2012 ENVIRONMENTAL REPORT 1

Transcription

1 ENVIRONMENTAL REPORT

2 AIR Oxygen, nitrogen, and argon. A mixture of gases that make up the Earth s atmosphere. Essential for life on the planet. 2

3 A Letter From The management Overview 2012 grifols Environmental performance Report Outline Activity / 10 / Consumption of raw materials / 29 / Scope / 56 / Economic dimension / 13 / Energy consumption / 33 / Data analysis / 57 / Social dimension / 18 / Water consumption / 38 / Environmental dimension / 21/ Wastewater / 41 / Emissions / 43 / Waste / 48 / Biodiversity / 52 / Environmental incidents, accidents and emergency situations / 54 / 3

4 A LETTER FROM THE MANAGEMENT Dear Reader, I am pleased to present the ninth edition of the Grifols Environmental Report, a report that details the organization s environmental performance in the context of its activity throughout the year. This document serves as a complement to information published by the organization in various periodic reports, as well as its web page and other official documents has been the first complete year since joining forces with the former Talecris. The merger has enabled the acquisition of important synergies in the optimization and adaptability of our production processes. The FDA and EMA have authorized the use of intermediate products at various plants. Specializing, as well as diversifying, in this way allows us to be more efficient in our manufacturing processes, from an economic and environmental perspective. After two years of putting the Environmental Program in place, there has been a significant increase in the achievement of goals set out in the program. The general increase in manufacturing output for the year 2012 has, to a small degree, had an effect on the organization s environmental performance, thus demonstrating the effect of some of the actions implemented. The end of 2012 saw the new ethanol rectification facilities at the Los Angeles (CA) plant practically completed and awaiting approval. Work also began on the extension of facilities in Barcelona, in order to increase capacity for ethanol recovery, which currently stands at 50% of the total consumed. In addition, the new fractionation facilities in Barcelona, which are scheduled to go into operation in 2014, have been designed by Grifols Engineering, using the Best Available Techniques. 4

5 Also significant is the achievement of all of the actions set out in the strategic action energy plan for The impact of these measures, implemented on new projects, will become apparent as production continues to increase at these new facilities. Total CO2 emissions, including direct and indirect fuel consumption, decreased by 3.7%, in absolute values, and by 15.4%, in relative values. Grifols took part in the Carbon Disclosure Project (CDP), an international initiative for the analysis of climate-change information for investors, which assesses an organization s efforts to keep emissions down, as well as its management of risk and the opportunities that climate change presents for each company. In 2012, Grifols was given the highest score in the healthcare and health sector in the CDP Iberia 125 report. Where waste management is concerned, it should be noted that 46.5% of waste generated during the year has been recovered. Thanks to the combined efforts of all our employees, we will continue to keep waste to a minimum and we will work on increasing the levels of recycling and material and energy recovery. Also, at the Barcelona plant, a CO2 neutralization system has been installed to treat wastewater, this being a safer and more eco-efficient technology than that used previously. The organic growth of Grifols, over the last few years, and its ranking as the third biggest manufacturer of hemoderivative medical products in the world, make the measures set out in the environmental program all the more vital. All knowledge acquired, to date, by our engineers and other managers, will enable us to be more eco-efficient at the new facilities and in our production processes, thus ensuring continuous improvement in our company s environmental performance. Juan Ignacio Twose President Global Industrial Division Grifols, S.A. 5

6 SUMMARY OF THE PRINCIPAL INDICATORS 2012 ECONOMIC DIMENSION Revenue Development 814 millions of euros 913 millions of euros 990 millions of euros 1,795 millions of euros ,620 millions of euros Distribution of revenue by region Distribution of sales by division Distribution by economic value created 63% North America 21% Europe 16% Rest of the world Bioscience Hospital Diagnostic Raw Materials 23.5% Suppliers of raw materials 23.1% Staff costs 18.5% Other costs 4.8% Research and development 5.1% Corporate tax 10.3% Financial costs 4.9% Depreciation and provisions 9.8% Reserves 88.7% 2,325.1 millions of euros Bioscience 2,620.9 millions of euros 6

7 SUMMARY OF THE PRINCIPAL INDICATORS 2012 Social dimension Notable facts Training Development of average equivalent staff North America Spain Rest of the world 5.8 million liters of plasma collected 40,035 courses ,505 people 3,066 North America 2,139 Spain 300 Rest of the world DG Gel cards growth driver International marketing through commercial and distribution agreements R&D 330,771 hours ,984 people 3,323 North America 2,344 Spain 317 Rest of the world 5,968 people 3,184 North America 2,375 Spain 409 Rest of the world 11,230 people 8,342 North America 2,390 Spain 498 Rest of the world 11,108 people 8,125 North America 2,474 Spain 509 Rest of the world Strategy for Alzheimer s research Albumin in hepatology Antithrombin in heart surgery Biological fibrin sealant 1,153 patent certificates and 332 requests that are in the final stages of approval 7

8 SUMMARY OF THE PRINCIPAL INDICATORS 2012 Environmental dimension Expenditure and investments Emissions 218,494 metric tons of CO2e 10,241,695 euros Environmental expenditure 6,234,281 euros Environmental investment CO2e emissions by region Energy, water, and waste / absolute value / 80.7% North America Bioscience Diagnostic Hospital Millions of kwh of electricity % Europe 1.3% Rest of the world Millions of kwh of natural gas m 3 of water 1,992,206 17, ,919 CO2e emissions by scope Metric tons of waste 39, % of waste valorization Wastewater 70% of water consumption COD emitted: 946 metric tons 38% 47.4% 14.6% 8

9 9 grifols

10 ACTIVITY A global organization with a presence in the healthcare industry since 1940, working towards better health and well-being for all by developing plasma-protein therapies, medical-diagnosis technology, and specialized pharmaceuticals for use in hospitals. 42% red blood cells 8% platelets blood 50% plasma 90% water distribution of proteins in plasma 24% various 7% proteins 60% albumin 15% IVIG 3% others 1% coagulation factors In 2012, Grifols became the third largest producer of plasma-based medications in the world, operating in over 100 countries, and with 92% of its turnover being generated internationally. Grifols activities are divided into three divisions: Bioscience. Bringing together everything to do with research, development, production, and the marketing of high-quality hemoderivatives (purified plasma proteins) for therapeutic use. Plasma, which mainly consists of water and proteins, forms the basis of hemoderivatives such as intravenous immunoglobulin (IVIG), Factor VIII, albumin, Alpha-1 Antitrypsin, and other hyperimmune immunoglobulins, essential for treating diseases that are related to a lack of these proteins. The complete process of manufacturing hemoderivatives, which is subject to strict quality control and security checks, begins in the company s 150 donation centers in the United States, where plasma is obtained using the plasmapheresis technique. The plasma is then fractionated at plants in Barcelona, North Carolina, and Los Angeles, by means of a process that enables separation of the different proteins. Then, once purification has taken place, it is measured into dosages, in sterile conditions, and marketed. Diagnostic. This division is dedicated to research into the development, manufacturing, and marketing of in vitro diagnostic products, such as those used for testing blood or compatibility prior to a transfusion. This also includes the range of instruments and reagents used in the specialized areas of immunology and hemostasis, all of which are mainly used by hospital blood banks, transfusion centers, and immunohematology laboratories. The division s specialist areas include transfusion medicine, with products such as the gel card reagent (DG Gel ) or WaDiana and Erytra automated analyzers, hemostasis, with the Q hemostasis analyzer, and immunology, with the Triturus analyzer. Hospital. This division specializes in non-biological pharmaceutical products and healthcare supplies for use in hospital pharmacies. These include fluid therapy (intravenous-therapy solutions and systems for its preparation), clinical nutrition (diets and special formulae for parenteral nutrition, be it intravenously, enterally, orally or nasogastrically), medical devices and the very latest in supplies for different hospital services, and hospital logistics (technological systems and applications designed to automate processes such as the dispensation of medications). 10

11 ACTIVITY Corporate map Grifols has an industrial presence in Spain (Barcelona and Murcia), United States (Clayton, NC, and Los Angeles), Mexico, Switzerland, and Australia. Grifols Biologicals Grifols Mexico Grifols Laboratories Grifols Laboratories Gri-Cel 150 donation centers Grifols Therapeutics Grifols Therapeutics Medion Grifols Diagnostics AG Grifols Institute / Biomat Grifols Laboratories Grifols Australia Grifols Laboratories / Diagnostic Grifols Industrial Area: Bioscience Diagnostic Hospital Commercial Area: Main headquarters: Academies: 11

12 ACTIVITY Significant Facts Work begins on the expansion of the Torres de Cotillas plant, in Murcia, where intravenous drips are manufactured. A new plasma-testing laboratory is opened in San Marcos, Texas, and three new donation centers are acquired in the United States. Participation in the ownership of VCN Biosciences and Araclon Biotech, through Gri-Cel, an investment company created to promote research. Launch of strategy for research into Alzheimer s, with an integrated perspective, including the AM- BAR study and the discovery of a new protein with diagnostic value. A new publication, Perspectives in Transfusion Medicine, and involvement in the second European edition of the Transfusion Science Educational Course. R&D rated excellent by Plan Profarma, a program that seeks to promote work that brings an added value to the pharmaceutical sector. Positive development at the various stages relating to the acquisition of authorization to market new products or operate in new markets. Awarded the highest score in the healthcare industry in Iberia 125 report by Carbon Disclosure Project (CDP). The report covers Spain and Portugal, and Grifols was given a score of 88 out of

13 ECONOMIC DIMENSION The organic growth of the organization, over the year, driven by an increase in unit sales in all divisions, was boosted by an increase in invoicing in new geographical territories. 85.3% of the economic value generated was distributed amongst the organization s stakeholders. Profits for the year have been completely earmarked for reserves, and no dividends have been distributed amongst shareholders, as agreed in the General Shareholders Meeting. Grifols is listed on the Ibex-35 and also on the American Stock Exchange through ADRs. The Annual Corporate Governance Report details the extent to which recommendations for good governance have been adhered to, in accordance with the Spanish standard, the Conthe Code. Similarly, in the United States, in some circumstances, NASDAQ regulation allows for the practice of corporate governance in the country of origin, with annual reports documenting which NASDAQ corporate criteria have been adhered to and which have not. Important growth in international sales, especially in the United States Continuous improvement in margins and profit Improved financing terms Distribution of economic value generated 23.5% Suppliers raw materials 23.1% Staff costs 4.8% Research and development 18.5% Other distribution, general, and administrative costs 5.1% Corporation tax 10.3% Financing expenses 4.9% Depreciation and provisions 9.8% Reserves The performance of capital investments 2,620.9 millions of euros 13

14 ECONOMIC DIMENSION HOW THE DIVISIONS HAVE DEVELOPED The various divisions have developed in a positive fashion and go from strength to strength. The Bioscience Division has increased its turnover by 51.8% in reported values, with 95% of its sales in international markets, and outstanding growth in the United States. The introduction of new products and therapeutic treatments using certain plasma proteins are important contributing factors to this growth. During 2012, the network of donation centers collected a total of 5.8 million liters of plasma. Also of note is the starting up of operations at the plasma-testing laboratory in San Marcos, together with the implementation of additional security measures at various locations. Earnings in the Diagnostic Division have increased by 14.5% and activity has remained constant within the different specializations. 80% of sales come from international markets, particularly emerging markets, such as Mexico, Turkey, China, and Brazil, and these have been driven by the DG Gel cards for determining blood group. Mention should also be made of the services provided to Spanish blood banks in the matter of transfusion security, which, at present, includes nine new regions that have implemented systems, and agreements such as that reached with the Shanghai Blood Bank. Turnover in the Hospital Division has been practically consistent, having suffered as a result of exposure to the Spanish market and austerity measures imposed in the field of healthcare. Trade structure in Spain has been re-configured, in order to address the current situation. The increased manufacture of pharmaceutical products for third parties, has contributed to the geographical diversification of the division and more effective use of the Barcelona facilities. Particularly important, in 2012, was the international marketing and launch of the new version of the BlisPack system, with increased manufacturing capacity. The Raw Materials Division includes sales of intermediate biological products and plasma to third parties, royalty earnings, and work carried out for third parties by Grifols Engineering. Distribution of sales by division / millions of euros / Bioscience Diagnostic Hospital Raw Materials 2, % / 5.1% / 3.7% / 2.5% 14

15 ECONOMIC DIMENSION PRODUCTS AND SERVICES In the field of healthcare-product development, the relevant regulatory bodies the Food and Drug Administration (FDA) in the United States and the Agencia Española del Medicamento (AEM) in Spain are responsible for carrying out inspections and for authorizing every new phase, product, and production line. The rules of good manufacturing practice for pharmaceuticals (GMP) form the main benchmark, along with established management systems (based on ISO 9001, ISO 13485, ISO 14001, and OHSAS standards). In addition, the Plasma Protein Therapeutics Association (PPTA) determines quality standards through the QSEAL (Quality Standards of Excellence, Assurance and Leadership) and the IQPP (International Quality Plasma Program), which Grifols has adopted voluntarily in the Bioscience Division. In this respect, in 2012: The Bioscience Division s new antithrombin production plant in Clayton, North Carolina, was awarded FDA approval. The Diagnostic Division in Barcelona passed the FDA s inspection of its installations, procedures, and quality-control systems for its gel reagents with flying colors. This inspection is preliminary to the marketing of DG Gel in the United States, as approval for marketing has already been awarded by the Canadian authorities. Finally, the AEM has approved pre-diluted potassium solutions in different formats, and the Hospital Division s plant in Barcelona has passed its FDA inspection with flying colors. The division s plant in Murcia has FDA and CE accreditation for the manufacture of healthcare products, AEMA accreditation for the manufacture of medications, and is authorized by the Spanish Ministry of Health. 15

16 ECONOMIC DIMENSION Application of criteria for ecodesign and eco-efficiency Research and development of new products and processes. Design of manufacturing machinery and in vitro diagnostic equipment. Design of engineering projects. Incorporation of ecoefficiency criteria into new industrial and office buildings. Identifying environmental aspects, during the initial stages of product design, ensures optimum management from the earliest stages of development. In this respect, Erytra, an automated piece of equipment with a high processing capacity for performing pre-transfusion compatibility tests, belonging to the Diagnostic Division, has shown itself to be outstanding. Its eco-design features include: Dematerialization: the equipment has been re-designed to fit on a European pallet and to weigh less, which optimizes its transportation. Functional analysis: including new functions that, previously, that had been carried out by other equipment, thus permitting the reduction of environmental effects brought about by its consumption. Recycled materials: part of the outer packaging is made using recycled paper, and wood the inner and outer packaging are recyclable and re-usable. Durability: the life of the critical components has been checked in order to optimize their duration and recommend a maintenance policy that can extend their useful life. Energy intensity: it doesn t use batteries, but instead uses a high-performance switched-mode power supply, which minimizes energy consumption. Local suppliers: its heavier components are bought from local suppliers, using reusable packaging. Life cycle: instructions for use include information on the correct way to handle the equipment as electronic waste, along with instructions on how to save energy when using the equipment and extending its useful life. 16

17 ECONOMIC DIMENSION RESEARCH, DEVELOPMENT, AND INNOVATION Expenditure, for the year, on research, development, and innovation totaled million euros; 4.7% of the year s sales. In 2012, 12 clinical trials are carried out for new projects and treatments. R+D projects are reflected in the number of Grifols patents and brands. Grifols has 1,153 patent certificates and 337 that are pending approval. The main lines of research include: Integrated research strategy for Alzheimer s. The aim is to focus on treating this illness from an integrated perspective, incorporating early diagnosis and the prevention and protection by means of vaccines and treatment with plasma derivatives. In this regard, initiatives this year included the AMBAR (Alzheimer Management by Albumin Replacement) study begun in 2012 and the acquisition of Araclon Biotech capital. Albumin in hepatology. Current clinical studies seek to evaluate the effects that the prolonged administration of human albumin has on cardiovascular and renal function, in patients with advanced cirrhosis and ascites. In this respect, once the clinical results have come back and have been evaluated, consideration will be given to starting Phase IV of the study, on a wide scale. Antithrombin in heart surgery. The results of the clinical study carried out to ascertain the effectiveness of antithrombin on patients that have undergone heart surgery, were presented at the European Association of Cardiothoracic Anaesthesiologists (EACTA) conference. Biological fibrin sealant. The development of a biological adhesive for use as a sealant in vascular surgery, parenchymal surgery, and on soft tissue. The sealant program is at the clinical-trial stage in Spain, Canada, and the United Kingdom, and in 2012, the FDA gave the go-ahead to begin three clinical trials in the United States. At VCN Biosciences, the focus is on researching and developing new treatments for tumors, with a new technological platform based on the use of oncolytic viruses. Clinical trials for the most advanced project are scheduled for 2013, this being for the treatment of pancreatic cancer. This treatment has been awarded an orphan designation by the European Medicines Agency. Also, in the Diagnostic Division, there are 12 projects in progress, in the areas of immunohematology, immunology, and hemostasis, and most especially, in the Hospital Division, there are the nine new projects focused on the study of combinations of medicines for parenteral use and the development of healthcare products to be used in transfusions and hospital pharmacy. 17

18 SOCIAL dimension The main area of focus for collaborators has been ensuring the jobs, security, and development of the professionals working at Grifols. The opening of the Grifols Museum in Los Angeles and the foundations activities are a clear indication of the organization s commitment to the community in which it operates. Average staffing figures Spain 2, ,474 COLLABORATORS North America 8,342 8,125 The organization s average staffing levels have remained practically consistent, numbering 11,108 people in total, with 4,800 of these people forming part of the network of 150 donation centers. 73% of staff is based in the United States and Canada, with Europe, Latin America, Asia, and Oceania accounting for the rest of the company s international staff. The average length of service with the company is six years, with a practically equal distribution between men (46%) and women (54%), and an average age of 38 years. Rest of the world Total ,230 11,108 Distribution of average staffing figures by region for the year % 73.1% 4.6% 2012 North America Spain Rest of the world 18

19 SOCIAL dimension HEALTH AND SAFETY IN THE WORKPLACE Health and safety in the workplace is one of Grifols most important commitments, as a business, which is why it is prioritized within the management system. Grifols workplaces have been certified in accordance with the OHSAS standard. Their international subsidiaries have established a system that has been adapted by each subsidiary in accordance with its own corporate system. In 2012, an external safety audit was conducted in workplaces in Spain, in accordance with the OHSAS standard, and no failure to follow procedures was found during the process. In addition, an assessment was carried out, in accordance with regulations for health and safety at work, the results of which will be put into effect in In 2012, work on the management-system standardization project, begun in 2010, concentrated on its consolidation in subsidiaries in Chile and Argentina, and its implementation in the subsidiary in Germany. To make this implementation easier, a special handbook was put together. The aim, for 2013, is to standardize the various performance indicators, which will be published in a business report. The internal corporate audit process will also be started. Project for the standardization of management of health and safety in the workplace in international subsidiaries Identification of the state of management in subsidiaries Updating of documentation in each subsidiary Standardization and establishing of an adapted system TRAINING Hours of training have increased significantly, which has enabled a greater degree of technical and scientific training and the development of business and personal skills. courses 26,611 total hours ,791 40, ,771 Activity focused mainly on consolidating working processes in all areas of training throughout the organization, internationally, particularly in the United States, by: Implementing the SAP Training module for the whole group. Improving Campus Grifols, the online training platform. Δ % 26.8% Homogenizing and gradually implementing a global system of performance assessment. More information is available in the Academia Grifols and Grifols Academy of Plasmapheresis reports. 19

20 Social dimension THE FOUNDATIONS Grifols channels the organization s social performance through three foundations, as well as two museums. January 2012 saw the opening of the Grifols Museum in Los Angeles (United States). The Víctor Grífols i Lucas Foundation. Established in 1998, the foundation is focused on promoting the study and development of bioethics in relation to human health and life sciences. The board of trustees which had new appointees in 2012 is made up of 14 members, all of whom are experts in one of the disciplines relating to bioethics. The foundation s website is the main channel of communication with interest groups, in addition to a six-month report and monthly newsletters, and it includes a complete report on the foundation s activities. The Probitas Foundation. The Probitas Foundation, created in 2008, established its operating structure in 2012 and consolidated the Global Laboratory Initiative (GLI), a bespoke initiative aimed at reinforcing clinical laboratories in the most vulnerable regions of the planet. Following the opening of the pilot laboratory in Bamako, in 2011, the model was replicated, in 2012, in Ghana, Ecuador, and Sierra Leone. In 2012, the foundation took the decision to extend its field of activity by introducing its own local programs. To this end, the Child Nutrition Support Program (RAI) was developed, ensuring that 1,047 children in 39 schools, in ten municipalities in Catalonia, had one nutritional meal a day, as well as curbing truancy in the areas in which it was put in place. In addition to its own programs, the Probitas Foundation has collaborated with several organizations amongst them, Red Cross, Ojos del Mundo, África Viva, and AVESA enabling them to reach more beneficiaries. The José Antonio Grifols Lucas Foundation. Based in the United States, the José Antonio Grifols Lucas Foundation s mission is to offer educational and healthcare assistance by promoting the wellbeing of communities, specifically amongst the almost one million people who donate plasma to Grifols centers. Established in 2011, it commemorates Dr J.A. Grifols Lucas, the inventor of plasmapheresis, and recognizes the value of donors as people who are indispensable, who, through donating plasma and the products derived from it, help to save lives. 20

21 Environmental dimension The organization s environmental policy was revised in 2012, with the intention of including all of the group s centers (internationally). The new document formalizes management s commitments to the environment in which it operates. At Grifols, the environment is organized by means of an environmental management system. All centers in Spain are equipped with an ISO certified management system, which was audited both internally and externally, in In the United States, the North Carolina production plant has been equipped with an ISO approved system, and has been awarded Partner status by the Environmental Stewardship Council. During 2012 the system at the plant was audited internally four times, with a high degree of success. Similarly, the Los Angeles plant applies relevant corporate procedures and carries out required internal audits. Each manufacturing company has an environmental management committee, which is the main supervisory body for the system. It should be made up of people from the main areas involved production, R&D, technical division, human resources and the Environmental Department participates in the process. In this respect, work is underway to homogenize the various management systems in order to unify activity. In the year 2013, the Corporate Environmental Manual will be published. Optimization of consumption (materials and energy) Minimization, recycling, and recovery of waste Environmental policy Environmental aspects Increasing awareness and training Eco-efficiency Meeting legal requirements Environmental improvement objectives Prevention of pollution and climate change Communication and participation Protection of natural areas Minimization of the impact on water cycle Reduction of greenhouse gas emissions 21

22 Environmental dimension ENVIRONMENTAL PROGRAM The Environmental program for contains the company s main objectives for improving its environmental performance. The intended level of achievement is significantly high. Raw materials Reduction 2,000 metric tons Bioscience Production of hemoderivatives Waste Increase in retrieval 4,000 metric tons Water Reduction 120,000 m 3 Diagnostic Healthcare products for in vitro diagnostics Wastewater Improved quality of wastewater Energy Reduction 4.6 MWh of electrical energy Hospital Specialist products for use in hospital pharmacy Preservation of land Prevention of land pollution Resources Energy Reduction 7.8 MWh of natural gas Eco-efficiency Environmental management Awareness and training Emissions Reduction of GHG emissions Environmental aspects 22

23 Environmental dimension Degree of achievement of objectives for resources optimization Raw materials Water Energy - Electricity Energy - Natural gas Reducing consumption of acetone and ethanol by 1,600 metric tons Reducing water consumption by 94,500 m 3 Executing the company s strategicaction energy plan Executing the company s strategic-action energy plan Reducing rejection of Spanish plasma by 10% Replacing 66 metric tons of wooden pallets with reusable plastic pallet Reducing paper consumption by 20% Replacing 10% of paper instruction manuals with an electronic format Reclaiming 6,000 m 3 of clean water from the production process Optimizing the retrieval of 8,200 m 3 of clean water for cooling towers Reducing consumption of water used for watering by 300 m 3 annually Improving thermal insulation of roofing Reducing energy consumption of freezer warehouses Improving lighting systems Replacing cooling equipment with more efficient systems Improving heat recovery in the cogeneration system Installing a steam accumulator and a degassing tank Installing a new cooling-plant system, with heat recovery Improving the recovery of steam 100% 80% 60% 40% 20% CA BCN BCN NC BCN NC BCN BCN BCN BCN BCN NC BCN NC 0% Bioscience Diagnostic Hospital General Barcelona Murcia Los Angeles Clayton 23

24 Environmental dimension Degree of achievement of objectives for minimization of environmental aspects Waste Wastewater Preservation of land Emissions Managing 3,000 metric tons of polyethylene glycol and sorbitol as byproducts Improving the recycling of 4 metric tons of PP bags annually Recycling 5 metric tons of plastic generated by the warehousing, annually Increasing the volume of glass for recycling by 18 metric tons a year Increasing the recycling and reuse of ethanol by 70% Reducing by 95% the amount of waste managed externally Reducing the rejection of diagnostic cards by 20% A new area for the storage of waste Separating the different effluents in the new factory Collecting effluents separately during manufacturing Installing a CO2 neutralization system Implementing measures to improve the sewage system Establishing a standard energy model in the offices Increasing the number of occupants per private vehicle by 6% Using natural gas as a substitute for fuel 100% 80% 60% 40% 20% BCN MRC BCN NC NC BCN BCN MRC BCN BCN NC NC NC 0% Bioscience Diagnostic Hospital General Barcelona Murcia Los Angeles Clayton 24

25 Environmental dimension INVESTMENTS AND EXPENDITURE In 2012, environmental investment and expenditure reached a total of 16.5 million euros; 5.2% down on the previous year. Grants received, during the year, for setting up environmental projects, totaled 1.1 million euros. For the most part, these grants relate to investments made in previous years. Waste ,038,030 Environmental expenditure (euros) ,770,960 Environmental investments (euros) ,747, ,315,741 Implementing the actions set out in the company s strategic action plan for energy for the period accounted for 23.3% of total environmental expenditure. The installation of autoclaves, automatic reactor-cleaning systems and efficient cooling systems are some of the investments made in Water cycle Energy efficiency 1,944,069 3,371, ,409,235 2,978,472 3,369,942 1,455,675 Similarly, on the subject of waste, of particular note is the installation of an ethanol distillation column at the plant in Los Angeles (CA) and the increased capacity for wastewater treatment at the plant in Clayton (NC). To this effect, a wastewater neutralization system using CO2 was installed at the Barcelona plant. Atmospheric emissions Consultancy and certification 17,095 87,472 28,763 83,134-20, Others 68,346 34,488 95,169 72,707 Total 9,155,012 10,241,695 8,230,754 6,234,281 25

26 Environmental dimension ENVIRONMENTAL TRAINING, AWARENESS, AND COMMUNICATION 2,242 people at the North Carolina facilities took part in an environmental awareness course conducted online; five people were also given specialized, ISO approved training. In Los Angeles, 91 people were given hours of training in the management of hazardous waste, chemical safety, and spillage management. In Spain, a total of 362 people were given 384 hours of specialized training on environmental issues, including aspects such as energy efficiency, waste management, and environmental awareness. Similarly, the children s drawing competition organized around World Environment Day received 273 entries from 229 participants. With the theme What can we do to make a greener world?, the competition, now in its seventh year, and open to the children of Grifols collaborators all over the world, had more participants and entries than in previous years. Earth Day, on April 22 nd, was celebrated with various awareness activities at Clayton (NC), in the United States. In 2012, there were activities to do with distributing reusable shopping bags, promoting carpooling at the plant, collecting batteries and light-bulbs, and training people on the energy-saving-consciousness program, Save the Watt. In 2012, work was carried out, in conjunction with the Human Resources Department, on designing an online-training course in environmental awareness, at the company, for Grifols employees in Spain. This course consists of an initial block on the ISO certified environmental management system, followed by a second block that focuses, in detail, on the company s environmental aspects and its performance. In addition to training, environmental awareness makes it possible to extend the company s commitment to various stakeholders. Every year, and as a way of commemorating World Environment Day, Grifols organizes a day out, in Spain, for all collaborators who wish to take part with their families. Valle de Olzinelles, in Sant Celoni, was the chosen location for the day s events, in 2012, with 176 people taking part in a 9.5-kilometer hike. 26

27 Environmental dimension environmental training, awareness, and communication Also worth mentioning is the Clayton plant s participation, for over 20 years, in the Adopt-a- Highway program promoted by the Department of Transport of the State of North Carolina, the main aim of which is to keep the highways free of waste matter and dirt by reaching agreements with special stakeholders, including businesses, schools, and the general public. Other activities at the plant in Clayton (NC), in 2012, included the Dumpster Dive and Compost Giveaway one-day events. In the case of the Dumpster Drive, Grifols employees made an inventory of recyclable waste placed in bins, in which the waste was not separated with the aim of increasing awareness of just how much waste that is destined for the dumping ground could be recycled, if it were collected in a selective fashion. Similarly, Grifols used Compost Giveaway as a vehicle for giving away compost made with a by-product that is treated at an external composting plant. Grifols has several channels of communication at its disposal, through which it conveys and addresses all communication relating to environmental issues: , telephone and direct contact, an internal magazine, and a suggestion box on the staff portal. Environmental communication covers a number of matters, including statements to environmental committees, changes in the law, post-trial findings, and participation in the Carbon Disclosure Program, amongst other things. Such communication addresses both internal and external requests from various interest groups. 27

28 28 ENVIRONMENTAL PERFORMANCE

29 CONSUMPTION OF RAW MATERIALS The main raw materials used are, for the most part, from renewable sources, and vary from division to division. Main materials consumed Indicator relating to sales / millions of euros / Indicator relating to production / liters of fractionated plasma / Sorbitol 893 metric tons kg 0.1 kg Bioscience The main raw material used in the Bioscience Division is plasma, which is collected at donation centers. The fractionation and treatment of this plasma involves the consumption of other raw materials, including sorbitol, ethanol, and polyethylene glycol. Packaging for the final product is mostly glass. It should be pointed out that, during 2012, 50.4% of the ethanol used in manufacturing in the Bioscience Division came from ethanol recovered in the distillation towers at the plants in Barcelona and Clayton (NC). Ethanol 3,931 metric tons Polyethylene glycol 1,080 metric tons 1,690.6 kg kg 10,666.2 units 0.5 kg 0.1 kg 3.3 units Glass packaging 24,800,000 units 29

30 CONSUMPTION OF RAW MATERIALS Main materials consumed Diagnostic The plastic cards used in the manufacture of DG Gel cards are a major source of consumption in the Diagnostic Division, and the fact that it is on the ascendant is a measure of how much production of this product has increased. The use of PVC has been discontinued in the Hospital Division, while in the Diagnostic Division, a substitute has not been possible for safety reasons. The increase in consumption of PVC is a measure of the rise in production of blood collection bags, which has reached 8.5 million units. Circuit boards 16,576 units Plastic cards 28,000,000 units Reagents 152,556 liters PVC pellets 349 metric tons Indicator relating to sales / millions of euros / units 208,423.3 units 4,190.8 units Glass packaging 563,000 units Flat tubes and PVC sheets 210 metric tons 8,932.4 units 1,135.6 liters Plastic bottles of reagents 1,200,000 units 2,597.8 kg 1,563.2 kg 30

31 CONSUMPTION OF RAW MATERIALS Main materials consumed Hospital The Hospital Division has replaced all of the PVC used in the manufacture of packaging for solutions with PP (polypropylene). The environmental impact is reduced because the PP bag weighs less and because any pollution that might be possible, is lower than in the PVC bag. Polypropylene 224 metric tons Indicator relating to sales / millions of euros / 2,336.5 kg Indicator relating to manufacture / dosage in liters / kg Glucose 311 metric tons 3,244 kg kg 1,898.4 kg kg Sodium chloride 182 metric tons 260,769.8 units units Glass packaging 25,000,000 units 31

32 CONSUMPTION OF RAW MATERIALS As far as business and management areas are concerned, paper is the main resource used throughout the company. In this respect, paper consumption went down 12.2%, in absolute terms, compared with 2011; this is mainly on account of the decrease in consumption in Spain and the United States and improved data collection from the donation centers. 53.8% of paper consumed was made from 100% recycled pulp. ETHANOL RECOVERY The Barcelona and Clayton (NC) plants have specially-installed systems for collecting and processing the ethanol used in the manufacturing process, with the aim of retrieving and reusing it as a raw material. The ethanol supernatants, hydro-alcoholic solutions resulting from the fractionation process, go into storage tanks. In these tanks the precipitation of the protein traces found in the alcohol solution takes place. The treated ethanol supernatant is pumped into a distillation column until it reaches boiling point. This way, the solution rising to the top, which is rich in ethanol, evaporates, exits through the upper part of the tower, and is condensed in order to be re-used in the manufacturing process. 50% of the ethanol used in manufacturing in 2012 came from the retrieval process, whilst the other 50% was bought in. The increase in production in the Bioscience Division contributed to the increase in supernatants treated, as well as the ethanol managed externally as waste. In this respect, in 2012, the Los Angeles (CA) plant completed the installation of a rectification tower, which, in 2013, will enable them to retrieve ethanol in the same way as the other manufacturing plants in the Bioscience Division. Similarly, work has begun on extending the distillation tower in Barcelona in order to meet the eventual increase in production once the new fractionation plant begins to operate. Liters of ethanol Treated supernatant ( 30%) Recovered Purchased Used in manufacturing Externally managed as waste (metric tons) Δ ,110,680 4,871,291 4,363,763 9,235,056 3,423 16,529,040 5,053,408 4,981,696 10,035,104 5, % 3.7% 14.2% 8.7% 46.6% 32

33 ENERGY CONSUMPTION ELECTRICITY CONSUMPTION Overall electricity consumption increased by 2.4%, in absolute values, compared with 2011, and it reached a total of million kwh. 92.8% of this consumption is related to the Bioscience Division, with 5% relating to the Hospital Division, and 2.2% to the Diagnostic Division. Electricity consumption Bioscience Diagnostic Hospital Performance indicator M Millions Relative value / kwh/production / Absolute value / kwh / + 7%* There has been a decrease in the amount of electricity consumed relative to production. This change is a reflection of the energy-saving measures put in place in all three divisions, as outlined in the company s energysaving plan for Also of note is the increase in consumption, in absolute values, in the Hospital Division, resulting from work beginning on the extension of the Murcia plant, in November % KWh / liter of fractionated plasma % KWh / millions of euros ,985, ,700, %* 44,799 6,018,454 50,231 5,892, % + 2.1% + 19%* -8.5% KWh / liter of dosage ,534,831 12,476, % * Check the indicator of activity 33

34 ENERGY CONSUMPTION Electricity consumption Electricity consumption Bioscience Diagnostic Hospital Relative value / kwh/million euros / M Millions The Barcelona facilities are equipped with a 6.1-MW cogeneration plant. The electricity generated by this plant is sold to the network, and the useful heat is used internally at the Barcelona facilities. In 2012, the cogeneration plant ceased production for several weeks, due to specialized, planned maintenance work. Consequently, the output of electricity generated and the useful heat used were down on the year 2011, a decrease of 3% and 11% respectively. + 14%* 108, , % Cogeneration results + 14%* 91,498,770 kwh Natural gas consumed 70.7% Global Output (GO) 44,814 50, ,5%* % 38,398,550 kwh Electricity generated 16.2% Primary energy saving (PES) 141, , % 28,557,730 kwh Useful heat used (steam and hot water) 16,465 metric tons CO2 emissions + 14%* 103, ,117-10% 61.6% Equivalent electrical output (EEO) 3,188 metric tons CO2 emissions savings * Variation in revenue in pro-forma terms 34

35 ENERGY CONSUMPTION NATURAL GAS CONSUMPTION The total natural gas consumption for the year 2012 was million kwh; 2.1% up on % of consumption is accounted for by the cogeneration plant, which belongs entirely to the Bioscience Division. Thus, 93.4% of the total natural gas consumption is accounted for by this division, 6.1% by the Hospital Division, and 0.5% by the Diagnostic Division. The increased consumption, on the part of the divisions is, for the most part, accounted for by the increase in production. Natural gas consumed by the boilers at the new plant in Murcia comes under the Hospital and Diagnostic divisions. Similarly, the variation in gas consumption, on the part of the Diagnostic Division, relating to manufacturing, is a reflection of the effects of using the old facilities, which will exist alongside the new ones until the transfer between production lines is complete. Natural gas consumption Bioscience Diagnostic Hospital -5.3% KWh / liter of fractionated plasma + 7.6% KWh / millions of euros ,727 11,823 Performance indicator + 7%* 302,401, ,261, %* 1,709,712 1,386, M Millions Relative value / kwh/production / Absolute value / kwh / % + 1% + 19%* + 0.5% KWh / liter of dosage ,817,335 16,618, % * Check the indicator of activity 35

36 ENERGY CONSUMPTION Natural gas CONSUMPTION Natural gas consumption Bioscience Diagnostic Hospital M Millions Relative value / kwh/millions of euros / + 14%* 130, , % + 14%* 12,731 11, % + 0,5%* 207, , % + 14%* 123, , % * Variation in revenue in pro-forma terms 36

37 ENERGY CONSUMPTION THE COMPANY S STRATEGIC ACTION ENERGY PLAN saw completion of the company s strategic-action energy plan for operations in Spain, begun in 2010, the main focuses of which were the implementation of eco-efficient processes and the optimization of auxiliary facilities. The plan has received grants from the Institute for Energy Diversification and Saving (IDAE) and the Catalan Institute of Energy (ICAEN), to promote the use of best avaiable techniques and the implementation of energyefficiency measures. Actions implemented in 2012 included: The plan has been incorporated into the Environmental Program , and will be used to achieve objectives for reducing energy consumption and emissions, set for The installation of the second steam autoclave at the plant in Murcia, for the sterilization of products, which uses 15% less steam than hot-water systems The insertion of variable frequency drives into engines and pumps at the Barcelona plant, enabling the control of the engines rotation speed as needed. The heat insulation of fluid-handling systems at the Barcelona plant, with the aim of minimizing energy loss during the transportation of these liquids at various temperatures. Actions Total electric energy savings Total natural gas savings Over 20 actions implemented 3.6 million kwh a year 5.9 million kwh a year The installation of eight new automated CIP reactor-cleaning systems at the Barcelona plant, which optimize the consumption of water, sodium hydroxide, and energy. CO2 emissions avoided 2,300 metric tons of CO2 a year 37

38 WATER CONSUMPTION Total water consumption for the year 2012 reached 2,166,997 m 3, 11.7% up from 2011, of which 17.8% came from wells in Spain. The Bioscience Division accounted for 92% of the total consumption, with the Hospital Division accounting for 7.2%, and the Diagnostic Division, 0.8%. These measures have brought water consumption in the Hospital Division down to 7.2 liters per dosage liter. Water consumption Bioscience Diagnostic Hospital Performance indicator M Millions Increased production at the Bioscience Division s three hemoderivatives plants has meant an increase in water consumption. Similarly, relative consumption has also increased on account of the validation procedures taking place at the new fractionation plant in Clayton (NC) and in the fibrin sealant plant in Barcelona. These facilities, which are not yet in operation, consume water as a part of procedures taking place prior to their going into operation. Water consumption in relation to production in the Hospital and Diagnostic divisions has gone down by 13%, on account of the consumption-reduction measures implemented in the new Murcia plant, the main ones being: Relative value / liters/production / Absolute value / m 3 / + 5.5% Liters / liter of fractionated plasma % Liters / millions of euros , , %* 1,992,206 1,768, %* 17,872 17, % % Retrieval of steam condensate. + 19%* Installation of seven-stage distillation equipment, technology that don t need cold water for cooling % Liters / liter of dosage , , % Optimization of water rejection at the reverse osmosis stage. Optimization of clean-in-place cycles. * Check the indicator of activity 38

39 WATER CONSUMPTION Water consumption Bioscience Diagnostic Hospital M Millions Relative value / m 3 /millions of euros / + 14%* % + 14%* % + 0.5%* 1,637 1, % + 14%* % * variation in sales in pro-forma terms 39

40 WATER CONSUMPTION NEW FRACTIONATION FACILITIES In July 2010, construction work began on the new plasma-fractionation plant located in Parets del Vallès, Barcelona. These new facilities will be able to fractionate up to two million liters of plasma a year, thus doubling the current fractionation capacity in Spain. Civil engineering work was completed in 2012 and in 2013, installation of equipment will be completed and the checks necessary, prior to seeking FDA and EMA licenses, will take place with production scheduled to begin in The plant has been designed by Grifols Engineering, taking full advantage of all the knowledge available, within the organization, on this matter, regarding procedures as well as effects on the environment. The implementation of the best available technologies (BAT s) at the plant includes the installation of CIP systems, the isolation and lagging of plumbing, and the installation of variable frequency drives in pumps and efficient cooling systems, together with the separation of effluents and the construction of a new distillation tower for ethanol, which will mean that it can be reused in the fractionation process. Total investment reached 21 million euros, accounted for in the projected investment plan for the period , and it includes the putting in place of advanced technology and a high degree of automation, with 20 fully-automated process reactors and an automated assembly line for melting the plasma solution. Equally of note is the new fractionation plant in Clayton (NC), referred to as the North Fractionation Facility (NFF). It has the capacity to fractionate six millions liters of plasma annually. Work began in March 2010 and was completed in Throughout 2013 and 2014, pending procedures will take place, including preliminary checks and license requests, in order for the plant to start operating in Total expenditure was 295 million euros. Innovative features at the plant include the design of the process reactors and centrifuges, which have been installed in the technical zone, the reduction of equipment in zones in which the temperature is below zero, the reclaimed-water systems, the construction of a new ethanol rectification tower and other energy-efficiency measures, such as the installation of high-efficiency engines, a reflective roof, and steam generators that consume less energy. 40

41 WASTEWATER Operations at the organization generate wastewater, which goes into the public sewage system and the wastewater treatment plants established by the local authorities. 70% of water consumed is converted into wastewater, while the rest is destined for use in the products or other uses, such as the cooling towers. The Bioscience Division use biological depurator systems to treat the wastewater generated during the process of manufacturing hemoderivatives: Depuration results in Bioscience / Spain and the United States / Δ Volume treated annually / m 3 / 508, , % A membrane bioreactor (MBR). The Barcelona plant treats point-source effluent from the manufacturing process with a high organic charge. The technology combines biological processes with a membrane filtration system. A biological treatment plant with Moving Bed Biofilm Reactor technology (MBBR). In the case of Clayton (NC), the MBBR treats all of the effluent from the plant and enables the separation of sludge by means of Dissolved Air Flotation (DAF) technology. This process generates sludge, 57% of which was destined for compost, in Treatment of sludge, at the Clayton (NC) plant, was modified in order to comply with a local-authority requirement. Consequently, the sludge that is disposed of has increased and the amount destined for compost has decreased. 1,850 metric tons 3,656 metric tons Total COD eliminated - 8.3% Sludge for compost % 1,697 metric tons 2,490 metric tons 791 metric tons Sludge disposed of % 1,839 metric tons 41

42 WASTEWATER The organic matter in the wastewater measured as chemical oxygen demand (COD), increased by 12.8% in absolute values, mainly on account of increased water consumption due to the increase in manufacturing at the Los Angeles plant. Total COD emitted WASTEWATER NEUTRALIZATION SYSTEM Wastewater resulting from the manufacturing process has a basic ph value because the process of cleaning the equipment, which is, essentially, done with clean-in-place systems, is carried out with sodium hydroxide. In 2012, a new wastewater neutralization system, using carbon dioxide, was installed at the Bioscience plant in Barcelona, as a substitute for the one that had been used before, which used hydrochloric acid. The CO2 system has many advantages over the previous one. Carbon dioxide is a harmless, non-corrosive gas. It can be obtained from natural resources or recycled from industrial waste gases. It doesn t allow over-acidification of the water treated nor does it increase its salinity, leaving its quality and original characteristics practically unaltered. 946 metric tons Furthermore, it is a safer product to handle than hydrochloric acid, since there is no risk of skin burns or other incidents while filling the tank, spillages or leaks, which, consequently, minimizes any environmental impact that might result from the process. The reasons for adopting the current system are the high capacity to neutralize CO2, compared with the alternatives, the potential for lowering manufacturing and maintenance costs, and the simplicity of the dosage and dissolving equipment. 839 metric tons 42

43 EMISSIONS In the year 2011, Grifols calculated the company s carbon footprint for the first time. This is a means of measuring an organization s contribution to global warming, based on the quantity of greenhouse gases it generates. Following the methodology established by the Greenhouse Gas Protocol (GHG Protocol), emissions are categorized into three broad scopes: Scope 1. Direct emissions generated by the activity, mainly on account of the consumption of natural gas, other types of fuel, and refrigerant leaks. Scope 2. Indirect emissions from the consumption of electricity. CO2e emissions by source Electricity 47.4% Fugitive emissions 10.7% Business travel 5.5% Gasoline 0.4% Natural gas 26.9% Employee commuting 9.1% Grifols main source of emissions is the consumption of electricity, which, in 2012, accounted for 47.4% of the organization s total emissions. 80% of emissions are generated in the United States, where 73% of employees and 70% of the Bioscience Division s production are concentrated. This distribution level is consistent with the previous year. Scope 3. Other indirect emissions, such as business travel and employees commuting to their place of work. CO2e emissions by region 18% Spain 1.3% 80.7% North America Rest of the World 43

44 EMISSIONS Total emissions have gone down, in absolute terms, on account of actions taken within the framework of the Environmental Program. The increase in fugitive emissions is linked to the rise in HCFC and HFC gas leaks like R-22, on account of breakdowns in Barcelona and the United States. Total emissions by scope Natural gas Absolute value / metric tons CO2e / Scope 1 58,722 57,693 23,411 15,824 Fugitive emissions Fuel (gasoline and diesel) Electricity Employee commuting Business travel Emissions % + 1.8% Relative value / metric tons CO2e /millions of euros / Δ Total % The rise in the consumption of natural gas instead of diesel oil, in some boilers at Clayton (NC), has helped to bring down Scope 1 emissions. Scope , , ,614-94% - 5.5% Emissions by scope / metric tons CO2e / - 5.5% scope 2 Scope 3 Total 12,089 5, , ,779 19,796 23, % % - 3.7% - 5.8% scope 1 103,605 83, % scope 3 88, ,614 31,884 29,007 44

45 EMISSIONS The decrease in electricity generated by the cogeneration plant in Barcelona had a direct effect on the volume of emissions in Spain, in Scope 2, as the amount of kwh purchased from the grid increased. Total emissions by country and scope / metric tons CO2e / SP Spain U.S. United States ROW Rest of the world - 0.9% - 8.2% - 8.3% + 7.6% The cogeneration facilities and steam boilers currently in operation at the Barcelona plant are subject to the European Union Emissions Trading System for greenhouse gases emissions, established in the Kyoto Protocol. In this respect, emissions confirmed at this plant, for the year 2012, have risen to 21,948 metric tons of CO2; 6.2% less than in What are most significant in Scope 1 are the direct emissions relating to refrigerant gases and the boilers used in manufacturing or cogeneration engines. Refrigerant gases are found in air-conditioning systems and cold-storage chambers for plasma and end products. Total emissions by country / metric tons CO2e / Spain 38,047 United States 188, Rest of the world + 3.5% - 6.3% 39, ,267 27,540 27,789 55,418 60, % 6,262 4,289 96, , % 1, % 5,584 5,969 24,800 23,038 1, % 628 2,842 SP U.S. ROW SP U.S. ROW SP U.S. ROW Scope 1 Scope 2 Scope 3 45

46 EMISSIONS The steam boilers and boilers for sanitary hot water, and the cogeneration engines, emit gases such as CO and NOx. Preventive maintenance at the facilities ensures that the level of these gases stays very much below the legal limit. In 2012, there was a breakdown in one of the chambers at the facilities in Barcelona, which meant emptying one of the circuits almost entirely. Similarly, HCFC leaks at the North Carolina plant went up, which is why one of the tanks was replaced. Refrigerant gas leaks totaled 15.2 metric tons. Amongst the indirect emissions, it is those resulting from employee commuting that are most notable in Scope 3 (representing 9.1% of the organization s total emissions). In 2012, there was a 16.3% decrease in these emissions, due to the improved consumption of new vehicles, an increase in the use of public transport, and the use of carpooling. Regarding the latter, special mention should be made of the IT application for carpooling, or the system of shared pickups at the Clayton (NC) plant. The carbon footprint covers all of the organization s facilities, and it has been calculated in accordance with the methodology established by the Greenhouse Gas Protocol (GHG Protocol) and the Intergovernmental Panel on Climate Change s criteria. Sources for emission factors are provided by the Catalan Office for Climate Change, the Environmental Protection Agency s (EPA s) tools, and the World Resources Institute. 46

47 EMISSIONS THE CARBON DISCLOSURE PROJECT AND THE CARBON FOOTPRINT The Carbon Disclosure Project is the biggest initiative for gathering information relating to climate change, at an international level. It is mainly geared towards investment collective institutions, with the aim of taking issues relating to climate change into account when making decisions. In this way, transparency regarding information on energy intensity is considered to be a fundamental aspect of reducing and mitigating climate change. Every year, this non-profit organization invites international large-capitalization companies to participate in the collection of information. Amongst the data and information requested, importance is placed on the strategy adopted by the organization, with regard to climate change, identifying the risks and opportunities that this new situation might bring about, and the establishment of a plan of action with specific measures for mitigating the possible consequences of climate change. In the 2012 edition of its report, whose data refers to the tax year 2011, Grifols was given a score of 88 out of 100; the best score, in the healthcare and health sector, in Spain and Portugal. The CDP Iberia 125 report features an analysis of the 125 biggest companies in the Iberian Peninsula, with Grifols being ranked in 14th place. These results acknowledge the work carried out by Grifols on the subject of efficiency and reducing emissions, as well as the management of risks and opportunities with regard to climate change. Furthermore, the index values Grifols concerted efforts to integrate the implementation of eco-efficiency criteria in all new projects and facilities, into its company strategy. 47

48 WASTE The Bioscience Division generated 96.7% of all of the organization s waste. The recovery of materials and energy is one of the priorities of environmental management. 46.5% of the total generated was made into a by-product, reused, recycled, or made into compost. The rest was either taken to an authorized dumping site or else burnt. Waste generated Absolute value / metric tons / Relative value / metric tons/millions of euros / Δ Δ Recovered waste (recycling and by-products) 18,025 18, % % Waste disposed of 21,232 22, % % Total 39,257 41, % % 48

49 WASTE The increase in waste in the Diagnostic and Hospital divisions is linked to the increase in production of blood collection bags and diagnostic cards in the Diagnostic Division, as well as the simultaneous existence of the two plants in Murcia and testing at the new facilities. The types of waste that have increased medications, cardboard, non-hazardous, and plastics are associated directly with production in both divisions and testing prior to the opening of the new factory in Murcia Relative value / metric tons/millions of euros / - 9.2% Waste generated by division % Bioscience Diagnostic Hospital Performance indicator M Millions Relative value / kg/production / Absolute value / metric tons / % + 7%* - 2.6% Kg / liter of fractionated plasma ,802 38, % + 14%* % Kg / millions of euros 3, , % + 19%* + 9.7% Kg / liter of dosage % * Check the indicator of activity 49

50 WASTE Where waste that has been disposed of mainly ends up is at the controlled dumping site for general waste, sludge from wastewater (once treated), and being autoclaved and taken to the deposit for biosanitary waste. Some biosanitary waste is disposed of through incineration. Main recycled waste / metric tons / By-product Compost Recycling Re-use Recovery Δ Treatment Polyethylene glycol and sorbitol 4,868 4,033-17,1% Main recycled waste / metric tons / Polyethylene glycol 2,609 3, ,1% Hydro-alcoholic supernatant 3,424 5, ,5% Biosanitary waste General waste Wastewater sludge 3,656 2,490-31,9% 13,659 Paper-cardboard 1,643 2, ,8% 5,504 Glass ,1% Wood pallets ,6% - 2% - 2.3% Metals ,7% 5,392 Clean plastic (including plastic pallets) ,1% 13,340 Production pastes Chemical-product packaging % - 38,5% Wastewater sludge Others Catering packaging ,6% 791 1,278 Others ,5% % 1, % 1,638 Total 18,025 18, ,2% 50

51 WASTE The increase in production at the Los Angeles (CA) plant, in excess of 47%, and the construction at the facility of an ethanol rectification tower, scheduled to go into operation in 2013, have an impact on the alcoholic supernatant generated. Increased production has also had an effect on the glass for recycling generated in the Hospital Division. Polyethylene glycol and sorbitol waste are used in the manufacture of additives for the cement industry, biogas production, and also as compost. As well as incorporating this waste into another production process, the consumption of other raw materials is also avoided. It is estimated that 4,500 metric tons of CO2 emissions were avoided during this process. Improved selective collection at the facilities in Los Angeles (CA), together with the increased recycling of empty plasma bottles at the Clayton (NC) plant, accounts for the significant increase in the total of recycled plastic. The latter plant currently recycles 95% of plastic bottles generated. Furthermore, the Clayton (NC) plant has considerably increased the separation of waste such as paper, cardboard, and other materials, so that they can be recycled, which reduces the amount of waste that ends up going to the dumping site. Also of note is the near-total elimination of the use of acetone at the Los Angeles (CA) plant. Grifols participates in integrated waste-management schemes operating in Spain: Sigre: A non-profit organization created to ensure the correct environmental management of packaging and the remnants of medication for domestic use. What s more, it encourages the adoption of measures and criteria for eco-efficiency in the design and development of packaging for pharmaceutical products. Ecoasimelec: An integrated system of waste management for electrical and electronic goods, created in line with European regulations for waste management. In 2012, 16.5 metric tons of electronic equipment used for clinical diagnosis were recycled. 51

52 BIODIVERSITY The organization s manufacturing plants its warehousing and offices are located in industrial parks that have no connection with biodiversity areas, with the exception of the Clayton plant. This plant, located in North Carolina, occupies approximately 26 ha. (65 acres) of space that is classified as natural. Management of the impact on the surroundings is regulated through the Wildlife at work and Corporate Lands for Learning certification programs, promoted by the organization Wildlife Habitat Council. CLAYTON S SURROUNDINGS (1) Grifols collaborates with several stakeholders, in a joint effort to maintain and improve the natural surroundings at Clayton. Amongst these groups are: North Carolina State University, whose students assist with the compilation of an inventory of natural species and completing formalities for the Wildlife at Work and Corporate Lands for Learning certification programs promoted by the Wildlife Habitat Council, alongside experts from the university who support the students through supervision of their work and offering ideas on how to improve management of the natural surroundings. The 4-H Club in Johnston County, whose members assist in the compilation of an inventory of birds in the area. The Boy Scouts of America, whose members, along with volunteers from Grifols, as well as leaders from the 4-H Club, the WRAP committee, and environmental educators, have formed the Environmental Education Advisory Council. The council s objectives include developing and implementing events that help to raise awareness of the natural surroundings, its habitats, and sustainability. 52

53 BIODIVERSITY CLAYTON S SURROUNDINGS (2) Grifols objective is to preserve the natural surroundings and its habitats by minimizing its impact on the land, limiting it to people visiting the natural area solely for leisure activities. The plant has been certified by the Wildlife at Work and Corporate Lands for Learning,, both of which are promoted by the Wildlife Habitat Council. The most recent species inventory was completed in 2012 and has 223 entries, some of which have been included in North Carolina s biodiversity action plan as species whose preservation has been prioritized. The main activities that took place in 2012, under the remit of the Corporate Lands for Learning certification program were: Guided tours. The compilation of an inventory of birds nests in the natural area of Clayton belonging to the organization, by some Grifols employees and 14 children from the local 4-Club. The creation, by professionals from the State of North Carolina, of a tree-identification walk, with the support of the North Carolina State University, so that Grifols employees can go for walks and practice identifying the different species seen on the walk. The extension of the walk in order to make it easier to move around the natural area, with the aim of improving access for users. 53

54 Environmental incidents, accidents and emergency situations As part of the environmental management system, regulations, and how they apply to the organization, are being adhered to. In this respect, there was no failure to comply with environmental regulations, nor were any financial sanctions incurred during Plans for self-protection on the premises state which actions must be taken and who must be responsible in the case of an incident or an accident having environmental consequences. Identifying possible emergency situations that may arise has made it possible to establish the necessary preventive measures, preventing pollution, in order to minimize the consequences of said situations. To this end, emergency drills are carried out every year, which make it possible to assess capacity to react in particular situations. In the year 2012, in addition to evacuation drills, a drill was also carried out with the aim of preventing any possible environmental and personal impacts, at the Bioscience facilities in Spain. The drill practiced the response to an accident during the transfer of hydrochloric acid from a cistern to one of the tanks. Such drills are part of the training for a workforce that is expected to intervene in situations such as these and draw the kind of conclusions that might help to improve a potential real-life situation. In keeping with the Clean Air Act of the United States, the North Carolina plant has a risk-management plan that includes assessment of danger, the prevention program, and response in the event of an emergency. In 2012, an emergency drill, in which more than 40 people took part, was carried out at the North Carolina plant. A number of different scenarios were considered, including spillage from one of the tanks and how to contain it, along with an accident in the workplace. The emergency team set up a control center to manage the incident, as well as providing the necessary medical attention and implementing actions to contain the spillage and keep the situation under control. In addition, the response team was given special training, lasting 40 hours, which is given once a year. At the Los Angeles (CA) plant, special training was given, to different departments in the organization, on how to handle hazardous waste, how to handle hazardous chemical substances, how to respond to and clean up spillage, transporting chemical substances, and the management of healthcare waste, amongst other things. Similarly, several mock assessments were carried out. 54

55 55 REPORT OUTLINE

56 SCOPE This report is the ninth edition of a document that is published annually as evidence of the company s environmental performance, and comes as the last in the series of Grifols publications. This edition uses the methodology of the Global Reporting Initiative (GRI) the leading international standard for environmental, social, and good governance reporting as its framework. The environmental indicators included in this report are those established by the GRI. An appendix showing contents and GRI indicators has also been edited, as a way of bringing together all of the relevant information that Grifols publishes in various corporate reports. This report covers the period from January 1 through December , which coincides with the beginning and end of Grifols fiscal year. The impact on the data of the acquisition of Talecris Biotherapeutics in 2011 is the main reason why 2011 has been established as the base year with which previous tax years will be compared. For this reason, data that predates 2011, which has already been documented in previous editions of the environmental report, has not been included. In 2012, the scope of the information is consistent with that of the previous year, and it covers all of Grifols operations, internationally; manufacturing facilities as well as commercial centers and services, as detailed on page 10 of this report. Where data relating to consumption (for donation centers or services) has not been available, estimates have been made, based on historical and/or financial data. All centers in Spain have implemented an environmental management system that has been certified to the ISO international standard. In the United States, the Clayton plant uses a management system that is ISO based on, while the Los Angeles plant uses different corporate procedures and other local guidelines. These systems form the basis for the systematization of information compiled in this report. In addition, 2012 saw the implementation of the SAP Sustainability Performance Management application as a tool for compiling quantitative environmental data from all of Grifols operations, worldwide. This application, the roll-out of which will be complete in 2013, has been used to compile this report, and enables the planning and gathering of different environmental indicators from each operation, company, country, and division. 56