Environmental Sustainability:Recycling Through RenderingRandall C. Stuewe, CEO – Darling International Inc.January 27, 2009

2009 Animal Agriculture Environmental Sustainability Summit

2Rendering is Recycling

Sustainable solution:• If not recycled, the large amounts of

carbon, nitrogen and phosphorus present in inedible animal by-products may contribute to global warming, soil loading and water contamination.

• Our facilities utilize world-class processing equipment, treatment processes and control equipment to minimize the discharge impact on the local environs’ air and water.

3Rendering Provides Sustainable Solution

• Animal and food by-product recycling industry is “mission critical” in the food supply chain and is the most efficient and environmentally sound disposal alternative for a sustainable society.

• Over 54 billion pounds of inedible by-products generated annually from meat packers, poultry processors and retail food stores.

Non-Captive40%

Integrated or Cap-tive60%

US Rendering Breakdown

Cattle50%Swine

22%

Poultry28%

Inedible By-Product Origin

Source: NRA/Harvard Risk Assessment

4The Original Recycler

RAW MATERIAL

Tallow Meat & Bone Grease Hides

Leather

ShoesGarments

Upholstery

Bio-Fuels

Animal Feed

Pet Food

Poultry Feed

Hog Food

Animal Feed

Pet Food

Bio-FuelsSoap

Linoleic Acid

Oleic Acid Glycerine Stearic

Acid Fertilizer

LubricantsTextilesPlastics

ShampooEmulsifiers

CleanersCreams

EstersPaints

PlasticsLubricants

InksGlues

SolventsAntifreezeExplosives

RubberPlastics

TiresLubricants

Finished Products

Component By-Products

Component By-Products Applications

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Rendering Protects Human & Animal Health

• Industry safely and responsibly sanitizes and recycles more than 54 billion pounds of inedible materials generated each year by the animal production and meat industries.

• Rendering offers a sanitary and eco-friendly way to dispose of the massive amount of meat and food by-products produced every year.

• Such materials spoil easily and make an excellent media for pathogens to grow and multiply.

• Temperatures (> 250°F) used during processing are more than adequate to kill conventional disease-causing organisms, such as bacteria and viruses (most meats are cooked to 150° -180° F before serving).

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• Composting - Volume would fill 10,000 new Dallas Cowboy stadiums per year

• Landfill – Volume would reduce existing US landfill space by 25% per year and increase GHG emissions

• Incineration – Cost prohibitive and has air quality issues

• Burial – Potential for ground and surface water contamination

• Abandonment –Greatest threat to environment and human/animal health

• Without grease collections –municipal sewers would become occluded and cost $millions to clean

Essential “Gate Keeper” for People & PlanetWithout rendering…. critical issues using other methods of disposal:

Rendering is an Essential & Environmental Solution • Sustains the livestock, poultry, meats and restaurant industries• Protects the environment

• Prevents water contamination• Reduces greenhouse gas production

(methane, carbon dioxide and nitrous oxide emissions)• Reduces soil loading with phosphorus and nitrogen• Compared to other disposal methods,

reduces discharges of particulates, SOx, dioxins and hydrogen sulfide

• Protects human and animal health• Kills conventional pathogens• Prevents the spread of infectious diseases• Protects surface and groundwater from pathogens

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• Some pre-market death loss is an unfortunate but unavoidable consequence of animal production

• Rendering provides the infrastructure to safely address routine animal mortalities in most areas of the US

• Pre-planning to assure the US has an adequate infrastructure to address potential losses from natural or man-made catastrophic events is important

• Improper disposal of on-farm and catastrophic mortalities presents significant environmental and health-related challenges

8Rendering Protects Human & Animal Health

Specie Mortalities(lbs per yr)

Cattle 1,932,190,000

Swine 981,655,000

Sheep 64,106,000

Poultry 346,630,000

Total 3,324,570,000

NRA Member Rendering Facilities in the United States

Independent facilities

Captive – packer renderers

Green Impact

Industry Carbon Footprint• Recycling fat and protein significantly reduces the amount of greenhouse gases,

such as CO2, that is released into the environment as compared to alternative disposal methods, such as burial, incineration or dumping into already overflowing landfills.

Item Average Plant Industry

CO2 equivalents recycled, metric tons/year 233,740 73,807,000

• For approximately each metric ton of CO2 released by an average rendering plant, more than 11 tons of CO2 are removed from the environment through recycling versus other disposal methods.

Greenhouse gas reduction strategy Average plant IndustryNumber of cars taken off the road per year 42,810 13,517,766

Seedling trees planted per year 5,993,333 1,892,487,177

Tons of garbage diverted from landfills per year 80,600 24,450,690

• According to the US-EPA, the CO2 an average rendering facility recycles each year is equivalent to the following actions taken to reduce greenhouse gases:

Restaurant ServicesTrap Services

SUSTAINABILITY

Meat processing

Animal Production

Animal Slaughter

Meat byproducts

Feedingredients

Feed safetyprograms

Animal health

Recycling ServicesMunicipal

Infrastructure

Rendering’s Cycle of Sustainability

Darling and the rendering industry have been the gatekeepers of food safety and the environment for decades, offering a sanitary and eco-friendly way to dispose of the massive amount of meat and food by-products produced every year.

Rendering

Biofuel

Restaurants

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World Diesel Market 345 BGY

US18%

South America

7%

Europe28%Asia &

Oceania29%

Other18%

Rendered Products are a Sustainable Fuel

Fuels produced from bio-mass or non-petroleum sources• Technology is rapidly evolving

-Bio-diesel (methyl ester) vs. Green diesel (hydro-treating)

• Animal fats and greases have been slow to be incorporated• Limited food impact (Food vs. Fuel)• RFS will encourage incorporation

EIA World Energy Consumption – 2004 distillate fuel. Source: National Biodiesel Board.

Rendering …13

MISSION CRITICAL,

NECESSARY, ESSENTIAL andSUSTAINABLE

For more information, visit www.darlingii.com