SEIKO PMC CORPORATION was established in April 2003 by the merger of Japan PMC Corporation and Seiko Chemical Industries Co., Ltd. Japan PMC was established in 1968 to produce paper making chemicals and Seiko Chemical Industries was established in 1951 to produce resin products for inks and recording materials as well as paper chemical additives. One of the objectives of the merger was to form the largest paper chemical supplier to the Japanese paper industry. The larger size would allow the new company to invest in new areas more aggressively than either alone. In R&D, we were able to consolidate and expand our activity and in printing resins we have realized synergies with our paper making manufacturing and R&D activities. We plan to grow the company by working to form a new business venture in areas that focus on our core technologies of emulsification, dispersion, and polymer synthesis. We initiated production of paper chemicals in China in April 2006 with a newly built plant. This is SEIKO PMC's first investment outside of Japan and it will provide a platform for the company to participate in this high growth region. We have also been rationalizing our assets domestically. We have consolidated or eliminated any overlapping activities. We have strengthened our R&D by adding to the staff of our technical centers. Our heavy emphasis on R&D is one of our distinguishing attributes in the paper industry.
We are committed to use our combined business resources to provide new paper making additive systems that address the needs of the paper customers, to promote new eco-friendly ink resins, and to develop next generation resins for use in the new evolving printing and recording technologies.
SEIKO PMC's corporate mission is to enhance corporate value for its stakeholders by responding quickly and efficiently to our customer's needs in a responsible manner through effective business activities. The fulfillment of the company role in society to be a good corporate citizen is always present as an indispensable part of our philosophy of business. To these ends we adopted the following business principle and policies in order to achieve the mission outlined above:

1. Business Principle
   We will contribute to the creation of a livable society and an affluent future.
   
   
2. Business Policies
   (1) We will comply with laws and engage in fair business activities.
   (2) We will pay adequate attention to the environment, safety, and conservation of resources, and contribute to society.
   (3) We will generate new values and products that respond to the needs of the market and our customers.
   (4) We will release information proactively to our shareholders and society.
   (5) We will create a bright, liberal, and energetic corporate culture.