Actions taken to communicate progress with stakeholders

Calvert is pleased to announce that it has published its first Corporate Sustainability Report using the UN Global Compact and Global Reporting Initiative (GRI) Guidelines as its framework. Per the new Global Compact Communication on Progress guidelines, Calvert’s report (a) contains a statement of continued support for the Global Compact in Barbara Krumsiek’s opening statement as CEO (p. 4), (b) includes a cross-reference table mapping the Global Compact Principles to relevant sections of the report (p. 41), and (c) is submitted to the UN Global Compact and also published on our website (www.calvert.com) for our stakeholders. Please see the following site to view Calvert’s Corporate Sustainability report: http://www.calvertgroup.com/pdf/GRI_Sustainability.pdf.

Main corporate citizenship issues tackled in this Report are linked to their relation to the Global Compact principles. Calvert’s Report covers Corporate Governance and Business Ethics (p. 16), Labor/Workplace (p. 20), Environment (p. 26), Product Safety & Impact (p. 29), Human Rights, including anti-corruption (p. 32), Indigenous Peoples’ Rights (p. 33) and Community Relations (p. 35). The Report also includes a statement supporting the UN Global Compact (p. 32).

Calvert strives to ensure that its business policies, programs, and practices incorporate all ten principles of the UN Global Compact. As a socially responsible investment company, we are mindful of the importance of improving social performance, as well as communicating that progress effectively to all of our stakeholders. For years, Calvert has advocated greater disclosure and transparency on the part of corporations so that stakeholders – not only investors and shareholders, but employees, communities and the public – have the information they need to evaluate whether a company is discharging its responsibilities in a socially and environmentally sound manner. With respect to Communications on Progress, Calvert has submitted examples of our progress to the Global Compact since 2001.

Our first Sustainability Report is a reflection of our continuing commitment to the UN Global Compact principles, our belief that disclosure and transparency are integral to that commitment, our determination to constantly improve our own performance, and our hope that we can make a difference. As always, we greatly value our participation in the UN Global Compact.

Outcome/result of efforts to communicate progress

Calvert’s 2004 Sustainability Report contains 2003 and available 2004 strategic and performance information relating to the Calvert Group Ltd. It presents Calvert’s philosophy and initiatives in relation to our social responsibility. Calvert also begins to examine its group-wide governance, management systems and performance information, including social and environmental performance. As frameworks for this report, Calvert used the Global Reporting Initiative Sustainability Reporting Guidelines and the UN Global Compact, with cross-references to both initiatives. We intend to incrementally build on this framework in future years, however, with the ultimate goal of producing a sustainability report “in accordance” with the GRI.

The response to Report has been positive. Calvert received positive responses from the Global Reporting Initiative, where the report may also be accessed, and from Ceres, the non-profit group that launched the Global Reporting Initiative. Calvert’s release of the report was carried in several industry newsletters and Internet news groups as well.