Global Compact Plastic Omnium - Best Practices in 2006 Plastic Omnium pursues an active policy of sustainable development, in accordance with its strategy for continuing growth. The group has been a member of the Global Compact since 2003 and issues a progress report every year. In 2006, advances have been most evident in the protection of the environment and safety at work - advances that have been achieved through the implementation of internal management systems, based on objectives shared by all our staff. Principle 6 of the Global Compact: the elimination of discrimination in respect of employment and occupation Strategic response and best practices at Plastic Omnium: - In the next two years, Plastic Omnium wishes to further its commitment to the occupational integration of handicapped workers by means of its recruitment policies, the retention of staff already employed, and contracting workers via Special Employment Centers. In 2006, the employment rate of handicapped workers in France stands at 4.3 %. - Plastic Omnium organized events in Germany, Great-Britain and the United States to increase awareness amongst managers and staff of the importance of "Diversity and Equality of opportunity". Principle 7 of the Global Compact: to support a precautionary approach to environmental challenges Strategic response and best practices at Plastic Omnium: - 14001 certification program: in 2006, 66 sites were ISO 14001 certified, representing 94% of the overall certification of the group. Our 2007 objective will raise this figure to 100%. This common point of reference for environmental management enables the structuring of progress in our sites and means that actions initiated can become permanent. - REACH* regulations for chemicals. * Registration, Evaluation, Authorization and Restriction of Chemicals. Even before the adoption of the REACH legislation by the European Parliament in December 2006, the Plastic Omnium Auto Exterior Division had anticipated the changes of classification of certain chemicals due to their known toxicity. The solvent N-Methyl Pyrrolidone and the additive Formaldehyde were accordingly removed from paint lines. In parallel with this action, a comprehensive list of chemicals used was compiled in order to assess their impact on health and the environment. - Use of water-based paint: painting is a function of the Plastic Omnium Auto Exterior PJ & PS – Plastic Omnium – 21 May 2007 division. This division develops and industrializes painting processes that do not emit harmful substances. Four paint lines are already equipped with water-based paint systems, systems that are more environmentally friendly. This action plan will be continued. - Offering our markets products that respect the atmosphere: a) Reduction of vehicle weight: Plastic Omnium Auto Exterior, the division that specializes in designing bodywork parts and modules, has developed new modular and combined materials solutions to restrict the weight of body parts, improve the aerodynamic properties of vehicles, and thus limit CO2 emissions. To give an example, the replacement of metal by thermoplastics for the fenders can lighten a car by approximately 2 kg, and up to 10 kg per car for fender modules. b) Reduction of pollution emissions: Inergy Automotive Systems, world leader in the design and manufacture of fuel systems, has developed a complete exhaust system with a view to controlling soot particles and nitrous oxide gases. In both instances, the Plastic Omnium group offers environmentally friendly solutions that make a reduction in fuel consumption and vehicle emissions possible. Principle 8 of the Global Compact: to promote greater environmental responsibility Strategic response and best practices at Plastic Omnium: - Use of recycled materials: in 2006, the group used 22,500 tons of recycled plastic, derived from both parts at the end of their life and production waste, compared with 20,382 tons in 2005. These recycled materials were used for the manufacture of automobile parts and household waste collection equipment, as part of a move to cut down on the use of fossilbased raw materials. In addition to this, Plastic Recycling, 50/50 subsidiary of Plastic Omnium and CFF Recycling, recycled 9,027 tons of plastic in 2006. - Energy economy: In 2006, Plastic Omnium committed to reducing energy expenditure, with an objective of reducing electricity and gas consumption in factories and offices by 15% by 2008. Principle 9 of the Global Compact: to encourage the development and diffusion of environmentally friendly technologies Strategic response and best practices at Plastic Omnium: - Eco-design sharing: in parallel with the eco-design methodology that Plastic Omnium applies to all its projects and to the training of its engineers, the group developed and launched a 5-day training module for its suppliers and contractors in 2006. This dual training program will be continued. - Ecosourcing: the Plastic Omnium Environment division offers local government and PJ & PS – Plastic Omnium – 21 May 2007 companies service solutions to optimize waste management prior to collection. The ecosourcing offer enables the reduction of waste volume, encourages waste sorting, and increases the recycling rate. Numerous local government bodies have already adopted this system in France, and even more so in Belgium, where a 35% reduction of waste tonnage has been calculated to give a 25% reduction in cost. - Renewable energy sources: Plastic Omnium is involved in research into renewable energy solutions in partnership with expert organizations. - Biofiber and biomaterial research: the Plastic Omnium group is engaged in research for the replacement of fossil-derived materials (resins and polymers) by agro-based materials. To this end, Inoplast is developing a "green" composite material using resins and fibers produced by organic farming. Principle 10 of the Global Compact: to work against corruption Strategic response and best practice at Plastic Omnium: - Rules for best practices between purchaser and supplier: the Group Code of Conduct lists the rules that each member of staff must observe with regard to suppliers. In 2006, the Plastic Omnium Auto Exterior division sent a letter to all its suppliers reminding them of the principle rules of this Code of Conduct, with particular reference to the prohibition of all benefits in kind. Safety at work - our priority In addition to the implementation of TOP SAFETY training, which began in 2004, Plastic Omnium committed to the OHSAS 18001 certification program with the aim of obtaining certification for all sites in 2008. GROUP Safety management and 5 sites have already obtained this certification in 2006. PJ & PS – Plastic Omnium – 21 May 2007