CSR EYE. China TOPICS

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19 Basis for Management Asia & Oceania North/South America 160 Business Outline 46 JAPAN Governance Group's CSR Activities Companies Consolidated in total Breakdown of companies consolidated (as of March 31, 2016) Core Category Consolidated subsidiaries (353) Equity-method affiliates (36) Products & Services Beginning with the foundation of our first overseas bases, we are committed to job creation and human manufacturing base in Thailand in 1969, we have promoted resource development while aiming to stabilize the local the establishment of overseas bases in consideration of operation. We now have a total of 275 overseas affiliates market characteristics and needs for each business segment. with more than 240,000 employees. Number of employees in Japan and overseas and ratio of overseas employees by year Ratio of overseas employees (%) , , , , , , (100 million yen) ,228 20,000 20,593 21, , ,175 15,000 9,399 10,488 11,194 11, ,468 17,461 11,518 11,760 11, ,170 10,000 50, ,000 37,499 37,148 37,715 38,892 38, Overseas In Japan 0 (Fiscal year) Ratio of Overseas Sumitomo Electric and consolidated subsidiaries Overseas In Japan (Fiscal year) Social Contribution 100, , ,328 29,331 25, , , ,000 25, Environmental Preservation 250, Ratio of overseas sales (%) (Persons) Sales in Japan and overseas and ratio of overseas sales by year Human Resources In the parts of the world in which we have established our Supply Chain Global development by business segment Ratio of Overseas Sumitomo Electric and consolidated subsidiaries CSR Report

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78 Promotion of CSR Activities in Affiliates Sumitomo Rubber Industries, Ltd. Sumitomo Wiring Systems, Ltd. Tree planting activities (Tamba Romance Forest) Performance of Yokkaichi Suwa-Daiko Japanese drum by employees Sumitomo Rubber Industries established the To contribute to society, Sumitomo Wiring Systems (SWS), Sumitomo Rubber Group's Basic Philosophy of CSR which will be celebrating its 100th anniversary in 2017, in 2008 out of the idea that it is necessary to clarify aims to help supply safe, secure and eco-friendly cars to as many customers as possible by producing products used in the code of conduct in the Group's CSR activities as such cars. In addition, we engage in various types of a whole and further accelerate the management communication with local residents to be a company that that pursues social value. is rooted in the local community and loved by the people. Our initiatives include support of sports activities of young The Basic Philosophy consists of CSR Philosophy people and local events, involvement of employees in and CSR Guidelines. Our CSR Philosophy declares local disaster prevention activities and environmental that through CSR activities we will become a conservation activities. We are also working to inherit the traditional performing art of the historical Yokkaichi corporate group that is trusted by society in a way Suwa-Daiko Japanese drum as a company based in that people see our continued existence as a Yokkaichi. Our employees show the drum performance in positive thing, and our CSR Guidelines specify what local festivals and welfare facilities. we should do based on the philosophy. The In 2016, four companies located in Mie Prefecture including SWS established a joint company to operate guidelines are composed of five components, hydrogen stations to promote widespread use of fuel cell namely Green (green initiatives), Ecology vehicles and create environment-friendly local (ecological process), Next (next-generation product communities for the realization of a hydrogen society, and the joint company began operations at its hydrogen development), Kindness (kindness to employees) stations. Meanwhile, we co-sponsored the G7 Ise-Shima and Integrity (integrity for stakeholders), with the Summit Meeting held in Mie Prefecture, engaged acronym being GENKI after the Group's GENKI employees as volunteer interpreters and recruited two players of PEARLS, a women's seven-a-side rugby team. Activities, which are internal activities launched in We have thus been committed to new sorts of activities to 1988 to energize people. contribute to local communities. Based on the basic philosophy and guidelines of We also encourage our Group companies in Japan and CSR Activities, we develop new and unique CSR overseas to establish and further enhance their social contribution activities. At the annual SWS Harness Partners activities, and create new value through business & Top Executives' Global Conference, we outline various activities, to further enhance our social value and activities developed by our affiliates according to thereby improve our economic value. circumstances of the individual countries and regions and commend the companies engaged in such activities. Those activities are also introduced to other Group companies. Web 77 CSR Report Web

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