BIC - 2020 Universal Registration Document

OUR ENVIRONMENTAL, SOCIAL, AND SOCIETAL RESPONSIBILITY

Our industrial sites and offices [NFPS]

Risks and opportunities related to climate change and their impacts [NFPS] [NFPS risk 2] Among its main CSR risks, BIC has identified the following risks related to climate change: disruption or interruption of production activities due to ● extreme weather conditions or availability of natural resources (water, energy, etc.) directly impacting BIC’s factories or those of its suppliers and subcontractors; development of new regulations and standards regarding ● product environmental impact assessment and communication (including carbon impact) as well as consumer behavior changes impacting the Group’s sales; increasing global regulation of carbon and energy directly or ● indirectly impacting BIC’s operations or those of its suppliers and contract manufacturers. The challenge related to global warming is also a source of opportunities for BIC, such as: innovating in terms of energy supply, in particular through ● “Writing the Future Together” commitment #2: Acting against climate change, and by streamlining energy costs; improving the products’ environmental performance, in ● particular through “Writing the Future Together” commitment #1 Fostering sustainable innovation in BIC ® products; standing out on the markets by offering products with a ● reduced carbon footprint. Electricity consumption at BIC sites accounts for 9% of the Group’s total emissions. Through the commitment Writing the Future, Together – #2 Acting Against Climate Change, the BIC Group aims to use 80% renewable electricity by 2025, and in the longer term, 100%. Building on the experience acquired in recent years at certain of its sites, BIC defined a roadmap for this goal. This roadmap reflects a strategy in which each country or site examines its opportunities for sourcing renewable electricity, taking their regulatory and operational constraints into account. It serves as a Using renewable energy at BIC sites

guide for the countries and sites, which must also keep pace with the frequent market and regulatory evolutions that affect this business sector. To bring about a far-reaching change in its purchasing process for electricity, BIC is putting the focus on renewable energy certificates (1) , green contracts and long-term Power Purchase Agreements, and is investigating the production potential of certain sites. In 2020, the BIC Group has reached its target of 80% of electricity from renewable sources. In the coming years, the Group will work to consolidate this performance and investigate options for long-term contracts or on-site developments. More specifically, in 2020: in France, BIC purchases renewable energy certificates ● (Guarantees of Origin, or GoO) for all of its factories plus the Clichy headquarters. This means that all BIC ® products manufactured in France are produced using renewable electricity; in Greece, the purchase of GoO certificates has covered all of ● the BIC Violex site’s electrical consumption since 2016; in Spain, the BIC Iberia and BIC Graphic Europe sites have ● been using renewable electricity through the purchase of certificates (GoO) since 2018; in the United States, the purchase of renewable wind energy ● certificates (U.S. RECs) covers the energy needs of most American sites; in Brazil, the Manaus site has been using wind energy since ● 2018 through the purchase of iREC certificates; in Mexico, the BIC Group has launched a tender for the ● purchase of long-term renewable energy (Power Purchase Agreements), thus specifically supporting the development of new infrastructures; in Daman (India) and Tarragona (Spain), solar panels have been ● installed. In addition, since 2018, 100% of the lighters factories have been powered by green electrical energy, and research is underway to develop the sites’ self-sufficiency (recovery of waste heat, development of photovoltaic and solar thermal energy, etc.).

GREENHOUSE GAS (GHG) EMISSIONS – IN TEQCO 2

2020

2018

2019

Variation 2020/2019

Direct GHG emissions (scope 1)

9,813

9,278

7,659

-17%

Indirect GHG emissions (scope 2 location based)

88,470

88,432

70,435

-20%

Indirect GHG emissions (scope 2 market-based)

48,829

36,549

25,277

-31%

TOTAL ANNUAL GHG EMISSIONS (SCOPE 1 + SCOPE 2 [LOCATION-BASED]) TOTAL ANNUAL GHG EMISSIONS (SCOPE 1 + SCOPE 2 MARKET-BASED) TOTAL ANNUAL GHG EMISSIONS (SCOPE 1 + SCOPE 2 [LOCATION-BASED]) NORMALIZED TO PRODUCTION*

98,283

97,711

78,046

-20%

58,646

45,827

33,097

-28%

1.014

1.070

1.031

-4%

GHG emissions related to purchases of raw materials (scope 3)

316,000

347,000

232,000

-33%

GHG emissions related to intra-company transport (a) (scope 3)

37,000

34,000

18,000

-47%

TeqCO 2 /ton. * Does not take into account road transport in sea and air fret (a)

Is considered renewable, electricity generated from biomass (including biogas), geothermal, solar, water (including hydro) and wind power. (1)

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• BIC GROUP - 2020 UNIVERSAL REGISTRATION DOCUMENT •