Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• 100 percent of products, parts and consumables returned by customers at end-of-life were diverted from entering landfills.
• 100 percent of newly-launched, eligible Xerox products satisfied the Electronic Product Environmental Assessment Tool (EPEAT) and EPA ENERGY STAR eco-labels.
• Reduced water consumption by 46 percent from 2010 baseline.
• Reduced GHG emissions by 14 percent from 2016 baseline.

Social Achievements

• 91,000 hours were volunteered by our employees to local community involvement projects.
• Xerox Community Involvement Program (XCIP) invested $778,375 in 344 non-profit organizations across the U.S.
• Xerox Canada mobilized their WeCAN employee giving campaign raising more than $500,000 to feed those in need and support programs giving kids a healthy start.
• Global access to learning and career development: annually, our employees and authorized partners launched approximately 1 million learning resources.

Governance Achievements

• The Xerox Board of Directors is 90 percent independent
• Xerox people worldwide are well aware of and respectful of Xerox's Code of Business Conduct, available in 19 languages.
• Established a Chief Ethics Officer who reports to senior management and the Board of Directors.

Climate Goals & Targets

Environmental Challenges

• Climate change and human rights issues
• Counterfeiting and theft of supplies
• E-waste regulations
• Increasing costs of energy and concerns around energy security

Mitigation Strategies

• Driving efficiency in business operations and smart investments in technologies
• Working with governments and industry to advocate for public policies
• Developing comprehensive systems for taking back end-of-life products
• Investing in technologies that reduce the carbon footprint of operations and develop technology solutions that help customers reduce energy and environmental impacts.

Supply Chain Management

Supplier Audits: 37 on-site audits in 2017

Responsible Procurement

• Supplier Code of Conduct
• Responsible Business Alliance (RBA) Code of Conduct
• Risk assessments
• Self-Assessment Questionnaires (SAQs)
• Compliance reviews and audits

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather disruptions

Transition Risks

• Increasing energy costs
• Energy security concerns

Opportunities

• Development of energy-efficient products and solutions

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001, ISO 50001, EPEAT, ENERGY STAR

Sustainable Products & Innovation

• ConnectKey™ app ecosystem
• Energy-efficient products meeting ENERGY STAR requirements

Awards & Recognition

• Best Places for Women & Diverse Managers to Work
• 50 Best Companies for Diversity
• Best Companies to Work for LGBT Employees
• AT&T Supplier Diversity Crystal Award
• Other awards related to diversity and inclusion

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced global energy consumption and greenhouse gas emissions by 15% from a 2016 baseline.
• Reduced worldwide water consumption by 45% from a 2010 baseline, exceeding the 2020 goal of a 35% reduction.
• Reduced hazardous waste generated by almost 90% since 1999.
• 100% of new eligible product introductions achieved ENERGY STAR in 2018.
• Planted more than 100,000 trees through the PrintReleaf partnership, offsetting the impact of more than 1 billion printed pages.

Social Achievements

• Launched Global Volunteer Policy, granting every employee one workday of paid time off to volunteer.
• Launched Xerox Employee Matching Gift Program, matching employee donations to nonprofits up to $500 per employee per year.
• Launched Xerox Community Giving Tool to manage and track employee volunteer efforts and CSR activity.
• Invested more than $1.9 million in the nonprofit sector in 2018 and provided more than 25,000 hours of volunteer time.

Governance Achievements

• 86% of the Board of Directors are independent.
• Established a new corporate-wide, science-based energy goal to reduce energy consumption and GHG emissions by 25% by 2025.
• Achieved an Authority to Operate (P-ATO) from the U.S. government’s FedRAMP for cloud-based MPS in 2018.
• Implemented a comprehensive ABAC compliance program supported by policy and annual training.

Climate Goals & Targets

Environmental Challenges

• Decreased volume of client returns in the U.S. market impacting waste reduction goals.
• Challenges in collecting indirect (Scope 3) GHG emissions data due to limited availability of data from the supply chain and lack of transparency.
• Potential for business disruptions due to severe weather in locations where Xerox operates.
• Excessive work hours in some supplier locations, particularly in Malaysia and China during peak production months.

Mitigation Strategies

• Continuously striving to increase the accuracy of reported data.
• Calculating Scope 3 emissions according to the Greenhouse Gas Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard.
• Maintaining a comprehensive GHG emissions inventory and regulatory tracking function.
• Developing client-specific preparedness plans to address business disruptions due to severe weather.
• Working closely with suppliers for continual improvement of working hours and implementing corrective action plans.

Supply Chain Management

Supplier Audits: 23 audits in 2018

Responsible Procurement

• RBA Code of Conduct
• Supplier Code of Conduct
• Self-Assessment Questionnaires (SAQs)
• Risk assessments
• Compliance reviews
• On-site audits
• Conflict Minerals Policy
• Due Diligence activities
• OECD framework for Responsible Supply Chains

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather events impacting business operations and clients.

Transition Risks

• Regulatory changes, energy costs, energy security concerns.

Opportunities

• Development of energy-efficient products and technologies.

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001:2015, ISO 45001, R2, ENERGY STAR, EPEAT Gold

Sustainable Products & Innovation

• Energy-efficient products achieving ENERGY STAR and EPEAT certifications.

Awards & Recognition

• Forbes’ JUST 100
• Barron’s 100 Most Sustainable Companies
• Mediacorp Canada’s Greenest Employers
• U.S. EPA Sustainable Materials Management GOLD Award
• US EPA’s Sustainable Materials Management Program Non-Product Award

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced energy consumption by 9% from 2018 (1.5% when normalized by revenue)
• Reduced Scope 1 and 2 GHG emissions by 35% from a 2016 baseline
• Reduced Scope 3 emissions by 10% compared to 2018
• Worldwide water consumption reduced by 45% from 2010 baseline, exceeding the 2020 goal of a 35% reduction.
• Nearly 2 million Xerox toner cartridges manufactured using recovered cartridges (up to 50% of toner cartridge production)

Social Achievements

• Launched a partnership with A Better Chance (ABC) to increase education, access, and opportunity for young people of color, donating $150,000 per year for three years.
• Supported the Thurgood Marshall College Fund’s Leadership Institute.
• Matched up to $500 per person for donations made to a registered D&I nonprofit organization.
• Launched a series of “All of Us Together” global roundtables to build awareness about social injustice.
• Introduced “Dress for Your Day” policy enabling employees to choose their attire.
• Introduced a new workplace fraternization policy.

Governance Achievements

• Established a new diversity, inclusion, and belonging roadmap.
• 86% of the Board of Directors are independent.
• Amended Corporate Governance Guidelines to require qualified women and minority candidates for director nominations.
• Established the Office of Compliance in 2017 to oversee statutory compliance.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic
• Systemic racism
• Climate change
• Supply chain disruptions due to severe weather
• Data inaccuracy in Scope 3 emissions due to limited data availability

Mitigation Strategies

• Activated business continuity and pandemic preparedness plans, establishing a COVID-19 Response Team and 24-hour command center.
• Developed and implemented extensive health and safety protocols.
• Established a new diversity, inclusion, and belonging roadmap.
• Held “All of Us Together” conversations to address social injustice.
• Set new goals to achieve carbon neutrality by 2040 and reduce GHG emissions by at least 60% by 2030.
• Developed alternative sourcing strategies (implied)
• Calculate Scope 3 emissions according to the Greenhouse Gas Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard.

Supply Chain Management

Supplier Audits: 24 initial audits and 6 closure audits in 2019 (primarily in Asia-Pacific)

Responsible Procurement

• RBA Code of Conduct
• Supplier purchase agreements with terms and conditions
• Self-Assessment Questionnaires (SAQs)
• Compliance reviews and on-site audits
• Conflict Minerals Policy
• Paper sourcing guidelines (FSC and PEFC)

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather disruptions

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products and technologies

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001:2015, EPEAT Gold

UN Sustainable Development Goals

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

Xerox's initiatives align with these SDGs through various environmental, social, and governance programs.

Sustainable Products & Innovation

• More energy-efficient cooling technologies
• Liquid metal 3D printing technology

Awards & Recognition

• U.S. EPA Sustainable Materials Management Gold Award (3 years in a row)
• U.S. EPA’s Sustainable Materials Management Program Non-Product Award (GWA program)
• One of the 50 Best Companies of the Year for Latinas by LATINA Style Inc.
• One of the “Best Places to Work for LGBTQ Equality” in the Human Rights Campaign (HRC) Foundation’s 2020 Corporate Equality Index
• One of the 2020 Best Companies for Multicultural Women by Working Mother magazine

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Inclusion, and Belonging (DIB)
• Circular Economy
• Responsible Operations
• Supply Chain Responsibility
• Data Security
• Business Ethics and Compliance

Environmental Achievements

• Fast-tracked net-zero goal to 2040
• Achieved 98% landfill avoidance for equipment and supplies
• 100% of new, eligible products registered with Energy Star® and EPEAT
• Reduced Scope 1 and 2 GHG emissions by 50% from 2016 baseline in 2020
• Reduced Scope 3 emissions by 15.4% in 2020 compared to 2019
• Reduced water withdrawal by 52% from 2010 baseline in 2020

Social Achievements

• Launched new Diversity, Inclusion, and Belonging (DIB) roadmap
• Launched a new employee rewards program for volunteering, donating $10 per hour up to $500/year
• Launched Xerox Employee Relief Fund (ERF) providing financial assistance to employees in need
• Increased board diversity to 40%

Governance Achievements

• Integrated climate change-related risks and opportunities into Enterprise Risk Management
• Expanded executive compensation criteria to include ESG factors
• Maintained zero OSHA citations and penalties in 2020
• No substantiated complaints regarding data privacy in 2020

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on operations and data collection
• Scope 3 emissions tracking challenges due to data limitations from the value chain
• Global supply chain disruptions
• Counterfeiting of Xerox products and supplies

Mitigation Strategies

• Developed robust health and safety protocols
• Leveraged CareAR platform for remote service delivery
• Implemented remote audits for suppliers due to travel restrictions
• Strengthened supply chain security measures
• Increased focus on data security and privacy

Supply Chain Management

Supplier Audits: 12 major suppliers completed SAQs in 2020; 0% on-site audits due to COVID-19

Responsible Procurement

• RBA Code of Conduct
• Supplier Self-Assessment Questionnaires (SAQs)
• Conflict Minerals Policy
• Sustainable paper sourcing guidelines

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather disruptions

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products and clean technologies

Reporting Standards

Frameworks Used: GRI Standards, SASB, TCFD

Certifications: ISO 14001:2015, Energy Star, EPEAT

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)

Xerox initiatives contribute to these goals through various environmental and social programs

Sustainable Products & Innovation

• Energy-efficient printers and MFPs
• ElemX™ 3D printer
• CareAR platform

Awards & Recognition

• ENERGY STAR® Partner of the Year 2021
• EcoVadis 2020 Platinum Rating
• Newsweek America’s Most Responsible Companies 2021
• Buyers Lab (BLI) 2021-2022 PaceSetter Award in Document Imaging Security for the Office
• Buyers Lab (BLI) 2021-2022 PaceSetter Award for Security in Production Printing

Environmental Metrics

ESG Focus Areas

• Climate Change
• Supply Chain Management
• Human Rights
• Waste Reduction
• Employee Development
• Employee Health and Safety
• Product Energy Efficiency
• Data Security
• Sustainability of Products and Services
• Customer Health & Safety
• Customer Satisfaction
• Diversity & Inclusion

Environmental Achievements

• Reduced energy consumption in operations by 12.8% in 2021 compared to 2020
• Reduced Scope 1 and 2 GHG emissions by 43% from the 2016 baseline in 2021
• Reduced Scope 3 emissions by 18% compared to 2020 in 2021
• CareAR reduced client site visits by more than 21,000 in one year, avoiding over 269,000 metric tons of CO2
• Remanufactured over 1.9 million toner cartridges in 2021 using recovered cartridges
• Diverted 17,810 metric tons of equipment and parts-related waste from landfills globally in 2021
• Achieved EPEAT Gold certification for all new Xerox® VersaLink®, Xerox® AltaLink®, and Xerox® PrimeLink® Products (with few exceptions)

Social Achievements

• Launched Xerox Volunteer Days, with over 500 employees volunteering more than 7,000 hours
• Invested $121,500 in the Xerox Community Involvement Program
• Decreased total recordable injury rate by 24% and day away from work case rate by 5% worldwide in 2021
• Introduced a tenth Employee Resource Group focused on disabilities
• Welcomed 13 A Better Chance interns to Xerox

Governance Achievements

• Included ESG in compensation criteria for all senior management
• Hosted Investors Day to discuss business solutions and financial services
• Required all Xerox employees to participate in annual Code of Business Conduct training

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions
• Climate change impacts on operations and supply chain
• Data security threats
• Counterfeit products and supplies

Mitigation Strategies

• Developed alternative sourcing strategies
• Business continuity and resumption plans
• Robust data security measures and certifications
• Rigorous processes to identify and eliminate counterfeit supplies

Supply Chain Management

Supplier Audits: 25 major suppliers completed SAQs in 2021; 0% on-site audits due to COVID-19

Responsible Procurement

• RBA Code of Conduct
• Supplier Code of Conduct
• Self-Assessment Questionnaires (SAQs)
• Conflict Minerals Policy
• Supplier Security Requirements

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI, SASB, TCFD

Certifications: ISO 14001, ISO 45001, EPEAT Gold, ENERGY STAR, Blue Angel, FedRAMP

Third-party Assurance: SGS

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)

Xerox's initiatives contribute to these goals through energy efficiency improvements, waste reduction, and climate change mitigation efforts.

Sustainable Products & Innovation

• CareAR
• Xerox® ElemX® 3D Printer
• Novity predictive maintenance solution

Awards & Recognition

• ENERGY STAR® Partner of the Year
• Corporate Knights’ 100 Most Sustainable Corporations
• Terra Carta Seal
• Quocirca 2022 Sustainability Leader
• 3BL Media 100 Best Corporate Citizens
• CDP Supplier Engagement Leader Award
• EcoVadis Gold Sustainability Rating

Environmental Metrics

ESG Focus Areas

• Climate Change
• Resource Conservation
• Waste Reduction
• Supplier Sustainability
• Employee Well-being
• Community Engagement

Environmental Achievements

• Achieved an A- on the CDP Climate Change Questionnaire
• Fast-tracked net zero goal to 2040 (from 2050)
• Interim target to reduce Scope 1 and 2 GHG emissions by at least 60% by 2030 against the company’s 2016 baseline
• All major manufacturing sites certified to ISO 14001 in 1997
• Expanded EPEAT registration of products to Canada and 11 European countries in 2018
• Joined the EPA SmartWay Partnership

Social Achievements

• PrintReleaf certification available to large enterprise customers
• Commitment to produce waste-free products in waste-free facilities
• Partnerships with various business consortiums and governmental/non-governmental organizations
• Included in 3BLMedia 100 Best Corporate Citizens 2021 Rankings
• Named a Sustainability Leader in the Print Industry by Quocirca

Governance Achievements

• Established Environmental policy in 1991
• Received CDP Supplier Engagement Award in 2022
• Received Energy Star Partner of the Year Award in 2021 and 2022
• Received Gold rating from EcoVadis 2022
• Received two Pacesetter Awards in 2022

Climate Goals & Targets

Environmental Challenges

• Reducing Scope 1 and 2 GHG emissions by 60% by 2030
• Achieving net-zero emissions by 2040

Mitigation Strategies

• Projects improving operational efficiency
• New technology innovations
• Neutralizing residual GHG emissions through carbon compensation mechanisms

Supply Chain Management

Responsible Procurement

• Eliminate the use of persistent, bioaccumulative, and toxic materials throughout the supply chain

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• ENERGY STAR® certified equipment
• Xerox® ConnectKey® Technology

Awards & Recognition

• Inaugural 2021 Terra Carta Seal (SMM) Electronics Challenge
• CDP Supplier Engagement Award in 2022
• Energy Star Partner of the Year Award in 2021 and 2022
• Gold rating from EcoVadis 2022
• Two Pacesetter Awards in 2022

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Inclusion and Belonging
• Circular Economy
• Supply Chain Responsibility
• Data Privacy and Protection

Environmental Achievements

• Global energy consumption decreased by 13.5%
• 58.9% reduction in scope 1 and 2 greenhouse gas emissions from the 2016 baseline
• Scope 3 emissions decreased by 8.5%
• 100% of new eligible products achieved ENERGY STAR and EPEAT ecolabels
• Over 850 metric tons CO2e saved with remote service powered by AI and CareAR
• Avoided 63,400 metric tons CO2e with sustainability analytics and dashboards
• Over 3.2 billion pages offset with PrintReleaf and global reforestation projects
• 100% of products follow Design for Sustainability principles
• 1.7 million Xerox toner cartridges manufactured using recovered cartridges
• Since 2009, Xerox has diverted more than 590,000 metric tons of returned equipment, parts, and supplies from landfill by remanufacturing, reusing, or recycling.
• 65% reduced water consumption since 2010

Social Achievements

• Employee Resource Group membership rose to 22% in 2023 (a 4% increase)
• 21 consecutive year recipient of Human Rights Campaign Foundation’s Equality 100 Award
• Volunteered more than 42,000 hours
• Invested more than $2.4 million in the nonprofit sector
• 310 causes supported globally
• Increased participation in Xerox Giving to 8.6% of our global employee population compared to 5.07% in 2022
• Over 350,000 course completions and 480,000 hours of formal education within our learning management system

Governance Achievements

• 97% of our employees completed the ethics and compliance training modules in 2023
• 78% of our board of directors are independent
• Weighting on executive Environment, Social and Governance compensation metrics

Climate Goals & Targets

Environmental Challenges

• Climate change impacts on operations and supply chain
• Data loss due to print-related breaches
• Counterfeit parts and supplies
• Accurate reporting of Greenhouse Gas (GHG) emissions by suppliers

Mitigation Strategies

• Business continuity and resumption plans
• Multi-layered security portfolio
• Rigorous processes to identify and eliminate counterfeit supplies and components
• Explicit guidance on the calculation and disclosure of GHG emissions, and additional support for suppliers

Supply Chain Management

Supplier Audits: 19 key suppliers through SAQ process in 2023; VAP audits for high-risk suppliers

Responsible Procurement

• Supplier Code of Conduct
• RBA Code of Conduct
• Conflict Minerals Policy
• Supplier diversity program

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather disruptions

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI, SASB, TCFD

Certifications: ISO 14001, ISO 45001, ENERGY STAR, EPEAT, Blue Angel, FedRAMP, SOC 2 Type 2

Third-party Assurance: SGS

UN Sustainable Development Goals

• Goal 1
• Goal 2
• Goal 3
• Goal 4
• Goal 5
• Goal 6
• Goal 7
• Goal 8
• Goal 9
• Goal 10
• Goal 11
• Goal 12
• Goal 13
• Goal 14
• Goal 15
• Goal 16
• Goal 17

Xerox initiatives contribute to these goals through various environmental, social, and governance programs and initiatives.

Sustainable Products & Innovation

• Energy-efficient printers and multifunction printers
• AI-powered remote service solutions

Awards & Recognition

• Corporate Knights’ 100 Most Sustainable Corporations
• CDP A List
• EcoVadis Gold Medal
• ENERGY STAR Partner of the Year
• EPEAT Gold certification
• Blue Angel certification
• Human Rights Campaign Foundation’s Equality 100 Award