• With the commissioning of biomass co-gen power plant in the second quarter of 2008 we are able to utilise and convert wood residue into renewable energy, capable of generating up to 11.4 megawatts of electricity. The generation of power provides the electricity to run the plywood mill and sawmill thereby savings on electricity bill.
• For oil palm development, it is the policy of the Group to ensure that site preparation was carried out with minimal impact on biodiversity. For the CPO mill, biological treatment system has been implemented to treat the waste water of palm oil mill before its discharge to the watercourse, e.g. river or drain.

Eco-Wood:

• The Tasmania project has been an environmental milestone for the Group and for Tasmania community. In a country where environmental protection is a priority, our sustainable business philosophy and practices won over the community and met with the approval of the Australian government, which agreed to our establishment of rotary peeled veneer mill there and to supply to the mill re-growth and planted timber from their PEFC certified forests.
• The plywood division obtained the Programme for the Endorsement of Forest Certification ('PEFC') award, a European certification programme for sustainable forest management, for its plywood products.
• Ta Ann's value-added eco-products include eco-oak flooring, eco-pine, eco-massage floor, eco-CCP, eco-scaffold, eco-SP and etc whose quality meets the Japan Agricultural Standard ('JAS') standard and are well accepted by the Japanese markets.
• Our plywood mill has also obtained 'CE marking' for its products, another European product marking and certification system that guarantees our products comply with all applicable European product safety, health and environmental requirements within the CE marking system, Plywood division has obtained certification from an independent certifying body, Bureau Veritas on its container plywood production. With this certification, Ta Ann's container flooring is recognised to have attained the quality and standard requirement set by the certifying body. These achievements are the result of our active pursuit of manufacturing products that are environmentally friendly.

Forest Management:

• In reforestation development, reduced impact logging ('RIL') practised by the Group reduces damage to the soil. The RIL method of harvesting employed by our logging contractors is based on the 'high-lead' cable yarding system. This helps to reduce soil compaction, erosion and damage to residual vegetation.
• Acquisition of Borlin Sdn Bhd ('Borlin') allows the Group to have further opportunity to improve their skills in Sustainable Forest Management ('SFM') and work towards gaining forest management certification with the Malaysian Timber Certification Council ('MTCC') or the Forest Stewardship Council ('FSC').