Climate Change Data

Environmental Metrics

ESG Focus Areas

• Employees
• Social Involvement
• Economic Responsibility
• Environmental Responsibility
• Media Diversity and Freedom of the Press
• Responsible Content Handling

Environmental Achievements

• Adoption of a group-wide Environmental Policy and Bertelsmann Paper Policy
• Mohn Media's FSC certification
• GGP Media's FSC certification
• Arvato's commitment to sustainable forestry and receipt of the Global 100 Eco-Tech Award
• Prinovis' use of environmentally sound processes
• Gruner + Jahr's use of chlorine-free paper and the "Living Elbe" project
• Random House's switch to FSC paper for hardcover titles and commitment to FSC certification

Social Achievements

• Increased workforce by 12,250 employees to 88,516
• Launched "Du bist Deutschland" campaign to boost national confidence
• Implemented employee suggestion scheme resulting in €1.8 million savings
• Group-wide employee survey
• Various employee training and development programs
• Employee profit participation
• Support for public daycare centers
• Family Services for employees
• Integration of employees with disabilities
• Numerous donations and charity projects (e.g., American Red Cross, SOS Children's Villages, earthquake victims in Pakistan)
• Support for literacy projects (e.g., First Book, "1,000 Words Against Violence")
• Reinhard Mohn Fellowship program

Governance Achievements

• Publication of Code of Business Conduct in the US and Canada
• Establishment of Ethics & Compliance function
• High level of corporate governance practices
• Internationalization of the Supervisory Board

Climate Goals & Targets

Environmental Challenges

• Balancing stakeholder expectations
• Ensuring responsible media content
• Maintaining high ethical standards in a globalized business environment
• Managing environmental impact of resource use

Mitigation Strategies

• Systematic stakeholder survey
• Decentralized content responsibility and editorial independence
• Code of Business Conduct, Ethics & Compliance function, risk assessment process, ethics training
• Environmental policies, task force, partnerships with organizations like FSC and WWF

Supply Chain Management

Responsible Procurement

• Emphasis on sustainable forestry and FSC certified paper

Climate-Related Risks & Opportunities

Awards & Recognition

• Global 100 Eco-Tech Award
• PRSA "Big Apple Award"

Environmental Metrics

ESG Focus Areas

• Human Rights
• Labor Standards
• Environmental and Climate Protection
• Combating Corruption
• Diversity
• Editorial Independence
• Employee Participation
• Social Commitment
• Ethics & Compliance
• Media Literacy
• Product Responsibility
• Intellectual Property Protection
• Resource Conservation
• Energy Efficiency

Environmental Achievements

• Reduced carbon emissions by 11.5% compared to 2008 (1.3 million metric tons CO2eq in 2010)
• 77% of Bertelsmann printing plants are FSC-certified
• Increased use of recycled paper
• Implemented “be green” environmental and climate protection strategy

Social Achievements

• Launched “lesespaß” (reading fun) initiative to promote literacy in Gütersloh
• Established Intajour, the International Academy of Journalism, to support journalists in countries with limited press freedom
• Launched “Du bist Deine Zukunft” (You are your future) program to help unemployed youth find apprenticeships
• RTL Group raised nearly €90 million for children's charities through the RTL Spendenmarathon telethon over 15 years
• RTL Belgium’s Télévie raised over €100 million in 22 years for cancer research
• Super RTL implemented self-imposed advertising guidelines to protect minors
• Random House employees volunteer as reading mentors in New York City schools through “Everybody Wins!”
• Verlagsgruppe Random House in Germany prints its books on FSC-certified paper

Governance Achievements

• Implemented Bertelsmann Code of Conduct
• Established Ethics & Compliance Program
• Increased number of employees with severe disabilities in Germany

Climate Goals & Targets

Environmental Challenges

• Climate change (financial, reputational, regulatory, and physical risks)
• Piracy of intellectual property
• High staff turnover in dynamic service businesses
• Need for improved continuing education opportunities for employees
• Increasing number of personal bankruptcies in Germany

Mitigation Strategies

• Implemented “be green” strategy to reduce GHG emissions and increase energy efficiency
• Invested in anti-piracy measures
• Offered various working-time models to improve work-life balance
• Founded Bertelsmann Academy to provide training and continuing education
• Partnered with Diakonie Baden-Baden to provide debt counseling services

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• FSC-certified paper
• Recycled materials

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Rising energy costs
• Tightened efficiency standards

Opportunities

• New green business models

Reporting Standards

Frameworks Used: GRI G3

Certifications: FSC, PEFC

Third-party Assurance: PricewaterhouseCoopers

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Topgreenline packaging

Awards & Recognition

• FSC Global Partner Award

Environmental Metrics

ESG Focus Areas

• Integrity & Compliance
• Antitrust Compliance
• Data Protection & Privacy
• Diversity
• Fair Working Conditions
• Creative/Journalistic Independence
• Paper
• Intellectual Property & Copyright
• Learning
• Content Responsibility
• Employee Participation
• Health
• Anti-Corruption & Bribery
• Environmental Protection
• Climate Change
• Social Responsibility
• Community Investment
• Media Literacy

Environmental Achievements

• 8% reduction in CO²e emissions since 2016
• 34,600 MWh increase in the use of renewable energies with guarantees of origin since 2016
• 91% of paper from recycled or from certified sources

Social Achievements

• More than 100,000 Udacity scholarships
• Approximately €9.2 million raised for charity during RTL-Spendenmarathon
• Over €11 million raised for Télévie fundraising initiative

Governance Achievements

• Implementation of the CSR Directive Implementation Act
• Further development of CR management approaches and performance indicators
• Relevance analysis involving internal and external stakeholders

Climate Goals & Targets

Environmental Challenges

• Increasing business customer requirements stemming from a range of non-financial topics
• Non-fulfillment of non-financial requirements may result in revenue losses
• CR issues are increasingly subject to statutory regulations, which can lead to noncompliance penalties linked to loss of trust in various stakeholder groups
• Disruption in business processes due to resource scarcity
• Risks in human resources due to inadequate working conditions
• Developments in media and social policy

Mitigation Strategies

• Establishment and expansion of a systematic health management system at German sites
• Development of a Group-wide data protection management tool
• Group-wide training in data protection and privacy
• Cross-divisional objectives for reducing greenhouse gas emissions and for using paper
• Implementation of numerous efficiency measures

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Bertelsmann Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Resource scarcity
• Extreme weather events

Transition Risks

• Increasing business customer requirements
• Statutory regulations

Opportunities

• Cost savings through effective energy and environmental management
• Reduced ecological footprint

Reporting Standards

Frameworks Used: GRI Standards (2016; “Core” option), UN Global Compact

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Climate-neutral books

Awards & Recognition

• Silver rating from ecovadis
• Prime status in oekom’s Corporate Rating

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced total energy consumption by 4% compared to the previous year.
• Reduced total greenhouse gas emissions by 9% compared to the previous year.
• Achieved the objective of reducing portfolio-adjusted Scope 1 and Scope 2 emissions by more than 20% compared with the base year 2014 ahead of schedule.
• Increased the proportion of sustainably sourced paper to 96% (recycled and certified).

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Increasing energy consumption caused by data use despite increasing digitalization.
• Varying local relevance and regulation of water and waste management.

Mitigation Strategies

• Increasing the use of renewables and improving energy efficiency.
• Using the “green.screen” IT platform for increased transparency of energy consumption and digital energy data management.
• Purchasing renewable energies to influence demand for climate-friendly options.
• Local on-site generation of electricity and heat using renewable energies.
• Phasing out fossil fuels by energy suppliers.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Responsible paper sourcing to protect forests.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: Core option, UN Global Compact

Certifications: FSC®, PEFC™, SFI®

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Sustainably certified and climate-neutral print products

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Integrity & Compliance
• Antitrust Compliance
• Data Protection & Privacy
• Diversity
• Fair Working Conditions
• Creative/Journalistic Independence
• Paper
• Intellectual Property & Copyright
• Learning
• Content Responsibility
• Employee Participation
• Health
• Anti-Corruption & Bribery
• Energy
• Water and Effluents
• Emissions
• Waste
• Economic Performance
• Local Communities
• Public Policy

Environmental Achievements

• Reduced greenhouse gas emissions by 15% compared to 2018 (to 1.1 million tons of CO2e)
• Increased share of green electricity in total purchased electricity to 22% (from 16%)
• Reduced total materials used by 11%
• 97% of paper used was either recycled or from certified sustainable forestry

Social Achievements

• Distributed nearly €100 million in profit sharing schemes
• Increased proportion of women in Top Management to 27% (from 22%)
• Maintained proportion of women in Senior Management at 30%
• Implemented Action Plan for Inclusion 2019-2024 for employees with disabilities in Germany
• Trained 77,444 employees in data protection and privacy

Governance Achievements

• Improved EcoVadis CR rating from Gold to Platinum
• Received a B rating in CDP’s Climate Change 2020 rating
• Revised and updated Code of Conduct

Climate Goals & Targets

Environmental Challenges

• Increasing business customer requirements on non-financial topics
• Statutory regulations on CR issues leading to non-compliance penalties
• Disruptions in business processes due to resource scarcity (exacerbated by the pandemic)
• Inadequate working conditions leading to decreased employee motivation and productivity
• Developments in media and social policy posing potential risks

Mitigation Strategies

• Implemented a risk management system (RMS) and internal control system (ICS)
• Established a compliance organization with a Corporate Compliance Committee (CCC) and Integrity & Compliance program
• Developed a new Code of Conduct tutorial
• Launched programs to support structural change and find amicable solutions for employment contract termination
• Implemented prevention and protection measures against COVID-19, including a shift to working from home

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Bertelsmann Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: Core option, Media Sector Disclosures (MSD), UN Global Compact

Certifications: Null

Third-party Assurance: KPMG AG

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Sustainably certified books and magazines
• Plastic-free packaging
• Climate-neutral print products

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• creative/journalistic independence & freedom of expression
• content responsibility
• fair working conditions
• diversity, equity & inclusion
• health & well-being
• learning
• responsibility in the supply chain
• climate change

Environmental Achievements

• Reduced greenhouse gas emissions by 15% compared to the 2018 baseline (1.3 million tons of CO2e to 1.1 million tons of CO2e).

Social Achievements

• Improved Employee Survey results across all questions at the Group level.
• Concluded a Group Inclusion Agreement for all operations of Bertelsmann SE & Co. KGaA and its Group companies in Germany.
• Increased the ratio of women in top management to 30%.

Governance Achievements

• Published a new Code of Conduct.
• Increased the proportion of women on the Supervisory Board to 31%.

Climate Goals & Targets

Environmental Challenges

• Increasing business customer requirements on non-financial topics.
• Non-compliance with statutory regulations leading to penalties and loss of trust.
• Disruptions in business processes due to resource scarcity.
• Inadequate working conditions leading to decreased employee motivation and productivity.
• Developments in media and socio-political changes affecting press freedom.

Mitigation Strategies

• Implemented a risk management system (RMS) for early identification and response to internal and external risks.
• Established a compliance organization with a Corporate Compliance Committee (CCC) and an Integrity & Compliance program.
• Developed and communicated a Group-wide basic approach to New Work.
• Developed and communicated a Group-wide DEI policy.
• Implemented the Bertelsmann Action Plan for Inclusion (2019-2024).

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Bertelsmann Code of Conduct
• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards: Core option, UN Global Compact

Certifications: Null

Third-party Assurance: KPMG AG

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Certified sustainable books and magazines, ‘green’ TV productions, plastic-free packaging.

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Climate Change
• Resource Management
• Energy Management
• Waste Management
• Governance

Environmental Achievements

• Reduced total material use by 19% in 2022.
• Reduced total energy consumption by around 10% compared to the previous year.
• Increased share of green electricity in total purchased electricity to 76% (from 44% in 2021).
• Reduced total greenhouse gas emissions (Scope 1, 2, and 3) by 24% since 2018 baseline.
• Reduced total waste volume by 13,150 tons compared to the previous year.

Social Achievements

• Not disclosed

Governance Achievements

• Strengthened governance for climate and environmental protection.
• Developed further environmental planning and reporting.

Climate Goals & Targets

Environmental Challenges

• Difficult procurement market for certified paper leading to increased purchase of non-certified paper.
• Increased energy consumption due to digitalization.
• Increased commuting by employees due to lifting of coronavirus restrictions.

Mitigation Strategies

• Pursuing the target of procuring 100% of purchased electricity from renewable sources.
• Improving energy efficiency across all corporate divisions.
• Expanding local on-site generation of electricity and heat using renewable energies.
• Implementing new mobility concepts.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Sustainable paper procurement (Paper Policy).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards, Greenhouse Gas Protocol, UNGC

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Certified sustainable books and magazines, 'green' TV productions, plastic-free packaging.

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• creative/journalistic independence & freedom of expression
• content responsibility
• fair working conditions
• diversity, equity & inclusion
• health & well-being
• learning
• responsibility in the supply chain
• climate change

Environmental Achievements

• Purchased electricity sourced almost exclusively from renewable sources (99% share for sites with consumption > 100 MWh)
• Total direct and energy-related indirect GHG emissions (Scope 1 & 2) reduced to 165,900 tons of CO2e in 2023 (from 261,800 in 2022)

Social Achievements

• €63 million distributed globally as part of success and profit-sharing schemes
• 53% women in the workforce (almost evenly distributed)
• Targeted proportion of women met in talent pools for top and senior management

Governance Achievements

• Annual Compliance Report submitted to the Bertelsmann Executive Board and the Audit and Finance Committee
• New online compliance training on “Protection Against Corruption” implemented

Climate Goals & Targets

Environmental Challenges

• Declining demand for print products and reduced marketing expenditure by advertisers
• Accelerated fragmentation of markets in the digital environment with possible negative effects on TV advertising revenues
• Potential changing market conditions and resulting effects on profitability
• Rising costs for raw materials and energy
• Risk of losing key customers
• Growing competition for qualified professionals and rising labor costs
• Structural decline in the printing businesses
• Market entry of new competitors in the US healthcare market

Mitigation Strategies

• Cost-cutting and efficiency measures
• Continuous revision and development of channel and program strategies; establishing leading positions in the streaming market; securing advertising revenue through addressable TV; diversifying earnings base
• Innovative marketing activities; maintaining a flexible cost structure
• Ongoing supplier and cost management; review of materials used
• Contracts offering comprehensive service packages with flexible cost structures
• Targeted HR instruments
• Broad diversification across regions and sectors; optimization of cost and organizational structures
• Strategic partnerships; long-term customer agreements; targeted customer retention measures; expansion of the product portfolio

Supply Chain Management

Responsible Procurement

• Bertelsmann Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, UNGC

Third-party Assurance: KPMG AG Wirtschaftsprüfungsgesellschaft