Alliance Data 2015 Corporate Responsibility Report Highlights Company Progress

Activities across All Businesses Demonstrate ‘Data for Good’
Jun 28, 2016 5:10 PM ET

PLANO, Texas, June 28, 2016 /3BL Media/ - Alliance Data Systems Corporation (NYSE: ADS), a leading global provider of data-driven marketing and loyalty solutions, today issued its annual Corporate Responsibility report, which encompasses actions and commitments across the  enterprise, including its corporate headquarters and three lines of business – Alliance Data’s card services business, Epsilon and LoyaltyOne. The 2015 report also includes activities from Conversant, acquired by Alliance Data at the end of 2014 and now part of Epsilon. This year’s report focuses on “Using Data for Good,” to recognize the critical role data plays in identifying, informing, measuring and demonstrating  positive outcomes across Alliance Data’s entire CR framework. Download a copy of the full report.

“Our growth and recognition as one of the world’s top-performing companies comes with increased expectations that we also operate responsibly and transparently” said Ed Heffernan, president and chief executive officer of Alliance Data. “The measure of a company’s success goes beyond solely its financials. The right thing to do is now the expected thing to do, and I have always been proud of our approach to conducting business responsibly.”

The 2015 report highlights accomplishments and goals in Alliance Data’s four key focus areas:

DATA: Promoting the Secure and Responsible Use of Consumer Data
In addition to focusing on data security and consumer privacy, Alliance Data harnesses the power of data to make good things happen. In 2015, the Federation of Internet Alerts (FIA), founded by Conversant, issued 300 million AMBER Alert messages and more than 3 million tornado warnings directly to people within those vicinities. Working with law enforcement, Alliance Data’s technology helps geo-target critical information from AMBER Alerts to phones, tablets and computers in the area where a child was last seen, overriding online ads. Likewise, a partnership with the National Weather Service helps FIA alert families in the paths of potentially devastating storms.

Looking forward, Alliance Data will continue to advocate for responsible, secure and transparent marketing practices that use data to drive positive outcomes, and to promote “data for good.”

PEOPLE: Focusing on Health and Wellness, Growth and Development, Leadership Skills
Alliance Data continually assesses its workforce to ensure associate programs meet the needs of a growing, dynamic global population. This also includes identifying ways to leverage workforce data to better manage and predict voluntary turnover. Key accomplishments in the “People” focus area for 2015 included:

  • Recognized by FORTUNE magazine for Alliance Data’s culture of inclusion: Named one of the 100 Best Workplaces for Millennials, 50 Best Workplaces for Diversity, and 100 Best Workplaces for Women
  • Got people moving with the Million Step Challenge, where 4,069 associates logged more than 831 million steps (415,750 miles) – the equivalent of 17 times around the world
  • Reduced voluntary employee turnover rates by 1% annually, and increased associate engagement and enablement scores by 2%

Alliance Data continues to enhance its reward and recognition programs so that associates at every level can share in the company’s success.

COMMUNITY: Creating Measurable and Meaningful Impact in Alliance Data Communities
Alliance Data’s success has enabled the company to address global challenges affecting the communities where associates live and work, by investing time, talent, and resources in organizations that impact critical social issues. Key accomplishments in 2015 included:

  • Invested $9.4 million in charitable causes across Alliance Data communities (84% increase from 2014)
  • Logged 25,000 associate volunteer hours (36% increase from 2014)
  • Matched dollar-for-dollar $938,000 in associate charitable contributions through the matching gifts program (28% increase from 2014)
  • Expanded focus on children’s health by donating more than $1 million to children’s hospitals across the country, and donated more than 9.7 million miles (equivalent of $1 million) to children’s charities through the Canadian AIR MILES® reward miles program

Alliance Data’s commitment to communities focuses on education, children and independence, with an underlying emphasis to leverage data for better determining positive outcomes and community impact. The company’s goal is to invest $50 million in its communities by 2020.

ENVIRONMENT: Balancing Growth While Reducing Our Carbon Footprint
As Alliance Data continues to grow, the company strives to manage its growth responsibly by reducing its impact on the environment. Key accomplishments in 2015 included:

  • Submitted first scored response to CDP and received above average  marks – Alliance Data 69, CDP supply chain average 60
  • Completed the fourth greenhouse gas (GHG) inventory with improved data accuracy, leveraging a new online tracking tool that collects actual consumption data and calculates GHG emissions
  • Achieved a 48% reduction in Alliance Data’s scope 1 and 2 emissions since the 2012 baseline year, and a 53% reduction since 2014
  • Reached the milestone of 1 million kilowatts of solar power generated at LoyaltyOne’s Mississauga, Ontario, customer care center

Looking ahead, Alliance Data will focus on energy and paper usage, while continuing to develop a more intentional road map for its conservation and reduction efforts.

About Alliance Data
Alliance Data® (NYSE: ADS) is a leading global provider of data-driven marketing and loyalty solutions serving large, consumer-based industries. The Company creates and deploys customized solutions, enhancing the critical customer marketing experience; the result is measurably changing consumer behavior while driving business growth and profitability for some of today's most recognizable brands. Alliance Data helps its clients create and increase customer loyalty through solutions that engage millions of customers each day across multiple touch points using traditional, digital, mobile and emerging technologies. An S&P 500 and Fortune 500 company headquartered in Plano, Texas, Alliance Data consists of three businesses that together employ more than 16,000 associates at approximately 100 locations worldwide.

Alliance Data’s card services business is a leading provider of marketing-driven branded credit card programs. Epsilon® is a leading provider of multichannel, data-driven technologies and marketing services, and also includes Conversant®, a leader in personalized digital marketing. LoyaltyOne® owns and operates the AIR MILES® Reward Program, Canada's premier coalition loyalty program, and holds a majority interest in Netherlands-based BrandLoyalty, a global provider of tailor-made loyalty programs for grocers.

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Forward Looking Statements
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements give our expectations or forecasts of future events and can generally be identified by the use of words such as “believe,” “expect,” “anticipate,” “estimate,” “intend,” “project,” “plan,” “likely,” “may,” “should” or other words or phrases of similar import. Similarly, statements that describe our business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements.

We believe that our expectations are based on reasonable assumptions. Forward-looking statements, however, are subject to a number of risks and uncertainties that could cause actual results to differ materially from the projections, anticipated results or other expectations expressed in this release, and no assurances can be given that our expectations will prove to have been correct. These risks and uncertainties include, but are not limited to, factors set forth in the Risk Factors section in our Annual Report on Form 10-K for the most recently ended fiscal year, which may be updated in Item 1A of, or elsewhere in, our Quarterly Reports on Form 10-Q filed for periods subsequent to such Form 10-K.

Our forward-looking statements speak only as of the date made, and we undertake no obligation, other than as required by applicable law, to update or revise any forward-looking statements, whether as a result of new information, subsequent events, anticipated or unanticipated circumstances or otherwise.