Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Responsibility
• Social Responsibility
• Governance

Environmental Achievements

• Reduced GHG emissions related to electricity consumption (Scope 2) by 18%
• Reduced GHG emissions related to the transportation of products by the Rexel fleet by 22%
• Increased recycling rate to 65% (from 59% in 2010)
• 81% of sites rolled out the Rexel Environmental Charter
• 8 entities were ISO 14001 certified in 2012

Social Achievements

• 86% of employees reported being treated with respect (Satisfaxion11 survey)
• Launched Rexel Plus Protection for All insurance program covering 5,000 employees in 11 countries
• Increased employee training hours by 2.5 to 4.2 times between 2009 and 2011
• Implemented employee shareholding plans, with over 8,000 employees becoming shareholders

Governance Achievements

• Joined the United Nations Global Compact in 2011
• Implemented an Ethics Guide and a network of Ethics correspondents

Climate Goals & Targets

Environmental Challenges

• Scattered environmental impacts across numerous locations (2,600 sites)
• Indirect GHG emissions from product transportation (two-thirds of total footprint)

Mitigation Strategies

• Implemented programs to optimize supply chain, streamline routes, and optimize loads
• Modernized vehicle fleet with more energy-efficient models
• Implemented freight commingling in the US
• Conducted energy audits at facilities and implemented energy-efficient solutions (lighting retrofits, etc.)

Supply Chain Management

Responsible Procurement

• Ethics clauses in procurement contracts
• Compliance with UN Global Compact principles

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI G3.1

Certifications: ISO 14001 (8 entities)

Third-party Assurance: Ernst & Young (limited assurance)

Sustainable Products & Innovation

• Eco-efficient lighting and renewable energy solutions

Awards & Recognition

• One of the World’s Most Admired Companies (Fortune Magazine, 2012)

Environmental Metrics

ESG Focus Areas

• Energy Efficiency
• Sustainable Development
• Corporate Social Responsibility
• Employee Engagement

Environmental Achievements

• Reduced electricity consumption by 5% (vs. 2011)
• 72% of branches collected WEEE (+26% vs. 2011)
• Reduced greenhouse gas emissions (Scope 1) by 2%
• Reduced Scope 2 emissions by 6%
• Reduced Scope 3 emissions (product transportation) by 3%
• Increased waste recovery by 3%

Social Achievements

• Launched Opportunity12, its third employee shareholding plan, with 8,000 employees becoming shareholders
• Extended employee benefits and improved job training
• Launched a community involvement charter to promote access to energy efficiency for disadvantaged communities
• Implemented the first community project through a partnership with Ashoka
• Signed a partnership with Schneider Electric to support the Taiyuan Vocational School in China

Governance Achievements

• Signed the United Nations Global Compact
• Included in the MSCI Global Standard European index and ASPI Eurozone® index

Climate Goals & Targets

Environmental Challenges

• Challenging market environment
• Regulatory changes affecting renewable energies
• Fuel poverty

Mitigation Strategies

• Implemented the Energy in Motion company plan with four strategic priorities: profitable growth, active resources management, culture of cooperation, and excellence in operations
• Focused on high-potential business categories related to energy efficiency, renewable energies, and building automation
• Accelerated external growth strategy with 12 acquisitions
• Developed helpful tools for deciphering technical, social, economic, and regulatory trends
• Offered financial services and administrative support to facilitate the implementation of energy efficiency solutions
• Launched community involvement initiatives to address fuel poverty

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Partnerships with key suppliers to promote energy efficiency and social responsibility

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Regulatory changes affecting renewable energies

Opportunities

• Growth in energy efficiency and renewable energy markets

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• EcoPowerSavers brand in Australia
• Vesta tablet in France
• Natural Sparx brand in the UK

Awards & Recognition

• Fortune Magazine's World's Most Admired Companies
• Finance Leaders Awards Gold Trophy
• Best Branding and Positioning award from the Chartered Institute of Marketing Construction Industry Group

Environmental Metrics

ESG Focus Areas

• Energy efficiency
• Climate change
• Sustainable supply chain
• Employee engagement
• Social responsibility

Environmental Achievements

• Reduced carbon emissions by 2.1% (Scope 1 and 2)
• Reduced energy consumption at Rexel sites
• 90% renewable energy supply in the Netherlands
• 88% reduction in energy bill at Dagenham distribution center (UK) through solar panels and occupancy sensors
• 14.2 tons/year reduction in carbon emissions at Dagenham distribution center

Social Achievements

• Roll-out of Employee Value Proposition (EVP)
• Satisfaxion15 survey conducted among 27,000 employees
• Global Corporate Challenge (GCC) to improve employee wellbeing
• Launched Rexel Academy, a digital learning platform
• Implemented a comprehensive safety campaign, resulting in a 17% decrease in accidents in distribution centers

Governance Achievements

• Adoption of a new governance structure, splitting the duties of Chairman and Chief Executive Officer
• Implementation of the Ethics Guide for all employees
• Supplier assessment pilot projects via the EcoVadis platform

Climate Goals & Targets

Environmental Challenges

• Persistently challenging business environment
• High initial investment costs for energy efficiency solutions can discourage companies and private owners
• Lack of information available to the general public and the need to install charging infrastructures for electric vehicles

Mitigation Strategies

• Optimization of footprint and streamlining of organization
• Development of financing solutions for energy efficient installations via anticipated energy savings
• Rollout of Energeasy range, offering turnkey solutions including equipment, services and financing
• Partnerships with companies specializing in financing corporate end customers and DLL (RaboBank subsidiary)

Supply Chain Management

Supplier Audits: Supplier quality and CSR audits in Asia; EcoVadis platform assessment for 47 suppliers (to be rolled out worldwide)

Responsible Procurement

• Ethics Guide
• Environmental and social clauses in supply contracts

Climate-Related Risks & Opportunities

Opportunities

• Growth opportunities in energy efficiency, smart solutions, and digital empowerment

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: ISO 14001 (23% of sites), ISO 50001 (8 sites)

Sustainable Products & Innovation

• Energeasy range of energy efficiency solutions
• Smart Van service solution

Environmental Metrics

ESG Focus Areas

• Energy management
• Responsible practices across the value chain
• Social and environmental performance of operations

Environmental Achievements

• Reduced greenhouse gas emissions by 35.3% versus 2010 (surpassing the initial goal of -30% by 2020)
• Doubled sales of energy-efficient products and solutions compared to 2011

Social Achievements

• Increased number of training hours and personnel trained ( +17% and +12% respectively vs. 2016)
• Implemented a new recruitment approach with improved offer visibility on social networks

Governance Achievements

• Improved operational and financial performance
• Increased selectivity in capital allocation

Climate Goals & Targets

Environmental Challenges

• Reducing the carbon footprint of the entire value chain
• Assessing the CSR performance of suppliers

Mitigation Strategies

• Developed partnerships with partners, carriers, suppliers, and clients to efficiently reduce emissions across the entire value chain
• Implemented an assessment platform and targeted audits to help suppliers improve their social and environmental performance

Supply Chain Management

Supplier Audits: More than 70% of suppliers interviewed by the end of 2017; 47% of the purchased volume assessed

Responsible Procurement

• Assessing the CSR performance of suppliers representing 80% of its direct purchase volume

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact

Third-party Assurance: Independent third party

Sustainable Products & Innovation

• Energeasy Connect