1. Integrated Reporting Investing in Responsibility Conference November 2012

2. PwC Introduction Jessica Fries Integrated Reporting Network Leader, PwC Director of the Board and Vice Chair of Working Committee, International Integrated Reporting Council Executive Chairman, The Prince’s Accounting for Sustainability Project Slide 2

3. PwC The International Integrated Reporting Council (IIRC) Financial and sustainability standard setters (IASB, FASB, GRI …) Securities and financial regulators (IOSCO, TSE and other stock exchanges, FSB…) Investors (UN PRI, ICGN, asset owners and asset managers) Companies (WBCSD, UNGC, BSR, 82 pilot companies and others) Intergovernmental organisations (World Bank, UNCTAD) Accounting (IFAC, accounting firms, accounting bodies) Civil society and academia (A4S, WWF, Transparency International, WRI, Harvard, Uni. Sao Paolo, Uni NSW) Slide 3

4. PwC Changing landscape: the next 20 years 4 Risk & Opportunity Demographic change Socioeconomic structures EnvironmentTechnology New channels Career disintegration Complex supply chains Outsourcing Product lifestyles OffshoringCost cutting Global systemic issues Global business issues

5. PwC Shortcomings with today’s reporting model 5

6. PwC Fundamental concepts: How the organization creates and sustains value 6 IIRC prototype, October 2012

7. PwC Increasing length and complexity

8. PwC Number of pieces=40 Big Picture Close-up pictures (partial connectivity) without big picture Pieces of information without connectivity Number of pieces=40 Importance of the big picture: joining the dots Same volume, different insight

9. PwC Principles and content elements Building blocks – 2011Principles – 2012 prototype Strategic focus and future orientation Connectivity of information Responsiveness and stakeholder inclusiveness Materiality and conciseness Reliability Comparability and consistency 9 IIRC Discussion Paper, September 2011

10. PwC Integrated reporting and the integrated report Alternative pathways Slide 10 Annual ReportCR Report Limited inclusion CR- Chapter Annual Report CR Report Combination Primary Report CR Compliance Integrated Report Integration in Annual Report Integrated Report Fin. Statements Annual and Integrated Report Fin. Statements Embedding Website MI Integrated Reporting Investors Integrated Report Online Sustainability Other key stakeholders Non-fin. Statements

11. PwC Base reporting on strategic themes What is clear and what is not Headline findings – PwC FTSE 350 benchmarking 2012 28% Slide 11 Include strategic priorities 95%

12. PwC Link market discussion to strategic choices What is clear and what is not Headline findings – PwC FTSE 350 benchmarking 2012 21% Slide 12 Discuss future market trends 86%

13. PwC Embed sustainability in overall strategy What is clear and what is not Headline findings – PwC FTSE 350 benchmarking 2012 20% Slide 13 Include some relevant insight into their sustainability issues 78%

14. PwC Clearly explain actual Board / Committee activities in the year What is clear and what is not Headline findings – PwC FTSE 350 benchmarking 2012 34% Slide 14 Governance reports mentioning the company's culture and values 49%

15. PwC Roadmap to Integrated Reporting Slide 15 Discussion Paper responses Framework outline Prototype Examples Benefits Topics Draft framework Framework version 1 Pilot Programme (extended into 2014): Companies and Investors Engagement with regulators and other stakeholders 1H 20122H 20121H 20132H 2013