Puma 2007-2010 NPC Action Plan by pengxiuhui

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									           PUMA AUSTRALIA PTY LTD




           National Packaging Covenant
            2007-2010 Action Plan


Contents                                   Page

Executive Summary                           2

Corporate Structure                         2

Corporate Social Responsibility             3

Corporate Environmental Initiatives         3

Product Range                               4

Packaging Covenant Signatory Commitments    4

Product Stewardship                         4

Key Performance Indicators and Targets      6

NPC Contact                                 9
EXECUTIVE SUMMARY

PUMA was founded in 1948 by Rudolf Dassler in Herzogenaurach, Germany,
and is today one of the leading sport lifestyle companies in the world. PUMA
is aware of its responsibility as a globally operating company. Environmental
responsibility is a major component of the company’s development strategy.
PUMA observes the principles of sustained development in all of its activities
in order to satisfy today’s demands without impairing the opportunities of
future generations.

The protection of the environment is an ongoing process. Continuous
improvements are required to live up to PUMA’s environmental accountability
to consumers, suppliers, employees and the generations to come.
Greenpeace grades corporations and products from red to green according to
their policies and the use of hazardous substances. PUMA was upgraded
from “amber” to “green” in February 2007. This acknowledgement of PUMA’s
efforts by one of its most critical stakeholders gives PUMA reason to believe
that it is on the right track towards a more sustainable and environmentally
friendly business.

Although most of PUMA’s products are imported pre-packaged, PUMA and its
principal are committed to resource conservation and product stewardship,
and will work towards ensuring that all the members of its packaging supply
chain conform to the requirements of the National Packaging Covenant.
Methods are being investigated to provide the NPC ongoing data on the
tonnes of packaging type by source purchased (local or imported), tonnes of
packaged product sold and the ratio of product to packaging (by weight).
Unfortunately PUMA was unable to provide the necessary baseline data for
the 2006-2007 IDAS KPI Online Survey, but will be aiming to remedy this
before the next survey in 2008.

Mr. Noel Kelly, Operations Director, will be responsible for PUMA’s
commitment to the National Packaging Covenant. He will report directly to the
Managing Director, Mr. Warwick Mitchell on all issues relating to the
Covenant. This Action Plan has been endorsed by Mr. Mitchell.


CORPORATE STRUCTURE

PUMA was founded in 1948 by Rudolf Dassler in Herzogenaurach, Germany,
and is today one of the leading sport lifestyle companies in the world. The
brand focuses on bringing distinctive designs and a global outlook to each
product range by blending influences of sport, lifestyle and fashion. In order to
achieve these goals, its brand template emphasizes PUMA’s distinctiveness,
individualism, spontaneity, internationalism and sporting heritage.

Rising to the informational and communicational challenges posed by the 21st
century, PUMA has developed a virtual corporate structure. Through its matrix
organization, PUMA achieves geographical focus through its subsidiaries and
regional hubs in Germany, USA, Hong Kong, Austria and Australia. Germany


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is responsible for Western Europe, USA for the Americas, Austria for Eastern
Europe, Africa and the Middle East, Hong Kong for Asia, and Australia for the
Pacific Region. This structure places PUMA in a dynamic position to capture
regional differences and local variances, enabling the company to fine-tune
and incorporate them into its global brand initiatives.


CORPORATE SOCIAL RESPONSIBILITY

PUMA is aware of its responsibility as a globally operating company.
Environmental responsibility is a major component of the company’s
development strategy. PUMA observes the principles of sustained
development in all of its activities in order to satisfy today’s demands without
impairing the opportunities of future generations. The realization of
sustainability is underpinned by a Code of Conduct, which is binding for all
producers.

PUMA’s involvement in environmental and social matters is increasingly
gaining in importance, as is illustrated by the evaluation of experts and
sustainability analysts. In 2006, PUMA was included in the Dow Jones World
and STOXX Sustainability Index, after having been listed in the FTSE4Good
Index since 2005. In addition, PUMA has also joined the UN Global Compact.
This membership requires that the ten principles of the UN Global Compact
be actively supported. These principles deal with issues of human and labour
rights as well as environmental protection and anti corruption.

PUMA maintains contact with interested parties by staging annual dialog
events. Moreover, PUMA representatives participate in conferences and
discussions in the field of corporate responsibility worldwide. At present,
PUMA also holds a seat on the board of the committee for corporate social
responsibility of the World Federation for the Sporting Goods Industry
(WFSGI).


CORPORATE ENVIRONMENTAL INITIATIVES

Each human being is in direct contact with the environment. As such,
environmental protection is enormously important to PUMA and also poses
challenges ahead. PUMA’s aim is not only to make environmentally
compatible production of its sporting goods transparent to its partners and
stakeholders, but also to continuously improve its standards.

There are four main challenges facing PUMA now:

Fully integrate Environmental Policy into Corporate Strategy
A long-term economic perspective very much depends on PUMA’s ability to
foster the protection of the environment and sustainable development as
important parts of its corporate strategy. Eliminating the content of harmful
substances in PUMA products and production, as well as controlling the



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release of environmentally relevant substances into water, air and soil, are
core components in achieving this goal.

Find Win-Win Solutions for both Financial and Environmental Interests
Enforcing the highest environmental standards, both products and production-
related, benefits PUMA economically by keeping its consumers loyal and by
generating new consumers. The promotion of these standards can generate
cost savings for its factories by recycling waste materials as well as using
sustainable energy sources.

Better Articulate the Environmental Policy to different levels of PUMA’s
Organization and Suppliers
Sustainable development cannot be achieved by an individual department or
brand acting alone. It requires all the individuals and stakeholders involved to
serve a common goal. After clearly articulating PUMA’s environmental policy,
it must also work together to fulfill its standards. By creating strategic
partnerships with PUMA’s suppliers, they help each other achieve this aim
together.

Strive for Continuous Improvement
The protection of the environment is an ongoing process. Continuous
improvements are required to live up to PUMA’s environmental accountability
to consumers, suppliers, employees and the generations to come.

Greenpeace grades corporations and products from red to green according to
their policies and the use of hazardous substances. PUMA was upgraded
from “amber” to “green” in February 2007. This acknowledgement of PUMA’s
efforts by one of its most critical stakeholders gives PUMA reason to believe
that it is on the right track towards a more sustainable and environmentally
friendly business.

“Greenpeace appreciates PUMA’s efforts to phase out harmful substances
and to focus on the use of more sustainable materials in its products and
production processes. The phase out of PVC and its replacement with more
sustainable materials is one commendable move by PUMA. Although PVC
has good material characteristics the negative effects on the environment and
health during production and disposal because of the chlorine and the toxic
additives, like phthalates and organotin compounds, in this material far
outweigh the benefits. The incineration of PVC can lead to the formation of
toxic dioxins and furans. By doing so PUMA clearly demonstrates its
determined efforts to pursue its environmental policy”.


PRODUCT RANGE

PUMA markets a range of sporting life style products under the following six
product categories:
   • Men’s Footwear
   • Women’s Footwear
   • Men’s Apparel


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   • Women’s Apparel
   • Kids
   • Accessories
and most of these products are imported.

Footwear comes in an outer carton that contains a number of individual
footwear boxes, and there are approximately 30 sizes of individual footwear
boxes. Footwear will also have tissue in the box, and box and tissue are
supplied to the final consumer. The outer carton may be removed at PUMA or
forwarded to the retail outlet.

Apparel is imported in cartons as bulk and individual apparel is packaged in
Plastic Type 4 (LDPE) bags which are removed in store prior to placing on
display. Accessories are extremely varied from boot studs to team kit bags
with varying types of packaging. Additional packaging is purchased by PUMA
in the form of carry bags and cartons to transport broken carton lots to retail
outlets.


PACKAGING COVENANT SIGNATORY COMMITMENTS

PUMA became a signatory to the National Packaging Covenant on
September 13, 2007.

Although most of PUMA’s products are imported pre-packaged, PUMA and its
principal are committed to resource conservation and product stewardship,
and will work towards ensuring that all the members of its packaging supply
chain conform to the requirements of the National Packaging Covenant. The
2007-2010 Action Plan details the actions that will be undertaken and the
targets that it has set out to achieve.


PRODUCT STEWARDSHIP

The Covenant is based on the principle of product stewardship. This includes
an ethic of shared responsibility for the lifecycle of products including the
environmental impact of the product through to and including its ultimate
disposal. PUMA will take action as appropriate in the following areas and
report on the outcome in the 2007-2008 Action Plan Report.

Design
Changes to the design of PUMA’s packaging to ensure waste minimization,
secondary market creation and the reduction of litter are very limited because
of the nature of the products that PUMA markets.

Distribution
PUMA consolidates orders for anything up to 6 months to reduce material and
energy consumption to optimal levels.




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Disposal
PUMA footwear customers are encouraged to recycle the boxes with amusing
suggestions, e.g.

     1. As a dolls house for a small doll.
     2. As a container for useless stuff you really should have chucked out by
        now.
     3. As a place for private photos you can’t store on your hard disc.

Labeling
The footwear boxes carry the Mobius loop and the apparel bags are printed
with the Plastics Identification Code 4 and a recycling message. The carry
bags are also printed with the Plastics Identification Code 4 in the gusset.
However the material description and the recycling message does not comply
with Australian labelling requirements and the ability to change this will be
investigated.

Recycling and Reprocessing
6-9 cubic metres of cardboard are collected weekly for recycling per week but
weights are currently not kept. The office has a security bin for recycling, toner
cartridges are recycled and cartons made from recycled cardboard are
purchased. It is not known what happens in the PUMA retail outlets and this
will be investigated and reported in the 2007-2008 Action Plan Report.


KEY PERFORMANCE INDICATORS AND TARGETS

PUMA is a brand owner, a member of the packaging supply chain and as a
signatory to the Covenant is committed to supply baseline data and report on
ongoing performance data against the following eleven Key Performance
Indicator’s (KPI’s). The numbering system from the National Packaging
Covenant has been maintained for ease of reference.

Goal 1
Packaging optimized to integrate considerations about resource efficiency,
maximum resource utilization, product protection, safety and hygiene.

Key Performance              Reporting Measure            Action                        Targets
Indicators

1. Total weight of           1A. Report tonnes of         As previously reported        Base line data for 2007-
consumer packaging           packaging by material type   most of PUMA’s products       2008 will be incorporated
(domestic & imported) sold   by source (local or          are imported prepackaged      into the Action Plan Report
per annum into the           imported).                   and methods are being         in October 2008.
Australian market and the                                 investigated to provide the
total weight of products     1B. Report tonnes of         NPC ongoing data on the
packaged.                    packaged product sold.       tonnes of packaging type
                                                          by source purchased (local
                             1C. Report ratio of          or imported), tonnes of
                             product to packaging (by     packaged product sold
                             weight).                     and the ratio of product to
                                                          packaging (by weight). .

3. Improvements in           3A. Report examples of       Because of the nature of      The results of the review
design, manufacture,         improvements made to         the business that PUMA is     will be incorporated into
marketing and distribution   packaging and their          in, the opportunities to      the 2007-2008 Action Plan
to minimize the              effect on minimizing the     improve the design,           Report in October 2008.



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environmental impacts of       environmental impacts          manufacture and
packaging.                     of the packaging.              marketing of its products
                                                              to minimize the
                               3B. Quantitative details of    environmental impacts of
                               substantial improvements       packaging are limited.
                               should be provided where       However this will be
                               available e.g. tonnes of       reviewed during the next
                               packaging avoided,             reporting period.
                               increased recyclability etc.

4. Changes to protection,      4A. Report changes to          Refer the comments in KPI     Any changes that occur
hygiene, shelf-life or         protection, safety,            3. above.                     during the next reporting
supply chain                   hygiene, shelf life or                                       period will be incorporated
considerations affecting       supply chain                                                 into the 2007-2008 Action
amount and type of             considerations affecting                                     Plan Report in October
packaging used.                amount & type of                                             2008.
                               packaging used with
                               examples, and their
                               associated impact on the
                               amounts and types of
                               packaging used.

                               4B. Quantitative details of
                               changes should be
                               provided where possible
                               e.g. additional tonnes of
                               packaging required,
                               changes to materials used
                               etc.

6. Total weight, by type, of   6A. Report tonnage of          This information will be      This data will be collected
“non-recyclable” consumer      “non-recyclable”               derived from KPI 1.           and incorporated into the
packaging sold per annum       packaging sold by                                            Action Plan Report in
into the Australian market.    material type and total.                                     October 2008.

                               6B. Report total “non-
                               recyclable” packaging as
                               a % of total packaging
                               sold.



Goal 2

Efficient resource recovery systems for consumer packaging and paper.

Key Performance                Reporting Measure              Action                        Targets
Indicators

16. Percentage of              16A. Report whether on-        Some on-site recycling        Details will be provided in
signatories providing          site recycling facilities      facilities are in place but   the 2007-2008 Action Plan
recycling collection           are provided or not.           these and recycling           Report in October 2008.
facilities for post-consumer                                  facilities in PUMA retail
packaging. generated on-       16B. If yes, provide           stores will be investigated
site                           details.                       during the reporting
                                                              period.



Goal 4

Supply chain members and other signatories able to demonstrate how their
actions contribute to Goals 1 and 2 above.

Key Performance                Reporting Measure              Action                        Target
Indicators

21. Estimated tonnage of       21A. Report on amounts         Refer KPI 16                  Tonnes and % of total
consumer packaging sent        of consumer packaging                                        waste sent for recycling
(a) for recycling and (b) to   from on-site collection                                      and sent to landfill will be
landfill from on-site          which is                                                     provided in the 2007-2008




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collection facilities.      (i) Sent for recycling                                    Action Plan Report in
                            (tonnes and % of total                                    October 2008 if available.
                            waste); and
                            (ii) Sent to landfill
                            (tonnes and % of total
                            waste).

22. Number of signatories   22A. Report whether         Most of PUMA’s                The result of this request
who have formally adopted   EcoPP has been formally     packaging is designed,        will be provided in the
the EcoPP and developed     adopted.                    developed and specified       2007-2008 Action Plan
systems for its                                         by PUMA’s German              Report in October 2008.
implementation.             22B. Report actions and     parent. Information
                            commitments that            regarding the process will
                            demonstrate that the        be requested.
                            EcoPP has been
                            implemented.

26. Implementation of Buy   26A. Report whether the     There is no formalized Buy    The result of this
Recycled purchasing         signatory has               Recycled purchasing           investigation will be
policy or practices.        implemented a Buy           policy in place but the       provided in the 2007-2008
                            Recycled purchasing         opportunity to implement      Action Plan Report in
                            policy or practices.        this will be investigated     October 2008.

                            26B. If yes, provide
                            details and quantitative
                            data where available.



Goal 5

All Signatories demonstrate continuous improvements in their management of
packaging through their individual Action Plans and annual Reports.

Key Performance             Reporting Measure           Action                        Targets
Indicators

27. Establishment of        27A.Report indicative       Methods are being             Current baseline data will
baseline performance        baseline data (where        developed to collect the      be collected and
data.                       available), including       required indicative           incorporated into the 2007-
                            qualifiers &                baseline data, including      2008 Action Plan Report.
                            assumptions.                qualifiers and
                                                        assumptions.
                            27B. Report established
                            baseline data by 31
                            October 2008.

28. Annual Reporting        28A. Report to be lodged    PUMA will prepare an          An annual report will be
against Action Plan.        by 31 October each year     annual Report in each         prepared and submitted by
                            commencing 2008 and         year of the Action Plan to    31 October each year from
                            outlining progress          report progress against       2008 in accordance with
                            against baseline data,      baseline data, individual     the reporting requirements
                            individual Action Plan      Action Plan commitments,      of the Covenant.
                            commitments, targets        targets and timelines.
                            and timelines.

29. Demonstrated            29A. Annual report to       PUMA will regularly review    An annual Report will be
improvement and             clearly demonstrate         progress against individual   prepared and submitted by
achievements against        continuous improvement      targets and milestones        31 October each year from
individual targets and      and performance against     and implement any actions     2008 incorporating
milestones.                 individual targets and      as required to achieve        improvements and
                            timelines in Action Plan.   continuous improvement        achievements against
                                                        and performance.              individual targets and
                                                                                      milestones.




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NPC CONTACT

Mr. Noel Kelly, Operations Director, will be responsible for PUMA’s
commitment to the National Packaging Covenant. He will report directly to the
Managing Director, Mr. Warwick Mitchell on all issues relating to the
Covenant. This Action Plan has been endorsed by Mr. Mitchell.

Mr. Kelly’s contact details are as follows:

Noel Kelly
Operations Director
PUMA Australia Pty Ltd
111Keys Road
Moorabbin VIC 3189
Tel: 03 9555 6655
Fax: 03 9553 0895
Mob: 0409 166 701
Email: noel.kelly@puma.com
www.puma.com




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