Caribou Coffee Operating Company, Inc.
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:126 kt CO2e (2021)
Scope 1 Emissions:3.7 kt CO2e (2021)
Scope 2 Emissions:15.7 kt CO2e (2021)
Scope 3 Emissions:107 kt CO2e (2021)
ESG Focus Areas
- Our Coffee & Products
- Our Culture & People
- Our Communities & Environment
Environmental Achievements
- Sourcing 100% Rainforest Alliance Certified coffee and espresso.
- Reduced straw usage by 25% with strawless lids.
Social Achievements
- Launched Diversity, Equity & Inclusion Alliance (DEIA).
- Contributed $61,000 to Girls on the Run.
- Raised $50,000 for the American Red Cross Service to the Armed Forces program.
Governance Achievements
- Established leadership structure to oversee ESG strategy and ensure governance in 2017.
- Formalized accountability for broader ESG strategy and programming in 2022.
Climate Goals & Targets
Long-term Goals:
- Set science-based carbon reduction targets and implement a roadmap.
Medium-term Goals:
- Achieve 100% cage-free eggs in secondary supply by 2025.
Short-term Goals:
- Eliminate upcharge for non-dairy milk alternatives in 2023.
- Launch strawless lid for XL cold drinks in 2023.
Environmental Challenges
- Supply chain disruptions and climate change impacts on coffee production.
- Managing waste in roastery and store operations.
- Achieving 100% cage-free eggs in secondary supply.
Mitigation Strategies
- Partnering with Rainforest Alliance Certified farms.
- Developing more sustainable packaging solutions.
- Working with suppliers to improve broiler chicken welfare.
- Improving data collection to inform waste reduction targets and initiatives.
Supply Chain Management
Responsible Procurement
- Sourcing 100% Rainforest Alliance Certified coffee.
- Commitment to cage-free eggs and improved broiler chicken welfare.
- New Supplier Code of Conduct in 2023.
Climate-Related Risks & Opportunities
Physical Risks
- Fluctuating weather patterns impacting coffee crops.
Awards & Recognition
- Community Impact Award from M Health Fairview system (2022)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:107 kt CO2e
Scope 1 Emissions:3.7 kt CO2e
Scope 2 Emissions:4.6 kt CO2e
Scope 3 Emissions:99.2 kt CO2e
ESG Focus Areas
- Product quality
- Responsible sourcing
- Sustainable and responsible agriculture
- Packaging
- Inclusive culture
- Workforce diversity
- Wages and benefits
- Talent recruitment and retention
- Community impact
- Climate change
- Operational waste
- Sustainable coffeehouses
Environmental Achievements
- Completed second corporate carbon footprint and embarked on a climate roadmap
- Began transition to energy-efficient lighting in coffeehouses
- Switched from grease-resistant bakery bags to kraft bakery bags
- Continued to reduce straw usage
- Partnered with suppliers to remove intentionally added PFAS in packaging materials
Social Achievements
- Launched Employee Resource Group (ERG) platform with Women’s and LGBTQ+ groups
- Refreshed Team Member Handbook with new policies launching in 2024
- Expanded plant-based beverage and food menu offerings
- Implemented no additional charges for non-dairy milk for Caribou Perks® members
- Made significant progress on commitment to cage-free eggs
Governance Achievements
- Enhanced risk management oversight, formalizing enterprise risk committee
- Created training modules for employees on cybersecurity and data privacy
- Updated and streamlined Team Member Handbook
- Optimized ethics hotline
Climate Goals & Targets
Medium-term Goals:
- Source 100% cage-free eggs across all menu items by the end of 2025
- Meet all Better Chicken Commitment-required Global Animal Partnership (GAP) standards (except GAP-approved chicken breeds)
Short-term Goals:
- Transition all remaining bakery items to cage-free eggs by second half of 2024
Environmental Challenges
- 46% increase in corporate carbon footprint in 2023 compared to 2021 (primarily due to expanded operations and more consistent Scope 3 data assumptions)
- Majority of emissions (Scope 3) stem from supply chain
Mitigation Strategies
- Identifying opportunities for emissions reduction through enhancing energy efficiency, increasing renewable energy, optimizing supply chain, and innovating green coffee and food production
Supply Chain Management
Responsible Procurement
- Supplier Code of Conduct
- Rainforest Alliance Certified coffee
- Cage-free eggs commitment
- Better Chicken Commitment
- Cocoa Horizons Foundation
Climate-Related Risks & Opportunities
Sustainable Products & Innovation
- Plant-based menu items (oatnog, JUST Egg™ Flatbread)
- Kraft bakery bags