Where next? Corporate Responsibility Report UK 2006/07 Contents

02 Introduction by , CEO 04 Ethics and values 06 Stakeholder engagement 08 Socially significant products 10 What matters to our customers 14 Environment 18 Our network 20 Mobile phones, masts and health 22 Our people 25 Supply chain standards 26 Social investment 28 Independent assurance 29 Performance and data summary 30 Progress against commitments

Welcome to the Vodafone UK Corporate Responsibility (CR) Report 2006/07. In this report, we explore the issues that matter to our business and our stakeholders. We report our progress and achievements, as well as the areas where we still have more to do. We think it is important to give an account of our progress to date – but we don’t want to be backward looking. Where next? is the theme of our report this year and, throughout, we have explored our intentions for the future and the challenges and opportunities that lie ahead. “I look at everything that Questions & Answers with Is Vodafone doing anything to help people What is Vodafone doing to tackle Nick Read, Vodafone UK’s CEO in the UK adopt more sustainable lifestyles? climate change? passes my desk through I’m hugely excited about the potential of This year has seen a major shift in attitudes to several lenses: how it affects Why is corporate responsibility important communications technology to create social climate change. It is now widely recognised as for Vodafone UK? and environmental benefits for the UK. one of the most urgent global issues on which our customers and our Our goal is to be the UK’s communications everyone – including individuals, governments With the right technology, people can work leader. To win in the marketplace, we need to and businesses – has to act. employees, and what the create a brand that customers feel an emotional effectively and securely from anywhere – they financial implications are. connection with; that employees want to do don’t have to be in the office. We are researching We’re working hard to minimise our impact on And importantly, I use a their best work for; and that is widely recognised and launching a range of mobility products that the environment. For example, we have reduced as a leader for the quality of its products and make remote working easier. This can reduce our paper consumption by 21% over the last year, corporate responsibility lens. services and the contribution it makes to the environmental impact of business travel, and 55% of waste from our Newbury and Theale Will this protect and build our society. Corporate responsibility (CR) supports keep people closer to their families and allow offices was recycled – a good result against an all these goals, and helps to give energy and companies to improve productivity and reduce industry figure of between 20% and 32%. reputation? Is this aligned with office space. Given that offices and business purpose to the business. We know there is more we can do in our travel account for a significant proportion of the our goal to be a leader in operations and to help customers to reduce What does CR mean to you? UK’s total carbon footprint, this could have major their impact so we’re currently reviewing our corporate responsibility?” It has a number of components. It means being environmental benefits. Vodafone has nearly a good citizen in all areas of our business. strategy in this area. Nick Read, CEO, Vodafone UK 50% of the market share among enterprise mobile We need to embed CR into our thinking so all customers in the UK (from large corporates to You may be entering into an agreement to decisions take into account opportunities to small businesses) so this is a major commercial share your network with . What are enhance our reputation. It is also one of the ways opportunity for us. the CR implications of this change? we differentiate Vodafone from our competitors. The proposed joint venture may enable us to Healthcare is another area that could benefit. For example, we are one of the strongest significantly reduce the number of masts We’re currently testing a device that would allow companies on content standards and child needed in the shared network. This could be doctors to process patient records on the move. protection, which adds value for our customers. very beneficial in environmental terms – Other potential services include remote reducing energy use and the visual impact of I look at everything that passes my desk through monitoring for patients with chronic illnesses or masts. However, there may be some difficult several lenses: how it affects our customers and a text message service that reminds people decisions to make on the employment side. our employees, and what the financial about their doctor’s appointment. implications are. And importantly, I use a CR We always try hard to minimise job losses and Nick Read lens. Will this protect and build our reputation? Mobile technology can also facilitate access to we will be open and transparent with any Chief Executive Officer Is this aligned with our goal to be a leader in CR? banking services. Many foreign workers in the employees affected by the network share. UK regularly send money back to their families – Vodafone UK How will you continue to protect young What do your employees think of CR? and that’s a really important source of income in people as you introduce new mobile Do they understand it, and is it important developing countries. We’re working with internet services? to them? Citigroup on a new service enabling people to We are opening up the true internet experience These issues are very important to employees send money via their mobile phone – making it to Vodafone customers – giving them access to although they may not talk about them under easier and quicker. It is now being tested in the sites like MySpace and YouTube. This is a great the heading ‘CR’. Our people expect us to UK and Kenya, and we hope it will enable more business opportunity for us and something engage with social issues and show leadership. people to share in the benefits of globalisation. They are passionate about our brand and we expect to be very popular with customers. reputation, and would be very upset if we were But we need to do this responsibly and ensure ever seen to compromise our standards. that child protection remains a priority. I’m frequently approached by employees with We are currently a leader in this area and need questions and ideas on CR issues. to ensure that any new online services live up to our standards. We would like to know what you think about our progress and plans. Please email your feedback, praise or criticism to [email protected]. This report covers our activities in the UK. To find out more about our worldwide responsibility programme, please see the Vodafone Group Corporate Responsibility Report 2006/07 available at www.vodafone.com/responsibility. We work hard to make sure We report progress to the UK senior management In 2006/07, this included: team every month and to Vodafone Group • Induction training on our business values, everyone at Vodafone quarterly. The Vodafone UK CR team meets available for new employees through an understands and implements regularly with the Group CR Director. CR interactive e-learning programme managers from all Vodafone operating companies • Regular CR features on our intranet site and our values. attend a global CR conference twice a year to responses to press coverage of Vodafone share best practice. • CR targets being built into the performance dialogues and personal objectives of all Our vision and values See www.vodafone.co.uk/responsibility line managers Being a responsible business is one of our six for more information. strategic goals. We have established performance • Regular CR campaigns, eg 225 employees indicators and commitments on key CR issues to attended a special screening of Al Gore’s climate help us to achieve this goal. These are included Materiality change documentary, ‘An Inconvenient Truth’ on page 30 and throughout this report. CR covers a very wide range of issues. We • Encouraging employees to volunteer their manage and report our progress on the issues of time to charity through the Let’s Give! website. most significance and relevance to our business We assess our progress on embedding CR CR management and to our stakeholders. CR issues and strategy are managed at both through our employee survey. In 2006/07, 71% Group and operating company level. Vodafone Group has determined the most of employees said they had clear opportunities material issues for the Group through extensive to be socially and environmentally responsible Vodafone Group stakeholder engagement. In addition, we use the at work, compared with 76% in 2005/06. We will Vodafone Group sets policies and goals to drive following sources of information and our undertake focus groups to gain a better improvements across all Vodafone companies. knowledge of our business to set priorities for understanding in this area. We have set a target Some CR issues are also managed at Group level, Vodafone in the UK: to raise awareness and increase employee for example supply chain standards. • Stakeholder feedback involvement in appropriate CR activities. Vodafone UK • Media coverage Vodafone UK implements Group strategies, • CR-related enquiries and comments from taking into account UK-specific issues and local customers and other stakeholders stakeholder needs. We also set UK CR policies, • Discussions with Vodafone Group targets and key performance indicators. • The assurance process for our CR report. CR is managed within our four business functions: consumer, enterprise, technology Embedding CR and support. Oversight is provided by our CR We need our employees to understand our Commitments team, which also co-ordinates communication CR priorities and live up to our values, so internal communication is very important. • Improve our data collection systems in on CR issues. Matthew Brearley, Human line with Deloitte’s assurance Resources Director, is the Vodafone UK Board recommendations by March 2008. member with responsibility for CR. • Develop and implement an employee engagement strategy to raise awareness and increase employee involvement in appropriate CR activities by March 2008.

Our vision and values Where do we want to be? What do we need to do to get there? What drives us? Our vision Our global strategic goals Our values To be the world’s mobile communications leader • Delight our customers We have four core values, described internally as Our mission • Build the best global Vodafone team ‘Passions’. One of our values is ‘Passion for the World To enrich customers’ lives through the unique • Leverage global scale and scope Around Us’, which is about helping people lead power of mobile communications • Expand market boundaries fuller lives through the services we provide and the • Be a responsible business impact we have on the world around us. • Provide superior shareholder returns For customers For our people For results For the world around us Strengths included: Opinion leader research • Held a presentation for the Department • Responsible advertising We held two focus groups with 14 CR opinion of Trade and Industry (DTI) on employment • Preventing children accessing inappropriate leaders to get in-depth feedback on our CR best practice. How we are responding material on mobile phones. performance and reporting. These are some of the ways we are We seek to inform government policy and responding to stakeholder feedback: We talk to a wide range of stakeholders as part Areas for improvement included: What we found legislation on issues that affect our business. of normal business practice. These include • The environmental impact of our products Opinion leaders expect Vodafone UK to be a In 2006/07, our activity focused on a number Socially Exploring new products and significant services that benefit our community representatives, customers, employees, and operations leader in CR. They associated three factors with of issues including: investors, local and central government, the products customers, the environment • Communication on health and radio leadership: a strong climate change strategy; • The role of the mobile industry in preventing and wider society. Dialogue with stakeholders media, pressure groups, regulators, residents frequency emissions from mobiles and masts. finding new uses for mobile technology that and responding to mobile theft near our base station sites and offices, and create social and environmental benefits; • Online child protection and the prevention Responsibility Extended our content control to customers standards to mobile social helps us to understand suppliers. We also conduct research to help us and embedding corporate responsibility. Most of mobile bullying Brand Health Tracker networking sites. to understand stakeholder views. • Data retention and privacy issues and prioritise corporate Our Brand Health Tracker monitors public felt that Vodafone has made good progress on • Implementation of a single non-emergency Network Sent joint network roll-out Information on engagement with investors perceptions of Vodafone and our competitors. embedding but should do more on the other responsibility issues, and number (101) – to enable the public to report roll-out and plans to 431 authorities and is included in the Vodafone Group Report at Results from 2006/07 showed that 19% of two factors. anti-social behaviour. health held 40 follow-up meetings. to identify new challenges www.vodafone.com/responsibility. respondents feel Vodafone is responsible and Climate We aim to reduce energy use by and opportunities. fair in the way it does business (the same as last Customer research We are members of several industry associations change 12.5% by 2009 against 2005/06 Ipsos MORI research year). Eleven per cent feel that Vodafone See page 10. and some dialogue with political stakeholders is impact levels and are sourcing electricity We commissioned a research survey by Ipsos behaves responsibly towards the environment, carried out by these organisations on our behalf. from renewable sources. local communities and all parts of society We monitor this activity closely to ensure that it MORI in March 2007 to assess views of our Environment Achieved ISO14001 accreditation (compared with 10% last year). We believe these Employee surveys reflects our policies and values. A Vodafone CR performance among consumers, non- See page 22. for our whole business. governmental organisations (NGOs), suppliers and scores, which are similar to other companies in representative attends most industry association Zero landfill of network waste. our sector, reflect low awareness of the work we meetings with politicians and all written journalists. Eighty-five per cent of social NGOs Handset Collected 235,000 handsets, are doing. We are looking at ways to improve our materials, meeting agendas and briefing notes said that Vodafone takes its responsibilities to Public policy recycling below our target of 250,000, society and the community seriously. This figure communication on CR issues with consumers. We meet regularly with politicians and are approved by Vodafone before they are used. but an increase on last year. government officials, and collaborate in many was 42% for customers and only 17% for Employees Diversity specialist appointed How we compare with other companies government–industry initiatives on CR issues. environmental NGOs which are concerned about BT, O2, Orange, T-Mobile and Virgin Mobile (%) Responding to feedback to promote ethnic, gender and

electronic waste and network development. 29 It is important that stakeholder feedback is age diversity at all levels. “When new products and A Examples from 2006/07 include: 15 reviewed and used to inform our decision making. services throw up potential Vodafone 19 • Continued participation in the Home Office Supply chain Launched ‘Speak up’, a 11 privacy issues, Vodafone 18 taskforce on child protection and the internet confidential whistle-blowing B Stakeholder feedback is reported monthly to the discusses these with us early 9 • Developed the Mobile Industry Crime system for suppliers. C 17 Vodafone UK board and to other managers where on. I’d say that Vodafone 10 Reduction Charter with the Mobile Industry Social Commissioned research to D 16 relevant. It is considered in our policy-setting was among the best of the 9 Crime Action Forum (MICAF) investment improve the effectiveness of E 13 processes and influences our CR focus areas. operators in this respect.” 7 • Provided written briefings for MPs on issues our social investment. 0 1020304050 Phil Jones such as our potential network share with “Today, environment is the Is responsible and fair in the way it does business Information Orange and the launch of MySpace and big issue. Vodafone has to do Behaves responsibly towards the environment, Commissioners Office local communities and society YouTube on Vodafone live! more than tick boxes – now is Source: Brand Health Tracker • Took part in an Enquiry on Vulnerable the moment to act.” Customers held by the All Party Parliamentary “Vodafone needs to address the frequency Mike Grenville Group on corporate social responsibility (CSR) of handset turnover and increase reuse – 160 Characters • Hosted an open day for Home Office officials “You are not just engaging with not just recycling.” to meet members of Vodafone UK’s easy and positive people. management team Tom Berry I find this very reassuring.” Forum for the Future John Walker Westminster City Council

“I was impressed with the section on embedding. I like that CR is one of the “You need to give yourselves a harder six strands of your strategy time on consultation. You should engage more with communities, “I felt that the commitments were and that it is integrated into “You should educate customers that changing especially at the pre-planning stage probably not challenging enough because supplier selection.” their handset every year is contradictory to and involve them in finding a solution.” you are meeting too many of them.” Tom Wills-Sandford sustainable development.” Graham Stallwood Ellie Gray Intellect Deborah Evans The Royal Borough of Windsor RNID Lloyd’s Register Quality Assurance and Maidenhead Mobile technology can have We are exploring new products and services Reporting crimes and emergencies via text We are developing products and services that benefit our customers and wider society. Vodafone UK is preparing to trial an SMS 999 to facilitate flexible working. economic, social and This section profiles a few examples. More scheme for customers who have a speech or For example, with Vodafone Secure Remote Headlines environmental benefits. information is available in the Vodafone Group hearing impairment. The scheme will allow Access, our customers’ employees can connect report at www.vodafone.com/responsibility. pre-registered customers to send an SMS instead to their company IT network and databases • Conducted research into the needs of It enables people to of making a voice call if they need to dial 999. totally securely at all times. visually impaired customers. Vodafone is the first mobile operator to commit • Developed mobility services that facilitate communicate more easily Accessible products and services International money transfer service to the scheme. flexible working for our business customers. We offer customers a range of products that Vodafone Group is working with Citigroup to and flexibly both at work • Trialling money transfer service to benefit and in their personal lives. make mobiles more accessible for people with enable people to send and receive money developing countries. disabilities and the elderly. Services with social value internationally via their mobile phone. Many • Tested new anti-bullying software. It facilitates remote working foreign workers in the UK regularly send money These include: Services for corporate customers back to their families. This is a significant source and makes it easier for people • Speaking Phone – our phone for the blind and We create bespoke services for business and of income in many developing countries but it visually impaired public sector customers, often in partnership with to get help in an emergency. can be difficult and expensive for individuals. • Mobile Textphone – a simple device that specialist service providers. These are designed It can help businesses to enables deaf and hearing-impaired customers to help customers to increase their revenue or The new service being trialled enables customers increase their productivity, to make and receive calls in text format. reduce costs. In addition, many services help in the UK to send money via their mobile phone customers to achieve non-financial benefits or a dedicated website to a mobile in Kenya. In June 2006, Vodafone UK commissioned a and friends and family to such as better employee engagement, improved The recipient receives notification by text research project to explore whether our Speaking safety or a reduced carbon footprint. message and can withdraw the money at a local keep in touch. Phone is meeting the needs of the blind and mobile retail outlet. visually impaired. People interviewed preferred Examples include: the special features to be made available in • Network Rail, the UK’s rail infrastructure New uses for the paging network standard handsets rather than one designed company, uses Vodafone SIM cards to remotely We are exploring a range of potential new specifically for them. monitor the temperature of rail tracks and products and services that use the paging detect problems such as overheating network. This work is in its early stages but could We are excited about the potential We plan to identify a replacement for the or flooding, which contributes towards the include devices that: of mobile technology to contribute Textphone and we are also exploring the benefits company’s safety programmes • Help customers to monitor energy use in to efforts to tackle climate change. of video-phoning for sign language users. • One of our transport services customers uses the home We expect mobility services – that facilitate flexible working styles – We are setting up customer service teams trained Vodafone SIM cards in the fuel tanks at its • Remind customers to take their medication to become an increasingly to help customers with accessibility needs. depots to monitor the fuel use of individual • Automatically alert carers if an elderly relative important area of our business. During 2006/07, 20 employees in customer buses. We are helping the company to has a fall or needs help. service received accessibility training to help them develop a system to monitor how individual Anti-bullying technology to understand customer needs and recommend vehicles are driven and to ensure that drivers Last year, we researched the effectiveness of a the best accessibility products. are fuel-efficient. piece of software developed by 2ergo (a specialist We have recently updated our special needs Mobility services communications company) in a customer website, see Mobile technology makes it easier for people to school. The software allows pupils to report www.vodafone.co.uk/specialneeds. work flexibly – from home or when on the move. bullying anonymously. We plan to continue to This can have financial, cultural and trial this system at another school later this year. environmental benefits for our customers. For example, companies with a high percentage of flexible workers can reduce office space – cutting costs and energy use, and improving employee work–life balance. Mobile technology is changing Customer satisfaction sharing site, on Vodafone live! Our customers Mobile advertising Outsourcing Pricing Our Customer Delight Index (CDI) measures will be able to download the 100 most popular The amount of advertising on Vodafone live! will Some customer data is managed and stored Prices for mobile phone services can be rapidly. Our customers can levels of satisfaction and dissatisfaction among videos on YouTube from their mobiles. increase over the next year with adverts for our by suppliers on our behalf. We have put complex. We take continual steps to make processes in place to ensure that suppliers now use their mobiles to keep consumer and business customers. It is run by We have worked with MySpace and YouTube mobile TV service. Advertisements will also our pricing clearer and to deliver more value meet our privacy requirements. an independent research company and tracks to design mobile-friendly versions of their appear when downloading some types of content. to our customers. in touch, surf the internet, feedback from Vodafone customers and those sites that ensure children are protected. We are working with the Advertising Standards These include: In 2006/07, we refreshed our mobile phone price of our competitors. Employee incentive watch television and access Authority (ASA) and Yahoo!, our advertising • Standard data protection clauses and security plans and introduced new packages to improve programmes for all employees at Vodafone UK Our contract with YouTube requires them to a range of new services. supplier, to produce formal advertising guidelines. requirements in all third-party contracts value, choice and clarity for our customers. are partly dependent on meeting customer check all videos before they are posted. All advertising is reviewed by both Yahoo! and • Continual monitoring by our specialised We want them to be confident satisfaction targets. For example: On rare occasions, unsuitable material is not Vodafone before it is posted. Vodafone Group security teams. • Our £35 plan previously gave customers 275 that their privacy is protected picked up by us or the content provider. When we is drafting formal guidelines for all operating We investigate any reported breaches of our inclusive minutes. It now offers 750 minutes Content Control receive a complaint, we respond quickly and aim companies that will help to protect customers’ and that we will communicate policies and work with suppliers to improve and 250 texts Content Control is our network bar, which is in to take down inappropriate content (including privacy and uphold content standards. their performance. If necessary, we will • We simplified pre-pay pricing. Customers now with them honestly. place by default on all Vodafone phones. images and music downloads) within six hours terminate our relationship with a supplier found pay the same price regardless of the network It prevents access to 18-rated content on of it coming to our attention. We received three Privacy not to meet our standards. they are calling Vodafone live! (our mobile internet portal) and it complaints in 2006/07, which were resolved We don’t rent, sell, share or disclose customer • We simplified our pricing for calls to 08 works with our internet filter to block access to within six hours. We report illegal content to the Law enforcement agencies data to third parties for their marketing without numbers, exceeding requirements. 18-rated websites. Adult customers who want to police and illegal sites to the IWF. Mobile phone records are increasingly used in permission. Our privacy officer is responsible for use 18-rated services can have the Content criminal investigations. We have to balance our We have reduced our roaming prices by an Working with others implementing and updating our data protection Control bar lifted by proving their age. All customers’ rights to privacy with our obligations average of 40% since April 2005. 2.8 million We work with the Child Exploitation and Online standards. She reviews new products and unmoderated chat rooms are placed behind to comply with requests for information from customers also benefit from Vodafone Passport, Protection Centre (CEOP), the Home Office and services to ensure any privacy implications are Content Control, protecting children from the law enforcement agencies. which allows them to use their handsets abroad Virtual Global Taskforce. In 2006/07, we signed addressed. We have an online privacy training risks of inappropriate contact and grooming. on their home tariff for a fee of 75p per call. an agreement to work with CEOP on increasing course to help employees to understand our In 2006/07, we worked with the UK Government Our internet filter also blocks access by all child awareness of internet safety and to provide privacy requirements. and the mobile industry to implement new customers to child abuse sites listed by the CEOP with assistance on the technical aspects standards for data storage. Mobile phone records We report any significant breaches Internet Watch Foundation (IWF). of mobile phone use both in the prevention and will now be kept for a minimum of 12 months. detection of child exploitation. of our privacy policy to the Information This data will only be accessible for reasons As we extend our range of mobile services, we Commissioner. defined in the Regulation of Investigatory Powers work with content providers to put safeguards in Act, such as national security or public health. place. Our Content Standards Steering Group It can only be accessed by designated officials. reviews new products and services to assess any Implementation will be monitored by the content-related issues that might arise. In 2007, Interceptions Communications Commissioner. we are launching MySpace, the social networking website, and YouTube, the video Responsible marketing marketing, inadequate pricing information processes and procedures, and support from Our responsible marketing guidelines state that or inappropriate content. Call Centre Managers meant we achieved a very all our advertising should be legal, decent, fair significant increase on our score of 12% the and clear. In 2006/07, the Advertising Standards Theft previous year. Authority upheld complaints against two Vodafone We participate in the Mobile Industry Crime In 2006/07, 1.4 million handsets were stolen in advertisements (compared with one last year). Action Forum (MICAF) and signed up to the the UK and 250,000 Vodafone customers Both complaints related to misleading price claims. MICAF Charter in 2006. MICAF brings together reported their handsets stolen to us. Vodafone industry, the Home Office and the National has committed to blocking 80% of stolen Premium rate services Mobile Phone Crime Unit (NMPCU) on issues phones within 24 hours on the Vodafone Vodafone provides premium rate services to associated with phone crime and theft. We network and within 48 hours on all UK networks. customers such as regular news and sport updates blacklist Vodafone handsets that are reported to We exceeded this target by 17% in 2006/07. by text. Other companies use our network to us as stolen. This means that they cannot be provide premium rate services too, for example used to make calls on any UK network. Mobile ringtone downloads. operators are subject to regular independent audits on the blacklisting process. We respond to complaints about premium rate service providers, disconnecting their services Vodafone UK was last audited in February 2007 Ruth Allen Tim Yates when necessary. In 2006/07, we disconnected and achieved a 97% pass rate. Extensive training Head of Intelligence Chief Marketing Officer approximately 20 providers for inappropriate of customer care agents, a thorough review of Child Exploitation and Online Protection Centre Vodafone UK

Ruth Allen Vodafone has been working with the Home We are taking equal care with the introduction Vodafone’s Content Control system is good Office regarding social networking guidelines of advertising to mobiles. We already ensure and the company is a leader on blocking and should ensure compliance within these that advertising on Vodafone live! complies illegal content. Most companies only include services in order to provide the best protection with the Advertising Standards Authority an ‘Error 404’ message when people try to for children and young people. code and we take care to avoid placing access illegal content. Vodafone goes a step advertisements for products unsuitable for further and includes a law enforcement Tim Yates children, eg alcohol, on pages with content that appeals to children. message, which is a much stronger deterrent. As we grow our range of products and services, Headlines Commitments Mobile social networking sites are a big we are acutely aware of the need to inform and In the near future, we plan to offer advertising challenge for child protection. I welcome protect our customers, and particularly their targeted to individual interests. This will benefit • Extended content control to mobile social • Ensure that any instances of inappropriate children. Access to the internet has become customers by reducing the amount of networking sites MySpace and YouTube. content (including images and music Vodafone’s efforts to put controls in place and provide some form of safety net. mobile and this brings new responsibilities for irrelevant advertising they receive, and benefit • Worked with the Advertising Standards downloads) on Vodafone live! are removed Authority and Yahoo! to make sure all within four hours of coming to our attention. However, what is really needed is a Report the protection of minors from inappropriate advertisers and Vodafone by providing a more advertising carried by Vodafone meets our • Uphold the principles of the ASA and Abuse button on the Vodafone live! home content and contact. We take this efficient medium for advertising budgets. At content standards. ensure that all advertising is legal, decent, page. We are working with mobile providers, responsibility very seriously and believe that the same time, we are insisting on maintaining • Worked with the UK Government and the honest and truthful. including Vodafone, to overcome technical we are leading our industry in developing and strict privacy principles that require customers mobile industry to implement new • Launch an online privacy awareness difficulties on this. introducing measures to protect children. to opt in to receive targeted advertising, standards for data storage and privacy. programme to describe Vodafone’s privacy and guarantee that we never share personal policy and what it means for employees by For example, the default setting in our • Reduced our roaming prices by an average We also have concerns about the growth in information with other marketing organisations. of 40% since April 2005. March 2008. mobile advertising. Mobile advertising should handsets assumes that the user is under 18 Changes in technology frequently give • Signed an industry charter to tackle mobile • Block 80% of phones reported stolen within be age-rated and we welcome Vodafone’s and therefore blocks inappropriate content. Whatever new possibilities mobile technology rise to new corporate responsibility issues. phone theft. 24 hours on our own network and within compliance with advertising industry standards Adults must verify their age to remove the generates, Vodafone will always place 48 hours across all UK networks. We need to ensure that we embed our and legal requirements. bar. In our partnerships with MySpace and responsibility to our customers at the core corporate responsibility standards in our YouTube, we have taken special measures to of our thinking. decision making so that we can anticipate For the future, our major concern is the protect children. We are enhancing our and mitigate new risks. possible linking of mobile social networking support for families with our Vodafone Family Issues that we will need to pay particularly sites with global positioning technology. package. This means that when a child runs close attention to in the future include This could have very serious implications for out of credit, something parents have told us the evolution of mobile networking sites child protection, which Vodafone is aware of. and the implications for child protection, does happen, the child can still phone his or as well as the changing privacy debate. her parents. We are committed to reducing Policy and management Energy use Renewable energy and CO2 17.2% reused and 3.4% was incinerated for Our environment policy commits us to improve During 2006/07, we consumed 443GWh of We continued our renewable electricity supply energy recovery. the energy and natural gas and electricity, an increase of 0.9% on the contract with British Gas. Along with the energy energy efficiency, reduce waste and increase Some 28.1 tonnes was sold for reuse in other previous year. This was due to the large efficiency measures described above, this has resources we use, and the reuse and recycling. countries, helping to increase access to modern percentage (98%) of estimated billing and takes reduced our CO emissions from energy use to 2 communications technology. amount of waste we create. Energy and waste reduction targets are included account of the increase in the number of base 41,700 tonnes, a 44.7% decrease since last year. in the personal development plans for relevant stations in our network. Network equipment that cannot be resold There is a clear business case Travel employees. is broken down into material streams that We audited energy use in our offices and We encourage car sharing through our for good environmental are reused or recycled separately. Hazardous identified opportunities to reduce our Journey2Share intranet site for commuters and materials are disposed of safely. Network waste (tonnes) management. It can help us Climate change consumption. For example, we are improving by giving an extra 5p per mile per passenger We aim to reduce our contribution to climate 06/07 28 103.2 5.5 reduce costs and meet our heating, lighting and ventilation systems in addition to the standard mileage rate for For example, beryllium oxide is a hazardous 05/06 7 295.4 9.7 change by improving energy efficiency in so these only run when buildings are in use. essential business trips. component and while it is legal to dispose of it 04/05 11 415.6 9.9 the expectations of our our network and offices. We also purchase in landfill sites, this is not the best environmental 03/04 34 974 3 Network We offer interest-free loans for season customers and employees. renewable energy. option. Shields securely stores our current waste 0 200 400 600 800 1000 1200 Most of our energy – 84% – is consumed by tickets, bikes and scooters. reused recycled disposed* stocks until a safer method of recycling or disposal Many of our larger customers In 2006/07, our total carbon footprint our network. *Most of this is incinerated to generate electricity and a is established. small amount of beryllium oxide is stored. No network was 58,400 tonnes of CO2. waste is landfilled. now include environmental The air-conditioning systems used to cool base Waste performance as criteria in Direct emissions (with renewable tariff) station equipment are very energy intensive. There are three main sources of waste in our Compliance During 2006/07, we installed fan cooling at 50 business: our network (including hazardous Energy use gas and electricity (GWh) 2% 1% >1% In 2006, we reported that the Environment 06/07 11 61 113 259 their procurement process. 6% sites to replace or supplement air-conditioning. waste such as back-up batteries); our offices and Agency was investigating a diesel spill from a 05/06 9 66 113 251 10% We have also installed Savawatt power controls stores (eg paper, plastic and packaging); and old temporary generator provided and operated 04/05 13 79 103 261 on air-conditioning units at 2,000 base stations, handsets (see page 16). by a contractor at one of our base stations. 03/04 8 35 99 176 17% which reduce energy used for cooling by around 0 100 200 300 400 500 Offices and stores We took immediate action to stop the spill retail 14% per site. offices other network base stations To reduce paper use, all printers in our Newbury spreading and commissioned Arup We are working with our suppliers to improve and Theale offices are set to duplex printing as Environmental Consultants to investigate the CO2 emissions network, offices, retail and business 64% the energy efficiency of network equipment. default. In 2006/07, 209 tonnes of paper were incident and develop a clean-up strategy. (thousand tonnes)* used at these offices, 21% less than last year. 3.7 0.6 5.9 The average energy efficiency of new Vodafone UK was prosecuted under Section 85 06/07 0.02 37.3 9.7 4 0.6 1.2 RBS sites road travel air travel network equipment across Vodafone Group We recycled 55% of waste from our Newbury of the Water Resources Act 1991 and fined 05/06 1.2 69.4 10.3 offices fire retardants/refrigerants 1.4 has improved by 25.3% since last year. and Theale offices, compared with 57% last year. £5,000. The contractor was fined £3,500 in 04/05 5.4 29.4 43.8 112.1 10.9 other network retail addition to paying the full cost of the clean-up. 6.8 We need accurate data to help us to monitor Network 03/04 3.6 15.3 42.7 76.1 10.3 Measures have been put in place following this 0 50 100 150 200 250 and reduce energy consumption. We have Network upgrades generate waste. Shields, our event. More detailed information is provided on retail offices other network base stations installed automated electricity meter reading waste contractor, operates a zero landfill policy. air travel road travel our website www.vodafone.co.uk/responsibility. (AMR) at 100 base stations so far and plan to do In 2006/07, 79.4% of waste was recycled, *excludes fire retardants and refrigerants so at another 700 in 2007/08. Handset recycling During the year, 21.3 tonnes of handsets were Our customers upgrade their handsets every reused and 3.1 tonnes were recycled. The overall 18 months on average. Reusing and recycling weight of handsets reused or recycled is decreasing Headlines old handsets reduces waste, prevents harmful as handset models become smaller and lighter. substances from being released into the • Achieved ISO 14001 accreditation for our Our handset recycling programmes raised whole business, including our network. environment, and benefits charities and people £948,400 for charity, of which £888,400 went in lower-income countries. • Energy efficiency measures installed at to the NAS. 2,050 base stations. Despite some progress, the number of old • Reduced paper use by 21% at our Newbury and Theale offices. Our approach handsets we collected is still relatively low. There • Fined £5,000 by the Environment Agency. Reducing handset turnover are many barriers to increasing handset returns: The best way to reduce waste from old handsets many people keep old phones as a spare, give • Collected 235,000 handsets, below our target of 250,000, but an increase on is to encourage customers to keep their phones them to friends or relatives, resell them or donate 203,400 in 2005/06. for longer. them to other charity recycling schemes. Nevertheless, we aim to increase the number We offer SIM-only tariffs and other of handsets collected. incentives, so customers who keep their old Antony Turner Mike Newens handset benefit from airtime credits or a Corporate customers Managing Director Global Property Director lower monthly fee or one-off airtime credit. In 2005/06, more corporate customers joined CarbonSense Vodafone UK Fonebak, bringing the total to 32. New customers Commitments For example, in April 2007, we ran a poster joining this year included Barclays, HSBC and campaign that offered new customers £100 of • Reduce the energy consumption of our Sainsbury’s. For each reusable phone returned, current network infrastructure, offices Antony Turner of great interest to our employees. They have airtime credit if they chose to keep their current the customer receives up to £5 to donate to and stores by 12.5% against 2005/06 Vodafone is doing some good things in this high expectations of us, and our response phone for a year. charity. If the phone is worth more than £5, we levels by March 2009. area. I was interested that it found it could influences how they feel about the company. Reuse and recycling give the difference to the NAS. • Maintain reuse and recycling rates for significantly reduce energy use in its base Improving energy efficiency and reducing network waste at or above 97%. waste also saves us money. Customers can bring their old handsets to our In 2007, we will launch a campaign to help small stations. But its overall approach seems to be stores or send them to FREEPOST Recycling • Conduct an audit to determine reactive – and being reactive doesn’t inspire to medium-sized enterprises to raise awareness opportunities for waste reduction We take a broad approach to reducing our Vodafone. Handsets are sent to Fonebak, of handset recycling among their employees. and recycling. people. What is the point of upgrading your carbon footprint – including energy efficiency, international leaders in handset refurbishment shuttle buses if very few people use them? This includes a dedicated customer website and • Reduce office paper use at our Newbury waste reduction and our green travel plan. and recycling. All handsets and accessories are toolkit. See our new Fonebak recycling website and Theale offices by 28% against 2006 I would encourage Vodafone not to see We’re reducing energy consumption in our reused or recycled; none are sent to landfill. levels by March 2008. at www.vodafone-fonebak.co.uk. climate change as an environmental issue to network and have switched to buying green Vodafone accepts any handset or accessory – • Collect 275,000 handsets. be managed by a small group of specialists. electricity where it is available. We’re also not just those used on our network. • Encourage 50 of our top eligible Climate change has to be at the heart of the influencing suppliers to improve the energy 100 corporate customers to participate For each handset returned in this way by retail in Fonebak. business and understood by everyone from efficiency of our network equipment. Together, these initiatives are having a real customers, we give £8–10 to charity. • Run an Environmental Road Show to the board room to the newest recruit. Over the next five years, the financial value of carbon impact – we are reducing energy use while Handsets in good condition are refurbished for engage with employees across the UK by March 2008. will become increasingly prominent, and high our business is growing. But we know there resale in lower-income countries. Refurbished carbon users will pay a greater financial cost. is more we can do. handsets cost less than new phones, making Companies that prepare for this change by them more affordable for people in parts of Our next priorities are to increase recycling integrating climate change into their products Africa, Asia and Eastern Europe where landlines from our stores and to encourage more and services, buildings and infrastructure, and are less accessible. We donate the money raised customers to choose paperless billing. by involving their employees and customers, Handsets returned by customers (thousands) to the National Autistic Society (NAS). Remote working reduces business travel and 06/07 228 will be the ones to benefit. office energy consumption. We are looking 05/06 203.4 We are compliant with the Waste Electrical and for ways to increase remote working both in 04/05 141 Electronic Equipment (WEEE) regulations. Mike Newens Climate change is now widely recognised as one our own workforce and by creating services 03/04 163.5 See the website at Climate change matters to Vodafone for of the most pressing global issues. that help our customers work flexibly too. 02/03 154.6 www.vodafone.co.uk/responsibility. environmental and commercial reasons. 0 50 100 150 200 250 We are reviewing our approach to climate change and expect to launch a new strategy Our customers expect us to act on climate in 2007/08. change, particularly our corporate customers Processing of handsets, batteries and accessories Performance in 2006/07 who are looking in detail at what their (tonnes) In 2006/07, around 20% of existing customers This will include plans for further reducing the climate impact of our operations and for suppliers are doing. Environmental issues are 06/07 36 55 5.4 chose not to get a new handset when renewing 05/06 37 29 developing services that help Vodafone their contract. 04/05 93 37 customers to reduce their own carbon footprint. 03/04 72 19 We collected 235,000 old handsets, below our 02/03 12 24 0 30 60 90 120 150 target of 250,000, but an increase on 203,400 reused recycled disposed in 2005/06. We understand that some Vodafone UK and Orange UK are exploring a Visual impact non-binding network-sharing agreement that We use a number of different mast designs, and people are concerned about would combine the two companies’ Radio make sure we choose the one that best minimises the possible health impacts Access Networks. See ‘Where next?’ on page 21. visual impact in each location. We also use some of mobile phones and base specialist designs, such as camouflaged Best practice for network roll-out equipment for historic buildings and churches. stations, and the visual impact We comply with the Government’s Code of Best of masts. Our network of base Practice on Mobile Phone Network Site acquisition agents stations is essential to ensure Development in England and Wales, (see We work with external companies that find new www.communities.gov.uk/index.asp?id=1144926), sites for our base stations and complete the good coverage for our and the Ten Commitments for Best Siting planning application and site negotiations on customers. However, we take Practice elsewhere in the UK, (see our behalf. During 2006/07, we worked with www.mobilemastinfo.com/planning/ 12 such agents. any concerns seriously, and best_practice.htm). It is a contractual obligation for our agents to aim to communicate clearly In 2006/07, we carried out a comprehensive comply with our policies for site selection and with our stakeholders on our internal review of our consultation procedures consultation. We share all the necessary to ensure we continue to meet best practice. information, including guidance on consultation Paul Miner Tony McKeown network roll-out plans and on procedures, fact sheets, position statements Planning Campaigner Interim Head of Regional Operations health issues. Information and consultation and summaries of the latest research into health Campaign to Protect Rural England Vodafone UK issues on our Team Room extranet site. Network roll-out plans What is a base station? We discuss our plans for network roll-out with Paul Miner Tony McKeown Our network is made up of base stations, which local authorities and residents to ensure we find Planning compliance We welcome the mobile operators’ joint Our ability to maintain our network roll-out receive and transmit mobile phone calls using the most acceptable approach for all concerned. Vodafone UK received one enforcement notice annual network roll-out plans. The plans help activity is dependent on the trust of radio frequency (electro-magnetic) fields. In 2006/07, we responded to 95.5% of enquiries from a planning authority in 2006/07, relating planning authorities, NGOs and the public to communities – who are also our customers. Without base stations (or masts), mobile on siting, planning and health issues within 10 to a shared mast. This compares with four in work together to find the least intrusive sites To earn their trust, we must be responsible. communications would not be possible. working days. The failure to respond to some of 2005/06 and 25 the previous year. The issue for new base stations and encourage site From an early stage, Vodafone recognised these enquiries within this 10-day period was due is as yet unresolved, and we intend to appeal sharing. It’s a good sign that the operators met that high standards in network deployment to errors in our database, which we are addressing. against the notice. with 40 councils this year. That’s a sizeable How big is our network? and engagement are essential to enable increase on last year and shows that both Mobile phone networks need a large number In 2006/07, we again sent network roll-out the long-term success of our business. sides are making more effort. The operators of base stations to provide good coverage for plans to each local planning authority in the UK, We engage with communities and local can still do more to increase engagement customers. In 2006/07, we decommissioned plus other selected authorities (431 in total). planning authorities to address their Traffic light rating model with local authorities, for example by holding some sites and we installed 689 new base These give details of all our existing base concerns and have developed processes for public consultation joint county-wide events. stations, bringing our total to 11,857 in March stations and of anticipated new base stations in and policies for network deployment which 2007 (compared with 11,352 in 2005/06). This their area for the coming year. HIGH Only one enforcement notice was served on have been adopted by the industry, and includes our own base stations and those that Vodafone this year compared with 25 two amalgamated into best-practice advice by Of 155 planners who responded to a follow-up we share with other network operators. years ago. This is an improvement but the UK Government. survey, 85% said the plans had met or exceeded Vodafone should aim to entirely avoid any We try to minimise the number of new, their expectations, compared with 82% in We have invested in training and tools to purpose-built base stations by adapting existing breaches, given the costs of enforcement 2005/06. In addition, 40 councils agreed to a issues community ensure our policy is implemented action for local planning authorities and the sites, sharing sites with other operators and joint-operator meeting to discuss the plans – successfully. Our biggest challenge now is favourable planning regime that mobile locating base stations on existing structures, around twice as many as last year. LOW to ensure these standards continue to be phone network operators already enjoy. like rooftops. In 2006/07, 33% of our base LOW planning and environmental issues HIGH upheld by our network deployment teams Consultation procedures stations were shared with other operators. Red sites Vodafone’s current mast designs are much less and the suppliers that support us. From We use a traffic light model (see diagram) to • These are not ‘no-go’ sites intrusive than in the past but the countryside March 2008, our new accreditation decide the level of consultation needed for each • Red does not indicate any health risk is still blighted by older, uglier designs. programme will require every individual new base station. For ‘green’ sites, we focus on • Agree a consultation plan: close liaison with the operator’s Community Liaison Vodafone should think about retrofitting the working for suppliers to Vodafone in this area local councillors and the local planning authority. Officer is essential newer designs to their existing network. to complete training and attain accreditation For ‘red’ sites, such as a new site in an historic • Your reputation and that of your client to enable them to continue working on town centre, we also consult with local residents, are most at risk We strongly support the proposed network Vodafone’s site acquisition programme. for example by sending letters or arranging Amber sites share with Orange as it should reduce the need drop-in sessions. • These sites can shift to green or red for new masts. Provided Vodafone maintains • Exercise great care in pre-application its high standards, this will be a good consultation example for the rest of industry to follow. Green sites • Don’t assume you have a complete picture Some people think that the Radio frequency fields • Cassiopea, our base station monitoring project, When a person is exposed to an RF field, it use of mobile phones and the Mobile phones use radio frequency (RF) fields records RF fields from base stations and other penetrates a few centimetres into the body and to communicate information, via base stations. sources, such as TV and radio, in partnership is absorbed as heat. This is measured using Headlines placement of base stations See ‘How do mobiles work?’ below. with six local authorities, and residents can specific absorption rate (SAR) values. check the combined RF level in their area on • Shared 33% of base stations with Vodafone UK and Orange UK are exploring a The ICNIRP public exposure guidelines set safety could be linked to a number of Vodafone base stations typically have RF field the internet 24 hours a day other operators. non-binding network-sharing agreement that limits for SAR values. levels of 0.01% to 2% of the International • On request, we will commission an independent • Responded to 95.5% of enquiries on would combine the two companies’ Radio different health problems. Access Networks. Commission on Non-Ionizing Radiation Protection site survey to establish the RF levels from a Current research indicates that exposure to RF siting, planning and health issues within 10 working days. By entering such an agreement, Vodafone We believe people deserve a (ICNIRP) guidelines. particular base station. We provide an ICNIRP below these guidelines presents no health risk. • Sent joint network roll-out plans to UK and Orange UK would be able to comprehensive response to We require handset manufacturers to test the compliance certificate and a statement on But there are still significant gaps in scientific 431 authorities and held follow-up improve efficiency, as well as accelerate their concerns. specific absorption rate (SAR) from their health issues with every planning application. knowledge, in particular on the effects of meetings, on a joint-operator basis, the expansion of services and coverage long-term (over 10 years) mobile phone use. with 40 councils. for customers. handsets when used against the head and the We commissioned independent research to body. All handsets sold by Vodafone comply with • Commissioned independent research In the long term, we would expect to roll out assess whether opinion formers such as scientists, Vodafone funds independent research into about a third fewer base stations than ICNIRP guidelines for SAR. These SAR values are to assess whether opinion formers health bodies and politicians believe the industry the World Health Organization’s (WHO) anticipated, bringing potential environmental provided with new handsets and some believe the industry takes the takes the issue of mobile phones, masts and priority areas relating to mobile phones, issue of mobile phones, masts and benefits such as a reduction in power manufacturers also publish the information on an health seriously. Interviews were conducted with health seriously. consumption, as well as a reduction in the masts and health. visual impact of masts. industry website: www.mmfai.org/public/sar.cfm. 70 opinion formers globally. Vodafone compared We publish a summary of expert opinion, This venture would also allow us to focus well with other operators in the study. The including the work of the WHO on the Vodafone our efforts on enhancing the core network, majority (74%) of opinion formers believe that Communicating about RF Group website, see www.vodafone.com/start/ as well as invest more in innovation and Vodafone takes the issue seriously compared services for our customers. We aim to address concerns about mobile responsibility/mobile_phones_masts.html. phones, masts and health by making clear, with 60% for other operators. More information objective information available to our customers is available in the Vodafone Group Report, see Base stations and health Commitments and the public. www.vodafone.com/responsibility. All our base stations are designed to comply with ICNIRP guidelines in areas where the • Respond to all enquiries on siting, For example: planning and health issues within 10 How do mobiles work? general public are exposed. Larger base stations • On our website, we publish advice, consistent have exclusion zones around the antenna, working days. Mobile phones, like television and radio, use radio with World Health Organization (WHO) advice, where the field strength is greatest, to protect • Accredit site acquisition agents to frequency fields to communicate information. ensure they comply with our policies for customers who wish to reduce exposure to maintenance workers and prevent public access. RF fields from their handsets as a precaution Radio signals are sent to the nearest base station, on site selection and consultation, which sends the signal to a digital telephone Exposure to the public from base stations and behave in accordance with our • We have an EMF Advisory Unit to respond to ethos and values by March 2008. enquiries on network and health issues exchange where it is connected to the receiving is very low on a continuous basis. The level is phone, again via a base station. • Improve stakeholder opinion on • Fact sheets and our ‘Facts about the Network’ usually between 0.01% and 2% of the ICNIRP how responsibly Vodafone is acting guidelines, depending on factors such as handbook are distributed at consultation Mobile phones and health regarding mobile phone masts and network traffic and the location of the nearest health (from the 2006/07 baseline meetings, available on our website or by When a call is made or received from a mobile, it radio base station. survey results). contacting [email protected]. emits an RF field so it can communicate with the nearest base station. The closer the base station, See www.vodafone.com/start/responsibility/ the lower the exposure from the handset will be. mobile_phones_masts.html for more information. Vodafone UK has 11,204 Employee consultation Health, safety and wellbeing Employee representatives meet annually with Keeping our employees healthy and safe is a employees. We aim to provide members of the executive management team key priority for Vodafone. We do this by making a fair, safe and flexible at the Vodafone UK Employee Consultative sure health and safety (H&S) performance is Council. The main concerns raised this year an integral part of our people management workplace that motivates our related to the potential impact on employees strategy and by managing risks in accordance employees to give their best. of changes to the global business. with our H&S policy. There is a strong link We recognise the right of employees to join between employee health and fitness, and Employee engagement trade unions. their productivity and level of engagement. In 2006/07, key wellbeing initiatives included: We want employees to feel engaged and • A wellbeing fair at our headquarters attended motivated. We measure our progress using the Diversity and inclusion by more than 600 employees Hay Employee Engagement Index. The index is Diversity means respecting and harnessing the • Free one-to-one health checks provided by calculated by taking the average of six specific different backgrounds, skills and capabilities of trained physiologists at our major sites engagement questions. Our latest results all our employees. • Our nurse case management scheme, now showed an employee engagement score available across the UK, which provides help of 72.4%, compared with 71.4% last year and In January 2007, we appointed a diversity and support to sick employees and their 68% in 2004/05. specialist to help strengthen our approach line managers, and helps them to return to to diversity (see dialogue box). work more quickly Debbie Laybourn We are reviewing and updating our human • ‘Quit smoking’ clinics. Policy and Diversity Consultant resources policies and processes to remove Vodafone UK barriers to diversity in recruitment and retention.

Debbie Laybourn Workforce diversity isn’t just a moral and legal issue; there is also a strong business case. A workforce that reflects the diversity of the UK is better able to understand customers’ expectations, and more likely to have the skills and knowledge needed to deliver the innovative products and services that customers want. Diversity shouldn’t be about targets or positive discrimination. It is about creating a working environment where people’s We are pleased that the percentage of women in Gender diversity (management and all employees) % Communication and consultation differences are respected and harnessed, management has increased over the last two 06/07 55 45 63 37 68 32 Surveys and where talented people of all backgrounds years, and believe this reflects some of the initial 05/06 55 45 70 30 70 30 feel valued for the contribution they can Quarterly surveys allow us to assess employee work we have started to do in this area. However, 04/05 57 43 74 26 73 27 make to the success of the organisation. satisfaction and identify areas for improvement. there is room for improvement and gender 0 50 100 0 50 100 0 50 100 These are some recent findings from our Your all employees managers senior managers diversity will remain one of our priorities. men men men Vodafone UK has made good progress women women women Views survey completed by around 2,100 on some aspects of diversity but there is Our data on ethnicity is incomplete. Seven per employees in March 2006 and around 2,350 scope to further improve our performance. cent of Vodafone UK employees declare employees in February 2007: Average accident incidence rate (number of I have been appointed to help to drive the themselves to be from an ethnic minority, 60% accidents per 1,000 employees per month) diversity agenda for Vodafone UK and will declare themselves to be white, 30% have not 06/07 1.51 05/06 1.42 be working with the human resources responded and 3% prefer not to state their 04/05 1.72 department to identify potential barriers to March 06 Feb 07 ethnicity. We will be focusing on improving our 03/04 1.8 (% favourable) (% favourable) workforce diversity in recruitment, retention data collection systems in this area. 02/03 1.5 My line manager treats 01/02 1.7 and employee engagement. my team fairly and without 81 82 0.0 0.5 1.0 1.5 2.0 discrimination Rate Vodafone UK on taking a genuine interest in the 62 66 wellbeing of its employees Rate your team on managing change and the introduction 74 74 of new ways of working The training and development I receive enables me to perform 59 60 effectively in my current role Rate the career opportunities available to you within 41 46 Vodafone UK Flexible working Recognition and reward Vodafone encourages flexible working. Options Offering the right rewards helps us attract, include part-time and flexi-time, and we also motivate and retain the best people. As well as provide the technology and the opportunity for offering a competitive base salary, employees at employees to work remotely, whether from Vodafone participate in performance-related plans home or from another Vodafone office. based on individual and company performance. Our Vodafone Legend Awards recognise 100 Learning, development and careers employees each year who have made some Employees have an annual performance outstanding achievements. review and development discussion with Headlines their line manager through our Performance Vodafone Group’s AllShares, Sharesave and Code of Ethical Purchasing Dialogue process. Share Incentive Plans give all employees the • Diversity specialist appointed to opportunity to own shares in the company. promote ethnic, gender and age diversity Our Code of Ethical Purchasing (CEP) includes We spent around £5 million on training – £495 at all levels. our standards for human rights, employment per employee. Our employees have access to a • Women accounted for 37% of Vodafone and the environment. It is included in all our Learning Academy, our one-stop shop for all Change and outsourcing UK managers. supplier contracts. You can read the Code at Some of our business activities are now performed learning and development solutions. During • Extended our wellbeing initiatives to help www.vodafone.co.uk/responsibility. 2006/07, our employees participated in some by suppliers. This is known as outsourcing, and employees adopt a healthy lifestyle. 90,000 training days, including inductions. helps to improve cost effectiveness. For example, we work with five outsourcing partners that run Supplier performance management In 2006/07, we introduced a New Modern UK contact centres, serving 3.5 million customers. Corporate responsibility is one of six criteria we Apprenticeship Scheme within our Technology We also work with a contact centre in India that use to select suppliers and monitor their area, and the Contact Centre Association handles customer email enquiries. This year, performance. The other criteria are financial Certificate & Diploma qualifications within our around 300 jobs in our technology department and commercial as well as issues surrounding call centres. were outsourced to a specialist IT supplier and technology, quality and delivery. Headlines the employees affected were transferred to this We are committed to giving employees In 2006/07, all new suppliers with a contract • Launched ‘Speak up’, a confidential new supplier. opportunities for progression within Vodafone. This Commitments value over £50,000 completed a pre-assessment. whistleblowing system for suppliers. • 86% of procurement staff received year, we filled 55% of our vacancies internally. • Be ranked in the top 25% of UK companies In future, all suppliers with a contract value over CR training. in the Hay Employee Engagement Index. €10,000 will complete a pre-assessment. These • No major CR risks were identified with • Reduce work-related accidents resulting assessments help us to determine higher-risk We spend £1.8 billion on goods Vodafone UK suppliers. in lost time by 10% (from 2005/06 suppliers with whom we need to engage more baseline) by March 2008. and services from suppliers closely. Our top 40 suppliers (by spend and every year including handsets, business impact) are re-assessed every six months and improvement plans agreed where necessary. network infrastructure, No major CR risks were identified in 2006/07. IT, general and marketing Engagement with higher-risk suppliers is Commitments services. We have more than carried out at Group level and may include on-site assessments and training. • Follow up 100% of Vodafone UK suppliers 2,000 suppliers worldwide. identified as high risk during qualification within three months by March 2008. There is a risk that some companies in our supply Employee awareness and • Maintain levels of training for supply chain may not meet acceptable standards on whistleblowing chain managers to ensure more than 80% the environment or human rights. We engage We cannot expect suppliers to meet high have received CR training. with suppliers on these issues and use our standards if our own employees do not apply Creating a workforce that is more reflective of influence to raise standards in our supply chain. our CEP consistently. the customers we serve and the communities in which we operate is a challenge. We adopt a risk-based approach – concentrating We have online CR training for all procurement Find out more in the Vodafone We are developing a strategy to increase on suppliers that present a higher risk of staff including information on our CEP, the diversity and make our working environment unethical conduct due to their location, the type importance of implementing high labour and Group CR Report more inclusive of people’s differences. of product or service they supply, or the size of environmental standards in the supply chain More detailed information on supply chain Activities will include: holding a series of their contract with Vodafone. and the responsibilities of purchasing managers. issues is published in the Vodafone Group focus groups to help us to better understand In 2006/07, 86% of procurement employees had report, including: Our supply chain programme is focused on tier 1 employee views; reviewing our recruitment completed the training. All procurement staff • Findings from on-site evaluations processes to ensure we are targeting the suppliers (those with whom we deal directly). have CR targets built in to their performance of suppliers widest pool of potential employees; We influence standards further down the supply development objectives. • Vodafone’s response to NGO reports into and including diversity in line manager and chain in two ways: by encouraging direct suppliers leadership training. conditions in the electronics supply chain. to develop their own supply chain programmes, We launched ‘Speak up’, a confidential and through the Global e-Sustainability Initiative, whistleblowing system, in 2006/07. Our suppliers See www.vodafone.com/responsibility. an industry collaboration. can use ‘Speak up’ to report any unethical conduct by Vodafone employees. We wrote Much of our supplier engagement is carried out to 2,010 suppliers to notify them of the new at Group level, see service. Suppliers can raise concerns directly www.vodafone.com/responsibility. to Vodafone Group’s Fraud Risk and Security Department or confidentially via an independently managed telephone hotline. We give money and time, and In 2006/07, we gave £7.2 million to charity, Improving our social investment For example: • 3,000 families have benefited from NAS help! share our expertise with of which £5.3 million was given through The We want the money we give to have the Vodafone UK Foundation. (A further £2 million maximum beneficial impact on the charities we Programmes, which support parents and carers Headlines charities working nationally was committed by the Foundation towards support, and most importantly, on the people of people with autism and in the communities near funding an Academy in Banbury pending receipt they help. This year, we commissioned three • 147,000 people have visited the online Autism • £7.2 million donated to charity. of the Funding Agreement from the DfES.) pieces of research to help us to assess the Services Directory (www.info.autism.org.uk) • Commissioned research to improve the created with funding from Vodafone our sites. Much of our funding More information is available at impact of our social investment and identify effectiveness of our social investment. • Vodafone customers have viewed 91,000 pages is given through The Vodafone www.vodafoneukfoundation.org. ways we can do more to assist charities in their • Helped the National Autistic Society reach work with young people. We plan to share on the NAS website through Vodafone live! more than 250,000 people over three years. UK Foundation. We want our the findings of our research widely to benefit • Our national press and radio awareness • Launched Let’s Give! database to encourage social investment to make a The Vodafone UK Foundation the whole voluntary sector. campaigns have improved public awareness increased employee volunteering, payroll The Vodafone UK Foundation focuses its of the NAS by 13%. giving and fundraising. long-term difference to the funding in three areas: The benefits of partnership We commissioned the Partnering Initiative charities we support. We aim • National charities working to prevent social Employee involvement exclusion among young people between the (part of the International Business Leaders We encourage our employees to volunteer in the to help charities to develop ages of 16 and 25 Forum) to produce a case study on the local community, organise fundraising events • Local charities that work in the communities experiences of all four organisations involved their capabilities, and reach and donate to charity. Every employee can take close to our sites in our flagship partnership. 24 hours’ paid time off each year to volunteer. We believe that taking a partnership more people through the use • Charities supported by our employees through approach can increase the positive benefits Help-seeking behaviour In 2006/07, our employees donated over volunteering or fundraising. The Foundation has spent a significant sum over of our social investment. It encourages of technology. £144,000 through our payroll giving system. charities to work together, share knowledge the years funding programmes that enable Our flagship charities Commitments and experiences, and learn from each other. voluntary organisations to provide information Volunteering can help employees to improve their Since 2004, we have given £7 million to three • Launch the application process in Previously, our flagship charities have skills and increase job satisfaction, especially if flagship charities – Samaritans, Shelter and and/or advice to young people. But the charities June 2007 for Reach, our new flagship applied individually to The Vodafone UK it requires employees to use their job-related YouthNet. During this time, we have adopted we support can only make a difference if charity partnership. Foundation for funding. expertise. Our new Let’s Give! intranet site, a partnership approach, working closely with young people feel able to approach them and • Announce beneficiaries by November 2007 In our next flagship funding programme, launched in March 2007, provides a ‘one-stop the charities and sharing our skills, expertise the information they receive is beneficial. and launch Reach by April 2008. we will encourage further collaboration by shop’ where employees can access payroll giving, • Complete and share the findings of our asking charities to plan joint projects and learning. We have also encouraged the We have commissioned NfpSynergy to apply for matched funding, create a fundraising three pieces of research with the wider and apply to The Vodafone UK Foundation charities to work together, and to measure the as partners. undertake research to improve our page and find volunteering opportunities. voluntary sector by March 2008. impact of their programmes, using the understanding of help-seeking behaviour. • Increase payroll giving from 8% of Benchmarking Group Model. The Vodafone UK Foundation matches employee employees to at least 10% by March 2008. Social return on investment fundraising (up to £350) for their chosen charity, Over the last three years: • The Corporate Citizenship Company to The third piece of research will look at the and every penny raised for its flagship charities. • More than 1.4 million young people sought conduct an assurance of our London benefits or savings to society of prevention work. In 2006/07, employees raised £1.178 million Benchmarking Group data by March 2008. help from the partners’ websites Measuring the value of prevention is a challenge through over 1,000 different events. The • Conduct a trial with the Education Business • 65 other organisations that work with our for many of the organisations we work with. Foundation gave £682,000 in matched funding. Partnership to mentor 50 potential high partner charities were helped to deliver their For example, it is difficult to assess how many achievers aged 14–15 to help them to achieve services using new technologies young people did not become homeless thanks their business potential by March 2008. • 2,110 new volunteers were recruited as a to the advice they received from Shelter’s Know result of the programme. Your Rights service. This year, we extended our partnership for a fourth year with a further £1 million donation. The National Autistic Society We are using this time to implement a ‘moving-on We have just completed the third and final strategy’. This is helping the charities extend year of our partnership with the National their projects, measure the impacts of their work Autistic Society (NAS). Over the three years, and prepare for when our funding finishes. we raised more than £2.5 million for the NAS We donated over £250,000 to charities working including £385,000 from customers and closely with our partners to support young people. employees, and over £2 million from our mobile For example, with our help, Sane, a YouthNet phone recycling programme. partner, established SANEmail, a new service Our partnership has helped the NAS reach more giving young people affected by mental illness than 250,000 individuals and families through its access to support and advice via email. many awareness-raising programmes. Independent assurance What we found: our conclusions Based on the work we performed, we are not aware statement by Deloitte & Touche of anything that causes us to believe that the 2006 2005 2004 2003 LLP (‘Deloitte’) to Vodafone environmental, social investment and occupational /07 /06 /05 /04 health and safety performance data indicated by Limited (‘Vodafone UK’) on the symbol are materially misstated. FINANCIAL Revenue (£ million) 5,100 5,048 5,065 4,744 selected information included Adjusted operating profit (£ million) 510 698 779 1,039 in its Corporate Responsibility Responsibilities of directors and the Number of customers (million) 17.4 16.3 15.5 14.1 independent assurance provider We commissioned Deloitte & Report 2006/07. SOCIALLY SIGNIFICANT PRODUCTS Touche LLP to review our Vodafone UK’s responsibilities New customers using Speaking Phone 746 1,335 1,127 709 data collection and reporting What we looked at: scope of our work • The directors are responsible for the preparation of the Corporate Responsibility WHAT MATTERS TO OUR CUSTOMERS Vodafone UK has engaged us to perform limited process for selected data in Report and for the information and Content standards assurance procedures on selected environmental, statements contained within it. They are Complaints about content on Vodafone live! 3 2 – – the environment, health and social investment and occupational health and responsible for determining Vodafone UK’s Responsible marketing safety performance data for the year ended safety and social investment objectives in respect of CR performance and Complaints against Vodafone advertising upheld 31 March 2007. The assured data appear in the for establishing and maintaining appropriate by the Advertising Standards Authority 2 1 3 – sections of this report ‘Performance and data summary’ table on performance management and internal (indicated by ), for the page 29 and are indicated by the symbol. About this report ENVIRONMENT control systems from which the reported 1 This report covers Vodafone UK’s Total carbon footprint (tonnes of CO2) 58,400 – – – year ended 31 March 2007. information is derived. corporate responsibility (CR) Energy use – gas and electricity (GWh) 443 439 456 318 What we did: assurance process performance in 2006/07. More Deloitte’s responsibilities and independence CO2 emissions from our offices, stores and network (thousand tonnes) 41.7 75.4 190.7 137.7 In addition, and without and standards information and background 2 • Our responsibility is to independently express CO2 emissions from business travel by air and car (thousand tonnes) 15.6 11.5 12.03 17.1 material is available on our website Network waste generated (tonnes) 136.7 312 436.6 1,011 affecting their assurance Engagement assurance standards a conclusion on the selected performance www.vodafone.co.uk/responsibility. Network waste reused or recycled (%) 96 97 97 – • We conducted our work in accordance with conclusions, Deloitte made data indicated by the symbol as defined Office waste generated from our Newbury and Theale offices (tonnes) 715 714 688 – The report covers all our operations the International Standard on Assurance within the scope of work above. Office waste recycled from our Newbury and Theale offices (%) 55 57 40 25 several recommendations in the UK including UK-based Group Engagements 3000 (ISAE 3000) issued by the • This statement is made solely to Vodafone UK Environmental prosecutions 1 0 0 – employees unless otherwise stated. for continuing to improve International Auditing and Assurance Standards in accordance with our letter of engagement Environmental fines 1 0 2 – the collection, validation Board (IAASB) for carrying out assurance for the purpose of the directors’ governance We commissioned Deloitte & Touche Handset recycling engagements on non-financial information. and stewardship. Our work has been LLP to review our data collection Handsets sold (million) 5.8 6.57 – – and reporting of these data. • This is a limited assurance* engagement, undertaken so that we might state to and reporting process for selected Handsets returned by retail customers only – does not include The recommendations will be which is designed to give a similar level Vodafone UK those matters we are required key performance indicators in the returns from other sources eg corporate customers (thousands) 228 203.4 141 163.5 of assurance to that obtained in a review of to state to them in this statement and for no environment, health and safety, Processing of handsets, batteries, accessories reused (tonnes) 55.5 28.6 37 19 included on our website interim financial information. other purpose. To the fullest extent permitted and social investment sections Processing of handsets, batteries, accessories recycled (tonnes) 35.8 36.5 93 72 of this report for the year ended by law, we do not accept or assume Number of top 50 corporate customers participating in Fonebak 32 23 7 – www.vodafone.co.uk/responsibility Assurance procedures 31 March 2007. responsibility to anyone other than Vodafone • This standard requires that we review the OUR NETWORK UK for our work, for this statement, or for the systems, processes and controls that deliver Number of base stations 11,857 11,352 9.837 – conclusions we have formed. the selected performance data. Shared sites (%) 33 30 20 – • Our work consisted primarily of making Enforcement notices 1 4 25 – inquiries of company personnel and carrying Deloitte & Touche LLP OUR PEOPLE out analytical procedures and sample tests London, Number of employees (thousands) 11.2 11.63 11 9.5 as follows: 20 August 2007 Rating against the Hay Employee Engagement Index (%) 72.4 71.4 68 – – understanding, analysing and testing on Women employees (%) 45 45 43 44 a sample basis the collation, aggregation, This table summarises our key Women in management (%) 37 30 26 26 validation and reporting of the selected performance data. The following Employees from an ethnic minority (estimated %) 7 9 9 – 3 performance data symbol indicates performance Accident incidence rate per 1,000 employees 1.51 1.42 1.72 1.8 – reading and analysing the content of the data reviewed by Deloitte as part of Employees working part-time or from home (%) 24 25 23 20 report against the findings of our work, its CR assurance work: see page 28. Training spend (£ million) 5 5 7 – industry CR practices and other relevant Employees accessing a learning academy (%) 50 50 – – Redundancies 142 640 – – information and, as necessary, making Vacancies filled internally (%) 55 70 – – recommendations for improvement. • The limited assurance* procedures SUPPLY CHAIN engagement excludes procedures such as This independent assurance statement gives no assurance 1 Carbon Footprint – 58,400 Expenditure with suppliers (£ million) 1,800 1,900 1,200 – testing of source data and is substantially less on the maintenance and integrity of Vodafone UK’s website, *NB this figure includes Group Travel data. Procurement employees completing online CR training (%) 86 100 – – including controls used to achieve this, and in particular in scope than a reasonable assurance* 2 Due to a change in supplier, the data whether any changes may have occurred to the information includes flights for Group employees and SOCIAL INVESTMENT engagement. Accordingly we do not provide since first published. These matters are the responsibility is on the basis of data for the calendar Total charitable contributions (£ million) 7.2 7.82 7.5 – reasonable assurance on those matters of the directors but no control procedures can provide year (January 2006 – December 2006). Total employee fundraising (£ million) 1.18 1.2 1.4 – specified in this statement. absolute assurance in this area. We hope to improve our data collection Vodafone UK Foundation matched funding (£ million) 0.68 0.84 – – * The different levels of assurance engagement are defined processes with our new supplier to in the International Standard on Assurance Engagements rectify these issues. Total employee payroll giving (£ million) 0.14 0.23 – – 3000 (ISAE 3000) issued by the International Auditing and 3 Data refers to all UK-based Vodafone Employee volunteering (hours) 1,767 1,777 – – Assurance Standards Board. Reasonable assurance is similar employees reporting through the UK to the audit of financial statements; limited assurance is online accident reporting system during – data not available similar to the review of a six-monthly interim financial report. the 2006/07 period. Achieved

Not achieved

Partially achieved

Issue Commitments 2006/07 Progress Achieved New commitments Deadline Issue Commitments 2006/07 Progress Achieved New commitments Deadline

Update our corporate responsibility We updated our corporate Respond to all enquiries on siting, We responded to 95.5% of enquiries Respond to all enquiries on siting, Ongoing website and intranet site by March responsibility website in November planning and health issues within on siting, planning and health issues planning and health issues within 2007. 2006 and our intranet site in 10 working days. within 10 working days. This delay 10 working days. April 2007. was due to errors in our database, which we are addressing. Review our induction and training We reviewed our induction training Develop and implement an March 2008 programmes to make sure they programmes. This confirmed that our employee engagement strategy Accredit agents to ensure they We have devised the accreditation Due March Accredit site acquisition agents to March 2008 cover our CR policies and activities Passion for the World Around Us and to raise awareness and increase comply with our policies on site process and created a training 2008 ensure they comply with our policies by March 2007. Business Principles are included in employee involvement in selection and consultation, and programme for agents. These will be on site selection and consultation, the induction for new employees. appropriate CR activities. behave in accordance with our ethos launched in 2007/08. and behave in accordance with our and values by March 2008. ethos and values. Improve our data collection systems Some of the recommendations were Improve our data collection systems March 2008 in line with Deloitte’s assurance implemented during 2006/07. We in line with Deloitte’s assurance Undertake a quantitative survey We commissioned research by Improve stakeholder opinion on how Ongoing recommendations by March 2007. will implement others over the recommendations. of key stakeholder opinion on Ipsos MORI to assess whether responsibly Vodafone is acting next year. Vodafone’s approach to mobile opinion formers believe the industry regarding mobile phone masts and phones, masts and health and takes the issue of mobile phones, health (from the 2006/07 baseline Define and prepare a project plan We have developed the project plan set targets for improvement by masts and health seriously. Vodafone survey results). with external partners for the launch to identify suitable replacements in March 2007. compared well with other operators of the next version of the Mobile 2007/08. in the study. The majority (74%) of Textphone by March 2007. opinion formers believe that Vodafone takes the issue seriously Ensure that any instances of There were three complaints in Ensure that any instances of Ongoing compared with 60% for other inappropriate content (including 2006/07. All three instances of inappropriate content (including operators. We have not yet set images and music downloads) on inappropriate content were removed images and music downloads) improvement targets. Vodafone live! are removed within within six hours. on Vodafone live! are removed six hours of coming to our attention. within four hours of coming to Be ranked in the top 25% of UK We hope to reach this target Due July Be ranked in the top 25% of UK Ongoing our attention. companies in the Hay Employee during 2007. 2007 companies in the Hay Employee Engagement Index by July 2007. Engagement Index. No complaints about Vodafone Two complaints were upheld by To uphold the principles of the ASA Ongoing advertising upheld by the Advertising the ASA. and ensure that all advertising is Reduce work-related accidents March 2008 Standards Authority. legal, decent, honest and truthful. resulting in lost time by 10% (from 2005/06 baseline). Launch an online privacy awareness March 2008 programme to describe Vodafone’s Establish a whistleblowing Whistleblowing hotline established. Maintain levels of training for supply March 2008 privacy policy and what it means mechanism for suppliers to report chain managers to ensure more than for employees. any concerns or breaches of our 80% have received CR training. Code of Ethical Purchasing. Block 80% of phones reported stolen Ongoing within 24 hours on our own network Implement an online supplier Online supplier assessment and Follow up 100% of Vodafone March 2008 and within 48 hours across all assessment and qualifications process. qualifications process established. UK suppliers identified as high UK networks. risk during qualification within three months. Reduce the energy consumption of We increased our energy Due March Reduce the energy consumption of March 2009 our current network infrastructure, consumption by 0.9% on the 2009 our current network infrastructure, offices and stores by 12.5% against previous year. This is mainly due to offices and stores by 12.5% against Increase the balance of funding We achieved our goal to increase 2005/06 levels. an increase in the number of base 2005/06 levels. to local community projects near the balance of funding to local stations in our network. Vodafone sites outside West community projects near Vodafone Berkshire (where we are sites outside West Berkshire from Maintain reuse and recycling rates We reused and recycled 96.6% of Maintain reuse and recycling rates headquartered) from 40% to 40% to 50%. for network waste at or above 97%. our network waste in 2006/07. for network waste at or above 97%. 50% by March 2007.

Launch the application process for The launch application process was Postponed Launch the application process June 2007 Recycle at least 60% of waste (by We recycled 55% of waste by weight Conduct an audit to determine March 2008 our new flagship charity partnership delayed while we developed our in June 2007 for Reach, our new weight) from our Newbury and from our Newbury and Theale offices opportunities for waste reduction by March 2007. plans for our new partnership. The flagship charity partnership. Theale offices by March 2007. compared with 57% last year. and recycling. application process will be launched in June 2007. Reduce paper use at our Newbury In 2006/07, 209 tonnes of paper Reduce office paper use at our March 2008 and Theale offices by 15% by were used at these offices, 21% less Newbury and Theale offices by 28% Announce beneficiaries by April 2008 March 2007. than last year. against 2005/06 levels. November 2007 and launch Reach.

Achieve certification to ISO 14001 This accreditation now covers our Complete and share the findings of March 2008 for our whole UK business, including whole business including our offices, our three pieces of research with the our network by March 2007. contact centres, stores and network. wider voluntary sector.

Run internal awareness campaigns Run an Environmental Road Show March 2008 Increase payroll giving from 8% March 2008 on recycling and reducing energy to engage with employees across of employees to at least 10%. use by March 2007. the UK. The Corporate Citizenship Company March 2008 Collect 250,000 handsets during We collected 235,000 handsets, an Collect 275,000 handsets. March 2008 to conduct an assurance of our 2006/07. increase on 203,400 last year, but London Benchmarking Group data. below our target. Conduct a trial with the Education March 2008 Business Partnership to mentor Encourage 35 of our top 50 eligible 32 of our top 50 eligible customers Encourage 50 of our top 100 eligible March 2008 50 potential high achievers aged customers to participate in Fonebak. participated in Fonebak. corporate customers to participate 14–15 to help them achieve their in Fonebak. business potential. About Vodafone UK Vodafone UK has 17.4 million customers and is part of the world’s largest mobile community offering a wide range of voice and data communications. Our headquarters are in Newbury, Berkshire and we have seven other main office locations across the UK.

Corporate responsibility at Vodafone Group This report covers our CR performance in the UK. For information about our global performance and the Vodafone Group Report, see www.vodafone.com/responsibility. Highlights include: • New mobile payment services that make financial transactions more accessible • Ultra low-cost handsets to improve access to communications in emerging markets • A 25% increase in the energy efficiency of new network equipment • A 59% increase in the number of handsets collected for reuse and recycling • CR incorporated into our supplier qualification process across the Group • Extensive stakeholder engagement on customer privacy and freedom of expression • Access controls to enable parents to protect their children from inappropriate content available in all operating companies that offer age-restricted content on Vodafone live! • A 40% reduction in the average cost of roaming calls in Europe.

Key statistics 2006/07 Vodafone UK Vodafone UK Vodafone Group The Connection Newbury Revenue (£ billion) 5.1 31.1 Berkshire Adjusted operating profit (£ billion) 0.51 9.4 RG14 2FN United Kingdom Number of customers (million) 17.4 204.4 Number of employees* 11,204 60,000 Number of base stations 11,857 83,561

* number of employees includes Group employees based in the UK

Consultancy and writing by Context This product is produced on Revive Design by Flag Communication Special Silk which contains 50% de-inked Printed by Beacon Press, an ISO 14001 and FSC certified printer. post-consumer waste, 25% pre-consumer Vodafone and the Vodafone logo are registered trademarks of waste and 25% virgin wood fibre. Vodafone Group Plc or its associated companies. This material is FSC certified and is ©Vodafone Limited 2007 100% recyclable.