Regional g Workshop p on E-waste / WEEE Management g

Canon Environmental Management Strategies - Inverse I M Manufacturing f t i 8th July y 2010 Y.Kuriyama C Canon IInc. Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Canon Now Canon Inc. ■ Established: August 10, 1937 ■ Capital: ¥174,762 million (As of Dec. 31, 2009) ■ Number of Employees p y ((As of Dec. 31, 2009)) Non-consolidated: 25,683 Consolidated: 168,879 (73,635 in Japan) ■ Net Sales (FY2009) , billion Non-consolidated: ¥2,026 (U.S.$21,731 million, €15,526 million)

Consolidated:

¥3,209 billion (U.S.$34,430 million, €24,560million)

Exchange Rates US$1 = JPY93.21 €1 = JPY130.46 Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Business Fields Office

• Copying machines • Laser printers p • Toner cartridges • Digital presses • Large-format inkjet printers etc.

Consumer

• Cameras • Lenses • Digital video camcorders • Inkjet printers • Broadcast equipment etc.

Industry and Others

• Semiconductor exposure systems p systems y • LCD exposure • Ophthalmic diagnostic equipment • Document scanners • Handy terminals etc.

51%

41%

11%

•Note: Sales ratios do not total 100% due to sales between segments ofth3% Copyright(C)2010 Canon INC. All rights reserved 8 July, 2010

Canon Global Network IIntegrated t t d operations ti for f Europe, Africa and the Middle East:

Canon Europe

Integrated operations for Japan and the Canon Group:

Integrated operations for Asia:

Integrated operations for North and South America:

Canon China

Canon U.S.A.

Canon Inc.

Integrated operations for Oceania:

Marketing 91 Manufacturing 4 R&D 3 Others 11

241 Consolidated Subsidiaries As of Dec Dec. 2009

C Canon A Australia li Marketing 9 Manufacturing 27 R&D 1 Others 30 Marketing 16 Manufacturing 21 R&D 3 Others 5

Marketing 11 Manufacturing 2 R&D 3 Others 4 Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Employees by Region Asia / Others

Europe

Americas

Japan

180 000 180,000

168 879 166 980 168,879 166,980

160,000 140 000 140,000 120,000 100 000 100,000

86,673

93,620

80,000 60 000 60,000 40,000 20 000 20,000

45.6％

13.4％ 14.4％ 26.6％

47.8％

11.7％ 13.8％ 26.7％

131,352 131 352 115,583118,499 108,257 102,567 97,802

43.4％

43.6％

42.0％

45.4％

10.4％ 12.2％ 32.0％

44.3％

9.9％ 11.0％ 34 8％ 34.8％

42.6％

9 5％ 9.5％ 10.0％

42.1％

8.6％ 9.4％

42.8％

6.7％

8.7％

8.2％

9.5％

9 4％ 9.4％

7.6％

42.3％ 37.9％

39.9％

39.0％

6.6％ 7.1％

42.7％

40.4％

0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Canon’s Sustainability Management Corporate Philosophy :Kyosei Living and working together for the common good

Excellent Global Corporation p Plan ((Phase III*)) Achieve the overwhelming No.1 position worldwide in all current core business, Expand business operations through diversification, Identify new business domains and accurate required technologies, Establish new production systems to sustain international competitiveness, nurture truly autonomous individuals and promote effective corporate reforms

Guiding Principle & Code of Conduct Three Selfs : Self-motivation to do every job right, Self-management and Self-awareness of working environment & responsibilities. Canon Corporate DNA: Respect for Humanity, Humanity Enterprising spirit and Emphasis on technology

Environmental Charter(Environmental Vision) Maximization of Resource Efficiency

*Phase III: 2006-2010

Aim to achieve sustainable development of the global environment, society & our group, based on our environmental conscious management while pursing rational business model that includes all three aspects of sustainability. Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Environmentally Conscious Management System

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Life-Cycle Thinking

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Canon’s Environmental Flow and Environment Burden (Life Cycle CO2 in 2008 )

47%

17%

12%

24% Total:6.5mil.t-CO2

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

History of Life Cycle CO2 Operational site activity Customer usage

Raw materials Logistics ●

Emissions per unit of net sales

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Three Pillars of Product Environmental Strategy Energy conservation Reduce Energy Used by Products

Maximization of Resource Efficiencyy for all stages of the product life cycle Resource conservation Downsizing and Recycling of products

Elimination of hazardous substances subs a ces Introduction of Alternative Technologies Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Inverse Manufacturing (IM) Concept Eco design Eco-design

IM Activity Repair

Design i for f Longevity i

Closed loop recycling within Canon Product reuse

Design for Reuse

Parts reuse Material recycling Chemical recycling

Design D i for f Ease E off disassembling

Open recycling

Thermal recycling

Design for recycling/ y of material Reduce type

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Canon’ss Product Recycle System Canon

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Copying Machine Recycling - Remanufacturing Remanufactured with Canon original quality standard. Collected products are disassembled, sorted reusable and replace parts those are wormed, d then h washing hi and d replacing, l i andd assemble bl with i h same quality li assurance as new products. Operationa Flow Insp pection

Collectiion

use 4-5 yr

washing

Customer

Main fram me

Disassemble

ユニット

W Washing

re-aassembling

Unit disassembling

Recycled unit

replace parts

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Copying Machine Recycling - Closed Loop Recycling -

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Toner Cartridge Collection and Recycling Canon 1990 1991 1992

Collection started in Asia

Collection started in EU nations, Canada, and Australia Collection started in USA, Germany, and Japan

Used Toner Cartridge Collected

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Toner Cartridge Recycling Flow

Copyright(C)2010 Canon INC. All rights reserved 8th July, 2010

Thank Th k you very much h for your attention attention. email: [email protected]