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Pentland Positive Business Report 2020

for people for

planet and our Taking action Taking Positive Business Report 2020 Contents This is Pentland Brands’ second annual Feedback 1.0 Introduction 2 Positive Business report, evaluating A view from our CEO 4 improvements we’ve made during the We welcome your feedback how we About Pentland Brands 5 period January 2020 - December 2020 can improve our policies and approach Positive Business 8 and our plans for 2021 and beyond. to corporate responsibility. To get in UN Sustainable Development Goals 9 It evaluates our progress against core touch, email us at metrics set out by the World Economic [email protected] 2.0 Our brands 12 Forum’s International Business Council. It was approved by the Pentland 3.0 Principles of governance 28 Brands Executive team on 11/05/21. 4.0 People 35 Our 2019 Positive Business report can be viewed here. 5.0 Planet 52

6.0 Impact and investment 68

7.0 Future 74

2

Introduction 3 Introduction 1.0 Introduction 4

has taken this year in delivering on our principle principle has taken this year in delivering on our important global challenges we face. 2020 marked we face. 2020 marked important global challenges with you. with you. partners, vendors and retail customers. partners, vendors and retail customers. the fifth year that we have supported the UN have supported the UN the fifth year that we partnerships, product donations and employee donations and employee partnerships, product report outlines our activities in support of the SDGs, activities in support of the SDGs, report outlines our years until the target achievement date in 2030. This This achievement date in 2030. years until the target Chirag Patel Chirag Patel CEO, Pentland Brands of ‘doing the right thing’, by balancing the needs the needs of ‘doing the right thing’, by balancing employees, of the business alongside those of our Charity Network. Sustainable Development Goals (SDGs) and ten Goals (SDGs) and ten Sustainable Development stakeholders expect. We remain committed to addressing the most to addressing the most remain committed We I am incredibly proud of the actions our business business I am incredibly proud of the actions our in 2021 I forward to sharing our progress ensuring we do business by the high standards our standards our ensuring we do business by the high balance of men and women was appointed. women was appointed. balance of men and for the NHS. to develop over 13,000 gowns importance. We endorsed the call to action initiative the call to action initiative endorsed importance. We workers and Endura using fabric from the Berghaus the Berghaus workers and Endura using fabric from that, in October, an Executive team with an equal Executive team with an equal an that, in October, to obtain vital personal to support global efforts with protective equipment during the pandemic, have provided support to 81 to strength. We our profit after tax to charitable causes, through for all existing orders in full and made no order no order for all existing orders in full and made Lendwithcare and continue to donate 1% of net 1% of net Lendwithcare and continue to donate During the COVID-19 crisis, protecting the rights crisis, protecting the rights During the COVID-19 of those in our supply chain remained of critical chain remained of critical of those in our supply Labour Organisation convened by the International cancellations during this period. garment sector. I’m pleased to share that we paid pleased to share that we paid I’m garment sector. donating goggles for use by frontline Speedo donating goggles for use by frontline Our brands continue to lead the way in taking in taking Our brands continue to lead the way strength Our charity partnerships have gone from action for people and our planet. Many found ways found ways action for people and our planet. Many entrepreneurs in emerging markets through entrepreneurs in emerging markets through (ILO) to address COVID-19 impact on the global impact on the global (ILO) to address COVID-19

business remains of vital importance. This year, This year, business remains of vital importance. kept people healthy, motivated and entertained, motivated and entertained, kept people healthy, is improving gender and ethnicity representation is improving gender and ethnicity representation we can deliver on our sustainability commitments. we can deliver on our sustainability commitments. we firmly believe that taking action for people and people and we firmly believe that taking action for way. we developed the Pentland Brands Gameplan; our our we developed the Pentland Brands Gameplan; was unprecedented and impressive. was unprecedented people come together like never before. Our brands like never before. Our brands people come together Despite 2020’s challenges, building a sustainable challenges, building a sustainable Despite 2020’s Positive Business strategy feeds into these plans as these plans as Positive Business strategy feeds into on accelerating our Positive Business strategy so strategy so on accelerating our Positive Business consumers and our communities. The way The way communities. consumers and our in the right our planet is critical to doing business strategy to rebuild our business after the crisis. Our the crisis. Our strategy to rebuild our business after I’m pleased that we’ve appointed Sara Brennan Brennan I’m pleased that we’ve appointed Sara across all levels of our organisation. I’m pleased pleased across all levels of our organisation. I’m as our first Positive Business director. Sara will lead Sara will lead as our first Positive Business director. and our people broke down silos to support our down silos to support our and our people broke

everyone, across the business, pulled together everyone, across the CEO, Chirag Patel Patel Chirag CEO, A specific ambition I’ve set in my first year as CEO year as CEO specific ambition I’ve set in my first A

Although 2020 was a challenging year, it saw our it saw our a challenging year, Although 2020 was A view from our our from view A Introduction 5 Our brands Our

licensees and distributors. licensees and distributors. in sports, outdoor and fashion. with retail and wholesale businesses businesses with retail and wholesale Pentland Brands is a division of a division of Pentland Brands is privately owned, , a directly or are represented by by directly or are represented global brand management company company global brand management Our products are available in over in over Our products are available 190 countries and are sold either are sold either 190 countries and

licensee for Kickers in the UK and in the UK and licensee for Kickers we have a joint venture partnership we have a joint venture partnership for . We also also We for Lacoste footwear. manage the Fitco business. manage the Fitco business. Pentland Brands is the name behind the name behind Pentland Brands is Red or Dead and Mitre. We’re the the We’re Red or Dead and Mitre. outdoor and lifestyle brands. We brands. We outdoor and lifestyle Canterbury own Speedo, Berghaus, , of New Zealand, Endura, SeaVees, KangaROOS, Boxfresh, KangaROOS, SeaVees, some of the world’s best sports, best sports, some of the world’s About us About Introduction 6

We acquire We the Speedo brand We introduce our our introduce We Positive Business strategy first COVID-19 is detected 19 Endura join us We acquire acquire We Californian sneaker brand SeaVees The rugby brand The rugby brand Canterbury joins the group The company is The company is privatized and reverts to being a fully owned family business again Outdoor footwear Outdoor footwear and brand Berghaus joins the Pentland family We build a strong build a strong We relationship with the Lacoste family and become the worldwide licensee for its footwear We sell our share share sell our We in and invest in Speedo Europe, International and We’re appointed appointed We’re UK distributors for ellesse and Kickers We buy a 55% buy a 55% We stake in a small athletic footwear brand called Reebok USA The company name The company name changes to Pentland Industries Ltd We open an office in an office in open We Hong Kong, strengthening our ability to source we Asia and in company become a public listed on the London Stock Exchange We expand into expand into We manufacturing shoes

Berko and Minnie Berko and Minnie Rubin set up the Liverpool a small Company, family business selling shoes

Estab lished

got here got How we we How Introduction 7

including sustainability, charity and D&I. This report This report charity and D&I. including sustainability, plans for next year and beyond. and beyond. plans for next year Positive Business Director, Pentland Brands Positive Business Director, outlines the improvements we made in 2020 and our we made in 2020 and our outlines the improvements Sara Brennan I look forward to sharing our progress with you. our progress with you. I look forward to sharing

how we minimise the environmental impact of environmental impact of how we minimise the protect our environment. In 2021, we look forward In 2021, we look forward protect our environment. new charities to channel clean to working with two EnduraFlex products – Speedo developed its Eco polyester. Business squads to drive initiatives that matter to us, matter to us, Business squads to drive initiatives that undertaken our first in-depth review of the carbon the carbon undertaken our first in-depth review of markets. markets. range made from 100% pre-consumer waste and waste and range made from 100% pre-consumer day running of their businesses. We enhanced enhanced businesses. We day running of their communities in our sourcing drinking water into British & Canterbury released the most sustainable our charity strategy by adding a commitment to by adding a commitment to our charity strategy We’ve our workplaces, operations and materials. more of their choices, which they’re now making in strategy. In 2021 we’ll set up employee Positive Positive In 2021 we’ll set up employee strategy. supports our brands in making sustainable material material supports our brands in making sustainable We’re now looking to the future and at how we can now looking to the future and at how we can We’re Irish Lions jersey ever, made from 100% recycled recycled made from 100% Irish Lions jersey ever, Our strategy pillar ‘owning our footprint’ guides guides ‘owning our footprint’ Our strategy pillar achieve the aims set out in our Positive Business Business achieve the aims set out in our Positive and water footprint of a sample of our materials. This This materials. and water footprint of a sample of our

This commitment is in line with ETI This commitment is in line with ETI

institutions, charities and partners to support the support the institutions, charities and partners to working in our supply chain. As a founding member As a founding member chain. working in our supply for we committed to paying for goods produced producing personal protective equipment for for producing personal protective equipment the pandemic. pandemic was ensuring we protected the people we protected the people pandemic was ensuring far supported 81 entrepreneurs in the day-to- far supported 81 entrepreneurs in the frontline workers. followed our principle of ‘in good conscience’, of ‘in good conscience’, followed our principle rephasing of orders and looking to mitigate impact impact rephasing of orders and looking to mitigate Pentland Brands and continued this throughout Pentland Brands and continued this throughout during one of the most significant humanitarian significant humanitarian during one of the most communities in which we operate. We developed developed communities in which we operate. We have so our relationship with Lendwithcare and of ACT (Action, Transformation, Collaboration), Collaboration), Transformation, (Action, ACT of crises that many of us will see in our lifetimes. us will see in our lifetimes. crises that many of We continue to work collaboratively with academic continue to work collaboratively with academic We We also worked together with our suppliers on any also worked together with our suppliers on any We and, in some cases, our suppliers switched to to and, in some cases, our suppliers switched (Ethical Trading Initiative) enhanced expectations. expectations. Initiative) enhanced Trading (Ethical

A key focus for my team during the COVID-19 team during the COVID-19 key focus for my A Positive Business Director Director Business Positive

This year I’m particularly proud of how we’ve proud of how we’ve This year I’m particularly A view from Sara Brennan, Brennan, Sara from view A Introduction 8

with purpose with positive impact. positive change. and collaboration our environmental our environmental which we operate. which we operate. 1. Building brands brands 1. Building the communities in the communities in We strive to embed strive to embed We impact on the world world impact on the We make a positive We collaborate to create collaborate to create around us, minimising around us, minimising circular processes and circular processes and in making a difference, a difference, in making 2. Owning our footprint 3. Promoting circularity 3. Promoting circularity footprint and supporting footprint and supporting our our us maximise helping Our brands lead the way lead the way Our brands

in line with our business principle principle in line with our business positive business, targeting our targeting our positive business, and our planet and our planet so we can make a real difference. We strive to make all our decisions our decisions strive to make all We accelerated our strategy to be a to be a accelerated our strategy actions across three distinct pillars ‘in good conscience’. In 2020, we In 2020, we ‘in good conscience’. Taking action for people action for people Taking

Positive business business Introduction 9 in our in our Location Location 52 report report 68 35 28 8, 10, 13 8, 10, 13 9, 12, 13 9, 12, 13 9, 10 3, 5, 8, 10 SDG helps us track our progress towards progress towards helps us track our pillars: Principles of governance, governance, pillars: Principles of basis. the SDGs on a consistent Metric metrics organised under four under four metrics organised People, Planet and Prosperity. This This Prosperity. People, Planet and Planet Principles of Principles of People Prosperity governance governance approach ensures we hold ourselves we hold ourselves approach ensures stakeholders and accountable to our (IBC). It evaluates progress around progress around (IBC). It evaluates

website.

believe we can make the biggest the biggest believe we can make we can make the most significant we can make the most significant the International Business Council the International Business Council that we’re focusing on areas where that we’re focusing on areas where political challenges we face. We’ve we face. We’ve political challenges Development Goals (SDGs), which (SDGs), which Development Goals For more information on how we’re For more information on how we’re Positive Business strategy to ensure to ensure Positive Business strategy difference. These goals underpin our underpin our These goals difference. contribution to people and our planet. contribution to people and our planet. contributing to the UN SDGs, visit our sustainability reporting created by sustainability reporting created by selected the eight goals where we where we selected the eight goals WEF-recommended approach to WEF-recommended approach to We support the UN Sustainable support the UN Sustainable We address the social, economic and economic and address the social, Capitalism Metrics Capitalism Metrics (WEF) Stakeholder (WEF) Stakeholder World Economic Forum Economic Forum World This report is aligned with the This report is aligned with the

something bigger something We’re part of of part We’re Introduction 10 brands put their principles into into brands put their principles incredible charities at both at both incredible charities who need them. who need them. workers. workers. providing funding to support providing funding to support thousands of products to those discounted products for key for key discounted products critical medical care and donating critical medical care and donating stay active at home to offering to offering stay active at home action - from helping consumers consumers action - from helping a brand and strategic level, During the global pandemic, our our During the global pandemic, of supported a selection We  

levels of our business. brands also endorsed the call for brands also endorsed the call for increasing representation at all increasing representation at all innovations. Speedo unveiled its unveiled its innovations. Speedo we’re taking steps to support we’re taking steps to support the Black Lives Matter movement. the Black Lives Matter movement. their campaigns, products and and their campaigns, products Berghaus expanded its diverse its diverse Berghaus expanded relevant to diverse consumers relevant to diverse consumers racial equality brought about by racial equality brought about by roster of ambassadors. Our Our roster of ambassadors. diversity and inclusion through through diversity and inclusion collective commitment to stay collective commitment to stay gender and racial equality by gender and racial equality by by renewing our 2020 by renewing our Week across the globe. As an employer, As an employer, across the globe. Global Inclusion celebrated Global Inclusion We Our brands continued to to champion Our brands continued ‘Made for Everyone’ campaign and campaign and ‘Made for Everyone’

  People People

highlights of 2020 of 2020 highlights Performance Performance Introduction 11

instead of plastic shipping bags. instead of plastic shipping bags. plastic bottles. plastic bottles. packaging will be made with more with more packaging will be made fishing nets. The brand has has The brand fishing nets. from 80% post-consumer waste made from ocean waste, including including made from ocean waste, of plastic we shipped in 2020 by of plastic we shipped in 2020 by certified packaging, across their certified packaging, across their 27 tonnes, or nearly one million 27 tonnes, or nearly one million 2024, 100% of its swimwear and and 2024, 100% of its swimwear set an ambitious target that, by that, by set an ambitious target sustainable materials. eco range, which uses fibres fibres eco range, which uses ecommerce websites, made  Speedo developed its PowerFlex its PowerFlex Speedo developed Our brands continue to use FSC This change reduced the amount This change reduced the amount 

latest British & Irish Lions shirt to latest British & Irish Lions shirt to be worn for the 2021 tour – the be worn for the 2021 tour – the most sustainable ever. brand’s has committed to its brands brands has committed to its planting a further 5 million planting a further 5 million trees in 2021. Endura planting its first 1 Million first 1 Million Endura planting its campaign at the beginning campaign at the beginning of 2020. Pentland Brands our use of sustainable materials. our use of sustainable materials. sustainability strategies, with with sustainability strategies, In 2020, Canterbury unveiled the In 2020, Canterbury unveiled the We’ve taken steps to increase taken steps to increase We’ve Our brands accelerated their their Our brands accelerated Trees since launching the the since launching Trees

  Planet

highlights of 2020 of 2020 highlights Performance Performance Our brands 12

long-term. Here’s a snapshot of how a snapshot of how long-term. Here’s brands to make them successful for the brands to make them successful for the they’re bringing our Positive Business they’re bringing our Positive Business We build purpose into the fabric of our the fabric of our build purpose into We ambitions to life. Our brands Our 2.0 Our brands 13 basic skills, promote water promote water basic swimming skills, programme. protective equipment during the COVID-19 during the COVID-19 protective equipment US hospital partners, pandemic - 2,000 to for the pool through its Swim Generation its Swim Generation for the pool through via the Swim Across America organisation, America organisation, Across via the Swim charities supporting UK frontline workers. safety and encourage a lifelong passion a lifelong passion safety and encourage and 2,500 to Shield for redistribution to to and 2,500 to Shield for redistribution Continuing to teach children and adults children and adults Continuing to teach for use as personal Donating 4,500 goggles  

important issue of personal water safety. important issue of personal water safety. in Australia, highlighting the inclusivity of the the inclusivity of the Australia, highlighting in projects in Malaysia and Sri Lanka in projects in Malaysia and Sri Lanka in the UK lockdown, the brand highlighted the the the UK lockdown, the brand highlighted for over 90 years. for rescue and services during range worn by swimmers across the world range worn by swimmers across the world Commonwealth. Commonwealth. campaign in June 2020. With challenges campaign in June 2020. With challenges 2021 as part of its partnership with RLSS 2021 as part of its partnership with RLSS Speedo hopes to carry out two water safety safety Speedo hopes to carry out two water Society) UK’s Drowning Prevention Week Drowning Prevention Week Society) UK’s  Supporting the RLSS (Royal Life Saving Supporting the RLSS (Royal Life Saving Unveiling its Made For Everyone campaign For Everyone campaign Unveiling its Made

 world have been unable to enjoy the water, to enjoy the water, world have been unable the brand has taken action to support its action to support its the brand has taken consumers, including: Speedo is a brand that believes anyone, that believes anyone, Speedo is a brand In a year when many swimmers across the swimmers across the In a year when many anywhere, should have the right to swim. the right to swim. anywhere, should have Speedo Our brands 14

helping educate participants on water safety, safety, helping educate participants on water importance of learning to swim. The brand The brand importance of learning to swim. BSA co-founder], which features a black co-founder], which features a black BSA Black, Asian and minority ethnic (BAME) ethnic (BAME) Asian and minority Black, man combatting societal stereotypes man combatting societal stereotypes mission to help address barriers faced by barriers faced by mission to help address Can’t Swim’ by Ed Accura [Producer and Accura [Producer and by Ed Can’t Swim’ drowning prevention measures and the drowning prevention measures and the communities in the UK around swimming UK around swimming communities in the Speedo will provide support, swimwear and support, swimwear and Speedo will provide Swimming Association Swimming Association (BSA) in a joint around swimming. also supported the launch of the film ‘Blacks ‘Blacks also supported the launch of the film and water safety. As an ongoing partnership, As an ongoing partnership, and water safety. equipment to key forthcoming BSA projects, projects, BSA equipment to key forthcoming  Black with the Black Speedo has partnered

Speedo See it in action See Our brands 15

nurses, paramedics, refuse including nurses, paramedics, refuse with kit to complete their journey. with kit to complete their journey. www.berghaus.com London-based bird watching collective that watching collective that London-based bird mental health support to people of ethnic to people of ethnic mental health support minority backgrounds Dean Street AW/20 collection – an East collection – an East AW/20 Dean Street role providing a key service – a 50% role providing a key service – a 50% discount on all products via discount on all products via challenges for Sport Relief, including challenges for Sport Relief, including combats the under-representation of people of people combats the under-representation while directly offering of colour in nature, collectors, delivery drivers and any other collectors, delivery drivers and any other a 100-mile trek across the Namibian Desert, a 100-mile trek across the Namibian Desert, Collaborating with Flock Together for its for its Together Flock Collaborating with undertaking Supporting celebrities Offering all UK key workers – all UK key workers – Offering   

the outdoors has impacted their lives. the outdoors has impacted their lives. the third consecutive year, which provides which provides the third consecutive year, founder of Instagram community The The founder of Instagram community Hillwalking Hijabi, Zahrah Mahmood Hillwalking Hijabi, Zahrah Mahmood rugby player affected by quadriplegia, by quadriplegia, rugby player affected Fatinikun. community to inspire with stories about how how community to inspire with stories about session at Kendal Mountain Festival for session at Kendal Mountain Festival for a platform for women in the adventure a platform for women in the adventure and founder of Black Girls Hike, Rhiane and founder of Black Girls Hike, Rhiane enthusiasts such as Ed Jackson, a former enthusiasts such as Ed Jackson, a former Sponsoring the Women In Adventure Adventure In Sponsoring the Women Working with a diverse range of outdoor range of outdoor with a diverse Working   health benefits of the outdoors. In 2021 it outdoors. In 2021 it health benefits of the in creating great gear that’s built to last, built to last, that’s in creating great gear will share more about its own Positive Business its own Positive Business will share more about Berghaus promotes the mental and physical the mental and physical Berghaus promotes consumers, by: consumers, by: agenda. This year it supported thousands of thousands of This year it supported agenda. As well as having over 50 years’ experience experience 50 years’ As well as having over Berghaus Berghaus Our brands 16

life. The collaboration, called ‘Rehaused By called ‘Rehaused By The collaboration, life. jacket and one fleece zip top makes six or zip top makes six or jacket and one fleece the materials into climbing kit. One waterproof kit. One waterproof the materials into climbing Berghaus teamed up with Cumbrian climbing with Cumbrian climbing Berghaus teamed up no longer repairable or usable and upcycles or usable and upcycles no longer repairable Dirtbags’, takes Berghaus products that are products that are Dirtbags’, takes Berghaus company Dirtbags to give its products a second to give its products a second company Dirtbags seven fleece lined chalk bags. seven fleece lined chalk bags. Alongside delivering its free repairs service, its free repairs service, Alongside delivering

Berghaus See it in action See Our brands 17 limited–edition garments. The products The products limited–edition garments. but instead were repurposed to create the to create the but instead were repurposed that would otherwise have been scrapped, have been scrapped, that would otherwise tips, how to work–out without a gym and frontline workers employed by the NHS and and frontline workers employed by the NHS unmissable Uglies range. range. unmissable Uglies range for the Australia market which utilises market which utilises Australia range for the challenging times, by sharing nutrition challenging times, by sharing nutrition are made of thousands of meters of fabric of meters of fabric are made of thousands emergency services. excess obsolete fabrics to create unique to create unique excess obsolete fabrics engaging consumers in design competitions discount to UK a Blue Light Card discount to UK Offering Launching a new Uglies rugby outerwear rugby outerwear Launching a new Uglies Helping its rugby community through   

rugby in a fun and safe environment. designed to give girls, aged between 8 and 8 and designed to give girls, aged between game by sponsoring ‘Canterbury Give it ‘Canterbury Give it game by sponsoring a Try’ - an eight-week IRFU programme - an eight-week IRFU programme Try’ a Supporting the development of the women’s of the women’s Supporting the development 14, the opportunity to learn how to play 14, the opportunity to learn how to play

 how it can create more sustainable products, sustainable products, how it can create more including: including: to stay active at home. The brand is also The brand is also to stay active at home. in rugby and looking at promoting inclusion Despite the pause of team sports in 2020, of team sports in 2020, Despite the pause Canterbury continued to support its consumers to support its consumers Canterbury continued

New Zealand Zealand New Canterbury of of Canterbury Our brands 18

latest British & Irish Lions Pro jersey Lions Pro jersey latest British & Irish polyester. On average, recycled recycled On average, polyester. less CO2 and polyester uses 21% Lions’ most sustainable ever, with the with the sustainable ever, most Lions’ main body made up of 100% recycled of 100% recycled main body made up conventional polyester. 25% less water in production than 25% less water in production than South Africa. The Pro jersey is the is the The Pro jersey Africa. South In October, Canterbury unveiled the unveiled the Canterbury In October, ahead of the upcoming 2021 tour of 2021 tour of ahead of the upcoming

See it in action See Canterbury of New Zealand New of Canterbury Our brands 19

in 2021. the Trust delivered 300 sessions in 300 sessions in delivered Trust the producing over 13,000 medical pieces of Endura protective eyewear surgeries and health to UK GP those in disadvantaged communities communities those in disadvantaged through the Endura Trust. Lifecycle Berghaus. Berghaus. fabric donated by sister brand fabric donated by sister brand Despite the impact of the pandemic, of the pandemic, Despite the impact rapid garment development and rapid garment development and centres. gowns for NHS Scotland, using gowns for NHS Scotland, using 2020 and is aiming to deliver 750 to deliver 750 2020 and is aiming Donating 30,000 masks and 1,400 Donating 30,000 masks and 1,400 Supporting access to cycling for to cycling for Supporting access skills in Making use of their

campaign. campaign.

bikes as a safer, healthier and faster and faster healthier bikes as a safer, in its products that are recycled in its products that are recycled ‘Choose its ‘Choose way to travel through Life, Choose Bike’ or MADEKIND™ for the or MADEKIND™ for the showcased in its MT500 showcased in its MT500 scheme to retail partners to avoid scheme to retail partners to avoid sending packaging to landfill. #ForceForGood range. #ForceForGood range. environment, which has been environment, which has been Offering a new polybag recycling a new polybag recycling Offering Supporting commuters to use their to use their Supporting commuters Increasing the number of fabrics

been working on a number of fronts number of fronts been working on a to reduce its footprint, including: to reduce its footprint, Endura is critically aware of its aware of its Endura is critically environmental impact. The brand has The brand has environmental impact. Endura Our brands 20

it has planted over 1.3 million trees – a 30% increase on 1.3 million trees – a 30% increase on it has planted over met, the brand has now set a bold important milestone trees annually to help reduce the quantity of carbon in reduce the quantity of carbon in trees annually to help January 2021, the brand announced the atmosphere. In this initiative. With Trees its 1 Million the original target of new target – to become CO2 negative by 2024. new target – to become In January 2020, Endura committed to planting one million committed to planting one million In January 2020, Endura

See it in action See Endura Our brands 21

by COVID-19. by COVID-19. the UK lockdown. the UK lockdown. Max balls to the Scottish Premiere Premiere Max balls to the Scottish League Trust to distribute to to to distribute Trust League Football League (SPFL) Delta Delta Football League (SPFL) communities and clubs impacted impacted communities and clubs at–home challenges during during at–home challenges Donating 200 Scottish Premier Premier Donating 200 Scottish 

known as Matchday with Max, to the COVID-19 pandemic. to provide top tips for people to to provide top tips for people to Mental Health Awareness Week Week Awareness Mental Health families. families. create a series of interviews and create a series of interviews and campaign, with quizzes, blogs and campaign, with quizzes, blogs and competitions to engage fans and support their mental health during support their mental health during ambassador, Max Hayes, otherwise Max Hayes, otherwise ambassador, and wellbeing platform Unmind for and wellbeing platform Unmind for Working with 15-year-old with 15-year-old Working Launching its #AllYouNeedIsABall Launching its #AllYouNeedIsABall Teaming up with mental health mental health up with Teaming    helping consumers enjoy the game at enjoy the game at helping consumers The brand also home or at a distance. in 2020, Mitre remained dedicated to dedicated to in 2020, Mitre remained including: took action to help people maintain people maintain took action to help wellbeing, their physical and mental Although football paused in the UK in the UK Although football paused Mitre Our brands 22

Blue Light Card discount to UK frontline workers workers discount to UK frontline Solidarity Fund. Organisation’s COVID-19 COVID-19 Organisation’s employed by the NHS and and employed by the NHS emergency services. Offering Offering a

hosted live yoga sessions, Q&As hosted live yoga sessions, Q&As the winning designs were the winning designs were their ambassadors. no one is alone. With a team no one is alone. With a team mantra to ‘Collaborate, Unite and via the World Health Health via the World design competition, where design competition, where supporting frontline workers supporting frontline workers and and sold on www.ellesse.com so that, even though we’re apart, so that, even though we’re apart, Inspire the community’, the brand Inspire the community’, the brand all proceeds went towards all proceeds went towards and customisation workshops with and customisation workshops with Running a charity T shirt shirt T Running a charity Launching its #Together campaign campaign Launching its #Together

best in everybody effortlessly and and best in everybody effortlessly keeping its community connected, connected, keeping its community including: including: 2020 was no exception. As comfort As comfort 2020 was no exception. and routine became the new normal, the new normal, and routine became ellesse believes in bringing out the bringing out the ellesse believes in role in ellesse played an important ellesse Our brands 23

who joins Paralympic silver medallist Alfie Hewett Alfie Hewett silver medallist who joins Paralympic to sponsorship, supporting individuals from a variety individuals from a variety to sponsorship, supporting of backgrounds and championing their passions. championing their passions. of backgrounds and In August ellesse signed rising star Paul Jubb, rising tennis star Paul Jubb, August ellesse signed In Our brands strive to take an inclusive approach take an inclusive approach Our brands strive to as part of the brand’s roster of ambassadors. roster of ambassadors. as part of the brand’s

ellesse See it in action See Our brands 24 brand’s mission to promote self- brand’s in the UK. in the UK. panel discussed how parents parents panel discussed how on to feel calm and confident Show charity partner, to Kickers’ from ticket sales were donated donated from ticket sales were for disadvantaged young women returning to school. All proceeds proceeds All returning to school. Racism the Red Card. Racism the Red Card. Confetti Crowd, an influencer Confetti Crowd, an influencer collective who share in the collective who share in the of all sales were donated to the campaigns for economic justice Word to host a virtual panel event panel event to host a virtual Word after the first UK lockdown. The The after the first UK lockdown. children and carers could support expression and creativity. 10% 10% expression and creativity. Joining forces with Mum’s the the Mum’s Joining forces with Launching its collaboration with which which Trust, Women’s Young

for Wear Red Day, delivering delivering Red Day, for Wear registrations year on year. registrations year on year. – one Racism the Red Card – one collaborated with the charity collaborated with the charity of the UK’s leading anti-racism leading anti-racism of the UK’s saw a 27% uplift in school saw a 27% uplift in school an anti-racism workshop as an anti-racism workshop as a prize for the winning school. a competition which included a competition which included education charities. Kickers education charities. Kickers Show Joining forces with Show After the competition the charity After the competition the charity

including diversity and inclusion, and inclusion, including diversity including: the brand take action in areas in areas the brand take action Kickers launched its Change Starts Change Starts Kickers launched its Here platform in 2020, which sees which sees Here platform in 2020, support people and our planet, our planet, support people and It partners with organisations to to It partners with organisations education, environmental impact. impact. education, environmental Kickers* *UK footwear license Our brands 25

the true force of the UK’s creative industries. UK’s the true force of the unveiled its Kickers: Class of ’50 campaign, highlighting Class of ’50 campaign, highlighting unveiled its Kickers: designers, art curators and editors – all of whom will help and editors – all of whom will help designers, art curators shape their respective industries over the next 50 years. industries over the next 50 years. shape their respective To celebrate its 50th anniversary in style, Kickers UK its 50th anniversary in style, Kickers UK celebrate To The campaign spotlights creatives – including dancers, DJs, DJs, creatives – including dancers, The campaign spotlights

See it in action it in action See Kickers* *UK footwear license Our brands 26 healthcare workers and offering healthcare workers and offering was donated to one of three of three was donated to one from every SeaVees purchase purchase from every SeaVees Barbara Channelkeeper. frontline workers in California values such as Free Speech, values such as Free Speech, Frontline Workers support, Breast support, Breast Frontline Workers Racial Justice, LGBTQ+ rights, Racial Justice, LGBTQ+ rights, Cancer Research & Awareness Awareness Cancer Research & Conservation. during the height of the pandemic. causes in line with SeaVees brand brand SeaVees causes in line with care packages to nominated SeaTrees, Algalita and Santa and Santa Algalita SeaTrees, and Marine Rehabilitation & and Marine Rehabilitation & environmentally-focused charities: charities: environmentally-focused Donating 500 pairs of shoes to Donating 500 pairs of shoes to For the entire month of April, $5 April, $5 of For the entire month awareness for Raising funds and

which helps regenerate one which helps regenerate one for every pair of shoes sold. features a partnership with with features a partnership using a combination of recycled of recycled using a combination materials. The collection also also The collection materials. collection, with all shoes made made collection, with all shoes square foot of oceanic kelp forest square foot of oceanic kelp forest environmental charity SeaTrees, environmental charity SeaTrees, Launching its SeaChange Launching its SeaChange

SeaVees strives to champion champion strives to SeaVees sustainability through its products its products sustainability through and community initiatives, including: including: and community initiatives, SeaVees Our brands 27

working to protect the environment. the environment. working to protect of donating 1% of annual revenue back to charities revenue back to charities of donating 1% of annual SeaVees received its 5 Years of Giving award from of Giving award from Years its 5 received SeaVees 1% for the Planet. That’s five years (and counting) five years (and counting) That’s 1% for the Planet.

See it in action See SeaVees

28 Principles of governance

governance Principles of of Principles 3.0 Principles of governance Governance

Our governing purpose is ‘building Activity Performance in Status SDG brands for the world to love, 2020 generation after generation’. As a privately-owned family business, Formalise corporate responsibility reporting Complete Target met 17 our reputation is our currency. governance and key performance indicators We believe we have a responsibility to behave in a way that upholds our Complete onboarding of the Speedo North America In progress On track to 8 principles, so we can continue to be supply chain with no outstanding zero tolerance issues complete in successful in the long-term. 2021 New Executive team to undertake directors’ training Complete Target met 17

Undergo an independent audit of our corporate - Commences 17 responsibility team and review findings in 2021

Publish our annual Modern Slavery report Complete Target met 8 and Section 172 statement, in line with UK government requirements

Establish responsibilities for employee Complete Target met 5, 10, 13 Positive Business squads

29 Principles of governance Governance structure Positive business governance structure

We strengthen our approach to Positive Business through regular collaboration CEO & Executive team across the business. This ensures we’re In Good Conscience forum, led by Supply continuously evaluating environmental, Chain President social and economic risks and opportunities, Supply Chain President allowing us to make more informed and coherent decisions.

Our code of conduct is outlined in Positive Business Director Representatives from Our Standards, which we review regularly CR, Legal, Sourcing to set out what we expect from our & Supply Chain employees, suppliers and partners. Our Corporate Responsibility team Executive team oversees all the areas detailed in Our Standards, including responsibility for human rights, supply chain and the environment. Brands Supply chain Charity partners We have dedicated teams, leaders and committees to help us put our principles into practice, each with individual focus areas including diversity, inclusion, sustainability and charity. All committees are overseen by our Executive Team.

30 Principles of governance How we make decisions Pentland Brands materiality assessment

10 In 2020 we engaged our key N A Ethical working conditions stakeholders to identify topics B Carbon Reduction 9 F O of importance, informing C Helping consumers to live E sustainable lifestyle decisions on issues that matter A 8 D Manufacturing waste to our business. We used B E Use of sustainable materials this information to create our K G 7 C F Sustainable packaging Gameplan for Growth, which Extremely important Q J H G Diversity & Inclusion will guide our ambitions and P 6 L T H decision-making in 2021. R Transparency in Supply Chain D I I Governance Information on our focus 5 S J Supporting our Communities areas for 2021 from our CEO, K Chemical use Chirag Patel, is available here. 4 L Microfibres Information on our key M Employee engagment 3 business decisions and N Safety of products any resulting stakeholder M O Climate Change impacts (extreme engagement can be found 2 weather/availability resource) P in our Pentland Brands Renewable Energy 1 Q Water use in production Section 172 statement. Importance to External Stakeholders R Ecomonic/political impacts

Important 0 0 1 2 3 4 5 6 7 8 9 10 S Impact on biodiversity T Circular economy and new Important Extremely important business models Importance to Internal Stakeholders 31 Principles of governance Ethical Ethical trade behaviour governance structure

We have a robust governance Every 2 weeks Every 4-6 weeks Every quarter process for issues relating to supply chain, human rights and Supply Chain In Good Conscience Forum Risk Committee ethical behaviour. Our team Executive meeting of experts work together to evaluate risks and opportunities and make coherent, data-driven Supply Chain President* Supply Chain President* Chief Operating Officer* decisions.

Supply Chain Supply Chain Exec plus Operations Director Representatives from representatives from all functions including CR, Legal, Sourcing supply chain Logistics Director and Supply Chain

Positive Business Director

CEO Executive team*

*executive team member.

32 Principles of governance 33

business, including those related to those related to business, including issue either by phone or online. We issue either by phone or online. We whistleblowing service to encourage to encourage whistleblowing service to reflect our commitment to conduct to reflect our commitment to conduct our people to speak up about up about our people to speak our business in an honest, ethical In 2020, we introduced a new a new In 2020, we introduced any issues of concern within our within our any issues of concern also updated our Speaking Up policy and transparent manner. ethical trade. The service allows any allows any The service ethical trade. to raise an employee internationally Speaking up Speaking up

modules – covering legal training modules – covering people do business ethically and people do business ethically and the ethical, social and operational the ethical, social and operational modern slavery, anti-bribery and anti-bribery and modern slavery, responsibly. responsibly. corruption, personal data and data and corruption, personal competition law – which help our criteria set out in Our Standards. criteria set out in Our Standards. our Modern Slavery report. Our audit data can be viewed in Our audit data can be viewed in audits to ensure compliance with audits to ensure compliance with Managing our risks through social Managing our risks through social Offering four compulsory online online four compulsory Offering

behaviour within our organisation organisation behaviour within our include: include: and measures that promote ethical promote ethical and measures that Additional governance methods methods Additional governance

behaviour Ethical Ethical Principles of governance 34 would need to be adhered to would need to be adhered to potential disruption to our to our potential disruption to manage the impact of any under new legislation. under new legislation. requirements. requirements. customers’ stock-holding stock-holding customers’ whether chain to determine be able our warehouses would changes to the length of time stock is held there, as well as stock is held there, as well as We consulted with our supply supply consulted with our We any additional procedures that any additional procedures that in 2016 following the result in 2016 following the result itself in once the transition itself in once the transition the “no-deal” and “no-transition” the “no-deal” and “no-transition” period ended on 31 December December period ended on 31 remained unclear as to what to what remained unclear as directors instructed a steering a steering directors instructed of the referendum, to plan for of the referendum, to plan for outcome, recognising the group, which was established group, which was established 2020. During 2020, the the 2020. During 2020, scenario the UK would find find scenario the UK would Brexit Brexit Throughout 2020, the situation the situation Throughout 2020, leaving the business, at the end of leaving the business, at the end of long-term. Decisions included the included the long-term. Decisions brand portfolio and reduced licensed brand portfolio and reduced licensed hibernation of its Boxfresh brand brand hibernation of its Boxfresh well as the offer of outplacement of outplacement well as the offer the consultation period, received the consultation period, received footwear business, a reduction in the footwear business, a reduction in the made some fundamental changes, changes, made some fundamental During the COVID-19 crisis, the crisis, the During the COVID-19 300 redundancies, the vast majority 300 redundancies, the vast majority Pentland Brands Executive team team Pentland Brands Executive of which were in the UK. Those Those of which were in the UK. size of our support functions. The The size of our support functions. strategic review resulted in around so it is set up to thrive in the in the so it is set up to thrive and counselling support services. and, to reflect its more focused focused and, to reflect its more enhanced redundancy payments as enhanced redundancy payments as Strategic review Strategic review

portfolio and our expectation is that the is that the portfolio and our expectation a significant impact pandemic will have from across the global organisation. from across the global organisation. monitoring the escalating situation, monitoring the escalating situation, From the outset of the pandemic in From the outset of the pandemic in Pandemic Committee, with experts From early 2020, the rapidly evolving rapidly evolving From early 2020, the China in January 2020, we set up a China in January 2020, we set up a COVID-19 crisis meant the majority of the majority of COVID-19 crisis meant on our business well into 2021. on our business well into 2021. our retail customers closed their stores closed their stores our retail customers across our brand on product demand government guidelines, for its government guidelines, for its globally. This naturally had an effect had an effect This naturally globally. support, aligned to WHO and various support, aligned to WHO and various advising and agreeing actions and advising and agreeing actions and employees, partners and vendors. employees, partners and vendors. COVID-19 COVID-19 The Committee was responsible for The Committee was responsible for

Risks and Risks opportunities opportunities

People 35 People 4.0 People 36 5 5 8 8 8 SDG 10 Not yet Not yet complete in complete in 2021 2021 2021 Status On track to On track to On track to achieved achieved achieve in achieve in Target met Target Target met Target met Target Delayed Delayed Performance in Performance in Complete Complete Complete 2020 2020 In progress In progress In progress

by publishing gender and freedom of by publishing gender and freedom of programme purchasing practices commitments, with commitments, with purchasing practices focus on the 2021 commitment to focus on the 2021 commitment to framework for gender equality equality framework for gender Director level roles include 43% female Director level roles include 43% female ringfence labour costs remediate zero tolerance issues in our Review our charity and community Review our charity and community Create and trial supplier gender gender Create and trial supplier Support our suppliers to adopt the ACT ACT to adopt the Support our suppliers supply chain Use Zero Tolerance policy to track and and policy to track Tolerance Use Zero Increase supply chain transparency Increase supply chain transparency and 15% people from ethnic minority groups groups and 15% people from ethnic minority association data for tier 1 suppliers equality guidelines based on ETI based on ETI equality guidelines Activity

by mutual respect, a desire to develop a desire to develop by mutual respect, we do. Our global teams are united are united we do. Our global teams people are at the heart of everything of everything people are at the heart our business and a focus on inclusion. our business and a As a fourth generation family business, family business, As a fourth generation People People COVID-19

During the ongoing COVID-19 Our people We significantly reduced the number pandemic, our number one priority of people working in our warehouses has been the health and wellbeing With the closure of retail, gyms and and introduced changes in working of our employees, those working for pools significantly impacting revenue practices to minimise the risks and to our partners and within our supply over the past 12 months, we were protect the wellbeing of our teams. chain, and the communities in which grateful to access Government support we operate, while also keeping so we could protect as many UK jobs We encouraged our employees our business running for our retail as possible across our business. to support their local communities customers and our consumers. through volunteering, fundraising, or Given the improved visibility on UK making PPE clothing and equipment. We took a number of actions during restrictions lifting, we have now stopped In total, they hand-made and donated the crisis to protect our people, and have repaid all Government support thousands of critical PPE items, communities and those working received since the start of the crisis. including scrubs, masks and washbags. within our supply chain. Our shareholders did not receive a dividend for 2020.

37 People 38

industry best practice for health for health industry best practice to COVID-19 can be viewed in our to COVID-19 can be viewed in our to mitigate impact and, in some in some to mitigate impact and, protective to producing personal More information on our response More information on our response COVID-19 corporate responsibility COVID-19 corporate responsibility cases, our suppliers switched switched cases, our suppliers statement. We worked with our suppliers on on worked with our suppliers We any rephasing of orders and looking and looking any rephasing of orders and safety measures. equipment. We also shared also shared equipment. We

initiative convened by the International by the International initiative convened including Behind the Barcode, the the pandemic. This commitment was This commitment was the pandemic. Brands and continued this throughout Brands and continued this throughout Business & Human Rights Resource for goods produced for Pentland for goods produced for Pentland Labour Organisation (ILO) to address (ILO) to address Labour Organisation member of ACT (Action, Transformation, Transformation, (Action, ACT of member recognised in independent reports recognised in independent reports and the COVID-19 edition Centre and the COVID-19 edition COVID-19 impact on the global the global COVID-19 impact on committed to paying Collaboration), we of the Ethical Fashion Report. garment sector and, as a founding as a founding garment sector and, We endorsed the call-to-action endorsed the call-to-action We Supply chain Supply chain COVID-19 People

Diversity and inclusion

We’re working to level the playing field, Focus areas: Target representation – by building diversity and inclusion into everything we do - from our recruitment Positive: D&I is powered by our Directors processes to our brand campaigns. people and our brands Inclusive: Everyone feels a true Women Ethnic Diversity and inclusion sense of belonging minority groups framework Diverse: Striving for better Purpose: to build a business where representation across our business to Current 34% 10% everyone is welcomed, supported and reflect the diverse consumers we serve. By end of 2022 43% 15% encouraged to grow and contribute. We recognise that diversity and inclusion is a broad topic, encompassing a range of important issues. As a result, we’ve made the decision to focus on the areas where we believe we can make the biggest difference. Our aim is to improve the representation of women and people from ethnic minority groups in Director level roles, which we plan to do through a combination of continued succession planning, talent pipeline development and external recruitment. 39 People 40

but by empowering individuals and individuals and but by empowering how brands can do more to promote how brands can do more to promote inclusivity in sport. inclusivity in sport. inclusion not only in our workplaces, our workplaces, inclusion not only in interview sessions with Danielle D&I commitments. D&I commitments. respecting individuality and promoting respecting individuality and promoting rugby player for Wasps FC, who shared FC, who shared rugby player for Wasps For more on our D&I initiatives, actions For more on our D&I initiatives, actions difference through their own through their own difference communities worldwide. commitment to promote diversity and diversity and commitment to promote We shared how our brands are shared how our brands are We We hosted virtual ‘in conversation’ hosted virtual ‘in conversation’ We In September we celebrated Global Global In September we celebrated our by renewing Inclusion Week Obe, founder of the Black Swimming Obe, founder of the Black Swimming and ambitions, visit our website. See it in action: See it in action: Inclusion Week 2020 2020 Inclusion Week Association, and Florence Williams, Association, and Florence Williams,

Diversity and Diversity inclusion inclusion People 41

latest Gender Pay Gap report. latest Gender Pay Gap report. basis, for every role in our organisation. basis, for every role in our organisation. processes and internal and external processes and internal and external processes to make sure that pay is processes to make sure that pay is to pay an amount that better reflects better reflects to pay an amount that the cost of living. Living Wage, as outlined by the Living as outlined by the Living Living Wage, Living Wage and minimum wage and minimum wage Living Wage roles. roles. determined on a fair and comparable determined on a fair and comparable goes beyond the statutory National National goes beyond the statutory salary and benefits benchmarking for salary and benefits benchmarking for Wage Foundation, to people working to people working Foundation, Wage We’re committed to paying the Real the Real committed to paying We’re We maintain high standards and maintain high standards and We Our gender equality data, targets Our gender equality data, targets at Pentland Brands in the UK. This This in the UK. at Pentland Brands and actions can be viewed in our and actions can be viewed in our This includes consistent role evaluation This includes consistent role evaluation

equality Wage People 42

here. hard to protect rights and improve working hard to protect rights and improve working website. to build a fair, ethical and transparent supply and transparent supply ethical to build a fair, practice. Modern slavery is unacceptable. We strive strive We Modern slavery is unacceptable. Find out more about our supply chain model model Find out more about our supply chain dignity and respect. We recognise that the recognise that the We dignity and respect. COVID-19 pandemic has posed unprecedented chain and we have policies, risk assessments policies, risk assessments chain and we have modern challenges to those already at risk of chain. conditions for everyone in our supply safe working conditions, and to be treated with and to be treated with safe working conditions, continue to work which is why we will slavery, We believe everyone has the right to fair pay, has the right to fair pay, believe everyone We and committees that help us put this into help us put this into and committees that View our tier 1 and tier 2 supplier lists on our our tier 1 and tier 2 supplier lists on our View

Modern slavery slavery People 43

in 7 regions in 7 regions 103 audits in 2020

164 tier one suppliers

suppliers manufacturing 31 tier two nominated fabric 31 tier two nominated fabric Key sourcing facts facts Key sourcing

manufacturing in 19 regions regions manufacturing in 19

and management systems Geographical risk control Level of supply chain Political stability demographics Worker The presence of governance Environmental risk       based on: based on: into our brand portfolio. into our brand portfolio. More information on modern slavery More information on modern slavery risk assessments as part of a review of of risk assessments as part of a review risk profiles, audit data and remediation our sourcing strategy and integration our sourcing strategy and integration America business of the Speedo North Slavery report 2020. We assess risk in our supply chain supply chain assess risk in our We In 2020 we carried out country-based In 2020 we carried out country-based activities can be found in our Modern activities can be found in our Modern

to understand the vulnerability of to understand the vulnerability of our products, from raw raw to create our products, from materials to distribution to our to our materials to distribution modern slavery. regular auditing to provide a regular auditing to provide a deciding where to source our materials. deciding where to source our materials. doing all we can to mitigate the risks of mitigate the risks of doing all we can to certain regions to modern slavery when certain regions to modern slavery when comprehensive picture of risk. customers and consumers. customers and consumers. to ensure we’re our production process, Managing risks Managing risks sequence of processes used used sequence of processes and use our supplier questionnaire and We We carry out regular risk assessments carry out regular risk assessments We We closely monitor each stage of stage of closely monitor each We the up the Our supply chain makes

source How we How People 44

to help them be at their best. their best. to help them be at to help protect health during the of a flu vaccination for all UK employees of a flu vaccination for all UK employees offer confidential 24/7 access to counsellors to counsellors confidential 24/7 access offer COVID-19 pandemic. COVID-19 pandemic. also We can be found at some of our offices. generous discounts across our brands. offer support their mental wellbeing. We also also wellbeing. We support their mental so access to gyms and other great facilities so access to gyms and other great facilities We offer all our employees unlimited unlimited all our employees offer We We champion maintaining physical health, champion maintaining physical health, We In 2020 we offered to cover the cost to cover the cost In 2020 we offered Our people are at the heart of what we do heart of what we do Our people are at the and so we have a number of tools in place of tools in place and so we have a number such as Unmind to access to online tools in the areas of and information specialists emotional, health, management, legal, debt, debt, emotional, health, management, legal, elder and younger care and financial.

Health and Health wellbeing wellbeing

People Learning and Development

As well as working across different Modern slavery – a compulsory brands and projects, we offer a programme on the most prevalent range of learning and development modern slavery issues in our industry, opportunities, on-the-job experiences including how they can be identified and support to help our people make and reported. a positive contribution to our business. Anti-bribery and corruption, personal We offer a variety of resources on data and competition law – a set our Learning and Development of three compulsory programmes intranet pages, including peer to peer designed to support employees to do mentoring, videos and useful guides to business ethically and responsibly. aid self-directed learning. We also offer Unconscious bias – training to help our people unlimited access to LinkedIn identify and prevent unconscious bias Learning to help develop their skills in the workplace. autonomously and on demand, in a way that works for them. Health and safety – launched in 2020, this programme provides training on Finally, we provide a compliance how to support wellbeing in various e-learning curriculum to ensure our working environments. new starters and current employees are always up to date, keeping them and our business safe. The curriculum includes the following:

45 People 46

job placements for 16 to 24 year-olds why we’ve joined the UK government’s UK government’s why we’ve joined the placements will be for junior creatives placements will be for junior creatives which provides Kickstart Scheme, which provides kickstarting careers kickstarting careers challenges that young people starting people starting challenges that young That’s facing. careers in the UK are on Universal Credit. Our first two We recognise the unprecedented recognise the unprecedented We as part of our Design Pool. See it in action: See it in action:

briefs to help develop their portfolios. briefs to help develop their portfolios. with a number of global creative creative with a number of global Nottingham Trent University with live live University with Trent Nottingham Find out more about their work here. creative agency supported students students creative agency supported 2020 our award-winning in-house in-house 2020 our award-winning We’re proud to support young talent young talent proud to support We’re and have long-term relationships relationships and have long-term In and academic institutions. and Wales at University of South Supporting young talent Supporting young

Supporting Supporting young talent young People 47

business owners in emerging business owners in emerging to charitable causes markets, creating 24 new jobs markets, creating 24 new jobs mentored since 2010 with with mentored since 2010 communities through our communities through our employee Charity Network. £11,000+ donated to local donated to local £11,000+ 1% of net profit after tax donated tax donated 1% of net profit after 380 aspiring entrepreneurs 31 loans given to support small 6,500 brand products donated The Prince’s Trust The Prince’s      Headline numbers Headline numbers

be more active be more active impact impact communities communities Empowering disadvantaged Empowering disadvantaged Reducing our environmental Inspiring young people to Inspiring young people to

   is part of who we are as a business. as a business. is part of who we are volunteering programmes. volunteering programmes. community initiatives and employee and employee community initiatives global charity partnerships, brand brand global charity partnerships, Giving back to our communities communities Giving back to our We channel our support through through channel our support We Our goals

Charity model People 48 home. In 2021 we’ll join SportInspired home. In 2021 we’ll join SportInspired in disadvantaged communities through in disadvantaged communities through in hosting inclusive sports festivals in Blackburn and Nottingham. fun and inclusive sports programmes fun and inclusive sports programmes the for schools. During the UK lockdown resources to help children stay active at at resources to help children stay active charity released FitFun; a set of online charity released FitFun; a set of online SportInspired tackles childhood obesity SportInspired tackles childhood obesity SportInspired SportInspired for over 17,500 young people with for over 17,500 young people with Panathlon provides sporting opportunities Panathlon provides sporting opportunities disabilities each year. So far we’ve So far we’ve disabilities each year. supported 3,037 young disabled swimmers supported 3,037 young disabled swimmers and 638 young leaders. and 638 young leaders. Panathlon Panathlon

the programme has reached 250 artisans the programme has reached 250 artisans their Digital Craft Toolkit, which provides which provides Toolkit, their Digital Craft free online business courses to designers, free online business courses to designers, countries. countries. opportunities. We support the roll-out of support the roll-out of opportunities. We and is being introduced in 12 further and is being introduced in 12 further artists and entrepeneurs in Thailand. So far, Thailand. So far, artists and entrepeneurs in empowerment through educational empowerment through educational The British Council supports economic The British Council supports economic The British Council The British Council

Charity partners People 49 help entrepreneurs in emerging markets help entrepreneurs in emerging markets to establish or expand their businesses to establish or expand their businesses through a series of small loans. Lendwithcare, one of the world’s leading leading Lendwithcare, one of the world’s Pentland Brands partners with Pentland Brands partners with Lendwithcare Lendwithcare aid and development organisations, to aid and development organisations, to into something new, we donate them to In to In we donate them into something new, March-August 2020, In Kind Direct helped March-August 2020, In Kind Direct helped Kind Direct, which distributes them to UK UK Kind Direct, which distributes them to unable to transform our brand products unable to transform our brand products During the height of the pandemic in During the height of the pandemic in charities that need them. access to life’s essentials. Where we’re essentials. Where we’re access to life’s In Kind Direct 174,000 people in the UK each week gain gain 174,000 people in the UK each week

inequality across the globe. In 2020 we inequality across the globe. In 2020 we that uses sport to teach employability skills skills that uses sport to teach employability to young people living in slums in Mumbai, completed our project with United Purpose completed our project with United Purpose United Purpose strives to end poverty and and United Purpose strives to end poverty India. United Purpose United Purpose

Charity partners People 50 brief was to design a bathing suit pattern brief was to design a bathing suit pattern in celebration of the upcoming Tokyo Tokyo in celebration of the upcoming the UK a chance to attend a session and and the UK a chance to attend a session National Saturday Club to deliver creative National Saturday Club to deliver creative masterclasses for young page aged 13-16. masterclasses for young page aged 13-16. masterclass attended by 55 young people discover a subject they love. We work with work with discover a subject they love. We Saturday Club Trust gives young people in people in gives young Trust Saturday Club In 2020 our Creative Talent team led a a team led Talent In 2020 our Creative Olympics and Paralympics. at University of Central Lancashire. The The at University of Central Lancashire. Saturday Club Trust Saturday Club

mentoring and funding opportunities to mentoring and funding opportunities to Pentland’s support of The Prince’s Trust Trust The Prince’s support of Pentland’s Enterprise Programme, which provides young entrepreneurs with the learning, young entrepreneurs with the learning, 2020 marks the 10th anniversary of 2020 marks the 10th anniversary of start their own businesses. start their own businesses. The Prince’s Trust The Prince’s

Charity partners People 51

be able to match fund many of their donations. were funding critical medical care, protecting medical care, protecting were funding critical the work of some incredible organisations that organisations that the work of some incredible Medicins Sans Frontiers Medicins Sans Frontiers London North West University University London North West National Emergencies Trust Healthcare Trust Healthcare Trust During the pandemic, we donated to support we donated to support During the pandemic, vulnerable people and providing essentials. and providing essentials. vulnerable people Red Cross, China Red Cross, China during the pandemic, through volunteering, during the pandemic, through volunteering, were pleased to donations and fundraising. We supported local charities and organisations supported local charities and organisations We’re proud that many of our employees proud that many of our employees We’re COVID-19 Trussell Trust Trust Trussell

in crisis Supporting communities communities Supporting

Planet 52 Planet 5.0 Planet

Planet

We’re taking steps to minimise Activity Performance Status SDG our environmental footprint in 2020 and ensure we have a positive Promote adoption of the Higg Facilities Social Labour In progress On track to achieve in 2021 12 impact on the planet. Our Module and Higg Facilities Environmental Module, with target is to reduce our carbon tier 1 and 2 suppliers producing 50% of business volume emissions by 25% by 2025, as part of our long-term ambition Roll out vendor sustainability scorecard for factories In progress Scorecard developed, roll-out to 12 to become carbon neutral. not yet using the Higg Index commence in 2021

Roll out digital training on the Higg Index to supply chain, In progress Training developed, roll-out to 12 sourcing and brand teams commence in 2021

Complete projects with charity.water and Planet Water - Commences in 2021 6 Foundation to provide clean water to communities in our sourcing markets

Brands plant six million trees In progress On track to achieve by end of 2021

Establish our carbon data baseline and tracking across In progress On track 13 all key data points to support aim of reducing carbon emissions by 25% by 2025

Repurposing 25,000 products by donating them to charity In progress On track to achieve by end of 2021 12

53 Planet 54

Solar panels at our Nottingham Electric vehicle charging points at our London office. LED lighting at various UK locations

our footprint across our operations. our operations. our footprint across We’re taking steps to minimise minimise taking steps to We’re Other energy saving initiatives initiatives Other energy saving across our locations include: include: across our locations Offices office

All our European offices use use All our European offices 100% renewable energy. 100% renewable energy. Planet Planet 55 60.4% 3.5% 36.1% % Share 100.0% 2020 2020 5,112,408 8,567,176 (kWh) 499,830 14,179,414 Natural Gas Emissions Emissions Fuel Fuel Fuel Electricity Source Combustion: Combustion: Combustion: Consumed Energy consumption Total Transport 52.6% % Share 4.2% 43.2% 100.0% 2,994 2020 2020 (tCO2e) 124 1,294 1,575 Natural Gas Emissions Emissions Emissions Emissions Electricity Fuel Fuel Fuel Source Consumed Consumed Combustion: Combustion: Combustion: (tCO2e) Greenhouse gas emissions gas emissions Greenhouse Total Total Transport

line with the methodology set out in the UK set out in the UK line with the methodology legislation and an increase in our scope which which legislation and an increase in our scope legislation during the period 1st January 2020 period 1st January 2020 legislation during the has changed since 2019, due to changes in in has changed since 2019, due to changes information was collected and reported in and reported in information was collected people return to our offices. people return to our offices. to 31st December 2020, are 2,994 tonnes are 2,994 tonnes to 31st December 2020, for Pentland Brands, reportable under SECR reportable under SECR for Pentland Brands, now includes the Endura operations. Year-on- now includes the Endura operations. year comparisons will be presented in our next our next year comparisons will be presented in our CO2 emssions, energy usage and water water our CO2 emssions, energy usage and consumption to increase in 2021 as more COVID-19 restrictions, meant that our CO2 CO2 COVID-19 restrictions, meant that our of carbon dioxide equivalent (tCO2e). This This (tCO2e). of carbon dioxide equivalent significantly compared to 2019. We expect expect significantly compared to 2019. We Government’s Environmental Reporting Reporting Environmental Government’s The reporting methodology Guidelines, 2019. annual Positive Business report. annual Positive Business report. emissions from electricity and gas reduced emissions from electricity and gas reduced The closure of our UK offices in 2020 due to in 2020 due to The closure of our UK offices The gross greenhouse gas (GHG) emissions gas (GHG) emissions The gross greenhouse

Greenhouse gas emissions gas Planet 56

. 3

m³/Year 8,739 m³/Day 24

water consumption to decrease by to decrease by water consumption people return to our office, we’ll continue we’ll continue people return to our office, the closure of many of our offices of our offices the closure of many to minimise our water footprint in 2021. reviewing our sustainability initiatives reviewing our sustainability initiatives locations in 2020 during 2020 caused our annual our annual during 2020 caused our UK offices in 2020 was 8,739m in 2020 our UK offices 2020 Similarly to our CO2 emissions data, emissions data, Similarly to our CO2 While we expect this to increase as more to increase as more While we expect this approximately 42% compared to 2019. compared to 2019. approximately 42% Year to date Year Water consumption of UK consumption of UK Water The gross water consumption across across The gross water consumption

consumption Water Planet 57 impact of our new impact of our new MSI to compare MSI to compare new with existing new with existing materials and model potential seasonal materials. seasonal materials. savings. Materials Materials We use the Higg use the Higg We environmental environmental Sustainability Sustainability Index To evaluate the evaluate the To wastewater, emissions to emissions to wastewater, their environmental their environmental performance. The tool measures information on measures information on gas emissions, water use, gas emissions, water use, 2 suppliers self-assess 2 suppliers self-assess Module air, waste management waste management air, and chemical usage. Facility Facility Environmental energy usage, greenhouse energy usage, greenhouse To help our tier 1 and tier help our tier 1 and tier To

performance relating to performance relating to the environmental their life cycle and retail stores. retail stores. distribution centres and distribution centres and corporate responsibility, corporate responsibility, our products across operations in our Brand and Brand and and social impacts of and social impacts of Retail Module To assess our assess our To

impact of our operations, which we measure which we measure impact of our operations, using the Higg Index as part of our membership as part of our membership using the Higg Index of the Sustainable Apparel Coalition (SAC). Coalition (SAC). Apparel of the Sustainable We’re working to reduce the environmental the environmental working to reduce We’re We use three modules to measure the to measure the use three modules We environmental impact of our supply chain. environmental impact Supply chain chain Supply Planet 58

we have designed a simple a simple we have designed using the Higg FEM module, module, using the Higg FEM vendors measure their impact. impact. vendors measure their questions about the factory factory questions about the chemical consumption. set-up and energy, water and water and set-up and energy, Where a factory is not yet not yet Where a factory is The scorecard includes basic basic The scorecard includes ‘sustainability scorecard’ to help to help ‘sustainability scorecard’

progress Measuring Measuring Planet 59

by material (m3) by material (m3) vs recycled polyester – 25% vs recycled polyester vs recycled polyamide – -12% vs recycled polyamide vs organic cotton – 87% Polyester Polyester Polyamide (nylon) Conventional cotton Conventional cotton Average water reduction water reduction Average

by material (CO2e) vs recycled polyamide – 45% vs recycled polyamide vs organic cotton – 10% vs organic cotton – Polyester vs recycled polyester – 21% Polyester vs recycled Polyamide (nylon) Conventional cotton Conventional cotton Average carbon reduction carbon reduction Average

including Speedo’s PowerFlex eco PowerFlex eco including Speedo’s from 100% recycled polyester. polyester. from 100% recycled more recycled fabrics in their products, in their products, more recycled fabrics range and Canterbury’s latest British latest British range and Canterbury’s decisions about our fabric usage. on-year so we can make informed make informed on-year so we can We plan to expand this study year- plan to expand this We Our brands are taking steps to include steps to include Our brands are taking & Irish Lions jersey, which is made which is made & Irish Lions jersey,

investigate more sustainable options. while we know there’s more we can more we can while we know there’s with the Higg MSI. Using a selection Using a selection with the Higg MSI. nylon used was recycled. The results The results nylon used was recycled. materials to look at where we can where we can materials to look at 9% of all polyester and 13% of all 9% of all polyester and 13% of all reduce our CO2 emissions and water and water reduce our CO2 emissions do, it shows us where we can minimise do, it shows us where we can minimise Canterbury and Kickers, we analysed we analysed Canterbury and Kickers, our footprint while we continue to our footprint while we continue to of materials significantly reduces of materials significantly reduces our carbon emissions and water This is a first step and, consumption. comprehensive review of the water of the water comprehensive review Speedo, of products from Berghaus, consumption. show that using recycled versions show that using recycled versions In 2020, we undertook our first our first In 2020, we undertook Of the materials featured in the study, Of the materials featured in the study, and carbon footprint of our materials of our materials and carbon footprint

materials footprint materials Understanding our our Understanding Planet 60

lifecycle, including manufacturing, shipping, lifecycle, including manufacturing, shipping, increase the efficiency of our manufacturing of our manufacturing increase the efficiency impact, using biosynthetic materials such as as impact, using biosynthetic materials such we can continue to improve. we can continue to improve. processes and use more renewable energy. processes and use more renewable energy. packaging and disposal. packaging and disposal. the Pentland Brands Innovation team undertook Innovation team undertook the Pentland Brands usage of the goggle through the entirety of its through the entirety of its usage of the goggle natural rubber and sugar cane. The study has The study has natural rubber and sugar cane. minimise the impact of our products. In 2020 of our products. In 2020 minimise the impact re-run the lifecycle analysis to review where where re-run the lifecycle analysis to review goggle. Working with an external partner, the the an external partner, with goggle. Working study reviewed the carbon footprint and water carbon footprint and water study reviewed the Understanding our materials footprint helps us materials footprint helps us Understanding our also led to a review of energy usage in this in this also led to a review of energy usage we can area of our supply chain, looking at how a new goggle with a reduced environmental a new goggle with a reduced environmental a complete lifecycle analysis of a Speedo analysis of a Speedo a complete lifecycle Speedo lifecycle goggle analysis goggle analysis Speedo lifecycle After the goggle is redesigned, the team will will After the goggle is redesigned, the team The findings are now being used to redesign The findings are now being used to redesign See it in action: action: in it See Planet

See it in action:

Reducing supplier Freshwater availability water consumption We recognise the impact of our water consumption on the planet. After Linea Aqua is a swimwear reviewing our water footprint, we made manufacturer co-founded by Speedo. the decision to support an additional It’s renowned for its efforts to reduce environmental cause as part of our water consumption and has been charity programme. recognised as the first water neutral apparel manufacturing facility in We will partner with charity: water and the world. It does this by reviewing, Planet Water Foundation - two non- recycling, reusing and replenishing profit organisations bringing clean, safe water consumption in the facility drinking water to people in developing and giving back to the environment. countries - from 2021. We’ll collaborate It also promotes clean manufacturing, to run projects in our sourcing markets running its manufacturing plant where our water consumption from on 11-15% renewable energy and production is highest, to help channel diverting 99% of its waste safe drinking water into thousands of from landfill. communities.

61 Planet 62 products with products with MADEKIND™ MADEKIND™ 61% accreditation % Berghaus % Berghaus 48% 40% Season Spring Summer 21 Autumn Winter 21 Autumn Winter 20

label so we can expand our range of label so we can expand our range of its range by 34%. including containing more than 50% more than 50% including containing with certified sustainable down or cotton. with certified sustainable down or cotton. Between Autumn Winter 20 and Autumn Autumn Autumn Winter 20 and Between MADEKIND™ was created for created for MADEKIND™ was to demonstrate the Berghaus as a label number of MADEKIND™ products in number of MADEKIND™ products in 90% Bluesign approved fabric or made 90% Bluesign approved fabric or made recycled or bio-based content, more than content, more than recycled or bio-based one of a number of sustainability criteria, sustainability criteria, one of a number of MADEKIND™ for the planet MADEKIND™ sustainability credentials of products. of products. sustainability credentials We train teams across our business train teams across our business We Winter 21, Berghaus increased the Winter 21, Berghaus increased the about the meaning of the MADEKIND™ about the meaning of the MADEKIND™ environmentally friendly products. environmentally friendly products. To be MADEKIND™, a product has to fit a product has to fit be MADEKIND™, To N/A N/A N/A Footwear* 100% 100% 100% N/A N/A 93% 93% 97% 97% Trims 14% 14% N/A N/A 82% 82% 92% 92% 63% 63% Fabrics

bluesign® bluesign® the above the above Leather Leather oekotex® oekotex® one or more of accredidations* standard 100 suppliers which have accreditations in accreditations in suppliers which have chemicals management sustainability, Working Group Working We prioritise working with materials with materials prioritise working We and manufacturing. Preferred supplier Preferred supplier *all brands excluding Endura and Speedo North America *all brands excluding Endura and Speedo North Production Planet 63 lake, including Rudd, Tench, Tench, lake, including Rudd, populations to grow naturally, negating the negating the to grow naturally, pesticides use of harmful chemicals or use of harmful chemicals or mammals, birds and micro- mammals, birds and common and mirror carp. common and mirror organisms can thrive organisms can thrive grass mowing, which cultivates cultivates grass mowing, which an environment in which small which small an environment in (Lytherum) to support bee to support bee (Lytherum) Cultivating Purple Loosestrife Cultivating Purple Loosestrife Promoting moss growth to avoid to avoid Promoting moss growth in our Protecting native species Allowing banks and river beds    

is aiming to restore biodiversity biodiversity is aiming to restore performance, including their impact their impact performance, including protect and cultivate biodiversity following at our global HQ in North following at our global HQ in North London: London: removal of invasive plant species. removal of invasive plant species. on local wildlife and ecosystems. ecosystems. on local wildlife and We’ve taken a number of steps to taken a number of steps to We’ve We support our suppliers to assess to assess support our suppliers We Our Speedo supplier, Linea Aqua, Aqua, Linea Our Speedo supplier, and improve their environmental and improve their environmental including the around our offices, around its facility area, which covers which covers around its facility area, acre through reforestation and Office surroundings surroundings Office Supply chain 15 acres. So far, it’s restored one restored one it’s 15 acres. So far,

biodiversity. Local people are hired hired Local people are biodiversity. in most conditions and protect in most conditions and protect in 2020 and will continue to plant in 2020 and will continue to plant planting 6 million trees trees planting 6 million Eden Reforestation will work with Eden Reforestation to create a positive footprint. footprint. to create a positive poverty in the area. poverty in the area. to support the reforestation activities to support the reforestation activities the next ten years. Our brands the next ten years. Our brands fertility for crops, reducing extreme fertility for crops, reducing extreme million mangrove trees, which thrive million mangrove trees, which thrive to plant an additional five Projects to plant an additional five Endura planted one million trees million trees Endura planted one conservation and protection of of conservation and protection one million trees every year for one million trees every year for Brands commit to to Brands commit We’re taking steps to support the support the taking steps to We’re and benefit from the increased soil and benefit from the increased soil ecosystems in line with our ambition with our ambition ecosystems in line

biodiversity Nature and Nature Planet 64

has also swapped all polyester has also swapped all polyester planet, Kickers has removed all removed all planet, Kickers has sticks, card products such as shoe out of the playground Kickers won ‘Best Sustainable Kickers won ‘Best Sustainable unnecessary packaging from its from its unnecessary packaging measure a distance of 34km end-to- mesh linings to recycled PET. more environmentally friendly. 340,000 shoe sticks, which would 340,000 shoe sticks, which would Footwear Awards 2020 for re- Awards Footwear dividers and excess tissue paper. In In tissue paper. dividers and excess 2020 the brand saved approximately 2020 the brand saved approximately Kickers takes plastic plastic Kickers takes In a move to take action for the for the In a move to take action Drapers at the Year’ Initiative of the end. end. engineering its existing styles to be Among other initiatives, the brand Among other initiatives, the brand

life. We’re working to reduce the reduce the working to life. We’re brands’ ecommerce websites to FSC brands’ impact on our oceans and marine and marine impact on our oceans post-consumer waste. This change This change post-consumer waste. where we can, due to their negative to their negative where we can, due teams helped us switch the plastic teams helped us switch the plastic products. products. prevalence of single-use plastics in plastics in prevalence of single-use nearly one million plastic bottles. nearly one million plastic bottles. reduced the amount of plastic we reduced the amount of plastic we certified packaging made from 80% certified packaging made from 80% our packaging and across our brand across our brand our packaging and shipped in 2020 by 27 tonnes, or shipped in 2020 by 27 tonnes, or shipping bags used across our shipping bags used across our We avoid using single-use plastics plastics avoid using single-use We In 2019 our Product Development Development In 2019 our Product

single-use plastic single-use Reducing Planet 65 in less water, energy and chemicals. in less water, the remaining 7% are produced from the remaining 7% are produced from the material to 40% recycled content. recycled content. the material to 40% – which equals tonnes of virgin fibre friendly method of dying that results friendly method of dying that results 93% of Speedo’s 2020 watershorts 2020 watershorts 93% of Speedo’s reduce our virgin plastic usage by reduce our virgin plastic usage by 64,461 trees in one year. year. 64,461 trees in one PET content in a selection of goggle content in a selection of goggle PET difference. We’ve reduced the size of the size of reduced We’ve difference. cases from 50% to 70%, which will cases from 50% to 70%, which will Speedo also increased the recycled Speedo also increased the recycled 23.2 tons per year. When it comes to recycling, even even When it comes to recycling, are made from recycled fabrics and are made from recycled fabrics and a fabric that uses an environmentally a small change can make a big make a big a small change can and swapped all Speedo swing tags This small change will save 3,792 will save 3,792 This small change

brand’s PowerFlex eco range uses eco range uses PowerFlex brand’s is made from ocean waste, including is made from ocean waste, including including swing tags, strings, kimbles that 100% of its swimwear and and that 100% of its swimwear with packaging will be produced By 2024, Speedo’s ambition is ambition is By 2024, Speedo’s fishing nets. All the packaging All the packaging fishing nets. made from recycled materials. made from recycled materials. more sustainable materials. The The more sustainable materials. sustainable swimming sustainable swimming ECONYL® and REPET yarn, which yarn, which ECONYL® and REPET and bags are fully recyclable and and bags are fully recyclable and Speedo targets Speedo targets Waste Planet 66

labour rights. improve working conditions and respect improve working conditions and respect the apparel and footwear supply chain. the apparel and footwear Better Work brings together businesses brings together businesses Better Work Leap’s annual Social Mobility Awards. annual Social Mobility Leap’s of environmental impact across across of environmental impact supply chains. Better Work Making the Leap Making the Leap social mobility. We support Making the support Making the We social mobility. and standardise the reporting reporting and standardise the and impact of harmful substances in substances in and impact of harmful at all levels of the garment industry to at all levels of the garment industry to A collaborative effort to reduce the use reduce the use to collaborative effort A social justice charity that promotes A AFIRM AFIRM

lives of workers around the world. profit organisations that share our goal that share our goal profit organisations the textile and garment supply chain. Bringing together brands, retailers, Bringing together brands, retailers, following: members and supporters of the of the members and supporters manufacturers and trade unions to manufacturers and trade unions to Developing tools to improve Developing tools to improve responsible business. We are active are active We responsible business. Forging an alliance to improve the Forging an alliance to improve the of being a socially and environmentally and environmentally of being a socially We work with a number of not-for- work with a number We address the issue of living wages in address the issue of living wages in Ethical Trading Initiative (ETI) Trading Ethical Coalition (SAC) Coalition (SAC) Sustainable Apparel Sustainable Apparel Action, Collaboration, Action, Collaboration, Transformation (ACT) (ACT) Transformation

for better for Collaborating Collaborating Planet

Collaborating for better

The Pentland Centre for Resource circularity Berghaus has collaborated with climbing kit creator Dirtbags to Sustainability We’re constantly looking for new ways produce Rehaused by Dirtbags. to extend the lives of our products to We support and learn from the The range takes Berghaus products prevent them from going to landfill. We Pentland Centre for Sustainability at the end of their usable lives and track the number of surplus products in Business at Lancaster University, upcycles them into new climbing we recycle and donate to charity on our which was founded in 2015 by our products. Each piece is made website. parent company, Pentland Group. individually, by deconstructing The Centre carries out research We’re doing more to look at how we Berghaus kit that is beyond repair to find practical solutions to social can create circular product economies to turn it into something new, giving and environmental challenges. to avoid material waste. Our brands loved fabrics and colours a new have pioneered their own approaches. lease of life. In 2020 sustainability expert Professor Jan Bebbington was The Canterbury Uglies range uses Endura rotates stock by asking appointed to the role of Pentland excess fabric to create one-of-a- its retailers to return any surplus Centre Director. Jan has dedicated kind garments and reduce material products to the brand, preventing her academic career to focusing on waste. 2020 marks 50 years of them from going to landfill. how organisations can contribute Uglies, which we’re celebrating with to sustainable development a limited edition range of jerseys through accounting and reporting in Australia and New Zealand – the activities. original home of the brand.

67 Impact and investment

6.0

Impact and investment We build brands and products with a social purpose. We work to create value to society through employment, financial investment, product innovation and taxes.

68 Impact and investment

Impact and investment

Employment Economic contribution Due to the COVID-19 pandemic, in 2020 our brands’ business profits We seek to attract, retain, motivate and We report corporation tax payable were impacted and our corporation tax reward our people by establishing and in the UK and overseas in our entity payable was consequently impacted. maintaining an appropriate, competitive accounts and consolidated group As a Group we continued to make salary and benefit programme, while financial statements. We also annually profits and pay corporate income taxes remaining mindful of our financial report our total corporate taxes paid in a number of territories across Asia, responsibility to our shareholders. and payable across the whole Pentland Europe and the US. Group on a country by country basis to In 2021 we’ll launch an internal relevant tax authorities. campaign encouraging our employees to provide details about their gender, Our economic contribution in respect ethnicity, religion, sexual orientation of taxation covers business taxes, and other indicators of diversity. This indirect taxes including VAT, goods will allow us to collect more diversity and services taxes and customs data across our regions, helping us duties, and employment taxes. understand and increase the diversity of our employee population.

69 Impact and investment

Impact and investment

Infrastructure and Indirect economic impacts chain challenges cause by the global shipping crisis. services supported For Pentland Brands, 2020 saw the majority of its retail customers close We have worked closely with our As we expand our brand portfolio, their retail stores over a sustained suppliers, retailers and partners we invest in new businesses, period. This naturally had a significant to mitigate the impact of Brexit, more infrastructures and services. In 2020 impact on product demand across its information on which can Pentland Group acquired the Speedo portfolio of consumer brands. As a be viewed on page 34. North America business, uniting the result, certain lines of stock became global Speedo brand. The purchase obsolete or aged more quickly, and its was $170 million in cash, subject to ability to sell through the forthcoming a working capital adjustment, and seasons product was also affected. It is included the Speedo North America recognised in the market that there is HQ in Cypress, Santa Barbara. likely to be a greater rollover of existing To increase our digital capabilities, stock to the following years season we have also invested in a ‘Global where appropriate, to help reduce the Capability Hub’ in Bangalore, India. current levels of aggressive discounting, There are now around 40 employees also recognising some existing supply based at the hub.

70 Impact and investment

Impact and investment

Financial investment support received since the start of the crisis. This decision was taken in the contribution context of financial resilience within During the pandemic, Pentland Brands the wider Pentland Group and the required financial support from its greater confidence we now have as our parent company, Pentland Group business emerges from the crisis. Limited. This allowed the business to We have also received UK Government mitigate any adverse impact on cash funding for two new job placements generation and working capital caused via the Kickstart Scheme, designed by the pandemic. for young people receiving Universal Government economic Credit. More information on the Kickstart scheme is available on contribution page 46. With the closure of retail, gyms and pools significantly impacting revenue in 2020, we were grateful to access the UK Government Job Retention Scheme so we could protect as many UK jobs as possible. We stopped accessing Government support from January 2021 and have repaid all previous

71 Impact and investment

Impact and investment

Social investment Our budget for corporate responsibility activities is Our Positive Business strategy puts approximately 1% of our business’ people at the heart and we channel our overheads. This includes NGO support through funding, charity work membership costs and any and individual employee contributions. programmes of work related to Pentland Brands gives at least 1% of ethical trade. It excludes individual net profit after tax to charitable causes corporate responsibility initiatives every year, through a combination of undertaken by our brands. financial contributions and product Our employee charity network donations. Our rolling product donation allocates funding to charities tally can be viewed on our website. championing good causes in our communities. In 2020 our charity network allocated £11,000+ towards charity projects in our sourcing markets.

72 Impact and investment

Impact and investment

Innovation of better products We build products to support health, wellbeing and confidence. All our brands have a social purpose, from Berghaus helping people get into the outdoors to Speedo creating life-saving water safety equipment.

Our in-house innovation team works to ensure our products solve current social and environmental challenges. We have dedicated Product Development teams to bring these propositions to life.

During the financial year ending 31 March 2020, over £2 million was spent on research and development across Pentland Brands, Berghaus, Speedo International, Canterbury and Endura. This included staff overhead costs and brand innovation projects.

Examples of innovation to tackle specific sustainability challenges include the use of recycled fibres in Speedo’s new PowerFlex eco collection (pg 65) and the year-on-year expansion of Berghaus’ MADEKIND™ range (pg 62).

73 Future

7.0

Future

We know there are many more ways we can take action for people and our planet to mitigate the global challenges we face. Our Positive Business strategy continues to guide us in increasing our positive impact and minimising our footprint.

74 Future

Positive Business gameplan

As a brand owner, we set the Building brands with purpose Owning our footprint Promoting circularity and collaboration corporate agenda for sustainability and our brands lead the way in Donating 1% of net profit Reducing our carbon Donating 25,000 products to making a difference. We have after tax to charitable causes footprint by 25% by 2025 our charity partners in 2021 a clear game plan to accelerate how we take action for people Accelerating our ethical trade Empowering our employees Promoting adoption and and planet. commitments in 2021, with to take action for people verification of HIGG tools our Zero Tolerance policy,

Pentland Brands and planet through positive with vendors targeting gender & human rights business squads 50% volume in 2021 due dilligence framework

Supporting our brands to Utilising circular solutions increase their social impact Our brands will plant in-house and with partners, through accreditations, 6 million trees in 2021 to to prevent product collaborations and take action for our planet and material waste charity initiatives Brands

Unveiling our brands’ Our brands will work All our packaging will individual positive business towards becoming carbon be recyclable, recycled ambitions in 2021 neutral by 2030 or compostable

75 Positive Business Report 2020

Pentland Brands

Lakeside Squires Lane London N3 2QL

To find out more about CR at Pentland Brands, please contact [email protected] or visit our website

© Pentland Brands 2020. All rights reserved.

Airborne Footwear Limited is the UK licensee for footwear under licence from Kickers International B.V. Pentland Chaussures Limited is the worldwide licensee for footwear under licence from Lacoste S.A. and its associated companies.

BERGHAUS and are registered trade marks of Berghaus Limited. CANTERBURY and are registered trade marks of Canterbury Limited. ELLESSE and are registered trade marks of Ellesse International S.p.A. ENDURA and are registered trade marks of Endura Limited. KANGAROOS and are registered trade marks of Asco Group Limited. KICKERS is a registered trade mark of and used under licence from Kickers International B.V. LACOSTE and are registered trade marks and used under licence from Lacoste S.A. and its associated companies. MITRE and are registered trade marks of Mitre Sports International Limited. RED OR DEAD is a registered trade mark of Red or Dead Limited. SeaVees and is a registered trade mark of SeaVees, Inc. SPEEDO and are registered trade marks of Speedo Holdings B.V. PENTLAND is a registered trade mark of Pentland Industries Limited.

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