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Cobham plc: Corporate Responsibility Report 2004

Cobham designs and manufactures equipment, specialised systems and components supplied to the , defence, homeland security, search and rescue and communications markets and operates, modifies and maintains aircraft for military training, special mission flight operations and outsourced freight and passenger services

2004 Revenue by Operating Group 2004 Revenue by Origin

Flight Ops ROW UK £188m ASG £ 211m £233m £386m

USA Othe r EU Chelton £355m £184m £409m Total £983m

2004 Average Employees by Operating Group 2004 Average Employees by Region 9.9% 0.3% 2.4% UK Flight Ops 2.9% Other EU 17 % ASG USA 44.8% 36% Canada Chelton 28.5% 47% Australia Total 9,863 ROW 11.2%

This report covers 99% by turnover of Cobham’s 100% owned subsidiaries

2 Cobham plc: Corporate Responsibility Report 2004

3 Cobham plc: Corporate Responsibility Report 2004

4 Cobham plc: Corporate Responsibility Report 2004

Message from Chief Executive data collection and reporting processes to meet the requirement.

This is the Group’s second The Global Reporting Initiative is currently being Corporate Responsibility used to guide future Corporate Responsibility (CR) report and covers the reporting strategy. As part of this review the financial year 2004. measures reported will be validated against the Group’s operations, its strategic goals and risk As a global manufacturer, profile. This review will also assist in preparing Cobham is serious about the for the requirements of the Operating and need to operate in an Financial Review. economically, environmentally and socially responsible way. Our Once this phase is complete consideration can be Corporate Framework sets out principles for given to the setting of targets. employees at all levels to guide our business operations. These principles include policies on Completion of a revised organisation-wide business ethics, fraud, equal opportunities, health corporate framework and the setting of and safety, environment, community involvement policies in the CR area and whistle blowing. The revision of the Corporate Framework is complete. The Group’s policies on CR are Through the products and services Cobham supplies included on the Cobham plc website in our 2003 to the defence market we are supporting national Corporate Responsibility Report. and global security. In our civil markets we are contributing to communication and travel, both of Using the Cobham internet website to which are increasingly important in the global communicate with stakeholders and economy. facilitate CR awareness and continual improvement within the Group Perhaps our most significant contribution is through Including a CR report on the website has been the wealth we create in employing 10,000 people seen as a useful addition by stakeholders. across the group and through the jobs we support in Suggestions as to how the report can be our supply chain. improved have been received and these will be incorporated in the next CR report where In our first Corporate Responsibility report we set practicable. out some objectives for 2004. Progress has been made against each of these objectives as described A message board has also been created on the below. employee section of the website where queries can be raised and details of achievements Refinement of the data collection and posted. reporting system Improvements have been implemented to aid those completing the information and those 2004 Highlights responsible for collating and verifying the data. A seminar was organised for Cobham CR Verification of CR performance as part of representatives in the UK & the rest of . the Cobham assurance process With attendees from all sectors, the seminar The processes used to obtain and report CR data covered the drivers and key elements of CR. The were reviewed at a number of subsidiaries during seminar gave the attendees the chance to the year as part of the internal assurance develop their CR network, discuss common programme. Further work will be performed in issues and review Cobham’s CR Key Performance this area in 2005. Indicators. Attendees were also given an update on environmental legislation. Expansion of key performance indicators and the setting of performance targets FR Aviation Ltd (UK) achieved the British Safety Progress towards achievement of this goal has Council’s 5-Star Award for the company's safety been slow. The range of KPIs has been & environment management system. This increased but subsidiaries are still developing the prestigious award for safety, health and

5 Cobham plc: Corporate Responsibility Report 2004

environment management performance is Objectives for 2005 recognised nationally and internationally. Our objectives for 2005 seek to build on the progress A further six companies in the Group achieved made in 2004 as follows: certification to ISO 14001 for their environmental management systems, making a total of thirteen 1. Review of key performance indicators representing 39% of the Group by turnover. 2. Internal verification of data provided 3. Report data on training, absence and diversity at management levels 4. Report further information on complaints

Direct Economic impacts 2004 2003

£m £m

Distribution to stakeholders

Employees (wages, salaries and retirement costs) 302.6 270.2

Government – taxes and social security costs 36.4 33.3

Providers of capital - bank loans & overdraft 10.4 12.2

- finance leases 1.6 0

- other borrowings 0.8 0.5

Community investment 0.04 0.04

Dividends 34.6 31.3

Total distributed to stakeholders 386.4 347.5

6 Cobham plc: Corporate Responsibility Report 2004

Looking after our workforce

“As always, the strength of the Group is based on the skill and dedication of all of its employees and, on behalf of the Board, I thank them sincerely”

Gordon Page, Chairman

The Group is committed to equal opportunities for all facilitates the development of new ideas and employees regardless of sex, race, colour, nationality practices that add value to the business, promotes or ethnic origin, disability, and other forms of employee commitment and helps to focus company discrimination. Where employees become disabled, and employee expectations. In-house newsletters, our policy is to take all reasonable steps, including intranet, extranet and internet communications, retraining, to ensure that they can remain in company announcements and team meetings all play employment wherever practicable. a part in this process.

Cobham is also committed to supporting employees UK employees are given the opportunity to become through effective human resources management, shareholders in the company through the Cobham training and career development opportunities as Savings Related Share Option Scheme (2004). In well as providing a safe and healthy working addition, a new share scheme, the Cobham Share environment. Incentive Plan, has been implemented which will enable employees of UK participating companies to The importance of employee development and buy Cobham shares out of pre-tax income. training is recognised and employees are encouraged to take advantage of available and relevant training The average number of employees has increased in programmes and opportunities for advancement. 2004 to 9,863 from 8,990 in 2003. Of the increase of 873, 535 relate to companies acquired during The Group encourages employee participation and 2004. Wages, salaries and costs rose from £255.6m consultation at all levels and also the sharing of in 2003 to £290.0m in 2004, an average increase relevant business information. Such an approach per employee of 3.4%.

The Group’s Employees

2004 2003

5000 5000

4000 4000

3000 3000

2000 2000

1000 1000 No. of EmployeesNo. of EmployeesNo. of 0 0 UK Other EU USA ROW UK Other EU USA ROW

ASG Chelton Flight Ops ASG Chelton Flight Ops

7 Cobham plc: Corporate Responsibility Report 2004

In 2004 additional performance measures were Employee Benefits introduced. However, these were not provided by all Cobham companies provide a variety of benefits subsidiaries and are therefore not reported here. It over and above those required by the law. is hoped that all subsidiaries will report on the these These vary around the group. Examples include measures in 2005. birthday lunches, suggestion schemes, long service awards, bonus schemes, occupational The additional measures will enable us to identify health services, flex time and "make-up" time diversity within the different elements of our schemes, family days for staff and their children, workforce, to measure absence and to measure increases to pension contributions, and after training hours. hour social functions.

Employee Turnover Employee Representation Average employee turnover, defined as the 18% of Cobham’s employees are represented by number of employees leaving employment an independent trade union organization or other divided by the average number of employed, is bona fide representative group. In addition, 3.11. The level of employee turnover is there are established representative structures considered to be an indicator of the satisfaction through which Cobham employees are of our employees. High levels of turnover might encouraged to communicate their needs to indicate underlying problems in a business; management. Relevant forums include equally very low levels of turnover might make it employee representative groups, suggestion difficult for the business to recruit individuals schemes, communication briefs, and team with the skills and experience required. briefings.

Diversity Average Employee Turnover The recruitment, selection, training and 2004 promotion of employees is on the basis of ability, competence, the requirements of the job and 6.0 5.0 other suitability criteria. Various local initiatives 4.0 exist around the Group to encourage diversity. 3.0 2.0 1.0 0.0 Aerospace Chelton Flight Ops

Cobham Group Average

Male/Female Split Male/Female Split Ethnic Minorities 2004 2003 2004 Non- white 5% Female Female 22% 23%

Male White Male 78% 95% 77%

Length of Service 2004 Length of Service 2003

6.9% 4.8% 8.4% 0.1% 5.5% 7.5% 10.2%

7.4% 48.1% 48.9%

27.6% 24.5%

<5 5-10 11-15 16-20 21-25 >25 <5 5-10 11-15 16-20 21-25 >25

8 Cobham plc: Corporate Responsibility Report 2004

CASE STUDY - LONG SERVICE AWARDS Training Training and development is viewed as key to the Carleton Life Support Systems, Inc. (US) has a future success of the business, and as such runs side voluntary turnover rate of less than 3% over the last by side in the development of the organisation. five years. Currently, 29% of the workforce has over Within operating companies time and effort is spent 21 years of service. on understanding business needs, individual employee skills and training opportunities. “A few years ago at CLSS Inc, we began the practice of acknowledging our employees’ years of service We have started to collect data on training hours. with a dinner in their honour. We acknowledge the We hope to report on this next year. value of each of the honorees’ contributions to our success”.

Kenneth Kreme, Quality CASE STUDY – MANAGEMENT TRAINING Engineer, will celebrate 50 years with the company in September Leading the people of tomorrow, today 2005.

Jet Systems (Australia) have implemented the The longest Management Success development programme. serving

employee is The transition from technical expert to manager is Marilyn challenging at the best of times and requires Frahm, who individuals to learn, develop and transfer skills that has worked for CLSS for 52 don’t always come naturally. The Management years. Success programme is Victoria Kauzlarich designed to address (Director, Human Resources) some of our management and succession-planning development needs CASE STUDY - FAMILIES DAY areas by equipping our key leaders with the FRA Bournemouth (UK) held a “Families Day” on skills and support they Friday 13 August to provide employees’ families with need to effectively an insight into the company. Around 200 families manage their teams, the attended. There were many visiting aircraft company’s objectives including the RAF’s Red Arrows display team and a and individual performance. At a strategic level, the few lucky people won flights. programme can be used to effectively link corporate governance, talent management, succession sent along some of their planning, and teamwork to the overall performance newest Fire Engines, PC games were on offer and of the organisation. various departments across the site put on displays. Even torrential rain did not spoil the day! Sam Preston (HR Manager)

9 Cobham plc: Corporate Responsibility Report 2004

CASE STUDY - EMPLOYEE DEVELOPMENT In an effort to better meet the educational needs of INITIATIVE our manufacturing employees, we have expanded our tuition assistance plan to pay for associates degrees and certifications. To enlighten employees At Sargent Fletcher Inc. (US) we recognize that the as to the educational opportunities available to them skills and knowledge of our employees are critical to through tuition assistance, SFI held an educational the success of our organization. We encourage fair inviting representatives from local colleges and personal development, and in the past year SFI has universities. An additional educational fair is planned begun a two-fold initiative which included an for later this year which will include representatives increase in the number and variety of in-house from vocational and trade schools. training programs offered, as well as an increased focus on formal education. By providing these Cindy Beeson (Director of Human Resources) educational opportunities it is our desire to assist employees in maintaining and improving job-related Health and Safety (H&S) skills and to enhance their ability to compete for All subsidiaries within the Cobham Group have health promotional opportunities within the organization. and safety policies focused on ensuring that:-

working conditions, equipment and systems of With the help of a grant from the State of California work are without risk to health or safety; Employment Training Panel, we have provided employees are provided with sufficient training on:- information, education and training regarding the supervisory skills training; risks to their health and safety and procedures communication skills training, for all employees; for their protection; and computer skills training, for all employees; the company activities are conducted in such a geometric dimension and tolerance training, for way as to minimize the risk of non-employees manufacturing employees; and being exposed to risks to their health and safety blue print reading, for manufacturing employees.

No. of Reportable Injuries for 2004 No. of Reportable Injuries for 2003

35 40

30 35 30 25 25 20 20 15 15 10 10

5 5

0 0 UK Other EU USA ROW UK Other EU USA ROW

ASG Chelton Flight Ops ASG Chelton Flight Ops

Incidence Rates for 2004 Incidence Rates for 2003

1200 1600

1400 1000 1200 800 1000

600 800

600 400 400 200 200

0 0 ASG Chelton Flight Ops ASG Chelton Flight Ops

Reportable Injuries by Type for 2004 Reportable Injuries by Type for 2003

25% 23% Handling, lifting or carrying Handling, lifting or carrying 34% 33% Slips, trips or falls on same level Slips, trips or falls on same level Struck by moving or falling object Struck by moving or falling object Contact w ith moving machinery Contact w ith moving machinery Knife cuts, etc Knife cuts, etc Falls from a height Falls from a height 19% 22% 5% Other Other 10% 4% 7% 5% 5% 7% 1%

10 Cobham plc: Corporate Responsibility Report 2004

There were no fatalities in 2004 (none in 2003). subsidiary is taking immediate steps to convene an appropriate committee. At the US company, their No penalties or fines were imposed by Health and environmental health and safety manager, with the Safety enforcing authorities. One statutory assistance of their training manager, works daily improvement notice was issue to a French subsidiary with supervisors and staff to address H&S issues. of Chelton by in July 2004. This related to the failure to measure the workplace atmosphere for hazardous Company H&S committees meet at least twice a year by-products and the lack of a and and routinely review new processes, safety training documentation for a particular chemical treatment needs and legislative requirements. process. Both issues were addressed immediately and the appropriate contract and risk assessment External audits were undertaken at over 30 are now in place. companies in 2004 and can be categorized as follows: There were 9 major injuries1 in 2004, a significant improvement on the 18 reported in 2003. The table regular reviews by retained consultants; below describes the major injuries incurred. one-off investigations into specific identified ; Overall incidence rate dropped from 769 in 2003 to visits by the H&S enforcing authorities; 694 in 2004. The total number of reportable injuries inspections by our Workers Compensation also dropped from 77 to 75 in 2004. The type of insurers in the USA; and reportable injuries remained fairly consistent, with other site surveys by our insurers and brokers the greatest difference being a drop from 10% to 5% for “falls from height”. The majority of new staff receive generic and job-specific safety training. Ongoing job-specific Cobham group companies carry out appropriate risk training is undertaken as necessary. assessments and ensure that adequate strategies and systems are in place to control the risks 34 companies representing 61% of turnover operate identified. In two subsidiaries where this is not the occupational health schemes aimed at promoting the case, action to correct the situation is ongoing. wellbeing of employees.

With the exceptions of one US and one UK All companies in the Group are required to submit an subsidiary, and also the smallest subsidiaries, all annual report on health and safety performance companies have a H&S committee. The UK

Major Injuries

Days Division Location Circumstances Injury off work Aerospace Systems UK Slipped on ice and fell Fracture 35 UK Finger caught in door frame Fracture 57 Chelton UK Allergic reaction Dermatitis 9 UK Fall Fracture 53 France Manufacturing process Burn to eye 3 France Fall Fracture 7 Flight Operations & UK Slip and all Fracture 10 Australia Fall from height Fracture 36 Australia On board aircraft Back injury 12

1 Major Injuries are as defined by the UK Health & Safety Executive .

11 Cobham plc: Corporate Responsibility Report 2004

CASE STUDY – 5 STAR HEALTH & SAFETY CASE STUDY - EAT RIGHT, EXERCISE, DON’T SMOKE FR Aviation Ltd (UK) implemented a Safety, Health and Environment Management System, which was Carleton Life Support Systems, Inc. (US) launched successful in achieving the British Safety Council’s EREDS (Eat Right. Exercise. Don’t Smoke.) during 5 Star Award. This recognition of Safety, Health and the third quarter of 2003. The most successful Environmental (SHE) management performance, element of EREDS is the smoking cessation provides FR Aviation with a marketing tool that is programme. recognised nationally & internationally. Employees (and their spouses) who smoke were Cost savings are already apparent through a offered the opportunity to quit (using any method progressively reducing accident/claims rate. The they chose, including hypnosis) with the agreement programme of continuous improvement will, without that they would pay half up front and the company doubt, continue to assist with cost savings brought would pay the other half. The company agreed to about by efficiency & effectiveness of the reimburse the employees’ original investment if they management system. stayed smoke-free for one year.

Thirteen employees began the programme, along with four spouses. After twelve months, six employees were still smoke free, along with two spouses.

Those who were most successful in this programme had two things in common: they had smoked for over 30 years and they used hypnosis to quit. The successful employees are pictured below.

From left to right - Darren Jones (Site Services Manager), Rachel Cass (HR Director), John Young (Health & Safety Advisor), Mark Troughton (Environment Officer), Jill Askew (Health & Safety Coordinator) and Wayne Welford (Health & Safety Coordinator).

CASE STUDY – FIRE PREVENTION

During the summer of 2004, Carleton Life Support Technologies Ltd. (Canada) carried out fire prevention and on-site fire - fighting training in order to Successful smoking cessation participants pictured above with President Kelly Coffield. (Front Row) Jackie Wright, Bob Pelletier: (Back Row) John Ludwig, increase capability to prevent or Bly McLaughlin, Darrel Stark. stop widespread damage to facilities should a fire Victoria Kauzlarich (Director, Human Resources) develop. The actual hands-on training gave additional confidence to those taking the course in dealing with fire suppression techniques.

John Roberts, Shipping and Receiving Manager showing his technique to the instructor during fire fighting training

Doug Elsey (Marketing and Sales / Engineering and Customer Support)

12 Cobham plc: Corporate Responsibility Report 2004

Looking after the environment consumption, water consumption, waste generation and the use of hazardous substances. Cobham is committed to protecting the environment in all aspects of its business operations. Environmental Management During 2004 a further six sites had their Our Environmental Policy commits us to meeting environmental management systems accredited to legislative requirements, the prevention of pollution ISO 14001, bringing the total number of sites in the and the continuous improvement of environmental group with ISO 14001 accreditation to 13. These 13 performance. sites represent 39% of the group by turnover

Cobham owns, leases or manages 188 hectares of land. Of this area, 124 hectares (66%) are located in Environmental Compliance a “sensitive” area. We have defined sensitive as land Cobham companies hold 102 environmental licences located near to a watercourse, a water abstraction or permits. During 2004, there were no breaches of point, designated conservation area or residential licences, and no financial penalties incurred due to area. environmental non-compliance. There were also no significant spills. However, there were 14 complaints made against seven individual companies regarding The most significant impacts of our global activities on environmental issues in the year. the environment have been identified as energy

Cobham Group Companies Accredited to ISO 14001

Accredited to ISO 14001 pre 2004 Achieved accreditation in 2004

Carleton Technologies Inc (US) FR Aviation (Bournemouth, UK)

Chelton Applied Composites (Sweden) FR Aviation (Kinloss, UK)

Cobham Fluid Systems (UK) FR-HiTEMP (Titchfield, UK)

Draeger Aerospace (Germany) FR-HiTEMP (South Molton, UK)

Flight Refuelling Ltd (UK) Stanley Aviation (US)

Racal Antennas (UK) Wallop Defence Systems (UK)

Precision Antennas (UK) (new acquisition)

13 Cobham plc: Corporate Responsibility Report 2004

CASE STUDY - MAJOR ENVIRONMENTAL CASE STUDY - ENVIRONMENTAL MANAGEMENT IMPROVEMENTS SYSTEM CERTIFIED TO ISO 14001

The implementation of a proactive environmental At FRA Aviation (UK) an environmental management management system at Wallop Defence Systems Ltd system was initiated in May 2003. John Young (UK) has led to initiatives to reduce pollution and (Health & Safety Advisor), and Mark Troughton waste from the site. (Environment Officer) co-ordinated a great team effort involving staff from a wide variety of discipline. Some of the improvements made include a reduction Staff awareness was increased, and changes in of water consumption by about 60% due to various working practices and infrastructure have combined measures including the location and repair of two to reduce the company’s environmental impacts. underground water main leaks. The environmental management system was audited A complete change of waste management practices, in April 2004 by BSi management systems, and together with the commissioning of a compactor, and deemed as to have met the requirements of the a covered and bunded central special waste collection internationally recognised standard ISO 14001. area has improved recycling rates, saved about 6 man hours per week, eliminated manual handling and reduced the number of collections required.

Work also had to be carried out to ensure compliance with the Oil Storage Regulations due to come into in the UK in 2005. In total there are 11 tanks on site, with many requiring work to bring them into compliance. A programme to replace these tanks with new double

skinned ‘self bunded’ tanks was introduced,

and is well under way.

From left to right: Jarrod Hibbett (IT, Publishing), Alex Hannam (Managing Director), Rachel Cass (HR Director), Malcolm Howard (BSi), Darren Jones (Site Services Manager), Kevin Birkett (Aerostructures), Mark Troughton (Environmental Officer), David Drayton (Component Overhaul), John Young (H&S Advisor), John Danning (Flight Operations Director) A new ‘self bunded’ double skinned oil tank in place Mark Troughton (Environment Officer, FR Aviation Ltd The reaction of all members of staff to this has been (Bournemouth) very positive and the improvements to the site as a whole have been a real team effort. Registration to ISO 4001 was achieved in June 2004. Les Catlin (Business Management Systems Co-Ordinator, Wallop Defence Systems Limited

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Cobham plc: Corporate Responsibility Report 2004

Energy on demand water heaters; Cobham uses energy for a variety of purposes in its energy & lighting management systems; business activities. thermostatic controls increasing and improving insulation of buildings In 2004, we consumed 7.1m GJ of energy, an and pipelines; increase of 9% from the 6.5m GJ consumed in 2003. efficiencies gained through changes in work However, taking into account increased turnover practices; energy efficiency actually increased by 8%. increased employee awareness resulting in energy efficient behaviours such as switching off Of the total energy consumed 6.5 GJ, 92%, related to equipment when not in use, and closing windows aviation fuel, (2003 6.0 GJ, 92%). Aviation fuel is & doors; used by our Flight Operations & Services division. gaining expert advice through energy audits, and This division operates, modifies and maintains more acting on recommendations; than 150 aircraft in the aerospace and defence setting energy reduction targets. markets, for military training, special mission flight operations, and outsourced freight and passenger Cobham’s contribution to greenhouse gas emissions operations and also maintains large military aircraft. results from emissions of CO2 from energy use and transport. In 2004 emissions of CO2 from energy use Improved energy efficiency is due to initiatives in buildings and processes totalled 485,278 tonnes, implemented around the group which include:- an increase of 9% from the 443,489 tonnes emitted upgrading heating, cooling and lighting controls in 2003. fitting more efficient heating and lighting systems;

Energy use by source 2004 Energy use by source 2003 (excluding aviation fuel) (excluding aviation fuel)

33% 36%

51% 54%

10% 11% 3% 2%

Electricity-non renewable Electricity-renewable Fuel oil Gas Electricity - non renewable Electricity - renewable Fuel oil Gas

Emissions of CO2 2004 Emissions of CO2 2003

2% 1% 2% 1% 8% 7%

89% 90%

Aviation fuel Electricity Fuel oil Gas Aviation fuel Elec tr ic ity Fuel oil Gas

15 Cobham plc: Corporate Responsibility Report 2004

Water Emissions Effluent and Waste Cobham companies use water for: Total waste increased from 14,761 tonnes in 20033 domestic purposes such as drinking, food to 16,805 tonnes in 2004. When normalised using preparation and bathroom facilities; turnover however, waste generation decreased from boilers and distillation systems; 17.7 tonnes per £m turnover in 2003 to 17.1 tonnes cleaning of equipment, buildings, aircraft and per £m turnover in 2004. other vehicles; in processes such as sanding, rinsing and testing, or in paint spray booths; In 2004, we started to collect data on the destination cooling systems for buildings, processes and of waste, categorized as recycled, incinerated with equipment; and energy recovery, incinerated without energy horticultural purposes. recovery or landfill. This data was not completed by all companies in the Group and is therefore not Total water use reduced by 8% from 237,836m3 in reported this year. 20032 to 218,712m3 in 2004. Water efficiency also improved by 22% from 286 m3 per £m turnover in Many Cobham companies actively seek to reduce 2003, to 222m3 per £m turnover in 2004. 92% waste. Initiatives include:- (200,362 m3) of water used by Cobham companies reducing minimum order quantities; is provided by the municipal water supply, with 8% improving inventory control of shelf life items; (18,350m3) sourced from groundwater. using electronic files instead of paper copies; reusing paper; Initiatives to improve water efficiency include:- reusable shipping containers; installation of closed loop chiller systems, flush standardized packaging; controls on urinals, low flow water valves, returning containers to suppliers; automatic stop taps, flow meters and waterless reusing pallets; urinals; lead reduction programme; reuse of water in testing processes; recycling solvent for reuse; and recycling of steam condensate; recycling programmes prevention measures such as leak testing; improved employee awareness; and improved process controls.

Total Waste Generation Waste per £m turnover

20000 20 16,805 17.7 17.1 14,761 15000 15

10000 10

tonnes

tonnes/£m 5000 5

0 0 2003 2004 2003 2004

2 Total water use was reported as 201,840m3 in Cobham’s 2003 report. Errors were identified and corrected for this report. 3 Total waste was reported as 136,542 tonnes in Cobham’s 2003 report, conversation errors have been identified and corrected for this report

16 Cobham plc: Corporate Responsibility Report 2004

CASE STUDY – SITEWIDE ENVIRONMENTAL CASE STUDY – ON-LINE MATERIAL SAFETY DATA IMPROVEMENTS SHEET SYSTEM

Carleton Life Support Systems (US) have made great Material Safety Data Sheets (MSDS) include health & efforts in 2004 to reduce the environmental impacts safety requirements (including handling, storage, and from their business. personal protective equipment) of substances. It is very important, therefore, that employees are able to Energy Efficiency has improved with the installation of access the correct information quickly when dealing two new air compressors which are estimated to with hazardous substances. In order to achieve this, make first year savings of $35,000. the Safety Committees of Carleton Aerosystems developed and implemented an ON-LINE system Waste minimisation has also been a focus. Packaging which stores all the MSDSs for Aerosystems, waste has been reduced through the use of reusable Technologies Division, and Carleton Life Support Ltd. packaging which is hoped will produce savings of up to $5000-10,000 per year. The project started in May 2004, with scanning and Hazardous waste has been implementation taking place between June and reduced through the November. The system was successfully launched on commissioning of a solvent December 7, 2004. recovery system The closed loop recovery The system can be easily accessed by employees system has virtually through the Carleton Intranet, and the relevant data eliminated waste, with the sheet can be sought by location, part number, MSDS only disposal costs incurred number, common name. This sharing of information by the removal of the wax frees up storage space at all locations, requires fewer from the solvent still. “We people to maintain and control the process, and estimate we will save reduces paper use. somewhere around $100,000 in solvent purchases over the next three years without even considering the cost of disposing of the solvent”. Cory Richard, a manufacturing engineer Hazardous waste has also been reduced through replacing the use of an acid to etch aneroid parts with a Plasma Etch System.

Plasma cleaning is an environmentally safe and effective method of removing contamination from a wide range of materials. Marge Kosowski (left) – Administrative Assistant, Greg Meckes (Information Technology) (sitting), Debbi Gospodarski (right) – A & T Trials have been completed Technician and equipment was Ray Gaston (Technical Training Coordinator) and Tama installed early in 2005. Gresco-Sauers (Manager of Human Resources) Cost savings are estimated to be $16,000 per year.

Patty Gayman (Mechanical Specialist), Donna Nicholson (Production Engineer), and Dave Wakeland (Fabrication Support Supervisor).

Rick Sederquist (ESH Manager, Carleton Life Support Systems)

17 Cobham plc: Corporate Responsibility Report 2004

Looking after local communities Practical Training Along with regular tours and introductions of our Cobham is committed to being a good corporate company, we offer practical training for students and citizen in the communities in which we operate. teachers at our facility to give them an impression of the working conditions and environment in the In 2004, £37,320 was donated for charitable purposes competitive economy. This puts teachers and (2003 - £36,304). Of this sum, donations in excess students on the same level and provides the basis for of £200 were made to the value of £12,500 to local common understanding. charities, £4,000 to health charities, £3,400 to rescue services and £1,650 to children’s charities. Application Training We offer training courses for students on how to answer job advertisements and practice job interviews under real conditions. CASE STUDY - SALVATION ARMY ANGEL TREE

School Talks For the past two years Kevlin Corporation (US) has Specialists from Dräger Aerospace go into classes and participated in the Salvation Army Angel Tree lecture about various subjects, e.g. quality, program in Lawrence. Last year was our first year environment, finance, marketing. where 25 employees participated, this year we School projects more than doubled with 52 We give themes for school projects, which are related employees participating. to our business and provide the coordination and The employees would supervisor for these projects. receive a card including the child’s name, age, pant/shirt Repair shop for bicycles size & something special Interested students can work for half a year in this that they would like for repair shop and learn everything about bicycles. They Christmas. Kevlin are assisted by two teachers and a professional from Corporation got really a bicycle shop in Lübeck. The service of this repair involved in their personal shop is offered to all students and teachers. gifts this year from dolls, action hero’s, DVD players, clothes etc… Hopefully we can continue the tradition by helping even more children in 2005.

Megan Chapman (CAE Specialist, Kevlin Corporation)

CASE STUDY -COORDINATION WITH THE Students and teacher practising bike repairs in their internal repair shop GESCHWISTER-PRENSKI-SCHULE IN LÜBECK Blacksmith’s shop In 2004 Dräger Aerospace (Germany) developed links This shop will be used by the students as a balance to with the Geschwister-Prenski-Schule in Lübeck. The the everyday life in school school is very progressive, offering various projects in and to give an impression of which the students can prove their talents in many a profession which is rarely different fields of activities. seen nowadays.

“The aim of our cooperation with the Geschwister- Prenski-Schule is to show the students everyday business life as preparation for their life after school”. Students working with hammers on an anvil Dräger have contributed to several projects such as:- Günther Heins (Sales Manager Commercial Aviation, Dräger Aerospace) Any feedback or for further information on CR issues please contact: [email protected]

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