A N N U A L R E P O R T 1 9 9 9
A N N U A L R E P O R T 1 9 9 9
A N N U A L R E P O R T 1 9 9 9
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?<br />
Japan’s printing industry has already<br />
entered a period characterized by highly<br />
mature markets. What will Toppan—one<br />
of Japan’s leading printing companies—do<br />
to ensure continued growth in its core<br />
business of printing?<br />
Since Toppan’s establishment, superior<br />
printing technology has been the foundation<br />
of the Company’s operations. Today,<br />
we are making full use of the know-how<br />
acquired over many years of success in the<br />
printing industry throughout our wideranging<br />
fields of business, which extend to<br />
securities and cards, commercial printing,<br />
publications printing, packaging, industrial<br />
materials, electronics, business forms, and multimedia.<br />
Demand for printing, Toppan’s core business, is currently<br />
weakening due to the lengthening economic slump in<br />
Japan and to the maturity of the market. Toppan has a large<br />
share of the domestic market, and to survive the intense price<br />
competition that is currently affecting the printing industry the<br />
Company is emphasizing a customer-first orientation and<br />
advanced information capabilities.<br />
To meet diverse customer needs, we will focus on the<br />
fundamentals of the printing business—providing high-quality<br />
printed materials in a short turnaround time and at a reasonable<br />
cost. In this light, we will emphasize our customer-first policy in<br />
all departments throughout the Company, including marketing,<br />
manufacturing, administration,<br />
technology, and research. This<br />
policy is linked to the strategy<br />
of further heightening our<br />
customer orientation in the<br />
printing business around a core<br />
of advanced information capabilities.<br />
In commercial printing,<br />
we responded to growing<br />
demand for personalized marketing with the establishment<br />
of a new line for the production of catalogs at our<br />
Sakado plant in Saitama Prefecture. Toppan is using this<br />
facility in conjunction with the Integrated Database<br />
Marketing System that it has developed in-house to meet<br />
diversifying customer needs. In addition, we opened the<br />
Digital Prepress Center in Tokyo as a base for responding to<br />
the increasing use of digitization in publication printing<br />
markets, where demand for shorter delivery times and<br />
lower costs continues to strengthen.<br />
Toppan’s commitment to the environment<br />
extends throughout the Company. In our packaging<br />
operations, we have developed a lineup of environmentally<br />
friendly products, centered on food packaging<br />
applications. This lineup includes recyclable<br />
products and products that do not release harmful gases<br />
when incinerated. In industrial materials, meanwhile, we<br />
have developed non-polyvinyl-chloride (non-PVC) interior<br />
materials and formalin-free decorative boards. In the area of<br />
sophisticated, high-value-added printing-related products, we<br />
!<br />
are developing advanced IC cards and comprehensive systems<br />
to meet rapidly expanding security needs in the securities and<br />
cards field.<br />
Overseas, we relocated our publications printing<br />
operations from a now closed Singapore subsidiary to Hong<br />
Kong and Shenzhen, China. In the future, we will further<br />
strengthen these plants in line with their roles as important<br />
production bases in Asia.<br />
Progress in Printing<br />
Personalized catalog production<br />
plant opened<br />
During the past fiscal year,<br />
Toppan opened a line for the<br />
production of personalized catalogs.<br />
The new line will be used<br />
in tandem with our database marketing<br />
operations, which are already showing favorable<br />
results. Built at a cost of ¥14.0 billion on<br />
the site of our Sakado plant in Saitama<br />
Prefecture, the new facility features high-speed<br />
digital networks and the latest laborsaving and factory automation<br />
systems. There is strong demand in the market for personalized<br />
marketing services, especially in the Tokyo metropolitan area.<br />
In order to bolster our ability to meet that demand, we built this<br />
new line, which is Japan’s first full-fledged selective system line for<br />
the printing, binding, and enclosure of catalogs that are personalized<br />
in accordance with the preferences of individual customers.<br />
Mass production of the world’s first hybrid IC cards<br />
In response to demand for IC cards that combine the advantages<br />
of contact and non-contact cards, Toppan has built facilities<br />
for the full-scale mass production of hybrid IC cards that<br />
are about the size of a credit card and can be embossed. These<br />
new production facilities have enhanced Toppan’s ability to<br />
meet demand in such areas as electronic payment systems and<br />
multipurpose IC cards.<br />
Toppan GL Film in North America<br />
and Europe<br />
Toppan has signed an exclusive sales<br />
contract for GL Film, a transparent<br />
high barrier film, with Huntsman<br />
Packaging Corporation, of the United<br />
States. The agreement, which covers<br />
Canada, the United States, and Mexico, will lead to expanded<br />
sales of this film for use in applications that require excellent<br />
barrier properties, such as confectioneries, processed foods,<br />
toiletries, medicines, and precision electronic components.<br />
Meanwhile, to expand sales in Europe, we have<br />
entered into a tie-up with a company based in Milan.<br />
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