We have been engaged to perform a limited review of the materiality analysis, management approaches and quantitative and qualitative information in the sustainability part of the annual report (hereinafter: the report) of PUMA SE, Herzogenaurach (hereinafter: PUMA), for the business year starting January 1st to December 31st 2016. It was not part of our engagement to review any product or service related statements, any links to external sources future-looking statements or statements from external experts.
The Company’s Board of Directors is responsible for the accurate preparation of the report in accordance with the criteria stated in the Sustainability Reporting Guidelines G4 of the Global Reporting Initiative (GRI) and the Corporate Accounting and Reporting Standard (Scope 1 and 2) and the Corporate Value Chain (Scope 3) Standard of the World Resources Institute/World Business Council for Sustainable Development (WBCSD) (hereinafter: “GHG Protocol”).
This responsibility includes the selection and application of appropriate methods to prepare the report as well as the usage of reasonable assumptions and estimates for individual sustainability disclosures. Furthermore, the responsibility includes designing, implementing and maintaining systems and processes relevant for the preparation of the report in a way that it is free of – intended or unintended – material misstatements.
Our Independence and Quality Control
We have met the requirements regarding independence along with the additional requirements relating to professional conduct of the IESBA Code of Ethics for Professional Accountants, which is based on the fundamental principles of integrity, objectivity, professional competence and due care, confidentiality and professional conduct worthy of the profession.
The quality assurance system of Deloitte GmbH is based on the International Standard on Quality Control 1 “Quality Control for Audit, Assurance and Related Service Practices” (ISQC 1) and, in addition on national statutory requirements and professional standards, especially the Professional Code for Certified Accountants as well as the joint statement of WPK (Chamber of Public Accountants) and IDW (Institute of Public Auditors in Germany): Requirements for quality assurance in the auditing practice (VO 1/2006).
Our responsibility is to express a conclusion based on our work performed and the evidences obtained on the above mentioned information of the report.
Procedures and Extend of the Assurance Engagement
We conducted our work in accordance with the International Standard on Assurance Engagements (ISAE) 3000 (Revised): “Assurance Engagements other than Audits or Reviews of Historical Financial Information”. This standard requires that we comply with our professional duties and give an attestation, based on the results of our work, as to whether any matters have come to our knowledge that could give rise to the assumption that the sustainability information as stated in the Annual Report 2016 does not comply, in all material respects, with the above mentioned criteria of the Sustainability Reporting Guidelines G4 of the GRI.
In a limited assurance engagement the evidence gathering procedures are more limited than in a reasonable assurance engagement. Hence, the scope of a limited review is less comprehensive and may not reasonably assure all material facts as could a reasonable assurance. The selection of audit activities is subject to the auditor’s own judgement. This includes the assessment of the risk of material misstatement in the report under consideration of the GRI reporting criteria.
Our assurance procedures included the following areas:
• Strategy & Business Context
• Chemical Management & Raw Materials
• Environmental and Social Reporting
• Emission Reporting (Scope 1, 2 and 3)
• Supply Chain Management (incl. Social & Environmental Audit System)
• Human Resources
Within the scope of our work, we performed amongst others the following procedures when conducting the limited assurance engagement:
• Gaining an understanding of the process for determining material sustainabil-
ity topics and respective boundaries of PUMA
• Interviews with relevant staff at group level responsible for providing the data and information, carrying out internal control procedures and consolidating the data and information, including the explanatory notes (On-site interviews and conference calls)
• Analytical procedures on relevant data
• Comparison of selected data with corresponding data in the PUMA consolidated financial statement and management report
• Evaluation of relevant information on sustainability performance
Based on our limited review, nothing has come to our knowledge that could give rise to the assumption that the material- ity analysis, management approaches and quantitative and qualitative information in the sustainability part of the annual report 2016 of PUMA SE, Herzogenaurach does not comply with the criteria of the Sustainability Reporting Guidelines G4 of the GRI and the Corporate Value Chain (Scope 3) Standard of the World Resources Institute/World Business Council for Sustainable Development (WBCSD).
Without qualifying our conclusion above, we make the following recommendations for the further development of the company‘s sustainability management and sustainability reporting:
• Prioritisation and consequent implementation of 10FOR20 Action Plan measures into operational business processes
• Further development of automated and simplified report mechanisms using existing system applications
• Enhancement and continuous improvement process of data contribution, validation and consolidation of S- and E-KPIs
This assurance report is issued based on an assurance engagement agreed upon with PUMA. The assurance engagement to obtain limited assurance is issued for the purposes of PUMA and the report is intended solely to inform PUMA of the results of the assurance engagement. This assurance report is not intended as a basis for (financial) decision-making by third parties of any kind. We have responsibility only towards PUMA. We do not assume any responsibilities for third parties.
Munich, 16th February 2017
Deloitte GmbH Wirtschaftsprüfungsgesellschaft