Environmental Management Environmental Sustainability Report 2004

Harmonious Co-existence with the Society

Contribution to the local environment Kobe Steel's works and plants are contributing to the beautification of local landscapes by participating in clean-up campaigns and other activities. In addition, they contribute to communities through social service activities. Beautification activity of Kinugawa River   Works and plants, Group companies Activities Moka Plant "Tochinoki Club," a group consisting of foremen, Assistant Manager Association, and Teamleader Group, as well as their families and others, undertake the Kinugawa River riverbeds clean-up activity twice a year. Shinko Moka Sohgo Service Ltd. Participates in the Kinugawa River riverbeds clean-up activity twice a year. Saijo Plant Carries out clean-up activities of roads around the plant every month. Shinko Bolt, Ltd. Shinko Kohan Kako, Ltd. Participate in community clean-up activities in Ichikawa City twice a year at 79 locations. Genesis Technology Inc. Carries out beautification activities around each plant in Nishiwaki, Tokorozawa, and Oita twice a year. Shinko Engineering Co., Ltd. Carries out beautification activities around the office and the plant twice a year. Shinko Electric Co., Ltd. The Toyohashi Plant carries out beautification activities around the plant twice a year. Kobe Special Tube Co., Ltd. Implements clean-up activities of green zones around the plant every month. Kobe Citizens' Commendation "Flower Clock Prize" awarded. The Foreman Group, Assistant Manager Association and QC Circle Chief Group of Kobe Works pool their cash rewards received for accomplishments at work and proceeds from bazaars at athletic meets and donate them to child-care institutions in Kobe every year at Christmas. The activity which has been carried out for 26 years received the Kobe Citizens’ Commendation Flower Clock Prize, an awardgiven to social welfare and social service activities undertaken by Kobe citizens. Supporting local environmental activities Kobe Steel established the Kobelco Natural Environment Conservation Fund and the Kobelco Environment Creation Fund in April 2001, to support people involved in activities to conserve the natural environment. Our environmental preservation activities attach importance to various technical approaches that transcend conventional business segment boundaries within the Kobe Steel Group and activities at the popular level. Kobe Steel will continue to support wide-ranging activities that contribute to a society. Forest protection activity   Name Kobelco Natural Environment Conservation Fund Kobelco Environment Creation Fund Target Community-based environmental preservation activities by local residents Relatively large-scale environmental preservation activities with great potential and great contribution to the environment Activities in fiscal 2003 Supported a total of 25 environmental conservation activities including nature observation, tree planting and afforestation activities, environmental education, and survey of acid rain and ecology. (1) Forest conservation and recovery support project (2) Support for refurbishment of wind power generation facilities for illumination in Shishoyama and Ikariyama, Kobe Providing facilities for the community Shinko Kobe Power Station opened an educational facility for the community called Nadahama Science Square within the premises of Kobe Works on April 1, 2004. This interactive center is a museum of steelmaking, power generation, energy, and the environment. Construction began in November 2002 at a cost of roughly 1.4 billion yen. Nadahama Science Square has a biotope where insects and wild birds gather and wind power generation facilities are installed, with photovoltaic panels located on the rooftop. The facility is primarily intended for elementary and junior high school children, and the 30 exhibits in seven cornershelp visitors experience the joy and wonders of science and technology by watching, touching and experiencing. The most popular corner is the "Ride Machine" where you can virtually experience steelmaking and power generation through projected images and vibration. Together with the adjoining Nadahama Garden Baden and Nadahama Sports Zone, Nadahama Science Square serves as a community center for local residents. Nadahama Science Square (in Japanese only): http://www.kobelco.co.jp/nadahama/science/ Nadahama Garden Baden (in Japanese only): http://www.kobelco.co.jp/nadahama/garden/ Nadahama Sport Zone (in Japanese only): http://www.kobelco.co.jp/nadahama/sports/ Nadahama Science Square Nadahama Science Square Interchange with the community To introduce Kobe Steel's business operation and environmental efforts and to show how energy-saving and recycling are important, our works and plants have expanded their communication with local communities by organizing facility tours and holding open houses for the public on specific days. Furthermore, our works and plants are actively striving to communicate with local communities through environmental events. A record-high of 130,000 people visited Kakogawa Works for the 13th Shinko Kakogawa Festival held in October 2003. Kakogawa was opened to the public, and refreshment booths were set up by local neighborhood associations and groups, or Kobe Steel’s employees. Various events by public institutions including the Kobe customs house. Citizens participated in talent shows and enjoyed a plant tour of Kakogawa Works. , In addition, the Ibaraki Plant opens its playing field to youth baseball teams every weekend. At the 14th Kakogawa Two-day March, 1,692 people passed through Kakogawa Works. This activity began as the 40th Anniversary Commemorative Project in 1990, where people walk 10-40 km courses set in Kakogawa City while having close contact with nature. Part of the 30-km and 40-km walking courses is set within the premises of Kakogawa Works. The 13th Shinko Kakogawa Festival Playing field of Ibaraki Plant Participants walking Kakogawa Works 2003 Hyogo-Prefecture Eco-friendly Business Prize Kobelco Eco-Solutions was awarded this prize in recognition of its activities such as fluorescent ligh recycling and household eco-bookkeeping. Fluorescent lamp recycling plant Kobe Wing Stadum wins 18th Kobe Landscape Point Prize Kobe Wing Stadium Co., Ltd. which operates Kobe Wing Stadium where the Kobelco Steelers won the first championship of the Japan Rugby Top League in January 2004, was established by Kobe Steel and Obayashi Corporation. Kobe Wing Stadium Greening of Works and Plants To improve the quality of the surrounding environment and contribute to the absorption of CO2 in the air, Kobe Steel's works and plants are building green zones around the facilities and growing plants on their premises. Greening of plant International Cooperation Kobe Steel is promoting a large number of international cooperation initiatives including global warming prevention projects such as afforestation projects. We have also brought in technical trainees from Russia, Middle East, Mongolia, China, Southeast Asia and other parts of the world for technical training in the fields of water and air pollution prevention, energy-savings and environmental analysis. Those sessions also provided trainees with opportunities for international exchanges. . Kobe Steel group companies are also promoting cooperation capitalizing on their strengths. Shinko Research, for example, has decided to cooperate with the Department of Environmental Science and Engineering at Tsinghua University (Beijing, China) in academic research and other activities related to the environment. Trainees from Russia On-site technical training Aluminum can collection and recycling As Japan's largest producer of rolled aluminum products, Kobe Steel launched the Shinko Aluminum Can Back program in 1990 at all divisions, offices, works and plants. The quantity of aluminum cans recovered has been decreasing since 1998 as the local government recycling system gains popularity, but in fiscal 2003, about 12.4 million cans were collected, and the cumulative total up to fiscal 2003 has exceeded 240 million cans. Kobe Steel contributes to resource recycling by continuing these efforts. Aluminum can collection