The activities of society and industry depend heavily on energy from fossil fuels. So do the vehicles we use as our principle means of transportation. This makes the issue of co-existence between vehicles and the global environment a major challenge for society.

At Isuzu we place a high priority on global environmental issues in our business management. We are working to conserve the environment throughout the life cycle of the vehicle - through the development, manufacturing, use, and end-of-use phases. We are also working actively to contribute to environmental conservation in local communities and society.

One example of such efforts is our work to develop advanced clean diesel engines that are friendly to the earth, with excellent combustion efficiency, high fuel efficiency, and reduced CO emissions-the major cause of global warming, which poses the greatest of environmental challenges. In addition, Isuzu has acquired ISO 14001 certification at all our plants in Japan, as well as our major overseas plants, and will steadily improve its environmental management systems, including those that further promote vehicle recycling.

Regarding exhaust emission regulations, we see it as our social responsibility to comply with new regulations, as far in advance of deadlines as possible. In June 2002, Isuzu became Japan's first vehicle manufacturer to launch the sales of light-duty trucks that meet Japan's exhaust emission regulations that are coming into effect in 2003.

Recognizing the importance of proactive and steady efforts for environmental conservation, Isuzu will continue to do its best in promoting protection of the global environment. We hope this report will help deepen your understanding of our environmental initiatives, and we will continue to expand our efforts to provide such information in the future. Your suggestions and comments would be greatly appreciated.