Climate Change Data

Environmental Metrics

ESG Focus Areas

• Product Sustainability
• Social Sustainability
• Environmental Sustainability

Environmental Achievements

• Ocean Strainer pilot prevented over 30,000 kg of waste from reaching the ocean in five months.
• Reforested over 65 acres of deforested land.
• Recycled over 21 million plastic bottles.

Social Achievements

• Launched ‘Rise Up with MAS’ grant scheme supporting micro-entrepreneurs.
• Established COVID care centers supporting over 320 people.
• Provided training and development opportunities for 218,924 employees (177,284 for women).

Governance Achievements

• Signed up for the Science Based Targets initiative (SBTi).
• Implemented MAS DNA Code of Conduct across factory floor employees.
• Increased overall women in management to 21.5% from 21% in 2019.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic caused declining sales, supply chain disruptions, and changes in consumer behavior.
• Challenges in meeting emission reduction targets due to increased water and energy use for COVID-19 safety measures.
• Difficulties in implementing compliance programs due to supply chain disruptions.

Mitigation Strategies

• Prioritized employee health and safety with stringent COVID-19 protocols.
• Developed alternative sourcing strategies and implemented flexible working policies.
• Redesigned action plans and collaborated closely with SBUs and customers to implement sustainability strategy.

Supply Chain Management

Supplier Audits: 86 external audits, 58 internal audits

Responsible Procurement

• Sustainable biomass sourcing
• ZDHC MRSL compliance for chemicals
• Global Recycled Standard (GRS) and Organic Cotton Standard certifications

Climate-Related Risks & Opportunities

Physical Risks

• Droughts
• Floods

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

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

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: ISO 14001, ISO 45001, Global Recycled Standard (GRS), Organic Cotton Standard, Fair Trade US

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 5
• SDG 8
• SDG 10
• SDG 11
• SDG 13
• SDG 14
• SDG 15
• SDG 17

Initiatives contribute to various SDGs through different programs and initiatives.

Sustainable Products & Innovation

• Thrive sustainable bra collection
• Adaptive apparel
• Products made from recycled ocean plastic

Awards & Recognition

• National Cleaner Production Awards
• Best Corporate Citizen Sustainability Awards
• National Business Excellence awards
• Japan-Sri Lanka Technical and Cultural Association (JASTECA) Awards
• Sri Lanka Health & Productivity Awards

Environmental Metrics

ESG Focus Areas

• Sustainable Products
• Empowering Women
• Meaningful Employment
• World-class Workplaces
• Thriving Communities
• Limit Emissions
• Transform Waste
• Responsible Chemical Use
• Safeguard Water
• Champion Biodiversity

Environmental Achievements

• Reduced emissions footprint by 11.5% from 2019 baseline
• Value enhanced 63.8% of all waste
• 99.8% ZDHC MRSL compliance for local operations’ process chemicals
• Restored 9,650 acres of biodiversity
• 100% renewable electricity in Indonesian facilities

Social Achievements

• Increased women in management to 23%
• Created 458 opportunities for persons with disabilities
• Completed 1020 corporate citizenship activities benefiting 2,723,485 people
• Launched Lable by MAS, a center of excellence in adaptive apparel

Governance Achievements

• Launched MAS DNA, a code of conduct, and rolled it out to all executive and above cadre
• Established grievance raising mechanisms
• Implemented Social Sustainability Scoring Tool

Climate Goals & Targets

Environmental Challenges

• Global economic downturn impacting key markets
• Economic crisis in Sri Lanka
• Need for renewable energy adoption in certain geographies
• Water-intensive operations not fully adaptable to waterless technologies

Mitigation Strategies

• Wage increases and additional support for employees in Sri Lanka
• Partnerships with local energy providers for renewable electricity (Indonesia)
• Recalibration of water goals for 2025
• Focus on improving energy efficiency and increasing renewable energy usage

Supply Chain Management

Supplier Audits: 119 suppliers engaged with Higg FEM, 92 completed verification (2022)

Responsible Procurement

• Sustainable raw material sourcing
• ZDHC Chemical Gateway Level 1 or above accepted products

Climate-Related Risks & Opportunities

Opportunities

• Renewable energy adoption
• Development of sustainable products

Reporting Standards

Frameworks Used: Science Based Targets initiative (SBTi), ZDHC MRSL, Higg FEM, UN Global Compact

Certifications: ISO 14001, ISO 45001, ISO 14064, Bluesign® (MAS Fabrics Intimo)

UN Sustainable Development Goals

• SDG 3 (Good Health and Well-being)
• SDG 4 (Quality Education)
• SDG 6 (Clean Water and Sanitation)
• SDG 11 (Sustainable Cities and Communities)
• SDG 14 (Life Below Water)
• SDG 15 (Life on Land)

MAS's initiatives contribute to these goals through various programs and projects

Sustainable Products & Innovation

• Planetones (100% natural dye solution)
• Adaptive apparel (Lable by MAS)

Awards & Recognition

• Reuters’ Responsible Business Awards (Highly Commended)
• Fast Company’s ‘World Changing Ideas’ (Ocean Strainer finalist)
• Fast Company’s ‘Best Workplaces for Innovators’ (Twinery)
• Presidential Environmental Awards (2021-2022)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Women's Empowerment
• Circular Economy
• Supply Chain Sustainability
• Community Development
• Employee Well-being

Environmental Achievements

• 23.72% decrease in absolute emissions (Scope 1 and Scope 2) against the 2019 baseline
• 43.07% reduction in water intensity for textile operations against the 2011 baseline
• 12,705 cumulative acres restored or under conservation
• 99% of all waste diverted from landfills
• 34% of revenue generated through sustainable products

Social Achievements

• Launched Dialog MAS Enabler Programme to support university students with disabilities
• Women Go Beyond programme celebrated its 20th anniversary, creating 5.1 million opportunities for women
• 24% of management positions held by women
• Average 27 training hours per employee

Governance Achievements

• MAS Plan for Change report aligned with GRI framework
• Independent third-party assurance provided by Ernst & Young

Climate Goals & Targets

Environmental Challenges

• Global economic volatility and Sri Lanka's economic crisis impacted operations
• Stringent EU regulations and anticipated US regulations on circular economy
• Climate change, extreme weather events, and political instability disrupted supply chain
• Lead times for change and evolving technologies for sustainable models
• Competition in the sustainability space and navigating changing regulations

Mitigation Strategies

• Investment in HeiQ AeoniQ™, a revolutionary sustainable material
• Collaboration with partner brands to accelerate adoption of sustainable solutions
• Amplified efforts to support factory floor employees through awareness programmes and skills development
• Continued groundwork to achieve SBTi goal of 25.2% carbon emission reduction by 2025
• Active transition towards renewable energy sources
• Improved transparency across the supply chain with more suppliers committing to sustainability goals

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• MAS Vendor Code of Conduct
• Higg FEM and FSLM assessments
• ZDHC compliance
• SBTi commitments

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Renewable energy investments

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001, ISO 45001, ISO 14064, ISO 50001, WRAP, OEKO-Tex, Bluesign, ZDHC

Third-party Assurance: Ernst & Young

UN Sustainable Development Goals

• SDG 6
• SDG 7
• SDG 9
• SDG 12
• SDG 13
• SDG 14
• SDG 15
• SDG 17

Initiatives contribute to these goals through various projects and programs

Sustainable Products & Innovation

• HeiQ AeoniQ™ yarn
• Fully recyclable bra cup (Infini Project)
• Planetones natural dye solution
• Lable by MAS adaptive apparel

Awards & Recognition

• Clarivate South Asia Innovation Award
• ISPO Awards
• Lululemon Vendor Awards
• Just Style Excellence Awards
• ROSPA Gold Awards
• Presidential Export Awards