SuStainability our green book

The greenest tile ever produced is in your hands!This handmade brochure is comprised of biodegradable fibre embedded with annual and perennial wildflower seeds.

Plant it, grow it, and see for yourself!

Directions for planting:Thoroughly soak the handmade paper in water prior to planting. Spread it out in the ground, or a pot, under a thin layer of soil,

out of direct sunlight. Water gently and regularly, keeping the seed paper moist until the seedlings are well established. Germination time is 1-4 weeks.

No trees were cut down in the process of creating this brochure. Earth friendly and recycled throughout.

Retreating Ice and Snow in Greenland. NASA image by Jesse Allen, Earth Observatory. Image interpretation

provided by Ian Joughin, University of Washington and Ted Scambos, National Snow and Ice Data Center.

CoNTENTS

About Desso

our Vision, Values and Strategy

Message from the Chief Executive

Global Warming - Facts and Definitions

our Focus

Social Responsibility

Climate

Sustainability with Substance

our Plans for the Future

AbouT DESSo

Desso has been manufacturing and

marketing carpet for more than 70 years,

and during that time it has earned a fine

reputation as a reliable partner and creative

designer. Today, we have three factories

in Europe and specialist customer service

centres throughout Europe, as well as in

the United States, Asia, South Africa, the

Middle East and Australia.

Desso products can be found in offices,

public buildings, banks, schools, universities,

retail shops, hospitals, hotels, cruise ships

and planes. Among our many highly valued

customers are distinguished companies

such as Fortis, ABN AMRO, HSBC, Deutsche

Bank, BNP Paribas, Allianz, Starwood Hotels,

Marriott Hotels, Regus, KLM, Virgin Atlantic

and many more.

AbouT ouR bRoChuRES AND REPoRTS

Our Brochures are printed entirely on Cyclus paper, which is made

with 100% post-consumer recycled fibres and manufactured with

Green-e certified nonpolluting, wind-generated electricity. The paper

meets the Blue Angel Environmental Standard for Printing and Writing

Paper, and is certified by standards that promote environmentally

appropriate, socially beneficial and economically viable management of

the world’s forests. Lead, cadmium, mercury and hexavalent chromium

are not used in the coating formula of our brochure. Soy, rather than

petroleum based, inks are used in the production of this brochure.

3

ouR ViSioN, VAluES AND STRATEGy

Standards exist to be improved

upon, and the high standards we set

in our work today present us with

our challenges for tomorrow. We are

determined to offer our customers

the very best possible products,

processes, applications and services.

This dedication to excellence has

contributed to the success of our

company, and embraces our five

core brand values of creativity,

ambition, flexibility, sustainability

and responsibility.

CreativityAmbitionFlexibility

SustainabilityResponsibility

5

MESSAGE FRoM ThE ChiEF ExECuTiVE

In finding the right balance between

Change and Trust, Desso creates

greater value for our company, our

employees and our customers.

Sustainability and corporate

responsibility are not just obligations

to be met but also objectives that

are at the heart of Desso’s corporate

philosophy. Trust enables change;

in turn change enables more

sustainable societies. By contributing

to social, environmental and economic

development and by holding ourselves

to a high ethical standard in everything

we do, we gain the trust of our clients

and contemporaries.

Desso is well positioned to drive the

change.

This commitment starts from the top

and is shared by our employees, who

feel pride in working for a company

whose business contributes to a better

world.

We are committed to our social

and environmental responsibilities,

regarding these as essential

prerequisites to sustainable business.

We wish to be known as a solid,

trustworthy and dependable company;

as a good ‘corporate citizen’ in terms of

the way we treat our staff and maintain

our relationship with the communities

in which we operate.

The company will never lose sight of

the fact that its goal is to enhance the

quality of people’s lives – and, among

other things, that means safeguarding

the environment.

We have learned through experience

that change is something to be

embraced. And, at a time when the

world is changing faster than ever, we

continue to tackle fresh challenges with

the same drive that has characterized

our company since the business was

launched almost 80 years ago.

Stef Kranendijk, CEO

7

ThE iSSuE oF GlobAl WARMiNG

Is global warming man-made? There is a

great deal of discussion around the topic of

global warming without universal agreement.

Although we do not have all the answers, we do

know that reducing our energy consumption

and emissions will benefit the environment,

and that makes good business sense. To help

you gain a greater understanding of this

complex issue, we have formulated some

facts and definitions that will help you better

grasp what global warming is and what it

means to be carbon neutral by offsetting the

carbon footprint. (A carbon footprint is the

total amount of carbon dioxide (CO2) and

other greenhouse gases emitted over the full

life cycle of a product or service.)

WhAT iS GlobAl WARMiNG?Global warming is the gradual increase of the Earth’s surface temperature. Many scientists believe it is caused by an

increase in greenhouse gas emissions into the atmosphere. Given the natural variability of the Earth’s climate, it is

difficult to determine the extent of change that humans cause.

WhAT ARE ThE GREENhouSE GASES?Many chemical compounds found in the earth’s atmosphere act as greenhouse gases. They include carbon dioxide CO2,

methane CH4, nitrous oxide NO2, water vapour, halogenated fluorocarbons and ozone. When sunlight strikes the earth’s

surface, some is reflected back towards space as infra-red radiation - heat. Greenhouse gases absorb and trap the heat

in the atmosphere.

bECoMiNG CARboN NEuTRAlWhen an individual or an organization sets out to become carbon neutral it is usually achieved by a low carbon

economy, combining the following:

Limiting energy usage and emissions from transport (by walking, using bicycles or public transport, avoiding flying and

using low-energy vehicles) as well as from buildings, equipment and processes.

Obtaining electricity from renewable energy sources - either directly by generating it ourselves (by installing solar

panels on the roof for example) or by selecting an approved green energy provider, and by using low-carbon alternative

fuels such as bio-fuels. Offsetting the remaining emissions that cannot for the moment be avoided or generated from

renewables in a responsible carbon project, or by buying carbon credits.

our Company,our Style.

WhERE Do GREENhouSE GAS EMiSSioNS CoME

FRoM?

Greenhouse gas emissions result primarily

from the combustion of fossil fuels such

as coal, oil and gasoline. Greenhouse gas

emissions from industry, transportation

and agriculture are very likely to be the

main cause of recently observed global

warming. Major sources of an individual’s

greenhouse gas emission include home

heating and cooling, electricity consumption

and transportation. Corresponding

conservation measures include improving

home building insulation, installing cellular

shades and compact fluorescent lamps

and choosing vehicles that offer a higher

ratio of miles per gallon.

9

our Company,our Style.

ouR FoCuS

SOCIAL RESPONSIBILITY

We want our business to have a

positive effect on those we deal

with - not least our customers,

our workforce and our suppliers.

We aim to build a reputation as

an honest and ethical trading

partner, great employer and

responsible neighbour.

1

CLIMATE

We aim to become a carbon

neutral business. We will constantly

determine the carbon footprint of our

products, using the latest techniques.

We will continually strive to reduce

those footprints by reducing our

energy consumption, minimizing

our transport, using greener energy

sources and applying carbon offsetting

to our business.

2

3

FOR THE WORLD TOMORROW

Everything we do has an effect on the big

issues facing us as a society. At Desso we are

aware of the environmental impact of climate

change and the overuse of scarce resources.

We know the difference that can be made by

interaction with our neighbours and society

as a whole and we will concentrate our

efforts in these areas. However we cannot

succeed alone; our sustainable goals must

encompass our workforce, our suppliers, our

neighbours, our customers, and indeed our

direct stakeholders.

SUSTAINABILITY WITH SUBSTANCE

We will ensure that our products have

as beneficial an impact as possible

throughout their whole life. We will source

sustainable raw materials, use energy-

efficient processes, develop long-life and

low maintenance products, and we will

recycle, reclaim and re-use products at the

end of their initial life.

SoCiAl RESPoNSibiliTy

We want our business to have a positive effect on those we deal with - not least our

customers, our workforce and our suppliers. We aim to build a reputation as an honest and

ethical trading partner, great employer and responsible neighbour.

• Desso’s Company Policy encompasses a continual improvement process.

• All internal transport is electrically powered.

• All our plants are based in Europe, and our minimum wage exceeds local minimum

requirements.

• Desso is a signatory to the benchmarking covenant: a regional initiative linked to the Kyoto

agreement.

ouR MANuFACTuRiNG FACiliTiES ARE iSo 14001 CERTiFiED. WhAT DoES ThAT MEAN?

Our manufacturing facilities are ISO 14001 certified meaning

we have a set of procedures that cover all key processes in

the business:

We monitor processes to ensure they are effective•

We are keeping adequate records•

We check output for defects, and take appropriate •

corrective action where necessary

Desso regularly reviews both our individual processes •

and the quality system itself for effectiveness; we aim to

facilitate continual improvement

Desso complies with international environmental •

standards and regulations, which means that we

are properly managing and implementing internal

environmental goals and objectives as they are set out.

our Company,our Style.

WhAT ElSE ARE WE DoiNG To hElP ENSuRE A ClEANER AND SAFER

ToMoRRoW FoR ouR EMPloyEES?

One step we have taken is the use of

electronically powered forklift trucks

which do not produce any emissions or

dangerous fumes. Electric forklifts are also

ideal in terms of cost as they are less

expensive to run than any other comparable

apparatus. Another advantage of having

electric forklift trucks in our manufacturing

businesses and warehouses is that they

are quieter than other alternatives, hence

more user-friendly for our employees and

the environment.

13

WASTE & RECyCliNG

SOCIAL RESPONSIBILITY

For more than a decade, the concept of waste isolation has been embedded in

the manufacturing processes at our facilities. This means that we constantly focus

attention on waste. Our prime objective is always to minimize waste, and all our carpet

waste is pelletised and used as high energy and raw material in other industries.

ouR CoMMiTMENT To WASTE REDuCTioN iS AbSoluTE

• All semi-finished carpet waste is recycled and used as high energy in

other industries.

• All finished carpet waste is pelletised and used for fuel in other industries.

• All textile dust is extracted, collected and used as fuel in other industries.

• All polypropylene waste is recycled back into other industrial processes.

our Company,our Style.

ClEAN WATER

At Desso’s main production facility a

daily 600m3 of water is processed by the

water treatment plant, totalling 410,000m3

annually.

Of this volume, 50% is recycled using

a special ozone purification installation

supplied by Air Liquide/Altec GmbH. In

addition, Desso saves aslo at its carpet

tile plant an annual 11,000m3 of drinking

water by introducing a closed system

for cooling purposes. To ensure quality

control is strictly maintained, the water

from the water purification installation is

constantly and thoroughly checked, with

a daily inspection by Desso’s process

operators and a weekly lab check to

verify chemical levels.

A certified independent laboratory

conducts monthly tests, and local

authorities carry out spot checks to ensure

Desso meets regulatory standards.

15

CliMATE

We aim to become a carbon neutral business. We will constantly determine the

carbon footprint of our products, using the latest techniques. We will continually

strive to reduce those footprints by reducing our energy consumption, minimizing

our transport, using greener energy sources and by applying carbon offsetting cost

to our business.

• All products are individually certified GUT (“Gemeinschaft umweltfreundlicher

Teppichboden”), see below and next page.

• Water recycling plants have been installed at both of our factories. This enables

us to guarantee that water is returned to river in line with European environmental

regulations.

• We have reduced air emissions by more than 50% since 1994 and more than 80%

for specific substances.

• No chlorine-containing solvents are used at our factories.

CLIMATE CHANGE – DESSO COMMITMENT

We use less energy and as a direct result have achieved a 23% improvement in our energy efficiency index, over the last decade whilst we have increased the production significantly. In addition, due to the use of green energy, and importantly, due to the use of our production scrap as fuel for the cement industry and energy power plants our total energy efficiency index has improved 73% over the last decade. On December 4, 1990, European carpet manufacturers joined in Aachen in Germany to form GUT. Their goal: “To ensure environmental friendliness and consumer protection at every stage of the carpet’s life-cycle.” Its founding fathers proclaimed environmental and consumer protection to be a basic element of their company’s culture. They realised that the environmental issues couldn’t be solved by one single company nor on a national basis: manufacturers - even if they were competing against each other on the market - needed to act together and across the European continent, and they formed GUT. How is Desso tested in relation to environmental acceptability of our products? We assure: • Environmentally compatible production. • The absence of any contaminants. • Minimal emissions and odours in new carpet. • Recycling of scrapped carpet and production waste.

our Company,our Style.

GuT - hoW iS DESSo TESTED- CARPETS TESTED FoR A bETTER liViNG

ENViRoNMENT:

As a member of GUT, Desso is committed

to:

• Examining the products with regard to

damaging chemicals and emissions.

• Manufacturing the products with less

impact on the environment.

• Co-operating on continuous improvement

of all environmental issues in our production

processes.

• Maintaining on-going inspections of the

standards of our installations.

• Uninterruptedly fulfilling our obligations

in accordance with instructions regarding

clean air, clean water and recycling issues.

GUT ensures minimum environmental

impact and consumer protection at every

stage of the carpet’s life-cycle: from

production to installation, from daily life to

discarding. Desso addresses a broad variety

of questions related to the consumers’

living environment, either in their homes or

in nature at large. GUT closely co-operates

with three independent certified European

institutes, Centexbel (Belgium), ÖTI (Austria)

and TFI (Germany).

17

SuSTAiNAbiliTy WiTh SubSTANCE

We will ensure that our products have as beneficial an impact as possible

throughout

their whole life. We will source sustainable raw materials, use energy-efficient

processes, develop long-life and low maintenance products, and we will recycle,

reclaim and re-use

products at the end of their initial life.

Most yarns used at our factories include 15% recycled content. All packaging •

includes 40% recycled content.

Energy is recovered from all factory solid waste through controlled incineration, •

with the residual ash being used for cement products. Water use in the tile

printing process has been reduced by 98%.

At Desso more than 26 different kinds of waste are collected separately - waste •

recycling from our factories exceeds 90%.

We have a set of procedures that cover all key processes in the business.•

AT DESSo MoRE ThAN 26 DiFFERENT kiNDS oF WASTE ARE CollECTED SEPARATEly - WASTE RECyCliNG FRoM ouR FACToRiES ExCEEDS 90%

All waste that arises from production is called

production scrap including side trims from backing

lines, pre-coating lines and bitumen lines, the trims

at the dye cutter and remainders of yarn at the

tufting process.

All scrap and waste is collected at defined sites

within the plant location. The production scrap

is disposed of as a high caloric waste either via

the cement industry or via thermal recycling. All

packaging is 100% recyclable.

our Company,our Style.

uSE oF GREEN ENERGy AND REDuCTioN iN ENERGy CoNSuMPTioN

At our production facility at Desso in

The Netherlands alone, we have reduced

energy consumption per m2 of product

produced by 23% since 1998, resulting in

a 23% reduction in CO2 emissions.

100% PoST CoNSuMER WASTE PAPER

All of Desso’s printed communication

is conducted using Cyclus – a 100%

recycled paper created from post-

consumer waste.

What is recycled paper?

Recycled paper is made from waste

paper collected from places such

as office and, printing companies..

The waste paper is de-inked, i.e. the

printing ink is cleaned from the fibres,

the fibres bleached and new pulp

produced which can be used in the

production of new paper (recycled

paper). Recycled paper is less harmful

to the environment than paper

made from fresh (virgin) fibres. No

chlorine bleaching is used. Chlorine-

free paper is paper bleached without

using chlorine or chlorine compounds

(TCF).

We will print with water-based inks.

Aside from environmental issues,

water-based inks have other

advantages, such as stability and

lower flammability ratings. Water-

based inks tend to be more viscosity-

stable on press due to the slower

evaporating nature of water. Water-

based inks have lower VOCs and

indeed can be formulated with zero,

or near zero, per cent VOCs on many

paper products.

Newer generations of water-based

products are easier to clean up than

their solvent counterparts; rinsing

with a mixture of soap and water

will usually do a thorough job of

cleaning water-based inks from

press parts making them even more

environmentally friendly. Also, water-

based inks have lower flammability

ratings and many are non-red label

products with such high flammability

points that insurance restrictions are

eased.

our Company,our Style.

21

ouR PlANS FoR ThE FuTuRE

• In 2008 we will gain the UK BRE certificate ( BRE Global Limited is an independent third party approval body

offering certification of fire, security and sustainability products and services to an international market).

• We have launched our new project on reclaiming carpet from customers. As from today we are piloting the

reclamation project in which we reuse or recycle carpet.

• We have our carbon offsetting programme.

• Our energy reduction programme started more than a decade ago, and we will continue to pursue our

commitment to reducing our energy consumption.

• From 2008 green energy will be used in our plants, and we will be investigating alternative energy options.

• We will start our programmes based on the cradle-to-cradle concept.

about Desso Desso has been manufacturing and marketing carpet for more than 70 years, and during that time it has earned a fine reputation as a reliable partner and creative designer. Today, it has three factories in Europe and specialist customer service centres throughout Europe, as well as in the United States, Asia, South Africa, the Middle East and Australia. CARPETECTURE® is a powerful example of the Desso commitment to creative carpet design and its dedication to answer the needs of architects, interior designers, building owners, and end users. Desso products can be found in offices, public buildings, banks, schools, universities, retail shops, and hospitals. Among its many highly valued customers are distinguished companies such as Fortis, ABN AMRO, HSBC, Deutsche Bank, BNP Paribas, Allianz, Starwood Hotels, Marriott Hotels, Regus, KLM, Virgin Atlantic and many more.For more information visit: www.desso.com.

SustainabilityDesso has been taking measures to safeguard the environment for many years – long before it became popular to do so. With an ISO 14001 environmental quality accreditation, regular on-site checks by independent institutes ensure the best possible environmental production methods. In addition, every Desso carpet and carpet tile carries a unique GUT test number that proves it passes GUT tests for contamination and emission. We also have several initiatives for re-using carpet tiles to ease the burden on landfill, and our ongoing research programme for environmental awareness and recycling covers both product and packaging. Desso continuously seeks to improve the environmental attributes of our products through product design development programmes whilst our manufacturing plants evaluate energy use and a continuous reduction in waste and pollution as well as process improvement.