An update on Crucell s Corporate Social Responsibility program July 2012. Passion. for. protection. www.crucell.com

An update on Crucell s Corporate Social Responsibility program July 2012 Passion for protection www.crucell.com

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3 Contents About Crucell 6 Our CSR policy 8 Performance 12 People 25 Planet 32 Philanthropy 36 Images of hope 46 Appendix 51 Crucell welcomes feedback on this report and issues related to our CSR activities. Reactions can be sent to csr@crucell.com Our social responsibility Crucell has always been a company with a deep commitment to society. Our mission is to protect people from infectious diseases by bringing innovative vaccines and antibodies to all who need them. At the same time, we work in other ways to help make the world a better place. Crucell strives to be a good employer and business partner, to respect the planet and to reach out to communities with knowledge and expertise as well as material support. Our commitment Several years ago, Crucell set up a special global program focusing on good corporate citizenship. We call it our corporate social responsibility (CSR) program. Its goal is to maximize our contribution to society and minimize our impact on the environment. Employee engagement, accountability and transparent reporting are key elements of this initiative. In this report, we share highlights from our CSR program during 2011 and outline the way forward this year. An ongoing journey Those of you who have seen our previous annual CSR reports will notice a new approach this year. We have opted for a more informal style of reporting. As the center of excellence for vaccines within the Janssen Pharmaceutical Companies of Johnson & Johnson, we anticipate that the ways we measure CSR progress may change in the future. What will remain is the spirit that has inspired this initiative and, indeed, everything we do as a company dedicated to bringing innovation to global health.

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5 A meaningful difference We are proud to present this report on Crucell s CSR program during 2011. As relative newcomers to Crucell, we are struck by the breadth and depth of the program, and impressed by the way employees are bringing it to life. One example is Crucell s community outreach initiative called Footprint. This is a program that gives teams of Crucell volunteers the chance to visit disadvantaged communities where Crucell is helping to make a difference to people s lives. The photo reportage on pages 46 50 shares the experience of one of these teams. In this reportage, we follow the volunteers to the remote areas of Bangladesh, where they learn what vaccines and clean water mean to people who had been living without these basic necessities. We see the same spirit at work in Korea, where teams of Crucell volunteers give up free time to create clean, safe homes for people living in urban squats not far from the Crucell factory in Incheon. Meanwhile, our Government Affairs & Public Health representatives are working with policy makers at the national, regional and global levels to improve access to essential healthcare. On page 43 you can read about what they have been doing to address the cholera crisis in Haiti, for example. Crucell s worldwide team of Environment, Health and Safety (EHS) managers is making good progress with raising safety awareness in our organization, as well as aligning with Johnson & Johnson standards. The appointment of a Crucell Health Care Compliance Officer, supported by Johnson & Johnson s extensive resources in this field, will help to safeguard good business conduct as we grow. During 2011, Crucell employees achieved important advances in discovery and product development, several of which are highlighted in this report. Significant investments in Crucell s research and development capabilities, quality assurance systems and production facilities were initiated. The full social significance of these investments will only be felt years down the track, as Crucell brings a new generation of vaccines to market. Crucell s CSR program is a natural extension of Crucell s mission to make a meaningful difference to global health. We dream of helping to eradicate polio. Of transforming the prevention and treatment of influenza. Of contributing to the prevention of HIV/AIDS. Of helping the world deal with tuberculosis and malaria. Joining the Johnson & Johnson Family of Companies in February last year has given us additional resources and support to try to realize at least some of these dreams. The seeds of this future are being sown now, day after day, by Crucell employees around the globe. This report testifies to their passion and commitment to make the world a better place. That is what Crucell s CSR program is all about. Johan Van Hoof and Bart van Zijll Langhout, Managing Directors of Crucell

6 Passion for Protection: Crucell s Corporate Social Responsibility Program Business with a warm Crucell is a global biopharmaceutical company heart dedicated to bringing meaningful innovation to global health. Our teams focus on the discovery, development, manufacture and marketing of vaccines and antibodies to protect people worldwide from major health threats. Crucell s specialty is fighting infectious diseases a growing healthcare challenge. Crucell strives to do business with a warm heart and a cool head, generating sustainable profit in order to continue to innovate and give back to society. Our corporate mission reflects a deep sense of responsibility to the people who live on our planet more than 7 billion today, and counting. Protecting the health and well-being of these billions of individuals is more important and difficult than ever before. That s because trends such as climate change, globalization, urbanization, wider travel and population aging are presenting new opportunities for viruses and bacteria to thrive and spread. Vaccines and antibodies Vaccines and antibody products are complementary approaches to immunization. A vaccine can induce lasting protection sometimes for a lifetime against an infectious threat, whereas an injection of antibodies provides immediate protection but only for a limited period of time (weeks or months). Different infectious diseases or different circumstances call for different approaches. For example, a universal influenza vaccine could protect a person against the flu for life, whereas an influenza antibody product would be invaluable in a pandemic situation. The antibody approach would also help the elderly, who are especially hard hit by flu and less well protected by the flu vaccine than younger people. That s because the immune system deteriorates with age. Immunization is one of the most promising strategies for tackling this problem. It comes in two main forms: vaccines that safely and effectively mobilize the body s own immune defenses against infections, and antibodies that provide ready-made immune protection against invading microbes. Each has its own special role (see box). Crucell s vaccine and antibody researchers are working on innovative immunization products to fight tuberculosis, malaria, HIV/AIDS, influenza, rabies, polio and several other diseases that are high on the list of global health problems. Meanwhile, we are already combating a dozen major infectious threats with our range of marketed vaccines against paediatric, respiratory, and travel or endemic infections. Though infectious diseases don t stop at borders, they home in on poverty and congregate in underdeveloped communities. So the tools to fight them must be afford able and accessible for all. After clean water, immunization is believed to be the most cost-effective health intervention there is, and its key role in promoting socioeconomic development is increasingly being documented. 1 Crucell wants to take this benefit further. That is one reason why we have invested in innovations such as our proprietary PER.C6 human cell-line technology, which promises to enable vaccines and therapeutic proteins (such as antibodies) to be produced in virtually unlimited quantities, much faster and more cheaply than traditional manufacturing methods allow. 1 See references cited on the GAVI Alliance website: http://www.gavialliance.org/about/value

7 Our stakeholders Crucell s efforts to bring significant benefit to the lives of people worldwide involve constructive interaction with many different stakeholders. Here is a short list of examples.* Crucell employees: almost 1700 individuals worldwide, united by a shared dream for global health. Colleagues in other Janssen Pharmaceutical Companies. Legislators such as the US Food and Drug Administration (FDA), European Medicines Agency (EMA) and national regulatory authorities. Policy makers: World Health Organization (WHO), Pan American Health Organization (PAHO), GAVI Alliance, and many more. Business partners: DSM Biologics, Novartis, GlaxoSmithKline and Pfizer. Non-profit and academic organizations and government institutions such as Aeras, US National Institutes of Health, IAVI, Harvard University and PATH. Customers: Supranational purchasing organizations such as UNICEF (on behalf of developing countries); public and/or private health organizations in developed countries; physicians and pharmacists. Consumers: All the people worldwide who use our products and participate in clinical trials of our candidate products. *Status at the end of 2011

8 Passion for Protection: Crucell s Corporate Social Responsibility Program Crucell s CSR policy is a natural extension of our mission to bring innovation to global health in ways that make a meaningful difference to the lives of people worldwide.

9 Taking responsibility Social responsibility is built into the DNA of our organization. But we are conscious of the need to nurture this spirit. As our business expands in line with our ambitions, our impact on the world will increase. Achieving the optimal balance between the benefits we bring to society and the resources we consume will be an ongoing challenge. Crucell s CSR program is a concerted effort to meet that challenge through proactive planning and review. Crucell recognizes four key responsibilities to society and has drawn up a global CSR policy to help all employees work together to meet these responsibilities. The policy is built around a structure we call the 4P framework. This defines the four main ways in which Crucell strives to be a good corporate citizen and contribute to society. Performance First and foremost, we see a responsibility to perform at our best as a business bringing innovation to global health. People We want to take care of the people we work with, inside and outside the company. Planet We strive to care for the planet by minimizing our environmental footprint while maximizing our beneficial impact on global health. Philanthropy We take on the responsibility to do more for society than we must do from a business point of view. The four categories of Performance, People, Planet and Philanthropy are each further subdivided into a number of related themes or responsibilities. These are shown in the figure on the next page.

10 Passion for Protection: Crucell s Corporate Social Responsibility Program Performance Saving lives Innovation Responsible supply chain Transparency People Responsible employer Health & safety Business conduct Planet Philanthropy Contributing to science Access to healthcare NGO partnerships Community outreach Emissions to air Emissions to water Consumption Recycling

11 A dynamic framework Themes can be added or subtracted over time, as this is a dynamic framework. For example, participating in CSR-related sector initiatives such as the Dow Jones Sustainability Index was a priority for Crucell when it was listed on the stock exchange. We are no longer participating in such initiatives independently but as the center of excellence for vaccines within the Janssen Pharmaceutical Companies of Johnson & Johnson. Intersections The 4P classification system is somewhat artificial, as there is considerable overlap and interdependence among the P-categories and their component themes. However, it serves as a useful reminder of the many different facets of our CSR program and provides a clear overview of what Crucell stands for, as a socially responsible company. Adding value A practical advantage of the 4P framework is that it breaks the task of CSR development and reporting into manageable portions. Early in 2010, one or more leaders ( P-owners ) were appointed for each P-category. They have taken real ownership for progress in their area, providing crucial inspiration and direction as well as coordinating the flow of information. This approach fosters transparency, clarity and focus, which helps the P-owners in consultation with top-level management to define realistic but challenging targets for the coming years. This step is vital for achieving the continuous progress we strive for and ensuring that our CSR strategy delivers tangible benefits for society. Adding real value is our goal. Social responsibility is built into Crucell s DNA. Our CSR program is designed to bring this to full expression. Measuring outcomes Key performance indicators (KPIs) have been defined for each of the four P-categories and their component themes. Coupled to targets, they serve as measures of how well we are living up to our corporate social responsibilities and goals. Like the 4P framework itself, the KPIs can change over time to reflect the evolution of the company and our approach to CSR. The KPIs and targets used in 2011 are shown in the Appendix. Organization A CSR Working Group comprising the P-owners and several Crucell employees with a special advisory role was established in the first quarter of 2010. It is a diverse group of senior managers from different functional areas and Crucell sites. Members of the CSR Working Group gather information from all levels and parts of the organization. They also initiate improvements with support and advice from Crucell s Management Committee. The CSR Working Group meets quarterly to discuss progress and formulate plans for the future. These meetings are chaired by Crucell s top management, reflecting the importance we place on good corporate citizenship.

12 Passion for Protection: Crucell s Corporate Social Responsibility Program Optimizing performance The P-category we call Performance embraces four social responsibilities that we see as being central to our core business and our mission: saving lives, innovation, responsible supply chain management and transparency, by which we mean the responsibility to evaluate and report on our CSR activities.

Performance 13 Saving lives Crucell s licensed vaccines protect people around the world from a range of serious infectious diseases. They prevent illness, suffering and lasting disability. They save lives. Marketed products in 2011 Quinvaxem Fully liquid vaccine for protection against five childhood diseases Hepavax-Gene Recombinant hepatitis B vaccine Epaxal Junior Low-dosage, aluminium-free hepatitis A vaccine (0.25ml) MoRu-Viraten 2 Vaccine for protection against measles and rubella Epaxal Aluminium-free hepatitis A vaccine Vivotif Oral typhoid vaccine Dukoral Oral vaccine against cholera Inflexal V Virosomal adjuvanted influenza vaccine Every year, tens of thousands of babies born in the developing world have a much better chance of a future because they receive our combination vaccine against five serious childhood infections: diphtheria, tetanus, pertussis (whooping cough), hepatitis B and Haemophilus influenzae type B (Hib), a leading cause of severe pneumonia and meningitis. Meanwhile, Crucell s vaccines against hepatitis A, hepatitis B, typhoid fever and cholera safeguard children and adults living in areas where these diseases are endemic, as well as travelers to these regions. And year after year, our influenza vaccine helps at-risk people of all ages from as young as 6 months to avoid a disease with potentially life-threatening respiratory complications. In 2011, Crucell sold well over 107 million vaccine doses to protect people in more than 100 countries around the world. 1 Allowing for the fact that some vaccines inevitably go to waste, we can estimate that a Crucell vaccine was 1 Based on 2011 sales of all Crucell s marketed products. 2 MoRu-Viraten is no longer marketed. Global distribution of Crucell s Quinvaxem pentavalent vaccine in 2011

14 Passion for Protection: Crucell s Corporate Social Responsibility Program given to 200 1 individuals every minute during 2011. That s a thought that makes us proud though we are determined to reach even more people in the coming years. Expanding our reach Joining the Janssen Pharmaceutical Companies of Johnson & Johnson in February 2011 has opened up new opportunities for Crucell to deliver life-saving vaccines to all the people who need them. Janssen s commercial organization is truly global, with a presence in virtually every country around the world. To take advantage of this worldwide network, Crucell s local marketing and sales teams are progressively being integrated into the Janssen commercial organization. The transition began in Canada in September 2011. This marriage of Crucell s vaccine expertise with Janssen s commercial strength expands the reach of our vaccines within existing and new markets. This will enable us to save more lives and prevent more cases of serious disease. Increasing supply In order to meet growth in demand for Crucell vaccines, we need to build supply. Our goal is to produce more vaccine doses more quickly and efficiently, so that more people worldwide can receive the vaccines they need, when they need them. For several years, we have been working to expand 1 Number reflects sales volume of all Crucell s marketed products (minus 2% estimated wastage) divided by total minutes in 2011: 105,579,320 doses/526,600 minutes = 200 doses per minute. 107+ mln doses of Crucell vaccines were distributed in more than 100 countries in 2011. production capacity, boost productivity, reduce scrap and tighten quality assurance. Becoming part of the Janssen group has given Crucell access to additional expertise and financial support to step up these efforts. Looking ahead, Janssen resources will also be directed towards helping our organization solve supply constraints relating to raw materials, build capabilities for high-scale manufacturing and perform clinical studies to support the development of new markets. New packaging line takes shape Crucell s oral typhoid fever vaccine Vivotif comes in capsules, which are sealed in blister packs, boxed and packed for shipping at one of our production sites in Switzerland. Throughout 2011, a project team has been working on an investment project that will replace the current blistering and packaging equipment and transfer these operations to another Swiss site by 2013. All three packaging steps will be combined in a single line, greatly increasing speed and efficiency. Stateof-the-art automation and control features will improve operational safety and quality.

Performance 15 200 people received a Crucell vaccine every minute during 2011. New Korean facility fully commissioned Crucell s new manufacturing facility in Korea s Incheon Free Economic Zone started commercial manufacturing of Quinvaxem pentavalent vaccine on September 26, 2011, after the Korean Food and Drug Administration (KFDA) gave the green light. Later that month, the KFDA also approved the facility for production of Hepavax-Gene TF, Crucell s thiomersal-free hepatitis B vaccine. The new plant offers significantly greater production capacity and efficiency compared with its predecessor in Yongin City, Korea. The Incheon facility was approved by the regulatory authorities less than three years after construction work started a feat that testifies to the extraordinary commitment of Crucell employees.

16 Passion for Protection: Crucell s Corporate Social Responsibility Program What innovation means to us While our marketed vaccines are already making a significant difference to global health, we want to do much more. Ongoing innovation is the key to realizing this ambition. Crucell s broad research and development (R&D) pipeline currently includes 13 candidate vaccines and antibody products. All are based on Crucell s innovative proprietary technologies, which provide unique opportunities for combating major threats to human health. These threats include some of the world s most powerful and elusive killers, such as HIV/AIDS, tuberculosis and malaria. According to the latest statistics from the World Health Organization, 2.7 million people were newly infected with HIV and there were 1.8 million AIDS deaths in 2010. Tuberculosis was responsible for 1.4 million deaths and a staggering 8.8 million new cases of illness in that same year, while malaria afflicted 216 million people and caused 655,000 deaths mainly among children under five. 1 These enormous numbers highlight the importance and urgency of our vaccine research in these disease areas. Influenza is another field where we see a great need and potential for innovation. Every year, flu viruses make millions of people severely ill, claim between 250,000 and 500,000 lives, and burden society with considerable economic losses and healthcare costs. 2 The emergence of a lethal flu virus with pandemic potential could push the death toll into tens of millions. We are tackling these challenges by developing a new-generation seasonal flu vaccine based on our PER.C6 technology, which will overcome the many drawbacks of egg-based vaccine 133.0 mln R&D investment in 2011, up from 100.0 mln in 2010. production, while simultaneously working on revolutionary approaches to influenza prevention and treatment in the longer term. For the 70,000 people 3 (mostly children) who die of rabies each year, we are developing a monoclonal antibody (mab) product. A person bitten by a rabid animal can be saved by immediate injection of rabies antibodies and vaccine, both of which exist, but the blood-derived antibodies now available are in short supply and too expensive for most developing countries, where the need is greatest. Similarly, we are working with a great sense of urgency to develop a polio vaccine that will support the WHO s efforts to wipe out this ancient disease. Mass vaccination campaigns over the past 20 years have dramatically reduced the number of polio victims worldwide, but the poliovirus is fighting back. The WHO sounded the alarm in May 2012, warning that the world will see an explosive resurgence of polio cases undoing all the progress made unless the job of eradication can be finished. This cannot be achieved with the oral polio vaccine used in developing countries, which contains live-attenuated virus that can revert to a disease-causing form. Crucell s PER.C6 technology holds the key to delivering what the world needs: an inexpensive IPV (inactivated polio vaccine) in large quantities. Using this high-density cell culture process, we hope to be able to grow poliovirus cheaply enough to make IPV available to every child in the world. We don t stop innovating after bringing a new product to market. We look for opportunities to create further value, for example by simplifying administration. Our project to put one of our vaccines into Uniject is an example of this approach. (See page 21) 1 Source: World Health Organization reports for the year 2010. 2 Influenza (Seasonal) Fact Sheet, World Health Organization, 2009. 3 Global Alliance for Rabies Control, press release September 2011.

Performance 17 336 patents were granted to Crucell in 2011, compared with 220 in 2010 and 146 in 2009. Animal welfare These are just some of the ways in which Crucell is working on medical innovations that really matter for individuals and for the world. We strive to lead rather than follow, directing our energies and expertise towards finding and delivering creative solutions for tough health challenges. More information is available on the R&D section of our website. Healthy investment Crucell s investment in R&D climbed to 133.0 million euro in 2011, one-third higher than the 100.0 million invested in 2010. The increase continues the sharp upward trend seen since 2009, when R&D expenditure was 70.2 million. This healthy injection of funds to drive discovery and product development reflects Crucell s focus on innovation as a key driver for the advancement of global health, as well as the commitment of our new parent organization, Janssen. Before any candidate medical product can be given to humans, it must be rigorously tested in preclinical (non-human) models, in compliance with the regulations governing the development of new pharmaceutical products. Crucell performs animal testing to the minimum extent that is required by law and in accordance with the highest international standards, which are designed to prevent suffering and minimize any discomfort in the animals tested. Crucell applies the 3R principles Reduce, Refine and Replace to preclinical studies involving animal testing. For example, our scientists have been working for many years to replace animal tests with cellbased assays and these efforts have resulted in a significant reduction of animal testing. Cholera vaccine Crucell researchers in Sweden have substantially improved our ability to deliver Dukoral, Crucell s oral cholera vaccine. Thanks to innovation and the introduction of robust manufacturing processes, average yields of the active ingredient rctb increased by 20% in 2011. The higher productivity is sustainable in the long term. 589 employees were involved in R&D in 2011 compared with 440 in 2010.

18 Passion for Protection: Crucell s Corporate Social Responsibility Program Innovation in action We are making progress towards our vision of a healthier world. Over the next few pages we share a small selection of innovation highlights from 2011. Promising results from our HIV vaccine program Crucell s HIV vaccine researchers and collaborators are encouraged by the results achieved by their novel vaccine regimens in recent preclinical tests. These findings provide strong support for starting trials in humans. In the first week of 2012, the prestigious journal Nature published promising results from a preclinical study of novel HIV vaccine regimens that are being developed by Crucell in collaboration with Harvard and the US Military HIV Research Program (MHRP). The study explored several prime-boost regimens designed to deliver the vaccine in two or three shots containing different immunity-stimulating components. Regimens including Crucell s adenovirus vectors (vaccine carriers) and the MHRP s MVA vector were shown to be highly immunogenic in an animal model. Further analysis of the stored samples provided evidence that the type of immunity elicited by these regimens could play a pivotal role in protecting people against HIV infection. They confirmed the presence of a specific immune response that has recently been identified as a potential correlate of protection against HIV in humans. We were delighted to learn that our best vaccine candidate induced this important immune response, said Maria Grazia Pau, leader of Crucell s HIV program. An HIV discovery team led by Hanneke Schuitemaker has started exploring ways to further boost this particular aspect of immunity. The study results pave the way for clinical testing of the novel HIV vaccine combinations. One of the planned clinical trial sites is the world-class CAPRISA center for AIDS prevention and research in Durban, South Africa. Crucell s Laura Digilio, clinical leader of the HIV program, and collaborating researcher Dan Barouch of Harvard visited the site together last November. They also visited a rural clinic west of Durban, in an area where 8 9% of teenage girls become infected with HIV. What we saw made us painfully aware of the devastation AIDS is causing in disadvantaged communities despite intervention efforts and made it very clear that a vaccine is needed to slow the spread of HIV, Digilio said. A step closer to saving people from rabies A phase II clinical trial of Crucell s rabies antibody combination started in India just before the end of 2011. This was good news for our clinical team, who have been working for several years to get the go-ahead from the Indian regulatory authorities. This takes us a step closer to our goal: saving around 70,000 people every year from a gruesome death, said Crucell s rabies program director Brad Duncan. An estimated 20,000 of these deaths occur in India, mainly among children. The trial will test our candidate antibody product (together with rabies vaccine) in a clinical setting that simulates its intended use: to provide immediate protection against rabies after exposure to the rabies virus. It will include 240 subjects and focus mainly on gathering a large amount of safety data. These findings will build on the data collected in smaller phase II trials in the USA and Philippines, and pave the way for a definitive phase III efficacy trial in patients exposed to rabies virus. Step by step, we are working to deliver life-saving innovations.

Performance 19 A cocktail of two antibodies like these may be sufficient to neutralize most influenza A subtypes says Robert Friesen, who heads Crucell s antibody discovery group. This paves the way for developing broad-spectrum antibody therapies that could save the thousands of people now dying from flu each year and help to stop a potential pandemic in its tracks. A revolutionary approach to flu Crucell is blazing a trail with its discovery and development of broad-spectrum antibodies against influenza. The ultimate goal is to deliver immunization products that will revolutionize the fight against seasonal and pandemic flu. Back in 2008, Crucell scientists were the first in the world to find antibodies that can neutralize a broad range of influenza viruses. The vast majority of antibodies our immune system makes in response to an invading flu virus (or vaccine) are quite specific: they won t protect against the next strain that comes along. So Crucell s discovery was a breakthrough that raised hopes of developing a completely new approach to combating flu: a one-shotfits-all antibody treatment or even a universal vaccine. Other research groups soon confirmed the importance of Crucell s finding by reporting the discovery of similar broadly neutralizing influenza antibodies. Like ours, these new antibodies were effective against a variety of influenza A group 1 viruses. Crucell researchers have since discovered broad-spectrum antibodies against influenza A group 2 viruses and type B viruses as well. This covers all the influenza viruses that make people ill. The novel broad-spectrum antibody against influenza A group 2 viruses was handed over to our development teams last year, after performing strongly in preclinical tests. These encouraging results were published in Science journal in August 2011. Similar results for Crucell s leading broadly neutralizing antibody against group 1 viruses were published in Science journal in February 2009. Protecting vulnerable groups The need for such a therapy is very clear. Current flu vaccination does not generate adequate protection in the people who need it most: those whose bodies are unable to mount a strong immune response. This includes the elderly (because the immune system deteriorates with age) and immunocompromized patients. More and more influenza strains are showing resistance to antiviral drugs such as oseltamivir, which are currently the only treatment option for influenza. And antivirals are useless once patients develop serious symptoms. Towards a universal flu vaccine Crucell also dreams of designing a vaccine that will protect people for life against virtually every future influenza virus those causing ordinary seasonal flu and those with pandemic potential. Crystal structure studies have provided molecular snapshots of these antibodies attached to influenza viruses, enabling researchers to locate and study their binding sites on the viral surface. We now know that ordinary influenza antibodies bind to parts of the virus that rapidly mutate and change shape, whereas the broadly neutralizing antibodies bind to stable sites that are not subject to mutation and change. Armed with this knowledge, Crucell researchers are trying to rebuild these stable binding domains in a form that can induce the production of broadly neutralizing antibodies. It s a very complex and difficult task, says Crucell s Katarina Radosevic, VP Immunology & Proof of Concept. But if we can make this work in preclinical models, we will be a step closer to a revolutionary flu vaccine. The significance of this work was highlighted in a Nature special on influenza in December 2011.

20 Passion for Protection: Crucell s Corporate Social Responsibility Program A new team at the vaccinology frontier Crucell launched an Innovation & Discovery Laboratory in La Jolla, San Diego, in July 2011. The new team is in the right place at the right time to help tackle some of the largest issues in global health. Vaccinologists have gone as far as they can go with the traditional approach to vaccine design, says Anthony Williamson, Senior Director of the La Jolla lab. The low-hanging fruit has already been picked and we re left with the difficult diseases. We can t develop the new vaccines we need using empirical ( trial and error ) methods. One example of rational vaccine design is the epitope-based vaccine. Researchers start with a library of monoclonal antibodies targeting specific pathogens, screen them to identify the best ones, define the structural epitopes (binding sites) these antibodies attach to, and then try to turn these molecular structures into vaccines. The problem is that these structural epitopes are often quite poorly immunogenic they don t trigger a strong immune response. We need to understand why. One of the key questions for the future of vaccine design is how to translate epitope structures into immunogenicity, says Williamson. He hopes his team will make a meaningful contribu tion to finding answers, and expects to attract high-quality collaborators. That won t be hard, because Crucell is looking to solve some of the largest issues in global health and is willing to invest in very high-quality basic science to underpin development, he said at the time of launch. The lab s location in San Diego s concentrated bioscience community will facilitate such collaboration. Acclaimed research centers like the Scripps Institute, University of California San Diego and La Jolla Institute for Allergy & Immunology are all virtually within walking distance, and Crucell already has excellent relationships with scientists at these institutes. Expanding horizons Jan Poolman (left) joined Crucell in August 2011 to build Crucell s capabilities for bacterial vaccine innovation. His appointment signals an upcoming expansion of our discovery and pipeline programs, which currently focus on vaccines and antibodies against viral diseases, and vaccines based on adenovirus-vector technology. These were established under the leadership of virologist Jaap Goudsmit (right). In the past, Crucell didn t have the money to do everything a big player can do, so we focused on our capabilities in the viral field. Now, with the support of Janssen, we can afford to widen our focus, says Goudsmit. To realize our ambition for global health, we need to deliver innovative vaccines against viral and bacterial diseases and ultimately noninfectious diseases as well. Goudsmit is already working towards that third level of expansion as director of the Crucell Vaccine Institute. The institute was established towards the end of 2011 to make Crucell s innovative vaccine technology platforms available to Janssen researchers in noninfectious disease areas, like cancer and neurology. Now, with the support of Janssen, we can afford to widen our focus.

Performance 21 Innovation in action Simplifying vaccination to save lives Crucell is making good progress with a development project that will make one of our vaccines available in Uniject, an innovative vaccine injection device. Uniject is a compact prefilled autodisable device that replaces the traditional vial, needle and syringe delivery method with a single unit that is ready for immediate use. The nonprofit organization PATH developed Uniject with the aim of simplifying vaccine delivery, which the World Health Organization (WHO) sees as a key strategy for helping developing countries improve their national immunization programs and reach populations in remote areas. Because Uniject needs no assembly or preparation in the field, it is ideal for countries with limited healthcare resources and a poor infrastructure. There are further advantages. The autodisable feature provides a guarantee that the injection system will not be reused, which will help to prevent the spread of HIV and other infectious pathogens. The device s light weight should facilitate vaccine transport to hard-to-reach communities. Eliminating the need to transport and dispose of separate syringes and glass vials or ampoules will also be better for the environment. Time-in-motion studies conducted by PATH indicate that Uniject at least halves the time needed to deliver a dose of vaccine in a vial presentation. This potentially shortens waiting times for mothers and their babies at immunization centers and could greatly increase the numbers turning up for the full course of injections. It also frees up time for consultation with the parent. Innovative packaging is being developed to minimize the cold chain requirements for Crucell s vaccine in Uniject while optimizing ease of use. Ongoing innovation Crucell s commitment to the Uniject project reflects the breadth and continuity of our efforts to bring innovation to global health. We know that improving access to life-saving vaccines depends on programmatic innovations as well as new vaccines. And we don t rest on our laurels once a vaccine is licensed. A market assessment carried out by PATH indicates strong support for putting our vaccine into Uniject. A high percentage of the diverse stakeholders surveyed including healthcare workers, policy makers, global health experts and immunization program officials saw significant advantages in the new presentation. Policy makers also expressed enthusiasm for the project at a WHO roundtable discussion last December.

22 Passion for Protection: Crucell s Corporate Social Responsibility Program Responsible supply chain management Crucell wants to make sustainability an integral aspect of our choice of suppliers and our relationship with them. Joining the Johnson & Johnson family has opened up new opportunities for achieving this. When Crucell was acquired in February 2011, responsible supply chain management was high on the agenda for our procurement organization. Concrete plans and tools were in place to assess our top suppliers from a sustainability perspective, train relevant employees in responsible procurement and engage suppliers in a constructive dialogue about sustainability practices, challenges and opportunities. These plans and tools were based on the ambition to actively manage our supply chain in ways that benefit the environment and people s health and safety. We want to partner with suppliers that embrace sustainability and encourage initiatives that care for our world in the long term. These are goals that align seamlessly with the Healthy Future objectives of our new parent company. Joining the Janssen Pharmaceutical Companies of Johnson & Johnson has not prompted a change of direction in Crucell s approach to responsible supply chain management. On the contrary: we have gained support and resources to move faster and further than we could have done on our own. The power of alignment In order to take full advantage of these opportunities, we want to align our methodology with that used throughout the Janssen group. That became a focus for our procurement team in 2011. After confirming the alignment of our goals for responsible supply chain management, we saw that it made sense to let go of some of the targets that had been set for the year, such as roll-out of a Crucell Code of Conduct for suppliers. We can t have different requirements from our sister companies. We need to speak to vendors in one Return to sender is a cool idea Responsible supply chain management works two ways: Crucell strives to be a responsible supplier as well as buyer. Our successful cool-box recycling program in Sweden is just one example. Many vaccines need to be kept cool to ensure they stay effective and stable, so they are transported in temperature-controlled containers. These are normally thrown away after a single delivery. Employees at our Swedish organization thought that was a waste and decided to encourage customers to send them back to the company so they can be used for a new delivery. Crucell pays for the return transport and re-uses each container up to four times before ensuring that it is disposed of in a way that respects the environment. Launched as a pilot in 2009, the recycling program proved so successful it has been adopted as routine practice. The annual return rate in 2011 was 80% well above the 60% originally set as a financially viable target.

Performance 23 voice, which will have more impact, explains Crucell s procurement director Remko van der Honing. The big picture In 2010, Crucell developed an online tool for gathering information about our vendors practices and aspirations with respect to sustainability. The idea was to assess our key suppliers using this tool in 2011. The acquisition prompted a change of plan here, too, in favor of a more comprehensive tool. Johnson & Johnson is currently introducing CSR assessment of vendors using EcoVadis, a collaborative online platform designed to facilitate responsible supply chain management. The sustainability performance of vendors around the world is assessed annually by online questionnaires, and the ratings are visible to all buyers. Using EcoVadis, Crucell can tap into a global supplier database that provides insight into the greenest and most socially responsible company in each sector. We intend to use this information to help guide our choice of vendors, wherever possible working together with other Janssen companies to amplify benefits and take advantage of economies of scale. Discussions on packaging suppliers were initiated in 2011. Less is more Crucell started shipping its Quinvaxem pentavalent vaccine in smaller glass vials towards the end of 2011. The new vials contain the same amount of vaccine and are made of the same glass as before, but they weigh less and take up considerably less space in cool-boxes and fridges. For those who like numbers: each vial is 1 gram lighter and 17% more vials fit into a cool-box used for shipping. The downsizing translates into multiple benefits. It significantly reduces energy requirements during trans portation and makes more efficient use of the cold chain a key consideration in developing countries. Smaller vials also require less raw materials and leave less waste. A crossfunctional project team at Crucell worked closely with suppliers to make the change. Meanwhile, we are collaborating on a longer-term project that will transform the way Quinvaxem is injected, thereby eliminating the need for vials and syringes altogether.

24 Passion for Protection: Crucell s Corporate Social Responsibility Program Transparency Crucell s CSR policy places a strong emphasis on transparent communication with all stakeholders, inside and outside our organization. We hope this publication contributes to that transparency. However, we are not aspiring to present a complete account of our CSR program here, but to convey its spirit a commitment to care for the world. This spirit drives everything we do as a diverse, global group of people united by the desire to make the world a healthier place. When Crucell was an independently listed company, we had an additional responsibility towards our shareholders with respect to transparency. Investors increasingly want objective measures of a company s CSR performance, and rightly so. For this reason, Crucell started participating in external benchmarks of transparency and sustainability in 2009. We were especially proud to be listed in 2009 and 2010 on the Dow Jones Sustainability Index, the leading benchmark for sustainable investment. We also participated in the worldwide Carbon Disclosure Project and made progress towards the goal of externally audited CSR reporting in accordance with Global Reporting Initiative criteria. With the acquisition of Crucell by Johnson & Johnson early in 2011, our responsibilities towards shareholders shifted. Crucell no longer participates in external benchmarking as an independent company, but supports such participation by our parent organization. For example, we made a significant contribution to the Johnson & Johnson dossier for submission to the Access to Medicines Index. CSR information management Knowledge is power, according to popular wisdom. And Crucell subscribes to this view when it comes to the management of CSR-related information. We believe that the better we understand the impact our organization has on the world, the better choices we can make as a business that is committed to delivering sustainable profit measured first in human lives and then in financial terms. During 2011, most of our efforts to improve CSR information management were directed towards the transition to our future as one of the Janssen Pharmaceutical Companies of Johnson & Johnson. However, we also made significant advances in the collection, analysis and dissemination of Crucell data relating to the environment, health and safety (EHS). More on this in our People and Planet sections. We want to understand our impact on the world so that we can make the best choices.

People 25 The difference Crucell makes to the lives of people around the world depends on the talent, commitment and integrity of the men and women who make up Taking care of our global company. Nurturing these qualities is integral to our mission. people For Crucell, caring for the world starts at home, in our own organization. We strive to be a responsible employer, creating an environment that brings out the best in people. We take steps to protect the health and safety of our employees and the communities living near our factories. And equally importantly, we work to foster awareness of what good business conduct means, so that Crucell employees will treat all our stakeholders ethically, fairly and respectfully. On the next few pages we take a closer look at these responsibilities and discuss relevant developments and outcomes, focusing especially on 2011.

26 Passion for Protection: Crucell s Corporate Social Responsibility Program Being a responsible employer Crucell s people make the difference. It is their creativity, passion and drive that determines whether or not a vaccine will be available to protect the people who need it. So we are working hard to attract and retain employees with these qualities by creating an environment where our people feel inspired, empowered and challenged. Crucell has been growing strongly for several years, along with our business and healthcare ambitions. The trend accelerated last year, bringing the global workforce to almost 1700 people in nine countries at the end of 2011. This was 21% more than in 2010. Many of the new employees have joined our research and development teams in the Netherlands and Switzerland, or production and quality assurance teams in Korea. These locations also provided work placement training for 45 university students last year. Several hundred of the new recruits were attracted to Crucell without the use of external employment agencies. We actively encourage employees to contribute to recruitment, as this is an efficient and cost-effective way of developing Crucell s capabilities in specialist areas. We also see it as an indicator of employee satisfaction, which is key for becoming an employer of choice. That is our ambition. The voluntary turnover rate in 2011 was 8.28%, well under the 2010 rate of 12.93% and the target we had set (less than 10% voluntary turnover). We will continue to work proactively to keep talented people in the company, but also to ensure a smooth succession when people resign or retire. Absenteeism is another parameter we are monitoring as a global indicator of our employees health, well-being and engagement. Using the company-wide definition of lost working hours due to an accident or other causes (excluding holidays), we see an overall absenteeism rate of 2.2% in 2011. We have a strong program in place to protect people s health and safety (see page 29). Diversity, teamwork and leadership Crucell values diversity and strives to foster this, both in our recruitment practices and organizational structure. 1696 employees at the end of 2011, 913 men and 783 women; 36% of the managers were women.

People 27 Crucell values diversity in the workforce and strives to foster this. We are committed to ensuring that all individuals who are suitably qualified have equal opportunities for employment, development and promotion. Crucell s base in Leiden, the Netherlands, takes the lead in terms of cultural diversity, employing people of 31 different nationalities. Switzerland is runner-up with 28 nationalities. For several years, our approach to operational excellence has emphasized teamwork across sites and functions, and strengthening such teamwork is a key business priority going forward. Ensuring equal opportunity for women continues to be a point for attention. Women made up 46% of our global workforce in 2011, which was similar to the representation in 2010 (47%). The number of women in management increased from 84 in 2010 to 114 (36% of total management) in 2011. Johnson & Johnson has excellent, well-established programs that can help us to further strengthen diversity, inclusion and leadership. One example is Ascend, a six-month training program designed to enhance the leadership skills of high potential female employees. Crucell s Maria Grazia Pau a senior program director in our R&D group was invited to take part in 2012. We are working on the phased implementation of other Johnson & Johnson corporate leadership and people development programs. A learning organization Crucell continues to invest heavily in employees learning and development, with a view to increasing the effectiveness of our organization and our impact on I m very impressed by the Ascend female leadership program. It s not just a great training in leadership skills, it s a learning journey and a unique opportunity to share ideas, experiences and perspectives with women from all over the world who work for Johnson & Johnson. That s very inspiring! There are 30 of us in the program: we meet as a group three times this year and also receive individual coaching. We had our kick-off meeting in South Africa: the perfect setting for a diverse group of women who are all passionate about healthcare. We visited the top clinics and the very poorest a shocking contrast. We saw incredible poverty and the devastation caused by HIV. But we also met a lot of women who are making a difference. Like the health workers teaching 12-year-old mothers with HIV how to feed their babies safely. Or the founder of a green school in one township, where children learn to detach from aggression by practising yoga or growing their own vegetables. For me, it was a lesson in how innovative people are. Maria Grazia Pau, Senior Program Director

28 Passion for Protection: Crucell s Corporate Social Responsibility Program global health. Two large, global training programs were conducted throughout 2011 and are continuing into this year. One focuses on raising financial and compliance awareness among our managers, the other on improving the effectiveness of our project teams. Both have been very well received by hundreds of participants. Crucell people are eager to seize training opportunities, says Global Learning & Development Manager Martine Bron. In addition to these broad-based programs, we provide training for specific target groups as needs arise. Examples include courses in effective communication, negotiation, or recruitment and interviewing skills for selected groups with highly specialized expertise in other areas. Many of our learning and development activities are initiated by our Global HR team in collaboration with other key stakeholders. However, line managers are increasingly initiating training projects as well, which shows that people development is coming to life in the organization. Regular performance reviews provide another opportunity for people and performance development. Last year, 93% of employees received formal feedback on their performance in this way. We are learning to become more successful in cascading company objectives to each employee though focused communications and training of managers. The lost workday case rate (the number of lost workdays due to accidents in the workplace per hours worked by 100 employees in 12 months) was 0.55 in 2011. Thirty-two Crucell employees from the Netherlands swam, biked and ran their way to fitness in preparation for a quarter triathlon last year. Seasoned Crucell triathletes gave expert guidance to their largely inexperienced but highly motivated colleagues all of whom finished the race.

People 29 Health and safety Crucell s efforts to protect the health and safety of our employees are part of a coordinated approach that also focuses on environmental protection. Caring for people and caring for the planet go hand in hand. We see these as moral, social and business responsibilities. Crucell s environment, health and safety (EHS) program is relatively young. In 2009 2010 we introduced a clear governance structure, a global policy based on international standards and certification requirements, and a standardized reporting system designed to monitor and improve EHS performance. A set of key performance indicators were defined and targets were set. The acquisition by Johnson & Johnson prompted a reassessment of this program. As one of the Janssen Pharmaceutical Companies, we need to achieve compliance with Johnson & Johnson s EHS standards and we see advantages in aligning our systems, processes and targets as much as possible. Our worldwide team of EHS managers and safety officers therefore faced a double challenge last year: improving Crucell s safety culture and EHS reporting, while at the same time exploring the transition to a new situation. Under the leadership of our Global Head of EHS based in Switzerland, they made excellent progress on both counts with valuable support from their new Janssen colleagues regarding the transition. Creating an EHS culture The team of EHS managers launched several initiatives in 2011 with the aim of raising the general level of safety awareness among Crucell employees (see box on page 30). They have been implemented in Korea, Sweden, Spain, Switzerland and the Netherlands the locations where Crucell conducts production and/or development activities and employs most people. EHS was also included in a senior management meeting last year, as a step towards raising awareness in this group. Local initiatives further contributed to the emerging EHS culture. A good example is the EHS Rally held in Switzerland: a round-up of workshops on topics like first aid, stress management, preventing falls and energy awareness. Participation in one workshop was mandatory, and proved to be both informative and fun. A dedicated EHS manager was appointed to our Dutch organization in September. He has introduced an awards system to get departments more involved in contributing to EHS improvements. It s a shared responsibility, he points out. Vital statistics Crucell monitors the number, sort and impact of accidents and near misses (accidents that almost happened) as an indicator of our safety performance. Data are collected from Crucell s five main sites (in Korea, Sweden, Spain, Switzerland and the Netherlands), which employ almost 90% of the global workforce. Lone worker alarm system Crucell Spain introduced a man-down personal emergency system in 2011. The system is designed to protect lone workers: an automated device worn on the body activates an alarm if the person falls or collapses. The system has already been introduced at a number of other Crucell sites.

30 Passion for Protection: Crucell s Corporate Social Responsibility Program Crucell Switzerland is especially strong on health promotion. Its Revitalize campaign encourages employees to work out at the gym, join a yoga class, play a team sport or enjoy a relaxing chair massage (given on-site twice a month). The company heavily subsidizes or fully covers the costs involved. Global programs are raising safety awareness The Gemba Walk program calls on managers to get out of their offices and walk the work floor assessing risks and talking to people about safety at the front lines where accidents are most likely to happen. Its implementation has improved management awareness and commitment to EHS. Global Safety Alerts illustrate real accidents that have happened at Crucell and ask employees to think about similar hazards they may face. The poster-style alerts are sent to relevant managers, who are asked to discuss them with their teams. Eight were sent out in 2011. The Safety Workshop program asks operational supervisors to lead a 10-minute team discussion on a safety topic every month. It s an efficient way of keeping safety on people s minds. There were eight workplace accidents resulting in at least a day of lost work (lost workday cases) 1 across Crucell s five main sites in 2011. One was classified as serious a glassware accident resulting in a deep cut. The others were of lesser severity. The lost workday case rate the number of lost workdays per hours worked by 100 employees in 12 months 2 was 0.55, compared to 0.40 in 2010. We have set ourselves the very challenging target of reducing this rate to 0.1 in 2015. Contractors will also be included in our next annual report of accident data, in line with Johnson & Johnson policy. Crucell s approach to improving workplace safety focuses on understanding why accidents happen, so that we can take corrective action to prevent a recurrence and alert employees to possible risks. Ideally, we want to identify unsafe situations before an accident occurs. Reports of near misses are valuable in this regard: employees reported 48 in 2011, equivalent to 3.2 reports per 100 employees. The target rates for the coming years are currently under discussion. The way forward During 2011, all Crucell sites were assessed for compliance with Johnson & Johnson s EHS standards and fire protection policy. Our EHS specialists started implementing actions to fill gaps this year. Crucell s EHS policy and targets are being aligned with those of Johnson & Johnson and a strategic plan for the coming years is now being finalized. 1 Equivalent to the definition of lost time case rate (LTC) that was used by Crucell in 2010. We have aligned our terminology with that of Johnson & Johnson. 2 Based on the US Occupational Safety and Health Administration (OSHA) definition.

People 31 Good business conduct Crucell is committed to the highest standards of ethics and transparency in dealing with all stakeholders. We take our legal and ethical obligations very seriously and have a solid strategy in place to ensure these responsibilities are met. Crucell s Code of Conduct guides employees in the standards of behavior expected of them and their obligation to act with integrity at all times. It also spells out our expectations of external parties, such as suppliers, in terms of good business conduct. As part of the transition process associated with joining Johnson & Johnson, our legal experts have been working on replacing the Crucell Code of Conduct with the Johnson & Johnson Policy on Business Conduct. This will be finalized and communicated to all Crucell employees during 2012. Crucell s approach to business compliance was further professionalized in 2011. In line with Johnson & Johnson standards, a Health Care Compliance (HCC) Officer dedicated to the support of Crucell s business was appointed in July. She reports to the Pharmaceutical Group Health Care Compliance Organization within Johnson & Johnson. A new Compliance Committee consisting of the HCC Officer, both Managing Directors and leaders of our global finance, legal and human resources departments was established and initiated bimonthly meetings in accordance with its charter. The previous three-member committee met only if an issue arose. Our aim is to be more proactive than reactive, says Valeria Cnossen, Global Head of Legal. Emmy Martens, Crucell s HCC Officer, describes her job as ensuring we do our business as a healthcare company in an ethical way. An important focus of her work is implementing policies to prevent corruption and bribery, as defined in the US Foreign Corrupt Practices Act (FCPA). Crucell employees interacting with government officials and healthcare professionals have to be particularly careful. Even dinners or small social gifts may be perceived as bribes. So our people need clear guidance on what is acceptable and what is not, says Martens. Annual training in FCPA regulations and Johnson & Johnson s HCC standards was initiated at Crucell in October, 2011. Approximately 1000 employees were targeted for the e-learning program, which individuals could follow at their own pace. Around 95% completed the training by the end of the year and the remaining 5% were followed up early in 2012. Our aim at this stage is to raise compliance awareness and establish HCC as a priority for Crucell employees. We want to create an atmosphere where employees know they can ask questions and seek advice, says Martens. She notes with satisfaction that the number of staff enquiries about HCC issues has increased since the training was launched. Several Crucell sites were audited for FCPA compliance last year, and relevant findings are currently being addressed. Auditing and training of third-party intermediaries such as the distributors and regulatory agents used in some parts of the world is scheduled for completion in 2012. Crucell has further professionalized its approach to business compliance.

32 Passion for Protection: Crucell s Corporate Social Responsibility Program As a corporate citizen dedicated to making the world a healthier place, Crucell quite naturally wants to live up to its environmental responsibilities. The challenge is to maximize the benefits we bring to people s lives through sustainable business growth while minimizing our impact on the planet. Protecting the planet

Planet 33 The large-scale production of safe biopharmaceutical products such as vaccines typically makes substantial demands on energy and water resources. For example, water and energy are needed for the manufacturing process itself, for cleaning bioreactors between batches and for generating steam to sterilize the plant. And the sophisticated systems controlling air quality and temperature must be powered around the clock to maintain the highly purified and stable environment that is so essential for producing safe and effective vaccines. Crucell therefore faces a dilemma: how to achieve reductions in energy use, water consumption and carbon emissions while at the same time delivering highquality vaccines in the quantities the world needs. Our answer is to pursue environmental gains through operational efficiency, technical improvements and (in the longer term) technological innovation. At the same time, we are working to reduce waste and improve its management. By tracking a variety of environ mental parameters, we are gaining insight into our global performance and hope to make planet-friendly considerations an integral part of our business strategy. During 2011 our global EHS managers did an excellent job of monitoring, driving and supporting progress in this area. Our engineers and facilities staff also deserve special mention for their efforts resulting in tangible improvements. Our environmental footprint For practical purposes, Crucell s calculations of energy and water consumption focus on the five global locations where we conduct product manufacturing and development: the Netherlands, Switzerland, Korea, Spain and Sweden. These together employ almost 90% of the total workforce and account for 99% of our environmental impact. Crucell consumed approximately 90 million kilowatt hours (kwh) of energy in 2011 the equivalent of around 5000 average households (each using around 18,000 kwh/ year). This was similar to total energy consumption in 2010, despite an increase in overall working hours. When we look at energy use in relation to workforce size, we see an overall reduction of 15% in 2011 compared to the previous year. This improvement in energy consumption correlates with reduced emissions of greenhouse gases. The carbon footprint of our global organization was 22,781 tonnes C0 2 in 2011. This is 12% lower than 2010 after adjustment for workforce size. Total water consumption in 2011 was approximately 280,000 cubic meters, which was substantially below 2010 consumption in absolute terms ( 11%) as well as relative to workforce size ( 8%). Our manufacturing plant in Korea managed to achieve a substantial reduction in waste water while increasing production. Last year we aligned our waste classification and reporting system with the aim of achieving compliance with Johnson & Johnson waste reporting requirements. See the box on page 34 for a breakdown of these data at the country level. This summary highlights the relationship among different measures of environmental performance at our five major production and development facilities.

34 Passion for Protection: Crucell s Corporate Social Responsibility Program New ambitions Back in 2010, Crucell set itself challenging environmental targets based on its growth projections as an independent company. Joining Johnson & Johnson has shifted the goal posts. Our plans for bringing innovative new vaccines to market and expanding the global reach of our currently licensed vaccines demand a big increase in production. This cannot be achieved without substantial increases in energy and water requirements, emissions and wastes. Our Global EHS manager is working with Johnson & Johnson colleagues to set new targets that are both realistic and challenging targets that reflect our big ambitions and are aligned with the environmental goals of our sister companies. They are also discussing the best way to measure performance relative to business growth. Steps in the right direction Crucell s PER.C6 human cell line technology offers a unique opportunity to boost biopharmaceutical production while reducing the demand on environmental resources. Many viruses and antibodies have been shown to grow exceptionally well in PER.C6 cells, and the technology has been engineered to enable extremely high-density production. This means that much higher yields of biopharmaceutical product can be obtained from much smaller bioreactors, cutting energy and water consumption dramatically in comparison to conventional technologies. We are currently working on the development of a newgeneration flu vaccine that will be produced this way. Meanwhile, we are taking advantage of any opportunity to reduce energy and water requirements using current manufacturing methods. One example is the boiler house modernization program underway at one of our production facilities in Switzerland. In the first phase of the program, completed in 2011, the steam and condensate system was optimized so that it now returns all recoverable hot water to the boiler. This has substantially reduced both fresh water consumption and energy use, as the recovered water requires less heating. Further energy and water savings will be achieved by replacing one of the older boilers in 2012 and making additional engineering improvements in 2013. Environmental performance by location in 2011 versus 2010 In Leiden, the Netherlands: Working hours increased by +31% but energy consumption increased by only +15%. In Berne, Switzerland: The shutdown of two production areas and optimization of the steam condensate system led to reductions in energy use ( 15%) and water use ( 25%). Incheon, Korea: Increased production at our new vaccine manufacturing facility led to increased working hours (+15%) and energy use (+10%), but a reduction in waste water ( 10%) was achieved. Madrid, Spain: Increased production (+15%) and operational testing associated with product development led to increases in recorded working hours (+9%), energy use (+21%), water use (+26%) and waste water (+54%). Solna, Sweden: Awareness programs led to reduced use of energy ( 16%) and water ( 27%). Waste increased due to increased production.

Planet 35 Light bulb moment How much energy does it take to make a light bulb glow? Crucell employees in Berne found out during a workshop designed to raise environmental awareness. It was held as part of the EHS Rally in Switzerland last year. I really enjoyed it and learned a lot about saving energy, said participant Andrea Kuendig. Last year Crucell Sweden achieved a sustainable reduction in its use of municipal heating by installing a system that recycles condensate from steam generation and water purification systems. The hot condensate is used as a heat exchanger to produce warm water for the facility. In the Netherlands, our facilities team tested energysaving lighting systems (with durable LED lamps and motion sensors) for new laboratories; replaced a canteen dishwasher with one that uses much less energy and water; and installed a water-free urinal that can save 26,000 liters of water a year. These are small steps with a relatively minor environmental impact, but they do testify to growing environmental awareness and responsibility among our employees. We want to foster this in our organization. Crucell Switzerland is showing how this can be done: its environmental workshop and bike to work program were hits with employees in 2011 (see boxes). Waste management is high on the agenda this year. Our global team of EHS managers improved the waste classification and reporting system in 2011 and various sites are starting to implement waste minimization and recycling programs. For example, our Dutch site is introducing the separation of plastics to enable recycling and is putting paper bins in all offices to encourage employees to dispose of paper separately from other waste. Monitoring the recycling of waste by our contractors will be a next step. Sweet smell of success An interesting example of good waste water management, recycling and social responsibility comes from our Swiss colleagues. They have started transporting nutrientrich water left over after vaccine manufacturing to the public waste water treatment plant, where it s used to make biogas, a renewable source of energy. Crucell used to release this waste water heated to inactivate any biological material into the public sewer system. It reached the biogas production facility that way, but the warm brew in the open sewers gave off a bad smell that disturbed local residents. The odor problem has been solved by delivering the thermally treated waste water to the treatment plant in a closed tanker. Green commuters Fifty Crucell employees in Switzerland biked a total of 7,230 kilometers to and from work in June 2011, as part of a national campaign to encourage green transportation and health. Crucell supported the initiative by making two e-bikes available for employees to try, and departments formed teams to encourage participation.

36 Passion for Protection: Crucell s Corporate Social Responsibility Program Philanthropy So far, this report has focused on the responsibilities we must or should meet as a good corporate citizen. But Crucell is also driven by a sense of moral obligation to make the world a better place.

Philanthropy 37 Let s take a look now at the extra ways in which we try to give back to society. The CSR category we call Philanthropy embraces many different examples of responsible giving. Crucell is deeply involved in community development, in efforts to improve healthcare access, and in sharing scientific and medical expertise. We do this in partnership or through interaction with a broad variety of stakeholders. Community outreach Footprint Crucell launched a global CSR outreach program called Footprint in 2009, with the aim of strengthening our employees engagement with our mission. For most of us in the relatively affluent industrialized world, the burden that infectious diseases inflicts on communities in developing countries is hard to imagine. Basic health requirements like vaccines and clean water are things we take for granted. So we decided to send groups of Crucell employees to parts of the world where access to these necessities is cause for celebration and hope. Several times a year, new teams travel to countries like Bangladesh or South Africa to visit poor and usually remote communities where Crucell is supporting critical development projects. There they help out in practical ways, talk and listen to the people who are working to improve local conditions, and come away with a real understanding of what public health measures like vaccination mean to communities battling with poverty and infectious diseases. Footprint participants say this is a life-changing experience. One that brings home what making a meaningful difference is all about. And one that underlines the importance of the work they are doing at Crucell, day by day, to bring innovation to global health. All Crucell employees can apply to take part in the Footprint field trips, and teams are carefully composed to bring together people from different countries and functional areas. While they are away, they share their experience with their colleagues through a daily blog, and on their return they are full of stories. Their enthusiasm is generating a snowball effect, stimulating more and more applications and helping to raise the overall level of corporate social responsibility in our organization. The photo reportage on pages 46 50 documents one of the Footprint trips during 2011 and describes our collaborations with two non-governmental organizations (NGOs) in Bangladesh. Six Footprint teams have traveled to Bangladesh or South Africa so far. Taking part in Footprint was a great opportunity to see what Crucell can do and is doing for people who really need help.

38 Passion for Protection: Crucell s Corporate Social Responsibility Program Local community outreach While the Footprint program reaches out to remote communities, Crucell Korea is tackling problems close to home. Twice a year, teams of volunteers give up a free day to make life a bit better for disadvantaged families in the local community. The volunteer work is aligned with the Dream Start program, a government health and welfare program targeting children from low-income families. In cooperation with the Yeonsu-gu Dream Start center near Crucell s new facility in Incheon, Crucell organized community outreach activities in May and October last year. On both occasions, teams of Crucell volunteers put in a hard day s work renovating and cleaning homes for two needy families in the local area. The idea is to offer children living in very difficult conditions a more hygienic and comfortable home, giving them a better start in life. Their parents can t afford to do this, and some of them are struggling with chronic illness as well as economic difficulties, says Kyung Mi Choi, who coordinates the volunteer work. Crucell started helping Dream Start children in 2009 by donating influenza vaccines to the national program. The success of that campaign prompted our Korean colleagues to look for other ways to help the children visiting Dream Start centers. Staff at the local center pointed out that many of the children lived in urban squats without even Being there Crucell s CSR outreach program As program manager of Footprint, I have joined several teams on their journey to South Africa and Bangladesh and it is truly an amazing, life-changing experience! Nothing you ve seen on TV or in magazines can prepare you for the feeling you get when you see with your own eyes a long line of mothers waiting patiently to get their babies immunized, or men and boys drilling a deep well in only three days that will supply clean drinking water for their entire village. Indescribable! This year, we have four field trips scheduled and the number of employees signing up for the program is increasing every time a Footprint team comes back home. It is great to see how Footprint has evolved over the past few years. Annet Eijkelkamp, Director CSR basic amenities like hot water, so Crucell volunteers organized a fun day at the public baths and the outreach program was born. So far, a total of 45 employees have taken part in the volunteer work and have found it a very rewarding experience. We hope to encourage more examples of local community work throughout our organization in future.

Philanthropy 39 Healthy partnerships Crucell and Friendship A collaboration between Crucell and the NGO Friendship is making a major difference to communities in one of the world s poorest and most densely populated countries: Bangladesh. Friendship is a nonprofit organization dedicated to improving the lives of people living in the remote riverbank and char areas of northern Bangladesh. The chars are shifting islands of silt within flood-prone rivers. The communities living on these nomadic islands and riverbanks are often cut off from healthcare and other basic resources. Rates of morbidity and mortality due to vaccine-preventable diseases are high, especially among children. Crucell joined forces with Friendship to tackle this problem. Together, we have built a river-based healthcare delivery service with hospital boats, satellite clinics, community medics, river ambulances and specialized health education services. This provides the logistics and infrastructure needed to support the national government s Expanded Program on Immunization (EPI), which aims to vaccinate all children under five with a set of vaccines recommended by the WHO. We are thrilled by the results: more than 13,500 babies in the target areas started or completed the EPI schedule between May 2010, when the Friendship Crucell EPI support program was launched, and February 2012 (the Complementary strengths Sometimes we have the desire and will to do something, but not the means. It is in situations like these that collaborations are most effective. The Friendship Crucell EPI support program is the result of such a collaboration. It brings together the strengths of two organizations in order to achieve something that benefits a large number of people. Both partners have their own role to play. Friendship is working in line with its vision, while Crucell has made a significant commitment that is meaningfully contributing to human health. The program has achieved a success rate of about 95% in its first target area and expanded to a second area in 2011. This is enabling the Government s EPI program to reach people living in inaccessible areas, who were previously overlooked. Runa Khan, Executive Director Friendship It was impressive to see that with Crucell s help, Friendship has set up a great river-based healthcare delivery system.

40 Passion for Protection: Crucell s Corporate Social Responsibility Program latest reporting point). The satellite clinics are helping to combat nutritional problems and improve the health of children under five. The program is also delivering tetanus shots to pregnant women, mothers and adolescents. This partnership illustrates how Crucell works with NGOs to overcome healthcare access problems in developing countries. Crucell provides funding, expertise and practical support to enable organizations with a good understanding of local needs and conditions to develop targeted solutions. Crucell and the Max Foundation Since 2010, Crucell has been partnering the Max Foundation to provide clean water to rural communities in the densely populated south of Bangladesh. The Dutch nonprofit organization works through a Bangladeshi NGO to realize community-based microsanitation projects. So far, the Max Foundation has given more than 285,400 people living in 1427 villages access to clean drinking water, sanitation and hygiene education. Crucell s partnership with the charity has helped 59 of these villages, with a total of 11,800 people. 1 The Max Foundation was set up in 2004 by a Dutch couple who lost their young son to a rare viral infection. They decided to turn this loss into something positive by protecting children at high risk of dying from infectious disease. Clean water and immunization are recognized to be the most cost-effective contributors to child health. Supporting the Max Foundation is a logical extension of Crucell s mission. Every euro donated to the foundation is used for microsanitation projects. Water of life In Crucell, we have found a constructive and committed partner to help us achieve our goal of reducing child mortality in the most cost-effective way. Crucell s combination of financial support and a handson approach they ve already visited our projects twice creates great opportunities for realizing water, sanitation and hygiene (WASH) projects in Bangladeshi communities. By March last year we had helped 1000 villages. Crucell enabled us to organize a memorable event to celebrate this milestone, with HRH Prince Willem Alexander, Chairman of the UN Secretary- General s Advisory Board on Water and Sanitation, as guest of honor. We look forward to continuing this partnership. Steven and Joke Le Poole, Directors Max Foundation 1 Status end of May, 2012.

Philanthropy 41 Healthcare access Crucell works in a comprehensive way to remove barriers to healthcare. We do this by supporting policy and program development at the international and global level, as well as employing the highest principles of corporate philanthropy. Here is an outline of these efforts. GAVI Alliance Crucell is highly committed to the GAVI Alliance, a public-private partnership dedicated to helping the world s poorest countries develop sustainable national immunization programs. The GAVI Alliance brings together the full spectrum of immunization stakeholders including governments, public health experts, NGOs, funders, civil society and industry to enable an interchange of ideas and expertise that has proven highly effective for solving healthcare access problems, with a strong focus on vaccination. Around 326 million children have been vaccinated within the framework of the GAVI-subsidized Expanded Program on Immunization (EPI) since the GAVI Alliance was formed in 2000, preventing over 5 million deaths. In 2011, Crucell was elected to serve on the 27-member GAVI Alliance Board for a three-year term as the representative of vaccine manufacturers from industrialized countries. We are committed to representing this constituency fairly and all-inclusively, following GAVI Ensuring vaccine availability In early 2010, Crucell responded to an urgent request to fill a supply gap for pentavalent childhood vaccine when another company could not deliver its vaccine. The supply problem persisted the following year, when another manufacturer s pentavalent vaccine was also withdrawn due to quality concerns. Crucell not only ensured continuity of supply by ramping up production at short notice, but also voluntarily offered the lowest price for Quinvaxem to ensure that the GAVI Alliance could continue to meet its delivery commitments during a period of global financial downturn.

42 Passion for Protection: Crucell s Corporate Social Responsibility Program guidelines to avoid conflict of interest (COI). In order to address even perceived COI, vaccine manufacturers have voluntarily stepped down from the GAVI Executive Committee. Between 2008 and 2011, Crucell also served on the GAVI Programme and Policy Committee, thus contributing important resources and time to the success of the Alliance. Crucell is also supporting GAVI goals for vaccine access in low/middle-income countries through voluntary price concessions (see box below). Reaching every community, every child Delivering vaccines in low-income settings is not an easy or straightforward task. When governments are struggling to fully mobilize their health systems, some communities and their children are left behind. This is where the civil society plays a crucial role by advocating the value of vaccines and improving coverage through delivery to remote, difficultto-reach populations. Bilateral partnerships are also very important to ensure success in these situations. Crucell s collaboration with the NGO Friendship in Bangladesh illustrates this type of partnership, focused on providing logistics and infrastructure to support the government s existing EPI program. Crucell pledges lower vaccine prices for emerging economies Last year, Crucell pledged to extend its special GAVI Alliance prices for vaccines procured through Unicef to 16 countries that will no longer be eligible for GAVI support after 2015. Crucell s promise was made as part of the GAVI Alliance Pledging Conference on June 13, 2011. Countries with a gross national income per capita of up to US $1500 are eligible for GAVI subsidies to build their EPI programs. As their economies develop above that threshold, they graduate from GAVI support and have to cover all EPI costs themselves, including vaccine purchase and delivery. Countries due to graduate by 2016 will find it difficult to allocate additional funding for immunization in time. An estimated 8.5 million babies are born in these 16 countries annually. Crucell s pledge offers them access to high-quality, affordable pentavalent vaccines so that they can maintain their EPI programs and introduce new vaccines, in line with GAVI s vision of sustainable development. Sri Lanka is due to graduate from GAVI support in the next 5 years and is committed to sustain its vaccination program with pentavalent vaccine, the new cornerstone of the EPI, says Chief Epidemiologist Dr Paba Palihawadana. We welcome all partners efforts to keep vaccines affordable to ensure a healthy future for our children. Crucell is one of several vaccine manufacturers that has pledged to extend GAVI-level prices to graduating countries in order to support GAVI s mission and enable the uninterrupted success of largescale vaccination programs in emerging economies.

Philanthropy 43 Access to cholera vaccines Haiti s cholera crisis has highlighted the need to improve the response to cholera outbreaks and Crucell is intensively involved in global efforts to achieve this. Throughout last year, our Government Affairs & Public Health team took part in consultations with the World Health Organization (WHO), Pan-American Health Organization (PAHO), NGOs, US officials and disease experts to develop strategies for introducing cholera vaccination in Haiti and improving the availability of cholera vaccines in emergencies. In particular, our manufacturer s perspective helped to develop a strategy for stockpiling cholera vaccines to facilitate outbreak control as well as targeted campaigns in endemic countries. These efforts are in line with the latest WHO recommendations on cholera control in emergencies. 1 As well as supporting the development and implementation of new global policies for cholera control, Crucell is trying to assist with the introduction of cholera vaccination programs in Haiti. The Haitian government initially favored a combination of public health promotion (water, sanitation, hygiene), communication and case management in response to the cholera outbreak and expanded its approach last October, paving the way for the start-up of pilot vaccination campaigns in vulnerable communities. Coalition against Typhoid Crucell played an active role in setting up the Coalition against Typhoid (CaT) in November 2010 and continues to support its policy development and activities. CaT is a worldwide collaboration of health and immunization experts working to promote evidence-based strategies for preventing typhoid fever. Crucell participated in the three roundtable meetings organized during 2011 by the Sabin Vaccine Institute in Washington, DC, which serves as the CaT secretariat. Director Dr Christopher Nelson points out that vaccines against typhoid are available but underused in many countries. The WHO estimates that there are 21 million cases of typhoid fever annually, leading to at least 200,00 deaths, mainly among children. 1 The World Health Organization (WHO) released a new position paper on cholera in July 2011, recommending pre-emptive vaccination in disaster situations and reactive vaccination in outbreaks, as well as evaluation of mass campaigns in high-risk populations. Previously, the WHO only recommended preventive cholera vaccination in the endemic context, but thinking has evolved in the light of recent evidence.

44 Passion for Protection: Crucell s Corporate Social Responsibility Program And more Crucell also works on healthcare access improvements as a member of: the IFPMA Biotherapeutics and Vaccines Committees, which contribute to discussions with the WHO and other Geneva-based international organizations on general vaccination policies; the advisory group for Project Optimize, a WHO/PATH collaboration aimed at developing innovative vaccine delivery systems. European Vaccine Manufacturers (EVM), part of the European Federation of Pharmaceutical Industries and Associations, which works with EU institutions to support vaccine policy development and promote vaccine innovation. EVM has developed the online platform Vaccines Today (www.vaccinestoday.eu) to foster a constructive dialogue about vaccination among all stakeholders. This effort is expected to improve the general public s understanding and acceptance of vaccination, thereby promoting public health. Crucell actively contributes to the forum, as do other EVM members. Vaccine donations Donating vaccines for emergency aid is not straightforward. WHO guidelines highlight the complexity and importance of ensuring that the donation fits the wishes, needs, priorities and infrastructure of recipient governments and healthcare systems. Crucell is currently finalizing a vaccine donation policy in order to guide applicants and our own employees in best practices. Crucell employees once again gave generously to good causes in 2011. Here are just three examples. Twenty Crucell employees took part in a fun run last November to raise money for the children s hospital in Leiden, the Netherlands. Our Swiss colleagues forego Christmas gifts, donating 1000 to a good cause instead. Last year it was WaterAid, an NGO with the same mission as Crucell s partner, the Max Foundation. Dutch employees donated 2945 to radio 3FM s Serious Request program in 2011. The money went to Red Cross projects helping mothers in war-torn regions. Crucell management donated an additional amount to bring the total up to 10,000.

Philanthropy 45 Contributing to science Crucell contributes to the advancement of science and healthcare by sharing knowledge, sponsoring educational activities and supporting academic research. Crucell participated in major scientific and medical meetings relating to our areas of expertise in 2011. Our leading scientists gave public lectures and presentations at approximately 15 key international conferences. Ten papers by Crucell researchers were published in peer-reviewed journals, including the leading scientific publications Nature and Science. As in previous years, Crucell sponsored numerous medical events during 2011, with the aim of facilitating the exchange of new information and ideas among researchers, healthcare professionals and policy makers. Highlights include our strong support for the 7th World Congress of the World Society for Pediatric Infectious Diseases (WSPID) in November and the major global meeting organized by the European Scientific Working group on Influenza (ESWI) in September. Crucell was one of the main sponsors of these key meetings and contributed directly to their educational goals by hosting a scientific symposium at both events. At the 22nd Rabies in the Americas (RITA) conference in October 2011, Crucell presented a plan for improving the global surveillance of rabies, which is a neglected and under-reported disease. We are setting up an epidemiological study in partnership with public health and research organizations in the USA, China and India. During the RITA congress, a young Latin American researcher was presented with a Crucell-sponsored award to support her outstanding work in the rabies field. Crucell offered general practice nurses across England free education in immunization last year. The Vaccination Roadshow toured eight cities between April and November, bringing 562 nurses up to date on key issues and best practices in travel health and influenza vaccination. Crucell provided full funding for the roadshow and the program was delivered by Practice Nursing, an organization specialized in continuous education for nurse practitioners. Crucell also provided the nonprofit organization Medikidz with an unrestricted grant to expand its series of health education comic books for children, written by doctors and reviewed by specialists. The aim of Medikidz is to teach children about health and disease in a fun, non-threatening way. With Crucell s support, Medikiz released two new titles last year, focusing on hepatitis A and influenza. A percentage of the proceeds from book sales was donated to the Medikidz Foundation, a charity that supports health education for children in developing countries.

46 Passion for Protection: Crucell s Corporate Social Responsibility Program Images of hope Eight Crucell employees from around the world visited Bangladesh in the last week of June 2011, to see for themselves the difference Crucell is making to the lives of people in disadvantaged communities. The trip was the fourth opportunity for Crucell volunteers to take part in Footprint, our Corporate Social Responsibility (CSR) community outreach program.

Philanthropy 47 After a night in Dhaka, a city of 20 million people, the team flew north to the remote Gaibanda and Kurigram districts, where Crucell is supporting the nongovernmental organization Friendship in its fantastic efforts to extend the reach of the government s Expanded Program on Immunization (EPI). In Gaibanda, they were thrilled to see babies receiving their third shots of Quinvaxem, Crucell s pentavalent vaccine, and to learn that the EPI program is now reaching virtually all infants in the district. Prior to the launch of the Friendship Crucell program, many children were missing out on routine vaccination and basic healthcare because of the logistical difficulties of reaching the nomadic communities living on shifting silt islands ( chars ) and riverbanks prone to erosion and flooding. With Crucell s support, Friendship has been able to establish a river-based healthcare delivery system to reach these children. The success of the Friendship Crucell EPI support program in Gaibanda has recently enabled expansion of the program to the Kurigram district. Crucell s Footprint team felt privileged to attend the official inauguration of this new program. The man giving the vaccine in the photo is a government official.

48 Passion for Protection: Crucell s Corporate Social Responsibility Program Friendship s work extends beyond healthcare services. Crucell s team visited the Montola char, where Friendship has also helped local people establish more permanent housing by building a plinth (a type of dyke) above the reach of floodwaters. The photos show locals building huts on the plinth and severe erosion along the riverbanks, seen from the Friendship guest boat.

Philanthropy 49 On their fourth day in Bangladesh, the Footprint team flew by seaplane down south to Kalisuri. Crucell has joined forces with the Dutch-based nonprofit organization Max Foundation to support the work of the local nongovernmental organization SLOPB, in particular its efforts to give communities access to clean water. SLOPB is running multiple healthcare and sanitation projects in the region. The ground here is contaminated with arsenic, so wells around 300 meters deep are needed to deliver a safe supply of drinking water. Each well costs 450 and serves more than 200 people. Eight muddy feet paint a graphic picture of the extreme conditions during the monsoon. The Footprint team slogged through deep mud to reach the village of Nalua, where locals were in the process of drilling a deep well. In the pouring rain, singing while they worked. It was a joyful occasion, recalls a team member.

50 Passion for Protection: Crucell s Corporate Social Responsibility Program On day five, the Footprint team got a taste of the broad scope of SLOPB s community projects. They visited health clinics, a school-based health and sanitation project, a boy s orphanage and a village with a deep well made possible by Crucell and the Max Foundation then joined locals for an evening of entertainment combined with hygiene education. The villagers with the Crucell well welcomed us with cheers and applause. It was so moving to realize what it means to them to have a safe supply of water, said one team member. The Footprint team flew home the next day with a rich store of memories and a deeper understanding of the significance of Crucell s mission.

Appendix 51 Key Performance Indicators (KPIs) and targets set for 2011 in each P-category. Tables published in last year s report also included longer-term targets. These are currently being reviewed and aligned with targets used in our parent organization. Performance category KPI Target Prevention of illness and death Continuous improvement Report annually Number of pipeline products Report annually Animal welfare Continuous improvement 3Rs 1 R&D expenses Report annually CSR information management improvement 2011: Set action plans and set quantitative targets for EHS 2 Responsible supply chain Train all relevant employees in responsible supply chain management 80% of top 100 vendors sign Supplier Code of Conduct (CSR declaration) and take part in CSR assessment Transparency objectives Further improve CSR web page and continue to develop reporting practices Quantitative Qualitative 1 3Rs: Reduce, Refine and Replace. 2 EHS: Environment, Health and Safety.

52 Passion for Protection: Crucell s Corporate Social Responsibility Program People category KPI Target Number of employees by gender Continue focus on equal-opportunity human resource management worldwide Average age of employees Report annually Number of women in management Fair and equitable representation Number of nationalities Focus on cross-cultural teams Total number of accidents 2011: LTC 1 rate of 0.4 or less Employee turnover Voluntary turnover rate no more than 10% of workforce, excluding temporary staff % employees receiving regular performance reviews > 95% Number of own recruits Report annually Absenteeism Set criteria in 2011; report annually Quantitative Qualitative 1 LTC stands for lost time case rate, which is equivalent to the lost workday case rate (the measure used by Johnson & Johnson). It reflects the number of lost workdays per hours worked by 100 employees in 12 months.

Appendix 53 Planet category KPI Target Total water use Waste water Monitor and minimize Total energy use See CO 2 footprint CO 2 footprint Relative reduction 1 from 2010 baseline by 2020 2 Number, sort and impact of accidents LTC 3 rate of 0.4 or less in 2011 Amount and characteristics of waste and disposal method Develop and/or refine waste minimization programs on all sites Quantitative Qualitative 1 Relative to workforce size expressed in full-time equivalents (FTEs). 2 The quantitative target set in 2010 is currently under review. 3 See footnote page 52.

54 Passion for Protection: Crucell s Corporate Social Responsibility Program Philanthropy category KPI Target Number of doses donated Report annually Global policy for disaster relief (donations) Support of sector sustainability initiatives Discontinue independent participation in sustainability indexes due to delisting Contribute to Johnson & Johnson efforts NGO partnerships New Footprint field trips scheduled for 2011 Further strengthen current NGO partnerships Explore potential new partnerships Qualitative

55 www.crucell.com Graphic design and production by Resia Bibo, Amsterdam, the Netherlands www.resiabibo.nl Illustrations and animations by RAV Animated Visuals, Amsterdam, the Netherlands www.rav-animation.com

Newtonweg 1 2333 CP Leiden The Netherlands www.crucell.com Tel: + 31 (0) 71 519 94 00 Fax: + 31 (0) 71 519 98 00 csr@crucell.com GI/CSR/RP/1/7/2012