Responsibility Report 2012
Transcription
Responsibility Report 2012
Corporate Responsibility Report 2012 2012 highlights Global Data 2012 Lost time injury frequency rate (per million hours worked) CO2 emissions per tonne of steel produced (tonnes) 1.0 2.13 2012 1,0 2012 1,4 2011 1,8 2010 2012 725 2012 306 2010 2,15 ArcelorMittal Foundation community projects supported (number) 285 2011 2,09 2010 Research and development spending $285m 2,13 2011 322 725 2011 588 2010 585 Business and financial overview Sales Iron ore production (tonnes) $84.213m 2012 84.213 2011 2010 93.973 78.025 2012 54,1 85,8 2010 85,0 Number of employees 244.890 2012 8,2 2011 8,3 2010 2012 88.231 2011 91.891 90.582 Net income 8,2m 83,8 88.231k 2010 48,9 Coal production (tonnes) 2011 2012 55,9 2011 2010 Steel shipped (tonnes) 83,8m 55,9m 2012 Crude steel production (tonnes) 7,0 $-3.726m -3.726 2012 2011 2010 2.263 2.916 Number of employees by region 244.890 2011 260.523 2010 262.832 7,5% 16,3% 36,7% Market presence 8,4% ArcelorMittal shipped its products to customers in 170 countries 14,3% 16,4% EU27 Other European contries North America South America Asia Middle East and Africa 90.073 40.229 35.198 20.787 40.063 18.540 Contents summary Message from the CEO 4 Steel - The fabric of life 6 Transparent governance 10 Making steel more sustainable 16 Investing in our people 22 Enriching our communities 29 Stakeholder engagement Our online CR report Download our Corporate Responsibility report from our website: http://corporate.arcelormittal.com/corporate-responsibility/reporting-and-assurance/our-reports/2012 KPI We report our progress against the key performance indicators that monitor the four areas of our corporate responsibility strategy. 1 ArcelorMittal is the main steel and mining producer that is integrated at a global scale. Our ambition is to be the safest company as well as produce steel sustainably. This is how we express the philosophy that guides all our activities. In this report we share the progress that we made toward achieving this goal in Mexico. Corporate Responsibility Report 2012 3 About this report High Materiality matrix 2012 Employee relations Stakeholder priorities Environmental management and investments Economic contribution Climate change Occupational safety Community health and safety Corporate governance and ethics Employee development Human rights Low Water management Product safety Responsible sourcing Biodiversity Community engagement Occupational health Product innovation Process innovation Low Our approach with this corporate responsibility report This report gives us a general overview of our activities and performance during the year 2012 in our business units in Mexico. It excludes the companies with which we have a commercial partnership but do not have operative control. All financial figures refer to United States Dollars. This report has an annual periodicity. This report has future forecasts that represent the expectations of the ArcelorMittal management team. Likewise, it contains statements, explanations and objectives with regards to the results of ArcelorMittal in 2012 and after, as well as hypotheses and opinions on the basis of this performance. The prospective declarations regarding the results are provisions, therefore implying that certain factors can cause changes in the actual results which might differ with the stated forecasts. Potential impact on our business High Data The corporate responsibility indicators of ArcelorMittal are reported in line with the company guidelines. They are available for download on our corporate website. GRI This report was created in accordance with the application B guidelines from the Global Reporting Initiative (GRI) G3.1, included in the Mining and Metal sector supplement. You can download this report at: http://corporate.arcelormittal.com/ corporate-responsibility/reporting-andassurance/our-reports/2012 2 Message from the CEO 2012 was a very trying year both for the country and the industry. The steel and mining sector was no exception. The global economic outlook and the lack of infrastructure projects limited the sector growth considerably; nonetheless, this was no reason for reducing our social responsibility projects and community support. In fact, we strengthened several of our programs and laid the foundations for future community development initiatives. In 2012 we continued with our efforts towards health and safety, a priority for ArcelorMittal in Mexico and the world. We increased considerably the number of courses, participants and man-hours in safety training, which helped us improve our Injury with Lost Time frequency rate with employees and contractors in over 60% of our steel operations, and we remain at zero in our mines. In 2012 we reached three years without mortal accidents in our steel plants and 14 years in our mining operations without a loss of life. It might seem easy, but it reflects the hard labour of many areas of the company towards building a culture of safety amongst our direct and indirect collaborators, as well as their families. On the topic of health for our employees, we created initiatives to foster them taking care of themselves and adopting a healthy lifestyle. Likewise, we enhanced our community support offer considerably; the Health Fair and the free delivery of over 4000 pairs of glasses are but two examples of our commitment on this subject. 3 As part of our objective of making ever more sustainable steel, we had important results in our environmental management. We managed to recycle over 75% of our blast furnance gas, we conducted several initiatives towards energy saving and we had our greenhouse gas emissions certified, which makes us the first steel producing company to achieve this. Another important result to highlight was the protection of over 135,000 turtle eggs in our Turtle Camp, which had over 2 thousand visitors throughout the year. Our link with the community had important results to lay the foundations for the business in the coming years. In 2012, the ArcelorMittal Foundation developed 30 projects in Mexico with an investment of over 9.6 million Mexican Pesos. We supported over 500 scholarships to further the studies of the children of our employees. We aided young entrepreneurs with productive projects for their communities, and we allied with ChildFund with the aim of creating a long term project of community development in Lázaro Cárdenas, Michoacán, the city where our main operation in Mexico is situated, in order to strengthen the social fabric and empower the members of the community, generating development in the region and a greater sense of belonging. With these kinds of efforts we confirm our actions as a socially responsible company that is concerned about both the economic and social development if the communities where it operates. In ArcelorMittal Mexico we are aware that business development comes hand in hand with the development of people and communities, hence we reinforce our social commitment with them, the industry and the country. Víctor Cairo CEO ArcelorMittal Mexico Corporate Responsibility Report 2012 Growing hand-in-hand with the communities where we work. Steel - The fabric of life The Baluarte Bicentennial Bridge, the tallest hanging bridge in the world, has 130 thousand tonnes of rebar in its structure which was supplied by our plant in Lázaro Cárdenas, Michoacán. The modern world relies on steel for its road, rail and energy infrastructure, its buildings, its household products, its packaging and its vehicles. Steel is a vital part of the world we live in, and it has an important role to play in helping us forge a more sustainable future. Safety Steel is a natural choice when it comes to safety. We have helped develop a new type of safety barrier which is up to 25% lighter than conventional versions, saving both money and CO2 for our customers, and significantly reducing transportation and installation costs. Steel has also played a key role in a challenging construction project to build major new flood defences in Buenos Aires, and we have supplied around 164,000m² of steel for a state-oftheart containment structure for the Chernobyl nuclear power plant site in Ukraine. Transport Steel makes railways and bridges stronger and lighter, helping to reduce emissions during construction and provides durable weatherresistant infrastructure for many years to come. It is also a vital component in trains, ships and planes, and innovations like our iCARe™ range of electrical steels are enabling the automotive industry to develop light and efficient electrical motors which can run for longer on a single charge. Our ‘S-in motion’ solutions showcase our ultra high-strength and advanced highstrength steels, which are specifically designed to help car producers reduce weight and cut emissions, while safeguarding both safety and performance. 25% weight reduction achieved with new safety barrier, saving resources and CO2. 3.5 million tonnes of steel supplied for the energy infrastructure industry across the world. 4 http://www.arcelormittal.com/corp/news-andmedia/publications-and-reports/ fabricoflife Energy In 2012 we supplied over 3.5 million tonnes of steel to the energy infrastructure industry. This ranged from hot rolled coils, specialty plates, tubular products, and long steel products for the oil and gas sector to heavy plates for wind turbine towers, electrical steel for generators, and innovative coated steel for solar power plants. Using steel helps reach high safety and efficiency standards, thanks to its performance in strength, its ability to withstand tough and severe environments, and thanks to innovation. The future demand in this sector will be driven by sustained needs in mature markets and stronger growth in the emerging markets. 5 The second level of Mexico City’s ringroad, on which more than 42 thousand vehicles circulate every day, was built with ArcelorMittal Mexico steel. In Mexico we have researched and developed steels of greater strength and ductility, transforming the methods of construction y in this country by achieving the evolution of the conventional steel rod from a 42 degree to a 52 one, which is stronger while keeping its ductility. With this innovation we are also producing a more sustainable steel that has been used in over 20 projects. We have managed to save 13,116 steel tonnes that represent a decrease of 38,862 tonnes of CO2 emissions for its production and transport. Developing countries will account for 73% of global steel demand in 2014 according to the World Steel Association. Corporate Responsibility Report 2012 Fabric of life Find out more how steel is shaping the fabric of modern society: Transparent governance Our governance framework underpins how our company is led, managed and structured, from the composition of our board of directors, to the way we expect each employee to behave. Good governance helps us to operate ethically, wherever we are in the world; it requires openness and integrity in our dealings with our stakeholders, and it supports our commitment to embed the principles of corporate responsibility into how we conduct our everyday business. Transparent governance To have the highest ethical and legal standards for operation, to generate agreements and to make decisions with our diverse stakeholders is an objective we can reach with our Compliance Program. ArcelorMittal’s Compliance Program includes Policies and Guidelines, Procedures, Training and Completion certificates, as well as a periodic evaluation of the implementation and effectiveness of the program. The policies and directives that form this program are the Business Code of Conduct, Anticorruption Directives, ArcelorMittal Policy for illegal activities whistleblowing (anonymous whistleblowing), ArcelorMittal directives for unforeseen inspections, Insider Information Guidelines, and Antitrust norm compliance directives. We have a clear standard for the behaviour we expect from all of our employees. These principles are based on our Business Code of Conduct and the Anti-corruption guidelines. 7 In 2012, 100% of our employees underwent and completed a course on the Business Code of Conduct. Our promise is that our employees will continue to receive this training every three years, in addition to a course in Anti-Corruption. A new aspect of the compliance organization is the one that we started this year with the development of the description of the structure and operation of the area, in which the roles and mission of the compliance officers were also established. Strategic collaboration In 2012 we actively participated in meetings with confederations, chambers, and industry, sector and business associations in order to work together in solving the big challenges that the communities where we operate face, as well those of the industry at large. The main topics are: unemployment, the environment, safety, public and private investment growth, cost and availability of energy, and fighting unfair competition. Transparent governance Business ethics The organizations with which we worked in 2012 are: Industrial Chamber Confederation (CONCAMIN) Mexican Employer Council (COPARMEX) National Chamber for the Transformation of the Industry (CANACINTRA) Michoacán State Industrial Association (AIEMAC) Business Coordination Council (CCE) National Chamber for the Steel and Iron Industry (CANACERO) Mexican Mining Chamber (CAMIMEX) Executive Council for Global Businesses (CEEG) Human Rights Our Human Rights Policy, published in 2010, is centred around the aspects identified as priority for our industry and reflects our respect for all the Human Rights. Our Policy is based on the Universal Declaration of Human Rights proclaimed by the United Nations Organization (UNO), the relatated Declaration of Fundamental Rights and Principles at Work from the International Labour Organization (ILO), and the Global Pact of the United Nations. Training The human rights policy of ArcelorMittal establishes the guidelines for our actions and behaviors with regards to Human Rights. It is enforced with every employee of the partner companies of ArcelorMittal worldwide. In Mexico, in 2012, 100% of our employees completed their Human Rights Policy training; the training has a validity of three years, and after this span of time retaken be retaken. The human rights policy of ArcelorMittal complements and reunites aspects of other policies and guidelines from the group, such as the Company Code of Conduct, the Health and Safety regulations, the Environment and Human Resources, and the the Anti-corruption guidelines. Whistleblowing In 2012 we did not receive any complaint from our employees through the whistleblowing system, nor locally in our units. Agreements with the Community In June 2012, for the second time, ArcelorMittal and a group of communal land holders and small owners signed a work agreement. Through this pact it was agreed that said group would participate in the extraction, benefit and transport of the iron ore and hematite in the properties where ArcelorMittal has concessions. The agreement was signed in front of the State Government officials and the representatives of the communal lands of La Mira, La Parota and small owners from the municipalities of Lázaro Cárdenas and Arteaga, as well as the leaders of the transport syndicates and the companies hired by the communal lands and owners for screening and crushing. Commitments to protect the environment, as well as specific ecological clauses were included in the agreement with regards to the activities covered by it. This is one of the actions that we took in order to continue to develop the regional economy in a sustainable way. 8 Signing of a labor agreement with communal landholders and small landowners. Case Study ArcelorMittal Mexico, Socially Responsible Company Thanks to its programmes related to the quality of life in the company, social participation and support in the communities where it operates, ArcelorMittal received the Award for Socially Responsible Company from the Mexican Centre of Philanthropy (CEMEFI). With this award, CEMEFI gives us credit to our stakeholders (employees, investors, clients, government officials, and society at large) as a reliable company with responsible management. The award is the result of many years of effort, and a signal that we are on track with fostering the community’s development without losing sight of our goal of producing steel in a safe and sustainable way. Beyond the recognition, the SRC award is an exercise in transparency that we aim to reinforce year after year. 9 Transparent governance This award is delivered in an annual ceremony held by CEMEFI in order to give recognition to the companies that have set themselves apart by incorporating projects supported by their policies in subjects such as quality of life at work, the environment, transparent management, and community support. Making steel more sustainable Nowadays, steel is a fundamental part of the modern world. This important material, the qualities of which allow it to adapt to almost any use and to be endlessly recyclable, is present in everything from rail roads to washing center components; from motor vehicles to waterways and energy grids that supply our cities. The use of steel is so important to our society that we, as a company, recognize that it is of paramount importance to always seek the sustainability of its production process. That said, in Mexico we have made great efforts and achieved the recycling of 345,925 tonnes of scrap, and 77.11% of the gas that our blast furnace uses. Actions like these are the ones that we present in this report, as well as our commitment to keep on going. Making steel more sustainable Environmental indicators KPI’S / Year 2012 Year Value CO2 Emissions / Liquid Steel Tonnes 1.83 tonnes Blast furnace recycled gas percentage 77.11 % Environmental projects investments 9.2 Millions (USD) Managed waste percentage (reuse, recycle, sale, disposal) 51.5 % Recycled steel tonnes 345,925 tonnes Recycled water percentage 22.05% ArcelorMittal Mexico has had a successful career in the creation of products with added value. This important focus has allowed us to serve niches of the market where not all of the producers can position themselves. Such is the case of the new grades for the production of slabs used for the transportation of sour gas. The production of slabs for transporting this kind of gas requires strict control of the steel production and the internal quality. This is why better technology practices for the making and casting of the steel were implemented in order to undertake the project requiring the production of flawless slabs and central segregation in order to capture a share of the growing market of API (American Petroleum Institute) piping for the transportation of sour gas. In the same year, two important tests were realised. These tests showed that ArcelorMittal successfully completed all the parameters required by the client. The ArcelorMittal team again managed to take one more step in the value added chain, strengthening our leadership position in the slab market. 11 With regards to rebar and its development for several mechanical grades, ArcelorMittal Mexico has had an important historical evolution. In 2012 innovation was furthered by the development of the following weldable products: The G60 (dual) under NTP 339 (Peru) the roll rod G60 of ASTM A706 for the production of wire mesh, the G540 (CA-50) of NBR 7480. W-70 of Corenin 316. Moreover, a new product G56 of NMX-B-457 in diameters from 3/8” to 1 3/4”. All the aforementioned products provide a competitive advantage and added value. It is this way the product development work team from ArcelorMittal Mexico responds to the explicit or potential need of products of greater value added for construction, that places and keeps our leadership in these products. Against climate change Reducing CO2 emissions in order to abate climate change represents an important challenge for ArcelorMittal and the steel industry, which is why we are committed to reducing our emissions by 8% by year 2020 at a Global ArcelorMittal level. Case study Recycle-a-thon 2012 As part of an ArcelorMittal initiative, a campaign was coordinated for the gathering of electronic waste together with 24 regional institutions. It was such a huge success that 30.8 tonnes of electronic waste were gathered. Out of these, 13.55 tonnes were gathered by ArcelorMittal personnel. The material gathered was delivered in its entirety to the company RECICLAMICH for its recycling and processing. An economic benefit was received as a product of the recycling, which was then delivered to the Lázaro Cárdenas Integral Rehabilitation Center (CRI). Making steel more sustainable Product, innovation, and design Emission reduction and energy efficiency The CO2 emissions per ton of steel produced during 2012 raised to 1.8 tonnes, while the energy use per ton of steel produced raised in the Long segment due to a major stoppage in the blast furnace in the month of June, which stopped production but did not stop the energy consumption, which affected the global KPI of the Long segment. That is the reason for the raise observed in this segment in comparison with the previous year. Energy savings due to conservation and efficiency improvements (Gj/t) Long 2012 2011 % 36.57 32.58 17.96 18.47 Primary source energy consumption (GJ) Natural Gas Mineral Coal Steel coke is one of the blast furnace fuels, which produces pig iron as well as blast furnace gas, commonly known as BFG. The amount of BFG produced in 2012 was 6, 852,490 GJ and the amount reused in different company processes was of 5,286,392 GJ. Even though it is a gas with low calorific and with a big amount of inert gases, its exploitation rate is very high. The ecological reserve’s artificial lake. Indirect energy consumption Fuel oil is a fuel produced using by-products of the oil refinement process. Due to natural gas availability problems in the region, fuel oil is used to complement the energy matrix of ArcelorMittal. 13.28 Flat 2012 2011 % -2.76 The amount of coke gas, commonly known as COG (Coke Oven Gas), a by-product of the use of mineral coal in the coker in year 2012 was 2, 720,361 GJ and the amount reused by different processes in the company was 2,632,467 GJ, which makes ArcelorMittal Mexico one of the plants that makes best use of this gas. If it was not used, its substitute would be fuel oil, which would involve higher costs and a bigger environmental footprint. 40,502,687 21,837,328 Due to performance and safety reasons, there are two electricity power plants in-house which use various available fuels to produce the utilities for the more varied production processes. This way, even though ArcelorMittal Mexico consumes large amounts of energy from nonrenewable sources, we have developed several measures to make their use more efficient, thus preventing an increase in consumption of these sources. Electricity Generated (GJ) Power plant Gross Auxiliary Net Flat 442,436 59,196 Long 299,376 36,036 Fuel used Natural gas Fuel oil COG BFG 383,239 1,983,333 0 0 0 263,232 114,908 959,790 66,891 963,187 12 A motor in the water cooling plant was replaced by a high efficiency one, and with this change 756.97 GJ were not consumed. Energy saving initiatives In ArcelorMittal Mexico we are committed to the efficient use of energy and its conservation in order to reaffirm our leadership and embody our social and environmental responsibility in order to benefit all our stockholders. Our practices are based in our Energy Policy that provides the necessary guidelines as to satisfactorily comply with a sustainable program of energy management. We have a series of 22 documents of “Best Energy Practices” which were developed by the corporate group and which guide us in the best ways to perform based on a benchmarking process in relation to other plants from the group as well as other companies in this sector. With the implementation of our “Best Energy Practices”, we have contributed to minimizing our costs and making our processes more efficient. The energy saving opportunities that are transformed into projects have an internal follow-up, and, along with other projects, they are part of the variable bonus that is included in every employee compensation package. Environmental Management As a result of the commitment that our company has with the environment, ArcelorMittal Mexico continuously works towards finding new and more efficient ways to minimize the environment footprint, reducing the use of resources and the creation of waste residue. 13 Water The total water capture raised, in 2012, to 28,828,117.80 m3 for water coming from the Balsas river, and to 2,170,461 m3 for water coming from the Lázaro Cárdenas municipality. With our efforts to reuse this valuable resource, we have managed to attain a 22.05% recycling rate. Regulation and Awards From the Normalization and Certification Association (ANCE), we received the declaration of verification of our business inventory report regarding the emissions of greenhouse gases from 2006 to 2011, being the first company in the steel industry in Mexico to obtain this recognition and the seventh in the industry sector nationwide. Continuing with the participation in environmental voluntary programs, in October 2012, ArcelorMittal received the leadership and transparency in greenhouse gas emissions reporting award from SEMARNAT (Environment and Natural Resources Secretary). Raising awareness about the importance of water conservation. On World Water Day and World Environment Day, more than 1,200 children and 800 employees were able to enjoy “The Happy Droplet”, a play that was written, directed, and performed by a group of our employees. Due to our emissions inventory certification, ArcelorMittal raised to the second level of the GEI (Greenhouse Gases) program in Mexico. We are the first steel company in Mexico to obtain the declaration of verification for the business inventory report regarding emissions of the GEI 2006-2011, and the first steel company in Mexico to receive the award for showing leadership and transparency on accounting, under the GEI2 Mexico program. Making steel more sustainable Energy savings due to conservation and efficiency improvements Due to changes in the process of programmed stoppages or delays, a load control program was implemented in some of the operative plants that stopped the consumption of 73,564.88 GJ altogether. Projects spending As part of the improvement programs, in ArcelorMittal we continue to work on important environment investment projects in order to have the most efficient anti-pollution systems for controlling atmospheric emissions and waste water. During 2012 over 9.2 million dollars were invested in the following projects: Ethical campaign for local wildlife control With support from our wildlife attention center, in 2012 we continued with the campaign launched in 2011 for the capture, inoculation, supplement and spay of stray dogs and cats that enter the steel complex, which were afterwards released for adoption amongst the employees and contractors of our company. Improving the control of powder escape emissions in electric ovens, lime plants, pellet II and BOF. Environment Week As part of the celebration for the World’s Environment Day, ArcelorMittal Mexico carried out, in one of its plants, the Environment Week, during which we had several actions toward improving the conditions of the environments where we live: Second phase of the improvement system for the treatment of waste water in the flat steel section. Biodiversity In ArcelorMittal Mexico we are responsible for protecting the local biodiversity and the habitats in the locations where we work. Company employees participated in a reforestation campaign with the planting of 1,020 trees in the region. We have a veterinary medicine center for domestic animals and wildlife that inhabits the operation and ecological reserve areas within the company. A drawing contest was opened for the children of our employees where they participated showing, through their artistic skills, the way they believe nature gives us life. We have 3 wildlife management plans for the white tail deer, the pacific crocodile and the green and black iguanas, all currently endangered species. Sunday June the 5th 750 people from among the ArcelorMittal personnel and their families participated in the walk for the environment event. Taking care of the environment goes beyond reducing the global footprint. Thus, being responsible for the existing wildlife in the ecosystems where we perform our economical activity has become a fundamental part of our efforts towards preserving the environment. Dogs 18 Cats 5 Total sterilization 24 animals All 24 animals were given for adoption From June 3rd to the 8th we had conferences and workshops for raising awareness of our employees and students regarding the actions one can take towards preserving our environment. In 2012 several programs were successfully executed in order to preserve our 264 acres of protected land leased as sustainable environment management units (SEMU). Environment Programs Domestic animal control results Biocenter The new facilities for the Biocenter bring education, training and awareness towards improving the environment quality as well as treating several tree species in the region. The care and preservation of the white tail deer, the cormorant and other species that inhabit our reserve, as well as the reforestation of our areas are activities towards preserving the environment. 14 Tortoise Camp Other actions: In the tortoise camp called “The Turtle,” the second phase of the construction of the facilities and infrastructure for fostering care and protection of the sea turtle species that come to the beaches of the Lázaro Cárdenas municipality was completed. Campaign for the replacement of incandescent lights with energy saving ones. In 2012 we had the following results: Eggs protected: 135,160 Number of visitors: 2,265 people Workers, employees of ArcelorMittal, and their relatives took part in lectures about the importance of taking action towards preserving and protecting the species of sea turtles that are endangered. Campaign for environment awareness with the “Happy Droplet” theatrical Participation in the Clean Beaches and Mangrove Tree Reforestation programs. Making steel more sustainable Participation in the local contingency plans for fighting and controlling spills of oil products and other dangerous substances. 15 Investing in our people We operate in an industry where workplace safety is an everyday focus and this continues to be our number one priority. Likewise, our value is our people, hence we make efforts in order for our employees and their familiesto be able to develop their potential. Investing in our people Our ambition is to be the safest company in our sector. The long-term goal is to have no fatalities or lost time injuries, and our company-wide safety programme, Journey to Zero, is designed to reach this goal. Safety performance In ArcelorMittal, safety is not only a concern for our employees, it is in our best interest to work together with our contractors to reach our goal. In 2012 the Lost Time Injury Frequency rate (LTIFr) of employees and contractors improved by 61% in comparison with the Steel results in 2011; with regards to Mining, the rate remains at zero. The injury cases for employees and contractors where medical attention was needed decreased by 38% for Steel and 46.7% for Mining compared to 2011. The Total Injury frequency rate (First Aid, Medical Attention, and LTIFr) for contractors improved by 40% in Steel for 2012 compared to 2011, and by 18.22% in Mining. Nonetheless, no injury is acceptable and we need to strengthen our efforts for creating a culture of safety. We must continue to learn from every incident and continue with our awareness strategies. In Mining we have over 14 years without fatalities, and 3 years in Steel. One of the actions that have allowed us to keep this figure at zero and in decreasing the frequency of injuries is, without a doubt, the implementation of the Fatality Prevention Standards (FPSs) and a succeful communication campaign, beginning in 2010. Safety Initiatives (Steel) The design of programs and initiatives are tied one another to obtain the results we expect. The progress we have had towards our Journey to Zero is achieved with programs that are based on generating Agents of Change towards Safety Excellence. Our “Golden Aces” play an important role in preventing incidents in the plant’s maintenance halts. The conditions during the maintenance work are special and require specific attention given that many people work at the same place. Besides, many of the workers are not familiar with the hazards in the area, and thanks to the intervention of the Golden Aces towards preventing incidents, there were no injuries that required more than first aid. Our Training Center for the Prevention of Accidents (TCPA) has allowed us to give more effective training to our workers. En this year the TCPA trained our brigadiers and lectured for a total of 38,368 man hours. It is also important to highlight that we have received in our facilities the region’s Red Cross Volunteers and the local Civil Protection Agents, who have made use of our facilities for receiving training and hence giving better service to the community. With the training on “Effective Observation Skills”, our line supervision and middle management were able to develop their skills to make effective observations regarding the behaviour of the people around them in the framework of the pyramid of accident probabilities. The most important step in this process is that our supervision team understood the importance of interacting with people in order to recognize safe behaviour and committing to change dangerous behaviours. In 2012 the central safety committees and subcommittees were created. This initiative has consolidated as the most important medium in order to have a true change in the culture of safety. The safety committees are an essential element in order to carry out the reporting and for each of the area managers to take safety management into their own hands. The subcommittees were formed for some of the initiatives, such as HIRA’s, Incident research, Process Safety Management and Proactive Safety Observations, among others. Investing in our people Safety Workers. 17 Safety courses progress 2012 943 Courses 2011 885 Courses 2012 28,326 Participants 2011 22,116 Participants 2012 226,532 Training Man Hours 2011 221,158 Training Man Hours “Courageous Leadership” The “Courageous Leadership” program is an initiative we started in 2012 in order to improve the health and safety culture of the company in the Mines division. Mexico has been one of the first countries in the group to introduce this program, which consists of understanding that safety is based on a system of values, and that it has become our main value: “safety first”. The first stage of this program was started with directors, managers and supervisors. They became instructors that took upon the responsibility of spreading this to each employee and contractor. By the end of the year, 492 union workers, 395 employees, and 694 contractors received One unionized worker was conducting a lifting activity when he detected a sling was in poor condition, so he decided to stop his activity and tell the supervisor in shift the risk of doing that action. Due to the importance of this manoeuvre, the supervisor assigned the activity to a contractor employee. The unionized told the supervisor that “Life of the contractor partner was as valuable as any other worker in the company”. No one should do an activity that poses a risk to physical integrity. The supervisor conducted the lifting correctly and safely after that conversation and he made sure about the risks in the future by pre-evaluating each job and keeping the importance of Shared Vigilance in mind. -Experience told by: Joaquín Galván Ojeda, Mobile Equipment Maintenance Shift Chief Supervisor the training, achieving the goal of making “Courageous Leadership” reach 100% of the people that work in Mexico, including the personnel in Peña Colorada. Health and Safety Week Sunday April the 22nd we had the “Health and Safety Walk”, which has become a tradition in Lázaro Cárdenas. Employees and their families and friends come to this event, which is open to the public, with over 2,100 attendants. With the topic “Stop, think, and act safely”, the Health and Safety Week was carried out from April 23rd to the 26th. In this period, there were conferences, lectures, and workshops on several health topics related to industrial hygene, first aid, emergency response, disease prevention and stress. The key topics were on contractors’ safety and repeat accidents prevention, as well as leadership and safety. 1,855 Participants in Safety Day. April 26th, Steel and Mining employees Health The health and well-being of our employees is vital. If we procure and keep healthy labour conditions, we motivate our people and professional activity, the personnel commitment with the company is reinforced, labour quality is guaranteed, absenteeism is reduced, and therefor we obtain more consistency in production. Health Awareness Program In 2012 we started our Health Awareness Program. We have a number of activities, such as the weight reduction and morbid obesity program that launched when we detected that this high rate points to it being a health issue not only in ArcelorMittal, but in Mexico at large. The objective is to reduce the trends in diabetes and high blood pressure as well. At the Lázaro Cárdenas plant, 316 people participated in the program, contributing to reducing the obesity rate by 6.9%. In april 2012, a pilot program called “Health Help” which aids the personnel identified as having morbid obesity. This program is based on the active involvement of the manager to motivate personnel with this ailment. 15 people participated and managed to drop 10 to 15 kilos of weight each. Courageous Leadership Results •Improve the usage of Personal Protection Equipment (PPE) The personnel in the Las Truchas mine had a positive attitude change with regards to the use and care of PPE. Previously, the use of safety goggles was scarce. Nowadays, the personnel use their PPE even though the process is still our greatest challenge. •Bigger participation in drills There is more participation by unionized personnel. Now, the employees know the importance of having emergency response drills. •Better practices in contractor companies (PPE and work procedures) As part of the Courageous Leadership program improvements, all the contractor companies implemented work procedures in each activity using PPE •Monthly meetings with contractor companies Monthly meetings took place with the safety supervisors and the management team of the contractor companies that work in our mine. The topics covered were safety, evaluations, best practices and each company’s suggestion. •Guardian Angels The Guardian Angels strengthen the implementation of the floor audits in the change process (best practice in Brazil). The team has to be formed by trained personnel. These people are responsible for observing and aiding their fellow workers in regards to their behaviour, not only related to unsafe conduct, but related to unsafe conditions as well. 18 In the prevention stalls, blood pressure, glucose and weight measurements were taken. Active Fridays consist of one hour of physical activity during work hours (fitness, zumba, walks, jogging, soccer, basketball, volleyball, swimming), which are carried out in the sport units and with an average attendance of 295 people per week. It is worth noting that this year the zumba activities were realized as well in the Las Truchas mine and the Guaymas port. supposed to happen. A total of 2,300 people participated in both locations and shared the message of fostering healthy lifestyles and fighting breast and uterine cancer. Every day, from October 15th to the 19th, employees, union workers, contractors and the general public had the opportunity to join lectures, conferences, workshops and detection With the objective of doing physical activity and and prevention services in the area, as well as learning relaxation and breathing techniques that in the Health Fair stalls. Stress management, addiction, healthy eating, AIDS, obesity and aid stress management, the Yoga program was its consequences, diabetes, and high blood opened, with 2 hours sessions Tuesdays and pressure, among others, were the wide array of Thursdays. topics on offer during these days. “In order to have smoke free areas and buildings by August 2013, the Zero Tobacco Program was Training and development launched in 2012. The medical personnel give We continue investing in training and lectures on the risks and the addiction test for development programs for our employees, as tobacco. We have managed to prevent smoking we see this as fundamental to the growth of in closed spaces, and employees now smoke the individual and the company. We know that if in defined smoking sections where there is no the employees reach their potential and develop safery risk. their skills they will contribute to the success of Health Week As part of the Health Week activities, for the first time, the people from the La Mira, Michoacán community joined the Walk for Health, which happened at the same time that the 8th walk from Lázaro Cárdenas was 19 The community was able to participate in some lectures on mouth hygene as an important health factor. Free teeth cleaning was also provided. 6544 Attending the health fair. Our employees at opening time. Investing in our people In the “well-being” area of “Health Fair 2012” stress management and relaxation techniques were shared. the company. Continuous education program The Continuous Education program is one of the pillars that support the personnel and their family’s education. In Lázaro Cárdenas, through Health Food Workshop. the training department, since 2008 we have contributed to the completion of the primary education of 25 people, 10 of secondary education, and 17 are finishing high school. In November 2012 we received an award from the Public Education Secretary and the National Institute for Adult Education, for being a company committed to the education of its workers. “Leadership and Management” Course In 2012, the initiative that launched in 2011 was continued. The Leadership and Management course is focused on the company’s middle management. Its objective is to develop the future leaders of the organization. Here is where the transcendence and importance of this point lies. In 12 modules and 8 hours, topics like Emotional Intelligence, Communication Skills and Techniques, Motivation and Rewards, Change Management, Critical, Creative and Innovation Thinking, System Focus, Decision Making, Conflict Management, Coaching, etc are covered. With an initial competency diagnostics and a final one, the participant has the chance to realize his progress and personal development. At the end of the program each participant outlines 3 projects for personal and team improvement. Leadership program for Chiefs and Supervisors With the external aid from Atticus and Dale Carnegie, an institution with over 100 years of experience in leadership and personal development, a two stage custom program for ArcelorMittal Mexico was designed. In the first stage, the participants attend an 8 hour live workshop with the aim of getting to know the competencies of ArcelorMittal, the Golden Rules of Leadership and the key teamwork behaviour that allow us to develop a new culture. In the second stage, the program is focused on more specific aspects of leadership that have been identified as critical by a diagnostic that took place with several sample plant’s supervisors, chiefs, managers and directors. Scholarship Program * 2012 Elementary 200 Junior high school 105 High school 98 Undergraduate 100 Total 503 employee grantees *This scholarship program benefits the employees’ children that show good academic performance. In the first half of 2012, 53 participants finished the program that began in 2011. In the second half of 2012, a second batch of 51 people finished the program. 2012 Camp. 507 chlidren of 6 to 12 years of age participated. 20 Health and Safety training Health and safety at work are one of the areas under constant watch for improvement points. In each plant there are different initiatives that are specific for each productive process. With the aim of building a solid foundation we have a program of health and safety training by which training on Fatality Prevention Standards is given. Likewise, we developed local courses of Integral Safety and Health, Environment and Quality Systems. For the contractors we have a basic safety program that lasts 8 hours. In the following we present the results of these actions. Safety program Description 2012 (Hours) Employees and union workers 123,862 Contractors 226,532 Safety training 350,394 2012 total training 637,330 55 Investing in our people % Safety training 2012 Scholarship Award Ceremony. 21 Enriching our communities Every ArcelorMittal location is part of the communities and the local environments that surround it. We are the first private employer in Michoacán state that offers business opportunities to local businesses. Likewise, the ArcelorMittal foundation and the Corporate Responsibility department collaborate in order to move forward investment projects that benefit the local communities by using sustainable initiatives that foster economic and social development in the long term. Enriching our communities ArcelorMittal Mexico contributes significantly to the national and local economy through tax payment, employment opportunities and contracts with our suppliers. Our tax policy guarantees that we honour all our fiscal obligations wherever we are in the world. ArcelorMittal keeps the highest standards in fiscal compliance, ethics and integrity in relation to all tax payments. Besides the company’s contribution with taxes, salaries and benefits, suppliers payments, and facilities improvement projects, ArcelorMittal, through its Foundation, invested over $813,300 USD in 25 community projects, and benefited over 14,000 children and adults that actively participated in our several initiatives. Involvement with our stakeholders In ArcelorMittal we are committed to our stakeholders and collaborating with them as a way to improve the working conditions in our facilities. Our aim is to foster the efforts we take to improve the conditions of our environment and we are regularly involved with a broad group of external stake, including the communities where we operate, the unions, other companies in the field, government institutions, NGOs, trade associations and chambers, among others. Specifically, when any individual or organization makes us aware of any issue, we investigate it and work together with them to identify a solution. Our relationship process with our stakeholders was revised and relaunched in 2012 to include the international best practices regarding information transparency and whistleblowing mechanisms. In 2012, in ArcelorMittal Mexico we created for the first time a relationship plan with our stakeholders with the purpose of including all 23 the activities that we have with them from the company’s business units, such as: Government relations, Environment, Health, Safety, Communications, Corporate Responsibility and the ArcelorMittal Foundation. As an important part of our strategy of stakeholder relations, in Mexico we are members of the following groups and initiatives: Platinum partner and Committee member of the Mexican Philanthropy Center Mexican Mining Chamber (CAMIMEX) Civil Protection - Committee for the Global Enterprises Executive Council ArcelorMittal Foundation In 2007, shortly after the foundation of ArcelorMittal, we decided to fund a nonprofit organization focused entirely on the development of projects that benefit the communities where we operate. Today, this is known as the ArcelorMittal Foundation. Prioritizing education, health and community development, the Foundation’s projects are driven towards maximizing each community’s potential, respecting their specific needs, and empowering local resources. Fostering the entrepreneurial spirit and helping people developing their own talents is the most efficient way of improving the quality of life and guaranteeing a sustainable development. In 2012 the ArcelorMittal Foundation developed 30 projects. In the following we describe a selection of our most outstanding projects of last year. Education projects In 2012, the ArcelorMittal Foundation and Ashoka launched a joint program called “We are looking for young people with a spirit of change”, which has the objective of empowering a new generation of young entrepreneurs with projects that promote social, environmental, and economic development in their communities. The program was launched in September and 213 youths participated. They presented 71 projects, which became the largest number Enriching our communities Our part The community participating in our Health Walk, a walk with a cause. of this kind of projects in Michoacán. Later on, Ashoka selected the 30 finalists that were evaluated by volunteer ArcelorMittal employees who are specialists in several areas. Out of these, 20 winning projects were selected and received coaching from the aforementioned volunteers, Ashoka personnel, academic authorities, business owners and others from the Lázaro Cárdenas community to further the success of these projects. Contributing to the integral development of the children that live in the “Presidente Lázaro Cárdenas del Río” foster care facility was the reason why in 2010 the physical education program was born. With a focus on soccer training for children of 5 to 17 years of age, this program has had excellent results, given that it contributes to their physical health, their wellbeing, and their development. The instructor in charge develops specific physical activity and motor coordination activities for children with special needs. It is worth noting that in 2012 the children in the youth division (10 to 11 years of age) won the third place in the Premier Acapulco Cup. Likewise, 3 kids of 12 to 13 years of age are in an observation period as sport talent worthy of joining the Monarcas Football Club. 2010 Since 2011we have been developing an International Baccalaureate program with the Anglo-Mexican College in Lázaro Cárdenas, which aims to empower teachers and give learning schedules that follow the international standards and the objective of which is to raise the education offered in Lázaro Cárdenas to allow children and youths to have the chance to study at the same level as the children in other parts of the world. The method includes online modules, live workshops and school visits to observe the learning methodology of the International Baccalaureate Organization. Health projects During the ArcelorMittal’s Health Week, we invited the Lázaro Cárdenas La Mira community, and other nearby populations to take part in the scheduled activities. We promote the importance of physical activity with the Health Walk, we foster prevention with several services such as lectures, tests, diagnostics and medical orientation which are also available to the community during the Health Fair. In the 2011 In 2012, with the goal of reaching a larger quantity of youths, we trained 45 teachers. In a 10 hour workshop, and with the support of a printed guide and AV material that shows how to perform every work session with the students, we created the first generation that will go on to spread this program in their schools. 2012 4 schools (5 groups) 17 schools 25 schools 156 youths 672 youths 698 youths Lázaro Cárdenas Lázaro Cárdenas, Playa Azul, Buenos Aires, Guacamayas, La Orilla, Acalpican Lázaro Cárdenas, Playa Azul, Buenos Aires, Guacamayas, La Orilla, Acalpican, La Mira, Flor de Abril 40 employees’ children (2 shifts) 27 employees’ children (1 shift) 29 employees’ children (1 shift) 3 volunteers 19 volunteers 20 volunteers - - 45 teachers in the 2 training sessions 24 ArcelorMittal Foundation we consider fostering healthy lifestyles in Mexico’s children to be of paramount importance, hence we have created a space inside the Health Fair just for them. In the children’s area the kids learn through fun activities about well-being, prevention, and health care. In 2012 we welcomed more than 900 children from 14 preschools. Another program that we have, in alliance with the “See well to learn better” organization and the Michoacán State Government, was the delivery of pairs of glasses to 24 elementary schools located in the San Juan Bosco, Los Coyotes, La Mira, Guacayamas and Lázaro Cárdenas communities. Out of the 4,700 eye exams, we delivered 749 pairs of glasses. In this way we reaffirm our commitment to our communities and their children. Community development Halfway through 2012 we created an alliance with Mexico’s ChildFund with the aim of generating community development in six communities of the Lázaro Cárdenas municipality which show important economic and social lacks. In collaboration with Habitat for Humanity we have worked since 2008 to help low income families to afford housing. The Foundation’s help include steel provision for construction, human capital and innovative structure solutions. Since 2010 the ArcelorMittal Foundation has constructed in Mexico 74 houses with an investment of over $430,000 USD. 25 Distance from Lázaro Cárdenas to La Mira 18 Km (11.2 miles) The social benefit expected for this project is: Strengthening the social fabric and the sense of belonging in the community Empowering the members of the community Creating sources of employment Employee initiatives and volunteering A mini-grant is a small donation from the ArcelorMittal Foundation to a certified NGO in which one of our employees is actively participating. Through this innovative program, the ArcelorMittal Foundation supports selected NGOs. Likewise, it fosters volunteer initiatives in our employees. The difference between a microloan and a mini-grant is that the latter need Enriching our communities This Integral Community Development project has the objective of developing several competencies in the population in order to help them improve their own situation. We begin with women and children through education, nutrition and health programs. This agreement aims to benefit 1,300 children in the beginning and over 7,000 people indirectly in the coming nine years. During 2012 a community diagnostic was carried out to know the details of their main needs and thus be able to define the challenges and the programs of the project. Healt Fair 2012 Children Section. not be repaid. In 2012, our volunteer Mireya Gutierrez realized a project for giving the San Pedro and San Pablo de Lázaro Cárdenas seminar with a computer lab, needed for developing the educative activities for low income youths that are taught in this learning center. The total cost of the project was $5000 USD. Every December 5th, The ArcelorMittal Foundation celebrates “International Volunteer Day.” The objective is to motivate our employees around the world to spend a little time in doing something positive in one of the communities where we operate. In 2012, the Ciudad Obregon (Sonora), Lázaro Cárdenas (Michoacán), and Mexico City’s volunteers organized several activities such as improving the community medical supplies conditions, painting a preschool for low income children, and delivering food for families in need. Over 150 employees joined this charitable initiative. In September 2012, 9 international volunteers and over 50 nationals in our Lázaro Cárdenas and Celaya plants worked together in constructing four houses in Tierra Fria (Guanajuato, Mexico). The international volunteer group came from Argentina, Brazil, Spain, India, The USA, and Poland, and with help from the families and the Habitat for Humanity NGO personnel, constructed structures fit for housing families that used to live in misery. After donating a week of their vacations, the volunteers, evidently full of joy, presented the results to the families and had a tear filled good bye. In the middle of December a group of employees have a Christmas event for the Presidente Lázaro Cárdenas del Río children’s foster care house. The children prepare a special program that they present to the public. This year the kids sang carols and did a small musical play. Our employees bring a present for one lucky child and some of them make an economical contribution to the event. In 2012, 93 employees joined this cause that was launched in 2009. Lázaro Cárdenas del Río Foster Home Christmas Event Our CEO Bill Chisholm, ArcelorMittal’s HR Director Cynthia Arredondo, as well as the Lázaro Cárdenas Mayor and the local DIF President assisted the event. 26 New Year cards competition Every year, to celebrate the beginning of the New Year, we have the New Year cards competition in which our employees’ children as well as those from projects supported by the ArcelorMittal Foundation participate. The kids between 6 and 14 years of age send drawings on the selected topic. Every country selects a winner from its units. The three world winners are selected from the winners in each country by an online vote open to all ArcelorMittal employees. All the winning cards from each country are available online and can be sent to the relatives and friends of ArcelorMittal employees. Winning card Mexico 2012. Drawn by Belen Alonso Arriaga, daughter of Marcelo Alonso of the IT department in the Lázaro Cárdenas plant. Project Description Location Beneficiaries University student scholarships (Televisa alliance) In alliance with the Televisa Foundation, 59 scholarships for the Morelia Technology University were awarded Morelia, Michoacán 59 students Marikuecha preschool Preschool education for low income children and Human Development program for their mothers Lázaro Cárdenas, Michoacán 60 children and 40 mothers I want to Be (educative program) Educative program that promotes positive and aspiring attitudes and values in middle school children. Lázaro Cárdenas, Michoacán 650 middle school children Summer camp Summer camp with sport, cultural, and educative activities for the employees' children. Lázaro Cárdenas, Michoacán Celaya, Guanajuato Tultitlán, Estado de México 700 children Children Day Celebration with recreational activities for children on their day. Celaya, Guanajuato Córdoba, Veracruz 300 employees' children Little and Junior Soccer League Support to the league with facilities access, uniforms, sport equipment and tournament transportation. Lázaro Cárdenas, Michoacán 200 children Alliance with the “See Well to Learn Better” NGO for donating pairs of glasses to low income people. Lázaro Cárdenas, Michoacán Visual Health Campaign 27 (from the community and children of employees) 6,000 people (4,000 elementary school children) Enriching our communities Foundation 2012 projects table Project Description Location Beneficiaries Mexican Red Cross Specialized Emergency Response equipment donation. Lázaro Cárdenas, Michoacán Celaya, Guanajuato Córdoba, Veracruz Cd. Obregón, Sonora 4 Red Cross Delegations San Peregrino Shelter Temporary shelter for cancer patients and their families, in alliance with the “I'm with you” NGO. Cd. Obregón, Sonora 500 people Well-being Circle Well-being center for cancer patients and their families, in alliance with the “I'm with you” NGO. Cd. Obregón, Sonora 500 people Health Fair Health Fair open to the employees and the community, with conferences, medical tests, visual health campaign, etc. Lázaro Cárdenas, Michoacán 5,000 people Tortoise Camp Infrastructure project for “The Turtle” Tortoise Camp. Lázaro Cárdenas, Michoacán 16 families / 5,000 visitors per year Physical Education program for Guacayamas Foster Home children Soccer lessons for the Celaya Foster Home children with the aim of providing recreation and social inclusion. Lázaro Cárdenas, Michoacán 50 children Pireri Cultural Center Arts and culture preservation education center open to the public. Lázaro Cárdenas, Michoacán 300 students Butterflies Human Development program for women in vulnerable conditions. Lázaro Cárdenas, Michoacán Cd. Obregón, Sonora 400 women Solidary Vacations 70 volunteers constructed houses for people of low income in alliance with Habitat for Humanity. Cerrito de Camargo, Guanajuato 4 families New Year's Card Competition Drawing contest for the children of employees as well as children from Foundation projects. Lázaro Cárdenas, Michoacán Celaya, Guanajuato Córdoba, Veracruz Cd. Obregón, Sonora Ciudad de México 90 kids participated International Volunteering Day Every December 5th our employees have volunteering activities in each plant. Lázaro Cárdenas, Michoacán Celaya, Guanajuato Córdoba, Veracruz Cd. Obregón, Sonora Ciudad de México More than 200 employees participated Mini grants This program motivates employees to propose projects that benefit an NGO where they volunteer. Lázaro Cárdenas, Michoacán Celaya, Guanajuato Córdoba, Veracruz Cd. Obregón, Sonora 1 project in Lázaro Cárdenas was supported Housing Donation Housing construction for low income families in Habitat for Humanity. Cerrito de Camargo, Guanajuato 28 families International Baccalaureate The Anglo Mexican College is in the middle of certifying the International Baccalaureate program. Lázaro Cárdenas, Michoacán 800 students 28 Stakeholder engagement engagement procedure and operational guidance, and all our local operations are required to follow them. Our approach in this area is regularly updated to reflect evolving views and new trends. For more information see reporting on stakeholder engagement in our full online corporate responsibility report. Our stakeholders Our relationship How we engage Stakeholder issues Customers s ion isat dia Me Inve Corporate Responsibility Report 2012 vid ro s • P rend ci t so n • Add to t he as viro mi collect ive en ono nd f ec ld a a understanding o s i w a u a ines responsible bus • B se t s rai duc ur pract ices it s se ro in o p vis lea • B uild capacit y wit h rstand de s ite re s e organisation and un • S ress view h roac • P nter net and drive peer app • I nter ter • I wit en all t • T c h safe iss l tr y d us an enta nd h • I ealt onm • H nvir • E te n Orga as ges nd w challen • y L r t o s n g u d t n i r e m rgy a • Human right s • Wat er, ene e • Healt h and safet y hang ate c • Respons ible s ourcing • Clim Multilateral & Business • Act ive involvement in BCSD, n, gW tio organisat ions, includin ssocia el A C SR Europe, World Ste pac t EIT I and UN Global C om • sit y • Soc Or ia a ga • Wo l and e nd cli con ma rking nis o t • Hea c e m o ic d cha lt h a ndit at nd s ions ev ng io e afe n t y • Co lopm e • Par r • rup en t ner H u ship ma tio t • For ma nr na igh nd • Cor l meet in re t s br i • 1 :1 sponde gs mee nce t i a n • Pro nd gs vide ev en need an i n ts s envi of so sight r c o • M o nme iet y into nt ni an th perf tor ou dt e o r he mee rman ting ce of st i n ake t he n vulne ho ld ee grou rable ers, d p socie s and ty NonGov ern me nta Biodi ver l Em ei nd e al, as w ustr rat ble l ell y m ne e Ge t aina eho c i nt • r al sus sha p nf a sh re rot orm nd and r ns our ost a • Pro u e bo nd ness ect a tion t e vide s uppor t r v d o op of nd r p f or loc an e era our al ec onomic r • Im pital anc t io dev s ula ca f orm ns • Bu elopment eg r e ild t rust w local p ws s , r o t i h s g h h s in all comm rc unit ies oad et c ea • R :1 me ence • Lo res e 1 nfer s ge n cal eng s • i c p o agement worksh co visit t ing ye an • Lo y sa rn ce lo cal cor a nd ite ue ve an p an porate responsibilit y • S r t icip de repor go or m Em y m nm s a e P ve t • t i t f ng • • 1 :1 lop ora per fet y ibili viro meet in s s n orp me gs • C sines nd sa pon d e nts u h a res an • Co B • mmun lt e e a s g rs t e e s it y and p ces • H rpora chan lans engagement pro de • En n • Co imate vironm e l • So ent and pollut ion cont rol • C dL c • Job ial invest ment an s ecuri s r ty sto Loca l Comm unities 29 • Produc t qu al • Human rig it y and sa ht f • Renewable s • C lima et y • B te t u light - weig echnolog chang sines ht ste ies, se e el pr thi odu cs cts • Site visits • Cus tom • Customer• er orient • Wo ed pu ques • Par t nersh t io blic • Wo r ips, e C .g. o ations nnair teams in • e a u custo Op ar mer r engi nd ev s s’ p nee en • Provide i • ts lan nnov r i I n ts g par t nersh ative • nt ips f • Ne or s growt h Tr ust • a • Provide ina Tr a qu ble • product alit y C s at goo value b d p a • P e e y urit wards sec and re n ob • J erat io s n ty afe emu ee R ds oy an ns • pl lth tio nt r vey ea ndi me nce e Su loye r h co lop elle mp ke ng eve exc • E at ions i l gs rk er d ona c tin publi e ati ee M and mes er t • rs ns am o i our t ne te gr s of ing ra slet pro rela t ces w ng ion suc nstra ini un the emo lit y e ad ral to by d y, qua t ss it en sine ct iv rship and u du ade saf e k a ro le or nd vide ing w e ro rich ienc n per x s g urcin e so sibl n o s p t res duc nce s for pro celle ice de t y of al ex s pract o i n s • C Qual ratio usine t coun • Ope al b h ac ships n oug • Ethic t hr relat io wit h our local e • ent gu ry ent be ialo gem gagem site • D ana lar en nt onm gu od value me e of go ge • R ana very ducts and i l e m d o y pr ure ec ualit e • S nd q ces nsibl ents a r vi spo em se eet re g requir cess in r ac • M ourc ide fai s rov s ines • P o bus unities t por t ropriate s p p o d ap t an ymen pa nditions co • G g en de row e c o era t e th r t hro nomic grow t h ar eh u job gh revenues, fin old s an er pr , t axes , cia • K oduc t ion f ees and l ey t innovat ion tran o provid ing f air and t rad s parent c o ing c mpet it ive an ondit i d ons • C su oun rv t e r y- s p • C ys e ecific s onfe a re teering groups rence • 1 en gem lat i s and s :1 f ta e ons peaking engagements o rma l p nt l dial er • T ogues fo rm • P rade p an • E ollut io olic y ce • S mploy n cont ro l and e ocia men nergy l and t econ omic d evelopment G S ers pli up ove rnm ent a nd Reg ulators In the ArcelorMittal group we recognize that what we do has an impact on others, and that we have a responsibility to understand and manage those impacts responsibly, taking other people’s rights and priorities into account. We believe that this engagement is not only the right thing to do, but that it also supports our business objectives. We have a stakeholder Indicators table Data table Group Indicator Value 2012 Sales $ (million USD) 2012 highlights Net income $ (million USD) 2012 highlights Crude liquid steel production toneladas (miles) 2012 highlights Steel produced toneladas (millones) 2012 highlights Coal produced toneladas (millones) 2012 highlights Iron ore produced toneladas (millones) 2012 highlights Number of employees Transparent governance Investing in our people See in 2012 highlights % of employees completed code of business conduct training % Page 7 % of employees completed anti-corruption training % Page 7 % of employees completed human rights training % Page 8 Operations with a local confidential whistleblowing system Page 8 Fatalities – Steel Page 17 Fatalidades – Minning Page 17 Lost time injury rate – Steel Page 17 Lost time injury rate – Mining Page 17 Industrial operations, including mines, certified to OHSAS 18001 % 100 Absenteeism rate – Steel % 2.94 Absenteeism rate – Mining % 2.89 Number of employees covered by collective bargaining agreements % 3843 Number of strikes exceeding one week in duration % 0 30 Data table Making steel more sustainable Indicator Value Research and development spend $ (million USD) 2012 2012 highlights Page 11 Environmental projects spend Industrial operations certified to ISO 14001 (steel only) % 100% Primary energy consumption (steel only) CO2 emissions per tonne of steel Enriching our communities Page 12 Page 11 tonnes NOx (steel only) 1.61 kg/t AL SOx (steel only) 0.60 kg/t AL Steel recycled See in tonnes (thousand) Page 11 % recycled water Page 13 Community engagement plan Page 23 Number of local community projects supported by the ArcelorMittal Foundation Page 27 Employee volunteering projects Page 23 Corporate Responsibility Report 2012 Community investment spend through ArcelorMittal Foundation Pages 26 and 27 31 Photographs: Krishtian Serrato, Rubén Adame Aragón, José Luis Ruiz (http://www.flickr.com/photos/bdebaca/456080102/) License: http://creativecommons.org/licenses/by/2.0/deed.es Alfredo Guerrero (http://www.flickr.com/photos/30118979@N03/8233236038/) License: http://creativecommons.org/licenses/by-nc-sa/2.0/deed.es Other photographs: http://creativecommons.org/publicdomain/zero/1.0/deed.es Design: Outcom® 32 To find this report online, please visit: http://corporate.arcelormittal.com/corporate-responsibility/reporting-and-assurance/our-reports/2012 ArcelorMittal Mexico Sierra Paracaima #115 Col. Lomas de Chapultepec C.P. 11000 México, DF. T +52 55 5249 0750 F +52 55 5486 2042 Corporate Affairs Contacts María Fernanda Vázquez [email protected] Rebeca Araya [email protected] José Luis Acosta [email protected]