Xerox requires its various operations and subsidiary organizations to report allegations of regulatory violations to Xerox’s corporate Environmental, Health and Safety group for tracking, evaluation and corrective action, where appropriate. Based upon this reporting system, Xerox identified one instance where it was subject to a compliance penalty in 2008 for an alleged violation.

Specifically, Xerox Chile was cited by Secretaria Regional Ministerial de Salud de la Región Metropolitana in 2007 for alleged violations of certain rules related to hazardous waste handling and disposal. In 2008, Xerox Chile paid approximately $9,000 (U.S.) in penalties to resolve this action and further revised its approach to handling material identified as hazardous waste by the citing agency. Coupled with regular reviews of proper operating procedures and routine auditing of various operations, these actions enable Xerox to minimize the possibility of future compliance issues.