Climate Change Data

Environmental Metrics

ESG Focus Areas

• Responsible Drinking
• Environmental Sustainability
• Community Investment
• Employee Development
• Governance

Environmental Achievements

• Reduced greenhouse gas emissions (though specific quantification is not provided in a single number, a decrease from 0.003% to 0.002% of total world emissions is mentioned)
• Reduced water use at ten water-stressed sites by 13%
• Increased water efficiency by 3%
• Reduced wastewater polluting power by 66%
• Reused or recycled 98% of waste from sites
• Reduced landfilled waste significantly at several plants (specific numbers vary by plant)

Social Achievements

• Launched Learning for Life program to improve lives of 50,000 underprivileged people
• Provided water for 1.6 million people in Africa through the 1 Million Challenge
• Increased proportion of women in senior management from 20% in 2003 to 27% in 2009
• Achieved 100% score in the Corporate Equality Index in the USA
• Ran over 130 responsible drinking initiatives in over 40 countries

Governance Achievements

• Revised Diageo marketing code after consulting stakeholders
• Implemented SmartApprove in 35 countries to coordinate marketing sign-off
• Published a new version of the Diageo code of business conduct in 18 languages

Climate Goals & Targets

Environmental Challenges

• Economic downturn impacting resource allocation for sustainability initiatives
• Water scarcity in some operating regions
• Alcohol misuse and its societal impact
• Underage drinking
• Supply chain sustainability challenges

Mitigation Strategies

• Reaffirmed commitment to values and policies despite economic pressures
• Set stretching targets for environmental improvements (e.g., 50% reduction in greenhouse gas emissions by 2015)
• Implemented various responsible drinking programs and partnerships
• Developed supplier standards policy and used Sedex for supplier assessments
• Worked with suppliers to improve their capabilities and sustainability performance

Supply Chain Management

Supplier Audits: 5% of highest-risk suppliers undergoing self-assessment and potential audits.

Responsible Procurement

• Supplier standards policy ('Partnering with Suppliers'), ethical sourcing assurance, conferences with key suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Changing temperatures, extreme weather events, water scarcity, rising sea levels

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Competitive advantage through effective response to climate change

Reporting Standards

Frameworks Used: GRI G3 (A+ level)

Certifications: ISO 14001 (at 19 production sites)

Third-party Assurance: Corporate Citizenship

UN Sustainable Development Goals

• MDG 7 (water access)

The 1 Million Challenge contributes to MDG 7.

Sustainable Products & Innovation

• Sterling Vineyards organic wines

Awards & Recognition

• Britain’s Most Admired Company, Best Global Business in Africa, various other awards from different regions and organizations

Environmental Metrics

ESG Focus Areas

• Alcohol in Society
• Community Investment
• Environmental Sustainability
• Our People
• Compliance and Ethics

Environmental Achievements

• Reduced water efficiency by 8.3% since 2007
• Reduced carbon dioxide emissions by 10.5% since 2007
• Reduced waste-to-landfill by 71.1% since 2007
• Reduced polluting power of wastewater by 2.1% since 2007
• Developed sustainable packaging guidelines
• Roseisle distillery awarded ‘Scottish Building Project of the Year’ and Sustainability Award

Social Achievements

• Launched Arthur Guinness Fund with £5.3 million
• Expanded DRINKiQ.com to 18 countries
• Partnered with IBLF to launch business roundtables in Africa
• Trained 21,000 people through Learning for Life
• 26% women in senior management positions

Governance Achievements

• Launched GREENiQ, an employee engagement program
• Developed Sustainable Agricultural Sourcing Guidelines
• Top-scoring beverage alcohol company in the Carbon Disclosure Project

Climate Goals & Targets

Environmental Challenges

• Addressing diverse expectations
• Identifying points where shareholder and stakeholder interests intersect
• Embedding sustainability management throughout operations
• Increase in water wasted in water stressed sites (11.1%) primarily due to increased production
• Slowed progress in reducing wastewater polluting power (BOD)

Mitigation Strategies

• Investing £65 million in a bioenergy facility at Cameronbridge distillery
• Implementing innovative technology to reduce water consumption at Huntingwood, Australia
• Focused project targeted at breweries in Africa to address water waste
• Investing £10 million in carbon and water reduction projects
• Implementing projects to drive efficiency (steam recovery, boiler conversion, waste heat recovery)

Supply Chain Management

Supplier Audits: 50 of the highest-risk suppliers audited

Responsible Procurement

• Supplier Standards Policy: Partnering with Suppliers
• 4-stage process for managing social and ethical risks
• SEDEX registration and self-assessment
• AIM-Progress membership

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI G3

Certifications: ISO 14001 (at 22 sites)

Third-party Assurance: LBG (London Benchmarking Group) and Zoë Hatherly (independent sustainability consultant)

Sustainable Products & Innovation

• Sterling Organic wines

Awards & Recognition

• Social Excellence Award (DRINKiQ)
• Most Outstanding Health and Wellness Site (DRINKiQ)
• Scottish Building Project of the Year (Roseisle distillery)
• Sustainability Award (Roseisle distillery)
• Beverage World Beacon Award (Haiti disaster relief)
• Korean Road Safety Award (Cool Drinker programme)
• Carbon Trust Standard (Global Supply, Scotland)
• Irish Green Awards (three awards)

Environmental Metrics

ESG Focus Areas

• Alcohol in society
• Water and the environment
• Socio-economic development
• Our people
• Governance and ethics

Environmental Achievements

• Reduced absolute carbon emissions by 9.4% despite increased production
• Improved water efficiency by 7.2%
• Reduced water wasted at water-stressed sites by 8.6%
• Reduced polluting power of wastewater by 9.0%
• Eliminated waste to landfill at 24 sites globally
• Reduced average packaging weight by 1.6%

Social Achievements

• Supported responsible drinking programs in 49 countries
• Trained 63,638 people through the Learning for Life program
• Improved access to safe drinking water for approximately 1 million people in Africa
• Reduced lost-time accident frequency rate by 43%
• Won 21 awards as one of the best places to work globally

Governance Achievements

• Embedded CC&E managers in all markets and business units
• Improved positive responses in Values Survey regarding raising compliance concerns
• Improved positive responses in Values Survey regarding manager's understanding of the Code of Business Conduct
• Achieved 100% of middle managers and above completing Annual Certification of Compliance
• Diageo Africa won the Good Corporate Governance Award at the Africa Business Awards 2012

Climate Goals & Targets

Environmental Challenges

• Social acceptability of products challenged
• Inadequate addressing of stakeholder concerns about alcohol misuse
• Unwarranted regulatory restrictions
• Stakeholders' expectations about socio-economic contribution unmet
• Climate change impacts on resource scarcity
• Increased regulation of business

Mitigation Strategies

• Promoting responsible drinking initiatives
• Improving stakeholder engagement
• Working with industry bodies to establish responsible marketing standards
• Implementing environmental efficiency programs
• Investing in community programs
• Strengthening compliance and ethics programs

Supply Chain Management

Supplier Audits: 105 high-risk suppliers audited in the past three years

Responsible Procurement

• Partnering with Suppliers standard
• Sustainable Agriculture Sourcing Guidelines
• Sustainable Packaging Guidelines
• Collaboration with AIM-PROGRESS and SEDEX

Climate-Related Risks & Opportunities

Physical Risks

• Resource scarcity (water)

Transition Risks

• Increased regulation

Opportunities

• Development of energy-efficient products and processes

Reporting Standards

Frameworks Used: GRI

Certifications: Null

Third-party Assurance: KPMG

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Senator Keg (Kenya)
• Armstrong (Ghana)

Awards & Recognition

• FTSE4Good Supersector Leader for Food and Beverage
• Second in Britain’s Most Admired Companies
• Nasdaq Global Sustainability Index
• Good Corporate Governance Award at the Africa Business Awards 2012

Environmental Metrics

ESG Focus Areas

• Alcohol in society
• Water and the environment
• Local socio-economic development
• People
• Governance and ethics

Environmental Achievements

• Reduced absolute water use by 4% or 994,000 cubic meters
• Improved water efficiencies by 1.5% compared to the prior year
• Reduced greenhouse gas emissions by 4% compared to the prior year
• Reduced volume of manufacturing waste sent to landfill by 53% compared to the prior year

Social Achievements

• Water of Life programme provided access to safe water for approximately one million people
• Learning for Life programme trained close to 90,000 students
• Diageo became the first beverage alcohol company to sign up to the Women’s Empowerment Principles

Governance Achievements

• Detailed review of remuneration arrangements with particular focus on long term incentive plans

Climate Goals & Targets

Environmental Challenges

• Uneven performances in a few emerging markets due to government action addressing local social and political controversies, controversial legislation, social unrest, natural disasters, and underdeveloped national infrastructures
• Challenging trading conditions in Western Europe, particularly in Southern Europe
• Short-term uncertainty challenging performance in faster-growing economies
• Weakness in some markets (Korea, Brazil, Nigeria)
• Increased competition in flavored beer (DGUSA)
• Supply disruptions (Red Stripe)
• Increased competition from established beer brands (Smirnoff Ice)
• Weak trading environment in France (J&B)
• Economic challenges in Southern Europe impacting commercial performance (Johnnie Walker)
• Downturn in traditional on-trade channel in Korea (Windsor)
• Slowdown in beverage alcohol in Brazil, declines in duty-free in Paraguay and Uruguay
• Stricter enforcement of tax collections in Brazil leading to destocking
• Stricter enforcement of drink driving laws and nightclub safety guidelines in Brazil
• Softness in spend by Chinese travelers and destocking in Asia duty-free
• Political tension between North and South Korea impacting passenger trends
• Austerity measures implemented by the Chinese government impacting Shui Jing Fang sales

Mitigation Strategies

• Investing behind brands, launching innovative new products, and expanding through partnerships or acquisitions
• Focusing on driving core premium brands, delivering outstanding innovation, and winning in the reserve category (Western Europe)
• Investing in route to consumer, innovation, supply, shared services, and capabilities
• Focusing on growing spirits through premiumisation and routes to market (Russia and Eastern Europe)
• Focusing on leadership in scotch category, broadening footprint in rum, vodka, and liqueurs (Latin America and Caribbean)
• Growing leadership in scotch, driving premiumisation, and capturing emerging middle class consumer opportunities (Asia Pacific)
• Implementing a dedicated distributor model in Brazil
• Increasing marketing investment behind strategic brands and new high-growth markets
• Implementing over 170 energy-efficiency and greenhouse gas emission-reduction initiatives
• Investing in bioenergy potential of breweries and distilleries
• Diverting waste to animal feed, supplying residues to local farmers, and introducing new membrane filtration technology

Supply Chain Management

Responsible Procurement

• Partnering with Suppliers standard
• Promoting sustainable sourcing and local sourcing of raw materials
• Developing a programme to build a sustainable source of barley in Ethiopia
• Using alternative raw materials such as sorghum and cassava

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather and natural disasters impacting agriculture and operations

Transition Risks

• Changes to consumer demand due to climate change

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001

Third-party Assurance: KPMG Audit Plc

Sustainable Products & Innovation

• Ruut Extra Premium beer (brewed from cassava)
• Smirnoff 1818 200ml PET bottle
• Redesigned Baileys bottle (using up to 60% recycled materials)

Awards & Recognition

• Member of the World and Europe Dow Jones Sustainability Indices

Environmental Metrics

ESG Focus Areas

• Creating a positive role for alcohol in society
• Addressing global water and environmental challenges at our operations and in our local communities
• Empowering the communities in which we operate
• Creating a great place to work for our people
• Holding ourselves to the highest standards of governance and ethics
• Building partnerships along the value chain to ensure the sustainability of our business model

Environmental Achievements

• Reduced GHG emissions by 5% compared with 2013
• Increased recycled content of packaging input materials to 37%

Social Achievements

• 14,000 people found employment this year following participation in our Learning for Life community investment programme
• Plan W reached 57,295 women through initiatives such as education, skills, and training programmes

Governance Achievements

• More than 38% of employees were covered by collective bargaining agreements

Climate Goals & Targets

Environmental Challenges

• Water scarcity risk
• Supply chain disruptions (implied)

Mitigation Strategies

• Blueprint Water Framework
• CDP Supply Chain programme
• Sustainable agriculture programme

Supply Chain Management

Supplier Audits: 201 audits in last three years

Responsible Procurement

• Partnering with Suppliers Standard
• SEDEX

Climate-Related Risks & Opportunities

Physical Risks

• Water scarcity

Reporting Standards

Frameworks Used: GRI G4, IIRC Framework, UNGC

Third-party Assurance: KPMG LLP (limited assurance)

UN Sustainable Development Goals

• Goal 3 (Good Health and Well-being)
• Goal 5 (Gender Equality)
• Goal 13 (Climate Action)
• Goal 6 (Clean Water and Sanitation)

Responsible drinking programmes, Plan W, environmental programme, Water of Life programme

Environmental Metrics

ESG Focus Areas

• Alcohol in society
• Water stewardship
• Community empowerment
• Our people
• Governance and ethics
• Sustainable supply chains
• Environmental impact (carbon emissions, water efficiency)

Environmental Achievements

• Reduced GHG emissions by 8.7% compared with 2014
• Increased recycled content of packaging input materials by 1.5% to 39%
• Reduced energy consumption from fuel, electricity, heating, cooling and steam by 7.3% compared with 2014

Social Achievements

• 70% of 7,417 young adults in Learning for Life program obtained employment in areas related to Diageo's value chain
• Plan W empowered 115,091 women and trained 43,215 men
• Global lost-time accident frequency rate remained at 1.66

Governance Achievements

• Established a confidential whistleblowing line (SpeakUp)
• 100% of procurement-managed spend goes through a screening process
• Improved data collection and reporting on compliance incidents

Climate Goals & Targets

Environmental Challenges

• Water scarcity risks due to climate change
• Managing GHG emissions across the supply chain
• Ensuring consistent data collection across global operations

Mitigation Strategies

• Developed Diageo Water Blueprint
• Engaged in CDP Supply Chain program for carbon and water
• Improved data collection methodologies and systems integration

Supply Chain Management

Supplier Audits: 253 audits (34 Diageo-commissioned, 219 accessed through SEDEX and AIM-PROGRESS)

Responsible Procurement

• Partnering with Suppliers Standard; SEDEX registration for high-risk suppliers; independent audits

Climate-Related Risks & Opportunities

Physical Risks

• Water scarcity

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI G4, UNGC

Certifications: ISO 9001, FSSC 22000

Third-party Assurance: KPMG LLP (limited assurance)

UN Sustainable Development Goals

• Goal 3 (Good Health and Well-being)
• Goal 5 (Gender Equality)
• Goal 6 (Clean Water and Sanitation)
• Goal 13 (Climate Action)

Various initiatives contribute to these goals through responsible drinking programs, women's empowerment programs, water stewardship initiatives, and GHG emission reduction targets.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Creating a positive role for alcohol in society
• Building thriving communities
• Reducing environmental impact

Environmental Achievements

• Reduced GHG emissions by 7.7% compared with 2015
• Reduced energy consumption by 9.1% compared with 2015
• 40% of materials used in packaging were recycled input materials (increase of 1% since last year)
• 1,797,985m3 of water recycled or reused (8.4% of total water withdrawals)

Social Achievements

• 70% of 7,417 young adults in Learning for Life programmes obtained employment in areas related to Diageo's value chain
• Plan W reached 115,091 women through education and skills training programmes
• Global LTA frequency rate of 1.44 (reduction of over 13% compared with 2015)

Governance Achievements

• Developed and launched Human Rights Impact Assessment process
• Launched new Sustainable Agriculture Strategy
• Launched new Social Impact Framework

Climate Goals & Targets

Environmental Challenges

• Water scarcity risks due to climate change
• Managing GHG emissions across the supply chain
• Ensuring responsible drinking
• Managing social and ethical risks in the supply chain

Mitigation Strategies

• Diageo Water Blueprint (integrated approach to water stewardship)
• CDP supply chain programme to track and manage carbon footprint
• Responsible drinking programmes, partnerships, and campaigns
• Four-stage supplier programme: screening, prequalification questionnaire, SEDEX registration, independent audits

Supply Chain Management

Supplier Audits: 150 audits (47% of high-risk suppliers)

Responsible Procurement

• Partnering with Suppliers Standard (minimum social, ethical, and environmental standards)

Climate-Related Risks & Opportunities

Physical Risks

• Water scarcity

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI G4, UNGC

Certifications: ISO 9001, FSSC 22000

Third-party Assurance: PwC LLP, Corporate Citizenship

UN Sustainable Development Goals

• Goal 3 (Good Health and Well-being)
• Goal 1 (No Poverty)
• Goal 5 (Gender Equality)
• Goal 13 (Climate Action)

Various programmes contribute to these goals (responsible drinking, Water of Life, Plan W, environmental initiatives)

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Creating a positive role for alcohol in society
• Building thriving communities
• Reducing our environmental impact

Environmental Achievements

• Improved water performance by 46% in India compared with the 2007 baseline
• Improved water efficiency by 49% in Africa compared with the 2007 baseline
• Overall improvement in water use efficiency of 40% since the 2007 baseline
• Reduced GHG emissions by 5.6% compared with 2016

Social Achievements

• Smashed education program reached 1,400 schools and more than 300,000 young people, with a 30% increase in awareness of where to get help, a 19% increase in awareness of peer pressure, and a 38% increase in awareness of alcohol misuse.
• Plan W program reached almost 60,000 more women with empowerment programs.
• Smirnoff brand's work on women in the music sector created over 200 million marketing impressions.
• Learning for Life skills programs benefited more than 6,000 young people.

Governance Achievements

• Continued to embed Sustainability & Responsibility Strategy into corporate functions and business units.
• Implemented a new impact measurement tool.

Climate Goals & Targets

Environmental Challenges

• Water scarcity risk due to climate change
• Supply chain disruptions (implied through discussion of supplier audits and responsible sourcing)

Mitigation Strategies

• Investment in water efficiency projects and water recovery and reuse
• Development of a responsible sourcing program including supplier audits and SEDEX engagement
• Development of a new performance review system for suppliers to manage Scope 3 emissions

Supply Chain Management

Supplier Audits: 157 audits commissioned by Diageo; 117 accessed through SEDEX and AIM-PROGRESS

Responsible Procurement

• Partnering with Suppliers Standard
• SEDEX engagement
• CDP Supply Chain programme

Climate-Related Risks & Opportunities

Physical Risks

• Water scarcity

Reporting Standards

Frameworks Used: GRI Standards, UNGC principles, IIRC framework

Third-party Assurance: PwC LLP (limited assurance on selected information)

UN Sustainable Development Goals

• Goal 6 (Clean Water and Sanitation)
• Goal 3 (Good Health and Well-being)
• Goal 13 (Climate Action)
• Goal 5 (Gender Equality)
• Goal 8 (Decent Work and Economic Growth)
• Goal 1 (No Poverty)

Programs align with UN Global Goals through initiatives on water and sanitation, health, climate action, gender equality, livelihoods, and poverty reduction.

Awards & Recognition

• Global Water Champion Award

Environmental Metrics

ESG Focus Areas

• Promote positive drinking
• Champion inclusion and diversity
• Pioneer grain-to-glass sustainability

Environmental Achievements

• Achieved cumulative reductions in absolute greenhouse gas emissions from our direct operations of 50.1%
• Achieved a cumulative improvement of 46% in water efficiency
• Ensured that 65.5% of our electricity is from renewable sources

Social Achievements

• Educated 1m young people, parents and teachers about the dangers of underage drinking
• Reached 229.2m people with moderation messages from our brands
• Built on our long-term focus on gender diversity with 39% of leadership roles in our business held by women

Governance Achievements

• From 2020, Executive Directors, other members of the Executive Committee and senior leaders throughout the business will be directly incentivised to achieve ESG goals through their long-term incentive plans

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic delayed the launch of our 2030 strategy and targets.

Mitigation Strategies

• Reduced discretionary spend and stopped ineffective advertising and promotions in response to the Covid-19 pandemic.

Supply Chain Management

Supplier Audits: 336 of 412 high-risk suppliers audited in the last three years

Responsible Procurement

• Partnering with Suppliers Standard; Know Your Business Partner (KYBP) assessment; SEDEX membership and SMETA audits; Sustainable Agriculture Guidelines.

Climate-Related Risks & Opportunities

Physical Risks

• Water scarcity

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products and processes; bioenergy from distilleries and breweries.

Reporting Standards

Frameworks Used: GRI Standards: Comprehensive option, IIRC’s framework, UNGC, SASB

Certifications: ISO 9001, FSSC 22000, ISO 45001 (some sites)

Third-party Assurance: PricewaterhouseCoopers LLP (PwC) and Corporate Citizenship

UN Sustainable Development Goals

• Goal 6 (Clean Water and Sanitation)
• Goal 8 (Decent Work and Economic Growth)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)

Initiatives contribute to these goals through water stewardship, skills development, responsible drinking, and emissions reduction.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Promoting positive drinking
• Championing water stewardship and decarbonisation
• Championing inclusion and diversity

Environmental Achievements

• Reduced GHG emissions by 5.1% compared with 2020
• Reduced water use in operations with a 7.7% improvement in water-use efficiency from the prior year

Social Achievements

• Invested £21 million (1% of operating profit) in community programs
• Delivered 1.98 TRAFR (Total Recordable Accident Frequency Rate), a 6.9% improvement on performance from last year
• Provided 180,536 days of parental leave to employees

Governance Achievements

• 60% of the Board were women
• Executive directors, other members of the Executive Committee and senior leaders are directly incentivised to achieve ESG goals through their long-term incentive plans

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic impacted data collection and some operations
• Availability of post-consumer recycled material challenged by Covid-19
• Supply chain disruptions

Mitigation Strategies

• Developed alternative sourcing strategies
• Developed online programs to mitigate Covid-19 restrictions
• Worked with suppliers to improve performance and address non-compliances

Supply Chain Management

Supplier Audits: 370 out of 426 high-risk suppliers independently audited

Responsible Procurement

• Partnering with Suppliers Standard; Know Your Business Partner (KYBP) assessment; SEDEX; AIM-PROGRESS

Climate-Related Risks & Opportunities

Physical Risks

• Water stress

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards: comprehensive option, SASB, UNGC

Certifications: ISO 9001, FSSC22000, ISO 45001

Third-party Assurance: PricewaterhouseCoopers LLP (PwC); Corporate Citizenship

UN Sustainable Development Goals

• Not disclosed

Society 2030 strategy aligned with UN Sustainable Development Goals

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Positive drinking
• Inclusion and diversity
• Grain-to-glass sustainability

Environmental Achievements

• Reduced Scope 1 and 2 greenhouse gas emissions by 5.4% in fiscal 23.
• Increased renewable energy share to 45% of total energy use.
• Reduced water use efficiency per litre of product packaged by 2.6% in water-stressed areas.
• Eliminated 141 million cardboard boxes from the supply chain, reducing carbon emissions by approximately 5,520 tonnes.

Social Achievements

• Educated 1,985,817 young people about the dangers of underage drinking.
• 44% of leaders globally are female.
• 43% of leaders globally are ethnically diverse.
• Increased employee engagement index from 82% to 84%.

Governance Achievements

• Completed a £4.5 billion multi-year return of capital programme and returned an additional £0.5 billion to shareholders.
• No breaches of self-regulatory alcohol marketing codes were upheld by key industry bodies.

Climate Goals & Targets

Environmental Challenges

• Cost inflation and an adverse category mix.
• Supply chain disruptions due to geopolitical tensions, severe weather events, and macroeconomic instability.
• Water scarcity in several operating regions.
• Shortage of cullet (recycled glass) impacting recycled content in packaging.

Mitigation Strategies

• Implemented a five-year supply chain agility programme.
• Developed alternative sourcing strategies and secured additional capacity on key packaging components.
• Improved water use efficiency and implemented water replenishment plans.
• Working with suppliers and industry peers to strengthen recycling infrastructure and explore alternative packaging materials.

Supply Chain Management

Responsible Procurement

• Partnering with Suppliers Standard
• Sustainable Agriculture Guidelines
• Screening for human rights risks with higher-risk potential suppliers before onboarding.

Climate-Related Risks & Opportunities

Physical Risks

• Water scarcity
• Extreme weather events
• Drought

Transition Risks

• Decarbonisation costs
• Consumer behaviour changes
• Regulatory changes
• Technology changes

Opportunities

• Supply chain decarbonisation
• Innovation in sustainable products and packaging

Reporting Standards

Frameworks Used: TCFD

Certifications: Alliance for Water Stewardship

Third-party Assurance: PricewaterhouseCoopers LLP (PwC)

Sustainable Products & Innovation

• Net-zero glass bottles
• Recycled aluminium cans
• Lightweight glass bottles with innovative coating technology

Awards & Recognition

• CDP Water Security ‘A List’
• Platinum in the Top Global Champions for Supplier Diversity & Inclusion Awards by WEConnect International
• Equileap Gender Equality Global Report (second overall globally and first in the UK)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Water Stewardship
• Sustainable Supply Chains
• Diversity & Inclusion
• Health & Safety
• Community Investment

Environmental Achievements

• Achieved zero waste to landfill in direct operations (less than 0.2% of total waste volume)
• Reduced greenhouse gas emissions (Scope 1 & 2) by a percentage (specific number not provided)

Social Achievements

• Increased spend with diverse-owned and disadvantaged businesses (specific number not provided)
• Improved water use efficiency in water-stressed areas and across the company (specific numbers not provided)

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to climate change (water supply, agricultural materials, site integrity)
• Supply constraints and regulations limiting recycled content in plastic bottles

Mitigation Strategies

• Climate resilience partners calculated projected Estimated Annual Losses (EALs) and Value at Risk (VaR) under different climate scenarios
• Adjusted target for recycled content in plastic bottles to reflect feasibility
• Ongoing refinement of models and data incorporation for transition risk analysis

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Four-pillar ethical audit or equivalent

Climate-Related Risks & Opportunities

Physical Risks

• Water supply constraints
• Agricultural material supply issues
• Site integrity damage from extreme weather
• Disruption to agricultural material supply

Transition Risks

• Policy and legal risks
• Technology risks
• Market risks
• Reputation risks

Opportunities

• Resource efficiency
• Energy source diversification
• Sustainable products and services
• New markets

Reporting Standards

Frameworks Used: GRI Standards, SASB

Certifications: Null

Third-party Assurance: PricewaterhouseCoopers LLP (limited assurance)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed