EXEL industries - 2019 Universal Registration Document

Management report 3

Statement of Non-Financial Performance

More speci fi cally: The industrial investments made in the Group’s companies always take environmental concerns into account. This was the case with the Group’s latest major construction projects: „ the AGRIFAC factory in Steenwijk (Netherlands), with its 70% reduction in natural gas consumption and introduction of pleasant gardens in the plant’s ditches, which have becoming veritable havens for fauna and fl ora; „ the HOLMER logistics center in Germany. Ground and air pollution Protecting people (customers, employees) from contact with hazards is accomplished through training, education/awareness, documentation and user manuals. Our innovations result from our Company executives’ incorporation of everyday concerns into their business activities. In the Industrial activity, our paint sprayers allow the spraying of non- polluting water-based products, with the best transfer rates on the market. On certain sites, in particular those requiring ICPE authorization (TRICOFLEX, HOZELOCK EXEL, c etc.), specific environmental procedures have been set up. Some examples of anti-pollution (ground and air) projects completed are presented below. In Industrial Spraying: „ at TRICOFLEX, generalization of storage tanks and six-monthly analysis of the groundwater table; „ at SAMES KREMLIN, replacement of the degreasingmachine at the Stains site and use of modi fi ed alcohol instead of dichloromethane; „ at TRICOFLEX, the elimination of all phthalate procurements and the presence of it in our products. In Agricultural Spraying and Consumer: „ at CARUELLE NICOLAS, NICOLAS’ Rafale sprayer includes a spraying solution with mounted jets that very accurately adjust to di ff erent vineyard con fi gurations. This solution is compatible with recovery panels that con fi ne the spraying around the vine and recycle that portion of the phytosanitary product that does not touch the plant; „ at TECNOMA, in vineyard applications, growers seek still greater precision in treating their vines. TECNOMA now o ff ers an interlined air jet system and a very precise wine-growing pack. With its Eva range, TECNOMA introduced the fi rst high-clearance tractors for narrow row vineyards that meet the latest Tier c 4 Final emissions standards and in Phase 5 starting in January c 2020; „ at BERTHOUD, Spraytronic technology provides constant pressure and an ideal size of spray drop regardless of the spraying speed; „ partnerships with start-ups are being formed using digital technology. This technology employs cameras mounted on the spray boom and connected to an on-board arti fi cial intelligence system. It enables the sprayer to identify in real time the weeds to treat for an optimized treatment; „ at HOZELOCK a purchasing program to acquire a hybrid automobile fl eet. 3.4.4.2.1

d c - c Good health, life hygiene and wellbeing Beyond the basic health and safety requirements, the Group strives to create an environment conducive to helping workers feel happy and ful fi lled in their work. Collaborative spaces have been built, with open spaces, interactive discussion spaces and break rooms that give employees a chance to vary the rhythm of and take breaks from their workday. Morning exercise routines before taking up one’s workstation, as at HOZELOCK Ltd., and spaces that employees take over and decorate themselves (as at SAMES KREMLIN in Mexico where their perimeter wall was painted artistically) have all made their appearance. HOLMER has created spaces with furniture that is more ergonomic and suited to its employees’ physiques. SAMES KREMLIN at certain sites has also established wellbeing programs aimed at mental, psychological and physical comfort. TECNOMA, for its part, took part in a tobacco-free month exercise, as it has in previous years. The Group sponsors sporting events and encourages its employees to take part in them, such as the Beaujolais marathon. Foreword EXEL Industries offers its customers solutions for reducing their environmental impact: „ accurate systems for treating crops that reduce the amounts of phytosanitary products distributed; „ high transfer rate painting systems that reduce the amounts of paint and solvent used; „ powdered paint atomizers with recycling systems; „ hydrosoluble (solvent-free) paint sprayers; „ new alternative products to the application of chemical weed killers in our Consumer Division. Internally, compared to other manufacturers, the Group’s production sites consist mainly of assembly plants that have only a slight environmental impact, withmoderatewater, energy and rawmaterials consumption and moderate pollution. As a general rule , at each of the Group’s companies we put in place: „ a monitoring of local regulations: such legislation is a benchmark in all countries; „ in addition to legislation, voluntary actions are also set up; „ managers responsible for environmental matters in the entities most directly concerned; „ painting booths are a constant concern (controlling spray, recycling paints, storing paints, training employees); „ all companies endeavor to sort waste, preferably using local networks; „ recycling procedures (water, raw materials); „ employee training and awareness-raising initiatives on environmental protection mainly concern the proper management of chemicals, the proper use of hearing protection, and waste management procedures. 3.4.4.2 The Environment

EXEL Industries Group I 2019 Universal Registration Document 34