1. ICF MEETING - 10/26/07 LEGISLATIVE DEVELOPMENTS CPSC CHILDREN’S PRODUCTS CONEG & ROHS

2. ICF MEETING - 10/26/07 CPSC LEAD PRODUCT RECALLS – RECENT HISTORY REEBOK – 300,000 LEAD “HEART” CHARMS (4 YR. OLD DIED FROM SWALLOWING A CHARM). REEBOK – 300,000 LEAD “HEART” CHARMS (4 YR. OLD DIED FROM SWALLOWING A CHARM). MATTEL – 20 MILLION TOYS WITH LEAD PAINT & LEAD MAGNETS. MATTEL – 20 MILLION TOYS WITH LEAD PAINT & LEAD MAGNETS. DISNEY “WINNIE THE POOH” PLAY SETS DISNEY “WINNIE THE POOH” PLAY SETS EVEREADY TOY FLASHLIGHTS EVEREADY TOY FLASHLIGHTS FISHER-PRICE “BONGO BAND” TOYS FISHER-PRICE “BONGO BAND” TOYS HAMPTON DIRECT TOY TRAIN SETS HAMPTON DIRECT TOY TRAIN SETS CHILDREN’S PUPPET THEATERS CHILDREN’S PUPPET THEATERS J.C.PENNEY ART SETS J.C.PENNEY ART SETS ALBERT’S HALLOWEEN PAILS ALBERT’S HALLOWEEN PAILS RIDDELL MINI HELMETS RIDDELL MINI HELMETS SPORTS AUTHORITY WATER BOTTLES SPORTS AUTHORITY WATER BOTTLES CUB SCOUT BADGES CUB SCOUT BADGES

3. ICF MEETING - 10/26/07 CONSUMER PRODUCT SAFETY COMMISSION CHILDREN’S METAL JEWELRY CONTAINING LEAD – INTERIM ENFORCEMENT POLICY CHILDREN’S METAL JEWELRY CONTAINING LEAD – INTERIM ENFORCEMENT POLICY * TO AVOID EXCEEDING THE 10 ug/dL “level of concern” CPSC RECOMMENDS THAT CHILDREN NOT INGEST MORE THAN 175 ug * TO AVOID EXCEEDING THE 10 ug/dL “level of concern” CPSC RECOMMENDS THAT CHILDREN NOT INGEST MORE THAN 175 ug (micrograms) OF ACCESSIBLE LEAD IN A SHORT PERIOD. (micrograms) OF ACCESSIBLE LEAD IN A SHORT PERIOD. * HAND TO MOUTH AND INGESTION EXPOSURES ARE ASSUMED. * HAND TO MOUTH AND INGESTION EXPOSURES ARE ASSUMED. * IF ANY COMPONENT EXCEEDS 0.06% BY WEIGHT (600 PPM) AND * IF ANY COMPONENT EXCEEDS 0.06% BY WEIGHT (600 PPM) AND ACID EXTRACTION TEST YIELDS MORE THAN 175 PPM OF ACID EXTRACTION TEST YIELDS MORE THAN 175 PPM OF ACCESSIBLE LEAD, THE CPSC MAY TAKE ENFORCEMENT ACTION. ACCESSIBLE LEAD, THE CPSC MAY TAKE ENFORCEMENT ACTION.

4. ICF MEETING - 10/26/07 C0NSUMER PRODUCT SAFETY COMMISSION CPSC REFORM ACT (S-2045) CPSC REFORM ACT (S-2045) GREATER PROTECTION FOR CHILREN’S PRODUCTS GREATER PROTECTION FOR CHILREN’S PRODUCTS BETTER SCREENING OF ALL “NON-COMPLIANT” PRODUCTS BETTER SCREENING OF ALL “NON-COMPLIANT” PRODUCTS MORE EFFECTIVE CONSUMER RECALL PROGRAMS MORE EFFECTIVE CONSUMER RECALL PROGRAMS * REQUIRES “THIRD PARTY” SAFETY CERTIFICATION FOR EVERY CHILDREN’S PRODUCT THAT ENTERS THE COUNTRY. * REQUIRES “THIRD PARTY” SAFETY CERTIFICATION FOR EVERY CHILDREN’S PRODUCT THAT ENTERS THE COUNTRY. *REQUIRES LABELING ALL CHILDREN’S PRODUCTS TO FACILITATE TRACKING. *REQUIRES LABELING ALL CHILDREN’S PRODUCTS TO FACILITATE TRACKING. *BANS THE “DIRECT USE” OF LEAD IN ALL CHILDREN’S PRODUCTS. *BANS THE “DIRECT USE” OF LEAD IN ALL CHILDREN’S PRODUCTS.

5. ICF MEETING - 10/26/07 CHILDREN’S PRODUCTS CONTAINING LEAD WAXMAN/OBAMA (H.R. 3743 & S. 2132) WAXMAN/OBAMA (H.R. 3743 & S. 2132) PROHIBITS “INTERSTATE COMMERCE” OF CHILDREN’S PRODUCTS WHICH CONTAIN LEAD: PROHIBITS “INTERSTATE COMMERCE” OF CHILDREN’S PRODUCTS WHICH CONTAIN LEAD: 30 DAYS = 600 PPM 30 DAYS = 600 PPM 1 YEAR = 250 PPM 1 YEAR = 250 PPM 2 YEARS = 100 PPM 2 YEARS = 100 PPM NOTE: LEAD CRYSTAL CONTAINS 245,000-325,000 PPM (BY WEIGHT) AND LEGISLATION IS BASED ON “CONTENT” NOT “AVAILABILITY”. NOTE: LEAD CRYSTAL CONTAINS 245,000-325,000 PPM (BY WEIGHT) AND LEGISLATION IS BASED ON “CONTENT” NOT “AVAILABILITY”. *ANOTHER HOUSE BILL WOULD BAN ANY CHILDREN’S PRODUCT CONTAINING 40 PPM (Delauro H.R. 3691). *ANOTHER HOUSE BILL WOULD BAN ANY CHILDREN’S PRODUCT CONTAINING 40 PPM (Delauro H.R. 3691).

6. ICF MEETING - 10/26/07 EDITORIAL COMMENT IF YOU MANUFACTURE OR DISTRIBUTE “CHILDREN’S PRODUCTS”, DO NOT USE MATERIALS OR DECORATIONS WHICH CONTAIN LEAD OR CADMIUM. IF YOU MANUFACTURE OR DISTRIBUTE “CHILDREN’S PRODUCTS”, DO NOT USE MATERIALS OR DECORATIONS WHICH CONTAIN LEAD OR CADMIUM. FEDERAL LEGISLATION BANNING “CHILDREN’S PRODUCTS” WHICH CONTAIN LEAD* WILL BE ENACTED IN THE NEAR FUTURE. FEDERAL LEGISLATION BANNING “CHILDREN’S PRODUCTS” WHICH CONTAIN LEAD* WILL BE ENACTED IN THE NEAR FUTURE. THE MONETARY COST OF A RECALL WOULD BE SUBSTANTIAL, THE “NEGATIVE PUBLICITY” WOULD BE EVEN MORE COSTLY. THE MONETARY COST OF A RECALL WOULD BE SUBSTANTIAL, THE “NEGATIVE PUBLICITY” WOULD BE EVEN MORE COSTLY. * LEAD CONTENT IS THE LEGISLATIVE STANDARD BEING USED BY THE U.S. CONGRESS. * LEAD CONTENT IS THE LEGISLATIVE STANDARD BEING USED BY THE U.S. CONGRESS.

7. ICF MEETING - 10/26/07 TOXICS IN PACKAGING PREVENTION ACT – CALIFORNIA SB 774 (CONEG) BILL PROHIBITS GLASS PACKAGING WITH LEAD PAINT OR AN APPLIED LEADED CERAMIC DECORATION FROM QUALIFYING FOR AN EXEMPTION FROM THE “TOXICS IN PACKAGING PREVENTION ACT”: BILL PROHIBITS GLASS PACKAGING WITH LEAD PAINT OR AN APPLIED LEADED CERAMIC DECORATION FROM QUALIFYING FOR AN EXEMPTION FROM THE “TOXICS IN PACKAGING PREVENTION ACT”: CONTAINING MORE THAN 0.06% LEAD BY WEIGHT CONTAINING MORE THAN 0.06% LEAD BY WEIGHT (600 PPM). (600 PPM). NOTE: BILL WAS SIGNED BY GOVERNOR SCHWARZENEGGER 10/13/07. NOTE: BILL WAS SIGNED BY GOVERNOR SCHWARZENEGGER 10/13/07.

8. ICF MEETING - 10/26/07 ROHS – EU DIRECTIVE RESTRICTION of the USE of CERTAIN HAZARDOUS SUBSTANCES* (2002/95/EC) CALIFORNIA ADOPTED EU’S ROHS DIRECTIVE ON 1/7/2007. CALIFORNIA ADOPTED EU’S ROHS DIRECTIVE ON 1/7/2007. LAW STRENGTHENED 0N 10/12/2007 TO BAN “GENERAL PURPOSE LIGHTING” AND LAMP PRODUCTS AS OF 1/1/2010. LAW STRENGTHENED 0N 10/12/2007 TO BAN “GENERAL PURPOSE LIGHTING” AND LAMP PRODUCTS AS OF 1/1/2010. LAW REQUIRES CONSUMER RECYCLING OF OLDER BULBS AND LIGHTING PRODUCTS. LAW REQUIRES CONSUMER RECYCLING OF OLDER BULBS AND LIGHTING PRODUCTS. * LEAD,MERCURY,CADMIUM, OR HEXAVALENT CHROMIUM USED IN * LEAD,MERCURY,CADMIUM, OR HEXAVALENT CHROMIUM USED IN ELECTRONIC PRODUCTS. ELECTRONIC PRODUCTS.

9. ICF MEETING - 10/26/07