Sustainability that reflects our identity Corporate Social Responsibility Report 2018
Our business so as to define a list and establish priorities for. Certified ISO 9001. This was acknowledged by the ISO 14001 certification that Epta (Milan. In accordance with the UNI EN ISO, the organization. Download ISO audit checklists to assess your QMS and prepare for certification. ISO 9001:2015 Internal Audit Checklist for regular self assessments. ISO Gap Analysis Checklist when planning your QMS. Use iAuditor to keep track of audit score performance.
Sustainability that reflects our identity Corporate Social Responsibility Report 2018
INDEX A letter from the Chairman and Managing Director 5 Company profile 6 6 Epta, a growing group year after year 6 A highly competitive, focused business Think globally, act locally 7 Corporate Social Responsibility and Sustainability 8 8 CSR Policy statement - Epta group 9 10 Transparency 14 14 Dialogue and obiectivity Epta’s idea of Social Balance Governance, commitments and engagement 16 Flow of ideas 17 Epta significant CSR aspects: Stakeholders analysis Epta Ethical code 18 A certified reputation for a responsible future 18 19 #EptaExperience is the Way 20 21 A multi-dimensional experience 21 Our Brand reputation 22 22 Innovation 23 Innovation and its variations 24 GranFit Costan and SkyEffect Bonnet Névé Experience 25 All-round innovation: your shopping where you want 25 The force of Cool Emotions 26 The beneficial impact of eco-friendly logics 26 Epta’s response for natural refrigeration The 4.0 vision 29 A virtuous example: the Limana plant Energy conservation made real 28 Human resources 29 Local communities and human resources, Epta’s idea of commitment 34 An absolute value, personal safety Training for improvement 35 EPTAcademy: Education for Leadership Development Epta’s initiatives on local communities 37 38 Community 39 A business built on connections 41 Customer Care 45 Care and dedication Communication Experience Ethics and sustainability. Values to be lived and shared Culture and Environment Epta and FAI: To support the environment, to valorize culture Awards A commitment that pays Sustainability Epta: three pillars of sustainability Some other pillars of Sustainability Independent Validation Statement Material Aspects GRI G4 Content Index for “In accordance” - Core This report is published on an annual basis and data refers to the previous year. Group data are presented at page 6. All of the other entered data relates to 2017 year for the 4 facilities in Limana, Casale, Solesino, Pomezia, Milan offices (Italy), Hendaye (France), Bradford (UK), Çorlu (Turkey), Cha-am (Thailand) that represent more than 95% of the total production of the Group
A letter from the Chairman and Managing Director We believe that the CSR Report must hold a central place in our Group philosophy. It is an important step that represents a consistent and universal expression of the principles and values that underlie our style as a company and it has to be addressed with real determination. It is thus our great pleasure to inform you that we are continuing down the path we started six years ago, by creating the 2018 edition of our CSR. This confirms our will and our focus on SUSTAINABILITY- oriented social progress. This is a very important decision: our approach aims not only at communicating and bearing witness to what we have already accomplished, but is a COMMITMENT TO DO EVEN BETTER. Creating sustainable values is a concept that makes us think and dream. It makes us THINK because being sustainable means TO BE ABLE TO STAND THE TEST OF TIME. An approach reflecting the origins of the companies that have merged into our group. With almost one century of commitment, of care for the customer, the products, corporate staff and all corporate stake holders. This extensive background incorporates Epta’s will to be a Group that becomes stronger and greater over time. That also leaves room for DREAMS, because being sustainable also means to GIVE MORE THAN WE GET, to build a greater presence and a more widely shared social progress. And dreams make us imagine and create a better world. We strongly believe that committing to research and to the creation of solutions that optimise the utilisation of natural energy sources should be a founding policy for every industrial organisation. In the past three years we have reached and even exceeded the important goals that we set for ourselves: 1. We have reached our target of more than 50% of energy saving for all products in our range. 2. We have reduced our energy consumption in the past three years. Measured as kilograms of oil equivalent per manufactured unit (KOE), this achievement of a 6,2% reduction is due to our implementation of many new production technologies, including the Limana glass factory, which has allowed us to bring certain previously outsourced activities in-house. Despite the Group’s continuous improvement in new technologies and machineries connected with Industry 4.0 having high energetic needs, for the next three years we renew our commitment in controlling and monitoring energy consumption, and we will do our best in order to reduce it. Year after year these initiatives and objectives will be our guide in improving our performance and making further progress, so that we may exceed the long-term goals that we have set for ourselves. I wish you all a great job. Marco Nocivelli 5
COMPANY PROFILE EPTA S.p.A. Epta a growing group year after year Prestigious brands in commercial refrigeration like Costan, Bonnet Névé, George Barker, Eurocryor, Misa, Iarp and Knudsen Køling, 5000 employees and revenues of 888 million euros in 2017: all of this is Epta, a Group with headquarters in Milan, operating in Retail, Food & Beverage and Ho.Re.Ca. (Hotel, Restaurant and Catering) sectors, with an efficient widespread international presence in more than 40 countries, including outposts in Asia, Middle East, South America, Africa, through its own network, agents and dealers. A highly competitive, focused business MOST RELEVANT DATA Today, Epta – specialised in the production, sale, installation and servicing of refrigerated cabinets, refrigerated coldrooms and systems – is a model of excellence for food distribution, capable of creating and putting into action flexible solutions, designed to the customer’s specific needs. Epta has capitalised on a solid industrial culture as the result of an articulated process of integration and reorganisation of its long-standing brands, leaders in their respective reference markets. The ownership of the Group is all focussing in the hands of a prestigious and esteemed industrial family alongside stakeholders that are committed to sustainability, reliability and quality of its technology and the safety, competence and the development of its employees lead by a vanguard selected Management team. Manufacturing 11 facilities Total sqm more than 330.000 Think globally, act locally Production capacity units 200.000 11 manufacturing facilities located in Italy, France, Denmark, UK, Argentina, Employees China, Thailand and Turkey for a total of more than 330.000 sqm. Revenues 5.000 With the construction of the new glassware in Limana factory, the Group is now able 888 mil. euro to self-produce part of the glasses and doors used for refrigerated cabinets. Epta’s yearly production capacity is 200.000 units today. The Group does business mainly in Europe but also in Middle East, Africa, Asia and South America: strategic places from a financial standpoint. And Epta is always particularly sensitive to the development of local resources: in 2013 Epta has established a new company in Chile, Epta Pacifico Sur SA and opened two new offices in Saudi Arabia and Malaysia. Epta in 2014 has acquired Cold Service Group Limited, specialised in the installation and maintenance of turnkey refrigeration and air-conditioning systems in the UK. Epta announced in 2015 the acquisition of Knudsen Køling, a company specialising in the design, installation and maintenance of turnkey refrigeration in which CO2 systems are 80% of the total production. In 2017, Epta’s mission to increase its global presence by targeting markets with high growth potential took the form of three new acquisitions. In central and eastern Europe, LIBRE SP. Z O.O. SP.K, a distributor partner active in Poland, joined the Group. In Pacific Asia, the Group acquired KING RICHARD SHOP SYSTEM INC., a historic distributor in the Philippines. Finally, in the South American market, the company PORTANUOVA, a distributor in Chile and Peru, was acquired. 6
CORPORATE Social Responsibility and Sustainability COMPANY PROFILE CSR POLICY STATEMENT - Epta group Epta, multinational group specialised in commercial refrigeration Our Philosophy At Epta group, sustainable development is integral to the way we work. It is a core value that drives the long term success of our business. We believe that it is fundamental to preserving the strong reputation of our brands, securing our licence to operate, delivering profitable growth and retaining the trust of all of our stakeholders. Our Principles Epta group undertakes to act responsibly and ethically towards the employees, shareholders, customers, suppliers, dealers and towards society and the environment in every business operation across the world. Epta group actively pursues industry-leading sustainable innovation across the whole product life cycle – from design and manufacture, to independently certified performance and disposal. Epta group is committed to secure its success by investing in its people and in research and development, actively managing its social and environmental impacts and planning for the transition towards a low carbon and Natural Refrigerant world. Epta group policy is to meet or exceed legal and regulatory requirements in all of its activities and demonstrate its accountability to stakeholders by periodically reporting on its sustainability performance in a transparent and open way. Our Commitments Society: we will positively engage with the local and global communities along with our support for social and humanitarian projects to ensure our presence adds value and brings benefits. Safety: we recognise the importance of good occupational health, safety and welfare systems in theworkplace and acknowledge a collective responsibility for providing leadership and a safe and healthy working environment for our employees, the people we work with and for those who visit us. Environment: we commit to continuously improve the environmental performance of our business and products by reducing emissions, conserving natural resources and optimising the use of sources of sustainable energy and materials. This is underpinned by our investment in research into cutting-edge environmental innovations and independently certified environmental Management Systems. Customers and Products: we declare our commitment to delivering exceptional products and services that meet the needs our customers and help enable the shift towards a low carbon society and we will assure continuity of business through planning and the in depth assessment and mitigation of potential risks. Suppliers and Sub-Contractors: we expect the highest standards of conduct and performance across our supply chain. We promote fairness and responsible business practice and encourage collaboration in the pursuit of sustainable solutions. Marco Nocivelli / Chairman and Managing Director 7
TRANSPARENCY Dialogue and objectivity Epta’s idea of Social Balance At Epta the most advanced technology comes together with • Establishing an concrete, efficient sustainability and constant consideration for the environment and for people. We strongly believe sustainability is not effective dialogue only a concept, but a set of objective substantiated data. These are the with all of the premises that have directed the Group in drafting a social balance: stakeholders • Expressing its philosophy and its vision In doing so, Epta has been inspired by the GRI (Global Reporting Initiative) guidelines, a universally recognised model for reporting the • Reporting the financial, environmental and social performance of an organization. results obtained This report is in accordance with the G4 Core option. Epta requested TÜV Austria Cert GmbH, to undertake the group’s comprehensive validation. TÜV • Identifying is the Certification Body used to certify the Quality, Security and Environment future goals for growth Management Systems and where appropriate their Integration. Governance, commitments and engagement The diagram below indicates the flow of communication of the Top management of Epta to the Board of Directors (incl. indication of Male/Female inclusion). It denotes the input directly from the workforce via work councils and HR, the selection route for new/potential shareholders and the listing of current stakeholders. THESE ARE THE STAKEHOLDERS: STAKEHOLDERS DEALING WITH OUR CUSTOMERS ASSOCIATIONS GROUP, ACCORDING DEALERS LOCAL COMMUNITIES TO THE RESULTS OF SUPPLIERS SHAREHOLDERS AN ANALYSIS OF THE EMPLOYEES CSR COMMITTEE BOARD 9 PEOPLE NEW STAKEHOLDERS 33% FEMALE CONSIDERATION AND COMMUNICATION CHAIRMAN AND INPUTS BY MONTHLY MANAGING DIRECTOR MEETING TO BOARD: FEEDBACK VIA HR FROM WORK COUNCILS EVERY MONTH INTERNAL AUDIT ADMINISTRATION GLOBAL COMMERCIAL HUMAN GLOBAL INDUSTRIAL GROUP MARKETING & LEGAL AFFAIRS FINANCE & CONTROL OPERATIONS RESOURCES ACTIVITIES QUALITY & GENERAL STRATEGIC BUSINESS ICT COUNTRY MANAGEMENT SERVICE DEVELOPMENT ARGENTINA 8
Epta Awards, prizes devoted to those who succeeded in best interpreting the Group’s founding values Flow of ideas Follow us by Epta Epta is constantly dedicated to sharing ideas and opportunities with its stakeholders, starting from within the Group. Among the various occasions for sharing, there was a Road Show in 2017 during which Epta top management visited Group sites and factories, resulting in moments of alignment and sharing of strategies at the corporate level. The 11th Epta International Leadership Meeting took place in March 2018. Epta’s new strategic lines were presented to the Epta Management team. The Gala evening also hosted the highly anticipated second annual Epta Awards, devoted to those who were most successful in interpreting the Group’s founding values. Also in relation to customers, relationships and exchanges are always very active: from bimonthly newsletters which offer punctual information, events and new initiatives, to websites which enable users to get in touch with the Group directly. Also multiple social channels like Facebook, Twitter, LinkedIn, Instagram and YouTube, ensure daily updates. Annual audits with suppliers and customers are provided as well: this is the occasion to receive their feedbacks and suggestions. Epta also gathers satisfaction surveys during trade fairs and exhibitions. Newsletter Epta management celebrating Epta Awards 9
TRANSPARENCY Epta significant CSR aspects: Stakeholders analysis In 2016 we reviewed the material aspects of our Corporate Social Responsibility Report in the light of the new GRI4-4 requirements with the aim of identifying risks, opportunities and aspects that are important for our business and for our stakeholders. We established a list of KPIs – Key Performance Indicators – that we judged, after verifications and meetings of our Milan Headquarters, to be suitable for representing our goals. WHY: A CSR report is much more than a simple data collection: the more the aspects that it describes are relevant and significant for the company and all its stakeholders, the more reliable it is. Our goal has always been that of understanding in detail the level of importance of each aspect investigated in the report and to verify whether it is necessary to add new ones that reflect the changes of priorities at the level of business, market conditions and global trends. Following this check, some new aspects were added to our materiality matrix, while others were removed and three changed position. HOW: The process that we used was largely as follows: • We examined the best practices to evaluate the material aspects • Through a survey sent by email, we questioned a sample of people involved in our business so as to define a list and establish priorities for material aspects (high, medium and low importance) • We presented a materiality matrix to the CSR committee for further analysis • As anticipated in the last CSR Report, we wanted to increase the room for external stakeholders in our analysis. This is why this year we decided to involve our customers and suppliers. We asked them to answer a survey and to do something specific: offer a personal evaluation of what proved to be the most significant aspects of last year’s analysis. 10
STAKEHOLDER AND MATERIALITY ASSESSMENT TRANSPARENCY Community relevants aspects: C1 Charitable Giving and sponsorship C2 Information services provided for those in need C3 Investment in the Local Community C4 Publishing Communications in the community Workplace relevant aspects W1 Encouraging Employee Volunteering W2 Being in favour of Employee Diversity and inclusion W3 Investing in Employee training and development W4 Monitoring Employee satisfaction W5 Mentoring Thought Leadership W6 Making Safety & Security of staff a primary mission W7 Facilitating Assured Data Protection W8 Investing in Facilities Management Maintenance W9 Encouraging an Employee Council - Collective Bargaining W10 Investment in technological manufacturing advances W11 Investing in order to minimise manual lifting W12 Sponsoring Social Events management W13 Creating a vehicle for Succession planning W14 Integrating Welfare and Occupation health support into business strategy Environment relevant aspects E1 Reducing Environmental Impacts across our supply chain E2 Reducing Environmental Impacts of our operations E3 Assuring Compliance with environmental legislation - (POLICY) E4 Minimising Significance - Environmental Aspects E5 Being Committed to preventing pollution E6 Making written Commitments to use of renewable energy and materials Market Place relevant aspects M1 Living up to our trust, Principles and integrity of the information we provide M2 Guarding against Cyber Crime assuring Customer data protection & security M3 Business ethics on providing Products and services for a sustainable business M4 Business mission in respect of Ethical Business Conduct M5 Driving Industry Leadership M6 Changing the shape of our business to lead the market in innovative M7 Maintaining our standards to assure Supplier adherence to our ethical code M8 Assuring business continuity through Risk assessment of our suppliers M9 Being smart in regard to Supplier diversity M10 Being inclusive and an influence through Membership of applicable associations M11 Making Product Reliability and safety a given M12 Designing specifically for an ECO friendly product M13 Business Continuity Planning to protect our customer promise M14 Providing Trusted Marketing information that can easily be validated M15 Promoting SLA’s - Service & Maintenance to guarantee our performance M16 Provisioning Warranty Trust that exceeds customer expectations 11
TRANSPARENCY Epta Group Materiality Matrix - 2017/18 High 6.0 TOP KPIS 5.5 5.0 E3 M11 Importance to the Stake Holders (Internal) M5 W3 W6 Community E5 Workplace Environment Medium 4.5 Marketplace 4.0 3.5 Low 3.0 3.0 3.5 4.0 4.5 5.0 5.5 6.0 Low Medium High Importance to the Business TOP KPIS 5,7 E3 5,6 M11 5,5 5,4 5,3 W3 W6 5,2 E5 5,1 M5 5,0 4,9 5,0 5,1 5,2 5,3 5,4 5,5 5,6 5,7 Surveys addressed to: • 190 internal people • 260 customers •20 suppliers 12
EPTA MOST RELEVANT KPIS: 1 MOST RELEVANT KPI 2 Our analysis shows that the most significant KPIs are the ones 3 Overall standing on the very top-right of our materiality matrix. 4 M11 These six aspects, that are explained in detail here below, 5 E3 have for us the maximum overall importance among all the other 6 W6 aspects that we investigate in our report and that are explained in detail in the appendix of the document (pag 45). E5 W3 M11: making Product Reliability and safety a given Attention to the customer’s needs is a constant for Epta. Through M5 a survey managed by Strategic Marketing, it assesses the level of satisfaction regarding the Group’s all-round offering. Further information about this aspect are included in disclosure PR5 of the GRI4 requirements, that can be found in the Appendix of the document, and at page 28. E3: assuring Compliance with environmental legislation TRANSPARENCY - (POLICY) 13 In accordance with the Rio Declaration of Environment and Development, Epta implements almost exclusively natural refrigerants such as propane and CO2, and operates a strict control of the F-Gas regulation. Referring to the total production of 2017, 100% of remote cabinets are available with CO2,and we have renovated the plug-in lines of all brands with versions using R290 propane or other gases with reduced GWP. Our commitment in also confirmed by the fact that a third-party body annually checks the compliance with current legislation on safety and environment. Further information about this aspect are included in disclosure EN29 of the GRI4 requirements, that can be found in the Appendix of the document. W6: making Safety & Security of staff a primary mission. Epta has created the “Epta for Safety” programme, which promotes a culture based specifically on safety and aims to significantly reduce injury frequency. Further information about this aspect are included in disclosure LA6 of the GRI4 requirements, that can be found in the Appendix of the document, and at page 25. E5: being Committed to preventing pollution. This aspect fully express Epta’s choice of producing solutions able to ensure maximum efficiency and energy savings in a transversal manner, in every part of the world and in any climatic conditions. A twofold example is represented by the FTE transcritical CO2 system and by EptaBlue CO2. Also confirmed by the fact that the Group’s numerous products are certified by Eurovent, the voluntary European certification programme for the validation of energy performances. Further information about this aspect are included in disclosure EN27 of the GRI4 requirements, that can be found in the Appendix of the document, and at page 21. W3: investing in Employee training and development. Since 2009 the Group has trained personnel in the realisation of CO2 systems by organising courses at a specialised Training Centre in the UK. In addition, it has now developed EPTAcademy, a valuable training programme specifically for management in collaboration with SDA Bocconi of Milan. Further information about this aspect are included in disclosure LA9 of the GRI4 requirements, that can be found in the Appendix of the document, and at pages 25 and 26. M5: driving Industry Leadership. Epta constantly invests in R&D to ensure the highest level of cutting-edge technology and reliability. In the last five years the Group has allocated some €50m for the design of advanced solutions. Further information about this aspect are included in disclosure EC7 of the GRI4 requirements, that can be found in the Appendix of the document, and at pages 18 to 22.
Epta Ethical codeTRANSPARENCY This Ethical Code is a public statement by Epta S.p.A. and its subsidiary and affiliated companies. It aims to ethically guide the conduct of Epta and its representatives. The Ethical Code sets out the Company values, clearly identifying the rights, duties and responsibilities of each stakeholder of the company or the Group so as to maintain top-quality standards while reducing any malfunction to the greatest extent possible. The goals of this code and our company policy lead us to constantly protect and safeguard human rights, of both our workers and our stakeholders. Serious and persistent breach of the regulations in this Code of Practice damages the relationship of trust established with the Epta group and may lead to disciplinary action and legal claims for damages. Epta Ethical code is available on “Code of practice” at the LINK on Epta website. A certified reputation for a responsible future A goal that is common to all the Group Companies is sustainable social growth and the construction of real progress. This commitment constantly aims at the highest standards of excellence and becomes tangible in Epta’s certifications. As early as in 1996 Epta group was certified ISO 9001. Subsequently this quality management system was extended to the other Group Companies, Epta France, Epta SpA (local units of Limana, Solesino, Casale, Pomezia), Epta Argentina, Epta Deutschland, Epta Iberia, Epta Istanbul, Epta Qingdao, Epta VSD Engineering, Epta UK - Bradford, Epta Asia Pacific - Thailand, Epta UK - Ringwood and Epta International. In the following years the Group invested in refurbishing their facilities, which soon became paragon factories. This was acknowledged by the ISO 14001 certification that Epta (Milan offices and local units of Limana and Solesino), Epta France, Epta Istanbul, Epta UK - Bradford, Epta Asia Pacific - Thailand and Epta UK - Ringwood became awarded. Starting from 2011 Epta France, Epta UK - Bradford, Epta Asia Pacific - Thailand and Epta (Milan offices and local units of Limana and Solesino), Epta Istanbul and Epta UK - Ringwood became OHSAS 18001-certified in the areas of Occupational Safety and Health. By the end of 2018, Epta Milan offices and the local units of Limana and Solesino will become ISO 45001 certified. It has also been possible for those plants certified to all 3 Management Systems to integrate them into a single system in accordance with PAS 99. In addition to this, in 2016 Epta France also obtained the ISO 50001 certification, that specifies the requirements for establishing, implementing, maintaining and improving an energy management system. Epta strongly believes in the value of certifications and has opted to be certified through a truly objective logic for its products too: this is why Epta outsources the assessment of its products to Eurovent, the agency used by the major manufacturers of refrigeration and air conditioning equipment. Eurovent independently checks the energy performance of the cabinets according to the international ISO 23953-1-2 standards. Moreover, Epta cooling packs and systems are PED-certified (Pressure Equipment Directive) in the local unit of Limana, coldrooms are certified ETA MARK (European Technical Approval) and HACCP certification (Hazard analysis and critical control points) in the local unit of Pomezia. Epta Deutschland, was awarded the SCC certification for installation and servicing activities as well as the WEEE 14 certification for the disposal of electrical and electronic equipment.
ISO 50001 UNI EN ISO UNI EN ISO IMS “Quality, Marcatura CE celle TRANSPARENCY 9001:2015 14001:2015 health, safety and Epta SpA (local unit of Pomezia) Epta SpA Milano / ITA (Headquarter) Epta SpA Milano / ITA (Headquarter) environment” Epta SpA (local unit of Limana) Epta SpA (local unit of Limana) HACCP Epta SpA (local unit of Pomezia) Epta SpA (local unit of Solesino) Epta SpA/ Milano / ITA (Headquarter) Food Safety Programme Epta SpA (local unit of Casale) Epta SpA (local unit of Casale) Epta SpA (local unit of Limana) Epta UK - Bradford Epta Asia Pacific - Thailand Epta SpA (local unit of Pomezia) Epta UK - Ringwood Epta UK - Bradford Epta France / Hendaye / FRA Epta France Epta UK - Ringwood Epta Iberia Epta France Epta France / Chatou / FRA PED Epta Istanbul Epta Iberia Epta UK - Bradford (Pressure Equipment Epta Asia Pacific - Thailand Epta Istanbul Epta Germany Epta SpA (local unit of Solesino) Directive) Epta Argentina Epta International Epta Istanbul / Corlu / Turkey Epta SpA (local unit of Limana) VSDee Singapore Epta Qingdao Epta Asia Pacific - Thailand Epta SpA (local unit of Pomezia) Knudsen Koling Knudsen Køling UNI EN ISO 50001 Epta France OHSAS 18001:2007 Epta SpA/ Milano / ITA (Headquarter) Epta SpA (local unit of Limana) Epta France / Hendaye / FRA Epta France / Chatou / FRA Epta UK - Bradford Epta SpA (local unit of Solesino) Epta Istanbul / Corlu / Turkey Epta Asia Pacific - Thailand Epta UK - Ringwood 15
A new step forward in the Epta vision: after “Eptology”, which#EPTAEXPERIENCE IS THE WAY summarised the sustainable ethic of the Group and “The Epta Way Up”, an orientation aimed at giving maximum impulse to the business of its customers, the Group inaugurates a new strategic era by inviting them to live an authentic #EptaExperience. A multi-dimensional experience In this digital revolution, consumers show themselves to be increasingly “connected” ad in search of interactive an multisensory shopping experiences, not just in Large-Scale Retailing but Ho.Re.Ca (Hotels, Restaurants and Catering) and Food&Beverage as well. This premise gives rise to the concept “#EptaExperience is the way”, supported by the press campaign. Epta contributes to making sales outlets genuine Points of Experience, to help drive the success of its customers. Experience interpreted on three levels: Our Experience, Your Experience, Their Experience. Our Experience Epta’s investments in R&D: in the last five years €50m has been earmarked for the design of complete industrialised solutions suited to every technical and display need. An industrial force in service to innovation, in order to offer operators in the sector complete industrialised solutions able to satisfy every technical and display need, world-wide. An excellence that has won many prestigious awards and which, for the customer, translates to solutions able to better reflect the identity and values of the brand and of the store, always with a completely eco- sustainable orientation. Thanks to their century-long experience, the Group’s seven Italian and foreign brands rank among the leaders in their respective market segments, then sharing with one another their outstanding skills and technological know-how. Your Experience The choice of Epta as refrigeration partner means, for every retailer, being able to put their trust in a single company able to manage, from the design of integrated systems and turnkey displays, always customised, to the exclusive assistance and after- sales consulting service, Epta Service. In addition, the complementary Group brands brands makes it possible to offer the broadest range of refrigeration solutions. Their experience With the Epta solutions, every point of sale offers a pleasant, comfortable and gratifying shopping experience. Consumers find themselves experiencing an increasingly interactive relationship at the centre of a space for relationships and discovery. Epta products and systems are in fact able to exalt the fun, hedonistic component of shopping, giving the customer unique sensations that help to maximize the profitability of the point of sale. . 16
REFRIGERATION PRESERVATION REPUTATION VALIDATED SUSTAINABILITY FOUNDING VALUES • CSR Report Business history • Social progress •• Humility, preparation, resilience, delegation SHARED QUALITY TURNKEY PROJECTS • Value in the relationship • Unique partner with stakeholders for Retailers and the Food Industry • Technological innovators • Service Seguici su: di Epta Our Brand Reputation In 2018 Epta published an institutional communication in one of the mostly widely distributed trade magazines, to highlight all the values that are the basis for the Group’s reputation. The claim “Refrigeration, Preservation, Reputation” is intended to emphasize its reputation for quality in this area, because Epta’s aim is to be a leader and sole interlocutor for retailers, specialized in preserving the value of food. . 17
Innovation and its variationsINNOVATION Epta embraces the constant challenge of technological innovation by aiming to give life to products throughout the Retail, Food & Beverage and HoReCa sectors, whilist ensuring higher quality results in performance and aesthetics. Epta stays ahead in a market driven by respect for the environment and process innovation, by developing efficient products and operating with energy optimisation throughout all the Group’s plant. Innovation & Products GranFit Costan and SkyEffect Bonnet Névé Experience Epta continues its evolution on the road of progress with its ground-breaking GranFit Costan and SkyEffect Bonnet Névé range. An exclusive new development that has been translated into the design and realisation of a unique family of products - vertical and semi-vertical cabinets, both closed and open – for fresh and frozen food areas devoted to the retail universe. The innovative display design logic makes it possible to create a homogenous alignment and an ideal integration of the various types of products of the range, creating an elegant, uniform style in each area of the point of sale. For Costan and Bonnet Névé, the new products are the positive-temperature verticals GranVista Next/SkyView Plus, the semi-verticals Aeria Next/Aeria Plus – available also in the Open version – the negative-temperature verticals GranBering/SkyLight and the semi-verticals GranSesia/SkyShine. Reduced energy consumption thanks to the patented Epta Dual Airflow system, GranSesia / Skyshine 18
GranFit Costan and SkyEffect Bonnet Névé range makes GranVista Next and SkyView Plus the first remote-controlled cabinets certified in Class A+ of the Eurovent-Certita Certification Programme. Also GranSesia/SkyShine, the semivertical-solution that changes the image and outlook A 23% of the frozen area, is certified by Eurovent. An orderly look & feel, maximum visibility of merchandise due to special configurations in class A+ compact design: a semi-vertical solution reduction that strengthens the appeal of the items displayed along with those presented at other counters of Total Energy in the area. An intersection of innovation and functionality, always with a sharp focus on the Consumption (TEC) environment. compared to a standard solution Another milestone in energy and efficiency optimisation of the cabinets has been 17A % reduction of achieved thanks to the new, higher-performance doors in terms of thermal insulation, made for the models GranBering and SkyLight the negative-temperature vertical Total Energy Consumption cabinets of the Costan and Bonnet Névé brands. (TEC) compared to a standard solution All-round innovation: your shopping where you want In the wake of the growing success of e-commerce, the click&collect formula is gaining more and more acceptance. Besides proposing itself as “turnkey” supplier for point of sale refrigeration, the Group has realised a solution for internet purchases which can be placed outside the point of sale. This is #EPTABricks, lockers for picking up purchases ordered online, available to consumers 24 hours a day and available both in the option for the preservation of dried foods and for the preservation of fresh and frozen products. #EptaBricks 19
The force of Cool Emotions In the Food&Beverage universe, the new models Joy, Glee and Delight of the Cool Emotions range signed by Iarp – a brand specialised in plug-in cabinets – stand out for their modern, elegant design, perfect for giving maximum visibility to the displayed products and stimulate the desire to buy. Thanks to the modern design, with its squared lines and LED-illuminated profiles, they not only ensure better display synergy but are ideal for placement in bars, pastry shops and specialised stores with a contemporary design, ensuring a uniform look&feel throughout the establishment. What’s more, the natural refrigerating system favours a reduction in maintenance operations. A Green Technology that is really exciting! JOY Only R290available with Iarp Cool Emotions Range GLEE DELIGHT 20
Innovation&Services INNOVATION The beneficial impact of eco-friendly logics Epta’s desire to practice sustainability with an authentic sense of responsibility is also put into concrete form in an environmental protection strategy: a commitment that is reflected in every project, in Research and in the production processes, from the design and development of the product up to the end of its service life. A fundamental premise for putting this logic into action is the quantification and the certification of the potential environmental impact of the products and processes, which the Group has accomplished by adopting the LCA (Life Cycle Assessment) method. Epta’s response for natural refrigeration The market is focusing on increasingly sustainable refrigeration, in complete agreement with Average energy the second step of reducing fluorinated gases (HFC) as of January 1, 2018. The technologies Epta has developed designed to fully comply with F-gas regulations, a decision that has given the -10saving Group an opportunity to consolidate its position as a high value-added partner for large-scale % distributors, HoReCa, and the Food & Beverage industry. Epta has renovated the plug-in lines of all brands with versions using R290 propane or other gases with reduced GWP. In addition, relying compared to a on advanced assistance from its EptaService brand, the Group offers retrofitting, with the goal traditional CO2 plant of updating existing systems by replacing now obsolete refrigerant gases with more up-to-date ones with low environmental impact. An outstanding is FTE (Full Transcritical Efficiency), a system designed by Epta that opens new horizons in natural CO2 refrigeration. A simple, global, and dependable solution under any climate conditions. Thanks to its revolutionary characteristics the system has received a special endorsement from BITZER, a celebrated world producer of compressors which honours the system for its special performances. The certificate issued to the new FTE, created using precisely BITZER products, praises the system as a big step forwarding in the adoption of natural coolants for commercial refrigeration, in order to ensure a high energy efficiency also in hot climatic areas. The use of low GWP refrigerants for our 34products during 2017 generated a reduction of greenhouse gases of % compared to last year, that is equal to the yearly 68.193emissions of cars* *Calculated considering 115 CO2 gr/km* 25.000 km/year = 2.875 kg CO2/year Estimation 21 made according to data reported by Italian Ministery of Economic DevelopmentWebsite http://www.sviluppoeconomico.gov.it/index.php/it/mercato-e-consumatori/qualita-di-prodotti-e-servizi/auto-ed-emissioni-co2
INNOVATION Innovation & Process The 4.0 vision For Epta, innovation hinges on increasingly advanced development, a process that capitalizes on past successes but makes room for solutions that effectively represent sustainable progress. So for Epta, the adoption of Industry 4.0 means looking to the future, using strategies that actively interpret change to create constant improvement. Yet this vision is not realized solely through product innovation, but rather through innovation of the entire production process and method of managing factories and procedures. The process that took the Group from the installation of the first industrial robot to the automated production lines installed today in all plants has been long and complex, but nowadays it is evident that innovation really is the future for a manufacturing industry that wants to win the challenge of international competitiveness. A virtuous example: the Limana plant Significant investments have been made at Limana: 10 million euros over two years. The goal is to constantly encourage improvement in production and technological processes, keeping an open mind to what’s new and always adopting approaches in line with responsible management of every resource. Through its decision to renovate the Glass Department, for example, it was possible to generate 90 new jobs, and additional growth in production capacity is expected by the end of 2018. Of course, the primary focus continues to be on operating and producing with an eye to sustainable development, constantly optimizing energy efficiency, as exemplified by the 50% reduction in energy consumption by unit produced (compared to 2004, without considering the figures of the glassware, that was opened in 2015). Attention to personal growth is another strength: only through common effort compared to 2004 and a commitment shared by all employees and collaborators has it been possible to exceed the goal of a million and a half units produced since the Limana location opened in 1972. These extremely significant results are fully highlighted in the new Multi-Purpose Exhibition Space opened in April 2018. 1,5 milion of units produced in Limana Factory since 1972 22
Energy conservation made real ENVIRONMENT Epta is constantly seeking solutions to improve energy efficiency at the Group’s plants. Opting for energy self-production, like photovoltaic and co- generation systems and implementing advanced technology on manufacturing processes has resulted in improved general performance levels: despite the Group is increasing the production with new technologies and machinery, the KOE – kilogram of oil equivalent per manufactured unit – has decreased from 35,44 in 2015 to 33,22 in 2017, with a reduction of 6,2%. KOE -6% 35,44 34,86 33,22 reduction of KOE (Kilogram Oil Equivalent per manufactured unit) 2015 2017 despite increase in 2016 the production with new technologies The Group’s effort also resulted in a reduction of water consumption, applied both to and machinery production and to water use across the facility. The improvement is even more evident here: water consumption per produced unit for the entire Group dropped from 315 litres in 2015 to 286 in 2017, with a decrease of over 9%. Water consumption 315 288 286 -9% 2015 2016 2018 water consumption The majority of materials most used in the production of the cabinets are also -3% recyclable: steel, glass and aluminium. The packaging used (carton, plastic film and wood) are completly recyclable (32 Kg per cabinet build), with a reduction of 3% compared to last reduction in year. The important increase in glass consumption is due to the fact that most of the cabinets the use of have glass door. packaging Material used Aluminium 2,91% Plexiglas 0,76% compared to last year Copper 3,00% Paint 0,94% Metal - ferrous Plasticized steel 2,79% 23 4,87% Galvanised Steel 37,65% Glass 42,83% Polyurethane Stainless Steel (foaming) 1,61% 2,64% Due to a difference in unity of mesaurement of KOE and water consumption, figures reported in this page include the consumption of Epta SpA (local unit of Pomezia) but not its production (that is measured by panel, and not by pieces). For this reasons, real data consumption would be better than the reported. We are now working to align this data by 2020. Due to the same difference in unity of mesaurement, figures of material consumption do not include data from Pomezia and Casale.
Local communities and human resources, Epta’s idea of commitment 90% The consideration for people within the Group, the quality of a shared professional life, is a concept on which we base our present and our future. This is confirmed by two significant of total employees shared experience events: the Epta Deutschland Anniversary, on November 24th, 2017, in which covered by collective all company staff participated, to celebrate 20 years of business and success together. In England, bargaining from May 16th-18th, 2018, three days of celebration were dedicated to Epta’s 90th anniversary agreements in commercial refrigeration in the UK. Closing the event was a celebration day that welcomed employees, past and present, to share in the success of Epta UK and also the Lord Mayor of 24 Bradford, who inaugurated together with Marco Nocivelli the renewed showroom in Bradford. Epta’s vocation is to give value to the experience of the human resources, in respect of the interpersonal differences, building cooperation and networks between individuals. In doing this Epta is committed every day to offer safety, training and growth opportunities to everyone who works within the Group: 90% of total employees are covered by collective bargaining agreements. As done for 2016, the Group continues hiring most of its installation and After Sales department workers from external companies: we take seriously our obligations in regard to the use of subcontractors, their qualification, competence and performance as required by Management System Standards for the Control of externally provided processes, products and services. HUMAN RESOURCES TYPE Total Male (%) Female (%) 224 Managers 889 92% 8% White collars 2319 69% 31% Blue collars Total 81% 19% 2755 CONTRACT 57 Male (%) Female (%) 420 Permanent Total 79% 21% Temporary 2719 67% 33% Interim 380 89% 11% 142 REGION Male (%) Female (%) Same factory’s province 79% 21% Other province 81% 19% Other State 21% 79% These data report the workforce of plants in Limana, Casale, Solesino, Pomezia, Milan offices (Italy), Hendaye (France), Bradford (UK), Çorlu (Turkey), Cha-am (Thailand) by employment type, employment contract, and region, broken down by gender.
An absolute value, personal safety -18% Epta systematically gives maximum commitment to guarantee safety to its of Lost Day Rate compared personnel and this translates into significant accident prevention. The results are evident: in fact, referring to page 15, several of our plants and Head Office (Milano) to last year have been granted certification of conformity with the prestigious OHSAS 18001, an internationally recognised standard that envisions the continuous improvement of accident prevention standards by setting yearly objectives. In order to reduce the injury frequency index Epta is costantly active to find new solutions, testing technologies and offering innovative education program. An important example is “Epta for safety” aimed to promote a culture founded on safety. The final result is an important and high reduction of the injury frequency index (total nr. of injuries/total worked hours X 200.000) that for 2017 is equal to 3,30. Also the Lost Day Rate for 2017 is improving and equal to 64,44, with a reduction of 18% compared to 2015 results (78,25). Training for improvement Spotlighting and supporting human potential 30.828 in a continuous growth process hours of employee To reach this objective Epta constantly invests in the training and developing of its human resources: in 2017 it provided its employees with 30.828 hours of training. Since 2009, the Group training has trained the personnel of all departments, proving classroom lessons of a commercial nature or certification, safety/eco-sustainability and much more. In detail, Epta France developed a partnership with ESTIA, the Institute of Advanced 750More than Industrial Technologies situated in Bidart. It was designed to be one of the technological pillars of the region’s activity, as well as a door open to tomorrow’s economic and technological Europe. professionals trained at the CO2 The aim of Epta France project is to develop a 25-day training cycle on an alternating basis Training Centre for Epta France, Iarp France and Epta Iberia managers, so that they can be prepared to support Epta in the UK Epta in its future goals. The choice was then made to share the excellent Epta experience in the realization of systems with natural CO2 refrigerant, opening a Training Centre in the UK which, to date, has involved more than 750 internal and external professionals and which offers a specialised refresher course on these advanced technologies. This structure has obtained the “City and Guilds” certification which attests to the value of the Epta experience, a further confirmation of its high quality standards. 25
EPTACADEMY EPTAcademy: Education for Leadership Development 100Around The foundations for the successful growth for our organisation are based on the ability to people involved connect our business of tomorrow with our professionalism of today. This is the premise of in the project an initiative in which the Group strongly believes, aimed at developing and maximising the high potential of the Epta Management Team: EPTAcademy, a training programme designed and realised with the prestigious contribution of SDA Bocconi, the School of Management of Bocconi University in Milan, one of the well-known and world-renowned center for the creation and dissemination of knowledge. Two education modules, that started in 2016: the Epta Leadership Program, dedicated to senior management (“Future Leaders”), and the Epta Pipeline Program, aimed at mid-level management (“Talent Pipeline”) which involves around 100 people among the Epta personnel. Epta has always selected and invested in the talent of people who have an ambition to cultivate and who see in each change a challenge to increase their value: so with EPTAcademy human capital can enrich itself with experiences, consolidate and deepen their knowledge, preparing them to take on the competitive tests of a global market and supporting Epta’s important industrial plan, which aims to achieve sales of Euro 1 bn by 2020. In October 2017, participants in the Epta Leadership Program celebrated the conclusion of their excellent course of studies with a graduation ceremony, and their success was marked by the award of certificates. The Epta Pipeline Program also concluses in June 2018, and will be followed by the start of its second year. A specific showcase page is dedicated to this special initiative on LinkedIn, viewable at https://www.linkedin.com/company/eptacademy). Epta’s initiatives on local communities Epta’s value on education is strengthened by some other initiatives carried out by the local unit of Limana. Being a well-known and entrenched industry in the territory makes it possible and necessary to carry on activities in order to help the new generations to find employment. For example, the Limana factory collaborated with “Centro Consorzi di Belluno” in 2016 and joined the Belluno FabLab, network for companies and professionals in the support of enterprise projects in a variety of fields. In doing this, Epta, through its Local unit of Limana, made 15 scholarships available in order to develop innovative skills in sectors such as robotics, 3d modeling, and Arduino programming. Thanks to this initiative, dialogue and discussions about the evolution of refrigeration techniques between students and teachers of high schools and technicians of the Limana factory have been deeply encouraged. Epta, also joined the EducaRSI project, whose aim is to introduce high school students to the topic of Corporate Social Responsibility, where managers of the factory held lessons about the relationships between Epta, its workers, the local community and territory. Other initiatives carried out Epta in Limana are internships at the Universities of Venice, Ferrara and Padova where students gain experience in the Limana and Solesino factories as 26 well as retraining projects for people over 50 in disadvantaged social situations.
COMMUNITY A business built on connections Epta knows the importance of continuous updating and of the presence and contact with public Institutions. In line with this, there are several ongoing participations and collaborations with public administrations and local agencies in order to receive punctual and reliable information regarding regulations, research and development programs and European directives in the Epta participates in technical and environmental sectors. more than In addition to manufacturing associations, performance standardisation and product safety 35 associations, the Group has ties with “Orgalime”, the European Engineering Industries and the main platform for exchange between European institutions and companies. Finally, in line with Associations its constant attention to energy consumption, Epta is a member of Eurovent which operates on and Interest Groups a European level, bringing together the most important industries in the field of refrigeration Including: and air-conditioning. This is how the Group succeeds in providing its customers and stakeholders ANIMA, UNICLIMA with important news, qualification and a consistent commitment to establishing constructive PERIFEM, FETA VDMA, UNI, BSI interrelationships. CEN, CEN TC 44 - CEN/TC 44/WG1, ISO CEI/ Gdl Rumore CEI/ Gdl Design for All POPAI Italia ASSOFOODTEC 27
CUSTOMER CARE Care and dedication Epta’s attention is always geared to meeting the customers’ needs. Therefore, with the customary consideration it puts into its assistance processes, Epta has called upon its interlocutors to actively contribute to improving the services offered. A questionnaire to assess Customer Satisfaction in the area of service was carried out in 2017 by Limana factory: general evaluation is good and the overall score is 8,5. Customer Satisfaction - Service 10 9 8 7 6 5 December January February March April May June July August September October November December 2016 2017 More than During 2017, our Strategic Marketing Function carried out a survey aimed at assessing a level of satisfaction of our Clients across Italy, France, Germany, Spain, UK, others EMEA, others 90% international with reference to their touchpoints with Epta Brands. of the surveyed As described in the graphic below, results are very positive: for example, 85% of respondant consider Epta rate their experience about quality of Epta products and services as very positive. More than Commercial 90% consider Epta commercial people as very well prepared. people as very well prepared We are working hard to improve our After Sales area, that is currently being addressed through local acquisitions and organic activities like for example the new EptaService e-commerce, a web portal for selling online spare parts; the new centralized and automated warehouse of spareparts; or a mobile app for EptaService technician. NEGATIVE NEUTRAL POSITIVE On time Range / Prompt After delivery Innovation reply to Sales offers %% % % % % % % % Quality of products / Commercial Services People Competences Price Total Cost of Ownership Group Reliability 28 Overtime
Ethical values, communicated and shared COMMUNEIXCPAETRIOIENNCE #EptaExperience Is The Way doesn’t translate solely to a strategic communication concept, as it effectively mirrors the expertise gained by Epta and its brands over time: a know-how that today makes it possible to develop new, reliable, evolved systems, also redefining display methods in order to make the shopping experience an immersion in an environment of atmosphere and design. The Group’s presence at the 2017 edition of Euroshop explored this concept in every display area, with an extra added value: to truly share the experience by collaborating with other excellent brands, demonstrating together with our partners – also at this event – that productive innovation today is closely connected with environmentally sustainable development. Epta @Euroshop 2017 Epta’s constant presence in the spotlight of international trade fairs The Epta Group’s stand was one of the main attractions at Euroshop 2017, the most important international trade fair dedicated to Retail: during this event, all brands had the opportunity to launch a quality offer, represented by new products and technologically advanced systems, with solutions capable of combining innovation, sustainability, quality, and bold aesthetics. But while Epta clearly wants to present itself as an international Group at major shows in the world, it also considers it indispensable for its brands to participate in sector trade fairs or purely technical fairs, precisely to fully meet the needs of all its markets and sectors, guaranteeing the most targeted, appropriate offer for all operators and offering a true personalized #EptaExperience. In 2017 Epta participated in iMeat in Modena, the quality trade fair dedicated to master butchers: its brands displayed a range of products designed to stylishly equip every shop and offer an impeccable presentation of items. Misa presented its solutions in the Orient at two important events in the sector: Food&Hotel Vietnam in April and Hofex (Japan) in May, a major biennial trade fair for HoReCa operators in Indochina. During the 40th Host, the Milan trade fair dedicated to the HoReCa sector, the Group presented the stellar quality of conservation guaranteed by new Misa cold rooms, Iarp “out of kitchen” plug-ins, and Eurocryor refrigerated display cases. Epta and its brands were also major players at FHA2018, International F&B, Hospitality Trade Show in Asia, the most complete show in the Asian market’s Food & Hospitality sector. 29
Epta was also present at Sigep 2018, a major show for artisan gelato, pastry,COMMUNICATION EXPERIENCE and bread, where products presented by Eurocryor, Iarp, and Misa brands interpreted the claim “#EptaExperience is the way of preserving Gelato Art.” In June 2018 Epta presented its Iarp brand vending solutions at Venditalia, an international biennial trade fair dedicated to the automatic distribution sector. Finally, Epta’s stand will be quite visible at the Chillventa 2018 international trade fair, which focuses on refrigeration sector specialists and technicians, featuring all solutions and advanced systems in the area of natural refrigerants. Innovation takes shape before everyone’s eyes at the new Multi-Purpose Exhibition Space at Limana On April 9, 2018, Epta’s production plant in Limana opened the new Multi-Purpose Exhibition Space. The creation of this area is part of a strategic program in which the Group has invested commitment, resources, and passion, with the goal of creating a major boost to its market presence. This space will act first and foremost as a top quality display area for customers, suppliers, and employees, offering a close look at the technology and high quality of products featuring Epta brand names. A place that not only reflects the Group’s identity and corporate values, but also acts as an international center of attraction, where customers and sector professionals can take a look at the most recent technological achievements. Multi-Purpose Exhibition Space @ Limana 30
Epta @Sigep 2018 Epta @Venditalia 2018 The design for the Space divided it into a main area that offers an authentic exhibition of the Costan, Bonnet Névé, Eurocryor, Misa, and Iarp brands. In addition to this is a Training Center & Test Space and a conference hall. Another area is dedicated to presenting the most up-to-date technical and technological innovations and Epta Service. For Epta’s 90 anniversary in the UK, the English plant in Bradford also opened a new showroom that, like the one in Limana, interprets the Group’s successes and institutional values, focusing on new technological frontiers. 31
A world of successful collaborationCOMMUNICATION EXPERIENCE Exhibitions are ideal occasions for implementing collaborative efforts with top quality partners who share Epta’s foundational values and vision, including and above all in terms of innovation and sustainability. During Host 2017, Epta had the pleasure and honor of receiving an extremely prestigious endorsement from famous international chef Martín Berasategui, whose restaurants boast a total of 8 Michelin stars. At Sigep 2018, Epta had the opportunity to collaborate with an excellent brand: Grom. The specially designed corner demonstrated Epta’s ability to interpret the focus on Grom’s characteristic quality and natural world. The Group affirmed its professionalism in creating solutions for turnkey gelato shops, which in this case fully reflected the purity of Grom’s desserts presented at the fair. Another important collaboration is the one with Sirap: after an excellent cooperative experience during Euroshop 2017, Epta renewed this partnership, aimed at offering the best synergy of each one expertise. As a result, Epta and Sirap offer their customers an even better product preservation, thanks to Sirap packaging solutions and the efficiency of Epta products. This partnership continued during Sigep and Hispack exhibition and with the opening of the Multi- Purpose Exhibition Space in Limana. Epta collaborated also with Fratelli Pagani at the Meat Tech Fair, where they chose Eurocryor PrimoPiano with Dynamic System technology to most effectively display their products. Chef Martín Berasategui Here is his statement whileh e was att he Misa stand: “My new Misa cold rooms guarantee the best conservation and quality of the products I will serve later to my customers”. 32
Epta France and Epta Deustchland A Group in the world. And in the digital universe. The Epta Group’s international presence continues to grow and spread: from this perspective, it is indispensable to have a universal and global vision capable of embracing its identity as an umbrella for many different companies, but it is just as necessary to take full advantage of all the diversity within a single Group. In other words, it is fundamental to understand the identity and needs of every country where Epta has a presence. To best express the value of these differences, websites were created for several of our companies: Epta Deustchland, Epta France, Epta Asia, Epta UK. Each of these highlights the specific qualities of each individual company and the products offered, as appropriate for the market in question. Epta UK and Epta Asia 33
CULTURE AND ENVIRONMENT Epta and FAI: To support the environment, to valorize culture The Group is a Corporate Golden Donor of FAI, Fondo Ambiente Italiano (Italian Environment Fund), to contribute to safeguarding the country’s natural and cultural heritage. For 40 years, FAI and its supporters has protected 50 sites that stand out for their historical, artistic and environmental value. This year Epta’s intervention took part in important conservation work for Italian cultural heritage: alongside FAI, it acted to realize the restoration of the facades of the Abbey of San Fruttuoso in Camogli. A significant activity of artistic and architectural recovery made possible thanks to the contribution of the Nocivelli family in memory of Luigi Nocivelli, Epta’s founder and a big friend and supporter of FAI. The monumental complex is located Capodimonte, in a cove of the rugged coast of Monte di Portofino. It is a real jewel of ancient history that combines beautiful landscape with the architectural and historical values of the abbey. Here the work of nature blends to perfection with that of humans. An image that well represents the memory of Luigi Nocivelli, an entrepreneur with great human qualities: his interests embraced mechanics and art, industry and agriculture, architecture and literature, and his life was marked by a constant search for harmony and beauty. Epta’s collaboration with FAI reflects his commitment to favour and expand the energy that results from art and culture, a strategic resource for social development. Abbey of S. Fruttuoso - Camogli Villa dei Vescovi Epta’s collaboration program provides a new contribution, in support of the 2018- 2020 three year plan for Villa dei Vescovi, a refined early 16th century palace donated to FAI in 2005. The Villa, whose architecture takes its inspiration from classical themes, is entirely surrounded by the Colli Euganei countryside, a setting in perfectly in tune with its frescoes, creating a harmonious example of the blend of art and nature. The choice of Villa dei Vescovi is based on the desire to strengthen the bond between 34 Epta and these areas, where the Group is historically present with the production facilities of Solesino in the province of Padova and Limana in the province of Belluno.
A commitment that pays AWARDS Epta UK was among the winners of the prestigious RAC Cooling Awards 2017, already awarded to Epta in 2006, 2009 and 2014. “Refrigeration Innovation – System and Standalone” was highly commended for the international achievement of the FTE System for cooperation of projects engaged in defining new guidelines and schooling for young people who want to enter the world of industry, and in this regard the participation of 11 companies was requested, among which Epta UK stood out. Costan won the Good Practices Award for Renewable Energy and Sustainable Mobility, granted in 2016 by the National Centre for the Promotion of Renewable Resources of Legambiente. This award is devoted to companies that come up with innovations able to guarantee the highest energy savings, limit the carbon footprint and conserve resources. It should not be forgotten in this regard that the Epta Group can provide retailers a “total solution” for achieving an entirely green point of sale. The Limana plant received the Marco Polo Award. Costan was selected among the outstanding enterprises of the Veneto economic system, standing out for its strong push in exports and the excellent results achieved in 2015 abroad. 80% of its volume of business in that period derived from exchanges with European and non-European countries. For the third year in a row, Epta came away with the prestigious Janus de l’Industrie, thanks to its #EPTAbricks, the revolutionary refrigerated lockers that enable consumers to pick up fresh and frozen products bought on line previously. This solution preserves products for more than 24 hours. The #EPTAbricks were honoured in 2016 also with the LSA du Category Management, in the Démarche Cross-Canal category, because the system overcomes the traditional distinction between real and virtue stores, standing out as a smart alternative to Drive. Also in 2016, Epta received Confindustria’s “Imprese X Innovazione – Andrea Pininfarina” award, an important recognition given out to the 21 Italian companies best able to maintain and increase their competitive edges by investing in all-round innovation. This award stands out in Europe for having adopted the parameters of the European Foundation for Quality Management in the area of innovation, and it is precisely in this context, as in that of R&D, that the Epta team was able to excel. Another prestigious recognition went to Marco Nocivelli, Chairman and CEO of the Epta Group, who won the 21st EY Family Business Award®, given to Italian business people who have created value and contributed to economic growth. Epta UK was among the winners Marco Nocivelli of the prestigious won the XXI edition RAC Cooling Awards 2017 of EY Award 35
ENVIRONMENT EPTA AWARDS COLLECTION Prestigious award for the refrigeration sector for companies that set up Comune di Rozzano Epta awarded in “ Project ” category for environmental friendly high standards of training based upon real market requirements Recovery production of cabinets in the Limana production site 2006 • 2007 • 2009 • 2014 • 2016 • 2017 Project for carbon offsetting of the direct and indirect 2014 emissions created by Epta stand at Euroshop 2011 ECO Conception 2011 SkyView/GranVista chosen as the most innovative solution designed and produced in France 2015 DESIGN Prize for Best Practices for Renewable Energy FTE Full Transcritical Efficiency was awarded and Sustainable Mobility won by Epta group for its total solutions in the category 'Refrigeration or climate technology innovation' that guarantee completely green stores 2018 2016 The most important contest for excellence Restaur-action in retail corner - Shop in Shop, 2017 in Retail Marketing, won in 2017 by Epta Epta & Electrolux Professional solution which mixes and Electrolux Shop in Shop, and in 2018 by the collaboration between Epta and bennet for the 'smart' store in Lecco pop-up restaurant and take away was awarded with Smart Label 2017 in HostMilano. 2017 • 2018 2017 • Impact • E-Lockers Prize in the “Retail category” E-Lockers awarded with the LSA du Category Products are rewarded for the pioneering contributions to the German Management - Démarche Cross-Canal for their innovational design as innovative refrigerated solution and international design landscape 2016 2014 • 2015 • 2016 2015 EptaService e-commerce platform, 2017 BUSINESS EXCELLENCE The project, made in collaboration with Techedge, was celebrated for being an example of excellence in the implementation of SAP software solutions. CEO of Epta awarded in Family Business category Epta’s Managing Director, Marco Nocivelli, for the determination and ambition with which he leads rewarded in the “Internationalization” category, for the ability and courage to meet the family group every day the challenge of generational transition 2017 2015 The art of Mechanics Made in Italy 2010 Epta rewarded for its strong export focus and Mechanics for recovery 2013 for the impressive results obtained abroad Competitive in Italy and in the world 2016 in 2015, amongst the best companies that contribute to the development of foreign trade in Veneto 2016 and organizations for the best Italian enterprises Businesses for Innovation Award for the 21 best Italian businesses Andrea Pininfarina that have demonstrated the ability to maintain 2015 and increase their competitive lead 36 by investing in all-round innovation 2016
Epta: Three Pillars of Sustainability SUSTAINABILITY Sustainability seeks to develop and implement the methods and behaviours thatECONO balance the consumption of resources with the impact of that consumption on the environment in an economically viable manner and one that enhances the quality of life. At Epta, we strive for this balance and have made it an integral part of everything we do. Epta strongly believes in a concrete social progress, and it is deeply engaged with environmental protection. In order to be effective, all of our efforts must integratethe three pillars, or dimensions, of sustainability - environmental/energy, socio- cultural, and economic. We establish our Sustainability Coordination Team & reporting activity. In doing so we are creating the necessary leadership for the activities of policy setting strategy with new goals, investment, KPI data capture, recording and reporting and report publication. With GRI and ISO 26000 guidance we are training for the awareness of the 3 Pillars. We are supported directly by Human Resources Management Policies that ensure Epta is aligned with and dedicated to the core subjects of Corporate Governance: - Human rights - Labour practices - The environment - Fair operating practices - Consumer issues & Community involvement and development As far as tomorrow is concerned, we look forward to the challenges in supporting our commitment to sustainability and dedicate the organisation to demonstrating the results of our work in 2018 which will again be supported by independent validation. MIC SOC SUSTAINABILITY RONMENTAL ENERGY IOCULTURAL ENVI 37
SUSTAINABILITY Some other pillars of Sustainability: Draws from ● Since 2007 Epta gadgets are made with recyclable materials the project ● Since 2008 Epta group communication materials (catalogues and brochures) are printed “Disegna la sicurezza” on recyclable paper and without plastic parts ● In 2012 first electric car in the Costan facility ● 2012 Campaign “Disegna la sicurezza” in Costan facility: Costan organized an award for all direct employees children asking them to draw safety at work. ● 2013 represents Epta’s digital turning point: 90% of the paper printed material was phased off to the advantage of digital catalogues on the Apps and websites. To easily use the new app, all sales people are given their individual iPad. ● Since 2012 Epta uses only electronic Christmas cards. In 2012 and 2013, in sending out digital Holiday Greetings, Epta supported Medicins sans Frontiers and their work for Philippines. In 2014 Epta sent its support to UNICEF – sided with astronaut Samantha Cristoforetti – and in 2015 again supported UNICEF and its campaign against child malnutrition and infant mortality in the world. ● In 2015 Epta is taking part in a number of events related to Milan Expo 2015. Its communication highlights the Group’s will to spread the food preservation value for the sake of all humanity: “The Epta Way Up! Preserving Food Value”. ● In 2015 Epta stands with FAI - Fondo Ambiente Italiano (Italian Environment Fund) – becoming Corporate Golden Donor ● In Hendaye factory, a 100% electric car entirely customized in Epta livery was made available to all employees for any professional displacement, ensuring zero emissions, noise, g/km of CO2. ● Epta France organized a blood donation day in late December 2016, in order to raise awareness of the need for safe blood both for planned treatments and urgent interventions. 50 employees were able to donate blood to the workplace. ● In 2017 we celebrated Christmas and the New Year by making our greeting cards in support of Dynamo Camp, a non-profit association that is part of the SeriousFun Children’s Network, which promotes and operates structured vacation camps around the world, offered free to children with serious and chronic illnesses. ● During last year, Epta Milan headquarters were equipped with a fleet of hybrid cars that can be recharged using six charging stations installed in the parking area. Epta electric cars 38
Validation Statement INVADLEIPDEANTIDOENNSTTATEMENT TÜV AUSTRIA CERT GMBH conducted an independent validation of the TÜV AUSTRIA information contained in this Corporate Social Responsibility Report 2018. We were CERT GMBH responsible for auditing and validating the information given in this report. Criteria Office: of validation audit have been the GRI Sustainability Reporting Guideline G4 (in TÜV AUSTRIA Platz 1 accordance: core). The reporting period considering data and GRI performance 2340 Brunn am Gebirge indicators was January 1st, 2017 to December 31st, 2017. Whenever it is Telefone: appropriate, the development of KPI’s of the previous two years is reported. +43 (0)5 0454-0 Fax: The number of represented production sites increased to 8, covering 95% of the +43 (0)5 0454-76244 total production of the Epta group (Limana, Casale, Solesino, Pomezia (Italy), [email protected] Hendaye (France), Bradford (UK), and Corlu (Turkey), Cha-am (Thailand)). The TÜV ® Headquarter in Milan as the managing unit for the whole group also is represented in this report. Accredited as: Inspection Body, The audit process of TÜV AUSTRIA CERT GMBH is compliant with ISO Certification Body 19011:2011. Our audit techniques provide reasonable assurance, that the CSR Management: report does not contain misstatements. TÜV AUSTRIA CERT GMBH also uses Rob Bekkers, MSc BSc samples for validating the information of this CSR Report 2018, which have been Yiannis Kallias, MSc drawn in the numerous audits for certification and surveillance of EPTA’s ISO Registered Office: 9001:2015, ISO 14001:2015 and OHSAS 18001:2007 Management Systems. Epta Deutschstraße 10 France successfully maintained the Energy Management System according to the 1230 Wien/Österreich requirements of ISO 50001:2011, which also contributes to address material Company Register aspects mentioned in this CSR Report 2018. This fact enlarges the number of Vienna / FN 288474 b samples and increases the assurance of the quantitative and qualitative information contained in this report. We provide EPTA with audit report’s detailing our samples and findings concerning the Integrated Management System according to ISO 9001:2015, ISO 14001:2015 and OHSAS 18001:2007, the Energy Management System according to ISO 50001 and the CSR Report 2018 according tion StatetomGeRnI Gt4 (in accordance: core). H2rntiKhpd0geoaP1crt7Ipoia’GnsentgeRrdtoioouIftShdctoShetDecueceidisoancptnlfaeBCrpsoE2rosRaeeimhrb0rnaPioneqvdmeejtasbhnTeivueseo,ebaecceApirturdiit2itrslnnloeni’isiuos0v,ttdnmgoyinse13tvesnwise8ieC1ipodRngbonoseaStniiateatvea,ulntsyi:Rnpcetarnrde.yntdon2difeaaorEaRi0Rnnrttilnnih1nsPetante,ade7pTlgiaptrse.ohvAvgnoaGtraiGraced’rsdteWstlRl.tiudi)p2sddrIirhee,o0ea2daiesespr1pxt0etstidinttoeo8e1olssaeiiernrn.rdn8uebrtfeven.W.opdlaeciasrpCcutromerGhliooevrdfeira4mwectiitctdteniosentopric(h,mnrigmlidiaeeinesemowtmthshcoeeuuernnmwkEdsiic+CT2TTOFc+eaPute344aÜeÜiEahfntrnf433sxlTVVtRieit0@:cott((sfiTAeA00AoaaoBtnt:t))nuUUGr55trhinuvesnSiSMug.00no:e,aTT44anBcrtnRRr55oHabta44IIAimAi--uGonii70(lsP6GpinpttRl2eeaeyso4tbhdrzI4,ilnr-di1egcGeaieandiel4vdasetqtha,alu(oiubisoanpdarrmfigtsitenaseaera,c,nnlciitnsocdvpaoraaMdrtrltioiiraaodlecannaecncacttsieliooovs:lnecnleohcacJfaoatuuritrnodthnesnieedt), oduction sites winhcoreleagserodupto. 8, covering 95% of the TÜV ® group (Limana, (CTausrakVeleyi,e)n,SnCoalh,eaJs-uiannmoe, (P2T7ohtmha2iela0zn1iad8))(.ItaTlyh)e, UK), and Corlu naging unit for the whDoiplel. gInrogu. pWaelsrnoeirsGreaprgreitsteernted External Lead Auditor ISO 9001, ISO 14001, OHSAS 18001, ISO 50001 AUSTRIA CERT GMEnBvHironmisenctaol mAupdliitaonr taccwoirtdhingItSoOEMAS ues provide reasonaTbÜleVaAsUsuSrTaRncIAe,CtEhaRtTtGheMBCHSR atements. TÜV AUSTRIA CERT GMBH also uses mation of this CSR Report 2018, which have been for certification and surveillance of EPTA’s ISO d OHSAS 18001:2007 Management Systems. Epta the Energy Management System according to the 011, which also contributes to address material Rh0vpGr.ri0GraaotnsteWoR1Rlsriuip2ndtr:sIeih.I2eo0gdaSupe0pWr1petrOtotin1oae8eolhiree5rnnr.dnett5fvec.W.op0e2IerCnra0ro0meGotnr0f1evia4odw1ti8gitednfe.trraec(hariiOiaTenenesttEhedhHedPiSstThMAeAfqaSa+TC2TOT+Fcue344eÜaÜcnECfwrfa433lxVVtRieta0@:cS((finT1eA00AotgBte:h))tnRuUUG8r55eiuvenSStM00.0n:amaaTTl44nBRat0RRt55uHaie44IIr1evAmAd--gn07:epPi6G2ettlo2ae0s4Srtbrz4e0aitr1ygtp7ne2hso,d0teer1tmt’n8sqhueuaadmaccelbccitEtaoeoanirrrtledidinvoriiengngfggy Accredited as: Inspection Body, Certification Body Management: Rob Bekkers, MSc BSc Yiannis Kallias, MSc hoesdeem(ociPrtdTionopiihmsngmldaiemortie9elhscaze5peunin%ramwdeEd)iseaPt)(ohe.IntTtifnotaTAattnlteyhhthsigd)eoee,rnroauGi(sppReoThdIlÜ-iecGViani®e4dstqh,u(iisoanrrfgtienaaracnlciinsovaraMdtliiiaodlannancatieloo:ncnhcaJaouurrdtnesiet), Registered Office: 39 Deutschstraße 10 1230 Wien/Österreich Company Register Vienna / FN 288474 b ves, work instructions, database, data collection
MATERIAL ASPECTS G4 Ref Title of Aspect Considered to be Material Aspect Boundary Page Economic performance to the Organization & Inside the organization Page 46 G4-EC1 Financial assistance Stakeholders Page 47 G4-EC4 Page 24 G4-EC6 Yes Page 23/47 G4-EN1 Page 23/47 G4-EN2 Yes Inside the organization Page 47 G4-EN3 Page 23 G4-EN5 Market presence Yes Inside the organization Page 47 G4-EN6 Materials used Yes Inside the organization Page 19 Yes Inside the organization Percentage of materials used that are recycled input Yes Inside the organization Page 47 materials Page 47 Energy consumption within the organization Page 48 Energy intensity Yes Inside the organization Page 48 Page 25 Reduction of energy consumption Yes Inside the organization Page 48 Page 14 G4-EN7 Reductions in energy requirements of products and Yes Inside the organization Page 47 services Page 47 G4-EN8 Total water withdrawal by source Yes Inside the organization Page 48 Monetary value of significant fines and total number Page 14 Page 14 G4-EN29 of non-monetary sanctions for non-compliance Yes Inside the organization Page 50 with environmental laws and regulations G4-EN31 Total environmental protection expenditures Yes Inside the organization and investments by type G4-LA1 Total number and rates of new employee hires and employee Yes Inside the organization turnover by age group, gender and region G4-LA6 Type of injury and rates of injury, occupational diseases, lost days, Yes Inside the organization and absenteeism, and total number of work-related fatalities, by region and by gender G4-LA9 Average hours of training per year per employee by gender, Yes Inside the organization and by employee category G4-HR1 Total number and percentage of significant investment Yes Inside the organization agreements and contracts that include human rights clauses or that underwent human rights screening G4-EC7 Indirect Economic Impacts Yes Inside the organization / Outside the organization G4-EN30 Significant environmental impacts of transporting products Yes Inside the organization / Outside the and other goodsand materials for the organization’s operations, organization and transporting members of the workforce” G4-EN32 Percentage of new suppliers that were screened using Yes Inside the organization / Outside the G4-HR6 environmental criteria organization G4-HR10 G4-PR3 Operations and suppliers identified as having significant risk Yes Inside the organization / Outside the for incidents of forced or compulsory labour, and measures organization to contribute to the elimination of all forms of forced Yes Inside the organization / Outside the or compulsory labour organization percentage of new suppliers that were screened using Yes Inside the organization / Outside the human rights criteria organization 41 Type of product and service information required by the organization’s procedures for product and service information and labelling, and percentage of significant product and service categories subject to such information requirements
Appendix Corporate Social Responsibility Report 2018 43
G4 Guidelines G4 GENERAL STANDARD DISCLOSURES REPORT FULLY ON THE BELOW SELECTION OF PROFILE DISCLOSURES OR PROVIDE A REASON FOR OMISSION 1. Strategy and Analysis Profile Disclosure Location of disclosure Disclosure Statement from the most senior decision-maker of the organization Page 5 G4-1 2. Organizational Profile Profile Disclosure Location of disclosure Disclosure Name of the organization Page 6 G4-3 G4-4 Primary brands, products, and services. Page 6 G4-5 Location of the organization’s headquarters. Page 6 G4-6 Number of countries where the organization operates, and names of countries where either the organization Page 6 has significant operations or that are specifically relevant to the sustainability topics covered in the report. G4-7 Nature of ownership and legal form Page 6 G4-8 Markets served (including geographic breakdown, sectors served, Page 6 and types of customers and beneficiaries) G4-9 Scale of the organization Page 6 Total number of employees by employment contract and gender. Page 24 Total number of permanent employees by employment type and gender. Page 24 The supply chain is organized as below: Total workforce by employees and supervised workers and by gender. 1. Group Purchasing and Procurement Director 2. Local Purchasing and Procurement Manager (each european Epta Plant) G4-10 Total workforce by region and gender. 3. Global Buyer / Commodity Manager Report whether a substantial portion of the organization’s work is performed by workers who are legally 4. Local Purchasing and Procurement Team; Industry and Spare Parts recognized as self-employed, or by individuals other than employees or supervised workers, including Page 6 Page 13 employees and supervised employees of contractors. Page 33, 34, 38 Significant variations in employment numbers Page 27 G4-11 Percentage of total employees covered by collective bargaining agreements. G4-12 Describe the organization’s supply chain. G4-13 Significant changes during the reporting period regarding the organization’s size, structure, ownership, or its supply chain G4-14 Report whether and how the precautionary approach or principle is addressed by the organization. G4-15 List externally developed economic, environmental and social charters, principles, or other initiatives to which the organization subscribes or which it endorses. G4-16 List memberships of associations (such as industry associations) and national or international advocacy organizations in which the organization 3. Identified Material Aspects & Boundaries Profile Disclosure Location of disclosure Epta Legal Entities: Epta Iberia S.A., Spain - Epta France S.A. , France - Iarp France Sas, France Epta Rack S.A., France - Epta Suisse S.A., Suisse - Epta Deutschland GmbH, Germany Epta George Barker & Co (Leeds) Ltd – United Kingdom, Epta Service Uk Ltd. – United Kingdom Epta Cold Service Ltd – United Kingdom, Epta Denmark, Denmark - Knudsen Koling, Denmark Epta Suomi OY, Finland, Epta Norway AS, Norway - Epta International Kft, Hungary Epta Istanbul S.I., Turkey, Epta Istanbul Pazarlama, Turkey Epta Technical Services UAE LLC, United Arab Emirates Epta Technical Services Ryhadh Llc, United Arab Emirates List all entities included in the organization’s consolidated Epta (Qingdao) Retail Equipment Co. Ltd, China G4-17 financial statements or equivalent documents. VSD Engineering Enterprise Pte Ltd., Singapore - Epta Sea Pte Ltd., Singapore Report whether any entity included in the organization’s consolidated Epta Refrigeration Snd Bhd, Malaysia - Iarp Asia Co., Ltd, Thailandia financial statements or equivalent documents is not covered by the report. Iarp Services Co., Ltd, Thailandia - Epta Argentina S.A., Argentina Epta Chile S.A., Chile - Epta Pacifico Sur S.A., Chile - Epta Perù S.A., Peru Epta Austria Gmbh – Austria, Epta Australia – Australia Epta Philippine – Filippine, Epta Polska – Polonia Group data are presented at page 6. All of the other entered data relates to 2017 year for the facilities in Limana, Casale, Solesino, Pomezia, Milan offices (Italy), Hendaye (France), Bradford (UK), Çorlu (Turkey), Cha-am (Thailand) that represent 95% of the total production of the Group 45
G4-18 Explain the process for defining the report content and the Aspect Boundaries. Page 10-13 G4-19 Explain how the organization has implemented the Reporting Principles for Defining Report Content. G4-20 G4-21 List all the material Aspects identified in the process for defining report content. Page 41 G4-22 G4-23 For each material Aspect, report the Aspect Boundary within the organization. Page 41 Profile For each material Aspect, report the Aspect Boundary outside the organization. Page 41 Disclosure The organization has not restated any information provided in the previous report Effect of any restatements of information provided in previous reports, and the reasons G4-24 for such restatements. Significant changes from previous reporting periods in the Scope and Aspect Boundaries. The organization has not changed the reported period in the Scope nor Aspect Boundaries Stakeholder Engagement Disclosure Location of disclosure List of stakeholder groups engaged by the organization. Page 9, 10 G4-25 Basis for identification and selection of stakeholders with whom to engage. Page 9, 10 G4-26 Page 10, 13 G4-27 Organization’s approach to stakeholder engagement, including frequency of engagement by Page 10, 13 type and by stakeholder group, and an indication of whether any of the engagement was undertaken Location of disclosure specifically as part of the report preparation process. Page 4 Report key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting. Report the stakeholder groups that raised each of the key topics and concerns. Report Profile Profile Disclosure Disclosure G4-28 Reporting period G4-29 Date of most recent previous report (if any). 2016 G4-30 Reporting cycle Page 4 G4-31 Contact point for questions regarding the report or its contents. Page 52 G4-32 Report the ‘in accordance’ option the organization has chosen. Page 8 G4-33 Page 8 Report the organization’s policy and current practice with regard to seeking external G4-34 assurance for the report. Page 8 Report the relationship between the organization and the assurance providers. Report whether the highest governance body or senior executives are involved in seeking assurance for the organization’s sustainability report. Governance Governance structure of the organization, including committees of the highest governance body. Identify any committees responsible for decision-making on economic, environmental and social impacts. Ethics and Integrity G4-56 Process for delegating authority for economic, environmental and social topics from the highest governance Page 8 body to senior executives and other employees. SPECIFIC STANDARD DISCLOSURES REPORT FULLY ON 10 CORE OR ADDITIONAL PERFORMANCE INDICATORS - AT LEAST 1 FROM EACH DIMENSION (ECONOMIC, ENVIRONMENTAL SOCIAL) Category: Economic Indicator Disclosure Location of disclosure Economic performance G4-EC1 Report the direct economic value generated and distributed (EVG&D) on an accruals basis including Revenues: Euro 124.026.744,14 • Revenues Operating costs: Euro 114.701.599,75 • Operating costs Employee wages and benefits: Euro 152.440,00 • Employee wages and benefits Retained earnings: Euro 8.019.454,78 • Payments to providers of capital Payments to government: Euro 932.829,00 • Payments to government (by country) • Community investments Euro 27.058,63 • Economic value retained 46
G4-EC4 Report the total monetary value of financial assistance received by the organization from governments Tax relief and tax credits, subsidies, investment grants, research and development grants, G4-EC6 during the reporting period and other relevant types of grants, awards, royalty holidays, financial assistance from Export G4-EC7 Credit Agencies (ECAs), Financial incentives, other financial benefits received or receivable from any government for any operation: 1.327.000 Euro Market presence Page 24 Percentage of senior management at significant locations of operation that are hired from the local community. Indirect economic impacts Development and impact of infrastructure investments and services supported In 2017, the Epta Group continued to invest in operations, continuing its innovation process: The main investments are related to: - the upgrade of production capacity in in Limana (Italy), Hendaye (France), Rosario (Argentina), Qingdao (China), Casale Monferrato (Italy) and Bradford (UK) plants; - the assembly process of new positive vertical cabinets in Limana plant (Italy); - the assembly process of new plug cabinets in Rosario (Argentina); Procurement Practices G4-EC9 Proportion of spending on local suppliers at significant locations of operation Not significant. This data is not available. Indicator Category: Environmental G4-EN1 Disclosure Location of disclosure G4-EN2 G4-EN3 Materials used by weight or volume Materials G4-EN5 G4-EN6 MATERIALS USED BY WEIGHT (KILOS) G4-EN7 Stainless steel: 888.193,85 Galvanized steel: 20.827.411,46 Plasticized steel: 1.542.046,30 Polyurethane (foaming) 1.463.046,29 Glass: 23.690.819,99 Metal - ferrous: 2.695.590,41 Copper: 1.657.743,57 Alluminum: 1.608.699,25 Plexiglass: 419.692,42 Paint: 521.599,92 Percentage of materials used that are recycled input materials Alluminium: 2,91% - Steel: 42,05 % - Glass: 42,83 % Energy Energy consumption within the organization Energy consumption within the organization Gas m3: 3.805.793,00 - Water m3: 66.330,00 - Electricity: 78.342.483.600,00 Kjoules. Energy intensity Page 23 Reduction of energy consumption Reduction of energy consumption thanks to fotovoltaic cogenerator: 12.954.494.880,00 Kjoules/Year Reductions in energy requirements of products and services Page 23 G4-EN8 Total water withdrawal by source Total water withdrawal by source: 62.403,00 m3 Biodiversity - considered Not Significant Emissions G4-EN15 Direct greenhouse gas (ghg) emissions The organization is not provided with technologies suited for the collection of greenhouse (Direct) gas (GHG) emissions G4-EN17 G4-EN19 Other indirect greenhouse gas (ghg) emissions The organization is not provided with technologies suited for the collection of greenhouse gas (GHG) emissions G4-EN22 G4-EN27 Reduction of greenhouse gas (ghg) emissions The organization is not provided with technologies suited for the collection of greenhouse G4-EN28 gas (GHG) emissions G4-EN29 Effluent & Waste G4-EN30 Total water discharge by quality and destination The organization does not have the technologies for reporting these data Products & Services Extent of impact mitigation of environmental impacts of products and services Page 21 Percentage of products sold and their packaging materials that are reclaimed by The organization is not responsible for packaging material disposal and it has not the possibi- Category lity to collect this kind of information. Compliance In those production plants where the organization has implemented and achieved certification to UNI EN ISO 14001:2004, (which includes legal compliance requirements), Monetary value of significant fines and total number of non-monetary sanctions we have not received any significant fine or non-monetary sanction for non-compliance For non-compliance with environmental laws and regulations with environmental laws and regulation. In the other plants, implementation of this standard progresses Transport Transport of employees by shuttle bus is provided only in Çorlu factory, as it is Significant environmental impacts of transporting products and other goods compulsory by law. Finished products are generally moved with trucks, and the And materials for the organization’s operations, and transporting members of the workforce transport is arranged by who withdrew the product, so we do not have 47information about the environmental impact. When we have the possibility
G4-EN31 Overall Total waste disposed: 569.098 kilograms G4-EN32 Total waste recycled: 5.950.536 kilograms G4-EN34 Total environmental protection expenditures and investments by type The ratio between waste disposed and waste produced is 8.73% Supplier Environmental Assessment 100%, as this practice is required by Group procedures Percentage of new suppliers that were screened using environmental criteria Environmental Grievance Mechanism Number of grievances about environmental impacts filed, addressed, and resolved Not significant. In accordance with the UNI EN ISO 54001:2015, the organization Through formal grievance mechanisms is provided with a monitoring mechanism of grieviance by third parties Category: Social Labour practices and decent work Indicator Disclosure Location of disclosure G4-LA1 G4-LA4 Employment Total number of new employee hires in 2017: 597. Rate: 13,7%. Employee turnover: 19,1% Data referred to age goup, gender and region are not available. For this reason Total number and rates of new employee hires and employee turnover by age group, gender and region this data are only partial. Labour Management Relations Minimum notice periods regarding operational changes, including whether these are specified Not significant. The minimum notice period regarding operational changes is in collective agreements regulated by law and depends on the country considered. G4-LA6 Occupational Health & Safety Page 25 G4-LA9 Type of injury and rates of injury, occupational diseases, lost days, and absenteeism, and total G4-LA12 number of work-related fatalities, by region and by gender G4-LA13 G4-LA14 Training & Education G4-LA16 Average hours of training per year per employee by gender, and by employee category Average hours of training per employees category: Indirects: 30; Directs: 6; Managers: 36. Average hours of training per gender: Male: 13; Female: 9 Diversity & Equal Opportunities The composition of governance bodies depends on the country, and we do not have access to this kind of data. Composition of governance bodies and breakdown of employees per employee Category according to gender, age group, minority group membership, and other Indicators of diversity Equal Remuneration for Women & Men Ratio of basic salary and remuneration of women to men by employee category, by significant Not significant, as currentrly this aspect is regulated by law. locations of operation Supplier Assessment for Labour Practice Percentage of new suppliers that were screened using labor practices criteria The organization does not currently uses any labor practice criteria in order to screen new suppliers and it is difficult to recieve this data from the supplier. Number of grievances about labor practices filed, addressed, and resolved through formal grievance mechanisms Not significant. The company has not identified any grieviance about labor practices field Human Rights Indicator Disclosure Location of disclosure G4- HR1 G4- HR2 Investment Page 14 Not significant. The organization has not identified any aspect of human rights that are Total number and percentage of significant investment agreements and contracts that include human rights clauses or that underwent human rights screening relevant to operations. Total hours of employee training on human rights policies or procedures Concerning aspects of human rights that are relevant to operations, including the percentage of employees trained 48
G4- HR3 Total number of incidents of discrimination and corrective actions taken Not significant. The organization has not identified any incident of discrimination G4- HR4 Operations and suppliers identified in which the right to exercise freedom of Not significant. The organization has not identified any operation or supplier in which G4-HR5 Association and collective bargaining may be violated or at significant risk, and the right to exercise freedom of association and collective bargaining may be violated or at significant risk G4-HR6 Measures taken to support these rights Not significant. The organization has not identified any operation and supplier as having G4-HR7 Operations and suppliers identified as having significant risk for incidents of child significant risk for incident of child labor G4-HR8 Labor, and measures taken to contribute to the effective abolition of child labor G4-HR9 Page 14 G4-HR10 Operations and suppliers identified as having significant risk for incidents of forced or compulsory G4-HR11 labor, and measures to contribute to the elimination of all forms of forced or compulsory labor The organization has not identified any human rights policy or procedure that G4-HR12 is relevant to operations Percentage of security personnel trained in the organization’s human rights Policies or procedures that are relevant to operations Not significant. The organization has not identified any incident or violation involving rights of indigenous people Total number of incidents of violations involving rights of indigenous peoples and actions taken Not significant. The organization has not identified any operation that have been subject to human rights reviews or impact assessments Total number and percentage of operations that have been subject to human rights reviews or impact Page 14 assessments Not significant. The organization has not identified any significal actual and potential Percentage of new suppliers that were screened using human rights criteria negative human rights impact in the supply chain Significant actual and potential negative human rights impacts in the supply chain Not significant. The company has not identified any grievance about labor practice and actions taken Number of grievances about human rights impacts filed, addressed, and resolved through formal grievance mechanisms Society Indicator Disclosure Location of Disclosure G4-S02 Local Communities Not significant. The company has not identified any actual and potential negative impact on local communities G4-S03 Operations with significant actual and potential negative impacts G4-S04 on local Communities G4-S05 G4-S06 Anti Corruption Not significant. G4-S07 The Group will soon provide an internal audit function while in the meantime, Total number and percentage of operations assessed for risks related to corruption G4-S08 and the significant risks identified with the support of an outside company were defined procedures which include the anti corruption standards Communication and training on anti-corruption policies and procedures Confirmed incidents of corruption and actions taken Public policy Not significant. Due to policy practice, the organization does not support any political association or party Total value of political contributions by country and recipient/beneficiary Anti Corruption Behaviour Total number of legal actions for anti-competitive behavior, anti-trust, and The organization has not identified any legal action for anti-competitive behavior, monopoly practices and their outcomes anti-trust and monopoly practice Compliance The organization has not identified any non-compliance with laws or regulations Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations Supplier Assessment for impacts on society G4-S09 Percentage of new suppliers that were screened using criteria for impacts on society The organization does not use criteria for impacts on society for new supplier screening G4-S10 Significant actual and potential negative impacts on society in the supply chain and actions taken The organization has not identified any significant actual and potential negative G4-S11 impacts on society in the supply chain Grievance mechanism for impacts on Society Number of grievances about impacts on society filed, addressed, and resolved The organization has not identified any grievances about impacts on society field Through formal grievance mechanisms 49
Product Responsibility Indicator Disclosure Location of Disclosure G4-PR1 Customer health and safety Page 13 G4-PR3 Percentage of significant product and service categories for which health and G4-PR5 Safety impacts are assessed for improvement G4-PR6 G4-PR7 Product and service labelling G4-PR8 G4-PR9 Type of product and service information required by the organization’s procedures for product 1. The sourcing of components of the product or service, for all electrical components and service information and labeling, and percentage of significant product and service categories is always included in all user instructions 2. Content, particularly with regard to substances that might produce an environmen- subject to such information requirements tal or social impact (refrigerant gases), is always included in all installation instructions 3. Safe use of the product or service, included in all user instructions 4. Disposal of the product and environmental/social impacts, always included in all user instructions Percentage of significant product or service categories covered by and assessed for compliance with such procedures: 100% Results of surveys measuring customer satisfaction Page 28 Marketing communications Sale of banned or disputed products The organization does not sell banned products and has not identified questions of concerns regarding these products Total number of incidents of non-compliance with regulations and voluntary codes concerning The organization has not identified any non-compliance with regulations marketing communications, including advertising, promotion, and voluntary codes and sponsorship, by type of outcomes Customer privacy Total number of substantiated complaints regarding breaches of customer The organization has not identified any substantiated complaints privacy and losses of customer data Compliance The organization has not identified any fine for non-compliance with laws or regulations, concearning the provision and use of products and services Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services 50