Social Responsibility

Diamond Packaging Social Responsibility Report 2015

Contents

Corporate Profile Diversity Supplier Responsibility Corporate Giving Environmental Stewardship Diamond’s greenbox initiative Recognition Associations Contact Information

diamond packaging

Founded in 1911, Diamond Packaging is a WBENC-

certified, global industry leader specializing in

developing innovative and sustainable packaging

solutions.

Utilizing state of-the-art technologies, Diamond

designs and manufactures paperboard and plastic

folding cartons, counter-top displays, blister cards

and sample packaging, and provides comprehensive

contract packaging services.

Diamond differentiates itself through award-winning

creative designs, packaging innovation/technical

expertise, Diamond’s greenbox sustainability initiative,

and its Global Packaging Alliance® (GPA).

Sales (2014): USD $50.3 million

Material Consumption: 11000 tons

Employees: 220

Major Customers: Bausch & Lomb, Beiersdorf,

Coty, Elizabeth Arden, Estée Lauder, Godiva,

Johnson & Johnson, L’Oreal, Procter & Gamble

Market Segments

Personal Care 55%

Pharmaceutical 5%

Other 17%

Health Care 23%

0

10

20

30

40

50

60

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Millio

ns

(USD

)

Sales Growth

corporate profile

wbenc-certified

Diamond Packaging is certified as a women's business

enterprise through the Women's Business Enterprise

National Council (WBENC).

By including women-owned businesses among their

vendors, corporations, and government agencies

demonstrate their commitment to fostering diversity

and the continued development of their

supplier/vendor diversity programs.

We recognize the commitment to supplier diversity

that is embraced by corporations and government

agencies today, and we can add diversity to your

supply chain.

woman-owned business

diversity

Diamond employees (220)

Male, White

63%

Male, Hispanic

6%

Male, Black

7%

Male, Asian

1%

Male, American Indian

0%

Male, Native Hawaiian

0%

Male, Two or more races

0%

Female, White

18%

Female, Hispanic

0%

Female, Black

4%

Female, Asian

0% Female, American Indian

0%

Female, Native Hawaiian

0%

Female, Two or more races

1%

Diversity

Male, White

Male, Hispanic

Male, Black

Male, Asian

Male, American Indian

Male, Native Hawaiian

Male, Two or more races

Female, White

Female, Hispanic

Female, Black

Female, Asian

Female, American Indian

Female, Native Hawaiian

Female, Two or more races

diversity

recent hires

New hires 2013-14 (41)

social inclusion

Non-Minority, 20, 49% Minority, 10, 24%

Social Inclusion, 7, 17%

Long Term Unemployed, 4,

10%

Diversity

Non-Minority

Minority

Social Inclusion

Long Term Unemployed

diamond employees

Our work with Fortune 500 companies has helped

make a difference in the community in many ways,

through increased employment, employees wages,

increased spend with all suppliers (including diverse),

and corporate giving.

Our commitment to packaging innovation and value

creation can only be made possible through our

highly-skilled workforce. Approximately 98% of

Diamond employees live in the areas surrounding our

company location in Rochester, NY.

employees

economic sustainability

Diamond Packaging, along with other successful

Rochester-area manufacturers, are essential to

helping the local economy grow.

In 2014 U.S. Senator Kirsten Gillibrand called on U.S.

Department of Housing and Urban Development

(HUD) Secretary Julian Castro to designate Rochester,

NY, a federal Promise Zone. Recent data from the U.S.

Census Bureau estimated that nearly one-third of

Rochester’s city population lives in poverty, with the

number climbing to over 50 percent for children.

Diamond is committed to making a difference in the

community through economic sustainability and

positive quality of life outcomes.

economic benefits

People QuickFacts Rochester, NY New York State

Households, 2009-2013

86,418 7,234,743

Persons per household, 2009-2013

2.32 2.61

Per capita money

income in past 12 months, 2009-2013

$18,847 $32,382

Median household income, 2009-2013

$30,875 $58,003

Persons below poverty level, percent, 2009-2013

32.9% 15.3%

supply chain

Diamond takes its social and ethical responsibilities

seriously, and we expect that everyone who

contributes to our success also continues to strive for

healthy and diverse work environments.

It is important to partner with other companies that

are also strong advocates for supplier diversity in the

community because it will expand opportunities and

eliminate barriers in the marketplace for diverse

business owners.

Diamond actively seeks out other minority-owned

businesses and has increased annual spend (with

these companies) by 16% since 2012.

diverse suppliers

This includes suppliers for:

• Apparel

• Corrugated boxes

• Industrial supplies

• Office furniture

• Office supplies

• Promotional items

Diamond also tracks annual spend with

small businesses (under 20 employees).

In Q1 2015 these companies represented

23.6% of all suppliers and accounted

for nearly $240,000 in total spend.

supplier responsibility

Diamond Packaging is committed to building long-

term relationships with our business partners based

upon mutual respect and socially responsible

practices.

We actively seek out business partners who share, and

are committed to, our values. Additionally, we take

great pride in our talented and dedicated team

members, all of whom help make Diamond

Packaging one of the most successful and innovative

companies in the packaging industry. Our continued

success rests on our team members, and we strive to

ensure a workplace in which all of them are afforded

the dignity and respect that they have earned. In

order to meet that goal, we are committed to the

following practices:

We ensure compliance with all applicable labor laws;

We strive to ensure that all forms of discrimination are avoided;

We ensure that our employees’ freedom to associate is respected;

We ensure safe working conditions for our employees

We ensure that all of our employees are at least 16 years old; and

We ensure that there is no forced labor of any kind.

We expect our business partners to implement these same practices in

order to ensure safe, healthy, and productive workplaces. Diamond

Packaging takes its social and ethical responsibilities seriously, and we

expect that everyone who contributes to our success also continues to

strive for healthy work environments.

supplier responsibility

corporate giving

Diamond is actively involved in the Rochester

community, contributing to several local

organizations, including:

Rochester Grizzlies (women's youth hockey team)

Rochester Museum and Science Center

School of the Arts

Seneca Park Zoo

SKIP of New York

Strong National Museum of Play

The company also sponsors charitable fundraisers to support national

organizations, including:

ABVI Goodwill

The Advocacy Center

Children's Specialized Hospital

Habitat for Humanity

March of Dimes

Planned Parenthood

Ronald McDonald House

According to CECP (Committee Encouraging Corporate Philanthropy)

Corporate Giving Standard Report: 2013 Edition, the median corporate

donation as a percentage of pre-tax profit is under one percent

(0.71%). Based on this data, Diamond is far exceeding the median with

a corporate donation total as a percentage of pre-tax profit about 3.5

times the average.

corporate giving

community service

Diamond’s employee-led Community Service Team

initiates at least six company-sponsored community

service drives throughout the year. These include:

• E-Recycling Event

• JP Morgan Corporate Challenge

• Red Cross Blood Drive

• Goodwill Clothing Drive

• “Green Day” (coinciding with Earth Day)

• Foodlink food drives

• Open Door Mission food drives

The team builds awareness and increases

participation through internal communications,

signage, and announcements during company’s

quarterly meetings.

With their help Diamond hopes to build an even

stronger bond between the company and our

community.

community service

environmental stewardship

Diamond Packaging is committed to working toward

a cleaner environment. We developed the Diamond

greenbox initiative to research, design, and

implement packaging solutions that are innovative

and sustainable.

The initiative balances business with environmental

considerations by promoting sustainability in all

aspects of package production.

The core of Diamond’s greenbox initiative – designs,

materials, and methods – represents a comprehensive

approach to packaging that minimizes environmental

impact throughout the supply chain.

Sustainability optimizes the value of packaging

through every phase of its life cycle, from design to

end of use. Through creative design, careful material

selection, and best practices at the plant level,

Diamond is able to minimize waste, reduce shipping

costs and increase efficiencies – all of which support a

sustainable use of resources and cultivate a positive

emotional connection to the brand.

The Diamond greenbox initiative is one more way we

plan to surpass our customers’ expectations today,

tomorrow, and into a greener future.

environmental stewardship

diamond’s greenbox initiative

Diamond’s practices are green by nature™.

We design and manufacture packaging with

sustainability in mind. The three components of

Diamond’s greenbox initiative are:

Designs

Materials

Methods

greenbox

chain-of-custody certification

Diamond has obtained Forest Stewardship Council®

(FSC) Chain of Custody certification from the

Rainforest Alliance.

This certification reflects a growing trend in the paper

and printing industry of companies making more

environmentally and socially responsible supply chain

decisions.

fsc-certified

recycling

Manufacturing Waste

Over 98% of all waste is recycled

o All paperboard is recycled

o All plastics are recycled

o All metals (e.g., plates, copper brass stamping dies,

steel rule) are recycled

o All wood pallets are recycled and/or sent for

reconfiguration and reuse

o All spent bulbs are recycled

All remaining waste is recovered, eliminating the need for landfill disposal

o Non-hazardous regulated waste is sent to

Covanta Energy for EfW (Energy-from-Waste)

o All regulated hazardous waste is sent for fuels blending

Office Waste

All office paper is recycled

All printer toner cartridges are recycled

All e-waste is recycled

recycling

zero manufacturing waste to landfill

Diamond has achieved zero manufacturing waste to landfill

status, an important milestone towards meeting its future goal

of zero waste to landfill.

The recovery and recycling program is a natural evolution of

the company’s greenbox sustainability initiative and one

which will provide long-term environmental and economic

benefits.

zero landfill

wind energy

Diamond Packaging is pleased to announce our

commitment to purchase 100% clean, renewable

wind energy from Community Energy.

Covers the total electricity energy requirement for

both facilities (box plant, DCP)

Consistent with our organization’s core mission

and values to be a responsible steward in the

communities we serve

wind energy

cdp supplier leadership index 2014

Diamond has been awarded with a position on the

CDP Supplier Climate Performance Leadership Index

2014 for its actions to reduce carbon emissions and

mitigate the business risks of climate change.

Index produced by CDP, the international NGO

that drives sustainable economies, at the request

of 66 multinational purchasers with a procurement

spend of US$1.3 trillion

3,396 companies independently assessed against

CDP’s respected scoring methodology and

ranked accordingly

Diamond is one of only 121 that has been

awarded an A grade for its climate performance

cdp leadership index

energy usage

Diamond’s ‘Green Team’ meets on a regular basis to assess

progress and determine short term goals, including achieving

greater manufacturing efficiencies (and the resultant

decreased energy demands), and long term goals, including

more comprehensive tracking of Scope 3 emissions with the

aim of decreasing or offsetting them.

We have set an absolute target of a 2% reduction in electricity

consumption per year for the next 10 years (20% total

reduction), based on a 2011 baseline. We have also set an

intensity target of a 1% reduction in Scope 1 + Scope 2

emissions (per unit of production) per year for the next 10

years (10% total reduction).

This will be achieved through more efficient production

processes and energy-saving methods.

energy usage

Year Gas Usage – therms (GJ)

Electricity Usage – kW (GJ)

Metric Tons CO2e

(Scope 1+2

emissions)

Metric Tons CO2e

(per unit of

production)

2014 94,327 therms (9,950 GJ)

8,199,461 kW (29,518 GJ)

2,547 (508+2039)

.2994

2013 101,687 therms (10,728 GJ)

8,044,561 kW (28,960 GJ)

2,548 (548+2000)

.2553

2012 88,613 therms (9,349 GJ)

8,212,257 kW (29,564 GJ)

2,519 (477+2042)

.3181

2011 114,159 therms (12,044 GJ)

8,615,518 kW (31,015 GJ)

2,758 (615+2143)

.3102

water usage

Reducing water consumption conserves our natural resources

and helps lessen our environmental impact by saving the

energy and the resources required to pump, circulate, and

treat the water we use.

Diamond continues to seek ways to reduce water

consumption in both plants through methods that can have

the most sustainable and economical impact.

We have set an absolute target of reducing water usage by

2% per year for the next 10 years (20% total reduction), based

on a 2011 baseline. We have also set an intensity target (cubic

meters per unit of production) of reducing water usage by 3%

per year for the next 10 years (30% total reduction).

These will be achieved through more efficient production

processes and water conservation methods.

water usage

Year Water Usage (gallons)

Water Usage (cubic meters)

Material Converted (metric tons)

Material Intensity (per unit of

production)

2014 1,378,000 5,216 8,506 .6132

2013 1,388,000 5,254 9,979 .5224

2012 1,737,000

6,575 7,918 .8303

2011 1,546,000 5,852 8,890 .6582

supplier awards P&G Excellence Award (2010-14)

P&G External Business Partner of the Year (2013)

P&G Supplier of the Year (2008)

P&G Excellence Award (2008)

Bausch & Lomb Women-Owned Business Enterprise

Supplier of the Year Award (2007)

3M Supplier of the Year (2007)

environmental awards CDP Supplier Climate Performance

Leadership Index 2014

EPA Top 10 Printers List (2009-11)

Environmental Leadership Award (sponsored by the Rochester Business

Journal and Bank of America)

recognition

packaging awards (partial list)

Elizabeth Arden – John Varvatos Artisan Acqua

o PPC Eco Gold Award (2014)

o packagePRINTING First Place – Sustainability (2014)

Zotos Professional – Zotos 180PRO Discovery Kits

o PPC Eco Gold Award (2014)

Elizabeth Arden – Limited Edition Sunflowers

o PPC Folding Carton of the Year (2013)

Diamond Packaging – 2013 Calendar

o packagePRINTING Best of Show (2013)

Diamond Packaging – Green Chic™ Packaging

o PPC Eco Excellence Award (2012)

Procter & Gamble – Gillette Fusion ProGlide

o PPC Gold Award / PPC Eco Excellence Award (2011)

Diamond Packaging – 2011 Calendar

o PIA Benny Award / PPC Eco Excellence Award (2011)

Zotos – Hair Color

o PPC Eco Excellence Award (2010)

L’Oreal / Matrix – Biolage thérapies

o Premier Print Award (2008)

partners

Community Energy (CEI)

EPA Green Power Partner (Leadership Club)

Rainforest Alliance

Cascades Recovery

Covanta Energy

affiliations

Global Packaging Alliance® (GPA)

Independent Carton Group (ICG)

Institute of Packaging Professionals (IoPP)

Monroe County Recycling Advisory Committee (RAC)

Paperboard Packaging Council (PPC)

Rochester Business Alliance (RBA)

Women’s Business Enterprise Council (WBENC)

associations

contacts

Karla Fichter

CEO, Owner

585-334-8030

kfichter@diamondpkg.com

Tom Dasilva

VP of Sales and Marketing

631-384-3161

tdasilva@diamondpkg.com

contact us

corporate

Email: sales@diamondpackaging.com

Website: www.diamondpackaging.com

www.global-packaging-alliance.com