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FOREWORD BYHUM’S MANAGING DIRECTORThis is my first opportunity to introduce HUM’s EMAS report since joining as Managing Director in April 2011. However Ihave worked at HUM previously and have seen the Company grow and develop over some time.Our Company situation in financial year (FY) 2010/11 has improved with regard to production volumes, but only to thelevel of running single shifts in our car plants. The impact of shutting the whole factory for 4 months in 2009 did havenumerous concerns on our operations and, of course, makes year on year comparisons of our safety and environmentperformance misleading.We have continued to develop our management systems and work closely with the VCA, our external auditors, coveringOHSAS18001, ISO14001 and EMAS. I am pleased to report that on-going certification for all the standards has againbeen recommended, and we continue to aim for efficiencies and benefits from the auditing process. Being able to proveto external agencies and also to potential customers our safety and environmental credentials in this way is essential.On safety the actual number of accidents increased this financial year, but if we factor in the number of working monthsand again compared to the previous year there was a 6% reduction. Regardless, more attention is being given to bothaccident cause and robust countermeasures, supported with training from awareness to specific courses such as accidentinvestigation. I personally attend monthly safety tours to confirm actions following an accident where an Associate hassuffered a work related injury.Ergonomic improvements covering existing processes and factoring in New Model Planning has increased in importanceand will be a key Company business plan requirement in FY2011/12. Already we are seeing benefits withmuscular-skeletal related injuries at an all-time low – a trend that must continue to ensure our Associates are not injuredand enable them to complete a safe process that they have been trained on.On Environment, our report last year advised that we had set a target of zero waste to landfill by September 2010 – I ampleased to report this was achieved in August 2010, completing a 10 year project ahead of schedule, the original planbeing December 2010. This has been achieved in a sustainable way, with only the most difficult waste streams beingsent for incineration post August of last year. Only 83 tonnes of waste were landfilled in FY2010/11. Of the remainingincinerated waste HUM continues to strive for alternative solutions, with the ultimate objective of being a total recyclingcompany.CO 2emissions are now a key control item within our manufacturing operations and activities continued in FY2010/11 forboth data gathering and emissions reductions for many aspects within our business.The focus remains on direct energy consumption but we now include parts and product logistics, and for FY2011/12 willextend this work further - not only for this plant in Swindon, but for all of our EU factories and direct suppliers.Energy efficiency remains a top level control item – however although we control and improve energy use in the processand minimise out of hours, the extremely cold weather, measured in degree days over the last winter, significantlyincreased gas consumption for space heating. We will set extremely challenging targets in FY2011/12 for CO 2emissionswith an increased focus on energy base-load. Supporting our commitment for carbon reduction, we purchase electricityfrom our supplier utilising a low CO 2coefficient.We reported last year that our first renewable energy project would commence and a trial of two sets of photo-voltaicarrays was operational from August 2010. We had also hoped to receive planning permission for three wind turbineson our site, but the necessary decision was deferred – we will re-apply during this financial year and hope to completethis activity within calendar year 2013. With future plans for both on and off-site PV electricity, plus an on-site bio-massboiler partly using biomass fuel grown on-site also generating electricity, there is potential that 33% of HUM’s electricityrequirements can be from renewable sources.HUM’s coordination and legal compliance for materials usage continues and Honda globally has now joined theInternational Materials Data System (IMDS). Utilising supplier data and extracting information from IMDS into Honda’sown databases enables legal compliance confirmation, and also preparation for future changes which may restrict theuse of certain substances.Finally I would like to thank you for taking the time to read andunderstand HUM’s Safety and Environment performance.Soichiro TakizawaHUM Managing Director4SE/D/G/15 - Nov 2011www.hondamanufacturing.co.uk