October 2014

BASF’s product portfolio evaluated for sustainability

Around 50,000 product applications analyzed using new method
More than 20% of BASF products analyzed (by sales) today already make a particular contribution to sustainability

In order to better help its customers align environmental and societal aspects with business success, BASF has developed a new process for steering its portfolio based on sustainability criteria. The Sustainable Solution Steering method is used to systematically review and evaluate the sustainability aspects of the approximately 50,000 relevant product applications in the company’s portfolio, which represent sales of €56 billion. The benefit: This externally validated process makes it possible to measure the products’ contribution to sustainability within their various markets and industries and to increase this contribution through targeted steps.

Over the past three years, BASF has already analyzed more than 80% of its portfolio of around 50,000 specific product applications. The data shows, for example, how a product contributes to cost effectiveness and resource conservation as well as to health and safety. The concrete sustainability requirements of various customer industries are taken into account as well as regional differences. Finally, the process determines the extent to which BASF solutions can accommodate these needs.

Based on the results to date, the analyzed product applications have been sorted into four categories:

Acceleratorsmake a substantial contribution in the value chain to sustainability. 22% of the analyzed products by sales are in this category.
Performersare solutions that meet the standard market requirements for sustainability. Around 73% fall under this category.
For the Transitioners , specific sustainability issues have been identified and concrete action plans defined. These recommendations are in the process of being implemented. Around 4.5% of the analyzed products are currently in this category.
Applications with a significant sustainability concern are labeled Challenged. BASF is developing action plans for these products in order to find improved solutions. This currently applies to 0.5%.

Sustainable Solution Steering aims to increase the number of “Accelerator” solutions in the long term in order to further improve the sustainability profile of both BASF and its customers. That is why the product portfolio is under continual review – which means that this four-category segmentation is also subject to change, for example, in response to altered market requirements or new legislation.

The whole product portfolio will have been analyzed by the end of 2014. With this new method, BASF continues to drive its “We create chemistry” strategy. “It is becoming increasingly important to our customers to be able to combine economic, environmental and societal demands. We see this development as a business opportunity for BASF, and intend to seize it in a targeted manner. This approach forms an integral part of our corporate purpose: ‘We create chemistry for a sustainable future.’ By analyzing our entire portfolio with respect to sustainability and systematically expanding on especially sustainable solutions, we underscore this endeavor,” said Dr. Kurt Bock, Chairman of the Board of Executive Directors of BASF.

16.10.2014

Nestlé and partners to create 100,000+ opportunities in Europe

Member News

Around 200 companies have joined forces under Nestlé’s “Alliance for YOUth” to tackle the youth unemployment crisis in Europe, pledging to create more than 100,000 opportunities for young people in the coming years.

The “Alliance for YOUth” is committed to working hand in hand with policy-makers and the education sector to foster both job employability and job creation.

Laurent Freixe, CEO Nestlé Europe said: “With around 200 companies from all over Europe, the “Alliance for YOUth” is the first pan-European business driven movement pledging to help young people be better prepared to enter the professional world and improve their chances in a challenging job market.”

YOUTH UNEMPLOYMEMENT: 1 in 4 young people under 25 is unemployed in Europe.

“Alliance for YOUth” companies have pledged to develop a number of joint and individual initiatives to give young people meaningful work experience and internships, generating more than 100,000 jobs and training opportunities.

The companies will also mobilise their employees to go out into the community and help young people get ready for work by offering practical advice, CV clinics and interview preparation.

Founding firms include recruiter Adecco, insurer AXA, international food group Cargill, logistics group CHEP, packaging company DS Smith, consultants Ernst & Young, social networking company Facebook and perfume and flavour firm Firmenich.

Information technology firm Google, consumer insights group Nielsen, communications firm Publicis Groupe, technology firm Salesforce, information exchange platform Twitter and law firm White & Case have also already signed up to the Alliance.

The “Alliance for YOUth” is the fourth pillar of Nestlé’s European youth employment initiative, “Nestlé Needs YOUth”, launched in November 2013.

16.10.2014

MOL Group Included in the MSCI Global Sustainability Index

Member News

MOL Group is recognised for its environmental, social and governance performance
MOL Group is in the best in class “AA” category
MSCI Global Sustainability Index covers more than 5000 publicly traded companies worldwide with 335 constituents of the emerging markets from all sectors.

Budapest, Hungary – 7^th October, 2014 – MOL Group proudly announces to be a member of MSCI ESG (environmental, social and governance performance) Emerging Market Index, which a subcategory of the Global Sustainability Index, as a recognition of its outstanding corporate sustainability performance. The earned “AA” rating places the company among the leading companies in the emerging markets.

MOL Group is confident that corporate sustainability and long term profitability are complementary and operates governance and management systems to increase its ESG performance and ratings for more than a decade. The internationally acknowledged MSCI Sustainability Index is recognition of the company’s aspiration to operate in a responsible way. MOL Group’s “AA” rating expresses the company’s high engagement in ESG compared to sector peers.

József Simola, MOL Group Chief Financial Officer commented: “We are aware about the growing importance of sustainability criteria for certain investor communities and this recognition is an important feedback that we are on the right track and we will continue our programs to ensure long-term sustainability of our business.”

MSCI highlighted MOL Group’s strong rating is a function of the company’s carbon management practices, and its industry leading approach to avoiding accidents, spills and releases. Moreover, its management practices, such as emissions reductions targets and its outstanding performance figures in areas such as toxic emissions intensity and occupational safety sets the Company above the majority of its industry peers.

About MOL Group

MOL Group is an integrated, independent, international oil and gas company, headquartered in Budapest, Hungary. It has operations in over 40 countries and employs almost 29,000 people worldwide. MOL’s exploration and production activities are supported by more than 75 years’ experience in the hydrocarbon field. At the moment, there are production activities in 8 countries and exploration assets in 12 countries. The Group operates four refineries and two petrochemicals plants, under integrated supply chain management, in Hungary, Slovakia and Croatia. MOL Group also owns a network of over 1,700 service stations across 11 countries in Central & South Eastern Europe.

About MSCI ESG Research

MSCI ESG Research is a leading provider of ESG ratings and analysis to the global investment community, covering more than 5,000 publicly traded companies worldwide. MSCI ESG Research represents over 125 Asset Owners with more than USD $4.4 trillion in assets under management, and has over 650 clients with USD 15 trillion in assets globally. MSCI emerging markets consists of large and mid-capitalized companies across 23 emerging market countries.

16.10.2014