Taking out a Sustainability-Linked Loan (SLL^*1)

　We have taken out an SLL through Nippon Life Insurance Company’s Nissay SLL*², which is based on efforts to address climate change issues, and Meiji Yasuda Life Insurance Company‘s MY Sustainable Finance*³, which is an ESG financing framework. With regard to the Sustainability Performance Targets (SPTs*⁴), we have adopted the inclusion in the CDP’s Climate Change A List (highest rating)*⁵. Sanki Engineering has been selected as a CDP’s Climate Change A List company for two consecutive years since FY2022.
　The Sanki Engineering Group has declared “contributing to a decarbonized society” as one of its materiality goals, and is working to achieve carbon neutrality by 2050. Climate change is an issue that directly connects to the business of the Sanki Engineering Group, an entity engaged in general engineering, and we are working to reduce CO₂ emissions in all our business activities, including the supply chain, at the same as promoting energy-saving and energy-creating proposals to our customers.
　The entire group will continue to work toward achieving carbon neutrality.

*1

Loan with unspecified use of funds that supports sustainable business activities and growth by linking interest rates and other loan terms to the degree to which sustainability goals are achieved.

*2

Nippon Life Insurance “Nissay Sustainable Finance”

*3

Press release dated December 29, 2022, Meiji Yasuda Life Insurance Company, “Establishment of “MY Sustainable Finance” Framework

*4

Targets for measuring the degree of contribution to social sustainability

*5

Sanki Engineering Co., Ltd. (sanki.co.jp) has been selected for CDP’s “Climate Change A List (Highest rating)” for two consecutive years as a company that excels in climate change initiatives and information disclosure.

We took out the loan in accordance with the “Nissay Green Loan Framework” established by Nippon Life Insurance Company, as outlined below. The funds will be used to upgrade the air conditioning system at Sanki Techno Center (Yamato City, Kanagawa Prefecture), a comprehensive training and research facility owned by our company, in order to reduce energy consumption at our facilities.

Contract Overview

*

Green loan: A loan used by corporations and local governments to finance domestic and international green projects, with the use of the funds raised limited to green projects.