Climate Change Data

Environmental Metrics

ESG Focus Areas

• Health and safety
• Environmental, social and governance (ESG) reporting
• Environmental stewardship
• Sustainable product innovation
• Talent development

Environmental Achievements

• Significant improvements in energy use and consumption in recent years
• Successful energy saving projects in 2017 and 2018, including pump replacements
• Installation of new pigment drying technology at Fredrikstad, Norway facility, reducing energy consumption and maintenance costs
• Logistics optimization reducing fuel consumption and GHG emissions
• 85% reduction in German by-product through recovery and recycling program
• Participation in a circular packaging pilot program to reduce waste and emissions

Social Achievements

• KRONOS Cares initiative, giving back over $150,000 to local communities in 2018
• United Way partnership exceeding $190,000 in donations in 2018
• Various volunteer efforts coordinated through KRONOS Cares, including Relay for Life participation and E.D. Walker Middle School partnership

Governance Achievements

• Implementation of SAP HANA, a single, consolidated ERP system, increasing productivity and efficiency
• No reports received through anonymous reporting system during 2017 or 2018
• 100% increase of women on the Board since 2016

Climate Goals & Targets

Environmental Challenges

• Energy-intensive production process
• Managing environmental impacts of business operations
• Minimizing waste generation

Mitigation Strategies

• Implementing energy efficiency projects
• Energy audits and ISO 50001 compliant energy management systems
• Debottlenecking efforts to increase production efficiency
• Cogeneration plants for efficient energy generation
• Collaboration with other park tenants to reduce energy consumption
• Logistics optimization
• Converting by-products to co-products via additional processing (KRONOS ecochem)
• Circular packaging pilot program

Supply Chain Management

Responsible Procurement

• Risk-screening questionnaire for key suppliers
• Assessment of supplier operations on environmental protection, health & safety, ethical guidelines, and energy management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: ISO 14001 (four of five operational sites), Responsible Care ® (one site)

Awards & Recognition

• Corporate Leadership award from United Way for 30%+ increase in contributions from 2017 to 2018
• Provincial Civil Security Agency award for Emergency Preparedness and Prevention (Varennes, Canada)

Environmental Metrics

ESG Focus Areas

• Safety
• Employee Satisfaction
• Sustainability
• Customer Satisfaction
• Quality
• Financial Performance

Environmental Achievements

• Reduced total Scope 1 and Scope 2 emissions by 5% from 2018 to 2020.
• Reduced natural gas consumption by 2.7 million cubic meters per year and carbon dioxide emissions by 5,275 metric tons in the first year of operation of a new waste heat boiler at the Langerbrugge, Belgium plant.
• Reduced carbon emissions per ton of titanium dioxide produced in Varennes, Canada by 5% compared to the previous five years.
• Estimated emissions reduction of 32,500 MTCO2e per year from shutting down the Leverkusen sulfate plant.

Social Achievements

• Launched KRONOS Cares initiative in 2018 to support local communities through volunteerism and monetary donations.
• Donated almost $200,000 for Hurricane Laura relief efforts.
• Increased EcoVadis CSR score from 36 (2013) to 55 (2020).
• Implemented KRONOS Professional Development Program (PDP) in Germany in 2018.

Governance Achievements

• Formed the Strategic Sustainability Team (SST) in 2019 to guide ESG initiatives.
• Implemented a new transportation management system (TMS) to optimize logistics and reduce Scope 3 emissions.
• No cases reported through EthicsPoint in 2019 and 2020 involving audit or accounting-related matters.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and its impact on operations and employees.
• Hurricane Laura's devastating impact on the Lake Charles, Louisiana plant.
• Stricter chemical substance control and new regulations in the EU.

Mitigation Strategies

• Developed location-specific COVID safety measures.
• Provided financial and logistical support to employees affected by Hurricane Laura.
• Proactively engaged in addressing EU regulatory changes related to titanium dioxide.

Supply Chain Management

Responsible Procurement

• Supplier screening questionnaire

Climate-Related Risks & Opportunities

Physical Risks

• Flooding

Transition Risks

• Regulatory changes

Opportunities

• Energy efficiency improvements

Reporting Standards

Frameworks Used: GRI Standard: Core option

Certifications: ISO 14001:2015 (four European facilities), Responsible Care® (Canadian facility), ISO 50001:2018 (three facilities)

Sustainable Products & Innovation

• K9900 Digital White
• Liquid slurries

Environmental Metrics

ESG Focus Areas

• Decarbonization
• Energy Management
• Compliance
• Circular Economy
• People & Product Safety
• Human Capital Management
• Responsible Supply Chain
• Social Investment & Community Engagement
• Corporate Governance
• Sustainability Governance
• Public Reporting & Compliance

Environmental Achievements

• Achieved the lowest injury rate in company history in 2022, a 60% reduction over 12 years through the KRONOSafe program.
• Innovative process controls reduced steam and CO2 emissions.
• New dryer design in Norway delivered impressive energy consumption reduction per mt.
• Improved gas distribution innovation in chlorination improved yield and reduced loss of key raw materials.
• Transformed product logistics management optimized miles traveled and reduced ESG aspects in real time.

Social Achievements

• KRONOS Cares program supports local communities through volunteerism and monetary donations.
• Employees participated in various volunteer activities globally (e.g., cleaning ponds, bike safety support, supporting families with young children).

Governance Achievements

• Established a robust ESG management approach based on a culture of compliance, management systems focused on continuous improvement, and ethics-oriented leadership.
• 81% of suppliers committed to KRONOS’s Supplier Code of Conduct.
• 70% of suppliers have a third-party ESG rating.

Climate Goals & Targets

Environmental Challenges

• Reducing GHG emissions
• Managing ESG risks throughout the supply chain
• Achieving zero injuries

Mitigation Strategies

• Transformation by Innovation mission focusing on decarbonization, waste reduction, and other ESG improvements.
• Sustainable procurement management system to identify and assess ESG risks in the supply chain.
• KRONOSafe program for continuous safety improvement.

Supply Chain Management

Supplier Audits: 99% of suppliers screened via EcoVadis IQ Plus in 2022

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Sustainable Products & Innovation

• KRONOS ecochem®
• Products with enhanced durability, energy efficiency, and lifespan