Corporate Social Responsibility

Spansion collects environmental data from manufacturing sites worldwide in order to monitor performance and identify opportunities for continuous improvement. The data summarized in the following sections illustrates the company’s environmental performance from 2006 through 2010.

Spansion’s manufacturing output, as measured by our Manufacturing Index (MI), increased seven percent between 2009 and 2010. The standard MI, as defined by the Semiconductor Industry Association, is based on the number of wafers processed, the wafer size, and the complexity of the fabrication process. At Spansion, we normalize data proportionally affected by the production such as water, energy, waste, air and greenhouse gas (GHG) emissions to compare year-on-year changes. More information is available through the links to individual environmental performance indicators below.

More information is available through the links to individual environmental performance indicators below.

• Water Use
• Electricity Use
• Regulated Waste Generation
• Total Waste Generation
• Air Emissions
• GHG Emissions

Water Use Spansion’s operation require water for meeting manufacturing demand, sanitary/domestic uses, ultra-pure water production, cooling tower make-up, and emission abatement. Water is supplied to Spansion from public sources and reducing our dependence on this natural resource has been, and likely will always be, a priority for the company. Normalized water use declined 40 percent in 2010 compared to 2009, largely the result of expanding the wastewater reclaim system in at Spansion’s Austin, Texas wafer fab and consolidating operations at our research and development facility in Sunnyvale, California. For the five-year period ending in 2010, overall normalized water decreased 38 percent by aggressively pursuing water reduction and reuse programs at all manufacturing facilities.

Electricity Use Similar to water, Spansion purchases electricity from local utilities and consumes the majority of electricity in the wafer manufacturing process to keep manufacturing equipment ready and available for use. Each Spansion facility has successfully identified and implemented numerous energy reduction projects over the last several years. In 2010, normalized electricity use decreased 33 percent compared to 2009. The decrease is largely attributed to the consolidation of facilities in Penang, Malaysia and energy reduction projects in Sunnyvale, California. Spansion’s normalized electricity decreased 29 percent over the five year period shown on the graph.

Regulated Waste Generation The definition of hazardous waste varies in different countries and states. Our intent is to track spent hazardous materials which are shipped offsite to licensed waste disposal and treatment facilities. In 2010, regulated waste generation remained unchanged from 2009 despite a 50 percent increase in manufacturing output.

Total Waste Generation The total amount of waste generated at each site includes both regulated and non-regulated wastes. Non-regulated wastes are generally nonhazardous materials such as paper, cardboard, plastic, glass, metal, and items commonly found in personal trash bins. In 2010, the total amount of waste generated by Spansion remained virtually unchanged despite a significant increase in manufacturing output.

Air Emissions Hazardous Air Pollutants (HAPs) include specific corrosive and Volatile Organic Compounds emitted from both manufacturing processes and combustion from support equipment. In 2010, emissions decreased 47 percent compared to 2009 despite a significant increase in manufacturing output.