Vinyl for a Purpose-Driven Sustainable Development

U.S. PVC Industry Statistics www.vinylinfo.org/resources/fact-sheets $54 Billion Economic Contribution 2,900 Processors 350,000 Employees Source: Tarnell Company Research

PVC Resin Production (Billion Pounds) U. S PVC Resin Production (Billion Pounds) U.S. and Canada Up 5% Compared to 2015 Source: American Chemistry Council

U. S. Vinyl Markets – Up 3. 7% for 2016 Domestic Resin Consumption: 10 U.S. Vinyl Markets – Up 3.7% for 2016 Domestic Resin Consumption: 10.4 Billion Pounds Source: American Chemistry Council Resin Report 2017

Unprecedented Challenge and Business Opportunity Source: http://www.theaustralian.com.au/

If we change nothing... we will need 3 planets of natural resources 2050: 9.7 Billion People (United Nations report October 2015) If we change nothing... we will need 3 planets of natural resources

Chemical Periodic Table of Elements Impact Average availability for many highlighted industry raw materials: 5-50 years Estimates. Data based on the US Geological Survey (www.usgs.gov) and summarized by BASF

Estimated Raw Materials Availability How Many Years Left (If The World Consumes at Today's Rate) How Many Years Left (If The World Consumes at Half the US Consumption Rate) Salt Chlorine, many applications 1000s Unlimited Natural Gas many applications 300 500 Silver jewelry, catalytic converters 9 29 Aluminum transport, electrical, consumer durables 510 1027 Chromium chrome plating, paint 40 143 Copper wire, coins, plumbing 38 61 Lead lead pipes, batteries 8 42 Nickel batteries, turbine blade 37 90 Estimated Data based on the US Geological Survey (www.usgs.gov)

Sustainability – A Key Pillar in the Strategic Plan Objective 4: Champion continuous performance improvement throughout the vinyl industry

If You Want to Go Fast, Go Alone. If You Want to Go Far, …Go Together. (African Proverb)

Vinyl Business and Sustainability Council Efforts Put in practice Purpose Driven Sustainability Strategy Industry and market segment assessments Materiality Analysis LCA studies Industry wide sustainability goals and KPIs Industry and market segment reporting Innovation projects Recycling initiatives Establishing a Branded Performance initiative and communication tool Company specific sustainability services Technical support Education

Sustainability Requires a Balanced Approach Socio-Environmental Health & Safety Legislation & Regulation Climate Change Crisis Management Sustainability An integrated approach to Environment, Social & Economic impact issues (both internal and external) leads to long terms, sustainable profit growth Environmental Land Management Bio-diversity Emissions (Air , Land, Water) Water use Waste Natural Resources Social Respect for the Individual Equality Opportunity Diversity Outreach Programs Human and Labor Rights Economic Consistent, Profitable Growth Risk Management Total Shareholder Return Business ethics Transparency Socio-Economic Employment Training & Development Local Economies & Enterprise Social & Community Sponsorships Eco-Economy Resource Efficiency Energy Efficiency Global Energy Issues

Purpose Driven Sustainability … is about meeting people’s needs balancing environmental stewardship with economic sense and social responsibility continuous improvement “doing MORE with LESS”

Literature & Publications Research Introducing: Materiality Analysis Industry / Internal POV Literature & Publications Research POV Key Stakeholders POV Scientific studies White papers Expert opinions Balanced (environmental, economic, social) Rated opportunities/hotspots

Materiality Process and Aggregations

“We do not inherit the Earth from our parents, we borrow it from our children.” For more information, please visit us at: http://www.vinylinfo.org/vinyl/sustainability