IMPACT REPORT 2014 OUR BOTTOM LINE IS IMPACT. Bloomberg Impact Report 2014 i WHAT WE’VE DONE for our customers and products 12 core terminal 19 industry verticals 23 media WHAT WE’VE DONE for our people and communities 29 bcause introduction 34 global philanthropy & engagement 40 diversity & inclusion 44 benefits & wellness WHAT WE’VE DONE 48 leadership & development for the planet 50 communications 55 energy 62 paper 67 business travel & logistics 69 supply chain 75 waste & water The cover of the 2014 Bloomberg Impact Report was designed by Roma Lazarev, a 30-year-old Moscow- based designer. Roma is an alumni of D&AD, a nonprofit that aims to inspire a community of creative thinkers by celebrating and stimulating the finest in design and advertising. Bloomberg has supported D&AD since 2002 and has mentored their alumni and commissioned their young creatives for projects including creating the website for the Bloomberg Space gallery in London and designing the Bloomberg volunteer T-shirt. IMPACT REPORT for our customers 2014 and products Contents 02 Preface by Michael Bloomberg 03 About this Report 04 Materiality 06 Partner Engagement 07 2020 Targets 10 Customers and Products 28 People and Communities 53 Planet 84 Assurances Bloomberg Impact Report 2014 1 Message from Mike. Better access to data leads to better decisions. Bloomberg was founded on that idea, and we are constantly working to expand the universe of data our customers can tap into. Today, investors examine companies with greater sophistication than ever before, and one of the new variables they consider is sustainability. They ask, for instance: How sustainable are companies’ internal practices, such as talent recruitment and retention? And how sustainable are companies’ external supply chains, including the natural resources they depend upon? More and more customers seek access to this kind of information – wisely so – but it has not been easy to discover. Bloomberg is committed to changing that. We now collect sustainability information on more than 11,000 of the most actively traded securities – a ten-fold increase from when we started in 2009. More than 17,000 of our customers use this information in their work. Those numbers will continue to grow as sustainability criteria become an increasingly important variable shaping companies’ market value. One of the challenges to analyzing sustainability data is its lack of standardization across companies and industries. To address this challenge, I serve as the Chair of the Sustainability Accounting Standards Board, which develops metrics to include in a company’s annual S.E.C. filings. This reporting will allow analysts to see sustainability data in the same place they see financial data. At Bloomberg, our commitment to these issues runs through everything we do. Our employees are actively engaged in this work, as part of the 57,000 hours of service that Bloomberg employees around the world performed in 2014. In addition, we have increased the amount of renewable energy powering our offices, built our offices to the highest green building standards, improved energy efficiency more than 40 percent, and become the only news publisher to produce 100 percent of our magazines from sustainable paper sources. These steps have saved us nearly $70 million since 2008, and helped give us an edge in our work to attract and retain the most talented and hardest-working people. This report provides an overview of our work in these areas and how it is helping us to serve our customers more effectively. We are excited about their potential and committed to being a global leader in this critically important area for many years to come. 2 Bloomberg Impact Report 2014 Back to Contents BLOOMBERG IMPACT REPORT 2014 about this report. Bloomberg Media including television, radio, Our People Bloomberg, the global business and mobile, digital and print — Bloomberg In 2014, we launched BCAUSE, a financial information and news leader, Businessweek, Bloomberg Markets collaborative effort across our employee gives influential decision makers a critical and Bloomberg Pursuits — covers the engagement and social impact groups edge by connecting them to a dynamic world with more than 2,400 news and to maximize our impact around the network of information, people and ideas. multimedia professionals at 150 bureaus world for our employees and our in 73 countries. communities. Together, our Diversity The Company’s strength — delivering data, & Inclusion, Wellness, Philanthropy & news and analytics through innovative Our Products Engagement and Sustainability units technology, quickly and accurately – is at Bloomberg’s products and services address social and environmental the core of the Bloomberg Professional® provide essential information to the issues that are relevant to our business service, which provides real-time financial world’s most influential audiences. We and our partners – customers, vendors, information to more than 320,000 are a signatory of the United Nations employees, nonprofits, governments, subscribers globally. Bloomberg’s Principles for Responsible Investment and communities. Pages 28–52 provide Enterprise Solutions build on the and believe that sustainability presents a more details on how we’re investing in our Company’s core strength, leveraging market opportunity for us. For Bloomberg, people and communities. technology to allow customers to access, sustainable finance is a broad term that integrate, distribute and manage data covers all forms of investment activity Our Planet and information across organizations analysis from business, government and By looking at our business through an more efficiently and effectively. The capital markets — that seek to integrate environmental lens we have been able Industry Verticals group — Bloomberg environmental and social considerations to improve operating margins, minimize Government, Bloomberg New Energy with financial analysis. Pages 10–27 risk, and engage our employees, while Finance and Bloomberg Bureau of provide an overview of how we are generating $68 million in financial savings National Affairs — provides data, news integrating sustainable finance products to the Company. Pages 53–81 provide and analytics to decision makers in and services across Core Terminal, an overview of how we’re making the industries beyond finance. Bloomberg Industry Verticals and Media for our business case for sustainability by News, delivered through the Bloomberg customers. reducing the impact of our operations Professional service and Bloomberg associated with energy, paper, travel, supply chain, waste & water. Back to Contents Bloomberg Impact Report 2014 3 BLOOMBERG IMPACT REPORT 2014 Materiality Bloomberg’s sustainability program what is essentially a sample MD&A to the corporate entity), we acknowledge began in 2007. From the beginning, we (Management Discussion & Analysis) that this is but a half-step in the direction recognized the importance of identifying for Bloomberg’s three applicable of a truly streamlined report. For 2014, areas of impact relevant to our business. SASB industries alongside the full GRI Bloomberg continues to report on the full While this initial assessment was focused G4 Content Index It is an opportunity complement of applicable GRI indicators. primarily on environmental mitigation, for Bloomberg to show that the GRI and As we look to 2015, we will embark on our continuing revision and stakeholder SASB reporting frameworks can be an extensive stakeholder engagement engagement processes, along with complimentary pieces in a comprehensive process to conduct a more targeted guidance from the Global Reporting sustainability reporting effort. materiality exercise, determining the most Initiative (GRI), led us to expand the scope relevant, substantively material indicators At the heart of this exercise lies the of sustainability to reflect a much broader culled from both GRI and SASB, thereby concept of “materiality,” which is defined array of material issues. continuing to rationalize and improve our in different ways under various reporting reporting process. For our 2014 Sustainability Report, as frameworks. We do not attempt to formally in prior years, Bloomberg is following reconcile divergent uses of the term Bloomberg’s aforementioned stakeholder the GRI guidelines. After utilizing G3 (as between SASB and GRI). Rather, engagement process is conducted since our initial GRI-compliant report in we have developed an implementation annually for the purposes of determining 2010, this year we are moving to the G4 methodology that enables the use of materiality and soliciting feedback on all framework and incorporating the Media both definitions in the context of a single facets of our sustainability program. As Sector supplement. report by a private company. “Materiality” described on page 6 in greater detail, understood within the GRI framework first it reflects a comprehensive process Also noteworthy in 2014 is the integration leads us to consider a spectrum of issues requiring input from a number of strategic of industry-specific accounting that are deemed salient in reflecting the partners, including customers, vendors, standards from the Sustainability company’s environmental and social employees, nonprofits, and other experts. Accounting Standards Board (SASB). impacts on a wide array of stakeholders. Under SASB’s industry classification Accordingly, we begin with the larger system, Bloomberg’s business offerings universe of potentially relevant issues