John Menzies plc Annual Report 2023

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FY2023 Annual Report · John Menzies plc

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Annual Review
& Sustainability
Report 2023

In this review

OVERVIEW

Year in review

Message from the Executive Chairman

Group CEO: 2023 review

2023: At a glance

Our purpose and culture

Our strategy

BUSINESS REVIEW

2023 Business highlights

Americas

Europe

Middle East, Africa & Asia (MEAA)

Oceania & South East Asia (OSEA)

Air Menzies International

Cargo Innovation

02-08

09-16

SUSTAINABILITY REPORT

17-42

Introduction

Our commitment

Sustainability in Action

Environment

Safety

People

Ethics

Communities

GOVERNANCE

Introduction

Leadership

Our approach to Risk

TCFD

43-50

People. Passion. Pride. Since 1833.

We are a global aviation logistics pioneer, with a rich heritage that dates back to 1833.
We take pride in our role as the partner of choice to the global aviation industry, delivering
time-critical logistics services at more than 265 locations in 55-plus countries, across six continents.

We’re the largest aviation services provider by number of countries and aircraft turns.
We are Menzies Aviation.

Highlights

Aquisition of Groundforce Portugal begins

Seven ground handling licenses
secured in landmark Spanish tender

Launch of operations with Air Serbia
to support airline’s growth

Read more on page 12

Expanded presence in Chile with
JetSMART at 16 airports

Fully electric turns at Budapest
Airport for Wizz Air

Menzies Aviation Cargo Handling (MACH)
cargo management system goes live

Read more on page 12

August

We began our transition to BioNatur Plastics at Los Angeles
International Airport (LAX), San Francisco International
Airport (SFO) and Miami International Airport (MIA).
The switch to the biodegradable plastic product will
reduce long-term plastic waste in our cargo operations
by more than five million water bottles each year.

July

A joint venture with Bangalore International Airport Limited (BIAL),
the operator of Kempegowda International Airport Bengaluru (BLR
Airport) expands air cargo services at one of India’s busiest airports
where we will increase capacity by 40,000 tonnes by the end of
this decade.

Read more on page 12

November

We began performing fully electric turns at Budapest Airport
(BUD) for Wizz Air. The ‘green’ turn was made possible through
our ‘electric first’ approach, and the airports’ provision of
charging infrastructure necessary for electric equipment.

December

We launched our game-changing Menzies Aviation Cargo
Handling (MACH) cargo management system at Bucharest
Otopeni Airport (OTP) in Romania and kick-started an ambitious
roll-out plan.

Read more on page 16

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWMenzies Aviation Annual Review & Sustainability Report 2023

Statement from
the Executive
Chairman

Aviation connects the world, contributing $11 trillion to the
global economy, and indirectly employing over 65 million people.
At Menzies Aviation, we are proud of our 200-year heritage:
from our logistics roots in Scotland, to the beginning of a new
era of accelerated growth across six continents. Every day, our
team members in 55-plus countries in more than 265 airports,
ensure that we maintain our leadership role as the safest,
highest quality, and most secure aviation services company.

Amidst a year dominated by
geopolitical and economic challenges,
our commitment to powering the
global economy and keeping flights,
passengers and cargo moving is
unwavering. We will continue to play
our part to ensure the aviation industry
remains vibrant and offers seamless
travel experiences for passengers. We
strive to be a responsible global citizen,
to drive business growth, uphold our
values, and deliver high quality aviation
services to every customer, and in
every location we operate.

Our people set us apart
At the heart of our business, and key to our
continued success, are the 45,000 employees
who work tirelessly across our global
operations. We want to attract, train, and retain
the best talent in the aviation services sector.
For us to achieve this, we are committed
to investing and supporting our people,
offering continuous opportunities to learn and
develop and recognising and celebrating their
achievements.

As part of this commitment, the Menzies
Pledge outlines our promise to foster a culture
of collaboration and respect, setting out the
values senior management will adhere to,
and modeling how we will lead with integrity,
inclusivity, and respect.

Our people are united by our vision, mission
and values and this shared purpose underpins
a cohesive and empowered team that is
dedicated to achieving our collective goals
with passion and determination.

“We emerge from 2023 stronger, more agile, and better
positioned to navigate the dynamic industry landscape,
setting the stage for sustained growth and continued
success in the years ahead.”

We are a responsible, global citizen
Our commitment does not merely look inward,
it expands to the communities where we
operate and the environment. We have publicly
committed to set absolute reduction targets,
with the aim of achieving net zero across scopes
1, 2 and 3 by 2045. We have committed to
25% female leadership by 2025, and 1% of our
workforce to be refugees by 2026. This industry
leading strategy is a first for the aviation services
sector, setting ambitious milestones internally and
across our value chain and establishing an outlook
for a future where growth is both responsible and
sustainable. We make this commitment because
it’s the right thing to do not only for our business,
but our people and the planet.

Unwavering commitment to safety and security
We are committed to maintaining the highest
safety standards and protecting the wellbeing of
our customers and colleagues. We are pleased
to report that once again we have outperformed
the industry average for aircraft damage and
have made a safer workplace for our people. This
is evidence that we are a reliable, high-quality
partner with safety at the heart of our business.

Bright skies ahead
I firmly believe that companies have a duty
to deliver value to all stakeholders, including
customers, communities, employees, and
shareholders. At Menzies Aviation, this is guided
by our company’s vision to be the global leader
in aviation services and a vital pillar in the
aviation industry.

While the pandemic is behind us, we recognise
that there are still challenges facing us, including
labour shortages, inflation, and geopolitical
tensions. We recognise that we have a duty
to facilitate global trade and passenger travel.
The aviation industry serves as a global conduit,
seamlessly connecting people, businesses,
and ideas, fostering collaboration, and driving
innovation worldwide.

With a clear strategy for sustainable and
responsible growth, and buoyed by our positive
momentum, we remain on track for another year
of margin and profit expansion. We emerge from
2023 stronger, more agile, and better positioned
to navigate the dynamic industry landscape,
setting the stage for sustained growth and
continued success in the years ahead.

On behalf of the entire Board of Directors, I want
to thank you – our customers and partners – for
your support throughout 2023. In particular,
I want to thank our employees. Every day,
they consistently showcase their passion and
dedication, and I am honoured to work alongside
them as together, we strive to be the undisputed
world leader in aviation services.

Thank you for your loyalty, support, and trust.

Hassan El-Houry
Executive Chairman

BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW
Group CEO:
2023 review

2023 marked a clear turning point for the aviation industry. At the
outset, signs of recovery were already evident in selected regions
with passenger demand simultaneously increasing. 2023 saw the
rebound continue, with passenger traffic edging ever closer to
matching pre-pandemic demand.

Our air cargo business expanded to 72 locations
across 36 countries with a strong focus on our
digital transformation. This was also a key focus
for our Air Menzies International (AMI) business,
which despite a challenging year amid collapsing
market demand and airfreight rates, closed the
year with positive signs of recovery.

Building success together
None of these achievements would have been
possible without the hard work and contribution
of every single member of the Menzies team.
Our people are at the heart of our success, and
they continue to deliver to the very highest
standards right across the business.

All In for safety and security
Amid this strong growth, we’ve stayed focused
on safety and made progress against our
ambitious sustainability goals as part of our
All In plan. We’ve increased our focus on
electrification of our ground support equipment
(GSE), reaching 17% globally against a target
of 25% by 2025. We’re committed to creating
a diverse and inclusive workforce, seeing the
results of this commitment through our Global
allyship campaigns and Women in Leadership
programmes. Aligned with IATA’s 25by2025
campaign, we increased the number of women
in senior leadership positions to 20% and 28%
of women in middle leadership positions, while
reducing voluntary staff turnover levels.

Thank you, to the Menzies team, our airline
customers and airport partners for being part
of this exhilarating journey.

We look forward to building on this success
in 2024.

Philipp Joeinig
Group CEO

“We are proud of the impressive

course of growth we have sustained,
emerging stronger post-pandemic,
and demonstrating our resilience,
innovation, and strategic focus.”

A strong operational performance
The dedication and commitment from our
teams around the world has led to significant
organic growth. In 2023, we increased our
footprint to 265 airports in 55-plus countries
and celebrated our third consecutive year of
double-digit revenue growth. We saw a 10.7%
year-on-year growth in revenue to $2.2 billion,
and EBITDA (post IFRS16) of $318m for the
FY2023 with a 15% margin. This marks an
increase from $191m in 2021 and $265m in
2022 (post IRFS16).

We are proud of the impressive course of
growth we have sustained, emerging stronger
post-pandemic, and demonstrating our
resilience, innovation, and strategic focus.
Despite facing challenges and uncertainties
in the business landscape, our revenue has
steadily climbed, increasing from $1.9 billion
in 2022 to $2.2 billion in 2023. Our expanding
market footprint, bolstered by strategic
investments and partnerships, has enabled us
to reach new heights and tap into emerging
opportunities.

This includes our strategic approach to
securing transformative deals, which has
served to enhance our market position and
expand our reach into new territories. Our
transformational deal with CNAC in Hong Kong
will help to strengthen our presence in Asia,
while our pending acquisition of Groundforce
in Portugal, will further expand our presence
on the Iberian Peninsula in 2024.

Building on our growth trajectory
Building and winning the trust of new and
prospective customers has been instrumental
in fuelling our growth trajectory. It has enabled
us to leverage our expertise to expand and
secure ground handling licenses in new
locations including Kenya, Canada, Chile, and
Spain, and enter new partnerships in Serbia,
Jamaica, India and Bulgaria.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWMenzies Aviation Annual Review & Sustainability Report 2023

2023 at
a glance

Menzies Aviation is the leading
service partner to the world’s
airports and airlines.

No.1

by number
of countries

No.1

by aircraft
turns

No.2

by number
of airports

265+

airports

55+

countries

continents

45k

employees

We operate at more than 265
airports in 55+ countries.

Americas

Europe

130+

50+

MEAA

55+

OSEA

Core offering
We deliver time-critical aviation services at more than 265 locations in 55+ countries across
six continents. Our services help keep people and cargo moving, delivering with precision,
round the clock, every minute of every day.

We’re committed to delivering the safest, most secure and sustainable aviation services
tailored to our customers’ needs now and for the future.

Ground services

Fuel services

Air cargo services

Executive services

We provide time-critical airport services,
ensuring passengers, crew and aircraft
complete journeys efficiently and on schedule.
Every passenger journey can have multiple
seen and unseen interactions with our teams
and we always do our best to deliver a safe
and trusted service alongside a world-class
passenger experience.

Our services include:
• Ramp handling and baggage
• De-icing aircraft
• Cabin presentation
• Passenger services from check-in

to boarding
• Engineering
• Fixed Base Operations

We are the world’s largest independent
aviation fuel services provider. We deliver
fuel farm management and into-plane
fuelling services on four continents for the
world’s largest fuel suppliers, airlines and
airports. Managing the refuelling of aircraft
and the infrastructure required to support
this service is a precision activity which must
operate to rigorous government and industry
standards, including safety and environmental
regulations.

Our services include:
• Into-plane fuelling
• Fuel storage and hydrant management
• Technical services

We manage the global transportation of
high value and time critical cargo. Decades
of experience, supported by cost-effective
and innovative logistics solutions, means
we are trusted to provide a reliable and
secure service.

Our services include:
• Warehouse facilities
• Build-up and breakdown
• Customs clearance
• Aircraft loading and unloading
• Freighter aircraft handling
• Special cargo handling such as live animals

and pharmaceuticals
• Labour-only services
• Freight forwarding

We welcome guests of the world’s leading
airlines and membership programme partners
through our owned and managed lounge
network of almost 60 airport lounges. Our
Meet & Assist services are available in more
than 180 locations, and we manage 40+ fixed
base operator locations, ensuring passengers
have a relaxing airport experience and
seamless journey on arrival and departure.

Our services include:
• Pearl Lounges
• Meet & Assist
• Fixed Based Operator
• Executive Aviation

1.3m

aircraft turns handled in 2023

3.2m

aircraft fuelled in 2023

tonnes handled
in 2023

cargo locations
globally

lounges globally

1.8m

lounge guests

217m

passengers served

38.6bn

litres fuelled

CEIV Pharma certified locations

Executive Aviation locations

BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWMenzies Aviation Annual Review & Sustainability Report 2023

At a glance continued

At Menzies Aviation, we strive to
deliver exceptional aviation services
that redefine efficiency, reliability,
and passenger experience. From these
foundations, we are redefining the
future of aviation services, supporting
sustainable growth, and ensuring
seamless travel experiences for
passengers and optimised
operations for airlines.

In 2023, we established a strong foundation for
continued success. We expanded our global footprint,
beginning operations in four new countries and 31
airports, demonstrating our commitment to service
excellence across the globe and a consistent and reliable
experience for customers worldwide. Regardless of
location, our dedication to delivering high standards
remains unwavering, creating a uniform and dependable
service that transcends geographical boundaries.

A record year of
double-digit growth

2023 marks another remarkable year of
achievement for the company, and the third
consecutive year of double-digit growth,
affirming our market leading position. We
improved our earnings before interest, tax,
depreciation, amortization, and exceptional
items (EBITDA) with a healthy 15% margin,
to $318m – in line with growth targets.

We saw a 10.7% year-on-year growth in
revenue to $2.2 billion. This not only
reflects our strategic acumen and
operational efficiencies, but our unwavering
commitment to delivering excellence
and value in the aviation services sector.
It provides validation of the company’s
performance to date and ambitious plans
for growth, while setting the scene for the
next phase of growth in 2024 and beyond.

$2.2BN

in revenue
up from $1.9 billion in 2022

year-on-year growth

10.7%
$318m

EBITDA (post IFRS16)
15% margin

Fostering
success together

All In for
Sustainability

At the heart of our success is our people –
the driving force behind our operations that
propels us forward and fuels our growth
trajectory. In 2023, the strategic acquisition
of businesses with decades of experience
in their respective markets has helped us to
expand our footprint and enrich our collective
expertise, with new employees in Jamaica,
Panama, Bulgaria, India, and Serbia.

These partnerships have not only broadened
our market presence but bring invaluable
insights, and best practices ensuring we are
better positioned to address evolving customer
needs, drive operational excellence, and build
on emerging opportunities for growth.

We’ve continued to make progress against
our own All In sustainability plan. In 2023,
we submitted our targets to the Science
Based Targets initiative (SBTi) for approval
committing to net-zero greenhouse gas (GHG)
emissions across scopes 1, 2 and 3 by 2045.
This commitment is a first for the aviation
services sector and sets ambitious milestones.

Aligned with our targets, we introduced
more than 340 new fully electric ground
support equipment (GSE) and in South
Africa, we’re progressing with a total fleet
replacement, increasing our electric fleet
from 14.5% to 38.7%.

We’ve increased the use of solar panels
in our operations, increased the focus on
HVO fuel (Hydrotreated Vegetable Oil) as
an alternative to diesel and have introduced
new biodegradable and recyclable cargo
wrap to reduce waste and improve recycling.
We continue to work closely with our airline
customers and airport partners to reduce
emissions, provide sustainable solutions and
deliver efficient aircraft turnarounds. Read
more about sustainability efforts on pages
17 to 42.

BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWOur purpose and culture

Our purpose

At Menzies Aviation, we work in partnership with
our airline customers and airport partners to deliver
exceptional aviation services that are safe, trusted, and
sustainable, helping to redefine efficiency, reliability,
and customer experience.

We have an unwavering commitment to excellence,
cutting-edge technology, and a dedicated team of
more than 45,000 professionals, that work together
to elevate the standards of aviation support service
worldwide.

From ground and cargo services to fuelling, passenger
assistance and lounge management, we seamlessly
integrate our expertise partnering with our customers
operations, ensuring seamless travel experiences for
passengers and optimised operations for airlines and
airports.

As a trusted partner to 600+ airline customers,
we pride ourselves on unparalleled quality, global
reach, and a personalised approach that sets new
global benchmarks for the aviation services industry.

O U R R ELATIONSHIPS

O U R C U LTURE & VALUES

People
centric

Customer
orientated

Targeted
sustainable
growth

Customer
Focus

Safety
& Security

O U R S

Optimised
portfolio
mix

T R A T E GIC PRIO

I
T

Margin
improvement

OUR
PURPOSE

Environment

STAINAB I L I T Y

S
R

P I L L A

Ethical

Integrity

Agility

Safety

People

Teamwork

Sustainability

Our values
Our commitment to upholding our values is key to
achieving our ambitions and upholding our purpose.
These values are the foundation of our business, driving
us to cultivate an inclusive culture, inform our decisions
and behaviours, and ensuring the highest standard of
service for our customers.

Safety & Security
Safety & Security always comes first, that’s why we
never compromise.

Teamwork
Building relationships with those around us makes us all
stronger and more successful.

Integrity
We’re open and honest in all we say and do, creating
trust, and growing our reputation for high standards.

Agility
Every day is different; we have the energy and expertise
to respond successfully to any situation.

Customer Focus
We deliver the best service for our customers and
create relationships built on trust.

Sustainability
We protect the environment, embrace sustainable
business practices, and respect the rights and dignity
of every individual to support a resilient and prosperous
future for all.

Our culture

Our culture is deeply rooted in strong
ethics and integrity reinforced by our
core values, purpose and commitment to
safety and security. We are dedicated to
fostering a diverse, inclusive, and supportive
environment where every employee is
encouraged and inspired to strive for
excellence, not only for their own growth,
but also for the benefit of their colleagues
and our customers, every single day.

Relationships
People
Our people are at the heart of our business and our
success. We are privileged to have a team of more
than 45,000 experienced and dedicated individuals
who uphold our values every day and in every location
we operate. The vibrant and dynamic environment
we work in ensures that our employees remain
actively engaged in delivering impactful results, and
their commitment to upholding our values form the
cornerstone of a truly diverse and nurturing workplace
that people aspire to join.

Customers
Working collaboratively with our airline customers
across a diverse range of markets requires our service
offerings to be tailored to their unique business needs,
while ensuring consistency in service and performance.

Our commitment to the utmost safety standards
and adaptable technical solutions ensures that every
customer receives unparalleled support in overcoming
their unique challenges.

Partners
We work closely in partnership with airport operators,
playing a pivotal role in the coordination of aircraft
movements, managing passenger check-in and
boarding processes, handling baggage, fuelling
aircraft, and providing essential aviation services. This
collaboration, where airports, airlines and aviation
services providers work in synergy is critical in
delivering seamless travel experiences for airlines,
airports, and passengers.

Suppliers
Our network of suppliers share the same values and
sustainable aspirations as we do. We actively engage
with all suppliers to understand how they can support
our environmental, social and governance (ESG) goals.
In 2023, we completed Scope 3 analysis, environment
risk assessment and due diligence for the top 25% of
our supplier base.

Governments
We advocate for sustainable aviation policies, fostering
governmental support in building an efficient,
environmentally friendly aviation sector that is poised
for decarbonisation. By interacting with governmental
bodies and ministerial representatives, including active
participation in consultations, we can leverage our
extensive aviation industry expertise.

Communities & Partners
We strive to support the communities where we
operate and where our people live. It is part of our
All In plan for a fair and sustainable future, and we
continue to work with our partners to reduce our
environment impact, create employment opportunities,
support local charities and community initiatives, and
provide sustainable solutions for our customers.

Regulators
Engaging with regulators and ensuring full compliance
with industry, environmental and corporate regulations
keep our business safe, secure, and operating to
the highest standards. We welcome opportunities
to consult on and help evolve regulations to ensure
continued relevance, challenge companies to improve,
and drive positive change.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW
Menzies Aviation Annual Review & Sustainability Report 2023

Our strategy

Strategic pillar

What we did in 2023

Looking ahead

Optimised
portfolio mix

Curate optimum portfolio mix of
customers and services to deliver
growth and strong returns.

Customer
orientated

Be the partner of choice by creating
strong relationships with customers
and helping to deliver their goals.

People
centric

Invest in employees to build a
diverse team of motivated and
passionate people to deliver safe
and secure services.

Targeted
sustainable
growth

Expand global footprint
responsibly and sustainably,
focusing on emerging aviation
markets with high growth.

Margin
improvement

Drive margin improvement by
focusing on organic and inorganic
growth, cost management, and
portfolio management.

• Expanded our air cargo network to 72 locations

globally, with 2m tonnes handled.

• Increased our fuel farm operations to 56 facilities

across the USA and Canada.

• Increased operations to 266 airports globally.
• Welcomed more than 1.8m lounge guests at

59 locations in 16 countries.

• Expanded operations to 31 new stations.
• High retention rate of 85.1%.
• Collaborated with customers on sustainability initiatives,
including new electric turns in Budapest, Milan, and Oslo.
• Delivery of world class innovative technology solutions,
including Menzies Aviation Cargo Handling (MACH)
cargo management system.

• Expanded our workforce to 45,000 globally,

welcoming 6,000 new colleagues.

• Menzies employees completed 2.3m hours of training.
• Increased senior female leadership to 20% and

middle leadership to 28%.

• Saw more than 100 participants complete our

Women in Leadership programme.

• Received top award from Ministry of Defence

Employer Recognition Scheme.

• Announced new partnerships in Serbia, India,

Bulgaria, Panama, and Jamaica.

• Won the Most Innovative Company Award at the
Airport Services Association (ASA) Leadership
Forum for our ESG holistic approach.
• Submitted ESG targets to the Science

Based Targets initiative (SBTi).

• Increased focus on productivity and new innovations.
• Secured key contracts across the network at favourable

rates, helping to build margin improvements.

• Strategy to support accelerated growth in mature

and new markets.

• Exploring new opportunities with airports to reduce

turnaround times and increase productivity.

We remain committed to maintaining a well-rounded
portfolio, balancing our operations in ground, fuel, and air
cargo services, while expanding our lounge and executive
aviation offering.

We will nurture robust, trusted, and collaborative
relationships with our customers. We will also continue to
actively seek fresh alliances to expand opportunities adding
value to our business, our airline customers and airport
partners.

Embracing adversity as an opportunity for positive change,
we will focus on leadership development and integrating
our values throughout the company. We continue to
prioritise the safety of our people, creating an inclusive
and diverse environment where every employee can thrive.

Pursue accelerated growth in mature and emerging
markets, we will expand our service offering to existing and
new customers in additional locations. We aspire to lead in
sustainability practices and support our growth responsibly.

We will continue targeting higher margin business wins,
developing an optimised portfolio that attracts a higher
margin and focusing on emerging aviation markets for
business development opportunities.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWMenzies Aviation Annual Review & Sustainability Report 2023

OVERVIEW

BUSINESS REVIEW

OUR SUSTAINABILITY REPORT

GOVERNANCE

Business review

2023 Business highlights

Employees
Total: 45,000 | Compared to 36,000 in 2022

Europe

Americas

Regional revenue split

Americas

33%

Europe

29%

Middle East, Africa and Asia

15%

Oceania and South East Asia

12%

Air Menzies International

10%

Footprint
Countries: 55+

Middle East,
Africa and Asia

Oceania and South East Asia
5

Airports: 265+

Americas

Europe

131

Middle East, Africa and Asia

Oceania
and South
East Asia

17,000

Europe

10,000

Middle East, Africa and Asia

14,000

Oceania and South East Asia

4,800

4.5m

Flights served
Up from 4.1m in 2022

1.3m

Aircraft turns
Up from 1.1m in 2022

217m

Passengers served
Up from 183m in 2022

Cargo locations
Up from 71 in 2022

3.2m

Fuel turns
Up from 3m in 2022

Lounge locations
Up from 34 in 2022

Cargo tonnes handled
Up from 1.8m in 2022

1.8m

Lounge guests
Up from 660k in 2022

350k

Freight forwarding
shipments per year

09
09

Menzies Aviation Annual Review & Sustainability Report 2023
Menzies Aviation Annual Review & Sustainability Report 2023

OVERVIEW

BUSINESS REVIEW

OUR SUSTAINABILITY REPORT

GOVERNANCE

Business review continued

Awards

In 2023, we proudly collected an array of prestigious awards that underscore our commitment
to innovation, quality and leadership in the industry. These accolades serve as a testament to the
hard work, dedication and passion of our talented employees who continually strive for greatness.

GCC GOV HR and GOV Youth
Empowerment Awards: HR Leader
of the Year in Youth Empowerment,
Rabah Bu Hadan

JetBlue Awards including Cabin
Appearance: LHR and ITP Operation
of the Year, MCO

South East Air Cargo Conclave and
Awards: Ground Handling Agent of
the Year, MABPL

UK Ministry of Defence (MOD):
Gold Award for outstanding support
for the Armed Forces

Ground Support Worldwide:
Ground Support Team of the
Year, TPA

LOT Polish Airline Awards:
First place, Best Customer
Experience Long Haul, YYZ
and First place, Best On Time
Performance Short Haul, PRG

United Airlines, Silver Safety
Excellence Certification:
Safety Excellence, ICT

Supply Chain Excellence Award:
Warehouse Initiative Award, Dexory

Airport Services Association (ASA):
Most Innovative Company Award

10
10
10

Business review continued

Americas

Our Americas region celebrated another outstanding
year, surpassing its 2022 performance with its
most successful year yet based on commercial
performance. John Redmond, Executive Vice
President, Americas talks about the region’s 2023
successes and the challenges and opportunities
that lie ahead.

Countries

132

locations

17.2k

employees

33%

of Menzies total revenue

Q&A: John Redmond, Executive Vice President, Americas

renewals, including a 22 station contract with ULCC
VivaAerobus in Mexico, 10 stations with United Airlines
in Mexico and four in Colombia with LATAM Airlines.

We had our best year since pre-pandemic in terms
of safety, measured by aircraft damage and personal
injuries, far exceeding our targets for the year.

Commercially, we had our most successful year in the
history of our operations in the region. We secured
a new ground handling license at Montreal-Trudeau
International Airport (YUL) in Canada, announced a
new contract with Frontier Airlines for ground handling
services at Hartfield-Jackson Atlanta International
Airport (ATL) in the US and expanded our footprint to
Jamaica with contract wins with both American Airlines
and Delta. In Chile we secured a contract with JetSmart
to provide full handling at every city they operate to
domestically across Chile. Other important wins include
American Airlines at Arturo Merino Benítez International
Airport (SCL) in Chile, and Pacific Air Cargo at Los
Angeles International Airport (LAX) in the US.

What can we expect in the region
for the year ahead?
We are committed to further improving our
safety performance, and in response to ongoing
recruitment challenges, dramatically improving our
employee retention. This will be achieved through an
ongoing focus on rewards, benefits, recognition and
demonstrating why Menzies Aviation is the employer
of choice at every airport where we operate.

How would you summarise 2023 for the
Americas market?
In North America, domestic volumes continued
to gain pace, however not quite as quickly as we
had anticipated with all carriers. Some growth was
hampered by the difficulty in recruiting staff in
certain positions combined with delayed delivery
of new aircraft. The Mexican market continues to
see expansion as ultra-low cost carriers (ULCC)
drive traffic, capitalising on the rising number of
affluent consumers who are choosing to travel more
frequently, and by air.

At Menzies, we are not immune to these difficult
labour markets, and have several locations across
the region where labour markets remain tight, and
we continue to face significant wage inflation in
such cities. Notwithstanding some challenges in the
market we completed several significant contract

This includes a focus on our Scholarship scheme
and our recognition program which celebrates our
ex-Military employees who represent as much as 10%
of our entire workforce in the region.

In line with the wider business commitment to reach
net-zero for scope 1, 2 and 3 by 2045, we will also be
increasing the percentage of electric equipment in
our fleet, making sure we are on track to reach our
ambitious All In targets.

What are the trends expected to
take hold in 2024?
There are numerous developments expected in the US
and Canada as a result of potential airline consolidation
and its impact on competition in the market. Additional
Government investment in the US will help to bolster
the country’s aviation infrastructure and create tangible
opportunities to improve the passenger experience and
job opportunities.

In South America, two of the region’s biggest aviation
markets, Mexico, and Colombia, will see significant
opportunities for potential growth. In 2023, Mexico
received an upgrade to its air safety rating from the
FAA, a move that will allow local carriers to expand
routes and add new services. In Colombia, strong gains
in the country’s domestic and internal markets have
contributed to a positive outlook following the 2023
exit of two of its biggest lost-cost airlines.

While there are continued uncertainties, a robust
resurgence in passenger numbers and focus on
sustainable practices promises to continue enhancing
operational efficiencies, safety performance and
customer satisfaction.

Commercial success

JetSMART contract at 16 airports
A new five-year contract with JetSMART will see our
teams deliver full ground services at the carrier’s
network of 16 airports across Chile. More than 28,000
turns are anticipated in the first year, with significant
annual growth anticipated each year thereafter.

Frontier network expands
In early 2023, we were appointed to provide full
ground services at Hartsfield-Jackson Atlanta
International Airport (ATL) for Frontier Airlines,
expanding operations to 20 locations across the US and
Mexico. The new ground services operations includes an
investment of more than $3 million in Ground Services
Equipment (GSE).

New operations in Jamaica
Following a 20-year history of providing ground
services in the Caribbean, we expanded our
footprint to Jamaica. A majority stake in Jamaican-
based AJAS Limited, expands to two leading
airports in Jamaica: Norman Manley International
Airport in Kingston (KIN), and Sangster
International Airport in Montego Bay (MBJ).

Case study

Menzies joins Rockford’s International Cargo Centre
A long-term lease at Chicago Rockford International
Airport (RFD) in Rockford, Illinois marked our
72nd cargo location globally. The 10-year lease
at the 50,000 square foot facility creates all-new
opportunities to provide cargo and freighter handling
services to our airline partners at one of the fastest-
growing cargo airports in the world.

Operations began in July 2023, with more than 50
percent of all motorised equipment electric. The move
has also helped to drive local recruitment, creating
more than 60 new roles at the airport including cargo
service agents, ramp agents and loadmasters.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWBusiness review continued

Q&A: Miguel Gomez-Sjunnesson, Executive Vice President, Europe

Europe

Growing revenue and operations, 2023 was a year
of significant developments for our European teams
reflecting the growth in European air traffic, which hit
95% of its pre-pandemic levels.

Miguel Gomez-Sjunnesson, Executive Vice President,
Europe reflects on the year’s contract wins and the
new operations helping to set the scene for an exciting
12 months ahead.

Countries

locations

10k

employees

29%

of Menzies total revenue

operations at four key airports, beginning in
March 2024.

We began operations with our partner, AGS
Handling at Milan Malpensa Airport (MXP)
marking our first ground handling operation in
the Italian aviation market. Our strategic focus
on the Balkans also resulted in a majority stake in
Cargo Handling Services Limited (CHS) at Sofia
International Airport (SOF) in Bulgaria, and our
biggest deal in Eastern Europe to date with Air
Serbia, to provide passenger and ramp services
from February 2024 at Nikola Tesla Airport
(BEG) in Belgrade. Our teams have continued
to work hard to strengthen our relationships
with our airline partners, resulting in significant
multi-station renewals. For example, we renewed
contracts with Finnair for five stations, handling
more than 9,000 turnarounds. We also renewed
nine ground handling contracts with Ryanair,
and added a new station to our network taking
us to 10 locations across the EU and UK. Other
significant renewals include ramp, cargo and
freighter expansions with KLM and Martinair.

2023 also saw a strong operational performance
for our cargo teams, continuing a strong post-
pandemic trend.

What can we expect in the
region for the year ahead?
Our expansion in Southern Europe will continue,
with a new management team at the fore to

How would you summarise 2023
for the European market?
Overall, the recovery of the aviation sector
in Europe has continued, with both market
growth and labour now holding steady across
the region.

Among the notable highlights, we reached an
important milestone in the process to acquire
a 50.1% stake in Groundforce in Portugal,
signing a subscription agreement with TAP
Air Portugal. We were awarded seven ground
handling licenses by the Spanish Airport
Authority (AENA) in a landmark tender,
reported to be the largest ground handling
tender in the world. Our fuels business after
two decades of a fruitful partnership with Shell
Aviation in the UK, agreed an expansion into
the Netherlands to provide into-plane fuelling

oversee these developments. We’re excited to
begin the roll-out at seven stations in Spain,
supporting existing and new customers. We have
been operational in Spain since 2004, but this
marks a significant expansion of our services,
complementing our existing operations across
Europe.

In Portugal, our acquisition of Groundforce once
complete, will represent a significant milestone
for our operations in 2024, and we look forward
to welcoming more than 3,000 new employees to
Menzies as we look to grow and thrive together.

We’ll also continue our focus on Eastern Europe
and the Balkans, where we’ll be looking for
new growth opportunities to support a positive
outlook in the region.

What are the trends expected
to take hold in 2024?
Across the industry, the efforts to decarbonise
the industry will continue to be a key focus.
We’ve seen significant progress in our ‘electric
first’ approach in Europe with almost 50% of all
ground support equipment (GSE) now electric.

In Europe, the focus on regulations will offer
an opportunity to standardise and improve
safety, cybersecurity, and consistency across all
operations. We’re committed to working towards
a global standard, driving service delivery, and
continuing to encourage a safety-first culture at
every location we operate.

Commercial success

Landmark Spanish tender
In 2023, we became one of the main ground services
partners in Spain following the largest ground handling
tender in the world. We were awarded multiple seven-
year licenses to provide full ramp and passenger
services at seven airports from early 2024 to 2031.

Groundforce acquisition begins
We took a decisive step towards the acquisition of
Groundforce in early 2023, following a subscription
agreement with TAP Air Portugal. On completion,
we will have a 65% market share in Portugal, with
operations at five airports and more than 3,000
employees.

Air Serbia sets sights on growth
Our biggest deal in Eastern Europe to date was
announced with Air Serbia. As part of the planned
cooperation, we will deliver passenger and ramp
services at Belgrade Nikola Tesla Airport (BEG)
beginning in February 2024, managing more than
22,000 turns annually.

Case study

Green turns for Wizz Air
We announced we were performing fully electric
turnarounds with Wizz Air at Budapest Airport,
complete with electric baggage tractors and
belt loaders, passenger steps with solar panels,
ground power unit, a pushback, potable water,
and lavatory units.

The “green” turn at Budapest Airport has
been made possible through our ‘electric first’
approach and the airports’ provision of charging
infrastructure necessary for electric equipment,
with all energy from renewable sources.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW
Business review continued

Q&A: Charles Wyley, Executive Vice President, MEAA

Middle East,
Africa and Asia

Operations in the Middle East, Africa & Asia experienced
year-on-year growth in 2023. Across the industry, an increase in
both flights and passengers has resulted in many airlines increasing
frequency in response to demand. Charles Wyley, Executive Vice
President MEAA reflects on the year’s highlights and the strategy
in place to maintain this momentum into 2024 and beyond.

Countries

locations

14k

employees

15%

of Menzies total revenue

How would you summarise 2023
for the MEAA market?
2023 was a year of growth and new
partnerships in the MEAA region.

We’ve seen significant growth in South Africa,
where we have invested in new facilities and
a focused strategy for expansion, resulting in
aircraft turns increasing by 95% from 57,400
to over 112,000 in 2023. We finalised the
integration of 41 National Aviation Services
(NAS) stations, following the 2022 merger
and gained traction in new markets, with new
operations in Angola and additional growth in
India and Kenya.

Commercial success

New cargo operations in India
We reaffirmed our commitment to India with a joint
venture with Bangalore International Airport Limited
(BIAL). As part of the agreement, we’ll increase cargo
capacity to 250,000 tonnes, with the scope to increase
to 400,000 by the end of the decade.

Jazeera Airways expansion
Our agreement with Jazeera Airways, the leading low
cost carrier in Kuwait, was extended to seven airports
in five countries. We’ll manage ground, air cargo and
lounge services at Kuwait International Airport (KWI)
and Heathrow Airport (LHR), with further contracts in
Pakistan, Serbia, and Jordan.

Focus Africa Commitment
We became the first ground services company to
officially partner with the International Air Transport
Association (IATA) on its Focus Africa Initiative,
helping to raise the bar for aviation services across
Africa.

Our relationships with our customers continue to
be a key focus and we’re committed to building
on these partnerships. We resumed full operations
for Iraqi Airways at Baghdad International Airport
(BGW), marking a significant milestone for local
teams as we continue to expand our footprint
in Iraq. We also started new partnerships with
SalamAir, FlyNAS, Fly Arna, Silk Way Group
and expanded existing relationships with Qatar
Airways, Emirates, Jazeera Airways, Ethiopian
Airlines, Airlink and more.

What can we expect in the region
for the year ahead?
The pace of growth we saw in 2023 has been
remarkable and we’re eager to maintain this
momentum. Among the notable growth areas, we
expect the Middle East to see sustainable growth
in the coming years, with significant investment
from airlines in the region and more than 2,000
aircraft on order.

In India, we’re due to complete the greenfield
build of a new 20,000sqm domestic cargo
handling facility at Kempegowda International
Airport Bengaluru (BLR). This will expand
capacity and build on our successful partnership
with Bangalore International Airport Limited
(BIAL).

We’re also expanding our cargo and lounge
services at Luanda International Airport (LAD) in
Angola as part of a new joint venture (JV) with
Sociedade Gestora de Aeroportos (SGA-SA), and
cargo and lounge services at Kigali International
Airport (KGL) in Rwanda.

What are the trends expected
to take hold in 2024?
Kuwait’s significance as a strategically important
location for our operations cannot be overstated.
It serves as a critical location where Menzies and
National Aviation Services (NAS) work seamlessly
together to oversee operations, and a reminder
of the transformative journey we’ve been on over
the past two years. Our ability to leverage our
company synergies will enable us to continue
enhancing service delivery, operational efficiency
and market reach in the months and years ahead.

In Africa, we expect to see a full return to
pre-pandemic traffic, with passenger numbers
surpassing 2019 levels. This is also followed by a
significant investment by carriers to expand their
fleets and operational efficiency.

Case study

Expanding operations
in Kenya
We successfully expanded our group services to
include passenger handling at Jomo Kenyatta
International Airport (NBO) in Nairobi, the largest
city and capital of Kenya.

The seven-year ground handling license, issued by
the Kenya Airports Authority (KAA), now includes
a full suite of ground services including ramp,
passenger, and baggage services, and VIP charter
flights handling until the end of 2030.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWBusiness review continued

Q&A: Darren Masters, Executive Vice President, OSEA

Oceania &
South East Asia

2023 presented both challenges and opportunities for the OSEA
market, with the residual impact of the pandemic still holding strong.
Darren Masters, Executive Vice President, Oceania & South East Asia
reflects on the regional successes and the exciting strategy for
growth in 2024 and beyond.

Countries

locations

4.8k

employees

12%

of Menzies total revenue

We secured a series of successful renewals with
Vietnam Airlines, Thai Airways, Indonesia Air Asia,
and Korean Air, while building new relationships
with VietJet in Macau, China Airlines in Auckland,
and Jetstar Airways in Melbourne.

Our commitment to delivering high-quality
services saw a notable trend in customers
acknowledging the higher costs associated with
doing business in an inflationary environment.

The persistently tight labour market presented
recruitment and retention difficulties.

What can we expect in the region
for the year ahead?
2024 will see several key developments that
will shape our operations and strategy in the
region. Firstly, the integration of Jardine Aviation
Services Group in Hong Kong, in a joint venture
with China National Aviation Corporation (CNAC).
As a critical aviation hub for Asia, operations at
Hong Kong International Airport (HKG) will play a
pivotal role in our network, and we are committed
to optimising efficiency and service quality in this
market.

We’re excited to invest in an all-new freight
facility at Western Sydney Airport, with a new
12,500 square foot warehouse set to open
in 2026. It will position Menzies as the only

How would you summarise 2023
for the OSEA market?
Despite initial expectations from airlines that
the impact of the pandemic had subsided, it
became apparent that the recovery was not
as swift as anticipated. However, amidst this
backdrop, the cargo sector showed optimistic
signs of growth, outperforming pre-pandemic
levels, even as passenger flights gained
traction.

We witnessed a significant return in traffic from
Asian carriers, particularly in Macau, leading
to a higher than expected demand for flights
and cargo services. We began the process
to acquire 50% of Jardine Aviation Services
Group, expanding our footprint to Hong Kong.

independent cargo terminal operator at the newly
developed airport. Additionally, we are excited
about the renewal of key customers, including
leading cargo customers, Cathay Pacific, and
Malaysia Airlines.

What are the trends expected
to take hold in 2024?
We anticipate significant growth in the South
Asian aviation market, which is projected to
become the fastest-growing commercial aviation
market in the next two decades, according
to IATA. This aligns with significant airport
development and expansions across Asia,
particularly for aviation markets in Thailand,
Cambodia, and Vietnam. A significant upturn
in the air cargo sector is also expected, where
growth will continue to be bolstered by rising
e-commerce demand.

Commercial success

Auckland welcomes China Airlines
We secured a new contract to provide passenger, ramp, and cargo
handling services for China Airlines in Auckland (AKL), expanding
operations with the state-owned flag carrier of Taiwan to four
locations.

Building on Qantas partnership
We were delighted to announce the continuous expansion of our
partnership with the Qantas Group, with the confirmation of ramp,
passenger and de-icing services for its subsidiary, Jetstar Airways.
The announcement for services at four airports, follows our existing
contract for services at Christchurch Airport (CHC) and Dunedin
International Airport (DUD).

Routes resume for Citilink Indonesia
Building on existing contracts in Indonesia at Husein Sastranegara
International Airport (BDO) and Aji Pangeran Tumenggung Pranoto
International Airport (AAP), we announced the return of Citilink
Indonesia to Perth Airport (PER) following a three-year pause on
the contract.

Case study

Inaugural flight lands in Macau
Our local teams at Macau International Airport
(MFM) welcomed the inaugural Vietjet Air flight
from Bangkok, Thailand marking the Vietnamese
low-cost airline’s entry as a new player in the
local market.

The inaugural flight marked the beginning
of a new relationship for our Menzies Macau
operations, with four weekly turns expected,
managing the airline’s round trips between
Bangkok, Thailand, and Macau.

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Q&A: Carlos Font, Executive Vice President, Air Menzies International

Business review continued

Air Menzies
International

Our air freight wholesaler, Air Menzies International, experienced
a challenging year in 2023 as collapsing market demand and
airfreight rates followed the extraordinary peak seen during the
pandemic. Recently appointed Executive Vice President, Carlos Font,
explains why AMI’s focus on strengthening relationships and driving
value through digitalisation and its agent network provides quiet
optimism for the future.

Countries

locations

395

employees

10%

of Menzies total revenue

How would you summarise the 2023
freight forwarding market?
It has been a challenging year for many
industries around the globe, and the
freight forwarding market is no exception.
Overcapacity and reduced demand have posed
significant challenges, including a drastic fall
in airfreight rates, which have been steadily
declining over the last 18 months, and will likely
continue into 2024.

We are confident that our focus on innovation
and expertise in wholesale freight forwarding puts
us in a strong position to take advantage of new
opportunities as the market continues to recover
in the year ahead and into 2025.

What are the trends expected to
take hold in 2024?
The growth of e-commerce looks set to remain
extremely positive and bodes well for the air
cargo and freight forwarding industries. Air
cargo is an essential component of cross-border
e-commerce. In 2023, 8% of our global trade was
e-commerce and as the fastest growing segment
in the air freight market, we anticipate this will
continue.

These challenges resulted in a decline in
AMI revenue by 12.6%. However, while all our
regions were impacted by the difficult trading
environment to varying degrees, 2023 closed with
early signs of recovery. This included four months
of consecutive YOY increase in demand, peaking
at 8% in November.

What can we expect from
AMI in the year ahead?
We will complete the roll out of our Global
Operating Platform, helping to improve customer
experience and provide end to
end efficiencies.

A focus on our trade lane programme will also
offer a significant growth opportunity as we
drive value for customers and secure our gross
profits yields. This includes a growing network
in China, Hong Kong, and Asia. Meanwhile,
established partnerships in India will expand
trade lines between Heathrow Airport in the UK
and Mumbai International Airport in India. In the
United Arab Emirates, one of the largest growing
regions globally, we will provide trade lane and
consolidation services weekly from the USA, UK,
and Europe. We will also be opening new facilities
in Auckland Airport, New Zealand and O’Hare
International Airport in Chicago further increasing
our network.

Commercial success

Perishable growth
2023 saw a huge surge in perishable cargo, increasing by 81%.
Our perishable business has steadily been increasing year on year,
following investment in our cold chain capacity such as our new state
of the art facility in Johannesburg.

Express roll-out
We strengthened the service coverage of our modernised Click2Ship
online booking platform for express shipments, rolling out to stations
in the UK, USA, Australia, New Zealand and South Africa. The new
modernised platform interconnects via API, with the ability to white
label our services leading to greater coverage and competitiveness
under our customer’s branding.

27th location opens in Canada
Our second location in Canada, opened, expanding our presence
in North America to nine locations. The new branch offers door-
to-door services on global import and export shipments; exports
with consolidation and ‘Back2Back’; ‘Click2Ship’; X-ray screening
and warehousing services; as well as customs clearance and
documentation support.

Case study

Capacity doubles with new warehouse
Our new purpose-build facility in Johannesburg opened,
increasing capacity by 47%, improving efficiency and
supporting long-term growth in the region.

The new 47,000 sq ft warehouse represents a significant
investment and commitment to South Africa, broadening our
offering with fully bonded capabilities for import customers.

Solar panels installed on the roof will produce up to 80% of the
facility’s electricity demand, and energy-efficient equipment,
including electric forklifts are operational in the new warehouse.

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OUR SUSTAINABILITY REPORT

GOVERNANCE

dedicated to staying at the forefont of industry
advancements, adding value to our global
customer network.

We’ve successfully expanded into new
markets solidifying our global presence, as
demonstrated by our majority stake acquisition
in Cargo Handling Services Ltd (CHS) at Sofia
International Airport (SOF) in Bulgaria, and our
15-year agreement with Bangalore International
Airport to expand air cargo services in India.
In the Americas, our collaboration with the
Chicago Rockford International Airport Centre
underscores our commitment to fostering
strategic alliances to drive growth and
innovation in the air cargo market.

The successes of 2023 leave our cargo teams
poised to continue leading the industry forward
with unwavering determination and a relentless
pursuit of excellence.

“2023 has been a year of continued growth
and digital transformation for our cargo
operations. I couldn’t be prouder of the
team’s achievements, and I’m incredibly
excited for the next 12 months as we continue
to align with our growth strategy and embark
on even greater successes ahead.”

Beau Paine
Global Head of Cargo

The expansion of our cargo business in
2023 has been complemented by successful
renewals and new key contracts with
airlines such as Thai Airways Cargo, Middle
East Airlines, Royal Air Maroc Cargo, Royal
Jordanian Airlines, Scandinavian Airlines Cargo,
and Tarom at Heathrow Airport (LHR).

We’ve also expanded our senior management
team, including Beau Paine, Global Head of
Cargo; Al-Anood Al-Suwaidi, SVP Cargo MEAA;
Karl Aldwinckle, VP Cargo Europe; and
Kayla Moa, VP Cargo Australia.

Our commitment to innovation has been
evident through the progress made in 2023,
from automated warehouse solutions to
enhanced inventory management. We’re

Business review continued

Cargo Innovation

In the air cargo industry, 2023 represented a remarkable year
filled with significant achievements and milestones. With an
impressive volume of 2 million tonnes handled, our global reach
has expanded, now encompassing 72 cargo locations across
36 countries.

Countries

locations

tonnes handled
+ from 1.8m in 2022

Commercial success

MACH goes live
Our new Menzies Aviation Cargo Handling (MACH) cargo
management system was launched at Bucharest Otopeni
Airport (OTP) in Romania in December, marking the start of
a global roll-out. The partnership between Menzies Aviation,
and leading technology services and consulting company,
Wipro combines Menzies’ extensive knowledge and expertise
in air cargo operations with Wipro’s cutting-edge technology
capabilities.

Operating from a ‘single source of truth,’ MACH seamlessly
integrates with other systems helping to simplify and
standardise all processes. An integral part of the cargo
management ecosystem, it improves data accuracy as all
electronic information is populated automatically across the
system.

MACH will be rolled out to ten air cargo locations – Macau in
China; Wellington, Christchurch, and Auckland in New Zealand;
Sangster Intl. and Kingston Jamaica in Jamaica; Ontario,
Vancouver, Calgary in Americas; and Amman in MEAA – by the
end of Q1 2024, with plans to implement it across the Menzies’
global network by the end of 2024.

CEIV Pharma accredited cargo services
Amsterdam Airport Schiphol (AMS) became the fifth
Menzies cargo facility to be awarded the IATA CEIV Pharma
accreditation, joining Sydney (SYD), Melbourne (MEL), London
Heathrow (LHR) and Budapest (BUD) airports.

Reducing waste with BioNatur Plastics
We began the transition to BioNatur Plastics in August 2023,
implementing the biodegradable plastic in cargo operations
at Los Angeles International Airport (LAX), San Francisco
International Airport (SFO) and Miami International Airport
(MIA). The switch will reduce long-term plastic waste by more
than five million water bottles each year. Plans to continue
rolling out the sustainable material will follow across all US
cargo operations, and into Europe and the UK.

OVERVIEWMenzies Aviation
Sustainability
Report 2023

Introduction

s u stainability plan

O u r

Our
Sustainability
Report

2023 has been a pivotal year for sustainability with momentum
building across the aviation industry and many organisations –
none more so than Menzies. We are more committed than ever to
improve and drive forward our All In sustainability plans for a fair
and sustainable future, and to meet our targets. There is always
more to do but we remain ambitious and want to lead the way
in providing the most sustainable, safe, and responsible aviation
services for all our stakeholders, delivering genuine value, impact
and positive change.

Our 2023 report tracks progress against our All In plan and provides
information on our priorities and the actions we are taking as a business.
Together with our colleagues, customers, suppliers and partners, we can
help create a sustainable future for aviation.

C o mmunity

n t

viro n m

n
E

i
n

e
c
n
a

o vern

e o ple
b le a viation services

a i n

i
c

sin
e

ss since 1833 to take the lead in p r o v i d i n g

“I'm thrilled to introduce

Menzies’ latest sustainability
update showcasing the strong
progress we've made over the
last year towards delivering our
All In sustainability commitments
and plans. Decarbonisation is an
imperative for a sustainable aviation
future - one we are committed to
achieving with our net-zero targets,
but there are many other facets to
our All In plan that will deliver value
for our business and stakeholders,
and support our growth in a
sustainable way well into the future.
I'd once again like to thank all our
Menzies teams and our customers,
airports and partners who have
supported us over the last year.
We look forward to another pivotal
year of progress ahead.”

Our All In plan for a fair and
sustainable future is focused
around 4 key pillars, each
underpinned by our strong
commitment to community
support and engagement and
robust governance practices.

• Environment
• People
• Safety
• Ethics

Our plan is based on the priorities
we have identified as being the most
material for our business, originally
identified and agreed upon as part of
our 2021 materiality assessment and
stakeholder engagement process. Since
then, our plans have been adapted to
ensure we challenge ourselves and that
our priorities remain relevant. To meet
new European disclosure requirements
and to reflect Menzies growth strategy
and stakeholder priorities, we are
undertaking a double materiality
assessment and extensive stakeholder
engagement process throughout 2024.

John Geddes
Chief Governance & Sustainability Officer
& Company Secretary

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW
Our
commitment

As a signatory of both the UN Global Compact and Women’s
Empowerment Principles, we are committed to fostering
a more inclusive and sustainable world, in line with the UN
Sustainable Development Goals. Our commitment to these
initiatives is deeply integrated into our everyday operations
globally, driving our decision-making processes, business
strategies, and partnerships. By prioritising sustainability
through our All In plans, we aim to create positive impacts
and deliver towards the Sustainable Development Goals.

Our ambitions for the SDGs
This page highlights just some of the progress we are proud to be making
towards the Goals and a more sustainable aviation industry.

Achieve gender equality and
empower all women and girls
• Women to fill 25% of senior leadership roles by 2025
101 participants have completed our Women in
•
Leadership programme so far

• Women to fill 40% of our middle management

roles by 2033

Ensure access to affordable, reliable,
sustainable and modern energy for all
•

Installation of solar panels on our office and cargo
warehouse in Prague

• Focused on using HVO as an alternative to diesel
• 25% of global motorised GSE to be electric by 2025
• Total fleet replacement in South Africa, increasing electric

• Signatory of the UN’s Women Empowerment Principles

fleet from 14.5% to 38.7%

Promote sustained, inclusive and
sustainable economic growth, full and
productive employment and decent
work for all
• Committed to recruiting refugees equivalent to 1% of our

•

global workforce by 2026
Improved Fair Labour & Human Rights Policy and new
Employee Accommodation Policy, setting clear standards
and guidance to modern slavery and human rights risks
• Committed to new or improved family friendly policies as

our business grows

Build resilient infrastructure, promote
inclusive and sustainable industrialization
and foster innovation
• Reducing carbon emissions and delivering positive
biodiversity and community impacts through our
partnerships with Trees For Life in Scotland &
Solar Water Heating in India
‘Electric first’ approach to new GSE vehicles &
refurbishing and repowering existing GSE vehicles
• New cargo building in Bangalore designed to achieve
Indian Green Building Council Platinum Standard

•

Reduce inequality within
and among countries
• Refreshed Equality, Diversity & Inclusion Policy with

accompanying mandatory training

• Development of our Allyship campaign to raise awareness of

•

unconscious bias, privilege and systemic inequalities
Investment in the Recite Me accessibility tool to make
our digital platforms and software usable by anyone who
interacts with our business

Ensure sustainable consumption
and production patterns
• New IT Asset Disposal Policy and standards to

ensure reuse or responsible recycling of old IT &
electrical equipment globally

• Using biodegradable and recyclable cargo wrap and

increasing recycling

• Focus on reducing our paper consumption by
digitising processes and collaborating with
customers and other third parties

• New efficiency targets for water consumption

Take urgent action to combat
climate change and its impacts
• Ambitious target of reaching net zero

across all three scopes by 2045

• Partnership with IATA to implement their Environmental
Assessment Programme, aligned with ISO14001 standard

• Updated Environmental Policy, applicable

to all colleagues globally
• Submission of our SBTi target

Promote peaceful and inclusive societies for
sustainable development, provide access to
justice for all and build effective, accountable
and inclusive institutions at all levels
• Member of TRACE, demonstrating our zero-tolerance

approach to all forms of bribery and corruption within
our business and supply chains

• Maintaining safety & security through annual

assessments of our Insider Framework by NPSA,
part of UK’s MI5 security service

• Embedding M.O.R.S.E. throughout our business encapsulates

our safety culture and how we aim to make Menzies a great
place to work for all

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWSustainability in Action

Scope 1 & 2 Emissions 2023

103,824
tonnes CO2e

2022: 107,241
Improved/reduced by 3,417 / 3%+

Scope 3 2022 Baseline

237,587
tonnes CO2e

Tonnes of CO2E/$000 Revenue
0.05

2022: 0.06
Improved/reduced by 0.01

Tonnes of CO2E/FTE
2.44

2022: 2.91
Improved/reduced by 0.47

Carbon Management Level

Our EcoVadis Carbon Management Level

Results:
Company with a strong GCH management
system and best-in-class decarbonisation,
actions and reporting capabilities.

Opportunity:
Engage and collaborate with trading
partners on innovative decarbonisation
strategies and action.

967

External audits in 2023

0.07 per FTE

Significant personal injury rates

LEADERS

Highlights

UN Global Compact and Women’s
Empowerment Principles signatory

Top 50 suppliers engaged to provide scope 3
emissions data

100% of suppliers applied modern slavery
risk assessment

Committed to fund 70,000 mangroves as
part of the Million Mangroves project

Contributed $275k towards community
projects, charities and supporting local
fundraising

ASA Airport Services Association (ASA):
Most Innovative Company Award for our All
In Sustainability Plan

NET-ZERO NEAR & LONG-TERM TARGETS
REDUCTION FOR SCOPE 1&2

NET-ZERO NEAR & LONG-TERM TARGETS
REDUCTION FOR SCOPE 3

ELECTRIC GSE GLOBAL TARGETS

FEMALE MIDDLE MANAGEMENT

FEMALE SENIOR LEADERSHIP

We are here

2025 target

We are here

2033 target

We are here

2025 target

2023

103,824

2022 baseline: 107,824

2030

51,912

(50% reduction)

2045

2022

237,587

2030

166,311

(30% reduction)

2045

Net-Zero

(95% reduction + 5% removals)

Net-Zero

(90% reduction + 10% removals)

17%

25%

28%

40%

20%

25%

20%

Paper reduction target for 2024
(based on Dec 23 volumes)

3,000

Tonnes CO2e saved from HVO
use at 4 locations in 2023

56%

Of employees would
recommend Menzies as an
employer – up from 44% in 2021

+100

More than 100 participants
completed Women in
Leadership programme

400+

Recruit refugees equivalent
in number to 1% of our global
population by 2026

17%

Electric GSE globally in 2023
(plans on track for 2025)

340

Increased electric fleet
by 340 in 2023

2.3m

2023 total training hours

51hrs

2023 average training
hours per employee

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW MAR 2024

2023:
Highlights

January
• Opened the year with our ‘Let’s Check In’

global employee survey.

• Opened nominations for our We Are

Menzies Awards 2023.

February
• Surveyed and measured the emissions of
our employees journeys to work for our
scope 3 emissions.

• Our Menzies Macau team arranged for
epidemic prevention supplies to be
donated to the Caritas Macau Centre,
which helps disadvantaged groups and
workers in Macau.

• Launched a fundraising operation to help
survivors of the earthquake on the border
of southern Turkey and northern Syria.

March
• Celebrated International Women’s Day
with a strong focus on allyship, to help
make Menzies a more inclusive, diverse
and equitable organisation which will
benefit everyone.

• Became a signatory of the UN Women’s

Empowerment Principles.

April
• Announced our new net-zero targets,

celebrated Earth Day and reminded our
teams of the small steps they can take.

• Held the first of two annual M.O.R.S.E.
safety and security weeks with teams
taking part all across our global
operations.

September
• Marked International Day of Charity sharing

some of our employee-nominated community
initiatives and charitable organisations we
have supported through the John Maxwell
Menzies (JMM) Community Fund.

• A team of Menzies volunteers headed to

the Scottish Highlands, donating their time
and energy at the Trees for Life Dundreggan
Rewilding Centre.

• We raised our Sustainable Development Goal
(SDG) flag on UN SDG Day, representing the
action we’re taking for a fair and sustainable
future.

August
• Awarded the Gold Award by the Ministry
of Defence (MOD) Employer Recognition
Scheme.

• Our team in Uganda celebrated a partnership

with the Uganda Civil Aviation Authority,
providing internship training to 25 students
currently studying different aviation related
courses.

• Meanwhile our AMI team supported those

impacted by the devastating fires in Hawaii
with a donation drive.

July
• Rounded up our Allyship in Action series as
we heard stories of allyship and the actions
of our teams in Pakistan, Kuwait, Morocco,
Mozambique and Zambia.

June
• On World Refugee Day we

May
• Edgar Cruz, Training Coordinator in

announced our target of recruiting
refugees equivalent to 1% of our
global workforce over the next
three years.

Mazatlan (MZT), Mexico, was chosen as
our overall Employee of the Year for his
commitment to safety.

• Our team in Larnaca, Cyprus provided

PRM support for the RAF flights
supporting evacuees from Sudan via
Larnaca and then onto London Stansted.

• We marked World Environment Day
focusing on our paper reduction
plans.

• Our global GSE teams held a 3 day
summit with some of our partners
to explore ways to progress our
GSE electrification plans.

• We supported World Wellbeing

Week with our Let’s Talk
programme.

October
• Won the Most Innovative Company Award at the Airport Services

November
• Wrapped our second M.O.R.S.E. week

December
• Announced a new sustainability category for our

Association (ASA) Leadership Forum, for our All In Sustainability Plan.

of the year.

2024 We are Menzies Awards.

• Many of our Menzies teams turned October pink in honour of Breast

Cancer Awareness Month.

• We were delighted to be a Gold sponsor at the inaugural IATA World

Sustainability Symposium and provide plantable name badges.
• We went back to school to share our All In and SDG plans, where

students have been learning about the United Nations Sustainable
Development Goals (SDGs).

• Showcased our collaboration with Budapest
Airport and Wizz Air providing fully electric
turns using renewable energy sources.

• Selected a number of charities and community

groups to receive donations.

• Nominated by our employees across all our

regions.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEnvironment

OUR ENVIRONMENT GOALS

Net-Zero Targets
• Achieve net zero across scopes 1, 2 and 3 by 2045.
• Take an electric first approach to new motorised GSE, refurbish
and repower existing GSE and seek low emission fuel options.

• 25% of global motorised GSE to be electric by 2025.
• Reduce energy and fuel use and seek renewable electricity

solutions.

• Engage with partners across our value chain to reduce our

scope 3 emissions.

Reducing our environmental impacts
• Reduce energy consumption and fuel use across our global
operation and seek renewable energy and low emission fuel
options.

• Take a circular approach where possible, reducing waste and

increasing recycling across our global operations.

• Move to low impact environmental solutions and products

across all our services.
Identify and manage our environmental risks and impacts.

•
• Drive compliance and certification with the IATA IEnvA

standards across our global operations.

Collaboration and Engagement
• Support our airline customers and airport partners to

reduce emissions and provide sustainable solutions and
efficient aircraft turnarounds.

• Support good quality environmental projects and

initiatives that create a positive impact on nature and the
environment.

• Train our employees to understand our climate change
impacts and how we can work towards achieving our
environmental goals.

• Embed sustainability into our strategy, procurement, due
diligence and investment decision-making processes and
criteria, giving preference to those suppliers and partners
that share our commitment to sustainability.

• Collaborate with equipment manufacturers and other

suppliers on developing and trialling new technologies
and sustainable products and services across our value
chain.

At Menzies, we hold a steadfast
commitment to sustainability, viewing
it as our imperative to ensure resilience
for the future. This means actively
minimising our business’s adverse
effects on climate change and the
environment, while also proactively
mitigating climate risks and adapting
our operations accordingly.

Our top priority in this regard is
decarbonisation of our business and
operations, with the goal of achieving
net zero by 2045.

Our emissions
This emissions statement for the period
1st January 2023 to 31st December 2023
serves as a comprehensive disclosure of our
company’s greenhouse gas (GHG) emissions
and energy use, mitigation strategies, and
commitment to reducing our environmental
impact in alignment with the requirements of
the Companies Act 2006 (Strategic Report
and Directors’ Reports) Regulations 2013 and
the Climate Change Act 2008. Aligned with
this, our reporting reflects the requirements of
the Streamlined Energy & Carbon Reporting
framework.

In 2023, our business continued to grow with
volumes exceeding pre-pandemic levels. With the
actions we have so far taken to begin to reduce
our global emissions, we were able to reduce our
Scope 1 and Scope 2 emissions by 3,417 tonnes
CO2e compared to our baseline year of 2022.
Compared with 2019 pre-pandemic levels, this is a
decrease of approximately 26,000 tonnes CO2e.

“Our top priority is

decarbonisation of our
business, with the goal
of achieving net zero
by 2045.”

We measured our Scope 3 emissions for the first
time in 2023, setting a new baseline year of 2022
for tracking progress against Scope 1, 2, and 3
emissions going forward.

Quantification and reporting methodology
For the purposes of transparency and to
support comparisons with previous years, we
have reported our full global emissions for
all entities, joint ventures, subsidiaries and
sister companies including National Aviation
Services, as well as the figure for all UK entities
and subsidiaries and joint venture operations,
for which we have operational control.

We set a new baseline year of 2022 for tracking
progress against Scope 1 and 2 going forward.

For Scope 3, we also used a base year of
2022 and screened all categories 1–15, and
performed Scope 3 inventories for categories 1,
2, 3, 5, 7, 11 and 15.

Our scope 3 emissions total is 237,587
tCO2e, accounting for approximately 69%
of our overall 2022 emissions. Targets have
subsequently been proposed for the following
Scope 3 categories as part of our submission
to the Science Based Targets initiative:

Purchased Goods
and Services

Capital
Goods

Fuel and
Energy Related*

Waste

Business
Travel

Employee
Commuting

*Activities Not Included in Scope 1 or Scope 2

Use of Sold Products

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEnvironment continued

For 2023, we have measured and disclosed
global Scope 1 and Scope 2 CO2e emissions.
We have also disclosed our 2022 baseline year
Scope 3 CO2e emissions for those categories
our analysis identified as being material to our
business. We will further disclose and track Scope
3 CO2e emissions following the outcome of our
submission and net zero targets:

• Our 2023 Scope 1 emissions include: direct

emissions from our operations including the
combustion of fuel in our ground support
equipment and vehicles, as well as gas and
other fuel consumption for operating a facility.
• Our 2023 Scope 2 emissions include: indirect
emissions from electricity purchased for our
own use in locations of operation and electric
vehicles and equipment.

Menzies has used the GHG Protocol Corporate
Accounting and Reporting Standards and
reported our emissions in accordance with the
UK Government’s Environmental Reporting
Guidelines.

As part of our support to delivering finance to
low-carbon sustainable development projects, as
outlined on pages 39 to 42, we received 15,250
carbon credits in 2023. We do not account for
these in relation to our decarbonisation targets
(deleting GHG emissions).

We use a system called ESG360° to enable more
efficient data collection and calculation of our
emissions. For 2023, data for scope 1 and scope
2 was sourced from our financial accounting
systems and imported into ESG360° for analysis.
Some manual data was also gathered from
invoices and/or meter readings and entered into
ESG360°. We continue to work on improving the
quality of data collection.

We also engaged our top 50 suppliers as part
of the Scope 3 exercise to collect primary
emissions data directly from them via the
ESG360° platform. This has provided an avenue
for engagement and accountability with our key

supplier partners towards our net zero journey.
This will help to highlight areas of value chain
that would benefit from reductions in carbon
emissions and paves the way for us to develop
a data-driven net-zero plan.

ESG360° follows with the global methodology set
by the Greenhouse Gas Protocol, which supplies
the world’s most widely used GHG accounting
standards. Using the guidance provided by the
GHG protocol, ESG360° measures scope 1, 2 and
3 emissions.

In tandem, using the emissions factor databases
from the Department for Environment, Food
and Rural Affairs (DEFRA) and the International
Energy Agency (IEA), ESG360° accurately and
efficiently carries out carbon accounting, allowing
us to report and disclose required information
more accurately.

We report against two intensity measures that are
common business measures and relevant to our
business and reflective of the size of operations:

1. Gross global scope 1 and 2 emissions in tonnes

of CO2e per $‘000 revenue.

2. Gross global scope 1 and 2 emissions in tonnes
of CO2e per FTE (as at 31st December of our
financial year).

We have increased our FTE numbers significantly
over the last 12 months in response to improved
business as well as expanding our operations. In
2023, our intensity rations improved because of
the actions we are taking to reduce our emissions,
as can also be seen from our actual emissions
volumes.

External Assurance Statement
Menzies Aviation’s 2023 greenhouse gas (GHG)
emissions have been externally verified to a
limited level of assurance by ESG360° with
verification of data obtained from invoices
undertaken by Hilltop Sustainability, a business
sustainability consultancy specialising in carbon
auditing, footprint calculations, reduction plans

and strategies with the aim of assisting clients on
a pathway to net zero.

Hilltop Sustainability was engaged to verify
and comment on the data collection, invoice
sample and quality of the data entry in relation
to the invoices collected as well as to make
recommendations based on its findings.

Verification has been undertaken using standard
audit principles. The data verified by this exercise
was provided by Menzies employees, contractors
and service providers. It covers all operated
activities undertaken by Menzies during the
reporting year. Hilltop Sustainability has not
been involved in any data collection activities for
Menzies, their contractors or service providers
during the reporting period.

Hilltop Sustainability confirms that there is no
conflict of interest arising and this verification
statement and the assurance process has been
undertaken independently. Hilltop Sustainability
have been engaged to verify and comment on the
data collection, invoice sample and quality of the
data entry in relation to the invoices collected as
well as to make recommendations based on its
findings.

Verification of invoices has been undertaken on
the following basis:

• Cross check entries in the data sheet against

sample invoices provided to ensure the
following:
– Quantitative data has been correctly entered
– Correct units of measurement have been

used

– Fuel and energy types have been correctly

attributed

• Review the invoice request tracker to establish
how accurately different areas of the client
organisation have responded.

• Overall review of the carbon reporting to

identify atypical entries and anomalies that
would warrant further checking by the client.

The audit sample size was increased in 2023, as
per the recommendation from the 2022 audit.
It was noted that data accuracy improved on
2022, however, recommendations for further
improvements were identified in the data
collection process and in communicating and
supporting local finance teams to better interpret
data from invoices and validate data entry.

ESG360° completed the conversion factor
calculations on behalf of Menzies within the
ESG360° system, according to the methodology
outlined in ‘Quantification and methodology’
section of this report on page 22, and can attest
to the accuracy of those calculations.

Measures taken to improve energy efficiency
• The majority of our Scope 1 emissions comes

from our ground support equipment (GSE). We
take an ‘electric first’ approach to all new GSE,
wherever possible across our global operations.
This is more easily achieved in airport locations
that have or are planning on implementing
suitable infrastructure and charging points,
and especially beneficial where those locations
provide electricity from renewable sources e.g.
Budapest. We added over 340 electric GSE to
our fleet in 2023, up from the 198 we added
in 2022. We are on track to meet our target of
25% electric motorised GSE (eGSE) globally by
2025 with fully electric aircraft turns able to be
performed in a number of European locations.
• We are engaged with more airports to improve
infrastructure and implement suitable charging
points to support increased eGSE.

• We opened a second refurbishment and

repower workshop with locations now in Las
Vegas and Los Angeles. We converted our first
eight diesel baggage tractors to electric in
2023 and will continue to scale the number of
units converted in 2024 and 2025.

• We have increased our use of Hydrogenated
Vegetable Oil (HVO) as a replacement for
diesel with this now used in San Diego,
Arlanda, Gothenburg and Amsterdam, and for
into-plane fuelling hydrant trucks in the UK.
Over 1m litres of HVO was consumed in 2023.
HVO is a good interim step to reduce emissions
while we convert our GSE fleet to electric.
• Our systems and data are hosted in energy
efficient carbon neutral data centres, which
are planned to be run using 100% renewable
energy by 2025.

• In Prague, our office and cargo warehouse

solar panels are now operational. We expect
to see the full benefits of this during 2024,
with associated emissions reductions of 25%
expected.

• In many locations we are taking simple steps to
switch off lights or equipment when not in use
and ensure energy efficient lighting is installed.
We continued our exploration into ‘smart
buildings’ solutions that could help us reduce
energy use and provide other environmental
benefits, that are scalable and cost effective.
This project is now gaining more traction with a
suitable trial site being surveyed.

Case study

Solar Energy in Prague
Almost 900 panels have been installed at our
14,000 sqm facilities in Prague. The panels are
set to produce more than 350 megawatt hours
(MWh) annually and reduce emissions across
Menzies’ Prague operations by 25%.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEnvironment continued

Energy Savings Opportunity Scheme (ESOS)
In compliance with Phase 3 of the UK’s ESOS
audit and reporting requirements, we have
engaged with an external ESOS Assessor to
undertake an audit of energy use in buildings,
related to our processes, and transport. Our
report and associated recommendations will be
submitted to the UK Environment Agency ahead
of the revised deadline in June 2024.

Policy Changes and Internal Engagement
We implemented a significantly improved
Environmental Policy in 2023, shared with all
employees globally and available on our company
website. This outlines more clearly our strategy,
net-zero commitments, areas of focus such as
electric first and reducing waste, and provides
greater clarity on the how our employees can all
help us to achieve our environmental goals and to
take a more sustainable approach in everything
we do.

Following on from this, we will launch new
environmental training for all employees in
2024. Many employees have also successfully
completed IATA IEnvA training modules, with
more participants planned this year as we roll out
the new standard and seek certification.

We communicate our goals, progress and key
milestones throughout the year and are also
encouraging employees to take the initiative and
make local changes.

Some good examples of this include the
introduction of the Sustainability category in our
We Are Menzies Awards, recognising International
Days related to the environment, including ESG
criteria in our investment decision-making,
learning through volunteering opportunities with
our partner community projects, and by setting
more specific local targets supported with policy
guidance.

BASELINE & PREVIOUS
REPORTING YEAR 2022

CURRENT REPORTING
YEAR 2023

SCOPE 3 CATEGORY

DESCRIPTION

TONNES CO2E

Scope 3 Emissions 2022 Baseline

SCOPE 1 & 2 EMISSIONS (TONNES OF CO2E)

GRAND
TOTAL

GLOBAL

(EXCL. UK)

GRAND
TOTAL

GLOBAL

(EXCL. UK)

SCOPE 1 – COMBUSTION OF FOSSIL
FUELS

87,956

6,558

81,398

87,593

6,020

81,573

SCOPE 2 – ELECTRICITY PURCHASED
FOR OWN USE

19,285

392

18,893

16,231

625

15,606

TOTAL

107,241

6,950

100,291

103,824

6,645

97,179

INTENSITY RATIO (SCOPE 1 & 2 EMISSIONS/METRIC)

TONNES OF CO2E/$000 REVENUE

0.06

0.03

0.07

0.05

0.2

0.05

TONNES OF CO2E/FTE

2.91

1.6

2.58

2.44

1.7

2.51

SCOPE 3 EMISSIONS (TONNES OF CO2E)

HIRE CARS & PERSONAL VEHICLES
USED FOR BUSINESS

20.81

25.0

PURCHASED GOODS
AND SERVICES

Emissions from purchased goods and services, based on
estimates and data from our top suppliers.

CAPITAL GOODS

Emissions from purchased capital goods, based on
estimates and data from top suppliers.

FUEL AND ENERGY RELATED

WASTE

Emissions from the extraction, production, and
transportation of fuels and energy purchased, for example
emissions for resold diesel.

Emissions from waste generated in our operations. Based
on waste data was collected for ground handling, cabin
services, cargo and hazardous waste.

BUSINESS TRAVEL

Emissions from employee travel for business purposes.

EMPLOYEE COMMUTING

Emissions based on employee travel survey data taking
into account: (1) the mode of transport; (2) transport
subtype; (3) the return commuting distance; (4) days
worked in office/ year; (5) no of employees.

USE OF SOLD PRODUCTS

Emissions from the use of sold products for example,
de-icing liquid.

11a) excluding sale of fossil fuels

11b) including sale of fossil fuels

UNDERLYING ENERGY USE (MWH)

TOTAL

53,943

2,029

51,914

46,969

3,233

43,736

2022 TOTAL SCOPE 3

CONFIRMED RENEWABLE ENERGY

546

2022 TOTAL SCOPE 1, 2, 3

We are working closely with our teams across
each of our service areas including ground
services, cargo, fuels, lounges and freight
forwarding, developing specific priorities,
deliverables and targets in support of, as well as
in addition to, our existing global initiatives and
targets.

Collaboration
Working with customers, suppliers, airports and
other partners is vital for us to be able to achieve
our own targets and support the aviation industry
with its net-zero ambitions to create a more
sustainable future.

We have supported our partners with a number
of initiatives over the last year, including strategy
and project workshops, technical working
groups focused on specific sustainability
initiatives, participating in a number of materiality
assessments, and actively working together
to deliver change related to new sustainable
technologies. The main areas of focus are on
decarbonising operations, renewable energy,
reducing waste, paper reduction, infrastructure
for eGSE, and other environmental plans.

We are encouraged by some airports setting
minimum eGSE requirements, as well as
other ESG-related criteria, that will help drive
improvement and accelerate decarbonisation,
alongside quality and other benefits.

1. 2022 is confirmed as our baseline reporting year for all reporting and in

support of Science-Based targets.

2. FTE figures as at 31st December 2023 were used to calculate the

tonnes of CO2E intensity ratio.

3. We continually improve our data collection and measurement
processes, which may from time-to-time result in adjustments
being made to previously stated values. We will always disclose where
an adjustment has taken place and the reason/justification.
4. 2022 Underlying Energy Use (MWH) corrected from our 2022

disclosure.

5. Final 2022 Defra conversion factors applied to 2023 data.
6. 2022 Underlying Energy Use based on scope 1 and 2 data only.

34,518

41,198

39,578

7,051

2,075

55,500

57,669

2,932

54,737

237,587

344,828

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW
Environment continued

Targets
John Menzies Limited (Menzies Aviation)
has committed to set near- and long-term
company-wide emission reductions in line
with science-based net-zero with the
Science Based Targets initiative (SBTi).

Our transition pathway and initiatives designed
to meet our new targets will be communicated in
more detail following the verification process by
the Science Based Targets initiative.

We have committed to reduce absolute scope 1,
2, and 3 GHG emissions from a 2022 base year.
This includes reducing absolute scope 1 and 2
GHG emissions 95% by 2045, and absolute scope
3 GHG emissions from purchased goods and
services, capital goods, fuel and energy related
activities, waste, business travel, employee
commuting and use of sold products 90%
by 2045.

A summary of our targets and milestones are as follows:

2030

50%

emissions reduction
(scope 1 & 2)

30%

emissions reduction
(scope 3 from purchased goods and
services, capital goods, fuel and energy
related activities, waste, business travel,
employee commuting and use of sold
products (part A))

2033

2040

2045

42%

emissions reduction
(scope 3 from the sale of fossil fuels
(part B) of category 11, use of sold
products)

60%

emissions reduction total
(scope 1 & 2)

Net Zero

80%

emissions reduction total
(scope 1 & 2)

60%

emissions reduction total
(scope 3)

Collaboration continued
We participate in the World Economic Forum’s
Airports of Tomorrow initiative, which works in
partnership with Airports Council International
(ACI) World, seeking to address the energy,
infrastructure, and financing needs of the aviation
industry’s transition to Net Zero carbon emissions
by 2050.

The sustainable aviation fuels (SAF) landscape is
evolving rapidly. As a viable option for use now in
the near-term, we support our airline customers
as they seek to secure increased SAF supplies.
Our fuel teams have already performed SAF
refuels both in the UK and the US, and we safely
handle SAF at our fuel farms. We’re also ready to
support new technology beyond SAF.

We have engaged our top suppliers to start to
collect emissions data to support our Scope 3
analysis and transit plans, and we will engage
further through increased environmental risk
assessments and due diligence. Understanding
our suppliers plans to reduce environmental
impacts and emissions, how they can offer
Menzies more sustainable services and products,
and remove negative impacts on the natural
environment are all important to us. We have
updated our Third Party Code of Conduct to
better reflect our expectations in this area,
which is being shared with all existing and new
suppliers. These considerations will be core to our
supplier selection going forward, among other
assessment criteria. As outlined last year, we will
engage with our wider global supplier population
fully in 2024.

ASA Award for our All In Plan
We were delighted to be recognised by our
industry body, Aviation Services Association
(ASA), receiving the Innovation Award for our
All In Sustainability Plan at the ASA Leadership
Conference in Athens. A real achievement and
acknowledgement of our ambitious net-zero
commitments and wider sustainability initiatives.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEnvironment continued

Technology & Data
We continue to expand and improve data
capture and analysis across all areas of our ESG
strategy within our existing systems, by utilising
technology to enable us to track and measure
new dimensions, create new insights and evolve
our approach. Some examples are as follows:

• We use the ESG360° platform to support our
emissions data capture and analysis across
Scopes 1, 2 and 3. In addition to data capture
and carbon accounting, we are able to review
physical climate risk analysis, undertake
materiality reviews, scenario modelling, create
decarbonisation pathways, and gain regulatory
and legislative insights. We have also used this
software to engage with our top suppliers to
capture their emissions data and support our
Scope 3 analysis.

• We have improved our paper use data and

reporting, with monthly tracking and reporting
for all locations shared with our teams across
our operations, for them to check their own
progress against reduction targets.

• We are implementing an automated process

to monitor our plastic consumption and waste
in our cargo operations, and to better inform
reduction targets and to track those.

• Our Third Party Risk Management system will
further support enhanced supplier ESG due
diligence.

• Investigating the data we can capture and
improve from smart buildings solutions.
• Developing customer insights within our

freight-forwarding operations.

• Developing improved data capture and

information for our GSE fleet.

• Our systems and data are hosted in energy
efficient carbon neutral data centres, which
are planned to be run using 100% renewable
energy by 2025.

eGSE and decarbonising our fleet
Transitioning our motorised GSE from diesel to
electric continues to be a priority for Menzies and
will significantly contribute to be the reduction
of our Scope 1 emissions.

We have a target to reach 25% electric GSE
(eGSE) across our global operations by 2025,
and have longer-term targets thereafter. We
already have a large eGSE fleet in Europe, at
over 41%, and some individual stations with well
over 80% eGSE, but other regions are not as
advanced. Albeit we are starting to see a shift
in infrastructure, capacity, and expectations for
providing eGSE in some locations within our other
regions including OSEA, where our eGSE fleet
increased by over 7% in 2023.

2024 is already gathering pace with a number of
changes underway and we are already looking
into 2025, with actions that will support the
transition and accelerate the pace of change. We
are confident that we will achieve our targets.

In 2023 we expanded the use of HVO as an
alternative to diesel as an interim measure to help
us reduce emissions from our motorised fleet
while we increase the proportion of eGSE. We use
HVO or equivalents at San Diego (SAN), Arlanda
(ARN), Gothenburg (GOT), Amsterdam (AMS),
and in the UK for into-plane fuelling hydrant
trucks. We measured savings from HVO use to be
in the approximately 3,000 tonnes CO2e.

Following the opening of our first conversion
workshop in Las Vegas in 2022, we opened a
second workshop in Los Angeles in 2023. We
refurbished and repowered eight tug MA-50’s
in 2023 with a further 12 already underway for
completion in 2024, and the intention of scaling
numbers in 2025. Progress was hampered
last year as we took time to make some
improvements and upgrades to the kit design,
followed by delays to the availability of some
parts. This has all now been resolved and we are
making good progress.

“Waste is a top priority for many of our stakeholders, as well as our own

operations including our scope 3 emissions. Improving our data, targets,
tracking, and sourcing alternative solutions and services, will not only help
make our operations more sustainable, but also ensure we’re working in
partnership with our customers and airports to meet their own ESG goals.”

Katy Reid,
Head of Sustainability & Corporate Responsibility, Menzies Aviation

Circularity
In 2023 we implemented a new IT Asset Disposal
Policy, providing improved guidance for our
teams around the globe on maximising the
lifespan of IT assets, responsible refurbishment,
and recycling. We recycle old electrical
equipment either by donating it to socially
responsible organisations who can refurbish it to
be reused by communities, or through recycling
organisations who can safely dismantle and
recycle chips and other parts, avoiding landfill
wherever possible.

We take a similar approach to donating and
recycling any surplus office equipment and our
repowering.

In 2024, we are looking into other aspects of our
operations where we have identified potential to
look into more innovative solutions to support a
circular approach.

Waste
We know that reducing the volume of waste
across our operations is part of our journey to
net zero by 2045, as well as delivering other
environmental benefits. Emissions from waste we
dispose of is measured under Scope 3, Category
5. Reducing waste and removing it responsibly
across different parts of our business, such
as cabin waste, single-use plastic and paper/
cardboard waste in cargo, and hazardous waste
in fuels, is also an increasing requirement from
customers, airports and regulators.

In 2023 we undertook an assessment of waste
types, volumes and disposal methods across our
operations, who is responsible. This enabled us
to measure the impact and associated emissions
as part of our Scope 3 baselining. Since then we
have focused on two main areas - cabin waste
and cargo waste.

Cabin Waste: Many of our airline customers have
their own initiatives to reduce cabin waste and
better segregate waste onboard to increase
recycling. We have supported on waste mapping
exercises and respond to our customers process
changes, as well as improving our own processes
and data.

Cargo Waste: We began transitioning to
BioNatur Plastics for use in our cargo operations
throughout our Americas region in 2023. This
offers a more sustainable alternative to regular
single-use plastic sheeting, with all products
being recyclable and biodegradable. While
traditional plastics typically take 1,000 years
to degrade in a landfill environment, BioNatur
Plastics products will do so in just 8 – 12 years,
leaving no trace of microplastics in the process.
BioNatur Plastics is in use within our cargo
operations at Los Angeles International Airport
(LAX), San Francisco International Airport (SFO)
and Miami International Airport (MIA) with more
stations already coming onboard in 2024. We
are also sourcing alternative products for our
European and UK operations and will always
look for better and more innovative options as
they become available. We are implementing
new standards for our global cargo operations
that set product selection criteria as well as

improved waste recycling standards. We are also
introducing new regular tracking of consumption,
impact, waste and Co2e by location, in order to
set better targets and monitor improvements.
This will include targets and tracking for recycling
methods and volumes.

De-Icing
We work closely with airports to manage,
measure, capture and recycle de-icing fluid to
ensure efficiencies are maximised and processes
for waste management are controlled, and we
are actively engaged on some new projects
with airports. With the support of our de-icing
systems, such as Avtura, we analyse our de-
icing usage and optimise spraying techniques
and mixes relative to the different temperatures
and environments we work in, and efficiency in
conjunction with water consumption. This enables
us to measure water usage as well as de-icing
volumes, supporting our Scope 3 emissions
analysis.

We recently engaged a new supplier to provide
an alternative de-icing solution in Budapest
developed using vegetable oils and animal fats
rather than petroleum-based. This delivers a lower
associated carbon footprint.

Reducing the environmental impacts of de-icing
operations is an area we will continue to focus on.

Our Paperless Initiative
We’ve improved how we measure and report
on our printed paper usage through Papercut
software across our networks, and by improving
data quality. We have engaged teams from
across our operations to focus on reducing their
paper consumption with a new target for 2024
to reduce our overall printed paper consumption
by 20% in 2024. We are always seeking ways
to reduce paper consumption by digitising
processes, collaborating with customers and
other third parties to find better ways of working
and eliminate paper usage, as well as changing
behaviours in our own operations.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEnvironment continued

We did not meet our 15% reduction target for
2023, partly due to increased business volumes,
but since then we have built in targets across our
regions and our operational teams are invested in
making big improvements going forward. Our IT
and operational teams are delivering changes that
will support us in achieving our targets this year
and beyond.

Water
We have undertaken analysis of water
consumption for our de-icing operations and
will expand this to more services where possible,
such as aircraft cleaning, aircraft toilet and water
services, as well as in our lounges, efficiency
within the farms we operate, and our own
facilities. We require further analysis and data
collection from third parties in order to better
measure our consumption and be able to set
meaningful targets for different services.

IATA IEnvA for Ground Handling
Service Providers
We have partnered with IATA in 2023 to
implement their Environmental Assessment
Programme, released for ground handling service
providers. The new standard has been verified in
alignment with ISO14001:2015 standard, and is
designed to provide a robust set of environmental
management processes and controls with an
industry specific focus for aviation ground
services including ramp, cargo and de-icing.
We are well underway in preparing our new
programme and a number of our employees
have successfully completed IEnvA training. Next
steps are to finalise and review our programme,
ready for certification at our first locations, before
rolling this out across our global network during
2024.

2023 Deliverables

2024 Priorities

Submitted near-term and long-term company-
wide emission reduction targets in line with
science-based net-zero with the SBTi.

340 new electric motorised GSE delivered.

Validation of our net-zero commitments
by SBTi.

Continued reduction of our Scope 1, 2 and 3
emissions.

Fully electric turns being carried out at
Budapest.

Solar panels project in Prague live and
expected to achieve a 25% reduction in
emissions for a full year.

Second GSE conversion workshop opened in
Los Angeles (LAX).

Expanded use of HVO to replace diesel
contributing to a reduction of approximately
3,000 tonnes CO2e.

Saved the equivalent of over 4m 16oz water
bottles from landfill (between Aug – Dec 2023)
by switching to biodegradable plastic wrap in
four US locations.

Airline Services Association (ASA) Innovation
Award for our All In Sustainability Plan.

Top suppliers engaged to collect emissions
data to support our Scope 3 analysis and
transit plans.

Achieved Carbon Management Level
of ‘Leader’ in our most recent EcoVadis
assessment.

Complete our phase 3 ESOS audit.

Improved analysis of water consumption
beyond de-icing.

Certification and roll out of the IATA IEnvA
standard.

20% paper reduction target for 2024 (based on
December 2023 volumes).

Double materiality assessment and increased
supplier engagement to further develop
stakeholder engagement, analysis and
selection of suppliers.

New cargo standards and new targets for
implementing more sustainable solutions,
reducing single-use plastic, and increasing
recycling.

Scale the use of HVO as an interim measure
while we work on increasing our eGSE fleet
and reaching 25% eGSE by 2025.

Airport collaboration and engagement to drive
infrastructure improvements and develop plans
to support new technologies.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWSafety

Target 8.2: diversify, innovate and upgrade for
economic productivity. Achieve higher levels of
economic productivity through diversification,
technological upgrading and innovation,
including through a focus on high-value
added and labour-intensive sectors.

Target 8.8: Protect labour rights and promote
safe and secure working environments for
all workers, including migrant workers, in
particular women migrants, and those in
precarious employment.

Target 16.6: Develop effective, accountable and
transparent institutions for all.

“We want our people to

feel safe in their working
environment by providing
the training and tools
required to do their job
safely and securely.”

Security Maturity Model, focusing on seven
core elements of effective personnel security
processes:
• Leadership and Governance
• Insider Risk Assessment
• Employment Screening
• Ongoing Personnel Security
• Monitoring and Assessment of Employees
• Investigation and Disciplinary Practices
• Security Culture and Behaviour Change

As we grow we use our safety and quality
systems to help integrate our new businesses,
whilst maintaining safety and security.

Our Global and regional risk leads met in our
London Headquarters in June 2023 where we
shared best practice across the network and
agreed actions to further improve our Safety
Management System.

OUR SAFETY GOALS

Zero injuries
Improve and increase hazards and
near miss reporting by introducing
frictionless reporting.

Zero damage
Invest in technology to improve safety such
as SmartDrive and immersive 360 degree
training videos. Engage employees through
our M.O.R.S.E. weeks and continually
promote our Golden Rules.

Improve our safety culture
Continue to embed the M.O.R.S.E. code
and charter across our network to create
a positive safety culture. Focus on
mentoring, improving supervision and
oversight, and managing risk training.

We aim to have the best safety culture in
the industry by delivering the highest health,
safety and security risk standards everywhere
we operate. We want our people to feel safe
in their working environment by providing
the training and tools required to do their job
safely and securely. We want our customers
to trust Menzies to deliver the safest and
most reliable services and to know that we
are committed to continually evolving and
embedding our safety and security practices.

Our Safety Management Systems include our
policies, procedures, training and manuals,
designed to the highest industry best practices
and standards for safety management,
occupational health, security, training and
quality assurance.

We hold certifications in some operational
locations for ISO14001 and ISO45001,
however, our focus is on aligning with industry
certification and standardisation. More
information on our environmental standards
and move to IATA’s IEnvA programme can be
found on page 27.

We have fully adopted the IATA IGOM and ICHM
as the basis for our procedures. We actively
contribute in IATA to the development and
promotion of these standards. We maintain
our IATA Safety Audit for Ground Operations
(ISAGO) registration; this requires an audit of all
central policies, procedures, training and quality
management every two years. Our most recent
ISAGO HQ audit was successfully completed in Q1
2023 with zero findings.

We also introduced a new Risk Library which
allows our operational teams to quickly build risk
assessments it built on the same taxonomy as
our safety management system and uses data
from our own events to help stations understand
the potential outcome and likelihood based
on Menzies events. This approach also allows
stations to see other stations’ risk assessments
so that they can look for ideas on potential risk
mitigations.

We also maintained our IATA Ground Handling
Partner (GHP) and IATA Strategic Partnerships
membership that provides a platform to
contribute to the development of solutions that
impact safety and damage reduction, while
promoting efficiency improvements initiatives as
well as strengthen relationships with key industry
stakeholders.

To address insider threat risk within our business
policies, processes and controls, we undergo
regular assessment in April 2022 and feedback
in April 2023 of our Insider Framework by the
National Protective Security Authority (NPSA),
part of the UK’s MI5 security service. The
assessment is based on the NPSA Personnel

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Safety continued

Safety Culture
Our M.O.R.S.E. (Menzies Operating Responsibly,
Safely and Effectively) Code and Charter, along
with our Golden Rules, encapsulates our safety
culture and how we embed it in everything we
do, which sets us apart from competitors. The
M.O.R.S.E. code sets the way we work every day,
ensuring our airline customers and the travelling
public can trust every journey they take. It is
embedded throughout our business, from our
induction programmes, initial and refresher
training, safety, security and environmental
promotions, incorporated onto uniforms, and
features regularly in our internal communications.

Our teams hold quarterly M.O.R.S.E. forums to
track progress at a global level and also hold
regional risk review boards each month. These
highlight key operational risks and emerging
trends, review incidents and learnings, and
identify improvement opportunities to reduce
accidents and incidents.

Our popular M.O.R.S.E. events, held twice a year
across our global operations, generate a lot of
engagement and demonstrate the commitment to
safety and security that our teams embody every
day. In 2024 our M.O.R.S.E. week topics will be
‘See something, say something’ and ‘Emergency
Response’.

In 2023 we focused on proactively identifying
hazards across the globe. We identified 25,467,
a 128% increase in reporting over 2022. This was
greatly assisted by frictionless reporting in our
M.O.R.S.E. system, using QR codes to make it
easier for all of staff to participate.

Quality and Assurance
We measure quality assurance and safety success
through KPIs and internal audits.

• Menzies’ ‘8 Pillar’ programme prescribes

the minimum standards that are expected
throughout our operations, against which we
measure each station location.

• Our ‘5 Star’ Programme allows us to audit what
matters most and drives improved compliance
behaviour.

Both programmes provide the necessary
oversight and assurance that operational risks
are adequately managed, and continuous
improvement is achieved.

In 2023, our operations were also subject to 967
external audits, a decrease from 1,058 external
audits in 2022.

Training
Training compliance for 2023 was an average of
97.37%

We delivered more than 1,917,273 of safety
training hours to our staff in 2023.

Average training
compliance for 2023

Safety training hours delivered
to our staff in 2023

97.37%

1.9m+

OVERVIEW
Safety continued

2024 Priorities

A key area of focus will be to leverage the
safety data we have in our M.O.R.S.E. system.

We plan to do several deep dives on major
safety risks to review the effectiveness of our
barriers and controls.

We plan to further enhance our dashboards to
help the business monitor their performance,
integrating data from our Safety, Quality and
Learning Systems.

Review our safety and quality systems to
update our strategy to allow us to better
support growth whilst improving our safety
performance.

Updating our Crisis Management Centre
processes and tools. Looking how we address
and react to different threats such as
Cyber and Environmental, and ensuring the
tools we have are resilient.

Strategy
We have a 3 x D strategy to help drive
continual improvement:
• Diagnose areas that can be improved;
• Design to simplify, motivate and give
people the ability to succeed; and

• Deliver in collaboration with stakeholders.

This strategy has contributed to the
implementation of innovative tools such as:
1. The SMART app, an award-winning technology,

enables quick inspection of tasks tailored to aircraft
type and customer requirements, and allows us to
recognise when people go above and beyond. We plan
to invest further in this app in 2024 to improve its ease
of use and the data we can gain from the inspections.
2. The SmartDrive program, which includes AI cameras

and encourages responsible driving.

3. Gamification, a form of micro-learning, which enables
higher recall for important safety messages in a fun
and engaging way is used during our M.O.R.S.E. weeks
to drive employee engagement.

4. Frictionless reporting allows anyone to report a hazard
swiftly on any mobile device and feedback is provided
on their report.

5. We have also implemented our Tow Team Warning
System with a connected wing walker to pushback
driver alert systems to improve pushback safety.

Our safety Performance for 2023
We outperform the industry average for ground handling aircraft damage, and we have made our
workplace safer for our people. This is evidence that we are a reliable, high-quality
partner with safety at the heart of our service.

SIGNIFICANT PERSONAL INJURY
(PER 1,000 FTE)

AIRCRAFT DAMAGE
(PER 10,000 AIRCRAFT TURNS)

YE 2021

YE 2022

YE 2023

0.9

YE 2021

0.94

YE 2022

0.7

YE 2023

0.44

0.42

0.41

Our ground handling aircraft damage rate
is 15 times lower than the industry average
reported by IATA 2022

6.2

0.41

IATA Ground Damage Report, published 2022

Industry average
6.2 incidents per
10,000 turns

Menzies Aviation
0.41 incidents per
10,000 turns

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Safety continued

“Doing our best to

support our employees’
wellbeing and mental
health benefits our
people, and helps drive
a more focused and
happy workplace.”

Views of the toolkits and resources in
our October M.O.R.S.E. Week

1.4k+

Wellbeing
Doing our best to support our employees’
wellbeing and mental health benefits our people,
and helps drive a more focused and happy
workplace. Our Wellbeing Hub is available online
for all employees to access at all times and
includes mental, physical and social wellbeing
guides as well as varied country specific
resources on topics such as financial wellbeing,
mental and physical healthcare resources, as well
as employee assistance programmes.

We held two separate weeks focused on
employee wellbeing and mental health in 2023.
The first was our Wellbeing Week in June,
followed by our second M.O.R.S.E. week of the
year held in October, with the key theme of ‘Let’s
talk wellbeing’.

We had three wellbeing week aims:
1. To highlight the benefits of talking and effective

communication for personal wellbeing, and for
general wellbeing in the workplace.

2. To provide information and/ or training for our
people, to encourage confidence and openness
to talk.

3. To provide opportunities for our people to talk
together, to practice effective and respectful
communication and to make new connections.

It was great to see colleagues from all over the
globe making an impact and getting involved
in activities, downloading thousands of toolkits
and resources, and building relationships. In our
October M.O.R.S.E. Week alone, there were over
1,400+ views of the toolkits and resources.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWPeople

SDG 5: Achieve gender equality and
empower all women and girls.

SDG 8: Promote sustained, inclusive and
sustainable economic growth, full and productive
employment and decent work for all.

SDG 10: Reduce inequality within
and among countries.

OUR PEOPLE GOALS

Create equity and inclusion for all and
an increasingly diverse and balanced
workforce.

Enhance our people systems and the way
we communicate with our people.

Invest in the development of our team at
every level of the organisation.

Our focus on people begins with our
colleagues. With almost 45,000 colleagues
across our global operations, they form the
heart of our business, and we recognise
that they are the key to our success and an
integral part of our growth journey. We remain
committed to creating a workplace culture
that fosters diversity, inclusivity and respect
for all individuals, where our people can thrive
and be themselves. Our colleagues should feel
safe and supported at work, with continuous
opportunities to learn and develop. Since 2022,
we have welcomed over 6,000 new colleagues
and we are committed to improving our
policies, practices and employee experiences
to reflect this growth and support our future
success.

At Menzies, we:
• Focus on making Menzies a great

place for our People to work

• Are Passionate about developing

our talent, and

• Take Pride in getting the basics right

56%

of respondents confirmed they
would actively recommend Menzies
as an employer in 2023, compared
with 39% in 2021

2021

2023

39%

56%

12.6%

Improvement in voluntary staff
turnover between Dec 2022 and
Dec 2023

“We are pleased to report that our voluntary staff turnover improved

by over 12.6% this year, reducing turnover levels to lower than pre-Covid
levels. Retaining talent directly contributes to the long-term sustainability of
our business enabling us to invest in the development of skills and experience,
and the positive effect that has on safety, efficiency, service
and culture in our operations.”

Juliet Thomson
Chief People Officer

Making Menzies a great place for our
people to work
We celebrate and recognise our colleagues
who go above and beyond every day through
our annual We Are Menzies Awards. We are
pleased to share that there were more than
2,900 nominations for the We Are Menzies
Awards in 2023 (more than double the number
of nominations from the year before). Our peer
nominated awards recognise colleagues who
exemplify Menzies values: Safety & Security,
Teamwork, Integrity, Agility, and Customer
Focus. Our new Sustainability category
additionally recognises colleagues who have
embraced our All In principles at work.

Our #mymenzies social media campaign
recognises and raises the profile of colleagues
in different roles across our global network,
highlighting the diverse talent we are lucky to
have in our business.

A culture where feedback is encouraged
Our third ‘Let’s Check In’ global employee survey
ran earlier this year, where we asked colleagues
for their thoughts about working for Menzies.
56% of respondents confirmed that they would
actively recommend Menzies as an employer, a
44% improvement from the last survey in 2021.
Over 80% of respondents confirmed they had a
good understanding of business strategy and how
they personally contribute to Menzies’ success.
Our customer focus and safety questions also
received over 80% positive responses. Colleagues
highlighted Menzies’ strengths as providing a
workplace where people can work together
without discrimination, where management
is visible, and where colleagues are provided
the right tools to do their jobs effectively. They
highlighted opportunities for us to enhance
our global communications, drive a feedback
and recognition culture, and improve break and
restroom facilities. They also highlighted the
importance of ensuring that our pay and benefits
are competitive in the marketplaces where we
operate.

In response to our colleague feedback, we are
piloting a new colleague app that will enhance
the way we communicate with our frontline
colleagues, improve the opportunity for
collaboration and on the spot recognition, and
give colleagues easier access to key technologies
they need to do their jobs effectively.

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People continued

Our pledge
This year we introduced our Station Manager’s Pledge, a global
commitment from our station leadership community to improve
working conditions for our colleagues, including break and restroom
facilities, and greater visibility of their rosters.

My promise and commitment to my team:

1. You will receive the correct uniform on day one

6. Roster swaps and change requests will be

and it will always be renewed on time
I will hold a monthly townhall and Q&A

2.
3. You will always receive your roster at least one

month in advance

4. Holiday requests will always be actioned within

24 hours
I will provide the right training on a timely
bases to support the team in their duties

actioned within 24 hours
I will supply good restrooms and breakout
facilities that are clean and fit for purpose
8. Any grievance will be heard within 72 hours
9. You will see me in the operation every day
10. I will treat my team the way I want the Menzies

Board to treat me

Passionate about growing our own talent
At Menzies, we are passionate about
supporting the development of our colleagues
so that they can reach their full potential;
our colleagues completed over 2,300,000
hours of training this year. Our award-
winning leadership development programme
became mandatory for all colleagues in senior
leadership positions, including our global
station manager population. We enhanced
the opportunity for colleagues to complete
self-directed learning with the launch of our
leadership development hub. We also launched
the Menzies Go Team, an internal talent pool
where colleagues will have the opportunity
to complete stretch opportunity assignments
in other areas of the business, supporting our
growth journey.

Equity, Inclusion and Belonging
We believe in fostering a culture of equity,
where every individual has opportunities for
growth, advancement and success, regardless
of their background. Our executive-led Equity,
Inclusion and Belonging (EIB) working group
encourages conversation and participation
from colleagues at all levels to understand the
issues most important to our people, and to
help identify changes and initiatives we can
implement to progress positive change across
our business. The EIB group applies an equity
and inclusion lens to two main areas that
correlate to our business risks and strategy for
sustainable growth:
• Talent attraction and recruitment
• Retention and development

Based on previous survey responses, when
developing our plans under these two areas we
are focused on:
• Gender
• Family friendliness
• Disability
• Race
• Engaging young people
• Supporting refugees

Our Code of Conduct and suite of People policies
cover many areas of human rights, employee
rights and more. Our Equality, Diversity &
Inclusion Policy has been refreshed and sets
out our commitments and expectations, and
the accompanying training is mandatory for all
colleagues globally. We have also implemented
allyship and unconscious bias training to educate
and develop our people. We aim to align our
People policies and practices with UN SDG
Target 10.3: Ensure equal opportunities and end
discrimination.

We are also committed to introducing and
updating our family friendly policies as our
business expands across our regions. Family
friendly policies demonstrate our commitment to
supporting the wellbeing and work-life balance
of our colleagues. We recognise the diverse
needs of our workforce and are dedicated to
creating an inclusive and supportive environment
where individuals can thrive both personally and
professionally. Example of family friendly policies
include flexible working arrangements and paid
parental leave.

OVERVIEWYouth Engagement
Each year we offer internship and apprenticeship
opportunities to provide young people with
hands-on experience and exposure to various
business areas across our operations. These
opportunities aim to equip young people with
the skills, knowledge and networks necessary to
succeed in the workplace, as well as inspire a new
generation of aviation professionals. We partner
with educational institutions to support initiatives
that promote access to quality education
and training opportunities for young people,
particularly those from marginalised communities.
This year our team in Uganda celebrated the
success of its partnership with the Uganda
Civil Aviation Authority (UCCA). Together, they

provided internship training to 25 students
currently studying different aviation related
courses at Kubis Aviation College, empowering
the next generation of leaders to create a brighter
future for the aviation industry in Uganda and
beyond. In 2023 we expanded our programme
to include our first school visit discussing how
we are working towards the UN Goals and a
sustainable future for aviation, which aligned with
the school’s curriculum focused on learning about
the Sustainable Development Goals.

People continued

Allyship
Our Allyship campaign continues to encourage
our people to show up as allies at work and drive
positive change through supporting marginalised
and underrepresented communities. In 2023, we
were honoured to hear about our colleagues’
experiences in the workplace and how allyship
creates a more inclusive and equitable culture
where our people can thrive.

Education is a powerful tool for developing
allyship and we provide training and resources to
colleagues to increase awareness of unconscious
bias, privilege and systemic inequalities. By
educating ourselves and others, we can better
understand the experiences and perspectives of
marginalised groups and take meaningful actions
to support them.

Gender Equity
With a predominantly male workforce made up
of 73% men and 27% women, we are focused on
improving the gender balance at Menzies. One of
our commitments, aligned with the International
Air Transport Association’s (IATA) 25 by 2025
industry-wide campaign, is to have 25% of our
senior leadership roles held by women by 2025;
we made excellent progress against this target
this year, increasing our senior female leadership
to over 20%.

Our commitment to supporting refugees
aligns with Target 8.8 of the UN Sustainable
Development Goals: Protect labour rights and
promote safe and secure working environments
for all workers, including migrant workers,
in particular women migrants, and those in
precarious employment.

More recently, we became one of the 46 founding
members of Tent Mexico, a coalition of the largest
employers in Mexico committed to supporting
refugees and migrants into work. Learning from
other coalition members and sharing in our
collective goals to support refugees, is invaluable
in helping us make a tangible difference.

Supporting our veterans
We are proud to employ veterans across our
global operations, with over 1,000 in Europe
and well over 4,000 in our Americas region. As
well as supporting the recruitment of ex-forces
colleagues, we also support those who are
active in a reserve capacity. In recognition of our
continued support of veterans, we were delighted
to be awarded the Gold Award at this year’s
Ministry of Defence (MOD) Employer Recognition
Scheme, one of the highest accolades for
supporting the defence community in the United
Kingdom. This recognition confirms our forces-
friendly credentials and ongoing pledge to align
our values with the Armed Forces Covenant.

As a signatory of the UN Women’s Empowerment
Principles, we launched our Women in Leadership
programme back in 2022. This includes education
for our management teams on how they can
serve as allies to all women in their teams. This
is just one initiative that will help us achieve our
25% target by 2025; more than 100 participants
have completed the programme so far. We are
also committed to having women fill 40% of
our middle management roles by 2033, our
200th anniversary. 28% of our middle leadership
positions are currently filled by women, as are
20% of our Executive Management team and
Board.

At an operational level, our teams across the
globe have collaborated with airline customers
to provide all-female aircraft turns to highlight
the career opportunities available to women.
We believe women can excel at any role within
aviation, and that gender should never be a
barrier.

Supporting refugees
We have been a member of Tent Partnership for
Refugees (Tent) since 2022, a global network
of more than 300 companies committed to
supporting the integration of refugees into the
workplace. We have an overall goal of recruiting
refugees equivalent to 1% of our global workforce
by 2026, and in June 2023 we were delighted
to attend the first Tent Europe Business Forum,
where we announced our commitment to employ
150 refugees from across Europe by 2026. More
recently, we participated in the Tent US Business
Forum, where our US specific target of recruiting
250 refugees in the US by 2027 was announced.
By taking action through recruitment, providing
training and additional support (including local
language lessons) for all new refugee recruits,
we can help advance the economic and social
integration of refugees into their
new communities.

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BUSINESS REVIEW

OUR SUSTAINABILITY REPORT

GOVERNANCE

People continued

2023 Deliverables

Creating equity and inclusion for all and an
increasingly diverse and balanced workforce

Enhancing the way we communicate with our
people, especially frontline colleagues

Enhancing our family friendly policies and
employee value proposition

Enhancing our Allyship campaign to continue
supporting marginalised groups

Retaining talent and developing our people
at all levels, with a focus on leadership and
developing skills for a sustainable aviation
future

Refugee recruitment and building an
exceptional fair labour programme

2024 Priorities

New uniforms for our colleagues

The launch of our Menzies all colleague app

Development of our HR systems

Updates to our Equality and Diversity policies
and practices, with unconscious bias training
becoming mandatory for anyone involved in
recruitment or promotion decisions

Enhanced development training for our future
female leaders

Further support provided to refugees looking
to enter the workplace

Taking Pride in Getting the Basics Right
In 2023, we continued the global roll out of our
HRIS platform, now live in 42 countries across the
globe (with a further ten planned for early 2024).
Our HRIS platform supports the digitisation of all
aspects of the employee lifecycle, while ensuring
the data integrity of our employee information.
The platform acts as a key enabler for many of
our operational processes, and as we integrate
the platform with our wider systems, we see the
efficiencies it brings in how we run our business,
supporting our colleagues globally to perform
their roles effectively.

Improving Accessibility
In line with our commitment to equity and
inclusivity, we are rolling out new accessibility
tools in 2024. This will ensure that the technology,
infrastructure and policies necessary for our
colleagues to carry out their roles are accessible
to all our people.

We have invested in the accessible technology
solution, Recite Me, to make our digital platforms,
software and applications usable by anyone
who interacts with our business, including job
applicants and our colleagues with disabilities,
learning difficulties, visual impairments, or
who speak English as a second language. This
involves screen readers, reading aids, styling and
customisation and translation features to suit
employee needs. By implementing accessibility
tools and initiatives, we aim to create a more
inclusive environment for all.

Respect for Human Rights
As a signatory of the UN Global Compact, we fully
support the United Nations Guiding Principles on
Business and Human Rights and the International
Labour Organisation Declaration on Fundamental
Principles and Rights at Work.

We take a zero-tolerance approach to breaches of
human rights and all forms of modern slavery and
human trafficking and respect the right to freedom
of association and fair work and wages for our
colleagues.

Our suppliers are expected to adhere to Menzies’
Third Party Code of Conduct and we incorporate
contractual provisions relating to this, as well as
specific clauses relating to modern slavery and other
ethical conduct and legislation, such as anti-bribery.
We investigate all reports and concerns raised via
our Speak Up solution or by any other means, and
we are glad to report that no instances of modern
slavery were identified in our own operations or
supply chain in 2023.

We publish an annual statement outlining Menzies’
response and steps taken to address modern slavery
and human trafficking risks and ensure that any
form of slavery including forced labour, bonded
labour, child labour, and human trafficking do not
occur anywhere in our global operations or supply
chain. Our latest annual Anti-Slavery and Human
Trafficking Statement is available on our website.

Our statement is published in both UK and
Australian modern slavery statement registers,
in compliance with the UK Modern Slavery
Act 2015 and Australian Modern Slavery Act
(Commonwealth). We also comply with the
Norwegian Transparency Act.

In 2023, we reviewed and updated our Fair Labour
programme and modern slavery and human rights
risks. This included replacing our existing Anti-
Slavery and Human Trafficking Policy with a much-
improved Fair Labour and Human Rights Policy. We
also launched our new Employee Accommodation
Standards Policy, setting clear minimum standards
and guidance. Assessing accommodation is also
subject to internal audit processes; we monitor
facilities and standards and take appropriate action
to improve these where required.

Our Code of Conduct and Third Party Code of
Conduct have also been updated. Alongside this,
our Third Party Risk Management system (TPRM)
allows us to undertake more robust risk assessments
of our supplier population, as well as appropriate
supplier due diligence. This involves evaluating
their adherence to ethical standards and identifying
any risks relating to human rights, modern slavery,
child labour and unsafe working conditions. With
this information, we can ensure the suppliers we
work with are adhering to the standards we expect,
aligned with our updated Third Party Code of
Conduct.

OVERVIEWEthics

SDG 5: Achieve gender equality and
empower all women and girls.

SDG 8: Promote sustained, inclusive and
sustainable economic growth, full and productive
employment and decent work for all.

Target 16.6: Develop effective, accountable and
transparent institutions for all.

OUR ETHICAL GOALS

Anti-bribery and corruption
Zero tolerance for all forms of bribery and
corruption within our business and supply
chains.

Fully compliant
Operating in full compliance with
applicable legislation, ensuring strong
ethical and governance practices are up to
date, relevant and adhered to.

Cyber security
Ensuring continuous improvement of the
confidentiality, integrity and availability of
Menzies systems, data and services.

Ethical supply chain
Ensuring sustainable and ethical supply
chains and partnerships everywhere we
operate.

At Menzies, we recognize that ethical conduct
is fundamental to our operations and our
commitment to sustainability. Upholding the
highest standards of integrity is not only a
moral imperative but also essential for building
trust with our stakeholders and ensuring the
long-term success of our global business.
By conducting ourselves and our business
activities ethically at all times, we keep our
business safe, our people safe and play our
part in supporting a fair and just society and
creating an ethical culture.

• We adhere to all applicable legal and

regulatory requirements, as well as our
robust internal policies and procedures, to
ensure compliance with ethical standards
and promote good governance practices.
• We lead by example, setting the tone from

top of our organisation, modelling the values
and behaviours expected of all employees,
including acting with integrity, honesty, and
respect.

• Our Code of Conduct lays the foundation
for a full suite of ethics and compliance-
related policies. It covers awareness of topics
including but not limited to: labour, human
rights, discrimination, harassment, modern
slavery, anti-bribery/corruption, conflicts
of interest, cyber security, data protection
and privacy, sustainability, safety, wellbeing,
environment, financial integrity e.g. AML,
protecting assets, social media, ethical
conduct and Speak Up.

• We provide continuous learning, and

regularly review and improve our policies,
practices, and training programmes to
address emerging risks and challenges.
We aim to make them understandable and
accessible at all levels, translating them
into multiple languages aligned to the
geographies we operate in.

• Code of Conduct training and many of our

other ethical and compliance courses are taken
by every employee, and other more specific
training is role-based.

• Training is completed on a cycle of every 1, 2,
or 3 years, dependent on the topic. To further
support embedding ethical understanding and
behaviours, we provide guidance and prompts
via other communications on all ethics and
compliance topics.

• We communicate our values, ethical standards,
and expectations through our policies, learning,
guidance and regular updates for every area of
our ethics wheel, as well as our wider
All In plan.

Anti-Bribery
& Anti-
Corruption

Anti-Trust &
Competition

Fraud

Financial
Integrity

Speak Up

Data Privacy
& Data
Protection
incl. GDPR

Cyber
Security

Our ethics
core pillars

Conflicts of
Interest

Gifts &
Hospitality

Code of
Conduct

Third
Party Risk
Management

Anti-Modern
Slavery &
Fair Labour

Sanctions
Compliance

Third Party
Code of
Conduct

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEthics continued

4k+

employees completed in-depth
role-based anti-bribery and
anti-corruption training in 2023

9k+

employees completed in-depth
role-based modern slavery and
human trafficking training in 2023

Note: Training numbers vary each year
depending on where an employee is in their
training cycle and recurrence dates.

Speak Up
Our confidential and independent SpeakUp
hotline enables employees and third parties to
report any instances of unethical conduct via
phone or online, in their local language, safely
and without fear of reprisal. All reports are
treated seriously, confidentially and investigated
appropriately in line with published procedures
and service levels. We can communicate
confidentially with reporters via the SpeakUp
platform without compromising anonymity where
this should be preserved. All reporters are also
provided with a recorded outcome and resolution
to their report.

Our SpeakUp hotline has proven to be
an essential tool in upholding our ethical
standards, as well as for promoting a culture of
accountability throughout our organisation. We
encourage open communication and through
Speak Up, we empower individuals to help us
address misconduct proactively, mitigate risks,
and to identify actions, enhancements or training,
to continually improve and drive positive change
throughout Menzies.

We further maintain the effectiveness of our
programme by measuring and reporting on
the volume of open and closed reports by
category, monitoring procedures and outcomes,
and auditing all our locations to ensure that
SpeakUp contact details are clear and visible
to employees. In Q2 2024 we will implement an
improved version of our SpeakUp system and
re-communicate our guidance and hotline contact
details globally.

Cyber Security
The potential risk from ‘Cyber’ continues to
grow with the increased sophistication of threats
and development of new threat areas resulting
from AI technologies. As part of a critical supply
chain, depended upon by our customers and
the wider public, we take this seriously, ensuring
we have appropriate controls in place. A risk-
based approach is followed to understand the
continually changing threats and vulnerabilities
that could impact what we do.

This drives the continual investment in our cyber
security programme with the key aims of keeping
the information we are trusted with secure and
our business processes robust. Our formal cyber
programme follows a best practice framework
designed to mitigate the risks to an appropriate
level.

The risk-based continuous improvement to
Menzies cyber security controls in 2023 were
primarily driven by the significant increase in
ransomware threat. We have improved the
coverage and capabilities and standardised
the security tooling across our expanding
estate. This has enabled a higher rate of threats
being blocked at first contact and an improved
capability to detect and eradicate malicious
activity. Improvements to and testing of recovery
processes have given greater assurance of our
ability to recover from significant attacks.

We continue to educate and test our employees’
cyber awareness and the technical vulnerability
management program has matured with the

help of a third-party specialist. Combined, these
improvements continue to reduce the overall
business exposure to ‘Cyber Risk.’

We did not succumb to any significant
threats in 2023.

Tax Strategy
As a good corporate citizen, Menzies is
committed to being a responsible and transparent
tax payer, paying the right amount of tax in
accordance with the laws and regulations of the
countries in which we operate. Our Group Tax
Policy is available on our company website.

Zero tolerance to bribery and corruption
Utilising TRACE’s best practice methods, training
programs, and risk assessment data, we have
continued to develop and bolster our internal
protocols. This includes conducting specialised
and targeted virtual and in-person training
sessions for our employee cohorts at heightened
risk, as well as senior management and business
partners (new and old), covering topics such
as bribery, corruption, gifts and hospitality and
conflicts of interest.

During 2023, we continued face-to-face virtual
and in person ABAC training sessions to new
and existing business partners, and to regional
management teams.

In 2023, zero significant instances of bribery
or corruption were identified, and four minor
localised reports were investigated and resolved.

2023 Deliverables

Risk assessment of our supplier population for
modern slavery and human rights

Updated Code of Conduct and Third Party
Code of Conduct

New Global Trade Sanctions Policy and
guidance implemented, and external face-to-
face training delivered to senior leaders

New policy and guidance for Employee
Accommodation, and significantly improved
policy for Fair Labour and Human Rights

2024 Priorities

New global competition law policy, tailored
management training programme and online
annual training

Enhanced Code of Conduct learning for 100%
of employees globally

Enhanced Third Party Code of Conduct and
further expansion of our supplier due diligence
procedures

Move to improved SpeakUp system

Request reconfirmation of acceptance of our
updated Third Party Code of Conduct from our
supplier population

We monitor and investigate any and all reports or suggestions of
corruption within our operations. We took action on one localised
report of unethical business practices in 2022.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWEthics continued

Due diligence & Business Partner Engagement
As a matter of course, we incorporate safeguards
into our contractual arrangements and M&A
document suite to ensure adherence to our
ethical and compliance standards. These
safeguards cover areas such as modern slavery,
anti-bribery and anti-corruption, and compliance
with our Third Party Code of Conduct. We
continue to execute a thorough business
partner due diligence procedure with a leading
consultancy firm as we enter acquisition,
divestment and/ or joint venture discussions.
We enlist external experts, across a number of
specialisms to conduct necessary due diligence
on our behalf whenever necessary.

Our third party risk management system (TPRM)
and procedures enables us to better engage
with our global supplier population, undertake
auditable risk assessments and due diligence
across ESG criteria in support of our All In goals
and sustainable growth agenda. In 2023 we
engaged our top 50 suppliers as part of our
Scope 3 exercise to collect primary emissions
data directly from them, and we have undertaken
a modern slavery risk assessment of all suppliers.
Further details of our fair labour and modern
slavery actions can be found on page 35. Moving
forward, we will be requesting reconfirmation
and acceptance of our revised Third Party Code
of Conduct from all suppliers and reviewing
wider ESG due diligence for many of our existing
supplier population.

Prevention and Detection
Menzies approach to promoting an ethical culture helps us prevent any ethical or compliance
violations, mitigate risks and improve our sustainability and deliverables against our All In plan.

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Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEW

Action Now for
Communities
and Nature

Menzies is committed to helping deliver the UN
SDGs alongside our own sustainability targets,
including our goal to be net zero by 2045.
But we also believe we have a responsibility
as a good corporate citizen to take action
now, beyond our own targets, by supporting
sustainable development projects that are
reducing global carbon emissions and having
far reaching positive impacts including:

• Improving biodiversity
• Restoring landscapes
• Supporting communities economically
• Improving coastal and environmental

protections

• Education and local solutions for

environmental issues

• Delivering towards the UN Sustainable

Development Goals (SDGs)

In 2023, Menzies contributed over USD 275k
towards community projects, charities and
supporting local fundraising by our teams.
This consisted of over USD 140k in donations
and contributions and further USD 135k
delivering finance to low-carbon sustainable
development projects through the purchase
of high-quality carbon credits. It’s important to
find the right partners and projects to support.
We research and select high-quality partners
and projects that deliver positive impact for the
climate, biodiversity, people and communities.

>$275k

Menzies contributed towards
community projects

Valued Partnerships

Climate Impact Partners
With a focus on helping to transform
the global economy, improve health and
livelihoods, and restore a thriving planet,
Climate Impact Partners are specialists in
carbon market solutions for climate action.
They have supported us on a number of
projects over the last three years, with access
to a variety of high-quality sustainable
development projects, including our Million
Mangroves project.

“Menzies’ commitment to building
a fair and sustainable future isn’t
confined to our operations; while we
work on reducing our own internal
emissions, we are also passionate
about restoring and protecting the
environment we live in.”

Million Mangroves
Menzies’ commitment to building a fair
and sustainable future isn’t confined to
our operations; while we work on reducing
our own internal emissions, we are also
passionate about restoring and protecting the
environment we live in.

Known as ‘the wonder tree,’ mangroves are
estimated to store four times more carbon than
a rainforest, making them a highly effective
natural climate solution. By storing excess
carbon, they help to reduce global warming
as there is less carbon dioxide trapped in the
atmosphere.

In 2023, Menzies committed to fund the
planting of 70,000 mangroves as part of the
Million Mangroves project in a bid to reduce
global emissions and restore biodiversity.
The Million Mangroves project aims to deliver
mangrove restoration to threatened coastal
areas around the world including China, Kenya,
Indonesia, and Mexico. Menzies’ commitment,
which runs from 2023 to 2026 significantly
bolsters the impact of the project.

Aligned with the United Nations Sustainable
Development Goal 14: Conserving life below
water, and Goal 15: Protecting and restoring
life on land, mangrove regeneration helps
to stabilize coastlines, protecting them from
storm surges and erosion, and provide homes
for many varieties of fish, crab, and shrimp, an
essential source of food and income for coastal
communities.

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OVERVIEW

BUSINESS REVIEW

OUR SUSTAINABILITY REPORT

GOVERNANCE

Communities and Nature continued

“We are proud to have

been a corporate supporter
of Trees for Life since
2021, a rewilding charity
based in Scotland.”

We also supported the ‘Rewild and
Recover’ programme for the first time.
This provides access for people being
supported by charities related to mental
health, homelessness and refugee support,
to experience the healing power of
nature in a supportive environment.

We look forward to building on our support
with Trees for Life in 2024. You can support
by donating or planting trees through our
Trees for Life, Menzies Aviation Corporate
Grove.

Trees for Life
We are proud to have been a corporate supporter
of Trees for Life since 2021, a rewilding charity
based in Scotland. Focused on restoring the
once-extensive Caledonian forest, the charity’s
vision includes the rejuvenation of entire
ecosystems and providing a solution to the
climate and biodiversity crises, creating a living,
thriving landscape where wildlife and people can
flourish together.

In September, a team of Menzies volunteers
headed to the Scottish Highlands, donating their
time and energy at the Trees for Life Dundreggan
Rewilding Centre. From a guided tour of the
centre’s specialist tree nursery, helping to weed
nursery beds, sorting seeds, and packing more
than 2,000 tree saplings ready to be sent off for
planting, our team experienced rewilding in action
first-hand! As well as being an internationally
important forest restoration site, Dundreggan is a
biodiversity hotspot that is home to over 4,000
plant and animal species.

Save the Med Foundation
We are excited about our new corporate
partnership with Save the Med, having
committed our support until at least the end
of 2026. We look forward to forging close
links with our European teams located in and
around the Mediterranean and engaging our
support in a variety of ways.

Save the Med’s mission is: Regeneration
within the Mediterranean basin through
a holistic and integrative approach,
contributing to the (re)evolution of
local communities into aware and active
custodians.

We will support Save the Med in a number of
ways, and one of the first projects is the Change
Makers project. Each year, several selected teams
gain the opportunity of a lifetime to join the
Save The Med expeditions team for a real work
experience at sea, studying marine regeneration,
plastic pollution and learning techniques in
marine biology. For the first time this year, a
group of university students has been tasked
with presenting ideas for reducing plastic use and
waste, and we are excited for the results!

Reducing plastic pollution and the use of
single-use plastic in our operations is part of our
All In plan, and we are pleased to support such an
important project with Save the Med.

“We look forward to forging

close links with our European
teams located in and around
the Mediterranean and
engaging our support in a
variety of ways.”

Communities and Nature continued

Here are some examples of
actions we are taking today to
help reduce carbon emissions
and deliver positive biodiversity
and community impact around
the world, while we work on
reducing our own emissions.

Trees for Life
Locations: Scottish Highlands, Scotland, UK

Save the Med
Locations: Balearic islands

Trees for Life’s vision is to rewild the Scottish Highlands by
saving and restoring the globally unique Caledonian Forest
and all the wildlife it contains. We contribute funding towards
habitat protection and rewilding, the ‘Rewild and Recover’
programme, and through volunteering.

Save the Med’s Changemakers project invites students, aged
8 to university level, from all over the Balearic Islands to form
teams and develop ideas to reduce the use of single-use plastic,
change mindsets and find solutions. Meanwhile the Dos Manos
Schools Project raises awareness of plastic pollution among
students.

CLIMATE IMPACT PARTNERS PROJECT

Million Mangroves
Locations: Kenya, Indonesia, Mexico, China

Solar Water Heating
Locations: India

Brickstar Efficient Stoves
Locations: South Africa

Rimba Raya Biodiversity Reserve REDD
Locations: Borneo, Indonesia

Babatana Rainforest
Locations: Solomon Islands

Menzies is funding the planting of 70,000
mangrove trees, helping the restoration
of coastal communities by replanting
mangrove forests to re-establish wildlife
and biodiversity, coastal protection and
communities. Mangroves absorb carbon
from the atmosphere at a rate of 4x more
than trees.

Solar water heaters (SWH) provide
households, small and medium sized
enterprises (SMEs) and institutions with
an in-house hot water supply fuelled by
renewable energy rather than carbon
intensive grid electricity.

One of the main drivers of deforestation in
Africa is the demand for wood and charcoal
from inefficient household cooking methods.
This community-led project is tackling the issue
of deforestation at its root by building efficient
stoves into homes. Working with communities to
address the causes of deforestation is a critical
step in conserving nature, and clean cooking
projects do so while improving the lives of those
most vulnerable to climate change.

This Reducing Emissions from Deforestation and Forest Degradation (REDD+) project
preserves carbon-dense tropical peat swamp by helping to halt the deforestation of roughly
65,000 hectares of forest which was originally slated for conversion to palm oil plantations.
The project focuses on both community development – encompassing 2,500 households
living within the project area – and biodiversity conservation, particularly the protection of
the 105,000 endangered Borneo Orangutans. The project actively engages local communities
to improve food security, income opportunities, health care, and education.

Our team in OSEA supported this project for 2023. The Babatana
rainforest has remarkable biodiversity and is home to six tribes all
committed to joining the Babatana Rainforest conservation project.
The project compensates tribal communities for the loss of income
from industrial logging with carbon finance, and brings sustainable
benefits through employment opportunities and women’s
savings clubs.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWCommunities and Nature continued

Jo Sinclair, Customer Operations Manager, took to
the skies for a sponsored skydive to raise money for
Breast Cancer Now.

Supporting Local Charities
and Community Groups

Our long-established John Maxwell Menzies (JMM) Community Fund is a way for employees
to request donations towards their own charitable fundraising or local community groups that
matter to them. The JMM fund enables us to support a wide spectrum of charities and community
groups around the globe.

Jake Ball, Aircraft Refueller at Manchester, UK took
on his first endurance triathlon to raise money for
Head Up Charity, a mental health charity for the
military community.

19 Menzies employees from our Nice operations
took to the magnificent Promenade des Anglais in
the City of Nice with half taking on the 5km charity
walk and the remaining a 7km run, helping to raise
funds and awareness for breast cancer research.

On the International Day of Charity in
September, we celebrated some of the causes
our employees had taken part in and supported.

In addition, our regions were able to support
more local charities and community groups with
the opportunity for all employees to nominate a
charity or community group for selection.

Below is a small selection of some of the
amazing activities our teams took part in and
supported throughout the year.

A team of eight Menzies employees took on the
Isle of Man Relay for Life, where they took turns to
complete laps of the 400m track for 24 hours to
raise money for Cancer Research UK (CRUK).

Sharon Needham, Regional Manager, in Halifax,
Canada is heading up a three-day hockey
tournament to support local cancer patients
requiring mental health support at QEII Foundation.

Two teams of Menzies employees took on the Bucharest
Swimathon, supporting Romanian charity, Centrul
ASPERA which provides support for children with
special needs.

Our colleagues at Air Menzies International are
supporting Kids Haven in Johannesburg, helping
children in need, especially those without parental care
providing shelter, protection, education, training and
therapy.

At Friends of Turtle Island, Rebecca Dean, Area
Accounting Manager, has been collecting and delivering
toys to Turtle Mountain Reservation, North Dakota, since
2014 ensuring that more than 300 children have gifts
under the Christmas tree each year.

Raul Végar Placido, Aircraft Refueller walked over 150
miles, carrying a 15kg backpack to raise money for Help
for Heroes, the leading Armed Forces and veterans’
charity in the UK.

Our team at Entebbe in Uganda, visited Purpose
Uganda, babies and children’s home which takes care
of orphaned children in Entebbe. As part of their visit,
they donated toiletries, food items and other basic
necessities for the children.

Shamiso Madhachimani supported the EatOut
Movement in Harare.

Johann Tahija in Sydney nominated the Northern
Beaches Clean Up Crew for a donation.

And so many more….!

Case study
Supporting
Refugees

Menzies Aviation became a member of The
Tent Partnership for Refugees in December
2022 and we expanded our support of Tent in
2023, announcing specific European targets
at the Tent European Business Summit in July,
as part of our global overarching target of
recruiting refugees equivalent to 1% of our
global population by end 2026.

Since joining, we have expanded our
relationship with more Tent regional coalitions,
across the US, Europe, Mexico and the UK,
to build partnerships and networks that
will support our refugee recruitment and
onboarding programmes. With more and more
refugees continuing to be forcibly displaced
for longer periods of time, it’s more important
than ever to act. We understand some of the
barriers people face entering the workforce
and believe that as a global employer we have
a role to play in helping refugees and displaced
people integrate economically in their new host
communities.

Tent connects businesses with government
agencies and organisations who work with
people that have refugee status. With the
support of Tent and these organisations, we
are at the early stages of developing our
first targets and in setting up recruitment
programmes and partnerships in Europe and
the US to recruit and support refugees into our
business.

400+

Recruit refugees
equivalent in number
to 1% of our global
population by 2026

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOUR SUSTAINABILITY REPORTOVERVIEWGovernance

How we govern ourselves is a reflection of our commitment to
a sustainable and resilient future and a measure of value for our
stakeholders, society and the environment. At Menzies, we believe
that good corporate governance in today’s world is built on strong
internal governance practices that embed environmental and social
considerations, as well as ethical conduct, integrity and transparency.

By applying this approach, we can embed
sustainable development principles throughout
our strategy and decision-making, develop
structured sustainability plans, hold ourselves
to account and be clear, consistent and
transparent in communicating progress against
the commitments and high standards we set as a
company, and in our stakeholder relationships.

UN Global Compact
Menzies is a signatory of the United Nations
Global Compact and we reference the UN
Sustainable Development Goals (SDGs)
throughout this report. Our sustainability report
also supports our annual UN Communication
Progress updates, as well as other rating
responses e.g. EcoVadis.

Sustainability Report Scope &
Reporting Frameworks
Our sustainability report for 2023 includes
supporting data and progress against our All
In plan and goals, covering the period from 1st
January 2023 to 31st December 2023. It also
includes selected information and updates on
plans and initial progress made in 2024, which
will be covered more fully in our 2024
disclosures and Sustainability Report.

Our Sustainability Report is supported with
additional detail from the documents listed
below, which are available on our corporate
website, along with other information updated
and communicated from time to time on our
corporate website, and other related websites and
government databases.

• Annual Modern Slavery Statement

(next report due June 2024)

• United Nations (UN): Communication on
Progress (next report due June 2024)

Green House Gas (GHG)
Emissions Disclosures
Details of our 2023 GHG reporting and
methodology can be found within the
Environment section of this Sustainability
Report on pages 22 to 27. This aims to provide
stakeholders with transparency regarding our
environmental performance and efforts to
mitigate climate change and complies with
related reporting requirements including the
Streamlined Energy and Carbon Reporting
(SECR).

Our scope 1 and 2 emissions have been
independently audited on a limited
assurance basis.

We engaged ESG and climate specialists, ESG360
Risk Management Limited (ESG360°) to provide
support on completing our scope 3 emissions
analysis and preparing our targets for submission
to the Science Based Targets Initiative (SBTi) in
September 2023. Our targets are still pending
approval with the SBTi and once confirmed, we
will publish details of those on our website and
incorporate details within our future reports.

Taskforce for Climate-related
Financial Disclosures (TCFD)
Our disclosure response to the TCFD
can be found on pages 47 to 50 of this
Sustainability Report.

Future Disclosures
As a global aviation services provider, Menzies
is impacted by several of the largest new
sustainability-related reporting regulations and
disclosure standards that have recently or that
will soon come into effect. This includes the
European Corporate Sustainability Reporting
Directive (CSRD) and corresponding European
Sustainability Reporting Standards (ESRS).
We will also be impacted by the proposed
UK Sustainability Disclosure Standards (SDS)
which will be informed by the latest IFRS
Sustainability Standards from the International
Sustainability Standards Board (ISSB), along
with Transition Plan Taskforce (TPT) guidelines
and the forthcoming Taskforce on Nature-
related Financial Disclosures (TNFD). As we have
significant operations in the United States, we
expect in future to report in line with the recent
US Securities and Exchange Commission (SEC)
climate-related disclosure rules, as the scope
expands, and as these rules align with reporting
we will already be undertaking for our global
operations.

Our reporting will further evolve as we align and
comply with all new reporting and disclosure
requirements and relevant reporting frameworks,
to better and more transparently set out our plans
for transitioning towards our net-zero targets, and
delivering our All In sustainability plan.

Oversight & Accountability
Our Board and Committees are accountable for
setting Menzies overall strategy and direction of
the business, while our Executive Management
Board are accountable for day-to-day
development and management of the business,
delivery of our strategy and management of risks.
Accountability for sustainability is borne by every
level of the organisation from the Board down,
while the Chief Governance and Sustainability
Officer has oversight and responsibility of our All
In plan.

Our governance framework has evolved to include
a sustainability lens throughout, although we
hold specific sustainability and climate related
meetings, share communications and updates
and engage with stakeholders on sustainability
plans and materiality. You can read more about
our approach and our Board on page 44, our risk
framework on pages 45 and 46 and within our
TCFD report on pages 47 to 50.

Stakeholder Engagement & Materiality
At Menzies, effective stakeholder engagement
is vital to ensuring our sustainability and to
supporting responsible growth. We cannot do
it alone. We engaged our top 50 suppliers as
part of the Scope 3 exercise to collect primary
emissions data directly from them via the
ESG360° platform. This has provided an avenue
for engagement and accountability with our key
supplier partners towards our net zero journey.

We rescheduled our planned stakeholder
engagement and materiality assessment from Q4
2023 to 2024, to better plan and to give us time
to undertake a more thorough and expanded
process that will add more value, better prepare
for CSRD disclosures, and inform the next
evolution of our All In plan.

We are engaging external expertise from
ESG360° to support our double materiality
process. Our high-level approach will include:

• Awareness and expectations exercises
• Material issue identification and strategic

review

• Material risks and opportunities assessment,

short and long-term

• Internal and external stakeholder consultancy

through a variety of methods, both quantitative
and qualitative

• Mapping stakeholder impacts and

dependencies

• Shaping our future All In plan, climate transition
plans, strategy, decision-making, and future
stakeholder engagement strategy

Our stakeholders include our employees,
contractors, customers, suppliers, partners,
airports, industry bodies, governments, and
wider society. By engaging with them through
this important process we demonstrate
responsible business practices, transparency and
accountability. We will develop outcomes that
deliver a positive impact on the environment,
society, and economy, and a sustainable future for
our organisation and stakeholders.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTOur Board of Directors

Our Executive Management Board

Our Board of Directors sets and
ensures implementation of Menzies
long term strategy, builds community
relationships, and provides the
governance framework. The Board
has oversight of our approach to
sustainability and All In plan, with
responsibility residing with our
Executive Chairman, Hassan El-Houry
and CEO, Philipp Joeinig.

During 2023 our Board received presentations
and regular updates on our All In plan progress,
developments and recommendations, and in turn
provided their support, experience and guidance
to drive ambition and excellence in our approach.

Our Chairman has represented Menzies at key
events including at the World Economic Forum,
discussing our support on key issues such as our
support of refugees.

Hassan El-Houry
Executive Chairman

Philipp Joeinig
Board Member

Ehab Aziz
Board Member

Composition of
the Board

Male
Female

Female representation

20%

Dr. Cheryl Martin
Independent Non-Executive Board Member

Thomas Plenborg
Independent Non-Executive Board Member

Composition of
the Board

Male
Female

Female representation

20%

Philipp Joeinig
Group Chief Executive Officer

Alvaro Gomez-Reino
Chief Financial Officer

John Geddes
Chief Governance & Sustainability Officer
& Company Secretary

Mervyn Walker*
Special Advisor to the CEO

Juliet Thomson
Chief People Officer

with support from the sustainability team,
central business functions and operational teams
throughout our business.

We intended re-establishing our ESG Committee
in 2023, with representation from our senior
leaders. This did not take place and sustainability
issues have been further embedded in core
processes, existing forums, and form part of
discussions and engagements with all business
functions and existing senior teams, to the
extent it has not been necessary to re-establish
a separate ESG Committee. We will review

and monitor this further in 2024 to determine
if this continues to be the correct pathway, or
whether there is value in creating a separate
forum. However, we believe we gain more by
engaging and upskilling our people, embedding
sustainability and environmental, social and
governance and initiatives, standards and ways
of working, into every part of our business.
Empowering our teams will help us be successful,
more strategically focused and help shape new
initiatives and champion our All In plan.

Note: Mervyn Walker will be retiring from his
permanent role on the EMB in 2023, continuing to
provide his immense expertise and experience to
Menzies on a part-time basis into 2024.

* Mervyn Walker supports on a part-time basis through

his role as Special Advisor to the CEO

Our Executive Management Board
(EMB) reports to our Board of Directors
and is responsible for operational and
business performance with a focus on
embedding a customer centric focus
throughout the business and making
us the provider of choice for our
customers.

Our strong leadership team sets a clear
direction, and positions our business to
deliver our strategy and grow sustainably.
The EMB ensures our decision-making and
approvals processes apply an ESG lens
and align with our sustainability goals.
While sustainability is the responsibility of
every EMB member, direct ownership for
development and delivery of our All In plan
resides with John Geddes, Chief Governance
& Sustainability Officer. The EMB also sets
the tone and performance goals for our
senior leadership, incorporating ESG targets
and initiatives into those helping embed our
plans throughout our business.

On a day-to-day basis, our All In plan and
sustainability strategy are developed,
communicated and implemented across
our global operations by our Head of
Sustainability & Corporate Responsibility,

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTOur approach
to Risk

Menzies Enterprise Risk Management
(ERM) framework is designed to take
a proactive approach to risk and drive
value and sustainable growth through
accountability, governance and
oversight, and strategic integration.

We actively identify, track and manage risks in
our ERM system. Risks are identified and raised
by every area of our organisation. We carry out
horizon-scanning to identify emerging risks
that could have a significant impact on our
business, should conditions develop to bring
them closer to fruition and as external factors
generate new areas of consideration through
technological and societal evolution.

We continuously monitor and review our risk
exposure. Our senior regional leadership and
central teams review risks for their respective
business areas and our Risk Committee
undertakes a regular assessment of top-down
risks, emerging risks and principal risks to
determine aggregated impacts, assess validity
of risk impacts, root causes, risk appetite,
treatment and actions to mitigate risks.

Risks are also identified, assessed and managed
as part of new business opportunities, strategic
decisions, investment decisions, and through
business change.

The Committee is Chaired by the Chief
Governance & Sustainability Officer and is
attended by a core group listed below, along
with specialist roles, as required:
• The Head of Sustainability & Corporate

By taking this thorough and dynamic approach
to ERM and continuing to test and improve our
risk framework, including management, controls
and oversight, we can ensure we remain resilient,
grow responsibly and protect our business and
stakeholders at all times.

Responsibility

• Chief People Officer
• Group Financial Controller
• SVP Operational Risk
• Chief Information Officer

Risk Committee
Our Risk Committee provides enterprise-wide
governance and skilled business assessment,
as well as identification, of the risks facing
our business, with a particular focus on top-
down, emerging and principal risks. Whether
they be strategic, change, financial, regulatory,
climate, political, financial, IT, legal, regulatory,
reputational, or other risks. It performs deep-dive
analysis on emerging risk topics.

The Committee also reviews risks related to new
business opportunities along with the executive
management board. The committee has a
responsibility to instill enhanced awareness and
corporate risk governance in a meaningful way,
informing our strategy and action planning.
The committee meets quarterly.

The Committee most recently undertook a
thorough assessment of all top-down and
emerging risks at the end of 2023. Following this,
our Principal risks were identified and presented
to the Audit & Risk Committee and ratified
by them. Our Enterprise Risk Framework and
governance structure is shown in the diagram
below.

RISK FRAMEWORK & GOVERNANCE STRUCTURE

S
K
S
I
R
G
N
G
R
E
M
E

g
n
i
t
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o
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e
R
&
n
o
i
t
a
m
r
o
f
n

f
o
w
o
F

REGIONAL LEADERSHIP
Via regional leadership meetings

EXTERNAL AUDIT, INTERNAL AUDIT & REGULATORS

BOARD OF DIRECTORS
(INCLUDING AUDIT & RISK COMMITTEE)

PRINCIPAL RISKS

EXECUTIVE MANAGEMENT BOARD

TOP DOWN RISKS

ESG COMMITTEE

RISK COMMITTEE

TOP DOWN RISKS

FUNCTIONAL LEADERSHIP –
OPERATIONS*
Via BPR1
SSAG2

BOTTOM UP RISKS

P
o

l
i

c
e
s

P
r
o
c
e
d
u
r
e
s
&
D
e
c
i
s
i
o
n
s

FUNCTIONAL LEADERSHIP – ENABLERS
Directly into ESG & Risk Committees

Risk Framework and Governance Structure key
* Bottom up risk identification, review and

escalation process.

1. Business Performance Reviews.
2. Safety and Security Advisory Group.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORT

Our approach to Risk continued

Operational Risk
Reflecting our purpose of ensuring safe and
secure operations, as well as our core value
of Safety, the removal and management of
risk throughout our day-to-day operations
is fundamental. In 2023, our operational risk
team introduced a new Risk Library enabling
operational teams to quickly build risk
assessments and to be able to view and learn
from risk assessments carried out across our
many operational locations. Continuing to
improve and embed our Menzies Operating
Responsibly Safely and Effectively (M.O.R.S.E.)
programme and safety management systems,
is a top priority and acting to mitigate risks that
could impact on our operations and safety is
critical. We have a number of well-established
mechanisms for identification, management and
mitigation of operational risks. Further details
of our operational standards, controls and risk
mitigations can be found on page 43.

Our ERM system
Our new ERM system holds our risk registers
and provides greater visibility, ownership,
management and reporting of risks, and is
enabling improved tracking of associated actions.
It provides a dynamic view and tracking of our
risks, impacts and actions that can be viewed
across our global business and maintained
dynamically by risk owners in real time. We
continue to increase knowledge and engagement
on active risk management, and to communicate
risks more widely across our organisation as our
processes mature.

Climate Risk
We integrated climate change into our ERM
procedures following development of our
first report responding to the Taskforce for
Climate Change and Financial Disclosures
(TCFD) regulations in 2021. This includes the
identification, assessment and mitigation of
risks from climate change on our business, as
well as the impacts of our own business and
supply chains on climate change, whether they
be physical, transitional or liability related. By
making this part of our ERM procedures we
can ensure we can better educate and engage
our senior teams in the risks relating to climate
change and how these are directly related to our
strategy, decision-making, procurement, All In
plan and net-zero targets, and support the future
sustainability of our business. More details can be
found in our TCFD report on pages 47 to 50
of this report.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTTaskforce for
Climate-Related
Financial
Disclosures (TCFD)

We are pleased to share our third report under the
Taskforce for Climate-Related Financial Disclosures (TCFD)
framework. We have made disclosures consistent with
each of the recommendations consistent with ‘comply
and explain’ requirements. Climate risk and opportunity
management is part of our overall risk management
framework and controls. We have conducted a detailed
risk assessment and scenario analysis and further details
of each disclosure are outlined in the information and
table that follows.

Climate Risks and Opportunities
Our TCFD framework implementation process
has resulted in the Executive Management Board
and the Board of Directors understanding the
qualitative impacts of climate change on Menzies
in the short, medium, and long-term time horizons
using scenario planning as a strategic tool. We
will continue to use the insight gained from this
analysis to quantify the impacts and set our
strategic direction to mitigate climate risks and
maximise the opportunities available. External
support from our consulting partners, in addition
to our strategic reviews, have ensured that we
have identified the high-level key climate related
risks and opportunities to our business. Climate
risks and scenarios are captured and managed in
our enterprise risk management system and form
part of our risk management framework. With the
support of ESG360° we continue to gain granular
data on our supply chain and scope 3 emissions
and to gather data on our physical and transition
risks. These risks and opportunities are shown on
the following page.

ESG and climate specialists, ESG360°
Risk Management Limited (ESG360°) helped
us lay strong foundations for developing and
maturing our original approach in our 2021
reporting cycle and have continued that support
in this latest report, particularly around emissions
calculations in relation to Scope 3, supplier
engagement and SBTi Net-Zero target setting.
The progress we have made this year through
progressing key initiatives further demonstrates
our commitment to sustainability, ensuring
resilience and growing responsibly by placing
a climate lens over our business operations,
strategy and approach to governance including
risk and decision-making. We followed up on
our commitment to submit science-based
targets for verification by submitting our targets
for approval with the Science Based Targets
Institute (SBTi) during 2023, including our target
to reach net-zero by 2045. Our targets are still
pending approval. During 2023, we analysed
the material scope 3 categories for our business
and measured the associated emissions for a
baseline year of 2022. We also engaged our
top 50 suppliers as part of the Scope 3 exercise
to collect primary emissions data directly
from them via the ESG360° platform. This
has provided an avenue for engagement and
accountability with our key supplier partners
towards our net zero journey.

We are undertaking a stakeholder engagement
and double materiality assessment in 2024 that
will add more value, better prepare for CSRD
disclosures, and inform the next evolution of
our All In plan. As part of this work, we will also
undertake a detailed review of climate scenarios
and reassessment. We have a number of targets
and metrics set across our operations relating
to areas including paper reduction, increasing
our electric ground support equipment (GSE)
fleet, and waste reduction. We have expanded
our engagement and collaboration with some of
our customers and at the airports we operate,
identifying how we can work together on shared
initiatives to deliver our targets and goals to
mitigate the impacts of climate change and
make aviation sustainable and resilient for
the future.

Scenarios, Climate Risks and Opportunities

Scenarios
We previously identified two key scenarios as
part of our TCFD analysis, outlined below. Whilst
we have found no significant changes to either
scenario since last year, however, our planned
detailed reassessment in 2024 will determine
their continued validity, and the potential of any
new scenarios for our business. This will include
assessing various indicators relating to these
existing scenarios e.g. quantifying the impact of
carbon pricing on each plausibility to ensure we
can include this analysis in our forward planning.
Our physical risk refresh in 2024 will also inform
this analysis.

Our two transition scenarios in respect of climate
change are described below:
1) Where governments and regulators lead

the energy transition aligned with the Paris
agreement and impose various policy measures
consistently over this decade. This scenario
envisages rapid action in respect of net-zero
targets and implementation of mechanisms
such as carbon pricing and financial incentives
for decarbonisation especially for the aviation
sector.

2) Where there is a social tipping point that

impacts on the aviation sector beginning with
developed economies. This scenario envisages
a drop in passenger numbers and drastic
measures by governments towards end of this
decade and a low carbon price until middle of
this decade with growing investor and wider
stakeholder focus on the aviation sector.

Utilising the outcomes of the scenario analysis,
we continue to refine our understanding of
each scenario and to develop the strategic and
financial implications of climate change on our
business. This includes continuing to research
developments that may impact us as outlined
in each scenario. We have been refining our risk
assessment process to incorporate this analysis
into new business opportunity assessments.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTTCFD continued

“External support from our consulting
partners, in addition to our strategic
reviews, have ensured that we have
identified the high-level key climate
related risks and opportunities to
our business.”

Physical Risks
We carried out a comprehensive physical risks
assessment of our top 30 airport locations
based on the latest climate science from the
Intergovernmental Panel on Climate Change
(IPCC). This study highlighted five locations
prone to physical risks namely coastal flooding,
sea level rise, heat stress and drought in certain
regions and locations on periods up to 2050,
although no locations were at risk in the short
term. We will carry out physical risks assessments
of all new airport locations in the future to ensure
any potential risks are identified and considered
within the business case. We are currently
progressing collection of physical risk data
from our suppliers using the ESG360° platform
and reviewing the physical risks relating to the
additional locations resulting from the Agility
acquisition.

Transition Risks and Opportunities Risks
As a business, we do not see any fundamental
changes in our key risks in comparison to analysis
from last year. The key risks identified are outlined
below:
• Implementation of a carbon price and other
taxes may have a direct financial impact
should Menzies be unable to reduce its carbon
emissions, as well as our competitors
(medium/long-term).

• Fast changing consumer attitudes especially
in developed European markets, may impact
flight volumes and result in cost pressures from
our customers where there are already tight
contractual margins (medium-term).
• Uncertainties around decarbonisation

technologies for the aviation sector and
supporting infrastructure in some locations
may inhibit our ability to meet our own carbon
reduction targets and the required pace of
change, as well as government targets
(short/medium/long-term).

Opportunities
• Energy efficiency and decarbonisation actions
in operations faster than our competitors, and
enabling our customers to achieve their targets
faster.

• Leading the market with a robust sustainability
strategy and collaborating with our aviation
partners to take action, implement change and
increase our resilience.

• Accessing grants and subsidies for

decarbonisation technologies to offset the
level of investment required in new training,
technologies and equipment to support
delivery of our carbon reduction goals as well
as support the goals of the aviation sector
more widely.

• Building a climate resilient strategy to

attract relevant capital.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTTCFD continued

GOVERNANCE

DISCLOSURE

REF

STRATEGY

DISCLOSURE

A) BOARD OVERSIGHT

OF CLIMATE-RELATED
RISKS AND OPPORTUNITIES.

B) MANAGEMENT’S ROLE IN

ASSESSING AND MANAGING
CLIMATE-RELATED RISKS AND
OPPORTUNITIES.

Climate risks and opportunities identified were communicated to the Executive
Management Board, and the Company’s Board oversight was achieved via the Chief
Governance & Sustainability Officer, as well as through our risk management processes,
captured and discussed with our senior management Risk Committee and the board-
level Audit and Risk Committee throughout the year.

We have worked on embedding all ESG-related activities into our everyday procedures
and our decision-making processes. This has replaced our focus for a specific ESG
Committee. That said, ESG-related opportunities, risks, and liaison and collaboration with
external stakeholders in relation to the implementation of sustainability initiatives are
all key priorities and areas of focus for our teams. The Risk Committee ensures that all
climate-related risks are captured in our enterprise risk management approach.

The Chief Governance & Sustainability Officer and Head of Sustainability & Corporate
Responsibility regularly report progress and discuss strategy with the Executive
Management Board and the Board of Directors. This ensures Board oversight at the
highest level. Progress updates are also made monthly to the Executive Management
Board through monthly business performance review updates, directly via the
Sustainability team, as well as via our teams throughout the business who are also
responsible for ESG-related initiatives.

Further details of our governance structure can be found on pages 43 and 44 of this
Sustainability Report.

Senior management and the Chief Governance & Sustainability Officer have been
directly involved in our scenario planning exercise and assessment of opportunities and
risks, as well as participating and shaping our Sustainability Strategy and initiatives. This
included awareness sessions led by ESG360° on climate change and external factors.
The Risk Committee met at the end of 2022 and reviewed the top-down risks and
emerging risks which were quantified following a set methodology.

The Executive Management Board have been informed regularly of progress with our
Sustainability Strategy throughout the year and have been involved in and supported
key initiatives, opportunities and collaborations. Details of our sustainability plans were
communicated directly to over 100 of our senior managers during our M100 update
sessions. Risks are also reviewed by our Risk Committee and our board-level Risk and
Audit Committee throughout the year.

Members of senior management have been assigned appropriate climate related
targets focused on reducing Scope 1 and 2 greenhouse gas (GHG) emissions. These
were refreshed for 2023, and will be further refreshed in 2024 as we set new targets
and as we update our decision-making processes. These will be expanded out more
widely with more employees being accountable for delivery of our strategy as it reflects
sustainability and climate change. Targets for management will be further refreshed for
2025 following completion of our materiality process and in-depth review of climate
scenarios, risks and opportunities.

Pages 43-46

A) SHORT, MEDIUM AND
LONG-TERM CLIMATE-
RELATED RISKS AND
OPPORTUNITIES.

We carried out a comprehensive materiality assessment of climate risks and
opportunities relevant to our business model to understand high-level strategic and
financial impacts of these issues over short, medium and long-term time horizons
(referenced within the ‘Climate risks and opportunities’ section on page 47). We review
our climate-related risks on a regular basis as part of our overarching enterprise risk
management framework and procedures, as previously outlined.

The planned double materiality refresh in 2024 will further enhance our stakeholder
engagement and will play a key role in updating our strategy moving forward to map the
climate-related risks and opportunities across our supply chain.

REF

Pages 22-27
and 46-48

B) IMPACT OF CLIMATE-
RELATED RISKS AND
OPPORTUNITIES ON OUR
BUSINESS, OUR STRATEGY
AND OUR FINANCIAL
PLANNING.

Net-zero aligned government legislation and changing consumer attitudes towards the
aviation sector may have a long-term impact on our business.

Pages 22–27

We will continue to monitor changes to external impacts and to understand granular
strategic and financial impacts of climate risk on our business, which will better enable
us to consider and implement any adjustments to our strategy. This will be reported on
in more detail in our next Annual Review & Sustainability Report.

We already take an ‘electric first’ approach to all investment decisions around
new ground support equipment and vehicles and have expanded our sustainable
procurement approach and capital investment procedures to widen this through our
business.

Pages 43-46

C) THE RESILIENCE OF OUR

STRATEGY TO DIFFERENT
CLIMATE-RELATED
SCENARIOS, INCLUDING
A 2C OR LOWER SCENARIO.

As part of the initial TCFD implementation process, we undertook scenario analysis
including one scenario aligned with the Paris agreement. Although the aviation sector
is under pressure due to climate-related matters, the results of scenario analysis have
confirmed no major risks to our strategy in the short to medium-term currently although
we will reassess this as part of the scenario refresh exercise in 2024.

Pages 22-27
and 46-48

We review our strategy with a climate lens taking into account climate-related risks and
impacts in investment decisions is previously noted, to better consider any adjustments
we need to make. We intend further reviewing our strategy against the scenarios
identified and short, medium and long-term timeframes to understand the resilience of
our strategy and will continue to do so on at least an annual basis, including any new
material scenarios as they arise.

We believe our focus on reducing our carbon emissions and collaborating with our
industry partners on implementing change, new infrastructure and supporting each
other to achieve our goals, coupled with continuing to develop our mix of aviation
services and varied geographies we operate in will ensure our continued resilience in the
short to medium-term. This approach aligns with the fact that an ecosystem approach is
needed in the aviation sector to reduce risks and to achieve sustainable outcomes.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTTCFD continued

RISK

DISCLOSURE

OUR PROCESSES FOR:

A) IDENTIFYING AND ASSESSING

CLIMATE-RELATED RISKS;

We identify and assess climate related risks within our existing risk management processes and details of climate
related principal risks are managed and reported in line with the risk governance structure summarised on page 43 of
this Sustainability Report.

B) MANAGING CLIMATE-RELATED RISKS; AND

C) HOW OUR PROCESSES ARE INTEGRATED INTO

OUR OVERALL RISK MANAGEMENT.

We have a comprehensive Enterprise Risk Management (ERM) system, Corestream. All climate risks and opportunities
including those uncovered from our TCFD implementation process, are managed and fully integrated within our
updated ERM processes and are a core part of our risk assessment processes.

Further details of our risk governance structure, risk management framework including details of our approach to
identifying, assessing, and managing risk, including integrating climate related risks, can be found on page 45 of this
Annual Review & Sustainability Report.

METRICS AND TARGETS

DISCLOSURE

A) METRICS USED TO ASSESS OUR
CLIMATE-RELATED RISKS AND
OPPORTUNITIES IN LINE WITH
STRATEGY AND RISK MANAGEMENT
PROCESSES.

Scope 1 and 2 GHG emissions are disclosed on page 22 of this Sustainability Report alongside our Scope 3 baseline
emission figures based on a baseline year of 2022. We await approval of our SBTi targets including Scope 3 analysis
and targets via the Science Based Targets initiative (SBTi) Net-Zero Standard. Following approval, further metrics
and targets will be devised. These will be disclosed in our next Sustainability Report and reflected within appropriate
employment key performance indicators (KRAs) including senior management and associated financial rewards.

In support of our Scope 3 analysis, in 2023 we engaged with our top 50 suppliers to understand their GHG emissions,
climate risks and potential impacts on our own operations. Further engagement will be carried out with our key
suppliers to ensure that we are covering the full value chain when assessing climate risks and opportunities.

We have amended our capital investment governance process to embed improved risk assessment procedures and
climate-related impacts and opportunities analysis.

REF

Pages 45-46

REF

Pages 22-27

B) OUR SCOPE 1, SCOPE 2 AND IF

APPROPRIATE, SCOPE 3 GREENHOUSE
GAS (GHG) EMISSIONS, AND THE
RELATED RISKS.

GHG emissions are disclosed in the Environmental section of this Sustainability Report on page 24.

As referenced above, we finalised a Scope 3 analysis and accounting exercise in 2023 and submitted science-based
targets in line with the SBTi’s net-zero target setting programme in September 2023 for verification and approval. Our
Scope 3 2022 baseline emissions are outlined in this report on pages 20 to 23 and further details will be tracked and
disclosed following verification and approval of our scope 3 emissions by the SBTi.

In 2023 we engaged our top 50 suppliers to understand their own GHG emissions, climate risks and potential impacts
on our own operations. This engagement will continue as mentioned above and expand as we undertake wider scope
3 analysis and our next double materiality project in 2024.

Pages 22-27
and 35

C) TARGETS TO MANAGE OUR

CLIMATE-RELATED RISKS AND
OPPORTUNITIES AND PERFORMANCE
AGAINST THESE TARGETS.

We are deploying technology to measure and track our Scope 1 and 2 GHG emissions and this will also be extended to
collect Scope 3 data as we work towards our targets. Our GHG emissions data and KPIs can be found on page 25 of
this Sustainability Report.

Pages 22-27

Once further metrics and targets have been devised through the implementation of the TCFD recommendations,
scenario analysis and setting of science based targets, performance metrics will be further developed as both
KRAs as well as renewed targets and metrics for our senior and executive management teams.

Menzies Aviation Annual Review & Sustainability Report 2023BUSINESS REVIEWGOVERNANCEOVERVIEWOUR SUSTAINABILITY REPORTBe true to our purpose
Be a sustainability leader
Be a partner and employer of choice
Achieve our goals and become net-zero
Achieve accelerated and sustainable growth
Ensure a resilient future

John Menzies Limited
3 Lochside Way, Edinburgh Park
Edinburgh, EH12 9DT
United Kingdom

Menzies Aviation Limited
21-22 Bloomsbury Square
London, WC1A 2NS
United Kingdom

Tel: +44 (0)203 657 3900

Tel: +44 (0) 203 657 3900