Major ESG Ratings

Inclusion in Environment, Social and Governance (ESG) Indices

The Tokyo Gas Group is recognized for the overall high quality and balance of its approach to CSR and environmental, social, and governance (ESG) issues, and it has been included in the following ESG indices (as of July 31, 2019).

FTSE4Good Index Series	FTSE4Good Index Series A series of stock indices developed by FTSE Russell, a subsidiary of the London Stock Exchange Group. They assess corporate sustainability based on environmental, social, and governance performance. Used by investors as a key benchmark for selecting companies to invest in. FTSE Blossom Japan Index Provides investors with a means for identifying Japanese companies that meet high environmental, social, and governance standards and is designed to minimize industry bias. In July 2017, the Government Pension Investment Fund of Japan (GPIF), the world’s largest institutional investor, began tracking investments using this index. Links ▶　FTSE4Good Index Series ▶　FTSE Blossom Japan Index
FTSE Blossom Japan Index
MSCI ESG Leaders Indexes	Tokyo Gas has been included in the following stock indices of top environmental, social, and governance performers developed by Morgan Stanley Capital Investment (MSCI) of the U.S. MSCI ESG Leaders Indexes Leading stock indices of companies selected for their outstanding environmental, social, and governance performance on a global scale. MSCI Japan ESG Select Leaders Index^1 An index that consists of companies with relatively high ratings in their respective industries for environmental, social, and governance performance and that were selected from a parent index of the top 700 stocks by market capitalization in the MSCI Japan IMI index of Japanese securities. MSCI Japan Empowering Women Index (WIN) ^1 An index that consists of companies in each industry with high scores on gender diversity that were selected from a parent index of the top 500 stocks by market capitalization in the MSCI Japan IMI index of Japanese securities. *1 The MSCI Japan ESG Select Leaders Index and the MSCI Japan Empowering Women Index were adopted by GPIF in July 2017 as benchmarks for their investment strategy. Note: MSCI ESG Indexes THE INCLUSION OF Tokyo Gas Co., Ltd. IN ANY MSCI INDEX, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT OR PROMOTION OF Tokyo Gas Co., Ltd. BY MSCI OR ANY OF ITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVE PROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI OR ITS AFFILIATES.
MSCI Japan ESG Select Leaders Index
MSCI Japan Empowering Women Index (WIN)
S&P Japan 500 ESG	Stock index developed by U.S.-based S&P Dow Jones Indices and consisting of securities selected from the S&P Japan 500 index of Japanese securities based on ESG criteria.
STOXX Global ESG Leaders Index	The index is provided by STOXX of Switzerland, a subsidiary of Deutsche Börse AG. Based on the results of research by Sustainalytics, a Dutch SRI research and analysis provider, it is composed of companies selected for their outstanding action on the environment, society, and governance.
ETHIBEL Sustainability Index（EXCELLENCE Global）	ETHIBEL Sustainability Index（EXCELLENCE Global） Compiled by Forum Ethibel, a Belgian NPO and SRI promoter, the ETHIBEL Sustainability Index (EXCELLENCE Global) investment register consists of companies that exhibit strong environmental, social, and governance performance. ETHIBEL Investment Register（EXCELLENCE） An investment universe comprised of companies that exhibit high standards of corporate social responsibility.
ETHIBEL Investment Register（EXCELLENCE）
SNAM Sustainability Index	Based on corporate data on environmental, social, and governance performance gathered through corporate research executed by Sompo Risk Management Inc. and IntegreX Inc. Managed by Sompo Japan Nipponkoa Asset Management Co., Ltd.

DFF Inc., Sustainability Dept., General Administration Dept., Corporate Planning Dept., Resources & Global Business Division, Energy Solution Div, Power Buisiness Dept., Pipeline Network Division, IT Division, Residential Sales Div., Fundamental Technology Dept., Energy Solution Div, Environmental Affairs Dept., Purchasing Dept. , Health Insurance & Employees' Welfare Sect., Personnel Dept., Internal Audit Dept., Audit & Supervisory Board Member's Office, Compliance Dept., Regional Development Div., Finance Dept, ＴＧＥＳ, TOKYO GAS COMMUNICATIONS, INC.

CSR Ratings

The Tokyo Gas Group has been awarded the following ratings by third-party rating bodies.

2018 CDP (Carbon Disclosure Project) CDP Climate Change: B CDP Water: A- (on an eight-grade scale from A to D-)	CDP is a U.K.-based nonprofit organization that collaborates with institutional investors to operate an international framework requiring companies to disclose information on their strategies for climate change and water risk as well as concrete data. Scores for company responses are published globally and serve as an important metric of corporate value.
DBJ Environmentally Rated Loan Program	The DBJ Environmentally Rated Loan Program was created by the Development Bank of Japan. It is the world’s first lending mechanism that selects excellent companies by screening and rating them according to the level of their environmental management and then sets loan conditions based on their scores. Tokyo Gas received the highest rating on October 31, 2019.
13th Toyo Keizai CSR Ranking 26th out of 1,501 companies (Score: 548.8 out of 600)	This survey is conducted by Toyo Keizai Inc. with the goal of identifying companies that are trusted by a wide range of stakeholders for their CSR and financial performance. It covers Japanese enterprises, which are assessed according to both CSR criteria (in the fields of human resource use, the environment, corporate governance, and social performance) and financial criteria.
Nikkei 22nd Environmental Management Survey Ranked 2nd out of 13 companies in the electricity and gas sector	Nikkei Inc. rates and ranks companies on their level of environmental management based on each company’s survey responses. Tokyo Gas was ranked second out of 13 companies in the electricity and gas sector.
Certified Health and Productivity Management Organization (White 500), large enterprises category	The Certified Health & Productivity Management Organization is a recognition given to large enterprises as well as small and medium-sized enterprises that practice particularly excellent health management in terms of initiatives addressing local health needs and health improvement initiatives spearheaded by Nippon Kenko Kaigi. Japan’s Ministry of Economy, Trade and Industry and Nippon Kenko Kaigi have been jointly certifying companies since fiscal 2016 with the goal of expanding corporate health management practices.
Nadeshiko Brand	Nadeshiko Brands are companies selected jointly by the Ministry of Economy, Trade and Industry and the Tokyo Stock Exchange for actively promoting the use of female human resources (including the development of conditions that allow women to stay employed). They are selected in each industry from among companies listed on the Tokyo Stock Exchange First Section.

DFF Inc., Sustainability Dept., General Administration Dept., Corporate Planning Dept., Resources & Global Business Division, Energy Solution Div, Power Buisiness Dept., Pipeline Network Division, IT Division, Residential Sales Div., Fundamental Technology Dept., Energy Solution Div, Environmental Affairs Dept., Purchasing Dept. , Health Insurance & Employees' Welfare Sect., Personnel Dept., Internal Audit Dept., Audit & Supervisory Board Member's Office, Compliance Dept., Regional Development Div., Finance Dept, ＴＧＥＳ, TOKYO GAS COMMUNICATIONS, INC.

Information Disclosure through Communication Efforts

The Tokyo Gas Group has received the following recognition with regard to its disclosure of information concerning communication.

2018 Securities Analysts’ Award for Excellence in Corporate Disclosure
Electric Power/Gas Industry Division
Excellence in Corporate Disclosure

Tokyo Gas was recognized for serving as a model to other companies in promoting disclosure, based on its efforts to consistently disclose quantitative information of interest to investors and provide useful information through its annual reports and other channels as well as clear policy on shareholder returns (7th time in a row and 12th overall).

DFF Inc., Sustainability Dept., General Administration Dept., Corporate Planning Dept., Resources & Global Business Division, Energy Solution Div, Power Buisiness Dept., Pipeline Network Division, IT Division, Residential Sales Div., Fundamental Technology Dept., Energy Solution Div, Environmental Affairs Dept., Purchasing Dept. , Health Insurance & Employees' Welfare Sect., Personnel Dept., Internal Audit Dept., Audit & Supervisory Board Member's Office, Compliance Dept., Regional Development Div., Finance Dept, ＴＧＥＳ, TOKYO GAS COMMUNICATIONS, INC.