1. Introduction & Commitment

This Environmental Policy (the "Policy") establishes Nexly Corporation's ("Nexly" or the "Company") commitment to environmental sustainability and responsible environmental stewardship. Located at 701 South Street Suite 100, Mountain Home, AR 72653, Nexly recognizes that its operations can have an impact on the environment and is dedicated to minimizing its environmental footprint, protecting natural resources, and contributing to a more sustainable future. This Policy reflects Nexly's core values and commitment to operating in an environmentally responsible manner. Our aim is to integrate environmental considerations into all aspects of our business, from product design and development to manufacturing processes and waste management.

Nexly’s commitment encompasses the following key principles:

• Compliance: To comply with all applicable environmental laws, regulations, and standards.
• Prevention of Pollution: To prevent pollution of air, water, and land.
• Resource Conservation: To conserve natural resources, including energy, water, and raw materials.
• Waste Reduction and Management: To minimize waste generation, promote reuse and recycling, and dispose of waste responsibly.
• Continuous Improvement: To continuously improve our environmental performance.
• Transparency: To communicate our environmental performance to stakeholders.
• Climate Action: To address climate change through emission reduction and other sustainable practices.

This Policy applies to all Nexly employees, contractors, vendors, and other individuals and entities working on behalf of the Company. This Policy should be read in conjunction with the Nexly Corporation Code of Conduct, the Supplier Code of Conduct, and all other relevant internal policies.

2. Environmental Goals & Objectives

To demonstrate its commitment to environmental responsibility, Nexly will establish and pursue specific environmental goals and objectives, which will be reviewed and updated regularly. These will include, but not be limited to:

• 2.1. Energy Efficiency: Reducing energy consumption.
  • Goal: Reduce energy consumption per unit of revenue by [Specify Percentage, e.g., 10%] by [Specify Year, e.g., 2028].
  • Objectives:
    • Implement energy-efficient lighting (e.g., LED) in all Company facilities.
    • Purchase energy-efficient equipment.
    • Optimize building energy management systems.
    • Encourage employees to conserve energy in their workspaces.
• 2.2. Greenhouse Gas (GHG) Emission Reduction: Reducing emissions from Company operations.
  • Goal: Reduce Scope 1 and Scope 2 GHG emissions by [Specify Percentage, e.g., 15%] by [Specify Year, e.g., 2030] compared to a [Specify Base Year, e.g., 2023] baseline.
  • Objectives:
    • Track and monitor GHG emissions from all Company operations.
    • Reduce emissions from business travel by [Specify Percentage, e.g., 20%] by [Specify Year, e.g., 2028] by promoting virtual meetings and using more fuel-efficient vehicles.
    • Invest in renewable energy sources, where feasible.
    • Offset emissions through carbon offsetting programs.
• 2.3. Water Conservation: Reducing water consumption.
  • Goal: Reduce water consumption per employee by [Specify Percentage, e.g., 10%] by [Specify Year, e.g., 2028].
  • Objectives:
    • Install water-efficient fixtures and appliances in Company facilities.
    • Implement water-saving landscaping practices.
    • Monitor water consumption and identify opportunities for improvement.
• 2.4. Waste Reduction & Recycling: Minimizing waste generation and maximizing recycling.
  • Goal: Divert [Specify Percentage, e.g., 75%] of waste from landfills by [Specify Year, e.g., 2028].
  • Objectives:
    • Implement comprehensive recycling programs in all Company facilities.
    • Reduce paper consumption through digital workflows.
    • Encourage the use of reusable materials.
    • Work with vendors to reduce packaging waste.
• 2.5. Sustainable Procurement: Promoting the procurement of sustainable products and services.
  • Goal: Ensure that at least [Specify Percentage, e.g., 80%] of all office supplies are sourced from sustainable vendors by [Specify Year, e.g., 2028].
  • Objectives:
    • Incorporate environmental criteria into procurement decisions.
    • Give preference to suppliers with strong environmental performance.
    • Procure environmentally friendly products (e.g., recycled content paper, energy-efficient equipment).

3. Roles & Responsibilities

Effective environmental stewardship requires a commitment from all levels of the organization. The following outlines the key roles and their responsibilities:

• 3.1. Board of Directors:
  • Provides oversight of the Company's environmental performance.
  • Approves the Environmental Policy and reviews its effectiveness.
  • Monitors the Company's environmental goals and objectives.
  • Ensures that environmental considerations are integrated into the Company's strategic plans.
• 3.2. Environmental Sustainability Committee (ESC) (or equivalent): (If applicable; or alternatively, a designated senior management group.)
  • Develops and implements the Environmental Policy.
  • Establishes and monitors environmental goals and objectives.
  • Develops and implements environmental programs and initiatives.
  • Monitors and reports on the Company's environmental performance.
  • Coordinates with various departments to integrate environmental considerations into all aspects of the business.
  • Conducts environmental audits and inspections.
  • Reviews and approves environmental mitigation plans.
  • Ensures that the Environmental Policy is regularly reviewed and updated.
  • The ESC will be comprised of [Specify Members and their Titles, e.g., CFO, Head of Operations, Facilities Manager, a representative from Marketing, etc.]. The Chair of the ESC will be [Specify Title, e.g., the CFO].
• 3.3. Chief Executive Officer (CEO):
  • Provides overall leadership and direction for the Company's environmental sustainability efforts.
  • Ensures that the Company's Environmental Policy is integrated into all business activities.
  • Supports the Environmental Sustainability Committee (or equivalent) in its efforts.
  • Communicates the importance of environmental sustainability throughout the organization.
• 3.4. Chief Financial Officer (CFO):
  • Oversees the financial aspects of the environmental sustainability program.
  • Works with the Environmental Sustainability Committee to develop and monitor environmental performance metrics and targets.
  • Ensures that environmental costs and benefits are accurately reflected in financial reporting.
• 3.5. Department Heads & Business Unit Managers:
  • Responsible for implementing the Environmental Policy within their respective departments or business units.
  • Identify and manage environmental risks and opportunities within their areas of responsibility.
  • Implement environmental programs and initiatives.
  • Report on environmental performance to the Environmental Sustainability Committee (or equivalent) and their management.
  • Foster a culture of environmental responsibility within their departments.
• 3.6. Facilities Management:
  • Manages the Company's facilities and operations to minimize environmental impact.
  • Implements energy-efficiency and water-conservation measures.
  • Manages waste reduction and recycling programs.
  • Monitors and reports on environmental performance.
• 3.7. Procurement Department:
  • Incorporates environmental criteria into procurement decisions.
  • Gives preference to suppliers with strong environmental performance.
  • Procures environmentally friendly products and services.
• 3.8. Marketing & Communications:
  • Communicates the Company's environmental commitment and performance to stakeholders.
  • Promotes sustainable practices internally and externally.
• 3.9. All Employees:
  • Responsible for understanding and adhering to the Environmental Policy.
  • Identifying and reporting potential environmental concerns.
  • Participating in environmental programs and initiatives.
  • Conserving resources and minimizing waste in their daily activities.

4. Environmental Management Practices

Nexly Corporation will implement a range of environmental management practices to minimize its environmental impact and achieve its environmental goals.

• 4.1. Energy Management:
  • Energy Audits: Conducting regular energy audits to identify opportunities for energy efficiency.
  • Energy-Efficient Equipment: Purchasing and utilizing energy-efficient equipment, appliances, and lighting.
  • Building Management Systems: Optimizing building energy management systems to reduce energy consumption.
  • Employee Awareness: Educating employees about energy conservation practices.
  • Renewable Energy: Exploring opportunities to use renewable energy sources, such as solar power.
• 4.2. Water Management:
  • Water-Efficient Fixtures: Installing water-efficient fixtures and appliances.
  • Water Conservation Practices: Implementing water conservation practices.
  • Leak Detection and Repair: Regularly inspecting for and repairing leaks.
  • Landscaping: Utilizing water-wise landscaping techniques.
• 4.3. Waste Management:
  • Waste Reduction: Implementing waste reduction strategies, such as reducing paper usage and promoting the use of reusable items.
  • Recycling Programs: Implementing comprehensive recycling programs for paper, plastics, glass, and other recyclable materials.
  • Waste Diversion: Aiming to divert waste from landfills through recycling, reuse, and composting.
  • Proper Waste Disposal: Disposing of hazardous waste and other waste materials responsibly, in compliance with all applicable regulations.
• 4.4. Sustainable Procurement:
  • Environmental Criteria: Incorporating environmental criteria into procurement decisions, such as considering the environmental impact of products and services.
  • Supplier Selection: Giving preference to suppliers with strong environmental performance.
  • Sustainable Products: Procuring environmentally friendly products, such as recycled content paper, energy-efficient equipment, and products with reduced packaging.
  • Life Cycle Assessments (LCAs): Considering the full life cycle of products and services, from raw material extraction to disposal.
• 4.5. Transportation and Travel:
  • Business Travel Reduction: Promoting virtual meetings and reducing unnecessary business travel.
  • Fuel-Efficient Vehicles: Using fuel-efficient vehicles for company-related travel.
  • Employee Commuting: Encouraging employees to use public transportation, carpool, or walk or bike to work.
• 4.6. Environmental Training and Awareness:
  • Employee Education: Providing all employees with training on Nexly Corporation's Environmental Policy, environmental best practices, and their individual responsibilities.
  • Awareness Programs: Conducting environmental awareness campaigns to educate employees and promote environmental responsibility.
  • Communication of Performance: Communicating the Company’s environmental performance to employees and stakeholders.

5. Environmental Audits and Performance Monitoring

Nexly Corporation will regularly monitor and measure its environmental performance to assess progress towards its environmental goals and objectives.

• 5.1. Environmental Audits: Conducting regular environmental audits.
  • Audit Frequency: Environmental audits will be conducted at least [Specify Frequency, e.g., annually], or more frequently as needed.
  • Audit Scope: Audits will cover all aspects of the Company's operations, including energy consumption, water usage, waste management, and compliance with environmental regulations.
  • Audit Procedures: Audits will be conducted by qualified personnel. [The Company may employ internal staff or external consultants to conduct the audits].
  • Audit Reporting: Audit findings will be documented and reported to the Environmental Sustainability Committee (or equivalent) and senior management.
• 5.2. Performance Monitoring: Tracking key environmental performance indicators (KPIs).
  • KPIs: Identifying and tracking key performance indicators (KPIs) related to energy consumption, greenhouse gas emissions, water usage, waste generation, and recycling rates.
  • Data Collection: Collecting and analyzing data on environmental performance.
  • Performance Reporting: Regularly reporting on the Company's environmental performance to the Environmental Sustainability Committee (or equivalent) and senior management.
• 5.3. Regulatory Compliance: Ensuring compliance with all applicable environmental laws and regulations.
  • Legal Register: Maintaining a legal register of all applicable environmental laws and regulations.
  • Compliance Reviews: Conducting regular reviews to ensure compliance with environmental regulations.
  • Permitting and Reporting: Obtaining all necessary environmental permits and licenses.

6. Supplier Engagement

Nexly Corporation will engage with its suppliers to promote environmental sustainability throughout its supply chain.

• 6.1. Supplier Code of Conduct: Requiring suppliers to adhere to Nexly's Supplier Code of Conduct, which includes environmental requirements.
  • Code of Conduct: The Supplier Code of Conduct will outline Nexly Corporation's expectations for supplier environmental performance.
  • Supplier Assessment: Assessing suppliers' environmental performance, as appropriate.
• 6.2. Sustainable Sourcing: Prioritizing the sourcing of products and services from suppliers that demonstrate a commitment to environmental sustainability.
  • Preference for Sustainable Suppliers: Giving preference to suppliers with strong environmental performance.
  • Collaboration: Working with suppliers to improve their environmental performance.
• 6.3. Packaging and Materials: Working with suppliers to reduce packaging waste and promote the use of sustainable materials.

7. Emergency Preparedness and Response

Nexly Corporation will develop and maintain emergency preparedness and response plans to address environmental incidents.

• 7.1. Spill Prevention and Response:
  • Spill Prevention Measures: Implementing measures to prevent spills of hazardous materials, including proper storage and handling procedures.
  • Spill Response Plan: Developing and maintaining a spill response plan, outlining procedures for responding to spills, including containment, cleanup, and reporting.
• 7.2. Emergency Response Plans: Developing and maintaining emergency response plans to address other environmental incidents.
  • Incident Preparedness: Identifying potential environmental hazards and preparing for potential emergencies, such as fires, floods, or other natural disasters.
  • Communication and Reporting: Establishing procedures for reporting environmental incidents to the appropriate authorities.
  • Training: Providing employees with training on emergency response procedures.

8. Community Engagement

Nexly Corporation will seek opportunities to engage with the local community and support environmental initiatives.

• 8.1. Community Partnerships: Supporting community environmental initiatives and organizations.
• 8.2. Education and Outreach: Participating in community outreach and education programs to promote environmental awareness.
• 8.3. Stakeholder Communication: Communicating the Company’s environmental performance and initiatives to the community.

9. Policy Review & Amendments

This Environmental Policy will be reviewed and updated regularly to ensure its continued relevance and effectiveness and compliance with relevant environmental laws and practices in Mountain Home, AR. Nexly Corporation is committed to continuously improving its environmental performance and adapting to new challenges and opportunities.

• Review Frequency: The Environmental Policy will be reviewed at least [Specify Frequency, e.g., annually], or more frequently as needed.
• Review Process: The review process will involve:
  • Input from Stakeholders: Seeking input from key stakeholders, including the Environmental Sustainability Committee (or equivalent), department heads, and external experts.
  • Performance Assessment: Assessing the Company's environmental performance and identifying areas for improvement.
  • Regulatory Updates: Reviewing and updating the Policy to reflect changes in environmental laws, regulations, and standards.
  • Best Practices: Reviewing and incorporating new industry best practices.
• Policy Updates & Communication: Any amendments to this Environmental Policy will be approved by [Specify Approving Authority, e.g., the Board of Directors or the Environmental Sustainability Committee] and communicated to all employees through [Specify Communication Channels, e.g., company-wide email, intranet posting, training sessions]. Employees are responsible for being aware of and adhering to any changes.
• Policy Ownership: The Environmental Sustainability Committee (or equivalent), with support from relevant departments (e.g., Legal, Operations, Facilities), is responsible for maintaining and updating this Environmental Policy.

10. Policy Enforcement & Non-Compliance

Nexly Corporation is committed to enforcing this Environmental Policy and taking appropriate action to address any instances of non-compliance. Adherence to this Environmental Policy is a condition of employment.

• Employee Responsibilities: All employees are responsible for understanding and adhering to this Environmental Policy. Employees are required to identify and report potential environmental concerns.
• Consequences of Non-Compliance: Failure to comply with the Environmental Policy, or any related laws, regulations, or procedures, may result in disciplinary action, up to and including termination of employment. The severity of the disciplinary action will depend on the nature and severity of the non-compliance.
• Investigation of Incidents: Any reported environmental incidents or suspected violations of this Policy will be investigated thoroughly and promptly.
• Corrective Action: Corrective action will be taken to address any instances of non-compliance, including:
  • Process Improvement: Implementing improvements to processes, controls, and training.
  • Remediation: Remediating any environmental damage caused by the non-compliance.
  • Reporting: Reporting non-compliance to the appropriate authorities, as required by law.
• Reporting Mechanisms: Employees are encouraged to report any concerns or suspected violations of this Policy through [Specify Reporting Mechanisms, e.g., their manager, the Environmental Sustainability Committee, the Ethics Hotline, etc.]. Nexly Corporation will protect the confidentiality of individuals who report concerns in good faith.

11. Policy Accessibility

Nexly Corporation makes this Environmental Policy accessible to all relevant parties.

• Availability: This Policy will be readily accessible to all employees through:
  • The Nexly Corporation Intranet at [Insert Intranet Link].
  • The Company's Employee Handbook.
  • Upon request from the Human Resources or Environmental Sustainability Committee (or equivalent) department.
• Distribution: This Policy will be distributed to all new employees during their onboarding process.
• Acknowledgment: Employees will be required to acknowledge that they have read and understood this Policy.
• Updates: All updates to this Policy will be communicated to employees through the established communication channels (e.g., email, intranet postings, training sessions).