A few thoughts on Recycling PS Vending Cups February 11, 2010

Seite 2 Save a Cup Meeting London, February 11, 2010 Consumer Costs Convenience Product Safety Environment Convenience  Handling properties  On-the-go consumption  Target Group specific – i.e. elderly consumers, teenagers etc. Environment  Peace of mind – political correctness  Environmental friendly but not at higher costs  No sacrifice with respect to product safety and convenience/functionality Costs  Costs as a key driver especially in economically challenging times  Basic solutions vs. premium products  Simplicity as a consumer attitude Product Safety  A must have for any food related product  Ever higher standards incorporated A view on Consumer Demands for Food Packaging

Seite 3 Save a Cup Meeting London, February 11, 2010 PS-Cups: Excellent product with an image problem PS Cups with ideal properties for Vending Industry – protection, functionality and costs However, increasingly negative image of PS-Cups with respect to environmental aspects – seen as pure waste Even without a professional recycling scheme the impact is much lower than generally assumed (e.g. plastic vs. china cups) Environmental discussions are however often conducted with rather simplistic arguments – Marketing vs. finding true sustainable solutions The recycling concept as a well accepted and proven approach to a sustainable environmental friendly solution (e.g. PET) Even aluminium was able to generate a much better image in the past decade – Switzerland PS as an ideal material for recycling – multiple re-usage  A strong industry initiative is needed in order to secure a good future

Seite 4 Save a Cup Meeting London, February 11, 2010 Aluminium Recycling: A positive Communication Example Translation: „Searching: The best ideas for 100% Aluminum Recycling“ „Win 50‘000 Swiss Francs“

Seite 5 Save a Cup Meeting London, February 11, 2010 Existing European Recycling Initiatives Several good recycling initiatives in place (e.g. Save-a-Cup, Stichting Disposables in the Netherlands) and established Save-a-Cup is a true innovative approach launched 1992 in the UK Collection of cups is crucial - but complicated and rather expensive Success rate today still relatively weak: Target must be to achieve a recovery rate of > 50% Recycling Food to Food packaging as the most powerful solution Broader support (industry and governmental) needed to really make an impact Communication to end-consumers and influencers as a crucial task Message “This cup will be recycled into a flower pot etc.” (single stream) vs. “You are drinking from a recycled cup” (close loop)  Current systems not yet strong enough and missing industry wide support

Seite 6 Save a Cup Meeting London, February 11, 2010 PS-Recycling: Benefit for the entire Supply Chain Cup Manufacturers  Future of offered products  Image improvement PS Producers  Securing long term business perspective  Improved image Recyclers  New source of business  Rising oil prices as additional growth engine Operators  Ensuring a cost optimized cup solution keeping all the tested functional advantages  Improved environmental image  We are convinced that Recycling is the strongest industry answer for the future!

Seite 7 Save a Cup Meeting London, February 11, 2010 Thank you for your attention.