Communication on Progress, United Nations Global Compact
Stockholm, Sweden, May 7, 2020
Statement by the CEO

I am pleased to confirm that L E Lundbergföretagen AB reaffirms its support of the ten principles of the United Nations Global Compact in the areas of Human Rights, Labor, Environment and Anti-Corruption.

L E Lundbergföretagen AB is committed to making the Global Compact and its principles part of the strategy, culture and daily operations. In our Communication on Progress report, we document the progress within L E Lundbergföretagen AB as well as within our major holdings.

We also commit to share this information with our stakeholders, using our primary channels of communications.

Yours sincerely,

Fredrik Lundberg
CEO, L E Lundbergföretagen AB

Act in line with the relevant legal requirements where the company operates
Act in line with the UN Global Compact by complying with applicable laws, regulations and international guidelines and policies governing the environment, anti-corruption, labor law and human rights.
Implement investments by taking into account their longterm economic, social and environmental impact.
Have workplaces that are characterized by openness, responsiveness and mutual respect and that distance themselves from any form of discrimination.

The business ethics policy stipulates that Lundbergs’ defends the freedom of speech of every employee.
The diversity policy focuses on making Lundbergs a safe and fair workplaces for all employees. The policy complies with prevailing Swedish legislation that requires companies to promote equal rights and opportunities regardless of gender, gender identity or expression, ethnic origin, religion or other spiritual practice, disability, sexual orientation or age.

A whistleblower function has been established to make it easier for anyone who wants to provide information about irregularities that contravene prevailing legislation, ethics, moral codes or Lundbergs’ policies. The function enables employees, customers, suppliers and business partners to provide information and simultaneously be guaranteed anonymity. All reports are received and investigated by an external party. No reports were received in 2019.

The business ethics policy stipulates that Lundbergs’ defends the freedom of speech of every employee.
Lundbergs’ corporate culture is based on the values of commitment, sound business sense, innovation and respect. As an employer, the company aims to accept responsibility and provide a safe and secure work environment and a healthy working atmosphere where employees thrive and develop.

Act in line with the relevant legal requirements where the company operates
Act in line with the UN Global Compact by complying with applicable laws, regulations and international guidelines and policies governing the environment, anti-corruption, labor law and human rights
Implement investments by taking into account their longterm economic, social and environmental impact
Have workplaces that are characterized by openness, responsiveness and mutual respect and that distance themselves from any form of discrimination

The business ethics policy stipulates that Lundbergs’ defends the freedom of speech of every employee.
The diversity policy focuses on making Lundbergs a safe and fair workplaces for all employees. The policy complies with prevailing Swedish legislation that requires companies to promote equal rights and opportunities regardless of gender, gender identity or expression, ethnic origin, religion or other spiritual practice, disability, sexual orientation or age.
Lundbergs cooperates with the Great Place to Work organization, which works with employee satisfaction surveys. The method is based on more than 30 years of studies of employee experiences at various workplaces. Two types of study – employee perspective and manager perspective – are implemented and the focus is on how committed employees are. The survey provides insight into potential problem areas that must be addressed.

A whistleblower function has been established to make it easier for anyone who wants to provide information about irregularities that contravene prevailing legislation, ethics, moral codes or Lundbergs’ policies. The function enables employees, customers, suppliers and business partners to provide information and simultaneously be guaranteed anonymity. All reports are received and investigated by an external party. No reports were received in 2019.
The Great Place to Work-survey that was implemented in 2019 shows that 85% of the employees rank Lundbergs as a very good workplace. No cases of employee discrimination were reported during the year.

Sustainability work

Lundbergs Fastigheter’s long-term vision is to be the leading developer of sustainable urban environments where people, companies and organizations can develop in cooperation. Through commitment, inquisitiveness, openness and by taking responsibility, the real estate company wants to take the lead in the development of attractive and sustainable urban environments. Long-term profitability is a fundamental requirement for being able to implement the company’s strategies and achieve its goals. Another requirement for sustainable development is balanced economic growth and profitability that takes into account people and the environment.

With its stable financial position, Lundbergs is a reliable business partner for both customers and suppliers. Tenants feel secure with a property owner that honors its contracts and has the ability to invest in its properties.

Sustainability-related risks

Lundbergs’ greatest sustainability risks are related to its real estate business’s operations and the purchasing process within property management. These risks mainly involve the environment and working environment, but they can also occur in the areas of working conditions and corruption. Although Lundbergs has not identified any risks in its operations related to human rights, such risks may exist in its supply chain. Lundbergs Fastigheter has a central safety committee and every place of work has a safety officer. Safety inspections are implemented and documented, with any shortcomings rectified by the responsible manager.

The real estate operations are safeguarded through quality, environmental and energy certificates according to the ISO 9001:2015, 14001:2015 and 50001:2011 standards.

Environment & climate impact

Lundbergs takes care of the environment, both its immediate surroundings and from a systems perspective. The aim is to take care of the assets the company possesses and to look after its properties and the areas around them – to create sustainable urban development. The company also wants to take part in the development of future sustainable solutions and aims to be at the cutting edge when it comes to developing new products and services. By systematically reusing building materials, for example, Lundbergs sees opportunities to gradually adapt its operations in line with the circular economy.

Energy use
The business shall be conducted with the least possible negative environmental impact. In close dialogue with energy suppliers, the aim is to increase the proportion of renewable or recycled energy used in the company’s properties.

Long-term energy efficiency investments are a key feature of its sustainability work. By continuously seeking improvements in construction techniques and installing increasingly modern technology, the proactive work to improve the quality of its properties and reduce energy consumption continues. The ambition is to environmentally certify all newly produced properties.

Resources and waste
A major environmental impact is the resources required to build and renovate properties, as well as the waste generated by construction operations.

One clear way of reducing the lifecycle carbon footprint of a building is to create offices and residential that suit as many different users as possible. This reduces the need to remodel or renovate commercial premises and homes when a new tenant moves in and promotes buildings with long useful lifespans.

Lundbergs’ real estate operations continuously strive to reuse and recycle materials as much as possible when refurbishing. The company sets clear and stringent environmental rules for its contractors, subcontractors, suppliers of materials and consultants.

Lundberg’s real estate operations are involved in a range of projects, including ones that focus on waste management and how the amount of building materials can be reduced in the construction of new properties.

Chemical products
Biological diversity is under immense pressure and Lundberg’s operations need to be conducted using as few chemicals as possible.

New technology
One property has been fitted with energy storage equipment to evaluate this new technology. Lundbergs is one of the first real estate companies to invest in this technology and is therefore influencing its development. Demand for charging stations for electric and hybrid vehicles remains high from both residential and office tenants. The company now has a total of just over 100 charging stations and additional ones are planned. In addition, a collaboration has been initiated to test the technology for recycling water from washing machines and Lundbergs is participating in a pilot project involving the central control of district heating.

Environment & climate impact

Energy use
Lundbergs only sources electricity generated from wind energy. Since 2012, emissions from its properties have been reduced by 45%.

Resources and waste
The measurement of construction waste from tenant-specific modifications began in 2019 and, in 2020, the measurements will be developed to encompass all construction projects. During the year, LCA (Life Cycle Analysis) calculations were used in one newly built project and the results show that emissions linked to this project had been reduced.

One way of systematizing construction and reducing tenantspecific modifications over time has been to create a uniform office standard. This is a high-quality office concept with good basic functions that can be adapted to specific requirements.
The materials that are supplied must be approved or recommended by one of the environmental assessment systems (Nordic Swan Ecolabel, Basta, Byggvarubedömningen and Sunda Hus). When choosing electrical equipment, the lifecycle cost must be taken into account. The application of the environmental rules is monitored during annual internal audits.

Chemical products
Chemical products are used by property janitors to maintain properties for example, and chemicals marked as Environmentally Hazardous may not be used. If it is not possible to source the best product for the purpose, then the product with the lowest environmental impact should be chosen and the discrepancy noted. Compliance with this procedure is monitored by annual internal audits.

We comply with applicable laws, regulations and international guidelines and principles in the environment, anti-corruption, labor and human rights. We are committed to act in line with the UN Global Compact.

A whistleblower function has been established to make it easier for anyone who wants to provide information about irregularities that contravene prevailing legislation, ethics, moral codes or Lundbergs’ policies. The function enables employees, customers, suppliers and business partners to provide information and simultaneously be guaranteed anonymity. All reports are received and investigated by an external party.

A whistleblower function has been established to make it easier for anyone who wants to provide information about irregularities that contravene prevailing legislation, ethics, moral codes or Lundbergs’ policies. The function enables employees, customers, suppliers and business partners to provide information and simultaneously be guaranteed anonymity. All reports are received and investigated by an external party. No reports were received in 2019.