SIMONA TANNINGEnvironmental FootprintFrom blueprint to footprint - When it comes to our environmental impact the giant tortoise, over its 100 year life span, has seen most than more of us. At Simona Tanning we are doing our best to think of the planet and by doing so ensure these and every other creature can continue to make their own footprints on the earth unhindered for years to come. Rather than marketing chrome free, green or organic leathers, we believe it makes sense to focus on our total environmental footprint, throughout the whole of our business. After all, what better plan is there to follow than nature’s original blueprint for a sustainable world.

• Nature’s Blueprint is our Environmental Footprint

• Corporate philosophy to lessen Environmental Footprint

• Processes, Finishes and Attitude…

OUR PHILOSOPHYResultsA spider spins its web in one continuous process, starting first with the framework and then working with its sticky tread into the centre. Likewise Simona have continuously strived to build on a sound structure of good environmental practices. We perform to a gold standard minimum in every issue from effluent treatment to energy consumption.

“NATURE’S BLUEPRINT IS OUR ENVIRONMENTAL FOOTPRINT”The spider web graph shows Simona Tanning’s ‘critical sections’ scores in comparison with the gold target set by the Leather Working Group’s environmental certification protocol.

WE’VE COME A LONG WAY…

ETP could not treat waste to an acceptable level & discharge

volumes were often higher than acceptable level

Energy & Water use was not well controlled

Solid waste volume was too high, & we were not recycling enough

No concentrated environmental focus within the tannery

Where we WERE in MAY 2007:LWG AUDIT COMPLIANT – 75%

WE’VE COME A LONG WAY…

ETP treatment effective and within standard. Discharge

volumes very low as we recycle more within tannery.

Energy & Water well controlled with many successful reduction

programmes in place.

Solid waste volume reduced significantly & recycling levels

increased

Focused, well managed environmental programme within the

tannery

Where we ARE in JANUARY 2009:LWG AUDIT GOLD – 90%

ENVIRONMENT POLICY

環 境 方 針Simona Tanning will ensure that its operational activities comply fully with relevant environmental legislation, and perceived best practice. 興昂制革將確保其營運活動都完全遵守相關的環境法律法規，並且盡可能達到最高標準之要求。

Simona Tanning strives by the setting of objectives and the measurement and analysis of data, for continual improvement of its environmental management procedures.興昂制革通過設定一系列的目標，檢測以及數據分析以達到持續改善環境管理程序的目的。

Simona Tanning will focus on the management of resources and aims to reduce and / or recycle wherever possible.興昂制革將關注資源管理，並致力於減少資源的使用或盡可能地循環利用資源。

COO：總經理：

Changes We MadeETP

Design and construction of new ETP to process up to

2400m3/day.

New ETP designed to recycle 40% of treated water back to

retan process.

Use of the most up-to-date technology to treat tannery effluent

including Membrane Bio-Reactor, Ultra-filtration, Reverse

Osmosis

Hiring of overseas consultant to maximise ETP performance

Changes We MadeETP

Ultra-Filtration (UF) Reverse Osmosis (RO)

Changes We MadeENERGY

Change shift arrangement to utilize city power, so no need to run oil fired generatorInstallation of wood-fired boiler operating on scrap wood to replace oil fired boiler Utilize the low cost evening power to run the most energy consuming equipment (RO membranes, Roller Coaters) Use more natural air drying Reduce temperature settings in toggle driers, Paste driers, tunnel driers Reduce steam pressure in to the tannery Increase chilled water temperature Reduce lighting (light tubes in offices reduced from 3 to 2) Remove air hoses off most machines to save energy used to run compressors Installed converter unit to control air compressors – minimize energy use. In ETP run air mixers in balancing tank intermittently for 30 mins, stop 30 mins, rather than all the time.Installation of sensors on hand spray machines and other machines to automatically turn off if not in use. General education of all staff to turn off lights, fans, a/c etc when not in use Continued investigation in to alternative energy sources (solar power for some hot water production, street lighting options – solar?, LED?).

Changes We MadeENERGY

Installation of Scrap Wood Fired Boiler to generate steam Operational November 2008

Year-to-Date AverageProcess Energy Use MJ/m2 - trend

20

30

40

50

60

70

80

YTD atApril-07

YTD atJuly-07

YTD atOct-07

YTD atDec-07

YTD atMar 08

YTD atJune

08

YTD atSep 08

YTDOct

YTDNov

YTDDec

YTDFeb2009

Energy Use MJ/m2

2009 Target

Changes We MadeWATER

Use RO water (Reverse Osmosis treated water from Effluent treatment plant) to supplement town supply (aiming for minimum of 40%) Use ETP discharge water for non-critical processes, i.e. garden, toilets, cleaning, soaking tanks on sam/set machines, spray booth water scrubbers, ETP use this water to dissolve chemicals

The above 2 programmes are on-going and have been fully operational since November 2008

Samming machine – collect water from felt spraying and recycle it to Feltre wash off drum. Feltre wash off drum – recycle this float Hand Spray booths – change water weekly (before changed daily) Reduce wet back and wash floats by 50% (from 200% to 150%) Currently trialing reducing all float offers by 10% in retanning General education of all staff to use less water, turn off taps, get dripping pipes / taps fixed etc.

Changes We MadeWATER

Samming Water reused to wet back drum

Re-circulate wet back drum water

Changes We MadeWATER

RO Water to supplement town supply for processing

Discharge Water use for non-critical processes

Year-to-Date AverageProcess Water Use dm3/m2 - trend

55

60

65

70

75

80

85

90

95

YTDat

April-07

YTDat

July-07

YTDat

Oct-07

YTDat

Dec-07

YTDat

Mar08

YTDat

June08

YTDat

Sep08

YTDat Oct

08

YTDat

Nov08

YTDat

Dec08

YTDFeb09

Water Use

2009 Target

Changes We MadeSOLID WASTE

Change from Belt Filter Press (Moisture rate approx 80%) to Plate filter press (Moisture rate approx 60%) to treat effluent treatment plant sludge Install Sludge drier. Sludge moisture rate after drying approx 25% Sludge volume in 2007 = 0.98Kg/m2, Sludge volume in 2008 = 0.31Kg/m2 Wet Blue Shavings – able to be sold and recycled Change shaving substance to reduce shaving volume – 2007 Average shaving waste = 0.32Kg/m2, 2008 Average shaving waste = 0.21Kg/m2 Reduce trimming at crust and final sort to reduce trimming volume Implement departmental solid waste reduction programme

Changes We MadeSOLID WASTE

ETP Sludge - Change from Belt Press (80% moisture)

To Plate filter Press

(60% moisture)

Changes We MadeSOLID WASTE

ETP Sludge – Install dryer

(25% moisture)

Sludge from 60% moisture to 25% moisture

A 60% reduction in sludge waste generated/,m2 leather made

25% moisture

60% moisture

Year-to-Date AverageSolid Waste - Kg/m2 - trend

0

0.2

0.4

0.6

0.8

1

1.2

1.4

YTDat

April-07

YTDat

July-07

YTDat

Oct-07

YTDat

Dec-07

YTDat

Mar08

YTDat

June08

YTDat

Sep08

YTDat

Oct08

YTDat

Nov 08

YTDat

Dec08

YTDFeb09

Solid Waste

2007 – ETP sludge 0.98Kg/m2 2008 – ETP sludge 0.31Kg/m2

No sludge or shavings disposed

2009 Target

Solid Waste - % Recycled - trend

0

10

20

30

40

50

60

YTDat

April-07

YTDat

July-07

YTDat

Oct-07

YTDat

Dec-07

YTDat

Mar08

YTDat

June08

YTDat

Sep08

YTDat

Oct08

YTDat

Nov08

YTDat

Dec08

YTDFeb09

Solid Waste Recycled

2009 Target

Changes We MadeOTHER INITIATIVES

More thorough and complete reporting of environmental performance: Monthly

environment report, Monthly publishing of Environmental Control Board Data –

since May 07

Implementation of an Environmental Committee, with monthly Environmental

Audit of the tannery – since July 08.

Environmental training courses held for staff introducing the concepts of

environmental management and why it is important – on-going.

Implementation of Environmental KPI’s for Leading Hands and Supervisors –

since July 08

Investigation of alternative energy sources to supplement our existing options.

Covering of anaerobic tanks and installation of air scrubber to ensure there

are no odors from ETP.

2009 AND BEYOND…

Focus on 0% water discharge, while reducing overall water use within

the tannery to sustain Gold medal level.

Focus of continued energy reductions to sustain Gold medal level.

Continued reduction in solid waste generation.

Continued investigation & then implementation of alternative energy

sources (solar power for some hot water production)

Capturing and use of rain water

Reed bed pilot plant for treatment of RO Concentrate

Implement system to measure the environmental footprint of individual

leather types

Continued focus to REDUCE, REUSE, RECYCLE in all areas of our

operation

For more information on Simona Tanning’s Environmental

System visit Simona Tanning’s Website

www.simonatanning.com

For more information on the LWG protocol:

www.blcleathertech.com/blc_leather_working_group.aspx

MORE INFORMATION