CONTENTS 4 1 2 R&D UVADVAN 1 2009 4 5 6 9 15 21 29 31 33 35 37 39 40 43 3 Kao Annual Report Financial and Operating ReviewCSR 3 Kao Annual Report Financial and Operating ReviewCSR Kao Annual Report Financial and Operating Review CSR/ Kao Annual Report Financial and Operating Review http://www.kao.com 3 2010
http://www.kao.com/group/ja/group/kaoway.html 2010 4
331 EBITA EBITDA ROE% 1 2006 9,712 1,355 1,201 711 1,808 14.9 12,205 5,096 29,908 130.58 50.00 935.11 2007 12,318 1,615 1,208 705 2,130 13.1 12,477 5,645 32,175 129.41 52.00 1,035.66 2008 13,185 1,576 1,162 665 2,096 11.7 12,326 5,740 32,900 122.53 54.00 1,070.67 2009 12,763 1,346 968 644 1,842 11.5 11,196 5,452 33,745 120.25 56.00 1,017.19 2010 11,843 1,295 940 405 1,788 7.3 10,657 5,651 34,913 75.57 57.00 1,054.31 EBITAM&A EBITDA ROE 1 1,763 1,149 533 720 640 & 2,769 23.4% 1,763 14.9% 11,843 1,831 15.5% 5,479 46.2% 10,080 8,314 796 1,129 161 & ROE 16,000 12,000 8,000 4,000 0 9,712 12.4 12,318 9.8 8.8 13,185 12,763 7.6 11,843 7.9 2006 2007 2008 2009 2010 % 40 30 20 10 0 800 600 400 200 0 ROE 711 705 14.9 13.1 665 644 11.7 11.5 405 7.3 2006 2007 2008 2009 2010 % 40 30 20 10 0 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 9,712 7,040 12,318 1,943 1,819 2,695 852 1,836 13,185 2,246 2,746 1,912 12,763 2,224 2,742 1,913 5,842 6,279 5,883 11,843 1,763 2,769 1,831 5,479 2006 2007 2008 2009 2010 1,400 1,200 1,000 800 600 400 200 0 1,201 1,208 & 220 51 926 1,162 211 196 578 560 118 131 298 272 968 171 491 129 175 940 196 606 2006 2007 2008 2009 2010 89 47 20083 20073 CO2t t CO2 t 10,000 8,000 6,000 4,000 2,000 100 6,308 6,894 0 2006 2008 2010 80 82 6,741 2006 6,308 2,076 100 80 60 40 20 0 2008 6,894 2,183 t 5,000 4,000 3,000 2,000 1,000 100 77 2,076 2,183 0 2006 2008 83 2,228 2010 2010 6,741 2,228 20063 CO2 100 80 60 40 20 0 100 CO2 CO2 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 9,712 955 937 844 6,974 12,318 1,190 1,062 997 13,185 12,763 1,378 1,270 11,843 1,102 980 1,007 1,206 785 1,160 1,046 9,067 9,498 9,351 9,004 2006 2007 2008 2009 2010 1,400 1,200 1,000 800 600 400 200 0 1,201 75 1,208 86 67 77 58 25 1,016 1,022 1,162 90 68 968 52 10 43 27 983 841 51 940 49 26 799 2006 2007 2008 2009 2010 5 2010 2010 8
& & 6 2010 2010 7
9 2010
120 189023 120 1 & 2009 TCR 2009 2009 20 2010 10
20096CI Neo 1 BRICs 2 3 3 3 11 2010
2010 12 2 20096CI Kao eco 5 3 2 BRICs BRICs
10 2 4 12009 1 Neo 13 2010
20099 20 199910 2009 2010 14
1 20096 15 2010
eco CO2 2009 178 45 9 336 107 LCA CO2 CO2 30% 50% eco eco 1979 1987 1990 1991 2009 Neo 3 eco 2011 2020 eco eco eco eco ecoeco 2010 16
3eco eco eco eco eco eco eco eco 157m 3 21 10 eco eco Neo eco Neo 1 W 2 1 eco1neo 17 2010
1987 20 1987 1/4 1993 1995 30 25g20g 1997 2001 30% CO2 2004 2003 2004 2008 CO2 87 87 95 08 01 100 75 50 25 0 2010 18 eco eco eco eco eco eco eco eco 1
2020 CO2 35%2005 30%2005 SAICM 20063 CO2 2020 CO2200535% CO2 20202005 30% Neo t 10,000 8,000 6,000 4,000 2,000 CO2 100 6,308 6,894 0 2006 2008 2010 80 82 6,741 100 80 60 40 20 0 t 5,000 4,000 3,000 2,000 1,000 100 77 2,076 2,183 0 2006 2008 83 2,228 2010 100 80 60 40 20 0 331 20063 CO2 100 CO2 CO2 19 2010
3 23,000 2010 20 RC 2002 SAICM2020 2009 20116 1
2 3 21 2010
1964 1964 1965 1970 1973 1985 1993 1996 2000 2002 2005 2006 1973 1997 2010 22 200711 20097 1,000
23 2010
2 CM 1978 145,0002009 2009 Q&A 2010 24
2 199611 25 2010
2010 26 2004 2
200212 1400 27 2010
2 320061 CM 10 CM 10% 94kcal/hr 69kcal/hr27% 2007 2010 28
R&D UVADVAN UV-A UV-B UV-A UVADVANanti-damaging uv-a networkuv-a 20061 9 UV UV-C UV-B UV-A 100 280 320 400 780 nm UV-B UV-A UV UV UV 1 ADVAN UV 29 2010
UV-A 20% 1 1 UV-A1.6 UV ADVAN ADVAN 33 20095 33 76% 95% UV 9 20103 9 ADVAN GSC GSC 93 1/260 2005 GSC 2010 30
2006 2003 35 69 2NGO 31 2010
2010 32 2008 : FGPE UNEP in 2001 2007120 550 20% 20099 12 80 in 2000 15 98,000 2,731ha 2005
1 2009 20094 20095 20096 KPSS- EG EG EG CI CI Kao 20097 20098 20099 7 Neo econeo Neo Neo 9 20 33 2010
20099 100 20099 9 20099 Best Lecture Award 16 Best Lecture Award 200910 10 200911 4 20103 6 2010 34
35 2010
& 2010 36
3 10 GC CSR 10 1999 SRI SRI FTSE4Good Global Index DJSI World SRI (CSR) 4 37 2010
2010 38 2009 2009 152 1 14275% EVA 1 42 84100% 6 2003BCG2008 BCGBCG BCG http://www.kao.com/jp/corp_info/compliance.html BCG PDCA 3
2010 39 & SCM & & & 2010629
2010 40 188090 1920 1930 1950 1960 1900 1887 1902 1923 1934 1954 1964 1991 1965 1973 1966 1890 1900 1911 1928 Edible Coconut Oil of Nagase 1931 1932 1938 1951 1953 1957 1958 1960 1962 1966 1966 1963 1964 1967 1957 18873 120
2010 41 1970 1980 1970 1971 1973 1974 1997100% 1975 1977 1996 1979 1978 1970 1971 1979 1980 1986 1985 1997 1986 TCR 1987 1999 3 1988 2004 1989 2003KPSS 1980 1981 1983 1984 1987 1988 1989 1982
2010 42 1990 2000 1991 1992 1996 1993 1995 1996 1997 1999 8 2004100%2007 2000 2001 ADMADM 2009&100% 2002 2004 2004 2005 2006 2007 2009 CI 1994 1997 1999 200910 2001 KPSS 2003 2004 2005 2006 2007 2008 2009 Neo 2.5 1
11 12 13 14 15 16 45 47 43 17 44 40 41 42 18 46 48 49 19 21 22 23 26 27 24 28 25 29 1 2 3 4 5 6 7 9 10 20 8 30 50 51 31 32 33 & 1 18 2 19 Kao Vietnam Co.,Ltd. 3 20 Pilipinas Kao, Incorporated 4 21 Kao Industrial (Thailand) Co.,Ltd. 5 22 Kao Commercial (Thailand) Co.,Ltd. 6 23 Kao Consumer Products (Southeast Asia) Co.,Ltd. 7 24 Kao Soap (Malaysia) Sdn.Bhd. 8 25 Kao (Malaysia) Sdn.Bhd. 9 26 Fatty Chemical (Malaysia) Sdn.Bhd. 10 27 Kao Plasticizer (Malaysia) Sdn.Bhd. 11 28 Kao Oleochemical (Malaysia) Sdn.Bhd. 12 29 KaoSingaporePrivate Ltd. 13 30 P.T. Kao Indonesia 14 31 P.T. Kao Indonesia Chemicals 15 32 KPSS Australia Pty.Ltd. 16 33 Kao (Australia) Marketing Pty.Ltd. 17 34 Kao Brands Canada Inc. 43 2010
36 2010331 34 35 37 38 Kao Corporation 1410 1887620 39 1940515 854 5,908 34,913 100 35 KPSS Canada Inc. 36 Kao Brands Company 4452 37 KPSS, Inc. 38 Kao Specialties Americas LLC 1,000,000,000 39 Quimi-Kao, S.A. de C.V. 40 KPSSKao Professional Salon Services GmbH 540,143,701 41 Guhl Ikebana GmbH 42 Kao Corporation GmbH 49,180 43 Kao Chemicals GmbH 44 KPSS Nederland B.V. 45 Kao Brands Europe Ltd. 46 KPSS (UK) Ltd. 47 Molton Brown Ltd. 48 KPSS AG 49 Kanebo Cosmetics (Europe) Ltd. 50 Kao Chemicals Europe, S.L. 51 Kao Corporation S.A. 2010 44