PACKAGING WORLD We live in a world of

PACKAGING WORLD We live in a world of packed products. Economy = is a complex structure. Packaging establishes a relation: Importance of packaging Mainly as an agent of values’ transmission.

PACKAGING WORLD “Packaging can be used as a powerful tool for companies to promote the change of individual thoughts”.

THE MISSION OF PACKAGING Growing demands on corporate responsibility related to sustainability. Packaging important mean of relationship company society / consumer. Packaging not only suitable, convenient, competitive but also that communicates companies’ values.

SUSTAINABLE INNOVATIONS A NEW WAY TO MAKE NEW THINGS Innovation was important for competitiveness. New company’s goals: Economical + Social + Environmental Sustainability demands: "a new way of doing new things. "

SUSTAINABLE INNOVATIONS Thinking about Sustainability = value chain transform it into cyclical processes. Need of suppliers aligned to sustainability’s goal.

WINNING WITH OUR CUSTOMERS Retailers have sustainability goals. Since the product development, Baumgarten helps to create more sustainable products. Need a value chain to reach them. Baumgarten contributes to sustainable and cyclic value chain.

OUR SUSTAINABILITY PROGRAM

SUSTAINABILTY PROGRAM S

VIVA PILLARS Main objective individuals’ welfare. ECOMOMICAL SOCIAL ENVIRONMENTAL

SUSTAINABILITY COMMITTEE Works as advisor to the company’s directors; Responsible for recommendations on issues related to sustainability; Establishes the company’s sustainability policy; Representatives of different company’s areas; No hierarchy; No decision power; Monitors sustainability index based on the three pillars.

COMMITTEE’S OPERATIONAL DIAGRAM Comitee Culture Dissemination Strategy and Capacitation Iniciatives and Events Process Maping Continuous Improvement

VIVA LAUNCH October 2010

CREATING A BETTER FUTURE • GRI Methodology: _ Launch of the first report in March 2012. • Implementation of a Baumgarten Sustainability Index: _Monitoring index defined on the 3 pillars. _First index March 2012 with GRI report.

INDEX 2011 Recyclable waste Welfare Non recyclable waste Education GHG emmission Training Water cosumption

BAUMGARTEN SUSTAINABILITY INDEX

CREATING A BETTER FUTURE • UN Global Compact _ 10 universally accepted principles of UN Human rights, labour, environment and anti-corruption. _ Signatory since April 2011

CREATING A BETTER FUTURE • Sedex Members: _ Suppler Ethical Data Exchange _ Since 2009 _ Auditing in August 2011

CREATING A BETTER FUTURE • CDP Members: _Carbon Disclosure Project _Since 2010

CREATING A BETTER FUTURE • Reef Project: _ Resource and Energy Efficiency Network. _ Partnership with Stuttgart University. _ Energy efficiency project. _ Kick off January 2011.

CREATING A BETTER FUTURE • Relationship with community _ Sponsorships: * Education: _ Santa na Escola _ Study books for Machado de Assis (2011) * Books: _ History of Fritz Müller _ Collonization of Blumenau / history of Blumenauer Zeitung * Music: _“SC in Concert” in Blumenau (last one in July 2011) * Arts: _ artists on our institutional calendars (3 years already) _ Art Exhibitions (last one in May 2011 – Élio Hahnemann)

CREATING A BETTER FUTURE Next challenges: Strengthen the internal sustainability culture; Achieve targets defined for 2011 index; Issue GRI report and Baumgarten’s sustainability Index; Create an efficient communication process (to employees and to the market); Create an Eco-Design process / increase water based inks use; Liner recycling and increase; Insert sustainability in our Value Chain.

SUSTAINABLE GROWTH A sustainable brand is a more desirable brand. And we're just beginning this journey. We know it's an ongoing process and we will improve it, increasing the scope of our project. Our goals and our future challenges are the guides to our progress toward sustainable growth.

SUSTAINABLE GROWTH We will succeed only if we get to inspire people to adopt small daily practices, which together perform powerful differences.