Reducing Company-wide Carbon Footprint
In 2003, Xerox made a public commitment to reduce greenhouse gas emissions – our carbon footprint – by joining the U.S. E.P.A. Climate Leaders program. We adopted a goal of reducing by 10% our absolute greenhouse gas emissions, across all company operations, by 2012 from a 2002 baseline. By focusing efforts on energy efficiency, new technologies and business productivity, Xerox met this target six years early – in 2006. We have reduced emissions by 18%, or 87,000 tons of carbon dioxide equivalent. This was achieved by reducing energy consumption in our facilities, manufacturing operations and across our service and sales vehicle fleet. In 2006, energy consumption decreased 13% compared to 2005 and by 21% compared to 2002. With energy and fuel costs rising, additional benefits have included avoiding certain energy-related costs.

Recognizing our obligation to do even more, Xerox will set a new and challenging goal to reduce our carbon footprint. Our intention is to announce this new goal by the end of 2007.

Greenhouse Gas Inventory
In keeping with the international guidelines of the Greenhouse Gas Protocol developed by the World Resources Institute and the World Business Council for Sustainable Development, Xerox expresses its carbon footprint in terms of carbon dioxide equivalents (CO2e). In fact, carbon dioxide accounts for more than 99% of its greenhouse gas emissions.

Xerox’s greenhouse gas inventory includes direct emissions from the combustion of fossil fuels, primarily natural gas, and indirect emissions from purchased electricity and steam at our manufacturing sites, offices and warehouses. The inventory also includes the combustion of gasoline and diesel fuels in our service and sales vehicle fleet. Xerox’s inventory does not yet include optional sources such as employee business travel, contract manufacturing or outsourced product distribution.

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