Canon 2006 Annual Report Download - page 2

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CONTENTS
FINANCIAL HIGHLIGHTS ............................ 1
TO OUR STOCKHOLDERS ........................... 2
EXCELLENT GLOBAL CORPORATION
PLAN—PHASE III ......................................... 4
CORPORATE GOVERNANCE ....................... 10
CORPORATE FUNCTIONS ........................... 15
RESEARCH & DEVELOPMENT
PRODUCTION
SALES & MARKETING
CORPORATE SOCIAL RESPONSIBILITY
PRODUCT GROUPS ..................................... 27
OFFICE IMAGING PRODUCTS
COMPUTER PERIPHERALS
CAMERAS
OPTICAL AND OTHER PRODUCTS
MAJOR CONSOLIDATED SUBSIDIARIES .... 36
FINANCIAL SECTION ................................... 37
TRANSFER AND REGISTRAR’S OFFICE ....... 92
STOCKHOLDER INFORMATION ................. 92
Canon develops, manufactures and sells a wide lineup of copying machines,
printers, cameras, optical products, industrial equipment and other products to
meet a diverse range of customer needs. The Company has developed its
business activities on a global scale. Canon is a registered trademark in over
180 countries and regions around the world.
Canon first began implementing its Excellent Global Corporation Plan in
1996, and has since delivered a series of strong performances. In fiscal 2006,
the inaugural year of Phase III of the Plan, Canon achieved record earnings and
marked its seventh consecutive year of growth in both sales and net income.
With the spread of globalization and broadband networks, Canon stands
poised to lead a new era in digital imaging and highly effective
communication. In addition to strengthening business results for enhanced
corporate value, the Company engages in a number of environmental and
social contribution activities and focuses on fulfilling its duties to investors and
society by stressing good corporate governance.
The corporate philosophy of Canon is kyosei. A concise definition of this
word would be “Living and working together for the common good,” but
our definition is broader: “All people, regardless of race, religion or culture,
harmoniously living and working together into the future.” Unfortunately,
the presence of imbalances in our world in such areas as trade, income
levels and the environment hinders the achievement of kyosei.
Addressing these imbalances is an ongoing mission, and Canon is doing
its part by actively pursuing kyosei.True global companies must foster good
relations, not only with their customers and the communities in which they
operate, but also with nations and the environment. They must also bear
the responsibility for the impact of their activities on society. For this reason,
Canon’s goal is to contribute to global prosperity and people’s well-being,
which will lead to continuing growth and bring the world closer to
achieving kyosei.
In fiscal 2007, Canon’s 70th year in business, the Company aims to
strengthen existing businesses and identify next-generation business domains
to assure sustained growth beyond 2010, while maintaining a high profit
margin structure. Canon will make every effort to join the ranks of the global
top 100 companies by 2010 in terms of key performance indicators. The
Company’s goals for 2010 include net sales of ¥5.5 trillion and a return on
net sales ratio of 10% or higher.
CORPORATE PROFILE
CORPORATE PHILOSOPHY:Kyosei
CORPORATE GOAL
Cover Photos:
Aiming to expand its business areas to achieve sound
growth in Phase III, Canon has entered the print-on-
demand market and strengthened its large-format
printer business. The Company will leverage its
exceptional imaging technologies to increase its
presence in these markets.