STAMFORD, Conn.--Oct. 9, 2003-- Building on its history of environmentally conscious manufacturing techniques and smart product design, Xerox Corporation is undertaking new initiatives to reduce even further the environmental impact of the company's operations. In its annual Environment, Health, and Safety Progress report, released today, the company documents a record of achievement dating back to 1991, including reductions in waste generated, increased recycling rates, more energy savings and improvements in workplace safety. With the aim of extending the reach of the company's environmental practices, Xerox also is introducing two programs. The first is to further reduce energy consumption and resultant greenhouse gas emissions, and the second is to set new mandates for sustainable forest management practices among its paper suppliers. "In 2002, Xerox continued to make important progress toward the key goals embodied in our strategy of making 'waste-free products in waste-free factories to help our customers achieve waste-free workplaces,'" said Jack Azar, vice president, Xerox Environment, Health and Safety. "We consider these programs central to the way Xerox does business, and we continue to push ourselves to reach new levels of success." Energy management is already a priority at Xerox. From 1996 to 2002, for instance, the company reduced energy consumption 27 percent at its largest manufacturing complex, in Webster, N.Y. And, recognizing that it takes more energy to make a new part than to reuse a part, Xerox designs all of its products to be remanufacturable. The company estimates that by reusing parts, in 2002 alone it saved 14 million therms of energy -- enough to light more than 320,000 U.S. homes for a year. In addition, Xerox has a comprehensive program to reduce the energy used by its printing and copying systems, through features such as automatic power-saver modes. Xerox now is seeking to reduce emissions of carbon dioxide and other gases that contribute to global climate change, which are associated with energy consumption in all operations. While Xerox's efforts to date have been applied at local levels, this year Xerox is developing a formal, company-wide methodology to measure greenhouse gas emissions and establish a baseline inventory worldwide. Then, in 2004, Xerox will set corporate targets for reducing greenhouse gas emissions through the next decade. Xerox also recently joined the U.S. Environmental Protection Agency's "Climate Leaders" and The Business Roundtable's "Climate RESOLVE" programs. Both are voluntary initiatives to help companies develop long-term climate change strategies and reduce or avoid greenhouse gas emissions. Also, as one of the largest providers of cut-sheet paper, Xerox recognizes its obligation to buy paper only from suppliers who wisely manage forest resources. In 2000, Xerox signaled its intent to source paper from suppliers committed to sustainable forest management. This summer, Xerox notified suppliers that they are expected to meet stringent requirements that cover all aspects of papermaking, from forest management to the production of finished goods. The aim is to protect the health and integrity of forest ecosystems, conserve biological diversity and soil and water resources, and safeguard forest areas of significant ecological or cultural importance. The standard applies worldwide. 2002 Highlights Xerox continues to deliver more energy savings and higher reuse-and-recycle rates in factories and products as well as improvements in employee safety. Among the successes detailed in the company's 2003 Progress Report, Xerox: Prevented 161 million pounds of materials from entering landfills through reuse and recycling of Xerox equipment and supplies, such as print/copy cartridges. Since the remanufacturing program began in 1991, Xerox has kept more than 1.4 billion pounds from landfill, and its program has given new life to the equivalent of more than 2 million copiers, printers and multifunction systems - enough material to fill the Empire State Building more than three times. The program saves Xerox several hundred million dollars each year. Enabled energy savings of 1.5 million megawatt hours through reuse of parts and the sale of ENERGY STAR products. Every eligible product that Xerox introduced in 2002 met ENERGY STAR and Canada's Environmental Choice EcoLogo criteria. Maintained workplace injury levels well below industry standards. The company initiated a Zero Injury program in 1997. Since then, it has achieved a 50 percent reduction in its total recordable injury rate and has cut its "days away from work" case rate by 47 percent. Musculoskeletal injury rates in U.S. operations have fallen 40 percent from 1992 to 2002 because of the company's focus on ergonomics. Examined and, where possible, modified manufacturing processes to cut air emissions, non-hazardous and hazardous waste, and water and energy use. For instance, non-hazardous waste recycling rose from 56 percent in 1991 to 92 percent in 2002. And since 1999, 94 percent or more of all hazardous waste generated by Xerox worldwide has been beneficially managed through treatment, recycling or use as a fuel. Environment and safety initiatives are a fundamental component of Xerox's corporate responsibility and citizenship efforts, which include philanthropic and community support, minority- and women-owned supplier programs, diversity and employee support, and business ethics and corporate governance initiatives. The full 2003 Environment, Health and Safety Progress Report is available at www.xerox.com/environment.