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Hong Kong and Shanghai Banking Company (HSBC)



             Environment.
             As mentioned above, HSBC continues to be committed with the climate change issues of today. In fact, on 6 December 2004, HSBC made a commitment to become the world's first major bank to achieve carbon neutrality by 2006. To take this forward, HSBC put in place a Carbon Management Plan  consisting of three parts: to manage and reduce direct emissions; to reduce the carbon intensity of the electricity used by buying ˜green electricity' where feasible; and to offset the remaining emissions in order to achieve carbon neutrality. Offsets need to be credible, genuinely incremental and cost-effective.
                                   In July 2005, HSBC announced its commitment to reducing CO2 emissions by 5 per cent by 2007 compared with 2004 across the Group. To co-ordinate the implementation of the plan, HSBC has set up a Carbon Management Task Force spearheaded by the Group Chief Executive. This comprises HSBC's Corporate, Investment Banking and Markets' Project Finance, and Energy and Utility Sector teams; Group Sustainable Development; Corporate Real Estate; and Group Corporate Affairs. The task force is advised by The Climate Group and ICF Consulting, an international consultancy. As a ˜dry run', HSBC has offset its Group-wide emissions for the last quarter of 2005. Allowing for a 5 per cent margin of error, the total emissions amount to 170,000 tons of carbon dioxide. To offset these emissions, HSBC has bought 170,000 tons of carbon offset credits from four offset projects around the world. The average price per ton of offset amounts to US$4.43.
             Organizational Strategies.
             HSBC  aims to become the world's leading financial services company, seeking to increase rate of revenue growth by building a world class, ethical sales and marketing culture. The main objective of their strategy is to ensure that shareholders get a better return from HSBC than they would from investing in other financial services companies.


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