STMicroelectronics

The Journey to Zero Waste

Napoli February 20, 2009

Ing.Renato Di Stefano

North Italy Sites General Services Director

STMicroelectronics

a Global Semiconductor Company

9.84 US $ Billion sales in 2008.

5° in the ranking of worldwide microchip sales.

15 main production sites from Arizona to Cina.

Over 50.000 employees worldwide, ~ 8.200 in Italy.

For us, understanding our stakeholders’ expectations is a precise business strategy, reflecting our many years of experience and our conviction that socially responsible companies are intrinsically more competitive and generate higher returns for shareholders.

We encourage ST employees to exercise a strong sense of individual responsibility to the environment and to the local communities in which we operate.

Our approach to Corporate Responsibility extends well beyond our Company, as we actively seek to involve our suppliers in our approach, significantly expanding our impact.

Commitment to Sustainable Excellence

STMicroelectronics

Environment friendly processes avoid natural resources consumption and wastes generation and yield a strong competitivive advantage.

On 1995 ST issued its “Environmental Decalogue”: The 6° “commandment” imposes that 95% of wastes has to be reused or recycled.

The 7° “commandment” requires the use of:

“DFE Design For Environment” rules in designing and producing our products, “Life CycleAssessment” for minimizing the whole impact to the Environment of our activities.

our Total Environment Management

STMicroelectronics

The organization Strong leadership by top management.

Characterisation of wastes and identification of Best Practices for internal reuse.

Promoted a positive attitude through the organization for Raw material selection process based on its total life cycle.

Sustained activities for selective waste collection, segregation and treatment before disposal.

Identified partners for wastes recycling.

STMicroelectronics

Results

Best Practices

Eco-Foot-PrintReduceReduce

ReuseReuseRecycleRecycle

“3 R”

the methodology

STMicroelectronics

Recycling on 1994: 45%Recycling on 1994: 45%

1995: Built The “Eco-Isle1995: Built The “Eco-Isle” Invested 450 MLire (230K€)Invested 450 MLire (230K€)

Less than 4 years pay-backLess than 4 years pay-back

Recycling on 2003: 99%Recycling on 2003: 99%

%

155€/Ton

57€/Ton55%

99%RecycleRecycle

DisposalDisposal

An italian success storyAn italian success story: : “The Waste as a Resource” “The Waste as a Resource”

STMicroelectronics

Description Tons/year Destination

Packing material 200 Selective recycling

Steel 150 Sold to steel industries

Paper & carton boxes 128 Recycling through paper makers

Wood 100 Recycling through dealer

Plastics 53 Recycled through plastic maker

Lead batteries 27 Pb & H2SO4 recycling

Obsolete tools 26 Selective recovery and recycle

Glass 20 Recycled by glass maker

Cupper 10 Sold to dealer

Monitor 9 Recycled to no profit organization

Silicon Wafers 2 Sold to solar cells makers

Fluorescent lamps 1.6 Recycling of materials

Electronic components 1.5 Precious metals recycling

ST-Agrate Solid Wastes recycled ~730 Tons/year

Solid Wastes recycle

Solid recyclable wastes are selectively segregated at the “Eco Isle”.

The recycling of 700 tons/year avoids a cost of 75.000 €/year.

Silicon Wafers Recycle

Scrap Wafers are sold as raw material to Solar Cell makers

700.000 €/year yield recovery

Description Tons/year Destination

Ammonia sulphate 4300 Biological treatment for fertilizer

Sludges 1200 Production of bricks

Solvents 185 Regeneration through distillation

Mineral oils 1.1 Regeneration

Toner 0.7 Regeneration for printers

ST-Agrate Chemicals recycled ~5687 Tons/year

Sludges Recycle

1.200 Tons/year of sludges from Waste water treatment plants sent to brics production industries;avoiding 1000 € cost/year.

ST has received more than 100 awards and accolades worldwide, in

the areas of both Quality and Environmental Protection,

including the European Quality Award and the Malcolm Baldridge National

Quality Award

STMicroelectronics Awards

I # 000001I # 000001 ST-CATANIA

I # 000002I # 000002 ST-CORNAREDO

Since 1998

EMAS: first Company registered in Italy

STMicroelectronics

I # 000003I # 000003 ST-AGRATE

A pragmatical approach to the EnvironmentA pragmatical approach to the Environment

++An ethical obligationAn ethical obligation

++Scientific methodologyScientific methodology

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GREENGREEN isis BLACKBLACK

STMicroelectronics