Environmental Performance
Eco-Logistics and Reduced Packaging
Reducing CO2 Emissions in Product Distribution
The Mitsubishi Electric Group's*1 fiscal 2007 CO2 emissions per net shipping weight dropped 20% from fiscal 2003 (total CO2 emissions of 98,000 tons). Modal shift accounted for 13.1% of total shipping volume, an increase of four percentage points compared to fiscal 2003.
Rail transport accounted for 7.8% (on a ton-kilometer basis), an increase of two percentage points from fiscal 2006. In order to raise this ratio, we promoted increased use of 31-foot rail containers, which hold the equivalent of a ten-ton truck, and 12-foot rail containers (three of which hold the equivalent of a ten-ton truck).
*1: Data compiled for Mitsubishi Electric and domestic affiliates with environmental plans.
Our 5th Environmental Plan includes the goal of reducing CO2 emissions per net shipping weight by 30% compared to fiscal 2003, so we intend to continue promoting increased and efficient use of rail containers.

Modal Shift
The Mitsubishi Electric Group is working with Mitsubishi Electric Logistics Corporation to switch transport modes in Japan from truck transport to rail and ship. For example, we are actively using rail to transport room air conditioners and refrigerators from Shizuoka Works to the Kyushu Logistics Center (Tosu, Saga Prefecture), and washing machines and other items from Nihon Kentetsu (Funabashi, Chiba Prefecture) to the Rokko Logistics Center (Kobe, Hyogo Prefecture) and the Kyushu Logistics Center.
These initiatives have been recognized, and our Living Environment & Digital Media Equipment Group was certified as an "Eco-Rail" company*2 in September 2005 by the Railway Freight Association.
*2: A company that manufacturers consumer products and has been certified by the Railway Freight Association for using rail for at least 15% of ground shipments of 500 kilometers or more on a per-company basis, or for at least 30% on a per-product basis.
Loading refrigerators onto a 31-foot rail container

Eco-Rail Mark
Domestic Shipping Initiatives

Raising the loading ratio by double stacking a 12-foot rail container
The Group has been promoting an in-house project for improving logistics, the Just-in-Time Improvement Project, since fiscal 2007. The goal of the project is to increase the transparency of logistics and reduce inefficiencies and loss.
In order to improve the loading ratio for 12-foot rail containers, we've started double stacking products that had been shipped in a single stack by using transport racks.
We have also switched to using distribution hubs for products that had previously been shipped directly from production sites in small lots each time they were needed, using delivery or charter delivery services. This has improved loading efficiency through the use of cooperative transport and reduced the frequency of truck usage.
Waste Product Logistics
The Mitsubishi Electric Group is working to reduce CO2 emissions from transport operations by limiting vehicle usage through contracting out waste collection and other initiatives. In fiscal 2007, we established a calculation method for CO2 emissions and began tracking those emissions. In fiscal 2008, we plan to track emissions at an even higher level of precision and develop a reduction plan.
Procurement Logistics
We are also striving to reduce CO2 emissions during transport operations related to product procurement. In fiscal 2007 we first of all established a method for measuring CO2 emissions during procurement-related transport operations and began tracking CO2 emissions. In fiscal 2008 we plan to further raise the precision of this method and measure CO2 emissions.
Using Alternative Packaging Materials and Eliminating Wood Materials

In order to make more effective use of resources, the Mitsubishi Electric Group*3 has been working to reduce the volume of packaging materials it uses since its 1st Environmental Plan was established in 1995. Under the 5th Environmental Plan, we are currently engaged in activities to reduce packaging volume per unit of shipping weight for disposable packaging materials.
In fiscal 2007, our aim was to reduce packaging volume per unit of shipping weight by 4% from fiscal 2005, and we easily achieved that goal with a reduction of 10% (packaging volume of 50,000 tons). In particular, Mitsubishi Electric Corp. achieved a reduction of 17% from fiscal 2005 (packaging volume of 41,000 tons).
*3: Data compiled for Mitsubishi Electric and domestic affiliates with environmental plans.
Reducing Disposable Packaging Materials
To reduce disposable packaging, we are making packaging simpler and lighter, increasing use of returnable containers, and expanding use of packaging materials (cardboard, steel) not covered by the Container and Packaging Recycling Law.
We are working to make packaging simpler and lighter, starting at the product design stage for new products. In fiscal 2007, we made packaging improvements in conjunction with the development of power modules used in such products as air conditioners and industrial device inverters. At the same time we are striving to make packaging simpler and lighter for existing products as well in order to raise transport efficiency.
We are gradually expanding our returnable container program for corporate products, starting with customers who have expressed enthusiasm for the program.

