35 slides from Stora Enso Oyj Class A's sustainability presentation, Oct 20, 2021
Slide 1: Stora Enso ESG Investor presentation Q3 2021
Stora Enso ESG Investor presentation Q3 2021 20 October 2021
Slide 2: Disclaimer
Disclaimer It should be noted that certain statements herein which are not historical facts, including, without limitation those regarding expectations for market growth and developments; expectations for growth and profitability; and statements preceded by “believes”, “expects”, “anticipates”, “for
Slide 3: A dual challenge
• Needed: a balancing act of global wellbeing of the planet and A dual challenge people • Stora Enso can – and will – provide solutions that contribute to this balance • We need to consider what the world needs and focus our resources and innovation on what makes the biggest difference 3 20 October
Slide 4: We are a solution for consumers' new demands
We are a solution for consumers’ new demands Everything that’s made with fossil-based materials today can be made from a tree tomorrow Sustainable development is at the heart of our business strategy 4 20 October 2021 Stora Enso ESG investor presentation
Slide 5: Our sustainability approach
Our sustainability approach TRANSFORMATION TO THE REGENERATIVE MATERIALS SYSTEM Biodiversity Climate change Circularity OUR FOUNDATION IS IN RESPONSIBLE BUSINESS PRACTICES Environmental Social responsibility responsibility 5 20 October 2021 Stora Enso ESG investor presentation
Slide 6: Ambitious goal to offer 100% regenerative solutions by 2050
Stora Enso sets ambitious goal to offer 100% regenerative solutions by 2050 • Stora Enso fully supports the European Commission’s climate goals - EU’s Green Deal is an opportunity to transition to a low- carbon society • Sustainably managed forests and renewable, circular products are part of the so
Slide 7: Climate change
Climate change THE RENEWABLE MATERIALS COMPANY
Slide 8: Stora Enso's annual estimated climate impact
Stora Enso’s annual estimated climate impact Our forests Our products Our value Our products substitute Climate impact3 remove carbon1 store carbon chain emissions2 fossil-based products, saving −1.5 million tonnes of CO2 −2.6 million tonnes of CO2e +10.5 million tonnes of CO2e −17.9 million tonnes
Slide 9: Climate change – new targets to reduce CO2 emissions by 50%
Climate change – new targets to reduce CO2 emissions by 50% • Stora Enso has an ambitious science-based targets to reduce its greenhouse gas (GHG) emissions • Our target is to reduce absolute scope 1 and 2* greenhouse gas (GHG) emissions from operations by 50% by 2030 from the 2019 base- year, in li
Slide 10: Group CO2 emissions down by 14% in Q3 2021
Group CO2 emissions down by 14% in Q3 2021 compared to the new 2019 base-year • New ambitious targets for our operations • Targets in line with 1.5-degree scenario • In Q3 2021, our greenhouse gas emissions (scope 1 and 2) were 14% lower compared to the 2019 base year Q3 2021 Interim Report 10 20 Oc
Slide 11: Our products have a lower carbon footprint
Our products have a lower carbon footprint Carbon footprint CO2 emissions PureFiber™ has Fibre-based of lignin is of a CLT-frame 75% lower CO2 beverage carton around 80% building are 75% footprint has 45% lower ” lower than the lower compared compared to CO2 emissions carbon footprint to a concrete
Slide 12: Biodiversity
Biodiversity THE RENEWABLE MATERIALS COMPANY
Slide 13: Biodiversity – committed to achieve net-positive impact
Biodiversity – committed to achieve net- positive impact on biodiversity • Stora Enso commits to achieving a net-positive impact on biodiversity in its own forests and plantations by 2050 through active biodiversity management • A set of actions towards 2030 has been developed and initiated to impro
Slide 14: Sustainable forestry operations
Sustainable forestry operations 100% 87% of our wood comes from comes from sustainable managed semi- sources natural forests 98% 78% of lands owned proportion of and managed by third-party us are covered certified wood in by certification wood supply Sustainable forestry operations helps safeguard f
Slide 15: Biodiversity management practices in Northern forests
Biodiversity management practices in Northern forests Decaying wood High stumps Retention trees Forest structure Decaying wood During harvesting, Provide continuum of Variation in forest structure provides an important we make artificial decaying wood for forest helps to maintain species habitat for
Slide 16: Biodiversity management practices in tree plantations
Biodiversity management practices in tree plantations Beekeeping Mosaic landscape Protection of improve local Plantations are designed to protect valuable ecosystems livelihoods, help valuable ecosystems and established Restoration Monitoring of such as remaining natural protecting the only on degra
Slide 17: We use indicators at landscapes, habitats and species level
We use indicators at landscapes, habitats and species level Landscape level: Cohesive green Habitat level: A variation of different habitats Species level: The occurrence and abundance infrastructures are needed to support with relevant structures are required for a thriving of species reflects biod
Slide 18: Group forest assets fair value on par with previous quarter at 7.4 BEUR
Group forest assets fair value on par with the previous quarter at 7.4 BEUR Group forest assets fair value Stora Enso productive forest land areas at end of 2020 BEUR 7.4 7.4 Swedish forests* Tornator (41%) 1 140 000 ha Finland, Estonia & Romania 269 000 ha Veracel (50%) Guangxi, China Brazil 47 000
Slide 19: Circularity
Circularity THE RENEWABLE MATERIALS COMPANY
Slide 20: New circularity target
New circularity target • Our target is to achieve 100% recyclable products by 2030 • Flagship projects will help drive recycling at scale − This involves engagement along our value chain to help achieve additional recycling infrastructure and new circular business models. • Our circularity target ou
Slide 21: Significantly contributing to circular economy
Significantly contributing to circular economy Circular design Zero waste Circular products Renewable New circular raw business materials models Extending value Sustainable end of life 21 20 October 2021 Stora Enso ESG investor presentation
Slide 22: Stora Enso and Tetra Pak triple beverage carton recycling capacity in Poland
Stora Enso and Tetra Pak triple the beverage carton recycling capacity in Poland Used beverage cartons are a valuable raw material and an attractive fiber source • Stora Enso and Tetra Pak joined forces to increase recycling of used beverage carton (UBC) in Poland from 25k to 75k tonnes per year in
Slide 23: Circular Solutions – constantly innovating with our partners and customers
Circular Solutions – constantly innovating with our partners and customers 23 20 October 2021 Stora Enso ESG investor presentation
Slide 24: Responsible business practices
Responsible business practices
Slide 25: Our business impacts people
Our business impacts people The Stora Our Human Rights Policy Enso Code & Guidelines >100 000 >20 000 Supplier Code of Conduct forest owners suppliers Supplier assessments and audits communities 23 000 >10 000 employees customers Speak Up Hotline Business Practice Policy Community consultations Safe
Slide 26: Committed to ensure healthy and safe workplace
Committed to ensure healthy and safe workplace Total recordable incident rates (TRI) 2016-2020 • The health and safety of Stora Enso’s employees is a key priority • Goal is to provide an accident free and inclusive workplace • TRI rate in Q3 2021 was 7.1 (6.3) • Covid-19 did not cause any production
Slide 27: Improved Supplier Code of Conduct ratio in Q3 2021
Improved Supplier Code of Conduct ratio in Q3 2021 • We ensure that our suppliers are committed to high sustainability standards • Stora Enso has a rigorous supplier approval process − 96% of our supplier spend is covered by signed Supplier code of conduct, SCoC (Q3 2021) − SCoC was updated in 2020
Slide 28: Community investment – engaging with numerous local communities
Community investment – engaging with numerous local communities around the world • Our operations are often in rural communities that form an important stakeholder group • We strive to maximise our positive contribution through investments in − Capacity building, local sourcing, nature conservation,
Slide 29: Water – using natural resources with care
Water – using natural resources with care • Water availability is a global challenge and plays a central role in our production − We constantly strive to reduce its use • Almost 97% of the water we withdraw from nature is released back to the environment − We ensure the water is purified and safe −
Slide 30: Stora Enso as tax payer
Stora Enso as tax payer • Stora Enso’s operations generate value through taxes for governments around the world • In 2020, Stora Enso paid again app. EUR 1 billion into public sectors, including EUR 611 million in collected taxes • Stora Enso aims to be transparent with respect to economic value gen
Slide 31: Sustainability in our funding and reporting
Sustainability in our funding and reporting Revolving Credit Facility Green Bond Framework Green Bonds with a green aspect Pricing incudes sustainability A loan-format to support EUR 1 506 million component based on ability sustainability-focused fixed total amount of Stora to reduce greenhouse gas
Slide 32: MSCI ESG rating upgrade
MSCI ESG rating upgrade • Stora Enso was granted a AAA (AA) rating in the most recent MSCI ESG ratings assessment 32 20 October 2021 Stora Enso ESG investor presentation
Slide 33: Invitation – learn more about biodiversity
Invitation – learn more about biodiversity Biodiversity teach in for investors and analysts on Wednesday 3 November 2021 at 15:00 (EEST) Register: storaenso.com/en/investors 33 20 October 2021 Stora Enso ESG investor presentation
Slide 34: The Renewable Materials Company
THE RENEWABLE MATERIALS COMPANY
Slide 35: More information in Stora Enso's Investor kit
More information in Stora Enso’s Investor kit https://www.storaenso.com/en/investors • Strategy • Businesses • Capacities • Markets • Financial performance • Cost structure • Capex • Dividend policy • Ownership structure • Management • Most recent quarterly results 35 20 October 2021 Stora Enso ESG