Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduction of more than half of fossil CO2 emissions since 2015.
• Reduction of more than 15% of water used in the papermaking process over the last ten years.
• More than 75% of waste is recovered in France, with more than 50% recycled.

Social Achievements

• Convergence of health and provident fund contracts to ensure all employees benefit from the same rates, guarantees, and employer contributions.
• Implementation of the Dupont de Nemours STOP approach to develop a safety culture at all levels.
• Implementation of actions to recruit people with disabilities, including partnerships with specialized organizations and training for managers.

Governance Achievements

• Renewal of the mandates of the CEO and Chairman of the Board of Directors.
• Appointment of new independent directors.
• Approval of the sale of ORAN (Redeemable Bonds in Shares or Cash) by the Board of Directors.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on activity, particularly in the wood division.
• High wood prices in Aquitaine.
• Fluctuations in raw material and energy prices.
• Regulatory risks related to environmental permits.
• Risks related to supplier failures.
• Litigation related to occupational diseases, social disputes, and commercial disputes.

Mitigation Strategies

• Implementation of cost reduction measures, including partial activity schemes.
• Securing a PGE (State-guaranteed loan) to preserve liquidity.
• Implementation of a responsible purchasing policy with supplier evaluations and classifications.
• Implementation of strict safety standards and regular audits.
• Provisioning for litigation in the consolidated accounts.
• Investment in a new biomass boiler and electricity production turbines at the Mimizan paper mill.

Supply Chain Management

Supplier Audits: Annual evaluations and classifications of suppliers based on financial, product, consumer, environmental, energy, and sustainability criteria.

Responsible Procurement

• Selection of suppliers based on quality, service, cost, food safety, and environmental criteria.
• Use of certified and controlled PEFC™ or FSC® raw materials.

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Eco-designed products (e.g., Gascogreen range)
• Recyclable and compostable packaging
• Self-adhesive wood wall cladding
• GascoSeal recyclable heat-sealable paper

Awards & Recognition

• 2 Oscars de l’Emballage (2019)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced CO2 fossil emissions by 2/3 since 2015.
• 80% of energy consumed comes from biomass.
• 81% of wood consumed and 60% of paper consumed were certified PEFC™ and/or FSC® in France.

Social Achievements

• Implemented a project to converge health and provident fund contracts, ensuring all employees benefit from the same rates, guarantees, and employer contributions.
• Signed a group agreement on gender equality in the workplace.
• Developed a safety culture through initiatives like the Dupont de Nemours STOP approach and safety briefings.

Governance Achievements

• The Board of Directors initiated an evaluation process of its functioning and work in 2021.
• No significant conflicts of interest were identified.
• No conventions under Article L.225-38 of the French Commercial Code occurred during 2021.

Climate Goals & Targets

Environmental Challenges

• Significant increase in the price of raw materials and energy, particularly electricity (multiplied by 4.5 between June and December for paper production).
• Litigation related to occupational diseases (asbestos), social disputes, and commercial disputes.
• Significant debt repayment deadlines in 2022.

Mitigation Strategies

• Implemented price adjustment mechanisms with major clients.
• Increased sourcing of electricity at the ARENH regulated rate.
• Negotiated with banking partners for financing a new paper machine and refinancing the 2017 syndicated loan.

Supply Chain Management

Responsible Procurement

• Selection of suppliers based on quality, service, cost, food safety, and environmental criteria.
• Annual evaluation and classification of suppliers based on financial, product, consumer, environmental, and energy risks.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes, market shifts, energy price volatility

Opportunities

• Development of energy-efficient products and processes.

Reporting Standards

Frameworks Used: Middlenext Code of Corporate Governance

Certifications: ISO 9001, ISO 14001, ISO 50001, ISO 22000, FSSC 22000, BRC/IoP, PEFC™, FSC®

Third-party Assurance: KPMG S.A.

Sustainable Products & Innovation

• Recyclable plastic bags
• BioBag paper bags
• GascoSeal recyclable heat-sealable paper
• GASCOGREEN® recyclable and compostable packaging solutions.

Awards & Recognition

• 2019 Oscars de l’Emballage (Gascogne Sacs)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Circular Economy
• Water Management
• Waste Management
• Sustainable Sourcing
• Employee Well-being
• Human Rights
• Responsible Procurement
• Stakeholder Engagement

Environmental Achievements

• Reduced CO2 fossil emissions by 66% since 2015 (due to biomass boiler and cogeneration turbines)
• Over 80% of energy consumed comes from biomass
• 75% of waste from French sites valorized (45% recycled)
• 99% of paper, cardboard, and pulp used in French subsidiaries certified PEFC and FSC® in Q4 2023
• Developed fluor-free alternatives for food packaging (Oléane Fluor-Free)
• Developed GascoSeal®, a water-based surface treatment replacing plastic films in packaging

Social Achievements

• Signed a Group agreement on gender equality in 2021
• Signed an agreement on telework in 2022
• Implemented various employee well-being initiatives (sports, social events)
• Organized employee information sessions (Rencontres Gascogne) in December 2023
• Organized open house events for employee families

Governance Achievements

• Implemented a new ethical charter (to be finalized in H1 2024)
• Developed a new Responsible Purchasing Charter (to be finalized in Spring 2024)
• Board diversity information provided in the report

Climate Goals & Targets

Environmental Challenges

• Decreased sales volume due to reduced client demand and inventory adjustments (10.6% decrease in turnover)
• Two fires at the wood chip pile in Mimizan, resulting in production downtime
• Production difficulties at the paper mill highlighting the need for investment
• Rising interest rates and increased debt
• Fluctuations in wood, raw material, and energy prices
• Supplier disruptions
• Regulatory changes regarding chemicals and packaging

Mitigation Strategies

• Investment in a new paper machine (MAP7) to improve efficiency and environmental performance
• Implementation of a 20M€ capital increase
• Improved chip pile regulation
• Diversification of suppliers
• Development of co-construction approaches with clients to address regulatory changes
• Implementation of risk management and insurance programs
• Continuous improvement initiatives across all activities

Supply Chain Management

Responsible Procurement

• Focus on sustainable sourcing, PEFC and FSC® certifications
• New Responsible Purchasing Charter

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Forest fires

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: OEF-PEF

Certifications: ISO 9001, ISO 14001, ISO 50001, PEFC, FSC®, ISO 22000, FSSC 22000, BRC/IoP, ISCC+, SMETA

Third-party Assurance: KPMG S.A.

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 13 (Climate action)
• Goal 8 (Decent work and economic growth)
• Goal 12 (Responsible consumption and production)
• Goal 15 (Life on land)

Initiatives contribute to these goals through sustainable sourcing, renewable energy use, waste reduction, and responsible business practices.

Sustainable Products & Innovation

• GascoSeal®
• Gascogreen®
• Gascogreen Protect®
• Oléane Fluor-Free

Awards & Recognition

• Two Oscars de l’Emballage (2019)