COMPANY PROFILE PT.

DAIDO METAL INDONESIA

CORPORATE PROFILE

Who We Are
Daido Metal manufactures and sells a wide variety of bearings for automobiles, marine
engines, construction machinery and general industrial use.
We have a global production and sales network in our five-hub system of Japan, North
America, Europe, Asia and China.
We are an independent company supplying our products globally to a diverse customer
base across many sectors.
We are the worlds largest manufacturer of several types of bearings, including nearly a
third of all automobile engine bearings and half of large ship engine bearings as of
2015.
We also boast an overwhelming domestic share of bearings used in trucks, construction
machinery, agricultural machinery and motorcycles, as well as bearings for automobile
parts such as turbochargers and shock absorbers.
In particular, our lead-free bearing products have received high marks from the market,
and are increasingly being adopted by European automobile manufacturers. In addition,
bearings used in turbines for electric power generation have earned a reputation
superior durability.

Nagoya Headquarters
13F NAGOYA HIROKOJI BLDG. 2-3-1, SAKAE NAKA-KU, NAGOYA 460-0008 Japan
Tokyo Headquarters
17F TENNOZU CENTRAL TOWER 2-2-24, HIGASHI SHINAGAWA, SHINAGAWA-
KU, TOKYO 140-0002 Japan
Established
4th November, 1939
Capital
JPY 7, 273 million (As of March 31, 2016)
Representative
Chairman and Chief Executive Officer, Seigo Hanji
President and Chief Operating Officer, Kotaro Kashiyama
Sales
(Consolidated) JPY 81,400 million (As of March 31, 2016)
(Non-Consolidated) JPY 64,665 million (As of March 31, 2016)
No. of Full Time Employees
(Consolidated) 4,637 (As of March 31, 2016: Regular Employees)
(Non-Consolidated) 1,285 (As of March 31, 2016: Regular Employees)
Listed Exchanges
Tokyo Stock Exchange 1st Section
Nagoya Stock Exchange 1st Section
Midterm Business Plan: Together to the Top
In the 76 years since the Daido Metal Group was established in Nagoya, Japan in 1939, we
have grown into a global corporation with 17 operations in 13 other countries.

We are the worlds only comprehensive plain bearing manufacturer, supporting rotational
applications in the automotive and other industries. We are also the worldwide leader in
tribology, the interaction of friction, wear, and lubrication. As such, we are valued by
customers as a reliable business partner, consistently providing top-level products.

Seigo Hanji, Chairman and Chief Executive Officer Daido Metal Co., Ltd.
We aim to broaden our global impact and capture the top share of the market for all types
of plain bearings. Our current Midterm Business Plan running from FY2012 to FY2017
provides the blueprint for our business expansion on a global basis.

As part of the initiative to broaden and restructure our operating bases in Stage One of the
Midterm Business Plan (FY2012 to 2014), our third factory at Dyna Metal Co., Ltd.
(Thailand) and second factory at Daido Precision Metal (Suzhou) Co., Ltd. were completed
in 2012.

In 2013 we also completed a second factory of Daido Metal Czech s.r.o.; a second factory
of PT Daido Metal Indonesia; and a factory for the newly established Daido Metal Mexico
S.A. de C.V. Production levels at this new plant have been rising steadily since it opened in
July 2013. In addition to serving as the cornerstone of production activity for Daido Metal
in the U.S. and Mexico, it is opening sales opportunities in South America, and is expected
to begin generating profits in the near future. We are also continuing the process of
establishing and expanding our operating bases, such as Daido Metal Russia LLC to
accommodate major production for foreign automobile manufacturers and the truck market.
We are likewise strengthening our five-hub system of Japan, North America, Europe, Asia,
and China.

In 2014, the final year of Stage One, we reviewed our activities to date and continued to
redefine the issues we must deal with, including changes in the market environment. We
are taking action to reach our group-wide challenge goals of 111 billion yen consolidated
net sales, 16.7 billion yen operating profit, a 15% or higher operating profit margin, and the
leading global market share for plain bearings in all industrial sectors by the final year of
Stage Two (FY2017).

All Daido Group companies continue to overcome challenges together, remembering the
Daido Spirit of Dream, Hope, Challenge.

We look forward to your suggestions and continuing to work with you.

Seigo Hanji
Chairman and Chief Executive Officer
Daido Metal Co., Ltd.

Bimetal Technology

Various bimetals
The term bimetal refers to a composite material made by bonding one of a variety of special
bearing layers onto a plate steel base. Daido Metals atomic-level bonding technology
includes sintering, pressure welding, casting and impregnation. We manufacture bimetals of
all characteristics, using copper alloys, aluminum alloys, polymers and other materials. The
foundation of our high-quality bearings is in the development of these bimetal materials.
These capabilities are the main reason the Daido Metal brand is so well respected.

Precision Processing Technology

Forming
Bimetal materials must undergo forming technology to produce high-performance bearing
products. Extremely precise machining is required at this stage, whether press cutting, press
working to form parts into half-bearings or cylindrical shapes or finishing to optimal
thickness are being performed. We design and manufacture in-house our own press molds
and dedicated machinery. Because we employ technology accurate to the micron level, we
are able to produce high-quality bearings with consistent reliability.

Surface Treatment Technology

Bearing with Overlay (sectional structure)

1. Overlay
2. Copper based alloy
Smooth motion depends upon the condition of the surfaces where friction occurs, with the
overlay covering the bearing layer playing a crucial role. Daido Metal is continually
developing overlays and improving production methods, and has established a surface
treatment technology for creating uniform, highly precise films. We are also actively
engaged in developing new surface treatment technologies.

THE CODE
Our Principles
We will always approach business from a global perspective.
We will always attend to the needs and desires of our customers.
 We will continue to recognize the importance of the environment.
We will continue to value individuality and work to achieve synergy among people.
We will always remain open to new ideas and proposals.
We will always respond with speed and agility.
Our Corporate Philosophy
Our Duty We hold ourselves responsible for the happiness of everyone in our
organization and the contributions we make to global society.
Our Resolve We will create a vigorous and open-minded corporate culture through
diligent self-discipline and ethical behavior.
Our Foundation We will learn from our markets, respond to our customers
requirements, and exceed our customers expectations.
Our Approach We will devote ourselves to creation, innovation and the realization of
dreams.
Our Objective We will strive to be the world leader in tribology through constant
technical improvement, development, and innovation.
Code of Conduct
Development of Sound Corporate Activities
We, the DAIDO METAL GROUP (Daido Metal Co., Ltd. and its affiliated companies),
make every effort to understand and comply with the applicable laws, rules and regulations
in the various countries where we conduct business. We endeavor to become a company
trusted by all our stakeholders, including customers, shareholders, employees, suppliers and
the community, while maintaining ethical relationships with government officials and
public administration.
Provision of Valued Goods for Customers
We develop and provide valued and safe products for the satisfaction and trust of our
customers.
Information Disclosure
We communicate with shareholders and society, actively and fairly disclosing corporate
information. In addition, we strictly manage and protect various confidential information,
including personal and customer information. We produce reliable financial reports based
on appropriate accounting processing.
Respect for Persons
We respect and encourage the diversity, personality and individuality of employees, and
ensure a harmonious and cooperative working environment in which health and safety are
of the utmost importance.
Protection of the Natural Environment
We recognize that protecting the environment, humankinds shared asset, is one of the most
important priorities, and we promote environmental conservation and protection through
our beliefs, practices and technology.
Social Contribution
We are aware of our important responsibilities as a corporate member of society, and
promote activities that contribute to its wellbeing.
Attitude towards Antisocial Forces and Organizations
We take a firm stance against any forces and organizations that threaten social order or our
corporate activities, and do not maintain relationships with any of them.
Global Business Activities
We continue to evolve as a global company by participating in business activities in other
countries, while respecting the laws, cultures, local customs and interests of stakeholders in
each country and region.
Problem Solving and Responsibility of Top Management
To fulfill our commitment to this code of conduct, senior management establishes firm
rules of action, and ensures full dissemination of these rules to all employees. Management
also ensures the ongoing development of these rules and integrates them within the entire
DAIDO METAL GROUP. If a situation occurs which contravenes the spirit of our code of
conduct, management assumes immediate responsibility for finding the cause, solving the
problem and taking appropriate action against the people concerned, regardless of position,
to prevent recurrence.

ENVIRONMENTAL POLICY
Fundamental Philosophy
Recognizing that protecting the global environment is one of the most important issues
facing us today, we endeavor to preserve the environment through the use of our
technology.

Fundamental Guidelines
We observe all applicable environmental laws and regulations, as well as other related
requirements.
To improve environmental preservation and sustainability and prevent contamination,
we establish environmental control objectives and targets, and reassess them
periodically.
We uncompromisingly promote energy and resource saving, recycling and industrial
waste reduction throughout our business activities.
We promote development of technologies and products that can contribute to
environmental preservation and improvement, using the full range of our technological
capabilities.
We willingly disclose and communicate our environmental efforts to customers, local
communities and other concerned parties.
We provide environmental education to promote employee awareness, and help them
conduct preservation activities voluntarily and responsibly.
And we ensure that all our employees are fully informed of these environmental
guidelines.

CERTIFICATIONS
Home > Company > Certifications
Quality Control and Quality Assurance Recognized
Worldwide
In addition to holding various patents, our plants in Japan and elsewhere are
certified under the international ISO9000 series, U.S. QS9000 standard and
German VDA6 standard, said to be the worlds strictest quality management
system. Based on solid quality control and quality assurance, we are
building trust and reinforcing our reputation as a true global manufacturer of
bearings.
 We also have ISO/TS 16949 under Certificate No.JQA-AU0023 and JQA-
AU0058

ISO9001 Management System Certificate Number: JQA-QMA13421

ISO/TS 16949 Management System Certificate Number: JQA-AU0023-1

Permanent Environmental Management System
We treat environmental problems as an important aspect of our
management. With the environmental 5Rs (re-use, recycle, reduce, refine,
return to energy) as our basic policy, we have started building new
environmentally friendly parts, and are promoting certification under
ISO14001 at all our production facilities. In addition, to comply with PRTR,
the law to promote control of emission of special chemical substances, we
have configured an environmental management system.

ISO14001 Management System Certificate Number: JQA-EM1402
Domestic offices and plants ISO14001 certified:
Daido Metal Co.,Ltd.
Nagoya Headquarters
Inuyama Site
Gifu Plant
Daido Metal Sales Co.,Ltd.
Daido Logitech Co.,Ltd.
Daido Plain Bearings Co.,Ltd.
Daido Industrial Bearings Japan Co.,Ltd.
To realize a workplace with zero hazards
We regard occupational safety and health activities as essential to realizing
a workplace with zero hazards. We have obtained OHSAS18001
certification, an internationally recognized specification, at our domestic
manufacturing locations:

OHSAS Certificate of Compliance Number: JQA-OH0045

Domestic offices and Plants OHSAS certified:
Daido Metal Co.,Ltd.
Inuyama Plant
Maehara Plant
Bi-metal Plant
Environment & Safety Management Center
Gifu Plant