Ryohin Keikaku Co., Ltd.

Respect for the Environment

Environmental Management

Contents

Environmental Policy

The Ryohin Keikaku Group’s corporate purpose is to contribute to the creation of “a truthful and sustainable life for all through our products, services, stores and business activities; believing human society rich in heart, with balanced relationship between human, nature and artifacts” as the Group continues to work toward creating a better future over the next 100 years.
We make efforts to reduce our environmental burden and to respect individual human rights through our product development, services and business activities. Through our core value of “contributing to society and people” our employees and associates will proactively respond to issues facing society and the Earth.

Ryohin Keikaku Group Environmental Policy [PDF:203KB]

Environmental Management System

Based on its Environmental Policy, the Ryohin Keikaku Group has established a governance structure consisting of oversight by the Board of Directors and the ESG Management Committee. The president & representative director chairs the ESG Management Committee, which formulates policies on human rights-related initiatives, develops and reviews the management structure and monitors progress toward targets. Given that environmental issues and climate change-related risks and opportunities have a significant impact on business strategy, the president & representative director has ultimate responsibility for the implementation of initiatives. Inside directors, executive officers, managers and members in charge of related business divisions participate in the committee’s monthly meeting.
The Board of Directors receives reports at least twice a year from Corporate Communications & ESG Management Development Division (the administrative office of the ESG Management Committee), supervises progress and achievement of targets, and deliberates and provides guidance on policies and initiatives. The Board of Directors is chaired by the president & representative director, and members possess knowledge, experience and abilities related to sustainability, including environmental issues, and diversity to provide appropriate supervision and guidance on sustainability management.
To clarify management responsibility for sustainability initiatives and achievement of targets, an ESG evaluation is incorporated into director compensation (non-monetary compensation). Non-monetary compensation paid to the Company’s directors, excluding independent directors, is in the form of grants of restricted shares that vest upon retirement. Base grants are determined in relation to achievements in areas such as ESG initiatives that have long-term significance, and vary from 30% to 100% according to director position. The Remuneration Advisory Committee deliberates and submits recommendations to the Board of Directors for final approval.
For projects that require specialized knowledge, the Board collaborates with external specialized institutions in areas such as testing, auditing and management. Risks are examined and discussed by the Compliance and Risk Management Committee, and reported to the Board of Directors.

Environmental Due Diligence

The Ryohin Keikaku Group has created a structure for environmental due diligence based on the Ryohin Keikaku Group Environmental Policy, and works to identify, evaluate, prevent and mitigate negative impacts on the environment throughout the supply chain. We have formulated a roadmap toward 2030 for conducting environmental due diligence, and conducted 1) a risk assessment of the overall value chain of major businesses, 2) a risk assessment of the overall value chain of the most important raw materials, and 3) locate and evaluate (LE) assessments of cotton raw materials in line with the LEAP approach of the TNFD.
In assessing cotton raw materials, we conducted an assessment of the locate (L) and evaluate (E) components of the LEAP approach of the TNFD. We assessed the potential impact on ecosystems, water risks and other aspects of 20 cotton spinning, fabric manufacturing and sewing factories. In addition, we conducted more detailed factory-specific assessments of locations where the assumed negative impacts are particularly high, and discussed effective countermeasures for each location.

Environmental Due DiligenceDisclosure Based on TNFD Recommendations

Stakeholder Engagement

To contribute to “a truthful and sustainable life for all,” the Ryohin Keikaku Group believes it is important to accurately understand the needs and expectations of its stakeholders. We will engage in constructive dialogue with customers, local communities, shareholders, investors, business partners and employees, and respond to their feedback appropriately.
The Ryohin Keikaku Group reflects opinions and requests in its business activities based on continued dialogue with stakeholders. We also participate in various initiatives to deepen our understanding of global issues and continuously work to improve our business activities.

Stakeholder Engagement

Disclosure

Group ISO 14001 certification acquisition rate: 0% (as of August 31, 2025)
Environmental violation fines: 0 (FY2025/8)

Environmental Management | Ryohin Keikaku Co., Ltd.