Sustainability in Pirelli's history
With more than 130 years of industrial tradition and manufacturing experience with the most advanced technologies on an international scale, the Pirelli Group has made a considerable contribution - within the bounds of its abilities and business responsibilities - to the development of products, technologies and management instruments that promote sustainable industrial development, while always pro-actively interacting with the socio-cultural context in which it operated.
Proud of the results achieved so far, Pirelli wishes to respond promptly to the increasing need of communication and discloses the information regarding its sustainability commitment and the company's results in terms of sustainable performance, in light of the ever-growing attention paid by investors to socially responsible companies..
|DECEMBER||In December 2011 Pirelli Voice, the company’s internal magazine in China, was named one the 10 internal magazines that were judged the Top Ten Excellent Enterprise publications in a competition for companies in the Shandong Province. |
The house organ has been published for five years and plays an important role in the diffusion of information and content among our Chinese colleagues, as well as helping to communicate a sense of identity and belonging among its readers.
|NOVEMBER||On Tuesday and Wednesday, the 22nd and 23rd November, Bilbao, in Spain, played host to an engrossing event, the summit on safety and health in the workplace and, more especially, on safe maintenance. One of the companies able to can claim merit in this connection was Pirelli, which emphasized the importance of HSE (Health, Safety and Environment), thanks to which accidents at work, sickness, and environmental mishaps have been halved. In Pirelli about 20,000 people in 13 countries were involved in this initiative. |
On Wednesday, 20th November, Pirelli concluded an important cooperation agreement with ‘Qufu Normal’, the Chinese university that boasts both prestige and a long tradition. We shall undertake to support 25 deserving and financially disadvantaged students so that they are able to complete their studies. In a second project Pirelli shall help the university to keep its ‘China Confucius’ website running and to give backing to the ‘Confucius Culture Month’.
In December Sibur Holding, Pirelli, and Russian Technologies finalized the transaction for transferring Sibur Holding’s Kirov plant to the joint venture set up between Pirelli and Russian Technologies.
In the elegant setting of Hotel Monte del Re (Bologna) the ceremony was held for assigning the Caschi d’Oro trophies awarded by Autosprint, a historic event now being staged for the forty-sixth time. In the company of the top names in motorsport, including Sebastian Vettel and Francesco Castellacci, Pirelli obtained the Casco d’Oro in the “Special” category for its commitment to Formula 1 technology.
Lifegate, as part of the Impatto zero® project, allocated Pirelli Tyre 5,657 sq m of woodland growing in the Parco Rio Vallone and 5,829 sq m of woodland in Costa Rica. In one year this forested area can offset 100% of all CO2 emission generated in 2010 by the Vizzola race track.
In London, on Wednesday 9th November, Pirelli unveiled its Industrial Plan and its vision looking forward to 2015. In the period 2012-14 the Pirelli economic, social, and environmental sustainability plan already started in 2011 will move up a gear. The main aims of the plan are: process and product innovation directed both at personal safety and environmental protection; the extension of the Pirelli sustainable business management model to new industrial operations that become part of the Group; a commitment to developing customer road safety education into a “safety mindset” that claims wider cultural acceptance; bringing out the best in its own personnel as well as investing heavily in training.
In their meeting of Wednesday 8th November, the board of directors of Pirelli & C. S.p.A. examined and approved the interim report on operations at 30th September 2011. The Pirelli Group ended the period with its economic indicators showing an improvement. Revenue was up in the first nine months by 17.9% and profitability (defined as the ratio of operating profit to sales) stood at 10.6%, an advance of two percentage points as compared with 8.5% for the first nine months of 2010. The total net consolidated result for the first nine months was a profit of EUR 251.3 million, 56.8% ahead of the EUR 160.3 million earned in the first nine months of 2010, comparing the consolidation on a like-for-like (before discontinued operations).
For the sixth year running Pirelli won ‘Best Tuning Cars & Best Brands’, the competition run by Auto Illustrierte (AI), the authoritative Swiss car magazine.
Pirelli showed itself to be the unchallenged leader in the Premium segment at Sema in Las Vegas, the biggest show in the car tuning sector, held between the 1st and 4th of November. Pirelli was the winner of the “Best Performance Tyre” award, thanks to the votes of 3.4 million people on e-Bay, and the ”Excellence in Design Award” made by Ford Motor Company to reward product design and product communication.
Pirelli and the Politecnico di Milano signed the “Joint Labs” agreement for research into tyres. The agreement is for a 3-year period, 2011-2014, and focuses on: examining grip and wear in F1 tyres in relation to road surface roughness on the various circuits, innovative materials, and the development of a chip that allows the smart Cyber Tyre to “interpret” the various road surface conditions.
|OCTOBER||On 20th October Pirelli received an award at the eighty-second Tyre and Fast Fit Awards (TAFF) from the National Tyre Distributors Association (NTDA), a trade association representing the interests of tyre dealers in the United Kingdom. In the view of English dealers we outrank competitors for the standard of safety and the reliability of our products. |
For the ninth year in a row Pirelli was the most renowned tyre brand in Brazil and, as the “Top of Mind” award showed, it was also the best known among firms in all segments. The prize was conferred on it on 25th October at San Paolo by the Folha de São Paulo Group.
Pirelli decided to assist in the restoration of the statue donated by Italy to Mexico City at the time of the Olympic Games. The statue by Consantino Nivola, “Hombre de Paz”, was put on display in a garden where a 25-metre metal walkway runs through it, affording a view of the statue and, at the same time, allowing visitors to enjoy protected fauna that flowers in spring as well as a mass of volcanic rock that dates back 2,000 years, without spoiling the environment.
Pirelli signed the Corporate Leaders’ Group on Climate Change, the programme originated at Cambridge University with the aim of bringing together the biggest businesses in Great Britain, Europe, and internationally that share the conviction that new long-term policies are indispensable for tackling climate change.
Pirelli is ready to strengthen its presence in Argentina with a project for a new radial truck tyre production facility that will entail investment of about 300 million dollars by 2014.The new plant will have an output capacity of about 700,000 tyres and revenue of 500 million dollars in 2011 (+40% as against 2010).
A protocol of understanding was signed between Pirelli, the Ministry of the Interior, and the Ministry for Education, Universities, and Research for developing joint action to reduce road accidents. The initiative was announced in the lower house of the Italian Parliament in the presence of the Interior Minister, Roberto Maroni, and the Education Minister, Mariastella Gelmini. A video, produced together with the Police, will explain the role of tyres in safe driving to secondary school pupils.
Pirelli, together with the Brazilian Ministry of Sport and “De Peito Aberto”, an NGO, have embraced the projects of Ara ketu (a Brazilian band that plays Axè music) at Feira de Santana to promote various sports activities – soccer and volley ball – as a training ground for life to benefit the children living close to the factories.
|SEPTEMBER||In Bucharest Art Museum, “Susanna e i vecchioni” ‒ that masterwork of Italian art painted in the seventeenth century by Alessandro Varotari (known as the “Padovanino”) ‒ is enjoying something of a resurrection. Pirelli provided support for the restoration work on this major art work, the result of careful and steadfast efforts by specialists at Bucharest Art Museum. Among those attending its unveiling was the President of the Italian Republic, Giorgio Napolitano, who was in Romania at the time for a two-day State visit. |
Pirelli gave its support to a community building project in Japan by contributing to the funding of so-called mobile libraries that offer a focus for children in areas sorely affected by the earth quake. Thanks to the ‘My Time for Japan’ campaign about 30,000 people have been able to read, browse through, and borrow books through these mobile book-lending services.
On 15th September Pirelli Truck met the international press to present three new lines of tyres. Intended for the winter, highway, and gravel segments, they have been designed for use in testing winter conditions, for long-haulage transport, and for work-site vehicles.
In the Autoparts & Tires industry Pirelli retained its status as a world leader in Sustainability. This is the fifth consecutive year it has claimed the distinction. The ranking emerges from the Dow Jones Sustainability Indexes for the World and Europe.
Pirelli chose Hangar Bicocca as the setting to present the procedures and components involved in producing all of its tyres. It drew on a variety of display and staging aids ‒ graphic art, video clips, multimedia installations mounted by N!03 and Invernomuto, two artistic teams ‒ to lay bare the “secrets” of Pirelli tyres.
On the 9th September Pirelli’s Settimo Torinese factory hosted the “I Pomeriggi Musicali” orchestra, conducted by Luca Pfaff. The concert was an opportunity to bring out the relationship between classical music and the world of work as part of the series of concerts in the MITO 2011 festival.
|AUGUST||Chairman Marco Tronchetti Provera met the Romanian president, Traian Basescu, in Bucharest to acquaint him with the operations and trends pursued by its manufacturing facilities in Romania. |
The Pirelli chairman gave an account of the investment for enlarging the Slatina tyre factory and the many cultural and social events organised in the country. The Romanian Prime Minister, Emil Boc, inaugurated the extension of the Slatina tyre factory together with chairman Marco Tronchetti Provera. Investment by Pirelli, which has already channelled EUR 300 million into the facility between 2005 and 2010, should climb to EUR 450 million by the end of 2014. Output is predicted to rise from 7 million units as planned for the end of 2011 to 10 million units annually by the time of project completion, with an increase in manpower from 2,400 to 2,700. Pirelli completed its voluntary reduction of the company’s share capital by EUR 32,498,345.12. As a result the new share capital of Pirelli & C. S.p.A. is EUR 1,345,380,534.66.
|JULY||The Board of Directors of Pirelli & C. SpA has reviewed and approved the financial statements for the six-months ending 30 June 2011. |
At the group level, the net result on 30 June 2011 was 158.8 million euros, more than double the 77 million for the first six months of 2010 on a like for like basis (before “discontinued operations”). For Pirelli Tyre in particular, the positive trend from the first quarter was confirmed in the second both in terms of sales, which increased by 18.7% to 2,760.9 million euros in the six month period, and of profit, which improved by 2 percentage points to 11.3% compared to the 9.3% for the first half of 2010. In line with the development plan outlined in the industrial plan, the six month period saw a decisive increase in investments, totalling 234.1 million euros, up from 135.4 million euros. The net financial position on 30 June shows a negative of 778.9 million euros compared with the negative 712.8 million euros at the end of March 2010.
|JUNE||Pirelli brings the famous play by Luigi Pirandello to the theatres of Brazil. Thanks to Pirelli’s contribution, in July, the play will also be performed in the cities of Feira de Santana, Campinas and Santo André, where the company's manufacturing facilities are located, and where opportunities to attend cultural initiatives of this kind don't happen very often. |
The Financial Times gives an in-depth review of the great return to Formula 1. Chairman Marco Tronchetti Provera explains that Bernie Ecclestone, head of Formula 1, had some specific requests, one being to develop tyres that deteriorate faster thereby guaranteeing even more exciting races. With a score of 73.88, Pirelli is in 31st place in the 2011 Global RepTrakTM100, the most influential annual study on the world's most reputable companies conducted by the Reputation Institute.
|MAY||From 25 to 29 May, at the Bologna Tradeshow, Pirelli fills a stand with new products, and becomes a star of Autopromotec, the famous exhibition for automotive equipment and aftermarket products, now in its 24th Edition. In the spotlights, ninety Pirelli pieces, such as the Cinturato P1, the Series ST:01, Diablo Rosso II, P Zero, Sottozero Series II. |
Lastly, Energy is launched at Autopromotec, the new summer tyre for medium and small cars which guarantees safety and respect for the environment.
Great excitement at Vizzola Ticino for persons with disabilities. The meeting was held on Sunday, 22 May, at the Pirelli track in Vizzola Ticino and the main attraction was two powerful police vehicles which, together with many other supercars from Ferrari, Porsche and Lamborghini, brought smiles to the many people enjoying a sunny day.
First place for the new Pirelli Diablo Rosso II in the annual sports tyres comparison test conducted by the two prestigious German specialist leaders, Motorrad and PS. Pirelli's new Technological Centre at Settimo Torinese becomes an interesting case study and was discussed in Parliament on Tuesday, 19 April in Rome. The meeting took place in the context of the study “on the validity of the Expense and Support Policies to Underutilized Areas” currently underway at the V Permanent Commission “Treasury Report and Scheduling”.
Pirelli will invest 300 million euros in China over the next three years to meet the growing demand of the world's largest automobile market.
|APRIL||The Pirelli & C. SpA Shareholders’ Meeting met on 21 April in ordinary and extraordinary session. In the ordinary session, the Meeting approved the financial statements for the year 2010, which closed with a consolidated net profit of 4.2 million euros and a net profit for the Parent Company of 87.4 million euros, deliberating on distributing a dividend of 0.165 euros per ordinary share and 0.229 euros per savings share. |
In the extraordinary session the Meeting, lastly, deliberated on modifying the Articles of Association in order to include in the statutory text certain options provided for by legislation at the time when the European Community directive regarding the rights of shareholders of listed companies (so-called Shareholders’ Rights Directive)was implemented in Italy.
In a world in which resources are becoming ever more scarce and the population ever more numerous, the common objective must be sustainable growth. The most recent example of an innovative product from the point of view of reduced energy consumption is the brand new Cinturato P1, launched by Pirelli in March.
In the first official tests, the Cinturato P1 made its mark immediately in terms of fuel savings and reduced noise. Still under the “green” profile, thanks to the 15% weight reduction and innovative technological solutions, the new tyre reduces rolling resistance by up to 25% which, in terms of consumption and polluting emissions, means a saving of up to 5%.
For the tenth consecutive year, Pirelli finds itself in the indices of socially responsible investments by the Financial Times, that is in the FTSE4Good – FTSE Global and FTSE4Good Europe.
In the six-month review of the indices that measure corporate performance in terms of compliance with international standards of economic, social and environmental responsibility, Pirelli is the only Italian company in the Automobile&Parts sector.
Furthermore, for the first time, the FTSE Group has prepared an overall rating for the 2,400 companies included in the index. Pirelli was given a score of 97 on a scale of 1 to 100.
Pirelli is the Italian company with the best corporate governance. This has been confirmed by the World Finance Award 2011, the prestigious international recognition, which has selected the leading companies in the fields of corporate governance and management of financial management since 2007.
|MARCH||Pirelli signs an agreement with Sibur Holding which identifies the assets to transfer to the joint venture being formed between Pirelli and Russian Technologies, by November 2011, at the Kirov facility, whose current production capacity is over 7 million pieces for the Car and Light Truck sector. A commitment to transfer further assets should bring the joint venture's production to 11 million pieces by 2014. The transfer of these assets will take place against a total payment of 222 million euros, with a commitment shared pro-quota between the partners and a disbursement of 55 million euros in 2011 and 167 million euros in 2012. |
The shareholding structure of GWM Renewable Energy II (Gwm Re II), the vehicle which controls the renewable energy activities of the GWM Group, is strengthened. Pirelli Ambiente, through its subsidiary Solar Utility, takes a 16.87% stake in the organization and the Intesa Sanpaolo Group takes a 12.5% stake. GWM Renewable Energy I will hold the remaining 70.63%.
The third edition of the educational project promoted by Pirelli Tyres Romania has ended. The initiative, made possible thanks to the support of the Municipality of Slatina, FC Internazionale and volunteers from Onlus Comunità Nuova Italia, was greatly appreciated by the children, who spent two days of total entertainment.
The Chairman of Pirelli, Marco Tronchetti Provera, and the Managing Director of Pirelli Tyre, Francesco Gori, met on Wednesday 30 March, with the President of Mexico, Felipe Calderon, in his residence in Mexico City. On the agenda was the project recently started by Pirelli to build the Group's first factory in the country.
In fact, in Guanajuato, a factory will be constructed for the production of High Performance and Ultra High Performance tyres for cars and light commercial vehicles destined for the internal market and especially for export to markets in the Nafta area (North American Free Trade Area), in particular the USA.
The new Pirelli tyre, Cinturato P1, for small and medium vehicles will be available on the European spare parts market by the end of 2011 and will be launched also in Latin America and Asia, in sizes 14 to 16.
In Brazil Pirelli launches a new initiative on behalf of local communities and the environment. It is called “Cineco”, which means ecological cinema, and is a project that intends to promote the spread of the cinematographic culture by combing art and ecology.
For the celebration of the 150 years of the Unification of Italy, the President of the Republic, Giorgio Napolitano, and his wife Clio, visited the Pirelli factory at Settimo Torinese where they were enthusiastically welcomed by the employees attending the event.
Pirelli is among the top 10 Italian companies that recorded the highest rates of shareholder profit in 2010. This appears in the study by the Boston Consulting Group (BCG), world leader in consulting on business strategies.
Pirelli is the first tyre supplier to win the prestigious John Deere Award, granted only to those suppliers who over time (5 years) have offered excellence in product and service. Pirelli Agro Brasil has in fact won, for the fifth consecutive year, the World Award for Excellence as the best supplier.
The three schools of Balladère and Anse-à-Pitre, rebuilt thanks to funds raised by Pirelli and its employees, are ready and the 4,000 children are already sitting back at their desks.
The Board of Directors of Pirelli & C. SpA has reviewed and approved the draft financial statements for the 2010 financial year, which closed with decisively increased operating results, higher than the targets announced on 14 October 2010, which had already repeatedly improved during the year.
Pirelli has been declared, for the fourth consecutive year, the Leader in sustainability at the world level in the “Autoparts and Tyres” Sector and by the Gold Class Company in the prestigious Sustainability Yearbook 2011, edited by SAM Group in cooperation with Pricewaterhouse Coopers.
|FEBRUARY||In Tokyo, Francesco Gori, MD of Pirelli Tyre, collected the Toyota Regional Contribution Award for Pirelli, the best tyre supplier of the Japanese firm in South America. Pirelli was rewarded for quality, price and promptness in deliveries. |
The payment date is 27 May 2010 ( dividend to shareholders registered on 24 May 2010). The Annual Financial Statement of Pirelli & C. SpA including the financial statement of the Company and the consolidated financial statement at 31 December 2009 as well as the additional documentation required by the current legislation, is available to the public on the website www.pirelli.com, at the registered office in Milan (Viale Piero e Alberto Pirelli 25) and at Borsa Italian SpA.
American drivers prefer Pirelli tyres for their sports cars. To confirm this is the study conducted by "Original Equipment Tire Satisfaction Index Study” of JD Power & Associates, which every year verifies the general level of satisfaction of drivers based on four parameters: wear, appearance, traction/handling and driving. In 2010, Pirelli comes in at first place and wins the JD Power & Associates Award, for the “Performance Sport” category, recognised by the American consumer as an important indicator of quality and performance.
|JANUARY||Pirelli is the brand of tyres most recommended in the United Kingdom according to the market research recently published by Encircle Marketing, consulting company specialising in the continuous monitoring of the attractiveness of brands. In fact, eight recommendations out of one hundred are in favour of Pirelli, which compared to 2009, increases by about one half point. |
2010 for Pirelli starts with an award that comes from Japan. Autobacs, historical Japanese dealer of spare parts and automotive accessories with branches all over the world, recognised Pirelli as “ best tyre supplier”. The three components that Pirelli was able to put into the field: the significant contribution to sales in 2009, the success of P4 Four Season and the effective team work between headquarters, Pirelli China and Pirelli Japan. The award ceremony was held on 7 January in Tokyo.
The Group continues its commitment in the sector of Sustainability. Pirelli & C. enters in the index of ethical finance ECPI Ethical Index EMU, with the classification of company E. Capital Partners (ECPI), leader in socially responsible investments (SRI). The index includes the 150 companies with higher market capitalisation EMU (Economic and Monetary Union), which proved to be leaders in sustainability from the screening conducted in accordance with ESG (Environmental, Social, Governance) parameters for the assessment of the environmental risk, the social impact and the Corporate Governance organisation.
The 14th Edition of the Cairo ICT, the main trade show of the Middle East and North Africa on telecommunications and Information Technology, included the participation of Pirelli Broadband Solutions. The stand was also honoured by the visit of Minister Tarek Kamel, Egyptian Minister for Communications and Information Technology, who hoped that “dynamic players such as Pirelli Broadband Solutions would participate actively in the large development opportunities of the infrastructures and telecommunications services that Egypt offers". The PBS innovations, from the USB key for mobile access to the Internet and the set top box which combines the capacity of decoder (satellite, terrestrial digital, IPTV and Internet TV) with that of home multimedia centre for the management of personal content, thanks also to the Pirelli Epicentro TM software platform, generated great interest.
Pirelli is the tyre brand of the year also in Nigeria. The award ceremony of the Nigeria Auto Media Awards, the competition organised by the specialised press for the auto and transportation sector, took place in Lagos. For the tyre category, the title of “ Tyre Brand of the Year 2009” was awarded to Pirelli, active in Nigeria through the distributor, The Infinity Group, which with its sale and after sale network contributed to winning the award.
Pirelli Neumáticos España, S.A. starting today can count on the new Hub Logistico at the factory of Manresa ( Spain). The structure, operating since the beginning of the year, covers a total area of 27,000 m2 and includes a new 2,800 m2 warehouse and 19 loading and unloading docks. The site offers services to all the customers in Spain and Portugal and for all divisions (auto, truck and motorcycle), with a handling potential of over 250 tons per day.
The 2010 Edition of Daytona Prototype Rolex 24, the most prestigious endurance race of the Grand Am circuit, saw the victory of the innovative P Zero Racing, tyre slick without highly aromatic oils. The new slicks, tested a month earlier on the same track, showed consistency, endurance and speed, to the complete satisfaction of all the teams, for the third consecutive year all using exclusively Pirelli tyres. The race, marked by heavy rain and wind alternating with clear spells and better temperatures, also saw the new P Zero Racing tyres for rain in action which handled and passed the test of the 48th Daytona. “ We are proud of our organisation and the products that we design, develop and produce”, stated Tom Gravalos, Vice President of Marketing, Motorsport and Original Equipment Pirelli Tire North America. The Daytona Prototype Rolex 24 was won by car # 9 Action Express Porsche Riley, driven byJaoa Barbosa, Terry Borcheller, Ryan Dalziel and Mike Rockenfeller. The team ran 755 laps, an average of 111.930 mph, with a best lap time of 1:41.722 seconds. In total 22,500 laps and 80.100 miles, for a completely Pirelli Daytona.
2009 – Pirelli opens a new facility in Romania for the production of anti-particulate filters: an agreement for the manufacture of filters in China as well, is signed with the Chinese Group, Hixy, while an agreement is signed with Russian Technology for a tyre factory in the Russian region of Samara.
New products are launched in the auto sector (Cinturato P7), in the motorcycle sector (Diablo Rosso Corsa), and in the lorry sector (Regional).
Barcelona was the site selected by Pirelli for the introduction of Scorpion Verde, the first high performance ecological tyre for SUV and Crossover. The result of the “ Green Performance” corporate strategy, Scorpion Verde guarantees an overall reduction in consumption of 3.9% on urban routes and 3.4% on mixed routes (town and out-of-town), reduces acoustic emissions by a decibel (equal to 30% overall and, in other words, is like cancelling an entire lane of a three-lane highway) and used 10% fewer raw materials. Of the last generation SUV and Crossovers, the VW Touareg has already chosen it as original equipment.
The Board of Directors of Pirelli & C. SpA, which met today, reviewed and approved the draft financial statement for the 2009 financial year. The reorganisation, started in 2008 and continuing in 2009 to counteract the effects of the international crisis, has allowed the Pirelli Group to end the financial year with better results compared to the 2009 targets, which had already improved last November, at the time of the announcement of the third quarter results.
With reference to the group targets, we highlight:
Cinturato P7 and P6 is the leader of Green Performance. The tests conducted by ADAC, the most important and prestigious Automobile-Club of Germany and Europe, with over 19 million members, confirms this.
The results of the tests, distributed also through the Automobile Clubs of Austria and Switzerland (TCS and OAMTC), confirm that Pirelli Cinturato P7 is the best tyre in combining high performance, both on wet and dry surfaces, with low resistance to rolling, a higher kilometre return and reduced sound emissions. Similar results for the Cinturato P6 which not only beats them all in the tests, but is also – according to ADAC – the only tyre that can be included in the Green Performance field.