RESPONSIBLE ALCOHOL CONSUMPTION AND HEALTHY LIFESTYLE

RESPONSIBLE ALCOHOL CONSUMPTION AND HEALTHY LIFESTYLE

Europe is the region with the highest alcohol consumption in the world, with an average consumption of more than twice the global average. At the same time, according to the World Health Organization, alcohol is among the leading risk factors for disease and mortality in Europe. Both the volume and frequency of consumption can be a concern for health, but also for the well-being of social relationships.

Our products can bring people together and provide the experience of great social gatherings, but this is possible as long as alcohol is consumed responsibly and in moderation.

We closely follow new regulations and experts’ research on alcohol consumption and try at all times to address concerns and help reduce the impact of irresponsible drinking.

This is why one of the key pillars of our sustainability strategy refers to the responsible choices of our consumers or employees.

In Romania, alcohol consumption has declined over the last two decades, but half of all drinkers are at risk and the rate of binge drinking is one of the highest in Europe (INSP, June 2022). The rate of alcohol consumption and unhealthy eating reported among Romanians is also higher than the EU average.

Given the social and medical concerns associated with excessive alcohol consumption, our responsibility is to reduce harmful drinking habits and promote a healthy lifestyle among our consumers.

We comply with relevant regulations, policies, industry standards and international commitments to ensure that our marketing and business activities are responsible, and we provide our customers with appropriate information and messages of responsibility regarding alcohol consumption.

Our approach to responsible marketing and commercial behavior is described in the Marketing and Product Labelling section. We follow Asahi Group’s principles and policies on responsible drinking to ensure transparency and awareness among employees and consumers.

principiile

We focus on alcohol prevention programs, but also on creating new opportunities for responsible drinking. To this end, we have continued to innovate and develop our portfolio of alcohol-free and lower-alcohol products, giving our consumers the opportunity to make responsible choices.

procent
According to the annual report of the Romanian Brewers Association, the non-alcoholic category had the most spectacular evolution, exceeding 5% market share in 2022. Our portfolio development efforts followed the same direction as we launched new non-alcoholic products, both in the beer and flavored beer categories.

The market is also growing for low alcohol beverages, so we have moved closer to consumer demand by launching in 2022 Kozel Dark beer with 3,7% alcohol.
bottle

At a time when obesity and diabetes are becoming global issues, our goals are also to have zero sugar products or reduce the amount of sugar used. As a result of our research over the last two years, we have succeeded in reducing the amount to below 5 g/100 ml for all our products containing sugar.

We also run campaigns to discourage harmful alcohol consumption which can be an aggravating factor for health problems or lead to negative social behavior. Our programs are dedicated to reducing irresponsible drinking among adults and preventing underage drinking.

zero-la-mie
In 2021-2023 we continued our long-standing partnership with the Federation of Non-Governmental Organizations for Children (FONPC), thanks to which during this period, over 2.800 parents and education professionals received training, counselling and parenting advice from child psychology experts, including information to prevent harmful alcohol use in the family and alcohol use among teenagers.
We have developed the Facebook page ‘Efficient Parents, Happy Children’, which acts as an information platform for parents, teachers and other education professionals, we have promoted online several videos with information and tips for those who face or want to prevent underage drinking, and at the end of 2022 we have launched a series of webinars for parents and face to face workshops for teachers.
path

Another project took place in the fall of 2021, when we updated the mobile application Zero la Mie, by which users can find out the estimated time in which their blood alcohol level returns to zero. In order to cover a wider audience, the updates involved developing an English version for the application, introducing the imperial data calculation system, and offering rules for legal alcohol consumption in more than 50 states.

In order to prevent alcohol consumption while driving, as well as to promote the Zero to Me application, we carried out an awareness campaign within the UNTOLD festival, supported by local partner Napoca Rally Academy who interacted directly for 4 days with the people present at the festival.

As results, over 5.000 people received our awareness message via text messages, 1.200 people installed the application, the message for preventing drinking and driving was broadcast on TV, reaching an estimated audience of over 1 million people, and we have reached over 300.000 people through our own communication channels.

path

In 2022, together with the General Inspectorate of the Romanian Police, through the Traffic Police Directorate and Research and Crime Prevention Institute (ICPC), we carried out the study ‘Social attitudes to road traffic risks’. The study was conducted for the second time with the support of Ursus Breweries, after taking place for the first time in Romania in 2008, upon the initiative of ICPC, then resumed in 2010, 2014, 2018. The research presents the behaviors and attitudes that favor traffic violations by drivers and the occurrence of road accidents, and a chapter of this study was dedicated to perceptions of drinking and driving.

The results of the study ‘Social attitudes to road traffic risks’ are available on www.desprealcool.ro in the drinking and driving prevention programs section.

Our website www.desprealcool.ro is a constant source of information on responsible drinking. What's more, the page is also a resource that encourages a healthy lifestyle by offering nutrition and mental health tips from experts.

Those wishing to contact us about our approach to responsible drinking can do so via the contact email available on the website.

despre alcool despre alcool

of our labels and communication about alcoholic drinks include the responsibility message

Responsible marketing activities are equally important when discussing responsible drinking and healthy lifestyles. Currently, 100% of our labels and communication about alcohol products include responsibility messages about underage drinking, drinking and driving or drinking during pregnancy. All our labels also include information on the calorie intake of the product and nutritional information. The same information is publicly available online at www.desprealcool.ro.

despre alcool

In our efforts to reduce inappropriate drinking habits and promote a healthy lifestyle we also cooperate with other companies and trade associations in the alcoholic beverage industry.

As members of the International Alliance for Responsible Drinking (IARD), we respect the principles and are committed to engage in any of the 5 action lines to reduce harmful alcohol consumption:

Preventing and reducing underage alcohol consumption

Strengthening and extending codes of good marketing practice

Providing consumer information and responsible product innovation

Reducing drinking and driving

Developing partnerships with retailers to reduce harmful alcohol consumption

path

Together with the Brewers of Romania Association, we have carried out several projects to prevent excessive alcohol consumption and drinking and driving.

In 2021, with the message ‘Beer. The sparkling drink of the new relaxation!’, a campaign celebrating the summer season was run that also encouraged responsible beer drinking and a lifestyle without any excess. Also, together with the Romanian Police, the association continued the information and awareness campaign ‘No alcohol while driving!’, aimed at drawing attention to the risks associated with driving under the alcohol influence.

Our products are aimed at all adults, so our responsibility to promote responsible drinking behavior does not stop with our customers. We also focus on our employees, targeting them with specific messages and supporting them in developing responsible behaviors. When joining the organization, all new employees go through the Alcohol Behavior and Communication (AB&C) training on responsible drinking. All employees take refresher training every three years. In 2022, the course has been updated in a more engaging and interactive format and tailored to employees by area of operation.

tabel

All employees have access to the Intranet Alcohol and Drug Policy, which defines the framework of behaviors we expect with regards to alcohol use, both at the workplace and in business relationships, on behalf of the company.

For the parties involved in marketing activities, we run the Alcohol Intelligence Quotient (AIQ) training, which includes guidelines on awareness raising messages to be included in our communication. In 2021, 13 types of training sessions were carried out for our own employees or those of our collaborators and, in 2022, 3 types of training sessions were carried out with 100% participation of the target group: training on commercial communication, digital guiding principles, as well as training on promotions and regulations (legal and tax perspectives).

PRODUCT MARKETING AND LABELLING

PRODUCT MARKETING AND LABELLING

Labelling has been subject to EU regulations since 2011. Although these requirements are mandatory for producers of beer and other alcoholic beverages containing more than 1,2% ABV, they are encouraged to provide different information on a voluntary basis, such as energy or nutritional values.

According to the EU Alcohol and Health Forum, Europe's brewers have committed to listing nutritional information, thereby meeting consumer expectations and, through self-regulation, going beyond the legal obligation. As a market leader, with distribution channels that cover the entire country and national visibility, we know our impact is significant.

In order to be fully responsible for this impact, we comply with the most restrictive rules of responsible behavior, which is reflected in the labelling and advertising of our products.

All our marketing activities have an impact on our customers, so we strive to earn their trust through transparent and responsible communication. In addition to complying with local laws and regulations, we follow the Policy on Commercial Communication developed by Asahi Europe and International which sets consistent standards for the marketing activities of our brands.

We also contribute to new initiatives and cooperate with other companies in the industry and trade associations of alcohol producers. Our actions are aimed at ensuring an informed decision of our customers, influencing responsible consumption and avoiding non-compliance incidents in communication.

The pillar of our self-regulatory system is our Policy on Commercial Communications, which we continually improve in consultation with market stakeholders or whenever new regulations become applicable to the market.

The implementation of the policy is verified by our Sales and Marketing Compliance Committee, in weekly meetings, and it is backed by an online approval system for marketing communication and commercial marketing materials. The committee includes employees with different expertise such as Legal, Technical, Corporate Affairs, Sustainability, Marketing.

Our communication activities are aligned with the International Alliance for Responsible Drinking (IARD) principles, including the Influencer Guiding Principles and the Digital Guiding Principles, which we set out to adopt up to 95% by 2023, but we already reached this target as of 2022. IARD's commitments include recommendations for marketing, packaging, production, sales and responsible actions to prevent harmful alcohol consumption.

tabel
tabel

In addition to the legally required information on labels, as of 2021, we have been voluntarily placing three warnings about alcohol consumption on the packaging of our alcoholic beverages. Nutritional information and ingredients of our products are available both on labels and online on www.desprealcool.ro/totul-despre-bere.

Other documents that we voluntarily comply with are the Commercial Communication Code of the Brewers of Romania Association and the Rules for responsible commercial communication for beer, integrated in the Code of Advertising Practice developed by the Romanian Advertising Council (RAC). Finally, we have a Social Media Policy that sets the rules for responsible social media actions and activities.

To minimize the risks associated with marketing communication, we conduct the Alcohol Intelligence Quotient (AIQ) training with employees and business partners involved in marketing activities to better understand company policies and codes, as well as the Alcohol Behavior and Communication course for company employees.

The effectiveness of our measures is reflected in the lack of sanctions on marketing communications. We are constantly undertaking responsible advertising and are committed to complying with the beer industry's and our Group's policy on Commercial Communications Codes.

Total number of incidents of non-compliance with regulations and/or voluntary codes:

Incidents of non-compliance leading to fines or penalties

Incidents of non-compliance leading to warnings

Incidents of non-compliance with voluntary codes

COMMUNITY INVESTMENT & LOCAL PARTNERSHIPS
investii

COMMUNITY INVESTMENT
& LOCAL PARTNERSHIPS

We strive for sustainable development and pay attention to all stakeholders, and the communities in which we operate are no exception. As a result, in addition to the value we bring through the jobs we create and the contributions we make to the local budgets of the communities in which we operate, we strive to meet the expectations of society as a whole.

We believe that initiatives built with people in mind and for the benefit of society as a whole are the ones that stand the test of time. In doing so, we take into account the needs of the community and act as a partner for local authorities, NGOs and community members to contribute to the sustainable development of everyone involved.

We believe that initiatives built with people in mind and for the benefit of society as a whole are the ones that stand the test of time. In doing so, we take into account the needs of the community and act as a partner for local authorities, NGOs and community members to contribute to the sustainable development of everyone involved.

We strive for sustainable development and pay attention to all stakeholders, and the communities in which we operate are no exception. As a result, in addition to the value we bring through the jobs we create and the contributions we make to the local budgets of the communities in which we operate, we strive to meet the expectations of society as a whole.

We believe that initiatives built with people in mind and for the benefit of society as a whole are the ones that stand the test of time. In doing so, we take into account the needs of the community and act as a partner for local authorities, NGOs and community members to contribute to the sustainable development of everyone involved.

Being part of the communities where we operate, we try to contribute to people's wellbeing and development by supporting local initiatives.

At the same time, we also get involved in wider causes, especially when there is a major and urgent need for help. One such example is our support to Ukraine, consisting of RON 500.000 that the Romanian Red Cross has used for humanitarian transports, providing food or medicine and assistance in refugee camps in the country. Furthermore, with the support of the Beard Brothers Association, we have been involved in supporting the serving of over 1.000 hot meals for Ukrainian refugees.

At the same time, we also turned our attention to the local community. In 2022 we supported the project ‘Treasure games in the park’ to promote the traditional and cultural heritage of ‘Buzău County’, an area that received the status of UNESCO International Geopark. As a key economic agent in Buzău County, beyond the economic contribution we generate through our business, we have indirectly supported community development by enhancing the tourism potential of the area.

comunitate
comunitate
comunitate
comunitate

Also, in order for people in the community to enjoy relaxation in nature, we inaugurated two more Ciucaș Relaxation Areas (currently 17 in total). These are picnic areas specially designed or rehabilitated by Ciucaș, equipped with the necessary infrastructure for having outdoor picnics but also keeping the nature clean.
Moreover, in 2022, through the ‘Keep nature clean’ project, visitors in 8 Ciucaș Relaxation Areas were informed, encouraged and rewarded for selective waste collection.

In order to encourage nature-friendly behavior, we continued to encourage consumers to practice selective waste collection at some of the biggest festivals in Romania - UNTOLD, Neversea, Oktoberfest. Thus, we installed ECOCAN collection systems for aluminum cans and the festival-goers were rewarded with different prizes according to the number of cans collected.

As a result of the actions in Ciucaș Relaxation Areas, during the big festivals, as well as the volunteer actions dedicated to cleaning, about 3 tons of waste were collected and sent for recycling.

The Ursus brand has also taken important steps in terms of social responsibility with the ‘Listen to your inner bear and do good’ campaign, launched at the end of 2022 in partnership with the Conservation Carpathia Foundation. Through this initiative, 1% of the sales value of URSUS Premium limited-edition products went to actions of protecting the bears in the Făgăraș Mountains, but also the local communities in the area. Together with Ursus consumers, we supported this cause with about RON 600.000 (in January 2023).

comunitate

Building on our culture of bringing people together, we are involved in many strategic partnerships developed over time. One of these partnerships focuses on education, an area that needs continued support at all levels and in all communities where we are present. In order to encourage the education of students and fresh graduates we have continued the Ursus Breweries scholarship program.

These are dedicated to high schools and universities taking into account our presence in those cities and according to technical profiles that could provide a potential candidate base for our company. The scholarship program is aimed at students in their final year of study and master’s students.

The selection process is carried out annually by the university or high school and, in addition to academic results, students are also assessed on their involvement in extracurricular activities or community benefit projects. In partnership with 11 educational entities in Bucharest, Cluj, Timișoara, Buzău and Galați, we offered 50 study scholarships annually, including two practice scholarships in 2022. Scholarships are offered for a period of 9 months. The total annual budget amounts to over 160.000 RON.

We were also among the 9 business operators that formed the ‘Consortium for Dual and Higher Technical Education’, together with ‘Dunărea de Jos’ University of Galați, ‘Dimitrie Filipescu’ Technological High School and Buzău City Hall. The aim of this partnership is to obtain funding through the National Recovery and Resilience Plan to build an educational campus with modern facilities, both for students who want to become highly skilled workers and for students who want to become engineers after high school graduation.

At the same time, we also focused to the development of students and graduates through the Ursus Breweries internship program. Their structure gives participants the opportunity to be part of an international community of trainees from all countries where Asahi Europe & International operates. Participants are remunerated and have the same benefits as Ursus Breweries employees, as well as access to trainings, mentoring, departmental rotations. During 2021, in the "Brew your future" internship program there were 17 beneficiaries (11 from the edition started in 2020 and 6 from the edition started in 2021), and during 2022, in the internship program "Go Graduates" there were 11 beneficiaries.

FACILITATING PEOPLE-TO-PEOPLE CONNECTIONS

FACILITATING PEOPLE-TO-PEOPLE CONNECTIONS

In addition to our stated ambitions to protect the environment, protect and develop our people, protect and promote human rights throughout the supply chain, we are committed to contributing to the development of the local communities in which we operate and to strengthening collaboration with local partners. We want to play an important role in bringing customers, employees and public and private partners together to add value to society.

One way we do this is through volunteer initiatives that complement our community engagement efforts. Both people in the community and our employees benefit from these activities. They are part of a broad volunteer program called RE:CONNECTION, through which we aim to support communities in three main areas: environment, food and disaster relief programs.

In 2021, still under restrictions and social distancing, we tried to find an innovative way for employees to get involved in volunteering and at the same time be safe from pandemic risk.

This is how the ‘URSUS Orchard’ project was born, through which registered employees had the opportunity to receive two fruit trees, one to plant personally and the second to give to a loved one to restore, through a symbolic gesture, the human interaction affected by the period of restrictions. The planting action, carried out simultaneously in Bucharest, Cluj, Timișoara, Brașov and Buzău took place with the support of Viitor Plus Association and registered a record result, with almost 750 employees involved.

In 2021, still under restrictions and social distancing, we tried to find an innovative way for employees to get involved in volunteering and at the same time be safe from pandemic risk.

This is how the ‘URSUS Orchard’ project was born, through which registered employees had the opportunity to receive two fruit trees, one to plant personally and the second to give to a loved one to restore, through a symbolic gesture, the human interaction affected by the period of restrictions. The planting action, carried out simultaneously in Bucharest, Cluj, Timișoara, Brașov and Buzău took place with the support of Viitor Plus Association and registered a record result, with almost 750 employees involved.

In 2022, in terms of environmental actions, more than 100 Ursus Breweries employees carried out an extensive waste clean-up near the Doftana Valley river in Prahova county. For this action we have ensured not only the cleaning but also the recycling of waste. 30 employees were also in charge of cleaning and marking the hiking trail to the eternal Fire (Focul Viu) tourist objective in Lopătari commune, Buzău county. This area has a huge touristic potential, being included in the Buzău Land, declared UNESCO International Geopark as of 2022.

Among the company's ongoing concerns are also issues of diversity, equity and inclusion. In this direction, employees have contributed through volunteering to support people with disabilities and other vulnerable groups. In Timișoara, they carried out activities with adults with disabilities who are beneficiaries of the ‘Together on the labor market’ program, run by United Way and ‘Speranța’ Foundation. In order to ensure basic needs, during the volunteering action we also prepared packages of food and hygiene products for the beneficiaries. In Cluj, together with the association ‘A warm meal’ (O masă caldă), Ursus Breweries volunteers cooked and served food to disadvantaged people coming to the city's social canteen.

Also, because Romania is constantly facing a shortage of blood and many surgeries are postponed for this reason, we organized two blood donation campaigns in May and December, to which more than 50 employees participated at.

2022 was the year that volunteering was formally recorded into the company’s policies and internal digital reporting systems. Thus, each employee is entitled to 2 paid days off per year to dedicate to volunteering actions organized by the company or other organizations or institutions.

Also, because Romania is constantly facing a shortage of blood and many surgeries are postponed for this reason, we organized two blood donation campaigns in May and December, to which more than 50 employees participated at.

2022 was the year that volunteering was formally recorded into the company’s policies and internal digital reporting systems. Thus, each employee is entitled to 2 paid days off per year to dedicate to volunteering actions organized by the company or other organizations or institutions.

As an organization we value the power of staying connected and place great emphasis on creating opportunities for our people to come together, share experiences and have fun together. With the lifting of pandemic restrictions, we have gradually reopened many opportunities for face-to-face interaction with employees through conferences and training, monthly Town-Hall meetings, Christmas parties, Ursus Breweries family picnics, Happy Pub after working hours, volunteer activities and more.