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Kao Corporation

Kao Corporation

Kao Corporation is a producer of consumer goods and chemicals. The company operates through four segments: Beauty Care, Human Health Care, Fabric & Home Care and Chemicals. Kao, a Japanese company, has expanded its operations worldwide. The company and its subsidiaries employ over 33,000 people.

Kao Corporation recognizes the importance of sustainable products and practices. The company uses life cycle analysis on all of its goods, 27% of which have an ‘Eco-Together’ logo to educate the consumer on its environmental impacts. Kao has also emphasized its distribution of water-saving products, and recent initiatives have promoted energy-saving methods in consumer households, company production sites, distribution mechanisms and offices.  The company has recently cut its CO2 emissions by 17%, and it has a goal to continue these reductions to 35% by 2020. Additionally, Kao has decreased its water usage by 21%, with a goal to improve that metric to 30% by 2020. Energy usage has also decreased by 30%. The company’s Human Rights Policy requires due diligence on its suppliers, and it has committed to zero net deforestation in all of its operations and full traceability of palm oil sources by 2020. Kao makes it a point to partner with local communities to improve sustainability and has steadily increased its number of female managers.

While Kao Corporation does report its solid waste metrics to the CDP (formerly the Carbon Disclosure Project) Climate Change Program, it does not publish this data in its sustainability report nor set targets for future reductions. The company also lacks an energy reduction goal.



Industry: Consumer Staples
Country: Japan
Website: www.kao.com
Disclaimer:

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 3/31/2017 and may not reflect current opinions or subsequent events.


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