Environmental Accounting

The Nikon Group has adopted environmental accounting in accordance with the Ministry of the Environment's "Environmental Accounting Guidelines (2005)." By implementing continuous environmental measures based on a long-term viewpoint, we hope to make those measures more effective, and through information disclosure, we hope to increase the transparency of our environmental conservation activities, thereby clarifying our position on the environment.

Scope of data:
Nikon Corporation, Tochigi Nikon Corporation, Tochigi Nikon Precision Co., Ltd., Sendai Nikon Corporation, Miyagi Nikon Precision Co., Ltd., Kurobane Nikon Co., Ltd., Hikari Glass Co., Ltd., TNI Industry Co., Ltd. Nagai Factory, Nikon Business Service Co., Ltd., Nikon Vision Co., Ltd., Nikon-Trimble Co., Ltd., and Nikon Staff Service Corporation

Period: April 1, 2011 to March 31, 2012

*Only costs that are clearly distinguishable as environmental costs are included.
*Depreciation has not been factored into these accounts.
*Where a facility has been utilized for several purposes and breakdown is considered complex, the entire cost has been included in the investment amount.
*All costs have been rounded up or down to the nearest whole number, so it is possible that totals are not identical to the sum of the constituents as listed.

Cost of Environmental Protection

Unit: millions of yen

Category		Main activities	Investment	Expenses	Total
Business Area Cost	Pollution Prevention Cost	Prevention of air pollution, water pollution, noise pollution, etc.	133	850	983
	Global Environment Conservation Cost	Prevention of global warming, energy conservation, etc.	389	29	418
	Resource Circulation Cost	Disposal of waste, efficient use of resources, etc.	55	420	475
Upstream/downstream Cost		Administration of green procurement, recycling measures, etc.	-	38	38
Administration Cost		Administration of environmental management systems, greening activities, disclosure of environmental information, etc.	-	390	390
R&D Cost		Energy-saving design of products, compliance with REACH Regulations^*, research and development, etc.	15	216	231
Social Activity Cost		Social contribution activities, sponsorship activities, donations to environmental organizations, etc.	-	43	43
Environmental Remediation Cost		Costs for restoring soil, etc.	-	-	-
Other Costs		Other costs related to environmental conservation	-	-	-
Total			592	1,986	2,578

*REACH Regulation
A regulation on chemical substances issued by the European Union (EU) in 2007. "REACH" stands for the "Registration, Evaluation, Authorization, and restriction of CHemicals," and manufacturers and importers of chemical substances are mandated to register information on the safety and use of these substances under the regulation.

Economic benefits associated with environmental conservation activities

Unit: millions of yen

	Economic benefits	Costs
Revenue	Revenue from the sale of valuable resources	106
Expense Saving	Reduced energy costs due to energy savings	-
	Reduced expenses due to efficient utilization of resources	-
	Reduced expenses due to recycling of resources	-
Total		106