Date:
July 23rd, 2022

Re: United Nations Global Compact Entry Letter Schoeller Allibert

Dear Mr. Secretary-General, Dear Schoeller Allibert stakeholders,

I am pleased to confirm that Schoeller Allibert reaffirms its support to the Ten Principles of the United Nations Global Compact on human rights, labour, environment and anti-corruption.

In our annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to sharing this information with our stakeholders using our primary channels of communication.

Sincerely yours,

Henrik Åkerson, (Interim) CEO

Schoeller Allibert has already for many years a Human Rights and Labour Policy, and the Human Rights aspects addressed are also core to the company's Code of Conduct which applies to and is signed by all employees.
The importance of Human Rights is embedded in the third pillar of our corporate sustainability strategy, the pillar Integrity at Heart. This pillar represents our belief that as a company, we must respect and value our employees and all our stakeholders and live up to the highest standards of ethics and governance.
The two themes in this pillar that address Human Rights are Sustainable Supply Chain Management, as well as diversity, equal opportunity, and inclusion is reflected by the fact that these are leading themes.
The goals for Sustainable Supply Chain Management are that all our suppliers recognize the human rights of all people as outlined in the Universal Declaration on Human Rights and the UN Guiding Principles on Business and Human Rights. Supplier takes responsibility for avoiding infringement of human rights and remediating the impact, if any, on human rights resulting from activities performed for Schoeller Allibert and products made for Schoeller Allibert.
With regards to diversity, equal opportunity, and inclusion, the goal is year-on-year improvement in increasing our diversity & inclusion by promoting and embracing a culture that supports people's different backgrounds, experiences, and qualities.

Regarding our upstream supply chain, Schoeller Allibert has in 2021 launched its Supplier Code of Conduct, which, amongst other topics, addresses Human Rights issues and clearly describes the (Human Rights related) expectations we have towards our suppliers. In addition, we have started implementing the Ecovadis platform to assess our critical supplier base. The Ecovadis assessment includes critical questions about human rights.
In terms of diversity, equal opportunity, and inclusion we have started by addressing the topic of equal opportunities and female leadership by having a female management workshop.
Schoeller Allibert also counts on an internal as well as external whistleblower policy and encourages all board members, officers, and employees to report concerns about violations of Schoeller Allibert's Code of Conduct or regulations that govern Schoeller Allibert's operations.

With regards to Sustainable Supply Chain Management, we are currently rolling out the Ecovadis platform across our upstream supply chain and will assess the scores of our suppliers, with the goal to improve (year-on-year) the overall score above the minimum target (target on percentage and score set after completed baseline in Q2 2022).
We are measuring the topic of diversity, equal opportunity, and inclusion by means of an annual questionnaire to all employees, through which we want to assess the current status of the topic through several questions.

In its Human Rights and Labour Policy, Schoeller Allibert clearly states the company’s commitment to chosen employment, absence of underage workers, minimum wage, hours and benefits, humane treatment, non-discrimination, right to Freedom of Association and collective bargaining and workplace health and safety.
Labour aspects are also a key factor in the Integrity at Heart pillar of Schoeller Allibert’s sustainability strategy, namely with the material topic of Wellbeing, Health and Safety. The goal is to strive for the highest safety standards in Schoeller Allibert’s factories and to continuously improve the sense of wellbeing of its employees.

In countries where there are workers councils, Schoeller Allibert engages in a constructive dialogue with the works councils.
At all factories a special focus is given to health and safety measures and regular trainings are given, to minimize the risk of incidents, injuries and exposure to health hazards for every employee and contractor.

Schoeller Allibert’s Human Rights department monitors labour rights through its network of dedicated HR staff and a well-working HR software system.
Health and Safety is measured by the Lost Time Incident Frequency, with the goal to reach the state of zero harm.

The environment is at the core of not only one, but two of three pillars of our sustainability strategy, the pillars Innovation for a Circular Economy and Future Proof Planet.
Our materiality assessment highlights several environmental topics that are crucial to our sustainability work. These include but are not limited to the Circular Economy, Climate and Carbon Footprint, Waste management and Biodiversity and marine ecosystems.
The targets for these topics include the shift to renewable energy (by the end of 2023) the reduction of our Scope1 and 2 emissions by 90% until 2025, the scaling of the use of recycled (instead of virgin) polymer) up to 35% until 2026 and the reduction of CO2e emission per production unit, across scope 1, 2 and 3 of 30% by 2035. Last but not least, we have set the target to be a fully circular business by latest 2050.
For operations, Schoeller Allibert has developed a dedicated environment policy.
The commitment and actions to progress the environment culture are firmly anchored within the three sustainability pillars. The company will work proactively and based on the continuous improvement principle in the environmental and sustainability areas of the organization, including, but not limited to
• Product design: Improve the design of all our products for a better environmental classification.
• Product production: Reduce waste and better environmental efficiency in our processes.
• Product delivery: Apply best practices to reduce the impact.
• Product service: Ask and support the customers for a better and environmentally friendly way of working like rental and 360º returnable plastic packaging solutions.

Concrete actions to meet the environmental aspects of the sustainability strategy include:
- The gradual shift towards the purchase of renewable energy
- A workstream to install solar panels at operations
- The scaling of the use of recycled material
Schoeller Allibert has a Director dedicated to oversee and lead all aspects of the environment and recycling.

All environmental aspects are measured through the sustainability KPIs and reported on annually in the sustainability report. Measurements include the yearly assessment of the company’s corporate carbon footprint by a third party. The use of recycled polymer in the production is measured through the company’s ERP system, with a dashboard providing updates on a daily basis.
Other environmental KPIs such as waste generation, water and energy efficiencies are collected under the leadership of the Environmental Director.

Corruption and Bribery has been identified as a material topic in Schoeller Allibert’s sustainability strategy. The company has an Anti-Bribery and Corruption Policy (the ABC policy) and uses a zero-tolerance approach towards these issues. The policy is clearly referenced in the company’s Code of Conduct, which is signed by all Schoeller Allibert employees.

Next to the dissemination of the policy through the Code of Conduct, employees are annually trained on the contents of the Code of Conduct as well as on the contents of the ABC policy. The goal is that all Schoeller Allibert employees are aware of the ABC policy and tailored trainings are rolled out to achieve this goal. Employees are requested to report potential incidents to the company’s General Counsel or via the external speak-up line.
Schoeller Allibert has also implemented a whistleblower policy, and encourages all board members, officers, and employees to report concerns about violations of the ABC policy.

Schoeller Allibert measures attendance to the training on the ABC policy through its company-internal training program and reports progress in its sustainability disclosures.