Sustainability Report 2022 - Highlights

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For People &

Sustainability Highlights 1
Planet Sustainability Report 2022 – Highlights
Fredericia 2 Sustainability Highlights 1 An important step in the right direction – Application of B Impact Assessment Joining the sustainability movement – United Nations Global Compact United Nations’ Sustainable Development Goals Reaching carbon neutrality ahead of time Environmental product certifications The environmental impact of our products Handpicking and prioritising European suppliers Continuing the legacy with local production Safety and well-being of our employees Waste management and upcycling Sustainability Report 2022 – Highlights 1 2 3 4 5 6 7 8 9 10

Honouring a history of purposeful design

Encouraging customers to conscious consumption has been at the core of Fredericia’s company ethics ever since we began in 1911. Our goal is to create furniture that becomes more beautiful with age, intended to be passed on from generation to generation. These core values are rooted in our sense of responsibility and our use of natural materials, our ethical methods of production and our respect for the people using our furniture every day. Crafted to last.

We continuously work to improve our sustainability performance, and by setting realistic targets for future achievements, we ensure continued progress and development. The following will briefly introduce our dedicated work with sustainability and how we provide transparency, refine procedures and improve circularity.

The full report can be read at www.fredericia.com/sustainability.

Mission

Key initiatives

∙ Development of Environmental Product Declarations GreenGuard Gold certification of Swoon collection and Ditzel Lounge Chair

∙ Collaboration with SPOOR ISO 14001 Certification Application to B Lab Member of the United Nations Global Compact and Global Compact Network Denmark

Targets for 2023–2025

Become B Corp certified Aim for 100% of our wood-based models sold to carry the FSC® label by 2025

∙ Receive environmental certification for 75% of our products purchased by 2025

∙ Increase to 95% of the suppliers who have signed our Code of Conduct by 2025

Targets by 2035

Be carbon

1 An important step in the right direction – Application of B Impact Assessment

We are proud to have submitted our B Impact Assessment

evaluation and validation, the first step of becoming a Certified B Corporation. The B Corp Certification is holistic, not exclusively

on a single social or environmental issue. A B Corporation must meet high standards of

and environmental performance, accountability, and transparency. Only companies which can obtain 80 points or above in the B Impact Assessment can submit their application. The B

Assessment is divided into five stakeholder-focused “Impact areas”: Governance, Worker, Community, Environment, and Customers. These areas are followed up with topics related to our company’s day-to-day operations and overall business model. Achieving and maintaining the

is rigorous and requires engaging teams and departments across the company. Continuous improvement is a natural part of our strategy for sustainable growth and how we handle our business processes. This fits perfectly with the verification process conducted every three years to become recertified.

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neutral in our facilities and operations
1 2 3 Fredericia for People & Planet Certifications & documentation within Sustainability Traceability & transparency Product Life Cycle approach Our
Fredericia creates Scandinavian design that encourages human well-being wherever people live, work or relax. We strive to continue our heritage of purposeful and sustainable design. Crafted to last.
for
focused
social
Impact
certification

2 Joining the sustainability movement – United Nations Global Compact

This year, Fredericia has been accepted as a United Nations Global Compact member. The vision of this strategic initiative is to mobilise a worldwide movement of sustainable companies and stakeholders to help create a better world for the future. This is done by aligning strategies and operations with the Ten Principles on human rights, labour, environment, and anti-corruption. Furthermore, the companies take strategic actions to advance broader societal goals, such as the UN Sustainable Development Goals.

By being a member of the UN Global Compact, we are committed to implementing its fundamental principles into our strategy, culture, and day-to-day operations and to engage in collaborative projects advancing the broader development goals of the UN, particularly Sustainable Development Goals.

3 United Nations’ Sustainable Development Goals

Fredericia supports the UN’s Global Goals for Sustainable Development which address some of the biggest challenges we are facing in the world today.

RESPONSIBLE CONSUMPTION AND PRODUCTION

SDG target 12.2

Company action: Gain valuable knowledge by implementing Life Cycle Assessments and Environmental Product Declarations throughout the assortment. Minimise material footprint by applying sustainable product development principles by focusing on a circular approach.

SDG target 12.5

Company action: Increase the use of recycled material and enable circularity of furniture to extend the longevity of our products. Environmental management is standardised through ISO 14001 certification and increasing focus on waste material handling. Furthermore, we are currently considering expanding our warranty period on products.

SDG target 12.6

Company action: Launch of a sustainability report.

CLIMATE ACTION

SDG target 13

Company action: Initiating a calculation of total greenhouse gas emissions per year covering scope 1, 2, and 3.

LIFE ON LAND

SDG target 15.2

Company action:

We, as a company, and many of our wooden furniture and packaging material, are FSCcertified.

4 Reaching carbon neutrality ahead of time

According to the UN Paris Agreement ”Climate Neutral Now Initiative”, all EU countries must reduce emissions by at least 55% by 2030 and be completely carbon neutral by 2050. At Fredericia, we want to meet these ambitions even sooner and be 100% carbon neutral in 2035.

5 Environmental product certifications

Multiple product environmental certifications are implemented throughout the assortment. Product-specific certifications, such as EU Ecolabel, Greenguard Gold, FSC etc., are applied to many products and 32% of our sold models in 2021 carried an environmental certification or consisted of components having an environmental certificate.

All wood comes from responsibly managed forests. We only use wood sources compliant with EUTR or FSC-certified wood on selected products to ensure this. In 2021, 56% of our sold models carried the FSC Mix label; in 2025, all wood-based models must be minimum FSC mix certified.

Fredericia leathers are from European cattle, and comprehensive traceability is available through collaboration with SPOOR. Our leather is Blaue Engel Certified, or 100% vegetable tanned. More than 75% of our standard leathers have environmental certification.

We only select responsible textile suppliers, and all fabrics must be EU Ecolabel, ECO-tex, Master of Linen, or compatible. More than 80% of our standard fabrics have environmental certification.

In 2022, we introduced the testing method ANSI/Bifma X5.4-2020, an American National Standard For Office Furnishings - Public and Lounge Seating evaluating the safety, durability and structural adequacy. A selected number of products will be tested based on this standard.

6 The environmental impact of our products

As part of our sustainability strategy, we have initiated environmental product declarations on our core assortment developed in compliance with ISO 14021, self-declared environmental claims.

The Life Cycle Assessments calculations are based on a tool provided by the Danish company, Målbar, where valuable knowledge is gained through the single metric, CO2e. CO2e combines everything in one number and attempts to convert the warming impact of different greenhouse gases into one metric. The global warming potential of each gas is used to convert the various gases into equivalent amounts of CO2, subsequently describing its total warming impact over a set period relative to CO2. The valuable knowledge affects the selection of materials, techniques, and future production locations. By 2022, Fredericia has set a target of launching EPDs on 10% of the core assortment, and EPDs on the remaining assortment will follow.

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In the phase of developing new products or re-engineering existing products, we follow the listed principles:

Timeless design

∙ Long material lifetime

Crafted to last

Easy disassembly of products to increase circularity and ease repair of broken parts

Increase the use of recycled materials

Replacement of harmful substances with less harmful

7 Handpicking and prioritising European suppliers

We are proud to cooperate with some of the best suppliers in the industry. Through our ongoing implementation of a 360-degree sustainable supplier selection and Code of Conduct, we ensure that our suppliers meet our conditions, such as human rights and environmental standards. The Code of Conduct is the foundation of a trustworthy partnership between our suppliers and us. We mainly purchase semi-finished and finished products from Scandinavian and European suppliers to ensure the high quality of our products and minimise transportation throughout the entire product life cycle.

8 Continuing the legacy with local production and collaboration

We are proud to honour our history of local expertise, and still have local production facilities for selected designs both in Fredericia and in Svendborg, employing some of the best craftsmen in furniture production and upholstering while taking in students and trainees adding to our development and innovation. Contributing to the local community is essential to Fredericia. A protective workshop is placed close to our facility in Fredericia, facilitating a protected environment for citizens in the local community needing extra support in their daily life. We have developed a respectful relationship throughout the years of collaboration as we believe it both contributes to the local community and adds high value to us as a company.

9 Safety and well-being of our employees

Our employees are essential to us, and the ones in our operation are of high value, as they lay the last hand on the furniture in our production or quality department. The high-quality and long-lasting products are based on their craftsmanship and know-how.

While keeping our employees safe and well, it is vital to enable everyone to grow within the company and for us to represent diversity in the workforce, both regarding age and gender, ensuring the strengths within all groups and creating a work atmosphere based on knowledge sharing and mutual respect. Long-term relationships with our employees, clients, suppliers, and designers are highly prioritised as a family-owned company.

We do not tolerate violence, threats, racist utterances, bullying, harassment, or sexual harassment during or outside working hours. We want everyone to feel safe when going to work, so in 2021 we established a whistleblower scheme by EU Directive 2019/1937, a solution for anonymous reporting of potentially unethical behaviour in our operations.

10 Waste management and upcycling

How we handle our waste has a high focus in operation at all facilities. Therefore, we are also ISO14001 certified. Our products’ material is highly valued at cost and as a resource. We work systematically to ensure a reduction in waste by eliminating overconsumption of material and utilising waste most pleasingly. Textile and leather waste material is collected and sorted separately, ensuring that the waste material can be donated, used for smaller products, or sold to other companies. This prolongs the life of the materials so that it does not end up as unrecyclable waste.

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