Sustainability Report 2014 Lek d.d.

Table of Contents Sustainability Report 2014 – Lek d.d. 2 Table of Contents 1. COMPANY PROFILE 3 1.1 Letter from the President of the Board of Management 4 1.2 Key data for 2014 6 1.3 About us 10 1.4 Development and reporting framework 19 1.5 Governance, commitments, inclusion 21 2. ENVIRONMENT 25 2.1 Implementation of active environemental policy 25 2.2 Raw materials and natural resources 30 2.3 Energy 34 2.4 Water 37 2.5 Waste 38 2.6 Air emissions 41 2.7 Water releases 44 2.8 Other environmental impacts 47 2.9 Safety 48 3. LABOUR 53 3.1 Human resources policy 53 3.2 Employment 53 3.3 Occupational health and safety 54 3 . 4. Training and education 59 4. PRODUCTS 60 5. HUMAN RIGHTS AND ANTITRUST COMPLIANCE 61 6. SUPPLIERS 62 6.1 Purchasing policy 62 6.2 Policy and practices for selecting local suppliers 62 TABLE OF CONTENTS ACCORDING TO GRI G4 REPORTING GUIDELINES 63 GLOSSARY OF KEY TERMS 66 Sustainability Report 2014 - Lek d.d. Published by: Lek d.d. Text: Mojca Bernik, Lek d.d. Edited by: Studio Kernel d.o.o. Design: Intesa RD d.o.o. Photography: Lek d.d. Archive; Fotolia.com Cover: from the Bohuslav Laviãka Collection, the most comprehensive pharmaceutical-medical collection in Slovenia. The Laviãka Col- lection is owned by Lek, a Sandoz company, and was first exhibited in 1986 in a museum in its business center in Ljubljana, where it is still housed today. In 2015, we opened the collection in a digitalized form accessible at http://www.lek.si/en/about-us/lavicka-collection/ . Printed by: Silveco d.o.o. Number of printed copies: 100 Ljubljana, September 2015 This report is printed on environmentally friendly, 100% recycled uncoated Cocoon Offset paper, made from 100% post-consumer PCF (Process Chlorine Free) fibres, with EU Ecolabel (No. FR/011/03)* and heavy metal absence certificate. The paper has been manufac- tured in a paper mill that holds an ISO 14001 certificate. The carbon footprint of the Arjowiggins Graphic manufacturer is 602 kg CO 2 /t of paper (Bilan Carbone © methodology). * The Ecolabel reflects the manufacturer's commitment to continual environment management improvements.