Eng - IOI Group

Management’s Discussion and Analysis cont’dGROUP BUSINESS REVIEWCORPORATE SOCIAL RESPONSIBILITY (CSR) REPORT cont’dReport On Current Key Initiatives cont’dThis success however did not deter us from our focus on the reduction of energy consumption during the expansion of our business.While the efforts of growing the business were in progress, IOI was also investing in energy conserving infrastructure as we expandedour factory’s production capacity to meet the new demand. Managing both efforts simultaneously was not an easy task. Although aportion of the reduction of energy requirements per MT was indeed due to the expanded volumes, the following table also reflects asuccessful combination of investment in energy saving devices and the IOI attention to detail in our Channahon USA facility:Natural Gas Consumption GJ per Metric TonneGJ10.008.006.004.002.00002 03 04 05 06 07Electrical energy is a costly energy source in the USA supplied largely by coal fired power plants. The importance of conservingthis input is therefore important to both the bottom line and the environment. The results depicted in the following graph reflect acombination of our volume expansion as well as our efforts and investments to reduce consumption of electricity.Electricity KWH per Metric TonneGJ600.00500.00400.00300.00200.00100.00002 03 04 05 06 0741ANNUAL REPORT 2007IOI Corporation Berhad