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"At Sainsburys we will deliver an ever improving quality shopping experience for our customers, with great product at fair pr.ices. We will exceed customer expectations for healthy, safe, fresh and tasty food making their lives easier every day:'

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Partnership Developments
At Urmston, Sainsburys are working with Manchester based Developers, ASKto provide a new 33,000 sq.ft sales area foodstore, library and Conservative Club replacing an existing rundown shopping centre in the heart of the town. The project is about to start on site and is due to be completed in March 2009. In Penrith, Sainsburys and local Developer, Lowther Manelli are working closely on a major redevelopment of the town centre which will provide a new 40,000 sq,ft sales area store, with deck car park, associated small retail units with residential above and new offices. Due to be completed in early 2010, this project will transform the centre of this historic town creating a modern shopping facility for both local residents and visitors.

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Urmston

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Partnership Developments

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Sainsburys and CTP St James, Manchester have recently been selected by Ellesmere Port & Neston Borough Council to act as preferred Developer for a LocalAuthority owned town centre site in Neston providing a new 19,500 sq.ft sales area foodstore with residential above, car parking, community facilities and a customer restaurant overlooking a new town centre square. At Westhoughton near Bolton, Sainsburys are working closely with Developer, Peveril Securities Limited and Westhoughton Cricket Club to provide a relocated community and cricket facility and a new 30,000 sq.ft sales area foodstore incorporating a number of sustainable elements in response to the Local Council's current planning policies. Although a smaller scale scheme than the Walton Park proposal, this is another good example of Sainsbury's commitment to working with the local community in order to bring jobs for local people, as well as new choices for customers.

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Aerial Location Plan

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Proposed Site Layout
ALLOTMENTS

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Investing in Communities
Eachof our stores playsan important role in its localcommunity is where our customers and our colleagues live and where our reputation is made or lost. We aim to make sure we are good neighbours, welcomed for our contribution to the community and for our efforts to make sure we minimise any disturbance. This is the role we would want to play in Liverpool.

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Active Kids We first launched Active Kidsin March 2005 as our contribution to improving the vitality of young people in our communities. It is a campaign to help inspire school children to take more exercise. We committed to donate over £7 million to the campaign during 2005/06. ByMay 2005 around 80% of UKschools had registered with the scheme. Building on the success of the first wave we relaunched Active Kids again this year. We now have over 80% of all UK primary and secondary schools registered with the Active Kids voucher programme - over 30,000 schools! Active Kids aims to increase fitness levels, particularly among children who are put off sport by the traditional curriculum. It is championed by double Olympic winner, Dame KellyHolmes.

Sport Relief Sport Reliefrunsevery2 yearsand is organised byComicReliefinassociation
with BBC SPORT.

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Store managers and colleagues play an active role formally and informally - in both the business community and broader social activities. We also make a positive economic contribution to communities, bringing jobs for local people as well as new choices for customers.

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The campaign runs during May to July and is promoted during major sporting events culminating in a night of sport and entertainment broadcast on BBCONE.

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Examples of our current programmes for communityengagement at stores includes: Town Centre Management Active Kids

Sainsbury's has teamed up with Sport Relief to make it easy for customers to make a difference with the Sainsbury's Sport Relief Mile which will see tens of thousands of people simultaneously going the distance and helping to raise cash for the poorest and most vulnerable people in the UKand internationally.

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Sport Relief Wheelof Health Tasteof Success LocalHeroes

The Sport Relief Mile in 2004 attracted 81,000 milers including Princes William and Harry and Prime Minister Tony Blair and everyone from teenagers in trendy trainers to families in fancy dress.

Town Centre Management
We operate a comprehensive programme of town centre support, providing help and advice to about 100 town centre management schemes in 2004/05,40 of which benefit from Sainsbury's funding. Store managers are encouraged to participate in town centre management, and many sit on the board or steering groups of town centre partnerships. Ifselected, wewould playan active part in ensuring high standards in town centre management. "

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Investing in Communities
Wheel of Health
We know health is very important to all our customers and although they may be trying to reduce their calorie intake, they may not be aware of the balanced picture including fat and salt content of foods. One of the key barriers for our customers is lack of time to assimilate complicated information on food packaging. Consequently, we have developed our Wheel of Health labelling to give our busy customers key facts, presented in a way which helps them make healthier choices at a glance. Since we introduced our wheel of health 80% of customers Taste

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Local Heroes
We are very proud of our many 'local heroes' who volunteer to raise money for good causes and local charities. We believe it is important to recognise and reward these efforts through our Local Heroes Scheme. Under this initiative a colleague who volunteers their own time supporting a charity or good cause will receive up to £200 for their charity or community group or £500 where more than one colleague is involved. Examples of the types of schemes supported Heroes include: through Local

Our Taste of Success programme aims to help children learn about food and nutrition. It is an educational initiative run in partnership with the British Nutrition Foundation and the Design & Technology Association. The scheme operates as part of the national curriculum courses on food technology, and has a special component linked to Design & Technology Week. It includes food awards, teacher training sessions and an interactive website. We provided £78,000 in funding in 2004/0S. Our target is to increase the number of schools participating in the programme by 25% each year. We beat that target only halfway through the school year. By the end of March, 2,722 schools had registered.

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Any activity associated with Active Kids or Taste of Success School governors, school projects, kids play schemes Sports across all age groups, including coaching and disabled sports All youth organisations (cubs, scouts, guides) and clubs for the disabled Fundraising for causes related to health (cancer, heart disease, etc)

surveyed are already making changes in their shopping choice as a result.

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Respect for our Environment
Corporate responsibility is at the heart of what we do at Sainsburys. Fiveprinciplesunderpin our activities: . Bethe best forfood and health

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Showrespect for our environment
Source with integrity
Make a positive difference to your community

We work with others in cross - industry and multi - stakeholder organisations. For example, we are the only food retailer that is a Foundation Corporate Partner of Forum for the Future, as well as being members of the Ethical Training Initiative, Business in the Community, the London Benchmarking Group and the Green Alliance.

At Sainsbury'swe recognise that we need to act responsibly in managing our impact on a range of stakeholders customers, colleagues, communities, investors, suppliers and the environment. Corporate responsibilitygoes beyond our commercialperformancebut is not separate from it. It isintegral to our businessand to what we stand for,as set out in our goals and values.

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We recognise that our engagement with stakeholders goes beyond our 16 million customers, 153,000 colleagues and our many suppliers and investors. The organisations we seek to engage actively with range from those that can have an impact on our business, such as Government, politicians and regulators, to those whose views are relevant to the way we run our business, such as non - governmental organisations, charities, trade unions and trade associations. Developing and building relationships with a range of stakeholders helps us to understand issues, develop our business and manage risks better. Inevitably, we will not always agree with the views expressed, nor will we change our policies unless we believe that would help us serve our customers. But we will always listen. To help us to do the right thing we work with a number of expert organisations including the Marine Stewardship Council, Carbon Trust, Soil Association, Fair Trade Foundation, Woodland Trust, British Nutrition Foundation, British Diabetic Association, and the Forest Stewardship Council. We also meet regularly with organisations such as Greenpeace and have found those discussions helpful in alerting us to issues of concern where we can share views and expertise.

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Respect for our Environment
Sustainability
Every business decision we make needs to have sustainability at its core. Yet whilst some objectives such as reducing waste or optimising energy efficiency are clear, others, such as reconciling the environmental costs of global sourcing with the socioeconomic benefits of global trade, are not. Everything we do has an impact on the environment. Understanding the connections between the business decisions we make regarding, for example, customer service, colleague training, store design or product sourcing, helps us to minimise that impact. Independent Greenest Company Awards 2007 Liveable City Awards 2006 In 2006 Sainsbury'swere recognised as one of the heroes in sustainable development by being crowned the winner in the category for Climate Change.

Sustainable Construction Sainsbury'sare committed to building stores that have a low impact on their environmentand willdo this through intelligent design, sustainablesourcingof materials,efficientuse of energy and resourcesand site waste reduction programmes. The need to consider energy efficiency and to incorporate renewable technologies from the outset is understood by Sainsbury's development teams and the developers that
Sainsbury's partner in bring projects forward.

In 2001, Sainsbury'sadopted a corporatetarget to delivera 10% cut in carbon dioxide emissions. Through a comprehensive programme,which involvedboth innovativetechnical solutions and the buy in and involvementof colleagues at every level, Sainsbury'snot onlymet this target, but doubled it.
The company has saved a tonnage equivalent to the amount of greenhouse gases produced by all of London's homes, businesses and transport for one day every year. Bymanaging this aspect of the business, Sainsbury's realised over £8 million worth of savings and have set the benchmark for competitors to follow. Sainsbury's also received a highly commended accolade for the category of Resource Conservation. Sainsbury's comprehensive programme is set within the context of a group wide, holistic approach to addressing resource use, which incorporates issues as diverse as sustainable wood sourcing and sustainable fish. By taking a leadership role on these issues, judges felt that Sainsbury's were worthy recipients of the Outstanding Achievement award in this category.

Looking Ahead Sainsbury'sare committedto addressingsustainabilityacrossthe
whole estate and will:

In June 2007,Sainsbury'swere voted the Greenest Supermarket in the 'Independent Greenest Companies' awards. We were ranked as the seventh greenest company in Britain,ahead of any other supermarket. Thejudges recognisedour workon organicproduce and our commitment to sustainable fishing and local sourcing. We also won an Ethical Award from 11IeObserver the Observer magazine for the launch

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Observer readerswho ranked us top among the supermarkets.

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Reduce carbon emissions per sq metre by 5% by April 2008 against an 04/05 baseline (having already reduced emissions by 20% from 1997/8 to 04/05); Reduce waste sent to landfill by 10%against the 04/05 baseline by2010; Continue to work closely with the Carbon Trust; Reduce overall packaging by 5% by 2010 against an 04/05 baseline;
Continue to work to transport products more efficiently; recycled water in

Make the best use of rainwater

and other

store, depots and offices;
Aim to achieve an Excellent BREEAMtarget for new construction

projects.

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Respect for our Environment
Sourcing with Integrity
Our supermarketsare part of a long and complexsupply chain. At every stage there are responsibilities that we take very seriously.Sourcingwith integrityis important to our customers, communities,colleaguesand investors. Our customers increasinglywant local.often organic, produce. They want to know that animals providing meat and eggs have been treated well. Supporting farmers and helping them to meet these demands is part of our long-term approach to sustainableand profitablesourcing.Wealsohavea long-standing commitmentto animalwelfare. 'Fairtrade'
In January 2006 we increased our support ofthe Fairtrade Mark by moving the majority of our rose sourcing to Fairtrade. The move made Sainsbury's the biggest retailer of Fairtrade products sold through major retailers. Five of our in-store restaurants are now serving Fairtrade coffee to trial customers reactions. We introduced many new products such as UK's first Fairtrade baby s food. In February2006we placedthe UK's inglelargest Fairtade cotton order for 200,000T-Shirtsin support of our sponsorship of Sport Relief.We also hit record sales of over £1 million during Fairtrade fortnight in March 2006, a 70% increase on 2005. We also encourage local producers and support British farmers. Our customers increasingly voice a preference for local fresh produce and produce from sustainable or organic sources. Buying from smaller suppliers can also stimulate the local economy. We sold over £6 billion of British products in our stores last year. Encouraging local producers is therefore a key part of sourcing strategy and we currently stock 3,500 locally produced products. Our commitment to sourcing from the UK wherever possible led us to launch our 'Farm Promise' milk, which will help British farmers convert to organic milk, which is forecast to continue outstripping UKsupply. This is the first time a major retailer has worked directly with farmers to encourage them to move to organic. We have committed to working with the farmer for a minimum of three years and three months the longest-term milk contract between retailer and farmer in the industry. Farmers' costs for converting are being fully covered by a 5p on pack contribution - part of the sales price.

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In 2006 we launced an innovative new scheme to make it easier for small and medium-sized suppliers to gain business access to our stores and make their local products available to more customers. The scheme, named 'Supply Something New..:and piloted in May 2006, saw top representatives from the supermarket take to the road every two months in a search for new, innovative, large and small UKsuppliers. We already use a network of over 3,500 small, local producersand are looking to increasethis number over the coming year.

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Working with the Community
Make a positive difference to the Stockport

Community
Sainsbury's helps to create sustainable communities through imaginative new store development in areas in need of quality retail provision. We work closely with Local Authorities to provide food stores of appropriate scale and design for each location, and consult widely on our proposals. We have a great track record of opening stores in high streets and local centres, and investing in mixed-use regeneration scheme across the UK. Our aims are to deliver attractive stores that provide longlasting social, environmental and economic benefit for their communities. We are able to tailor our stores to each community Sainsbury's stores aren't formulaic. Every new store is designed with local conditions in mind and our proposals evolve during the planning process in response to feedback from local stakeholders and community groups. We believe we have something to offer to every community. Our convenience shops cater for busy urban locations and small centres where larger stores are not appropriate. Our larger food stores serve wider catchments and larger centres, providing for the weekly shop. All of our most successful schemes come about as a result of working partnership with our stakeholders. In Liverpool this would include local residents and community groups, officers and members of the Local Authority and of course dovetailing the scheme into the overall masterplan that the Authority is promoting. Wetake a consultative approach to development and aim to bethe best retailer to work with in terms of our long-term commitment to communities, the quality of our scheme, the integrity of our people and the fairness of our approach.

Our customers expect fully stocked shelves and our desire to meet this demand can occasionallyleadto surplus food product in our stores. The good news is that we don't dispose ofthis food, but instead willgive it away free to groups that help the homeless and less advantaged in society, such as the Salvation Army and FareShare. We also donate surplus food to animal charities and zoos where a suitable human charity isn't available. All of our stores have a local donations budget and a charity collection box, to support local good causes.

Be a great place to work - Our People There'sa realbuzzabout workingat Sainsbury's, ut beinga great b place to work has always been part of our heritage. This is why we have more colleagueswithover25 years'servicethan almost any other business in the UK.Each year, nearly 1,000 of our colleagues pass this milestone. Bycombining this experience with new talent we believe we've got the best retail team in the industry. We employ over 153,000 people, create thousands of new jobs across the UKevery year in a wide variety of careers and always aim to recruit locally. We have been accredited investors in People status in recognition of the training opportunities available to all colleagues.

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Contacts
CLIENT
Sainsburys Supermarkets Ltd 33 Holborn London 2HT EC1N Chris Templeman - Property Development Tel:0207695 7367 Mobile: 07836 239176 Email:chris.templeman@sainsburys.co.uk
Sue Willcox -Town Planning &Transportation Tel: 0207695 7733 Mobile: 07836 762562 Email: sue.willcox@sainsburys.co.uk

DESIGNTEAM
ARCHITECT Hadfield Cawkwell Davidson 17 Broomgrove Road Sheffield S102LZ
Contact: David Peel Tel: 0114 266 8181 Mobile: 07768 670027 Email: dapeel@hcd.co.uk
PLANNING

Turley Associates The Chancery, 58 Spring Gardens Manchester M21EW
DEVELOPMENT CONSULTANT

NHR Chartered Surveyors 4 Norfolk Street

Manchester M21DW
Contact: Nick Ratcliffe Tel:01618341234 Mobile: 07786 850370 Email: nick@nhrcs.co.uk

Contact: Bob May Tel:01618311300 Mobile: 07718589452 Email:bmay@turleyassociates.co.uk

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