Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change

Environmental Achievements

• Reduced Scope 1 emissions by 30% from 2019 to 2030 (projected)
• Reduced Scope 2 emissions by 90% from 2019 to 2030 (projected)
• Reduced Scope 3 emissions by 50% from 2019 to 2030 (projected)

Social Achievements

• Working with supply chain on good working conditions, capacity training and financial funding
• Offering financial support for feasibility studies, renewable energy purchase or trainings

Governance Achievements

• Chief Sustainability Officer reports directly to the CEO, owner and chairman of the group
• Climate- or strategy-detrimental decisions need to be justified to the owner and the CSO

Climate Goals & Targets

Environmental Challenges

• Data limitations on Scope 1 (company-owned cars included in Scope 3), Scope 3 (web services, use phase and End of Life)
• Unstable economic development hindering investment in solar panels
• Dependence on lessors' willingness to contribute to decarbonizing heating in retail business
• High cost of renewable gas certificates
• Need for more options for renewable energy procurement in production countries
• Dependence on low-carbon technologies for textile-to-textile recycling
• High cost of sustainable aviation fuel
• Limitations of Energy Attribute Certificates

Mitigation Strategies

• Working to obtain missing data in 2023
• Focus on renewable energy purchase in production countries and sourcing strategy
• Renewable gas certificates as a contingency for heating
• Exploring PPAs, green tariffs for renewable energy procurement
• Advocating for legislation to increase textile-to-textile recycling
• Advocating for regulation to increase sustainable aviation fuel demand

Supply Chain Management

Responsible Procurement

• Preferred Fiber List
• Sourcing Scorecard
• Feasibility study funding
• Capacity building
• Research support

Climate-Related Risks & Opportunities

Physical Risks

• Floods
• Extreme heat

Transition Risks

• Regulatory changes
• Market shifts
• Increased cost of living

Opportunities

• Development of energy-efficient products
• Secondhand business

Reporting Standards

Frameworks Used: SBTi, GHG Protocol Corporate Accounting and Reporting Standard, EU Taxonomy (from 2024), CDP, GRI, IPCC, IEA

Third-party Assurance: Limited assurance

Sustainable Products & Innovation

• Products made with organic cotton, recycled polyester and nylon

Environmental Metrics

ESG Focus Areas

• Nature
• Economy
• Society
• Well-being

Environmental Achievements

• Reduced CO2e emissions from shipments in absolute and relative terms despite business growth.
• 75% reduction in plastic shopping bags at Globetrotter.
• Reduced energy consumption in retail operations; some locations switched to LED lighting, saving up to 50% of annual electricity consumption in Yangzhou, China.
• Reduced average CO2e emissions from the car fleet to 126 g/km.

Social Achievements

• Increased Code of Conduct for Suppliers signature rate from 91.2% to 95.6%.
• Successfully accredited by the Fair Labor Association (FLA) in early 2018.
• Trained 1288 employees on social compliance, sustainability, ethics, and CSR.
• Improved staff turnover rate from 28.8% to 24%.

Governance Achievements

• Introduced a compliance management system in 2012, continuously improved.
• Implemented sustainability goals as elements in top managers' performance reviews, linking bonus payments to achievement.
• Increased number of cases directly reported to the CSO by 50% compared to 2016.

Climate Goals & Targets

Environmental Challenges

• Climate change and associated extreme weather events posing a strategic risk.
• Lack of concrete action at the political level regarding climate change.
• Increased competition and changing retail environment.
• Uncertainties about general economic development.
• Grey imports based on price arbitrage.
• Challenges in achieving baseline operational targets.

Mitigation Strategies

• Focus on reducing negative environmental and social impacts and focusing on positive contributions at each stage of products’ life cycles.
• Addressing social compliance matters throughout the supply chain and within the organization.
• Program in Germany and Sweden to reduce emissions in operations.
• Regular updating of car policy to reduce CO2 emission levels.
• Requiring suppliers to adhere to the Restricted Substances List (RSL).
• Updating Chemical Guidelines twice a year.
• Reorganizing logistics operations and building a new B2C service and logistical center in Ludwigslust, Germany.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier Code of Conduct (aligned with FLA Workplace Code)
• Regular supply chain partner audits
• Partnership with Elevate for auditing and training.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events affecting operations and production sites.

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards, UN Global Compact

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Fjällräven Greenland Collection relaunch
• Primus PrimeTech stoves
• Tierra Deterra jacket
• Hanwag Eco-Shell Footwear membrane
• FRILUFTS sleeping bags with organic cotton

Awards & Recognition

• ISPO 2017 award for Tierra
• Awards for inclusion, diversity, and gender equality in German operations

Environmental Metrics

ESG Focus Areas

• Climate change
• Circularity and waste minimization
• Social compliance
• Supply chain activities
• Sustainable Development Goals (SDGs)

Environmental Achievements

• CO2 neutral in own operations since 2015
• Globetrotter brand completely phased out single-use plastic bags
• Reduced CO2 footprint in Scopes 1 and 2 despite economic growth
• Sold 33,405 fuel-efficient PRIMUS stoves and pots, saving around 50% energy per usage compared with standard stoves
• Retrofitting stores with more efficient lighting and heating/cooling concepts

Social Achievements

• Approximately 95% of business partners signed Code of Conduct
• 71 Tier 1 suppliers re-audited or newly audited for environmental and social aspects
• Participated in pilot project studying employee satisfaction in Vietnam, showing above-average satisfaction levels
• Tested EMPact training approach with a strategic supplier in China
• Reached 10% of Tier 1 suppliers in three countries with different training approaches

Governance Achievements

• Established regular internal CSR Day
• Introduced a compliance management system in 2012 and continuously improving it
• Sustainability goals increasingly becoming elements in performance reviews of top managers

Climate Goals & Targets

Environmental Challenges

• Climate change and extreme weather events affecting operations
• Slow progress on climate action
• Counterfeit goods posing risks to customers and business
• Trade conflicts and economic slowdowns
• Data limitations in water and waste management

Mitigation Strategies

• Joined UN Fashion Industry Charter for Climate Action and STICA
• Strengthened climate strategy to reduce group emissions by 40% by 2025
• Called upon policymakers to protect people and environment from hazardous products
• Reorganized logistics operations in Germany
• Improving data quality in water and waste management

Supply Chain Management

Supplier Audits: 71 audits/year

Responsible Procurement

• Supplier Code of Conduct (aligned with FLA Workplace Code)
• Country risk evaluation procedure
• Use of blockchain technology for traceability

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Changes in seasonality

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Opening of Northeast Passage trade route

Reporting Standards

Frameworks Used: GRI Standards, UN Global Compact

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• PRIMUS Essentials packaging
• Hanwag ATR Sole
• Tierra Belay jackets (using Gotland wool and bio-based polyester)
• Fjällräven Kånken backpacks (using recycled wool)
• Frilufts Awarua Shirt (Ecoya® Nylon)
• Frilufts Sula 4 sleeping bag (recycled polyester and nylon)

Awards & Recognition

• SAC Leadership award for SMEs (CSO)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Compliance
• Circular Economy
• Biodiversity
• Well-being

Environmental Achievements

• CO2 neutral in own operations since 2015
• Reduced CO2e emissions from business travel (1260 t CO2e in 2021 vs 1553 t CO2e in 2020)
• Sold 17,000 fuel-efficient PRIMUS stoves and pots, saving around 50% energy per use compared to standard stoves
• Increased share of sustainable materials
• 74% of collected waste diverted from disposal

Social Achievements

• Held a Stakeholder Roundtable with over 400 participants
• 97% of business partners signed the Code of Conduct
• Improved social compliance audit scores with fewer findings than in 2020
• Increased online training opportunities for employees (30+ hours/employee)
• Launched the Nature Bonus program, donating over 400,000 EUR to local nature organizations

Governance Achievements

• Introduced an anonymous whistleblowing hotline
• Improved compliance management system
• Increased proportion of female middle managers (44.4% in 2021 vs 41.6% in 2020)
• Increased proportion of women in top management positions (30% in 2021 vs 24% in 2020)

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to Covid-19
• Lack of production capacity
• Lockdowns around the globe
• Restricted access to stores
• Climate change impacts on supply chain (extreme weather events, water scarcity)
• Increased carbon pricing for fossil fuels
• Potential for increased regulations on greenhouse gas emissions

Mitigation Strategies

• Cost reduction and safety measures
• Increased digitalization efforts
• Implemented energy efficiency measures
• Internal carbon fee on extraordinary air freight
• Deepening knowledge of supply chain through measures and partnerships
• Collaborative improvement projects with EOG and STICA
• Social compliance audits and remediation plans
• Use of Higg Index and other assessment methods

Supply Chain Management

Supplier Audits: 55 production sites visited in 2021 (30% of Tier 1)

Responsible Procurement

• Code of Conduct
• Country risk evaluation
• Social compliance policy
• Better Buying™ survey

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Floods
• Storms
• Water scarcity
• Droughts

Transition Risks

• Increased carbon pricing
• Regulations on greenhouse gas emissions

Opportunities

• Increased demand for sustainable products
• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI, UN Global Compact

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 8
• SDG 10
• SDG 12
• SDG 13

Initiatives contribute to these goals through various programs and policies

Sustainable Products & Innovation

• Fjällräven Tree Kånken
• Frilufts Haifoss Padded Trousers
• Primus SIP Power Gas
• Royal Robbins ReadyDry Essentials
• Hanwag Blueridge ES

Awards & Recognition

• Fjällräven and Naturkompaniet voted most sustainable brands in Sweden
• Partioaitta voted industry leader and ranked among top sustainable brands in Finland

Environmental Metrics

ESG Focus Areas

• Nature
• Economy
• Society
• Well-being
• Climate Change/Action
• Social Compliance/Human Rights
• Circularity
• Transparency/Traceability

Environmental Achievements

• Increased renewable electricity share to 88% for own and operated locations, resulting in a 37% decrease in Scope 2 emissions compared to 2019 baseline.
• Reduced raw-material-related emissions intensity by 5% through the purchase of organic cotton, recycled polyester, and recycled polyamide.
• Decreased packaging waste and improved packaging efficiency.
• Sold 25,789 fuel-efficient PRIMUS stoves and pots, saving around 30% fuel compared to standard stoves.

Social Achievements

• Updated Code of Conduct (CoC) aligning with the FLA and upcoming due diligence acts; 97% of business partners signed the CoC.
• Conducted 76 social compliance audits, covering 40% of Tier 1 suppliers.
• Integrated vSLCP reports into internal grading terminology.
• Donated nearly 142,000 euros of products to support families impacted by the Marshall fire in Colorado.
• Donated 50,000 euros from Globetrotter secondhand sales to support Ukraine.

Governance Achievements

• Implemented a compliance management system, continuously improved and developed.
• Operated a whistleblowing hotline, receiving 14 complaints in 2022.
• Consolidated compliance and legal matters under the Chief Compliance Officer (CCO).

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to Covid restrictions and geopolitical instability.
• Increased air freight to meet market demands, conflicting with environmentally friendly shipping principles.
• Deterioration in corporate culture due to remote work during the pandemic.
• Increased regulatory demands and requirements, leading to increased bureaucracy.
• Climate change impacts on supply chain, including extreme weather events and raw material sourcing.
• Changing consumer behavior towards used products, potentially impacting sales of new products.

Mitigation Strategies

• Shipped goods by air to ensure timely delivery (acknowledged as a temporary measure).
• Installing a photovoltaic system at the logistics center in Ludwigslust to increase energy independence.
• Exploring geothermal and wind power generation for distribution centers.
• Taking steps to gradually bring employees back to the office and increase in-person events.
• Strengthening Sustainability and CSR work throughout the organization.
• Investing in supply chain programs for energy and water efficiency and climate action.
• Offering repair and care services, secondhand products, and product rental to extend product lifecycles.

Supply Chain Management

Supplier Audits: 76/year (social compliance)

Responsible Procurement

• Code of Conduct
• Restricted Substances List (RSL)
• Preferred Fiber List (PFL)
• Higg FEM and MSI

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Floods
• Water scarcity
• Droughts

Transition Risks

• Increasing carbon pricing
• Regulatory changes

Opportunities

• Development of energy-efficient products
• Increased demand for protective clothing due to changing weather patterns

Reporting Standards

Frameworks Used: GRI

Third-party Assurance: No third-party assurance

UN Sustainable Development Goals

• SDG 8: Decent Work and Economic Growth
• SDG 5: Gender Equality
• SDG 10: Reduced Inequalities
• SDG 4: Quality Education
• SDG 13: Climate Action

Initiatives contribute to these goals through fair compensation, diversity, education, and climate action.

Sustainable Products & Innovation

• Fjällräven Kånken No. 2 Laptop 15" Black
• Meindl Borneo
• Woolpower 3-Pack Liner Sock
• Tierra Belay 120 Hood Jacket
• Fjällräven Abisko Lite Fleece Jacket
• Frilufts Kalla Series
• Royal Robbins Vacationer Tank

Awards & Recognition

• Fjällräven and Naturkompaniet voted most sustainable brands in Sweden
• Partioaitta voted among top sustainable brands in Finland
• Globetrotter among finalists of the German Sustainability Award

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Compliance/Human Rights
• Circular Economy
• Chemical Management
• Supply Chain Transparency

Environmental Achievements

• Reduced overall carbon dioxide equivalents (t CO2e) to 97,974 t CO2e (2022: 130,976 t)
• Increased share of preferred textile fibers to 71% (2022: 60%)
• Increased share of certified and traceable wool by 9% and increased share of recycled polyamide by 28% compared to 2022
• Royal Robbins met their goal of 80% recycled polyester by 2025, sourcing 82% recycled polyester in 2023.
• Royal Robbins exceeded their goal of 50% certified, traceable wool by 19%, RWS certified wool accounted for 69% of wool used.

Social Achievements

• 95% of business partners representing suppliers signed the Code of Conduct
• 752 reputable brands, representing 98% of the purchase value, signed the Brands Code of Conduct for Frilufts Retail
• Frilufts (private label) successfully certified according to the Responsible Down Standard (RDS)
• Royal Robbins brand certification according to the responsible wool standard (RWS) and Global Recycling Standard (GRS)

Governance Achievements

• Continued operation of the whistleblowing hotline, with reports growing from 14 in 2022 to 19 in 2023
• Adapted presentation to specify risks and opportunities and setting up a double-materiality matrix

Climate Goals & Targets

Environmental Challenges

• Challenging retail environment, continued supply chain issues and warm weather impacting business and CSR initiatives
• Postponement of planned solar power setup at central warehouse due to business challenges
• Increased bureaucracy and resource strain due to new legislative challenges in Switzerland and the EU
• Climate-related changes affecting operations (mild winter reducing demand for warm clothing, potential transport disruptions)
• Risks from mainly Asian supply chain regarding child and forced labor
• Economic slowdown in the industry due to global instability and tension

Mitigation Strategies

• Re-focused internal resources to better prepare for the future
• Professionalized and structured sustainability work further
• Cautious material selection and preferred materials policy
• Avoiding air freight and cautious business travel
• Social auditing, long-term partnerships and collaborative efforts with suppliers
• Implementing energy efficiency measures in own operations and retail/logistics centers
• Developing a new business system to embrace economic and sustainability needs
• Offering repair and care services, rental and secondhand options

Supply Chain Management

Supplier Audits: 95 verification assessments in 2023 (76 according to FLA audit protocol, 15 verified SLCP reports)

Responsible Procurement

• Code of Conduct for Suppliers
• Social compliance audits
• Higg Facility Social Labor Module (FSLM)
• Social Labor Convergence Project (SLCP)
• Preferred Fiber List (PFL)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (floods, storms, water scarcity, droughts) impacting raw material sourcing and production sites
• Reduced demand for warm clothing due to warm winters

Transition Risks

• Increasing carbon pricing for fossil fuels
• More regulations regarding greenhouse gas emissions
• Potential business interruption of vendors

Opportunities

• Development of energy-efficient products
• Increased demand for protective clothing due to changing weather patterns

Reporting Standards

Frameworks Used: GRI, UN Global Compact, ESRS, Swiss Ordinance 964a through 964c

Certifications: None explicitly mentioned, but ISO 9000 and ISO 14000 principles applied informally

Third-party Assurance: None

UN Sustainable Development Goals

• SDG 3 (Good Health)
• SDG 4 (Quality Education)
• SDG 8 (Decent work and economic growth)
• SDG 10 (Reducing Inequalities)
• SDG 12 (Responsible Consumption and Production)
• SDG 13 (Climate Change)

Initiatives contribute to these goals through various programs and policies

Sustainable Products & Innovation

• Fjällräven Samlaren packbags (leftover fabrics)
• Frilufts Arvika daypack (recycled materials)
• Hanwag Terracare® leather (sustainable manufacturing processes)
• Tierra fluorocarbon-free Gore-Tex products

Awards & Recognition

• German Sustainability Award 2024 (Globetrotter)
• Fjällräven and Naturkompaniet voted most sustainable brands in Sweden
• Partioaitta among top sustainable brands in Finland