Hexion Announces Greenhouse Gas Emission Reduction Commitment

COLUMBUS, Ohio--(BUSINESS WIRE)--Hexion Inc. announced that in order to help address climate change, it has committed to reduce absolute carbon emissions by 20 percent by 2030. A leading producer of adhesives, coatings and composite resins, Hexion’s commitment encompasses “Scope 1” and “Scope 2” emissions, which are direct and indirect greenhouse emissions from operations and consumed energy. The reduction target is compared to 2017, the baseline year of operations.

“Today’s announcement is part of our ongoing commitment to further align our manufacturing operations with our strategic sustainability practices,” said Craig Rogerson, Chairman, President and Chief Executive Officer. “Doing our part to address the significant global environmental challenges of climate change and resource scarcity is aligned with our company values of supporting the communities where we operate, and our associates live. In addition, our product portfolio is strategically aligned to support products with sustainable attributes, such as wind energy and composites for lightweight auto applications. Our ongoing commitment to new product innovation -- coupled with manufacturing enhancements that support lower emissions -- is expected to guide our long-term growth plans going forward.”

Hexion is also reviewing its “Scope 3” emissions, which are those associated with all other aspects of our business, such as raw materials, product use and disposal, waste generation, business travel, and the impact of associate commuting, among others. The establishment of the greenhouse gas reduction commitment follows a 2020 materiality assessment where Hexion engaged with various internal and external stakeholders. From that assessment, the Company determined its most important areas of focus, which included formalizing the following goals:

• Minimizing climate change impact - Hexion will strive to protect against climate change throughout its business lifecycle by efficiently using natural resources, optimizing existing processes and enhancing products and technologies through continuous innovation.
• Developing innovative sustainable products - Hexion is committed that by 2030, all new products will incorporate sustainable attributes.
• Enhancing worker safety/well-being - By 2022, Hexion will offer a voluntary well-being program that addresses associate physical, mental, and financial well-being with the goal of 50% associate participation in the program by 2025. Hexion also re-affirmed its commitment to continue to drive toward zero recordable injuries.
• Reducing spills and releases - Hexion has committed to reduce spill mass and releases by 80 percent by 2025.
• Maintaining product stewardship - Hexion remains committed to implementing the Responsible Care Product Safety Code and will continue to be transparent and communicate to key stakeholders regarding its stewardship programs such as risk reviews and reduction of substances of concern.

As further validation of its commitment to more sustainable operations, Hexion also recently received its first ENERGY STAR® Partner of the Year award, one of the highest honors bestowed by the United States Environmental Protection Agency’s ENERGY STAR program. Hexion was recognized for numerous successes in waste reduction and energy efficiency throughout the company since 2014. In that time, Hexion has reduced global energy intensity by 28 percent, executed more than 250 sustainability projects, and produced water and energy savings of approximately $14 million, including $2 million in 2020 alone. Each year, the ENERGY STAR program honors a group of businesses and organizations that have made outstanding contributions to protecting the environment through superior energy achievements. ENERGY STAR Award Winners lead their industries in the production, sale, and adoption of energy-efficient products, services, and strategies. These efforts are essential to fighting the climate crisis and protecting public health.

Hexion also recently released its 2020 Sustainability Report, which details the Company’s current progress against these goals. The report can be viewed at www.hexion.com/company/responsibility/sustainability.

About the Company

Based in Columbus, Ohio, Hexion Inc. is a global leader in thermoset resins. Hexion Inc. serves the global adhesive, coatings, composites and industrial markets through a broad range of thermoset technologies, specialty products and technical support for customers in a diverse range of applications and industries. Additional information about Hexion Inc. and its products is available at www.hexion.com.