65 | Environmental Policy As a major industry developer and manufacturer of networking equipment, Allied Telesis is committed to providing our customers with products designed and built to the highest quality, while minimizing the impact to the environment during both manufacturing and product operation. Our Philosophy Allied Telesis recognizes the importance of protecting the global environment and promoting conservation of biodiversity. We creatively utilize technology for sustainable social progress and for protecting the environment. Allied Telesis is committed to passing down a healthy global environment to the next generation. Our Policy Allied Telesis takes a proactive approach to: ■ ■ continual improvement of the local and global environment, ■ ■ prevention of pollution, and ■ ■ environmental management to fulfill corporate social responsibilities. To achieve these objectives: ■ ■ Allied Telesis executive management has established and provides the resources for an Environmental Management System (EMS). ■ ■ We offer products designed to conserve energy; manufactured to save resources. ■ ■ We seek to reduce the risks to human health and the health of the environment from the use of hazardous chemical substances. ■ ■ We strive to reduce our impact on the environment through reduction, reuse, and recycling of waste materials (we practice 3R). ■ ■ We comply with all applicable environmental regulatory requirements, industry-specific self- regulation and stakeholder’s requirements. Reduced Operational Power Consumption Using the latest technology and a range of power saving techniques, Allied Telesis has reduced power consumption by up to 50% over a wide range of its network devices. Reducing power consumption has a direct benefit for the environment. Additionally, further energy savings can also be made where products are installed in controlled temperature environments such as server rooms. Such environments allow the equipment to run cooler, requiring less effort and power from the device, resulting in a decrease in power utility costs and an increase in equipment reliability. Eco-friendly is the brand name used by Allied Telesis to signify our low power range of networking products. Eco-friendly products will eventually encompass our entire product portfolio, as we continue to introduce new, lower power technology to meet customer demand. Reducing Power on Network Ports: The latest switching silicon can detect the length of cables connected to a port. Using “measure and minimize” technology, Allied Telesis can ensure that maximum power is only injected into cables with the longest lengths, reducing the power injected into short cable lengths. Advanced products can ensure that selected ports are disabled overnight or on weekends, further reducing power. Reducing Indicator Activity: All networking devices feature a varying array of power-consuming indicator devices (typically LEDs) to aid in installation and diagnostics. On the latest Allied Telesis products, these LEDs can be disabled when not required, saving up to a further 2% of operating power. Power Supply Efficiency: The overall power consumption of a network device is ultimately dictated by the efficiency of the power supply. A power supply delivering only 50% efficiency draws twice the actual required power, with half the power wasted in the form of heat. Allied Telesis uses ultra-efficient power supplies, delivering conversion efficiencies of more than 80%, which produce less heat and reduce power consumption by up to 30%. Allied Telesis is now rating power supplies, informing the user of their efficiency. Manufacturing Allied Telesis prides itself on using state-of-the- art manufacturing equipment. While quality and efficiency are key parameters, Allied Telesis is also focused on reducing the potential damage to the environment caused during the manufacturing process. ISO 9001 Standard: All Allied Telesis manufacturing facilities conform to ISO 9001 standards. Efficient production techniques, coupled with stringent design parameters ensure that Allied Telesis maintains its position as one of the highest quality networking producers in the industry. ISO 14001 Standard: Allied Telesis has long been a responsible manufacturer, ensuring the minimum damage to the world’s environment. All of our facilities adhere to the strict ISO 14001 standard for environment management of our production processes. Allied Telesis manufacturing facilities also ensure minimal impact on the environment by use of the latest technology and processes. All water used in our manufacturing process is recycled. Logistics The majority of Allied Telesis network products are manufactured in Asia. Transporting these products across the world to the consumer markets can therefore have significant impact on the environment. Whenever possible, Allied Telesis attempts to use bulk sea transportation, as this has significantly less environmental impact when compared to air freight. Restrictions on Hazardous Substances (RoHS) Compliance Allied Telesis declares that the homogeneous content of the materials and components used in products bearing the CE Mark conform to the requirements established by the European Union RoHS (Restriction of the use of certain Hazardous Substances in electrical and electronic equipment) Directive, 2011/65/EU. Maximum Concentration Values of lead (Pb), mercury (Hg), hexavalent chromium (Cr+6), polybrominated biphenyls (PBB), and polybrominated diphenyl ethers (PBDE) shall be no more than 1000 ppm and cadmium (Cd) shall be no more than 100 ppm. Allied Telesis ensures RoHS conformance by requiring Declarations of Conformity and Full Materials Disclosure from all suppliers; by monitoring incoming materials and by maintaining strict manufacturing process controls. REACH Policy As a manufacturer of Articles that do not release chemical substances into the environment, Allied Telesis is committed to ensuring that there are no SVHCs (Substances of Very High Concern) above allowable threshold (1000 ppm) used in our products. We have procedures and processes in place to ensure continued conformity with REACH regulations. WEEE Policy Allied Telesis distributors and channel partners share a common commitment to recycle waste electronic equipment and safely dispose of what cannot be recycled, in accordance with the WEEE directive. Conflict Minerals Policy Allied Telesis is committed to social and environmental responsibility and we expect the same commitment from our supply chain. This includes compliance with Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, which requires U.S. publicly traded companies to trace the origins of tin, tantalum, tungsten, and gold (3TG) used in their products. The intended purpose of which is to prevent the use of (3TG) mined in the Democratic Republic of Congo (DRC) and adjoining countries in order to eliminate these “conflict minerals” as a source of funding for the ongoing conflict. We have a dedicated team of people working with our suppliers to reasonably assure that the 3TG in our products are “conflict free.”