Climate Change Data

Environmental Metrics

ESG Focus Areas

• Responsible alcohol consumption
• Sustainable brewing practices
• Employee well-being and community engagement
• Ethical and sustainable supply chain
• Climate change mitigation

Environmental Achievements

• Achieved a 3.8% reduction in Scope 1 and Scope 2 emissions in 2018.
• 17 major brewing and manufacturing facilities achieved zero waste to landfill.
• Reduced the amount of waste disposed in landfill by 17% compared with 2017.
• Improved water-use efficiency by 1.3% compared to 2017.

Social Achievements

• Rolled out Molson Coors Alcohol Responsibility training across the entire business.
• 83% of employees believe diversity and inclusion are supported at Molson Coors.
• Employees donated approximately 45,000 hours of service to communities.
• 15.1 hours of training and development per full-time employee on average in 2018.

Governance Achievements

• Amended the Audit Committee Charter to emphasize oversight of all corporate responsibility and sustainability matters.
• Launched a Sustainability Leadership Council (SLC) in 2018.
• Ethics and Compliance helpline received roughly 130 reports in 2018, with approximately 50% resulting in disciplinary or corrective action.

Climate Goals & Targets

Environmental Challenges

• Climate-related weather volatility affecting raw materials, production, and consumer demand.
• Cyber-attacks impacting employee, customer, and consumer safety and privacy.
• Packaging materials being the largest source of emissions in the value chain.

Mitigation Strategies

• Conducting Watershed Risk Assessments.
• Utilizing a defense-in-depth approach to protect against cyber-attacks.
• Investing in low-carbon technologies (e.g., ammonia refrigeration system upgrades, LED lighting).
• Developing a robust portfolio for offsite purchased renewable electricity.

Supply Chain Management

Supplier Audits: Around 11,000 suppliers screened using Sedex.

Responsible Procurement

• Standards for Suppliers document outlining minimum compliance requirements.
• Supplier Ethical Data Exchange (Sedex) used to manage supplier performance.

Climate-Related Risks & Opportunities

Physical Risks

• Climate-related weather volatility

Reporting Standards

Frameworks Used: GRI Standards, UNGC, CEO Water Mandate

Third-party Assurance: Corporate Citizenship (ISAE 3000)

Environmental Metrics

ESG Focus Areas

• Water Stewardship
• Climate Change
• Circular Economy
• Sustainable Agriculture
• Employee Well-being
• Community Investment
• Ethical Supply Chain
• Responsible Marketing

Environmental Achievements

• Reduced global water use by 4.75% since 2016, reaching a water-to-beer ratio of 3.41 hl/hl.
• Reduced absolute carbon emissions in operations by 21.1% and in the value chain by 17.9% since 2016.
• Achieved zero waste to landfill at 18 out of 29 major brewing facilities.
• 99.3% of packaging is reusable, recyclable, or compostable.

Social Achievements

• Invested $41.1 million in community initiatives.
• Implemented programs to prevent alcohol-related harm in 10 out of 13 countries.
• 91% compliance in 2019 Digital Guiding Principles audit for responsible marketing.

Governance Achievements

• Updated risk monitoring process for supply chain sustainability.
• Implemented measures to ensure employee safety and well-being during the COVID-19 pandemic.

Climate Goals & Targets

Environmental Challenges

• Water scarcity
• Climate change impacts (extreme weather events)
• Plastic pollution
• Alcohol abuse
• Underage drinking
• COVID-19 pandemic impacts

Mitigation Strategies

• Implementing water reduction processes in breweries (e.g., CIP playbook).
• Partnering with organizations to protect water resources in high-risk watersheds.
• Setting science-based targets to reduce carbon emissions.
• Working with suppliers to reduce packaging carbon emissions and increase recycled content.
• Developing programs to prevent alcohol-related harm (e.g., TIPS® training, marketing compliance).
• Providing resources and support for employees during the COVID-19 pandemic.

Supply Chain Management

Supplier Audits: 33% of key suppliers participated in third-party risk assessment screening

Responsible Procurement

• Standards for Suppliers policy covering environmental sustainability, fair employment, community responsibility, ethical business practices, human rights, and sound commercial standards.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events, flooding, wildfires

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products and processes

Reporting Standards

Frameworks Used: GRI Standards, UN Global Compact (UNGC), Sustainability Accounting Standards Board (SASB), United Nations (UN) Sustainable Development Goals (SDGs)

Third-party Assurance: Corporate Citizenship (environmental data)

UN Sustainable Development Goals

• Goal 6: Clean Water and Sanitation
• Goal 7: Affordable and Clean Energy
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action

Sustainable Products & Innovation

• Clearly Kombucha
• VYNE Botanicals waters

Awards & Recognition

• 2019 Athens-Clarke County Water Conservation Office for Leadership in Water Conservation
• 2019 Environmental Impact Award from Pratt Industries

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced GHG emissions (Specific figures not provided in the excerpt)
• Reduced energy consumption (Specific figures not provided in the excerpt)
• Improved water management (Specific figures not provided in the excerpt)
• Reduced waste (Specific figures not provided in the excerpt)

Social Achievements

• Implemented local community engagement programs at 100% of large breweries and offices
• Addressed alcohol responsibility and drunk driving issues in marketing

Governance Achievements

• Communication and training on anti-corruption policies and procedures

Climate Goals & Targets

Environmental Challenges

• Climate change impacts (implied)
• Water scarcity (implied)
• Supply chain disruptions (implied)

Mitigation Strategies

• Water management strategies (details not provided in the excerpt)
• Packaging lifecycle management strategies (details not provided in the excerpt)
• Sustainable sourcing of ingredients (details not provided in the excerpt)

Supply Chain Management

Responsible Procurement

• Working with suppliers to reduce carbon emissions

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Third-party Assurance: Corporate Citizenship (for water data)

Environmental Metrics

ESG Focus Areas

• Diversity, Equity and Inclusion (DEI)
• Water Stewardship
• Climate Change
• Packaging
• Alcohol Responsibility
• Governance

Environmental Achievements

• 27.9% reduction in absolute emissions from direct operations (Scope 1 and 2) since 2016
• 27.5% reduction in absolute emissions from the value chain (Scope 1, 2 and 3) since 2016
• 99.5% of packaging is reusable, recyclable, or compostable
• 17 of 25 major brewing and manufacturing facilities sustained zero waste to landfill status
• UK operations became fully powered by renewable electricity

Social Achievements

• 8.0% increase in people of color US workforce representation since 2020
• 2.3% increase in women workforce representation globally since 2020
• $360.3 million spent with diverse suppliers in 2021 (51% increase over 2020)
• Reduced employee turnover rate by 4.6 percentage points versus 2020 (11.4% in 2021)
• Launched the Empathy Experience program to raise awareness for DEI
• Launched several initiatives to develop talent throughout Molson Coors

Governance Achievements

• ESG metrics incorporated into short-term incentive plans for the Molson Coors Leadership Team starting in 2022
• CEO’s performance goals included ESG oversight in 2021
• No material incidents of non-compliance with industry and regulatory marketing and labeling codes resulting in a fine or penalty in 2021

Climate Goals & Targets

Environmental Challenges

• Prolonged droughts and heat in Western North America impacting barley crops
• Increasing water stress in some brewery locations
• Climate change posing both risks and opportunities to the business
• Supply chain disruptions due to extreme weather events

Mitigation Strategies

• Investing in drought-resistant barley varietals and business resiliency tools for farmers
• Implementing water reclamation projects at breweries (e.g., Fort Worth)
• Developing climate-related scenarios and mitigation plans
• Integrating energy efficiency efforts into the WCSC program
• Switching to cleaner energy options and increasing renewable energy share

Supply Chain Management

Supplier Audits: 41% of key suppliers screened in third-party risk assessment

Responsible Procurement

• Standards for Business and Supply Partners
• Supplier Ethical Data Exchange (Sedex) monitoring

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Persistent drought

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: TCFD, SASB, GRI, UNGC

Certifications: ENERGY STAR (Rocky Mountain Bottle Company)

Third-party Assurance: Corporate Citizenship (ISAE 3000)

UN Sustainable Development Goals

• Goal 2 (Zero Hunger)
• Goal 3 (Good Health and Well-being)
• Goal 5 (Gender Equality)
• Goal 6 (Clean Water and Sanitation)
• Goal 7 (Affordable and Clean Energy)
• Goal 8 (Decent Work and Economic Growth)
• Goal 10 (Reduced Inequalities)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 17 (Partnerships for the Goals)

The report details how Molson Coors' initiatives contribute to these goals.

Sustainable Products & Innovation

• Coors Pure light lager (organic and low-alcohol)
• ZOA energy drinks
• Henry Weinhard’s Soda

Awards & Recognition

• Energy Efficiency Award (Footprint)
• Gold Medal for Green Supplier of the Year (FWD)
• Safety Innovator Award (Manufacturing Safety Alliance of British Columbia)

Environmental Metrics

ESG Focus Areas

• People
• Planet
• Governance

Environmental Achievements

• Reduced Scope 1+2+3 GHG emissions by 31.4% vs. 2016 baseline
• 99.6% of packaging is reusable, recyclable or compostable
• 3.43 hl/hl water-to-product ratio
• 0.13% waste to landfill (from our 25 largest facilities)
• 16.3% of consumer-facing plastic packaging contains ≥30% recycled content

Social Achievements

• Increased representation of women in global workforce to 27.1%
• Increased representation of people of color in US workforce to 29.4%
• Spent over $640 million with diverse suppliers in 2021-2022
• Reduced employee Lost Time Incident Rate (LTIR) by 29.3% to 0.54

Governance Achievements

• Linked a portion of executive compensation to ESG performance
• Implemented a robust Enterprise Risk Management (ERM) program aligned with COSO framework
• Established a Code of Business Conduct available in 11 languages

Climate Goals & Targets

Environmental Challenges

• Balancing cleaning regimens for a more complex product portfolio impacted water efficiency in 2022
• Climate change poses acute and chronic physical risks, regulatory and market transition risks

Mitigation Strategies

• Implementing water reclamation projects to improve efficiency
• Incorporating climate-related risks into the Enterprise Risk Management (ERM) process
• Setting net-zero targets and defining pathways to achieve them

Supply Chain Management

Supplier Audits: Four-stage process using Sedex; number of audits not specified

Responsible Procurement

• Supplier Ethical Data Exchange (Sedex) monitoring service
• Agricultural Brewing Ingredients Policy for barley farmers

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Natural disasters
• Persistent drought

Transition Risks

• Regulatory changes
• Carbon pricing
• Market shifts

Reporting Standards

Frameworks Used: TCFD, SASB, GRI, UN Global Compact, UN SDGs

Third-party Assurance: SLR Consulting Limited (for FY2022 Scope 1 & 2 emissions and specific Scope 3 emissions)

Sustainable Products & Innovation

• Coors Edge (non-alcoholic beer)
• Peroni 0.0 (non-alcoholic lager)
• Staropramen 0.0% (non-alcoholic lager)
• Roxie (zero-proof cocktail)

Awards & Recognition

• Top Employer (Europe and UK)
• 100 Best Corporate Citizens of 2022 (US)
• Best Places to Work for LGBTQ+ Equality 2022 (US)
• Achieving Excellence – Gold (UK)
• BPS TOP Responsible Large Company (Czech Republic)
• Annual Inclusivity Award 2022 (UK)