A Message from Our Chief Corporate Responsibility Officer

At Lenovo, we believe in doing what we say and owning what we do. Our annual Sustainability Report offers our stakeholders transparency into our business and tracks our progress year-overyear by publicly reporting on both our successes and areas for improvement. It is an important part of achieving our goals to operate with integrity, meet compliance standards and exceed the expectations of our stakeholders.

Our sustainability strategy reflects our business priorities, impacts and challenges, and importantly, it supports the United Nations Sustainable Development Goals. We organize our approach and sustainability initiatives around four key areas: supply chain, environmental footprint, sustainable products and manufacturing, and community investments. In FY2017/2018, we made progress across all of these areas.

Enhancing Supply Chain Transparency. We take our responsibility as a global corporate citizen seriously. We balance priorities on both the global and local levels and diligently work to ensure we are compliant with the laws and regulations in every country where we ship our products and/or operate our business. We demand the same level of commitment from our supply chain partners. Lenovo supports the United Nations Declaration on Human Rights and through our contracts we require suppliers to comply with our own Supplier Code of Conduct. We also use and comply with the Responsible Business Alliance's Code of Conduct. Lenovo has formally joined the Responsible Minerals Initiative and supports the Responsible Minerals Assurance Process, through which we have increased our overall conflictmineral free status to 82 percent.

Reducing Our Footprint. As part of our commitment to a healthier planet, Lenovo has placed a significant emphasis on combating climate change. We are working to mitigate our impact and reduce our global carbon footprint, as well as holding our suppliers accountable for their contributions. We have reduced our global Scope 1 and 2 Greenhouse Gas emissions by 32 percent since 2010. Following our achieving ISO 50001 Energy Management System (EnMS) certification at all 36 Lenovo locations in the European Union, we recently expanded our EnMS to our Beijing headquarters.

Leading Sustainable Manufacturing. Manufacturing. By continuing to innovate on the sustainable use of materials, we remain a leader in using recycled content plastic in our products. During the last fiscal year, we launched a closed-loop recycled plastic program that incorporated recycled plastic from end-of-life IT and electronics products in our V410z All-in-One desktop and ThinkVision T22v-10 monitor. We are also incorporating approximately 10 to 17 percent post-consumer recycled content plastic in Lenovo high-end server products. Innovative, bio-based packaging materials — like bamboo and sugar cane — are driving down packaging weight to reduce waste, carbon emissions and shipping costs.

Living the Lenovo Way. Our people are our greatest asset in bringing our sustainability commitments to life. In FY 2017/2018, we launched our inaugural Global Week of Service and created the Lenovo Foundation, both of which will amplify our social investment and volunteer initiatives going forward. We look forward to the Lenovo Foundation expanding the impacts of science, technology, engineering and math education and access to technology programs.

Lenovo continues to be recognized as a sustainability leader around the world. In addition to receiving the Hong Kong Institute of Certified Public Accountants "Best Corporate Governance" award in the H-Share Companies and Other Mainland Enterprises Category multiple years in a row, in FY 2017/2018, Lenovo:

  • Earned an A- 2017 Climate Score from CDP (formerly Carbon Disclosure Project) and the CDP Award of Entrepreneurship on Responding to Climate Change;
  • Achieved an AA rating on the 2017 Hang Seng Corporate Sustainability Index;
  • Was the highest ranked company in our industry class on the Corporate Knights Global 100 Most Sustainable Corporations in the World Index; and
  • Received a 70/100 CSR Gold rating from EcoVadis, a leader in business sustainability ratings for global supply chains, and ranking in the top one percent of all suppliers in all categories assessed by EcoVadis.

We are encouraged by our successes and progress but recognize we can do more. As we look ahead to FY 2018/2019 and beyond, we are intent on driving improvements in our environmental sustainability and corporate social responsibility performance both within our operations and our supply chain.

Our commitment to sustainability is unwavering — the following report details how we are making a difference.

John Cerretani
Vice President, Legal
Chief Corporate Responsibility Officer

Sustainability Report
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Our Commitment to Social Responsibility