Yesterday evening  Kering  was awarded the Global Leadership Award in  Sustainable Apparel (GLASA) for the development  of the Environmental Profit and Loss account (E  P&L) and its decision to implement this in its L uxury and Sport & Lifestyle brands. Kering's E P&L  is a pioneering natural capital accounting and  reporting system that places a monetary value on  the environmental impacts that result from a  business's activities not only within its own  operations but along the entire supply chain.


The motivation

When Kering and its brand PUMA developed and published the first-ever Environmental Profit and Loss  account in 2011 for PUMA's 2010 results, the companies  placed natural capital valuation on the agenda for the  apparel industry and put forth a bold and  inspiring vision for the sector. Kering has since refined  and improved the E P&L methodology and is currently  implementing E P&L's in its 22 Luxury and sport &  lifestyle brands, which means that the E P&L has evolved  into a concrete management framework and financial  tool that will be a benchmark for the entire industry. The  jury awarded the 2014 GLASA to Kering in recognition of  the group's continuing bold and visionary leadership,  and most importantly, for its long-term commitment to  following through on what it has started.


"We are honoured to receive the GLASA Award for our E P&L and the work we are doing to promote Natural Capital accounting for businesses," said  Marie-Claire Daveu, Chief Sustainability Officer and  Head of international institutional affairs, Kering.  "We developed the E P&L so that we could have a deep understanding of our own impacts and  dependencies on natural capital, but we also  consider it essential for businesses more broadly to  be accountable for their use of natural capital. This  knowledge serves not only to minimize risks and  impacts, but even more importantly to seize  opportunities to create positive outcomes for business, environment and society."


The GLASA is a sustainability and leadership award. Launched in 2013, it aims to inspire bold  and courageous leadership in the apparel sector  and to mobilize key stakeholders around  promising ideas or practices that can substantially  improve sustainability performance in the apparel  industry. The theme for the 2014 award is  Natural Capital Accounting.


GLASA is an initiative from The Sustainable Fashion Academy (SFA) and it is supported by  organizations like The Antonia Ax:son Johnson  Foundation for Sustainable Development,  Association of Swedish Fashion Brands (ASFB),  and the Prince of Wales International  Sustainability Unit.


"Until we begin to assign monetary values to environmental and social externalities, market  dynamics will continue to devalue nature and social  welfare. But if we use the language and tools that  markets and financial actors understand, we  significantly increase our ability to demonstrate  where real value lies. This is crucial for the apparel industry, which relies on natural and human resources for its continued success," says  Michael Schragger, initiator of GLASA and Director of  SFA.




GLASA Advisory Board

The advisory board consists of renowned leaders  working with the global apparel industry. The  advisory board acts as a jury when deciding upon  the award winner.

Kajsa Guterstam, Deputy General Secretary, ASFB

Carolina Sachs, General Secretary, The Ax:son Johnson Foundation for Sustainable Development

Helena Helmersson, Head of Sustainability, H&M

Anette Andersson, Investment Management, SEB

Alan AtKisson, CEO, AtKisson Group, Member, President's Science and Technology Advisory Council  (PSTAC), European Commission

Sanna Due-Sjöström, Chairman, Nordic Waste Group & Senior Advisor, The Swedish EPA

Jonas Eder-Hansen, Vice President, Danish Fashion Institute

Jason Kibbey, Executive Director, The Sustainable Apparel Coalition

Cary Krosinsky, Executive Director, Network for Sustainable Financial Markets

Sarah Nolleth, Director, The Prince's Accounting for Sustainability Project

Laura Partridge, The Prince's Charities' International Sustainability Unit

Liesl Truscott, Director Europe & Farm Engagement Textile Exchange

Pat Nie-Woo, Director, Central textiles & Chairman of the Sustainable Fashion Business Consortium (SFBC)

The Environmental Profit and Loss account

The E P&L provides a full analysis of a company's footprint in the key areas of water use and water  pollution, waste, greenhouse gas, other air  emissions and land use and places a monetary  value on it, which then offers a clearer  understanding of the relationship between the  business and natural capital. Kering and its brand  PUMA developed and published the first-ever E  P&L in 2011 for PUMA's 2010 accounting year and  Kering is currently implementing E P&L's in its 22 L uxury and Sport & lifestyle brands to consolidate  a Group E P&L in 2016.


Press contact

Carl von Wachenfeldt    +46 (0)70-43 75 682    carl.von.wachenfeldt@patrikssonpr.com

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