Environmental Report 2009

Weleda AG (, Germany, France) Contents

3 Editorial

4 Company history

6 Raw material sourcing and biodiversity

12 management

13 Environmental guidelines

14 Ecobalance

18 Resource management

23 Country reports

26 Addresses/Certification

27 Publication details

Front page: Collection of primula flowers in the Swiss Jura Mountains for Weleda pharmaceuticals

3 Editorial

Dear reader,

We are pleased to present you with the first ever consolidated environmental report of Weleda AG for the year 2009. It contains the reports of our parent company in Arlesheim, Switzerland as well as those of our establishments in Schwäbisch Gmünd, Germany and in Huningue, France, and of Weleda Naturals GmbH in Germany. The United Nations declared 2010 the International Year of Biodiversity, an important step that we are very happy about. Promoting biodiversity is one of Weleda's core areas of focus, with biological diversity on our planet vanishing at an alarming rate. The loss of wildlife habitats is putting our existence at risk. Only intact ecosystems provide fertile soil, food, water and oxygen. Since its foundation, Weleda has considered diversity an asset – an asset that it wishes to increase. Without biological diversity there would be no Weleda products. Apart from the im- portant component, water, we utilise almost 1,000 natural raw materials for our pharmaceuti- cals and cosmetics. Weleda is striving to incorporate biodiversity management into all its busi- ness processes, and thereby make a contribution to a future worth living. This means that our environmental management is developing into a comprehensive sustainability management system. It is an exciting task, contributing to this continuous change for the better, and helping to achieve an increase in diversity at all levels. We hope our report will provide some interesting insights. Enjoy reading!

Marc Follmer Bas Schneiders Member of the Weleda Group Management Head of CSR Weleda Group

3 Company history

In harmony with nature and the human being since 1921

Weleda has operated and created products sustainably since 1921. What originated as a natural pharmaceutical laboratory has become the world's leading producer of anthroposophic pharmaceuticals and holistic natural and organic cosmetics. As of 2010, the Weleda Group has offices and partnerships in 51 countries throughout the world.

Since 1921, the company's mission has been to maintain, promote aging and distribution of the final products. For this purpose, and restore health. Our product assortment includes 3,000 pharma- Weleda grows medicinal plants and produces tinctures, and fur- ceuticals and more than 105 natural and organic cosmetics, as ther naturally processes these raw materials through heat and well as dietetics. Highest quality standards are accompanied by a potentizing. The products are distributed in various pharmaceuti- sustainable use of resources. 62 per cent of all plant-based re- cal forms – tablets, ointments, globules, ampules, creams, lotions, sources are from certified organic or biodynamic cultivation and and oils. Manufacturing processes such as the melting of fats, controlled wild collection. Weleda products are composed of purely saponifying of beeswax, mixing and stirring and various heat natural substances, and no synthetic preservatives are used. processes (including decoction and infusion) are used. The company's three main processes relevant to the envi- Currently, about 1,800 full-time employees work for the ronment are the sourcing of natural raw materials, their process- Weleda Group. In all markets worldwide, Weleda stands for trust, ing into cosmetics, pharmaceuticals and dietetics, and the pack- quality and sustainable economic management.

105 natural and organic cosmetics – 3,000 pharmaceuticals – CHF 400 million revenue 1,800 employees – 1,000 natural raw materials – 12 years of environmental management

4 5 Company history

Milestones of environmental protection

1921 Environmentalism at Weleda AG begins with its founda- 2003 The Weleda Group Management Board (WGL) decides to tion. The central focus is on the production of pharmaceuticals have the three main production sites in Switzerland, Germany and natural and organic cosmetics, with a holistic approach to and France EMAS/ISO 14001 certified. An international envi- the human being, society and nature. ronment committee is founded for continuous data collection and a comprehensive ecobalance evaluation. 1930 Weleda AG plants medicinal herb gardens based on bio- dynamic principles. Today they remain the identity and the 2005/06 A new pharmacy, logistics and administration building source of comprehensive efforts to protect the environment is constructed at the parent company in Arlesheim according to and to conserve species. ecological criteria. An extensive catalogue of measures concern- ing insulation, energy efficiency, water pollution control, storage 1972 Re-cultivation of the medicinal plant arnica in its native of hazardous materials, and safety at work is implemented. habitats begins. 2006 The first international Weleda conference on the environ- 1988 Water and heat are saved through operating distillation ment, with participants from Germany, France and Switzerland, plants in a closed water circuit, cooled by heat pumps. Use of drafts objectives for a medium-term environment strategy of recycled paper for advertising booklets and the Weleda news the Weleda Group, with the main focus on and magazine, “Weleda Nachrichten”. Waste management focused water conservation. Weleda Naturals GmbH is inaugurated in on waste separation and recycling. Germany. The tinctures production facility at the site is equipped with a photovoltaic generator on the roof, which produces more 1992 Weleda begins the systematic sourcing of organic raw ma- than 30,000 kilowatt hours of electricity. terials and the supervision of partners for cultivation and wild collection (sea buckthorn berries, iris roots, birch leaves), along 2007 The greenhouse gas emissions of the three production with the careful maintenance of biotopes and re-cultivation of sites in Germany, France and Switzerland are analysed by the plants for pharmaceuticals and cosmetics in their native habitats: Institute for Applied Ecology in Freiburg, Germany. An integrated arnica, primula, ratanhia, lobaria pulmonaria, and many more. balance sheet for greenhouse gas emissions is created.

1997 The first eco-audit is conducted according to EMAS and ISO 2008 Weleda lends active support to the Business and Bio- 14001 standards at the largest production site, in Schwäbisch diversity Initiative and participates in the 9th UN Conference on Gmünd, Germany. Release of the first environmental report, Biological Diversity. “Transparenz 1”. Introduction of a holistic environmental man- agement system. 2009 Environmental management, previously carried out at a national level, is expanded to a comprehensive, Group-wide 2000 Weleda is one of the first companies in Germany to pub- CSR and sustainability management approach, with detailed lish a sustainability report. Co-foundation of a work group, reporting. “Medicine and species protection”, initiated by the WWF.

2001 A new administrative building opens in Schwäbisch Gmünd, Germany, built according to ecological criteria: Its power sup- ply is based entirely on regenerative energies, yielding sav- ings of more than 2,000 tons of CO2 emissions per year.

5 Raw material sourcing and biodiversity

Generating raw materials, promoting biodiversity

Diversity is a basic principle of life, and it is of great importance to Weleda. To contribute to the protection of biological diversity, Weleda employs organic and biodynamic cultivation methods and supports sustainable projects.

Without biological diversity there would be no Weleda prod- Wild collection ucts. For a company obtaining almost 1,000 raw materials from nature, the careful use of natural resources has top priority. Weleda also uses medicinal plants gathered in their native hab- Premium quality raw materials are the basis of high grade and itats. They are partly collected by Weleda employees, partly by effective products that contribute to the health and well-being experienced external collectors. For several decades now, how- of its consumers. It is not just the effects of the products that ever, the proportion of plants from wild collection has declined contribute to health, but also the way they are produced. Eco- in favour of systematic cultivation. logically compatible cultivation has favourable effects on na- ture and the human being. With the use of organic fertilizers Partnerships and natural pesticides in organic cultivation, ground water quality is preserved, and the cycle of materials remains intact. The third pillar of raw material sourcing is based on long-term Improving soil quality results in more effective flood partnerships with suppliers in a global network. In the last seven protection and prevents erosion. Organic cultivation also de- years, for example, Weleda has brought about the world's big- mands much less energy than other forms of cultivation and it gest organic rose cultivation project, in cooperation with Turkish reduces the emission of substances harmful to climate and farmers. More than 300 farmers cultivate “Rosa damascena” for health. By preserving the diversity of species, organic cultiva- Weleda on 120 hectares of land. Weleda processes one third of tion greatly contributes to the stability of ecosystems. These the world's total harvest of the precious natural fragrance “Rose are just some of the reasons why Weleda uses raw materials absolue” which is extracted from the rose petals. from biodynamic and organic cultivation. They account for over Such partnerships are often part of a cooperation with 90 per cent of the ingredients in our pharmaceuticals and governmental development organisations such as German 62 per cent of those in our natural and organic cosmetics. Weleda's Technical Cooperation (GTZ), with universities or global envi- sourcing of raw materials is based on the following three pillars: ronmental organisations such as the WWF.

Own cultivation

Weleda's own biodynamic cultivation of medicinal plants has a long tradition. There are medicinal herb gardens at our sites in Switzerland and France, and at Weleda Naturals GmbH (a 100 per cent Weleda subsidiary) in Germany, the central production site for plant extracts (tinctures, oil extracts, etc.). It is Europe's largest biodynamic medicinal herb garden, with more than 250 medicinal plant species on 20 hectares of land.

6 7 Raw material sourcing and biodiversity

Weleda uses medicinal plants that we cultivate ourselves, as well as plants gathered in their native habitats. These are partly collected by Weleda employees and partly by experienced external collectors.

Collection of Arnica montana in a biodiversity project in the Vosges (France)

7 Raw material sourcing and biodiversity

“Use it – or lose it!”

Conserving the sources of our pharmaceuticals: The sustainable and fair wild collection of Strophanthus kombe in Malawi.

Strophanthus kombe is an important pharmaceutical plant for standards. The rural population was provided with training Weleda: It contains pharmacologically valuable cardiac glyco- courses to demonstrate how repeatedly collecting Strophanthus sides used in for patients with cardiac on an annual basis can be more profitable than chopping the insufficiency. Sourcing this plant has proven difficult for many trees down for charcoal production. This enables the inhabitants years. Progressive deforestation and destruction of habitats in both to benefit from and to protect their forest habitats, while African countries are steadily reducing the plant's chances of drawing a regular income from “TreeCrops” and Weleda. survival. Strophanthus kombe grows as a liana around trees – no “TreeCrops” reinvests part of the proceeds in a fund for joint trees, no Strophanthus! projects in the villages, so everyone benefits from the project: In 2007, Weleda began a strategic partnership with the collectors and every single member of their community. “TreeCrops”, a Malawian company adhering to strict sustainability

Collector couple in Malawi: Handing down traditional knowledge of medicinal plants is still widespread in Africa; Strophanthus kombe petal (at right)

8 9 Raw material sourcing and biodiversity

The share of plant-based raw materials from organic sources has increased from 59.4 per cent to 62 per cent.

International 2008 International 2009 Raw materials in tons Conventional Organic Share in % Conventional Organic Share in %

Plant-based raw materials 955.3 1,397.9 59.4 925.6 1,512.2 62.0 Dried plants 4.5 58.7 92.8 15.3 41.4 73.0 Fresh plants 2.5 47.4 95.0 2.8 44.3 94.0 Fruit juice 0.0 226.8 100.0 0.5 183.8 99.7 Plant extracts 35.1 1.7 4.7 6.0 9.5 61.3 Oils and fats 528.2 646.8 55.0 471.4 792.1 62.7 Essential oils 58.0 34.7 37.4 50.0 54.1 52.0 Alcohol 7.2 272.6 97.4 7.3 315.0 97.7 Glycerol 152.6 0.0 0.0 167.3 0.0 0.0 Sugar 26.1 106.1 80.3 49.5 67.1 57.5 Other1 141.1 3.1 2.2 155.5 5.1 3.2

Animal-based raw materials2 152.4 6.3 3.9 139.9 6.6 4.5

Minerals3 25.5 70.8

Inorganic raw materials and metals4 184.1 275.0

Fossil organic raw materials5 3.7 2.7

1 Plant-based bulking agents, starch, emulsifiers, etc. 2 Milk sugar (for solid dosage forms), beeswax, wool wax, etc. 3 Talcum, salt, etc. 4 Siliceous bulking agents, chalk, metals for production of pharmaceuticals, etc. 5 Vaseline and paraffin for specific medicinal ointments

9 Raw material sourcing and biodiversity

Iris, fragrant roses and argan oil

Three cooperative projects in Morocco combine sustainable value creation and the protection of biospheres.

Iris roots, Damask rose petals and argan fruit are important raw barren and rocky soil seem to be essential for the tree to flour- materials for the production of Weleda natural and organic cos- ish – and for its fruit to grow; the fruit which provides one of metics. Iris roots contain a moisture-regulating extract, rose the world's most precious oils. petals provide a charming natural fragrance, and the argan nut A cooperation with the company “Sidi Yassine” makes it contains an oil that nurtures the skin. Weleda obtains all three possible for the rural population to continue collecting the argan plant-based raw materials from cooperative projects in Morocco. fruit traditionally, which in turn preserves the argan trees' natural These projects contribute to sustainable rural development habitat. Additionally, the sustainable cultivation of argan trees and local value creation. secures the survival of numerous plants growing in their shade. The most remarkable project is the extraction of argan They are used as animal feed, as bee pasture, and as flavouring oil. The Argan forests in the heart of Morocco are designated as and medicinal plants. High quality, fair prices and the transpar- a UNESCO biosphere reserve. It is the only place on earth where ency of the entire oil production support the rural Berber popula- these trees grow. Countless attempts to cultivate the tree tion and help preserve the complex argan forest eco-system. elsewhere have been unsuccessful. The African sun and the

A natural essential oil is extracted for Weleda from the carefully picked Damask rose petals

10 11 Raw material sourcing and biodiversity

The argan tree grows only in Morocco. Its fruit (at right) provides a high-grade plant oil for natural and organic cosmetics

Examples of ongoing projects: an outline

Spain: Acquisition of 30 tons of organic almond oil from the Hungary: Upgrading the entire fennel oil production of a "Manan" cooperative in Valencia province, that extensively Hungarian cooperative to organic quality. cultivates organic almonds on 6,000 hectares of land. : Converting the entire production of jojoba oil in Romania: Continuation of the “protection through use” La Rioja province to biodynamic cultivation (180 hectares). project in the Carpathian Apuseni Mountains. Sustainable wild collection of arnica, habitat maintenance, and support of the Kenya: The Weleda Group's total demand of 12 tons of local population in the harvesting and drying of arnica petals. high-grade macadamia oil is covered by an organic cultiva- tion project in Kenya. Mexico: Expansion of a project for the production of organic sesame seed oil to the Mexican state Jalisco, in cooperation Sri Lanka: Together with a local cooperative, Weleda launch- with the Mexican partner company “Sesajal”. To date, organic es a project for the sustainable extraction of precious sandal- sesame for oil extraction is cultivated by 238 small farmer wood oil, an important natural fragrance. families on 1,300 hectares of land.

11 Sustainability management

What concerns everyone can only be solved by everyone

A company's sustainability and environmental protection goals responsible for continuous environmental controlling in can only be realised if everyone gets involved. Employees and accordance with ecobalance and key indicators. They ensure partner companies actively engage in sustainable and ecologi- compliance with environmental laws, and that reports (e.g. on cal management in their daily work. Reporting to the Weleda waste water quality, amount of waste, air pollutants, noise Group Management Board, environmental and sustainability emissions etc.) requested by the respective authorities are pre- management takes on a cross-sectional function at each loca- pared. The environmental representatives check compliance tion. Because all business processes are connected to environ- with public law as well as with procedures stipulated in the mental protection, all departments are seen as customers for Weleda environmental handbook in internal audits. They super- sustainability management consulting. vise the implementation of environmental programmes on site and inform and motivate the staff. Environmental representatives, The CSR representative of the Weleda Group develops CSR representatives the international sustainability strategy at Group level, in col- laboration with the environmental representatives of France, The environmental representatives at the various Weleda sites Germany and Switzerland. He also coordinates the measures for coordinate environmental protection in the company. They are implementation.

Weleda CSR representative Bas Schneiders (at left, center), and suppliers in Spain; harvesting sea buckthorn for Weleda in Tuscany

12 13 Environmental guidelines

Weleda environmental guidelines

1. Origin of the raw materials 5. Environmental management system

Weleda predominantly obtains raw materials from organic Environmental protection is one of Weleda's key respon- and biodynamic cultivation, thus promoting soil fertility, bio- sibilities – extending beyond any legal requirements. The im- diversity and maintenance of groundwater quality. Wild plementation of a validated and certified environmental plants are only taken out of their natural habitat if they are management system serves to firmly establish environmen- not endangered. Weleda actively supports the protection of tal protection as an area of focus within the company. This species by cultivation and re-cultivation. promotes the continuous improvement of environmental performance, with specific objectives and measures. 2. Quality control 6. Environmental report Weleda processes all substances according to the highest standards. All materials involved are subject to strict quality Once a year, Weleda publishes an environmental report that control, and no synthetic fragrances, colours and preserva- informs employees, the public and other stakeholders of tives are used. advances made in environmental protection.

3. Animal testing 7. Cooperation with partners

Weleda only uses basic raw materials that are not tested on ani- Weleda and its market partners are trying to reduce environ- mals, neither by Weleda nor on our behalf, and which are not mental impact throughout the entire product life cycle. derived from genetically modified plants or animals. No finished products are tested on animals either, unless legally required. 8. Accidents

4. Use of resources Appropriate organisational and technical measures are taken in order to prevent incidents and accidents in Weleda estab- Throughout all its activities, Weleda aims to use resources lishments and partner companies. economically and to reduce environmental impact. In order to control the consumption of resources and its environ- 9. Dialogue mental impact, Weleda creates a detailed input-output bal- ance and calculates key figures. Weleda is open to constructive dialogue with various social or- ganisations. We encourage cooperation with institutions which are also working towards an exemplary ecological economy.

13 Ecobalance

Input-output balance: a comprehensive view

The input-output balance includes the complete material input involves an increase in the consumption of raw materials, water as well as the water and energy consumption in 2009. The and energy. Systematic improvements in efficiency and the input is compared with the resulting quantity of products, conversion to green power have, however, led to major reduc- waste and emissions. The tables display total statistics as well tions in greenhouse gas emissions. as those of the individual sites. The annual report and the data published here are an Weleda AG continues to grow, which is reflected integral part of Weleda's environmental and sustainability com- throughout the reporting period as the continuous increase of munication, as we strive for maximum transparency. raw material input and product output. Production growth

“Water is the basis of all humanity. The basis of all dignity, all health, all education, all development. The best way to guarantee the conservation of this resource is to conserve the natural environment.”

Erik Orsenna, director of the “Centre international de la mer”, Prix Goncourt laureate

14 15 Ecobalance

Dispensary with several thousand pharmaceutical substances, Weleda Switzerland

15 Ecobalance Weleda AG 2009

Our ecobalance

Input 2007 2008 2009 Change w.r.t. Remarks 2008 in % Raw materials (in tons) 2,450 2,846 3,066 8 Details p. 9 Weleda AG Germany 1,397 1,647 1,677 2 Weleda AG France 350 366 371 1 Weleda AG Switzerland 452 570 753 32 Weleda Naturals GmbH 251 263 265 1 Trade goods (in tons) 1,565 1,406 1,776 26 1 From contract manufacturing for Weleda AG Germany 1,565 1,406 1,589 13 From contract manufacturing for Weleda AG France n.s. n.s. 6 From contract manufacturing for Weleda AG Switzerland n.s. n.s. 181 Packaging material (in tons) 5,490 4,507 4,428 –2 2 Weleda AG Germany 3,529 2,412 2,444 1 Weleda AG France 1,258 1,353 1,389 3 Weleda AG Switzerland 703 742 595 –20 Weleda Naturals GmbH n.s. n.s. n.s. Operating supply items (in tons) 197 138 307 122 3 Weleda AG Germany 93 93 103 11 Weleda AG France n.s. n.s. n.s. Weleda AG Switzerland 7 9 13 44 Weleda Naturals GmbH 96 35 190 443 Advertising material (in tons) 749 801 702 –12 Weleda AG Germany 676 650 514 –21 Weleda AG France 28 89 120 35 Weleda AG Switzerland 45 62 68 10 Weleda Naturals GmbH n.s. n.s. n.s. Water (in m3) 53,926 59,266 63,057 6 Details p. 20 Weleda AG Germany 22,025 27,525 29,381 7 Weleda AG France 21,028 21,737 21,983 1 Weleda AG Switzerland 6,934 6,317 7,939 26 Weleda Naturals GmbH 3,939 3,687 3,754 2 Energy (in megawatt hours) 21,726 22,371 22,732 2 Details p. 21 Weleda AG Germany 12,421 13,078 13,338 2 Weleda AG France 5,409 5,082 4,857 –4 Weleda AG Switzerland 1,831 1,909 2,148 13 Weleda Naturals GmbH 2,065 2,302 2,389 4

1 Creamy body washes (partly), soaps, lip care, etc. 2 Glass and PET bottles, aluminium tubes, folding boxes, package inserts, labels, etc. 3 Cleaning agents and disinfectants, means for water treatment, laboratory chemicals, industrial gases, etc.

w.r.t. = with respect to n.s. = not specified

16 17 Ecobalance Weleda AG 2009

Output 2007 2008 2009 Change w.r.t. Remarks 2008 in % Finished products incl. packaging (in tons) 8,007 8,704 10,983 26 1 Weleda AG Germany 6,707 7,113 7,280 2 Weleda AG France n.s. n.s. 1,917 2 Weleda AG Switzerland 1,300 1,591 1,786 12 Weleda Naturals GmbH 0 0 0 3

Advertising material (in tons) 750 544 484 –11 Weleda AG Germany 705 482 309 –36 Weleda AG France n.s. n.s. 113 Weleda AG Switzerland 45 62 62 0 Weleda Naturals GmbH n.s. n.s. n.s. Waste (in tons) 972 1,044 1,055 1 Details p. 19 Weleda AG Germany 538 566 547 –3 Weleda AG France 254 269 301 12 Weleda AG Switzerland 105 114 132 16 Weleda Naturals GmbH 75 95 75 –21 Waste water (in m3) 51,147 55,979 59,799 7 Weleda AG Germany 22,025 26,459 29,381 11 Weleda AG France 19,977 20,650 20,884 1 Weleda AG Switzerland 6,934 6,598 7,354 11 Weleda Naturals GmbH 2,211 2,272 2,180 –4 Greenhouse gas emissions (in tons) 7,734 8,098 4,143 –49 4 Weleda AG Germany 5,055 5,369 2,271 –58 Weleda AG France 1,086 1,009 781 –23 Weleda AG Switzerland 769 804 687 –15 Weleda Naturals GmbH 824 916 404 –56

1 Finished product output is not adjusted for sales between the sites 2 Including transport packaging 3 Weleda Naturals GmbH supplies the production sites with plant extracts and semi-finished products; no production of finished products 4 Exclusively emissions from the energy consumption at the four sites

w.r.t. = with respect to n.s. = not specified

17 Resource management

Packaging and waste

The ideal packaging matches our consumers' needs and provides the best possible protection, which is especially important for the precious Weleda products. Packaging also serves as a raw material for new product cycles.

Less waste despite increased production To preserve the quality of creams, ointments and gels, air contact has to be kept to a minimum. This is best guaranteed The increased production output in 2009 compared to the previ- by aluminium tubes that adapt their shape to the decreasing ous year has fortunately resulted in a reduced amount of waste contents. They are also airtight, which prevents oxidation of per kilogram of finished products. This is due to improvements in the natural ingredients. production and packaging systems: in the international range of natural and organic cosmetics, for example, the variety in packag- Upcycling ing has been reduced. From an environmental perspective, the energy and raw material Appropriate packaging consumption throughout the entire life cycle of packaging should be reduced to a minimum. Raw materials should enter a What is the best packaging to use for Weleda products? Various technical cycle (packaging as raw material for a new product) or requirements play a part in the decision for or against a packag- a biological cycle (packaging can be composted). In this area ing system. Protection of the products comes first: Since Weleda Weleda continues to develop innovative solutions, such as up- products do not contain synthetic preservatives, they have to cycling systems where packaging is re-used as a raw material in be protected from light and air (oxidation). Further require- a closed-loop cycling process. For Weleda, waste management ments are: attractive appearance, convenience, safety, and the means: “waste” is a raw material. appropriate filling technology. From an ecological point of view, all packaging systems currently available represent a compro- mise and have certain weaknesses. Glass, for example, is a ma- terial well suited to product protection, safety and recycling. It does, however, weigh a lot, and it requires additional packaging. High energy consumption and resulting emissions in production and transport are further disadvantages. Weleda uses predominantly PE, PET, glass and aluminium packaging for its products which do not contain synthetic pre- servatives and therefore have a limited shelf life. Many body lotions are offered in glass or PET bottles. Of all currently avail- able synthetic materials, PET has the best protective proper- ties: it is handy, light, and it can be used after recycling and for thermal applications. The material is very robust, so there is no need for additional packaging. Glass bottles protect the product inside from light and they can be recycled. The advantages of one-way bottles out- weigh those of multi-trip bottles, because cleaning the multi- trip bottles would not be worth the effort, when taking into ac- count both the low quantity returned and sterility requirements.

18 19 Resource management

Amount of waste 2007 2008 2009

Total (in tons) 971.1 1,044.1 1,054.3 Weleda AG Germany 538.0 566.2 547.0 Weleda AG France 253.4 268.7 300.5 Weleda AG Switzerland 104.9 114.1 131.6 Weleda Naturals GmbH 74.8 95.1 75.2

Manufactured finished products 2007 2008 2009 (without packaging)

Total (in tons) 3,448.6 3,560.0 4,500.6 Weleda AG Germany 2,202.8 2,053.9 2,365.2 Weleda AG France 746.1 701.4 740.0 Weleda AG Switzerland 499.7 804.7 1,395.4

Abfallintensität

Amount of waste in grams per kilogram Indicator: Waste intensity of the finished products:

This indicator shows the amount of 2007 282 waste generated per kilogram of fini- 2008 293 shed products at the four sites. 2009 234

Wasserintensität

2007 15,64 2008 16,65 2009 14,01 19

Energieintensität

2007 6,30 2008 6,28 2009 5,05 Resource management

Water – the basis of all life

Water is a unique elixir of life – and an important component of The remaining rainwater is collected and used for watering our Weleda products. Its quality is therefore critical to the quality biodynamic gardens. This neutralises the negative effects of of the products, and only intact, healthy eco-systems provide buildings, and the rainwater does not run directly into the sew- good quality water. Here too, the basic rule applies: For high age system as it does from sealed surfaces. quality water, we need biodiversity. Organic and biodynamic In the area of production, closed cycle cooling systems cultivation contribute considerably to diversity and support the for mixing vessels provide sustainable savings in the consump- natural soil functions by, for instance, strengthening water tion of drinking water. retention capacity. At all Weleda production sites, this precious resource is closely managed and its use is fully optimised. Green roofs on the production and administration buildings allow two thirds of precipitation to evaporate back into the atmosphere.

Water consumption Abfallintensität2007 2008 2009

Total (in m3) 53,926 59,266 63,057 Weleda AG Germany 22,025 27,525 29,381 Weleda AG France 21,028 21,737 21,983 2007 282 Weleda AG Switzerland 6,934 6,317 7,939 2008 293 Weleda Naturals GmbH 3,939 3,687 3,754 2009 234

Manufactured finished products 2007 2008 2009 (without packaging)

Total (in tons) 3,448.6 3,560.0 4,500.6 Weleda AG Germany 2,202.8 2,053.9 2,365.2 Weleda AG France 746.1 701.4 740.0 Weleda AG Switzerland 499.7 804.7 1,395.4

Wasserintensität

Water consumption in litres per kilogram Indicator: Water intensity of the finished products:

This indicator shows the amount of 2007 15.64 water consumed per kilogram of finished 2008 16.65 product at the four sites. 2009 14.01

20 21

Energieintensität

2007 6.30 2008 6.28 2009 5.05 Resource management

Energy consumption and

greenhouse gasAbfallintensität emissions

The continuous increase in the production of goods last year In future, the reduction of greenhouse gas emissions is was accompanied by a slight increase in energy consumption. 2007to be accompanied by a further enhancement282 of data quality, However, the energy input needed per kilogram of manufac- as the present evaluation is based on a rough analysis and pre- 2008 293 tured products declined considerably. This was accomplished dominantly generic data. In terms of sustainability manage- 2009 234 through optimisation measures throughout the various produc- ment it is necessary to approach this task holistically, taking tion processes. into account all products and processes – of Weleda and of our In the years following the first analysis of greenhouse partners and suppliers. This includes, for example, the carbon gas emissions in 2007, we developed various scenarios for the neutral dispatch of customer magazines and packets via the reduction and offsetting of such emissions. A major achieve- postal service and other delivery companies in Switzerland and ment was the conversion to certified green electricity of the Germany. Such measures serve to actively promote interna- entire power supply at our sites in Germany in 2009, which re- tional climate protection projects. sulted in 3,000 tons less greenhouse gas emissions per year.

Wasserintensität

Energy consumption 2007 2008 2009

Total (in kilowatt hours) 200721,725,335 22,370,78315.64 22,731,814 Electricity 8,599,796 9,071,012 9,706,323 2008 16.65 Natural gas 12,531,993 12,816,973 12,438,739 2009 14.01 Fuel oil 593,546 482,798 586,752

Manufactured finished products 2007 2008 2009 (without packaging)

Total (in tons) 3,448,6 3,560.0 4,500.6 Weleda AG Germany 2,202.8 2,053.9 2,365.2 Weleda AG France 746.1 701.4 740.0 Weleda AG Switzerland 499.7 804.7 1,395.4

Energieintensität

Energy consumption in kilowatt hours per kilogram Indicator: Energy intensity of the finished products:

This indicator shows the amount of 2007 6.30 energy consumed per kilogram of fini- 2008 6.28 shed products at the four sites. 2009 5.05

21 Resource management

Sustainability management

Our common sense of purpose and the practical cooperation report is an illustration of their work. The following pages fea- between our locations has intensified over the last year and ture some country-specific aspects of environmental pro- was finally institutionalised by the appointment of an interna- grammes in France, Germany and Switzerland. tional CSR representative – a further step towards addressing The main issues of the initiatives taking place in each environmental and sustainability issues internationally and at core country provide a picture of the work being done and show the group level. The environmental representatives of the core the wealth of experience that the future sustainability strategy countries of Germany, France and Switzerland have cooperated will be based upon. In 2010, our focus is on the development of closely to develop a definite sustainability strategy for all our a defined sustainability strategy, under the guidance of the locations worldwide. The present consolidated environmental CSR representative of the Weleda Group.

Biodynamic cultivation contributes considerably to the support of natural soil functions by strengthening the water retention capacity. On the right: medicinal plant seedlings in the greenhouse of Weleda Arlesheim (Switzerland)

22 23 Country reports

Germany

The successful efforts toward increasing energy efficiency and reducing greenhouse gas emissions have continued. Weleda Germany has also participated in initiatives promoting biodiversity.

At Weleda Schwäbisch Gmünd and Weleda Naturals GmbH, house gas emission savings of 3,000 tons per year. Further re- important environmental goals were achieved in 2009. One duction of CO2 emissions was achieved through the carbon outstanding measure was switching to green electricity, pro- neutral dispatch of postal packages and customer magazines vided by NaturEnergie AG, which yielded considerable green- within Germany, and by the virtualisation of 30 server systems.

2010: Selection of planned goals and measures

Energy and emissions: The further reduction of green- Schwäbisch Gmünd and other activities revolving around house gas emissions remains an important issue for our biodiversity. locations in Germany. The goals are: to reduce the amount of energy consumed in the generation of compressed air, Transport and mobility: Analysing the transportation of and to replace old water treatment plants at the production goods to investigate costs and emissions of transportation facilities with energy-efficient models. A new energy man- flows within the three core facilities. Development of a agement system is under construction; measurements of rough concept for commuter traffic and involvement in the the utmost accuracy will soon provide important findings “effizient mobil” project of the Federal Ministry for the and a basis for future decision-making regarding the opti­ Environment, Nature Conservation and Nuclear Safety. misation of energy consumption. Sustainability, fair trade, environmental management: Packaging: Further evaluation of ecological packaging sys- Involvement in the development of a sustainability strategy tems by developing detailed ecobalances in coordination for the Weleda Group as part of the overall business strategy. with international marketing. Guided by the CSR representative and in consultation with an external advisor, the environmental representative will Biodiversity: Providing employees and the general public ensure the broadest possible participation of the internal with information on biodiversity. Presentation of the tour- stakeholders in this process. ing exhibition of the Business and Biodiversity Initiative in

23 Country reports

France

The environmental management of Weleda France has focussed on water awareness campaigns and sustainable mobility for employees, as well as on energy from renewable sources.

In the context of an international sourcing strategy, Weleda crease employee awareness on various issues, which included a France turned its attention to further increasing the proportion photo competition, received positive feedback throughout. of organic raw materials in products manufactured in Huningue. Weleda France promoted various activities for GMP-ori- Another important issue was the economical and sustainable ented ecological optimisation of production processes. In the use of water, a precious resource. This resulted in a reduction of area of energy and greenhouse gas emissions, considerable the amount of water needed per kilogram of manufactured savings were achieved by systematic waste heat recovery products. The environmental representative's campaign to in- measures in production.

2010: Selection of planned goals and measures

Sustainability, fair trade, environmental management: Biodiversity: Continuation of the “protection through use” Involvement in the development of a worldwide sustainability project for the sustainable protection of arnica on the Mark- strategy for Weleda as part of the overall business strategy. stein (Vosges), as part of the support programme for pre- Under guidance of the CSR representative and in consulta- cious and species-rich biotopes. tion with an external advisor, the environmental representa- tive organises the widest possible participation of the inter- Communication: Making employees aware of ecological is- nal stakeholders in this process. sues and communicating guidelines for supporting environ- mental issues in their daily work. Energy, emissions, mobility: Ride-sharing project and eco- driving courses for employees. Improvement of the insulation of renovated production facilities and administrative buildings.

24 25 Country reports

Switzerland

The use of carbon neutral energy sources and the optimisation of sustainable resource management were primary concerns of Weleda Arlesheim in 2009.

In 2009, Weleda Arlesheim continued to pursue the goals and with the municipality of Arlesheim: From 2011 onwards, half of measures of the environmental programmes of the preceding the site's natural gas consumption (carbon neutral since Janu- years, with the following three aspects in focus: supply with ary 2009) will be replaced. Weleda Arlesheim is the first of carbon neutral and environment-neutral energy sources (gas, regional energy provider Industrielle Werke Basel's major electricity), consistent sourcing of organic raw materials, eco- clients to opt for this product and to commit itself to paying logically improved packaging and services, and regular staff additional charges. With a quantity of about 1 MWh, the CO2 training and awareness campaigns for ecological issues. Weleda emissions of the company can be reduced by 250 tons per year. Arlesheim entered into an agreement for a heating network

2010: Selection of planned goals and measures

Energy and emissions: Combined heat supply with the Offices, paper, IT: Guidelines for the use of e-mails. Stand- community of Arlesheim, about 50 per cent of the required ardisation solutions to reduce the amount of printouts. New energy from renewable sources (woodchip heating). green search engine, www.forestle.ch, which does not fea- ture advertisements and guarantees the protection of one Raw materials, packaging and services: Carbon neutral square metre of rainforest for each ten search requests. dispatch of all postal packages and the news magazine “Weleda Nachrichten” (40,000 packages and 400,000 maga- Sustainability and fair trade: Involvement in the develop- zines per year). Carbon neutral transport of all deliveries ment of a worldwide sustainability strategy for Weleda as part to wholesalers and retail customers by participating in of the overall business strategy. Under guidance of the CSR “myclimate” carbon offset projects. representative and in consultation with an external advisor, the environmental representative organises the widest possi- Hazardous materials: Intensified cooperation in hazardous ble participation of the internal stakeholders in this process. materials management with the Weleda Group, led by the haz- ardous materials safety officer of Weleda Schwäbisch Gmünd (labelling, storage, transport, documentation, disposal).

25 Addresses/Certification

Addresses

Switzerland Weleda AG Dychweg 14, 4144 Arlesheim, Switzerland Tel. +41 61 705 21 21, www.weleda.ch Contact: CSR representative Bas Schneiders ISO 14001 and EMAS certified [email protected] Certified environmental management

Weleda Trademark Dychweg 14, 4144 Arlesheim, Switzerland Tel. +41 61 705 20 50

Germany Weleda AG Möhlerstraße 3–5, 73525 Schwäbisch Gmünd, Germany ISO 14001 and EMAS certified Tel. +49 7 171 91 90, www.weleda.de Certified environmental management, D-135-00003

Weleda Naturals GmbH Am Pflanzengarten 1, 73527 Schwäbisch Gmünd, Germany ISO 14001 and EMAS certified Tel. +49 717 187 48 80, www.weleda-naturals.de Certified environmental management, D-135-00027

France Weleda S.A. 9, rue Eugène Jung, 68331 Huningue Cedex, France Tel. +33 38 969 68 00, www.weleda.fr ISO 14001 certified

26 Publication details

The environmental report of Weleda AG (headquarters in Arlesheim, Switzerland; establishment in Schwäbisch Gmünd and Weleda Naturals GmbH, Germany, and establishment in Huningue, France) is available in German and English. The German version is binding.

Date of publication Friday, 11 June 2010

Issued by Weleda AG, Dychweg 14, 4144 Arlesheim, Switzerland www.weleda.com

Concept Michael Leuenberger

Editors Holger Biller, Andreas Ellenberger, Gilles Lematte, Michael Leuenberger, Seta Thakur

Photos Chris Dohse, Michael Peuckert

Design concept Peter Schmidt Group GmbH, Frankfurt am Main, Germany

Design FURORE Visuelle Kommunikation GmbH, Basel, Switzerland

Production Freiburger Graphische Betriebe GmbH, Freiburg, Germany

Paper Munken Polar, FSC certified

Art.-Nr. 00085419

27 www.weleda.com