My presentation at Ecobuild about the business case of sustainability This is the presentation I did for the session about the business case in the 'Beyond Construction' debates at Ecobuild I tried to divided it into 5 business cases: 1. Efficiency 2. Innovation 3. Reputation 4. People. 5. Closed loop system

1. Sustainability. Does it pay?
Ramon Arratia, Sustainability Director, EMEAI.

2. Who we are
• The inventors of carpet tiles
• Worldwide leader in modular flooring
• Turnover $1 billion USD
• 3500 employees worldwide
• A global spread of manufacturing
and sales offices

3. ‘One day people like will go to jail’
Ray Anderson, chairman and founder, Interface.

5. Our results so far (Dec 2009)
– 80% reduction in waste sent to landfill since 1996 per unit of production
– Water intake in manufacturing is down 80% since 1996 per unit of production
– Total energy use down by 43% since 1996 per unit of production
– Non-renewable energy is down by 60% since 1996 per unit of production
– Actual reduction of Interface GHG emissions by 44% from baseline 1996
– 30% of global energy is from renewable sources
– 36% of total raw materials are recycled or bio-based materials
– Cumulative avoided waste costs totalling $433 million since 1994
– All factories in Europe operate on 100% renewable electricity
– 99.7% of the products sold in Europe were manufactured in Europe

6. Does it pay?
1. Efficiency.
– the $433 million question
2. Innovation.
– expanding to adjacent markets
3. Reputation.
– most admired company by sustainability experts
4. People.
– would you like to work for a carpet company?
5. The future competitive advantage.
– a closed loop system

7. Does it pay?
1. Efficiency.
– the $433 million question
2. Innovation.
– expanding to adjacent markets
3. Reputation.
– most admired company by sustainability experts
4. People.
– would you like to work for a carpet company?
5. The future competitive advantage.
– a closed loop system

8. $433 Million in Avoided
Waste Costs, Globally

9. Eliminate waste.
Ultrasonic Cutting
Machine
• Cutting waste is reduced by 80%
• Saves 310 tonnes waste

10. Eliminate waste.
Ultrasonic Cutting Machine

11. Does it pay?
1. Efficiency.
– the $433 million question
2. Innovation.
– expanding to adjacent markets
3. Reputation.
– most admired company by sustainability experts
4. People.
– would you like to work for a carpet company?
5. The future competitive advantage.
– a closed loop system

12. LCA. Sustainable innovation starts with data
68% 9% 8% 8% 7%
Raw Interface Interface Use & End
Materials Manufacturing Transportation Maintenance of Life
The calculations are based on a 700 g carpet tile made with PA6.6 and InterfaceFLOR’s Graphlex®
backing with the following assumptions: landfilling at end-of-life, no green energy use in the lifecycle,
and a product lifetime (use) of 10 years.

13. LCA. Sustainable innovation starts with data
45% Yarn
68% 11% Backing Compound
6% Glassfleece and Tufting Carrier
4% Precoat Bonding Layer
1% Packing
1% Raw Material Transport
Raw
Materials
Based on InterfaceFLOR’s Sustainability Index for Heuga 580 with the following assumptions:
end of life landfill, no green energy, lifetime 10 years. Interface’s Sustainability Index is based
on LCA using GABI 4 database. GHG emissions, embodied energy and toxicity each account
for 1/3 to the overall index.

14. So what to do to reduce the impact?
REDUCE RECYCLE INVENT A
THE YARN THE YARN NEW YARN
Less is more Close the loop Low-impact
principle alternative

15. LESS IS MORE:
Flatworks Product Category
– 50% less yarn
– Same performance
– Between hard floor and carpet
– Appealing to non-carpet markets
– Patented technique

16. 7m m2 sold since launch in 2000. 14% of Total Sales.

17. How would nature
Design a carpet tile?

19. Average installation waste for carpet
For a rectangular building before walls installed after walls
Broadloom 400 cm 8-12 % 12-15%
Broadloom 200 cm 7-10 % 10-12%
Monolithic tiles 3% 3-4%
Ashlar/brick tiles 3-5% 4-5%
Random designs 1-2% 1-2% Typical broadloom
installation waste: 8-12%
For a round or triangular building
Broadloom 400 cm 20-25% 25-30 %
Broadloom 200 cm 17-23% 23-27%
Monolithic tiles 3-5% 4-5%
Random tiles installation
Ashlar/brick 4-6% 5-6% waste: 1.5%
Random designs 1-2 % 1-2%
Source: InterfaceFLOR sales team in the Netherlands

20. 6m m2 sold since launch in 2001. 11% of Total Sales.

21. Innovation. Substituting adhesives. TacTiles
2009: shipped 16.1m TacTiles
(enough to install 4m sqm)
Figures from InterfaceFLOR US

22. Aviation market
– Airplane carpet is replaced every
three to twelve months and sent right
to the landfill.
– Weights almost 3 times less than
a normal US carpet tile
– light weight
– vertical burn characteristics
– smoke density
– smoke toxicity

23. Innovation.
Being the Magnet for Ideas.

24. Does it pay?
1. Efficiency.
– the $433 million question
2. Innovation.
– expanding to adjacent markets
3. Reputation.
– most admired company by sustainability experts
4. People.
– would you like to work for a carpet company?
5. The future competitive advantage.
– a closed loop system

25. Does it pay?
1. Efficiency.
– the $433 million question
2. Innovation.
– expanding to adjacent markets
3. Reputation.
– most admired company by sustainability experts
4. People.
– would you like to work for a carpet company?
5. The future competitive advantage.
– a closed loop system

27. Does it pay?
1. Efficiency.
– the $433 million question
2. Innovation.
– expanding to adjacent markets
3. Reputation.
– most admired company by sustainability experts
4. People.
– would you like to work for a carpet company?
5. The future competitive advantage.
– a closed loop system

28. Closing the Loop

29. This is not waste, it’s raw material…

30. Closing the Loop. Re-Entry 2.0 process

31. N ylon feed prices
3000 90
80
2500
70
European chip prices (€/T)
2000 60
50
1500
40
1000 30
20
500 P A 6 chip, E u (€/T) P A 6,6 chip, E u (€/T)
10
B rent crude ($/bl)
0 0
Jan- Feb- Mar- A pr- May - Jun- Jul- A ug- Sep- Oc t- Nov - Dec - Jan- Feb- Mar- A pr- May - Jun- Jul- A ug- Sep- Oc t- Nov - Dec - Jan-
09 09 09 09 09 09 09 09 09 09 09 09 10 10 10 10 10 10 10 10 10 10 10 10 11

32. JUST THE FACTS
Thanks for your patience!
Ramon Arratia
Sustainability Director
InterfaceFLOR EMEAI
• Mobile +44 77366 58399
• ramon.arratia@interfaceflor.eu
• www.interfaceflor.eu
• BLOG http://www.interfaceflorcutthefluff.com/
• http://twitter.com/RamonArratia
Download this presentation @ scribd.com/RamonArratia