EXCERPT FROM THE 2008 SUSTAINABILITY REPORT

METHODOLOGY,
PERFORMANCE & ASSURANCE

Indicators and correspondence tables

200 7 200 8

UNIT GROUP CEMENT AGGREGATES GYPSUM GRI G3

& CONCRETE
Activity
Sales billion euros 17.6 19.0 10.9 6.6 1.5 EC1
Breakdown of sales by business % 57.3% 34.5% 8.0% EC1
Total headcount *
number 77,721 83,438 49,673 25,633 8,132 LA1
Breakdown of 2008 headcount by business % 59.5% 30.7% 9.8% LA1
Annual production unit of product 165.1 42.5 million m3 872
million of concrete million m2 of
tonnes of 236 million wallboard(B)
cement (A) tonnes of
aggregates
Management
Lafarge internal management systems % of sales 66% 76% 76% 70% 100%
Of which ISO 14001 certified systems % of sales 34% 42% 60% 17% 21%
Environment
Total energy consumption million tonnes of 11.9 13 12.9 0.3 0.5 EN3
Oil Equivalent
Water consumption L/unit 343 284 6.02 EN8
of product L/tonne L/m3 of L/m2 of
of cement readymix plasterboard(D)
% of sites equipped with water recycling system % 72% 74% 77% 74%(C) 65%
Use of alternative raw materials % of total raw 11.22% 50.77 (D) EN2
materials consumed
Waste disposed of % of total production 0.79% 1.3% EN22
NOx emissions (1) ? g/t clinker 2,103 EN20
SO2 emissions (1) ? g/t clinker 632 EN20
Stack dust emissions (1) ? g/t clinker 169 EN20
Quarries with a rehabilitation plan (2) ? % 75% 79% 67% 84% 89% EN14
% of sites audited environmentally in the last 4 years (3) ? % 84% 83% 93% 81% 100%
Specific gross CO2 emissions ? t CO2/tonne of product 0.648 NA NA EN16
Specific net CO2 emissions ? t CO2/tonne of product 0.629 NA NA EN16
Net CO2 emissions million tonnes 97.4 105.4 103.9 0.5 1.0 EN16
R&D budget million euros 29.7 34.9
Environmental and safety investments million euros 148 157 119 22 16 EN30
(amounts committed)
Health & safety
Lost time injury frequency rate (6) ? points 1.66 1.57 1.27 1.51 3.38 LA7
Lost time injury severity rate (7) points 0.14 0.101 0.076 0.12 0.176 LA7
Number of lost-time injuries number 247 234 105 76 53 LA7
among Lafarge employees (4) (5)
Number of lost-time injuries number 231 173 112 33 28 LA7
among contractors' employees
Lafarge employee fatalities on site (4) number 7 2 1 1 0 LA7
Lafarge employee fatalities - transport number 2 3 3 0 0 LA7
Contractor employee fatalities on site number 14 21 20 1 0 LA7
Contractor employee fatalities - transport number 3 14 12 1 1 LA7
Third-party fatalities on site number 3 0 0 0 0 LA7
Third-party fatalities - transport number 3 8 4 4 0 LA7
Lafarge employee fatality rate (4) (8) number 1.30 0.60 0.80 0.39 0 LA7

NA: Not available

(A) Total physical output (B) and 1515k tonnes of plasterpowder. (This figure includes all powders and readymix compounds.) (C) Readymix plants only. (D) Plasterboard activity only.

I Indicators verified by Ernst & Young

EXCERPT FROM THE 2008 SUSTAINABILITY REPORT

2007 2008

UNIT GROUP GRI G3

Social data at Group level

Employment
Full-time % 98% 98.5% LA1
Part-time % 2% 1.5% LA1
Permanent employees % 91% 91% LA1
Fixed-term contracts % 3% 2% LA1
Temporary employees % 6% 7% LA1
Hirings number 5,535 8,481 LA2
Resignations number 4,430 4,148 LA2
Retirements number 879 958 LA2
Redundancies number 4,846 5,009 LA2
Deaths number 175 143 LA2
Diversity
Percentage of women in senior management (9) ? % 12.3% 12.9% LA13
Percentage of employees under the age of 30 % NA 18.7% LA13
Percentage of employees between 30 and 50 % NA 60.5% LA13
Percentage of employees above 50 % NA 20.8% LA13
Training
Average number of hours of training for manager staff number 41 44 LA10
Average number of hours of training for non manager staff number 25 29 LA10
People development
Percentage of manager staff having an annual performance review % 90% 96% LA12
Percentage of non manager staff having an annual performance review % 57% 55% LA12
Industrial relations
Percentage of Lafarge employees represented by elected staff representatives % 67% 65%
and/or trade union organizations (4)
Percentage of business units where employees are covered by collective agreements % 78% 76% LA4
Number of business units with strike actions number 8 7
Percentage of the total workforce represented in Health & Safety committees % 73% 92% LA6
Restructuring
Percentage of business units having implemented a significant headcount reduction % 15% 18% (A)
impacting more than 5% of the workforce
Percentage of business units having set up an employment channel for employees % 79% 50%
Percentage of business units having set up a local economic development channel for local communities % 69% 31%
Number of Lafarge employees re-employed outside the Group (in another group, or their own business) (4) number 873 572
Number of external jobs created through the local economic development program number 468 521
NA: Not available
(A) In 2008, headcount reductions of more than 5% of the workforce were undertaken by 16 Business Units, including those that decided to subcontract an activity, which does not necessitate setting up an employment channel for
employees as they are transferred.

Notes on methodology
The environmental indicators refer to 100% of the Group’s perimeter. Extrapolations were made when the data for an activity did not cover its entire perimeter. In the case of Aggregates & Concrete, environmental performance
indicators are not only based on production sites; other industrial sites, such as rail heads, wharves, garages, maintenance shops, warehouses, storage piles, laboratories are monitored on their environmental impact and are
therefore added to the reporting perimeter.
For 2008, all social indicators are based on a social survey covering 87 business units in 48 countries representing 87% of the total Group workforce.
(1) SO2, NOx and dust emissions are measured in accordance with the WBCSD-CSI guidelines (see www.wbcsd.org/chapter Sector Project/cement/ guidelines for emissions monitoring and reporting in the cement industry,
March 2005). Dust emissions are measured at main stack, and calculated based on measured concentrations; when measures are not available, values per default are used. Values per default are fixed according to the kiln
process and unchanged since 2005. The same methodology has been applied for SO2 and NOx.
(2) A rehabilitation plan is declared to be accepted when it fulfils either the permits obligations for rehabilitation or, when there are no local requirements, the internal standard criteria which include : 1- A representation of the
final stage of the quarry site; 2- A series of detailed descriptions covering each area of the restored site to reflect their proposed specific after use; 3- A list of works to be completed in order to achieve the rehabilitation status;
4- A broad schedule showing the sequencing of the rehabilitation works.
(3) Environmental audits follow the standard environmental audits guideline in the Cement and Gypsum divisions. For Aggregates & Concrete sites, environmental audits are managed at country/business unit level.
(4) A Lafarge employee is any individual that is directly employed (i.e. temporary or permanent) by Lafarge on a part-time or full-time basis or is managed by Lafarge whether or not the individual receives remuneration directly
from the Lafarge payroll system.
(5) Lost Time Injury (LTI) is a work-related injury causing absence from one or more scheduled workdays (or scheduled shifts), counting from the day after the injury occurs to the day before the individual returns to normal or
modified work.
(6) Lost Time Injury Frequency Rate (LTIFR): Number of accidents, including fatal accidents leading to loss of time by million of hours worked.
(7) Lost Time Injury Severity Rate (LTISR): Number of calendar days lost as a result of accidents by thousand of hours worked.
(8) Fatality rate: Number of fatal accidents per 10,000 employees.
(9) Senior managers’ jobs are Lafarge Hay graded 18 to 22: In order to achieve a uniform classification of the various types of management positions, Lafarge decided to use a single approach for all the countries in which it is
present (Hay method). Job evaluation committees meet regularly, with input from local Hay representatives to enhance consistency, in order to minimize the interpretation of job content (degree of delegation, complexity, etc).