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This New Year, Abbott, PHH Arval, and Environmental Defense Resolve to Address Climate Change Through Innovative Vehicle Fleet Program

January 11, 2007 - Press Release

Abbott [NYSE: ABT], one of the world's leading health care companies, is working to address the challenge of transportation-related greenhouse gas emissions by announcing its participation in the PHH GreenFleet pilot program designed to improve vehicle efficiency and reduce fuel consumption among commercial fleets. Reducing emissions from its vehicle fleet will help Abbott meet its corporate goal of reducing operational greenhouse gas emissions to 10 percent below its 2004 levels by 2010. Abbott is the first company to sign on to this innovative program which was developed jointly by PHH Arval and Environmental Defense to reduce pollution among the approximately nine million U.S. vehicles registered to commercial vehicle fleets. Fleet vehicles are driven an average of 25,000 miles per year – nearly double the mileage, fuel consumption, and corresponding emissions of personal vehicles. As a result, fleet vehicles are major consumers of oil and gasoline and sources of air pollution. Through the PHH GreenFleet program, Abbott has found an innovative way to reduce the environmental impact of its fleet. "Our business revolves around helping people lead healthier lives. This includes minimizing our impact on climate change and other environmental issues," said Bob Accarino, director, global environmental affairs, Abbott. "We're proud to work with PHH Arval and Environmental Defense in this pilot program as we work together to find ways to improve the environment and educate people about the impact vehicle emissions have on the planet."Participation in this pilot program is part of Abbott's ongoing commitment to help protect the environment. As part of the PHH GreenFleet pilot program, Abbott established a greenhouse gas baseline and incorporated more efficient vehicles into the fleet. In order to encourage drivers to choose more environmentally friendly vehicles, Abbott offered upgrade incentives such as satellite radios and sunroofs and clearly communicated with drivers about the environmental impacts of their choices. As a result, in the most recent fleet selection, 20 percent of drivers chose more fuel-efficient vehicles, improving the Abbott fleet’s average fuel economy, reducing average per vehicle greenhouse gas emissions and decreasing projected per vehicle operating costs. "PHH GreenFleet provides fleet managers with a road map to improved efficiency and environmental performance," said George Kilroy, president and chief executive officer, PHH Arval. "We are thrilled to be working with Abbott in this effort to help the company reduce its environmental impact while at the same time reducing its fleet expense."The PHH GreenFleet program is designed to help companies cost-effectively measure, reduce, and offset their greenhouse gas emissions. Participation includes: in-depth analysis and recommendations to improve efficiency and reduce greenhouse gas emissions; quarterly measurement and reporting of emissions; and resources to offset remaining emissions."Fluctuations in gas prices and melting glaciers both point to the urgent need to reduce fuel use and minimize greenhouse gas pollution," said Environmental Defense Director of Corporate Partnerships Gwen Ruta. "Abbott and PHH Arval are innovators in this area, helping to lead the way. We encourage other companies to follow their model and join us in cutting costs and protecting the environment." [1] U.S. Department of Energy, Transportation Energy Data Book, Edition 25, 2006. About Abbott
Abbott is a global, broad-based health care company devoted to the discovery, development, manufacture and marketing of pharmaceuticals and medical products, including nutritionals, devices and diagnostics. The company employs 65,000 people and markets its products in more than 130 countries. To learn more, visit www.abbott.com.About Environmental Defense
A leading national nonprofit organization, Environmental Defense represents more than 500,000 members. Since 1967, Environmental Defense has linked science, economics, law and innovative private-sector partnerships to create breakthrough solutions to the most serious environmental problems. For more information, visit www.environmentaldefense.org.About PHH Arval
PHH Arval, a subsidiary of PHH Corporation [NYSE: PHH], is the second largest fleet management services provider in the United States and Canada combined. PHH Arval provides outsourced fleet management solutions to corporate clients, including nearly one-third of the Fortune 500 companies, and government agencies. Through consultative expertise, flexible customer service, and award-winning Internet technology, PHH Arval helps clients reduce costs and increase productivity. For more information, visit www.phharval.com, or call 800 ONLY PHH.
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