ENVIRONMENTAL MANAGEMENT SYSTEM POLICY MANUAL

ENVIRONMENTAL MANAGEMENT SYSTEMISO-14001:2004POLICY MANUALWATERFORD CARPETS LIMITEDCONTROLLED COPYR EVISION DATE: 11/10/12VER .1.3P AGE 1OF17

ISO-14001 ELEMENTS: 4.2R EVISION DATE:11/10/2012ORIGINAL CREATION: 01/01/2008AUTHORIZATION:11/10/2012EMS-MANUALENVIRO NMENTAL MANUALby: Bart ZDROJOWYby: Dan CRONINby: Noel CUNNINGHAMVER. 1.3TA BLE OF CONTENTSSe ction X1DefinitionsSe ction 1.0PurposeSe ction 2.0ScopeSe ction 3.0Issue and UpdateSe ction 4.0Environmental Policy(ISO-14001 Section 4.2)EMS-P-001PolicyEMS-P-010Environmental CommunicationsSe ction 5.0Planning(ISO-14001 Section: 4.3.1)EMS-P-002 Environmental Aspe cts, Obje ctives and Targe ts andManagement ProgrammesEMS-P-008 Environmental Re vie w of Proje ctsSe ction 6.0Legal and O the r Requirements(ISO-14001 Section: 4.3.2)EMS-P-010 Environmental C ommunicationsSe ction 7.0Obje ctives and Targe ts(ISO-14001 Section: 4.3.3)EMS-P-002 Environmental Aspe cts, Obje ctives and Targe ts, andManagement Programmes.EMS-P-008 Environmental Re vie w of ProgrammesSe ction 8.0Management Programme(ISO-14001 Section: 4.3.3)EMS-P-002 Environmental Aspe cts, Obje ctives and Targe ts, andManagement Programmes.EMS-P-008 Environmental Re vie w of Proje cts.Se ction 9.0Resource s, Roles, Responsibilities and Authority(ISO-14001 Section: 4.4.1)Se ction 10.0 Compe tence , Training and Awarene ss(ISO-14001 Section: 4.4.2)EMS-P-014 Environmental Training and Awarene ssSe ction 11.0 Communication(ISO-14001 Section: 4.4.3)EMS-P-010 Environmental C ommunicationSe ction 12.0 Documentation(ISO-14001 Section: 4.4.4)Se ction 13.0 Control of Documents(ISO-14001 Section: 4.4.5)EMS-P-001 Formatting Environme ntal Procedures, Work Instructions andFormsEMS-P-012 Environmental Document ControlSe ction 14.0 Ope rational Control(ISO-14001 Section: 4.4.6)Se ction 15.0 Eme rgency Preparedness and Response (ISO-14001 Section: 4.7)EMS-P-006 Eme rgency Prepare dness and ResponseISO 14001 CO NTRO LLED DOC UMENTWATERFORD C ARPETS LTDPAGE 2 OF 17

ISO-14001 ELEMENTS: 4.2R EVISION DATE:11/10/2012ORIGINAL CREATION: 01/01/2008AUTHORIZATION:11/10/2012EMS-MANUALENVIRO NMENTAL MANUALby: Bart ZDROJOWYby: Dan CRONINby: Noel CUNNINGHAMVER. 1.3Se ction 16.0 Monitoring and Measurement(ISO-14001 Section: ulatoryCompliance AuditsEMS-P-015 Monitoring and MeasurementSe ction 17.0 Evide nce of Compliance(ISO-14001 Section: 4.5.2)EMS-P-004 Nonconformance and Corre ctive and Pre ventive ActionsSe ction 18.0Nonconformance and Corre ctive and Pre ventive Actions(ISO-14001 Section: 4.5.3)EMS-P-004 Nonconformance and Corre ctive and Pre ventive ActionsSe ction 19.0 Control of Re cordsEMS-P-013 Environmental Re cordsSe ction 20.0 Inte rnal AuditsEMS-P-003EnvironmentalCompliance Audits(ISO-14001 Section: 4.5.4)(ISO-14001 Section: 4.6)ManagementSystemandregulatorySe ction 21.0 Management Re vie w(ISO-14001 Section: 4.6)EMS-P-005 Environmental Management System Management Re vie wISO 14001 CO NTRO LLED DOC UMENTWATERFORD C ARPETS LTDPAGE 3 OF 17

ISO-14001 ELEMENTS: 4.2R EVISION DATE:11/10/2012ORIGINAL CREATION: 01/01/2008AUTHORIZATION:11/10/2012EMS-MANUALENVIRO NMENTAL MANUALby: Bart ZDROJOWYby: Dan CRONINby: Noel CUNNINGHAMVER. 1.3Revision PolicyThe Environmental Policy Manual shall be re vised to reflect any changes to Wate rfordCarpet Limited Environmental Management System (EMS).At the discre tion of the Managing Dire ctor, re visions, affe cted paragraphs, shall besubmitted to the Environmental Management Team for the ir re vie w. When a re visionoccurs, the Environmental Management System (EMS) Policy Manual shall be re-issued.The Environmental Management Represe ntative is responsible for the maintenance of theEnvironmental Management System (EMS) Policy Manual as described and for re vie wingthe manual annually.Accepted re visions to the Environmental Management System (EMS) Policy Manual arere corded on the Revision Log pe r Document Control requirements.The manual is distributed and maintained on a controlled-copy basis, with manual holde rsre ceiving copies of ne w or re vised policies to document changes for reasons that includethe following.-The addition of ne w commodities or product lines to the location.A change of manufacturing location for existing parts.The introduction of significant ne w equipment or process changes.Changes re lative to safe ty, critical, or reliability characte ristics.Significant changes in the organizational structure .Revisions will be submitted when the above or the appropriate conditions dictate.Revision LogDateDocumentVersionSection/ ParagraphDescription of RevisionAuthorized By01/01/20080DocumentInitial ReleaseNC14/04/20091.1DocumentFormat Change, Header FooterNC30/04/20121.2DocumentGeneral ReviewNC11/10/20121.39.0 Resources,Roles, Responsibilityand AuthorityOrganizational Structure Chart added(p. 17)NCISO 14001 CO NTRO LLED DOC UMENTWATERFORD C ARPETS LTDPAGE 4 OF 17

ISO-14001 ELEMENTS: 4.2R EVISION DATE:11/10/2012ORIGINAL CREATION: 01/01/2008AUTHORIZATION:11/10/2012EMS-MANUALENVIRO NMENTAL MANUALby: Bart ZDROJOWYby: Dan CRONINby: Noel CUNNINGHAMVER. 1.3Section X1 DefinitionsThe Management TeamsThe following “Teams” used in this manual are defined be low:Job TitleEMS Management TeamManaging Dire ctorNoe l CunninghamEnvironmental Manage rBart ZdrojowyPlant Enginee rBill LyonsContinual improvementProcess of enhancing the environmental management system to achie ve improvements inove rall environmental pe rformance in line with the organizations environmental policy.EnvironmentSurroundings in which an organization ope rates, including air, wate r, land, naturalresources, flora, fauna, human’s and the ir inte rrelations.Environmental aspectElements of an organization’s activities, products or se rvices that can inte ract with theenvironment.Environmental impactAny change to the environment, whe the r adve rse or beneficial, wholly or partially resultingfrom an organization’s activities, products or se rvices.Environmental management systemThe part of the ove rall management system that includes organizational structure, planningactivities, responsibilities, practices, procedures, processes and resources for de veloping,implementing, achie ving, revie wing and maintaining the environmental policy.Environmental management system auditA systemic and documented ve rification process of obje ctively obtaining and e valuatinge vidence to de te rmine whe the r an organization’s environmental management systemconforms to the environmental management system audit crite ria se t by theorganization, and for the communication of the re sults of this process to management.Environmental objectiveOve rall environmental goal, arising from the e nvironmental policy, that an organization setsitse lf to achie ve, and which is quantified whe re practicable.Environmental performanceMeasurable re sults of the environmental management system, re lated to anorganization’s control of its environmental aspe cts, based on its environmental policy,obje ctives and targe ts.Environmental policyStatement by the organization of it intentions and principles in re lation to its ove rallenvironmental pe rformance which provides a frame work for action and for the se tting of itsenvironmental obje ctives and targets.ISO 14001 CO NTRO LLED DOC UMENTWATERFORD C ARPETS LTDPAGE 5 OF 17

ISO-14001 ELEMENTS: 4.2R EVISION DATE:11/10/2012ORIGINAL CREATION: 01/01/2008AUTHORIZATION:11/10/2012EMS-MANUALby: Bart ZDROJOWYby: Dan CRONINby: Noel CUNNINGHAMENVIRO NMENTAL MANUALVER. 1.3Environmental targetDe tailed pe rformance re quirement quantifie d whe re practicable , applicable to theorganization or parts the re of, that arises from the environmental obje ctives and thatneeds to be se t in orde r to achie ve those obje ctives.Interested partyIndividual or group conce rned with or affe cted by the e nvironmental pe rformance of anorganization.OrganizationCompany, corporation, firm, ente rprise, authority or institution, or part or combinationthe reof, whe the r incorporated or not, public or private, that has its own functions andadministration.Prevention of pollutionUse of processes, practices, mate rials or products that avoid, reduce or control pollution,which may include re cycling, treatment, process changes, control me chanisms, efficient useof resources and mate rial substitution.ISO 14001 CO NTRO LLED DOC UMENTWATERFORD C ARPETS LTDPAGE 6 OF 17

ISO-14001 ELEMENTS: 4.2R EVISION DATE:11/10/2012ORIGINAL CREATION: 01/01/2008AUTHORIZATION:11/10/2012EMS-MANUALENVIRO NMENTAL MANUALby: Bart ZDROJOWYby: Dan CRONINby: Noel CUNNINGHAMVER. 1.3Environmental PolicyThe Gene ral Management of Wate rford Carpe ts Lim ited is committed to pollutionpre ve ntion and environmental prote ction at its facility. Wate rford Carpe ts Lim ited aimsto achie ve the highe st standards of environmental pe rformance in the inte rest of all ourstakeholde rs, whe the r the y are employees, ne ighbours, the gene ral public or the naturalenvironment.Wate rford Carpe ts Limited is committed to complying with all environmental le gislationand regulations that may apply to the industry and we will make eve ry effort to complywith the requirements of our Integrate d Pollution Control Licence. We will adhe re to theprinciple s of re sponsible care and we strive for continuous improvement in itsim plementation.By preparing and im plementing an Environmental Management System, which willinclude policies, obje ctive s and targe ts, we will adm iniste r a continuous programmedesigned to e nsure that the products manufactured at Wate rford Carpets Limited will notcompromise or damage the environment.Wate rford Carpe ts Limited will re vie w the Environmental Management System annually.We will also re vie w our environmental aspe cts registe r and se t Environmental Obje ctivesand targets accordingly.Wate rford Carpe ts will examine and e valuate the environmental implications of anyprocesses and products, and cleane r te chnologie s will be investigated and utilised whe repossible . Waste avoidance and re duction plus a waste re cycling initiative will bevigorously pursue d and implemented.Wate rford Carpe ts will continuously examine, e valuate and re vie w e ne rgy usage in itsmanufacturing proce sses and implement an e ne rgy conse rvation programme. We willensure that adequate ope rational procedures and eme rgency plans are implemented andre vie wed on an ongoing basis. We will ensure that our employee s re ce ive adequatetraining in re lation to our e nvironmental policie s and procedures and will re vie w thesetraining nee ds as may be required.We are committed to continuous improvement of our Environmental ManagementSystem and we will ensure that it shall be integrated at all le ve ls within our organisation.We will strive for e ve r- improving environmental pe rformance and we will strive toprote ct the environment for our employees, neighbours and all our othe r stakeholde rs.Noel CunninghamManaging Dire ctorISO 14001 CO NTRO LLED DOC UMENTWATERFORD C ARPETS LTDPAGE 7 OF 17