Sustainability at Texas Instruments

1. Sustainability atTexas Instruments Shaunna Black Vice President Texas Instruments

2. History of Innovation Innovation in the use of signal processing has been the technology thread throughout TI’s 75-plus-year history. Develops single-chip cell phone 1990s Demonstrates digital projection display system 1980s Introduces single-chip digital signal processor 1970s Introduces Speak and Spell 1960s Invents first handheld calculator 1950s Demonstrates first integrated circuit 1940s Builds magnetic anomaly detection equipment Revolutionizes oil exploration with reflection seismography And beyond ...

3. TI Businesses 2006 TI Revenue* by Segment: $14.3 billion Education Technology$.5 billion Semiconductor $13.7 billion * Continuing operations; excludes the divested Sensors & Controls business

4. Practices Leading up to LEED TI ESH STRETCH GOALS 100% Productivity • Target: Zero Illnesses, Zero Injuries • Occupational illnesses, injuries • Non-occupational (preventable) illnesses, • injuries Sustainable Operations • Target: Zero Wasted Resources - 100% Efficiency • Reuse, regenerate, recycle • No contamination of land, air, or water • Best available energy efficiency

5. Practices Leading up to LEED U.S. SEMICONDUCTOR MANUFACTURING Rate of Lost/Restricted Day Cases TI Rocks! TI Benchmark Performance SIA AVG SIA AVG TI Note: SIA (Semiconductor Industry Association) data updated annually

6. Practices Leading Up to LEED Energy Conservation • 1973: Corporate Energy Management group formed • Late 1980s: Installed 2.7 million gallons of thermal storage capacity, then added 5 million gallons in the early 1990s • 1995-2006: Energy-efficient projects reduced consumption by 1 billion kWh

7. Practices Leading Up to LEED Resource Conservation • Recycling: TI has decades of experience in recycling. We currently recycle almost 90 percent of our non-industrial waste worldwide • Water Reuse: Extensive water reuse and reclamation practices are in place – about 1.5 billion gallons annually • Product Stewardship: TI produced its first lead-free semiconductor component in 1989. More than 30 billion lead-free TI components are in products worldwide • Green Building Features: Installed “cool” white roofs • Employee Trip Reduction: This program keeps hundreds of cars off the road everyday

8. What is Sustainability? At TI, sustainability means operating in a manner that balances people, profit, product, and the planet. • Sustainable processes deliver services without exhausting resources • Sustainable manufacturing facilities work with nature and use resources efficiently to achieve better results at a lower cost and with less impact on the planet

9. The Triple Bottom Line Environment Environmental Sustainability Ecosystem Integrity Carrying Capacity Biodiversity Social Sustainability Cultural Identity Empowerment Accessibility Stability Equity Economy Society Economic Sustainability Growth Development Productivity Human Well-Being A sustainable system delivers services without exhausting resources. It uses all resources efficiently both in an environmental and economic sense.

10. TI’s Path to Sustainability TI has a legacy of environmental stewardship; incorporating principles of efficiency and resource conservation in operations worldwide. • TI has used these principles since 1995 to design and construct TI facilities and factories with increasing number of “green” features over time • The Richardson, Texas 300 mm fabrication site (RFAB) completed in 2006, will be the world’s first LEED-certified semiconductor manufacturing facility and the largest certified building in North Texas • We are applying the same practices to the design and construction of our TI-Baguio and TI-Clark Philippines sites • We are also doing a pilot for LEED-EB (existing buildings) to incorporate energy- and resource-saving features

11. What is LEED? Leadership in Energy and Environmental Design The LEED Green Building Rating System is a voluntary, consensus-based U.S. standard for developing high-performance, sustainable buildings. • Increasingly used internationally • Can be applied to new construction (LEED-NC) and existing buildings (LEED-EB)

12. LEED Categories Five broad categories encourage a holistic approach to building design: • Sustainable Sites • Water Efficiency • Energy and Atmosphere • Materials and Resources • Indoor Environmental Quality • TI uses LEED as an idea generator and framework for design • The LEED point system challenges all participants, from designers to contractors, to be engaged in all aspects of building more sustainable facilities

13. LEED Point System LEED-NC awards a maximum of 69 points: In addition, there are seven prerequisites.

14. TI’s First LEED Project: RFAB Identify Needs • New manufacturing facility • Initial focus: technology, simple reliability, cost and schedule • Fifth team added: sustainability Visualize the Possibilities • Three key company leaders toured a sustainable home (Westbrook House – www.enerjazz.com/house) • Low utility bills ignited interest • Can this be scaled up? Think Outside the Box • Hosted three-day design charrette with Rocky Mountain Institute • Narrowed brainstorming ideas to top 15 • Made a first pass at a LEED score sheet

15. What is a Fab? A very big, clean facility … • Total space: 1.1 million square feet • Cleanroom space: 220,000 square feet

16. What is a Fab? 39 nm 86 nm … a manufacturing plant that fabricates very small chips on large silicon wafers. Hair = 80,000 nmdiameter 2 mm Atom = 0.1 nmdiameter 2 mm 300 mm diameter 1,500-5,000 chips each 30,000 wafers/month 1 billion chips/year Gate = 39 nmdiameter DNA = 2 nmdiameter

17. RFAB: TI’s Journey to Sustainability

18. RFAB Building: Cost Reduction Challenge: Reduce fab costs per square foot by 30 percent from the previous fab • Forced space efficiency (two levels vs. three levels) • Couldn’t copy previous design – had to innovate Out-of-the-Box Thinking: A LEED building does not have to cost more. Our goal was to achieve Gold LEED certification for the RFAB office building and Silver certification for the fab itself.

19. RFAB Project Features • 92-acre site • 1.1 million square feet • 220,000 square feet of cleanroom space • Capacity for almost 1,000 employees • Main components: • Fab building • Support building • Central utility plant (CUP) building • Administration building

20. Site Layout RFAB CUP Fab Support Admin

21. How Can a Fab Go Green? Start by following LEED principles as a guideline … Five broad categories encourage a holistic approach to building design: • Sustainable Sites • Water Efficiency • Energy and Atmosphere • Materials and Resources • Indoor Environmental Quality • The LEED point system challenges all participants, from designers to contractors, to be engaged in all aspects of building more sustainable facilities. Project certified under LEED-NC version 2.1

22. LEED Category: Sustainable Sites We have applied for (and are likely to get) these credits (or points) for RFAB: • Erosion and Sedimentation Control • Alternative Transportation, Public Transportation Access • Offered free shuttle to rail station 1 mile away and free annual public transportation pass for all TI employees • Alternative Transportation, Bicycle Storage and Changing • Provided covered bicycle parking and showers/lockers Used compost filled tubes instead of typical silt fence Compost tubes

23. LEED Category: Sustainable Sites • Alternative Transportation, Parking Capacity • Offered preferred parking spaces for hybrid cars, vanpools and carpools • Reduced Site Disturbance, Protect/Restore Open Space • Site was a originally a wheat field; restored large sections with native grasses and wildflowers • Reduced Site Disturbance, Development Footprint

24. LEED Category: Sustainable Sites • Stormwater Management, Rate and Quantity • Stormwater Management, Treatment The pond collects runoff from most of the 92 acres and can retain nearly 5 million gallons of water. Pond water is used for all site irrigation. A windmill drives an air compressor to aerate the pond.

25. LEED Category: Sustainable Sites • Landscape/Exterior Design to Reduce Heat Islands, Site • Used reflective concrete and shade trees • Landscape/Exterior Design to Reduce Heat Islands, Roof B A Reflective Roof Pond Reflective Concrete Typical Concrete C D

26. LEED Category: Sustainable Sites • Light Pollution Reduction • Reduced lighting energy by focusing illumination only where needed • Reduced light pollution to the sky and to adjacent neighborhoods Full cutoff down light Down light for flag Bollards – solar-powered L.E.D. lights

27. LEED Category: Water Efficiency • Water-Efficient Landscaping – Reduce Irrigation by 50 Percent • Water-Efficient Landscaping, No Potable Use or Irrigation • The pond is our irrigation source • Innovative Wastewater Technologies • Water-Use Reduction – Reduce by 20 Percent • Water Use Reduction – Reduce by Additional 10 Percent • Reduced office use by 39 percent, fab by 41 percent Water turbine-powered sensor faucet Waterless urinal

28. LEED Category: Energy and Atmosphere • Fundamental Systems Commissioning • Minimum Energy Performance • Chlorofluorocarbon Reduction in Heating, Ventilation, Air Conditioning and Refrigeration Equipment • Optimization of Energy Performance LEED awards an additional point for every 5 percent improvement in this category, up to a maximum of 10 points. TI ENERGY SAVINGS APPROACH • Tools and support equipment efficiency • Shell efficiency • Facilities systems integration and efficiency

29. Typical Texas Office Building Energy Use Cooling load

30. Typical Texas Fab Energy Use Process Tools 41% Facilities Systems 59% Process Use Electric Power Use Facilities Breakout Cooling Load Use

31. Energy Savings – Equipment Efficiency Vacuum Pumps • Met with suppliers to develop pump efficiency • Worked with industry consortium and vendors to determine an idle signal protocol Exhaust • Returned some general exhaust (heat) to space • Identified top tool internal constraints Process Cooling (PC) Water • Reduced pressure drop and increased delta T (effectiveness) on tool and support equipment heat exchangers

32. Energy Savings – Shell Efficiency • Passive solar orientation with exterior shading • Optimized glazing • Reflective roof • Natural daylighting with light shelves • High-efficiency lighting (motion and daylight sensors) • Demand-controlled ventilation • Attention to detail on insulation and infiltration

33. Energy Savings – Facilities Efficiency Central Utilities Plant – Chiller Plant • Split plant to match needs to capacity: • 40° F for dehumidification • 54° F for all other loads • Heat recovery on 54° F plant: • More constant load year-round • Minimal energy penalty for free hot water • Reduced boilers from six to two • Utilize variable primary distribution – only one set of pumps that vary their speed with the demand • Redundancy is 1 x 40° F chiller for both 40° F and 54° F (blending for 54° F)

34. Energy Savings – Facilities Efficiency Make-Up Air • Runaround coils for free reheat • Lowered face velocity to reduce fan horsepower • Used high-pressure spray humidification instead of steam • Planned for the space to add enthalpy recovery wheels to recapture exhaust energy Recirculating Air • 25 percent cleanroom filter coverage • Reduced filter pressure drop and minimized velocity

35. Energy Savings – Pumps, Fans and More • Big duct, small fan and big pipe, small pump idea minimizes energy loss caused by friction • Installed variable frequency drives on fans for more efficient control • Installed premium efficiency motors Could Have Done Even Better • Underfloor air distribution/displacement ventilation • More daylighting/skylights, especially in the core • Piping distribution friction minimization – progress made • Enthalpy wheel-based make-up air units, which would have eliminated the 40-degree chilled water system

36. LEED Category: Energy and Atmosphere • Additional Commissioning • Elimination of HCFCs and Halons • Measurement and Verification “If you don’t measure it – you can’t manage it” Solar panels are used to heat water for the office building.

37. LEED Category: Materials and Resources • Construction Waste Management: Diverted 50 Percent • Construction Waste Management: Diverted 75 Percent • Recycled almost 90 percent of construction waste • Recycled Content: • Sum of post-consumer recycled content plus half of post-industrial content equals 10 percent of total material value (office = 35 percent, fab = 57 percent) • Local/Regional Materials: • Up to 20 percent manufactured locally (office = 76 percent, fab = 73 percent) • Local/Regional Materials: • More than 20 percent harvested locally (office = 71 percent, fab = 30 percent) • Certified Wood: • Admin = 79 percent, fab = 100 percent

38. LEED Category: Materials and Resources

39. LEED Category: Materials and Resources

40. LEED Category: IEQ Indoor Environmental Quality • Minimum Indoor Environmental Air Quality (IAQ) Performance • Environmental Tobacco Smoke Control • Carbon Dioxide Monitoring • Construction IAQ Management Plan • IAQ Management Plan, Before Occupancy • Low-Emitting Materials, Adhesives & Sealants • Low-Emitting Materials, Paints • Low-Emitting Materials, Carpet • Low-Emitting Materials, Composite Wood

41. LEED Category: IEQ • Indoor Chemical and Pollutant Source Control • Thermal Comfort, Comply with ASHRAE 55-1992 (Thermal Environmental Conditions for Human Occupancy) • Thermal Comfort, Permanent Temperature & Humidity Monitoring • Daylight and Views, Views for 90 Percent of Spaces

42. Innovation LEED incentives • Four additional points awarded for innovation and/or areas in which achievement is well above and beyond the standard credit point • One additional point if a LEED-accredited professional works on the project LEED provided a mechanism to get people to focus on making good choices for the long-term good of the building and occupants.

43. Cost/Benefit • We invested less than 1 percent of the project cost (less than $1.5 million) in LEED-related items: • Predominately efficiency improvements that we would have considered regardless of LEED • Overall project cost was 30 percent less than our previous 300 mm fab • In the first full year, we should save $1 million in operating costs • At full build out, we will save more than $4 million per year: • 20 percent energy reduction • 35 percent water-use reduction • 50 percent emissions reduction • www.ti.com/rfab

44. Continuing Efforts at TI All new major projects at TI will be LEED registered: • New building at our site in the Philippines (the first LEED-registered project in that country) • New assembly and test facility in the Philippines • We are piloting LEED-EB for all of our existing fabs and buildings • We are allocating dedicated capital for utility savings projects • We are assembling our first sustainability report to align efforts and improve transparency in operations

45. What is an A/T? A/T stands for Assembly and Test. The facility features a series of clean rooms where we complete our device manufacturing, test the chips, cut them from the wafer, package them, and perform final testing. Chips are manufactured on large silicon wafers Chips are tested, then cut from the wafer Chips are packaged, tested again, and shipped to customers 2 mm 300 mm diameter 1500-5000 chips ea 2 mm Gate = 39 nm dia

46. TI-ClarkA/T Project Features • 79 acre site (32 hectacres) • 830,000 gross square feet (77,000 m2) • 430,000 square feet of manufacturing space (40,000 m2) • Population of approximately 3,000 Employees • Main components: • Bump • Probe • Assembly • Test • Mechanical building • Administration building

47. TI-Clark Site Layout

48. What is Sustainability? BACKUP

49. Equipment OEMs What Equipment OEMs can do to accelerate sustainability: • Adhere to SEMI S23 Utilities – measure the tool utility consumption while processing and at-rest • Direct tool energy use: • Measure and report on the efficiency of the tool so we can make good purchase decisions • Minimize internal pressure drop of all systems • Minimize exhaust volume • Radiant heat shielding • For internal power supplies specify efficient units.  Even internal lighting should be high efficiency and operable

50. Equipment OEMs What Equipment OEMs can do to accelerate sustainability for attached equipment: • Vacuum pump suppliers have been making good strides with pump efficiency. Qualify the efficient pumps on your tools and make sure that tools will communicate with pumps for idle signal standby (using a standard communication protocol) • Remote chillers are extremely inefficient. Facilities cooling water is usually approx. 13 deg C – can tools use that directly?  If not, incorporate the most efficient chiller.  The ISMI Energy Group is working to define “efficient” • RF Generators. Newer units will drop power down while on standby • Mini Environments. Use the lowest pressure drop HEPA / ULPA filters and the highest efficiency fan. We put efficiency in our spec and have FFU’s in the fab that will produce 8000cfm/kW. Many Mini-environment systems are much less efficient than that