Welcome to LANXESS Annual Report 2012!

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Corporate responsibility

In our business activities we are committed to taking account of the demands of economics, ecology and society in equal measure. With our products and our expertise in the area of sustainable development we can make a significant contribution to supporting our customers, protecting the environment and improving the quality of life of people everywhere. All our corporate responsibility activities must be linked to our core business or to our available expertise.

We consider compliance with laws and ethical principles to be the basis for sustainable corporate governance. The “Code for Legal Compliance and Corporate Responsibility at LANXESS,” which is applicable throughout the Group, specifies minimum standards and gives our employees advice and guidance on complying with these standards. Our compliance management system was audited by Deloitte & Touche GmbH in 2012.

We have been supporting the Responsible Care® initiative since 2006, when we became a signatory to the Global Charter initiated by the International Council of Chemical Associations (ICCA). We are also committed to the established principles of the world’s largest corporate social responsibility initiative, the U.N. Global Compact. Since we signed up in 2011, we have continued to raise our sustainability profile.

Integrated management system

Our globally integrated management system provides the necessary Group-wide structures to ensure responsible commercial practices. In addition to internal directives and operating procedures, strict quality and environmental standards in line with ISO 9001 and ISO 14001 apply worldwide. External, independent experts regularly audit the progress of system integration at new sites and the performance of our management system worldwide. Confirmation of our compliance with ISO 9001 and ISO 14001 takes the form of a global matrix certificate. In 2012, we successfully completed the recertification audit, which must take place every three years.

As of April 28, 2012, our matrix certificate covered 41 companies with 79 sites in 22 countries. At the end of 2012, the site we acquired from DSM in Geleen, Netherlands, our facilities in Liyang, China, the headquarters of the Butyl Rubber business unit in Singapore and the sites assigned to Rhein Chemie that were acquired from Darmex in Burzaco and Merlo, Argentina, and Colonia, Uruguay, were included in the certificate. For our sites in the United States, we have also received certification to RC 14001 (RC = Responsible Care®).

In 2010, we began implementing an energy management system based on ISO 50001. The LANXESS Energy Management Directive that came into force in February 2012 defines the standards to be applied in our global operations. We successfully completed implementation of the energy management system in the German production units at the end of 2012. The first LANXESS production facility to be certified to ISO 50001 was IAB Ionenaustauscher GmbH in Bitterfeld.

Environment data

We have developed a proprietary electronic system for the systematic global recording of key performance indicators (KPIs) in the areas of safety and environmental protection. Data for all indicators except the LTIFR are gathered only at those production sites in which the company has a holding of more than 50%. In the year under review, PricewaterhouseCoopers AG Wirtschaftsprüfungsgesellschaft assessed our data recording processes and system in the course of a business audit. Most of our HSE indicators for 2012 were audited with a view to achieving a “limited assurance” rating.

Product stewardship

We expressly support the protection goals of the European chemicals regulation REACH. During the first REACH registration phase that ended on November 30, 2010, we prepared dossiers for 193 substances that we produce in or import to the European Union in volumes exceeding 1,000 tons annually and submitted these to the European Chemicals Agency (ECHA). In the second phase through to the end of May 2013, we will be registering around 200 substances with volumes exceeding 100 tons. Lastly, all substances with volumes exceeding one ton must be registered by the third deadline at the end of May 2018. We expect to submit a total of some 750 substance dossiers over all three phases.

Social commitment

Our not-for-profit activities focus on providing support for science education in schools. In 2008, we launched the extensive LANXESS education initiative that underscores our clear commitment to Germany as a business location and as a base for the chemical industry. Over the past five years, we have invested around €4 million in this initiative. LANXESS has also initiated projects focusing particularly on the promotion of science education at almost all its sites across the globe.

Service

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