Corporate Environmental Report

Measurement

Develop measurements for, and means of measuring progress/achievement during 1995, using 1994 as the baseline where applicable, and publish results annually in the CER. Continue the existing Environmental Audit and Improvement program at all sites.

Measurements drive behavior and accurate auditing sets the framework within which ST can specify, quantify and monitor progress. Without measurement, we cannot achieve excellence.

Progress made as a result of these corporate directives is controlled at site level. Each site enters its results into the Environmental Database, or "dashboard" which allows a comparison of environmental indicators, site by site. Internal benchmarking and cross-fertilization are carried out through the exchange of best practices. Corporate Environmental Audits are conducted every 18 months at every site to ensure the correct application of corporate environmental practices and to monitor action plans/status vis-a-vis the Company's environmental goals.

The major environmental projects are monitored and reported to the Corporate Environmental Steering Committee which meets every quarter, chaired by our CEO.

Continuous monitoring of objectives and the setting of environmental targets and initiatives will ensure that progress continues - - now, and in the years to come.

The more ambitious and challenging goals of the new Decalogue will be published in the second half of 1999 and will become our reference for the 2000-2010 environmental objectives.