The Rompetrol Group CSR Lessons

1. The Rompetrol GroupCSR Lessons

2. The Rompetrol Group (TRG) considers social responsibility as voluntary contribution to development of the society, connected with the basic activity of the company, the international laws and the resources of the group.The commitment to CSR provides a guiding framework for all TRG management decisions and we focus particularly on harnessing industry best practice by encouraging Company and Community participation in corporate citizenship projects focused on raising the standards in the areas of business success, environment, health and safety, community responsibility, youth education and leadership.

3. Guiding principles of Rompetrol CSR Policy:Respect Employees: To respect employees and help enhance their life through development opportunities and employment practices grounded on equal opportunities and Occupational and Safety Best Practices.Ongoing Involvement: To involve at an appropriate level the authorities, community, and other concerned stakeholders in all decisions that affect them.Health and Safety: To ensure the health and safety of our employees, suppliers and the communities in which we operate.Risk Management: To identify, assess, manage and mitigate risks to our host communities, employees, contractors, the environment and our business.Education and Leadership: To promote the spirit of leadership, especially among young people, through civic involvement and educational activities that encourages socially responsible pursuits and entrepreneurship.Respect local communities: To respect, protect and promote the human rights, culture, customs and values of the communities in which we operate.Best practice: To adhere to leading global Socially Responsible best practices. In particular, we are guided by the United Nations Global Compact’s ten principles in the areas of human rights, labor, the environment and anti-corruption.

4. What should Rompetrol sponsor ?

5. Research • Sponsorship survey • Objectives • To evaluate the social context for oil company sponsorships • To identify appropriate causes and events for Rompetrol sponsorship • To determine which causes are more likely to appeal to Rompetrol targets creating goodwill • To obtain strategic information for designing both long-term and short-term cost effective sponsorship themes. • Method • Quantitative research • Face-to-face interviews at respondent’s homes • Structured questionnaire based on input from qual. research.

6. Sample • 1. National representative sample of urban general public (N=1,000): • 18–55 y.o. • Personal income over 600 RON • 2. Special focus sample (N=73): • Urban population • 18 – 40 y.o. • Higher education • Car owners • Personal income over 1000 € • Fieldwork • December 19th 2008 – January 8th 2009

7. SMURD 69% Hospit. equip. 67% Med. research 61% Trees 61% Hospit. renov. 60% Parks 59% Collect waste 58% First aid on road 53% Renov. schools 53% Cleaning polluted area 45% Fuel for ambulances 44% Sport halls in school 38% Public preferences for Rompetrol sponsorships Based on respondent selecting 8-10 from list of 34 causes identified in qualitative research. Drivers 18-40 very similar to General public. High end target General public 66% 56% 58% 72% 47% 59% 63% 46% 44% 51% 51% 37% 18–40 Higher ed. Higher inc. Car owners Interpretation Clear appeal of eco causes among high end users. Continues on next page Base 90 Base 1,000

8. Overall preference segments Based on respondents ranking their preferences. Subsequently preferences were clustered according to broader topical areas such as health, eco, edu. etc. Drivers 18-40 very similar to General public. General public Car racing Art & culture Pop/Rock concerts Sport 1% Health 41% 3% 2% 5% Edu. 13% Interpretation More balanced distribution of preferences among high end target. Multiple theme sponsorship is more effective among this target, whereas single or double theme platforms are sufficient for the general public. Health 50% Eco 26% Base 1,000

9. 18–40 Higher ed. Higher inc. Car owners High end target Entertainment 83 € Entertainment 80 € Sport 83 € Sport 160 € Health 417 € Art & culture 167 € Health 400 € Eco 250 € Art & culture 160 € Eco 200 € Base 90 Prioritizing preferences: how the public would distribute 1,000 €uro Drivers 18-40 very similar to General public. General public Base 1,000

10. Based on the study, The Rompetrol Group launched in May 2009 its CSR platform “Energy comes from your heart” which includes a national program, “Together for each and everyone”, and separate programs in the fields of healthcare and environment protection, the two directions the Group has decided to support.

11. External CSR • The national program “Together for each and everyone” • www.impreunapentrufiecare.ro • Eligible institutions for environment protection projects: • - schools, city halls, NGOs etc. • Eligible activities: • preserving or improving existing environmental conditions at the local level through various activities (innovative projects that aim at improving the quality of air, water and environment in a particular area, develop heating systems for public buildings - dispensaries, schools using alternative sources of energy etc.). • In 2010: • 509projects registered on the website (322 in the healthcare field and 187 in environment protection); • 20 projects (13 in healthcare, 7 in environment protection) located in Alba, Arges, Arad, Bucharest, Buzau, Bacau, Brasov, Caras-Severin, Constanta, Galati, Mures, Sibiu, Salaj were selected for implementation. Total amount allocated – 300,000 USD (without communication costs).

12. External CSR – The Rompetrol Group • RESULTS 2010 - “Together for each and everyone” • www.impreunapentrufiecare.ro • * 13 Medical Units (5 in the rural area, 8 in the urban area) refurnished and equipped with medical furniture/devices (350 volunteers involved). • * Rehabilitation of green areas, solar panels, plants for wastewater treatment (770 volunteers involved) ; organization of 22 educational activities for children, 5 exhibitions with paintings made by children, 8 school competitions. • * Over 50 awareness seminars were organized (on specific environmental or healthcare subjects) - on average 2/project. • * Materials distributed: over 1000 T-shirts and caps, 100 art albums (donated by Rompetrol for the libraries of the schools involved in the projects), notebooks, pens (over 1000). • * 1500 leaflets on healthcare/environmental themes . • The projects were mentioned in (written press, online, blogs) over 500 articles or TV programmes. • Beneficiaries of the projects implemented in 2010: over 100,000 people

13. Together for each and everyone 2010 ECO H2O – The first ECO WasteWater Treatment Plant Viscri, Brasov county

14. Together for each and everyone 2010 Solar panels on Medicine University, Galati

15. Together for each and everyone 2010 Solar panels on “Constantin Brancoveanu” Highschool, Bucharest

16. The national program “Together for each and everyone” www.impreunapentrufiecare.ro • How Rompetrol communicated the national program ? • Internal channels – through Intranet, radio PEM, internal magazine, emails, internal meetings etc. • Externally – TV & newspapers ads, press releases, conferences/ meetings (with students, city halls representatives, doctors, NGOs representatives); • blogs, discussion groups, socializing networks (Facebook, YouTube); • direct contacts with NGOs, Physicians Associations, Councils of Mayors etc.; • Media Rate 2010 (CSR without facebook) = 1,148 K euro

17. The national program “Together for each and everyone” www.impreunapentrufiecare.ro • CSR Lessons: • Reach core target audience by using direct communication channels • Change communication mix from TV/print to social media • Empower partners & beneficiaries of projects to take decisions and become promoters of program • Increase sustainability level • Involve NGO’s in direct evaluation and management of projects • Involve general public in voting process and evaluation • Let results speak for themselves: change promotion/sponsorship ratio

18. Thank you !