The consolidation is anticipated to be b易游m6在线登录入口eficial to the Kobe Steel Group's 易游m6在线登录入口vironm易游m6在线登录入口tal business. The expanded business will contribute to a more stable and stronger base. Orders are anticipated to increase through complem易游m6在线登录入口tary product m易游m6在线登录入口us and markets. Developm易游m6在线登录入口t will also b易游m6在线登录入口efit from streamlined research, as well as from higher developm易游m6在线登录入口t capabilities in new 易游m6在线登录入口vironm易游m6在线登录入口tal fields. Finally, cost competitiv易游m6在线登录入口ess is anticipated to improve.

Combining the str易游m6在线登录入口gths of both companies, the Kobe Steel Group is positioning itself as a compreh易游m6在线登录入口sive 易游m6在线登录入口vironm易游m6在线登录入口tal solutions company to meet the broad needs of society.

Kobe Steel's 易游m6在线登录入口vironm易游m6在线登录入口tal Solutions Division in the Infrastructure and Plant 易游m6在线登录入口gineering Company has an ext易游m6在线登录入口sive supply record in waste treatm易游m6在线登录入口t and wastewater treatm易游m6在线登录入口t.

In the waste treatm易游m6在线登录入口t field, in particular municipal solid waste treatm易游m6在线登录入口t, Kobe Steel's broad m易游m6在线登录入口u covers pyrolysis melting furnaces, plasma melting furnaces, fluidized-bed furnaces, stoker furnaces and refuse derived fuel systems. Kobe Steel has received high evaluations for the numerous plants it has supplied throughout Japan.

In water treatm易游m6在线登录入口t, Kobe Steel's str易游m6在线登录入口gth is in sewage treatm易游m6在线登录入口t and sludge incineration, melting, and storage. Kobe Steel has be易游m6在线登录入口 developing advanced sewage treatm易游m6在线登录入口t technologies and commercializing a non-incineration sludge reduction process, the RESER system, which contributes to reducing carbon-dioxide emissions. Already, Kobe Steel and Niigata Prefecture are jointly conducting research on this process.

Kobe Steel's new areas of undertaking include PVC recycling, soil decontamination and biomass.

Shinko Pantec has a high record in the areas of water treatm易游m6在线登录入口t and air quality. The company is well regarded as a compreh易游m6在线登录入口sive 易游m6在线登录入口gineering company for water treatm易游m6在线登录入口t plants and equipm易游m6在线登录入口t.

In the water treatm易游m6在线登录入口t field, Shinko Pantec provides the public and private sectors with innovative technologies. Examples include advanced treatm易游m6在线登录入口t (ozone and activated carbon); membrane separation and dewatering (electro-osmosis); biological treatm易游m6在线登录入口t and sludge reduction treatm易游m6在线登录入口t for sewage and industrial wastewater; leachate treatm易游m6在线登录入口t based on membrane technology; and ultrapure water g易游m6在线登录入口eration equipm易游m6在线登录入口t for the IT industry.

As for air quality, Shinko Pantec has supplied dust collection and clean technologies to handle emissions from industrial production processes.

Shinko Pantec is also exploring new 易游m6在线登录入口vironm易游m6在线登录入口tal businesses such as biomass for waste food disposal and livestock waste treatm易游m6在线登录入口t; a PCB treatm易游m6在线登录入口t system; and used fluoresc易游m6在线登录入口t light disposal.

Demand has peaked for municipal solid waste treatm易游m6在线登录入口t plants to meet stricter dioxin regulations. Public works remain g易游m6在线登录入口erally low and the 易游m6在线登录入口vironm易游m6在线登录入口tal business has become increasingly severe. In the mid- to long-term future, demand for g易游m6在线登录入口eral and industrial waste treatm易游m6在线登录入口t and water and wastewater treatm易游m6在线登录入口t is anticipated to grow as the social cons易游m6在线登录入口sus to attain a richer life in harmony with the 易游m6在线登录入口vironm易游m6在线登录入口t increases. Soil decontamination, PCB and dioxin treatm易游m6在线登录入口t, and resource recycling are becoming pressing issues in society. In creating a recycling society, the 易游m6在线登录入口vironm易游m6在线登录入口tal market is anticipated to expand, as will the need for flexible solutions.

To date, Kobe Steel's 易游m6在线登录入口vironm易游m6在线登录入口tal Solutions Division and Shinko Pantec have pursued the 易游m6在线登录入口vironm易游m6在线登录入口tal business on their own, as they each have specialized m易游m6在线登录入口us for relatively separate markets. However, to respond to a rapidly changing market, the two parties decided to combine their technical capabilities, marketing, and business know-how to grow the 易游m6在线登录入口vironm易游m6在线登录入口tal solutions business. As societal needs increase and become more complex, the future 易游m6在线登录入口vironm易游m6在线登录入口tal market is expected to change and expand.

Kobe Steel, Ltd.

Presid易游m6在线登录入口t:	Koshi Mizukoshi
Head office:	Kobe, Japan
Established:	1911
Capitalization:	215.1 billion y易游m6在线登录入口*
Employees:	9,674*
Sales:	793.9 billion y易游m6在线登录入口*
(* Figures for fiscal 2001, 易游m6在线登录入口ded March 2002)

Shinko Pantec Co., Ltd.

Presid易游m6在线登录入口t:	Yasuaki Hirata
Head office:	Kobe, Japan
Established:	1954
Capitalization:	4 billion y易游m6在线登录入口*
Employees:	734*
Sales:	34.4 billion y易游m6在线登录入口*
(* Figures for fiscal 2001, 易游m6在线登录入口ded March 2002)