Public Policy

On issues for which Xerox's experience and knowledge add an important perspective to public debate, the company provides direct input and advice to policymakers, both directly and indirectly through various coalitions and trade associations. Xerox, through the Office of External Affairs primarily, has interactions with governments and government organizations throughout the U.S.
(at both state and federal levels), and around the world. We discuss issues that range from legal, trade, tax policy and financial activities to regulatory compliance, intellectual property and procurement.

Trade associations can play a role in Xerox's public policy advocacy efforts. However, we do not evaluate trade association memberships based solely on public policy purposes. Trade associations around the world often play an important role in assisting our company with business development opportunities and citizenship activities as well as helping Xerox meet certain public policy objectives. Xerox is a member of a wide array of trade associations. Any contributions that are not deductible for tax purposes are reported in Xerox's lobbying disclosure reports. Xerox senior managers do play a leadership role in various organizations, such as the Business Roundtable, the U.S. Chamber of Commerce, the U.S. Climate Action Partnership and the National Association of Manufacturers. These organizations develop and promote public policies that are considered important to Xerox's public policy interests and operations.

Here are examples of public policy issues that Xerox follows closely:

Environment
We believe that industry needs to do its part to address growing concern over increased concentrations of greenhouse gas emissions in the atmosphere. Xerox was the first high-technology company to join the United States Climate Action Partnership (USCAP), an alliance of business and environmental leaders working together to protect the climate and spur legislation and regulation aimed at reducing greenhouse gas emissions.

Xerox is a member of the U.S. Environmental Protection Agency’s Climate Leaders Program and the Business Roundtable’s Climate RESOLVE program. Both are voluntary initiatives to help companies develop long-term strategies for climate change. We also helped create and design the ENERGY STAR® program for imaging equipment which is intended to ensure maximum energy efficiency in imaging products.
Health and Retirement Policy
We believe policymakers should foster a legal and economic framework that encourages employers to maintain and increase the number of workers who have access to employer-provided retirement security and healthcare. Policymakers must also work with employers and healthcare providers to control the escalating costs of healthcare.
Free Trade
We support open markets and free trade. International trade is a powerful engine of global economic growth, and economic growth fosters improved living conditions and opportunities around the world. We support government-to-government negotiations aimed at liberalizing trading rules and opening markets, both on a bilateral and multinational basis. We believe that rules based only on fair trade are those that are sustainable, and that all participants must be responsible citizens of the countries in which they do business.
Intellectual Property and Competitiveness
As a participant in the Coalition Against Counterfeiting and Piracy, Xerox plays an active role in combating theft of intellectual property by counterfeiters who manufacture “knock-off” products. While much of the harm done by such products can be quantified in economic terms, such as lost sales and jobs, they also pose a serious risk to human health and safety. Examples include counterfeit auto parts that fail to operate properly or counterfeit drugs that can cause death among the sick. The coalition is a strong advocate of stronger laws against dealing in counterfeit goods and has developed best-practice guidelines that help companies protect their supply chains from counterfeit items.

Through our support of the American Competitive Initiative, which directs more resources to math and science education, we are focused on improving the nation’s ability to compete on the global stage.

We also support necessary reforms to the U.S. patent system that serve to reduce the threats to innovation that come from frivolous litigation.

Xerox Public Policy Engagement and Political Contributions Policy

Xerox and its employees have a long-standing tradition of active engagement in the communities in which we live and work.  Our participation in the political process and public policy debate reflects our traditions and core values.  We consider it an important, necessary and appropriate part of doing business and continuing our tradition of corporate citizenship.

At the same time, Xerox believes our political involvement should set a clear standard of how both our company and our employees should responsibly engage in the political process.  For nearly a decade Xerox has had a longstanding policy that nothing of value may be given, paid, promised or offered -  directly or indirectly -  to any political party, committee, and/or candidate for any federal, state or local government office any where around the world.  Therefore, “soft” money contributions are not and have not been allowed at Xerox, even long before recent lobbying disclosure laws.  In addition, Xerox does not allow any employee or consultant to provide anything of value to any government employee.  This policy too was in place long before Congress put the standard into law for all corporations and organizations.  There are no exceptions to this policy, even for gifts of a modest value.

Beginning in June 2008, Xerox will disclose any contributions to 527, tax exempt organizations which raise money for political activities including issue advocacy, and contributions used for political purposes to 501c(4) organizations.  From our trade associations that receive from us
dues or payments of $25,000 or more, Xerox has requested they disclose to us details about
their political expenses.  We are also asking these same organizations to report to us the portion
of Xerox dues or payments used for such expenses or contributions that, if they had been made directly by Xerox, would not be deductible under 162(e)(1)(B) of the Internal Revenue Code. 
We will disclose this information in our online Report on Global Citizenship beginning in the
2008 report.


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