plants, w hich has low ered energyconsum ption during nonoperatinghours, and carried out other activitiesaim ed at m ore efficient production thatrequires less energy. The C om pany alsointroduced the newEnergy ExpenseSystem ,w hich directly charges eachdepartm ent for its energy consum ption.Approach to the Prevention of Global Warming D EN SOcarefully chooses and usesenergy, taking the efficiency of its useinto consideration, throughout theentire production process. For instance,it considers suitability and efficiencyin choosing such prim ary energysources as electricity, city gas, oil, Example of DENSOs EnergyConservationG C ogeneration SystemD evelopm ent As one of the C om panys m ain activi-ties for energy conservation, since1991 D EN SOhas im plem ented itscogeneration system , w hich reducesC O 2 em ission levels by increasingenergy efficiency. Seven gas turbineImprove technologies for energy usageand achieve both higher earnings and environmental preservationEnergyselectionEfficient use of energycogeneration system s w ere in opera-tion as of July 1999. C ogeneration system s greatly con-tribute to the prevention of globalw arm ing w ith an approxim ately 40%reduction in C O 2 em issions, com paredw ith conventional system s. M oreover,in April 1997 a fuel cell, developed asConcept for Energy StrategyTarget: Less than 100 (in 2000)In response, D EN SOis m aking everyeffort to reach its target. part of a highly acclaim ed advancedcogeneration system , underw ent on-site testing at a gas supply facility. 2 0G D evelopm ent and Introduction of the Energy C ontrol System , EC OO PER ATO R Since 1994, D EN SOhas been w orkingto cut energy consum ption duringnonoperating hours. In 1998, theC om pany developed the EC OO PER -ATO R , a control systemthat autom ati-cally shuts off equipm ent not in use,w hich reduced energy consum ption inproduction lines 60% . The C om pany isin the process of equipping all produc-tion lines w ith the EC OO PER ATO R .The EC OO PER ATO R autom aticallyshuts dow n equipm ent that is not inuse, such as during lunch hours andbreak tim es, and autom atically restartsthe equipm ent w hen the next shiftbegins. The EC OO PER ATO R can alsobe easily adapted to changes in w orkschedules w ith just the touch of am ode sw itch.Pro-duction B re a k L u n c hD a y sh ift I n te rva lT im e 8 : 4 0 1 0 : 0 0 1 2 : 0 0 1 2 : 4 5 1 8 : 4 0 2 0 : 1 0N ig h tsh iftE n e rg y c o n se rva tio nE n e rg yProduction preparationPower supplyG Activities to R aise Air-B low erEfficiencyFor use on the production line or inim proving w ater drainage, air-blow erusage has been increasing in tandemw ith the rationalization of m anufactur-ing facilities. To effectively curb the rise in energyused to pow er air blow ers, since 1996 D EN SOhas w orked to im provefacilities and heighten em ployeescost-consciousness under the them eof air conservation. Specifically, theC om pany 1) created and establishedequipm ent at each production line thatenables em ployees to easily regulatethe am ount of air used, 2) enhancesair-blow er efficiency by em ploying anenergy-saving air nozzle, 3) created air index display panels that showairleaks and are used for em ployee train-ing on air conservation, and 4) m oni-tors the level of air usage in theTraining using a panel to explain air leakageEnergy-control equipment (Nishio Plant)ECO OPERATORPattern of energy consumption when using automated ECO OPERATOR energy-saving equipmentproduction process. Through theseactivities, D EN SOhas been able to increase air-blow er efficiency 8% .P ro d u c tio nA c tivitie s2 1Various w aste is generated fromtheC om panys production processes,including that of plastics, oils, andpaper. D EN SOhas im plem ented aprogramto reduce w aste at its pro-duction facilities to less than 50%ofthe 1990 level by 2000. Key to thisprogramis the realization of the 3RAction Plan. In fiscal 1998, the am ountof w aste produced w as 12,500 tons,w hich is approxim ately 59%of the1990 level. Red uc ingComp anywid eWasteReducing the Use of Disposable CartonsThe replacem ent of disposable cartonsw ith returnable packaging for exportedproducts enabled D EN SOto reducethe am ount of cartons used from28,000 tons in 1990 to 12,500 tons in 1998.Waste Disposal Charging System To drawattention to w aste levels andintensify em ployeesefforts to reducew aste, in O ctober 1997 D EN SOiniti-ated a w aste disposal charging systemw hereby the C om pany charges eachproduction departm ent w aste-disposalcosts according to the volum e ofw aste generated.Amount of Industrial Waste Generated Type of Waste and Processing Method (FY 98)Waste collection truck with automatic scaleIncineration 8,000 tonsDirect landfill 4,500 tons051 01 52 02 59 0 9 1 9 2 9 3 9 4 9 5 9 6 9 7 9 8 1 , 0 0 0to n s)U sere tu rn a b lep a c k a g in ga n dc o n ta in e rs re e ls fo r e le c -tro n icc o m p o n e n ts,sh o c kin su la tio n ,e tc . )I m p ro vep ro d u c tio np ro c e sse s a n dm a te ria ls u se d re d u c eso lidwa ste s,e x te n dth eu sa b lelifeo f p ro c e ssin go ils,e tc . )I n te rn a lly re c yc lem e ta l a n dp la stic ,p ro c e ss sc ra pa n dre je c ts,a n dre c yc leslu d g e ,o il,a n dp a p e r th ro u g he x te rn a lse rvic ep ro vid e rsR educ eRecycl eSludge10%Waste oils 26%Paper andwood scraps15%Waste plastics 30%Waste acidsand alka-lines 9%Metal prod-ucts 3% Other 7%R eus eFiscal YearThe 3R Action Plan12,500 tons2 2Water Quality ManagementProduction processes that causew ater pollution include therm al pro-cessing, plating, and m achining thatgenerates process effluent. Sew agefromcafeterias and sanitary facilitiesis another source of pollution. Thiseffluent is processed and released intorivers only after m eeting w ater qualitystandards determ ined by D EN SO svoluntary guidelines defined in consul-tation w ith local com m unities, w hichare stricter than those m andated bylaw . In addition, to prevent effluent Red uc ingtheEnvironmentalImp ac tGenerated b yProd uc tionProc essesDischarge Management SystemW ater that has been purified inD EN SO s effluent processing facilitiesis tem porarily stored in discharge control tanks, checked for its w aterquality, and discharged. The tanksfunctions are interdependent to allowsuccessive changeovers and continu-ous processing. In the case of unsatis-factory w ater quality, the w ater isreturned to the effluent processingfacilities for additional processing. Rainwater Management SystemR ain that falls on D EN SOgrounds hasits oil content rem oved in a w ater-oilseparation tank, w hich is under con-stant surveillance by w ater quality sen-sors. W hen even a sm all am ount ofdeterioration in w ater quality is detect-ed, the rainw ater is passed autom ati-cally through the C om panys effluentprocessing system s and purifiedbefore being released. Fluorine Chromium Acid/AlkalineOilSewageRainwaterConcentrate and float under pressureOil-water separation (water-quality sensor)To processing stagesActivated sludgeConcentrate andprecipitateConcentrate andprecipitateConcentrate andprecipitatepH adjustmentRainwater management tankDischarge management tankCatalytic oxidationConcentrate andprecipitateFiltration DischargeFiltrationAbsorption with activated charcoalM a n h o leR a in fa ll I f sa tisfa c to ry,d isc h a rg e dtorive rI f u n sa tisfa c to ry,p u m p e dtora in wa te r m a n a g e m e n t ta n kWa te r-q u a lity se n so r p H ,c lo u d in e ss,U V,e tc . )Wa te r-o il se p a ra tio nta n kPumpRainwater Management SystemRecycleDischarge Management SystemDischarge management tankFirst passN o .1T a n kI n flo w o f e fflu e n tN o .2T a n kWa te r-q u a lityc h e c kN o .3T a n kD isc h a rg eNo. 1 Tank No. 2 Tank No. 3 TankFirst pass A B CSecond pass B C AThird pass C A BNth pass A B CA: Inflow of effluent B: Water-quality checkC: Dischargethat does not m eet these standardsfrombeing released into rivers, allbusiness units are equipped w ithD EN SO s proprietary D ischargeM anagem ent System . The R ainw aterM anagem ent Systemis also installedat the discharge point for rainw ater. Water Quality Management System.........P ro d u c tio nA c tivitie s2 3Air-Quality ManagementB oilers and m elting furnaces em it N Ox(nitrogen oxide), SOx(sulfur oxide),and particulate m atter (PM ), w hichpollute the air. To clean these gasesbefore they are em itted, D EN SOClosed-loop system for effluentSOx emissionsinstalls dust collectors and uses high-quality fuels. In particular, the C om panyhas reduced SOxem issions by replac-ing heavy oil w ith city gas and usinglow -sulfur fuels. 01 02 03 04 05 06 09 8 9 7 9 6 9 5 9 0 8 5 1 0 0 0 N m3)G R eduction in the U se of H azardous SubstancesD EN SOintroduced a prior evaluationsystemto determ ine the im pact ofequipm ent, rawm aterials, and sem ifin-ished products that m ay contain haz-ardous chem icals before using them .In fiscal 1998, the C om pany im ple-m ented prior evaluations on approxi-m ately 600 chem ical com pounds and3,000 pieces of equipm ent. In particu-lar, the C om pany evaluates theam ount of chem ical com pounds thatare contained in sem ifinished productsand used during production processesand at discharging points to conformw ith Pollutant R elease and TransferR egister (PR TR ) guidelines. The resultsof these evaluations are used to devisew ays for reducing the use of hazard-ous substances, facilitating appropri-ate handling, and ultim ately concentration of am m onia w ater in sem iconductor w afer-cleaningprocesses. In addition, certain busi-ness groups installed effluent process-ing facilities to rem ove nitrogen andphosphorus to low er the im pact oftheir processes on the environm ent.G C onform ity w ith R egulationsforFurnacesD EN SOoperates furnaces to reducethe volum e of sludge that is generatedduring effluent processing. SludgeFiscal Yearfromeffluent processing containsalm ost no chlorine, w hich is a cause ofdioxin em issions. In addition, m aintain-ing furnace operations at m ore than800Cprevents dioxin em issions. TheC om pany is already in com pliance w ithem issions standards (10ng-TEQ /N m3)for furnaces w ith processing capacitiesof 200 kilogram s to 2 tons per hourthat w ill com e into effect fromD ecem ber 2002. B u sin e ss G ro u pRecycle and reuse (external)Through the recovery of hazardous substances (closed-loop), discharge into rivers was eliminated and the risk ofpollution avoided.F in ish in ge q u ip m e n tR e c o ve ry o f h a za rd o u ssu b sta n c e s io n -e x c h a n g ere sin s)Effluent processorD isc h a rg ein torive rs a b o lish e d )G R eduction of C yanide andC hrom iumLevels in EffluentB usiness groups that are engaged inthe plating of finishing processes usecyanide and chrom ium . D EN SOpurifies the effluent created by theseprocesses w ith effluent cleaning facilities. M oreover, the C om pany isdoing its utm ost to prevent pollution by using finishing m ethods that do notuse cyanide or chrom iumand estab-lishing a closed-loop systemforchrom iumeffluent in undercoat painting processes. G R eduction of N itrogen andPhosphorous Levels in EffluentD EN SO s approach to preventing theovernitrification of rivers and closedareas of w ater (Ise B ay, M ikaw a B ay,and others) includes reducing the useof chem icals containing nitrogen andphosphorus and using alternatives.Solving the problemof excess nitrogenis one of the C om panys top priorities.D EN SOis sw itching fromnitric acid tosulphuric acid in cleaning processesfor alum inumparts and reducing the preventing deterioration in air, w ater,and soil quality. 2 4Red uc ingtheUseofOzone- Dep letingSub stanc esCompletely Eliminating the Use ofCFCs for CleaningIn the past, D EN SOhad used C FC -113 and 1,1,1-trichloroethane ascleaning agents in its m anufacturingofelectronic com ponents and pro-cessing of m achine parts. In 1987,the C om pany established the TaskForce for R esponding to C FCR egulations, in advance of inter-national m easures to protect theozone layer (Montreal Protocol), toprom ote efforts to com pletely elim i-nate the use of these substances inD EN SO s production processes. The C om pany developed deactivatedflux* and a low -pollutant w ater-solublecleaning agent** for m achining pro-cesses and thus elim inated the use ofC FC -113 and 1,1,1-trichloroethane inD ecem ber 1994 and August 1995,respectively. Furtherm ore, H C FC -225 had beenused as a cleaning agent for autom o-tive ICparts, but D EN SOis w orking to elim inate the use of this substanceby the end of fiscal 1999, w hich is inadvance of guidelines establishedunder the Montreal Protocol. *D eactivated flux: This substance w as developedin conjunction w ith autom obile m anufacturers as aflux to be used in solder pastes used for autom o-tive electronic com ponents. B y converting haloge-nion in the activated agent into a covalentsubstance through a deactivation reaction, a highlevel of reliability is secured, including high insula-tion resistance even w ithout cleaning. ** Low -pollutant w ater-soluble cleaning agents:This cleaning agent w as developed in conjunctionw ith a cleaning-agent m aker as an alternative toconventional m ethods that clean alum inumbraz-ing parts. The cleaning agent offers lowC O D , isphosphate-free, and contains an oil-separatingagent. In com parison w ith conventional alkalicleaning agents, it significantly reduces the bur-den of processing w aste liquids after use. Major Controlled Substances and Regulations under the Montreal ProtocolAnnex AAnnex BAnnex CG ro u p S u b sta n c e R e g u la tio n sCFC-11CFC-12CFC-113CFC-114CFC-115Halon-1211Halon-1301Halon-2402G ro u p S u b sta n c e R e g u la tio n sCFC-13CFC-111CFC-112CFC-211CFC-212CFC-213Carbon tetrachloride1,1,1-TrichloroethaneG ro u p S u b sta n c e R e g u la tio n sHCFC-21HCFC-22HCFC-31HCFC-121HCFC-122HCFC-123HCFC-124HCFC-131HCFC-132HCFC-133HCFC-141HCFC-142HCFC-151HCFC-221HCFC-222HCFC-223HCFC-224HCFC-225HCFC-226Completely eliminated beginning 1994Completely eliminated beginning 1996Completely eliminated beginning 1996Completely eliminated beginning 2020......P ro d u c tio nA c tivitie s2 5Support of External PartiesD EN SOprocures a large num ber ofparts fromexternal suppliers. TheC om panys engineers cooperated w ithsuppliers in im proving their cleaningprocesses and w orked proactivelytow ard the com plete elim ination ofC FC -113 and 1,1,1-trichloroethaneuse. As a result, these substanceshave not been used in the w orldw ideD EN SOG roup since the end of 1995. D EN SOis also supporting the activitiesof the Japan Industrial C onference forO zone Layer Protection (JIC O P). As arepresentative of the Japan Autom otiveC om ponents Industrial Association,D EN SOplays an active role in suchactivities as creating m anuals on thetopic of the reduction and elim inationof ozone-depleting substances andspeaking at related sem inars.05 0 01 , 0 0 01 , 5 0 02 , 0 0 08 60 08 7 8 8 8 9 9 0 9 1 9 2 9 3 9 4 9 5 9 6L e g a lly re q u ire dle ve lL e g a lly re q u ire dle ve l05 0 01 , 0 0 01 , 5 0 02 , 0 0 02 , 5 0 03 , 0 0 03 , 5 0 04 , 0 0 08 608 7 8 8 8 9 9 0 9 1 9 2 9 3 9 4 9 5 9 605 01 0 01 5 02 0 02 0 2 0 * 2 0 0 0 * 1 9 9 9 1 9 9 8 1 9 9 7 1 9 9 6 1 9 9 5L e g a lly re q u ire dle ve l0Volume of CFC-113 UsageVolume of 1,1,1-Trichloroethane UsageVolume of HCFC-225 Usage*Usage amounts after 1999 are estimatesD E N S O s ta rg e tYearYearYear2 6D EN SOorganized com m ittees w ith its affiliates and other com panies w orking on D EN SOprem ises to enhance the level of environm ental m anagem ent am ong all com paniesthrough research, audits, inform ation sharing, and events.TeamworkwithDomestic AffiliatesEnvironmentalProtec tionAc tivities ofSub sid iariesand AffiliatesCommittees Overview Main EventsDENSO Group Comprising DENSO Group companies, the Safety and Environment Conference Safety and EnvironmentConference is designed to promote swift and(April)Conference complete information disclosure, prevent 22 member companies environmental problems in local communities, and make a contribution to both society and the environment.DENSO CooperativeComprising suppliers to DENSO, the Committees Peer Audits (November and December)Association Committee for the mission is to enhance the levels of safety, health, Seminars and Training Promotion of Safety, Health, and environmental management in member(April, June, and October)and Environmental Management companies. In particular, peer audits are conductedExecutive Training (July)70 member companies every year regarding management systems and pollution prevention activities to improve members systems in these areas.DENSO Premises Safety,Comprising affiliates engaged in the construction,Safety, Health, and Environmental Health, and Environmentrenovation, and moving of facilities and equipmentConference (July)Association on DENSO premises, the Association has 11Executive Training (December)210 member companies divisions and one section and strives to preventPatrols (as needed)damage and pollution on DENSO premises through educational programs, patrols, and meetings. 2 7C O2, H2OH e a t e x c h a n g e r p re h e a tin g ):E ffe c tF a n B u rn in g )O x id izin gc a ta lyst B u rn e rA n ti-VO C *M e a su re s c o n ve rsio ntob e n ig nsu b sta n c e s th ro u g hc a ta lyst b u rn in g )VO CE q u ip m e n tC O2VO CH2OH ig h ly e ffic ie n t n e u tra liza tio no f VO CE n e rg y c o n se rva tio nE n e rg y c o n se rva tio n*Volatile Organic CompoundsAs part of D EN SO s global approach, m aintaining andim proving environm ental m anagem ent system s is indispens-able to establishing businesses in overseas subsidiaries. Tothis end, D EN SOis not only operating in com pliance w ithlocal regulations but is proactively supporting the establish-m ent of top-level m anagem ent system s.EnvironmentalManagementofDENSOsOverseasNetworkOverview of Major ActivitiesEnvironment-Related Awards and Prizes Received (as of D ecem ber 31, 1998)DENSO MANUFACTURING TENNESSEEs Solution ActivitiesDate Company (location) Award Awarding Organization1.94 DENSO MARSTON LTD. (UNITED KINGDOM) Environment Protection Excellent Company Award3.94 DENSO MANUFACTURING TENNESSEE, INC. (UNITED STATES) 1994 Environmental Pretreatment Excellence Award U.S. Water Quality Authority10.95 DENSO MANUFACTURING AUSTRALIA PTY. LTD. (AUSTRALIA) 1995 Excellence and Innovation Award State of Victoria11.95 AUSTRALIAN AUTOMOTIVE AIR PTY. LTD. (AUSTRALIA) Environment Protection Excellent Company Award State of Victoria11.95 DENSO MANUFACTURING UK LTD. (UNITED KINGDOM) 1995 British Environmental Management SystemBritish Industrial Organization2.97 AMERICAN INDUSTRIAL MANUFACTURING SERVICES, INC. California Water Environment Association Award(UNITED STATES) State of California7.98 AUSTRALIAN AUTOMOTIVE AIR PTY. LTD. (AUSTRALIA) EPACleaner Production Award State of Victoria12.98 DENSO MANUFACTURING MICHIGAN, INC. (UNITED STATES) C3 Clean Corporate Citizen Award State of MichiganMajor Activities 1991 1992 1993 1994 1995 1996 1997 1998Audits of safety, health, and environmental Asia Australia North America/Asia Europe/North America Australia/Asia Europe/North Americaissues by Companywide environmental preservation managersDiffusion of DENSO Safety Standards (DSS) Formulation Publication Implementation and Enhancement (100 Standards)Activities to reduce the use of hazardous substances Complete elimination of specific CFCs Complete elimination of chlorine solventsEstablishment of environmental management system and acquisition of ISO 14001 certification Planning PromotionTraining in Japan for overseas environmental staff ImplementationOrganization for Protection of the Natural EnvironmentAssociation for theProtection of Water QualityE n viro n m e n ta l P ro te c tio nA c tivitie s o f S u b sid ia rie s a n dA ffilia te s2 8Soc ialContrib utionR ecognizing that protecting the globalenvironm ent is a shared responsibilityfor all hum ankind, D EN SOis support-ing various organizations involved inenvironm ental activities and encourag-ing its em ployees to contribute to envi-ronm ental protection through voluntaryconservation and recycling. GProtection of H eigen G enjibotaru no Sato Since 1995, theN ishio Plant has beenhelping to protectG enji fireflies, w hichare rare throughoutJapan. D uring fiscal1998, D EN SOvolun-teers cut grass in areas inhabited by fireflies and helpeddirect car parking for observers of the fireflies in April,June, O ctober, and D ecem ber. Examples of DENSOs Social Contribution ActivitiesGPlanting Trees at W ild Life ParkIn 1990, D EN SOM arston offered adjacent land for establishingW ild Life Park, a public park. Local schoolchildren planted 400trees there that today are m ature and flourishing. Each year, peo-ple fromthe C om pany and the local com m unity are involved inthe cleanup of the riverbank in the W ild Life Park area.GProtection of Irises in Kozutsum i-N ishi PondThe w ild rabbit-eared irises in Kozutsum i-N ishi Pond innorthern Kariya have been nam ed a national treasure, andthe Association to Protect the R abbit-Eared Irises is w ork-ing to protect them . D EN SOhas been supporting theassociations activities since 1996 w hen the C om panylearned of the shortage of volunteers in the association.D uring fiscal 1998, m any D EN SOvolunteers participated in grass cutting and the cleanup of bam boo thickets in theprotected area inApril, August, andD ecem ber. Type of ActivitySupport of Environmental OrganizationsRegional Environmental ProtectionRecyclingFundamental ConceptTo protect the environment indeveloping countries, DENSOsupports NGOs that are activeon a global scale. To protect the natural environ-ment on earth, DENSO isworking to conserve the eco-logy surrounding its businessoperations.To realize a recycling society,DENSO is approaching environ-mental protection from fieldsclose to its everyday activities. ActivitiesSupports OISCA and theKeidanren (Japan Federationof Economic Organizations)environmental protection fundNotable activities include the conser-vation of Heigen Genjibotaru no Satoin Nishio, the protection of wild rabbit-eared irises in the Kozutsumi-NishiPond in Kariya, cleanup activities atthe Hieda River in Anjo, and zero-waste activities.Sponsors flea markets, collectsclothing for donation to theneedy, etc.2 9MainSitesand AffiliatesDomestic Plants, Branc hes, SalesOffic es, and OthersSubsidiaries and Affiliates in J apan (66 total) Asmo Co., Ltd.; Anden Co., Ltd.; Hamanako DENSO Co., Ltd.; Daishinseiki Co., Ltd.; Kyosandenki Co., Ltd.; GAC Co., Ltd.; et al.Overseas Subsidiaries and Affiliates (73 total)Production Companies (55 companies)North America: DENSO Manufacturing Michigan, Inc.; DENSO Manufacturing Tennessee, Inc.; et al.South America: DENSO do Brazil Ltda.; et al.Europe: DENSO Manufacturing UK Ltd.; DENSO Barcelona S.A.; et al.Asia and Oceania: DENSO Manufacturing Australia Pty. Ltd.; DENSO (Thailand) Co., Ltd.; et al.Regional Headquarters, Sales Companies, and Others (18 companies)DENSO International America, Inc.; DENSO International Europe B.V.; DENSO International Australia Pty. Ltd.; DENSO International Singapore Pte. Ltd.; et al. Site LocationHeadquarters 1-1, Showa-cho, Kariya, Aichi 448-8661 Tel: +81-566-25-5511 (reception)Tokyo Branch 2-15-13, Shoto, Shibuya-ku, Tokyo 150-0046 Tel: +81-3-5478-7711 (reception)Sapporo Branch 7-2-27, Nijyo Yamanote, Nishi-ku, Sapporo 063-0002 Tel: +81-11-614-3511 (reception)Sendai Branch 2-6-1, Nigatake, Miyagino-ku, Sendai 983-0036 Tel: +81-22-238-9911 (reception)Nagoya Branch 4-30, Hosyo-cho, Minami-ku, Nagoya 457-0828 Tel: +81-52-619-1777 (reception)Osaka Branch 1-7-19, Higashitenma, Kita-ku, Osaka 530-0044 Tel: +81-6-6355-2211 (reception)Hiroshima Branch 4-16, Higashihiratsuka-cho, Naka-ku, Hiroshima 730-0025 Tel: +81-82-242-5200 (reception)Fukuoka Branch 2-6-35, Sannou, Hakata-ku, Fukuoka 812-0015 Tel: +81-92-412-1177 (reception)1 4O th e rsSite Location Business Operation or Products Site Area Number of(1,000m2) Employees1-1, Showa-cho, Kariya, Aichi 448-8661 258 352 11,100Ikeda Plant 5-1 Ikeda-cho, Kariya, Aichi 448-0044 Radiators and oil coolers 103 84 800Anjo Plant 2-1, Nagane, Sato-cho, Anjo, Aichi 466-8511 Starters and alternators 407 239 2,900Nishio Plant 1, Sumisaki, Shimohasumi-cho, Nishio,Air conditioners and heaters, radiators, radiator fans, fuel-injection1,267 566 8,300Aichi 445-8502 pumps, and electronic fuel-injection componentsTakatana Plant 1, Shinmichi, Takatana-cho, Anjo, Aichi 446-8507 Meters, oil filters, portable cellular phones 363 232 3,000Daian Plant 1530, Monzen, Daian-cho, Inabe-gun, Mie 511-0296 Ignition devices, safety-related equipment, oxygen741 319 4,200sensors, various other actuators, sensors, and hydraulic solenoidsKota Plant 5, Maruyama, Ashinoya, Kota-cho, Nukata-gun, Aichi 444-0193 Integrated circuits and electronic control components 283 217 3,700Toyohashi Plant 3-23, Akemi-cho, Toyohashi, Aichi 444-8074 Air-conditioner compressors, magnetic clutches, 174 141 1,300and car-heater blowersAgui Plant 1, Yoshiike, Kusaki, Agui-cho, Chita-gun, Aichi 470-2298 Machinery, tools, and robots 283 66 1,100Kitakyushu Plant 5-4-1, Honjo Nishi-ku, Yahata, Kitakyushu, Fukuoka 807-0801 Air conditioners 156 22 200Zenmyo Plant 100 Ipponmatsu, Zenmyo-cho,Electronically controlled injection pumps (ECD-V4,32 77 300Nishio, Aichi 445-0034 ECD-U2P) and IC cardsHiroshima Plant 2-5-1, Kamisenominami, Aki-ku, Hiroshima 739-0302 Radiators and radiator fans 33 14 200Nukata Testing Center 1-2 Obou, Kiriyama, Nukata-cho, Nukata-gun, Aichi 444-3431 Performance of various evaluations of automotive components 1,004 30 37DENSO Research500-1, Minamiyama, Komenoki-cho, Nisshin, Aichi 470-0111 Basic research in semiconductors, information and communications 81 43 500Laboratories systems, and micromachining; development of display technologiesHeadquarters and Kariya PlantMonolithic carriers, integrated circuit wafers, and applied electronic productsBuilding FloorSpace(1,000m2)3 0Water Pollution DataEnvironmentalDatab yPlantPlantSubstance*1ControlActual Measurement*3Value*2Maximum Minimum AveragepH 5.8-8.6 7.6 6.3 6.9BOD (mg/l) 12.5 11.3 1.2 4.8COD (mg/l) 15 10.3 2.1 5.8SS (mg/l) 15 14.9 N.D. 1.1Oil (mg/l) 2.5 N.D. N.D. N.D.Phenol (mg/l) 1 0.10 0.01 0.01Copper (mg/l) 0.5 0.05 N.D. 0.02Headquarters Zinc (mg/l) 2.5 1.08 0.01 0.10andSoluble iron (mg/l) 2.5 0.1 N.D. 0.1Kariya Plant Solublemanganese(mg/l) 2.5 N.D. N.D. N.D.Chromium (mg/l) 1 0.01 N.D. 0.01Fluorine (mg/l) 7.5 3.0 0.4 1.0Colon bacillus (#/cm3) 1500 679 0 46Total nitrogen (mg/l) 60 14.4 5.9 10.1Total phosphorus (mg/l) 8 3.10 0.58 1.09Cyanide (mg/l) 0.2 N.D. N.D. N.D.Hexavalent chromium(mg/l) 0.1 N.D. N.D. N.D.pH 5.8-8.6 7.7 6.7 7.2BOD (mg/l) 12.5 10.7 0.7 2.3COD (mg/l) 15 4.3 1.8 2.9SS (mg/l) 15 3.9 N.D. 1.1Oil (mg/l) 2.5 N.D. N.D. N.D.Phenol (mg/l) 1 0.02 N.D. 0.01Copper (mg/l) 0.5 0.04 0.01 0.02Ikeda Zinc (mg/l) 2.5 0.43 N.D. 0.13Plant Soluble iron (mg/l) 2.5 0.1 N.D. 0.1Solublemanganese(mg/l) 2.5 0.1 N.D. 0.1Chromium (mg/l) 1 N.D. N.D. N.D.Fluorine (mg/l) 7.5 1.0 0.1 0.6Colon bacillus (#/cm3) 1500 83 0 2Total nitrogen (mg/l) 60 8.8 0.9 3.1Total phosphorus (mg/l) 8 1.11 N.D. 0.05pH 6.0-8.5 7.8 6.3 6.7BOD (mg/l) 12.5 3.7 0.6 1.8COD (mg/l) 15 14.3 0.8 8.2SS (mg/l) 15 1.4 N.D. 1.0Oil (mg/l) 2.5 1.0 N.D. 1.0Phenol (mg/l) 1 0.01 N.D. 0.01Copper (mg/l) 0.5 0.20 N.D. 0.06Anjo PlantZinc (mg/l) 2.5 0.80 0.14 0.48(Anjo Number 1)Soluble iron (mg/l) 2.5 0.1 N.D. 0.1Solublemanganese(mg/l) 2.5 0.1 N.D. 0.1Chromium (mg/l) 1 N.D. N.D. N.D.Fluorine (mg/l) 7.5 0.2 N.D. 0.1Colon bacillus (#/cm3) 300 8 0 2Total nitrogen (mg/l) 60 9.2 4.2 7.3Total phosphorus (mg/l) 8 0.10 N.D. 0.02Cyanide (mg/l) 0.2 N.D. N.D. N.D.Hexavalent chromium(mg/l) 0.1 N.D. N.D. N.D.pH 6.0-8.5 7.7 6.5 7.1BOD (mg/l) 10 4.9 0.5 2.1COD (mg/l) 10 7.5 2.5 4.8Anjo PlantSS (mg/l) 10 2.0 N.D. 1.0(Anjo Number 2)Oil (mg/l) 2 1.0 N.D. 1.0Phenol (mg/l) 0.2 0.01 N.D. 0.01Copper (mg/l) 0.2 0.07 N.D. 0.01Zinc (mg/l) 2 0.61 0.02 0.26Soluble iron (mg/l) 2 0.4 N.D. 0.1Solublemanganese(mg/l) 2 N.D. N.D. N.D.Anjo PlantChromium (mg/l) 0.2 N.D. N.D. N.D.(Anjo Number 2)Fluorine (mg/l) 2 0.2 N.D. 0.1(cont.) Colon bacillus (#/cm3) 300 8 0 3Total nitrogen (mg/l) 60 13.1 6.6 8.5Total phosphorus (mg/l) 8 1.01 0.01 0.39pH 5.8-8.3 7.5 5.8 6.7BOD (mg/l) 10 1.8 0.1 0.5COD (mg/l) 10 9.6 1.7 4.7SS (mg/l) 10 5.7 0.1 0.9Oil (mg/l) 2 N.D. N.D. N.D.Phenol (mg/l) 0.5 0.02 N.D. 0.01Copper (mg/l) 0.5 0.03 N.D. 0.02Nishio PlantZinc (mg/l) 1 0.41 0.02 0.15Soluble iron (mg/l) 3 0.2 N.D. 0.04Solublemanganese(mg/l) 3 0.3 N.D. 0.1Chromium (mg/l) 0.1 N.D. N.D. N.D.Fluorine (mg/l) 3 2.2 0.1 0.4Colon bacillus (#/cm3) 300 286 0 9Total nitrogen (mg/l) 60 23.5 5.1 12.2Total phosphorus (mg/l) 8 1.05 N.D. 0.32Hexavalent chromium(mg/l) 0.05 N.D. N.D. N.D.pH 6.5-8.5 7.8 6.7 7.4BOD (mg/l) 10 4.5 0.9 2.6COD (mg/l) 10 9 1.9 4.7SS (mg/l) 10 4.7 N.D. 2.0Oil (mg/l) 2 N.D. N.D. N.D.Phenol (mg/l) 0.2 0.02 N.D. 0.01Copper (mg/l) 0.2 0.05 N.D. 0.02TakatanaZinc (mg/l) 2 0.47 0.11 0.25PlantSoluble iron (mg/l) 2 0.4 N.D. 0.1Solublemanganese(mg/l) 2 0.2 N.D. 0.1Chromium (mg/l) 0.2 0.01 N.D. 0.01Fluorine (mg/l) 2 0.2 0.1 0.1Colon bacillus (#/cm3) 300 232 0 20Total nitrogen (mg/l) 60 10.8 1.9 6.1Total phosphorus (mg/l) 8 1.23 N.D. 0.35Hexavalent chromium(mg/l) 0.05 N.D. N.D. N.D.pH 5.8-8.6 7.7 6.2 6.9BOD (mg/l) 10 5.8 N.D. 1.2COD (mg/l) 15 9.5 0.6 5.1SS (mg/l) 10 3.6 N.D. 1.6Oil (mg/l) 2 1.9 N.D. 1.0Phenol (mg/l) 0.2 0.03 N.D. 0.01Copper (mg/l) 0.2 0.04 N.D. 0.01DaianZinc (mg/l) 2 0.30 N.D. 0.05Plant Soluble iron (mg/l) 2 0.3 N.D. 0.1Solublemanganese(mg/l) 2 0.4 N.D. 0.1Chromium (mg/l) 0.4 0.02 N.D. 0.01Fluorine (mg/l) 3 2.6 N.D. 1.2Colon bacillus (#/cm3) 300 29 0 1Total nitrogen (mg/l) 60 14.3 9.4 12.1Total phosphorus (mg/l) 8 0.26 0.01 0.09pH 5.8-8.3 7.9 6.3 7.1Kota Plant BOD (mg/l) 10 6.0 N.D. 2.0COD (mg/l) 10 10.0 1.0 3.8Environm ental data is provided for the m ajor controlledsubstances at each operating facility. (There are slightdifferences am ong item s due to variations in m aterialsused in production processes at different facilities.)PlantSubstance*1ControlActual Measurement*3Value*2Maximum Minimum AverageE n viro n m e n ta l D a tab y P la n t3 1*1 pH: Hydrogen ion concentrationBOD: Biochemical oxygen demandCOD: Chemical oxygen demandSS: Suspended solids*2 Control parameters are established by DENSO and are more stringent than those mandated by law. *3 N.D.: Not detected (below detection limit)SS (mg/l) 10 2.1 N.D. 1.1Oil (mg/l) 1 N.D. N.D. N.D.Phenol (mg/l) 0.25 0.06 N.D. 0.01Copper (mg/l) 0.5 0.01 N.D. 0.01Zinc (mg/l) 1 0.38 0.01 0.09Kota Plant Soluble iron (mg/l) 2.5 0.1 N.D. 0.1(cont.)Soluble manganese (mg/l) 2.5 0.1 N.D. 0.1Chromium (mg/l) 0.1 N.D. N.D. N.D.Fluorine (mg/l) 5 4.4 0.8 2.5Colon bacillus (#/cm3) 300 21 0 2Total nitrogen (mg/l) 60 45.6 17.7 28.9Total phosphorus (mg/l) 8 0.04 N.D. 0.02pH 6.0-8.5 7.9 6.5 7.5BOD (mg/l) 10 5.2 0.1 0.5COD (mg/l) 10 9.5 3.4 5.6SS (mg/l) 10 1.5 0.1 0.2Oil (mg/l) 1 N.D. N.D. N.D.Phenol (mg/l) 0.25 0.01 N.D. 0.01Copper (mg/l) 0.5 0.01 N.D. 0.01Toyohashi Zinc (mg/l) 2.5 1.57 0.02 0.27Plant Soluble iron (mg/l) 2.5 0.2 N.D. 0.1Soluble manganese (mg/l) 2.5 0.1 N.D. 0.03Chromium (mg/l) 1 N.D. N.D. N.D.Fluorine (mg/l) 7 4.9 0.3 1.3Colon bacillus (#/cm3) 1500 77 0 8Total nitrogen (mg/l) 60 13.4 7.2 9.6Total phosphorus (mg/l) 8 0.89 N.D. 0.26pH 5.8-8.6 8.0 6.4 7.2BOD (mg/l) 12.5 6.0 N.D. 1.8COD (mg/l) 15 9.4 1.5 3.9Oil (mg/l) 15 4.0 N.D. 1.1Oil (mg/l) 1 N.D. N.D. N.D.Phenol (mg/l) 0.5 0.02 N.D. 0.01Copper (mg/l) 0.5 0.01 N.D. 0.01Agui Plant Zinc (mg/l) 2.5 0.16 0.02 0.32Soluble iron (mg/l) 2.5 0.1 N.D. 0.1Soluble manganese (mg/l) 2.5 0.3 N.D. 0.1Chromium (mg/l) 1 N.D. N.D. N.D.Fluorine (mg/l) 7.5 0.4 N.D. 0.2Colon bacillus (#/cm3) 1500 18 0 3Total nitrogen (mg/l) 60 43.2 12.6 22.5Hexavalent chromium (mg/l) 8 0.72 0.21 0.38pH 5.8-8.6 8.5 6.9 7.9BOD (mg/l) 70 6.4 0.9 3.4COD (mg/l) 70 11.0 1.5 4.2Kitakyushu SS (mg/l) 20 12.0 N.D. 3.6Plant Oil (mg/l) 5 N.D. N.D. N.D.Zinc (mg/l) 5 0.42 0.02 0.16Soluble iron (mg/l) 10 0.1 0.01 0.1pH 5.8-8.3 8.2 6.7 7.3BOD (mg/l) 10 1.3 0.1 0.4COD (mg/l) 10 7.6 0.8 3.3SS (mg/l) 10 3.8 0.1 0.7Oil (mg/l) 1 N.D. N.D. N.D.Zenmyo Phenol (mg/l) 0.25 N.D. N.D. N.D.Plant Copper (mg/l) 0.5 N.D. N.D. N.D.Zinc (mg/l) 1 0.53 N.D. 0.23Soluble iron (mg/l) 2.5 0.1 N.D. 0.02Solublemanganese(mg/l) 2.5 0.1 N.D. 0.02Zenmyo Chromium (mg/l) 0.1 N.D. N.D. N.D.Plant Fluorine (mg/l) 7.5 0.3 0.1 0.1(cont.)Colon bacillus (#/cm3) 300 0 0 0Total nitrogen (mg/l) 10 7.5 2.0 4.2Total phosphorus (mg/l) 1 0.13 N.D. 0.02pH 5.8-8.6 8.2 6.6 7.3BOD (mg/l) 15 6.0 1.5 3.0COD (mg/l) 15 8.4 1.1 2.8SS (mg/l) 15 6.6 1.0 2.2Oil (mg/l) 2.5 1.4 N.D. 1.0Phenol (mg/l) 1 N.D. N.D. N.D.Copper (mg/l) 1 N.D. N.D. N.D.HiroshimaZinc (mg/l) 2.5 0.1 N.D. 0.1Plant Soluble iron (mg/l) 2.5 N.D. N.D. N.D.Solublemanganese(mg/l) 2.5 N.D. N.D. N.D.Chromium (mg/l) 1 N.D. N.D. N.D.Chromium (mg/l) 7.5 N.D. N.D. N.D.Colon bacillus (#/cm3) 1500 150 0 20Total nitrogen (mg/l) 60 4.1 1.8 2.8Total phosphorus (mg/l) 8 0.40 0.10 0.20pH 6.5-8.5 7.7 6.6 7.1BOD (mg/l) 12.5 5.2 N.D. 1.4Nukata COD (mg/l) 20 7.5 1.2 3.1TestingSS (mg/l) 20 14.1 N.D. 4.1Center Total nitrogen (mg/l) 100 77 0 16Total nitrogen (mg/l) 1 0.6 0.3 0.4Total phosphorus (mg/l) 8 0.06 N.D. 0.01pH 5.8-8.6 8.3 6.5 7.1BOD (mg/l) 12.5 8.2 0.7 2.5COD (mg/l) 15 6.0 0.4 1.9SS (mg/l) 15 2.0 N.D. 1.0Oil (mg/l) 1 N.D. N.D. N.D.Phenol (mg/l) 0.5 0.03 N.D. 0.01DENSO Copper (mg/l) 0.5 0.01 N.D. 0.01ResearchZinc (mg/l) 2.5 0.08 N.D. 0.02Laboratories Soluble iron (mg/l) 2.5 0.1 N.D. 0.1Solublemanganese(mg/l) 2.5 N.D. N.D. N.D.Chromium (mg/l) 1 N.D. N.D. N.D.Fluorine (mg/l) 7.5 5.6 0.9 2.3Colon bacillus (#/cm3) 1500 103 0 8Total nitrogen (mg/l) 60 16.3 0.1 7.3Total phosphorus (mg/l) 8 0.24 N.D. 0.04PlantSubstance*1ControlActual Measurement*3Value*2Maximum Minimum AveragePlantSubstance*1ControlActual Measurement*3Value*2Maximum Minimum Average3 2Air Pollution Data*1NOx: Nitrogen oxideSOx: Sulphur oxideK value: An index established by local ordinances forlimiting the volume of SOxemissions. K values arelow (more stringent) in regions in which there is con-cern over the possibility of a high concentration ofSOx. *2The actual measurements shown refer to maximum values with respect to the control values for each particular piece of target equipment. PlantEquipment Substance*1Control ValueActual Measurement(maximum) *2P.M. (g/Nm3) 0.1 0.08Headquarters Boiler NOx(ppm) 150 79and SOx(-) (K value) 1.75 0Kariya Plant P.M. (g/Nm3) 0.05 0.0005Gas turbine NOx(ppm) 50 19SOx(-) (K value) 1.75 0P.M. (g/Nm3) 0.1 0.056Boiler NOx(ppm) 150 75SOx(-) (K value) 1.75 0.09P.M. (g/Nm3) 0.2 0.01Ikeda Plant Oven NOx(ppm) 130 15SOx(-) (