Penang Eco Town Workshop 2012 Flextronics Commitment Towards Environmental Sustainability

13th Dec 2012 ABOUT FLEXTRONICS (SIGNIFICANT SCALE IN OPERATIONS) GLOBAL FOOTPRINT

Austria, Hungary, Norway, UK, Czech Republic, Poland, Denmark, Ireland, Sweden, Finland, Israel, Switzerland, France, Ukraine, Italy, Germany, Netherlands, Romania

USA, Brazil, Canada, Mexico

China, Hong Kong, India, South Africa Indonesia, Japan, Korea, Taiwan, Singapore, SITE OVERVIEW

Footprint 1,033,000 sq ft (~96,000 sq m)

Headcount ~7,800 employees

P1 - PRAI

P2 – BUKIT MINYAK P3 – BUKIT MINYAK

P5 – NAGASARI, PRAI A1 – PRAI FLEXTRONICS PLEDGE

OUR MISSION :  Protect the Environment/ Planet  Treat employees with respect & dignity  Be part of the community  Uphold the highest standards

At Flextronics, we believe that a sustainable approach to business is essential and therefore, it forms a core part of the way in which we do business. FLEXTRONICS Pledge identities our Corporate Social and Environmental Responsibility (CSER) program. COMPLIANCE TOWARDS INTERNATIONAL STANDARDS

The legislation provides for the creation of Flextronics Commitment to Flextronics collection schemes where consumers return is a founding member of the Electronics their used e-waste free of charge. The Industry Citizenship Coalition (EICC), a objective of these schemes is to increase worldwide association of electronics the recycling and/or re-use of such companies committed to promoting an products. It also requires heavy metals such industry code of conduct to improver as lead, mercury, cadmium, and hexavalent working and environmental conditions chromium and flame retardants such as across the global electronics supply polybrominated biphenyls (PBB) or chain. polybrominated diphenyl ethers (PBDE) to be substituted by safer alternatives The restriction of the Use of Certain Hazardous Substances in Electronic Equipment Regulations ISO 14001 specifies the requirements of an environmental management system (EMS) for small to large organizations. An EMS is a systemic approach to handling environmental issues within an REACH is a European Union regulation organization. The ISO 14001 standard is concerning the Registration, Evaluation, based on the Plan-Check-Do-Review- Authorisation and restriction of Improve cycle. Chemicals. It came into force on 1st June 2007 and replaced a number of European Directives and Regulations with a single system

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FLEXTRONICS 3R ACTIVITIES - ON HAZARDOUS WASTE SW 410 (Contaminated Material), SW 109 (Fluorescent Tube) & General Waste

Quantity Generated - tonnes Total – in tonnes 140.000 SW 109, 1.303 122.70 118.03 120.000 SW410, 42.973

95.99 100.000 90.47 General 82.62 79.47 Waste, 80.000 498.746

60.000 45.21 40.63 42.94 40.33 38.19 36.17 34.68 34.00 40.000 30.58 26.71 27.77 20.07 17.18 18.06 20.000 9.54 4.62 5.21 6.24 3.00 2.05 3.97 2.01 2.82 3.51 0.000 Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 SW 109- tonnes 0.150 0.050 0.300 0.220 0.193 0.000 0.000 0.000 0.000 0.390 SW410 - tonnes 3.000 4.619 5.214 2.052 3.972 9.535 2.015 2.815 3.509 6.242 General Waste 79.465 118.026 90.473 42.940 36.165 17.176 18.057 27.768 34.678 33.997 Total 82.615 122.695 95.987 45.212 40.330 26.711 20.072 30.584 38.187 40.629 CONTAMINATED RAGS AND GLOVES

How Do We Recycle Them???

Average 45 tons/ annum SCHEDULE WASTE MANAGEMENT– SW410

Contaminated Gloves x

Contaminated wipes x Contaminated clothes and gloves x SW410 – Contaminated Material PROCESS FLOW FOR SW410 – CONTAMINATED RAGS AND GLOVES

Reusable – returned to customers for reuse

Damaged – Converted into Step 1 : Segregation Soak-ups and partially used as material for TC alternative fuel

In-house WWTP for Effluent from Washing Process Treatment & Reuse Step 2 : Wash and dry CO-PRODUCTS FROM SW410 RECOVERY PROCESS

RECOVERED/REUSED • Gloves (Rubber, latex, cotton, leather)

RECYCLED • Cotton Gloves & Rags • Converted into Soak-ups • Rubber gloves • Rubber recycler TC SOAK-UPS

 100% made form recycled product  Used widely in industries as spill control equipment.  Used soak-up can be disposed at Tex Cycle- One stop center for recycling.  Cost efficient and environmental friendly. CO-PRODUCTS FROM SW410

RECYCLED Washed and damaged gloves • Sent for crushing process and used partially as one of the material for TC Alternative Fuel manufacturing.

• TC alternative fuel is used as energy for industries. RECYCLING SPENT FLORESCENT TUBE BULBS (SW 109) What Do We Do With Unused Florescent Tube Lights???

Average 1.5 tons/ annum BULB RECYCLING

Bulb Eater crushes spent fluorescent lamps of any length into 100% recyclable material while capturing over 99.99% of the vapours released. The unit is equipped with a side-mounted dust filter unit containing the highest quality H.E.P.A. filter available. This works in conjunction with an activated carbon filter located in the steel canister. The activated carbon filter actively captures and neutralizes the mercury vapour released from the lamps during crushing. This recycling system will help industry to manage their used fluorescent lamp generated mainly from maintenance programme. This will also help to reduce the number of fluorescent lamp dumped into landfill, which can cause land and water contamination. SPENT BULB

BULB RECYCLING MACHINE

ALUMINIUM CAP CRUSHED GLASS CONTAMINATED ACTIVATED CARBON

RINSING WITH WATER, CLEANING PROCESS DRYING & CLEANING SENT TO RECYCLED APPROVED FACILITY FOR CLEAN EFFLUENT DISPOSAL GLASS TO INTO WWTP RECYCLE BULB RECYCLING

Recovered Material SW 109 1.Crushed Glass (All size and shapes) 2. Aluminum Cathode

BULB RECYCLING MACHINE BULB RECYCLING EMMISION CONTROL

CARBON HEPA FILTER CANISTER

CONTAMINATED ACTIVATED CARBON SENT FOR DISPOSAL RECYCLING OF WASTE COOKING OIL – SOAP PROJECT What Do We Do With 100 Liters Of Waste Cooking Oil/ Month???

Flextronics had conducted a workshop on “ Recycling waste Cooking Oil” in cooperation local council “ Majlis Perbandaran Seberang (MPSP) on the 27th August 2012 at Plant 3 and about 30 employees took part in this noble activity in order to save the mother earth. RECYCLING OF WASTE COOKING OIL – SOAP PROJECT

Adding Recycle Mixing Recycle Cooking Oil Cooking Oil with Natrium 1 2 with Natrium Hidroksida Hidroksida

Storing the detergent soap Ready to be & leave it to poured into a 3 4 dry for mould the next 3 weeks

For every 20 liters of oil we can produce 100 dishwashing soaps RECYCLING OF WASTE COOKING OIL – SOAP PROJECT

We are successfully producing 300 pcs of “Dish Washing Soap” per month. The sales from these soap will be contributed for Social/ Welfare Activities. FLEXTRONICS COMMUNITY INVOLVEMENT - EDUCATION 2012 YOUNG ENTERPRISE PROGRAM Flextronics sponsors a local school under this program by providing coaching and guidance for 25 form four students in leadership and entrepreneurship skills. FLEXTRONICS COMMUNITY INVOLVEMENT – COMMUNITY OUTREACH HOME VISIT Flextronics Penang employee had left deep impact in the heart of children’s and old folks homes throughout Penang through the home visit which carried out on monthly basis.

The employee together with the support from management carried out various activity which definitely cheer the heart of the above homes. FLEXTRONICS EQUAL EMPLOYMENT OPPORTUNITY ENGAGEMENT OF DIFFERENTLY ABLE EMPLOYEE Flextronics Penang walk the talk by engaging differently able employees as part of Flextronics Penang Family. We are proud to announce that at this moment there 9 employees attached to various section at Production Floor and efforts are taken to engage more differently able workforce in coming months.

The efforts by Penang Flextronics had been recognized by Ministry of Woman , Family and Community Development who presented us with certificate of appreciation. ENVIRONMENT SUSTAINABILITY PROJECTS

“30 Tekoma Trees & 3000 Mud Balls” WILDLIFE CONSERVATION – ANIMAL ADOPTION

Flextronics has adopted one of the four baby elephants called Kelian that was born on 25th April 2012. Flextronics has sponsored RM10,000 a year for expenses including food, medical and others cost for Kelian.

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ENVIRONMENT SUSTAINABILITY PROJECTS “Give Your Books A New Life” Projects A Community Project For Rotary Club in collaboration with Flextronics Team Sunshine Just bring along your old or unwanted books, drop them into the collection box and we will help you find a new home for your books in school libraries badly in need of help. SUSTAINABILITY COMMUNITY PROJECT @ KOMUNITI MAMPAN

Flextronics will be partnering with Majlis Perbandaran in launching Sustainability Community Project 2012.

Under this project , local community represented by villages , housing area , community association will be involve in environmental projects and Flextronics together with MPSP will be monitoring their projects and winners will recognized accordingly.

This project will promote environmental projects among local community in Penang. ECO INSTRUCTOR

Flextronics employees had been trained by Majlis Perbandaran Seberang Perai (MPSP) to become Eco Instructor under the MPSP umbrella.

The trained Flextronics employee will act as an environmental ambassador in promoting environmental activity throughout local community in Penang. 30 employees had been trained as Eco Instructor on the 27th August 2012 and 3rd September 2012. ENVIRONMENTAL SUSTAINABILITY - FUTURE PROJECTS

 Mangrove Tree Planting

 River Adoption

 Release Of Enzyme Into Monsoon Drain –Water Conservation

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VIDEO – FLEXTRONICS PLEDGE Thank You