Boundaries and Method of Data Aggregation (Material Balance)

*The period of data collection on the balance of input and output in fiscal 2025 is from January 1 to December 31, 2025.

Boundaries (scope of reporting entity)

The scope and methodology of aggregating environmental data for the Sumitomo Forestry Group are as follows.

Classification	Boundary
All Business Activities	All Sumitomo Forestry Group Companies
Research & Development	Tsukuba Research Institute
Forest Management	Forestry offices (Hyuga, Niihama, Osaka, Mombetsu); Tree and seedling production centers (Togo, Motoyama, Gifu, Watarase, Mombetsu)
Manufacturing Business	Sumitomo Forestry Landscaping (Shinshiro Plant, Tobishima Plant), Japan Bio Energy, Okhotsk Bio Energy, Michinoku Bio Energy, Sumitomo Forestry Crest (Kashima Plant, Shizuoka Plant, Niihama Plant, Imari Plant, Tobishima Logistics Center), Kowa No Mori
Manufacturing Business	Kutai Timber Indonesia (KTI, Indonesia), Sinar Rimba Pasifik (SRP, Indonesia), AST Indonesia (ASTI, Indonesia), Nelson Pine Industries (NPIL, New Zealand), Vina Eco Board (VECO, Vietnam), Canyon Creek Cabinet Company (CCC, America), Pan Asia Packing (PAP, Thailand)
Power Generation Business	Mombetsu Biomass Electric Power, Hachinohe Biomass Electric Power
Housing Business (Domestic New Construction)	Sumitomo Forestry (Housing Division), Sumitomo Forestry Home Engineering, Sumitomo Forestry Archi Techno

* Greenhouse gas emissions:
CO₂ (Scopes 1 and 2): Teal Jones Plain Dealing LLC, which was acquired in July 2025, and its subsidiaries are excluded from the calculation scope.
CO₂ (Scope 3): Some consolidated subsidiaries having only a negligible impact depending on the category are excluded from the calculation scope.
Water consumption: Some sites of consolidated subsidiaries where it is difficult to collect accurate data for reasons related to tenancy, etc. are excluded from the calculation scope.
Waste generation: Some sites of consolidated subsidiaries that are not yet prepared to start data aggregation are excluded from the calculation scope. Global Construction and Real Estate Business, which is outside the scope of accountability, is excluded from the calculation scope.

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List of Sumitomo Forestry Group Companies

Prerequisites

Classification	Prerequisites
Classification	Energy Use and Greenhouse Gas Emissions	Raw Materials	Water Consumption	Waste Generation
All Business Activities	Energy use and greenhouse gas emissions attributable to Sumitomo Forestry and its Group companies' offices	－	Water consumption attributable to Sumitomo Forestry and its Group companies' offices	Waste generation attributable to Sumitomo Forestry and its Group companies' offices
Research & Development	Energy use and greenhouse gas emissions attributable to research institutes	Raw materials used for research and development	Water consumption attributable to research and development	Waste generation attributable to research and development
Forest Management	Energy use and greenhouse gas emissions attributable to harvesting from company-owned forests and seedling production	Raw materials used for harvesting from company-owned forests and seedling production	Water consumption attributable to harvesting from company-owned forests and seedling production	Waste generation attributable to harvesting from company-owned forests and seedling production
Manufacturing Business	Energy use and greenhouse gas emissions attributable to each plant	Raw materials used for production of wood products and construction materials	Water consumption attributable to production of wood products and construction materials	Waste generation attributable to production of wood products and construction materials
Power Generation Business	Energy use and greenhouse gas emissions attributable to power generation plants	Raw materials used for power generation	Water consumption attributable to power generation	Waste generation attributable to power generation
Housing Business (Domestic New Construction)	Energy use and greenhouse gas emissions attributable to business sites (including model homes) related to the housing business	Materials used for housing construction	Water consumption attributable to business sites related to the housing business	Waste generation attributable to housing construction (including renovations) and demolition

* Greenhouse gas emissions:
CO₂ (Scopes 1 and 2): Teal Jones Plain Dealing LLC, which was acquired in July 2025, and its subsidiaries are excluded from the calculation scope.
CO₂ (Scope 3): Some consolidated subsidiaries having only a negligible impact depending on the category are excluded from the calculation scope.
Water consumption: Some sites of consolidated subsidiaries where it is difficult to collect accurate data for reasons related to tenancy, etc. are excluded from the calculation scope.
Waste generation: Some sites of consolidated subsidiaries that are not yet prepared to start data aggregation are excluded from the calculation scope. Global Construction and Real Estate Business, which is not subject to the relevant requirement, is excluded from the calculation scope.

Data Aggregation Methods

Greenhouse gas emissions: Refer to the pages below

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Boundaries and Methods of Greenhouse Gas Emissions Calculation

Waste generated: Calculated using data collected through waste manifests

ESG Data