Accurately Assessing the Current State and Needs of Regional Communities, Promoting Business and International Contribution Activities
In April 2008, MC launched a medium-term management plan called INNOVATION 2009 that has as one of its main aims the acceleration of efforts to tap into global growth. Under this plan, MC began consolidating its strategic planning activities, and appointed a Corporate Global Strategy Officer with responsibility for worldwide strategic planning. This new strategic planning structure was needed in order to respond and adapt to the global business environment that has been in constant flux since the onset of the financial crisis in September 2008. This move is based on the recognition that it is increasingly important to further assess and understand various local issues when developing business from one region to the next, and to be more strategic in how we make business decisions and how we fulfill our overall commitment to the communities where we operate.
As a global business enterprise, MC must think of how it can support the countries and regions where it conducts business over the medium and long terms. MC's business units both in Tokyo and around the world are working in a coordinated and cohesive manner to integrate business strategy and philanthropy in order to more effectively use our core competencies to help solve various local issues. Moving forward, MC will leverage its extensive global network to identify social trends and understand the needs of local communities where we operate, and we will strengthen our CSR policies and philanthropic programs accordingly to make them more effective.
In Western Europe, MC is maintaining and strengthening its core businesses in metals, machinery, chemicals, living essentials and other areas. In Central & Eastern Europe, Turkey, Russia, the Ukraine and elsewhere, meanwhile, we are working hard to discover and develop new projects. Key fields we are concentrating on include solar, wind and other renewable energy, electric vehicles and next-generation batteries.
Furthermore, in addition to social contribution activities carried out by each office to contribute to the region, in 1992 MC established the Mitsubishi Corporation Fund for Europe and Africa (MCFEA). This fund is conducting activities to promote environmental conservation, education and research into the environment, and poverty alleviation. In terms of activities for 2009, MCFEA will provide a grant for two years to support a forest conservation project in Tanzania, and support the Wildfowl and Wetlands Trust (WWT) for one year as part of a major initiative to save the Madagascar Pochard, the world's rarest species of duck. For details of these and other activities of MCFEA, please visit the following website: www.mitsubishicorp.com/gb/en/csr/mcfea.html
Supporting the Permanent Galleries for Japanese Culture at the British Museum (UK)
The British Museum and MC signed a 10-year sponsorship agreement in January 2008 under which MC will be the sole sponsor of the permanent galleries dedicated to Japanese culture*1 in the Museum. The galleries will feature objects from the Museum's extensive Japanese collection, the most comprehensive in Europe. Moreover, for a two-year period from September 2008, Mitsubishi Corporation (UK) Plc. will provide support for a special project manager. This manager will promote various programs related to the permanent galleries and special Japan exhibits, including holding public seminars, academic symposiums, artists' exhibitions and workshops for children.
*1 The Mitsubishi Corporation Japanese Galleries
Besides developing and trading energy resources, we continue to engage in petrochemical, chemical fertilizer and other businesses. With countries in the Middle East introducing new energies as part of their national strategies, we also see opportunities to contribute to regional development in the infrastructure and environmental businesses.
Youth Center Extends a Helping Hand to Disadvantaged Children
MC and leading Egyptian conglomerate Orascom Telecom have teamed up to support a program for helping street children. A signing ceremony for the project was held in September 2008. In the fiscal year ended March 31, 2009, MC donated ¥12 million to help build a youth center and fund educational programs in Egypt, where the issue of street children has become a major social problem. Built alongside the Suez Canal, the new youth center offers one-on-one counseling and brings in specialist social workers to participate in educational programs.
In addition to engaging in commercial transactions in automobiles, general merchandise, foods, chemical raw materials and other products, we are active in infrastructure development, which will be essential to regional growth. We are also focusing on projects that may come to fruition in the future with an eye on securing metals and energy resources. Given the extent of the need for sustainable economic development in Africa, we are also promoting CSR and environmental activities as important aspects of our business strategy in this region.
Regional Contribution in Mozambique
MC is a shareholder in Mozal S.A.R.L (MOZAL)*2, an aluminum smelting company in Mozambique. MOZAL is devoted to giving back to the local community and every year US$5 million from business profits is contributed to Mozal Community Development Trust (MCDT). MCDT supports small businesses, helps build social infrastructure and provides assistance in various areas such as public health, education, sports and cultural initiatives. The education field is a special area of focus and so far MCDT has built 10 elementary schools and 1 junior high school. In December 2008, construction of a schoolhouse for an industrial high school was completed. Activities are continuing with the goal of eventually building industrial high schools in all 10 of Mozambique's provinces.
*2 MOZ AL's shareholders are MC, global resources major BHP Billiton Ltd., the government of Mozambique, and the Industrial Development Corporation of South Africa Ltd.
The U.S. has slipped into recession due to the financial crisis that began in the fall of 2008. However, the Obama administration has moved to rebuild the country, in part, by promoting a green economic development agenda, with increased federal government support for the development of renewable energy and other businesses that address pressing environmental concerns. While establishing a firmer footing in existing businesses, we will focus on developing new business in anticipation of changes that are being implemented to revive and reshape U.S. industry going forward.
In January 2008, Mitsubishi International Corporation (MIC) established the position of Chief Sustainability Officer (CSO) for North America, reflecting MC's overall commitment to conducting business in a more socially and environmentally sustainable manner. Among the activities in the fiscal year ended March 31, 2009, environmental and CSR surveys and SWOT analyses were conducted in all divisions and an internal CSR education program was initiated. In December 2008, MIC also announced a CSR vision for North America. In April 2009, Koichi Komatsu was appointed president of MIC and also took over as CSO. The following June, MIC ran its first-ever CSR education program for senior executives in North America. In addition, employees continue to actively take part in volunteer activities and through Mitsubishi Corporation Foundation for the Americas (MCFA), MIC is supporting environmental conservation programs on an ongoing basis. For more information about the activities of MCFA, please go to the following website: www.mitsubishicorp.com/gb/en/csr/mcfea.html
Support for a Seasonal Exhibition at The New York Botanical Garden
- Kiku: the Art of the Japanese Chrysanthemum -
MIC was a presenting sponsor for two years of a seasonal exhibition displaying the art and beauty of Japanese chrysanthemums at The New York Botanical Garden. This exhibition showcased traditional styles of growing the Japanese chrysanthemum, while also highlighting the artistry of traditional Japanese gardens and bonsai techniques. MIC was instrumental in drumming up support to make the exhibition a success, including soliciting donations from the Japanese business community in New York.
Latin America is blessed with an abundance of metal and energy resources, as well as food resources, and its importance as a source of vital natural resources has been growing. Besides continuing to discover new business opportunities in energy and mineral resource development, we plan to focus on new energy, environment and water-related businesses as well as strategic CSR activities that will help facilitate sustainable development in the region.
Assisting Coffee Plantations in Colombia
As an environmental and CSR activity in the field of agriculture, since 2003 MC has been supporting small coffee bean growers in Colombia in a government-led project intended to promote safe and sustainable livelihoods. MC is providing financial support totaling US$1 million over 10 years to the joint business project involving the office of the Colombian president, the National Federation of Coffee Growers of Colombia (FNC) and regional communities. The funds will be allocated to 2,880 small farming families in 10 cities in 7 provinces for three purposes: increasing quality and productivity; farmer education and training; and environmental protection.
MC is expanding transactions in growing domestic markets in China, exporting competitive Chinese-made products and engaging in other activities in China in cooperation with leading local companies. We are aiming to create businesses in a variety of fields, such as infrastructure, a focus of the Chinese government, as well as medicine, education, the environment, energy conservation and the service industry, to contribute to China's further progress.
Tree-Planting Project in Guizhou, China
The China Green Foundation, one of China's largest NGOs, aims to contribute to environmental conservation through support for afforestation activities on a national level to prevent desertification and soil erosion. It is also contributing to economic development in impoverished areas through the harvesting of fruit trees and other activities. MC donates to projects organized by this foundation. At the end of February 2008, 40 MC staff members from 12 offices across China, including Beijing, Shanghai and Guangzhou, gathered to take part in a greenification project in Kaili, Guizhou, one of the foundation's projects. This was a rare opportunity for the staff members to meet each other, and work together to plant the trees. It was also an opportunity to talk with local government authorities and local residents.
The strength of MC's branches and branch offices in Japan is that they operate on the cutting-edge of business. They leverage this strength to detect developments in regional industries and customers in response to changes in economic conditions, and based on this information work with MC Group companies throughout Japan to better serve customers. In this way, they are strengthening core businesses as well as developing promising fields.
International Student Scholarships
Since 1991, MC has provided scholarships to international students attending Japanese universities (undergraduate and graduate school levels). In the fiscal year ended March 31, 2009, MC provided support to 105 international students. Furthermore, during the year, 18 schools in 12 countries were added to the MC International Scholarship program, which now totals 29 schools in 22 countries. In addition, MC held informal get-togethers with the students at its headquarters and branches in the Kansai, Chubu and Kyushu areas.
Despite the difficult economic environment, we are working to promote infrastructure projects, as well as businesses that target domestic demand in the region, which are relatively strong and still growing. At the same time, we continue to develop the resource and energy fields and are strengthening our hand in new fields such as environment, new energy and agriculture in order to lay down the foundations for future growth. Ongoing efforts to bolster partnerships with important customers are another aspect of our strategy in the region as we seek to develop international contribution activities that align with regional needs.
Supporting Agricultural Development in India
In November 2008, MC began a program through the MS Swaminathan Research Foundation*3 to contribute to the development of agriculture in India. Under the program, which aims to eradicate poverty, improve the living standards of farmers and increase the productivity of agriculture, MC will contribute US$150,000 a year over 5 years to the Foundation. In the fiscal year ended March 31, 2009, MC supported a training development program for ethnic minorities in the Koraput district of Orissa in the eastern part of India, where agriculture is a way of life. Activities for future fiscal years will be decided each year in consultation with the Foundation.
*3 A foundation established in New Delhi in 1988 by Dr. MS Swaminathan, who is referred to as the father of India's "green revolution."
