SUSTAINABILITY REPORT 2012 - ista International

04gloBal challenges reQuire solutionswhich transcend national borders. Not only governments and non-government organisationsare called upon in this context but also global companies such as ista. Ourbusiness model is metering energy consumption and our guiding philosophy is savingenergy. It is therefore only logical that our social engagement focuses on protecting the002050601020304central euroPeGermany, Luxembourg,Austria, SwitzerlandFranceFrancenorth euroPeDenmark, Norway,United Kingdom (UK)west/east euroPeBelgium, Bulgaria, Netherlands,Poland, Romania,Slovakia, Czech Republic,Hungary07050607north americaUSAsouth euroPeBelarus, Italy, Russia, Spainemerging marketsBrazil, China, Turkey, UAE

environment and combating climate change. We are committed to this with our products andservices and our employees at our 25 branches worldwide. But we also know that global challengesneed regional solutions which take the local conditions into account. We do both. Weoffer global and regional solutions – with globally managed action and small local initiatives.06306010406070707

ContentsSustainability Report 2012Introduction02 Foreword04 Company Profile07 Sustainability StrategyFacts & Figures40 Key Figures44 Basis of Reporting45 Assurance Statements48 GRI Index10 –19Products & Services12 The new EU Directive opens up completely new markets for usInterview with Antonio Fischetti14 United Kingdom (UK): A case for the water detectiveDenmark: Energy-saving consumers are rewarded with a smileHungary: Eco-friendly heating with ista15 China: Controlled heatingEuropean Union: Together consuming less energyWorldwide: Selection of suppliers16 Bulgaria: Reading heating data by radioNetherlands: Heating with the showerSlovakia: The customer is king18 Focus on transparency and informationGuest article by Günther H. Oettinger19 Management approach and progress table20 –29Energy & Resources22 We now collect more detailed dataInterview with Jens Schulzeborgmühl24 Norway: Bills by e-mailAustria: The consumption optimisers25 Spain: Better every yearBelgium: 2,200 litres of fuel savedTicker: Denmark, Netherlands und Belarus26 Brazil: Sugar cane in the tankUSA: On a clean tripTurkey: Bags with a messageLuxembourg: Fewer printers, less paper28 Worldwide: ista’s most important consumption figures29 Management approach and progress table30 –39Employees & Society32 At our company employees can develop furtherInterview with Jana Eggerding34 Germany: Experiment successful – employees teachPoland: Colourful walls and beaming smilesItaly: In case of an accident35 France: Clean drinking waterUnited Arab Emirates (UAE): Training for tomorrow’s bossesRomania: The managers of the future36 Russia: ista during the day, university in the eveningPoland: The Gliwice 24-hour raceSwitzerland: Combating stressTicker: Bulgaria und Denmark38 United Kingdom (UK): “It was worth every minute”Czech Republic: For a good working atmosphereTicker: United Kingdom (UK) und Spain39 Management approach and progress table

2Foreword“Whether in Romania or the USA, France or Turkey – istaoperates in 25 countries, and in each one we takeour responsibility for the environment and society seriously.”Walter SchmidtCEO ista International GmbH

3Around the world with istaDear Readers,Iinvite you to come on a trip with meto visit the ista companies all over theworld. Whether in Romania or the USA,France or Turkey – ista operates in 25 countries,and in each one we take our responsibilityfor the environment and society seriously.Our sustainability strategy is alreadywell established in Germany and we havealready achieved success in other nationalorganisations, as the project examples describedin this report show. ista is planninga complete rollout of the sustainabilitystrategy in all 25 national organisations inthe medium term. We are fully aware thatdifferent challenges have to be faced dependingon the country and that the processwill also proceed at different paces.In our Sustainability Report 2012, wewould like to show you what regional solutionswe find for global challenges, suchas global warming or the shortage of youngtalent. With globally controlled environmentalmanagement and individual localprojects, we fulfil our voluntary commitmentto act as sustainably as possible at allour locations.Attention is focused onenergy and resourcesOur involvement concentrates on environmentalprotection and the fight against climatechange. On the basis of our range ofproducts which make a direct contributionto environmental and climate protection,our focus is also on saving energy and resourcesas well as on promoting ecologicalawareness. The three chapters are based onthe three pillars of our engagement: in thefirst chapter, we show how our productsand services help to save energy in the realestate sector. The second chapter deals withmeasures which help us to cut the use ofresources in our own buildings and whileon the road. And the third chapter focuseson our employees. It shows how they volunteerfor charity projects and pass on their“green knowledge”. Furthermore, we reporton how we at ista develop and advance ouremployees.Strong international partnerEnergy-policy decisions have a great impacton our business activities. In 2012, thesubject of energy was always high on theinternational agenda: whether at the UNClimate Conference in Doha, in the consultationson the Energy Efficiency Directive atEuropean level or in the discussion on theenergy transition in Germany. Not everywherein the world is such a radical turnaroundin energy policy as noticeable as inGermany. Nevertheless, the key questionall round the world is the same: How canwe use energy more efficiently in future?Here, ista is a strong international partnerwhich systematically looks for answers tothis question by developing new productsand services which make energy consumptiontransparent and by contributing to thepolitical debate. In 2012, an important milestonewas reached at European level. TheEU recognised the added value of transparencyin energy consumption and anchoredthis idea in the new Energy Efficiency Directive.This Directive requires individual consumptionmeters to be installed throughoutEurope in apartment buildings with centralor district heating. Furthermore, Europeanconsumers are to receive a consumptionbasedbill at least once a year, as is alreadylong since a statutory requirement in Germanyand Denmark. The fact that othercountries now also have to follow suit isgood news. The environment will benefit infuture from more careful use of energy andnew growth opportunities are opening upfor our company.Progress to be proud ofJust like the previous year’s report, this reportis based on the guidelines of the GlobalReporting Initiative (GRI). Our reportingmeets the Advanced Application Level B+(see page 45). I am proud of this and of theprogress which we have made in savingresources and in our social engagement.I would like to thank ista’s employees fortheir great commitment! And now I wishyou an inspiring trip around the ista worldand would be delighted if you would shareyour impressions with us! Please write to usat sustainability@ista.com.

4Company ProfileOur companyIn 25 countries all over the world ista makes a crucial contribution towards reducing energy consumption inbuildings with its products and services. The broad-based portfolio in the field of energy management showsthat the company focuses on sustainability.ista reads about 48 million * meters in more than 11 millionhouseholds all around the world. The company is thereforethe world leader in the consumption-dependent metering andbilling of water, heat, cold, gas, electricity and ancillary costs. Thecompany’s 450,000 customers * include property managers andowners as well as energy utilities. ista’s services help to reduce theconsumption of energy and resources in residential buildings andcommercial properties but only require low investments.From supply to billing – a one-stop shopista’s services are based on accurate metering and recording devices.These include heat allocation meters, water and heat meters,system technology and the relevant accessories. All in all, ista offers57 individual products * . Everything comes from one source,from the supply, installation and commissioning of the meters tothe billing. ista analyses energy and water data, inspects and optimisesheating systems and offers individual solutions for energyconsumption and energy cost management (see overview on page 5).Altogether, ista has 10 service sectors * with 17 individual services *in its portfolio.The ista Group operates in 25 countries. Its head office is inEssen (Germany). In addition to a large number of European countriessuch as Denmark, the Netherlands, France, Italy, Spain, Belgiumand Poland, the company is also represented in Russia, Brazil, China,the USA and the United Arab Emirates (see front inside cover). Its* Based on estimates, ** Average (FTE) for the reporting period,*** ista Shared Services with 654 employees.core markets are in Europe. In 2012, ista International GmbH recordedsales of EUR 707.2 million worldwide, and adjusted sales ofEUR 700.9 million. That is an increase of 4.1 % compared with 2011(see table on page 6). In the reporting period, EUR 85.7 million wasinvested, EUR 58.5 million of which in rental devices. A total ofEUR 2.2 million was invested in acquisitions – ista acquired theGerman metering service provider compacta in the middle of theyear – and in purchase price adjustments.4,720 people were employed in the Group as at December 31,2012. The full-time equivalent ** was 4,477, which was slightly upon the previous year (4,319). The Region Central Europe has thehighest number of employees at 1,424, followed by the RegionEmployees by region1862365286511,424700654LegendCentral EuropeSouth Europe/Emerging Marketsista Shared ServicesFranceWest/East EuropeNorth EuropeUSA

5Worldwide service – the ista portfolio in energy managementReal estateindustryContracting Analysis Installation Consumption Reading Data VisualisationGas & Electricity Concept MaintenanceConsumption BillingEnergy PassFinancingAncillary Cost BillingEnergy Control SystemsTap MaintenancePayment ProcessingHeating ECGEnergy ConsultingEnergy ProcurementConsultingValuechainSupply Property Survey Hardware Reading & BillingControlling &OptimisationEnergyIndustryAnalysis Installation Consumption Reading Data AnalysisConcept Maintenance Consumption Billing ReportingIT InfrastructurePayment ProcessingLegendavailable in most marketsavailable in some marketsElectr. Data InterchangeIT Solutions forBilling & DataManagementSouth Europe/Emerging Markets with 700 employees *** (see diagramon left). Women accounted for almost half of the workforcein 2012 with a share of 46 %. For more detailed information on theworkforce structure, see page 43. ista cooperates with independentservice partners in some countries. In Germany, the service partnersalso perform meter installation and meter reading.ista is the leader in most markets where the company is represented,including France, Belgium, Luxembourg, Denmark, theNetherlands and Poland. In Germany, ista has a very strong secondposition. ista offers products and services for the consumptiondependentbilling of heat and water almost everywhere. As, however,the company is geared to the local requirements in everycountry, the offering also varies from country to country. The marketpotential for consumption-dependent billing depends on theproportion of multifamily buildings and the importance of districtheating and central heating systems as a means of energy supplyin the respective market. The potential for ista is smaller in countrieswith many individual heating systems, such as the UnitedKingdom. There, the company mainly works for energy utilitiesor commercial property managers. Germany is by and large a saturatedmarket owing to the statutory requirements laid down in theHeating Cost Ordinance. In Germany and Denmark, ista is mainly

Sustainability strategy 7our strategySustainability plays a major role for ista. The company has therefore developed a strategy for corporate responsibility.Projects which pursue this strategy are being advanced in all national organisations. Sometimes theseare minor, sometimes major projects – depending on the manpower capacity of the locations. The focus is generallyon environmental protection.At ista, all aspects of corporate action are governed bysustainability. With its business model, the energy serviceprovider actively contributes to climate protection:ista’s products and services help all over the world to increase energyefficiency in buildings. Naturally, the company also aims touse as few resources as possible and reduce emissions in buildingsit uses itself and on employee business trips. Many employees arealso involved in environmental protection and environmentaleducation projects. Here, they encourage children and adults tothink and act responsibly.All this illustrates that ista has adopted a holistic approachin the field of corporate responsibility (CR), covering the productsand services, the use of energy and resources and how the companydeals with its own employees and society (see diagram below). Sustainabilityis of great importance to ista. Not only because moreefficient use of resources and innovative products benefit the environment.But also because ista profits directly from its commitmentin this field. Costs for energy and material fall, its reputationand employee motivation increase. The ista locations integrateeven better into their neighbourhoods thanks to the company’ssocial engagement. And products that promote energy efficiencysafeguard the sustainability of the company by opening up newmarket opportunities.Sustainability has high priorityista has recognised the positive effects which sustainable managementoffers for the environment, society and the company and hasintroduced an international CR strategy. In institutional terms, theCR strategy is anchored in the Sustainability Council (see diagramon page 9). This body identifies and promotes sustainability activitiesin all ista companies. It convenes three to four times a year. TheCouncil develops standards, initiates projects to serve as modelsand gives recommendations on strategy. Moreover, it is the contactfor all sustainability questions and supports the operational unitsin implementing suitable measures.Sustainability issues are an integral part of the corporate cultureand the management gives them high priority. For example,the Sustainability Council reports direct to the management. TheCouncil also advises the members of the management on sustainabilityissues. At present, there is no procedure with which the sustainabilityperformance of the Management Board is assessed. AtHolistic CR approachResponsibleManagement & ControlProducts &ServicesEnergy &ResourcesEmployeesResponibility inBusiness ModelCorporate Responsibilityista’s sustainability strategy encompasses responsibility inmanagement, responsibility in the business model and beinga responsible neighbour.SocietyResponsibleNeighbour

8Sustainability Strategythe ista companies, the Council is supported by the sustainabilitydelegates. These employees coordinate the implementation of allCR activities in the individual countries together with the specialistdepartments. The member of the Council responsible for environmentalquestions is the environmental consultant. He implementsthe environment management requirements and advises all companieson matters relevant to the environment (see Interview onpage 23).ista’s diverse CR activities could not be pursued without its employees.They are crucial for the economic success of the companyand the successful implementation of its sustainability strategy.Therefore, ista takes its responsibility to its employees very seriouslyand supports and develops them in numerous ways. This includesvocational and further training programmes, health promotionactivities as well as the principle of offering men and womenequal career opportunities. For example, in 2012, ista in Germanywas again awarded the Certification Seal “ Top Job – Best EmployersAmong Medium-sized Enterprises”. In the Polish ista SharedServices’ Centers, ista’s HR work was recognised with the award“Investor in Human Capital”.child labour, eliminate forced labour and prohibit discrimination.All employees have the possibility of reporting violations or a suspectedviolation to the Internal Audit department. No instances ofdiscrimination were reported in 2012. In 2013, ista is becoming amember of the Global Compact of the United Nations and thereforeundertaking to gear its business activities and strategies to 10universally recognised principles relating to human rights, labourstandards, anti-corruption and environmental protection. The keyenvironmental figures serve as a yardstick to measure the environmentalperformance of the company. To assess the societal andsocial performance, ista mainly uses the key figures of the HumanResources department. For example, staff turnover rates or furthertraining rates are analysed to determine the optimisation potential.Furthermore, projects completed in the field of social engagementare assessed.ista’s most important stakeholders include customers, employees,owners, suppliers, associations and the media. They allplace different demands on ista. It is the task of all departmentsto address their individual needs and implement them in businessNew CR programme “grow”In 2012, ista developed the CR programme “grow” which combinesthe two programmes “energy matters” (international) and “ista getsinvolved” (ista Germany). The heart of “grow” involves CorporateVolunteering Days at which the company supports the voluntaryengagement of its employees and funds environmental projects.The programme was presented to the national organisations in2012 and is being implemented in 2013.All ista employees are obliged to observe the EnvironmentalGuidelines. In addition to compliance with legal requirements,these Guidelines prescribe the responsible use of energy and rawmaterials. In addition, ista’s Code of Conduct is binding on all employees.It describes how the company expects employees to actwith respect to sensitive subjects such as conflicts of interest, corruptionand bribery. The Internal Audit department monitors observanceof the Code of Conduct and the Environmental Guidelines.Employees who have any questions concerning the requirementsor do not want to discuss the subject with their superior can getin touch with the Vice President Internal Audit. Information onavoiding corruption is posted regularly on the Intranet for all employeesincluding the management level.ista and its employees act in compliance with the UN Declarationon Human Rights, the UN Convention against Corruptionand the Declaration of Principles of the International Labour Organisation(ILO). The latter serves, among other things, to combatStakeholder dialogueStakeholderEXTERNalCustomersAssociations,organisations, NGOsOwnersPressSuppliersStudents,scientistsINTERNalEmployeesCommunication examples and aimsCustomer events, customer advisory council,customer satisfaction survey, customer newsletter,Internet, personal customer care and support,corporate blog, newsroomMemberships, association workMonthly reporting and consultation meetingsPress meetings/conferences, press releases,corporate blog, newsroomRegular consultation meetingsUniversity cooperationsista conducts an open dialoguewith its internal and external stakeholders.Staff appraisal interviews, employee opinionsurvey, information events, management blog,staff magazine, newsletter, Intranet

gloBal warmingThe global demand for energy is increasingevery year. This trend is exacerbating globalwarming and impacting on our climate.

Products & services 11creating awarenessMore energy than necessary is used inmany private homes worldwide becausepeople do not know enough abouttheir consumption of heat, water andelectricity. The results are increasedraw material consumption and emissionswhich adversely affect our climate.Only people who are informed indetail about their individual consumptioncan save energy. With its productsand services, ista makes consumersaware of their energy consumption behaviourand therefore helps to reduceenergy consumption in residentialbuildings worldwide.

Products & Services13The new EU Directive opens upcompletely new markets for usWith the aid of the new Energy Efficiency Directive (EED), the European Union intends to considerably reduceenergy consumption, above all in residential buildings. The requirements are of benefit to climate protectionand open up new business potential for ista. Head of Marketing, Antonio Fischetti, explains why transparencyhelps to save energy.Interview withAntonio FischettiWhat effect is the EED having on thedevelopment of new fields of business?With the EED, the European Union has furtherpaved the way for binding action andspecified targets for energy savings. That isvery good news not only for climate protectionin Europe but also for ista. The Directiverequires individual consumption meters tobe installed in multi-family houses whichare heated by central or district heating.Furthermore, European consumers are to receivea consumption-dependent bill at leastonce a year. What may seem like old hat forGermans and Danes is by no means standardin many other EU member states. That’swhere entirely new markets will open up forus. But we are also gaining the opportunityin the core market of Germany to provide informationon consumption during the year.What does the EU hope to achievewith consumption-dependent billing?Only people who know more or less immediatelyhow much energy they are consumingcan change their behaviour. Transparencyof consumption figures is the fundamentalrequirement for saving energy.When consumers receive continuous informationon their consumption, they becomeactively involved in measures to protectthe climate. The EU hopes to achieve substantialsavings as a result. Our experienceshows that this hope is justified: in our pilotproject in Aachen, the heating energysavings of the project participants who receivedinformation on consumption everymonth averaged 14 %. With our many yearsof experience in energy-saving in the buildingsector, we would like to actively supportthe implementation of the EED in the individualmember states.How great is the acceptance of istaproducts outside the EU?In most ista countries, energy-saving, resourceconservation and cost reductionsare of major importance. Therefore, productsthat increase energy efficiency are alsowell received in other regions of the world.Quite a lot is currently happening in China,for example. The government is subsidisingthe installation of heat meters and heat allocationmeters in residential buildings aswell as the heat insulation of properties.Spread over some years, we will be installing200,000 heat allocation meters in China(see page 15).What role does sustainability playin product development?A major role. Our aim is to minimise thenumber of components in a product. More -over, we focus on modularity of our productsand make sure, even during the developmentstage, that most of the materialsused can be later recycled. Our productsthemselves also make an important contributiontowards climate protection. We havecalculated the CO 2 footprint of our heat allocationmeter, doprimo 3 radio net. Theresult: thanks to consumption-dependentbilling, users change their heating behaviourand save a lot more CO 2 than our devicesand the preparation of the bills cause.The heat allocation meter saves 158 timesmore than the amount of CO 2 it causes itselfover an average life cycle of 10 years.What do you focus on at customer eventsand when selecting promotional gifts?We are currently preparing an internationalguideline for promotional gifts. In many nationalorganisations, we already choose themost eco-friendly alternative when buyingballpoint pens, soft toys and other advertisingmedia. In this connection, we payparticular attention to the material quality,packaging, the production process, deliveryand durability. We are increasingly focusingon sustainability with regard to the eventswe organise. We subsequently offset theemissions produced as a result of our majorcustomer events in Germany. For example,for the annual “Housing Industry Talks”, weoffset roughly 50 tonnes of CO 2 in 2012. Themoney went to a project that funds energysavingstoves in Cambodia. CO 2 neutralityis also an important issue when it comesto transport and shipments. For example,ista received the GoGreen certificate fromits cooperation partner, DHL, for offsetting72.46 tonnes of CO 2.

14Products & servicesa case For the waterdetectiveUnited Kingdom (UK)When water consumption skyrockets andthe costs are on the verge of exploding,Pat Clark is not far away. The water detectivesearches for leaks on behalf of ista UK.Thanks to Pat Clark’s advice, ista customerswere able to save more than GBP 3 millionlast year. The mission of the 59-year-old:to avoid high water costs and conserve resourcesthrough detailed analysis. “The bestthing about my job is that I can help peopleto save a lot of money and, at the same time,help to conserve resources,” Clark says.Every Monday, the water engineer closelyscrutinises his customers’ bills. If oneenergy-savingconsumers arerewarded with a smileDenmarkThe ista national organisation in Denmarkhas developed a smart phone app whichprovides property managers and tenantswith detailed information on their energyconsumption and assesses the developmentover the course of time. A smiley indicateswhether the consumption figuresfor electricity, water or heat have fallen orrisen compared with the previous year. Theista app users can therefore react immediatelyand avoid high energy costs in goodof them is particularly high or the waterconsumption differs significantly from theyear before, Pat Clark becomes suspiciousand arranges an appointment for a water inspection.“It’s like searching for clues. I haveto collect the evidence which suggests thecause of the problem,” says the man whohas already been a water detective at istain the UK for seven years. Clark checks thewater meter and measures the current flowrate in order to determine the reason for theunusually high consumption. However, achat with the property manager can alsoprovide the water detective with importantdetails for his investigations.The customers in the United Kingdomare mainly businesses. They include, forexample, the offices of the Renault RetailGroup and the studios where the British TVseries for teenagers, “Hollyoaks”, is filmed.In the latter case, Clark discovered a leakin a branch pipe which had made the waterconsumption shoot up. After the pipe hadbeen replaced, the customer got a refund ofGBP 35,351. Mission accomplished!time. ista customers could already call uptheir personal energy consumption from aweb portal – but the app offers even fasterand clearer display of the information.“That creates more transparency than everbefore,” says Benny Mathiesen, RegionalManager North Europe.“We are finding that more and morecustomers want to continuously monitortheir consumption. The reason for this isincreased environmental awareness butalso, of course, rising energy prices.” Theapp now provides very detailed information,for example on consumption in individualrooms. With the app, it is now eveneasier for people to reduce the impact onthe environment and on their purses.north euroPeDenmark, Norway,United Kingdom (UK)locations:denmark: Ballerup, Odense, Aalborgnorway: Oslo, Tillerunited kingdom (uk): Cambridgenumber of employees:denmark: 173norway: 27united kingdom (uk): 36eco-friendlyheating with istaHungaryThe residents of two large apartmentbuildings in the Hungariantown of Eger are now heatingmuch more efficiently than before.Here, ista Hungary has completelyrefurbished the heatingsystems. So the users can saveenergy and money.ista offers the heating modernisationwork from one source, whichoptimises and speeds up workflows.In 2013, at least two moreprojects are to be implementedin Budapest. Initial successes canalready be seen thanks to thismodernisation:the energy savings currentlyamount to25 to40%.

worldwideselection of suppliers15Examinationof suppliers for:01human rights issues02child labour03Forced labourcontrolled heatingChinaista places high demands on its suppl iers. Thecompany’s Supplier Code is based on the GlobalCompact of the United Nations, the OECDprinciples of responsible corpo rate governanceand the core conventions of the InternationalLabour Organisation (ILO).Most households in major Chinese citiesare supplied centrally with heat by meansof district heating in the winter. Apartmentswhich are located on the upperfloors of the buildings often get overheatedwhereas the ones on the lower floors arenot warm enough. Individual temperaturecontrol is not possible. If people get toowarm, they simply open the window. Theydo not pay according to consumption butper square metre. And where there is no incentiveto save, climate protection is a particularlydifficult task. However, that maysoon change: the Chinese government is demandingthe improvement of heat supplyquality and control of heat consumption.In the years to come, it is planning to investmore than EUR 8 billion in promoting energysavings in the residential sector, includingimproved building insulation and theinstallation of radiator valves which enableindividual temperature control. This projectis giving ista China fresh momentumas the roughly 45 million residential unitsin the so-called District Heating Zones offertremendous potential for ista’s business.ista’s ambitious plan: the company aimsto install a total of 200,000 heat allocationmeters by the end of 2014. The figure wasalready 50,000 in 2012.The Code forbids the employment of childrenand people in forced or compulsory labour.Quality Management examines compliancewith the Code in regular supplier audits.Employees have the possibility at all times toreport infringements to the ista Internal Auditdepartment.85 % of the major suppliers and service providershave signed the Supplier Code includinghuman rights standards. The suppliers areresponsible for monitoring observance of therequirements in their own supply chain andoffering optimum support. ista does not havea guideline according to which local suppliersare given preference.The company organises hardware and materialprocurement centrally. The engineering and productionsite is in Au (Germany). The hardwareis also tested there.togetherconsuming lessenergyEuropean UnionThe European Union plans to cut energyconsumption by 20 % by the year 2020.The three-year EU project “Saving Energyin Social Housing” (eSESH) is helping toget one step closer to this goal. Six Europeancountries with a total of 10 pilotprojects are taking part and developingsolutions which appreciably reduce bothenergy consumption and energy costs.The focus is on social housing. ista Germanyis participating in the eSESH projecttogether with the Nassauische HeimstätteWohnstadt Group. For this project,358 apartments were fitted out with thelatest metering technology and energymanagement systems.This project is an ideal opportunity forista to work together with its customersto systematically develop products, suchas the energy data management system(EDM) premium or the heating ECG, underreal conditions.The project mainly concentrates onconsumption transparency and optimisationof the heating system so that energyefficiency is increased.An Internet portal provides the tenantsinvolved with information on theircurrent energy consumption at any time.The direct feedback makes the consumersenergy experts and offers them thechance to optimise their behaviour andthus reduce costs.

16Products & servicesreading heatingdata by radioBulgariaAs in other countries, ista is increasinglyintroducing radio technology in Bulgaria.This makes the meter-reading processeasier and dispenses with the printingof meter-reading receipts. By the end of2013, the old ista heat allocation metersin some 28,000 residential units will bereplaced by modern radio devices. Such amajor project is extremely complicated inBulgaria – about 95 % of the apartmentsare privately owned. “We do not haveproperty managers here,” explains AssjaAngelova, Country Manager of ista Bulgaria.The owners’ associations managetheir properties themselves and decideby a two-thirds majority which companythey want to work with. “So it is all themore important for us to have a convincingargument for our range of productsevery time,” Assja Angelova says. Withradio-based heat allocation meters, istaoffers great meter-reading convenience.The residents no longer have to be intheir apartments as a technician canread the meters from the hallway. Theconsumers can view their annual bill andmeter readings on the Internet – thatsaves paper.01 water meters: ista UK detects wastefulconsumption02 the heat’s on: ista Hungary modernisesheating systems03 crystal-clear: Bulgaria focuses ontransparency04 savings app: The Danes transmit consumptiondata to mobile phones05 new market: In China, demand is growingfor consumption meters06 clean: The suppliers of the device componentsare inspected07 efficient showers: The Dutch use wastewaterto heat08 Pilot project: ista advises the EU on energyefficiency09 service: Customers in Slovakia are particularlysatisfiedsouth euroPeBelarus, Italy, Russia, Spainlocations:Belarus: Brest, Minsk, Gomelitaly: Lainate, Romerussia: Moscowspain: Madrid, Cordoba, Huelva, Huesca,Jerez, Oviedo, Pamplona, San Sebastián,Seville, Valencia, Valladolid, Saragossaheating with the showerNetherlandsnumber of employees:Belarus: 21 italy: 49russia: 10 spain: 509FranceFranceAs resources are becoming increasinglyscarce, it is all the more important to developenvironmentally friendly alternatives.As a partner in the trailblazing “Waterschoon”project, ista Netherlands is showinghow it’s done.In the community of Sneek in the northof the country, 32 apartments and a carehome have been connected to a particularlysustainable sanitary system and morehomes are to follow.In this model project, ista is performingthe metering of heat and cooling consumption,billing, the collection of payments andproviding customer support. The sanitarysystem relies on multiple use: a fermentationplant recovers energy and biogas fromwastewater and organic wastes.Moreover, the system cleans the wastewater,separated according to grey water(household water) and black water (WC).In this way, households can cover roughly12 % of their total energy requirementsthrough the fermentation of black water.For heating, the system uses water fromthe washing machine, dishwasher or shower.This water still has a relatively high temperaturewhen it flows into the drain. Thisheat is recycled directly through the centralheating system.More homes are to be provided with thesystem in autumn 2013.locations:France: Bihorel, Buc, Massy, Villen euve d‘Ascq,Oberhausbergen, Dijon, Couëron, Marseilles,Mérignac, Décines-Charpieu, Joué-lès-Toursnumber of employees:France: 651the customer is kingSlovakiaista’s customers in Slovakia are especially satisfied.That is the result of a recent customersurvey based on the concept of the CustomerRetention Index (CRI). ista Slovakia achieved 8.4points out of a possible 10. Last year, the figurewas still 7.3.As in the year before, ista surveyed the customersof 12 national organisations. 81 people tookpart in the survey conducted in Slovakia. Meterreading and billing were rated with averagescores of more than 9. Those surveyed also ratedpunctuality and quality very highly. Last year, Slovakiatook targeted action to improve its figures.“We regularly visited our customers and askedthem where we had to solve problems and how wecould optimise our offering,” says Gergely Gulyás,Country Manager.So the chances are good that ista Slovakia will beequally successful in the next survey.

18Products & ServicesFocus on transparencyand informationbyGünther H. OettingerEU Commissioner for EnergyThe challenges in the energy sector are some of the greatestwhich Europe will have to overcome in the next 10 years.We are aware that our economic competitiveness dependson a reliable energy supply. Secure, reliable and affordable energy isa crucial factor for the economic and strategic interests of the EU asa global player. The EU’s increasing dependence on energy importsfrom non-EU countries is therefore a major concern, especially in thecase of oil (85 %) and gas (65 %), and is also the reason why energyefficiency holds a key position in the EU’s energy strategy for 2020.In order to achieve the necessary increase in energy efficiency,different energy efficiency strategies and support action were combinedin various sectors (buildings, domestic appliances, industrialequipment, traffic etc.) throughout Europe. In 2011, the Commission’sforecasts already showed that, in spite of the progress madein recent years, only half of our target for 2020 will probably beachieved – that means that expected energy consumption will onlybe reduced by 9 to 10 % instead of 20 %. More energy-saving andenergy-efficient action was therefore necessary. The new Energy EfficiencyDirective, which was passed in October 2012, introduces awhole range of measures which are directed at member states, industryand the general public.Member states must set objectivesFirstly, all member states must establish a national energy efficiencyindicative target for 2020. In 2014, the Commission will reporton whether the targets and measures of the member states put theEU back on course again as regards the 20 % objective for energyefficiency, which was expressly laid down for the first time in legislation.In view of the inefficient way in which we have so far usedfuels, the attainment of the 20 % objective will bring only benefitsfor European industry and citizens – this objective can therefore beachieved while, at the same time, increasing economic growth andaffluence. Secondly, if this target is to be reached, the member statesmust take concrete action. Every member state must prepare a longtermstrategy for the mobilisation of investments in the modernisationof its buildings and renovate 3 % of the buildings owned by thegovernment every year.The member states must also make sure that a certain amountof energy is saved within the mandatory period 2014-2020, eitherby energy distribution and retail companies working togetherwith the end customers to achieve a reduction in energy consumptionor by alternative mechanisms, such as financing schemes orvoluntary agreements.Consumers can influence energy efficiencyThirdly, the Directive is aimed at consumers. Energy efficiencyis also an area which consumers can influence directly and fromwhich they can profit in a long-term, sustainable energy system.Our energy policy strategies are therefore directed at consumerswith focus on transparency and information. Consumers are to beput in a position where they can optimise their energy consumptionand maintain their right to a basic supply of energy at all times(even in the event of supply bottlenecks). Our most important challengeis to make the relevant technologies accessible and affordablefor the general public. Consumers will therefore have smart meterswhich provide exact information on their individual energy consumptionand when the energy was consumed. As our conventionalsources of energy are becoming increasingly scarce, we shoulduse the current momentum to change over to a resource-efficientsociety with low CO 2 emissions. Our initiatives to develop new andrenewable sources of energy and achieve high energy efficiencyserve this goal.

19MANAGEMENT APPROACHAND PROGRESS TABLEista’s corporate strategy serves the overarching goal of ensuringsustained profitable growth and increasing the value of thecompany in the long term. Today, ista is already the world leaderin the consumption-dependent metering and billing of water, heatand ancillary costs. The company intends to further extend thislead. Using the development of financial and non-financial performanceindicators, the management monitors the implementationof the Group’s strategy and, where necessary, can intervene directly.Climate change and limited resources are the key drivers forista’s product and service portfolio. Most solutions are developedand offered with a view to conserving resources and minimisingthe impact on the climate. ista pursues the goal of further expandingits portfolio of products and services to boost energy efficiency.Against this background, the management also carefully considersthe opportunities and risks associated with climate change. Inview of the rising demand for products and services which conserveresources, ista benefits from statutory developments, suchas the Energy Efficiency Directive of the European Union, as a reactionto climate change but does not, however, gain competitiveadvantages.The company values are the basis for the strategic and operationalfurther development of the Group. They serve as a guidelinefor all employees. The values include the commitment to achievingstretch goals and being prepared to be measured against themas well as the creating and shaping of an environment in whichchange is not seen as a threat but as an opportunity. Leading in customerservice is also a key company value. ista regularly conductssurveys to establish how satisfied customers are with the company’sproducts and services. The results help ista to optimise its offering.ista complies with ethical standards both in political lobbyingand in marketing. ista does not sell any products which are bannedin certain markets or the object of critical public debate.ista’s Code of Conduct describes how the company fundamentallyexpects employees to act with respect to sensitive subjects,such as conflicts of interest or corruption and bribery. ista and itsemployees act in compliance with the UN Declaration on HumanRights, the UN Convention against Corruption and the InternationalLabour Organisation’s (ILO) Declaration of Principles. Thelatter serves, among other things, to combat child labour, eliminateforced labour and prohibit discrimination. ista’s Supplier Code alsoprohibits the employment of children and people in forced or compulsorylabour. Quality Management checks compliance with theguideline in regular supplier audits.ista’s employees are regularly informed about the company’sguidelines and policies through internal media. Internal Audit examinestheir observance.Progress tableAims & fields of action Measures Status and goalsGlobal commitment to sustainabilitythrough its firm integration into thecorporate strategy, operational businessand internal processesImplementation of a Group-wide CR strategy with clear focus on thesubject of “environment”.Expansion of strategic partnerships, e. g. B.A.U.M., UPJ , Global Compactand NABUCompleted in 2012ContinuousInvitation of an external speaker to the Sustainability Council 2013Expansion of systematic CR managementDevelopment of innovative products andservices to boost energy efficiencyProfessionalisation of the survey of the CR key figures and systematicevaluation to obtain appropriate improvement measuresExpansion of the heating ECG (energy savings of up to 30 %)for continuous heating monitoring and EDM premium (average energysavings of 14 %), performance of new studies on CO2 savingsBy the end of 2013Continuous

isks to the environmentClimate change is altering ecosystems all overthe world. The exploitation of resources is alsoincreasingly putting our environment at risk.

energy & resources 21Protecting the climateWhether in the production of equipment,during transport to the customeror at work in the office – ista also consumesenergy and resources everywhere.The aim is to minimise this consumptionas far as possible in order to protect theclimate. Therefore, all branches implementthe requirements of the Groupwideenvironmental management systemand do their utmost to reduce theconsumption of paper, water, energy andfuel. The environmental consultant advisesthem on this. Every national organisationlooks for solutions which take thelocal circumstances into account.

Energy & Resources23WE NOW COLLECT MOREDETAILED DATASaving resources and cutting energy consumption in all national organisations – the environmental consultant,Jens Schulzeborgmühl, is responsible at ista for these ecologically and economically sensible issues. He explainswhich environmental themes are of particular relevance to ista worldwide and what the company is doing toimprove its ecological performance.Interview WithJens SchulzeborgmühlWhat challenges do you face as the environmentalconsultant in an increasingly internationalorganisation?Environmental legislation differs greatlyfrom country to country. In the USA, eachfederal state even has its own regulations.Naturally, we have to allow for that whenwe want to market our products. On theother hand, when recording key environmentalfigures, we have to harmonise thedifferent international units of measurement:miles and kilometres, gigajoulesand kilowatt hours. As American sheets ofpaper have a different size to the DIN-A4sheets customary in Europe, we now calculateour paper consumption worldwidein kilograms. The reference to “sheets” isinsufficient in this case.What progress have you made incollecting key environmental figures?We were able to record the key figures for2012 more precisely compared with previousyears. As we collected the data at sitelevel and not at country level, we were ableto dispense with some of the estimates.And where we had to make estimates, theyare now more frequently a country averagerather than a global average. What’s more,we have extended the scope of the survey.Whereas we only recorded the office paperand the printing of bills last year, we havenow added notepads, envelopes and marketingmaterial. The fuel consumption ofthe rented cars and private vehicles used forbusiness trips are also incorporated for thefirst time. Last year, we only included theconsumption of our own vehicle fleet.Which key environmental figuresare most important for ista?The highest consumption is fuel for businesstrips of technicians and other employeesand this is therefore where the greatestsavings potential lies. Then comes paperconsumption, followed by energy consumptionin third place. We have made progressin all three areas.In the case of fuel, we are continuingwith fuel-saving training courses, consumptiondata reports as well as the gradual replacementof our vehicles with economymodels. In some countries, for example,satellite-supported route planning is used.We drive the most kilometres in Germany.Here, consumption of the company fleet fellfrom 7.0 to 6.8 litres per 100 km comparedwith the previous year. We thus saved15,109 litres of diesel and cut CO 2 emissionsby 1.58 %.How did paper consumption develop last year?As we recorded more types of paper thisyear, overall consumption naturally rosecompared with the previous year. We managedto keep the proportion of recycledpaper at a constantly good level of around11 %. As the figure for 2012 also includesbrochures and flyers for the first time whichwere only rarely printed on recycled paperbefore, we are proud that we were able tocontinue the positive development of theprevious year.The proportion of recycled copyingand printing paper worldwide is some 40 %.The figure in Germany is even just under85 % and our target is to achieve such ahigh proportion everywhere.We asked the national organisationswhy they had so far not used recycled paper.The three most frequent answers were: insome places, recycled paper is much moreexpensive than fresh fibre paper or theequipment cannot process recycled paper.And it is not known everywhere that highqualityrecycled paper is also available. Thenext step is to initiate measures to increasethe total percentage in all countries. Naturally,we are also trying to reduce overallpaper consumption, e. g. through the increaseduse of electronic billing.

24energy & resourcesBillsBye-mailNorwayista Norway no longer sends some of itsbills by post but by e-mail as a PDF file. “Initially,we only sent a few customers electronicdocuments. But demand is now sohigh that we want to introduce electronicbills as the standard solution,” says CountryManager Espen Karlsholmen.Customers who prefer conventionalpost then have to pay a small fee. In 2012,the Norwegian national organisation managedto save almost 2,000 sheets of paperthanks to the e-mail bills.the consumption optimisersAustriaista Austria is not only counting on its customers to optimise consumption but isalso doing so in its own four walls. Last year, the Austrian national organisation madesome energy-saving improvements in its head office in Vienna. For example, the entireheating system was replaced and the latest generation of gas-fired condensingappliances installed.Thanks to ultramodern ista heat and water meters, consumption is recorded continuouslyand visualised on a web interface. As the system is state of the art, istaAustria will be using it in future for presentations and training courses for customersand employees.New, multi-glazed, plastic roof windows provide improved insulation on thebuilding’s top storey. ista Austria is therefore expecting a reduction in gas consumptionof some 16 %. And the Austrians also have ambitious plans for saving electricity.Environmentally friendly LED lights are replacing conventional lighting with the aimof cutting consumption by up to 40 % in the years to come.Reduction ingas consumption16%Reduction inelectricity consumption40%west/east euroPeBelgium, Bulgaria, Netherlands,Poland, Romania, Slovakia,Czech Republic, Hungarylocations:Belgium: Anderlecht, Aartselaar, ThimisterBulgaria: Sofia, Pernik, Pleven, Plovdiv,Varna, Shumennetherlands: SchiedamPoland: Krakow, Szczecin, Poznań, Wroclaw,Gdansk, Bialystok, Warsaw, Lodz,Lublin, Katowiceromania: Bucharest, Oradea, Cluj, Arad, Deva,Timişoara, Târgu Mureş, Iaşi, Piatra Neamt, ¸ Buzǎu,Bacǎu, Vaslui, Craiova, Râmnicu Vâlcea, Braşov,Focşani, Galaţi, Ploieşti, Târgovişte, Piteşti,Giurgiu, Constanţa, Drobeta-Turnu Severinslovakia: Bratislavaczech republic: Praguehungary: Budapestnumber of employees:Belgium: 66 Bulgaria: 100 netherlands: 102Poland: 104 romania: 74 slovakia: 17czech republic: 53 hungary: 12

25Energy-efficient heatingDenmark: ista has installed a newheating system in the country’s headquarters– it is intended to cut gasconsumption by 19 %. The re ductionin CO 2 emissions will be more than26,000 kg per year. The old heatingsystem no longer complied with thelatest energy efficiency standards.Seeing double is betterNetherlands: Most of the employeesreceived a second monitor in2012 so they can now open severaldocuments at the same time – thatsaves time and naturally paper.The employees were already printingappreciably less after just twodays.20,000 sheets of paper savedBelarus: Sustainability has so farhardly been an issue in this smalleast European country. Nevertheless,ista Belarus is setting a good exampleand, in 2012, saved 20,000 sheetsof paper at its company headquarters– above all as a result of moresensible copying.Better every yearSpainAll ista national organisations make surethat they conserve resources and save energy.Some of them comply with the requirementsof the international standardISO 14001:2004. ista Spain was certifiedagain in 2012. As part of the certificationprocess, the most important environmentalissues are determined and objectives forthe environmental performance of the companysubsequently derived from them. Thestandard itself does not assess the environmentalperformance. It merely prescribesa functioning system for continuous improvementwhich is regularly monitoredby external auditors. At ista Spain, attentionis paid to sustainability and environmentalprotection in every company department.The employees have received informationdescribing where resources can be saved.For example, by not switching on the airconditioning system when the outside temperatureis low or not leaving the light on inempty rooms.“With the ISO certificate, we gain theconfidence of major customers who attachjust as much importance to sustainabilityas we do. What’s more, we increase our ownemployees’ awareness of the environment,”says Rafael Ruiz, Quality Manager. The majorobjective of the Spanish is to exceed theminimum requirements. They are well onthe way to achieving this.2,200 litresof fuel savedBelgiumWalter Maes drove in a particular eco-friendlymanner in 2012. The ista Belgium employee isthe winner of the second fuel-saving competitionof the national organisation. A total of 30technicians had participated and kept an eyeon their fuel consumption more than usual. Asthey all drive the same model, an Opel AstraBreak, the conditions were the same for allparticipants.ista has been recording the individual consumptionof the technicians since 2011. At the endof the year, the most economical driver wins asmall prize. “With the fuel-saving competition,we want to promote our employees’ environmentalawareness,” says Alexandre Stroobants,Finance and HR Manager.Roughly 2,200 litres of fuel were saved comparedwith the previous year. Consumption isanalysed constantly. Spikes in the figures aretherefore quickly noticed and the cause of therise in consumption soon found.However, it is not only a matter of an economicaldriving style. The technicians drive particularlyeco-friendly models with a 1.7 or 1.3-litrediesel engine. In future, the Belgians also wantto use more hybrid cars.In other countries, the drivers of ista companycars are also trying not to consume more fuelthan is necessary. Global consumption of fuelwas 2,651,716 litres in 2012. The figure wasstill 2,856,240 litres in the previous year. Thetarget for the current year: even more ecofriendlydriving.

26 energy & resourcessugar cane inthe tankBrazilista Brazil is probably the national organisationwith the most eco-friendly fleet ofcompany cars. The technicians and managersare on the road with nine so-calledflex-fuel vehicles. The cars can be filled upboth with ethanol and petrol or a mixtureof both fuels. Since mid-2012, preferencehas been given to ethanol.In contrast to petrol, this biofuel isrecovered from renewable raw materials.The Brazilians use sugar cane. Comparedwith conventional petrol, the fuel fromthis raw material can cut greenhouse gasemissions by some 90 %.(Source: http://sugarcane.org/sugarcane-benefits/greenhouse-gas-reductions)on a cleantripUSABags with a messageIn 2012, 17 ista USA employees took partin the “Clean Air Campaign”, showing thatenvironmental protection can be as simpleas getting to work. After all, anyonewho works from home, car pools or bikesto work is helping the climate.The participants’ eco-friendly tripswere logged into the project websiteevery day and their home office dayswere logged as “clean trips”. The resultsare impressive: the ista employeesavoided 1.41 tonnes of harmful emissionsand saved USD 1,400 in fuel and mainte -nance costs.emerging marketsBrazil, China, Turkey,United ArabEmirates (UAE)standorte:Brazil: São Paulo, Rio de Janeirochina: Beijingturkey: Istanbul, Ankaraunited arab emirates (uae): Dubainumber of employees:Brazil: 23china: 46turkey: 26united arab emirates (uae): 16Fewer printers,less paperLuxembourgThe employees of ista Luxembourg havemoved into a new office building and comecloser together. They previously had officeson two storeys, now they are all on one. Thatis good for cooperation and the workingatmosphere.The number of printers was also reduced asa result of the move. Overall, there is nowless printing thanks to the improved workorganisation. What’s more, they have changedover to eFax, which also saves paper.TurkeyFor Yılbaşı, the Turkish New Year’s Day, istaTurkey presented its customers with smallgifts and packed them in paper bags madeof recycled material.The bags containednotepadsand pens, for example.However, themessage was inthe packing: “Wewanted to showour customerswith the recycled bags that we look afterthe environment and set a good example,”the General Manager Zafer Yavuztürk says.This was very important because recyclinghasn’t really caught on yet in Turkey. However,ista Turkey is tackling the subject ona much broader front.The national organisation has ISO14001 certification. Under this system, theemployees are required to keep their consumptionof resources as low as possible.The focus here is on water, petrol andelectricity.01 new heating: The Austrians consumeless gas02 turned off: The Spanish only use theair conditioning on hot days03 Business trips: The Belgians drive ina fuel-efficient manner04 at home: In the USA, home-office dayscount as “clean trips”05 new perspective: ista Turkey focuseson recycling06 For clean air: The Brazilian companycars run on ethanol07 directly to mobiles: The Norwegianssend bills by e-mail08 less wood: ista Belarus saves paper09 on one floor: ista Luxembourg comescloser together

02270103 04On the wayto paperlessmailEspen Karlsholmen:“Initially, we only sent a fewcustomers electronic documents.But demand is now sohigh that we want to introduceelectronic bills as the stan -dard solution.” More about istaNorway’s electronic mailon page 24.0506070809

28energy & resourcesworldwideista’s most important consumption figures –development and trends in a year-on-year comparison3,839-14.1 %heating energy in gigajoules2011: 27,140 / 2012: 23,3012,906electricity in gigajoules2011: 27,408 / 2012: 24,502-10.6 %2,945,417 -8.6 %water in litres2011: 34,282,965 / 2012: 31,337,5486,749Fuel (vehicle fleet) in gigajoules2011: 101,799 / 2012: 95,050-6.6 %The consumption data for 2012 include figures oflocations with rents billed as a lump sum which,just as in the 2011 report, have been uniformly extrapolatedto the individual types of consumptionelectricity, water and heating.Detailed information on these consumption figuresis contained in the tables starting on page 40.1,323co 2e emissions in tonnes*2011: 17,390 / 2012: 16,067*produced by heating energy, electricity,vehicle fleet, air travel and public transport-7.6 %+16.3 %17,061Paper (office consumption) in kilograms2011: 104,571 / 2012: 121,632

29MANAGEMENT Approachand progress tableOne component of the ista corporate strategy is to take ecologicalrequirements into account. The core objectiveof ista’s Group-wide environmental management systemis to reduce the consumption of energy and resources as well asCO 2 emissions at all ista locations. In this context, focus is placedon cutting the consumption of heating energy, electricity, water,paper, fuel and production materials. ista is also aiming to produceas little waste as possible. The environmental managementsystem is to be continuously expanded.Sustainability delegates at all locationsResponsibility for the environmental management system lieswith the Sustainability Council, which reports direct to the istamanagement. The Council is the contact for all sustainability questionsand supports the operational units in implementing suitablemeasures. The environmental consultant is the Council memberresponsible for ecological issues.Sustainability delegates are appointed at all locations tosupport the Council in the implementation of the sustainabilitystrategy in the countries. Using key environmental data, the environmentalconsultant and the Sustainability Council monitorprogress in this field.All employees are bound by the ista Environmental Guidelines.In addition to compliance with statutory requirements, theseGuidelines prescribe the responsible use of energy and resources.The employees are informed about ways to use energy and resourcesefficiently at information events, through internal mediaand training courses such as fuel-saving training programmes.Progress tableAims & fields of action Measures Status & goalsReduction in the consumption of resourcesIntroduction of energy-efficient light bulbs in Denmark, useof LED lights in Austria to reduce the consumption of electricity byup to 40 %Replacement of old heat allocation meters with modern radiodevices at several international locationsOrganisation of local fuel-saving training courses and competitionsas well as greater use of hybrid vehicles in BelgiumPartial changeover of the bills to electronic bills at ista Norwayas well as other national organisationsContinuousContinuousContinuousFrom 2012Reduction in CO 2 emissions Drafting of a company-wide CO 2 Compensation Guideline Implementationby the end of 2013Replacement of the existing German company car fleet withmore fuel-efficient reference modelsUsing ethanol in the Brazilian company car fleet, reduction ingreenhouse gas emissions by some 90 %ContinuousFrom mid-2012

shortage oFskilled young PeoPleIn 2050, there will be more people over 60 worldwidethan children and young people under 15.A challenge for companies even today: the shortageof skilled workers in many countries.

emPloyees & society 31Promoting diversityThe more diverse employeesin an international companyare, the more diverse the ideasare which they contribute tothe success of the company. istaoffers men and women equalcareer opportunities, taps thepotential of both young and olderemployees and employs peoplefrom more than 50 countries.ista is therefore also meetingthe challenges which the verydif ferent demographic developmentsin different regions willcreate for companies.

Employees & Society33AT OUR COMPANY EMPLOYEESCAN DEVELOP FURTHERThe demographic change is challenging international companies like ista: in order to find enough qualifiedyoung people in the future, companies will have to get applicants excited about the company itself. A systematicvocational and further training programme, flexible working time models as well as a comprehensive healthpromotion system make ista an attractive employer for men and women as well as for younger and olderworkers. Head of HR, Jana Eggerding, explains what ista pays special attention to in this context.Interview withJana EggerdingHow does ista attract qualified employees?We offer our employees many possibilitiesto develop further, both personally and professionally,thus increasing our attractivenessas an employer. We have internationalpromotion and development programmessuch as “JUMP”, our programme to advanceinternational up-and-coming young managers.The national organisations also offervarious further training schemes tailoredto local needs. On average, every employeespent 3.3 days, i. e. 26 hours, attending furthertraining courses in 2012. We also offerapprenticeships to avoid a shortage ofskilled workers: in 2012, we took on 142apprentices in Germany, which is 10.1 % ofthe workforce.What are you doing to advance women?Almost half of our employees are women,which is not necessarily normal in an ITdominatedcompany with many technicalemployees. It is particularly important tous for men and women to have equal jobopportunities and receive the same pay.Our employees can organise their workinghours flexibly almost everywhere; somework partly from home, others work parttime.That mainly benefits working mothersbut, of course, we also have fathers whomake use of these offers to reconcile workand family life better.How do you ensure that your employees arehealthy and well-balanced?All in all, our sickness rate has steadily fallenin recent years. On average, every employeewas absent on 7.8 days in 2011 whereas thefigure was only 7.5 days in 2012. The sicknessrate therefore dropped from 3.5 to3.3 %. In numerous countries, that is certainlyattributable to the wide spectrum ofhealth promotion measures, ranging fromvaccinations, advice on nutrition and sportsofferings to stress management trainingand health-oriented leadership. Our aimis to promote the health of our employeesand offer them a supporting environment,which ultimately also has a positive impacton the development of the sickness rate.How can your employees providefeedback and ideas?Our employees’ opinions are very importantto us. For example, the managementregularly invites employees to a “Get-together”and everyone is free to say what concernsthem. Staff appraisal and target agreementinterviews are held once a year. Themanagers not only give their staff feedbackon their individual performance and careerdevelopment but also place great emphasison feedback from the employees. In 2012,80 % of all employees had target agreementtalks and staff appraisal interviews wereheld with 81 %. What’s more, we questionthe employees every year in our global employeeopinion survey about their engagementand commitment to the company andimplement improvement measures on thebasis of the findings.Do the employees reward these effortswith particular loyalty?If you look at the average number of yearsof service, it is 8.6 years in our company.The actual staff turnover rate initially appearsto be high at 19.4 % but this figurealso includes employees going into retirementand expiring contracts. The staff turnoverrate is naturally high in the countrieswhich, for example, employ workers on afixed-term contract for the meter-readingperiods. The proportion of employees terminatingtheir contracts is only 5.4 %. Weare pleased that our employees stay so longwith us. But we consider it important tohave a healthy mixture of employees whohave served the company loyally for a longtime and new recruits.

34emPloyees & societyeXPeriment successFul –emPloyees teachGermanyHow does our body react to heat and cold?How much water does someone in Germanyuse every day? Primary school pupils inEssen investigated these and similar questions.In autumn 2012, employees fromista Germany organised several lessonson the subjects of water and heat at twoschools in social hotspots. “We wantedto get the children interested in environmentalprotection because the subject isnot generally discussed in their families,”says Anette Kreitel-Suciu, Head of HumanResources and initiator of the project. “Withsome simple tips, the pupils learned howthey can save water and energy. They thencolourful walls andbeaming smilesPolandFreshly painted walls, new furniture and alot of treats – the end of 2012 was a particularlyhappy time for the children ofthe orphanage in Bielsko-Biala. Just beforeChristmas, 88 employees from istaPoland came to visit. They renovated therooms, assembled new furniture, playedand laughed with the children, the youngestof whom was 5 and the oldest 16. “Thepassed on this knowledge to their parents.”ista deals with these environmental topicson a daily basis but it is by no meanseasy to prepare them in a child-appropriateform. So 20 employees had special trainingto become environment ambassadorsbefore visiting the schools. After all, youalso need teaching skills to present basicphysics to children in the 4th grade. And, ofcourse, lots of visual aids are also required.The pupils experimented in small groups,testing, for example, which materials conductheat particularly well and learninghow a mini wastewater treatment plant canbe built.“The children became real environmentaldetectives. And they were not theonly ones who learned lots of new things– so did I,” says Sandra Nobbe from HumanResources. She and the schoolchildrenlearned, for example, that someone in Germanyuses an average of 132 litres of watera day. By contrast, a person in Senegal has tomanaged with just 10 litres. The young environmentdetectives from Essen are nowmore careful about using water and heat.ista would now like to expand its involvementat schools in Essen.children chose the colours for the wallsthemselves and were absolutely delightedwith them,” says Tomasz Bazga, CountryManager of ista Poland. The highlight ofthe time they spent together was whenthe Christmas presents were handed out.An ista employee dressed up as SantaClaus and gave the children sweets.“With our campaign, we want to showthe children that we care about them,”Bazga says. That is why the ista employeesin Poland will continue to look afterthe orphanage in Bielsko-Biala – in 2013for the third time in succession.central euroPeGermany, Luxembourg,Austria, Switzerlandlocations:germany: Essen, Bonn, Dortmund, Münster,Frankfurt am Main, Nuremberg, Munich,Duisburg, Hamburg, Hanover, Rostock, Berlin,Potsdam, Dresden, Mannheim, Leipzig (2 x),Kassel, Karlsruhe, Stuttgart, Bremen, Würzburg,Gladbeck, Au in der Hallertau, Bielefeld, Erfurtluxembourg: Howaldaustria: Vienna, Dornbirn, Innsbruck, Grödig,Linz, Klagenfurt, Feldkirchen near Grazswitzerland: Zofingennumber of employees:germany: 1,269 luxembourg: 21austria: 105 switzerland: 29in case ofan accidentItalyEvery year, the ista employeesin Italy attend seminars whichcan save lives. For example,some of the employees went ona first-aid training course in2012. At the end of the course,the participants simulated accidentscenarios and practisedon a life-size doll the life-savingmethods they had learned.Other employees attended acourse on fire prevention regulationsor underwent generalsafety training. At the end of theseminar, the participants weregiven a CD-ROM containing theexpertise and techniques theyhad learned for coping with anemergency.

35clean drinking waterFranceClean water does not comestraight from the water tapeverywhere. Only aboutClean water does not come straight fromthe water tap everywhere. The supply ofdrinking water is a major problem, aboveall in Africa. For example, some 65 % ofthe rural population in Senegal does nothave any access to clean water and hygienicsanitary facilities. The people oftenhave to walk many kilometres to reach thenext well. To alleviate the water shortagein the Senegalese village of Djagoumel,ista France financed the construction of awell with an electric pump last year. Thelocal priest supported ista France with theorgani sation of the project.35%of the rural population in Senegalhas access to clean waterand hygienic sanitary facilities.the managersof the futureRomania15 master degree students gained an insightinto the organisational structures and internalworkflows at ista Romania. They were allowedto attend some regular meetings of the istatop management during the five months. Theaspiring managers are studying managementat the Polytechnic University of Bucharest. Thecooperation between the University and istaran under the motto‘Better practicefor futuremanagers – bettermanagers forthe future’training fortomorrow’s bossesUnited Arab Emirates (UAE)ista attaches particular importance topromoting qualified and committed employees.The company therefore offers acomprehensive vocational and furthertraining programme. One important module:“International LEADership Training”for middle management. Chona de losReyes, finance manager in the United ArabEmirates, took part in it last year. “I learnedhow important it is to set priorities,” the31-year-old says. The other 11 participantscame from other ista countries such asTurkey, China and Italy.In three-day workshops the participantslearned a lot about understandingthe role of a leader, the attainment ofmanagement objectives and communicationin crisis situations. “LEAD helped meto develop my interpersonal skills. You aremore successful if you know how to motivateyour team,” says Chona de los Reyes,who has been working for ista in Dubaifor more than three years.Since 2009, LEAD has been held onceor twice a year so that as many managersas possible can benefit from this experience.and was co-financed with EU funds. The declaredaim of the initiative was to introducenext-generation managers to the world ofwork while they were still studying for theirmasters. “We were very impressed by the greatcommitment of the participants,” says MarianSisu, Country Manager of ista Romania. “Wehope that we were able to help the developmentof these young people’s careers.”

36emPloyees & societyista during the day,university in the eveningRussiaAttentively absorbing knowledge in lecturesafter work, preparing papers late intothe night and learning for exams at weekends:over the last three years, that was dailyroutine for Irina Voronina. She works at istaRussia as the Country Manager’s assistant,coordinates the radio system of ista devicesand handles customs clearance. Alongsideher job she was studying engineering. Shewent to the university four times a week– three times in the evening and once atthe weekend. The 27-year-old obtained herdegree in 2012 with distinction. “I had tolearn a great deal but it was worthwhile. Ifrequently discussed the course contentwith my boss, Sergey Semenikhin, and wasoften allowed to leave early to get to the universityon time,” recalls Ms Voronina, whoalso completed a linguistic apprenticeshipbefore studying. Even though it was a challengingtime, she continues, she would doexactly the same again.01 sharing knowledge: ista Romania givesstudents from the Polytechnic Universityof Bucharest an insight into the world ofwork02 measuring their pulse: In Bulgaria, theworkforce is examined every two years03 Fresh coat of paint: Polish employeesredecorate orphanage04 trailblazing: The Danes walk to work fora bet05 Breathe in deeply: ista Switzerland offersstress management seminars06 work and university: ista Russia supportsevening studies07 donation for water: The French funded awell in Senegal08 cycling to work: The employees of istaUK can buy bicycles at a reduced price09 school subject – environment: ista Germanyteaches pupils how to save energycheck-upsBulgariathe gliwice24-hour racePolandThe ista subsidiary, iSS Poland, has beenorganising a marathon cycling race oncea year since 2009. Starting from Gliwice,the cyclists push themselves to the limit:they cover roughly 700 km in 24 hours.In 2012, more than 30 cyclists got ontotheir racing bikes and showed what longdistances you can cover just with musclepower. Employees from iSS Poland workedas volunteers to help the event runsmoothly and provided the participantswith food and drink.In addition, the company also sponsoredthe event, called “Kalorze 24”. “It’sgreat to see how cycling races have increasedin popularity over the years,” saysJoanna Lisciok, a billing clerk. “We areshowing what the bike can really do: itis an environmentally friendly means oftransport and an item of sports equipmentall in one.”Doctors examine ista Bulgaria’s employeesevery two years. In 2012, their eyes and heartswere checked and their blood pressure measured.In addition, experts examined the noiseand light levels in the office. The findings:everything in good working order!every step countsDenmark30 employees took part in the nationwide“Count your steps” campaign. They walkedto work for three whole weeks, thus gettingtheir daily ration of sport. And the competitivespirit was not forgotten, either: the stepswere counted with a step counter. The winningteam walked a total of 1,184,155 steps– that makes11,278steps per person every day.combating stressSwitzerlandThere are times when, on top ofeveryday work, projects pile upand everything just gets too much.This causes stress. The demandswe place on ourselves do the rest.After all, people who want to do agood job frequently put themselvesunder pressure. ista Switzerland offersstress management seminars toprevent stress-related illnesses suchas burnout syndrome occurring.In 2012, small groups of about 10participants learned to identifysymptoms at an early stage andcounteract them.In view of thepositive feedbackfrom the participants,the seminarsand coachingare also to beoffered again in2013.

02370103 04developingemployees bothpersonallyand professionallyChona de los Reyes:“LEAD helped me to develop myinterpersonal skills. You are moresuccessful if you know how tomotivate your team.” The financemanager of ista in the United ArabEmirates has completed the LEADfurther training programme –see page 35.0506070809

38emPloyees & society“it was worth every minute”United Kingdom (UK)Arek Marut works at ista UK as Head ofOperations. In 2011/12, he took part in theJUMP further training programme. Thisprogramme promotes the development ofinternational managers at ista. Arek MarutFor a good working atmosphereCzech Republicreports here on his experience: “Thanks tomy participation in the JUMP further trainingprogramme, I was able to extend myleadership skills and broaden my knowledgeof ista. The other six participants camefrom Germany, Poland and America.So I was not only able to enlarge mynetwork but also learn more about theworkflows at ista outside the UK. First ofall, I had the opportunity to attend a developmentcentre, which pinpointed mystrengths and weaknesses. After that, Itook part in training sessions every threeto four months which were exactly tailoredto suit my needs.I learned a huge amount, for exampleabout finance and leadership strategies,but also that work-life balance is importantto have a successful career. I investeda lot of time in the programme – but it wasworth every minute.”In 2012, ista Czech Republic achieved particularly good results in the regular employeeopinion survey “People Survey ista (PSI)”. 88 % of the employees surveyed stated thatthey were proud of their work. 85 % regarded ista as an attractive employer. ista CzechRepublic did a lot to ensure a relaxed working atmosphere last year. Staff cohesion wasstrengthened by pursuing joint activities. For example, the staff went on a cycling tourtogether or met up for wine-tasting.What’s also new is that some employees are allowed to work partly or entirelyfrom home. The home office above all offers parents the opportunity to reconcile workand family life more easily.north americaUSAlocations:usa: Alpharetta, Houstonnumber of employees:usa: 186Double savingsUnited Kingdom (UK): Underthe state-sponsored Cycleschemeprogramme, the employees ofista UK are saving up to 50 %of the price when they buy abicycle. The aim is to motivateemployees to keep fit. And anyonewho cycles to work on just twodays in the week also reduces hisCO 2 emissions by 114 kg a year,based on a distance of eight milesto work.ista is an attractiveemployer85%Proud of their work88%Work stops at 15:00 hrdue to the heatSpain: ista reacts flexibly to thesummer heat in Spain. The employeeswork a bit longer on theother days of the year so they canalready leave the office at 15:00 hrin the summer.

39management aPProachand Progress taBleMotivated and well-trained employees are crucial for boththe economic success of the company and the implementationof the corporate strategy. Therefore, istatakes its responsibility to its employees very seriously and supportsand develops them in many ways. Their aspirations and optimisationpotential within the company are determined in surveys andregular staff appraisal interviews.In order to meet the challenges of the demographic change,ista develops the potential of young and older employees alike.One important principle is also that men and women at alllocations have equal career opportunities. Flexible working timemodels such as flexitime or the possibility of working from homehelp, for example, mothers and fathers to better reconcile workand family.A health management system promotes the employees’ fitnessand health, for example with sports offerings and screeningprogrammes. These offerings are being continually adapted andextended. ista provides regular internal and external seminarsto improve its employees’ professional, methodological and personalskills. The employees are also given support in organisingworker representation bodies and representing their interests incollective bargaining negotiations.In addition, the company promotes the voluntary societalengagement of its employees in environmental protection andenvironmental education projects. Here, the employees gain newexperience and meet their colleagues in a different context tothe working environment. At the same time, they help to makethe individual ista locations an even more integral part of theirneighbourhood.In early 2013, ista’s two sponsoring programmes, “energy matters”and “ista gets involved”, will be merged into one new internationalcorporate volunteering programme. ista will continue tofinance the projects and give the employees time off work to conductcampaigns together.Progress tableaims & fields of action measures status & goalsMeasurement of employee satisfactionand implementation of the resultsFurther development of health managementin Germany to reduce the sickness rateContinuation of the international further trainingprogramme “JUMP” for high potentialsGreater emphasis on the internationalLEADership training coursePromotion of corporate volunteering andexpansion of Corporate Citizenship engagementPerformance of the employee opinion survey “People Survey ista” (PSI)Extensive employee programme for active stress management and healthcare through sports, massage and seminar offeringsSuccessful introduction of the “Healthy Leadership” management trainingcourse as well as local health checks with managers and works council membersOffer of an EAP (Employee Assistance Programme) for external employeecounsellingSuccessful completion of the first programme in 2012; start of the 2013programme with 12 international participantsHolding of the LEADership training course for middle managementMerging of the programmes “ista gets involved” and “energy matters” intoa new international corporate volunteering programmeFocusing of contents on the subject of environment and greater involvementof employees through the introduction of Corporate Volunteering DaysRegularly,next survey:1st quarter of 2014Continuous2012From 2013Early 2013Regularly every6 monthsEarly 2013Early 2013Development of a new international employerbranding strategy to enhance employee recruitmentand staff retentionNew international career website, new job vacancy advertisements From 2013Participation in HR awardsRegularlyin Germany and atiSS/Internationalexpansion planned

40Facts & Figureskey FiguresIn this section, ista presents the quantitative results which the company recorded in the 2012 reporting period.For this purpose, the relevant key figures are listed based on the definitions of the Global Reporting Initiative(GRI). Compared with the previous year, significant progress has been made with the performance indicators“Environment” (EN) and “Labour practices and decent work” (LA). This results from ista’s corporate engagement,its sustainable strategy and its effective management approach.23,3012012Heating energy (total)in gigajoules27,1402011Heating energy (total)in gigajoules* these key figures were subject to alimited assurance engagement bykPmg ag wirtschaftsprüfungsgesellschaft.** the previous year’s figures havebeen restated in the light of newinformation.

42Facts & FiguresEN 8 – Total water withdrawal by source2011 2011 2012 2012in litres in cubic metres in litres in cubic metresQuantity of water withdrawn***– of which well water (estimated)34,282,965 34,283 31,337,548* 31,338144,431 144 150,466 150*** ista obtains all its water from the public drinking water supply.Turkey is an exception: here, ista largely used well water in 2012. The consumption figures for this are based on an estimated extrapolation.EN 16 – Total direct and indirect greenhouse gas emissions by weightEN 17 – Other relevant indirect greenhouse gas emissions by weightdirect, indirect and other greenhouse gas emissions*** 2011 2012*in tonnes of CO2 equivalent… due to consumption of gas, heating oil, district heat and cold 1,894** 1,635… due to electricity consumption 3,865** 3,354… due to the fleet of company vehicles 8,655 8,082… due to rented vehicles**** 48 232… due to private vehicles**** - 306… due to air travel 2,869** 2,931… due to train journeys and public transport 107 66*** The CO2e emissions were calculated according to the conversion factors of DEPRA, IEA, the Bavarian State Officefor the Environment, the Institute for Housing and Environment, atmosfair as well as Deutsche Bahn.****Not comparable with the previous yearFuther indicators – facts and figures according to GRIen 5The energy saving of 13,494 GJ is calculatedfrom the difference in the electricity, heatingenergy and fuel (vehicle fleet) consumptionfigures. It is, however, not possible to exclusivelyrelate the reduction to environmentally friendlyuse and efficiency enhancement as improveddata collection and other external factors alsoplayed a role.en 25ista only discharges wastewater into public seweragesystems. There are no direct wastewaterpipes or surface runoff which could affect the biodiversityof water bodies and related habitats.en 28No significant fines or non-monetary sanctionswere imposed on ista as a result of non-compliancewith environmental laws and reg ulations.hr 9There were no incidents where rights of indigenouspeople were violated.so 7No legal action was taken against ista for anticompetitivebehaviour, anti-trust or monopolypractices and their outcomes.Pr 2ista has not registered any incidents of non-compliancewith regulations and voluntary codesconcerning health and safety impacts of productsand services.Pr 4No incidents of non-compliance with regulationsand voluntary codes concerning product and serviceinformation and labelling were discovered.Pr 7No incidents of non-compliance with regulationsand voluntary codes concerning marketing communications,including advertising, sales promotionand sponsorship occurred.Pr 8ista has not recorded any substantiated complaintsregarding breaches of customer privacy and lossesof customer data.Pr 9In the reporting period, there were no breachesof laws and regulations concerning the provisionand use of products and services. Therefore, nofines were incurred.

43LA 1 / LA 2 – Workforce structure and turnover rateAge distributionGender8843962,549Employment *** 4,227142ista D1,4184932,0222,171LegendLegendLegendunder 2636–50WomenFull-time employeesApprentices26–35over 50MenPart-time employeesEmployment contract ****Permanent contracts3,83281 %Employment contract ****Fixed-term contracts88819 %employees turnover*** turnover***Total Total %Notices of terminationby employees Total turnover rate*****regions 2011 2012 2011 2012 2011 2012 2011 2012in % in % in % in %Central Europe 1,421 1,424 153 109 2.7 3.1 10.5 7.7France 640 651 230 217 6.2 3.7 33.6 34.5North Europe 228 236 46 22 12.7 6.9 18.9 9.4West/East Europe 470 528 55 65 2.9 4.6 11.4 14.8USA 215 186 44 97 17.6 29.9 23.5 40.2South Europe/567 700 230 247 8.1 6.5 34.4 43.6Emerging Marketsista International 332 341 37 49 4.8 5.2 11.1 14.9iSS 641 654 60 58 1.8 1.8 9.4 9.6total 4,514 4,720 855 864 5.2 5.4 18.4 19.4*** In contrast to the prior-year report, the employee turnover rate for 2012 was calculated as the ratio of all employees who left the company in the reporting period to the total workforceat the start of the reporting period and not to the total workforce at the end of the reporting period. Based on the notices of termination served by employees and the company,the turnover rate worldwide amounted to 603 employees, i.e. 13.6 % (2012) and 562 employees, i.e. 12.1 % (2011). Including all other departures, for example, retirement, death, expiry offixed-term contracts etc., the total turnover rate worldwide amounted to 864 employees, i.e. roughly 19.4 % (2012) and 855 employees, i.e. 18.4 % (2011).**** ista does not employ any supervised workers. Apart from the difference between fixed-term and permanent contracts as well as full-time and part-time contracts,it is not possible to provide any further data for 2012 with regard to types of contract at ista due to the highly heterogeneous contract structures worldwide.***** incl. retirement, end of fixed-term contracts, notices of termination served by the company etc.

44basis of reportingThe ReportIn its sustainability report ista provides information once a year on its sustainable corporate governancein the areas of products and services, energy and resources as well as employees and society.This report for 2012 is the third sustainability report publishedby ista. This year, we have again taken the expectationsof our employees, customers, business partners andother stakeholders into account when selecting the report contents.In our reporting, we comply with the internationally recognisedG3.0 Guidelines of the Global Reporting Initiative (GRI).The GRI has set itself the objective of making corporate reportingworldwide more transparent and comparable. The reportingof ista International GmbH satisfies the Advanced ApplicationLevel B+. This has been examined and confirmed by the GRI. Youwill find the GRI Index on pages 48-50. It provides an overviewof which GRI indicators have been dealt with and where in thereport they can be found.This report is based on the key performance indicators of the2012 calendar year. While the demographic Human Resources figuresare recorded as at December 31, 2012, the key environmentalfigures are based on the average full-time equivalent (FTE). Thecopy deadline for this report was June 14, 2013. We have includedall fully consolidated companies in the data collected.As the procedures for recording key company figures and HRfigures as well as for billing energy consumption sometimes differin the individual countries, the quality of the data on whichthis report is based also varies. Whereas, on the one hand, somedata which have been recorded precisely are available, others arebased on estimates and extrapolations. In countries where precisedata are only available for some branches, we estimate the figuresfor the other branches on the basis of the FTE figures or squaremetres. The global ista average is used as a calculation basis forcountries without accurate recorded data. We are in the processof standardising the recording methods to guarantee improvedcomparability.The engineering office in Bangkok, which is part of the Productsdepartment of ista International GmbH, has been includedin the reporting for the first time. The Service Center in Bucharest(iSS Romania) was newly opened in 2012; on the other hand, theJacksonville site in the USA was closed. In 2012, the submeteringbusiness there was sold, which also led to a considerable reductionin the number of FTEs. Moreover, acquisitions were made inGermany and part of the company in France was sold. The RegionUSA/UK was dissolved in 2012. Since then, the USA has been aseparate region. The United Kingdom was allocated to the RegionNorth Europe. Romania was transferred from the Region SouthEurope/Emerging Markets to the Region West/East Europe.Owing to this restructuring, a direct comparison of the HRkey figures of 2012 with those of the previous year is not possible.In the comparisons explicitly made in this report, the originalfigures for 2011 have already been subsequently adjusted to takeaccount of the regional reorganisation and the acquisitions andsales made in 2012.To explain the energy consumption figures of all locations,average FTE figures are used as reference values in this report.The proportion of the data based on estimates and extrapolationsis 21 % for electricity consumption, 64 % for water consumptionand 45 % for heating energy consumption.Owing to the site-related collection of the data for 2012, someconsumption figures could also be subsequently calculated moreaccurately for 2011. In this report, the comparable figures wererecalculated, which is why they deviate from last year’s report.This procedure guarantees more correct figures and improvedcomparability.There are also differences as regards the headcounts betweenthe consolidated financial statements and this SustainabilityReport 2012. This results from a different definition of the headcount.Whereas, for example, student workers have been includedin the data available for the Sustainability Report, this was notthe case in the consolidated financial statements.The key financial figures reported relate to the consolidatedfinancial statements of ista International GmbH, which were publishedand can be examined in the Federal Gazette. When the keyenvironment and HR figures were recorded, the parent company,ista Luxemburg GmbH S.à.r.l., was also included alongside theGroup company, ista International.

Assurance statements45

46Assurance statementsIndependent assurancereport 1To the management of ista International GmbH, EssenWe were engaged to provide assurance on selected environmentalperformance information for the businessyear 2012, including the explanatory notes, publishedin the Sustainability Report 2012 (in the following “The Report”)of ista International GmbH, Essen (in the following “ista”).Management is responsible for the appropriateness of thedetermination and presentation of quantitative indicators onenvironmental performance information in accordance with thereporting criteria, including the identification of material issues.Our responsibility is to issue an assurance report on the selectedenvironmental performance information in The Report.Energy consumptionin kWhElectricity consumptionHeating energy (total)Heating energy I (gas)Heating energy II (oil)Heating energy III (district heating)Drinking water consumptionin litrein litre (incl. diesel, petrol and LPG)Fuel company carsFuel rented carsFuel private carsScopeOur assurance engagement was designed to provide limited assuranceon whether the following quantitative indicators on environmentalperformance information, including the explanatorynotes, are presented, in all material respects, in accordance withthe reporting criteria:Paper consumptionin kgOffice consumption (incl. recycled)Production paper (incl. recycled)Notepads (incl. recycled)Envelopes (incl. recycled)Marketing materials (incl. recycled)Greenhouse Gas emissionsin t CO2 equivalents… through heating energy consumption… through electricity consumption… through vehicle fleet… through rented cars… through private cars… through air travel… through rail and public transportProcedures performed to obtain a limited level of assurance areaimed at determining the plausibility of information and are lessextensive than those for a reasonable level of assurance.

47Reporting criteria and assurance standardsista applies the Sustainability Reporting Guidelines G3.0 of theGlobal Reporting Initiative, supported by internal guidelines, asdescribed in the section ‘The Report’, as reporting criteria.We conducted our engagement in accordance with the InternationalStandard on Assurance Engagements (ISAE) 3000: AssuranceEngagements other than Audits or Reviews of Historical FinancialInformation, issued by the International Auditing and AssuranceStandards Board. This Standard requires, amongst others, that theassurance team possesses the specific knowledge, skills and professionalcompetencies needed to provide assurance on sustainabilityinformation, and that they comply with the requirements of theCode of Ethics for Professional Accountants of the InternationalFederation of Accountants to ensure their independence.Work undertakenOur procedures included:· A risk analysis, including a media search, to identify relevantsustainability aspects for ista in the reporting period.· Evaluation of the design and implementation of the systemsand processes for the collection, processing and control of theenvironmental performance information, including the consolidationof the data.· Interviews with relevant staff at corporate level responsible forproviding the data, carrying out internal control proceduresand consolidating the data.1Translation of the assurance report, authoritative in German language.· Visits of the locations Essen (Germany) and Madrid (Spain) toassess local data collection and reporting processes as well asthe reliability of the reported data.· An analytical review of the data and trend explanations submittedby all locations for consolidation at corporate level.· An evaluation of the overall presentation of the selected environmentalperformance information, including the explanatorynotes, in the Report.ConclusionBased on the procedures performed, as described above, nothinghas come to our attention to indicate that the selected environmentalperformance information for the business year 2012, includingthe explanatory notes, in The Report is not prepared, in allmaterial respects, in accordance with the reporting criteria.Düsseldorf, June 14th, 2013KPMG AGWirtschaftsprüfungsgesellschaftFischerCertified Public Accountant(Wirtschaftsprüferin)ppa. Viehöver

48GRI IndexGRI IndexThis table provides an overview of all indicators which the Global Reporting Initiative (GRI) uses for thecertification of a sustainability report. The table shows which indicators ista complies with in its reporting.GRI Index (G3 Indicators) Level of Compliance Pages1. Vision And strategY1.1 CEO statement completely 2 f.1.2 Key impacts, risks and opportunities completely 2 f., 4 ff., 7 ff., 12 f.,15, 19, 29, 392. Organisational profile2.1 Name of the reporting organisation completely 42.2 Brands, products and/or services completely 4 ff.2.3 Operational structure completely 4 ff.2.4 Headquarter location completely 42.5 Countries in operation completely 4 ff.2.6 Nature of ownership completely 62.7 Markets completely 4 ff.2.8 Scale of the organisation completely 62.9 Significant changes during the reporting period completely 4 ff., 442.10 Awards received completely Cover, 83. Reporting parameters3.1 Reporting period completely 443.2 Date of the most recent previous report completely 443.3 Reporting cycle completely 443.4 Contact point for questions completely Cover3.5 Process for defining report content completely Cover, 2 f.,7 ff., 443.6 Boundary of the report completely 4 ff., 443.7 Limitations on the report’s scope completely 443.8 Joint ventures, subsidiaries, and outsourcing completely 4 ff., 443.9 Data measurement techniques completely 22 f., 28, 40 ff.3.10 Effects of information re-statement completely 40 ff.3.11 Changes from previous reports in the scope, boundary or measurement techniques completely 22 f., 40 ff.3.12 GRI Index completely 48 ff.3.13 External assurance completely 44 ff.

GRI Index (G3 Indicators) Level of Compliance Pages4. Governance, Commitments and Engagement4.1 Governance structure of the organisation completely 64.2 Indication whether chairperson is also executive officer completely 64.3 Independent members of the board completely 64.4 Mechanisms for recommendations of shareholders/employees to the board completely 7 ff., 334.5 Linkage between compensation of the highest governance body and the organisation’s performance completely 64.6 Mechanisms to avoid conflict of interest at board level completely 84.7 Qualification of the board in terms of sustainability issues completely 7 f.4.8 Mission statements, codes of conduct and principles completely 7 ff., 15, 19, 25 f.,29, 33 ff.4.9 Processes of the board to control the sustainability performance completely 2 f., 7 ff., 19, 29, 394.10 Processes for evaluating sustainability performance of the board completely 74.11 Precautionary approach principle completely 2 f., 4 ff., 7 ff.,19, 29, 394.12 External agreements, principles or initiatives completely Cover, 2 f., 8 f., 12 f.,15, 194.13 Memberships in associations and advocacy organisations completely Cover, 8 f.4.14 Stakeholder groups completely 8 f.4.15 Selection of stakeholder groups completely 8 f.4.16 Inclusion of stakeholder groups completely 7 ff., 16, 33 ff.4.17 Questions and concerns raised by stakeholders completely 8 f.5. Performance IndicatorsEconomy – Management approach partially 19EC 1 Direct economic value generated and distributed partially 4, 6EC 2 Financial implications due to climate change completely 2 f., 9, 11 ff.EC 3 Benefit plan obligations not at allEC 4 Financial assistance from the government not at allEC 5 Entry level wage compared to local minimum wage not at allEC 6 Local selection of suppliers completely 15EC 7 Local hiring for senior management positions not at allEC 8 Infrastructure investment and services for public benefit not at allEC 9 Indirect economic impacts not at allEnvironment – Management approach partially 29EN 1 Weight/Volume of materials used partially 22 ff., 28, 41EN 2 Percentage of materials used that are recycled input materials completely 22 f., 26, 41EN 3 Direct primary energy consumption completely 22 f., 25, 28, 41EN 4 Indirect primary energy consumption completely 24, 28, 41EN 5 Energy conservation partially 12 f., 22 f., 25 f., 42EN 6 Initiatives for energy-efficiency and renewable energy not at allEN 7 Initiatives for reducing the indirect energy consumption partially 12 f., 22 f., 25 f.EN 8 Total water withdrawal by source completely 14, 28, 42EN 9 Effect of water withdrawal not at allEN 10 Recycled and re-used water not at allEN 11 Land assets in or bordering protected areas not at allEN 12 Impacts on biodiversity not at allEN 13 Protected or restored natural habitats not at allEN 14 Strategies for protecting biodiversity not at allEN 15 Endangered species not at allEN 16 Direct and indirect greenhouse gas emissions completely 22 ff., 42EN 17 Other relevant greenhouse gas emissions completely 22 f., 25 f., 28, 42EN 18 Initiatives to reduce greenhouse gas emissions partially 12 f., 22 f., 26, 28 f.EN 19 Emissions of ozone-depleting substances not at allEN 20 NO X, SO Xand other air emissions by weight not at all

GRI Index (G3 Indicators) Level of Compliance PagesEN 21 Wastewater discharge not at allEN 22 Waste by type and disposal method not at allEN 23 Total number and volume of significant spills not at allEN 24 Hazardous waste according to the Basel Convention not at allEN 25 Effects of wastewater on biodiversity completely 42EN 26 Initiatives for minimising impact on the environment not at allEN 27 Percentage of products sold and their packaging materials that are reclaimed not at allEN 28 Sanctions for non-compliance with environmental regulations completely 42EN 29 Impact of transport partially 22 f., 25 f.EN 30 Expenditure on environmental protection not at allLabour Practices and Decent Work – Management approach partially 39LA 1 Workforce by employment type and region completely 4, 6, 43LA 2 Employee turnover by age group, gender and region partially 33, 39LA 3 Benefits for full-time employees not at allLA 4 Employees with collective bargaining agreements not at allLA 5 Minimum notice periods for significant operational changes not at allLA 6 Employees represented in labour protection committees not at allLA 7 Rates of injury, day absences from work and work-related fatalities partially 33LA 8 Education and training on serious diseases not at allLA 9 Health and safety agreements with trade unions not at allLA 10 Education and training of employees partially 33LA 11 Programmes for lifelong learning not at allLA 12 Performance reviews and development planning of employees completely 33LA 13 Composition of governance bodies and employees not at allLA 14 Remuneration by gender and employee category partially 33Human Rights – Management approach partially 19HR 1 Investment agreements with clauses or screening regarding human rights not at allHR 2 Percentage of suppliers that have undergone screening on human rights and actions taken completely 15HR 3 Training on human rights not at allHR 4 Incidents of discrimination and actions taken completely 8HR 5 Freedom of association and collective bargaining completely 9HR 6 Child labour completely 8, 15, 19HR 7 Forced labour completely 8, 15, 19HR 8 Training for security personnel not at allHR 9 Violation of rights of indigenous peoples completely 42Society – Management approach partially 19SO 1 Mitigation of impacts of operations on communities not at allSO 2 Corruption risks: percentage/number of business units analysed not at allSO 3 Anti-corruption training: percentage of employees trained completely 8SO 4 Corruption cases and actions taken against corruption not at allSO 5 Positions and participations in public policy development and lobbying completely 2 f., 7 ff., 12 f., 18 f.SO 6 Contributions to parties and politicians not at allSO 7 Legal actions for anti-competitive behaviour completely 42SO 8 Sanctions for non-compliance with laws and regulations not at allProduct Responsibility – Management approach completely 19PR 1 Life cycle stages in which health and safety impacts of products are assessed not at allPR 2 Non-compliance with health standards completely 42PR 3 Principles/processes for product identification not at allPR 4 Non-compliance with product information standards completely 42PR 5 Customer satisfaction completely 8 f., 16PR 6 Programmes for adherence to laws and voluntary codes relating to advertising completely 9PR 7 Non-compliance with marketing standards completely 42PR 8 Infringement of customer data protection completely 42PR 9 Sanctions for non-compliance with product and services requirements completely 42

MembershipsAwards** New membership in 2013ContactJulia SchwedesGrugaplatz 2, 45131 EssenPhone 0049 201 459-3282Fax 0049 201 459-4282julia.schwedes@ista.comImprintPublisherista International GmbH, Grugaplatz 2, 45131 EssenPhone 0049 201 459-7160www.ista.com, sustainability@ista.comEditorial staffJulia SchwedesfischerAppelt, relations GmbHConcept and designfischerAppelt, relations GmbHPhotographyhenning:photographie, fischerAppelt, Oliver WegnerPhoto creditsista International GmbH, iStockphoto LP,laif Agentur für Photos & Reportagen GmbH, Fotolia,Getty Images, Masterfile Deutschland GmbH,Panthermedia, Plainpicture GmbH, Shotshop GmbH,photocase.com: HeidiJaquet, stb247© ista International GmbH, 2013,Printed on CircleoffsetPremium White, FSC recycledfrom 100 % used paper

ista International GmbHGrugaplatz 245131 Essen, GermanyPhone 0049 201 459-7160www.ista.comsustainability@ista.com