Alpkit Sustainability Report 2021

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Immutable Law of Great Product

People and Planet Before Profit

Now is a very exciting time to be a designer. The best time ever. We have an appreciation of the consequences of our actions like no other generation. Design is circular. Technologies and production methods are evolving at an incredible pace.

A landmark moment is to join the B Corp movement. We are independently assessed against the highest standards of social and environmental performance, transparency and accountability. Our score is class leading against both an all-business average and our peer group which is a huge achievement for our first assessment.

In 2021 we will:

B Corp is the real deal. We’re the only bike brand in Europe to be a Certified B Corp and only the second bike brand in the world. We are amongst a handful of technical outdoor brands – the most well known being Patagonia - and we are delighted to join their ranks.

• Restart our School Of Adventure events program for a more accessible and inclusive outdoors with a range of open courses to build outdoor skills and confidence.

The immutable law of great product is unchanged.

Function The gear you love the most, the gear you use year-in year-out is ultimately the best for the planet. That’s our design philosophy. Make durable gear that will last, that you’ll take out and make treasurable moments. Gear you’ll love for longer.

World Class Makers We work with the world’s best factories and use the latest production methods and techniques. We are highly selective and partner with factories that share our ethos and standards. We visit them personally and look out for each other. When the pandemic hit we worked through issues together and cancelled no orders.

Performance materials

Function + Performance materials + Intelligent design + World class makers = Great gear you’ll love for longer

Great products are made from great materials. We excel at finding lower impact fabrics and materials that are the right tool for the job from valley floor to mountain top. Our design team works directly with the world’s best mills and component brands. So we can bring you innovative fabrics quicker than any other brand.

Leave No Trace is our mantra in the outdoors. And be gentle is our belief as a business with our global footprint. This year we have shown how we put people and planet before profit. We:

Intelligent Design Our designers work directly with our customers, our stores, organisations such as Mountain Rescue and outdoor education providers. We’re enthusiasts. Product is in our DNA.

• Pivoted Alpkit Foundation to directly support food projects in lockdown. Alpkit Foundation has now awarded £300,000 to 900 projects involving over 15,000 people. • Increased our pay rates for all, in the midst of lockdown, and become formally recognised as a living wage foundation employer. • Reduced our carbon intensity and offset Scope 1 and 2 greenhouse gases to be carbon neutral.

Because we are so fast to market and buy in small batches, we innovate fast. Make it better is our mantra.

• Catch up, when we can travel again, on our program of personal environmental reviews at our mills and factories including deeper life cycle analysis.

• Relaunch our team adventure training and face-to-face training programs to develop our careers We don’t have all the answers, we know we’re not perfect. And we know we only exist because you choose to buy from us. Great businesses combine innovative products, fair prices, exceptional service with responsibility. We have faith that our small steps and fundamental belief in nature will help us build a truly sustainable business.

David Hanney Chief Exec

Gear You’ll Love For Longer All our gear has a clear purpose, a technical benefit and as much cross-over use as possible. That way you need fewer products in your wardrobe. Our range is smaller, our lead times are faster and as we only sell direct, our price-tags are friendlier. Our gear works harder and costs less.

People and Planet Before Profit

Karen’s Journey to Finance Director I joined Alpkit 4 years ago as financial controller and became the finance director last summer and what an exciting 4 years it has been. In this time period we’ve more than doubled our top line orders, opened 4 stores, implemented new IT systems, grown our international sales and expanded our finance and HR teams. It’s been a busy few years! I’ve had the opportunity to build and develop the finance and HR functions as the business has grown and work closely with the other departments within the company. The range of what we do from online retailing, our physical stores, to our UK manufacturing base, annual Big Shakeout Festival, and our Alpkit Foundation charity mean there are a huge range of finance skills required for my role. One of the challenges is the ability to work at a high level of granularity, whilst also being able to step back and see the bigger picture, in order to contribute effectively to strategic decision making. As well as the on-the-job experience, which has included being involved in raising finance to fund our growth and being part of our hugely successful Crowdcube

investment fundraise, I’ve also benefitted from our leadership development programme and worked closely with the directors, founders and leadership team, all of whom I have learnt a lot from over the years. Also as the mother of two young children, the flexibility and support I have been given has allowed me to progress in my career whilst ensuring I have a work life balance that is sustainable. Being part of the Alpkit family over the last 4 years has been truly special to me. We’re building a company that we can be extremely proud of, which stays true to it’s founding principles, and has our sustainability values embedded in everything that we do day to day.

Beth Pearce, Alpkit HR Manager: “The passion, determination and resilience of our team has been put to the test during recent months, but for us a company is more than a legal entity. It’s the people we hang out with, the people we interact with and the culture we have created.”

Sustainability Principles

2021 Sustainability Report Reduce Reuse Repair Recycle

Work with people we believe in

Respect our environment

Build a better business

Treat Animals Humanely

Give Back

alpkit.com


Build a better business

Alpkit team Employees (FTE)

Reduce Reuse Repair Recycle

64

58 52

48 31

We are responsible and fair in the way we run our business and are investing in the UK.

12

Became a certified B Corp and a Living Wage Foundation employer Increased diversity in our ownership and welcomed staff and shareholders as owners Improved the diversity of our Board Offered life skills training to all our team

This year we will Progess our goal to encourage a more diverse and inclusive workforce Build on our team training, volunteer days and charity giving scheme

B Corp People and Planet Before Profit. As a certified B Corp we are committed to using business as a force for good. We measure our social and environmental performance according to an independent 3rd party standard. We chose B Corp for its high standards, rigour and integrity. We compare ourselves to an all-business average and also the score of our peer group including Patagonia, Body Shop, Cotopaxi, Kathmandu, Finisterre, Picture Organic Clothing, Allbirds and World of Books.

Alpkit Average Peers Governance 18 6 15 Workers 26 18 20 Community 32 17 30 Environment 16 7 23 Customers 4 - 2 B Corp Score 95 55 90

2015

2016

2017

% Board identify as women % Senior Team identify as women % workforce women % non-white British Gender Pay Gap Highest to lowest pay Staff turnover Living Wage pay rate Annual pay enhancement above national minimum Average Age

We seek to minimise the harm of our gear without compromise to performance or quality.

What we achieved this year We track our carbon footprint and offset all Scope 1 and 2 emissions. All waterproofs have been developed to be PFC-Free

2019 2019 0% 50% 44% 7% 0.5% <6 15% £8.85 £1,300pa 34

2020 Target 40% 50% 50% 8% -% <6 <10%

Carbon Intensity Scope 1 & 2 per $m sales

2020 2019 6.1 8.3

Electricty (Kwh ‘000) % renewable Gas (Kwh ‘000) Water (m3) Alpkit Van (‘000 Litres) Business Travel (km 000) Air Travel (km 000)

172 97% 38 419 5 56 58

Product shipped (cbm) % airfreight inbound % airfreight outbound

848 637 4.8% 9.3% 6.7% n/a

Greenhouse Gas Scope 1 Direct (tons) Scope 2 Energy Indirect (tons)

16.5 43

193 97% 42 422 7 30 n/a

19.1 51

Implement a formal Environmental Management System Collaborate with all our tier one suppliers and develop joint environmental plans

(* 100% PFC-Free from 2021 Spring/Summer Season on)

2019 SS

2019 AW

2020 SS

orders now plastic-free packaging

2020 YTD

8.3

6.1

2019

2020

We support ordinary people doing extraordinary things to make the world a better place. We’ve helped over 900 projects with £300,000 given to education, environment, diversity, mental health and participation projects. That’s over 15,000 people helped altogether.

We use goose and duck down in our clothing and sleeping bags and only use recycled or RDS certified down.

This year we will

It’s humbling to see the effect that this has. The Alpkit Foundation is a thank you from us to all our customers as we know we would not be here without you.

Double our range of clothing products made with recycled content All sites to be zero landfill Develop further our life cycle reviews Trial plastic-free shipping from factory to Alpkit

Apply or donate at alpkit.com/foundation

Partnerships Participation Mental Health & Wellbeing Environmental Education DOFE / Forest Schools Diversity Coronavirus

Giving Time On A Bike

Work with people we believe in

Who What Where Country

Alpkit Factory Sonder and Equipmen Newthorpe, Nottingham UK

Who What Where Country

We work with the best factories in the world. And only work with factories where we share an ethos. Our senior team (CEO, MD, Head of Design, Head of Buying or Sonder Product Manager) know our factories personally and we regularly spend time with them to personally review conditions. This year we will work closer still and develop joint environmental plans with all our tier one factories and mills.

Who What Where Country

Madison Sonder Stanmore UK

Who What Where Country

Taraniss International Clothing Xiamen China

Who What Where Country

KC Manufacturing Clothing Kwai Chung, N.T., Hong Kong, China

100% 87%

5%

2018 AW

We use merino wool and lambswool in clothing and only use non-mulesed wool. We use goat skin leather in some of our gloves. We prohibit the use of exotic animal skins in our products.

Carbon intensity (CO2e tonnes per USD million sales)

Reduced by 40% to just 5% since 2018

Good for the mind, the body and soul. Yep, getting outdoors and being in beautiful places really is amazing. Everyone should have that chance too. Alpkit Foundation is the charity that helps people get outside. Overcoming obstacles to Go Nice Places Do Good Things.

Who What Where Country

Shanghai Solarwool Clothing Shanghai China

Who What Where Country

Himalaya Camping Jiangsu China

Who What Where Country

Eaglesight Co Sleeping Bags Dalian China

Who What Where Country

J Adams & Associates Clothing Taipei Taiwan

Who What Where Country

Topfound Fabric Mill Taipei Taiwan

Tier one reviewed in last 18 months

Signed to our Code of Conduct

Last year with the help of the Alpkit Foundation Two’s Company arranged two joyful, liberating days out tandem riding for 16 visually-impaired and disabled people, completely free of charge. The young riders enjoyed their trip to Grimsbury Farm to visit the animals, and a more challenging route to Bitton on the River Avon trail.

Read more about the people and projects that Alpkit Foundation have supported at: Facebook.com/alpkitfoundation Alpkit.com/foundation

“It was a long ride for his first ride – but he was happy, relaxed, and had a wonderful time. I can see that he will gain confidence and social skills from going on the rides, and they are also great exercise” – Chris’s dad “These rides gave the young ‘back riders’ the chance to get out and exercise in nature as part of a friendly group, with the rides helping them feel happier, healthier and more connected to their communities, and they love it!”

Wuhan Dawn Clothing Wuhan China

“I think he enjoys the rides as it makes him independent. He is doing something on his own, but with security.” Mary, Tom’s carer These joyous rides can also help the mum or dad of these children, who may be lacking a proper support network to help them or their child:

Our carbon footprint

Air Freight Volume

Give Back

We use animal products responsibly: where there is performance benefit rather than aesthetic. When we use animal products we use the most humane farming methods available to us. tonnes of old kit found a new home with the Continuum Projects

Over 2000 repairs Found a new home for 3 tonnes of gear Increased use of recycled fabrics and materials in our products Zero to landfill at our main sites Established a life cycle review project Increased plastic-free orders to 98%

% PFC-Free Clothing (*) 100% 82% % organic or BCI cotton in clothing 100% 89% % recyclable content in packaging 92% 90%

This year we will

2018 SS

2018

2020 25% 40% 43% 7% 0.9% <6 13% £9.30 £1,200pa 35

Respect our environment

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0%

2020 AKtivism

What we’re proud of

2014

repairs in 2020

Treat Animals Humanely

The future of design is circular. Our design ethos is simple: to make gear you’ll love for longer and to bake reuse, repair and recycle into our design process.

20

What we achieved this year

Over

Who What Where Country

Sram Sonder Taichung City Taiwan

Who What Where Country

Alfton Bikes Sonder Tainan Taiwan

Who What Where Country

Sheico Wetsuits Wujie Township Taiwan

“You wouldn’t recognise him from the person he was when he started! Dropping Nathan off for a full day is amazing because it gives me respite. I’m a full time carer - this is just so rare for me. My family isn’t in this country, so it’s hard…” – Nathan’s mum

100% 100%

“My daughter has learning disabilities. The tandem rides are the only way she can manage cycling as she doesn’t have the mental capacity to make the quick decisions that cycling requires. She always looks forward to it and it’s nice to see her pink cheeks when she gets home. She is very happy being part of the group” – Annie’s mum

Signed up to Ethical Trading Initiative Base Code

UK Outsourced Staff paid Living Wage Foundation pay

JANUARY

FEBRUARY

MARCH

APRIL

MAY

JUNE

JULY

AUGUST

SEPTEMBER

OCTOBER

NOVEMBER

DECEMBER

Staff Volunteer Days and Giving Scheme introduced. We match fund all staff charity giving and give our team 3 additional days of paid leave to volunteer for local charities.

Our first comprehensive sustainability report and recognised as the first UK outdoor brand to do so.

Pivoted Alpkit Foundation to support Covid projects. We ran a funding campaign with our customers that raised over £5,000 in one weekend.

We worked with all our suppliers to find a way through the economic consequences. No cancellations of any of our orders.

Supplier code of conduct approved and signed up by all our tier one suppliers. Published our diversity, equality and inclusion policy.

Increased diversity in our ownership be inviting customers and staff to become shareholders alongside our founders.

Increased our basic pay and became a Living Wage Foundation employer. Staff sustainability training delivered to all our team. Calculated our carbon footprint with annual offset of Scope 1 and 2 emissions to net zero.

Accredited B Corp undertaking the most rigorous testing with a class leading score of 95.

Our most sustainable range of clothing of Autumn Winter. All new waterproof jackets PFC-free.

Released the Kanyo insulated jacket made from 100% recycled materials.

Alpkit Foundation achieves £300,000 donations to more than 900 projects. Continuum Project campaign for sleeping bags takes donations for the year to 2.25 tonnes.

Maddy Turley joins our Board as non-exec director. Alpkit signs up to Race At Work charter. Alpkit won Online Retailer Of The Year in TGO Magazine annual awards.

Alpkit Factory made NHS scrubs for Sheffield hospitals as part of scrub hub and some of our furloughed team volunteered for local community projects.


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