ENVIRONMENTAL REPORT FOR THE YEAR 2010

1. ENVIRONMENTAL REPORT FOR THE YEAR 2010 Prepared by: Harun AKTÜRE- Environmental & Occupational Safety Officer Check: Ayfer ÇIRAK – Chemical Engineer, Quality Management Systems Division Manager

2. 1- EXPANSION OF ISO 14001:2004 ISO 14001 certification is taken for KMF and MFF at first, in 03-04 February 2003 by Coşkunöz Metal Form and according to the revision of the ISO 14001:2004, certification audit carried out again in 20-21-22 May 2009. Our certification scope has been expanded by including SÜG3_Coşkunözon 26-27-28 April 2010

3. 2-COMPLIANCE WITH LAWS Coşkunöz Metal form related to all the national and local legal requirements about environmental aspects, which has been followedto current revisions’. Performing the annual statement and notification obligations.

4. 2-COMPLIANCE WITH LAWS The requirementsof the revised laws and / or new laws are evaluated and shared with the people involved to take actions which arecontroled for implemented andcompliance.

5. 2-COMPLIANCE WITH LAWS SÜG3_COŞKUNÖZ SÜG1_COŞKUNÖZ Built in accordance with regulations of solid waste and hazardous waste sites at SÜG1_Coşkunöz, SÜG3_Coşkunöz ve SÜG5_Coşkunöz SÜG5_COŞKUNÖZ

6. 3-EDUCATION 3.1- GIVING TRAININGS ABOUT ENVIRONMENTAL ISSUES; “Chemical Management”, “Reduce Pollution & Waste Management”, “Use of Compressed Air” educations were given, which were supported by the visual films by the environmental representative. 3.2-SINGLE POINT TRAININGS; “Chemical Management”, “Reduce Pollution & Waste Management”, “Use of Compressed Air” single point trainings were given to operators of manufacturing area by the environmental representative.

7. 3-EDUCATION • 3.3- ORIENTATION TRAINING; • ~2 hours of trainings were given to • New staff members, • Interns, • Apprentices, • Subcontractors • for every new startings.

8. 4- COMMUNICATION Activities of The Environmental Month were performed with the participation of all managers and employees in June-2010 • Lots of brochures, which included importance of the month and activities that performing during the month, were shared with colleagues at the business bords and with announcements. • The speeches were made about “Importance of The Environment“ by General Manager and employee representatives. • Events; • Competition which is suggestions about environment that can be applied and most effectively. • Competition which is slogan about environment. • Educations which are about “Chemical Management” and “Environmental Dimensions”. • Workshop which is about “Waste Management” • Theatrical presentation which is about “Atatürk and Environmental” by İlknur G. KalıpçıAudit which is about compliance with environmental legal requirements.

9. KAIZEN, 5S VE SUGGESTION WORKINGS 5- IMPROVEMENTS • Kaizen, 5S and creative suggestions systems were continued effectively under lean manufacturing works at Coşkunöz Metal Form. • 419 units of creative suggestions about environmental were given in 2010. • 1 unit of kaizens was realized about environmental which is about “Improve environmental management system in chemical management”.

10. 6-ENVIRONMENTAL LOAD REDUCTION Electric Consumption:18.695.108 kwh Emission Water Consumption:15.185 m³ Scrap Metal 26.633 tons/year Natural Gas Consumption:579.735 Sm³ Solid Waste 619 tons/year Raw Metarials (metal) Consumption:83.305 tons/year Hazardous Waste 92,3 Tons/year Waste Water 15.185 m³

11. 6.1- WASTE MANAGMENT ( 2010 )

12. 6.1- WASTE MANAGEMENT ( 2010 )

13. 6.1- WASTE MANAGMENT ( 2010 ) The agreement was made with MESS INTEGRATED RECOVERY AND ENERGY INC. instead of Bursa Cement Company,which is the recycling company that we sent our hazardous waste which are • Contaminated waste, • Bath mud, • Mastic waste.

14. 6.2- MANAGEMENT OF WASTE WATER Coşkunöz Metal Form sends the domestic and industrial waste process water to water treatment plant of Organized Industrial Zone. Waste water pameters are controled and discharge permit connection is renewed once in two years and also every process changing

15. 6.3- EMISSION MEASUREMENTS Emission measurements in accordance with the laws weremeasured on starting upthe new activated process chimneys at SUG2_Coşkunoz and KMF.

16. 6.4- ENVIRONMENTAL NOISE MEASUREMENTS Environmental Noise measurements were performed at all fabrics of Coşkunöz.Inc. according to the Environmental Noise Assessment.

17. BEFORE AFTER 6.5- MANAGEMENT OF HAZARDOUS CHEMICALS All chemicals’ MSDS Formswhich are used for production processes, were revised and provided current forms from their suppliers. And also all Coskunoz Chemical Instruction Forms are revised in this context. This operate is running continuously. For more detailed information on all chemicals used for production processes can be reached from data base which is generated on computer system. Packaging weight reduction with a high amount of packaging has beenconsulated with suppliers of certain chemicals.

18. 6.5- MANAGEMENT OF HAZARDOUS CHEMICALS PAINT STORAGE AND HANDLING TROLLEY For painting activities in the areas of production;The trolleys were made and opened for use, which are lockable and have sealed pan down below and also can be stored paint boxes in.

19. 7- EMERGENCYPREPAREDNESS STUDIES 7.1- Trainings All shifts of employees participated in a state of emergency evacuation, fire fighting, gas leak, chemical spill and first aid trainings are conductedon 17-18-19.12.2010. Neighboring institutions are invited to thetraining. Trainings are performed each year, According to the scenario; First aid, fire fighting, natural gas and electricity groups of the Directorate of the region of industrial zone participated in the training.

20. 7.2- EMERGENCY EQUIPMENTS IMPROVMENTS AT THE WASTE AREAS • Vine-clad ceiling fire extinguishers have been activated for starting up incase of a possible fire. • Exproof type lightings were mounted at hazardous waste areas.

21. 7.3- FIRE EXTINGUISHER IMPROVEMENTS AT THE SUG3_DYEHOUSE For the rapid invention in case of fire may occur at the process chimneys of Dye House_SÜG3 where carbon dioxide fire extinguishers were assembled.

22. 7.3- FIRE EXTINGUISHER IMPROVEMENTS AT THE SUG3_DYEHOUSE The preventions of fire in the chimney above the roof of the building.

23. 8-ENERGY MANAGEMENT • In order to use energy more efficiently, the points (area, machine, process, etc.) of saving energy were identified where theproductivity workings were made at. • Air Diffusers were assembled to boilers of SÜG1 and KMF. • 1 of 3 compressors was disableded which present in SÜG1 and has power of 110 kW. • The exhaust air of spot welding cylinders which was been throwing out, was started to use for welding supply air. • 1 of 2 compressors was disableded which present in SÜG3 and has power of 37 kW. • 90% of the existing magnetic ballasts in lightings were changed with electroballasts.

24. 8-ENERGY MANAGEMENT • Boiler’s flue gas analyzed and the combustion efficiency of boiler was checkedat the beginning of winter. Poor performance of boiler burners’ settings were made. • Heating pipes and valves were improvements in isolation. During the workings, thermal camera and ultrasonic listening devices are used effectively.

25. 8-ENERGY MANAGEMENT • Compressor waste heat recovery • Compressor waste heat recovery project has been implemented in KMF.

26. 8-ENERGY MANAGEMENT • In certain regions, instead of mercury vapor lamps with LED lamps is released.

27. 8-ENERGY MANAGEMENT