more solvay future in short 2016automobile and aerospace sectors. solvay’s ketaspire® peek, a...
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Solvay in short2016
More Future
WHO We ARe
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SOlvAy IN SHORT
EUROPE
AISAPACIFIC
NORTHAMERICA
LATINAMERICA
SOlvAy AROUND THe WORlD
SOlvAy IN SHORT
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Solvay is a multi-specialty chemical company, committed to developing chemistry that addresses key
societal challenges. Solvay innovates and partners with customers in diverse global end markets. Its products and solutions are used in planes, cars, smart and medical devices, batteries, in mineral and oil extraction, among many other applications promoting sustainability.
2016 Key FIGUReS1
€ 10.9 bnnet sales
58countries
27,000employees
139industrial sites
10%of net sales
2,350employees
8industrial sites
1major R&I center
30%of net sales
5,050employees
30industrial sites
4major R&I centers
27%of net sales
6,400employees
44industrial sites
6major R&I centers
33%of net sales
13,200employees
57industrial sites
10major R&I centers
SUSTAINABLE SOLUTIONS3
OCCUPATIONAL ACCIDENTS AT GROUP SITES2
GREENHOUSE GAS INTENSITY
2) Rate of accidents with medical treatment with or without work stoppage.
3) Solutions that serve in an application that demonstrates direct, significant and measurable social and/or environmental benefits to society at large
43%of Group salesversus 33% in 2015
5.86kg CO
2 eq. per € EBITDA
down 19% versus 2015
0.77per million hours worked stable versus 2015
Its lightweighting materials enhance cleaner mobility, its formulations optimize the use of resources, and its performance chemicals improve air and water quality. Solvay is headquartered in Brussels and listed on Euronext Brussels and Paris. In the United States its shares are traded through a level-1 ADR program.
1) Underlying 2016 data compared to pro forma 2015
ImpROvING THe qUAlITy OF lIFe
Consumer behavior is changing as populations in mature economies are growing older and the middle classes in Africa, Asia and Latin America are increasing in size. Consumers want easy-to-use and multifunctional solutions that are tailor-made, safe and sustainable and that contribute to their health and well-being.
In the consumer goods sector, from home to personal care, we develop innovative, sustainable and competitive solutions. For the healthcare market, we offer a unique range of thermoplastics for implantable and non-implantable medical devices.
of Group net sales
18%CONSUmER GOODS AND HEALTHCARE
At Solvay, we collaborate closely with our customers and strive to gain a deep understanding of their businesses. Fully in tune with global economic and social trends, our Research and Innovation teams anticipate the impact of ongoing changes on their products and services. We help increase the value of our customers’ own innovations and make them more sustainable.
our MArKetS
Rapid population growth, ever faster innovation, and increasingly scarce resources are profoundly transforming
consumer behavior. Based on our innovative technologies and long-lasting expertise, we have developed a strong positioning on seven markets in order to capture future growth through anticipation, innovation and agility.
Building on its high-performance polymers, Solvay is entering into medical devices with a new dental care business line. Solvay Dental 360™ spans from an innovative material to replace metal in removable partial denture frames, to enabling a digital workflow that accelerates the work of dental laboratories and dentists. For patients, it means more comfortable and natural-looking dentures than with traditional metal frames.
Solvay Dental 360™ polymer means more comfortable dentures
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ELECTRICAL AND ELECTRONICS
of Group net sales
5%CONNeCTIvITy AND eNeRGy eFFICIeNCy
We work closely with manufacturers of electrical and electronic equipment, to ensure that our miniaturization technology and advanced materials are fully geared to their needs and provide them with new perspectives in terms of design, safety and energy performance.
Smartphone manufacturers rely on our strong and rigid polyamides for their increasingly slim and stylish designs. The temperature resistance of our materials helps guarantee the safety of many electronic devices. Among solutions that focus on sustainability, we provide materials for various low-energy lighting applications.
CleANeR mObIlITy
Manufacturers have to comply with ever more stringent regulations on CO2 and particulate emissions while meeting consumer demand for safer and more environmentally sustainable travel. Our solutions contribute to cleaner, safer and more energy-efficient modes of transportation.
We produce lightweight materials for both the automotive and aerospace industries to help make vehicles and aircraft more fuel-efficient and cost-effective. We provide products that improve powertrain efficiency through effective thermal control and protection against corrosion. In the field of electric vehicles, we contribute to developing batteries offering higher energy density and greater power. Our high-performance silica reduces the rolling resistance of tires, which helps cut CO2 emissions, while we also produce rare earth materials that help reduce NOx emissions from diesel engines.
Solvay has developed SolvaLite™, a range of thermoset composites for the automobile industry. SolvaLite™ meets car manufacturers' requirements by allowing design freedom, offering exceptional mechanical properties and enabling the use of automated processes while enabling a 40% weight reduction when compared with metals.
A range of thermoset composites for lighter vehicles
A semi-crystalline thermoplastic with exceptional performance for excellent adhesion electrode to achieve long life-time and higher energy density even under the harshest conditions such as high voltage and elevated temperatures, as well as a coating material for separators to greatly improve the cycle life of batteries, Solef® PVDF is a favored material for the lithium-Ion batteries used in electric vehicles.
Solef® pvDFa high-performance material for li-Ion batteries
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of Group net sales
28%AUTOmOTIvE AND AEROSPACE
of Group net sales
11%RESOURCES AND ENvIRONmENT
SUSTAINAble lIvING, eNvIRONmeNTAl pROTeCTION
The growing global population calls for greater agricultural yields and better resource management. Our portfolio of innovative solutions helps customers from farmers to food processors operate responsibly and sustainably.
We supply products to the agriculture sector that improve crop protection and yields and help reduce the use of resources and environmental impact, as well as feed supplements for livestock farming. We also supply vanilla flavors and aromas to the food production industry, many of them helping reduce fat and sugar content.
of Group net sales
10%AGRO, FEED AND FOOD
A partially fluorinated semi-crystalline specialty polymer, Halar® ECTFE offers excellent resistance to UV irradiation, chemicals, fire and abrasion and has applications in many industries. Its stability when exposed to sunlight and other weathering factors makes it an ideal material for lighter photovoltaic panels, with excellent anti-fouling properties.
Halar® eCTFefor weather-resistant solar panels AgRho® N-protect
for increased crop yield
Solvay’s N-Protect™ is a set of eco-friendly formulations designed to stabilize nitrogen fertilizers and reduce nitrogen loss caused by volatilization above ground and leaching into groundwater. Its unique range of urease and nitrification inhibitors protect the environment and increase a farmer’s yield by up to 15%, depending on crop, soil and weather.
AFFORDAble ReSOURCeS AND eNvIRONmeNT pROTeCTION
Our sustainable solutions for the oil and gas, mining, and energy generation and storage sectors help our customers offer their own consumers energy-efficient and environmentally-friendly products and services.
We supply products tailored to the specific needs of all the key phases in the oil and gas value chain: exploration, production, stimulation, transport and refining. For the mining industry, our specialty reagents enable customers to improve productivity and reduce operating costs for the recovery of many metals and minerals. A number of our solutions are used to produce and store renewable energies and to improve energy efficiency. We also focus on environmental protection, supporting air and water treatment and soil remediation.
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3D printing, a process that produces three-dimensional objects, is now widely used as a means of generating fast and inexpensive prototypes in many industries, notably the automobile and aerospace sectors. Solvay’s KetaSpire® PEEK, a premium quality polymer, is ideal for this application.
KetaSpire® peeK a polymer to aid prototyping
High-performance polymers for approved drinking water systems
Solvay markets a very broad selection of high-performance polymers for water contact handling systems for plumbing, heating, domestic hot water and drinking water. These metal replacement materials eliminate the risk of galvanic corrosion and offer greater freedom in design.
of Group net sales
18%INDUSTRIAL APPLICATIONS
of Group net sales
10%BUILDING AND CONSTRUCTION
eFFICIeNCy AND vAlUe
Striving to comply with ever stricter regulations, industrial players seek to introduce bold innovations that make their production more efficient and their products more competitive. We develop materials and processes that help manufacturers get more out of their equipment in a more responsible way.
We offer a wide range of industrial and protective coatings for industrial equipment and our polymers resist corrosion, high temperatures and chemical aggression. We produce polymers for 3D printing, widely used for prototyping. Our solutions for metal and surface treatment improve the performance of finished products.
SUSTAINAbIlITy AND eNeRGy eFFICIeNCy
Demand is growing for longer-lasting buildings that reduce energy consumption and enhance their users’ well-being. Our solutions focus on meeting the ever more stringent certification systems that measure environmental performance in passive residential and commercial buildings.
We help boost the performance of low-energy housing, while other materials give buildings greater safety and longevity through increased resistance to fire, corrosion and UVs. Our high-performance plastics ensure that water supply systems are robust.
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Group underlying
ebITDA € 2.3 bn
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OUR vISION COmmITTeD TO SUSTAINAbIlITy
Corporate & business Services
Solvay's energy services are incorporated in this segment, offering energy optimization and carbon reduction programs to our Global Business Units and to third parties.
Advanced FormulationsGlobal Business Units: Novecare, Technology Solutions, Aroma Performance
Among Solvay’s growth engines, the activities of this segment are characterized by their high customer- and applications-driven approach and relatively low capital intensity.
We organize our businesses as decentralized Global Business Units. They are largely autonomous to ensure that they remain close to their customers. They are organized in five operating segments and constantly pool their know-how and resources, leveraging benefits from our strengths as a Group.
Functional polymersGlobal Business Units: Performance Polyamides, Fibras
This segment includes our polyamide businesses; their key success factors lie in strategies focusing on optimization, operational excellence and innovation in production processes.
Advanced materialsGlobal Business Units: Specialty Polymers, Composite Materials, Special Chem, Silica
Covering a cluster of innovation-driven businesses in composites and specialty polymers, this segment contributes significantly to our performance and growth, providing strong returns on investment.
Our five key sustainability objectives, set for 2025, underlie every strategic decision we take. We take account of them as much as
we do our financial criteria.
Solvay Way, which defines the Group’s approach to sustainability, governs all our operations and ensures that we act responsibly at all times.
40%emplOyeeS INvOlveD IN SOCIeTAl ACTIONS
Throughout our 150-year history, we have always been driven by the strong belief that through innovative chemistry, our role is to help provide more future for
our people, our customers, and society. Our people are at the heart of our vision: their skills, talents and mindset guarantee our success and performance. They are the vital resource that allows us to achieve innovative sustainable solutions with less depletion of natural reserves and less waste. Our product innovations seek to help our customers meet problems facing the planet. We also focus on devising ever more efficient production and distribution processes to make our operations more responsible and more sustainable.
44%
28%
9%
performance ChemicalsGlobal Business Units: Soda Ash & Derivatives, Peroxides, Coatis
These activities generate a strong cash flow and continue to roll out top programs able to create more sustainable value.
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To implement our strategy, we aim to establish strong positions in segments where we are already active and to transform our portfolio towards more advanced materials and formulations. Our key strategic driver is innovating to create new sustainable solutions that meet the present and future needs of our customers, working in close collaboration with them.
19%
80%peOple eNGAGemeNT INDex
-40%GReeNHOUSe GAS INTeNSITy 50%
Group sales withSUSTAINAble SOlUTIONS
At least
-50%OCCUpATIONAl ACCIDeNTS AT GROUp SITeS
Emulating the scientific passion of our founder, Ernest Solvay, we are deeply committed to pushing the boundaries of
science and technology in order to shape the future. It is what led us to support Solar Impulse, the solar plane project, over a decade ago.
Our Research and Innovation teams thus play a core role in our business. Their ability to work closely with our customers to push forward disruptive innovations beneficial to both manufacturers and end-users is one of the hallmarks of our success.
Collaborative innovation is also crucial to us. We currently manage more than 100 Open Innovation projects around the world.
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OUR peOple COme FIRST
The Solvay Prize, launched in 2013 to mark our 150th anniversary, is awarded every two years by a prestigious jury to a scientist whose research will not only shape the chemistry of tomorrow but will lead to significant industrial progress that will benefit mankind. The €300,000 prize was won in 2015 by Ben Feringa for his groundbreaking work on molecular motors, for which he was also awarded the Nobel Prize in Chemistry the following year. The Solvay Prize will next be attributed in November 2017.
It is part of our corporate culture to nurture and empower our people to make sure they are able both to understand our own environment and
to anticipate and address our customers’ needs.
Our Diversity and Inclusion policy recognizes that through diversity we are giving ourselves the greatest chance of attracting the best talents,
better understanding our customers wherever they are and achieving our maximum potential. It is one of our overriding concerns that no matter where they are located, all Solvay group employees can depend upon working in a safe environment, knowing that we are fully committed to ensuring their well-being at all times.
A pASSION FOR INNOvATION
INNOvATION IN FIGUReS
2,340employees
240patent applications
€ 80 millioninvested in funds and start-ups
€ 350 millionR&I effort
The same labor rights for all
All Solvay employees around the world expect the same labor and social rights. The Group renewed and strengthened its global framework agreement (GFA) with the IndustriALL Global Union for five years in 2017. We are convinced that a constructive social dialog across the Group and an emphasis on the well-being of our employees are key to improving our economic performance.
Over the years, we have built up a reputation as as an advanced group when it comes to initiatives for employee welfare and social protection. True to this tradition, we have introduced a program in 2017 called Solvay Cares, which establishes the same minimum level of company social benefits extending to all our employees, wherever they are.
Solvay Cares, worldwide
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http://annualreports.solvay.com/2016/en
Solvay SARue de Ransbeek, 3101120 BrusselsBelgiumT: +32 2 264 2111F: +32 2 264 3061
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