Costco 2009 Annual Report Download - page 16

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renewed into usable products, recycled into biofuels or compost, or used as feed stock. We have
begun a program in some warehouses where meat scraps and rotisserie chicken grease are recycled
by third parties to make animal feed, biodiesel fuel, soaps, etc. In 2009, we installed Goslyn™grease
recovery systems in fifty warehouses, resulting in the recovery of one million pounds of grease from
the waste stream for use in the marketplace.
Refurbishing reusable electronic items is another program of recycling in use at Costco. During the
past three years, our Electronic Hardware Services (EHS) and Consumer Electronics (CE) Department
refurbished for resale nearly 230,000 returned computers, notebooks and PDA’s and over 550,000
other returned electronic items (cameras, IPODS, camcorders and televisions). In addition, in 2009 we
teamed up with Gazelle, an electronics trade-in company, to offer an on-line trade-in and recycling
program. Powered by “Gazelle.com”, individuals can trade in old electronic items (laptops, cell phones,
LCD monitors, digital cameras, MP3 Players, gaming systems, etc.) and receive a Costco Cash Card
for use in any Costco warehouse or at Costco.com. By refurbishing, recycling and keeping renewable
materials out of landfills and incinerators, Costco has found new revenue streams while helping protect
the environment.
Energy Efficient Products and Innovative Packaging We have been an active member of the
EPA’s Energy Star and Climate Protection Partnerships for the past seven years, and we are also a
major retailer of Energy Star qualified compact florescent lamp (CFL) bulbs. We sold more than 35
million CFL bulbs in the U.S. during 2009, with over 124 million sold during the past four years.
Our merchandise packaging is also becoming more environmentally sustainable. In collaboration with
our vendors, we actively pursue opportunities to eliminate polyvinyl chloride (PVC) plastic in our
packaging and replace it with recycled or recyclable materials. Likewise, innovative packaging design
changes, as in the case of square one-gallon milk jugs, have allowed us to increase the amount of
product on a pallet, ultimately resulting in fewer delivery trucks on the road.
Commuting We continue to encourage our employees to carpool or vanpool whenever possible - to
reduce energy consumption, as well as reduce emissions going into the atmosphere. The Commute
Trip Reduction (CTR) program we began fifteen years ago at our corporate office with eighteen vans
now has sixty vans (vans, fuel, maintenance and insurance provided by five transit agencies); and this
past year we began six vanpools in our California regional offices. We offer employees subsidies to
vanpool, and we subsidize employees who purchase monthly bus passes. In addition, we encourage
employees to ride bikes to work when practical. All of these programs and activities help reduce our
carbon footprint.
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