BUSINESSREPORT

2014

EDITORIAL

2 3

O l i v i e r S a L a U n

P r e s i d e n t & C E O o f P S B I N D U S T R I E S

SUCCESS BEYOND NUMBERS‘‘

‘‘

Annual report time is an opportunity not only to look back but also to look forward and see how

the past year achievements will prepare us to reach our future goals.

Naturally, the fi rst thing we look at is the numbers.

Figures for 2014, the fi rst year of our Ambition 2020 strategic plan, are particularly promising for

PSB INDUSTRIES. With revenues of €262 million and high operational profi tability (EBIT of €22.7

million), we can confi rm our solid cash fl ow and are improving our ROCE. Also noteworthy were

the record number of new products introduced for major customers and the sharp decline in lost

time accidents.

Beyond the numbers, our focus is fi rst and foremost on our people.

It’s about the women and men behind concrete efforts in the areas of innovation, marketing,

safety, procurement and industrial excellence programs, the real keys to profi table growth.

It’s about the women and men who have joined us or sought training to develop cross-company

programs that leverage our synergies and capitalize on the strengths and values of our Group.

It’s about the people on the Board of Directors and Executive Committee who chart the course of

our Group through strong governance.

To all of them, I express my gratitude and renewed full trust.

I would also like to thank all our customers and the partners who support us in our day-to-day

operations.

Together in 2015, we will build on our progress and write the next chapters of our story as we roll

out the Ambition 2020 strategic plan.

As we declared when we unveiled our new visual identity -industrial imagination- at the

anniversary celebration of our business units and PSB INDUSTRIES as a whole last October, the

story has just begun…

THE STORY HAS JUST BEGUN

THE STORY HAS JUST BEGUNHAS JUST BEGUN

4 5

O u r Va L U e S

Assuming our corporate responsibility, leveraging the human and environ-mental dimensions

> Respect

> Ethics

> Team spirit

Focusing on innovation and know-how as long-term factors of success

> Performance

> Excellence

> Creativity

Exceeding customers’ expectations as we co-create value

> Commitment

> Professionalism

> Continuous improvement

To be the preferred industrial partner in the following markets:• Food• Lighting & High-tech

Industries• Luxury & Beauty• Healthcare & Hygiene

> Through responsibility, passion, and innovation to promote progress and well-being

Our ViSiOn

To anticipate and satisfy the needs of our customers

> Through our teams’ effi ciency and unique know-how

Our miSSiOn

PSB INDUSTRIES conceives, develops, and produces innovative, tailor-made high-end solutions

> To optimize the performance of our industrial partners, who are leaders in their markets

Our POSiTiOninG

indUSTRiaL eXCeLLenCe TEXENInvestments in a number of the Group’s plants:> CCM: Investments (>600,000)

in the plant, including a new decorating process (interior lacquer) for Dior

> ROSE: Hot stamping and investments in a screen printing machine for Clarins care products

> MAYET: Technical innovations to create the Dior Fluid Stick (injection and overmolding of a metal ring)

> CEICA: Investment in a 30 bar compressor for PET blow molding purchase of fast prototyping software for LVMH and Bacardi

CGL Pack Investments and developments at the Annecy plant (1 million):> Transformation of a cleanroom

into an ISO 7 cleanroom> Specifi c lines for automation and

automatic discharge of cartons CGL Pack Lorient: implementation of the HACCP approach and BRC/Iop standard (underway)

BAIKOWSKI > 18% reduction in major industrial

consumables through process optimization and purchase structuring

innOVaTiOn

Increase in the number of innovation projects:> Materials:Overmolding of fabric on Surlyn®> Decoration

> Anti-counterfeiting via surface nanostructuring

> 3D digital printing

CGL Pack > Creation of the multi-competencies

«Innov’Pack» team> Nomination of the Clipseal® concept

for the Innovation Awards at the CFIA tradeshow (dedicated to the food suppliers)

> Innovation Award at the Paris Packaging Tradeshow for two innovative material concepts (Clearseal® and Expanseal®)

> Winner of the 2014 Bref Rhône-Alpes Award for its environmental approach using the 3x3® eco-balance tool

BAIKOWSKIMarket diversifi cation through two innovative industrial processes:> Sapphire market: New process for

synthesizing ceramic disks> Miniaturization of electronic systems:

synthesis of micron-sized alumina balls as heat dissipation additives (resins, adhesives, etc.)

maRKeTinG & inTeRnaTiOnaL

TEXEN> Acquisition of C+N Packaging:

Consolidated industrial presence in the beauty market in the U.S. and Poland

> Reinforcement of commercial & marketing team with four new hires

> Recapture of the German market: exclusive sales representative

CGL Pack> Market-based restructuring to

better serve Food, Non-food, Health, and Industrial customers

> Withdrawal from certain non-key markets

> Creation of innovative, eco-design marketing concepts

> Attendance at tradeshows in Asia (benchmark of creative ideas in development of packaging solutions)

BAIKOWSKI> Creation of a Marketing

Department with two newly hired market managers

> Creation of a logistics platform in Shanghai through subcontracting arrangement with a Chinese partner

HUman CaPiTaL > Creation of a Group Human

Resources position> Deployment of the Ambition 2020

strategic plan (video, internal booklet for employees)

> Integration of international teams> kAM (key Account Manager) training

to strengthen the skills of our sales teams

Training helps us hone our skills and rethink our work methods. This KAM training covered the «Major Accounts» approach. It stressed

how important it is to really know both our customers and ourselves to become even more effective.

Yannick Ledorguet / Sales, CGL Pack

‘‘

‘‘5 STRATEgIC AREAS:2014, THE YEAR OF IMPLEMENTATION

‘‘ ‘‘

It is by focusing even more on customer satisfaction in

France and abroad that we are building the future of PSB

INDUSTRIES Group together:

The Ambition 2020 strategic plan that was launched in

2013 is taking shape as we make signifi cant progress

toward our 5 strategic objectives.

Making our customers happy is our highest priority as we

continue to pursue profi table growth.

FinanCiaL manaGemenT> Strengthening of Finance team> Implementation of a 100 million

syndicated loan to fi nance acquisitions and WCR.

> Deployment of WCR project> Purchases: Elaboration of a Group

strategy - Skills development (training) - Establishment of family lead buyers/

project buyers for each business unit - Recruitment of purchasing manager at

Baikowski and development of structuring plan

To secure productivity gains in purchasing, we identifi ed purchase savings of over 3%. This gain came primarily from raw materials and production consumables.

Wilfrid Grossoeuvre / Purchasing, BAIKOWSKI‘‘‘‘

6 7

A SOLID FINANCIAL STRUCTURE‘‘

‘‘

KEYFIgURES

PSB INDUSTRIES achieved sustained growth in 2014, with revenues of €262 million (€257.5 million at constant exchange rates and perimeter). Despite the complex economic climate in our four main markets, dynamic marketing efforts allowed the group to maintain stable operations.

In 2014, PSB INDUSTRIES rolled out numerous initiatives to bolster operational profitability, both in terms of commercial policy and cost management. The operating margin (EBIT) for 2014 was 8.7% (or €22.7 million), up 8.1% over 2013.

With a strong EBITDA* level of €40 million (up €2 million over 2013), the group demonstrated its capacity to generate a significant level of operating cash flow, posting €31.8 million in 2014.

PSB INDUSTRIES’ already solid financial structure was further bolstered in 2014 by a net debt of €69 million, including debt associated with the acquisition of the C+N group, and €109 million in shareholder equity. By boosting operational profitability and using strict debt management, PSB INDUSTRIES improved its ROCE to 9.1% in 2014 (9.3% at constant perimeter).

Given these positive results, the Group proposed that the annual general meeting authorize a dividend of €1.60/share, an 18% increase over 2013. This distribution level allows the Group to consolidate shareholder equity in support of its future growth.

PSB INDUSTRIES’ efforts over the course of 2014 to align its financing structure with the Ambition 2020 plan culminated in February 2015 with the signature of a €100 million syndicated loan (with a minimum maturity of 5 years) to round out existing medium-term financing.

Priorities for 2015 will be the integration of the C+N Group, proceeding with the 2020 Ambition plan and structuring PSB INDUSTRIES.

IMPROVED OPERATIONAL RESULTS

‘‘ ‘‘

R é m i W e i d e n m a n n /Rémi We idenmann , CFO, PSB INDUSTR IES

REVENUES

RETURN ON CAPITAL EMPLOYED (ROCE)

REVENUES BY BUSINESS

REVENUESBY LOCATION

NET INCOME IN €MILLION

AND DIVIDEND / SHARE

OPERATING FREE CASH FLOW(1)*

AND INVESTMENTS(2)

EBITDA* AND EBITIN €MILLION

NET DEBTS (IN €MILLION) AND NET DEBT-

TO-EQUITY RATIO

65%Beauty

Packaging

36%FRANCE19%

Custom Packaging

6% ASIA

16%Specialty

Chemicals

28%AMERICAS

2013 2014

Chiffre d’affaires

257,0M€ 262,0 M€

2013 2014

12,6M€

13,9 M€40,0 M€

22,7M€

38,0M€

2013 2014

21,0M€

2013 2014

8,5%9,1%

2013 2014

44,1M€(1)

31,8M€(1)

2013 2014

65,7M€69,0 M€

63%67%

11,5M€(2)11,1M€(2)

1,60€1,35€

2013 2014

Chiffre d’affaires

257,0M€ 262,0 M€

2013 2014

12,6M€

13,9 M€40,0 M€

22,7M€

38,0M€

2013 2014

21,0M€

2013 2014

8,5%9,1%

2013 2014

44,1M€(1)

31,8M€(1)

2013 2014

65,7M€69,0 M€

63%67%

11,5M€(2)11,1M€(2)

1,60€1,35€2013 2014

Chiffre d’affaires

257,0M€ 262,0 M€

2013 2014

12,6M€

13,9 M€40,0 M€

22,7M€

38,0M€

2013 2014

21,0M€

2013 2014

8,5%9,1%

2013 2014

44,1M€(1)

31,8M€(1)

2013 2014

65,7M€69,0 M€

63%67%

11,5M€(2)11,1M€(2)

1,60€1,35€

2013 2014

Chiffre d’affaires

257,0M€ 262,0 M€

2013 2014

12,6M€

13,9 M€40,0 M€

22,7M€

38,0M€

2013 2014

21,0M€

2013 2014

8,5%9,1%

2013 2014

44,1M€(1)

31,8M€(1)

2013 2014

65,7M€69,0 M€

63%67%

11,5M€(2)11,1M€(2)

1,60€1,35€2013 2014

Chiffre d’affaires

257,0M€ 262,0 M€

2013 2014

12,6M€

13,9 M€40,0 M€

22,7M€

38,0M€

2013 2014

21,0M€

2013 2014

8,5%9,1%

2013 2014

44,1M€(1)

31,8M€(1)

2013 2014

65,7M€69,0 M€

63%67%

11,5M€(2)11,1M€(2)

1,60€1,35€

2013 2014

Chiffre d’affaires

257,0M€ 262,0 M€

2013 2014

12,6M€

13,9 M€40,0 M€

22,7M€

38,0M€

2013 2014

21,0M€

2013 2014

8,5%9,1%

2013 2014

44,1M€(1)

31,8M€(1)

2013 2014

65,7M€69,0 M€

63%67%

11,5M€(2)11,1M€(2)

1,60€1,35€

EBIT EBIT

EBITDAEBITDA

*excluding investments

30%EUROPE

* EBITDA: Operating income +/- variations in depreciation and non-operating provisions

30

35

40

45

50

55

60

PSB INDUSTRIESSHARE PRICE

FOR THE YEAR 2014

January 2014 December 2014

BAIKOwSKI d e n i s d e RU e L L e S / P re s i den t o f B a i KOW S K i

8 9

A YEAR BEYOND OUR EXPECTATIONS

>

innOVaTiOn dRiVinG deVeLOPmenT

In these challenging times – marked by sapphire’s «industrial adventure» in smartphones, the downturn in historic markets, and sluggish new market development – we have stayed the course in terms of industrial rationaliza-tion (methods, purchasing, process optimization) and continued our R&D efforts (co-development with customers, process consolidation, new pro-duct studies).

We completed the fi rst phase of our efforts to strengthen our R&D and marketing resources by recruiting two market managers whose primary mission will be to advise us on our short-, medium-, and long-term strategic choices (segmentation, market understanding, investments).

2015-2016

Our main challenge for the next two years will be the launch of the four high-priority projects set out in our 2020 ambition plan (Sap-phire, Batteries, Thermal Additives, and Transparent Ceramics). The goal of these projects is to offset declining markets (e.g., conventional lighting) in the medium term, while fostering recurring development in our niche mar-kets (CMP, polishes, ceramics, and composites).

COnSOLidaTed ReSULTS

The year 2014 ended with revenues slightly up and consolidated income markedly improved over 2013, thanks in particular to actions taken to re-duce fi xed and variable costs.

In terms of business activity, we gained signifi cant ground with the sapphire market for smartphones, offsetting the lackluster growth in our historic markets of fl uorescent lighting and watches.

Our other historic markets (HID lamps, CMP semiconductors, tech-nical ceramics, and polishing) are holding steady or experiencing slight growth, buoyed by the confidence of customers such as Air Products, Osram, Ceramtec, and others.

In new markets, we are seeing notable growth in the YAG field for high-power LEDs, whereas the lithium battery market, which is stable in terms of volume, is suffering from price erosion accentuated by the weak Japanese yen. Transparent ceramics are still garnering intensive interest, which Baikowski intends to leverage in the coming years through industrial and business applications.

Sapphire for telephones and screens

We WiLL LeVeRaGe OUR THRee maJOR COmPeTiTiVe adVanTaGeS

> The diversity of our market portfolio> Our mastery of processes, on several continents> Unique products dedicated to each customer application

1- Transparent ceramics2- Thermal additives 3- LED

REMARKABLE gROwTH IN THE YAg FIELD FOR LED LIgHTS

‘‘

‘‘

1

2

3

CgL Pack Sy l va i n R aU X / PRES IDENT OF C G L Pa c k

10 11

ENHANCED PROFITABILITY FOR REwARDINg gROwTH

>

CGL Pack operations confi rmed its recovery in 2014. Our strategic plan, coupled with the specifi c actions targeting our product mix, yielded very encouraging results.

Revenues stabilized at around €48.5 million, gaining back over €2 million, much of it in the Food industry, our main market. Notable in 2014 was the strong growth with historic customers like Mix’Buffet and Bigard, and the rise of new key accounts, such as Groupe Agrial. However, the Healthcare market, where CGL Pack has built extensive expertise in recent years, remained rather quiet compared to 2013. This was mainly due to the impact of our customer Becton Dickinson’s sales, which were down markedly in the second half of 2014. Nonetheless, all of the contracts binding us to these key accounts were renewed without hesitation. As for our activities in the Non-food Distribution market, we saw a fairly signifi cant drop over 2013. A few major customers in this market experienced fl agging sales due to the dismal DIY and Non-food Distribution markets.

Our profi tability improved notably and is fi rmly in line with objectives, thanks to a number of factors:

> Discontinuation of products with no added value> New business > Partially favorable material prices> Structural and operating costs control > Industrial productivity increase> Higher prices for several products

2014 was also a year of business development. Thanks to the hard work of our teams, we established a new record for potential business opportuni-ties-some of which have already yielded results.

For 2015, we anticipate a return to growth, particularly in the Food and Healthcare markets. Developments from the previous year will contribute to profi table growth throughout 2015. Next year’s challenges center on our strategic objectives:

Diversify our technology offerings (injection, printing, etc.) Develop specifi c products for the food professions and food industry customers Boost our Healthcare market positioning by acquiring new customers

Customer: Bigard

Red rPET steak tray

Customer: FeRRinG

Thermoformed PET cushioning for treatment kit

Customer: Bonduelle

Complete meal kit: Thermoformed rPET tray inserted in a carton

Customer: Sanofi

PET multi-pack: 25 veterinary vaccine vials

Clipseal®

Patented system

maJOR adVanCeS FOR PROFiTaBLe GROWTH:

We qualifi ed our Annecy facility with an ISO 7-certifi ed cleanroom and automa-ted line outputs. We also resumed upgrading work at our Lorient facility to serve our Food Industry customers even better. Innovation continues to drive us, and in 2014, we created «Innov’Pack», a multi-competence team tasked with analyzing the challenges our customers face and implementing packaging solu-tions and concepts such as Clipseal®.

None of this would be possible without the commitment of our workforce, who we provide with regular training (we trained and certifi ed thermoforming setters through a Professional Qualifi cation Certifi cate [PQC] program in 2014). We also stepped up our on-site oc-cupational health and safety efforts, considerably reducing the number of lost time accidents in 2014.

Rimmel Solo Wonderfulmascara® (COTY)

Cap and tube created by blow molding with metallization

and hot stampingProduction facility: MAYET

Opium Black perfume(YVeS SainT LaURenT)

Cap injected and assembled with an insert to keep it on the perfume

bottle. Hot-stamped decoration.Production facility: CMSI

GROWTH and innOVaTiOn, a WinninG COmBinaTiOn

Since its founding in 2013, Texen Lab has sparked the curiosity of current and prospective customers with deve-lopments like the overmolding of fa-bric on Surlyn®, decoration (diffractive effect) and anti-counterfeiting using surface nanostructuring, 3D digital printing, and other ideas. After the many lab visits organized in recent months, Texen Lab activities are picking up pace. To better assist its customers, the lab has partnered with Materiautech® (Allizé Plasturgie), which works to promote the plastics industry and innovative businesses.

Current business forecasts are positive for 2015, with a mix of organic and external growth, particularly in Asia. Much of the year will be dedicated to in-depth structural work to help inte-grate the teams that recently joined us and to fulfi ll our customers’ needs in new geographic areas.

neW SKiLL, STROnGeR TeamS

2014 saw the acquisition of C+N Packaging (€20 million in revenues - 250 employees - 2 sites in the U.S. and 1 in Poland), a group specialized in injection molding and surface treatments (high-end varnishing, lacquering, and metalliza-tion). This acquisition will allow Texen to strengthen its customer portfolio, par-ticularly in the Beauty & Perfume markets (Avon, Elizabeth Arden, Estée Lauder, and Shiseido) and acquire several positions on the Spirits market. This «human-scale» acquisition is in line with our Group’s values and, given C+N Packaging’s technological and geographic position, is a perfect fi t. The acquisition will open up new opportunities for us in the U.S. and Eastern European markets.Faced with these changes, Texen’s teams have grown, particularly with the arrival in 2014 of a new HRD, as well as a new Financial Director and a Technical Director. From a sales and development perspective, we doubled the number of employees of these teams in one year in order to respond to new customer developments.

This situation masks some major contrasts:

On the one hand, the Luxury market grew strongly, posting a 10% increase. On the other hand, the «masstige» market was down 7%, in Mexico and the United States in particular. This decline has been offset by major new develop-ments, such as Dior’s rechargeable serum, Hermès’s perfume cap, the Roberto Cavalli bottle cap, Coty’s Rimmel mascara, and many other prestigious launches.

Jeu d’Amourperfume(KENZO)

A superb injected cap in Surlyn®(ionomer resin)

Production facility:CMSI

dior Serum

Dior’s fi rst rechargeable care line:

- Screen printing and hot stamping decoration

- Varnishing and lacquering inside the bottle

Production facilities:CCM Surface treatmentCMSI Injection

TEXEN Fa b r i c e B a R aVaG L i O / P re s i den t o f T e X e n

12 13

INNOVATION AND INTERNATIONAL DEVELOPMENT>

For 2014, Texen’s revenues were stable after a record year in 2013.

in 2014 TeXen’S eXPeRTiSe and ReLiaBiLiTY eaRned US TWO aWaRdS FROm maJOR CUSTOmeRS:

Or Rouge lineYVeS SainT LaURenT

Texen produced the injected black cap that is assembled with a metal top engraved with YSL.

Production facility:CMSI

Yves Rocher presented Texen with the “2014 Supplier Trophy, Quality Category“

1- Anne-Louise Rossand, Sales Representative, Texen2- Serge Darsat, Sales Director, Texen3- Olivier Djezvedjian, Purchasing & Quality Director,

Yves Rocher

Estée Lauder recognized our industrial excellence

“2014 Supplier Excellence Award for Operating Performance“

14 15

As part of its environmental performance, the Group deploys human

and material resources, including an HSE manager (Health, Safety,

Environment) at each PSB INDUSTRIES business unit as well as health

and safety agents at each facility.

gOVERNANCE TOwARDS THE FUTURE

‘‘

TEXEN

- Plants equipped with skimming/settling tank: separation of hydrocarbons to avoid discharge into storm water

- Recycling of up to 40% of sprues

- Use of refrigerated units to heat shop floors and offices

- Carbon balance carried out at four sites

- CEICA expansion consisting of a 5,500 m² wooden structure (safer and more environmentally friendly)

- Skylights installed to reduce number of lights needed

CEICA facility (wooden architecture )

CGL Pack

At CGL Pack, CSR is a daily concern that takes all stakeholders into account. The company’s responsible actions are summed up every year in a booklet that presents projects rolled out in accordance with the three pillars of sustainable development. For the environment, CGL Pack continues working toward carbon-free growth, reducing its footprint by 12% since 2009.

BAIKOWSKI

- Gas consumption reduced by 10% at the Annecy facility through optimization of several industrial procedures

- Carbon balance carried out on Alun

-10%

GASCONSUMPTION

100

Indicateur Carbone CGL PackKgCO² émis / Kg emballages vendus

base100 = 2009

CO2 index % of savings

2009 2010 2011 2012 2013 2014

1,73 4,2 6,1 8,5 11,9

98,3 95,8 93,9 91,5 88,1

0

CARBONINDICATOR

Kg of CO² emitted/Kg of packages soldbase 100 = 2009

Annecy facility

- Savings of over 43% on gas consumption from 2013 to 2014

- New LED lighting system in the finished product warehouse

Lorient facility

- Heat recovery from compressors and refrigerated units to fuel heating system in shop floors and stores

- Dimmers installed on granulator lines to reduce energy consumption

2 certifying bodies (LRQA and AFAQ)

CeRTiFiCaTiOnS

All facilities are ISO9001-certified (quality standard). PSB INDUSTRIES intends to extend OHSaS 18001 (occupational health and safety standard) and iSO14001 (environmental standard) certification to all of its facilities in the coming years.

PSB INDUSTRIES continued to enhance its governance in 2014 by drawing on the corporate governance code for listed companies (AFEP-MEDEF). The company partially renewed its Board of Directors at the May 27, 2014 General Assembly by appointing four independent direc-tors, with respect to the principle of diversity in governance. The Board of Directors can now access new competencies to round out those of the representatives of historic family shareholders, who remain very involved and continue to provide strong support to the company.In 2014, the Board of Directors conducted a comparative study on go-vernance practices, assessed its ability to meet shareholders’ expecta-tions, and adopted internal regulations setting out operating rules and procedures for itself and for its specialized committees:- Strategic Committee,- Audit Committee- Compensation Committee

These committees complement the cross-company working groups within the organization by facilitating and enhancing the Board of Directors’ work and decisions, enabling us to envision the future of the Group with serenity.

G e n e R a L a S S e m B LY

C G L PaC KT E x E N B a i KOW S K i

B Oa R d O F d i R e C TO R S

e X e C U T i V e C O m m i T T e e ( C O m e X )

Audit Committee

Compensation Committee

Strategy Committee

President and CEO

G R O U P T O P m a n a G e m e n T ( G T m )

RESPONSIBLE DEVELOPMENT RESPECTINg THE ENVIRONMENT

‘‘

COmmiTed FamiLY and indUSTRiaL SHaReHOLdeRS

‘‘

CORPORATE SOCIAL

RESPONSIBILITY(CSR)

GOVERNANCE

‘‘

PSB INDUSTRIES Board of Directors

%: shares held

21,2%

18%

16%

10,5%

ProvendisSA

33,8%

0,5%

Private

Entremont Family

Cachat Family

Wirth Family

Treasury Shares

Top, left to right

> Sylvain RaUX President of the Custom Packaging unit (CGL Pack)

> Rémi Weidenmann CFO, PSB INDUSTRIES

> Fabrice BaRaVaGLiO President of the Beauty Packaging unit (TExEN)

Bottom, left to right

> Sandra HOnG Director of Human Resources, PSB INDUSTRIES

> Olivier SaLaUn President and CEO, PSB INDUSTRIES

> denis deRUeLLeS President of the Specialty Chemicals unit (BAIkOWSkI)

COMExThe COMEx was strengthened in 2014 by the arrival of two new members: Sandra HONG, who’s position as Director of Human Resources was created at the beginning of the year, and Rémi WEIDENMANN as the new CFO.

16 17

* Severity rate: Number of days off work due to lost time accidents with sick leave per thousand hours worked

** Frequency rate: Number of lost time accidents with sick leave per million hours worked

1,1*

26,3**

0,7*

20,9**

20142013

5662

20142013

20 11017 320

*Training rate (= training expenses/payroll)

1,9*1,8*

In 2014, 5,133 training hours were dedicated to safety (i.e., 26% of the total number of training hours).

NUMBER OFTRAININGHOURS

LOST TIMEACCIDENTS

50% 55% 45%50%

2014 2013

EMPLOYEES BY GENDER*

IN 2014 THE PSB INDUSTRIES GROUP HAD>3 BUSINESS UNITS>17 PRODUCTION FACILITIES*>1,578 EMPLOYEES

Beauty Packaging

Custom Packaging

Specialty Chemicals

Société mère

956

1 184

243 243

145143 6 6

Distribution of employees by profession

201420132013 201420142013 20142013

EMPLOYEES BY BUSINESS UNIT

HUMAN CAPITAL: OUR BIggEST ASSET‘‘

*Not including group subsidiaries in the U.S., where collecting this information is not permitted by law.

*Including a joint venture in Japan

The women and men at PSB IN-

DUSTRIES are the heart and

soul of the Group and our big-

gest asset, which is why we are

committed to developing our

human capital and supporting

our managers.

The Human Resources Policy,

based on the Group values, aims

to guarantee a safe and healthy

environment for all.

The HR Department was structu-

red in 2014 with the creation of

an HR Director position as well as

an HR Steering Committee made

up of representatives from each

business unit who meet on a

monthly basis. The committee’s

mission is to establish priority

actions, discuss best practices,

and lead cross-company projects.

The focus for 2014 was on profes-

sional (key Account Management,

Purchasing), language and manage-

ment (employee development,

proximity management) trainings.

The Group, with its workforce of

roughly 1,600 people, is continuous-

ly growing. We must develop and

recruit new talents, both in France

and internationally.

In 2014, we recruited 174 new

people. We also encourage internal

mobility to foster the sharing of

knowledge and culture. Appren-

ticeship, a real opportunity for

young people to gain real on-the-

job experience, continue to grow

and must be expanded further.

Continuous improvement hinges

on our performance both as indivi-

duals and a group. In annual re-

views with their supervisors, all

employees must get feedback on

the quality of their work and how

they can progress.

Fostering skill development

also allows us to anticipate the

future.

Skills planning initiatives and rela-

ted tools, like those we have in

place in the Specialty Chemicals

business unit, need to be enhanced

to align employee career paths

with company needs and strategy.

The dialogue we have with our staff

is a source of wealth and new ideas.

This entrepreneurial spirit is part of

the Group’s DNA and we must pre-

serve it while opening ourselves up

to new environments around the

world.

On-site breakfasts

In addition to conventional communication platforms (newsletters, communication from managers, etc.), discussion breakfasts were held with PSB Management in 2014 and will continue in 2015. C+N employees, who recently joined the Beauty Packaging business unit, appreciated this open and direct type of communication with their «new family».

Corporate Games: A friendly competition and some great results

For the second year running, the Group took part in the Corporate Games multisport challenge in Annecy. Six medals were awarded to the Group’s members at this fun event designed to boost the all-important feeling of team spirit that brings us all together!

Safety, an imperative for all

Our safety indicators improved in 2014, but there is always more to be done. That is why we’re continuing our campaign and promoting safe

behaviors by and for all.

EMPLOYEESBY REGION

Safety communicationour campaign our campaign our campaign That is why we’re continuing our campaign our campaign our campaign our campaign our campaign

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tiour campaign That is why we’re continuing our campaign That is why we’re continuing our campaign our campaign our campaign our campaign our campaign our campaign our campaign our campaign our campaign That is why we’re continuing our campaign That is why we’re continuing our campaign our campaign our campaign 2013 2014 20132013 20142014

68%

79%

11%

22%21%

0%

France Rest of Europe Americas

Répartition de l’effectif par région

gUARANTEEINg A SAFE AND HEALTHY ENVIRONMENT

‘‘ ‘‘

S a n d ra H O n GHuman Resou rce s D i re c to r , PSB INDUSTR IES

(Excluding equity affi liates, particularly in Asia)

50% 55% 45%50%

2014 2013

‘‘

CORPORATE SOCIAL

RESPONSIBILITY(CSR)

18 19

FOOd & diSTRiBUTiOn

3MAGRIALBLACK&DECKERBIGARDBONDUELLEDIMEURIALFLORETTEMARTINETMARVINPACMIx’BUFFETROUTINSB ALLIANCE

AMWAYAVONBACARDIBOURJOISCHANELCLARINSCOTY(Roberto Cavalli, Davidoff, Rimmel,Lancaster, Guess...)ESTEE LAUDERHERMES

INTERPARFUMS (Jimmy Choo)

L’OREAL(Giorgio Armani, Helena Rubinstein, Lancôme,L’Oréal Paris,Yves Saint Laurent, GemeyMaybelline... )LVMH(Dior, Guerlain,Givenchy, kenzo,S+ , Benefi t... )

VICTORIA SECRETYVES ROCHER

LiGHTinG & HiGH-TeCH indUSTRieS

AIR PRODUCTSAUTOLIVBOSCHCERAMTECCOMADUR GROUPE SWATCHDJEVAESSILORFILMTRONICSGENERAL ELECTRICISOVERkYOCERANGkOSRAMPHILIPSSONYVALEOWD-40

HeaLTHCaRe & HYGiene

ATRIUMBD PHARMACEUTICALBIOMERIEUxBOIRONKIMBERLEY-CLARKLILLYNICE-PAkPIERRE FABRESANOFISMITHS MEDICALUCB

LUXURY & BeaUTY

PRESTIgIOUS INTERNATIONAL REFERENCES‘‘

‘‘

BRANDS & CUSTOMERS

PSB INDUSTRIESBP 22 / F-74001 Annecy Cedex Tel. +33 4 50 09 00 02 / Fax +33 4 50 27 11 78www.psbindus.com

TEXENZI Le Pognat / BP 77 / F-01460 BrionTel. +33 4 74 76 71 60 / Fax +33 4 74 76 71 58 www.groupetexen.fr

CGL PACK BP 9020 / F-74990 Annecy Cedex 9Tel. +33 4 50 27 34 50 / Fax +33 4 50 27 34 47www.cglpack.com

BAIKOWSKIBP 501 / F-74339 La Balme de Sillingy CedexTel. +33 4 50 22 69 02 / Fax +33 4 50 22 28 92www.baikowski.com

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