Charitable ReuseA Sensible Option for Clients’ Surplus Assets

Supports Clients, Supports Sales, Supports Relationships, Generates Revenue

January 2013

Charitable Reuse

Matches clients’ surplus furniture & equipment with U.S. and international nonprofit organizations for disaster relief and economic development.

Jamaica Nicaragua

Clients want (demand) a solution for surplus assets: • Replacement with new purchase• Emptying warehouse space• Renovating• Downsizing

Clients love reuse – a great story, the right thing to do, sustainable

Clients’ budgets love reuse – cheaper than surplus throwing away

Another client service: • Value to the client – a reason to call outside the sales cycle• Value to Steelcase dealer – labor, project management

Why Charitable Reuse?

Charitable Reuse

What Types of Surplus?

• Education: Classroom, Administrative, Residential, Athletic, Science/Lab

• Healthcare: Patient Room, Exam Room, Administrative, Equipment, Supplies

• Corporate, Gov’t: Office, Reception, Conference

• Other: Kitchen/Cafeteria, Library, Lab, Casework, Doors, Windows

If you can imagine it being used again, we can use it

Bellarmine College Prep., San Jose, CA

Charitable Reuse

Where Does It Fit?

• Part of a management hierarchy:

1. Refurbish / Repurpose

2. Buyback / Resell

3. Charitable Reuse

4. Recycling for wood and metal

• Costs less than throwing away (1 Trailer = 4 rolloff containers, with equal labor)

• Simple, comprehensive, turnkey process

Nicaragua

Charitable Reuse

For Real?

• More than 1,400 Projects• Over 400 Clients in 23 States• More than 40 Million Pounds

Diverted from Landfill• Project Size: 4-5 Desks to 34-35

Tractor Trailers• Surplus Sent to 51 Countries and

25 U.S. States

Mexico

Canada

Trinidad & Tobago

Haiti

St. Lucia

Kazakhstan

USA

Chile

Peru

Guyana

Jamaica

Dominic. Rep.

Guatemala

Belize

HondurasNicaragua

Grenada

El SalvadorPhilippines

Myanmar

Russia

Israel

Ethiopia

Senegal

Sierra Leone

Liberia

Niger

Nigeria

Zambia

Tanzania

Portugal

Uganda

Ukraine

Romania

IRN The Recycling Network

Worldwide Recipients

Dominica

Turks & Caicos

US States

Arizona California Connecticut Florida Georgia Kentucky Louisiana South Carolina Maryland Massachusetts Mississippi New Hampshire New Jersey New York Ohio Rhode Island Maine Tennessee Texas Vermont

Armenia

Hungary

Moldova

Malawi

Austria

Process: Three Steps

1: Pre-Project

a) Other disposition options (repurpose, resell)

b) Initiate project at www.ir-network.com/Steelcase

c) Gather project details• Inventory• Labor (dealer, client or IRN?)• Logistics (schedule, access, etc.)

d) Proposal

Charitable Reuse

Charitable Reuse

Process: Three Steps

2: ProposalThree Elements:

1. Administration / Management

2. Labor

3. Containers

Recycling Options• Absorbs items not in highest demand for reuse (e..g. panels)• Revenue to offset other costs associated with reuse

Proposal Review and Modification

Charitable Reuse

Process: Three Steps

3: Project

• Empty the Building

• Load the Containers or Trailers

• Send Them Away

As simple as throwing surplus away

Loading furniture for shipment to Haiti (Business Furnishings, Univ. of Notre Dame)

Charitable Reuse

Process: Reporting

Post-Project

• Photos / Video

• Documentation / Close-out package

• Publicity Opportunities

Ukraine

Charitable Reuse - Examples

Booz Allen Hamilton (Arbee)• Downsizing, moving to home office + hoteling business model

• More than a dozen locations DC to San Diego, thousands of workstations plus private offices, conference, reception, etc.

• Labor: Arbee or local Steelcase dealer

• Destination: Multiple (20% - 50% recycled, dep. on location)

Charitable Reuse - Examples

Genzyme (Red Thread)• Emptying corporate headquarters (built a new one)

• ~3,800 pieces: 30% redeployed by owner, 35% reused, 35% recycled for commodity value. Liquidation tried and failed.

• Labor: OENE

• Destination: Christian Appalachian, Easter Seals

Charitable Reuse - Examples

Howard University• Refreshing ~200 rooms in 8 dormitories (325 sets), plus 700 mattresses

• Five-day window between move-out and move-in

• Labor: Olympia (10-man crew, divided and re-divided)

• Destination: Guatemala, El Salvador, Nicaragua

Charitable Reuse - Examples

Lahey Clinic (MA)• Renovating kitchen and cafeteria, ~700 pieces

• Committed to Haiti earthquake relief

• Haiti ports damaged; Furnishings stored and re-loaded

• Labor: Tobin (Lahey’s mover)

Date: August 2- August 31, 2011Location: Boston, Mass.Details: 9,643 pieces of surplus furniture

totaling 832,320 poundsDestination: El Salvador,

Nicaragua and JamaicaIRN: Mark Lennon Date: 8/31/2011__Boston office furniture in place and in

use in Spanish Town, Jamaica

Office furniture being delivered to Nicaragua

On behalf of residents of San Salvador, El Salvador,

Managua, Nicaragua, and Spanish Town, Jamaica, IRN

expresses sincere appreciation to Genzyme,

Inc. for the gracious provision of surplus office

furniture.

Office furniture loading in downtown Boston

Charitable Reuse

What’s next?Consider IRN a resource

Identify opportunities

Get projects in the pipeline• www.ir-network.com/steelcase• IRN contact: Mark Lennon

(m) 603-496-7908, mlennon@ir-network.com

Details

Proposal

Implementation

Haiti