1) Novartis sees the Cambridge research environment as important for innovation and collaboration, and views the Community Compact for a Sustainable Future as key to building a sustainable future for the company and community through open dialogue. 2) Novartis is a leading global healthcare company with 135,000 employees and $58 billion in annual sales that focuses on innovative pharmaceuticals, generics, and eye care. 3) Novartis' corporate citizenship strategy has four pillars: people and communities, environment, patients, and business conduct. The company aims to discover and market innovative products to cure disease while providing returns to shareholders.

1. Karen Coyne
Head, NIBR Global Health, Safety & Environment & Business
Continuity, Novartis
ISCN, June 2014
Novartis Sustainability:
Translating Corporate Citizenship Strategy
in Cambridge Research Environment

2. Novartis as Partner with Community Compact for
Sustainable Future
! Why is Cambridge is an Important Environment for Us?
• World-class learning environment & innovation incubator
• Early adopter and trend setter
• Community which exhibits true collaboration
! Why is the Community Compact Important to Us?
“Climate change is a crisis that requires a comprehensive and
collaborative response” Henrietta Davis
• Building sustainable future for our company and our community
• Right stakeholders at the table with open dialogue
• Place where solutions come together
• Leverage ideas to leverage change
| ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only

3. | ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only
Who We Are as a Partner
Novartis: A Leading Global Health Care Company
! Our medicine-based portfolio provides:
• Innovative
pharmaceuticals
• High-quality, low-cost
generics
• Eye care division
! Company key figures 2013:
• Headquarters in Basel, Switzerland
• 135,000 associates
• USD 58 billion annual sales
• USD 430 million energy costs

4. Drug Discovery at Novartis: NIBR
! Pharmaceutical research within Novartis is
conducted primarily through the Novartis
Institutes for BioMedical Research (NIBR) with
global headquarters in Cambridge
! Unique research strategy driven by patient
needs
! Intensifying focus on molecular pathways
shared by various diseases
! Integration of clinical insights with mechanistic
understanding of disease
! Research-to-Development transition redefined
through fast and rigorous “proof-of-concept”
trials
! Collaborations with academia and biotech
strengthen preclinical pipeline
| ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only

5. | ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only
Our Linkage to Sustainability
Four pillars of corporate citizenship at Novartis
People and
communities
! Diversity &
inclusion
! Living wage
! Health & safety
! Community
involvement
! Emergency aid
Environment
! Risk prevention
& management
! Resource
management
Patients
! Access
! Research
! Clinical trials
! Dialogue
We want to discover, develop and successfully market innovative products to cure and prevent
diseases, to ease suffering and to enhance the quality of life. We also want to provide a shareholder
return that reflects outstanding performance and to adequately reward those who invest ideas and
work in our company.
Business
conduct
! Integrity &
Compliance
! Marketing
practices
! Third-party
management
! Integrity Line

6. Relevance to Theme of Sustainable Campuses
Typical Usage of Energy
| ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only

7. • Air Change Rate Reduction
- Significant energy reduction potential due to legacy air change rates
• Fume Hood Management
- Variable Air Volume and Setback Controls, Sash Management, Minimum
Airflows
• HVAC Set Points
- Set Points: Summer/Winter; Occupied/Unoccupied
• Electric Motor Management
- Program to track age, load, and operating hours of all electric motors
• Lighting Audit
- Focus on levels, fixtures and schedules
Current NIBR Energy Conservation Measures
Mid/LongTermQuickHits–O&M
| ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only7

8. | ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only8
Future Energy Efficiency: Energy Efficient Buildings
Cambridge Research Campus Expansion Project
Buildings
! High Performance Glass/Facade
! USGBC LEED Certification
Utility Plant
! Tri-Gen – Power, Heat, Cooling
! Variable Flow Pumping
! High Efficiency Frictionless Variable Speed Chillers
Lighting
! High Efficiency Lighting Design
! Daylight Sensor Control
! Occupancy Sensor Control
Waterside
! Rain, Grey, Condensate Water Collection/Reuse
! Chilled Beams - Radiant Heating
! Water Cooled Freezers
! Chemical Free Tower

9. ! Move to Open Concept Floor Plans
! Air Flow
• Fume hood densities are much lower
• Reduced levels of chemical volumes
! Plug Loads
• More computational activity; plug load energy efficiencies have
increased, however significantly more equipment
! Lighting
• Higher lighting efficiencies & more day lighting
| ISCN Conference | Karen Coyne | June 2014 | Novartis Sustainability | Business Use Only9
Changing Trends in Lab Design

10. Karen Coyne
Head, NIBR Global Health, Safety & Environment & Business
Continuity, Novartis
ISCN, June 2014
Novartis Sustainability:
Translating Corporate Citizenship Strategy
in Cambridge Research Environment