by Dr. Martha Tilaar Founder & Chairwoman of Martha Tilaar Group

1. GREEN AND SOCIAL RESPONSIBILITIES OF MARTHA TILAAR GROUP by Dr. Martha Tilaar Founder & Chairwoman of Martha Tilaar Group Presented at Seminar on Good Corporate & Social Governance in Promoting ASEAN’s Regional Integration. ASEAN Secretariat, Jakarta, 17 January 2007.

2. CONTENT INTRODUCTION CORE VALUE MARTHA TILAAR GROUP CONTRIBUTION MARTHA TILAAR FOUNDATION OUTCOME MARTHA TILAAR GROUP SUMMARY

3. INTRODUCTION The sign of global warning, from shrinking glaciers to devastating hurricanes and acidic seas. Experts say these changes are caused by the way we live and the excess carbon dioxide and other hydrocarbon gases that are the byproduct of burning fossil fuels as the primary culprits. Some say that CO2 levels are nine times what the atmosphere can absorb. In Indonesia, tsunami, floods, landslide, soil erosion and earthquake have hit us over the last few years. Smoke from land clearing by burning habit in several area, especially in Sumatra and Kalimantan has raised several complaints from our neighbor countries.

4. BEAUTIFUL COUNTRY As the biggest archipelago in the world, we have more than 17.000 islands and 400 mountains. As tropical forests, we have around 14–29 types of natural ecosystem, more than 5 mio species, including 30.000 species of medicinal plants. But just because of miss management and bad habit of irresponsible people, has ruin our country.

5. CORE VALUE OF MARTHA TILAAR GROUP

6. C.S.R. Corporate social responsibility has been a matter of debate since the 1960’s, whether social and environmental concerns should be part of a company’s mission. And in the last few years, CSR has become a top of mind issue for several global companies. As natural cosmetic producer since beginning we have already integrated the socially and environmentally responsible manner in our business activities and blend Indonesian medicinal plants, the Eastern beauty, our rich culture and environment in our mission.

7. Based on “Rupasampat Wahyabiantara” and the cycle of life, we transform and blend the Eastern indigenous culture and Indonesian nature to be the soul of our brands and win the heart of our consumers around the globe.

8. SARI AYU TREND COLOR

9. GREEN MISSION Mission to preserve our environment has become part of our main concern, which implemented through : • Achieving international certificates of ISO 9001 & ISO 14001 as the first cosmetic and herbal company in ASEAN. • As the first cosmetic and herbal company in ASEAN who got the certificate of Good Manufacturing Practices, and also implement green production principle. • Always involve and strengthen win-win collaboration with our global and local suppliers, especially in natural ingredients to achieve sustainable business. • Promote and raise the community’s concern on green environment conservation.

10. THE GLOBAL COMPACT As founder member of United Nations Global Compact which initiated and launched by Secretary General of the United Nations Mr. Kofi Annan on 26 July 2000, which asks companies to embrace, support and enact within their sphere of influence, a set of core values in the area of human rights, labor standards, the environment, and anti-corruption. Then with the collaboration with IMA, Indonesian Global Compact has been launched at 8th April 2006 which consist of 21 companies

11. ASEAN PARTICIPATION • Since 1998, we have participated on the preparation of harmonization of ASEAN cosmetic regulation which will be implemented on 1 January 2008, as : • ASEAN cosmetic GMP expert, • ASEAN cosmetic scientific body, • ASEAN post marketing surveillance expert • As member of Indonesian delegates, we also involved to set-up the ASEAN cosmetic directives and guidelines, while as an expert has lead trainings in France and ASEAN countries for industries and health authorities.

12. CONTRIBUTION MARTHA TILAAR FOUNDATION

13. MAIN OBJECTIVES MARTHA TILAAR FOUNDATION Martha Tilaar Foundation is a non profit organization which established and formed by Dr. Martha Tilaar and her family to provide : • environmental and cultural stewardship • poverty alleviation of rural communities • women empowerment and wellness

14. GROWING FOR GREEN Environmental & cultural stewardship program • Martha Tilaar Foundation supports and strengthen environmental education program to engage multi stakeholders (the government, non government organizations, business people, and communities) in caring for their natural environment • Education programs such as : • organic farming • environment awareness program • book publications of environment preservation actions • Culture conservation using green materials, such as education in batik painting with natural dies. • Promote and develop green handicrafts/food/herbal

15. ORGANIC FARMING With cooperation of the Agriculture Minister we have conducted organic farming training course for Indonesian farmers since year 2000. This training includes seedling preparation and preservation, good organic agriculture practices of MAC plants, and good post harvest practices to extend the self-life of herbal materials.

16. Visit of Non Timber Forest Products Organization from India, Vietnam, Philippines, Malaysia, and Indonesia at Kampoeng Djamoe Martha Tilaar to exchange knowledge and lead by European experts

17. KAMPOENG DJAMOE ORGANIK MARTHA TILAAR This garden is located in Cikarang industrial estate, which presented and developed by DR. Martha Tilaar as her total dedication to preserve Indonesian biodiversity, especially in medicinal, aromatic and cosmetic plants, and also as center for environmental education and agro tourism. Now we have : • more than 500 species of MAC plants • collection of several seed • more than 100 organic cultivation methods • training center for organic farming

18. JAMU GLOBAL TOUR • With the collaboration of Marta Tilaar Foundation and World Think Tank, Leiden University, MAICH Athens, Padjadjaran University and National University of Singapore. jamu exhibition has been held successfully in • Bandung, Indonesia • Crete, Greece • Leiden, Holland • Singapore

19. CARING FOR COMMUNITIES • The main objective is to reduce the poverty of Indonesian communities, especially who lives in rural area • Poverty alleviation program for : • generation of self employment • strengthen and increase farmer cooperation to achieve sustainable income, such as organic herbal, organic food (fruits and vegetables), etc. • scholarship program • Capacity building can be done by : • special short courses of hair cut, facial, hairdo, and simple jamu formula • crafting course from waste material, such as making recycle papers • promotion the role and benefits of medicinal, aromatic and cosmetic plants for global communities

20. DR MARTHA TILAAR FOSTER PARENT OF “BAKUL JAMU GENDONG” Since 1991 Dr. Martha Tilaar has become the foster parent of “bakul jamu gendong” to increase their skill, knowledge and entrepreneurship. Every year we always conduct the jamu gendong competition.

21. SCHOLARSHIP FOR SMART CHILDREN Since 1995, we also give the scholarship for the smart children of our employees to improve their future, starting from elementary school until university degrees. By having smart children, we can reduce the financial effort of our employees and have happier employees too.

22. FARMER PARTNERSHIP Partnership program is done directly by company with farmers or indirectly by involving government or NGO’s as a facilitator. Main objectives : • Sustaining plant materials as a raw material for industry • Ensuring plant materials with standard quality • Income generating among farmers

23. WOMEN & WELLNESS • Focus on women empowerment and increase the family wellness programs, especially to : • gain income generation, especially in rural area • increase knowledge and skill in self health care • enhance the role of women for better quality of life • self health care program

24. WOMEN EMPOWERMENT Several trainings have been conducted to improve the skill of women, especially when Indonesia has an economic crisis in year 1997-1998

25. MARTHA TILAAR HANDICRAFT CENTER It has been provided to improve the sustainability economic resources of villages communities

26. THE OUTCOME OF MARTHA TILAAR GROUP

28. SPA ASIA CRYSTAL AWARDS The Martha Tilaar Eastern Rejuvenating Spa has got this awards in year 2005 for the best innovation that merge the main the indigenous Eastern cultures of Indonesian jamu, Chinese medicine and Indian Ayurvedic into unique spa treatment with innovative lifecycle products creation, and now already globalize in several European and Asia countries.

29. COELOGYNE MARHAE The orchid has named after Dr. Martha Tilaar to thank her for the realisation of the Martha Tilaar Chair at the Universiteit Leiden in year 2000, which main activity in the development of Ethnobotanical Knowledge System with special attention on Medicinal Plants in developing countries, to give more contribution to the progress of indigenous knowledge and play a role in increasing the prosperity of human being.

30. SOCIAL AWARDS For celebration Indonesian Hero day, last 10th November 2006, Puri Agung Singaraja Bali has awarded special appreciation to Dr. Martha Tilaar for her dedication in social activities, culture preservation, and women education. Social solidarity award 2006 also has been given to Dr. Martha Tillar by Social Minister and witnessed by Indonesian president Dr. Susilo Bambang Yudoyono in Solo, 20th December 2006, for her lavish social programs especially for invalid blind children dan Indonesian woman’s interest and education. She also write and publish several books to share her 33 years of experience and knowledge. The latest is ‘Leadership Quotient Perempuan Pemimpin Indonesia’.

31. SUMMARY As natural cosmetic producer, since beginning we have already integrated the socially and environmentally responsible manner in our business activities and blend Indonesian medicinal plants, the eastern beauty, our rich culture and preserve environment in our mission. Through Martha Tilaar Foundation, we implement and promote 3 main pillars, environmental and cultural stewardship, caring community, women empowerment and wellness.

32. THANK YOU www.marthatilaar.com