sustainability short deck presentation v3 033108

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Month Day, 200 8 Xerox Confidential Page 1 Sustainability Xerox’ Environmental Strategy Content Provided by Environmental, Health and Safety Support Line at 1-800-828-6571 (8*222-7918), prompts 1, 3.

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Page 1: Sustainability Short Deck Presentation V3 033108

Month Day, 2008

Xerox ConfidentialPage 1 Sustainability

Xerox’ Environmental Strategy

Content Provided by Environmental, Health and Safety

Support Line at 1-800-828-6571 (8*222-7918), prompts 1, 3.

Page 2: Sustainability Short Deck Presentation V3 033108

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Xerox ConfidentialPage 2 Sustainability

”Sustainability is development that meets the needs of the present without compromising the ability of future

generations to meet their own needs” World Commission on the Environment and Development

”Sustainability is development that meets the needs of the present without compromising the ability of future

generations to meet their own needs” World Commission on the Environment and Development

Environmental commitment is central to Xerox’ approach to sustainable development

Invest in our people and our communities

Nurture a greener world through investment in innovation and market leadership that builds shareholder value

Reach out through creative partnerships

Operate with integrity and transparency

Page 3: Sustainability Short Deck Presentation V3 033108

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Xerox ConfidentialPage 3 Sustainability

Our Word: Sustainability is a way of doing business

Our Work – Through our Actions: Society: Value Employees and Protect

Communities Environment: Protect our Climate, Forests, Air

and Water. Prevent and Manage Waste. Economy: Instill a culture that values Xerox both

as a profit-making enterprise and positive force in the world around us.

Our World: Connect with our customers, our suppliers, our people and others to extend our reach and magnify our impact

Xerox’s Approach to Sustainability

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Xerox ConfidentialPage 4 Sustainability

Xerox’ Sustainability – A Way of Doing Business

Xerox focused on environmental performance and sustainability long before it was popular to do so.• First company to introduce Power-down capabilities in

products• Pioneered remanufacturing in the 1990’s

We continue to use innovation and leadership to drive environmental performance through out value chain• Carbon emissions• Paper• Recent Innovations

Leading the Digital Office Revolution• Sustainable services practices• Office Infrastructure environmental footprint and metrics

High Yield Paper

Solid Ink

Sustainability Calculator

Page 5: Sustainability Short Deck Presentation V3 033108

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Xerox ConfidentialPage 5 Sustainability

Serious environmental challenges

The world is facing serious environmental challenges and global solutions are being sought.

Businesses are expected to be a part of the solutions amidst increasing expectations of a multitude of stakeholders.

We focus on these …

Climate Change and EnergyPreserve Biodiversity and World’s ForestsReduce Toxics and Heavy MetalsWaste Prevention and Management

Climate Change and EnergyPreserve Biodiversity and World’s ForestsReduce Toxics and Heavy MetalsWaste Prevention and Management

Page 6: Sustainability Short Deck Presentation V3 033108

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Xerox ConfidentialPage 6 Sustainability

Our Commitment and Proof Points

Commitment

Xerox’ strategic goal Why Xerox can make a difference

1. Protect our climate

Carbon neutral: Invest in technologies that reduce the carbon footprint of our operations and of the document processing solutions offered to our customers. Aim to be a carbon neutral company.

Xerox markets energy-using document processing equipment and energy is consumed in the manufacture, transportation and end of life disposal of Xerox equipment and supplies.

2. Preserve Biodiversity and the World’s Forests

Sustainable Paper Cycle: Work in partnership with Xerox customers, suppliers and key stakeholders to support the development of a sustainable paper cycle.

Xerox is the world’s largest brand distributor of cut-sheet paper. We and our customers rely on a sustainable supply of paper derived from forests around the world.

3. Preserve Clean Air and Water

Reduce Use of Toxics and Heavy Metals: Xerox will strive to eliminate the use of persistent, bio-accumulative and toxic materials throughout the supply chain.

From raw material extraction, materials processing and parts fabrication, the manufacture of Xerox equipment and supplies relies on a global supply chain.

4. Prevent and Manage Waste

Waste Free: Produce waste-free products in waste-free facilities to enable customers’ waste-free offices.

Waste is create during the manufacture and use of Xerox equipment and supplies which must be responsibly managed.

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Xerox ConfidentialPage 7 Sustainability

Xerox TechnologyWorking for the environment

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Xerox ConfidentialPage 8 Sustainability

486 478 458 447399

0

250

500

'02 '03 '04 '05 '06'000

s m

Tons

Car

bon

Dio

xide

Eq

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lent

Company-wide Carbon EmissionsCompany-wide Carbon Emissions

18%

Product Energy EfficiencyProduct Energy Efficiency

Xerox Energy Star products enable 600,000 tons of avoided CO2 emissions annually

Enough to light >1.0 million US homes for a year

Multifunction SystemsMultifunction Systems

50% reduction in annual

energy

1422 kWh 706 kWh

Xerox’s efforts to address Climate Change and Energy Security Challenge

Xerox’s “carbon footprint” is directly tied to energy use and extends across the value chain

Strategy is to reduce energy demand in its company operations, products and solutions using technology and re-engineered processes

Page 9: Sustainability Short Deck Presentation V3 033108

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Xerox ConfidentialPage 9 Sustainability

Emulsion Aggregation (EA) Toner

40% – 45% less toner mass

Small and Spherical EA Toner

Conventional Toner

Paper

Breakthrough process for producing color and black toners:

Less toner mass per page for smaller toner

Less toner waste for spherical tonerLess energy to produce and to print

Paper

• “Intelligent” building.• Building is packed with > 3000 sensors.

that feed into network to control energy use throughout “zones”.

• Variable speed chillers, compressors & variable intensity lighting.

• Process design maximizes throughput, minimizes energy use.

Xerox’s new EA Toner Plant Design

Plan designed around the process to be ultra-efficient

New technologies deliver further energy savings and environmental benefits

Page 10: Sustainability Short Deck Presentation V3 033108

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Xerox ConfidentialPage 10 Sustainability

Environmental Impact

Conventional Copy Paper

30% Recycled Paper

Mechanical Paper – Xerox High Yield Business Paper

Wood Use 3.5 tons 2.4 tons 1.7 tons

Total Energy 38 million BTUs

33 million BTUs

31 million BTUs

Greenhouse Gas Emissions

2.9 tons 2.5 tons 3.5 tons - reduced to 0.9 tons due to 75% power supplied by local hydroelectric

Hazardous Air Pollutants

2.1 pounds 1.6 pounds 0.5 pounds

Wastewater 19,053 gallons 16,288 gallons 12,298 gallons

51% less Wood Use

51% less Wood Use

18% less Total Energy

18% less Total Energy

High Yield Business Paper (Mechanical)

vs Conventional

69% less GHGsdue to use of local hydro

69% less GHGsdue to use of local hydro

76% less Hazardous Air Pollutants

76% less Hazardous Air Pollutants

35% less Wastewater35% less Wastewater

Environmental Impact ComparisonPer Short Ton Paper Using Industry Averages (1 short ton=40 cartons of paper)

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Xerox ConfidentialPage 11 Sustainability

Xerox And The EnvironmentWorking for the environment

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Xerox ConfidentialPage 12 Sustainability

Industry’s most comprehensive supplies return program Through our Green World Alliance program, Xerox

customers return millions of cartridges and toner containers each year

Prepaid postage labels and packaging from new supplies make it easy for customers to return spent materials to Xerox for recycling

Over 90% of the material is either reused or recycled

Learn how at: www.xerox.com/gwa

Waste-FreeLife Cycle

Design and Build

Customer Use

End of LifeManageme

nt

Xerox’s Green World Alliance Reduces Office Waste

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Forestry Practices XeroxPaper Mills Recovery & DisposalUse

Xerox Suppliers: • Adhere to

sustainable forest management standards

Xerox paper and packaging are recyclable, except ream wrappers

Xerox is one of the world’s largest brand distributors of cut-sheet paperEnvironmental requirements for suppliersRecycled PaperHigh Yield Paper

Xerox equipment is designed for efficient use of paper:DuplexElectronic documentsRecycled paper runs reliably

Xerox is committed to reducing environmental impacts of paper use

Xerox’s paper sourcing position adopted in 2000Xerox Corporation sources its paper for resale from companies committed to sound environmental, health and safety (EH&S) practices and sustainable forest management in their own operations and those of their suppliers.

Xerox Suppliers: • ISO 14001 3rd party

certified - ensures environmental impacts are managed and reduced

• Elemental Chlorine Free

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Xerox ConfidentialPage 14 Sustainability

The Nature Conservancy - Xerox partnership

Xerox is investing $1 million in an innovative 3 year partnership with The Nature Conservancy to strengthen and advance practices used to conserve the world’s forests.

• Goals of partnership:• Provide lasting solutions for

environmental sustainability for Xerox and its suppliers

• Demonstrate measurable progress in protecting forests

The Nature Conservancy is a leading conservation organization working around the world to protect ecologically important lands and waters for nature and people.

The Nature Conservancy is a leading conservation organization working around the world to protect ecologically important lands and waters for nature and people.

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Xerox ConfidentialPage 15 Sustainability

Our Value Proposition to Customers

Reduce Energy• Xerox ENERGY STAR and office services can reduce energy from

document technology by up to 50%

Reduce Paper• Xerox enables two-sided printing and electronic document

management

Reduce Waste• Xerox’ Green Alliance Program allows clients to return supplies for

reuse or recycle

Protect indoor air quality• Emissions for Xerox products are tightly controlled and well below

regulatory requirements

Measurement• Clients want Xerox to help them measure the environmental

benefits of their actions, and we do

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Xerox ConfidentialPage 16 Sustainability

Thank You!

For more information, visit • www.xerox.com/citizenship• www.xerox.com/environme

nt