The Multi-Color Sustainability Roadmap - Home Care & laundry

Home Care & Laundry

The Multi-Color Sustainability Roadmap

Our Sustainability Credo

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On a daily basis, we are aiming to be a sustainable partner for our customers in the home care & laundry market, with a major focus on the development of sustainable label

solutions.

We engage with multiple stakeholder

partners

who are pursuing a sustainable future. By signing global pacts, we are demonstrating our commitment to minimizing environmental impact.

We maintain a continuous

improvement

approach in each facility globally. Our aim

is to reduce energy and water usage, as well as implementing waste reduction strategies.

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Our Global Contribution Towards a Sustainable Future Dear reader, At MCC, we continuously strive for sustainable development that provides shared value and helps build a brighter future for all. The topics covered in this home care & laundry focused roadmap will show you how quality, innovation and responsibility can go hand in hand.

1. Our vision on sustainability On the following pages, you’ll learn more about MCC’s vision on sustainability. We talked to 3 experts to get their perspective on sustainable trends and label solutions within the home care & laundry market.

2. Our ambition to build and maintain a sustainable partner network We team up with ‘green companies’ who recognize our efforts and help us move forward as a premium label provider. Our partners keep us informed, and motivate us to stay committed to several sustainability goals.

3. Our commitment to pursue sustainable development and deliver on our 2025 goals We strive to optimize our supply chain and production process. We do this by pursuing sustainable development across all our facilities and a better future for all. How do we plan to achieve this? We have set ourselves clear goals for 2025, which we communicate openly.

4. Our aim to offer the most sustainable label solutions on the home care & laundry market Our R&D team is constantly working on label upgrades. This means that we have ‘green solutions’ for every label type in our range. Be inspired by interesting customer cases from the home care & laundry market.

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At MCC we CARE about a better tomorrow, today.

This simple statement embodies what we do every day at MCC. We continuously strive for sustainable development that provides shared value and helps build a brighter future for all.”

Dr. Stijn Billiet, Global Director Sustainability at MCC

5. Our efforts to educate and engage people about the importance of sustainability MCC’s employees are passionate about sustainability. This commitment from our associates is what makes MCC the sustainable company we are today. MCC is also passionate about nurturing our people’s talents and sharing their knowledge of sustainability with customers and local communities. Various projects are set up to ensure that the talent of our people is nurtured and that their knowledge can be shared with customers and local communities.

Are you interested in sustainable label solutions for your home care & laundry brand?

Visit our website www.mcclabel.com to learn more.

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In this issue 6-7

Our Vision on Sustainability

8-9

Sustainable Partnerships

10-11

Sustainable Efforts

Read all about our sustainability vision and how it relates to the home care & laundry market. Find out what MCC has to offer for your market in terms of sustainability.

Find out with which stakeholder partners in the home care & laundry market we engage on working together towards a sustainable future.

Discover how in the home care & laundry market we optimize our supply chain and production process.

6 Interview on MCC’s Sustainability Vision With a Panel of Experts

8 Meet our Sustainable Partners

10 Our Goals for 2025

12-15

Sustainable Label Solutions

16-19

Sustainable Community

At MCC, our research & development team is constantly searching for label upgrades that meet today’s sustainability needs in your market.

Sustainability engages our employees and they contribute to a sustainable MCC. Find out which projects have been set up in the home care & laundry market.

12 Our Sustainable Offering

16 Engaged Employees Create a Sustainable MCC

14 Customer Cases

18 Let’s Learn Together

The Multi-Color Sustainability Roadmap on Home Care & Laundry The content of this document, including attachment(s) are property of MCC and should be treated as confidential. It cannot be shared with or forwarded to third parties and cannot be published without our prior permission. If you have any questions regarding the use of this document, Please email to marketing@mcclabel.com. Printed on FSC recycled paper.

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Our Sustainability Vision

A Persistent Pursuit of a Better Tomorrow, Today

MCC works every single day towards sustainable development that helps build a brighter future for all. Our customers’ growing demand for a sustainable approach is getting louder each day. Therefore, we commit ourselves to minimize environmental impact and develop sustainable label solutions that meet the needs of our customers and partners within the value chain. Based on our corporate values of integrity, passion, creativity, perseverance and achievement, we describe here how we work towards this every single day. We spoke with three MCC key figures to get their vision on sustainability, and all things sustainable in the home care & laundry space.

Q: Sustainability is an allencompassing concept. What does sustainability mean to MCC and where does MCC put the emphasis?

SB: For us at MCC, the best definition of sustainability is meeting the needs of all our stakeholders without compromising the ability of future generations to meet their own needs.

Dr. Stijn Billiet We are not only limiting this to the Global Director Sustainability environmental side, but equally important are the social, economic and governance aspects. In 2020 we unified this into our sustainability vision. The simple statement “At MCC we CARE about a better tomorrow, today” embodies what we try to do daily at MCC. We continuously work to ensure that we stay a responsible leader in the market and expand our portfolio of sustainable solutions for all stakeholders. CARE is also an acronym for our four main pillars within sustainability.

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The first pillar is Collaborate. This means that at MCC, we engage with multiple stakeholder partners throughout the value chain who are aiming for a sustainable future.

Secondly, we have Act. We want to lead by taking action to optimize our supply chain and production process. We will use a continuous improvement approach in each facility globally with clear and transparent reporting about our KPI goals and progress made.

Act is followed by the third pillar, Resolve. We want to offer label solutions that meet today’s sustainability needs. By understanding our customers’ goals, we offer the optimal label solution that is also the most sustainable.

We end up with the fourth pillar, Engage. At the core of our business are the people we interact with every day. We know that our people are our greatest asset as they are the key ingredient in making us more sustainable, which is one of our most important competitive advantages.

Q: A sustainability policy is invaluable today, but has it always been the case? How would you describe MCC’s evolution in terms of sustainability: from where have we come and how do you see MCC evolving in the future?

SB: MCC was established in 1916 and this long experience in providing premium label solutions has always been combined with an ecological mindset. With the strong growth that the company has experienced in the last years, we determined that there was indeed a greater need to update our sustainability strategy to ensure that it fits within the new MCC family. The first steps in elaborating this sustainability policy were taken in 2020. However, more details will be made public in the coming months. In offering sustainable solutions to our customers, we consider regional differences and, of course, market-specific trends. For the home care & laundry market, we have a lot to offer, and we are excited to be able to share this with the outside world and all our stakeholders.

Q: What role does sustainability play in the home care & laundry market?

CB: Consumers are motivated to choose brands that align with their priorities and brand values. Nowadays, we see that consumers start to attach more importance to and see added value in sustainability. There are specific brands within the home care & laundry market that have prioritized the environment and see Dr. Craig Bushman sustainability as one of their key Vice President Research & focus points. Those brands have Development sustainability as a natural outcome.

We certainly see some transition taking place as the home care & laundry market is starting to recognize that consumers are willing to pay more for brands that have a sustainable message. Consequently, this is a key motivator for them in their willingness to invest in sustainable solutions.

Q: How does MCC succeed time after time in providing customers with appropriate, up-to-date and sustainable solutions?

DP: MCC is committed to ensuring sound environmental practices are a part of our daily process. We believe that sustainability is our joint responsibility and opportunity. We are an active participant with key industry partners surrounding environmentally sustainable initiatives such as waste reduction, environmentally friendly materials, recyclability of materials and energy efficient production technologies. Next to the Ellen MacArthur Foundation and the Association of Plastic Recyclers (APR), we are also actively involved with the Sustainable Packaging Coalition (SPC), and work closely together with the European PET Bottle Platform

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We certainly see some transition taking place as the home care & laundry market is starting to recognize that consumers are willing to pay more for brands that have a sustainable message.”

Dr. Craig Bushman, Vice President Research & Development

(EPBP) to ensure our sustainable product offerings pass their stringent requirements. All of this allows us to be a sustainable label solutions leader for the home care & laundry market.

Q: What do you think MCC has to offer the home care & laundry market in terms of sustainability?

DP: MCC has an extensive offering of sustainable products to service the home care & laundry market that help brands achieve goals around material reduction, recyclability and reusability, regardless of the current label technology in use.

Darren Priebe Executive Vice President of Global Sales - Consumer Products Goods

CB: We think in terms of labels provided on particular container types, so the labels we provide are designed to meet sustainability requirements. PET containers today are well understood within the home care & laundry segment, and have high adoption for recycling compatibility under our RecycLABEL™ brand. The home care & laundry markets are adopting those recyclable compatible solutions for PET containers. In addition, recently, the home care & laundry market, which uses significant amounts of high-density polyethylene (HDPE) containers, has been seeking more recyclable label options. MCC has specifically developed and introduced labels designed to meet APR recognition for pressure-sensitive labels, shrink sleeve labels, inmold labels and heat-transfer labels on high-density polyethylene containers.

Our focus is now changing to include the ability to incorporate post-consumer recycle (PCR) into the label materials. This has been an important priority because of increasing PCR use within the packaging of customers, it’s an important next step for us in our development process.

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Sustainable Partnerships

The C from Collaborate Accelerating Sustainability Through Collaboration At MCC we recognize that sustainability is a journey, not a destination. To embark on this voyage, we engage multiple stakeholder partners throughout the value chain who are aiming for a sustainable future. Through open and constructive collaboration, we solve the issues faced in the home care and laundry market.

Our determination to raise the bar in sustainability is increasingly fueled by a strong network. Through our dedicated partners and regionally focused recycling coalitions, you will discover how we collaborate with our value chain.

Ellen MacArthur Foundation The Ellen MacArthur Foundation (EMF) partners with businesses, governments and academics to build a framework for an economy that is both restorative and regenerative by design.

MCC was the first label company that signed their Global Commitment. As a full member of EMF, we take part in activities and initiatives which strive for a sustainable future.

New Plastics Economy Global Commitment At the end of 2018, the New Plastics Economy Global Commitment was launched. This unified more than 400 companies to a common vision and set out an ambitious set of targets to address plastic waste.

Signatories commit to 3 actions to realize this vision: 1. Eliminate all problematic and unnecessary plastic items.

2. Innovate to ensure that the plastics we do need are reusable, recyclable or compostable.

3. Circulate all the plastic items we use to keep them in the economy and out of the environment.

For more information on our progress towards this commitment, please visit our website www.mcclabel.com

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Recycling Coalitions In order to ensure that we can provide the most optimal solution for our customer, we need to be aware of the end-of-life options of the final product. When it comes to recycling, especially for plastics, the regional differences need to be considered as well. Luckily, regional focused recycling coalitions exist that help us understand the current industry standards for recycling. Because of this, we can develop the label solutions that meet the existing infrastructure.

Association of Plastic Recyclers (APR) is the national trade association representing companies who acquire, reprocess and sell the output of more than 90% of the post-consumer plastic processing capacity in North America. MCC has been an active member for over 10 years, and we are part of the Technical Committee for Olefins and PET.

Plastic Recyclers Europe (PRE) is an organization representing the voice of the European Plastics Recyclers. These are important facilitators of the circularity of plastics and the transition towards a circular economy. MCC participates in their RecyClass initiative, which aims at helping the plastics value chain find the correct way to approach and evaluate the design for recycling of packaging products.

The goal is to improve their recyclability. As a platinum member, MCC is actively contributing to different committees.

The Australian Packaging Covenant Organization (APCO) is the organization leading the development of a circular economy for packaging in Australia. They work closely with the government and the industry to ensure that packaging materials, including labels, are redesigned to reduce their impact on the Australian environment.

Project HolyGrail 2.0 MCC has joined forces together with over 100+ companies and organizations from the complete packaging value chain to assess whether a pioneering digital technology can enable better sorting and higher-quality recycling rates. The goal is to drive a truly circular economy. This initiative is facilitated by AIM, the European Brands Association.

One of the most pressing challenges in achieving a circular economy for packaging is to better sort post consumer waste by accurately identifying packaging, resulting in more efficient and higher-quality recycling.

Digital watermarks may have the potential to revolutionize the way packaging is sorted in the waste management system, as it opens new possibilities that are currently not feasible with existing technologies.

The pioneering project, HolyGrail was facilitated by the Ellen MacArthur Foundation and concluded on May 23rd, 2020. This project has proven that the digital watermark technology can be the next step in how industries approaches sorting.

The branded goods industry has now stepped in to facilitate the next phase as a crossvalue chain initiative under the name “HolyGrail 2.0”. HolyGrail 2.0 will launch an industrial pilot in order to prove the viability of digital watermarks technologies for more accurate sorting of packaging and higher-quality recycling, as well as the business case at large scale. MCC is a proud member of the HolyGrail 2.0 Leadership team.

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Sustainable Efforts

The A from Act A Continuous Effort To Optimize Our Supply Chain and Production Process We act ourselves to optimize our supply chain and production process. We do this by maintaining a continuous improvement approach in each facility globally and by clear and transparent reporting about our goals and the progress we make. In support of our commitment to continually strive for sustainable development, we have set clear and ambitious goals for 2025. We are working both on a global and local level every day to create a better future for all.

Our 2025 Goal (From 2019 Baseline): Our commitment towards continuously striving for sustainable development to help build a brighter future for all is supported by clear goals (both on a company and site level) that are communicated openly.

Why a 2019 baseline?

The MCC family grew through mergers and acquisitions, and we want to ensure that we include all our new facilities.

-20%

Greenhouse gas emission

0 10

Environmental violations

Why new goals?

We want to be more ambitious with our sustainability approach. Our team is focused on following the Science Based Target initiative which will limit global warming to well below 2°C. Finally, we are dedicated to extending our goals beyond environmental ones.

-20%

-20%

Water usage

0

Waste to landfill

Recordable incidents

Progress Made in 2020 We are proud to share our first steps towards a better tomorrow. Despite the challenging times in a pandemic year, we are pleased to say that two out of the three goals we made had favorable results in 2020.

6% Reduction in Our Greenhouse Gas Emissions

8% Reduction in Our Water Usage

No Improvement in Our Waste to Landfill Goal for 2020

For our scope 1 and 2 greenhouse gas emissions, we were able to reduce this by as much as 6%! The bulk of this improvement can be found in our improved efficiency, more specifically where we consolidated some operations. 2020 was also the year where we are making our first steps into calculating our scope 3 emissions, which is a focus area for the years to come.

Water is essential for our planet, our people and our business.

For MCC, water is critical for the manufacturing of our products (in the form of cooling our printing presses) but that doesn’t hold us back to actively work on reducing the use of water in all our processes. With this clear focus in mind, we are very proud of the 8% improvement achieved during 2020.

Unfortunately, no progress has been achieved in our waste management yet. This remains one of our main objectives. Therefore, we are committed to making additional efforts here. Several dedicated projects have been set up to ensure that we can make up for this in the coming years. The first results in 2021 already show that we are moving the needle to where we would like to be.

CO2 emissions 2019

66 MT/Month/MSM

2020

62 MT/Month/MSM

2025 goal

52 MT/Month/MSM

Water 2019

145 Cubic meters/Month/MSM

2020

133 Cubic meters/Month/MSM

2025 goal

116 Cubic meters/Month/MSM

Landfill 2019

12 MT/Month/MSM

2020

12 MT/Month/MSM

2025 goal

9,6 MT/Month/MSM MT = metric tons. MSM = Million Square Meter

This outcome only strengthens MCC’s mindset towards a better future.

We care about a better tomorrow and our work starts today!

MCC is openly sharing a sustainability report and our external accreditations. This enables us to be transparent about the risks and opportunities we, as a company, are facing. Here is an overview of the external accreditations we are employing today:

Curious to learn more about our sustainable partnerships ? Go to our website www.mcclabel.com or contact us via marketing@mcclabel.com.

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Sustainable Label Solutions

The R from Resolve Label Upgrades That Meet Your Sustainability Needs Our Research & Development team is constantly searching for innovations that meet today’s sustainability needs. We continue to innovate, developing sustainable solutions across all packaging categories. We have made it a priority and a focus for our development to work on the next generation materials for each category.

Looking for a sustainable label solution for your PET or HDPE packaging without compromising on quality?

MCC has multiple label constructions that address your brand’s need and help you reach your sustainability goals.

Solutions for PET • RecycLABEL® PSL: Officially recognized label construction (APR & EPBP) that ensures a complete removal from the PET bottle with no contamination of the flakes.

• RecycLABEL® Shrink: Three recognized options to ensure to provide a SSL solution that is compatible with PET recycling.

• Laminated and Monoweb roll-fed: proven technology designed for today’s recycling industry.

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Solutions for HDPE • Heat-Transfer Label • In-Mould Label • Pressure Sensitive Label • Shrink Sleeve Label

Want to learn more?

For more information on our sustainable label solutions for home care & laundry, please contact us at marketing@mcclabel.com

Recyclable Adhesive Helps Brand Gain Market Share MCC was approached by a cleaning brand that needed help making their PET bottle more sustainable.

This brand was losing market share and needed a way to resonate with their consumer base.

Vertical integration Our vertical integration in pressure sensitive allows us to run thinner substrates, with adhesives that pass APR and EPBP criteria to wash off the container in the case of PET. In this case, MCC delivered a RecycLabel® PSL that enables the label to be fully removed from the bottle in the washing process, without any contamination of the PET flakes. A result that helps the cleaning brand towards their goal of 100% recyclable packaging.

Besides this innovation, we are continuously exploring ways of utilizing greater post-consumer recycled material content in our label materials. We have crystallizable, and removable shrink sleeve solutions, as well as heat transfer and ink technologies that are great options for refillable and reuse containers.

Thanks to facilities in North America (Elkton, Kentucky) and Europe (Heiligenstadt, Germany), we are able to provide these solution globally.

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We will help find the right sustainable label solution for your home care or laundry product. Our vertical integration offers great flexibility to help your brand meet the sustainable requirement from not only retailers but consumers as well.”

Shayne Kitts, Home Care & Laundry Sales Director at MCC

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Sustainable Label Solutions

ReseaLabel™ Provides Ultimate Convenience Are you interested in resealable packaging for your next product launch? Look no further than MCC’s ReseaLabel™! This packaging solution has multiple advantages for consumers, brand owners and converters. All our ReseaLabel™ solutions are customized to your specific product and packaging type. Here is a great example of how ReseaLabel™ is a perfect solution for cleaning wipes.

The challenge Wipe products require functional resealable labels that can open and close numerous times to keep the product fresher longer, withstand the liquids (oil, water or chemical) of the product, and keep the product’s moisture from evaporating.

The solution Using proprietary equipment, MCC prints and applies a pressure sensitive label to pre-printed flexible film.

The film is then die cut to provide the consumer with a reclosable feature. This process creates ReseaLabel™!

You can customize the size, have multiple adhesive options and it can be printed in up to 8 colors. It gives the consumer convenient access to your product and is easy to use. It Is even durable enough to withstand considerable strain from various processes.

The result ReseaLabel™ provides convenient access to your product and is simple, intuitive and easy for the

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consumer to use. There is no need for additional steps or manual closure ties. The peel-tab directs your attention to the die cut opening and is intuitive to use. Opening and closing packages in this manner is simpler and easier than press & seal zippers. Closing the packaging doesn’t require the strength or dexterity that other types of reclosures do. Our ReseaLabel™ is also more reliable and consistent than a perimeter peel-reseal, having a wider reseal area and highperformance adhesive. In addition, it allows for consistent reclosures to help maintain freshness without requiring a separate clip or fastener. Fresh cleaning products provide a better consumer experience, reducing waste and encouraging repeat purchases.

NBD Deploys the Zipper Perforation: A Win-Win Solution As sustainability is becoming a more and more prevalent topic in today’s world, many brand owners are seeking solutions to make their packaging eco-friendly. P&G’s new plant-powered ingredient brand, NDB is no exception.

Capturing the millennial consumer This new cleaning brand chose to utilize a shrink sleeve label for their product. They chose a shrink sleeve label because it offers 360-degree graphics, capturing the Millennial consumer when they are at the store shelf. However, Millennial consumers are putting a significantly higher priority on sustainability than generations before them. Shrink sleeve labels aren’t always the most sustainable option if left unmodified, so P&G was faced with a challenge: How to stand out on the store shelf with appealing graphics, while also staying eco-friendly to draw in the Millennial buyer.

twice on the label that the product is not recyclable unless the label is removed. This added knowledge is something NBD’s target audience really appreciates.

According to the 2019 EcoFocus Trend Survey, 75% of Millennials agree that manufacturers need to do a better job at telling shoppers how to recycle or dispose of their packaging.

Sustainability goals met!

MCC’s Research & Development team has tested this product many times before launching to make sure the product zips off as intended. The Zipper Perforation passed all testing and is now in the market on NBD cleaning products today. MCC is proud to work with a partner like P&G who takes the necessary steps for a more sustainable future. This solution is just one example of how MCC can help brands meet their sustainability goals, while appealing to their target market!

MCC’s solution MCC and P&G showed great collaboration on this project to come up with a solution to have the best of both worlds. MCC suggested incorporating a zipper perforation along the side of the shrink sleeve so consumers could remove or ‘zip’ off the label. This allows the bottle to be recycled after use. It is stated

“

MCC has always been a great partner in bringing us innovation to help us meet our needs whether it’s cost savings, holographic foil technology, and now sustainable label options. P&G is on a journey to find the right solutions to make it easy for consumers to recycle and this zipper technology is a great step, especially when combined with How2Recycle instructions.”

Jennifer Beck, Brand Manager, Wellness Brands at P&G

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Sustainable Community

The E from Engage Engaged Employees Create a Sustainable MCC MCC employees, are the core of our existence, our greatest capital and one of our most important sustainable competitive advantages. A sustainable MCC is only possible thanks to the commitment of our talented employees.

Education plays an important role in empowering individuals and social groups to make daily choices as a customer or consumer. MCC provides several resources to allow employees to learn more about sustainability.

As we are part of a bigger community, we at MCC want to be socially responsible by being an active player wherever we can. This includes sharing our knowledge with customers and local communities.

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Raising Money for Vickie’s Angel Foundation We have several facilities around the world that manufacture home care & laundry labels. Not only are each of them focused on sustainability, they CARE about their local community. One of those plants is MCC York, PA. They are continuously giving back to the community. Recently, they took part in a charity event held by Vickie’s Angel Foundation.

About Vickie’s Angel Foundation Vickie’s Angel Foundation based out of New Cumberland, PA, is a non-profit with a mission of helping families fighting cancer who have difficulties paying their bills during the challenging times of undergoing cancer treatments. Their goal is to take away the financial worry from the family, providing a temporary bridge that allows them to focus entirely on beating their disease.

Helping families MCC York started to donate to Vickie’s Angel Foundation in 2019 at the recommendation of one of their team members who directly benefited from the organization. The MCC York Community Outreach Committee feels strongly about contributing to organizations that have a direct and immediate impact on their community. The Vickie’s Angel Foundation funds go directly to the families affected.

Vickie’s Angel Walk Every October, the foundation has a walk to raise money for families. Due to COVID-19, the event was different from years past. Only one representative from participating organizations could attend. MCC York had a representative there to show support for this amazing cause. MCC York exceeded their donation goal of $1,800 and raised $1,886 for the foundation!

Donations were gathered from various employee sponsored bake sales, gift basket raffles and more.

May this inspire you to participate in similar events in your communities!

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Let’s Learn Together MCC wants to continuously educate you with the latest sustainability trends and information for your labeling needs. How does MCC do that?

Watch the webinar

Webinars

Providing you with dedicated sustainability webinars.

Download this issue

LabelTalk Learn about the latest market trends and innovations in our Home Care & Laundry LabelTalk magazine! It is filled with real label samples to spark your creativity!

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MCC Home Care & Laundry

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@mcclabel

Looking for Sustainable Label Solutions in the Home Care & Laundry Market?

3 Reasons to Get In Touch With Our Sustainability Experts Around the Globe

1

Get up to speed With the latest trends in sustainability and label solutions for your packaging.

2

Work together With sustainable experts to upgrade your current label solution to a more sustainable alternative.

3

Have a clear insight On our upcoming sustainable label innovations that will help your products stand out on the shelf.

Our Sustainability Expert, Dr. Stijn Billiet Contact: marketing@mcclabel.com

Are you interested in sustainable label solutions for your home care & laundry brand?

Visit our website www.mcclabel.com to learn more.

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