your supply chain … Introducing Allegiant Global Services Allegiant Global Services…a leading supplier of manufacturing support services that focus on reducing landfill use and increasing recycling, while minimizing risk and managing cost Allegiant Global Services •Heritage Interactive Services – 2000 •Headquarters in Indianapolis, IN with additional offices in TX, CA, MI, Mexico and Brazil •Minority Business Enterprise - 2006 •Ownership: 51% Minority Investment 49% Heritage •>2,000 Customer Sites •>500 Complementors •Currently Serving: –US –Canada –Mexico –Honduras –Brazil •Expanding into Europe in 2008 •Sales Run Rate = >$100M/year •Customers are Fortune 500 and other International corporations Allegiant North American Customer Locations By-Products Managed By Allegiant Average Annual Volumes 700,000,000 600,000,000 Pounds 500,000,000 400,000,000 300,000,000 200,000,000 100,000,000 0 Hazardous Waste NonHazardous Industrial Waste Recyclables Solid Waste Universal Waste Allegiant Global Services – Success Stories “Allegiant Global has been a cornerstone to our zero landfill success…” -Update, Subaru Newsletter 5/14/07 In a move that was a first for the US Automotive Industry, Subaru of Indiana Automotive (SIA) implemented a very strong Corporate Social Responsibility policy. The policy contributed to the development of a company culture focused on continuous improvement, environmental sustainability and environmental compliance. This culture, combined with the implementation of Allegiant Global’s total byproduct management program, resulted in SIA attaining “Zero Landfill” status and a recycle rate of 99%. Allegiant Global Services – Success Stories (Cont.) Waste Water Treatment Plant Sludge The company A major manufacturer of aluminum beverage cans. Project background The facility generates approximately 400,000 pounds of wastewater treatment sludge annually. Because of certain constituents the sludge is considered a hazardous waste. The solution provided by the previous vendor was to landfill the sludge. Incentives to Change The company was concerned about reducing future liability and cost. Results Allegiant Global collaborated with the client to seek approval for an exemption from a state agency. The client received approval to use the sludge in construction projects. Allegiant Global further negotiated logistics and pricing resulting in significant cost savings for the client. Allegiant Global Services – Success Stories (Cont.) Oil Emulsion The company Manufacturer of aluminum and specialty alloy. Project background The client needed to dispose an extremely thick oily emulsion with large amounts of suspended solids. This emulsion was generated as an operational by-product of the industrial waste system and wastewater treatment facility on site. Because of the viscosity of the emulsion the waste system was becoming clogged. Facility personnel planned to solidify this material on site and transport to a landfill. The solidification would have resulted in quadrupling the volume of the sludge with an increase in disposal costs. There were approximately 200,000 gallons of material that would have to be solidified. Incentives to Change Client desires to seek alternative and innovative solutions to landfill and to reduce costs. Results Allegiant Global worked with several providers to explore alternatives solutions. A solution was developed to recover and recycle the oil in the emulsion. This resulted in keeping 800,000 gallons of waste out of a landfill, improving the level of recycling at the manufacturing facility and reducing costs associated with this project. Business Model • • Allegiant Global Services is an “Expert General Contractor” – Determine the services and quantity needed – Select qualified, cost effective service providers – Provide management/oversight of service performance – Provide auditable metrics, data and reports Allegiant Global difference: – Entrepreneurial approach to minimizing the environmental footprint of our customers – Commitment to long-term relationships – Pursuing sustainable solutions Without Allegiant Global: Typical Service Delivery Protocol Multiple Sites -- Multiple Vendors Site #1 Disposal Companies USA (Trash, Industrial Waste, Hazardous Waste, etc) Site #2 Recycling Companies Canada (Scrap Metal, Plastics, Pallets, Paper) Site #3 Project Management Mexico (Demolition, Remediation, Industrial Services) Site #4 Environmental Health & Safety Support Brazil (Training Certifications, Tracking) With Allegiant Global: Customer Site #1 USA Allegiant Global Site #2 Canada Site #3 Mexico Site #4 Brazil Dedicated Program Manager Consolidated Invoice Internet Data Tracking and Reporting Additional Layer of Liability Protection Core Industry Expertise Supplier Partners Disposal Companies (Trash, Industrial Waste, Hazardous Waste, etc) Recycling Companies (Scrap Metal, Plastics, Pallets, Paper) Project Management Group (Demolition, Remediation, Industrial Services) EH&S Programs Sustainable Solutions Equipment Leasing Finance ~60% of Incumbent Suppliers retain service as provided today. Scope of Services • • • Hazardous Waste Non-hazardous/Industrial Waste Universal Waste – – • • • • Materials from Parts Washers and related cleaning devices General Refuse/Trash Medical Waste Recyclables – – – – • • • Batteries Light bulbs Cardboard and paper Wood/pallets Glass Miscellaneous Plastics E-Scrap (electronic components) Scrap Metal Episodic Generated Waste – – – – Project Waste Product Destruction Unused Chemicals Event/Remediation Project Management Scope of Services (Cont.) • • • Data Management – Baselines and Proposals – Web Based By-Product Management Plans – Vendor Invoice Consolidation and Payments – Customer Invoices – Web Based Customer Reports Compliance Management – EHS Programs – Expert Resources Sustainable Solutions – Climate Change – Energy Management – Alternative Waste Management your supply chain … AIM Program Assess • Innovate Assess cost management opportunities with cross functional experts: • Draw upon internal and external expertise • Cost control • Waste and Recyclables management • Logistic efficiency • Identify and prioritize cost reduction opportunities • Determine baseline • Set targets Manage • 24/7 readily available experts • Identify innovative methods of reducing, reusing, recycling, or sustainable practices • Ensure efficient implementation and continuous oversight of cost control programs • Optimize logistics • Assure compliance • Minimize disposal cost • Continue searching for new opportunities What does this mean for our customers? • Expert assessment of cost management opportunities • Implementation of corporate-objective programs • Continuous improvement Implementation Steps Service Integration/ Billing Agent Site Visit Baseline/Proposal Development & Approval Continuous Improvements Improvement Implementation By-Product Management Plan Periodic Program Review Allegiant Tracking System • www.agscustomer.com • Customer receives username/password. • Standard reports: – – – – – – • Waste stream Information Item Volume Detail with Pricing Spend By Service Site Annual Hazardous Waste Report Item Volume Summary Allegiant Global Services Invoice Customized reports & Corporate Dashboards Allegiant Tracking System (Cont.) Contact Information • Ken Wolfe Director of Corporate Compliance Office 317-334-7072 Fax 317-334-7050 Cell 317-407-9535 kwolfe@allegiantglobal.com Allegiant Global Services 3719 West 96th Street Indianapolis, IN 46268 your supply chain … Thank You