Zignago Vetro — Earnings Release 2020

Mar 12, 2021

PRESS RELEASE

In accordance with Consob Resolution 11971/99 and subsequent amendments and supplements

ZIGNAGO VETRO S.P.A.

Board of Directors of Zignago Vetro S.p.A. approves 2020 Consolidated and Separate Annual Accounts. Proposed dividend of Euro 0.36 per share.

2020 results impacted by COVID-19 emergency, although recovering in the second half of the year.

• Zignago Vetro Group revenues in 2020 of Euro 406.6 million (-3.3%); export revenues of Euro 122.6 million (-17.8%) - 30.1% of total revenues.
• EBITDA of Euro 106.6 million (-9.7%; 26.2% margin).
• EBIT of Euro 53.8 million (-22.2%; 13.2% margin).
• Group Profit of Euro 45.6 million (-14.0%; 11.2% revenue margin).

Cash generation, before investments, of Euro 93.2 million (+23.8% on Euro 82.6 million in 2019).

Net financial debt of Euro 257.2 million (Euro 251.4 million in 2019).

Dividend proposed to the Shareholders' Meeting: Euro 0.36 per share, with a pay-out of 69,2% of consolidated profit.

	2020 (in Euro millions)	2019 (in Euro millions)	Cge.%
Revenues	406.6	420.5	- 3.3%
EBITDA	106.6	118.1	- 9.7%
EBIT	53.8	69.2	- 22.2%
Profit before taxes	47.0	67.6	- 30.6%
Group Net Profit	45.6	53.1	- 14.0%

Zignago Vetro Group Key Financial Highlights (*)

	31.12.2020 (in Euro millions)	31.12.2019 (in Euro millions)
Net capital expenditure	42.7	66.1
Free cash flow
 after investments	49.8	2.4
 before investments	93.2	82.6
(further details on page 3)
Financial debt	(311.3)	(300.3)
Liquidity	54.1	48.9
Net financial debt	(257.2)	(251.4)

^(*) The figures (and the subsequent comments concerning the consolidated figures) were based on the management view of the Group business, which provides for the proportional consolidation of the joint venture, in continuity with the accounting policies adopted until 31 December 2013. Following the entry into force of the new "IFRS 11 – Joint Arrangements" and "IAS 28 – Interests in associates and joint ventures" the accounting policies changed for the consolidation of the joint ventures of the Zignago Vetro Group. In particular, from 1 January 2014 the joint ventures in Vetri Speciali SpA and Vetreco Srl may not be consolidated under the proportional method and should be recognised in the consolidated financial statements at equity.

The income statement, the statement of comprehensive income, the statement of financial position and the statement of cash flows of the Zignago Vetro Group at 31 December 2020 and 2019, prepared according to international accounting standards in force from 1 January 2014, are reported respectively at attachments 3, 4, 5, 6 and 7 of this press release.

Fossalta di Portogruaro, 12 March 2021 – The Board of Directors of Zignago Vetro S.p.A., – a company listed on the STAR segment of the Italian Stock Exchange – in a meeting held today chaired by Paolo Giacobbo, approved the 2020 Consolidated Financial Statements and the 2020 Separate Financial Statements, which will be submitted for the approval of the Shareholders' AGM.

The Zignago Vetro Group companies produce high quality glass containers for the Food and Beverage, Cosmetics and Perfumery industries and Speciality Glass bottles for wines and spirits, for the domestic and international markets.

Zignago Vetro Group operating performance

In the final quarter of the year, the markets continued on the path to recovery initiated in the preceding quarter, following the dramatic impact that the COVID-19 pandemic had on global markets - and even more so on people's lifestyles.

Although amid a challenging and fragile general economic environment, the Group companies' markets have gradually normalised and the initial severe impacts have abated. This has facilitated the beginning of a sales recovery - in certain cases with significant increases on the previous year evident. In other cases, however particularly for the cosmetics and perfumery sector - the downturn in sales has eased, ahead of a return to more normal levels. Demand across all segments of the beverages and food sector has progressed well.

Consequently, the fourth quarter reports the best margin for the entire year.

Despite the general economic difficulties, glass has proven to be an ever-more appreciated material among producers and consumers for its features of healthiness, sturdiness, conservability and recyclability.

All Group companies continued to operate as normal, returning good results, while maintaining all appropriate prevention and protection measures against the ongoing emergency. Furthermore, in the fourth quarter there were no significant impacts from the COVID-19 outbreak.

All Group companies are operating at full capacity, except for the French facility, which however has begun to recover pre-COVID operating levels. This facility is the only plant for which recourse was made, although to a limited extent, to the available social security schemes.

Consolidated revenues in 2020 amounted to Euro 406.6 million compared to Euro 420.5 million in the previous year (-3.3%).

Export revenues in 2020 totalled Euro 122.6 million (-17.8% on Euro 149.1 million in 2019), comprising 30.1% of the total (39.6% in 2019).

Consolidated EBITDA in 2020 was Euro 106.6 million, compared to Euro 118.1 million in 2019 (-9.7%), representing a 26.2% revenue margin (28.1% in 2019).

Consolidated EBIT amounted to Euro 53.8 million, from Euro 69.2 million in 2019 (-22.2%), with a revenue margin of 13.2% compared to 16.4%.

The Consolidated Profit before taxes in 2020 totalled Euro 47.0 million, compared to Euro 67.6 million in 2019 (-30.6%) - a 11.6% revenue margin (16.1% in 2019).

The consolidated profit in 2020 was Euro 45.6 million, compared to Euro 53.1 million in 2019 (-14.0%). The profit margin was 11.2% (12.6% in 2019).

Zignago Vetro Group statement of financial position

Zignago Vetro Group net capital expenditure in 2020 totalled Euro 42.7 million (Euro 66.1 million in 2019). Payments on fixed assets amounted to Euro 43.4 million in 2020 (Euro 80.6 million in 2019).

The Group generated free cash flow in the year, before investments, of Euro 93.2 million (Euro 82.6 million in 2019) - after investments totalling Euro 49.8 million (Euro 2.4 million in 2019).

Group net financial debt at 31 December 2020 was Euro 257.2 million, compared to Euro 251.4 million at 31 December 2019 after the distribution of dividends to Shareholders of Euro 37.0 million and capital expenditure of Euro 43.4 million.

Group liquidity at 31 December 2020 was Euro 54.1 million, compared to Euro 48.9 million at 31 December 2019.

Financial statements of the Parent Zignago Vetro S.p.A.

The Board of Directors meeting held today also approved the 2020 Financial Statements of the parent Zignago Vetro S.p.A..

Revenues totalled Euro 238.6 million, against Euro 230.1 million in 2019 (+3.7%). The profit was Euro 41.2 million, compared to Euro 37.0 million in 2019 (+11.3%).

Net capital expenditure in 2020 amounted to Euro 16.4 million (Euro 36.6 million in 2019).

Equity at 31 December 2020 amounted to Euro 136.7 million compared to Euro 131.4 million at 31 December 2019.

The net financial debt at year-end amounted to Euro 135.2 million, compared to Euro 144.5 million at the end of 2019. During the year, the company paid dividends of Euro 37.0 million (approx. 70% pay-out).

Outlook

Although the pandemic has not yet concluded and it continues to impact lifestyles, consumption and markets, it is expected that the situation will normalise during the year and that container demand consequently will also benefit.

Against this backdrop, it is expected that the Group will increase sales and margins and maintain a solid and balanced financial position.

Subsequent events

There were no significant events after 31 December 2020.

Declaration

The Executive Responsible for Financial Reporting, Mr. Roberto Celot, declares in accordance with Article 154 bis, paragraph 2, of the Consolidated Finance Act, that the accounting information contained in this press release corresponds to the underlying accounting documents, records and accounting entries.

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Dividend proposed

The Board of Directors proposes to the Shareholders' Meeting to distribute a dividend of Euro 0.36 for each of the 87,691,025 shares in circulation. The dividend pay-out is therefore Euro 31,6 million, compared to 37.0 million for 2019. This amounted to 69,2% of the consolidated profit.

Coupon No. 15, with ex-date of 10 May and record date of 11 May, has a payment date of 12 May 2021.

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Authorisation of the purchase and utilisation of Treasury Shares

The Board of Directors approved the proposal to the Shareholders' Meeting for the authorisation to purchase and utilise treasury shares, with prior revocation, where not utilised, of the previous motion of 28 April 2020. This authorisation, similar to the terms of the previous motion, has the objective of allowing flexibility for the Company when opportunities arise.

The Board proposal concerns revocation for the outstanding period, which will conclude on 28 October 2021, and for the part not yet exercised, the previous power to acquire treasury shares and simultaneously the conferment of a new authorisation. The buy back, also in view of the Group's equity structure, may, among other purposes, serve the shareholder value creation objectives or remuneration plans for employees, executive directors and collaborators of Zignago Vetro SpA and its subsidiaries. The authorisation has the following key features:

• a) duration: 18 months from the approving Shareholders' Meeting;
• b) maximum number of shares which may be acquired: not in excess of onetenth of the nominal share capital;
• c) price of each share acquired: must not be 20% above or below the price of the ordinary share recorded on the regulated market session before each transaction.

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2020 non-financial report as per Legislative Decree 254/2016 - NFR

The Board of Directors today approved the 2020 Non-Financial Report as per Legislative Decree No. 254/2016, which provides an opportunity for ongoing and close relations with stakeholders, an essential prerequisite for combining the company's strategic vision with the principles of sustainable development and social responsibility.

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Assessment of Independence

The Board of Directors of Zignago Vetro assessed, according to the information provided by the interested parties and available to the company, the continued independence - in accordance with Article 148, paragraph 3 of Legislative Decree No. 58/1998, of the Self-Governance Code provided by Borsa Italiana and Article 16 of Consob Regulation No. 20249/2017 - of 6 (six) Directors qualifying as independent: Alessia Antonelli, Giorgina Gallo, Daniela Manzoni, Franco Moscetti, Barbara Ravera and Manuela Romei

The Board of Statutory Auditors announced that the verifications made indicated that its members were considered independent as per Article 8.C.1 and Article 3.C.1 of the Self-Governance Code of listed companies, with which Zignago Vetro S.p.A. complies.

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Approval of the Regulation of the Board of Directors and of the internal Board Committees, of the Corporate Governance and Ownership Structure Report and the Remuneration Report

The Board of Directors approved the Regulation of the Board of Directors and of the internal Board Committees, the Corporate Governance and Ownership Structure Report, which is an integral part of the financial statements, in addition to, on the proposal of the Appointments and Remuneration Committee, the Annual report on the remuneration policy and compensation paid prepared as per Article 123-ter of the CFA, whose First Section - outlining the Remuneration Policy of the company - shall be subject to, as per Article 123-ter, paragraph 6 of the CFA, the consultative vote of the next Shareholders' Meeting.

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Signing up to the Global Compact

The Board of Directors has approved the company's joining of the United Nations Global Compact. This is part of the Group's objective to meet increasingly challenging sustainability goals, set a number of years ago and represents a declaration and a formal commitment.

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Calling of the Ordinary and Extraordinary Shareholders' Meeting

In view of COVID-19 developments and the provisions to be issued by the Italian government, the Board of Directors finally granted to the Chairman of the Board of Directors the power to call the Shareholders' Meeting of Zignago Vetro S.p.A., currently indicated in the financial calendar, for 27 April 2021 in first call and, where required, in second call for 28 April.

***********************

Share capital increase in service of the Stock Option Plan.

The Board of Directors approved a proposal to the Shareholders' Meeting, in extraordinary session, to increase the share capital for a maximum nominal amount of Euro 132,000, in service of the Stock Option Plan.

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This press release is available on the website: www.zignagovetro.com

For further information: Roberto Celot Chief Financial Officer & Investor Relations Manager Zignago Vetro S.p.A. 0421-246111 r.celot@zignagovetro.com

All the figures in the Consolidated Reclassified Income Statement and Statement of Financial Position (attachments 1 and 2) reported below were prepared on the basis of management's view which considers the proportional consolidation of joint ventures appropriate, in line with the approach taken until 31 December 2013. Following the entry into force of the new "IFRS 11 – Joint Arrangements" and "IAS 28 – Interests in associates and joint ventures" the accounting policies changed for the consolidation of the joint ventures of the Zignago Vetro Group. In particular, from 1 January 2014 the joint ventures in Vetri Speciali SpA and Vetreco Srl may not be consolidated under the proportional method and should be recognised in the consolidated financial statements at equity.

The statement of financial position, the income statement, the statement of comprehensive income and the statement of cash flows of the Zignago Vetro Group at 31 December 2020 and 2019 and the statement of changes in Equity, prepared in accordance with the accounting standards in force from 1 January 2014, are reported respectively in the subsequent attachments 3, 4, 5, 6 and 7.

Zignago Vetro Group

ATTACHMENT 1

Reclassified Consolidated Income Statement (unaudited)

(management point of view, based on accounting standards in force at 31 December 2013)

	2020			2019	Changes
	Euro thou.	%	Euro thou.	%	%
Revenues	406,638	100.0%	420,523	100.0%	(3.3%)
Changes in finished and semi-finished products and work in progress	5,557	1.4%	10,113	2.4%	(45.1%)
Internal production of fixed assets	1,851	0.5%	2,635	0.6%	(29.8%)
Value of production	414,046	101.8%	433,271	103.0%	(4.4%)
Cost of goods and services	(219,296)	(53.9%)	(222,488)	(52.9%)	(1.4%)
Value added	194,750	47.9%	210,783	50.1%	(7.6%)
Personnel expense	(88,190)	(21.7%)	(92,720)	(22.0%)	(4.9%)
EBITDA	106,560	26.2%	118,063	28.1%	(9.7%)
Amortisation & Depreciation	(51,722)	(12.7%)	(48,436)	(11.5%)	6.8%
Accruals to provisions	(1,019)	(0.3%)	(467)	(0.1%)	118.2%
EBIT	53,819	13.2%	69,160	16.4%	(22.2%)
Net recurring non-operating income	(1,148)	(0.3%)	483	0.1%	(337.7%)
Operating Profit	52,671	13.0%	69,643	16.6%	(24.4%)
Net financial expense	(2,566)	(0.6%)	(2,310)	(0.5%)	11.1%
Net exchange rate gains/(losses)	(3,133)	(0.8%)	314	0.1%	n.s.
Profit before taxes	46,972	11.6%	67,647	16.1%	(30.6%)
Income taxes (Tax-rate 2020: 2.6%) (Tax-rate 2019: 21.2%)	(1,237)	(0.3%)	(14,667)	(3.5%)	(91.6%)
(Profit) Loss non-con. int.	(108)	n.s	73	n.s
Group Profit	45,627	11.2%	53,053	12.6%	(14.0%)

Zignago Vetro Group

Reclassified Consolidated Statement of Financial Position (unaudited)

(management point of view, based on accounting standards in force at 31 December 2013)

		31.12.2020	31.12.2019
	Euro thou.	%	Euro thou.	%
Trade receivables	97,966		94,779
Other receivables	19,038		24,322
Inventories	119,063		109,379
Current non-financial payables	(97,911)		(94,907)
Payables on fixed assets	(10,874)		(11,562)
A) Working capital	127,282	26.1%	122,011	25.8%
Net tangible and intangible assets	319,029		317,776
Goodwill	52,280		43,228
Other equity investments and non-current assets	9,014		5,473
Non-current provisions and non-financial payables	(20,392)		(15,196)
B) Net fixed capital	359,931	73.9%	351,281	74.2%
A+B= Net capital employed	487,213	100.0%	473,292	100.0%
Financed by:
Current loans and borrowings	129,706		153,703
Cash and cash equivalents	(54,051)		(48,876)
Current net debt	75,655	15.5%	104,827	22.1%
Non-current loans and borrowings	181,538	37.3%	146,583	31.0%
C) Net financial debt	257,193	52.8%	251,410	53.1%
Opening Group equity	221,946		200,132
Dividends paid	(37,005)		(31,569)
Other shareholders' equity changes	(592)		330
Group Profit for the year	45,627		53,053
D) Closing equity	229,976	47.2%	221,946	46.9%
E) Non-controlling interest equity	44	0.0%	(64)	(0.0%)
D+E = Group Equity	230,020	47.2%	221,882	46.9%
C+D+E = Total financial debt and equity	487,213	100.0%	473,292	100.0%

Zignago Vetro Group

Consolidated Statement of Financial Position (unaudited)

		Of which		Of which
		related		related
(Euro thousands)	31.12.2020	parties	31.12.2019	parties
ASSETS
Non-current assets
Property, plant and equipment	232,262		242,479
Goodwill	2,691		2,738
Intangible assets	2,533		2,402
Equity-accounted Joint Ventures	89,763		83,035
Equity investments	389		389
Other non-current assets	1,951		487
Deferred tax assets	5,828		4,044
Total non-current assets	335,417		335,574
Current assets
Inventories	95,777		89,761
Trade receivables	75,695	1,145	78,022	1,106
Other current assets	8,903		14,705
Tax Assets	6,199	3,331	5,215	3,547
Cash and cash equivalents	50,154		44,805
Total current assets	236,728		232,508
TOTAL ASSETS	572,145		568,082
EQUITY & LIABILITIES
EQUITY
Share capital	8,800		8,800
Reserves	40,742		39,356
Treasury share purchases	(1,093)		(1,093)
Retained earnings	135,900		121,830
Group profit	45,627		53,053
TOTAL EQUITY OWNERS OF THE PARENT	229,976		221,946
NON-CONTROLLING INT. EQUITY	44		(64)
TOTAL EQUITY	230,020		221,882
LIABILITIES
Non-current liabilities
Provisions for risks and charges	3,468		3,963
Post-employment benefit provision	4,127		4,299
Non-current loans and borrowings	146,049		123,710
Other non-current liabilities	1,624		1,876
Deferred tax liabilities	2,061		2,230
Total non-current liabilities	157,329		136,078
Current liabilities
Bank loans and borrowings
current portion	104,015		127,915
Trade and other payables	60,292	2,499	60,005	2,425
Other current liabilities	20,016		20,945
Current tax payables	473		1,257
Total current liabilities	184,796		210,122
TOTAL LIABILITIES	342,125		346,200
TOTAL EQUITY AND LIABILITIES	572,145		568,082

Zignago Vetro Group

Consolidated Income Statement (unaudited)

		Of which		Of which
(Euro thousands)	2020	related parties	2019	related parties
Revenues	306,713	4,999	323,725	5,452
Raw material, ancillary,
consumables and goods	(58,073)	(273)	(57,968)	(284)
Services	(108,937)	(13,129)	(107,464)	(11,114)
Personnel expense	(67,096)		(72,130)
Amortisation & Depreciation	(41,971)		(39,946)
Other operating costs	(5,282)		(3,617)
Other operating income	3,327		3,527
Equity-accounted joint ventures	19,016		18,087
Operating Profit	47,697		64,214
Financial income	341		662
Financial expenses	(2,649)		(2,540)
Net exchange rate gains/(losses)	(3,044)		304
Profit before taxes	42,345		62,640
Income taxes	3,390		(9,660)
Profit for the year	45,735		52,980
Non-controlling interests loss (profit)	(108)		7 3
Group Profit	45,627		53,053
Earnings per share:
Basic earnings (and diluted) per share	0.520		0.605

Zignago Vetro Group

Consolidated Statement of Comprehensive Income (unaudited)

(Euro thousands)		2020	2019
Profit for the year		45,627	53,053
Items that will be subsequently reclassified to profit or loss
Translation difference for foreign operations		(1,746)	304
Tax effect		---	---
Total items that will be subsequently reclassified to profit or
loss	A)	(1,746)	304
Items that will not be subsequently reclassified to profit or loss
Actuarial gains/(losses) on defined benefit plans		138	(350)
Tax effect		(33)	84
Total items that will not be subsequently reclassified to
profit or loss	B)	105	(266)
Total other comprehensive income statement items, net of taxes	A+B)	(1,641)	38
Total comprehensive income for the year		43,986	53,091

Zignago Vetro Group

.

Consolidated Statement of Cash Flows(unaudited)

(Euro thousands)		2020	2019
CASH FLOW FROM OPERATING ACTIVITIES:
Group Profit		45,627	53,053
Adjustments to reconcile net profit with cash flow generated
from operating activities:
Amortisation & Depreciation		41,971	39,946
Losses/(gains) on sale of property, plant & equipment		64	(264)
Provision adjustments		(1,137)	(336)
Financial income		(341)	(662)
Financial expenses		2,649	2,540
Net exchange rate gains/(losses)		3,044	(304)
Income taxes		(3,721)	(3,876)
Equity-accounted joint ventures		(19,016)	(18,087)
Dividends distributed by equity-accounted joint ventures		12,377	10,213
Changes in operating assets and liabilities:
Decrease/(increase) in trade receivables		2,797	(13,307)
Decrease/(increase) in other current assets		5,802	2,125
Decrease/(increase) in inventories		(6,016)	(10,578)
Increase/(decrease) in trade & other payables		(832)	4,805
Increase (decrease) in current liabilities		(929)	1,018
Change in other non-current assets and liabilities		(2,780)	158
Total adjustments and changes		33,932	13,391
Net Cash Flows from operating activities	(A)	79,559	66,444
CASH FLOW FROM INVESTING ACTIVITIES:
Gross investments in intangible assets		(886)	(2,974)
Gross investments in property, plant and equipment		(35,197)	(46,346)
Increase/(decrease) in payables for purchases of non-current assets		1,119	(17,548)
Equity Investments Sales price of securities		--- ---	2 ---
Sales price of property, plant and equipment		822	264
Net cash flow used in
investing activities	(B)	(34,142)	(66,602)
CASH FLOWS FROM FINANCING ACTIVITIES:
Interest paid in the period		(1,782)	(1,443)
Interest received in the period		92	163
Increase in bank payables		33,543	77,940
Decrease in bank payables Distribution of dividends		(33,650) (37,005)	(31,882) (31,569)
Net cash flow used in financing activities	(C)	(38,802)	13,209
Change in assets and liabilities items due to translation effect	(D)	(1,266)	(584)
Net change in cash and cash equivalents	(A+B+C+D)	5,349	12,467
Cash & cash equivalents at beginning of year		44,805	32,338
Cash & cash equivalents at end of year		50,154	44,805

Zignago Vetro Group

Statement of Changes in Shareholders' Equity (unaudited)

	Share capital	Legal reserve	Revaluation reserve	Other reserves	Capital paid-in	Treasury shares	Translation reserve	Actuarial gains/(losses) on deferred benefit plans	Retained earnings	Profit	Total Group equity	Total non-controlling interest equity	Total consolidated equity
Balance at 31 December 2018 restated 8,800 1,760 27,334 11,546					157		(1,093) (1,248)	(922)			113,992 39,806 200,132	9	200,141
Profit (Loss) Other profits/(losses), net	---	---	---	---	---	---	---	---	---	53,053	53,053	(73)	52,980
of tax effect Total Comp. Income	---	---	---	---	---	---	304	(266)	---	---	38	---	38
(loss)	---	---	---	---	---	---	304	(266)	---	53,053	53,091	(73)	53,018
Allocation of result Sale of treasury shares	---	---	---	---	---	---	---	---	53,053	(53,053)	---	---	---
IFRS 2	---	---	---	---	---	---	---	---	---	---	---	---	---
Other changes	--- ---	--- ---	--- ---	292 ---	--- ---	--- ---	--- ---	--- ---	--- ---	--- ---	292 ---	--- ---	292 ---
Movement non-controlling interests eq.	---	---	---	---	---	---	---	---	---	---	---	---	---
Distribution of dividends Balance at	---	---	---	---	---	---	---	---	(31,569)	---	(31,569)	---	(31,569)
31 December 2019			8,800 1,760 27,334 11,838		157	(1,093)	(944)	(1,188)			135,476 53,053 221,946	(64)	221,882
Profit (Loss) Other profits/(losses), net	---	---	---	---	---	---	---	---	---	45,627	45,627	108	45,735
of tax effect Total Comp. Income	---	---	---	---	---	---	(1,746)	105	---	---	(1,641)	---	(1,641)
(loss)	---	---	---	---	---	---	(1,746)	105	---	45,627	43,986	108	44,094
Allocation of result	---	---	---	---	---	---	---	---	45,627	(45,627)	---	---	---
Sale of treasury shares	---	---	---	---	---	---	---	---	---	---	---	---	---
IFRS 2	---	---	---	1,049	---	---	---	---	---	---	1,049	---	1,049
Other changes Movement non-controlling	---	---	---	---	---	---	---	---	---	---	---	---	---
interests eq.	---	---	---	---	---	---	---	---	---	---	---	---	---
Distribution of dividends Balance at	---	---	---	---	---	---	---	---	(37,005)	---	(37,005)	---	(37,005)
31 December 2020			8,800 1,760 27,334 12,887		157		(1,093) (2,690)	(1,083)			144,098 45,627 229,976	4 4	235,841

Zignago Vetro Group ATTACHMENT 9

ESG: main indicators and KPI's (*)

Topic	KPIs	2019 actual	2020 Objectives	2020 actual	2026 Strategic objectives
Raw materials management	% of recycled glass of external origin on total glass produced	41.9%	n.a.	48.0%	57.0%
Energy efficiency	Energy consumption per tonne of glass produced	Cge.%: - 5.5%	Cge.%: - 1.7%	Cge.%: - 2.1%	Cge.%: - 9.6%
	% of electricity from renewable sources	40.60%	45%	44.3%	81.0%
Water resource management	Specific water consumption per tonne of glass produced	Cge.%: - 33.9%	Cge.%: - 25.5%	Cge.%: - 20.3% (Note A)	Cge.%: - 40.8%
Emissions	Specific CO2 emissions	Cge.%: - 5.7%	Cge.%: - 1.1%	Cge.%: - 6.2%	Cge.%: - 25.9%
	Sustainable logistics	Multi-modal transport system	In development phase	In development phase	In development phase
Waste management	Ordinary waste per tonne of glass produced	Cge.%: - 13.8%	n.a. (recorded annually)	Cge.%: + 13.8%	n.a. (recorded annually)
			adoption ISO 14001 in Poland	● adoption ISO 14001 in Poland	Maintain current certifications
Other	Group certifications			● ISO 14001 underway in France: expected by 2022	Adopt following new certifications:
		adoption ISO 14001 in Italy		FSSC 22000 underway in Empoli, ● expected by mid-2021 and in Fossalta by 2022	● ISO 45001 in Empoli by 2023, in Fossalta by 2024, and in Poland by 2025 ● ISO 50001 in Poland by 2021, in
				ISO 9001 in France underway and ● expected by 2021	Empoli and Fossalta by 2023 ● FSSC 22000 in Poland by 2023
		Ecovadis: Silver rating	Ecovadis: obtain Gold rating	Ecovadis: Silver rating	Improve Ecovadis and CDP scores
		CDP score B	CDP score A-	CDP score B
	Social / environmental initiatives	over 10 projects supported	€ 100,000 budgeted for social/environmental support initiatives	over euro 590,000 (includes COVID 19 emergency aid)	0.25% of annual consolidated result to social and environmental initiatives

Note A : Not all technical work carried due to COVID-19

(*) 2020 data not audited