Matsushita Group's "eco ideas" Strategy

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1 Matsushita Group's "eco ideas" Strategy Promoted with our Collective Wisdom, Focusing on CO 2 Emissions Reductions October 5, 2007 Fumio Ohtsubo Matsushita Electric Industrial Co., Ltd.

2 Increasing Environmental Awareness Human-induced GHG emissions are the main cause of global warming (report by IPCC) International target setting movements 1 Kyoto Protocol: Heilgendamm Summit: The first commitment period ( ) will begin soon. Agreed on halving GHG emissions by the end of APEC Sydney Declaration: Hokkaido Toyako Summit: Increase energy efficiency by 25% in the APEC region by the end of Will be held in Post-Kyoto Protocol framework Increasing the presence of "environment" in purchase motives Consumers who take the environment into consideration when purchasing products (%) % 79.7% 85.9% (Survey by the Cabinet Office)

3 Accelerate Environmental Sustainability Management 2 Becoming a Challenger to Achieve Global Excellence Global Excellence Matsushita in 2009 Steady Growth with Profitability Matsushita in 2007 GP3 Plan Global Progress Global Profit Global Panasonic Reduce environmental impact in all business activities Key issues Rapidly implement measures to prevent global warming. Globally promote environmental sustainability management. Deconstruction and Creation

4 Reduce CO 2 Emissions in Production Activities 3 Reduce total emissions while increasing production FY'09 Target under the "GP3 Plan" Reduce global CO 2 emissions by 300,000 tons in three years (FY'06: 3.98 million tons FY'09: 3.68 million tons) FY'10 Target Achieve a reduction to the FY'00 level (approx. 3.6 million tons)

5 4 CO 2 Emissions Serve as our Key Management Indices Report monthly global CO 2 emissions figures to management Environmental performance system business units 294 sites 294 CO 2 emissions グローバル around 294 拠点 with 23 items the world Submit data via the Web Head Office Key management indices Sales Operating profit Inventory CCM + CO 2 emissions Environmental performance data Feedback of analysis results Monthly environmental accounting reports Various data analyses, etc.

6 Three Key Initiatives 5 "eco ideas" for -Reduce CO 2 emissions by improving productivity -Enhance resource conservation and waste reduction "eco ideas" for Products - Pursue energy-conserving product development - Promote the use of environmentallyconscious materials and product recycling "eco ideas" for Everybody, Everywhere Coexistence with society and the world - Expand ecology with the international community - Strengthen activities across national borders

7 "eco ideas" in Products Maximum Products' Energy Efficiency 6 Increase the number of products featuring the No.1 energy- conserving performance and eliminate energy inefficient products Numerical target setting example based on the "Energy Conservation Performance Catalog" 100% Ratios of energyconserving models No. 1 16% High-ranked 36% Mid-ranked 35% Low-ranked Double No. 1 30% High-ranked 40% Mid-ranked 30% Reduce to 13% zero

8 "eco ideas" in Reduce CO2 Emissions by Improving Productivity Energy conservation at offices Recycling IT innovations Product planning 3R design Factory integration Green logistics e-work Recycling Service Design processes Procurement Sales Inventory reduction EnergyEnergy-conserving conserving equipment Logistics Modal shifts Quality improvement Electronic component mounting machines 7

9 "eco ideas" for Everybody, Everywhere Expand Eco-friendly Activities with the Collective Wisdom From communities to the world 8 Love-the the-earth Citizens Campaign (LE Campaign) Global promotion Establishment of factories that achieve coexistence with local communities "eco-idea" factories Acceleration of environmental contributions in China China Eco Project

10 Matsushita Group's "eco ideas" Declaration 9 Lead the way with "eco ideas" for our customers around the world Matsushita Group's three commitments "eco ideas" in Products "eco ideas" in "eco ideas" for Everybody, Everywhere 1. We only deliver energy-conserving products. - Double the number of products with No. 1 energy efficiency We reduce total CO 2 emissions. - Reduce global CO 2 emissions in production activities by 300,000 tons We will expand eco-friendly activities worldwide.

11 The Matsushita Group aims to lead the way with "eco ideas" in all operations. 10

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