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Sustainability Report 2017

Print Excerpt of the Online Sustainability Report Our responsibility as a media company

Axel Springer SE Print Excerpt of the Online Sustainability Report 2017

Source: http://nachhaltigkeit.axelspringer.de Responsibility for the content Florian Nehm Head of Corporate Sustainability & EU Affairs

Axel Springer SE Axel Springer Str. 65 10888 Berlin Tel: +49 30 2591 793 70 [email protected]

At the same time also the summonable address for all the responsible parties and authorized persons mentioned in the imprint

Executive Board:

• Dr. Mathias Döpfner, (CEO) • Jan Bayer • Dr. Stephanie Caspar • Dr. Julian Deutz • Dr. Andreas Wiele

District Court/Commercial Register Registered Office in Berlin, District Court Charlottenburg HRB 154517 B VAT No. DE 136 627 286

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Contents Foreword from the Chairman and CEO 6

Principles and sustainability-related objectives 8 Our Corporate Principles 9 What we want 10 Corporate Values 13 Principles of Leadership 14 Independence of Journalism 16 International Social Policy 18 Environmental Guidelines 20 Governance, Risk & Compliance 21 Code of Conduct 24 Social Media Tips 25 Stakeholder-Interaction 26 Customer Loyalty 30 Stakeholder-Dialog Greenpeace 31 MOVING THE WORLD. Taking responsibility 32 Securing habitat for Canadian caribou 33 Innovation through conflict 34 How a resource conflict can be resolved. 42 Topics and Objectives 43 Insights and Perspectives 45 Objectives 2018/2019 46 Achievements 2016/2017 50 Developments 1979-2017 57 Awards 2004-2017 66

Our Responsibility as a Media Company 73 Journalistic independence 74 Independence of Journalism 76 European Charta of Freedom of the Press 78 Hamburg Decleration 80 Schools of Journalism Quality Charter 82 Product responsibility through verification of the facts 83 Data Protection 84 Defense against cyber threats 85 Youth Media Protection 87 Promotion of Young Journalists 89 The Axel Springer Prize for Young Journalists 91 Peter Boenisch Fellowship 92 “sachor jetzt!” - The Holocaust Snapchat Project 93 Podcast project “ALYOM 94 Promotion of Hamburg Media School 95 Promotion of media literacy 96 Jugendmedientage (Youth Media Days) 97 Boys and girls future day 98 Junior Lab 2017 99 Prize winning Journalism 100 3

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Commitment to the Interest of Media 102 Approach to History: Medienarchiv‘68 103

Employees 104 Career Opportunities 105 Axel Springer Akademie 107 Benefits for Employees 109 Development Programs 111 Health Management 112 Equality of Opportunity 113 move – Dialog. Wissen. Machen. 114 Agile Methodology 116 TUESDAY TOWNHALL TALK 117 Office View StepStone 118

Social Commitment 119 Commitment of our Media 120 Welt: Multimedia water project 121 BILD documentary “KZ - The System of the Murder 122 Blikk: Support for children 123 GLAMOUR: Clothes swaping campaign 124 Commitment of our Readers 125 Corporate Responsibility at RAS Slovakia 126 B.Z. Berlin Heroes 127 Commitment of our Employees 128 Immowelt godchildren 129 Kick that ball! The Axel Springer Foosball 130 Warming donations 131 300 pink balloons against terrorism 132 Social Day 122 Small change 134 Commitment of the Company 135 The new Axel Springer building 136 Ernst Cramer & Teddy Kollek Fellowship 138 Support for the American Academy Berlin 139 Axel Springer Award 2017 140 Axel Springer Children‘s Festival 141 Commitment at Ringier Axel Springer AG 142 engagement with awin 143 idealo founds “sozialo e.V.” 144 Sustainability at SeLonger 146 “Holidays with heart” 147

Environment 148 Energy and CO2 149 Energy Figures 152 CO2 process description 153 CO2 from energy use 155 Energy Audit 2017 158 Own printing facilities in Germany 160

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Value Chain 162 Services of external data centers 163 Origin of Printing Papers 166 Paper Recycling 168 Paper Suppliers 170 Logging 172 Paper Delivery 175 International Social Policy 176 PACE Paparazzi Catering & Event GmbH 179

Economy 181 The Axel Springer Share 182 Corporate Governance 183 Business Development 2017 184

Sustainability reports in the “GRI” format 186 What is a Sustainability Report? 187

General Disclosures 189 1 Organizational Profile 189 2 Strategy and Analysis 192 3 Ethics and Integrity 194 4 Governance 195 5 Stakeholder Engagement 198 6 Report Parameters 199

Topic-specific Disclosures Economic 204

Topic-specific Disclosure Environmental 209

Topic-specific Disclosures Social 218

PwC Auditors Certificate 238

Appendix 241 About Axel Springer 242 Glossary 244 Legal information 246 Contakt 247 Tables 248 Certificates and documents 251

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Foreword from the Chairman and CEO

Mathias Döpfner, Chairman and Chief Executive Offi cer, Axel Springer SE.

Dear Readers,

We are living in a time of rapid changes and diminishing certainties. This makes it all the more important to shape the future and not lose sight of the values that guide us, but rather to make them the yardstick for our actions.

Axel Springer SE is transforming itself at an ever faster pace from what used to be a newspaper and magazine publisher with exclusively printed media into an international media company in the digital age. Today, we already generate 70 percent of our revenues through digital activities. The digital share of adjusted EBITDA now amounts to 80 percent. Our goal is to become the world’s leading digital publisher. For this development to succeed, we need employees who can help shape the future of the company with their ideas and their passion. The more diverse the personalities and the cultural backgrounds, the better. One thing, however, unites us all: Responsibility for the future of our planet and its resources as well as social responsibility as a publishing house and media company for freedom and democracy.

It is freedom that forms the core of our company. This was already a value at the heart of the thoughts and actions of our founder Axel Springer as he repeatedly called for the unity of Germany and built his publishing house in Berlin directly on the inner-German border. Today we are building - not a stone’s throw away - our new building, on the opposite side of the street and thus in the former eastern part of the city. This, too, is a connection, a bridge that overcomes history and symbolizes freedom.

Freedom is also self-determination. The freedom to make decisions, to have a choice, to obtain relevant and credible information in order to be able to choose between media offerings. Today, our offerings are not limited to professional journalism – printed and increasingly digital. Axel Springer now also has a large number of online services that used to be traditional classifi ed advertising. Whether Stepstone, the leading job exchange or Immonet as a successful provider in the real estate market, all of these offerings give you the freedom to inform yourself, form an opinion and make important life decisions.

But this freedom is also under threat. All over the world journalists and reporters are prevented from doing their work. They are harassed, arrested and indeed deliberately murdered, even in Europe.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Our Nato partner Turkey has more professional journalists in prison than any other country in the world; Egypt is the only country with as many. In spite of all the joy about the release of our reporter Deniz Yücel: In Turkey, the freedom of the press has largely been successfully abolished.

As a society, we too must work time and again to ensure that we do not lose our values and our democratic and constitutional order. Freedom of opinion and freedom of the press are indispensable as essential pillars of liberal social systems.

In this sense, the protection of journalists and reporters in this country contributes just as much to the sustainable development of our society as does their work as truth seekers itself.

However, it is not only freedom that is threatened; our planet and its unique ecosystem also need protection. And we can all contribute to this. Axel Springer is currently investigating the short-term use of plastics in order to reduce this as much as possible and avoid plastic waste. We ensure that our waste disposal complies with the latest recycling standards and we are working on controlling procedures that make our use of electrical energy transparent at all our locations worldwide in order to identify our carbon footprint and optimize it with the aid of indicators.

In a world of change and technological transformation, the need for information is great. But there are also uncertainties and a lot of questions. That is why the personal exchange of views with our employees is very important to me. Since October 2017, we have regularly invited all our colleagues worldwide to the “Tuesday Townhall Talk”. Several times a year, the focus is on an exchange of ideas and an open dialog with the Executive Board, either in person at the Berlin publishing house and worldwide via livestream at the workplace or on the go on smartphones. We live in a networked working environment and also want to foster the open dialog globally. This is because today we are a group of companies with around 16,000 employees, a good half of which already work outside Germany. The best talents should be enthusiastic about Axel Springer, regardless of cultural background, origin or gender. To nurture this enthusiasm, we need an open and respectful corporate culture.

I hope that this Sustainability Report will encourage reflection on how each of us, in our personal lives, can contribute to protecting our unique ecosystem, conserving resources and advocating freedom.

Your Dr. Mathias Döpfner Chief Executive Officer

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Principles and sustainability-related objectives

The framework for sustainability management is formed by principles and objectives, the exchange of ideas with stakeholders, the control of measures, the review of results as well as the communication of developments.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Freedom is the foundation of our company

A passionate journalist, courageous entrepreneur and visionary freedom fi ghter, Axel Springer (1912 - 1985) accompanied the emergence of our democracy. (Foto: Axel Springer SE)

Axel Springer SE is the only independent media company to have a corporate constitution. The founder was aware of the special responsibility of his media: Axel Springer formulated four principles for the journalistic work of his company, and presented them to the public on 26 October 1967 in the Hamburg „Overseas Club“. Following German reunifi cation in 1990, the original wording was amended (furthering the unifi cation of the peoples of Europe) and after the terrorist attacks in the United States on 11 September 2001, supplemented as a visible sign of solidarity (supporting the transatlantic alliance).

The fi ve principles paint a liberal picture of the world. Mathias Döpfner explains Axel Springer‘s value orientation: „The media have a great responsibility towards individuals – and towards society as a whole. History casts doubt on whether the media in our country have always adequately fulfi lled this special responsibility.“ Deliberations along these lines led Axel Springer to formulate the four essentials for the journalistic work of his company. The publisher referred to them as „stakes, between which the journalistic individuality and the professional competence of our editors, reporters, columnists and correspondents can fi nd expression.“

The fi ve socio-political corporate principles form part of the company’s articles of association. They paint a liberal picture of the world:

• To uphold liberty and law in Germany, a country belonging to the Western family of nations, and to further the unifi cation of the peoples of Europe. • To promote the reconciliation of Jews and Germans and support the vital rights of the State of Israel. • To support the Transatlantic Alliance and maintain solidarity with the United States of America in the common values of free nations. • To reject all forms of political extremism. • To uphold the principles of a free social market economy.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

What we are and what we want The soul and spirit of the Axel Springer company is journalism: The „homepage“ published in December 2013 updates the self-conception and the objectives of Axel Springer SE in the digital world.

The mission of the Axel Springer company is the successful establishment of independent journalism in the digital world, with the aim of becoming the world‘s leading digital publisher. (Source: Axel Springer SE)

The soul and spirit of the Axel Springer company is journalism. We serve our readers with independent and critical information and advice as well as good entertainment. Through our journalistic services we are making a contribution to the strengthening of freedom and democracy. The prerequisite for this is our economic success. We are working every day to improve our journalistic, technological and commercial competence:

• We are and will remain a publishing house, a house of journalism • We want to inform, advise and entertain our readers independently and better than others • We are and we want to be economically successful • We are actively shaping digitization and see this as our great opportunity • We do what we do with passion and are constantly striving to become even better • We attract individualists and really support them • We are strengthening freedom, democracy and cosmopolitanism

Our mission:

The successful establishment of independent journalism in the digital world. Our goal:

We want to be the world‘s leading digital publishing house.

Axel Springer is pursuing a strategy of profi table growth. Our majority shareholder safeguards our independence. We are a publicly listed company and as such committed to the effi ciency and transparency requirements of the capital market. We do not restrict our self-image to economic success alone.

We know: Profi t is not everything, but without profi t, everything is nothing.

We want to create value. Material and ethical value.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

We want to increase the value of our company. In addition to the operating earnings (EBITDA), earnings per share is the key indicator against which we measure ourselves and against which we can be measured. At the same time we want to strengthen the values of freedom, democracy, the rule of law, competition, property, human rights, cosmopolitanism and tolerance through our journalistic work.

Our publishing house is committed to the values of its founder Axel Springer. He stood first and foremost for freedom. It is in this sense that the five preambles of the company are defined: the consolidation of German and European unity, support of the vital rights of the Israeli people, solidarity in the common values of free nations with the United States of America, the defense of the principles of a free social market economy and the rejection of all forms of political totalitarianism. These values do not prescribe the support of any ideology, government or political party, but rather they also allow and call, as does any true loyalty, for honest criticism.

Criticism and self-criticism are also a part of our overall corporate culture. Three values are decisive here: Creativity, Entrepreneurial Spirit, Integrity.

We see the digital transformation of society and of our business as an opportunity which we are shaping actively: without fear of self-cannibalization and without dividing into analog and digital camps. All of our employees are responsible for the success of digitization.

Our company is divided into three segments, which are based on journalism or benefit from journalism to varying degrees.

1. Paid Models: These are all the business models that are predominantly funded by paying readers. 2. Marketing Models: These are all the business models that are predominantly funded by advertising customers. 3. Classified Ad Models: These are all the business models that are predominantly funded by job, real estate and auto advertising customers.

The traditional revenues of a publishing house are reflected in this structure. In the same way as a newspaper in the past was financed by subscribers, advertisers and classified advertising customers. We have become the leading digital publishing house, when we are number one in our respective market segments and in the countries in which we are active.

Axel Springer is an international company. Our core market is Europe. We also want to be successful in growth markets such as India, Brazil, Asia and the United States of America. We do not do business on principle in non-democratic countries.

In our dealings with each other, we want to experience what we have collectively defined as socio- political objectives. Freedom demands a culture of trust, not of mistrustful control. We measure the success of our employees by their results, not by their presence. We encourage entrepreneurs in the company. We organize the publishing house as an operative holding company – as centralized as necessary and as decentralized as possible. All brands, business divisions and services develop into independent companies, which hold together like members of a family in spite of their differences.

Technological competence has increasing importance in a digital publishing house. For this reason we promote innovative technology, yet remain at heart a house of journalism.

We do what we do for our readers and customers. But reader and customer orientation does not mean courtesy journalism or ingratiation.

We defend editorial independence as our most precious asset. Independently critical, and thereby credible journalism is the best service we can provide all of our readers and customers.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

We want to work quickly and unbureaucratically. Those who undertake entrepreneurial risks are rewarded for doing so, even if they do make a mistake.

We promote the diversity of gender, nationality, religion, sexual orientation, age and personality.

We treat every employee as we would like to be treated ourselves: respectfully and affectio- nately.

Axel Springer is a commercial enterprise, in which individualists feel at ease, because they have the freedom to make their own decisions and to shape things independently. A kind of „United Artists“. Artists – irrespective of whether they are reporters or software developers – are independent, different and sometimes complicated. They may and should be like this, as long as they are excellent and, when it matters, hold together – United.

We are passionate and have the desire to discover new things, to change and to improve ourselves. We want to be successful, to do good and to have fun.

And we know that everything that is defined here describes a goal, but regrettably is not yet reality everywhere and all the time. This is what we want to change.

Berlin, December 9th, 2013

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Values as a key to profi table growth

Axel Springer SE would like to be the world‘s leading digital publisher. For this reason, the company has divided itself into three segments, which are based on journalism or benefi t from journalism to varying degrees. The three segments are: Paid Models, Marketing Models, and Classifi ed Ad Models. (Source: Axel Springer SE) In addition to strategic objectives, Axel Springer SE has defi ned values to guide each employee in his or her work, and which shape corporate culture at Axel Springer. Together these are the key to profi - table growth.

Corporate culture at Axel Springer is based on three values

• Creativity as the decisive prerequisite for success as journalists, and in turn for commercial success;

• Entrepreneurial spirit, defi ned as imaginative, responsible and result-oriented action taken by employees and management;

• Integrity towards the company, readers, customers, employees, business associates and shareholders.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Principles of Leadership

Preamble

Creativity, entrepreneurial spirit, integrity. These three values form the foundation of the self-confi dence of Axel Springer. They set the standards for our daily activity. We lead, by creating space for creativity, by defi ning objectives and by shaping change. We want to continue to lead Axel Springer boldly to entrepreneurial success. The focus is on our employees, who we develop, challenge and encourage to work independently. In all of our activities we ensure that the law as well as our corporate guidelines are consistently observed.

Creativity

Exemplify motivation and enthusiasm

We inspire and convince. We identify new opportunities and make them clear. We exemplify motivation and maximum performance. We only demand what we expect of ourselves. We involve our employees, inspire them to change and encourage enjoyment at work.

Create space for ideas

We create space for new approaches. We support unconventional ideas and develop independence in thought and action. We value ideas and creativity independent of hierarchy and continually strive for improvement. We acknowledge creative performance and accord it a value, even if this cannot be directly exploited.

Facilitate change

We see change as positive and know that changes offer opportunities. We shape change processes and use opportunities to try out new ideas. Where necessary, we are ready to leave the familiar behind. We never stop learning. We are open to criticism, demand feedback and confront it seriously. We accept constructive contradiction from our employees and are able to acknowledge faults.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Entrepreneurial Spirit

Take chances responsibly

We make decisions and resolutely support them. We identify opportunities, carefully evaluate the risks involved and are also prepared to accept failures. We know our customers, the market and are in the vanguard of current developments – this is how we are leading our company to success.

Think and act cross-departmentally

We think and act across the boundaries of countries, sectors and brands as well as hierarchical levels. We first acknowledge the advantage for both parties in cross-sector co-operation. Over and above a will to co-operate we develop team spirit. In spite of the decentralization of entrepreneurial responsibility, the overall wellbeing of the whole company is our primary focus.

Achieve results

We set ourselves and our employees motivating and transparent goals. We assign clear priorities. We check and monitor results systematically. We celebrate successes together and analyse setbacks without attributing blame so as to learn from them.

Integrity

Communicate and act respectfully

Respect and fairness characterize our leadership. We have realized that recognition and respect are the most important foundations for performance. We continue a regular dialog with our team as well as individual employees and are receptive to our employees at all times. We communicate decisions honestly and respectfully. We are loyal to the company as well as to our employees – throughout the hierarchy.

Develop and challenge employees

The development of our employees is an integral part of our leadership philosophy. We trust our employees and delegate responsibility to them in order to develop them. The abilities of our employees determine our success as executives. We spend time a substantial share of our time on their development. We specifically look for development opportunities for our employees, even if these lie outside their own area. We make sure that the best come to Axel Springer and remain here. This means: We are looking for excellence and above all develop employees who are better than we are.

Respect justice and the law

Through all of our actions we ensure consistent compliance with justice and the law as well as our corporate guidelines. We orient ourselves both in our daily work and our leadership behavior in particular around our corporate constitution, our values, the Catalog of Social Standards (International Social Policy) and the Guidelines of Journalistic Independence. We are firmly convinced that success can only be guaranteed in an environment of compliance with the law and compliance with ethical standards.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Guidelines to Safeguard the Independence of Journalism

The main entrance of the Axel Springer Building in Berlin. (Photo: Axel Springer SE)

Preamble

The editors of Axel Springer SE are aware of their responsibility for providing information and shaping public opinion in Germany. Independence is essential as a basis for their work.

The guidelines are a concrete expression of Axel Springer’s understanding of the journalistic principles set forth in the Press Code of the German Press Council. Adherence to these guidelines by all editors in their journalistic work safeguards the overall conditions that enable independent, critical journalism at Axel Springer.

The chief editors are responsible for adherence to the guidelines and their implementation in day-to-day work.

Advertising

Point 7 of the Press Code requires publishers and editors to make a clear distinction between editorial text and advertising copy and points out the need to adhere to the regulations for paid advertising.

The journalists at Axel Springer

• shall ensure, together with the management of the publishing house, that a distinction is made between advertising and editorial material. Advertisements must not create the impression, through their overall design or major components, that they are part of the editorial material of the title. Special attention must be given to using different typography. If there is any doubt, the advertisement must be marked as such clearly and in suffi ciently large type.

• shall resist attempts by advertisers or interested parties to infl uence content, and enter no agreements that might jeopardize their independence as journalists. Merchandising campaigns and media partnerships must be identifi ed as such where necessary.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Personal and business interests

It is part of the responsibility of the press towards the public that journalistic publications should not be influenced by the personal or business interests of third parties or the personal financial interests of the editors themselves.

This is the subject of Points 6 and 7 of the Press Code.

The journalists at Axel Springer

• shall not use their reporting to obtain benefits for themselves or others. • shall consult their superior if membership of or the holding of an office or a seat in a society, political party, association or other institution, investment in a company, permitted side-line employment or a relationship with persons or institutions might create the impression that the neutrality of their reporting on such societies, political parties, associations, persons or other institutions is thereby impaired.

• shall take special care to meet the legal and professional obligations of the press with regard to inside information as set forth in the German Press Council’s publication “Journalistic ethics concerning inside and other information with a potential effect on security prices”.

Invitations, gifts and press trips

Point 15 of the Press Code is concerned with personal benefit as a danger to independent journalism. Even the appearance that journalists’ freedom of decision might be impaired by the acceptance of invitations or gifts should be avoided.

The journalists at Axel Springer

• shall ensure that all costs (travelling expenses, entertainment etc.) incurred in the course of their research are paid by the editorial department. Any exceptions must be approved by the chief editor and have to be marked accordingly in the coverage.

• shall not accept any gifts that constitute a personal benefit or, if it is impossible to refuse them, shall pass them on to the company, which will then give them to a charity.

Treatment of sources

The journalist’s duty of care in the treatment of information sources is extremely important for journalistic work and the public’s opinion of the press. Point 2 of the Press Code regulates the treatment of sources in addition to the existing legal provisions.

The journalists at Axel Springer

• shall in all cases make sure that interviews are authorized verbally or in writing by the person interviewed, even if time is very short, unless other agreements are documented.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

International Social Policy

In the light of its increasing international profile, Axel Springer has drawn up a catalog of social standards. It lays out the organization’s position on issues relating to human rights, compliance with the law, child protection, the treatment of employees, health and safety as well as the work/family balance. These standards are binding worldwide for all of the company’s activities.

Preamble

Axel Springer is an internationally operating media enterprise.

The core business of Axel Springer is information and entertainment distributed through newspapers, magazines and in digital media.

The core values of our corporate culture are creativity, integrity, and entrepreneurial spirit.

Our work is centered around people: readers, business associates, shareholders and our employees.

Motivated, competent employees produce good products. The quality of our products provides the basis for our company’s economic independence and its future.

Social responsibility in our corporate management has always been of major importance for Axel Springer SE.

The organization does not only distinguish itself through good corporate governance, but also under- takes to comply with internationally recognized social standards.

1. Human Rights Axel Springer acknowledges and supports the United Nations’ “Universal Declaration of Human Rights” and does not tolerate any behavior that disregards this.

2. Compliance with the Law Axel Springer observes the laws and regulations of those countries in which the company operates, as well as the principles enshrined in its International Social Policy.

3. Child Protection Axel Springer does not accept the illegal employment of children and young people – either within its own organization or by its business associates. The legal employment of children and young people must also not be detrimental to their physical and mental development.

4. Treatment of Employees Axel Springer is committed to treating every employee with dignity and respect and to ensuring that s/he can work in an environment which is free from physical restrictions and sexual, psychological or verbal harassment. All indications of infringements will be investigated – subject to the protection of the interests of victims and witnesses.

5. Equality of Opportunity Axel Springer offers equality of opportunity to every member of staff. In this connection ethnic origin, skin color, gender, age, marital status, disability, religion, nationality, sexual orientation or social origin is immaterial. We expect our staff to declare their belief in democratic principles and to tolerate people with differing opinions.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

6. Right of Association Axel Springer respects the right of its employees to create an association to represent their rights and to join and actively participate in this association. The company works with the employees‘ associations fairly, constructively and in a spirit of trust.

7. Health and Safety At all its places of work, Axel Springer will take such measures as required to avoid accidents and damage to health. The company expects its employees to comply with regulations relating to health and safety at work.

8. Wages and Social Welfare Benefits Axel Springer pays wages and salaries and grants social welfare benefits which at least match the relevant national statutory minimum standards.

9. Qualification of Employees Within the context of its operational requirements, Axel Springer assists in developing the professional capabilities of its employees through suitable education and training measures.

10. Work/Family Balance Within the context of its operational requirements, Axel Springer supports its staff in balancing their professional and private interests and, in particular, in achieving an appropriate work/family balance and complies with statutory requirements.

11. Cooperation based on Trust Axel Springer expects integrity, loyalty and cooperation based on trust from its staff. Our actions are characterized by respect for the opinions of others and fairness in dealings with each other.

12. Expectations of our Business Associates Axel Springer expects its suppliers to comply with the following principles described here:

1. Human Rights 2. Compliance with the Law 3. Child Protection 4. Treatment of Employees 5. Equality of Opportunity 6. Right of Association 7. Health and Safety at Work 8. Wages and Social Welfare Benefits

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Environmental Guidelines

With its first environmental report in 1994, Axel Springer SE published a four-point environmental guideline. It serves as a practical guide to the many measures introduced by the company in the interests of environmental protection and comprises, among other things,

1. the raising of environmental consciousness among its readers, business associates and employees;

2. the promotion of the environmentally-friendly production of raw materials by exerting a positive influence on suppliers;

3. the use of environmentally efficient technologies and materials in all corporate divisions to reduce the burden on the environment, use materials sparingly and ensure their reusability;

4. the avoidance or reduction of the environmental impact by reducing energy and water requirements, emissions and waste per unit produced.

You will find further information on the following pages of the Sustainability Report.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Governance, Risk & Compliance

Reports can be made anonymously in the compliance whistleblower system. The explanatory fi lm shows how this works. (Video: Axel Springer Compliance)

Compliance for Axel Springer means compliance with legal requirements, voluntary commitments and corporate guidelines.

We would like to raise awareness among all of our employees, that violations of the aforementioned regulations can have adverse effects on the reputation of the company in the long term and can cause economic damage.

Against the background of the increasing importance of these serious consequences, appropriate structures and processes have been established to ensure behavior compliant with laws and regulations for all corporate offi cers, executives and employees. In this context, the Code of Conduct as part of the Axel Springer Compliance Organization, which offers employees a reliable means of orientation towards loyalty in an increasingly complex regulatory environment and thus creates transparency, is just one example.

Compliance Management additionally addresses the following tasks in particular:

• providing employees preventive advice on facts relevant to compliance, because compliance or compliance management allows scope for creativity if the requirements are known. • recognition, management and monitoring of compliance risks prevention (Anti-Fraud Manage- ment, Management of Rules & Regulatory Requirements etc.) and detection of compliance violations, as well as their tracking with defi ned measures (Incident Management) • providing training on topics relevant to compliance

Through effective compliance management, economically harmful acts should be avoided, civil and criminal consequences prevented, as well as fi nancial and reputation losses precluded.

At Axel Springer, good corporate governance is considered to be a central element of responsible management and control, aligned to a long-term increase in the company’s value. It promotes the trust of our national and international investors, of the customers, of the employees and of the general public in the management and supervision of the company and is an essential basis for the sustainable success of the company.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Policy Management

A further Compliance Management instrument at Axel Springer SE is the established Policy Manage- ment System. The directives and internal regulations at Axel Springer provide a regulatory framework for action in accordance with rules and the law in daily business operations.

Policy Management deals with the provision, updating, and company-wide distribution of directives and guidelines such as the Code of Conduct, for example. This means that once a year, the necessity of updating all directives and guidelines is determined systematically and the directives adapted accordingly. If needs for adjustment arise as the result of process changes or amendments to the law, the respective directives will be updated, provided or distributed accordingly. At this time, the responsibility for the content of directives lies with the persons responsible from the respective corporate divisions.

In addition, Governance, Risk & Compliance supports the executives of Axel Springer SE in determining a potential need for a directive and advises them on drafting.

Code of Conduct

Our “Code of Conduct” has been created in cooperation with the various divisions of our company which gives Axel Springer SE employees guidance and support in their daily work. It summarizes the existing corporate principles, values, as well as directives and guidelines. The Code of Conduct contains the ethical, moral, and legal standards expected of every employee. We feel especially committed to the freedom of expression and the freedom of the press, which are the constitutive prerequisites for freedom and democracy.

The central themes in the Code of Conduct are:

• Freedom of the Press • Journalistic Independence and Editorial Offices • Social Responsibility • Conduct within the Company • Behavior in Business • Confidentiality and Communication

The Code of Conduct is designed to help answer questions such as: May I accept gifts from a business associate? How do I react when a colleague is treated badly? How should I behave if a third- party attempts to influence editorial publications? Those who breach the Code of Conduct are disloyal. They damage the reputation of the company and can cause serious economic damage. This is why everyone within their working environment is expected to ensure compliance with the Code of Conduct and to address violations openly.

You will find the Axel Springer SE Code of Conduct as a pdf file in the menu bar on the right.

Risk Management System

Axel Springer SE’s risk policy principles and risk strategy are closely linked to its corporate strategy. And the most important thing here is not the strict avoidance of risks, but the careful weighing up of opportunities and risks within the context of our business activities. Accordingly, opportunities should be systematically exploited and risks assumed only when these are within an acceptable and appropriate range for the company and when they provide additional income opportunities or opportunities to increase the value of our company in the long term. Appropria- te measures are thus taken to minimize risks to an acceptable level, to partially or completely transfer

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

them to third parties if economically feasible, or, if risk limitation does not appear to be sensible, to avoid and observe them. All employees are obliged to handle risks responsibly within their own work areas.

Risk management should be understood as a central element in the pragmatic and efficient implementation of statutory and operational requirements. The Risk Management System addresses the following tasks:

• the identification, analysis, assessment and documentation of risks • early identification of risks • risk control • risk reporting, including to the Executive Board and the Supervisory Board

The Axel Springer SE risk management system is designed to create transparency relating to the company-wide risk situation, as well as to identify significant and critical risks at an early stage. It is intended to allow Axel Springer, in accordance with its risk policy principles, to react in time to risks and to monitor the further progression of the risks as well as the implementation of control measures. This procedure ensures the controlled and responsible handling of risks.

Internal Control System

The Axel Springer SE Internal Control System in particular serves to secure the effectiveness and efficiency of business activities, to secure the reliability and completeness of internal and external reporting, allows for the reduction and detection of errors and ensures compliance with the legal provisions and internal specifications relevant for the company.

The Axel Springer SE Internal Control System includes the following elements:

• the identification of appropriate and functional controls to ensure the effectiveness of risk control measures • the definition and implementation of controls in the respective strategic and operational processes • the automation of controls for performance optimization • the systematic monitoring and documentation of controls for risks determined to be critical or significant • internal and external reporting

In addition to periodic inspections of the Internal Control System by the Group Internal Audit Depart- ment, the ICS is continually subjected to a systematic self-evaluation in order to verify the functionality and effectiveness of the entire control system.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Code of Conduct

To provide every employee with a reliable means of orientation for day-to-day responsible conduct in their professional lives, Axel Springer has summarized the existing corporate principles, values, directives and guidelines in the Code of Conduct. This binding code of conduct contains the ethical, moral, and legal standards expected of each employee.

Our Code of Conduct is a binding code of conduct, a guideline to provide us with a reliable means of orientation in our day-to-day conduct. It summarizes our existing corporate principles, values, as well as our directives and guidelines, which contain the ethical, moral, and legal standards expected of every employee. We feel especially committed to the freedom of expression and the freedom of the press, which are the constitutive prerequisites for freedom and democracy.

Those who breach the Code of Conduct are disloyal. They damage the reputation of the company and can cause serious economic damage. For this reason we ask you to ensure compliance with the Code of Conduct in your working environment and to address violations openly.

The central themes in the Code of Conduct are

• Freedom of the Press • Journalistic Independence and Editorial Offi ces • Social Responsibility • Conduct within the Company • Behavior in Business • Confi dentiality and Communication

The Code of Conduct is binding for all Axel Springer SE staff. You can fi nd the full text and explanations as a pdf fi le for download on www.axelspringer.de.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Social Media Tips

Social networks such as Facebook, Twitter & Co. have become an integral part of everyday life and are becoming increasingly important for Axel Springer as a digital publishing house – not only for research purposes by journalists, but above all as an additional channel through which to reach readers and customers, communicate with them and arouse and consolidate their interest in the brands and content of our media house.

In order to further promote and expand the use of social media, the Executive Board asked three social media experts at Axel Springer to draw up recommendations for dealing with social media:

1. Go to the people. In order to be successful, we need to be where the people are. Every social media follower is a potential customer, reader or multiplier. Use those networks in which you find the most relevant information for yourself and the biggest audience for your topics. 2. Social media is conversation. Be approachable and actively participate in conversations. If you only use social media to make statements, you will soon only be talking to yourself. 3. Be inspired. Remain open to new ideas. Almost every day new platforms, communities and digital communication channels are emerging which can be interesting and exciting for you and your work. Try them out. 4. Cultivate your networks. Remember that everything you publish publicly on the Internet can still be found a long time afterwards. That is why it is worthwhile, especially in networks you use infrequently, to occasionally check to see that all is well and for example to update your personal details. 5. Preserve exclusivity. Make sure you only publish sensitive and company-related information or exclusive journalistic stories after these have also been officially published by your department or your editorial office. 6. Pay attention to quality. Incorrect facts and deliberate omissions are soon detected on the Inter- net. If you are transparent and your sources verifiable, this increases the credibility of your work. 7. Do nothing you would not also do otherwise. Social media is a public stage: Whatever you express there, even as a freelance employee, reflects back on you and your employer. The question: “What can I post, and what not?” includes what we should in any case take into consideration according to our contract of employment, code of conduct or the statute book.

We encourage our colleagues, especially our company’s journalists, to use social media, but at the same time ask them to be particularly sensitive. Personal and professional use of social networks are hardly separated in the public eye. That is why attention should be paid during private social media activity to ensure that the guidelines of Axel Springer SE and of the respective media brands are complied with. This remains true – even if you point out in your profile that the opinions expressed are “private”.

Let us use social media more! If you need support to do this please contact your supervisor or the authors of this paper.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Zur Herleitung wichtiger Anliegen und Themen

The graphic shows “stakeholders” who have or could have an interest in Axel Springer SE. Sustainability reports in the GRI format are oriented towards the concerns of stakeholders. The term “stakeholder” is used to denote a person or group which has a legitimate interest in the course or outcome of a process. The term „stakeholder“ comes from the English. „Sta- ke“ can be translated as investment, share or claim, „holder“ as owner. The term “stakeholder group” can also be used here.

Alongside the Annual Reports, Sustainability Reports are important elements of a company‘s information policy. The Sustainability Report published every two years by Axel Springer SE follows the Guidelines of the Global Reporting Initiative (GRI), which are amended from time to time. The present edition has been prepared “in accordance” with the GRI Standards: “Core” option. The Initiative sees itself as an ongoing international dialog which, through the defi nition of performance indicators, includes a large number of stakeholder groups. The secretariat of the Global Reporting Initiative is based in Amsterdam.

The term “stakeholder” comes from the English and is used to denote a person or group which has or could have a legitimate interest in a company’s history or results. The extended GRI standard requirements include the plausible derivation of the content of the report from the concerns of stakeholders which have been researched as specifi cally as possible .

What is expected of our company, what is criticized? Which issues are of particular interest for users, for readers, for non-readers, for advertising and print customers, for employees, for shareholders or for environmental organizations that have dealings with our company? In addition to this, key stakeholders in the company are interviewed at regular intervals with the aid of market research.

Which stakeholder groups are we primarily interested in? (GRI standard query 102-40)

Readers and users of our media offerings, advertising and print customers, employees, investors, neighbors, visitors, schoolchildren, students, scientifi c institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express particular interest in the organization’s operations as well as its products at home and abroad.

Axel Springer also wants to be in the top group of media companies in terms of customer-friendliness. The company uses the tried and tested TRI*M methodology from TNS Infratest to measure customer- friendly service.

TRI*M™ (Measure, Manage, Monitor) is the leading customer loyalty or stakeholder management system. It is a research approach customized to the respective business needs, which is used to transfer

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

the information from the survey of individuals or all relevant stakeholder groups into the entrepreneurial decision-making process. It supports the management in the setting of priorities and provides guidance for the optimization of relations with the various target groups.

Another example: the “Digital Values” survey on current user needs, on the uncertainty of users due to data scandals, fake news and hate speech on the Internet.

These measurements target our priority stakeholder groups:

• Readers / buyers • Users of websites • Advertising customers

Another instrument is the continuous exchange with readers and users of digital offerings. In this way, the interests, concerns and problems of readers and users can be addressed even more effectively.

Basis for the selection of stakeholder groups with whom to engage (GRI standard query 102-42)

The focus is on the stakeholders of users, readers and advertising customers who are so important for the long-term success of the company. A further basis for the selection of stakeholders is the degree of concern or interest in the work of the company. Readers and users of our media offerings, advertising and print customers, employees, investors, start-ups, grown-ups, neighbors, visitors, schoolchildren, students, scientific institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express a particular interest in the organization’s operations as well as its products at home and abroad.

We use various sources of information to rank our diverse stakeholder concerns – from reader market research and surveys of customer loyalty programs to various reader contacts and regular exchanges with WWF, Greenpeace and Transparency International in countries such as Finland, Sweden, Russia, Canada, the USA, China, Uruguay and Brazil, as well as internal employee surveys.

Where and how does interaction with stakeholders take place? (GRI standard query 102-43)

Personal contact to stakeholders comes about, for example, through directly addressing them, through exchanges of views at conferences, as well as through emails and telephone calls.

We use various sources of information to rank our diverse stakeholder concerns – from reader market research and surveys of customer loyalty programs to direct contacts with readers and users and regular exchanges with business partners, government agencies and non-governmental organizations such as the WWF, Greenpeace and Transparency International, as well as internal employee surveys. The following table provides an overview of the opportunities and occasions for dialog with the major stakeholders in our company.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Stakeholder dialog Originating from Originating from different Dialog and interaction Axel Springer stakeholders The company informs its Stakeholders articulate their Exchange of views and stakeholders concerns to the company cooperation with stakeholders Annual report, quarterly reports, Representative, valid “Measuring, TUESDAY TOWNHALL TALK: The other financial publications, managing, monitoring” surveys Executive Board in direct contact “roadshows”, presentations, An- of readers, users and advertisers. with all employees worldwide on nual Shareholders‘ Meeting, etc. Ongoing market research; em- announced dates in person, via ployee surveys. Direct contacts livestream and by email! All issu- with readers and users, external es, all topics can be addressed. newspaper critiques; Board members Mathias Döpfner, Stephanie Caspar, Jan Bayer, Ju- lian Deutz and Andreas Wiele take time to listen to all questions and ideas. No safety net, no double bottom. The motto: “Share your thoughts. Drill us with questions!” In addition there are works council meetings, regular staff meetings with the respective management. In Berlin: Executive Board members meet employees from all corporate divisions (“Lunch with the boss”)

The Sustainability Report pu- Continuous contact with stakehol- Continuous and specific ex- blished every two years in the ders. Lectures and presentations change with employees, users/ GRI format (http://nachhaltigkeit. as well as participation in public readers, advertising and print axelspringer.de) debates customers with financial analysts and rating agencies, with schools and universities, with NGOs and government agencies.

Corporate Communications as Stimuli and platform offerings on a permanent point of contact for social, economic and political media and other stakeholders; debates and conferences (such replying to incoming requests by as for example the Prizewinners email, by letter or by telephone; Ceremony of the German Sustai- social media, blogs and inside. nability Prize or the annual “WELT app; lectures and presentations; Economic Summit”) participation in public debates; interviews with other media; visits to the company; the company website www.axelspringer.de published in German and English

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Internal Communications as a Membership in associations, par- permanent point of contact for ticipation in workshops with think employees; Intranet and the iMag tanks, NGOs, universities etc. employee magazine; inside.app; mails and video messages to the employees from the CEO

Participation in the Berliner CSR camp; cooperation in the “Boreal Business Forum” of the “Cana- dian Boreal Forest Agreements”, a cooperation network of non- governmental organizations, the Canadian forest and paper companies as well as international customers of wood and paper products: cbfa-efbc.ca

Summary of the most important stakeholders’ concerns (GRI standard query 102-44) We consolidate the findings of the analysis of the various stakeholders‘ concerns into a materiality matrix, which at the same time yields the orientation and priorities of sustainability management. Another guide are the issues and priorities of rating and ranking agencies in the area of sustainability.

In addition, there are the innovations and enhancements in the Evaluation System of the Institute for Ecological Economy Research ioew as well as the indicator matrix of the Global Reporting Initiative GRI, and the supplementary questions applicable to the media industry.

The subject areas are presented in the matrix according to the assessment of their relevance for the stakeholders as well as for the company – and addressed in the context of this Sustainability Report.

The stakeholders concerns involve for example issues of journalistic independence, the separation of advertising and editorial copy, the promotion of media literacy among young readers, data protection, transparency and standards along the digital value chain as well as the safeguarding of social and environmental standards along the wood, pulp, paper, printing and recycling chain.

Concerns of the Axel Springer company On the question, “What we are and what we want” the CEO of Axel Springer SE, Dr. Mathias Döpfner, writes in his foreword to this Sustainability Report:

“The soul and spirit of the Axel Springer company is journalism. We serve our readers with independent and critical information and advice as well as good entertainment. Through our journalistic services we are making a contribution to the strengthening of freedom and democracy. The prerequisite for this is our economic success. We are working every day to improve our journalistic, technological and commercial competence.”

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Customer Loyalty

To strengthen customer loyalty, customer wishes and customer criticisms are identifi ed with the help of various survey methods under the direction of in-house Market Research. (Source: Axel Springer SE)

Moderne Nachhaltigkeitsberichte orientieren sich bei der Themen-Auswahl an den Anliegen von Sta- keholdern. Als „Stakeholder“ wird eine Person oder Gruppe bezeichnet, die ein Interesse am Verlauf oder Ergebnis eines Prozesses hat. Kunden zählen zu den wichtigsten Stakeholdern eines Unterneh- mens. Die Axel Springer SE stellt Kundenbedürfnisse daher konsequent in den Fokus der täglichen Arbeit. Um Kundenwünsche zu erfahren und ihnen gerecht zu werden, hat das Unternehmen 2006 ein konzernweites Projekt zur Kundenbindung gestartet, die von der internen Marktforschung feder- führend unterstützt wird.

Im Mittelpunkt steht die repräsentative kontinuierliche Befragung von Käufern, Abonnenten, Usern, Werbe- und Anzeigenkunden.

Die Ergebnisse zeigen, dass Print weiterhin – auch in Zeiten eines wachsenden Angebots digitaler Marken – bei den Lesern einen hohen Stellenwert hat. Mit einer modernen Aufbereitung der Themen, einer kritischen Hintergrundberichterstattung und exklusiven Nachrichten über alle Ressorts hinweg sind die gedruckten Zeitungen und Zeitschriften von Axel Springer für die befragten Gruppen eine gefragte Ergänzung der digitalen Angebote. Die gleichzeitige Nutzung der Digitalangebote für aktuelle Informationen zeigt ein klares Markenverständnis beim Kunden: Leser der BILD-Zeitung nutzen auch die digitalen und mobilen Angebote der Marke.

Die Verfahren der Messung werden kontinuierlich überarbeitet und weiterentwickelt. Die Marktfor- schungs- experten der verschiedenen zur Axel Springer SE gehörenden Unternehmen tauschen sich regelmässig dazu aus.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Trust through listening and verifi able action

This 12-minute video documents a discussion at the Technical University of Berlin in December 2013. Oliver Salge, Head of Greenpeace Germany‘s Forest and Oceans Campaign and Florian Nehm, Corporate Sustainability Offi cer at Axel Springer SE, explain their concepts of Stakeholder Management. Moderation: Professor Dr. Dodo zu Knyphausen-Aufseß. (Source: Axel Springer SE)

Since 1993, we have been continuously sounding out the interests, concerns and priorities of relevant stakeholders. Axel Springer SE published its fi rst environmental report in 1994. In 1995, the Ahrens- berg newspaper printing plant was the fi rst in Europe to be validated according to the EU ecological audit EMAS. In 2001, the fi rst externally audited sustainability report appeared. The indicators of the IÖW (Institute for Ecological Economy Research) as well as the GRI Media Sector Supplement are important fundamental requirements.

Users of online services, readers, advertising and print customers, employees, investors, neighbors, visitors, school pupils, students, scientifi c institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express an interest in the organization’s sustainability management among other things.

This sketch gives an overview of the ‚stakeholders‘ using Axel Springer SE as an example. The term stakeholder is used to refer to a person or group which has a legitimate interest in the course or outcome of a process or project. The term „stakeholder“ comes from the English. „Stake“ can be translated as investment, share or claim , „holder“ as owner. The term ‚stakeholder group‘ is also increasingly catching on.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

MOVING THE WORLD. Taking responsibility

What packaging and how much of it does the environmentally conscious customer need? A panel of experts looked into this question at the invitation of the „MOVING THE WORLD. Taking responsibility.“ initiative. (Source: Moving the world)

DIE WELT presented the sustainability initiative „MOVING THE WORLD. Taking responsibility“ for the fi rst time in July 2011. The concept was developed and implemented by Axel Springer Media Impact, Axel Springer‘s central marketing unit. The objectives of the initiative are to provide customers with concrete solutions for sustainable advertising space and for the communication of their commitment to sustainability.

Editorial platform for sustainable information and features: The up-to-date reporting of the „WELT“ is concerned with the ecological, social and economic aspects of sustainability on a daily basis. Texts on these topics can be found online at www.welt.de/dieweltbewegen.

Exchange and networking: The initiative has so far launched a variety of events networking people, organizations and companies who campaign for more sustainability.

What power do consumers have to save the world through „eating properly“? The „MOVING THE WORLD. Taking responsibility“ initiative invited government representatives, entrepreneurs, corporate managers and environmentalists to explore this question more thoroughly. (Source: Moving the world)

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Securing habitat for Canadian caribou

Montreal, Canada: Melissa Filion, Greenpeace forest campaigner, informs Corporate Sustainability Offi cer Florian Nehm about the current status of the discussions on the protection of biodiversity in forestry. The habitat of the American reindeer (caribou) is to be preserved jointly with the forestry industry. Dialogue instead of cold shoulder: Engagement with the Association of German Magazine Publishers VDZ

Anyone who identifi es himself to Canadian environmentalists as a member of the „WEEDEESET“ is usually received with benevolence – sometimes even approval. Because the „German Publishers“ commitment to virgin forests on the Canadian Pacifi c and the threatened woodland caribou in On- tario and Quebec are regarded positively. VDZ members are considered to be ecologically aware purchasers of paper, that are also interested in Canadian pulp, which is processed in Germany and other places to make high-quality magazine paper.

The Axel Springer SE Corporate Sustainability Offi cer‘s fi rst fact-fi nding mission to British Colombia took place back in 1994, together with the former managing director of the VDZ, Wolfgang Fürstner. However, at that time, the atmosphere was frosty and charged with mistrust. Environmental organizations such as Greenpeace and the forestry industry faced each other irreconcilably. Loud railing, protests and blockades were the order of the day. 7777 kilometers away in Germany, users of printing paper made from Canadian pulp were open to criticism. And when the Premier of British Columbia traveled to Hamburg to explain his viewpoint, he was attacked when still in his plane by environmental activists in a „leafl eting campaign above the clouds“ as the „Virgin forest killer on seat 1A“.

The objective of the fi rst „Forest Journey“ to the Canadian West Coast was simply listening, understanding and signaling a willingness to talk. By way of introduction, a Professor from the University of Vancouver explained the unique features of the regional forest ecology. This was followed by appoint- ments with family-owned forestry operations on Vancouver Island, with environmental organizations, with representatives of the Canadian indigenous people, with the Forestry Minister and with members of the Opposition. In addition, there were discussions with forest workers furious at the „Tree Hug- gers“, as well as with reservedly cautious managers from major forestry companies and pulp producers.

Since then the Association of German Magazine Publishers, as a voice for the paper clients, has been making a contribution to the development of workable compromises between forest utilization and preservation in Canadian forestry. This has taken and will take a long time and in part tough negotiations. It took a process totaling 15 years before the major forest controversy concerning the „Great Bear Rainforest“ was brought to a successful settlement in British Columbia in 2009.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

It was and is about reconciling the concerns of the forestry workers, the mayors of remote towns, the indigenous people, environmental organizations, the forestry, pulp, paper and sawmill companies, as well as those of the provincial government.

With the help of this experience a pan-Canadian framework agreement was also able to be signed in May 2010 – the „Canadian Boreal Forest Agreement“ (CBFA). This relates to the protection of a forest area twice as large as Germany and at the same time the largest protected area of this type in the world. However, numerous details remain to be negotiated for its implementation. The main actors are members of the influential „Forest Products Association of Canada (FPAC)“ as well as a number of environmental organizations under the auspices of Greenpeace. All stakeholders have developed their thinking and found ways to build the necessary degree of flexibility and trust. Representatives of the VDZ, including Axel Springer SE, take part in these discussions once or twice a year as ‚active obser- vers‘.

The initiative for a dialog in the Canadian forest has resulted in valuable experience for the stakeholder management system, which until today has also contributed to de-escalation in similar conflicts in other countries. The recommendations include, first and foremost

• The inclusion of as many affected stakeholders as possible • A lot of patience and a willingness to understand the other positions • Professional mediation where possible and carefully documented minutes • A readiness to admit one‘s own mistakes promptly • The ability to offer constructive alternatives

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Innovation through confl ict

Oliver Salge (Leiter Wald- und Meereskampagne Greenpeace), Eva Goris (Journalistin und Pressesprecherin der Deutschen Wildtier Stiftung) und Florian Nehm (Leiter Referat Nachhaltigkeit und EU-Affairs Axel Springer) vor dem Greenpeace Sitz in Hamburg

Hamburg in June 2010: The journalist Eva Goris documents a conversation between Oliver Salge, Head of Greenpeace Germany‘s Forest and Oceans Campaign and Florian Nehm, Corporate Sustainability Offi cer at Axel Springer SE on the viewpoints of environmental organizations and companies.

The Greenpeace factor! What can a company do when Greenpeace comes? There is no easy solution, but one thing is certain: Clichés, empty promises and the faint hope that the „green lobbyists“ will allow the wool to be pulled over their eyes at the conference table do not bear fruit in this type of debate. While struggling to fi nd solutions, there is only one answer to this question: Remain open-minded, speak and act early.

„Greenpeace? They don‘t talk to us...“ This is a sentence that Florian Nehm, Corporate Sustainability Offi cer at Axel Springer SE and also responsible for EU government affairs, often hears when he meets managers and executives from other corporations. „My experience has been quite different,“ says Nehm. He meets Oliver Salge in the Creative Room at the Greenpeace headquarters on the Grosse Elb- strasse in Hamburg. „Head of Forest and Oceans Campaign“ is the job title on Salge‘s business card. This is of course, politically correctly, printed on recycled paper. Two men are sitting opposite each other in sagging seat elements. Men who, from a purely visual viewpoint, could not be more different. Flori- an Nehm personifi es the consummate manager in a fi ne suit; Oliver Salge is emphatically informal in a T-shirt and jeans with youthful silver creole earrings. The small room is rather austere. Photos of spectacular actions from around the world are hung on its white walls: Greenpeace activists in the ice, Green- peace activists in a rubber dinghy, Greenpeace activists in the forest. The activists, fi nanced by their approx. 550,000 donors as a moral authority in issues concerning nature, with the mandate of being „fi ghters for a healthy environment“ and admired as „green power“ within the state, are seen as more of an enemy by many corporate managers. Green warriors, against whom there is no proper corporate strategy, unpredictable and disruptive. The worrying question „What shall we do if Greenpeace comes?“ expresses what some executives in large companies feel: A fear of contact combined with a healthy dose of respect for the unknown opponent.

For the ignorant, the external impression of the „Greenpeace inteference factor“ swings between two extremes: one considering the Greenpeace campaigners as green fools, the other as extremely smart environmental gurus. Both are wrong! But what should you do when Greenpeace comes? After years of analysis searching for solutions to this worrying question, Axel Springer‘s sustainability specialist knows of only one answer. It can be reduced to a few words: „Remain open-minded, speak and act early!“

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„Nothing is worse than constantly changing contact persons“

There is no time for small talk between the two men in the creative den of the green lion. The meeting is friendly, but conducted self-assuredly by both parties and focused very firmly on the issue. They know each other and they know the topic of conversation down to the finest details which often seem insignificant to outsiders. They are talking about paper, about trees, the balance between forestry and forest conservation, about sustainability and shared experience, which also has a lot to do with „personnel sustainability“ at Axel Springer. This is certainly how the man from Greenpeace sees it. „Florian Nehm has been our discussion partner for years. This is a good thing. Nothing is worse than constantly changing contact persons who have no idea of the issues and are rushed into the fire by the corporate management when Greenpeace comes,“ says Oliver Salge. Experience that the environmentalist has gained time and again in dealings with other corporations.

His voice is calm, even a little monotonous when he reports on the conservation of virgin forests in Canada, Brazil, Indonesia, Finland and Russia, recalls moratoria on logging and talks about concepts to „protect the forest, even though the timber industry is using individual areas“. Oliver Salge plays the di- plomat and sounds somewhat like an experienced, professional politician in an election campaign tent. It sounds almost statesmanlike when he says: „The road was not always easy and has been characterized by setbacks.“

He speaks of „experience since 1997“, his experience. It is not only at Axel Springer that there is con- sistency in terms of forestry. The environmentalist from Greenpeace is also an „old hand“ in business. Then Salge verbally flexes his muscles with a sonorous timbre as he recalls a failed logging moratorium: „It was perhaps not entirely clear to the Canadian pulp producers at the time that Greenpeace means what Greenpeace says!“ What sounds like a veiled threat for future meetings between corporations and Greenpeace may indeed be interpreted as a warning. „Greenpeace does not let anyone pull the wool over its eyes!“ and he adds quietly: Greenpeace operates internationally – and once the economic threshold has been crossed, even a global corporation has to act.“ Then a winner‘s smile plays around the corners of his mouth and he says: „Today, 28 million hectares of virgin forest in Canada are protected from the chainsaws of the timber industry for the next three years.“

He is proud. That is unmistaka- ble when he enthuses about the „unique forest ecosystem of the northern hemisphere“, talking of be- Exchange of ideas in the Greenpeace headquarters in Hamburg: Campaign ars, wolves and caribou. He calmly director Oliver Salge (right), journalist Eva Goris (center) and Sustainability articulates words such as „logging Manager Florian Nehm (left) ban, peaceful protest, tough negotiations“ and is happy to talk about „the long campaign that brought even Canada‘s leading wood and paper manufacturers to their knees“. Greenpeace put the pressure on. The fact that this „pressure“ would not have led to success without the large paper clients from media companies such as Axel Springer SE, the WAZ media group and DuMont, was even gratefully acknowledged in a Greenpeace press release. „German newspaper and magazine publishers procure pulp and paper from Canada and have campaigned for a solution to the virgin forest issue“, it says in the announcement made by Greenpeace. Praise from the „greenest“ quarter. „But the road was not always easy...“, Salge relativizes.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

NGOs as top clients

The discussion between Oliver Salge and Florian Nehm on the Elbe is a kind of interim balance in the cooperation between Europe‘s leading multimedia enterprise and Germany‘s largest and most powerful environmental lobbyist. They have known each other for years and have come closer through the occasionally also hard exchanges of ideas in the search for constructive solutions for „clean“ paper. They have achieved a lot together. This is not a love affair.

Nevertheless, one thing is immediately noticeable whatever the differences: The respect is mutual. „No innovation without conflict“ – a statement both immediately agree with.

Today the Goodie Two Shoes in the Greenpeace rubber dinghy can no longer be ignored. As members of a non-governmental organization (NGO), they have become an influential brand in international political and economic circles. „NGOs such as Greenpeace have a significant ability,“ says Florian Nehm. „They can determine issues publicly.“ This means that NGOs can initiate issues or even damage the reputation of a company or product! At the same time, the constructive contact with Greenpeace can result in innovative ideas which would warrant expensive consultancy fees on the market. „For many companies, the view of this aspect frequently remains distorted due to uncertainty in their dealings with the feared opponent Greenpeace“, says Florian Nehm. Management that is open-minded, willing to learn and innovative is required in order to make constructive progress. „This really should be a case study in every business administration textbook,“ says Florian Nehm. „Answers to the often pointed questions that Greenpeace poses simply have to be genuinely persuasive.“ At the same time this does not mean a humble approach to dealings with Greenpeace. „Far from it“, he stresses. „My experience in recent years shows that good new solutions for companies often arise from frank discussions of the issue.“

But what should you do when Greenpeace comes? Oliver Salge is very familiar with the typical answers, which he hears in confrontations with other corporations: „Corporations like to hide behind the concept of the company secret.“ The environmentalists‘ forestry activist knows the standard excuses: Firstly: We are far too small a company. Since Greenpeace usually confronts the top ten of an industry that excuse is soon worthless!“ Secondly: The other companies are to blame! Thirdly: I am not responsible! Salge stresses: „None of these were ever offered to me in my dealings with the Springer company.“

Nehm: „This also has to do with customer service. We view the NGOs less as troublemakers but rather as top customers.“ Good customer relations can help to solve a lot of problems in advance. „Answers to inquiries may not be put aside or even ignored. Feedback should be as quick, competent and friendly as possible.“

Misunderstandings, also on the part of Greenpeace, can for example be avoided by the environmentalists not simply addressing their letters „to the management“, but wherever possible to a specific addressee. Otherwise, controversial post can perhaps drift around in large companies from post room to post room for days on end or even get lost. Then, Greenpeace in turn may think: Typical! They do not want to answer. This can lead to hasty reactions which are in turn answered by excessive counter- reactions. There is often neither a deliberate strategy nor evil intention behind such misunderstandings. Even if the cause is the result of a certain negligence, such situations can blow up easily.

At the same time, in most cases there are no simple answers for the optimization of production processes anyway. The activist Oliver Salge is also aware of this: „Even Greenpeace does not always have solutions at hand.“ In the meantime Oliver Salge sees the naive „No, thank you!“ mindset from the founding period of the Green movement as overcome. One thing is particularly important to him in this process: That a company is serious in addressing the Greenpeace demands.

Constructive discussions about requested changes work best when the participants on both sides are well informed. Florian Nehm compares this often lengthy debate with American court movies. „You have the prosecution, the defense and the jury. It is sometimes very emotional.“ And Greenpeace as the pro

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secutor is the master of emotion. The companies must be well prepared for their defense, especially as the television media and the public judge their attitude and credibility as critically as a jury.

Once the Greenpeace criticism is in the media, the initially weaker position of defense is often all that remains to the corporations. With the protest banner hanging from the roof and leaflets being distributed to passersby in front of the main entrance, the company concerned is often left with its back to the wall. Greenpeace in the role of the prosecutor initially has the attention of the public on its side. „At this stage, how a corporation responds is extremely important“, emphasizes Florian Nehm.

The power of the protest pictures

Nehm is happy to describe an early encounter with the environmentalists from Greenpeace. „It was in 1993. All of a sudden the Greenpeace prosecutors were in the main entrance of our publishing house in Hamburg and asked provocatively: „How much forest does your magazine cost?“ For media coverage they had brought a TV crew and photographers along with them.“ Instead of calling for the security service – as could certainly have been expected at that time – the environmentalists were shortly afterwards sitting around the conference table with managers, works councilors and the Group spokeswo- man. „And we talked,“ Florian Nehm recalls. It was a big surprise – for everyone involved! Greenpeace had not expected such an open-minded response from the supposed „enemy Springer“. There were no dramatic pictures of a counteraction. Nehm admits today: „I was very proud of my company at that moment.“

Dealing with Greenpeace is not easy. Many corporations find the initial contact difficult. Who is responsible when the feared opponent is standing in the foyer? „We don‘t deliver anything, we don‘t buy anything“, says Oliver Salge and describes the procedure as follows: „First of all the question arises: Who should talk to Greenpeace?“ The sales manager, the CEO or the public relations department? „In the public relations department we are confronted with people who know a lot about advertising and the positive public image of the corporation. But they have no idea of the production processes within the group.“ He could write the standard responses from the public relations departments „himself“ says Salge. Often Greenpeace‘s criticism is not taken seriously. „And that is when just what corporate lea- ders fear the most happens: Greenpeace comes and uses the means of direct action“, that is: protest banners are hanging from the rooftops of the corporate headquarters and the public focuses directly on the denounced problem in a flurry of photographers‘ flashlights and TV cameras. And Greenpeace shines brighter in the brilliant glare of the public eye as a moral authority with great credibility compared to a corporation which, viewed from the outside, appears rather „faceless“ with its cold facades. This increases the impact of the „Greenpeacers“, who seemingly selflessly chain themselves up for the „worthy cause“ or even put themselves in danger while at the same time also risking legal consequences. The „Heroes from Greenpeace“ deputize for Jim Block from Cologne. They boldly articulate what everyone „always wanted to say“. A corporation can only rarely counter this strong emotion. If the security staff arrive and „dislodge“ the heroes, the environmentalists win a media victory. This lies in apparently „losing“ against the stronger party. That is the David-versus-Goliath principle. TV cameras and photos pass „judgment“ – perhaps even unintentionally, and without ultimately wanting to „judge“. Dramatic pictures speak for themselves.

„How much forest does your magazine cost?“

Between Greenpeace and Axel Springer SE, the campaign in 1993 was initially limited to a simple question: „How much forest does your magazine cost?“ But this question at that time was almost revolutionary. It is only since the climate debate that everyone today quite naturally asks about the ecological footprint of a product. „At that time the interest in the value chain was new“, Florian Nehm recalls. There were more questions than answers. Where does the responsibility for publishing products begin? At the gate of the printing facilities or earlier? „Axel Springer SE would have liked to have been able to present a 100-page-long document in 1993, but we didn‘t have one.“ Not yet! While other publishers succinct- ly referred Greenpeace to the paper industry and in turn were confronted with protest actions such as „Thursday is Deforestation Day“ (as happened in front of Hamburg‘s Gruner & Jahr publishing house),

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the bottom line at Axel Springer right from the beginning was: „No one should understand more about the entire manufacturing chain of our products than the managers in our company themselves.“ Paper as an unaccounted for resource? The media company‘s response to the environmentalists‘ provocative questioning at the time: „Give us four weeks time and then we will give you an answer.“

The Greenpeace visit to the Hamburg-based publishing house is seen by Florian Nehm as a helpful impetus. From a journalistic viewpoint, the question „How much forest does your magazine cost?“ is of course pointed. „And we as a journalistic company did our homework, researched our paper suppliers in Germany, Fin- land, Sweden, Norway, Canada and Russia and by the end of the process found answers not only to this question.“ Of course, at the time discussions came up repeatedly. Can the forest question be phrased in that way? Where does responsibility begin? What has the publisher to do with the production processes in the paper industry? „Today our position is clear: Even if there is only one stick whose origin remains unaccounted for – we need to find out soon and ourselves, whether this stick has grown sustainably. As a result, we are just as interested in our paper manufacturers‘ pulp suppliers – from Finland to Canada and Uruguay.“

A kind of transparency which was new at the beginning of the 1990s. „We published the list of our paper suppliers, and their answers to questions unusual for that time such as: Where is your Oliver Salge: „Greenpeace means what forest? Who is responsible for inspections? Does an environmen- Greenpeace says.“ tal evaluation take place? How is the dialog with environmental organizations locally?

„We then presented the results at a press conference.“ There were more business representatives than journalists there, as this was the first time that a publisher had made these facts public. The process was revolutionary! This transparency was preceded by a major concern. Within our publishing house we were wondering: Are we now always open for attack whenever our suppliers are caught in the crossfi- re? Nehm: „But the opposite proved to be the case. We learned immediately whenever a problem arose and were able to react very quickly. Escalations therefore didn‘t happen at all.“

„If anything was unclear or the presentations seemed implausible, Florian Nehm was not averse to going into the forest on site himself“, recalls Oliver Salge. Surprises were often waiting – even for Green- peace. „We learned a lot at this time, also as an environmental organization.“ For example, that „virgin forest“ is often seen differently by some users in Canada, Russia and Finland than it is by Greenpeace. What is deemed an „ecosystem worthy of preservation“ by the environmentalists was often interpreted fundamentally differently on site. Salge: „Especially for foresters, virgin forest is often nothing more than old and thereby poor forest that is mature and needs to be harvested before it decays.“ It is within this area of tension that the forest protectors and forest users, Greenpeace and Axel Springer SE are moving in an ongoing dialog. „It is a demanding and also a painful process,“ Florian Nehm sums up today. Sometimes one side has to back down from its maximal demands, sometimes the other. Greenpeace also knows that solutions must be viable: not only for the forest. Also for companies, forest workers and local residents, trade unions and other NGOs. All stakeholders want to benefit in the end. „And fair moderated dialog is the only way to this goal“ emphasizes Florian Nehm.

From 1995, the publishing house extended its contracts with paper suppliers to include so-called forestry standards, with the company sporadically reviewing compliance on site. Axel Springer SE attaches great importance to sustainability. This means: Biodiversity must be ensured, so that animal and plant species are not endangered by forest use. Paper manufacturers must perform eco-controls as purchasers of timber and provide employees with environmental training.

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Taking consideration of indigenous peoples such as the Sami in Northern Scandinavia is also a part of forestry standards, as is an open information policy by paper suppliers. Furthermore, the publisher attaches great value to the fact that no more timber is harvested than will re-grow. The forestry standards do not go far enough for Oliver Salge in this point. „We are talking about economic sustainability from the perspective of forestry experts. In environmental terms, with eye on valuable habitats, you cannot simply replace a tree with a new tree.“ Nevertheless: For Salge, the Springer company‘s forestry standards are „important results“. And he adds: „Despite the intensity of the debate with Axel Springer SE, we never had the feeling they only wanted a greenwashing from Greenpeace.“ He emphasized in particular: „The discussions with Springer had substance and were conducted with seriousness.“

No cozying up

This form of competent and honest dealings with one another is frequently lacking with other companies. Oliver Salge, who studied economics and social sciences, cited the negative example of a meeting between the environmentalists and a large food manufacturer, which took place recently. The contact was initially reduced to the exchange of letters between the management of the corporation and the Greenpeace management. Then, Greenpeace started looking for a discussion. This discussion did indeed take place, but the bottom Studying Canadian forestry maps in the Hamburg Greenpeace headquarters. line however, was that it was reduced again to a kind of exchange of letters. „We were handed a letter which stated that the corporation declared its support for the environment and that virgin forest should be preserved – period. No answer was forthcoming to the Greenpeace inquiry, as to what the company intends to do to emphasize the demands in countries such as Indonesia.“ All of the Greenpeace pro- posals – for example to send a letter to the ambassadors of the respective countries – were ignored by the company representatives. Oliver Salge is irritated by such behavior: „The leading figures in such a powerful company naively think that you can simply write a letter to Greenpeace, and then they will just settle down and be quiet and everything will be fine!“ It is the result of a discussion that is important for Greenpeace. „And nothing came of this contact with the corporation! The management was only interested in absolution.“ This behavior reflects uncertainty in dealing with the feared opponent Greenpeace. It attests to the almost pitiful helplessness of the group management concerned.

Much has changed since 1993, not only in the relationship between Axel Springer and Greenpeace. The annual report of the Finnish paper company Stora Enso – an Axel Springer SE paper supplier – includes a photo of Jouko Karvinen, CEO of the Group, in conversation with Oliver Salge. The issue is a longstanding conflict concerning ecologically sensitive forest areas, whose protection is demanded in Northern Finland. Karvinen praises the „open dialog“ with Greenpeace.

Negotiations in Canada and Northern Finland

The tenacity of the paper customer Axel Springer certainly also contributed to the reaching of an agreement after many years of debate in this virgin forest conflict in Northern Finland. 100 000 hectares of forest have been taken out of use here, 17 000 hectares continue to be cultivated. „From our perspective this is a good compromise“, says Oliver Salge. „In addition all of the NGOs are backing this solution – including the Sami, whose land is directly affected.“

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A process does not always end with such a success. In the Canadian province of British Columbia for example, there are local environmental groups who expected more from Greenpeace and at the end are even angry with Greenpeace. „This is unjustified and it hurts“, says the forestry expert. „At the end of a process like this, you can never ensure that all parties are completely happy. Ultimately it comes down to an acceptable compromise. Greenpeace is not against the timber industry – we want a good timber industry.“

In the search for acceptable solutions for environmental and social sustainability, the paper user Axel Springer and Greenpeace still occasionally give each other „a hard time“. Florian Nehm: „We don‘t cozy up to them. But when analyzing the risks, opportunities and trends of sustainable logging worldwide, the regular exchange of ideas with a critical environmental organization such as Greenpeace is a very important element.“

The wind is blowing fiercely, the Elbe is troubled. Now and then a patch of blue sky appears and the scene is immersed in bright sunlight. Meteorologically Hamburg is showing itself from its dramatic side. In spite of the unsettled weather, Oliver Salge wants to show Florian Nehm the Canadian Indians‘ totem pole. The environmentalists transported the raw trunk by ship across the Atlantic to the Elbe. „It was then carved by indigenous Canadians into a totem pole over a number of months during a protest trip to German paper manufacturers and paper buyers in Germany more than ten years ago,“ says Salge. The totem now stands on the waterfront just behind the Greenpeace headquarters on the Grosse Elbs- trasse.

„We were given this totem pole by the indigenous Canadian people – the Indians“, Salge declares proudly. He comes across as very gentle, as he says: „They ceremoniously thanked Greenpeace for its commitment.“ Both men touch the old, dried-out wood of the totem. „We need a corporate culture, managers who take more responsibility for the environment...“, the wind freshens taking Oliver Salge‘s words away with it.

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How a resource confl ict can be resolved.

Front page of Greenpeace documentation: „Confl ict Resolution and British Columbia‘s Great Bear Rainforest“. This report documents the origins, escalation and easing of a major dispute about the balance between the use and protection of temperate rainforests in British Columbia.

On the west coast of Canada in March 2009, an ongoing negotiation process to fi nd a balance between the use and protection of temperate rainforests which had lasted almost 15 years was successfully concluded. Participants included the provincial government of British Columbia, representatives of numerous Indian tribes, environmental organizations, the inhabitants of remote communities and a number of large companies from the wood, pulp and paper sector.

As customers of paper manufacturers that import cellulose from British Columbia, German magazine publishers, including Axel Springer SE, are also directly involved in this stakeholder process.

Under the title „Confl ict Resolution and British Columbia‘s Great Bear Rainforest“, a 30 page documentation about overcoming what at times was a violent confl ict was published in agreement with Greenpeace. It also includes valuable insights into the factors that can help to resolve confl icts for natural resources.

Among the most important recommendations are

1. Time, patience and a willingness to understand the other positions 2. Professional mediation and carefully documented minutes of meetings 3. A readiness to admit your own mistakes promptly 4. The ability to offer constructive alternatives 5. The potential inclusion of all stakeholders affected

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The selection of key sustainability issues

What is expected of our company? Which issues are of particular interest for users, for readers, for non-readers, for advertising and print customers, for employees, for shareholders or for environmental organizations that deal with sustainability issues in our industry?

Sustainability experts use the English term “stakeholders” for these “interest groups”. They are included in the discussion on the priorities of sustainability management. A continuous stakeholder dialog and stakeholder surveys allow an assessment of the general social interest.

We use various sources of information to classify the various concerns, – from market research among readers and customer surveys through the various Readers’ Advisory Councils up to the regular exchange with WWF, Greenpeace and Transparency International in countries such as Finland, Sweden, Russia, Canada, the USA, China, Uruguay and Brazil.

We consolidate the findings into a materiality matrix which yields the orientation and priorities of sustainability management. The topics are presented in the matrix according to their assessed relevance for the stakeholders on the one hand and for the company on the other.

The most important concerns of stakeholders in Axel Springer SE

1. Journalistic independence Essential for corporate sustainability as well as acceptance by readers, users and society.

How is this stakeholder concern managed? Investment in the training of journalists; Strengthening the values of freedom, democracy, the rule of law, competition, property, human rights, cosmopolitanism and tolerance through journalistic work; Separation of editorial copy and advertising; Code of Conduct and Compliance Management; Axel Springer Prize for Young Journalists; Commitment to Reporters Without Borders; Commitment to “fair share” and “fair search” for quasi-monopolistic search engines;

2. Product Responsibility and Customer Satisfaction Essential for corporate sustainability as well as acceptance by readers, users, advertising and print customers and society.

How is this stakeholder concern managed? Journalistic independence; Care in the treatment of sources; Innovative services for online users, readers and advertising customers; Customer service with the goal of becoming Europe‘s most customer-friendly media company; Data protection; Media protection of young persons; Safeguarding of social and environmental standards; Compliance with justice and the law; Measurement of own customer orientation;

3. Identification with employees and attractiveness as employer Essential for corporate sustainability as well as the binding of excellent, entrepreneurially-minded employees, for example in editing, software development, printing technology, marketing, distribution and management;

How is this stakeholder concern managed? Identity: We are and will remain a publishing house, a house of journalism; Mission: The successful establishment of independent journalism in the digital world; Objective: We want to be the world‘s leading digital publishing house;

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Variable remuneration; Pension plan; Family service; Modern cuisine and facilities; Onboarding; Net- working; Mentoring; Further training; Digital Campus; Talent Campus; Development opportunities; Equal opportunities and diversity; Health management;

4. Compliance with high standards (Corporate Governance, Compliance with Social and Environmental Standards) Essential for corporate sustainability as well as acceptance by employees, users/readers, customers and society;

How is this stakeholder concern managed? Strengthening of the values of freedom, democracy, the rule of law; competition, property, human rights, cosmopolitanism and tolerance through journalistic work; Good corporate governance as a central element of responsible corporate management and control; The Compliance Committee with representatives from the different divisions of the company acts to ensure cross-sector compliance; Compliance whistleblower system for employees, business associates and customers; International Social Policy; Environmental Guidelines;

5. Profitability (creativity and innovation capacity) Essential for the long-term viability of the company;

How is this stakeholder concern managed? Networking with the current generation of founders of digital start-ups; Developing an international digital portfolio with strong growth and profitability; Transformation of established strong media brands; Own new online developments; Strategically- oriented acquisitions of web companies;

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Insights and Perspectives

Where we orient ourselves As explained and described in detail in the 2015 Sustainability Report, these five points are among the material stakeholder concerns for our company:

• Journalistic Independence • Product Responsibility and Customer Satisfaction • Identification with Employees and Attractiveness as Employer • Compliance with high Standards (Corporate Governance, Compliance with Social and Environ- mental Standards) and • Profitability (Creativity and Innovative Capability).

What allows these five points to be ‘material’ and how they are dealt with in practice by the company is explained here, with numerous references to the relevant pages of this report.

The identification of Group-wide CO2 emissions Digitization requires electrical energy. To this end, Group Accounting is working on a lean procedure with which the electrical energy actually used in the company can be reliably identified. The energy quantities identified are multiplied by the country-specific CO2 emission factors published by the International Energy Agency (IEA) in Paris to determine the current carbon footprint. Key performance indicators, so-called “KPIs”, can be formed from the relationship to economic indicators such as sales, EBITA and the number of employees. Only on this basis can climate-related targets be realistically set, managed and reviewed.

With a special focus on the ecosystems of our planet, we have initiated another project, the course of which we will inform you about in our next Sustainability Report: We want to reduce the use of short- lived plastics in the company as far as possible and at the same time ensure that waste disposal at our locations worldwide is reliably recycled and under no circumstances unloaded illegally into the environment.

If you have any questions or suggestions, please do not hesitate to contact me.

Best regards Florian Nehm

Corporate Sustainability Officer Axel Springer SE Tel.: +49 30 2591 793 70 [email protected]

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Spheres of activity for 2018 and 2019

Spheres of activity Objectives and Measures Sustainability Management Expansion and optimization of the Further development of the reporting processes sustainability processes with a view to updated standards of the Global Reporting Initiative (GRI). Methodical further development of the data collected on the energy use of the entire company as well as implementation of pilot projects with service providers in the area of external data centers. “Separate Non-Financial Summary Report”: Preparation and publication of 2018 and 2019 editions on the basis of the “Act on Strengthe- ning the Non-Financial Reporting of Companies in their Management and Group Management Reports”. Employees Further increase in the proportion of women at all Through the “Chancen:gleich!” project which management levels as part of continuous cultural was launched in 2010, Axel Springer wants to change entrench more diversity in the company and to achieve a more equitable balance between women and men in leadership positions. This will include, among other things, the optimization of personnel processes and the setting of individual targets for each department. In 2010, the proportion was around 16 percent. As of December 31, 2017, the target of 30 percent set at that time had been exceeded – without a specified quota – at 32 percent on average for the company. Motivation and satisfaction of employees through Axel Springer wants to be a company in which a family-friendly environment employees are able to flexibly combine family commitments with their careers. The company has set an important example with its day nurseries in Berlin and Hamburg and its co-operation partner pme Familienservice.

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Promotion of employee health From apples to yoga courses: We want our employees to feel good – and do a lot to ensure this, because only healthy employees are ready to fly high. The three pillars of our health management system – exercise, nutrition and relaxation – provide preventative support in keeping fit: For example through co-operation with gyms and spine centers, with action days offering free health check-ups and screening, cooking workshops or even seminars and lectures on current topics. Offers from Personnel Development for “move” is an initiative launched by Personnel De- the digital transformation velopment and stands for awakening and movement. It is a call to dare something new together and to explore the undiscovered with curiosity. “move” includes a multitude of formats, measures and offers from Personnel Development, which deal with issues relating to the future and the digital world. Development of sustainability know-how Supporting the companies belonging to Axel Springer SE in the development of sustainability management and sustainability reporting. Value chain Measures to reduce waste We want to reduce the use of short-lived plastics in the company as far as possible and at the same time ensure that waste disposal at our locations worldwide is reliably recycled and under no circumstances unloaded illegally into the environment. General measures to improve energy and/or Identification of the amount of energy used CO2 efficiency through the entire company: In the course of digitization and internationalization the company had around 200 consolidated subsidiaries at the end of 2017 (the complete list is documented in the Annual Report). The amount of electrical energy used in the company and the resulting CO2 emissions are determined by Group Con- trolling. We want to record the electrical energy used directly or indirectly in external data centers for our company as a whole as accurately as possible, in order to derive from this the climate- impacting footprint and be able to influence it with the use of key performance indicators. Improvement of the energy and/or CO2 efficien- To improve energy efficiency and cost-effectiven- cy in the current operation of the data centers ess, the internal data centers at the German sites of Axel Springer SE have been largely dissolved and gradually transferred to external data centers. The use of the latest data technology is intended to improve CO2 efficiency, among other things. New methodological approaches are being developed together with server service providers to improve the allocation of specific energy use. 47

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Research into the innovation potential for the Exploration of opportunities for possible improvement of energy and/or CO2 efficiency in co-operation, for instance in the context of the entire process of digital data processing research projects. Improvement of the energy and/or CO2 efficien- Implementation of the recommendations arising cy at the digital workstation from the energy audit carried out at 23 locations in Germany in 2015 for the improvement of energy efficiency. This also includes the conversion to efficient LED lighting technology and energy-conscious behavior in everyday office life (light use, shutdown of electronic devices, etc.). The next energy audit will take place in 2019 as required by law. Improvement of CO2 efficiency in facility Improvement of the effectiveness of energy used: management Conception and commissioning of an energy audit for the entire company.

Improvement of the effectiveness of energy used: Investigation into whether and how individual rooms in the high-rise building of the Berlin publishing house could be heated or cooled in a more targeted manner.

Improvement of the effectiveness of energy used: Project to convert the refrigeration technology in the high-rise building of the Berlin publishing house.

Energy: Feasibility study for better performance regulation of the district heating connection in the high-rise building of the Berlin publishing house. Ahrensburg printing plant: Improvement of CO2 Completion of the conversion to LED lighting in efficiency the further processing department.

The introduction of a bonus scheme as an incentive to select hybrid vehicles as well as battery- powered electric vehicles as company cars;

Review of options to offer additional electrical “filling stations” in the underground car park of the Berlin publishing house. Kettwig printing plant: Improvement of energy Reduction of electricity consumption for coo- and CO2 efficiency ling, lighting, heating, compressed air generation; reduction of energy costs in the secondary process; raising awareness of energy among employees; Spandau printing plant: Improvement of the Reduction of the energy requirements by energy and CO2 efficiency 710,000 kWh electricity in comparison of the years 2015 and 2019 (This corresponds to the annual requirements of about 263 households).

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Improvement of CO2 efficiency in the field of Establishment of an internal cross-divisional pro- mobility ject group for the development of an alternative mobility approach. This includes, for example, incentive systems for downsizing company cars or mobility budgets to replace company cars. The goal is a holistic mobility strategy in the area of regional employee mobility. Upstream Value Chain Extension and strengthening of network contacts Clarification of customer interests in socially as part of Stakeholder Management defined standards for forestry and biodiversity through continuous contact for example with paper manufacturers, environmental organizations and others within the scope of the “Canadian Boreal Forest Agreement”. Continuous optimization of sustainability Specification of sustainability standards and standards and compliance with them within the risk criteria within the framework of the newly- framework of Group Purchasing’s supplier appointed Supply Relation Management process qualification. (SRM); Downstream Value Chain Further development of sustainability-related Use of experience in sustainability management services offered to customers for example to support print and advertising customers.

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Achievement of Objectives 2016/2017

Objectives for 2016 - 2017 Measure ACHIEVEMENT OF OBJECTIVES Sustainability Management Expansion and optimization of Further development of the Achieved: Structure of indica- the sustainability processes reporting processes with regard tors to be published adapted to to the requirements of the G4 the updated GRI guidelines. standard of the Global Re- porting Initiative (GRI). Completion of the data collec- Implemented: Project in Group ted on energy use for the entire Controlling for the development company. of suitable energy and CO2 indicators. Preparation of the necessary Implemented: Axel Springer SE prerequisites with a view to the published a non-financial state- “Act on Strengthening the Non- ment for the first time in April financial Reporting of Compa- 2018 (www.axelspringer.com/ nies in their Management and de/weitere-publikationen) Group Management Reports” . Employees An increase in the proportion Through the “Chancen:gleich!” By the end of 2017, the proof women in leadership posi- project which was launched in portion of women in leadership tions from the average of 25.8 2010, Axel Springer wants to positions across the Group had percent (2013) to over 30 per- entrench more diversity in the increased from 27.9% (2015) to cent (by 2018) throughout the company and to achieve a more 32%. company. equitable balance between women and men in leadership positions. This will include, among other things, the optimization of personnel processes and the setting of individual targets for each department. Motivation and satisfaction of Axel Springer wants to be a Initiatives such as parent net- employees. company in which employees works, networks for tech wo- are able to flexibly combine men and cross-company men- family commitments with their toring exclusively for women are careers. With day nurseries increasingly contributing to the near the company in Berlin and improved compatibility of work Hamburg and our co-operation and family. The LGBT network partner pme Familienservice, queer:seite! is supported by the company has sent initial the annual participation of the major signals. Executive Board at the Berlin Christopher Street Day.

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Promotion of employee health From apples to yoga courses: On Axel Springer Health Day We want our employees to feel in December 2017, everything good – and do a lot to ensu- revolved around health in the re this, because only healthy Axel Springer Passage in Berlin: employees are ready to fly high. From check-ups and lectures, The three pillars of our health for example on the work-life ba- management system – exer- lance and nutritional Christmas cise, nutrition and relaxation Survival training, to sporting ac- – provide preventative support tivities. The experts on site were in keeping fit: For example also happy to answer individual through co-operation with gyms questions from employees. and spine centers, with action days offering free health check- ups and screening, cooking workshops or even seminars and lectures on current topics. Offers from Personnel “move” is an initiative launched Artificial intelligence, data-based Development for the digital by Personnel Development business models. These are just transformation and stands for awakening and two examples of the numerous movement. It is a call to dare new technologies as well as something new together and new and further developments to explore the undiscovered that already determine our with curiosity. “move” includes everyday work. It’s easy to lose a multitude of formats, measu- track of what’s happening. To res and offers from Personnel this end, move offers dialog Development, which deal with formats that help employees to issues relating to the future and keep abreast of the latest deve- the digital world. lopments in the world of digitization. With the “Tech Break- fast: Bytes zum Brötchen”, “Early Bird Café” and “Learning Lunch”, three “move” projects were successfully introduced. Development of sustainability Support of subsidiaries in the Continuous, sometimes sponta- know-how area of digital services. neous, sometimes longer-term planned transfers of knowledge, experience and contacts as a stimulus and incentive for the expansion of our own activities at companies in which Axel Springer SE holds a consolidated interest.

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Value Chain General measures to improve Identification of the amount of The approach to identifying the energy and/or CO2 efficiency energy used through the entire total energy used in the compa- company: In the course of digi- ny was further developed. For tization and internationalization the sustainability report currently the company had around 180 being published, Group Con- consolidated subsidiaries at the trolling processed information end of 2015 (the complete list on electricity bills and operating is documented in the Annual cost accounts on the basis of Report). Existing reporting pro- a materiality analysis of iden- cedures in Group Accounting tified companies. To improve will in future be used in order the plausibility, projection and to identify the total amount of benchmarking of the data energy used in the company collected, additional information and the resulting CO2 emis- on office space as well as the sions. For this purpose, the number of employees working data collection tool “IAS Notes” in it was surveyed. which is interface-linked worldwide throughout the company was expanded to include a “Re- porting Energy” input mask. Improvement of the energy and/ To improve energy efficiency In order to determine the energy or CO2 efficiency in the current and cost-effectiveness, the used specifically for the storage operation of the data centers internal data centers at the Ger- of Axel Springer SE data at ex- man sites of Axel Springer SE ternal computer centers, negot- are being largely dissolved and iations were held with the major relocated step-by-step into the service providers on the timely central location (Unified Data introduction of systematic CO2 Center) of the digital business reporting. A first pilot project is service provider Atos SE. The envisaged for 2019. use of the latest data technology is intended to improve CO2 efficiency, among other things. Research into the innovation Exploration of possible op- Publication of an Axel Springer potential for the improvement of portunities for co-operation, SE case study in the Springer energy and/or CO2 efficiency in for instance in the context of Gabler Verlag collection “CSR the entire process of digital data research projects. and Digitization – Digital Change processing as an Opportunity and Challen- ge for Business and Society”. Improvement of the energy and/ Energy audit at locations in Ger- The measures resulting from or CO2 efficiency at the digital many: Implementation of the re- the 2015 energy audit were workstation commendations arising from the largely implemented by the end energy audit carried out at 23 of 2017. The complete list of locations in Germany in 2015 measures will be implemented for the improvement of energy by the end of 2018. The next efficiency. This also includes energy audit will take place in the conversion to efficient LED 2019. lighting technology and energy- conscious behavior in everyday office life (light use, shutdown of electronic devices, etc.).

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Improvement of CO2 efficiency Feasibility study on a possible The conversion to LED lamps in facility management investment in the latest refrige- for the portal lighting on the ration technology in the Berlin ground floor of the Axel Sprin- publishing houses; ger Passage in Berlin has been 100% completed. Renovation of the primary The renewal of the HHB ventila- ventilation system in the Berlin tion systems was completed in Publishing House Tower B (built 2017. From an energetic point in 1993) in accordance with of view, the saving is approx. 30 energetic aspects; %. The energy saving in relation to the old systems is approx. 20% electricity and 30% heat / refrigeration. Feasibility study with regard to The feasibility study was imple- the energetic renovation of the mented, followed by the plan- refrigeration plant for the high- ning assignment to the enginee- rise buildings (built in 1991); ring office and the invitation to tender. Energy audit at locations in Ger- For the Berlin publishing house many: Implementation of the re- location, the following areas commendations arising from the were renewed with LEDs as energy audit carried out at 23 part of the replacement invest- locations in Germany in 2015 ments in lighting technology: for the improvement of energy Elevator lobbies in high-rise efficiency. This also includes buildings, corridors in high- the conversion to efficient LED rise building A, HHB technical lighting technology and energy- center. conscious behavior in everyday office life (light use, shutdown of electronic devices, etc.). Ahrensburg printing plant: Partial conversion to LED ligh- 100% achieved. The lighting in Improvement of CO2 efficiency ting, for example in the work- the workshop rooms has been shop and the processing areas; completely converted. Up to now, 2/3 of the production lines in the processing hall have been gradually converted. Reduction of the consumpti- Achieved. In 2016, intensive on of compressed air through leakage checks were carried improved control of leaks, for out by a service provider. Leaks example. (including those caused by hardened compressed air hoses) were immediately repaired during this process.

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Kettwig printing plant: Impro- Reduction of the energy used Successfully implemented. With vement of the energy and CO2 for lighting (approx. 1,000 MWh) the goal of “Reducing the use of efficiency of the electricity and by 6 percent. energy in lighting” we were able refrigeration supply; Continua- to save 199,764 kWh per year tion of the conversion to LED in the expansion stage at the lighting end of 2017. We were able to expand LED lighting from 40.9 % of the built-up area to 54.7 %. One aspect that should also be mentioned positively here outside the evaluation is that the entire outdoor area has been converted to LED technology. A total of 11,000 KW per year have been saved in refrigerators including cooling towers. The energy savings for 2017 were approximately 1.14%. Kettwig printing plant: Impro- Leaks arise in the compressed In idle periods, the pressure of vement of the energy and CO2 air system due to porous hoses, the compressed air network efficiency through a reduction untight connections and de- was reduced to 6.3 bar. In in the consumption of com- fective seals, which push up addition, the pressure of the pressed air energy requirements. Energy re- compressed air network during quirements in this area are to be production periods was redu- reduced by 15 percent through ced from 8.0 bar to 7.5 bar. consistent monitoring. In addition, “Anti-leakage and untight components” drives are run at regular intervals.

Spandau printing plant: Impro- Spandau printing plant: Impro- The conversion of the 25 year- vement of the energy and CO2 vement of the energy and CO2 old printing presses was com- efficiency efficiency pleted by the end of 2016; printers are increasingly using this manual shutdown option. At the end of 2017, the compressed air center was modernized with a flexible control system and an additional smaller new compressor. At the beginning of 2018, the production facilities using compressed air were modified so that the compressed air network pressure could be reduced from 9.6 to 6.7 bar. In addition, an “anti-leakage and untight components” drive is running in classic maintenance style.

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Taken together, all these measures are designed to reduce electricity consumption for compressed air compared with 2015 by 17.5 % in 2018 and 24 % in 2019; this will save 253,000 kWh in 2018 and 343,000 kWh in 2019. The Spandau printing plant has been voluntarily certified to DIN ISO 50.001 since 2015 and operates an energy management system under the motto “Energy is used sparingly and purposefully”. The main focus is on consumption by non-production systems; in addition to compressed air, the focus is currently on lighting and vacuum. Since 2015 we have been converting the lighting to LED lamps in some areas. Electricity consumption for lighting is recorded in the category “Buildings (general distribution for power sockets and light)”. In 2018 we want to consume 430,000 kWh or 38 % less electricity than in 2015. For the further processing of the freshly printed newspapers into packages containing supplements, we require vacuum, which is provided from a technical center through a house network. In a similar way to the compressed air, this supply network is also being modified in such a way that it can be tem- porarily switched off completely or in most areas. In 2018, 18 % or 27,000 kWh of electricity for vacuum no longer supplied is to be saved compared with 2015.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Improvement of CO2 efficiency Further reductions in average The bonus regulation will be in the field of mobility CO2 emissions from compa- anchored in the company car ny cars through incentives to guidelines from 2018. (M. Wol- choose models with reduced lenberg) Since January 2015, CO2 emissions; Introduction of the allowances have been a bonus scheme as an incentive determined as follows: 25€ in to choose hybrid vehicles and addition to the leasing rate if the battery-powered electric vehic- CO2 value falls below 145g 50€ les as company cars; in addition to the leasing rate if the CO2 value falls below 125g Examination of options to There are now five electric par- offer additional electrical “filling king spaces in our underground stations” in the underground car park. Two from the auto car park of the Berlin publishing department and three from the house. fleet. Upstream Value Chain Extension and strengthening Clarification of customer inte- “N100” Conference at Axel of network contacts as part of rests in socially defined stan- Springer in Berlin with the Stakeholder Management dards for forestry and biodiver- previous winners of the German sity through continuous contact Sustainability Award, as well for example with paper manu- as sustainability experts from facturers, environmental orga- associations, research and civil nizations and others within the society (19 February 2015). scope of the “Canadian Boreal Forest Agreements”. “Canadian Boreal Forest Agree- ments”: Continuous exchange of views with representatives of the Canadian forest industry, the provincial government of Quebec, as well as with the environmental organizations Stand and Greenpeace. Continuous optimization of Specification of sustainability By obtaining more detailed sustainability standards and standards and risk criteria within supplier information, the Group compliance with them within the framework of the newly- Procurement department was the framework of Group appointed Supply Relation able to make a more speci- Purchasing’s supplier qualifica- Management process (SRM); fic selection and follow Axel tion. Springer’s sustainability and risk management guidelines. Downstream Value Chain Further development of sustai- Use of experience in sustaina- “N100” Conference at Axel nability-related service offers for bility management for example Springer in Berlin with the customers to support print and advertising previous winners of the German customers. Sustainability Award, as well as sustainability experts from associations, research and civil society (19 February 2015).

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Developments 1979 to 2017

The unusual architecture of the new Berlin building not only stands for the future of work, it is also a symbol of Axel Springer’s digital transformation. The design was made by the renowned Dutch architect Rem Koolhaas (Offi ce for Metro- politan Architecture), who prevailed over 17 architectural offi ces in a prior design competition. (Photo: Offi ce for Metropolitan Architecture / OMA)

2017

WELT correspondent Deniz Yücel is imprisoned in Turkey for alleged terror propaganda and incitement of the population. He is the fi rst journalist with a German passport to be arrested in Tur- key in the course of his reporting. After more than a year in detention, he is released in February 2018. In its indictment, the public prosecutor’s offi ce in Istanbul demanded up to 18 years imprisonment for the WELT correspondent.

Axel Springer SE reorganizes the publishing structure of its media brands and its marketing and sales activities in the German market. In order to make even better use of the differing potential of print and digital offerings, two separate publishing divisions were created in which the respective brands and teams are assigned. For this purpose, there is a bundling of the digital activities of the media brands with digital marketing within Media Impact, Customer Service and IT on the one hand, and the print offerings including print marketing, sales and printing plants on the other hand across all brands.

The fi rst TUESDAY TOWNHALL TALK was launched in October at Axel Springer’s Berlin publishing house. The global Axel Springer family met – live or via livestream – and the members of the Executive Board exchanged views with the company’s employees.

Barack Obama visits Axel Springer Berlin. On the occasion of his visit to Germany, former US President Barack Obama was a guest at Axel Springer. Chief Executive Offi cer Mathias Döpfner, along with the Obama Foundation, sent invitations to a small dinner and discussion with Obama in the Jour- nalists’ Club.

“Unity and justice and freedom”: Laying the foundation stone for the new Axel Springer building in Berlin In keeping with the tradition that the laying of the foundation stone for new publishing buildings or printing plants takes place on the publisher’s birthday, Axel Springer SE celebrated the laying of the foundation stone for the new Axel Springer building in Berlin in May. The spectacular concept for the thirteen-storey offi ce building, designed by Dutch architect Rem Koolhaas for the digital working world, offers space for 3500 workplaces.

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BILD celebrates its 65th birthday. 65 years ago, on 24 June 1952, the first BILD was published. From an idea of Axel Springer’s, a controversial, uncomfortable and above all passionate newspaper was born.

B.Z. celebrates its 140th birthday. The newspaper first appeared 140 years ago. Since then it has reported on Berlin‘s history, the worries and problems, joys and feelings, but above all on the people who make up this city.

Axel Springer brings DIE DAME back to the kiosk. From 1912 to 1937 DIE DAME was published as an “illustrated fashion magazine” by the Berlin publisher Ullstein-Verlag and targeted extravagant and emancipated women. With this in mind, Axel Springer Mediahouse Berlin relaunched DIE DAME in 2017.

13 design awards for Axel Springer newspapers. Every year, the best newspaper pages in the world are distinguished at the competition of the international Society for News Design (SND). BILD am SONNTAG, WELT and WELT AM SONNTAG won awards in several categories. BILD am SONN- TAG even received seven top awards.

2016

Schools of Journalism sign quality charter. Together with ten other training institutions for young journalists, the Axel Springer Akademie has signed a charter for common and binding quality standards. Its goal: to increase the quality of training and the attractiveness of the profession.

Official project start of the new Axel Springer building. On the occasion of the 50th anniversary of the inauguration of the Axel Springer skyscraper in Berlin, Axel Springer SE invited guests to a small ceremony in October to celebrate the official start of the new construction project.

European Newspaper Award: 52 awards for Axel Springer. At the 18th edition of the European Newspaper Awards, Europe’s largest newspaper competition, 52 prizes went to Axel Springer’s media brands. Particularly successful this year: WELT and BILD am SONNTAG

New security concept for the Berlin Axel-Springer-Passage. In order to enhance the security of Axel Springer Berlin employees, the building and side entrances in Zimmerstrasse and Rudi-Dutsch- ke-Strasse have been closed. Access to the publishing building is only possible via the main reception in Axel-Springer-Strasse and via the Markgrafenstrasse entrance.

Axel Springer launches Axel Springer Award – Mark Zuckerberg is first prizewinner. Mark Zuckerberg (31), founder and CEO of Facebook, is the first winner of the newly created Axel Springer Award, which from now on will be presented annually. The prize honors outstanding business personalities from Germany and abroad who are particularly innovative, who create and change markets, who shape culture and at the same time assume their social responsibility.

Introduction of an international version of the corporate principles. In conjunction with the German version, the international version of the Essentials has made it possible since March for all the employees in all the companies belonging to Axel Springer SE to stand up for freedom.

On the World Press Freedom Day, Axel Springer’s Berlin publishing house will be following the motto: “The best way to protect democracy is a free press”. Crossed pencils in the form of anti-tank barriers and the logo of the Federal Association of German Newspaper Publishers (BDZV) can be seen on the building’s LED screen. Axel Springer is thereby sending a widely visible signal advocating the freedom of reporting and supporting the BDZV campaign.

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2015

In August Ringier and Axel Springer celebrated the fifth anniversary of their eastern European joint venture. Ringier Axel Springer Switzerland AG, based in Zurich and Lausanne, was launched at the end of 2015 as a joint venture between Ringier AG and Axel Springer SE. The joint venture publishes around 30 titles, making it the largest magazine publisher in Switzerland.

The WELT Group and N24 continue their integration process. All the journalistic offerings from WELT and from N24 on the web, in print and on TV, will in future mention „WELT“ in their name. This means that in future N24 will also be called WELT. The goal is to become a leading digital medium for quality journalism.

A fireworks of prizes for the Axel Springer media brands at the Lead Awards 2015. With a total of 14 prizes – three golds, two silvers, one bronze, and eight accolades – Axel Springer wins more medals and honors than ever since the Lead Awards were established.

Axel Springer brings the NOAH Conference to Berlin for the first time. The representatives of young, digital companies meet the protagonists of traditional commercial enterprises to make contacts, learn and discuss the digital future.

Axel Springer’s digital magazine and newspaper kiosk, iKiosk, has expanded its portfolio, now available in five countries with around 500 publications from more than 100 publishers. Among the new offerings are the magazines „Newsweek“, „Brigitte“, „Geo“, „Freundin“ and „Instyle“ as well as the regional titles „Rhein-Zeitung“ and „Westdeutsche Allgemeine Zeitung“.

2014

Since the end of March, the BILD editorial office has been working in one of the most modern production facilities on the 16th floor of the Berlin Axel Springer Building. Numerous monitors display the news from around the world, incoming photos and videos, as well as traffic trends or themes that are taking off virally. In the center of everything is the Ring, in which it is determined daily which stories are present and how the editorial office can tell them ideally on all channels.

Rem Koolhaas wins the architectural competition. A new building opposite the Axel Springer building in Berlin will create additional space for the growing business divisions. Mathias Döpfner praises the design, which will be built in the coming years, for its „radical beauty“.

Funke Mediengruppe (FMG) takes over the titles “Berliner Morgenpost”, “Hamburger Abend- blatt”, “Bild der Frau”, “Frau von Heute”, “Hörzu” and “TV Digital”. Axel Springer and FMG have since been working together in the fields of marketing and distribution through service contracts.

Twelve press publishers, including Axel Springer SE, become shareholders in VG Media GmbH. The press publishers jointly acquire 50 percent of the shares, 50 percent remain with thirteen private TV and radio companies. With its entry in the commercial register, VG Media becomes the central collecting society of radio companies, television broadcasters and German publishers.

Axel Springer SE acquires 100 percent of N24 Media GmbH. In connection with the acquisition of the news channel, N24 and the WELT Group are merged to establish the leading multimedia news organization for quality journalism in the German-speaking world. At the same time, N24 becomes the central moving image provider for all Axel Springer brands.

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New business publication BILANZ is launched. Publisher Arno Balzer and editor-in-chief Klaus Boldt started work on 1 February 2014. They are developing the German edition of the leading Swiss business magazine, which is published by Axel Springer Switzerland.

With a new segmentation, Axel Springer is consistently aligning its financial reporting to the revenue structure of the publishing business. Axel Springer has divided its activities into three operating segments: Paid Models, Marketing Models and Classified Ad Models. There is additionally a Services/Holding segment.

2013

The transformation of Axel Springer AG into a European Company (Societas Europaea / SE) has been completed. The new legal form became formally effective on 2 December 2013 with its entry in the Commercial Register. This should underline and facilitate the company‘s European and international market orientation.

The Axel Springer publishing house announces the transfer of the regional newspapers BER- LINER MORGENPOST and HAMBURGER ABENDBLATT, the advertising papers in Berlin and Ham- burg, the five TV program guides and two women’s magazines as well as their related digital brands to FUNKE MEDIENGRUPPE.

Plug and Play Tech Center, one of the world‘s leading startup investors from Silicon Valley, together with Axel Springer, founded the accelerator „Axel Springer Plug and Play“ in Berlin.

The editorial offices of the tabloids, B.Z. and BILD are pooling their resources in order to face the challenges of digitization. B.Z., Berlin‘s largest newspaper, and BILD Berlin will be produced in a joint editorial office from November 2013. This co-operation will create Berlin‘s biggest regional newsroom.

2012

The Axel Springer Akademie is extending its range of courses and is launching a journalistic school for presenters with the „Frank Elstner Masterclass“.

100th birthday of Axel Springer, the publisher, journalist, and visionary freedom fighter Axel Sprin- ger would have celebrated his 100th birthday on May 2nd 2012. Axel Springer SE commemorated this day with a celebration in the Axel Springer Building in Berlin.

The Federal Ministry of Finance honors the publisher Axel Springer on the occasion of his 100th birthday with a special issue 55 cent stamp.

BILD celebrates its 60th „birthday“ and delivers a „free BILD for everyone“ one day before its birthday free of charge to all households in Germany.

DIE WELT introduces new subscription models for its digital services and is the first large Ger- man national news site to also launch a payment model for its previously freely accessible web page.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

2011

The WELT Group started its own, paid download portal for audio books under the name HÖRWELT in cooperation with audible, the provider of audiobook downloads, and offers a variety of current literature to listen to. Whether summer reading, quality literature, biographies or interesting information about politics and contemporary history: At www.welt.de/hoerwelt current and regularly changing titles can be found in the five subject areas of fiction, detective stories, non-fiction, classics and children‘s books, which are presented and given in-depth reviews by the WELT Group feature editors.

With its iPhone“Radtouren“ app, the HAMBURGER ABENDBLATT offers a digital selection of interesting routes. All of the starting and finishing points of the maps are connected with the city and regional network of the HVV. The app provides an overview of the distance traveled, speed, time and calories burned. The i Phone „Radtouren“ app from the HAMBURGER ABENDBLATT costs 2.99 euros and is available in the iTunes App Store.

2010

WELT Group supports World Press Freedom Day: DIE WELT and WELT KOMPAKT supported World Press Freedom Day as the exclusive media partners of the „Reporters without Borders“ organization. The front pages of the two daily WELT Group newspapers were published blank on 3 May - without lead stories, news, comments or photos. Instead, there was simply a small advert from „Reporters without Borders“ at the bottom right of the front pages, drawing readers‘ attention to the global significance and importance of press freedom. The day‘s front pages are published on this day on page three. The idea for this layout was developed by the „Scholz & Friends Hamburg“ agency. The full-page advertising space is provided free of charge by the WELT Group.

FUNK UHR awards Volunteer Prize: The program guide FUNK UHR and the advice magazine „ARD-Buffet“ jointly distinguished „Stille Helden des Alltags“ („silent everyday heroes“) for the second time. Winner of the Volunteer Prize in 2010 was Hedwig Hacker from Schnaittach for her initiative „Help for Women and Children in Need“. The first prize is endowed with 5,000 euros.

2009

International Sustainability Management: As a part of the internationalization of Axel Springer SE, Axel Springer Polska, Axel Springer France and Axel Springer Schweiz have introduced a number of measures to develop sustainability management.

Overcoming years of forestry conflict: On the west coast of Canada in March 2009, an ongoing negotiation process to find a balance between the use and protection of temperate rainforests lasting almost 15 years was successfully concluded. Participants included the provincial government of Bri- tish Columbia, representatives of numerous Indian tribes, environmental organizations, remote communities and a number of large companies from the wood, pulp and paper sector. German magazine publishers, as customers of cellulose importing paper manufacturers, including Axel Springer SE, are also directly involved in this stakeholder process.

CO2 calculator for newspapers: In cooperation with newspaper and magazine publishers and the German Printing and Media Industries Federation a CO2 calculator is developed which reflects the traditional production processes in print production.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

2008

Introduction of Leadership Principles: In 2008 leadership principles are introduced at Axel Sprin- ger. The principles should give managers scope for action, providing transparency with regard to the demands and expectations of the leadership role.

Donation Record: The 30th anniversary broadcast of the TV charity donation gala EIN HERZ FÜR KINDER (A HEART FOR CHILDREN) reaches a new donation record of € 15,105,639. The result is – in spite of the financial crisis – almost three million Euros above the donation record from the previous year. The BILD aid organization‘s live ZDF broadcast hosted by Thomas Gottschalk is a superlative TV evening with many moving moments and flashbacks.

New „School“ section: In response to the poor PISA results for the Hanseatic city, a „School“ page appears daily in the HAMBURGER ABENDBLATT. The specific information and opinion forum brings together the skills of the award-winning local city desk with the expert knowledge of specialists from the politics, science and business sections.

2007

Health Prize: For the fourth time BILD am SONNTAG - in co-operation with the Technical Health Insurance Company – awards the PULSUS Health Prize. This pays tribute to special achievements in the field of health and social commitment. The prize for the “Healthiest Elementary School of the Year” is awarded to schools which take an active interest in promoting health, for example by integrating Nutrition as a subject into the timetable or also offering many extracurricular sporting activities.

Prize for Committed Women: In the presence of Federal Minister for Family Affairs Ursula von der Leyen, BILD der FRAU awarded the “GOLDEN BILD der FRAU” Prize worth a total of 70,000 Euros for the second time to five socially committed women.

First “Hamburg Children’s Paper”: on the occasion of Universal Children’s Day, the first “Hamburg Children’s Paper” was published in the HAMBURGER ABENDBLATT. For one day 50 children aged between eight and fourteen took over the editorial office of this eight-page special supplement. They were able to determine all of the topics, select the photos and also decide on the layout. Experienced editors from the HAMBURGER ABENDBLATT lend them support as advisers. More than 500 children had applied to take part in the project.

“Save our Earth. Count me in!”: In order to familiarize the public with the complex of problems involved in climate change, the BILD newspaper started a co-operation project with the BUND, Greenpeace and WWF environmental associations. Under the motto “Save our Earth”, BILD publishes information on the background and possible solutions as well as giving tips for personal action.

Distinction: In the critical comparison of Sustainability Reports published by 150 German organizations carried out by the Institute for Environmental Management and Economics (IÖW) in 2007, the 2005 Sustainability Report of Axel Springer SE was rated eighth overall and second in the Environ- mental Protection segment. In the even smaller group of companies who publish their Sustainability Reports exclusively on the Internet, Axel Springer was rated first. In the rankings carried out over the past ten years, Axel Springer SE’s Sustainability Report, published every two years, has been ranked in the Top 10 five times.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

2006

Girls Day: Within the framework of the nationwide „Girls Day“ initiative, 180 young people informed themselves about training opportunities and everyday working life at Axel Springer SE. Employees’ children had an opportunity to get to know their parents’ workplace, gain an insight into everyday working life and find out about training opportunities at the company.

Against Violence and Racism in Football Stadiums: Through the distribution of the campaign sticker “STOP. No violence in the stadium!” with a part of the circulation as well as an editorial discussion, SPORT BILD is setting an example against violence, racism and Nazi terror in stadiums.

“Green Money”, the publication with the highest circulation by far in the environmental investment sector is published as a special issue in EURO am SONNTAG and EURO.

Nature in Germany is the focus of a new series of books which BILD is publishing along with WWF and the Weltbild publishing group. Each volume costs 5.95 Euros and has 120 pages. The six-volume series is divided into habitats: Life in the Forest, In Streams & Lakes, In the Mountains, On the Coast & by the Sea, In Fields & Meadows and In the Garden.

2005

Pilot project: Together with the paper manufacturer Stora Enso (Helsinki), the publishing houses Random House Group (London) and Time Inc. (New York) as well as the packaging manufacturer Tetra Pak (Stockholm), the publishing firm presents the project “From Russia with Transparency” (www.tikhvinproject.ru) . One of the main priorities is the promotion of sustainability as well as the fight against corruption in the cross-border timber trade for the manufacture of printing paper.

Distinction: In the critical comparison of the Sustainability Reports published by 150 German organizations, Axel Springer SE was fourth overall in the CAPITAL ranking, and first in the Environmental Protection segment.

2004

GRI: As the first media organization worldwide, Axel Springer SE publishes a Sustainability Report which complies with the Guidelines of the Global Reporting Initiative (GRI/www.globalreporting.org) and also fulfils the comprehensive catalog of criteria of so-called “in accordance” requirements of the GRI.

International Social Policy: In view of the company‘s growing international presence, Axel Sprin

ger SE has adopted a catalogue of social standards. It lays out the organization’s position on issues relating to human rights, the protection of children and young people, the qualification of its workforce and the achievement of a work/family balance.

Tiger Protection: HÖRZU offers new subscribers an interesting bonus offer. In future, everyone who subscribes to Germany’s biggest weekly television program guide for one year may instruct HÖRZU to utilize 50 Euros directly for a World Wide Fund For Nature (WWF) Tiger Protection Project in Indonesi- an Sumatra. The goal is to support the efforts to save the last remaining Sumatran tigers.

Distinction: For its “exemplary Commitment to Sustainable Development”, the publishing firm was awarded the Environmental Award 2004 (Major companies category) by the German Environmental Management Association (B.A.U.M.).

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2003

German Agro Action: The Small Change campaign raised a donation of EUR 25,000.-, which was given to the private Indian development aid organization „Social Work and Research Centre“ (SWRC). In cooperation with German Agro Action, this organization finances educational programs for schoolchildren in 50 villages in the Indian desert State of Rajasthan.

Eldercare: The sudden need of nursing care for an elderly relative can sometimes become a problem for working people. The Family Service therefore offers special advice and assistance when this situation arises.

2002

Distinction: In conjunction with project partners (Otto, UPM-Kymmene) the publishing firm wins the award for „Sustainable Development Partnerships“ from the International Chamber of Commerce (ICC) and the United Nations Environment Programme (UNEP) for sustainability initiatives along the paper chain.

Equality of opportunity: For the second time, the publishing firm is singled out for the „Total E-Qua- lity“ distinction for equal opportunities for and promotion of female employees. Family Service: Since March of 2002, the “Company Kids” kindergarten, an extension of the corporate Family Service, has been enabling parents to get quick and unbureaucratic assistance in emergency situations.

Forestry: Start of a pilot project with Russian forestry firms to improve safety at work in the harvesting of timber.

2001

Distinction: The first audited sustainability report appears. For this, Axel Springer wins the „German Environmental Reporting Award“ (2nd place) of the Deutsche Wirtschaftsprüfungskammer (German Chamber of Auditors).

Tracing Russian Wood Imports: Anybody can trace the origin of wood fiber in the Internet.

Distinction: Award of eleven environmental pins by the Studien- und Förderungsgesellschaft der Wirtschaft Schleswig-Holsteins (Society for the Study and Promotion of the Economy of Schleswig- Holstein) to members of staff of the company. Some of the prizewinners had modified water cooling systems in the Ahrensburg rotogravure printing facility to conserve energy.

Distinction: The Bundesvereinigung für innerbetriebliche Kommunikation (German Federal Associati- on for Internal Corporate Communications) awards the „Dr. Martin Nebe Prize“ to trainees of the Axel Springer group for their commitment to combating hostility towards foreigners.

2000

Cooperation: In cooperation with the Universities of Lüneburg and St. Gallen, with the companies Bahlsen and VW as well as the large Swiss bank UBS, the research project “Sustainability Balanced Scorecard” is born, the aims of which include investigating the inclusion of environmental management in strategic company management.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

1999

Pilot project to optimize the paper chain: from the family forestry firm in Norway to the finished magazine in the Ahrensburg printing facilities – exemplified by the magazine „Familie&Co“.

1997

Rapprochement: Dialog with foresters in Austria, Germany and Scandinavia who had protested against what they presumed would be economic disadvantages resulting from forest certification.

1995

European Environmental Management System (EMAS): Validation of the Ahrensburg newspaper and magazine printing facilities as the first in Europe to be validated according the voluntary EC Eco Audit.

1994

Reporting: The first Environmental Report is published.

1993

Transparency: Publication of the document „Printing paper and the Environment: Questions asked of Paper Suppliers to the Axel Springer publishing company“.

1979

Investment: Complete encapsulation of the rotogravure machines to reduce solvent emissions. International Social Policy: Mit Blick auf die wachsende internationale Präsenz des Verlages hat die

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Awards 2004-2017

Die Konrad-Adenauer-Stiftung zeichnete Friede Springer für ihre unternehmerischen Leistungen und ihr soziales Engagement aus. Die Laudatio hielt der ehemalige Bundespräsident Horst Köhler. (Foto: Axel Springer SE)

2017

Friede Springer awarded the Prize of the Deutsche Gesellschaft e. V. (German Society) Friede Springer receives the prize in recognition of her outstanding commitment and her decades of work for cooperation in Germany, the dialog between cultures, the dismantling of prejudices, as well as her advocacy of German-Israeli friendship and her support for political education in the sense of historical reappraisal.

Israel honors Axel Springer On the occasion of the Israeli Independence Day, Axel Springer was honored by the Economic and Trade Department of the Embassy of the State of Israel as one of four German companies for its longstanding commitment to the country.

Immowelt Group awarded the “Top Job” and “Fair Company” quality seals An open and team-oriented atmosphere, transparent work processes, a harmonious work-life balance and sound training of junior staff: These employer qualities have received several awards, including the “Top Job” and “Fair Company” quality seals. In addition, Immowelt AG, which belongs to the Immo- welt Group, was awarded the “Bavaria’s Best 50” prize for medium-sized companies three times, making it one of the 50 fastest-growing companies in Bavaria.

moveoffi ce project wins HR Excellence Award With its moveoffi ce project, the Change Management Team of Personnel Development has won the HR Excellence Award in the category “Employee Commitment & Collaboration”. The prize is awarded to innovative lighthouse projects in personnel management.

Aon Hewitt selects Profession.hu as best employer 2017 in its category The Hungarian job portal Profession.hu 94 was awarded the title “Best Employer in its Category” on the basis of outstanding results in the employee satisfaction survey.

Axel Springer Spain wins the “Madrid Empresa Flexible” Award Axel Springer Spain received an award in the medium-sized company category because the company uses part-time work as one of the most important measures to increase fl exibility.

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2016

Mathias Döpfner honored with “Arno Lustiger Honorary Prize” At the 4th German Israel Congress, Mathias Döpfner, CEO of Axel Springer, was awarded the “Arno Lustiger Honorary Prize”. The prize commemorates the historian and journalist Arno Lustiger and is awarded to public figures who have rendered outstanding services to the bilateral relations between the Federal Republic of Germany and the State of Israel.

World Economic Prize for Friede Springer Friede Springer received the award in the Business category as a pioneer of a cosmopolitan, free- market and social society. The prize is awarded annually by the Institut für Weltwirtschaft (“Institute for the World Economy”) with the support of the state capital Kiel and the Schleswig-Holstein Chamber of Industry and Commerce.

Axel Springer wins the Freedom House “Leadership Award” Axel Springer has been presented with the “Leadership Award” in Washington by the American non- governmental organization Freedom House. The award recognizes the long-standing commitment to freedom and the rejection of all forms of political extremism.

BILD receives a medal from the State of Israel The occasion was the anniversary of “50 years of diplomatic relations between Germany and Israel”. BILD and the Israeli newspaper “Yedioth Ahronoth” honored the diplomatic relations with a special topic on 12 May 2015.

BILD wins “Cannes Lions” At the international festival of creativity in Cannes, BILD wins the bronze lion in the category “Original Print & Publishing: Covers including Special or Limited Edition” with its unique edition “BILD ohne Bilder”. The advertising campaign “Das bringt nur BILD” (“Only BILD can do this!”) received the bronze lion in the “Integrated” category.

2015

The Konrad Adenauer Foundation honors Friede Springer with the “Social Market Economy Prize” The Konrad Adenauer Foundation awarded a prize to Friede Springer in Frankfurt for her entrepreneurial achievements and her social commitment. With her courage and pioneering spirit, Friede Sprin- ger has decisively influenced the development of Axel Springer SE into the leading digital publishing according to the findings of the jury. In addition to her outstanding entrepreneurial action, it is above all her social commitment which makes her the worthy prizewinner.

B.Z. and BILD Berlin-Brandenburg win award for social commitment The employees of B.Z. and BILD Berlin-Brandenburg are regularly involved in social projects and get stuck in. In the meantime, they have cleaned, painted or worked in the gardens of five institutions as part of the „Social Day”. For this, they were awarded a prize by Caritas of the Archdiocese of Berlin.

Mathias Döpfner presented the McCloy Award Mathias Döpfner was presented with the McCloy Award of the American Council on Germany in New York. He accepted the award for the special role played by the Axel Springer Publishing House in German reunification.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

PACE awarded the “Top 100” Innovation Prize again For the second time following 2013, the PACE Paparazzi Catering & Event GmbH was the only company from the catering and events industry to be awarded the “Top 100” Innovation Seal. The “com- pamedia GmbH” has awarded the “Top 100” seal of approval for particular innovative strength and outstanding innovation successes to medium-sized enterprises since 1993.

Grand Prix Awards for inside.mag At the award ceremony of the “inkom. Grand Prix 2015”, the media prize for internal communication of the German Public Relations Society (DPRG), Axel Springer won the prize for one of the best employees magazines in Germany for the sixth time. The magazine received an award in gold for its interview with CEO Mathias Döpfner in issue 1/2015. The entire issue was presented with a bronze award.

German PR Prize for employer communication at Axel Springer The employer brand campaign of Axel Springer has received the international German PR prize in the category “Employer Branding and Personnel Communication”.

2014

Offset printing works in Ahrensburg once again in the world’s best newspaper printers club Together with WELT, the offset printing facility in Ahrensburg has once again been awarded membership of the WAN-IFRA Newspaper Color Quality Club. Companies which have successfully taken part in a quality test competition are admitted into this circle. The leading industry association WAN-IFRA holds this international competition in which participants are assessed every 2 years on the basis of the criteria of repro and printing quality.

PACE receives industry award for community catering The PACE Paparazzi Catering & Event GmbH was awarded the “Frankfurter Prize - Grand Prize of German Community Catering” by the business magazine gv-praxis. Every two years the prize is awarded to recognize pioneering conceptual as well as entrepreneurial and personal achievements in the market of community catering.

World Jewish Congress presents Axel Springer the Theodor Herzl Award The World Jewish Congress posthumously honored the publisher Axel Springer in the Jewish Muse- um in Berlin with the prestigious Theodor Herzl Award. In her laudatory speech, Chellah Safra, Treasu- rer of the World Jewish Congress, recalled the numerous donations by Axel Springer for institutions in Israel and the principles of Axel Springer, which until today, in addition to a commitment to democracy and freedom, also provide for reconciliation with the Jewish people.

Mathias Döpfner presented B‘nai B‘rith Europe honorary award Mathias Döpfner has been presented with the “B‘nai B‘rith Europe Award of Merit” for his commitment to the fight against anti-Semitism. The “B‘nai B‘rith” order – in English “Children of the Covenant” – is one of the world‘s largest Jewish organizations and is committed to combating racism and anti-Semi- tism. It commends Döpfner as a friend and a supporter of the State of Israel and the Jewish people.

Gold Award for inside.mag The inside.mag was once again presented a gold award at the “inkom. Grand Prix 2014”, the media prize for internal communication of the German Public Relations Society (DPRG).

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2013

Axel Springer‘s Code of Conduct occupies second place within Germany in a European study The „Compliance Insider“ magazine published a study of European Codes of Conduct. The aim of this study was to assess the current landscape of codes of conduct in three European countries. In this study, fifty codes were investigated from France, Germany and Switzerland respectively. The Axel Springer Code of Conduct was rated second in Germany.

inside.mag employee magazine wins two Gold Awards The Axel Springer employee magazine won two Gold Awards at the inkom. Grand Prix 2013, the Media Prize for internal communication awarded by the German Public Relations Association (DPRG). The Prize was awarded for the overall concept and the photo story „California, here we are“ by BILD editor-in-chief Kai Diekmann. This means that inside.mag is one of the best employee publications in Germany, Austria and Switzerland. The 2013 Awards continue a success story: inside.mag had previously won the inkom. 2009, 2010 and 2011.

PACE Paparazzi Catering & Event GmbH wins Gold at the „DEHOGA Environmental Check“ Paparazzi (Axel Springer SE Berlin company restaurant ) was awarded with Gold at the „DEHOGA Environmental Check“ for environmentally conscious and sustainable action. The participants in the „DEHOGA Environmental Check“ must undergo a critical review of the sectors of energy and water consumption, waste generation or residual waste, and food, such as for example, their regional purchasing. PACE has been successfully focusing on sustainable management for a number of years.

Ahrensburg offset printing works wins award for digital inkjet printing At the award ceremony of the „PrintStars 2013“, the Innovation Awards of the German Printing Indust- ry, Ahrensburg offset printing works won first prize in the „Newspaper Products“ category. The printing works was honored for its digital inkjet printing, which was developed with the manufacturers „Kodak“ and „manroland websystems“ from the idea to the production stage.

Dorothea Siems awarded Journalism-Prize by the Friedrich-August-von-Hayek-Stiftung Dorothea Siems, senior economic policy correspondent at DIE WELT, wins the prestigious Journalism Prize of the Friedrich-August-von-Hayek-Stiftung. She received the award „for her tireless commitment in her commentaries and reporting to those regulatory principles essential for a liberal and market economy system“, explained the Board of Trustees chaired by former Federal President Roman Herzog.

Mathias Döpfner is „European Manager of the Year 2013“ The European Business Press Association (EBP) presented its „European Manager of the Year 2013“ award to Mathias Döpfner. The „European Manager of the Year“ has been awarded annually by the EBP since 1991. The European Business Press is a federation of 48 European business newspapers and magazines from 27 countries, including „The Wall Street Journal Europe“, „Handelsblatt“ and „Les Echos“.

2012

Mathias Döpfner receives „Strategist of the Year“ award for Axel Springer‘s digitization strategy For the ninth time in succession, the daily „Financial Times Deutschland“, strategic advice consultants Bain & Company and the WHU business school have nominated successful CEOs of listed companies as „Strategist of the Year“. Mathias Döpfner received the award in the „medium-sized enterprises“ category.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Golden Medal of Merit for the B.Z. „Berliner Heroes“ campaign As a sign of gratitude and in appreciation of the important and dedicated work by the B.Z. Heroes editorial office, the Unionhilfswerk-Landesverband (State Association of the Union Relief Organization) awarded the editorial office of the Berlin Heroes with the association‘s Golden Medal of Merit.

Ahrensburg offset printing works wins UNESCO award Axel Springer SE‘s offset printing works in Ahrensburg has been presented an award by UNESCO for its particular commitment to school projects in the environmental field. The printing works has been working with Ahrensburg schools on environmental, economic and social issues since 2008. This cooperation has now been honored by the German UNESCO Commission within the framework of the UN Decade of „Education for Sustainable Development“.

Environmental Protection Pin for Ahrensburg Offset Printing Works Stephan Wellnitz, Sales Manager in the Customer Center of the Ahrensburg offset printing works, has been awarded the Environmental Protection Pin of the Studien- und Fördergesellschaft der Schles- wig-Holsteinischen Wirtschaft e.V. (Society for the Study and Support of the Economy in Schleswig- Holstein) in Kiel for his environmental commitment.

PACE receives award for „ESSENTIA“ menu line The „Initiative Zukunft Ernährung“ („Initiative Future Nutrition“) (IZE) has presented PACE with its „Fu- ture Nutrition Award“ for the self-developed „ESSENTIA – healthy. fresh. delicious!“ menu line.

Konrad Adenauer Foundation honors Axel Springer The Konrad Adenauer Foundation (KAS) has honored Axel Springer on the occasion of his 100th birthday with a symposium entitled: „Axel Springer – perseverance and dissent“. Prof. Hans-Peter Schwarz, author of the recent Axel Springer biography, held the laudatory speech and praised Axel Springer as a „memorable, really important personality with strong convictions“.

2011

Axel Springer awarded audit certificate for family-friendlly policies The Herti foundation has offered the „berufundfamilie“ (work and family) audit to companies that want to further develop their family-friendliness since 1998. The result for 2011 certifies that Axel Springer SE has an above average degree of commitment to family-friendly personnel policies. As part of a comprehensive auditing procedure the inventory of the company‘s services for improving the work/ family balance was assessed.

„Prime“ in sustainability ratings The rating agency oekom research, which specializes in sustainability issues, assessed Axel Springer SE with a overall rating of C+ and classified it as „prime“. This qualifies the company‘s securities traded on the market for an investment from an ecological and social point of view.

Placed 11th in the IÖW/future-Ranking of sustainability reports The reports of the 150 largest German industry and service companies are evaluated in the IÖW/ future-Ranking of large companies. The first three positions in the ranking of large companies were taken by the companies BMW, Siemens, and BASF. Axel Springer SE‘s ranking improved from 23rd (2009) to 11th place.

Best staff publication The Axel Springer staff magazine inside.mag was acclaimed as best staff publication for the third time in a row at the inkom. Grand Prix. The media prize for internal communication is awarded annually by the German Public Relations Society (DPRG) and is intended for publications from Germany, Austria and Switzerland. Axel Springer SE prevailed against 70 other staff magazines and newspapers, including Deutsche Telekom, Deutsche Bank and Volkswagen. 70

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2010

TOTAL E-QUALITY distinction The company was awarded the TOTAL E-QUALITY distinction for the successful implementation of equal opportunities. „As the first media enterprise, Axel Springer has been a member of the “Women in the Economy” Forum since 1999, in which equal opportunities and diversity representatives from 20 well-known major German companies have joined together“, according to the jury statement.

School Projects at the Ahrensburg Offset Printing Works For their commitment in school projects Eight employees from Ahrensburg offset printing works have been awarded the Environmental Protection Pin of the Studien- und Fördergesellschaft der Schles- wig-Holsteinischen Wirtschaft e.V. (Society for the Study and Support of the Economy in Schleswig- Holstein) at a ceremony in Rendsburg attended by Minister President Peter Harry Carstensen.

„Prize for Civic Engagement“ and „Silver Badge“ for B.Z. „Berlin Heroes“ campaign The B. Z. was awarded the German Prize for Civic Engagement 2010 in the Business category for its major „Berlin Heroes“ campaign, as well as the Silver Badge of the Paritätischen Wohlfahrtverbandes Berlin (Berlin joint charity association). „The ‚Berlin Heroes‘ campaign addresses people who want to tackle problems“ said the laudation. And: „Through continuous reporting, the topic of volunteering in Berlin has had its visibility considerably increased.“

Health management with „Corporate Health Award“ The health of its employees is very important to Axel Springer. The health management campaigns include numerous exercise programs, lectures and medical checkups. For these Axel Springer SE was awarded the seal of excellence at the „Corporate Health Awards“.

2009

Herbert Quandt Media Award for „Kinderleicht“ („Child‘s Play“) The WELT am SONNTAG was awarded the prestigious Herbert Quandt Media Award 2009 for the idea and concept of the „Kinderleicht“ series. The „Kinderleicht“ supplement answers questions that adults do not dare to ask. The series addresses economic issues from the perspective of children and adolescents and makes complex issues understandable.

„Kinderleicht“ was also awarded the Ernst Schneider Prize and the European Newspaper Award.

2008

Axel Springer is presented the “German Sustainability Award 2008” Axel Springer SE won the “German Sustainability Award 2008” in the category of “Most Sustainable Purchasing”. The award was for the “numerous initiatives, above all in the area of Purchasing, which have led to clear improvements in sustainability”, according to the jury statement.

The German Sustainability Award is awarded to companies which combine economic success with social responsibility and the conservation of the environment in an exemplary fashion - and make use of sustainable action for additional growth. The jury received applications from 350 companies, including more than half of the DAX 30 companies.

Distinction in oekom research rating The rating agency oekom research AG, Munich, which specializes in sustainability, has had a closer look at 24 of the world‘s most important listed media enterprises. Axel Springer SE was ranked third after the British television channel ITV and the British scientific publisher Reed Elsevier.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Essen-Kettwig offset printing works receives EMAS Award 2008 The Essen-Kettwig offset printing works received the EMAS Award 2008 in the „Large Organizations“ category. With the introduction of an energy management system for all types of energy and targeted investments, the offset printing works was able to significantly reduce all greenhouse gases as well as energy consumption from 2005 to 2007. The Essen-Kettwig offset printing works has been validated regularly according to the EU Eco Audit (EMAS) since 1997.

NEWSWEEK editor-in-chief receives award for outstanding journalism The editor-in-chief of the Russian edition of NEWSWEEK, Mikhail Fishman, was awarded this year‘s „Prize for Excellence in Journalism“ by the Paul Klebnikov Fund in New York. The prize for the 35-year-old is a stay of several weeks in the American NEWSWEEK editorial office. The Paul Klebnikov Fund is committed to the independence of Russian media and presents awards every year to journalists for their commitment.

2007

Axel Springer‘s vocational training is awarded prize The Chamber of Industry and Commerce and the Berlin Chamber of Skilled Crafts awarded prizes to training companies for their “excellent vocational training performance”. These companies also included Axel Springer SE, which offers apprenticeships for printers, media designers and industrial me- chanics, as well as various occupations in the business area.

The Institute for Environmental Management and Economics (IÖW): Right up front with the online Sustainability Report In the critical comparison of Sustainability Reports from 150 German organizations in 2007 carried out by the Institute for Environmental Management and Economics (IÖW), the Sustainability Report 2005 of Axel Springer SE was rated eighth overall and second in the Environmental Protection segment. In the even smaller group of companies who publish their Sustainability Reports exclusively on the Inter- net, Axel Springer SE was rated first. In the rankings carried out over the past ten years, Axel Springer SE‘s Sustainability Report, published every two years, has been ranked in the Top 10 five times.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Our Responsibility as a Media Company

Responsibility at Axel Springer has many facets: These include a clear standpoint, journalistic independence, commitment to the concerns of the media and the training and promotion of young journalists.

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Two examples of journalistic courage

On 25 February 2018, Slovak journalist Ján Kuciak (27) and his fi ancée Martina Kušnírová (27) were found murdered near the Slovak capital Bratislava. Ján Kuciak had been an editor of the news portal aktuality.sk., which belongs to Ringier Axel Springer Slovakia, since 2015. (Photo: AllForJan)

“We are shocked and horrifi ed by the news that Ján Kuciak and his partner seem to have been the victims of a cruel attack. Even though the background to the crime has not yet been fully clarifi ed, there are grounds for suspecting that the crime is connected with an ongoing investigation by our colleague. Ján Kuciak had been an editor of the news portal aktuality.sk, which belongs to Ringier Axel Springer Slovakia, since 2015. We mourn with the families, friends, and colleagues; we will do everything we can to help the investigating authorities to fi nd the perpetrator(s). Should the assassina- tion prove to have been an attempt to prevent an independent publishing house such as Ringier Axel Springer Slovakia from uncovering abuses, we will take this as an opportunity to carry out our journalistic mission even more conscientiously and consistently.” (Announcement by Ringier Axel Springer Slovakia, Ringier Axel Springer Media AG, Ringier AG and Axel Springer SE on 26 February 2018).

Ján Kuciak was unable to complete his research. On 25 February 2018, the reporter from the Slovak news portal aktuality.sk was shot dead with his fi ancée Martina Kusnirova in their house in the village of Velka Maca. Kuciak‘s latest research revolved around possible connections between the Calabri- an mafi a ‘Ndrangheta and the highest spheres of Slovak politics. Kuciak had discovered that a close advisor to Slovak Prime Minister Robert Fico, Maria Troskova, and the head of the Slovak National Security Council, Viliam Jasan, had ties to a dubious Calabrian businessman named Antonino Vadala. Numerous resignations, including that of Prime Minister Robert Fico, plunged Slovakia into a national crisis. The Italian Vadala has lived in Slovakia for years and is involved in a variety of obscure companies, from farms to biogas plants. Numerous indications suggest that Vadala is connected with the ‘Ndrangheta, money from dark sources has been invested time and again in his companies.

In recent years, Vadala has had to face criminal proceedings on a number of grounds, including the illegal possession of weapons and suspicion of fraudulent speculation and VAT fraud. There are also indications that his companies were involved in agricultural subsidy fraud and money laundering. Ján Kuciak was no longer able to prove this.

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WELT correspondent Deniz Yücel spent 368 days without charge in a Turkish prison and was released on 16 February 2018 thanks to extensive diplomatic efforts. (Photo: Axel Springer SE)

Deniz Yücel was arrested in Turkey on 14 February 2017. He remained in custody until 16 February 2018. The absurd accusations in the so-called “Yücel case” were “terrorist propaganda” and “incitement of the people”. The WELT correspondent shares the fate of many journalist colleagues who are deprived of their freedom by the Erdogan regime for fear of critical and independent reporting. But Deniz Yücel’s texts, which he dictated to his lawyers in prison, show that his courage, his passion and his desire for freedom remained unbroken even after months of solitary confi nement.

WELT correspondent Deniz Yücel spent 368 days in prison in Turkey – a large number of them in solitary confi nement. 368 days of despair, 368 days hoping for release.

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Guidelines to Safeguard the Independence of Journalism at Axel Springer

The main entrance of the Axel Springer Building in Berlin. (Photo: Axel Springer SE) The guidelines specify and extend the company’s understanding of the publishing principles of the press code of conduct issued by the German Press Council.

Observance of the guidelines by all editors in their journalistic endeavors safeguards the general conditions that make independent and critical journalism possible. The editors-in-chief are responsible for the observance of the guidelines and their implementation in day-to-day business. The guidelines deal with the distinction between advertising and editorial copy as well as between editors’ personal and professional interests, prevent the exercise of personal advantage and defi ne a position with respect to the treatment of sources.

Preamble

The editors of Axel Springer SE are aware of their responsibility for providing information and shaping public opinion in Germany. Independence is essential as a basis for their work.

The chief editors are responsible for adherence to the guidelines and their implementation in day-today work.

Advertising

The journalists at Axel Springer

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

• shall resist attempts by advertisers or interested parties to influence content, and enter no agreements that might jeopardize their independence as journalists. Merchandising campaigns and media partnerships must be identified as such where necessary.

Personal and business interests

This is the subject of Points 6 and 7 of the Press Code.

The journalists at Axel Springer

Invitations, gifts and press trips

The journalists at Axel Springer

• shall not accept any gifts that constitute a personal benefit or, if it is impossible to refuse them, shall pass them on to the company, which will then give them to a charity.

Treatment of sources

The journalists at Axel Springer

• shall in all cases make sure that interviews are authorized verbally or in writing by the person interviewed, even if time is very short, unless other agreements are documented. 77

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Principles for the Freedom of the Press

„Medien und Journalisten haben Anspruch auf ungehinderten Zugang zu allen Nachrichten und Informationsquellen. Der Öf- fentlichkeit jedes Staates ist freier Zugang zu allen nationalen wie ausländischen Medien und Informationsquellen zu gewäh- ren.“ (Quelle Illustration: Code of Conduct/Axel Springer SE; Quelle Text: „Europäische Charta für Pressefreiheit“

48 editors-in-chief and senior journalists from 19 countries adopted the fi rst „European Charter on Freedom of the Press“ on 25 May 2009 in Hamburg. This Charter formulates principles for the freedom of the press from government intervention, and in particular for their right to safety from surveillance, electronic eavesdropping and searches of editorial departments and computers, and to unimpeded access for journalists and citizens to all domestic and foreign sources of information.

The Charter was subsequently notifi ed to the EU Commission in Brussels, in order to assert its validity throughout the Community and to make its adoption a condition in EU accession negotiations.

European Charter on Freedom of the Press

Article 1: Freedom of the press is essential to a democratic society. To uphold and protect it, and to respect its diversity and its political, social and cultural missions, is the mandate of all governments.

Article 2: Censorship is impermissible. Independent journalism in all media is free of persecution and repression, without a guarantee of political or regulatory interference by government. Press and online media shall not be subject to state licensing.

Article 3: The right of journalists and media to gather and disseminate information and opinions must not be threatened, restricted or made subject to punishment.

Article 4: The protection of journalistic sources shall be strictly upheld. Surveillance of, electronic eavesdropping on or searches of newsrooms, private rooms or journalists’ computers with the aim of identifying sources of information or infringing on editorial confi dentiality are unacceptable.

Article 5: All states must ensure that the media have the full protection of the law and the authorities while carrying out their role. This applies in particular to defending journalists and their employees from harassment and/or physical attack. Threats to or violations of these rights must be carefully investigated and punished by the judiciary.

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Article 6: The economic livelihood of the media must not be endangered by the state or by state- controlled institutions. The threat of economic sanctions is also unacceptable. Private-sector companies must respect the journalistic freedom of the media. They shall neither exert pressure on journalistic content nor attempt to mix commercial content with journalistic content.

Article 7: State or state-controlled institutions shall not hinder the freedom of access of the media and journalists to information. They have a duty to support them in their mandate to provide information.

Article 8: Media and journalists have a right to unimpeded access to all news and information sources, including those from abroad. For their reporting, foreign journalists should be provided with visas, accreditation and other required documents without delay.

Article 9: The public of any state shall be granted free access to all national and foreign media and sources of information.

The government shall not restrict entry into the profession of journalism.

Further information can be found at www.pressfreedom.eu.

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Declaration on the protection of intellectual property

„The Internet offers immense opportunities to professional journalism. But only if the basis for profi tability remains secure throughout the digital channels of distribution. This is currently not the case.“

In 2009, the European Publishers Council (EPC), of which Axel Springer SE is also a member, presented the EU Commission the „Hamburg Declaration on the protection of intellectual property“. The declaration is supported by the World Association of Newspapers and News Publishers‘ (WAN-IFRA) and has in the meantime been signed internationally by a large number of publishers and publishing managers.

Hamburg Declaration on the protection of intellectual property

Numerous providers are using the work of authors, publishers and broadcasters without paying for it. Over the long term, this threatens the production of high-quality content and the existence of independent journalism.

For this reason, we advocate strongly urgent improvements in the protection of intellectual property on the Internet. Universal access to websites does not necessarily mean access at no cost. We disagree with those who maintain that freedom of information is only established when everything is available at no cost.

Universal access to our services should be available, but going forward we no longer wish to be forced to give away property without having granted permission.

We therefore welcome the growing resolve of federal and state governments all over the world to continue to support the protection of the rights of authors, publishers and broadcasters on the Internet.

There should be no parts of the Internet where laws do not apply. Legislators and governments at the national and international level should protect more effectively the intellectual creation of value by authors, publishers and broadcasters. Unauthorized use of intellectual property must remain prohibited whatever the means of distribution.

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Ultimately, the fundamental principle that no democracy can thrive without independent journalism must also apply to the World Wide Web.“ The first signatories included Frederic Aurand (Groupe Hersant, France), Francisco Balsemão (Impre- sa, Portugal), Carlo De Benedetti (Editoriale L‘Espresso, Italy), Carl-Johan Bonnier (Bonnier, Sweden), Oscar Bronner (Der Standard, Austria), Bernd Buchholz (Gruner + Jahr, Germany), Hubert Burda (Burda Media, Germany), Mathias Döpfner (Axel Springer SE, Germany), Hanzade Dogan (Milliyet, Turkey), Stefan von Holtzbrinck (Verlagsgruppe Georg von Holtzbrinck, Germany), Patrick Morley (Te- legraaf Media Group, The Netherlands), James Murdoch (News Corporation Europe and Asia), Horst Pirker (Styria, Austria), Didier Quillot (Lagadére, France), Gavin O‘Reilly (Independent News and Media, Ireland), Michael Ringier (Ringier, Switzerland), The Viscount Rothermere (Daily Mail and General Trust, Great Britain), Ian Smith (Reed Elsevier, Great Britain/The Netherlands), Hannu Syrjanen (Sanoma, Finland), Robert Thomson (Dow Jones and Wall Street Journal), Giorgio Valerio (RCS Quotidiani, Italy) and Christian Van Thillo (de Persgroep, Belgium).

Dr. Mathias Döpfner, Chief Executive Officer of Axel Springer SE, said: „I am pleased with this international appeal by publishers. It is an important step in the interests of the global Internet community. The Internet is not the enemy, but rather the future of journalism, providing intellectual property is also respected in the digital world. There are above all two objectives: A fair share of the revenues generated by those who are commercially exploiting our content, and in addition, the development of a market for paid content in the digital world. We are confident that the representatives of search engines and other aggregators will also want to join us in recognizing, developing and sharing together the market opportunities for legitimate paid content in the Internet.“

WAN-IFRA president Gavin O‘Reilly said: „We are continuing to attract an increasingly larger audience for our content. But, unlike the Print or TV business models we are not making any money from our content. This is an untenable situation. Publishers failing will benefit no-one, least of all consumers, or indeed the search engines and other aggregators who currently make huge profits on the back of our intellectual property.“

EPC president Francisco Pinto Balsemão added: „A fundamental safeguard of democratic society is a free, diverse and independent press. Without control over our intellectual property rights, the future of quality journalism is at stake. And at the same time our ability to provide our consumers with quality and varied information, education and entertainment on the many platforms they enjoy. With this declaration we call on governments worldwide to support the copyright of authors, publishers and broadcasters on the Internet.“

You can find the full text of the „Hamburg Declaration“ at www.hamburgdeclaration.org.

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Schools of Journalism Quality Charter

Together with ten other training institutions, the Axel Springer Akademie has signed a charter for common and binding quality standards for young journalists. Its goal: to increase the quality of training and the attractiveness of the profession.

The Charter, which was presented to the public on 8 July 2016, contains a commitment to maximum transparency. The schools provide comprehensive information about their structure, financing, staff, shareholders, equipment, trainers and teaching content. The application requirements and selection criteria will be disclosed.

Jörg Sadrozinski, Head and Managing Director of the German School of Journalism in Munich: “There are no common quality standards in the training of journalists in Germany, but there are hundreds of different ways to learn journalism. These range from cultural, video and fashion journalism to digital or new media journalism right through to journalism & PR. We need common standards and orientation - otherwise journalism will become more and more arbitrary and thus less credible”.

The most important points at a glance:

• All schools train full-time. • Training lasts a minimum of 16 months and a maximum of 24 months. When accompanying a course of study, the training should generally last a maximum of 36 months. • The training courses are in principle multi-medial. The participants (trainees) should be made capable of working with practical skill in at least three of the five areas – print, audio (radio), online, video (TV) and social media • The proportion of practical placements amounts to at least a quarter of the total training period. At least two different practical placements are offered. • The objectives and content of the training are described in detail on the school’s website. • The schools quantify and describe the number and equipment of teaching and working rooms and guarantee professionally equipped workplaces for the participants (trainees). • The schools ensure appropriate quality management and systematic feedback for their training courses and seminars. These are subject to continuous quality control by the school management. • The schools attach importance to the regular further training of their trainers. • The heads of the signatory schools meet at least once a year for an intensive exchange of information on teaching content, organizational and equipment issues. They also intend to check the suitability of their equipment.

There are of course different training paths in journalism. The schools of journalism want to make a contribution to the quality assurance of the training and define minimum standards exclusively for their type of training. However, the Charter certainly also aims to stimulate a debate on the overall quality of training.

The following institutes participated in the signing of the “Quality Charter of German Schools of Jour- nalism”: Axel Springer Akademie, Burda School of Journalism, DJS - German School of Journalism, EJS - Protestant School of Journalism, ems - Electronic Media School, Henri-Nannen-Schule - Ham- burg School of Journalism, ifp - the Catholic School of Journalism, Journalist Academy of the Kon- rad Adenauer Foundation, Cologne School of Journalism, MEDIENAKADEMIE Ruhr, RTL School of Journalism.

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Product responsibility through verifi cation of the facts

A report by Teresa Pfützner and Jan Langshausen, trainees at the Axel Springer Akademie

Saturday evening, 8.44 pm: A smartphone vibrates in the BILD editorial offi ce - the death message comes via WhatsApp. There has been a poison gas attack in the Syrian city of Douma, it says. “Six dead and 700 injured”, it continues. In addition: “This information is not yet verifi ed”. Then the message ends.

Julian Röpcke, BILD reporter and Syria expert, looks up briefl y from his smartphone. The large television screens that hang from the ceiling of the editorial offi ce and otherwise show foreign news broad- casts are already black, most of the desks are empty. Late shift on the politics desk. Röpcke’s gaze drifts back to his smartphone. He waits. For more information, images, videos. But the WhatsApp chat remains silent. 700 casualties? An unusually high number, Röpcke thinks. Could it be a mistake, a rumor in a country in civil war? Or is it possible that someone is deliberately trying to deceive him? Misleading him with fake news? The writer of the short WhatsApp message reporting the alleged poison gas attack in Duma on 7 April 2018 is a Syrian physician. He sent it to a WhatsApp group set up by journalists and Syrian doctors to exchange information on the situation in the Eastern Ghouta war zone. Röpcke in fact trusts the sender - but trust is not enough in this case. He needs proof.

“Fake News” is a modern term, although it describes an old problem. False reports, whether spread deliberately or circulated unintentionally, have always existed. It has always been the job of journalists to check manipulated images, faked videos, rumors, erroneous or completely fabricated information for accuracy. But through social media such as Twitter, Facebook and even messaging services such as WhatsApp, false reports can now reach millions of people worldwide within seconds - without having been previously checked by journalists. What is most important for Julian Röpcke, the BILD Syria reporter, is reliable sources Especially during wartime: here each actor is pursuing his own agenda.

You can read the whole article on http://sustainability.axelspringer.com

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Protection of personal data

General implementation of data protection at Axel Springer SE

I. Training and Counseling

At Axel Springer, the secure handling of customer data within the Group is explained to employees both preventively in seminars and training sessions and operationally in the course of day-to-day business operations through competent data protection counseling. The company data protection officer and experts from the legal department are available for this purpose.

II. Project support

From our point of view data protection starts right from the planning stage of services and products. For this reason, Axel Springer relies on early data protection counseling and ongoing project support from the very beginning of the project design phase so as to ensure the implementation of the legal requirements and to be able to offer customers an attractive and secure product. The counseling is based primarily on the guidance of the legal department and the company data protection officer. In addition, persons responsible for the integration of data protection within business divisions have appointed, who act as the first point of contact for questions from the respective business division and for first-level support. In their interface function they are closely supervised by the legal department and company data protection officer and report to them on the integration of data protection into daily business operations.

III. Media skills and informational self-determination

Knowledge of data protection increases media literacy, and thus also the protection of the data of each individual. This is why we provide information to our customers about data processing at Axel Springer. In addition, we offer regular editorial articles on the protection and the security of data in our print and online services (e.g. www.computerbild.de/sicherheitscenter/). In this way, each individual can exercise his right to informational self-determination. You can find a small selection of our editorial articles here:

• „Ten Tips for secure WLAN“ • „How to create secure online passwords“ • „These security suites fight the new viruses“ • „These weapons can defeat the NSA spies“ • „The dangers of Facebook: This is what you must be aware of!“ • „The COMPUTER BILD scam protection service“

IV. Membership and Data Protection Associations

We are a member of various associations and organizations, which apply themselves to the observance and implementation of data protection:

• The German Association for Data Protection and Data Security (GDD) • Association of German Magazine Publishers Association (VDZ) • Federal Association of German Newspaper Publishers (BDZV)

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Defense against cyber threats

Reports of worldwide cyberattacks are never-ending these days. Axel Springer is very aware of the invisible danger from outside. In this interview, Henning Christiansen, Information Security Officer at Axel Springer, gives tips on what employees should pay attention to with regard to IT security and how to protect themselves from attacks. In addition, the most important terms relating to cybercrime are briefly introduced and explained.

What can every employee do to improve IT security and data protection?

Despite all the technology currently in use, colleagues in the company are the most important support in the fight against cyber attacks. Healthy mistrust and self-confident behavior towards attempts by third parties to make contact via e-mail, social media or telephone takes the wind out of the sails of most attackers - just as it would in a private environment. Emails with dangerous content can be delivered despite all the filters. Most of these emails, which are distributed in campaigns, have characteristics that show that they are fake, such as an unspecific salutation. These emails should be deleted.

Do you actively advise business divisions? Who can an employee contact if he notices something that seems strange?

We are always involved in ongoing or new IT projects. In addition, we also receive external information about unsafe websites or portals, whose gaps we then remedy together with the specialist departments. We are happy to answer any questions from employees. Colleagues can contact me directly or use our joint email address: [email protected]

How do you personally handle data? What do you advise employees to do both professionally and privately?

I don’t expect that the secret services of this world want to spy on me. Nevertheless, I protect my data with complex passwords and encryption, both in the cloud and on my computer at home. In the same way that I lock my door when I leave the house, although I know that there are ways and means of getting in anyway. One hundred percent protection does not exist – neither in the private nor in the professional environment. And still I secure myself in the best possible way to set the bar as high as possible for everyone who wants to access my data or, staying with the metaphor, to get into my apartment. Even though I have nothing to hide, there is still a private sphere that I want to preserve and protect.

More and more security technologies from providers such as Amazon and Apple are also establishing themselves in the private sphere. For example, they offer an additional SMS-TAN to make the use of passwords more secure.

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A few important terms relating to cybercrime and their meaning

• DDoS (Distributed Denial of Service) – Overload attacks that are designed to disrupt business. In- ternet services are no longer available in the event of such an attack. An overload attack is mostly used for extortion. • Malware – Collective term for malicious software. Types of this are e.g.: • “Ransomware” – has become more common in the recent past, encrypting entire hard drives and network drives and extorting bitcoins for the release of data • “Trojans” – similar to the Trojan Horse, a software disguised as helpful, that has malicious functions • “Worms“ – spread independently within a network and can cause damage • “Virus” – the oldest form of malware that infects program files with malicious code • “Spyware” – spies on user behavior on an infected computer • “Backdoor” – allows undetected access to the infected computer • Phishing – artificial word from “fishing” and “password” – This refers to methods used to access users’ passwords, for example via fake websites. • “Botnet” – networks of up to several 100,000 compromised computers that are controlled centrally for various purposes by so-called “Command & Control Servers”

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Media Protection of Young Persons

The task of Media Protection of Young Persons is to protect children and adolescents from influences from the adult world, which are likely to impair the development of young people as independent and active members of the community, or even to threaten this development.

Axel Springer SE respects the legal requirements of the Media Protection of Young Persons and beyond that also pays attention to self-imposed obligations, such as those in Germany imposed by the German Advertising Standards Council and the German Press Council:

Rules of Conduct of the German Advertising Standards Council: www.werberat.de/Grundregeln

Press Code of the German Press Council: www.presserat.info/pressekodex

This applies both to our own editorial articles as well as to the content of advertisements from our advertisers which are distributed. The editorial offices select the journalistic topics and the nature of their presentation so that no undesirable influence on young people need be feared. Publications targeting young readers are carefully designed according to age. Content that is potentially relevant to the protection of minors is, in cases of doubt, either not distributed at all, or distributed exclusively in publications determined as inaccessible for children and adolescents.

Further information on Media Protection of Young Persons

The right of freedom of expression, the right to information and the freedom of the press are expressly limited in article 5 of the German Basic Law by the provisions for protection of young persons. The Youth Protection Act restricts the supply and advertising opportunities for objects that have been indexed by the Federal Review Board for Writings Harmful to Young Persons in Bonn, or are seriously liable to corrupt the young.

The Review Board is usually active on request.

Titles with content that is harmful to minors are also known as age-restricted items. They may not be displayed in stores that are accessible for young people, and may only be sold to adults. In regular press retailing they are only offered „under the counter“.

If a freely distributable title is designated as harmful to minors, it is entered into the so-called index. If two issues of a periodic title are entered within 12 months, the title may remain on the Index for three to 12 months and may not be freely distributed during this time. In case of a breach of the provisions, not only the publisher but also the retailer can be held responsible.

Writings which contain glorifications of violence according to § 131 of the German Criminal Code (StGB) or so-called hard-core pornography according to § 184 III, are subject to a general sales ban and may not be distributed. Advertising these writings is also prohibited.

With the proliferation of electronic media in the press retail trade – such as floppy disks, CDROMs or DVDs – the question of Media Protection of Young Persons was also extended to include these products and thus includes all the media referred to in the law as carrier media. In 1995, publishers, wholesalers, railway station bookshops and the retail sector founded „Voluntary Self-Regulation in Press Distribution“, DT Control for short, which upon request reviews the contents of such media prior to their being offered on the market in regard to their compatibility with youth protection regulations. This has also applied in particular since 01.04.2003 to questions of age labeling, as well as material

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with a potentially undesirable impact on young people in the sense of § 12 para. 5 Youth Protection Act. The age specifications for diskettes, CD-ROMs, DVDs and videos are to be observed even when the data carriers appear as supplements in association with newspapers or periodicals. The designated age restrictions also apply to computer games. For full versions of PC games or feature films, the data media and its cover must clearly indicate the age restriction. These so-called „age cohorts“ for full versions are issued by the Voluntary Self Regulation of the Movie Industry (FSK ) or the Entertain- ment Industry (USK).

Free gifts including demo versions of PC games or movies are permitted only if the carrier is accompanied by a note from the vendor, which makes it clear that an organization of voluntary self-regulation has determined that these extracts will not have a potentially undesirable impact on young people. Wholesale and retail trade are required to only distribute approved data carriers to avoid facing criminal proceedings and seizures.

Extracts from the VDZ Distribution Glossary © VDZ Zeitschriften Akademie GmbH

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The Axel Springer Akademie

As the largest private institution of its kind in Germany, the Axel Springer Akademie every year offers 40 aspiring journalists a sound two-year vocational training course as editors. (Video: Axel Springer Akademie)

Training at the Axel Springer Akademie

The Axel Springer Akademie is Germany’s most modern school of journalism. Training to be an editor takes two years. It combines the advantages of a well-established School of Journalism with those of a classical traineeship. Our vocational training has a clear cross-media focus and attaches great importance to language and exclusivity.

1. Practice-oriented learning in all journalistic disciplines 2. Cross-media training at the leading digital publishing house 3. Individual work in small groups (maximum 20 participants) 4. 18 months of editorial experience 5. Study trip to Israel to conclude the training 6. Prospects in one of Europe’s most successful media companies 7. 1,400 euros per month training allowance

Sequence of training 1st year Your time at the Akademie In your fi rst weeks with us you will learn the tools of the trade of every journalist from scratch. You will write news articles, reports and portraits, research your own stories, produce headlines and lead stories. You will also receive comprehensive investigative research training. Right from the beginning you will interview a lot of people, also in front of the camera of course. You will train your camera presence and gain your fi rst experience of presenting, live and on tape. In addition, you will learn the art of video from the ground up. Video shooting, editing and storytelling – we will make you fi t in the production of moving images. In doing so, we place great emphasis on social media. We think socially and want you to do the same. You will learn how to create content for Facebook, Instagram and Co. from experts in the fi eld. Of course, mobile reporting is also part of it. Want to know how to turn your smartphone into a fi lm studio? No problem, you‘ll learn that from us. Working with other digital forms of presentation and data journalism completes your training with us.

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Your time in your home editorial office Every two months you alternate between the Akademie and your home editorial office. You can use what you have learned with us directly and deepen your knowledge further under real editorial conditions. Right from the start, you will work closely with your future colleagues and perhaps even put one or two of your own stories into practice.

Masterpiece As a think tank and development laboratory, we observe developments in the industry and look for responses to the challenges facing journalism in the future. Practice orientation is the most important part of our concept. For this reason you will work independently with your team to develop a digital project and get to know a completely convergent production. We refer to it as “Masterpiece”, in order to make the requirements clear. The project marks the end of the first six months of your training. 2nd year

Home editorial office You will spend the second year of training primarily in your chosen home editorial office, where you will apply and practice what you have learned and further deepen your knowledge. You produce your own stories and become part of the editorial team. In between, you will again attend individual seminars and training sessions at the Akademie.

Final trip to Israel At the end of your two-year training course it’s time to pack your suitcase; you’re off on a study trip to the Holy Land. This is a unique opportunity for the teams from the Akademie to form their own impressions of the politics, culture and the economy of a country full of contrasts. At the end of this impressive trip, every trainee journalist is ceremoniously awarded their editor’s certificate.

For more information: www.axel-springer-akademie.de/international.html

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The 2017 Axel Springer Prize for Young Journalists

Die Axel Springer Akademie vergab 2017 zum 26. Mal den Axel Springer Preis für junge Journalisten. (Quelle: BILD REPORTER)

The Axel Springer Prize for Young Journalists was established in 1991 by Axel Springer SE and the heirs of the company founder. Works in German by volunteers, freelancers and editors who were not older than 33 years at the time of publication could be nominated. The reason for this is the wish of the sponsors to support budding journalists and to encourage special achievement. The main prizes of the Axel Springer Prize for Young Journalists are endowed with 10,000 euros, 5,000 euros and 3,000 euros as well as 5,000 euros each for the special prizes.

The award ceremony for the Axel Springer Prize for Young Journalists was held in Berlin for the 26th time in 2017. The most important award for up-and-coming reporters from Germany, Austria and Switzerland was presented in front of around 200 invited guests at the Berlin publishing house on World Press Freedom Day.

Since 2016, the Axel Springer Prize has been based on a fundamentally new concept:

The award no longer distinguishes between print, TV, radio and Internet categories, but exclusively on the basis of journalistic performance. In this way, the prize allows for cross platform evaluation. A nine-member jury chaired by journalist and presenter Dunja Hayali jointly decided on the three main prizes in bronze, silver and gold as well as the two special prizes for investigative research and creative visualization.

Marc Thomas Spahl, Director of the Axel Springer Akademie: “We live in a time when the world becomes more complex with every major political event and we have to re-examine old certainties. It is a time when true, precise and passionate journalism is more necessary than ever. This year, we are once again awarding the Axel Springer Prize to a number of such excellent achievements by young colleagues.”

All editors-in-chief and heads of schools of journalism in Germany were called upon to submit what they considered to be the best work by up-and-coming journalists in 2016. The jury received a total of over 100 nominations for the 2017 Axel Springer Prize.

For more information: https://www.axel-springer-preis.de/

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First “Peter Boenisch Fellowship” to Saskia Aberle

The three-month fellowship is based on the journalistic work of Peter Boenisch, who campaigned throughout his life for German-American and German-Russian relations. (Photo: Axel Springer SE)

Almost 100 young journalists applied for the fi rst scholarship. Saskia Aberle prevailed in front of the jury.

During her three-month fellowship, the 30-year-old editor from the Austrian news magazine “News” worked in all departments of the BILD editorial offi ce in Berlin, in the BILD L.A. offi ce and at the online magazine “slon” in Moscow. The fi nal part of the scholarship was the work on her multimedia report “Where is Olga”, which took Saskia Aberle as far as Smolensk. In the city in the west of Russia, she went in search of her former nanny Olga, whom she had not seen for 16 years. Readers can read the results of the moving report, which is also published in Russian, in BILD and on BILD.de.

Saskia Aberle: “The Peter-Boenisch Fellowship not only gave me an intensive, unforgettable time, but also enabled me to rediscover my childhood girlfriend. It was exciting, challenging and a lot of fun. The true value of the scholarship? A huge broadening of horizons!”

Kai Diekmann, member of the jury: “As a Fellow it is not only important to think big and work with passion, but also to tell emotionally gripping, well-researched and brilliantly written stories. Saskia Aberle’s report is an impressive success. We are already looking forward to the applicants for the second round.”

About the Peter Boenisch Fellowship

The three-month fellowship is based on the journalistic work of Peter Boenisch, who campaigned in particular for German-American and German-Russian relations. The fi rst of four stages in the Fellow- ship Program leads right into the heart of BILD – the federal editorial offi ce in Berlin. After four weeks the foreign stations follow: the Los Angeles offi ce of BILD and a stay in Moscow. Finally, the Fellow will have the opportunity to create his or her own multimedia report for BILD, regardless of where the research leads in the world. The topic can be freely selected and should be told as Peter Boenisch would have told it: brilliantly, emotionally and grippingly. The “Peter Boenisch Fellowship” is awarded once a year and remunerated with 3,000 euros per month; BILD also bears the costs for travel and accommodation.

More information about the Peter Boenisch Fellowship can be found here: www.peterboenisch.de/

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“sachor jetzt!” - The Holocaust Snapchat Project

“sachor jetzt!” - The Holocaust Snapchat Project Young Journalists from Berlin dare something completely new: Specially designed for 14 to 16-year-olds, they report on the Holocaust using the social media platform Snapchat. (Video: Axel Springer Akademie)

Can Snapchat also be used to communicate serious issues? Is the fastest growing social medium, that owes its success among teenagers above all to its fi lters and fun features, suitable for quality journalism? 16 young reporters from the Axel Springer Akademie addressed this question and launched an unusual experiment in December 2016: Through the format “sachor jetzt!” they brought the topic of the Holocaust to Snapchat. “Sachor” is the Hebrew word for “remember” – this is where the journalistic project specifi cally targeting 14 to 16-year-olds began: The young reporters sought out witnesses, spoke to survivors, presented some of the central locations of the Shoah – compacted into Snapchat stories, for which they developed a new, target group-oriented storytelling edited in accordance with journalistic quality criteria.

“The young people of the meanwhile fourth generation since the Holocaust will be the fi rst who will soon no longer be able to meet contemporary witnesses,” says Marc Thomas Spahl, Director of the Axel Springer Akademie. “sachor jetzt!” passes on the message from the survivors to those that will assume responsibility in Germany in a few years time, and for whom Snapchat has become the most important social platform and source of information. “With this project we want to show that young people can be reached with quality journalism and serious content, if it is properly edited for their channels.”

For seven days, the young reporters told up to three stories a day on Snapchat, all of which dealt with the Holocaust. To do so, the young reporters from the Akademie researched and reported, among other places, from Auschwitz, Minsk, Jerusalem, Prague, Berlin, Dachau, Leipzig and Sachsenhau- sen. They gave both survivors of the Holocaust as well as their descendants a chance to speak. And they asked young Jews how they dealt with the topic. At the same time they also refl ected upon their concept in a dialog with the users: Can something so inconceivable be told in ten-second snaps?

The experiment was accompanied by numerous activities, surveys and further information on Face- book Live, Instagram, YouTube, Twitter and at www.sachor.jetzt. The “Sachor” app (available for iOS and Android) will keep the Snapchat stories permanently available in an international version with English subtitles.

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Podcast project “ALYOM | Syria’s children, the poison gas & us”

A podcast about Assad’s war against his own people. In the attack on 4 April, little Yusuff alone lost 29 family members. We tell his story – and explain why it concerns us all. ALYOM wants to make speechlessness audible. (Video: Axel Springer Akademie)

“Alyom” is Arabic for “the day”. In this case, it refers to 4 April 2017: the day Syria’s dictator Assad allowed poisonous gas to be released over the town of Khan Shaykhun. War against his own people; more than 80 people die horribly, among them many children. The news travels quickly around the world – and just as quickly it is forgotten. A team of young journalists from Berlin is not prepared to accept this. “We Germans in particular cannot look the other way when people are murdered with poison gas”, say the reporters of Team 22 of the Axel Springer Akademie and launch the podcast “ALYOM – Syria’s children, the poison gas & us”.

In this they tell the story of 12-year-old Yusuff, who lost his father and 28 relatives in the attack. In seven elaborately produced episodes, they let Yusuff hav his say, speak to the survivors from his family, to friends and neighbors and to people who know the background. In this way, they shed light on the fate of Syria’s children through the story of a single boy.

One member of the team comes from the country himself. 28-year-old Mohammad Rabie fl ed from Syria in 2015. It is through him that the Akademie’s reporters come into contact with the people of Khan Shaykhun and with a reliable local representative who visits the family and records their story. Because they cannot travel to Syria themselves, the makers of the podcast use all of the available channels of communication. They are in constant contact with their protagonists via Skype, Whats- App and Facebook.

“Podcasts are the boom genre in the ever-growing audio market. They also form part of the usage behavior of the generation that is diffi cult to reach with classical television and radio”, says Marc Thomas Spahl, Director of the Axel Springer Akademie. “However our primary reason for choosing the podcast, was that video material from Syria is hard to come by and because audio is the most direct medium for conveying this story.”

The podcast is accompanied by numerous background articles on ALYOM.de and further reporting on social media. It also deals with the role of Germany, its historical responsibility and the indirect participation of German companies in the production of poison gas in Syria. “We want to show why the barbaric crimes in Syria concern us all”, say the reporters of ALYOM. Which is why their motto is: “Listen in instead of looking away.”

“ALYOM – Syria’s children, the poison gas & us” is available on all relevant audio platforms: Spotify, Soundcloud and iTunes, as well as Facebook, Twitter and Instagram. 94

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Sponsorship of the Hamburg Media School

Axel Springer SE is continuing to sponsor the Hamburg Media School, in particular the Bachelor’s degree course in “Digital Media” until 2018.

The Hamburg Media School has offered a Bachelor’s degree course in “Digital Media” for two years, together with the Lüneburg Leuphana University. The internationally oriented, English-language education prepares young students for shaping the digital future. They learn the basics of digital media and implement their own projects in the areas of video, audio, games, apps, or mashups. The course of study provides an ideal combination of theory and practice.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Promotion of media literacy

There are downloads, prescriptions, greeting cards, driver‘s license tests and much more available free on the Internet. However: Those who don‘t pay attention can unintentionally be trapped into paying costs. Axel Springer media inform and explain. Computer-BILD for example, offers the free “Abzock-Schutz” browser add-on (scam protection service) as a download. This add-on protects users from malware, phishing, spam and scareware. (Source: www.computerbild.de)

Access to knowledge, the understanding of political processes and the development of media literacy are essential preconditions for participating in democratic decisions. That is why Axel Springer SE is promoting the media literacy of young people with a range of measures.

Example 1: Knowledge of data protection increases media literacy and thereby also the protection of personal data. Our titles inform and explain. In this way they contribute to the critical media literacy of young readers in particular. In our print and online services (e.g. www.computerbild.de/sicherheitscenter/), we offer regular editorial articles on the protection and the security of data. Here are a few examples:

• „Ten Tips for secure WLAN“ • „How to create secure online passwords“ • „These security suites fi ght the new viruses“ • „These weapons can defeat the NSA spies“ • „The dangers of Facebook: This is what you must be aware of!“ • „The COMPUTER BILD scam protection service“

Example 2: The Axel Springer Akademie was once again one of the main partners of the Youth Media Days (Jugendmedientage) in 2017. These are organized by the Federal Youth Press Association (Ju- gendpresse Deutschland), a largely voluntary association made up of 15,000 young media producers. The Association wants to impart journalistic skills and represent the interests of young people in the media. At the Youth Media Days, young media producers and media users aged between 14 and 26 years can gain insights into the exciting world of the media.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Germany‘s largest Youth Media Congress

The Axel Springer Akademie is a main partner of the Youth Media Days (Jugendmedientage). The participants in 2017 were young media producers aged between 16 and 26 years. School classes, students and all those interested were also invited to the media fair. (Photo: Jugendpresse Deutschland/Lando Hass)

The Youth Media Days are a four-day media congress for young people. They are organized annually by Youth Press Germany (Jugendpresse Deutschland) in cooperation with the German Federal Agen- cy for Civic Education. The Axel Springer Akademie is one of the main partners of this event.

The Jugendmedientage invites up-and-coming young journalists and young adults who are media enthusiasts to try things out at the media fair and get to know the various education and training opportunities in the media industry. Through the wide-ranging program of workshops, discussions and media insights, participants discover the exciting world of the media and can get an impression of the jobs of newspaper editors, communications agencies or political institutions.

Through the realization of the Youth Media Days, Youth Press Germany has set itself the goal of promoting the concept of democracy and the media literacy of young media makers. The Youth Media Days claim to make media tangible and comprehensible for all interested young people – irrespective of their country of origin or level of education. Basic, but also in-depth journalistic skills are conveyed by experts in the fi eld.

In 2017 the title was “Behind the scenes”.

Young media producers aged between 16 and 26 years of age can take part in the Youth Media Days. School classes, students and all those interested are also invited to the media fair.

More information can be found at: 2017.jugendmedientage.de

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Future Day: Experience media professions

55 children of employees of Axel Springer SE took part in the nationwide vocational orientation day for girls and boys in Berlin. (Photo: Axel Springer SE)

A nationwide vocational orientation day for boys and girls took place for the 15th time in April 2017. Children of employees had the opportunity to learn more about their parents’ working environment at the publishing houses in Berlin and Hamburg and at the printing sites in Essen-Kettwig and Ahrens- burg. The program was organized by the vocational training department.

In the Axel Springer Passage in Berlin, the 55 children fi rst embarked on a culinary journey through the Axel Springer world. After paparazzi chef Michael Trispel explained how his team manages to serve delicious meals to the numerous and hungry staff every day, the children were able to see this for themselves on a tour of the kitchen. Cassidy, 10 years old, and Tessa, 11 years old, particularly enjoyed the tour: “It was very interesting to get to know the work of the cooks and to hear how many kilos of ingredients are processed here.”

Fortifi ed with waffl es from the Deli and lemonade from the Mittelbar, the program then included a visit to the BILD editorial offi ce. Andreas Rickmann, Head of Social Media at BILD, illustrated how the newspaper works with social media. First he wanted to know which networks the employee’s children use: Instagram and Snapchat were mentioned most frequently. Perhaps less surprising: When asked who already owned a smartphone, all hands shot up in the air - “You’d be better off asking who doesn’t have a smartphone”, the group said.

Afterwards, the handling of “Fake News” on the Social Web was discussed. Using examples, the children highlighted characteristics of how to distinguish news in social media from fake news. “I have my own camera and make videos, so I found the presentation very helpful”, said Vincent, aged 11 years. Matteo, aged 12, was already familiar with the topic: “There’s a lot of fake news on Facebook in particular, so I don’t think the network is really necessary.”

In the printing plants in Essen-Kettwig and Ahrensburg, a digital paper chase took the employees’ children through various departments, from work scheduling to logistics: With the help of an app and quiz questions, they got to know the “path of the newspaper” during production.

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Holiday adventures for young inventors and creative minds

In October 2017 it was once again time to say: Clear the way for sixty 8 to 14-year-old young inventors, sound engineers, robots and designers when the annual Junior Lab was held in the moveBOX of the Axel Springer Passage in Berlin. (Photo: juniorlab)

In the autumn holiday week in October 2017, sixty children and young people were able to make, hack, code, build, create and design in a total of fi ve different workshops and experience digital technologies in a playful way. Girls and boys aged between 8 and 14 could register and spend fi ve mornings developing instruments, clothes or games. No previous knowledge was necessary; the only prerequisites were curiosity and the desire to try things out. In a relaxed atmosphere and while tinke- ring around together, the children occupied themselves with the “Power of Data” and digital storytelling and thus gained exciting insights into the signifi cance of data journalism.

This Junior Lab is an initiative of the Berlin Art Director Sven Ehmann and takes place at Axel Springer in cooperation with MEDIA ENTREPRENEURS, move and Chancen:gleich!

Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Prize winning journalists at Axel Springer SE

Group photo with prizewinners, Friede Springer, Mathias Döpfner, CEO of Axel Springer SE and Marc Thomas Spahl, Direc- tor of the Axel Springer Akademie. (Photo: Axel Springer SE / Christian Hahn)

A large number of journalists’ prizes are awarded in Germany. They are awarded by associations, institutions, companies and private initiatives. A large number of journalists from Axel Springer SE received awards for their work between 2012 and 2017. Here is an overview:

2017

The Axel Springer Prize for Young Journalists Team 20 of the Axel Springer Akademie won the Axel Springer Prize in the specialist category of Crea- tive Visualization with their Snapchat project “sachor jetzt!”. Team 20 from the Axel Springer Akade- mie: Oromiya Deffa (has left the Akademie), Lukas Dombrowski, Larissa Königs, Sebastian Guberna- tor, Julian Erbersdobler, Alina Leimbach, Henry Donovan, Tim Osing, Maximilian Wessing, Louisa Nele Würzbach, Johanna Gerber, Sabine Winkler, Gerrit-Freya Klebe, Tobias Perlick, Adrian Arab, Abdullah Khan and Katja Belousova.

European Digital Media Award The “sachor jetzt!” sachor jetzt! project by Team 20 of the Axel Springer Akademie was awarded the European Digital Media Award by the World Association of Newspapers WAN-IFRA. In the category “Best in Social Media Engagement” the young journalists from the Akademie prevailed against the teams from the Norwegian daily newspaper “Verdens Gang” and the “Deutsche Welle”.

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Top 30 under 30 Four young journalists from Axel Springer are among this year’s selections for the “Top 30 under 30” by the German trade magazine “medium magazin”. The Axel Springer Akademie trainees will receive awards for the Holocaust Snapchat project “sachor jetzt” and for the WhatsApp politics format “shotty”. Sebastian Gubernator, 25, trainee at Die Welt and Abdullah Khan, 27, trainee at BILD, compe- ted with their Snapchat project “sachor jetzt!”. Dorothea Schmitz (BILD/B.Z.) and Hannah Schwär (BUSINESS INSIDER), both 25, as managing editors of the project team, proved with their WhatsApp news service “shotty” that fresh journalistic formats, new channels and high quality as well as political relevance fit together perfectly. Henri Nannen Prize

The “sachor jetzt!” project by Team 20 of the Axel Springer Akademie was awarded the Nannen Prize, one of the most important journalism prizes in Germany. Around 1,000 works were submitted in the various categories, with the young journalists from the Akademie landing first place in the “Best Web Project” section ahead of their colleagues from the Süddeutsche Zeitung and their project “Timeline of Panic”.

2016

The Axel Springer Prize for Young Journalists

Ronja von Rönne won the silver medal with her work „Why feminism disgusts me” “Why feminism disgusts me”, published in WELT am SONNTAG on 5.4.2015. Ronja von Rönne thanked the jury for the appreciation of her work and explained to the guests at the award ceremony that she was now distancing herself from her text and could therefore not accept the prize. “It was never my plan to become the figurehead of antifeminism. My text was a spontaneous tirade in the context of a debate and should not be a lifelong statement. “Individual sentences are very misleading, and I cannot accept a prize for such misleading things.”

“Why feminism disgusts me”, WELT am SONNTAG from 5.4.2015

Paul Ronzheimer wins the prize for the best visualization with the periscope report of a live broadcast of “Escape from Hell”, Feras’ journey to Germany.

Live broadcast of an “Escape from Hell”, Feras’ journey to Germany Bild.de in August 2015

Theodor Wolff Prize Marc Neller was awarded the Theodor Wolff Prize for his report “The Code of Evil” “The Code of Evil” about a German computer scientist who was involved in unmasking a wanted hacker, which appeared in WELT AM SONNTAG on 1 May 2016.

“The Code of Evil” WELT am SONNTAG from 1 May 2016

WELT correspondent Deniz Yücel, who was imprisoned in Turkey, received a special prize, which was awarded for the first time. The jury and board of trustees wanted this award to “at the same time serve as a symbol for the freedom of the press, which is being trampled underfoot in Turkey and in many other places around the world”.

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Commitment to the Interest of Media

Every day, thousands of articles are produced at great expense in newspaper and magazine publishing houses, which can, in the Internet age, be partially or completely taken over, recycled and marketed by third parties within seconds. Publishers in Germany were defenseless against this commercial exploitation until the adoption of the ancillary copyright for publishers (2013), because unlike other agents of copyrighted works, such as in the fi lm and music industry, they had no proprietary rights to the fruits of their labor. The European Commission now also wants to close this legal loophole in the European Uni- on with an EU Publishers’ Right. (Video: Federal Association of German Newspaper Publishers)

Transparency: In order to strengthen the transparency in the representation of interests towards the institutions of the European Union, the European Parliament, together with the European Commission, has set up a Transparency Register for interest groups. Every citizen may inspect this register. The registration of Axel Springer SE bears the number 742417913824-11.

The continuous and transparent exchange of ideas between the European institutions and consumer associations, non-governmental organizations, companies, trade associations, trade unions, think tanks, etc. promotes the co-ordination of diverse concerns in the democratic decision-making process.

Citizens have a right to expect that this process is transparent and takes place in compliance with the law as well as in due respect of ethical principles: No undue pressure is to be exercised; illegitimate or privileged access to information or to decision-makers is to be avoided.

Our Commitment: Standing up for the legal and economic prerequisites of a free press is one of the central concerns of Axel Springer SE. This is why the company is involved – both directly and indirectly – in a number of associations and initiatives.

These include:

• The Association of German Magazine Publishers (VDZ) • The Federal Association of German Newspaper Publishers (BDZV) • The German Association of the Digital Economy (BVDW) • German Printing and Media Industries Federation • European Magazine Media Association (EMMA) • The European Publishers Council (EPC) • The World Association of Newspapers (WAN) • International Federation of Periodical Publishers FIPP • The Interactive Advertising Bureau (IAB) Europe • VG Media • Other industry associations in the countries in which the company is active

Examples of current topics are documented on the websites of the above-mentioned associations.

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Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Dealing with History

More than 5,900 articles, comments, readers‘ letters, cartoons, features, commentaries and interviews from the years 1966 to 1968 show how the editorial offi ces of Axel Springer reported on the movement of 1968. (Source: Axel Springer SE)

Axel Springer SE opened the Medienarchiv68 online database in 2010. Approximately 5,900 newspaper articles from the years 1966 to 1968 show how the editorial offi ces of Axel Springer reported on „1968“ and the student movement. Using this extensive service, anyone can comprehensively and easily inform themselves for the fi rst time using original sources. The archive is also intended to be a catalyst for further debate and scientifi c reappraisal.

Dr. Mathias Döpfner, Chief Executive Offi cer of Axel Springer SE: „It is my hope that this media archive is understood as an invitation. An invitation not only to contemporary witnesses, but also expressly to the next generation, to make their own impression of the role of our newspapers at that time.“

All the relevant articles, comments, letters, cartoons, reports, commentaries or interviews on the student movement were collected for the Medienarchiv68. The period under review extends from De- cember 1966 to December 1968. The following of the company‘s media services from that time were evaluated: BERLINER MORGENPOST, BILD Berlin, B.Z., DIE WELT Berlin, HAMBURGER ABEND- BLATT, WELT am SONNTAG, BILD am SONNTAG. In addition, the reporting from these papers can also be compared with that of competitors such as DER TAGESSPIEGEL and TELEGRAF.

Thomas Schmid, Editor-in-Chief of the WELT Group and the initiator of the rerun of the „Springer- Tribunal“ planned last year, announced the media archive in autumn 2009. Schmid: „I am surprised myself. Reading shows that mistakes were made, but the reality was more complex than I thought.“

As a further service the database contains edited summaries of each article to help improve search results. For each article, a photo of the entire respective newspaper page can be downloaded, so that readers can also inform themselves about the editorial environment of an article. The archive can be searched in various ways, for example, for keywords, type of document or placement. To facilitate the development of individual aspects the articles have also been divided by topic.

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Employees

With more than 16,000 employees, Axel Springer is active in more than 40 countries. But we are much more than that: As an employer, the Axel Springer family offers the dynamics of the digital work culture and the advantages of a large, international group of companies.

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Openings

Axel Springer AG...19th fl oor...12.45 AM. With „Well people: Are you ready? Listen up! Content is king and the medium is the fucking message“ is how a young candidate introduces himself to the surprised members of the board.

Axel Springer is Europe’s leading digital publisher. With more than 16,000 employees, we operate successfully in over 40 countries. But we are much more than that: As an employer, the Axel Springer family offers the best of both worlds - on the one hand a dynamic and working culture which we have adopted from the start-up industry in the course of the cultural change, and on the other hand all of the advantages and diversity that come with being part of a large, international group of companies.

The people who work at Axel Springer are each unique in their own way and are not satisfi ed with a “that’s-how-everyone-does-it” attitude. This is the only way to break through existing conceptual barriers with curiosity and passion and to creatively shape the future of the media.

Direct entry Direct entry to Axel Springer is possible at any time – no matter whether applicants already have in- depth media experience or are making a lateral career move.

Specialists and Executives Are you looking for new professional challenges? Preferably in an exciting and innovative environment with the freedom to exceed your own expectations? Then do something with media, our media. Whe- ther you‘re an “old hand” or a newcomer hungry for success in the media business – are you eager to continue the success story of our media brands?

Passionate doers, creative editors or ingenious IT experts who not only want to face the multimedia challenges of the future, but are also prepared to play an active role in shaping them, are just what we are looking for. Whether an enthusiastic career changer or a seasoned specialist and executive, you could very soon become part of Germany’s most creative and profi table media company.

School of Journalism The Axel Springer Akademie in Berlin, Germany’s most progressive school of journalism, every year offers 40 young talented individuals a fi rst-class vocational training course as editors. Online, print, TV, video, audio: We train you on all types of media. In addition, you will gain plenty of practical experience in our editorial offi ces. At the end of the two-year training course, you will be extremely well prepared for the profession and have very good prospects in Europe’s leading digital publishing house. The deadline for applications is the beginning of June to start the following year.

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Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Trainee Program In our trainee program, university graduates have up to 18 months to get to know their so-called “home area” comprehensively and also to pass through various stations within the large Axel Springer family. The Axel Springer trainee program is as diverse as the Axel Springer family and offers two different focuses: Trainee positions with a management focus as well as positions with a specialist focus. What they all have in common, however, is a supporting program that offers interdisciplinary training, regular networking events, sponsorships with former trainees and, as a highlight, an annual trainee trip. Starting is in principle flexible and possible all year round.

Junior Executive Program Our Junior Executive Program offers you the opportunity to go beyond yourself and prove that you have enormous and exceptional potential. In our 18 month program, under the auspices of the Execu- tive Board, you will pass through various individual stations and be prepared for a responsible career as a media manager through systematic “learning by doing”. After all, you have still have a lot ahead of you: You want to actively shape the future of media, digitally, internationally and innovatively. That fits! We have exactly the same goal.

Apprenticeship and dual course of study At Axel Springer we pass on our knowledge. Secure this valuable wealth of experience by completing an apprenticeship or a dual course of study with us, be it in either a commercial or technical field. Success needs a basis and talented young people. Those who are good can become even better with us.

Whether you are a media manager, media designer, Bachelor of Science or Arts, as an apprentice or student you will get to know the different tasks in one of the most exciting multi-media companies.

Internships and working student positions Are you looking for an exciting internship or a challenging working student role in the digital, technical or commercial field? Then you’ve come to the right place! Get your first taste of work and get actively involved. Whether in Berlin, Hamburg, Frankfurt or at one of our many other locations, in the Axel Springer family you are always a valuable team member and an important part of exciting projects. With a variety of events as part of our internship program, we offer you a comprehensive insight into Europe’s leading digital publishing house and its start-ups.

Alternatively, we can offer you an insight into almost all of the Axel Springer SE editorial offices during a four-week internship. For more information, see www.axel-springer-akademie.de/redaktionsprakti- kum.html

Further information, vacancies and contact persons can be found at https://career.axelspringer.com/

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Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

The Axel Springer Akademie

Training at the Axel Springer Akademie

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Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

For more information: www.axel-springer-akademie.de/international.html

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Benefi ts for Employees

For the eighth time, the “Wolkenzwerge” (“Cloud Dwarves”) day nursery in Berlin hosted a Children’s Olympics in the Wal- deckpark sports facility. With the “Wolkenzwerge” day care center in Berlin, Axel Springer SE is making a contribution to greater equality of opportunity and better compatibility of work and family life. (Photo: Axel Springer SE)

Axel Springer’s corporate culture is characterized by the three values of creativity, entrepreneurial spirit and integrity. We are looking for employees who do not simply settle for the fi rst idea to come to mind and who are passionate about their jobs. In return, Axel Springer offers, in addition to the attractive salary development, numerous further training opportunities and additional benefi ts such as, for example:

Further Education Whether training courses to acquire key qualifi cations, seminars on forward-looking topics, individual mentoring, coaching or even an exchange among experts from different networks - our extensive qualifi cation program keeps our employees up to scratch and gives each of them the opportunity to awaken their personal “There‘s more to it”. The spectrum of seminars ranges from Commercial Exploitation, Marketing and Social Media through Agile Methods up to specifi c modules for managers.

Family Service Balancing work and family life is a matter of course for Axel Springer SE. Employees’ children are looked after in a professional and loving environment in the company‘s “Wolkenzwerge” day nursery in Berlin. Beyond this, in cooperation with our Family Service, we offer an emergency childcare service and support in fi nding suitable regular child care or support for dependent relatives.

Modern Cuisine You also get your money’s worth here on a culinary level, through the daily subsidization of a wide-ranging, varied and excellent selection of food and cafés.

New Technologies and Hardware At Axel Springer you start your day extremely well equipped and informed. Whether Macs, iPhones, iPads or Cloud – you will fi nd a working environment here with the highest modern technical standards. In addition, you will also fi nd yourself working with state-of-the-art technologies, using agile processes and development methods such as Design Thinking, SCRUM or Kanban.

Financial Benefi ts What we offer is more than a good salary: above and beyond attractive salary growth, employees can also benefi t from, among other things, an attractive company pension plan, variable remuneration, participation in the company’s economic success, a Christmas bonus, subsidized lunches, or subsidized company public transport tickets.

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Axel Springer SE, Print Excerpt of the Online Sustainability Report 2017, Source: http://nachhaltigkeit.axelspringer.de Our responsibility as a media company

Share participation program In 2017, Axel Springer introduced a new share program for Axel Springer SE employees and for all the employees of its wholly-owned subsidiaries in Belgium, Germany, France, and Great Britain. Eligible participants have the opportunity to invest up to a maximum of 20 percent of their gross monthly salary (minimum 50 EUR, maximum 4,000 EUR) in Axel Springer shares every month and in the final month of the participation period receive an additional 30 percent contribution on the total gross amount they have invested.

Pension Plan Axel Springer offers eligible employees a flexible VarioRente pension plan at an attractive rate of interest.

Health management The health of our employees is very important to the Axel Springer company, which is why we offer comprehensive health management.

Large Family Network A colorful and diverse digital world is united under the umbrella of Axel Springer with several hundred print and online offerings as well as holdings in digital companies and start-ups in more than 40 countries. Benefit from this large network of the Axel Springer family, exchange ideas with colleagues and experts at best practice clubs and staff events or make use of career opportunities beyond brand and company boundaries!

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An extensive development program

Creative, courageous and committed employees are the foundation of the entrepreneurial success of Axel Springer SE. (Photo: Axel Springer SE)

Do you want to face new challenges, improve your qualifi cations, develop new skills or build on existing strengths? Those aiming high are better off beginning their ascent with us. Because creative, courageous and committed employees are the foundation of our entrepreneurial success.

That is why you can also count on our support for your own personal “There’s more to it”. Our extensive development program is designed to do just that, because your qualifi cation is an investment for the future in our company.

Simply choose the development opportunity that best suits your needs and requirements - from the onboarding program when you start, through numerous further training and career development opportunities right up to useful networks as well as the mentoring program and coaching.

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Exercise, nutrition, relaxation

Die Axel Springer SE möchte, dass es ihren Mitarbeitern gut geht – und tut einiges dafür, denn nur gesunde Mitarbeiter sind zu Höhenfl ügen bereit. (Foto: Axel Springer SE)

In the fast-moving media industry it is important to stay on the ball every day. The health of its employees is very important to the company. This is why it offers them comprehensive health management. The three pillars of this health management system – exercise, nutrition, relaxation – support employees in keeping fi t.

Preventive measures, health days and annual campaigns take place for all employees.

Annual Program for all employees:

• Colorectal cancer screening • Infl uenza vaccination • B2Run – Company run • Bike action day • Cooking workshops • Company sports Berlin and Hamburg • Cooperation with fi tness studios • Internal seminars

A new health program has been in place since 2017: BETSI (Securing Participation-Oriented Emplo- yability) is a prevention program that supports employees in tackling acute complaints such as back pain or high blood pressure at an early stage and in adopting a healthy life and work strategy.

BETSI is part of Axel Springer’s new health management system. Thomas Wendt, Head of Human Resources Print: “We see the responsibility for the health of our employees as a part of our corporate culture. I am active in BETSI and I am not only doing something for my health, but I’m also enjoying it.” Even if it is sometimes quite early in the day, the group is motivated and ready to start training twice a week at 7.30 in the morning.

Around 30 participants at Axel Springer have already tested the program in advance. One participant in the pilot group was Tim Kark, Managing Director of AS Medien Accounting Service GmbH: “BET- SI for me means having fun with colleagues and physiotherapists. The combination of endurance training, weight training and gymnastics is a good mix that is not about peak performance, but more about improving the current state of your health.”

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Equal Opportunities and Diversity

Despite heavy showers and thunderstorms, around 200 Axel Springer employees celebrated the Christopher Street Day 2017 in Berlin on their own company truck. Participation in the parade was organised by our LGBTI network queer:seite! and other volunteers from the Axel Springer family who wanted to signal their support for the equal rights of LGBTI (Lesbian, Gay, Bisexual, Transgender/Transsexual and Intersexed). (Video: Axel Springer Karriere)

Diversity is an essential part of the corporate culture for Axel Springer. The company sees the diversity within our workforce, in particular for us as a publishing house which moves people and picks up on on the various facets of life on a daily basis, as a great opportunity to respond creatively to the diverse interests and needs of our customers. As an innovative and internationally established publisher, an optimal and non-discriminatory cooperation among our employees has high priority for Axel Springer.

The employee network queer:seite for lesbian, gay, bisexual and transsexual people has been a point of contact for all employees for overall and individual lesbian-gay interests since December 2014. Axel Springer promotes progressive corporate change and also internal dealings with people belonging to the LGBT group as part of the Chancen:gleich! initiative. The aim of the employee network is a lively exchange of ideas and establishing new contacts among employees as well as the identifi cation of problems, violations of equal opportunities policies in the work environment and LGBT conformity.

Equality of Opportunity is not simply a fashionable phrase at Axel Springer. That is why Axel Springer SE has been the recipient of numerous awards – including the “Total E-Quality” distinction, the Helga Stödter Prize and the “Career and Family Audit” certifi cate.

The following topics are currently the focus of diversity activities in various project groups:

• More Women in Leadership Positions • Personnel policy oriented towards equal opportunities • Demographic Change and Interculturality • Work/Family Balance • Employee Network queer:seite for lesbian, gay, bisexual and transsexual people

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move - dialog. Knowing. Doing.

In order to make Axel Springer employees fi t for the digital transformation, Personnel Development has developed new networking formats such as Learning Lunch or Early Bird Café. These networks facilitate the exchange of knowledge and information among employees and aid the identifi cation of developments and trends. With “move”, Personnel Development has created a uniform communicative umbrella for its events. (Source: Axel Springer SE)

“move” is an initiative launched by Personnel Development and stands for awakening and movement. It is a call to dare something new together and to explore the undiscovered with curiosity.

move also sees itself as a strategic partner for change, team and work design issues. The initiative:

• is a driver, initiator and companion of change • creates an open, innovative and modern working culture • creates the bracket that establishes identity and connects across department and company boundaries • promotes participation and initiative • is accessible to all employees of the Axel Springer family • transports the company‘s key strategic topics

“move” includes a multitude of formats, measures and offers from Personnel Development, which deal with issues relating to the future and the digital world. It is about participating, entering into a dialog and becoming a „mover” yourself.

Welcome Day On Welcome Day, all the new employees are once again offi cially welcomed to the company. Several speakers give interesting lectures about the company, its history, its culture and the corporate objectives. Welcome Day offers new employees from the entire Axel Springer family the opportunity to network across company boundaries and get an overview of the activities of the Axel Springer Group.

Early Bird Café Colleagues from different specialist departments and companies can get to know each other in a relaxed atmosphere and exchange ideas.

Buzzword Decoder Important keywords relating to digitization are introduced in the “Buzzword Decoder” series. Person- nel Development explains the backgrounds in a video and provides orientation in the jungle of technical language.

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Learning Lunch At the Learning Lunch, employees can attend short, exciting presentations by external speakers during their lunch break. Talks are held on digital issues and trends in the fields of IT, Journalism, Social Media and Marketing.

Tech Breakfast Once a month, colleagues from technical departments meet to learn from each other and to keep each other informed of the latest developments. The format is also used to develop ideas on how modern technologies and big data can be used innovatively and benefits from the network of internal experts in the Axel Springer family.

New in Tech New in Tech is the format for all those who are interested in tech topics, work at the interface with IT or simply want to keep up-to-date. It takes place on a regular basis and is expected to start at the end of October 2018. No event will take longer than 30 minutes - half an hour, which is well invested, as this gives you an insight into topics beyond the boundaries of your desk.

Future Talk During their lunch break, employees can think outside the box in a relaxed atmosphere and follow an expert discussion on current digitization topics. There are always internal and external speakers present, who shed light on the topic from different perspectives. They discuss visionary concepts, opportunities, risks and answer your questions.

Best Practice Club Best Practice Clubs offer a platform for exchange and networking among experts from the Axel Springer family on specific topics in order for them to share experiences and further develop topics together.

Create your own Workshop Using the “move” expertise, employees can develop tailor-made seminars for themselves and their team. move supports you from the initial idea through the conception to the implementation of the workshop.

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Good atmosphere among programmers thanks to “agile” methods

Senior Product Owner (Patrick Chmielewski), Product Owner (Antonino Tumminelli), Fullstack Software Developer (Mar- cel Bankmann), Offi ce Manager (Anja Mangler-Kadoke), CTO (Sebastian Waschnick). Topic: The Ideas Engineering teams experience agility every day – it starts with simple ceremonies such as the team coordination in the morning (Daily StandUp). (Photo: Axel Springer SE)

For many people, “agile” is still just a fashionable gimmick. In practice, however, the appropriate use of “agile methods” is a prerequisite for a good, creative atmosphere in successful software development teams. And: a good atmosphere raises productivity!

But what is meant by “agile working methods and procedures”? It is about reliable planning and the continuous exchange of oral and visual information on the status and schedule of the respective work. Popular tools include colored cards, large overview boards and regular feedback rounds. Who is currently working on what? Where do we stand? Are we on schedule? How do we avoid duplication of work? How can we improve our processes together? And, very important: How do we assess the cooperation in the work we have just completed?

Software development is not the monotonous programming of complex algorithms, but a creative process in which innovative concepts combined with the analysis of customer needs should result in optimal software with maximum customer benefi t.

Software development is a creative and innovative act! A suitable atmosphere promotes inspiration and artistic development. Agile processes should help to avoid isolated knowledge silos. Ideally, the dynamic interaction between specialists strengthens the joint team intelligence.

Equally important: In the sometimes stormy team dynamics of programming processes, individual resources can be overloaded, which is neither good for the employees‘ satisfaction and health nor for the results of their work. This is a problem that can be addressed using agile methods.

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Executive Board discusses with employees worldwide

It premiered on 10 October 2017. Several times a year, the Axel Springer Executive Board invites all colleagues worldwide to the TUESDAY TOWNHALL TALK. The entire Axel Springer family “meets” in person at the Berlin publishing house, and worldwide via live stream at the workplace or on the go on a smartphone.... and anyone who had a question could ask it – also by email – to Mathias Döpfner, Jan Bayer, Julian Deutz, Andreas Wiele and Stephanie Caspar. The rules of Townhall Talk: very simple. All questions are permitted, all topics can be addressed. In this way, 60 minutes are spent discussing all of the company’s interests.

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A ‘YouTuber’ roams through the StepStone headquarters

Vlogger Benjamin Simon: So, dear friends, maybe this is something you are familiar with: When I apply for a job, I don’t really know whether the company is right for me. Usually I don‘t have a chance to take a look at it. But today we have the opportunity. Today we are going to spend a whole day at StepStone and just take a look around...“ (Video: StepStone)

StepStone is an e-recruitment company specializing in skilled professionals and executives. The company is a subsidiary of Axel Springer SE. Its headquarters are in Düsseldorf. StepStone is one of the largest German digital companies. Its goal is to achieve a “perfect match” between job seekers and companies offering jobs.

The corporate culture has retained the spirit of a start-up with an urge to innovate. StepStone employs around 3000 people worldwide – and the number is growing rapidly. They ensure a lively diversity. StepS- tone is represented in 20 countries worldwide.

StepStone studies are available for free download. StepStone conducted online salary surveys in 2014, 2015 and 2016. Around 150,000 skilled professionals and executives took part in these surveys. For the Salary Report For Graduates, only the data of career starters with academic qualifi cations and a maximum of two years of work experience were taken into account. The StepStone Salary Report for Graduates shows the average salaries for career starters, broken down by type of employment, industry, occupational fi eld, region and degree. For reasons of comparability, only the data of those survey participants who work full-time were taken into account in the evaluation.

Occupational mobility is also high on the agenda – both in politics and in every single company and private household. The questions of where one lives and works have a decisive infl uence on the quality of life and work and are strongly interrelated. This is why StepStone surveyed more than 24,000 skilled professionals and executives as well as around 4,000 companies in the spring of 2018, recording their daily commutes to work and their preferences and offers relating to occupational mobility.

(The StepStone studies: www.stepstone.de/Ueber-StepStone/knowledge-base/)

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Social Commitment

Our employees, our readers and users, our media and the company get together to address social issues through many projects and initiatives. As in 2015, the focus in 2017 was on aid for refugees.

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Advertising campaign against Fake News

In September 2017, BILD launched an advertising campaign against fake news. The short video focuses on the importance of journalistic fact checking. (Foto: Axel Springer SE)

In September 2017, BILD launched a new advertising campaign. Its focus is on the importance of journalistic fact checking. Without the professional checking of facts, the fl oodgates are opened to the unfettered spread of rumors, however absurd they may be.

The campaign “Know what’s really happening rather than just repeating” approaches the topic from a bird’s eye view. In the spot for TV, cinema and online, gossipy parrots spread the fake news that Cologne Cathedral is to be rededicated as a mosque. In no time at all, the news is uncritically repea- ted, and fl utters its way through the social networks, across the nation’s media round tables and on to international news. “Cologne – so sad!”, tweets a presidential-looking bird. But BILD knows what’s going on and provides facts instead of fakes: The Cathedral is staying!

The campaign was developed and implemented by the Jung von Matt/HAVEL agency. The spot (30 and 40 seconds) is presented on TV as well as in the cinema and online. The themes of the campaign, “Know what’s really happening rather than just repeating” and “Contradict rather than Repeat”, are also run in print and out-of-home. The campaign is also available at bescheidwissen.bild.de.

Donata Hopfen, until October 2017 Chair of the BILD Management Board: “Contradict rather than repeat, facts rather than fake, that’s what BILD stands for. Our world is becoming more and more complicated, the need for secure, relevant sources is growing. BILD offers its readers orientation and journalism that explains things clearly. Our new campaign shows with due seriousness: Only BILD can do this!”

Information about the campaign: • Strategy, consulting, creation: Jung von Matt Havel • Film production: Sterntag Film GmbH • Director: Greg Bray • Music/Sounds: Thomas Berlin, Ramin Schmiedekampf, Kobrow Music Publishing • Media: MEC Germany

(The parrots used during the shooting were cared for by professional animal trainers taking into all aspects of animal protection account. No animals were harmed during production.)

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Multimedia special on the subject of water

Photo: Welt)

Everyone needs it. For many it is a scarce resource and expensive commodity, for some it is a major business opportunity. In a multimedia special, the WELT editorial team examined various facets of water.

“Do you really believe that your water is clean?”, readers were asked when they visited the welt.de/ wasser page. In addition to the multimedia storytelling and the manifold perspectives on the subject of water, another special feature of the journalistic project was presented: Every story began with a question. Readers had to guess facts, take a decision or make a statement about their own habits. The introduction to the story was adapted to the answer given, with the aim of binding the reader to the topics through the personal reference.

Oliver Michalsky, deputy editor-in-chief, explains the objective of the project as follows: “Whether it‘s a scarce commodity, a living environment, business or a cause of confl ict - water has many facets and it’s worth taking a closer look. We have done that with reports, interactive graphics and videos: New every week at ÜberWasser.” In order to report on the topic in a multimedia setting, experts from a wide variety of fi elds are working together on the project: Reporters, editors and cameramen, but also programmers, product developers, infographers and motion designers who create interactive graphics.

Reports were from more than 20 countries. “For the start we drove to the Jordan where a river had made friends out of enemies”, says Sonja Gillert, foreign policy editor at Welt and project manager of the ÜberWasser multimedia project. “We investigated the question of whether water from space can solve our water problem. We walked for an hour with 16-year-old Bizuye from Ethiopia to her water- hole and met people in Johannesburg who can only guess what is making their drinking water undrin- kable deep down in the old gold mines.”

The project was funded with a total of 150,000 euros from the European Journalism Centre (EJC) as part of the “Innovation in Development Reporting” program. The EJC awarded a total of 600,000 euros: In addition to Welt, “Spiegel Online”, “Dagens Nyheter” from Sweden and “De Correspondent” from the Netherlands were also funded.

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BILD documentary “KZ - The System of the Murder Factories”

Eight memorials of Nazi concentration camps, fi lmed with drones carrying 360-degree cameras: In this video documentary BILD shows the murderous machinery of death from above for the fi rst time. (Video: Axel Springer SE)

It is an unprecedented digital memorial: In a unique documentary, BILD fi lmed eight memorials of former concentration camps in Germany and Poland from the air using camera drones - some equipped with 360° technology. The videos illustrate in an impressive and unsettling way the apparatus of persecution and millions of murders.

BILD presented these eight aerial recordings for the fi rst time as three to six minute video documen- taries on Israeli commemoration day Yom haShoah, which commemorates the Holocaust and the heroes of the Jewish resistance.

The BILD reporters travelled throughout Germany and Poland and documented the camps of Ausch- witz, Birkenau, Buchenwald, Bergen-Belsen, Dachau, Neuengamme, Ravensbrück and Sachsenhau- sen. The monstrous remains of barracks, bunkers, gas chambers and crematoria can be seen. The video documentary was produced at BILD Digital by a team led by chief reporter Hannes Ravic.

Julian Reichelt, Chairman of the BILD editorial offi ces and BILD editor-in-chief: “These videos are a unique testimony. They document in an unsettling way the systems of the Nazi murder factories. The pictures are facts and stand as evidence against the denial of the past. This part of German history must never be relativized or forgotten.”

Video documentary: KZ - The System of the Murder Factories A digital memorial from BILD: https://www.youtube.com/watch?v=bNwfc9jifIA

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Support for children and disadvantaged families

In 2017, Blikk surprised 800 children in the Hungarian city of Dunaújváros by getting a circus into the city and arranging a free performance there. (Photo: Blikk)

In 2017, Blikk daily tabloid newspaper decided to regularly support foundations helping children and disadvantaged families. The initiative was launched with an event on International Children’s Day in May 2017, at which Blikk surprised 800 kids in the town of Dunaújváros, Hungary by bringing the circus to town and holding a performance for them free-of-charge. In 2018, the tabloid plans a charity program of similar volume.

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GLAMOUR readers donate to Children‘s Fund

The Hungarian magazine GLAMOR motivated readers to wardrobe refreshment and donates the money to a childrens fund. (Photo: Ringier Axel Springer Hungary)

GLAMOUR magazine held its successful clothes swap action for the fourth time in June 2017 in Budapest’s Fashion Street. Sticking to tradition, the campaign once again supported good causes: in addition to promoting environmentally-friendly consumption amongst shoppers, the record sum collected from readers’ weekend shopping, over one and half million HUF, was donated to Bóbita Children’s Special Home.

Before the start of the summer season, GLAMOUR asked its readers not to discard clothes they no longer wear that are in good condition, but to act responsibly and send these in to the editorial offi ce for the magazine’s iconic clothes collection bag so they can be passed on to others. The magazine set up its pop-up shop explicitly for this purpose, which this year was visited by a record number of shoppers. There was a long line of people waiting outside the shop before it opened to get hold of clothes that were no longer worn, yet still fashionable, at a price of 500 forints each.

2017’s Wardrobe Refreshment broke numerous records: a total of 5,000 people visited the shop set up for this action to buy trendy clothes, shoes and accessories, altogether around 2,400 items, representing total sales of more than 1,200,000 HUF. The operator of Fashion Street, Immobilia Ltd. top- ped up the sum collected from shopping by 300,000 forints, thanks to which the GLAMOUR Wardro- be Refreshment campaign was able to donate a record sum of 1,510,800 forints to Bóbita Children’s Special Home.

“We typically provide care at our institution for infants and children under 3 years of age. We provide them with a temporary home and full services until they fi nd a family to adopt them. We are grateful to GLAMOUR magazine for the organisation and donation and to their readers for their active in- volvement,” said Mrs Bojtos Margit Tripolszki, Deputy Director of the Child Protection Centre in Gy€r- Moson-Sopron County.

“I am proud of GLAMOUR readers for their environmental awareness and sensitivity to charitable giving. It’s a great feeling to experience that we are able to keep pace with trends by concurrently acting in an intelligent and generous way. I am happy that GLAMOUR has the opportunity to contribute to this year after year,” is how Editor-in-Chief Krisztina Maróy summed up the importance of the weekend clothes swap action.

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Commitment of our readers

The TV Charity Gala “Ein Herz für Kinder” (“A Heart for Children”) raised 17,578,426 euros in donations in 2017. (Photo: Ein Herz für Kinder)

The aid organization BILD hilft e.V. – “Ein Herz für Kinder” has been collecting donations since 1978. The association thus provides assistance in individual cases and supports large projects – both natio- nally and internationally. Every year in December, BILD and ZDF hold a gala for this purpose. In De- cember 2017, the magnifi cent sum of 17,578,426 euros in donations was raised during the ZDF “Ein Herz für Kinder” Charity Gala. In the live broadcast hosted by Johannes B. Kerner, prominent patrons presented moving examples of the stories of children who could be helped through donations to “Ein Herz für Kinder”. Dunja Hayali came with seven-year-old Robin, who is barely able to move without outside help. His only friend and helper is a trained assistance dog, who is always there for him and gives him joy and hope. Jan Josef Liefers touched the audience with the stories of six-year-old Isabel- la and seven-year-old Klara, who suffer from child dementia (NCL). Sarah Connor was personally and visibly very moved as a patron when she presented the story of nine year old Antonia, who is suffering from a brain tumor and who can only be helped by a special therapy in Heidelberg.

The “Golden Heart” was awarded this year to Manuel Neuer, 31, goalkeeper of FC Bayern and cap- tain of the German national football team. Through this award, the aid organization “BILD hilft e.V. – Ein Herz für Kinder” acknowledges Manuel Neuer’s tireless commitment to socially disadvantaged children and young people, particularly in his hometown of Gelsenkirchen.

More than 60 celebrities from the worlds of society, sport, politics and show business accepted donations from viewers during the gala.

Information about “Ein Herz für Kinder” can be found at www.ein-herz-fuer-kinder.de.

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Charity program „Srdce pre deti“ in Slovakia

(Photo: Ringier Axel Springer Slovakia)

Das slowakische Medienhaus Ringier Axel Springer und seine Publikationen stehen für journalistische Unabhängigkeit und Glaubwürdigkeit. Die Redaktionen genießen das Vertrauen von Zeitungslesern und Website-Usern. Das Unternehmen steht für digitale Innovation.

Mit dem Benefi zprogramm „Srdce pre deti“ („Ein Herz für Kinder“) engagiert sich Ringier Axel Springer Slowakei für Kinder mit gesundheitlichen Problemen, deren Familien soziale Not leiden. Das Medien- unternehmen macht auf ihre Schicksale aufmerksam und motiviert hilfsbereite Leser und User. Weitere Informationen zu dieser Initiative fi nden Sie hier: www.srdcepredeti.sk

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B.Z. Berlin Heroes

Showing joint commitment with the “Watchers” campaign: (from left to right) Taxi24 boss Ismail Kara, B.Z. reporters Björn Trautwein and Herrmann Waldner, managing director of Taxi Berlin (Photo: B.Z.)

The B.Z. has been bringing the social commitment of large numbers of volunteers in Berlin into the public eye for more than eight years. Six times a week, B.Z. reports on voluntary projects on the “Berliner Heroes” page and gives the people who work for others in Berlin a chance to have their say. The Everyday Heroes! Every helper is a hero for the B.Z. – whether he builds a new climbing frame in the Kindergarten, tidies up the neighborhood voluntarily, tutors schoolchildren or helps the elderly and the sick.

Among the initiatives of the year 2017 were the “Watchers” from Taxi24, the Berlin City Mission and the B.Z. Volunteer Initiative Berlin heroes. 17 B.Z. readers, employees of the Berlin City Mission and the heads of the taxi fi rms “Taxi24” and “Berlin Taxi” packed 200 care packages, which were handed over to people who sleep on the street. 250 taxi drivers took part and thus became “offi cial watchers”. A fl yer provided information about the campaign. Passengers were encouraged to talk about the issue of homelessness.

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Commitment as German teacher for refugees

The voluntary German course was primarily aimed at refugee women and their children. (Photo: Axel Springer SE)

Employees in Berlin wanted to volunteer to help refugee families acquire a basic knowledge of Ger- man before they were given access to an offi cial German course. “We had hoped for 30 responses to teach a total of ten groups”, recalls Astrid Westermann, program manager in the People & Culture department. And: “We were somewhat overwhelmed when 60 colleagues signed up for this project in a very short time.”

A lot has happened thanks to the “Ich spreche deutsch” campaign, which is supported by the TUI Foundation and the Deutschlandstiftung Integration des Verband der Deutschen Zeitschriftenverleger (Germany Integration Foundation of the Association of German Magazine Publishers) as partners. “All of the colleagues fi rst took part in a two-day training session and spent a good part of their weekends on it”, says Thomas Wendt, Head of Human Resources Publishing Houses. The aim was to qualify the volunteers as learning assistants, to improve their intercultural sensitivity and to clarify important questions: How do we prepare the lessons? How we organize ourselves? What can we expect?

In 2016 and 2017 the colleagues taught the refugees the basics of the German language in teams of three. Eight courses were offered per week, aimed primarily at women and their children. The only rule: “German only!” Astrid Westermann: “From the point of view of human resources development, we also benefi t greatly from this opportunity to volunteer.” The creative potential that the colleagues showed during lesson preparation was enormous – from self-designed memory games to creative picture puzzles and the proverbial explanations “with hands and feet” (using gestures to explain).

“I am happy if I can help some of the refugees learn German more quickly”, says Philipp-Christian Thomale, a lawyer in the legal department of Axel Springer and a volunteer German teacher: “The task reminds us that we are very fortunate to be able to live in peace.”

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Immowelt apprentices sponsor children worldwide

In cooperation with Plan International, Immowelt apprentices gain experience as volunteers and sponsors. The sponsored children live in around 50 different countries. (Video: Immowelt Group)

Immowelt has been working with the children’s aid organisation Plan International for years in order to give children around the world a better start in life. Through the sponsorships the children get a real chance at a self-determined childhood and a better future. Immowelt apprentices now look after around 100 children in 50 countries.

For Immowelt, assuming responsibility means more than just taking care of your own employees. The sponsorships help to improve the educational opportunities for the children and to facilitate their access to basic health care. In addition, the sponsored children and their families are also given access to clean drinking water, for example.

The Immowelt apprentices take over the care of the sponsored children during their fi rst and second years of training. They are in contact with the children and report to each other in letters about their respective living environment. Twice a year the apprentices also send gifts, such as crayons or a schoolbag. This also benefi ts the apprentices. They gain an insight into other cultures and learn to assume social responsibility.

In addition to the sponsorships, there are also donation projects such as the ‘Advertise and donate a future’ campaign, in which Immowelt donates a fi xed amount for every property advertised. With the proceeds from this campaign, Plan International was able to renovate and furnish a classroom in the Lilongwe region of Malawi.

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Foosball for a good cause

Kick that ball! The Axel Springer Foosball Tournament. Jan Bayer (l.), President Paid Models, and Julian Deutz (r.), Chief Financial and HR Offi cer, also took part. (Photo: Axel Springer SE)

Première in Hamburg: The kick-off for the fi rst Santa Claus Foosball Tournament took place in De- cember 2016. 22 teams of two players and numerous spectators met in the Axel Springer Passage in Hamburg to play foosball with mulled wine, gingerbread, spiced cookies and Christmas music for a good cause.

The teams “AS PIRIN” versus “Rot Weiss Verkäuferrot” served up an exciting fi nal. Victory for “Rot Weiss”! Philipp Petrovic and Florian Hobein from SPORT BILD were the happy trophy winners.

However, apart from the fun, the good cause was also not neglected: Each player paid an entry fee of fi ve euros – and since the donation box was already set up a week before the kick-off at the PACE cash desk at Deli News in Hamburg, a total of 567 euros was raised. “It’s great that our colleagues didn’t take the fi ve euros so seriously and donated a little extra for each mulled wine”, said Christi- na Wolf, Location Manager Hamburg, who organized the foosball tournament with Katharina Heinz, Head of Brand Marketing & PR SPORT BILD. The donation goes to the Erlenbusch institution in Ham- burg Volksdorf.

At the same time, the foosballs were also rolling at full speed in Berlin. The Axel Springer Foosball Tournament in the moveBOX took place for the second time this year after its great success in 2014. Unlike Hamburg, there were not just one, but three match days. 37 teams of two battled it out for the Champion‘s Trophy from 6 to 8 December 2016. Jan Bayer, President Paid Models, and Julian Deutz, Chief Financial and HR Offi cer, also took part. “The most important thing is that we have fun with our colleagues”, they agreed.

The money collected by the Berlin colleagues was donated to the MehrGenerationenHaus Wassertor for the “Kreuzberg kickt” project.

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Warming donations for a great Christmas celebration

For the 22nd time, the musician Frank Zander invited 3,000 homeless and needy people to a Christmas party at the Estrel Hotel in Neukölln. For this, Axel Springer SE employees collected and donated warm clothes (Photo: Axel Springer SE)

The “silent” Santa Claus in the Axel Springer Passage in Berlin asked for warming help for the homeless – and colleagues from all over Germany responded to his appeal. They donated hats, scarves and gloves.

The collection at Axel Springer yielded 262 caps, 159 scarves and 57 pairs of gloves. They were presented to the 3,000 needy and homeless people at the Christmas party organized by musician Frank Zander at the Estrel Hotel in Neukölln.

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300 pink balloons against terrorism

Out of compassion and respect, BILD employees commemorated the victims of the suicide bombing on Tuesday, 23 May 2017 with a spontaneous demonstration: 300 pink balloons as a sign of solidarity and joie de vivre that terror cannot defeat. (Photo: Axel Springer SE) A suicide bomber blew himself up after a concert by US singer Ariana Grande on 22 May 2017 in Manchester, killing 22 people, including several children. At least 60 people were injured. Pink balloons, which can be seen in the pictures and videos of the children and young concert goers at the Manchester Arena, stand for the enthusiasm and joy the singer radiated on stage and transmitted to her fans during her performance. Now they have become a symbol of pain and speechlessness.

Out of compassion and respect, BILD employees commemorated the victims of the suicide bombing on Tuesday, 23 May 2017 with a spontaneous demonstration: They wanted to send a symbolic signal that the in part very young victims went to the concert for a joyful occasion and full of excitement and enthusiasm. In front of the publishing building in Berlin, 300 BILD employees sent 300 pink balloons up into the sky above Berlin to commemorate the victims and the joie de vivre that terrorism cannot take away.

Julian Reichelt, Chairman of the BILD editorial offi ces and BILD editor-in-chief: “When we saw the pictures today, I think we all felt the need to express that we sympathise with the people, the families and the victims in Manchester. We thought about that which should express joie de vivre and has now become such a bitter symbol, is perhaps beautiful and appropriate to show the people of England that we are thinking of them and their children.”

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Social Day of the Classifi eds Media division

Great joy: The erection of a new bicycle shelter was a great success! (Photo: Axel Springer SE)

In September 2017, the Executive Board Classifi eds Media division swapped their offi ce chairs for working gloves for the second time. Around 60 employees from the Executive Board division visited the Blindenhilfswerk (Blind Relief Organization) in Berlin Steglitz to restore the large garden to its former glory after a rainy summer.

Combining a team building activity with a useful purpose? The department came across the Berlin Blindenhilfswerk while looking for an institution in need of help with space and work for about 60 employees. It soon became clear: Every hand is needed here. The association has been supporting blind and visually impaired people since 1886 and provides living space, work and care. The Blindenhilfs- werk organizes itself without state support.

The colleagues from the Classifi eds Media division had a lot to do on the 4000 square metre site in Rothenburgstrasse. Divided into eight teams, they built a shelter for blind tandems, restored a running track for visually impaired students and residents, and removed countless weeds and undergrowth from the grounds. Catering was also provided for: The “kitchen team”, supported by the blind and visually impaired residents, prepared everything fresh for the collective barbecue.

In the evening we had dinner together and had the opportunity to refl ect on our impressions. As at the previous Social Day, Andreas Wiele, President Classifi eds Media, had invited all employees back to his home.

Andreas Wiele: “Social Day has a threefold motto: Do good, learn new things and get to know your colleagues better. I’m happy that this has worked out so well again this year, because 97 percent of the participants want to do it again!”

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Cents after the decimal point for fl oating gardens

Axel Springer SE employees support people in need through the “Small Change Campaign”. In 2017, employees donated to the “Floating Gardens” project in Bangladesh, supported in cooperation with Welthungerhilfe (German charity fi ghting against hunger). (Photo: Welthungerhilfe) The employees of Axel Springer SE have been supporting projects organized by the German Welt- hungerhilfe with the “Small Change Campaign” since 1987. The small change donated benefi ts one of the organization’s worldwide aid projects. Every month, Axel Springer employees allow the sum after the decimal point in their pay slips – a maximum of 99 cents – to be deducted thereby automatically donating to an aid project. The works council and the management jointly determine which project is to be supported with the money.

In 2017, the sum of 8,883.72 euros was raised for the “Floating Gardens” project in Bangladesh, which is supported in cooperation with the Welthungerhilfe. The amount was more than doubled by the Axel Springer Executive Board to 18,000 euros. This will support smallholder families in Bangla- desh whose livelihood is threatened by fl ooding.

Only a few meters above sea level and criss-crossed by numerous rivers, Bangladesh is particularly vulnerable to the effects of climate change. Hurricanes and torrential rain with fl ooding are increasing in frequency. As a result, homes, crops, water and sanitation are destroyed and food shortages are experienced. The food situation is particularly acute in the lower-lying rural regions in the northeast and the river islands of the Jamuna, which are constantly changing their shape and position in the current. Here, Welthungerhilfe is supporting around 10,000 smallholder households in 50 villages.

How can plants be protected from destruction by fl ooding? By making them fl oat. Bamboo poles and water hyacinths are woven together to form a raft. Layers of mud and soil create fertile beds that fl oat on the surface of the water. Spinach, okra, turmeric, potatoes and amaranth thrive particularly well on them. Plant bags are also used. They require little surface area – and peppers, eggplants, tomatoes, cucumbers, pumpkins and leafy vegetables can be moved to another location if required.

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Teenagers from refugee families visit

Teilnehmer von „Oberstufenzentren on Tour“ informieren sich im Berliner Verlagshaus Axel Springer über Medienberufe (Foto: Axel Springer SE)

As part of the cooperation project „Oberstufenzentren on Tour“, 17 young people from refugee families visited Berlin publishing house Axel Springer at the invitation of commercial vocational training. They got to know the company and the apprenticeships offered.

Already in April 2016, Axel Springer had initiated together with other Berlin companies the campaign „OSZ on Tour“. This joint event series of six companies is aimed at around 20 refugees from the welcome classes of the Berlin Oberstufenzentren. Every quarter a visit to one of the participating companies takes place. This should facilitate career orientation.

In May 2016, 17 senior students from Afghanistan, Syria and Eritrea visited the Berlin publishing house. They got to know the diverse range of activities and brands of the house. Apprentices from Axel Springer explained their job profi les.

„I am pleased that these students who have experienced so much are with us today and that we can contribute to their professional orientation,“ said Uta Bendixen, training manager at Axel Springer in Berlin. Especially exciting for everyone: the visit to BILD and the participation in the 11 o‘clock conference. Afterwards, the senior high school students were able to talk to the chairman of the BILD editorial staff and BILD editor-in-chief Julian Reichelt about his experiences as a journalist.

„The day was perfect. I thought it was great to get to know the apprentices and to hear what their working day looks like. The question and answer session with Julian Reichelt was also great, „said 19-year-old Syrian Ayman Hisnawi. He has been in Germany for fi ve months and can imagine starting an apprenticeship at Axel Springer after school. The 22-year-old pupil Florentina Haliti from Kosovo was also satisfi ed: „I have learned a lot here and you get good ideas about what you can do after school,“ she said. Her dream: to work after school in the commercial sector.

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Laying the foundation stone for the new Axel Springer building in Berlin

DAS FUNDAMENT is a fi lm documentary on the history of the building site of the new Axel Springer building in Berlin. (Source: Axel Springer SE)

“We are very pleased that our new building project is now taking shape. We are building on historically charged land, directly adjacent to the former Berlin Wall, in the former eastern part of the city, in such a way that Axel Springer also transcends the boundaries of the once divided city. We are building on a plot of land that has experienced German-German tragedies, and in particular also German-Jewish tragedies. Remembering this history, our goal is to look to the future. Rem Koolhaas’ radically modern design redefi nes workspaces in the digital world. It is to become a symbol and an amplifi er for change and for the association of the employees with their company.” With these words, Dr. Mathias Döpfner, CEO of Axel Springer SE, greeted the more than 140 guests, including the Governing Mayor of Berlin, Michael Müller, as well as numerous people involved in the construction work.

With the laying of the foundation stone of the new publishing building on 2 May 2017 in Berlin, Axel Springer SE is not only looking to the future of the modern working world 4.0, but also back to the historical foundation on which the new publishing building will be erected. A specially produced fi lm documentary, “Das Fundament” (“The Foundation”), tells the stories of the building site. The 15-minute fi lm was premiered during the festive ceremony.

Sven Felix Kellerhoff, editor-in-chief of Zeit- und Kulturgeschichte Welt and Hans-Wilhelm Saure, chief reporter in the BILD Investigative Research department, succeeded in bringing hidden and forgotten stories that occurred on the site of the building site to light again in an extensive and cross-brand research. Aware of its responsibility for this historical legacy, Axel Springer traces the history of Germany as a whole with previously unpublished contemporary documents and interviews with contemporary witnesses. Friede Springer, Deputy Chair of the Supervisory Board, Dr. Mathias Döpfner, CEO of Axel Springer SE and Stefan Aust, publisher of Welt, also have their say in the fi lm.

The documentary reports on the vibrant newspaper district with the major publishing houses Mosse, Scherl and Ullstein, how newspaper rolls were misappropriated as barricades during the communist Spartacus uprising in January 1919 and on the extensive destruction of the newspaper district during the Second World War. Nor does it omit the grim chapter of the deportations and murder of Jewish residents. At least 24 Jewish residents lived on the site in the 1930s, and hardly any survived the Holocaust.

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Contemporary witnesses from East and West Berlin tell us what it feels like to have their personal freedom cut off by the Berlin Wall from one day to the next and how they recaptured it through a spectacular escape. The student revolts of 1968 and the spontaneous cello concert by Mstislav Leo- poldowitsch Rostropowitsch, days after the fall of the Berlin Wall in November 1989, are also included in the fi lm.

The Cologne fi lm production company Zeitsprung Pictures GmbH produced the fi lm on commission for Axel Springer SE. “Das Fundament” is the fi rst of four chapters planned to follow the chronology of events and document the development of the new Axel Springer building. Axel Springer SE dedicates the fi rst fi lm chapter to “the victims and heroes whose fate was connected with the building site.”

The unusual architecture of the new building not only stands for the future of work, it is also a symbol of Axel Springer’s digital transformation. The design was made by the renowned Dutch architect Rem Koolhaas (Offi ce for Metropolitan Architec- ture), who prevailed over 17 architectural offi ces in a prior design competition (Image: Offi ce for Metropolitan Architecture / OMA)

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Ernst Cramer & Teddy Kollek Fellowship

Fellows of the Ernst Cramer & Teddy Kollek Scholarship for young journalists from Israel and Germany in the Journalists’ Club of the Axel Springer House in Berlin (Photo: Axel Springer SE)

Through the Ernst Cramer & Teddy Kollek Fellowship, Axel Springer SE once a year enables young Israeli and German journalists to work in the other country.

In November 2017, the Fellows met in Berlin for an exchange with the Israeli and Egyptian ambassadors. Dietrich von Klaeden, Group Managing Director Public Affairs, opened a very special meeting of the Ernst Cramer Fellows in the Journalists’ Club on the 19th fl oor of the Axel Springer House in Berlin.

Israeli Ambassador Jeremy Issacharoff and Egyptian Ambassador Badr Abdelatty answered the young journalists’ questions. This was an unusual and interesting constellation given the background of the Middle East confl ict, which has remained unresolved for decades. Von Klaeden began by recal- ling the words of Axel Springer, which the publisher’s founder put on paper in an editorial in the WELT am SONNTAG following the Israeli-Egyptian peace treaty of Camp David: “Both Begin and Sadat, these politicians who are statesmen, with the strength of their hearts and minds, have accomplished a feat of willpower which has no precedent in recent history. […] It is important to continue to stand fi rmly on Israel’s side – upright, but since these historic days now also with a bow to the man in Cairo who had the courage to shake off his own past for the sake of a better future.”

In addition to the Israeli-Palestinian confl ict, the lively discussion touched on a wide range of topics, including freedom of the press, the problem of sexual assault and the Iranian nuclear program. The visit was rounded off with a guided tour of the WELT newsroom and lunch at the Journalists’ Club.

The Ernst Cramer & Teddy Kollek Fellowship was established by Axel Springer SE in 2003 on the occasion of Ernst Cramer’s 90th birthday. After Ernst Cramer’s death in January 2010, Axel Springer provided additional funds for the program. Following a suggestion from Ernst Cramer, the scholarship was combined with a tribute to the former mayor of Jerusalem, Teddy Kollek.

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Transatlantic Round Table on Gulag photography

Participants of the eighteenth Transatlantic Round Table (from left): Marcus Woellner (WELT), Hans-Werner Marquardt (B.Z.), Dr. Erik Lindner (Axel Springer Foundation), Fellow Aglaya Glebova, Andrea Seibel (WELT), Fritz Esser (BILD), Laura Aha (Axel Springer Akademie) and Sophie Maaß (American Academy) (Photo: Axel Springer SE) “Are you still working in the fi eld of art research?” The question by Fritz Esser, deputy head of BILD’s politics and business department, was somewhat provocative, but quite justifi ed. At the eighteenth Axel Springer Transatlantic Round Table the Russian-American professor and American Academy Fellow Aglaya Glebova presented her research on the “Soviet avant-garde 1928-1932”. But the participants soon realized that this art topic had much more to do with Esser’s department than it had seemed at fi rst glance.

Aglaya Glebova is particularly interested in Alexander Rodchenko, a Russian painter and photogra- pher who became internationally known for his photo collages of the construction of the Stalin Canal. Today, the canal is called the White Sea-Baltic Canal, stretches from St. Petersburg to Arkhangelsk and was built by the inmates of Soviet “re-education labor camps”, the infamous “Gulag”. For Glebo- va it was only a small step from Rodchenko to research on Gulag photography in general. Fellowship patron Andrea Seibel, head of the Forum WELT department, moderated an interesting discussion on many of the political and human aspects of the Gulag system, in which at times up to four million people were imprisoned and in which many lost their lives. The bitterness of history: Today, the canal is too shallow and narrow for many ships to use.

The American Academy in Berlin is an American research and cultural institution in Berlin. It serves the goal of scientifi c and cultural exchange between Germany and the United States. To this end, it offers scholarships in the humanities, art, social sciences and political sciences – the Berlin Prize. Schol- arship holders work on their projects and give public lectures, present their art or give concerts. The Academy also invites leading American politicians, experts in various fi elds, and journalists to Berlin for short visits to promote a continuous and sustainable exchange of views between Germany and the United States. Axel Springer SE is one of the sponsors of the American Academy.

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Axel Springer Award for www Inventor Berners-Lee

Axel Springer Award 2017: An evening for World Wide Web inventor Sir Timothy Berners-Lee. (Video: Axel Springer SE)

In May 2017, Axel Springer presented Sir Timothy Berners-Lee with the Axel Springer Award 2017. Under the motto “An Evening for Sir Timothy Berners-Lee”, representatives from the media, politics, business, culture and science honored the inventor of the World Wide Web at a festive reception at the Axel Springer Journalists’ Club in Berlin. “Please, no red carpet!” was the wish of the laureate. Instead, the scientist Sir Timothy Berners Lee enjoyed a stimulating exchange about the future perspectives of his invention, especially regarding the distribution of media content on the Internet.

Dr. Mathias Döpfner, Chief Executive Offi cer of Axel Springer SE, welcomed the guests and said: “After language, writing and printing, the World Wide Web is mankind‘s fourth communication fortune. We owe it to Sir Tim Berners-Lee that we are able to use it. His contribution to the dissemination of knowledge that people can share is an invaluable gift. And it is all the more remarkable that Sir Tim Berners-Lee is so committed today to pointing out certain critical developments.”

The Axel Springer Award honors outstanding personalities from Germany and abroad who are particularly innovative, who create and change markets, who shape culture and at the same time assume their social responsibility. The prize recognizes achievements and encourages further steps. The fi rst recipient of the Axel Springer Award in February 2016 was Mark Zuckerberg, founder and CEO of the company Facebook. The format of the event is individually tailored to the laureate.

The Axel Springer Award is a prestige prize without monetary reward with the aim of encouraging innovation and entrepreneurship.

Further information on the Axel Springer Award can be found at http://www.axel-springer-award.com.

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Children‘s Festival in the Axel Springer Passage in Berlin

A highlight at the Children‘s Festival in the Axel Springer Passage in Berlin: Bungee Jumping (Photo: Axel Springer SE)

The fi rst Axel Springer Children‘s Festival took place in Berlin in November 2017. Around 780 visitors came to the Axel Springer Passage in Berlin to take part in the rich and varied program for young and old. Between the rattling Wheel of Fortune and the aromatic Children’s Bakery, there were numerous other activities for young and old to take part in.

21 cooperation partners supported the project by the company’s HR department and the Berlin Heroes, a B.Z. project. The Children’s Bakery by PACE was well frequented from the very fi rst minute with “up and coming young confectioners”. Also very popular: Bungee Jumping for the older children and the Bobby Car Race for the youngest – here the plastic cars were fi tted with drills to the delight of their fathers.

Christian Bauer, PACE Event Management, and his daughter Elsa were delighted with the festival. Elsa: “Daddy, may I come back to work with you tomorrow? That was great.” Christian: “We found everything that our company had put together for us great. Absolutely great.”

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Commitment at Ringier Axel Springer AG

The example of Hungary: Job portal Profession.hu is looking for “Labradors with interest in new challenges” who could be suitable as guide dogs for the blind. (Photo: Profession.hu)

Ringier Axel Springer Media AG is a leading integrated multimedia media company in Central and Eastern Europe. The company was founded on 1 July 2010 by the Swiss Ringier AG and the German Axel Springer SE with the aim of bundling the international activities of the two companies in Central and Eastern Europe. Today it has a broad media portfolio of more than 165 digital and printed products in the growth markets of Poland, Hungary, Slovakia, Serbia, Estonia, Latvia and Lithuania.

Ringier Axel Springer SE is involved in numerous sectors of society. Examples of projects from the respective countries in which the company is active can be found here.

The example of Hungary: The job portal profession.hu is looking for guide dogs for the blind Profession.hu, the leading Hungarian job portal, is committed to training guide dogs for the blind. Hungary has about 30,000 visually impaired or blind people. But only 1 percent of them have a guide dog to help them in their everyday life. More and more visually impaired people are asking for trained dogs, but there are simply not enough animals that have been prepared for this important task. The training of a guide dog for the blind takes two years, which means that the waiting period for four- legged support is at least two to three years. In August 2017, the Baráthegyi Guide Dog School for the Blind and the Profession.hu job exchange joined forces to fi nd young and suitable Labrador dogs “in search of new challenges in their lives”. This was done through the free publication and promotion of “job vacancies” on Profession.hu with the call for “socially sensitive” and courageous dogs. A joint social media campaign was launched to draw attention to these special “job vacancies” that achieved excellent results on Facebook: The posts by Profession.hu were shared almost 100 times and reached 34,435 recipients directly.

The example of Serbia and Slovakia: A heart for children Ringier Axel Springer supports disadvantaged children and their families in Serbia and Slovakia through the annual “A Heart for Children” campaign.

The “A Heart for Children” campaign of the Blic Foundation has been collecting funds to help socially disadvantaged children in Serbia since 2013. More than 400 children and their families throughout Serbia have already been supported with donations such as furniture, household appliances, fi rewood and the renovation of their homes. Ringier Axel Springer Slovakia also collects money for disadvantaged children and supports projects in the fi elds of education and health.

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Engagement with Awin

Volunteering Days (Photo: Awin)

At Awin, our 2017 strategy focuses on implementing an inclusive and holistic approach to CSR. We have broken this down into three main pillars which are integral to this being a success; charity and fundraising, volunteering and protecting the environment (sustainability).

For Awin, the fi rst and most important element is to select a corporate charity. After a nomination process, we selected Mind – The Mental Health Charity as our partnered charity for 2017-2018. Mind does incredible work in raising awareness about mental health issues as well as ensuring that people suffering from mental health problems receive the right levels of support and respect, with the ultimate goal of reducing the stigma associated with mental health. Our committee has a charity arm that is responsible for organizing activities and events to help reach our £10,000 target for Mind. We have lots of exciting events on the horizon this year, ranging from quizzes and bingo to sporting events. There are also a large number of employees competing in Tough Mudder and the Superhero run in May. The fundraising we have seen so far has been amazing; please check out our company Just Giving page and spare a few pennies for the members of Team Awin or make a general donation.

Awin offers two paid days off per year to all of our employees for volunteering. However, we discovered that although people liked this perk, they were unsure of how to go about using it, so the next part of our strategy was to fi nd a solution to this and ensure that staff make the most of these days. We now partner with Benefacto, a platform which connects charities from our local community with companies who want to volunteer. Benefacto partners with an ever-increasing number of charities covering a broad range of interests from food banks, employability centres and gardening, to working with children and elderly people. Engagement through Benefacto has been positive so far and our fi rst batch of employees has embarked on volunteering through this platform.

The last logical pillar for a holistic CSR initiative is sustainability, thus ensuring that Awin as a company and each employee individually acts in an environmentally friendly way. This could be as simple as ensuring that paper is printed on both sides or that employees cycle to work. This type of initiative is new to Awin and we are going to introduce a number of activities related to this in the later part of the year to encourage employees to pledge themselves to certain things which will reduce their impact on the environment. CSR is something that is important on a global level.

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Price comparison portal idealo founds “sozialo e.V.”

“sozialo” is an voluntary initiative run by idealo employees in Berlin. The sozialos carry out various charitable activities and strengthen the neighborhood through their commitment. The activities range from cake bazaars for good causes, cooking evenings with refugees, make-up and handicraft activities with kids from the neighbourhood, to charity events. (Photo: idealo)

idealo is one of the leading providers of price and product comparisons in Germany. From the “sozialo Day” to spontaneous fundraising: At idealo we get things done. We don’t need endless explanations in order for us to stand up for people and the environment. We just do it! We get to work where help is needed; not where the most attention beckons. idealo is not only active itself, but also encourages the commitment of its employees. “If our colleagues contribute to strengthening society, then it is important for us as entrepreneurs to support this commitment”, explains idealo Managing Director Albrecht von Sonntag.

Our environmental commitment Together with our GREENteam we make idealo a little greener every day. The GREENteam is a cross- departmental working group and each member is an ambassador within their own department and the idealo environment. We have achieved a lot of success with our GREENteam in recent years! Whether muesli, fruit, vegetables, coffee or milk – we purchase food in organic or Demeter quality. True to the motto “live more consciously”, we promote the responsible handling and sustainable selection of food and consumer goods. Twice a week we offer our employees a subsidized organic lunch. In our offi ces on Ritterstraße, we purchase 100 percent green electricity from naturstrom. In spring 2016, we built a total of 21 raised beds for our urban garden with the Berlin Prinzessinnen Gär- ten (Princess’ Garden) at Moritzplatz.

Our social commitment We at idealo want to help people and believe that through good deeds we can make the world a little better. We see ourselves as responsible neighbors and partners in our Kreuzberg neighborhood, which is one of Berlin’s weakest districts in socio-structural terms (as of 2016). That is why we support local associations and initiatives in implementing pressing needs-oriented projects to strengthen our neighborhood.

Kreuzberg Neighborhood Network – Working together for a strong neighborhood Together with the MehrGenerationenHaus Wassertor 48 e.V. and the Paritätischer Wohlfahrtsverband Berlin, we created the “Kreuzberg Neighborhood Network” as a platform for committed companies and organizations in the spring of 2016. The network sees itself as a catalyst for new ideas and commitment around the Wassertor, Ritterstrasse and Moritzplatz district in Berlin. Within the Neighbor- hood Network we organize and implement projects such as neighborhood beautifi cation campaigns,

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neighborhood festivals or food and clothing donations for needy people. A number of neighboring companies have also joined the network. These range from traditional medium-sized companies to fashionable start-ups. We would also like to attract intercultural family businesses and independent one-person businesses to the network in the future in order to make our neighborhood even more liveable and lovable.

The sozialo Day We have been organizing the “sozialo Day” since 2014. Our employees, the idealos, are given half a working day off to get involved in charitable activities. For example, hard-working idealos built two raised beds in the “Kleine Ritterburg” children’s leisure center, constructed a shed in the MehrGene- rationenHaus Wassertor 48 e.V. and collected around 20 bags of rubbish on the Weigandufer canal bank. When selecting activities, we ensure that there is a real need that would not be met without our support.

sozialo In 2014, 20 idealo employees launched the voluntary initiative “sozialo”. The sozialos carry out various charitable activities and strengthen the neighborhood through their commitment. The activities range from cake bazaars for good causes, cooking evenings with refugees, make-up and handicraft activities with kids from the neighbourhood, to charity events. The sozialos always come up with creative ideas for collecting money and donations in kind and involving the entire workforce. At the same time, they are strongly committed to coming together and communicating with people who are in need of help. Sometimes it just takes an open ear. In 2015, the commitment by sozialo was honored with the second place in the “Franz-von-Mendelssohn” medal. Another prestigious award followed in 2016 at “Engagiert in Berlin”.

idealo supports its employees. This made it possible for the initiative to become an official association: sozialo e.V. (registered association) ! The association has in the meantime also opened its doors to other committed persons, regardless of whether they work for idealo or not. We will continue to support the sozialos. If rooms are needed, resources, or competent advice in accounting matters – even if sozialo e.V. is now fully fledged, idealo stands by with lots of helping hands.

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Sustainability at SeLonger

In cooperation with the association SOLIHA, SeLonger collected money for the project „Shared Living Space and Autism“ via a crowdfunding campaign. SeLonger donated the same amount as the crowdfunding campaign raised. (Photo: SeLoger)

SeLoger is the leading French real estate portal.

March 2017 SeLoger partnered with an association “La cravate solidaire” (the solidarity tie). This association helps unemployed people by providing business attire. SeLoger employees were asked to donate second- hand business clothes. The collection totalled 3 cubic meters of clothes.

April 2017 SeLoger supported a social crowdfunding project led by an association dedicated to autistic young adults: the development of a building shared by autistic and non-autistic people. SeLoger made a donation (10 k€) to match the crowdfunding donation.

Long term initiatives Since its inception in 2013, SeLoger has supported the I Loge You foundation. The foundation is committed to helping disadvantaged people gain access to decent housing. SeLoger’s yearly contribution amounts to 40 k€.

SeLoger partners with Wilco, one of the largest incubators in the Paris region fi nancing more than 120 start-ups per year. SeLoger is part of the incubator’s jury allocating subsidized loans which amount to a fi nancial contribution of 20 k€ per year. For the second year running, SeLoger employee volunteers participated in skill-based sponsorship for the start-ups. 3.6% of SeLoger employees took part in the fi rst session.

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“Holidays with heart” by traum-ferienwohnungen.de

Easter holidays 2017: Children run exuberantly across the sand dunes of the North Sea island of Norderney. Families, which can only rarely or never afford to spend their holidays together, are invited by traum-ferienwohnungen.de. (Photo: Traum- Ferienwohnungen)

Holidays at last! Every year countless families look forward to their next holiday. To experience something new together, to leave everyday life behind for a while. But an increasing number of families can no longer afford a holiday. In many cases, families struggle with the problems resulting from the illness of a family member or unemployment and which make a holiday impossible.

This is why the holiday portal Traum-Ferienwohnungen launched a project called “Holidays with heart” in 2014. Along with its partners WERDER BEWEGT – LEBENSLANG and the radio station ENERGY Bremen, ferienmitherz.de supports families with limited opportunities for holidays.

In 2015 ten families spent their Easter holidays on the North Sea coast in St. Peter-Ording at the invitation of ferienmitherz.de. In 2016, ten sponsored families spent their holidays on the Baltic Sea island of Fehmarn. And in 2017, ten families were able to have a North Sea holiday on the island of Norder- ney. For further details, please read: www.ferienmitherz.de

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Environment

Digitization requires electrical energy. Group Controlling is developing procedures to identify as comprehensively as possible the CO2 emissions resulting from the generation of the electricity purchased for the approximately 200 companies that are part of Axel Springer SE.

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What to do if your “fi lling station view” is missing

Florian Baier from Group Controlling at Axel Springer SE wants to optimize the completeness and transparency of data in the area of energy and CO2 emissions for the approximately 200 companies that make up Axel Springer SE. (Photo: Axel Springer SE) Reduce CO2 emissions, reduce the environmental footprint: A large number of companies would certainly sign up to these targets in 2018. They are also on the Axel Springer SE agenda. However: Controlling this process in a planned way is not easy. First of all, the company has to solve a fundamental problem. Florian Baier is one of the people taking up this challenge for Axel Springer. A workshop report.

By Julia Beil

Some companies seem to convey the impression in their reports that they have an overview of their CO2 emissions. They formulate goals that sound like “By 2020 we want to reduce our CO2 emissions by XY percent”. Axel Springer is more restrained in this respect. Because fi rst the company wants to answer a question that must form the basis of such a statement – and which is far more diffi cult to answer than many assume: How much energy do we actually get for the money we pay?

At Axel Springer, Group Accounting and Controlling have been trying for some time to fi nd out how much energy the company, which now has around 200 holdings, actually uses – and how much CO2 it subsequently emits.

The challenge: Most companies always know how much money they are spending; how much energy they are getting for it is something few people really know. The situation is comparable to a faulty fuel pump at a fi lling station: It shows the customer how much he has to pay – but not the amount of petrol he gets for it.

Florian Baier, along with the other 20 employees in the Group Controlling department of Axel Sprin- ger SE, wants to improve the completeness and transparency of data in the area of energy and CO2 emissions. The 47-year-old has been a manager in the Finance Executive Division of Axel Springer since 2008. There he manages projects and initiatives within the scope of digitization and internationalization, with a focus on commercial projects, controlling and reporting. At the moment, Baier is working on a method with the help of which the company can determine how much electrical energy Axel Springer SE uses as a whole - including its consolidated holdings.

This is a new area of responsibility for Baier, who as a rule only deals with the fi nancial side of the fuel pump. The primary tasks of the Controlling department include the preparation and interpretation of the monthly and annual fi nancial statements, the management of the annual planning process and

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the preparation of forecasts. Baier is working closely with Group Accounting and Investor Relations. Portfolio Management and the Executive Divisions are also internal customers of Controlling.

This focus on the purely financial did not pose a problem in the pre-digital era: Axel Springer consisted of a relatively stable number of fixed office buildings and printing locations. They contained a manage- able number of electricity meters that could be easily read. Today things are completely different. Baier and his colleagues need to rethink.

He sums up the reasons for this in two words: “Digitization” and “Internationalization”. Collecting energy data is not easy in a company whose around 200 holdings are located throughout Europe, the USA and even in Mauritius. Also: “Not even the Axel Springer subsidiaries based in Germany have a central electricity provider that sends a single invoice at a given time”, says Florian Baier. The holdings also have completely different profiles and fields of activity. In addition to media brands such as BILD, WELT and BUSINESS INSIDER, the portfolio also includes international job portals such as StepStone and the online marketing platform Awin.

This diversity further complicates the overview. Baier: “Deutsche Post, for example, has it a little easier than we do at Axel Springer. It is a more homogeneous company: Postal vehicles and airplanes account for the bulk of CO2 emissions.”

Nevertheless: Baier is optimistic that he will soon be able to determine at least approximately the energy usage of the individual companies. For this, however, he not only needs an overview of simple consumption quantities. He has to identify a number of so-called “Key Performance Indicators” (KPIs). Once he knows them, the management can use them to try and influence, for example, the reduction of CO2 emissions by turnover. But what exactly do these KPIs designate?

“First of all, there’s the obvious one: electricity consumption in the offices. The computers, the coffee machines, the light”, explains Florian Baier, “in addition to this there are business trips as an important source of emissions. We fly, we drive cars, we take trains.” No Axel Springer employee who drives a rental car to a business appointment receives a bill from the rental company stating how much CO2 he has emitted during his journey. The central travel agency in Berlin’s main building sends each customer an overview with an indication of how many kilometers per type of transport and what CO2 emissions this corresponds to; of course, not all of those involved throughout the world book their business trips via this office.

Florian Baier relies on cooperation with the financial management of the holdings – at least the largest ones – to determine the energy quantities invoiced. This is why he regularly sends a questionnaire to each Chief Financial Officer (CFO), which he has made increasingly detailed over time. Baier has long since stopped simply asking about electricity consumption. Today he also wants to know from the companies: How many square meters of office space do they occupy? How many employees work there? To which period does the data refer? In this way, he can calculate, for example, how much electricity is used on average per sales unit or per workplace – a non-financial indicator that has tra- ditionally played no role in either Accounting or Controlling. With the help of the country-specific CO2 factors – published by the International Energy Agency (IEA) in Paris – he can then identify the CO2 emissions associated with the use of energy.

At present, however, it is impossible to send this questionnaire to all of the approximately 200 holdings and subsequently evaluate it. The amount of work would be too great, the benefit too small. Baier uses estimates for the – mostly small – companies from which he does not collect this data. The values he comes up with are not “rule of thumb figures”, he explains. The calculations that the controller makes are qualified estimates. Baier doesn’t see this as a problem: “For the sustainability report, it is not necessary to obtain all the relevant figures for a holding located in Mauritius, for example. We also do not need all the values of each individual holding” His procedure works well: “It’s like a forecast for elections: The numbers are pretty accurate. We’re getting very good results.”

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Isn’t it possible to simply read the electricity consumption from the individual electricity bills? No, says Baier – for several reasons. “Many of our holdings can’t even present an electricity bill that we could do anything with. For some, for example, the electricity is simply included in the rental price, the actual consumption figure is not stated separately anywhere”. And even on the invoices that are accessible to him, in many cases it is not shown what the amount of energy supplied means in CO2 emissions.

The response Florian Baier gets from the CFOs of the holdings is in most cases positive – but not always. “The resistance is still high in places. Some people dismiss our cause as nonsense. In addition, answering our questions also means additional work for the companies, even if it is not a lot.” How- ever, if data collection is successful at the end of the process, there are often also success stories – from which the holdings themselves can benefit greatly. “Sometimes I notice differences in the relative energy needs of different companies. In such cases, I can establish links between holdings with similar dimensions and similar business models. Ultimately, this means financial savings for the company.

A particular challenge that Florian Baier wants to master is in the data centers onto whose servers Axel Springer feeds and stores its data. They are one of the largest sources of indirectly generated CO2 emissions – and the company still only has some idea of how much electricity these servers consume and where it comes from. The operators of the data centers are called Atos, Amazon Web Services (AWS) and Bertelsmann, among others. These companies are still struggling with customer- specific CO2 transparency. But Baier is also confident here. “Our colleagues who are responsible for the contracts with external data centers are working on it. The Corporate Sustainability Office is also exerting increasing pressure.”

For the customers of the major providers – in this case Axel Springer – it is difficult to see for how much data fed into the data center how much of what kind of electricity was used with which carbon footprint. But it is precisely this information that data center customer Axel Springer wants to have. Florian Baier believes that this will soon be possible: “These server companies are now coming under increasing pressure – from annoying customers who are asking questions. Axel Springer wants to be one of these annoying customers.”

Negotiating with giants like AWS, pestering small holdings all over the world with forms about their energy use – all these are necessary stages on the way to the goal of quantifying Axel Springer’s carbon footprint. Indicators such as the KPIs identified by Florian Baier then help us to compare our own CO2 efficiency with that of other companies and, above all, to continuously improve it.

But why is it so important to deal with this topic at all? Who’s putting pressure on the company? “Of course, our investors will increasingly be asking questions about sustainability in the future”, says Flo- rian Baier, “even though it still plays a rather subordinate role at shareholder meetings at the moment.” Another major driving force for Baier is currently the so-called “employer branding”. Meaning: “Axel Springer wants to be an attractive employer.” A company that sees itself as a leading digital publisher wants to attract well-trained applicants. And they want to work for a company that operates in a modern and sustainable manner – one that defines its CO2 efficiency targets on the basis of reliable figures.

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Total amount of energy used

Record of the amount of gas, district heating and electricity used by the company worldwide. Energy Types 2015 2016 2017 Electricity 89,377 MWh 106,467 MWh 99,757 MWh (321,759 GJ) (383,281 GJ) (359,125 GJ) District heating 31,394 MWh not recorded not recorded (113,018 GJ) Natural gas 16,662 MWh not recorded not recorded (59,984 GJ) Total 137,433 MWh 106,467 MWh 99,757 MWh (494,760 GJ) (383,281 GJ) (359,125 GJ)

Conversion factor gigajoule vs. kWh = 1/277.78 Conversion factor m3 natural gas (low and high caloric gas mixture): 1 m3 = 11 kWh

Notes on the energy use of the entire company The digitization and internationalization of the company make the collection of data for the entire Group a challenging process. Due to the continuously growing number of consolidated subsidiaries, a new type of reporting process has now been established in the Group Controlling division, through which the energy data of the individual companies can be retrieved throughout the Group.

In contrast to the previous edition of the Sustainability Report, the collection of data on district heating and natural gas for heating purposes is dispensed with for the years 2016 and 2017 due to its declining significance in comparison with electricity as an energy source.

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How were energy and CO2 data determined?

Large data centers: The CO2 emissions generated externally by data storage are also to become transparent. (Photo: pixabay)

Background of the project:

The sustainability report, which is prepared every two years, requires an analysis that shows the development of the amount of CO2 emitted by Axel Springer SE. The reference period for the current report is the 2016 and 2017 fi scal years. This description explains the procedure for identifying total CO2 emissions caused by electricity consumption at offi ce locations and printing plants worldwide.

Our assumptions: It is assumed that CO2 emissions are mainly driven by the use of energy. Furthermore, it is assumed that the use of energy consists primarily of the electricity consumed at the main locations (subsidiaries and holdings), as well as the electricity consumed in the contracted data centers and (indirectly) through travel and the use of external services.

As with fi nancial reporting, only those units/holdings considered to be material are taken into account. The units considered to be material are fi rst and foremost those units which are fully consolidated in fi nancial reporting, i.e. subsidiaries of which Axel Springer holds 50 percent or more.

To further reduce expenditure, those units are selected which account for the largest share of employees (FTE) and sales (euros) in the Group as a whole. Premise: These are units that together account for >50 percent of the Group as a whole. The remainder can be extrapolated by establishing appropriate parameters (e.g. average electricity consumption per employee per square meter per country).

The result of the materiality analysis: The following were identifi ed as material in terms of revenue or number of employees (FTE):

• The activities conducted at the headquarters at Axel Springer Str. 65 in Berlin (including the major Group divisions BILD, WELT, BZ, Media Impact) • The companies and holdings of the Marketing Media and Classifi eds Media segments (e.g. StepS- tone, Leisure Group, Idealo, Immoweb.de, SeLoger, Yad2, immowelt, Car&Boat Media, Ringier Axel Springer Schweiz, BUSINESS INSIDER, Bonial) • The printing plants at the Kettwig, Spandau and Ahrensburg locations

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The survey: The companies identified in the materiality analysis were sent a survey which collected data from the local electricity bills and operating cost accounts. This data includes the consumption period, the consumption quantity in kWh and the resulting costs. In addition and in order to improve the plausibility and further use of the data for extrapolations and benchmarking, the area (sqm) of the office locations as well as the number of employees (FTE) usually employed in the offices were surveyed.

The data reported back was first checked for completeness, then normalized and checked for plausibility:

• Checking the completeness of all locations surveyed (as defined by the materiality analysis) and the necessary disclosures (periods, consumption quantities) • Normalization of consumption periods (for example, by extrapolating partial invoices to the full year) • Plausibility check by comparison of certain relationships (e.g. kWh consumption per square meter) • Spot check verification of the reported consumption values by comparison with the data on the electricity bill

Conversion from kWh to CO2: The use of electrical energy identified through a complete, normalized and plausible survey was then aggregated at country level and converted into CO2 with the support of an external energy consultant on the basis of the country-specific emission coefficients published by the International Energy Agen- cy (IEA) in Paris.

Limitations of data quality, corrections and revisions (examples):

• In individual cases, electricity consumption is not invoiced as it is included in the basic rent. • There were also cases in which electricity costs were not calculated by consumption but by area. • At some locations, partial areas are sublet, so the reported power consumption also includes elements for which Axel Springer is not responsible. • Depending on the location, electricity consumption does not only include the pure costs for e.g. lighting and workstation computers, but also for production, servers (in the case of self-operated data centers) and electrical heating and cooling. • The plausibility check and extrapolation using the indicators “Employees” and “Area” is not always correct, as there may be areas that are empty or used differently. • kWh consumption is not adjusted or presented organically as a result of company acquisitions or sales. • In the case of relocations, additional rented space and sublet rented space, the electricity bills are deferred or flat-rate. • Missing/false disclosures were estimated or extrapolated using determined parameters.

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CO2 from purchased electricity

The classification into Scope 1, 2 and 3: When considering CO2 emissions resulting from entrepreneurial activities, a distinction is made between three aspects: Direct emissions from our own facilities, known as Scope 1 emissions, indirect emissions from the purchase of useful energy, known as Scope 2 emissions, and indirect emissions from CO2 emissions in the supply chain and from purchased services, known as Scope 3 emissions.

The following tables show the CO2 emissions generated by the company directly, through the combustion of natural gas in our own plants (Scope 1), as well as indirectly, through purchased district heating (Scope 2) and electricity (Scope 2), in those countries in which consolidated business units are active. Due to their particular relevance, Scope 3 emissions are shown using the example of resource use in Germany.

Summary of the company’s energy-related CO2 emissions, taking into account a) the combustion of natural gas in the company’s own plants (Scope 1), b) indirect emissions from the purchase of the useful energies electricity and district heating (Scope 2), as well as c) the indirect emissions resulting in the supply chain for natural gas, electricity and district heating (Scope 3).

CO2 emissions from the combustion of natural gas (Scope 1) were no longer recorded in 2016 and 2017. Scope-1 2016 2017 Total not recorded not recorded

CO2-Emissionen aus eingekaufter Elektrizität (Scope-2) für 2016 und 2017 Scope-2 2016 2017 Total 53,113 t CO2 49,620 t CO2

CO2-Emmissionen aus Dienstleistungen und Infrastruktur-Nutzung (Scope-3) für 2016 und 2017 Scope-3 2016 2017 Total 2,233 t CO2 2,141 t CO2

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Indirect energy-related emissions of greenhouse gases (Scope 2+3) CO2 emissions from the purchase of electricity by location (Scope 2+3) for 2016 and 2017

Indirect greenhouse gas emissions (Scope 3) Scope 3 = CO2 emissions indirectly generated through the purchase of services or through the provision of infrastructure for the purchase of useful energy.

Example Germany In 2017, 72 percent (2016: 74 percent) of the electricity used by the company was accounted for by

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business units in Germany. This corresponds to 64 percent (2016: 66 percent) of the CO2 emissions generated from this type of energy by the company. Against this background, a differentiated consideration of Scope 3 CO2 emissions should be made based on the data available for business units active in Germany. In addition to the CO2 emissions generated in the supply chain for electricity, emissions for externally purchased mobility and logistics services are also reported here for Germany.

Press distribution logistics (Scope 3)

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New: Conducting of large-scale energy audits

Recommended measures to improve energy effi ciency include the introduction of LED lighting technology. (Photo: Multi-license CC-BY-SA-3.0 and GFDL)

The European Union wants to increase energy effi ciency by 20 percent by 2020. This objective is to be achieved by improving energy effi ciency in as many commercial enterprises as possible.

To this end, the European Parliament in 2012 further developed the existing energy effi ciency directive (EED 2012/27/EU): This stipulates that companies of a certain size must be regularly subjected to an energy audit from December 2015 in accordance with DIN EN 16247-1. The corresponding implementing provisions for Germany have applied – within the framework of the adapted Act on Energy Services (EDL-G) – since April 2015. The obligation to conduct an energy audit was prescribed by law for all non-SMEs (small and medium-sized enterprises), provided the company has no active energy management system or environmental management system.

The German Axel Springer SE companies are also subject to this legal obligation to conduct an energy audit. By law, the audit has to be conducted by an energy consultant listed with the Federal Offi ce of Economics and Export Control (BAFA). Axel Springer SE has commissioned ECG Energie Consul- ting GmbH for Germany.

Energy issues have been intensively managed at Axel Springer for decades. So the company was prepared for the requirements of the energy audits both in its printing facilities and in the publishing buildings. The objective is the consistent use of energy saving potential. The Berlin-Spandau newspaper printing plant is involved in an “Energy Effi ciency Network” moderated by energy supplier EnBW.

The following procedure was adopted to conduct the energy audit: Corporate divisions and subsidiaries with particular relevance for an improvement in energy effi ciency were selected for the energy audit. 23 locations were thereby subjected to an energy audit with external assurance. The newspaper printing plants in Berlin-Spandau and Essen-Kettwig already have an energy management system and were therefore not on the audit list.

An energy management system is an internationally recognized management concept for the systematic identifi cation and implementation of energy effi ciency potential. The international standard ISO 50001 establishes bindingly how such a system is to be introduced and operated. Evidence of an active EnMS often needs to be provided for the granting of state benefi ts in the energy sector. This evidence must be in the form of an annual surveillance audit conducted by an external auditor from a regulated certifi cation authority. The offset printing works in Kettwig and Spandau are currently ISO 50001 certifi ed.

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All of the necessary energy data was obtained at the relevant 23 locations by December 2015. In March and April 2016, the process was scheduled with three final events at which the results of the conducted energy audits were presented to the audited companies through the issuing of the energy audit reports. On this basis, the audit results were simultaneously made known to the German Group companies who had not been subjected to their “own” energy audit in 2015/2016.

Result: In the energy audits conducted, savings potentials were determined for the use of electricity and natural gas. The first priority here is the conversion to energy-efficient LED lighting technology and improved energy management in everyday office life (use light, temporary shutdown of electronic equipment, decrease in consumption through reducing the standby phases for electrical equipment).

A concept for the simplified acquisition of energy data has been developed by the ‘Services & Real Estate’ division, in cooperation with the energy consultant ECG, to prepare for the energy audits which are required at least every four years. This should allow future audits to be prepared and the provision of energy data for the company’s Sustainability Report to be optimized.

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Own printing facilities in Germany

The environmental organization Nature And Biodiversity Conservation Union Germany (NABU) wants to raise awareness among companies of the possibilities of creating valuable habitats for animals and plants through the semi-natural design of their premises. To document suitable examples of “UnternehmensNatur” (BusinessNature) sites, NABU Hamburg recorded a video in the Ahrensburg newspaper printing plant in 2014.

The digital activities of Axel Springer SE account for about 80 percent of earnings, almost 72 percent of Group revenues, and almost 90 percent of advertising revenues. Radical changes in the markets and the transformation of our industry place us under pressure to innovate, and this pressure is as strenuous as it is welcome. It helps us to make our products better and better, and also to make them different. To do this, we have to strengthen our brands and continue to develop them innovatively. This can happen, for example, by dynamically translating data and technology expertise into practical applications. Our strategy focuses on what has always made the company successful – offerings that are based on or benefi t from journalism to varying degrees: Classifi eds Media, News Media and Mar- keting Media. Against this background and in view of the orientation towards materiality expected by the Global Reporting Initiative GRI, the focus of sustainability management is increasingly on digitization.

The printing plants at the Kettwig, Spandau and Ahrensburg sites comply with all environmental regulations and are regularly inspected by the competent environmental authorities. Indicators facilitate the planning of improvements and the detection of weaknesses in the system at an early stage.

Printing paper effi ciency Changes in paper demand are greatly infl uenced by changes in reading habits, by the use of digital alternatives to the use of journalistic services, by demographic developments as well as by the economic situation. In the course of digitalization, the paper throughput of the company’s own newspaper printing plants (including the paper provided by print customers) is continuously declining.

However, as the paper throughput decreases, the amount of mill broke generated is not decreasing in the same proportion. The term mill broke is used in the printing industry to describe damaged or de- fective samples that must not be offered for sale. It also refers to the packaging for the rolls of paper and the tubes that the paper is rolled on as well as printed and non-printed scrap paper. Mill broke is a much sought-after recycling material for the production of new paper products.

In principle, the improvement in paper effi ciency is supported by a number of technical innovations. These measures include, among other things, the reduction in the number of paper breaks through improvements in paper adhesive (important when changing paper rolls) as well as the objectivity and/ or automation of decisions concerning the saleability of proof copies.

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Printing inks The rapidly increasing use of digital reader devices is also reducing the use of printing ink in newspaper printing plants. The reason for this is the general decline in the circulation and volume of newspapers.

Waste water The waste water volumes discharged into the sewerage system from the printing locations in Germa- ny is also declining. This has been brought about, among other things, by a reduction in the dampe- ning water requirements of the printing presses, by improvements in the management, and by the decline in the number of employees at the Ahrensburg printing location.

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Transparency in the value chains

The upstream and downstream stages of value creation include, for example, external server operators for our digital offerings, or the wood, paper, printing and distribution chain of our print products.

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“We want to be pioneers”

André Twachtmann from AS IT - Infrastructure Services explains to editor Julia Beil what remains of a data center at the Axel Springer publishing house in Berlin that had been scrapped due to low energy effi ciency. (Photo: Axel Springer SE)

Over a period of three years, Axel Springer SE migrated large parts of its own data centers to external service providers. The providers of these servers have well-known names: Amazon Web Services is among them, as are Atos, Microsoft and Arvato from the Bertelsmann Group. The server providers use electrical energy to host their customers’ data. But how much of this energy consumption can be traced back to whose data – server service providers have so far provided little concrete information about this. André Twachtmann, Head of Infrastructure Services at Axel Springer IT, is therefore investigating the issue at Microsoft and Co. in the interests of sustainability: How much energy does Springer’s data consume by being stored on the servers of these providers? Here he talks about the challenges he is facing – and why he is optimistic. By Julia Beil

Horses need food. It doesn’t matter whether they are in their own stable or if the owner has put them in the care of others. The horse is hungry everywhere, because it needs energy.

Now this may sound a bit strange, but this applies just as much to Axel Springer SE’s data as it does to the horses. The servers on which they are stored need food – in the form of electricity. Where these servers are located doesn’t matter, just like with the horses. The data can either be “fed” within the company or elsewhere, in the data centers of external providers. The only thing that is important for horse and data owners is: They need to know how much food their protégé consumes. This value enables them to act in an economically and environmentally sustainable way.

Axel Springer SE is working on controlling procedures which will make transparent how much electrical energy is used directly by the approximately 200 consolidated companies of Axel Springer SE, or indirectly by the external data centers contracted by the company, to achieve the overall economic results. The management wants to know its environmental footprint and be able to infl uence it on the basis of key performance indicators.

André Twachtmann is one of the persons responsible for the accommodation and “supply” of Axel Springer SE’s data. The 34-year-old Head of Infrastructure Services has been working at Axel Sprin- ger IT since 2013. This division deals with the connection of workstations to digital networks such as the WiFi and the data centers where company data is stored. This includes, for example, the Cloud, OS X, Windows and Offi ce 365. Twachtmann previously worked for Deutsche Telekom in Bonn, where he held various positions related to IT systems.

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The IT specialist negotiates, among other things, with the server providers about the conditions under which they “host” how much of the company‘s data. This outsourcing is becoming more and more important for the publishing house: Springer, under Twachtmann‘s leadership, has just migrated around 1,000 servers, which were originally maintained internally in office buildings, into a so-called “Private Cloud” belonging to Atos.

“In the last three years, we have relocated many of our old data centers, some of which were economically and ecologically very inefficient, into modern, external data centers”, explains Twachtmann. In- efficient – this means above all that a lot of energy had to be used on the servers that were previously located in the Springer headquarters in Berlin simply to cool the system.

“A server consumes energy by calculating operations or by storing data and making it available. The more it works, the more electricity it consumes. This leads to high heat density in the data center.”

The problem: So-called waste heat, a waste product, is produced. To prevent the system from over- heating, the servers have to be cooled. The structure of the building at the Berlin headquarters is unsuitable for this – the ceilings, for example, are very high. “So in 2014 we had to make a decision: Are we going to rebuild everything here within the building? Or are we going to look for an external company where the operation of such servers is their core business? Axel Springer chose the second option.

For this reason, a large part of the company data is now hosted by external providers: They are called Amazon Web Services (AWS), Microsoft, Akamai, Atos and Arvato – the latter belongs to Bertels- mann. Metaphorically speaking, these corporate giants ‘feed’ the Springer horses. Twachtmann’s goal: “We want to ensure that all five service providers supply us with good energy and CO2 reporting.”

In concrete terms, this means, for example, that when Twachtmann concludes new contracts with such service providers, he wants it to be agreed therein that his department is supplied with a concrete value once a year that provides an answer to the question: How much of the server provider’s energy consumption does Springer cause with its data?

If he knows this value, he can compare the consumption figures of different providers with Group Controlling and determine how energy-efficient the respective provider is with its data management.

Electricity consumption caused by cooling can already be quantified – with the help of the so-called “Power Usage Effectiveness Factor”, abbreviated as PUE factor. It indicates how efficiently a data center uses energy. “If I add one “piece” of electricity to my data center to operate the servers, how many pieces of electricity do I additionally need for the cooling?”, is the question answered by the PUE factor. So it has to be as low as possible.

The PUE factor for the servers at one of our providers is around 1.2. For one piece of electricity, the provider must use 0.2 pieces of electricity for cooling. In the internal data center in the Springerhaus in Berlin, this value last amounted to approx. 2.8. An enormous improvement.

For server providers it might not be enormously time-consuming, but perhaps somewhat annoying, to calculate individually for each of their customers how much energy they use to store their data. In addition, it is also easier for some providers to calculate this value than for others. An example: “For providers who operate services dedicated to us, we know exactly which of their servers are explicitly assigned to Springer”, says André Twachtmann. “This makes it relatively easy for the operator to measure or calculate exactly how much electricity these servers use.”

By contrast, it is more difficult with so-called “Cloud Services” (e.g. Office 365 or AWS) which Axel Springer SE also uses intensively. Since this is a so-called “Shared Service”, a server or service that

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Axel Springer shares with many other customers, it is more complicated to specify how much of the total power consumption is due to the Springer data.

“I know neither in which specific data center certain data is stored nor on which servers.” Neverthel- ess, André Twachtmann keeps at it in the negotiations with these providers.

“We are talking to various providers about innovative ways of calculating this factor”, he says. The goal is a formula that could help determine the server providers’ power consumption caused by Axel Springer. For example, the total electricity consumption in relation to sales could serve as an indicator for the customer.

Such calculations would bring Twachtmann at least one step closer to the desired value – but the result would still be very inaccurate. Because: “Every one of the provider’s customers has different discounts, tariffs and conditions at which they use the services. This means that the same amount of electricity costs more or less for different customers. In addition, different data centers and their locations would also have a strong influence on such a figure.”

Twachtmann has other approaches in mind. He would like to develop these jointly with the major service providers. This is not always easy. It is true that all these companies have a sustainability officer, he explains, “But it is not yet possible for many providers to regularly check and report on the concrete requirements of a single customer...”

The provider companies are not closed – but they are not very proactive either. “We are operating here more on the “pull” principle today”, says Twachtmann. Few providers are approaching Axel Springer proactively in this matter. This is most probably due to the fact that Axel Springer SE is not a major international customer. “We are not necessarily the biggest customer for these server companies.” And many larger server customers who could exert pressure on this question are clearly not yet doing so.

“We are to a certain extent dependent on the external operators. We have to keep knocking and say- ing: Please calculate this for us and develop a procedure which generates and documents this data.”

But something makes him optimistic. “In the long term, it is also in the interests of provider-customer orientation to calculate for each of their customers how much electricity their data needs in the data centers and what carbon footprint results from this. Because this climate-relevant information is becoming increasingly important for server customers like Axel Springer. So we hope that other companies such as large US corporations will soon increase their pressure on provider companies in this matter.”

Apparently Axel Springer SE is ahead of other companies that have outsourced their data with its expectations of server providers. André Twachtmann is well aware of this. “We want to be pioneers”, he says.

But where does this pioneering spirit come from? “Sustainability is important to the company. Springer was one of the first suppliers to push for transparency and high standards with regard to sustainable forest management in paper production. This is exactly what the company now wants to do with its digital products.

“We want to be at the forefront, we want to recognize our own shortcomings. Where do we perhaps produce services for our customers that require a lot of energy and generate very little?

In order to achieve more clarity, some more negotiation work will probably be necessary. Because the question: How much do the Axel Springer SE ‘horses’ eat, which are now accommodated at AWS, Microsoft and the other ‘hosts’, should be answered as transparently as possible.

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From which countries does our printing paper come?

The picture shows the paper warehouse at the Hamburg-Ahrensburg offset printing works. Axel Springer SE has published a list of its suppliers of printing paper since 1993. Since 1995, contracts for paper have included a clause on compliance with „Forestry Standards“. (Photo: Offsetdruckerei Hamburg-Ahrensburg) In 2017, Axel Springer SE procured 114,995 tonnes of printing paper for newspapers and magazines in Germany, as well as for its subsidiaries at home and abroad. Its suppliers included around 14 paper mills in eleven countries. Axel Springer has been publishing the names and contacts of paper suppliers since 1993. In addition to the commercial and technical quality contacts, there has also been a continuous exchange of ideas with paper suppliers since 1993 on issues of stakeholder management, as well as on specifi c issues relating to sustainability, above all with regard to the procurement of wood raw materials. The Forestry Standards developed by the company have applied here since 1995.

The following table gives an overview of the countries from which printing paper is centrally sourced. This paper tonnage is processed in the company’s own printing plants as well as, according to requirements, in around 40 external printing plants both in Germany and abroad. The contact partners for environmental issues at the individual paper suppliers are listed under the menu item “Paper Suppliers”.

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Forestry Standards

Since 1995 six clear and comprehensible sustainability indicators have been considered when purchasing printing paper. The selection of paper suppliers at Axel Springer is based on four criteria: Product quality, reliable supply, competitive prices and compliance with environmental standards. Six Forestry Standards were agreed with paper suppliers in 1995:

1. Sustainability Harvesting more timber than will re-grow is prohibited.

2. Biodiversity Forestry shall not endanger animal or plant species.

3. Control The paper manufacturer must perform eco-controls as a purchaser of timber.

4. Training The paper manufacturer must ensure that the necessary ecological knowledge is conveyed to personnel (for example, forest workers).

5. Indigenous population The paper manufacturer must take the indigenous people (for example the Sami in Northern Scandinavia) into consideration.

6. Information The paper manufacturer must keep the public informed of the advances made and problems encountered in environmental protection.

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Paper Recycling

Used paper is a valuable raw material: Around 80 percent of the printing paper used in the company contains used paper. The photo shows a used paper sorting plant of the Alba company in Berlin.

The recycling of graphic papers in 2017 at a rate of 83.3 percent was above the desired target cor- ridor of 80 percent (+/- 3 percent) set by the Graphic Paper Alliance (AGRAPA). The corresponding report was presented at the AGRAPA Meeting in Berlin on 5 July 2017. With the AGRAPA voluntary commitment declaration, companies in the graphic value chain have been complying with the requirements of product responsibility on a voluntary basis for 20 years.

Used paper is a valuable raw material. The most important paper categories in terms of quantity are:

• Products made of graphic papers, such as newspapers and other printed products as well as offi ce paper and • Products made of packaging papers, such as sales packaging, transport packaging or outer packaging

In recent years, a series of new paper machines that process used paper have been put into operation in Europe.

When recycling used paper in the paper mill, a proportion of the paper fi bers are rendered unusable and sorted out. About 120 to 125 kilograms of used paper is required to produce 100 kilograms of newsprint paper. For this reason the fi ber cycle only functions if the overall mixture of fresh and used fi bers is right. That is why the supply of fresh fi bers is of central importance in maintaining this cycle.

Around 80 percent of the printing paper used by Axel Springer contains used paper. The following table provides a breakdown of the distribution of used paper for 2017.

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Newsprint paper: Standard and improved newsprint paper

SC magazine paper: Supercalendered wood-containing paper – paper smoothed (satinized) between the rollers of a calen- der for offset and rotogravure printing

LWC magazine paper: “Light weight coated” – lightweight, wood-containing, web printing paper, coated on both sides

Share of used paper in newsprint and magazine paper (in percent for 2017)

Quelle: Berechnung basierend auf Herstellerangaben 2017

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Paper Suppliers

Contacts at our paper suppliers Paper Suppliers Status 2017

BURGO Deutschland Papiervertrieb GmbH The Burgo Group is the largest producer of graphic papers in southern Europe. D-81677 Munich Tel: +49 89 45 50 35 13 www.burgogroup.com

Holmen Paper Holmen Paper is one of the leading producers of newsprint paper. S-11451 Stockholm Tel: +46 8666 2154 www.holmenpaper.com

Kruger Inc. Kruger Inc. is one of the leading producers of newsprint paper. It has paper mills in Canada. Among these is the Cornerbrook paper mill. GB-Knutsford, Cheshire, WA16 1AR Tel: +44 7831 628487 www.kruger.com

Norske Skog The Norwegian group is the world’s third-largest newsprint and magazine paper producer with production facilities on four continents. N-1326 Lysaker Tel: +47 67 599 203 www.norske-skog.com

Paper Trading Group SA – Kondopoga Kondopoga is a Russian newsprint paper producer. The factory is in the Russian Republic of Karelia. The Swiss trading company represents Russian newsprint paper mills. CH-2001 Neuchatel Tel.: +41 32 710-01-65 www.papertrading.ch

Papierfabrik Palm Papierfabrik Palm has its head office in Aalen-Neukochen (Baden-Württemberg). It also has a factory in Eltmann (Bavaria) and in Wörth (Rheinland-Palatinate). D-73406 Aalen-Neukochen Tel: +49 73 61 577 122 www.papierfabrik-palm.de

Perlen Papier AG Perlen Papier AG is one of the leading Swiss producers of magazine and newsprint paper. The family- owned enterprise was founded in 1872. CH-6035 Perlen Tel: +41 41 455 80 92 www.perlen.ch

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SAPPI An international paper producer with production facilities on three continents. Its head office is in Jo- hannesburg, Republic of South Africa. Sappi Deutschland GmbH D-30715 Hannover Tel: +49 511 123 33 610 www.sappi.com

SCA Publication Papers / SCA Forest Products AB The paper subsidiary of the Swedish SCA Group. The approx. 2.6 m hectares owned by SCA make it one of the largest forest owners in Sweden. SE-85188 Sundsvall www.sca.com

Heinzel Paper – Laakirchen Papier AG The factory specializing in SC paper was part of the Swedish SCA Group until the beginning of 2013. A-4663 Laakirchen Tel.: +43 76 138 80 05 50 www.heinzelpapier.com

Stora Enso The Finnish-Swedish corporation is one of the largest forest and paper products companies in the world. Tel.: +49 211 581 2432

Stora Enso Group in Helsinki Stora Enso Group, Head Office, Helsinki Tel.: +358 2046 21347 www.storaenso.com

UPM-Kymmene The Finnish corporation is one of the largest forest and paper products companies in the world. UPM, P.O. Box 380, Eteläesplanadi 2, 00101 Helsinki, FINLAND Tel: +358 40 743 0306 www.upm.com

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Talks on the ecology of timber production

Southern Portugal: Luis Neves Silva (l.), Eucalyptus expert at the environmental organization WWF, explains the environmental standards for fast-growing timber plantations to Paula Guimaraes, forest expert at pulp producer Portucel, and Florian Nehm, Corporate Sustainability Offi cer at Axel Springer SE.

Axel Springer SE annually purchases paper rolls from 14 paper mills in eleven countries for its printed newspapers and magazines. Modern press publishers distinguish themselves by being well-informed about the environmental and social standards of the various stages of the production chain – from the forest to the paper mill and printing works through to the kiosk and paper recycling.

Printing paper for newspapers and magazines is produced – with regard to the necessary tear resistance – from the long wood fi bers of spruces and pines. These conifers used for our printing paper grow in the green belt of the Northern hemisphere – nurtured by water, nutrients and solar energy.

Printed products such as newspapers, magazines and catalogs are collected as waste paper after use and then used for example as raw material for new newsprint paper. In Germany, 83.3 percent of graphic papers (these include newspapers and magazines) are re-used via used paper as paper raw material (AGRAPA Statistics 2017). Thus the bulk of the wood fi ber is used several times.

More than 37,000 newspaper pages are produced from one spruce tree

A model calculation shows that using the fi ber gained from an average-sized spruce originating from Swedish forestry (aged between 30 and 60 years) will produce a total of 37,440 pages of newspaper (weight of the paper: 42.5 g per m², format 40 x 57 cm). 13,440 pages can be produced from the fresh wood fi ber alone. A further 24,000 newspaper pages can be gained through recycling.

Cross-border Co-operation

The company has initiated numerous optimization projects with paper suppliers over the past 20 years. Some examples of this are creating an ecological balance for newspapers and magazines for the fi rst time, the „Opti“ project in co-operation with 8,900 Norwegian family forest owners and the paper manufacturer Norske Skog as well as the „Tracing Russian Wood“ project in cooperation with the paper products company UPM and Greenpeace Russia.

„From Russia with Transparency“ (2005)

In September 2005, the company, in collaboration with the paper manufacturer Stora Enso (Helsinki) and the publishing houses Random House Group (London) and Time Inc. (New York), presented the

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project “From Russia with Transparency”. A focus was placed on combating corruption in the cross- border timber trade. Transparency International, the leading NGO on Fighting Corruption, took on the role of „Critical Re- viewer“.

Cobus de Swardt of Transparency International on this project: „Many forestry companies want to achieve sustainability, yet shy away from discussing sensitive issues such as corruption. The members of the Tikhvin Project see that sustainability and ethical business practices have much to do with each other. We welcome this pioneering commitment and hope that the project team follows our recommendations.“

The paper manufacturer Stora Enso‘s cooperation with the publishing houses Time Inc. (New York), Random House Group (London) and Axel Springer (Berlin) as well as the non-governmental organization “Transparency International” has also been documented. Its main priorities are the promotion of sustainable forestry, the fight against corruption in the cross-border timber trade for the manufacture of printing paper as well as the prevention of occupational accidents.

„Tracing Russion Wood Imports“ (2002)

In a joint project, Axel Springer, with the Finnish paper manufacturer UPM-Kymmene and the Otto Group, has made the wood chain transparent from the forest in Russia to the paper mill in Finland. The project report „Tracing Russian Wood Imports“ shows how imports of wood from Russia are ecologically audited. There is also room for critical voices from the Russian forest management and the environmental organization Greenpeace Russia.

„Environmental Improvements in the Paper Chain“ (1998)

This report describes the background, goals and realization of the co-operation between the Otto Group and Axel Springer with 8,900 Norwegian family forest owners and the paper manufacturer Norske Skog.

Forestry Standards

Six Forestry Standards were agreed with paper suppliers in 1995:

1. Sustainability Harvesting more timber than will re-grow is prohibited. 2. Biodiversity Forestry shall not endanger animal or plant species. 3. Control The paper manufacturer must perform eco-controls as a purchaser of timber. 4. Training The paper manufacturer must ensure that the necessary ecological knowledge is conveyed to personnel (for example, forest workers). 5. Indigenous population The paper manufacturer must take the indigenous people (for example the Sami in Northern Scandinavia) into consideration. 6. Information The paper manufacturer must keep the public informed of the advances made and problems encountered in environmental protection. 173

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Ecological certification labels

In order to be able to guarantee good ecological quality for timber or paper clients, two ecological certification labels for wood products have been established – after considerable debate. Their standards have moved markedly closer in the meantime. Axel Springer SE supports the forestry certification, as well as talks on the development of mutual recognition of FSC and PEFC.

FSC

(Forest Stewardship Council). The international ecological certification label for forestry products was established in Toronto in 1993 by leading environmental organizations, among others. It is supported mainly by environmental organizations, owners of woodland, and wood processing firms.

Info: www.fsc-deutschland.de

PEFC

(Programme for the Endorsement of Forest Certification). The European ecological certificate for forestry products was established in Paris in 1999 by the associations of European forest owners under the name “Pan European Forest Certification”. It is supported in particular by the associations of European forest owners.

Info: www.pefc.de

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Modes of transport for printing paper

Locations of the supplying paper mills affect transportation routes

The paper tonnage transported by ship to printing locations in Germany decreased by nine % between 2015 and 2017. In the same period, the share transported by rail decreased by 33 % and the share transported by truck increased by around 42 %. The choice of means of transport depends on the location of the paper mills. The supply shares of the various paper mills are constantly changing and are determined by factors such as demand, capacity, quality, forestry standards and price. Axel Springer SE procures printing paper from 14 paper mills in eleven countries.

Both our own as well as our external printing facilities are as a rule supplied with printing paper from at least two production locations to ensure production in case of problems with quality or deliveries. The distances from paper mill to printing facility range from 35 kilometers (Eilenburg - Leipzig) to almost 7,000 kilometers (Canada - Munich).

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Inquiries on International Social Policy

Sandra Fischer has lead the gastronomic team of the large “Mittelbar” in the heart of Berlin’s Axel Springer Passage for over ten years. In order to offer her guests the best quality, she wants to know more about the production processes of tea and coffee and to this end she has traveled to Sri Lanka, El Salvador, Antioquia and India. In 2016 she visited Aposto in Ethiopia, the “birthplace of coffee”. (Photo: Axel Springer SE)

The Axel Springer Corporation is expanding internationally. This is why we have adopted a catalog of social standards, our International Social Policy, which is a binding guideline for social integrity and applies to all the company’s activities worldwide. In the procurement of printing paper, of advertising media and product supplements, in merchandising, as well as in the sale of title licenses, emphasis is also placed on the observance of standards through site visits.

This is what the “International Social Policy” is all about, for example, raising awareness along the entire value chain, including the suppliers of our supplier’s own suppliers.

In Antioquia, one of the coffee provinces of Colombia, Sandra Fischer informed 2015 i.a. on the working conditions at the „raised bed“ plant for drying the coffee beans. (Photo: Axel Springer SE)

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New Delhi in February 2013: A visit to Thomson Press, where the Indian media company India Today prints the magazine AUTO BILD India as a licensee. The picture shows the production manager and certifi cation representative Shireesh Keskar (left in the picture) in discussion about social and environmental standards with Florian Nehm, Axel Springer SE Corporate Sustainability Offi cer. (Photo: Axel Springer SE)

Uruguay in March 2013: A visit to the Finnish forest, pulp and paper company UPM‘s eucalyptus tree nursery. The picture shows the director of the nursery Jorge Doe (left in picture) in conversation about issues of plantation ecology with Oliver Salge, Head of Forest and Oceans Campaign at Greenpeace Germany, and Florian Nehm, Axel Springer SE Corporate Sustainability Offi cer. (Axel Springer SE)

Dongguan, province of Shenzhen, China in May 2010: Uwe Schroeder, Head of Production and Purchasing of printed matter and advertising material for the WELT Group, acquainted himself in May 2010 with social standards and looked over a female employee‘s shoulder at a watch manufacturer‘s. Watches are popular promotional gifts for attracting newspaper subscribers. 177

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Paysandú, Uruguay in May 2009: Employees during the lunch break at a eucalyptus tree nursery in conversation with Florian Nehm, Axel Springer SE Corporate Sustainability Offi cer. The nursery supplies seedlings to plantations. The plantations supply wood to a pulp factory, whose clients include paper mills in Germany, from which Axel Springer SE procures printing paper for magazine covers.

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Sustainable production, sustainable consumption

The Paparazzi restaurants are supplied with fresh and preferably regional ingredients every day. On offer are both vegetarian as well as hearty dishes, crispy salads from the large salad bar, sweet desserts or fresh fruit from the fruit counter. (Photo: PACE) PACE Paparazzi Catering & Event GmbH is a subsidiary of Axel Springer SE. It serves more than one million guests annually - in staff restaurants at several company locations as well as at numerous activities and events for internal and external customers. At the end of 2012, the subsidiary published its fi rst Sustainability Report meeting the GRI „Level A“ requirements. The company compiled its activities and measures in a „Report on internalized sustainability“ for customers and guests.

Internalized sustainability at PACE

Sustainability has been internalized for years at PACE in all three dimensions: socially, environmentally and economically. This was documented through the last two Sustainability Reports, which were each evaluated by the Global Reporting Initiative (GRI) to be Level A. In the last two years, PACE has set its focus in the area of sustainability on the following topics:

• Development of vegetarian and vegan dishes • Communication with guests and employees • Practice partnerships and stakeholder dialogs

Development of vegetarian and vegan dishes

ESSENTIA - healthy, fresh, delicious. „With our menu line we want to make it easy for guests to have a balanced diet. The individual dishes are ideally matched. All important nutrients such as vitamins, minerals and fi ber are included“, says Marco Roland, executive chef at PACE. He developed ESSENTIA with his team who oriented themselves both according to the recommendations of the German Society for Nutrition (DGE), as well as the needs of the guest. In the ESSENTIA nutrition line, meat is in one dish per week, a further dish contains fi sh. On the other three days, there are vegetarian dishes with a high proportion of vegetables. The offer of meals containing meat has also been reduced over the past two years in the overall daily offerings in the Paparazzi restaurants. In its place, the selection of vegetarian and also increasingly vegan products has been substantially widened. This has been well received by the guests and the daily portion of meat-free products is now already at 20 percent of the entire range of lunch offerings. On the one hand, PACE wants to use its sustainable range of meals to comply with the requests of many of its restaurant guests.

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On the other hand, there are also positive effects in the purchase of goods and their preparation in relation to: • Climate protection • Health • Ethics and animal welfare • Food security • Enjoyment

Communication with Employees

The management as well as the General Works Council at PACE carried out an employee survey in the autumn of 2015. This had three objectives: to show the current atmosphere, to analyze weak points and to illustrate the employer image. The survey revealed, among other things, the following indicators:

• 78 percent of participating employees are satisfied with the organization of the working schedule; • 83% of participating employees confirm there is a good to very good business climate; • 85 percent of participating employees make use of the health promotion service (e.g. fitness pass, health workshops); • 92 percent of participating employees would recommend PACE as an employer;

The results of the survey are an important part of employee communication within PACE. Only in this way can topics such as transparency, further training and leadership culture in the company be optimized and developed.

Communication with Guests

„Eat what is cooked, drink what is clear, speak what is true“, or something similar is supposed to have been said by Martin Luther. The Berlin Paparazzi Restaurant is far above the „Lutheran Standard“. The dishes are of high quality, regional, partly vegetarian, partly vegan and are freshly prepared every day. Once a month the Paparazzi Restaurant Berlin has an invitation to the „Day of the open Pots“, where the chef de cuisine guides visitors through the kitchen and answers questions. Guests learn why there are no strawberries at Christmas and how chives live up to their name. Interesting cooking workshops for employees are offered in PACE at regular intervals (in cooperation with the Personnel Development of Axel Springer SE health management program). The focus here is on a healthy and sustainable diet, for example:

• Spices and their effects • Kitchen herbs and their use • Forgotten cereals - small grains with a big effect

Practice Partnerships & Stakeholder Dialogs

PACE is a practice partner in the NAHGast project, a project funded by the German Federal Ministry for Education and Research. The NAHGast project is at the interface between supply and demand in the out-of-home dining sector. Its central elements are:

• The development of integrated methods for the measurement and evaluation of environmental and healthy dishe • The development of methods to address consumers and standardization of the specific requirements of different settings

As part of this project, PACE has a critical look through stakeholder dialogs with the development, testing and dissemination of concepts for sustainable production and consumption in the external catering sector 180

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Economy

Axel Springer SE is the leading digital publishing house in Europe. The company is the market leader in the German print business and is active in more than 40 countries with subsidiaries, holdings and licenses. Already today, digital activities account for about 70% of pro forma Group revenues.

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The Axel Springer Share

The picture shows the performance of the Axel Springer share. The Axel Springer share has been traded on the stock exchange since 1985 and was admitted to the SDAX on June 5, 2007. It has been listed in the MDAX since September 20, 2010. Indexed to the closing price of the Axel Springer share on 31 December 2017.

Eventful Trading Year 2017

The stock markets can look back on a good year. The leading German index DAX (price index) closed the year under review with growth of 9.6 %, while the MDAX (price index), in which the Axel Springer share is also listed, increased by 15.5 %. The European media sector index DJ EuroStoxx Media was 4.3 % above its closing price at the end of the previous year.

The Axel Springer share gained 41.2 % over the year as a whole, signifi cantly outperforming the aforementioned benchmark indices. Market capitalisation at the end of 2017 was around € 7.0 billion.

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Corporate Governance

The Berlin headquarters of Axel Springer SE, at the Axel-Springer-Street 65th (Photo: Axel Springer SE)

Good corporate governance as a leitmotif

At Axel Springer, good corporate governance is considered to be a central element of responsible management and control, aligned to a long-term increase in the company’s value. It promotes the trust of our national and international investors, customers, employees and the general public in the management and supervision of the company and is an essential basis for the sustainable success of the company. In doing so, we are guided by the German Corporate Governance Code (GCGC).

We have taken appropriate measures to comply with and implement its recommendations. The Cor- porate Governance Offi cer is the Chief Financial and HR Offi cer. Compliance with and implementation of the GCGC recommendations are monitored continuously.

Axel Springer SE published its annual Declaration of Conformity Declaration of Conformity on 7 November 2017 in accordance with § 161 of the German Stock Corporation Act (AktG). The recommendations of the German Corporate Governance Code as amended on 7 February 2017 are largely complied with.

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Business development in 2017

Video message by Mathias Döpfner and Julian Deutz on the year 2017. (Video: Axel Springer SE)

Development of Business and Earnings in 2017 at a glance

Axel Springer closed the 2017 fi scal year very successfully. The forecast published in March 2017 and partially raised in August was met. In the year under review, sales revenues of € 3,562.7 million were 8.3 % higher than in the previous year (€ 3,290.2 million). This growth was mainly due to the good operating performance. Consolidation effects also contributed to this, while exchange rate effects had a negative impact overall. Organically, i.e. adjusted for consolidation and exchange rate effects, sales revenues were 6.3 % higher than in the previous year. All operating segments contributed to the increase in sales.

The transformation to an increasingly digital company is refl ected in the proportions of important key fi gures that make up the digital business: In 2017, we generated 71.5 % of our revenues and 87.1 % of our advertising revenues in the digital sector.

Adjusted EBITDA rose by 8.5 % year-on-year to € 645.8 million (PY: € 595.5 million). The return thus remained stable at 18.1 % (PY: 18.1 %). The sometimes signifi cant increases in earnings in the operating segments were only offset by a deterioration in earnings in the Services/Holding segment. Overall, 80.0 % of our operating profi t in the past fi scal year was generated through digital activities.

At € 2.60, adjusted earnings per share from continuing operations were up 8.1 % on the previous year‘s € 2.41.

The Annual General Meeting of Axel Springer SE held in Berlin on 18 April 2018 approved with a majority of 99.99 % the proposal of the Management to distribute a dividend of € 2.00 (PY: € 1.90) per dividend-bearing share for the 2017 fi scal year. This corresponds to a payment of € 215,8 million.

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Outlook 2018

For the 2018 fiscal year, we expect Group sales to increase in the low to mid single-digit percentage range. We expect organic EBITDA growth to be in the mid to high single-digit percentage range.We expect adjusted EBITDA to increase by a low double-digit percentage. We expect organic EBITDA growth to be in the mid to high single-digit percentage range. We expect adjusted EBIT to increase in the low single-digit percentage range due to higher depreciation and amortization, and organic growth in the low to mid single-digit percentage range. For adjusted earnings per share, we expect an increase in the low to mid single-digit percentage range. For organic development, we expect an increase in the mid to high single-digit percentage range.

Source: Annual Report 2017

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Reporting according to GRI

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Sustainability reports in the “GRI” format

The Global Reporting Initiative (GRI) sees itself as an ongoing international dialog which, through the defi nition of performance indicators, involves a number of stakeholder groups worldwide. These include companies, universities, governmental organizations and non-governmental organizations from the fi elds of labor, social affairs, human rights and the environment.

What is a Sustainability Report?

Alongside the Annual Reports, Sustainability Reports are important elements of a company’s information policy. They emerged as a further development of the environmental reports published by companies in the 1990s. They address key sustainability issues that affect employees, society, the environment and the economy.

The Global Reporting Initiative (GRI) is the format used throughout the world for the preparation of sustainability reports. The GRI sees itself as an ongoing international dialog which, through the defi - nition of performance indicators, includes a large number of stakeholders. It operates worldwide with the active participation of companies, universities, governmental organizations and non-governmental organizations from the fi elds of labor, social affairs, human rights and the environment. The objectives of reporting according to GRI are transparency, standardization and comparability.

The GRI Standards offer two options for an organization to prepare its sustainability report “in accordance” with the GRI Standards: the “Core” option and the “Comprehensive” option. Both options are applicable to all organizations, regardless of size, sector or location. The focus of both options is on the process of identifying material Aspects. Material Aspects are those that refl ect the organization’s signifi cant economic, environmental and social impacts; or that substantively infl uence the assessments and decisions of stakeholders. The “Core” option contains the essential elements of a sustainability report. The “Core” option provides the background against which an organization communicates the impacts of its economic, environmental and social and governance performance.

This Sustainability Report has been prepared “in accordance” with the GRI Standards: “Core” option. This corresponds to answering all the required material general disclosures concerning the organization (GRI 102) as well as answering the material specifi c disclosures on management approaches and indicators (GRI 103). In addition, the material topic-specifi c GRI standards (series GRI 200, GRI 300 and GRI 400) have been taken into account. The report was checked by the GRI in Amsterdam and assured by the consulting company PwC in Berlin.

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Principles for Defining Report Content:

• Stakeholder Inclusiveness: the reporting organization should identify its stakeholders and explain in the report how it has responded to their reasonable expectations and interests. • Sustainability Context: the report should present the organization’s performance in the wider context of sustainable development. • Materiality: there is an emphasis on information that reflects the organization’s significant economic, environmental, and social impacts, or that would substantively influence the assessments and decisions of stakeholders. Materiality is the threshold at which aspects become sufficiently important that they should be reported. • Completeness: All material aspects and their boundaries should be included, so that an economic, environmental and social assessment of the performance is possible.

Principles for Defining Report Quality:

• Balance The report should reflect positive and negative aspects of the organization’s performance to enable a reasoned assessment of overall performance. • Comparability: The organization should select, compile and report information consistently. The reported information should be presented in a manner that enables stakeholders to analyze changes in the organization’s performance over time, and that could support analysis relative to other organizations. • Accuracy: The reported information should be sufficiently accurate and detailed for stakeholders to assess the organization’s performance. • Timeliness: The organization should report on a regular schedule so that information is available in time for stakeholders to make informed decisions. • Clarity: The organization should make information available in a manner that is understandable and accessible to stakeholders using the report. • Reliability: The organization should gather, record, compile, analyze and disclose information and processes used in the preparation of a report in a way that they can be subject to examination and that establishes the quality and materiality of the information.

What are the requirements for GRI reports prepared “in accordance” with the GRI Stan- dards: “Core” option?

• Report the required general disclosures about the organization (GRI 102). • Report the material specific disclosures about the management approach and indicators (GRI 103). • Report the material topic-specific disclosures (series GRI 200, GRI 300 and GRI 400). • Report the GRI Index, if applicable with reference to the external, independent assurance of the report.

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General Disclosures

The General Standard Disclosures are divided into seven parts: Organization Profi le, Strategy and Analy- sis, Ethics And Integrity, Governance, Stakeholder Engagement, and Report Profi le.

1 Organizational Profi le

GRI 102-1 Name of the organization Founded in 1946, Axel Springer is Germany’s largest newspaper publisher and Europe‘s leading digital publisher.

GRI 102-2 Primary brands, products, and/or services The soul and spirit of the Axel Springer company is journalism. Our Mission: The successful establishment of independent journalism in the digital world. We want to be the most successful digital publisher in the world.

Axel Springer SE is putting all its energy into transforming itself into a digital publisher. The strategy focuses on what has always made the company successful – offerings that are based on or benefi t from journalism to varying degrees: Classifi eds Media, News Media and Marketing Media. Today the media company is active in more than 40 countries.

Details can be found under Axel Springer SE Media.

GRI 102-3 Location of headquarters Axel-Springer-Strasse 65 10888 Berlin

GRI 102-4 Number of countries where the organization operates, and names of countries that have signifi cant operations or that are specifi cally relevant to the sustainability topics covered in the report Axel Springer SE is a leading integrated multimedia company in Europe with an integrated media company with activities in more than 40 countries in the fi elds of digital, printed and audiovisual journalistic publications and services. The company is listed in the MDAX.

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Sustainability is of importance throughout the Group. The national and international companies belonging to Axel Springer SE are to be gradually included in sustainability management.

GRI 102-5 Nature of ownership and legal form The company has the legal form of a joint-stock company. The Axel Springer share has been traded since 1985 and was admitted to the SDAX on June 5, 2007. The shares of Axel Springer SE have been listed in the MDAX since 20 September 2010.

GRI 102-6 Markets served (including geographic breakdown, sectors served, and types of customers). The core competence of Axel Springer is excellent journalism: topical, informative and entertaining. The company operates through networks and cross-media. In this way, it links the digital and printed worlds and distributes high-quality information and entertainment through digital and printed distribution channels.

Axel Springer SE is doing all it can to transform itself into a digital publisher. The strategy focuses on what has always made the company successful – offerings that are based on or benefit from journalism to varying degrees: Classifieds Media, News Media and Marketing Media. The traditional revenues of a publishing house are reflected in this structure. In the same way as a newspaper used to be financed by subscribers, advertisers and classified advertising customers.

Axel Springer is active in more than 40 countries worldwide, with subsidiaries, holdings and licenses on six continents.

GRI 102-7 Scale of the reporting organization (Source: Annual Report 2017) Number of employees 15,836 employees (Classifieds Media: 28 percent; News Media: 44 percent; Marketing Media: 18 percent; Services/Holding: 10 percent.) Total number of operations The company is active in more than 40 countries with subsidiaries, joint ventures and licenses. Total revenue/sales 3,562.7 million euros (advertising revenues: 2,521.3 million euros; sales revenue: 633.0 million euros; printing revenues: 49.2 million euros; other revenues: 359.1 million euros) Equity 2,801.5 million euros (also includes the separately reported assets and liabilities allocated to discontinued operations) Net debt 1,020.2 million euros Quantity of products/services The company is active in more than 40 countries with provided subsidiaries, joint ventures and licenses.

Supplementary sector disclosures: For more information and details on the scale of the reporting organization see the Annual Report 2017.

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GRI 102-8 Mitarbeiterkennzahlen Einen Überblick der Mitarbeiterzahlen nach Tätigkeitsfeld finden Sie in Tabelle GRI-LA1. (Quelle: Geschäftsbericht 2017) Total number of employees by See table LA1 employment contract and gender Total number of permanent emplo- See table LA1 yees by employment type and gender. Total workforce by employees See table LA1 and supervised workers and by gender. Total workforce by region See table LA1 and gender. What percentage of the workforce In a modern media company, freelancers can play a role are freelancers? in the editorial area, either as authors and photographers, for example when it comes to identifying and researching topics, or in illustrating as well as commentary by experts. The frequency of their deployment depends on the respective news situation and cannot therefore be precisely quantified. Are there significant variations in no employment numbers?

Supplementary sector disclosures: In a modern media company, freelancers can play a role in the editorial area, either as authors and photographers, for example when it comes to identifying and researching topics, or in illustrating as well as commentary by experts. The frequency of their deployment depends on the respective news situation and cannot therefore be precisely quantified.

Percentage of total employees covered by collective bargaining agreements The Group works council is always responsible when it comes to dealing with higher-level matters that affect the group or several group companies and that cannot be regulated by the individual general works councils or works councils within their companies. Or if a general works council (or works council) instructs the Group works council to deal with a matter on its behalf. The Group works council currently has a total of 44 members from all general works councils and the works councils of individual companies affiliated to Axel Springer SE.

GRI 102-9 Describe the organization’s supply chain At least two supply chains can be described for media companies such as Axel Springer SE: 1) The digital presentation of content, including external servers 2) The wood, pulp, printing paper, printing and recycling chain

GRI 102-10 Significant changes during the reporting period regarding size, structure, or ownership Digital business accounted for 71.5 percent of total revenues in 2017. Around 80 percent of EBITDA is generated online and 87.1 percent of advertising revenues came from the marketing of digital products.

During the reporting period 2016 – 2017, there were no significant changes in the size, structure or ownership of the organization.

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Further information on “Business Activities and Operating Environment”, “Economic Situation” and “Outlook” can be found in the Axel Springer SE Annual Report 2017 .

GRI 102-11 Precautionary Principle The overall responsibility for risk management lies with the Executive Board. By contrast, the respective divisions or Group companies are responsible for the operative processes of early identification, assessment, management and documentation of risks, the determination and execution of suitable countermeasures and the communication thereof.

GRI 102-12 Participation in and endorsement of external initiatives Axel Springer SE complies with the German Corporate Governance Code, the 2017 Declaration of Conformity can be found here. Within the scope of its “International Social Policy” adopted in 2004, the entire company supports and acknowledges the United Nations “Universal Declaration of Human Rights” and does not tolerate any behavior that disregards this.

As the first media organization, Axel Springer SE has been a member of the Women in the Economy Forum since 1999.

GRI 102-13 Memberships Axel Springer SE is a member of the Federal Association of German Newspaper Publishers (BDVZ), the Association of German Magazine Publishers (VDZ), the German Association of the Digital Eco- nomy (BVDW) as well as a corporate member of the European Magazine Media Association EMMA. The company is represented in the executive committee of several of these associations as well as in numerous working groups – for example in the VDZ Sustainability Working Group. The international subsidiaries are also members of the respective associations in their own countries.

2 Strategy and Analysis

GRI 102-14 Statement from the most senior decision-maker of the organization about the relevance of sustainability to the organization and its strategy.

Importance of Sustainability A publishing house committed to critical journalism must itself stand up to close scrutiny.

Sustainability for Axel Springer entails combining economic success with environmentally compatible and socially responsible activities. These three criteria are an integral part of our corporate strategy. In this way, sustainability is integrated into the business processes. The Corporate Sustainability Office supervises related activities throughout the company – from measures to improve the efficient use of resources up to initiatives for social commitment. The field is assigned to the Chief Executive Officer’s area of responsibility. With our sustainability strategy we assume responsibility for present and future generations and lay the foundations for long-term business success.

Axel Springer started to publish environmental reports as early as the mid-1990s, sustainability reports followed from 2000. Since 2005, we have published a Sustainability Report every two years, which corresponds to the List of Indicators of the Global Reporting Initiative (GRI), the internationally relevant format for sustainability reporting. Axel Springer‘s Sustainability Reports are assured by auditors.

The soul and spirit of the Axel Springer company is journalism. Our Mission: We want to be the most successful digital publisher in the world.

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GRI 102-15 Description of key impacts, risks, and opportunities. Risks relating to the company-wide implementation of environmental and social standards: In view of the organization’s growing international presence, Axel Springer SE has developed a catalog of social standards. This “International Social Policy” is a binding guideline for social integrity and applies to all the organization’s activities throughout the world. Deficits in compliance with the International Social Policy can arise, for example, in the procurement of printing paper, ICT hardware, advertising media, product additions, in merchandising and in the sale of title licenses, and can result in a loss of image. To minimize this risk as much as possible, we work closely together with experts from the wood, pulp and paper industry and environmental organizations. We also conduct monitoring measures along the value chain, as well as eco-audits. The economic risks and opportunities can be found in the Annual Report 2017.

The experience gathered in sustainability management since 1992 acts as a driving force and motiva- tor. It supports, among other things, our journalistic credibility, our attractiveness as an employer, our innovative response to customer expectations and in general, the optimization of management processes. Stakeholder concerns provide an overview of the priorities.

Supplementary sector disclosures: Axel Springer is and will remain a company whose purpose and soul is journalism. For us it is a matter of informing people, of entertaining them, of giving them guidance, of surprising them with news which should often not actually be made public. This is why journalistic independence is an essential prerequisite of journalistic quality. News requires research, uncomfortable inquiries, investigative work. However, journalistic quality is only financially viable if it has two sources of revenue: Paid advertisements as well as readers who pay for journalistic content on the Internet as well as on paper.

The international debate on intellectual property rights is of central importance for the economic base of creative performance. Independent journalism is the bedrock of democratic knowledge-based societies. Intellectual property needs effective protection in the same way as material property. This must also apply to editorially researched and edited texts and representations of publications on the Internet.

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3 Ethics and Integrity

GRI 102-16 Principles and guidelines of Corporate Governance The corporate values of Axel Springer SE are explained, among other things, with the management approach in the section on GRI economic indicators. The standards required for the production of copy are set out in points M2 and M3.

Supplementary sector disclosures: Axel Springer SE is an integrated multimedia online, print and TV company. The company wants to become the most successful digital publisher in the world. Whether digital or printed: every medium obeys its own laws, but the quality of the content is decisive everywhere. News, views, well told stories – that’s what it’s all about in the future and what it always has been. Our work is networked and cross-media thus integrating the different worlds.

Axel Springer is the only independent media company to have a corporate constitution. The five principles expressed therein serve as a foundation for publishing operations. They define fundamental convictions on social policy, yet do not set out an opinion.

In addition to these five principles, the company has also defined values that distinguish Axel Springer’s corporate culture. In 2008, leadership principles were introduced at Axel Springer, giving managers a framework for action in their daily work.

The editors-in-chief and publishing directors of the company developed guidelines to safeguard journalistic independence at Axel Springer and introduced them in August 2003 in co-ordination with the Executive Board.

The catalog of social standards which was published in July 2004 is a binding guideline for social integrity and applies to all the company’s activities worldwide. Axel Springer SE attaches great importance to good corporate governance in the management and control of the enterprise. Moreover, with its first environmental report in 1994 the company published a four-point environmental guideline.

To ensure compliance with laws, voluntary commitments and guidelines, a Group-wide compliance management system was introduced. A Compliance Committee monitors, among other things, compliance with the Code of Conduct.

It summarizes our existing corporate principles, values, as well as our directives and guidelines which contain ethical, moral, and legal requirements for every employee.

The cornerstones of our responsibility as a media enterprise include first and foremost:

• journalistic independence • care in the treatment of sources • the distinction between advertising and editorial copy • the code of conduct of the advertising industry • the media protection of young persons • data protection and the security of digital information systems • the safeguarding of social and environmental standards along the wood, pulp, paper, printing and recycling chain as well as in the procurement of advertising media • compliance with justice and the law

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GRI 102-17 Reporting mechanisms – Indicate the internal and external mechanisms for reporting concerns about unethical or unlawful behavior, and matters related to organizational integrity, such as escalation through line management, whistleblowing mechanisms or hotlines. Axel Springer is committed to responsible corporate governance. Integrity, along with entrepreneurship and creativity, is one of the company’s fundamental values and the foundation of our corporate culture.

Compliance, i.e. compliance with legal regulations, voluntary commitments and corporate guidelines, is an essential element of integrity. Axel Springer will not tolerate legal violations or non-compliance with the Code of Conduct.

An electronic whistleblower system is available to employees, as well as to external persons, to alert them to possible compliance violations. References to actual or suspected violations of rights and the law or other grievances and undesirable developments can therefore be made confidentially and on request anonymously.

Whistleblowers who pass on information in good faith will not be disadvantaged in any way. The system may not be used to knowingly provide false or defamatory information.

4 Governance

GRI 102-18 Governance structure of the organization At Axel Springer, good corporate governance is considered to be a crucial element of responsible management and control, and thus an essential foundation for sustainable corporate success. In this regard, we are guided by German principles of sound governance, and in particular the German Cor- porate Governance Code.

The Supervisory Board of Axel Springer SE consists, in accordance with the statutes, of nine members who are elected by the annual shareholders’ meeting. The term of office of its members is five years as a rule; re-election is permitted. The Supervisory Board elects its chair from among its own ranks; the term of office corresponds to that of the Supervisory Board. In accordance with its procedural rules, the Supervisory Board has established four committees – Executive Committee, Personnel Committee, Nomination Committee and Audit Committee – which support the work of the plenum.

The Executive Board of Axel Springer SE runs the company on its own authority. The Executive Board in its management function is committed to serving the interests of the company and sustainable corporate development. It develops the strategic orientation of the company and – in coordination with the Supervisory Board – is responsible for its implementation. The Executive Board manages the Company in accordance with the relevant laws, articles of association and its rules of procedure. The body currently consists of five members.

Supplementary sector disclosures: Guidelines to ensure ethical media standards: To ensure compliance with laws, voluntary commitments and guidelines, Axel Springer has introduced a Group-wide compliance management system. The Code of Conduct is part of the compliance organization and is to be understood as a summary of the Axel Springer rules of conduct, which also include the guidelines for safeguarding journalistic independence.

The protection of the freedom of the press extends from the gathering of information to the communication of the news. Protection is afforded, for example, to the determination of the bias of a newspaper, the confidentiality of editorial work, and in particular the non-disclosure of sources of information in the interests of a broad flow of information.

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The guidelines for the journalistic work of all editors safeguard the general conditions that make independent and critical journalism possible at Axel Springer.

Further information and details can be found in the Annual Report 2017

GRI 102-22 Report the composition of the highest governance body and its committees As a German SE, the Group has a dual structure through the separation of the Supervisory Board and the Executive Board.

The Supervisory Board of Axel Springer SE consists, in accordance with the statutes, of nine members who are elected by the annual shareholders’ meeting. The members of the Supervisory Board are:

• Dr. Giuseppe Vita (Chair) • Dr. h. c. Friede Springer (Deputy Chair) • Oliver Heine • Dr. Alexander Karp • Iris Knobloch • Lothar Lanz • Dr. Nicola Leibinger-Kammüller • Prof. Dr.-Ing. Wolfgang Reitzle • Martin Varsavsky

(Stand Mai 2018)

The term of office of its members is five years; re-election is permitted. The Chair of the Supervisory Board is elected from among the members of the Supervisory Board.

GRI 102-23 Indication of whether the Chair of the highest governance body is also the executive officer As a German Societas Europaea (SE), the Group has a dual structure through the separation of Su- pervisory Board and Executive Board.

The Executive Board of Axel Springer SE runs the company on its own authority. The body currently consists of five members. The Executive Board informs the Supervisory Board regularly, promptly and extensively on all questions of planning, business development, risk situation and risk management which are relevant for the company. Every member of the Executive Board must disclose any conflicts of interest to the Supervisory Board without delay.

GRI 102-25 Processes in place for the highest governance body to ensure conflicts of interest are avoided Every member of the Executive Board must disclose any conflicts of interest to the Supervisory Board without delay. Every member of the Supervisory Board must also disclose any conflicts of interest to the Supervisory Board without delay. Please also see “Corporate Governance”.

Supplementary sector disclosures: Mechanisms to avoid conflicts of interest in the selection of content: To ensure compliance with laws, voluntary commitments and guidelines, Axel Springer has introduced a Group-wide compliance management system. A Compliance Committee monitors compliance with the Code of Conduct. The Code of Conduct is part of the compliance organization and is to be understood as a summary of the Axel Springer rules of conduct, which also include the guidelines for safeguarding journalistic independence.

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Editorial publications may not under any circumstances be influenced by the personal or business interests of third parties or the personal economic interests of editors.

The journalists at Axel Springer

• shall not report on persons with whom they have a close relationship, especially family members, in the form of copy or photographs unless there is an objective reason for doing so that has been approved by their superior; • shall not use their reporting to gain advantages for themselves or others; • shall consult their superior if the membership of or the holding of an office or a seat in a society, political party, association or other institution, investment in a company, permitted secondary employment or through a relationship with persons or institutions, the impression might be created that the neutrality of their reporting on such societies, political parties, associations, persons or other institutions is thereby compromised; • shall pay particular attention to the observance of the legal regulations and ethical obligations of the press concerning inside and other information which may potentially affect security prices.

GRI 102-29 Procedures of the highest governance body for monitoring sustainability performance To ensure compliance with laws, voluntary commitments and guidelines, a Group-wide compliance management system was introduced. A Compliance Committee monitors compliance with the Code of Conduct.

Sustainability performance is monitored by the Controlling, People & Culture, Compliance and Risk Management divisions. An externally assured sustainability report is published every two years in a format complying with the GRI. In addition, there are the non-financial statements which are published annually and the Annual Reports, which also contain sustainability-related information.

GRI 102-35 Relations between remuneration for the highest governance body and the organization’s performance The remuneration policy at Axel Springer is based on the principle of performance-oriented remuneration for the work of the Executive Board and the Supervisory Board that is geared to sustainable corporate development.

In accordance with the requirements of the German Stock Corporation Act and the recommendations of the German Corporate Governance Code (GCGC) the remuneration of the Executive Board members contains fixed and variable components. The variable compensation consists of a cash component paid as an annual bonus and long-term remuneration components in the form of the long-term incentive plan launched in 2016 and the virtual stock option plans which were last granted in 2014. All of the remuneration components are appropriate, both individually and as a whole. The Supervisory Board deals intensively with the appropriateness and customary nature of the remuneration of the Executive Board and takes particular account of the criteria set forth in § 87 of the Stock Corporati- on Act (AktG) and section 4.2.2 sentences 4 and 5 of the GCGC, such as the duties of the individual member of the Executive Board, his personal performance, and the economic situation, success, and future prospects of Axel Springer. The sector environment of the company is also taken into account.

The Supervisory Board did not call in any external remuneration experts in the year under review.

The fixed remuneration corresponds to the annual fixed salary; in addition, the members of the Execu- tive Board also receive a company car or car allowance, the coverage of premiums for disability and death insurance, the coverage of individual travel expenses and security expenses as fringe benefits. The annual fixed salary is normally fixed for the entire duration of a contract of employment and paid in twelve monthly installments.

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The variable remuneration element in the form of a cash component paid as a bonus is based on the individual’s performance within the scope of individual targets (including quantitative divisional and qualitative individual targets based on the strategy of Axel Springer SE) as well as the Group‘s targets; its amount is limited to twice the amount payable for 100 % target achievement. The Group’s target for the 2017 reporting year and the previous year was adjusted Group EBITDA. The individual targets for measuring individual performance and the Group targets are each approved by the Supervisory Board. The bonus is based partly on the achievement of annual targets and partly on the achievement of Group targets set for a three-year assessment period. The achievement of targets is first determined by the Chair of the Supervisory Board together with the respective Executive Board member and then reviewed and approved by the Supervisory Board.

In addition, there is a long-term variable remuneration component in the form of a Long-term Incen- tive Plan (“LTIP”), which was granted in the fiscal year 2016 to the members of the Executive Board already in office as of 1 May 2016 and runs including holding periods until 2023. The LTIP provides for a participation in the increase in value of the company on the basis of market capitalization in the form of a cash remuneration claim with a subsequent obligation to purchase shares.

5 Stakeholder Engagement

GRI 102-40 Stakeholder groups engaged by the organization Readers and users of our media offerings, advertising and print customers, employees, investors, neighbors, visitors, schoolchildren, students, scientific institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express particular interest in the organization’s operations as well as its products at home and abroad.

Stakeholder Management – the management of the relationships with the different groups that have an interest in a company and directly or indirectly influence value creation – is one of Axel Springer’s priorities.

GRI 102-41 List all entities included in the organization’s consolidated financial statements or equivalent documents On pages 162 to 168 of the Axel Springer SE Annual Report 2017, a total of 365 companies are named in which Axel Springer SE holds an interest. Further information can be found here.

GRI 102-42 Basis for the selection of stakeholders with whom to engage The basis for the selection of stakeholders is the degree of concern or interest in the work of the company. Readers and users of our media offerings, advertising and print customers, employees, investors, start-ups, grown-ups, neighbors, visitors, schoolchildren, students, scientific institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express a particular interest in the organization’s operations as well as its products at home and abroad.

Various sources of information are used to rank the various concerns of our stakeholders – from market research among readers and surveys of the customer loyalty programs to reader advisory councils and regular exchanges with WWF, Greenpeace and Transparency International in countries such as Finland, Sweden, Russia, Canada, the USA, China, Uruguay and Brazil as well as internal employee surveys.

GRI 102-43 Approaches to stakeholder engagement Personal contact to stakeholders comes about, for example, through directly addressing them, through exchanges of views at conferences, as well as through emails and phone calls.

Various sources of information are used to rank the various concerns of our stakeholders - from market research among readers and surveys, e.g. as part of customer loyalty programs, through reader

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advisory councils, to regular exchanges with business partners, government agencies and non- governmental organizations such as the WWF, Greenpeace and Transparency International in countries such as Finland, Sweden, Russia, Canada, the USA, India, China, Uruguay and Brazil, as well as internal employee surveys. Please click here for further information.

GRI 102-44 Key topics and concerns of stakeholders We consolidate the findings of the analysis of the various stakeholders’ concerns into a materiality matrix, which at the same time yields the orientation and priorities of sustainability management. Another guide are the issues and priorities of rating and ranking agencies in the area of sustainability.

This is complemented by stimuli from, for example, the Institute for Ecological Economy Research (ioew) and the indicator matrix of the Global Reporting Initiative (GRI).

The stakeholders’ concerns include issues of journalistic independence, the separation of advertising and editorial work, the promotion of media literacy among young readers, data protection, issues of transparency, standards and energy use along the digital value chain, as well as the safeguarding of social and environmental standards along the wood, pulp, paper, printing and recycling chain.

6 Report Parameters

GRI 102-45 Companies included in the consolidated financial statements On pages 162 to 168 of the Axel Springer SE Annual Report 2017, a total of 365 companies are named in which Axel Springer SE holds an interest. Of these, 232 companies are consolidated.

The disclosures in the Sustainability Report relate primarily to Axel Springer SE. The figures reported under “Employees” relate in part to Axel Springer SE and its consolidated holdings. The figures reported for energy consumption in the “Environmental” segment relate to Axel Springer SE with almost all its consolidated subsidiaries.

GRI 102-46 Process for defining report content Process for defining the report content and the Aspect Boundaries

General identification: Since 1993, the interests, concerns and priorities of relevant stakeholders have been continuously sounded out. Axel Springer SE published its first environmental report in 1994. In 1995, the Ahrens- burg newspaper printing plant was the first in Europe to be validated according to the EU ecological audit EMAS. In 2001, the first externally assured sustainability report appeared. The indicators of the IÖW (Institute for Ecological Economy Research) as well as the Global Reporting Initiative GRI and the Media Sector Supplement were and are important fundamental requirements.

Readers, advertising and print customers, employees, investors, neighbors, visitors, schoolchildren, students, scientific institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express particular interest in the organization’s sustainability management.

What is expected of our company? Which issues are particularly interesting for readers and non-readers, users of online platforms or even environmental organizations that deal with sustainability issues in our industry?

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We use various sources of information to classify the various concerns, from market research among readers and customer surveys to reader advisory councils and regular exchanges with WWF, Green- peace and Transparency International in countries such as Finland, Sweden, Russia, Canada, the USA, China, Uruguay and Brazil.

Current determination: The primary sources for defining priority stakeholder concerns and defining report content are market research, Readers’ Advisory Councils, external newspaper critiques and representative and valid “Measuring, managing, monitoring” “TRI*M” surveys of readers, users and advertisers conducted by TNS-Infratest in specific years.

The contents of the report are based on the findings of this stakeholder dialog, which has been ongoing since 1993.

Implementing the Reporting Principles for Defining Report Content

Prioritization through stakeholder inclusiveness: Sources for defining priority stakeholder concerns and defining report content include market research, Readers’ Advisory Councils, external newspaper critiques and representative and valid “Measuring, managing, monitoring” “TRI*M” surveys of readers, users and advertisers conducted by TNS-Infratest in specific years.

Sustainability Context: The structure and content of the Sustainability Report are geared to the company’s social, societal, ecological and economic framework conditions.

Prioritization through testing materiality: The report addresses the company’s relevant sustainability implications, which significantly influence stakeholder assessments and decisions;

Completeness: The report refers to the years 2016 and 2017, and also deals with aspects of sustainability in the upstream and downstream value chain.

Balance: The report does not envisage itself as an “advertising brochure” but rather reacts to the real development of the relevant sustainability criteria.

Comparability: Axel Springer SE has presented an externally assured Sustainability Report every two years since 2001 and in so doing seeks to ensure comparability. The difficulty lies on the one hand in the GRI disclosure formats which are continuously being further developed, and on the other hand on changes in the company structure resulting from the digital transformation of the company.

Accuracy: The origin, derivation and significance of quantitative disclosures is explained.

Timeliness: The Axel Springer SE Sustainability Report is published digitally every two years.

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Clarity: In order to meet the expectations of different target groups, the report also contains, in addition to the stringent GRI section, an informative service oriented towards prevailing reading habits.

Reliability: The key sections of the report are assured by the auditing company PwC.

Boundaries of the report A series of quantitative disclosures in the fields of Environment and Employees relate to the printing plants in Germany. If the scope of application is not explicitly stated, all the other disclosures apply for the Group.

State any specific limitations to the scope or boundaries of the report No specific limitations.

Data measurement techniques and the bases of calculations

• The environmental data are based on documented disclosures by suppliers or are collected at the locations involved. • The environmental data are collected at the locations involved and forwarded to Corporate Cont- rolling. • Personnel figures from all relevant departments of the organization are collected in Personnel Sta- tistics, checked for plausibility and published in the Annual Report. • Information on openings, company training, measures to promote equal opportunities and the development of our employees, etc. are generated in the People & Culture department and published in the Annual Report as well as the company’s Internet portal. • The regular exchange of ideas between the Group Sustainability Department and the sustainability officers at the company locations is also a part of data collection.

In order to compile the energy data: As with financial reporting, only material units or holdings are taken into account. The fully consolidated units are initially considered to be material in financial reporting. To further reduce this expenditure, those units are selected which account for the largest share of employees (FTE) and sales (euros) in the Group as a whole. The reported data is checked for completeness, normalized and checked for plausibility. To complete the picture, projections are made on this basis using suitable parameters (e.g. average electricity consumption per employee and square meter).

Conversion from KWH to CO2: The consumption of the complete, normalized and plausibility checked query is then aggregated at country level and converted into CO2 with the help of external support (energy consultants and emission coefficients per country).

GRI 102-47 List all the material Aspects identified in the process for defining report content. • Journalistic Independence: Material for corporate sustainability as well as acceptance by readers, users and society; • Product Responsibility and Customer Satisfaction: Material for corporate sustainability as well as acceptance by users, readers and society; • Identification with Employees and Attractiveness as an Employer: Material for the sustainable continued existence of the company; • Compliance with high standards (Corporate Governance, Compliance with Social and Environ- mental Standards): Material for corporate sustainability as well as acceptance by employees, users, readers and society; • Creativity, innovation and profitability: Material for corporate sustainability;

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These material Aspects apply to all areas of the company. Materiality within the organization: For each material Aspect, report the Aspect Boundary within the organization

The number of companies belonging to the Group is growing in the course of the digital transformation. The ownership structures of the individual companies are published in the Annual Report. The media company is active in more than 40 countries with subsidiaries, joint ventures and licenses. The material Aspects of the report content apply to all areas of the company.

Materiality outside the organization: For each material Aspect, report the Aspect Boundary outside the organization

GRI 102-48 Changes from previous reporting periods Axel Springer SE is doing all it can to transform itself into a digital publisher. The strategy focuses on what has always made the company successful – offerings that are based on or benefit from journalism to varying degrees: Classifieds Media, News Media and Marketing Media. The traditional revenues of a publishing house are reflected in this structure. In the same way as a newspaper in the past was financed by subscribers, advertisers and classified advertising customers. Axel Springer is active in more than 40 countries worldwide, with subsidiaries, holdings and licenses on six continents.

GRI 102-49 Effects of amended restatements of information Axel Springer SE is a journalistic company. Axel Springer SE has presented an externally assured Sustainability Report every two years since 2001 and in so doing seeks to ensure comparability. The difficulty lies on the one hand in the GRI disclosure formats which are continuously being further developed, and on the other hand on changes in the company structure resulting from the digital transformation of the company. These amendments have no material effect on the continuity of principles and objectives.

GRI 102-50 Reporting period 2016 and 2017

GRI 102-51 Date of most recent previous report October 2016 for the reporting period 2014 to 2015

GRI 102-52 Reporting cycle Biennial

GRI 102-53 Contact point for questions regarding the report The list of contact partners can be found here.

GRI 102-54 Reporting statement in accordance with GRI standards This Sustainability Report was prepared “in accordance” with the GRI Standards: “Core” option. The “Core” option contains the material elements of a Sustainability Report and provides the background against which Axel Springer SE communicates the impacts of its economic, environmental, social and societal performance. In addition the Sustainability Report responds to the specific standard disclosures (“Disclosure on Management Approach” (DMA) and indicators) for the material aspects. In addition, the GRI indicators of the “Media Sector Disclosures” (MSD), which are available for the industry and material, were also taken into consideration.

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GRI 102-55 GRI Content Index

A part of the quantitative disclosures contained in this report was assured by PricewaterhouseCoo- pers AG auditing company (PwC).

General Standard Strategy and Analysis, Organizational Profile, Report Parameters, Disclosures Governance Specific Standard Employment, Labor/Management Relations, Occupational Health and Disclosures Society Safety, Training and Education, Diversity and Equal Opportunity, Equal Remuneration for Women and Men, Grievance Mechanisms, Investment, Nondiscrimination, Assessment, Suppliers, Governance, Anticorruption, Security Practices, Public Policy, Anticompetitive Behavior, Compliance, Product Responsibility, Customer Health and Safety, Marketing Communications, Media Literacy, Customer Privacy, Compliance Specific Standard Materials, Energy, Emissions, Effluents and Waste, Emissions, Transport, Disclosures Suppliers, Grievance Mechanisms Environment Specific Standard Economic Performance, Procurement Practices Disclosures Economy

Supplementary sector disclosures: Among the focal points of the new GRI indicators from the „Media Sector Supplement“ (MSS) are an extensive number of questions concerning the role of the media in society, on ensuring editorial independence and diversity of opinion, on the structure of the ownership and shareholders, on quality assurance during the creation of journalistic content, on interaction with readers, on observance of declared corporate values, on ensuring the protection of sources and confidentiality, on the protection of intellectual property, on the avoidance of conflicts of interest in the creation and distribution of content, on the separation of editorial copy and advertising, on the significance of advertising revenue received from government sources, on the avoidance of the risks of corruption, on the contractual general conditions for salaried and freelance employees, on security during journalistic assignments in crisis regions, on offers of continuing vocational training, on transparency in representing industry interests to regulators and, most importantly, on current processes of change in media as part of the process of digitization.

Contact person for questions regarding the Sustainability Report: Florian Nehm Axel Springer SE Corporate Sustainability Officer Tel: +49 30 2591 79370 [email protected]

GRI 102-56 External assurance for the report The Axel Springer SE Sustainability Reports have been externally assured since 2001.

The quantitative disclosures in the Axel Springer AG 2017 Sustainability Report assured by the Price- waterhouseCoopers AG auditing company (PwC) are individually identified. The basics, the scope and the results of the assurance can be taken from the statement on the assurance by PwC.

The list of total disclosures assured can be found in the GRI Content Index.

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Topic-specifi c Disclosures Economic

Economic Indicators

The following indicators correspond to the Economic topic-specifi c disclosures of the “Global Re- porting Initiative” (GRI) for the internationally uniform structuring of sustainability reports.

1. Management Approach for stakeholder concern: Economic performance and profi tability

GRI 103-1 Report why the Aspect is material. Report the impacts that make this Aspect material.

• Profi tability • Profi table growth • Sustainable increase in corporate value • Consistently high dividend yield • Appropriate market valuation of the share • Reliable cooperation

Without profi tability there can be no sustainable continuation of the company. Further details are documented in the 2017 Annual Report.

GRI 103-2 Report how the organization manages the material Aspect or its impacts. (Policies, commitments, goals and targets, responsibilities, resources, specifi c actions)

Policies Company policy – Organization-wide policy that defi nes the organization’s overall commitment to the economic Aspects.

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Commitments Corporate Values: Our corporate values are the foundation for the strategic and operational development of the Group. They guide every employee in his/her work and are the cornerstones of our corporate culture. The three corporate values are:

• Creativity as the decisive prerequisite for success as journalists as well as for commercial success • Entrepreneurial spirit, defined as imaginative, responsible and result-oriented action taken by employees and management • Integrity towards the company, readers, customers, employees, business associates and shareholders.

Goals and targets Organization-wide goals regarding performance which are relevant to the Economic Aspects: Value- Driven Management: The Group strategy of Axel Springer is based on the three tenets of expanding the company’s market leadership position in the German-language core business, as well as internationalization and digitization. The overriding goals of this strategy are to ensure profitable, long-term growth and sustainably increase the company’s value.

Responsibilities The ultimate responsibility for economic aspects lies with the Executive Board of Axel Springer SE.

Resources Qualified employees and capital

Specific actions Internationalization and digitization GRI 103-3 Report the evaluation of the management approach, including the mechanisms for evaluating the effectiveness of the management approach; the results of the evaluation of the management approach; the consequences the organization will draw.

Mechanisms The Supervisory Board appoints the members of the Executive Board. It monitors and advises the Executive Board in the conduct of business.

Results More than 15,000 employees generated total revenues of 3,562.7 million euros and earnings (EBIT- DA) of 645.8 million euros in 2017.

Consequences The company will consistently continue with its internationalization and digitization.

Further details are documented in the Annual Report 2017

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2. Disclosures and references for the reporting period 2016 + 2017

GRI 201 Economic Performance GRI 201-1 Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments (taxes)

Fiscal years 2016 and 2017: (Group) (*Note: Figures include continuing operations only)

• Revenues*: 3,562.7 million euros in 2017 and 3,290.2 million euros in 2016.

• Operating costs*: Defined as the sum of material costs, personnel expenditure, depreciation, amortization and other operating expenses: 3,402.0 million euros in 2017 and 3,155.5 million euros in 2016.

• Employee compensation*: Personnel expenditure in 2017: 1,202.1 million euros (of which wages and salaries: 932.8 million euros)

Personnel expenditure in 2016: 1,100.1 million euros (of which wages and salaries: 820.3 million euros)

• Donations: Cannot be calculated at Group level. We do not have this information available in detail.

• Retained earnings: Equity capital generated as per 31.12.2017: 2,632.7 million euros; Equity capital generated as per 31.12.2016: 2,565.8 million euros;

• Payments to capital providers (equity capital providers): Dividends for the fiscal year 2016 (paid in 2017): 205.0 million euros; Dividends for the fiscal year 2015 (paid in 2016): 194.2 million euros

• Payments to governments (taxes): Tax expenditure* (taxes on income and earnings) in 2017: 165.7 million euros; Income taxes paid in 2017: 130.8 million euros

Tax expenditure* (taxes on income and earnings) in 2016: 44.2 million euros; Income taxes paid in 2016: 126.9 million euros

GRI 201-2 Financial implications and other risks and opportunities for the organization’s activities due to climate change • No direct effects have been identified to date • Indirect effects: Rising energy costs could have implications for the distribution of newspapers and magazines, the operation of printing facilities and publishing office buildings as well as the manufacture of printing paper

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GRI 201-3 Scope of defined benefit plan obligations Fiscal year 2017: (Group) • social expenditure (employer contributions to social security, incl. health insurance) Social security contributions: 148.7 million euros • Pension costs, company pension plan, pension plan expenditure: 11.6 million euros

Fiscal year 2016: (Group) • social expenditure (employer contributions to social security, incl. health insurance) Social security contributions: 138.0 million euros • Pension costs, company pension plan, pension plan expenditure: 8.7 million euros

By participating in the “VarioRente”, a forward-looking deferred compensation company pension plan, employees of Axel Springer SE in Germany accumulate a sizable balance in their pension account by the time they enter retirement.

GRI 201-4 Financial assistance received from government (e.g. subsidies, advertising) Investment grants: Liabilities from investment grants as per 31.12.2017: 4.3 million euros Liabilities from investment grants as per 31.12.2016: 10.0 million euros

Supplementary sector disclosures: The group of shareholders does not include government agencies. The gross advertising expenditure by state governments and the federal government accounted for 0.38 percent of the company’s advertising revenue (excluding classifieds) in Germany in 2017. Significant funding and other support from non-governmental sources (advertisements, etc.)

Axel Springer SE generated advertising revenues (excluding its own media advertising) of approximately 1.2 billion euros in 2017. The share of advertising revenues (excluding its own media advertising) did not exceed seven percent for any advertising customer. (Source: Nielsen Media Research GmbH).

GRI 205 Fighting corruption As part of the integrated Compliance and Risk Management System introduced at Axel Springer, a systematic collection and evaluation of all annual compliance-related risks, also including corruption, is carried out every year. Furthermore, corruption-related risks are the subject of audits by the Group‘s internal audit department. Whenever evidence of corruption-related risks emerges from compliance- related reporting or the compliance management system, audits and investigations, this flows into the inventory of risks. In this respect, 100% of the active operational holdings in the risk management system as well as the divisions of Axel Springer SE were the object of observation by Compliance and thus corruption-related risks.

GRI 205-2 Communication and training about anti-corruption policies and procedures Various measures to provide information and training about anti-corruption policies and procedures and on legally compliant behavior were carried out in the reporting period. Among other things, communication with the decision makers of Axel Springer SE on issues such as corruption was made possible through the introduction of an electronic whistleblowing system accessible to external and internal groups of persons. Furthermore, in 2014 a guideline on the acceptance and granting of gifts and invitations entered into force and the internal publication of the guideline was accompanied by appropriate communication measures. Every new employee is also made aware of the Axel Springer Code of Conduct during the recruitment phase. In addition, the requirements of the Code of Conduct

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are taught in seminars and training courses on various topics.

In accordance with its procedural rules, the Supervisory Board has established four committees – Executive Committee, Personnel Committee, Nomination Committee and Audit Committee – which support the work of the plenum. The Audit Committee is kept regularly up-to-date.

The Audit Committee, notwithstanding the responsibilities of the Supervisory Board as a whole, is responsible for the preparation of the decisions made by the Supervisory Board concerning the adoption of the financial statements and the approval of the consolidated financial statements, by conducting a preliminary review of the financial statements, the dependency report and consolidated financial statements, the management report and the consolidated management report, reviewing the proposal for the appropriation of the profits, discussing the audit report with the auditor and by monitoring the financial reporting process and the statutory audit, in particular the independence of the auditor, the monitoring of the effectiveness of the Risk Management System, the Internal Control System (ICS), the Compliance Management System as well as the Internal Audit System. It is further responsible for the audit of the interim financial statements and interim reports and the discussion of the auditor’s report of the review of the interim financial statements. With regard to the statutory audit, it is responsible among other things for the preparation of the proposal by the Supervisory Board at the Annual General Meeting on the selection of the auditor, as well as for the granting of the audit mandate to the auditor and the determination of focal points for the audit. The Audit Committee is composed of Lothar Lanz as chair, Dr Giuseppe Vita as deputy chair and Oliver Heine, Rudolf Knepper and Dr. h. c. Friede Springer as further members.

GRI 205-3 Confirmed incidents of corruption and actions taken Two Group works agreements were concluded with the Group Works Council (compliance reporting procedure / introduction of an electronic whistleblower system), which regulate all aspects of whistleblowing and fact-finding activities. The protection of our employees is our highest priority. All information is treated with absolute confidentiality. There are a number of ways to submit information: By telephone, email, letter or in a personal conversation. If possible, employees should first address their concerns to their supervisor, who is their immediate contact for compliance issues.

As a further channel, Axel Springer enables information to be provided via an electronic whistleblower system. The autonomous, web-based application facilitates a protected dialog between the person reporting and selected persons from the Compliance Department at Axel Springer. In this way, additional information about a possible incident can be exchanged and quickly clarified. The whistleblower decides themselves whether to give their name – which would be useful for further processing – or to remain anonymous.

GRI 206 Anti-competitive Behavior GRI 206-1 Number of legal actions for anti-competitive behavior, anti-trust, and monopoly practices and their outcomes.

There are no legal actions of this type.

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Topic-specifi c Disclosure Environmental

Environmental Indicators

The following indicators correspond to the Environmental topic-specifi c disclosures of the “Global Reporting Initiative” (GRI) for the internationally uniform structuring of sustainability reports.

1. Management Approach for stakeholder concern: High environmental standards of Axel Springer SE

GRI 103-1 Report why the Aspect is material. Report the impacts that make this Aspect material.

• Sustainable growth and a sustainable increase in value emerge from the triad of social, environmental and economic responsibility. • A publishing house committed to critical journalism must itself stand up to close scrutiny with regard to these standards.

GRI 103-2 Report how the organization manages the material Aspect or its impacts. (Poli- cies, commitments, goals and targets, responsibilities, resources, specifi c actions) Policies Company Policies - Organization-wide policy that defi nes the organization’s overall commitment related to the Environmental Aspects.

With its fi rst environmental report in 1994, Axel Springer SE published a four-point environmental guideline. It still serves today as a practical guide to the measures introduced by the company in the interests of environmental protection.

To raise environmental consciousness among its readers, business associates and staff.

To promote the environmentally-friendly production of raw materials by exerting a positive infl uence on suppliers.

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To use environmentally efficient technologies and materials in all corporate divisions to reduce the burden on the environment, use materials sparingly and ensure their reusability.

To avoid or reduce the environmental impact by reducing energy and water requirements, emissions and waste per unit produced.

Commitments Monitoring Compliance for Axel Springer means compliance with legal requirements, voluntary commitments and corporate guidelines. For this, awareness is raised on the part of the employees. Violations of guidelines and regulations can damage the environment, adversely affect the reputation of the company and cause economic damage.

Against this background appropriate structures and processes have been established to ensure behavior compliant with laws and regulations for all corporate officers, executives and employees. The Axel Springer SE Code of Conduct gives employees reliable orientation. The Compliance department monitors compliance.

Goals and targets Goals regarding performance which are relevant to the Environmental Aspects. The goal is the continuous improvement of efficiency in the use of resources. This applies primarily to the digital infrastructure as well as the operation of printing plants, newspaper distribution, the procurement of printing paper, office processes, the use of water and energy along with the generation of waste and emissions.

Responsibilities The Corporate Sustainability Office is a Group administrative department which is attached to the Chief Executive Officer’s division. The Corporate Sustainability Office supports and advises throughout the group all the relevant divisions of the company with respect to the ecological optimization of processes and coordinates the corresponding pilot projects. In the printing plants as well as the publishing office locations, environmental and safety officers are responsible for the operative implementation and ensuring of environmental standards. The companies belonging to Axel Springer SE also have contact persons for questions relating to sustainability management.

Resources Corporate Sustainability Office, internal and external experts for processing the GRI indicators, energy audit, etc.

Specific Actions Actions related to training and raising awareness

Questions concerning environmental optimization are integrated into education programs as well as being part of the introductory seminars for trainees. At the same time, sustainability issues are addressed in internal communications media.

GRI 103-3 Report the evaluation of the management approach, including the mechanisms for evaluating the effectiveness of the management approach; the results of the evaluation of the management approach; the consequences the organization will draw. Continuous sustainability reporting according to GRI with external assurance.

Supplementary sector disclosures: The Corporate Sustainability Officer of Axel Springer SE maintains regular contact with the Environ- ment and Safety Officers at the various locations. Every two years, the company publishes an externally assured sustainability report in accordance with GRI standards.

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Transparency in the paper chain is documented through the publication of the suppliers of printing paper. Contracts with suppliers contain sustainability-related clauses such as the “Forestry Standards” which are also verifi ed by the company on site.

The effi ciency in the use of printing paper is optimized by measures used to reduce mill broke. Re- turns (= unsold copies of newspapers and magazines) are reduced through the continually refi ned control of copies delivered to the respective sales outlets.

Newspapers and magazines are recycled by the readers via the municipal collection points for used paper. The collection rate in Germany is around 80 percent.

2. Details and references for the reporting period 2016 + 2017

GRI 301 Materials GRI 301-1 Materials used by weight or volume In the course of the digital transformation of the entire company, the relevance / materiality of the materials used in the German printing plants of Axel Springer SE is no longer given. To this end, the focus of materiality has shifted more to balancing the electrical energy used for the company as a whole as well as for external servers and the resulting CO2 emissions.

GRI 301-2 Percentage of materials used that are recycled input materials In 2017, around 80 percent (2015: 77 percent) of the newspaper and magazine papers used to print the company’s titles included used paper.

GRI 302 Energy GRI 302-1 Energy use within the organization Record of the amount of gas, district heating and electricity used by the company worldwide.

Umrechnungsfaktor GJoule vs. kWh = 1/277,78 Umrechnungsfaktor Erdgas m3 (L- und H-Gas Gemisch): 1 m3 = 11 kWh

Conversion factor gigajoule vs. kWh = 1/277.78 Conversion factor m3 natural gas (low and high caloric gas mixture): 1 m3 = 11 kWh

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In contrast to the last edition of the Sustainability Report, this time we have decided to dispense with the collection of data on district heating consumption and natural gas consumption for heating purposes due to its increasing irrelevance in comparison with electricity as an energy source.

The ongoing digitization of the business models is increasingly leading to the fact that not only are the company’s own server capacities being used, but more and more services in external data centers are being set up and running as well. The company’s own energy consumption is in this sense being exported, along with the CO2 emissions it generates. In order to take this paradigm shift into account, for the first time the electricity consumption of external computer centers is also included in this Sus- tainability Report. A process is currently underway to integrate into the reporting process in the future important cloud service providers that are still holding back on the release of energy and emissions data.

The recording of the volume of electricity used by the company, including its fully consolidated subsidiaries, resulted for 2017 in a total of 71,846 MWh (2016 = 74,671 MWh).

External plausibility check The European Energy Directive and its transposition into national laws, for example, obliges large companies in Germany to have an energy audit in accordance with DIN EN 16247-1 carried out at least every 4 years. This type of external assessment is due again in 2019.

In addition, two of the three German offset printing locations operate an externally certified energy management system in accordance with DIN EN ISO 50001. This obliges the locations to maintain their own energy team, to continuously analyse and question their own energy consumption and to implement measures to further improve their energy performance. The success of these efforts is reviewed and verified annually in internal and external audits.

GRI 302-3 Energy intensity The digitization and the internationalization of the company have reduced the representativeness of the energy data reported for the whole company over the past few years. This is due to difficulties in determining the total energy used by a large company, including its consolidated business units. For the reporting years 2014 and 2015, it was possible for the first time for Group Accounting to record almost the entire energy consumption of some 180 mostly digital subsidiaries worldwide. The resulting CO2 emissions for the company were thus largely documented.

Group Controlling has developed a leaner procedure for the collection of energy data for the entire company including around 200 subsidiaries for the reporting years 2016 and 2017. From this, suitable indicators can be formed for the assessment of a digital media company.

GRI 302-4 Reduction of energy use The digitization and internationalization of the company make the collection of data for the entire Group a challenging process. In view of a growing number of consolidated subsidiaries, a new reporting process has been established in Group Controlling through which the energy data of the individual companies can be retrieved throughout the Group.

The recording of the volume of electricity used by the company, including its fully consolidated subsidiaries, resulted for 2017 in a total of 71,846 MWh (2016 = 74,671 MWh).

GRI 302-5 Reductions in energy requirements of products and services With its numerous titles, Axel Springer SE offers editorial content both digitally and in print. Against this background, this indicator is only of limited relevance, especially as reading editorial content – whether digital or on paper – does not in itself consume energy. The decision as to whether editorial content is assimilated digitally or in print lies with the user. The editorial offices regularly inform users and readers about alternatives and innovations in the field of energy-saving digital reading devices.

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GRI 305 Emissions Notes on emission data CO2 emission factors for the specifi c types of energy are used for the presentation of the CO2 emissions generated by the whole company worldwide. The identifi cation of greenhouse gas emissions for recorded resource use is made here in tonnes of CO2 equivalents (CO2e). With a view to better readability, this text only uses the spelling “CO2”.

For the conversion of the various energy resources into the resulting CO2 emissions, the World Re- sources Institute (WRI, Washington DC) and the World Business Council for Sustainable Development (WBCSD, Geneva) have developed the Greenhouse Gas Protocol (GHG Protocol). It is used by companies and institutions worldwide. Various institutions periodically publish updated conversion tables for most of the countries in the world.

For this Sustainability Report, the country-specifi c CO2 factors (Emissions Factors 2017) published by the International Energy Agency IEA in Paris were used as a basis.

The following table summarizes the company’s total energy-related CO2 emissions. A distinction is made according to

a) the CO2 emissions from the combustion of primary energy such as natural gas in the company’s own plants = Scope 1 b) the indirect CO2 emissions from the purchase of useful energy such as electricity and district heating = Scope 2 c) indirect CO2 emissions attributed to the infrastructure of energy supply chains such as for natural gas, for electricity and for district heating = Scope 3.

CO2 emissions from the combustion of natural gas (Scope 1) were no longer recorded in 2016 and 2017.

The classifi cation into Scope 1, 2 and 3: When considering CO2 emissions resulting from entrepreneurial activity, a distinction is made into three categories: Direct emissions from our own facilities, known as Scope 1 emissions, indirect emissions from the purchase of useful energy, known as Scope 2 emissions, and indirect emissions from CO2 emissions in the supply chain and from related services, known as Scope 3 emissions.

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GRI 305-1 Direct greenhouse gas emissions (Scope 1) No natural gas consumption fi gures were recorded for 2016/2017. Therefore, no emissions can be calculated.

GRI 305-2 Indirect energy-related emissions of greenhouse gases (Scope 2+3) CO2 emissions from the purchase of electricity by location (Scope 2+3) for 2016 and 2017

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GRI 305-3 Other indirect greenhouse gas emissions (Scope 3) Scope 3 = CO2 emissions indirectly generated through the purchase of services or through the provision of infrastructure for the purchase of useful energy.

Example Germany In 2017, 72 percent (2016: 74 percent) of the electricity used by the company was accounted for by business units in Germany. This corresponds to 64 percent (2016: 66 percent) of the CO2 emissions generated from this type of energy by the company. Against this background, a more differentiated analysis of Scope 3 CO2 emissions should be made on the basis of the data available for business units active in Germany. In addition to the CO2 emissions generated in the supply chain for electricity, emissions for externally purchased mobility and logistics services are also reported here for Germany.

Press distribution logistics (Scope 3)

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GRI 305-5 Initiatives to reduce greenhouse gas emissions A range of measures have been introduced to improve resource effi ciency with regard to the emission of greenhouse gases. These include:

• Measures for the more complete documentation of the energy used throughout the entire company • Carrying out of European energy audits at relevant locations • Raising of employees’ awareness at the publishing offi ce locations with regard to energy effi cient behavior (reducing standby energy consumption, etc.) • Use of energy-effi cient computers, printers and copiers. • More energy-effi cient ventilating systems for cooling or heating in the printing facilities • Optimized energy management through periodic shut-downs of equipment in the printing facilities • Controlling the lighting using motion detectors at the publishing offi ce locations • Trial use of vehicles with alternative drive technology and energy.

Supplementary sector disclosures: The gradual optimization of the energy effi ciency and CO2 effi ciency of servers and data processing centers is at the forefront in the area of digital media services. To this end, Axel Springer SE participated in pilot projects of the “Green IT Berlin-Brandenburg” initiative together with the Federal Environ- ment Agency and the Technical University of Berlin as early as 2013.

GRI 305-6 Emissions of ozone-depleting gases No signifi cant emissions are generated in the company’s production processes by substances which could contribute to the depletion of the ozone layer.

GRI 306 Effl uents and waste GRI 306-2 Total weight of waste by type and disposal method The following picture emerges for the printing plants in Germany for the years 2015 to 2017:

Supplementary sector disclosures: The disposal of printing ink residues, of plastic waste materials, batteries and electrical equipment, etc. are subject to detailed national and European regulations, with which compliance is reviewed. Mill broke from the company’s printing plants is fed into the recycling process through licensed used paper dealers.

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GRI 308 Supplier Environmental Assessment GRI 308-1 Percentage of new suppliers that were screened using environmental criteria Central Purchasing: The review of our relevant suppliers generally takes place on a permanent basis. As a rule through the presentation of relevant certificates and audits, insights into externally assured Sustainability Reports, exchange of paper profiles, waste paper usage quotas, on-site visits and personal discussions.

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Topic-specifi c Disclosures Social

Social Indicators

The following indicators correspond to the Social topic-specifi c disclosures of the “Global Reporting Initiative” (GRI) for the internationally uniform structuring of sustainability reports.

1. Labor Practices and Decent Work

Management approach for stakeholder concerns: Identifi cation with employees and attractiveness as an employer

GRI 103-1 Report why the Aspect is material. Report the impacts that make this Aspect material.

• Creativity, entrepreneurial spirit and integrity count as key requirements for success in the digital transformation. • The company cannot make progress without qualifi ed and motivated employees.

GRI 103-2 Report how the organization manages the material Aspect or its impacts. (Poli- cies, commitments, goals and targets, responsibilities, resources, specifi c actions)

Policies

• Principles of Leadership were introduced at Axel Springer in 2008. The principles should give managers scope for action, providing transparency with regard to the demands and expectations of the leadership role. • In view of the organization’s growing international presence, Axel Springer SE adopted a catalog of social standards in 2004. This “International Social Policy” is a binding guideline for social integrity and applies to all the organization’s activities throughout the world.

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Commitments Continuous monitoring by the Heads of Human Resources of the division.

Goals and targets Creativity, Entrepreneurial Spirit, Integrity. These three values form the foundation of the self-confi- dence of Axel Springer. They set the standards for our daily activity. We lead by creating space for creativity, by defining goals and by shaping change. We want to continue to lead Axel Springer boldly to entrepreneurial success. The focus is on our employees, who we develop, challenge and encourage to work independently. In all activities in all parts of the organization, we pay careful attention to compliance with justice and the law, our corporate guidelines and the Code of Conduct.

Responsibilities The ultimate responsibility for labor aspects lies with the Executive Board of Axel Springer SE.

Resources More than 15,000 employees are working on continuing to occupy the top journalistic and economic positions. Axel Springer SE offers them attractive benefits and opportunities for development.

Specific actions Actions related to training and raising awareness The maintenance and improvement of companies’ competitiveness is to a great extent dependent on its employees’ know-how and the development thereof. This is why our seminars focus on our company’s strategic goals.

Mechanisms Continuous dialog between management and the elected employee representatives; employee surveys;

Results Employees identify with the company.

Consequences The company will consistently continue to offer benefits and opportunities for development to its employees.

Supplementary sector disclosures: Remuneration of rights of use: There are different ways of acquiring rights of use. The regulations to ensure the preservation and remuneration of these rights of use are accordingly diverse. They can be essentially categorized as follows:

Salaried employees: Salaried employees transfer the rights of use of the results of their work (these are essentially works created in the context of their respective activity) to their respective employer. The transfer is made – in so far as this concerns computer programs – generally without a separate agreement in accordance with § 69 b of the Copyright Act, in other cases generally in accordance with the contract of employment. They receive an equitable wage for their work, with which the transfer of rights of use is as a rule also remunerated.

The Axel Springer Code of Conduct ensures the safeguarding of journalistic independence in the creation of journalistic content.

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Freelance (full or part-time) authors: Axel Springer also purchases journalistic content from full or part-time non-salaried persons. The acquisition of user‘s rights is arranged through contracts and/or business conditions. Remuneration is in part individually negotiated, in some areas collective agreements apply. Publishers’ associations and trade unions (DJV - German Federation of Journalists, ver. di - United Services Union, dju - German Union of Journalists) in Germany have concluded the “Re- muneration agreement for freelance full-time newspaper journalists” and the “Collective agreement for employee-like freelance newspaper journalists” which apply to the area of journalistic freelance employees.

Agencies: Insofar as content is purchased from agencies, the acquisition of rights is either negotiated individually or based on the agencies specified terms and conditions. In case of doubt, the law of copyright applies.

User content, letters to the editor, interactive services: Readers or users also generate content – usually without a commercial background – which is included in Axel Springer publications. These contributions are in part rewarded (e.g. Bild reader reporters, competitions), in part this is unpaid interactive user behavior (e.g. letters to the editor, comments on Internet forums or online portals).

Safety at work, as well as while working as a journalist: On the journey between their workplace and home, Axel Springer SE employees are covered by the Employers’ Liability Insurance in Germany. The same applies to workplace accidents at Axel Springer SE. Axel Springer SE also pays 50 percent of the costs of a statutory health insurance policy.

Against the background of the kidnapping of two BILD editors in 2011, Axel Springer SE issued a Corporate Guideline for journeys to war/risk and crisis areas. This provides the employees concerned with information about the dangers. Journalists, who travel to crisis areas, receive safety training prior to their journey, which informs them how to behave in hazardous situations.

Employees themselves decide on the necessity of working in a crisis area. Axel Springer SE has always behaved generously towards employees who have encountered danger.

2. Details and references for the reporting period 2016 + 2017

GRI 401 Employment GRI 401-1 Total number and rate of new employee hires and employee turnover by age group, gender and region An average of 15,836 persons (excluding apprentices and trainees) were employed by the company as a whole in 2017. Axel Springer employed an average of 7,425 people abroad (PY: 6,877); this corresponds to a share of 46.9 % (PY: 44.9 %). The Group employed an average of 6,981 women (44.1 %) and 8,854 men (55.9 %). The breakdown by type of employment, location and gender can be found here.

Average rate of employee turnover* The total employee turnover rate in 2017 was 10.7 %. The rate for women (11.4%) was higher than for men (10.3%).

Length of service and age structure: On the 2017 balance sheet date, the employees had an average length of service with Axel Springer of 10.1 years (PY: 10.1 years); 42.4 % (PY: 43.8 %) of the workforce had been with the Group for more than ten years. More than half of all employees are between 30 and 49 years old. The proportion of severely disabled employees in the German companies aver- aged 3.7 % for the year (PY: 3.7 %).

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*Disclosures only for subsidiaries invoiced via ASMAS GmbH and AS SE (corresponds to 44% of total employees worldwide).

GRI 401-2 Benefits for full-time employees The works council and management have agreed a nine-page catalog of voluntary social benefits for the locations in Germany, as well as German wholly-owned subsidiaries. Separate agreements have also been reached respectively for the employees at foreign locations.

GRI 401-3 Return to work and retention rates after parental leave Analysis of the companies invoiced by ASMAS GmbH (average of approx. 6,894 employees excluding trainees/ apprentices/ assistants, of which 4,168 were men and 2,726 were women).

Of these, 438 employees took parental leave in 2017, of which 253 were women and 185 men. A further 151 employees were employed on a part-time basis during parental leave in 2017 (of which 109 were women and 42 men).

Information has been collected for this indicator since 2010. In our German locations, the proportion of employees returning to the workplace after parental leave is 84.5 percent.

GRI 402 Labor/Management Relations GRI 402-1 Minimum notice periods regarding significant operational changes The communication of significant operational changes is expeditious. Details are regulated in the Works Constitution Act in Germany. The managing director or the Human Resources manager is in close contact with employees and their representatives and they meet regularly or when circumstances require for discussions on a wide range of subjects. At specially organized events, internal speakers, using practical examples, explain concepts, strategies, plans and perspectives that are significant for the future of the company or for developments in the industry.

Important changes are communicated to employees internally via the Intranet, email, and where necessary also the bulletin board.

GRI 403 Occupational Health and Safety GRI 403-1 Occupational health and safety committees The Safety Engineers at each location are responsible for all matters and measures relating to safety at work, fire protection and environmental protection. The education and counseling of employees plays a central role here.

Working Committee Meetings: Representatives of the management and the works council of the respective locations of the company meet at least four times a year to discuss issues of occupational health and safety. At these meetings, 100 percent of the workforce is represented by the works council.

GRI 403-2 Occupational diseases and accidents at work This table documents occupational accidents at the printing locations in Germany as well as in the publishing office locations in Berlin and Hamburg. The statistics are based on the respective local statutory regulations or the guidelines of the respective trade association (insurer).

Supplementary sector disclosures: Health, motivation and creativity of the employees are key success factors for a media company. The Axel Springer SE in-house health management system was awarded the seal of excellence at the “Corporate Health Awards” in 2011. 221

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(Note regarding GRI 403-2: No differentiation was made between men and women in the documentation of numbers of accidents due to its lack of relevance.)

GRI 404 Training and Education GRI 404-1 Average hours of training per year per employee by employee category In order to meet the growing challenges – also of a technological nature – facing our industry, the Axel Springer personnel policy comprises a diverse training and qualification program.

Axel Springer in Germany: A total of 69,813 hours of training and education were carried out in 2017. 5,765 of these hours covered the specific needs of the editorial offices.

The decline in the number of training hours compared with the years 2013 and 2015 is related to an increase in training activities in the previous reporting period, in particular in the field of the development dialog. The content was well-received and has now been largely implemented.

Supplementary sector disclosures: The employees are the core of a media enterprise such as Axel Springer. Our creative, competent and committed employees are an essential prerequisite of our entrepreneurial success. This is supported with a comprehensive program of training and education.

(Note regarding GRI 404-1: No differentiation was made between men and women in the documentation of participation in relevant programs due to its lack of relevance.)

Table GRI 404-1: Average hours of training per year per employee by employee category in Germany 2015 2016 2017 2017 vs. 2015 Total amount 1.760 1.244 1.359 -22.8 % spent on training in TEuro Total seminar and 69,829 50,774 71,143 1.88 % training hours Seminar hours 5,765 3,716 7,126 23.6 % Editors Seminar hours 62,836 45,982 62,407 -0.68 % Employees Seminar hours 514 465 600 16.6 % Specialists Seminar hours 183 239 432 136.07% Temporary Staff Seminar hours 531 737 578 8.9% Apprentices

GRI 404-2 Programs for lifelong learning The employees are the core of Axel Springer. Our creative, competent and committed employees are an essential prerequisite of our entrepreneurial success. In order to develop new skills and to build on existing strengths, we have an extensive development program.

This ensures the personal advancement of the individual as well as mutual success. Whether in the development dialog, as part of our extensive range of seminars, at the Axel Springer Media Sales

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Academy or completing a sector-specific qualification – the focus is always on the employee. His or her qualification and education is an investment in the future of the company.

Personnel Development has consistently aligned its qualification activities to the needs of digitization and intensified this focus in recent years. More than one-third of the 2014 employee training program consists of newly developed training courses, which address the aspects of the digital transformation. Along with the already successfully established formats and seminars, the personnel development measures have a clear focus on digital content.

Moreover we support colleagues who further qualify themselves through in-service advanced vocational training and want to take on new challenges. Success also requires contacts – various networks exist for this purpose. In this way a targeted exchange of information and the team concept is promo- ted throughout the whole company. Our mentoring program and cross company mentoring are also successful elements of the advancement opportunities at Axel Springer.

Those who want to keep themselves up-to-date on which projects are successful in other areas as well, are advised to pay a visit to the Current Topic. The Digital Campus is also reflected in the Cur- rent Topic series of lectures. Here you can find out about new developments in the Axel Springer SE digitization strategy.

GRI 404-3 Percentage of employees receiving regular performance and career development reviews As part of the variable compensation scheme, Axel Springer SE offers its employees in Germany the opportunity to participate in the target agreement system. The manager and the employee decide jointly whether it makes sense to participate in the system.

In addition, Axel Springer SE introduced a pilot project for employee development dialogs in Germany in 2008. The employee development dialog is a regular, binding discussion between the manager and the employee as annual feedback on their personal level of development. This highlights the need for development in each case and gives rise to concrete development measures such as, for example, seminars and job rotation. Around 5,450 managers and employees took part in the development dialog in 2015.

Since 2009, the development dialog has been gradually extended to the subsidiaries.

GRI 405 Diversity and Equal Opportunity GRI 405-1 Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity. The average age of the four-member Executive Board in 2017 was 52. The Supervisory Board and the Executive Board were made up of 15.4 percent women and 84.6 percent men as at 31.12.2017. More detailed information on the Executive Board and the Supervisory Board can be found here.

The number of employees in 2017 (excluding trainees/ apprentices) was approx. 15,836. Of these, 56 percent (8,855) were male and 44 percent (6,981) female.

More than 97 nationalities are represented among the employees in Germany (analysis of 6,894 employees), 661 foreign employees out of 6,894 employees in Germany (9.6%).

Der Entwicklungsdialog wird seit 2009 schrittweise auf Tochtergesellschaften ausgeweitet.

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Age Editors Salaried Qualified Temporary Trainees/ Total staff staff staff Apprenti- ces below 30 7,9% 16% 2.2% 3.7% 97.7% 15.6% 30 to 49 60,5% 61,1% 35.0% 35.8% 2.3% 58.0% over 50 31.6% 21.9% 62.8% 60.6% 0% 26.4%

*Disclosures only for affiliates accounted for through Personalservice GmbH and AS SE

Diversity is an essential part of corporate culture for us. Globalization, demographic change and increasing individualization will further strengthen this development. For us, as a media company that moves people and picks up on the various facets of life on a daily basis, the diversity within our workforce is a great opportunity to respond creatively to the diverse interests and needs of our customers.

As an innovative and internationally established media enterprise, the optimal and non-discriminatory cooperation among our employees is a high priority for us. This means the mutual acceptance of differences in terms of

• origin, • age, • gender, • religion and belief, • nationality and ethnicity, • sexual orientation, as well as • disability.

This diversity is of inestimable value, just like the personal experience and individual biographies of our staff.

Axel Springer has initially identified the following priorities which are the focus of our diversity activities:

• More women in leadership positions: Our goal is to increase the proportion of women on all levels of management on average throughout the company to over 30 percent. The “Chancen:gleich!” (equal opportunities) project group was launched in 2010 to achieve this. A first milestone was reached at the end of 2016: the proportion of women in management positions had almost doubled to 16% in 2010. As of 31 December 2017, the share in the Group was 32 %. This share is to be further increased. • Demographic change: Migration and age, as well as other aspects of diversity, are in the center of the work of the Equal Opportunities and Diversity Working Group (AKC). • Work/family balance: The improved work/family balance for all employees as an important guideline for our human resources work.

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GRI 405-2 Ratio of basic salary of men to women The company is in competition for qualified employees. The remuneration systems are based on the performance of the employees and the market conditions. Discrimination, e.g., on the grounds of gender or age, is rejected. Pay is determined by the type of work performed, based on the job evaluation. Individual performance, professional experience and developments on the labor market are taken into consideration.

(Note regarding GRI 405-2: Basic salaries for men and women are equal and are therefore not documented.)

2. Human Rights Management approach for stakeholder concerns: Observance of human rights

GRI 103-1 Report why the Aspect is material. Report the impacts that make this Aspect material.

• Axel Springer stands up for the freedom of the press. A free press is an essential element of our democratic society. • In the Universal Declaration of Human Rights of 1948, the freedom of opinion, the freedom of expression and of the press are enshrined as fundamental human rights. It is a precondition for journalistic independence.

GRI 103-2 Report how the organization manages the material Aspect or its impacts. (Poli- cies, commitments, goals and targets, responsibilities, resources, specific actions)

Policies The Code of Conduct of Axel Springer SE including a reference to the Universal Declaration of Human Rights of 1948.

Commitments Compliance with justice and the law.

Goals and targets Axel Springer acknowledges and supports the United Nations’ “Universal Declaration of Human Rights” and does not tolerate any behavior that disregards this. This is how it is set out in the first item of our International Social Policy. Further information can be found here.

Responsibilities The ultimate responsibility for labor aspects lies with the Executive Board of Axel Springer SE.

Resources Actions related to training and raising awareness.

Specific actions Principles of Leadership were introduced at Axel Springer in 2008. The principles should give managers scope for action, providing transparency with regard to the demands and expectations of the leadership role. This involves training for employees and executive staff.

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Mechanisms Verification of compliance with legal requirements, voluntary commitments and corporate guidelines by Compliance Management.

Results The results to questions on corporate governance are also published in the Annual Report.

Consequences Continuation of the development of a company-wide awareness of topics relevant to compliance.

Supplementary sector disclosures: As a media company, both the aspect of exercising as well as the aspect of supporting social free- doms play a central role in the freedom of expression.

Axel Springer stands up for the freedom of the press. A free press is an essential element of our democratic society. The protection of the freedom of the press ranges from the procurement of information to the communication of the news. Protection is enjoyed for example by the determination of the bias of a newspaper, the confidentiality of editorial work, and in particular the non-disclosure of sources of information in the interest of a broad flow of information. The freedom of the press may come into conflict with other values that are protected by the Basic Law and is not unconditionally guaranteed. In order to preserve the freedom of the press from being relativized, the interpretation of the laws restricting it have always to be guided by the significance of the freedom of the press, which is in turn constitutive for democracy.

Guidelines: The editors-in-chief and publishing directors at Axel Springer introduced relevant guidelines to safeguard journalistic independence back in 2003. These include the distinction between advertising and editorial copy. The guidelines have been part of the Code of Conduct applicable throughout the Group since 2012.

Charter on Freedom of the Press: Axel Springer SE was one of the signatories of the “European Charter on Freedom of the Press” in May 2009. It formulates principles for the freedom of the press from government intervention, and in particular for their right to safety from surveillance, electronic eavesdropping and searches of editorial departments and computers, and to unimpeded access for journalists and citizens to all domestic and foreign sources of information.

Promotion of media skills: Access to knowledge, the understanding of political processes and the development of media skills are essential preconditions for participating in democratic decisions. For this reason Axel Springer SE promotes the media literacy of young people.

Commitment to Press Freedom: DIE WELT and WELT KOMPAKT supported the World Press Free- dom Day in 2010 as the exclusive media partner of the “Reporters without Borders” organization. The front pages of the two daily WELT Group newspapers were published blank on Monday, May 3, 2010

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– without lead stories, news, comments or photos. Instead, there was simply a small advert from “Reporters without Borders” at the bottom right of the front pages, drawing readers’ attention to the global significance and importance of press freedom.

Protection of Intellectual Property: As a media group, Axel Springer is particularly committed to the protection of intellectual property rights of third parties. The applicable laws are instrumental in the protection of intellectual property rights. Since these vary internationally, the respective local versions are to be complied with.

Treatment of sources: Journalists are required to exercise particular care in the treatment of sources and research. They stand up for freedom of expression and of the press and take decisions on the public interest in reporting, which are determined by the law and acknowledged rules of journalistic due diligence.

GRI 406 Non-discrimination GRI 406 -1 Total number of incidents of discrimination and actions taken Incidents of discrimination are not known. Since August 2006, the General Equal Treatment Act (AGG) has been in force in Germany, which is used to put into practice the corresponding European Union anti-discrimination guidelines. In internal seminars, employees have been instructed on the guidelines of the General Equal Treatment Act (AGG).

GRI 412 Human Rights Assessment GRI 412 -1 Percentage and total number of departments that have been subject to human rights reviews or human rights impact assessments. The Group Internal Audit Department is an essential element of modern and efficient corporate management and monitoring (Corporate Governance). Its responsibilities include

• Risk-based audit of the correctness, efficiency, appropriateness and safety of processes, structures and IT systems in all Group companies and departments; • Assessment of the effectiveness of the centralized and decentralized internal monitoring system (Risk Management, Internal Control System, Compliance Management System); • Event-related implementation of special orders on behalf of the Executive Board and the Supervi- sory Board, for example in cases of suspected fraudulent dealings (Fraud Audits); • Full-scope process and IT Audits for (newly acquired) subsidiaries in Germany and abroad;

Commentary within the framework of the GRI “Media Sector Supplement”: Media organizations can have a significant impact on the aspects of human rights (including the freedom of expression, the representation of human rights, cultural rights, intellectual property and the protection of privacy). Evaluations and impact assessments as to how relevant aspects are integrated into the company, are material to ensure the impacts of the organization are in accordance with the values of their content or editorial guidelines.

Independent and critical journalism Dr. Mathias Döpfner, Chief Executive Officer of Axel Springer SE, explains: “The soul and spirit of the Axel Springer company is journalism. We serve our readers with independent and critical information and advice as well as good entertainment. Through our journalistic services we are making a contribution to the strengthening of freedom and democracy. The prerequisite for this is our economic success.”

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The promotion of adherence to editorial standards when creating content is a continuous process. This includes – in addition to a good journalistic apprenticeship and calling in professional advice – measures such as the critique of papers within the editorial offices or also publicly, and the exchange with readers and users. Editorial offices want to know what is important to readers, what they find good or bad and which issues should be addressed in more depth.

Media services – whether online or in print – must be convincing in terms of quality; which is why the excellent training of young journalists is especially important to us. The Axel Springer Akademie takes a cross-media approach and is for this reason regarded as Germany’s most modern school of journalism, successfully integrating classical, traditional journalism with the technology of cross-media presentation.

Any influence on content from advertisers, governments or political parties restricts free reporting and is met with aversion by the reader. Independence is thereby the first prerequisite for excellent journalism. This is also valued by advertisers. Axel Springer SE insists upon the strict separation of editorial copy and advertising. Advertisements are marked.

Readers can lodge complaints against journalistic content with the Press Council, the institution for voluntary self-regulation of the press, as well as before the courts.

The German Press Council is an organization of the major German publishers’ and journalists’ associations such as the Federal Association of German Newspaper Publishers (BDZV), the Association of German Magazine Publishers (VDZ), the German Federation of Journalists (DJV), as well as the German Journalists’ Union (dju). The Press Council was founded on 20 November 1956.

The Axel Springer SE is represented on the board of trustees of “Reporters Without Borders”.

GRI 412-2 Total hours of employee training on policies and procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained. The leadership principles introduced by Axel Springer SE in 2008 are part of the annual continuing education program for employees and managers. This includes seminars on equality, diversity, health management, labor law, reflection on the leadership role, intercultural competence, conflict management, and press law.

Supplementary sector disclosures: The training courses offered relating to editorial content include journalistic ethics (Axel Springer Aka- demie), Code of Conduct, press law, data protection, etc.

GRI 412-3 Percentage and total number of significant investment agreements that include human rights clauses or that have undergone human rights screening. Every significant investment or procurement undergoes human rights screening as part of the due diligence processes.

In view of the organization’s growing international presence, Axel Springer SE has adopted a catalog of social standards. This “International Social Policy” is a set of binding guidelines on social integrity and applies to all the organization‘s activities worldwide. These standards, for example, form part of the contracts for the magazines licensed to other publishing companies.

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3. Society

Management approach for stakeholder concerns: Journalistic independence and social responsibility

GRI 103-1 Report why the Aspect is material. Report the impacts that make this Aspect material.

• As the publisher of digital and printed media, the company is at the heart of society. Journalistic independence and credibility count among the prerequisites. • A distancing or isolation from social reality would be contrary to the sustainable continued existence of the company.

GRI 103-2 Report how the organization manages the material Aspect or its impacts. (Poli- cies, commitments, goals and targets, responsibilities, resources, specific actions)

Policies Axel Springer is the only independent media company to have a corporate constitution. The five principles expressed therein serve as a foundation for publishing operations. They define fundamental convictions on social policy, yet do not set out an opinion. Details can be found here.

Guidelines of Journalistic Independence at Axel Springer: The editors-in-chief and publishing directors of the company developed guidelines to safeguard journalistic independence at Axel Springer and introduced them in August 2003 in co-ordination with the Executive Board. Details can be found here.

The catalog of social standards which was published in July 2004 is a binding guideline for social integrity and applies to all the company’s activities throughout the world. Axel Springer SE attaches great importance to good corporate governance in the management and control of the enterprise. Moreover, with its first environmental report in 1994 the company published a four-point environmental guideline.

Commitments The company’s social commitment is reviewed and updated in an ongoing exchange of ideas with our stakeholders.

Readers and users of our media offerings, advertising and print customers, employees, investors, neighbors, visitors, schoolchildren, students, scientific institutes, state supervisory authorities and regulators, suppliers, NGOs and the media express particular interest in the organization’s operations as well as its products at home and abroad.

Goals and targets Axel Springer is one of the leading integrated multimedia print, online and Web TV companies in Europe. Whether printed or digital: every medium obeys its own laws, but the quality of the content is decisive everywhere. News, views, well told stories – that’s what it’s all about in the future and what it always has been. Our work is networked and cross-media thus integrating the different worlds.

It is a question of journalistic credibility for Axel Springer, to commit itself to the concerns of our readers and viewers and of society as a whole.

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Responsibilities The ultimate responsibility for questions relating to social responsibility lies with the Executive Board of Axel Springer SE.

Resources Among other things, the training of young editors at the Axel Springer Akademie

Specific actions Continuous journalistic awareness raising of social consciousness. GRI 103-3 Report the evaluation of the management approach, including the mechanisms for evaluating the effectiveness of the management approach; the results of the evaluation of the management approach; the consequences the organization will draw.

Mechanisms Market research

Results Confirmation of actions taken.

Consequences Further development of measures to strengthen journalistic reader-friendliness and credibility. Supplementary sector disclosures:

Anti-corruption measures: The requirements for safeguarding journalistic independence at Axel Sprin- ger are laid down in the following guidelines (excerpt from the Code of Conduct)

• Publishing staff as well as editors are called upon to make a clear distinction between editorial copy and publications for advertising purposes and to adhere to the regulations for paid advertising. • The journalists at Axel Springer ensure jointly with the publishing staff that a distinction is made between advertising and editorial copy. Advertising, – either through its overall design or major components, for example, its typography – may not create the impression that it is part of the title‘s editorial material. If there is any doubt, the advertisement must be clearly marked and in sufficiently large type as such; attempts by advertising clients or other interested parties to influence content are to be resisted and no agreements may be entered into that could compromise a journalist‘s independence. • Editorial publications may not under any circumstances be influenced by the personal or business interests of third parties or the personal economic interests of editors. • Journalists at Axel Springer shall not report on persons with whom they have a close relationship, especially family members, in the form of copy or photographs unless there is an objective reason for doing so that has been approved by their superior; shall not use their reporting to reap benefits for themselves or others; shall consult their superior if the membership of or the holding of an office or a seat in a society, political party, association or other institution, investment in a company, permitted secondary employment or through a relationship with persons or institutions, the impression might be created that the neutrality of their reporting on such societies, political parties, associations, persons or other institutions is thereby compromised; shall pay particular attention to the observance of the legal regulations and ethical obligations of the press concerning inside and other information which may potentially affect security prices. • In order not to endanger independent journalistic work through the exercise of personal advantage, the mere appearance of the fact that journalists’ freedom of decision could be affected by the granting of invitations or gifts is to be avoided. • The journalists at Axel Springer shall ensure that all costs (travel, entertainment etc.), incurred in the course of their research are paid by the editorial office; any exceptions are to be approved by the editor-in-chief; shall not accept gifts that constitute a personal benefit, or – if acceptance is impossible to refuse – shall pass them on to a charity.

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Details and references for the reporting period 2016 + 2017

GRI 414 Supplier Assessment GRI 414-1 Percentage of significant suppliers and contractors that have undergone screening on human rights and actions taken. Percentage of new suppliers that were screened using criteria for impacts on society

Every significant investment or procurement undergoes human rights screening as part of the due diligence processes.

Business partners are informed of the company‘s Code of Conduct. Since 1995, Axel Springer has been making sure that paper suppliers comply with the contractually agreed forestry standards with respect to the clause pertaining to the protection of indigenous peoples. As a customer of publication paper manufacturers in many countries, the company also visits on-site seeking information on the social, economic and ecological conditions in forestry as well as in pulp and paper production. The “International Social Policy” is part of the contractual agreements with suppliers and business partners.

GRI 415 Policy GRI 415-1 Total value of financial and in-kind contributions to political parties, politicians, and related institutions by country. Axel Springer SE does not support any political parties, nor does it make any contributions of this kind.

Commentary within the framework of the GRI “Media Sector Disclosures”: Axel Springer SE does not support any political parties, nor does it make any contributions of this kind.

4. Product Responsibility

Management approach for stakeholder concerns: Product responsibility and customer satisfaction

GRI 103-1 Report why the Aspect is material. Report the impacts that make this Aspect material. • Customer satisfaction is one of the material prerequisites for the sustainable continued existence of the company. • Growing customer satisfaction has a positive effect on the company‘s success.

GRI 103-2 Report how the organization manages the material Aspect or its impacts. (Poli- cies, commitments, goals and targets, responsibilities, resources, specific actions)

Policies By product responsibility Axel Springer SE refers to the responsibility that the company takes with regard to its media products. This consists first and foremost of:

• journalistic independence and verification of the facts • care in the treatment of sources • the distinction between advertising and editorial copy • the code of conduct of the advertising industry • the protection of minors

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• data protection and the security of digital information systems • the safeguarding of social and environmental standards along the wood, pulp, paper, printing and recycling chain as well as in the procurement of advertising media • compliance with justice and the law.

Commitments Compliance with legal requirements, voluntary commitments and corporate guidelines.

Goals and targets Axel Springer SE wants to be the world’s leading digital media company.

Responsibilities The ultimate responsibility for questions relating to product responsibility lies with the Executive Board of Axel Springer SE.

Resources Monitoring is – aside from the main editorial offices and publishing house management teams, the Le- gal Department, Human Resources management, the Data Protection Officer, the Purchasing Depart- ment and the Corporate Sustainability Office – central to the Governance, Risk & Compliance division. Compliance for Axel Springer means compliance with legal requirements, voluntary commitments and corporate guidelines.

Specific actions Employees and executives are trained within the framework of the Principles of Leadership introduced in 2008. Editors are instructed in and made aware of quality assurance in journalism in the course of the training they receive at the Axel Springer Akademie and from their superiors. Training on compliance with data protection regulations is also part of the training program.

Mechanisms include market research and continuous exchange with readers, users and advertising customers;

Results Suggestions for improvement

Consequences Continuous improvement in customer-friendliness as well as the assurance of quality standards.

Supplementary sector disclosures: Methodology for assessing and monitoring adherence to content creation values

The idea of the newspaper has to do with attitude as well: The user and reader wants to know what editorial content stands for. Unless this attitude is self-evident, journalism loses its appeal. This is as important today as it was hundreds of years ago – whether on paper or on the Internet.

Axel Springer SE’s broad media portfolio encompasses multimedia brand families such as those of the BILD and WELT Groups in Germany.

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Editors at Axel Springer SE are aware of the responsibility they have for information and opinion- forming. Independence is the indispensable foundation of their work. The guidelines on the journalistic endeavors of all editors safeguard the general conditions that make independent and critical journalism possible at Axel Springer.

The editors-in-chief are responsible for the observation and implementation of the guidelines in the company’s day-to-day editorial activities.

To ensure compliance with laws, voluntary commitments and guidelines, Axel Springer has introduced a Group-wide compliance management system. A Compliance Committee monitors compliance with the Code of Conduct. The Code of Conduct is part of the compliance organization and is to be understood as a summary of the Axel Springer rules of conduct, which also include the guidelines for safeguarding journalistic independence. (Details can be found here.)

The safeguarding of standards facilitates the continuous exchange with readers. This includes the processing of readers’ letters and e-mails, the critique of papers, as well as the discussion with Readers’ Advisory Councilors. (Details can be found here.)

Online-Netiquette: In order to safeguard standards online as well for example, the BILD.de community has established corresponding guidelines. Among other things, contributions are not tolerated if they discriminate against others because of their gender, age, language, origin, religious affiliation or beliefs, or if they violate laws. Corresponding entries and user profiles are deleted immediately. Texts, pictures, and videos may only be uploaded if the author holds the copyright! Quotes are to be identified as such. With the “REPORT” function, users have the opportunity to report contributions that are not in accordance with Netiquette.

Actions taken to improve adherence to content creation values Axel Springer is the only independent media company to have a corporate constitution. The five principles expressed therein serve as a foundation for publishing operations. They define fundamental convictions on social policy, yet do not set out an opinion.

The promotion of adherence to content creation values is a continuous process. This includes – in addition to a good journalistic apprenticeship and calling in professional advice – measures such as the critique of papers within the editorial offices or also publicly, and the exchange with readers and users. Institutions such as Readers’ Advisory Councils help editorial offices to focus even more on the interests, concerns and problems of readers. Editorial offices find out even more directly what is important to readers, what they find good or bad and which issues should be addressed in more depth.

Media services – whether in print or online – must be convincing through their quality; which is why the excellent training of the next generation of journalists is especially important to us. The Axel Springer Akademie takes a cross-media approach and is for this reason regarded as Germany’s most modern school of journalism, successfully integrating classical, traditional journalism with the technology of cross-media presentation.

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Any influence on content from advertisers, governments or political parties restricts free reporting and is met with aversion by the reader.

Independence is thereby the first prerequisite for excellent journalism. This is also valued by advertisers. Axel Springer SE insists upon the strict separation of editorial copy and advertising. Advertise- ments are marked.

Readers can lodge complaints against journalistic content with the Press Council, the institution for voluntary self-regulation of the press, as well as before the courts.

The German Press Council has had its head office in Berlin since June 2009.

Actions taken in relation to the dissemination and accessibility of content Actions taken for the dissemination and accessibility of content include the continuous expansion of digital journalistic services as either text, audio or moving images. This is accompanied by measures which facilitate the access to knowledge, the understanding of political processes as well as the development of media literacy. As a result, the accessibility of verified journalistic content has multiplied continuously.

Readers’ satisfaction: With the help of market research and social media channels, editorial offices are also able to obtain feedback from readers and users at short notice.

Online privacy: The online titles provide their users with detailed information on important issues, such as privacy policy, personal data, consent, user profiles, disclosure, cookies / web analytics service, right to information, and right of objection. (data protection using DIE WELT as an example)

Media Protection of Young Persons: The task of Media Protection of Young Persons is to protect children and adolescents from influences from the adult world, which are likely to impair the development of young people as independent and active members of the community, or even to threaten this development.

The company’s legal departments examine every single complaint related to the editorial content in our publications. If legally necessary, replies or corrections are published and a recurrence of violations prevented; in rare individual cases, material compensation is also paid. In Germany, the legal editing of our publishing content at an early stage helped to keep the number of incidents of non-compliance low.

Readers can lodge complaints against journalistic content with the Press Council, the institution for voluntary self-regulation of the press, as well as before the courts.

The German Press Council is an organization of the major German publishers’ and journalists’ associations the Federal Association of German Newspaper Publishers (BDZV), the Association of Ger- man Magazine Publishers (VDZ), the German Federation of Journalists (DJV), as well as the German Journalists’ Union (dju) in ver.di (German United Services Union). The Press Council was founded on

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20 November 1956. The organization has had its head office in Berlin since June 2009.

Complaints against promotional content can be lodged with the advertising industry’s voluntary self- regulation institutions, as well as before the courts.

The German Advertising Standards Council, founded by the ZAW (Central Association of the German Advertising Industry) in 1972 as a self-regulating institution, works to settle conflicts between comp- lainants from the population and advertising companies. Members of the groups represented in the ZAW make up the working panel.

Methods to interact with audiences and results The continuous exchange with the readers and users of our services is one of the key success factors for a media enterprise. Numerous activities serve this purpose.

The safeguarding of standards facilitates the continuous exchange with readers. This includes the processing of readers‘ letters and e-mails. Important instruments for the direct exchange with readers are the Readers’ Advisory Councils. They are intended to help us focus even more on the interests, concerns and problems of readers. They tell us what is important to them, what they find good or bad and what issues should be addressed in more depth.

bild.de has established a “Community function” to promote the exchange of ideas with readers. The very active bild.de community on Facebook and Twitter also aids the exchange with users.

Within the context of its customer retention initiative, Axel Springer SE compared itself with its German competition for the ninth time in 2015.

Details and references for the reporting period 2016 + 2017

GRI 416 Customer Health and Safety GRI 416-1 Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures

Axel Springer is one of the leading integrated multimedia online, print and TV companies in Europe. All of the life cycle stages of the products and services are continuously assessed in terms of potential for optimization in the areas of health and safety.

The printer’s trade association ETEM regularly issues position statements in Germany on health issues in connection with the production (and use) of printed media. ETEM has published numerous studies on this topic (www.bgdp.de/index2.htm).

The Corporate Sustainability Office of Axel Springer SE conducted and published a number of studies on the issue of printed media at an early stage:

• Printing Ink and Sustainability (2006): 25 pages are presented on printing methods, printing inks and raw materials in general as well as under the aspect of sustainability. • Ecological Learning Processes in the Paper Chain (2000): This study was conducted at the Uni- versity of St.Gallen. Among other things, it describes how companies integrate ecological insights into their decision-making processes, using Axel Springer SE as an example. • Evaluation of the Ecological Life Cycles of Newspapers and Magazines (1998): The survey re- searches the environmental aspects of pulp and paper production using data gathered in Swe- den, Germany, and Canada. It was prepared in co-operation with the Stora Enso and Canfor companies.

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GRI 416-2 Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services, by type of outcome Incidents of non-compliance with health standards are not known.

GRI 417 Marketing and labeling of products and services 417-3 Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship, by type of outcome

Only two complaints were submitted to the German Advertising Standards Council in the reporting period 2016 – 2017 relating to Axel Springer SE or its subsidiaries:

1.”Check die WELT” – advertisement in Welt am Sonntag and poster (2016) The advertisement shows two dark-skinned boys playing football in a slum. Accompanied by the text: “Will soon be: Learning to read. / Signed by Madrid. / Assaulting tourists. / Walking the streets. - Check die WELT.” The accusation of a breach of ethics and morals or of misanthropic advertising was rejected as follows: “The advertising company mentions the possible perspectives of children on poster advertising, with two positive development prospects, but also two negative ones. (...) Certainly, the perspectives mentioned are exaggerated, but since it is a question of possible editorial reporting, which is indicated – depending on what happens to the children and whether they could positively or negatively “make the headlines”, we classify this form of advertising as adequate. Since no concrete violation of the rules of conduct of the German Advertising Standards Council can be ascertained, the German Advertising Standards Council does not object.

2. “Know what’s really happening rather than just repeating. Only BILD can do this!” – cinema advertising for BILD (2017) The spot criticized in this case shows the origin and evolution of a false message in a “world of parrots”. Here above all the choice of the false message, “Cologne cathedral to become a mosque” was criticized, which triggers a wave of protest in the parrot society through “parroting” by way of example. The advertisement harbours the danger of being misunderstood and thus fomenting xenophobia. The complaint was rejected on the following grounds: “After careful examination of the advertising you criticized, we came to the conclusion that there was no violation of the rules of conduct of the Ger- man Advertising Standards Council. From our point of view, the spot is directed against xenophobia. It shows that there are people who, like parrots, unwittingly spread false reports without checking the source of the report. (...) The BILD-Zeitung uses the spot to emphasize the importance of journalistic due diligence and its associated review of sources of information. The fact that the message “Colog- ne Cathedral to become a mosque” is an absurd assertion should from our point of view be clear to every viewer. But at least this is resolved at the end of the spot.”

Commentary within the framework of the GRI “Media Sector Disclosures”: Advertising aimed to promote sales of the publishing products of Axel Springer SE orients itself towards the principles and voluntary codes of conduct of the German Advertising Standards Council and complies with its decisions when complaints are submitted by the public.

GRI 418 Customer Privacy GRI 418-1 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data. The EU General Data Protection Regulation (GDPR) which came into force on 25 May 2018 is intended to harmonize and simplify data protection law within the European Union. In order to be able to comply with the new regulations and to avoid the considerably stricter fines imposed by the GDPR, employees of Axel Springer SE are informed and advised intensively and continuously with regard to the more extensive requirements of data privacy management.

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On the basis of the previously applicable national data protection regulations, the number of inquiries from data protection supervisory authorities and customers has increased every year since 2007. A continuing increase in the number of external inquiries is expected. These inquiries were mainly requests for information and contradictions in advertising. The wishes of the inquirers were complied with in each case.

In addition to the external inquiries, there was a sharp increase in the number of internal inquiries and projects. This reflects the increasing importance of corporate data protection in all internal procedures and processes. This is taken account of through increased consultation and training, so that the understanding and sensitivity to the concerns of data protection are increasing continuously.

GRI 419 Compliance with the law GRI 419-1 Monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services. No fines were imposed for non-compliance. The company’s legal departments examine every single complaint related to the editorial content in our publications. If legally necessary, replies or corrections are published and a recurrence of violations prevented; in rare individual cases, material compensation is also paid.

In Germany, the legal editing of our publishing content at an early stage helped to keep the number of incidents of non-compliance low.

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How is a sustainability report assured?

The expectations placed on modern sustainability reporting are rising continuously. This picture shows the essential stages of the external assurance of a sustainability report. (Source: PwC).

PricewaterhouseCoopers AG auditing company (PwC) has performed a review of the material indicators for the reference years 2016 and 2017 to achieve limited assurance. The disclosures assured in the Sustainability Report are additionally marked as follows:

Assurance of the Axel Springer SE Sustainability Report 2016/2017 by the auditing company PricewaterhouseCoopers (PwC)

Since the late 1990s, in addition to the traditional fi nancial reporting and the social and environmental reporting, through so-called sustainability reporting, comprehensive reporting on economic, environmental and social/societal aspects has become widespread. Sustainability reporting is not only directed towards the company‘s shareholders, but to a very broad audience of stakeholders, which include for example the employees, suppliers, customers, current and potential investors, the public, non-governmental organizations and various public authorities and institutions. In accordance with the defi nition of the Global Reporting Initiative (GRI), Sustainability Reporting comprises “measuring, disclosing and being accountable to internal and external stakeholders for organizational performance towards the goal of sustainable development. […] A sustainability report should provide a balanced and reasonable representation of the sustainability performance of a reporting organization, including both positive and negative contributions”.

Both management and stakeholders require additional assurance that sustainability reports inform accurately, completely and appropriately on environmental and social/societal aspects, and an external assurance certifi cate within the scope of the assurance of the sustainability reporting is increasingly demanded by companies.

The object and basis of assurance The object of the assurance is generally the specifi cally defi ned material (quantitative) data in the Sustai- nability Report. The GRI guidelines provide a comprehensive and internationally accepted recommenda- tion for the content of sustainability reporting. These defi ne economic, environmental and social standard disclosures as well as information on the strategy, company profi le and management systems as the minimum content of a sustainability report. In concrete terms, the standard disclosures comprise indicators from the areas of Economy, Environment (e.g. disclosures on materials, emissions, energy consumption, water consumption, biodiversity, and waste) and Social Impacts (e.g. disclosures on humane working conditions, observance of human rights, social commitment and product responsibility).

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The central principles for defining the content of the report are materiality, stakeholder engagement, sustainability context and completeness. The goal of these principles is the definition of the content of sustainability reports, taking the expectations and demands of the relevant stakeholders into account. The central principles for defining the quality of reported information consist of the principles of balance, comparability, accuracy, timeliness, reliability, and clarity. They are designed to ensure the transparency of sustainability reporting and enable stakeholders to make a sound assessment of performance.

To enhance the credibility of sustainability reporting, the GRI recommends, in addition to the establishment of suitable management systems and reporting processes, having the reports certified by experts on the basis of the GRI reporting principles.

Assurance procedure The PwC approach for the assurance of a sustainability report basically follows the same standards as the audit of other business data and processes, and is followed in accordance with an international assurance standard („ISAE 3000 Revised“). A special feature of the assurance of sustainability reports, however, is that there are as yet no statutory provisions and requirements in Germany; meaning that the object, scope and standard of the assurance procedure are therefore agreed individually and entered in the assurance certificate. The assurance procedure for the business audit of the Axel Springer SE 2017 Sustainability Report is briefly outlined below:

Design Inspection At the beginning of an audit, the assurance procedure, the necessary paperwork, documentation and contacts as well as the schedule are agreed with the client. This serves the senior auditor as a basis for drawing up a detailed assurance program. The preaudit itself includes the recording of the relevant systems and processes of sustainability reporting, as well as an assessment of adequacy in accordance with the agreed assessment criteria (process evaluation).

Audit of the reporting processes Following this, the assurance team establishes that the relevant reporting processes and process controls within the company have been complied with, particularly the processes concerning the gathering, quality assurance and aggregation of data for sustainability reporting (process validation). This can be done – depending upon the type and complexity of the processes – by process observation or an analysis of individual processes and controls. To do this, the auditor establishes on the one hand through so-called on-site inspections at the data source that data is fully and correctly recorded. On the other hand, the understanding of the process acquired during the preaudit ensures that the essential controls along the entire process chain up to the aggregation of key performance indicators and their provision for the report can be included in the audit. What is permissible and also desirable to ensure the efficient performance of assurance, is the use of audit results from third parties, provided they meet the high standards of assurance procedure and assurance reliability demanded by PwC.

Assurance of selected (quantitative) information The assurance of the quantitative data in the Sustainability Report is enhanced through analytical inspections – such as the generation and review of expected values, or the conducting of trend and deviation analyses – as well as the classical scrutiny of documents. This applies mainly to those indicators which did not achieve sufficient assurance reliability through the process audits. This can also apply to individual information for which an individual audit promises higher assurance reliability or greater efficiency. The assurance is accompanied by a review of the drafts of the Sustainability Report, to assess the compatibility of their content, language and design with the GRI reporting principles as well as the quantitative information in the context of the report.

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Documentation of the assurance At the conclusion of the assurance, the assurance findings and any recommendations on improving the systems and processes of sustainability reporting are discussed with the client and the assurance certificate is issued. The auditor‘s examination of systems and processes, along with the associated findings and recommendations, which are recorded in the assurance certificate are often starting points for the optimization of internal sustainability management.

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Attachment

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About Axel Springer

The Axel Springer logo above the main entrance of the Axel Springer building in Berlin. (Photo: Axel Springer SE)

The soul and spirit of the Axel Springer company is journalism. Our Mission: The successful establishment of independent journalism in the digital world. We want to be the most successful digital publisher in the world.

In the tradition of its founder, who fostered journalistic and technological innovations in his day, Axel Springer SE is breaking new ground and yet still remaining true to itself. The company is pursuing its objective of building up a fast-growing and profi table digital portfolio at a rapid pace. At the same time it is also establishing journalism as a successful business model in the digital world. Along with the transformation of our existing strong media brands, our own new developments and strategically-oriented acquisitions of web companies, networking with the generation of the founders of digital start- ups is one of the building blocks of the company’s digitization strategy. Around 16,000 employees are working with great passion towards this goal.

Axel Springer SE is doing all it can to transform itself into a digital publisher. The strategy focuses on what has always made the company successful – offerings that are based on or benefi t from journalism to varying degrees: Classifi eds Media, News Media and Marketing Media. The traditional revenues of a publishing house are refl ected in this structure. In the same way as a newspaper used to be fi nanced by subscribers, advertisers and classifi ed advertising customers.

Axel Springer is active in more than 40 countries worldwide, with subsidiaries, holdings and licenses on six continents.

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Glossary

Explanation of Abbreviations and Terms

Accessibility: the accessibility and usability of a system for people with disabilities.

Application: alternative designation for a program or software.

Occupational safety/health: includes safety at work, health, environmental and fire protection.

ION: improved offset publication paper

IGN: improved gravure publication paper

Benzol: hydrocarbon contained in petrol. Small amounts escape through exhaust fumes.

Bio-diversity: Diversity of species of flora and fauna

Blog (short for: weblog): a regularly updated website, whose articles (blog posts) are read in reverse chronological order.

Combined heating and power plant: gas-powered generator for producing power, heating and cooling

Browser: a software program, which can retrieve,download, buffer and display documents which are available on the World Wide Web. Popular browsers include Internet Explorer, Firefox, Chrome and Safari.

Chlorine: greenish-yellow, toxic gas with an acrid odor. It is still used sometimes for bleaching texti- les, cellulose and paper.

Compliance: conformity to laws, voluntary commitments, guidelines and codes.

Community: a community refers to (regular) users of portals, forums or social networks. A charac- teristic feature of communities is that their users generate the content themselves (User Generated Content).

Cross-media: Cross-media is the content-based, creative and formal networking of different media channels and advertising media relevant to target groups, with the aim of achieving maximum advertising success through the multi-channel appeal to target groups.

Data protection: Refers in general to the protection of personal data against misuse thus ensuring the informational self-determination of the individual, i.e. the fundamental right of the individual to make his own decisions concerning the disclosure and use of his personal data.

Dioxin: toxic hydrocarbons. They are released, for example, in the production of pesticides.

Discrimination: Discrimination, unequal treatment or degradation of people on the basis of certain characteristics or properties.

Printing inks: comprising of pigments, binding agents (for the adhesion of the pigment to the paper) and solvents (to keep the printing ink liquid until it is applied to the surface of the paper).

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ECF: „Elemental Chlorine-Free“ – cellulose bleached with chloride compounds instead of pure chlorine

E-commerce: The sale of products or services on or via the Internet.

Emission: Liquid, solid (dust) or gaseous substances released from technical plants into air and water

Fossil energy: also known as primary energy; naturally formed gaseous, liquid and solid fuels such as natural gas, oil and coal

Fresh fiber: also known as primary fiber; paper fiber obtained from the resource wood

Information security: Refers to all the planned and implemented technical and organizational aspects that serve the protection of data and information sensitive or critical to the company.

International Social Policy: A catalog of social standards drawn up by Axel Springer on issues relating to human rights, compliance with the law, child protection, the treatment of employees, health and safety as well as the work/family balance. These standards are binding worldwide for all of the company’s activities.

Antitrust law: Legal regulations which deal with the prohibition or the requirements for admissibility of agreements between companies and other market participants which relate to competition, or contain requirements relating to behavior, in particular that of market-dominating companies.

Carbon dioxide (CO2): colorless, odorless and tasteless gas. It is formed by, among other things, combustion of substances containing hydrocarbons (such as, for example, wood, oil, petrol).

Carbon monoxide (CO): odorless, non-irritant but highly toxic gas. It is formed by the incomplete combustion of fossil fuels.

Highly-volatile non-methane hydrocarbons: odorless, non-irritant but highly toxic gases. They are formed by the incomplete combustion of fossil fuels.

Life Cycle Assessment (LCA): Analysis of the life-cycle of a product

LWC: „light weight coated“, lightweight rolling press paper, coated on both sides, for magazines, envelopes and catalogs

Mill broke: printed and unprinted scrap paper

Sustainability: According to the classical definition (Brundtland Report, 1987): „Sustainable development means satisfying the needs of the present generation without compromising the ability of future generations to satisfy theirs.“

On Demand: Type of use in which the user may select any unit from a portfolio and consume it immediately.

Regenerative energy: renewable energy sources such as sun, geothermal energy, water, wind and wood

Resources: Raw materials such as wood, oil, coal, clean water and clean air

SRP: Special Rotogravure Paper

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SC: super-calandered paper, magazine paper smoothed between the rollers of a calandering machine in the rotogravure process

Sulphur Dioxide (SO2): colorless, highly-toxic gas with an acrid odor, formed in the combustion of fossil fuels. The major cause of „acid rain“.

Site map: a document that describes the structure of a web site.

Social Media: Social Media refers to digital media and technologies that enable users to swap content and to create media content either on their own or with others. All of the media (platforms) are understood, which support users in their mutual communication through digital channels and in the interactive exchange of information.

Stakeholders: The term stakeholder is used to refer to a person or group which has a legitimate interest in the course or outcome of a process or project. The term „stakeholder“ comes from the English. „Stake“ can be translated as investment, share or claim, „holder“ as owner. The term ‚stakeholder group‘ is also increasingly catching on.

Nitric/Nitrous Oxides (NOX): toxic combustion gases – result in smog formation, overfertilization and „acid rain“.

SON: Standard Offset Newspaper publication paper

TCF: „Totally Chlorine Free“, cellulose bleached without chlorine or chlorine compounds

Toluol: Solvent present in the printing inks used in newspaper and catalog rotogravure

Usability: of a web site or software often indicates how often, productive and useful it is used.

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Legal notice

Copyright 2018 Axel Springer SE. All rights reserved. All types of content (text, photographs, graphics, sound, animations and videos) and their arrangement on the website of Axel Springer SE fall under the German Copyright Act and other protective laws. Without the prior consent of Axel Springer SE such content may only be used within the limiting provisions of the Copyright Act and subject to other applicable laws.

Liability for links

In its judgment of 12 May 1998, „Liability for Links“ (312 O 85/98), the Regional Court of Hamburg made it clear that the inclusion of a link may constitute co-responsibility for the content of the linked page; in other words, it may entail liability. This can only be prevented by expressly dissociating oneself from such content. Axel Springer SE hereby expressly dissociates itself from all the content of every page linked to nachhaltigkeit.axelspringer.de and emphasizes that neither does it have any influence on the design and content of the linked pages, nor does it adopt such content. If the linked pages include content that is offensive or illegal and this comes to the knowledge of Axel Springer SE, such links will be removed immediately.

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Contacts for sustainability

Your feedback is welcome!

Here you will find your main contacts in the publishing and printing locations, in the editorial offices as well as at the suppliers of printing paper and printing services.

Contact persons at Axel Springer in Germany

Florian Nehm Corporate Sustainability Officer Axel-Springer-Straße 65 10888 Berlin Tel: +49 30 2591 79370 [email protected]

Edda Fels Head of Corporate Public Relations Axel-Springer-Str. 65 10888 Berlin Tel: +49 30 2591 77600 [email protected]

Claudia Thomé Head of Investor Relations Axel-Springer-Str. 65 10888 Berlin Tel: +49 30 2591 77421 [email protected]

Paul Haanen Head of Corporate Purchasing Axel-Springer-Str. 65 10888 Berlin Tel: +49 30 2591 79306 [email protected]

Niels Matusch Head of Group Controlling Axel-Springer-Straße 65 10888 Berlin Tel: +49 30 2591 78201 [email protected]

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GRI-‐Indicator LA1 Axel Springer SE Sustainability LA1 Workplaces broken down by type and country Report 2015

Personnel by occupation 2013 2014 2015 Editors 2.797 2.771 2.730 Company employees 9.167 10.457 11.572 Skilled workers 448 353 383 Skilled labourers 432 336 338 Total 12.843 13.917 15.023

Personnel by location 2013 2014 2015 National 7.562 8.190 8.177 International 5.281 5.727 6.846 Total 12.843 13.917 15.023

Locations national Hamburg 2.554 1.656 1.260 Ahrensburg/Offset 346 307 282 Essen-Kettwig 218 209 182 Berlin 3.819 4.709 4.889 Spandau 309 286 273 Munich 126 117 94 Dusseldorf 64 612 772 Cologne 84 291 248 Frankfurt 83 83 83 Branch offices home country 945 501 750 Total 8.548 8.771 8.833 National locations are reported on January 31st.

International subsidiaries Poland 1.254 1.237 1.324 UK 0 1.166 1.299 France 520 866 851 India 0 369 516 Slovakia 409 402 434 United States 0 8 428 Hungary 502 328 378 Serbia 374 378 353 The Netherlands 0 0 344 Switzerland 430 417 313 Other 1.771 534 339

Total international 5.260 5.705 6.579

Total 13.808 14.476 15.412

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GRI-‐Indicator LA1 Axel Springer SE LA1 Workplaces broken down by type and countrySustainability Report 2015 Breakdown of number of employees by gender 2013 2014 2015 m w m w m w Editors 1.673 1.124 1.613 1.159 1.530 1.200 Company employees 4.969 4.199 5.865 4.592 6.614 4.957 Gewerbliche 720 160 593 95 589 132 Total 8.733 6.289 Summe 12.843 13.917 15.023

Sickness absence (Germany) 2013 2014 2015 Editors 3,2% 3,1% 3,7% Company employees 3,3% 3,4% 4,0% Skilled workers 6,5% 5,9% 7,9% Skilled labourers 6,7% 8,2% 8,4% Gesamt 3,6% 3,6% 4,3%

Average length of employment (Germany) 2013 2014 2015 Length of employment in years 10,4 10,5 10,4

Average age (Germany) 2013 2014 2015 Average age in years 41,7 41,6 41,7

SHE figures 2013 2014 2015 absolut % Axel Springer SE 179 4,4% 183 5,2% 85 4,1% Axel Springer SE and consolidated 307 3,7% 294 3,8% 278 3,7% companies

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LA7 Occupational diseases and accidents at work

LA7 - Occupational diseases and accidents at work Axel Springer SE Sustainability Report 2015

Reportable Reportable Reportable Reportable Reportable Reportable Reportable Reportable Reportable Reportable Reportable Reportable work accidents commuting commuting work accidents commuting commuting work accidents commuting commuting accidents (1000-‐ accidents accidents accidents (1000-‐ accidents accidents accidents (1000-‐ accidents accidents employee (1000-‐ employee (1000-‐ employee (1000-‐ quota) employee quota) employee quota) employee quota) quota) quota)

2013 2014 2015

Publishing offices Germany

Office Berlin 15 5,74 21 8,04 4 1,38 23 7,35 4 1,36 26 8,86 Office Hamburg 7 5,18 18 13,31 5 4,90 15 14,70 3 3,10 13 13,50

Own printing plants Printing plant Spandau 9 30,30 5 16,84 9 32,28 0 0,00 2 7,51 2 7,51 Printing plant Ahrensburg 8 24,62 2 6,15 11 38,10 1 3,50 12 46,20 1 3,80 Printing plant Kettwig 7 31,96 3 13,70 10 49,75 0 0,00 7 40,23 0 0,00

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Independent Practitioner’s Report on a Limited Assurance Engagement on Sustainability Infor- mation1 To Axel Springer SE, Berlin We have performed a limited assurance engagement on the disclosures denoted with “√“ in the sustainability report of Axel Springer SE, Berlin (hereinafter: “the Company”), for the period from 1. January 2016 to 31. December 2017 (hereinafter: “Report”). Our engagement in this context relates solely to the disclosures denoted with the symbol “√“. Responsibilities of the Executive Directors The executive directors of the Company are responsible for the preparation of the Report in accordance with the principles stated in the Sustainability Reporting Standards of the Global Reporting Initiative (hereinafter: “GRI-Criteria”) and for the selection of the disclosures to be evaluated. This responsibility of Company’s executive directors includes the selection and application of appropriate methods of sustainability reporting as well as making assumptions and estimates related to individual sustainability disclosures, which are reasonable in the circumstances. Fur- thermore, the executive directors are responsible for such internal control as they have considered necessary to enable the preparation of a Report that is free from material misstatement whether due to fraud or error. Independence and Quality Control of the Audit Firm

We have complied with the German professional provisions regarding independence as well as other ethical requirements.

Our audit firm applies the national legal requirements and professional standards – in particular the Professional Code for German Public Auditors and German Chartered Auditors (“Berufssatzung für Wirtschaftsprüfer und vereidigte Buchprüfer“: “BS WP/vBP”) as well as the Standard on Quality Control 1 published by the Institut der Wirtschaftsprüfer (Institute of Pub- lic Auditors in Germany; IDW): Requirements to quality control for audit firms (IDW Quali- tätssicherungsstandard 1: Anforderungen an die Qualitätssicherung in der Wirtschaftsprüferpraxis - IDW QS 1) – and accordingly maintains a comprehensive system of quality control including documented policies and procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements. Practitioner´s Responsibility Our responsibility is to express a limited assurance conclusion on the disclosures denoted with “(√)”in the Report based on the assurance engagement we have performed. We conducted our assurance engagement in accordance with the International Standard on Assurance Engagements (ISAE) 3000 (Revised): Assurance Engagements other than Audits or Reviews of Historical Financial Information, issued by the IAASB. This Standard requires that we plan and perform the assurance engagement to allow us to conclude with limited assurance that nothing has come to our attention that causes us to believe that the disclosures denoted

1 PricewaterhouseCoopers GmbH has performed a limited assurance engagement on the German version of the [sustainability report / section “Sustainability” of the business report] and issued an independent assurance report in German language, which is authoritative. The following text is a translation of the independent assurance report.

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with “(√)” in the Company’s Report for the period from 1. January 2016 to 31. December 2017 has not been prepared, in all material aspects, in accordance with the relevant GRI-Criteria. This does not mean that a separate conclusion is expressed on each disclosure so denoted. In a limited assurance engagement the assurance procedures are less in extent than for a reasonable assurance engagement and therefore a substantially lower level of assurance is obtained. The assurance procedures selected depend on the practitioner’s judgment. Within the scope of our assurance engagement, we performed amongst others the following assurance procedures and further activities: • Obtaining an understanding of the structure of the sustainability organization and of the stakeholder engagement • Inquiries of personnel involved in the preparation of the Report regarding the preparation process, the internal control system relating to this process and selected disclosures in the Report • Analytical evaluation of selected disclosures in the Report • Comparison of selected disclosures with corresponding data in the consolidated financial statements and in the group management report • Evaluation of the presentation of the selected disclosures regarding sustainability performance • Obtaining further evidence for selected information, including analysis of corporate reporting data and external service providers

Assurance Conclusion Based on the assurance procedures performed and assurance evidence obtained, nothing has come to our attention that causes us to believe that the disclosures denoted with “(√)” in the Company’s Report for the period from 1. January 2016 to 31. December 2017 have not been prepared, in all material aspects, in accordance with the relevant GRI-Criteria. Intended Use of the Assurance Report We issue this report on the basis of the engagement agreed with the Company. The assurance engagement has been performed for purposes of the Company and the report is solely intended to inform the Company as to the results of the assurance engagement. The report is not intended to provide third parties with support in making (financial) decisions. Our responsibility lies solely toward the Company. We do not assume any responsibility towards third parties.

Berlin, 15. November 2018 PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft

Hendrik Fink ppa. Barbara Wieler Wirtschaftsprüfer (German Public Auditor)

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