June 7, 2013 – June 14, 2013
The summaries provided in this Weekly Recap do not necessarily represent the views of Squire Sanders (US) LLP and should not be deemed to be endorsements of them. The Recap is intended to be a compilation of articles and events to encourage discussion within the conflict minerals community and to keep our readers updated on the most recent developments.
Electronic Companies Aren’t Prepared for Conflict Minerals, But Tantalum Capacitor Manufacturers Are
James Carbone, in his article titled “Many Electronic Companies Aren’t Prepared for Conflict Minerals Rules,” highlights the fact that over a third of electronic companies are not prepared to comply with the conflict minerals rule, but that major tantalum capacitor manufacturers are prepared and believe that compliance with the rule is relatively easy.
Dave Valletta, executive vice president for worldwide sales at Vishay Intertechnology, is quoted as saying “It’s not a big problem. Vishay is in compliance and I think most of our major competitors are as well…The Dodd-Frank regulations were something that came up and everyone had to adapt to them and now it seems to be going along okay.”
Why are tantalum capacitor manufacturers having relative ease in complying with the conflict minerals rule? Gordon Hoey, global marketing manager, tantalum for capacitor manufacturer AVX, states “about 85% of the tantalum ore is processed into powder used in capacitors at one of four smelters…All four have passed the Electronic Industry Citizen Coalition audits.”
To read Mr. Carbone’s entire article, please see “Many Electronic Companies Aren’t Prepared for Conflict Minerals Rule.”
Douglas Alexander: “Conflict Minerals is a PR Opportunity”
Douglas Alexander, principal consultant at Component Engineering Consultants, wrote a piece on EBN’s website titled “Conflict Minerals: A PR Opportunity.” In his article, Mr. Alexander writes that the conflict minerals rule “has something to offer your company.” He argues that the “biggest concern for a publicly held company is for the shareholder and investor” and that “[j]umping in with both feet to support the CM rule would generate positive feedback for any company.”
To read Mr. Alexander’s entire article, please see “Conflict Minerals: A PR Opportunity.”
Compliance Week: How H-P Is Tackling Conflict Minerals Compliance
In its June 2013 issue, Compliance Week featured an article written by Joe Mont that discusses Hewlett-Packard’s approach to conflict minerals compliance.
Even though Hewlett-Packard began tracing conflict minerals in it supply chain in 2007 (well before the SEC adopted the conflict minerals rule in August 2012), Mr. Mont quotes Jay Celorie, Manager of H-P’s conflict minerals program, who states that “[H-P’s] work is still in the early and evolving stages.”
This may sound hopeless for companies who have yet to begin implementing conflict minerals compliance, but Mr. Celorie has advice for those companies: “partner with efforts like the Extractives Workgroup (which charges a $5,000 membership fee), and take advantage of the many consultants and seminars, many of which are available for free advice.”
To read Mr. Mont’s entire article, please see (subscription required) “How H-P is Tackling Conflict Minerals Compliance.”