tesa SE: Our Responsibility – Our Commitment
Report 2011

A vivid Tradition of Responsibility

Global Compact

Ban Ki-moon, U.N. Secretary-General (UN Photo/Mark Garten)

January 31, 2001, at the World Economic Forum in Davos: Then UN Secretary General Kofi Annan calls on
companies that operate internationally to take an active stance in meeting the challenges presented by globalization.
His vision: a global pact based on universally accepted social and environmental principles.

Today, companies from more than 135 countries, international
employee associations, civil society organizations, governments,
and United Nations organizations are involved in the Global
Compact. Under the auspices of the current UN Secretary
General, Ban Ki-Moon, the world’s largest corporate citizenshipinitiative is moving forward.
The ten principles, on which the pact is based, covering theareas of human rights, labor standards, environmental protection, and the fight against corruption, have long formed part ofthe corporate values of tesa. Our membership in the Global
Compact underscores this vivid tradition. All of tesa SE’s activities related to commitment and involvement are subject to acontinuous improvement process. In this current issue, the Progress Report 2011, we provide an insight into the developmentof our activities and projects – with regard to the ten principlesof the UN Global Compact and our own corporate responsibility
strategy.

The ten principles of the UN Global Compact
Principle 1: Businesses should support and respect international
human rights in their own sphere of influence

Principle 2: They must ensure that they are not complicit inhuman rights abuses

Principle 3: Businesses should uphold freedom of associationand the effective recognition of the right to collective bargaining

Principle 4: All forms of forced and compulsory labor must be
eliminatedPrinciple 5: The use of child labor must be abolishedPrinciple 6: Discrimination with respect to employment andoccupation must be eliminatedPrinciple 7: Businesses should support a precautionary approach to environmental challenges

Principle 8: Initiatives should be undertaken to promote greater
environmental responsibility

Principle 9: The development and diffusion of eco-friendly
technologies is to be encouraged

Principle 10: Businesses should work against corruption in all its
forms, including extortion and bribery

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Progress Report 2011
As a member of the United Nations Global Compact, we havecommitted ourselves to reporting annually on the progress of ourinitiatives. This helps facilitate a regular interchange of information with those around us and documents our projects aimed at
putting the ten principles of the Global Compact into practiceand firmly implementing them within our company.
The Progress Report 2011 provides you with an overview ofour worldwide commitment and involvement in the fields ofhuman rights and labor standards, environmental protection,
the fight against corruption, and society. tesa has traditionallytaken a sus- tainable approach that ensures both continuity anda continuous improvement process. With more than 50 affiliates

worldwide, there are a large number of projects involved. For
that reason, this report is limited to a representative selection ofcurrent initiatives.
We began publishing our Progress Report in an online version
in 2008. In addition to the advantage of better accessibility,
an online report also offers opportunities for regular updates.
You can also visit the “Responsibility” section of our website forcomprehensive information on the topics of the environment,
quality, employees, and social matters:
www.tesa.com/company/responsibility.

Declaration of Support

Human Rights and Labor Standards

Membership based on firmly held convictions

The human factor as a determinant of success

We are firmly convinced that binding values and a sustainablebusiness policy are prerequisites for economic success.
>> Page 4

Numerous activities in the areas of employee qualifications
as well as occupational health and safety characterized theyear 2011. >> Page 5

Environmental Protection

Compliance and Fair Trade

Worldwide initiatives

Integrity and proper conduct

At present, tesa is making progress in 46 environmental projects.
Examples from the areas of energy, waste reduction, and ecofriendly technologies and products. >> Page 10

We pay strict attention to compliance with laws and guidelines.
A central co-ordination unit combines all associated processes
and activities. >> Page 16

Social Projects
Strategy with regional facets
Our social commitment and involvement is reflected in over
40 projects worldwide. A new project combines environmental
protection with corporate volunteering. >> Page 173

Declaration of Support“Responsibility is traditional at tesa: We see it as
an important investment in the future.”“2011 was a very special year for us, as it saw the tesa brandcelebrate its 75th anniversary. Once, the name was merely synonymous with a small roll of adhesive tape. Today, tesa is one of
the world’s leading companies in the self-adhesive technology
segment. Our success story is not just associated with innovations, quality and technological progress. Traditionally, the acceptance of responsibility is one of the defining factors in thisdevelopment. We underscore our sustainable business policy
through our membership of the United Nations’ Global Compact.
To mark the brand’s 75th anniversary, we have in Germany
entered into a new partnership that combines environmental
protection with employee volunteering. With a total of 75,000
young oak trees, we are supporting a land restoration project in
the Lower Saxony Elbe valley plain – part of the UNESCO ElbeRiver Landscape biosphere reserve. The first area was planted in
the fall of 2011. The tesa teams will continue to reforest the oakwood in 2012.
In 2011, our many environmental projects demonstrated that itis the sum of the individual components that set great things inmotion. What impresses me personally is that many initiatives are
the direct result of ideas and suggested improvements from ouremployees. Thus, with the aid of small and large measures, wehave managed to save energy and cut waste. At product level,
too, we are continually forging ahead with our efforts to protect
the environment. In technological terms we achieved a quantum
leap with the commissioning of the globally unique ACX plant forthe production of double-sided acrylate adhesive tapes for highstrength permanent adhesive bonds.
The patented process that was developed in-house by tesa
stands out because of a significant reduction in the use of solvents and energy and no use of process water whatsoever. In
2012, we will be launching the entire product line for industrial
customers onto the market.

Thomas Schlegel,
CEO of tesa SE

With our tesa ecoLogo® products,
we now offer consumers a complete
range of especially eco-friendly
products in the office segment. With new ecoLogo® solutions formasking, fixing and repairing, we will also be setting an ecological example in the construction and DIY markets in 2012.
The public “Kleben Sie ein Zeichen”-(“Stick a Sign”) competition also acted as a signal in 2011. tesa supported regional sustainability projects throughout Germany with a total of 50,000
euros. The aim was to back inexpensive creative ideas with amajor impact. 80 projects were set up on the campaign page
online. Around 37,000 people participated in the voting and selected the 12 best projects.
In 2011, we pressed ahead with our global social activities. The
focus here was on long-term partnerships and volunteering work
to help children and young people. Furthermore, our commitment to expanding our training offers remains undiminished. The
extensive communication of our globally applicable values andguidelines is part of this personnel training and qualification. In
order to be able to combine the associated processes practically, we set up a central co-ordination unit for compliance. In
addition, various specialists are available to provide specialist
advice on topics including anti-corruption, data protection, antitrust law, environmental protection and industrial safety. Consumers around the world trust in our brand and our company.
This is the true basis of our success. We intend to consistently
deliver on our value proposition in future too and to continue topursue our sustainable business policy within the meaning of the
UN Global Compact.

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Human Rights and Labor Standards
The human factor as a determinant of success
People are the foundation of our business success – people likeour own employees as well as customers and suppliers. With
this in mind, compliance with and advocacy of international human rights are just as much a part of our principles as unimpeachable labor standards. We have firmly established theseprinciples with initiatives that include the internationally applicabletesa Code of Conduct and the worldwide tesa Purchasing Charter, which governs our cooperation with suppliers. The content of
the policies and rules associated with these initiatives formed an
integral component of numerous staff development measures in
2011, too.

In terms of industrial safety, we were again able to continue thepositive trend of past years and further reduce our below-average accident figures. In addition, we focused continually on further compliance issues. The initiatives included the establishment of a special compliance communication platform on theintranet, a training film on the subject of data protection produced in collaboration with Beiersdorf, training on the anti-corruption guidelines as well as the implementation of the tesa “Antitrust Compliance Program”, which involved training on the subject of antitrust law at executive board, management and sales
level worldwide.

Code of Conduct

Purchasing Charter

Binding rules of conduct

Minimum standards for strategic purchasing

The tesa Code of Conduct defines clear values and conduct
guidelines for all employees of the tesa Group. Its content is an
integral part of training courses and workshops. >> Page 6

Supplier qualification, evaluation, and development have been
harmonized across the Group. This helps us ensure that ourinternationally binding minimum standards are met. >> Page 7

Employee Qualification

Occupational Health and Safety

Range of further training expanded

Low accident figures

Our employees are the most important capital for securing tesa’s
success. Our corporate culture and targeted staff development
and support initiatives take this fact into account. >> Page 8

In 2011, the number of notifiable industrial accidents fell once
again and we were able to reduce the average number of accidents even more significantly. >> Page 95Code of Conduct

The tesa Code of Conduct defines values and clear conduct guidelines.
Its content is an integral component of training courses and workshops.

Binding rules of conduct
Respect, honesty, trust, tolerance, and integrity – these are theprinciples we apply in our business, principles that have not only
made us successful in the past, but also guide us in the present
and will continue to do so in the future. The rules of conduct
associated with these principles are specified in a mandatory
worldwide Code of Conduct. During this reporting year, we implemented communication and training initiatives to ensure thatthese ideas take even firmer hold within the company.
The rules and criteria incorporated into the tesa Code of Conduct, which is derived from our corporate values and the ten
principles of the UN Global Compact, provide clear guidance.
The Code of Conduct strengthens trust in the performance andintegrity of the tesa Group. No matter what their position or title,
we expect all employees to abide by our ethical principles andconsistently apply them in everything they do. We demand that
our executives not only demonstrate exemplary compliance withthe rules of conduct, but also ensure at the same time that they
actively communicate the rules to others.
Since the Code of Conduct was introduced, all executives
have been required to complete an e-learning program. For thecurrent communication process with employees we also makesupporting presentation material available to all managementlevels. In order to keep the topic at the forefront, the Code of
Conduct is also an integral component in our introduction seminars for new employees, leadership training, in the Sales Qualification Program for sales staff and in our management development programs for executives and junior managers.

The Code of Conduct establishes our most importantprinciples in six main topics:
1. Adherence to legal regulations
We do business lawfully and strictly observe the laws of thecountries in which we are active.

2. Fair competition
We do not gain market advantages through unfair or illegal
practices.

3. Protection of tesa net assets
We deal carefully with the company’s legally protected information, net assets and resources.

4. Socially acceptable working environment
We ensure a socially acceptable, reliable and motivating working environment. We soundly reject child and forced labor,
discrimination or the like. We also expect the same from ourbusiness partners.

5. Personal integrity
We promote the highest level of personal integrity, and fairness
among our employees and avoid situations where personal
interests conflict or may conflict with those of our company.

6. Social commitment
We take our responsibility to future generations seriously andwork to ensure sustainable development in all the relevant
areas: economic, ecological, and social.

Download „Code of Conduct“6Purchasing Charter

The qualification, evaluation, and development of suppliers are handled according to standard
criteria at all tesa locations, ensuring that our binding worldwide minimum standards are met.

Minimum standards for strategic purchasing
We at tesa are firmly convinced that sustainable, responsible
corporate conduct must go beyond the individual company itself.
That’s why our internal rules of conduct have long applied to ourcooperation with suppliers around the globe as well. To provide astandardized framework for our internationally applicable core
principles, the Strategic Purchasing division of tesa establishedthe tesa Purchasing Charter in 2008. Since then, we have continuously promoted the minimum standards we apply worldwide
and expect our partners to meet in the areas of human rights,
labor standards, environmental protection, and the fight against
corruption.
By signing our contract terms and conditions, suppliers make abinding commitment to operate in accordance with the ten fundamental principles of the UN Global Compact. In our cooperation with suppliers, we strive to establish long-term strategic
partnerships and pursue a continuous improvement process.
This includes jointly established goals and monitoring the degree

to which they are met, site visits, and certification under the ISO
14001 environmental standard and ISO 9001 quality standard.
Sustainable supplier development is managed centrally at tesa
by means of so-called product group strategies. They define theexisting strategic partners of tesa SE on the one hand, while on
the other hand providing insights into areas requiring the qualification of new suppliers. All results from the supplier appraisals
are fed in, as are any measures subsequently agreed. The product group strategies are coordinated across functions with theindividual tesa production sites and Research & Development.
This enables us to ensure that the defined measures are implemented and that the portfolio of suppliers continues to meet ourhigh demands in terms of technology and sustainability going
forward.

Download „Purchasing Charter“7Employee Qualification and Training

Our employees are the most important capital for securing our success.
Our corporate culture and targeted support initiatives take this fact into account.

Quality increase in continuing educationand training
All over the world, employee integration and development areamong the most important factors contributing to our success.
In 2011, we used this to qualitatively expand on the good foundation of our extensive training program, focusing again on the
successful Sales Qualification Program, which encompasses 30
target-group-specific courses in a large number of different languages. At the same time, the Code of Conduct and its rules
also play a central role. During the current reporting year, some
1,220 employees from international Sales and Research & Development attended some 340 training days. Furthermore, we conducted 16 additional training courses focusing on tesa’s in-houseand especially eco-friendly ACXplus technology. The courses
were attended by 160 employees from all over the world.
But not only does the qualification of sales staff make an important contribution to the implementation of the tesa corporate
strategy. We are increasingly encouraging our employees to passon their own expertise as trainers, in order to integrate it effectively within the company in the long term. We provide the internal trainers with the methods and pedagogic skills they need tocommunicate the predominantly technical know-how.

The three-day intensive seminar is designed for employees whoteach regularly and plan their own training measures. This gave
the first six-strong team of participants valuable tools for refining
their training and design skills.
The qualification of junior personnel who have the potential totake on future managerial responsibilities remains one of the
focuses of tesa’s employee qualification activities. The appraisal
conducted upon completion of the training of the first group
showed that this program not only covers managerial issues
optimally, but also convincingly conveys other relevant subjects
including Corporate Social Responsibility and the content of thetesa Code of Conduct. A second group of young talents has
already started to emerge for 2012. The tesa management isdetermined to proceed with further management training initiatives. One initiative that focuses on the legal aspects of managerial work got off the ground in 2011. tesa is establishing thismeasure as an integral part of the global qualification of all tesa
managers. In the various countries, the focus is on subjects suchas anti-trust regulations and legally compliant management.

During the current reporting year, we expanded the international“Train the Trainer” training program in a targeted manner. In excess of 90 participants have now successfully completed thebasic module “From a presenter to a trainer”, meaning that wewere able to add an advanced module for the first time in 2011.
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Occupational Health and Safety

We improved our occupational health and safety once again in 2011, with thenumber of occupational accidents falling by a further 12 percent overall.

Low accident figures
Prevention is the best form of protection from injuries and jobrelated health risks. Our extraordinarily low accident rates demonstrate that we are on the right track with our occupational
health and safety initiatives and training measures at all plants.
Our internal processes for reducing risk are a decisive factor inthis. These processes, which combine risk identification andassessments, employee responsibility and a continual improvement process incorporating everyone involved have enabled thecompany to safely identify and eliminate many potential hazards.
All around the world, tesa is subject to our Occupational Safety
Guidelines, which are aligned to the international OHSAS 18001
standard. In terms of safety, we regularly raise employee awareness of the issue worldwide – including through training on conduct that is conducive to safety and health, prevention of explosions and fires, fire extinguishing drills, detailed operating procedures for all production facilities, and targeted employee training.
This approach has ensured a steady decline in the number ofoccupational accidents subject to mandatory reporting. Acrossall international tesa locations, the number fell from 171 in theprevious year to 15 in 2011. The average number of days lost fellby 15 percent compared to the previous year.
In addition to safety drills and on-site analyses, together with ourparent company Beiersdorf and other affiliates, we offered aseveral-day foundation course for safety officers in 2011.
The seminar focused on health and safety at the workplace. In
our Hamburg plants, this was complemented in 2011 by new

health and safety programs. We also responded to the nuclear
disaster in Fukushima by equipping all production facilities andlogistics centers that receive goods from Japan with radiation
meters. The responsible employees were trained on how to use
the equipment and how to assess measured values. Fortunately
no contaminated goods were detected.
At tesa, the systematic identification and risk assessment of potential hazards form the cornerstone of our ability to preclude
faults, mistakes, and improper conduct wherever possible. To
this end, in 2011 we were able to further develop our risk assessment and elimination system in line with the TOP principle.
This analytical tool, which covers three categories – “technical”,“organizational”, and “personal” – improves the assessment ofpotential hazards and thus facilitates the evaluation and prioritization of potential solutions.
We also consistently advanced our high standards in terms ofoccupational health and safety initiatives during the project planning of new systems and facilities. The early identification of possible danger areas was the focus. The aim was to take the correct precautionary measures in advance.

1. The number of industrial accidents increased in 2010 from
16 to 17 due to a late report after the COP publication.
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Environmental Protection
Worldwide initiatives
Leaving an intact environment behind for subsequent generations is one of tesa’s stated corporate goals. All of our long-term
production sites are certified according to the international ISO
14001:2004 environmental standard. tesa’s “green thread” isbased on a precautionary approach: We promote the international exchange of information between our environmental experts and actively take the initiative. Part of this strategy involves
the development of our own production technologies to enable
solvent-free production. In addition, we are increasingly pursuing
our commitment and involvement at product level: For instance,with the tesa ecoLogo® sub-brand we now offer a full range of
eco-friendly products for the office segment, and in 2012, will
also expanding our green product range to encompass the con-struction and DIY segments, making us the first adhesive tapemanufacturer to offer such solutions in these segments. With thesustainability competition “Make a difference that sticks”, we
promoted regional sustainability projects in Germany for the firsttime in 2011 and aim to continue this initiative owing to its huge
success.
Ongoing monitoring and improvement of specific key indicators, such as the reduction of energy consumption, CO2 emissions, use of solvents, VOC emissions and waste, have long
been an integral part of our approach to environmental management. In total, our involvement extended to 46 individual projects,
some of which are detailed.

Environmental Goals, 2007 through 2012

EnergyInternational activities

Raising awareness

Clearly formulated goals are the key to our ambitious environmental program, which encompasses projects spanning theentire globe. >> Page 11

Exemplary projects at tesa plants in Germany, China and Italy led
to a significant reduction in energy consumption in 2011.
>> Page 12

Reduced Solvent Use

Waste Management

Eco-friendly technologies

Small steps, big impact

Compared with conventional processes, the patented ACX technology developed by tesa offers huge environmental benefits.
>> Page 13

Changes in behavior start with the right mindset: Reducing
waste and proper recycling protect the environment and conserve resources. >> Page 14

Commitment at Product Level
Consumers benefit from tesa
Sustainably produced goods like the tesa ecoLogo® range help
protect the climate. The winners? People all over the world.
>> Page 15
10

Environmental Goals, 2007 through 2012

Clearly formulated goals are the key to our ambitious environmental program,which encompasses projects spanning the entire globe.

International activities
Our environmental program for the period from 2007 through2012 involves ambitious, binding goals. We monitor the degree
to which we meet these internationally applicable environmental
goals through a global monitoring program based in each caseon constant production quantities. The current five-year plan also
includes emissions of volatile organic compounds (VOCs). Our
activities in this area have already yielded clear successes: From2007 until 2011, we were able to achieve a 49 percent reduction,
meaning that we have almost met our target of a 50 percent
reduction by 2012. This is also directly connected with the ongoing further development of our production technologies, where
we are consistently eliminating solvent use wherever possible. In
2011 this approach led to a decrease of 12 percent over 2006.

Environmental goals 2007 through 2012
VOC emissions- 50 %

Solvents used

- 15 %

Energy consumed- 10 %

Waste

- 5%

CO2 emissions in Europe- 10 %As in the crisis year of 2009 and the subsequent year 2010, ourfinal figures for energy consumption in the reporting year fell
short of our expectations, but improved significantly comparedto the previous year’s level. With regard to the constant 2006
production volume, which we use as the fixed benchmark acrossall areas, we posted a decrease in energy consumption worldwide of 10 percent.

11Energy

2011 was characterized by numerous energy-saving measures and initiatives.

Raising awarenessAfter-effects of the worldwide financial and economic crisis could
still be felt in some areas in 2011. In this reporting year they affected among other things energy consumption and generated
waste. Nevertheless, the company was able to implement continuous and targeted improvements. For example, in the tesa
plant in Offenburg, the project begun in 2009 “Active Environmental Protection through Reduced Waste and Energy Use”
continued successfully. Under the motto “Small steps, big impact”, employees contributed numerous suggestions for improvements for the third year running, resulting in 20 individual
projects in 2011.
Following on from 2010, the Offenburg plant realized further
energy-saving projects in the current reporting year. For instance,lighting in the warehouses and production facilities was modernized on an ongoing basis, resulting in annual energy savings ofmore than 260 megawatt hours. Within the framework of anotherproject, ramps and loading bays at a warehouse were insulated.
The plant expects energy savings of approximately 120 megawatt hours per year starting in 2012. The location continued toreplace the activated carbon in two adsorbers used for waste air
purification. This led to a significant increase in efficiency and will
result in annual energy savings of around 425 megawatt hours.
Finally, in November, redundant energy supply lines (steam andcondensation lines) were decommissioned and dismantled. Thisis expected to lead to annual energy savings of around 175 megawatt hours starting in 2012.
In 2011, further energy-saving projects were on the agendas ofother tesa locations. One example of this is an extremely successful project in Suzhou (China), where process control parameters for the thermal post-combustion facility were optimized tosuch an extent that it was possible to achieve an energy savingof around 2,200 megawatt hours. At the same location, the replacement of old bulbs and fluorescent tubes with modern LED
lamps led to an annual reduction in energy consumption by approximately 100 megawatt hours.

Two comprehensive energy-saving projects were also successfully completed in the Italian tesa plant in 2011. The optimization of a solvent recycling plant, including the renewal of theactivated carbon and replacement of the existing cooling towers,
is expected to result in a reduction in energy consumption ofaround 20 percent (approx. 2,700 megawatt hours) compared to2010 starting next year. The state-of-the-art ventilation systeminstalled and commissioned in 2010 at tesa’s Hamburg-Hausbruch plant is proving significantly more efficient than initiallyassumed. Instead of the originally estimated 500 megawatt
hours, it was possible to save as much as 800 megawatt hours
during the current reporting year. In 2011, the plant also replaced
the existing street lighting with modern LED technology. This is
expected to lead to annual energy savings of around 70 megawatt hours. In the course of maintenance measures, the plantalso replaced four of the previously unregulated heat circulation
pumps with new, energy-efficient speed-controlled models. As aresult of this measure, the plant anticipates a further reduction byapprox. 120 megawatt hours.
The comprehensive technical modernization of the ventilation
system and the corresponding system control facilities in thetechnology center of tesa SE was also brought to a successful
conclusion. Starting in 2012, we anticipate annual savings inenergy consumption of over 3,000 megawatt hours with a simultaneous reduction of CO2 emissions by around 700 metric tons.
Due to the positive experience to date, the measure will be extended to include the cellar rooms. The entire project has received a subsidy commitment from the Hamburg Authority for
Urban Development and Environmental Affairs.

12Reduced Solvent Use

With the new eco-friendly ACX technology, tesa is revolutionizing
the high-strength permanent adhesive market.

Eco-friendly technologies
Part of our continuous improvement process, and an essential
component of the tesa environmental program, is our consistent
shift toward eco-friendly production technologies. Since the firstlarge-scale system for solvent-free coating was put into operation at the tesa plant in Offenburg in 2002, we have been determinedly expanding on this technology, which was developed andpatented by tesa. Our plants in Offenburg and Italy have produced the majority of their products without using solvents forseveral years now. In the case of products that, for technicalreasons, cannot yet be produced without solvents, we use advanced systems for solvent recovery and reuse.
tesa has succeeded in making a technological break-throughwith its new proprietary ACX technology, which has been in use
since 2011. The state-of-the-art method, subsidized by the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety, enables eco-friendly production of double-sided
acrylate adhesive tapes for high-strength permanent adhesive

bonds. What makes the globally unique production unit started
up in the tesa plant in Hamburg-Haus- bruch so special is thefact that, compared with conventional technologies, the new
method only uses solvents in the first process step, extracts
them again immediately during the follow- ing drying process
and returns them to the cycle. Thanks to this technology, eachyear solvent and energy consumption is cut by 50%, CO2 emissions are reduced by around 2,000 metric tons and processwater can be dispensed with entirely. These results have also
won praise from our customers. Following initial successful applications in various test markets, the introduction of the complete product range will take place in 2012. The extremely resistant adhesive tape solutions are ideal for use in permanent adhesive bonds in the automotive, electrical, wind and solar industries
as well as for applications in the illuminated sign market or in theconstruction industry.

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Waste Management

Changes in behavior start with the right mindset: Reducing waste and intensifying proper
recycling protect the environment and conserve resources.

Small steps, big impact
Producing goods of any kind unavoidable involves waste. To
reduce the quantity of waste generated and protect both theenvironment and natural resources, we hold regular training sessions worldwide to ensure that everyone involved becomesaware of how to prevent unnecessary waste and how to recycle
properly. Beyond that, we are always looking for new technicalsolutions and partners that enable us to recycle as much as possible.
The tesa plant in Offenburg drove forward the project “Active
Environmental Protection through Reduced Waste and Energy
Use”, which was successfully launched in 2009. As in the area ofenergy, the project’s motto is also “Small steps, big impact”.
Striking communications measures raise staff awareness of theissue and, when combined with incentives offered as part of
employees’ variable bonuses, help to involve all affected departments in the problem-solving process and prompt employees toproactively make and implement suggestions for improvements.
Other locations like Suzhou/China have meanwhile adopted theissue of waste reduction in their target agreements and linked it
to the payment of the variable bonus. The location in Italy will be
adopting this procedure in the coming year.

tesa’s Offenburg plant put a whole host of other suggested improvements into practice in 2011. Among other things, the location installed a facility that makes tearing open bags of raw materials easier and ensures that virtually all of the content goes into
production by means of vibration. Prior to this, a residual amountoften remained in the bags following emptying. Other projects
and their results: Mass losses incurred when starting up thecoating facility for the production of tesa Powerstrips® have been
halved by switching to a double shift operation and a more efficient use of materials by optimizing coating and cutting widths.

14

Commitment at Product Level

Products aimed at conserving energy and sustainably produced merchandise help
protect the climate. The winners? People all over the world.

Consumers benefit from tesa
Responsibility for the environment concerns us all – at tesa, weare convinced of it. That’s why we consistently pursue our environmental commitment at product level. Among the pioneeringsolutions are our eco-friendly tesa ecoLogo® range of products.
In addition, tesa products directly help consumers to save energy. Our top-seller and the market leader in this area, tesamoll®,
for sealing windows and doors, can reduce heating energy consumption by up to 35 percent and can cut costs by over 100
euros. With its tesa ISO SYSTEM®, tesa also offers homeowners
the option of simple and effective do-it-yourself interior roof insulation.
Public debates on the topic of climate change, dwindling resources and environmental protection have led to growing consumer demand for sustainably produced products. We are responding to this trend with the sub-brand tesa ecoLogo®, andstarting in 2012 we will be the first adhesive tape manufacturer tooffer more “green” products for masking, fixing and repairing forthe construction and DIY markets. Eco-friendly, solvent-free production and the use of predominantly organically based materials
and recycled packaging are the main environmental benefits that
DIY enthusiasts can use to protect the environment. In 2010, thiswas preceded by the introduction of the first tesa ecoLogo®

products in the office segment, where the eco-friendly tesa adhesive tapes and glue sticks, correction tapes and adhesiverollers are now among our top-selling product. As a result, thepaper, office supplies and stationery industry association awarded us the 2011 sustainability prize in the current reporting year.
Special attention to the issue of sustainability generated tesa in
Germany 2011 with a contest called „Stick a sign!“. This was
associated with the public call to submit regional sustainability
projects and to apply for individual project subsidies of between
2,000 and 5,000 euros. The primary goal was to back smaller,
regional creative ideas with a major impact. In the end, there wasa choice of 80 different projects on the online campaign pagewww.zeichen-kleben.de, and some 37,000 people participatedin the vote. In total, tesa provided 50,000 euros for the 12 best
projects. The projects supported included the introductionof a sustainability label for regional projects, the construction ofa water system in the playground of a daycare center and amusical about the climate staged by an elementary school.
Considering its overwhelming success, the competition will beheld again in 2012.

15

Compliance and Fair Trade

At tesa, compliance with laws and internal guidelines is a matter of course. A central functional unit
combines all associated processes and ensures adherence to international standards.

Integrity and proper conduct
ComplianceFair Tradetesa traditionally stands for trustworthiness. This image hinges
on virtues that guarantee free markets and fair competition while
protecting people and the environment. The tesa Group categorically rejects all forms of corruption and unlawful or immoral
conduct. In order to be able to consistently ensure this worldwide, we actively protect our company and our employees
against possible risks. In 2011 we once again promoted and demanded active discussion of the subject of compliance and oursystem of values as laid down in the internationally valid tesa
Code of Conduct, including by means of communication tools
such as a special compliance platform on the intranet and training. The aim is to enhance awareness by means of targeted information and to prevent unintentional breaches of laws andregulations. Since the end of 2010, our employees have beenable to seek the advice of the central “Compliance Coordination”
office in the event of questions or doubts in individual cases.
The newly established function defines international standards
and ensures the efficient bundling of all compliance processes.
Its duties also include preparing status reports for the management team. The Compliance office pools eleven fields in total. In
addition, various specialists are available to provide expert advice on topics including anti-corruption, labor and competition
law, information technology and data protection, antitrust law, financial guidelines, environmental protection and industrial safety
or trademark and patent law.

Our activities focus, among other things, on antitrust law, which
promotes a free economy and prohibits distinct restrictive practices. In the current reporting year, we successfully introduced
our “tesa Antitrust Compliance Program” comprehensively. It
serves to raise awareness of matters relating to antitrust law andenable the implementation of a worldwide functional antitrust law
compliance system for the entire tesa Group. Besides providing
relevant information on antitrust law and possible violations, wehave set up internal communication structures and a network ofcompetent attorneys. This has enabled us to provide quick andsmooth training and information – both directly and via an eLearning program. We shall continue to pursue the topic actively
going forward.
In 2011, we successfully concluded the international training
sessions for all decision makers and employees with contacts
that could involve antitrust law issues, such as sales and marketing employees. In addition, we also offer a topic-related platform
on the tesa intranet. This page allows employees worldwide tofind out about conduct that complies with antitrust law in their
day-to-day business dealings and helps them find competentadvisors. In our international regions, guidelines that have been
modified to take into account the legal requirements in the respective countries and a catalog of examples of correct andincorrect conduct lay down what is and what is not permissible
under antitrust law.

16

Social Projects
Strategy with regional facets
The intensive social commitment of tesa SE and its affiliates was
also evident in 2011 in numerous projects. These projects are inline with our Corporate Giving Strategy, which we first formulated
in 2007 and which is incorporated into the tesa Code of Conduct.
In the current reporting year, we again helped children andyoung people with donations, sponsorships and voluntary work.
With a focus on long-term effect, we have already been involved
in most of the projects for many years.
Alongside fostering creativity, promoting education, and developing future talent in science and technology, these main areas
also include providing support to institutions that assist sick andsocially disadvantaged children.

In our activities, we focus in particular on volunteering amongtesa employees. Examples of this concept of “Corporate Volunteering” include our support for the Hamburg-based initiative
Mentor – die Leselernhelfer Hamburg e. V. or the assistanceprovided to the Suzhou Sunshine School in China for children
from families of migrant workers. People and the environment
are the focus of one new active sponsorship, launched in cooperation with the UNESCO Lower Saxony Elbe valley plain biosphere reserve to mark tesa’s 75th anniversary. The goal is toimplement specific measures to conserve the naturally diverse
and ecologically sensitive alluvial forest.

Commitment to People and the Environment

Fostering Creativity

Cultivating Biodiversity

Multifaceted commitment

To mark the brand’s 75th anniversary, tesa has entered into along-term partnership with the UNESCO Lower Saxony Elbe valley plain biosphere reserve. >> Page 18“Das macht Schule” and Hamburg-based initiative Mentor e. V.
are involved in fostering children’s creativity. >> Page 19

Promoting Education

Developing Future Talent in
Science and Technology

Improving educational opportunities
Educating children and young people is part of our Corporate
Giving Strategy. Examples from China and India. >> Page 20

Early specialization
In our role as a technology company, we support education andtraining opportunities for future talent, along with specific educational institutions. >> Page 21

Support for Institutions for Sickand Socially Disadvantaged Children
Improving opportunities
With scholarships, sponsorships, and volunteer work, we arecommitted to helping disadvantaged children and young people.
>> Page 22
17

Commitment for People and the Environment

To mark the brand’s 75th anniversary, tesa has entered into a long-term partnershipwith the UNESCO Lower Saxony Elbe valley plain biosphere reserve.

To mark tesa’s 75th anniversary in 2011, we expanded our environmental commitment at production and product level with afurther module: Active sponsorship for a land restoration projectin the Lower Saxony Elbe valley plain biosphere reserve combines environmental protection with corporate volunteering.
To establish new hardwood stocks throughout the entire biosphere reserve, tesa will be donating 75,000 young oak trees. At
the end of 2011, some 50 tesa employees embarked on the firstplanting session, in some cases with their families. Less than
three hours later the first section of the “tesa forest” had beenplanted with 75 new oak saplings. The next tesa teams will continue to reforest the oak wood starting in the spring of 2012 within the scope of corporate volunteering campaigns. Developing
new forest resources is considered indispensable for lessening
the greenhouse effect. Such activities also have a positive effecton biodiversity.

Established in 2002, the Lower Saxony Elbe valley plain biosphere reserve is part of the UNESCO Elbe River Landscapebiosphere reserve. It covers an area of nearly 570 square kilometers, starting about 100 kilometers southeast of Hamburg. The
aim of these nature conservation activities is to preserve anddevelop this floodplain landscape with its unique scenery andecological, cultural, social and economic values and functions ina way that serves the needs of both man and nature.

18

Fostering Creativity

Multifaceted commitment – our social commitment is reflected in over 40 projects
worldwide, focusing on children and young people.
Germany“Helping hands” by tesa
Last year, tesa entered into a new partnership with the non-profit
association “Das macht Schule”. The goal: In the context of thecorporate volunteering program, tesa employees become involved with Hamburg schools and together with pupils actively
work to combat the renovation backlog, because even in a metropolis such as Hamburg, finances are tight. Volunteering theirtime and a fresh coat of paint, 50 colleagues from Consumer
Marketing spruced up eight classrooms. Another 14 volunteers
from the Research & Development and Industry Market Management divisions redecorated two more classrooms.

Write stories and do craft projects with Tesalino and Tesalina
In 2011, around 1,500 school classes with in excess of 37,000
children from all over Germany took part in the “Tesalino and
Tesalina” story-writing, inventing and craft competition initiatedby tesa SE and Stiftung Lesen (Reading Foundation) for elementary schools and special education centers. Once again, they
demonstrated a wealth of creative ideas, this time on the themeof “Tesalino & Tesalina hot on the trail through Europe”. Since its
launch in 1999, the creative competition has captivated almost
half a million children. The project involves a renowned author
writing an exciting start to a story, which the children continueeither in writing, by making things or within the scope of othercreative activities.

Reading makes children smart – and happy
For ten years now, tesa has championed the cause of supporting children’s reading skills in order to prepare them better forschool and their later professional lives. In this regard, we arecooperating with the Hamburg-based initiative Mentor e.V.. Find
reading enjoyment by indirect means is one way to think of thework done by the volunteer mentors. For one hour a week, thementors take time to pass on their love of reading to children
aged eight to 16 in a fun and entertaining way. For a rising number of tesa employees as well as the children, the weekly readinghour has become a fixture in their calendars. Together with theirreading mentees – who often find access to books difficult – they
dive into the fantasy world of stories. It’s a win-win solution forboth sides: The children enjoy the undivided attention of their
mentors for an hour while striving to perfect their reading skills,
considered the gold standard in education, and the adults get tohave fun reliving a bit of their childhoods.

19Promoting Education

Improving educational opportunities – educating children and young people is part of our
Corporate Giving Strategy. Examples from China and India.
China. Educational opportunities for children of migrant workers

India. Education rather than quarry work

According to estimates, between 150 and 200 million migrant
workers in China have moved from rural regions to the booming
cities and coastal regions in recent years. For the children ofthese families, there is hardly any opportunity for a continuous
education. To improve their prospects, the tesa plant in Suzhou
has already been supporting the local “Sunshine School” since2008. With scholarships, “assistant teachers”, joint learning, fundraiser bazaars and various leisure activities, the employees help
pave the children’s way to a successful future. In October 2011
the plant awarded the “Sunshine Scholarship and Education
Assistance Awards” for the fourth time. Here 60 children andtheir teachers experienced an exciting day in addition to gaining
an interesting insight into the company and the world of adhesivetape.

Since 2006, tesa in India has been supporting the school for the“quarry children” of Yeleswaram by regularly taking on classsponsorships. With the aid of such donations, the children areable to attend the school constructed by the organization “wortund tat” in addition to receiving medical care. Without this assistance, they would have to slave away in the Yeleswaram quarryin Southern India for three euros a day – just like their parents
and siblings, with whom they usually share a tiny mud hut. To
help improve their chances for a better future, tesa took on thesponsorship of a class of around 60 boys and girls aged five toseven in 2011 via the foundation “Chancen für Kinder”.

20Developing Future Talent in Science and Technology

Early specialization – in our role as a technology company, we are committed to training
future talent, and we support specific educational institutions.
Germany. Active promotion of junior management talenttesa SE remained an active supporter of the Northern Institute ofTechnology (NIT) in Hamburg in 2011. In addition, the company isrepresented in the relevant industry advisory committees of Reutlingen University and the University of Applied Sciences (Hochschule für Technik und Wirtschaft) Berlin. The objective remains
to maintain close cooperation between training institutes andtesa in order to discover and support talents early on. In addition,tesa has continued and expanded its cooperation with other key
universities. The related activities primarily pursue two goals: On
the one hand, tesa strives to contribute to the promotion of scientific and technical talent, and, on the other hand, tesa’s involvement provides the opportunity to offer young academics anattractive start to their professional life – including at an international tesa location, depending on requirements.

Switzerland. Promotion of training and continuing education at
tesa Bandfix AG
As one of the currently 17 members of the “Sponsorengruppe fürdie Weiterbildung im Maler- und Gipsgewerbe” (Sponsor Group
for Continuing Education in the Painting and Plastering Trades),tesa Bandfix AG supports selected schools and workshops in
Switzerland. The association, which was founded back in 2000,
focuses on providing ideas and funding to support specificcourse programs aimed primarily at foremen and certified mastercraftsmen in the trades of painting and plastering. In addition, in2011 tesa Bandfix AG expanded its commitment to training
painters and flexo print specialists. In various cities in Switzerland, a tesa employee volunteers to provide instruction on topics
such as adhesive technology and applications engineering or thetheory and practice of mounting printing plates.

Germany. A taste of working life
Once a year, tesa gives its employees’ children from the 5th
grade and above a taste of working life at the “tesa Zukunftstag”(“tesa future day”). We offer them a behind-the-scenes look atnumerous activities, and in our labs, offices and workshops givethem ideas of working life. For example, by means of a paper
chase, the children can find out what kind of things a company
like tesa needs to buy. Equipped with a lab coat, protective goggles and safety shoes, they are given a guided tour of the technology center. In the process they are given answers to a whole
host of questions like: “What happens when you place dry ice
into water?” “How is film manufactured?” and “How many Germans are familiar with tesafilm®?” The “tesa Zukunftstag” hasbeen enjoying an outstanding response for many years. In 2012,tesa will be opening its doors to its employees’ children again.
21

Support for Institutions for Sick andSocially Disadvantaged Children

Improving opportunities – with scholarships, sponsorships, and volunteer work,
we are committed to helping disadvantaged children and young people.
France. Sweating for a good cause
A group of employees from the French tesa company took to thestarting blocks at the “Race of heroes” (“Course des Héros”) andin the process collected over 10,000 euros in support of the MVE
Foundation (“Fondation Mouvement pour les Villages d’Enfants”).
The organization has been giving new homes to children andyoung people from difficult family backgrounds for the past 50
years. The children often suffer from a lack of education and theconsequences of emotional coldness, abuse or neglect. The
MVE Foundation offers them a stable environment with pedagogic assistance and makes sure that siblings stay together. The
team of tesa athletes collected the first 5,000 euros before therace had even started: All runners had to apply as heroes on the
online event page and ask their friends to sponsor them. The
athletes only earned their entry fee for the unusual race by collecting 300 euros. tesa France then doubled the donation to a
total of 1,000 euros using the proceeds from the sale ofscrapped computers.

Poland. Donation and active help
In 2011, the Polish affiliate was among the active benefactors of aschool for deaf and partially deaf children named after the Polishcomposer and music writer Jósef Sikorski. Their commitment
focused on the financing of a safe playground. In future, ecofriendly and durable wooden elements, slides and rope bridges,a merry-go-round and several rocking horses on springs will help
the children to develop. But tesa in Poland is doing even more fordeaf and partially deaf children: Among other things by sponsoring a cross-country run organized by the Polish school association in 2011.

The center for deaf children in Poznán also gratefully received
funding for books and films for its library and film club. In addition, tesa also bought comfy, bright bean bags for lessons andreading classes. The affiliate intends to continue its commitment
in 2012.

Germany. Help for children with kidney disease
The tesa Converting Center Hamburg has been helping children
and young people with kidney disease for the past four years. In
addition to financial assistance, the focus is on giving the children memorable experiences that will brighten up their lives. In
the summer of 2011, the tesa Converting Center and the parents’association of the “Nierenselbsthilfe Hamburg e.V.” (a Hamburgbased association for those suffering from kidney disease) andthe KfH Nierenzentrum dialysis center hosted the traditional summer party. Under the motto “Living like the Vikings”, 30 children
and young people jointly discovered games dating back to theearly Middle Ages. The tesa staff took care of bodily needs andalso set up a theme-based craft table where the kids could makerunic necklaces and leather pouches. Just under half a year later,
the tesa Converting Center invited the children to a traditional
Christmas baking session. A total of 45 eager bakers – among
them 20 girls and boys – transformed the factory canteen into abakery and had one thing above all else: loads of fun!

Contact: tesa SE, Quickbornstraße 24, D-20253 Hamburg,
Tel.: +49(0) 40-4909-6597, Fax: +49(0) 40-4909-2236,
responsibility@tesa.com, www.tesa.de/company/responsibility