Sustainability Performance Report - Allergan

Table of ContentsMessage from David E.I. Pyott....................................................................................................................................................2Introduction ................................................................................................................................................................................4Sustainability Program and Reporting Scope, Limitations and Processes ....................................................................................5Sustainability Structure and Reporting Relationships..................................................................................................................52011 – 2015 Allergan Strategic Performance Goals......................................................................................................................6Allergan 2010 – 2020 Sustainability Strategic Vision Goals ........................................................................................................6UN Global Compact Commitments and Performance ...............................................................................................................7Allergan and the Precautionary Principle ..................................................................................................................................10EHS Regulatory Compliance.....................................................................................................................................................10Management Systems ................................................................................................................................................................10Commercial Offices and Distribution Centers Programs............................................................................................................10Risk Assessment Process............................................................................................................................................................11Corrective Action Process..........................................................................................................................................................11EHS Audit Program...................................................................................................................................................................11Supply Chain .............................................................................................................................................................................11Innovation .................................................................................................................................................................................13Impacts, Materiality, Risks and Opportunities...........................................................................................................................14Stakeholder Engagement and Collaborations ............................................................................................................................15Managing Climate Change ........................................................................................................................................................15Energy Consumption.................................................................................................................................................................16Waste Management ...................................................................................................................................................................18Hazardous Waste Management .................................................................................................................................................18Nonhazardous Waste Management ...........................................................................................................................................18Recycling. ..................................................................................................................................................................................18Water Management....................................................................................................................................................................19Waste Water Discharge ..............................................................................................................................................................20COD ..........................................................................................................................................................................................20BOD ..........................................................................................................................................................................................20TSS ............................................................................................................................................................................................20Air Emissions Management.......................................................................................................................................................20Volatile Organic Compound (VOC) Emissions ..........................................................................................................................21Nitrogen Oxide (NOx) Emissions ..............................................................................................................................................21Sulfur Oxide (SOx) Emissions....................................................................................................................................................21Ozone-Depleting Compounds Management..............................................................................................................................21Management of Mercury Compounds.......................................................................................................................................21Hazardous Materials Management ...........................................................................................................................................22EHS Product Design .................................................................................................................................................................22Safety Performance....................................................................................................................................................................23Diversity, Training, Development and Recognition....................................................................................................................24Bioethics ....................................................................................................................................................................................25Corporate Statement on Animal Testing....................................................................................................................................26Patient Resources.......................................................................................................................................................................26Physician Resources ...................................................................................................................................................................27Philanthropy and Citizenship ....................................................................................................................................................27Cost Burden and Health Outcomes ...........................................................................................................................................30Strategy to Improve Access to Drugs .........................................................................................................................................31Biodiversity................................................................................................................................................................................32Recognizing Excellence ..............................................................................................................................................................32Conclusion.................................................................................................................................................................................32Allergan Sustainability Performance Summary Table ................................................................................................................33GHG Verification Statement......................................................................................................................................................342013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT

2013 Allergan Sustainability Performance Report(Covering the Period from January 1, 2012 and December 31, 2012)Allergan, Inc. is a multi-specialty health carecompany focused on discovering, developing andcommercializing innovative pharmaceuticals, biologicsand medical devices that enable people to livelife to its greatest potential — to see more clearly,move more freely, express themselves more fully.Our focus fosters deep engagement with medicalspecialists and we make it our business to listenclosely to their needs so that together we can advancepatient care. We combine this strategic focuswith a diversified approach that enables us to followour research and development into new specialtyareas where unmet needs are significant.In partnership with the medical community, webring scientific excellence and rigor to deliverleading products that improve patient outcomes.And, we go above and beyond this to provideeducation and information, with the highest level ofintegrity, that helps patients to fully understand thechoices available to them and make well-informedtreatment decisions with their doctors. We know weare successful when doctors and patients place theirtrust in our products and our company, when ouremployees excel and when our efforts make ameaningful difference in the lives of the patientsand communities we serve.For more than 60 years, Allergan has been committedto the health, safety, and well-being of thepeople who put their trust in our products. Everyday, we strive to better people's lives in a wide rangeof ways — from developing new treatments forcomplex and disabling medical conditions to offeringscience-based medical aesthetic solutions.Our determination to make a positive contributionextends to not only the people who benefit from ourproducts, but also to our employees and to theglobal community in which we live and work.It remains our goal to ensure that our contributionto science reflects our commitment to safe, healthfulworkplaces, strong communities and responsible,ethical business practices in everything we do, fromresearch and development to sales and marketing.In this introduction, I am highlighting some of ourkey achievements and challenges relating to ourcorporate responsibility. More information aboutthese and other areas of our commitment is providedthroughout this Responsibility section of ourwebsite. You can also read more about our businessenvironment, strategy, goals and performance inour most recent Annual Report and Form 10-Kand about the philanthropic ventures of theAllergan Foundation in its Annual Report.Allergan defines Sustainability as the balance betweenthe competing priorities of economic, socialand environmental responsibilities. To help ensureits overall success, Allergan has established short,medium and long term corporate responsibilitygoals as you will read in the following sections ofthis report. Allergan has and will continue to commitresources and measure performance againstachieving these goals.Allergan has achieved great success with the previouscorporate social responsibility goals set forth inits past three five-year plans and has set some verychallenging long term goals in its 2020 SustainabilityVision. I am proud to report that Allergan is2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT2

achieving these goals as it has done consistently inthe past and strives to continue to do in the future –this is sustainability to Allergan! In 2012, regardingthe Carbon Disclosure Project Leadership Index,Allergan was included for the fourth year. Allerganwas ranked #25 against the S&P 500 companiesand #2 for S&P 500 Healthcare companiesaccording to the Newsweek Green Business rankings.Allergan Energy Star certified the Allergan Pharmaceuticalsfacility located in Waco Texas for thefifth year in a row. Allergan received the EnergyStar Partner of the Year from the USEPA for energyefficiency in 2013 based on 2012 performance.When comparing 2012 with 2011, Allergan achieved the following:• The occupational injury and illness frequency rate was 0.711,• The waste generated was reduced by 5% year over year,• Recycling reached a rate of more than 75% of total nonhazardous waste generated,• Total energy consumption decreased by 3% year over year normalized to sales revenue,• Total water consumption decreased by 2% year over year normalized to sales revenue, and• Total Greenhouse Gas emissions remained flat year over year in absolute terms.Allergan remains focused on sustainable business practices including:• Offering needed products that have environmental health and safety design considerations;• Managing climate change through energy efficiency and carbon footprint reduction;• Continuing to improve operational efficiency, reduce waste and increase recycling;• Providing a safe and healthy workplace for our employees;• Working with our supply chains to improve corporate responsibility performance; and• Enhancing positive community interaction.In conclusion, Allergan has had a long commitment to sustainable business values. We must keep thesecore values in mind in all aspects of our business so that we can maintain the excellent reputation andrespect that we enjoy with our stakeholders and the communities in which we operate.David E.-I. PyottChairman of the Board, President and Chief Executive OfficerAllergan, Inc1. The occupational injury and illness rate is determined by multiplying the total number of injury and illness incidents by 200,000 hours and dividing this bythe total number of hours worked, i.e. an incident rate of 1.00 would be equivalent to 1 incident per 200,000 hours worked.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT3

Introduction2012 proved to be another successful year for Allergan’s sustainabilityprogram. Allergan’s specific performance against the 2012 goals isdescribed following the strategic goals section. Allergan has rapidlygrown again in the past year through the acquisition of threecompanies and through internal “organic” growth. Growth throughacquisition included SkinMedica, MAP Pharmaceuticals andExemplar. These acquisitions will be factored into the performancedata and summaries during the next reporting season in 2013 andcaptured in the 2014 annual sustainability report. The impact of thesenew companies on Allergan’s performance is being assessed.Allergan has also included additional sustainability reporting parameters in thisreport in an effort to increase the transparency of Allergan’s performance. Reportingincludes economic, governance and social parameters as well as environmental healthand safety parameters. Tactical approaches to meeting the desired goals are included.Allergan positions and policies on current sustainability issues are presented. Theseinclude climate change, pharmaceuticals in the environment, water curtailment,packaging management, biodiversity, bioethics, energy independence, life cycle andcarbon footprint approaches, green chemistry, ethnic, age and gender diversity,governance and ethics, supply chain enhancements, strategy to improve access todrugs, cost burden and health outcomes, recognizing excellence, and communitysupport. A GRI in accordance with G3 statement and index are included along withthird-party verification statements. Allergan has continued its work with the UnitedNations Global Compact and will commence work with the Clinton Global Initiativein 2013. All of these programs and initiatives will enhance and expand Allergan’sinfluence on global sustainability.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT4

Sustainability Program and Reporting Scope, Limitations and ProcessesScopeAllergan’s sustainability program involves the business/economic,social and environmental aspects as defined by the GlobalReporting Initiative (GRI) and Allergan’s internal assessment ofvarious risks by the company as well as to the company. Theprograms encompass all aspects of Allergan operations includingresearch and development, production, marketing, sales,customer support, regulatory management, regional andcountry-specific management, joint venture and third-partyventure management, supplier management, and productstewardship through the entire supply chain. Much of thequantitative data presented later in this report generally representsR&D and Global Technical Operations (manufacturing).Changes in scope occur when Allergan acquires new products,processes or businesses which has occurred several times in thepast three years. The scope also changes when products arediscontinued or divested and when facilities or businesses areconsolidated or divested. Programs, performance andreporting are adjusted to account for these changes as theyoccur. Allergan has enlisted Trucost to evaluate its supplychain for greenhouse gas emissions and water consumptionbased on 2011 purchasing data. In addition to this, Allerganhas worked with Ecodesk in 2012 and 2013 to develop a supplychain carbon footprint for Allergan’s business. Allerganjoined the Pharmaceutical Supply Chain Initiative (PSCI) inorder to broaden and leverage supply chain auditing.LimitationsAllergan is including owned or leased locations worldwide inits responses and summaries along with supply chain data forspecified programs. Allergan is including both third-party validatedand certified data and information as well as internaldata which has not been third-party validated or certified.Allergan has included data and information that Allergan feels,based on internal and external risk assessments, are not significantrisks but are required or recommended by various thirdpartiesfor reporting and analysis groups such as SustainabilityAsset Management (SAM), Dow Jones Sustainability Indexes(DJSI), Ethical Investment Research Services, Ltd. (EIRIS),FTSE4Good, Global Reporting Initiative (GRI), Domini 400,Carbon Disclosure Project (CDP), and Innovest. Not all dataare reported if they are not considered significant by thevarious regulatory entities. As with changes in scope, limitationsare adjusted as the scope changes.Data Capture and VerificationEconomic data is captured through various systems and themethodology for capture and management of this data is welldefined and third-party verified by audit. Social and environmentaldata is captured through various methods andmanaged through various systems such as AEIMS, SAP andSharePoint. AEIMS is Allergan’s recently launched sustainabilitydata management system. The system served as thesource for all data charts included in this report. AEIMS isdeveloped and supported by ProcessMAP. The data areverified internally as part of the various audit programs andin some cases as with greenhouse gases and energy verifiedand certified by third parties (ERM-CVS for 2012 vs 2011GHG and energy inventory and data). ERM CVS’s has opinionedthat the reported GHG data set out in Allergan’s 2012vs 2011 GHG inventory report for its global operationallycontrolled facilities are, to a reasonable level of assurance:In conformance with the requirements of the requirements ofthe ISO 14064-1; and free from material misstatements.Reporting CyclesGenerally, reporting of economic, social and environmentaldata is conducted internally quarterly with annual summaryreports generated for the calendar year. Allergan operates ona calendar year basis.Report Content ProcessAllergan generates various reports for economic, social andenvironmental purposes. These reports are defined as statedabove by using internal, regulatory and best practicesrecommended or required by third-party groups.Report ContactDirect all inquiries to Corporate CommunicationsSustainability Structure and Reporting RelationshipsAllergan Sustainability Steering CommitteeAllergan has established a Sustainability Steering Committeewith representatives from the Executive Committee includingthe EVP Global Technical Operations, the EVP GeneralCounsel and Assistant Secretary, the EVP Research and Development,the EVP Human Resources, the Director RDEHSand the Senior Director EHS. This committee meets twice peryear to set policy, direction, goals and metrics, and to evaluateperformance against the goals and metrics established.Sustainability Structure and RelationshipsAllergan has a Senior EHS Director that reports to theExecutive Committee through the Executive Vice President ofGlobal Technical Operations. The Senior EHS Director is responsiblefor coordinating, collecting and developing the SustainabilityReport. The Senior EHS Director also managesthe strategic and daily coordination of EHS activities forAllergan. The Senior EHS Director has three direct reportsthat manage the health and safety, EHS audit programs, andthe security programs for Allergan.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT5

Each manufacturing and R&D facility has an EHS staff thatmanages sustainability initiatives as well as daily EHSactivities for their facilities. The commercial offices sustainabilityinitiatives and activities are managed by local humanresources, quality assurance and finance representatives.An EHS program for the commercial offices and distributioncenters was created and presented in all locations, in order tocapture sustainability information. More details and resultsfor this program can be found in our sustainability page.Economic and social sustainability initiatives and activitiesare managed by several groups depending on their roles andresponsibilities within Allergan.2011 – 2015 Allergan Strategic Performance Goals1. Improve Sustainability Performance• Reduce injury and illness incident rate 75%• Achieve 15% Allergan waste reduction by 2015 using 2010as the baseline• Achieve 15% energy reductions by 2015 using 2010 as thebaseline• Achieve 15% water reductions by 2015 using 2010 as thebaseline• Achieve 15% GHG emissions reduction by 2015 using 2010as the baseline• Achieve 1% point source volatile organic emissionsreduction by 2015 using 2010 as the baseline• Achieve 1% Chemical Oxygen Demand (COD) loadreduction by 2015 using 2010 as the baseline• Increase fleet vehicle fuel efficiency• Purchase 15% green energy by 2015• Increase EHS community interaction2. Integrate Sustainability into Allergan Business• Integrate EHS into product research and development(from concept to production)• Marketing to drive the EHS product initiatives3. Improve Sustainability Accountability• EHS objectives integrated into overall managementobjectives and tied to compensation• Ensure appropriate EHS representation in all regionsAllergan 2010 – 2020 Sustainability Strategic Vision GoalsAllergan has also developed a long range sustainability visionwith strategic goals that will take Allergan through 2020. Thegoals of this plan are described below. Achieving these goalswill stretch the corporation but are considered attainable.1. Improve Sustainability Performance• Establish incident rate goal at 80%• Achieve 50% Allergan waste reduction in absolute terms by2020 using 2005 as the baseline• Achieve 50% energy and water reductions in absolute andnormalized to square footage, production and sales terms• by 2020 using 2005 as the baseline• Achieve 50% GHG emissions reduction in absolute termsby 2020 using 2005 as the baseline• Purchase 50% green energy by 2020• Increase staffing to appropriate levels as determined byproject management planning• Increase community interaction2. Integrate Sustainability into Allergan Business• Integrate sustainable concepts into product research anddevelopment (from concept to production)• Integrate sustainability concepts into marketing product initiatives3. Improve Sustainability Communication• Integrate sustainability objectives into business objectivesand accountability• Integrate sustainability objectives into business review andestablish a steering committee• Establish sustainability communications strategy• Establish a Sustainability Information Management System– Sustainability “dashboard” to increase accountability andcommunication of performance.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT6

2013 Allergan’s UN Global Compact Communication on ProgressAllergan committed to the UN Global Compact in May 2009.The following statements and links to the Allergan SustainabilityPerformance Report including the GRI G3 Reporting GuidelinesConformance analysis will substantiate Allergan’s commitmentto the Compact. This report represents Allergan’s third UNGlobal Compact report and will cover the period from January2012 through December 2012. Subsequent reports will coverthe calendar-year commitments and performance for thatperiod.UN Global Compact Commitments and PerformanceThe following narrative and links will demonstrate howAllergan is addressing each of these Principles and plans forimproving performance in each of these areas.Principle 1 Protection of Human RightsAllergan approaches the Protection of Human Rights as itdoes any other personal freedom and has articulated thissupport through its Code of Conduct. The Code of Conductapplies to all Allergan employees and in all of Allergan’sbusiness dealings. The Code of Conduct requires, amongother things, that employees respect human rights and do notdiscriminate against anyone based on characteristics protectedby law. Harassment is not tolerated in any form. Violence orthreats of violence in the workplace are not tolerated. TheCode of Conduct applies to persons or entities representing orworking on behalf of Allergan as well.In 2011, Allergan committed to three charters and principlesthat provide for the protection of Human Rights, including theUN Universal Declaration of Human Rights, the OECDGuidelines for Multinational Enterprises, and the ILOTripartite Declaration of Principles concerning MultinationalEnterprises and Society. These three sets of principles dealwith protecting Human Rights. Allergan is in alignment witheach of these sets of Principles and found its commitment tothem to be a natural method to strengthen its resolve in thearea of Human Rights.In 2012, Allergan continued its commitment to its Code ofConduct and ensuring that employees and representatives ofthe company continue to follow the Code by providingextensive training regarding the expectations based on theCode of Conduct and requiring that all employees completethis training process.Principle 2 Complicity in Human Rights AbusesAllergan will not be complicit in Human Rights abuses asstated in its Code of Conduct. In 2011, Allergan committed tothree charters and principles that provide for the protection ofHuman Rights including the UN Universal Declaration ofHuman Rights, the OECD Guidelines for MultinationalEnterprises, and the ILO Tripartite Declaration of Principlesconcerning Multinational Enterprises and Society. These threesets of principles deal with protecting Human Rights andstopping Human Rights abuses. Allergan is in alignment witheach of these sets of principles and found its commitment tothem to be a natural method to strengthen its resolve in thearea of stopping Human Rights abuses.In 2012, Allergan continued its commitment to its Code ofConduct and ensuring that employees and representatives of thecompany continue to follow the Code by providing extensivetraining regarding the expectations based on the Code of Conductand requiring that all employees complete this training process.Principle 3 Freedom of Association and CollectiveBargainingAllergan approaches the right to freedom of association andcollective bargaining as it does any other personal freedom andhas articulated this support through its Code of Conduct.The Code of Ethics applies to all Allergan employees and in allof Allergan’s business dealings. In 2011, Allergan committedto three charters and principles that provide for the protectionof Human Rights, including the UN Universal Declaration ofHuman Rights, the OECD Guidelines for MultinationalEnterprises, and the ILO Tripartite Declaration of Principlesconcerning Multinational Enterprises and Society. These threesets of principles deal with protecting Human Rights. Allerganis in alignment with each of these sets of principles and foundits commitment to them to be a natural method to strengthenits resolve in the area of Human Rights.In 2012, Allergan continued its commitment to its Code ofConduct and ensuring that employees and representatives ofthe company continue to follow the Code by providingextensive training regarding the expectations based on theCode of Conduct and requiring that all employees completethis training process.Principle 4 Forced and Compulsory LaborAllergan will not be complicit in forced or compulsory laborper Allergan’s Code of Conduct. In 2011, Allergan committedto three charters and principles that provide for the protectionof Human Rights, including the UN Universal Declaration ofHuman Rights, the OECD Guidelines for MultinationalEnterprises, and the ILO Tripartite Declaration of Principlesconcerning Multinational Enterprises and Society. These threesets of Principles deals with protecting Human Rights andstopping forced and compulsory labor. Allergan is inalignment with each of these sets of principles and found itscommitment to them to be a natural method to strengthen itsresolve in the area of Human Rights.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT7

In 2012, Allergan continued its commitment to its Code of Conductand ensuring that employees and representatives of the companycontinue to follow the Code by providing extensive trainingregarding the expectations based on the Code of Conduct andrequiring that all employees complete this training process.Principle 5 Child LaborAllergan will not be complicit in the use of child labor perAllergan’s Code of Conduct. In 2011, Allergan committed tothree charters and principles that provide for the protection ofHuman Rights including the UN Universal Declaration ofHuman Rights, the OECD Guidelines for MultinationalEnterprises, and the ILO Tripartite Declaration of Principlesconcerning Multinational Enterprises and Society. These threesets of Principles deals with protecting Human Rights andChild Labor prevention. Allergan is in alignment with each ofthese sets of Principles and found this commitment a naturalmethod to strengthen its resolve in the area of Human Rights.In 2012, Allergan continued its commitment to its Code ofConduct and ensuring that employees and representatives ofthe company continue to follow the Code. Allergan providesextensive training regarding the expectations based on theCode of Conduct and requires that all employees attend andpass this training process.Principle 6 DiscriminationAllergan approaches discrimination as it does any otherpersonal freedom and has articulated this support through itsCode of Conduct. The Code of Ethics applies to all Allerganemployees and in all of Allergan’s business dealings. The Codeof Ethics requires that employees respect human rights and donot discriminate against anyone based characteristics protectedby law. Harassment is not tolerated in any form. Violence orthreats of violence in the workplace are not tolerated. TheCode of Conduct applies to persons or entities representing orworking on behalf of Allergan as well.In 2011, Allergan committed to three charters and principlesthat provide for the protection of Human Rights, including theUN Universal Declaration of Human Rights, the OECDGuidelines for Multinational Enterprises, and the ILOTripartite Declaration of Principles concerning MultinationalEnterprises and Society. These three sets of Principles dealswith protecting against discrimination. Allergan is in alignmentwith each of these sets of Principles and found itscommitment to them to be a natural method to strengthen itsresolve in the area of discrimination.In 2012, Allergan continued its commitment to its Code of Conductand ensuring that employees and representatives of the companycontinue to follow the Code by providing extensive trainingregarding the expectations based on the Code of Conduct andrequiring that all employees complete this training process.Principle 7 Precautionary ApproachAllergan has adopted the Precautionary Approach in all itsbusiness dealings and articulates this in its Annual SustainabilityPerformance Report. Allergan has always practiced theprecautionary principle with regard to its products andoperations. The inherent nature of researching and developingdrug products for human use demonstrates the precautionaryprinciple in action. Allergan considers the impacts of actionsundertaken through a rigorous risk assessment process withmultiple gates through which the company proceeds when themultitude of risks are determined to be acceptable to Allerganand the various stakeholders in the process including patients,physicians, employees, government officials, investors, andothers.Principle 8 Environmental ResponsibilityAllergan has a very strong stand on environmentalresponsibility as indicated by its EHS policy, programs andvarious performance reports. Specifically as part of its commitmentto the UN Global Compact, Allergan has committedto the UN Global Compact Caring for Climate Program andthe CEO Water Mandate. Allergan participates in meetingsand offers suggestions and examples of strategies and projectsthat have worked for Allergan. Allergan contributes to policyand framework development. Ultimately, Allergan has beenvery successful at reducing energy and water consumption atits facilities and has aggressive goals to continue this performance.Allergan will continue to contribute to these efforts andanticipates achieving its goals in the timeframes stated.In 2011, Allergan actively participated in the CEO WaterMandate Steering Committee and Water Disclosure WorkingGroup and has contributed its first testimonial which wasposted on the UN Global Compact website. Allergan alsoposted a statement by David E.I. Pyott, Allergan’s Chairman,President and Chief Executive Officer describing why thisinitiative is important to Allergan and should be important toeveryone. Allergan also provided comments and guidance onthe memoranda of understanding developed between theCarbon Disclosure Project (CDP) and the World ResourceInstitute (WRI) regarding water consumption reduction andmanagement technology.In 2011, Allergan participated in the Caring for Climate C4Cgroup and provided guidance and an example energy/greenhousegas reduction project for the Committee to use insupport of the Rio+20 Conference.In 2012, Allergan continued its involvement and support ofthe Caring for Climate (C4C) and CEO Water Mandates.Allergan entered two case studies in the CEO Water MandateWater Action Hub. Allergan recommended adding the TieteRiver located in Sao Paulo Brazil to the Water Action Hubriver basins along with a specific case study based on workconducted by our Brazilian operations. Allergan endorsedand helped prepare the RIO+20 Water CEO Communiquépresented at the Rio+20 meetings in Rio De Janeiro. Allergancontributed to the CEO Water Mandate Corporate WaterDisclosure Guidelines. Allergan also participated in theSustainable Energy for All (SE4All) preparations as well asthe Caring for Climate presentations and notices to theRio+20 representatives.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT8

Principle 9 Environmentally Friendly TechnologiesAllergan has made its approaches and technologies used toachieve the results captured in Principle 8 available to thepublic through various initiatives such as the US EPA EnergyStar and WasteWise Programs as well as through the Allerganwebsite, trade publications and speaking engagements.In 2011, Allergan posted a testimonial and supplied guidanceto the CEO Water Mandate Steering Committee and WaterDisclosure Working Group as to how Allergan has tackledwater consumption reduction at its facilities worldwide.Allergan participated in the Water Action Hub surveyconducted by Deloitte Global Services, Ltd. in conjunctionwith the CEO Water Mandate. The survey was designed todetermine which water sheds CEO Water Mandate endorserswere interested in as part of their business operations.Allergan participated in the drafting of a Communiqué to bedelivered to the Rio+20 Dignitaries at the upcomingConference emphasing the importance of water in all our lives.In 2011, Allergan participated in the Caring for Climate C4Cgroup and provided guidance and an example energy/greenhousegas reduction project for the Committee to use in support of the Rio+20 Conference. Allergan also provided aprofile of industrial energy efficiency to the US EPA EnergyStar Program regarding its boiler system conversion andupgrade project at its Westport Ireland facility.Principle 10 CorruptionAllergan has established positions against corruption includingbribery in its Code of Conduct. Allergan has also committedto the UN Global Compact Anti-Corruption and BriberyPrinciple by becoming a signatory to the CEO Letter onAnti-Corruption. In 2011, Allergan committed to three chartersand principles that provide for the protection of HumanRights, including the UN Universal Declaration of HumanRights, the OECD Guidelines for Multinational Enterprises,and the ILO Tripartite Declaration of Principles concerningMultinational Enterprises and Society. Allergan is in alignmentwith each of these sets of Principles and found its commitmentto them to be a natural method to strengthen its resolve in thearea of corruption.In 2012, Allergan continued its commitment to its Code ofConduct and ensuring that employees and representatives ofthe company continue to follow the Code by providingextensive training regarding the expectations based on theCode of Conduct and requiring that all employees completethis training process.ConclusionAllergan will continue to enhance support of the UN GlobalCompact Principles. Allergan will collaborate with the UNGlobal Compact on methods and means to improve itsperformance and the performance of all entities regardingthese Principles.In 2012, Allergan continued its involvement and support of theCaring for Climate (C4C) and CEO Water Mandates.Allergan entered two case studies in the CEO Water MandateWater Action Hub. Allergan recommended adding the TieteRiver located in Sao Paulo Brazil to the Water Action Hubriver basins along with a specific case study based on workconducted by our Brazilian operations. Allergan endorsed andhelped prepare the RIO+20 Water CEO Communiqué presentedat the Rio+20 meetings in Rio De Janeiro. Allerganalso participated in the Sustainable Energy for All (SE4All)preparations as well as the Caring for Climate presentationsand notices to the Rio+20 representatives.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT9

Allergan and the Precautionary PrincipleAllergan has always practiced the precautionary principle with regard to its products and operations. The inherent nature ofresearching and developing drug products for human use demonstrates the precautionary principle in action. Allerganconsiders the impacts of actions undertaken through a rigorous risk assessment process with multiple gates through whichthe company proceeds when the multitude of risks are determined to be acceptable to Allergan and the various stakeholdersin the process including patients, physicians, employees, government officials, investors, and others.EHS Regulatory ComplianceAllergan did not receive any regulatory EHS penalties or fines in 2012.Allergan continues to be viewed by local regulators as a model business.The Allergan Medical facilities have had no adverse impact on Allergan’sregulatory performance. Allergan has maintained very low levels of noticesof violation for exceeding permitted limits at all its R&D and manufacturinglocations over the past fifteen years. In 2012, this trend continued.EHS Regulatory Compliance Allergan does not currently have any ISO certification.However, we follow an extensive EHS Achievement Programinvolving three levels of certification with several requirementsto be accomplished by our facilities. Each level ofachievement is described in a manual which consists of theAllergan EHS policy, a description of the achievement level, aseries of environmental and occupational health and safetyrequirements, training materials, model SOPs, compliancechecklists and appendices. All Allergan facilities are expectedto operate in conformance with Level I (Compliance). Foroperations recently acquired, Level I achievement is requiredone year after acquisition. Level I facilities can be characterizedas being able to identify and control hazardous materialsand hazardous operations. All Allergan facilities are expectedto transition to Level II (Prevention), within two to threeyears of achieving Level I (compliance). By achieving andmaintaining Level II requirements (prevention) Allerganmanagers can be confident that their facilities have managementsystems in operation which "prevent" non-compliance.Level II facilities can be characterized as managing to preventManagement Systems2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT10environmental, health and safety problems. Finally, allAllergan facilities are expected to transition to Level III(Leadership) within three to four years of achieving Level I(compliance). Level III requirements (leadership) means thebusiness has achieved the highest standard of EHSperformance and is positioned to pursue unique businessopportunities, such as ISO 14001 certification or equivalent.Level III facilities can be characterized as communicating ourimproving EHS results. To confirm attainment of each level ofour program, our facilities are audited by qualified auditorsapproximately every two years. Along with internal audits,Allergan also performs evaluations concerning our suppliersin order to guarantee business continuity as well as to evaluatetheir sustainability practices. In 2011, Allergan brought in aconsultant to perform an ISO 14001 evaluation of ourprogram and operations. Minor gaps were identified andare currently being addressed.This exercise has given us confidence that our internalprograms meet the ISO 14001 and OHSAS 18001 standardsand are essentially equivalent.Commercial Offices and Distribution Centers ProgramsIn order to ensure that Allergan was fully represented from anEHS point of view, Allergan created an EHS Program for ourcommercial offices and distribution centers around the world.Allergan representatives are responsible to present thisprogram in the different regions and to periodically check oneach location’s progress with the Program. Commercial officesreport sustainability data annually. Basic EHS programs arealso included in status reports. Sustainability data reportedincludes safety incidents, waste generation, utilities consumption,emergency response plans and training schedules.Distribution Centers, which are all third-party managed forAllergan, also have an Allergan EHS Program to follow.Basic data is reported annually as with the commercial offices.Allergan continues to improve this program and expand itsinclusion in all regions.

Risk Assessment ProcessProactively indentifying workplace environmental, health, andsafety risks is a critical part of ensuring we provide a safeworkplace for our employees, and reduce our environmentalrisks. Allergan’s risk assessment process, facilitated by a webbased tool, is completed by environmental, health and safetyprofessional in consultation with engineers, management, andwork area employees. The risk assessment process begins withan identification of all tasks associated with a work activity,process, or the operation of equipment. After task identification,the EHS risks for each task are identified and evaluatedbased on frequency, likelihood of occurrence, and severity.Corrective actions are identified, and implemented to reducethe risk medium and high risks.Corrective Action ProcessIn 2012, Allergan integrated corrective / preventive actionmanagement into our existing EHS Information ManagementSystem powered by ProcessMAP. Integration into AEIMShas facilitated higher accountability for completion ofcorrective actions identified from audits, inspections, nearmiss event, and other EHS non-conformances. This enhancedprocess has allowed for development of more effectivepreventive actions and has reduced the likelihood forreoccurrence of non-conformances.2010 2011 2012Number of Risk Assessments 47 109 264Corrective Action / Preventive NA 133 542Actions (audits, incidents, riskassessments)Allergan’s EHS Audit ProgramAllergan has a comprehensive program in place for conductingenvironmental, health and safety audits of our internal operationsand select external suppliers/contractors. The objective ofthe audit program is to identify EHS risks and compliancegaps and to identify best practices across our various locations.Corrective and prevention action plans are developed foridentified risks and tracked to closure. The audit process promotesvertical standardization from the corporate office to theworldwide network of plants as well as horizontal standardizationamong the various departments within the business.The EHS audit process is complementary with the worldwidequality assurance (WWQA) audit program. Although thescope of the EHS and QA audits are different, the systemsemployed to manage such audits are now similar.The EHS audit program consists of 9 key categories.Categories 1 - 5 correspond to the WWQA audit program categories.Categories 6 - 9 are unique to the EHS audit program.1. Category 1: Allergan Sites (manufacturing, R&D,commercial offices, distribution centers)2. Category 2: Allergan Third Party Contractors3. Category 3: Component Supplier/ Manufacturer4. Category 4: Raw Material Manufacturer/ Supplier/Repackager5. Category 5: Contract Laboratories and Sterilization Facilities6. Category 6: Hazardous Waste Treatment, Storage andDisposal Facilities (TSDF)7. Category 7: Environmental due diligence related toproperty and business acquisition.8. Category 8: EHS audits of facility closure or divestiture9. Category 9: EHS audits of financial disclosure requirementsThrough the EHS audit program Allergan has been able tominimize the EHS risks associated with its facilities, the riskof supply interruption from suppliers or third party manufacturersand the risk of regulatory action (non-compliance) orcommunity complaints against Allergan.Sustainable Supply ChainsSustainable Supply Chain ProjectsAllergan completed a project in 2012 to evaluate its supplychain from a greenhouse gas emissions and water consumptionperspective. Allergan contracted with Trucost to identifywhat the contribution of a subset of its supply chain was toAllergan’s carbon and water footprints. Based on 2011 financialspend, Allergan was able to select the top approximately200 supply chain partners to be evaluated by Trucost. Trucostthrough various internal methods was able to assign values toeach company for both greenhouse gas emissions and waterconsumption attributable to Allergan’s footprints. Trucostalso identified the top ten companies for Allergan to workwith to reduce the supply chain’s contribution. Allergan is beginningto work with these suppliers to reduce these aspects.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT11

Allergan began to work with Ecodesk at the end of 2012 andthrough to present to develop a better picture of these footprintsby following the Ecodesk model. In this model,Allergan provided its supply chain data for both 2011 and2012. The top approximately 200 suppliers are beingapproached to create a profile for their company in Ecodeskand to link their energy and carbon emissions to Allergan’sEcodesk profile. Thus, Allergan would be able to get direct energyconsumption and greenhouse gas emissions from thecompany rather than relying on the estimates developedthrough the Trucost process. To date, Allergan throughEcodesk has contacted 110 suppliers and received over 70responses and completed Ecodesk profiles. This has given us apreliminary view of who the most significant supply chainpartners are that Allergan should work with to reduce theirenergy consumption and greenhouse gas emissions. Allerganexpects to have contacted the first approximately 200 supplychain partners by the end of June 2012. We will then evaluateif we want to go further into the total supply chain. Allerganis also creating strategies to work with the suppliers identifiedas significant in the second half of this year.Allergan also joined the Pharmaceutical Supply ChainInitiative (PSCI). This consortium of pharmaceuticalcompanies is tackling comprehensive sustainability supplychain auditing. The audit protocols include social aspectssuch as human slavery and trafficking, child labor, ethics,compensation, benefits and other human rights, governanceincluding ethics and human rights abuse management, andenvironmental management and performance. These auditswill supplement Allergan’s existing supply chain audit process.PSCI is in its second year of existence but we have high hopesthat this process will expand and provide a very valuableservice. Other opportunities to work with the members arebeing explored. PSCI has completed 15 supply chain auditsto date and is planning another 15 by the end of 2013. Theseaudits will allow Allergan to better manage its supply chain.California Transparency in Supply Chains Act of 2010The California Transparency in Supply Chains Act of 2010 isintended to provide public information from manufacturersregarding the activities they engage in to monitor their supplychains to prevent human trafficking and slavery. These disclosuresallow businesses and consumers to make more informeddecisions regarding the products they choose to purchase andthe companies with whom they choose to conduct business.Allergan is committed to conducting business only withsuppliers who adhere to the highest ethical standards andcomply with laws and regulations applicable to their business.Allergan has undertaken actions to ensure that the servicesand materials provided to Allergan meet this commitment.Supplier Assessments and QualificationPrior to engagement of a supplier, Allergan evaluates thesupplier through a risk-based assessment. Such assessmentsmay include supplier questionnaires and audits of supplierfacilities. Allergan expects all potential suppliers to complywith the highest ethical and quality standards.Supplier Performance ReviewsAllergan is committed to continuous improvement in itssupply chain. Allergan and its suppliers monitor businessperformance through periodic evaluation and review ofdefined performance targets and objectives.Supplier AuditsAllergan also regularly audits suppliers to confirm compliancewith supplier performance and quality standards. Audits areperformed by Allergan or third parties contracted by Allergan.Supplier AgreementsAllergan has supply agreements, quality agreements and/orpurchase order terms and conditions with all of its suppliers.These contracts include agreement to comply with all laws andregulations applicable to the supply of the service or material.Employee Training and ComplianceAll Allergan employees are required to comply with Allergan’sCode of Business Conduct and Ethics. All Allergan employeesparticipate in annual training on the company’s Code to ensureunderstanding and compliance with the requirements of theCode. This training includes training on ethical decision makingand upholding laws and regulations. In addition, Allergan maintainsa compliance program that conducts regular audits of therequirements under the Code, investigates potential violations ofthe Code and takes disciplinary action when necessary.Allergan launched a supplier engagement programme in January this year utilising open data platformEcodesk. An on-going programme, the aim is to calculate scope 3 (indirect) emissions through gathering dataacross four metrics; water, waste, energy and carbon emissions. As an industry leader, Allergan prides itselfon recognising the impact its products and services have outside its immediate control. Allergan has alreadycontacted almost 200 of its top suppliers to encourage them to take part in Ecodesk’s open data initiative andplans to extend this through further supplier phases to gain full knowledge of supply chain impacts.“Allergan is one of our most proactive clients and is clearly committed to implementing a transparent supplychain strategy as part of its wider sustainability initiatives,” commented Nick Murry, Chief Sustainability Officerat Ecodesk. “It is showing leadership in the pharmaceuticals sector through the use of open data to exploitefficiencies at every point in the supply chain.”Account Manager Begum Kurkcu commented: “Allergan has been a pleasure to work with, as the company understandsthe full range of benefits that can be obtained through the use of the Enterprise Programme initiative.Allergan is already seeing these benefits through monitoring environmental metrics on a single open platform.”2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT12

InnovationAllergan's world-class research and development (R&D)program embodies our efforts to bring the best of medicine tolife. Scientists and researchers work closely with medicalspecialists to transform novel compounds into new therapeuticsthat help improve quality of life.Our commitment to R&D has been evident since the 1950's,when we began pioneering new treatments to help preserveand protect eye health. Since then, our investment in R&Dhas progressively increased to a level that is considered best inclass for the industry, and we have followed our products intonew specialty areas. Our R&D programs today are focused ineye care, neurosciences, medical aesthetics, medical dermatology,gastroenterology (obesity intervention), and urologicaldiseases. Currently, we are investigating a rich arsenal ofpotential new treatments for chronic migraine, debilitatingneurological conditions, eye disease, and overactive bladder,among other conditions. Significant progress in these areas isexpected to be made over the next decade - advances in whichwe look forward playing a prominent role.Since Allergan's founding, the ability to listen and to learn -from our customers, and from each other - has been a cornerstoneof our success. Allergan's R&D culture reflects this, providingan open forum for scientists to share ideas, collaborateon projects, and gain access to the latest research. Access toworld-class technology combined with intellectual stimulationresults in a dynamic environment where scientists are excitedabout the work they do and committed to pushing the boundariesof what is possible.Our R&D organization is structured into integrated teamsthat focus on discovery for different drug targets. This uniquearchitecture affords many benefits. Scientists normallyconfined to specific tracks have the opportunity to be involvedin the full life-cycle of development, from early-stage explorationto human clinical testing, for a much broader perspective.Additionally, meticulous research is streamlined withhighly efficient project and information management, whichcan save years and millions of dollars from the overall cost ofdrug development.Most of our discovery and development programs areinitiated internally, which sets us apart from many otherhealth care companies. Simultaneously, we explore newmarket opportunities and search for partnerships to developsuperior technologies that are complementary to our ownbusiness model.In short, at Allergan, there is only one way in which we viewthe purpose of science and innovation - to identify thoseneeds in health care that are unsolved and commit to findingsolutions through a meaningful R&D investment that fuelsfuture growth. This is our unwavering commitment.Allergan has a rich and promising pipeline of newtherapeutics and innovative technologies in specialty areasincluding eye care, neurosciences, medical aesthetics, medicaldermatology, urologics, and gastroenterology. We focus onnovel therapies with the power to advance treatmentparadigms and have numerous compounds in various stagesof clinical development.While most of our discovery and development programs aredeveloped internally - making Allergan quite unique in theindustry - we are continuously looking for partnerships andsuperior technology that complement our business model.Some of our current collaborations include:• An exclusive licensing agreement with Sanwa Kagaku Kenkyusho Co., Ltd. (Sanwa) to develop and commercializePOSURDEX ® for the ophthalmic specialty market in Japan. POSURDEX ® is a form of dexamethasone, which can bedelivered in a bioerodable implant for macular edema and retinal vein occlusion.• A multi-year alliance with Sirna Therapeutics, Inc. to develop Sirna-027, a novel RNAi-based therapeutic currently inclinical trials for age-related macular degeneration and to discover and develop other novel RNAi-based therapeutics against selectgene targets for ophthalmic diseases.• A license with Inspire Pharmaceuticals, Inc. to develop and commercialize Prolacria (diquafosol tetrasodium ophthalmic solution2%), that Inspire is investigating for the treatment of dry eye.• A strategic research collaboration and license agreement with ExonHit Therapeutics to identify new molecular targets based onExonHit Therapeutics' gene profiling DATAS technology and to work collaboratively on the development of unique compoundsand commercial products based on these targets.• An exclusive worldwide alliance with ACADIA Pharmaceuticals for the discovery of alpha adrenergic drug candidates for treatmentsin ophthalmology and pain.• An exclusive licensing agreement with Kyorin Pharmaceutical Co., Ltd. to develop and commercialize ALPHAGAN ® andALPHAGAN ® P for the ophthalmic specialty market in Japan.• An exclusive licensing agreement with Senju Pharmaceutical Co., Ltd. to develop and commercialize LUMIGAN ® for theophthalmic specialty market in Japan.• An arrangement with Stiefel Laboratories, Inc. where Stiefel will develop, manufacture, distribute and promotedermatological products containing Allergan’s innovative tazarotene compound.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT13

Impacts, Materiality, Risks, and OpportunitiesBased on internal analysis of risk and opportunities, thefollowing figure represents Allergan’s view of perceived importanceof various sustainability areas to our stakeholders andpotential opportunities to positively differentiate Allerganfrom our competitors. Allergan has aligned its strategicobjectives and annual objectives with the stakeholders’ greatestperceived importance combined with the greatest positiveinfluence on our company. As reported in various sections ofthis report, Allergan continues to set a high bar for itself.Achieving these objectives has also allowed Allergan to placeresources against improving its sustainability footprint.Opportunities continue to present themselves in the areas ofproduct safety ethical practices, stakeholder engagement,community interaction, employee engagement, and supplychain management. The other areas have significant objectivesapplied to them and are being attained at a rapid rate.The environmental, health and safety and climate changerelated opportunities and risks identified are integrated intoAllergan’s Enterprise Risk Management (ERM) process whichincludes all organizational risks and opportunities. To assessmateriality / priority each risk is rated from 1-100 based onimpact and vulnerability. Factors used to assess impactinclude financial, reputation, legal, and our stakeholder.Vulnerability is evaluated against elements such as control,complexity of issue, and past experience. Higher ratedrisks/opportunities are considered material andcommunicated to Allergan’s Board.Sustainability Areas of Risk and OpportunityHighProduct SafetyEthical PracticesStakeholder Engagement & CollaborationsHuman RightsRecyclingCommunityInteractionHazardousMaterial& ChemicalManagementEmployee DiversityManagement SystemsEmployeeHealth & SafetyPerceivedImportancetoStakeholdersEnvironmentalRemediationWaste & Waste ManagementClimate ChangeProduct Development & LCAEmployee EngagementSupply Chain ManagementAuditing & VerificationBiodiversityLowLowPerceived Influence on Our BusinessHigh2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT14

Stakeholder Engagement and CollaborationsAllergan’s view of stakeholders is very broad encompassingpatients, doctors, employees, shareholders, upstream anddownstream supply chain partners, regulators, governments,and non-governmental entities. Worldwide sustainabilitycollaborations include various commitments with the UNGlobal Compact such as the CEO Water Mandate, Caring forClimate, and Anti-Bribery and -Corruption Support.Allergan has shared best practices in water, energy and GHGmanagement that it has instituted at its locations worldwide.We have participated in several committees in support of effortsto disseminate this information in collaboration with theUN Global Compact. Regulatory collaborations are extensiveincluding USEPA Energy Star. Allergan has again sharedbest practices from its operations with others and continues tosupport the Energy Star philosophy. Business customer collaborationsinclude Walmart, Kaiser, Target, French HospitalAllergan has been addressing climate change risks for the past20 years through development and implementation of energyconservation programs to reduce fuel and electricity consumption.Formally we joined the USEPA Climate Wise Programin 1996. Previous to this Program involvement, Allergan waslooking for efficiency improvements regarding energy use.Allergan joined the USEPA Energy Star Program in 2000after having participated in the USEPA Green Lights Programfrom 1994 to 2000. Allergan participated in the US DOE1605b Voluntary Greenhouse Gas Reporting from 1998through 2007. Allergan has responded to the CarbonDisclosure Project (CDP) since 2004. For 2012 Allergan wasrecognized by CDP by being placed on CDP’s Global 500Carbon Performance Leadership Index (CPLI) and the CDPS&P 500 Carbon Performance Leadership Index (CPLI).We were only 1 of 2 healthcare companies to receive “A”performance score. Allergan has participated in theCalifornia Climate Action Registry between 2006 and 2008and participated in The Climate Registry for 2008 and 2009.Allergan submitted its North American 2008 GHG emissionsdata to The Climate Registry in 2009 and submitted the 2009North American GHG emissions data in April 2010. For thepast 3 years Allergan has used the services of an external consultancyto verify our Scope 1 (direct) and Scope 3 emissions(Appendix A). This verification was conducted in accordancewith ISO 14064 – (Greenhouse gases -- Part 1: Specificationwith guidance at the organization level for quantification andreporting of greenhouse gas emissions and removals).Allergan Pharmaceuticals Ltd. located in Westport Irelandhas had a greenhouse gas permit since 2006. The location hassuccessfully been able to meet the commitments of the permitand more in this short time. The permit requirements areexternally verified each year by a third party under theauspices of the Irish EPA.Managing Climate ChangeSystems among others. These collaborations have allowedthese customers to understand where Allergan is on the sustainabilityspectrum. Non-governmental organization (NGO)collaborations include Red Cross, United Way, CarbonDisclosure Project, Newsweek Green Business rankings,SAM-DJSI investor index, EIRIS-FTSE4Good investorindex, Maplecroft Climate Innovation Index, GRI G3conformance and input into the reporting process andparameters among others. These have allowed Allergan toshare and receive best practices as well as benchmark ourprograms against other best in class sustainable companies.Community collaborations include direct community supportprojects in Brazil, Costa Rica, Ireland, and the USA as well asindirect collaborations through the Allergan Foundation. Wecontinue to evaluate our approach and performance in orderto drive continuous sustainable improvement at Allergan.All Allergan facilities are reporting energy consumption.All R&D and manufacturing facilities have targets regardingenergy consumption reductions and efficiency improvements.The Allergan vehicle fleets worldwide are reporting energyconsumption and have established auto selections in theirfleets that are improving fuel efficiency. Allergan is collectinginformation from commercial offices and distribution centers(generally third-party operated). Allergan is also measuringcarbon footprints for its facilities and the corporation as awhole as well as testing how this process would be conductedand developed for specific product lines. This is a challengingendeavor given all the options for supply chains regardingeach product.Allergan sees opportunity in these endeavors and anticipatesthat the implementation of these approaches will betterposition the company for sustainable growth.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT15

The 2012 overall GHG emissions for Allergan manufacturingand R&D operations are presented in the following figures. Scope 1 GHG emissions refer to the direct GHG emissionsresulting primarily from combustion processes. Scope 2 GHGemissions refer to GHG emissions resulting primarily from theconsumption of purchased electricity. In 2012 our GHGemissions remained flat vs. 2010 even with an increase in salesand production.Allergan met the planning period goal of reducing GHGemissions by 5% for its R&D and manufacturing operationsusing 2005 as the baseline year with more than a 15% reductionover the five-year period. With that achieved, Allergan has setan aggressive goal of 15% reduction during the next five-yearperiod to end in 2015, using 2010 as the baseline. Our 2012 wereduced our absolute GHG emissions by 1% compared to our20110 baseline.Electricity Consumption TrendAllergan began a decrease in electrical energy consumption in2000 due to upgrading manufacturing equipment, energyefficiency in renovations and new buildings, and consolidationof facilities. This trend in reduction had reversed between 2002and 2005 due to major expansions at all major locations. Theacquisition of Inamed Corporation also added a new base to theutility and waste aspects of Allergan performance in 2006. Theacquisition of Allergan Laboratoire Corneal and EndoArt SAin 2007 and Serica Technologies, Inc. in 2011 also increased theoverall electrical consumption. These sites are now collectivelyknown as Allergan Medical. In 2012 versus 2011, electricalenergy consumption increased by 3% on an absolute basis.Allergan has used tools such as Lean 6 Sigma, DMAIC,metering and sub-metering, and Energy Star performanceindicators to ensure that energy efficiency is maintained. TheInamed locations have several energy efficiency opportunitiesbeing implemented. Allergan has set an aggressive goal toreduce energy consumption by 15% by 2015 using 2010 as thebaseline year. Plans are developing to ensure that this goal isachieved. On a per production unit basis, the electrical energyconsumption has decreased since 2005 in spite of the newbusiness acquisitions. However in 2012 this an increase of 1.9%compared to 2011..On a per sales basis, the electrical energyconsumption has decreased steadily since 1998. 2.2%improvement in sales normalized electrical energy consumptionefficiency occurred in 2012 versus 2011. Allergan has consumeda percentage of its electrical energy produced by green powersources such as wind, solar, geothermal, biomass and smallhydroelectric. The green power purchased now makes up 17% ofAllergan electrical power sources for all facilities worldwide.Allergan has chosen the high bar defining what constitutes greenpower by using the California definition of green power.The percentage would be much higher if one considered hydropowerand nuclear as clean energy sources. All acquisitionsthrough 2010 have been included in the data presented.Supply ChainDuring the past 2 years Allergan has begun an initiative togain a better understanding of the greenhouse gas emissionsof our supply chain. In 2011, we contracted TruCost tomodel greenhouse gas and water emissions from our top 200suppliers based on monies spent. In 2012, we continued oursupplier engagement process by requesting greenhouse gasemissions data from our top 200 suppliers. We are in theprocess of evaluating this data. Our objective moving forwardis to partner with our key suppliers on energy and greenhousegas reduction initiatives. On a normalized to sales basis, the GHG emissions decreased by7.5% in 2011 vs. 2010. Allergan has aggressively improved the energyefficiency of existing systems and designed energy efficiencyinto new projects. The company has also consolidated operations.The energy efficiency improvements translated into avoided GHGemissions based on carbon dioxide equivalence, which cumulativelytotal more than 33 thousand metric tonnes in 2012.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT16

Fuel Consumption TrendAllergan’s fuel consumption trend increased dramatically in1995 due to the upgrading of a central utility plant at ourWestport, Ireland facility. A second increase occurred withthe same upgrades at the Guarulhos Brazil facility in 1999.A third expansion occurred at both Irvine (two new R&Dbuildings) and Waco facilities in 2004/2005. This was done tosatisfy numerous expansion projects and increased manufacturingrequirements from the Food and Drug Administration(FDA) and other Ministries of Health. In 2006, 2007 and2010, Allergan acquired four new businesses. The impacts ofthese acquisitions and the expansions ongoing at each of thefacilities have been fully integrated. Conservation projectswere implemented in order to reverse the trend in fuel consumptionat these and existing facilities. Allergan increasedfuel consumption in 2012 by 0.7% vs. 2011 (absolute basis).Allergan has set aggressive energy reduction goal to reduceenergy consumption including fuel consumption by 15% in2015 using 2010 as the baseline year.Overall, Allergan has implemented projects and reduced thetotal energy consumption by 10% in 2010 vs. 2005 far exceedingour strategic goal of 5%. In 2012, the consumption increased1.9% vs. 2011 (absolute basis). Allergan has set a goalof reducing its overall energy consumption by 15% in 2015 vs.2010. This is an aggressive target given all the work alreadyseen generally a decline in total energy consumption on a persquare meter basis since2000. This trend demonstrates Allergan’s effective energymanagement program. The reduction in 2010 vs 2005 wasapproximately 40% on a per square meter basis. In 2012, totalenergy consumption per square meter decreased by 1.3%compared to 2011. This was a reduction in the trend despiteexpansions occurring at most R&D and manufacturingfacilities. The normalized trend demonstrates Allergan’scommitment and results regarding energy conservation andmanagement. Energy Conservation at workWe implemented several projects in 2012 to reduce electricity, and fuel consumption. These projectsresulted in over 1,000,000 KWH savings in electricity consumption and reduced our greenhouse gasesby 800 metric tonnes. Below are examples of some of these projects:• Installation of window film on west and south facing office windows• Replacement of Metal Halide Lamps with LED lights in various walkways/general lighting areas.• Replacement of Steam Traps (GEM traps)• Installation of Variable Speed Drives on Chillers and Pumps• Improvement of autoclave sterilization cycles• Improvement of compressed air utilization• Upgrade of Lighting from T-12 to T-8 (24 watt) Fluorescent Tubes• Installation of Motion Sensors on outlets2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT17

Hazardous Waste TrendsOn an absolute basis, the hazardous waste increased by 7% in2012 vs. 2011. These waste increases occurred due to increasedproduction rates. Allergan has set an aggressive target of 15%waste reduction based on 2010 levels to be achieved by 2015.The hazardous waste generation is also normalized to productionquantities for purposes of showing efficiencies. A 5%increase was seen in 2012 vs. 2011 when normalized to unitsproduced. The hazardous waste generation is also normalizedto Allergan sales for purposes of showing efficiencies. Thehazardous waste generated by the corporation and sent offsite for disposal vs. sales between 2012 and 2011 remainedunchanged. This normalized measures demonstrate thatAllergan continues to become more efficient in its R&D andmanufacturing operations.Waste Management and Recycling Nonhazardous Waste TrendsThe goal for 2012 was to reduce the waste generated by 1% vs.2011. Allergan achieved an 8% reduction in 2012 vs. 2011.The waste generated per production unit decreased by 8% in2012 vs. 2011. The waste generated per sales units reduced12% in 2012 vs. 2011. Allergan has set an aggressive goal forthe five-year period (2011 -2015) to reduce waste generationby 15%. Plans are being executed to make this a reality.Nonhazardous waste reduction is accomplished in two ways:1) waste prevention through improved production yields andminimization of packaging, and 2) recycling. As indicatedbelow under the recycling section, the quantity of materialrecycled is tremendous. The amount of waste generated thatis recycled is currently more than 75%. Allergan continues toparticipate in the US Environmental Protection Agency (USEPA) Waste Wise Program. Waste prevention, reduction,recycling, and purchase of recycled-content products are reportedannually to the US EPA. Allergan has been recognizedas a Waste Wise Program Champion or Climate ChangeLeader in 1998, 1999, 2000, 2001, 2005, 2009, 2010 and 2011,and received EPA commendations in 2002, 2003, 2004, 2006,2007 and 2008. 2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT18

Recycling TrendAllergan increased its recycling rate from 29% in 1995 to 75%in 2012. The goal in 2012 was to maintain the recycling rateat 75% or greater which is the target for the strategic planexpected to be reached by 2015. Notable recycling rateimprovements occurred at Allergan Medical Heredia CostaRica and Allergan Medical Santa Barbara. Allergan Braziland Allergan Pharmaceuticals Westport and Waco are stillleading with the highest recycling rates. Allergan Westportjust accomplished recycling 100% of their nonhazardouswaste at the end of 2012. The absolute quantity of recycledmaterials was 3,805 tonnes in 2012. Recycling rate is derivedfrom the total recycled materials quantity divided by the totalnonhazardous waste generated including waste going tooffsite disposal and waste being recycled. In 2012, water consumption increased by 3% vs. 2011 inabsolute terms. This was primarily due to an improvedmeasurement capability at our facility located in Waco, Texaswhere in 2011 we had found that we were under estimatingour water consumption. It is also expected with the majorexpansions and construction completed at all facilities that thewater consumption will be more efficiently managed.Reclaimed water has been used at the Irvine location for manyyears for irrigation purposes. On a per sales basis, waterconsumption continues to decline. Water consumptionnormalized to facility area demonstrates the effectiveness ofAllergan’s water conservation programs. The use of lean 6sigma processes to focus on water use and potential waterconservation opportunities has yielded excellent results.Allergan has set an aggressive goal to reduce the waterconsumption by 15% in 2015 using 2010 as the baselineWater Management2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT19

We regularly monitor wastewater discharge from our operatinglocations to ensure compliance with regulatory requirements.We have implemented various best management practicesincluding secondary containment, employee training, andoperational controls to prevent wastewater contamination.Chemical Oxygen Demand TrendChemical Oxygen Demand (COD), a measure of oxygen demandingchemicals in wastewater, has been reduced significantlydue to wastewater equalization, neutralization andaeration facilities at the core manufacturing facilities. The improvementin materials use efficiency has also helped to reducethe COD levels. The COD emissions reduced to approximately7.09 tonnes/year in 2012 and reduced by greater than 37% ascompared to 2010 COD emissions figures. Allergan is currentlywell below permitted discharge levels for COD at all facilities.Biochemical Oxygen Demand TrendBiochemical Oxygen Demand (BOD), a measure of oxygendemand through biochemical processes in wastewater, has beenreduced significantly due to wastewater equalization andneutralization facilities at the core manufacturing facilities.The improvement in materials use efficiency has also helped toreduce the BOD levels. The BOD emissions reduced to less than1 tonne/year. Allergan BOD emissions have reduced almost 9%in 2012 vs. 2011. Allergan is currently well below permitted dischargelevels for BOD at all facilities that monitor this parameter.Total Suspended Solids TrendTotal Suspended Solids (TSS) in wastewater discharges fromAllergan facilities have been reduced significantly. Theimprovement in materials use efficiency has helped to reducethe TSS levels. The pollutant discharge loads are being maintainedat approximately 2 tonnes/year in 2012. Allergan iscurrently well below permitted discharge levels for TSS at allfacilities that monitor this parameter.Wastewater Discharge Indicators We regularly monitor relevant air emissions from ouroperating locations to ensure compliance with regulatoryrequirements. Our emissions are well within allowable limitsestablished by local operating permits and regulations.Air Emissions Management Volatile Organic Carbon Emissions TrendAllergan instituted controls to minimize the emissions ofacetone from its Westport Ireland tablet coating operation inthe early 1990s. Allergan developed and implemented newprocesses for tablet manufacturing and coating at itsGuarulhos, Brazil facility in 1998. These process changes eliminatedchloroform, methylene chloride, acetone, isopropanol,and ethanol emissions. The air emissions have been reduced toless than 1 tonne/year and reduced by greater than 99% ascompared to 1999 emissions figures. In 2006, due to the “spinoff” of the AMO manufacturing from the Westport facility, 2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT20

Allergan tablet coating emissions were eliminated from allAllergan facilities. This action met the intent of the goal toeliminate process-related volatile organic compound (VOC) airemissions from all facilities by 2006. When Allergan acquiredInamed, now known as Allergan Medical, xylene emissionsassociated with implant manufacturing operations addedanother emission source to the Allergan inventory. Allerganis currently in compliance with all regulatory requirementsregarding air emissions at its locations worldwide.Nitrogen Oxide (NOx) Emissions TrendAllergan has negligible nitrogen oxide emissions from itsfacilities. These emissions are associated with fuel combustionregarding boiler operations primarily. The nitrogen oxideemissions are unregulated at most of the locations due to thelow levels of these emissions.Sulfur Oxide (SOx) Emissions TrendAllergan has negligible sulfur oxide emissions from itsfacilities. These emissions are associated with fuel combustionfor its steam boiler operations primarily. The sulfur oxideemissions are unregulated at most of the locations due to thelow levels of these emissions.Ozone Depleting Compound(ODC) UseAllergan has eliminated 99% of the usage of ozone depletingcompounds (ODC) at its facilities. In 2010, the use of CFC-11in one chiller at Allergan Pharmaceuticals in Waco, an ODC,was discontinued resulting in an 18% reduction in CFC-11 useat Allergan as compared to 2009. However, the majority of theODC in use or inventory, such as HCFC-22 and HCFC-123,were not being captured in this report prior to 2008 which isthe reason for the overall increasing trend in the table. Theremaining CFC-11 used in a couple of chiller units is plannedto be phased out by 2015.Mercurial PreservativeConsumptionThimerosal, Phenylmercuric Acetate and PhenylmercuricNitrate consumption has declined steadily since 1996. Productreformulations, new product introductions without thimerosal,phenylmercuric acetate and phenylmercuric nitrate, andproduct attrition have accounted for this decline. In 2010, thethimerosal, phenylmercuric acetate and phenylmercuric nitrateconsumption declined by 99% versus 1996, which was exactlythe goal established for the period.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT21

Hazardous Material ConsumptionAllergan consumption of hazardous materials, as defined by US Occupational Health and Safety Administration (OSHA),during production continues to be measured. The amount of hazardous materials consumed in 2012 remained equivalent to thatconsumed in 2011 even with a significant increase in units produced. Allergan is very efficient with its raw material consumptionand improving this every year.Allergan developed an Environmental Product Design Criteria(EPDC) in 1994. One product was evaluated against theseCriteriain 1994. Over the preceding years, the Criteria havebeen modified three times with the latest revision includinghealth and safety parameters as well as environmental parameters.The Criteria has a set of worksheets that are completed byboth EHS and R&D representatives. One worksheet evaluatesthe new product formulations considering use of restrictedmaterials (toxic metals such as cadmium, hexavalentchromium, lead, or mercury), threshold limit values (TLV),lethal dose measurements (LD50), threshold planningquantities, reportable quantities, generation of hazardouswaste, use of carcinogens (including mutagens and teratogens),generate hazardous air emissions, generate toxic waterdischarges, or require any other governmental reporting.The second worksheet evaluates the packaging design for thenew product and considers use of restricted materials (toxicmetals such as cadmium, hexavalent chromium, lead, ormercury), packaging weight reductions as compared to existingsimilar products or alternative packaging options, recycledcontentmaterials use, reusable by Allergan, packaging materialrecyclability, and level of packaging elimination versus existingpackaging or other packaging options. A third worksheet totalsthe scores for each new product optional formulationand/or packaging. A fourth worksheet requires a justificationfor not selecting the options with the best EHS performance.The maximum score achievable is 100. Allergan evaluatedexisting products prior to 1994 to develop a baseline.EHS Product DesignAllergan has consistently improved EHS product design overthe period since 1994. The improvement in EPDC score hasincreased 65% when comparing pre-1994 EPDC scores tocurrent average new product EPDC scores.Sustainable Packaging ImprovementsIn 2012, Allergan implemented two significant packagingprojects based on life cycle and Ecocost modeling. The firstproject consisted of changing the LATISSE ® packaging lidstock from Tyvek to PET. This was not only cost effective butalso allows the opportunity for this component to be recycled.PET is the same material used to make plastic water bottles.The second project implemented was to eliminate the shrinkwrap used on the RESTASIS ® product packaging. Thiselimination of a layer of packaging not only improves thesustainability footprint of this product in the market but alsoreduces the amount of plant and equipment required to applythe shrink wrap layer of packaging to the product.Product Life Cycle Assessment and Ecocost ModelingAllergan’s packaging families have been modeled to allow therapid ecocost assessment of desired packaging changes.The ability to quickly change components in a package designallows for better sustainable decisions to be made. The figurebelow shows the ecocost for the REFRESH ® product packageand the RESTASIS ® tray package.UD Vial Example Environmental ImpactWhere do we spend the most on packaging?Restasis Tray (30 Ct) Package Refresh+ Carton (30 Ct) PackageLid stock label insert corr3% 0% 2% box0%UD Vial ExampleWhere do we spend the most on the manufacturing process?Tray Packagetransporttransport0%5% water0%Carton Packagewater0%Overcap29%Tray18%30 Vials48%30 VialsTrayOvercapLid stocklabelinsertcorr boxinsert0%Packer0%carton0%corr box26%30 Vials74%30 VialscartonPackerinsertcorr boxEOL42%electricity53%transportwaterelectricityEOLEOL28%electricity72%transportwaterelectricityEOLEnvironmental impact$0.0685 from packaging$0.04474Environmental impact$0.4731 from process$0.347252013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT22

Allergan continues our top quartile safety performance asmeasured by the number of injuries/illness requiring treatmentbeyond first aid. In 2012, we achieved an incident rate of 0.71incidents per 100 employees. This is Allergan’s lowest incidentrate on record. We also reduced the number of more severeincidents as measured by the number of incidents requiring daysaway from work or restricted time down to 0.46 incidents per100 employees. We did not incur any Allergan employee or contractoremployee related fatalities or significant injuries in 2012.Slips/Trips/Falls, Sprains/Strains from lifting/bending, andbeing struck on/by objects were the three most frequent injuryclassifications in 2012.Keeping Employees SafeCause of Injuries & Illnesses - 2012We have implemented several programs to proactively identifyworkplace hazards and reduce employee incidents.These prevention programs include:• Increasing employee awareness around workplace hazardsand incidents. For example, one Allergan location identifies thelocation of incidents using signage. At another location, theincident investigation process includes a joint review of theincident area by the injured employee, area supervisor, areamanager, environmental, health and safety and site seniormanagement.• Conducting detailed environmental, health and safety riskassessment of existing work-areas, as well as changes inprocesses or equipment.• Sharing lessons learned from near-miss incidents across theorganization.• Implementation of a Behavior focused improvement process. 2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT23

Risk Assessment – Identify, Prioritize, and CorrectProactively indentifying workplace environmental, health, and safety risks is a critical part of ensuring we provide a safeworkplace for our employees, and reduce our environmental risks. Allergan’s risk assessment process, facilitated by a web basedtool, is completed by environmental, health and safety professional in consultation with engineers, management, and work areaemployees. The risk assessment process begins with an identification of all tasks associated with a work activity, process, or theoperation of equipment. After task identification, the EHS risks for each task are identified and evaluated based on frequency,likelihood of occurrence, and severity. Corrective actions are identified, and implemented to reduce the risk medium and highrisks. For example at one Allergan location we completed 173 EHS risk assessments in 2012. Implementation of variouscorrective actions has reduced these risks by 50%.Top HazardsRisk MapDiversity, Training, Development and RecognitionEmployee EngagementEngaged and motivated employees are key behavior trait ofsuccessful organizations. In partnership with AON Hewitt,Allergan conducted a global employee perception survey tocollect employee feedback on key engagement drivers includingcompany practices, total rewards, career opportunities, work,people and quality of life. With an 83% participation rate theresults of the survey indicate we are in the High Performance/Best Employer range (based on Aon Hewett’s model of2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT24

engagement). Our score of 68% engaged employees compares to60% for global pharmaceutical companies, and 79% for globalbest employers. In our pursuit of continual improvement wehave identified three key areas for further action. These focusarea include career opportunities, performance management,and work Processes.DiversityThe strength of our organization rests upon our diverse,talented and committed employees, approximately 11,400 in2012, an increase of nearly 13%. In 2012, we hired more than1200 employees globally. We are committed to a diverse andinclusive workplace – where colleagues of all backgrounds havethe opportunity to be successful. In 2012, women comprised53% of our workforce and 40% of our leadership roles. Thisincludes more than 39% of our manager and director roles, andnearly 27% of our executive positions. We are also fortunate tohave two exceptional female members of our Board of Directorswho bring truly exceptional credentials to our organization andare committed to its development. Also, 31% of our employeesworldwide have worked at Allergan for more than 7 years.Learning & DevelopmentWe are committed to being an inclusive and developmentallyrewarding place to work. Our lean and efficient structureencourages responsibility and accountability that enables eachand everyone to make an individual and collective differencewith the opportunity to be noticed and recognized for accomplishments.A comprehensive learning management system hasbeen implemented to ensure consistent and comprehensivecompliance and technical training takes place, and providespowerful reporting tools. In 2012, our employees averaged over25 hours of training to further their development. We also offered50 training classes focused on management and leadership.During the past 3 years we have made significant additionalinvestments in career and leadership development and haverolled out a model and curriculum to ensure all of our employeeshave significant opportunities to grow and develop, and thatAllergan has the talent pool necessary to sustain its growth.AllerganDistribution of AgeAllerganDistribution of TenureAllerganDistribution of GenderWe are also committed to providing competitive rewards for ouremployees. Our compensation programs are market-driven,reward our employees for superior performance and align withshareholder value creationBioethicsAllergan assures that when working with biological agents,organisms, and toxins, it is done in the safest manner possible.Allergan assures that risks associated with work involvingbiological agents, organisms, and toxins are managed to thehighest practical level. Allergan assures that strict compliancewith international and national regulations and guidelinesregarding design and operation of these types of facilities is inplace. Allergan assures consistency between Allergan groups andsites using biological agents, organisms, and toxins. The samestandards apply at all Allergan facilities. Allergan continuesto evaluate existing practices against current and state of theart practices.Allergan meets Center for Disease Control (CDC) requirementsand is licensed by the CDC to manage biological organisms andtoxins. Allergan follows the Biosafety in Microbiological andBiomedical Laboratories (BMBL) requirements for all aspectsof the work conducted in these areas.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT25

Corporate Statement on Animal TestingThe U.S. Food and Drug Administration (FDA) and otherworldwide health regulatory agencies currently require allpharmaceutical manufacturers to protect patients andconsumers by establishing product quality, safety andeffectiveness through approved and validated testing methods,which include animal testing in some instances.Allergan shares the pharmaceutical industry's goal of reducingor eliminating animal testing wherever possible and is committedto the "3Rs" principles of refinement, reduction andeventual replacement of laboratory animals in product testing.Allergan is pleased, that after more than a decade of researchand development and an approximately $65 million investment,we have minimized to the greatest degree possible theneed for animal-based assays in the manufacture of BOTOX ®and BOTOX ® Cosmetic. In June 2011, the United States Foodand Drug Administration (FDA) approved the first fully invitro, cell-based assay for use in the stability and potency testingrequired for the sale of BOTOX ® (onabotulinumtoxinA)and BOTOX ® Cosmetic in the United States. Allerganestimates that use of the new assay will reduce the use of animal-basedassay testing for BOTOX ® and BOTOX ® Cosmeticby up to 95 percent or more over the next three years, as otherregulatory agencies around the world approve this new assay.The new assay is the first to be developed and approved forany botulinum neurotoxin currently available worldwide, andis specifically applicable to Allergan’s botulinum toxin type Aproduct.We are proud to have achieved this major scientific milestonein the development of a safe and effective alternative test capableof eliminating the need for an animal-based assay forBOTOX ® and BOTOX ® Cosmetic. Following the FDAapproval, we will work hard to secure approval of the newassay to replace the current animal testing requirements forthe release and stability testing of BOTOX ® and BOTOX ®Cosmetic in countries in which we market and distributethe product.BOTOX ® Cell-Based Potency Assay (CBPA)Over the years a number of attempts have been made to findstrategies to replace the animal-based LD50 assay for testing ofbotulinum neurotoxins but have fallen short for a variety ofreasons. The mouse LD50 potency assay is required by theFDA, the Medicines and Healthcare products RegulatoryAgency (MHRA) in Europe and regulatory agencies aroundthe world for testing final product for release to assure its safetyand efficacy. Limitations associated with the current mouseLD50 assay, which has been the standard for potency andstability testing of BOTOX ® and BOTOX ® Cosmetic and otherbotulinum neurotoxin type A products, include the necessaryinvolvement of animals due to the current structure of theassay, the complexity of the procedures involved, lack of specificity,as well as variability between assays and laboratories.Botulinum neurotoxin is one of the most potent naturallyoccurring substances and has a complex multi-stage mechanismof action. Purified botulinum neurotoxin type A is the activeingredient in BOTOX ® and blocks the release of neurotransmittersfrom nerves, resulting in a localized and temporary reductionin the overacting muscle or gland. The amount of neurotoxin inBOTOX ® is extremely small; in fact, less than one gram per year isrequired to supply the entire world.A suitable replacement potency assay to the LD50 assay musttherefore be sensitive enough to measure the complex mode ofaction of extremely small amount of the neurotoxin used inBOTOX ® in the cellular level. Established performance criteriaagainst which the new cell-based potency assay needed to be validatedincluded the ability to assess all primary modes of action ofthe neurotoxin. In addition, the new assay format had to be suitablefor use in an intensely quality-controlled environment and atthe high capacity needed to support commercial production.The new cell-based potency assay for BOTOX ® and BOTOX ®Cosmetic is specific to Allergan’s formulation of botulinumneurotoxin type A. Allergan is discussing how to license thetechnology to other parties that share its commitment toimplementing non-animal alternatives to animal-based assaysin the manufacture of their medical products.At Allergan, we believe the best of medicine is realized whenpatients have the information they need to make wellinformeddecisions regarding their treatment options.Information can be found throughout our Web site about ourproducts and the conditions they treat, along with helpfullinks to additional patient education and support resources.Patient Resources2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT26

Since Allergan's inception more than 60 years ago, bringing thebest of medicine to the forefront of patient care has always entaileda commitment to interaction and involvement: Listeningto doctors and addressing patients' needs. We work diligentlyto make sure we are providing the tools and channels to keepthe conversation as dynamic and direct as possible.Underlying our commitment is a drive to help medical specialistsimprove patient outcomes. We pursue this goal throughongoing training about our products, hand-on workshops byPhysician Resourcesexperts to stimulate scientific exchange and sharing of bestpractices, and support for medical education and ongoing studies.The ALLERGAN ACADEMY education programs, forexample, offer a forum for peer-to-peer discussion and a comprehensivecurriculum in-person and via the Web for plasticsurgeons to learn more about our breast aesthetic portfolio.The ALLERGAN ACADEMY education programs also facilitatethe Allergan Physician Certification Program, whichgrants surgeons access to the NATRELLE ® Collection ofsaline and silicone gel-filled breast implants upon completion.The Allergan Foundation has made grants focusing support infour philanthropic areas: the arts, civic programs, education,and health and human services. As part of The AllerganFoundation's commitment to health and human services, theFoundation also supports selected initiatives, known as "FocusGrants," to improve patient diagnosis, treatment, care, and qualityof life, or to otherwise promote access to quality health care.Priority 1 is to support local health and human services effortsthrough donations and grants as well as through collaborationswith businesses and health organizations to promote well beingand help meet unmet medical needs. These efforts are focusedworldwide and not strictly based on Allergan internaloperational areas.Priority 2 is to support local educational programs and servicesthrough donations and grants as well as through collaborationsand volunteer-advocacy by employees both company supportedand time given by employees. These efforts are engaged in alllocal and regional areas where Allergan conducts research,manufactures and conducts commercial business.Priority 3 is to support local arts and arts and civic programsand services through donations and grants as well as throughcollaborations and volunteer-advocacy by employees bothcompany supported and time given by employees. These effortsare engaged in all local and regional areas where Allergan conductsresearch, manufactures and conducts commercial business.At Allergan, the focus on cutting-edge science, sound businesspractices and a global perspective contribute to the Company’sultimate goal – to make a positive impact on the health andwell-being of people around the world. At The AllerganFoundation, we mirror this perspective through the funding ofprograms and services benefiting communities and improvinglives in the areas where Allergan’s employees live and work. In2011, as a result of the ongoing commitment of Allergan and its10,000 employees around the world, we supported 385 organizationswith $4.9 million in funding, extending the reach of TheAllergan Foundation’s philanthropic commitment even further.Philanthropy and CitizenshipThe Allergan Foundation receives hundreds of CommunityGrant applications each year, and thoughtful consideration isgiven to each request. Grants are awarded in four areas offunding: education, the arts, civic and community, and healthand human services, with special attention given to the workof organizations that connect resources with underserved,vulnerable populations. On the following pages, we invite youto learn about a few of the programs and organizations thatstood out in 2011: Knots of Love, crafting homemadebeanies to warm the heads and hearts of cancer patients;KidsCARE at CHOC Children’s, supporting families ofchildren with acute illness through difficult times; theWounded Warrior Careers Program of the NationalOrganization on Disability, supporting returning veteranswith wraparound job services; the Academic Success Programfunded through Project Hope Alliance, providing access toeducation for homeless children; Santa Barbara Channelkeeper,sharing the knowledge of the ocean and waterwayswith inner city children; and The Wooden Floor, using thevehicle of modern dance to transform lives and ease povertyfor some of Orange County’s most underserved children.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT27

On the global front, The Allergan Foundation supporteddisaster relief efforts in Japan and Thailand in response tosignificant humanitarian crises in those countries. In addition,the Allergan International Foundation (AIF) continued theglobal extension of The Allergan Foundation’s philanthropicefforts. Reflecting the mission of The Allergan Foundation onan international level, AIF aims to provide lasting and positiveimpact for communities outside the United States ofAmerica. In 2011, AIF distributed approximately $500,000 insupport of a broad range of interests, including a Brailleeducation project in France, a macular degeneration appeal inIreland, and a school for special needs children in SouthAfrica. Looking to the future, AIF plans to continue focusingits lens on a variety of initiatives around the world. We areintent on bringing aid and relief to underserved communitiesand sharing The Allergan Foundation’s considerablephilanthropic concern with the global community.The Allergan International FoundationThe Allergan International Foundation (AIF) is committed toproviding a lasting and positive impact on communities acrossthe globe. The AIF focuses on communities outside of theUnited States, while The Allergan Foundation primarilysupports communities within the United States.The AIF is active in four philanthropic areas: the arts, civicprogrammes, education and health and human services, in whichit promotes access and improvements to quality health care,diagnosis and treatment, education, research, quality of life anddisease awareness.AIF grants are awarded to charitable organisations withhigh-quality programmes and services, well-defined goals, acommitment to maximising available resources, and a reputationfor meeting objectives and reporting measured results. The objectivesand programmes of any requesting organisation must beclearly defined and the program objectives must be achievement.Organisations that we are proud to be supporting include: TheNational Council for the Blind in South Africa, Forest TownSchool for Special Needs Children in South Africa, MeningitisUK, ChildAid, Children in Crisis, Fighting Blindness, HeadwayDevon, Hammer Out Brain Tumours, Tuberous SclerosisAssociation (UK) and Fondazione G.B.Bietti. We would like toexpand our activities into each country where we have an officeand employees and support worthy causes in those areas.improve lives and elevate communities and on behalf of theBoard of Directors, we are grateful for this opportunity, and weare proud to stand with the organizations and individualsmaking a difference in the world.Allergan philanthropic donations are captured at the followingwebsite for the 2012 calendar year:http://www.allerganfoundation.org/DownloadDocs/AnnualReport.pdfAllergan product donations given directly by Allergan to relieforganizations worldwide totaled more than 600,000 Allerganproduct units such as ACULAR ® , ALPHAGAN ® ,LUMIGAN ® , COMBIGAN ® , REFRESH OPTIVE ® , andother product lines. The number of organizations supported inthese efforts totals more than 70 international relief organizations.Allergan has a breakdown of the organizations and thetype and quantity of Allergan products that were received.Allergan does not wish to share this detailed information.On the global front, The Allergan Foundation supported disasterrelief efforts in Japan and Thailand in response to significanthumanitarian crises in those countries. In addition, the AllerganInternational Foundation (AIF) continued the global extensionof The Allergan Foundation’s philanthropic efforts. Reflectingthe mission of The Allergan Foundation on an internationallevel, AIF aims to provide lasting and positive impact for communitiesoutside the United States of America. In 2011, AIFdistributed approximately $500,000 in support of a broad rangeof interests, including a Braille education project in France, amacular degeneration appeal in Ireland, and a school for specialneeds children in South Africa. Looking to the future, AIFplans to continue focusing its lens on a variety of initiativesaround the world. We are intent on bringing aid and relief tounderserved communities and sharing The Allergan Foundation’sconsiderable philanthropic concern with the globalcommunity.Allergan has also put an emphasis on volunteerism within ouremployee base and is encouraging employees to get involved intheir communities if they are not already doing so. Allergan isallowing time away from work with pay in order to participate inthese efforts.Especially significant in 2011 was the addition to The AllerganFoundation’s Board of Directors of Mr. Gavin S. Herbert,Founder of Allergan, Inc. A pioneer and visionary in the field ofhealth care, Mr. Herbert brings with him an unparalleled wealthof knowledge and insight, and provides strong support for ourwork in philanthropic decision-making. The AllerganFoundation is grateful for his active involvement and appreciatesMr. Herbert’s continued service to the broader community.Looking to the future, The Allergan Foundation stands securewith $47 million in assets, allowing us to continue supporting abroad base of important work. Focused intently on a spirit to2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT28

How We Measure Grant Application EffectivenessKPI 1: Screening grant applications for applicability to grantrecipient requirements.The Allergan Foundation will consider awarding grants forprograms that:• Promote education, research, and awareness ofophthalmologic, dermatologic, neurological, breast, andurologic health, as well as obesity prevention and intervention.• Improve the quality of health care and patient access to care,with an emphasis on women’s health issues and the agingpopulation.• Enhance and strengthen the communities where Allergan,Inc. has a facility or employees by contributing to the arts,education, and other civic and community causes.Grant LimitationsGrants are not made to support or fund:• Organizations that are not 501(c)(3) publicly supported charities.• Individual or family requests for scholarships, fellowshipassistance, or other types of support.• Refugee- or religious-based activities for the purpose offurthering religious doctrine.• Fraternal, labor, or political organizations.• Organizations that discriminate on the basis of race, religion,creed, gender, or national origin.• Matching gifts.• University administrative, management, or indirect fees.• Golf tournaments, athletic events, league or teamsponsorships, or school-affiliated orchestra, band, choir,student trips, or tours.• Private schools K-12.• Fundraising activities or advertising sponsorships.• Activities that propagandize, influence legislation and/orelections;promote voter registration; political candidates, politicalcampaigns or engaged in political activities; litigation.• Institutions limiting their services to persons of a singlereligious sect or denomination.• Conferences, workshops, exhibits, travel, surveys, orconsumer interest groups.• Endowments, capital, or building campaigns.• Contingencies, deficits, or debt reduction.• Fundraising dinners or events.• Contributions in the name of a memorial tribute.• Charities or funds solely directed by a single physician ormedical practice group.Grants generally are not approved for:• Organizations that collect funds for redistribution to othernonprofit groups.• Regular, ongoing operating support.• Agencies, projects or programs primarily financed bygovernment sources.The financial status of the requesting organization and itssources of income must also meet applicable legal requirements,including proof of tax-exempt status under section 501(c)(3), asa public charity described in sections 509(a)(1) or 509(a)(2) ofthe Internal Revenue Code, and status as a nonprofitorganization under applicable state law. In assessing potentialgrant recipients, The Allergan Foundation considers the extentof the public benefit provided by the requesting organization.An effective governing board, efficient management, and strongcommunity support are also among the criteria considered.Under its Focus Grant initiative, The Allergan Foundationconsiders making Focus Grants to patient and health carecenteredorganizations aligned with The Allergan Foundation’smission statement. Applications for Focus Grants are reviewedand considered on an annual basis only by invitation ofThe Allergan Foundation Board of Directors and not as part ofthe Community Grant process.The Allergan Foundation reserves the right, in its sole discretion,to reject any request even when the requesting organizationmeets The Allergan Foundation’s grant guidelines.“WE CARE” GrantsThe Allergan Foundation also evaluates requests for funding toorganizations in which employees of Allergan, Inc. take a stronginterest through their personal donations and time. With its“We Care” program.The Allergan Foundation considers financial grants to suchorganizations annually, based on applications submitted byAllergan, Inc. or an employee of Allergan, Inc. “We Care”grants are usually made in amounts ranging from $500to $1,500.KPI 2: TAF evaluates the impact to the community and theintended recipients of the donation or grant and itsintended purpose. Grants are competitively comparedeven if the minimum grant requirements are met inorder to determine which requests are going to have thegreatest impact.KPI 3: Outcomes are measured periodically and randomlyagainst the request proposals in order to determine ifthe intended purpose is achieved and how successfully.KPI 4: Allergan reputation is measured qualitatively throughperiodic and random surveys with local communityefforts in order to gage the effectiveness of participationand improving the selection process.KPI 5: Allergan volunteer efforts are assessed based on theturnout of employees in company organized volunteerprograms and projects.Additional InformationThe objectives and programs of the requesting organizationmust be clearly defined and reasonably capable of achievement.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT29

Allergan operates with value-based contracts involving dynamicpricing models which are based on outcomes and patientcoverage. Global Health Outcomes Strategy and Researchmanages by product and disease what the expected patientoutcomes should be and then measures the actual outcomes.This process is extensive and covers all Allergan products. Thestrategies are determined and reviewed several times a year toensure that the outcome goals are being achieved and if notwhat research and studies need to be undertaken to determinewhy not. Adaptive pricing based on both individual wealth andfor long term condition treatements are used extensively.Volume rebates, risk sharing and no cure – no pay processes arealso used again depending on the product and condition beingtreated. Various regions and countries have different mechanismsfor managing fair pricing. For example in Canada,Allergan works with provincial governments to implement fairpricing such as those listed above. In Europe, Africa and theMiddle East, Allergan works with the local governments to implementfair pricing such as those listed above. Patient reportedoutcomes (PRO) are tracked through databases and analyzedfor actual versus expectations. Impactful patient dialogue isrequired to ensure that outcomes are as planned or if not beneficialto determine the causes. FDA and Ministries of Healthworldwide are also beneficiaries of this process as well as payorsand reimbursement decision makers. Health TechnologyAssessments drive this process and Allergan works with thesegroups such as NICE, SMC, AMCP, etc. to ensure that costcontainment and treatment effectiveness are both achieved.Real world evidence has shaped how Allergan designs clinicaltrials and reports data from these trials. Nontraditional approachesthat Allergan takes is to conduct head to head trials,long term real world studies, randomized clinical trials, claimsanalyses, systematic literature reviews, and indirect treatmentcomparisons. The majority of evidence generation at Allerganoccurs in the following areas: Clinical trials, Global Safety andEpidemiology, Global Health Outcomes Strategy and Research,and Global Medical Affairs. The patient’s quality of lifeand functional status are evaluated along with the patient reportedoutcomes. The value provided by Allergan’s approach isto ensure that patients are reached and treatments are availableand affordable, unmet medical needs are addressed, payers andreimbursers have a more efficient and cost effective system,increase patient and physician awareness and access, and ensurethat hospitals increase and expend utilization.Cost Burden and Health OutcomesAs mentioned in the Access to Medicines section and thePhilanthropy and Citizenship section, Allergan is makingdirect donations to relief agencies and other non-governmentalorganizations (NGO). These products are being made availableat no cost to the patients. The Allergan Foundationsupported disaster relief efforts in Japan and Thailand inresponse to significant humanitarian crises in those countries.In addition, the Allergan International Foundation (AIF)continued the global extension of The Allergan Foundation’sphilanthropic efforts. Reflecting the mission of The AllerganFoundation on an international level, AIF aims to providelasting and positive impact for communities outside theUnited States of America. Looking to the future, AIF plans tocontinue focusing its lens on a variety of initiatives around theworld. We are intent on bringing aid and relief to underservedcommunities and sharing The Allergan Foundation’s considerablephilanthropic concern with the global community.Allergan product donations given directly by Allergan to relieforganizations worldwide totaled more than 600,000 Allerganproduct units such asACULAR ® , ALPHAGAN ® , LUMIGAN ® , COMBIGAN ® ,REFRESH OPTIVE ® , and other product lines. The numberof organizations supported in these efforts totals more than 70international relief organizations. Allergan has a breakdownof the organizations and the type and quantity of Allerganproducts that were received. Allergan does not wish to sharethis detailed information.Allergan operates cycle of care programs for its key products.Studies are presented that show efficacy of products offeredsuch as humanistic and economic burden of late detection,development of treatment satisfaction measures, burden ofillness studies and real world benefits and satisfactionmeasures. Details on benefits offered and expenses incurred arecaptured in these web pages and documents:http://www.allergan.com/assets/pdf/agn_benefits.pdfandhttp://files.shareholder.com/downloads/AGN/2306747989x5660121xS850693-13-2/850693/filing.pdf. ClinicalTrials and post treatment follow on studies are included at thefollowing website: http:// www.clinicaltrials.gov/. These arebeing continually updated with the latest information.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT30

Allergan is committed to and makes contributions to improvingaccess to medicines that we produce and to supportinghealthcare in the developing world, but Allergan believes thatreal progress can only be made through the commitment of allrelated stakeholders, including governments, non-governmentalorganizations (NGO) and the international community, aswell as the private sector. Only by working together can sustainableimprovements be achieved.While the medicines currently in Allergan's portfolio are notindicated to treat the most significant diseases the developingworld is facing today (HIV/AIDS, TB and malaria), we areapplying our skills and resources to help in other ways. Wecontinue to develop cures for the treatment of glaucoma andother diseases of the eye which are applicable to people in allcountries of the world. We continue to partner with NGOsand other organizations working with underserved communitiesto strengthen their frameworks for managing healthcare ina sustainable way. In particular, we focus on community-basedprojects that can be scaled up to improve outcomes for thegreatest number of people.Allergan operates with value-based contracts involvingdynamic pricing models which are based on outcomes andpatient coverage. Global Health Outcomes Strategy andResearch manages by product and disease what the expectedpatient outcomes should be and then measures the actualoutcomes. This process is extensive and covers all Allerganproducts. The strategies are determined and reviewed severaltimes a year to ensure that the outcome goals are beingachieved and if not what research and studies need to beundertaken to determine why not. Adaptive pricing based onboth individual wealth and for long term condition treatementsare used extensively. Volume rebates, risk sharing andno cure – no pay processes are also used again depending onthe product and condition being treated. Various regions andcountries have different mechanisms for managing fair pricing.For example in Canada, Allergan works with provincial governmentsto implement fair pricing such as those listed above.In Europe, Africa and the Middle East, Allergan works withthe local governments to implement fair pricing such as thoselisted above. Patient reported outcomes (PRO) are trackedthrough databases and analyzed for actual versus expectations.Impactful patient dialogue is required to ensure that outcomesare as planned or if not beneficial to determine the causes.FDA and Ministries of Health worldwide are also beneficiariesof this process as well as payors and reimbursement decisionStrategy to Improve Access to Drugsmakers. Health Technology Assessments drive this processand Allergan works with these groups such as NICE, SMC,AMCP, etc. to ensure that cost containment and treatmenteffectiveness are both achieved. Real world evidence hasshaped how Allergan designs clinical trials and reports datafrom these trials. Nontraditional approaches that Allergantakes is to conduct head to head trials, long term real worldstudies, randomized clinical trials, claims analyses, systematicliterature reviews, and indirect treatment comparisons. Themajority of evidence generation at Allergan occurs in the followingareas: Clinical trials, Global Safety and Epidemiology,Global Health Outcomes Strategy and Research, and GlobalMedical Affairs. The patient’s quality of life and functionalstatus are evaluated along with the patient reported outcomes.The value provided by Allergan’s approach is to ensure thatpatients are reached and treatments are available and affordable,unmet medical needs are addressed, payers and reimbursershave a more efficient and cost effective system, increasepatient and physician awareness and access, and ensure thathospitals increase and expend utilization.Allergan is making direct donations to relief agencies andother non-governmental organizations (NGO). These productsare being made available at no cost to the patients.Allergan follows the WHO guidelines for Drug Donations.The Allergan Foundation supported disaster relief efforts inJapan and Thailand in response to significant humanitariancrises in those countries. In addition, the Allergan InternationalFoundation (AIF) continued the global extension ofThe Allergan Foundation’s philanthropic efforts. Reflecting themission of The Allergan Foundation on an international level,AIF aims to provide lasting and positive impact for communitiesoutside the United States of America. Looking to thefuture, AIF plans to continue focusing its lens on a variety ofinitiatives around the world. We are intent on bringing aid andrelief to underserved communities and sharing The AllerganFoundation’s considerable philanthropic concern with theglobal community. Allergan product donations given directlyby Allergan to relief organizations worldwide totaled morethan 600,000 Allergan product units such as ACULAR ® ,ALPHAGAN ® , LUMIGAN ® , COMBIGAN ® , REFRESHOPTIVE ® , and other product lines. The number of organizationssupported in these efforts totals more than 70 internationalrelief organizations. Allergan has a breakdown of theorganizations and the type and quantity of Allergan productsthat were received.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT31

Allergan has facilities and offices located in major cities and inrural locations. Allergan has established a position to preservebiodiversity on an ongoing basis at our operations. Allerganassures that risks associated with land use, operations andimpacts to biodiversity are identified and mitigated. Allerganassures compliance with international, national and localregulations and guidelines regarding biodiversity protectionand preservation. Allergan assures open space and green areasare included in land use planning at our operations. Allerganassures consistency between Allergan sites regarding land use.Allergan also continues to evaluate our existing practicesBiodiversityagainst current state of the art practices. Allergan has had extensiveinvolvement in onsite activities to preserve green spaceand encourage community preservation of open green spacesuch as the Lake Waco Wetlands Habitat Preservation projectsupported by volunteers from Allergan’s Waco Texas facilitywith support from Allergan. As well as the Newport Back BayConservancy located in Irvine California and the AllerganPharmaceuticals Ltd Westport Ireland volunteers that supportrainforest preservation and local biodiversity preservation.Allergan agrees with the principles included in the UN Conventionon Biodiversity and strives to meet these principles.Allergan's corporate culture is steeped in a rich tradition ofexcellence, hard work, and a dedication to improving qualityof life. As a result, we seek to encourage innovation, personaland career growth, and a sense of meaning that goes farbeyond our walls. Allergan was built on the commitment ofmeeting unmet medical needs. Today, we continue thistradition by recognizing those employees who believe that anidea can change the world.Every three months, our executive leadership committee selectsand recognizes outstanding employees with the Hidden GemAward. This award program recognizes and rewards employeeswho embody Allergan's spirit of innovation and serve as anexample and inspiration to their fellow colleagues. The work ofour outstanding scientists and inventors is also recognized byAllergan has successfully initiated its fourth SustainabilityStrategic Plan. Allergan has been evaluated by many organizationsand based on these assessments is a member of the DowJones Sustainability Index North America and USA as well asa member of the FTSE4Good Index since inception. Allerganis also a member of the Domini 400 Indexes and has been forseveral years. Allergan located in Waco, Texas received the USEPA Energy Star Pharmaceutical Plant Energy Efficiencycertification for the fifth year in a row. Allergan located inIrvine California and in Santa Barbara California received theWaste Reduction Award Program (WRAP) Award inCalifornia in 2012. Allergan Pharmaceuticals Ireland receivedRecognizing ExcellenceConclusiontheir peers at our annual Authors' and Inventors' Reception.Across our sales organization, there are also several programsin place to recognize and reward those who are positivelycontributing to the business.We feel strongly about recognizing excellence, and Allergan hasreceived many such awards. The Company has been recognizedby Forbes and Business Week as one of America's bestmanaged companies and Institutional Investor namedAllergan "America's Most Shareholder-Friendly Company."David Pyott has also received many accolades for his role asAllergan Chairman, President and Chief Executive Officerfrom organizations including Institutional Investor, OrangeCounty Business Journal and The Sunday Times.the 2012 National Irish Safety Organization (NISO) SafetyAward. Allergan Pharmaceuticals Brazil received the PharmaUnion Safety Award in 2012. Allergan also completed theCarbon Disclosure Project survey establishing Allergan’spositions regarding climate change and water disclosure.Allergan facilities worldwide also certified greenhouse gasemissions verified by ERM-CVS. Finally, Allergan hascommitted to the UN Global Compact and specifically to theprograms related to climate change, water conservation, andanti-corruption practices. Allergan looks forward to achievingeven greater success during the rest of this current strategicperiod.2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT32

Sustainability Performance Summary TableEHS Performance Indicator 2005 2010 2011 2012Occupational Injury and Illness Incident Frequency Rate 0.90 0.90 0.98 0.71DART Case Rate 0.57 0.39 0.75 0.46Hazardous Waste (tonnes) 191 532 336 360HW per Unit (tonnes/million units) 0.20 0.30 0.18 0.19HW per Sales (tonnes/million sales) 0.08 0.11 0.06 0.06Solid Waste (tonnes) 1,493 1,473 1,347 1,240SW per Unit (tonnes/million units) 1.52 0.83 0.71 0.65SW per Sales (tonnes/million sales) 0.64 0.30 0.25 0.22Recycling (tonnes) 1,772 3,600 4,196 3,805Recycling per Unit (tonnes/million units) 1.81 2.03 2.22 1.99Recycling Rate (%) 54 71 76 75Electrical Energy (GJ) 491,056 488,503 492,702 507,655Electrical Energy per Unit (GJ/million units) 501 275 261 266Electrical Energy per Sales (GJ/million sales) 212 99 91 89Fuel Consumption (GJ) 554,157 455,525 476,943 480,322Fuel per Unit (GJ/million units) 565 257 253 251Fuel per Sales (GJ/million sales) 238 93 88 84Total Energy Consumption (GJ) 1,045,214 944,028 969,645 987,977Total Energy per Unit (GJ/million units) 1066 532 514 517Total Energy/ Square Meter (GJ/M2) 6.42 3.81 3.84 3.79Water (M3) 844,636 884,818 961,192 988,319Water per Unit (M3/million units) 862 499 510 518Water per Sales (M3 million sales) 364 180 177 173Hazardous Materials Consumption (tonnes) NA 4,317 2,815 2,826ODC (kg) 2,334 4,168 7,191 7,211Pkg. Toxic Metals (kg) 0.00 0.00 0.00 0.00Thimerosal, PMN, PMA (kg) NA 0.27 0.14 0.26EPDC Score 68 67 68 67Notices of Violation 0 1 0 0EHS Compliance Penalties/Fines ($) $0 $0 $0 $0Remediation Settlements ($) $0 $0 $0 $0Cumulative Greenhouse Gases Reductions by Project (tonnes) (21,727) (27,791) (31,585) (33,111)Volatile Organics (VOC) Air Emissions Loading (tonnes) 1 0.80 1 0Nitrogen Oxides (NOx) Air Emissions Loading (Tonnes) 9.55 12.18 12.81 2.86Sulfur Oxides (SOx) Air Emissions Loading (tonnes) 0.17 0.09 0.10 0.06Wastewater Discharge Chemical Oxygen Demand (COD) Loading (tonnes) 10.8 11.2 5.79 7.09Wastewater Discharge Biological Oxygen Demand (BOD) Loading (tonnes) 1.79 0.93 0.89 0.81Wastewater Discharge Total Suspended Solids (TSS) Loading (tonnes) 1.96 0.99 1.23 2.02Greenhouse Gas Emissions (tonnes of CO2) - Indirect from Electrical Consumption 59,189 50,234 48,173 48,212Greenhouse Gas Emissions (tonnes of CO2) - Direct from Fuel Combustion 28,218 23,423 24,536 24,659Greenhouse Gas Emissions (tonnes of CO2) - Total 87,407 73,657 72,709 72,870Greenhouse Gas Emissions per Unit (tonnes of CO2/million units) 89 42 39 38Greenhouse Gas Emissions per Sales (tones of CO2/million sales) 37 15 13 12Greenhouse Gas Emissions per Square Meter (tones of CO2/M2) 0.53 0.30 0.29 0.28Green Power Consumption (% of Total Power Consumed) 10 13 13 17Board Diversity (% Female) 8 17 17 20Units Produced (000s) 980,299 1,773,839 1,886,388 1,909,668Sales (000s) $2,319,000 $4,919,000 $5,419,100 $5,708,800Total Facility Area (square meters) 162,905 247,815 252,216 260,763Number of Employees 5,213 9,225 10,088 11,4012013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT33

GHG Verification Statement (Appendix A)2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT34

2013 ALLERGAN SUSTAINABILITY PERFORMANCE REPORT35