BUSINESS AND SUSTAINABILITY PERFORMANCE REPORT 2020 REVEALING OUR RESILIENCE Revealing Sustainability Per formance our Resilience Report Report 04 CEO Interview 40 Sustainability Highlights 70 Financial Statements 07 A Global Sector Leader 42 Assessing Material 74 Sustainability Performance 08 Creating Value Throughout Sustainability Risks 82 GRI the Lifecycle of Aluminium 44 Staying One Step Ahead of Market 88 Memberships 10 CFO Interview Regulatory Changes 89 Report of the Independent Third Party 11 Business Units 45 Adjusting Our Targets and Defning 12 Pursuing a Comprehensive Strategy Future Perspectives 13 Our Values 46 Our Sustainability Targets for 2021 16 Governance 47 Analyzing Environmental Impacts 22 Focusing on Environment, Health, with Life Cycle Assessments and Safety (EHS) 48 Developing Products 24 Manufacturing Excellence with Envrionmental Benefts 50 Championing Recycling 52 Prioritizing Customer Satisfaction Business 54 Attracting, Engaging, and Retaining Report the Best People 56 Gender Diversity 28 PacKaging 58 Supporting Our Local Communities 30 Automotive 59 Respecting Human Rights 34 Aerospace 61 Limiting Landflled Waste 36 Transportation, Industry, and Defense 62 Curtailing Energy Use and Greenhouse Gas Emissions 65 Minimizing Air Emissions and Managing Water 66 Insisting Upon Sustainable Procurement 68 Actively Supporting the Aluminium Stewardship Initiative Constellium’s non-financial performance statement (“déclaration de performance extra-financière”), in- cluded in this report (as specified on page 74), was verified by an independent third party, Pricewaterhouse- Coopers Audit. PricewaterhouseCoopers Audit verifed compliance of our statement with the provisions of the French Commercial Code (article R. 225-105), along with the fairness of the information provided in our state- ment, such as Key performance indicators and measures taken to address risks (article R. 225-105 I, 3, and II of the French Commercial Code). The work of PricewaterhouseCoopers Audit was performed in accordance with the provisions of articles A. 225-1 et seq. of the French Commercial Code, determining the conditions under which an independent third party performs its engagement, and with the professional guidance of the French Institute of Statutory Auditors (“CNCC”) applicable to such engagements, as well as with ISAE 3000 assurance engagements other than audits or reviews of historical fnancial information. The verifcation report of PricewaterhouseCoo- pers Audit (included on page 89 of this report) describes in detail the verifcation work performed. The world has gone through a year of acute challenges, with a global pandemic and an economic downturn. The crisis fundamentally changed the way we live and work, the expectations of customers, and society at large. Aluminium is a remarkably resilient and malleable material, adapting itself to an infinite variety of RESILIENCE needs. Over the past year, Constellium has proven itself to be resilient and adaptable, too. Our people have shown what they are made of, and taken strength from our core values. Together, we have OUR OUR developed short-term and long-term strategies to mitigate the crisis’ effects, remained open to new opportunities, and continued building the company of tomorrow on REVEALING today’s solid foundations. INTERVIEW “Thanks to the dedication of our employees, our sites never stopped production throughout the crisis.” a stringent set of required safety procedures, demonstrated courage and commitment, including wearing masks, dividing and disin- served our customers and ensured continuity fecting worK areas, enforcing social distancing, of our business. The road to normalcy is still and distributing regular best practice updates. long and bumpy, but we managed to build a We continue to strive to provide our employees stronger, more resilient Constellium to face the with the safest possible work environment. challenges and seize the opportunities that may We were also committed to meeting the demand come. of our customers. This was critical, as we supply essential industries such as the food and bever- age, transportation, and healthcare industries. Did the crisis change your priorities in ThanKs to the dedication of our employees, our terms of sustainability? sites never stopped production throughout the crisis, unless our own customers did. Sustainability is part of the bedrock of our busi- In these uncertain times, we tried to stay ness and our strategy, which was only strength- ahead of the crisis. We developed business ened as a result of the crisis. We must create continuity plans as early as February to secure value for our shareholders and we must be Jean-Marc Germain, our operations, and we made sure to maintain sustainable—value creation and sustainability Chief Executive Ofcer a strong financial position. As a result, our are intrinsically linKed for our long term and our team was in a position to react quicKly at the short term growth. Our sustainability commit- How did Constellium manage early stages of the pandemic by aggressively ment and initiatives respond to our customers’ through the Covid-19 crisis? cutting costs, reducing capital expenditures, and society’s demands for sustainable products and signifcantly increasing our liquidity. Out of and solutions. Our goal is to minimize our impact I am very proud of how Constellium handled an abundance of caution, we secured several on the environment. As one important step in this unprecedented challenge. We have State-sponsored loans in Europe. We were able our efforts against climate change, we have demonstrated our resilience and resource- to remain solidly Free Cash Flow positive for the committed to cut greenhouse gas emissions fulness as our business has gone through second consecutive year. We unfortunately had by 25% in 2025 vs. 2015, per ton of aluminium incredibly disruptive times. to reduce our worKforce but strived to preserve sold, by reducing our energy consumption and Our first focus was the safety of our jobs as much as possible. improving our energy mix towards renewables. employees, their families, and our com- Overall, I believe that this crisis brought In February 2021, we demonstrated our com- munities. Constellium’s teams rolled out out the best of Constellium. Our employees mitment by issuing a "green bond" linKed to 04 CONSTELLIUM BUSINESS AND SUSTAINABILITY PERFORMANCE REPORT 2020 our recycling capacity and to our CO2 emission decade and we want to continue to be a leader. reduction targets, and we are proud to be a pio- Our Environmental, Social, and Governance (ESG) neer in the metals sector. strategy and roadmap for 2030 are taKing shape, Unfortunately, the unforeseen consequences of with initiatives to include offering additional the Covid-19 crisis prevented us from reaching responsible products, increasing recycling, and our energy effciency targets for 2020, which is reducing emissions and waste. I believe that COMMITMENT TO THE why we decided to maintain the same targets this is an opportunity not only to meet societal for 2021. We will continue to develop a multi- expectations and play our part in the fght against UNITED NATIONS pronged approach to get back on tracK. climate change, but also to add more value for our GLOBAL COMPACT We have also made good progress on other customers, our business, and our shareholders. For the ninth consecutive year targets. Safety remains our number one priority, we support the Ten Principles and we reduced our Recordable Case Rate(1) of the United Nations Global again in 2020, achieving our lowest Recordable The packaging market has always been Compact (UNGC) in the areas Injury Rate ever. We met our target for landflled resilient. Has it also become a growth of human rights, labor, environment, and anti- production waste, with a 33% reduction versus market? corruption. 2015, thanKs to the successful implementation of recycling programs, especially in the U.S. Yes, the pacKaging marKet is an exciting I'm impressed by the progress made by all our growth marKet with long-term, secular growth sites worldwide. We started a diversity, equity, tailwinds. This is quite a change for this market, and inclusion (DEI) program and continued our as companies and consumers understand community engagement initiatives worldwide. more and more the sustainability benefits of “ Our commitment and progress have been the aluminium beverage can. MarKet growth is As an important recognized. In June, Constellium received a being driven by the end consumer, as recycling step in doing Platinum rating from EcoVadis, the agency’s and reducing plastic waste become societal our part in the highest rating, which positions us in the top priorities. The aluminium can has incredible fight against 1% of companies assessed worldwide. We inherent advantages, including being infnitely improved our CDP rating to B and Kept our AA recyclable, and will stand out as the preferred climate change, ranking from MSCI. We achieved Aluminium pacKaging material. we have Stewardship Initiative (ASI) certifications for Our customers have announced significant committed to our Singen and Neuf-Brisach plants, as well as investments in new can lines, which should cut greenhouse for our downstream operations in Dahenfeld drive incremental demand for cansheet in the gas emissions and Gottmadingen, allowing us to provide years to come. We are committed to helping by 25% in 2025 independently certifed sustainable products to our customers deliver on this secular growth. vs. 2015, per