to incorporate modular design into all of our new products we will signifcantly reduce waste while maximizing existing knowledge and toolskey elements of responsible design Y ou will also learn about new companywide efforts to streamline our processes and engage our employees in continuous improvement For example you will read about the 8 W astes programan exciting new initiative at T ennant that leverages the knowledge of our employees as we seek to constantly reduce waste and improve the way we operate Although this program is still in its infancy it has already resulted in signifcant operational improvements Just as important it refects the organizational and cultural shift that is taking place at T ennant in the area of sustainability A s you will read in this report T ennant s commitment to sustainability is strong and yielding measurable results W e lead the industr y in developing products that improve our customers productivity while delivering high per formance cleaning with fewer negative environmental impacts Our portfolio of innovative differentiated sustainable offerings has grown to include ecH2O technology the Orbio 5000Sc reformulated foor coatings and other products that help customers reduce their environmental impact W e believe customer acceptance of these innovations refects their strong appetite to become more sustainable in their daily cleaning operations Despite these successes we are not content to simply maintain our positive steady progress W e are motivated to challenge the status quo through an organizational shift that represents an expanded systematic focus on running our global business as a sustainable enterprise T o support the intensifed focus on sustainability we have formally elevated our sustainability efforts to the offce of the CEO W e launched this initiative in Februar y 2013 by creating a new role Director Sustainable Enterprise to oversee the process The new position reports directly to me Moving for ward all sustainability efforts will be guided by a council of senior leaders at T ennant Company W e are excited about this new direction and confdent we will continue to realize material improvement along economic environmental and social dimensions in the months and years to come This new initiative builds on the foundation created over the last few yearsa foundation that includes four years of sustainability reporting with broadening scope the development of a network of sustainability experts to advise various areas of the company and the launch of a variety of projects across T ennant designed to reduce waste and conser ve energy In the coming months our new sustainability council will continue to develop and roll out an updated strategy that will include goals metrics and decisionmaking mechanisms W e have already started this process by conducting a series of meetings around the world with key T ennant stakeholders The insights gained from these meetings will help shape and sharpen our sustainability focus W e l o o k f o r w a r d to engaging you as we move for ward and keeping you updated on our progress I am ver y proud of the work weve done so far on the sustainability front I am honored to be playing a central role as we accelerate our sustainability journey W orking together with T ennant s dedicated employees around the world I am confdent that we will continue to lead the industr y in sustainable cleaning innovation Chris Killingstad President and Chief Executive Offcer CHANGING HOW THE WORLD CLEANS 5