Ball

External Assessments

Ball’s sustainability management, performance and goals are regularly reviewed by third parties.
 
Dow Jones Sustainability Indices
Ball was listed on the 2018 Dow Jones Sustainability Indices (DJSI) World and North America for the sixth year in a row, further validating its progress in making the can the most sustainable package.

The DJSI index family tracks the financial performance of the leading sustainability-driven companies worldwide based on an analysis of financially material economic, environmental, and social factors. Ball achieved industry leading scores once again on criteria such as product stewardship, occupational health and safety, codes of business conduct and environmental reporting. 
CDP
Ball has participated in CDP assessments (formerly Carbon Disclosure Project) since 2007 and has improved its score each year. With a 2015 score of 98 B, Ball achieved one of the best results of all packaging companies. The disclosure score (98) assesses the completeness and quality of a company’s response. The performance score (B) assesses the level of action, as reported by the company, on climate change mitigation, adaptation and transparency.  A group of 822 investors with $95 trillion in assets uses CDP to identify companies that report reliable, comprehensive information about climate change risks and opportunities.
FTSE4Good
Ball became a member of the FTSE4Good Index Series on the London Stock Exchange in 2009 and has been confirmed as a member every year since then. The FTSE4Good Index Series is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices.
MSCI Global Sustainability Indexes
MSCI ESG Indexes are designed to represent the most prevalent environmental, social and governance (ESG) investment strategies. The MSCI Global Sustainability Indexes are designed for investors seeking exposure to companies with strong sustainability profiles with relatively low tracking error to the underlying equity market and are reconstituted annually.
EURONEXT Vigeo Eiris 
Euronext, the leading Pan-European marketplace, and Vigeo Eiris, a leading European expert in assessing responsible performance, launched a range of socially responsible investment indices in 2013. Since then, Ball has been selected as a member of the Euronext Vigeo US 50 index (last confirmation November 2018). The index comprises the 50 most advanced U.S. companies in the areas of Environmental, Social and Governance performance. 
Calvert Responsible Index Series
Ball has been selected for inclusion in the Calvert Responsible Index Series, covering the Calvert U.S. Large Cap Core Responsible Index (CALCOR), the Calvert U.S. Large Cap Growth Responsible Index (CALGRO), and the Calvert U.S. Large Cap Value Responsible Index (CALVAL). All three indices represent a portfolio of large capitalization stocks listed on U.S. stock exchanges that meet Calvert’s Environmental, Social, and Governance (ESG) criteria for index inclusion.
oekom research "Prime"
As part of oekom research's Corporate Rating, an assessment of over 100 social and environmental criteria, Ball qualifies as one of oekom’s “Prime” companies. Therefore, Ball is eligible to be included in oekom's Prime Universe. Of all the containers and packaging companies rated by oekom research, only three, including Ball, have achieved Prime status.
RobecoSAM Industry Leader, Industry Mover and Gold Award 2017
Ball Corporation qualified for inclusion in the 2017 Sustainability Yearbook, published by RobecoSAM, receiving the Industry Leader and Gold Class distinction for the fourth year in a row. The Yearbook looks at companies’ prior year sustainability performance and ranks them as Gold, Silver or Bronze. 2017 marks the seventh year in a row that RobecoSAM included Ball in its book. RobecoSAM, the investment specialist focused exclusively on Sustainability Investing, has evaluated the sustainability performance of more than 2,000 corporations annually since 1999.
INVESTOR STATEMENT

“At William Blair, we believe the integration of material ESG issues alongside traditional financial metrics in our fundamental analysis can enhance the long-term risk/reward profile of our investments. Governance has always been a critical element in our quest to find companies that can sustain growth over the long term.  But with an expanded aperture as it relates to the concept of sustainability, environmental and social considerations are increasingly influencing our investment dialogue.  Importantly, the integration of ESG factors provides us the potential to not only identify additional risks, but also to find incremental opportunities for companies to increase the durability and magnitude of earnings growth.

In our view, Ball Corporation’s holistic approach to sustainability, grounded in management’s explicit consideration of various stakeholders, including its customers, employees, communities and the environment, has been a key driver of growth and profitability for its investors.  Specifically, Ball’s measurement of plant-level efficiencies and the inclusion of those metrics in employee incentives have resulted in reduced energy consumption, water usage and waste – all of which translates to a more competitive cost structure.  

At the product level, we believe the environmental benefits of metal packaging relative to the challenges associated with plastic, its primary competitor in food and beverage packaging, have contributed to demand for metal packaging and the growth profile of the company.  Not only is metal packaging completely and infinitely recyclable, but also it is recycled at a far higher rate than that of plastic.  In addition, much of the plastic that is collected for recycling actually ends up in landfills.  

From an investment perspective, our consideration of environmental factors in addition to traditional financial metrics for Ball Corporation helped us to form a differentiated view around the company’s growth profile that investors with a more narrow focus may have underestimated.”


- Dan Crowe, CFA, Partner, Portfolio Manager