Toagosei Co., Ltd. 15 We have launched a number of highperformance nursing care products on the market. Aron Kasei has developed a centralized drainage system for single-family houses in which wastewater from the kitchen, washbasin, and bath is channeled through one pipe under the floor of the house. This reduces labor costs associated with installation as well as maintenance, and improves the system’s efficiency. Current Medium-Term Management Plan Developments are on target under current medium-term management plan, which commenced in January 2008. Our four priority product fields are: 1) products for use in water supply systems and sewer systems, 2) nursing care products, 3) elastomers, and 4) products for use in environmental preservation systems. We are aiming to expand our business operations in all four fields. In the water supply and sewer systems field, sewer-use products have been our main-earner category hitherto, but we are now focusing efforts on marketing products for the residential water supply and drainage systems markets. In the growing field of nursing care products, we are expanding our lineup with the goal of becoming a comprehensive maker of care-related products. Regarding elastomers, we are working to develop wider applications, and are planning to open up opportunities for the sale of high-performance elastomer products to makers of medical equipment, IT equipment, and motor vehicles. New business ventures we are looking at include the greenery business, in which we are investing actively with the aim of early commercialization. Also, in the fields of water supply and sewer systems, and environmental preservation, Aron Kasei aims to achieve further expansion by leveraging synergy with the operations of Mikuni Plastics. Future Business Developments At Aron Kasei, we are placing priority on the following four initiatives as part of measures under the current medium-term management plan, as well as a special project aimed at reinforcing our strengths as a manufacturing enterprise. The first initiative is to raise our product quality levels. To achieve this, we are focusing on improving our levels of technological expertise, our intellectual property management, and our quality assurance systems. We are investing aggressively in the hiring of promising new employees, as well as in the acquisition of new technologies. The second initiative is to raise efficiency within all units of the company, and to simultaneously cut costs to produce a more profitable business structure. The third initiative is to realize synergy between the operations of Aron Kasei and those of our new subsidiary Mikuni Plastics, as well as to investigate promising opportunities for collaboration with other corporations outside the Toagosei Group. Finally, the fourth initiative is to put greater stress on internal control and compliance, and to raise employee awareness of the need to realize an adequate level of customer satisfaction. We will uncompromisingly address these issues to realize corporate growth with a firm emphasis on profitability. Pipes & Couplings: Rigid PVC pipes Environmental Products: Trash receptacles Nursing Care Products: Portable toilets, nursing care bath products and others Main Products and Application