2012 SUSTAINABILITY REPORT INSPIRED BY DEMAND DRIVEN BY RESULTS CHALLENGED BY IDEAS SUSTAINABILITY IS INTEGRATED INTO OUR BUSINESS At Bloomberg, COMPREHENSIVE sustainability means managing our business better by integrating environmental, social, and economic considerations into everything we do. 2012 Sustainability Report Bloomberg L.P. all rights reserved 12 Introduction 2012 14 Core Terminal BLOOMBERG 18 Verticals SUSTAINABILITY 21 Multimedia REPORT PRODUCT PEOPLE 56 Introduction 57 Corporate Leadership 59 Giving 62 Engagement PLANET 64 Employees 26 Introduction 71 Corporate Policy 28 Energy 35 Paper 39 Business Travel & Logistics 41 Supply Chain 45 Waste & Water TABLE OF CONTENTS 02 Executive Message 04 Key Performance Indicators 06 Introduction 12 Products 26 Planet 56 People 73 Global Reporting Initiative Index 86 Assurances 1 2012 Sustainability Report Bloomberg L.P. all rights reserved Message from Peter Grauer and Dan Doctoroff CREATING SUSTAINABLE IMPACT BSUSTAINABLE 2020 The definition of ‘corporate sustainability’ We — the Company, our customers, and we made another significant investment is so broad it risks undermining its the global community — face significant in the space: The Sustainability Account- potential value — especially when it comes sustainability challenges. Systemic issues ing Standards Board. to corporate strategy. For some it is about like continuing population growth and a SASB was launched to create sustainabil- corporate social responsibility (CSR) and ten-fold increase in wealth and consump- ity accounting standards for use by good corporate citizenship. For others tion capacity, while creating economic publicly listed corporations in disclosing it is more about environmental manage- opportunity for many, also bring consider- material sustainability issues. Additional ment and/or employee engagement and able social and environmental costs for transparency benefits investors and the retention. Still others see it as a branding all, including our customers. public because corporate growth and opportunity to support the firm’s license So the questions we are now asking success are no longer constrained solely to operate. are: “How do we leverage the things by the availability of financial capital. A All of these provide real value in varying Bloomberg does uniquely well to innovate company’s public disclosures should degrees, but finding the right approach for sustainability solutions? How can we therefore convey a more accurate view of and strategy — one that supports the firm’s create value for our customers and the risks and opportunities as reflected in the primary purpose — is critical. So in 2007, broader global community?” multiple forms of capital a company we decided to extend the social philan- employs today. By doing so, SASB helps Unfortunately, neither free markets thropic tradition established by Mike companies become part of the solution, nor prescriptive policies have yielded Bloomberg to environmental management. and we believe that’s worth investing in. meaningful sustainability solutions, with We would make the business case for proponents of each pointing fingers at As we bring our first generation efforts sustainable operation by demonstrating the other for the failure. (2007–2013) to a close, we are working the positive correlation between environ- with our partners to chart a course for mental and financial returns. In order to interrupt this narrative with an expanded and aggressive next genera- an effective combination of market and Since then we’ve improved our operating tion effort (2014–2020). For Bloomberg, regulatory responses, Bloomberg and efficiencies, resulting in an emissions that means leveraging all that we our customers are certain of at least one intensity reduction of over 30% and do — corporate citizenship, sustainable thing that can help: good information. net savings of $43 million. We brought operations and products and services Leadership in Energy and Environmental Data is the life-blood of policy-making that solve big problems — by trying new Design (LEED) standards to our global and the capital markets. Even with things, setting aggressive but achievable offices and moved our entire magazine the most sophisticated assumptions, targets, and questioning business as and office paper sourcing to Forest regulations and financial models formu- usual. The following page provides a Stewardship Council (FSC) certified lated on unreliable information are framework we developed to set specific, paper. And we’ve significantly expanded liable to miss the mark and, worse still, actionable goals and targets in 2013 our commitment to the communities in compound the problem. to reach by the end of the decade. We which we work by strengthening our hope this framework — BSUSTAINABLE Bloomberg is putting our first-in-class philanthropic, employee engagement, 2020 — will elevate the conversation and research and data capabilities to work, health and diversity initiatives. create a new model for the 21st century advancing the quality, quantity and company — one based on leadership, While these efforts reinforce our forward- analysis of sustainability information while commitment, transparency and thinking culture and drive for operational developing innovative products to help accountability. excellence, they are primarily internal. our clients effectively navigate this time To create true and enduring sustainable of change. impact, however, we need to look We began collecting environmental, externally. Our primary purpose is to social and governance (ESG) company serve our customers’ current and future data in 2008, acquired Bloomberg New analytical needs and that requires us Energy Finance in 2009, and launched to think about their related sustainability a dedicated sustainability media channel risks and opportunities. on Bloomberg.com in 2011. And in 2012, 2 2012 Sustainability Report Bloomberg L.P. all rights reserved BSUSTAINABLE 2020 Partner Engagement Business Group Carbon Assessment OPERATIONS Financial Thought Integration Leadership Sustainable Finance PRODUCT Product Strategy CITIZENSHIP SASB: Sustainability Accounting Market Operational Standards Board Development Excellence Bloomberg pushes boundaries and BSUSTAINABLE 2020 reflects that commitment. Integrating sustainability means considering environmental and social impacts, along with traditional economic analysis, in all aspects of the business decision making process. It’s the daily promise we make to redefine what it means to be a sustainable business, and it’s the tenacity to see that vision through. BLOOMBERG’S FIVE TENETS ANCHOR INITIATIVES Partner Engagement: By tapping the expertise Three initiatives – anchored in our operations, of our partners – employees, vendors, customers, product, and citizenship pillars and driven forward communities and governments – we can lead and by five key tenets – demonstrate our unparalleled amplify solutions together. commitment to our customers and communities. Financial Integration: Sustainable finance means Business Group Carbon Assessment bringing sustainability into finance, and finance into A Companywide carbon-allocation initiative that sustainability. Only an integrated approach will gives business units visibility into their carbon output create meaningful value. Bloomberg will drive this and enables more effective integration of sustainability effort forward. concerns into business planning. Market Development: As the market for sustainability Outcome: An aggressive, but achievable emissions data, news and analytics develops, we want to drive reduction target. demand and proactively respond to evolving customer Sustainable Finance Product Strategy needs. A demand-driven product initiative to help our Operational Excellence: We believe sustainability customers identify and pursue unique sustainability- makes good business sense. It is foundational to related business and investment opportunities. the way we operate, pursue innovative solutions and Outcome: Sustainability data, news and analytics constantly challenge ourselves to redefine “business in Core Terminal, Multimedia and Vertical products. as usual.” SASB: Sustainability Accounting Standards Board Thought Leadership: We will be pioneering and A partnership with the Sustainability Accounting innovative in executing a sustainability vision and Standards Board to support the development of strategy that is grounded in practical application sector-specific, material sustainability disclosure for us and our partners. standards for inclusion in the SEC’s Form 10K. Outcome: Comprehensive ESG disclosure for all publicly listed companies. 3 2012 Sustainability Report Bloomberg L.P. all rights reserved KEY PERFORMANCE INDICATORS 2012 2011 2010 2009 2008 %** Key Drivers Operating revenues less various 8.3 7.7 6.9 6.3 6.1 35% Revenue* adjustments to gross sales. ($ billions) Number of full-time employees at the end of the reporting period as disclosed 15,683 15,264 12,689 10,990 10,317 52% Employees in the company’s social responsibility reports. Leased and owned square footage Occupancy in the company’s real estate portfolio. 4,506,390 4,413,323 3,211,000 3,021,585 2,898,868 55% (Sq. ft.) Kilowatt hours consumed by the Electricity company in the reporting year including 265,604,894 254,335,093 241,728,076 232,320,574 238,378,317 11% common area charges. (kWh) Business miles traveled by company Travel Miles employees in the reporting period. 125,702,325 119,139,331 110,402,214 87,012,895 81,207,317 55%