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TABLE OF CONTENT EDITORIAL STABILO – A PARTNER IN CREATIVITY AND GROWTH A HOLISTIC APPROACH: PEOPLE, PLANET, AND PROFIT FROM STRATEGY TO IMPLEMENTATION STABILO’S COMMITMENT TO THE UN SUSTAINABLE DEVELOPMENT GOALS A CLEAR CLIMATE GOAL TARGETS BY ACTION FIELDS PEOPLE CULTURE, RESPONSIBILITY, GROWTH LIVING OUR BRAND FROM THE INSIDE OUT MAKING CULTURE TANGIBLE EMBRACING DIVERSITY WORKING AT STABILO EMPLOYEES IN NUMBERS PLANET UNDERSTANDING AND MANAGING OUR CARBON FOOTPRINT STRATEGIC ACTION FIELDS ENERGY PACKAGING 3 4 5 7 8 10 11 12 13 14 15 16 17 18 19 20 22 23 24 MATERIAL RECYCLABLES & WASTE PRODUCTS LOGISTICS MOBILITY INTERNAL PROCESSES / THINKING PROFIT ENTREPRENEURIAL THINKING MEETS SUSTAINABLE ACTION SITES AND SUPPLY CHAIN ACTIVITIES CODE OF CONDUCT WHISTLEBLOWING / SUPPLIER CODE OF CONDUCT RISK ASSESSMENT THROUGHOUT THE SUPPLY CHAIN TURNOVER SCHWAN-STABILO GROUP COMMITMENT TO PRODUCT SAFETY PRODUCT SAFETY REGULATIONS AND CHEMICAL COMPLIANCE COMPLIANCE WITH LAWS AND REGULATIONS PARTNERS AND INITIATIVES SUSTAINABILITY STORIES AROUND THE WORLD IMPRINT / LEGAL DISCLOSURE 25 26 27 30 31 32 33 34 35 36 37 39 40 41 42 43 44 45 47 2
Dear Readers, As we celebrate STABILO’s 170th anniversaryin2025,Iamfilledwitha senseofprideandoptimism.Fornearlytwo centuries,wehaveremainedafamily-owned business,committedtoinnovationandsustain- ability.Overthepastfewyears,STABILOhas embarkedonajourneytowardgreatersustain- ability,andwehavemadesignificantstrides thankstothededicationandhardworkofour teamandpartners. and offsetting has come under increasing scru- tiny, we decided to step away from offsetting, accepting a longer path to true climate neutral- ity through our own actions. Therefore, we are continuing to work tirelessly toward the best possible reduction of our emissions. We have achieved impressive results and set new and challenging targets, which you can read about in detail in this report. We continue to work tirelessly toward the best possible reduction of our emissions Long before the Together initiative, STABILO I extend my heartfelt gratitude to all our In 2020 we launched our sustainability initiative was a pioneer in many sustainable practices. As employees, suppliers, customers, and fans for Together. This inaitiative is driven by a team of a family business, we see it as part of our DNA their unwavering commitment and passion for multipliers who champion sustainability topics. to act sustainably and with an eye toward future However, from the very beginning, we knew that generations. Our commitment to sustainability our company. Together, we will continue to accomplish significant objectives and make a true transformation could only be achieved if is not just a corporate responsibility; it is a core meaningful difference to our people and our everyone got involved, our employees, suppliers, value that drives our daily operations and long- planet. customers, and fans – all working together. term strategies. One of the major goals of the Together initiative was to achieve climate neutrality by 2025, with a focus on reducing as much CO2 as possible through our own efforts. We aimed for a signi- ficant reduction in scope 1, 2 and 3 emissions between the fiscal years 2021/22 and 2024/25, In this report, you will find detailed accounts of our sustainability efforts, including the firsthand experiences of our employees across various de- partments. These stories highlight how our sus- tainability strategy is being put into practice in everyday actions and show the positive impacts with the remaining emissions to be offset. it has generated. However, as the concept of climate neutrality I hope you enjoy reading our Impact Report. Warm regards, Horst Brinkmann CEO, STABILO 3
STABILO – A PARTNER IN CREATIVITY AND GROWTH For 170 years, STABILO has been a symbol of creativity and became a common term, sustainable actions and economic innovation. Founded in Nuremberg, our creative heart still practices were deeply embedded in our corporate culture. beats in nearby Heroldsberg. Today, our pens and pencils are crafted in our production facilities across three countries: Germany, the Czech Republic, and Malaysia. You can find STABILO products in over 180 countries, and we are grateful for this widespread support. Our journey has been marked by dedication and hard work, which has helped us become one of Europe’s leading writing instrument manufacturers. Our 1,500 colleagues are part of At STABILO, we believe that everyone is born with creativ- ity and a head full of ideas; ideas that can make the world better, more colorful, or simply more fun. That’s why we do everything we can to help people express their creativity and bring their ideas to life. Our global brand campaign START BEGINNING brings this to the forefront: It celebrates the power of starting something new, the courage behind that first step, encouraging beginners and professionals alike the Schwan-STABILO Group, one of Germany’s most successful to pick up a pen and get started. family-owned businesses, with around 800 million euros in revenue, over 5,200 employees, and 38 locations worldwide. Looking ahead, we remain committed to fostering innova- tion and sustainability. We continue to explore new ways The foundations of our success were laid in 1865 by Gustav to reduce our environmental impact and enhance our social Adam Schwanhäußer. Recognizing the opportunities present- contributions, ensuring that we leave a positive legacy for ed by the industrial revolution, he bought a pencil factory future generations. (founded in 1855) in Nuremberg with a loan from his father. More than 170 years and six generations later, this has grown into an international corporation with three independent business units: cosmetics, writing instruments, and outdoor. As a family business, we have always placed great emphasis on responsible actions and sustainable business practices. Our corporate goals and processes are shaped by generations, not quarterly results. Long before sustainability management Headquarters Heroldsberg Gustav Adam Schwanhäußer Historic price list 4 4
Sustainability PLANET save resources A HOLISTIC APPROACH: PEOPLE, PLANET, AND PROFIT PROFIT PEOPLE ensure viability improve quality of life Our sustainability strategy is an integral part of our 2030 corporate strategy, helping us achieve our goals as a global leader in the writing instruments industry. We strive to go beyond minimum requirements and integrate corporate social responsibility into holistic, values-driven actions. We have listened closely to what our customers, partners, and employees expect from us. From reducing emissions to increasing transparency and improving materials, we have already taken significant steps, and we are ready to take many more. THREE PILLARS OF SUSTAINABILITY We view sustainability as the result of coordinated action across three interconnected fields: people, planet, and profit. It’s a shared respon- Our products are built to last, with German craftsmanship and decades of expertise. Nevertheless, sibility because while no individual can do it all, nothing will change our processes do consume resources, and we know we must keep improving. We’re acting to reduce waste, improve efficiency, and encourage conscious decisions throughout our value chain. We actively promote a culture of continuous improvement and measure our progress with clarity and accountabil- ity. We’ve already implemented initiatives across our organization that drive resource efficiency and without every one of us contributing. These three pillars represent the environmental, economic, and social dimensions of sustainable devel- opment. For a system to be truly sustainable, it must balance all three aspects ensuring social well-being, protecting the environment, and innovation, and we’re proud of the impact these have had and will continue to have in the future. maintaining economic viability. 5
People - SOCIAL SUSTAINABILITY The “people” pillar focuses on the social dimension of sustainability. It emphasizes the importance of human well-being, equity, and community development. At STABILO, we think beyond ourselves and consider the needs of our employees, their families, and their communi- ties. A work environment characterized by mutual respect and appreciation is a fundamental part of our business Planet - ENVIRONMENTAL SUSTAINABILITY Key aspects activities. We believe that our differences enrich us, and • Reducing carbon emissions and energy use Profit - ECONOMIC SUSTAINABILITY The “profit” pillar refers to the economic dimension of sustainability. It focuses on creating long-term economic value as a key supplement to the other two pillars. At STABILO, we think and act entrepreneur- ially, viewing sustainability as a key success factor for the future. As a family business, we have always placed great emphasis on re- sponsible actions and sustainable business practices. Our corporate goals and processes are shaped by generations, not quarterly results, reflecting a deep commitment to long-term thinking and ethical de- we value collaboration across teams and divisions. Every- • Protecting ecosystems and wildlife cision-making. By keeping a positive and optimistic outlook, we fos- one brings unique strengths to the table, contributing to a • Sustainable resource management (e.g., water, forests) ter a culture of continuous improvement and innovation. Our work vibrant and dynamic workplace. • Promoting renewable energy and green technologies is results-driven and always focused on the needs of our customers • Circular economy practices and waste reduction and internal partners. We integrate environmental and social consid- erations into our business decisions to ensure that our practices are ethical and contribute to long-term success. A sustainable economy supports innovation, responsible investment, and ethical business practices. It ensures that businesses can thrive while also contributing positively to society and the environment. Key aspects • Long-term financial planning and resilience • Ethical supply chains and production • Supporting local economies and fair trade • Innovation and sustainable business models • Customer-focused and responsible entrepreneurship • Generational thinking and family business values 6 Social sustainability also includes fair labor practices, access to education and healthcare, human rights, and social in- clusion. A socially sustainable system ensures that all indi- viduals and communities can thrive, now and in the future, without discrimination or exploitation. The “planet” pillar addresses the environmental impact Key aspects • Fair working conditions and wages • Equal opportunities and diversity • Community engagement and empowerment • Health and safety standards • Inclusive and respectful workplace culture of human activities. It aims to protect natural resources and ecosystems to ensure the planet remains habitable for future generations. STABILO adopts a holistic approach, from raw material extraction to recycling, recognizing that environmental stewardship is both a responsibility and an opportunity to innovate. Protecting our environment is crucial, not only for our future but also for the well-being of everyone involved in our supply chain. By integrating sustainable practices into our daily operations, we strive to create a positive legacy for generations to come.
FROM STRATEGY TO IMPLEMENTATION Oursustainabilitystrategyis implementedthroughconcrete initiatives,projects,andpartnerships: We have set up an Environmental, Social, Governance (ESG) department that over- sees and monitors our measures. A particular focus is on our sustainability initiative Together, which aims for significant and continuous reduction of the company’s corporate carbon footprint. The overall reduction target is broken down into sub- targets, and clear responsibilities are defined for the departments responsible. The myclimate organization supports and advises us in determining our corporate carbon footprint and possible improvements and savings, while the EcoVadis sustain- ability assessment helps us to assess and improve our social, ecological, and economic impact across all areas of the company. And as a brand that inspires people across all stages of life, we believe in using our voice and visibility to spark positive change. From increasing the share of sustainable materials to reducing our carbon footprint and telling meaningful, colorful stories. Sustainability is a part of what makes STABILO a beloved brand. Our creativity drives innovation. Our values drive impact. And our community drives us to keep going, because becoming sustainably better is a journey we are proud to walk. 7
WearecommittedtosupportingallUNSustainable DevelopmentGoals(SDGs)andactivelyintegratingthem intoourdailydecisions,strategies,andactions.Thesegoals challengeustothinkbeyondthehereandnowandtoact courageously.Westandforwhattheymean:sustainability, peace,justice,andpartnerships.Weknowthatwecannot changetheworldalone,butwecanandwilldoourbestto makeourcontribution.Together! STABILO’S COMMITMENT TO THE UN SUSTAINABLE DEVELOPMENT GOALS (SDGs) 8
Tomakeameaningfulimpact,wehaveprioritizedtheSDGsthatareparticularlyimportantforSTABILO: SDG3:GOODHEALTHANDWELL-BEING SDG 7: AFFORDABLE AND CLEAN ENERGY We ensure the safety and well-being of our employees through high occupational health We are reducing our energy consumption through efficient measures and using standards, regular health offerings, benefits, and awareness-raising measures. Product renewable energy sources. Our headquarters and all production sites have solar power safety is seen as a priority, particularly as many of our products are used by children. Our systems installed, and we are continuously expanding these capacities. internal safety standards often exceed legal requirements. All our production sites are ISO 14001 certified, proving our commitment to environmental management. SDG 8: DECENT WORK AND ECONOMIC GROWTH SDG 10: REDUCED INEQUALITIES We provide safe, fair, transparent, and competitive working conditions in accordance with Colorful, one of our brand values, means open-minded and diverse. We see our our Employer Code of Conduct. Through standardized supplier selection and approval differences as enriching and enjoy working together across teams and divisions. processes incorporated into our Supplier Code of Conduct, we mitigate the risks of inad- We promote equal opportunities, gender equality, and fair treatment across our company equate working conditions and human rights violations in the supply chain. We believe and supply chain. We actively fight discrimination and foster an inclusive work environ- that everyone deserves a safe and fair workplace. ment where everyone can thrive. SDG 12: RESPONSIBLE CONSUMPTION AND PRODUCTION SDG 13: CLIMATE ACTION We optimize resource use, reduce plastic waste, and promote recycling. Through We are striving to substantially lower our carbon footprint by analyzing long-lasting products and refill opportunities, we aim to minimize environmental impacts our greenhouse gas emissions, setting targets and strategically working and encourage sustainable consumption practices. on reduction. SDG 17: PARTNERSHIPS FOR THE GOALS We foster partnerships within our corporate group, supply chain, and sales networks to drive sustainable development. By collaborating with stakeholders and obtaining external certifications, we strengthen collective growth and efforts to achieve global sustainability goals. 9
OUR AMBITION: A CLEAR CLIMATE GOAL STABILO is committed to the goals of the Paris Climate Agreement (COP21) and its subse- quent developments. Our target is to reduce our CO2 emissions (scopes 1, 2, and 3) by 50% by 2030, based on our 2021/22 baseline. These goals align with the Greenhouse Gas Protocol and include the entire value chain, from our suppliers, through our operations and sales to our logistics. But for us, this is more than just a number. It’s a mission. Every part of our organization is involved. From innovation, product development, and sourcing to logistics and packaging, our sustainability efforts are built on the strength of our Together Community and a shared belief that change happens through collaboration. CO2-Reduction of50%vs.baseline21/22 scope 1, 2, 3 until byownactions! 10
actionfield target baseline targetyear actual(23/24) climate action corporate carbon footprint reduce overall CO2 emission by own efforts by 50% materials energy packaging alternative materials ISCC PLUS certification and use of certified bio-based plastics on at least 2 top-selling products emissions reduce CO2 emission of processed material by 35% climate-neutral energy switch to 100% climate-neutral electricity in all production plants energy in self-production examination and implementation of further technologies and/or own climate-neutral sources (PV, wind, Co-Generation...) emissions emissions reduce CO2 emissions from energy reduce CO2 emissions from energy by 15% (scope 2 emissions) recycled cardboard recycling content >80% for all used cardboard for packaging recycling share recycling rate of >30% across all packaging consumer packaging switch from mixed material to mono material packaging packaging online shop switch to more sustainable shipping packaging for STABILO online shop emissions emissions reduce CO2 emission from packaging reduce CO2 emission from packaging by 35% recycling systems reduce of mixed prodction waste by -10% reusable waste emissions reduce CO2 emission from waste emissions e-mobility emissions emission emission emissions mobility logistics internal processes reduce CO2 emission from waste by 15% expansion of e-charging stations (for cars and bikes) at Heroldsberg, Weißenburg and Český Krumlov reduce CO2 emission from mobility and own vehicles by 15% create greenhouse gas analysis of the warehouses reduce CO2 emission from logistics by 10% reduce CO2 emissions from heat/cold by 15% (scope 1 emissions) social KPI monitoring measure, monitor & improve social KPI framework mindset awareness & inclusion let’s grow a together attitude 21/22 - 23/24 19/20 19/20 23/24 19/20 19/20 19/20 19/20 19/21 23/24 19/20 19/20 23/24 19/20 23/24 23/24 23/24 29/30 24/25 29/30 24/25 24/25 29/30 24/25 24/25 24/25 21/22 24/25 29/30 24/25 24/25 29/30 24/25 29/30 26/27 29/30 29/30 27/28 -34 % new ongoing -91 % new 90 % -41 % new -59 % new new new new new new ongoing 11 S D L E I F N O T C A Y B I S T E G R A T - B U S
EMPOWERING PEOPLE: CULTURE, RESPONSIBILITY, GROWTH People are at the center of everything we do, whether they are our employees, our partners, or the communities we touch. Social responsibility and employee engagement are one key pillar of our sus- tainability approach. We work in a purposeful way, always guided by the needs of our fans and in- ternal stakeholders. We strive to set benchmarks in our fields of expertise and continuously develop our skills and knowledge. Understanding our industry and our products helps us shape a workplace culture that values collaboration, growth, and impact. 13
LIVING OUR BRAND FROM THE INSIDE OUT Our brand is more than just a promise to our customers; it’s TRUST a shared commitment to one another. Our brand positioning, As a trusted brand, we provide solutions and make “STABILO is the most trusted companion enabling people to decisions with people and the planet in mind. evolve”, guides not only how we interact with the world but also how we work and grow together internally. From this positioning, we’ve derived four guiding principles that define how we think, act, and collaborate: COMPANION These principles serve a dual purpose: They guide our external relationships with custom- ers and partners but above all, they define how we treat each other at STABILO. We seek to understand the deeper needs of others Because the outside world sees how we live and remain relevant at every stage of life. our brand internally. A vibrant, respectful, ENABLE We inspire, empower, and support others through our actions and offerings. EVOLVE and empowering culture not only attracts new talent but is also a compelling reason why people choose to stay and grow with us. In today’s world, company culture is no longer a “nice-to-have”; it’s essential to long- We motivate people to grow, learn, and realize their term success. full potential, both personally and professionally. 14
MAKING CULTURE TANGIBLE THROUGH THE COLOR CODE To bring our values to life, we’ve developed the STABILOColorCode. It trans- lates our brand values Colorful,Different,People-Oriented,Expressive,Pen Expert,andGermanQuality into a shared culture for how we collaborate, lead, and communicate. It’s not about reinventing who we are. It’s about expressing what already defines us and where we’re headed next. Here’swhateachColorCodevaluemeansinourdailywork: COLORFUL–OPEN-MINDEDANDDIVERSE We are unique individuals who bring our strengths into teams and the organization. We see differences as enrich- ment and enjoy working across functions and departments. We actively share knowledge and constantly seek new ideas and inspiration. DIFFERENT – COUR AGEOUS AND CURIOUS We think creatively, challenge the status quo, and explore new paths. We’re not afraid to experiment, embrace our free- dom, and ask for it when needed. We see mistakes as a source of growth and regularly step out of our comfort zones. PEOPLE-ORIENTED–APPRECIATIVEANDSUSTAINABLE We treat each other with fairness, empathy, and respect. We pursue our goals independently but support one an- other along the way. We hold ourselves accountable and act responsibly in our dealings with each other and the resources entrusted to us. Sustainability is part of how we work, not an afterthought. EXPRESSIVE – CLEAR , TR ANSPARENT, AND TANGIBLE The ColorCode makes our culture tangible. It... We value optimism and open communication. We give and receive feedback directly and constructively. We cele- • describes our attitude and the way we work together, • serves as a compass for our actions and development, • reflects our values and gives us orientation, • and strengthens the connection between our brand and our people. brate milestones, share decisions transparently, and express goals clearly. We are proud of our brand, our products, and the culture we co-create every day. PEN EXPERT & GERMAN QUALIT Y – PROFESSIONAL AND POWERFUL We are results-driven and committed to excellence. We strive to be the benchmark in our respective fields, continu- ously developing our expertise. We understand our industry, know our products and use both to shape the future with purpose. 15 15
EMBRACING DIVERSITY: A STRATEGIC PRIORITY AT STABILO Diversity is not just a value; it is a strategic success factor. In times of rapid FROM INSIGHT TO ACTION In 2024, we launched a diversity survey at our German sites to better understand how diver- sity is perceived within STABILO. Based on the findings, we set up a cross-functional Diversity Team tasked with translating feedback into tangible actions, defining key areas, and promot- ing inclusive change throughout the organization. Diversity is anchored in our long-term strategy, STABILO 2030. We see it as a key business pri- ority supported by clear goals, measurable KPIs, and a commitment to sustainable progress. Because meaningful diversity doesn’t just happen, it requires clarity, structure, and leader- ship. That’s why we are investing in awareness, education, and inclusive processes that make diversity visible and tangible across all areas of the company. change, diverse perspectives, experiences, and backgrounds are crucial for Our aim is to create a workplace that reflects the richness of the world around us. staying innovative, relevant, and competitive. We are convinced that diverse teams help us think more creatively, make better decisions, and shape a more inclusive and sustainable future. With Colorful as one of our core brand values, we stand for openness, differences, and the belief that variety is a strength, not only in our products, but also in the way we work together. When people are acknowledged and their voices matter, trust, creativity, and change can flourish. That’s the power of diversity in practice. Sabrina Reiber Board of Management – Business Enabling 16
WORKING AT STABILO: FAIR, FLEXIBLE, SUPPORTIVE Great work can only happen under good conditions. That’s why we’re committed to creating a fair, flexible, Our employees also benefit from a broad range of additional offers: and supportive working environment where people can thrive both professionally and personally. In Germany, we are part of the IG Metall (industrial union) collective bargaining agreement for the pencil industry. This ensures fair wages and salaries, strong social protection, and co-determination rights for em- ployees. It also reflects our commitment to social responsibility and compliance with strict labor standards. We know that life and work don’t follow a single path. To support our employees at different life stages, we offer a wide range of working time models: part-time work, parental leave, sabbaticals, phased retirement, age-related time off, flextime accounts, and the possibility of mobile work. These options are all designed to provide greater autonomy and work-life balance. We also care deeply about mental and physical well-being. Our support includes access to a company social worker and dedicated initiatives like W.I.N.G.S., our internal program to strengthen and empower women at STABILO. In addition, we provide regular sports classes, physiotherapy, health days, and an occupational health service including company doctors. • Corporate benefits such as employee discounts on STABILO and Group products • Job bike leasing for a more sustainable commute • Subsidies for fitness and health programs through the Schwan Aktiv Club • On-site canteen at our headquarters and production sites • Company daycare center to support families • Confidential support systems including reporting centers for crises, violence, or discrimination • Comprehensive health services including mental health counselling and preventive medical care These benefits reflect what we stand for as an employer: a culture of care, re- spect, and responsibility with fair pay, flexible models, and mental health sup- port. These are some of the ways we create a workplace where people feel re- spected, valued, and empowered to grow. 17
EMPLOYEES IN NUMBERS EMPLOYEES PER COUNTRY (JUNE2024) ■ Germany ■ Cech Republic ■ Malaysia ■ France ■ Spain ■ China ■ Italy ■ Singapore ■ UK ■ Hungary ■ Poland ■ Belgium ■ Netherlands ■ Austria ■ Slowakia 599 450 269 66 24 23 20 16 12 11 10 10 8 4 3 TOTAL 1,525 LEADERSHIP BY GENDER 20 % BoardofManagement 80 % LeadershipTeam 30 % 70 % ■ male ■ female 18
UNDERSTANDING AND MANAGING OUR CARBON FOOTPRINT Transparency is the foundation of meaningful climate action. That’s why we have been calculating our Corporate Carbon Footprint (CCF) in collaboration with myclimate since the 2019/20 fiscal year. This first measurement marked a crucial milestone, as it revealed the biggest sources of our emissions and laid the groundwork for a strategic roadmap aimed at reducing them. -2% 8.000 PROGRESS21/22VS23/24 Co2 emissions by Category In the early years, the focus was also on improving the quality and consis- tency of our data collection processes. This enabled us to create a more ac- -41% -91% curate picture of our environmental impact and to identify where targeted reductions would be most effective. Since the 2021/22 measurement, we have significantly expanded the scope 4.000 and depth of our data, allowing for more precise insights and clearer track- ing of progress. For this reason, 2021/22 now serves as the baseline for our current climate targets and reduction efforts. By building a strong data foundation, we are turning our climate ambition into measurable, accountable progress step by step, always guided by our commitment to becoming sustainably better. 0 raw materials packaging mobility & transport own vehicles -1% -23% -18% +15 % +17 % -59% +65 % +64% 2021 / 22 2023 / 24 heat & cold delivery energy canteen business waste, electronic travel recycling & devices water office material 20
Co2 emissions reduction targets by scope 4 2 / 3 2 0 2 e p o c s y b s n o i s s i m e 2 o C 89 % SCOPE 3 Rawmaterials(45%) Packaging(19%) Mobility & Transport own vehicles (12 %) Delivery Canteen Business travel Waste, recycling, water Electronic devices Office material 3 % 8 % SCOPE 2 Energy SCOPE 1 Heat & cold 25.000 20.000 15.000 10.000 5.000 0 ACTUAL 23/24VS21/22 - 34 % PLAN 29/30VS23/24 - 24 % 16.194 -25% 556 1.551 23 / 24 -15% -15% 12.128 475 1.325 29 / 30 19.338 6.511 2.006 21 / 22 -16% -91% -23% Scope 3 Scope 2 Scope 1 PLAN TOTAL TARGET 29/30 VS21/22 - 50 % -37% -93% -34% 21
OUR STRATEGIC ACTION FIELDS To drive our measures with focus and commitment, we’ve defined nine strategic action fields to steer our transformation. They give our efforts direction, amplify our impact, and ensure we create meaningful changes across every part of our business. ENERGY PACK AGING MATERIAL How can we reduce energy consumption How can we reduce and reuse packaging and How can we decrease material use and and make it environmentally friendly? how can we increase recycled material and increase the use of recycled/renewable recycleability? materials? REUSABLE WASTE LOGISTICS MOBILIT Y How can we produce less waste and bet- How can we reduce the environmental impact How can we travel less and encourage ter reuse it? of transport and shipping? greener commute? PRODUC TS How can we improve sustainability traits and recyclability of our products, whithout any compromise on quality and performance? INTERNAL PROCESSES How can we challenge and adapt our processes to reduce waste, inefficiencies, and the CO2 impact? THINKING How can we raise awareness and anchor sustainability in our minds and hearts? 22
ENERGY Energyhasbeenoursecond-largestdriverofCO2 emissionsdespiteourlong-standingcommitment toresponsibleenergymanagement.Ourlargest productionsiteinWeißenburghasbeenpowered byhydropowersince2011,andyet,wefoundnew leversforevengreaterchange.Betweenfiscal years2021/22and2023/24,weachievedaremark- able91% reductioninenergy-related emissions, proof that consistent effort andbolddecisionsgohandinhand. Contributing to SDGs Solar System Headquarters Heroldsberg SMART MACHINES, L ASTING IMPAC T We’ve replaced four hydraulic injection molding machines with energy-efficient electric models, saving nearly 68 kW per hour. Over the year, that’s 257,804 kWh of electricity conserved. This up- grade is a long-term investment in smarter, cleaner manufacturing. SMART LIGHTING, BRIGHT SAVINGS Our lighting thinks ahead. By switching to LED systems with intelligent controls in our plants in Weißenburg and Český Krumlov, we reduce energy use by up to 70%. SOL AR AT SC ALE We harness the sun across all production sites, generating 1,267,000 kWh of clean solar power annually. This is roughly equivalent to the annual electricity consumption of 362 average European households. (*assuming a consumption of 3,500 kWh per year) GREEN POWER From Weißenburg to Johor Bahru – our operations are powered by the planet, not at its expense. Our headquarters in Heroldsberg and all our production sites run entirely on renewable electricity. 130 EYES ON ENERGY Smart meters give us real-time insights into our consumption of electricity, water, gas, heating and cooling. With 130 meters in operation across our sites, we’re making data-driven deci- sions to save energy and protect resources. CERTIFIED TO MAKE A DIFFERENCE We hold ISO 14001 and 9001 certifica- tions at all production sites – proof of our commitment to environmental and quality standards. At Weißenburg, our energy management meets ISO 50001 standards, with climate-neutral heating sourced from 25% heat recovery and 75% green gas. LOOKING AHEAD: MORE IMPAC T, LESS FOOTPRINT Our journey doesn’t stop here. All our sites con- tinue working to reduce energy demand and shift further toward climate-neutral sources. In Český Krumlov, we’re taking bold next steps: Two new solar systems are in the works, along with a heating system that turns wood production waste into renewable heat. Because real progress means thinking long-term and acting today. 23
PACKAGING Packagingismorethanproductprotection:it’s aleverforclimateaction.Asitisamongthetop three sources of our CO2emissions,itdemands smartsolutions.Andwe’remakingprogress: Betweenfiscalyears2021/22and2023/24,we’ve alreadycutpackaging-relatedemissions by41%.Thejourneytakesustoward materials that matter less for the planet andmoreforthefuture. % Contributing to SDGs DESIGNED TO REC YCLE We’re switching to mono-material packaging made from cardboard to simplify waste separation for con- sumers and boost recyclability. Over 120 packaging formats have already been converted, and all new packaging is now developed with mono-material design in mind. Because sustainable packaging starts with smart decisions from the very beginning. FOCUS ON REC YCLING Whenever possible, we use cardboard and paper made from at least 80% recycled material. Our goal is to close loops and keep valuable re- sources in use. PACK AGING THAT L ASTS We create packaging with purpose: durable, reusable, and multifunctional, like refillable displays or cases that double as desk accessories. It’s smart packaging that adds value far beyond the shelf. LESS IS MORE We reduce transport packaging to the bare minimum. Every gram we save avoids un- necessary emissions and waste without compromising product safety. INVEST IN SUSTAINABLE CHANGE We’ve invested over €2 million in four state-of-the-art packaging machines in Weißenburg and Český Krumlov. Custom-built for 100% cardboard solutions, these systems are the result of close collaboration between our engi- neers and suppliers. FROMSINGLE-USETO SMART USE We’re phasing out single-use plastic packaging step by step, replacing it with cardboard or recycled plastic from post-consumer waste. Our milestones so far: • BOSS ORIGINAL wallets: 100% recycled plastic, saving 84 tons per year. • Display inserts: 100% recycled plastic, 6 tons saved annually. • Blister covers: Replaced by cardboard solutions step by step: Remaining covers are increasingly made from recycled material. LOOKING AHEAD: FROM PL ASTIC TO PAPER Our packaging transformation continues step by step. In 2026, we’ll replace even more plastic packaging with smart cardboard solutions, assuming savings of around 34 tons of plastic per year. We aim to reduce greenhouse gas emissions coming from packaging by another 35% by 2029/30. 24
MATERIAL Thematerialsweprocessareourlargestsourceof CO2 emissions, mainly because we work with plas- tics.Wearecontinuouslyexploringalternatives tovirginplasticandhavealreadyappliedseveral optionsinourproducts. Contributing to SDGs BIO-BASED. CERTIFIED. FUTURE-READY. Since 2021, we’ve been ISCC PLUS certified, and since 2025, we have been proud to announce that eight of our products are linked to certified bio-based plastics. With this material, we are replacing fossil raw materials like crude oil with bio-circular feedstocks, including used cooking oil or tall oil, a by-product extracted from wood during paper production. The material emits significantly less CO2 than fossil-based plastic and helps reduce the carbon footprint of our products, as verified by myclimate assessments. By applying the mass-balance approach, a bookkeeping method cover- ing the whole supply-chain, existing supply chains can be used and transformed step by step. WHY WE STICK TO PL ASTIC We know plastic is controversial, but for good reasons we still rely on it. It’s currently the safest, most durable, and best-performing material for writing instru- ments, especially when it comes to everyday use and child safety. At the same time, we’re actively increasing the use of recycled and bio-based plastics across our portfolio. 100 % CERTIFIED WOOD All the wooden pencils we produce ourselves are made of certified wood. Our plant in Český Krumlov only buys and processes wood from certified sources, either FSC® or PEFC certified. As early as 1998, we became the first in our industry to earn FSC® certification, followed by PEFC in 2011. These trusted la- bels reflect our deep commitment to sustainable forestry and our belief in transparent, independent standards that others can rely on. LESS IS MORE We’ve been PVC-free since 2012 because harmful additives have no place in our products and packaging. And when it comes to ink, simplicity is the key: our inks consist of 97.5% water. That means fewer chemicals, safer products, and a smaller environmental footprint. FEEDSTOCKS, NOT FOOD STOCKS Not all bio-based plastics are created equally. That’s why we only use materials that don’t compete with food production or agricultural land. You won’t find any plastics made from corn starch or sugar- cane in our products. Instead, we rely on bio-circular feedstocks to offer ethically sound products. LOOKING AHEAD: BET TER MATERIALS, LESS MATERIAL By 2026, more of our products will transition to ISCC PLUS-certified bio-based plastics and ISCC PLUS-certified recycled plastic (PCR), further expanding our commitment to renewable, low-impact materials. At the same time, a dedi- cated project team is exploring smart material reductions across our portfolio, identifying where we can use less without compromising on quality, performance, or design. 25
RECYCLABLES & WASTE Whereverpossible,weaimtoreducewasteatthe source,separateitcleanly,andreturnrecyclable materialstotheresourcecycle.Becauseevery gramweavoid,sort,orrecoverhelpsusconserve rawmaterialsandprotecttheenvironment. Contributing to SDGs IN-HOUSECIRCULARITY Through regranulation, we feed plastic production waste directly back into our manufacturing cycle. This process keeps valuable material in use and avoids unnecessary waste turning offcuts into new beginnings. FROM PL ASTIC TO PAPER – WITHOUT WASTE In 2023, we redesigned the 10-piece packaging of two of our bestsellers, point 88 and Pen 68, switching from two plastic components to 100% cardboard. This move not only replaced fossil-based materials with recyclable ones, but also ended punch waste that previously had to be incinerated. The packs can now be produced without any punch waste and zero thermal disposal. CLEAN COLORS, CLEAN PROCESS Our state-of-the-art ink production facility creates over 200 unique ink formulations and more than 1.2 million liters of ink each year. To keep the process safe and clean, pigment dust is captured by an ad- vanced air purification system. And when it comes to waste water, we go a step further: Out of 200 tons of dirty water annually, our in-house distillation system recovers 196 tons of clean water, leaving behind only four tons of solid waste. LOOKING AHEAD: DESIGNED FOR WHAT COMES AF TER Recyclability, refillability, and durability are key priorities for our future product development. A dedicated working group explores how to make our products more recyclable without compromising on safety or performance. Today, components like ink reservoirs are often perma- nently sealed into the pen body to ensure functionality and meet safety standards. But we’re working on smart solutions so that tomorrow’s pens are not just built to last but also designed for circularity. 26
PRODUCTS Nearlyeverythingwedorevolvesaroundour products.They’renotonlytheheartofour businessbutoftenlong-timecompanionsin people’severydaylives.Astruepenexperts withalong-standingheritageofGermanquality, wearecommittedtocombiningcraftsmanship, innovation,andresponsibilityineverything wecreate.That’swhywestrivetomakeevery productbetter,moredurable,andwithless environmentalimpact.Fromdesignandmaterial choicetomanufacturingandusability,weaim todeliverhigh-quality,long-lastingperformance withafocusonsustainableprogress. Contributing to SDGs PRODUCED WITH GREEN ENERGY All our production sites run on 100% renewable energy, which means the pens we manufacture are made using electricity from climate-friendly sources. REC YCLED PL ASTIC STABILO GREEN BOSS conserves natural resources as it is produced from 83% recycled plastic. Neon variants of the highlighter are also refillable using the standard STABILO BOSS refill, extending their life and reducing plastic use. STABILO GROW: DESIGNED WITH SUSTAINABILIT Y IN MIND From the very beginning, sustainability was at the heart of the Grow product line. The pens combine smart design with carefully selected materials that emit significantly less CO2 than fossil-based plastics: • Barrel: made from 100% FSC®-certified wood • Grip zone: crafted from 100% bio-based plastics derived from renewable resources. • Cap: conventional plastic partially replaced by natural fibers, such as sunflower seed hulls All bio-based materials used are waste products from the food and paper industries, ethically sound, responsibly sourced, and better for the planet. LOOKING AHEAD: SUSTAINABILIT Y BUILT INTO EVERY NEW IDEA For every new product we develop, sustainability is a key decision-making fac- tor, from design, the choice of materials, and packaging to production methods and manufacturing locations. Interdisciplinary teams across departments are al- ready working together to embed environmental responsibility into every stage of product development. Our goal is to create writing instruments that not only inspire creativity but also meet the demands of a more responsible future. 27
TR ANSPARENT AND APPROVED We’re proud to carry recognized, third-party sustainability certifications on many of our products because transparency, trust, and accountability matter. Our FSC® certified products GREENgraph, GREENtrio, GREENcolors, EASYgraph S, and Grow. Our PEFC certified products EASYcolors, EASYgraph. woody 3 in 1, woody 3 in 1 duo, Original, Carbothello, and MARKdry. Our ISCC PLUS certified products point 88, point 88 mini, Pen 68, Pen 68 mini, Pen 68 brush, Pen 68 metallic, Creative Tips, dr!ver medium and fine. 28
REFILL ABLE PRODUC TS – DESIGNED TO STAY Refillable pens are built to last longer. The more often they’re refilled, the longer they are in use, the lower their impact. Neon colors BOSS ORIGINAL & GREEN BOSS; EASY school products EASYbirdy, EASYbuddy, EASYoriginal, EASYergo 3.15, EASYergo 1.4; Fountain Pens Grow & Flow; Ballpoint Pens Grow, Flow, pointball, Exam Grade, Performer+, excel, liner, marathon Palette; Whiteboard marker Plan, mechanical pencils SMARTgraph, fun min 0.5 and 0.7, fun max 0.5 and 0.7. 29
LOGISTICS Logisticsismorethanjusttruckstransporting goodsfromAtoB.Itcoverseverythingfrom sourcingtopackaginganddistribution–andis currentlyournumberfivedriverofCO2emissions. That’swhyweareincreasinglyfocusingonthis fieldandworkingtomakeourlogisticssmarter andmoreclimatefriendly. Contributing to SDGs SHORT DISTANCES, BIG IMPAC T More than 70% of our products are manufactured in Germany at our own production site. This significantly shortens transport routes, improves our carbon foot- print, and helps secure local jobs. SMART LOGISTICS: POWERED BY TECHNOLOGY Efficiency and sustainability go hand in hand at our logistics centers. That’s why we rely on innovative technology to move goods intelligently. Our largest warehouse in Weißenburg uses fully automated high- bay racking, and pick-by-light systems. They enable fast, precise order processing with streamlined workflows and data- driven operations, ensuring that our logistics are smart and future proof. RELIABLE PARTNERSHIPS, CLIMATE-FRIENDLYPROCESSES Our sourcing is also strongly rooted in the region: 92% of our total purchasing volume comes from Germany and Europe. Our decision to collaborate with suppliers from Europe is a clear commitment not only to quality and safety, but also to sustainability. Close collabo- ration with our European partners allows us to minimize transport distances, avoid unnecessary CO2 emissions, and support regional economic cycles. Of course, the same principles apply to Asia, where local products, packaging and displays are sourced and produced where they are needed. SUSTAINABLE E-COMMERCE LOGISTICS For our German online shop, we are committed to minimizing environmen- tal impact along the shipping process. We use grass-based packaging1, which requires significantly less water and energy to produce compared to conven- tional paper packaging. Additionally, all parcels are shipped climate-neutrally via DHL GoGreen, helping us reduce trans- portation-related emissions. LOOKING AHEAD – A STR ATEGIC SHIF T IN MOTION As we move forward, logistics will become a major area of transformation. We aim to reduce emissions across the entire value chain by 10% by 2029/30 vs. the 2023/24 baseline – that is why we have scheduled a detailed emission analysis to detect reduc- tion potentials. 1 Source: IHK Bonn/Rhein-Sieg, “Graspapier – Eine nachhaltige Verpackungslösung” https://www.ihk-bonn.de 30
MOBILITY Mobility affects our environmental impact in manyways–frombusinesstravelandcompany carstothedailycommuteofouremployees. Everykilometersavedortraveledmore consciouslycounts. Contributing to SDGs SMART TR AVEL CHOICES We’ve updated our travel policy to focus on necessity, efficiency, and environmental responsibility. Unnecessary business trips should be avoided, and short-haul flights should be replaced by rail travel whenever possible. In ad- dition, we’ve introduced a company-wide CO2 limit for fleet vehicles to encourage more climate-friendly car choices. FOSTERING ELEC TRIC MOBILIT Y We are continuously expanding our commitment to electric mobil- ity. At our sites in Heroldsberg, Weißenburg and Český Krumlov, charging stations are available for employees to use, making it easier to choose low-emission transport. Currently, 42% of our company cars are electric or hybrid vehicles. In 2024, around74,400kilome- ters, which is about 8.5%, were driven fully electric – a first step in our shift toward more climate-friendly mobility solutions. GREENER WAYS TO WORK We support our employees in choosing more climate-friend- ly commuting options. Working remotely helps reduce unnecessary travel. In addition, we offer the opportunity to lease a job bike and promote cycling as a sustainable alternative. In 2023, our groupwide Global Swan Sports Challenge brought together colleagues from around the world: Every kilometer cycled, walked, jogged or hiked con- tributed to a donation pool. In total, €8,000 was donated to eight charitable organizations – turning movement into meaningful impact. LOOKING AHEAD In the future, we aim to further strengthen the mindset and motivation of our employees when it comes to sustainable mobility. Our objective is to reduce greenhouse gas emissions coming from mobility by 15% by 2029/30 vs. the baseline of 2023/24. Therefore, we continue to support and encourage environmentally-friendly commuting options and keep our commitment to flexible, mobile working – making sustainable choices easier and more accessible for everyone at STABILO. 31
INTERNAL PROCESSES THINKING Processoptimizationcantakemanyformsfromdigitalizationtomaterial savings.Thatiswhywebelieveit’sessentialthatallemployeesthinkcriti- callyabouttheirownareasofresponsibilityandactivelycontributetoim- provement.Modernandefficientprocessesarethekeytoanycompany’s long-termsuccess. AtSTABILO,we’vealreadyachievedmeasurableprogressinmanyareas. Newdigitalsystemshavemadeworkflowsmoretransparentandopened upnewpotential.OnestandoutexampleistheintroductionofaManufac- turingExecutionSystem(MES)atourWeißenburgsite,whichsavesaround 43,000sheetsofpaperperyear. Sustainabilitystartsinthemind.Oneofthemostimportantquestionswe askourselvesis:Howcanweensurethatsustainabilitybecomessecond naturetoallemployees–anaturalpartoftheirdailythinkingandactions? Tosupportthis,weregularlysharecontentonourcompany’sintranet. OurSustainabilityCoordinatorprovidesupdates,sharesknowledge,and motivatescolleaguesinafriendlyandrelatableway.Additionally,our leadershipteamactivelyreinforcestheimportanceofsustainabilityasacore companyvalueandacentralelementofourcorporatestrategy. Contributing to SDGs Contributing to SDGs LOOKING AHEAD – MANY SMALL STEPS – ONE BIG IMPAC T In the coming years, we will continue to promote a culture of continuous improvement and digital innovation. By empowering our teams to challenge the status quo and rethink established processes, we aim to unlock even greater potential – for efficiency, sustain- ability, and long-term success. LOOKING AHEAD In the future, we will continue to build on this momentum. Our goal is to strengthen awareness and personal responsibility at every level of the organization by providing knowledge, inspiration, and the space to contribute. Because only together can we make a real and lasting difference. 32
ENTREPRENEURIAL THINKING MEETS SUSTAINABLE ACTION We think and act with an entrepreneurial mindset, guided by the belief that long-term success goes hand in hand with sustainable business practices. We view sustainability not as a barrier to profitability, but as a key driver of future viability. As pen experts with a deep-rooted tradition of German quality, we are dedicated to developing high-performance, durable products that inspire our customers and stand out in a competitive marketplace. For us, competition is an opportunity to continuously improve. That is why we are committed to fair, open, and transparent market practices. We believe that true innovation flourishes where ideas are valued, rules are respected, and excellence sets the standard. Sustainable profitability is the foundation for innovation and future-oriented business develop- ment. By reducing our carbon footprint and increasing the share of sustainable materials in our products, we make a difference through forward-thinking solutions, supported by unique and vibrant storytelling. 34
SITES AND SUPPLY CHAIN ACTIVITIES STABILO products find their way into over 180 countries around the globe. Our headquarters is in Heroldsberg (Germany), and our production sites are in Weißenburg (Germany), Český Krumlov (Czech Republic), and Johor Bahru (Malaysia). With sales offices, subsidiaries and distribution centers (DC) in 17 countries, our global presence is built on local expertise and strong connections to our markets. 19 12 7 9 13 1 2 8 3 14 6 10 11 1 Headquarters & Sales Office Germany 11 Sales Office Italy 15 18 2 Plant & DC Germany 12 Sales Office Netherlands 3 Plant & DC Czech Republic 13 Sales Office Poland 4 Plant & DC Malaysia 14 Sales Office Slovakia 5 Sales Office Asia Paciffic & Subsidiary Malaysia 6 Sales Office Austria 7 Sales Office Belgium 8 Sales Office Czech Republic 9 Sales Office & DC France 10 Sales Office & DC Hungary 15 Sales Office Spain 16 Subsidiary P.R. China 17 Subsidiary Singapore 18 Sales and logistics Spain 19 Sales Office UK 16 5 4 17 35
OUR CODE OF CONDUCT Our group-wide Code of Conduct, revised and updated in 2023, sets clear standards for how we treat people and the environment, and underpins the way we do business across all locations and in collaboration with our partners and suppliers. It focuses on three key areas: ENVIRONMENTAL RESPONSIBILIT Y SOCIAL STANDARDS ETHIC AL BUSINESS PR AC TICES We are committed to resource-efficient production and en- We uphold international labor and human rights standards, We act with integrity — protecting data and company assets, vironmentally responsible sourcing – aiming to reduce our ensure fair and safe working conditions, and prohibit any ensuring compliance with laws, and standing for transparen- ecological impact and protect natural ecosystems. form of forced labor, child labor, or discrimination. cy, fairness, and accountability in everything we do. The full code of conduct is available on our website and the group website: our Code of Conduct - Schwanhäußer Industrie Holding. 36
WHISTLEBLOWING We are committed to transparency and integrity, both within our company and across our supply chain. To ensure we are aware of potential violations, we have established internal and external reporting channels. Our whistleblower system allows individuals to report serious misconduct anonymously and securely. This enables concerns to be raised while protecting the identity of the whistleblower. Further information can be found on our website: www.stabilo.com/de. SUPPLIER ASSESSMENT AND SUPPLIER CODE OF CONDUCT Responsible sourcing is essential to our sustainability efforts. That’s why we require all our suppliers to sign and comply with our Supplier Code of Conduct. Based on international frame- works such as the UN Global Compact, ILO conventions, and the UN Guiding Principles on Business and Human Rights, the Code requires suppliers to comply with all applicable laws and uphold high standards in environmental protection, labor rights, and ethical governance. It sets clear expectations for ethical, social, and environmental standards across our global supply chain. Furthermore, it encourages continuous improvement, mandates transparent reporting of concerns via a whistleblower platform, and allows for audits and assessments. Suppliers must cascade these standards through their own supply chains and commit to joint measures with STABILO in case of identified risks, with termination possible if compliance is not achieved. Through these regular assessments and transparent collaboration, we ensure that our partners share our commitment to fair working conditions, environmental protection, and integrity in business. 37
RISK ASSESSMENT THROUGHOUT THE SUPPLY CHAIN RESPEC T FOR HUMAN RIGHTS IS FIRMLY ANCHORED IN OURCOMPANYVALUES. We are convinced that forward-looking and responsible business practices are not only a moral obligation, but also a basis for long-term business success. Our aim is to recognize risks at an early stage and take preventive and remedial measures. Through our commitment, we want to make a positive contribution to respecting human rights and protecting the environment. Which is why we have already established processes in accordance with the German Supply Chain Due Diligence Act. Further information on our declaration of principles, supply chain due diligence, and whistle- blowing can be found on our website and the website of Schwanhäußer Industry Holding. In response to the German Supply Chain Due Diligence Act, we updated our supplier due diligence process and supplier risk assessment, incorporating additional criteria in alignment with all Schwanhäußer Industry Holding divisions. Once a year and on an ad hoc basis, we conduct risk analyses in our own business area and at our suppliers to identify and assess potential risks or actual violations and to counter these with suitable preventive and/or remedial measures. Relevant criteria used for the assessment of actual risks may include: • Purchasing volume • SDG and BSCI country profiles • Production- and/or material- specific risks associated with purchased goods 38
OUR RISK ASSESSMENT PROCESS Risk assessment by relevant criteria PURCHASING VOLUME COUNTRY RISK PRODUCTION-& MATERIAL-SPECIFICRISKS Review of further evidence of identified risks ASSESSMENTS BY INDEPENDENT ORGANIZ ATIONS THIRD PART Y AUDITS COMPANY CERTIFIC ATIONS Evaluation of propability of occurence Elaboration of corrective actions or (if without success) termination of contractual relationship 39
TURNOVER SCHWAN-STABILOGROUP TURNOVER OF GROUP AND DIVISIONS (fiscal year 2023/24 | ending June 30, 2024) COSMETIC DIVISION STABILO DIVISION OUTDOOR DIVISION 797.2 million euros (previous year: 850.3 million euros | -6,2 %) 372.9 million euros (previous year: 387.2 million euros | -3,7 %) 213.6 million euros (previous year: 217.9 million euros | -2,0 %) 210.5 million euros (previous year: 245 million euros | -14,1 %) 40
COMMITMENT TO PRODUCT SAFETY, STAKEHOLDER TRUST, AND CONTINUOUS IMPROVEMENT We are committed to the continuous improvement of our products’ safety and sustainability. Interdisciplinary teams across STABILO proactively identify and replace potentially hazardous substances with safer alternatives. We also apply eco-design principles to minimize environmental impact through thoughtful material selection, product durability, and recyclability. To ensure transparency, we make product safety information easily accessible through multiple channels. Key details, such as age recommendations, CE mark- At STABILO, product safety is not merely a legal requirement, it is a cornerstone of our corpo- ings, and usage warnings are clearly displayed on packaging, at points of sale, rate responsibility. We proudly uphold the value of “German quality” by adhering to the highest standards of product safety and regulatory compliance. Our dedication to excellence ensures and in our Online Shop. Our responsive feedback and complaint system, avail- able via our website and international sales offices, enables consumers to report that every writing instrument we produce meets rigorous safety criteria, offering our customers incidents, ask questions, or share concerns. In the case of customer complaints, reliable and trustworthy products. Product safety is a shared concern among key stakeholders like parents, educators, retailers, and regulatory authorities. For parents and teachers, the assurance that STABILO products are safe for children fosters trust and peace of mind. Retailers rely on this trust to confidently promote our products, while regulators recognize our proactive compliance with EU legislation such as REACH, we thoroughly analyze the root cause and use the insights gained to further improve our products. These mechanisms not only support compliance but also foster trust and continuous improvement through open dialogue. Product safety begins long before a STABILO product reaches the consumer. We require formal declarations from all suppliers confirming the safety and the Toy Safety Directive, and the General Product Safety Regulation as a sign of responsible regulatory compliance of materials delivered. These declarations are a binding corporate conduct. prerequisite for acceptance into our production processes. 41 41
PRODUCT SAFETY REGULATIONS AND CHEMICAL COMPLIANCE STABILO complies with key European regulations, including but not limited to: marked items meet these strict requirements through careful material selection • General Product Safety Regulation (EU) 2023/988 • EU Toy Safety Directive 2009/48/EC • REACH Regulation (EC) No. 1907/2006 • Biocidal Products Regulation (EU) No 528/2012 These frameworks ensure the highest levels of consumer protection, chemical safety, and environmental responsibility. and thorough conformity evaluations. To stay ahead of regulatory developments, STABILO actively participates in in- dustry associations and working groups, including: • European Writing Instrument Manufacturers Association (EWIMA) • Industrieverband Schreib- und Zeichengeräte (ISZ) • Deutscher Verband der Spielwarenindustrie (DVSI) All STABILO products undergo comprehensive internal risk assessments to confirm their • Deutsches Institut für Normung (DIN) safety under normal and reasonably foreseeable conditions of use. Where applicable, safety warnings and regulatory information are presented clearly. These collaborations promote knowledge exchange, harmonization of safety A significant portion of our product range is designed for or used by children under 14, a particularly vulnerable group. These products are subject to rigorous safety as- sessments by independent, certified laboratories. Compliance with the EU Toy Safety Directive is a top priority, ensuring that our products are free from mechanical, physical, or chemical hazards and do not contain substances harmful to children’s health. All CE- standards, and advocacy for practical, science-based regulation. 42
COMPLIANCE WITH LAWS AND REGULATIONS In the fiscal year 2023–24, STABILO recorded zero incidents of non-compliance with applicable laws, regulations, or consumer safety standards. No penalties, warnings, or sanctions—monetary or non-monetary—were issued or outstanding. This outcome reflects our strong commitment to transparency, safety, and sustainability across all operations and throughout our supply chain. 43
PARTNERS AND INITIATIVES Klimaschutzunternehmen(KSU) STABILO International GmbH is now an official member of the Climate Protection Excellence Initiative. This is a huge success and shows how committed we are to energy and resource efficiency. Klimaschutzunternehmen (Climate Protection Companies) is a cross-industry network that is committed to finding innovative solutions to achieve Germany’s climate policy goals. Our inclusion in this initiative is the result of a demanding selection process in which we were able to prevail thanks to our exemplary achievements in climate protection. FSC®–ForrestStewardshipCouncil In 1998, STABILO was a pioneer in our industry when it became FCS®-certified. Today, FSC® is the world leader in sustainable forestry, a non-profit organization providing trusted solutions to help protect the world’s forests and tackle current deforestation, climate, and biodiversity challenges. FSC® operates the most rigorous forest certification system: Its members, who contribute equally balanced social, economic, and environmental perspectives, ensure the robustness of these standards. Organi- zations throughout the forest supply chain are certified against these standards, driving sustainabil- ity from forest to shelf. The “check tree” label is found on millions of products worldwide, verifying sustainable sourcing from the forest to store shelves. ISCC–TheInternationalSustainabilityandCarbonCertification ISCC is an independent multi-stakeholder initiative and leading certification system supporting sustainable, fully traceable, deforestation-free and climate-friendly supply chains. Through this certification, we are contributing to environmentally, socially, and economically sustainable production. ISCC certification covers sustainable agricultural biomass, biogenic wastes and residues, non-biological renewable materials, and recycled carbon-based materials. Since 2021, STABILO has been ISCC PLUS certified and since 2025 we have been communicating products such as point 88 and Pen 68 as linked to ISCC certified bio-based plastics using the mass balance approach. myclimate The experts from myclimate help us to calculate and avoid emissions where they currently occur in our company. myclimate is a leading climate protection organization, that has been committed to sustainable development and effective climate protection – on both a local and global level – since it was established in 2002. Through consulting, education, and climate protection projects, it aims to shape the future of our world. It is staffed by motivated and experienced experts in sustainability and climate protection and works with its partners and supporters towards a sustainable future. PEFC–ProgramfortheEndorsementofForestCertification Since 2011, STABILO has been PEFC certified. PEFC is a international certification system that ensures wood and paper products come from sustainably managed forests. PEFC promotes responsible forest management, taking environmental protection, social responsibility, and economic viability into account – from forest to final product. EcoVadis We use the EcoVadis sustainability management tool to assess and improve our social, ecolog- ical, and economic impact across all areas of the company. EcoVadis has grown into a globally trusted provider of business sustainability ratings with a network of more than 150,000+ rated companies. The EcoVadis sustainability assessment methodology is at the heart of its rating and scorecards and is an evaluation of how well a company has integrated the principles of sustainability/CSR into its business and management system. 44
SUSTAINABILITY STORIES AROUND THE WORLD STABILO “KRITZELPATEN” Since autumn 2017, STABILO has given employees the opportunity to volunteer in kindergartens in and around Nuremberg and Weißenburg. The STABILO “Kritzelpaten Project” is a collaboration between STABILO and the Schreibmotorik Institut e.V.. It aims to train the hand motor skills of pre-school children at an early age to prepare them for learning to write later. In recognition of successful volunteering, STABILO donates 300 euros to a SALES OFFICE SINGAPORE: COLORING FOR HEALTHIER MINDS In collaboration with a local member of parliament the Sales Office Singapore introduced coloring for mental charitable organization chosen by the employees themselves. well-being in local community centers. The team held sessions on coloring for adults and informed them about the benefits coloring can have on mental health. 45
DONS SOLIDAIRES PARTNERSHIP AT SALES OFFICE FR ANCE With just a few days to go before the first summer holidays in 2024, employees took part in a volunteer- ing session driven by our partnership with the Dons Solidaires association. The team prepared 250 school kits for distribution to children and families in need at the start of the school year. Including STABILO highlighters, felt-tip pens and pencils, the kits were donated to the Secours populaire francais organization in Strasbourg. SALES OFFICE CZECH REPUBLIC XMAS CHARIT Y The Czech team responded to a Christmas wish from a retirement and nursing home and organized a caricature workshop for inhabitants with local artist Ivan Křemeček. The participants enjoyed this creative time and loved to work with paper and pencils! 46
IMPRINT/ LEGAL DISCLOSURE Company Name: STABILO International GmbH LegalForm: The Company is a limited liability company (GmbH). Address: STABILO International GmbH Schwanweg 1 90562 Herlodsberg Germany Representedby: CommercialRegister: Registered at the Commercial Register of Registration Court Fürth RegistrationNumber: HRB 9784 VAT ID (pursuant to §27 a German VAT Act): 216/117/07557 Responsibleforcontentaccordingto§55Abs.2RStV: Carolin Vollrath DesignandLayout: designstanze CopyrightNotice: All contents of this sustainability report are protected by copyright. Reproduction or Managing Director: Horst Brinkmann distribution in any form, in whole or in part, requires prior written consent. Contact: Phone: +49 (0)911 567 0 Email: together@stabilo.com Disclaimer: Despite careful control, we assume no liability for the content of external links. The operators of linked pages are solely responsible for their content. 47