Coca‑Cola HBC Czech Republic and Slovakia

SOCIAL RESPONSIBILITY REPORT 2015

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Editorial

DEAR CUSTOMERS, BUSINESS PARTNERS, SUPPLIERS, FRIENDS AND READERS,

This year’s tenth anniversary edition of the Social Responsibility Report provides information about our company for 2015 and includes those areas of our activity that may not be very visible, but that are an integral part of all our efforts and that contribute to our business becoming permanently sustainable.

On the pages of this completely updated version of the report, you will find information about how we do business while simultaneously trying to observe the principles of environ-mental protection and adhering to many ethical standards, what kind of work environment and conditions we offer our employees, how we try to minimise our impact on the work around us and how we support those locations where we do business, i.e., information about our activities that go above and beyond what is required by local legislation and that we, as a socially responsible company, strive to implement.

In 2015, our group, Coca Cola HBC, was again assessed as a leader in the non-alcoholic beverages category under the DJSI: Dow Jones Sustainability World Index and Dow Jones Sustainability Europe Index. We also received an excellent evaluation in the area of projects focused on information

about carbon emissions and were included in the CDP Climate Performance Leadership Index 2015 (an index of companies that are doing the most to fight climate change).

In 2015, EWS (European Water Stewardship) principles were implemented and successfully certified. These principles con-stitute a system aimed at protecting water sources and backed by EU policies. Our Prague plant was awarded the Golden Status rank under this scheme.

For the past ten years, our social responsibility reports have been making it possible to look back and document in the medium term our approach to doing business in the Czech market.

For me, personally, they are proof that we have been trying for quite some time not only to succeed in the Czech market-place, but also to be responsible, considerate and, wherever possible, even beneficial to our surroundings, and that our efforts in the area of sustainability are fully integrated into everything we do, whether in better times or in harder times.

We believe that the information contained in this report will be proof for you as well.

Tomáš Gawlowski CEO

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Stable markets

Developing markets

Emerging markets

Coca-Cola HBC Group

Coca-Cola Česká republika, s.r.o., is a member of Coca-Cola HBC Group, one of the word’s biggest producers of The Coca-Cola Company brand beverages. Coca-Cola HBC Group ope-rates in 28 European, Asia and African countries and produces beverages to more than 590 mil-lion customers. The entire group has more than 36,000 employees, 66 production centres and 307 distribution centres and warehouses. Coca-Cola HBC headquarters are registered in Switzerland. The company’s shares are listed on the premium segment of the London Stock Exchange with a secondary listing on the Athens Stock Exchange. All activities of Coca-Cola HBC Group are aimed at achieving a leading position in the area of sus-tainable development.

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Contents

5 History

7 Coca‑Cola system

10 Our mission, company strategy and values

11 Social responsibility

13 “I” 15) Product portfolio 2015 news Nestea and Cappy Ice Fruit

with steviol glycosides Ingredients contained in non-

alcoholic beverages 18) Informed selection and

responsible marketing Safety and quality Nutrition labels Responsible marketing

20) Active lifestyle and health

22 “WE”

24) Supporting the development of young people

Children’s homes Tours of the Prague-Kyje

production plant Cooperation with

universities 26) Cooperation with local

communities and non‑profit organisations

Non-profit organisations and other special-interest groups

Cooperation with local municipalities

Christmas truck 28) Customers The work of a sales

representative Customer service centre Customer magazine E-shop

30) Our employees Education and training Orientation programme for

new employees Remunerating our employees Internal communication Employee council Regular employee

satisfaction surveys Occupational health

and safety People in numbers

36 “WORLD”

38) Water 39) Energy and Climate Fleet Beverage coolers 42) Packaging and recycling Waste disposal Standards, certificates

and rules

How it all began

The history of the Coca-Cola brand dates back to 1886, when its first bev-erage was invented in Atlanta, Georgia. The brand first appeared in this part of the world 79 years later: Coca-Cola was brought to Western Bohemia by Amer-ican solders at the end of the Second World War and used it as barter for Pilsner beer.

The first Coca-Cola was produced then Czechoslovakia in 1971. It was based on a licence agreement between The Coca-Cola Company and the national enterprise Fruta Brno, which traded with vegetable and fruit products.

Thanks to this agreement, the Czechs could try various products from numer-ous products until 1989. Cherry Coke and caffeine-free Coca-Cola was made in Karlovy Vary; Cappy fruit juices in Chrást u Chrudimy; and Lift in České Budějovice. An important milestone for expanding the assortment of Coca-Cola beverages was of course the year 1989. After the Velvet Revolution, The Coca-Cola com-pany began to operate in Czechoslovakia independently.

1990The company enters negotiations with Pražské sodovkárny (Prague Soda Works) and Prague City Hall and es-tablishes a base in Vienna for the working team of the Central European branch of Coca-Cola Amatil, which had the task of assessing investment possibilities in Czechoslovakia. In the middle of the year, Coca-Cola Amatil begins negotiations

with local production plants with the aim of transforming and consolidating the production of Coca-Cola in Czech-oslovakia.

1991Coca-Cola Amatil obtains the licence for Coca-Cola brand beverages for the whole of Czechoslovakia and enters the Czech market. It ends negotiations with Prague Soda Works on establishing a joint venture and submits a proposal to pur-chase a 100% share in a plant producing non-alcoholic beverages in Prague-Kyje. It creates a sales and distribution branch under the name Coca-Cola Amatil Praha, concludes bottling agreements with state enterprises in Brno, Karlovy Vary and Chrást u Chrudimy, and employs the first 56 people.

1992Coca-Cola Amatil signs an agreement on purchase of the soda works in Kyje and begins its technological modernisation.

1993Prime Minister of the Czech Repub-lic Václav Klaus, Coca-Cola Compa-ny President Roberto Goizueta and Coca-Cola Amatil President Dean Wills open the refurbished plant. The new production line bottles beverages into two-litre PET bottles.

History

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1997Coca-Cola Amatil splits. Its European part becomes the British-based Coca-Cola Beverages and later also Coca-Cola Bev-erages Czech Republic, which opens ten sales and business centres and employs more than 1,000 people.

2000Coca-Cola Beverages merges with in-dependent Greek company Hellenic Bottling. The second biggest strategic partner of The Coca-Cola Company is thus formed: Coca-Cola Hellenic Bottling Company. It builds a sales and distri-bution network in the Czech Republic.

2005The joint operations unit Coca-Cola Beverages Česká a Slovenská republika is established. Tomáš Kadlec is appointed CEO.

2008The company’s name changes to Coca-Cola HBC Česká republika.

PARTNERSHIP WITH THE COCA‑COLA COMPANY

We combine the resources, knowledge and experience of The Coca-Cola Company (TCCC) with our own from beverage production, distribution and sales.

TCCC manufactures and sells concentrates that form the base of our beverages. TCCC is also responsible for creating demand through marketing aimed at consumers and for developing the various brands. We, Coca-Cola HBC, are responsible for the production, distribution and sale of The Coca-Cola Company brand non-alcoholic beverages. We are responsible for “trade marketing”, which is executed directly at our customers’ establishments.

Coca‑Cola HBC Česká republika, s.r.o., is a subsidiary of Coca-Cola HBC and produces, sells and distributes The Coca-Cola Company brand non-alcoholic beverages. We work with more than 50,000 customers and operate ten distribution and administrative branches, through which we supply our products to our business partners and, through them, to end consumers as well. We employee almost 1,000 people in the Czech Republic and Slovakia. Countless other jobs are linked to each position through our supplier-customer relationships.

THE COCA‑COLA COMPANY

Creates demand

Owns the trademarks

Supplies concentrates

Develops the various brands

Targets marketing at consumers

Coca-Cola system

COCA‑COLA HBC

Manufactures beverages from purchased concentrates

Arranges distribution and sale

Manages customer relationships

Conducts marketing in the customers’ establishments

Develops distribution channels

Invests in manufacturing equipment

PARTNERS ALREADY FOR

60 YEARS7

Infrastructure

8

50,000customers

150sales

representatives

55,000beverage coolers

4,905vending

machines

2,510post‑mix machines

207different products on sale

290 mil.litres of

beverages sold in 2015

COCA‑COLA HBC ČR IN NUMBERS:

CZECH REPUBLIC

Production plant

Central warehouse

Distribution centre

BBX distribution centre

Transit point

Distribution to transit pointTruck transport

Teplice

BrnoZlín

Liberec

Karlovy Vary

Olomouc

Ostrava

České Budějovice

Hradec Králové

HavlíčkůvBrodPlzeň

Prague

Horní Počernice Distribution Centre

Bottle Cycle

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NEW TECHNOLOGY:

Between 2008 and 2015, the amount of water needed to produce 1 l of beverage fell by 43%.

COCA‑COLA HBC, PRODUCTION

PLANT

PORTFOLIO

PRODUCTION LINE, BOTTLING

WAREHOUSE

DISTRIBUTION

CUSTOMER

CONSUMER

EKO‑KOM, RECYCLING

Communication with customers: More than 1 mil-lion calls per year Call centre

Web portal

Magazine

E-shop

We help local communities

Informed choice Responsible marketing

Active lifestyle and health

We reduce CO₂ produc-tion by sorting waste

Our employees Motivation survey

OHS

Internal communication

HR indicators

Water source pro-tection, water and energy savings

Our mission, company strategy and values

Our mission is to bring refreshment to our consumers, be a partner to our customers, generate profit for our shareholders and enrich the lives of local communities.

The foundation stones of our strategy – today and in the future – are and will be our values

Our authenticity, they way we care for our employees, our team spirit, our efforts to improve performance, our ability to learn and our focus on customers make us undefeatable. We honour these values and adhere to them. We tie our values to our other building blocks, i.e., our ability to: Manage our costs

Be a trustworthy partner to our customers

Gain the trust of surrounding communities

Build trust with consumers.

If we add the other important “ingredients”, i.e., our efforts to nurture talent and our excellent relation-ship with The Coca-Cola Company, to this mix, then we have a strategy that is effective and sustainable over the long term.

OUR VALUES

WE WIN WITH OUR

CUSTOMERS

Our customers are at the heart of everything

we do.

WE CONTINUE TO

LEARN

We listen to others and are naturally curious.

PERFECTION

We want to astonish peo-ple with our speed and

passion for work.

WE ARE ONE TEAM

We believe in the power of teamwork.

AUTHENTICITY

We honour our values. We do what is right,

not what is easy.

WE SHOW INTEREST IN

OUR EMPLOYEES

We listen to our employees, help them develop and

give them responsi-bility.

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Social responsibilityThe social responsibility practiced by Coca-Cola HBC Česká republika stems from our efforts to ensure sustainable development. In the last decade, we have included social responsibility and long-term sustainability in all aspects of company management and made investments aimed at creating values in the long term. A key issue for our business and for the communities that hold a stake in it is consumer health. We also continue to focus on minimising our impact on the environment.

Our efforts have been receiving recognition from the Dow Jones Sustainability Index (since 2008) and FTSE4Good Index (since 2001). In 2015, our company was assessed under the DJSI: Dow Jones Sustainability World Index and the Dow Jones Sustainability Europe Index as a leader in beverage production. We also received the highest A rating under the Carbon Disclosure Project (CDP, a project for disclosing information about carbon emissions) and were included in the global CDP Climate Performance Leadership Index 2015 (an index of companies that do the most to fight climate change).

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Managing the company’s social responsibility and sustainability development

Our business strategy and basic values reflect the great importance that we place on the crea-tion of values shared by employees, consumers, customers and local communities. In order for us to actually achieve this, sustainability has to be firmly rooted in our business. In our company, however, responsible behaviour

and sustainable development does not end with the creation of a bottle of Coca-Cola. We are present in the entire value chain: from the producers of the raw ingredients, through suppliers and end consumers, to the general public. Our aim is to create value for each consumer and be an agent of positive change, both locally and globally. Our sustainable de-velopment strategy is implemented in the spirit of the same mission:

“I. We. The world.”

Our goal is to continue to be a respected economic and social partner and to contribute to the development of local communities by caring for future generations. It is our logical obligation to support youth and provide them with various opportunities to grow and devel-op. Our partners are organisations devoted to youth and their development, as well as the towns and cities where we operate.

We try to meet the needs of our consumers by presenting and promoting the right product for the right occasion and for the right price.

Consumer satisfaction is our main priority. We try to make sure consumers know the facts about our products and understand their possible role in an active lifestyle. We place emphasis on the possibility of informed con-sumer choice and have our work understood through various activities (e.g., our support of sporting organisations and active lifestyle, or responsible marketing campaigns).

As we are aware of the impact of our op-erations on the environment, an environ-mentally friendly approach is the basis for all our activities. We have specific, measurable goals in place with respect to environmental impacts, and are constantly trying to reduce the amount of water required to produce 1 litre of beverage and the amount of en-ergy that we consume. We work with our partners to communicate these changes, and together we implement projects in the field of environmental protection, including par-ticipation in the packaging waste collection and sorting system.

I We The world

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I

One of our main commitments is to provide consumers with transpar‑ent information about our prod‑ucts and help them understand the role of these products in their balanced and active lifestyle. The aim of our programmes in this area is to deal with relevant consumer questions on nutrition and living a healthy lifestyle.

STRATEGIC AREAS WITH A SIGNIFICANT IMPACT

A) Product portfolio

Our portfolio is characterised by its vari-ety of flavours, ingredients and packaging. In our efforts to respond to our custom-ers’ needs, we offer a large selection of beverages, including products with a reduced and zero calorie content.

B) Informed selection and responsible marketing

Precise and clear information for customers regarding the calorie content of our products is a priority for us. Such information helps consumers make an informed choice and allows them to monitor their daily energy input and output. Based on this, we voluntarily state Guideline Daily Amounts (GDA) on our products.

Another key priority is education and the provision of information about the ingredients contained in our products. We actively provide information about our products to consumers through various communication channels, including a consumer infoline and easily accessible e-mail.

VOLUNTARY COMMITMENT TO CONDUCT RESPONSIBLE MARKETING We do not address children under the age of 12, as children this old do not have enough experience or the ability to assess the information provided.

C) Active lifestyle and health

We support the active lifestyle of con-sumers and local communities by cre-ating various opportunities conducive to it. We are confident that a balance between the number of calories we consume through foods and beverages and the number of calories we burn through physical activities and sports is very important for our overall physical and mental health, and not only in terms of controlling body weight.

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Our range of products include non-al-coholic beverages, packaged water and flavoured water, juices, nectars, sports and energy drinks, and coffee- and tea-based beverages. Our goal is to be on hand whenever you get a craving for a non-alcoholic beverage, to always offer a beverage and packaging that is best for the craving, mood and occasion. In con-nection with the mentioned products as well as Coca-Cola Zero and Nestea with stevia, we are seeing an increase in interest and demand for progressive products with a low energy content; we will, therefore, be expanding the products on offer.

A WIDE SELECTION OF BEVERAGES, INCLUDING PRODUCTS WITH A LOW OR ZERO CALORIE CONTENT

Portfolio of products

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2015 Sales Volume (l)

Coca‑Cola 139,072,954

Bonaqua 44,524,407

Coca‑Cola Zero 19,981,072

TOP 3 brands

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BEVERAGES SOLD FROM THE COCA‑COLA HBC PORTFOLIO – SHARE OF EACH CATEGORY

Cappy Pulpy Grapefruit 1 l

Cappy Pulpy Peach 330 ml and 1 l

Bonaqua Gooseberry & Black Currant 1,5 l

Bonaqua Coconut & Raspberry (limited edition)

Monster 4 × 500 ml packaging

Monster Mega 553 ml can

Nestea Mountain Forest 1.5 l

Nestea Elderflower and Grape 0.5 l, 1.5 l

Coca‑Cola, Coca‑Cola Zero, Fanta Orange, Sprite 1.25 l

Coca‑Cola Zero, Fanta Orange, Sprite 4 × 330 ml can

Coca‑Cola 250 ml ALU bottle

Coca‑Cola 500 ml can

NEW FOR 2015

To allow us to offer our consumers beverages that correspond to lifestyle trends, we are ever expanding our portfolio of products, and each year we innovate existing products.

Water 16%

Energy drinks 1%

Juices and juice beverages 5%

Ice teas 4%

Carbonated beverages 74%

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NESTEA AND CAPPY ICE FRUIT WITH STEVIOL GLYCOSIDES

In 2012, the first product containing stevi-ol glycosides was introduced to the Czech market – Nestea ice tea containing 30% less sugar but with the same great taste. Steviol glycosides are a sweetener obtained from Stevia rebaudiana, a plant from South Amer-ica. Thanks to their taste and low energy content, steviol glycosides are the preferred sweetener in many beverages and foods. Based on conducted research, this sweetener was approved by the US Food and Drug Administration (FDA) and numerous food supplement experts under the Food and Agriculture Organization of the United Na-tions. The European Commission approved the use of steviol glycosides in beverages in the European Union in 2011. In 2014, we began using this sweetener in all our Nestea ice teas and Cappy Ice Fruit beverages.

INGREDIENTS CONTAINED IN NON‑ALCOHOLIC BEVERAGES

The existing legal framework represents the minimum obligation that for us constitutes the basis for fulfilling the strict quality standards that pertain to our products. We only use ingredi-ents that fulfil strict quality requirements and are scientifically recognised and tested as safe.

The ingredients contained in our beverages include sugar, caffeine, natural flavours and low or zero calorie sweeteners.

Our carbonated drinks contain fructose-glu-cose syrup made from corn (a mixture of 51% fructose and 49% glucose) and tradi-tional sugar, which contains 50% glucose and 50% fructose. Zero calorie sweeteners, such as aspartame, help consumers monitoring calories reduce calorie intake and maintain a desirable body weight. Aspartame is one of the scientifically most scrutinised ingredi-ents and its safety has been proven through more than 200 studies over 30 years. The newest research by the European Food Safe-ty Agency (EFSA) conducted in December 2013 confirmed that aspartame is entirely safe as an ingredient. When manufacturing Coca-Cola beverages, we also use caramel colour (E 150d) and phosphoric acid (E 338).

0.5 to 1 litre13%

Smaller than 0.5 litre 14%

1 litre or more74%

Other 86%

Low and zero calorie 14%

Size of packaging soldProportion of sold beverages with

low or zero calorie sweeteners to all non-alcoholic carbonated beverages

Informed choice and responsible marketing

We provide maximum information about the ingredients and nutritional content of our beverages.

SAFETY AND QUALITY

The production plant and warehouses of Coca-Cola HBC Czech Republic are certi-fied according to internationally recognised systems for quality control (ISO 9001), food safety (ISO 22000 and FSSC 22000), environmental protection (ISO 14001) and occupational health and safety (OHSAS 18001). Regular audits of these systems are a guarantee of compliance with the strictest standards and, at the same time, help us im-prove. At our production plant in Prague-Kyje, we have modern facilities and well-equipped laboratories. Here we carry out weekly tests to determine the quality of our products be-fore they get to our consumers. We strictly observe food safety regulations and only use ingredients approved by the relevant scientific organisations. Our existing products do not contain any genetically modified ingredients.

NUTRITION LABELS

As part of our cooperation with UNESDA*, we have undertaken to provide European consumers with more detailed information about the contents of our products. This pro-cess was undertaken in the Czech Republic in 2007, when more information was added to the labels on all our beverages.

We believe our European consumers want information about our products to be short and clear, but also scientifically backed, so that they can responsibly choose those products that best correspond to their lifestyle and nu-trition demands. Research convincingly shows that people want information in a form that is simple and easy to see. If we, as one of the main European companies on the food and beverage market, act conscientiously, we will help consumers better understand the information that we provide them. We firmly believe that other companies will join our ranks and, in their best interests, give consumers all necessary information.

For example, “Guided Daily Amount”, or GDA, provides consumers with information about calorie, fat, saturated fat, sugar and sodium content. It is supplemented with a percentage that shows how much of the guideline daily amount the consumer ingests by consuming 250 ml of the product. Accord-ing to this data, it is easier for consumers to determine the amount they can consume depending on lifestyle, with it being general accepted that the optimal average energy intake for a healthy person is about 2,000 calories a day.

* UNESDA: Union of European Beverages Associations

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RESPONSIBLE MARKETING

Our company also conducts respon-sible marketing in the Czech Republic through its membership in the Europe-an Beverages Associations (UNESDA), and observes the following voluntary commitments: No marketing aimed at children under the age of 12

Removal of any direct advertising to children suggesting they try to convince their parents to buy com-pany products

Our company also advocates UNES-DA’s voluntary commitments to the EU platform for action on diet, physical activity and health. To fulfil these com-mitments, we have decided, beginning in 2007, to no longer sell soft drinks at basic schools and to replace them with a different product portfolio (packaged water, juices) in re-closable packaging to allow for controlled consumption.

INGREDIENTS CONTAINED IN NON‑ALCOHOLIC BEVERAGES

The existing legal framework represents the minimum obligation that for us consti-tutes the basis for fulfilling the strict quality standards that pertain to our products. We only use ingredients that fulfil strict quality requirements and are scientifically recognised and tested as safe.

The ingredients contained in our beverag-es include sugar, caffeine, natural flavours and low or zero calorie sweeteners.

Our carbonated drinks contain corn syr-up with a high fructose content (a mixture of 49% glucose and 51% fructose) and traditional sugar, which contains 50% glucose and 50% fructose. Calorie-free sweeteners, such as aspartame, help con-sumers monitor calorie intake, reduce it and maintain a desirable body weight. Aspartame is one of the scientifically most scrutinised ingredients and its safe-ty has been proven through more than 200 studies over 30 years. The newest research by the European Food Safety Agency (EFSA) conducted in Decem-ber 2013 confirmed that aspartame is entirely safe as an ingredient. When manufacturing Coca-Cola beverages, we also use caramel colour (E 150D) and phosphoric acid (E 338). Caramel colour, which gives beverages a specific colour, was approved by EFSA as a safe ingredient in 2011.

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Balance+

Variety+

Moderation+

Active lifestyle =

Healthy life

Low-or zero-calorie

sweeteners=

Scientifically recognised and

verified=

Safe ingredients

Active lifestyle and health

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Increased body weight in humans is usually caused by an imbalance between calories consumed and calories burned regardless of where they come from. Our obligation as a responsible company is to inform consumers about the number of calories contained in our products. Watching our weight is a matter of maintaining a balance between what we eat and drink and what our organism burns.

Our goal is to support an active lifestyle – many experts confirm that activity and movement are the key to resolving issues surrounding the rise of obesity. Coca-Cola is a traditional partner of many world sporting events – particularly worthy of mention are the Olympic Games (since 1928) and the long-running cooperation with the international football association FIFA (since 1978).

Our approach to a healthy lifestyle

Possib

ility to c

hoose

Responsible marketing Innovation

Possibility to choose

Decisions made on the basis of scientific

results

Transparent information

Promotion of an active and healthy

lifestyle

Bala

nce

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COCA‑COLA CUP

The biggest effort undertaken by Coca-Cola HBC Czech Republic on the local level in the field of sports is the Coca‑Cola Cup (known as the School Cup), which began in 2000 and since then has grown into one of the biggest sporting events in the Czech Republic. Under the auspices of the Czech Ministry of Education, Youth and Sport and the Czech Football Association, a football tournament for middle and high school students takes place each year. In 2015, 901 teams took part in the fourteenth year of the event, which is almost 13,500 young athletes. One of the main objectives of the project is to get children involved in sport and to have them spend their leisure time actively, as well as to give amateur teams at all basic schools the possibility to play a real game against a first-rate opponent. All Coca-Cola games are played on standard football fields. The win-ning teams always receives a valuable prize. Jan Koller, the best striker on the Czech national football team, is the ambassador for the project.

We

The aim of our work is also to contribute to improving the quality of life of the communities where we are present. We are therefore ready to help them when-ever they need our support. The public’s trust is one of the main imperatives of our business strategy.

STRATEGIC AREAS WITH A SIGNIFICANT IMPACT

A) Support for the development of young people

We work with various organisations with the aim of supporting the development of young people and preparing them for a suitable future career.

B) Cooperation with local communities and non-profit organisations, help during natural disasters

We support those initiatives and part-nerships that are important for local communities; we listen to the commu-nities where we are active, and take into account their views and needs in our business. Access to clean drinking water is one of the most urgent needs during natural disasters. We, therefore, effec-tively help people who have been hit by various kinds of disasters by arranging for supplies of water in cooperation with the Czech Red Cross.

C) Customers

We want to be partners to our cus-tomers and help them in their business ventures.

D) Our employees

The business success of Coca-Cola HBC ČR is dependent on employees and their degree of motivation.

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Support for the development of young people

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CHILDREN’S HOMES

In December 2000, Coca-Cola HBC Czech Republic launched a project to support children’s homes in the Czech Republic.

The idea to support selected children’s homes over the long term came from company employ-ees during an in-house survey, where they stated their desire for the company to become more involved in charity work. We chose children’s homes near municipalities where our business and administration centres are located: Boršov nad Vltavou, Brno, Brušperk (now Frýdek-Místek), Jablonec nad Nissou, Mariánské lázně, Olomouc, Plzeň, Prague 9, Ústí nad Labem and Vrchlabí. Altogether, more than 400 children live in these homes. Our objective is to contribute

to improving the day-to-day life of the children living in the homes. We want the children to be able to afford what their schoolmates can. In other words, we do not want to contribute to repairing the roof of the gym in the homes, but we want to help finance, for example, the children’s free time activities. We thus contribute to fieldtrips and outings organised by the homes, help finance the education of the children, and so on. For example, we paid for bartending and hairdressing courses, driving courses or African drumming courses. In the past, we distributed millions of Czech crowns to the schools.

TOURS OF THE PRAGUE‑KYJE PRO‑DUCTION PLANT

During the school year, we organise tours of the factory for secondary schools, colleges and universities. The aim of this programme is to acquaint students with the history of the bev-erage and the company, but also our day-to-day operations. For each visiting class/group, we offer a similar programme, which consists of a tour of the factory, a talk about the history of the company, and information about how we manage distribution, care for our customers etc. If a class is interested in more detailed informa-tion about, e.g., marketing or sales, we are able to arrange a “customised” tour upon request. Last year, over 1,500 students and teachers took part in the tours.

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COOPERATION WITH SECONDARY SCHOOLS

In 2015, our company began cooperation with the non‑profit organisation JA CZECH, which was founded in 1992 by Tomáš J. Baťa with the objective of providing young people with a practical, econom‑ics‑based education, developing their knowledge and skills, and inspiring them to take an active approach to life. We actively supported the 20th anniversary of the competitive fair JA STUDENT COMPANY OF THE YEAR, in which 41 student‑founded JA Companies and teachers participated. Under this pro-gramme, students set up their own company that is overseen by a teacher and consultant. A JA Company allows participants to understand how a company works, from its foundation to its liquidation. This an actual enterprise, not a fictional one. Students not only learn the ad-ministrative procedures required to set up a company, but also to make decisions and include social responsibility in their business venture.

COOPERATION WITH UNIVERSITIES

It is our responsibility to educate not only our employees, but also communities, especially young people – future talents and professionals on the job market. For this reason, not only do we work with organisations that associate university students across the Czech and Slovak Republic, such as IAESTE, but we also com-municate directly with selected universities. IAESTE is an organisation associating students of universities of technology in 86 countries

around the world with the aim of organising international exchange programmes, which help students with their professional and per-sonal development. Coca-Cola HBC works with students in the form of training courses and workshops and offers other specific activ-ities: providing consultation on theses, heading certain projects or organising Coke Days, with excursions to our factory. Students who are healthily ambitious, proactive, enthusiastic about implementing the knowledge they gain into practice and interested in our company are always welcome as part-timers. We are very happy if they then join our company as full-time employees in one of our specialised positions after graduating from university or decide to take part in our trainee programme.

UNIVERSITY STUDENTS ARE INTERESTED IN WORKING FOR US

The Czech Students Union (Česká student-ská unie – ČeSU) has published the results of its ČeSU TOP Employer 2016 survey, in which 8,600 students took part. The company survey shows who is number one in the job market in each sector (from the automotive industry, through information technology, to consultancy). Our company, Coca-Cola HBC, took second place in the consumer industry category, thereby improving its position by one level from last year). The result pleases us, but it is also a challenge for us to contin-ue working with students and trainees more intensively!

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Cooperation with local communities and non-profit organisations

NON‑PROFIT ORGANISATIONS AND OTHER SPECIAL‑INTEREST GROUPS

In addition to what was mentioned, we also work with many non-profit organisations across the Czech Repub-lic, such as Naděje, Nadace Terezy Maxové (Tereza Maxová Foundation), Srdičko (an association helping the physically handicapped), Šance (an association attached to the teaching hospital in Olomouc), Dětské krizové centrum (Children’s Crisis Centre), AVAZ (an associa-tion of wheelchair users and the mentally handicapped),

pre-schools, basic schools and secondary schools for the hearing impaired, CEREBRUM (an association of brain injury survivors and their families), Sdružení do-brovolných zdravotnických záchranářů Česká Kamenice (Association of Volunteer Emergency Rescue Workers of Česká Kamenice), ADRA (a development and relief agency), etc. All blood donors donating blood through the Czech Red Cross in Prague can replenish their energy with our beverages. Everyone, however, can quench their thirst at the Potmě (In the Dark) cafe set up by the Světluška, a foundation for the blind.

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COOPERATION WITH LOCAL TOWN HALLS

Coca-Cola HBC Česká republika works with the Municipality of Prague 14, where its headquarters are located, and, since 2008, with the Municipality of Prague 20, where its distribution centre is located. Each year, we organise Children’s Day with the Prague 14 town hall. Prague 14 traditionally provides the venue, organisational support and the cultural programme; Coca-Cola HBC Česká republika organises the competitions and attractions for the children, such as the jumping castle or crawling tube. Together we then hand out presents to the children: there have to be enough gifts to go around and for no child to leave disappointed. In 2015, about 350 children and 40 volunteers from our ranks took part! Our partnership with the local government includes cooperation on cultur-al and sporting events, where the organiser is the local town hall. Each month, we take part in one event. In May, for example, it is the Májování theatre festival; in April it is Earth Day; and in September it is the Babí léto (Indian Summer) event. Cooperation with Prague 20 – Horní Počernice began in 2008 after we built a new distribution centre in this borough. Here we also support vari-ous cultural and sporting events, such as the historical chateau festival, Počernické kuře (Počernice Chicken), and Pálení Čarodějnic (Burning of the Witches or Walpurgis Night).

CHRISTMAS TRUCK

Since 2000, you can encounter the Coca-Cola Christmas truck in various Moravian and Bohemian cities every December. This aim of this event is to create a true Christmas atmosphere and hand out gifts to children. We always prepare this event in cooperation with the municipalities that the Christmas truck visits. If you would like to enrich the Christmas programme for your inhabitants with the Christmas truck, all you need to do is set aside a suitable place – we will do the rest. All proceeds from sales at these events are donated to the municipality in which the event took place – altogether we have do-nated more than CZK 320,000 to the various municipalities for charitable purposes.

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Customers

THE WORK OF A SALES REPRESENTATIVE

Efforts to find an optimum way of providing customer services are reflected in the way we communicate with customers. A specific, qualified sales representative cares for each customer and visits him at regular intervals. During their regular visits, Coca-Cola HBC Česká republika sales representatives act as experts who are able to give advice on the best strategy to increase sales and what products and in what packaging is best for the customer’s establishment and consumers. They also draft suitable materials to promote sales, arrange for the best sales equipment, and inform the customer how best to arrange goods in the machines to attract sales. Our sales represent-atives also check the expiration dates of our products on the premises and the operation and cleanliness of the sales equipment and other materials that support sales, deal with any complaints, and inform the customer about any news, special offers and promotional events for customers and consumers.

CUSTOMER SERVICE CENTRE

Coca-Cola HBC Česká republika call centre staff accept orders from customers, inform customers of news, receive and forward reports to the service centre about breakdowns of our machines and equipment, ask customers about how satisfied they are with the services we pro-vide and immediately assess such information. The call centre also runs the infoline, which can be found on the labels of all our beverages and where callers can obtain information about products, ingredients, consumer contests and anything else that interests them and is related to Coca-Cola HBC Česká republika. The info

line is open 24 hours a day – our staff members are always there to take your call, so you will never encounter an answering machine.

We also operate a green line, which is listed on all CC HBC vending machines and can be used by all consumers if they encounter prob-lems buying a beverage from the machine. To improve our services, we have implemented SPOC (Single Point of Contact), the aim of which is to facilitate communication when deal-ing with problems. Customer service centre staff are responsible for the calls they answer, from the beginning to the end, and end does not mean putting down the receiver, but dealing completely with the caller’s request through a specially prepared database.

The customer service centre serves the whole of the Czech Republic and Slovakia, i.e., more than 70,000 customers, and each year receives more than 350,000 calls and makes more than a million.

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SVĚT 2/2015

Magazín pro zákazníky společnosti Coca‑Cola HBC Česká republika

Strana 8

Strana 4

Strana 10ZNÁTE NÁŠ E-SHOP?

Roman Paulus: VAŘENÍ

SPOJUJE LIDI

STUDY IN BROWN

SVĚT1/2015

Magazín pro zákazníky společnosti Coca-Cola HBC Česká republika

LAHEV COCA-COLASLAVÍ 100 LET

E-SHOP: OBJEDNÁVKY NEBYLY NIKDY SNAZŠÍ

VSTUPUJEMEDO ROKU HOKEJE

Coca-Cola_FINAL_CZ.indd 1 1/20/2015 2:13:36 PM

SVET 2/2015

Magazín pre zákazníkov spoločnosti Coca‑Cola HBC Slovenská republika

Strana 8

Strana 4

Strana 10POZNÁTE NÁŠ E-SHOP?

Ihnačák: JESŤ ZDRAVO SA URČITE OPLATÍ

STUDY IN BROWN

CUSTOMER MAGAZINE

Coca-Cola HBC Česká republika publishes Coca-Cola Svět (Coca-Cola World) a number of times a year. This magazine is intended for the customers of our company. Through it, we aim to provide useful information for our customer’s day-to-day work, some general information from the world of beverages and business, and interesting stories from the Coca-Cola system.

E‑SHOP

Coca-Cola HBC Česká republika is the first in the soft-drink market to provide its clients with the possibility to order goods on-line. The e-shop is a practical helper, especially for hotels, restaurants, cafes, service stations, newsagents and small grocery stores. This on-line ordering system operates 24 hours a day, seven days a week. Customers can choose from a whole assortment of Coca-Cola HBC beverages. At the same time, they have an overview of executed and new orders, paid and unpaid invoices, invoice due dates and current special offers.

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Our people create our value, by developing our business responsibly and with a long-term perspective. Our business not only has many strengths, such as a broad product portfolio and extensive geographic coverage, but also talented people who put into motion the cre-ation of our values. We try to make sure they work in a place that is inspiring and helps them achieve their best performance. We know that committed and motivated employees who make use of their potential have the possibility to achieve their work objectives. Such people are an essential component of our company’s long-term success. We also try to ensure that all employees understand their role in our company, and that their work directly contributes to the success of Coca-Cola HBC.

Our broad geographic span means that our business serves a wide spectrum of commu-nities. Support for diversity and integration in our work assures us each year that we are a strategic partner for all our customers. Diversity and inclusion in our work also helps stimulate various ways of thinking and leads to innovation. That in turn brings further op-portunities. In order to increase understanding and engagement, we support talent exchanges between cultures and countries.

At our company, we support the principle of equal opportunity. Hiring takes place re-gardless of race, colour, religion, sex, sexual orientation, nationality, ethnicity, physical handicap or disability. Wherever the nature of the job allows for it, we offer employees part-time work, work from home or flexible working hours. The selection procedure for most job vacancies is announced internally, giving every employee the chance to apply.

WE OBSERVE THESE RULES AND PRINCIPLES:

We create a strong relationship with em-ployees thanks to open communication.

We deal with employees in good faith and treat them with honour and respect.

We reject any form of discrimination, be it with respect to sex, origin, religious or political beliefs, age or sexual orientation.

We help each other do our best.

We reward employees based on their per-formance.

We provide employees with opportunities for professional and personal growth.

We ensure occupational health and safety.

Our employees

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WE LEARN AND DEVELOP THROUGH

EXPERIENCE 70%

PEOPLE 20%

Coaching

Mentoring

360˚ feedback

COURSES 10%

Leadership and management skills

Computer courses

Financial academy

Leading with Presence

EDUCATION AND TRAINING

We believe that development and training are important for every employee because they help increase motivation and, thereby, performance. Our aim is to apply then 70-20-10 rule to development.

Each employee has the possibility to develop their abilities and knowledge through experience gained from day-to-day work and fulfilling interesting and difficult tasks or participating in projects with a clearly defined development goal. We intensively support coaching culture; employees, therefore, have the chance to make use of an in-house coach for their development. The aim of coaching is to improve performance. Coaching meetings are focused on building self-confidence, taking responsibility for entrusted tasks, increasing one’s own motivation or improving skills (e.g. time management, communication, buildings interpersonal relationships and

team development). Employees in this area also develop themselves through mentoring or receiving and giving developmental feedback. Development through training courses allows our employees to focus on strengthening leadership abilities and improving management skills (we offer Passion to Lead training courses for beginning leaders, the LEAP programme for experienced manages and leaders, a series of courses on presentation skills, how to communicate in difficult situations, and so on) or strengthening other skills (e.g., working with a computer or gaining technical expertise). Our employees have e-learning solutions available in training applications to help them complete mandatory, regularly repeating training (e.g., OHS) through self-study at work. Each new hire goes through induction training, where he or she learns all important information about how the company and each department operates.

ORIENTATION PROGRAMME FOR NEW EMPLOYEES

In 2015, we began working on a project aimed at updating the onboarding process. The Welcome Day programme falls under this process, as does the training schedule, buddy programme, new manager training and support for new managers in adapting to and communicating with their team, intranet site and, last but not least, a whole spectrum of activities aimed at the sales department. The objective is to prepare new hires feel comfort-able in their new environment, have sufficient information, receive the right training for their new position and, most of all, to be motivated and proud employees of Coca-Cola HBC.

REMUNERATING OUR EMPLOYEES

Remuneration of Coca-Cola HBC Česká republika employees is based on the total reward concept, which comprises a fixed salary component and a variable bonus com-ponent, the amount of which can be influ-enced by employees through their perfor-mance. In-kind benefits also constitute part of the total reward concept. We consider education and development opportunities to be among the main benefits. In addition to standard benefits, such as the cafeteria, contributions to pension savings plans, meal contributions, extra week’s holiday, beverage handouts, possibility to purchase of items with the Coca-Cola logo, special telephone rates under the BenefitCall pro-gramme, special banking services and the like, our employees have the chance to take part in the employee share programme and, thus, in the results of the whole company. Furthermore, our employees can utilise numerous other discounts, e.g., off recre-ational and wellness stays. For employees who have worked at our company for 5,

10, 15, 20 or 25 years, we regularly or-ganise parties to thank them and award them a bonus. Among the benefits that the company provides to improve flexibility of workdays is the home office concept, i.e., the possibility to work from home on occa-sion. Employees can also make use of two sick days that are fully compensated and do not require a doctor’s note.

INTERNAL COMMUNICATION

Communication at Coca-Cola HBC Česká republika is open and barrier-free.

The following are the main commu‑nication tools at the company:

COMPAS, EM‑PLOYEE MAG‑AZINE, which is published four times a year and contains company news, information about interesting projects or people, successful sales representatives in the market etc. The magazine is made possible by the efforts of dozens of contri-butions from the ranks of employees, who write the articles about what is happening in their departments.

INTRANET, which functions as an in-formation crossroads. Here employees can find links to training applications or business reports, as well as the telephone directory, a summary of important news, all announcements about staff changes and

internal vacancies open to application, the multimedia library and a lot of other useful information.

BULLETIN BOARDS, where employees without access to a computer can read internal notifications, information about job vacancies or invitations to various company events.

INFORMATION STANDS located at the Prague-Kyje plant and Horní Počernice distribution centre are intended for em-ployee without access to a computer to order beverages as part of the company handout scheme and to access the intranet or internet.

TELEVISIONS located throughout the Prague-Kyje factory grounds provide in-formation about news and projects taking place not only in the Czech Republic, but in other countries where we have a presence.

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EMPLOYEE COUNCIL

The Employee Council at Coca-Cola HBC Česká republika represents employees, advo-cates for them and arranges communication between employees and management. Coun-cil members are elected by employees for a term of three years. All company departments are represented in the council. The Employ-ee Council makes it possible for employees, through their representatives, to make sug-gestions and recommendations. Conversely, council members act and vote on behalf of all employees. Council meetings take place regularly once a month, are public and can be attended by anyone. In 2015, planned elections took place at the end of the three-year term, and a new Employee Council was appointed in November after fulling all requirements. Since 2005, the council also has a representative in the European Employee Council of Coca-Cola Hellenic. In 2015, it was the Czech Republic’s turn to host the annual European Employee Council meeting. Each year, the Employee Council organises or helps organise various events for employees and their families, such as regular children’s and sporting events or the Kyje Run, the proceeds from which are given to employees in the various locations to improve their work environment.

REGULAR EMPLOYEE SATISFAC‑TION SURVEYS

The traditional employee satisfaction and motivation survey was conducted in 2015 as well, with around 990 employees taking part. The attained result of the indicator that measures over-all employee engagement can be con-sidered one of the greatest successes of the survey. This indi-cator reached 84%, and is 3% about the average value of the global indicator for FMCG companies. With the significant involvement of the entire man-agement community and the involvement of all employees, many motivational activities and programmes have been executed. Numerous events reflecting the survey results are planned for this year as well.

OCCUPATIONAL HEALTH AND SAFETY

Creating a safe and pleasurable work environ-ment is one of the basic values of Coca-Cola HBC. Employee safety is an integral part of successful company management. Each year, we have the high level of our work safety stand-ards confirmed through an external audit of the occupation health and safety management system – OHSAS 18001.

As part the OHS management system, we per-form a monthly evaluation of workplace risks and adopt measures to eliminate them, make sure that employees have suitable personal protection for the jobs, examine the causes and circumstances of workplace accidents and adopt measures to prevent them from happen-ing again. Coca-Cola HBC has three systems in place for preventing workplace accidents.

Alert Driving is an e-learning training course that aims to improve the driving skills of our employees and teach them to better see risks when driving. Employees first go through a procedure called “Risk perception assessment”. This is a simulation of driving under real traffic conditions in this country. Depending on the identified weaknesses, a group of models is allocated to improve the driver’s skill in specific areas. Coca-Cola HBC Group places great emphasis on keeping their employees safe and pays special attention to driving. For this reason, we have decided to make this programme com-pulsory for employees who are active drivers.

Occupational Health and Safety in 2015

4 work injuries resulting in work disability in excess of 3 days

470 “near accidents*” reported

314 “near accidents” eliminated

345 WTT (Walk The Talk) visits

95 Toolbox Talks

* Near accidents – a system of accident prevention and early identification of potential danger.

myvo ce

PRŮZKUM SPOKOJENOSTI A HODNOT

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34

In 2015, we expanded the system in place for learning about and discussing the various risks in the sales department, which includes topics on safe driving, a.k.a. Toolbox Talks.

We also a use the Walk the Talk system, where managers visit the different worksta-tions once a week to ask employees about work safety and ascertain possible risks at the work place and activities that could lead to injury. The identified defects are eliminated on an ongoing basis. Under the “near-acci-dent” system, employees have the possibility to report workplace defects that could cause injury into the database, where they are re-corded and eliminated on an ongoing basis. Every month, an employee who entered the best proposal in the database for improving work safety or eliminating risks is announced and given a reward.

During 2015 we: Defended our OHSAS* 18001 certificate

Successfully passed all TCCC requirements in a surprise audit

Continued with the Alert Driving training course for drivers of company vehicles and trained 103 additional drivers

Installed Mobileye (a device for measuring speed and safe distances between vehicles and for monitoring safe driving) in 86.5% of all company vehicles – thanks to this device, accidents have been markedly reduced: compared to 2013, when we began using this device, the number of accidents fell by 72%

Continued with Walk The Talk, a system where our mangers are in greater contact with employees and better able to discuss work safety issues with them

Expanded Toolbox Talks to include the sales department

Organised an information campaign for employees on the topic of “First Aid Saves Lives”

Evaluated and rewarded the best proposal for improving work safety

Under the health protection pro‑gramme, we: Offered employees free flu vaccinations

Provided free first aid courses to employees

Continued providing physiotherapeutic ser-vices in the medical offices located directing at the factory – for employees, these services are free of charge up to three times a week, depending on how physically demanding their job is

Purchased new first aid kits

Organised a Health Day

* OHSAS stands for Occupational Health and Safety Assessment Series, which is an occupation health and safety management system. It sets out the requirements for the occupational health and safety system used by the company to manage its health and safety risks and improve its performance in the area of occupational safety. Coca-Cola HBC Česká republika was awarded this certificate in June 2006.Registered damage and

accidents by year

2013

2014

2015

607 506 281

(management population only)

(including line managers)

PEOPLE IN NUMBERS

WORKERS AND SPECIALISTSNUMBER OF EMPLOYEES

818

539

279

Men

Wom

en

ABSENCES (DAYS)

3,247

WOMEN IN MANAGEMENT

6.6%

MANAGERS

132

54

Men

Wom

en

Czech 758 92.7%Slovak 54 6.7%Polish 2 0.2%Vietnamese 2 0.2%Romanian 1 0.1%Russian 1 0.1%

PROPORTION OF EMPLOYEES BY NATIONALITY

COCA‑COLA HBC ČESKÁ REPUBLIKA

406

226

Men

Wom

en

231

320

193

79

Und

er

30

year

s

Und

er

40

year

s

Und

er

50

year

s

51 y

ears

a

nd o

ver

28.1% 23.5% 9.5%38.9%

AGE STRUCTURE

2013

2014

201556

%

83%

93%

83% 93%56%

KEY PEOPLE IN KEY POSITIONS

The world

The strategy of Coca-Cola HBC Česká republika is in line with the strategic priorities of Coca-Cola HBC Group. It focuses its efforts on a number of are-as that are important for our business: protection of water sources, energy and climate; packaging; and recycling.

Our environmental protection system requires the involvement of our employ-ees on all levels. Not only do we observe all statutory regulations, procedures and limits, we have also committed to ob-serving the much stricter rules under The Coca-Cola Quality System, or TCCQS, for many of our activities.

Coca-Cola HBC is certified under ISO 9001 and ISO 14001 standards and has implemented, and is certified under, the ISO 22000 system, which is focused on food safety and includes the HACCCP system under Decree No. 147/1998 Coll., concerning the method of de-termining critical points in production technology. Standard ISO 14001, which pertains to environmental management,

stipulates operating procedures and pro-cesses that each certified company has to adhere to. All these standards are regularly scrutinised through an audit conducted by an independent audit-ing company. Coca-Cola HBC Česká republika has undertaken to take an environmentally friendly approach to doing business. This means that we are determined to implement reliable meas-ures and effective management systems, through which we will be able to monitor and provide information about our busi-ness and its impact on the environment. We will be responsible to a degree that will allow us to fulfil strict environmen-tal standards and minimise all negative impacts on the local environment while fulfilling the expectations of customers and consumers for the quality and safety of our products and work environment. We believe that our employees and all people connected to the company play an important role in achieving our envi-ronmental goals. We, therefore, try to provide our employees with the neces-sary training and support that will allow them to make this commitment and con-tribute to the permanent improvement of environmental standards.

STRATEGIC AREAS WITH A SIGNIFICANT IMPACT:

A) Water

For Coca-Cola HBC Česká republika, water is especially important, as it is the basic ingredient for our products. We use this extremely valuable natural resource very responsibly.

B) Energy and climate

As part of our risk management, we adopt various measure related to cli-mate change. We focus on using energy more efficiently in our production, shift-ing toward clean energy sources, reduc-ing emissions across the entire lifecycle of our products, promoting awareness about energy efficiency and related activ-ities and adapting to a changing climate.

C) Packaging and recycling

For us, packaging represents an ex-tremely important aspect, as we want to provide consumers with products that are sufficiently protected against external influences. Packaging also has an environmental impact that needs to be properly assessed, and we have to adopt the appropriate measures in each stage of its lifecycle, from production to disposal.

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Water

Water consumption in litres per produced beverage

2008 – 2.972009 – 2.532010 – 2.212011 – 2.082012 – 2.012013 – 1.932014 – 1.932015 – 1.68

In 2015, EWS (Euro-pean Water Stew-ardship) principles were implemented and successfully certified. EWS is a system supported by EU policy aimed at protecting water sources. An extensive study was carried out on the risk of water sources relevant for the production plant in Prague-Kyje, and measures to elimi-nate the risks ensuing from the operations of our plant were adopted. The study set out the procedure for sharing information and the opportunity procedure used within the Coca-Cola HBC system. The Prague plant was awarded Golden Status.

Coca-Cola HBC Česká republika, s.r.o., offtakes drinking water and discharges waste-water based on a valid agreement with Pražské vodovody a kanalizace, a.s. Wastewater and technological drainage are not separated. Wastewater is released into the internal drainage system that leads to the public sew-er system. Waste water travels through the public sewers managed by Pražské vodovody a kanalizace, a.s., to Prague’s Central Water Treatment Plan. Rainwater is released into a separate rainwater drainage system managed by Pražské vodovody a kanalizace, a.s. Before being released, the water passes through sep-arators to remove oils.

Water is the basic component of our prod-ucts, and its effective use is important to us. We are managing to reduce the amount of water used during the production of one litre of beverage, and our long-term goal is to re-duce this amount even more. Between 2008 and 2015, the proportion of water used to produce 1 litre of beverage fell by more than 43% thanks to the introduction of new tech-nological procedures allowing the recycling of water. For example, the water used to wash conveyor belts is reused to wash transport containers returning from the market, the last rinse-water from cleaning the sand filters in the water treatment plant is collected for use in the first rinse, and so on. We invest in modern equipment that uses water and other media more efficiently, such as the new bottle washer.

We continue to test new water saving technologies that substantially affect water consumption and are more effec‑tive and efficient compared to standard methods. We use such technologies in our production plant in Prague‑Kyje:

We use dry lubrication for the conveyor belts of certain production lines, making the use of water unnecessary.

We recycle used water, i.e., we use it for other purposes, such as to wash transport containers (water from the tunnel pasteur-iser).

We separate carbon and polish filters* to optimise regeneration processes, especially with regard to saving water

We reuse rinse-water from the can filling line for the tunnel pasteuriser.

We have gradually replaced the filter media in two of four sand filters; instead of sand we now use glass beads that, due to their properties, extend the filtration period and thereby save the water and energy required to regenerate the filters.

* A polish filter is simply a stainless steel mesh for capturing solids. It is installed behind each of our carbon filters in the water treatment plant. The carbon filter is a tank filled with active charcoal, which removes chlorine from the water. The polish filter captures any particles of charcoal that get washed out.

Just as it is our goal to reduce our use of drinking water, we are also striving to reduce the amount of energy we use. The aseptic production line, which was installed in 2008, demands greater power consumption, as this production and filling technology is energy demanding. Despite operation of this line, we recorded a drop of 30% in energy use per 1 l of beverage produced. We are sys-tematically working on projects that promote energy savings through investment in new, more economical and efficient technologies:

In the production hall, we installed lighting with automatic regulation of light intensity.

We installed dry heat exchangers intended for operation of the filling lines.

We invested in the installation of a new bottle washer, which, unlike its predeces-sor, corresponds to the current needs of a modern production line and, moreover, uses energy more efficiently.

We installed solar panels on the roof of the factory and plan to add more.

We use an on-line energy monitoring sys-tem.

We train our employees on a regular basis and emphasise the importance of a personal approach to saving energy.

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Energy and climate

Energy consumption in MJ per litre of

beverage produced

2008 – 0.83

2009 – 0.80

2010 – 0.72

2011 – 0.69

2012 – 0.67

2013 – 0.69

2014 – 0.65

2015 – 0.56

In 2015, Coca-Cola HBC Česká republika in-troduced an energy management system and was successfully certified under ISO 50001.

Fleet

All Coca-Cola HBC Česká republika prod-ucts are delivered by road. For administra-tion and business purposes as well as for product delivery, we use the vehicles of the partner companies that we work with.

In 2015, the company used a total of 395 automobiles for administrative and business purposes, consuming 767,349 litres of pet-rol in the process (in the case of vehicles up to 12.5 t).

Kilometres driven (pertains to vehicles

up to 12.5 t)

Fuel consumption (vehicles up to 12.5 t)

Average fuel consumption (vehicles up to 12.5 t)

Each year, we drive 12,997,293 km to visit our customers. It is difficult to imagine. Let us help you:

It is the same as driving

around the world

Or driving around the border of the Czech Republic more than

2012 – 18,416,783 km2013 – 15,860,447 km2014 – 14,318,476 km2015 – 12,997,293 km

2012 – 6.27 l/100 km2013 – 6.09 l/100 km2014 – 5.94 l/100 km2015 – 5.90 l/100 km

2012 – 1,328,847 litres of fuel 2013 – 1,141,461 litres of fuel 2014 – 854,142 litres of fuel 2015 – 767,349 litres of fuel

5,500×

325×

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The fleet management policy of Coca-Cola HBC Česká republika is based on the use of optimum-capacity vehicles that fulfil the current EURO 5 emission standard. Almost 100% of our vehicles run on diesel, as diesel motors are characterised by low fuel consumption.

In 2015, 293 of Coca-Cola HBC ČR’s vehicles were fit out with the progressive “Mobileye” system, which promotes safe driving and sig-nalises the sudden appearance of a pedestrian or cyclist on the road. Implementation of this system has resulted in a reduction in the num-ber of accidents and the amount of damage to the fleet.

BEVERAGE COOLERS

In 2015, 55,000 coolers were stationed at customers in the Czech market.

Further steps were taken that same year to substantially reduce greenhouse gases and comprehensively lower the carbon footprint across all our processes.

For 2015, the ICOOL concept was present-ed, which stipulates the following technical requirements for purchasing new coolers:

HFC-free (cooling without the use of HFCs and the transition to HFC-free foam insu-lation)

Use of natural cooling media (to replace and end the use of HFC in all new coolers)

Reduced noise

Reduced energy

LED lighting

Best in class energy consumption

All purchases of new coolers have been strictly HFC-fee since 2015. The new cool-ing medium is CO₂, which ranks as a natural coolant, as it appears naturally in nature, is part of the Earth’s biosphere and is relatively harmless. Carbon dioxide does not harm the ozone layer and has a low greenhouse effect. Any release of CO₂ used in the cooling circuit into the atmosphere is considered a zero-sum balance, as the CO₂ was collected as waste form other production processes.

Packaging and recycling

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WASTE DISPOSAL

We try to reduce the amount of waste we produce and to increase the proportion of re-cycled waste. We consistently recycle waste, not only waste from the production plant or the warehouses, but also regular office waste – recycling bins or located in our offices and employees are encouraged to sort waste cor-rectly. In addition to our clear priority – quality – we strive as part of continuous innovations to introduce packaging that burdens the en-vironment the least. For this reason, we, for example, lighten our packaging regularly (in units of up to tens of percent, depending on the size of the packaging).

“Virgin” PET is combined with recycled ma-terial (some of our packaging contains up to 30% recycled PET). In the last few years, we reduced the weight of PET bottle caps, thereby decreasing the weight of preforms for 2 l PET bottles by up to 3%. In 2013, we began to purchase virgin PET (resin), which already contains a proportion of recycled PET. During the production process, 10-20% additional recycled PET is added, depending on the size of the preform.

Our company is the producer of many dif-ferent kinds of packaging as preferred by our consumers – from refundable glass bottles and aluminium cans, through plastic cartridges for beverage dispensing machines, to combined or plastic (PET) packaging. All these types of packaging are recyclable. Where possible, we strive to have each package returned to consumers, either through repeated use or in recycled form.

We consider sorting and recycling our pack-aging to be an important component of en-vironmental protection. The aim is to fulfil European Directive 94/62/EC on packaging and packaging waste. In the Czech Republic, our company is involved in EKO-KOM, an in-tegrated waste sorting system that we helped create in the mid 1990s. Packaging waste is understood in this system as an integral part of communal waste and constitutes a third of it. Communal waste sorting through a network of colour-coded bins is today accessible to 99% of the Czech population and, in terms of geographical coverage, is one of the best in Europe. The average distance of a person from colour-coded bins for waste sorting is about 97 meters. Under the EKO-KOM system, the total recycling rate reached 76%, with plastics being recycled at a rate of 69%, and PET materials, as a part of this group, attaining almost 70%. Generally speaking, the Czech Republic is one of the best countries in the EU for recycling.

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BY RECYCLING WASTE, WE REDUCE CO₂ PRODUCTION

Coca-Cola HBC Česká republika is part of EKO-KOM, an integrated waste recycling system. By our involvement, we help support the recycling of packaging materials. Thanks to Coca-Cola HBC Česká republika’s contribution to the waste recycling system, more than 5,908 tonnes of packaging waste was collected and recycled. This amount of waste would fill 3,774 garbage trucks. Our company’s contribution corresponds to the annual operation and disposal of 4,230 colour-coded waste-sorting bins per year.

Our contribution to greenhouse gas reduction is 22,217 tonnes of CO₂ eq., which translates to energy savings of 499,544 GJ. This corre-sponds to the amount of CO₂ produced by 10 443 mid-size passenger cars over a year. The energy saved equals the electricity required to illuminate the city of Prague for 970 days. The LCA (Life Cycle Assessment) method was used to assess energy savings.

2008 – 572009 – 612010 – 652011 – 532012 – 652013 – 702014 – 832015 – 88

Proportion of recycled waste from the production plant in %

7,5 PET bottles out of 10 are recycled in the Czech Republic

The average distance in metres of colour‑coded containers from Czech households in 2015 was:97 m – about a two-minute walk. On average, there is one collection site for every 131 people. In other countries, the number of people served by a collection site is much higher, ranging from many hundreds to even thousands.

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STANDARDS, CERTIFICATES AND RULES

Coca-Cola HBC Česká republika certifies it production plant and warehouses according to international standards for quality manage-ment (ISO 9001), food safety (ISO 22000), environmental protection (ISO 14001), occu-pational health and safety (OHSAS), energy management (ISO 50001) and European Water Stewardship (EWS) principles.

Coca-Cola HBC Česká republika was awarded for the best contribution to the environment protection system in the whole of Coca-Cola Hellenic Group. The assessed parameters were not only improvements in energy and water management and waste recycling, but also implemented projects. These projects are aimed at continuous improvements in the field of sustainability and acquisition of other certificates. Coca-Cola HBC Česká republika was the first in Coca-Cola Hellenic Group to fulfil the requirements under the ISO 50001 standard, as well as the first to be awarded the certificate.

The management system also includes GFSI (Global Food Safety Initiative) and HACCP (Hazard Analysis and Critical Control Points) system requirements. All beverages manufac-tured by Coca-Cola HBC Česká republika fulfils the food quality and safety standards specified by the laws of the Czech Republic, as well as the global standards of the Coca-Cola Company.

We observe the Code of Business Conduct, which defines the standards of behaviour for all employees. A telephone line and special e-mail address have been set up for employees who wish to report violations of the Code while being assured of absolute confidentially.

WE HAVE RULES AND GUIDELINES IN PLACE FOR SPECIFIC MATTERS:

Equal Opportunity Policy

Environmental Protection Policy

Food Quality and Safety Policy

Climate Change Management Policy

HIV/AIDS Prevention Policy

Human Rights Protection Policy

Occupational Health and Safety Policy

Package Waste Processing and Recycling Rules

Energy Management Policy

Safe and Environmentally Friendly Driving Rules

Main Principles for Suppliers

UNESDA Commitment

Rules for Genetically Modified Organisms (GMO)

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Coca-Cola HBC Česká republika, s.r.o.Českobrodská 1329, 198 21 Prague 9 – Kyje

Company ID No: 41189698, VAT ID: CZ41189698Tel.: +420 283 015 111, fax: +420 281 862 018

E-mail: vnejsi-vztahy.cz@cchellenic.comwww.coca-colahellenic.cz

Would you like to work for us? You can find job vacancies on: www.coca-colahellenic.cz/kariera, www.mesicabsolventu.cz