Data Index
Financial Year 2022 is Arxada’s inaugural year of ESG reporting. Due to this, some data in the report isincomplete. We are commied to increasing the scope of our sustainability data collection and dataassurance in future years
11/10/2023, 10:53 Data index - Arxada Sustainability Report Data index Notes on data completeness Financial Year 2022 is Arxada’s inaugural year of ESG reporting. Due to this, some data in the report is incomplete. We are commied to increasing the scope of our sustainability data collection and data assurance in future years. General disclosures Performance indicator FY22 Framework Organization name Herens Midco S.a.r.l. GRI 21 Ownership status Private equity, owned by Bain and Cinven funds, GRI 21 holding company Headquarters location Basel, Switzerland GRI 21 Countries of operation See Our business & sustainability GRI 21 Entities in sustainability Troy AG and Arxada AG GRI 22 reporting Dierences between entity N/A Audited Financials on Herens Midco S.a.r.l. are GRI 22 list in financial reporting and non-public information sustainability reporting
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY22 Framework Reporting period 01.01.2022 – 31.12.2022 GRI 23 (sustainability and financial reporting) Report cycle Annual GRI 23 Report publication date 23.05.2023 GRI 23 Report contact point General inquiries on sustainability report: GRI 23 [email protected] Investor inquiries: [email protected] Restatement of information N/A inaugural report GRI 24 External assurance External assurance was sought for the assessment GRI 25 of embedded KPIs in our Sustainability-Linked Financial Instruments, covering Scope 1 and Scope 2 (location-based and market-based) as well as total waste generated for our Sustainability Report for the reporting year 2022. See Our 2022 Assurance Leer from ERM-CVS and Our business & sustainability Sector Chemicals sector GRI 26 Value chain and activities See About Arxada GRI 26 Governance structure and See Our Executive Leadership Team and GRI 29 composition Sustainability governance Nomination and selection of See Sustainability governance GRI 210 the highest governance body
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY22 Framework Chair of the highest Arxada does not have a formal Chairman of the GRI 211 governance body Board Role of the highest See Sustainability governance GRI 212 governance body in overseeing the management of impacts Remuneration policies See Sustainability governance GRI 219 Statement on sustainable See Sustainability at Arxada and Our business & GRI 222 development strategy sustainability Policy commitments See Sustainability governance and Resources & GRI 223 downloads Arxada’s policies are approved by the relevant ELT members and boards of the relevant legal entities. The policies mentioned above are communicated through the Arxada internet, intranet, and periodic ethics & compliance training programs, such as its True Oce training plaorm, and periodic Legal Department training programs. Embedding policy See Sustainability governance and Aracting, GRI 224 commitments enabling & engaging a diverse workforce Processes to remediate See Our business & sustainability GRI 225 negative impacts Several of the company’s manufacturing sites, including Visp, Newark, Mapleton, Willamsport, Conley and Suzhou, have labor unions, which have
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY22 Framework Collective Bargaining Agreements (CBAs) under relevant local laws containing grievance mechanisms. In the event the company receives claims or complaints from employees or third parties, the Legal Department thoroughly investigates them with the appropriate internal stakeholders and business/functional partners, supported by outside counsel where necessary, and works with internal stakeholders to determine appropriate actions. Processes involving the Legal Department are periodically reviewed and evaluated as needed, depending on a variety of factors. Mechanisms for seeking The HR and Legal Departments typically support GRI 226 advice and raising concerns grievance processes. Guidance regarding reporting concerns is included in several company policies (such as some mentioned above), during training programs and during everyday business counselling. Approach to stakeholder See Our business & sustainability and Advocacy GRI 229 engagement leadership for science-based decision-making for a sustainable future Planet pillar disclosures
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY21 FY22 Framework [1] [2] Greenhouse gas emissions Scope 1* 658,222 tCOe 181,138 tCO e GRI 3051, 3052, 2 2 3055 Scope 2 location-based* 173,871 tCO e 155,514 tCO e 2 2 Scope 2 market-based* 168,216 tCO e 163,052 tCOe 2 2 Base year 2021 Consolidation approach Operational control Operational control Standards, methodologies, GHG Emissions are GHG Emissions are assumptions, and/or defined as Scope 1 and 2 defined as Scope 1 and 2 calculation tools greenhouse gas greenhouse gas emissions of the Group, emissions of the Group, determined in determined in accordance with the accordance with the Scope 1 and 2 guidance Scope 1 and 2 guidance of the GHG Protocol of the GHG Protocol Corporate Accounting Corporate Accounting and Reporting Standard. and Reporting Standard. [1] Air quality management NO 75.0 t 68.6 t SASB RT-CH- X 120a.1 SO 3.8 t 3.8 t X VOCs 166.3 t 168.8 t [1] Energy management
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY21 FY22 Framework Total energy consumed 5,616,650 GJ 5,043,030 GJ SASB RT-CH- 130a.1 % grid electricity 30% 32% % renewable 5% 1% Waste management Third-party waste See Supplier Code of See Supplier Code of GRI 3062, 3063, management Conduct. Additionally, Conduct. Additionally, 3064, 3065 legislative compliance is legislative compliance is administrated locally administrated locally based on local based on local legislation. legislation. Total waste generated* 70,717 t 53,881 t Hazardous waste generated 57,670 t 41,203 t Non-hazardous waste 13,047 t 12,678 t generated Hazardous waste recycled 6,899 t 5,109 t Non-hazardous waste 2,522 t 2,585 t recycled Hazardous waste incinerated 34,671 t 31,583 t Hazardous waste sent to 3,034 t 1,240 t landfill Hazardous waste disposed 13,064 t 3,269 t (other options)
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY21 FY22 Framework Non-hazardous waste 1,573 t 2,483 t incinerated Non-hazardous waste sent to 8,951 t 7,610 t landfill Location of disposal 100% of waste captured 100% of waste captured is directed to osite is directed to osite disposal. disposal. [1] The scope of this report includes all manufacturing sites with FTE >10 (note, Auckland New Zealand and Trentham Australia manufacturing sites are included even though they have less than 10 FTEs) and Pilot Manufacturing sites with FTE >45. The scope excludes emissions and waste from oces, as emissions and waste from these locations are not material to Arxada’s overall emissions and waste. [2] Our Scope 1 includes fuels (i.e. LPG, Fuel Oil, etc.) direct emission to air from our operations including CO , N O, CH . Arxada does not have emissions from PCF, HFCs and SF . Our Scope 2 emissions are market- 2 2 4 6 based and composed of purchased electricity and steam. * Metrics have been assured by ERM CVS. For more information, please see the “External Assurance Statement” which details the scope, activities and conclusion of their engagement. Preservation pillar disclosures Performance indicator FY22 Framework Safety & environmental stewardship for chemicals % of products containing GHS 77% SASB RT-CH- category 1 and 2 health and 410b.1, RT-CH- environmental hazardous 410b.2 substances % of products containing GHS 100% category 1 and 2 health and environmental hazardous substances with a hazard assessment
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY22 Framework Management of the legal & See Advocacy leadership for science-based SASB RT-CH- regulatory environment decision-making for a sustainable future 530a.1 Child labor and forced or See Supplier Code of Conduct GRI 4081, 4091 compulsory labour [1] People pillar disclosures Performance indicator FY22 Framework Workforce health & safety Total Recordable Incident 1.21 SASB RT-CH- Rate (TRIR) 320a.1, RT-CH- 320a.2 Total Recordable Fatality Rate 0 (TRFR) Lost Time Injury Frequency 0.41 Rate (LTIFR) Operational safety, emergency preparedness & response Process Safety Incidents 38 SASB RT-CH- Count (PSIC) 540a.1, RT-CH- 540a.2 Process Safety Total Incident .98 Rate (PSTIR) Number of transport incidents 0 Diversity & equal opportunity
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY22 Framework Senior leadership gender GRI 4051 Female 46 23% diversity Male 158 77% Gender diversity Female 934 25% Male 2,866 75% Not declared 0.15% Non-discrimination See our Code of Conduct GRI 4061 Employment Total employees 3,600 GRI 4011, 4012, 4013 New hire gender diversity 157 Hires in 2022 Female 23% Male 53% Not declared 24% Turnover gender diversity The total turnover rate for 2022 is 17.25%. We are unable to provide a turnover rate by gender for 2022. Full-time employee benefits For US FTEs: Medical Dental Vision
11/10/2023, 10:53 Data index - Arxada Sustainability Report Performance indicator FY22 Framework Life Insurance Disability Coverage 401k participation Significant locations of See Our business & sustainability operation Parental leave entitlement variable by region and location female Parental leave entitlement variable by region and location male Parental leave female 1 (based on last 6 months of 2022 only) Parental leave male 1 (based on last 6 months of 2022 only) Community relations See Community involvement SASB RT-CH- 210a.1 Training & education See Aracting, enabling & engaging a diverse GRI 4042 workforce and Health & safety [1] People pillar data is only available for 2022. Please also note that the data provided is only for Arxada (legacy LSI), which represents 74% of the company. The total headcount for 2022 includes 100% of the workforce for 2022, including legacy Arxada, TROY and Envirotech.