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Support Programs in Areas Affected by the Great East Japan Earthquake2011

We would like to express our deepest sympathies to those affected by the Great East Japan Earthquake and pray for the earliest possible restoration of the affected areas. The KOSÉ Group will continue to extend its support to the Tohoku region.

[Activities to support the affected areas using our major brands] October 20, 2011
KOSÉ donates a portion of the sales of its major brands to support the affected areas.

We will launch a two-month Cosme Decorte campaign starting on November 1 to support a desert greening project in China’s Inner Mongolia Autonomous Region. The Cosme Decorte products included in this campaign are four varieties of three product items, including Moisture Liposome (cosmetic lotion), one of our key products. Every time one of these items is sold, we will donate the amount of money needed for greening one square meter of the Horqin Desert. In Japan, the same amount of money will also be donated to the “Midori-no Bokin” (“Afforestation Fundraising Campaign”) promoted by the National Land Afforestation Promotion Organization (Chiyoda-ku, Tokyo) to be used for restoration activities in the earthquake-struck Tohoku region.

Details are here. (KOSÉ’s news release) [PDF](JP)

[Activities to support the affected areas] October 6, 2011
KOSÉ joins the EXILE Rising Sun Project as part of its efforts to support the affected areas.

The project was launched on October 1 jointly by EXILE and a group of companies to send positive messages to post-disaster Japan. All the royalties from “Rising Sun,” a charity song released on September 14 with a message of hope for the restoration of the disaster-affected areas, will be donated for the purpose of post-disaster recovery in the region.

KOSÉ offers its “adidas skin protection” product to support this project.

EXILE Riging Sun Project (JP)

[Activities to support the affected areas using our major brands] September 9, 2011
KOSÉ donates a portion of the sales of its major brands to support the recovery of disaster-affected areas.

We will launch a disaster recovery assistance campaign on November 16, 2011, under which we will donate a portion of the sales of “Vital Spirits EX Special Limited Set,” one of the signature serum products sold under the Predia brand, to the region affected by the Great East Japan Earthquake. This product has printed on it a specially designed “disaster recovery assistance barcode” in place of the ordinary one. It is our hope that we can develop and expand a network of warm-hearted support through our products to encourage people in the affected region.

[Activities to support the affected areas using our major brands] July 27, 2011
KOSÉ donates a portion of the sales of its major brands to support the recovery of disaster-affected areas.

KOSÉ has organized the “SAVE the BLUE” campaign since 2009 as part of its nature conservation activities. Every time a designated SEKKISEI product is sold, we donate the amount of money required to plant coral of an area equivalent to the base of the product container to a local organization in Okinawa. This organization cultivates coral with the aim of expanding coral forests. This fiscal year, in addition to activities in previous years, we will donate the same amount of money as we donate for coral planting to the disaster-affected areas for the purpose of improving and restoring the marine environment in the region following the disaster as well as supporting children affected by the Great East Japan Earthquake.

SAVE the BLUE (JP) Campaign period: July 1 (Friday) to August 31 (Wednesday), 2011

KOSÉ has launched a dedicated website called the “ENERGY OF KISS PROJECT” under its Esprique brand to invite customers to send messages of encouragement to people in the region affected by the Great East Japan Earthquake. We will also donate relief money, the amount of which will be determined by the number of encouragement messages we receive, to the affected region to be used to support recovery activities and affected people.

[Efforts to reduce electricity consumption in summer] June 21, 2011

To respond to the electricity shortage over summer, the KOSÉ Group will strengthen its efforts to reduce power consumption at its sites within the service areas of the Tokyo Electric Power Company. During about three months from July to September in 2011, we aim to reduce power consumption by at least 15% compared with the previous year. The details of efforts at each site are as shown below:

Sites Specific efforts
Head Office
(Chuo-ku, Tokyo)

Electricity saving efforts at the office

Some of the floors will be closed to reduce the number of areas using air-conditioning and lighting in order to cut our power consumption. On other floors, lighting will be reduced, the setting of computers to energy saving mode will be encouraged, and air conditioner thermostats will be set to 28°C.

Research sites
(Kita-ku, Tokyo, etc.)

Electricity saving efforts at research sites

Times when utilities and laboratories can be used will be limited to reduce power consumption during peak times.

Monitoring of electricity use

A control system will be installed at air conditioners’ outdoor units to constantly monitor electricity use in order to reduce electricity consumption.

Electricity saving efforts at the office

The use of electrical appliances will be partially restricted and florescent tubes will be partially removed or replaced by LED lamps to reduce power consumption.

Manufacturing sites
(Sayama City in Saitama, Isesaki City in Gunma, etc.)

Electricity saving efforts at manufacturing sites

At some buildings, holidays will be set on a rotating basis between them and/or they will be operated on Saturdays and Sundays instead of weekdays in order to even out electricity consumption.
Operating hours on weekdays will be shifted to earlier in the day or later at night to reduce power consumption during peak times.

Use of private power generation and monitoring of electricity use

Private power generation will be temporarily used to reduce power consumption.
A demand controller (power monitoring device) will be applied to identify electricity use in order to effectively reduce power consumption during peak times.

Electricity saving efforts at the office

Some of the buildings will be closed and workers will be allocated to other buildings on the same premises to reduce the number of areas using air-conditioning and lighting with the aim of cutting power consumption.
Lighting will be reduced, the setting of computers to energy saving mode will be encouraged, and air conditioner thermostats will be set to 28°C to reduce power consumption.
Some of the vending machines will be turned off to help reduce power consumption.

Efforts will also be made to raise employees’ awareness of power saving, including the distribution of stickers that encourage power saving at home.

[Relief goods and assistance to disaster-affected people <Report III>] April 1, 2011
Relief goods

  1. On March 30, we completed the preparation of relief goods, consisting of a total of 38,000 items of moisturizing skin care products that are in high demand at the affected areas (namely, 13,000 pieces of sample products, such as serum, lotion and emulsion in mini sizes, along with 25,000 boxes of cotton and tissues). We will start delivering these items directly to people living in the affected areas on April 4 via local cosmetic distributors.
  2. On March 30, in response to a change in needs in the affected areas, we completed preparations to offer a total of 10,000 everyday items (shampoo and body soap) as part of our cooperation with the government’s collective purchase program.

[Impact of the Great East Japan Earthquake (follow-up report) <IR Release>] April 1, 2011
We would like to express our deepest sympathies to those affected by the Great East Japan Earthquake.

We reported the impact of the earthquake on our company in the release dated March 15. The following is the most recent update.。

1. Damage, etc.

(1) Tohoku Distribution Center

The delivery of products affected by the damage to Tohoku Distribution Center (Sukagawa City, Fukushima) has mostly been normalized since March 28, excluding some districts.

(2) Manufacturing activities

At factories in Saitama and Gunma, while manufacturing activities have been affected by planned power outages and other emergency measures, we are trying to minimize the impact by applying various measures, such as implementing a flexible shift work schedule.

2. Impact on business performance

The investigation into the impact of the earthquake on our business performance is still ongoing. We will make immediate announcements as relevant important information becomes available.

[Safety of cosmetics and other beauty products made by our company] March 31, 2011

On March 30, the Japan Cosmetic Industry Association announced that cosmetics and other beauty products are safe to use after the accident at the Fukushima Daiichi Nuclear Power Station. Our company’s products are also safe to use.

[Relief goods and assistance to disaster-affected people <Report II>] March 30, 2011

1. Monetary donation

We donated 100 million yen to the Japanese Red Cross Society on March 25.

2. Relief goods

On March 18, we started to supply some relief goods, such as body wipes, on an as-needed basis.

[Establishment of the Disaster Response Headquarters] March 30, 2011

In response to the Great East Japan Earthquake, we have established a Disaster Response Headquarters. Kazutoshi Kobayashi, the President of KOSÉ Corporation, will serve as its director and managers of relevant departments will be involved in its operation. The objective of the headquarters is to address business continuity issues and other emergency issues promptly and accurately while continuing our support efforts for the affected areas from various perspectives as part of our corporate responsibility.

[Confirmation of the safety of all employees] March 30, 2011

On March 16, we confirmed the safety of all employees of KOSÉ Corporation and all of its Group companies.

[Relief goods and assistance to disaster-affected people <Report I>] March 15, 2011

We would like to express our deepest sympathies to those affected by the Great East Japan Earthquake and pray that people in the affected areas can resume their normal pre-disaster lives as early as possible.
The following describes our support efforts, made with the hope of being of some help to affected people.

1. Monetary donation

100 million yen

2. Relief goods

Taking account of actual needs, we are donating products (300,000 items in total) that will help disaster-affected people maintain their facial and bodily hygiene and comfort.

[Details]

  • Body wipes (economy-size and portable-size): 150,000 pieces in total
  • Facial wipes (economy-size and portable-size): 100,000 pieces in total
  • Lip cream: 50,000 units

We will continue to offer various support programs, taking into account the circumstances in the affected areas.
We will also focus our efforts on power saving in all business activities in view of the power shortage due to the earthquake.

[Impact of the Great East Japan Earthquake <IR Release>] March 15, 2011

We would like to express our deepest sympathies to those affected by the Great East Japan Earthquake, which occurred on March 11, 2011. The following describes the impact of the earthquake on our company.

1. Damage, etc.

(1) Sales offices

Some sales office buildings were mildly damaged.

(2) Manufacturing and logistics sites

Buildings and facilities belonging to Tohoku Distribution Center were partially damaged and the delivery of products has been affected due to product breakages. There is no damage to manufacturing facilities that will have any significant impact on production. We are discussing a production plan, including how to address planned power outages.

2. Impact on business performance

The investigation into the impact of the earthquake on our business performance is ongoing. We will make immediate announcements as relevant important information becomes available.

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