Challenge, Commitment, Progress Table of Contents

2011 North America Environmental Report Challenge, Commitment, Progress TABLE OF CONTENTS table of contents DEAR READER ................................................................................................................................................ 4 ENVIRONMENTAL VISION & ACTION ......................................................................................... 6 Partnership: Government of Scott County, Kentucky ........................................................................... 7 Toyota’s Guiding Principles and Earth Charter ...................................................................................... 8 Environmental Action Plan ........................................................................................................................ 8 Environmental Governance ...................................................................................................................... 12 ENERGY & CLIMATE CHANGE ......................................................................................................... 14 Partnership: Portland State University ................................................................................................... 15 Fuel Efficiency .............................................................................................................................................. 15 Fuels Diversity .............................................................................................................................................. 18 Advanced Technology Vehicles ................................................................................................................ 19 Advanced Transportation Solutions ....................................................................................................... 24 Energy Consumption ................................................................................................................................. 25 Renewable Energy ....................................................................................................................................... 28 Greenhouse Gas Emissions ....................................................................................................................... 28 RECYCLING & RESOURCE MANAGEMENT ............................................................................. 30 Partnership: Jackson County Development Center ............................................................................. 31 Substances of Concern ............................................................................................................................... 32 Designing Vehicles With Renewable Resources ................................................................................... 33 Waste Reduction and Recycling ............................................................................................................... 34 Paper Use ...................................................................................................................................................... 37 Remanufactured Parts ............................................................................................................................... 37 Water Consumption ................................................................................................................................... 38 AIR QUALITY ................................................................................................................................................. 40 Partnership: Alabama A&M University ................................................................................................. 41 Tailpipe Emissions ...................................................................................................................................... 42 Vehicle Cabin VOC Emissions ................................................................................................................. 42 VOC Emissions from Painting Operations ........................................................................................... 43 2011 North America Environmental Report 2 TABLE OF CONTENTS ENVIRONMENTAL MANAGEMENT ............................................................................................... 44 Partnership: Mungenast Lexus of St. Louis ........................................................................................... 45 Green Dealerships ....................................................................................................................................... 45 Dealer Support ............................................................................................................................................. 47 Partnering With Suppliers ........................................................................................................................ 47 Environmental Management Systems .................................................................................................... 49 Compliance................................................................................................................................................... 49 Planning for New Production Facilities ................................................................................................. 49 LEED® Certification .................................................................................................................................... 50 COOPERATION WITH SOCIETY ...................................................................................................... 52 Partnership: National Audubon Society ................................................................................................. 53 Environmental Stewardship ..................................................................................................................... 54 Environmental Education ......................................................................................................................... 57 Research Partnerships ................................................................................................................................ 58 Local Community Engagement ............................................................................................................... 59 NORTH AMERICAN PRESENCE ....................................................................................................... 62 Partnership: Earth Day Canada ............................................................................................................... 63 Toyota by the Numbers ..............................................................................................................................64 Toyota’s North American Affiliate Companies ..................................................................................... 66 SCOPE OF THIS REPORT: This North America Environmental Report covers activities across the North American region—the United States, Canada and Mexico. This report also covers the Toyota, Lexus and Scion brands in North America. The period covered in this report is fiscal year 2011 (April 1, 2010 through March 31, 2011) and product model year 2011. We report on fiscal year 2011 activities and provide a five-year retrospective to recognize accomplishments and challenges at the close of our second five-year environmental action plan (FY2007 – FY2011). We also provide information on our company’s economic presence in North America. If data is presented with different dates, this is clearly indicated. This report is available on the Web at www.toyota.com/environmentreport2011. A French version is provided on the Web only at www.toyota.ca (click on Environment/Report). We listened to your comments and suggestions about last year’s report and used them to improve this report. We would appreciate hearing from you again. You may participate in a survey on the Web. This report was published in November 2011. CONTACT TOYOTA MOTOR NORTH AMERICA, INC. Environmental Report Manager | 601 Lexington Ave, 49th Floor, New York, NY 10022 | © 2011 www.toyota.com (USA) | www.toyota.ca (Canada) | www.toyota.com.mx (Mexico) 2011 North America Environmental Report 3 DEAR READER dear reader WE ARE PLEASED TO PRESENT the 2011 Toyota North But partnerships are also a way for us to help others. We are America Environmental Report. Here you will find information helping towns and counties reduce energy use, working with on our environmental activities during fiscal year (FY) 2011, a nonprofit on making and testing biodiesel, and donating as well as a summary of the five-year period of our second plastics to a community center for recycling. We conduct environmental action plan (FY2007 – FY2011). This report “treasure hunts” with suppliers to teach them how to find also provides information on Toyota’s economic presence in energy and water savings. We work with dealerships to help North America. Highlights of our performance are provided in them build “greener” facilities. We partner with organizations Figure A. to conserve public lands and promote environmental education. Details of these activities and many more can be The past five years presented a number of challenges. In found throughout this report. FY2007, the economy experienced a strong downturn, and product recalls began soon after. We were faced with Sustainability is at the heart of our vision for the future. production slow-downs and hard decisions. And

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