Company Profiles

Denso

Japan

Denso is a Japanese company that designs and manufactures automotive parts, such as air conditioning units, radiators, alternators, and components for fuel injection systems and electric hybrid vehicles. The company has a strong environmental policy, known as EcoVision, which highlights efforts in three areas: Eco management, Eco products, and Eco factory. Denso's product development process utilizes life-cycle analyses to address its products' environmental impacts during use, such as fuel efficiency and exhaust gases, reduction in the use of greenhouse gas refrigerants and hazardous substances, weight and size reduction of components, and product recyclability. Given that current auto designs and auto usage patterns are unsustainable, Denso operates in a challenging industry; however, the company recognizes that climate change presents a business opportunity. Denso's strategic focus includes reducing the impact of its current product line, and providing components for environmentally superior technologies, such as emissions filtering and hybrid vehicles. The company is also developing non-automotive products and services, such as a natural refrigerant heat pump water heater, as well as developing a consulting business utilizing the company's energy-saving technology and skills. This last area of expertise has been developed through Denso's attention to energy use and other eco-efficiencies in factories, including engaging suppliers on these issues. The company's eco-efficiency reporting on its own operations shows a trend of overall improvement, however, Portfolio 21 has asked the company to improve performance in areas that have shown some decline such as nitrogen oxide releases, paper usage, and CO2 emissions from transportation.

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 9/30/08 and may not reflect current opinions or subsequent events.