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1 Digest Edition (English) Coca-Cola Sustainabilit y Repor t 2016

2 Sustainability Report 2016 Company Profile 01 Company Profile Prologue Coca-Cola (Japan) Company, Limited was established in 1957 as the Japanese subsidiary of The Coca-Cola Company (headquarters: Atlanta, Georgia, United States), marking the beginning of full-fledged operations in Japan. Originally incorporated as Nihon Inryo Kogyo K.K., the company name changed to Coca-Cola (Japan) Company, Limited in 1958 and has been retained to this day. Growing Sustainably Together with Local Communities Nine core areas in three domains. The Coca-Cola system views sustainability as a prerequisite for business growth and the scope of our sustainability initiatives is broad, our activities diverse. However, there is a common element in all of them the community. Precisely because we are the Coca-Cola system, manufacturing and selling products throughout Japan, from Hokkaido to Okinawa, we seek to tackle issues alongside people in communities so that we may grow together with them in a sustainable manner. This printed report zeroes in on the lives of people tying in with three particularly important themes of our diverse sustainability activities. Through them we uncover the motivation behind individual activities and hopes for the future. Please enjoy the three stories herein as they contain the essence of the Coca-Cola system s sustainability approach. Profile of Coca-Cola (Japan) Co., Ltd. Name Established Coca-Cola (Japan) Company, Limited June 25, 1957, as Nihon Inryo Kogyo K.K. Changed name to Coca-Cola (Japan) Co., Ltd. on March 15, 1958 Head Office Shibuya, Shibuya-ku, Tokyo , Japan Tel: URL: The Coca-Cola System in Japan The Coca-Cola system in Japan includes Coca-Cola (Japan) Co., Ltd., which supplies concentrate and undertakes the planning, development, and marketing of products; six bottling partners that engage in such activities as product manufacturing and sales; and affiliates. Nationwide, the Coca-Cola system employs around 20,000 people and operates 22 plants (including the Moriyama Plant). Representative Tim Brett (Representative Director and President) Capital 3.6 billion yen Shareholder The Coca-Cola Export Corporation (Wholly-owned subsidiary of The Coca-Cola Company) Employees 496 (as of December 31, 2015) Plant Moriyama Plant (49, Amura-cho, Moriyama, Shiga Prefecture) Business Manufacture and sales of beverages Hokkaido Coca-Cola Bottling Co., Ltd. 2 Michinoku Coca-Cola Bottling Co., Ltd. 3 Coca-Cola East Japan Co., Ltd. 4 Hokuriku Coca-Cola Bottling Co., Ltd. 5 Coca-Cola West Co., Ltd. 6 Okinawa Coca-Cola Bottling Co., Ltd. Bottling Partners in Japan Index Hokkaido Coca-Cola Bottling Co., Ltd. Michinoku Coca-Cola Bottling Co., Ltd. Coca-Cola East Japan Co., Ltd. Hokuriku Coca-Cola Bottling Co., Ltd. Coca-Cola West Co., Ltd. Okinawa Coca-Cola Bottling Co., Ltd. p. 01 Company Profile Coca-Cola (Japan) Co., Ltd. Bottling Partners / Affiliates pp Commitment from Top Management A Good Neighbor of Our Consumers and the Local Community pp Sustainability Framework Sustainability Framework of the Coca-Cola System Planning R&D Concentrate manufacturing Production Distribution/ Transportation Sales Collection Recycling pp Sustainability Initiatives in Numbers pp pp me Enhancing Personal Well-Being we Contributing to Communities Coca-Cola Tokyo R&D Co., Ltd. Coca-Cola Integrated Business Systems Co., Ltd. Coca-Cola Customer Marketing Co., Ltd. FV Corporation K.K. pp pp world Achieving Environmental Sustainability Coca-Cola Sustainability Report 2016 Special Content Coca-Cola Business Sourcing Co., Ltd. pp Content 1 Moving the Body Is So Much Fun! pp Content 2 Supporting the Future of the Region and the Next Generation pp Content 3 Protecting Forests Protects Our Water and Our Future p. 26 Third-Party Opinion Sharing happiness with the world for 130 years Doing business in Japan for 59 years

3 Sustainability Report 2016 Commitment from Top Management 03 Commitment from Top Management A Good Neighbor of Our Consumers and the Local Community Tim Brett Representative Director and President, Coca-Cola (Japan) Co., Ltd. A company that fulfills its social responsibilities as a good neighbor within the local community this is another face of the Coca-Cola system. Representative Director and President of Coca-Cola Japan, Tim Brett, describes some of the activities the Coca-Cola system has been involved in to walk forward together with the local community, along with an explanation of the system s future vision. Before I begin, let me first express my heartfelt condolences on behalf of all employees within the Coca-Cola system to those who have been affected by the 2016 Kumamoto Earthquake in April Our thoughts are with everyone. The Coca-Cola system, including six bottling partners, has been playing an active role in relief efforts in areas affected by these earthquakes. Immediately after the earthquakes, Coca-Cola West began to offer products free of charge from the company s disaster-relief vending machines, and provided local governments within the affected prefectures of Kumamoto Prefecture and Oita Prefecture with products such as Mori-no-mizu Dayori (2L PET bottle) and I LOHAS (555ml PET bottle). To date, we have been able to provide approximately 600,000 bottles of such products. Although this is only a small gesture, I hope our products have helped to support the local community during this difficult time. Delivering Special, Refreshing Moments through Our Products The Coca-Cola system s business mission is to provide special and refreshing moments to consumers via our products. Coca-Cola, which was born in Atlanta in the United States 130 years ago, is currently produced and sold in over 200 countries across the globe. The Coca-Cola system s mission, however, has remained unchanged throughout the years and across these countries. In this 59th year of Coca-Cola business in the Japanese market, we will continue to share this mission with our bottling partners in Japan and provide consumers with sparkling beverages as well as other soft drinks from a variety of categories. Sustainable Corporate Growth Is Only Achievable with Vibrant Local Communities In its long-term growth strategy, 2020 Vision, The Coca-Cola Company (U.S. headquarters) not only states its aim to double the size of its global business by 2020, but also expresses its strong commitment to exert even more effort in the area of sustainability. The business activities of the Coca-Cola system is supported by each and every consumer who chooses one of our beverages and by the local community in which they live, leading to our belief that vibrant local communities are the key to sustainable growth. The Coca-Cola system divides its sustainability initiatives into three areas, which are all deeply connected with its business as a beverage manufacturer. These three areas are: me individuals (enhancing personal well-being); we community (contributing to communities); and world environment (achieving environmental sustainability). Please allow me to introduce some of the activities we are carrying out in these areas. Sustainability Initiative 1: Providing People with Opportunities to Be Involved in Healthy Physical Activity (me) One of the Coca-Cola system s aims is to help people build an active and healthy lifestyle. This is why we provide opportunities for people to participate in healthy physical activity in more than 200 countries. We are involved in a variety of sporting events, from those on a global scale, such as our 80-year partnership with the Olympic Games, to the smallest of local events deeply rooted within the local community. During this Olympic year, we are working with the International Olympic Committee to provide Olympic Moves. This initiative, driven by Coca-Cola as a long-term Olympic partner, aims to remind people of the joy associated with physical activity by providing them with occasions whereby anybody can easily enjoy sport. The opportunity to participate in five sports based on familiar Olympic sports is being provided to predominantly junior high school students across Japan. Sustainability Initiative 2: Continued Support for Communities Affected by the Great East Japan Earthquake (we) Since 2011, the Coca-Cola system has been actively involved in supporting reconstruction within Iwate Prefecture, Miyagi Prefecture, and Fukushima Prefecture via the Coca-Cola Japan Reconstruction Fund. One such activity has been the installation of solar power systems and storage batteries at a number of elementary and junior high schools throughout the area in the hope of both contributing to the environmental education of the children and in preparation for any future disasters. As of December 2015, 55 schools have benefited from this particular project. Sustainability Initiative 3: A Company That Supports the Empowerment of Women (we) We continue to support the empowerment of women. The Coca-Cola system s global commitment to enable the economic empowerment of 5 million women by 2020 by involving them in the Coca-Cola business is embodied in the 5by20 project. This project has been actively developed and deployed in Japan since 2014 and will continue this year as well. In Japan, 5by20 is offering programs that focus on female participation in the production of agricultural and dairy products used as ingredients in Coca-Cola products. We have held workshops covering The Coca-Cola Company s basic principles on sustainable agriculture for women participating in green tea leaf production in Japan. These workshops are intended to promote understanding and share knowledge with these women. As of the end of 2015, 600 women have participated in these workshops and we will be continuing our efforts to promote this project in Sustainability Initiative 4: Creating a Sustainable Global Environment (world) The Coca-Cola system has made a commitment to recycle and return to nature the same amount of water used in manufacturing products by As part of these activities, we launched a project with the Nippon Paper Group in 2013 to cultivate and manage large areas of forest both in Japan and abroad. Since 2015, we have been working in collaboration with Ebino in Miyazaki Prefecture, and are carrying out these initiatives to protect our forests and our water for the long term. As of the end of 2015, the achievement rate has reached 86%, exceeding our plan, and we are continuing to progress smoothly towards the achievement of our goal. In the area of reducing energy, we will continue to implement plans to make all our vending machines installed in Japan HFC-free by using a natural refrigerant with a low global warming potential by In the area of packaging, we will be driving the deployment of PET bottles made from plant-based materials and recycled PET for all Coca-Cola products sold in PET bottles, along with promoting lighter packaging and collecting and recycling post-consumer packaging. The Coca-Cola Company s Sustainable Agricultural Guiding Principles (SAGP*) are also being followed in the area of procuring raw materials for beverages and packaging. We are committed to procuring from sources that are 100% sustainable from socioeconomic and production perspectives by With the help of our suppliers, in Japan we met our goals for green tea leaves and coffee beans by the end of Although we still have a long way to go, the Coca-Cola system will remain resolute, continuing to provide value to consumers and contributing to building a sustainable society through our business activities. * SAGP is a certification developed by the Coca-Cola system which clearly defines the high expectations of the Coca-Cola system regarding workplace environment, human rights, environmental protection, agricultural management system, and so forth Tim Brett Born in 1968, Tim Brett was awarded an M.A. degree in History from the University of St Andrews in the United Kingdom in In the same year he joined the Guinness Group, before moving to Walkers Snack Foods in Tim joined The Coca-Cola Company in 1997 and was appointed to the position of Executive Vice President of Coca-Cola Japan in He became Representative Director and President of the company in 2013.

4 04 Sustainability Framework Sustainability Report 2016 Sustainability Report 2016 Sustainability Framework 05 Core Area Commitments Activities of Priority in Each Core Area Sustainability Framework Sustainability Framework of the Coca-Cola System me Individuals (Consumers) Activities of priority Beverage Benefits We strive to offer beverages for every lifestyle and occasion while providing quality that consumers trust. Quality management for ensuring product safety and reliability Promotion of active, healthy living Provision of accurate product information, including functions, ingredients, and nutritional information Provision of a broad product portfolio to expand options for consumers Responsible marketing Enhancing Personal Well-Being Active Healthy Living As a manufacturer of soft drinks that proposes healthy lifestyles and well-being for our consumers, we provide beverage related information, promote awareness of dietary education and proper rehydration through beverages, and promote active, healthy living through the sponsorship of sports programs. We are proactive in carrying out a variety of initiatives that provide consumers an entryway into exercise and sports. we we Community Contributing to Communities Community Workplace me world Our business can only grow if the local community is healthy. We value our ties with local communities and aim to satisfy local needs by serving as a corporate citizen. Women We support the economic empowerment of women through our 5by20 program. Our target is to offer this program to 5 million women worldwide by Activities of priority We aim to be a great place to work where all the people involved in our business are able to work in diverse and open environments. We will foster environments allowing each individual to perform to the best of their individual talents. Support in times of disaster Community contribution activities Occupational safety and respect for human rights in the workplace Support for the economic empowerment of women world Environment Achieving Environmental Sustainability The Coca-Cola Company (headquarters: Atlanta, Georgia, United States) operates in more than 200 countries and everywhere we tailor our business to the nature of each region. This reflects the understanding that a healthy community is the basis for healthy business. Our vision for achieving sustainability entails cooperation with a wide range of stakeholders in the countries we do business to make a positive difference to the world and create value for communities. Together with bottling partners and affiliates we advance initiatives in domains with a particularly strong connection to the operations of a soft drink manufacturer, namely me individuals (consumers); we community; and world environment. Activities are undertaken in nine core areas shared worldwide and are aligned not only with global targets, but also local issues. Activities of priority Energy and Climate We strive to reduce the emissions and resultant impact of greenhouse gases, including CO 2, and aim to be the beverage industry leader in these efforts. Water Stewardship We will reduce the amount of water used in production, as well as recycle water used in manufacturing and return it safely to the environment. Our goal is to return an amount of water equivalent to what we use in our beverages and their production. Reduction of greenhouse gas emissions Proper management of waste Packaging weight reductions and next-generation material development Sustainable Packaging We will continue to pursue innovative technologies that will help minimize the utilization of natural resources for packaging. We are also building systems to reuse post-consumer packaging materials in the manufacturing process. Sustainable Agriculture Through joint efforts with suppliers, we are working toward achieving 100% sustainable sourcing of key agriculture ingredients for beverages by Post-consumer packaging collection and recycling Reduction of water use in production and wastewater management Water replenishment

5 06 Sustainability Initiatives in Numbers Sustainability Report 2016 Sustainability Report 2016 Sustainability Initiatives in Numbers 07 Sustainability Initiatives in Numbers meenhancing Personal Well-Being 280+ water quality parameters 800+ products in Japan Approx. 1,500 COPA COCA-COLA participants in 2015 We carry out strict safety management in regard to water quality, analyzing a list of more than 280 parameters independently adopted by Coca-Cola worldwide in addition to the 50 water quality standards specified under Japan s Water Supply Act Junior high school boys and girls soccer teams from across Japan took part in this soccer tournament to learn about embracing active, healthy living 50+ brands in Japan No ,000+ Soft drink sales volume Sparkling beverage, canned coffee, and sports drink sales volumes Number of vending machines deployed in Japan vending machines deployed 12 years or under Target of responsible marketing No ads directly targeting children out of respect for the role of parents and guardians of children

6 08 Sustainability Initiatives in Numbers Sustainability Report 2016 Sustainability Report 2016 Sustainability Initiatives in Numbers 09 Sustainability Initiatives in Numbers we Contributing to Communities Approx. 165,000 participants on plant tours Grants for installation of solar power systems and storage batteries provided to 55 public elementary and junior high schools in three prefectures affected by the Great East Japan Earthquake (as of December 2015) 35+ years of ongoing assistance to the National Federation of the Physically Disabled and their Parents Associations (Zenshiren) 4,033 Learn from the Forest project participants (2015) We continually arrange events where participants interact with nature through tree planting and nature programs while learning about the riches of forests, connections between people, and the importance of water 2.5+ billion yen total assistance from the Coca-Cola Japan Reconstruction Fund to communities affected by the Great East Japan Earthquake by20 participants In Japan Approx. 7,900+ disaster-relief vending machines deployed (as of December 31, 2015) FREE FREE + We implement a wide range of initiatives aiming to empower 5 million women worldwide by The program was introduced to Japan in Activities organized include seminars and social events for female farmers involved in the cultivation of agricultural products like tea. (Cumulative total as of December 31, 2015)

7 10 Sustainability Initiatives in Numbers Sustainability Report 2016 Sustainability Report 2016 Sustainability Initiatives in Numbers 11 Sustainability Initiatives in Numbers world Achieving Environmental Sustainability CO 2 emissions reduced by Water stewardship activities implemented for plant water sources in 20 locations nationwide (2015 result) 40.1% in 2015 The Coca-Cola system in Japan has succeeded in meeting its medium-term target to achieve a 30.3% reduction in total CO 2 emissions by 2015 compared to 2004 Water use efficiency improved by In total more than 4.5 billion I LOHAS products have been packaged in PET bottles highly effective in reducing use of petroleum compared to earlier Coca-Cola products 32.8% This is equivalent to the gasoline required for in 10 years 4,463 trips around the globe An average 4.15L of water is used to produce 1L of product (2015 result) (as of June 30, 2016) (Gasoline reduction benefit calculated based on 10 kilometers per liter fuel efficiency) 130,000+ Use of plant-based materials leads to peak shift vending machines deployed nationwide We make ongoing efforts to install vending machines that use less power during the day, when electricity demand is at its peak (as of December 31, 2015) 11,092kl reduction in crude oil consumption ( result)

8 12 Special Content Sustainability Report 2016 Coca-Cola Sustainability Report 2016 Special Content Three Stories about Individuals, Communities, the Environment, and the Coca-Cola System Be a Good Neighbor, Be a Good Company Coca-Cola The town he lives in... the school she goes to... Dad s company... Grandma s hometown... The Coca-Cola system has stayed closely connected to many different scenes in the lives of consumers over a long period of time. We have taken all kinds of steps to bring sustainability to communities and society. Be a Good Neighbor. Be a Good Company. Here are three stories about individuals, communities, the environment, and the Coca-Cola system. Note: The Coca-Cola Company refers to the U.S. headquarters while Coca-Cola (Japan) Co., Ltd. and Coca-Cola Japan refer to Coca-Cola (Japan) Company, Limited. Bottling partners refers to the six bottling companies across Japan as designated by The Coca-Cola Company. The Coca-Cola system in Japan comprises Coca-Cola Japan, its bottling partners, and other affiliates.

9 Sustainability Report 2016 me Sp e c ial C o n t e n t Moving the Body Is So Much Fun! The Coca-Cola System Urges Young People to Get More Exercise Special Content On November 7, 2015, Kazufumi Watanabe of Coca-Cola (Japan) Co., Ltd. was in the gymnasium of a junior high school in Fukushima Prefecture where Japan s first Olympic Moves event was underway. Seeing the children beam with joy as they gradually immersed themselves in games that didn t rely on physical ability or past sporting experience, Watanabe realized it had all been worth it. A second event took place in Higashikurume, Tokyo, in December Over the next couple of years, Olympic Moves will be doing the rounds of other public junior high schools in the nation s capital. Kazufumi Watanabe begins his morning slightly earlier than others as he sets off to run a few kilometers before work. Along the way he envisages the day ahead, a routine that gives him a sense of fulfillment. To Watanabe, a person fond of sports like baseball, soccer and lacrosse ever since childhood, sport has always been a pastime he personally enjoys as well as a tool. Sport is my way of gaining physical and mental refreshment in my private life and, in business, what I use to communicate Japanese culture to the world. first-hand and continually sought to fully harness that power. An opportunity to work at Coca-Cola Japan soon came knocking. The chance to work in sports marketing for Coca-Cola, a leading sponsor of the Olympics and the FIFA World CupTM... nothing could have made me happier. Watanabe took the leap without hesitation. The first major project he was involved in was advertising for an Aquarius campaign. Drawing on Coca-Cola Japan s links to sport through sponsorship A game of baby basketball the ball cries like a baby when jolted cannot be won by power and speed as would normally be the case A guest appearance is made by Koji Murofushi, sports director of the Tokyo Organising Committee of the Olympic and Paralympic Games In his childhood, Watanabe moved back and forth between Japan and the United States and while in high school in America, he experienced something of an identity loss. He knew and understood both countries well, but after much thinking about where he stood as an active player in life and in getting a message across, he realized that he was indeed Japanese. Attending university in Japan, he went through the job hunting process, hoping to find somewhere he could work promoting greater understanding of Japan through sport. He joined an advertising agency where he was involved in South American marketing for an automobile manufacturer. One of his bigger projects entailed enhancing the company s image through soccer and having it recognized as a good corporate citizen. It was exactly the kind of work he was looking for and he sensed it was his calling. Watanabe loved his job and was achieving sound results in South America when headhunters approached him. He accepted their invitation and took up employment with the Fédération Internationale de Football Association (FIFA). During the 2002 FIFA World CupTM in South Korea and Japan, Watanabe was in the thick of the action on the Japanese side providing hospitality to foreigners visiting the country for one of sport s biggest events. Through his work he witnessed sport s influence agreements with sports personalities and teams; product promotions, and event planning, he scurried relentlessly around the playing field of his own job. And in his third year at the company, an even bigger chance came his way. In the early hours of September 8, 2013, Tokyo was announced as the host of the 2020 Olympic and Paralympic Games. Watanabe would once again be at the center of the action as Japan transmitted sports information to the world, this time as a sponsor. Numerous events are now taking place in Japan as the Tokyo Olympic Games draw near. Watanabe is currently devoting his energy to one such event Olympic Moves through which the Coca-Cola system is looking to fulfill its role in propelling the Olympic Movement. Initiated in the Netherlands in 2003, Olympic Moves has already been deployed worldwide as a global program jointly run by the International Olympic Committee (IOC) and The Coca-Cola Company (U.S. headquarters). As an entity providing opportunities for people to move their bodies to stay healthy and supporting sports events in more than 100 nations, The Coca-Cola Company came up with the program as a way to familiarize all people with sport, given that not all children in countries the world over have adequate opportunities to exercise. 15

10 16 Special Content Sustainability Report 2016 Sustainability Report 2016 Special Content 17 Participants in the program are public junior high and high schools. They compete in sports that also appear in the Olympics. Teams that make it through qualifying meet at a tournament held once a year. In countries where the program is implemented, the event is recognized as a festival of sport like the Olympics or Japan s Koshien national high school baseball championship and has accomplished much in giving young people an opportunity to exercise. The Coca-Cola Company wants to promote active, healthy living and contribute to the creation of a sustainable society. Under that line of thinking, it carries out a variety of initiatives to make sport an enjoyable part of everyone s life. From the Company s point of view (and, of course, Watanabe s), physical inactivity among young people was a problem that had to be addressed. When approached by The Coca-Cola Company about the potential for Olympic Moves in Japan, Watanabe promptly assembled a team to do the research. Unlike other countries where the program was already underway, they found that the sporting environment for Japanese junior high school students was polarized. In Japan, students who wanted to do sports joined clubs at school or in the community and exercised daily, whereas students who were not so good at sport did an extremely low level of regular exercise. The fitness gap was huge. The Coca-Cola Company initially requested that the program be implemented in the same way as other countries, taking an inter-school format and adopting the same events as the Olympics. But Watanabe flatly advised that it would not work in Japan, and that it would be pointless because students who felt they were not good at sport would be left behind. He believed the purpose and role of Olympic Moves in Japan was to teach even those children about how fun it is to move the body and about the joys of sport. What Japan required were games where everybody could compete on an equal footing and which did not rely on physical ability or past sporting experience. The research and validation process, approached from a number of different angles, led them to the new, Japan-born concept of yuru-sports, literally meaning loose or laid-back sports. To begin with, five of these yuru-sports events were selected. Yuru-sports are very unique. Take baby basketball, for example. The ball makes a sound like a crying baby when it receives a jolt and so speed and power, unlike in ordinary competitions, are counterproductive. You have to pass the ball around gently, controlling the throw using your knees, and aim for the goal a cradle. In November 2015, an Olympic Moves event was held at Shoei Junior High School in Shinchi, a town in Fukushima Prefecture s Soma district. Another took place in December, at Minami Junior High School in Higashikurume, Tokyo. After donning the unfamiliar gear, it didn t matter how fast the children could run anymore. They could bump into each other and it wouldn t hurt. Instead, they would laugh as they rolled about on the floor. Watching the children immerse themselves in five such people-friendly games, cloaked in sweat as they enjoyed the action, was a moving experience for Watanabe. Everyone who took part was smiling. Kids who were hesitant at first about games and equipment they were new to quickly got into moving their bodies about and ended up with smiles on their faces. Teachers watching them were smiling. No one there wasn t smiling. I felt overwhelmingly happy to be part of it. Exhibition matches between teachers and young athletes and between teachers and students were also staged at the events. The venues were brimming with excitement and smiling faces students cheering on their teams with hoarse voices; students taking on teachers with all of their might. Having learned how fun it is and how good it feels to move the body, it would be meaningless if it all ended there. That s why we donate all of the equipment used to the school. It delights me to hear they actually do continue to make use of it, in physical education classes, for example, or to practice for next time when they will look to take revenge on their instructors. Watanabe says his mission is to use this program to build up a far- and wide-reaching movement. With a focus on Tokyo, he is going to pursue it with much greater passion. Through sport, I want to provide broad support to help all kinds of people lead healthy, spiritually rich lives. I hope that by creating a movement that engages schools, government, and communities, we can build a legacy that lasts as an intangible asset for the future. The goal over the medium to long term is Tokyo Watanabe says he intends to make the most of each day to ensure that the Coca-Cola system delivers in its roles as flagbearer and driver of that event and that the Tokyo Olympics remains an asset, a legacy of Japan and the Coca-Cola system, for years to come. No doubt in 2020, junior high schools across Japan will be full of students preoccupied with sport like Watanabe was as a child. What is Olympic Moves? A global program addressing physical inactivity among young people, advanced by The Coca-Cola Company together with the International Olympic Committee (IOC) as part of efforts to promote healthy lifestyles looking ahead to the creation of a sustainable society. It is run in countries all over the world, including in Japan since Kazufumi Watanabe Grew up alternately in Japan and the United States, he joined Coca-Cola Japan in 2011 after stints at an advertising agency and FIFA. He is currently Group Manager of Marketing Assets. Page 16: Kitted up like caterpillars, crawling and rolling over the floor, children play imomushi rugby (lit. caterpillar rugby). Chasing around an unpredictable ball, the game is more strenuous than you might expect and participants sweat profusely. Page 17 (top): Speed lifting involves team raising and lowering of a long, lightweight barbell that is connected together with magnets. Teamwork makes all the difference as the students try to stay in sync using calls. Page 17 (middle): Bubble soccer contestants don large balloon bubbles and, unlike ordinary soccer, bumping into others and falling over is allowed. Laughter abounds in this game as rolling about becomes more fun the longer you play.

11 Sustainability Report 2016 Special Content 19 we Yahagi Elementary School in Rikuzentakata, Iwate Prefecture, stands on high ground. Children always find something fun to do, no matter what the environment, says headmaster Shin Sasaki, breaking into a smile as he watches them play cheerfully even in the limited space available. It is 2016 and those who started at the school right after the Great East Japan Earthquake are now in their sixth and final year. The city s reconstruction is still in progress. But even if it takes one step at a time, those efforts are steadily moving forward. Special Content Konnichiwa! It is recess and the kids turn their little backs and fly out of the building. Not fazed in the least by the visiting stranger, they shout a greeting as they spring out the doors. Yahagi Elementary School is attended by children from an area covering roughly half of the city with a total of 49 students from first through to sixth year currently enrolled. The school s headmaster, Shin Sasaki, looks on happily at them bubbling with energy. Rikuzentakata is a place of scenic beauty enjoying a rich assortment of the different blessings that nature has to offer. In 2011, the Great East Japan Earthquake and the tsunami that followed swept away everything from this Sanriku region port town. Reconstruction Fund, then set about collecting donations. Alongside emergency relief activities that were underway, these efforts were intended to ensure long-term assistance for addressing the various needs that were expected to arise. The fund is primarily used to help schools and affected children in each community and currently revolves around three core projects. The provision of grants for installing solar power generation and storage systems is one of those projects. From applications received from interested schools in a number of rounds starting in 2011, a total of 55 public elementary and junior high schools in Iwate, Miyagi, and Fukushima prefectures have had facilities installed so far. A school like ours, on high ground, has to be able Electricity generated using solar panels is used for some lighting inside the school With solar panels installed on its roof, the gymnasium also makes use of generated power Supporting the Future of the Region and the Next Generation The Current State of the Coca-Cola System s Support for Reconstruction All that remained to give its people hope was the sparkle in the children s eyes. Our current sixth years are those children who started here right after the disaster. In other words, they know nothing about what school was like prior to that event. It may seem a somewhat constrained school life compared to when we were kids, but even so, children have the ability to adapt to the environment they are placed in and enjoy it to the full. I notice that in all aspects of school life. Solar panels arrived at Yahagi Elementary School in October 2015 with the installation of solar power generation and storage facilities through the Coca-Cola Japan Reconstruction Fund. At the same time, emergency lighting, emergency wall outlets fed by an alternative power supply, and other equipment were installed in places like the gymnasium. In the immediate wake of the Great East Japan Earthquake on March 11, 2011, Coca-Cola Japan and the Coca-Cola system started providing drinks as a relief effort to support those affected and decided on a financial contribution. The Coca-Cola Company (U.S. headquarters) also made a decision to contribute funds and, in late March, announced the establishment of the Coca-Cola Japan to function as an evacuation center for the community in emergencies. Our grant was decided in the third application period in 2014 and while the work was in process, people in the community showed an interest, asking what the solar panels would actually bring about once they were operational. After the quake and tsunami, many residents were forced to live in evacuation centers. A large majority of shelters did not have power restored until late March, meaning evacuees had to go two whole weeks without the electricity they had relied upon in their lives. To lose something from our environment which had always just been there brings about far greater insecurity than you might imagine. That experience of living in uncertainty, without power, remains etched in the memories of the community. But from the solar panels, residents gain reassurance that if another disaster were to occur and our gymnasium were to be used as an evacuation center, then we ll at least have electricity here. Yahagi Elementary School can currently store up to 16 kilowatts each day. This is the amount of energy required to accommodate evacuees in the gymnasium for a night should there be a need. Once

12 20 Special Content Sustainability Report 2016 Sustainability Report 2016 Special Content 21 morning came around, the 20-kilowatt-capacity solar panels would cover power needs for the next day. Above all, the system has created benefits from a completely different perspective for the children. Thanks to the monitor, their interest and concerns about electricity have jumped considerably. When the solar power generation and storage facilities were introduced, a monitor was set up in the school to constantly show how much electricity was being generated in real time. Information displayed on the monitor includes an animated explanation of how electricity is produced using fossil fuels and the current level of power generation measured in number of fluorescent lights. The children gaze up at the monitor with great curiosity as they pass by at recess or other times and say things like, Look, it s generating 300 fluorescent lamps of electricity! with a sparkle in their eyes. After running the system for a while, we asked the children to write down their thoughts about it and they included in their submissions terms that hadn t come up in class yet like fossil fuels and renewable energy. They even wrote comments like, Electricity has to be used wisely, and, I m going to remember to turn off lights. I was astonished at how naturally they had become aware of environmental matters. The students responses to the questionnaire were varied; from those penned in grown-up handwriting ( I am living an eco-lifestyle ) to ones written in a poor scrawl ( I think it is a system that is friendly to the Earth, friendly to people, and friendly to people s feelings ). It is clear the children have been interacting with the environment, each from their own personal viewpoint. Curiosity is vital nourishment for children s development. On top of the knowledge they gain from sources like textbooks and television, finding topics that stoke their interest in their immediate surrounds unknowingly leads to a self-initiated approach to learning. In the sense of preparing a foundation for learning, the benefits of the solar panels and monitor are truly noticeable. When asked what form of assistance is required at the frontline of education today, Sasaki replies, Exactly what we have here the type that creates opportunities. If I have one concern from observing the children of Rikuzentakata, it s that they seem low in self-esteem to a certain degree. A teacher at another school nearby said something along similar lines and so it might be just a characteristic trait of people here in the Tohoku region, or it could be a consequence of the 2011 disaster. In my opinion, children inherently believe they can do anything and are not in the least afraid to express their hopes and ambitions. That s why I am truly grateful for facilities like the solar power system which stimulate their curiosity. We will continue to do Seeking Continuity in Assistance from Corporations Solar power generation and storage facilities have been installed at four public elementary and junior high schools in Rikuzentakata so far through assistance from the Coca-Cola Japan Reconstruction Fund. The city s mayor, Futoshi Toba, acknowledges the enormous impact this has had. It is has provided all citizens of the city with reassurance. At the time of the disaster, the situation for Rikuzentakata went far beyond blackouts. The town itself was no longer there. Many children spent the night full of uncertainty, unable to go home. Government authorities naturally bear a duty to ensure the safety and security of citizens, but in the case of small municipalities, we don t have the resources to handle everything. So I would like to express how genuinely grateful I am that there is now a place where children feel happy Futoshi Toba Served as a member of the Rikuzentakata City Council and deputy mayor before becoming mayor in February 2011, immediately prior to the March 11 disaster. He is advancing reconstruction efforts in the city while staying closely attuned to the wishes of residents. going about their school pursuits and where citizens can head to in times of need. But more than five years have elapsed since the disaster and, as the mayor stresses, The style of assistance we seek from corporations is changing. Continuity is increasingly a key requirement for assistance today. I don t suggest full give-and-take, but I think we are past the stage of simply being on the receiving end. If the assistance provided is directly related to the company s primary business, it is likely to have continuity. That is precisely the format we are looking for. The Miracle Pine, a lone pine tree on the Rikuzentakata coast, has become a symbol of the reconstruction effort. In 2013, Michinoku Coca-Cola Bottling deployed a fleet of vending machines that specifically support the miracle pine. A portion of proceeds from the vending machines is donated to the city currently enough to cover annual preservation costs. This is a good example of assistance extending from a single point into a connected line. There was once a time when I really liked the Coca-Cola logo and had my mother sow a badge onto my gear. In a similar way, initiatives could even double as promotional activities. It would be great if we could advance efforts, including enhancement of environments for nurturing children s ambitions, with assistance which also has benefits for the companies providing it. What is the Coca-Cola Japan Reconstruction Fund? The Coca-Cola Company established the Coca-Cola Japan Reconstruction Fund on March 24, The Company has been pushing happiness as a theme throughout its history and the fund will continue to provide ongoing assistance for reconstruction efforts in order to deliver happiness to the Tohoku region and spread it around. what we can, but it would be nice if the children had an opportunity to mix with children from other regions. Five years have passed since the disaster and residents have the supplies they need to get by. However, a large portion of the city is still being prepared for construction work and there are not many places where elementary and junior high school children can run about to their hearts content. Peering out the window, Sasaki is of the same opinion. I hope we can quickly reinstate an environment where the children can head out to kick around a soccer ball and really let go. Yet when recess comes around, the children rush into the schoolyard or to the gymnasium. In the latter, upper- down to lower-grade students were absorbed in a game of dodge ball, in which the older kids passed the ball gently to their juniors even elementary school children naturally acquired the trait of lending a helping hand to those smaller than them. The children of Rikuzentakata certainly know how to connect to others, to the community, and to nature. On the roof of that gymnasium, the sun beams onto the solar panels. It exudes a kind of warmth unimaginable on that day back in Passing by the visitor about to leave, the children shout Sayonara and wave their hands wildly. Sasaki smiles watching them and says, Because ours is a community that has been through a disaster together, children interact closely with adults in the region and so our students are able to properly greet whoever they meet on an ordinary basis. It may be just a small thing, but I think it s important. With attention on the children, recognize the good points and confront the challenges. The educational environment is not yet adequate and an outsider is not likely to fully appreciate the hard work that has been done. It s all part of the job, says Sasaki smoothly, a glimpse of the pride of a Tohoku region educator showing through. Shin Sasaki Born in Oshu, Iwate Prefecture, in 1962, he graduated from the Iwate University School of Education. Having held positions at Toryo and Nio Elementary Schools in Morioka, as well as the General Education Center of Iwate, he has been headmaster of Yahagi Elementary School since Improving extracurricular special activities is one of his challenges. Page 21 (top): Children run along a marked track past the main school building to the left toward the gymnasium. Even with limited space to play, they do so with great vitality during recess using whatever is available to them. Page 21 (middle): A monitor installed inside the school displays information such as the amount of electricity generated and consumed, as well as the amount stored and intensity of the sunlight, in a way that is easy to grasp, triggering interest among the children

13 Sustainability Report 2016 world Sp e c i a l C o n t e n t Protecting Forests Protects Our Water and Our Future The Coca-Cola System s Ties with the Forests of the Kirishima Mountains Special Content Delicious water is sustained by beautiful forests and in Japan it has always been forestry workers, partaking in forest conservation activities, who have protected the country s best water sources. But as the forestry population continues to decline, the importance of protecting and nurturing forests is being forgotten. What can be done to ensure that beautiful forests are left for future generations? We visited a man who cares about the forests in his community and has spent many years preserving them. At five o clock every morning, Tsugio Kino gets up to tend to fields where he grows peas, carrots, and bok choy. Working until dawn, he heads off with a heavy brush cutter to maintain a vast expanse of forest. He walks 10 kilometers a day along steep mountain paths. It is especially grueling in the summer months when for days on end he cuts grass until the sun goes down in temperatures exceeding 30 degrees Celsius. Whereas anyone unaccustomed to such a lifestyle might start complaining after a few hours, Kino, who turns 78 this year, has done this for over a decade. This is Ebino, Miyazaki Prefecture. It is here, set in a rich natural environment at the foot of the Kirishima mountain range, where Kino is chairman for the Fumoto Kyoyurin shared forest, the largest in the city with an area spanning approximately 250 hectares But in recent years, the number of people involved in maintaining the forest has continued to fall. Naomi Taira, representative director and president of the forest owners cooperative for the Nishimoro district, which is responsible for forest management and timber sales in the southwestern part of Miyazaki Prefecture, explains. Miyazaki produces more Japanese cedar logs than any other prefecture in the country, illustrating just how vibrant the forestry industry used to be in the area. Ebino was once a renowned center of construction timber production and during Japan s period of rapid economic growth many people here were employed in forestry. I remember when I joined the cooperative 35 years ago there were so many horses, used for carrying the timber down from the mountain. But the number of forestry workers fell The Nishimoro district forest owners cooperative headquarters, made of pine and isunoki (Distylium racemosum) was built 70 years ago this year Tsugio Kino and Naomi Taira two upstanding forest guardians big enough to hold as many as around 53 stadiums the size of Tokyo Dome. dramatically with the crash of the timber market. After harvesting, some landowners were unable to plant more trees because they couldn t afford to look after them. More and more hillsides were left bare as a result. The Fumoto Kyoyurin forest faces the exact same problem. Many shareholders live outside the prefecture and there are currently only seven local volunteers, Kino among them, participating in conservation activities. They manage to cope with the help of the forest owners cooperative. People say to me, You re getting on now. You shouldn t have to keep doing all that hard work. But as chairman, if I don t lead the way, there really will be no one left to protect and nurture the forest, says Kino. Why is he so committed to looking after the forest? Because this is my community. When I took over from my father as a forest shareholder, I believe I inherited a responsibility to protect the forest. My father was a public servant in the agriculture and forestry domain and protecting the forest was his job. I also worked as a public servant for 32 years until reaching retirement age in 1999 and I ve been running an agriculture and forestry business ever since. Then my predecessor as chairman of the Fumoto Kyoyurin shareholders association stepped The forest has a long history. Joint ownership of the hilly land by people of the community began 130 years ago. Today there are 88 shareholders who own the forest together and have protected it for generations. Kino is one of those shareholders with title to the land. Kino s primary activities, carried out in line with a business plan developed by the shareholders association, are to plant and harvest trees, then sell the timber. But growing trees that produce quality timber demands constant upkeep. For the first few years after planting the saplings, we need to clear the underbrush; in other words, cut away weeds from around the trees. Weeds grow faster than saplings and if we don t clear them, the saplings won t get enough sun, hindering their growth. There is a need for constant care even after the trees have grown tall. This includes improvement cutting of unwanted trees other than those planted and thinning selective cutting of trees to prevent them from hindering each other s growth. Kino and the other shareholders have protected their shared forest in this way for many years. 23

14 24 Special Content down and asked me to take his place. I was hesitant but accepted the position, believing it was up to me to protect my forest. But when he started the forest conservation activity, even Kino, a farmer with experience going out into the fields day after day, found it hard going, tougher than any other work. Yet he kept at it, sticking to his conviction that it was up to him to protect his forest. Forests are not just a place for growing trees for timber. They have truly diverse functions, including cleaning the air, preserving water resources, and preventing landslides. Seventy percent of Japan s land area is forest. In other words, protecting forests protects the country. It was a manufacturer of Coca-Cola which oddly enough also has a 130-year history, just like the Fumoto Kyoyurin forest that came to Kino s aid. In November 2014, Coca-Cola West, which owns a plant in Ebino, signed a pact with Miyazaki Prefecture, the city of Ebino, the Nishimoro forest owners cooperative, and the Fumoto Kyoyurin shared forest. An area of the Fumoto Kyoyurin forest totaling hectares was set aside and named the Ebino Sawayaka Shizen-no-Mori with the parties to the agreement declaring they would develop the forest together. In fact, Coca-Cola West s Ebino Plant was already advancing water neutrality activities with the goal of returning to the community and nature the same amount of water used by the plant and was actively engaged in water stewardship Sustainability Report 2016 Sustainability Report 2016 efforts, such as purifying the plant s wastewater to the point that fish would be able to survive in it. Special Content community development in 2013, also collaborates with the Nishimoro forest owners cooperative and Fumoto Kyoyurin. As part of the Forests, Water and Smiles program, the Nippon Paper Group is supporting steady maintenance of the Fumoto Kyoyurin forest by drawing on its advantages as a comprehensive biomass enterprise to routinely purchase and engage in cascade use* of timber shipped from the forest, which is a source of water used by the Coca-Cola system. Thus a collaborative scheme was established enabling sustainable activities over the medium to long term and ensuring that efforts to protect Ebino s forests were not temporary. Just the other day, Ebino-grown Hinohikari rice was awarded the highest grade, toku A a first for Miyazaki Prefecture. As I was once a rice farmer, I know very well that delicious water is vital for growing delicious rice. It is another accomplishment made possible through ongoing efforts to protect our beautiful forests. Today, Kino will again head into the hills and work up a sweat as he carries on protecting the forest and protecting the water. The work in the forest is tough. That hasn t changed. But when I sit down with my wife at the end of the day and talk over some Miyazaki sweet potato liquor, the tiredness disappears. I ll keep going at it for a while yet. He says it with a conviction that bodes well for the future of the forests of Ebino. To be honest, I couldn t understand it, says Kino, recalling the moment Coca-Cola West approached him about providing assistance for forest conservation. Why would a big corporation take an interest in our forest? Other shareholders were skeptical about the merits, too. But in our discussions Coca-Cola West made the following comment: We are obligated to return the favor to the beautiful water of Ebino. It pleased me to hear that and I decided to accept their offer of helping to cover maintenance costs. We needed assistance, but to be able to work together, we had to be on the same page in terms of our commitment to protecting the forest and the water. The president of the forest owners cooperative, Naomi Taira, nods her agreement. Protecting the forest helps to protect the water. I m always pointing out that there are not many countries in the world where you can drink water straight from the tap like we can in Japan, and it is so important that we protect our forests and watersheds. I hope our joint initiative with the Coca-Cola system will make a lot of people realize this. The Nippon Paper Group, which entered into an agreement with Coca-Cola Japan on forest conservation and efforts to achieve sustainable * The use of timber, after it has been used as a building material, for other purposes, such as papermaking materials or fuel for power generation, so that it does not go to waste What is Forests, Water and Smiles? Forests, Water and Smiles is a project initiated by an agreement in 2013 between the Nippon Paper Group and Coca-Cola Japan on medium- to long-term efforts to conserve forest and water resources and enable the sustainable development of communities. It entails implementation of a wide range of activities involving forests owned by Nippon Paper Industries Co., Ltd. and areas where the Coca-Cola system s plants source their water. Tsugio Kino Born in 1939, he has served as chairman of the Fumoto Kyoyurin shareholders association since While also a farmer, he ventures into the Fumoto Kyoyurin forest each day to manage and maintain it. Page 24: Kino clearing the underbrush. As nothing blocks out the sun, the temperature climbs very high during summer. Hourly breaks and regular rehydration are essential. Page 25 (top): View of Ebino from the highest point in the Fumoto Kyoyurin forest. Rice paddies and fields spread over the plains, extending out from Sendai River as it flows through the city. Visible beyond is one section of the Kirishima mountain range. Page 25 (middle): The forest is managed in zones. Clearing underbrush from an area where saplings have been recently planted takes a whole day even with a team of 10 workers. 25

15 26 Third-Party Opinion Sustainability Report 2016 Sustainability Report 2016 Company Information Profile 27 Third-Party Opinion An outside expert s analysis and evaluation of reporting on sustainability activities conducted during 2015 Commendations As a whole, the report is good as an easy-to-understand summary of activities in the three priority sustainability domains addressed by Coca-Cola Japan and the Coca-Cola system: me enhancing personal well-being, we contributing to communities, and world achieving environmental sustainability. As mentioned in the message from the president, Coca-Cola Japan wants to fulfill its social responsibility as a good neighbor to consumers and communities. Today it is essential that corporations not only ensure rigid corporate governance and control of product quality, but also embrace the idea of closely associating with and existing alongside people and communities. To begin with, I applaud Coca-Cola Japan on adopting such a corporate stance. One area of commendation for this year s report would have to be the structure, consisting of a digest about activity with pages of special content and a GRI Report providing more detailed information on activities. As well as clarifying which activities Coca-Cola Japan believes it particularly needs to prioritize (materiality), activities are arranged into three priority domains and nine core areas of activities with numerical and other data that is easy to grasp. The special content comprised articles entitled, The Coca-Cola System Urges Young People to Get More Exercise (me), The Current State of the Coca-Cola System s Support for Reconstruction (we) and The Coca-Cola System s Ties with the Forests of the Kirishima Mountains (world). All three outline wonderful activities which are also characteristic for taking into account the social challenges currently faced by Japan. For example, the first activity introduced, Olympic Moves, is a global program that aims to promote healthy lifestyles looking ahead to the creation of a sustainable society. It is led by U.S.-headquartered The Coca-Cola Company and run all over the world together with the International Olympic Committee (IOC). But in Japan, events which do not rely on physical ability or past sporting experience were chosen for the program given the polarized sporting environment for the country s junior high school students. The second article describes the installation of solar panels at an elementary school in Rikuzentakata, Iwate Prefecture, a city hit hard by the Great East Japan Earthquake of 2011, and the way in which the children there are regaining their curiosity and starting to look to the future. (As of the end of 2015, the Coca-Cola system has provided support to a total of 55 schools in Iwate, Miyagi, and Fukushima prefectures.) The same goes for the third activity. Taking into consideration Japan s dwindling forestry population, Coca-Cola Japan is collaborating with the Nippon Paper Group on a project to conserve forest and water resources based on the belief that protecting forests protects our water. Coca-Cola is a global corporate group known throughout the world and it would be very easy to carry out the same sustainability activities everywhere. Instead, the Coca-Cola system has looked squarely at Japan s social problems and engages in steady efforts to help resolve them, an approach I rate highly. As for the GRI Report component, available online, I would like to draw attention to Coca-Cola Japan s high level of awareness about environmental issues. Coca-Cola Japan achieved all of its 2015 Environmental Targets in the four areas of energy, water, packaging and waste, in particular making great progress on reducing CO 2 emissions in distribution and sales (vending machine) operations. In April 2015, the company publicly announced that it had finalized its 2020 Environmental Targets as medium- to long-term goals to achieve in Japan. The targets have been set in four even more ambitious priority areas: Energy and Climate, Sustainable Packaging, Water Stewardship, and Sustainable Agriculture. I would certainly like to see Coca-Cola Japan continue directing efforts into conservation of the global environment. In other areas, I would also like to praise the company s active approach to the empowerment of women. As of April 2016, women accounted for 32 percent of the workforce and 22 percent of all managerial positions, the latter standing out among corporations in Japan. The results of the Action Plans for Active Participation of Women, covering the period from April 2016 to March 2020, are also something to look forward to. Diversity boosts a company s vitality and becomes a fountainhead of innovation; therefore, I would like Coca-Cola Japan to carry on advancing these activities. Requests In its G4 Sustainability Reporting Guidelines, the Global Reporting Initiative (GRI) recommends disclosure about methods of management in response to identified economic, environmental and social impacts (Disclosure on Management Approach, or DMA). Within the GRI Report component of next year s report you might like to consider disclosing, for each domain, your perception of social problems, followed by comments from the relevant management personnel (commitments), then medium-term targets and action plans. Besides constituting active disclosure of information that stakeholders require, I think this will raise the effectiveness of your sustainability management. Mika Takaoka Professor, Rikkyo University College of Business. She holds a doctorate in economics, and her fields of expertise are retail management theory, franchise systems theory, sustainable communication, and consumer behavior. Her roles include participation in the Global Environment Subcommittee Evaluation and Verification Working Group (Commitment to a Low-Carbon Society follow-up) of Japan s Industrial Structure Council. Editorial Policy The Coca-Cola Sustainability Report 2016 conveys the approach to sustainability of Coca-Cola Japan and the Coca-Cola system in Japan, and reports on specific activities and accomplishments stemming from that approach. The 2016 report contains, as materiality, special features on activities that the Coca-Cola system considers were particularly important in a format that even general readers will find easy to follow. Other activities and detailed data are reported on in three separate categories me, we, and world in line with the sustainability framework being advanced by the Coca-Cola system worldwide. Terminology About This Report About the Digest and Detailed Editions of the Report The Coca-Cola Sustainability Report 2016 is released as a printed report, as well as online. The printed report is compiled as a digest edition with special features covering activities in 2015 that we consider were particularly important as materiality. The online version includes a detailed edition of the report containing data and information on other activities. Period, Scope, and Referenced Guidelines Period April 1, 2015 March 31, 2016 Scope Coca-Cola Japan and six bottling partners and affiliates Referenced guidelines Global Reporting Initiative G4 Sustainability Reporting Guidelines Publication September 2016 The term consumers is used in this report to refer not only to those who purchase Coca-Cola system products but also to the general public. The Coca-Cola Company refers to the U.S. headquarters while Coca-Cola (Japan) Co., Ltd. and Coca-Cola Japan refer to Coca-Cola (Japan) Company, Limited. Bottling partners refers to the six bottling companies across Japan as designated by The Coca-Cola Company. The Coca-Cola system in Japan comprises Coca-Cola Japan, its bottling partners, and other affiliates.

16 For inquiries concerning this report: Coca-Cola (Japan) Company, Limited Consumer Service Center: (Toll free) (Japanese website) COCA-COLA, COCA-COLA ZERO, GEORGIA, SOKENBICHA, KARADA SUKOYAKA-CHA, AYATAKA, TSUMUGI, KOCHAKADEN, AQUARIUS, AQUARIUS ZERO, FANTA, SPRITE, REAL GOLD, QOO, MINUTE MAID, I LOHAS, REAL, YOGUR STAND, and WORKS are registered trademarks of The Coca-Cola Company. CANADA DRY and SCHWEPPES are registered trademarks of Atlantic Industries. GLACEAU is a registered trademark of Energy Brands Inc. The Coca-Cola Company The Coca-Coca Sustainability Report 2016 is produced from FSC -certified paper, vegetable ink, and VOC-free ink using a waterless printing method. Published: September 2016 Public Affairs & Communications Coca-Cola (Japan) Company, Limited