Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced gas use through process and operational improvements; 80% of water intake returned to local municipality with nominal treatment required; 63% reduction in electricity use in the past decade; carbon attrition rate decreased by more than 50% since 2009.
• Certified organic by the Organic Crop Improvement Association Canada; Kosher certification; Halal certification; FSMS (Food Safety Management System) aligned with ISO FSSC 22000 standards; Fairtrade certified decaffeinated, Rainforest Alliance, UTZ, and 4C-certified coffees.

Social Achievements

• Contributions to Grounds For Health ($460K); Support of World Coffee Research; Sponsorship of Tim Hortons® Foundation Camps; Employee volunteerism at Tim’s camps; Embraces diversity within its workforce.

Governance Achievements

• Established Audit Committee; Established Compensation and Corporate Governance Committee; Regular review of dividend policy by the Board of Directors.

Climate Goals & Targets

Environmental Challenges

• Leverage and restrictive covenants; Customer concentration; Supply chain and transportation disruptions (strikes, climate events, pandemic); Foreign exchange fluctuations; Coffee price and availability volatility; Other commodity price risks (electricity, natural gas, water); Credit risk; Competition; Liquidity risk; Product liability; Dependence on operations; Capital investment; Restrictions on potential growth; Catastrophic events; Dependence on key personnel; Employee attraction, retention, and succession planning; Organic certification maintenance; Shareholder dilution; Labor relations; Information technology risk; Intellectual property infringement; Insurance adequacy; Investment eligibility and foreign property; Environmental and regulatory risks.

Mitigation Strategies

• Regular review of credit capacity, hedging strategies for coffee and foreign exchange, and exploring options for raising capital; Credit evaluations of customers and limiting credit extended; Commodity Price Risk Management Policy; Foreign Exchange Risk Management Policy; System controls and disaster recovery infrastructure for IT systems; Continuous mitigation efforts for cyber threats; Insurance policies; Planning and budgeting process to manage liquidity.

Supply Chain Management

Responsible Procurement

• Conscious sourcing with 35% of coffee holding certifications (organic, fair trade, Rainforest Alliance)

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather events impacting supply chain

Transition Risks

• Regulatory changes related to emissions

Opportunities

• Development of energy-efficient products