All our head offices have comprehensive recycling systems in place with recycling rates as high as 98%, depending on the location.

We further improved our total recycling in stores in 2010-11. Out of a total of around 2,500 stores, we increased the number that recycle 98% of their waste from 12 last year to 347, which is 14% of all stores. A further 653 stores, or 26%, recycle over 68% of their waste.

The remaining 1,500 stores are in shopping centres, which means landlords control the waste management systems. We have met with landlords to understand their systems. We are pleased to say that most centres have good recycling and waste management systems in place but we plan to monitor this more closely, meeting other landlords and recording performance.

We have piloted and will now be rolling out re-usable packaging for delivery of visual printed media to stores via our Distribution Centres (DCs). The packaging chosen can be used at least seven times before it is recycled. In the coming year, we expect that all visual printed media delivered via our DCs will be using this re-usable packaging.

The integration of BHS with the Arcadia Group meant we needed to address the issue of food waste disposal from our restaurants. The outcome of the review is that the volume is too small for many waste recyclers to collect and use. However, we are trialling a project in the Midlands where our food waste will be collected and used to generate electricity.

The consolidation of general waste such as polythene and cardboard back to our DCs for more efficient recycling is the subject of on-going trials with the aim of having a viable system to implement in 2012.

The Sustainable Store

Our aim is for our stores, whether new or refurbished, to have as small an impact on the environment as possible. In this regard we planned to use the new BHS store in Swindon as the location for a model of sustainability in which to trial various new technologies and ideas. Some initiatives had to be delayed, in recognition of difficult trading conditions. However, templates of new lighting technologies and heating, ventilation and air conditioning (HVAC) are now key elements of any new store builds and refurbishments.

Water

Since the BHS integration, Arcadia’s water consumption has significantly increased due to the consumption in both BHS restaurants and toilets. Following successful trials, in 2012 we will be introducing waterless urinals in male toilets in stores, DCs and offices.

Hangers

We currently re-use each hanger up to seven times. When the hangers have deteriorated beyond safe or practical use, they are broken down; the metal hooks are recycled as scrap metal while the plastic is ground down and used to make new hangers.

Carrier Bags

This year the number of carrier bags given out to customers across all brands has reduced slightly compared with the previous year. We have targeted a 10% reduction in our volumes in 2012.

Multi-Functional Devices

The first phase of our plans to introduce multi-functional devices (MFDs), efficient machines which incorporate printing, scanning, photocopying, fax and email, saw us replace all printers and copiers within BHS stores and offices. These devices will lead to lower paper usage; we estimate they will save the equivalent of at least 1,300 trees’ worth of paper over the next five years. A review of our printer and copiers within remaining head offices is taking place in 2011 with a view to finalising how best to introduce MFDs here too.

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