INVESTORS » CONTAINERSHIPS AS AN INVESTMENT

Responsibility

Responsibility is part of the competence of a successful company. Corporate responsibility is often divided into financial, environmental and social responsibility.

Financial responsibility means ensuring the economic sustainability of operations. Environmental responsibility includes taking into account, measuring and reporting the environmental impacts arising from operations. Social responsibility includes fair ways of working and working conditions that respect each employee.

Corporate social responsibility – Containerships Group

Containerhips Group aims to be a leader in developing and employing logistics solutions that have minimal environmental impact. Environmental soundness and delivery reliability underlie all business development.

Traffic and transport inevitably give rise to emissions and burden the environment. In the logistics business, however, minimising environmental impact and economy almost always go hand in hand. The fewer kilometres that need to be driven and the less fuel required for transport, the more economical operations are. Choice of the most appropriate mode of transport is also important to minimise emissions into the environment.

Financial responsibility

Sustainability is highly important in Containerships’ business since the Company has defined minimising environmental impacts as a strategic competitive edge. To be able to invest in environmental-aware solutions, business must be profitable. Containerships strives to ensure profitable business, compliance with the law, regulations and contracts, and the correctness of information and financial reporting through systematic risk management, internal control and internal auditing. Risk management, internal control and internal auditing are described in more detail in the Company’s Corporate Governance statement and on the investor pages under Risks and risk management.

As part of its risk management, Containerships has a person in every country it operates in who is responsible for ensuring that operations comply with local legislation. The Group also has internal Code of Conduct, which prohibits all forms of bribery, malpractice and other unlawful activities. The Group does not accept corruption, bribery or attempts thereof in any form whatsoever.

Environmental responsibility

Containerships Group has defined minimising adverse environmental impacts as a strategic objective and sees environmental awareness as competitive edge. Our goal is to be able to offer customers logistics solutions that reduce, for example, the carbon footprint both of customers and their products. The elimination of unnecessary transportation, such as wrong transportation, and damage during handling reduces unnecessary burdening of the environment.

Containerships has identified the environmental impacts deriving from its operations and actively strives to minimise them. The most significant environmental impacts are airborne emissions originating in transport operations.

Containerships complies with the environmental legislation, which acts as the minimum requirement level for operations, in each of the countries in which it operates. Containerships has actively invested in technologies to reduce emissions. This includes sulphur scrubbers aboard ships and LNG trucks with regard to road traffic. Containerships is also committed to reducing the environmental impact on the Baltic Sea by prohibiting ships from emptying wastewater into it.

Containerships has order four new cargo ships, which will be fuelled by Liquefied Natural Gas (LNG). Gas liquefaction condenses the gas for ease of transport and storage on land and at sea. LNG is colourless, odourless and non-toxic.

LNG is the most environmentally-aware shipping fuel. Use of LNG reduces sulphur dioxide emissions by 99% and also undercuts increasingly stricter nitrogen oxide, particulate and carbon dioxide emissions limits. Compared to traditional fuels, use of LNG reduces nitrogen oxide and particulate emissions by 99% and carbon dioxide emissions by a quarter.

Environmental soundness also makes financial sense. Fuel costs will become lower in the long term, whereas the large capacity of ships delivers cost savings in the shorter term. The dual-fuel engines in the vessels Containerships has ordered can also run on traditional fuel oil grades. All our LNG vessels will sail under the flag of an EU member state.

Containerships’ objective is a sustainable door-to-door logistics chain. Besides new ships, the company has also invested in LNG-driven trucks in Finland, Russia and Great Britain. Consequently, Containerships will be the first actor in Europe to have LNG vessels and build an LNG-based logistics chain in Europe. Drivers will also be given training in conjunction with the deployment of LNG. This training will include instructions to prevent methane, a greenhouse gas, from escaping into the air when refuelling vehicles.

Reducing fuel consumption and economical driving are important aspects in developing and monitoring road transport using vehicles running on traditional fuels. Transport management systems are used to, among other things, track location, and the efficient and economical use of the fleet. Containerships’ trucks are fitted with monitoring systems that report fuel consumption and key aspects, such as braking and idling, in the driver’s driving technique. This information helps to provide driver feedback about economical driving and instructions on how to reduce fuel consumption.

Natural phenomena and accidents in particular cause sudden environmental risks in the logistics industry. The Company has an ISO 9001:2008 quality management system in use in Finland, Russia, Lithuania, Latvia, the Netherlands, Great Britain and Ireland, and an ISO 14001:2004 environmental management system in Finland, Russia and the Netherlands. All the Company’s offices use the same Operations Manual in their activities.

Social responsibility

Containerships and its agencies have around 600 employees across 21 countries. Containerships is committed to ensuring a safe, healthy and motivating work environment for its employees. We aim to be a good workplace community by training supervisors and encouraging all employees to be responsible for contributing to building a good workplace community.

Containerships provides occupational healthcare for its employees in Finland and recommends similar solutions, taking into account local practices, for persons responsible in each country in which we operate. Occupational healthcare in Finland includes treatment for illness, preventative measures and, for example, ergonomic checks to promote good health. The Company maintains the working capacity of its employees by, among other things, organising wellbeing at work events and by contributing to the cost of employees’ exercise and sports activities in their free time.

Ensuring safety at work is a priority in the logistics industry. All our drivers in Finland have completed occupational safety card training and the Company recommends similar training in other countries of employment taking into account local practices. Containerships ensures that all drivers are provided with the proper safety equipment to carry out their work safely and oversees implementation of and compliance with working hours legislation.

The Company also ensures occupational safety aboard the Containerships CVII vessel it owns. The Company has separate safety guidelines, which are regularly monitored and updated. The vessel operates in compliance with the ILO’s Maritime Labour Convention and the Company recommends similar practices to its partners from whom it charters vessels.

Containerships complies with the labour legislation in each in which it country. Each newcomer to the Company is given induction training in accordance with the Company’s general induction plan to ensure effective, equal induction for all new employees. Our employees have an opportunity to voice their opinions in regular development discussions. In 2016, Containerships also commissioned an employee survey across the company. The results of this survey will be used in the future development of operations.

Containerships complies with the principles of equality and non-discrimination and respect human rights in all its operations. The Company employs and complies with a separate Code of Conduct.