Ladies and Gentlemen, Dear Readers!

For Coca-Cola HBC Poland corporate social responsibility is not a "fashion" or "philanthropy". It is a practical expression of our values on which we build a sustainable development strategy of our company's operations for several decades ahead. It is also a response to ongoing changes and future challenges. Therefore the motto of our CSR report for 2013 is: "Sustainable values. Sustainable future".

As a beverage producer, we spare no effort to minimize our impact on rising water consumption. We are pleased to announce that between 2001 and 2013 we reduced the average water consumption in our production plants from 3.24 to 2.25 liter per liter of ready product. It is the result of consistent, regular and long-term investments in the modernization of our manufacturing lines and the implementation of a number of innovative solutions – very often proposed by our own employees, the fact of which we are particularly proud of.

Water resources in Poland are relatively small; as far as the amount of water per inhabitant is concerned, we are in the 22nd position among 27 European states. Coca-Cola HBC Poland feels jointly responsible for the protection of water resources in Poland and therefore we support this aim. For instance, we have been co-funding since 2005 the Kropla Beskidu Fund program managed by the Partnership Fund Foundation. As many as 90 projects with a total funding of over 1.2 million zloty were completed as part of the program by the end of 2013, in active involvement of nurseries, primary schools, NGOs and local communities. What is very important, the program also included over 250 consultations, workshops and training sessions.

Another significant trend of both global and local significance that we take into account is an increase in the number of overweight and obese people, both globally and locally. According to the World Health Organization (WHO) the number of obese people worldwide has doubled since 1980. Meanwhile, the OECD (Organization for Economic Co-operation and Development) report of 2012 says that about 12.5% of adult Poles suffer from obesity. WHO names two key reasons for this growth trend: a rising consumption of high-calorie foods and a substantial fall in physical activity; both result from changes in people's living standards and lifestyles in modern times. As a producer of beverages, including those with a high calorie value, we support actions aimed to change the trend: we add zero- and low-calorie beverages to our product range and label our products according to Guideline Daily Amounts (GDA), we do not run any marketing activities targeted at children aged below 12 or sell our products at primary schools. We also promote an active lifestyle among our consumers, particularly the youth. A good example here is the biggest youth football tournament, Coca-Cola Cup – the 15th edition of which was held in 2013 and which has attracted a total of over 640,000 young players so far.

We create the sustainable future together with our employees, consumers and business and social partners – sharing with them such values as reliability, integrity, excellence and passion in striving to achieve success together, to name just a few.

In this report – already the seventh annual CSR report by Coca-Cola HBC Poland – you will find many descriptions of the practical application of the abovementioned values. I hope this will make it easier for you to understand our approach to the issue of corporate social responsibility. It is a style of work that all Coca-Cola HBC Poland's managers and employees support and implement on a daily basis.

Wishing you interesting reading,

General Manager
Nikos Kalaitzidakis

Key challenges and hazards and consequently ensuing opportunities and risks are not subject to significant changes from one period to another. They are related to long-term, global social and environmental trends. Those trends are the biggest challenges facing the modern world, which must begin to grow in a more sustainable way. It must begin to save resources and care not only about the shape of today, but also about the shape of tomorrow.

Being a manufacturer of alcohol-free beverages in Poland and at the same time part of the Coca-Cola global system, Coca-Cola HBC Poland addresses the following challenges in its sustainable business operations:

Key risks:

1. 11% of the global population (nearly 800 million people) have no access to drinkable water. The situation will get worse as the demand for food will rise by 70% by 2050 and it is farming and food manufacturing that have the most impact on the volume of water used globally today (farming and food industry - 70%, industry - 20%, households - 10%).
2. Water resources in Poland are relatively small and comparable to those of Egypt. As far as the amount of water per inhabitant is concerned, we are in the 22nd position among 27 European states. 1580 m³ of water is available in our country per inhabitant. It is 3 times less than the European average and 4.5 times less than the global average.
3. According to the World Health Organization (WHO) data, the number of obese people worldwide has doubled since 1980. WHO informs there were 500 million obese people in the world in 2008 and 1.4 billion were overweight. The forecasts for 2015 say the number of obese and overweight people will rise to about 700 million and 2.3 billion respectively. According to the OECD report of 2012 (www.oecd.org) about 12.5% of adult Poles suffer from obesity, while the average for countries covered by the report is 17.2%. In the nationwide survey (OLAF) carried out in Poland between 2007 and 2009, covering children and youth aged 6.5 to 18.5 years, it was established that 14.2% boys and 11.8% girls were overweight, while 4.4% of boys and 2.7% of girls were obese (http://olaf.czd.pl/). WHO names two key reasons for this growth trend: a rising consumption of high-calorie foods and a substantial fall in physical activity. Both reasons result from changes in people's living standards and lifestyles in the 21st century.
4. 220,000 tons of PET are manufactured annually in Poland and about 60,000 tons are recycled.
5. According to data from GUS - the Central Statistical Office - domestic demand in 2013 decreased in fact by 0.2% while GDP in 2013 rose 1.6% (compared to 1.9% in 2012)

Key opportunities:

1. A gradual increase in awareness and interest of Poles in ecology, water saving and recycling in particular
2. A gradual increase in awareness and interest of Poles in active and healthy lifestyles
3. The civil society becoming more active
4. Technological progress regarding environmental issues
5. Technological progress enabling water savings
6. Innovations in the use of substances allowing to reduce the calorie content of food products

Coca-Cola HBC Polska sp. z o.o.

Coca-Cola HBC Poland consistently expands its product portfolio, offering consumers a full range of alcohol-free beverages so that everyone can find a product which suits their taste and lifestyle best. Expanding the product range, while focusing consistently on the alcohol-free beverage market, reflects our Fit for the Future strategy.

In 2013 the company's product range consisted of more than a dozen of instantly recognized and popular brands, offered in over 150 packaging formats. Apart from global brands, we also have entirely local brands (such as Kropla Beskidu mineral water).

Customers can find the following categories and brands in our product range:

• sparkling beverages (Coca-Cola, Coca-Cola Zero, Coca-Cola Light, Cherry Coke, Fanta, Sprite, Kinley, Lift, Monster Energy);
• juices, nectars and fruit drinks (Cappy);
• natural mineral waters (Kropla Beskidu, MultiVita from the Kropla Minerałów source);
• ready-to-drink teas (Nestea);
• sports drinks (Powerade ION4);
• energy drinks (Burn).

Coca-Cola HBC Poland's product range is rich and varied. By launching new products we basically address our consumers' needs and changes in their lifestyle. We are also expanding our product range in the low calorie and zero sugar beverage category. We equally care are about flavor benefits and wide product choice to make it possible for the consumer to choose the beverage, which they believe meets best their present needs, be it running in a marathon or just refreshment.

In October 2013 a limited version of the new Nestea Winter Plum was launched in the domestic market. Black tea extract with the addition of plum juice and honey instantly builds an association of the new Nestea with frosty winter evenings. Nestea Winter Plum is produced without any preservatives or colorants. It tastes perfectly both chilled and heated up, which makes it an interesting alternative for people seeking their favorite taste in warming up beverages. The new Nestea Winter Plum is available in a 0.5l bottle and a big 1.5l bottle.

More detailed information about the company's current portfolio and specific products can be found at: http://www.coca-colahellenic.pl/Productsandbrands/

Coca-Cola HBC Poland runs its operations in Poland in close cooperation with Coca-Cola Poland Services, a Polish subsidiary of the US-based Coca-Cola Company. Coca-Cola HBC Poland is responsible for infrastructure, production, distribution and sales of beverages, marketing activities at points of sale, customer and consumer service, consumer promotions, corporate PR and CSR. We run core operations at our manufacturing plants in Radzymin (Radzymin commune), Staniątki (Niepołomice commune) and Tylicz (Krynica commune). Apart from its three manufacturing plants, Coca-Cola HBC Poland has a network of fully owned or leased warehouses in Poland, located in Błonie, Bydgoszcz, Gdynia, Kalisz, Katowice, Kielce, Koszalin, Lublin, Łódź, Olsztyn, Ostrołęka, Poznań, Radom, Rzeszów, Szczecin, Środa Śląska and Warsaw.

Coca-Cola Poland Services represents the owner of the brands. The company's responsibilities include advertising, media relations, new product launches, marketing and public relations activities (both corporate ad for specific brands). The two companies are close partners. The same cooperation system works and proves successful for Coca-Cola in over 200 countries.

Coca-Cola HBC Poland's headquarters are located in the Białołęka district of Warsaw. Production is run at three plants:

• in Radzymin (Radzymin commune),
• in Staniatki (Niepolomice commune),
• in Tylicz (Krynica commune).

Apart from the manufacturing plants, the company has a network of fully owned or leased warehouses across Poland, located in Błonie, Bydgoszcz, Gdynia, Kalisz, Katowice, Kielce, Koszalin, Lublin, Łódź, Olsztyn, Ostrołęka, Poznań, Radom, Rzeszów, Szczecin, Środa Śląska and Warsaw.

Coca-Cola HBC Poland is focused on supplying beverages to the Polish market. The company is part of the Coca-Cola Hellenic group. From Coca-Cola Hellenic's point of view, Coca-Cola HBC Poland belongs, along with Lithuania, Latvia, Estonia, the Czech Republic, Slovakia, Slovenia, Croatia and Hungary, to the group of plants supplying beverages to the markets of Central and East European countries. Poland is by far the largest market in this group, accounting for 44% of sales volume generated by all of the abovementioned countries.

Our company is part of the Coca-Cola Hellenic group, one of the world's largest bottlers of The Coca-Cola Company's beverages and the biggest in Europe. Coca-Cola Hellenic operates in 28 countries, is present on 3 continents, owns 68 manufacturing plants, 312 production lines, 324 warehouses and distribution centers. It employs 38,000 people and serves over 585 million consumers.

Coca-Cola Hellenic is registered in Switzerland and listed on the London Stock Exchange. It is also present on stock exchanges in Athens and New York.

Coca-Cola HBC Poland is focused on supplying beverages to the Polish market. However, the company is a Polish subsidiary of Coca-Cola Hellenic Bottling Company S. A. headquartered in Switzerland, commonly known as Coca-Cola Hellenic. From Coca-Cola Hellenic's point of view, Coca-Cola HBC Poland belongs, along with Lithuania, Latvia, Estonia, the Czech Republic, Slovakia, Slovenia, Croatia and Hungary, to the group of plants supplying beverages to the markets of Central and East European countries. Poland is by far the largest market in this group, accounting for 44% of sales volume generated by all of the abovementioned countries.

In 2013 Coca-Cola HBC Poland sold a total of 946 million liters of beverages. According to estimates, we reached a 21.4 % share in the alcohol-free beverage market in Poland in terms of sales value (source: ACNielsen).

By the end of 2013 the company:

• employed over 2,300 people;
• established relationships with over 2,700 suppliers, including active cooperation with 2,000 of them;
• supplied its products to over 120,000 points of sale.

No significant changes.

• DEMES Sports Business Award. The Coca-Cola Cup tournament received this prestigious award in the Children and Youth Sport category. The Coca-Cola Cup football tournament celebrating its 15th anniversary was named the best sports project aimed at children and youth. The DEMES award was granted by the jury of the international conference Sports Marketing Days, whose 11th edition was held in 2013. The DEMES statuette was presented on 14 March 2013 during the annual Sports and Business Gala at the Olympic Center in Warsaw.
• 1st place in the Cinema Retail Achievement Award contest in Barcelona for a joint campaign of the Multikino chain and Coca-Cola HBC Polska under the slogan Mondays with Coca-Cola
• 10th place in the annual Responsible Companies Ranking (the results for 2013 were analyzed, the ranking itself was published in 2014
• Halina Krahelska Award for achievements in the area of labor protection and health protection in the workplace (Chief Labor Inspector)
• Our production plant in Staniątkach was ranked 3rd in the K&P Culture Safety Award 2013 contest, organized as part of the Working Together For Risk Prevention European campaign

More at www.coca-colahellenic.pl.

1 January 2013 – 31 December 2013

The report for 2013 is Coca-Cola HBC Poland's sixth social responsibility report. The last one was published in 2013 and cover

Annual

Grzegorz Moskal (Mr.)
Sustainable Development Manager and Communication Manager
Coca-Cola HBC Poland
03-236 Warszawa
ul. Annopol 20
email: grzegorz.moskal@cchellenic.com

The substantive content of the report was defined by a team of Coca-Cola HBC Poland managers whose work was coordinated by the Sustainable Development Manager. The report content was developed with direct involvement of people responsible for specific areas of the business. While defining the report content efforts were made to align it with social responsibility values fundamental for the Coca-Cola system. The Sustainable Development Manager based in Poland and the Coca-Cola Hellenic Group CSR Committee on the other hand made sure that the report content addressed both local markets' expectations and global challenges.

We describe operations of Coca-Cola HBC Polska sp. z o.o. and - in substantially justified cases - those of the parent company, the Coca-Cola Hellenic Group, if the Group operated in Poland or directly affected operations of the Polish subsidiary.

Due to commercial confidentiality considerations we do not disclose all business data on the country level.

The outsourcing of some logistics services initiated a few years ago may have some impact on comparability of selected indices.

Commonly used calculation methods have been applied in the report. In the case of some indices rates per product unit are given and absolute values are not presented. It facilitates making comparisons between reporting periods as well as between the presented data and the results of other beverage manufacturers. This approach has significant impact on the report's readability and at the same time helps to protect sensitive information due to commercial confidentiality considerations.

No such corrections were made.

No substantial changes compared to the previous report.

All required bt GRI standard information are on http://raportcsr-cchellenic.pl in GRI Report section.

The report has not been subject to independent verification by an auditor authorized to examine financial reports (chartered auditor). An external expert supervised the reliability of the report development process.

The data presented in the report is part of Coca-Cola's regional and global system for reporting social and environmental performance with its reliability subject to control, which entails independent audits (verification of this kind for 2013 was conducted by the Austrian company denkstatt GmbH).

At the same time a substantial part of the results presented in the report referring to Coca-Cola HBC Poland's operations is subject to recurrent external audits (ISO 9001, ISO 14001, OHSAS 18001, FFSC 22000). Core areas of operations are also subject to regular internal audits.

Charting a strategy and supervision over the company's operations and performance, including the implementation of fundamental sustainable development principles, takes place at the Coca-Cola Hellenic Group level. Daily management of social responsibility issues is a responsibility of the Sustainable Development Manager, who cooperates directly with his counterparts in other countries and managers in Poland who are in charge of specific areas of the business.

This management and supervisory system is in line with the "think globally, act locally" philosophy. The guidelines referring to trends of global nature (such as climate change, shrinking water resources, bad eating habits and obesity, etc.) are defined at the cross-national level. They allow the Coca-Cola system to maintain the same highest standards, irrespective of the country and manufacturing plant. It also makes it possible to identify the best solutions and practices and transfer them from one country to another. The monitoring of corresponding indices enables the emergence of leaders who become a model for others. Index values (environmental, for instance) achieved by leaders are often the basis for setting target values for other plants. The Polish plants can boast making it to the "best in class” group on several occasions and thus becoming a model for others to copy.

The Sustainable Development Manager is responsible for direct management with respect to very broadly defined priority areas of Coca-Cola's social responsibility. The priority areas create a broad framework, but actions are run at a country level. Only a local approach can ensure that actions are effective and specific problems addressed. These are often very local problems that can only be noticed at a local level.

However, with the owners' global supervision over key areas, including the regular monitoring of social and environmental performance, such aspects are given a very high priority.

The high position of CSR in the supervision structure is the best evidence of how seriously the owner of Coca-Cola HBC Poland treats its social responsibility. The Social Responsibility Committee operates - along the Audit Committee, the Pay Committee and the Nomination Committee - within the Coca-Cola Hellenic's Board of Directors. Additionally, there is also the Public Information Committee.

The Social Responsibility Committee includes three non-executive directors: Sir Michael Llewellyn Smith (chairman), George A. David and John Hunter. The Committee is responsible for aligning the sustainable development concept with Coca-Cola HBC's growth strategy. Chairman of the Board, Public Affairs and Communications Director and Sustainable Development Operational Director usually take part in the Social Responsibility Committee's sessions. The Social Responsibility Committee's roles are:

supervising the development of sustainable development policy, monitoring the strategy execution and its goals, as well as supervision over procedures ensuring the accomplishment of Coca-Cola HBC's social and environmental goals;creating and supervision over the functioning of a committee responsible for the development and implementation of policies and strategies enabling Coca-Cola HBC to accomplish its social and environmental goals and providing opportunities to accomplish them across the group;supervision over procedures and systems enabling the accomplishment of social and environmental goals;ensuring and supervising proper communication with stakeholders regarding social responsibility, related policies and strategies and compliance with international standards;review of Coca-Cola HBC's internal and external communication policies with regard to social responsibility programs.

Coca-Cola HBC is a limited liability company and as such it does not have a supervisory body in the form of a supervisory board, so the management board takes full responsibility for managing the company.

Coca-Cola HBC is a limited liability company and as such it does not have a supervisory body in the form of a supervisory board.

Coca-Cola HBC Poland has a single shareholder. The process of supervising and monitoring performance, also in social and environment areas, is systematic and formalized. The selected data is regularly submitted to the owner and following the evaluation serves as a basis for setting new targets.

As far as the employees are concerned, communication mechanisms are defined in the Business Ethics Code (formerly Business Conduct Code), which describes behavior standards. The same document grants each employee the right to contact directly key persons at Coca-Cola HBC Poland and Coca-Cola Hellenic. The document lists direct phone numbers to the Finance Director, Legal Counsel, Internal Audit Director, Human Resources Director and the chairman of the Internal Audit Committee at Coca-Cola Hellenic as well as their counterparts in Poland. The Business Ethics Code itself is public and available in the Polish version at: http://www.coca-colahellenic.pl/Download.aspx?ResourceId=65199.

Employee opinions are regularly monitored in Employee Engagement Surveys. Trade unions operate within the company and regular dialog is held with them.

The sustainable development strategy is present in all business goals of Coca-Cola HBC Poland and its partner company Coca-Cola Poland Services. Every year Coca-Cola HBC Poland sets measurable targets based on CSR strategy priorities on each of management levels. The guidelines of the parent company Coca-Cola Hellenic apply at the highest level and the lower level we follow the Polish subsidiary's internal strategy and values. Detailed goals are formulated at the department level. The evaluation of managers' performance and consequently their remuneration depend on meeting those goals, treated just as other business goals. It should be noted that since goals are cascaded down to the department level the mechanism applies not only to top level managers, but also people at managerial positions of various levels.

Issues related to avoiding conflict of interest are discussed in the Business Ethics Code (formerly Business Conduct Code). It describes situations where such a conflict may arise, as well as ways of dealing with the situation and persons that should be notified or approvals that should be obtained. The rules regulate a way of conduct for all employees of the company.

The Business Ethics Code is available in the Polish version at: http://www.coca-colahellenic.pl/Download.aspx?ResourceId=65199

At the cross-national level the Social Responsibility Committee functioning within the Board of Directors is the supreme supervisory body. The Social Responsibility Committee members have the experience and qualifications necessary to perform their duties as well as to select the most appropriate members of the Operating Committee.

Objectivism of the Social Responsibility Committee's decisions is further confirmed by the fact that its meetings are most often attended by Chairman of the Board, Public Affairs and Communications Director and Sustainable Development Operational Director. It should also be mentioned that the Nomination Committee, also operating within the Board of Directors, supervises nominations for specific positions. It participates in the Board of Directors members selection process.

At the country level the Sustainable Development Manager has direct supervision over social and environmental issues.

Coca-Cola HBC Poland's mission is to:

• Refresh consumers of our products
• Partner with our customers
• Generate profit for our shareholders
• ...and take active part in the lives of local communities.

Our values are directly linked to this Mission:

• Authenticity: we act with integrity, and do what is right, not just easy
• Excellence: we strive to amaze, with passion and speed
• Learning: we listen and have a natural curiosity to learn
• Caring for our people: we believe in our people, invest in them, and we empower them
• Performing as one: we believe in the power of working together, contributing in every occasion
• Winning with our customers: our customers are at the heart of everything we do.

The mission and the values we share are reflected in specific policies. The most important of them is the Business Ethics Code (formerly Code of Business Conduct), which defines standards that our employees need to respect. Other codes and sets of rules applied at Coca-Cola HBC Poland are:

• Food Quality and Safety Policy
• Genetically Modified Organisms Position Statement
• Human Rights Policy
• HIV/AIDS Policy
• Equal Opportunities Policy
• OHS Policy
• Packaging Management and Recycling Policy
• Climate Change Policy
• Environmental Policy
• Union of European Beverages Associations (UNESDA) commitments
• Supplier Guiding Principles
• Health & Wellness Policy
• Fleet Safety Policy
• Water Stewardship Policy

The Social Responsibility Committee functioning as part of Coca-Cola HBC Poland's Board of Directors is the supreme supervisory body as far as economic, social and environmental issues are concerned. The statute defining the committee's scope of operations and responsibility is public and available at: http://www.coca-colahellenic.com/~/media/Files/C/CCHBC/documents/committees-charter-final-2013-02-28.pdf

Economic, environmental and social performance is evaluated quarterly at the top level. Region directors, including the General Manager of Coca-Cola HBC Poland, are responsible for implementing the CSR strategy in their areas. The Sustainable Development Manager is responsible for direct management of Coca-Cola's social responsibility. Each production plant also has the support of environment, occupational health & safety coordinator. Meanwhile, the Internal Audit Department regularly defines the risk of improper behavior and shows areas of neglect.

Economic, environmental and social performance, including key targets in this area, are regularly monitored by the owner, Coca-Cola Hellenic. The Social Responsibility Committee plays a special role here.

Coca-Cola HBC Poland applies the rule of special caution with regard to technologies and raw materials whose impact on consumer health or the natural environment has not been fully researched. The Genetically Modified Organisms Position Statement updated in March 2012 is a specific example of the application of this rule.Coca-Cola Hellenic does not use – in any of its 28 countries of operations (including Poland, where Coca-Cola HBC Poland is responsible for respecting the rule) – genetically modified foods or those derived from genetically modified organisms (GMO). The company holds the position that reasonable use of the latest biotechnology achievements should be supported provided that comprehensive information on the subject is available and effective control by supervisory bodies has been implemented. The mankind can benefit substantially from the use of such technologies to improve crops and specific GMO applications should be evaluated for their benefits.

We strive to run our operations in an ethical, responsible and sustainable way. We have implemented the leading management systems and standards, which help us achieve projected targets and improve our performance. We have implemented the following internationally recognized quality, environment, health and safety and food safety management systems:

• Quality management (ISO 9001)
• Environmental management (ISO 14001)
• Occupational health and safety management (OHSAS 18001)
• Food safety management (FSSC 22000)
• All our plants have also been certified with ISO 22000 certificates assuring food safety.

In our operations we are also guided by the following sustainable development principles and guidelines:

• UN Global Compact (UNGC) rules
• Greenhouse Gas Protocol
• LBG model
• GRI guidelines
• UNESDA commitments.

Coca-Cola HBC Poland is also a member of trade organizations and associations operating in the area of environment protection and sustainable development, such as:

• Polish Food Producers Federation
• Polish Industry Coalition for Eco-friendly Packaging Eko-Pak
• Rekopol Recovery Organization
• Polish Chamber of Bottling Industry
• Responsible Business Forum
• Employers of the Republic of Poland

Together with Coca-Cola Poland Services the companies in Poland have been the signatories of the UN Global Compact initiative, proclaimed by the UN Secretary General, since 2009. As an illustration of a great role played by Coca-Cola HBC Poland among businesses grouped around Coca-Cola Hellenic, it should be mentioned that Coca-Cola is listed in the most important sustainable development indices on the New York and London stock exchanges:

• FTSE4Good index in London
• Dow Jones Sustainability World and Dow Jones Sustainability Europe Indices

The basic division of stakeholders into groups is as follows:

• suppliers (about 2,000 active)
• customers (> 120,000)
• consumers (> 30 million)
• employees (about 2,300)
• social organizations
• shareholders
• regulators and authorities of various levels
• local communities / society
• media

The activities are carried out by Coca-Cola Hellenic at a regional level.

The division of stakeholders into key categories is too general to become useful in daily management. The relations with particular stakeholder groups are assigned to specific organization units and business functions. The units both identify individual entities and establish regular cooperation with them. Cooperation with specific categories of interest groups is strictly dependent on the specific nature of a given group. Coca-Cola HBC's proactive role is crucial here. Not only do we initiate surveys and monitoring, which make it possible to assess the recipients' satisfaction with their cooperation with us, but we also address their expectations. We encourage customers to participate in training programs, which will let them become more professional sellers. The knowledge they gain will help sell all products, not only ours. We also try to initiate a dialog with trade unions. Together with our suppliers we work out solutions that will let them supply goods meeting our quality requirements, while also reducing their environmental footprint.

As we carry out social and environmental programs we actively cooperate with NGOs, local communities and local administration. We are particularly closely involved in joint activities with the following:

• Partnership for Environment Foundation
• Polish Food Producers Federation
• Social Responsibility Foundation
• Our Earth Foundation
• Municipal offices, sewage and sanitation boards
• Polish Red Cross
• WWF

It should be mentioned here that cooperation is based on partnership principles. Those are often joint protects, where responsibility is shared by both sides. The Kropla Beskidu Fund is the best example of such shared, long-term activities.

Stakeholders' panels are held annually at the regional level, with the participation of scientists, representatives of investors and trade associations, suppliers and technical experts. An extraordinary stakeholders' panel focused on health and healthy lifestyle was held in 2013. Nutritionists, representatives of the scientific community, government administration, customers, food industry as well as technical experts took part in the event.

The relevance of specific issues raised by stakeholders was evaluated at a regional level and later also locally. The issues materiality matrix shown below was updated in 2013:

Coca-Cola is one of the very few companies, which can not only define its impact on the economy, but also measure it precisely in financial terms. The impact on the Polish economy has been assessed in the report "Contribution of the Coca-Cola system to social and economic life in Poland" (2012) developed under the direction of Professor Ethan B.Kapstein from INSEAD.

At the operational level, proper business relations that should guide all our employees are described in the fundamental, from the company's point of view, Business Ethics Code (formerly Business Conduct Code) [ link do wstawienia; powinien być do wersji angielskiej, PF ] Climate Change Policy [ link do wstawienia;  powinien być do wersji angielskiej, PF ] also matters as far economic performance in environmental context is concerned. The documents are public and available on the company website.

Preventing undesired climate change is one of the Coca-Cola Hellenic Group's key priorities. For years we have been managing production and distribution processes so that our growth does not result in higher energy consumption. The group is a signatory of Global Compact Caring for Climate, the worldwide initiative to reduce the impact of business operations on climate change.

The Group's commitments are also Coca-Cola HBC Poland's commitments.

In March 2012 the Chief Executive Officer of Coca-Cola Hellenic, the parent company of Coca-Cola HBC Poland, announced the updated Climate Change Policy.

0 zł (in 2013 the company did not receive support from the state)

The country minimum pay rate was entered in the ratio calculation. Pay differences between voivodships were not taken into account.

The majority of raw materials purchased by Coca-Cola HBC Poland comes from businesses operating in Poland. One could just mention sugar plants we cooperate with on a daily basis and which source raw materials from local growers. Similarly, the packaging for our beverages is also manufactured in Poland. In line with the Coca-Cola Hellenic Group's principles, we order goods and services close to the place where they are used, thus contributing to the protection of the environment and supporting the country where our plants are located. The overwhelming majority of our suppliers are locally based.

A drop of the percentage in 2013 is a result of the hiring of three foreigners in that period. 

For many years Coca-Cola HBC Poland has been involved in the regional development of the areas where our plants are located, cooperating with local authorities and NGOs, initiating changes related to the natural environment protection and water stewardship, implementing development projects in business, trade and infrastructure, supporting educational programs and promoting sports and physical activity, particularly among the youth. We offered help during natural disasters and we will continue to do so. Our readiness to help is also guaranteed in an agreement between Coca-Cola HBC Poland and the Polish Red Cross signed in 2013, in which our company commits to supply drinking water for free during natural disasters. Every year we have a growing number of Coca-Cola HBC Poland employees engaged in voluntary activities targeting communities and local organizations suggested by employees.

In 2013 the value of social activities, calculated in line with the London Benchmarking Group (LBG) methodology, amounted to over 400,000 euro, twice as much as in the previous period. The activities covered over 850,000 Poles! Apart from financial assistance, we supported NGOs with a donation of our products worth nearly 150,000 euro. A lot of projects were carried out with active involvement of our volunteers. Over 650 volunteers worked a total of over 2,500 hours for local communities. 15,000 trees were planted in 2013 as a result of Coca-Cola HBC Poland's support. It should be mentioned here that the company employees and their families, supported by Our Earth foundation and foresters, planted a total of 93,740 trees from 2007 to 2013. 

The company has been supporting and educating its partners for several years with the use of "Common Business" magazine.

As far as environmental aspects are concerned, apart from the Environmental Policy document and the ISO 14001 system, the management policies related to them play the key role:

• Waste management and recyling policy
• Climate change policy
• Water policy

All of them are public and available on the company website.

Fluctuations in the use of specific packaging materials are due to changing shares of specific sizes and types of packaging in sales (cans, PET, glass packaging).

Coca-Cola HBC Poland significantly reduces the impact of production on the environment through:

• reduction of the number and weight of packages (lower demand for materials),
• common use of recycled materials,
• promotion of various forms of recovering materials for further recycling.

We strive to ensure that our packaging is fully recycled during the production cycle. We supplement the process with waste segregation. Apart from statutory regulated activities related to packaging management, Coca-Cola HBC Poland is eager to support campaigns promoting recycling both internally and among customers and consumers, particularly the youth.

In 2013 we recycled 98% of waste generated by the company. The remaining 2% were utilized or stored in line with the law and required standards. It is our ambition to reach the recycled waste rate of 99%.

The specific nature of our products, the alcohol-free beverages, means that it cannot be energy-efficient as such. But actions related to the manufacturing process, described in section EN7, have significant impact on the beverages' environment footprint.

The Coca-Cola Hellenic group is a signatory of Global Compact Caring for Climate, the worldwide initiative to reduce the impact of business operations on climate change. The group's commitments are also Coca-Cola HBC Poland's commitments. Our company gets engaged in programs and campaigns that aim to reduce carbon dioxide emissions, ban gases depleting the ozone layer. We reduce fuel consumption and car exhaust emissions by the transport system. For years we have been consistently curbing the use of energy per liter of product. Each action matters: from large investment projects, such as launching a modern combined heat and power plant to various smaller energy-saving initiatives at production plants to replacement of vehicles and cooling equipment, employee education and even tree planting.

Initiatives to reduce energy demand in 2013 included:

1. A ventilation monitoring system was installed at the Tylicz plant, resulting in energy savings through modernization of the carbon dioxide detection system (proper ventilation integration with the system)
2.  Blowing pressure was reduced to 25 bar for 0.5l bottles and 30 bar for 1.5l bottles in Tylicz
3. Heating lamps were replaced with energy-saving lamps in the furnaces of KRONES and SASIB blowing machines and heating zones in furnaces were reorganized (changes in machine settings - heating lamps account for 90-95% of heating furnace energy consumption and their replacement with more modern lamps lets reduce the energy consumption by about 15% and save 84,000 kWh of energy per year.
4. The temperature of packing machines at the Staniątki plant was reduced during downtime (the temperature in machines used to constrict plastic on ready products is slightly lower during downtime)
5. The switching off was introduced for transporters of full bottles in case of downtime without load (OH, KHS, RGB line in Staniątki)
6. Energy-saving engines were installed at the Pallet Handling Center
7. One of the boiler hubs was modernized, which involved the separation of central heating units and boiler process water
8. A free-cooling (HUSKY) system was installed

We monitor and constantly reduce the impact of cooling equipment on the natural environment. Last year we completed replacing the equipment with the one using hydrocarbon gases - with no impact on the ozone layer and reduced impact on the greenhouse effect - as the cooling agent. New machines were purchased to supplement several thousands of already operating coolers fitted with the Energy Management System (EMS), which increases cooling effectiveness while reducing energy consumption by 35 percent. There were 1,900 of them by the end of 2013.

As far as our own means of transport are concerned, the new eco-friendly rules of using company cars, also meant to improve drivers' safety, were introduced in 2011. The rules (being part of the company Car Fleet Use Policy) essentially aimed to reduce the speed of delivery vans used by sales representatives to 90 km per hour from the previous 130 km per hour. Respecting the requirement is monitored by the GPS system, which also allows to precisely monitor distances travelled, the average use of gasoline as well as the instances of exceeding speed and engine rev limits. The introduction of the measure resulted in a significant fall in the number of serious road accidents. It should also be stressed that fleet replacement resulted in a significant improvement of the quality of exhaust fumes emitted by company cars. While previously the EURO4 norm was a standard for vehicles with spark ignition engines, in 2013 it was replaced by the EURO5 norm.

The Green IT initiative, implemented in 2010 and continued since then, aims to reduce energy use at Coca-Cola HBC Poland's locations and in particular to reduce the impact of company computers on the natural environment and improve the environmental awareness of the employees. In 2013 another three locations were equipped with videoconference systems, which supplemented the purchases of such systems in the past years (7 systems in 2011 and 5 in 2012). The system of this kind, replacing both face-to-face meetings and teleconferences, significantly improved the effectiveness and speed of communication, reduced business trips as well as the duration of talks and costs to organize them. 

Increase of total water intake is caused by changing in 2013 ion exchanger technology to nanofiltration proces (NF) in Radzymin plant. In 2014 we are going to use waste water from NF to minimize water usage ratio and we expect to implement that solution in Q1 2015.

We focus our water-related activities on the following three areas:

• water use reduction
• treatment of water used in the manufacturing process
• caring for sources and resources

In 2013 investments were continued that contributed to more effective water management. For instance in Radzymin, a project is under study as part of research and development work that enables recovery of about 10 m3 of water per hour on the aseptic line in 2014. A system of water recovery from SASIB and NRGB rinsing machines in Tylicz was modified through the installation of UV lamps, which lets the water go back to the technological water system. Also in Tylicz it was possible to reduce the use of water through the elimination of pouring carbonated water into the mixer-filler unit with during production downtimes longer than 24 hours (until then replaced every 12h). Meanwhile in Staniątki the water installation was modernized in the filler area on the KHS line - the water recovery tank was connected with the mixer (the ability to use production water dumped from the mixer during the start of production by connecting the water installation with the water recovery tank), which also contributed to improving water use efficiency.

Water from municipal sources does not go directly into our products, but is used for technical and sanitary aims. Therefore its use in technological processes results in saving more valuable subterranean water resources.

Coca-Cola HBC does not contribute to depleting sources of water through its irrational, excessive intake. At the same time the company supports actions aimed to protect and revitalize those sources, including the restitution of species that once lived in Polish water reservoirs and were later killed off.

The Kropla Beskidu Fund was initiated in 2005 by the Coca-Cola system companies in Poland: Coca-Cola Poland Services and Coca-Cola HBC Poland and the foundations Partnership for the Environment Fund and the Partnership Fund. Financial resources earmarked for the Fund's operations from 2005 to 2013 exceeded 1,140,000 zloty. The Kropla Beskidu Fund provides financial and know-how support for eco-friendly initiatives, but also promotes the ideas of cooperation between local communities, authorities, NGOs and businesses. Those - apparently small - local initiatives translate into significant effects for protection of the natural environment in the fund's region of operations and growing involvement of the local community in the protection of water resources. With the support of the Kropla Beskidu Fund 90 projects were completed from 2005 to 2013 that contributed to saving water resources in Beskid Sądecki.

Coca-Cola HBC gets engaged in actions aimed to protect areas of natural value, particularly near manufacturing plants and with special focus on water habitats (Kropla Beskidu Fund).

Coca-Cola HBC gets engaged in actions aimed to protect areas of natural value, particularly near manufacturing plants and with special focus on water habitats (Kropla Beskidu Fund).

Coca-Cola HBC gets engaged in actions aimed to protect areas of natural value, particularly near manufacturing plants and with special focus on water habitats (Kropla Beskidu Fund).

Coca-Cola HBC gets engaged in actions aimed to protect areas of natural value, particularly near manufacturing plants and with special focus on water habitats (Kropla Beskidu Fund, Rivers for Life program).

The initiatives are practically identical with those aimed to reduce direct and indirect energy consumption described in section EN7.

Information on the subject can be found in sections EN1, EN2, EN7 and EN8. 

No sanctions for failing to respect environmental laws and regulations were recorded in 2013.

The above fuel consumption data also takes into account vehicles providing transport services to the company, but not owned by it (so-called Scope 3). Generally, Coca-Cola HBC Poland analyzes and reports not only its own direct and indirect CO2 emissions (including those resulting from the use of vehicles).

The expenditure figures are treated as confidential due to the protection of the company's commercial interests. 

Several policies are in force in the areas related to people management. These aspects are regulated by such documents as:

• Business Ethics Code (formerly Business Conduct Code)
• HIV/AIDS Policy
• Equal Opportunities Policy
• OHS Policy
• Fleet Safety Policy

One should also consider here the Human Rights Protection Policy, which has been discussed in more detail in the chapter devoted to human rights. All of the documents are public and available on the company website.

2,329 people were employed at Coca-Cola HBC Poland by the end of 2013: 466 women (20.01%) and 1,863 men (79.99%). Additionally 72 people - 35 women (48.61%) and 37 men (51.39%) - were on commission contracts valid on the last day of the year.

The reported employee rotation rate is stable over time. It does not constitute a threat to the company, allows us to keep the most valuable employees and on the other hand it is a natural consequence of market processes, especially considering that Coca-Cola employees have a good renown in the marketplace. Working in a sales department is for many people a start of their professional career. We realize that they treat the experience gained at our company as an invaluable passport to work at other companies, particularly in the FMCG sector. 

(no collective contracts)

In line with labor law requirements.

In 2013 the accident rate amounted to 0.85 (please note: in contrast to the definition adopted in Polish statistics, it is calculated at Coca-Cola system companies as a quotient of the number of accidents divided by 100 - and not 1,000 - jobs; hence, according to the definition most commonly used in Poland the figure would be 8.5). It was therefore the lowest rate over the last 10 years.

The number of accidents at the workplace has been falling steadily and noticeably for many years. The accident rate fell by 64% from 2004 to 2013.

Sprains and twists of various kinds (9) accounted for nearly half of 20 accidents reported in 2013 (27 in 2012). A few fractures (5) and bruises (5) were reported and one person was wounded. In most cases, commercial department employees were the victims. Slips and trips often occurred as they were on their way to customers and resulted in injuries such as a sprain, twist or pull.

A number of preventive actions are taken and campaigns are run to make people aware of dangers. The Black Point boards indicating places where accidents took place at the plant speak to the imagination of our employees. They are the exact copies of signs used on Polish roads. At the entrance to each plant there is a board showing the current number of days since the last accident and also the best result so far. The employees themselves are encouraged to report potentially hazardous incidents that can be eliminated through corrective actions. Over 2,000 were reported in 2013 alone, which led to relevant corrective actions. Managers at various levels performed over 2,100 inspections of work stations in 2013 (up from about 1,073 a year earlier) and had nearly 2,500 conversations with employees on OHS issues (up from over 1,600 a year earlier). The employees who have not received a "yellow card" (a warning for breaching OHS rules) have an opportunity to take part in the drawing of valuable prizes.

The integrated management system has been running at all three manufacturing plants since 2007 and the Occupational Health & Safety Management System compliant with OHSAS 18001 is a very important part of it. 

A number of actions were taken in 2013 to increase OHS awareness and preventive solutions were introduced to reduce the number of accidents in the workplace. Apart from previously executed communication campaigns, such as the safety awareness program Walk The Talk, articles on OHS published in the company newsletter or the internal "Slips, Trips and Falls" campaign, a new campaign on ergonomics was initiated in 2013. It culminated in the Manual Handling/Ergonomics Week (21-25 October 2013). Apart from standard OHS training programs, good practices from other countries were communicated and extra training materials provided. Additional training programs on safe driving, ergonomics and first aid were offered as well. A defibrillator was purchased for our office in Warsaw at Annopol Street. Furthermore, instances of work safety hazards recorded by the close circuit TV system were analyzed. For instance, speed control systems were installed in forklift trucks. Occupational health and safety issues are also present in the Employee Engagement Survey.

Statistically speaking, a great number of work accidents are road accidents. Therefore analyses were conducted last year of both drivers' behavior based on GPS monitoring data (speed) and reports coming from other road users concerning a dangerous, aggressive driving style. In 2011 Coca-Cola HBC Poland introduced a system for warning drivers of dangers ahead. The MobilEye device installed in vehicles points the driver's attention to an obstacle approaching too fast, controls the distance between vehicles in motion or drifting out of the lane and can also recognize cyclists on the road and pedestrians on a zebra crossing. Moreover, the system keeps a record of the driver's mistakes. The device was installed in 50 cars in the first year and in another 50 in 2012. By the end of 2013 a total of 700 cars were fitted with it. Already in 2014, but before the report publication date, the system functioned in all of about 750 company cars driven by market development specialists.

The new Work Regulations were adopted in 2012, including occupational health and safety issues such as OHS training or periodic health evaluations. The content of the Regulations was agreed with all the trade unions.

The nominal number of training hours per employee decreased over the last years, but it does not mean the effectiveness of training fell as well. The latter seems to constantly improve. For example, there are fewer language programs as new employees hired by the company have no language barriers. They are replaced by specialized training courses. Rising effectiveness is made possible by a better knowledge of actual training needs of people working at specific positions and the creation of customized development programs, which are improved every year. Development policy is focused on internally consistent, comprehensive and customized development programs, rather than the execution of separate training session for large groups of employees. The most important programs should be mentioned:

• Coaching Leadership Style
• Leadership Pipeline
• Leadership Excellence (LE)
• Manager's Guide
• Employee Development Forum
• Talent Development Programs Go Up 1 and Go Up 2.

A monitoring program was implemented in the organization in 2013, carried out by 30 trained mentors, including management board members. Last year, for instance, the mentors supported Go Up 1 and Go Up 2 programs. Their involvement will be expanded, to include other programs. In 2013 the Coke Winner program for all Sales Center Managers (15 people) was also completed. Positive experience from the Coke Winner program and actual business needs led in 2013 to the start of preparations for the launch of the Coke Winner 2 program in 2014.

In 2013 a development program for National Key Accounts was also launched, particularly important from the point of view of responsible management. It aims at broadly understood improving competency levels with particular emphasis on creating added value together with the customer, that is a shift from traditional "negotiating" towards building a true partnership for creating added value together with the customer.

The program Coca-Cola Experience, aimed at talented university graduates, should also be mentioned here. As part of the program, about a dozen management trainees gain practical experience over a two year period as they carry out projects subsequently in four different departments of the company.

All employees are subject to annual appraisals, supplemented with a semi-annual review. In the case of employees who manage other people, appraisals are made not only by their superiors, but also by subordinates. It is therefore a 360-degree feedback appraisal.

The appraisals are not focused exclusively on achieving so-called hard results, but also consider soft work aspects related to values embraced by the company and referring directly to 7 Effectiveness Standards. 

Formally, Coca-Cola HBC Poland's management board has two members: the general manager and the finance director, but in practice decisions are taken by a group of 8 people, with directors of the company's key areas of operations joining the decision-making team. Six members of the group are aged 30 to 50 and the other two are aged over 50. There are two women in this group.

The age structure of employees is as follows:

And this what Coca-Cola HBC Poland's employee structure according to gender looks like:

Human rights issues are regulated in the company by the dedicated „Human Rights Protection Policy”, which was last revised in April 2010. (http://www.coca-colahellenic.pl/Download.aspx?ResourceId=107703).

As a rule, all new suppliers, including those who would potentially carry out significant investments for Coca-Cola HBC Poland in a given period, have to accept a set of Guiding Principles for Suppliers.

We expect our direct suppliers not only to respect the provisions of Polish law, but also to understand our expectations and to share values similar to ours as their business guidelines. The Supplier Guiding Principles program obliges suppliers:

• to ensure that employees have a work environment that is free from any forms of discrimination and the only performance criteria are those substantially related to the duties they perform,
• to ensure safe and healthy work conditions,
• not to use child labor or any forms of compulsory labor,
• to offer fair pay and development opportunities,
• to respect the right to join trade unions,
• to run their business in an eco-friendly way.

They also commit to present documents confirming the respecting of those requirements if asked to do so by our company representatives. Coca-Cola HBC Poland also reserves the right to conduct an audit at any of the plants where production for our company takes place and to terminate the contract with a supplier that does not respect the Guiding Principles.

Our strategic suppliers winning a certificate confirming they are the authorized suppliers of The Coca-Cola Company, are subject to particularly strict verification. The verification is performed by means of a regular audit whose primary aim is to check whether the company's operations are compliant with requirements of The Coca-Cola Company Management System. Suppliers of the key raw materials, such as sugar, carbon dioxide, nitrogen and materials to produce packaging, as well as the manufacturers of cooling equipment are the first to go through the process.

Formal agreements with suppliers are successively supplemented with a written commitment to respect the Supplier Guiding Principles. As of the end of 2013 they were accepted by 25% of the key suppliers registered by the Purchasing Department, accounting for 80% of total transactions with suppliers. This commitment has also been signed by 11% of all active suppliers.

In 2012 a new version of the Business Ethics Code and additionally a separate Anti-Corruption Policy were developed. Still in 2012,100% managers successfully completed the new, modified version of the Business Ethics Code training based on an e-learning course.

Irrespectively of e-learning courses carried out before, all employees completed training on the Business Ethics Code and Anti-Corruption Policy in 2013. All the participants also received printed versions of the Business Ethics Code and Anti-Corruption Policy (in the Polish language). Moreover, training on the Business Ethics Code and Anti-Corruption Policy, conducted by direct superiors, became an integral part of the induction program for all newly hired employees.

No such incidents were reported (0).

Ensuring that employees have a work environment free of any forms of discrimination is not only a Coca-Cola HBC Poland's goal, but also a requirement for suppliers who sign a written commitment to respect it or risk the termination of their contract.

No threats to the right to collective bargaining and the employees' right of assembly were reported.

Ensuring that employees have the right of assembly and the right to collective bargaining is not only a Coca-Cola HBC Poland's goal, but also a requirement for suppliers who sign a written commitment to respect it or risk the termination of their contract.

No children are employed at Coca-Cola HBC Poland plants. Such practices would be in material breach of the rules adopted by the company. The risk of such an incident occurring is negligible.

The elimination of illegal child labor is not only a Coca-Cola HBC Poland's goal, but also a requirement for suppliers who sign a written commitment to respect it or risk the termination of their contract.

Neither forced or compulsory labor is used at Coca-Cola HBC Poland plants. Such practices would be in material breach of the rules adopted by the company. The risk of such an incident occurring is negligible.

The elimination of illegal forced and compulsory labor is not only a Coca-Cola HBC Poland's goal, but also a requirement for suppliers who sign a written commitment to respect it or risk the termination of their contract.

100%

All security staff, employed by an external company, complete an obligatory training course on respecting the rights and dignity of third parties. The issue is regulated by a special instruction - an appendix to an agreement with a security company; it is a Coca-Cola HBC Poland's requirement.

No such incidents were reported at Coca-Cola HBC Poland or at the company's direct suppliers.

The area of relations with the business environment is extremely wide. The vital and most visible element of these relations is our social engagement, that is actions for local communities and the society in which we operate. It is highly consistent with our business operations and complements them in an invaluable way. We engage in actions:

• promoting physical activity and sports,
• aimed to protect water resources.

However, there is much more to our relations with the society and local communities than just social engagement. Business ethics that we base on the principles of integrity, reliability and transparency stemming from the provisions of the Business Ethics Code (formerly Business Conduct Code), plays a vital role in shaping those relations. All employees of the company are bound by the commitment to respect the Code. It regulates key issues concerning fair market play, anti-corruption and anti-bribery measures, relations with the authorities and data protection. 

Our social engagement is an inseparable part of our business philosophy. Helping people keep control over the amount of calories they consume is just one side of the energy equation. In order to maintain a weight that is beneficial to health one needs to burn calories they take in by engaging in a physical activity.  Therefore, we offer choice and help shape consumption patterns on the one hand. On the other hand we cooperate with state government agencies, sports and nutrition experts and other organizations to run long-term programs promoting sports and physical activity, such as Keep Fit,  Juliada – the Youth Sports Festival or The Coca-Cola Cup and running events.

The effectiveness of social actions is measured based on LBG methodology. Their value last year exceeded 400,000 EUR and over 850,000 people benefited from them.

Promoting active and healthy lifestyles was also the subject of a campaign launched by Coca-Cola in April 2013. Coca-Cola wants to encourage the Poles to introduce a larger amount of exercise into their daily routines, not only in the form of regular sports practice, but also minor daily activities such as a joyful dance at home, walking together, playing with family and friends, painting walls together, gardening, jumping energetically and many others.

One of the key elements supporting the campaign in Poland was the advertising spot entitled “Activity Is Joy” [literally: “Movement Is Joy”], highlighting the value of physical activity in daily life and joy we can find in even the smallest and most obvious aspects of our activity.

100% (permanent monitoring of the entire organization)

100%

All employees completed training on the Business Ethics Code and Anti-Corruption Policy (Irrespectively of e-learning courses carried out before). All the participants also received printed versions of the Business Ethics Code and Anti-Corruption Policy (in the Polish language). Moreover, training on the Business Ethics Code and Anti-Corruption Policy, conducted by direct superiors, became an integral part of the induction program for all newly hired employees.

No incidents were reported in 2013 that might suggest corruption risks. Consequently, no remedial actions were taken. 

Coca-Cola HBC Poland runs its operations in an ethical and transparent way.  In 2013 no professional lobbyist operating in the Polish parliament represented our company or acted for its direct benefit (http://www.sejm.gov.pl/Sejm7.nsf/page/lobbing).

Coca-Cola HBC Poland plays an active role in shaping social and economic life in Poland through its active membership in such organizations as:

• Responsible Business Forum
• Employers of the Republic of Poland
• Polish Federation of Food Industry Union of Employers
• Polish Industry Coalition for Environment-Friendly Packaging Eko-Pak
• Recovery Organization Rekopol

The organizations are often a party to and a participant of the dialog between the business community and the administration at various levels. They ensure effective and transparent participation of businesses in the creation of legal, organizational and economic conditions for the growth of the economy, including the food sector. They represent producers and importers of packaged goods with regard to those businesses' responsibility for recovery and recycling of the packaging for products they introduce to the market or initiate and promote actions for sustainable development.

0 zloty (no political activity was supported)

0 (No such legal proceedings were reported)

0 zloty (No fines were imposed)

Today, consumers are increasingly concerned about a healthy lifestyle and well-being. Lifestyle changes and the obesity problem cause people to expect a wider range of low-calorie products, as well as extra health and well-being benefits. Consumers also expect more detailed information about the ingredients and nutritional value of foods and beverages they consume. Furthermore, parents and teachers want to have control over diets and lifestyle of children under their care. We address those expectations in a number of different ways:

• We ensure a wider choice of beverages: we offer more low-calorie beverages and those with health benefits.
• Nutritional information: we provide more information about the ingredients and nutritional value of our beverages.
• Responsible sales and marketing: we listen to the voices of parents and guardians to make sure we offer beverages to young people in a responsible way. We voluntarily agreed to introduce some internal restrictions on sales promotion especially to ensure that essential decisions regarding purchases are made by children's parents and guardians, people who have a direct influence on shaping young people's eating habits.
• Active lifestyle: we promote physical activity as a response to obesity and overweight

Apart from guidelines resulting from the management systems, implemented and confirmed by audits (including those carried out by independent bodies), a few polices play a crucial role:

• Food quality and safety policy
• Union of European Soft Drinks Associations (UNESDA) commitments
• Supplier guding principles
• Health and well-being policy

All of them are public and available on the company website.

Well-tested international management systems that have direct impact on our products' health safety are applied at all Coca-Cola HBC Poland manufacturing plants. Their daily use guarantees that the product delivered to store shelves is always the same product, with identical taste benefits and quality characteristics. The systems are:

• ISO 9001:2008
• FSSC 22000:2010
• ISO 14001:2004
• OHSAS 18001:2007

We have strict quality control procedures at each stage of the manufacturing process. Our plants can source raw materials and ingredients only from approved suppliers. Both the ingredients and the ready-to-use products are tested in quality control laboratories at our plants. We also run random tests of products that are already sold and can withdraw beverages from store shelves if they do not meet our tough quality norms – even if their consumption is perfectly safe.

Caring about quality and safety goes far beyond the gates of our production plants and starts at the stage where raw materials and their suppliers are selected or even at the research and product development stage, including planning our product portfolio. We offer products, in which new, low-calorie substances are used. One can buy products sweetened with substances other than traditional sugar, including fully natural stevia. Coca-Cola strives to reduce the content of or entirely eliminate artificial colors, flavors and preservatives from its products. Guided by the principle of caution, we do not use genetically modified organisms (GMO) or any ingredients derived from animals modified with genetic engineering.

The long-term Fit for the Future program has been incorporated into the company strategy. It is based on four priorities defined as the pillars of our activity in the area of consumer health care. The pillars are:

1. Extending product choice – to address consumers' needs we are introducing more low-calorie beverages with reduced sugar content.
2. Reliable information about nutritional values of our products – we present it in an understandable and transparent way so that consumers they can easily shape and balance their diets.
3. Responsible marketing and sales – we volunteered to impose internal limitations on our sales promotion activities so that parents and guardians, who directly influence the shaping of young people's consumption habits, could make key shopping decisions.
4. Promoting an active and healthy lifestyle – we encourage people to take up sports, develop and run fitness promotion programs for children and youth, educate the public on healthy diet principles.

Our business strategy, with consumer health at its heart, goes beyond operational business activities and determines our social engagement programs. They are focused on promoting an active, healthy lifestyle and consumers' well-being.

A good measure that can be adopted to objectively assess the above mentioned cases of our products being in breach of compliance is the number of justified complaints from consumers per million of bottles of Coca-Cola HBC Poland's beverages. It should be noted that we managed to cut the number by half after 2010 and, most importantly, the lower level was also kept in 2013.

A consistent labeling system has been in force at Coca-Cola HBC Poland since 2007, which exceeds legal requirements for food and beverage producers. The essence of the system is that labels are placed both on the front and the back of the packaging.

Information on the product's calorie value and the share of a standard serving in a recommended daily amount for an adult person, commonly known as GDA (Guidelines Daily Amount), is placed on the front. A set of data commonly known as "the Big Five" is presented on the back: calorie content, sugar, fats, saturated fats and sodium. "The Big Eight" is used in the case of Powerade ION4 isotonic beverages and Burn energy drink: the five items mentioned above are supplemented with data on the content of carbohydrates, protein and fiber. GDA labeling does not apply to our waters, where it would not make any sense.

Typically, we provide information on the amount of specific nutrients in a single serving of the beverage, most commonly 250 ml (a glass filled to the brim). If the packaging size is 330 ml or 200 ml it is considered to be a single serving and values given on labels refer to the entire packaging.

We also use clear graphic distinction to make it easy for the consumer to distinguish fruit drinks from juices.

We put high emphasis on providing consumers with reliable information about our products.

Starting with the report for 2012 we decided to modify the way in which the satisfaction monitoring results are presented. It involves a number of very detailed questions concerning several dimensions of relations between Coca-Cola HBC Poland and its customers (points of sale). The presented values are a resultant of positive ("good") and very positive ("excellent") notes for a number of indicators. Both points of sale themselves and head offices of the retail chains we cooperate with participate in the survey. The results of comprehensive surveys are aggregated to form overall indices presented in the table above.

As the interpretation of those values would be difficult without a reference to other values, we presented, for the sake of comparison, corresponding results for the entire broadly understood sector (including not just alcohol-free beverages but also the beverage industry, due to several business model similarities). Only such a comparison makes it possible to figure out how emphasis with Coca-Cola HBC Poland places on relations with customers. This aspect sets us apart and therefore constitutes our competitive advantage.

Seven years ago we signed the EU Pledge document (www.eu-pledge.eu), which obliges biggest food and beverage producers to eliminate advertising targeted at children.

Four years ago we agreed voluntarily to respect the rules of the Ethical Code for Food Advertising Targeted at Children developed by the Polish Federation of Food Industry Union of Employers (http://www.pfpz.pl/nowosci/?id_news=999).

We also comply with the requirements imposed by the Union of European Soft Drinks Associations UNESDA (www.unesda.org) and communicate them to the distributors of our products.

No such cases were reported at Coca-Cola HBC Poland in 2013 or earlier years.