All indicators
Values & Management
Compliance| Internal audits pertaining to corruption and the Social Charter |
| Number | 2006 | 2007 | 2008 | 2009 | 2010 |
| Audits pertaining to corruption | 31 | 40 | 36 | 32 | 34 |
| Audits pertaining to Social Charter topics | -- | -- | -- | -- | 26 |
| Employee training on the Code of Conduct (incl. anti-corruption) |
| Number | 2006 | 2007 | 2008 | 2009 | 2010 |
| Online courses completed | 8.000 | 8.806 | 556 | 6.400 | 8.600 |
The low number of online courses completed in 2008 is attributable to a system changeover.

Products
Research and development expense| Research and development expense |
| EUR million | 2007 | 2008 | 2009 | 2010 | 2011 |
| Pharmaceuticals | 891 | 1.091 | 1.203 | 1.192 | 1.248 |
| Chemicals | 137 | 143 | 141 | 205 | 269 |

Employees
Employee structure| Employees |
| Number | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total employees as of Dec. 31 | 29.999 | 30.968 | 32.800 | 33.062 | 40.562 |
In 2010, the total number of employees increased by 23% over 2009. The change in the number of employees was mainly a result of the acquisition of the life science company Millipore, which Merck completed in July 2010.
| Employees by region |
| Number | 2006 | 2007 | 2008 | 2009 | 2010 |
| Europe | 17.167 | 18.930 | 19.106 | 18.576 | 21.679 |
| there of Germany | 8.734 | 9.097 | 9.431 | 9.562 | 10.340 |
| North America | 2.703 | 2.034 | 2.157 | 2.051 | 4.909 |
| Latin America | 3.767 | 4.054 | 4.370 | 4.272 | 4.546 |
| Asia, Africa, Australasia | 6.362 | 5.950 | 7.167 | 8.163 | 9.428 |
While the numbers of employees declined slightly in Europe, North America and Latin America in 2009 compared with 2008 due to the economic situation, we experienced growth of 14% in Asia, Africa, Australasia. The reason for this was the expansion of the pharmaceutical business in China and India, the acquisition of pigment producer Suzhou Taizhu Technology in China, and the acquisition of the bioscience firm Bangalore Genei in India (455 and 288 new employees, respectively). In North America, the number of employees declined by 4% owing to the closure of the site in Madison, Wisconsin with 243 employees. In Latin America the number decreased by 2%, because two sites – in São Luís and Barra do Corda, Brazil – with a total of 117 employees were divested. In 2010, all regions experienced growth due to the acquisition of Millipore: Europe: 17%; North America: 139%; Latin America: 6%; and Asia, Africa, Australasia: 15%. The greatest increases in the number of employees related to this acquisition were in the following countries: United States (2,712), France (1,323), Ireland (484), India (272), Japan (204), China (188), the Netherlands (153) and Brazil (105).
| Age structure * |
| Number | 2006 | 2007 | 2008 | 2009 | 2010 |
| Under 21 years | 429 | 445 | 413 | 60** | 54** |
| 21 to 30 | 1.438 | 1.518 | 1.564 | 1.368 | 1.441 |
| 31 to 40 | 2.493 | 2.507 | 2.428 | 2.305 | 2.237 |
| 41 to 50 | 2.703 | 2.907 | 3.059 | 3.215 | 3.308 |
| 51 to 60 | 1.413 | 1.532 | 1.571 | 1.620 | 1.743 |
| Over 60 years | 72 | 74 | 92 | 90 | 100 |
| Average age (years) | 39,6 | 39,7 | 39,9 | 41,5 | 41,7 |
* Pertains only to the Darmstadt, Gernsheim and Grafing sites in Germany (around 22% of the employees of the Merck Group in 2010).
** The low number of employees under the age of 21 is due to the fact that since 2009 apprentices are no longer included in the count.
| Working hours |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Full-time employees | 94 | 92 | 94 | 94 | 94 |
| Part-time employees | 6 | 8 | 6 | 6 | 6 |

Employee turnover| Employee turnover |
| 2006 | 2007 | 2008 | 2009 | 2010 |
| Turnover rate* | 1,33 | 1,27 | 1,76 | 1,43 | 0,99 |
* Pertains only to the Darmstadt, Gernsheim and Grafing sites in Germany (around 22% of the employees of the Merck Group in 2010).
The turnover rate is calculated in accordance with the BDA formula: Departures x 100/average workforce in %, adjusted, i.e. excluding departures due to retirement, death, temporary contracts or transfers to subsidiaries (BDA: Federal Association of German Employer Associations).

Basic principles of the International Labour Organization (ILO)| Compliance with ILO labor standards |
| in % | June 30,
2006 | Dec. 30,
2007 | Dec. 30,
2008 | Dec. 30,
2009 | Dec. 30,
2010 |
| Full-time employees (standard contract, excluding exempts) with contractually agreed working hours of maximally 48 hours per week 1 | 95 | 99 | 99 | 99 | 99 |
| Full-time employees (standard contract) with at least 15 vacation days/year 2 | 87 | 93 | 93 | 95 | 94 |
| Women with access to maternity leave programs 3 | 92 | 79 | 89 | 97 | 100 |
| Employees with the right to collective bargaining 4 | 84 | 61 | 78 | 76 | 96* |
| Sites that rule out child labor as defined by ILO Convention 138 | 100 | 100 | 100 | 100 | 100 |
| Age of youngest employee, excluding vocational trainees (years) | 18 | 18 | 17 | 17 | 17 |
1 ILO: Hours of Work (Commerce and Offices) Convention, 1930 (No. 30)
2 ILO: Holidays with Pay Convention (Revised), 1970 (No. 132)
3 ILO: Maternity Protection Convention (Revised), 1952 (No. 103)
4 ILO: Freedom of Association and Protection of the Right to Organise Convention, 1948, (No. 87)
* In 2010, Merck recorded the percentage of employees who principally have the right to collective bargaining. By contrast, in previous years, the percentage of

Local minimum salary| Local minimum salary |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Percentage of sites guaranteeing a minimum salary above the local minimum salary | 99 | 92 | 94 | 94 | 100 |

Occupational safety| Workplace accidents |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Lost Time Injury Rate (per 1 million working hours) | 6,9 | 4,7 | 3,9 | 3,4 | 3,0 |
| Number of deaths | 0 | 3 | 1 | 0 | 1 |
When the indicators were determined, Merck employees were recorded. Supervised employees of external companies and independent contractors are not taken into account.
The LTIR has been continually reduced through targeted measures in the area of accident prevention (e.g. training and campaigns to strengthen the safety culture). In 2008, one fatality resulted from an explosion at the Darmstadt site. In 2007 and 2010, a total of four sales force members in Venezuela and Colombia were killed in car accidents.

Continuing education and training| Employee training expenses |
| EUR | 2006 | 2007 | 2008 | 2009 | 2010 |
| Average training costs per employee | 1.103 | 1.643 | 1.064 | 1.102 | 1.152 |
| Apprentices |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Percentage of employees who are apprentices* | 6,2 | 5,7 | 5,6 | 5,7 | 5,9 |
* Pertains only to the Darmstadt, Gernsheim and Grafing sites in Germany (around 22% of the employees of the Merck Group in 2010).

Diversity in the workforce| Women by business sector and Group function |
| in % | Pharmaceuticals | Chemicals | Group function |
| Percentage of women | 47 | 33 | 21 |
| Ratio of men and women |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Percentage of women | 41 | 42 | 42 | 43 | 43 |
Percentage of women in management positions
(grade 14 and higher)* | Not
recorded | Not
recorded | Not
recorded | 17 | 22 |
* The figures do not include the employees of the Millipore Corporation acquired in July 2010, since the Global Grading system has not yet been implemented there.
| Internationality |
| 2006 | 2007 | 2008 | 2009 | 2010 |
| Number of nationalities* | Not
recorded | Not
recorded | 117 | 111 | 128 |
Number of nationalities in management positions
(grade 14 and higher)* | Not
recorded | Not
recorded | Not
recorded | 56 | 55 |
Share of non-Germans in management positions
(grade 14 and higher)* in % | Not
recorded | Not
recorded | Not
recorded | 58 | 57 |
* The figures do not include the employees of the Millipore Corporation acquired in July 2010, since the Global Grading system has not yet been implemented there.
| Employees with disabilities |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Employees with disabilities* | 3,8 | 3,8 | 4,2 | 4,0 | 3,6 |
* Pertains only to the Gernsheim and Grafing sites in Germany (around 22% of the employees of the Merck Group in 2010).

Benefit obligations| Long-term benefit obligations |
| EUR million | 2006 | 2007 | 2008 | 2009 | 2010 |
| Present value of all benefit obligations on December 31 | 1.607 | 1.666 | 1.586 | 1.878 | 2.356 |
| Retirement pensions |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Pension expenses EUR million | 97 | 122 | 93 | 98 | 132 |
| Percentage of employees who are obliged to contribute to the statutory pension system | 71 | 80 | 87 | 90 | 89 |
| Percentage of employees in a company pension plan (also in addition to the statutory pension plan ) | 80 | 66 | 70 | 67 | 68 |
| Percentage of employees whose dependents are entitled to a surviving dependent’s pension | 46 | 43 | 71 | 67 | 71 |
| Benefits in the event of illness |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Percentage of employees with company accident insurance | 94 | 90 | 99 | 97 | 100 |
| Percentage of employees with statutory health insurance | 72 | 77 | 82 | 78 | 88 |
| Percentage of employees with employer-funded health insurance | 94 | 81 | 82 | 82 | 88 |

Reconciling the demands of a career and a family| Working hour regulations* |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Percentage of part-time employees | 10,6 | 10,7 | 10,9 | 10,9 | 11,2 |
| Employees on parental leave as of Dec. 31 (number) | 211 | 221 | 234 | 162 | 426 |
| Share of employees who work during parental leave | 35 | 42 | 38 | 40 | 34 |
* Pertains only to the Darmstadt, Gernsheim and Grafing sites in Germany (around 22% of the employees of the Merck Group in 2010).

Environment
Energy consumption by primary energy sources| Direct and indirect energy consumption* |
| in GWh | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total energy consumption | 1.489 | 1.492 | 1.480 | 1.352 | 1.474 |
* portfolio-adjusted
In accordance with the Greenhouse Gas Protocol, the total energy consumption for all previous years (until 2006 as the baseline year) was adjusted retroactively based on the current corporate structure of reporting year 2010 and for acquisitions and divestments of companies or businesses (portfolio-adjusted). The Millipore data are integrated in the figures for the years 2006-2010.
In 2010, the total energy requirement rose by nearly 9% compared with 2009. This can be attributed to the commissioning of new plants and higher production volumes.
| Purchased energy* |
| 2006 | 2007 | 2008 | 2009 | 2010 |
| Gas in millions of m³ | 77,9 | 75,8 | 79,0 | 72,7 | 78,2 |
| Light heating oil in kt | 7,8 | 9,5 | 8,8 | 6,7 | 8,6 |
| Heavy heating oil in kt | 0,7 | 0,9 | 0,6 | 0,2 | 0,3 |
| Electricity in GWh | 533 | 536 | 513 | 472 | 511 |
* portfolio-adjusted
In accordance with the Greenhouse Gas Protocol, purchased energy for all previous years (until 2006 as the baseline year) was adjusted retroactively (portfolio-adjusted). The Millipore data are integrated in the figures for the years 2006-2010.

Greenhouse gas emissions| Direct and indirect CO2eq emissions* (eq= equivalent) |
| in kt | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total CO2eq emissions | 553 | 611 | 528 | 505 | 574 |
| Direct CO2eq emissions | 321 | 374 | 307 | 304 | 352 |
| Indirect CO2eq emissions | 232 | 237 | 221 | 201 | 222 |
* portfolio-adjusted
In accordance with the Greenhouse Gas Protocol, greenhouse gas emissions for all previous years (until 2006 as the baseline year) were adjusted retroactively (portfolio-adjusted). The years shown, 2006-2010, include the Merck Millipore data.
In 2010, greenhouse gas emissions rose by 14% compared with 2009. In addition to energy-related emissions, these figures include process-related emissions, which occur especially in the production processes of Millipore Corporation acquired in July 2010. The increase in direct and indirect emissions by 16% and 10%, respectively, can be attributed to the increase in production.

Other relevant greenhouse gas emissions| Other relevant CO2 emissions |
| 2006 | 2007 | 2008 | 2009 | 2010 |
| From air travel* in kt | Not
recorded | Not
recorded | 35 | 34 | 29 |
| From rail travel** in t | Not
recorded | Not
recorded | 147 | 138 | 160 |
* Recorded globally (around 70-85% coverage). Since 2010, the AirPlus Information Manager Green Report calculation module has been used to track and analyze CO² emissions related to air travel.
** Recorded for Germany. The data are provided by Deutsche Bahn AG.

Other air emissions| Emissions of ozone-depleting substances |
| in t | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total emissions of ozone-depleting substances | 0,8 | 1,1 | 1,3 | 0,8 | 0,7 |
| Other air emissions |
| in kt | 2006 | 2007 | 2008 | 2009 | 2010 |
| VOC (volatile organic compounds) | 1,8 | 1,9 | 1,9 | 0,2 | 0,2 |
| Nitric oxides | 0,3 | 0,2 | 0,2 | 0,1 | 0,1 |
| Sulfur dioxide | 0,07 | 0,03 | 0,05 | 0,03 | 0,03 |
| Dust | 0,02 | 0,02 | 0,02 | 0,02 | 0,02 |
Overall, the level of air-polluting substances emitted by the companies of the Merck Group is low. The sharp reduction in VOC emissions in 2009 was due to the divestments of the Brazilian sites in Barra do Corda, São Luís and Terra Rica.

Water consumption| Water |
| in millions of m³ | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total water consumption | 17,6 | 20,0 | 21,1 | 15,9 | 17,9 |
| Surface water (rivers, lakes) | 6,3 | 10,8 | 11,3 | 7,6 | 8,7 |
| Groundwater | 6,4 | 5,8 | 6,4 | 5,4 | 5,4 |
| Drinking water supply | 4,8 | 3,4 | 3,4 | 2,9 | 3,8 |
| Rain water and other sources | 0,02 | 0,02 | 0,02 | 0,02 | 0,02 |
In 2009, total water consumption decreased by 25% compared with 2008. This is explained by a general decline in production. In 2010, total water consumption increased by 13% compared with 2009 due to the increased production volume. In addition, Merck Millipore’s water consumption was included in 2010 for the first time. Furthermore, the volume of surface water that is used at Merck Serono in Geneva to generate energy increased.

Wastewater| Wastewater |
| 2006 | 2007 | 2008 | 2009 | 2010 |
| Total wastewater volume in millions of m³ | 8,3 | 8,2 | 9,3 | 8,9 | 10,2 |
| Chemical oxygen demand COD in t of O2 | 1.789 | 1.846 | 1.441 | 745 | 993 |
| Phosphorus in t | 7,6 | 9,6 | 8,7 | 5,8 | 8,7 |
| Nitrogen in t | 55,2 | 52,3 | 51,5 | 47,9 | 61,5 |
| Zinc in kg | 653 | 525 | 703 | 808 | 283 |
| Chromium in kg | 33 | 32 | 31 | 18 | 20 |
| Copper in kg | 42 | 28 | 30 | 38 | 40 |
| Nickel in kg | 60 | 52 | 50 | 38 | 39 |
| Lead in kg | 52 | 48 | 45 | 32 | 38 |
| Cadmium in kg | 9 | 15 | 9 | 8 | 10 |
| Mercury in kg | 1 | 2 | 2 | 1 | 1 |
| Arsenic in kg | 9 | 5 | 7 | 8 | 7 |
The wastewater volume increased by 15% in 2010 compared with 2009. This can be explained by the increase in water consumption. The chemical oxygen demand (COD), a water pollution indicator, decreased by 48% in 2009 due to the divestment of a site in Brazil. In 2010, the COD increased by 33% compared with 2009. This primarily resulted from the integration of the Millipore sites.

Waste| Waste |
| in kt | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total waste | 188 | 189 | 215 | 162 | 193 |
| Recyclable waste | 100 | 107 | 137 | 96 | 120 |
| Hazardous waste disposed | 52 | 52 | 56 | 45 | 47 |
| Non-hazardous waste disposed | 37 | 30 | 22 | 21 | 27 |
| Recycling rate in % of total waste | 53 | 57 | 64 | 59 | 62 |
The 25% decrease in the amount of waste in 2009 was due in part to the general decline in production. In 2010, the amount of waste generated in the Merck Group rose by 19%. The reason for the increase was the higher production volume due to the improved economic situation, an increase in the waste produced as a result of construction and remediation measures, and the inclusion in the figures of waste from the acquired Millipore sites.
In 2010, 46% of the total amount of waste was excavation, construction and demolition waste (2009: 47%). In 2010, we determined that when recording the data, excavation waste that was recycled at landfills (surface cover and design) was classified as waste for disposal instead of as waste for recycling. The figures were therefore corrected retroactive to 2006. In 2009 and 2010, waste totaling 17.5 and 20 kt, respectively, was converted into energy.

Transport of finished products| Means of transport* |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Truck | Not
recorded | 68 | 63 | 60 | 193 |
| Ship | Not
recorded | 29 | 32 | 35 | 36 |
| Plane | Not
recorded | 3 | 5 | 5 | 6 |
* relates to goods shipped from German sites

Spending on environmental protection, health and safety| Spending on environmental protection, health and safety |
| EUR million | 2006 | 2007 | 2008 | 2009 | 2010 |
| Spending | 115 | 122 | 131 | 131 | 140 |

Society
Social commitment| Spending on social commitment |
| EUR million | 2006 | 2007 | 2008 | 2009 | 2010 |
| Total expenses | Not
recorded | Not
recorded | 5,3* | 6,2 | 6,9 |
| Spending on social commitment by region* |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Europe | Not
recorded | Not
recorded | 52 | 56 | 29 |
| Asia, Africa, Australasia | Not
recorded | Not
recorded | 31 | 15 | 37 |
| Latin America | Not
recorded | Not
recorded | 13 | 18 | 17 |
| North America | Not
recorded | Not
recorded | 4 | 11 | 17 |
| Focus of social commitment* |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Aid to socially disadvantaged people | Not
recorded | Not
recorded | 41 | 33 | 35 |
| Support of education and natural sciences | Not
recorded | Not
recorded | 23 | 19 | 21 |
| Support of culture and sports near our sites | Not
recorded | Not
recorded | 20 | 15 | 14 |
| Disaster aid | Not
recorded | Not
recorded | 5 | 6 | 3 |
| Other | Not
recorded | Not
recorded | 11 | 27 | 27 |
* excluding lighthouse projects, basis: number of projects

Motives of commitment| Motives of social commitment |
| in % | 2006 | 2007 | 2008 | 2009 | 2010 |
| Charitable activities | Not
recorded | Not
recorded | 57 | 58 | 56 |
| Company investments | Not
recorded | Not
recorded | 27 | 23 | 24 |
| Community investments | Not
recorded | Not
recorded | 16 | 19 | 20 |
Basis: time and money spent
We assign the motives of our commitment to criteria based on the model established by the London Benchmarking Group (LBG) and on the Bertelsmann Foundation’s guideline for the social commitment of companies. Projects that primarily aim to make improvements within the community are categorized as community investments. Projects that are mainly intended to have an impact on company-relevant factors such as image or employee acquisition are categorized as company investments. Charitable activities include all other projects that benefit a charitable organization, but cannot be assigned to either of the other two categories due to their limited scope or absence of reliable data.
