CHALLENGING BOUNDARIES

Rhodia way,

The way we do business

CHALLENGING BOUNDARIES

« Rhodia way » reference framework

A management system and a tool driving our ambitions• Broadcasting several best practices existing

• A collective dynamic : federate around SD values, driver of our identity (KVD 4 of the Group)

• An integration in systems and tools existing (SIMSER+…) as well as in the Spring process

A « Self-assessment reference framework » • Which focuses on responsibilities for our 6 key stakeholders

• Which enables business units to assess their practices and implement corrective actions

CHALLENGING BOUNDARIES

For which benefits?

A better control of our risks

A better attractiveness of our Group and a reinforced identity• Transparency and responsibility image

• Competitive advantage

• Innovation source : new products, new markets

• Proudness of employees

A collective dynamic and a mobilization of our employees around a federating project

CHALLENGING BOUNDARIES

and which results ?

• The referential is integrated to entity management processes :

• The progress actions are registered in the entity management loop : integration to actions plan and SPRING

• A “quick” vision of the performance

Evaluation

Rep

ortin

g

Identification of progress

axies

Definitio

n of acti

ons plan

Implementation

Shareholders

Communities

SuppliersEmployees

Environment

Customers

SITES

ENTREPRISE

CORPORATE

FONCTION SUPPORT

CHALLENGING BOUNDARIES

A reference framework organized by stakeholder

CustomersImprove

performance of our partners

in an effort to share value

EnvironmentReduce the impact

of our activities

Local communities

Integrate our sites more effectively into their natural

environment and develop relationships

with local communities

based on mutual trust

5

ShareholdersEnhance

the Group’s performance,

stabilize the shareholding and guarantee

good standards of governance

EmployeesProctect the

health and safety of every

employee as well as develop their

skills and enhancing

their employability

SuppliersBuy quality raw materials and

servicesunder the best

market conditions, strengthen

the relationshipwith our suppliers

and develop partnerships

CHALLENGING BOUNDARIES

EmployeesCustomers

Local Communities

SuppliersShareholders

The Environment1 Conserve our natural

resources

2 Reduce the impact on the environment

3 Manage the risks and impact related to logistics

1 Create sustainable value

2 Adopt a risk-management approach to managing a site's activity

3 Guarantee the distribution and compliance of the company's governance practices

4 Communicate regularly and transparently on all issues

1 Respect the basic labor rights of our employees

2 Guarantee excellent employee dialogue

3 Develop skills

4 Rally the support of employees

1 Respect our responsibilities in the interests of customer satisfaction

2 Guarantee the sustainable competitiveness of our products and provide value added

3 Drive innovation while protecting humankind and the environment

4 Manage product-related risks

1 Manage the risks related to site operations in their regions or countries

2 Guarantee the sustainable integration of sites into the regions where they are based

1 Develop long-term relationships with suppliers

2 Integrate the Group's SD objectives into procedures for choosing and assessing suppliers

3 Manage the industrial risks related to services provided

Our responsibilities with respect to our stakeholders

CHALLENGING BOUNDARIES

2. Employees

1. Customers

6. Communities

5. Suppliers

4. Shareholders

3. Environment

3.1 Conserve natural resources

3.2 Reduce impacts on environment

3.3 Manage risks and impacts linked to logistics

6 STAKEHOLDERS20 COMMITMENTS

73 LEVERS

3.1.1 Energetic efficiency

3.1.2 Raw materials yield and utilization

3.1.3 Water consumption

3.1.4 Employees behavior

4 EVALUATION DEGREES

Level 1 : The entity determined its energy-consumption profile (quantité et type)

Level 2 : Studies have been carried out on potential improvement of processes in terms of energetic efficiency

Level 3 : A plan for improvement actions of energetic efficiency had been carried out and driven

Level 4 : There is a substitute policy for the benefit of renewal energies taking into account economic requirements of the Group

General overview

CHALLENGING BOUNDARIES

ASSESSMENT CHART

2.1 Ensure the basic social rights of employees

Level 1Introduction

Level 2Deployment

Level 3Fully Operational

Level 4Excellence

Respect for basic rights

Basic social rights as defined by ILO agreements and the Global Compact are complied with in the framework of local regulations

The RSE agreement signed with the ICEM has been translated into the Group’s main working languages and submitted to management and to the employees’ representative bodies

The RSE agreement with the ICEM is reported to all personnel and serves as the basis for a corrective action plan if needed

Basic social rights as defined by the ILO agreements and the Global Compact, as well as the responsibilities of the RSE agreement with the ICEM, are applied in full

Identification and management of

health-related risks

There is a written document that identifies the dangers and assesses the risks related to each job

Risk identification and assessment has been conducted by means of systematic analyses (critical tasks, inspection reports, etc.)

The risk assessment methods address normal working situations and accidents

Assessment methods take account of the severity, probability and classification of the risk, as well as the nature of the groups exposed

Work-related accidents

There is a written system for reporting accidents or incidents and for investigations

The investigation system covers all types of accidents and incidents comprehensively (severity, actual costs, potential costs, etc.)

The investigation reports lead to corrective and preventive measures, which are followed up and communicated to the appropriate individuals

Intermediate or higher management participates during the investigation for all accidents and incidents that are serious or potentially serious

Diversity The entity will raise the awareness of managers and train them in the issues of diversity

The entity establishes the state of the situation in term of diversity

The entity sets specific goals based on the policy defined by the Group and determines the action plans, incorporating the specific tools developed by the Group

The entity incorporates action plans linked to diversity within management processes in a continuous improvement approach