Hang Seng's direct environmental impacts arise from the daily operation of our offices and banking outlets. We have adopted the policy of continually working to minimise our negative impact on the environment. In January 2005, we became the first local financial institution to receive international ISO 14001 certification following an assessment of the environmental management system at our head office. We have subsequently received certification at Hang Seng Tower in Kowloon Bay, taking the total floor area covered by ISO 14001 certification to 580,000 square feet.

ENVIRONMENTAL MANAGEMENT COMMITEE
An Environmental Management Committee was set up in December 2002 to oversee the implementation of our environmental policy and management system which was established in 2003. This Committee meets quarterly and includes representatives from all major divisions and departments of the Bank. Chaired by the Head of Corporate Communications, the Committee reports to the Chief Operating Officer who is the Bank's Green Champion.

STAFF AWARENESS
Raising staff awareness of environmental issues continues to be a crucial part of improving our environmental performance. All new staff are briefed on the Bank's environmental policy during induction. In 2003, we launched our award-winning 'HANG SENG Go Green Staff Awareness Campaign'.

We also promote environmentally responsible practices through regular training and volunteer activities (see table: HANG SENG Go Green).

RESOURCE USE
We continue to take steps to reduce our resource consumption, through both improved efficiency and increased use of recycled materials.

Many of our corporate and marketing products make use of recycled or environmentally friendlier materials. These products include business cards, posters, our staff newsletter and, since 1994, our annual report (see table: Hang Seng's Recycling Initiatives).

The number of different product leaflets for personal financial services and wealth management has been reduced from 124 to 60 by consolidating similar factsheets.

BIODIVERSITY
Through our support of WWF, we are playing our part in protecting the region's biodiversity. At an organisational level, we do not serve shark's fin, endangered coral reef fish species or black moss at Hang Seng functions.

Hang Seng's Recycling Initiatives Corporate items printed on or made from recycled materials Letterhead God of Wealth poster God of Wealth hanging ornament Desk diary Business card Corporate envelope Staff newsletter Annual Report, Interim Report Calendar card Tentcard for e-Statement promotion Handbills and leaflets of the Bank's Property Agency Department Banquet hall and staff canteen The Penthouse uses paper hand towels (in restrooms) made from partly recycled material Protective covers of seating plan stands and coffee machines at the banquet hall are made from old tablecloths Staff canteen uses napkins produced from partly recycled material None of the serviceware used at the staff canteen is disposable Others About 2,000 pieces of serviceable IT hardware and related accessories were donated to projects operated separately by Caritas Hong Kong, Pok Oi Hospital Group and the Salvation Army for further use Banknote, coin and gold bags and document bags are made from biodegradable materials Recyclable toner cartridges and ink-jet bottles are collected and returned or donated to charities

We participated in the Carbon Disclosure Project in 2005. The project provides a forum for the world's largest institutional investors to collectively consider the business implications of climate change.

Hang Seng has also signed the Clean Air Charter, initiated by the Hong Kong General Chamber of Commerce and the Hong Kong Business Coalition on the Environment. The Charter's objective is to seek support and commitment from the business community, on a voluntary basis, to reduce emissions and implement air quality management plans.