Climate Change Data

Environmental Metrics

ESG Focus Areas

• Safe, Sustainable, and Equitable Transportation

Environmental Achievements

• 17% reduction in absolute Scope 1 and 2 GHG emissions since 2018
• Zero waste-to-landfill maintained for tires, windshields, motor oils, and car batteries
• Installation of 10 water-saving car wash systems across major US facilities, recycling and reusing up to 80% of wastewater
• Installation of onsite solar panels at four locations in Barcelona, Spain, projected to reduce reliance on traditional energy sources by 65%

Social Achievements

• Launched the #PowerofDIFFERENT Scholarship Program
• Invested over $5 billion with diverse suppliers since 2021
• Maintained 100% gender pay equity globally (women's salaries 3 percentage points higher on average than men's in comparable roles)
• Enhanced safety training courses in the Americas division
• Introduced a new digital emotional well-being program in the US
• Refreshed Employee Value Proposition (EVP) with focus on People, Performance, and Purpose

Governance Achievements

• Established an executive-led ESG Steering Committee and Environmental Subcommittee
• Corporate Governance Committee has direct oversight of ESG matters
• Implemented a confidential Integrity Hotline for ethics and compliance reporting
• Implemented Third Party Due Diligence processes
• Robust employee training programs on Data Privacy and Information Security

Climate Goals & Targets

Environmental Challenges

• Increased water consumption in the US in 2022 (12% increase since 2018) due to strong rental demand
• Mileage data uncertainties identified in 2022 during GHG emissions calculation
• Intense competition in the car rental industry
• Uncertainty in market signals and potential impact of fuel costs
• Increased severity and frequency of extreme weather events

Mitigation Strategies

• Continued exploration of opportunities to reduce water consumption through water efficiency practices and technologies
• Adjustment of rental transactions with 1,000+ miles driven per day to 132 miles for GHG emissions calculation
• Investing in business continuity, partnerships for ride-sharing and smart cities, and initiatives to reduce Scope 3 emissions for corporate customers
• Strategic decisions for products and services, supply chain, and operations

Supply Chain Management

Responsible Procurement

• Engagement with diverse suppliers
• Supplier ESG questionnaire planned for Europe (with global expansion plans)

Climate-Related Risks & Opportunities

Physical Risks

• Increased severity and frequency of extreme weather events

Transition Risks

• Changing consumer behavior
• Uncertainty in market signals
• Increased fuel costs

Opportunities

• Use of more efficient modes of transport
• Participation in renewable energy programs
• Adoption of energy-efficiency measures
• Shift in consumer preferences

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards, TCFD Recommendations, UN Sustainable Development Goals (SDGs), UN Global Compact (UNGC)

Certifications: ISO 14001 (implied), ISO 27001 (implied)

Third-party Assurance: ERM CVS

Sustainable Products & Innovation

• Hybrid and electric vehicles
• Fuel-efficient vehicles

Awards & Recognition

• World Travel Awards: Leading Car Rental Company (over 40 countries/territories)

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Supporting People and Communities
• Governance and Business Conduct

Environmental Achievements

• 7% reduction in absolute Scope 1 and 2 GHG emissions since 2018
• Zero waste-to-landfill maintained for tires, windshields, motor oils, and car batteries in the U.S.
• Nearly 65% of the Company’s fleet in Scandinavia was either hybrid or electric at the end of 2023
• Installation of a closed-loop carwash in Copenhagen, saving approximately 265,000 gallons of water annually
• 20 car wash facilities in Iberia and Italy using at least 80% recycled water

Social Achievements

• 82% of Global Pulse Survey responders agreed or strongly agreed that they would recommend ABG as a Great Place to Work
• Launched Human Trafficking Awareness training, achieving 100% completion rate for front-line managers and customer-facing employees
• 66% minority representation across all job categories in the U.S.
• On track to achieve gender pay equity globally
• $11 billion invested with diverse suppliers since 2021

Governance Achievements

• 100% of the Audit, Compensation, and Corporate Governance Committee members are independent
• All employees are required to complete Code of Conduct training on hire and every other year
• All integrity hotline reports are investigated

Climate Goals & Targets

Environmental Challenges

• 10% increase in water consumption in the U.S. compared to 2018 due to strong demand for vehicle rentals
• Mileage data uncertainties identified within its rental database affecting GHG emission calculations

Mitigation Strategies

• Intends to continue exploring opportunities to reduce water consumption through water efficiency practices and technologies
• Adjusted rental transactions with 1,000+ miles driven per day to 132 miles (average miles driven per day in 2021) to address mileage overestimation

Supply Chain Management

Responsible Procurement

• Supplier ESG questionnaire launched in Europe in early 2024, with plans to expand globally
• Working with diverse suppliers

Climate-Related Risks & Opportunities

Opportunities

• Transition to hybrids and EVs

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards, TCFD Recommendations, UN SDGs, UNGC

Certifications: ISO 14001 (implied), ENERGY STAR (implied), LEED (implied), BREEM (implied), ISO 27001 (implied), PCI DSS (implied)

Third-party Assurance: ERM CVS

Sustainable Products & Innovation

• Fuel-efficient, low-emission, hybrid, and electric vehicles (EVs)

Awards & Recognition

• Avis named Best Car Rental Company in the European and Worldwide categories at the 2023 Business Traveller Awards