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Reducing Toxic Ingredients in Cosmetics Our Environmental Health Shareholder Campaign has entered into talks with Johnson & Johnson and filed a shareholder resolution at Avon - asking both companies to eliminate toxic ingredients. Many cosmetics contain chemicals linked to cancer, birth defects and other serious health impacts. Of some 10,000 ingredients in use nearly 90% percent of these have never been evaluated for safety by the FDA or the Cosmetics Industry Review panel. According to the Environmental Working Group one-third of all cosmetic products contain one or more ingredients classified as possible human carcinogens. Among the toxins commonly found are phthalates and parabens, used in perfumes, lotions and deodorants, which have estrogenic properties implicated with breast cancer as well as diethanolamine, a chemical that is used as a wetting agent in shampoos, lotions, creams and other cosmetics which can react with other ingredients to form carcinogens linked with stomach, esophagus, liver and bladder cancers. Because of high frequency cosmetics use, women are disproportionately impacted. The new European REACH rules are forcing cosmetics companies to reformulate products to safer standards in Europe but many companies are not making the same changes for product offerings in the United States. Our push with cosmetic companies is to bring US products up to these safer standards. We working in collaboration with other socially responsible investors, the Breast Cancer Fund, and the Safe Cosmetics Campaign. Barring Intimidation of Workers at Wal-Mart Citing nearly 100 formal complaints charging violation of federal labor law at Wal-Mart Stores, As You Sow filed a shareholder proposal asking the company to set a formal policy barring intimidation of employees exercising their right to freedom of association. The company has been accused of firing and spying on employees suspected of being sympathetic to unions, and making unlawful interrogation of employees to dissuade them from organizing. "For years we have focused on ensuring that overseas suppliers of large US companies treat their employees properly and offer a workplace free of intimidation. Ironically, Wal-Mart's poor record on freedom of association at its domestic stores shows we need to pay more attention to the rights of workers in the US," said Conrad MacKerron, Director AYS' Corporate Social Responsibility Program. The company has a double standard on workers' rights. It opposes unions in North America but allows unions at retail stores in China, where the only sanctioned union is one controlled by the Communist Party, which does not necessarily serve workers interests. It has not actively fought established unions at its stores in Germany. Harassment of workers who talk to unions, forced overtime and locking employees in stores are considered human rights violations in supplier factories. As You Sow believes they are human rights violations when they occur in a US Wal-Mart as well. If the proposal survives an expected challenge by the company, it will be voted on by shareholders in June. As You Sow will also continue an active dialogue with the company on treatment of international supply chain workers in collaboration with the Interfaith Center on Corporate Responsibility. Smoke-Free Movies Campaign Heats Up  Strong evidence has emerged that the primary recruiter of new young smokers is adolescent exposure to smoking images in motion pictures. A nationwide study published in the journal of the American Academy of Pediatrics shows that 10-14 year-olds who see the most smoking on screen are nearly three times more likely to start smoking than those who see the least. A second study found more smoking in movies now than in the 1950's, and more in youth-rated (G/PG/PG-13) films than adult-rated (R) films. Over the last six years, 77 percent of live-action PG-13 films have featured tobacco. PG-13 movies are intensively promoted to the 12-17 year-old age group most susceptible to start smoking. Nine of ten smokers begin in their teens, leading to more than 60,000 tobacco deaths a year in future decades. We are working in collaboration with noted UCSF medical researcher Dr. Stan Glantz (shown above with AYS Associate Director Michael Passoff) and following the recommendations of the National PTA, the American Heart Association, American Lung Association and American Medical Association. As You Sow is asking leading movie studios Disney, Time Warner, General Electric (Universal) and Viacom (Paramount) to rate movies with smoking "R", ensure that no specific brands are identifiable, run anti-smoking ads, and certify that no funds are received from tobacco companies to show smoking. Push for Transparency on Corporate Political Contributions As You Sow has filed shareholder resolutions at Clear Channel Communications, ExxonMobil and Monsanto calling for reporting on their political contributions. Transparency on political contributions is an essential step for establishing corporate accountability. Disclosure of contributions will help us to study the depth of their links to special interest groups, providing a building block for a more coordinated campaign in the future. For example, ExxonMobil is a primary funder of anti-climate change pseudo-science. In addition, according to Political Money Line, in 2003-04, ExxonMobil contributed at least $100,000 to federal elections. Similarly there have been questions about Clear Channel using its market position to further a political agenda. In 2004 Clear Channel gave at least $650,000 to ballot initiatives in California. There is currently no single, unified source that provides the information sought by this resolution. Absent a system of accountability, corporate executives are free to use a company's assets for political objectives that may not be shared by and may be inimical to the interests of the company and its shareholders. This effort is in conjunction with a national campaign coordinated by the Center for Political Accountability. We anticipate managing the dialogue with these companies as well as a shareholder solicitation campaign on this important issue. As You Sow Holiday Party Photos
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