From the day of incorporation, we have sustained a steady emphasis on R&D to produce "creative technologies." We rely on our own proprietary technologies to send a succession of new products to market. Our R&D organization is closely integrated with our Shibukawa (Gunma Prefecture) and Mizushima (Okayama Prefecture) production plants, and we maintain a steady dialog between them and the three research labs located on or near these facilities. The New Product Development Division coordinates the work of all of the laboratories, performing the planning functions and gathering technological information to ensure effective product commercialization. This lab develops high-value added products, such as fluorochemicals and organic compounds. It is currently focusing on new etching and cleaning gases for semiconductor production, a segment with expanding market potential. Located on the outskirts of the Shibukawa Plant, Functional Materials lab specializes in the development of new products based on ferrous fine chemicals, organic/inorganic hybrid products and functional materials. In the reprographic and printers segment, work is progressing on environmentally friendly, longer-lasting carrier media to meet increasing demand for products suited to the digital, color age. In July 2001, New Materials lab launched its research activities. Its mandate is to research the basic technologies for new products as well as pursue later-stage development of new materials with the potential to become future mainstays of the Company. This lab is responsible for researching and developing materials for batteries and organic compounds as well as handling commissioned production in these fields. In the organic compounds field, we focus on researching the synthesis of high-value added compounds, primarily organo-fluorine compounds used as raw materials for the pharmaceutical and agrochemical industries, as materials for liquid crystals and as various functional materials. This lab is also in the planning stages of obtaining certification for the Good Manufacturing Practices designation to further bolster confidence in our capabilities.