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2018 Sustainability Initiatives A GRI-Referenced Report Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 2 Table of Contents A MESSAGE FROM LEADERSHIP 3 SPECIFIC DISCLOSURES GENERAL DISCLOSURES 5 Environmental Sustainability 18 Management Appproach 19 Organizational Profile 6 Energy Reduction 20 Beliefs 13 Raw Materials 22 Strategy & Analysis 14 Waste 22 Governance 15 How We Report 16 Supplier Assessment 23 Social Responsibility 24 Management Appproach 25 Occupational Health & Safety 26 Employee Diversity & Inclusion 29 Local Community 30 GRI Content Index 31 APPENDIX A: INDEVCO North America Code of Conduct 33 Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 3 102-14 A Message from Our Leadership We feel fortunate to work in an industry that We invested in recycling equipment that will allow us produces packaging of incomparable function and to unleash the value of plastic scrap next year, while convenience. Our products impact the economic considering recoverability options of our packaging vitality of manufacturers and the lives of consumers ultimately used by consumers. every day. At the same time, plastic has become Within our plants, INDEVCO Plastics coordinated one of the most problematic and misunderstood of employee health and wellness screening and packaging materials. Plastic waste has captured the sponsored team members in a community sports Robert Laird world’s attention, and we think that’s a good thing. league. In the wider community, we engaged with Division President In 2018, INDEVCO Plastics introduced sustainability organizations like Greater Longview United Way and INDEVCO North America reporting for the first time. With the pros and cons Hiway 80 Rescue Mission in Eastern Texas to help Plastics Division of plastics in the limelight, we began working to plan serve individuals and families who are in need or our long-term shift from single-use packaging to a homeless. circular economy approach. Initiatives like these are ultimately good for Our operations began assessing suppliers for communities everywhere. “What is good for the impacts on the environment and society and community is good for the company,” said our reviewing our raw materials and packaging group’s founder, Georges Frem, many years ago. components. We strategized with our customers, He expected companies to take their fair share of joint venture partners and their brand owners responsibility for society’s challenges and to build a to trial recycled content packaging, to explore strong sense of family. recyclable and compostable films, and to evaluate track and trace technologies which may enlighten recoverability of our products. Wayne Mashe General Manager INDEVCO Plastics Longview LLC Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 4 What is good for “ “ the community is good for the company. Georges N. Frem INDEVCO Founder & Former Chairman Neemat G. Frem INDEVCO Chairman & CEO Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 5 General Disclosures In this GRI-referenced report, the numbers in the margins represent disclosure numbers for the GRI 2016 / 2018 Standards. All data included in this report is as of 31 December 2018. Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 6 Organizational Profile INDEVCO North America Plastics Division in Doswell, Virginia was established in 2015 to develop plastic packaging for industrial and consumer use and to innovate recovery solutions for a circular economy. Our division’s business units manufacture polyethylene (PE) flexible packaging in our Longview, Texas plant and pouches using disruptive digital printing technologies in multiple plants in the US. Our production facilities emphasize sustainable raw materials, raw material downgauging, and product design for recoverability and compostability. Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 7 102-1 2-10 12-13 Longview, Texas INDEVCO Plastics Longview LLC launched in Texas in 2015 as a greenfield plant producing industrial films and bags, emphasizing form- fill-seal (FFS) heavy duty sacks, stretch hood film, shrink collation film, INDEVCO North America Plastics Division coordinates with INDEVCO and PE roll stock. The plant has recently invested in plastic scrap recycling Group Flexible Packaging Division’s Polymer Application Technology equipment and is forming partnerships to collect and process plastic scrap. Center (PACT) to pioneer sustainable plastic product development, In 2018, our Longview plant supplied large-volume manufacturers from a such as our DigiPoly™ brand of films for digital printing. range of industries within the US and in Canada, Mexico, and France. Business units adapt their sustainability strategies to R&D As a privately-owned company, volume and net sales for INDEVCO advancements for renewable, recycled and recyclable raw materials Plastics Longview are not publicly communicated. and efficient packaging performance and lightweighting. FULL-TIME PERMANENT MALE 69 69 69 56 Employees PART-TIME TEMPORARY FEMALE 0 0 13 Member of INDEVCO North America, Inc. | Member of INDEVCO Group Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 8 PRODUCTS Stretch Hood Shrink Film Heavy Duty Sacks Form-Fill-Seal (FFS) Extruded Film MARKET SEGMENTS Agriculture Beverage Building & Construction Food Industrial Packaging Palletizing Personal Care Petrochemicals Salt & Minerals Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 9 Supplier Code of Conduct Our company is bound by a Code of Conduct covering business integrity, SUPPLY CHAIN labor standards and employee relations, environmental protection, and reliability and accountability. Our purchasing unit is putting INDEVCO Plastics Longview procures machinery and spare parts, raw materials, packaging, into place follow-up mechanisms to ensure logistics and transportation, warehousing, travel and other services from over 250 suppliers in 7 compliance with our code. countries, including North America (Canada, USA) and Europe (Austria, Germany), as well as from sister companies within INDEVCO Group in North Africa (Egypt) and the Middle East (Lebanon, See INDEVCO North America Code Saudi Arabia). of Conduct in Appendix A INDEVCO Plastics shipments are impacted by heavy congestion at Houston Port, which handles roughly two-thirds of the Gulf Coast’s container trade. We will expand East Coast operations in 2019 to facilitate logistics. Supplier Assessment INDEVCO Plastics Longview used SupplyShift.net platform to assess select 250+ 7 2018 resin and additive suppliers for their Suppliers Countries environmental and social impacts on our supply chain. We will work with suppliers with identified risks to comply with our requirements. Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 10 EXTERNAL STANDARDS INDEVCO Plastics Longview complies with the following external charters, principles, standards, and initiatives. Uniform codes and standards guide INDEVCO Plastics in ensuring good corporate governance and alignment with best practices, while allowing comparability for stakeholders to evaluate our performance. Operational Effectiveness Memberships Sustainability Manufacturing Chamber of Commerce Global Reporting Initiative (GRI Standards) Good Manufacturing INDEVCO Plastics’ 2018 Global Sustainability Report is a non-financial report based on select Global Reporting Practices (GMP) Pre-Audit Initiative (GRI) 2016 / 2018 Standards. Disclosure numbers are identified in the side margins throughout the document. In the future, we aim to publish our report Quality Management Flexible Packaging in accordance with the GRI Standards: Core option. ISO 9001: 2015 QMS Association (FPA) UN Global Compact (UNGC) As a Signatory Member of the United Nations Global Compact, as of September 2017, we will begin submitting Safety Council Workplace Organization a Communication of Progress (COP) next year based on of East Texas this report. 5S Methodology UN Sustainable Development Goals (UN SDGS) Society for Human The United Nations set the 2030 Agenda for Sustainable Development action plan to meet 17 Sustainable Resources Management Development Goals (SDGs) to improve conditions for people, planet, and prosperity. At INDEVCO Plastics, our initiatives align with nine SDGs for which we can show measurable impacts. (See Specific Disclosures on p. 20) Table of Contents Leadership Message INDEVCO Plastics Overview Environmental Sustainability Social Responsibility GRI Content Index 11 MINNEAPOLIS BOSTON CLEVELAND MADISON NEW YORK CHICAGO Philadelphia, PA BOULDER Richmond, Louisville, KY Virginia LOS ANGELES ATLANTA Longview, TX Equity Partnership in ePac Holdings LLC Austin, TX Owner-Operator in 5 ePac Plants In 2017, INDEVCO Plastics, Inc. entered a partnership with ePac Holdings LLC for equity in its rapidly growing national network of flexible packaging plants. ePac plants use disruptive