Climate Change Data

Coca-Cola FEMSA, S.A.B. de C.V.

Climate Impact & Sustainability Data (2014, 2020, 2022, 2023)

Reporting Period: 2014

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:8.4% (globally), 27% (Mexico)
Total Energy Consumption:Not disclosed
Water Consumption:37.7 billion liters
Waste Generated:189,011 tons
Carbon Intensity:18.90 grams CO2(eq) per liter of beverage

ESG Focus Areas

  • Our People
  • Our Planet
  • Our Community

Environmental Achievements

  • Reduced water consumption by 3.5% against 2010 absolute consumption.
  • Improved production efficiency by 9% from 2010 to 2014 and by 22% against 2004.
  • 100% of wastewater from manufacturing facilities treated.
  • Recycled more than 148,000 tons of waste.
  • Reduced CO2(eq) emissions to 18.90 grams per liter of beverage in 2014.
  • Increased renewable energy use by 73%, representing 8.4% of total energy consumed globally and 27% in Mexico.

Social Achievements

  • Invested $12,158,023 in training programs.
  • Benefited more than 737,000 people through Healthy Lifestyle and Community Development programs.
  • 98.6% return to work rate after maternity/paternity leave.
  • 80.47% employee satisfaction level.

Governance Achievements

  • Included in Dow Jones Sustainability Index’s Emerging Markets Index for the second year in a row.
  • Included in RobecoSAM’s 2015 Sustainability Yearbook.
  • Received Industry Mover 2015 award from RobecoSAM.
  • Received the Socially Responsible Company (SRC) distinctive for the tenth time from CEMEFI.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Increase water use efficiency to 1.5 liters of water per liter of beverage produced by 2020.
  • Return to communities and environment the same amount of water used in drinks by 2020.
  • Provide 85% of manufacturing energy with clean energy in Mexico by 2020.
  • Reduce carbon footprint of value chain by 20% by 2020.
  • Integrate 25% of renewable/recycled material in PET packaging by 2020.
  • Recycle at least 90% of waste in each bottling plant by 2020.
Short-term Goals:
  • Improve water use efficiency by 20% compared to 2004 by 2015.

Environmental Challenges

  • Diverse challenges in operating countries, including social and economic situations.
  • Intense dynamics in the beverage industry.
Mitigation Strategies
  • Transforming Coca-Cola FEMSA to improve work with clients and consumers and innovate internal processes.
  • Focusing Sustainability Strategy on material matters to strengthen performance and review important topics for stakeholders.

Supply Chain Management

Supplier Audits: 126 suppliers in 2014

Responsible Procurement
  • Sharing Business Ethics Code with all suppliers.
  • Requiring compliance with Supplier Guiding Principles for The Coca-Cola Company.
  • Using independent monitoring firms for audits.

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: GRI G4

Certifications: ISO 14001 (97% of plants)

Third-party Assurance: Deloitte

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Ultra-lightweight caps and bottles; BioPet packaging; Future PET resin.

Awards & Recognition

  • Dow Jones Sustainability Index’s Emerging Markets Index, RobecoSAM’s 2015 Sustainability Yearbook, Industry Mover 2015, CEMEFI’s Socially Responsible Company (SRC) distinctive.

Reporting Period: 2020

Environmental Metrics

Renewable Energy Share:85% (Mexico manufacturing), 80% (global bottling operations)

ESG Focus Areas

  • Circular Economy
  • Climate Action
  • Water Stewardship
  • Product Portfolio
  • Relationship with Government
  • Supporting Small Businesses
  • Fundamental Working Conditions
  • Enhanced Cultural Elements
  • Corporate Governance

Environmental Achievements

  • Achieved 25% recycled materials in PET packaging (surpassed goal)
  • Achieved 85% clean energy in Mexico manufacturing (achieved goal)
  • Industry benchmark liters of water per liter of beverage produced
  • Returned all water used in beverage production to nature

Social Achievements

  • Benefited over 7 million people through nutrition and physical activation programs (surpassed goal)
  • 17 million hours of volunteer work (exceeded goal)
  • Developed water access, sanitation, and hygiene (WASH) programs

Governance Achievements

  • Full compliance with regulations and Code of Ethics in all operating countries
  • Achieved 80% clean energy share in global bottling operations electricity requirements

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:3,789 kt CO2e
Scope 1 Emissions:554,500.71 tCO2e
Scope 2 Emissions:52,105.72 tCO2e
Scope 3 Emissions:3,182,146.35 tCO2e
Renewable Energy Share:66%
Total Energy Consumption:1,933,774,046.99 MJ
Water Consumption:30,241 ML
Waste Generated:1.5% for disposal

ESG Focus Areas

  • Climate Action
  • Circular Economy
  • Water Efficiency
  • Community Development
  • Value Chain Sustainability
  • Talent Diversity
  • Compliance
  • Cybersecurity
  • Diversity, Equity, and Inclusion

Environmental Achievements

  • Improved water use ratio to 1.46 liters of water per liter of beverage produced
  • Began construction of PLANETA, a food-grade recycling plant with capacity to process 50,000 tons of post-consumer PET bottles annually
  • Increased renewable energy use in operations to 66%
  • Reduced absolute GHG emissions from scope 3 by 17% vs 2015 baseline
  • Reduced absolute GHG emissions from direct operations (scope 1 and 2) by 29% vs 2015 baseline
  • Recycled or properly disposed of 98.5% of post-industrial waste
  • 77% of manufacturing facilities earned Zero Waste certification
  • Collected 26% of the PET put into the market and used 27% recycled resin in beverage packaging

Social Achievements

  • Increased representation of women in leadership positions, with a goal of 40% by 2030
  • Included in the Bloomberg Gender-Equality Index for the fifth consecutive year
  • Supported over 600,000 beneficiaries through environmental and social initiatives
  • Invested US$314.74 million in environmental pillar projects
  • Implemented various programs to support small businesses and women entrepreneurs
  • Improved Lost Days due to General Illness Index by 12.5% vs 2021

Governance Achievements

  • Issued social bonds (first in the consumer sector in the Americas and first in the Coca-Cola System)
  • Issued sustainability bonds (first in Mexico's consumer sector)
  • Included in the S&P Global Sustainability Yearbook for the third consecutive year
  • Signed the United Nations Global Compact (UNGC)

Climate Goals & Targets

Long-term Goals:
  • Collect 100% of PET bottles placed in the market by 2030
  • Achieve zero fatalities in operations by 2030
Medium-term Goals:
  • Reduce scope 1 and 2 emissions by 50% by 2030
  • Reduce scope 3 emissions by 20% by 2030
  • Have 50% recycled resin in PET bottles by 2030
  • Have 100% of distribution centers certified as zero waste by 2030
  • Achieve 40% women in leadership and management positions by 2030
Short-term Goals:
  • Reduce water consumption ratio to 1.26 liters per liter of beverage by 2026
  • Achieve 100% renewable electricity for operations by 2030
  • Have 100% of bottling plants certified as zero waste by 2025

Environmental Challenges

  • Volatile global industry environment, including inflation
  • Scope 3 emissions (84% of total CO2e emissions)
  • Water scarcity in some operating areas
  • Maintaining high safety standards
  • Cybersecurity threats
  • Maintaining strong relationships with The Coca-Cola Company and FEMSA
Mitigation Strategies
  • Adapting strategies locally to mitigate inflation
  • Implementing initiatives to reduce scope 3 emissions across the value chain
  • Investing in water efficiency programs and replenishment projects
  • Implementing safety initiatives and training programs
  • Strengthening cybersecurity measures and processes
  • Maintaining a strong cooperation framework with The Coca-Cola Company

Supply Chain Management

Supplier Audits: 665 suppliers assessed under Supplier Guiding Principles

Responsible Procurement
  • Supplier Code of Conduct with ESG requirements
  • ESG performance assessments of suppliers
  • Collaboration with key suppliers to mitigate ESG impact

Climate-Related Risks & Opportunities

Physical Risks
  • Adverse weather conditions
  • Natural disasters
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Development of energy-efficient products
  • Growth in sustainable beverage categories

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards for Non-Alcoholic Beverage Industry, UN Global Compact

Certifications: FSSC 22000 (manufacturing facilities), ISO 45001 (Safety and Health System in manufacturing plants)

Third-party Assurance: Ernst & Young Global Limited

UN Sustainable Development Goals

  • Goal 6 (Clean Water and Sanitation)
  • Goal 7 (Affordable and Clean Energy)
  • Goal 8 (Decent Work and Economic Growth)
  • Goal 12 (Responsible Consumption and Production)
  • Goal 13 (Climate Action)
  • Goal 5 (Gender Equality)
  • Goal 11 (Sustainable Cities and Communities)
  • Goal 17 (Partnerships for the Goals)

Initiatives contribute to these goals through various environmental, social, and governance programs

Sustainable Products & Innovation

  • Refilllable universal bottle
  • Coca-Cola Zero Sugar

Awards & Recognition

  • S&P Global Sustainability Yearbook
  • Bloomberg Gender-Equality Index
  • Best LGBTQ+ Places to Work in Mexico

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:3,462 kton CO2e
Scope 1 Emissions:576.95 kton CO2e
Scope 2 Emissions:26.95 kton CO2e
Scope 3 Emissions:2,858.58 kton CO2e
Renewable Energy Share:77%
Total Energy Consumption:3,909.35 TJ
Water Consumption:30,986 megaliters
Waste Generated:178.22 kton
Carbon Intensity:27.19 grams of CO2e per liter of beverage produced

ESG Focus Areas

  • Water Stewardship
  • World Without Waste
  • Climate Action
  • Product Portfolio
  • Sustainable Sourcing
  • Integral Employee Well-being
  • Community Development
  • Human Rights
  • Diversity, Equity, and Inclusion
  • Ethics and Governance

Environmental Achievements

  • Improved water use ratio to 1.42 liters of water per liter of beverage produced
  • Increased recycled resin in bottles to 33%
  • 77% electricity from renewable sources
  • 84% bottling plants certified as zero waste
  • 19% reduction of absolute GHG emissions from Scope 3 vs. 2015 baseline

Social Achievements

  • Increased representation of women in leadership roles to 29%
  • Implemented Community Engagement Plans using the MARRCO methodology at 19 priority plants
  • 359 thousand beneficiaries of activities focused on environmental and social pillars
  • Average of 25 hours of training per employee

Governance Achievements

  • Defined Coca-Cola FEMSA's principles
  • Updated vision focusing on consumers, customers, and growth
  • Executive compensation linked to ESG performance

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Achieve 100% renewable energy by 2030
  • 50% reduction in Scope 1 and 2 emissions by 2030
  • 20% reduction in Scope 3 emissions by 2030
  • 40% women in leadership and management positions by 2030
  • 100% zero waste certification for plants by 2025 and distribution centers by 2030
Short-term Goals:
  • Water Use Ratio (WUR) of 1.36 liters per liter of beverage by 2024

Environmental Challenges

  • Cybersecurity incident
  • Hurricane Otis in Acapulco
  • Competition in the beverage market
  • Water scarcity in some operating regions
  • Climate change impacts on supply chain and operations
Mitigation Strategies
  • Implemented proactive measures to mitigate the impact of the cybersecurity incident
  • Provided immediate access to clean water and essential supplies in Acapulco, investing Ps. 575 million in facility rebuilding and community support
  • Implemented strategies to regain market share and boost per capita consumption
  • Improved water efficiency and implemented water replenishment projects
  • Developed strategies to reduce carbon footprint and transition to renewable energy

Supply Chain Management

Supplier Audits: 123 evaluations of strategic suppliers by The Coca-Cola Company; 749 suppliers assessed by Coca-Cola FEMSA

Responsible Procurement
  • Adherence to The Coca-Cola Company's Supplier Guiding Principles
  • Coca-Cola FEMSA's Supplier Guiding Principles
  • Focus on local suppliers (95%)
  • Bonsucro certification for 72% of sugar suppliers

Climate-Related Risks & Opportunities

Physical Risks
  • Variation of average precipitation
  • Extreme rainfall and flooding
Transition Risks
  • Increase in GHG emissions costs
  • Increase in cost of raw materials associated with generated emissions
  • Increase in the cost of sugar due to changes in weather conditions
Opportunities
  • Use of low-emission energy sources
  • Improvement in the efficiency of facilities and production processes

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards for Non-Alcoholic Beverage Industry, TCFD

Certifications: ISO 45001

Third-party Assurance: Valora Consultores

UN Sustainable Development Goals

  • Goal 6 (Clean Water and Sanitation)
  • Goal 7 (Affordable and Clean Energy)
  • Goal 8 (Decent Work and Economic Growth)
  • Goal 12 (Responsible Consumption and Production)
  • Goal 13 (Climate Action)
  • Goal 5 (Gender Equality)
  • Goal 11 (Sustainable Cities and Communities)

Initiatives contribute to these goals through water stewardship, renewable energy adoption, job creation, sustainable packaging, emissions reduction, women's empowerment, and community development programs.

Sustainable Products & Innovation

  • Universal refillable bottle
  • Coca-Cola Zero Sugar
  • No- and low-sugar flavored sparkling beverages

Awards & Recognition

  • Candler Cup (Argentina)
  • Bloomberg Gender-Equality Index
  • Dow Jones Sustainability MILA Pacific Alliance Index
  • S&P Global’s Sustainability Yearbook
  • Best Places to Work for LGBTQ+ Equality