Takeda, ORIX Eco Services Corporation and JR Freight Join Forces to Reduce Environmental Impact
First case in Japan of recycling blister packaging waste by outsourcing waste disposal and switching to less CO2-polluting mode of transportation

TOKYO, Japan - May 25, 2023 - Takeda Pharmaceutical Company Limited (Head Office: Osaka, President and CEO: Christophe Weber, hereinafter "Takeda"), ORIX Eco Services Corporation (Head Office: Tokyo, President: Hidetaka Yamashita, hereinafter "ORIX Eco Services") and Japan Freight Railway Company (Head Office: Tokyo, President, Director and Executive Officer: Shin Inukai, hereinafter "JR Freight") announced today that the three companies will join forces to reduce the environmental impact of the recycling and transportation of blister^*1 packaging waste generated in Takeda's manufacture of ethical pharmaceutical products.

1. Key points
― Takeda will become the first pharmaceutical company in Japan to recycle blister packaging waste and realize a modal shift in waste transportation methods.
― ORIX Eco Services has become the first company in Japan to obtain an industrial waste disposal license for the stripping of blister packaging waste and other materials, and will be responsible for recycling Takeda's blister packaging waste.
― JR Freight will provide freight rail transportation services for transporting blister packaging waste materials, emitting less CO₂ than road transportation.

2. Overview
Under a tripartite agreement, the companies will launch the following initiatives on June 1, 2023. Takeda will be the first pharmaceutical company in Japan^*2 to begin recycling blister packaging waste (material recycling) by outsourcing waste disposal to ORIX Eco Services , a licensed industrial waste disposal company. Of the approximately 101 tons of blister packaging waste generated each year at Takeda's Hikari Plant, around 96 tons, or about 95%, will be recycled^*3. To date, Takeda has been conducting thermal recovery of blister packaging waste from its plants by incinerating the waste, recovering the heat energy from the incineration process, and reusing the residual material. Under the new arrangement, blister packaging waste will be recycled by completely separating the plastic and aluminum.

From January to March 2023, ORIX Eco Services carried out a demonstration test on Takeda's blister packaging waste using stripping equipment and showed that most of the waste could be completely stripped of plastic and aluminum, making it possible to recycle the waste.^*4 On May 11, 2023, ORIX Eco Services became the first company in Japan to obtain a license^*5 to dispose of industrial waste associated with the stripping of blister packaging waste and other materials.

The blister packaging waste will be transported by JR Freight by rail – which has a low environmental impact relative to road – from Takeda's Hikari Plant (Hikari City, Yamaguchi Prefecture) to ORIX Eco Services's industrial waste treatment plant (Funabashi City, Chiba Prefecture), replacing the conventional truck transportation (a modal shift^*6), in a bid to reduce CO₂ emissions. The blister packaging waste will be loaded onto JR Freight's 12ft containers at Takeda's Hikari Plant and transported by rail from Shinnan-yo Station (Shunan City, Yamaguchi Prefecture) to Sumidagawa Station (Arakawa Ward, Tokyo).

3. Comments from each Company
Greg Timmons, Head of Takeda's Global Manufacturing & Supply, Japan, said, "Our vision and commitment to the future is to help preserve the natural environment of the planet that ultimately sustains life."

At Takeda, we are pleased to have entered into this agreement with ORIX Eco Services and JR Freight and will continue efforts to reduce the environmental impact of our manufacturing activities and thereby fulfill our commitment to sustainability.

ORIX Eco Services President Hidetaka Yamashita said, " ORIX Eco Services offers a wide range of reuse, recycling and appropriate disposal solutions through its network of more than a thousand waste management partners around the country. We are delighted to be working alongside Takeda and JR Freight to promote this groundbreaking recycling initiative. We will continue to work towards a sustainable, recycling-oriented society by providing optimal solutions to our customers."

Soichiro Wake, Deputy General Director of the Railways Business Headquarters of JR Freight said, "We are working together with our customers, logistics providers and others to realize a green society by taking advantage of low-environmental-impact transportation. We are delighted to be able to contribute to a recycling-oriented society through this collaboration with Takeda and ORIX Eco Services to recycle PTP waste as we strive to become an ‘environmentally advanced company.’"

Takeda, ORIX Eco Services and JR Freight will promote comprehensive efforts to contribute to a recycling-oriented society and reduce CO₂ emissions by recycling and switching to transportation methods that emit less CO₂.

*1 Press-Through Package: Also known as "blister packaging," press-through packages are sheets in which tablets and capsules are encased in a single sheet of plastic and covered with a layer of aluminum.
*2 Based on research by Takeda Pharmaceutical as of May 25
*3 Calculation based on last year's results
*4 Excluding blister packaging waste that uses plastic composite materials
*5 Based on research by ORIX Eco Services as of May 25
*6 Conversion of freight transport by trucks and other vehicles to railroads and ships, which have less of an environmental impact. In recent years, it has become hoped that this shift will significantly reduce CO₂ emissions in the transportation sector.

Contact Information:
Investor Relations and Sustainability Department
ORIX Corporation
Tel: +81-3-3435-3121

About ORIX:
ORIX Corporation (TSE: 8591; NYSE: IX) is a financial services group which provides innovative products and services to its customers by constantly pursuing new businesses.
Established in 1964, from its start in the leasing business, ORIX has advanced into neighboring fields and at present has expanded into lending, investment, life insurance, banking, asset management, automobile related, real estate and environment and energy related businesses. Since entering Hong Kong in 1971, ORIX has spread its businesses globally by establishing locations in 28 countries and regions across the world.
Going forward, ORIX intends to utilize its strengths and expertise, which generate new value, to establish an independent ORIX business model that continues to evolve perpetually. In this way, ORIX will engage in business activities that instill vitality in its companies and workforce, and thereby contribute to society. For more details, please visit our website: https://www.orix.co.jp/grp/en/
(As of March 31, 2023)

Caution Concerning Forward Looking Statements:
These documents may contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results that differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under “Risk Factors” in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission and under “(4) Risk Factors” of the “1. Summary of Consolidated Financial Results” of the “Consolidated Financial Results April 1, 2022 – March 31, 2023” furnished on Form 6-K.