East Japan Railway (EJR) offers passenger services and freight services over a network of more than 4,500 miles of railroads. The company operates through four business segments: Transportation, Station Space Utilization, Shopping & Office, and Others. Headquartered in Tokyo, EJR and its subsidiaries have approximately 60,000 employees.
East Japan Railway’s mission is to contribute to the development of communities by providing environmentally friendly, safe and high-quality services. Most of the company’s trains are electric-powered, meaning energy use constitutes a large majority of its environmental footprint. Thus, EJR closely tracks trend data for its energy usage and CO2 emissions, setting goals to reduce each metric. Additionally, the company has increased its utilization of renewable energy sources such as solar panels on top of stations and wind power generation facilities. EJR has 2021 goals to reduce energy consumption 8%, decrease its CO2 emissions intensity 30%, and to replace a majority of its lighting on trains and in stations with LED bulbs. The company also has over 11,500 energy-efficient railcars in operation, accounting for 93% of its fleet. Based on experience derived from the Great East Japan Earthquake, EJR has worked to implement earthquake countermeasures in preparation for future events. The company continues to enhance its research and development of safety-related measures.
Ecological concerns have been raised over East Japan Railway’s construction of a tunnel next to the Oi River in Shizuoka, Japan. Additionally, the company has dealt with various issues stemming from train derailments and injuries to riders.
To the best of our knowledge the above information is accurate and was obtained from sources we believe to be reliable. Neither the information presented above nor any opinion expressed shall be construed as an offer to sell or a solicitation to buy the security. The views expressed are those of portfolio management as of 12/31/16 and may not reflect current opinions or subsequent events.