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Health through Nutrition




2009 Sustainability Report
What’s in this Report?

Table of Contents

       Welcome and Background
             Welcome                01
             From the CEO           02
             Motivating Factors     03
             Novus’s Background     12
             Sustainable Culture    16
       Sustainability in Practice
             Social                 24
             Economic               37
             Environmental          58
       Quality of Life              66
       GRI Index                    68
       Key Performance Indicators   70
       Appendix                     74
Welcome
                                                            This report summarizes the past progress and
                                                           future commitment of Novus International, Inc.
                                                            to providing innovative solutions that will help
                                                               feed the world affordable, wholesome food
                                                                       and achieve a higher quality of life.

                                                         The earth’s population is increasing by 75 million
                                                          people per year. In the next 40 years, its limited
                                                           natural resources will have to bear the burden
                                                          of feeding 3 billion people more than the global
                                                              population of 6.6 billion today. The strain on
                                                            the planet’s resources makes it imperative to
                                                               protect quality of life by moving forward in
                                                                   ways that support global sustainability.

                                                              Health through Nutrition is Novus’s second
                                                         sustainability report. The first report covered the
                                                            18-month period ending June 30, 2008, which
                                                              complied with the Level C guidelines of the
                                                                          Global Reporting Initiative (GRI).

                                                           This report covers the 12-month period ending
                                                         December 31, 2009, with footnote data pertaining
                                                               to the date range of July 1 to December 31,
                                                             2008. It fulfills the more rigorous Level B GRI
                                                        guidelines. Going forward, Novus plans to publish
                                                                a sustainability report on an annual basis.



GRI: 3.1, 3.2, 3.3, 3.5, 3.6, 3.7, 3.9, 3.10 and 3.11          Novus International, Inc. Health through Nutrition 2009 |   1
From the CEO
            Dear Reader,

            As we worked to compile Health through Nutrition,    nearly the same amount of arable land and water
            I was reminded that it takes planning, time and      resources currently available. These astounding
            thousands of small steps to make sustainable         statistics highlight the relevance of establishing
            changes. I am proud of the efforts and enthusiasm    sustainable practices across the value chain of
            that our global Novus team has shown by working      nutrition. Developing sustainable practices that will
            together towards our sustainability goals.           support the needs of our growing population, protect
                                                                 environmental resources and ensure the profitability
            Novus is a participant in the farm-to-table          of our customers are Novus’s highest priorities.
            nutrition continuum and because of this, we have
            a distinct responsibility to the communities we      For our team at Novus, sustainability is a culture
            serve. Novus’s Vision is To Help Feed the World      that begins on an individual level. We believe that
            Affordable, Wholesome Food and Achieve a             innovation, education and collaboration will improve the quality of life
            Higher Quality of Life. Our performance as a         for people around the world and ultimately, our business performance.
            company and our Vision are not separate—
            each is connected inextricably with the other.       Thank you for investing the time to get to know Novus a little better
            This relationship is clearly expressed in the        and to learn about the ways we are working to increase our positive
            Novus triple bottom line: social, economic and       impact on the world each day. This is our second sustainability report.
            environmental (SEE).                                 We intend to measure our continuous improvement against this report
                                                                 and future reports each year.
            The components of SEE comprise Health through
            Nutrition and are integrated into our business       At Novus, we value transparency. In this spirit, I invite you to send
            approach. Our activities and goals, as they relate   any questions or comments that you may have about this report to
            to this triple bottom line, will continue to be      sustainability@novusint.com.
            shaped as we innovate, learn and collaborate.
            In this way, we intend to maintain our long-term     Sincerely,
            commitment to Novus’s sustainable culture and
            global Vision.

            During the reporting period for Health through
            Nutrition, the United Nations announced that         Thad W. Simons
            by 2050 we will have to feed our world double        President and Chief Executive Officer
            the amount of food that we do today, using           Novus International, Inc.

GRI: 1.1                                                                                                    Novus International, Inc. Health through Nutrition 2009 |   2
Our Motivating Factors
   Working within a framework of Core Values, Novus employees have collectively brought to market
more than 100 new products over the past few years. This innovation and agility would not be possible
 without a culture that combines entrepreneurial thinking with organized structure and the motivating
    Vision to Help Feed the World Affordable, Wholesome Food and Achieve a Higher Quality of Life.

                                                          Novus International, Inc. Health through Nutrition 2009 |   3
Vision   To help feed the world affordable, wholesome food and achieve
                              a higher quality of life.
                              Novus has a clearly defined Vision. Feeding the world over the next four
                              decades will require producing more food than in the previous 4,000 years.

                              Satisfying this increasing demand without straining, depleting or polluting
                              the earth’s natural resources will continue to be a complex challenge.
                              It will require innovative solutions in nutrition, combined with a solid
                              commitment to global sustainability.




                    Mission   Make a clear difference in sustainably meeting the growing
                              global need for nutrition and health.
                              Our core expertise and experience in health and nutritional research
                              empower Novus to move toward our Mission.

                              Together, our Vision and Mission form the solid bedrock that supports
                              Health through Nutrition.




GRI: 1.2 and 3.13                                                                         Novus International, Inc. Health through Nutrition 2009 |   5
Core Values                      Global sustainability is a fundamental imperative at Novus. It is the common denominator
                                                    between our corporate Vision, Mission and Core Values.



                               As you read the first section of this report, Novus’s Background and Sustainable Culture, please note the
                               icons below—they are meant to provide examples of how we integrate our Core Values into our work each day.




                                       Seek excellence from                Provide products with                 Maximize long-term
                                         every employee                     demonstrable value                  customer satisfaction




                                                       Protect our employees,                   Act with integrity
                                                   the public and the environment




GRI: 1.2, 3.13, 4.8 and 4.11                                                                                          Novus International, Inc. Health through Nutrition 2009 |   6
Novus’s Core Values bring our Vision and Mission to life. The Core Values define, in practical terms, how our
                            600-plus employees conduct business with each other, with customers and with other stakeholders. They guide all
                            business strategies, plans and objectives. They shape our company’s culture, which begins at the individual level
                            and carries through to the marketplace.




                            We seek excellence from every               We strive to provide products with           It is critical that we maximize long-
                            employee. We encourage, expect              demonstrable value. Our research             term customer satisfaction. Whether
                            and support alignment, diversity,           focuses on leading-edge concepts,            related to products, services
                            individual growth, initiative and           and we are committed to supplying            or innovation, we must always
                            teamwork.                                   preferred products and services.             anticipate our customers’ needs and
                                                                                                                     exceed their expectations.




                             We protect our employees,                  We act with integrity. We treat all                 These Core Values are of
                             the public and the environment.            of our stakeholders—including
                             Specifically, we make health, safety       employees, customers, suppliers,                    profound importance to each
                             and environmental considerations a         business partners, our owners and                   Novus employee. They are
                             priority in everything we do.              the public—in a fair and ethical
                                                                        manner.                                             essential to the way we
                                                                                                                            work each day and to
                                                                                                                            Health through Nutrition.




GRI: 1.2, 2.8, 3.13, 4.8 and 4.11                                                                                           Novus International, Inc. Health through Nutrition 2009 |   7
Each of the preceding Core Values affects the way we measure our progress in terms

           Critical Success Factors
                                                                               of our triple bottom line of social, economic and environmental (SEE) considerations.
                                                                               They also provide a basis for our four Critical Success Factors—growth, profitability,
                                                                               people and reputation. Novus’s Critical Success Factors provide the framework for
                                                                               the way we set our business goals and align towards our long-term strategy.



                 Growth                              Profitability                        People                                         Reputation
                 Continually assess and develop      Implement improved business          Provide an environment that enables            Expand on our positive image
                 our portfolio of products,          processes, measure and               employees to bring their full capabilities     by initiating and supporting
                 customers and suppliers.            support systems that will move       to bear with behaviors consistent              activities and programs that
                 Implement performance-              Novus closer to our customers        with the Novus Management and                  demonstrate Novus’s integrity
                 enabling programs and               and deliver increased year-          Integrity Systems, in accordance with          and aspirations to meet
                 technologies to achieve a           over-year market value.              the Novus Mission, Vision and Core             corporate objectives in a
                 long-term competitive position.                                          Values. Promote a safe and healthy             responsible, sustainable
                                                                                          work-life balance to motivate employees        manner.
                                                                                          to achieve our Novus Three-Year
                                                                                          Growth and Diversification efforts.




                                                                                                                                          Long-Term Strategy

                                 Supporting Our Long-Term Strategy
                                                                                                                                        Critical Success Factors

                                      Every Novus employee understands exactly what his or her key accountabilities
                                      are. Each person realizes that these key accountabilities have a direct effect                     Three-Year Objectives
                                      on Novus’s short-term corporate goals, three-year objectives, Critical Success
                                      Factors and ultimately, our long-term strategy.
                                                                                                                                       Short-Term Corporate Goals
                                      Every person plays a role. And every person has the opportunity and responsibility
                                      to make a critical contribution to the long-term success of our company.
                                                                                                                                   Individual Key Accountabilities



GRI: 1.2, 3.13, 4.9 and 4.10                                                                                               Novus International, Inc. Health through Nutrition 2009 |   8
Our Triple Bottom Line

                           As you read the second section of this report, Novus’s Sustainability in Practice, please note the icons
                           below—they are meant to provide examples of how we integrate sustainability into our work each day.




                                         Social                           Economic                        Environmental



                           We measure our progress in terms of our triple bottom line: social, economic and environmental (SEE).
                           The products we sell, the way in which we conduct business with stakeholders and our respect for
                           the earth’s natural resources are all interconnected, integrated and equally important.




GRI: 1.2, 3.13 and 4.16                                                                                         Novus International, Inc. Health through Nutrition 2009 |   9
“Raindrop,” Douglas Auer and Michael Hayes, 2009
 Media: Glass

Novus commissioned this piece for our global headquarters. It is made of blown glass
spheres and volumetric flasks. The materials chosen and the forms created highlight the
link between scientific development and the preservation of the natural world.




                                           Novus International, Inc. Health through Nutrition 2009 |   10
Novus’s Background and Sustainable Culture


                             Novus International, Inc. Health through Nutrition 2009 |   11
Novus’s Background
                          Novus International, Inc. creates Health through
                          Nutrition products for livestock, pets and people.

                          Novus has employees working in over 90
                          countries, serving more than 2,500 customers
                          worldwide. Based in St. Charles, Missouri, Novus
                          has facilities including corporate offices, research
                          and development laboratories and manufacturing
                          operations in more than 35 countries, as well as
                          smaller offices with field staff in an additional
                          60 countries. The organization has annual
                          revenues approaching $1 billion.

                          Based on Science
                          Novus International, Inc. was founded in 1991,
                          but our scientific roots and history originated
                          over 50 years ago. In the 1950s, St. Louis,                          Novus revolutionized poultry nutrition through the development of ALIMET®, a liquid feed supplement.

                          Missouri-based Monsanto Company began
                          conducting livestock and poultry feed metabolism
                          studies. In 1959, one of its products received FDA
                          approval as an animal feed additive, which helped
                          launch the Monsanto division that would become         world affordable, wholesome food.” At the time, this Vision statement
                          Novus. In 1991, in an effort to focus on its           was considered a bold goal and some questioned how Novus
                          core businesses—seed, herbicide and                    could realistically make a contribution. We were a small, business-
                          biotechnology—Monsanto sold its Feed                   to-business company with two products for the poultry industry,
                          Ingredients division to Mitsui & Co., Ltd.             but we understood that Novus’s core knowledge of health and
                          (www.mitsui.com) and Nippon Soda Co., Ltd.             nutrition related to poultry could be beneficial to other species.
                          (www.nippon-soda.co.jp). The new owners
                          saw Novus’s strategic potential for growth.            Working from a strong base of scientific understanding, we have brought
                                                                                 to market more than 100 new products over the past decade. Today the
                          In our first year, we put into place the               Novus product portfolio provides a holistic approach to Health through
                          corporate Vision of “helping to feed the               Nutrition for poultry, cattle, pigs, pets, farm-raised fish, horses and people.


GRI: 2.3, 2.4, 2.5, 2.6, 2.7 and 2.8                                                                                        Novus International, Inc. Health through Nutrition 2009 |           12
Working Closely with Our Customers
           Novus is committed to having a genuinely            We are motivated to contribute to an agriculture industry that is
           global reach. We connect with our customers         equipped to provide nutritious, affordable food to people everywhere
           at the local level, work with them in their own     in the world and to do so through sustainable, responsible practices.
           communities and understand their needs in a         Novus has a culture of sustainability that begins at the individual level
           meaningful way. Novus customers have the            and carries through to the marketplace. We approach our work through
           unique experience of localized research and         the lens of sustainability, and this is a requisite consideration at Novus.
           development, technical support, customer service    Every business project is cross-checked to ensure that our criteria for
           and logistics. This commitment to working closely   sustainability are achieved.
           with our customers provides Novus with real-
           time, hands-on knowledge of current and future      The need for food is projected to grow by 100% over the next four
           customer needs.                                     decades. We have made great strides as an industry, developing
                                                               strategies to improve productivity including crop, genetic and nutritional
           We work with our customers to improve               technologies. However, there
           their business operations through increased         is still much work that needs
           productivity and profitability. Novus’s Health      to be accomplished. For
           through Nutrition programs support healthy,         example, we are currently
           happy animals that are more productive and          only achieving 60% of the
           generate less waste, reducing their environmental   genetic growth potential of
           impact. Additionally, Novus products protect the    broilers. Technology related
           nutritional quality of feed and feed ingredients,   to nutritional strategies and
           which are farmers’ largest operational              best management practices
           investments and most important tools for            can close this gap. As the
           ensuring livestock health.                          productivity of our industry
                                                               increases, so does access to
           The Importance of Agriculture                       affordable, wholesome food.
           Novus’s history and largest market segment is
           based in livestock agriculture. The importance
           of achieving our Vision comes full circle when
           you consider the growing demand for food
           on our planet. Meeting this need can only be
           achieved through the technological innovation of
           companies like Novus.


GRI: 2.7                                                                                                        Novus International, Inc. Health through Nutrition 2009 |   13
Health through Nutrition
           Our products and programs offer Health through
           Nutrition. Every day, the collective efforts of our
           employees are focused on achieving a higher
           quality of life, for animals and people, through
           nutrition. Our heritage and core strength is
           science, which will always be the bedrock from
           which we continuously innovate.

           Today Novus employs over 150 scientists—
           more than a quarter of our entire employee
           population—who have attained a Ph.D. or
           Master’s degree in animal science or a Doctorate
           of Veterinary Medicine. The dedication of
           these employees builds on our many years of
           experience in animal nutrition, and continually
           strengthens our core competence in scientific
           research and innovation.

           Novus scientists work in laboratories around the
           world, including Brazil, China, Vietnam and the
           United States. By establishing research facilities
           at the local level, where our customers live and
                                                                                                       “Slides,” Julia Dibner, Cell Biologist and Photographer
           work, we are able to better understand and serve                                                                  David Burt, Artistic Director, 2009
           their needs.                                                                                                             Media: Digital Photography

                                                                 Cells from the organs and bones of animals were prepared and stained for scientific analysis,
           Our entire organization is oriented towards           then photographed microscopically. The artists then isolated forms and compositions present
           collaborative innovation. Novus continually                 in the images, and cropped and manipulated the photographs to create a finished piece.
           expands our global partnership network of
           universities, non-governmental organizations
           (NGOs) and industry associations. Through
           these relationships, we engage in joint research
           projects with students, professors and subject
           matter experts to adapt best-in-breed solutions
           for local challenges.



GRI: 2.7                                                                                  Novus International, Inc. Health through Nutrition 2009 |                14
A Standard for Sustainability
                                                                                                        Major Milestones
           Novus’s first product defined a standard for sustainability for the more than 100 products
           that the company has since developed. ALIMET® feed supplement was first introduced to        In 2009, we celebrated the 25th anniversary
           the poultry industry by Monsanto in 1979. The product helped farmers feed their animals      of ALIMET production at our facility in
           more efficiently, enabling them to raise healthier chickens while lowering feed costs.       Chocolate Bayou, Texas, and the 50th
           Thanks to ALIMET, farmers were more productive, more profitable and better able to           anniversary of SANTOQUIN®, the first
           provide the world with greater quantities of wholesome food at an affordable price.          feed additive approved by the FDA.

           ALIMET also helps animals digest feed more efficiently, which has important benefits to      These two livestock feed additives have
           the environment. Nitrogen, a chemical component in animal waste, is a pollutant to both      helped improve animal health and enhance
           land and water. Poultry fed ALIMET produce waste with lower nitrogen levels. ALIMET          business operations for producers around
           demonstrates that a leap forward in agricultural productivity can be achieved without
                                                                                                        the world for many decades.
           increased strain on the environment.

           Additionally, as a liquid methionine source, ALIMET helps feed mills operate more            Over the last 25 years, we have grown the
           efficiently, reducing energy requirements. The organic acid effect of ALIMET, particularly   ALIMET production facility in Chocolate
           in combination with other organic acids, is successful in reducing harmful bacteria,         Bayou into the largest liquid methionine
           such as Salmonella, in feed.                                                                 manufacturing plant in the world.

           Novus’s nutrition solutions for the poultry industry resulted in dramatic productivity       SANTOQUIN helps farmers get the
           increases that are one of the great agricultural success stories of our time. In the next    greatest return on their largest operating
           wave of innovation, Novus research scientists discovered ways to apply our company’s         investments: feed and feed ingredients.
           core expertise in health and nutrition to other animal species and industry segments.        SANTOQUIN protects feed from the
           They found ways that other animals could benefit from Novus’s insights into poultry          damaging effects of oxidation, which is
           nutrition, leading to a range of products that bring Health through Nutrition to cattle,     beneficial to animal health and to farmers’
           pigs and farm-raised fish.                                                                   sustained business operations.

           Our extensive experience with production livestock has proven to be equally important to     The quality of feed ingredients has a direct
           improving the health of pets and their owners. Novus’s Arenus® division offers nutrition     and measurable impact on the health of
           solutions for dogs, horses, ornamental fish and birds. Arenus delivers products through      animals. Animals who are fed a quality diet,
           retail channels directly to pet-owner consumers, creating a business-to-consumer sales
                                                                                                        balanced with the proper levels of amino
           channel that supplements Novus’s primary business-to-business sales model.
                                                                                                        acids, have a lower incidence of health
           Novus recognizes that many of the challenges faced in animal health and nutrition are        challenges and are more productive.
           similar to the challenges we face as humans, such as increasing bone strength, reducing
           joint-related lameness and building lean muscle mass. So we applied our core expertise
           to the area of human nutrition, and in 2009 launched Stratum™ Nutrition, which offers a
           range of specialty and functional ingredients to the food supplement, food and beverage
           industries.


GRI: 2.7                                                                                                Novus International, Inc. Health through Nutrition 2009 |   15
Sustainable Culture
                           Novus’s company culture of global sustainability                    When a holistic system functions at optimum efficiency,
                           is expressed through three basic principles:                        output is maximized and waste is minimized. Taking an integrated
                                                                                               viewpoint is characteristic of a Novus-style solution. This point of
                           Maximize Output, Minimize Waste                                     view takes into consideration not only the intended result, but also
                           Collaborate by Sharing Information                                  the by-product of that result. As part of our culture, we strive to
                           Local Solutions for a Global Marketplace                            conduct our work in ways that minimize our environmental footprint.

                                                                                               Novus products are geared towards maximizing output and minimizing
                                                                                               waste. Leveraging a broad product portfolio, we take a comprehensive
                                                                                               approach to optimizing the health of animals. This approach maximizes
                                                                                               farmers’ outputs, fortifies livestock against disease and ultimately
                                                                                               leads to the production of higher quality food. Novus’s Health
                                                                                               through Nutrition programs support healthy, happy animals who
                                                                                               generate less waste for the environment and are more productive.




           On June 3, 2009, the Governor of the State of Missouri, Jay Nixon, along with 450
               other guests, participated in a ribbon release ceremony, commemorating the
           opening of Novus’s Platinum LEED Certified global headquarters facility. Platinum
             LEED is the highest energy and environmental designation available in the U.S.




GRI: 2.7                                                                                                                               Novus International, Inc. Health through Nutrition 2009 |   16
Sustainable Culture
At Novus, sustainability begins at the individual level and is
evident in the daily activities of each employee. It is demonstrated
in the way that employees put into practice our collective
aspirations, Novus’s Mission, Vision and Core Values.




                                                   Novus International, Inc. Health through Nutrition 2009 |   17
Collaborate by Sharing Information
Novus’s culture is shaped by the spirit of discovery and
innovation on which our rich history is based. Our collaborative
work style encourages the open flow of information among
a community of colleagues who share common interests in
scientific progress and improving the markets we serve.

At Novus, a collaborative approach is also typical of our
relationships with customers. We freely share our industry
knowledge with customers in an open dialogue about their
most important business challenges. We consult with them to                                    Chief Sustainability Officer
develop innovative solutions that meet their specific needs.                                   Joyce Cacho, Ph.D.
Our open culture is also reflected in the relationships we
have developed with students and professors at universities
around the world. We have something to learn from
everyone and, in turn, we want to share all that we can.

Our office and meeting spaces are open to encourage discussion       This past year, we formalized our commitment to
and collaboration. People know each other on a first-name            sustainability at Novus, adding the role of Chief
basis and respect one another as individuals. This sustainability    Sustainability Officer. In January 2009, Novus
report to stakeholders, Health through Nutrition, is another         welcomed Joyce Cacho, Ph.D. to coordinate and
example of Novus’s commitment to sharing information openly.         synergize our sustainability efforts. Cacho leads
                                                                     the planning and implementation of Novus’s global
Local Solutions for a Global Marketplace                             corporate social responsibility program and
                                                                     initiatives. Her extensive background in managing
At Novus, we place a high priority on understanding our customers’   international agribusiness initiatives and projects
needs and believe that living and working in their specific          with The Corporate Council on Africa (CCA) and U.S.
geographies are key to building this knowledge. Additionally,        International University (USIU) have prepared her to
we have found that working directly with our customers, globally,    lead Novus’s sustainability efforts around the globe.
is a critical differentiator for Novus in our industry. For these
reasons, we are committed to having a genuinely global reach.

Novus customers have the unique experience of localized
research and development, technical support, customer
service and logistics. We understand that our customers’ needs
vary based on their location in the world. Local resources
enable us to provide support with agility and in a way that
brings demonstrable value to our customers’ businesses.

                                                                                          Novus International, Inc. Health through Nutrition 2009 |   18
Corporate Governance Statement

                          Corporate governance at Novus is the               The Novus Compliance Committee
                          responsibility of the Board of Directors.
                                                                             In 2005, the Board chartered the Novus Compliance Committee (NCC),
                          The Board represents the interests of
                                                                             comprised of all members of Novus’s senior management team as well as
                          our shareholders and stakeholders, including
                                                                             shareholder representatives. The purpose of the NCC is to review and evaluate
                          employees, customers and the public. The Board,
                                                                             compliance issues and concerns throughout the organization. It also focuses
                          with the advice of the executive management
                                                                             on prevention, detection, response and security and proposes actions for the
                          team, determines the company’s long-term
                                                                             continuous improvement of Novus’s business management and operations.
                          strategy, while the Novus management team
                          defines the company’s short-term strategies
                                                                             The matters within the scope of the NCC’s review include all legal and
                          and handles day-to-day business operations.
                                                                             regulatory matters that affect or may affect Novus’s operations worldwide.
                                                                             It also oversees conformity by Novus with the requirements of organizations
                          The Novus Integrity System
                                                                             in which the company maintains memberships and with standards,
                          In 1998, the Board approved and adopted            policies or programs to which Novus subscribes. The NCC manages
                          the Novus Integrity System (NIS). The NIS is       compliance issues and reports to the Board on a periodic basis.
                          comprised of written policies to ensure that all
                          employees understand that good ethics and good
                          business are synonymous when viewed from
                          moral, legal and practical standpoints.

                          The NIS is reflective of the Board’s commitment
                          to corporate and personal integrity, and prompts
                          every employee to conduct the business
                          of Novus within an ethical framework.




GRI: 3.13, 4.1, 4.3, 4.4, 4.6, 4.8, 4.9 and 4.11                                               The Novus Board of Directors Meeting in Tokyo, Japan          |   19
Novus’s Global Headquarters
                Our new 90,000 square-foot (8,361 square-meter)       encourage communication and collaboration among employees. A
                headquarters is Platinum LEED certified, the          floor ventilation system allows employees to adjust the temperature
                highest energy and environmental designation          of their personal workspaces. The facility includes a fitness center
                available in the United States. It is the fourth      that is open to employees at no charge and also offers employees
                building in Missouri and one of only 150 in the       free fitness classes and training. The company allocates reserved
                entire United States to achieve this distinction.     parking spaces close to the building as an incentive for employees
                                                                      to carpool or to drive low-emission or fuel-efficient vehicles.
                In recognition of our design and building efforts,
                in 2009, Novus President and CEO, Thad Simons,        Novus provides employees with wholesome, healthy lunches at
                won the “Heroes of the Planet” award for              no charge each day. Lunch menus for the Novus Café are planned
                Sustainable Employee Programs. This award             by a licensed nutritionist and are low fat, low sodium and portion
                recognizes the achievement of a company that          controlled. Employees benefit by learning about good nutrition,
                has outperformed its industry in promoting and        having healthy options to eat for lunch and many have even
                advancing environmental sustainability.               reported weight loss. Novus benefits because employees stay
                                                                      on-site to eat their lunches, eliminating the commute time to and
                The building has multiple skylights that provide an   from restaurants. Additionally, employees collaborate with one
                outdoor view and natural light to 90% of employee     another over their lunch breaks in the Novus Café, which is great
                workspaces. The open floor plan is designed to        for our culture and for advancing the goals of our organization.

                                                                      Our headquarters has a wide range of green features, including
                                                                      5,000 square feet (464 square meters) of solar panels, a storm water
                                                                      system, bamboo floors and energy-efficient flat screen televisions
                                                                      in community areas.

                                                                      The facility was built out of materials derived from rapidly
                                                                      renewable, recycled and salvaged resources. Additionally, we
                                                                      have incorporated native Missouri flora into our landscaping. We
                                                                      are also working with the Missouri Department of Conservation to
                                                                      create habitats on our property for wildlife, including birds, reptiles
                                                                      and fish.




GRI: 2.9; KPI: EN3 and EN26                                                                                               Novus International, Inc. Health through Nutrition 2009 |   20
“As a company, we believe that our commitment
                                      to global sustainability begins at home.”
                                        –Dr. Giovanni Gasperoni, Executive Vice President, Marketing and Sales




GRI: 2.9; KPI: EN3 and EN26                                                     Novus International, Inc. Health through Nutrition 2009 |   21
Sustainability in Practice
We approach our work through the lens of sustainability, a requisite consideration at Novus.
    Every business project is cross-checked to ensure that our criteria for sustainability—
                                social, economic and environmental (SEE)—are achieved.

                                                Novus International, Inc. Health through Nutrition 2009 |   23
Corporate Social Responsibility
            Novus employees are integrated into the fabric               Novus has direct relationships in more than 90 countries on six continents with
            of the communities and countries in which we                 customers, suppliers, consumers, students, teachers and neighbors. We believe
            live and work. Ultimately, we are all citizens               our diverse employee base and inclusive work environment are essential to
            of the planet and the natural environment                    innovation and central to how we differentiate ourselves in the marketplace.
            that provides the basic resources that fuel
            our businesses and sustain our lives.                        We are an equal opportunity employer, committed to the hiring, advancement
                                                                         and fair treatment of individuals without regard to race, color, religion, gender,
            For Novus, Corporate Social Responsibility                   sexual orientation, age, national origin, ethnicity, disability, veteran status or
            (CSR) begins with a commitment to and by each                any other status protected under federal, state or local law. We comply with
            individual employee. Each employee brings                    the law, but mere compliance is not our motivation. We aspire to a higher
            a unique perspective and knowledge to the                    standard, based on a deeply-rooted sense of integrity and social responsibility.
            company—skills, talents and experience—
            that are the essential elements of the value
            we are able to deliver to the marketplace.
                                                                     Each year, Novus
            CSR at Novus is not “charity” work or                employees volunteer
                                                             their time, in partnership
            a contribution. It is the way we engage           with the United Way, to
            with the world around us to develop the             support organizations
            relationships that can make a long-term,             such as the St. Louis
                                                                      Area Food Bank.
            positive impact. CSR at Novus is about
            taking the responsibility and concerted
            action to seek out synergistic collaborations.

            Giving a charitable donation to an organization
            or funding the construction of a building at a
            university are finite activities. Building synergistic
            relationships requires a commitment and an
            investment of time, but the positive effects
            are ongoing. Relationship building is the
            Novus approach to CSR.                                                          To learn more about the CSR activities of our parent companies, please visit
                                                                                                         Mitsui CSR report: www.mitsui.co.jp/en/csr/report/index.html
                                                                                                      Nippon Soda annual report: www.nippon-soda.co.jp/e/index.htm




GRI: 2.5                                                                                                                      Novus International, Inc. Health through Nutrition 2009 |   24
Employee Development
As a knowledge-based company, we recognize that our
greatest return on investment in employees comes from our
employee development programs—education and training.

The next few pages provide examples of the many
development programs we offer at Novus.
                                                                 Green Team
The Novus Management System
                                                                 Our Green Team is a volunteer-based employee team
All employee development at Novus is rooted in the               responsible for integrating environmentally sound practices
Novus Management System (NMS)—a living set of                    into our day-to-day activities at Novus. From office supplies to
principles that guide us in most effectively structuring,        recycling, the Green Team helps us live our Mission by engaging
staffing and managing our organization.                          in and providing education about environmental conservation.
                                                                 Activities of the Green Team include:
Among the tenets of the NMS are honesty, respect and fairness.
Novus managers have many difficult decisions to make, and        Nature Conservation
often there are no clear answers. NMS principles help guide      Green Team members address site-specific opportunities
our decision-making process so that we keep these tenets in      to improve Novus’s footprint on water, soil and energy
mind, always striving for trust—whether between managers         conservation.
and subordinates, or throughout the organization as a whole.
                                                                 Community Involvement
The Novus Online Learning System                                 Our Team collaborates with organizations that are working to
The Novus Online Learning System is a comprehensive              improve our local communities, including Habitat for Humanity
training resource that is available to every Novus employee.     and the Missouri Department of Conservation.
There is a wide range of online training available, including
modules based on the Novus Management System, the                Global Engagement
Novus Integrity System and our products and markets.             Novus Green Teams are currently being established at our
                                                                 facilities throughout the world.
In addition to modules that are specifically about Novus’s
business, the system also provides a wider selection of
professional development tools, including foreign language
courses from Rosetta Stone® and value-added sales training.



                                                                                     Novus International, Inc. Health through Nutrition 2009 |   25
The Novus Speakers Series                            Video Diaries and Podcasts
The Novus Speakers Series creates opportunities      More and more, we are using technology to share information, learn and
for our employees to become better informed          stay connected globally. For example, when our EVP, Marketing and Sales,
about issues affecting their communities and our     Dr. Giovanni Gasperoni, recently visited Kenya, he captured photographs
industry. Speakers from both inside and outside      and maintained a video diary to document the trip. To share his experiences
the company address employees. One of our goals      with his fellow employees, he posted the media to NovusConnect, so that
for this program is to capitalize on the diversity   all employees would have the opportunity to learn firsthand about the
of our workforce by fostering opportunities for      significance of our work in Africa.
employees to learn from one another.

Speakers over the past year have included
representatives from the United Nations
Association, Habitat for Humanity,
Stray Rescue, Missouri Department of
Conservation and the United Way. We post
videocasts of the Novus Speaker Series on our
company intranet, NovusConnect.

NovusConnect
Through NovusConnect, we provide the
opportunity for all employees around the
world to learn and collaborate with one
another. NovusConnect serves as a central
location for sharing information, from
research data to corporate forms, in an
organized and searchable environment.

NovusConnect also provides a variety of tools
to support global communication, such as
announcements, alerts, presentation libraries
and MySites (our version of Facebook). These
tools allow employees to share information about         More and more, we are using technology to share
themselves and access information about other
peers in the organization. Novus employees can
                                                           information, learn and stay connected globally.
create blogs, join discussion forums and use
a survey center to create polls about matters
important to their roles in the organization.

                                                                                             Novus International, Inc. Health through Nutrition 2009 |   26
The Novus Art Program                                                               All Hands
The Novus Art Program provides our employees an opportunity to select               Each quarter, Novus gathers for an all-hands
art created by living artists in their local regions, without any restriction on    communications meeting. These meetings include
the artist’s medium or subject of choice. The pieces selected by employees          updates from various departments across the
are then displayed at our global headquarters in St. Charles, Missouri.             organization and typically feature presentations by
                                                                                    our personal trainers, nutritionists and Green Team.
To date, our collection includes pieces from Brazil, China, Haiti, the              All communications meetings are video recorded
United States, Vietnam and Zimbabwe. The program gives our employees                and available for viewing by all Novus employees,
the opportunity to appreciate the diversity of our global culture. At Novus,        globally.
we value art and its contribution to our shared humanity.
                                                                                    Special Events
As part of the Novus Art Program, we host a fundraising campaign and
event each year to support the Arts and Education Council. As part of this          Novus hosts a variety of special events for employees
campaign, we host the Annual Novus Art Walk. Last year, more than 20                each year. For example, this past November, we
local artists showed and sold their work at the Art Walk. More than 300             hosted a Healthy Thanksgiving at our headquarters
people attended this festive event at our global headquarters and enjoyed           for all employees and their families. The event
art, live music and food.                                                           featured many traditional Thanksgiving delicacies,
                                                                                    such as stuffing, cranberry sauce and mashed
                                              This past year, we added an           potatoes, but with a healthy preparation (low fat, low
                                              “Arts” component to the Novus         sodium, portion controlled). As a special gift, Novus
                                              Global Scholars Program. Our          gave families a copy of a cookbook featuring many
                                              first recipients will be dancers      of the dishes prepared for the event.
                                              in the St. Louis Ballet. Each year,
                                              the St. Louis Ballet recruits         Snapshot Newsletter
                                              top-quality talent based on
                                              artistic merit. The Novus program     Novus provides education on health, nutrition and
                                              will help support the living          sustainable practices for everyday life to employees
                                              expenses of these talented artists.   through many platforms. For example, we send the
                                              All dancers from the St. Louis        Novus Snapshot newsletter to each employee on a
                                              Ballet give back to the community     monthly basis. The Snapshot provides educational
                                              through education programs            information on current events both inside Novus
                                              for local children. Additionally,     and the industries in which we work. Each issue
                                              Novus will sponsor the creation       also includes a healthy recipe provided by Novus’s
                                              of a modern dance piece that will     approved nutritionist.
                                              be part of the St. Louis Ballet’s
                                              upcoming performance season.
“A Nice Day,” Zhou Renkang, 2009 (China)
Media: Chinese Brush Painting on Rice Paper


                                                                                                  Novus International, Inc. Health through Nutrition 2009 |   27
Sustainability Projects Around the World
            We encourage our employees, in each region of the world, to seek out         Latin America North
            and engage in sustainability programs. We invite you to read about a         Agriculture producers experience various nutritional challenges,
            few of these over the next few pages.                                        often highly specific to their local conditions and production
                                                                                         infrastructure.
            Latin America South
            Through a partnership with industry leaders in the state of Alagoas,         To help address the challenges of our customers in Latin
            Brazil, Novus is working with more than 1,000 family farmers to create       America, we constructed a manufacturing plant in Mexico City.
            and improve sustainable farming systems. Novus has partnered                 This facility allows us to offer our Latin America North (LAN)
            with local government leaders, Globoaves (Brazil’s largest producer          customers smaller product packages and custom blends or
            of day-old chicks and fertile eggs for the production of broilers and        premixes. These blends include a variety of products such as
            laying hens) and Sebrae (a small business development organization)          MHA®, MINTREX® and AGRADO®. Through the use of Novus
            to offer poultry farmers a way to improve their quality of life. We are      blends and premixes, our customers can address specific
            transferring our experience in poultry nutrition and animal husbandry        production challenges by purchasing smaller quantities of
            to help the farmers produce more affordable protein. The goal is to          multiple products in one package. These smaller-quantity
            expand this program to reach 16,000 families within the next five years.     packages also provide savings for our customers in terms of
            For more information, visit www.alimentos-en.globoaves.com.br                transportation and warehousing costs. Our carbon footprint
            and www.sebrae.com.br                                                        is reduced, as products are produced locally in appropriate
            China                                                                        quantities, and transportation distance is drastically reduced.
            The Novus Graduate Scholars Program (www.novusscholars.com)                  Africa
            engages eight agricultural universities in China. Each year, a panel         Smallholder agriculture is fundamental to the economic growth
            of Novus judges chooses four post-graduate students from each                of emerging markets. From our experience, we know that
            university to receive a monetary scholarship that partially funds the        smallholder farmers have the power to produce the food that
            students’ educations. One scholar from each university is invited to our     is needed in the these regions and that access to affordable
            international research center in St. Charles, Missouri to learn about the    livestock inputs and technologies is essential. In Africa, more
            global agriculture industry and to partner with our scientists on research   than 70% of the population earns their livelihood through
            relevant to their local market needs. Our purpose is to encourage strong     farming. Most of these are smallholder farmers who are
            research programs and help the students develop an international             dependent upon unreliable rains and an uncertain agricultural
            perspective on agriculture. Additionally, through this program, we have      structure.
            developed a network of technical collaborators in China.
              North-West Agriculture & Forestry University www.nwsuaf.edu.cn             One of our goals in Africa is to provide smallholder farmers
              Sichuan Agricultural University http://202.115.176.32                      with accessible livestock solutions to better feed their families
              Huazhong Agricultural University www.hzau.edu.cn/en                        and increase their incomes. By providing education and Health
              North-East Agricultural University                                         through Nutrition solutions for their livestock, farmers will
                 www.chinatefl.com/heilongjiang/teach/neau                               increase their productivity and have more products to sell at
              China Agricultural University www.cau.edu.cn                               market. This additional income can be used to feed their families
              Nanjing Agricultural University www.njau.edu.cn                            more nutritious food, pay school fees, health expenses and
              Zhejiang University www.zju.edu.cn                                         purchase additional livestock.
              South China Agricultural University www.scau.edu.cn
GRI: 4.17                                                                                                                                                    |   28
Asia Pacific
            Asia Pacific is one of the most aquaculture-dependent
            regions of the world, from the standpoint of economic
            development and food supply.

            The aquaculture and livestock industries rely heavily on
            the use of fish meal, which is derived from wild, ocean-
            caught fish. However, fish meal is an unsustainable and
            increasingly expensive source of protein for agriculture
            supplementation.

            Our team in Asia Pacific has implemented a fish meal
            replacement program that we employ to offer customers
            a significantly lower cost of feed with optimized animal
            performance. The program supports amino acid balance,
            animal health and meat quality. It is environmentally
            friendly, because we substitute a significant percentage
            of fish meal and minimize the impact of fish caught wild
            from our oceans for this purpose.
                                                                                                                                                   Novus works with feed mills in
            Europe                                                                                                                                 Africa that support the work of
            At Novus, we place an emphasis on the sustainability                                                                                   smallholder farmers.
            of our solutions for our customers. In Europe, we have
            developed a program that optimizes the feed milling
            process by using a surfactant.

            The program utilizes our SURF·ACE™ product to improve
            the efficiency of the feed production process. Feed
            production can be an energy-intensive process,
            especially for those using granulators or extruders.
            Customers using SURF·ACE in their feed mills have
            experienced a 10% reduction in energy consumption
            while increasing the output of their presses. This program
            improves the mills’ efficiency, reduces the impact on the
                                                                         In Alagoas, Brazil, Novus is working with more than 1,000 family
            environment and increases feed production.                   farmers to create sustainable farming systems.




GRI: 4.17                                                                                                                           Novus International, Inc. Health through Nutrition 2009 |   29
Novus Scholar Programs
            Talent Sustainability                                     China
            Meeting the global demand for food in the future          Novus provides four graduate scholarships at the eight leading agriculture-
                                                                      based universities in China, with students eventually traveling to our corporate
            will require people who are willing to dedicate their     headquarters to participate in an internship program.
            careers to the agriculture industry. At Novus, we
            work to attract and develop new talent, not only for      The Novus Research Fellowship in China supports the development of
                                                                      internationally competitive research programs for promising young scientists
            our company, but for the benefit and advancement          specializing in the field of animal nutrition and health.
            of the entire industry.
                                                                      India
            Novus Scholar Programs                                    Our partnership with Bombay Veterinary College (www.mafsu.in) links the
                                                                      scientific talents of Novus with one of the most established veterinary institutions
            Through various Novus Scholar Programs, we award          in Asia. This provides an important opportunity for collaboration that is mutually
                                                                      beneficial, while encouraging the continued growth of agriculture-related studies
            scholarships to support the research and work of          in the region.
            students and professors who are and will be industry
            leaders in agriculture. In addition to funding their      Korea
            studies, we also seek to build relationships with these   In 2008, we established a partnership with Pukyong National University's (PKNU)
                                                                      College of Fisheries Sciences (www.pknu.ac.kr) in Busan, Korea. Through
            Scholars and offer opportunities for many of the          this program with PKNU, we are supporting aquaculture students who have
            participants to work with us as interns in our research   demonstrated promise in areas associated with nutrition, metabolism, growth,
            facilities around the world. We can learn from their      development, health and disease in aquaculture.
            research and they can benefit from our industry
                                                                      Mozambique
            experience and relationships. In some cases, these        Last year, we became the first private-sector company to sponsor the African
            Scholars become Novus employees, customers or             Women in Agricultural Research and Development (AWARD) program
            suppliers.                                                (www.genderdiversity.cgiar.org), which seeks to advance the careers of African
                                                                      women. We invite you to learn more about the AWARD program in the Civil
                                                                      Society section, later in this report.
            Goals for the program include:
                                                                      Thailand
            • Encourage students in animal agriculture to             In 2009, we established a relationship with the Department of Animal Science,
              develop strong research programs and gain               Faculty of Agriculture at Kasetsart University (www.ku.ac.th) in Thailand, where
              an international perspective on agriculture.            we award a scholarship to a student working on a Master’s degree in Poultry
                                                                      Nutrition. This student is also given the opportunity to participate in an internship
                                                                      at our research headquarters.
            • Build relationships with professors and students who
              are and will be the future leaders in agriculture.      Vietnam
                                                                      In 2008, we funded the construction of a 1,000-square-meter Aqua Research
                                                                      Facility at Nong Lam University Campus in Ho Chi Minh City. We fund two
            • Establish a technical collaboration network             scholarships through this program.
              to help us develop solutions relevant to our
              customers in diverse regions of the world.              United States
                                                                      At the University of Arkansas (www.uark.edu), we have endowed a Chair in
                                                                      Poultry Science. The professor appointed to that Chair works with visiting
                                                                      scientists from other universities throughout the world and teaches graduate-
                                                                      level courses related to nutrition and metabolism.

                                                                      At Auburn University (www.auburn.edu), we award a scholarship to a
GRI: 2.9 and 4.12                                                     graduate student and provide that student with a paid internship at Novus.
                                                                                                                                                              |   30
Career Development and Placement Programs                          Novus Matching Gift Program
         We actively engage with organizations, industry and                In addition to volunteering time to non-governmental organizations, our
         academia to support the career development of talented             employees also make financial contributions. To encourage our employees
         students and develop channels for recruitment.                     to become engaged in civil society and to give back, we have established
                                                                            the Novus Matching Gift Program. Through this program, the company
                                                                            matches, dollar-for-dollar, contributions to qualifying local and global causes.


                                                                            Below are a few examples of organizations that have received support from the
         The mission of the Missouri Colleges Fund is to acquire            Novus Matching Gift Program:
         resources to help educate students in member private
         liberal-arts colleges and universities, comprised of a 16-school
         network. Novus has established science-specific scholarships
         within the fund. During our two years of program participation,    Meds & Food for Kids (MFK) is a St. Louis based non-profit organization with operations in Haiti since
         Novus has hosted a “Science Day” for scholarship                   2003. In response to the earthquake in Haiti, Novus partnered with MFK to help raise donations and
         participants. On “Science Day,” students are introduced to         distribute “Medika Mamba,” a fortified, peanut-butter-based, ready-to-use-therapeutic food (RUTF)
         a variety of people working in diverse occupations across          to people left hungry after the disaster. For more information on MFK, visit www.mfkhaiti.org
         our organization and other participating area companies.



                ®
                                                                            Heifer International helps people change their lives from a state of hunger and poverty into
                                                                            self-reliance and hope. They provide gifts of livestock and training, helping families improve
         Novus has aligned with Texas A&M’s agribusiness department         their nutrition and generate income in sustainable ways. For more information on
         to establish a joint career placement program. Over the past       Heifer International, visit www.Heifer.org
         year, Novus has collaborated with Texas A&M to provide
         full-time employment to five graduating students.

                                                                            Novus employees went the extra mile for our 2009 United Way Annual Giving Campaign. We achieved
                                                                            110% of our goal with an overall participation rate of 87%, with 100% participation from our Little Rock
                                                                            employees. Novus employees volunteered their time to work at the St. Louis Area Food Bank, where
                                                                            they packaged more than 6,000 meals for the hungry. For more information on the United Way, visit
         IFAMA’s mission is achieved through providing members              www.unitedway.org
         with multiple vehicles for information sharing, knowledge
         advancement, discussion and debate, networking and
         career development. IFAMA has established a global
         network of academic institutions that have agribusiness
         or related departments. Students are invited to present            The Arts and Education Council (AEC), through donations, supports more than 80 non-profit arts and
                                                                            arts education organizations. Every year, the funds generated by the AEC provide more than five million
         research about agriculture technology and best practice            children and adults the opportunity to experience music, theater, dance, film, literary arts, visual arts
         management at IFAMA conferences around the world.                  and outreach programs. For more information on the AEC, visit www.keeparthappening.org

                                                                            For a complete listing of Novus Matching Gift Program recipients, visit page 81 in the Appendix.
GRI: 4.12 and 4.17                                                                                                                                                              |    31
Community                                                      must leave school or the workforce, and are not in a position to return until
                   Our Vision for sustainability is global. But in                later in life. Because the AWARD program has no age restriction, participating
                   our global reach, we touch specific cities and                 women have the opportunity to re-engage in and add value to the industry in
                   countries in which we live and work. Reflecting                meaningful ways.
                   our triple bottom line, our employees engage
                   with their communities at multiple levels—social,             “My goal is to help Mozambique’s farmers produce more poultry
                   economic and environmental (SEE). Novus                        at a lower cost, raising incomes and increasing food security.”
                   supports employees’ engagement in their                                                                       –Mena dos Anjos, Novus AWARD Fellow
                   communities through many programs.
                                                                                  We have committed ourselves over the next five years to ten externships,
                   Civil Society                                                  through which African women will work at our headquarters, another
                   Novus collaborates with partners in civil society              Novus facility or with one of our partner organizations such as the Missouri
                   whose work aligns with the Novus Vision,                       Botanical Garden. Participants will receive mentoring to help them move to
                   Mission and Core Values. We invite you to read                 the next level in their education.
                   about some of these dynamic and collaborative
                   relationships over the next few pages.                         In October 2009, we welcomed our first AWARD research fellow,
                                                                                  Mena dos Anjos, a Senior Lecturer in Animal Nutrition at the University
                                                                                  of Mondlane in Mozambique. Mena holds a Master of Science degree in
                                                                                  Veterinary Medicine with a specialization in poultry production and health
                                                                                  from the Royal Veterinary and Agricultural University in Denmark.

                                                                                  Mozambique is heavily dependent on poultry production. In fact, more than
                   Economic opportunity for women in Africa is a matter of        70% of rural families in Mozambique keep chickens, which contribute to
                   social justice. Almost 80% of the agricultural labor force     income and food security. The cost of poultry feed is a challenge for the
                   in Africa is female, but only 10% to 15% of the continent’s    people of Mozambique. Mena is working at Novus on a project to enhance
                   agricultural students are female. Last year, Novus             locally available dried peas to create a more feasible and low-cost feed
                   became the first private-sector company in the United          alternative for poultry. She is collaborating with researchers at Novus to
                   States to sponsor the African Women in Agricultural            understand the nutritional balance requirements when utilizing these locally
                   Research and Development (AWARD) program and the               available ingredients.
                   first organization to host a U.S. placement of an AWARD
                   fellow. AWARD seeks to advance the careers of African          When she completes her program here, Mena will return to her academic
                   women in agricultural research.                                position in Mozambique. She will try to attract more young people from
                                                                                  Mozambique to animal nutrition research, and she will apply the research
                   There is no age restriction for the AWARD program. This        she worked on at Novus. Her goal is to help Mozambique’s farmers produce
                   is important because the majority of similar programs          more poultry at lower cost, raising incomes and increasing food security.
                   restrict participation to women 35 years or younger in
                   age. Due to family responsibilities, many African women        For more information on AWARD, visit www.genderdiversity.cgiar.org


GRI: 4.12, 4.15, 4.16 and 4.17                                                                                       Novus International, Inc. Health through Nutrition 2009 |   32
milk dependency of calves and enables farmers to bring milk to market.
                                                                  Additionally, farmers gain the ability to raise healthier and more productive
                                                                  replacement heifers.

                                                                  To improve cattle nutrition in Uganda, our scientists developed a dry season
                                                                  supplement that also adds essential minerals and feed quality ingredients to
                           Every country in Africa has unique     locally available protein and energy sources.
                           livestock industry challenges
                           that require specific solutions.       We are planning to test both programs in additional regions of Africa in the
                                                                  near future.
             In Kenya, a challenge for farmers is calf
             mortality. A cow provides a single source of
             income for many Kenyan families. If a family’s
             calf lives, it can support them in achieving a
             sustainable income. Calf mortality impairs the
             farmers' ability to produce a steady income
             from selling dairy cows and supplying their
             local communities with dairy products.
                                                                   In 2009, our President and CEO, Thad Simons, was elected to the Board of
             Ugandan farmers struggle to provide adequate          the Corporate Council on Africa, which has the goal of improving social and
             nutrition to their cattle during the dry season.      economic conditions for the people of Africa by strengthening business
             In Uganda, longer dry seasons and the increased       relationships between African countries and the United States.
             use of marginal land are compromising health
             and reducing the production of cattle.                It is critical that we empower African nations and farmers, through knowledge
                                                                   sharing and technology, to build the capacity to meet their own requirements for
             In 2009, a team from Novus traveled to Africa to      food. The continent of Africa’s demand for food is expected to greatly increase
             identify the priorities in these two countries and    in the first half of this century. Our involvement with the Corporate Council on
             to determine how we could contribute. The Novus       Africa is one way to collaborate with African farmers and facilitate an exchange
             team met with officials of the Nairobi-based ILRI     of knowledge.
             and East Africa Dairy Development (established
             by Heifer International). After investing time in     In the fall of 2009, Novus chaired two panels at the Corporate Council on Africa’s
             both countries to understand the challenges and       Biennial Summit. The panelists discussed aquaculture and the role of education
             circumstances, we engaged our R&D scientists          and technology in agriculture.
             to work towards solutions.
                                                                   For more information about the CCA, visit www.africacncl.org
             To address calf mortality in Kenya, we developed
             a nutritionally complete diet that reduces


GRI: 4.12 and 4.17                                                                                             Novus International, Inc. Health through Nutrition 2009 |   33
Balancing the Agricultural Bottom Line
                                                                       The WAF, in cooperation with Novus, hosted the first Asia Regional
                                                                       Roundtable on March 8-10, 2009, in Phuket, Thailand. The theme of the
                                                                       Roundtable, “Balancing the Agricultural Bottom Line,” focused on the global
                                                                       and Asia-specific economic impact of the global recession on agriculture.

                                                                       Roundtable attendees were encouraged to discuss the case for creating
                                                                       strategic alliances in the food chain, sustainable practices for agricultural
                                                                       growth and the new paradigm in consumer requirements and food demand.
             The World Agricultural Forum (WAF) is a policy            More than 75 people from 19 different countries participated in the event.
             neutral and internationally inclusive agriculture and     Attendees included government officials, CEOs, academia, NGOs and farmers.
             agribusiness-driven forum that brings together leaders
             from private sectors with policy makers and key policy    Novus, along with three other participating organizations, presented the
             influencers to focus on providing food, fuel, fiber and   insights and discussed highlights from the event at the WAF’s Sixth Biennial
             water to the world’s growing population.                  World Congress on May 18-20, 2009, in St. Louis, Missouri. Based on the
                                                                       success of and interest in the Regional Roundtable model, the WAF plans to
             For more information about the WAF, visit                 host future roundtables over the next year in Brazil, China, Uganda and India.
             www.worldagforum.org




                                                                       More than 75 leaders in agriculture from 19 countries attended the first World Agricultural Forum
                                                                       Asia Regional Roundtable, “Balancing the Agricultural Bottom Line.”
GRI: 4.12 and 4.17                                                                                                                                                         |   34
OASIS® Helps Protect the Red-Necked Ostrich
                                                                                            The largest of three species in the ostrich family, the red-necked
                                                                                            ostrich was once abundant in Niger. Like other ostriches,
                                                                                            this species’ population numbers are declining due to human
            Our Arenus division has partnered with the Saint Louis Zoo’s Orthwein           environmental interference and predation.
            Animal Nutrition Center to study the effects of Arenus’s structural health
            supplement, STEADFAST®. The partnership, in the form of a grant, placed         In an attempt to rescue the red-necked
            a graduate student from the University of Missouri – Columbia with the          ostrich from becoming an endangered
            Saint Louis Zoo for a two-year period. The primary focus of the research        species, Novus developed a plan with the
            is assessing the effects of STEADFAST on enhancing joint health in              Saint Louis Zoo’s Saharan Wildlife Recovery
            various mammals.                                                                Center. The Zoo’s Recovery Center is a world
                                                                                            leader in combating the extinction of Saharan
            The importance of animal nutrition and its effects on treating and/or           wildlife.
            preventing health issues is a new undertaking in zoos. The Saint Louis
            Zoo is a world-class facility and one of only a few in the United States that   Upon hatching at the Wildlife Recovery
            staffs an animal nutritionist and maintains a dedicated nutrition center.       Center, red-necked ostriches often face a
                                                                                            long trip to the facility where they will grow
                                                                                            to adulthood. During this trip, nutrition and
            For more information about the Saint Louis Zoo, visit www.stlzoo.org
                                                                                            hydration are frequently not available for the
                                                                                            hatchling.

                                                                                            Our OASIS hatchling supplement, originally developed for domestic
                                                                                            fowl, is a hydrated nutritional formulation that supports this critical
                                                                                            phase of life. OASIS is used during transport from the hatchery to
                                                                                            farms to maintain gut health and hydration.

                                                                                            Novus is providing OASIS to the Zoo’s Saharan Wildlife Recovery
                                                                                            Center. OASIS will benefit the red-necked ostrich, as it has done for
                                                                                            chickens, turkeys and ducks in farm environments around the world.




GRI: 4.12                                                                                                                 Novus International, Inc. Health through Nutrition 2009 |   35
Industry Associations
                                                                                We recognize our responsibility to collaborate and cooperate with
               Recognition                                                      other stakeholders in our industry. We participate in a range of
               Novus is very proud of the meaningful awards and recognition     industry associations as a highly effective way to integrate our
               we have received over the past year. Below are a few examples:   Vision into the mainstream of modern agriculture.


                                                                                Below are a few examples of industry associations that Novus employees
                                                                                participate in:




                                                                                In 2009, we proudly became the first company in the feed-ingredient industry to
                                                                                become a member of the Sustainable Agricultural Initiative (SAI) Platform. The
                                                                                food industry established this organization to support agricultural practices and
                                            HEROES OF THE PLANET                production systems that preserve and promote the efficient use of resources.
                                            SUSTAINABLE EMPLOYEE PROGRAMS
                                            Awarded to Thad Simons
                                            St. Louis Business Journal



                                                                                The Center for Food Integrity (CFI) was established in 2007 to increase consumer
                                                                                trust and confidence in the contemporary U.S. food system. Its primary mission is
                                                                                to promote dialogue, model best practices, address issues that are important to
                                                                                consumers and serve as a resource for accurate, balanced information about the
                                                                                U.S. food system.


                                            TOP 50 PLACES TO WORK
                                            Awarded to Novus

                                                                                The American Feed Industry Association (AFIA) is the world’s largest organization solely
                                                                                devoted to representing the business, legislative and regulatory interests of the animal
                                                                                feed industry and its suppliers. The program establishes comprehensive standards of
                                                                                excellence that go beyond existing regulations to maximize food and feed safety.


                                            RESPONSIBLE CARE
                                            ENERGY EFFICIENCY AWARD
                                            Awarded to Novus
                                                                                The United States Soybean Export Council (USSEC) represents U.S.-grown soybeans,
                                                                                soybean meal, IP soybeans and soy protein isolates to international markets. USSEC
                                                                                travels the world with partner companies like Novus, educating farmers on the
                                                                                advantages of soybean inclusion into the rations for their animals.


                                                                                For a complete listing of Novus industry association memberships, please visit
                                                                                page 80 in the Appendix.
GRI: 2.10, 4.12, 4.13 and 4.14                                                                                                                                         |   36
Economic



                   The basic definition of sustainability is to “keep a
                   process or action going.” Healthy businesses provide
                   livelihoods for families, technologies that improve the
                   quality of our lives and the framework for innovation
                   that will be required to sustain our growing world.

                   Core to our Vision is supporting our customers
                   with products and services that improve and create
                   efficiencies in their business operations. In the fabric
                   of economic sustainability, we are all interwoven,
                   and the strength of one is dependent on the strength
                   of the entire community.




GRI: 2.2 and 2.7                                                              Novus International, Inc. Health through Nutrition 2009 |   37
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2009 Novus Sustainability Report

  • 1. Health through Nutrition 2009 Sustainability Report
  • 2. What’s in this Report? Table of Contents Welcome and Background Welcome 01 From the CEO 02 Motivating Factors 03 Novus’s Background 12 Sustainable Culture 16 Sustainability in Practice Social 24 Economic 37 Environmental 58 Quality of Life 66 GRI Index 68 Key Performance Indicators 70 Appendix 74
  • 3. Welcome This report summarizes the past progress and future commitment of Novus International, Inc. to providing innovative solutions that will help feed the world affordable, wholesome food and achieve a higher quality of life. The earth’s population is increasing by 75 million people per year. In the next 40 years, its limited natural resources will have to bear the burden of feeding 3 billion people more than the global population of 6.6 billion today. The strain on the planet’s resources makes it imperative to protect quality of life by moving forward in ways that support global sustainability. Health through Nutrition is Novus’s second sustainability report. The first report covered the 18-month period ending June 30, 2008, which complied with the Level C guidelines of the Global Reporting Initiative (GRI). This report covers the 12-month period ending December 31, 2009, with footnote data pertaining to the date range of July 1 to December 31, 2008. It fulfills the more rigorous Level B GRI guidelines. Going forward, Novus plans to publish a sustainability report on an annual basis. GRI: 3.1, 3.2, 3.3, 3.5, 3.6, 3.7, 3.9, 3.10 and 3.11 Novus International, Inc. Health through Nutrition 2009 | 1
  • 4. From the CEO Dear Reader, As we worked to compile Health through Nutrition, nearly the same amount of arable land and water I was reminded that it takes planning, time and resources currently available. These astounding thousands of small steps to make sustainable statistics highlight the relevance of establishing changes. I am proud of the efforts and enthusiasm sustainable practices across the value chain of that our global Novus team has shown by working nutrition. Developing sustainable practices that will together towards our sustainability goals. support the needs of our growing population, protect environmental resources and ensure the profitability Novus is a participant in the farm-to-table of our customers are Novus’s highest priorities. nutrition continuum and because of this, we have a distinct responsibility to the communities we For our team at Novus, sustainability is a culture serve. Novus’s Vision is To Help Feed the World that begins on an individual level. We believe that Affordable, Wholesome Food and Achieve a innovation, education and collaboration will improve the quality of life Higher Quality of Life. Our performance as a for people around the world and ultimately, our business performance. company and our Vision are not separate— each is connected inextricably with the other. Thank you for investing the time to get to know Novus a little better This relationship is clearly expressed in the and to learn about the ways we are working to increase our positive Novus triple bottom line: social, economic and impact on the world each day. This is our second sustainability report. environmental (SEE). We intend to measure our continuous improvement against this report and future reports each year. The components of SEE comprise Health through Nutrition and are integrated into our business At Novus, we value transparency. In this spirit, I invite you to send approach. Our activities and goals, as they relate any questions or comments that you may have about this report to to this triple bottom line, will continue to be sustainability@novusint.com. shaped as we innovate, learn and collaborate. In this way, we intend to maintain our long-term Sincerely, commitment to Novus’s sustainable culture and global Vision. During the reporting period for Health through Nutrition, the United Nations announced that Thad W. Simons by 2050 we will have to feed our world double President and Chief Executive Officer the amount of food that we do today, using Novus International, Inc. GRI: 1.1 Novus International, Inc. Health through Nutrition 2009 | 2
  • 5. Our Motivating Factors Working within a framework of Core Values, Novus employees have collectively brought to market more than 100 new products over the past few years. This innovation and agility would not be possible without a culture that combines entrepreneurial thinking with organized structure and the motivating Vision to Help Feed the World Affordable, Wholesome Food and Achieve a Higher Quality of Life. Novus International, Inc. Health through Nutrition 2009 | 3
  • 6. Vision To help feed the world affordable, wholesome food and achieve a higher quality of life. Novus has a clearly defined Vision. Feeding the world over the next four decades will require producing more food than in the previous 4,000 years. Satisfying this increasing demand without straining, depleting or polluting the earth’s natural resources will continue to be a complex challenge. It will require innovative solutions in nutrition, combined with a solid commitment to global sustainability. Mission Make a clear difference in sustainably meeting the growing global need for nutrition and health. Our core expertise and experience in health and nutritional research empower Novus to move toward our Mission. Together, our Vision and Mission form the solid bedrock that supports Health through Nutrition. GRI: 1.2 and 3.13 Novus International, Inc. Health through Nutrition 2009 | 5
  • 7. Core Values Global sustainability is a fundamental imperative at Novus. It is the common denominator between our corporate Vision, Mission and Core Values. As you read the first section of this report, Novus’s Background and Sustainable Culture, please note the icons below—they are meant to provide examples of how we integrate our Core Values into our work each day. Seek excellence from Provide products with Maximize long-term every employee demonstrable value customer satisfaction Protect our employees, Act with integrity the public and the environment GRI: 1.2, 3.13, 4.8 and 4.11 Novus International, Inc. Health through Nutrition 2009 | 6
  • 8. Novus’s Core Values bring our Vision and Mission to life. The Core Values define, in practical terms, how our 600-plus employees conduct business with each other, with customers and with other stakeholders. They guide all business strategies, plans and objectives. They shape our company’s culture, which begins at the individual level and carries through to the marketplace. We seek excellence from every We strive to provide products with It is critical that we maximize long- employee. We encourage, expect demonstrable value. Our research term customer satisfaction. Whether and support alignment, diversity, focuses on leading-edge concepts, related to products, services individual growth, initiative and and we are committed to supplying or innovation, we must always teamwork. preferred products and services. anticipate our customers’ needs and exceed their expectations. We protect our employees, We act with integrity. We treat all These Core Values are of the public and the environment. of our stakeholders—including Specifically, we make health, safety employees, customers, suppliers, profound importance to each and environmental considerations a business partners, our owners and Novus employee. They are priority in everything we do. the public—in a fair and ethical manner. essential to the way we work each day and to Health through Nutrition. GRI: 1.2, 2.8, 3.13, 4.8 and 4.11 Novus International, Inc. Health through Nutrition 2009 | 7
  • 9. Each of the preceding Core Values affects the way we measure our progress in terms Critical Success Factors of our triple bottom line of social, economic and environmental (SEE) considerations. They also provide a basis for our four Critical Success Factors—growth, profitability, people and reputation. Novus’s Critical Success Factors provide the framework for the way we set our business goals and align towards our long-term strategy. Growth Profitability People Reputation Continually assess and develop Implement improved business Provide an environment that enables Expand on our positive image our portfolio of products, processes, measure and employees to bring their full capabilities by initiating and supporting customers and suppliers. support systems that will move to bear with behaviors consistent activities and programs that Implement performance- Novus closer to our customers with the Novus Management and demonstrate Novus’s integrity enabling programs and and deliver increased year- Integrity Systems, in accordance with and aspirations to meet technologies to achieve a over-year market value. the Novus Mission, Vision and Core corporate objectives in a long-term competitive position. Values. Promote a safe and healthy responsible, sustainable work-life balance to motivate employees manner. to achieve our Novus Three-Year Growth and Diversification efforts. Long-Term Strategy Supporting Our Long-Term Strategy Critical Success Factors Every Novus employee understands exactly what his or her key accountabilities are. Each person realizes that these key accountabilities have a direct effect Three-Year Objectives on Novus’s short-term corporate goals, three-year objectives, Critical Success Factors and ultimately, our long-term strategy. Short-Term Corporate Goals Every person plays a role. And every person has the opportunity and responsibility to make a critical contribution to the long-term success of our company. Individual Key Accountabilities GRI: 1.2, 3.13, 4.9 and 4.10 Novus International, Inc. Health through Nutrition 2009 | 8
  • 10. Our Triple Bottom Line As you read the second section of this report, Novus’s Sustainability in Practice, please note the icons below—they are meant to provide examples of how we integrate sustainability into our work each day. Social Economic Environmental We measure our progress in terms of our triple bottom line: social, economic and environmental (SEE). The products we sell, the way in which we conduct business with stakeholders and our respect for the earth’s natural resources are all interconnected, integrated and equally important. GRI: 1.2, 3.13 and 4.16 Novus International, Inc. Health through Nutrition 2009 | 9
  • 11. “Raindrop,” Douglas Auer and Michael Hayes, 2009 Media: Glass Novus commissioned this piece for our global headquarters. It is made of blown glass spheres and volumetric flasks. The materials chosen and the forms created highlight the link between scientific development and the preservation of the natural world. Novus International, Inc. Health through Nutrition 2009 | 10
  • 12. Novus’s Background and Sustainable Culture Novus International, Inc. Health through Nutrition 2009 | 11
  • 13. Novus’s Background Novus International, Inc. creates Health through Nutrition products for livestock, pets and people. Novus has employees working in over 90 countries, serving more than 2,500 customers worldwide. Based in St. Charles, Missouri, Novus has facilities including corporate offices, research and development laboratories and manufacturing operations in more than 35 countries, as well as smaller offices with field staff in an additional 60 countries. The organization has annual revenues approaching $1 billion. Based on Science Novus International, Inc. was founded in 1991, but our scientific roots and history originated over 50 years ago. In the 1950s, St. Louis, Novus revolutionized poultry nutrition through the development of ALIMET®, a liquid feed supplement. Missouri-based Monsanto Company began conducting livestock and poultry feed metabolism studies. In 1959, one of its products received FDA approval as an animal feed additive, which helped launch the Monsanto division that would become world affordable, wholesome food.” At the time, this Vision statement Novus. In 1991, in an effort to focus on its was considered a bold goal and some questioned how Novus core businesses—seed, herbicide and could realistically make a contribution. We were a small, business- biotechnology—Monsanto sold its Feed to-business company with two products for the poultry industry, Ingredients division to Mitsui & Co., Ltd. but we understood that Novus’s core knowledge of health and (www.mitsui.com) and Nippon Soda Co., Ltd. nutrition related to poultry could be beneficial to other species. (www.nippon-soda.co.jp). The new owners saw Novus’s strategic potential for growth. Working from a strong base of scientific understanding, we have brought to market more than 100 new products over the past decade. Today the In our first year, we put into place the Novus product portfolio provides a holistic approach to Health through corporate Vision of “helping to feed the Nutrition for poultry, cattle, pigs, pets, farm-raised fish, horses and people. GRI: 2.3, 2.4, 2.5, 2.6, 2.7 and 2.8 Novus International, Inc. Health through Nutrition 2009 | 12
  • 14. Working Closely with Our Customers Novus is committed to having a genuinely We are motivated to contribute to an agriculture industry that is global reach. We connect with our customers equipped to provide nutritious, affordable food to people everywhere at the local level, work with them in their own in the world and to do so through sustainable, responsible practices. communities and understand their needs in a Novus has a culture of sustainability that begins at the individual level meaningful way. Novus customers have the and carries through to the marketplace. We approach our work through unique experience of localized research and the lens of sustainability, and this is a requisite consideration at Novus. development, technical support, customer service Every business project is cross-checked to ensure that our criteria for and logistics. This commitment to working closely sustainability are achieved. with our customers provides Novus with real- time, hands-on knowledge of current and future The need for food is projected to grow by 100% over the next four customer needs. decades. We have made great strides as an industry, developing strategies to improve productivity including crop, genetic and nutritional We work with our customers to improve technologies. However, there their business operations through increased is still much work that needs productivity and profitability. Novus’s Health to be accomplished. For through Nutrition programs support healthy, example, we are currently happy animals that are more productive and only achieving 60% of the generate less waste, reducing their environmental genetic growth potential of impact. Additionally, Novus products protect the broilers. Technology related nutritional quality of feed and feed ingredients, to nutritional strategies and which are farmers’ largest operational best management practices investments and most important tools for can close this gap. As the ensuring livestock health. productivity of our industry increases, so does access to The Importance of Agriculture affordable, wholesome food. Novus’s history and largest market segment is based in livestock agriculture. The importance of achieving our Vision comes full circle when you consider the growing demand for food on our planet. Meeting this need can only be achieved through the technological innovation of companies like Novus. GRI: 2.7 Novus International, Inc. Health through Nutrition 2009 | 13
  • 15. Health through Nutrition Our products and programs offer Health through Nutrition. Every day, the collective efforts of our employees are focused on achieving a higher quality of life, for animals and people, through nutrition. Our heritage and core strength is science, which will always be the bedrock from which we continuously innovate. Today Novus employs over 150 scientists— more than a quarter of our entire employee population—who have attained a Ph.D. or Master’s degree in animal science or a Doctorate of Veterinary Medicine. The dedication of these employees builds on our many years of experience in animal nutrition, and continually strengthens our core competence in scientific research and innovation. Novus scientists work in laboratories around the world, including Brazil, China, Vietnam and the United States. By establishing research facilities at the local level, where our customers live and “Slides,” Julia Dibner, Cell Biologist and Photographer work, we are able to better understand and serve David Burt, Artistic Director, 2009 their needs. Media: Digital Photography Cells from the organs and bones of animals were prepared and stained for scientific analysis, Our entire organization is oriented towards then photographed microscopically. The artists then isolated forms and compositions present collaborative innovation. Novus continually in the images, and cropped and manipulated the photographs to create a finished piece. expands our global partnership network of universities, non-governmental organizations (NGOs) and industry associations. Through these relationships, we engage in joint research projects with students, professors and subject matter experts to adapt best-in-breed solutions for local challenges. GRI: 2.7 Novus International, Inc. Health through Nutrition 2009 | 14
  • 16. A Standard for Sustainability Major Milestones Novus’s first product defined a standard for sustainability for the more than 100 products that the company has since developed. ALIMET® feed supplement was first introduced to In 2009, we celebrated the 25th anniversary the poultry industry by Monsanto in 1979. The product helped farmers feed their animals of ALIMET production at our facility in more efficiently, enabling them to raise healthier chickens while lowering feed costs. Chocolate Bayou, Texas, and the 50th Thanks to ALIMET, farmers were more productive, more profitable and better able to anniversary of SANTOQUIN®, the first provide the world with greater quantities of wholesome food at an affordable price. feed additive approved by the FDA. ALIMET also helps animals digest feed more efficiently, which has important benefits to These two livestock feed additives have the environment. Nitrogen, a chemical component in animal waste, is a pollutant to both helped improve animal health and enhance land and water. Poultry fed ALIMET produce waste with lower nitrogen levels. ALIMET business operations for producers around demonstrates that a leap forward in agricultural productivity can be achieved without the world for many decades. increased strain on the environment. Additionally, as a liquid methionine source, ALIMET helps feed mills operate more Over the last 25 years, we have grown the efficiently, reducing energy requirements. The organic acid effect of ALIMET, particularly ALIMET production facility in Chocolate in combination with other organic acids, is successful in reducing harmful bacteria, Bayou into the largest liquid methionine such as Salmonella, in feed. manufacturing plant in the world. Novus’s nutrition solutions for the poultry industry resulted in dramatic productivity SANTOQUIN helps farmers get the increases that are one of the great agricultural success stories of our time. In the next greatest return on their largest operating wave of innovation, Novus research scientists discovered ways to apply our company’s investments: feed and feed ingredients. core expertise in health and nutrition to other animal species and industry segments. SANTOQUIN protects feed from the They found ways that other animals could benefit from Novus’s insights into poultry damaging effects of oxidation, which is nutrition, leading to a range of products that bring Health through Nutrition to cattle, beneficial to animal health and to farmers’ pigs and farm-raised fish. sustained business operations. Our extensive experience with production livestock has proven to be equally important to The quality of feed ingredients has a direct improving the health of pets and their owners. Novus’s Arenus® division offers nutrition and measurable impact on the health of solutions for dogs, horses, ornamental fish and birds. Arenus delivers products through animals. Animals who are fed a quality diet, retail channels directly to pet-owner consumers, creating a business-to-consumer sales balanced with the proper levels of amino channel that supplements Novus’s primary business-to-business sales model. acids, have a lower incidence of health Novus recognizes that many of the challenges faced in animal health and nutrition are challenges and are more productive. similar to the challenges we face as humans, such as increasing bone strength, reducing joint-related lameness and building lean muscle mass. So we applied our core expertise to the area of human nutrition, and in 2009 launched Stratum™ Nutrition, which offers a range of specialty and functional ingredients to the food supplement, food and beverage industries. GRI: 2.7 Novus International, Inc. Health through Nutrition 2009 | 15
  • 17. Sustainable Culture Novus’s company culture of global sustainability When a holistic system functions at optimum efficiency, is expressed through three basic principles: output is maximized and waste is minimized. Taking an integrated viewpoint is characteristic of a Novus-style solution. This point of Maximize Output, Minimize Waste view takes into consideration not only the intended result, but also Collaborate by Sharing Information the by-product of that result. As part of our culture, we strive to Local Solutions for a Global Marketplace conduct our work in ways that minimize our environmental footprint. Novus products are geared towards maximizing output and minimizing waste. Leveraging a broad product portfolio, we take a comprehensive approach to optimizing the health of animals. This approach maximizes farmers’ outputs, fortifies livestock against disease and ultimately leads to the production of higher quality food. Novus’s Health through Nutrition programs support healthy, happy animals who generate less waste for the environment and are more productive. On June 3, 2009, the Governor of the State of Missouri, Jay Nixon, along with 450 other guests, participated in a ribbon release ceremony, commemorating the opening of Novus’s Platinum LEED Certified global headquarters facility. Platinum LEED is the highest energy and environmental designation available in the U.S. GRI: 2.7 Novus International, Inc. Health through Nutrition 2009 | 16
  • 18. Sustainable Culture At Novus, sustainability begins at the individual level and is evident in the daily activities of each employee. It is demonstrated in the way that employees put into practice our collective aspirations, Novus’s Mission, Vision and Core Values. Novus International, Inc. Health through Nutrition 2009 | 17
  • 19. Collaborate by Sharing Information Novus’s culture is shaped by the spirit of discovery and innovation on which our rich history is based. Our collaborative work style encourages the open flow of information among a community of colleagues who share common interests in scientific progress and improving the markets we serve. At Novus, a collaborative approach is also typical of our relationships with customers. We freely share our industry knowledge with customers in an open dialogue about their most important business challenges. We consult with them to Chief Sustainability Officer develop innovative solutions that meet their specific needs. Joyce Cacho, Ph.D. Our open culture is also reflected in the relationships we have developed with students and professors at universities around the world. We have something to learn from everyone and, in turn, we want to share all that we can. Our office and meeting spaces are open to encourage discussion This past year, we formalized our commitment to and collaboration. People know each other on a first-name sustainability at Novus, adding the role of Chief basis and respect one another as individuals. This sustainability Sustainability Officer. In January 2009, Novus report to stakeholders, Health through Nutrition, is another welcomed Joyce Cacho, Ph.D. to coordinate and example of Novus’s commitment to sharing information openly. synergize our sustainability efforts. Cacho leads the planning and implementation of Novus’s global Local Solutions for a Global Marketplace corporate social responsibility program and initiatives. Her extensive background in managing At Novus, we place a high priority on understanding our customers’ international agribusiness initiatives and projects needs and believe that living and working in their specific with The Corporate Council on Africa (CCA) and U.S. geographies are key to building this knowledge. Additionally, International University (USIU) have prepared her to we have found that working directly with our customers, globally, lead Novus’s sustainability efforts around the globe. is a critical differentiator for Novus in our industry. For these reasons, we are committed to having a genuinely global reach. Novus customers have the unique experience of localized research and development, technical support, customer service and logistics. We understand that our customers’ needs vary based on their location in the world. Local resources enable us to provide support with agility and in a way that brings demonstrable value to our customers’ businesses. Novus International, Inc. Health through Nutrition 2009 | 18
  • 20. Corporate Governance Statement Corporate governance at Novus is the The Novus Compliance Committee responsibility of the Board of Directors. In 2005, the Board chartered the Novus Compliance Committee (NCC), The Board represents the interests of comprised of all members of Novus’s senior management team as well as our shareholders and stakeholders, including shareholder representatives. The purpose of the NCC is to review and evaluate employees, customers and the public. The Board, compliance issues and concerns throughout the organization. It also focuses with the advice of the executive management on prevention, detection, response and security and proposes actions for the team, determines the company’s long-term continuous improvement of Novus’s business management and operations. strategy, while the Novus management team defines the company’s short-term strategies The matters within the scope of the NCC’s review include all legal and and handles day-to-day business operations. regulatory matters that affect or may affect Novus’s operations worldwide. It also oversees conformity by Novus with the requirements of organizations The Novus Integrity System in which the company maintains memberships and with standards, In 1998, the Board approved and adopted policies or programs to which Novus subscribes. The NCC manages the Novus Integrity System (NIS). The NIS is compliance issues and reports to the Board on a periodic basis. comprised of written policies to ensure that all employees understand that good ethics and good business are synonymous when viewed from moral, legal and practical standpoints. The NIS is reflective of the Board’s commitment to corporate and personal integrity, and prompts every employee to conduct the business of Novus within an ethical framework. GRI: 3.13, 4.1, 4.3, 4.4, 4.6, 4.8, 4.9 and 4.11 The Novus Board of Directors Meeting in Tokyo, Japan | 19
  • 21. Novus’s Global Headquarters Our new 90,000 square-foot (8,361 square-meter) encourage communication and collaboration among employees. A headquarters is Platinum LEED certified, the floor ventilation system allows employees to adjust the temperature highest energy and environmental designation of their personal workspaces. The facility includes a fitness center available in the United States. It is the fourth that is open to employees at no charge and also offers employees building in Missouri and one of only 150 in the free fitness classes and training. The company allocates reserved entire United States to achieve this distinction. parking spaces close to the building as an incentive for employees to carpool or to drive low-emission or fuel-efficient vehicles. In recognition of our design and building efforts, in 2009, Novus President and CEO, Thad Simons, Novus provides employees with wholesome, healthy lunches at won the “Heroes of the Planet” award for no charge each day. Lunch menus for the Novus Café are planned Sustainable Employee Programs. This award by a licensed nutritionist and are low fat, low sodium and portion recognizes the achievement of a company that controlled. Employees benefit by learning about good nutrition, has outperformed its industry in promoting and having healthy options to eat for lunch and many have even advancing environmental sustainability. reported weight loss. Novus benefits because employees stay on-site to eat their lunches, eliminating the commute time to and The building has multiple skylights that provide an from restaurants. Additionally, employees collaborate with one outdoor view and natural light to 90% of employee another over their lunch breaks in the Novus Café, which is great workspaces. The open floor plan is designed to for our culture and for advancing the goals of our organization. Our headquarters has a wide range of green features, including 5,000 square feet (464 square meters) of solar panels, a storm water system, bamboo floors and energy-efficient flat screen televisions in community areas. The facility was built out of materials derived from rapidly renewable, recycled and salvaged resources. Additionally, we have incorporated native Missouri flora into our landscaping. We are also working with the Missouri Department of Conservation to create habitats on our property for wildlife, including birds, reptiles and fish. GRI: 2.9; KPI: EN3 and EN26 Novus International, Inc. Health through Nutrition 2009 | 20
  • 22. “As a company, we believe that our commitment to global sustainability begins at home.” –Dr. Giovanni Gasperoni, Executive Vice President, Marketing and Sales GRI: 2.9; KPI: EN3 and EN26 Novus International, Inc. Health through Nutrition 2009 | 21
  • 23. Sustainability in Practice We approach our work through the lens of sustainability, a requisite consideration at Novus. Every business project is cross-checked to ensure that our criteria for sustainability— social, economic and environmental (SEE)—are achieved. Novus International, Inc. Health through Nutrition 2009 | 23
  • 24. Corporate Social Responsibility Novus employees are integrated into the fabric Novus has direct relationships in more than 90 countries on six continents with of the communities and countries in which we customers, suppliers, consumers, students, teachers and neighbors. We believe live and work. Ultimately, we are all citizens our diverse employee base and inclusive work environment are essential to of the planet and the natural environment innovation and central to how we differentiate ourselves in the marketplace. that provides the basic resources that fuel our businesses and sustain our lives. We are an equal opportunity employer, committed to the hiring, advancement and fair treatment of individuals without regard to race, color, religion, gender, For Novus, Corporate Social Responsibility sexual orientation, age, national origin, ethnicity, disability, veteran status or (CSR) begins with a commitment to and by each any other status protected under federal, state or local law. We comply with individual employee. Each employee brings the law, but mere compliance is not our motivation. We aspire to a higher a unique perspective and knowledge to the standard, based on a deeply-rooted sense of integrity and social responsibility. company—skills, talents and experience— that are the essential elements of the value we are able to deliver to the marketplace. Each year, Novus CSR at Novus is not “charity” work or employees volunteer their time, in partnership a contribution. It is the way we engage with the United Way, to with the world around us to develop the support organizations relationships that can make a long-term, such as the St. Louis Area Food Bank. positive impact. CSR at Novus is about taking the responsibility and concerted action to seek out synergistic collaborations. Giving a charitable donation to an organization or funding the construction of a building at a university are finite activities. Building synergistic relationships requires a commitment and an investment of time, but the positive effects are ongoing. Relationship building is the Novus approach to CSR. To learn more about the CSR activities of our parent companies, please visit Mitsui CSR report: www.mitsui.co.jp/en/csr/report/index.html Nippon Soda annual report: www.nippon-soda.co.jp/e/index.htm GRI: 2.5 Novus International, Inc. Health through Nutrition 2009 | 24
  • 25. Employee Development As a knowledge-based company, we recognize that our greatest return on investment in employees comes from our employee development programs—education and training. The next few pages provide examples of the many development programs we offer at Novus. Green Team The Novus Management System Our Green Team is a volunteer-based employee team All employee development at Novus is rooted in the responsible for integrating environmentally sound practices Novus Management System (NMS)—a living set of into our day-to-day activities at Novus. From office supplies to principles that guide us in most effectively structuring, recycling, the Green Team helps us live our Mission by engaging staffing and managing our organization. in and providing education about environmental conservation. Activities of the Green Team include: Among the tenets of the NMS are honesty, respect and fairness. Novus managers have many difficult decisions to make, and Nature Conservation often there are no clear answers. NMS principles help guide Green Team members address site-specific opportunities our decision-making process so that we keep these tenets in to improve Novus’s footprint on water, soil and energy mind, always striving for trust—whether between managers conservation. and subordinates, or throughout the organization as a whole. Community Involvement The Novus Online Learning System Our Team collaborates with organizations that are working to The Novus Online Learning System is a comprehensive improve our local communities, including Habitat for Humanity training resource that is available to every Novus employee. and the Missouri Department of Conservation. There is a wide range of online training available, including modules based on the Novus Management System, the Global Engagement Novus Integrity System and our products and markets. Novus Green Teams are currently being established at our facilities throughout the world. In addition to modules that are specifically about Novus’s business, the system also provides a wider selection of professional development tools, including foreign language courses from Rosetta Stone® and value-added sales training. Novus International, Inc. Health through Nutrition 2009 | 25
  • 26. The Novus Speakers Series Video Diaries and Podcasts The Novus Speakers Series creates opportunities More and more, we are using technology to share information, learn and for our employees to become better informed stay connected globally. For example, when our EVP, Marketing and Sales, about issues affecting their communities and our Dr. Giovanni Gasperoni, recently visited Kenya, he captured photographs industry. Speakers from both inside and outside and maintained a video diary to document the trip. To share his experiences the company address employees. One of our goals with his fellow employees, he posted the media to NovusConnect, so that for this program is to capitalize on the diversity all employees would have the opportunity to learn firsthand about the of our workforce by fostering opportunities for significance of our work in Africa. employees to learn from one another. Speakers over the past year have included representatives from the United Nations Association, Habitat for Humanity, Stray Rescue, Missouri Department of Conservation and the United Way. We post videocasts of the Novus Speaker Series on our company intranet, NovusConnect. NovusConnect Through NovusConnect, we provide the opportunity for all employees around the world to learn and collaborate with one another. NovusConnect serves as a central location for sharing information, from research data to corporate forms, in an organized and searchable environment. NovusConnect also provides a variety of tools to support global communication, such as announcements, alerts, presentation libraries and MySites (our version of Facebook). These tools allow employees to share information about More and more, we are using technology to share themselves and access information about other peers in the organization. Novus employees can information, learn and stay connected globally. create blogs, join discussion forums and use a survey center to create polls about matters important to their roles in the organization. Novus International, Inc. Health through Nutrition 2009 | 26
  • 27. The Novus Art Program All Hands The Novus Art Program provides our employees an opportunity to select Each quarter, Novus gathers for an all-hands art created by living artists in their local regions, without any restriction on communications meeting. These meetings include the artist’s medium or subject of choice. The pieces selected by employees updates from various departments across the are then displayed at our global headquarters in St. Charles, Missouri. organization and typically feature presentations by our personal trainers, nutritionists and Green Team. To date, our collection includes pieces from Brazil, China, Haiti, the All communications meetings are video recorded United States, Vietnam and Zimbabwe. The program gives our employees and available for viewing by all Novus employees, the opportunity to appreciate the diversity of our global culture. At Novus, globally. we value art and its contribution to our shared humanity. Special Events As part of the Novus Art Program, we host a fundraising campaign and event each year to support the Arts and Education Council. As part of this Novus hosts a variety of special events for employees campaign, we host the Annual Novus Art Walk. Last year, more than 20 each year. For example, this past November, we local artists showed and sold their work at the Art Walk. More than 300 hosted a Healthy Thanksgiving at our headquarters people attended this festive event at our global headquarters and enjoyed for all employees and their families. The event art, live music and food. featured many traditional Thanksgiving delicacies, such as stuffing, cranberry sauce and mashed This past year, we added an potatoes, but with a healthy preparation (low fat, low “Arts” component to the Novus sodium, portion controlled). As a special gift, Novus Global Scholars Program. Our gave families a copy of a cookbook featuring many first recipients will be dancers of the dishes prepared for the event. in the St. Louis Ballet. Each year, the St. Louis Ballet recruits Snapshot Newsletter top-quality talent based on artistic merit. The Novus program Novus provides education on health, nutrition and will help support the living sustainable practices for everyday life to employees expenses of these talented artists. through many platforms. For example, we send the All dancers from the St. Louis Novus Snapshot newsletter to each employee on a Ballet give back to the community monthly basis. The Snapshot provides educational through education programs information on current events both inside Novus for local children. Additionally, and the industries in which we work. Each issue Novus will sponsor the creation also includes a healthy recipe provided by Novus’s of a modern dance piece that will approved nutritionist. be part of the St. Louis Ballet’s upcoming performance season. “A Nice Day,” Zhou Renkang, 2009 (China) Media: Chinese Brush Painting on Rice Paper Novus International, Inc. Health through Nutrition 2009 | 27
  • 28. Sustainability Projects Around the World We encourage our employees, in each region of the world, to seek out Latin America North and engage in sustainability programs. We invite you to read about a Agriculture producers experience various nutritional challenges, few of these over the next few pages. often highly specific to their local conditions and production infrastructure. Latin America South Through a partnership with industry leaders in the state of Alagoas, To help address the challenges of our customers in Latin Brazil, Novus is working with more than 1,000 family farmers to create America, we constructed a manufacturing plant in Mexico City. and improve sustainable farming systems. Novus has partnered This facility allows us to offer our Latin America North (LAN) with local government leaders, Globoaves (Brazil’s largest producer customers smaller product packages and custom blends or of day-old chicks and fertile eggs for the production of broilers and premixes. These blends include a variety of products such as laying hens) and Sebrae (a small business development organization) MHA®, MINTREX® and AGRADO®. Through the use of Novus to offer poultry farmers a way to improve their quality of life. We are blends and premixes, our customers can address specific transferring our experience in poultry nutrition and animal husbandry production challenges by purchasing smaller quantities of to help the farmers produce more affordable protein. The goal is to multiple products in one package. These smaller-quantity expand this program to reach 16,000 families within the next five years. packages also provide savings for our customers in terms of For more information, visit www.alimentos-en.globoaves.com.br transportation and warehousing costs. Our carbon footprint and www.sebrae.com.br is reduced, as products are produced locally in appropriate China quantities, and transportation distance is drastically reduced. The Novus Graduate Scholars Program (www.novusscholars.com) Africa engages eight agricultural universities in China. Each year, a panel Smallholder agriculture is fundamental to the economic growth of Novus judges chooses four post-graduate students from each of emerging markets. From our experience, we know that university to receive a monetary scholarship that partially funds the smallholder farmers have the power to produce the food that students’ educations. One scholar from each university is invited to our is needed in the these regions and that access to affordable international research center in St. Charles, Missouri to learn about the livestock inputs and technologies is essential. In Africa, more global agriculture industry and to partner with our scientists on research than 70% of the population earns their livelihood through relevant to their local market needs. Our purpose is to encourage strong farming. Most of these are smallholder farmers who are research programs and help the students develop an international dependent upon unreliable rains and an uncertain agricultural perspective on agriculture. Additionally, through this program, we have structure. developed a network of technical collaborators in China. North-West Agriculture & Forestry University www.nwsuaf.edu.cn One of our goals in Africa is to provide smallholder farmers Sichuan Agricultural University http://202.115.176.32 with accessible livestock solutions to better feed their families Huazhong Agricultural University www.hzau.edu.cn/en and increase their incomes. By providing education and Health North-East Agricultural University through Nutrition solutions for their livestock, farmers will www.chinatefl.com/heilongjiang/teach/neau increase their productivity and have more products to sell at China Agricultural University www.cau.edu.cn market. This additional income can be used to feed their families Nanjing Agricultural University www.njau.edu.cn more nutritious food, pay school fees, health expenses and Zhejiang University www.zju.edu.cn purchase additional livestock. South China Agricultural University www.scau.edu.cn GRI: 4.17 | 28
  • 29. Asia Pacific Asia Pacific is one of the most aquaculture-dependent regions of the world, from the standpoint of economic development and food supply. The aquaculture and livestock industries rely heavily on the use of fish meal, which is derived from wild, ocean- caught fish. However, fish meal is an unsustainable and increasingly expensive source of protein for agriculture supplementation. Our team in Asia Pacific has implemented a fish meal replacement program that we employ to offer customers a significantly lower cost of feed with optimized animal performance. The program supports amino acid balance, animal health and meat quality. It is environmentally friendly, because we substitute a significant percentage of fish meal and minimize the impact of fish caught wild from our oceans for this purpose. Novus works with feed mills in Europe Africa that support the work of At Novus, we place an emphasis on the sustainability smallholder farmers. of our solutions for our customers. In Europe, we have developed a program that optimizes the feed milling process by using a surfactant. The program utilizes our SURF·ACE™ product to improve the efficiency of the feed production process. Feed production can be an energy-intensive process, especially for those using granulators or extruders. Customers using SURF·ACE in their feed mills have experienced a 10% reduction in energy consumption while increasing the output of their presses. This program improves the mills’ efficiency, reduces the impact on the In Alagoas, Brazil, Novus is working with more than 1,000 family environment and increases feed production. farmers to create sustainable farming systems. GRI: 4.17 Novus International, Inc. Health through Nutrition 2009 | 29
  • 30. Novus Scholar Programs Talent Sustainability China Meeting the global demand for food in the future Novus provides four graduate scholarships at the eight leading agriculture- based universities in China, with students eventually traveling to our corporate will require people who are willing to dedicate their headquarters to participate in an internship program. careers to the agriculture industry. At Novus, we work to attract and develop new talent, not only for The Novus Research Fellowship in China supports the development of internationally competitive research programs for promising young scientists our company, but for the benefit and advancement specializing in the field of animal nutrition and health. of the entire industry. India Novus Scholar Programs Our partnership with Bombay Veterinary College (www.mafsu.in) links the scientific talents of Novus with one of the most established veterinary institutions Through various Novus Scholar Programs, we award in Asia. This provides an important opportunity for collaboration that is mutually beneficial, while encouraging the continued growth of agriculture-related studies scholarships to support the research and work of in the region. students and professors who are and will be industry leaders in agriculture. In addition to funding their Korea studies, we also seek to build relationships with these In 2008, we established a partnership with Pukyong National University's (PKNU) College of Fisheries Sciences (www.pknu.ac.kr) in Busan, Korea. Through Scholars and offer opportunities for many of the this program with PKNU, we are supporting aquaculture students who have participants to work with us as interns in our research demonstrated promise in areas associated with nutrition, metabolism, growth, facilities around the world. We can learn from their development, health and disease in aquaculture. research and they can benefit from our industry Mozambique experience and relationships. In some cases, these Last year, we became the first private-sector company to sponsor the African Scholars become Novus employees, customers or Women in Agricultural Research and Development (AWARD) program suppliers. (www.genderdiversity.cgiar.org), which seeks to advance the careers of African women. We invite you to learn more about the AWARD program in the Civil Society section, later in this report. Goals for the program include: Thailand • Encourage students in animal agriculture to In 2009, we established a relationship with the Department of Animal Science, develop strong research programs and gain Faculty of Agriculture at Kasetsart University (www.ku.ac.th) in Thailand, where an international perspective on agriculture. we award a scholarship to a student working on a Master’s degree in Poultry Nutrition. This student is also given the opportunity to participate in an internship at our research headquarters. • Build relationships with professors and students who are and will be the future leaders in agriculture. Vietnam In 2008, we funded the construction of a 1,000-square-meter Aqua Research Facility at Nong Lam University Campus in Ho Chi Minh City. We fund two • Establish a technical collaboration network scholarships through this program. to help us develop solutions relevant to our customers in diverse regions of the world. United States At the University of Arkansas (www.uark.edu), we have endowed a Chair in Poultry Science. The professor appointed to that Chair works with visiting scientists from other universities throughout the world and teaches graduate- level courses related to nutrition and metabolism. At Auburn University (www.auburn.edu), we award a scholarship to a GRI: 2.9 and 4.12 graduate student and provide that student with a paid internship at Novus. | 30
  • 31. Career Development and Placement Programs Novus Matching Gift Program We actively engage with organizations, industry and In addition to volunteering time to non-governmental organizations, our academia to support the career development of talented employees also make financial contributions. To encourage our employees students and develop channels for recruitment. to become engaged in civil society and to give back, we have established the Novus Matching Gift Program. Through this program, the company matches, dollar-for-dollar, contributions to qualifying local and global causes. Below are a few examples of organizations that have received support from the The mission of the Missouri Colleges Fund is to acquire Novus Matching Gift Program: resources to help educate students in member private liberal-arts colleges and universities, comprised of a 16-school network. Novus has established science-specific scholarships within the fund. During our two years of program participation, Meds & Food for Kids (MFK) is a St. Louis based non-profit organization with operations in Haiti since Novus has hosted a “Science Day” for scholarship 2003. In response to the earthquake in Haiti, Novus partnered with MFK to help raise donations and participants. On “Science Day,” students are introduced to distribute “Medika Mamba,” a fortified, peanut-butter-based, ready-to-use-therapeutic food (RUTF) a variety of people working in diverse occupations across to people left hungry after the disaster. For more information on MFK, visit www.mfkhaiti.org our organization and other participating area companies. ® Heifer International helps people change their lives from a state of hunger and poverty into self-reliance and hope. They provide gifts of livestock and training, helping families improve Novus has aligned with Texas A&M’s agribusiness department their nutrition and generate income in sustainable ways. For more information on to establish a joint career placement program. Over the past Heifer International, visit www.Heifer.org year, Novus has collaborated with Texas A&M to provide full-time employment to five graduating students. Novus employees went the extra mile for our 2009 United Way Annual Giving Campaign. We achieved 110% of our goal with an overall participation rate of 87%, with 100% participation from our Little Rock employees. Novus employees volunteered their time to work at the St. Louis Area Food Bank, where they packaged more than 6,000 meals for the hungry. For more information on the United Way, visit IFAMA’s mission is achieved through providing members www.unitedway.org with multiple vehicles for information sharing, knowledge advancement, discussion and debate, networking and career development. IFAMA has established a global network of academic institutions that have agribusiness or related departments. Students are invited to present The Arts and Education Council (AEC), through donations, supports more than 80 non-profit arts and arts education organizations. Every year, the funds generated by the AEC provide more than five million research about agriculture technology and best practice children and adults the opportunity to experience music, theater, dance, film, literary arts, visual arts management at IFAMA conferences around the world. and outreach programs. For more information on the AEC, visit www.keeparthappening.org For a complete listing of Novus Matching Gift Program recipients, visit page 81 in the Appendix. GRI: 4.12 and 4.17 | 31
  • 32. Community must leave school or the workforce, and are not in a position to return until Our Vision for sustainability is global. But in later in life. Because the AWARD program has no age restriction, participating our global reach, we touch specific cities and women have the opportunity to re-engage in and add value to the industry in countries in which we live and work. Reflecting meaningful ways. our triple bottom line, our employees engage with their communities at multiple levels—social, “My goal is to help Mozambique’s farmers produce more poultry economic and environmental (SEE). Novus at a lower cost, raising incomes and increasing food security.” supports employees’ engagement in their –Mena dos Anjos, Novus AWARD Fellow communities through many programs. We have committed ourselves over the next five years to ten externships, Civil Society through which African women will work at our headquarters, another Novus collaborates with partners in civil society Novus facility or with one of our partner organizations such as the Missouri whose work aligns with the Novus Vision, Botanical Garden. Participants will receive mentoring to help them move to Mission and Core Values. We invite you to read the next level in their education. about some of these dynamic and collaborative relationships over the next few pages. In October 2009, we welcomed our first AWARD research fellow, Mena dos Anjos, a Senior Lecturer in Animal Nutrition at the University of Mondlane in Mozambique. Mena holds a Master of Science degree in Veterinary Medicine with a specialization in poultry production and health from the Royal Veterinary and Agricultural University in Denmark. Mozambique is heavily dependent on poultry production. In fact, more than Economic opportunity for women in Africa is a matter of 70% of rural families in Mozambique keep chickens, which contribute to social justice. Almost 80% of the agricultural labor force income and food security. The cost of poultry feed is a challenge for the in Africa is female, but only 10% to 15% of the continent’s people of Mozambique. Mena is working at Novus on a project to enhance agricultural students are female. Last year, Novus locally available dried peas to create a more feasible and low-cost feed became the first private-sector company in the United alternative for poultry. She is collaborating with researchers at Novus to States to sponsor the African Women in Agricultural understand the nutritional balance requirements when utilizing these locally Research and Development (AWARD) program and the available ingredients. first organization to host a U.S. placement of an AWARD fellow. AWARD seeks to advance the careers of African When she completes her program here, Mena will return to her academic women in agricultural research. position in Mozambique. She will try to attract more young people from Mozambique to animal nutrition research, and she will apply the research There is no age restriction for the AWARD program. This she worked on at Novus. Her goal is to help Mozambique’s farmers produce is important because the majority of similar programs more poultry at lower cost, raising incomes and increasing food security. restrict participation to women 35 years or younger in age. Due to family responsibilities, many African women For more information on AWARD, visit www.genderdiversity.cgiar.org GRI: 4.12, 4.15, 4.16 and 4.17 Novus International, Inc. Health through Nutrition 2009 | 32
  • 33. milk dependency of calves and enables farmers to bring milk to market. Additionally, farmers gain the ability to raise healthier and more productive replacement heifers. To improve cattle nutrition in Uganda, our scientists developed a dry season supplement that also adds essential minerals and feed quality ingredients to Every country in Africa has unique locally available protein and energy sources. livestock industry challenges that require specific solutions. We are planning to test both programs in additional regions of Africa in the near future. In Kenya, a challenge for farmers is calf mortality. A cow provides a single source of income for many Kenyan families. If a family’s calf lives, it can support them in achieving a sustainable income. Calf mortality impairs the farmers' ability to produce a steady income from selling dairy cows and supplying their local communities with dairy products. In 2009, our President and CEO, Thad Simons, was elected to the Board of Ugandan farmers struggle to provide adequate the Corporate Council on Africa, which has the goal of improving social and nutrition to their cattle during the dry season. economic conditions for the people of Africa by strengthening business In Uganda, longer dry seasons and the increased relationships between African countries and the United States. use of marginal land are compromising health and reducing the production of cattle. It is critical that we empower African nations and farmers, through knowledge sharing and technology, to build the capacity to meet their own requirements for In 2009, a team from Novus traveled to Africa to food. The continent of Africa’s demand for food is expected to greatly increase identify the priorities in these two countries and in the first half of this century. Our involvement with the Corporate Council on to determine how we could contribute. The Novus Africa is one way to collaborate with African farmers and facilitate an exchange team met with officials of the Nairobi-based ILRI of knowledge. and East Africa Dairy Development (established by Heifer International). After investing time in In the fall of 2009, Novus chaired two panels at the Corporate Council on Africa’s both countries to understand the challenges and Biennial Summit. The panelists discussed aquaculture and the role of education circumstances, we engaged our R&D scientists and technology in agriculture. to work towards solutions. For more information about the CCA, visit www.africacncl.org To address calf mortality in Kenya, we developed a nutritionally complete diet that reduces GRI: 4.12 and 4.17 Novus International, Inc. Health through Nutrition 2009 | 33
  • 34. Balancing the Agricultural Bottom Line The WAF, in cooperation with Novus, hosted the first Asia Regional Roundtable on March 8-10, 2009, in Phuket, Thailand. The theme of the Roundtable, “Balancing the Agricultural Bottom Line,” focused on the global and Asia-specific economic impact of the global recession on agriculture. Roundtable attendees were encouraged to discuss the case for creating strategic alliances in the food chain, sustainable practices for agricultural growth and the new paradigm in consumer requirements and food demand. The World Agricultural Forum (WAF) is a policy More than 75 people from 19 different countries participated in the event. neutral and internationally inclusive agriculture and Attendees included government officials, CEOs, academia, NGOs and farmers. agribusiness-driven forum that brings together leaders from private sectors with policy makers and key policy Novus, along with three other participating organizations, presented the influencers to focus on providing food, fuel, fiber and insights and discussed highlights from the event at the WAF’s Sixth Biennial water to the world’s growing population. World Congress on May 18-20, 2009, in St. Louis, Missouri. Based on the success of and interest in the Regional Roundtable model, the WAF plans to For more information about the WAF, visit host future roundtables over the next year in Brazil, China, Uganda and India. www.worldagforum.org More than 75 leaders in agriculture from 19 countries attended the first World Agricultural Forum Asia Regional Roundtable, “Balancing the Agricultural Bottom Line.” GRI: 4.12 and 4.17 | 34
  • 35. OASIS® Helps Protect the Red-Necked Ostrich The largest of three species in the ostrich family, the red-necked ostrich was once abundant in Niger. Like other ostriches, this species’ population numbers are declining due to human Our Arenus division has partnered with the Saint Louis Zoo’s Orthwein environmental interference and predation. Animal Nutrition Center to study the effects of Arenus’s structural health supplement, STEADFAST®. The partnership, in the form of a grant, placed In an attempt to rescue the red-necked a graduate student from the University of Missouri – Columbia with the ostrich from becoming an endangered Saint Louis Zoo for a two-year period. The primary focus of the research species, Novus developed a plan with the is assessing the effects of STEADFAST on enhancing joint health in Saint Louis Zoo’s Saharan Wildlife Recovery various mammals. Center. The Zoo’s Recovery Center is a world leader in combating the extinction of Saharan The importance of animal nutrition and its effects on treating and/or wildlife. preventing health issues is a new undertaking in zoos. The Saint Louis Zoo is a world-class facility and one of only a few in the United States that Upon hatching at the Wildlife Recovery staffs an animal nutritionist and maintains a dedicated nutrition center. Center, red-necked ostriches often face a long trip to the facility where they will grow to adulthood. During this trip, nutrition and For more information about the Saint Louis Zoo, visit www.stlzoo.org hydration are frequently not available for the hatchling. Our OASIS hatchling supplement, originally developed for domestic fowl, is a hydrated nutritional formulation that supports this critical phase of life. OASIS is used during transport from the hatchery to farms to maintain gut health and hydration. Novus is providing OASIS to the Zoo’s Saharan Wildlife Recovery Center. OASIS will benefit the red-necked ostrich, as it has done for chickens, turkeys and ducks in farm environments around the world. GRI: 4.12 Novus International, Inc. Health through Nutrition 2009 | 35
  • 36. Industry Associations We recognize our responsibility to collaborate and cooperate with Recognition other stakeholders in our industry. We participate in a range of Novus is very proud of the meaningful awards and recognition industry associations as a highly effective way to integrate our we have received over the past year. Below are a few examples: Vision into the mainstream of modern agriculture. Below are a few examples of industry associations that Novus employees participate in: In 2009, we proudly became the first company in the feed-ingredient industry to become a member of the Sustainable Agricultural Initiative (SAI) Platform. The food industry established this organization to support agricultural practices and HEROES OF THE PLANET production systems that preserve and promote the efficient use of resources. SUSTAINABLE EMPLOYEE PROGRAMS Awarded to Thad Simons St. Louis Business Journal The Center for Food Integrity (CFI) was established in 2007 to increase consumer trust and confidence in the contemporary U.S. food system. Its primary mission is to promote dialogue, model best practices, address issues that are important to consumers and serve as a resource for accurate, balanced information about the U.S. food system. TOP 50 PLACES TO WORK Awarded to Novus The American Feed Industry Association (AFIA) is the world’s largest organization solely devoted to representing the business, legislative and regulatory interests of the animal feed industry and its suppliers. The program establishes comprehensive standards of excellence that go beyond existing regulations to maximize food and feed safety. RESPONSIBLE CARE ENERGY EFFICIENCY AWARD Awarded to Novus The United States Soybean Export Council (USSEC) represents U.S.-grown soybeans, soybean meal, IP soybeans and soy protein isolates to international markets. USSEC travels the world with partner companies like Novus, educating farmers on the advantages of soybean inclusion into the rations for their animals. For a complete listing of Novus industry association memberships, please visit page 80 in the Appendix. GRI: 2.10, 4.12, 4.13 and 4.14 | 36
  • 37. Economic The basic definition of sustainability is to “keep a process or action going.” Healthy businesses provide livelihoods for families, technologies that improve the quality of our lives and the framework for innovation that will be required to sustain our growing world. Core to our Vision is supporting our customers with products and services that improve and create efficiencies in their business operations. In the fabric of economic sustainability, we are all interwoven, and the strength of one is dependent on the strength of the entire community. GRI: 2.2 and 2.7 Novus International, Inc. Health through Nutrition 2009 | 37