We conducted 56 environmental, health and safety (EHS) assessments in 2008, compared with 35 in 2007. The assessments focus on how EHS is managed as well as performance, and highlights areas where facility and corporate management systems can be improved. We were able to conduct more audits in 2008 than previously as the EHS team spent the first part of 2007 developing and piloting the assessment process. We had more resources available for audits during 2008.

Our corporate EHS team is developing guidance to help operating facilities implement the EHS management system. This includes further information and training, as well as programs for facilities to tailor to their own needs.

Regulatory compliance

During 2008, Kimberly-Clark received from environmental regulatory authorities a total of ten (10) notices of non-compliance or notices of violation (NOV). These notices are issued when a regulated facility allegedly fails to comply with an applicable environmental law or regulation. As described below, three of these NOVs resulted in a regulatory agency imposing a penalty.

In December 2007, a compliance test showed excess particulate emissions from a biomass boiler at our Everett Washington mill. Appropriate maintenance work was conducted and compliance was restored by bringing particulate emissions back within permitted limits. The Washington Department of Ecology imposed a $2,000 penalty, which the Everett mill paid.

In October 2008, our Fullerton mill in California received a NOV and proposed penalty for marginally exceeding NOx emission limits from the combined heat and power (CHP) facility in February 2008. In addition, the South Coast Air Quality Management District (SCAQMD) imposed a fine for alleged NOx exceedences from the CHP unit that had been the subject of previously reported NOVs in 2005 and 2006. SCAQMD imposed, and the Fullerton mill paid, a $4,000 penalty for these three occurrences.

During four months in 2008, the Beech Island facility exceeded its monthly average and daily maximum limits set by the Aiken County Public Service Authority (ACPSA) for total suspended solids and/or chemical oxygen demand due to discharges from the moist wipes operation. The ACPSA imposed and the Beech Island Mill paid a $1,000 penalty.

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