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36LINTEC ANNUAL REPORT 2018Label materials that use environmentally friendly hot-melt adhesivesU.S. subsidiary MACTAC AMERICAS, LLC manufactures these label materials. When adhesives that are melted through heating and then used for coating—known as hot-melt adhesives—are used in coating processes, organic solvents are not needed. Therefore, hot-melt adhesives have less environmental impact.Aluminum vapor deposition label materials that use recycled PETThese label materials use recycled PET film as facestock. The raw material is used PET bottles, which undergo a recy-cling process known as mechanical recycling. The resulting material is made into PET film, which is then given a shiny silver appearance through aluminum vapor deposition pro-cessing. Although composed of more than 80% recycled PET resin—one of the highest levels in the world—the facestock realizes a premium appearance with a metallic luster as well as physical properties comparable with those of label materi-als that use nonrecycled PET film as facestock.Window films that curb temperature increases in buildings and vehiclesApplying these films onto the entire surfaces of building or vehicle windows significantly cuts thermal energy from sun-light, which causes heat. Curbing increase in inside temperatures enhances the efficiency of air-conditioning and helps save electricity and energy. Unlike curtains or blinds, these films do not reduce brightness or impede views. Also, they lower ultra-violet light by more than 99% and prevent shattering if the window glass is broken.THE BASE THAT SUPPORTS GROWTHEnvironmentGreen ProcurementThe LINTEC Group is committed to procurement that aims to reduce environmental impact through rigorous chemical substance management for raw materials, parts, and secondary materials. When procuring a new material or responding to a new regulation, we ask for suppliers’ understanding in conducting ingredient exam-inations to monitor for the presence of regulated substances. In the fiscal year ended March 31, 2018, the Company carried out such examinations on approximately 5,000 items. Going forward, we will continue working with suppliers to engage in proactive environmen-tal preservation activities and undertake stringent chemical sub-stance management.Environmentally Friendly ProductsThe LINTEC Group has embraced the rise in environmental aware-ness of recent years and is developing products to meet a wide range of environmental needs. Our environmentally friendly prod-uct lineup pays heed to reusing, recycling, and energy saving. In addition, for adhesive products and converted products such as release papers, we are developing manufacturing processes that do not use organic solvents.

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