2004 Motorola Global Corporate Citizenship Report

Transcription

2004 Motorola Global Corporate Citizenship Report
2004 Motorola Global
Corporate Citizenship Report
FOR THE FIRST TIME I CAN TRAVEL THE WORLD WITHOUT LEAVING
MY VILLAGE - FOR THE FIRST TIME KNOWLEDGE IS IN MY HANDS FOR THE FIRST TIME EVERYONE IS MY NEIGHBOR
BRIDGING THE DIGITAL DIVIDE
Because seamless mobility
empowers people, the world
is smaller and more personal
than ever.
That means we can live our lives, connecting with family
and friends, accessing information, creating security,
trading ideas and services, finding everyone and everything,
whenever we want. Our reach is long and effortless.
With empowerment comes responsibility. Action has
impact. Every decision can help or might impede. Our
community is all around the globe.
This report shares our beliefs, principles and policies
on corporate citizenship issues. It reviews Motorola’s
performance, celebrates our achievements and
acknowledges our challenges. Our goal: as we empower
the person with our products, we also enable the world.
Motorola’s vision of seamless mobility enables
smarter, faster, more cost-effective and more flexible
communication. As the world becomes more connected,
corporate actions become even more important.
Committed to responsible behavior, we evaluate our
environmental and social policies and performance – and
take appropriate action. We provide information and help
in times of crisis. And we empower our employees to
lead within their communities, using Motorola’s
resources and knowledge to improve and inspire.
2004 Recognition
Motorola was selected a member of
the Dow Jones Sustainability Indexes.
Launched in 1999, these global indexes
track the financial performance of the
leading sustainability-driven companies
worldwide. They provide asset managers
with reliable and objective benchmarks
to manage sustainability portfolios.
The Citizens Index rated Motorola a
top 10 corporate citizen for efforts to
improve the environment. The index
consists of 300 large-cap companies
chosen by Citizens Advisers for industry
representation, financial soundness
and corporate citizenship.
1
An independent, Munich-based rating
agency, oekom research AG, ranked
Motorola first in responsible citizenship
among the world’s 10 largest manufacturers
of IT/communications equipment. Using the
corporate responsibility ratings based on
the Frankfurt-Hohenheim Guidelines,
oekom assessed corporate responsibility
toward social, societal, cultural and
environmental sustainability. Motorola led
the category with an overall grade of B.
Motorola, Inc.
Corporate Citizenship
Business Principles
Motorola products and technologies benefit
society by making life better for people around
the world. We operate ethically, protect the
environment and support our communities.
These principles guide
our actions:
Innovative Products,
Customer Delight and
Quality
We strive to provide innovative and
safe products and solutions with quality
and performance that meet or exceed
our customers’ expectations.
Ethics and Transparency
We strive to operate with transparency
and according to high standards of ethics
and law in directing and managing the
company for all stakeholders.
Environmental Quality
We strive to foster sustainable use
of the earth’s resources in our products
and operations. We strive to design
environmentally conscious products.
Diversity and Inclusion
We strive to create an engaged workforce
that can contribute its full potential
in an inclusive work environment.
Safe and Healthy
Workforce
In cooperation with our employees,
we work to maintain a safe and healthy
workplace and support employees’
work-life balance.
Economic Opportunities
and Growth
We work to create wealth, economic
opportunities and growth in regions where
we do business, through our products,
services, relationships and operations.
Supplier Relationships
We set expectations for our suppliers
and work with them toward conducting
their operations in compliance with
applicable laws and accepted standards of
fairness and human decency. We strive
to create a diverse supplier base.
Community Support
We support educational, environmental
and social needs in the communities in
which we operate.
Shareholder Value
We seek to achieve strong financial
results and long-term success through
sustained profitable growth, technological
innovation and market leadership.
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Table of Contents
01
16
Our Vision
EHS 2004 Performance
02
18
Corporate Citizenship
Business Principles
Environment Issue Responses
03
The World We Share
20
Table of Contents
22
04
Social Issues
Financial Highlights
24
05
Product Stewardship
Manufacturing Facilities/
Corporate Overview
26
Giving Back
06
CEO Ed Zander on
Corporate Citizenship
28
08
30
Products That Benefit Society
Supporting the Community
10
32
Supply Chain
Diversity
12
34
Governance
Health and Wellness
14
36
Environment, Health
and Safety (EHS)
Committed to Our People
Investing in Our Future
37
Awards
This report covers the calendar year 2004 and was
developed with consideration given to the Global Reporting
Initiative (GRI) Sustainability Reporting Guidelines
and GRI Telecommunications Sector Supplement.
02
03
04
05
Our GRI content index is shown here.
06
07
10
11
www.globalreporting.org/guidelines/2002.asp
1.1
2.11
2.8, EC1, EC2
2.1, 2.2, 2.4, 2.5,
2.13, LA1
1.2
1.2
3.16, HR2, HR3
3.16, HR2, HR3, SO4
12
13
14
16
17
18
19
22
23
3.72,
2.9, 3.1, 3.101
3.14, 3.20
EN5, EN8, EN11
2.14, EN3, LA7
EN9
EN16
PR1
HR1, HR4, HR5,
HR6, HR7, PR3
24
25
26
32
33
34
35
36
37
BC
3.16
3.16
EC10 2,11
LA10
LA10
LA12
LA6
LA12, LA17
SO4
2.10, 2.22
Financial Highlights
Earnings from continuing operations increased 136%
while sales grew 35% from the previous year.
Financial Highlights
2004
2003
$ 31,323
$ 23,155
Operating earnings
3,132
1,273
Earnings from
continuing operations
before income taxes
3,252
1,376
dollars in millions, except per
share amounts or as noted
Net sales
Earnings from
continuing operations
2,191
928
Loss from discontinued
operations, net of tax
(659)
(35)
Net earnings
1,532
893
Diluted earnings
per common share
0.64
0.38
R&D expenditures
3,060
2,799
494
344
68,000
88,000
17% Global
Telecom Solutions
19% Europe
54% Personal
Communications
15% Commercial,
Government and
Industrial Solutions
9% China
9% Latin America
47% United States
7% Asia, excluding
China and Japan
9% Integrated
Electronic Systems
1% Other Products
3% Japan
6% Other Markets
Capital expenditures
Year-end employment*
7% Broadband
Communications
2004 Consolidated Net Sales
by Business Segment
2004 Market Sales by Region
*Employment decrease in 2004 primarily reflects the
impact of the spin-off of Freescale Semiconductor.
35,000
4,000
1.0
3,000
0.5
2,000
30,000
1,000
0.0
0
-0.5
-1,000
25,000
-2,000
-1.0
-3,000
-1.5
-4,000
20,000
00
01
02
03
-5,000
04
-2.0
00
01
02
03
04
00
01
02
03
Net Sales
Operating Earnings (Loss)
Diluted Earnings (Loss)
dollars in millions
dollars in millions
dollars per common share
4
04
Manufacturing Facilities 2004
Flensburg, Germany
Berlin, Germany
Swindon, England
Munich, Germany
Angers, France
Northbrook, Illinois, U.S.
Schaumburg, Illinois, U.S.
Elma, New York, U.S.
Tianjin, China (2)
Chandler, Arizona, U.S.
Tempe, Arizona, U.S.
Fort Worth, Texas, U.S.
Nogales, Mexico
Seguin, Texas, U.S.
Sonora, Mexico
Seoul, Korea
Arad, Israel
Plantation, Florida, U.S.
Taipei, Taiwan
Penang, Malaysia
Ang Mo Kio, Singapore
Jaguariúna, Brazil
Motorola operates 320 facilities in 73 countries
Motorola, a Fortune 50 communications
leader, provides seamless mobility products
and solutions across broadband, embedded
systems and wireless networks.
Employees by Region
as of December 2004
North America
Asia-Pacific
Europe, Middle East
and Africa
Latin America
45%
29%
17%
9%
2005 Business Units
Connected Home Solutions
Mobile Devices
Provides a scalable, integrated end-to-end
system for the delivery of broadband
services that keeps consumers informed,
entertained and connected. This technology
enables network operators and retailers to
create and execute on new business
opportunities by providing innovative
products and services to the home.
Offers market-changing icons of personal
technology – transforming the device
formerly known as the cell phone into a
universal remote control for life. A leader
in multi-mode, multi-band communications
products and technologies, Mobile Devices
designs, manufactures, sells and services
wireless subscriber and server equipment
for cellular systems, portable energy
storage products and systems, servers
and software solutions and related
software and accessory products.
Government & Enterprise
Mobility Solutions
Provides integrated radio communications
and information solutions, with more than
65 years of experience in meeting the
mission-critical requirements of public
safety, government and enterprise
customers worldwide. This business unit
designs, manufactures and sells automotive
and industrial electronics systems and
telematics systems that enable automated
roadside assistance, navigation and
advanced safety features for automobiles.
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Networks
Delivers cellular, wireless broadband
and wireline access technologies, with
recognized leadership in integrating
core networks through wireless IP,
wireless softswitch and IP multimedia
subsystems. This business is advancing
seamless mobility with innovative
technology solutions and an expanded
portfolio delivering support, integration,
applications and management.
Motorola, Inc.
Q. What is your assessment of 2004,
your first year as Motorola’s CEO?
CEO Ed Zander
on Corporate Citizenship
EZ. It’s been a truly great year. Through the
innovation and hard work of our employees,
Motorola launched some fabulous products
like our iconic RAZR mobile phone. We
increased sales by 35 percent and
dramatically improved shareholder value.
We sharpened our focus, improved operating
efficiency and aligned the organization with
our vision of “seamless mobility” to give us
flexibility and the speed to capitalize on
new opportunities.
The year was full of dramatic news stories,
too, including hurricanes, earthquakes,
the tsunami and other heartbreaking
tragedies. I was moved by how personal
all the stories became. Motorola has
employees, customers and suppliers all
over the world. Almost every story had
some impact on us and brought home more
than ever how connected we all are. Our
employees’ response to these tragedies –
time, equipment, money – really
demonstrated the commitment and
compassion they share.
Q. Is there a relationship
between “seamless
mobility” and “global
corporate citizenship”?
EZ. Absolutely. Our vision of “seamless
mobility” will empower the individual and
help better the world. For example, our
wireless Canopy™ product delivers voice
and data communication at a very low cost
in rural and urban environments. It is being
deployed in many developed and emerging
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countries to improve education, health
services, commerce and safety. We are
introducing a very low cost mobile phone
for developing countries so that millions of
lower-income people can create business
opportunities and live better through
Motorola technology. Seamless mobility will
help make people’s need for communication
and information cheaper, more integrated,
more fun and more accessible throughout
the world.
Q. Is corporate citizenship
important to you as you
lead Motorola?
EZ. Large global companies like Motorola
have a big impact on society in many ways
including the environment, human rights
and business conduct. My goal is to
continue and strengthen Motorola’s legacy
of positive contributions. We have
established nine business principles to guide
our activities, including our products and
services and how we deal with employees,
suppliers and our communities.
I believe that a company’s values say as
much about its worth as its balance sheet.
Environmental responsibility, supporting our
communities, a strict code of ethics and
business conduct, encouraging these
values in our supply chain and exceeding
our customers’ expectations all make us
a stronger and more competitive company.
By delivering on our corporate citizenship
business principles, I believe we create
wealth for our employees, shareholders,
customers and society in general.
Edward J. Zander (right), Motorola chairman and CEO,
accepted the U.S. government’s 2004 Award for Corporate
Excellence from Secretary of State Colin Powell
Q. What do you consider
Motorola’s most pressing
citizenship issues?
EZ. First, we must strengthen diversity and
inclusiveness. Broader diversity builds our
talent pool and incubates great ideas. We
recently established a goal to substantially
increase the number of minority and women
executives over the next two years. We also
want to expand our minority and women in
our technical ranks.
Second, we must share our values and
expectations with our supply chain. To stay
competitive, we increasingly partner with
suppliers from many parts of the world.
We must continue to ensure they fully
understand our expectations toward the
environment and their workers. We have
established objectives for our suppliers
and work to ensure compliance. With a
supply chain as big as ours, this is a very
challenging task.
Third, products we create are found all over the world and function for many years.
We want those products to have minimal impact on the environment. So, we take our
product stewardship responsibilities very seriously. Whether designing a new device
to be environmentally friendly or determining the most effective strategy for end-of-life
management, we want to continue to drive new ideas. For example, people throughout
Motorola are implementing programs to meet the new product environmental laws being
implemented across Europe and several other nations.
Q. Motorola received the 2004 Award for Corporate
Excellence from the U.S. Department of State for the
company’s citizenship activities in Brazil. What’s the
significance of this award?
EZ. Motorola Brazil exemplifies our belief in the importance of engaging in our communities
through volunteering, recycling and time and money investments. It was great to have the
Brazil team’s work singled out by such an important government body. Our Malaysia team
was honored with the same award in 2000, making Motorola the only company to have
received the award twice.
7
Motorola, Inc.
Products That Benefit Society
From the very first car radios we made back in 1930, Motorola
has conceived, designed and produced products that make life
better. Innovation is in the very DNA of our company. New
products and solutions constantly emerge as we leverage the
promise of seamless mobility and connect people to each other
and the world.
Bridging the Digital Divide
Our breakthrough Canopy™ product delivers high-speed,
low-cost Internet access in geographic areas where
cable modem and DSL services are not available or
deployment is too costly – improving education, health
services, commerce and safety in developing countries.
In South Africa, for example, the Ulwazi project relies on
the Motorola Canopy system to create an interactive virtual
classroom – using electronic whiteboards, webcams and
microphones – for several schools, miles apart.
Our Canopy product provides cost-effective
Internet access in urban and rural areas
Wireless phones
Make home a safe haven
Not just a convenience, a mobile phone
vitally connects the unconnected in poor
areas of the world, reducing transaction
costs, broadening trade networks and
reducing the need to travel. Motorola has
been chosen to provide low-cost handsets
for the Global Mobile Suppliers Association’s
Emerging Market Handset program that
attempts to bridge the digital divide in
countries such as India, Philippines,
Indonesia and Turkey.
The Motorola homesight™ monitoring
and control system is a wireless solution
consisting of cameras, environmental
sensors, and lighting/appliance controls
that work together to provide real-time
information about what is happening in your
home. Consumers can extend the
functionality of the system by adding extra
devices. For example, by connecting a
wireless door sensor, working parents can
set up an email notification to let them know
when the kids open the front door after
arriving home from school. Environmental
sensors can be configured to alert a mobile
device about a water leak or extreme
temperature–before the basement is
flooded or the pipes freeze.
See me, hear me
The Motorola Ojo™ Personal Video
Phone makes it easy to share special
moments and feel close to people important
to you, even when you can’t physically
be together. The phone sends face-to-face
conversations – complete with full-motion
video and synchronized audio – over any
high-speed Internet connection, keeping
friends, family, co-workers and more
seamlessly connected.
8
For the good guys
Motorola’s Digital Justice Solution™
provides mid-sized police and fire
departments and emergency responders
with the ability to collect, manage, share
and effectively use critical information.
This solution includes computer-aided
dispatch software that automates 9 -1-1
emergency call taking and dispatching
functions, a records management
system so law enforcement agencies
can effectively record, index and track
criminal and non-criminal incidents,
mobile applications for field personnel to
communicate wirelessly and Omnitrak ®,
the automated fingerprint identification
technology that helps solve crimes and
identify individuals quickly and accurately.
Motorola Teams With CARE
Motorola has committed to provide CARE with more than
a million dollars of life-saving technology in Asia, Latin
America and Africa. CARE is a leading humanitarian
organization fighting root causes of poverty. CARE helps
the world’s poorest communities get the tools, knowledge
and other resources they need to solve problems and
change their lives for good. Last year, CARE’s povertyfighting projects reached more than 45 million people in
70 countries.
Bangladesh
CARE staff in the Kurigram district now use
Motorola portable radios, base stations,
repeaters, accessories and other equipment
to avert disaster during the monsoon
season. Staff members, communities and
evacuation crews receive information and
mobilize quickly to save lives and reduce
the impact of floods, which annually affect
480 villages and almost 282,000 people.
The sensory experience
A new line of automotive sensors,
including tire pressure, inertial and highpressure sensors, reflects an ongoing
sensor portfolio development. Motorola’s
new tire pressure sensor surpasses the
governmental safety standards (NHTSA’s
FMVSS 138) for driver warning systems
when tire inflation becomes significantly
low. Incorporating such sensors into tires
improves both fuel efficiency and tire life.
Motorola also introduced an inertial sensor
module, which measures a vehicle’s
directional motion and acceleration using
silicon micro-machined gyroscopes and
accelerometers. This product family helps
correct over- and under-steering, potential
rollovers, and is used in active cruisecontrol and steer-by-wire applications.
Wireless access for all
Motorola makes a difference in people’s
lives by opening up the world of
telecommunications. We’ve accomplished
this through a commitment to providing
quality products and services to all of our
customers – including mature customers
and those with disabilities. We create new
products that meet the needs of the widest
range of users while making our products
easy to use and fun for everyone. Take a
look at the hearing-, visual- and mobilityneeds solutions available in our products at
www.motorola.com/consumer/accessibility.
Democratic Republic of Congo
Bangladesh
CARE uses Motorola equipment to prepare
for and respond to natural disasters
Peru
The Peruvian highland town of Puno has
the country’s highest maternal mortality
rate, and farmers in this remote area face
a distinct disadvantage when trying to
compete in the regional markets. With new
communication equipment donated by
Motorola, pregnant women and mothers
are able to call for an ambulance, reach a
doctor, nurse or CARE worker, and have
medicine delivered. Some 2,000 farmers
can obtain market prices and plan ahead to
meet demand and maximize profits.
9
CARE is helping the Democratic Republic
of Congo protect the world’s second
largest contiguous tropical rainforest and its
endangered wildlife. Using Motorola
technology in the remote Maringa/LoporiWamba area, CARE field staff and local
partners can more effectively and safely
implement conservation projects.
Motorola, Inc.
Getting our Arms
Around the Supply Chain
Motorola relies on suppliers around the world to provide
services and products. We expect that everyone in
every link of the supply chain will behave ethically and
be treated ethically. We expect our suppliers to conduct
business in compliance with law and widely accepted
standards of fairness and human decency.
During 2004, we integrated a review of
our suppliers’ global corporate citizenship
(GCC) practices into the Motorola supplier
capability mapping process. Now, before
beginning a business relationship with a
supplier, we evaluate its GCC performance
along with other critical business performance
measures. In 2005, we plan to implement
a supplier self-assessment and risk
identification process to help us identify
and monitor potentially high-risk suppliers.
We actively participate in several larger
collaborative corporate social responsibility
(CSR) initiatives. For example, we
participated with the Frank Hawkins Kenan
Institute of Private Enterprise, Washington
Center, in a working group of leaders from
business, civil society and labor, as well as
U.S. government officials. The participants
discussed how the U.S. government could
help companies employ voluntary CSR
initiatives to promote human rights as well
as environmental best practices in China.
Business Conduct
Expectations for Suppliers
Compliance
Child labor
Suppliers will maintain compliance systems
and be able to demonstrate a satisfactory
record of compliance with law in the
conduct of its business, including
requirements in the following areas: anticorruption; unfair business practices; antidiscrimination; humane treatment of
workers; working hours and wages; safety
and health; and environmental sustainability.
Suppliers will ensure that their hiring
practices are in conformance with
International Labor Organization (ILO)
Conventions for minimum age (C138)
and child labor (C182). Suppliers are
encouraged to develop lawful workplace
apprenticeship programs for the
educational benefit of their workers,
provided that all participants meet the
minimum age requirements.
Anti-corruption
Additionally, we are working on global
supply chain issues with a broad consortium
of telecommunications service providers,
manufacturers and other electronics
companies and the United Nations
Environment Program through the Global
e-Sustainability Initiative (GeSI). This coalition
is working to develop and implement a
common approach to integrating CSR
issues effectively into the supply chain,
promoting good supplier conduct and
helping them improve CSR performance
through the development/improvement of
tools and the implementation of processes
and systems.
10
Suppliers will conduct their business
without engaging in corrupt practices,
including public or private bribery or
kickbacks. Suppliers will maintain integrity,
transparency and accuracy in corporate
record keeping.
Freedom of association
Unfair business practices
While it is understood that overtime is
often required, suppliers will manage
operations in ways that overtime does not
exceed levels that create inhumane
working conditions. Where there are no
applicable laws, suppliers will not require,
on a regularly scheduled basis, work in
excess of six consecutive days without a
rest day. Workers are to be paid at least
the minimum legal wage and, where no
wage law exists, the local industry
standard.
Suppliers will act with integrity and
lawfully in the proper handling of
competitive data, proprietary information
and other intellectual property; and
comply with legal requirements regarding
fair competition and antitrust, and
accurate and truthful marketing.
Anti-discrimination
Suppliers will employ workers on the basis
of their ability to do the job, not on the basis
of their personal characteristics or beliefs.
Forced labor
Suppliers will not use forced, prison or
indentured labor, including debt bondage.
If a supplier recruits foreign contract
workers, the supplier will pay agency
recruitment commissions and not require
any worker to remain in employment for
any period of time against his or her will.
Suppliers will allow their workers the
right to join, or to refrain from joining,
associations of their own choosing,
unless otherwise prohibited by law.
Working hours and wages
Safe and healthy working conditions
Suppliers will operate a safe and healthy
work environment, including housing or
eating facilities.
Supply chain awards
China
Named best corporate citizen by the
21st Century Business Herald for
outstanding achievement in building
a strong supply chain
Taiwan
Received three International
Purchase Office awards for
contribution to the local supply chain
Florida, U.S.
Governor’s Florida Sterling Award
presented to Motorola iDEN
Subscriber Supply Chain Operations
Environmental sustainability
Suppliers of goods will have an
EMS in accordance with ISO 14001
or equivalent. The EMS must be
implemented and functioning.
Third-party registration is strongly
recommended but not required.
Motorola encourages our suppliers
to provide us with environmentally
preferred products. Specifically,
we encourage them to create
products that are energy efficient,
highly recyclable and contain
significant amounts of recycled
materials and low amounts of
hazardous materials. To enable us
to evaluate supplier components
and products for environmental
performance, suppliers must provide
Material Disclosure outlined in our
Controlled and Reportable Materials
Disclosure Process.
It is Motorola’s policy to eliminate
from Motorola products, any
components, including components
provided by our suppliers, that
contain or are manufactured
with a process that uses any
Class I ozone-depleting substance.
Supplier Diversity
In 2004, minority-, women- and veteran-owned
businesses received more than $500 million in
tier-1 and tier-2 purchases and diversity channel
revenue from Motorola. Motorola’s Supplier
Diversity Group assists diversity-owned businesses
in identifying procurement opportunities within
the Motorola supply chain.
Other Motorola supplier diversity
milestones include:
• Recognized
as “Corporate Support of
the Year” by the Women’s Business
Development Center, an organization
for women-owned businesses in the
U.S. Midwestern states
• Recognized
as “Corporation of the Year”
by the Women’s Business Enterprise
Council-West, an organization for
women-owned businesses in the U.S.
Western states
special outreach to diversity
businesses with Six Sigma training
to help drive process improvements
in their businesses that can deliver
bottom-line results
• Initiated
• Used
650 diversity suppliers in U.S.
procurement opportunities in 2004
and spent $1 million or more with 53
diversity suppliers
• Initiated
two formal mentor-protégé
agreements with small disadvantaged
businesses to provide developmental
assistance
• More
than 50 major non-diversity
suppliers participated in reporting their
own diversity supplier spending through
Motorola’s tier-2 diversity program
www.motorola.com/supplierdiversity
• Motorola
vice presidents served on
the board of directors of the National
Minority Supplier Development Council
and the Women’s Business Enterprise
National Council
• Became
a founding corporate partner of
the National Gay Lesbian Chamber of
Commerce’s Diversity Development and
Procurement Program
• Became
a corporate member of
the U.S. Pan Asian American Chamber
of Commerce
11
Flensburg, Germany
At the Kappelner Werkstaetten, a non-profit
workshop providing training and employment for
mentally and physically challenged persons,
Motorola awarded contracts for reusable packaging
and other services
Motorola, Inc.
Governance
Our charge is simple: Do the right thing.
Our Key Beliefs
Uncompromising integrity means staying true to what
we believe, without compromise, even when circumstances
make it difficult. Constant respect for people means
we treat everyone with dignity, as we would like to be
treated ourselves.
In the wake of corporate scandals and increased demands
from shareholders and regulators, many publicly traded
companies have scrambled to create or dramatically revamp
their ethics and compliance programs. In 2004, an extensive
review of best practices confirmed for us that the program
we launched in the 1970s and have improved through the
years is still appropriate. It has been benchmarked by many
other companies as a best practice itself.
Code of Business Conduct
Everyone at Motorola takes personal responsibility for abiding by the Code of Business
Conduct and the laws that apply to our work. In 2004, we made only minor updates to the
Code, formalizing some standards that had not been expressly stated. For example, we made
it clear that employees are required to cooperate with investigations and audits.
www.motorola.com/code
Living the Code
Over the last two years, 3,700 senior managers participated in full-day interactive
workshops on business ethics, held around the world. This commitment shows Motorola’s
determination to “do the right thing.”
Employees, customers, suppliers and others use our EthicsLine and Audit Committee Line
to raise issues and report concerns. In 2004, these helplines received 721 contacts – with
more than 150 coming from outside Motorola. Continuously improving responsiveness
encourages additional feedback and many reports help us mitigate disputes and eliminate
wrong-doing quickly, saving the company millions of dollars.
12
Responses Mean
Involvement
Business Conduct
Champions
Feedback from all stakeholders is
integral to an effective ethics and
compliance program. Motorola’s
EthicsLine and Audit Committee Line
give responses to varied questions and
concerns, while providing a confidential
intake method for matters that need to
be investigated. Use has climbed
despite reduced employee numbers.
In 2004, Motorola chose 24 employees
from around the company to serve as
Business Conduct Champions. Working in
local time zones, languages and businesses,
these high-performing individuals serve as
resources for employees with questions
and concerns and as the eyes and ears for
the ethics and compliance programs.
Stakeholder Relationships
Transparency and trust enable Motorola
to build solid relationships.
Communities
We are a responsible citizen in the
communities where we do business.
We interact regularly with our neighbors
on our environmental, health and safety
efforts, and we provide financial and
voluntary support to community programs.
Customers
We recognize that none of these efforts
will mean much if our culture and tone at
the top do not reinforce the right message.
We believe they do. In meetings with
employees, CEO Ed Zander clearly projects
his standard to “Do the right thing. Every
day. No excuses.”
Calls logged to the EthicsLine
and Audit Committee Line
1000
We build long-term relationships with
our customer-partnerships based on
trust and integrity. We work closely
with customers to develop and test
new products and ensure satisfaction
through surveys and ongoing dialogue.
Employees
800
Motorola Board of Directors
600
400
200
0
96
97
98
99
00
Motorola’s EthicsLine
800.538.4427 U.S. toll-free
+1.602.808.4427 Outside U.S.
Audit Committee Line
866.724.1500 U.S. toll-free
+1.602.957.5491 Outside U.S.
01
02
03
04
The board of directors adheres to
governance principles designed to ensure
continued vitality of the board and
excellence in executing its duties. Highly
diversified, the board includes active and
former chief executive officers and chief
financial officers of major corporations and
individuals with experience in high-tech
fields, government and academia. Board
members must be loyal to the shareholders
and informed on matters pertaining to the
short-term and long-term performance of
the company, especially in the areas of
strategy, leadership and financial health.
Directors are therefore involved in the
positive and negative issues facing Motorola,
its industries and markets so they can
exercise their fiduciary responsibilities. In
addition to regular ethics and compliance
briefings to the Audit Committee, during
2004 the entire board had a focused
session on new legal requirements, how
Motorola is addressing issues and what
our Code requires.
13
We foster an open-door policy and
ensure clear and constant two-way
communication through employee
surveys; regular group, team and division
meetings; and our company intranet.
Government officials
We maintain an ongoing dialogue
with legislators, regulators and others
involved with policy leadership.
Investors
We value our investors and keep
them informed and aware of our
financial performance as well as
our global citizenship performance.
Non-governmental organizations
We value input and participate
actively in meetings, conferences
and forums on policy issues.
Suppliers
We require suppliers to comply with
our global citizenship expectations, and
we monitor their performance.
Motorola, Inc.
Jaguariúna, Brazil
A Motorola wastewater treatment plant
processes sludge to fertilize the orange orchards
Environment Health and Safety (EHS)
Top 10 ways our operations
may affect the environment
EHS Management Systems
All our manufacturing sites are registered to the globally recognized environmental
management system standard, ISO 14001, through Lloyd’s Register Quality Assurance.
A committee of senior executives and a team of senior EHS managers provide oversight
of our EHS management system. Globally, our EHS professionals develop and implement
site-specific programs to comply with EHS management system requirements. Corporate
policies, procedures, checklists and internal websites support their efforts.
Solid waste
Energy consumption
Hazardous waste
Chemical use and storage
Air emissions
Water effluent and releases
Water consumption
Raw materials usage
Potential contamination to land
Product/packaging design
EHS Audit Program
Since 1993, the corporate EHS audit program has provided independent assessments of
conformance to our global EHS requirements. The audit program provides routine
assessments for all manufacturing sites, follow-up on corrective actions and periodic
management reviews with our board of directors. Audit teams of trained EHS professionals
are independent of the organizations being reviewed. Because our operations use natural
resources and have potential impact on air, water and land, we conduct environmental
aspect and impact assessments in accordance with ISO 14001.
14
Cultivating the Earth’s Garden
by Actively Managing Resources
EHS Vision
EHS Policy
EHS Long-Term Objectives
To be a globally recognized benchmark
for environmental, health and safety
performance in our industry and for
integrating EHS and business performance
Motorola is committed to conducting
business in a manner consistent with our
Corporate Citizenship Business Principles
and Code of Business Conduct, providing
world-class environmental, health and
safety (EHS) performance for our
customers, employees and other
stakeholders. Motorola will operate our
facilities in an environmentally acceptable
manner with continuous improvement in
our processes, EHS management system
and the prevention of pollution. We will
strive to offer products and services that
consider environmental and safety impacts
throughout their life cycles. We will work
with our employees to maintain a healthy
and safe workplace.
Product stewardship
To achieve this globally, we will:
Green energy
• Meet
Use energy in highly efficient ways
at sites and use renewable energy
where practical
CEO EHS Award
Motorola presents the CEO Environmental,
Health and Safety Award to employees or
teams for significant contributions within
the company, community, nation or world.
The award recognizes EHS excellence and
achievement beyond compliance and with
a sustained performance over time.
2004 Recipients
Motorola’s Inbound Discrepancy Report
Team – for exceptional leadership and
EHS/supply chain teaming to develop
the inbound discrepancy tracking and
corrective action system, resulting in
improved safety and environmental
performance and enhanced profitability
Motorola’s Schaumburg Packaging
Improvement Team – for exceptional
leadership in developing and implementing
a packaging solution that improved
environmental performance, exceeded
customer expectations and enhanced
profitability
or exceed all applicable
environmental, health and safety legal
and other requirements to which we
subscribe in the countries where we
do business
• Establish
sound EHS objectives and
targets and report to stakeholders on
our performance
• Strive
to design our products for
sustainable use of the earth’s resources,
considering waste, energy, material
content, packaging, upgradeability, reuse
and recycle
• Expect
suppliers to operate consistently
with our EHS policy
• Partner
with customers to assist them
in improving their EHS performance
• Evaluate
performance by monitoring
results through effective management
reviews and global assurance processes
• Report
progress and key issues to the
board of directors
Design all products for the environment
and safety
Zero waste
Reuse or recycle all waste materials
Benign emissions
Eliminate from plants all emissions
that adversely impact the environment
Closed loop
Fully integrate products and processes
in the recycling loop to conserve natural
resources
Zero occupational injuries
and illnesses
Create a workplace free of occupational
injuries and illnesses
EHS 2010 Goals
• Reduce
volatile organic material
emissions by 60% from 2000 levels
• Achieve
continuous improvement in
greenhouse gas emissions
• Reduce
hazardous waste by 50% from
2000 levels
• Reduce
non-hazardous waste by 25%
from 2000 levels
• Recycle
75% and recover 85% of
non-hazardous waste
• Reduce
• Reduce
energy use by 25% from 2000
levels
• Achieve
continuous improvement in
recordable injury and illness case rate
• Achieve
zero EHS-related fines and
continuous improvement in the number
of citations
Tianjin, China
Motorolans joined in tree planting event
15
water use by 25% from 2000
levels
Motorola, Inc.
Environment Health and Safety
(EHS) 2004 Performance
Goal
12
Goal
0.20
0.025
10
0.020
0.15
8
0.015
6
0.10
0.010
4
0.05
0.005
2
0
00
01
02
03
04
0.000
10
00
01
02
03
Global Volatile Organic
Material Emissions
Global Greenhouse
Gas Emissions
metric tons per billion sales dollars
million metric tons CO2 equivalent
per billion sales dollars
0.00
04
01
02
03
04
10
Global Hazardous Waste
thousands of metric tons
per billion sales dollars
Goal
Goal
2.0
00
Goal
100
1.0
80
0.8
60
0.6
40
0.4
20
0.2
1.5
1.0
0.5
0.0
00
01
02
03
04
Global Non-Hazardous Waste
thousands of metric tons
per billion sales dollars
10
0
00
01
02
03
Global Recycled
Non-Hazardous Waste
percent recycled
04
10
0.0
00
01
02
03
Global Water Usage
million cubic meters
per billion sales dollars
04
10
We achieved our EHS 2010 goals (listed on page 15), except for the goal to reduce
non-hazardous waste by 25 percent. These results were achieved due to various
pollution-prevention efforts – additional abatement equipment, creative efforts to
conserve water and energy, improved health and safety programs – and the
spin-off of our semiconductor operations into Freescale Semiconductor in 2004.
Freescale will report separately on its results and progress. Our non-hazardous waste
increased primarily due to a major parking lot renovation project in Schaumburg,
Illinois, U.S. and those materials were recycled.
Category
2004
Units
Absolute
2000
Normalized
2004
% Reduction
Normalized
On Goal?
Normalized
Units
Volatile organic
material emissions
44.1
Metric tons
10.3
1.41
86%
Yes
Metric tons per
billion sales dollars
Greenhouse
gas emissions
dollars
0.1959
Million metric
tons CO2 equivalent
0.0205
0.0063
69%
Yes
Million metric tons CO2
equivalent per billion sales
dollars
Hazardous waste
889
Metric tons
0.19
0.03
84%
Yes
Thousands of metric tons
per billion sales dollars
Non-hazardous waste
57,368
Metric tons
1.61
1.83
—
No
Thousands of metric tons
per billion sales dollars
Non-hazardous waste
recycled
84%
Percent recycled
53%
84%
—
Yes
Percent recycled
Water use
3.57
Millions of cubic meters
0.65
0.11
82%
Yes
Millions of cubic meters
per billion sales dollars
Electricity
and natural gas use
0.8
Billions of
kilowatt-hours
0.10
0.03
69%
Yes
Billions of kilowatt-hours
per billion sales dollars
Recordable injury
and illness case rate
0.44
Recordable injuries and
illnesses per 100 employees
1.28
0.44
66%
Yes
Recordable injuries
and illnesses per 100
employees
Goal
U.S. TRI Releases
U.S. Manufacturing Average
U.S. Sales
U.S. Radio and Wireless
Communications Equipment
Average
Motorola Rate
20
0.15
0.12
0.10
0.12
15
12
15
0.08
0.09
9
10
0.06
0.06
6
0.04
5
0.03
3
0.02
0.00
00
01
02
03
04
10
0.00
00
01
02
03
0
0
00
01
02
03
04
Global Electricity/
Natural Gas Usage
U.S. Toxic Release Inventory (TRI)
Releases vs. U.S. Sales
Global Recordable Injury
and Illness Case Rate
billions of kilowatt-hours
per billion sales dollars
left scale: millions of pounds
right scale: billions of dollars
recordable injuries and illnesses per
100 employees
Preserving and protecting the
environment for today’s society
and generations to come
Global Climate Change
Ozone-depleting substances
We eliminate from Motorola products any
components, including those provided by our
suppliers that contain or are manufactured
with a process that uses any Class I ozonedepleting substance.
We recognize that human actions may be
influencing global climate change and have
had initiatives to address this for several
years. In 1999, we established an aggressive
goal to reduce our emissions of PFCs
(perfluorocarbons) – the largest source of
greenhouse gases – by 50 percent
worldwide by 2010. Motorola achieved the
goal in 2003, well ahead of schedule. Also,
we are a founding member of the Chicago
Climate Exchange, an innovative voluntary
initiative to reduce emissions. To be
transparent about our actions, we
participate in the Carbon Disclosure Project.
Illegal coltan mining
Tantalum powder derived from coltan
is used to produce materials found in a wide
range of electronic devices, including mobile
phones. When Motorola first became aware
of the devastation that illegal coltan mining
was causing to wildlife in the Democratic
Republic of Congo in 2001, we took swift and
effective steps to cease the use of materials
containing tantalum, the coltan derivative,
which could be traced to illegal mining there.
Motorola has significantly reduced the
use of tantalum over the last several
years. We do not buy tantalum directly
but purchase materials containing tantalum
derived from legally mined coltan from
companies in Japan, Korea and the U.S.
We regularly require all of our suppliers,
both existing and new, to verify in writing
that materials sold to Motorola do not
contain tantalum derived from illegally
mined Congolese coltan.
Remediation
Motorola has been in business for more
than 76 years and has had numerous
manufacturing facilities around the world.
Because of the age of some of our
operations, Motorola is involved in
environmental cleanups at 10 current and
former manufacturing facilities. We have
completed remediation at six of these
sites. The need for environmental cleanups
at these sites resulted from activities that
were legal and in compliance with the
industrial standards of the time. However,
as soon as any environmental impact was
identified, Motorola and other identified
responsible parties took the appropriate
actions to address the issues.
The U.S. Environmental Protection Agency
implemented the Superfund Program to
oversee environmental cleanups. Motorola is
involved in Superfund Program cleanup
operations at non-Motorola sites to which
our waste was sent for disposal in the past.
The Superfund Law creates retroactive
liability for past actions even if they may
have been legally and technically acceptable
at the time.
18
Motorola pays our fair share to clean up any
environmental impacts to which we may
have contributed. We currently have $16.5
million reserved for any environmental
liabilities. This reflects a more than 75
percent reduction compared with 2003 due
to the spin-off of Freescale Semiconductor
and ongoing implementation of remedies.
Motorola utilizes the best technology to
ensure that remediations are conducted
effectively, efficiently and quickly. We work
with many recognized institutions to develop
and evaluate new remediation technologies.
Protecting Our Future
In an ongoing effort to prevent future
impacts to the environment, in 1993
Motorola implemented a leading set of
environmental standards and improved an
aggressive program to periodically review
all off-site disposal facilities. To ensure
that Motorola fully understands any
environmental risks at sites we plan to
acquire, divest or lease, we perform an
intensive due-diligence investigation to
evaluate potential environmental risks.
In several countries, Motorola has worked
with governments to address environmental
issues on sites we were interested in
acquiring, remediating problems even
though others had caused them.
Motorola is an industry leader in our concern
for the environment and will continue to
pursue technology and systems that make
our efforts an environmental benchmark.
Schaumburg, Illinois, U.S.
Wildflowers bloom again at Motorola’s headquarters where we converted approximately
five acres of lawn turf to native prairie to support the Village of Schaumburg’s biodiversity plan
Our goal: to achieve zero EHS-related fines and continuous
improvement in the number of citations.
Our Compliance History
2004
2003
2002
2001
2000
1999
1998
Environmental non-compliances*
0
5
1
1
1
4
12
Safety non-compliances*
1
0
5
0
3
0
2
$0
$0
$0
Fines or penalties
$1,000
$1,375
*Non-compliances include notices of violation, citations, administrative orders and notices of non-compliance
2004 EHS Compliance Record
Location
Seguin, Texas, U.S.
Agency
U.S. Occupational Safety & Health Administration
Description
Received an “Other Than Serious” citation for using a
process-specific air nozzle (in excess of 30 pounds per
square inch) in a cleaning operation.
Corrective action
The process-specific air nozzle was modified so it no
longer can be used in cleaning operations. All air
nozzles in the facility were inspected to ensure they
are used appropriately.
Fine
None
19
Motorola, Inc.
$0
$40,700
Basingstoke, England
Preserved ancient woodlands
by clearing visitor access to Chineham
Woods Natural Reserve.
Swindon, England
Motorolans know the connection between a healthy
environment and a healthy life. Whether improving life in the
city or helping nature in the wild, we take action.
The World We Share
Built a walkway at the Jones Mill
Nature Reserve.
Puerto Rico
Cleaned up land and planted garden for
the Colegio de Educación Especial y
Rehabilitación Integrada.
Chandler, Arizona, U.S.
Jaguariúna, Brazil
Bio-solids treatment at Motorola facility
Elgin & Schaumburg, Illinois, U.S.
Participated in quarterly clean-ups for
Adopt-a-Highway program. Schaumburg
team collected nearly one ton of trash.
Plantation, Florida, U.S.
Fifty interns stripped invasive
non-native vines in Broward County’s
Tree Tops Park.
Israel
Collected nearly 5,000 liters of used
cooking oil from Motorola kitchens in
Tel-Aviv and Arad for recycling. Collected
100 tons of paper, two tons of used
batteries and more than 1,000 toner
cartridges for recycling.
Boynton Beach, Florida, U.S.
Removed trash and an abandoned irrigation
system from the 576-acre Juno Dunes, a
scrub habitat home to more than 600 plant
and animal species, including the
threatened Scrub Jay and the Atlantic
Loggerhead Sea Turtle. Helped plant 5,000
red mangroves on John’s Island, an
Audubon-managed natural habitat.
20
Hosted a U.S. Environmental Protection
Agency (EPA) National Environmental
Performance Track (NEPT) seminar with
regional and federal EPA officials and
attendees from local businesses and
municipalities. Mentored General
Dynamics and Intel for the NEPT program.
Mentored IBM and TRW for the OSHA
Voluntary Protection Program (VPP) with
Motorola support formally recognized
when TRW was named a STAR VPP facility.
Flensburg, Germany
Reduced hazardous waste generation
from 32 metric tons to six metric tons
over the past five years and 30% or 2.5
metric tons in 2004. Savings achieved
through more efficient board cleaning
processes, reduction in ultrasonic
cleaning bath solution, use of soldering
paste cartridges and reusable cloth
wipes and more restrictive approval of
hazardous material usage.
U.S.
Gathered more than 8,000 cell phones
and accessories from employees – roughly
5,000 pounds – for recycling.
John’s Island, Florida
Motorola volunteers helped plant 5,000 mangrove
trees on this newly created wetland area
Recycling for Real Results
The North American Customer Fulfillment Center in Texas recycled 80%
of all waste produced, including 1,328 tons of cardboard and 445 tons
of pallets, diverting 2,067 tons of waste from landfills. Compared to 2003,
the Center achieved 35% reduction of water usage (3,303,000 gallons),
93% reduction of natural gas and 12% reduction of electricity usage.
The results:
22,581
37,193,240 BTU
Trees saved
Electric energy savings
670,806 gallons
3,985 cubic yards
Oil/fuel savings
Landfill space saved
21
Motorola, Inc.
A Healthy Regard
for Safety
Wireless communication is so much a part of our lives
that it’s hard to remember a time when we didn’t rely on it.
Dramatic growth in the use of wireless phones and other
portable radio products generates occasional questions
about safety. Motorola devotes significant effort to address
these issues.
Wireless Phones and Health
Research on radio waves and health dates
back more than 60 years, and knowledge in
this area continues to grow. New findings
are released regularly, presented at
scientific meetings and published in
scientific journals. Sometimes, media
accounts make these findings seem
confusing or contradictory, causing people
to wonder what to believe about wireless
communications and health.
Mobile phones and other portable radio
products are designed, built and tested
to assure they operate within recognized
science-based limits for safe exposure
to radio waves. These limits are expressed
in a value known as specific absorption
rate (SAR).
Motorola conducts laboratory measurements
to assure that the SARs produced by its
products are within required limits, which
contain substantial margins of protection for
users and the public.
www.motorola.com/rfhealth
Responsible driving starts early
To educate novice drivers about distracted
driving, Motorola has created Cruise Control,
an interactive site delivering responsible
driving information in a fun and playful way.
A downloadable brochure aimed at parents of
teens addresses the same issues and offers
best practices.
What About Children?
The exposure limits described above are
based on independent reviews of a large
scientific knowledge base accumulated
over many years. In establishing these
limits, standard-setting organizations
incorporate “safety factors” to take into
account the well-being of all members of
the population, including children.
22
The use of wireless communications
products by young people remains a matter
open for parental choice. Many families
value wireless phones for the personal
comfort that comes from being connected.
We believe they can continue to do so with
confidence in the safety of these products.
Responsible Driving
Motorola believes that safe driving is a
driver’s primary responsibility. We address
this responsibility through education,
research and improving technology.
To encourage responsible driving, we
provide consumers with ease-of-use
products such as headset jacks and
speakerphone capability for hands-free
driving, one-touch dialing, automatic answer,
voice dialing, caller ID and integrated proinstall hands-free kits. We also provide
highly integrated communications systems
to certain automobile manufacturers,
integrating the phone into the vehicle’s
audio system.
Motorola helped develop a distracted driver
curriculum for the Network of Employers
for Traffic Safety, has partnered with the
Cellular Telecommunications & Internet
Association on its driver safety campaign
and developed a novice driver program
with the American Automobile Association.
In addition, Motorola launched a website
to help educate teen drivers about the
appropriate use of telecommunications
devices in vehicles. This site can be
reached from our Responsible Driving
website at www.motorola.com/callsmart,
where we provide additional responsible
driving tips and information.
Operating with Sensitivity
Human Rights Policy
Anti-discrimination
We employ people on the basis of
their ability to do the job, and we prohibit
discrimination based on workers’ personal
characteristics or beliefs.
Freely chosen employment
We do not use forced, prison or indentured
labor. We ensure that terms of employment
are voluntary.
No child labor
Our hiring practices conform with
the International Labor Organization
conventions for minimum age and
child labor.
China
Motorola sponsored two-week technology training
for 96 principals and teachers in the Project Hope Schools
Working hours and wages
We do not require our employees to work
more than the maximum hours of daily
labor set by local law. Our employees are
paid at least the minimum legal wage or,
where no wage law exists, the local
industry standard.
Freedom of association
Our employees have the right to join
associations of their own choosing or to
refrain from joining, unless otherwise
prohibited by law.
Safe and healthy working conditions
We provide a safe and healthy work
environment for employees. In cases
where we provide housing or eating
facilities, we operate and maintain them
in a safe and sanitary manner.
No harsh or inhumane treatment
The safety and security of employees at
our facilities is a key priority. We prohibit
the physical abuse and harassment of
employees, as well as the threat of either.
Privacy Practices
Motorola recognizes that most individuals
accessing the Internet are concerned about
privacy and security. We maintain privacy
practices for consumers buying a Motorola
product or browsing our website.
Motorola collects personal information to
facilitate order processing, contact a
consumer if a problem arises with the
order or obtain a credit report if necessary.
Motorola does demographic research to
better understand and serve our users.
This research is compiled and analyzed in
aggregate to prevent identification of
personal information relating to any one
individual. Motorola may share this
aggregated data with our business partners.
www.motorola.com/privacy
We use the information collected through
surveys to help us design and build
better products, to customize the shopping
experience and to provide advice and
purchase recommendations. We also use
information collected to help target the
marketing and advertising of new products
or services we think may be of interest.
23
Motorola, Inc.
Product Stewardship
Motorola wants our products to give our customers more
value with better environmental performance. Throughout
a product’s life cycle, we work to minimize environmental,
health and safety impact by constantly improving design,
supplier management, manufacturing, distribution, sale,
product use and end-of-life management.
An estimated 100 million phones are retired each year in the U.S.
Now kindergarten through 12th grade students can help ensure
these phones are properly recycled while raising funds for their
schools. Motorola’s Race to Recycle program enables schools to
earn approximately $3 per intact phone they collect in their
communities (up to $21,000 per calendar year). Schools can call or
register online to get started. The goal: to collect one million
phones in 2005. Getting young people involved early helps raise
good global citizens.
www.motorola.com/racetorecycle
Taking It All Back
Technology and environment complement each other when a
comprehensive recycling plan is part of innovation. We’ve made
strides in this area. For example, Motorola includes U.S. postagepaid recycling envelopes with many new phones to allow
consumers an easy and convenient recycling option for their
retired cell phones. We accept any phone, not just ours. From
www.motorola.com/racetorecycle anyone can obtain a U.S.
postage-paid mailing label.
Outside the U.S., we’ve initiated takeback and recycling programs
in Brazil and China. And as a participating member of the
Electronics Industries Alliance, Motorola co-sponsors www.eiae.org
to inform consumers about recycling and reuse opportunities for
used electronics.
24
Product design goals
jurisdictions likely will adopt this approach.
Responding to the new requirements,
Motorola business units have developed
environmentally preferred product goals and
a material disclosure specification to aid
product design.
• Design our products to be highly
recyclable
• Reduce the use of hazardous materials
• Reduce energy use by our products
• Increase the use of recycled materials in
our products
Environment-friendly materials
Motorola continues to implement
environmentally preferred materials such
as recycled and bio-based plastic. Motorola
Labs in Europe is exploring use of biobased plastic in mobile phone housings
and other electronic products. One
protype explored: phone housings using
bio-based plastic materials that can be
composted in the garden at the end of life.
• Minimize the ratio of packaging material
to product volume
• Label all plastic parts weighing greater
than four grams to aid further recycling
Rapid Environmental
Assessment Lab (REAL)
Part of Motorola Labs, the REAL
in Taunusstein, Germany, focuses on
friendly materials, product recyclability
and energy conservation. REAL enables
Motorola’s businesses, suppliers and
customers to conduct material analysis
and recyclability studies at the material,
component and product levels.
Recycled content plastic formulated under
the EXL1414 resin type, EXRL0110,
successfully finished a three-tiered
evaluation. Motorola engineers added this
resin to the material roadmap as an
alternate choice for future Motorola parts
that require the material properties of the
EXL1414 resin grade.
Global analytical test method led
by Motorola
The European Restriction of Hazardous
Substances in Electrical and Electronic
Equipment (RoHS) Directive and other
global legislation are driving the electronics
industry to develop methods to test
products analytically. The International
Electrotechnical Commission Advisory
Group on Environmental Aspects
developed a standard to determine the
level of regulated substances in
electrotechnical products. Motorola Labs
leads this standardization work using the
experience of the REAL.
Recent successes
• Eliminated
cadmium, a hazardous
material, from our batteries in wireless
phones while providing a smaller, lighter
battery with longer performance.
• Reduced
the amount of material used in
our wireless phones from 5 kilograms in
1984 to less than 100 grams in recent
models. This is about a 98% reduction
and an enormous savings in the need for
new materials and energy.
• Implemented
European environmental laws
European laws covering waste electronic
equipment take-back, disposal and recovery
(WEEE Directive) and the Restriction of
Hazardous Substances in electronic products
(RoHS Directive) are changing how
electronic products are designed and
managed. China, some U.S. states and other
25
product takeback collection
programs in many places around the world.
Motorola, Inc.
Education
Community
Environment
In 2004, Motorola strengthened its giving program to
better support the company’s and its employees’ extensive
giving history. This year alone, Motorola and the Motorola
Foundation supported thousands of organizations around
the world and donated more than $12 million. And Motorola
employees and their families generously gave time to
organizations in their communities. We now will build on this
rich history with a new program that brings new excitement
and focus to giving at Motorola.
Giving Back
Motorola seeks to become a leader in global corporate
philanthropy through strategic grant making, building strong
community partnerships and engaging all stakeholders in
our mission of improving our communities by fostering a
spirit of innovation and discovery.
Innovation Generation
Community Connections
We support education programs
that inspire students – especially girls
and minorities – to embrace science,
technology, engineering and math
and give them the tools to become
the next generation of innovators.
We give our time and our money to the
communities where we live and work.
One Environment
We promote a wide variety of
environmentally responsible activities,
including proper care of our own
products and materials.
www.motorola.com/giving
26
Reversing a Trend
Facing a declining student enrollment in math,
science and technology programs, South
Africa’s government partnered with Protec to
design a new national technology curriculum
for 2005. With Motorola’s support, Protec will
enable training for 20 teachers who will reach
2,500 students in the first year. Bringing
Motorola’s experience to the nation, company
volunteers advise Protec on skills required for
students to pursue careers in technology.
They also built a center to help children learn,
communicate and explore through the Internet.
Other examples of Motorola’s
commitment to education:
• Equipped
software engineering labs
and updated training courses at Russia’s
St. Petersburg Polytechnic University
and St. Petersburg State Electrotechnical
University
• Helped
indigenous women university
students with the cost of living and
studying away from home through the
Australian Computer Society Foundation
• Helped
children learn, communicate and
explore through the Internet through a
computer clubhouse in Johannesburg,
South Africa
• Offered
technological and human
development training for young people
from disadvantaged communities through
Venezuela’s non-profit SUPERATEC
education and research
in telecommunications through a
lab for the Groupement des Écoles de
Télécommunications in Paris
• Encouraged
• Engaged
pre-collegiate students in
science and engineering projects through
Scotland’s University of Edinburgh
Sci Fun lab-on-wheels
• Sponsored
the Technopreneurship
Challenge for engineering students at
the National University of Singapore and
sponsored awards for the academically
outstanding female engineering students
at Ngee Ann Polytechnic in Singapore
students learn about environmental
product design and testing through Girls
Day at the REAL Lab in Germany
• Helped
• Provided
computers and accessories
to elementary schools in Vietnam through
Edunet, a high-priority government
program, and provided software training
for Vietnam IT/software specialists
and professionals
• Created
a two-year program to attract
gifted high school students in Israel to
engineering studies. During plant visits,
they learn about technological jobs from
Motorola engineers and then work on
solutions to actual engineering problems.
27
Chandler, Arizona, U.S.
Coached by Motorola volunteers,
students build and test rocket prototypes
• Hosted
high-risk junior and senior high
school students participating in STRIVE,
a mentoring program that teaches the
business imperative for staying in school
in Chicago
• Taught
thousands of young people about
economics and the world of business
through the Motorola employees who
volunteered as Junior Achievement
teachers, using a curriculum funded by
the Motorola Foundation
• Strengthened
an advanced-degree
program at the Danish Technical
University by delivering lecturers, loaning
advanced measurement equipment and
mentoring graduating students
the academic curricula at
Mexico’s Tec de Monterrey by funding
overseas training for professors in
Carnegie Mellon’s Capability Maturity
Model for software development centers
• Improved
Motorola, Inc.
Investing in Our Future
The Partnership for Building Bridges and
Futures engages selected advanced high
school students in analytical research of
Motorola’s soon-to-be released products.
The program gives us insight from a
unique consumer population while
providing students the opportunity to
combine theoretical practice with realworld experience.
Hundreds of Motorola employees race to volunteer for the
local First Lego League competitions. This global program
for children ages nine through 16 combines a hands-on,
interactive robotics program with a sports-like atmosphere.
Teams of players around the world focus on problem
solving, creativity and analytical thinking as they face the
international robot challenge. Motorolans volunteer time to
coach students building robots, assist at the competitions
and serve as advisory board members.
• Promoted
middle school mathematics
achievement by providing scholarships to
winners in the U.S. MATHCOUNTS
competition
• Presented
the Motorola Academic Award
to professors selected by the Korea
Institute of Communication Science
• Hosted
students competing in the
Midwest Regional Science Bowl, a U.S.
academic competition that challenges
and recognizes students’ knowledge of
science and mathematics
• Created
internships in international
business and shadow days for students
in Belgium
28
• Assisted
the Israel Center for Technology
& Accessibility for the Handicapped
by developing a special model of the
Spirit wireless phone for hands-free use
from wheelchairs
• Judged
the Chicago Public Schools
science fair with students representing
the best of more than 10,000 exhibits
from city junior high and high schools
• Encouraged
high school students
throughout Poland to consider careers in
information technology through a
competition to build an Internet page
• Provided
funding, radio communication
equipment and technical guidance to
electronic engineering students in
Mexico who designed a prototype
electric car and raced it in the Electraton
2004 national championship featuring
cars designed by students
Stepping Up
Every day Motorola employees around the world step up to serve their communities.
We provide warm meals, upgraded playgrounds, restored homes, holiday gifts,
clothes, books, toys, special activities and listening ears. Motorolans ask “How can
I help?” and take pride in their actions. Because of Motorola, there are children
playing on playgrounds, seniors have friends, HIV patients are no longer isolated.
Restoring Schools
and Hope
Since 1994, Motorola has worked
with Project Hope to help more than
12,000 children in China return to
school by funding teacher training,
scholarships and new libraries,
multimedia language labs and
schools. Seventy-two Motorola
Hope Schools in 23 provinces bring
powerful learning experiences to
undeserved areas. Motorola’s
investment includes more than
financial assistance. Employees
serve as mentors and do other
volunteer work with the schools
including clothing and food drives.
In 2005, 200 students will receive
Motorola scholarships to finish high
school or college.
• Refurbished
Other examples of how Motorolans
stepped up to serve the community:
• Organized
a Mid-Autumn Festival
mooncake party and a soccer tournament
for the Movement for the Intellectually
Disabled of Singapore
produce and planted for future
harvests to address the needs of
underserved residents of Orange County,
California, U.S.
• Picked
• Refurbished
homes and participated in
benefit walks for cancer and other
diseases throughout the U.S.
• Played
games and shared activities
with the children at Puerto Rico’s
Campamento de la Distrofia Muscular
• Helped
animals in distress by clearing
ground, installing a fence and moving a
shed for the UK’s Allandale Animal
Sanctuary
toys, candy and a piñata fiesta
to children with terminal diseases at El
Hospital Infantil de México Federico
Gómez in Mexico City, Mexico
an Israel center for young
women from broken homes including
painting, laying carpets and installing
alarm systems
• Donated
500 used phones for local
school to recycle with the environmental
aid agency, generating funds to finance a
school project mapping local flora and
fauna in Flensburg, Germany
• Logged
more than 2,400 employees’ hours
of community service in South Plainfield,
New Jersey, U.S. Five employees together
logged more than 1,000 service hours and
received awards from the U.S. President’s
Council on Service and Civic Participation.
• Contributed
more than $3.7 million – from
employees and the Motorola Foundation –
to United Way chapters across the U.S. to
assist health and human service
organizations focusing on projects that
address basic needs of children and adults
• Delivered
CEO Award for Volunteerism winners
Eleven individual employees and three
employee teams from among 68
applicants received the CEO Award for
Volunteerism. Winners received award
plaques and U.S. $5,000 checks for their
designated charities. In recognition of the
Motorola Foundation’s 50th Anniversary, a
U.S. $150 contribution for each of the
other applicants was made to the Disaster
Relief Fund for the American Red Cross
and the International Red Cross.
“Why is the sky so blue today? What makes
the air so fresh? Motorola. Because you are
sending us a ray of Hope.” The children
recited a poem they wrote to welcome visitors
from Motorola. Hundreds of local people in
Xikou Township, Jiangxi Province in China
gathered early in the morning at the Hope
School that Motorola funds helped to build.
They wore sashes that read “Thank you!”
29
Motorola, Inc.
Our Neighbors Are Everywhere
Kerala, India
Sanjay Kumar, Motorola’s India country sales manager, presents Motorola
radios for the tsunami relief effort to Oomen Chandy, Kerala chief minister,
as P K Hormese Tharakan, Kerala director general of police, looks on
Southeast Asia
In the early hours of the tsunami crisis, Motorola–a major partner with first responders
around the world–deployed equipment and technical support to meet critical
communications needs in the affected areas. Motorolans in the region responded quickly.
At press time of this report, the contribution of equipment and money from Motorola and
its employees had reached $4 million. This includes: more than 1,200 two-way radios, 1,600
wireless handsets, along with repeaters and base stations in Indonesia, India, Sri Lanka,
Thailand, Singapore, Malaysia and Maldives; donations of $1 million; and matching $1 million
of employee donations to the Red Cross/Red Crescent and the AmeriCares Foundation.
Motorola employees in Southeast Asia continue to work with relief agencies in their
individual capacities and have donated additional time, food, money and other assistance.
Thailand
Motorola engineer Budi Wibowo (left) and his team
worked around the clock for several weeks to
supervise and accompany the many shipments of
Motorola-donated base stations used to restore
communication in tsunami-devastated Aceh, Indonesia
30
Plantation, Florida, U.S.
Motorola employees clean up hurricane damage
U.S.
Russia
In the wake of three of the worst
hurricanes on record, storm victims
needed support to get back to normal.
Motorola’s Product Realization Shared
Services organized a team community
service effort to help families rebuild
their lives.
Motorola donated $6,000 to survivors
of the Beslan school tragedy for surgery
and post-surgery medical treatment. The
victims of this terrorist attack in Republic of
Ossetia, South Russia were mostly children.
After clearing debris from their own
yards, Motorolans coordinated with United
Way to clear fallen trees for people who
couldn’t manage on their own; worked
with fire departments to deliver donated
food and water; and provided emergency
communication systems.
Morocco
When an earthquake struck, parts of
Morocco were almost completely
destroyed. Motorola’s Moroccan team
donated a fully equipped ambulance by
buying a light-utility vehicle, modifying it
and driving 11 hours with aid and
supplies to the affected area.
Expanding Our Reach
Motorola’s global corporate citizenship
programs gain strength when we
partner with organizations to expand
our reach. Through industry
organizations, companies, governments,
scholars and other subject matter
experts cooperate to build on best
practices, expand resources and
penetrate untapped areas. A sample of
organizations in which we participate:
U.S. Environmental Protection
Agency Wastewise Program
U.S. Environmental Protection
Agency Performance Track Program
World Environment Center
World Resources Institute
Global e-Sustainability Initiative
Global Environmental Management
Initiative
Chicago Climate Exchange
Occupational Safety and Health
Administration Voluntary Protective
Program
31
Motorola, Inc.
The Face of Motorola
57% of workforce
is outside the U.S.
34% of workforce is female
34% of U.S. workforce
is multi-ethnic
A seamless bridge between workplace and marketplace
Diversity
How do you define diversity? Where do you go to
mix it up, to broaden your horizons, to be rejuvenated
and inspired with thought-provoking, innovative,
progressive and creative ways? At Motorola, we are
committed to being the premier choice of all
stakeholders by driving a culture that attracts, leverages
and celebrates all similarities and differences.
The Morphing of MOTOMIX
Employees and senior executives used
data-driven information and insights at the
2004 OWNMOTO Diversity Summit to kick
off a strong new direction for Motorola’s
diversity efforts.
The result was MOTOMIX, a reinvigorated
diversity vision for our multi-cultural
workforce and global business. The group
also generated ideas and actions to make
diversity a business discipline embedded
throughout the company.
Workplace
& Employees
Communities
Governance
Customers
32
Suppliers
We took quick action by launching the
Motorola Diversity Leadership Council, a
group of senior executives sponsored by
members of Motorola’s senior leadership
team. The Council recommended goals
and mentoring expectations for all vice
presidents and officers, developed diversity
business plans for each business and
function and are launching a new diversity
learning suite. Other efforts also focused
on building diversity considerations more
strongly into product design processes and
relationships with customers, suppliers and
communities. And a new diversity intranet
portal was launched to integrate information,
tools and news for employees.
Awards
Top 50 Employer,
Equal Opportunity magazine
Top 50 Employer,
Women Engineer magazine
Top 50 Employer,
Workforce Diversity
for Engineering and IT
Professionals magazine
Victoria Rowell of The Young & The
Restless TV soap opera for her foster
care foundation, The Rowell Foster
Children’s Positive Plan
Top 50 Employer,
Minority Engineer magazine
the “Black Perspectives
Homecoming Celebration” series at the
40th Chicago International Film Festival
• Sponsored
Top 50 Companies to Win for
African Americans, Savoy
Professional magazine
50 Most Important Hispanics
in Business and Technology
bestowed upon two senior
Motorolans, Hispanic Engineer &
Information Technology magazine
Top 15 Companies for Lesbians,
Curve magazine
Employer of Choice Award
from Minority Corporate
Counsel Association
Outstanding contribution award
bestowed upon a Motorolan from
Black Engineer of the Year Awards
Joseph Papp Corporation
Diversity Award
Larry Kopp Award from Council
for Ethnic Understanding
Corporate Support Award
from Women’s Business
Development Center
Corporation of the Year Award
and Board Member of the Year
Award to a Motorolan from
Women’s Business Enterprise
Council-West
Perfect score on Corporate
Equality Index from Human Rights
Campaign Foundation measuring
inclusive treatment of gay, lesbian,
bisexual and transgender
employees, consumers and
investors
Gay Lesbian Bisexual Transgender
Business Council
• Sponsored
Atlanta, Georgia, U.S.
Motorola’s booth at the National Business and Disabilities
Council Conference demonstrated Motorola products with
accessible features
Diversity Business Councils
the Out & Equal Workplace
Summit in Phoenix, a national conference
bringing together gay, lesbian, bisexual
and transgender employees, straight
allies, and human resource and diversity
professionals to share best practices for
addressing workplace equality
• Sponsored
Human Rights Campaign
fundraiser dinners, Washington, D.C.
and Chicago
Since 2000, diversity business councils
have advanced our market-based diversity
strategy by enhancing recruitment and
retention of top talent, identifying and
capitalizing on key, under-represented
markets and linking diverse perspectives
into our decision-making channels.
Latino Business Council
2004 Achievements
• Sponsored
• Partnered
with Nextel to sponsor
Carnaval Miami, the largest global
showcase in the Hispanic market
Asian Business Council
• Sponsored
the 49th Manikchand Filmfare
Awards in Mumbai, India with the
“Motolook of the Year” Award presented
for the first time with more than 44
million Indian households plus viewers
in 12 other countries watching
two events for Hispanic
Heritage Month with Catalina magazine,
including a Washington, D.C., kickoff
event with the Congressional Hispanic
Caucus
Women’s Business Council
• Launched
a Canada site chapter of
the Women’s Business Council
• Sponsored
• Participated
Black Business Council
People With Disabilities
Business Council (new in 2004)
• Sponsored
• Motorola’s
the 6th International
Bollywood Awards, which recognize
achievements of Indian movie stars
and makers
the 6th annual “Chic
Boutique” event at the National
Basketball Association All-Star Weekend
in Los Angeles, a fundraising event for
the International Association of African
American Music Foundation’s
Summerscope program; Motorola
presented the spirit award to actress
33
in iDEN-funded market
research project on female consumers of
wireless communications technology
newest business council
will focus on attitude, accessibility
and accommodation for people with
disabilities
• Hosted
Career Opportunities for Students
with Disabilities national conference at
Motorola’s Galvin Center in Schaumburg,
Illinois, U.S.
Motorola, Inc.
Here’s to Health
Wellness solutions improve quality of life
for employees and their families.
U.S. & Canada
Fitness and recreation
• Ten wellness centers offered workout equipment, movement classes, specialty series,
personal training and outdoor activities
• Tournaments, leagues and “just for fun”activities held at multiple sites throughout the year
• Wellness reimbursement dollars available for use at on- or off-site fitness facilities
Prevention and screening
On-site wellness screenings and Health PowerProfile assessments gave
employees information to improve health and provided aggregate data Motorola can
use for targeted interventions
Education and awareness
Web-based “tool kits” on tobacco cessation, healthy active families, self care, weight
management and resilience made available and linked with on-site class schedules and
online education opportunities
U.S.
With Partners Telemedicine of Harvard Teaching Hospitals, tested MOTOHEALTH, a
Motorola solution that uses mobile phones to help healthcare providers monitor chronically
ill patents as they go about daily routines
Seguin, Texas, U.S.
Brazil
Employees take charge of their health
through the MOTOVIVA wellness program.
Gymnastics, massage, heart, weight-loss,
maternity, sports, leisure, nutrition and music
programs show real results: 20 percent
reduction of over-weight, 50 percent
increase in the number of employees
exercising regularly and improved blood
pressure and glycerides results.
Angers, France
Formed a team to address on-site injuries, using pictorial job safety analyses that are
machine-specific; judged best-in-class by Delta Environmental during compliance audit
With three national carriers and the
government, created a research foundation to
study electromagnetic fields and to provide
information to the public, especially messages
from the World Health Organization.
Flensburg, Germany
Promoted good health and ergonomic
improvements by creating a risk register
for each work site based on employee
input and other data. The register
emphasized health and safety of shift
workers. Work-related accidents in
Motorola Flensburg reduced nearly 77
percent since 1999.
Angers, France
To promote an accident-free work environment and to deal with emergencies effectively,
employees spent three days learning first aid, fire safety, chemical firefighting and how to
use protective equipment and procedures
34
Singapore
To promote workplace health, Motorolans walked
in the Guiness Record New Paper Big Walk 2004
OSHA VPP STAR Program
Six sites earned the highest award of the U.S. Occupational
Safety and Health Administration, the Voluntary Protection
Program (VPP) Safety Through Accountability and
Recognition (STAR) award. The following sites earned the
VPP STAR in 2004: Chandler, Arizona; Plantation, Florida;
Schaumburg, Illinois; Arlington Heights, Illinois; Seguin,
Texas; and Ft. Worth, Texas. Only one-hundredth of one
percent of eligible sites in the U.S. have earned this award.
In 2004, Motorola had 46 percent of its U.S. employees
working at a VPP STAR site.
35
Motorola, Inc.
Committed to
Our People
Schaumburg, Illinois, U.S.
Motorolans volunteer in a day care center
The 68,000 employees who make up Team Motorola drive
our success. We value the talents, ideas and enthusiasm
each employee brings to work each day. And we work to
attract and retain the best talent through our employee
programs. You’ve already read about our commitment to
diversity, high ethics, philanthropy, community service and
wellness. We also offer strong benefits, competitive pay,
development opportunities and flexible work options.
Beyond basic benefits
Develop your skills, grow your career
Motorola seeks to provide world-class
rewards strategies and programs that attract,
retain and motivate the best people. Our
total compensation package is competitive
with the prevailing practices for each industry
and country in which we operate. The
Motorola global rewards team routinely
surveys our competitors, conducts employee
feedback sessions and polls human
resources managers to ensure that our total
rewards program provides a competitive
package of benefits and services.
We are committed to helping our employees
grow and develop their skills. Job paths
clearly define the knowledge, skills and
behaviors required to excel in certain
functional areas. Each employee creates an
annual development plan to improve skills.
When more formal education is required, a
generous tuition reimbursement program
makes it possible. Accredited business and
technology programs even hold classes on
some Motorola campuses.
An energized, flexible environment
A sample of our extensive family-friendly
benefits (availability varies by country): preand post-natal programs, on-site childcare
centers with back-up care and school’s-out
programs, generous adoption assistance and
a 24/7 resource and referral program offering
consulting and education to help manage
many life events.
36
Periodically, we engage our employees
in a comprehensive survey. One of the
primary concerns our employees have
voiced is the need for help with balancing
work and home life. In response, we’ve
introduced options including home and
breakaway offices, compressed work
weeks, job sharing, part-time positions
and non-standard work weeks.
Select 2004 Awards
Corporate
Excellence Award
Motorola received the U.S. Secretary of
State’s Award for Corporate Excellence
for stewardship in Brazil. We were one
of two companies selected from 50
nominated by U.S. embassies for good
business practices and contributions to
local communities.
Most Influential
Multinational in China
A survey conducted by the China
Business News Network, China
Business Daily, China International
Intellectech Corp and Horizon Research
Group named Motorola the Most
Influential Multinational in China in
2004. Motorola ranked high on all
survey parameters, including corporate
image, internal process, market
competitiveness, financial health,
human resources, leadership, corporate
culture, management system and crisis
management.
Israel
Received 100 Star Award from the
Beautiful Israel Association in recognition
of 20 consecutive years of winning 5-Star
Awards for exemplary work environment,
employee welfare programs and community
outreach activities in education, assistance
to the underprivileged and protection of
the environment
Taiwan
Singled out from 248 candidates as Best
Enterprise by Commonwealth magazine
for leadership position in the IT and
telecommunications industry
Israel
Received Israel-America Chamber of
Commerce & Industry award in
appreciation for Motorola’s pioneering
initiative in establishing a development
center and a manufacturing facility
in developing areas in Israel, and in
recognition of community outreach and
employment progress in development
areas and in the management of over
4,000 employees
Flensburg, Germany
Won the DuPont Safety Resources
European Award for its Health Promotion
program for continuous shift work
Chandler, Arizona, U.S.
Commended by U.S. Region 9 for
“significant contribution to the U.S.
Environmental Protection Agency’s
National Environmental Performance
Track recruitment program”
Illinois, U.S.
”Building Bridges and Futures” program
received the Illinois State Board of
Education’s Outstanding Business/Education
Partnerships Award and the Award of
Excellence for Community Volunteerism
37
Texas, U.S.
Received Guardian Angel Award from
Women’s Haven of Tarrant County, an
organization to prevent domestic violence,
for cleaning, painting and repairing housing
units and its thrift store
Canberra, Australia
Received government recognition for
providing equal opportunity for women
in the workplace
Taiwan
Received the national Wenxin
Award from the Taiwan Council of
Cultural Affairs for sponsoring local
cultural activity
U.S.
For the fifth year, named one of the 100
Best Corporate Citizens by Business
Ethics, which surveys the 1,000 largest
publicly traded companies to see which
excel at serving seven stakeholder
groups: stockholders, employees,
customers, the community, the
environment, overseas stakeholders and
women and minorities
Florida, U.S.
Motorola Plantation facility accepted into
Environmental Protection Agency’s
National Environmental Performance
Track program
U.S.
Named a top U.S. work/life employer by
WorkLife Matters magazine
Brazil
Exame magazine’s “Good Corporate
Citizenship Guide” recognized our
community policing contest as a best
practice for reducing violence
Motorola, Inc.
We welcome your comments and
feedback on this report.
110
Please send your input to:
330 pounds
Sheila Voth
Motorola, Inc.
1303 East Algonquin Road
Schaumburg, IL 60196 U.S.
+1.847.538.4058
[email protected]
www.motorola.com/citizenship
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MOTOROLA and the Stylized M Logo
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service names are the property of their
respective owners. © Motorola, Inc. 2005.
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