Operations and Analysis 2015 Awards and recognition 2015 JT DJSI Dow Jones Sustainability Asia/Pacific Index www.sustainability-indices.com2014 2 www.morningstar.co.jp/sri 44 JT 016 JAPAN TOBACCO INC. ANNUAL REPORT 2015
Operations & Analysis Industry Overview 017 021 040 044 JT Electronic Cigarette e-cigarette Vapor e-cigarette e-cigarette 4 T-VaporHeat-not-Burn e-cigarettet-vapor 5.6 40% 2015 * % 2011 2012 2013 2014 2015 Philip Morris International Inc. 25.3 25.8 25.8 25.5 25.3 2015* * * JT2016 72015 British American Tobacco Plc. 18.5 18.4 18.6 18.4 18.6 Japan Tobacco Inc. 15.6 16.0 16.3 15.8 15.2 Imperial Tobacco Group Plc.** 8.8 8.8 8.6 8.5 8.6 JT2016 72015 ** 2016 2Imperial Brands Excluding China National Tobacco Corp (CNTC) 10 2011 2012 2013 2014 2015 24,062 24,616 24,905 25,495 24,895 3,751 3,708 3,463 3,162 2,959 3,006 2,927 2,795 2,706 2,695 1,918 2,031 2,212 2,389 2,484 1,959 1,974 1,941 1,862 1,823 912 953 917 947 1,049 974 1,025 867 949 903 1,028 1,021 1,009 959 881 845 834 796 803 800 733 710 734 761 790 JT2016 72015 Excluding China National Tobacco Corp (CNTC) JAPAN TOBACCO INC. ANNUAL REPORT 2015 017 XX
Industry Overview continued EU 2017 5 JT ** 4 32* M&A ** 2016 2Imperial Brands * JT2016 72015 10 2011 2012 2013 2014 2015 Marlboro Philip Morris International Inc. Altria Group Inc. 4,108 4,141 3,959 3,914 3,925 Winston Japan Tobacco Inc. Reynolds American Inc.*** 1,224 1,302 1,359 1,279 1,302 Pall Mall British American Tobacco Plc. Reynolds American Inc. 1,010 1,016 1,048 1,091 1,083 L&M Philip Morris International Inc. Altria Group Inc. 873 881 895 890 924 MEVIUS Japan Tobacco Inc. 812 844 837 791 773 Camel Japan Tobacco Inc. Reynolds American Inc. 621 618 615 653 691 Gudang Garam Gudang Garam Tbk PT. 505 550 575 610 625 Kent British American Tobacco Plc. 602 636 618 602 620 Dunhill British American Tobacco Plc. 471 470 515 528 557 Gold Flake ITC Ltd. British American Tobacco Plc. 590 619 606 529 499 JT2016 72015 ; *** 2015Imperial Tobacco Group Plc. Excluding China National Tobacco Corp (CNTC) 018 JAPAN TOBACCO INC. ANNUAL REPORT 2015
Operations & Analysis 20141 572 2015 IMS Health 地域別売上高 (2014) 世界の医薬品市場 ( 億米ドル ) 北米 38.0% 欧州 25.3% 中国 10.3% 日本 8.3% その他 18.1% 出典 :2015 IMS Health 8,882 9,644 9,679 9,935 10,572 2010 2011 2012 2013 2014 出典 :2015 IMS Health 38% 25% 8% 2015 IMS Health 21 2014 4 5.6% JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 019
Industry Overview continued 日本の冷凍食品消費金額 ( 億円 ) 8,328 8,593 8,992 9,771 9,837 2010 2011 2012 2013 2014 冷凍食品メーカー別シェア (2014) 2014 0.7%9,837 ニチレイ 22.1% マルハニチロ 19.6% テーブルマーク 11.8% 味の素 11.0% 日本水産 8.1% その他 27.4% 出典 : 日経産業新聞 020 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis Review of Operations R&D Emerging Product GFB JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 021
Review of Operations continued 2015 2015 12 31 Thomas A. McCoy President and Chief Executive Officer, JTI 2015JTI 1 5 JT JTI Emerging Products 2015 Value JTI 90 120 Emerging Products e-cigarette US E-LitesLogic 2016 2015 9% 3,939 1.0% GFB 2,736 + 4.3% JTI Value Winston LD Global Flagship Brand GFB GFB Gallaher No. 1 Seeding JTI JT JT 4S Strategic Growth Agenda Strategic Growth Agenda 3 Emerging Markets Emerging Products 10,338 US$ 13.2% + 7.0% 3,257 US$ 23.4% + 10.8% 022 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis 2015 業 & 1.0% 3,939 Fine Cut 13.1% South & West Europe North & Central Europe Rest-of-the-World CIS+ GFB Winston Camel LD Benson & Hedges Sobranie 4.3% 2,736 GFB 3.6ppt 69.5% CIS+ JTI GFB 7 0.1ppt 21.3% GFB 1.2ppt 17.8% Fine Cut GFB 21.4% 16.2% 1,000 百万 GFB 7.0% South & West Europe55 百万 North & Central Europe178 百万 CIS+Rest-of-the- World628 百万 136 百万 10.8% South & West Europe 調整後営業利益 ( 百万 US$) クラスター別の内訳 32% 33% 39% 総販売数量 27% 33% 22% 13% 16% 18% 16% 自社たばこ製品調整後売上収益営業利益 ( 財務報告ベース )( 財務報告ベース ) North & Central Europe CIS+ Rest-of-the-World 2015 2015 Emerging Products GFB GFB Winston No. 2 No. 3 Camel No. 1 LD +10.8% 23.4% 20% Rest-ofthe-World CIS+ 31% North & Central Europe South & West Europe South & West Europe North & Central Europe CIS+ Rest-of- the- World Total JTI 632 530 1,525 1,252 3,939 4,253 211 +973 304 4,712 1,455 3,257 GFB 558 305 1,133 740 2,736 2014 reported Volume Price/ Mix Other 2015 at constant currency FX 2015 reported JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 023
Review of Operations continued 2015 2015 12 31 No. 3 No. 1 Amber Leaf No. 1 Sterling2007 Emerging Products Logic R&D / JTI26,000 35 Top Employer Global certification 2015 2016 Top Employer 2016JTI No. 1No. 2 2015 JTI No. 1 JTI7 3 2015 Emerging Products Ploom Logic 2002 JTI PARS Arian Tobacco Industry ATI ATI Value Premium Mid-Price JTI PARS ATI Natural American Spirit Premium Fine Cut 13 NAS GFB 2016 JTI 2016 CIS+ 2016 2015 GFB Natural American Spirit GFB 2016 JTI Emerging Products 2015 JTIJT 024 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 JT
Operations & Analysis JT Global Flagship Brands (GFB) Portfolio GFB JTI8 GFB Global sales 1,321 1954Winston JTI 2007 2 120 Winston 2 Winston Core Winston XS Winston Core Firm Tech Winston XS Winston Filter King Size Super Slim 1 2015 JTI Winston Winston 1.9% 40 13 20 26 10 Fine Cut 39.4% Winston JTI 40 0.3ppt 9.1% 2 23 No. 2 Fine Cut Global sales 509 1913 Camel Creativity 88 JTI Premium 5 2015 Camel 500 9.7% Fine Cut23% Camel JTI 40 0.5ppt3.2% 2015 Camel Curve 35 2 Camel Activate Double 15 Dual Capsule JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 025
JT Global Flagship Brands (GFB) Portfolio continued Global sales 171 Global sales 495 1977Mild Seven2013 MEVIUS 1 30% 2015 MEVIUS 171 0.1pptJTI40 0.7% 22.3% No. 1 60% LD 1999 ValueNo. 2 2007 LD JTI 2015 8 46Fine Cut 2015LD 495 LD Club CompactCIS+ 12 JTI40 0.4ppt 3.3% Global sales 121 Global sales 64 1873 Benson & Hedges 2015 Fine Cut 10.9% 121 JTI 40 0.1ppt0.7% 2005 Glamour JTI 2015 10.3%64 Global sales 27 Global sales 27 1964 Silk Cut 1970 2015 7.0%27 Sobranie 1879 2015 4.5% 27 026 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis JT Other Tobacco Products Portfolio Fine Cut JTI Fine Cut Fine Cut Roll-your-own Make-yourown 2015 Fine Cut 13.1% GFB Fine Cut 30.8% WinstonCamelBenson & Hedges LD 2015 2.0ppt 20.8% Shisha JTI 2013 3 2015 18,300 Amber Leaf SterlingOld Holborn Amber Leaf Fleur du Pays JTI Fine Cut 1 2 Fine Cut 13.1% 18,300 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 027
Emerging products 2015 Logic 2 JT Emerging Product R&D 028 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Special feature E-Vapor 2014 Zandera E-Lites Curv Logice-cigarette JT3 e-cigarette Logic Pro closed tank JT closed tank e-cigarette Number 3 e-cigarette company in the USA Tobacco-Vapor 2015 2JT Ploom Ploom TECH JT Ploom TECH Ploom TECH A new journey begins JT JAPAN TOBACCO INC. ANNUAL REPORT 2015 029
Review of Operations continued 2015 年度 ( 2015 年 12 月 31 年度 ) 本 JT 2015 1,823 JT 10 9 60% 2014 年 4 月 MEVIUS() 2015 年 Caster Cabin Winston () MEVIUS 販売数量 / 2015 年 年 2.8%1,092 億本 年 1.2%6,422 億 年 年 6.4%2,541 億 1,092 ( 億本 ) 2.8% 年 6,422 ( 億 ) 1.2% 年 2,541 ( 億 ) + 6.4% 年 販売数量 ( 億本 ) 自社たばこ製品売上収益 ( 億円 ) 調整後営業利益 ( 億円 ) 2.8% 1.2% +6.4% 1,124 1,092 6,498 6,422 2,387 2,541 2014 年 1-12 月 2015 年度 2014 年 1-12 月 2015 年度 2014 年 1-12 月 2015 年度 030 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis MEVIUS 2015 59.9% 0.4ppt JT MEVIUS のシェア推移 (%) 60.0 59.9 60.0 59.7 60.1 31.9 32.1 32.3 31.9 32.0 2014 10-12 月 JT MEVIUS 2015 1-3 月 2015 4-6 月 2015 7-9 月 2015 10-12 月 MEVIUS 2015 8 Winston 2.8% JT MEVIUS 2016 1 Natural American Spirit 2 MEVIUS Winston 2016 Ploom TECH JT JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 031
JT 2013 2 No. 1* 197830 2016 2 35 * * 1954 2 2015 3 2016 2 26 1969 2016 2 19 1982 1996 2016 2 8* * 032 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis Ploom TECH Ploom TECH Tobacco- Vapor JTVapor Emerging Product JT JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 033
Review of Operations continued 2015 2015 12 31 ElvitegravirHIV E/C/F/TAF Genvoya Trametinib dabrafenib 2015 9 Stribild 2015 12 98 TO-206 50 2015 12 756 + 98 23 + 50 売上収益 ( 億円 ) 調整後営業利益 ( 億円 ) +98 +50 23 658 756 73 2014 年 1-12 月 2015 年度 2014 年 1-12 月 2015 年度 034 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis ISO14001 MR MR MR 512MR MR MR JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 035
Review of Operations continued 2016 2 4 JTK-303 HIV HIV 2 HIV HIV JTT-851 2 GPR40 JTZ-951 HIF-PHD HIF-PHD JTE-052 JTE-051 JTE-151 JAK ITK ROR JAK T Th17ROR JTT-251 2 PDHK PDH JTK-351 HIV HIV trametinib Novartis MEK MEK ICOS MedImmune ICOS T ICOS JTE-052 LEO Pharma JAK JAK 036 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis Phase 1 Phase 2 Phase 3 JTK-303 3 Gilead Sciences Gilead Sciences Phase 2 Phase 2 Phase 2 Phase 1 Phase 2 Phase 1 Phase 1 Phase 1 Phase 1 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 037
Review of Operations continued 2015 2015 12 31 2010 * * 47 13 1,658 + 47 27 + 13 売上収益 ( 億円 ) 調整後営業利益 ( 億円 ) +47 +13 1,612 1,658 27 14 2014 年 1-12 月 2015 年度 2014 年 1-12 月 2015 年度 038 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis HACCPISO22000 FSSC22000 ISO22000 FSSC22000HACCP 31 ISO22000 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 039
Risk Factors JT CIS 1. JT 2. 040 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis JT 2007JTJT International Holding B.V. JT International S.A.EU26 EU 2009 EU 155 50 10 15 2010JTJTI-Macdonald Corp. 3. JT 62 4. JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 041
Risk Factors continued 5. JT 6. RJR 2015 12 3120 65 7. JT JT 042 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度
Operations & Analysis 8. JT 9. JT JT JT International Holding B.V. JT JT RJR JT 1985 1987 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度 043
JT Group and Sustainability JT JT4S4S 4 4S 2015 JT JT FY2014FY2015 2016 6FY2015GRI G4 JTGRI G4 www.jti.co.jp/csr/report/index.html Contents Our sustainability journey In focus: respecting human rights Our tobacco business Supply chain management Tobacco supply chain strategy and approach Smoking and health Political and regulatory landscape Responsible marketing Illegal trade In focus: emerging products Our people Our planet Our contribution to society Our way of doing business Our pharmaceutical business Our processed food business 2015 JTMateriality JT 2014 2015 31 JT 15 NGO 17 JT 15 22 JT 2015 IT ALP JT ALP JT JT2018 ALP2016 2019 ALP JT 2015 JT 2016 JTARISE 2015 044 JAPAN TOBACCO INC. ANNUAL REPORT 2015 年度