No Contents Page 1 MD message 2

2 Summary of the company’s business 3 2.1 Location Map 4 2.2 Company Profile 5 2.3 Company Layout 6

3 Environmental Policy 7 ~ 8

4 Status of Environmental Management System 9 4.1 Company’s achievements 10 4.2 Environmental Organization Chart 11

5 Environmental Objective and Achievement 12 ~ 13

6 Information and indicators that describe the status of activities for environmental impacts and reduction measures 6.1 Environmental Load 14 ~ 18 6.2 Wastes Management 19 ~ 21 6.3 Energy Saving 22 ~ 23 6.4 Rainwater Harvesting System 24 ~ 25

7 Education for employees 26 ~ 27

8 Status of Social Contribution Related to 28 ~ 30 Environment

9 Contact Information 31

1 Mr. Won Yin Hock Managing Director Sharp Manufacturing Corporation (M) Sdn. Bhd

SMM is a manufacturer of LCD TVs range in size from 19 inches to 80 inches. We are among the largest multinational company in . Our company has been awarded ISO 14001 certification since 1998 .

We strongly believe in the ideals of high quality services and products. Additionally, we are also very concerned about environmental preservation in our operations. Therefore, we are committed to comply with all applicable laws or regulations related to the environment.

We published this environmental report is to disclose SMM activities pertaining to the environmental preservation. It is hoped that this publication could help all our stakeholders and interested parties can understand our policy, activities and any measures that are being taken to preserve the environment.

We are consistently hold twice a year an environmental awareness campaign internally and externally to increase awareness and knowledge of our employees and the surrounding communities the importance of environmental conservation in their daily lives. In every campaign held many of our employees voluntarily participate the campaign. In fact, we also received a positive response from local society.

We will continue to enhance our efforts in environmental conservation. Finally, let us take care of the environment for the well-being of future generations.

This report describes the main environmental activities carried out in the year of FY2019 (April 2019 – March 2020) by the company for your better understanding.

2 3 SMM was located in strategic industrial park named Kawasan Perindustrian , 25km from North South Highway Interchange, 120km from Singapore and 260km south from capital of , .

4 COMPANY NAME : SHARP MANUFACTURING CORPORATION (M) SDN.BHD. (198901011260) ADDRESS : PLO-225 KAWASAN PERINDUSTRIAN SRI GADING, 83009 BATU PAHAT, DARUL TAKZIM

DIRECTORS: MANAGING DIRECTOR : MR. WON YIN HOCK FACTORY MANAGER : MR. LEE YEO KIANG ADMIN GEN. MGR : MR. TAN HEE LAI

DATE FOUNDED : OCTOBER 1989 PROD. STARTED : JUNE 1990 PAID-UP CAPITAL : RM 162 MILLION SHARE HOLDERS : SHARP CORPORATION [100%] FISCAL YEAR : MARCH

LINE OF BUSINESS: PRODUCTION OF : Liquid Crystal Display (LCD) Module & Television / Liquid Crystal Display Monitor and their kits thereof PWB assembly and their kits thereof

EXPORT MARKET : JAPAN, ASIA, EUROPE, AMERICA

LAND AREA : 142,387M² BUILD-UP AREA : 74,612M²

EMPLOYEES : 1385 (1st April 2020)

ACHIEVED : ISO 9001 BY SIRIM IN NOVEMBER 1994 ISO 14001 BY SIRIM IN OCTOBER 1998

5 PLANT 3

PLANT 2

PLANT 1

Plant 1 Auto SMT process, Production PWB, and Training Center. (12,375 m2)

Plant 2 LCD TV (24”~80”) Final Assembly process, Purchasing, Engineering, Administration office, Shipping and Warehouse. (15,720 m2)

Plant 3 Module Repair, Warehouse and Gaming Production (46,517 m2)

6 7 Environmental Policy

This environmental policy indicates our commitment to protect the environment. We will explore and apply the best practical means to reduce adverse significant impact from our activities, products & services in our continuous quest to manufacture the product with the best quality and environmental friendly.

The following pro-active efforts shall be taken in order to fulfill our commitment:

Identify existing and potential pollution. Recommended actions, objectives & targets will be established in the environmental programs to ensure a progressive and systematic means in pollution prevention, waste reduction & minimization of energy consumption l Ensure compliance with applicable legal requirements & with other requirements which relate to its environmental aspects. l Promote environmental protection in line with Sharp environmental policy. l Annually review this environmental policy together with the environmental objectives & targets. l Publicize and communicate this environmental policy to all persons who work for or on behalf & make it readily available to the public.

We will achieve continual improvement and prevention of pollution through our systematic Environmental Management System.

8 9 10 Accounting Department Head Cost Control Department Head Managing Director MIS Department Head Shipping EMR Department Head GA Manager. Purchasing Department Head Warehouse EMS COORDINATOR Department Head GA Asst. Manager Module Prod. Department Head EMS SECRETARIAT Purchasing GA OFFICER Department Head

Auto SMT Department Head QA INTERNAL Department Head AUDITORS PWB Prod. Department Head

Production Control Group Dept. Head Human Resource Department Head Engineering Department Head General Affairs Department Head

Prod. Engineering Department Head

11 12 Items CO2 Emission Wastes Reduction of Manufacturing Objective Reduction of CO emission 2 wastes To reduce manufacturing wastes To reduce of CO emission Target 2 generation (Kg/Prod.unit).SMM (t-CO /Prod.Unit). 2 target not over 0.5kg/prod. unit

13 14 Electricity 10,908.60 MWh

City Water 38,919 m3

Raw materials, electronic Components and ADVERSE IMPACTS Packing materials

CO2 5,825.19 t-CO2

BENIFICIAL IMPACTS Hazardous Wastes 3.27 ton

Wastewater Landfill Waste 38,919 m3 Wastes 46.71 ton Recycled 2044.92 ton

15 Consume Environment Measure to reduce al Impact environmental impact

Electricity CO2 emission 1. Implement delay “ON” and early “OFF” air-condition policy. On at 8.00 am OFF during lunch hour and 15 minutes before stop working at 5.30 pm.

2. Centralized the departmental office in one location to share the air- condition and lighting.

16 Consume Environment Measure to reduce al Impact environmental impact

City water Depleting 1. Set up the rain water natural harvesting system resources for air-condition cooling tower and washroom.

Raw Depleting 1. Sent used packing materials, natural materials such as electronics resources carton box, plastics, components, polyfoam etc. to packing recycler contractor. materials etc.

17 Environment Environmenta Measure to reduce al burden l Impact

Hazardous Land or 1. Dispose through wastes water Department of pollution Environmental licensed contractor for fully recovery or partial recovery or secured landfill or incineration.

Landfill Land or 1. Dispose at Local wastes water authority pollution gazette sanitary landfill.

18 19 Parts Delivery Components, chemicals from Supplier and packing materials

Export Manufacturing Activities Products

Wastes Shall comply with the Malaysian Environmental Quality (Schedule Wastes) Regulation 2005

Sell to DOE Hazardous YES YES licensed Sellable Wastes contractor for Recovery

NO NO Solder dross 1.Spent solvent Send to DOE 2.Spent oil Supplier collect YES 3.Scrap PWB back for Reuse Reusable licensed contractor 4.Contaminated rags for disposal 5.Contaminated gloves 6.Contaminated filters 1.Carton Box 7.Contaminated containers 2.Wooden Pallet NO *DOE – Department of Environment 3.Miramat YES 4.Plastic Recyclable Sell to buyer 5.Polyfoam for Recycle

NO Landfill

Wastes that cannot be Reuse or Recycle The above diagram shows SMM wastes management flow.

Several measures had been taken in order to reduce industrial waste, such as : -

1) Encourage local suppliers or in proximity supplier to take back their packaging materials for reuse. 2) Intensively practice the waste segregation according to the wastes category. 3) Installed solder recover machine to recover solder from our solder dross for reuse back in solder machine.

Besides the measures mentioned above could reduce the environment burden, those activities could also help in preserving the natural resources and reduce the operating costs.

20 To achieve the reduction of industrial waste, SMM has improved its industrial waste management by recover pure solder from solder dross with solder recovery machine.

Normally, we dispose solder dross through the DOE licensed contractor in a large amount but after using solder recovery machine, disposal of solder dross was reduced by up to 75%.

With this Solder Recovery System we are not only reduce the industrial wastes but also it help us in reducing solder cost.

Solder machine

Solder dross Solder ingot

Solder recovery machine

21 22 Stick an appeal sticker “HELP CONSERVE ENERGY” to every lighting, air-condition switches and power socket outlet.

Installed timer to the rest room air conditioner system.

08:00 17:15 Delay “ON” and Early “OFF” policy for air-condition

23 24 Rain water tank 1

Tank capacity 22,000 liters of rainwater located near Plant 1 cooling tower.

We used rainwater as an alternative clean water sources for supplying water to air condition cooling tower.

Rain water tank 2

This tank with capacity 35,000 liters of rainwater located at Plant 2 cooling tower.

From both tank 1 and tank 2, we able to harvest 50, 000 liters of rainwater per year.

25 26

In our continuous commitment to level up our employees knowledge on environment, we had managed to conduct our in-house environmental awareness trainings. The trainings are as below.-

No Subject Date

1 Safety Health and Environment Exhibition 19/08/2019 - 2019 21/08/2019

2 Restriction of Hazardous Substances 18/06/2019 (ROHS)

3 Chemical Handling 30/05/2019

4 ISO 14001:2015 Kesinambungan Aspek & 29/04/2019 – Impak Alam Sekitar Dengan Pernilaian 30/04/2019 Risiko Alam Sekitar

27 28 In line with the continuing commitment to safety, health and environmental sustainability, Sharp Manufacturing Corporation (M) Sdn. Bhd. (SMM) held a Safety, Health and Environmental Exhibition 2019 from August 19th to 21st to further raise the awareness of the commitment among its employees.

Nine departments of SMM joined the exhibition, and themes of the booths were based on the departments’ functions. For example, the theme of Purchasing Department booth was “Recycle Packaging Material” and Administration Department made their booth based on “The Recycling Route of Waste” theme.

As a part of the exhibition, a poster contest was held, and several Malaysian government agencies, such as The Fire and Rescue Department, Department Of Environmental, and Health Department, also joined the contest.

The exhibition closed with a keynote “Go Green, Stay Safe, Stay Healthy and Love Sharp”, and SMM will continue its operation with aiming for this keynote.

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Publisher MOHD AIZUDDIN SAMAD EMS Secretariat SHARP MANUFACTURING CORPORATION (M) SDN. BHD (188562 – V) PLO. NO. 225, KAWASAN PERINDUSTRIAN SRI GADING, 83009 BATU PAHAT, JOHOR, MALAYSIA. P.O BOX 513

TEL: +06-07-4302604 FAX: +06-07-4558972

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