Solutions for Sustainability

1
Canon

• Solutions for Sustainability
• Imaging Systems Group

2
Agenda

• Introductions
• Canon Company Overview
• Corporate Environmental and Sustainability
  Initiatives
• Product Specific Environment-friendly Features
• Questions/Discussion

3
Part I Canon Company Overview
Who We Are
4
Canon Company Overview

• Canon was founded in 1937 as a camera company and
  has since evolved into a global imaging leader.
• Canon employed 131,000 people and generated over
  39.3 billion in 2007.
• Canon maintains more than 200 consolidated
  subsidiaries around the world.
• Canon re-invests approximately 8-10 of its
  annual gross revenues back into RD 3.6 billion
  in 2007.
• Canon consistently ranks among the US Patent
  winners 1,987 patents in 2007.

5
Strength Through Diversification
25.7
Business Machines
65.5
Cameras
Digital cameras Digital video camcorders Film
cameras Lenses LCD projectors Other products
Office Imaging Products
28.8
Monochrome NW MFDs Office color MFDs Full-color
copiers Personal PPCs/MFDs Other products
8.8
34.3
Computer Peripherals
LBP and MFP Printers Inkjet printers Inkjet
all-in-ones Image scanners Other products
Business Information Products
2.4
Document scanners Handy terminals Electronic
dictionaries
Calculators Other products
6
Canon 1 in Total Copier Market in 2007!
Source Gartner/Dataquest, Feb. 2008
2007 Market Share Highlights

• Canon 1 Total Copier Market position (BW
  Color)
• Canon 1 Total A3 Copier Market position (BW
  Color, 11x17)
• Canon 1 BW Copier Market position (25 out of 26
  years)

• Canon 1 BW A3 Copier Market position (11x17)
• Canon 2 Color A3 Copier Market position (11x17)
• Canon 1 Brand in Fax Market

7
Commitment to Community
The corporate philosophy of Canon is Kyosei
"Living and working together for the common
good."
Corporate Social Responsibility
Programs

• Environmental Programs
• Cultural Diversity Programs
• Community Programs
• Youth Programs
• Educational Programs
• Corporate Sponsorships and Events

And many more
8
Corporate Environmental Management Structure
Part II Corporate Environmental and
Sustainability Initiatives

• Canon Inc. Global Initiatives
• Global Environment Promotion System
• Canon Americas /USA Environmental Initiatives
• Americas Environmental Management System

9
Corporate Environmental Management Structure

• Canon Inc. Global Initiatives
• Global Environment Promotion System
• Canon Americas /USA Environmental Initiatives
• Americas Environmental Management System

10
3 Fundamental Strategies
Energy Conservation
Resource Conservation
Elimination of Hazardous Substances
11
Product Life Cycle
Sales/ Logistics
Feedback on product performance
Collection and Recycling
12
Global Initiatives

• Environmentally Conscious Products
• Restriction of Hazardous Substances (RoHS)
  Compliant / Hazardous Substances Control
• Energy Efficiency such as International ENERGY
  STAR
• Green Procurement Program
• Smart design, i.e. smaller lighter products w/
  greater capabilities
• Environmental Programs
• Toner Cartridge Return Program
• Global Warming Prevention and Energy Efficiency
• Green Logistics
• Environmental Activities and Education

13
RoHS Compliant Products/ Hazardous Substances
Control

• Restricts the use of 6 Substances, Lead, Cadmium,
  Mercury, Hexavalent Chromium, Polybrominated
  Biphenyls, Polybrominated diphenyl ether (flame
  retardants)
• Canon program goes beyond RoHS and prohibits,
  restricts or controls 26 substances
• Canon first to market RoHS compliant Products
• All Copiers, MFDs, Printers, Cameras and
  Camcorders are RoHS compliant

14
International ENERGY STAR

• New International Standards effective 4/07.
  Results in top 25 policy eliminates 75 of
  current IE qualified products. US EPA Program
  begun in 1992 (Canon IE original partner)
• Requires Total Electricity Consumption (TEC) and
  Operational Mode (OM) approach rather than only
  sleep mode energy use.
• Canons approach compatibility of convenience
  with energy savings. ie. Quick start and
  On-Demand fusing.
• We recognized TEC most significant part of energy
  usage in the copy/printing process. Canons
  designs reflect this and incorporated TEC and OM
  in product development before new standards.

15
Green Procurement

• Canon Chairs the JGPSSI (Japan GP Survey
  Standardization Initiative) and is a recognized
  leader in GP practices.
• JGPSSI collaborated with the US and EU on the
  Joint Industry Guide (JIG) to provide a uniform
  vendor form
• Comprehensive system of Supplier/product surveys,
  QC checks and reauthorization (4500 vendors)
  which encompasses all mfg operations
• Global Objective requires Green Procurement
  System establishment for all Sales Operations and
  subsidiaries.

16
Resource Conservation

• Focus on reducing weight and size in development
  stage while expanding functions.
• ie Color imageRUNNER iRC3380/C3380i are 8
  lighter than previous models
• Recycle-conscious design
• E.g. Reduction in different resins, plastic
  component identification, easy dismantling, use
  of common parts and units
• Green Logistics (Supply Chain Management)
• E.g. Use of SPC techniques as well as product
  design i.e. small size, less weight more units
  shipped per load saves fuel, fewer trips, direct
  to customer shipping, reduction in back
  shipments, reduction in number of warehouse sites
  etc.
• Vision for 2010 Factor 2 resource efficiency

17
Vision for 2010 Factor 2
18
Canon Global Goal

• Vision for 2010
• Factor 2 Double Canons resource efficiency

100 Fuel
10 Miles
100 Fuel
20 Miles
19
Canon Americas/ Canon USA Program Overview

• Company wide Environmental Programs
• External Corporate Environmental Responsibility
  Programs

20
CANON AMERICAS ENVIRONMENTAL CHARTER CORPORATE
PHILOSOPHY KYOSEI Achieve corporate growth and
development while contributing to the prosperity
of the world and the happiness of humankind
through the corporate philosophy of Kyosei All
people, regardless of race, religion or culture,
harmoniously living and working together into the
future. ENVIRONMENTAL ASSURANCE
PHILOSOPHY Pursue maximization of resource
efficiency and contribute to the creation of a
society that practices sustainable
development. FUNDAMENTAL POLICIES FOR CANON
AMERICAS ENVIRONMENTAL ASSURANCE Canon Americas
seeks to harmonize environmental, economic and
social interests in all business activities,
products and services offer products with lower
environmental burden through innovative
improvements in resource efficiency
and eliminate anti-social activities that
threaten the health and safety of humankind and
the environment.
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Environmental Charter

• What does it mean for CUSA?
• It is a commitment our organization has made to
  show we value the environment and will take
  actions to minimize the potential for
  environmental impacts
• What does it mean on an individual level?
• Individuals should consider the environment when
  making business decisions
• Individuals should take actions to minimize their
  environmental impacts (such as recycling paper,
  cans, bottles etc. and minimizing consumption of
  materials)

22
ISO 14001

• A voluntary, global environmental management
  standard developed by the International
  Organization for Standardization that defines
  specific requirements for establishing and
  operating an EMS

23
-EMS Environmental Management System
EMS A continual cycle of planning,
implementing, reviewing, and improving the
processes and actions that an organization
undertakes to meet its environmental obligations
and attain environmental performance.
24
Canons EMS

• ISO 14001 Certified July 2007 (CUSA Sales
  Organization)
• Canon currently is one of the largest global
  certificate holder
• 700 facilities covered under the Canon Global
  Consolidated Certificate.
• EMS includes Goals Objectives for Continuous
  Improvement of Environmental Performance Goals
  Objectives reviewed and approved by top
  management annually
• Requires corporate wide environmental awareness
  training for all employees
• examples CRT / LCD Monitor replacement company
  wide resulted in 1/3 reduction in energy usage,
  99 employees received Environmental Awareness
  Training, Full ISO Certification for Canon
  Americas by 2010 (Subsidiaries, and Latin
  American Companies)

25
Our Environmental Programs

• Our programs illustrate Canon U.S.A.s
  environmental commitment

26
ENERGY STAR

• Currently over 150 Canon Products are ENERGY STAR
  qualified (printers 100, MFDs 88)
• Recipient 2008 ES Award for Promotion of ES
  Program through Product Labeling
• Canon currently holds 10 ENERGY STAR Awards for
  Technical Innovation,100 Product Line
  Qualification FAX, Copier Partner of the Year,
  Manufacturing Partner of the Year etc.

27
WasteWise

• EPA Voluntary Program to reduce municipal solid
  waste and reduce Greenhouse Gas emissions
• Canon USA is a Waste Wise Partner since 2000
• Canon established internal waste reduction
  programs to reduce our solid waste generation
  e.g. recycling of cans, bottles, paper etc. as a
  result, our recycling rates have increased by 66
  over 2006 levels.
• Canon has won 5 Waste Wise Awards for our waste
  reduction efforts, including cartridge return
  program collection of over 100,000 tons of
  material, refurbished over 230,000 various types
  of imaging products for internal use, just to
  name a few.

28
SmartWay Transport

• Voluntary partnership with Companies and
  Organizations to improve the environmental
  performance of their freight operations e.g. full
  loads, no deadheading, no idle, optimized trip
  routes etc.
• Canon USA is a Charter Partner in the Program
• 99 of all Canon USA shipments use SmartWays
  Carriers

29
Clean Earth Campaign

• Cartridge Return Program established in 1990
• Canon was first in the Industry to provide
  cartridge return for spent laser printer toner
  cartridges
• 150,000 tons of toner cartridges have been
  diverted from landfills since program began.

30
Our Environmental Programs

• Our contribution to the environmental education
• NATURE Series with PBS
• Eyes on Yellowstone
• Canon Envirothon

31
Clean Earth Crew

• Canon U.S.A employees at our facilities across
  the country volunteer their time for conservation
  activities involving parks, beaches and nature
  preserves. Since 1996, Canon employees have
  volunteered thousands of hours to maintain these
  public areas.

32
Eyes on Yellowstone

• Canon provides funding for the Yellowstone Park
  Foundation, that supports scientific research and
  innovative programs to help preserve the worlds
  first national park for future generations
• Allows application of cutting-edge science and
  technology essential to managing park wildlife
  and ecosystems. E.g. The Yellowstone Wolf
  Project uses Canon cameras, in aerial
  radio-tracking flights as a method to enhance
  data collection.
• Canon also sponsors the new Canyon Visitor
  Education Center and related websites, Windows
  Into Wonderland and Greater Yellowstone Science
  Learning Center, used by educators and students,
  it provides information and interpretation of
  decades of data to show visitors how
  Yellowstones unique land forms affect the
  animals that inhabit them.

33
Envirothon

• Year long program, draws 500,000 High School
  students nationwide
• The Programs goal is to raise awareness and
  commitment for the environment
• Combines classroom study and field experience in
  soil/land use, aquatic ecology, wildlife,
  forestry.
• Envirothon is culmination of North Americas
  largest high school environmental education
  competition
• Five member teams compete in local, regional and
  state/provincial competitions.
• 10 top teams awarded Canon scholarships used
  towards 2 and 4 year university or trade school
  tuition.

34
NATURE Series with PBS

• Canon has provided corporate funding since 1990
• Produced for PBS by Channel 13/WNET NY
• Nature has won over 400 awards including Peabody
  and Emmys
• The Series brings the wonders of nature into
  millions of households and schools across the
  world.

35
National Environmental Education Foundation
(NEEF)

• Chartered by Congress in 1990
• NEEF non profit, dedicated to advancing
  environmental awareness education.
• Canon is National Sponsor of the National
  Environmental Education Week. Canon provides
  funding and equipment (prizes)
• 2007 EE Week which leads up to Earth Day, reached
  over 3.5 million students

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Canon imageRUNNER Solutions
Part III Environment-friendly Features and
Recommendations for Cutting Costs
37
Resource Conservation Features to reduce paper
and toner consumption

• 2-sided Copying/Printing
• Allows you to copy or print both sides of a sheet
• You can set 2-sided Copying/Printing by default
  via device additional function or printer driver
• Image Combination (N-up)
• Automatically reduce up to eight originals to fit
  onto one side or both sides of a selected paper
  size.
• Eliminate Banner Page Printing
• Instantly save paper and toner costs by disabling
  this feature.

• Default to B/W printing
• Reduce unnecessary printing of color pages by
  setting B/W as default.

• Fast Facts
• According to Gartner, organizations can reduce
  annual paper costs by at least 30 by selecting
  duplex printing as the default setting across the
  output fleet.
• According to Gartner, a 1,000-person organization
  could eliminate up to 1.6 million pages and save
  33,500 per year by eliminating banner page
  printing.

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Resource Conservation Features to reduce paper
and toner consumption

• Toner Saving Mode
• Reduces toner saturation on prints and copies.
• Print Preview
• Ensures pages are printed corrected and
  eliminates reprinting of pages
• Mailbox / PIN Printing
• Stores print jobs in memory until user retrieves
  documents via a PIN number. Keeps documents
  secure and eliminates reprinting pages that are
  unintentionally taken away by others.
• Merge Jobs Mode
• Combine and from different applications and
  sources for output as one compound document.

• Fast Facts
• According to Gartner, reducing the density of
  toner by 10 - 20 can reduce per-page costs by
  5 - 10, or 6 to 10 per user, per month.

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Resource Conservation Features to reduce paper
and toner consumption

• User Authentication/Access Management
• Settings which allow Administrators to control
  device access and usage by Department or
  individual user. Set page limits, enforce 2-sided
  printing, restrict/allow color printing, etc.
• Some examples include
• Department ID Management
• Access Management System
• imageWARE Accounting Manager

40
Resource Conservation Features to reduce paper
and toner consumption

• Document Distribution features
• No need to exchange hard copy documents scan
  paper documents and send them to one or multiple
  recipients via fax, e-mail, or I-fax,
• The ability to send documents to FTP, SMB,
  NetWare, and WebDAV file.
• Fax Forwarding
• Automatically route incoming fax documents to
  other destinations such as file folder, email
  address, etc., without printing them.
• PC Fax
• Send faxes directly from your computer using a
  Fax Driver without printing a document and
  scanning it at the MFP.

41
Energy Efficiency Technology to use energy more
efficiently

• imageCHIP System Architecture
• Designed to make maximum use of power when it is
  needed.
• Reduces power consumption in Sleep Mode to 1W on
  BW iR devices and 3W in Color iR devices.

• Rapid Fusing Technology
• On-demand fixing technology which utilized a
  special fixing film and ceramic heater that can
  heat up instantaneously

• Induction Heating (IH) Technology
• IH fusing quickly ensure fast heat conduction,
  drastically reduce warm-up times and cut energy
  consumption by 70

RAPID Fusing System

• Quick Fixing (QF) Toner
• QF toner has enhanced melting characteristics to
  fuse quickly at a low temperature which helps to
  lowers power consumption

Induction Heating System
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Energy Efficiency Technology to use energy more
efficiently

• Low Power Mode Time
• The Low-Power mode conserves energy by turning
  OFF the fixing unit and the touch panel display,
  when the machine is idle for a certain period of
  time.
• You can set the Low Power Mode Time to 10, 15
  (default), 20, 30, 40, 50 min., 1 hour, 90 min.,
  2, 3, 4 hours.
• Auto Sleep Time
• If the machine is idle for a certain period of
  time, the control panel power switch
  automatically switches OFF to save power.
• You can set the Auto Sleep Time to 10, 15, 20,
  30, 40, 50 min.,1 hour (default), 90 min. 2, 3, 4
  hours.
• Energy Saver Mode
• The temperature of the fixing unit is lowered by
  pressing Energy Saver Key on the control panel,
  which enables you to conserve electricity.
• You can set the energy saving level to -10
  (default), -25, -50, or None.

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Other Recommendations

• Right size your fleet
• Four single function devices have a significantly
  greater electrical footprint than a single a
  multifunction device.
• A high end-user to device ratio is representative
  of an efficient device plan based upon shared
  resources.
• Implement a print management program
• Utilize a device monitoring and tracking system.
• According to Gartner, actively managing a print
  fleet can lead to a reduction of 10 - 30 in
  recurring spending on document output.
• Consider leasing versus purchasing equipment
• Ensures the latest technology is being used and
  equipment is in optimum running condition.
• Equipment collected at end of lease can be used
  in recycling/refurbishing programs.

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Thank You