Brighter Lives, Better World Our 2020 sustainability program Sustainability, Signify
Signify Classified - Internal Our world is changing - Global trends shaping our business Resource challenges Digitalization Population growth more light more energy efficient light more digital light Today, lighting accounts for 13% of the world’s electricity demand. The global shift to LED will reduce this to 8% by 2030. 2
Signify Classified - Internal Our purpose To unlock the extraordinary potential of light for brighter lives and a better world 3
Signify Classified - Internal Our Brighter Lives, Better World commitments for 2020 Sustainable revenues Sustainable operations 80% of revenues from sustainable 100% carbon neutral & products, systems and services 100% renewable electricity More than 2 billion LED lamps and Zero waste to landfill in our luminaires delivered by 2020 operations Safe and healthy workplace Sustainable supply chain 4
Signify Classified - Internal Our progress and Q2 2020 results 2015 baseline Q2 2020 result 2020 target Sustainable revenues 72.1% 83.1% 80% LED lamps & luminaires delivered 0 2.580 Billion >2 billion (Cumulative since 2015) Carbon footprint Gross 666 kt CO 2 Gross 146 kt CO 2 Net 0 kt CO 2 (YTD) Waste to landfill 3,304 tonnes 26 tonnes 0 tonnes (In Q) Safe & healthy workplace TRC = 0.66 TRC = 0.25 TRC = 0.35 Sustainable supply chain 90% performance rate 99% performance rate 90% performance rate We achieved the highest We are named DJSI We received the EcoVadis score in the CDP climate Industry Leader for 3 Platinum Medal and are in the disclosure: A-List consecutive years top 1% of companies assessed 5
Signify Classified - Internal Sustainable innovation and revenues Our 6 commitments for 2020 in two pillars Sustainable innovation Sustainable revenues • • Covered 83.5% of our innovation spend in 2019 Contributed 83.1% to our total • Sustainable focal areas are part of our design process sales in Q2 2020 based on energy- efficient products, systems and services Energy Weight & materials • We already reached our 2020 target of 80%! Circularity Packaging • We aim to deliver more than 2 billion LED lamps and luminaires Substances Basic needs delivered. By Q2 2020 we have delivered 2.580 billion and already reached our 2020 target! Human centric Access to light 6 6
Signify Classified - Internal Sustainable operations Zero carbon Zero waste to landfill Prevent injuries Sustainable supply chain • Reduce energy use • Send zero waste to • Provide a safe and • Engage our suppliers, audit • Optimize logistics landfill healthy workplace and train all risk suppliers • Reduce business travel • Reduce, recycle and • Ensure responsible minerals for our employees • Shift to 100% • Reduce the carbon footprint re-use waste in all through injury renewable electricity our manufacturing prevention of our supply chain sites 7
Signify Classified - Internal Our sustainability program and 2020 commitments 8
Signify Classified - Internal We contribute to the UN Sustainable Development Goals (SDGs) 9
Signify Classified - Internal We contribute to the UN Sustainable Development Goals (SDGs) SDG 3 Good health and well-being SDG 7 Affordable and clean energy is addressed through increasing food availability with is addressed through our energy efficiency programs agricultural lighting that can help improve yield and with EU-ASE, UNEP and SE4AI, by providing access to quality, while using less resources, reducing waste light in off-grid areas and our energy access work with and food miles and through human centric lighting, the Global Off-Grid Lighting Association, and our shift making you see better, feel better and function better, to renewable electricity enabling greater wellbeing SDG 8 Decent work and economic growth SDG 11 Sustainable cities & communities is addressed through fostering decent work and is addressed through our LED lighting programs with economic growth in cooperation with for instance city associations, and NGOs such as The Climate Responsible Business Alliance, BRAC Nepal and Group and the World Green Building Council, by Responsible Minerals Initiative by improving the providing lights for safer and more livable cities and safety & wellbeing of employees and suppliers and the social benefits of our access to light and offsetting training lighting entrepreneurs programs SDG 12 Responsible consumption and production SDG 13 Climate action is addressed through our circular economy approach, is addressed through our thought leadership activities, with light that lets you recycle, reprint & reuse, long-standing cooperation with the UNFCCC, Corporate including 3D printing, serviceable luminaires, Leadership Group, the WEF, our carbon neutral replaceable components, circular services and our zero program and our supplier engagements to decrease waste to landfill program their environmental footprint 10
Signify Classified - Internal Our partners in achieving the Sustainable Development Goals SDG 3 Good Health and Well-Being SDG 7 Affordable and Clean Energy SDG 8 Decent Work and Economic Growth SDG 11 Sustainable Cities and Communities SDG 12 Responsible Consumption and Production SDG 13 Climate Action
Signify Classified - Internal Our Q2 2020 achievements 26% decrease in gross 83.1% Sustainable revenues 22% Decreased Total carbon footprint Recordable Case rate compared to YTD Q2 2019 We achieved the highest compared to Q2 2019 score in the CDP climate and Carbon neutral supply chain: A-list 89% decrease in Operations in Benelux, METAF, We are named Industry UKI, IIG, France, Iberia, China, waste to landfill Leader in the DJSI for 3 US, Canada, LATAM, ASEAN, compared to Q2 2019 consecutive years India, Indonesia, Far East and Pacific We received the EcoVadis 90% of industrial 99% of risk suppliers Platinum Medal and are in the top 1% of companies waste is recycled passed the audit assessed 97% of our used electricity came from 2.580 billion LED lamps and luminaires delivered since 2015 renewable sources 12
Signify Classified - Internal The launch video – Brighter Lives, Better World in motion Brighter Lives, Better World launch video https://www.youtube.com/watch?v=UQ01WAM7_yw 13
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