Achieving a Recycling Ratio of 95%

Mazda appropriately processes and recycles three designated items-fluorocarbons, airbags and ASR^*-pursuant to the End-of-Life Vehicle Recycling Law. As a result, the recycling ratio for end-of-life vehicles in FY2007 was 95%, equaling that of FY2006.

We ensure the appropriate payment of recycling fees at dealerships, and the collection and transfer of end-of-life vehicles from the final owners to processing companies.

* Automobile shredder residue (ASR) is the residue that remains after the crushing/shredding of batteries, tires, fluids and other components needing processing; engines, bumpers and other items after the removal of valuable parts; and their separation and recovery as different metals.

Recycling of ASR: 69% Recycling Rate

Mazda promotes higher recycling rates while fully observing legal compliance, through the Automobile shredder residue Recycling promotion Team (ART), a group formed from 13 companies-including Nissan Motor Co., Ltd., and Mitsubishi Motors Corporation-to specify collecting agents, establish facilities to recycle materials and perform other planning work.

In FY2007, Mazda collected about 34,000 tons of ASR from approximately 200,000 vehicles. Of this total, we recycled 24,000 tons, reaching a recycling rate of 69%, versus the legal minimum of 30%.

Recovery and Destruction of Fluorocarbons, Recycling of Airbags

Mazda ensures the appropriate processing and recycling of fluorocarbons and airbags through the Japan Auto Recycling Partnership (JARP), an umbrella organization established jointly by automakers in Japan to enable appropriate, failure-free and efficient recovery and recycling of fluorocarbons and airbags.

In FY2007, Mazda collected approximately 42,000 kilograms of fluorocarbons from approximately 138,000 vehicles and approximately 113,000 airbags from approximately 65,000 vehicles. The airbag recycling rate was 94%, versus the legal minimum 85%.

• End-of-Life Vehicle Recycling Process

• FY2007 Recovery of Three Designated Items

Vehicles from which fluorocarbons were recovered		138,129
Vehicles from which airbags were recovered		65,097
Vehicles contributing to ASR gross recovery volume		200,238
Recycling ratio	Airbags	94% (legal minimum: 85%)
	ASR	69% (legal minimum: 30%)
Total value of repaid deposits		¥1,535,133,119
Total costs of recycling, etc		¥1,552,223,553

Promoting Recycling in Europe and China

Mazda promotes vehicle recycling overseas, as well as in Japan. In most European countries, laws were revised in January 2007 to require automakers to collect scrap vehicles from their final owners free of charge and bear all or the majority of the recycling costs. With recovery of disposed vehicles beginning in all European countries, we are coordinating with the Ford Group to build a scrap vehicle collection network.

Preparations are also underway for the 2010 enactment of the End-of-Life Vehicle Recycling Law in China, and Mazda is considering measures to accommodate the legislation.