To our stakeholders:

I am pleased to confirm that Lunner Produkter AS its support of the Ten Principles of the United Nations Global Compact in the areas of Human Rights, Labour, Environment and Anti-Corruption.

In this annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channels of communication.

Sincerely yours,

Håkon Skjervum CEO

Declaration of Support:
Lunner Produkter AS supports the principles stated in the Universal Declaration of Human Rights and ensures that all their employees abide to the same principles.
All health and safety regulations required by the Norwegian law and European Union Directives are strictly followed.
Labour relations comply with the Norwegian law and European Union Directives.

Internal Code:
All employees, partners, business associates and contractors may not be complicit with any human rights abuse.
Any employee who detects a potential Human Rights abuse should report it to the management. This is done without revealing the source of the report.

Assessment of Human Rights Risk:
In general the Human Right related risks are low, considering our Human Rights Compliance Assessment.
However, being Lunner Produkter AS a company that works all over the world we are constantly assessing our potential risks in individual projects.

Goals:
To maintain the zero abuse record we have achieved.

Anonymous abuse report system - Employees reporting abuse are maintained anonymous.
Assessment of the Human Rights Risk using the Human Rights Compliance Assessment Quick Check guidelines.
The management team is accountable for executing company policy regarding Human Rights.

If any abuse is detected the following procedures are to be followed:
Employees - An internal investigation is initiated and if the abuse is proved can result on the termination of the employee's contract.
Partners, business associates and contractors - Upon confirmation of the abuse, the business relationship is terminated and the entity black-listed for all future business.

Company implemented a Risk Assessment Tool based on the Human Rights Compliance Assessment Quick Check guidelines.
No incidents have been reported in this period.
Every 24 months company policies are reviewed by the management team.

Declaration of Support:
Lunner Produkter AS fully supports the principles stated in the ILO Declaration on Fundamental Principles and Rights at Work.

Human Resources Policy:
Company's Labour policies are compliant with International Labour Organization Declaration on Fundamental Principles and Rights at Work.
"No discrimination" policies are implemented in the company.
Discrimination abuses must be reported by employees.
Anonymous abuse report system is in place.

Assessment of Labour-related risk:
Labour-related risks are low in our company operations in Norway.
In the countries where we executed some of our projects the risk is higher, so we have implemented specific policies project execution on higher risk countries.

Goals:
To maintain the zero abuse record

Anonymous abuse report system - Employees reporting abuse are maintained anonymous.
New employees are training on the company labour policies.
All health and safety procedures defined by the Norwegian law are followed.
The management team is accountable for executing company policy regarding Labour.
If any abuse is detected an internal investigation is initiated and if the abuse is proved can result on the termination of the employee's contract.

Company Demographics is a good example of the implementation of the Labour Principles:
Men 48% vs Women 52%.
Management Team: Men 60% vs Women 40%.
Age distribution: Less than 30 years - 35%; 30-40 - 15%; 40-50 - 20%; +50 - 30%.

No labour incidents have been reported in this period.

Every 24 months company labour policy is reviewed by the management team.

Lunner Produkter AS is focused on bettering the environment in and around its company. The internal code of conduct specifies that a focus on environmental issues must be present, and policies on the area has been the main focus area within the past year.

Lunner Produkter AS is implementing the aforementioned policies by working with employee in the area of education,, as well as investing in new energy-saving technology and fully implemented recycling programs.

The environmental performance is measured through setting responsibilities, objectives, operational procedures, monitoring and communication systems. All of these factors are taken into consideration during the internal monitoring efforts and audits. The results are communicated and when necessary awareness programs for employees initiated.

Lunner produkter AS fully supports the UN Convention Against Corruption.

Internal Code:
All employees, partners, business associates and contractors may not be involved in any corruption activities.
Any suspicion of involvement in corruption or fraudulent activities by any company's employee must be reported to the Human Resources Department.
Guidelines on how to deal with bribery and extortion situations.

Fraudulent situations may be anonymously reported by employees.

The Board of Directors is responsible for the Anti-corruption policy of the company.

Any corruption situation detected that involves employees, business partners or suppliers, must be investigated and may lead to contract termination.

No fraudulent or corruption activities were detected during this period.