Participation in the United Nations Global Compact

We of the TOTO Group will uphold the 10 principles of the Global Compact concerning "Human Rights, Labor, Environment and Anti- Corruption". We promise the people around the world to make the Global Compact and its 10 principles a part of TOTO's strategy, culture and daily work, and commit to the development goals targeted by the United Nations. In our business activities, we will make every effort to promote the 10 principles of the Global Compact.

At the base of TOTO's business activities lie the firm beliefs of our founder to "improve the national standard of living" and "provide a healthy and cultural life." These beliefs have been carried forward as our company motto and corporate philosophy. Moreover, in 2017, TOTO Group will fete its 100th anniversary. As we approach this anniversary and the future beyond it, we will continue to uphold these beliefs and strive to lead a "sustainable society in the truest sense" as a corporation permitted to exist on the earth.

For this reason, we will seek to satisfy all stakeholders consisting of customers, hosting communities, shareowners, business partners and employees by promoting future CSR activities, enhancing the objectivity and transparency of management, and defining management responsibilities. The TOTO Group hereby announces to the people around the world that we will constructively carry out our social responsibilities as a corporate citizen.

The basic philosophy of the TOTO Group is to satisfy all stakeholders consisting of customers, hosting communities, shareowners, business partners and employees, and expand our corporate value on a permanent basis. In 2004, in order to enhance the objectivity and transparency of management and define business responsibilities, we established a CSR Committee headed by our President. In 2011, in order to be a "true global company" and target the strategic integration of CSR activities into our business activities, a CSR Activity Department was placed under the control of the Management Planning Division and renamed the "ESG Promotion Department."

The "United Nations Global Compact" is a set of voluntary action principles conducted by corporations in order to address various issues such as climate change, environmental problems and widening social disparities that are growing on a global scale. They were proposed by Kofi Annan, Secretary General of the United Nations, in 1999 and established formally by the U.N. Headquarters in July, 2000. Participant companies observe the 10 principles concerning "Human Rights, Labor, Environment and Anti- Corruption", act as a "good member of society" and strive for sustainable growth.