Groupe Casino B.P. 306 – 1, Esplanade de F-42008 Saint-Étienne Cedex 2, France Phone: +33 (0)4 77 45 31 31 / Fax: +33 (0)4 77 45 38 38 www.groupe-casino.fr

This report is intended as a tool to facilitate dialogue and continuous improvement. For additional information about the Casino Group and its sustainable development commitments or to share your observations and comments, please contact:

General Manager, Sustainable Development Gilbert Delahaye Phone: +33 (0)4 77 45 34 67 [email protected] www.groupe-casino.fr Casino Group corporate Web site in English www.produits-casino.fr Sustainable Development Information about Casino products Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES 6 GROUP PROFILE Encouraging responsible production Message from the Chairman 1 and consumption 8 An international group 2 Taking action to improve nutrition 12 Our mission: Nourishing a world of diversity 4 Helping to combat climate change 16 Ensuring optimal waste management 20 Meeting the challenge of sustainable construction 22 Fostering respect for human rights in the workplace 26 Promoting diversity in the workforce 28 An expanded commitment to workplace health and safety 31

PUTTING OUR POLICIES INTO ACTION 34 A long-term undertaking 36 An ongoing dialogue with our stakeholders 37 Our environmental roadmap 38 Our workplace relations roadmap 40 Our community roadmap 42 Our actions in France 44 Our actions in the Netherlands 45 APPENDICES Our actions in 46 2007 Sustainable Development indicators 54 Our actions in 47 Reporting methodology 56 Our actions in Colombia 48 Opinion of the Internal Auditors Our actions in 49 on Casino's Sustainable Development Our actions in Venezuela 50 process and its monitoring of Sustainable Our actions in 51 Development action plans 58 Our actions in 52 Report by the Statutory Auditors Our actions in the Indian Ocean region 53 on the procedures for collecting certain Sustainable Development indicators and on selected indicators 59 The Sustainable Development Committee 60

Published by the Casino Group. Photo credits: Corbis; Getty Images; Studio Rauzier-Rivière; APFOUCHA; DDB/Mickaël Baumgarten; Nicolas David; Christian Morel, Cabinet Jonction; Bruno Levy; Anne Van der Stegen; Jean-Marie Huron; Mercialys; Monoprix Photo Library; Michel Dieudonné; Airtech Photos/Stéphane Nys; Casino Photo Library; DR. Design/creation: Typesetting/photoengraving: Compiram, 10, rue Léo Lagrange, ZA La Bargette, 42270 Saint-Priest-en-Jarez, France. Printing: Graphite Développement, ZI des Loges, 42340 Veauche, France. This document is printed on CityGreen 100% recycled modern coated paper. The production process complies with the environmental regulations and guidelines in the Environment/Quality Management System defined by the ISO 9001 and 14001 standards. 1 2007 Sustainable Development Report CHAIRMAN’S MESSAGE

MESSAGE FROM THE CHAIRMAN

Jean-Charles Naouri Chairman and Chief Executive Officer

It is my pleasure to present our sixth Sustainable Development Report, a summary of our commitments and the actions we have taken in 2007 to combine economic growth with social responsibility and respect for the environment. In these six years, we have been able to measure our progress both internally, as a spur towards further progress, and externally. Once the realm of specialists, Sustainable Development has become an inescapable component of our day-to-day lives. Recent studies confirm this trend: consumers are increasingly attuned to the ethical and environmental conditions in which products are made, and would like to use their purchasing power to encourage Sustainable Development principles, consistent with their budgetary constraints.

As a retailer, this gives us a significant role to play. Ensuring that each customer can choose products that are both affordable and friendly to people and the environment is at the very heart of our mission as a responsible community business. That’s the true impetus behind our policy of providing clear environmental information, similar to the nutritional data, on our own-brand product labels, in order to give customers the facts they need to make informed decisions. We have also enhanced our product selection by expanding our offering of “responsible” products. These include our Terre et Saveur, Casino Bio and Max Havelaar product lines, MSC-certified fish, furniture made from FSC-certified exotic wood, and ecolabels—all currently available on our store shelves.

With regard to the stores themselves, we have embarked on two ambitious initiatives to expand our sustainable building practices and rooftop solar energy production. These projects are designed to introduce more stringent standards for energy consumption, the selection of construction materials, rainwater collection and integration into the landscape at our new and existing stores alike.

Beyond our stores and the products we sell, we are continuing our efforts to act as a community-minded business with respect to our various stakeholders and, first and foremost, our employees. The wide-ranging campaign we have undertaken over the past three years to prevent occupational injuries and disease is an example of this initiative and is now beginning to yield results. Moreover, we are actively involved in efforts to promote equal opportunity and diversity alongside the public authorities. In 2007, we signed a new agreement with France’s Ministry of Social Cohesion and Parity to encourage the hiring of employees from disadvantaged neighbourhoods, foster corporate diversity and eliminate discrimination. Diversity in all its forms is now a fertile and integral part of our objectives, as reflected in our corporate signature, “Nourishing a World of Diversity”.

Much remains to be done, but I am very confident in the capacity of our workforce to mobilise and innovate in order to meet the challenges of Sustainable Development. 2 CASINO WORLDWIDE Casino Group

INTERNATIONAL GROUP

VENEZUELA NET REVENUE €582 MILLION 62 STORES — Casino, a leading multiformat EMPLOYEES 5,650 FTE food retailer, is present in 11 countries in Europe, South Amer- COLOMBIA ica, Asia and the Indian Ocean NET REVENUE €1,682 MILLION region. 257 STORES EMPLOYEES 22,501 FTE At end-2007, the Group operated 9,850 stores, including 8,397 in France: — 386 hypermarkets; — 2,089 supermarkets; BRAZIL NET REVENUE €1,907 MILLION — 718 discount stores; 575 STORES — 6,140 convenience stores; EMPLOYEES 63,379 FTE — 517 restaurants and other businesses. ARGENTINA NET REVENUE €302 MILLION 62 STORES As of 31 December 2007, the EMPLOYEES 3,981 FTE Group employed 146,901 peo- ple(1) worldwide. Consolidated net sales rose to €24.97 billion in 2007, of which 72% was generated in France.

Attributable net profit attained URUGUAY €664 million, representing a NET REVENUE €213 MILLION 52 STORES 52.4% increase over 2006. EMPLOYEES 6,541 FTE

(1) Full time equivalent (FTE) including 100% of companies proportionally consolidated or accounted for by the equity method, notably CBD in Brazil, Disco in Uruguay, Laurus in the Netherlands and Exito in Colombia. 3 2007 Sustainable Development Report CASINO WORLDWIDE

Key Figures Breakdown of 2007 17,915 consolidated 2006 2007 net revenue by region in €M Average number of FTE employees 133,748 146,091 (consolidated total, continuing operations) FRANCE 17,915 Consolidated net sales (in millions of €) – 22,505 24,972 continuing operations INTERNATIONAL 7,057 Sales generated revenue France (%) 22% 29% South America 4,686 Attributable net profit (in millions of €) 436 664 Asia 1,536 Routine capital expenditure (in millions of €) 969 1,085 Indian Ocean 834 Other (Poland) 1 7,057 Cash flow (in millions of €) 1,069 1,221

NETHERLANDS* NET REVENUE €1,858 MILLION 330 STORES EMPLOYEES 3,819 FTE

VIETNAM NET REVENUE €81 MILLION 7 STORES EMPLOYEES 1,924 FTE

FRANCE NET REVENUE €17,915 MILLION 8,397 STORES EMPLOYEES 76,254 FTE

THAILAND NET REVENUE €1,455 MILLION 58 STORES EMPLOYEES 14,295 FTE

INDIAN OCEAN NET REVENUE €834 MILLION 49 STORES EMPLOYEES 4,200 FTE

* Net revenue on a 100% basis. 4 NOURISHING A WORLD OF DIVERSITY Casino Group

online shopping to convenience stores, or OUR MISSION: organic products to Casino-brand products. We are committed to our business, one that NOURISHING offers a wealth of opportunities for sharing and dialogue. And the value of our business is A WORLD enhanced when it sustains a world of diversity. OF DIVERSITY VIVE LA DIFFÉRENCE! Each banner in the Casino Group addresses a specific consumer requirement. Together, they respond to a comprehensive range of needs, desires and occasions. hat speaks more eloquently of our Our stores, shopping centres and full W changing society than business? From line of services provide tangible evidence of neighbourhood stores to mass retailing in the our ongoing attention to the diversity of our 1970s and e-commerce today, a once limited customers. array of offerings is now abundant.

Based on the conviction that no single SHOWING RESPECT solution could provide for a wide variety of FOR LOCAL CULTURES needs and desires, we have chosen to offer Since diversity lies at the heart of our customers not just a wide selection of products, strategy, we respect the cultures of the but specific options that correspond to those countries where we operate, local production needs, ranging from stores in the city centre to methods, and our customers’ attachment to suburban hypermarkets, food to clothing, the stores and brands with which they are 5 2007 Sustainable Development Report NOURISHING A WORLD OF DIVERSITY

— Demanding Dynamic and practical, we take specific action A SIGNATURE THAT adapted to every situation, both internally and EXPRESSES OUR IDENTITY on behalf of our customers. We maintain high Nourishing a world of diversity—that is our standards for performance, we acknowledge ambition and our signature message. our responsibilities and we assess our results. It reaffirms our desire to remain attentive to — United our customers and employees, so that we con- We stand together in our commitment to the tinually enhance our understanding of how Group and each of is activities, and we promote they live and build a knowledge and respect for a cooperative spirit of teamwork to ensure their lifestyles into our daily activities. the success of our actions. Our management Moreover, it reinforces our identity as a Group has the united backing of its workforce. This possessing a wealth of skills, talents, banners, commitment is at the heart of our Sustainable products, and services—one that is open to the Development policy. world, confident in the future, determined and energetic. And this message is most effectively conveyed in our actions on behalf of Sustainable Development. We invite you to discover our initiatives in this key area throughout the pages of this document.

familiar. This enables us to expand in fast- growing markets, by drawing on the experience and expertise of our local teams. In each country where we have a presence we play an active role not just in the economy, OUR SUSTAINABLE DEVELOPMENT COMMITMENTS but in the wider community as well, as part of our Sustainable Development policy. Guarantee the quality and safety of the products we sell. Develop a balanced relationship with our suppliers with the aim of shared growth, by offering support to small and medium-sized enterprises in their efforts to succeed. OUR TEAM SPIRIT Foster equal opportunity by combating discrimination and promoting social integration All of the men and women in the Casino through employment. Encourage production processes that are friendlier to people and the environment, Group are united by the same values and by ensuring that our suppliers comply with international agreements on working conditions commitments. Each day we strive to be: and human rights. — Enterprising Educate our customers in “responsible” practices and modes of consumption. We take a keen interest in the latest consumer Contribute to local economic development by integrating our sites into the surrounding and sociological trends. Open-minded and landscape. attentive to emerging needs and expectations Maintain an open, transparent dialogue with all of our stakeholders. among consumers, we are creative, enthu- Incorporate respect for the environment into all of our activities, from the purchase siastic, entrepreneurial and innovative, so as to and transport of goods to the design and operation of our stores. constantly expand our horizons. Promote the participation of the workforce in local partnerships on behalf of humanitarian aid, — Trustworthy vocational opportunities and the environment. We give our attention to each individual and Offer working conditions for our employees that are founded on workplace dialogue, equitable treatment and recognition of performance. abide by our commitments. We combine a professional attitude with a friendly demeanour. 6 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group MAJOR SUSTAINBLE DEVELOPMENT CHALLENGES

P. 8 P. 12 P. 16 P. 20 ENCOURAGE TAKE ACTION COMBAT OPTIMISE responsible forms to improve nutrition climate change waste management of production and consumption CHALLENGES

Help consumers assess Educate customers and employees Reduce emissions attributable Reduce packaging waste the environmental impact in good dietary practices to our refrigeration facilities at the source through the use of their purchasing decisions of ecodesign OUR NEW CHALLENGES

67% of French consumers prefer According to the World Health €5,500 billion: the economic 12.3 million metric tons to buy products that are friendly Organization, in 2005: impact of climate change, of packaging waste to the environment and/or — 1.6 billion adults (age 15 according to the Stern Review were generated in France that comply with Sustainable or older) were overweight, (2006). in 2002 (source: ADEME). Development principles at least 400 million (2007 Agence Bio survey). of whom were obese; 18% of the Casino Group’s Casino saved 269 metric tons — at least 20 million children greenhouse-gas emissions of packaging in 2007 through Casino offers 42 FSC-certified under the age of 5 were in France are caused the use of ecodesign. products, 83 Casino Bio products, overweight. by refrigeration systems. KEY FIGURES 43 products awarded France’s NF-Environnement ecolabel Over 210 Casino products and 12 products awarded reformulated in 2007 to reduce the European Union ecolabel. salt, sugar and fat content, and 160 bread products modified to reduce salt content. 7 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

P. 22 P. 26 P. 28 P. 31 MEET ENCOURAGE FOSTER WORKPLACE HEALTH the challenges of sustainable respect for human rights diversity in the workplace AND SAFETY: construction in the workplace an expanded commitment

Capitalise on the potential Provide support for our suppliers Promote vocational opportunities Focus attention on new health- for photovoltaic production at our in emerging countries for young people from “visible” related challenges (cardiovascular facilities minorities in disadvantaged disease, stress, addictions) neighbourhoods Renovate older buildings Draw a closer connection to incorporate better Promote employment of between preventive health/safety environmental practices the disabled and company performance

Residential and commercial 71 social audits conducted Young people from disadvantaged 144,119 lost workdays in 2007 buildings account for 18% in 2007 among the Casino Group’s areas are two to three times more from accidents at work and of greenhouse-gas emissions own-brand suppliers in emerging likely to be unemployed. commuting accidents among in France, a figure that is rapidly countries. Casino Group employees growing. Just 37% of the disabled enjoy in France, accounting paid employment, compared to 73% for 13% of all absences— 9,000 sq.m of photovoltaic of all those aged 20-59 a marked improvement over 2006. panels mounted on the roofs (source: AGEFIPH, 2007). of Group buildings. Disabled workers comprised 9.64% of the Casino France workforce in 2007. 8 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

— As a retailer, we can play a critical role in fostering wider use of sustainable production methods and encouraging members of the public to be responsible consumers.

nature—the brand pledges to provide fresh, ENCOURAGING flavourful products every day at an excellent CASINO BIO: value, drawing on a rich diversity of agricultur- A RECOGNISED LINE RESPONSIBLE al production. Each Terre et Saveur product OF ORGANIC PRODUCE must be produced in accordance with Created in 1999, the Casino Bio product PRODUCTION extremely precise specifications, using meth- line responds to the needs of consumers who ods that show respect both for the environment want produce grown using organic methods AND (soil protection, water conservation, waste sort- and offered at an affordable price. All Casino ing) and for the well-being of animals. Regular Bio items meet official organic farming CONSUMPTION audits are conducted at production sites as well standards. This compliance is certified by an as at processing and/or packaging facilities to official mark of quality shown on the packag- verify adherence to these best practices. ing, providing a guarantee that the products PRODUCTS Boasting 23 new products in 2007, the Terre have not been treated with any synthetic pes- THAT ARE FRIENDLY et Saveur product line now includes 51 seafood ticides or chemicals and have been inspect- products, 142 fruit and vegetable items and 55 ed by an independent, government- TO PEOPLE AND types of baked goods. approved certification body. THE ENVIRONMENT To educate customers about the principles With the addition of seven new products in behind the brand, we have prepared special 2007, the line now includes 83 different gro- informative brochures, of which 850,000 were cery items, fresh produce and fruit juices. The TERRE ET SAVEUR: distributed in 2007. Advertising materials cre- four-pack 100-g Apple-Apricot compote was RESPECTING TASTE ated by the Group’s chains regularly include an singled out in the 2007 Hachette Guide AND NATURE introduction to T&S products. The brand’s Web spotlighting organic products. Created in 1997 in close partnership with site also helps to highlight the Terre et Saveur TO LEARN MORE: visit the “Nos marques our producers, the Terre et Saveur brand philosophy. [Our Brands] / Casino Bio” page of our embodies our commitment to Sustainable TO LEARN MORE: visit the Terre et Saveur product Web site: www.produits-casino.fr Development. Developed with two objectives Web site: www.produits-casino.fr//html/lien/ in mind—respect for taste and respect for terre_saveur.html 9 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Casino Bio: a recognised line of organic produce

bass, bream, trout, tilapia and catfish) that EXOTIC WOOD: meet specific requirements. PROMOTING SUSTAINABLE — In 2007 we introduced a line of four seafood FOREST MANAGEMENT products certified by the Marine Stewardship Tropical forests are home to 50% of Council (MSC). The MSC is an international the earth’s biological diversity and play an nonprofit association that certifies fisheries essential role in regulating climate. Nonethe- whose operations are deemed friendly to less, about 14 million hectares of tropical for- resources and the environment. Casino is the est disappear each year as a result of ille- first French retailer to sell fresh fish bearing the gal logging. MSC label. Alert to our responsibilities, we promote the use — In addition, since 2006 we have been of wood from sustainably managed forests and mobilising campaigns to obtain seafood direct take particular care with products made from from the source, with the aim of supporting exotic wood species. To encourage responsi- local coastal fisheries whose operations are ble purchases by consumers, we have been Casino products more ecofriendly. Eighteen Casino Géant bearing an ecolabel offering a line of FSC-certified garden products hypermarkets and 20 Casino supermarkets are and home and garden furniture since 2004. taking part in these campaigns. Products carrying the Forest Stewardship Our foodservice division has also taken steps Council (FSC) label meet highly demanding to ensure a better balance between farmed fish criteria regarding sustainable forest manage- and wild species. Its goal for 2008 is that ment. At the close of 2007 a total of 42 FSC- farm-raised fish make up 42% of the total, certified products were being sold in our CONSERVING compared with 37% in 2007. stores, including 26 products containing OUR FISHERY RESOURCES exotic wood. Seventy-four percent of the According to the 2006 report of the UN’s products in our stores made from exotic wood Food and Agriculture Organization (FAO), 52% bear the FSC label; our goal is to reach 100% of the world’s fish reserves are being fished at in 2008. their maximum biological capacity, while 25% are over-exploited, depleted or in the process of recovery. EXPANDING AND ENCOURAGING We have adopted several measures for THE USE OF ECOLABELS tackling the challenge of preserving our fishery To encourage consumers to choose resources: products that are friendly to the environment, — As part of our efforts to preserve endangered we have developed several Casino-brand deepwater species of fish, we pledged in 2007 products that carry the NF-Environnement to discontinue the sale of orange roughy and label (France’s official designation of environ- blue ling, to end all promotional displays of mental quality) or the European Union ecolabel grenadier and scabbard, to sell bluefin tuna (applicable in each EU member country). only when it exceeds the regulatory size, Forty-three Casino products have received regardless of the fishing ground, and to ban all the NF-Environnement label, notably in the promotional displays of Thunnus thynnus area of stationery products. We have also bluefin tuna. developed a line of 12 products that bear — To encourage consumers to give preference the European Union ecolabel, including 10 to farm-raised products, we have developed a detergents and two new products created in logo, “This Product Preserves Our Seas”, 2007 (kitchen towels and toilet paper). designating select farm-raised fish (salmon, 10 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group 12 26 products awarded fair trade products the European Union ecolabel from Casino bearing the Max Havelaar label

that we develop preferred partnerships with a method of calculating the carbon index for local producers. each product, based on concrete data. This For the past six years, our Cativen subsidiary in approach has won the approval of ADEME, Venezuela has been developing a programme France’s Environment and Energy Management whose goal is to boost local agriculture and Agency, which lent support to our project and promote fair and profitable trade. In Colombia, regularly offers its perspective on the latest Exito is also moving to support small-scale local progress. producers. At ADEME’s request, we sent a report to the “Responsible Consumption” working group at France’s Environmental Grenelle, backing the principle of environmental labelling on all staple products. To enhance the value of the project, we includ- ed feedback from several environmental asso- ciations (including Agir pour l’Environnement, Réseau Action Climat and France Nature Envi- ENVIRONMENTAL ronnement) to which we explained our initia- FOSTERING LABELLING tive. GROWTH IN FAIR TRADE The indicator that has been chosen is an For the past few years, our stores have OF PRODUCTS: estimate of the quantity of greenhouse gas gen- been offering a number of products that are TARGETING erated over the main stages of the product’s the result of fair trading practices, including MORE INFORMED lifecycle (production, industrial processing, several that are marketed directly under the CONSUMERS packaging, transportation, and distribution). Casino name. This evaluation method has been designed In response to rising demand, we introduced In addition to expanding our lines of through a partnership with an independent 26 Casino products in 2007 that bear the Max ecofriendly products, Casino has been intent organisation. The measure is expressed in Havelaar label, a leading brand of fair trade on launching a comprehensive initiative grams of CO2-equivalent per 100 grams of goods. To raise awareness of these products, extending to all Casino-brand food products. end product and is only valid in mainland we conduct regular campaigns to help our Our new product labels that are set to debut on France. This indicator will provide a basis for customers learn more about the issue, notably Casino-brand products in June 2008, for product comparison, more specifically for com- to coincide with the Fair Trade Weeks event. example, include environmental information. paring products in the same category made For example, in May 2007 two Casino Our goal is to provide consumers with clear from similar raw materials and manufacture by supermarkets in Paris hosted a number of information regarding the environmental comparable methods. banana producers from the Dominican impact of the products they consume each day, To verify that the index could be easily under- Republic as part of an event organised by Max so they can make fully informed decisions as stood by shoppers, we conducted tests among Havelaar. they shop. some 1,000 consumers and modified the new Beyond the issue of brands or labels, we Beginning in 2006, assisted by consultants labels to reflect our findings. believe that a long-term commitment to at Bio Intelligence Service and in cooperation This labelling policy has been keenly responsible trade requires, first and foremost, with a number of our suppliers, we developed anticipated by government agencies and con- 11 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Honorary “Marianne d’Or” award presented on 28 November 2007 by France’s local authorities in recognition of the carbon labelling initiative for Casino products

Éric Labouze Chief Executive Officer, Bio Intelligence Service

IT’S VERY CLEAR “THAT WE HAVE ENTERED AN ERA OF RESPONSIBLE CONSUMPTION.

Obviously, retailers play a key role in this development. They are in direct contact with the consumer. In contact with manufacturers and consumers alike at the point where supply and demand meet, retailers are in the best position to inspire and guide more responsible decisions. With its new THE CARBON LABEL ON CASINO PRODUCTS system of environmental labelling A diagram to encourage sorting. Proper sorting for products, Casino is the first retailer A definition of the Carbon can reduce the use to anticipate this trend. This consumer Index and its scope of primary resources awareness campaign from Casino is based on a powerful measuring tool that we have deployed for more than 18 years: analysis of the product lifecycle. The idea is to examine A motivational statement A bar indicating whether the product every stage of a product’s life in which from the Casino Group has a small or significant impact regarding the environmental on the environment. More information Casino enjoys operating latitude labelling programme is available at our Web site to enhance environmental performance, as part of a long-term concern sumers alike, as is evident from the encourag- ty aids), totalling some 3,000 products. Rather for ecodesign. ing statements of Jean-Louis Borloo, France’s than reprint all of our product packaging at ” Minister of Ecology and Sustainable Develop- once, we have chosen to add this environmen- ment and Planning, and Nathalie Kosciusko- tal information as other modifications to a Morizet, junior minister for the environment, product label become necessary (changes and from the honorary Marianne d’Or award to ingredients, new mandatory nutritional bestowed on the project by France’s local information, new regulatory labels, etc.). authorities on 28 November 2007. We expect to add the new carbon label In 2007, with help from the appropriate to about 100 products over the course of suppliers, we collected environmental data on 2008. Consumers can find this information for 220 separate products. other products at our Web site, www.produits- The carbon label will be introduced over time casino.fr on all Casino-brand staple goods (food products, household items, health and beau- 12 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

—The rapid rise in obesity and excess weight now poses a genuine public health challenge throughout the developed world. As a group, we have an essential role to play in promoting good dietary practices.

TAKING ACTION TO IMPROVE NUTRITION ENHANCED NUTRITIONAL CONTENT aunched in 2005, our nutritional health As part of a continuous effort to improve L programme includes four major commit- the nutritional quality of our own-brand ments aimed at helping consumers adopt a products, we use a product selection tool that varied, healthy diet: incorporates criteria on nutritional quality when — enhance the nutritional quality of Casino evaluating tenders from potential producers. products, notably those targeted to children, We enhance our recipes on a regular basis, by limiting their fat, salt and sugar content; We reinforced our initiative in 2007 by joining notably by reducing their sugar, salt and fat —encourage greater consumption of fruits and forces with France’s Ministry of Health and Sol- content. In 2007 we reformulated over 210 vegetables; idarity to sign a voluntary charter stating our products, reducing salt content by an average —develop activities for informing and commu- commitment to nutritional progress. of 19%, simple sugar content by 27% and fat nicating with customers at our retail locations; content by 27%. Special attention was given to — maintain a dynamic Group-wide policy for our Tom et Pilou line of children's products. In promoting a balanced diet. 2007 our Tom et Pilou chocolate petals cereal 13 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Products from the Tom et Pilou line for children

Health Programme (PNNS), which aims to MORE ATTRACTIVE FRUIT reduce the number of people who consume AND VEGETABLE DISPLAYS limited quantities of fruits and vegetables by at Our goal is to earn recognition as a least 25%. specialty provider of fruits and vegetables. With this in mind, we have developed a new concept that has already been rolled out in 79 PROMOTING hypermarkets and 80 supermarkets. Its aim A “FRESH ATTITUDE” is to increase consumption of fruits and veg- Since 2000, Casino supermarkets and etables by showcasing products more effec- Géant hypermarkets have been taking part in tively, substantially increasing the number of a campaign encouraging consumers to eat products we sell so as to introduce consumers “five fruits and vegetables a day”. The stores to new varieties of produce, and installing use an extensive variety of resources to received the best score among 26 chocolate misting equipment to maintain the freshness educate their customers, including quizzes, cereals and four plain or honey cereals tested of leafy vegetables. In support of this concept, guides and in-store advertising. by 60 Millions de Consommateurs magazine. a dedicated logistics platform has been R2C cafeterias and corporate restaurants have Among our breads and baked goods, we established along with in-store storage con- organised Fresh Attitude events as well, with reduced the salt content in over 160 products. ditions designed to preserve product fresh- campaigns to educate patrons about fruit and Products prepared in our stores had an ness at every stage of the supply and market- vegetable consumption. average salt content per kilogram of flour of ing chain. 18.38 g; for prebaked products this figure was In this way Casino is responding to one of the 18.68. We are maintaining our efforts to reach objectives of France's National Nutritional full compliance with AFSSA(1) guidelines rec- ommending salt content of 18 g/kg of flour. Misting systems installed in the Group’s In addition to sugar, salt and fat content, we are hypermarkets and supermarkets committed to upgrading the nutritional value of to maintain the freshness of the vegetables our products by increasing our use of certain on display ingredients – for example, by replacing palm oil with canola oil, which has greater nutrition- al benefits.

(1) French Food Safety Agency. 14 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

The 2007 Hachette Guide to organic products singled out our Casino Bio apple-apricot compote as Best Organic Product of 2007 in the infant care category

CLEAR NUTRITIONAL A CALL CENTRE DEVOTED INFORMATION TO NUTRITIONAL TOPICS ON THE PACKAGING “Nutrition Questions”, our call centre To help consumers make knowledgeable devoted to the topic of nutrition, was launched decisions when choosing their products, in in 2006 and is available to everyone for the 2005 we created a table of nutritional values price of a local call. per 100 g and per serving that appears on The centre is staffed by dieticians who can our product labels. When space permits, a answer any questions about proper dietary nutrition insert is included that describes the habits or a specific Casino product. Consumers product's nutritional value and offers a sample who call this nutrition hotline receive a follow- balanced menu consistent with PNNS recom- up letter by post summarising the information mendations. that was provided over the phone and enclos- In early 2008, we upgraded our nutrition labels ing a copy of our “Balanced Nutrition” guide. to include the Daily Nutritional Guidelines. For each product we define a balanced portion size and show the percentage of daily nutritional PERSONALISED COACHING and energy needs met by one serving. To Since 2006, we have also offered a per- enhance their clarity and appeal, these nutri- sonalised coaching service that draws on rec- tional guidelines include sample balanced ommendations by the PNNS. This service, meals shown in illustrated pictogram form to available from the Casino product Web site convey information at a glance. (under “Nutrition”), involves a nutritional assessment in which users can evaluate the “BALANCED NUTRITION”, quality of their diet by responding to a number AN INFORMATIVE GUIDE of questions about their personal eating habits. ENDORSED BY THE PNNS They can then receive coaching via e-mail over Casino is the first mass retailing group a period of three to six weeks. to distribute a guide, available since 2005, that complies with the National Nutritional Health Programme (PNNS). The guide serves as an Nutritional information on Casino products informative, accessible introduction to nutrition for the general public. It includes the essential elements of a balanced diet as well as practical advice for day-to-day use and helpful cooking tips. It is available from our Web site, www.produits- casino.fr, or can be delivered by post free of charge to customers who call and request it. Each of our employees in France has received a copy of the guide along with a quick reference card identifying the key components of a bal- anced diet. 15 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES 283 9 metric tons of potatoes and fruits nutrition events on the subject have received Europgap of balanced diets have been held certification as 100% terroir products at R2C corporate restaurants

AN ANNUAL NUTRITION EVENT To help our customers and employees learn more about maintaining their nutritional health, we have been conducting an annual event since 2006 at all of our hypermarkets and supermarkets in France. The 2007 nutrition EXPANDED COOPERATION fair took place from 11 to 21 April. Some 100 WITH OUR SUPPLIERS dieticians visited 103 Casino Géant hypermar- A nutrition forum held on 20 June 2007 provided an opportunity to educate our kets and 251 supermarkets over a two-day suppliers of Casino-brand food products about nutritional challenges and Casino’s nutrition period to answer customers’ questions about objectives. Nearly 150 suppliers took part in the day-long event and provided some highly proper eating habits and distribute our “Bal- positive feedback. To aid manufacturers of Casino products in enhancing their recipes, we have anced Nutrition” guide. In the Géant Casino also developed three technical fact sheets suggesting various avenues for reducing fat, sugar stores, children could take part in a random and salt content in these products. drawing to win Tablatouts, a game for learning about nutrition that is endorsed by the PNNS, as well as an instructional kit for their schools. In addition, dieticians from APRIFEL(1) hosted events for children at shopping malls connect- ed with four of our Géant hypermarkets. These included learning sessions to teach children about nutrition.

ACTIVITIES AT OUR FOODSERVICE DIVISION In 2007, our foodservice division adopt- fruit juices and compotes are now available for ed a new frying oil for use in cafeterias and cor- a healthy, balanced break-time snack. Nine porate restaurants. In response to PNNS rec- nutrition events on the subject of a balanced ommendations, palm oil has been replaced diet were held at R2C corporate foodservice with a sunflower oil blend. sites. At Casino's corporate headquarters, the In 2007, 283 metric tons of potatoes and fruits restaurant offers regular reminders on health designated 100% terroir products and carry- topics and provides a balanced menu each ing Europgap certification (denoting integrat- day. Dairy products, fruit, fruit juices and ed fruit production) were sold in Casino cafe- compotes are now available for a healthy, bal- terias and R2C restaurants. anced break-time snack. Nine nutrition events on the subject of a bal- TO LEARN MORE: anced diet were held at R2C corporate food- visit the “Nutrition” page of our Web site: service sites. At Casino’s corporate head- www.produits-casino.fr quarters, the restaurant offers regular reminders on health topics and provides a bal- (1) APRIFEL: French agency for the promotion of fresh fruits and anced menu each day. Dairy products, fruit, vegetables. 16 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

— Although our activities generate relatively modest Photovoltaic panels installed on the rooftops of our central levels of greenhouse gas by comparison with other industries, purchasing agency, Saprim, we focus on contributing to the fight against climate change in on the island of Réunion every way we can.

designed to reduce greenhouse-gas emissions HELPING at our facilities in France by 10% between TO COMBAT 2004 and 2009.

CLIMATE CHANGE ONGOING EFFORTS ON BEHALF OF ENERGY EFFICIENCY The Group’s Bilan Carbone® assessment indicates that building energy consumption accounts for 10% of our greenhouse-gas emissions. In particular, lighting for our stores ased on an evaluation of our primary and cold-storage facilities used to conserve B emissions sources using the Bilan food products consume the largest amount Carbone® method developed by ADEME, we of energy. have identified three objectives that warrant A variety of equipment is used to ensure priority attention: ongoing improvements in energy efficiency — reducing our energy consumption; at our facilities, including low-power lighting, — optimising our refrigeration systems; reflectors, load-shedding devices and more. — reducing the environmental impact of our Regular audits are used to identify aberra- goods transport. tions and encourage employees to monitor Accordingly, we have adopted an action plan energy use. 17 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Breakdown of greenhouse-gas % of facilities using HCFC gases, REFRIGERANT emissions by Casino operations EMISSIONS by division (2006-2007) in France, as determined by the Bilan Carbone® CUSTOMER as a percentage TRAVEL EMPLOYEE GOODS TRAVEL 49% 2006 TRANSPORT 41% OTHER 38% 37% 2007 CUSHIONING MATERIALS FOR EQUIPMENT, BUILDINGS AND VEHICLES 38 18 14% 10 16 8 13% 5 4 1

END-OF-LIFE ENERGY Hypermarkets Supermarkets Convenience DIRECT WASTE CONSUMPTION stores

been equipped with the “Econergie” system of 1.7 MW that represents annual production that recovers heat from refrigeration output of 2.7 GWh—enough to power 800 homes. to warm the store. Six new sites are being The Group’s new warehouse in the Breton studied for 2008. village of Gaël also includes solar panels for At our convenience stores, low-power lighting the production of domestic hot water. for both exterior façades and produce displays In 2007 we launched an ambitious project, has become standard at new stores as well as dubbed Solaris, to expand photovoltaic energy at our newly renovated or enlarged locations. production on the rooftops of our facilities (see A similar initiative is underway at our franchised page 24). properties. This solution has cut our consump- tion of electricity to illuminate store façades by Casino stores continued their efforts to nearly fourfold compared with halogen bulbs. renovate in-store lighting systems in 2007: We have also adopted the systematic use of 45% of hypermarkets and 17% of supermar- low-power overhead lighting within refrige- kets are now equipped with low-power T5 or rated display cases (rather than lighting each T8 fluorescent tubes. A series of measure- shelf). ments taken at one such hypermarket revealed The Group’s warehouses, meanwhile, are that the new lighting equipment had reduced testing a prototype of an “intelligent” battery- electricity consumption by more than 35%. charged forklift truck that can be programmed Fifteen new supermarkets were equipped with to receive an optimal charge for providing the energy optimisers in 2007. This system has precise amount of energy needed. Initial test- now been installed at 38 sites, representing ing over a six-month period points to savings of about 13% of the total. Testing conducted in nearly 14% in energy consumption. 2007 showed an average annual savings of 32,400 kWh per site. By end-2007, systems for reducing power consumption had also RENEWABLE ENERGY been installed at 16 hypermarkets. SOURCES: FUTURE POTENTIAL Our foodservice division tested the use of LEDs Several pilot projects are underway with- for illuminated signs during 2007. The study, in the Group to expand the use of renewable conducted at a cafeteria in Villars, found that sources of energy. energy use was cut by about 80%. Since late 2006, on the island of Réunion, the Automated systems for managing refrigeration rooftops of our central purchasing agency, The Easydis warehouse in Gaël, Brittany, facilities were deployed at 17 new supermar- Saprim, have been the site of France’s largest includes solar panels for the production kets in 2007. The supermarket in Susville has solar power unit, boasting installed capacity of domestic hot water 18 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

Electricity consumption Cooling system leakage, in kWh per sq. m of retail space, by division (1) by division as a percentage

2006 31% 31% 2007 Change 2004 2005 2006 2007 06/07 25% 21% Casino hypermarkets 618 603 605 592 - 2.17% 15% Casino supermarkets 753 781 773 740 - 4.24% 14% Casino convenience stores 628 654 679 672 - 1.01% Monoprix 638 640 648 621 - 4.17% Hypermarkets Supermarkets Convenience stores

(1) Leakage rates based on data supplied by service providers.

aimed at encouraging our refrigeration service to the environment. With this goal in mind, we providers to adopt the best available options for undertook a feasibility study in 2007 to identify reducing refrigerant leakage. Our retail divisions the best options for replacing HCFC gases. have installed leak detectors at their stores in Based on the results of this study, the various France. In addition, they have signed a new divisions will analyse the technical and finan- maintenance contract with their providers cial value of each refrigeration system and that calls for more stringent containment of either proceed with a coolant conversion on the refrigeration facilities and closer tracking of system or replace the system altogether. reinjected coolant by volume. In 2007, an experimental system was Moreover, we are moving ahead with our tested on the direct refrigeration unit at the coolant replacement programme, which has a Casino Géant in Gap, France. Five hundred kg OPTIMALLY EFFICIENT twofold aim: to substitute HFC coolants for of HCFC was replaced with a substitute coolant REFRIGERATION SYSTEMS HCFC coolants, which are harmful to the ozone that does not harm the ozone layer and would The coolants used in our refrigeration layer, and to identify new coolants that con- contribute only minimally to global warming. systems are powerful contributors to global tribute less forcefully to climate change. HFC We expect to deploy this coolant at five new warming. In France they account for 18% of coolants have no effect on the ozone layer, but hypermarkets in 2008. the Group’s greenhouse-gas emissions. Our they are a major factor in global warming, with first step towards progress in this area has been an impact up to 1,300 times greater than that to make these systems more sealtight. In 2005 of CO2. The problem we face is finding the Group launched an ambitious programme coolants that are both effective and friendly 19 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

CO2 emissions attributable Breakdown of Easydis dedicated fleet to goods transport by emissions standard * in kg of CO2 per pallet transported

2006 66% 2007 14.8 14.47 13.66 13.75 42.5% 35.52%

20% 19.31% 13% 1% 2.62% 2004 2005 2006 2007 Euro 2 Euro 3 Euro 4 Euro 5

* Net emissions after prevented emissions are deducted.

OPTING REDUCING EMISSIONS FOR RIVER TRANSPORT GENERATED In 2007 our Easydis subsidiary began studying the feasibility of expanding its use BY THE TRANSPORT OF GOODS of the Rhône river to transport goods. In the wake of the study, Easydis began transporting Sixteen percent of the Group’s green- non-food products via the Rhône from Fos-sur-Mer to Lyon in late 2007. house-gas emissions can be attributed to the transport of goods between our warehouses and stores.

Optimising delivery efficiency Our logistics subsidiary Easydis is taking steps to enhance our logistics operations with the goal of reducing delivery distances while ensuring that each vehicle travels at optimal weight. With the use of a software-based tracking solution that includes onboard com- munication systems, each stage of the delivery cleaner-running vehicles on an ongoing basis. route can be configured to guarantee maxi- By the end of 2007, 36% of our captive fleet mum efficiency. At the close of 2007, 94% of complied with the Euro 4 standard applicable the subsidiary’s captive fleet (subcontracted to vehicles manufactured since 1 January vehicles reserved exclusively for Casino’s use) 2006, while 19% already fulfilled the require- was equipped with this tracking system. Easy- ments of the upcoming Euro 5 standard that dis also initiated discussions with its providers comes into effect in October 2009. of charter freight services with the aim of gradually expanding this system to include Encouraging the use of new fuels chartered vehicles (those not used solely by Since 2005 we have been researching the Casino). By late 2007, the tracking system had use of “green” fuels that are suited to our logis- been installed on 424 of these vehicles as well. tical needs. One possibility we identified in Our fleet of leased vehicles was redeployed 2006 is a mixture containing 30% biodiesel, over the course of 2007 to allow for their more which can be used on existing vehicles without efficient use. This move cut upstream trans- modifications to the engine and is available port by nearly nine million kilometres—the from a fairly extensive network of suppliers. equivalent of over 8,000 metric tons of CO2. Casino organised a seminar to alert carriers to the benefits of biodiesel, and negotiations Accelerating our fleet replacement begun in 2007 between a number of inte- We encourage our contract carriers to rested transport providers and a biodiesel replace older vehicles in their fleet with newer, distributor remain in progress. 20 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

Volume of cardboard waste collected under a waste management agreement in France, by division in metric tons 26,106 23,217

2006 15,944 15,878 16,235 15,156 2007

9,688 6,790

540 483

Hypermarkets Supermarkets Convenience Total Casino Monoprix stores France

— As landfills and waste treatment facilities reach maximum capacity, waste management is becoming a major environmental and financial challenge for businesses and local authorities alike. As a retailer, we can play an important role by managing our operating waste more effectively, reducing pack- aging waste at the source and encouraging selective sorting and recycling among our customers.

Waste sorting bins used in Casino Géant hypermarkets

ENSURING LIVING UP TO OUR RESPONSIBILITY OPTIMAL WASTE AS A RETAILER MANAGEMENT In addition to managing our own waste, we aid facilities that manage household waste by educating our customers on the importance of waste-sorting. For example, each of our retail outlets includes a collection bin for used bat- teries, which are then sent on to accredited specifications based on country-wide agree- recycling organisations for processing. Our EXPANDING OUR USE ments and standard contracts. stores in France collected a total of 229 metric OF SORTING Most of our sites conduct selective sorting of tons of used batteries in 2007. AND WASTE RECOVERY cardboards and plastic, which are then for- Since 2006 we have been taking back Our activities primarily generate non- warded to recycling facilities. waste electrical and electronic equipment hazardous waste products similar to household Used fluorescent tubes and discharge lamps (WEEE) from our customers on a one-to-one waste. We also generate smaller quantities of are passed on to the environmental organisa- basis and forwarding this equipment to the industrial waste, notably waste electrical and tion Récylum, which also accepts lighting recycling organisation Eco-systèmes. Over the electronic equipment (professional WEEE). consumables turned in by our customers. course of 2007, Casino stores in France col- Each type of waste is channelled towards the In addition, pilot projects are underway for lected a total of 1,593 metric tons of WEEE. most appropriate treatment process, with an expanding our sorting of fermentable waste We also lent our support to the creation of emphasis on recycling and energy recovery. (unsold produce, flowers, breads and baked a new resource for the recycling of printed For each process we rely on accredited serv- goods, dairy products, etc.), which is then advertising material, by helping to found a new ice providers and establish extremely precise diverted for composting. environmental organisation, EcoFolio, in 2006. 21 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Used batteries collected Volume of materials saved as a result in Casino stores in France of ecodesign packaging initiatives 229 in metric tons 220 Casino France 200 700 Monoprix

133 120 104 110 99 100 313 84 71 58

44

2002 2003 2004 2005 2006 2007 2006 2007 2008 (cumulative) objective

WASTE ELECTRICAL AND ELECTRONIC EQUIPMENT (WEEE): HOW DOES THE SYSTEM WORK?

REDUCING THE QUANTITY OF PACKAGING GENERATED Donation to non-profi ts (associations, etc.) BY OUR BUSINESS For the past two years, working in collabo- ration with our suppliers, we have been con- Drop-off at an appropriate waste reception centre ducting an ecodesign campaign designed to achieve reductions at the source in the volume Take-back by retailers of packaging waste generated by our own- brand products. Casino partners with Eco-systèmes for WEEE collection As a result of this initiative, we were able to cut our use of materials by 269 metric tons in 2007 through improved packaging on 105 products, and we expect to save an additional more-than 400 metric tons in 2008. AB Similarly, the plastic packaging for deter- An obligation The equipment covered Take back a used product against REFRIGERATION: refrigerators, freezers, air conditioners, wine cellars, other refrigeration equipment. gent products used in our foodservice division the purchase of an equivalent new product: NON-REFRIGERATION: washers, dryers, dishwashers, stoves, ovens, microwave ovens, hotplates, this is the so-called “one-for-one take-back” electric heaters, hot water tanks, etc. has been redesigned to yield a 25% reduction requirement. DISPLAYS: televisions, monitors, Minitel equipment, computer screens, laptop computers, etc. Under European Union law, France must Small Electrical Appliances: all other electrical or electronic equipment from the following in weight and 60% reduction in volume. The collect 4 kg of WEEE per year per resident. categories: small household appliances, consumer electronics, computers, telephones, home division also developed a new meal box made improvement and gardening tools, toys, leisure products, etc. from 100%-recyclable cardboard. Priorities at Casino stores for 2008 Improve the signage at collection points. Review major aspects of the process with appropriate personnel. Identify ways of informing our customers about this new service.

Did you know? Casino’s Hypermarkets division collected 1,593 metric tons of WEEE in 2007 as a result of in-store customer education campaigns. Once collected, reused, cleaned, recycled and recovered, these products enjoy a second life as a new product, as secondary raw material or as environmentally friendly energy.

Waste equipment collected by the retailer is passed on to selected service providers by Eco-systèmes.

It is then transported and processed: cleaned, disassembled, crushed and separated.

Materials recycling Energy recovery Controlled elimination 22 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group 4 million sq.m 9,000 sq.m of Group property assets of photovoltaic panels installed

—Bearing in mind the potential environmental impact of our stores, we have undertaken an ambitious campaign to ensure that our buildings to come preserve our quality of life for future generations.

MEETING THE CHALLENGE consultancy that specialises in Sustainable Development then proposed two or three sce- OF SUSTAINABLE narios for each pilot site. Finally, architectural constraints were considered in order to yield a CONSTRUCTION retail spaces that are friendly to the environ- final project. ment and also reflect community concerns that Six major concerns will be systematically we value (links with the city, access for the incorporated into our future development disabled, etc.). projects: energy efficiency, water management, The programme will take shape at a number of clean worksites and waste sorting, urban and asino Immobilier et Développement pilot hypermarkets and supermarkets over the landscape management, accessibility and C appointed a taskforce in 2004 to optimise course of 2008. These initial projects will serve transport, comfort. environmental and health management at our as a laboratory for environmental innovation, facilities. With the help of this taskforce, we so that the best of these innovations can ulti- have identified key criteria to be weighed dur- mately be expanded to future projects (conven- TESTING THE CONCEPT ing a building’s design and at each stage of its ience stores, supermarkets, hypermarkets and AT A PILOT SUPERMARKET lifecycle in order to meet the challenges of shopping centres). The new supermarket in Lorgues, France, sustainable construction. Activities are also underway in our Food- is one of the pilot sites studied as part of the service division. Our new “Villa Plancha” project. From an energy standpoint, the solu- restaurant concept includes a rainwater tions were designed to limit the need for SUSTAINABLE STORE: recovery system for irrigating green spaces at energy, provide for energy efficiency and A PLAN FOR sites where we have free control over the roof. performance, enhance thermal inertia and SUSTAINABLE BUILDING capitalise on renewable energy sources. AND RENOVATION The proposed shed roof offers the benefit of SELECTING THE BEST natural light and is equipped with photovoltaic IN SUSTAINABLE panels that generate electrical power. ach year, our network of stores grows and DEVELOPMENT PRACTICES Water-saving devices and a rainwater recovery E evolves as outlets are expanded, renova- Our internal “Green Challenge” taskforce system will help preserve the site’s resources. ted and added. has identified, analysed and categorised the Environmental criteria are used to select the In 2007 we initiated a programme known as best environmental practices mobilised by the materials. The building will be constructed from “Sustainable Store”, with the goal of designing mass retailing sector worldwide. A research wood, and outdoor areas in the vicinity of the 23 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

From left to right, top to bottom: 1. Selective sorting waste bins 2. Bike shelters 3. Bus shelter 4. Wood-built trolley bay 1 2 3 4 THE SUSTAINABLE SHOPPING MALL OF THE FUTURE Typical applications at a Mercialys site

6

9 5. Natural, local materials 8 5 3 6. Photovoltaic power unit 1 7. Parking spaces reserved 2 4 for selective sorting 11 15 7 8. Natural lighting 9. Green façades 12 10. Local species 13 11. Shady pedestrian walkways 14 10

5 6 7 8 9 10 11

12. Rainwater recovery tanks 13. Rainwater treatment (planted meadow areas), porous surfacing and permeable materials 14. Automated irrigation system connected to the reclaimed water network 15. Parking spaces reserved for families and the disabled

12 13 14 15 24 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

car parks will be extensively planted with trees. Sandra Chartoire In addition, a waste sorting plan will be estab- Project Director, lished at the worksite and provisions will be new corporate headquarters made to encourage sorting once the site is in operation. From the outset, we’ve had a strong“ desire to adhere to the basic ADAPTING THE PROGRAMME principles of Sustainable Develop- TO EXISTING SITES An array of solutions has been selected tral purchasing agency, Saprim, is already ment, in terms of both the building’s for the other pilot sites studied, which are the site of France’s largest photovoltaic power construction and its operations. existing stores due for expansion. Adapting the unit (see page 53). Although HQE (High Environmental programme to existing buildings represents The Solaris project, begun in 2007, is intended a genuine challenge for the Group: older to provide a more detailed analysis of our Quality) certification wasn’t a viable buildings must be renovated to incorporate potential for photovoltaic energy production. option in light of the added work the improved environmental practices of the costs it would entail, the 14 targets future. A START-UP DEVOTED for HQE certification have been TO SOLAR ENERGY incorporated into the project’s PRODUCTION architectural and technical planning. To take advantage of this wide-ranging GENERATING research, a start-up company is now being For example, we drew on the principles RENEWABLE ENERGY: formed that draws on the Group’s in-house of eco-construction (specifically expertise. The start-up’s goal is to expand by working to integrate the building A MAJOR CHALLENGE photovoltaic energy production at Casino sites FOR SUSTAINABLE and indeed at other sites as well. into its immediate environment CONSTRUCTION Our first concrete experiments will be con- and to create a clean worksite) ducted in 2008 at selected supermarkets and and eco-management to ensure ur property holdings (extending to over hypermarkets in mainland France, in coordina- Ofour million sq.m) provide an undeniable tion with the “Sustainable Store” programme. that the building’s energy and water asset for developing solar energy production, This preliminary testing will help us confirm consumption, waste, and maintenance notably on the rooftops of our retail buildings. the technical, organisational and financial and upkeep can be managed with On the island of Réunion, the roof of our cen- assumptions behind the Solaris project. optimal efficiency. We’re also looking out for the comfort and health of our 2008-2010: employees in terms of the quality A SUSTAINABLE GOAL This project reaffirms our desire to take of their air, water, work areas, and so an active part in European Union objectives, on. We wanted to create a friendly, and particularly the “triple 20” goal (cutting healthy, efficient and cost-effective greenhouse-gas emissions by 20%, reducing energy consumption by 20%, increasing the environment where everyone can feel share of renewable energy consumption to good and can work under the best 20%) between now and 2020. possible conditions. So far, the feed- Our stated target is to reach 130 MW of power capacity, meeting the electrical needs back has been positive. But we’re of over 50,000 households, by the close of still trying to do better—continually 2010—which would make Casino one of striving for excellence in this area! France’s top producers of photovoltaic energy. ” 25 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

OUR NEW HEADQUARTERS: advances in health-conscious, ecofriendly — a site that is integrated into the mass transit construction: network (TGV station, bus station, tram); SUSTAINABLE — glass façades that emphasize natural light- — video-conferencing rooms to improve BUILDING ing; interaction between sites and limit the need IN PRACTICE — radiant cooling using chilled beams, a more for actual travel. economical solution that enhances comfort Our new headquarters was awarded the 2007 (by eliminating air currents and removing Grand Prize at SIMI, France’s corporate real bacteriological risks, since no filters are used); estate trade show, in the “New Buildings” apping off three years of activity, the — energy savings thanks to a central techni- category. The prize is awarded in recognition C Group’s new corporate headquarters in cal control system that includes over 20,000 of a building’s integration into its environ- Saint-Étienne was officially inaugurated on control points; ment, its functional benefits for users and its 10 September 2007. The building currently — individual water heaters for each toilet adherence to the principles of Sustainable houses over 2,000 employees who were block, so as to minimise the energy loss found Development. previously dispersed among several sites with traditional long pipeline systems and around the city. reduce the risk of Legionnaires’ Disease; This new corporate office, friendly and mod- — green terraces, to enhance the building’s ern, also complies with our Sustainable De- thermal insulation and assimilation into the velopment commitments. It includes several landscape;

A MULTI-COMPANY CRECHE OPEN TO EMPLOYEES AT OUR HEAD OFFICE — While developing our new headquarters, we joined forces with officials in Saint-Étienne to organise a multi-company crèche in the city’s Chateaucreux district. The project was coordinated by ADES (the National Association to Expand Service Employment), which was jointly created in 1997 by the Casino Group and France’s Retail Trades Federation to generate service-sector employment and promote employment opportunities for the disadvantaged. Over the past six years, the national chapter of ADES has been providing support to businesses and local governments in their plans to establish multi-company child-care services. After over four years of preparation and with support from the Family Allowances Fund (CAF) of Saint-Étienne and the regional government of the Loire, the crèche opened its doors on 3 March 2008. Twenty-five spots have been reserved for employees at our corporate headquarters. Parents and children alike are delighted! 26 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

Rate of compliance at factories audited in 2007

Child labour 100 China Health and safety Forced labour 71 factories audited in 2007, 50 Bangladesh including 43 in China and 22 in Bangladesh Compensation 0 Discrimination This diagram shows, for each item audited, the percentage of factories in compliance with the requirements contained in the EMC Distribution code of ethics and the Social Work hours Harsh disciplinary practices Clause Initiative (1) audit grid. Freedom of association

(1) An initiative launched by France’s Retail Trades Federation (FCD) with the goal of promoting respect for human rights in the workplace and defining a standard framework for conducting audits of foreign suppliers.

— Our policy of acting as a responsible retailer does not end at the doors to each store. We are extremely attentive to the social and environmental conditions in which the products we sell are made, and we want to help improve working condi- tions at our suppliers’ sites in developing countries.

specially trained auditors to perform social FOSTERING compliance audits each year. The social audi- RAISING SUPPLIER tors appointed by EMC Distribution are guided AWARENESS: RESPECT by the internationally recognised principles A CRITICAL FACTOR contained in the Universal Declaration of Although audits are useful for identifying FOR HUMAN Human Rights, the UNICEF Convention on the whether problems actually exist, education RIGHTS IN Rights of the Child, the conventions and rec- is an equally essential tool for ensuring that ommendations of the International Labour our suppliers are committed to continued THE WORKPLACE Organization, labour regulations in force in progress. each country and the minimum criteria In 2007 we organised six seminars designed defined in the code of ethics. to raise awareness of workplace ethics at China and Bangladesh are the principal production sites in China (four factories invo- sources of our direct imports, and present a lved), Thailand (five factories) and Vietnam high level of risk as well. Consequently, we (four factories). Specific workshops were con- have chosen to focus our efforts on those two ducted as well for workplace auditors based countries, which accounted for 92% of the in those countries. ur central purchasing agency, EMC audits conducted in 2007. O Distribution, adopted a programme in The year 2007 was characterised by per- 2000 for promoting and monitoring respect sisting lapses in compliance, principally with for human rights among our suppliers. regard to working hours, compensation and, The EMC Distribution code of ethics, which to a lesser extent, health and safety. is incorporated into all contracts signed with Instances of non-compliance in the area of own-brand product suppliers, serves as the child labour were prompted not by the actual cornerstone of this programme. presence of children at the sites in question but TO LEARN MORE: the EMC Distribution rather by the absence of a formal hiring policy code of ethics can be viewed at our Web coupled with incomplete recordkeeping. site, www.groupe-casino.fr/agir/ under The audit reports have not identified any spe- “Nos engagements” [Our commitments] cific problems relating to forced labour or harsh disciplinary practices. In China, the percentage of factories in compli- SOCIAL AUDITS TARGETED ance with regard to freedom of association is TO COUNTRIES AT RISK skewed, insofar as this freedom is not recog- In order to monitor the practices of our nised in China and the auditors are forced to suppliers in developing countries, we call on take this legal reality into account. 27 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Our goal is to aid in the implementation of the Universal Declaration of Human Rights through the following actions: — compare practices and share these prac- tices with other parties; THE GLOBAL SOCIAL — jointly, and in cooperation with major COMPLIANCE PROGRAMME stakeholders, develop solutions for improving The Global Social Compliance Programme these practices; is an initiative by The Food Business Forum — participate in the debate both in France and (CIES), an organisation that brings together worldwide on ways of incorporating human the world’s largest retail chains. rights into our management systems; Initially devoted to issues involving food safe- — contribute to efforts to promote human ty, the CIES moved to launch a new project in rights. December 2006 aimed at building the con- As in 2006, Casino Géant invited Amnesty ditions for consensus among its members activists into its shopping centres during the EDH models its activities on the work car- (including Casino) regarding social respon- year to mark the anniversary of ratification of ried out since 2003 by the Business Leaders sibility in the food and non-food supply chain. the Universal Declaration of Human Rights Initiative on Human Rights (BLIHR), and hopes A common code of conduct is currently being (UDHR). In addition, our social ethics man- to enhance these actions by offering contribu- prepared in conjunction with all interested ager took part in a day-long awareness training tions from the francophone world. parties, including the International Federation session conducted by Amnesty International Created after discussions with various actors, for Human Rights, the trade union federation staff. including BLIHR and Amnesty International UNI Commerce and CSR Asia. Consistent France, the group works in concert with organ- with national and international norms and Companies for Human Rights isations active in the field of human rights, such incorporating an appropriate deployment In March 2007, Casino joined forces with as trade unions, NGOs, governments and other mechanism, the code will provide a way to seven other French or francophone compa- businesses. (1) enhance the effectiveness of current policies nies to found Companies for Human Rights (1) AREVA, BNP Paribas, EDF, Gaz de France, Sanofi-Aventis, for improving production conditions, as (EDH). STMicroelectronics and Suez. adopted in the factories manufacturing the goods we sell. Casino is a member of the expert taskforce on audit systems and methodologies.

TAKING PART IN INTERNATIONAL INITIATIVES A FACT-FINDING VISIT TO CHINA TO ENCOURAGE RESPECT From October 15 to 19, 2007, Casino paid a visit to Hong Kong and the province FOR HUMAN RIGHTS of Guangdong alongside other retailers in the Social Clause Initiative in order to: Over the past five years we have forged a — gain a better understanding of conditions in China, through discussions with members close partnership with Amnesty International, of local communities; which has offered Casino the benefit of its — verify that our common service providers fully comprehend the audit process; expertise in human rights and ethics. In 2007 — reflect as a group on avenues for improvement. our collaboration focused in particular on Casino’s participation in the Companies for Human Rights initiative and on finalisation of the Kimberley Project, which provides our customers with a guarantee that the diamonds sold in our stores did not originate in a conflict zone. 28 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

Percentage of women in the workforce Percentage of women in management, in France, by job category (2007) by country (2007) Monoprix Casino France

71% 67% 51% 50% 61% 51% 41% 40%

37% 26% 27% 28% 26% 20%

0.5% Managers Supervisors Employees Casino Monoprix Argentina Colombia Uruguay Brazil Thailand Indian Vietnam France Ocean

— We are convinced that the diversity of our workforce is an asset that boosts innovation, creativity and performance throughout the Group.

PROMOTING DIVERSITY IN THE WORKFORCE

ment practices are consistent with the COMBATING Group’s values, through the development of DISCRIMINATION appropriate resources for communication ON THE JOB and support.

or more than ten years, we have been F active in the fight against all forms of CHANGING MINDSETS discrimination, through our policy for urban If we are to encourage a wide range of affairs, integration and solidarity. backgrounds and perspectives, we must be able to speak openly about differences and scenarios of discrimination, and oversees identify forms of prejudice. A CLEAR COMMITMENT compliance with binding obligations by In 2006 we embarked on a wide-ranging cam- The need to combat all forms of discrim- ensuring that signatories are living up to their paign of internal and external communication ination and promote equal opportunity is a commitments. It also verifies that manage- on the subject of diversity. major component of our corporate policy. Since 2002 it has been explicitly enshrined as one of the ten commitments in our Sustainable Development charter. KEY DATES We play an active role in public initiatives to IN OUR COMMITMENT combat discrimination, notably as part of the — 1993: First agreement with the Ministry of Urban Affairs European Union’s EQUAL project and through — 1997: Creation of the Department of Urban Policy, Integration and our participation in the Joint Committee on Solidarity Equal Opportunities (COPEC). — 2002: Participation in the European Union’s EQUAL initiative; second agreement with the Ministry of Urban Affairs — 2004: Signing of the Corporate Diversity Charter — 2005: Signing of the Group-wide agreement on diversity, the A DEDICATED ORGANISATION agreement on equal opportunity for men and women and the “Objectif Our Director of Urban Policy, Solidarity, Stages” internship charter Diversity and Equal Opportunity is responsible — 2006: Formation of the Group Diversity Committee; framework agreement for implementing our diversity policy. with the Ministry for Employment, Social Cohesion and Housing The Group Diversity Committee, established in to strengthen discrimination prevention efforts 2006, is composed equally of seven employee — 2006: Signing of the Charter of Corporate Commitments on behalf representatives and seven members of the of equal opportunity in education Group’s senior management. It monitors, — 2007: New framework agreement with the Ministry of Social Cohesion observes and analyses the typical, complex and Parity 29 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES 128 92 629 Number of newly-hired managers Number of apprentices from Number of interns from sensitive urban areas or supervisors from disadvantaged disadvantaged neighbourhoods and/or non-visible minorities hosted as part of neighbourhoods in 2007 hosted in 2007 the “Objectif Stages” programme

We have created a dedicated training module designed to educate our employees regarding issues and best practices in diversity man- agement. Each module includes participants NEW FRAMEWORK from an array of sociocultural backgrounds AGREEMENT ON DIVERSITY to reflect each form of diversity (sex, nation- In 2007 our Group signed an agreement with Catherine Vautrin, Minister Delegate for ality, ethnic origin, religion, etc.). In 2007, Social Cohesion and Parity, covering the period 2007-2012. The agreement includes three key objectives: 120 employee representatives and HR man- —to encourage the hiring of employees from neighbourhoods identified as disadvantaged under agers took part in the training, which will be France’s urban policy; cascaded to employees throughout the —to promote equality and equal employment opportunities for men and women and respect Group over the course of 2008. for dignity; Various avenues for internal communication, —to foster corporate diversity and prevent discrimination. including the Group intranet, the Sustainable Development report and our quarterly review, “Regard”, all help to further an internal cul- ture of diversity. During 2007, at the prompt- ing of our workplace partners, we prepared a brochure describing our activities in the Working in partnership with France’s national AVERROES projects (1) to establish a method- realm of diversity, which we distributed to our employment agency, we have implemented ology for measuring progress in achieving entire workforce in France as well as to 1,500 an aptitude-based “recruitment by simulation” diversity within the Group’s entities. external stakeholders (legislators, mayors of process that encourages equal opportunity. In 2007, with the approval of employee rep- cities with a population of over 30,000, pre- As part of our urban policy, we promote the resentatives and decentralised government fects and members of the government). This hiring of young high-school graduates from agencies, we embarked on a testing pro- brochure will soon be available at our Web visible minority groups in disadvantaged gramme extending to all of our subsidiaries site, www.groupe-casino.fr areas and their access to positions of respon- in France and every level of the workforce sibility. We have also established a sponsorship (staff, supervisors, managers). Our testing network for the benefit of these young people, method consists of isolating potentially dis- ENHANCING and we guarantee equal access to training for criminatory hiring practices by submitting OUR PROCEDURES all Group personnel. bogus job applications from candidates who Our policies for combating discrimination In accordance with our internal process for differ in only one respect (such as their place are fully integrated into our human resource recourse, employees who believe they are the of origin). Our goal is to measure the gap management procedures. For example, our victims of discrimination may convene a meet- between our commitments and actual prac- guide to best practices in hiring and training ing of the Group’s joint mediation committee in tice, in order to improve our hiring process. employees and ensuring their loyalty promotes the presence of the Director of Diversity and An independent scientific body, ISM Corum, equal access to employment through non- Equal Opportunity. conducted over 3,000 tests between March discriminatory job descriptions, objective hiring 2007 and March 2008. Its conclusions will criteria and monitoring of procedures (such as be made public in June 2008. providing a systematic, well-founded response MEASURING OUR PROGRESS TO LEARN MORE: Read our agreements to applicants). Consistent with the study of family names for promoting diversity at the Group’s Web Our diversity requirements are clearly spelled that we conducted in France in 2005 (in which site: www.groupe-casino.fr out in the specifications we provide to tempo- we analysed 5,000 employment contracts and (1) The European Union’s EQUAL programme: Action for employ- rary employment agencies and recruitment the career tracks of 608 employees), we are ment and service equality without regard to race, religion or consultancies. continuing our participation in the EQUAL and place of origin. 30 OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES Casino Group

Disabled employees in France Number of disabled persons hired in 2007, by country

Casino France Monoprix 9.64% 9.12% 8.38% 123 102 97

63 5.05% 60 44 3.86% 3.92% (1) 16 7 2 1 2005 2006 2007 Casino Monoprix Argentina Colombia Uruguay Brazil Venezuela Thailand Indian Vietnam (1) Estimate at 31/12 before application of handicap-degree weighting factor. France Ocean

the issue. In addition, two reference guides PROMOTING TRAINING have been prepared to help managers imple- AND SKILLS DEVELOPMENT ment the Handipacte agreement. Our objective is to host at least 350 interns A training package that includes a CD-Rom between 2006 and 2010. Since 2006 we have and a guide to facilitating meetings has been hosted 162 disabled interns. provided to store directors, who will be respon- sible for organising informational meetings with employee representatives. To date, 1,103 RETAINING DISABLED representatives of the workforce have taken EMPLOYEES AND THOSE part in the training. WHO BECOME DISABLED A communications campaign targeted to our Several measures are available to ensure external partners has been developed as well, OPENING OUR DOORS that disabled employees, or those who become to enable us to mobilise resources that are TO THE DISABLED disabled following an accident, can remain on essential to the project’s success. In late 2007 the job so far as their disability permits: work- a brochure outlining the agreement was pre- ur desire to combat discrimination in all stations can be configured to employees’ needs pared and distributed to our outside partners O its forms is also reflected in the actions in collaboration with ergonomists; new career (including the CAP Emploi network for the we have taken to employ the disabled. plans can be developed, including career disabled, occupational health clinics, depart- Our new Handipacte accord defines our assessments and training; resources such as mental labour and employment agencies, commitments in several areas for the period tutoring programmes can be activated to facil- AGEFIPH handicap employment association, 2006-2010: itate the disabled employee’s transition to a new schools, temporary employment firms, etc.). position; and closer partnerships can be devel- oped with experts in occupational medicine. RECRUITING AND HIRING In 2007 we took action in 91 cases to retain PREVENTING DISABILITIES The accord sets a hiring target of at least disabled employees. Training in the prevention of physical and 300 disabled persons between now and psychological disabilities has been conducted 2010, through a reliance on partnerships in our supermarkets as part of the CAP Préven- with government authorities and specialised EDUCATING THE WORKFORCE tion initiative. Six hundred and five employees organisations. Resources will also be estab- The success of this programme will rest have taken part. lished to ensure a smoother orientation primarily on enlisting the support of every TO LEARN MORE: Visit the process for newly hired disabled workers. Casino employee. “Handipacte” section of our Web site: Since 2006, we have hired 188 disabled Following the workshops that were held in www.groupe-casino.fr employees (based on the tallying methods 2006 at Casino supermarkets, Géant hyper- outlined in France’s law of 11 February 2005). markets, cafeterias and after-sales service Every resource is mobilised to facilitate their platforms, new sessions were conducted for integration into the Group. 89 employees in 2007 to raise awareness of 31 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Lost-time accident frequency rate in number of accidents per million hours worked

Casino France (1) 57.14 Monoprix 52.86 53.08 53.03 52.91 51.82 50.20 For Casino France, preventive measures adopted since 2004 have reduced 48.11 the accident frequency rate significantly, bringing us closer to our target rate 46.18 45.61 of 45 or below. The cafeteria and logistics sectors continued to be the most affected by workplace accidents in 2007, followed by after-sales service (Serca).

2003 2004 2005 2006 2007 (1) These figures include occupational disease.

— Workplace health and safety poses a major challenge in both human and economic terms. Over the past three years, we have been moving forward with a comprehensive campaign to prevent the risk of workplace accidents and occupational disease. Moreover, we have become especially attentive to risks related to cardiovascular disease, addictions and stress.

Poster for the CAP Prévention campaign at Easydis

WORKPLACE HEALTH AND SAFETY: AN EXPANDED COMMITMENT A wide-ranging, cross-functional study con- by December 2007 the project was underway ducted in 2006 provided a basis for examining at every supermarket. By year’s end, the num- the primary causes of workplace accidents and ber of workplace accidents had fallen by 11% occupational disease related to our activities in the eight regional divisions that were first to and for identifying potential courses of action. implement the plan, representing 78% of the A number of far-reaching initiatives were year’s total reduction in the number of lost ENHANCING undertaken in the various divisions during hours attributable to workplace accidents. PROTECTION 2007 to build on this process. On 20 September 2007, the Group’s super- FROM WORKPLACE markets signed a code of commitment with ACCIDENTS France’s National Health Insurance Fund for CAP PRÉVENTION: Wage Earners (CNAMTS) to define a formal ppointed in 2004, our health and safety AN INNOVATIVE PLAN methodology for the next three years. Our A steering committee plays an instrumen- TO ELIMINATE OCCUPATIONAL logistics subsidiary Easydis has been testing tal role in coordinating our efforts to eliminate HAZARDS this methodology at three pilot warehouses occupational hazards. The committee brings Since 2005, the Supermarkets division since the spring of 2007. Initial results have together health and safety personnel from has been deploying an innovative method of been highly conclusive, and the division plans each division to promote the sharing of best preventing occupational risks, founded on to implement the programme on a broader practices and ensure that successful projects employee participation and feedback. Training basis in 2008. Pilot projects were launched in can have maximum benefit. was administered at each store in turn, and early 2008 at two Géant hypermarkets as well. 32 Casino Group

Olivier Bachelard Research fellow holding the health and safety chair at the École Supérieure de Commerce de Saint-Étienne

THIS RESEARCH “PROJECT IS DESIGNED TO CLARIFY THE LINK BETWEEN A COMPANY’S CASINO, AG2R AND THE ESC SAINT-ÉTIENNE CREATE EFFECTIVENESS AT A CHAIR IN “WORKPLACE HEALTH AND SAFETY” MAINTAINING WORK- On 25 February 2008, the Casino Group and AG2R signed a three- year agreement to establish a “workplace health and safety” research chair at PLACE HEALTH AND the École Supérieure de Commerce de Saint-Étienne, to support the work of SAFETY AND ITS a team of multidisciplinary teachers/researchers. Their work will focus primarily on the following topics: LONG-TERM FINANCIAL — analysis of the direct and indirect costs of failing to protect workplace PERFORMANCE. health and safety; — systematic approaches to incorporating health and safety protection into building construction; We believe that, by developing — research into hazardous behaviours and tools for preventive action; experimental testing, by providing — methods for instilling corporate awareness more effectively. training to corporate managers at partner businesses and students just beginning their business education, and by disseminating the results of our research as widely as possible, we can help our organisations become more effective PLEDGING OUR COMMITMENT through the development of ON THE DESIGN, preventive actions designed to reduce RENOVATION AND EXPANSION OF WORK AREAS the rate of occupational illness. In 2006, the Supermarkets division ” signed a code of commitment with the CNAMTS to move forward with a risk preven- tion policy regarding the design, renovation and expansion of work areas. Casino’s Géant hypermarkets chose to follow suit in 2007, signing their own pledge with the CNAMTS. The two divisions must now comply with specific building criteria intended to reduce Signing of the code the major identified risks: same-level falls, of commitment with the CNAMTS falls from a height, chemical hazards, traffic accidents, risks posed by manual and mechanical handling, etc. Casino is the only major food retailer to have made such a commitment to date. 33 2007 Sustainable Development Report OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES

Lost-time accident severity rate in number of days lost per thousand hours worked

Casino France (1) Monoprix 2.30 2.30 2.31 2.30 2.19 Casino France has reduced its accident severity rate by 5% since 2003, 1.30 1.38 1.26 1.12 1.14 but we have not yet attained our target severity rate of 2% or lower. Workplace accidents remain a major cause of absenteeism, and reducing their number is an important objective for the Group.

2003 2004 2005 2006 2007 (1) These figures include occupational disease.

CONFRONTING THE PROBLEM OF ADDICTION In late 2006 we decided to tackle a sen- sitive topic: prevention of the risks posed by addictions. A ten-member steering group with representatives from each of the Group’s divisions received in-depth training in 2007, provided by outside experts, in issues relat- ing to alcohol and substance abuse. In the wake of this initiative, we have decided to incorporate the subject of addictions into our workplace health and safety policy and, accordingly, to construct a module for height- ening employee awareness.

PREVENTING OFFERING SUPPORT CARDIOVASCULAR RISK TO THE VICTIMS OF WORK- Easydis launched a campaign in 2007 PLACE VIOLENCE for preventing cardiovascular risk among Since 2001, we have been arranging for the workforce at its Saint-Étienne Verpilleux outside professionals to provide psychologi- and Technopôle warehouses. Interested cal support services to employees who are employees were given the opportunity to the victims of workplace violence, through learn more about cardiovascular disease our collaboration with the Violence, Work, from health-care professionals and specialty Environment (VTE) association. organisations conducting workshops on a In 2007, the psychological support unit inter- variety of topics, including nutrition, cardiol- vened in 60 separate cases and provided ogy, alcohol, tobacco, cholesterol and blood services to 398 employees. sugar levels. One hundred and fifteen employees took part in the event, and their initial feedback was quite positive. Similar activities will take place at other Easydis sites and at the corporate headquarters in Saint- Étienne during 2008. 34 OUR POLICIES Casino Group PUTTING POLICIES INTO ACTION

A LONG-TERM AN ONGOING OUR OUR WORKPLACE UNDERTAKING DIALOGUE WITH ENVIRONMENTAL RELATIONS ROADMAP OUR STAKEHOLDERS ROADMAP P. 40 P. 36 P. 37 P. 38 35 2007 Sustainable Development Report OUR POLICIES

—From its very creation, Casino has been underpinned by the values of enterprise, trustworthiness, exacting- ness and solidarity that have ensured our success and guided our actions with regard to all our stakeholders. Our Sustainable Development policy is a reflection of those values, embodied in a charter of ten commitments that was formally adopted in 2002. Our dialogue with stakeholders in the larger community, which is an essential avenue for enhancing our commitment, is based on a long-standing practice of acting in partnership with the community and remaining attentive to its concerns.

OUR COMMUNITY ACTIONS AT INDIVIDUAL ROADMAP COUNTRY LEVELS

P. 42 P. 44 36 OUR POLICIES Casino Group

Ethibel (part of the Vigeo Group) A dedicated organisation added Casino to the Ethibel Investment Register and Sustainability Index in 2005, in recognition of our pioneering actions 400 50 on behalf of Sustainable Development. managers who have received experts representing training in sustainable the Group’s various functional development issues and operational divisions

A LONG-TERM UNDERTAKING A GUIDE FOR DISSEMINATING BEST ENVIRONMENTAL PRACTICES To encourage the dissemination of best environmental practices with- in the Group, we developed a guide in 2007 entitled “Green Excellence”. In addition to providing an informative overview of major environmental challenges that we face, the guide includes a number of highly practical sum- A DEDICATED ORGANISATION maries of actions that can be taken at work or at home to help preserve the WITH DEDICATED RESOURCES planet. Unveiled at the environmental workshop held in December 2007, the A dedicated organisation implements our guide will be distributed to all managers in France during the course of 2008. policy by enhancing the level of coordination among our various areas of activity (quality, TO LEARN MORE about the basic principles and procedures governing environmental issues, human resources, etc.). our sustainable development policy, visit the Sustainable Development Our Sustainable Development Committee section of our Web site: www.produits-casino.fr includes 50 experts representing the Group’s various functional and operational divisions as well as 10 correspondents from our interna- tional subsidiaries. It meets three to four times annually to identify emerging challenges and take stock of our various initiatives. A Sustainable Development Action Plan (SDAP), designed to ensure continuous improvement, formally outlines concrete steps and outside experts (see pages 58-59). These — The Group’s intranet and Web site each taken to fulfil the 10 commitments contained audits help to ensure ongoing improvement in include pages devoted specifically to sustain- in our Charter and enables monitoring of the the reliability of our data. able development. status of each project. A summary of this action —Since its first edition, our Sustainable plan is presented in the pages that follow. Development Report has been distributed to The financial investment entailed by the SDAP CONTINUOUSLY the Group’s entire workforce in France and to is incorporated into the Group’s annual Strate- MOBILISING OUR EMPLOYEES supervisory managers at the Group’s sub- gic Plan, approved by senior management. The Group uses a range of consciousness- sidiaries outside France. A battery of indicators provides an annual raising tools to mobilise employee support for — About 10 seminars are held each year, measurement of social and environmental sustainable development policies. involving some 300 to 400 Group managers, performance at each of our majority-owned —All incoming employees are made aware of to raise awareness of sustainable development. subsidiaries. A sustainable development repor- sustainable development issues as part of their A number of these seminars are devoted to ting protocol, updated annually and available orientation training. specific topics, such as the environment, in three languages, ensures that our sub- —Our quarterly internal magazine, “Regard”, respect for human rights, ethical treatment of sidiaries adhere to uniform methods of calcu- delivered to all French employees, has pub- suppliers and nutritional health. lation. It provides benchmark data for the audit lished several articles related to sustainable conducted each year by both internal auditors development in each issue since 2002. 37 2007 Sustainable Development Report OUR POLICIES

AN ONGOING HOW IS OUR DIALOGUE INCOME DISTRIBUTED?

WITH OUR Customers €25,228 million STAKEHOLDERS in total revenue

A COMMITMENT x x TO OPENNESS AND DIALOGUE Total amount reinvested Each year, members of the Sustainable Total amount redistributed in the Casino Group Development Committee take part in numer- to stakeholders to ensure ous conferences where they present the its long-term success Group’s policy and exchange ideas on best practices in social and environmental respon- xx sibility. We also maintain a highly visible Group employees: presence in schools and universities, where we €2,686 million in personnel charges help to raise student awareness of the chal- € lenges posed by sustainable development. Suppliers: 20,299 million in purchases Our Sustainable Development Report is distrib- Shareholders: €326 million in dividends €1,222 million uted annually to over 60,000 internal and Banks and bondholders: external stakeholders. In addition, our sub- €301 million in financial expense in amortisation, sidiaries in Brazil, Colombia and Venezuela provisions and Local communities, publish a report of their own devoted to social undistributed income NGOs and non-profit organisations: responsibility and sustainable development. €3 million in gifts and financial contributions Government authorities: €630 million in taxes REWARDING PARTNERSHIPS For several years, through our member- ship in numerous organisations that reflect on Major associations, initiatives and taskforces issues of sustainable development and corpo- of which Casino is a member rate responsibility, we have had the opportunity Admical (www.admical.org) Founded in 1979, Admical promotes corporate sponsorship in the arts, to exchange ideas and compare practices social and humanitarian causes, the environment and sports. with other major companies. Since 2003, in AFOIT (www.afoit.org) The French chapter of the International Labour Organization. addition, we have been working in close collab- CECI (www.ubifrance.fr) Ethics Club of International Trade. oration with the French section of Amnesty Amnesty International’s Business Club (www.amnesty.fr) A research institution operated by International on the subject of human rights the Business Committee of Amnesty International France, aimed at promoting respect for human and ethical issues (see page 27). rights in the workplace. CSR Europe (www.csreurope.org) Corporate Social Responsibility Europe is a European business network of 70 multinational corporations and 25 partner associations, designed to encourage A SPECIAL DIALOGUE the sharing of best practices in corporate social responsibility. WITH SRI RATING AGENCIES Companies for Human Rights (EDH) is an initiative created in March 2008 by eight francophone We also maintain an ongoing dialogue companies, including Casino, to aid efforts to implement the Universal Declaration of Human Rights. with key players from the world of socially Corporate ethics group of AFNOR (www.afnor.fr) The French standards association. responsible investing (rating agencies, ethical Environmental Working Group of the FCD (www.fcd.asso.fr) A taskforce composed of French retailers investment funds), which have found steady that are members of the Retail Trades Federation (FCD). Its goal to is identify environmental progress in our commitment. challenges in the retail sector and promote the sharing of best practices. In 2007 we were once again selected for inclu- Social Clause Initiative of the FCD (www.fcd.asso.fr) An initiative launched by 14 French retailers sion in the FTSE4Good ethical index (EIRIS to promote respect for human rights in the workplace and define a standard framework for conducting audits of foreign suppliers. rating agency), the ASPI index (Vigeo) and the ORSE (www.orse.org) The Observatory for Corporate Social Responsibility is a French association Ethibel Pioneer®index. founded in 2000 whose members includes large corporations, asset management firms, trade unions, banks and insurance companies. WBCSD (www.wbscd.ch) The World Business Forum for Sustainable Development is an international association of nearly 200 member companies whose aim is to encourage businesses to address the challenges posed by Sustainable Development. 38 OUR POLICIES Casino Group OUR ENVIRONMENTAL ROADMAP OUR RECORD IN 2007

2007 OBJECTIVES TARGET DATE STATUS PRINCIPAL ACCOMPLISHMENTS 2007

ENERGY EFFICIENCY ENERGY EFFICIENCY >Stabilise energy consumption levels per square 2007-2009 Energy consumption fell between 1% and metre at 2006 levels while ensuring that 4% at our various divisions between 2006 refrigeration facilities are energy-efficient and 2007 (see page 18) REFRIGERANTS REFRIGERANTS >Achieve annual reductions of 3% between now 2010 Leakage rates fell between 1% and 4% and 2010 in emissions generated by the loss at our various divisions between 2006 of refrigerants as a result of containment failures and 2007 (see page 18) REDUCTION OF TRANSPORT IMPACT REDUCTION OF TRANSPORT IMPACT >Continue to reduce greenhouse-gas emissions 2010 Vehicles meeting the Euro 4 and Euro 5 on the same basis as in previous years, emissions standards accounted with a focus on the adoption of biodiesel for 54.83% of our dedicated fleet in 2007. and compliance with the Euro 5 standards For economic reasons, biofuel has yet to be adopted by carriers WASTE MANAGEMENT WASTE MANAGEMENT >Extend the scope of waste management agree- 2010 The tender process for non-hazardous waste ments to encompass 100% of stores between has been completed at 100% of hypermarkets now and 2010 and warehouses >Reduce the volume of mixed operating waste 2010 The volume of waste generated by 10% by expanding our use of sorting and is now governed by framework contracts ecodesign

SUSTAINABLE CONSTRUCTION SUSTAINABLE CONSTRUCTION >Prepare the second part of Immobilière Groupe 2007 The “urban and landscape management Casino’s guide to best environmental practices for retail sites” project was brought to completion >Appoint a Green Challenge taskforce to focus 2007 Notable Green Challenge projects in 2007 on the environmental quality of Group projects included rainwater recovery, plant walls and building energy optimisation >Conduct pilot testing on the use of renewable 2007 The Solaris project was launched in mid- energy sources at store sites 2007 (see page 24) >Establish environmental quality as a significant 2007 The Sustainable Store project was launched criterion when selecting architects for our new (see pages 22-23) development projects

ENVIRONMENTAL PERFORMANCE ENVIRONMENTAL PERFORMANCE OF OUR PRODUCTS OF OUR PRODUCTS >Obtain savings of at least 80 metric tons 2007 105 new products were redesigned during in materials through our packaging ecodesign the year, amounting to 269 metric tons initiative (a total of 312 metric tons since 2006). Foodservice: plastic packaging for detergent products was reduced by 25% in weight (60% in volume)

Objective met Project underway Objective not met 39 2007 Sustainable Development Report OUR POLICIES

OUR NEXT STEPS

NEW OBJECTIVES TARGET DATE

ENERGY EFFICIENCY >Stabilise energy consumption levels per square metre at 2007 levels while ensuring that refrigeration 2009 facilities are energy-efficient

REFRIGERANTS >Achieve annual reductions of 3% between now and 2010 in emissions generated by the loss 2010 of refrigerants as a result of containment failures

REDUCTION OF TRANSPORT IMPACT >Continue efforts to replace the fleet with vehicles that meet the Euro 4 and Euro 5 emissions standards 2008-2010

WASTE MANAGEMENT >Extend the scope of waste management agreements to encompass 100% of stores between now and 2010 2010 >Continue our use of sorting and ecodesign in order to reduce the volume of our mixed operating waste 2010 by 10%

SUSTAINABLE CONSTRUCTION >Continue developing the guide to best practices in property management; prepare a new section on Second half “energy efficiency in retail buildings” of 2008 >Extend the Sustainable Store programme to design and renovation projects 2008-2015 >Focus the work of the Green Challenge group on the topics of biodiversity, energy and innovative materials Second half of 2008 >Install photovoltaic units on the roofs of Casino sites in order to reach an installed capacity of 130 MW 2008-2010 by 2010

ENVIRONMENTAL PERFORMANCE OF OUR PRODUCTS >Move ahead with packaging ecodesign initiatives to obtain cumulative savings of 700 metric tons 2008 of materials >Have packaging recommendations systematically incorporated into the tender process 2009-2010 40 OUR POLICIES Casino Group OUR WORKPLACE RELATIONS ROADMAP OUR RECORD IN 2007

2007 OBJECTIVES TARGET DATE STATUS PRINCIPAL ACCOMPLISHMENTS 2007

EMPLOYEE RELATIONS EMPLOYEE RELATIONS >Sign the Distribution Casino France (DCF) 2007 An agreement is currently being negotiated agreement on job reclassifications to reflect and is expected to be signed in 2008 changing job-skills requirements in the retailing industry >Begin negotiations on forward-looking 2007 Negotiations are underway with management of jobs and skills an agreement expected in 2008

SKILLS DEVELOPMENT SKILLS DEVELOPMENT >Establish a training programme 2007 The ADEO programme was implemented in international management for expatriate in Asia and Latin America (six management employees days: two three-day seminars, and a four-day training visit to New York)

WORKPLACE HEALTH AND SAFETY WORKPLACE HEALTH AND SAFETY >Continue deployment of the workplace 2007 The programme has been extended to all accident prevention programme in each the supermarkets. division, building on the results in the Group’s Pilot testing was conducted at three ware- supermarkets houses (see page 31) >Conduct campaigns to raise awareness 2007 Several awareness-raising activities were of workplace health and safety issues conducted as part of the “CAP Prévention” project (see page 33) >Enhance and streamline the process 2007 Casino worked with the Retail Trades for tracking occupational injuries and disease Federation to create a computerised tool intended to provide more detailed, reliable statistics >Introduce the Health and Addictions 2007 A steering committee has been appointed in the Workplace preventive campaign

DIVERSITY DIVERSITY >Expand training to include all managers and 2007 120 persons received training interested employee representatives >Conduct a self-testing project in the Group’s 2007-2008 Testing was conducted between March 2007 subsidiaries in France and March 2008 >Hire at least 300 disabled persons 2010 188 disabled workers have been hired since 2006, including 102 in 2007 >Provide training to at least 350 disabled 2010 162 disabled interns have been hosted since interns 2006

Objective met Project underway Objective not met 41 2007 Sustainable Development Report OUR POLICIES

OUR NEXT STEPS

NEW OBJECTIVES TARGET DATE

EMPLOYEE RELATIONS >Sign the agreement on forward-looking management of jobs and skills as well as the DCF 2008 agreement on job reclassification >Study options for improving the status of personnel in France: 2008 —the creation of a time savings account —the creation of a collective retirement savings plan (PERCO) —overall enhancements to the various pension-fund and medical cost coverage schemes, and the creation of long-term care coverage SKILLS DEVELOPMENT >Continue to provide training in international management for expatriate employees as part of the 2008-2010 International ADEO programme

WORKPLACE HEALTH AND SAFETY >Deploy the “CAP Prévention” plan in warehouses and selected pilot hypermarkets 2008 >Enhance and streamline the process for tracking occupational injuries and disease 2008 >Continue the Health and Addictions in the Workplace preventive campaign 2008

DIVERSITY >Establish a trainer training programme for cascading diversity training throughout the Group 2008 >Publicise conclusions drawn from the testing 2008 >Hire at least 300 disabled persons 2010 >Provide training to at least 350 disabled interns 2010 42 OUR POLICIES Casino Group OUR COMMUNITY ROADMAP OUR RECORD IN 2007

2007 OBJECTIVES TARGET DATE STATUS PRINCIPAL ACCOMPLISHMENTS 2007

PRODUCT QUALITY AND SAFETY PRODUCT QUALITY AND SAFETY >Obtain the participation of 98% of own-brand 2007 Ninety-five percent of suppliers have joined suppliers in the Trace One system the Trace One system CUSTOMER SATISFACTION CUSTOMER SATISFACTION >Develop a new tool for processing customer 2007-2008 A tool has been developed and tested comments in order to improve the Consumer Information Centre’s handling of service issues >Repeat the Consumer Information Centre 2008 61,407 calls were received and 32,770 service satisfaction survey every two years to identify issues handled by the Consumer Information changes in the quality of service provided Centre RESPONSIBLE CONSUMPTION RESPONSIBLE CONSUMPTION >Continue to increase the number 2007 Forty-two FSC-certified products were available of FSC-certified garden furniture products in Casino France stores at the end of 2007. containing exotic wood Seventy-two percent of the products made from exotic wood are FSC-certified

NUTRITION NUTRITION >Continue to reduce sugar, salt and fat content 2007 Two hundred and eighteen products in our Casino-brand products were reformulated in 2007. A nutrition forum was organised to educate suppliers of Casino food products (see page 15) SUPPLIER RELATIONS SUPPLIER RELATIONS >Pursue commercial transactions with local 2007-2008 With help from the association Produit suppliers en Bretagne, an agreement was signed at the Rennes city stadium between 100 manufacturers from the Brittany region and 100 Casino representatives. The Casino convenience store network became a member of Produit en Bretagne. A permanent display of products from Brittany has been placed in supermarkets in the Greater Paris region. A joint commission on “innovations” was established with France’s Entreprises et Entrepreneurs Federation to make it easier for small and medium-sized suppliers to place innovative products in stores SOCIAL AND ETHICAL AFFAIRS SOCIAL AND ETHICAL AFFAIRS >Continue to perform social audits at a rate 2007 Seventy-one audits were performed of 60 to 70 per year (see page 26)

URBAN POLICY URBAN POLICY >Sign a new agreement with the Ministry 2007 A new framework agreement covering the period of Urban Affairs 2007-2010 was signed with the Ministry of Social Cohesion and Parity

Objective met Project underway Objective not met 43 2007 Sustainable Development Report OUR POLICIES

OUR NEXT STEPS

NEW OBJECTIVES TARGET DATE

PRODUCT QUALITY AND SAFETY >Continue to deploy the Trace One system 2008

CUSTOMER SATISFACTION >Implement the system for processing customer comments First half of 2008 >Repeat the Consumer Information Centre satisfaction survey 2008

RESPONSIBLE CONSUMPTION >Continue to analyse the ecological footprint of our products and introduce the new environmental label 2008 on 100 Casino food products >Continue to expand the number of FSC-certified products in our stores to include 100% of products 2008 made from exotic wood >Ecolabels: develop five new products that carry the European Union ecolabel 2008 >Introduce 20 new Casino products bearing the Max Havelaar label 2008 >Continue to expand the Casino Bio product line, particularly in product segments where we have had 2008 no organic offerings (such as fresh produce) >Introduce two new MSC-certified seafood products, two smoked products and three frozen food products 2008 NUTRITION >Submit Casino’s Charter of Commitments to Nutritional Improvement to the Ministry of Health 2008 >Develop the new nutritional labelling for 100 Casino products 2008 >Continue efforts to enhance the nutritional quality of Casino products 2008

SUPPLIER RELATIONS >Expand the SME immersion sessions to include product managers 2008 >Pursue efforts to spotlight local products 2008

SOCIAL AND ETHICAL AFFAIRS >Continue our programme of social audits, focusing our efforts on high-risk countries 2008 >Finalise the Kimberley project designed to ensure that the diamonds sold in our stores do not originate 2008 in conflict areas URBAN POLICY >Sign the government’s “Espoir Banlieue” plan targeting disadvantaged suburban neighbourhoods 2008 >Implement a youth mobility agreement with officials on the island of Réunion 2008 08-0495-44-54 RA DD2007 19/06/08 10:58 Page 44

44 ACTIONS AT INDIVIDUAL COUNTRY LEVELS Casino Group KEY FIGURES AREA* POPULATION* GDP PER CAPITA* 552,000 sq. km 63,000,000 US$ 36,550 The Casino Group DATE ESTABLISHED STORES 8,397 2007 NET REVENUE 1898 Casino Géant hypermarkets 129 €17,915 million in France Casino supermarkets 379 Convenience stores 6,140 TOTAL WORKFORCE AT 31/12/2007 Franprix 652 76,254 employees Leader Price 489 Monoprix 330 Casino cafeterias 257 and R2C restaurants 53 * Source: Le Monde, "Bilan du Monde 2008" (annual publication) OUR ACTIONS IN FRANCE

CAREER DEVELOPMENT: HYPERMARKETS: ENCOURAGING INTERNAL MAKING IT EASIER TO SORT MOBILITY ACROSS DIVISIONS AND RECYCLE WASTE Cross-divisional internal mobility has A major effort was undertaken at our consistently been a major component of our Hypermarkets division in 2007 to improve policy for developing human resources. A sat- waste management. isfaction survey of managers conducted in The Casino Géant in Pessac tested a concept 2007 confirmed that our workforce has high in which waste sorting bins are incorporated expectations in this regard. A mobility com- into the store’s front service desk, so customers mittee appointed in response has initiated a can drop off all their recyclable waste (mobile number of concrete measures, such as telephones, batteries, ink cartridges, fluores- defining and communicating clear, formal cent bulbs and lamps) at one convenient guidelines regarding mobility and revamping location. the job bank on the Group’s intranet. During the first half of 2007, 58% of all open positions were filled internally. SUPERMARKETS: MANAGING POLLUTION RESPONSIBLY INSTILLING Although the risk of pollution from hydro- A “FRESH ATTITUDE” carbons at the Group’s service stations is IN CHILDREN limited, it needs to be addressed in a respon- As part of Fresh Attitude Week, primary sible manner. Since 2005, with support from school children around France visited Casino Immobilière , diagnostic analy- cafeterias, where they enjoyed a fun-filled intro- ses of soil and water tables have been duction to the subject of nutrition. A specially performed at sites presenting a moderate to prepared guide for coordinating the event was high risk of pollution or located in sensitive provided to each cafeteria. Participating environments. These analyses were conduct- schools each received a Table-atouts educa- ed at 27 sites in 2007, and evidence of tional game and accompanying instructional pollution was found at two of those sites. Action package. has been taken to resolve the problem with the help of a firm specialised in this field.

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45 2007 Sustainable Development Report ACTIONS AT INDIVIDUAL COUNTRY LEVELS

AREA POPULATION GDP PER CAPITA 41,530 sq. km 16,400,000 US$ 42,670

DATE ESTABLISHED STORES 330 2007 NET REVENUE The Casino Group € in the Netherlands 2002 Super de Boer 330 1,858 million TOTAL WORKFORCE AT 31/12/2007 3,819 employees

OUR ACTIONS IN THE NETHERLANDS

EXAMPLES OF SUSTAINABLE DEVELOPMENT FOR SUPER DE BOER, SUSTAINABLE DEVELOPMENT ACTIVITIES IN 2007 “SHOULD APPLY FIRST AND FOREMOST TO WHAT'S ON OUR SUPERMARKET SHELVES. It also means taking a responsible approach to the community as a whole. RESPONSIBLE CONSUMPTION: We partner with specialised organisations to analyse the environmental and social WORKING IN PARTNERSHIP aspects of each product type, to offer our customers a variety of responsible Accelerating growth in sales of certified products and to incorporate the principles of Sustainable Development into the full products means that the principles of Sustain- range of our activities. ” able Development can be incorporated into the Caspar Woolthuis product assortment. As a supermarket retailer, Quality Director, Super de Boer we can influence the chain of consumption by encouraging our customers to purchase more “responsible” products and by urging our sup- pliers to integrate Sustainable Development principles into their practices. evaluation period in 2006, and at the request We work with several specialised bodies and of producers, we decided to expand this policy associations to integrate Sustainable Develop- to seven types of field crops and three types of ment more fully into our purchasing and sales greenhouse crops (tomatoes, sweet peppers operations. We meet with these organisations and lettuce). an average of six times a year. With help from our partner, Natuur en Mi- OUR PARTNERS PRIMARY TOPICS OF DISCUSSION lieu (a Dutch association working on behalf of Reductions in pesticide nature and the environment), we implemented use for fruit and vegetable production. FRUITS AND VEGETABLES: a system for measuring residual pesticide Efficient energy use. PROMOTING SUSTAINABLE content in our fruits and vegetables. Random Promotion of ethical trade FARMING PRACTICES samples were collected by a third party and that shows respect When it comes to fruits and vegetables, submitted to an independent laboratory for for human rights. our priorities are to limit the use of pesticides analysis. All of our produce suppliers were sub- and encourage more sensible energy use for jected to these random checks in 2006. When Protection of biodiversity. greenhouse crops. Working with our supplier, pesticide levels were found to exceed the Preservation of fishery The Greenery, we adopted a policy of “no pes- regulatory limit, this system enabled us to resources. ticide use except when necessary” for six types identify the product's exact origin (producer, Promotion of sustainable fisheries. of field crops: strawberries, apples, pears, let- field, pesticide used) and define the appropri- tuce, leeks and Brussels sprouts. Following an ate corrective measures.

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46 ACTIONS AT INDIVIDUAL COUNTRY LEVELS Casino Group KEY FIGURES AREA POPULATION GDP PER CAPITA 2,784,000 sq. km 39,400,000 US$ 5,150 The Casino Group DATE ESTABLISHED STORES 62 2007 NET REVENUE 1998 Libertad 13 €302 million in Argentina Leader Price 25 Others (Hiper Casa, Apetito) 24 TOTAL WORKFORCE AT 31/12/2007 3,981 employees

OUR ACTIONS IN ARGENTINA

EXAMPLES programme began, over 8,000 primary school OF SUSTAINABLE students from around the country have had the DEVELOPMENT opportunity to learn more about what we do, ACTIVITIES IN 2007 under the guidance of our professional staff.

ENCOURAGING OUR Juan Carlos Isoardi OPENING OUR DOORS EMPLOYEES TO VOLUNTEER Director of Administration TO CHILDREN IN THE COMMUNITY and Finance, Libertad Adopting the slogan “Your work can help Libertad has partnered for many years your child’s education”, Libertad decided with numerous associations that work in local to launch a series of tours by school groups communities. For example, each month we CORPORATE SOCIAL RESPONSI- to introduce our children and their fellow donate products to the Food Bank that are “BILITY IS NOT PHILANTHROPY- classmates to the Libertad workplace. The pro- used to provide meals to the needy. -IT’S AN ONGOING, DELIBERATE gramme draws on basic instructional content We are mindful that, beyond our corporate COMMITMENT TO TAKING defined by Argentina’s Ministry of National activities, our social responsibility also means RESPONSIBILITY FOR THE IMPACT Education to offer schoolchildren visiting our helping our employees become more involved OF OUR ACTIVITIES stores a true learning experience. Since the in the community. We therefore launched the ON OUR STAKEHOLDERS. Libertad volunteer programme, for example, It involves doing our economic, social and which allows employees to volunteer two hours environmental duty, in addition to fulfilling our of their time each week to help disadvantaged regulatory obligations and complying with area children and senior citizens. what the community expects of us as a Group. Our first group of Libertad volunteers, Social responsibility initiatives are essential assembled in 2007, is helping to collect and for the advancement of society in general distribute goods for the Food Bank. During the and companies in particular. ” past year we donated nearly 600,000 kilo- grammes of food. Our volunteers have helped to distribute food aid at several emergency meal sites in the city of Cordoba and have also lent their support to the task of storing and invento- rying goods in each warehouse.

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47 2007 Sustainable Development Report ACTIONS AT INDIVIDUAL COUNTRY LEVELS

AREA POPULATION GDP PER CAPITA 8,557,000 sq. km 189,300,000 US$ 4,730 The Casino Group DATE ESTABLISHED STORES 575 2007 NET REVENUE 1999 Extra 91 €1,907 million in Brazil Pão de Açúcar 153 Sendas 62 TOTAL WORKFORCE AT 31/12/2007 Assai 15 63,379 employees Comprebem 178 Extra Fácil 19 Extra Perto 15 Eletro 42

OUR ACTIONS IN BRAZIL

EXAMPLES OF SUSTAINABLE DEVELOPMENT ACTIVITIES IN 2007 ESTAÇÃO DA CIDADANIA: ENCOURAGING CARAS DO BRASIL: CIVIC-MINDED ACTION FOR COMMUNITY-MINDED Launched in August 2006 in the former RETAILING Sorocabana train station in Santos, the Estação Since 2003, the Pão de Açúcar group has da Cidadania (Community Station) project aims been inviting small-scale craftspeople from to enhance cooperation among various local rural areas to sell their goods in its stores. The organisations in order to spark civic-minded programme, known as Caras do Brasil (“Faces community action by local residents. of Brazil”), operates in 37 Group stores and Coordinated in conjunction with the Office of provides income to 71 artisans from 19 Community Development for the city of Santos Brazilian states. The crafts on display, created and the NGO Concidadania, Estação da primarily from local materials, also help to high- Cidadania already boasts nearly 5,000 mem- light the country’s cultural diversity. Rising ber volunteers. sales are a testament to the programme’s suc- cess, and Caras do Brasil was cited as a best practice at a United Nations international ENCOURAGING INTEGRATION conference in Geneva. THROUGH SPORT In an effort to teach more people about Within a group of seven sectors deemed the principles of a healthy, balanced diet, we DISSEMINATING BEST strategic, the Extra chain of stores is serving began the Eating Well programme in 2006, PRACTICES AMONG SMEs to represent the retail industry. As part of the using a travelling kitchen that rotates among In partnership with the Ethos Institute for project, the Group has made a commitment to our Comprebem stores. Developed in partner- Business and Social Responsibility and the identifying best practices and seeing these ship with the São Paulo municipal government, Inter-American Development Bank, the Pão de practices implemented at 15 SMEs in its sup- the programme focuses on classes offered by Açúcar group is participating in a project ply chain. Upon completion of the project, nutritionists, who teach local residents about designed to encourage the adoption of Sustain- participating suppliers will be awarded the label nutritional health and food safety. These ses- able Development practices in Brazil’s small Da Melhor Natureza (“the best of nature”) as sions have drawn nearly 11,000 people since and medium-sized enterprises (SMEs). a way of singling out their products. 2006.

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48 ACTIONS AT INDIVIDUAL COUNTRY LEVELS Casino Group KEY FIGURES AREA POPULATION GDP PER CAPITA 1,140,000 sq. km 46,200,000 US$ 2,740 The Casino Group DATE ESTABLISHED STORES 257 2007 NET REVENUE 1999 Exito 74 €1,682 million in Colombia Ley, Pomona and other stores 48 Q’precios 4 TOTAL WORKFORCE AT 31/12/2007 Carulla 131 22,501 employees

OUR ACTIONS IN COLOMBIA

EXITO FOUNDATION Among the notable projects carried out by the Foundation in 2007: ACTIVITIES IN 2007 — a used book exchange, designed to reduce the financial burden of schooling for poor In 2007, the Exito Foundation invested families, collected a total of €353,843 through nearly €4 million in community projects, parti- the exchange of 33,910 books; Mauricio cularly in the areas of food aid (accounting for — the Christmas campaign raised €570,030 Faciolince Prada 56% of the Foundation’s budget) and educa- used to purchase 304,155 toys for disadvan- General Manager tion (25%). taged children; for Risk, Exito These programmes benefited 197,979 chil- — the Exito Foundation Prize for Child Nutrition, dren, 39,793 young people, 1,365 pregnant now in its fifth year, received 48 proposals; IN 2007, EXITO STORES women and breastfeeding mothers and 1,842 — an alliance with the United Nations World “REAFFIRMED THEIR COMMITMENT children with disabilities. Food Programme, backed by funds totalling TO EMPLOYEES, THE ENVIRONMENT, The Foundation also donated 1,994,458 kilo- €112,348, provided support to 4,537 displa- LOCAL COMMUNITIES AND grammes of food, valued at €554,980, to local ced persons; SOCIETY AT LARGE BY TAKING food banks, aiding a total of 102,624 recipients. — 40 volunteers from the company as well as ACTION IN SEVERAL AREAS: 12 outside volunteers donated their time to — investing in systems and equipment designed projects aimed at helping local communities. to reduce our impact on the environment; — raising environmental awareness among our With regard to the environment, Exito’s customers and employees, notably through recycling programme led to the recovery of the adoption of biodegradable shopping bags; 13,183 metric tons of recyclable materials and — complying with Colombia’s environmental regulations prevented the felling of 179,289 trees, while governing waste, water quality and noise pollution; reducing water consumption by 316,392,000 — partnering with Philips to teach members litres. of the community about sensible energy use and the fight against global warming; — preventing the risk of workplace accidents and occupational illness; — contributing to the education and proper nutrition of disadvantaged children through the work of our Exito Foundation. ”

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49 2007 Sustainable Development Report ACTIONS AT INDIVIDUAL COUNTRY LEVELS

AREA POPULATION GDP PER CAPITA 178,000 sq. km 3,300,000 US$ 5,310 The Casino Group DATE ESTABLISHED STORES 52 2007 NET REVENUE 1998 Géant 1 €213 million in Uruguay Disco 27 Devoto 24 TOTAL WORKFORCE AT 31/12/2007 6,541 employees

OUR ACTIONS IN URUGUAY

FOR THE PAST SEVERAL YEARS, THE DISCO GROUP ENHANCING FOOD SAFETY “HAS BEEN ESPECIALLY ACTIVE IN DEMONSTRATING In 2006 we launched a wide-ranging ini- ITS COMMITMENT TO SOCIAL RESPONSIBILITY, tiative to intensify our focus on food safety THROUGH NUMEROUS ACTIVITIES ON BEHALF OF issues and promote best practices within the THE ENVIRONMENT, ECONOMIC AND CULTURAL Group. This commitment continued into 2007, DEVELOPMENT, EMPLOYEE WELL-BEING AND SUPPORT notably with the creation of a special training FOR LOCAL COMMUNITIES. programme for all employees who work with Each year we provide funding for hundreds of local community projects targeting perishable goods. areas such as crèches, food aid networks and primary schools. We also play a major role when emergency aid is needed-in the wake of flooding, for example- by providing for the collection of donations, meals and clothing. In 2007 we focused ENCOURAGING EFFORTS our attention on health and food safety, encouraging waste recycling and offering TO RECYCLE WASTE protection to disadvantaged children. In collaboration with the city of Monte- ” Miguel Penengo video, we started a campaign to raise public Director of Human Resources, Disco Group Uruguay awareness of the importance of recycling by distributing plastic bags in different colours, enabling easier sorting of wet and dry waste for recycling. Moreover, we continued our efforts to encour- age recycling of our own waste. For example, our Géant hypermarket performs selective partner in a campaign to ensure that children sorting of its fermentable waste, cardboard, from the most impoverished neighbourhoods HELPING OUR EMPLOYEES plastic and solid waste products. of Montevideo are not left behind. Thanks to EXPAND THEIR SKILLS this project, over 2,500 children receive an We are constantly taking steps to further education, meals, books and computers in a career development among our employees. COMING TO THE AID safe and benevolent environment. Funding for Continuous training is one of the most impor- OF LOCAL COMMUNITIES the project is also used to provide training for tant building blocks of our skills development We offer support to a range of local com- instructors, build classrooms and organise policy. Our programmes combine internal and munity projects each year, including the Niños school trips and cultural activities. external training both within Uruguay and con Alas (“Kids with Wings”) Foundation, our abroad.

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50 ACTIONS AT INDIVIDUAL COUNTRY LEVELS Casino Group KEY FIGURES AREA POPULATION GDP PER CAPITA 913,000 sq. km 27,500,000 US$ 6,070 The Casino Group DATE ESTABLISHED STORES 62 2007 NET REVENUE 2000 Exito 6 €582 million in Venezuela Cada 38 Q’precios 18 TOTAL WORKFORCE AT 31/12/2007 5,650 employees

OUR ACTIONS IN VENEZUELA

ativen has adopted a two-pronged Social C Responsibility Plan that includes both a STRATEGIC ACTIVITIES philanthropic component and-for activities that Training for everyone have a direct impact on our business-a strate- — Cativen’s vocational institute trains employees gic component. from Cada and Exito stores in key retail skills designed to ensure quality service for our cus- tomers. In 2007, 193 employees took part in our PHILANTHROPIC ACTIVITIES bakery, seafood, meat and customer service Our philanthropic actions are carried training programmes. Laurent Zecri out under the auspices of the Niños del Sol — Cativen’s school for Leaders in Action (ESCALA) Director of Administration Foundation, which since 2003 has been instru- is a continuing training programme that allows and Finance, Cativen mental in providing food and an education to supervisors to gain the skills and knowledge they disadvantaged children. need for their career advancement. We provided During 2007, the Foundation continued its training to 423 employees during 2007, in areas TODAY WE CAN SAY WITH PRIDE efforts on behalf of social integration for the ranging from time management and quality assur- “THAT CATIVEN AS A COMPANY ACTS benefit of 956 children and teenagers, signing ance to management techniques. RESPONSIBLY TOWARDS agreements with a variety of educational organ- In addition to these two ongoing programmes, ITS EMPLOYEES, ITS SUPPLIERS, isations: 4,515 employees participated in other training ITS SHAREHOLDERS, — Luisa Cáceres de Arismendi kindergarten modules in 2007, on subjects including emotion- THE SURROUNDING COMMUNITY (38 children); al intelligence, effective communication and AND, MORE BROADLY, — La Esperanza School (187 children); managerial skills. THE COUNTRY AS A WHOLE. — Casa Hogar Inmaculada Concepción With our TIMOTES programme, we are working hand (40 girls and teenagers); TIMOTES: providing support in hand with small local producers throughout — the Light and Life Foundation (443 children to small local producers the country, incorporating them directly into the retail and adolescents); Created in 2002, the TIMOTES programme aims network to help bring about fairer trade. Our Niños — Vicente Salias kindergarten (248 children). to forge a direct working relationship with local del Sol (“Children of the Sun”) Foundation made In cooperation with the School of Nutrition producers, eliminating the need for intermedi- it possible for over 900 impoverished children and at the Central University of Venezuela, we have aries. We provide backing for the development of teenagers to attend school and receive proper embarked on an extensive programme to edu- associations and cooperatives that provide tech- meals during the past year. We have also taken major cate the public about nutrition. A nutritional nical and legal assistance to help small-scale steps to enhance our employees’ career development, assessment was performed on over 400 chil- producers expand their business and improve by defining clear and equitable policies for the entire dren and teenagers. Ninety-five children from their living conditions. The project includes farm- workforce as well as a comprehensive continuing La Esperanza School in the city of Caracas took ers in both the Andean and eastern regions of the training programme, so as to help create a rewarding part in instructional workshops on proper eat- country, as well as fishermen and cattle produc- work environment. And we are launching several ing habits. We also prepared a food guide ers throughout Venezuela, and has directly or new projects, notably with regard to nutrition, in which designed to provide children with a simple, indirectly generated over 500 jobs. our stores and volunteers will play a substantial role. ” entertaining way to learn about the elements of a balanced diet.

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AREA POPULATION GDP PER CAPITA 514,000 sq. km 65,700,000 US$ 2,990 The Casino Group DATE ESTABLISHED STORES 58 2007 NET REVENUE 1999 Big C 54 €1,455 million in Thailand Leader Price 4 TOTAL WORKFORCE AT 31/12/2007 14,295 employees

OUR ACTIONS IN THAILAND

SUPPORTING EDUCATION INSTILLING FOR THAI YOUTH A TASTE FOR READING The Big C Foundation has been involved With the aim of encouraging reading for several years in educational programmes among young people, the Big C Foundation targeted to Thailand’s young people. In 2007, organised a “reading marathon” in 2007 in the Foundation awarded 2,400 academic each of the country’s Big C stores. Participants scholarships to Thai secondary-school pupils, in the event used the Thai Junior Encyclope- totalling 9,600,000 bahts (over €220,000). An dia, providing an opportunity to celebrate the award-giving ceremony was held in each of the eightieth birthday of Thailand’s King, who was country’s Big C stores, with the various provin- the impetus behind the reference work. The cial governors in attendance. two winners were presented with their prize and The Foundation also supplied funding for the an academic scholarship by HRH Princess construction of numerous schools and libra- Maha Chakri Sirindhorn. ries across the country. The Big C Foundation donated copies of the Junior Encyclopedia to nearly 500 Thai schools.

AN AWARD-WINNING COMMITMENT TO WORKPLACE “HEALTH AND SAFETY Employee health and safety are a priority for Big C, which has been working in cooperation with Thailand’s Department of Labour Protection and Welfare for thirteen years to maintain a workplace risk prevention programme in every one of its stores. A programme was established in 2003 to award national trophies to the stores that have compiled the best record in complying with extremely stringent criteria. Since 2006 this recognition has been bestowed on over 25 stores that recorded no serious or disabling injuries during the previous year and had a rate of absenteeism from workplace accidents of less than 2%. ” Quang Nguyen Director, Administration and Finance

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52 ACTIONS AT INDIVIDUAL COUNTRY LEVELS Casino Group KEY FIGURES AREA POPULATION GDP PER CAPITA 332,000 sq. km 85,100,000 US$ 690

DATE ESTABLISHED STORES 7 2007 NET REVENUE The Casino Group € in Vietnam 1998 Big C 7 81 million TOTAL WORKFORCE AT 31/12/2007 1,924 employees

OUR ACTIONS IN VIETNAM

o be a responsible company, integrated AFTER TEN YEARS OF SUSTAINED ECONOMIC AND SOCIAL Tinto Vietnamese society and alert to the “GROWTH, SUSTAINABLE DEVELOPMENT IS BECOMING concerns of the Vietnamese public: that is the AN INESCAPABLE ISSUE IN VIETNAM. clearly articulated goal of Big C Vietnam. This In its expansion strategy for Vietnam, Big C has adopted the perspective and approach commitment is also reflected in the Group’s five of a responsible company that wants to show respect for the environment and contribute values: customer satisfaction, innovation, trans- to its community and to Vietnamese society. What this means in terms of our day-to-day parency, responsibility and solidarity. actions is that we seek out a special dialogue with our stakeholders, actively participate in social With help from the many customers who pass and community activities, streamline our work methods and procedures to comply with through its stores each day, Big C Vietnam international standards, provide professional training to our workforce and continually improve strives to act as a positive influence in the our employees’ working conditions and professional status. It also means that we develop greater community. networks for "clean" products, that we call on our suppliers to take responsibility for the quality, safety and compliance of their products and services, and that we educate our customers on matters relating to the environment, social responsibility and public health. ” OFFERING A HELPING HAND TO THE MOST DISADVANTAGED — the Hoa Sua Vocational Training School, part Each year our stores mobilise on behalf of Hanoi’s educational system, trains disadvan- of several initiatives targeted to populations in taged youths in fields relating to restaurant and need. Recent campaigns have included the hotel management. The bakers, pastry chefs, following: butchers, deli managers and fishmongers who — in the wake of Typhoon Lekima, which staff the Big C stores in Thang Long and struck two Vietnamese provinces in October Danang received their training at the school; 2007, Big C and the Casino Group provided aid — Hoa Sen University has provided combined for school reconstruction and food program- work/study training to two groups of adminis- mes through the Écoles du Soleil foundation; trative and sales staff secretaries from the — over the past nine years, Big C stores in central purchasing office as well as to section Dong Nai and Ho Chi Minh City have marked supervisors from the Big C stores in Ho Chi Vietnam’s children’s festival in June and the Tet Minh City; Festival by organising regular drives to collect — most of Big C Vietnam’s financial managers donations and gifts for orphanages; and administrative auditors received training — the Big C store in Danang donated 10 EXPANDING VOCATIONAL at the CFVG school of business. An agreement community housing units to the People’s Com- TRAINING was signed with the school in Ho Chi Minh City mittee of Danang City; In a move to widen opportunities for to provide instruction to “young managers from — Haiphong’s Big C store made a donation to vocational training in the country, Big C Viet- Big C Vietnam”. Three students have already the city’s Red Cross to inaugurate and restore nam has signed agreements with a number of assumed positions as store managers. the “Tinh Nghia” house for victims of asbestos. specialised organisations: 08-0495-44-54 RA DD2007 19/06/08 10:40 Page 53

53 2007 Sustainable Development Report ACTIONS AT INDIVIDUAL COUNTRY LEVELS

The Casino Group DATE ESTABLISHED STORES 49 2007 NET REVENUE 2002 Jumbo hypermarkets 11 €834 million in the Indian Ocean Score and Jumbo supermarkets 19 Region Cash & Carry supermarkets 5 TOTAL WORKFORCE AT 31/12/2007 Spar supermarkets 6 4,200 employees Other 8

OUR ACTIONS IN THE INDIAN OCEAN REGION

several of our retail networks in France: Petit EXPANDING PRODUCTION Casino, Casino supermarkets and Casino OF SOLAR ENERGY Géant mounted a joint fund-raising campaign France’s largest photovoltaic power unit by selling 36,000 copies of a CD titled “A Drop was installed on the roofs of Saprim, Vindémia’s of Water”. All proceeds from the sales were central purchasing agency on Réunion, in June passed on to Sekolin to fund the construction 2006. In operation since December 2007, of 12 schools in . the unit can produce up to 2.7 GWh TO LEARN MORE: visit the association’s Web annually-enough to power 800 homes. Similar site: www.sekolin.com installations on the rooftops of other Group warehouses or stores are currently in the plan-

ning stages. (1) Frigorie: quantity of heat to extract from 1 kg of water at 15°C to lower its temperature by one degree.

A PIONEERING BUSINESS Vindémia, the Casino Group’s subsidiary SOCIAL RESPONSIBLITY in the Indian Ocean region, has been active on ON MADAGASCAR the Sustainable Development front for several While Madagascar is known for its extraor- years. On Réunion, the Group was among the dinary biodiversity, it is also one of the poorest first retailers to gradually introduce new options countries in the world. for replacing the traditional shopping bag, Sekolin’ Ny Masoandro, an association including ecobags and exchangeable, reusable founded in 2003 by Group employees, under- bags. It was also the first, in partnership with takes charitable projects among Madagascar’s French electrical utility EDF, to install refriger- disadvantaged communities. Group members ation storage units that accumulate frigories(1) have helped build schools, clinics, wells and during the off-peak overnight hours--anticipat- water supply networks, lent critical support to ing local regulations. And all waste from our local beekeeping efforts, and boosted exports shopping centres is now sorted and subse- of organic lychees, among other activities. quently recovered or composted. In 2007 the association received backing from 54 2007 SUSTAINABLE DEVELOPMENT INDICATORS Casino Group

FRANCE FRANCE THE INDICATORS UNIT CASINO MONOPRIX NETHERLANDS Energy consumption by source - Electricity MWh 1,284,067 286,437 148,138 - Natural gas MWh 147,439 19,950 6,795 Water consumption cubic metres 2,165,784 244,755 125,000 Greenhouse-gas emissions attributable to transport of goods CO2-equiv. 130,938 53,967 130,938 (between warehouses and stores) metric tons Sorted waste collected for recovery metric tons 28,018 19,370 – (for fuel or reuse)

Quality audits on supplier production sites number 668 – 39 Number of in-store quality audits number 2,042 – 0 Total workforce at 31 December number 49,644 19,641 3,500 Permanent contracts (annual average) number 45,380 16,931 3,145 Limited-term contracts (annual average, excluding temporary staff) number 5,049 2,346 355 Temporary staff (monthly average) number 1,924 – 1,069 Percentage of women in the workforce, by job category - Managers % 26.00 51.00 6.00 - Supervisors % 37.00 60.00 32.00 - Employees % 67.00 71.00 57.00 Turnover of employees with permanent contracts % 17.29 20.00 – Employees hired to permanent contracts number 9,303 3,329 283 Employees hired to limited-term contracts number 29,340 13,725 326 Redundancies for economic reasons number 127 25 839 Redundancies for other reasons number 2,083 940 103 Net increase (loss) in jobs with permanent contracts number – 503 – 42 – 1,077 Average workweek for part-time employees hours 23.84 24.38 19.80 Average workweek for full-time employees hours 33.90 35.00 38.60 Part-time employees in the total workforce % 37 40 32 Total salary and wages paid during the fiscal year thousands of € 1,037,204 387,444 178,899 Employees covered by a profit-sharing agreement % 100 100 – Employees covered by an incentive-bonus agreement % 100 100 – Disabled employees % 9.63 3.92 2.00 Disabled employees hired during the year number 102 97 – Meetings with employee representatives number 10,532 3,478 9 Work accident frequency rate in accidents number 45.61 52.91 per million hours worked Work accident severity rate in number number 2.30 1.38 of days lost per thousand hours worked

Employees receiving safety training during the year number 8,319 3,220 Average training per employee hours 6.3 4.50 Employees promoted during the year number 624 955 Internal promotion rate % 1.4 4.9 Total payments to the works council € 12,041,018 2,893,993 Total donations € 3,025,493 –

This table list the primary indicators from our various subsidiaries in 2007. Data from previous years as well as additional indicators can be found at our Web site www.groupe-casino.fr 55 2007 Sustainable Development Report 2007 SUSTAINABLE DEVELOPMENT INDICATORS

INDIAN ARGENTINA COLOMBIA VENEZUELA URUGUAY VIETNAM THAILAND BRAZIL OCEAN

117,891 274,740 95,014 72,118 18,750 437,948 988,000 61,325 19,300 27,904 – 6,864 203 – 1,740 – 905 4,006,606 248,078 194,438 106,133 4,470,000 2,628,470 101,311

– – – – 47,000 – 6,988 34,505

1,782 12,821 – – – – 4,945 5,332

– 98 10 – – – 570 – – 73 47 – – 2 9,180 – 4,431 22,501 5,050 7,036 2,178 14,295 64,470 2,990 0 18,590 – 5,303 724 11,637 60,603 2,214 0 3,795 – 187 852 2,659 4,137 615 190 – 700 0 – 3,377 – 38 51.50 – 37.00 – 0.48 40.00 50.00 12.00 20.00 27.00 51.00 – 4.62 44.00 59.00 28.00 31.00 47.00 52.00 – 46.96 60.00 54.00 50.00 53.00 2.00 6.00 21.00 5.00 4.00 38.00 38.54 6.00 1,493 168 676 1,342 307 4,597 – 87 0 7,004 3,065 2,244 1,087 15,007 4,587 1,389 0 89 – 0 22 0 2,695 0 – 683 – 150 12 3,528 23,123 70 751 0 - 102 551 268 – 147 4,388 – – 32.60 40.70 30.47 37.22 – 31.00 27.18 – 41.00 44.00 44.00 48.00 47.00 44.00 37.76 47 41 66 22.06 43.00 – 6.39 29 22,547 126,151 26,469 – 2,125 42,763 206,595 83,428 – 0 100 – – – 0.32 95 0 28 71 – – 99 7.00 99 0.99 0.34 – 0.47 – 0.30 0.62 – 44 63 123 2 1 16 60 7 36 21 131 70 – 0 222 228

47.25 3.50 6.96 44.54 5.12 31.20 6.64 33.03

43.80 29.15 – 0.97 0.03 – 0.24 0.50

2,393 522 1,754 1,115 1 16,362 19,724 487 30.18 158.00 15.00 9.70 8.90 21.30 10.90 8.60 68 528 243 676 121 1,377 7,794 48 53.9 2.8 11.1 12.8 13.4 12.2 24.2 2.2 – 43,161 – – – – 0 399,418 – 3,807,675 96,780 93,601 18,700 410,515 – –

Environment Economic Social 56 APPENDICES Casino Group

REPORTING METHODOLOGY

SCOPE REPORTING OF REPORTING METHODOLOGY

Data and assertions published in this Procedures for collecting, calculating document concern Casino France, except EXCLUSIONS and consolidating Sustainable Development when explicitly mentioned. Because of a lack of operational control, indicators were formalised in 2003 in a meas- Casino France consists of all Casino Group data for franchised properties (notably Fran- urement and reporting protocol that was entities in France, subsidiaries directly or indi- prix/Leader Price stores) have not been updated in 2004 and distributed in French, rectly held by Casino, Guichard-Perrachon, of included in the 2007 scope of reporting. English and Spanish to everyone involved in the which the most significant are the following: reporting process in France and in foreign sub- Distribution Casino France and its subsidiaries sidiaries. The Environment portion of the (Acos, Casino Vacances, Codim 2, etc.), EMC SIGNIFICANT CHANGES protocol was updated in the French version in Distribution, Immobilière Groupe Casino (IGC) IN THE 2007 2007. and its subsidiaries (Sudéco, IGC Services, SCOPE OF REPORTING Mercialys, Mercialys Gestion, etc.), Casino The Casino subsidiary in the United States The protocol defines: Information Technology (CIT), Easydis, Casino and Mexico was sold in 2007 and is excluded — the organisation of the Sustainable Deve- Services, Casino Cafétéria and its R2C foodser- from the 2007 reporting. lopment data collection and consolidation vice subsidiary. process; — the responsibilities of the different process levels; OTHER SUBSIDIARIES — the scope of reporting and guidelines for When explicitly identified, the other integrating changes in the scope (disposals and Group subsidiaries also concerned are as acquisitions), except for the social indicators; follows: — definitions to facilitate understanding of the — in France, Monoprix (and its subsidiaries), data requested; in which the Casino Group holds a 50% stake — methods for calculating indicators, in line and for which data are included on a 100% with applicable international or national stan- basis; dards. — all Casino Group subsidiaries and holdings Experts on the Sustainable Development Com- in the following countries or geographical areas: mittee control data consistency as necessary Argentina, Brazil, Colombia, Indian Ocean, in their respective areas. Thailand, Uruguay, Venezuela; The compilation of data is centralised by the — all data available for these subsidiaries are Sustainable Development Department. included on a 100% basis and presented on pages 54-55 of this report. 57 2007 Sustainable Development Report APPENDICES

REPORTING NOTES REGARDING PERIOD THE PUBLISHED DATA

The Casino Sustainable Development With regard to the methodology used to Report is published once a year. The results calculate the Sustainable Development data, it mentioned in this report concern 2007. should be noted that the accuracy of these data The indicators are generally collected over may be affected by the following: a period extending from 1 January to 31 De- — No uniform, international definition exists for cember of the reporting year. The majority the following indicators: disabled employees of the social indicators cover the period from and the number of disabled employees hired, 1 December 2006 to 30 November 2007. average hours of training per employee, rate of internal promotion. The definition of these indicators may vary in accordance with local laws or practices. — The number of sites changes constantly over the course of the year, which hinders precise monitoring of a given indicator’s full scope. — The work accident frequency and severity rates include occupational diseases. — The “metric tons of CO2 prevented through improved logistics” indicator assumes a theo- retical baseline in which all of the fleet vehicles owned by the Group in France perform empty hauls on their return journey from the store to the warehouse. — Data on the quantity of waste produced and recovered, as envisioned in the reporting pro- tocol, are not currently available. 58 APPENDICES Casino Group

OPINION OF THE INTERNAL AUDITORS ON CASINO’S SUSTAINABLE DEVELOPMENT PROCESS AND REPORTING SYSTEM AND ITS MONITORING OF SUSTAINABLE DEVELOPMENT ACTION PLANS

OBJECTIVES ACTIVITIES PERFORMED CONCLUSIONS

The 2008 internal audit is part of an an- A review of the 2007 Sustainable Develop- Out of a total of 70 action plans analysed, nual, ongoing effort to solidify the Casino ment Report’s action plans and its general 94% had been completed or were in the Group’s Sustainable Development Policy and consistency was performed: process of being completed on the date of our ensure the reliability of its data. — the Group’s Internal Audit department review. In view of the explanations and support- It was therefore designed to: measured the extent to which the objectives ing evidence that were provided to us, we — identify the extent to which the objectives contained in the report had been fulfilled and recommended that modifications be made to associated with the action plans appearing in reviewed the reliability of the quantitative data 14 action plans. It therefore appears that the the 2007 Sustainable Development Report and associated with the action plans applicable in audit procedures that served as the basis for falling within the scope of the review in France France; the report must be made more stringent in described below, and those published on the — the internal controls used for the purpose of order to ensure the reliability of the information Group’s corporate Web site and falling within drafting the Sustainable Development report submitted. Lastly, with regard to the interna- the same scope, have been fulfilled; were also evaluated; tional indicators, the Sustainable Development — validate the reliability of the corresponding — in addition, an analytical review was con- Department publishes only those indicators quantitative data; ducted on the indicators provided by the that it deems reliable and suitable for purposes — ensure that the Casino Group deploys ade- international subsidiaries, for which the report- of comparison among the various subsidiaries. quate resources to guarantee the long-term ing rate was 65% this year, compared with To date, the organisation currently in place viability of its Sustainable Development com- 63% in 2006; has been able to comply with regulatory mitment. — finally, a specific analysis was performed of requirements and meet the various challenges the organisation of the Sustainable Develop- relating to Sustainable Development. Nonethe- ment process within the Casino Group and less, given exponential growth in legislation SCOPE possible changes. coupled with new expectations among con- sumers and stakeholders, this organisation will The scope of the review extended to the have to be modified in order to enable a more following: stringent level of internal auditing associated — in France: DCF and its subsidiaries, EMC with the Sustainable Development policy. Distribution, Immobilière Groupe Casino and its subsidiaries, Casino Information Technolo- gy, Easydis, Casino Restauration. Cdiscount, Internal Audit Department Franprix, Leader Price and Monoprix were excluded; — worldwide: all of the Group’s subsidiaries in Argentina, Brazil, Colombia, the Indian Ocean, Thailand, Uruguay, Venezuela and Vietnam, and excluding the Netherlands. 59 2007 Sustainable Development Report APPENDICES

REPORT BY THE STATUTORY AUDITORS ON THE PROCEDURES FOR COLLECTING CERTAIN SUSTAINABLE DEVELOPMENT INDICATORS AND ON SELECTED INDICATORS

n response to its request and in our dard on Assurance Engagements, but it does CONCLUSION I capacity as the Statutory Auditors for the provide a basis on which to formulate findings regarding the Procedures. REGARDING accounts of Casino, Guichard-Perrachon, we THE SELECTED have conducted the activities necessary to With regard to the selected Indicators enable us to state: With regard to the three Indicators and the INDICATORS — our findings regarding the reporting proce- scope encompassing Casino France alone In the course of our activities, we have dures for certain Sustainable Development (excluding Monoprix), we conducted a limited discovered the following anomalies: indicators(1) published for the 2007 fiscal year number of activities in addition to those — For the indicator Water consumption, con- in the present report (“the Procedures”); described above, designed to provide a mod- sumption at sites that lack individual meters — a moderate level of assurance regarding erate assurance that these Indicators contain (which account for approximately 50% of three environmental and social indicators(2) no significant anomalies. A greater level of consumption by Casino France) has been selected by the Casino Group (“the Indica- assurance would have required more exten- estimated using the average consumption at tors”). sive work. sites with meters. The Procedures specify The social and environmental information that At the headquarters, we conducted survey- that water consumption should be estimated based testing designed to confirm our calcula- appears in the report was prepared under the on the basis of invoiced amounts. tions and reconcile the data with accounting responsibility of the executive management of — For the indicator Work accident frequency sources. Casino, Guichard-Perrachon, in accordance rate, our work does not enable us to draw any with the “Measurement and Reporting Proto- conclusions regarding the exhaustiveness col”, the principal components of which are with which accident reports are transmitted described on pages 56-57 (“the Protocol”). It FINDINGS CONCERNING to the headquarters by the sites. The internal is our responsibility to prepare our findings and THE PROCEDURES controls performed by the Casino Group pro- conclusion based on the activities described vide no guarantee of this exhaustiveness. — The Protocol exists in French, English and below. Based on our activities and subject to these Spanish. The French version, which was reservations, we have not found any major updated in 2007 to specify certain calcula- anomalies that prevent us from concluding tion methods, has not been distributed to all NATURE AND SCOPE that the selected Indicators have been of the subsidiaries. established, in all significant respects, in OF THE ACTIVITIES — To enhance the relevance of the pub- accordance with the Protocol. With regard to the Procedures for de- lished indicators in light of the Group’s objec- veloping the Sustainable Development tives, the volume of waste generated and recovered could be subjected to more com- indicators Lyon and Paris-La Défense, 15 May 2008 As agreed, we have carried out the following prehensive tracking. — The section of the Protocol concerning the activities: The Statutory Auditors work accident frequency rate was not — We have familiarised ourselves with the applied in the countries that were queried Protocol and reviewed its precision, clarity, ERNST & YOUNG Audit (Colombia and Thailand), because no calcu- objectivity, exhaustiveness and pertinence Jean-Luc Desplat lation is performed of the number of hours with regard to Casino’s activities. worked. — We conducted interviews with personnel ERNST & YOUNG — The Protocol should specify the metho- responsible for implementing the Procedures Environment and Sustainable Development dology used for the integration of subsidiaries Éric Duvaud for the collection and consolidation of indica- outside France, particularly during the first tors at the headquarters for Casino France year of integration. (excluding Monoprix), Colombia and Thailand. — A more thorough internal control and (1) Energy consumption by source; water consumption; green- By means of these interviews, and with the use improved appropriation of the Protocol by house-gas emissions attributable to transport of goods (between of surveys, we tested the application of the Pro- contributors, especially those outside France, warehouses and stores); sorted waste collected for recovery; cedures with regard to eight indicators(1). would yield indicators of more uniform tonnage of batteries collected from customers; total workforce at 31 December; percentage of women in the workforce, by job We reviewed the consistency and proper quality. category; work accident frequency rate. reporting of the data provided by all of the coun- — The findings obtained from our activities (2) Energy consumption by source, water consumption, work tries in the table of indicators published on regarding the Procedures are consistent with accident frequency rate. pages 54-55. the methodology described by Casino, Work of this nature does not include all controls Guichard-Perrachon on pages 56-57 and appropriate to an audit designed to provide a specifically with the limits on the scope of guarantee in accordance with the auditing reporting, which does not include the fran- standards contained in the International Stan- chised operations Franprix and Leader Price. 60 APPENDICES Casino Group

THE SUSTAINABLE DEVELOPMENT COMMITTEE

FRANCE Marie-José Chaduiron Guy Julien-Laferrière Philippe Precheur INTERNATIONAL Marketing Manager, Traditional Environment Manager, Director, Initial Training Jean-Claude Achard Fresh Products and Terre Immobilière Casino Cecilia De Lima Taisa Director, MRO and Equipment et Saveur Claudine Quentel (Brazil) Purchasing Nobert Katjounis Quality Department, Traditional Executive Management, Sandra Chartoire Marketing Manager, Traditional Fresh Products Pão de Açúcar Annie Ayel Reorganisation Projects Fresh Products Policy Director, Employment Nathalie Raillard Thi Quynh Trang Duong of the Disabled René Chaverondier Françoise Laurenson Communications Manager, (Vietnam) Director, Property Management, Director, Recruiting and Career Mercialys Public Relations Department Patrick Bajat Immobilière Casino Management Manager, Web and Audiovisual Pierre Ragey Graziella Grondin Department Joëlle Chevalier Stéphane Mansion Accounting, Divisions (Indian Ocean) Corporate Communications Special Assistant and Subsidiaries Employee Relations Isabelle Barille for Sustainable Development, Manager, Organic Products Dorothée Civard Immobilière Casino Emmanuel Reynaud Juan Carlos Isoardi and Cross-Disciplinary Projects Operations, Casino Cafétéria Buyer (Argentina) Daniel Marque Director, Administration Bruno Colombani Noelle Richard Christophe Bergerac Director, Corporate Legal Affairs and Finance Operations Manager, Property Social Ethics Manager, Project Manager, Hypermarkets EMC Distribution Gérard Massus Management Department Nicolas Rolland Mauricio Faciolince Director, Group Employee (Colombia) Hervé Colombier Operations Supervisor, Activities Pascal Beyrand Relations General Manager, Risk Logistics Coordinator, Easydis Operations, Casino Cafétéria and Maintenance, Casino Géant Jean-Paul Morin Quang Nguyen Thierry Combettes Daniel Sueur Alain Blond Director, Traditional Fresh (Thailand) Human Resources Management Human Resources Director, Deputy Director, SMEs Taskforce, Products Channels Director, Administration EMC Distribution Headquarters Support Services Hervé Costes Évelyne Pacoret and Finance Director, Group Accounting Dominique Vaccarezza Guy Boudarel Director, Headquarters Miguel Penengo Director, Group Training Department Maintenance and Security Quality and Concept Service, Codim 2 (Uruguay) Director, Human Resources Jean-Louis Bourgier Gilbert Delahaye Éric Pacquet International Department General Manager, Quality Director, Convenience Philippe Zander Group Sustainable Development National Maintenance Lilia Plaza Stores Division, and Group (Venezuela) Delphine Bouvard Coordinator, Supermarkets Environment Director Coordinator, Attorney, Business Colomba Flammarion Social Responsibility and Environmental Law Mercialys Bernard Pascal Mansour Zobéri Director of Urban Policy, Property Management Director, Caspar Woolthuis Yves Brisson Marie-France Hernandez Solidarity and Diversity Casino Géant Division (The Netherlands) Operations Supervisor, Concept, Manager, Consumer Information Director of Sustainable Activities and Maintenance, Centre Jean-Jacques Pataud Development, Super de Boer Hypermarkets Director, Group Insurance FOR MONOPRIX Philippe Imbert Daniel Chabroux Director, Group Quality Corinne Picard Anne Mobian Director, Human Resources Manager, Environment Director, Exterior Relations Jean-Philippe Jouanard Administration and Packaging and Sustainable Development Manager, Group Print Communication OUR MAJOR SUSTAINABLE DEVELOPMENT CHALLENGES 6 GROUP PROFILE Encouraging responsible production Message from the Chairman 1 and consumption 8 An international group 2 Taking action to improve nutrition 12 Our mission: Nourishing a world of diversity 4 Helping to combat climate change 16 Ensuring optimal waste management 20 Meeting the challenge of sustainable construction 22 Fostering respect for human rights in the workplace 26 Promoting diversity in the workforce 28 An expanded commitment to workplace health and safety 31

PUTTING OUR POLICIES INTO ACTION 34 A long-term undertaking 36 An ongoing dialogue with our stakeholders 37 Our environmental roadmap 38 Our workplace relations roadmap 40 Our community roadmap 42 Our actions in France 44 Our actions in the Netherlands 45 APPENDICES Our actions in Argentina 46 2007 Sustainable Development indicators 54 Our actions in Brazil 47 Reporting methodology 56 Our actions in Colombia 48 Opinion of the Internal Auditors Our actions in Uruguay 49 on Casino's Sustainable Development Our actions in Venezuela 50 process and its monitoring of Sustainable Our actions in Thailand 51 Development action plans 58 Our actions in Vietnam 52 Report by the Statutory Auditors Our actions in the Indian Ocean region 53 on the procedures for collecting certain Sustainable Development indicators and on selected indicators 59 The Sustainable Development Committee 60

Published by the Casino Group. Photo credits: Corbis; Getty Images; Studio Rauzier-Rivière; APFOUCHA; DDB/Mickaël Baumgarten; Nicolas David; Christian Morel, Cabinet Jonction; Bruno Levy; Anne Van der Stegen; Jean-Marie Huron; Mercialys; Monoprix Photo Library; Michel Dieudonné; Airtech Photos/Stéphane Nys; Casino Photo Library; DR. Design/creation: Typesetting/photoengraving: Compiram, 10, rue Léo Lagrange, ZA La Bargette, 42270 Saint-Priest-en-Jarez, France. Printing: Graphite Développement, ZI des Loges, 42340 Veauche, France. This document is printed on CityGreen 100% recycled modern coated paper. The production process complies with the environmental regulations and guidelines in the Environment/Quality Management System defined by the ISO 9001 and 14001 standards. Groupe Casino B.P. 306 – 1, Esplanade de France F-42008 Saint-Étienne Cedex 2, France Phone: +33 (0)4 77 45 31 31 / Fax: +33 (0)4 77 45 38 38 www.groupe-casino.fr

This report is intended as a tool to facilitate dialogue and continuous improvement. For additional information about the Casino Group and its sustainable development commitments or to share your observations and comments, please contact:

General Manager, Sustainable Development Gilbert Delahaye Phone: +33 (0)4 77 45 34 67 [email protected] www.groupe-casino.fr Casino Group corporate Web site in English www.produits-casino.fr Sustainable Development Information about Casino products Report