McDougall St. Toowoomba,QLD, 4350 PH: FAX: Contact Officer: TONY ISO-AHO

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173-181 McDougall St. Toowoomba,QLD, 4350 PH: 07 4699 9900 FAX: 07 4633 1830 Email: homeice@bigpond.com.au Contact Officer: TONY ISO-AHO 2

CONTENTS PAGE 1.0 Executive Summary 3 2.0 Pixie Ice Cream Pty Ltd 4 2.1 History 4 2.2 Principal Activities and Brands 5 3.0 Australian Packaging Covenant 5 3.1 Pixie Ice Cream Pty Ltd Commitment to the Environment 5 3.2 Major Achievements Under The Previous Covenant Action Plans 6 3.3 Pixie Ice Cream Pty Ltd Commitment to the Australian Packaging Covenant 7 3.4 Action Plan 8 Appendix 1: Plan Goals for July 2010 to June 2015 9 Appendix 2: Sustainable Packaging Guidelines Review of Packaging For Pixie Ice Cream 10 3

1.0 Executive Summary Pixie Ice Cream Pty Ltd has always been environmental conscious, as 95% of the packaging materials used are derived from recycled materials or are made from materials that can be recycled. This is the first action plan under the newly formed Australian Packaging Covenant. Pixie Ice Cream Pty Ltd has been involved with the National Packaging Covenant since 2001. This plan outlines the specific actions the company will undertake to reduce the impact of its packaging upon the environment over a five year period. Each year the company shall report to the covenant according to the Key Performance Indicators (KPIs) set by the covenant. The initiatives implemented from the plan will continue to provide environmentally sustainable development beyond the life of the new covenant. Beth French Managing Director 4 Page 3

2.0 Pixie Ice Cream Pty Ltd 2.1 History In 1959, Keith Reisinger, a refrigeration engineer in a Toowoomba dairy factory, decided that he could manufacture a superior ice cream using rich, Darling Downs milk. From a small plant at the rear of his home, he progressively established Pixie Ice Cream as an alternative to the major brands of the day, particularly in South East Queensland. As the business developed, Keith, with support from his wife Berenice and their growing family of 5 children, built a state of the art factory on the outskirts of Toowoomba. This factory was able to produce product for the Pixie brand, and for many other brands as a contract packer. In 1988 Home Ice Cream was born. The principle was simple - a range of high quality products, vended each fortnight into customers streets, at bulk saving prices. It was a concept, which ice cream fans grasped immediately and from small beginnings in Brisbane, Home Ice Cream is now available in Adelaide, Melbourne, Sydney and Brisbane, plus most of the major coastal population centres between Sydney and Cairns. Today, Home Ice Cream and Pixie Ice Cream (which remains the manufacturing base) are still privately owned by the Reisinger family, with three generations currently working within the business. Their commitment to state of the art resources, the highest quality controls and innovative products, continues to see a large range of frozen treats offered to customers all over Australia. 5 Page 4

2.2 Principal Activities and Brands Pixie Ice Cream Pty Ltd manufactures the Home Ice Cream brand, which accounts for a portion of the Australian ice cream market. Home Ice Cream comprises of frozen ice blocks, ice cream tubs, ice cream desserts, frozen yoghurts and a range of modified products for specific dietary requirements. 3.0 Australian Packaging Covenant The strengthened Australian Packaging Covenant has now superseded the old National Packaging Covenant. The Australian Packaging Covenant s objective is to minimise the environmental impacts of packaging by looking at design, recycling and product stewardship. The new covenant has been improved by reducing the number of goals but increasing the emphasis on better packaging design (which are consistent with the Sustainable Packaging Guidelines), and by reducing the key performance indicators (KPIs) to minimise the data collection and reporting burden. 3.1 Pixie Ice Cream Pty Ltd Commitment to the Environment Pixie Ice Cream Pty Ltd has always had the highest regard to protecting the environment, before it had become fashionable to do so. This has brought about the close working relationship we have with our suppliers of packaging and raw ingredients in minimising 6 Page 5

packaging waste (for example Pixie Ice Cream Pty Ltd reuses re-sealable plastic pails for fruit supplied from Foodpac and for honey from various honey suppliers). This philosophy has also carried through to Home Ice Cream Pty Ltd, with the boxes containing the ice blocks being made from recycled paper supplied from Visy Industries; and the selling of ice blocks in bulk pack sizes to reducing packaging volumes. Where ever possible existing box designs are used for new products. If a new design is needed then the most efficient use of the pallet space is also investigated in the box design. Pixie Ice Cream Pty Ltd developed an Environmental Management Plan, in 1998, where the factory started to recycle packaging waste. 3.2 Major Achievements Under The Previous Covenant Action Plans Under the National Packaging Covenants: The Company installed laser printers on some machines, which eliminate the printing ink used for the ingredients and nutritional information. The Company eliminated the use of poly coated paper and reduced the amounts of wax paper used. The company increased the amount of cardboard waste it was recycling. The company started to recycle it s used plastic drums and containers. 7 Page 6

Adopted and implemented the Environmental Code of Practice for Packaging. In conjunction with our suppliers the company reduced the ice block wrapper weight by 2%. In conjunction with our suppliers, the company returns used outer packaging to the packaging suppliers for reuse. Home Ice Cream depots commenced recycling of as much cardboard and plastic as possible. Home Ice Cream depots returned undamaged cardboard Pallet Sheets back to the factory for reuse. 3.3 Pixie Ice Cream Pty Ltd Commitment to the Australian Packaging Covenant Pixie Ice Cream Pty Ltd will implement the new Sustainable Packaging Guidelines as part of its action plan under the Australian Packaging Covenant, in conjunction with the new Key Performance Indicators (KPIs). Pixie Ice Cream Pty Ltd has a Packaging Material Purchasing Policy, which guides us in the purchasing of packaging material. We endeavor, wherever possible providing the safety of the product is not compromised, to purchase packaging material, which is firstly made up of recycled 8 Page 7

material. If recycled material is not available then the material needs to be recyclable. If these two types of packaging material, or a combination of these two types are not feasible; then and only then do we only would look at materials, which cannot be recycled. We continually investigate advances in packaging technology, packaging materials and designs which would offer the least impact with the environment, while still functioning to the same standard required from the existing packaging. This commitment to the environment has continued with the company being a signatory of the new Australian Packaging Covenant. This Covenant allows the setting of improved benchmarks for our company to continually improve packaging and reduce the effect this waste has on the environment. 3.4 Action Plan During this five-year action plan, we will strive to improve every year on the gains achieved with the previous years. Thus maintaining the continuous improvement philosophy of the covenant, and ensuring the sustainable use of our resources. Each year we will review the performance of each action against its proposed target, and report our results to the covenant. Appendix 1 contains the new action plan under the improved Australian Packaging Covenant. 9 Page 8

Appendix 1 Plan Goals for July 2010 to June 2015 Performance Goal Outcomes Key Performance Indicators Action Plan 1 Design optimize packaging to achieve resource efficiency and reduce environmental impact without compromising product quality and safety. Packaging designed to: Avoid or minimise the use of materials and other resources. Optimize recyclability and recycled content. Reduce litter impacts. Implement Sustainable Packaging Guidelines for design or procurement of packaging. Sustainable Packaging Guidelines implemented (see Appendix 2) All new packaging design or procurement of packaging will be assessed along these guidelines. 50% of existing packaging will be assessed by the 2010-2011 annual report with the remainder being assessed the following year. 2 Recycling The efficient collection and recycling of packaging. A contribution to improved recovery of packaging from households and away from home sources. Recycle used packaging The factory currently recycles cardboard waste from primary and secondary packaging. The depots return pallet sheets with the pallets for reuse. The depots recycle cardboard and plastic (if available). Due to the lack of plastic collection facilities the factory does not recycle plastic with the exception of: [1] unused clean plastic (tubs, lids and cups) which are recycled on site and [2] plastic drums from secondary sources which are picked up for recycling. Increased secondary markets for recovered packaging materials. Proportion of signatories with a policy to buy products made from recycled packaging. The factory has a Packaging Material Purchasing Policy which covers the buying of recycled materials (see point 3.3). As we are producing a food product we are limited to the type of recycled product we can use. Currently 79% of our primary cartons are made totally from recycled cardboard. 3 Product Stewardship a demonstrated commitment to product stewardship Signatories in the supply chain working with others to improve design and recycling of packaging. Signatories to have a formal process for working with others to improve design and recycling of packaging. Our products are designed to be consumed at home and as such all recyclable items would be picked up by the kerbside recycling scheme. Currently 97% of our packaging is recyclable. We work with our suppliers so that when new advances in packaging are made, we investigate whether these advances will aid us as well as lower our packaging content without exposing our customers to any harm. Once all the existing packaging has been assessed according to the Sustainable Packaging Guidelines, then all the packaging will be reviewed to determine if the packaging design can be improved, or the recycling of used packaging can be increased. Reduction in Litter. Reduction in the number of packaging items in the litter stream. The Home Ice Cream novelty range is sold in bulk pack sizes, which reduces the individual litter items. 10 Page 9

Appendix 2 Sustainable Packaging Guidelines Review of Packaging For Pixie Ice Cream As common packaging components are used for different products (i.e. wrappers, boxes, tubs, foils, sleeves, tubes), the Stock Keeping Units (SKUs) have been grouped into general product types. Currently these 21 groups cover 54 different finished products. Date: Reviewed by: Product: SKU Code: Primary Packaging Tube & foil / Box Cup & wad / Box Sleeve & wad / Box Wrapper / Box Tray / Lid / Box Tub / Lid Secondary Packaging None Outer Box GMF Boards Shrink Wrap Tertiary Packaging Pallet Sheet Hand Wrap Pallet Cap Pallet Wrap 11 Page 10

Appendix 2 Sustainable Packaging Guidelines Review of Packaging For Pixie Ice Cream Company Guidelines Strategy Key Question Has this been considered If yes - then outcome. If no - then reason Documentation, evidence Actions to address Minimise Usage. Minimise packaging by using optimal combination of primary, secondary, and tertiary packaging. Is the package designed to be fit for purpose, but not over packaged? Has the package been designed to use the minimum amount of material to suit the required level of functionality? Use renewable or recyclable materials. Packaging designed to use renewable and / or recyclable materials. Are the materials from renewable sources and are they harvested using sustainable farming or forestry practices? What is the potential for incorporating recyclable materials? Use recycled materials. Packaging should maximize the use of recycled material providing it is not detrimental to the packaged product. What is the amount of recycled content in the Primary, Secondary and Tertiary packaging? Can more recycled content be used? Minimise risks with potentially toxic and hazardous materials. The packaging should be assessed for potentially toxic or hazardous substances and any risk is to be reduced accordingly. Does the packaging meet Australian or international standards concerning toxic and harmful substances? Design for transport. The packaging should be designed to maximize the efficiency of transport. Can the distribution packaging be reduced or eliminated? How efficient is the pallet configuration, and can it be improved? 12 Page 11

Design for reuse. Need to consider whether reuse is practical and environmentally beneficial. Is any part of the packaging material reusable without risk to the product or consumer? Can the packaging be made to be reusable, then how many reuses before this is not possible? Design for recovery. Packaging should maximize recovery and recycling at end-of-life, avoiding contamination from other components. How much of the package is recyclable? Any problems in recycling the various materials? Is the package clearly labelled to encourage consumers to recycle and are the rigid plastics marked with the identification code? Design for Litter reduction. Any package that tends to be found in the litter stream needs to be designed to reduce the likelihood of it becoming litter. Is the package likely to be consumed away from home and thus have a tendency to become litter? 13 Page 12