Sustainable development is now firmly at the heart of corporate strategies. It constitutes a performance lever in terms of innovation, but also at the economic and social level. This topic is also increasingly prominent in the expectations of our internal and external contacts. For the past few years, the company has been formalizing its social and environmental responsibility approach, and in 2012, it took part in a voluntary AFAQ 26000 assessment. Our approach to social and environmental responsibility is a reflection of the actions carried out in this area by the company since it was founded.

1. p 1
OUR SOCIAL AND ENVIRONMENTAL
RESPONSIBILITYAPPROACH
July 2016
CONTRIBUTION TO THE CHALLENGES OF
SUSTAINABLE DEVELOPMENT

2. p 2
01
DEFINITION OF
SUSTAINABLE
DEVELOPMENT
OUR SOCIAL AND
ENVIRONMENTAL
RESPONSIBILITY
APPROACH IN
PRACTICE
04
AN AUDITED CSR
APPROACH (AFAQ
26000)02 03
CONTENTS
THE FOUNDATIONS
OF OUR SOCIAL AND
ENVIRONMENTAL
RESPONSIBILITY
APPROACH

3. p 3
DEFINITION OF SUSTAINABLE DEVELOPMENT

4. p 4
A development model combining economic performance,
social progress and environmental friendliness
SUSTAINABLE DEVELOPMENT
Society
Environment
Economics
viable
fair
fit to live in
Sustainable

5. p 5
THE FOUNDATIONS OF OUR SOCIAL AND
ENVIRONMENTAL RESPONSIBILITY APPROACH

6. p 6
Values
Who are we?
• INDEPENDENCE
• PHARMACEUTICAL RIGOR
• COHESION
• A HUMANIST APPROACH
What do we do?
• INNOVATION
• ENVIRONMENTAL FRIENDLINESS
How do we do it?
• ATTENTIVENESS IN THE FIELD
• ENTHUSIASTIC ENTREPRENEURSHIP
• PERFORMANCE RECOGNITION
THE FOUNDATIONS OF OUR SOCIAL AND
ENVIRONMENTAL RESPONSIBILITY APPROACH

7. p 7
Mission
In order to do this, we design and develop
innovative solutions that contribute to people's
well-being, from health to beauty.
We achieve this by cooperating with health-care
professionals, our trusted partners worldwide, by
drawing relentless inspiration from nature and
plants, and by placing pharmaceutical ethics at
the very heart of our operations.
CARING FOR THE HUMAN BEING AS
A WHOLE
THE FOUNDATIONS OF OUR SOCIAL AND
ENVIRONMENTAL RESPONSIBILITY APPROACH

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OUR SOCIAL AND ENVIRONMENTAL RESPONSIBILITY
APPROACH IN PRACTICE

9. p 9
Our 5 strategic axis
OUR SOCIAL AND ENVIRONMENTAL
RESPONSIBILITY APPROACH IN PRACTICE

10. 10
GOVERNANCE & ETHICS
MAIN CHALLENGES
• Governance and mission
• Code of conduct
• Responsible purchasing
• Safety and quality requirements
• CSR Management
EXAMPLES OF
ACHIEVEMENT
• Pierre Fabre Foundation as the
majority shareholder
• The employee shareholder plan
• Ethical Charter
• Code of best practices Promoting
drugs and relationships in the
healthcare sector
• AFAQ 26 000 voluntary assessment

11. p 11
TRAINING • PREVENTING
SUPPORTING • CARING
Improving access to health care
Training health care professionals
Sickle-cell disease
p 11
PIERRE FABRE FOUNDATION
GOVERNMENT-RECOGNIZED PUBLIC-INTEREST ORGANIZATION SINCE APRIL 6, 1999
Tropical dermatology

12. p 12p 12

13. 13
THE EMPLOYEE SHAREHOLDER PLAN
91 % of
employees are
shareholders*
150 trainers
7,3 % of the
Group’s capital
* Within the scope of the Ruscus plan
3 training programs on the
company’s economy
200 information
sessions a year
€145m invested by
employees over 10 years

14. p 14
Responsible Communication
GOVERNANCE & ETHICS
• DUCRAY and KLORANE, examples of best
practice, included in the responsible marketing
platform
• Valid claims: 700 clinical studies per year, with
an average of 145 volunteers per program
• Committing to the FEBEA‘s charter the for responsible advertising and marketing
communication
• Applying advertising self-regulation measures, 7th edition of the ARPP (advertising
professional regulation authority) cosmetic product recommendations

15. p 15
Responsible purchasing
Therefore, 70% of our purchase are made with French
companies, one quarter of which take place in the immediate
vicinity of its sites
GOVERNANCE & ETHICS
Obtention of the label
« Origine France Garantie »
for the phytotherapy range

16. 16
INNOVATION & HEALTH / BEAUTY
MAIN
CHALLENGES
• Innovation and pharmaceutical
culture
• Prevention
• Health care partner support
• Involvement in the public health
system
• Health & Solidarity
EXAMPLES OF
ACHIEVEMENT
• Sterile cosmetics
• A player in the Cancéropôle Grand
Sud-Ouest cancer center
• Foundation for atopic dermatitis
• Prevention of skin cancer
• Smoking cessation

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SUPPORT FOR HEALTH PARTNERS

18. p 18
The Foundation for atopic dermatitis
PREVENTION AND SUPPORT FOR HEALTH PARTNERS
A foundation for research
A foundation for information
A foundation for education

19. p 19
Smoking Cessation & Prevention in Oral Care
PREVENTION AND SUPPORT FOR HEALTH PARTNERS
SMOKING CESSATION
• Participating in World No Tobacco Day
• Developing the Nicostart website, a support
website for tracking the process of giving up
smoking
• Supporting the french association "Tabac et
Liberté"
[Tobacco and Freedom] which is dedicated
to providing doctors with information and
training for smoking prevention and cessation
for patients
Supporting and monitoring smoking cessation
for our volunteer employees
PREVENTION IN ORAL CARE
• Creation in Switzerland of the "Coach Oral
Care" and "Oral Care Kids" apps on mobile
phones
• Provision of educational tools in schools
particularly in France, Bulgaria and Greece
• Creation of a play in Portugal and Bulgaria that
is presented in schools to raise awareness about
the importance of good oral-dental hygiene

20. p 20
Sport for all*
PREVENTION AND SUPPORT FOR HEALTH
PARTNERS
• Raising the awareness of health care professionals during national conventions,
fitness tests offered to doctors
• Creating follow-up forms that are given to patients by doctors, enabling patients to
produce a daily report on their physical activity for 1 month
• Partnership between Pierre Fabre Pharmaceuticals and the French Sports pour
Tous (sport for all) federation, with the development of different service tools, such
as:
- A complete list of the Sports pour Tous sports clubs able to welcome
chronically-ill patients
- Trial cards, enabling the patient to access a club near them, with two free trial
sessions.
*Activities carried out in France

21. p 21
An international brand promoting solidarity
and supporting health care policies
PREVENTION, ASSISTING
HEALTH CARE PARTNERS, SOLIDARITY
Working with the European Skin Cancer Foundation
A training and information program for health professionals and patients, to improve support and
treatment for those suffering from skin side effects related to cancer treatments
Avène Hydrotherapy Center:
- conferences and practical workshops proposed alongside hydrotherapy care, to
inform hydrotherapy patients and help them understand and live with their illness
- first hydrotherapy center in France to receive a distinction and recommendation
from the patients' association AFPRAL (French Association for the prevention of
allergies)
- Partnership with the AIF (French association for ichthyosis patients): financial
support allowing families to access recognized hydrotherapy treatments for
ichthyosis, certain manifestations of which are classified as orphan diseases

22. p 22
HEALTH & SOLIDARITY
KLORANE and AMREF, an partnership for the « well-being born »

23. 23
PEOPLE & REGIONS
MAIN
CHALLENGES
• Skills development
• Employee health and safety
• Equity
• Economic and social development
of regions
EXAMPLES OF
ACHIEVEMENT
• Employment of disabled workers
• Local presence in France
• 100 % of research in France
• Fair trade

24. p 24
A player in the greater south-west region
ECONOMIC AND SOCIAL DEVELOPMENT
OF TERRITORIES
• A player in the Cancéropôle Grand Sud-Ouest cancer center and in the Cancer-Bio-Health
competitiveness cluster
• 80 % of R&D staff in the Midi-Pyrénées region
• 1st employer in the Tarn, and among the top 5 private employers in the Midi-Pyrénées
region
• Means concentrated in France and renewed every year : an effort of R&D of 207 M€,
industrial investments of 41 M€
• Participation in the creation of Tarn Entreprendre, an association providing support to
young entrepreneurs
• Partnership with the education system

25. p 25
Integration of workers with disabilities
EQUITY
"Close to 6,47%"
This is the percentage of workers with
disabilities in our company
"Close to 2.4%"
This is the average percentage of workers
with disabilities in the pharmaceutical
industry
4 commitments and associated actions
• Hiring in an ordinary
environment,
• Maintaining employment,
• Integration,
• Subcontracting.

26. p 26
FAIR TRADE
SHEA ARGAN DATE PALM

27. 27
KNOWLEDGE & NATURE CONSERVATION
MAIN
CHALLENGES
• Nature as a source of inspiration
• Research applied to nature
• Knowledge sharing
• Protection and conservation actions
EXAMPLES OF
ACHIEVEMENT
• Botanical Expertise Pierre Fabre : a
certified process for the responsible
development of innovative, safe
and effective plant-based active
ingredients
• Klorane Institute : Company
Foundation for the protection and
valorisation of our botanical
heritage

28. p 28
A CERTIFIED PROCESS FOR THE RESPONSIBLE DEVELOPMENT OF INNOVATIVE,
SAFE AND EFFECTIVE PLANT-BASED ACTIVE INGREDIENTS
BOTANICAL EXPERTISE PIERRE FABRE
PRESERVE
RESPECT
GUARANTEE
INNOVATE

29. p 29
UrologySERENOA REPENS
PIERRE FABRE PHARMACEUTICALS
TROPICAL PERIWINKLE
RUSCUS ACULEATUS
Venous
insufficiency
Cancers
BOTANICAL EXPERTISE PIERRE FABRE

30. p 30
PIERRE FABRE DERMO-COSMETICS
ARGAN
SHEA
CALENDULA
RHEALBA® OAT
BOTANICAL EXPERTISE PIERRE FABRE

31. p 31
PROTECTION
Ex : In Sénégal,
« The « Great Green Wall » Program
Funding of three PhD theses
Ex : In Switzerland
Protecting the emblematic Alpine
flower, Eryngium alpinum L
EDUCATION
Of all publics
(schools, health care professionals, the general public)
to take effective and sustainable action
Of the plant world in order
to know it better
Of endangered plant
species worldwide
INVESTIGATION
In France in the last 20 years,
150,000 children have become botanical
conscious through the Klorane Institute’s
educational approach
COMPANY FOUNDATION
FOR THE PROTECTION AND VALORISATION
OF BOTANICAL HERITAGE

32. 32
ECODESIGN & INDUSTRIAL FOOTPRINT
MAIN
CHALLENGES
• Integrated ecodesign policy
• Reduction of pollution and
conservation of resources
• Internal mobilization
EXAMPLES OF
ACHIEVEMENT
• Ecodesign for Klorane desert date
hair care and Ducray Extra-Doux
shampoo
• Experimental HQE® (High
environmental quality) approach to
the Soual and Avène expansions
and at the ABU at Saint-Julien
• Installation of a biomass boiler at
Soual

33. p 33
Waste recycling
REDUCING THE ENVIRONMENTAL
FOOTPRINT OF OUR ACTIVITIES
Waste production and recycling Waste recycling on the last 3 years
(2012 – 2014)

34. p 34
High quality environmentalTM principles
INTEGRATED ECO-DESIGN POLICY
Participation in the extension of the scope of HQETM tertiary-sector building NF standards
to industrial sites logistic platform version in December, 2008,
in the industrial sites
Profile regarding environmental quality

35. p 35
HQETM approach: an operation management system and 14 targets defining
the environmental quality of the building
High quality environmentalTM principles
INTEGRATED ECO-DESIGN POLICY

36. p 36
In practice
Desert date palm hair care products from Klorane
The entire desert date haircare line is eco-designed with
100% biodegradable formulas and eco-designed
packaging
Supports an ambitious social and economic project : the
Great Green Wall.
The Ducray Extra-Mild shampoo
Revision of formula, participation in the national experiment of the
environmental labelling of products and carbon compensation.
Objective : minimize the impact on the environment of its best-seller Extra-
Mild shampoo.
A-Derma
Of the biological culture of Rhéalba® oat in Puylaurens, including the center
of extraction of the assets of Gaillac, and the production unit of Soual, and it
is true up to the distribution center of Muret, all settled in the region Midi-
Pyrénées: products Southwest 100 %.
INTEGRATED ECO-DESIGN POLICY

37. p 37
+
Replacing 60% of the Soual production plant's gas consumption
with renewable energies, by recycling plant residue.
Growing or harvesting the plants
(Periwinkle, Serenoa Repens and
Rhealba oat)
Extracting
active ingredients (Gaillac)
Active ingredients (AIs)
Plant waste (spent plants)
Transferring plants to the
extraction plant
Circular Economy & Biomass Boiler
Transferring AIs to the
production plants
NAVELBINE
JAVLOR
PERMIXON
Manufacturing end products
(Gien, Pau, Soual)
Transferring the spent
plants
to the Soual plant
Plant waste (spent plants)
Forestry chips
(waste from the forestry
industry in Tarn)
Producing energy using the
biomass boiler at the Soual
plant
Hot water and heating for
the Soual plant
INTEGRATED ECODESIGN POLICY

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AN AUDITED CSR APPROACH (AFAQ 26000)

39. p 39
Assesment model
AN AUDITED CSR APPROACH (AFAQ 26000)
- An operational translation of the international
standard of recommendation ISO 26 000
- A assessment model to formalize, control
and officialize Corporate Social Responsibility
approaches
International standard of recommendation which
describes, for an organization :
- what social responsibility (RS) is
- its key principles and themes
- the implementation of a Corporate Social
Responsibility approach
CORPORATE SOCIAL RESPONSIBILITY

40. p 40
5Practicecriteria
Strategic
Managerial
Operational
3resultcriteria
Assesment model
AN AUDITED CSR APPROACH (AFAQ 26000)

41. p 41
1er assessed pharmaceutical and dermo-cosmetic laboratory
AN AUDITED CSR APPROACH (AFAQ 26000)
AFNOR Certification assessed the
social corporate and environmental
responsabilty approach of Pierre Fabre
Laboratories as being « exemplary »
(AFAQ 26000). 805 pts

42. p 42
Confirmed level
« PIERRE FABRE LABORATORIES :
“An international group operating on a human scale that has cultivated
its own distinct character for more than 50 years : its geographic
presence, botanical expertise and culture of excellence, innovation and
human development are the key factors for an enduring success
universally applauded by all the stakeholders!”
Extract of assessment report AFAQ 26 000
AN AUDITED CSR APPROACH (AFAQ 26000)

43. p 43
APPENDICES

44. p 44
TROPICAL PERIWINKLE
MADAGASCAR

45. p 45
 Adapting the production system to the local environment
Tropical periwinkle: Catharanthus roseus
Use: production of 2 anti-cancer drugs
Industrial constraints:
Quality of the raw material
Traceability
Security of supply.
Site in the southern Madagascan region of Fort-Dauphin
 Area naturally rich in periwinkle
 The poorest region in Madagascar
 Insufficient infrastructure (roads, electricity, etc.)
 Low level of education
 Ecologically sensitive area.
PERIWINKLE PRODUCTION IN MADAGASCAR

46. p 46
 Sustainable system, well integrated in its environment,
respecting natural and economic balances
Farmers produce the plants on their plots, which are naturally rich in periwinkle
Advantages
- Immediate, local production
- No investment (input, pesticides and fertilizers, farming material, etc.)
- Family workforce
- Strong social impact: 2,000 families.
However, also a challenge for the company
- Managing traceability
- Maintaining quality.
- Setting up infrastructure and logistics to
manage vast geographical areas.
Starting production on small plots (1 ha)
with 100 farmers around our Ranopiso farm
With the company providing the means to train
farmers (dedicated demonstration base)
PERIWINKLE PRODUCTION IN MADAGASCAR
The village production system in several stages

47. p 47
PERIWINKLE PRODUCTION IN MADAGASCAR
Our local farm company, located in Ranopiso, was labeled a
responsible company by Ecocert for its economic, social and
environmental action.

48. p 48
1989: injectable Navelbine
Moringa seeds, active ingredient in the Karinga range
INNOVATE
2009: injectable Javlor
Developing products
2001: oral Navelbine
Developing new production

49. p 49
FITTING INTO THE LOCAL CONTEXT
Environmental action
Creating a botanical garden in our Ranopiso grounds
•Conserving and increasing the number of plants from south Madagascar
•CITES recognition from the authorities
•Working with Madagascan Water and Forest authorities
•Educating/raising awareness amongst the population
Creating a voluntary protected area
•180 ha of transitional forest, CITES recognition
•Biodiversity inventory with the MNHN
•New species discovered
•Access to local populations for the collection of medicinal plants
Reforestation and solidarity
•Carbon offsetting for 2013 production of Navelbine and Javlor anti-cancer
drugs with 15,000 trees planted in 2014 (continued in 2015)
• Project helping towards the national fight against deforestation and
improving food security by planting fruit trees
• Project that creates seasonal employment (planting and upkeep)
• Project labeled "Reforestation and Solidarity" by Ecocert

50. p 50
Training
• Building schools, rebuilding after climate-related
incidents
• Building a school
• Welcoming students to the arboretum
Fighting malnutrition
•Partnership with the national office for nutrition
FITTING IN TO THE LOCAL CONTEXT
Social action