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SOUND VALUES
EMI Social Responsibility
England and Wales
Number 229231
Report 2006
About EMI
Front cover photograph EMI is the world’s largest independent music company.
Live 8, Hyde Park, London, 2 July 2005
We have two divisions, EMI Music and EMI Music Publishing, operating in 50
EMI’s contribution of £4 million to the Live 8 organisation, countries with licensees in a further 20, to discover, develop, record, publish, market
in return for the worldwide DVD rights, helped make the and distribute musical talent.
Live 8 concerts possible. One million people attended free
concerts in London, Paris, Berlin, Rome, Tokyo, Moscow, EMI Music’s labels include Angel, Blue Note, Capitol Nashville, EMI Classics, EMI
Johannesburg, Philadelphia and Toronto on 2 July and in CMG, EMI Televisa Music, Manhattan, Mute, Parlophone and Virgin. A roster of
Edinburgh on 6 July. over 1,000 recording artists worldwide includes Corinne Bailey Rae, The Beatles,
Kate Bush, Coldplay, Tiziano Ferro, Gorillaz, Herbert Groenemeyer, Utada Hikaru,
The concerts, which were staged to raise awareness of Janet Jackson, Norah Jones, Nigel Kennedy, Pink Floyd, Raphael, Simon Rattle,
what Sir Bob Geldof referred to as the ‘disgrace of poverty’ RBD, The Rolling Stones, Joss Stone, K T Tunstall, Keith Urban and Robbie Williams.
in the developing world, attracted a worldwide audience
of over three billion people and showed how music is a EMI Music Publishing is the world’s leading music publisher. It has an exceptional
powerful force for communication and change. Among portfolio of song copyrights including contemporary and classic titles and the
those performing were many artists signed to EMI Music, legendary Motown back catalogue, and represents many of our recording artists
including Coldplay, Paul McCartney, Joss Stone, Keith as well as other singers and songwriters such as the Arctic Monkeys, Natasha
Urban and Robbie Williams. Bedingfield, James Blunt, Ms Dynamite, Eminem, Gorillaz, Jay-Z, Enrique Iglesias,
Alicia Keys, Pink, Sting, Kanye West and Pharrell Williams.
A number of different DVDs were produced by EMI – an
‘international’ edition comprising four discs of highlights
from all of the concerts, plus a number of single disc DVDs
of individual concerts (Toronto, Berlin, Rome and Paris). EMI 2005/06
The DVDs went to number one in the video charts around
the world and EMI is proud to have been associated with Revenue £2,079.9m
this historic event. Average number of employees 6,312
Sound Values reporting period 1st April 2005 to 31st March 2006
Sound Values scope 95% of our operations, 68 EMI
Contents operating units with 127 sites in 41
countries. This includes 2 factories,
13 distribution centres and
1 About EMI 4 recording studios.
2 Chairman’s introduction
4 Our approach
6 Workplace
10 Community Breakdown of revenue
by region (%)
Breakdown of employees
B
by region (%)
16 Environment
22 Marketplace Europe 47.0 1
Europe 41.
Middle East and Africa 1.4 1
Middle East and Africa 2.
Latin America 4.
1 Latin America 4.9
Asia Pacific 16.3 Asia Pacific 19.7
North America 31.2 North America 32.2
1
Chairman’s introduction
This report is illustrated with photographs from last year’s Live 8 concerts. In my More than this, by marketing the music of one culture to much of the rest of the
view, nothing more clearly illustrates the ability of music to raise awareness of world, something that is becoming much easier with digital distribution, we are
global problems and galvanise action. also promoting cultural diversity – spreading understanding, knowledge and I
hope tolerance. On the other hand, it would be wrong to ignore the debate that
The concerts, which EMI helped make possible, were held in 10 countries, brought has long surrounded the music and other creative industries about the influence
together over 1,000 of the biggest names in music and were watched by over three content may have on young people by representing violence, sex or drugs. While
billion people in person, on TV and online. I am acutely aware of such concerns I am a strong defender of musical freedom
of expression – but I equally believe that we need to maintain safeguards that
Music is a powerful force for communication and change. This is the theme I help parents take responsibility for what their children see and listen to.
want to expand on in this introduction to our 2006 social responsibility report.
The music industry, and therefore EMI, is an important contributor to society My third point is philanthropic. CSR – corporate social responsibility – is primarily
now, and has the potential to do much more in the future. I refer not just to the about how a company behaves when making money, not how it gives it away.
cultural impact of the industry, but to its contribution to the economy and to the But I have seen at first hand the power of creative philanthropy. Our principal
communities in which it operates. charitable activity focuses on music education and access to music. Nine years
ago we set up the EMI Music Sound Foundation (EMI MSF) to help boost music
My first point is economic. Increasingly in a global economy, the greatest resource education here in the UK. To date, EMI MSF has awarded total funding of more
possessed by any nation is the imagination of its people. Together with science, than £2.5 million. The largest share of this has supported over 30 secondary
the arts are the principal trainers of imagination and drivers of innovation. schools in their bids to become specialist performing arts or music schools,
enriching the education of some 32,000 students. The balance has directly
Recent research has quantified the economic importance of the recorded music benefited a further 1,430 schools, music students and music teachers. It’s been
industry beyond the immediate scope of record sales, and valued it at more than a hugely successful effort, and as the charity approaches its tenth anniversary
US$100 billion globally.1This includes live performance and radio revenues, but EMI MSF is reviewing other ways in which it can provide much needed resources
excludes the impact of the recording industry on fast-growing sectors such as in this area. Other partnerships we have developed, such as with the Roundhouse
internet service providers and mobile phone operators. and Teach First in the UK and the California Institute of Arts in the US, also channel
funds into music education, both in schools and in the community.
If we look at the latest data on the creative economy in the UK alone, the music
industry annually contributes £6 billion Gross Value Added, excluding export That is just a very brief look at the role we are playing in economic growth, cultural
earnings.2 The UK industry employs close to 100,000 people and has a creative, diversity and community investment. But it’s also important to understand one
flexible, diverse, dynamic and highly skilled workforce. It reinvests around 13% final point: all of this is jeopardised by piracy. Piracy, made easier by the advance
of its turnover each year in A&R – discovering and developing new talent. In fact of technology and the internet, has had, and is continuing to have, a profound
at EMI our annual global investment in new music and musicians is more than MUSIC IS A impact on the global music industry. We have experienced six years in which the
20% of revenue. global market for music sales has declined by more than 20% in total. We believe
POWERFUL that the market will return to growth in due course. However, if our product
It is easy to see how important we are to the ‘creative economy’. But it would continues to be stolen, there will simply not be as much revenue devoted to finding
not be possible without a well run, financially disciplined and responsible FORCE FOR and nurturing future talented artists – the investment in A&R that I mentioned
music industry. earlier. Nor will there be as much resource to invest in other aspects of the business,
COMMUNICATION such as new technology and our skills base, or in the community. Some people are
My second point is cultural. Part of EMI’s strategy is musical diversity – providing promoting the idea that music should be free, but I believe an artist’s right to make
consumers with the music that they want to hear. Over 80% of our business is AND CHANGE a career out of creating music should be respected. Nor is it just those who wish
outside the UK and our music covers every imaginable genre from pop and rock to earn a living from their music who should be protected by law – a seemingly
and urban through classical and jazz to Christian music. We have dedicated growing lack of respect for copyright has implications for films, books, television
investment in local artists in every territory in which we operate directly. During and indeed many non-media industries.
the last year, local repertoire accounted for a significant proportion of EMI Music’s
sales around the world; in countries as varied as Brazil, China, India, Italy and This report contains many examples and measures illustrating how we are treating
South Africa this ranged between 50% and 90%. For young musical talent in a our employees, supporting communities, marketing our products and managing
developing country, or for that matter young people from deprived backgrounds our environmental impact. While there is always room for improvement on specifics,
in wealthy countries, our industry is one of the brightest hopes of success. I hope you will agree after reading our report that a responsibly run music company
does indeed make a positive contribution to society.
1 IFPI, June 2006
2 Music: Impact and Footprint, Creative & Cultural Skills, June 2006
Eric Nicoli
Chairman
2 3
Our approach
Organisation Coldplay’s Chris Martin performing
At EMI, the Chairman and the board of directors are accountable for social at Live 8 in London. The band was
responsibility. They set global policy which is implemented in 50 countries later joined by EMI label-mate
by local management, who also have flexibility to develop their own programmes Richard Ashcroft for a performance
in line with the expectations of the local stakeholders. A small team at corporate of The Verve’s seminal hit Bitter
level works with the board to develop policy, oversees policy implementation and, Sweet Symphony.
in the UK where the company has its headquarters, creates new programmes.
This team also coordinates any group-wide activities and manages our reporting.
Policy, management and reporting
Our social responsibility policy, adopted in 2003, summarises our key principles
in the areas of workplace, community, environment and marketplace. It is available
at www.emigroup.com, together with our environmental policy and Standards
of Business Conduct. We also have a range of other employment and business
practice policies. We have a company-wide reporting system, first developed
14 years ago. Annual returns by operating companies are signed off by senior
managers before submission to EMI Group for review and consolidation. A few
operating units are exempt from this process due to their very small size. EMI’s
internal audit department looks at the social responsibility reporting processes
of our operating companies as part of its rolling review of internal controls.
For several years, any risks to the company arising from social, ethical
and environmental (SEE) matters have been covered by our standard risk
management processes. No significant risks of this nature have been identified.
Our plant in Japan, which accounted for 89% of our in-house CD production
during 2005/06, had an environmental management system (EMS) certified
to ISO 14001. We do not have formal EMSs at our other operating units.
Compliance
There were no significant updates on any of the three claims against us under
the Comprehensive Environmental Response, Compensation and Liability
Act (CERCLA, or ‘Superfund’) in the US. These claims concern companies no
longer owned by EMI, and in each instance we are one of a number of ‘potentially
responsible parties’ (PRPs) in cases concerning the recovery of clean-up costs
for alleged disposal of hazardous substances many years ago. Any liability from
these claims will be divided among the PRPs.
During the year we received notice about a California ‘Superfund’ matter that
concerned a manufacturer of sensor equipment once owned by what was then
THORN EMI. The claim related to waste disposal during the 1980s. We have
settled with the California Environmental Protection Agency and in the spring
of 2006 reached smaller settlements with three state agencies; the matter is
now resolved and the sums were not material.
Ratings and affiliations
We continue to cooperate as fully as possible with benchmarking projects
undertaken by the socially responsible investment community. During
2005/06 we were again included in the Dow Jones Sustainability Group
Index and FTSE4Good. We play an active role in the Media CSR Forum,
a group of UK media companies committed to understanding their impacts
on society and working to establish and spread best practice.
We are a signatory to the International Chamber of Commerce Charter
for Sustainable Development and, in the UK, a member of sustainability
organisation Forum for the Future, the Corporate Responsibility Group
and the London Benchmarking Group on community investment. We
are also members of Business in the Community’s PerCent Club, a group
of organisations that invest 1% or more of pre-tax profits in the community.
4 5
CASE STUDY
EMI Music Australia employees
volunteer their time
EMI Music Australia has introduced to good use by collecting funds from OUR EMPLOYEES EMI’s businesses rely on creative, The survey covered over 5,500
‘EMI community days’, encouraging the crowds to support Mission Australia, motivated and skilled people. Our employees (89% of our global
staff to spend up to one working day a charity which runs a range of support ARE A KEY FACTOR employees are a key factor in our workforce) and had a 78% response
a year helping the local community. services for disadvantaged and isolated IN OUR SUCCESS success and we need staff who can rate. We wanted to look at employee
Departments are given the flexibility individuals, families and communities. provide the best service to our artists “engagement”, which we defined as
to choose a charity they would like to and our business partners. This has a mix of job satisfaction, inclination
support and decide how to use their • EMI Marketing took to the streets become even more important with to recommend the company to others
time accordingly. Since the programme and wharves at Circular Quay, Sydney, the rapid development of the digital as a “great place to work”, and an
was launched two years ago, all parts selling key rings, pens, stress stars marketplace, which requires new intention to stay on at EMI for another
Staff from EMI Music Australia take of the company have participated. and badges to support the Starlight skills and approaches. We work hard year or more. The overall engagement
time out to lend support to the Starlight Children’s Foundation. The Foundation to inspire and reward our employees score was 61%, based on the
Children’s Foundation and, below,
the Bear Cottage children’s hospice. The programme is designed to assist runs programmes to brighten up and provide opportunities for personal percentage of respondents who
with team building but it is also helping the lives of seriously ill children and and career development. This ensures answered “strongly agree” or “agree”.
to improve the company’s community their families in hospitals throughout that we continue to recruit and retain 78% felt that they made a valuable
awareness. Activities to date have Australia. the very best people. contribution to the company. However
included: our employees highlighted the need
for better communication systems
WORKPLACE
• Members of the business support
department completed a sponsored
walk for Kids Helpline, Australia’s only
free, confidential and anonymous 24-
hour telephone and online counselling
• The company’s office in Melbourne
put their sales and promotional skills
to use for the Open Family ‘Longest
Night’ campaign, which highlights
the plight of young people who are
Providing an environment where our employees
feel inspired, supported and fairly rewarded
service for young people. homeless and living rough. The office
raised funds and awareness of the
• A cross-departmental team from campaign by placing ribbons and WE LAUNCHED A Employment matters are the responsibility with 64% saying they did not feel well-
the Sydney office, including the badges in streets and shopping of each business division and are informed about what is going on in the
managing director of EMI Music centres throughout the city. GLOBAL SURVEY TO overseen at both a regional and global company, and only 46% felt they had
Australia, swapped their desks for GATHER THE VIEWS level. Our Standards of Business Conduct, achieved an adequate balance between
window cleaning and book packing • Virgin Marketing worked with local which apply to employees throughout work and home life.
at Bear Cottage, a children’s hospice artist Missy Higgins, staging a one- OF OUR EMPLOYEES the organisation, aim to ensure that
which provides respite and end of off gig in Sydney to raise awareness all our people comply with our high The results, which have been shared
life care. This type of manual work and funds for One in Five, a charity standards of integrity and accountability. with employees, are already helping
is invaluable to the hospice as they that funds research into mental illness. us to make changes in the way we
do not have the resources to do Listening to our people do things, both on a global scale
it themselves. Employee feedback has been In 2005, we launched a global (see overleaf) and on a company
unanimously positive with staff employee survey to gather the views by company basis.
• The promotions department saw a saying they find the days a rewarding of our employees. The music industry
good fundraising opportunity when and educational experience. Many has changed dramatically in recent
the Finn Brothers performed a live set of these initiatives will continue to years and this was an important step
at Bondi Beach, part of an outdoor be supported by EMI in the future. in understanding how EMI staff are
concert series organised by the radio responding to the changes and how
station Triple M. They put their time they feel about the company.
6 7
WE DEVELOPED A EMI COMPANIES
GLOBAL INTRANET PROVIDE OPPORTUNITIES
SITE TO AID INTERNAL FOR STAFF TO DEVELOP
COMMUNICATION OR ENHANCE THEIR
SKILLS
Communication Staff worldwide can also access Paul McCartney opened Live 8
In response to the findings of the information on EMI Music’s strategy with a performance of Sgt Pepper’s
employee survey we developed through an online guide covering the Lonely Hearts Club Band, together
a global intranet site to aid internal challenges and opportunities of the with U2, and closed the show with a
communication. The intranet portal music business, how EMI is responding number of Beatles classics, including
lets employees access company-wide to them, and how we want to move a rousing finale of Hey Jude.
information instantly and is already forward in future.
improving communication around the
world – bringing the company and its During the year, we worked on the
EMI’s new global intranet site people closer together. Weekly blogs development of EMI Academy, an
is improving communication. from senior management on various intranet-based resource that is
aspects of the business, samples of designed to facilitate access to best
our artists’ new music, relevant industry practice training and development
news items, and links to various online programmes used by the company
reports, digital archives, and databases around the world. This was launched
are all designed to make the portal just after year end, and is now helping
a dynamic and well-used resource. employees research development
opportunities, which can be searched
Development and training by medium/format, subject, level or
Equipping our management with the grade (team, manager, executive) and
skills they need to drive the business location. Future plans for EMI Academy
forward continues to be one of our top include an integrated e-learning facility.
priorities. Targeted development and
support means our senior managers Last year 29% of employees worldwide
are better able to compete in an industry received some form of skills training,
that is undergoing such rapid and a 16% increase on the previous year.
fundamental change. We believe this
type of long-term investment is critical Diversity
to our success, and we deliver the In 2005/06, women made up 48%
training required through a centrally of all staff, compared to 47% the
coordinated worldwide management previous year. However, there is still
development programme. room to improve on the number of
women in management which was
EQUIPPING OUR Business training is, of course, 23%, down from 25% in 2004/05.
important at all levels of the organisation Ethnic minorities (excluding Asia and
MANAGEMENT WITH and EMI companies worldwide provide Latin America) made up 14% of all staff
THE SKILLS THEY opportunities for staff to develop or and 9% of management; this compares
NEED TO DRIVE THE enhance their skills. Increasingly, to 15% and 5% respectively during
development needs are identified 2004/05. The level of staff with self-
BUSINESS FORWARD and agreed through the performance reported disabilities remained broadly
appraisal systems that are being stable, at 0.3% of staff and 0.5%
rolled out throughout the Group. of management.
In the UK, we enhanced the induction Health and safety
process for new starters with EMI Music During the year, there were 17 reportable
and EMI Group. All new employees are injuries/illnesses (2.9 per 1,000 employees)
now able to attend a half-day session based on the UK standard measure; this
where they have the opportunity to is an improvement on the previous year
meet one another, hear about the when there were 19 (4.4 per 1,000
company vision, recent performance employees). The number of days’
and what we look for in our people absence from illness per employee
(from the Chairman and the Group was higher, at 3.9 days compared
HR Director), and be briefed on the to 3.3 days.
music process from signing an artist
through to marketing and selling Close to 500 staff were given specific
an album. health and safety training during the
year. We did not incur any health and
safety convictions, nor were there any
work-related fatalities.
8 9
CASE STUDY
Catherine Dawson, on teaching
music with Teach First
When I joined the Teach First programme The first thing I did was to make the OUR AIM IS TO MAKE A At EMI we believe that businesses For the sixth consecutive year EMI
in 2004 I really had no idea what I was classroom environment appealing to can make an important contribution was awarded membership of Business
letting myself in for. I had just graduated them. Then I developed schemes of work POSITIVE DIFFERENCE to society through their community in the Community’s PerCent Club in
from Cambridge, and was looking that would appeal more to their interests, TO THE COMMUNITY investment programmes and that these the UK, which recognises companies
forward to the challenge of teaching in incorporating the use of the latest music programmes can also benefit business. with a community investment level of
an inner London secondary school. As technology. I started extra-curricular 1% or more of pre-tax profits.
soon as I started teaching, at Sacred activities such as choir, and put pressure Our aim is to make a positive
Heart in Southwark, I realised that this on the senior management to provide difference. Globally, our support EMI Music Sound Foundation
would be one of the hardest things I more instrumental tuition to supplement is broadly focused on youth and The EMI Music Sound Foundation
would ever do – but also potentially the classroom teaching. I am very lucky education, arts and culture and health (EMI MSF) is our main initiative to
most rewarding. Two years down the line, that I work in a supportive school. and welfare. At a group level, we focus help boost music education in the
that is still the case and I haven’t regretted The management work hard to put on promoting music education and UK and Ireland. Established by EMI
my decision for a single moment. their weight behind new teachers, access to music. This ensures that in 1997, the charity is independently
and they put their trust in me to turn our community investment activities governed but shares a close working
When I arrived at the school the music the department around. are aligned with our core business. relationship with the business. EMI’s
department was a disaster zone – messy, We believe it is also the best way financial assistance, which includes
dirty and totally disrespected by the in which the business can utilise providing office space and funding
COMMUNITY
students. They weren’t interested in the
subject at all and their behaviour in the
classroom was very poor. Hardly any
students could play instruments, let
alone read music, and if they did play
It all seems very obvious in retrospect
and there is still much to do, but by
introducing these changes the level of
interest has massively increased. I now
feel that I work in an environment where
Investing our energy, creativity
and expertise to benefit the community
they were reluctant to share their talents the music department is a key player in
for fear of humiliation in front of the the school. We have a large and growing
others. Unsurprisingly, there were GCSE group and two school choirs – its energy, creativity and expertise administration costs, enables the
no GCSE students and the level of both a lower school group and an upper to deliver long-term benefits to the charity to put virtually 100% of its
Students in the music room at the achievement overall was very low. school group (with plenty of boys). community. investment income into music education.
Sacred Heart School in London. More than 200 students (out of 600) are In just nine years EMI MSF has donated
However the ethos of Teach First currently learning to play an instrument EMI companies decide how to direct over £2.5 million to schools and
is to ‘make a difference’, and I was and there is a school musical planned for their community investment efforts at individuals. About half of this has gone
determined to get stuck in and attempt next year. We have established a strong a local level within the company-wide to support state secondary schools
to bring the students round. Many of link with the London Sinfonietta after framework for community giving. Last in their bids to become specialist
them were definitely talented and they some of our students played a major year our worldwide charitable cash performing arts colleges; EMI MSF
were all absorbed in music outside part in one of the ensemble’s education contributions were £0.9m. When the is the largest single sponsor of these
school – so why weren’t they switched projects. value of staff time, gifts in-kind, schools in England (31out of 246).
on to music in school? I decided it was participation in industry fundraising More recently, EMI MSF has sponsored
because they didn’t feel they could be All this is a huge achievement for any events and sponsorships is included, music colleges (recently introduced as
expressive in a situation where they school. None of it would have been our total community investment a specialist category) and special needs
felt threatened. possible without the Teach First was £1.9m. schools. All these schools benefit from
programme, as the untapped talent a continuing relationship with the
in the school would not have been charity, which helps them gain access
recognised and gone to waste. I feel to a range of performing arts initiatives.
fortunate to be a music teacher on
the programme.
10 11
EMI MSF HAS MADE WE CONTINUED OUR
DONATIONS OF LONG-STANDING EMI’S ABBEY ROAD STUDIOS
OVER £2.5M PARTNERSHIP WITH
CALARTS
HOSTED THE LAUNCH OF THE
‘PATHFINDERS’ PROJECT
During 2005/06 this included all sectors of society to try to reduce was a recording session at EMI’s Abbey Road Studios hosted the
supporting ‘music showcase’ projects educational inequalities. Capitol Studios in Los Angeles. launch of the ‘Pathfinders’ project,
in four schools. The projects replicated in which the Roundhouse is one of three
what had already been done in another EMI’s key contribution to Teach First We also continued our long-standing cultural organisations to receive money
EMI MSF sponsored school where an has been to fund the recruitment and partnership with the California Institute from the UK government’s Music
EMI employee is a governor. Live music training of music teachers. By of Arts to give students at CalArts the Manifesto. Pathfinders offers a range
competitions were held to develop September 2006, secondary students opportunity to record, produce and of projects to help young people acquire
musical talent while promoting at 10 London schools will be benefiting release their original work, working the necessary skills to make, perform
commitment, practice and from better music education. We also with the staff of EMI’s Capitol Studios. and produce music.
determination. Neighbouring schools offer a variety of opportunities to the
were also involved. Each EMI MSF music teachers once they’ve joined Music in the community We provided support to a number
school hosted professional workshops the programme, recruit senior EMI is a major founding partner of the of other community music projects.
and coaching sessions for participants; employees to act as coaches to Roundhouse in London, a dynamic One was Fairbridge, a charity dedicated
the finals were judged externally. The participants, offer summer work performance venue for the arts and a to giving excluded young people from
projects gave participants an placements and host Teach First events leading community resource that will some of the most disadvantaged areas
opportunity to develop their self- at our headquarters. The experience of give thousands of young people an of the UK the motivation, confidence and
confidence and skills in either voice, Catherine Dawson, a Teach First music opportunity to develop their skills in skills they need to change their lives.
songwriting or performing. It is hoped teacher in an inner London secondary music, drama, television, radio and Our financial support enabled three
Top: One of the in-school Stockhausen the schools will now continue this event school, can be found on page 10. other media. EMI’s support of the different groups of young people to
workshops given by the London annually. Roundhouse and its Roundhouse attend week-long residential music
Sinfonietta. Bottom: Students from
CalArts take advantage of studio time EMI and EMI MSF, together with Studios includes funding for a state- courses at a Fairbridge centre in Kent –
at Capitol Studios in Los Angeles. In addition to its support for the the Brit Trust, collaborated for a third of-the-art music studio. Our technical for many the first time away from their
specialist schools scheme, EMI MSF time on a project run by the London team at Abbey Road Studios helped local area. In addition to learning at least
awards more than £100,000 a year to Sinfonietta, Britain’s premier select, source and install the studio one new musical discipline, participants
music students, music teachers and contemporary classical music equipment. developed their personal skills and
non-specialist schools in the UK. Grants ensemble. This year’s project benefited from a structured plan to help
are given for purchasing instruments, introduced 150 students to ‘Mixtur’, During the year we hosted a reception them in their development.
software and other equipment, and for the groundbreaking score by Karlheinz at our London headquarters in aid of
teacher training. EMI MSF also awards Stockhausen, the godfather of the Roundhouse for music industry Working with the Rugby Portobello
£35,000 every year to fund seven electronica who famously appeared professionals and press. The event Trust, a local West London charity that
bursaries for music students at on the album cover of Sgt Pepper’s included a hip hop performance by provides services and support to young
conservatoires and other graduate Lonely Hearts Club Band. A series of young people who are among the people and their families, we helped
music colleges in the UK and Ireland. in-school workshops at seven schools 12,000 who have already benefited from equip a music room in a new community
across the country allowed students a Roundhouse outreach programme, centre with recording hardware and
More information about the work of EMI to explore Stockhausen’s pioneering and demonstrated how important the software.
MSF, which will be celebrating its 10th experimentation with technology, redeveloped Roundhouse will be in
anniversary in 2007, can be found at which itself has influenced a number Young people from the Roundhouse
supporting arts access and education Other music initiatives supported
www.emimusicsoundfoundation.com. of popular EMI artists, including the performing at an EMI hosted reception within the community. In addition to during the year included EMI Music’s
Beatles, Goldfrapp and Kraftwerk. in aid of the North London venue (top), encouraging third-party donations, sponsorship of a fund-raising concert
Music in schools The workshops were followed by and at the Abbey Road launch of the we raised money internally by asking by the European Union Youth Orchestra.
Pathfinders project. Bottom: A young
EMI has worked with Teach First for a ‘Stockhausen Afternoon’ in London. person learns studio skills as part employees at our head office to ‘buy’ Teenage music students from a number
three years now. Established in 2002, Students listened to the work they had of Fairbridge’s music course. one of the many bricks which make of our local London schools were able
Teach First’s goal is to recruit top created in their school sessions, had up the Roundhouse structure, and to attend a rehearsal and have a Q&A
graduates to make a positive difference further interactive workshops, watched then matched the money raised. This with the orchestra’s Music Director
in challenging secondary schools in Stockhausen-related films, and learned initiative had the benefit of actively Vladimir Ashkenazy and members of
London and Manchester – in both the about the ring modulator – a piece of engaging employees with the the orchestra. We also supported the
classroom and the community. technology Stockhausen experimented Roundhouse, laying the ground for Sussex Symphony Orchestra’s
Participants are given an initial six with and which was used in the evening our staff to share their knowledge and ‘Celebration of Mozart’, which raised
weeks of intensive training in teaching performance of ‘Mixtur’ the students experience of the music business with funds for UNICEF. Students from nearby
and leadership and are mentored and attended at the Queen Elizabeth Hall. young people involved in the Boundstone College, a performing
trained further during their two years in Roundhouse Studios programmes. arts school supported by EMI MSF,
the classroom. Then they choose In the US, music education was at performed with the orchestra.
whether to stay in teaching or go into the heart of two projects which EMI
the business world. To date around 50% continues to support. For a third year,
of participants have opted to stay in EMI was involved in the Grammy Jazz
teaching for at least a third year, while all Ensembles programme which enables
those who do move on take with them talented high school students to meet,
solid leadership training and a good share experiences and perform with
understanding of what is required from Grammy-nominated artists. A highlight
12 13
EMI MUSIC IN THE US PRODUCED A NUMBER OF
ALBUMS TO RAISE MONEY FOR THE HURRICANE
KATRINA RELIEF EFFORT
Benefit CDs Live 8 Robbie Williams thrilled the crowd at
Benefit CDs are a unique way in which 2005 was the year of Live 8, which drew Live 8 in London with his hits Let Me
our industry can contribute to the attention to third-world poverty through Entertain You, Feel and Angels and
community, whether in aid of a specific a series of free music concerts around the Queen anthem We Will Rock You.
charity or in response to a disaster. the world. EMI’s contribution of £4m to
Following Hurricane Katrina and the the Live 8 organisation, in return for the
devastation it caused in New Orleans, worldwide DVD rights, helped make the
EMI Music in the US produced a July concerts possible. A number of our
number of albums to raise money for artists were among the 1,000 musicians
the relief effort. Our jazz label, Blue Note, who performed in 10 countries, to a total
released the recording of Higher audience of over three billion people.
Ground, the Hurricane Relief Benefit In addition to raising awareness, Live 8
Concert at New York’s Lincoln Center was part of the continuing effort of the
which was produced by EMI artist and Band Aid Trust to raise funds to help
New Orleans native Wynton Marsalis. alleviate poverty in the developing world.
Parlophone released Dr John’s Sippiana
Hericane and EMI’s Christian Music Other initiatives
Group collaborated on the album Songs EMI Music’s UK business has consistently
Higher Ground and Hurricane of Hope. EMI also worked in partnership played a key role in working with local
Relief: Come Together Now, with the rest of the music industry to police and other businesses to help
two of the Hurricane Katrina
benefit CDs. release Hurricane Relief: Come Together improve safety in its area of West London.
Now, a multi-artist album which This year the company lent its support
included EMI stars such as Coldplay to an initiative designed to inspire young
and Norah Jones. The Recording people to get involved in their local
Industry Association of America (RIAA), community. The Safer Neighbourhoods
on behalf of its member companies and Annual Challenge (SNAC) asked 11-19
all of the participating artists, publishers year olds to identify problems in their
and songwriters, is donating 100 percent neighbourhood and suggest, and then
of the net proceeds of the CD to a range implement, solutions – which ranged
of charities directly supporting the victims from cleaning up public spaces to
of the hurricane. organising lunch clubs for older residents
and film evenings for local youth. The
EMI Music Ireland once again aim of the initiative is to foster sustainable
collaborated with local radio station community engagement and reduce
FM104 to produce a benefit CD in aid the fear of crime. EMI was a driving
of Temple Street Children’s hospital force in getting the project off the
raised €55,000 for the hospital,
in Dublin. Strawberry Alarm Clock 2 ground, offering the expertise of our
in-house design team and providing
outstripping the fund-raising success advice, guidance and other practical
of the first CD, released last year, assistance to help stage the SNAC
by nearly 40%. Awards show.
The Live 8 DVD.
14 15
CASE STUDY ABSOLUTE ENERGY
USE AT OUR BUILDINGS
TOTAL GLOBAL CARBON
DIOXIDE EMISSIONS
Addressing the DECREASED BY 5.2% DECREASED BY 4.2%
office environment
When we moved to a new headquarters glass in the design means natural light Following our withdrawal from Energy use and our carbon footprint
building at Wrights Lane in West London is used to its full effect, which helps to manufacturing in the US and Europe Carbon dioxide emissions associated
in 2003 we took care to ensure that its reduce our energy consumption. in 2004, the sale of our CD plant in with energy use in our buildings
redevelopment incorporated a number Japan at the end of 2005 marked a decreased by 6.9% in absolute terms
of environmental considerations, and as Waste further reduction in the environmental last year and by 13% when related to
a result we secured a BREEAM rating All waste except some food waste is impacts of our wholly owned or managed revenue. This decline is almost entirely
(see below). Since then we have collected together and sorted off-site operations. We now have just one due to the sale of the Japanese factory.
continued to look for ways to reduce by a contractor. This helps us to manufacturing facility, in Canada, which Absolute energy use at our buildings
the impact of the day to day operation maximise the amount of waste we produces around 10 million CDs a year. during the year decreased by 5.2%, to
of the building, such as covering recycle without the need for staff to use However, we plan to continue to ask our 74,334 MWh. Globally we secured just
environmental issues at monthly focus separate bins for different waste major product suppliers to report on key over 21% of our electricity demand from
group meetings where staff can suggest streams. We plan to review this process environmental performance indicators renewable sources. In the UK, renewable
ways to improve our eco-efficiency. in the current year to see if the system with the aim of ensuring responsible energy has met close to 100% of our
Some of the steps we have taken still meets our objectives. environmental management in our electricity needs for the past four years.
are listed below. supply chain.
ENVIRONMENT
The building
When we commissioned the
redevelopment of Wrights Lane we
In 2006, we changed the provision
of drinking water, replacing bottles
of mineral water with a mains filtered
Continuing our commitment to reducing
included a clear environmental brief,
using the UK’s Building Research
Establishment Environmental
system. We estimate this will eliminate
80,000 bottles a year and reduce plastic
waste by nearly two tonnes (as well as
our environmental impact
Assessment Method (BREEAM). reducing the energy and resources
BREEAM can be used to assess the consumed in their manufacture and The majority of EMI’s operations are Emissions from transport dropped
environmental performance of new transport). now made up of offices and a small slightly, with a 25% reduction in
and existing buildings. The assessment number of recording studios and emissions from air freight offset by
helps guide the design process towards Resource consumption distribution centres. We monitor the a 33% increase in those related to
high environmental standards. Wrights Wrights Lane uses paper with 80% environmental performance of these business travel. Total global carbon
Lane achieved a rating of ‘Very Good’ recycled content for its printing and sites and all EMI businesses try to dioxide emissions from transport
and an overall environmental photocopying needs. We purchase minimise their environmental impact and buildings were 81.7 kilotonnes,
performance indicator of 8 out of 10 reconditioned toner cartridges and and set reduction targets where a decrease of 4.2%.
on the basis of energy efficiency, the recycle these after use to minimise possible. Globally, we consider energy
use of building materials, land use unnecessary waste attributed to our consumption, resource consumption
and pollution. printing needs. We have begun and waste to be our main areas of
The foyer (top) and atrium staff café working with our stationary supplier environmental impact and we try
areas at our London headquarters. Energy to promote environmentally friendly to reduce these in line with our
Like almost all our buildings in the UK, products in their range to staff where environmental policy.
Wrights Lane uses renewable sources this is an option. Raising awareness
to meet 100% of its electricity needs, of how employees can cut resource
thus greatly reducing associated carbon use and associated waste remains
dioxide emissions. The liberal use of an ongoing challenge.
16 17
RECYCLING RATES ROSE
FOR ALL MATERIALS THAT
WE MONITOR EXCEPT GLASS,
WHICH REMAINED STATIC
Global warming potential
Global warming potential Global warming potential
Global warming potential
CO2 due to due to energy use
CO2 emittedemittedenergy use CO2 due to due to energy
CO2 emittedemittedenergy use in use in
in buildings/factories (kilotonnes) buildings/factories of turnover
buildings/factories per unitper unit of turnover
CO2 emissions from in buildings/factories (kilotonnes) Resource use and waste Hazardous has contract
products. EMI Music UK wasteawaste
Hazardous Hazardous
Ozone depleters unitswaste of output)
Hazardous waste Solvent
Solvent use use Solvent use use
Solvent
transport use (kilotonnes) (tonnes/£m)
(tonnes/£m) (tonnes)
(tonnes) (tonnes/million units
(tonnes/million of output) (litres
(litres 000s) 000s) (litres/million output)
(litres/million units ofunits of output)
Individual business units set targets with a commercial operation based at In 2005/06 purchases of ozone-depleting
where possible for reducing resource a prison which offers secure destruction chemicals to maintain air conditioning
60.2
65.0
116.9 114.2 1
121.8
16.9 114.2
121.8 use. Many actively promote the50.3 48.9 47.8 of audio and media products. The
48.8 48.8 50.3 48.9 use
47.8
367 .2 367.2
units and other systems in the buildings
0.66 0.66 79.7 80.1 79.7 80.1 141.8
131.5
141.8
131.5
115.0 114.0 115.0 114.0 335.8 335.8
57.0
103.0 104.0 104.0
of electronic communication45.1
43.2
45.1
43.2 or operation provides a high quality service we occupy fell by over 50%; these 68.7
65.8
68.7
65.8
53.0 103.0 64.9
48.6 49.0 double-sided printing to reduce 38.9 38.9 and prepares inmates for work and
37.1 35.8 37.1 279.2 279.2 purchases are small in quantity and
0.53 0.53 64.9
103.0
110.5
106.9
103.0
110.5
106.9
35.8
1
44. 45.0 44.2 87.6
80.7
paper consumption and cut waste.
87.6
80.7 life on their return to the community. 229.5 229.5
always vary year on year due to the
0.45 0.45 99.5 99.5
38.1
Reductions in water use at many of our Product is separated into21its individual
28.1 28.1 1.2 1
21 .2
213.5 213.5 maintenance requirements0.38 cooling
0.34
0.37 0.38 0.37
0.34
of 45.2 45.2 44. 44.0 44.
44.0 1 1 81.3
1
76.
81.3 85.
76.
1
1 1
85.
locations helped us achieve a 9.2%
59.6 59.6 components: the compact disc, the
20.7
and fire extinguishing systems. Our 37.9 37.9 67.5
58.8
67.5
66.1
58.8
66.1
20.7
decrease in our global water consumption plastic jewel case and the CD booklet.
40.3
purchases were almost entirely HCFCs; 0.22 0.22
40.3 0.20 0.21 0.20 0.21
during 2005/06. Recycling rates rose Each is then reprocessed separately. 108.4 88.3 108.7 108.4
88.3
108.7
one US office bought an insignificant
for all materials that we monitor except The aluminium coating, lacquer and amount of recycled CFCs to maintain
glass, which remained static. Globally, paint are skimmed from the CD itself an existing system. We are committed0.03 0.02 0.03 0.03 0.02 0.03 1 3.6 5.
5. 1 3.6
2.0 1.4 2.0 1.4
93% of our offices recycle paper, 54% and then the remaining plastic disc to phasing out these chemicals. Systems
1997 1998 1999 2000 2001 2002 1995 1996 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004plastics, 43% glass and2000 1999 2000 2001is granulated to make1996 1997 quality
2003 2004 1997 1998 1999 2000 2001 2002 2003 recycle 2005
2005 2006 2004 2005 1997 1998 1999 40%
1995 1996 1995 1996 1997 1998 2001 2002 20032002 2003 2004 2005
2004 2005 high 2000 2001 2002 2003 2004 2005 2006
1996 1997 1998 1999 1998 1999 2000 2001 2002 2003 2004 2005 2006 1998 1999 2000 2001 2002 2003 2004 are
that use less1996 1997 1998 alternatives2003 2004 2005 2006 2006 1996 1997 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1996 1997 harmful 1999 2000 2001 2002 2005 2006 2006 1998 1999 2000 2001 2002 2003 2004 2005 2006 1996 1997 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2006
1998 1999 2000 2001 2002 2003 2004 2005 2006 2006
target target target target
Own vehicle fleet Third party vehicle fleet metal. Toner cartridges are recycled by polycarbonate pellets for use in selected during replacement work
90% of our sites and 71% recycle products such as light fittings and potential
Global
Global warming warming
or building refurbishment.
Global warming
Global warming potential potential
fire alarm housings. Similarlypotential use
Air freight Business travel
electronic equipment. the
CO2 emitted due
CO2 emitted due to energy to energy use CO2 emitted due to energy use in
CO2 emitted due to energy use in
makesin buildings/factories
up the (kilotonnes)
polystyrene that in buildings/factoriesjewel (kilotonnes) Manufacturing per unit of per unit of turnover
buildings/factories turnover
buildings/factories
(tonnes/£m)
Hazardous wasteHazardous waste
(tonnes) (tonnes)
Hazardous waste
Hazardous waste
(tonnes/million units
(tonnes/million units of output) of output)
S
(tonnes/£m) (
Product recycling boxes is recycled into artificial wood, During 2005/06, remaining
Our goal is to recycle any obsolete insulation foam and even new jewel manufacturing operations in Canada
product from our distribution centres boxes. The CD booklet is121.8116.9
re-pulped
116.9 114.2
121.8 and Japan continued to48.9 47.8 their
48.8
50.3
48.8 48.9 47.8
50.3
reduce 367.2 367 .2 0.66 0.66 7
115.0 335.8
in as many countries as possible. into recycled paper. 114.2 115.0 114.0 104.0 114.0 104.0
103.0
solvent use and cut hazardous waste
43.2
45.1
43.2
45.1 335.8
103.0
Currently we are doing this in the UK, production, by 12.9% 38.9 33% 37.1 and 37.1 38.9 per 279.2 279.2
0.53 0.53
35.8 35.8
most Continental European markets, A similar process is used to recycle 87.6 80.7 87.6 80.7 unit output respectively. Polycarbonate 229.5 229.5
0.45 0.45
North America, Japan, Australia, South DVDs and there are different methods scrap rose at both plants, with a total 28.1 28.1 21 .2
1 213.51
21 .2 213.5
0.37 0.38
0.34
0.37 0.38
0.34
Africa, Brazil and Mexico (some smaller for recovering other media formats 59.6 59.6 increase of 29.1% per unit CD output. 20.7
territories are able to reuse plastic cases such as cassette. Any obsolete vinyl 40.3
This was due to production yield 20.7 0.22 0.22
40.3 0.20 0.21 0.20 0.21
and send paper parts for recycling). is returned to our manufacturer; once problems at our Japanese factory and 108.4
88.3
108.4
108.7
88.3
108.7
the centre of the record is punched a switch to a two-shift cycle and isolated
In the UK, for example, unsold, out to remove the paper, the remaining yield problems at the Canadian plant. 2.0 1.4
0.03 0.02 0.03
0.03 0.02 0.03
2.0 1.4
damaged or returned stock which material is reprocessed and made
cannot be re-sold is sorted, processed into completely new records. 1997 1998 1999 2000 2001 2002 2003 2004 2005
1995 1996
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2006
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2006
target
1
targe
and reused in a variety of different
use inGlobal warming potential
Global warming potential
of turnover emitted due to energy use in
r CO22 Since duestarted environmental
CO emitted we to energy Hazardous waste
Hazardous waste
use in Global warming potential waste waste
Hazardous
Global warming potential Hazardous Global warming potential Solvent use
Solvent use
Global warming potential Solvent useSolvent use Polycarbonate
Polycarbonate scrap scrap Polycarbonate scrap scrap
Polycarbonate
(tonnes) (tonnes)
buildings/factories per unit of turnover
buildings/factories per unit ofhave chosen
reporting in1993, we turnover (tonnes/million units of
(tonnes/million units
CO22 emitted due to energy use in of output) output)
CO emitted due to energy use in (litres
CO22 emitted (litres energy use inin
due to energy 000s)
CO emitted due to 000s) use Water consumption
Water consumption (litres/million units of
(litres/million units of output) output)
Energy Consumption
Energy Consumption (tonnes) (tonnes) Ozone depletion
Ozone depletion (tonnes/million units of CDCO emissions from
(tonnes/million units of CD output)CO22 emissions from
output)
(tonnes/£m)
(tonnes/£m) the same factors from the
to use buildings/factories (kilotonnes)
buildings/factories (kilotonnes) buildings/factories per unit of revenue
buildings/factories per unit of revenue (cubic metres 000s)
(cubic metres 000s) Electricity, gas and heating
Electricity, gas and heating Purchases of HCFCs (kg)
Purchases of HCFCs (kg) transport use (kilotonne
transport use (kilotonnes
UK Energy Efficiency Office for the (tonnes/£m)
(tonnes/£m)
conversion of electricity, gas and
367.2 367.2 0.66 0.66 79.7 80.1 79.7 80.1 141.8 141.8 1229 1224 1229 1224 2.61 2.61
1162 1162
48.8 heating oil48.9 47.8 335.8
50.3 into associated carbon
50.3 335.8 121.8
121.8 50.3
50.3 1471
1471 131.5 131.5 138000
138000 1 19 1
1 1 19 1
1 901.0
901.0 65.0
65.0
48.8 48.9 47.8 16.9 14.2
11 11
16.9 14.2 48.9 47.8
48.9 47.8 104 104
15.0 14.0
11 11
15.0 14.0
dioxide emissions. This has enabled
45.1
45.1 0.53 0.53 45.
45. 1
1 64.9
68.7
65.8
64.9
68.7
65.8
1363
1363 1024 1024 2.20 2. 8
1 2.24 2.208
2.20 2.
1 2.24 2.20
57.0
60.2
60.2
43.2like-for-like comparison over the 43.2 57.0
37.1
43.2a 279.2 279.2 104.0
104.0 43.2
103.0
110.5
106.9
103.0
110.5
106.9 1.97 1.97 53.0 1
53.0 .95 1.95
35.8
years. To bring our reporting into line
38.9
38.9 38.9
38.9 11160
160 99.5 99.5 875 875 1.83 1.86 1.83 1.86
37.1 0.45 0.45 48.6
48.6
35.837.1 87.6
87.6
37.
37. 1
35.8 1 792 805 792 805
229.5 year
with current best practice, this 211.2 229.5 213.5
35.8
21 .2
1 213.5 80.7
80.7 0.37 0.38 0.37 0.38
35.8
963
963 81.3 81.3
1
85. 85.
1 623.0
623.0
596.0 617.0
596.0 617.0
1.61
1.51
1.61
11 .51
.49
44. 1
1
44.
1
.49
28.1 28.1 45.2 45.2 1
we have also calculated carbon dioxide 0.34 0.34
44.0 44. 1
44.0 44.
851
851
1
76. 76.1
78433
564.0
564.0 566.0
566.0
38
emissions using conversion28.1 28.1
factors 28.
28. 1
1 37.9 37.9 67 78433 66.1
.5 67.5 66.1 486.0
486.0
772
772 74334
74334
20.7 20.7 59.6
59.6 688 716 58.8 58.8
provided by the GHG Protocol Initiative 688 716 430.4
430.4
20.7 0.22 0.22 20.7
(2003) for electricity, and by the UK 20.7
108.4 108.4
108.7 108.7 0.20 0.21 0.20 0.21
20.7
18.0
18.0
government’s DEFRA (2005) for gas 88.3 88.3 40.3 37.5
40.3 37.5
425
425 262.0
262.0
386
386
and oil. This data is shown in the 155 155
darkened area for 2006. 0.03 0.02 0.03 0.02 0.03
0.03 1
5. 3.6 5.
1 3.6
99 99
1117.3
17.3
2.0 1.4 2.0 1.4 57.3
57.3
2002 2003
2004 2005 2004 2005 1996 1997 1998 1999 2000 2001 2002 2003 2004
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 1996 1997 1998 1999 2000 2001 2002 2003 2004
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2006 2006 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2006 2006 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2006 2006 2006
target target target target target target
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2004 2005 2006
2004 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1997 1998 1999 2000 2001 2002
1997 1998 1999 2000 2001 2002 20
Own vehicle fleet
Own vehicle fleet Third p
Third pa
Ozone depletion
Ozone depletion GHG Protocol Initiative and DEFRA conversion factors
GHG Protocol Initiative and DEFRA conversion factors GHG Protocol Initiative and DEFRA conversion factors
GHG Protocol Initiative and DEFRA conversion factors Air freight
Air freight Busine
Busines
Purchase of CFCs and HCFCs (kg)
Purchase of CFCs and HCFCs (kg)
1197
1197
901
901
18 19
623 566 596 617
564 623 566 596 617
486 564
486 430.4
430.4
THE CHRISTIAN MUSIC GROUP
HAD THEIR BUILDING AUDITED
AND WILL SWITCH TO LESS
ENERGY INTENSIVE LIGHTING
Public transport and car pooling were At Live 8 Joss Stone performed her
promoted as part of The Christian Music
Group’s ‘Clean Means Green’ week. hits Super Duper Love and Some
Kind of Wonderful.
Local initiatives the use of air conditioning and lighting Sustainable packaging project
Each of our business units responds to reduce energy consumption. The EMI worked with Loughborough
to environmental management Christian Music Group (CMG) in the US University again this year to look at ways
according to its particular impacts and had their building audited with respect of reducing the environmental impact
where environmental savings can be to energy consumption, and will switch of CD and DVD packaging. Design and
made. Many offices try to reduce to less energy intensive lighting as a technology students were asked to
consumption of electricity and paper. result. In association with the ‘Great develop ideas for sustainable CD and
EMI Music companies in Argentina, American Clean Up’ CMG also organised DVD packaging which would be
Germany, Italy and South Africa, as well a ‘Clean Means Green’ week-long event. commercially viable and work with
as Mute Records in the UK and Narada As part of the initiative staff were current methods of distribution and
and Capitol in the US, have set targets educated about issues such as air retailing. In past years the project has
to improve their performance in one or pollution and recycling. Items from an produced a range of interesting
both of these areas. Many businesses office clean up were sent to benefit designs which we have shared with our
are taking common sense action to local community organisations. packaging suppliers to develop potential
improve their environmental performance: practical design changes. This year’s
EMI Music Korea and EMI Music project produced an excellent set of
Malaysia have both worked to minimise designs which were presented at our
headquarters by the students.
Global warming potential
CO2 emitted due
Ozone depletion to energy use in Water consumption from
CO2 emissions Energy Consumption Ozone depletion CO2 emissions from
Purchases of HCFCs (kg) unit of revenue
buildings/factories per (cubic metres 000s) (kilotonnes)
transport use Electricity, gas and heating Purchases of HCFCs (kg) transport use (kilotonnes)
(tonnes/£m)
901.0 50.3 1471 65.0 138000 901.0 65.0
48.9 47.8
1363 60.2 60.2
1
45. 57.0 57.0
43.2
53.0 53.0
38.9 1160
37.
1 48.6 49.0 48.6 49.0
623.0 35.8 45.0 44.2 623.0 45.0 44.2
596.0 617.0 963 1
44. 596.0 617.0 1
44.
564.0 566.0 564.0 566.0
851 1
38. 78433 1
38.
486.0 1
28. 486.0
772 74334
430.4 688 716 430.4
20.7
18.0
262.0 425 262.0
386
117.3 117.3
57.3 57.3
19961996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2005 2006
1997 1998 1999 2000 2001 2002 2003 2004 2004 2005 2006 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Own vehicle fleet Third party vehicle fleet Own vehicle fleet Third party vehicle fleet
GHG Protocol Initiative and DEFRA conversion factors Air freight Business travel Air freight Business travel
Our partnership with
Loughborough University’s
Design and Technology
department generated
a number of design ideas
for more sustainable CD
and DVD packaging.
20 21
CASE STUDY Rocking the kasbah
Music is a powerful form of
In memory of Strummer, who died in
2002, EMI Music Middle East released
communication, connecting diverse Rock the Kasbah, a tribute album
Rocking audiences and sharing beliefs, traditionsfeaturing Arabic and eastern music that
and emotions. There is a long tradition brings together politically active artists
the kasbah – of artists using their songs to bring from all over the world including James
issues of morality or social injustice Brown, Asian Dub Foundation, Khaled,
promoting to the public consciousness. Joe Strummer himself, and other
leading artists from countries as diverse
the message In some countries, however, this as Iraq, Syria, Iran, Ivory Coast, South
COPYRIGHT IS The music industry has changed rapidly music industry and threatens our ability
freedom is restricted or even outlawed – Africa and Egypt.
of free musical denying musicians their right to free CRUCIAL TO THE in recent years and EMI continues to
evolve to meet the expectations of our
to bring new music to our consumers.
We have worked on a number of fronts
musical expression, and society a The Clash were unwittingly a profound MUSIC INDUSTRY
expression voice of protest. It was to attack these influence on many of the artists on Rock
artists, consumers, business partners
and other stakeholders.
to tackle the threat of piracy. The
development and implementation of
censorial actions that Joe Strummer, the Kasbah, many of whom are struggling our digital strategy is one of these. We
front man of punk pioneers The Clash, with the restrictions that the original In particular, we have worked hard utilise a wide range of digital platforms
wrote the seminal song Rock The Clash track sought to highlight. The to adapt our business to exploit the to distribute our artists’ music, both
Casbah over 20 years ago. album aims to raise public awareness opportunities from new technology. online and wireless, and have hundreds
of musical censorship. With its breadth We have developed partnerships with of contracts in place with partners
of artists and musical styles, it is also a host of digital content distributors around the world. We have also worked
a great example of the diverse music and we continue to experiment with with industry bodies and governments
that EMI promotes. and develop new methods of distributing to ensure reasonable protection of
our artists’ music to consumers intellectual property, changed our own
worldwide and enable them to sample business processes to protect repertoire
and purchase anywhere and at any time. during all stages of the release process,
educated the public about the importance
CASE STUDY
Responsible
MARKETPLACE
Responsible marketing
We recognise that we have a
responsibility to protect consumers
from content that may cause offence.
This voluntary scheme uses a label
to alert parents to music which may
contain explicit content, including
strong language or depictions of
Promoting the positive value of music
Our social responsibility policy commits
marketing us to displaying warnings, in line
violence, sex or substance abuse.
In the US, EMI has an internal Parental
with local best practice and industry Advisory implementation policy which
guidelines, on those recordings that sets out a step-by-step process to be One constant in our approach remains of copyright and supported legal action
may be considered by some to be followed by all of our labels to ensure discovering the very best musical talent against those involved in the theft
unsuitable for a young audience. consistency of approach. The policy from around the world and providing of music.
applies both to product packaging and long-term investment and support to
The responsibility for consistent to marketing and consumer advertising. these artists to enable them to develop Much of the effort to raise public
labelling rests with the head of each It also covers EMI’s direct online long and successful careers. awareness of the importance of
record label; lyrics and visual content promotions or sales, and the provision respecting copyright is aimed at young
are reviewed by staff working with the of information to online retailers and Copyright protection people, and last year EMI’s Parlophone
product and decisions are made based associated third parties. Copyright is crucial to the music label and EMI Music Publishing worked
on current industry guidelines. industry. It enables songwriters and with the UK government’s Patent Office
Although only a small amount of music performers to make a living from their on a second edition of the THINK kit®
An example is the Parental Advisory needs a label (at EMI in the US it is 8% creative efforts and allows us to invest education pack. This resource for schools
programme, established in the United of new releases), the ‘Parental Advisory’ in them and make a return on that is designed to help students understand
States in 1985 by the Recording Industry logo has become familiar to the music investment. Copyright theft – whether the importance of intellectual property
Association of America (RIAA), in buying public in North America. Similar through illegal peer-to-peer file-sharing rights and their application in business.
response to concerns voiced by the guidelines have been adopted in other programmes or from counterfeit CDs Singer/songwriter Jamelia and
National Parent Teacher Association countries. In the US, virtually every and DVDs – is highly damaging to the songwriter/producer James McMillan
and the Parents Music Resource Center. sound recording to come under public
scrutiny since the introduction of the
programme has displayed a label.
22 23
OUR NEW AND THE DIVERSITY OF
EMERGING BUSINESS MUSIC SHOULD BE
MODELS REFLECT A NEW ENCOURAGED AND
CONSUMER DEMAND PROTECTED
both featured in case studies which Last year saw local repertoire feature
highlighted the role of copyright in highly in the top 20 best-selling EMI
all aspects of writing, recording and Music albums. Radja from Indonesia,
releasing music, and its importance Raphael from France and RBD from
to the artists, creators, and businesses Mexico produced million-plus selling
involved. A previous version of THINK albums - an encouraging sign of the
kit® reached over 70% of UK demand for locally produced music.
secondary schools.
As well as a commitment to promoting
Listening to our consumers local repertoire we aim to cover a wide
One of the key features of the digital range of genres and musical styles.Our
age in the music industry is an explosion roster of artists write and perform pop,
in product innovation, across all channels rock, urban, Latin, country and jazz as
and all digital consumer communities. well as Christian and classical music.
Our new and emerging business models
reflect a new consumer demand – Freedom of expression
increasingly, music lovers want to be With so much variety in our roster,
able to find and consume music in any and with music’s role as a powerful
form, at any time and in any place. communicator, it’s only natural that
some of the music we release may
In order to meet these expectations, cause offence to some people. Our
we need to be innovative and flexible – policy is to support our artists’ right
and we need to have real insight into to free musical expression, while being
and understanding of customer sensitive to the prevailing values of the
requirements. As a company, we are countries in which we operate and to
steadily working to refocus ourselves our different audiences. Where we
as a more consumer-driven business. think it necessary, we display warnings
Examples in the past year include using to enable people to make appropriate
a wide range of research methodologies choices. Our aim is not to censor our
to explore how consumer preferences artists, but to allow consumers to make
are changing, and training our staff. an informed decision. An example of
our procedures to identify and market
Musical diversity these products is described on page 22.
Music is an important cultural product
and we believe that diversity of music
should be encouraged and protected.
Top selling local repertoire during
In addition to promoting global superstars
the year included releases from EMI has an ongoing strategy of investing
(top to bottom) Raphael (France), in music which has developed from local
Radja (Indonesia) and RBD (Mexico). culture and language. This preserves the Printed on PhoeniXmotion, a totally chlorine
rich mix of musical styles that we enjoy, free paper taken from a sustainable source
increases consumer choice and offers and manufactured by a paper mill carrying
the Nordic Swan Ecolabel. The printer is ISO
exciting new business opportunities 14001 accredited and has used vegetable
for the company – particularly in the based inks and an ‘ecoclean.line’ washing
digital age. agent recycling system for waste chemicals,
minimising the environmental impact
associated with printing this report.
Design
SEA
Consultancy
Context
Print
Spin Offset
Live 8 photography
Getty Images
24
CorporateRegister.com 11/10/2006