2009 DuPont Excellence Awards Strength. Speed. Agility.
Sustainable Growth
2009 Sustainable Growth Excellence Awards
Contents
Reduction in DuPont’s Carbon Dioxide Emissions.............................................. 3
Reduced Footprint • DuPont Agriculture & Nutrition • EMEA
A Cleaner Environment and an Integrated Community......................................... 4
Reduced Footprint • DuPont Corporate • Latin America
Corian® - The Path to Zero Landfill of Manufacturing Waste.............................. 5
Reduced Footprint • DuPont Safety & Protection • North America
Commercialization of New Engineering Resins Based on Castor Beans................... 6
Next Generation • DuPont Performance Materials • Global
Non-Government Organization (NGO) Engagement: Product for Salmon Aquaculture................................................................................... 7
Stakeholder Engagement • DuPont Applied BioScience • North America
Cerenol® Polyols Business Development......................................................... 8
Next Generation • DuPont Performance Materials • North America/EMEA
The DuPont Sustainable Growth Excellence Awards The 2009 Sustainable Growth Excellence Awards recognize the remarkable accomplishments of DuPont teams around the world -- teams that have created shareholder and societal value while reducing the environmental footprint along our value chains. In October 2006, DuPont announced a new set of 2015 Sustainability Goals that included a number of traditional footprint reduction goals. The goals also included four market facing goals, which are targeted at driving innovation and new product and service offerings to reduce the footprint of our value chains. This year’s accomplishments demonstrate what implementation of our 2015 Sustainability goals means. In mid October a panel of 13 people representing key stakeholder groups (employees, customers, and broader society) reviewed 25 nominations submitted from around the world. The committee ultimately had to choose 6 winners, but all 25 nominations represent significant advances in our sustainable growth mission. This year’s 6 recipients accomplished energy savings and reduction of greenhouse gas emissions, reaching out and using business management processes to drive real change in a poor community in Mexico, engaging with various organizations early in the development process to assure product acceptability, driving towards a zero waste site, and developing new products based on renewable resources. The cost savings and new revenues are worth millions of dollars to DuPont. Thank you to everyone who was involved in the 2009 Sustainable Growth Excellence Awards process. These are the best practices of today that have set the standard for how we will work in the future. Congratulations to not only the winners but to all those that were part of the teams whose accomplishments were submitted but were not chosen this year. Keep up the great work.
Linda Fisher VP and Chief Sustainability Officer
2009 Sustainable Growth Excellence Awards Judges
External
DuPont
Beth Beloff Principal, Beth Beloff & Associates President, BRIDGES to Sustainability Institute
Alonzo Wharton SHE Manager, Spruance VA, USA
Joel Gehman Pennsylvania State University Smeal College of Business Kristin Oswick Project Manager - REACH The Goodyear Tire & Rubber Company
Debbra Johnson DuPont Packaging Graphics, USA Holly Ritter Environmental Manager Fort Madison, IA, USA Jenny Liu Manager, Government Affairs, USA
Duncan Pollard Director, Conservation Practice & Policy WWF International
Petra Verdurme SHE Manager, Europe
Patrick Starr Pennsylvania Environmental Council
Mireille J Quirina Corporate Affairs Director, Europe Guy Wynn SHE Excellence Center, USA Allyson Fish Corporate Marketing & Sales Effectiveness, USA
RECOGNIZING EXCELLENCE Reduced Footprint • DuPont Agriculture & Nutrition • EMEA
Nominator Raf Van Raebroeckx
Left to Right: Adi Kurniadi, Koen Denoo, Filip Pauwels, Rudi Devriese
Reduction in DuPont’s Carbon Dioxide Emissions The Solae Ieper plant in Belgium produces isolated soy protein (ISP) through a highly energy-intensive process. Facing rising energy prices and focusing on reducing Solae’s environmental footprint, the Solae Ieper team implemented three independent projects, that, resulted in a 15% reduction in annual CO2 emissions and $2,875,000 of annual benefits. The first project was the installation of a 1.4 MW electrical cogeneration biogas engine. The unit is fueled by biogas generated in Ieper’s anaerobic wastewater treatment plant and supplemented with natural gas. The team also optimized the heat streams in the facility for additional energy saving. The second project introduced a new process for soy fiber processing. Soy fiber is a by-product from the soy protein production, which is then sold as animal feed after being dried. The new process drastically reduces the energy requirement for the drying process, resulting in significantly lower carbon emission from the dryer’s natural gas burner. Through a cooperative effort with a wind farm (nine 1.4-MW turbines), the third project coupled one of these turbines directly to the Solae electrical grid. This provides the plant with a direct source of clean, renewable electricity. Combined, these projects reduced the Ieper plant’s direct and indirect CO2 emissions by 8,000-10,000 metric tons per year, a 13%-16% sustainable reduction over the 2005 baseline. The Ieper facility now has the highest percentage of renewable energy use of all Solae plants. All three projects are considered transferable to other Solae facilities. The new process for the soy fiber production has recently been implemented at Solae’s Memphis facility with similar results. These projects received local recognition and help demonstrate Solae’s commitment to sustainable growth, reinforcing Solae’s “Right to Operate” the Ieper facility for years to come. In all three initiatives, the team being honored demonstrated agility and a focus on success in developing projects for a Green Future and sustainable growth, while meeting all safety, financial, quality, and timing objectives. The strategy they executed aligns closely with the company’s core value of environmental stewardship. Grant Recipient: This team has chosen an organization called Scholengemeenschap in Ieper Belgium as the recipient of the $5000 grant. The grant will support the creation of a work group of students and teachers focused on ‘Environment and Energy’ to help the school community better understand their environmental footprint and how each person can help to reduce that footprint. 3
RECOGNIZING EXCELLENCE Reduced Footprint • DuPont Corporate • Latin America
Nominator Ricardo A. Ramírez
Left to Right: Elia Hernandez, Eugenio Villaseñor, Wendy Jacome, Monserrat Garcia
A Cleaner Environment and an Integrated Community The 15,000-inhabitant “La Higuera” neighborhood north of Mexico City is in an urban area made up largely of underprivileged people characterized by family integration problems, lack of education, overcrowding, and polluted public areas. In 2004, a group of local college students, Grupo Renacimiento La Higuera I.A.P. started seeking ways to improve the quality of life in La Higuera. They carried out community activities to improve the environment, but did not succeed due to a lack of resident interest. In 2005, as a result of DuPont involvement in environmental networks and its prestige as a pioneer in Social Responsibility activities, the Renacimiento group asked DuPont to guide the creation of a successful community-participation program. The corporate SHE team used its expertise in root-cause analysis to create a program focused on transforming the community. The team first interviewed community leaders, teachers, and families and identified problems of family disintegration, home violence, and lack of green spaces due to garbage and pollution. These problems contributed to a 40% absenteeism rate in schools, youthful alcohol and drug addictions, and lack of interest in improving the polluted state of the community. The investigation also showed that one problem was PET bottles used by young people to bring alcohol and drugs into school. The team decided that a successful program needed to integrate families and schools to strive for a common goal. Thus, the program began with four months of workshops on family values, community coexistence values, home vegetable growing, and the environment. Next, the DuPont team created and coordinated a program called “Caravanas Ambientales,” consisting of monthly environmental-focused family activities. These volunteer activities include local radio shows, rock concerts, workshops, children’s theatre, and street-/public areacleaning. Wastes collected at the events were separated and sold, and the money used to benefit the community through street paving, house painting, and street lighting. Local schools created a PET-recovery contest, motivating children and teens to maintain a clean community. The Carvanas Ambientales program has proved an effective way to improve life quality in La Higuera and sets an example of how an environmental project can join communities together towards an objective DuPont’s reputation as a recognized leader in Social Responsibility has been enhanced. Through the Caravana Ambiental, a monthly average of 6,500 participants recycle 40 tons of waste, including seven tons of PET recovered through the school contests. The urban image is improving through recovery of green areas, and a culture of ecology is being created. Family economies are improved by recycling and home gardening, and student absenteeism has decreased from 40% to less than 10% in four years.
Grant Recipient: This team has chosen Corredor Monte Alto KM 23, Isidro Fabela, Carretera Trazala, to continue the work on creating a healthy and integrated community. 4
RECOGNIZING EXCELLENCE Reduced Footprint • DuPont Safety & Protection • North America
Nominator Gary D. Milosovich
Left to Right: John S. Stewart , Michael Arthur Banks, Patricia J. Wopperer, John L. Hannon
Corian® - The Path to Zero Landfill of Manufacturing Waste A cross-functional team at the Yerkes plant in Buffalo, New York, is proving that ‘The Goal is Zero’ is possible. They have successfully implemented a number of programs to reuse, reduce and recycle Corian® by-products, significantly reducing the environmental footprint. As a result of these efforts, manufacturing waste has been reduced by more than 75%. The team continues to look at all aspects of the Corian® process and is working on additional programs to reach the goal of zero manufacturing waste by 2012. So far, they have found recycling opportunities for casting film, off-specification sheets and wood pallets, saving millions of dollars per year with zero capital investment. In 2007, the team found a creative way to repurpose excess material to create a new premium offering called the Terra Collection, which achieved promising initial sales in 2008 and continues to gain market share. The Terra Collection product line contributes to LEED credits – increasingly a requirement by architects and designers for building products. In another initiative, slightly-off color Corian® sheets that otherwise would have been sent to landfill were donated for construction of interactive children’s hospital playrooms. This was a win-win idea that helped the hospitals and promoted the healthcare value of Corian® with hospital administrators, architects and general contractors. Through connections within the local community and working closely with the NY State Department of Environmental Conservation, the team identified a concrete recycling facility that successfully tested the usefulness of ground Corian® as a construction material. Diverting Corian® by-products into this application reduced trucking mileage to landfills by 95%, thus also reducing the transportation carbon footprint. In addition to the cost savings and new sales revenue, the recycling initiatives of the Yerkes team have also served to increase employee pride in DuPont as a responsible corporate citizen, recognized in both the local community and nationwide. The Yerkes team’s efforts have helped position DuPont as a leader in sustainability among architects and designers, enabling Corian® to compete globally in a market increasingly focused on “green” building materials. The solutions developed by the team are now being leveraged across other manufacturing sites in Canada, Korea, Japan and China.
Grant Recipient: This team has chosen Habitat for Humanity “ReStore.” ReStore diverts thousands of tons of material from landfill to reuse in the community. Cabinets, doors, windows and many household building materials are donated, sold and reused. 5
RECOGNIZING EXCELLENCE Next Generation • DuPont Performance Materials • Global Nominators Marsha A. Craig Trevor Gazard Robert S. Lawton
Masahiro Nozaki
Mark Hazel
Masatoshi Ikeda Georgios Topoulos
Timo Manninen
Commercialization of New Engineering Resins Based on Castor Beans The award involves collaborative sustainable resin and application developments with two strategic DuPont customers for engineering resins. One is a major global hand-held electronic device manufacturer, while the second, DENSO, focuses on automotive materials. Both companies are committed to introducing new materials that are good for the environment and for consumers. DuPont teams collaborated with these customers globally to develop new solutions based on sebacic acid derived from castor beans, a non-food renewable source. As a raw material, castor beans offer many sustainability benefits: • They can grow on marginal lands, providing farmers in such areas a more secure income and stabilizing lands susceptible to erosion. The crop needs only moderate rainfall, withstands long periods of drought, and requires no fertilizers/pesticides and little attention. • Castor does not compete with food-grade crops. • The plants absorb carbon dioxide, helping to reduce greenhouse gas. • Castor beans have very high oil content (around 50%). • Processed castor cake (the by-product from making castor oil) is a very good fertilizer. Before qualifying the material, the customer required DuPont to conduct a Life-Cycle Analysis and to study the safety and ethical behavior of the whole supply chain. This involved a third-party audit of the supply chain, from the castor oil plantations to the production of sebacic acid. Life Cycle Analysis demonstrates advantages with both nylon 1010 and 610, relative to the incumbent resins. For the hand-held device manufacturer, the final product was made from nylon 1010, a resin derived 100% from castor beans. For DENSO, the final product was based on nylon 610, a resin derived 60% to 63% from castor beans. In both cases, performance of the new product was superior to the incumbent product. This technology represents a step-change improvement, and patent applications have been filed for both products. DENSO widely publicized this development as the first demonstration of a renewably based, engineering resin in a highly demanding environment. The DENSO press release generated significant interest worldwide from other customers for resins based on sebacic acid. DuPont received a 2009 Innovation Technology Award from DENSO for this development. This initiative is a model for how to use a DuPont portfolio of Renewably Sourced materials as a way to meet customer expectations for both improved functionality and sustainability. These developments are expected to offer good revenue growth opportunities for DuPont and their customers.
Grant Recipient: This team has chosen World Wide Fund (WWF). The WWF Arctic Program goal is to promote a healthy Arctic environment with unfragmented ecosystems, viable populations of wildlife and sustainable resource use that meets local needs. 6
RECOGNIZING EXCELLENCE Stakeholder Engagement • DuPont Applied BioScience • North America Nominator Scott Nichols
Left to Right: Dawn Rittenhouse and Scott Nichols
Non-Government Organization (NGO) Engagement: Product for Salmon Aquaculture Within the family of omega-3 of fatty acids, two in particular are required for human health: eicosapentaenoic acid (EPA) and docosahexaenoic acid (DHA). Humans are unable to synthesize EPA and DHA to the extent required, so we must acquire them from our diets. A very good source of essential omega-3 fatty acids is oily fish such as salmon. Farm-raised salmon also require a dietary source of essential omega-3 fatty acids. In salmon aquaculture, essential omega-3s are currently supplied by oils extracted from the harvest of wild herring, anchovy, capelin, and menhaden. Historically, up to 75% of the world’s fish oil is consumed by salmon aquaculture. To provide sufficient omega-3 fatty acid for the growth of one kg of farm-raised salmon, it is necessary to harvest between three and five kg of wild-caught fish. This practice is inherently unsustainable. To reduce the number of fish harvested for fish oil production, DuPont developed a genetically modified yeast that can produce the essential omega-3 fatty acids to feed farmed salmon. Replacing wild-caught fish oil with oil produced from the yeast diminishes the wild fish harvest by requiring just one kg for every kg of farmed salmon. The team wanted to understand how environmental groups viewed the use of genetically modified yeast in salmon feed, so they approached seven environmental groups to understand their positions and concerns about this new aquaculture feed. The discussions started very early in the process—even before formulating the business plan or investing resources in product development. The environmental groups were very supportive and provided helpful guidance on important aspects of the product development. Over time and with repeated interactions, the team developed relationships based on mutual respect that allowed DuPont to approach the environmental groups freely with questions. The groups provided information about potential problem areas, which were addressed early in the development process. The useful counsel from the environmental groups has helped DuPont pursue a developmental pathway that will enhance the market value of DuPont products and provide an environment-friendly, sustainably-farmed salmon harvest. The efficacy of the plant-based omega-3 fatty acids produced from genetically modified yeast has been proved in multiple salmon feeding trials. Grant Recipient: This team has chosen International Center for Living Aquatic Resources Management (ICLARM). The grant will be used to support the work of the WorldFish Center in Africa. Farming families headed by women and orphans are taught to adopt a practice known as integrated agriculture-aquaculture. Communities come together and pool resources to build ponds to grow fish, provide water and fertilizer for crops, and give food security in times of drought.
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RECOGNIZING EXCELLENCE Next Generation • DuPont Performance Materials • North America/EMEA Nominator Matthew A. Page
Anne Clouzeau
Left to Right: Hari B. Sunkara, Maya R. Sethuraman, Ray W. Miller
Cerenol® Polyols Business Development This Cerenol® business development team created and launched a new business based on unique, patented technology that uses 100% renewable resources to manufacture and sell high-performance polyetherdiols into the global elastomers markets. The process is more sustainable, uses less energy and is less hazardous than the competition. A preliminary LCA* shows Cerenol® has significant savings in cradle-to-gate non-renewable energy consumption and GHG emissions in comparison to an industry average, literature-based polytetramethyleneglycol (PTMEG) model. Tests have also shown that Cerenol® products have very low toxicity and are ultimately biodegradable. They have excellent thermo-oxidative stability and are easy-to-handle liquids at room temperature. Process and market development have progressed rapidly since the announcement of Cerenol® commercialization in June, 2007. Process optimization in a pilot unit at Pascagoula, Mississippi, demonstrated the commercial viability of the process and allowed sufficient production of representative products to seed the various markets. In June, 2009 DuPont signed a contract with a manufacturer to provide commercial manufacturing by year-end. In August, the Cerenol® business sold nearly 15 metric tons of products to customers in Europe, North America, and Asia, setting a new record for outside sales and validating the value proposition in the specialty elastomers markets. In addition, several internal DuPont businesses have been able to develop and commercialize new products that take advantage of the superior performance properties of Cerenol® while also enhancing their environmental footprint. In total, the Cerenol® platform is protected by over 100 filed and issued patents. The demonstrated and potential Cerenol® markets are large. To date, 20 customers have confirmed their interest in capitalizing on the unique combination of properties. The combined total opportunity for these identified and qualified markets exceeds $6 billion/year. The Cerenol® platform of products provides what society demands: performance materials from renewable resources that significantly lower the environmental footprint. For example, in molded and elastomeric fiber applications, Cerenol® provides a superior soft segment that retains elastic properties at much lower temperatures, is tougher and more energy-absorbing, and has a softer feel than similar products made with PTMEG. In functional fluids, the combination of better lubrication and up to 30% better heat transfer coefficient for enhanced performance and life-cycle impact. In coatings, the addition of Cerenol® provides up to a 50% improvement in paint-chip resistance and up to five times faster drying. Grant Recipient: The award will be directed to support the Delaware Nature Society’s Land and Biodiversity Management Department. The Delaware Nature Society manages more than 1,900 acres of land for biodiversity and educational programs. The award will be used for seasonal staff, tools and supplies to support general maintenance on trails and program areas, as well as tree planting projects. (* DuPont internal LCA - currently under peer review). 8
2009 Sustainable Growth Excellence Awards Nominations Reduced Footprint
Serving the Marketplace
Next Generation
Kocide Product Growth with Significantly Reduced Environmental Footprint
Zemea® Propanediol Launches into the Natural Deodorant Market
Philippines Driving Ag-Biotech Adoption & Growth in Asia-Pacific
Reduction in DuPont’s Carbon Dioxide Emissions
DuPont Helps Make Windows “Greener” in China
ITO-free Fodel® Development and Lower Cost Black Pigment
40% Reduction of Potable Water Consumption at DPC Bulle Site
Reducing Dust Emissions from Coal Trains Cerenol® Polyols Business Development
R-948i Slurry: Unique Process with Enhanced Sustainability
DuPont Building Innovations for Energysaving Housing Project in Mt. Everest Area
Vinyl Fluoride Emissions Reduction at Fayetteville Works
Development of Bio Based Structural Materials for Nokia
Dynamic Manufacturing Transformation and Sustainable SHE Progress
Mining Ventilation Pipe Enhances Safety of China’s Coal Mining Industry
An Integrated Community as a Result of a Cleaner Environment LEED Building Certification Brine Reduction Project
Stakeholder Engagement Coragen™ Insect Control Breakthrough for China Rice
Ethylene Plant Energy Reduction Projects Non-Government Organization (NGO) Save 1.45 Trillion BTU/YR Engagement: Product for Salmon Aquaculture ® Corian - The Path to Achieving Zero Landfill of Manufacturing Waste Highly Toxic Material (HTM) Elimination and Waste Reduction to Kanawha River
DuPont Packaging Graphics Life-Cycle Assessment & Impacts
Commercialization of New Engineering Resins based on Castor Beans
The DuPont Commitment Safety, Health and the Environment The core direction of DuPont is Sustainable Growth – the creation of shareholder and societal value while we reduce our environmental footprint along the value chains in which we operate. Through this Commitment to safety, health and environmental excellence, we affirm to all our stakeholders, including our employees, customers, shareholders and the public, that we will conduct our business with respect and care for the environment. We will implement those strategies that build successful businesses and achieve the greatest benefit for all our stakeholders without compromising the ability of future generations to meet their needs. We will continuously improve our practices in light of advances in technology and new understandings in safety, health and environmental science. We will make consistent, measurable progress in implementing this Commitment throughout our worldwide operations and support Responsible Care® as a key program to achieve this Commitment. Highest Standards of Performance, Business Excellence
Continuously Improving Processes, Practices and Products
We will adhere to the highest standards for the safe operation of facilities and the protection of our environment, our employees, our customers and the people of the communities in which we do business. We will manage security as we do safety.
We will extract, make, use, handle, package, transport and dispose of our materials safely and in an environmentally responsible manner.
We will strengthen our businesses by making safety, health and environmental issues an integral part of all business activities and by continuously striving to align our businesses with public expectations. Goal of Zero Injuries, Illnesses and Incidents We believe that all injuries and occupational illnesses, as well as safety and environmental incidents, are preventable, and our goal for all of them is zero. We will promote off-the-job safety for our employees. We will assess the environmental impact of each facility we propose to construct or acquire and will design, build, operate and maintain all our facilities and transportation equipment so they are safe, secure and acceptable to local communities and protect the environment.
We will continuously analyze and improve our practices, processes and products to reduce their risk and impact throughout the product life cycle. We will develop new products and processes that have increasing margins of safety for both human health and the environment. We will seek opportunities to make our new and existing facilities inherently safer. We will work with our suppliers, carriers, distributors and customers to achieve similar product stewardship, and we will provide information and assistance to support their efforts to do so. Open and Public Discussion, Influence on Public Policy We will promote open discussion with our stakeholders about the materials we make, use and transport and the impact of our activities on their safety, health and environments.
We will be prepared for emergencies and will provide leadership to assist our local communities to improve their emergency preparedness.
We will build alliances with governments, policy makers, businesses and advocacy groups to develop sound policies, laws, regulations and practices that improve safety, health and the environment.
Goal of Zero Waste and Emissions
Management and Employee Commitment, Accountability
We will drive toward zero waste generation at the source. Materials will be reused and recycled to minimize the need for treatment or disposal and to conserve resources. Where waste is generated, it will be handled and disposed of safely and responsibly.
The Board of Directors, including the Chief Executive Officer, will be informed about pertinent safety, health and environmental issues and will ensure that policies are in place and actions taken to achieve this Commitment.
We will drive toward zero emissions, giving priority to those that may present the greatest potential risk to health or the environment.
Compliance with this Commitment and applicable laws is the responsibility of every employee and contractor acting on our behalf and a condition of their employment or contract. Management in each business is responsible to educate, train and motivate employees to understand and comply with this Commitment and applicable laws.
Where past practices have created conditions that require correction, we will responsibly correct them. Conservation of Natural Resources, Energy and Biodiversity We will excel in the efficient use of fossil fuels and feedstocks, land, water, minerals and other natural resources and transition toward the greater use of renewable energy and feedstocks. We will seek to conserve and protect natural resource biodiversity and will manage our land to enhance habitats for wildlife. We will also work with our customers and suppliers to reduce impacts and improve efficiencies along the value chain.
We will deploy our resources, including research, development and capital, to meet this Commitment and will do so in a manner that strengthens our businesses. We will measure and regularly report to the public our global progress in meeting this Commitment.
