Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Customer Satisfaction

Environmental Achievements

• Launched ECO i-Shirt, using recycled polyester and eliminating plastic packaging.
• Switched to paper shopping bags in stores.

Social Achievements

• Consistently ranked #1 in customer satisfaction for two years in the JCSI survey.
• Expanded "hot-one-breath station" offering various services in stores.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Sales decline due to high temperatures affecting autumn/winter clothing sales and increased consumer frugality.
• COVID-19 pandemic impacting business operations and sales.
• Store closures and business transfer impacting overall store count.

Mitigation Strategies

• Focusing on core business, developing health-themed products, strengthening EC business, expanding big-size market share.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• ECO i-Shirt

Awards & Recognition

• 2019 Good Design Award for ECO i-Shirt

Environmental Metrics

ESG Focus Areas

• Governance
• Social
• Environmental

Environmental Achievements

• Launched "ECO i-Shirt" using recycled materials for shirts and buttons.

Social Achievements

• Participation in the "Wear to Fashion" clothing recycling project.
• Implemented engagement surveys to identify and address organizational challenges.
• Implemented leadership and management training programs.
• Continued efforts to promote diversity and inclusion in hiring and promotion.
• Improved employee well-being through initiatives such as promoting work-life balance and reducing single-parent assignments.
• Ongoing fundraising activities for Save the Children.

Governance Achievements

• Strengthened corporate governance through the establishment of various committees (Compliance & Risk Committee, Internal Information Management Committee, Information Security Committee).
• Established a voluntary nomination committee to enhance the fairness and transparency of management appointments.
• Implemented measures to prevent information leaks and ensure compliance.

Climate Goals & Targets

Environmental Challenges

• Fluctuations in performance between the first and second half of the fiscal year.
• Legal regulations regarding store expansion.
• Risks associated with store expansion (underperforming stores, lease renewals).
• Risks associated with deposit guarantees.
• Intense competition in the men's clothing industry.
• Economic fluctuations, changes in financial and exchange rate conditions, and the impact of large-scale infectious diseases.
• Application of impairment accounting for fixed assets.
• Compliance with the Personal Information Protection Act.

Mitigation Strategies

• Active investment in improving product and service quality, store renovations, system upgrades, and integration of stores and EC sites.
• Strengthening the overall compliance system and risk management system.
• Actively pursuing store renovations, closures, and relocations.
• Developing high-quality, high-functionality products at valuable prices.
• Implementing infection prevention measures in offices and stores.
• Applying accounting standards for fixed asset impairment.
• Establishing various committees and implementing measures to prevent information leaks.

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• ECO i-Shirt

Environmental Metrics

ESG Focus Areas

• Governance
• Social
• Environmental

Environmental Achievements

• Participation in the "Wear to Fashion" clothing recycling project.
• Launched "ECO i-Shirt" using recycled materials.

Social Achievements

• Implemented engagement surveys to improve organizational capabilities.
• Provided opportunities for employees to acquire general business skills and specialized skills.
• Implemented a qualification acquisition support system to encourage autonomous growth.
• Continued efforts in diversity promotion, including gender, nationality, and new/mid-career hiring.
• Improved working environment by promoting appropriate working hours, childcare leave system, and leave acquisition.
• Continued fundraising activities for Save the Children.

Governance Achievements

• Strengthened corporate governance to improve soundness, transparency, fairness, efficiency, and legality.
• Established a Compliance and Risk Committee.
• Established an internal reporting system.

Climate Goals & Targets

Environmental Challenges

• Fluctuations in performance between the first and second half of the fiscal year.
• Legal regulations on store development.
• Risks associated with store expansion (underperforming stores, lease contract renewals, deposit guarantees).
• Industry conditions and competition.
• Application of impairment accounting for fixed assets.
• Personal information protection law.

Mitigation Strategies

• Actively pursuing store renovations, closures, and relocations.
• Improving profitability of existing stores.
• Providing high-quality, high-functionality products at valuable prices.
• Strengthening the company's compliance system and risk management system.
• Implementing measures to prevent information leakage.

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• ECO i-Shirt