Efforts toward Compliance

FUKOKU Group Basic Policy on Sustainability

FUKOKU Group regards contributing to the realization of a sustainable society by responding to various issues regarding the global environment and society as one of the most important management matters, and engages in business activities through the following three pillars.

１） Considering the environment and ensuring compliance
We value the global environment and provide products and services that realize high quality, long life, energy saving, and resource saving. We promote business activities that emphasize compliance, including compliance with the laws and regulations of each country, consideration for human rights, respect for the traditions and cultures of each country, ensuring diversity, fair and healthy working conditions, and personal information protection.

２） Building a relationship of mutual trust with stakeholders
We aim to be a trusted company by striving to disclose accurate and clear information, confirming the expectations and requests of our stakeholders, including our customers, business partners, employees, shareholders, and local communities, for the FUKOKU Group through interactive dialogue with them, and putting their expectations and requests into practice.

３） Fostering a corporate culture that promotes sustainability
Under the leadership of top management, we continue educating and enlightening all Group employees to promote sustainability while also gathering the wisdom of each and every individual to take on the challenge of creating new value.

September 2023
Ikuo Oshiro
President & CEO
FUKOKU Co., Ltd.

Environmental Policy

Harmony with the Global Environment

To protect our Earth from environmental destruction, each and every one of our employees will be mindful of the environment in their actions and fulfill our corporate social responsibility.

As a manufacturer specializing in the production and sale of industrial rubber products, FUKOKU has built and is operating its own environmental management systems. Through environmental management activities based on the following policy, we will aim to achieve harmony with the local community and the global environment.

1. FUKOKU’s environmental management system applies to the design, development, and manufacturing activities for industrial rubber products, plastic products, and ultrasonic motors.

2. We will comply with laws, regulations, agreements, and the requirements, etc. of interested parties related to the environment and strive for the prevention of environmental pollution.

3. We will strive to contribute to a low-carbon society by promoting energy conservation and to a recycling-oriented society by promoting resources conservation and reducing waste.

4. As much as possible, we will abolish and reduce substances that place a burden on the environment, such as global-warming substances, ozone-depleting substances, and hazardous substances in our equipment and the raw materials and secondary materials we use, and convert to alternatives, in our efforts to reduce our environmental footprint and to protect biodiversity and ecosystems.

5. We will determine and adhere to our compliance obligations (laws and regulations, standards, guidelines, etc.).

6. To achieve this policy, all divisions will, as far as technologically and economically possible, set, implement, and review their objectives and targets for the above activities in their environmental programs, and strive for the continuous improvement and enhancement of their environmental performance and the environmental management systems.

7. We will communicate this policy to all employees and strive to raise their awareness of the environment. We will also convey it to all interested parties and request their understanding and cooperation.

This environmental policy will be disclosed outside the Company.

April 1, 2020
FUKOKU Co., Ltd.

Basic Policy on Information Security

Fukoku Group (hereinafter referred to as "our company") is committed to protecting its information assets from threats such as accidents, disasters, and crimes. To earn the trust of our customers and society, our company will implement company-wide information security management based on the following policies.

1) Management's responsibility
Our company strives to improve and enhance information security systematically and continuously under the leadership of management.

2) Establishing an Internal Framework
Our company establishes an organizational structure to maintain and improve information security and define information security measures as official internal regulations.

3) Employee initiatives
Our employees acquire the necessary knowledge and skills for information security and ensure their commitment to maintaining it.

4) Compliance with Legal and Contractual Requirements
Our company complies with laws, regulations, norms, and contractual obligations related to information security while meeting customer expectations.

5) Response to Violations and Incidents
In the event of legal or contractual violations or incidents related to information security, our company responds appropriately and strive to prevent recurrence.

June 2023
Fukoku Co., Ltd.

Basic Policy on Financial Reporting

Fukoku Co., Ltd. and its group companies (hereinafter referred to as ""our Group"") aim to achieve sustainable growth through the practice of sound corporate management. To ensure the reliability of financial reporting and provide timely, sufficient, and appropriate disclosures, we have established the following four policies:"

1) Compliance-Oriented Accounting Practices and Proper Disclosure

Our Group recognizes that compliance and the reliability of reporting are vital to sound corporate management and that establishing a system to ensure this is essential. Therefore, we develop regulations and accounting procedures in accordance with fair and proper accounting standards. Additionally, we build a foundation that enables timely reporting and disclosure of financial information that accurately reflects the company’s financial condition and business performance to all stakeholders. This is achieved by ensuring that all employees understand the rules and perform their duties with integrity."

2) Establishing a System to Ensure Reliable Financial Reporting

Our Group ensures the reliability of financial reporting by effectively functioning governance mechanisms, including the Board of Directors, clarifying the appropriate organizational structure and the division of responsibilities, and placing personnel with the necessary skills. Furthermore, all employees are aware that every operation contributes to financial reporting and recognize their role in preparing accurate financial reports."

3) Timely and Appropriate Information Communication and Risk Management

Our Group establishes and operates mechanisms to accurately and promptly communicate information, both internal and external, that may affect financial conditions and business performance throughout the organization. We clarify responsibilities and systems for information management. Moreover, all employees understand the importance of risk management, promptly identify and communicate information that could undermine the reliability of financial reporting, and sincerely engage in risk reduction and prevention."

4) Development and Operation of an Effective Internal Control System

Our Group defines the internal control system necessary for reliable financial reporting in the "Basic Policy on Internal Control over Financial Reporting," and establishes an effective system, including the relevant IT infrastructure. We regularly evaluate the status of the Group's internal controls. If any deficiencies in the effectiveness of internal controls arise, all relevant employees promptly undertake corrective and improvement measures."

May 2024
Fukoku Co., Ltd.

Basic Policy on Compliance

Major Compliance Initiatives

Viewing compliance as an issue that is directly related to the sustainable growth of the Group and to the enhancement of corporate value, we are engaged in a variety of initiatives.

Compliance Committee (Chaired by President & CEO)
Compliance education (following the FUKOKU Group Employee Conduct Guidelines and Compliance Guidebook)
Establishment of whistleblowing contact point (reporting to and consultation with outsourced organization)

FUKOKU Group Employee Code of Conduct / Compliance Guidebook

The FUKOKU Group established the Employee Code of Conduct while sharing the Compliance Guide book groupwide to develop the understanding of compliance. With the aim of becoming a company gainning trust and empathy from the society, each and every employee is committed to fair and appropriate execution of the business through the observation of the Code of Conduct in their daily activities.