The First Facility Management Blog

The Carpet America Recovery Effort (CARE) recently released the figures on its diversion and recycling efforts for 2007. The group announced that the efforts achieved a double digit growth in recycling and diversion for the sixth year in a row. The CARE 2007 Annual Report included the following statistics:

* 296 million pounds of post-consumer carpet diverted, a 17% increase
* 275.1 million pounds recycled, a 19% increase
* CARE reached a milestone of a cumulative diversion of one billion pounds since its inception in 2002
* 149 million pounds of carpet diverted, on average, per year since 2002
* Carpet Recycling results in a net GHG emission of 1.96 metric tons of Carbon Equivalent per Ton of carpet (MTCE/ton)–far better than most other common materials that are recycled, according to CARE
* CARE’s Reclamation Network grew to 56 members in 2007

2007 Awards
In other CARE news, the group presented its EPA/CARE Innovation Awards at its recent annual conference, held in Clearwater, FL.

The EPA/CARE Award, established and awarded for the first time at this year’s conference, recognizes innovation as it relates to any aspect of carpet recycling. Interface was presented the award for its ReEntry 2.0® carpet recycling program. ReEntry 2.0 reclaims all types of carpet (commercial and residential) regardless of face fiber type or backing used. Through a new patent pending technology, Interface can cleanly separate the face fiber and backing of nearly any carpet type.

The CARE Recycler of the Year - Large Entity Award was presented to Shaw Industries, for its Shaw Green Edge initiative. The cornerstone of Shaw’s environmental vision is cradle-to-cradle production, which will allow synthetic products, such as carpet, to be collected and then manufactured into new product repeatedly. The Shaw Green Edge Program encompasses over 100 environmental initiatives and was introduced following Shaw’s purchase of the Evergreen Recycling facility in Augusta, GA.

Honored by CARE as the Carpet Recycler of the Year - Small Entity was Kruse Carpet Recycling of Indianapolis, IN. As a collection and sorting center opened in 1997, Kruse Carpet recycling guarantees customers that none of their carpet will go to landfills.

CARE Person of the Year was Russ DeLozier, who sits on the CARE Board of Directors and has been active in the industry since taking over the Evergreen facility that Shaw Industries now owns in 2006. The majority of Russ’ experience has been in startup or operation of various types of plastic plants, including those manufacturing nylons, styrene block copolymers, polyethylene, polypropylene, and polystyrene.

Progressive Investor, a publication of SustainableBusiness.com, announced its picks for the 20 most sustainable stocks in 2007. A number of the companies on the list are involved in the building and energy industries.

The 2007 Sustainable Business 20 (SB20) List: The World’s Top Sustainable Stocks: Companies Changing the World for the Better, is now in its sixth year. The group looks for companies that are having an important impact on creating an environmentally sustainable society. The goal is to help the media and investors identify leading companies and to understand what it takes for a company to be sustainable.

SustainableBusiness.com worked with a group of judges who are leading sustainability stock analysts to select the companies. This year, SustainableBusiness.com partnered with KLD Research & Analytics, a pioneer and leader in environmental and social research and indexes. KLD provided a preliminary universe of 50 global companies with strong green initiatives and solid financials. KLD also served as a judge along with five leading green investment analysts to decide on the final list.

The press release from SustainableBusiness.com explains:

The challenge we give our judges is to nominate, discuss, and then vote on 20 companies that, through their products or initiatives, are contributing substantially to the advance of a sustainable economy.

To be on the list, companies must be strong on both the sustainable and financial sides. It is not a “buy” list, but because the companies are strong financially, their stock may well be worth be buying at some point based on stock market positioning. We strive to choose companies of various sizes, industries and parts of the world, but the list doesn’t constitute a diversified portfolio.

“Our goal is to create a list that showcases public companies that, over the past year, have made substantial progress in either greening their internal operations or growing a business based on an important green technology, says Rona Fried, Ph.D., SustainableBusiness.com CEO and Editor of Progressive Investor.

SB20 Criteria
Our judges decide on the 20 companies that make the list based on the following Sustainability and Financial criteria:

Sustainability Criteria:
The most exciting companies in terms of how they are conducting their business, or in the technologies they are advancing that solve environmental or social problems. In particular, they have a very strong GREEN story, with the ability to have widespread influence.

Financial Criteria:
A company has a a stock price over $1, is selling products and is profitable, or close to it.

Energy Efficiency /Renewable Energy
This year, energy efficiency took center stage. The less sexy sister of renewable energy, efficiency offers the least expensive, best economic returns, and most dramatic ways to reduce greenhouse emissions, simply by reducing energy consumption in the first place. No subsidies are needed.

We chose Comverge, Royal Philips Electronics, Fuel Tech and Novozymes to represent leading companies on energy efficiency. Comverge sells energy-management technologies, which automatically turn power on and off when demand exceeds supply on the grid. That results in enormous energy savings and, by cutting peak demand, it keeps the filthiest fossil fuel plants off-line. The world leader in lighting, Philips has been snapping up market share in LED lighting as it advocates for and prepares to stop producing inefficient incandescents. Fuel Tech’s technology cleans up the dirtiest fossil fuel plants, and Novozymes, the world leader in “green chemicals,” is reducing energy use and toxics by replacing synthetic ingredients in a host of industries with biological enzymes - they are key to industrial efficiency and the use of cellulosic biofuels.

In renewable energy, REC is the most vertically integrated solar company in the world and First Solar is the first public company to integrate thin film technology into high volume, low cost production. Vestas, the world’s premier wind company, has maintained its leadership position despite heavy competition. Ormat is a world leader in geothermal energy, and Schmack Biogas is the world’s leading biogas plant manufacturer, turning organic wastes into electricity, heat or fuels.

Natural Resources: Water, Forests
BWT Water Technology is one of the rare water companies that uses only environmentally responsible technologies. A new water filter for households and industry relies on magnetic fields instead of chemicals. Precious Woods is the world’s only publicly traded sustainable forestry company, operating in the Brazilian and Congo rainforests.

Green Building
The UK’s largest property developer and owner, Land Securities, is upgrading energy efficiency throughout its property portfolio; all new buildings meet green building standards. It is working toward company-wide use of gray water, rainwater harvesting systems, using only FSC-certified wood, and serving Fair Trade/ Organic foods in its cafeterias.

Interface, one of the most respected and cherished companies by sustainability afficionados, continues its climb up “Mount Sustainability,” innovating in the materials and processes used to make carpet tiles. Furniture maker Herman Miller, another stalwart sustainability leader, is 63% on its way to achieving its goal of Zero Ecological Footprint by 2020.

Consumer Products
Canon has set a very aggressive target for a company of its size - to cut C02 emissions by 50% per unit of sales by 2010, from a 2000 benchmark. It’s making its products smaller and lighter to reduce its environmental footprint.

It’s not easy to “just do it” when your manufacturing is outsourced to subcontractors, but Nike is showing it’s possible. Its very impressive sustainability report drills down to the finest details of the company’s operations and products. It is transforming its products by using green design principles, rooting out waste and toxics, and planning for carbon neutrality by 2015.

Natural Foods/ Natural Products
Groupe Danone, the world’s largest dairy company, is converting more to organic dairy and sustainable agriculture. Last year, it launched Grameen Danone Foods, a joint venture with microfinance bank Grameen Group. Its purpose is to provide nutritionally dense, basic foods, along with solar energy and biogas to low income, nutritionally deprived populations in Bangladesh. It will also provide hundreds of jobs for communities that take care of the cattle, produce and sell the products. The goal is to set up 50 plants throughout India in the next 10 years.

The world’s largest retailer of organic/ natural products, Whole Foods, and Green Mountain Coffee Roasters, the leader in Fair Trade/ Organic coffee, have been on the SB20 since inception. They are exemplary models all around, and are largely responsible for the mainstreaming of natural foods/ sustainable coffee. Both companies are climate neutral.

Chipotle Mexican Grill, with over 600 restaurants, is making waves in the world of fast food by serving free range meats and integrating organic ingredients into its menus.

Honorable Mention
Google made some impressive first sustainability announcements last month. Besides being climate neutral by 2008, it co-founded the Climate Savers Computing Initiative, a challenge to the industry to ramp up energy-efficient personal computers and server systems to 90% efficiency by 2010. It just turned on the switch for the first phase of its 1.6 megawatt solar array, and runs the largest corporate shuttle commuter program in the U.S., while offering employees cash incentives to purchase hybrids.

The SB20 List for 2007 (in alphabetical order)
Best Water Technology (Vienna: BWT.VI) (Austria)
Canon (NYSE: CAJ) (Japan)
Comverge (Nasdaq: COMV) (USA)
Chipotle Mexican Grill (NYSE: CMG) (USA)
First Solar (Nasdaq: FSLR) (USA)
Fuel Tech (Nasdaq: FTEK) (USA)
Green Mountain Coffee Roasters (Nasdaq: GMCR) (USA)
Groupe Danone (DANO.PA) Netherlands
Herman Miller (Nasdaq: MLHR) (USA)
Interface (Nasdaq: IFSIA) (USA)
Land Securities (London: Land.L) Britain
NIKE, Inc. (NYSE: NKE) (USA)
Novozymes (Copenhagen: NZYM.CO) Denmark
Ormat Technologies (NYSE: ORA) (USA)
Precious Woods (Geneva: SWX: PRWN) Swizerland
Renewable Energy Corp - REC (Oslo: REC.OL) Norway
Royal Philips Electronics NV (NYSE: PHG) Netherlands
Schmack Biogas AG (Germany: SB1B.DE) Germany
Vestas (Copenhagen: VWS.CO) Denmark
Whole Foods Market (Nasdaq: WFMI) (USA)

Honorable Mention:
Google, Inc. (Nasdaq: GOOG)

SB20 Judges:
Andrew Brengle, Senior Research Analyst, KLD Research & Analytics
Rafael Coven, Managing Partner, Cleantech Indices LLC
Matt Patsky, Managing Director, Winslow Green Growth Fund
Patrick McVeigh, President, Reynders, McVeigh Capital Management
Max Deml, Editor & Publisher, Oeko Invest Publishing Ltd
Ton Rennen, Senior Sustainability Analyst, Triodos Bank NV

About Progressive Investor and SustainableBusiness.com
Progressive Investor is a monthly sustainable investing newsletter that provides on-going analysis of clean technology investment opportunities, such as renewable energy, energy efficiency, green building and healthy lifestyle.

SustainableBusiness.com, now in its 12th year, provides global news and networking services to help green businesses grow: Daily Sustainable Business and Investor news, Green Dream Jobs, and Progressive Investor.

Global mutual fund Portfolio 21 has announced its Top 10 financial performers among companies implementing environmental business strategies. The top performers in the fund posted returns ranging from 41% to 131% in 2006.

Portfolio 21 invests in 88 companies selected from more than 2,000 companies based in 16 countries, including the United States. The fund identifies companies that recognize the enormous opportunity that exists to save money by preserving natural resources and by providing products, services, and technologies that are needed to create a sustainable society.

Specifically, Portfolio 21 seeks companies that understand environmental constraints and risks such as climate change and are changing the way they design products and develop business models to reduce their exposure to these constraints and risks, thereby ensuring greater long-term competitiveness. For example, Portfolio 21 companies are developing cleaner and more efficient energy solutions, products designed to be reused and rebuilt, and processes that eliminate the need for toxic inputs while producing little or no waste.

“Smart corporate leaders and savvy investors agree that paying attention to ecological trends and how they affect the bottom line may be an intelligent investment strategy,” said Carsten Henningsen, co-founder of Portfolio 21. “Global warming could have an enormous impact on the world economy in the coming years; companies that are already addressing the risks and opportunities presented by climate change may have a big head start.”

Portfolio 21’s Top 10 financial performers for the 12-month period ending December 30, 2006, include:
Vestas Wind Systems: This Danish wind turbine manufacturer has a clear sustainability strategy based on manufacturing equipment and operating facilities for the renewable energy sector. Vestas sees environmental considerations playing an increasingly important role in political and commercial decisions. 2006 performance: 131%

Fuel Systems Solutions: This company designs, manufacturers, and supplies fuel storage, fuel delivery, and electronic control systems for automobile engines, with a focus on systems compatible with alternative fuels, such as natural gas and methane. These fuels burn cleaner than conventional fuels and have a lower global warming impact. 2006 performance: 114%

JM: This Swedish construction and real estate company leads its industry in sustainable practices. Using tools such as The Natural Step and the Precautionary Principle, JM sees environmental responsibility as key to the company’s strategy and profitability. 2006 performance: 89%

Interface: With a variety of environmental programs being implemented, Interface has developed the first “climate neutral” carpeting, has installed photovoltaics to provide solar power to three of its facilities, is developing carpet made from renewable natural materials that can be composted or recycled back into the same product, and, through its “Mission Zero” program, aims to have zero waste and closed loop production. 2006 performance: 76%

British Land: British Land, a property development and management company, clearly recognizes the economic benefits and competitive advantage that can be earned through the incorporation of sustainability principles. Its new development projects involve study of environmental impacts, including local transportation options, ecology and habitats, water resources, energy efficiency, material selections, reuse of brownfields, and design for extended building life and multiple uses. 2006 performance: 61%

Acciona: This diversified Spanish company prioritizes sustainability across its business lines. Through its construction and infrastructure subsidiary, Acciona works to educate clients and promote environmental features. They company’s logistics division has a focus on sea freight and transportation, with a goal of reducing environmental impact and congestion on land routes. Acciona’s energy division is the world’s largest wind power developer and constructor and the company is also involved in micro hydro, biofuels, solar, and co-generation. 2006 performance: 50%

Ormat: Ormat is focused on recovered and geothermal energy, both of which are renewable and have low global warming profiles. Ormat uses closed loop systems for a majority of its geothermal facilities, has developed products and services related to recovered energy (specifically waste heat in industrial settings), and has R&D efforts in thermal solar and biomass power. 2006 performance: 46%

Canon: Canon focuses on creating energy- and resource-efficient products as well as eliminating hazardous substances. The company actively promotes recyclability in design, utilizes green procurement policies, and is aggressively working to reduce its climate change impact. Over 90% of Canon’s entire product line is Energy Star certified. 2006 performance: 46%

Hewlett-Packard: Hewlett-Packard established its Environmental Stewardship program and Design-for-Environment principles in 1992, and continues to be a leader in addressing environmental issues. Working in areas such as energy efficiency, materials reduction, waste reduction, recycled/recyclable materials, and end-of-life product recycling, we feel the company’s improvements have resulted in increased business competitiveness and reduced environmental impact. 2006 performance: 43%

Novozymes: Denmark’s Novozymes is the world leader in biotech-based industrial enzymes and microorganisms. These enzyme products can reduce the use of energy, raw materials, and harsh chemicals as well as reducing waste generation. The company’s strategy is to contribute to global sustainable development by creating environmentally-sound solutions to replace existing technologies and to meet new market needs. 2006 performance: 41%

Portfolio 21 believes there is a business and investment case for environmental sustainability. “Real opportunities and potential future successes lie in understanding the ecological crisis. We believe companies that prove this understanding with innovative environmental business strategies have a real competitive advantage today and are poised for further leadership and innovation in the future,” Henningsen said.

As of 12/30/06 the companies listed above were held in Portfolio 21 in the following percentages:
Vestas Wind Systems: 1.1%
Fuel Systems Solutions: 0.2%
JM: 1.8%
Interface: 0.3%
British Land: 1.5%
Acciona: 0.6%
Ormat: 0.2%
Canon: 1.8%
Hewlett-Packard: 1.6%
Novozymes: 1.8%

Portfolio 21 is a global equity mutual fund investing in companies seeking to design ecologically superior products, using renewable energy, and developing efficient production methods. Portfolio 21 companies seek to prosper in the 21st Century by recognizing environmental sustainability as a fundamental human challenge and a tremendous business opportunity.

The fund’s investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by calling 877-351-4115.