Sustainability Approach Message from Mike 02 is embedded About Bloomberg L.P. 03 Sustainability governance 04 in our Stakeholder engagement 05 Materiality assessment 06—07
products, Sustainability strategy 08—09 Impact Report Impact operations 2020 progress 10—13 and people. Thought leadership Strength in numbers 14—15
Here’s how TCFD: Advancing the conversation on climate risk 16—21
we measured Impact
up in 2017. Product highlights 22—25
Case study Pioneering carbon solutions 26—27
Operations highlights 28—35
Case study London calling 36—39
People highlights 40—43
Case study Investing in the future 44—45
About this report 46
Visit bloomberg.com/impact for the interactive digital version of this report Approach Approach Message from Mike. About Bloomberg L.P.
Recent events have made These two efforts reveal the demand that exists Bloomberg, the global Our products within the marketplace for more detailed and Bloomberg Professional Services clear that the role of the reliable data on how climate change will affect business and financial Bloomberg Professional Services — the Bloomberg commerce — and, at Bloomberg, we are working to Terminal® and our enterprise data management private sector in building meet it. We now provide our clients with transparent and integration services — provide real-time data, environmental, social and governance data on more information and news breaking news, in-depth research and powerful a more sustainable world than 9,500 companies; tools to analyze the green analytics to help financial professionals make bond market; and in-depth research and analysis leader, gives influential smarter, faster and better-informed decisions. is more important than on emerging clean energy trends via Bloomberg New Energy Finance. decision makers a critical Industry products ever. At Bloomberg, we We operate five web-based services — Bloomberg As we invest in sustainability through our products, edge by connecting New Energy Finance, Bloomberg Government, are determined to lead the we also invest in it through our operations. We began Bloomberg Law, Bloomberg Tax and Bloomberg tracking and managing the environmental impact Environment — that provide industry-leading way and, over the past year, of our operations a decade ago and have saved them to a dynamic news, analysis and data about energy, $103 million as a result. And our new European government, laws and regulation to help we‘ve helped drive critically headquarters, which opened in London last fall, network of information, subscribers navigate these complex and evolving is the world‘s most sustainably designed areas. Our venture capital firm, Bloomberg Beta, important progress. office building. people and ideas. invests in companies that make work better, I‘ve always believed that businesses have a with a focus on machine intelligence. Following the White House announcement that the responsibility to be good neighbors, and we’ve Our company Media U.S. would withdraw from the Paris Agreement last also seen how being a sustainable company is just Bloomberg Media, the company’s consumer-facing June, Bloomberg Philanthropies helped rally business good business. Nearly all of our company‘s profits Bloomberg L.P. is a privately held Limited business, draws on the work of 2,700 journalists and and civic leaders to affirm our collective support go to support the work of our philanthropic efforts, Partnership headquartered in New York City. analysts in more than 120 countries to deliver news for the Agreement. The result is a coalition, called including on climate change. Our employees also We have more than 19,000 employees based in across digital, TV, radio, print and mobile channels America’s Pledge, that includes 455 cities, 16 states, make important contributions to these efforts directly, 186 locations around the world, with a significant and live events. 325 universities and more than 1,700 businesses. volunteering more than 145,000 hours of service presence in the United States, United Kingdom, All have pledged to do their part to ensure the U.S. in 2017 to their local communities. In the year ahead, Germany, Japan, China, Singapore, Australia, Our operations can meet its emissions reduction goals, regardless we‘ll continue to look for ways to strengthen our Brazil, India and the United Arab Emirates. Our business operates in 5.4-million owned and of what happens in Washington. company — and the world. Our business philosophy leased square feet of space in 72 countries, Companies are taking action individually, but they are including two significant data centers crucial Since its founding in 1981, Bloomberg has been also working together. Two industry-led organizations to our operations and customers. We also publish guided by the principle that transparent markets that I chair — the Sustainability Accounting Standards two magazines, Bloomberg Businessweek and empower investors, fuel entrepreneurs and support Board (SASB) and the Financial Stability Board Task Bloomberg Markets, printing and distributing almost economic growth. Better data leads to better Force on Climate-related Financial Disclosures 36 million copies globally in 2017. decisions. As the world changes, we are committed (TCFD) — are helping companies better understand to making sure that our clients have the data To learn more about Bloomberg, and reduce the risks they face from the changing they need to navigate the evolving landscape. visit bloomberg.com/company. climate, while also making investors aware This includes decision-useful sustainability news, of new opportunities from sustainable projects. data and analytics. More than 240 companies, responsible for more than $80 trillion in assets, have expressed public support for the standards developed by the TCFD.
2 GRI: 102-14 GRI: 102-1; 102-2; 102-4; 102-5; 102-6; 102-7; G4-2 3 Approach Approach Sustainability governance. Stakeholder engagement.
Collective wisdom Our company’s leaders Our stakeholders help shape our sustainability efforts by sharing valuable feedback on new ideas, best practices, emerging technologies and stakeholders drive and industry trends. our sustainability efforts.
Governance Every division within Bloomberg has responsibility Channels Example Bloomberg‘s Management Committee, which consists for sustainability — our policies and operating Customers Bloomberg Professional Services We interviewed approximately 35 clients this past of our Founder, Chairman and Vice Chairman, guidelines include these issues in our strategic annual customer survey; year to specifically understand investor needs for ESG operates the company. Representatives from each considerations and day-to-day operations. market research; customer education; information. This feedback informed products that we division report to the Management Committee. Sustainable Business & Finance partners with help desk tickets; sales visits. launched in 2017. On an ongoing basis, our sales and help The Global Head of Sustainable Business & Finance Operations and our business units to enhance desk teams collect customer feedback that helps enhance has responsibility for the company’s overarching Bloomberg’s sustainability efforts. The Management our ESG products. sustainability strategy, including addressing Committee, which is consulted and updated on climate-related risks and opportunities. a regular basis, provides direction and Employees Events and training; emails We launched an internal Sustainable Business & Finance allocates resources. and newsletters; employee e-newsletter in September 2017 to share news of our Bloomberg’s environmental and social strategy ambassador meetings. sustainable finance activities; it’s distributed monthly to 400+ internal subscribers. is primarily driven by four groups: Sustainable Business & Finance, Workplace Operations, Human * Resources and Philanthropy & Engagement. Suppliers Our Supplier Code of Conduct; We work with our suppliers to reduce the impact of Climate-related governance Sustainable Business & Finance reports directly sustainability requirements in select our products on the environment. For example, our flat Bloomberg considers short-, medium- and long- requests for proposal and master panels meet Energy Star qualifications, and we’ve made to the Chairman’s office, while Workplace Operations, term climate-related risks and opportunities at the service agreements. our keyboards more energy efficient. Our magazines Human Resources and Philanthropy & Engagement Management Committee level. The Management are printed on 100% FSC–certified paper and printed at report to the Chief Operating Officer. Committee leverages a number of groups within facilities that maintain FSC certification. These groups, along with the Finance, Legal the company to help identify climate-related issues and determine the most sustainable solutions and Communities Community meetings. During the construction phase of our new European and Risk & Compliance departments, work headquarters in London, we met with neighborhood paths to explore. These include Sustainable Business internally and externally to identify areas of risk residents to hear their concerns about dust, noise, traffic and opportunity at Bloomberg and to support other & Finance, which develops climate-related targets and the social impact of our building. Based on their operating groups in accomplishing their business and strategies around mitigating risks and fostering feedback, we implemented processes to mitigate the goals. The groups continually engage Bloomberg opportunities across the organization; Operations, impact of construction. stakeholders, including employees, customers, which develops infrastructure that will be resilient in the face of both physical risks posed by climate Nongovernmental Sustainability conferences; nonprofit Bloomberg’s observer status with the International Capital suppliers and communities, on sustainability issues. organizations (NGOs) and industry group collaboration; Markets Association (ICMA) Green Bonds Principles change and market risks posed by a transition newsletters and other publications; inspired us to create a “Green Bond” tag in the Terminal, to a low-carbon economy; and business units, consultation and collaboration on which allows subscribers to easily identify and analyze which identify opportunities and develop climate- sustainability projects. green bonds. In 2017, Bloomberg created new green bond related products and content. portfolios following consultation with the green fixed income community. The portfolios enhance discoverability of green securities and categorize bonds in alignment with the Green Bond Principles. *Task Force on Climate-related Financial Disclosures; 4 GRI: 102-18; 102-20; 102-21; 102-23; 102-27; 102-28; 102-33; 102-40 see “TCFD: Advancing the conversation on climate risk“, page 16. GRI: 102-29; 102-3; 102-42; 102-43; 102-44 5 Approach Approach Reporting framework Potential material issues for Bloomberg Bloomberg GRI SASB GRI Bloomberg-relevant SASB topics general topics industries topics materiality assessment. Standard Professional Internet Media All + Media Services Media & Production & Sectors Services Distribution
Our materiality assessment identifies and High-impact issues Our approach describes these areas of impact. This information Issues that will likely impact our company shapes our sustainability strategy and helps us and our employees from a business, to sustainability prioritize our activities. environmental and/or social perspective. Energy • • • • • begins with a question: Our initial sustainability materiality assessment in 2015 focused on environmental mitigation. Professional / Ethics / • • • • • • What environmental, Stakeholder feedback and evolving definitions Competitive Behavior of sustainability led us to expand the scope Employee Well-being / Development • • • • of our sustainability reporting to reflect a much Economic / Financial social and governance broader array of potential material issues. • • • • Risk Management / Compliance • • • • • issues are material We believe data is most useful if it is market-relevant, high quality, consistent and Customer Welfare / Data Privacy • • • • to our business? comparable, so we’ve based this assessment on concepts of materiality drawn from the major sustainability reporting frameworks Medium-impact issues used by public companies around the world. Issues that may not impact our company directly but impact our strategic partners.
Marketing Communications • • • • We use the following reporting frameworks Through initiatives such as the Corporate Reporting in an integrative fashion to identify and report Dialogue, we anticipate greater alignment on Materials • • • • on material issues: these frameworks going forward. Supply Chain Management • • • • • The Global Reporting Initiative (GRI) Content Index and GRI G4 Media Supplement Emissions • • • • • reporting guidelines Workplace Safety • • • • The Sustainability Accounting Standards Board External Human Rights • • • (SASB) provisional disclosure standards for three industries (Professional Services, Internet Media Employee Rights • • • • • • & Services and Media Production & Distribution) How material • The Financial Stability Board Task Force on climate-related Low-impact issues Climate-related Financial Disclosures (TCFD) issues could impact a company’s Issues that may not have a significant, direct impact on our company The concept of materiality is defined in different financial performance or strategic partners, but those for which we recognize our organization has a unique opportunity to make a positive impact. ways under these reporting frameworks. We do not Audience: Financial market participants attempt to formally reconcile divergent uses of the Environmental / Social Grievance • • • term in use by the GRI, SASB and TCFD. Rather, we Mechanisms have developed an implementation methodology SASB Product & Services (Labeling) • • • • that enables the use of all definitions in the context How material sustainability issues impact of a single report by a private company. a company’s financial performance Waste & Water • • • • • Audience: Financial market participants Biodiversity • • • Public Policy • • • • • • • GRI How a company impacts a range of economic, environmental and social issues 6 GRI: 102-12; 102-47; 103-1; 103-2; 103-3 Audience: Government, vendors, nonprofits, 7 investors and communities Approach Approach Our sustainability strategy.
Product strategy Operations strategy We manage our business Provide timely, reliable and actionable Decouple our growth from environmental Climate-related strategy information on sustainability-related financial impact, while demonstrating the business case better by integrating Our strategy positions our business for success risks and opportunities. for sustainable operations. not only today, but also in a future transformed by environmental, social and Key activities: climate change. We are increasing the sustainability Key activities: of our products, operations and workforce to Develop and deliver sustainable finance products Reduce our emissions optimize the financial impacts of climate change. economic considerations We’re constantly working to expand the universe of We’re working toward reducing our emissions Our agility allows us to adapt to changing markets high-quality environmental, social and governance (ESG) by 20% from a 2007 baseline. into our operations and data and analytical tools and further the field of and provide solutions as markets evolve. To help sustainable finance. us plan for potential climate scenarios, we conduct Increase renewable energy use scenario analysis; for more on our resilience to We’ve pledged to obtain 100% of our electricity products and services. Improve our clients’ use of ESG data from renewable sources by 2025. climate change, see our 2017 assessment on page 17. We provide news, data and analysis and host events throughout the year to share the latest ideas and best Invest in energy-efficient buildings Risk management practices on sustainable business and finance with As a financial information and technology company We build or renovate all new office space As the Earth’s climate changes, extreme weather our clients. to meet green building standards. with a relatively small operational footprint, events, rising seas and disrupted ecosystems present some of our most significant impact comes from Lead market infrastructure potential physical risks to our infrastructure and serving as an innovator and a champion Improve operational resilience We actively work with the leading sustainability reporting We prepare our business to withstand severe weather employees that must be addressed. of new sustainability solutions — pioneering new frameworks to enhance the quality, comparability and events and other climate-related disruptions by technologies, spreading new ideas and leading financial relevance of sustainability-related information. fortifying key facilities, building in network redundancies Bloomberg assesses risks to existing facilities and collaborative efforts with business and civic partners Bloomberg is a contributing member of the GRI, SASB and confirming that our suppliers are preparing for potential new locations. We implement appropriate and TCFD, with senior executives serving in formal roles to develop sustainable practices. We seek out, climate change. mitigation and resiliency measures to ensure the within SASB and TCFD. invest in and lead opportunities to advance safety of our employees and uninterrupted service the sustainability conversation. Measure relationship between environmental and to our customers. We have increased the number economic performance People strategy We’re tracking our progress in reducing emissions and of disaster recovery sites, enhanced network energy consumption in our facilities, business travel, functionality to ensure our employees can work Engage our employees in addressing social paper use, supply chain and waste and measuring the remotely, implemented building upgrades to and environmental issues that are relevant to the impact of these activities on our operating costs. To date, our upstate New York data center, created full business and the communities in which we work. our sustainability work has helped the company avoid redundancy across data centers and moved out of a $103 million in operating costs. waterfront data center in New York City. Additionally, Key activities: we manage our internal operational risk. Proactive risk-mitigation measures include resource utilization Invest in our employees reduction, infrastructure upgrades and renewable Bloomberg invests in talent development and offers comprehensive benefits to ensure the health, well-being energy procurement. and financial security of our employees and their families. To manage climate-related market risks to our Embrace diversity and inclusion business, our Sustainable Finance product We’re building a culture that values difference, strategists work with prospects, existing customers fosters inclusion and promotes collaboration and our product groups to identify and develop to drive business results. products and services that will allow our customers to effectively analyze climate change risks and Give back to our communities We focus our philanthropic efforts in four key areas participate in new markets that develop. where we believe we can achieve the greatest good: arts & culture, education, human services and sustainability.
8 GRI: 102-15; 201-2 89 Approach Approach 2020 progress.
Our founder’s ethos of Impact beyond Bloomberg 2013 Progress Highlights Goal Target baseline against target % to target “If you can’t measure it, Engagement Our 2020 targets support these you can’t manage it” broader sustainability goals: Expand employee 17 offices 0 Programs rolled out 100% engagement programs March 2015 across all major offices to all major offices. is at the core of Develop innovative leaders 1 In 2017, we relaunched Inspiring and training our employees and 1 Establish employee 17 offices 0 Employee ambassadors 100% Sustainability Squads, ambassadors are now embedded in everything we do — community partners to address complex societal our employee ambassador to ingrain engagement 17 offices globally. issues using data, innovation and technology have program. Squad members programs into an impact that far exceeds our business efforts. promote regionally including sustainability. our culture To date, 569 employees have participated in our and culturally relevant sustainability activities and Impact Accelerator, a skills-based service program. We measure our impact identify opportunities to partner with local businesses Increase sustainably-managed assets and communities. Additional to accelerate our results. under management (AUM) ambassadors promote Globally, just 26% of assets are being Philanthropy & Engagement professionally managed utilizing responsible and Diversity & Inclusion activities. In 2013, we announced 17 sustainability goals investment strategies, according to the for our people, products and operations that Global Sustainable Investment Alliance. Increase engagement 75%, 2 or 20% 45% of employees 60% of the global more groups engaged with 2 or more we aim to reach by 2020. These targets are Increase global investment in clean energy employee population employee groups. achievable goals that keep us focused on across all employee Global clean energy investment reached $333.5 programs advancing our sustainability strategy and help 90%, at least 50% 92% of employees 102% billion in 2017, according to BNEF. That’s just half and initiatives us identify areas where we’re falling short and 1 group engaged with at least should rethink our approach. what is needed annually to meet the minimum 1 group. objectives of the Paris Agreement. The chart on the following pages shows our Extend reach of employee 50% 1,700 2,721 “friends and family” 120% progress over the past five years. We are Lower global carbon emissions engagement initiatives increase in attended advancing toward our goals, but not without In 2017, the world generated an estimated to Bloomberg families, participation at least 1 event, 41 billion tonnes of CO emissions, according to the engaging spouses & a 60% increase over some challenges along the way. 2 University of East Anglia/Global Carbon Project. dependents baseline. We encourage our suppliers and customers to adopt sustainable business practices with us. Ninety-one of the 119 companies that have joined RE100 and pledged to move to 100% renewable power are Bloomberg partners.
10 11 Approach Approach
2013 Progress 2013 Progress Highlights Goal Target baseline against target % to target Highlights Goal Target baseline against target % to target
Leadership development Operations
Drive participation 17 offices 6 We have completed 118% Reduce emissions 20% 187,257 2017 emissions are down 35% in Impact Accelerator, projects in 20 offices. vs. 2007 baseline 7% vs. 2007 baseline. our skills-based service (MT of CO₂e) program, in all 4 Phase 1 of this target is 4 major offices Ensure that suppliers 75% of Most recently, we have complete. Bloomberg first set abide by Bloomberg suppliers focused this effort out to ensure that the vendors sustainability policies on our core product Complete Impact 50 projects 2 34 total projects 68% manufacturing our proprietary and standards manufacturers and Accelerator projects completed since 2013. and branded products were in premium vendors. compliance with our policies To date, we have ensured 2 We determined that the 2 Incorporate employee 0 Incorporated diversity & 100% and standards. We are now compliance with our diversity & inclusion engagement into inclusion metrics into the working with Supply Chain, policies and standards for metrics we incorporated into the management evaluation process for team Compliance and Procurement 75% of this vendor pool. the evaluation process for evaluations system leaders and managers to identify the next stage of team leaders and managers in 2016. in 2016 are the most relevant this program and the best way engagement metrics for to expand our reach. business performance. Return on investment 20% 65% ROI on 2014–2017 325% Currently, there are no plans capital projects. to incorporate additional engagement metrics into Cost avoidance $100 million $48 million in cost 48% our management evaluations. 2014–2020 avoidance in 2014–2017.
Product development Renewable energy 35% 1% 11% of electricity from 33% renewable energy. Integrate sustainable 7 asset 1 Equities and Fixed 43% 5 We are working with the 5 Clean energy projects 10MW Plan has evolved to finance across classes Income are integrating Renewable Energy Buyers developed partner with NGOs all financial products and sustainable finance; Alliance, Rocky Mountain by our partners focused on this space. asset classes we also published a Institute, Business Renewables Sustainable Finance Brief Center and Corporate in 2017 on the topic of Renewable Energy Buyers’ green real estate. Principles to share best Be the leading voice Most 1 We are a leading voice on 80% practices around the on sustainability influential sustainable finance corporate renewables in business source for in the investment industry landscape. across news and business, and are making continued Institute an internal price $20 per Currently evaluating the media platforms policy & progress in policy and on carbon and allocate metric tonne right way to do this finance business coverage. across business units for of CO2e within our company‘s leaders planning purposes structure.
3 Our industry product 3 Expand sustainability 5 industry 1 Sustainability is 100% offerings have increased from analysis into products embedded in all industry three to five (Bloomberg Law, all major industry products products. Tax, Government, Environment and services and Bloomberg New Energy Finance), with sustainability embedded in each.
12 13 Thought leadership Thought leadership renewable energy by 2025 — Strength in numbers. our collective RE100 goal
Bloomberg Philanthropies The Renewable Energy Buyers Alliance (REBA) Bloomberg employees contribute100% to local Beyond Coal No company can Bloomberg was an original signatory of the communities and help fuel the groundbreaking In November, Bloomberg Philanthropies announced Renewable Energy Buyers’ Principles and actively work of Bloomberg Philanthropies, which a $50 million commitment to partners worldwide solve sustainability works with the Rocky Mountain Institute’s Business to catalyze a global effort to reduce coal works to ensure better, longer lives for the Renewables Center on its mission to help streamline dependency and shift to renewable energy sources. greatest number of people. The vast majority challenges alone. and accelerate corporate purchasing of off-site, Initially, Bloomberg Philanthropies will work with the large-scale wind and solar energy. of Bloomberg L.P.’s profits are contributed European Climate Foundation to accelerate Europe’s Bloomberg seeks out, supports and leads to Bloomberg Philanthropies, thereby funding transition to coal-free energy. The international rebuyers.org collaborative efforts with business and civic initiatives and engaging with partners Beyond Coal campaign will expand to other countries later on. partners to develop sustainable practices. to create lasting change. In some instances, our business and operating To learn more about these Bloomberg Philanthropies We Are Still In divisions connect with nongovernmental SASB and initiatives, visit bloomberg.org. The Sustainability Accounting Standards Board In June, the Trump Administration announced organizations and like-minded businesses; (SASB) and the Financial Stability Board Task Force its intention to withdraw from the Paris Agreement in other cases, our foundation, Bloomberg Our founder’s personal activism inspires us on Climate-related Financial Disclosures (TCFD) on climate change. Immediately following the and connects us with the world’s leading Philanthropies, takes the lead in launching both work to improve the quality and usefulness of announcement, Bloomberg Philanthropies worked change agents. In 2017, Mike Bloomberg: and funding partnerships that our employees environmental, social and governance data, focusing with 20 partners, including the American Sustainable work on. We work with thousands of on how ESG factors impact financial performance. Business Council, Ceres and the We Mean Business organizations each year; here is a sampling Bloomberg has been a steady SASB partner since coalition, to coordinate a public statement of • Served as U.N. Special Envoy of some of the organizations we work with its founding in 2011, providing crucial expertise from American support for tackling climate change. for Cities and Climate Change Bloomberg specialists and significant grant support The group released the “We Are Still In“ declaration to tackle climate change. • through Bloomberg Philanthropies. on June 5; more than 2,500 civic and business Chaired the TCFD and SASB leaders from all 50 states have signed it. • Served as President of the Board of C40, RE100 sasb.org The signatories represent more than 127 million a network of the world’s megacities committed Bloomberg is a member of RE100, a collaborative Americans and $6.2 trillion of the U.S. economy. to addressing climate change group of global companies that have committed In 2015, the governor of the Bank of England, to using 100% renewable power. The group is • Co-chaired the board of the Global Covenant Mark Carney, appointed Mike Bloomberg as chair America’s Pledge on Climate Change managed by the Climate Group, a nonprofit that of Mayors for Climate & Energy, the largest of the TCFD. Working with 31 private-sector partners Mike Bloomberg and California Governor promotes climate action, in partnership with global coalition of cities committed to climate on the Task Force, Bloomberg L.P. helped develop Jerry Brown have launched America’s Pledge, environmental disclosure advocate CDP, as part issues, with European Commission Vice-President recommendations for climate-related financial an initiative to report to the UN on the scope and of the We Mean Business coalition. Ninety-one Maroš Šefčovič disclosures. We are now encouraging companies scale of actions taken by U.S. businesses, cities and of the 119 companies that have joined RE100 • Co-wrote Climate of Hope, a New York Times and investors to adopt these recommendations. states to cut carbon emissions and stay on track are Bloomberg business partners. best-selling book on local solutions to climate The more companies that join the growing effort to for America’s goals under the Paris Agreement. change, with Carl Pope, former executive director measure and share climate risks, the faster we’ll make The America’s Pledge initiative released a report in there100.org of the Sierra Club progress toward a lower-carbon world. November that maps current non-federal activity to decarbonize the economy. More than 100 American • Secured commitments with the Sierra Club fsb-tcfd.org leaders affiliated with America’s Pledge attended the to retire more than half of the coal-fired 23rd annual United Nations Conference on Climate power plants in the U.S. Change, with Bloomberg Philanthropies hosting • Produced From the Ashes, a documentary film more than 40 events outside the conference center. on the people and issues behind the war on coal
14 15 Thought leadership Thought leadership TCFD: Advancing the conversation on climate risk
In 2017, Bloomberg supported the Climate change poses both risks and opportunities Without this information, financial markets cannot As of December 2017, more than 240 companies, development of new climate-related financial for business. Currently, however, investors, lenders price climate-related risks and opportunities correctly with a combined market capitalization of more than disclosure recommendations to promote and insurers don’t have a clear view of which and may potentially face a rocky transition to a $6.3 trillion, have publicly expressed support a smooth transition to a lower-carbon economy. companies will endure or even prosper as the low-carbon economy, with sudden value shifts and for the TCFD recommendations, with many putting We’re now calling on businesses to join us environment changes, regulations evolve, new destabilizing costs if industries must rapidly adjust to the recommended disclosures in their company in adopting them. technologies emerge and customer behavior shifts — the new landscape. reports this year. The companies, based in 30 and which companies are likely to struggle. countries, include more than 150 financial firms — In 2015, Financial Stability Board Chair and Bank of responsible for more than $80 trillion in assets. England Governor Mark Carney established the FSB Task Force on Climate-related Financial Disclosures At Bloomberg, we’ve chosen to integrate our TCFD (TCFD) to help the financial markets better disclosures into this annual Impact Report, in print TCFD Recommendations understand climate-related financial risks. and online. Our climate-related governance, Governance Strategy Risk Management Metrics and Targets strategy and risk management processes can be With Mike Bloomberg serving as chair, the Task found in the Approach section. We disclose Disclose the organization’s Disclose the actual and Disclose how the organization Disclose the metrics and Force spent 18 months developing recommendations governance around potential impacts of identifies, assesses and targets used to assess multiple climate-related metrics in our Operations to guide companies in disclosing climate-related climate-related risks climate-related risks and manages climate-related and manage relevant highlights section. And we discuss our company‘s and opportunities. opportunities on the risks. climate-related risks and financial information that is decision-useful, resilience in different climate-related scenarios organization’s businesses, opportunities where such comparable and consistent. In June, the group on the following two pages. strategy and financial information is material. released its final recommendations. planning where such (See “TCFD Recommendations,” left.) information is material. Created by the market for the market, the voluntary disclosures align with existing climate-related Recommended Disclosures Recommended Disclosures Recommended Disclosures Recommended Disclosures reporting frameworks so that companies can use data a. Describe the board’s a. Describe the climate-related a. Describe the organization’s a. Disclose the metrics used they are already tracking to describe their climate- oversight of climate-related risks and opportunities processes for identifying by the organization to related financial risks. risks and opportunities. the organization has identified and assessing climate- assess climate-related over the short, medium and related risks. risks and opportunities They are also intended to spark a conversation long term. in line with its strategy between investors and companies. Fitting into and risk management companies’ financial filings or sustainability reports, process. the disclosures bring climate-related financial b. Describe management’s b. Describe the impact b. Describe the organization’s b. Disclose Scope 1, Scope 2 reporting to a mainstream audience, promoting role in assessing and of climate-related risks processes for managing and, if appropriate, investor engagement. Encouraging companies managing climate-related and opportunities on the climate-related risks. Scope 3 greenhouse gas to think about how sustainability factors into risk risks and opportunities. organization’s businesses, (GHG) emissions and the management and strategy decisions, the TCFD strategy and financial related risks. planning. disclosures promote discussion between a firm’s financial officers and sustainability experts, two groups that don’t always talk. c. Describe the resilience c. Describe how processes c. Describe the targets of the organization’s strategy, for identifying, assessing used by the organization taking into consideration and managing climate- to manage climate- different climate-related related risks are integrated related risks and scenarios, including a 2°C into the organization’s opportunities or lower scenario. overall risk management. and performance against targets.
16 GRI: 201-2 17 2017
Thought leadership Thought leadership
A closer look: Bloomberg’s scenario analysis
We looked at the viability of Bloomberg’s strategies What will the world look like in the future? With limited mitigation efforts: A unique feature under two divergent climate scenarios: A transition Here are the potential global scenarios we used • Global emissions continue rising at current rates to a low-carbon economy, where technological in our analysis. • Extreme weather events occur more frequently and of the TCFD framework advances and policy changes limit the warming of at a more damaging scale Earth’s temperature to below 2° Celsius above pre- A 2° Celsius world: • Policy and regulation do not adequately address is the recommendation industrial levels, and a limited mitigation scenario, • Global emissions are halved by 2050 where little or no concerted mitigation action is greenhouse gas emissions • Extreme weather events occur that organizations conduct taken and climate change continues on its current at current frequency • Higher levels of pollution impact human health projected path with Earth‘s temperature warming • Rising sea levels displace coastal populations significantly more than 2° Celsius. • New policies and regulations target scenario analysis to businesses to limit allowed amount of greenhouse and businesses These scenarios are not forecasts or predictions gas emissions • Water and food scarcity in climate- assess how resilient their of the future, but a way for us to imagine plausible • Advances in technology provide wider access stressed regions future worlds and plan for resilience. businesses might be in to energy-efficient resources at lower costs • Increased global temperatures To help us determine when certain portions of • Businesses with carbon-intensive operations lower productivity our business may be most impacted, we have have revised business models different climate scenarios. analyzed these scenarios over three time frames: • New financial markets develop to support the Bloomberg, as a private company, does not release segment financials due to short (1—3 years), medium (4—7 years) and long transition to a low-carbon economy confidentiality constraints. In lieu of exact figures, a best practice recommended Here is our inaugural (8—10 years). In our scenario analysis, we have by the TCFD, we have provided directional percentages. indicated when the scenario will most significantly climate scenario analysis impact each type of risk or opportunity, but the impact quantification applies to the full 10-year following the period of analysis. Our scenario analysis is a short, high-level evaluation TCFD guidelines. of climate-related risks and opportunities. TCFD recommends that organizations in industries more likely to be affected by a transition to a low-carbon economy or extreme weather (energy; transportation; materials and buildings; and agriculture, food and forest products) prepare more in-depth scenario analysis.
18 1819 2° Celsius scenario Limited mitigation scenario
Risks Impact quantification Time line Potential result Risks Impact quantification Time line Potential result Transition Policy and <1% impact Europe: Our current initiative to transition all of the energy used Transition Policy and No discernible Europe: Policy changes may happen at different times across Legal on business 1—3 years in our offices and data centers to renewable sources will limit Legal quantified impact 1—3 years different geographies. Regardless, we will continue our Other: the impact of any policy changes that may increase the cost Other: path toward renewable operations and do not anticipate 4—10 years of greenhouse gas emissions. 4—10 years meaningful impact. Technology <1% impact on 4—7 years Advances in technology would not present a material risk to Technology <5% decrease in 4—7 years Renewable technology will not advance as far, and renewable costs associated our business. If advances occur faster than anticipated and costs avoided from energy prices may not continue to decline as they have over with renewable the price for renewable energy drops, we may be locked into using renewable the last decade. Costs avoided from using renewable energy energy technology higher-than-market rates for our current contracts. However, energy technology may be tempered or take longer to realize. with 11% of our business currently run on renewable energy, we will be transitioning the majority of our business under Market Revenue loss 4—10 years If the renewable market does not grow as much as we the new market prices. While we may be able to complete the mitigated by other anticipate, there is a risk that our current tools and planned transition sooner, this would not significantly impact costs. market changes investment will not generate as much revenue as projected. Increased demand for other tools that help deal with Market 20% increase in 1—7 years Demand for financial tools and data for markets such as oil and heightened physical risk will mitigate revenue changes. sustainable gas will decrease as global demand for these commodities business- and declines. To hedge this risk, we must stay ahead of client Reputation No discernible 1—10 years Even in the absence of policies to promote a low-carbon finance-related R&D preferences and invest more in the near term to advance the quantified impact economy, Bloomberg will continue to incorporate development of our renewable market tools. sustainability into our business and business offerings, so we do not anticipate reputational risk. Reputation <1% impact 7—10 years As a current leader in corporate sustainability, our on business reputational risk is low; however, if we do not work to match our sustainability-related climate offerings with market changes, we could risk losing this position.
Physical Acute 10% increase in 1—10 years Bloomberg has already prepared data centers and offices to Physical Acute 15% increase in 1—10 years Businesses may experience losses in productivity or working capital investment withstand severe weather events and has formulated plans capital investment days due to severe weather events. While our contingency at key facilities to ensure the safety of our employees and continuity of at key facilities plans protect against a loss in revenue due to such events, services to our customers should such events occur. These increased spending on resiliency beyond what is described preparations include investing in wind-resilient buildings, in a 2° Celsius scenario could be necessary. additional fuel tanks and more resilient construction for key facilities and will continue as we add new locations. Chronic <1% of an impact 4—7 years The majority of Bloomberg’s business dealings and operations on business are not in areas that are stressed by water or extreme Chronic <1% of an impact 4—7 years Chronic climate changes such as increases in sea level and temperatures; our own business is not resource-intensive, on business global temperature will be less impactful than in more so chronic changes are not likely to have a large impact. extreme scenarios. Additionally, our business is not water-intensive, centered in climate-stressed regions or reliant on outdoor labor. Opportunities Impact quantification Time line Potential result Opportunities Impact quantification Time line Potential result Resource efficiency <1% increase in 8—10 years Renewable energy prices may stagnate, but climate stress may Resource efficiency Additional $10 4—7 years With our plans to fully transition to renewable energy by 2025, and energy source avoided energy costs cause non-renewable resources to increase in price, ultimately and energy source million in avoided we may avoid more energy costs — and realize those changes leading to greater cost avoidance from our renewable operations. energy costs more quickly — if new technology drives down renewable energy prices faster and further than expected. Products and services <5% increase 4—7 years Our clients invested in markets such as real estate and insurance in revenue from will need new products to analyze drastic market changes. We Products and services 20% increase 1—7 years An increase in demand for our existing products that help sustainable finance currently offer tools such as MAPS, a geo-insight resource that in revenue from clients navigate the transition to a low-carbon economy. products helps investors analyze physical climate change risks, and we will sustainable finance Tools such as our ESG scorecard, BNEF research, carbon continue to develop products to capture increased demand. products footprinting applications and climate-change-related data may see an increase in use with expected revenue growth Markets <1% increase in total 7—10 years As markets such as real estate and commodities become more over the current growth path. product revenue volatile, the need for timely, transparent data and market- driven news could potentially increase; however, this will Markets 10% increase in 4—7 years Financial markets such as green bonds, carbon trading or not have a significant impact on our business, which already revenue from tools carbon capture may expand, increasing our revenue as we provides solutions for volatile markets. for sustainable continue to enhance our tools that allow clients to participate markets in these markets. Resilience <1% increase in value 7—10 years Our current resiliency practices have led us to build and Resilience No discernible 1—10 years Investing in sustainable products, services and infrastructure, of physical assets renovate our buildings to extremely high physical stress quantified impact combined with our clients’ dependence on us to provide tools standards. If climate change continues on its current path, for the changing markets, will strengthen our sustainability- this investment in resilient infrastructure may increase the focused business models. value of the real estate assets we own.
20 21 Impact Impact leaders sharing innovative ideas Product highlights. at our Sustainable Business Summits
As investors, policy makers Nearly 15,000 investors use ESG data on the Sustainable Business940 Summits To further extend the reach and impact of the Terminal to make more-informed decisions. Bloomberg hosted four Sustainable Business summits, we launched our first Sustainable Business Meanwhile, business and government leaders rely Summits in 2017, adding events in two new locations, & Finance survey, which was completed by nearly and citizens seek out more on our innovative coverage and in-depth analysis Seattle and London, and returning to Toronto 400 investors and corporate executives, and of sustainability and related issues to stay on top and New York City. The summits convened more published “Seizing the Opportunity: How Industry information on sustainability, of environmental and social trends. than 940 senior business leaders, investors and Can Lead a New Era of Sustainable Development,” top government officials for conversations on how a white paper informed by New York City summit Bloomberg is providing BNEF reports companies are innovating in their sustainable content. The Sustainable Business Summit will Bloomberg New Energy Finance (BNEF) launched business models and adopting practices that expand to five cities in 2018 — Seattle, Amsterdam, new and expanded datasets, two key reports in 2017 — the Electric Vehicle Outlook prioritize sustainable value. Toronto, New York City and London. (EVO) and the Global LNG Outlook (GLO). EVO forecasts passenger electric vehicle adoption news and analysis. out to 2040 and the impact of electrification on the automotive and power markets. GLO examines BNEF: $333.5 billion invested in clean energy Global clean energy investment reached $333.5 billion in 2017. the latest trends in the global liquefied natural This was a 3% increase from 2016 levels, primarily attributable to the solar boom in China. ESG data gas (LNG) market and forecasts the world’s LNG We make environmental, social and governance demand and supply to 2030. BNEF also published (ESG) data relevant and actionable for the financial “Digitalization of Energy Systems,” a white paper on community by providing ESG data for almost 9,500 how digital technologies impact the energy system. 350B companies in 83 countries on the Bloomberg BNEF publishes more than 700 reports and research Terminal. Investors can seamlessly integrate this pieces a year, including the annual State of Clean information into their financial analysis, generating Energy Investment report. 300B critical insights into risks and opportunities in the evolving global economy.
250B 14,935 customers are using ESG data This graph shows the growth in the number of ESG users over the past six years. Please note that this is just one proxy for determining the adoption of ESG analysis. As the field matures, we are developing more granular metrics to explain uptake. 200B
15k 14,935
12,242 12.5k 11,894 150B 11,542 10k
100B 7.5k 7,500
5,172 5k 50B 2.5k
0 0 2012 2013 2014 2015 2016 2017 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
22 23 Impact Impact GEI member firms in 24 countries and regions
Bloomberg Gender-Equality Index launch Climate Changed website Sustainable Finance Brief redesign In May 2016, we launched the Bloomberg Financial Bloomberg’s digital team launched In August, Bloomberg’s Sustainable Finance104 Brief Services Gender-Equality Index (BFGEI), a first-of-its- Climate Changed, a website about climate science — the first newsletter from a major U.S. financial kind reference index measuring the gender equality and the future of energy. The digital platform shares media company focused on sustainable finance performance of global financial services companies. news, interactive graphics, video and data from for institutional investors — debuted a sleek new In 2017, we opened up our 2017 data survey to Bloomberg journalists across the world about how redesign that optimizes it for mobile. The weekly companies in all industries. The new Bloomberg our changing climate is shaping the way economies, newsletter highlights the latest sustainability news Gender-Equality Index (GEI), launched in 2018, businesses and people work. Climate Changed and data from Bloomberg News, BNEF, Bloomberg recognizes member firms’ commitment to disclosure receives approximately 1 million unique visitors per Intelligence and our industry products and includes and best-in-class practices, providing investors with month, drawn to the site by innovative features like Q&As with industry leaders and an event calendar. valuable data on gender-related internal statistics, its Carbon Clock, the only real-time estimate of Improved transparency for green bonds employee policies, external community engagement the global monthly atmospheric CO2 level on the and gender-conscious product offerings. internet. In 2017, Climate Changed won a Kantar Bloomberg identified $163.1 billion worth of new Membership has doubled in one year to 104 member Information is Beautiful Award for its Arctic coverage. green bonds sold in 2017 — the fifth consecutive firms headquartered in 24 countries and regions. year of record issuance. Green bond issuance grew 67% in 2017. We continue to enhance the data and insights we offer around green bonds — bonds that fund projects with environmental benefits — driving transparency in the rapidly evolving and unregulated green fixed income market. Bloomberg’s green Green bonds marketplace bond label and additional green disclosures on the Green bonds issued in 2017 topped the previous Credit Agricole CIB was the top underwriter of green Terminal help users identify green securities and record of $97 billion set in 2016. bonds in 2017, arranging $7.8B of corporate, municipal and assess alignment to the globally adopted Green supranational green bond deals in the U.S. and overseas. Bond Principles. In 2017, Bloomberg added new green bond portfolios to help users locate various Underwriters Deals Value in Billions $175B types of green bonds and a wider universe of $163.1B Credit Agricole CIB 60 7.8 green fixed income opportunities. BNEF provides HSBC 54 7.3 150B increased transparency by assessing the reporting BNP Paribas 45 5.6 commitments of existing bonds and evaluating their JP Morgan 45 5.4 reporting frameworks. It remains to be seen if the Bank of America Merrill Lynch 33 4.9 125B market can sustain its impressive growth levels Societe Generale 22 4.3 in 2018, but BNEF’s new quarterly green bond report Citi 28 4.3 will provide a step-by-step commentary on 100B $97.3B Barclays 24 4.2 SEB 39 4 market progress. Natixis 19 3.2 75B Morgan Stanley 16 3.1 CITIC Securities Co Ltd 26 3 $49.9B China Securities Co Ltd 15 2.2 50B Goldman Sachs 12 $36.8B 2.2 Industrial & Comm Bank of China 16 2.1 25B Deutsche Bank 20 2 Banco Santander 14 2 $4.3B $14.6B TD Securities 16 1.8 0 Nordea 20 1.8 2012 2013 2014 2015 2016 2017 Banco Bilbao Vizcaya Argentaria 11 1.7
Note: Lead underwriter volumes only Source: BNEF 24 25 Case study Case study Pioneering Portfolio Carbon Footprint Tool XLTP XPCF
Reducing emissions of carbon dioxide is essential
to stabilizing the climate. Excessive CO2 emissions are causing global warming that, in turn, is increasing sea levels, changing precipitation Carbon Tracker 2D Scenario Analysis Tool patterns and destroying ecosystems. APPS TRACK
26 27 Impact Impact in avoided operating costs since 2008 Operations highlights. $103 million Energy Path to RE100 We’re focused on In 2017, Bloomberg’s total energy emissions were 101,256 metric tonnes. This represents 55.5% of Bloomberg renewable energy at year-end increasing the efficiency total company emissions, justifying a global focus Projected on energy management. As a company with more Bloomberg renewable and resilience of our than 19,000 employees in 186 locations, reducing our energy projects 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 energy-related carbon emissions globally is critical to Owned MW 0.00 0.00 0.04 0.04 0.04 0.04 0.23 0.23 0.23 0.23 0.23 renewables operations in a changing reducing our total environmental impact. MWh 0.00 0.00 38 64 60 60 221 242 242 242 242
Renewable energy Power Purchase MW 0.00 0.00 1.8 1.8 1.8 3.5 3.5 8.5 43.5 60.5 65.5 world while reducing our Agreements Bloomberg is a member of RE100, a global initiative (PPAs) MWh 0.00 0.00 2,425 2,472 2,606 2,929 4,719 21,565 59,565 161,565 172,565 of influential businesses committed to 100% environmental impact. renewable electricity. We have pledged to obtain Renewable MWh 145,247 211,060 208,262 211,513 90,747 94,763 88,612 85,000 85,000 6,500 6,500 100% of our electricity from renewable sources by Energy Credits (RECs) 2025. Our initial internal target was to procure 35% 20MW Since 2008, our global efficiency measures and electricity from renewables by 2020. To date, we Arkwright Summit environmental projects have resulted in 834,209 have invested in five on- and off-site solar and wind 17MW Wind Project metric tonnes of avoided CO₂e emissions — the HillTopper projects. Our most recent project, a wind installation Wind Project equivalent of more than 4.5 years of Bloomberg’s in Hidalgo, Texas, started providing energy in 2017. carbon emissions — and avoided $103 million in operating costs. Through our efforts, Bloomberg In 2018, we will begin purchasing the energy 1.5MW is proving the business case for sustainability. generated by a 20MW portion of the Arkwright Queens Solar Project Summit Wind Project in Chautauqua County, N.Y. In December 2017, we signed a 15-year power 184KW Emissions by activity purchase agreement to buy energy from a 17MW Princeton Maintenance Energy and travel dominate Bloomberg‘s emissions profile, portion of the HillTopper wind farm powered by Building Solar Project accounting for 87% of our total. Enel Green Power in Illinois, which is expected to be built in 2018. In 2017, we received 11.4% of our 1.8MW 41KW P rinceton Solar Energy consumption 55.5% electricity, 33,452,524 kWh, from renewable sources. Our renewable energy projects reduced our 2017 San Francisco Project operating expenses by $77,000. Solar Project Business travel 31.4% 5MW Hidalgo Wind Project Publishing operations 10.3%
Other 2.7% GRI: 302-1; 302-4 SASB: TC0401-01
Internal goal: RE100 goal:
RE100 Began investigating First projects commitment 11% 35% 100% renewable energy projects completed announced renewable energy renewable energy renewable energy
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Impact Impact
kWh of energy saved by our data centers million Data centers Buildings Business travel 28However, we look for opportunities to mitigate the Our data centers, which handle the large volume Bloomberg has invested in a portfolio of Employee travel is a key component of our business impact of our travel where possible. For example, of data and analytics we provide to more than environmentally certified office spaces to ensure model and generates 31.4% of our total emissions. we promote travel by rail rather than air for short 325,000 customers through Bloomberg Professional that we are limiting the environmental impact of In 2017, Bloomberg emissions from employee distances, such as New York City to Washington, D.C. Services, consume 43% of our energy, so data center both construction and occupancy. All new office business travel were 57,309 metric tonnes, and London to Paris/Brussels. In 2017, 55% of our efficiency is a clear priority for Bloomberg. In 2014, developments, refurbishments and expansions are a 125% increase from 2007 levels and a 14% increase New York City to Washington travel and 93% of we built our Leadership in Energy and Environmental built to LEED or Building Research Establishment on a per-employee basis. Supporting customers our London to Paris/Brussels travel was by rail. Design (LEED) New Construction data center Environmental Assessment Method (BREEAM) through our sales force is central to our business, We also encourage using public transportation in upstate New York to LEED v4 specifications standards. To date, we have completed 35 LEED- which limits opportunities for travel-related rather than car service. In 2017, car service usage to drastically improve our data center efficiency, or BREEAM-certified projects; in 2017, we received emissions reductions. These pressures will continue was down 25% in the U.S. and 66% in the U.K., which is measured by power usage effectiveness five new LEED certifications (two Platinum, three to grow as our headcount increases. compared with 2007 baseline levels. (PUE). Bloomberg’s PUE has improved 17% Gold) for offices in Arlington, Virginia, New York since 2010, which translated into a savings City, San Francisco and Washington, D.C. Our new of approximately 28 million kWh in 2017. European headquarters in London achieved the highest design-stage BREEAM rating of any major office development in the world. LEED and BREEAM office space Bloomberg business travel
64% of Bloomberg employees sit in environmentally certified office space. Miles traveled and CO2e emissions by year
Total headcount % of employees in environmentally certified space Year Miles CO2e Metric Tonnes/Full-Time Employee 20k 19.4k 2017 190,101,748 57,309 3.00 18.8k 18.3k 2016 174,073,931 51,971 2.80 17.5k 17.3k 2015 188,722,901 55,489 3.08 15.6k 15.7k 15.3k 15k 2014 153,383,876 45,151 2.76
12.7k 2013 143,588,688 42,757 2.73 12.5k 64% 11k 2012 128,650,352 35,063 2.26 10.3k 10k 2011 122,272,565 37,973 2.76
2010 113,077,208 38,289 3.21 7.5k 32% 29% 5k 28% 26% 27% Travel by mode since 2010 Miles by air Miles by rail Miles by car 12M 2.5k 200M 4M 9% 5% 2% 3% 0k 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 100M 2.5M 8M
30 SASB: TC0401-03 31 Impact Impact
reduction in publishing operations emissions
Publishing operations Product transportation Office paper 35%Our data center in upstate New York has a rainwater In 2017, we published two magazines — In 2017, Bloomberg emissions from non-publishing- Paper consumption by our internal print shops capture system that utilizes rainwater in its HVAC Bloomberg Businessweek and Bloomberg Markets related logistics were 2,524 metric tonnes, a 4.4% and office use represents just 0.4% of Bloomberg’s system, saving us more than 5 million gallons — consuming more than 12 million pounds of decrease from the prior year and a 24.4% reduction emissions, but it is still an area where we can mitigate of water annually. paper; we distributed almost 36 million copies from our 2007 baseline. Our logistics team works our environmental impact through responsible of our magazines globally. Publishing operations with our vendors to manage the environmental sourcing and printing. Specifically, office paper Waste Waste sent to landfills from Bloomberg facilities generated 18,753 metric tonnes of CO2e, or 10.3% impact of our emissions related to shipping B-Units, consumption has seen a 60.5% per-headcount of total company emissions. This represents a flat panels, keyboards, PCs and other customer- decrease and 21.9% reduction in total usage since resulted in 1,723 metric tonnes of CO₂e in 2017, 35.3% reduction in emissions versus the prior year, facing products by using less impactful shipping 2007. We implemented a major office printing a 5.5% increase over the prior year. On a per- the result of employing a number of strategies to methods, like ground and sea, whenever possible. infrastructure upgrade in 2017, which included a employee basis, this represents a 5.3% increase reduce the environmental impacts of our publishing Our purchasing department looks to source broad printer reconfiguration and the roll out of over 2016, but still a 64.7% reduction from 2007. operations in addition to printing all magazines materials locally whenever possible to reduce “Follow-Me Printing” to key offices globally. With This is attributable primarily to a move to zero- on Forest Stewardship Council (FSC)-certified paper. transportation distances; our average shipment “Follow-Me” technology, employees scan their landfill, waste-to-energy disposal of all our waste distance has declined 18.7% from 2007. Shipping badges on any printer to access their print jobs. in New York City and London and composting In 2017, we transitioned a third print magazine, by Bloomberg Ink, our internal print shop, increased Early results show a savings of 5% in print jobs, in 20 global locations, reaching 76.6% of our Bloomberg Pursuits, to a digital-only publication, 23.7% in 2017 from 2016, a result of increased with the overall initiative yielding an annualized cost employees. Our overall diversion rate increased while Bloomberg Businessweek’s digital printing activity. avoidance of approximately $1.1 million. to 84%, progressing toward our 2020 target of 90% subscription percentage increased by 10%. diversion. To reduce waste from snack wrappers, Bloomberg Businessweek also printed 47 issues Supply chain Water we partner with TerraCycle at some of our offices instead of 48 and reduced the average print run Our Supplier Code of Conduct and Sustainable We look for opportunities to reduce water to “upcycle,” or reuse discarded wrappers of each issue by 26.4%. Bloomberg Businessweek Operating Guidelines ensure that we obtain consumption in our facilities. Bloomberg in new products. In 2017, we upcycled 89,023 moved to regional printing and distribution goods and services from vendors that operate used an estimated 122 million gallons of water snack wrappers, or 1,804 pounds of waste. in Europe and Asia, which, combined with these in a responsible and sustainable manner. In 2017, in 2017, largely driven by our employees and print reductions, reduced its distribution we updated each of these documents; we plan facilities. We reduce water consumption through Additional operations information and data are available at emissions by 65%. on implementing our updated guidelines in 2018. our comprehensive LEED strategy for new and bloomberg.com/impact. We also strive to reduce the environmental impact existing buildings, where efficient fixtures have of our equipment, including its design, durability, a projected 37% savings over traditional fixtures. recyclability and water use. Bloomberg conducted life-cycle assessments of its customer hardware in 2011 and 2015; we plan to do so again when the Annual employee paper usage next iterations of our equipment come to market. Pounds of office paper used per year, per all-in employee
2017 magazine impact 35 Distribution impact per issue 30 Magazine Paper usage % change vs. Paper CO e % change vs. Distribution % change vs. 2 25 per issue (lbs) 2007 per issue (kg) 2007 CO2e per 2007 issue (kg) 20
Bloomberg 0.32 (7.51) 0.42 (19.71) 0.04 (62.89) 15 Businessweek* 10 -60.5% since 2007 Bloomberg 0.41 (58.02) 0.55 (63.55) 0.26 (71.80) 5 Markets 0
* Bloomberg Businessweek comparisons to 2010, first full year Bloomberg published this magazine. 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
32 GRI: 102-9; 102-11; 204-1; 301-3; 303-1; 306-2; G4-EN1 SASB: TC0401-02 33 Impact Impact
Performance summary by department 45% CO2e 834,209 MT $103M 2020 carbon reductions/targets Intensity Avoided CO e Cumulative net Percentage reduction in CO2e emissions and emissions 2 From 2008–2013, our emissions reductions were intensity by department (2017 vs. 2007 baseline) with reduction from BAU avoided costs* reliant on demand-reduction initiatives, achieving (2008–2017) cumulative cost avoidance since 2008 energy efficiencies and infrastructure upgrades Absolute Intensity Cost avoidance *Net avoided costs include additional cost avoidance of $17.9M and expenses in key facilities globally. Since 2014, our focus has of $17.5M not represented below shifted to an aggressive pursuit of renewable energy opportunities. The historical impact of our early initiatives plus our growing renewable energy portfolio has broadened our emissions reductions -10 % $20.8M Facilities–Offices -48% and will allow us to achieve our goal of 20% absolute emissions reduction by 2020. -6%
Information Systems $24.6M -48% 2020 emissions reductions: -24% $9M Facilities–Data Centers -73% Absolute and from Business as Usual (BAU)
9% Engineering Systems $0 -73%
2008–2013 reductions 400K -1% Demand reduction 94.5% Networks $0 -30% Solar/wind 1% 350K -23% Infrastructure 4.8% $550K 40.7% Facilities/ Broadcast -23% 300K Other renewables 0.0% technology 4.8% Publishing Employee 125% $32.4M 250K operations Business Travel 14% 3.1% Infrastructure -51% 200K Bloomberg Businessweek $2.9M -28% 2014–2020 reductions 150K -0.3% Travel/other -78% Demand reduction 83.6% Bloomberg Markets $10.2M -82% Other renewables 0.5% 100K 13.3% Renewable Solar/wind 10.5% Identified projects, if completed, energy 14% $498K will offset growth and result in Bloomberg Ink -19 % Infrastructure 5.5% 50K a 25.3% reduction in emissions* vs. 2007 baseline -36% 0 Asset Management $2M -59% 2017 2018(P) 2019(P) 2020(P) *Represents market-based emissions that include renewable energy projects. -92% $0 Pantry -96%
-21% $0 Waste -60%
125% 100% 75% 50% 25% 0 -25% -50% -75% -10 0 %
34 35 Case study
London calling. 1
4
3
Our new European headquarters, located in the heart of the City of London, is a place that is as 2 innovative and forward-looking as our company. Sustainability is central to its design.
Our founder Mike Bloomberg conceived the building 5 project a decade ago as an opportunity to push 6 beyond the conventions of current office towers to create a building that would maximize the well-being and productivity of our employees while minimizing the company’s impact on the environment.
Where sustainable technologies didn’t exist, we invented them, collaborating with experts around the world to source, test and manufacture new materials and designs. During construction, we experimented with new, data-driven waste-minimizing processes.
Our 4,000 London employees began moving into the building in October, and the space is proving to 1 Roof rainwater collection 4 High-tech toilets be as sustainable and energizing as we had hoped. We collect, treat and reuse rainwater from the roof Our airline-style vacuum toilets use 75% less water and gray water from sinks, saving 25 million liters than typical toilets. The building uses 73% less water and 35% less of water a year. energy than a typical office building of its size. 5 Recycling station Independent sustainability ratings agency 2 LED lighting Our bins encourage separation of waste into BRE Global has awarded it a BREEAM score 500,000 LED lights are integrated into the ceiling, recyclables, general waste, food waste and of 98.5%, the highest design-stage score ever using 40% less energy than typical office fluorescents. compostables, paper waste and coffee cups. Coffee achieved by a major office development. cups are sent to a specialist mill that converts the 3 Smart airflow paper into high-grade paper and transforms the CO2 sensors on each floor allow us to adjust airflow plastic lids into new plastic products. in response to the number of people in different zones of the building throughout the day. We expect 6 Power generation center this system to save 600—750 MWh of power Our on-site power-generation center converts gas per year, avoiding 300 metric tonnes of carbon to power in an efficient system. We then use the waste emissions annually. heat from the power-generation process to heat and cool the building. Impact: Carbon emissions reduced by an estimated 500—750 metric tonnes Grid design inspired by the London of CO2 annually. building ceiling
37 Case study
Hypertrichoid ramp Integrated ceiling Natural ventilation When the building is in natural ventilation mode, Our innovative ceiling tiles feature 2.5 million When the weather is mild, we can turn off our the six-story ramp acts as a chimney, drawing polished aluminum “petals” that save energy by mechanical ventilation and cooling equipment, air from the atrium up and out through the roof. reflecting heat and light and circulating air and open the bronze window blades shading the also absorb noise. windows and ventilate the building with natural cool air, significantly reducing energy consumption.
Green wall Arcade The “living wall” in the Bloomberg We seized the chance to contribute to pantry is a space for impromptu meetings the dynamic energy of our new London and social interactions. neighborhood by creating public spaces around the building.
38 39 Impact Impact Global reach. Local impact. People highlights. 145,765 2,300 Volunteer Hours Nonprofit Partners
12,041 83,768 Supporting the next generation Investing in the arts Unique Volunteers Individuals and To shape the future Bloomberg Startup, our global education Our new European headquarters in London Families Served engagement and mentoring program, is located on the site of the ancient Roman Temple and drive breakthrough offers a wide range of activities designed and of Mithras. When we acquired the land, 52 92 led by our employees and in collaboration with we committed to reinstate a publicly accessible Countries and Regions Cities Engaged performance, we rely nonprofit partners to support academic achievement reconstruction of the temple in its original spot. and prepare students for further education and In November 2017, we opened the London on creative, collaborative career development, especially in STEAM (Science, Mithraeum Bloomberg SPACE underneath 565,767 $915,700 Technology, Engineering, the Arts and Mathematics). our building. This new cultural hub showcases Pounds of Garbage Disaster Relief employees with diverse Bloomberg volunteers teach Startup workshops the temple, a selection of the 14,000 Roman artifacts and Mulch Collected Funds Raised for students in coding and Java, business journalism, that we unearthed from the site and a series project management and robotics, among other of contemporary art commissions. Since its opening, 15,360 10,000 KM Run / Biked / Walked Students Served experiences and a global areas. In 2017, Bloomberg’s mentor network grew the museum has booked more than 24,000 for Charity outlook. We inspire our to 3,650 employees in more than 40 cities around individual and group visits. We also re-launched the world. We created a pilot career-readiness the Bloomberg Arts Club, which provides our clients 568 75 program with the Fortune Society, establishing with special access to cultural events and BMIA Journalists Local Parks and workforce by providing a fellowship for justice-involved individuals returning opportunities at some of the most exciting Trained Waterways Cleaned to the workforce that consists of a 12-week full-time institutions around the world. opportunities to make position at Bloomberg. In addition, employees 3,650 20,884 funded 35 college scholarships for high-achieving, Responding to natural disasters Employee Mentors Articles of Clothing a difference and low-income high school seniors through the In 2017, climate-related natural disasters disrupted Collected for Charity Bloomberg Startup Scholars initiative. life in many parts of the world. Bloomberg enhancing their impact employees responded to extreme flooding 1,861,699 35,408 Preserving green spaces in South Asia, drought and famine in Africa, Meals Served / Care Packages More than 2,000 employees dedicated more than wildfires in Europe and the U.S. and hurricanes Prepared Assembled in the communities where 12,000 hours of hands-on action supporting local and earthquakes in North America by raising more greening efforts in 21 cities around the world in 2017. than $915,000 for 15 disaster relief organizations, 73,059 8,802 we live and work. Bloomberg employees were dedicated to preserving including the International Medical Corps and the Trees / Plants Planted Arts Club Client Members and restoring our local green spaces throughout the American, British, Mexican and Portuguese Red year. In April 2017, nearly 100 Bloomberg employees Cross organizations, and assembling more than Philanthropy & Engagement and clients in Tokyo participated in a cleanup 35,000 emergency hygiene kits for hurricane 2,721 1,081 Bloomberg’s Philanthropy & Engagement program and tree planting at Mt. Fuji. In London, victims in Puerto Rico, Florida and the Caribbean. Friends and Family Animals Cared For builds on the philanthropic and service-focused Bloomberg sponsored Buckhill Meadow with the When strong hurricanes devastated the U.S. Virgin Volunteers commitment established at the company by founder Royal Parks Foundation, keeping it maintained Islands, Bloomberg stepped up, deploying what Mike Bloomberg and focuses on four key areas: and thriving throughout the year. In New York City, Forbes called one of the most dramatic examples of 1,525 257 Arts and Culture, Education, Human Services and employees helped Governors Island with a number “all-in philanthropy.” We mobilized a team of Bikes Built Arts and Cultural Sustainability. In 2017, more than 12,000 employees of major green infrastructure projects and helped volunteers to provide guidance and expertise for Children Memberships in 92 cities around the world dedicated over 145,000 create and install a new rain garden and bioswale in rebuilding for long-term sustainability, as well hours of service to helping those in need, protecting with a 500-square-foot garden to improve drainage as organizing donations of medical equipment, 4,998 2,400 the environment, strengthening our communities across 5,000 square feet of the urban farm. food and supplies to the island. Potential Lives Saved Hours of Pro Bono Through Blood Donation Legal Services and volunteering for a wide variety of community-based efforts. 12,189 2,500 Hours Spent on Hours of Pro Bono Environmental Stewardship Coaching for in Local Communities Small Businesses 40 41 Impact Impact
Diversity & Inclusion Amplifying women’s voices Supporting Brazil’s future workforce Our Diversity & Inclusion initiatives help us promote D&I focus areas Women’s opinions are strikingly under-represented More than 50% of Brazil’s population is black or and develop a work culture that values difference, in media coverage of hard-news subjects; according Afro-descendant, yet just 11% of black Brazilians fosters inclusion and encourages collaboration to a Grattan Institute study, women wrote just 11% are managers and executives at global companies to drive business results. We work across regions of commentaries on the economy. To increase the based in Brazil. One way to close this gap is to to ensure we are addressing local priorities and number of female experts and officials we feature provide diverse students with language tools and are consistent with local cultures. We focus on in our stories and broadcasts, the Bloomberg News support. In 2017, Bloomberg joined with Goldman education, recruiting diverse talent, supporting team in our Asia Pacific region has brought Sachs and Linklaters to help improve social mobility Inclusive culture business innovation and leveraging partners new urgency to our Women’s Voices project. for low-income black students in Brazil through the & education and research to drive our mission. Over the past year, we made significant progress LIFT (Language, Inspiration, Focus, Transformation) in finding more female experts and featuring their Initiative. Bloomberg employees help recruit and Building an inclusive culture voices on the Terminal and on TV, improving the select college students from greater São Paulo We foster an inclusive culture in a number of ways. Business Diverse relevance and quality of our coverage. We’re now for two years of English classes and mentoring Employees can participate in various initiatives, innovation talent formalizing the program globally, building out the and serve as volunteers in the program, working including mentoring programs, and more than definitive database of women experts in business alongside a variety of local partners. The second LIFT 200 employee events per year that facilitate and finance and creating new tools to track their program class (2017—19) is twice as large as the first. dialogue and share research and thought leadership appearances across our platforms. The News team Bloomberg is working to bring in more corporate broadly. To drive diversity and inclusion principles has set ambitious goals for increasing the number partners and expand the program even more to show and behaviors into all company processes, Partnerships of women who appear on our broadcasts and now the business case for developing Bloomberg has incorporated diversity and inclusion & research requires that there‘s at least one female panelist on black professionals. objectives into the performance evaluations of any panel our journalists participate in. Also in the all our managers. We also offer eight employee- works: Bloomberg-funded media training for women run networks, called Bloomberg Communities, executives at financial firms to help Bloomberg TV structured around different dimensions of diversity meet the targets we have set. while leaving room to explore interconnected identities. Employees across all businesses can join our Abilities Community; Black Professional Communities Community; Latino Community; LGBT and Ally 5,721 members in 2017 (4,962 in 2016) Community; Military and Veterans Community; Pan-Asian Community; Women’s Community; Community and Working Families Community. Each Community members develops a business plan for the year to show increased by how it will support company goals in five key areas: commercial impact, recruiting, marketing and communications, leadership development 15% and community engagement in partnership with Philanthropy & Engagement. Communities are a key part of our diversity and inclusion strategy because they give employees the opportunity to solve problems, innovate, and develop and showcase their leadership skills regardless of seniority or managerial status.
and represent 32% of total employees
42 GRI: G4-56; G4-M3 SASB: SV0302-06 43 Case study Case study Investing in the future.
Why sign the Principles for Why haven’t more corporate pension and This year, Bloomberg Responsible Investment (PRI)? retirement providers signed on to the PRI? We think it’s the right thing to do for our plan Studies show that investing in sustainable companies became the first participants. We have employees who are interested leads to better outcomes over the long term, in investing in funds that align with their beliefs. but many investors still worry that responsible U.S.– domiciled corporate That prompted us to add an ESG-themed equity investing could limit market performance. As fund to our menu of U.S. retirement plan investment retirement plan sponsors, we have a fiduciary retirement plan sponsor options in 2015. Signing the PRI also showcases responsibility to make decisions that are in the our efforts in this space to the wider investor plan participants’ best interest. At Bloomberg, we to incorporate the United community and beyond. firmly believe we can balance the concerns around sustainable investing. Every decision we make, The PRI has been around for more than a decade. including adding or removing funds that consider Nations’ six Principles Why not sign on earlier? ESG factors, is done solely with the interests of Bloomberg has actually been a PRI signatory since the plan participants in mind. Any ESG-themed for Responsible Investment 2009, but as a “service provider,” an organization fund must go through the same rigorous selection that offers products and services to asset owners and evaluation process as all our funds before into its investment practices. and managers. Joining the PRI as a “retirement plan it can be added to our plan lineup. sponsor” is an extension of this commitment. What impact are the principles having What are Bloomberg employees’ ESG We've integrated environmental, social and at Bloomberg? investment options? governance (ESG) factors into our retirement We integrated ESG considerations into our U.S. employees can choose to invest some plans and processes, including adding an 401(k) management and monitoring decisions or all of their retirement plan investments ESG-themed equity fund to our U.S. 401(k) plan before we signed the PRI as a retirement sponsor. in the Parnassus Core Equity Fund, a fund that options. This helps us provide more diverse The principles have reinforced our commitment includes companies with positive performance and sustainable retirement benefits for to transparency and discipline in how we monitor on business ethics, environmental impact and other our employees. and assess our investments. We updated our factors. Interestingly, the majority of our active investment policy statement to clearly state our plan participants in this fund are millennials. approach to funds that have ESG factors, including Additionally, we assign a sustainability rating our standards for considering funds. We also have to all core investment options in our plan lineup, a renewed focus on increasing awareness and allowing U.S. employees to further consider employee education around sustainable investing. sustainability factors in their investment decisions. The six Principles for Responsible Investment
Incorporate Be active Seek Promote Work together Report ESG issues into owners and appropriate acceptance and to enhance on activities investment incorporate disclosure on implementation effectiveness and progress analysis and ESG issues ESG issues of the principles in implementing towards decision-making into ownership by the entities within the the principles. implementing processes. policies in which investment industry. the principles. and practices. we invest.
44 4445 GRI: 102-12; 201-3; 401-2 About this report.
Bloomberg L.P.’s 2017 Impact Report provides Sustainable printing a brief overview of our efforts to promote a more We took a number of steps to reduce the sustainable economy through our products, environmental impact of this report. The cover our operations, our people and our partnerships, of the report was printed on Neenah Classic Crest with a specific focus on 2017 highlights. Digital Recycled 100 Bright White 80# Cover and the inside pages were printed on Neenah Classic Crest The report features content about business, Digital Recycled 100 Bright White 80# Text. environmental and social issues that have a direct This paper is FSC-certified, contains 100% PCW and significant impact on our company, and is manufactured using renewable biogas energy. our employees and/or our strategic partners Please recycle this report. as well as issues that our organization has a unique opportunity to influence. We identified these What do those numbers on the bottom issues through a materiality assessment we initially of the page mean? conducted in 2015. Where the report fulfills specific GRI or SASB standards, we note the standard at the bottom Our business units and operational divisions of the page. provided content and data for this report. The annual data presented here and in our 2017 Impact Report online covers our 2017 fiscal year (January 1 to December 31, 2017).
This report has been prepared in accordance with the Global Reporting Initiative (GRI) Comprehensive Option (GRI Standards Content Index and G4 Media Sector Supplement); the Sustainability Accounting Standards Board (SASB) Standards and its industry-specific accounting standards; and the Financial Stability Board (FSB) Task Force Learn more: bloomberg.com/impact/london ceiling tiles at Bloomberg’s European headquarters. energy–saving the by inspired pattern Cover on Climate-related Financial Disclosures (TCFD) guidelines.
Bloomberg is a signatory of the United Nations Principles for Responsible Investment (UN PRI) and the UN Global Compact; we believe that sustainability presents a market opportunity.
The sustainability data, disclosures and claims in this report have been verified by Cventure LLC. Our verification statement is available online.
For more in-depth content and additional data across our Product, Operations and People, including our GRI and SASB frameworks and other supplemental information, visit bloomberg.com/impact.
46 GRI: 102-12; 102-49; 102-50; 102-54; 102-56; 103-1