EANS-News: Lenzing AG / The Lenzing Group publishes its Sustainability Report 2020 CNE

4/22, 8:03 AM (Source: euro adhoc)

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Company Information

-

* Successful measures to fight against the COVID-19 pandemic with a focus on the
  safety and health of employees, customers and partners and securing
  sustainable business development
* Implementation of strategic investment projects and climate targets
  progressing on schedule - launch of first TENCEL(TM) branded carbon-zero
  fibers
* New level of transparency in the textile industry: introduction of blockchain
  technology
* Target setting: Lenzing raises the bar even higher and sets new sustainability
  goals

The Lenzing Group, the leading global supplier of sustainably produced specialty
fibers, presented its Sustainability Report 2020 on April 22, 2021, World Earth
Day. Featuring the title "Stand up for future generations", Lenzing once again
emphasized its commitment to taking responsibility beyond the products it makes.
The non-financial report, prepared in accordance with the reporting standards of
the Global Reporting Initiative (GRI) and the Austrian Sustainability and
Diversity Improvement Act (NaDiVeG) and reviewed by KPMG Austria GmbH
Wirtschaftsprüfungs- und Steuerberatungsgesellschaft, illustrates how the
company is responding to the global challenges of our time.

The 2020 financial year of the Lenzing Group was largely dominated by the COVID-
19 pandemic. Lenzing took short-term measures to safeguard its business
operations and mitigate the effects of fiber prices and fiber demand which came
under increasing pressure. The priority was to protect employees and strengthen
long-term partnerships with suppliers and customers. Following the current fight
against the coronavirus and its consequences, the company continues to move
ahead determinedly to achieve its sustainability targets, also against the
backdrop of such a difficult market environment.

"Even in times when fighting the coronavirus pandemic is the top priority,
Lenzing focuses on pressing ahead with climate neutrality and sustainability.
These will remain the dominant issues for humanity in the long term. At Lenzing,
we consider it to be an integral part of our strategic principles and our
responsibility to future generations to effectively deal with pressing
ecological challenges such as climate protection, resource efficiency and
biodiversity", says Stefan Doboczky, Chief Executive Officer of the Lenzing
Group. "Strategically, we remain fully on track and the implementation of our
key projects in Brazil and Thailand continues to proceed according to plan. With
our corporate priorities, we are consistently pursuing a major goal, namely to
make a zero-carbon future come true", Doboczky adds.

With the implementation of its science-based targets, the Lenzing Group actively
contributes to mastering the problems caused by climate change. In 2019, Lenzing
made a strategic commitment to reducing its greenhouse gas emissions by 50
percent per ton of product by 2030. The overriding target is to be climate-
neutral by 2050. The implementation of the two key projects in Brazil and
Thailand represents an important milestone on this journey. Thanks to its
excellent infrastructure, the production plant in Thailand conceived as a CO2-
neutral site can be supplied with sustainable biogenic energy. The plant in
Brazil will feed more than 50 percent of the electricity generated into the
public grid as renewable energy and feature a positive net CO2 balance.

The launch of the first carbon-zero TENCEL(TM) fibers certified as CarbonNeutral
(R) products in accordance with The CarbonNeutral Protocol - the leading global
framework for carbon neutrality - represents another important milestone from
the reporting year. As of June 2021, Lenzing will also market the first VEOCEL
(TM) branded lyocell fibers as certified CarbonNeutral(R) products. The
establishment of the Renewable Carbon Initiative with the aim of speeding up the
transition to renewable carbon serves as a further example of the successful
path that Lenzing and its partners are taking towards a zero-carbon future.

Zwtl.: Promoting the circular economy

Lenzing also sets standards for the entire fiber, textile and clothing industry
with respect to the circular economy which is of such crucial importance in
climate and resource protection. In order to enhance resource efficiency and
offer a solution for the global problem of textile waste, the company developed
the REFIBRA(TM) recycling technology. REFIBRA(TM) is the only technology in the
world enabling the production of new lyocell fibers on a commercial scale from
cotton scraps derived from manufacturing cotton clothing as well as from used
garments. In this way, an important contribution is made to promoting
circularity in the textile industry.

In line with the vision, "We give waste a new life. Every day", Lenzing strives
to make textile waste recycling a commonplace and standard process, just like
paper recycling. Lenzing set a new sustainability goal for itself in 2020 and
implemented measures to turn this vision into reality. The company aims to
manufacture staple fibers on an industrial scale containing up to 50 percent
recycled material by the year 2025. "It is our declared goal to give new life to
waste generated in all aspects of our core business and to develop recycling
solutions as a means of closing production cycles whenever possible in
collaboration with potential partners within and outside of the current supply
chain", states CEO Stefan Doboczky.

Zwtl.: New level of transparency in the textile industry

In addition to environmental protection, the issue of transparency along the
supply chain poses a major challenge to the textile industry. Working in
cooperation with TextileGenesis(TM), Lenzing offers an innovative solution to
ensure greater transparency on the basis of blockchain technology. Following
several successful pilot projects with renowned fashion brands, this digital
platform was ultimately launched in 2020 to enable the traceability of textiles,
from the fiber to all stages of production and distribution. Thanks to the
innovative Fibercoin(TM) technology of the TextileGenesis(TM) platform, Lenzing
and its partners are able to issue so-called "blockchain assets" in direct
proportion to the physical fiber deliveries of the brands TENCEL(TM) and LENZING
(TM) ECOVERO(TM). These digital assets function like a "fingerprint" and thus
prevent adulteration. More than 100 customs and partners along the textile
supply chain were able to successfully conclude the onboarding process by the
end of the 2020 financial year.

Zwtl.: Successes and Awards

During the 2020 financial year, the Lenzing Group received numerous awards for
its achievements in the field of sustainability:

* Lenzing underwent assessment by the non-profit environmental organization CDP
  for the first time in 2020 and was the first new entrant to secure a double
  'A' score in the categories Climate and Forest.
* ISS ESG, one of the most highly recognized rating agencies in the field of
  sustainability, raised Lenzing's sustainability rating from "C+" to "B-", the
  highest rating in the category "Paper & Forest Products". As a result, the
  Lenzing Group is positioned among the top 10 percent of rated companies. The
  "Prime Status" of the Lenzing Group was also confirmed.
* Lenzing achieved the highest category for the first time in In Canopy's Hot
  Button Ranking. The Canadian environmental organization particularly
  highlighted our continuous leadership regarding sustainable procurement and
  efficient use of resources over the past years.
* In December Lenzing won the prestigious "Building Public Trust Award 2020" for
  the best climate reporting on the Austrian ATX. The jury emphasized Lenzing's
  commitment to a holistic climate-related strategic alignment and clear
  targets.
* In addition, Lenzing won the Austrian State Prize for Innovation. This award
  recognizes Lenzing's achievements and its strategy to grow exclusively on the
  basis of sustainable innovations. Lenzing convinced the jury with its LENZING
  (TM) Web Technology. The novel process combines fiber and nonwovens production
  in only one step, setting new standards in terms of efficiency, circularity
  and ecological sustainability.

Zwtl.: Target setting: Lenzing raises the bar even higher

The Lenzing Group operates in line with three strategic principles within the
context of its "Naturally positive" sustainability strategy: partnering for
change, advancing circularity and greening the value chain. In this regard, the
focus is on those areas in which Lenzing can achieve the most to promote a more
sustainable world. On this basis, Lenzing has defined various focus areas in
order to demonstrate its commitment to further advance the Sustainable
Development Goals (SDGs) of the United Nations:

* Sustainable raw material sourcing
* Decarbonization
* Responsible use of water
* Sustainable innovations
* Partnering for systemic change
* Encouraging and empowering people
* Enhancing community wellbeing

The Lenzing Group defined ambitious sustainability targets in each of these
strategic core areas. Other objectives were added in the year under review to
provide further impetus to Lenzing's efforts on its path to a sustainable
future. More information about the goals and implementation of the "Naturally
positive" sustainability strategy as well as measures taken in the fight against
the COVID-19 pandemic is available in the Sustainability Report 2020 [https://
www.lenzing.com/investors/publications] of the Lenzing Group.

Zwtl.: A message to our future

At the Lenzing Group, we look above and beyond the products themselves and
assume responsibility for future generations. This has been Lenzing's brand
promise for more than 80 years. The company conveys precisely this
responsibility and displays its inherent drive and vision in the multi-media
campaign #ALetterToAChild [https://www.lenzing.com/letter-to-a-child] in which
employees were asked to write a letter to the most important people in their
lives, namely their children and grandchildren. You can find out more about the
campaign in the Lenzing Sustainability Report 2020.

Photo download [https://mediadb.lenzing.com/pinaccess/
showpin.do?pinCode=IzOT4dExai68]
PIN: IzOT4dExai68

Further inquiry note:
Daniel Winkelmeier
Vice President Corporate Communications a.i.
Lenzing AG
Phone: +43 676 7579843
E-mail: d.winkelmeier@lenzing.com

end of announcement                         euro adhoc
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issuer:       Lenzing AG

A-4860 Lenzing
phone:        +43 7672-701-0
FAX:          +43 7672-96301
mail:         office@lenzing.com
WWW:          http://www.lenzing.com
ISIN:         AT0000644505
indexes:      WBI, ATX
stockmarkets: Wien
language:     English

EAX0002    2021-04-22/08:03

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