JT Included in DJSI Asia Pacific for the Eighth Consecutive Year

TOKYO, Nov. 15, 2021 /PRNewswire/ -- Japan Tobacco Inc. (JT) (TSE: 2914) announces today that it has been included in the Dow Jones Sustainability Asia Pacific Index (DJSI Asia Pacific), for the eighth consecutive year, reflecting the company's continued approach to address social and environmental issues across its value chain.

JT included in DJSI Asia Pacific

The DJSI is a recognized worldwide ESG stock index^[1] and a global sustainability benchmark that tracks the stock performance of the world's leading companies in terms of economic, environmental and social criteria, with constituents selected on the basis of the S&P Global Corporate Sustainability Assessment (CSA).^[2] The DJSI Asia Pacific is an index of companies in the Asia-Pacific region that is reviewed once a year and its constituents are selected from about 600 major companies in the region.

Kazuhito Yamashita, Member of the Board and Senior Vice President, Chief Sustainability Officer, Compliance and General Affairs, said: "We are delighted that JT is once again included in the DJSI Asia Pacific this year. The CSA framework is a comprehensive approach which incorporates the latest trends and discussions across the spectrum of ESG. Participation in international and credible ESG assessments allows us to objectively evaluate our own sustainability measures and disclosure materials. We are committed to promoting transparent and reliable disclosures of non-financial information. It is one of the agendas we have been focusing on in recent years, and is an important initiative in order to advance dialogue with our stakeholders."

JT scored 79/100 in the 2021 S&P Global Corporate Sustainability Assessment, achieving full score in the Materiality, Risk & Crisis Management, Environmental Reporting, Operational Eco-Efficiency, Social Reporting, and Corporate Citizenship and Philanthropy criteria out of 24 total criteria (Score data: Nov 12, 2021).

The JT Group's sustainability strategy is formulated based on the 4S model^[3], and encompasses its materiality analyses. The foundations of its sustainability strategy for the whole Group are its "three absolute requirements for sustainability":

• Respecting human rights;
• An improved social and environmental impact; and
• Good governance and business standards.

The JT Group supports the United Nations' Sustainable Development Goals (SDGs) and their related targets in the context of the company's business and operational environments.^[4] In order to achieve sustainable growth, it is essential for the Group to contribute to the sustainable development of society through its business activities. The JT Group will continue to engage with its stakeholders and make concerted efforts to ensure that both society and the Group can grow together to secure a sustainable future.

^[1] ESG stock index reflects an organization's measures in terms of social, environmental and governance performance in addition to its financial performance.

^[2] CSA is an assessment conducted by S&P Global. Companies are categorized by industry and sent questionnaires that focus on the most important and relevant ESG factors in each industry to evaluate their ESG approaches in terms of both transparency and performance.

^[3] Pursuing the 4S model is the company's management principle. The JT Group strives to fulfill its responsibilities to its valued consumers, shareholders, employees and the wider society, carefully considering the respective interests of these four key stakeholder groups, and exceeding their expectations wherever it can.

^[4] Please refer to https://www.jt.com/sustainability/strategy/materiality_strategy_sdgs/index.html for more details about the JT Group's commitment to SDGs and the specific ways in which we can contribute to achieving some of the goals.

Japan Tobacco Inc. is a leading international tobacco company with operations in more than 130 countries. With approximately 58,000 employees, it manufactures and sells some of the world's best-known brands including Winston, Camel, MEVIUS and LD. The JT Group is committed to investing in Reduced-Risk Products (RRP) and currently markets its heated tobacco products under its Ploom brand and various e-cigarette products under its Logic brand. The Group is also present in the pharmaceutical and processed food businesses. For more information, visit https://www.jt.com/.