CARE: Carpet America Recovery Effort

An overview of the successes of CARE in creating value in America from recycling recovered post-consumer carpet..

CARE :CARE Frank K Hurd Chairman of BOD Carpet America Recovery Effort Carpet Recycling UK Conf June 23, 2009

Agenda for Today :Agenda for Today What CARE is CARE’s progress CARE’s Efforts Questions

Slide 3:National Agreement on Recycling Signed January 8th 2002 in Atlanta Signatories – carpet industry, state governments, EPA, and NGO’s

CARE MOU :CARE MOU Industry led voluntary partnership Funded by industry Targets - Rates & Dates Visibility & Expectations Facilitate market based solutions for landfill diversion of post consumer carpet

Targets for 2012 :Targets for 2012 Increase amount of value recovery from post-consumer carpet Landfill diversion by 40% Aspirational Goal: Zero Carpet to Landfill

Slide 6:4.9 billion pounds & growing 13 trillion BTU’s Power 106K homes a year 108 million gallons of gas Enough to drive 2.7B miles The Challenge

Slide 7:The Mission of CARE “Developing market-based solutions for the recycling and reuse of post-consumer carpet”

Slide 8:Value Pyramid Traditional View CARE’s Focus of Pyramid

Slide 9:LA Fiber Co. NYCRE “Honeywell” Antron® Reclamation Columbia Recycling Reclamation Network in 2002

Slide 10:Where are we today?

The Economy is no better!! :The Economy is no better!! Housing in the tank Auto sales down Carpet sales down Consumer Confidence Unemployment

Direct Impact on CARE :Direct Impact on CARE Inbound (old carpet) Outbound N66 & PP Collectors can collect way more than there are outlets for

Slide 13:The Challenge hasn’t Changed!! Balancing the Equation

Slide 14:Tough Year for CARE

What did we Accomplish? :What did we Accomplish? Came Close to last year’s number Collection Network in tact CARE BOD conducted strategic review Converted to a membership organization Specification Sheets for types of plastics Working to include PCC Carpet in NSF 140 New MOU signatory – Maine Entrepreneur meeting and collector calls Carpet Recycling CEU Hired Georgina Sikorski as our new ED

2009 Strategic Goals of CARE :2009 Strategic Goals of CARE Achieve sustainable funding for the CARE organization in 2009 Increase the demand and market opportunity for post-consumer carpet Strengthen the leadership position of CARE

Slide 17:CARE Diversion Progress Over 1.3B pounds of Post Consumer Carpet Diverted

CARE Creates Jobs :CARE Creates Jobs Economic Impact of Recycling 1100 Direct Jobs and 2200 Indirect Jobs reported in our Survey

Positive Environmental Impacts of CARE :Positive Environmental Impacts of CARE Environmental Eliminated 238,000 tons of GHG Emissions = to 2 MM barrels of oil NOT Burned = 728,000 Pine trees grown for 10 Yr

Challenges for 2009 :Challenges for 2009 Continue to grow CARE network Find solutions to the imbalance Outlets, outlets, outlets Figure out how to better integrate into the plastics compounding industry Funding for the future of CARE Implement strategic direction

Slide 21:Measuring Progress

Slide 22:1 4 21 19 3 12 17 5 Future Sites 10 20 As of 12-12-06 16 7 15 CARE Reclamation Network 11 24 14 26 23 6 13 8 2 9 25 18 35 27 22 30 31 32 33 28 34 29 36 37

Slide 23:LA Fiber Co. NYCRE “Honeywell” Antron® Reclamation Columbia Recycling Reclamation Network in 2002

Progress in Recycling and Diversion :Progress in Recycling and Diversion 243.4 M lbs recycled; 292.4 M lbs diverted Recycling decreased 11.5% from 2007 and diversion decreased 0.8% Inventories decreased 17 M lbs

Inventory by Fiber Type :Inventory by Fiber Type

Geographic Destination of PCC :Geographic Destination of PCC

Breakdown of Fiber Type Recycled :Breakdown of Fiber Type Recycled

Companies and lbs collected by Region :Companies and lbs collected by Region 55% 17% 11% 11% 3% 3% Companies by Region Pounds Collected by Region Millions of lbs Collected

Switching Gears :Switching Gears What can we do with this Stuff?

Carpet Industry Efforts :Carpet Industry Efforts Sustainable Carpet Assessment Standard EcoWorx & EcoSolution Q – Shaw Evergreen Nylon Recycling – Shaw InterfaceFLOR ReEntry Interface + Universal N66 recycled content Mohawk GreenWorks Earth Squares – Milliken Landfill Gas – Milliken & Interface More….

Evergreen Nylon Recycling Closed Loop Recycling :Evergreen Nylon Recycling Closed Loop Recycling

Nylon, Olefin :Nylon Dissolution & Color Removal (Recovery) Dissolve Remove Insolubles Nylon, Olefin Dyes Latex/CaCO3 Dyes Latex CaCO3 Nylon, Olefin Dyes Recycle Olefin Nylon, Olefin Old Carpet

Slide 34:Entrepreneur Efforts

Slide 35:8M lb/mo PCC CARE Recycle of the YEAR 2002

Slide 36:Gutter Buddies® Synthetic Hay Bales & Filters GeoHay™

Slide 37:Shingles – Auburn University Clubhouse CARE Recycle of the YEAR 2003

Slide 38:Automotive Parts CARE Recycle of the YEAR 2004

Slide 39:A 12.5 foot length of Infiltrator chamber trench has more effective area than a 25 foot Length of stone & pipe trench. Consumes 85 lbs of PP per unit! CARE Recycle of the YEAR 2005

Slide 40:Composite Railroad Ties Creosote 29,000 lb/mile >100M lb added to the environment each year by RR crossties A known carcinogen Wood ties deteriorate Plate cuts into tie 810 mature oak trees used per mile of track 3.3 million trees harvested per year for U.S. ties

I-Rock Composites :I-Rock Composites

KeLa Engineered Fuel :KeLa Engineered Fuel A coal derived fuel made up of coal fines, recycled binding materials, and renewable biomass. Coal KeLa Engineered Fuel

KeLa Engineered Fuel :KeLa Engineered Fuel Utilizes a readily available stream of recovered, recycled, and renewable waste materials* Recovered Coal Fines Recycled Carpet Recycled Plastic Renewable Biomass *Up to 35% Renewable/Recycled Content

An introduction to a green, recycling, renewable resources business :An introduction to a green, recycling, renewable resources business Modular Carpet Recycling, LLC (MCR) Renewlon™ - recycled nylon Renewlene™ - recycled pp from backing/carpet Renewtex™ - recycled backing

MCR ProcessWaste Carpet to Pellet (WTP) :MCR ProcessWaste Carpet to Pellet (WTP) Mechanical Purification Process (MPP) Fine Chemical Purification Process (FCPP) – Patented technology Extrude and Pelletization Process (EPP)

Slide 46:Some Key Partnerships

Slide 50:Testing facility for CARE Entrepreneurs Developing products from PCC Helped develop a grading system for CARE plastics Provides 10% of proceeds from CARE work to CARE

Slide 52:QUESTIONS?