“SUSTAINABILITY IS NOT A GOAL TO BE REACHED BUT A WAY OF THINKING, A WAY OF BEING, A PRINCIPLE WE MUST BE GUIDED BY. GIULIO BONAZZI – CHAIRMAN, AQUAFIL GROUP Imagine you could turn old waste into something brand new and beautiful. The ECONYL® brand does just this: we turn nylon waste into prime material for industrial manufacturing. As we all know waste is a byproduct of any industrial production. What if we could somehow turn this concept upside down? Exactly this is our idea: We reduce the amount of waste on the globe by collecting it from landfills and oceans and feeding it back into production cycles. As people working for the ECONYL® brand we invest our commitment, determination and skill to make these dreams, ideas and values come true. By that we create processes and products that help make tomorrow a better place to live. A place, where industrial production goes hand in hand with respect for the environment. A place, where sustainable technologies, processes and products with low environmental impact dominate the landscape of global markets. THE ECONYL® Regeneration System AN INTELLIGENT AND SUSTAINABLE WAY TO CREATE PRODUCTS FROM WASTE IN A CONTINUOUS LOOP. THE ECONYL® REGENERATION SYSTEM CONSISTS OF SIX PRODUCTION STEPS THAT FORM A CLOSED LOOP. AJDOVSCINA, SLOVENIA (EU) LJUBLJANA, SLOVENIA (EU) 1 ECONYL® Waste Rescue WORLD-WIDE POLYAMIDE WASTE RESCUE The ECONYL® reclaiming program is the first step of the ECONYL® Regeneration System. Nylon waste is collected in different areas around the world. It is sent to the ECONYL® waste collection and treatment center, based in Ajdovščina, Slovenia. From there it is forwarded to the nearby regeneration plant located in Ljubljana. The pre-consumer waste we collect includes production discards, industrial plastic components and oligomers. Our supply chains that provide post-consumer waste are becoming more and more important. We collect products at the end of their life cycle, fishing nets, fabrics as well as fluff from carpet flooring. Currently we reclaim waste throughout Canada (British Columbia), USA, Greece, Egypt, Pakistan, Turkey, Thailand and Norway and we are constantly exploring new opportunities. In 2011 and 2012 we have removed 16,000 tons of waste. 2 ECONYL® WASTE PREPARATION AJDOVSCINA, SLOVENIA (EU) STORAGE AND PREPARATION OF WASTE Ajdovščina, near Ljubljana is the place where the collected waste begins its journey back to its origins. In this waste treatment center the different types of waste are cleaned and prepared for depolymerization. As part of the cleaning process, foreign materials other than nylon 6 - such as organic, plastic or metallic materials - are removed and sent to other supply chains. The cleaned nylon waste is shredded, compacted, bagged, and transported to the ECONYL® regeneration plant in Ljubljana. We started the production of ECONYL® material in 2011 with 70% pre-consumer waste and 30% post-consumer waste. At the end of 2012, the percentage of post consumer content has reached up to 40%. We continue to increase this ratio, so that in near future we will produce ECONYL® material from 100% postconsumer waste. TARGET: 100% POSTCONSUMER WASTE ARE TREATED IN OUR PLANT THE WORLD IS FREED OF 1,000 1,000 TONS OF PA6 MONTHLY TONS OF WASTE 3 ECONYL® DEPOLYMERIZATION LJUBLJANA, SLOVENIA (EU) THE ECONYL® DEPOLYMERIZATION PLANT At the heart of the ECONYL® Regeneration System stands a miracle: the ECONYL® depolymerization process. What makes this step so innovative and superior to the processes used by our competitors? The difference – and this is quite a miracle – lies in our system that gives us a very high ratio of nylon output compared to the waste input. Until recent, depolymerization at a scale that is commercially viable has been deemed impossible in the synthetic fibers sectors. The cost was simply too high since only very little nylon could be gained from huge amounts of waste. The ECONYL® brand found two ways to make the impossible possible. First, we have installed highly effective supply chains that guarantee waste with 90 to 95% of polyamide content. This means we can harvest a maximum amount of nylon from the waste since it contains very little foreign material. Second, we have invented a radically new purification process that is less complex than the ones applied in the industry. As a result we utilize a lot less energy and water, have a lot less residual waste and produce a lot more first grade nylon. CREATING THE MIRACLE: 100% REGENERATION TO ARRIVE AT RECYCLING VIRGIN QUALITY 4 ECONYL® POLYMERIZATION THE ECONYL® POLYMERIZATION PLANT Our two polymerization plants are located in Ljubljana (Slovenia) and Arco (Italy). The ECONYL® caprolactam we produce has the same chemical and performance characteristics as caprolactam from fossil raw material. Hence, the process and chemical methods of transforming the ECONYL® caprolactam into nylon 6 polymers - what is known as polymerization - are identical to polymerization of virgin caprolactam. 5 ECONYL® TRANSFORMATION TRANSFORMATION OF PA6 POLYMER The PA6 polymers produced from ECONYL® caprolactam are distributed to our production facilities, where they are processed into BCF yarn (carpet flooring yarn) and NTF yarn (textile yarn). 6 ECONYL® RE-COMMERCIALIZATION COMMERCIALIZATION INTO YARNS From ECONYL® caprolactam we process two groups of products: BCF yarns for synthetic carpet flooring and NTF yarns for textiles. We market these products to our customers who produce goods for their final markets. When we speak of re-commercialization we want to rewrite the rules for producing man-made fibers. Our goal is to manufacture products that are not only entirely made of regenerated material, but are fully and endlessly regenerable, too. Our process starts right at the beginning by designing products that are suitable for re-manufacturing. And it finishes with the collection and regeneration of post-consumer waste. It’s a process that forms a real closed loop in the truest sense. THINKING AHEAD, CREATING REGENERABLE PRODUCTS FACTS & FIGURES THE PRODUCTION PROCESS OF ECONYL® caprolactam Four years and €20MIO have been spent ON the R&D, design and building of the chemical system and depolymerization plant (Source: Aquafil Internal data, 2013) We have recovered Nylon 6 waste in different REGIONS of the world CANADA USA NORWAY GREECE TURKEY EGYPT PAKISTAN THAILAND (Source: Aquafil Internal data, 2013) During 2011 and 2012, we have reclaimED CLOSE TO 16,000 tons of pre- and post-consumer waste (Source: Aquafil Internal data, 2013) We have recovered closeD to 4,000 tons of post-consumer goods otherwise dumped in the natural environment (Source: Aquafil Internal data, 2013) PRODUCTS in the first two years of activity (2011 and 2012) the ECONYL® plant has produced more THAn 12,000 tons of regenerated caprolactam which Aquafil transformed INTO polymers and yarns (Source: Aquafil Internal data, 2013) IN 2013 ECONYL® PRODUCTS WILL CONTAIN 50% post-consumer content, increasing the level of 2012 which was around 30% (Source: Aquafil Internal data, 2013) www.econyl.com Contact us on Follow us on info@econyl.com © 2013 Aquafil S.p.A. ECONYL® is a trademark of Aquafil S.p.A. @econyl www.econyl.com