Climate Change Data

Abercrombie & Fitch Co.

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:45620 tCO2e/year
Scope 1 Emissions:8615 tCO2e/year
Scope 2 Emissions:37005 tCO2e/year
Scope 3 Emissions:897070 tCO2e/year
Renewable Energy Share:0% of total energy use (reporting year); 100% for electricity at home office and two distribution centers in 2023
Total Energy Consumption:126186 MWh/year
Carbon Intensity:0.000012337 tCO2e/USD revenue

ESG Focus Areas

  • Climate Change
  • Biodiversity
  • Social Responsibility
  • Governance

Environmental Achievements

  • Reduced total Scope 1 and 2 GHG emissions by 17% from the previous year.
  • Achieved 100% renewable energy matching for electricity used at the global home office and two distribution centers in New Albany, Ohio.
  • Reduced water used across denim production by 30% since fiscal year 2020.

Social Achievements

  • Conducted first materiality assessment to identify key ESG topics.
  • Refreshed existing 2019 sustainability goals and added new goals aligned with UN SDGs.
  • Launched a series of "Product Sustainability Training" sessions for product, merchandising and sourcing teams.

Governance Achievements

  • Board-level oversight of climate-related issues.
  • ESG Committee oversees strategies, policies, and programs regarding environmental and social matters.
  • Incentives provided for management of climate-related issues.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reduce total Scope 1 and 2 GHG emissions by 47% by 2030 from a 2019 baseline
  • Reduce water intensity in denim production by 30% by 2028 from a 2019 baseline
  • 50% use of recycled water in denim production by 2028
  • Ensure all leather is traceable according to 3rd party standards by 2030
Short-term Goals:
  • Reduce waste at Global Home Office by 50% by 2025 compared to 2019
  • Mailers and polybags minimum of 50% recycled content by 2023
  • 100% of mailers in Asia-Pacific, Europe, the Middle East and Africa, and USA are recyclable by 2023
  • 100% of polybags in USA are recyclable by 2023
  • Source 30% of cotton as Better Cotton by 2024
  • Source 25% recycled polyester by 2025
  • Source 100% virgin wool through Responsible Wool Standard by 2025
  • Source 100% viscose from non-endangered or ancient forests or 50% canopy-supported innovative viscose by 2025

Environmental Challenges

  • Supply chain disruptions due to natural disasters and regulatory changes.
  • Increased indirect costs due to enhanced emissions-reporting obligations.
  • Potential decreased revenues due to reduced demand for products and services (acute physical risks and technology substitution).
Mitigation Strategies
  • Enterprise Risk Management process addresses potential impact of acute physical weather impacts.
  • Developing a compliance strategy and executing an energy audit program.
  • Sourcing more sustainable fibers in key commodities.
  • Implementing water stewardship and conservation practices.

Supply Chain Management

Supplier Audits: 100% of Tier 1 and 2 suppliers complete environmental self-assessment annually (target by 2025)

Responsible Procurement
  • Higg FEM
  • Carbon Leadership Program
  • Better Cotton Initiative
  • Responsible Wool Standard
  • ZDHC MRSL compliance

Climate-Related Risks & Opportunities

Physical Risks
  • Acute physical risks (e.g., cyclones, hurricanes, typhoons)
  • Chronic physical risks (e.g., adverse weather events, water stress)
Transition Risks
  • Current and emerging regulations
  • Technology substitution
Opportunities
  • Increased demand for sustainable products
  • Reduced indirect costs through energy efficiency improvements
  • Reduced direct costs through water usage reduction

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, UNGC, Science Based Targets initiative (seeking validation)

Third-party Assurance: Third-party limited assurance provided for Scope 1, 2 and 3 emissions.

UN Sustainable Development Goals

  • SDG 7 (Affordable and Clean Energy)
  • SDG 13 (Climate Action)
  • SDG 15 (Life on Land)

A&F's sustainability goals align with these SDGs through initiatives related to renewable energy, emissions reduction, and sustainable materials sourcing.

Sustainable Products & Innovation

  • Gilly Hicks Go Recharge Activewear (89% recycled materials)