Based on our corporate philosophy of “Have an interest in people,” “Have an interest in something new,” and “Have an interest in the future,” the Dainichiseika Group recognizes that contributing to the realization of a sustainable society will lead to the creation of new value, and aims for sustainable growth together with society by working to preserve the global environment and solve social issues.

In the development of our business activities, we will strive to maintain and strengthen relationships of trust with our stakeholders as a good corporate citizen with high ethical standards, not to mention respect for human rights and compliance with laws, regulations, and social norms, both within and outside of Japan. We will also strive to enhance corporate value by building an appropriate governance system and promoting the growth and success of each and every employee.

1. Managers and employees of Dainichiseika Group will raise their own environmental awareness through training, set voluntary personal goals associated with environmental activities, and work continuously to contribute to environmental improvements.
2. We will endeavor to develop environment-conscious products throughout their lifecycle.
3. We will strive to reduce the environmental impact and prevent pollution from our business activities.
4. We will comply with laws, regulations, agreements, and other obligations.
5. We will aim to establish a harmonious relationship with society while engaging in natural conservation and other social contribution activities.

1. We provide the products and services satisfying our customers demand.
2. We comply with all statutory and regulatory requirements.
3. Our managers and all employees aim to improve product quality.
4. We continue to promote the activity that improves product quality.

To provide the products and services our customers demand and to maintain our status as a company trusted by our stakeholders, the Dainichiseika Group is focusing on the CSR initiatives of our suppliers in our purchasing activities and jointly promoting CSR initiatives.

1. Selection of suppliers and procurement items
   • (1) Quality, safety, price, delivery, and stable supply of procured goods
   • (2) Corporate efforts in technological development, after-sales service, and joint efforts in response to various survey requests
   • (3) Corporate stance on CSR initiatives, management systems, and other matters, including human rights, labor environment, compliance, and environmental conservation
   We will select suppliers and procurement items based on fair and impartial evaluations, taking the above into consideration.
2. Open door policy
   We open our doors equally to all suppliers, both domestic and overseas.
   We will continually monitor new information and sources, and actively adopt the materials the Dainichiseika Group requires.
3. Fairness and compliance
   The Dainichiseika Group will comply with all applicable laws and regulations and undertake our purchasing activities based on the principle of fair, transparent, and free competition.
4. Safeguarding confidential information
   We will handle and manage any information on suppliers obtained through our procurement activities in the appropriate manner.
5. Mutually-beneficial relationships and shared prosperity
   We seek to achieve mutually-beneficial relationships and shared prosperity with our suppliers and strive to build relationships of mutual trust.
6. CSR partnership
   We will promote CSR initiatives in partnership with our suppliers.

The Dainichiseika Group pledges to safeguard information assets concerning or belonging to our customers and other properties when we handle this and other information assets during the course of business. We declare that we will establish and put into practice the Information Security Policy to safeguard this information and to fulfill our social responsibilities as a company.

1. Scope of application
   This basic policy applies to all information assets owned by the Dainichiseika Group; all operations involving the handling of information assets within the Dainichiseika Group; and all officers and employees (including temporary employees) involved in the Dainichiseika Group's operations.
2. Information asset management system
   The Dainichiseika Group uses and retains various information assets in our business and business activities, including technical information, corporate information, and personal information. We implement safeguards in accordance with the importance of these information assets, particularly information assets entrusted to us by our customers.
3. Information security management system
   To promote the Dainichiseika Group's information security measures efficiently and effectively, we have established a chief information security officer and information security manager; appointed an individual in charge in each department; and established an organizational management system.
4. Information security management regulations
   We have established Information Security Management Regulations, which serve as uniform standards for information security measures within the Dainichiseika Group, and strive to disseminate these Regulations to all executives and employees.
5. Information security training and education
   We will continue to provide training and education to the executives and employees within the Dainichiseika Group to promote and strengthen awareness of the importance of information security.
6. Compliance with laws and regulations
   In undertaking our business activities, we will comply with all applicable laws and regulations and the Dainichiseika Group regulations.

The Dainichiseika Group has established the following policies and is working to develop safety and health activities to ensure the safety and health of workers and create comfortable work environments.

1. To eliminate occupational accidents and promote health, we will work to create safe and comfortable work environments and corresponding companywide systems.
2. We will comply with all laws, regulations, ordinances, and agreements concerning safety, health, and disaster prevention.
3. We will develop human assets capable of thinking independently and strive to achieve continuous improvements to reduce risks.
4. We will strive to create rewarding work environments for all employees, regardless of age and gender.

The Dainichiseika Group supports and abides by international norms on human rights, including the International Bill of Human Rights, which sets forth fundamental human rights principles, the ILO Declaration on Fundamental Principles and Rights at Work, established by the International Labor Organization (ILO), the Guiding Principles on Business and Human Rights, and the Ten Principles of the UN Global Compact established by the United Nations, and has established our Human Rights Policy based on the CSR and ESG Basic Policy to promote human rights initiatives.

1. Corporate responsibility to respect human rights
   The Dainichiseika Group recognizes management that respects human rights as an important corporate responsibility, and will proceed in full awareness of human rights issues with respect to all stakeholders and seek to eliminate human rights violations such as harassment, child labor, and forced labor. We will also strive to avoid any negative impact on human rights, either directly or indirectly.
2. Scope of application
   This policy applies to all officers and employees of the Dainichiseika Group. We expect our business partners to understand and support this policy.
3. Compliance with laws and regulations
   The Dainichiseika Group will comply with the laws and regulations applicable in each country and region in which it operates. Where internationally recognized norms for human rights and the laws and regulations of a particular country or region come into conflict, we will seek ways to abide by the requirements of internationally recognized human rights standards.
4. Human rights due diligence
   The Dainichiseika Group will establish a human rights due diligence mechanism to identify negative impacts on human rights related to its business activities and strive to prevent or mitigate such impacts.
5. Remedy and corrective measures
   If the Dainichiseika Group is found to be directly or indirectly causing or contributing to negative human rights impacts, we will engage in dialogue with the relevant parties and work to remedy the situation through appropriate action.
6. Education
   The Dainichiseika Group will provide appropriate training to its directors and employees to ensure that this policy is understood and effectively implemented in all business activities.
7. Dialogue and consultation
   The Dainichiseika Group will strive to engage in dialogue and discussions with stakeholders with the goal of recognizing and improving the effectiveness of our efforts in the area of respect for human rights.
8. Information disclosure
   The Dainichiseika Group will regularly disclose the state of its human rights efforts on its website and through other channels.

In the context of corporate management, it has grown increasingly important to create value not just with shareholders, but with employees, business partners, customers, creditors, local communities, and other parties. The Dainichiseika group is committed to effective joint efforts with a broad range of stakeholders. In addition, we believe the appropriate distribution of earnings and results generated from created value and improved productivity to these multi-stakeholder groups will lead to the sustainable development not just of the Dainichiseika Group, but the economy as a whole. We will take the following measures while keeping in mind our business partners and the importance of returning profits to our employees.

1. Returns to Employees
   The Dainichiseika Group will strive to achieve sustainable growth and improvement in productivity and focus on maximizing added value through the focused application of management resources in growth areas and employee skills development measures. In addition, based on the resulting profits and results, we will raise wages by means consistent with the Company’s circumstances, in accordance with the fundamental principles on determining wages. Our goal is to continuously return value to our employees by proactively focusing on investment in human assets, thereby enhancing employee engagement and improving productivity.
   The Dainichiseika Group uses the term “human assets” instead of “human resources” based on our understanding and recognition that all people, including employees, are important assets.
   
   Specifically, based on the earnings generated and accounting for rising consumer prices and other factors, we are working to maintain and improve the standard of living for our employees by raising wages appropriately based on full consultations with the labor union. We are also actively promoting investments in human assets as outlined in our Approach to Human Assets Development. Please refer to the following URL for the Approach to Human Assets Development. (Japanese Only)
   
   https://www.daicolor.co.jp/csr/social/human/index.html
2. Consideration for Business Partners
   The Dainichiseika Group will aim to continually comply with the provisions of the Declaration of Partnership Building.
   
   Registration date for the Declaration of Partnership Building
   March 1, 2023
   
   URL for Declaration of Partnership Building (Japanese Only)
   https://www.biz-partnership.jp/declaration/23418-05-08-tokyo.pdf
   
   We will continue to work steadily to address these matters while monitoring the status of our initiatives.

The Dainichiseika Group understands that the growth of a company is based on its people, and the growth of its people is based on the company, and that the relationship between the two is one of mutual improvement. For this reason, we consider the development of "human assets," our assets, to be essential for improving corporate value and one of our important management issues.

Based on the corporate philosophy of “Have an interest in people,” “Have an interest in something new,” and “Have an interest in the future,” the Dainichiseika Group respects the diversity of its employees and their views on work, while sharing a vision in which the company and its employees mutually enhance each other and steadily refine each other to achieve the vision of what they want to be.

The Dainichiseika Group is committed to the following internal environmental improvements to realize our human assets development policy and to become an attractive company, so that each and every employee can fully demonstrate his or her abilities to achieve our companywide goals.

• We support the attitude of self-learning regardless of generation.
• We will undertake appropriate evaluations of and dialogue with our employees regarding their achievements.
• We are committed to creating opportunities for knowledge and cultural exchange within and outside the company.
• We are committed to promoting a personnel system that encourages employees to achieve and contribute to the company.
• We are committed to promoting a personnel system that respects diversity and values and makes the most of our human assets.
• We are committed to promoting a workplace environment and human resource management system that will enable employees to work for a long time.

The Dainichiseika Group believes achieving the sustainable growth targeted in the CSR and ESG Basic Policy will require measures to maintain and promote the physical and mental health of its employees and to establish workplace environments and a corporate culture capable of accommodating a diverse range of workers.

Through the active promotion of health management initiatives to provide employees the opportunity to maximize their potential, we seek to strengthen corporate value and contribute to society based on our business activities.