Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Community Impact
• Workplace Practices
• Governance

Environmental Achievements

• Reduced waste per kilogram of drug substance by up to 84 percent, organic solvent consumption by as much as 88 percent and water use by more than 30 percent in clinical development projects.
• Implemented four commercial active pharmaceutical ingredient projects reducing process mass intensities by up to 20 percent.
• Achieved "zero waste" at its Cork, Ireland manufacturing site for the fifth consecutive year.
• Purchased renewable energy to meet 50 percent of its Foster City headquarters' annual electricity demand.

Social Achievements

• Launched the Gilead COMPASS Initiative, pledging $100 million over 10 years to address HIV/AIDS in the Southern United States.
• Launched two new Employee Resource Groups (ERGs): Gileados and GVET.
• Provided approximately $400 million in cash donations to reduce health disparities, provide access to healthcare, advance education and support local communities around the world.
• Provided more than $28 million in grants to more than 120 organizations working to raise awareness about HIV prevention since 2012.

Governance Achievements

• Amended its Nominating and Corporate Governance Committee charter to formalize the board’s commitment to diversity.
• Updated its Code of Ethics and Anti-Bribery and Anti-Corruption Policy in 2017.
• Performed audits for financial and/or FCPA compliance in approximately 22 countries in 2017, with no instances of corruption or material violations of its Code of Ethics.

Climate Goals & Targets

Environmental Challenges

• Minimizing environmental footprint across facilities, business operations, supply chain, and products.
• Addressing HIV/AIDS epidemic in the Southern United States.
• Maintaining high ethical standards throughout its supply chain.
• Ensuring access to medicines in low- and middle-income countries.

Mitigation Strategies

• Implemented green and sustainable chemistry techniques, responsible sourcing, supplier audits, and master planning for facilities.
• Launched the Gilead COMPASS Initiative and partnered with organizations to address HIV/AIDS disparities.
• Launched a Supplier Code of Conduct and implemented an Environmental Health and Safety (EH&S) auditing program.
• Implemented tiered pricing, responsible generic licensing, and advocacy for public health initiatives.

Supply Chain Management

Supplier Audits: 55+ on-site audits or EH&S visits conducted since 2015 for drug substances.

Responsible Procurement

• Supplier Code of Conduct (launched in 2017)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 14001 (Edmonton)

Awards & Recognition

• Distinction Award from the National Irish Safety Organization (Cork site)

Environmental Metrics

ESG Focus Areas

• Climate change
• Energy
• Diversity and Inclusion
• Racial Equity
• LGBTQ+ support
• Health Equity
• Supply chain management
• Responsible sourcing
• Employee wellbeing
• Corporate governance
• Product safety
• Data security
• Anti-counterfeiting
• Philanthropy

Environmental Achievements

• Reduced Veklury's Process Mass Intensity (PMI) by 40%
• Reduced Biktarvy's PMI by 20%
• Added six new LEED-certified buildings and one new BREEAM site
• Achieved an 11% reduction in GHG emissions between 2016 and 2019 (nearly halfway to 2025 goal)

Social Achievements

• Launched Blueprint for Change to increase Black and Latinx workforce representation
• Launched two new inclusion and diversity learning programs
• Provided $409 million in cash donations to organizations addressing community needs
• Launched the Racial Equity Community Impact Fund ($10 million over three years)
• Launched the TRANScend Community Impact Fund ($4.5 million)
• Increased employee base to more than 13,000
• Implemented a new global December shutdown and a Fourth of July holiday week for U.S. employees
• Maintained high employee engagement scores in pulse surveys

Governance Achievements

• Received 100% rating on HRC Corporate Equality Index for the third consecutive year
• Formalized executive diversity goals at a corporate and departmental level
• Set new representation goals tied to KPIs for 2025
• Performed approximately 35 audits for financial or FCPA compliance across roughly 15 countries in 2020
• No warnings, fines, or penalties from government bodies related to marketing or labeling practices

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting operations and supply chains
• California wildfires affecting employees and operations
• Climate change risks to real estate portfolio
• Maintaining supply chain resilience
• Addressing racial inequities
• HIV stigma and misinformation
• Counterfeit medicines

Mitigation Strategies

• Accelerated Veklury production and secured manufacturing partners
• Implemented crisis-response systems for wildfires
• Completed climate-related risk assessment of real estate portfolio
• Geographic diversification of supply chain
• Launched initiatives to advance racial equity and inclusion
• Launched public education campaigns to combat HIV stigma
• Established an Anti-Counterfeiting Team

Supply Chain Management

Supplier Audits: Approximately 35 audits performed in 2020

Responsible Procurement

• Supplier Code of Conduct (SCOC)
• Responsible Sourcing strategic plan
• Pilot program to address GHG emissions reductions within the supply chain

Climate-Related Risks & Opportunities

Physical Risks

• Severe storms
• Wildfires
• Floods
• Droughts
• Sea-level rise
• Chronic heat waves

Transition Risks

• Compliance with new carbon regulations

Reporting Standards

Frameworks Used: GRI Standards: Core option, UNGC, UN SDGs, CDP

Certifications: LEED, BREEAM

Third-party Assurance: Third-party verification of 2019 GHG emissions inventory

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 4: Quality Education
• Goal 5: Gender Equality
• Goal 6: Clean Water and Sanitation
• Goal 7: Affordable and Clean Energy
• Goal 9: Industry, Innovation and Infrastructure
• Goal 10: Reduced Inequalities
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 17: Partnerships for the Goals

Report details how Gilead's initiatives contribute to these goals.

Sustainable Products & Innovation

• Veklury (with reduced PMI)

Awards & Recognition

• Named to Forbes America’s Best Employers for Diversity list
• Named to Working Mother 100 Best Companies list

Environmental Metrics

ESG Focus Areas

• Health Equity and Access
• Sustainability
• People and Culture

Environmental Achievements

• Joined RE100 initiative, pledging 100% renewable electricity by 2025
• Joined EV100 commitment to electrify entire vehicle fleet by 2030
• Completed three solar installations in California

Social Achievements

• Named the largest private funder of nonprofit HIV programs in the U.S. and second largest globally
• Launched a $200 million endowment to the Gilead Foundation to address social, economic, and environmental factors contributing to health and wellbeing
• Increased employee engagement score to 75%

Governance Achievements

• Received Newsweek’s ranking as sixth overall and second in the Health Care and Life Sciences industry in its 2022 list of America’s Most Responsible Companies
• Added to the Dow Jones Sustainability World Index
• First biopharmaceutical company to become Purple Certified with a perfect score of 100 for workplace harassment policies

Climate Goals & Targets

Environmental Challenges

• Pandemic-related disruptions to operations and supply chains
• Increased waste and emissions due to COVID-19 safety measures
• Work-life balance challenges for employees

Mitigation Strategies

• Implemented mask recycling initiatives
• Introduced G.Flex framework for flexible work arrangements
• Provided resources and tools to support employee wellbeing

Supply Chain Management

Supplier Audits: 52% of addressable spend had signed the Supplier Code of Conduct by the end of 2021

Responsible Procurement

• Supplier Code of Conduct
• Supplier Climate Leadership Review Survey

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core option, UNGC, UN SDGs, CDP, TCFD

Certifications: LEED Gold (multiple facilities), My Green Lab Gold Certification (Process Chemistry labs)

UN Sustainable Development Goals

• SDG 3 (Good Health and Well-being)
• SDG 5 (Gender Equality)
• SDG 6 (Clean Water and Sanitation)
• SDG 7 (Affordable and Clean Energy)
• SDG 12 (Responsible Consumption and Production)
• SDG 13 (Climate Action)
• SDG 17 (Partnerships for the Goals)

Report details how Gilead's initiatives contribute to these goals.

Awards & Recognition

• Newsweek’s America’s Most Responsible Companies
• Dow Jones Sustainability World Index
• Purple Campaign Certification

Environmental Metrics

ESG Focus Areas

• Access to Medicine
• R&D for Unmet Medical Needs
• Inclusion and Diversity
• Employee Recruitment, Development and Retention
• Climate Change and Energy

Environmental Achievements

• 45% of in-scope plastics eliminated
• 17.9M KWH of energy saved/avoided through efficiency measures
• Achieved LEED Platinum Certification for Employee Wellbeing Center and LEED Silver at two additional U.S. sites

Social Achievements

• A newly approved therapy for HIV called Sunlenca.
• A new therapeutic option for a type of breast cancer in patients at a very advanced stage of the disease.
• More than 20 million people in low-income and lower-middle income countries received HIV treatments based on Gilead’s innovation through our voluntary licensing program.
• Gilead also ranked No. 1 as the top overall philanthropic funder of HIV-related programs by Funders Concerned About AIDS.
• Expansion of our unique efforts to increase health equity through robust community partnerships and philanthropy. The Gilead Foundation and Gilead Corporate Giving donated a combined nearly $300 million globally.
• In the U.S., more than half of our workforce is women, and more than 60% identify as ethnically diverse.

Governance Achievements

• Our Board’s Nominating and Corporate Governance Committee oversees our ESG commitments and progress, and executive compensation is tied to achieving ambitious ESG goals.
• Admitted to Dow Jones Sustainability World Index for second consecutive year
• PERFECT SCORE on Human Rights Campaign Corporate Equality Index for five consecutive years

Climate Goals & Targets

Environmental Challenges

• Increased competition to attract and retain diverse employees
• Challenges in reducing single-use plastics in pharmaceutical manufacturing due to product quality and contamination risks
• Addressing the social determinants of health and overcoming barriers to care

Mitigation Strategies

• Doubling down on efforts to retain diverse employees by building an inclusive environment with equitable practices
• Exploring ways to reduce single-use plastics used to contain and ship pharmaceutical products, including replacing compostable plastic with reusable and compostable fiber-based options
• Investing heavily and partnering with others in addressing the social determinants of health, especially those in historically marginalized communities

Supply Chain Management

Supplier Audits: 31 audits in 18 countries (2022)

Responsible Procurement

• Supplier Code of Conduct
• Inclusion and Diversity targets for supply chain
• $1 billion commitment to spend with diverse suppliers from 2021-2025

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Biotechnology & Pharmaceuticals Standard 2018, TCFD, UNGC, UN SDGs, CDP Climate

Certifications: ISO 50001 (Cork, Ireland facility), LEED Platinum (Wellbeing Center), LEED Silver (two U.S. sites)

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 4: Quality Education
• Goal 5: Gender Equality
• Goal 6: Clean Water and Sanitation
• Goal 7: Affordable and Clean Energy
• Goal 9: Industry, Innovation and Infrastructure
• Goal 10: Reduced Inequalities
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action

Report details how Gilead's initiatives contribute to these goals.

Sustainable Products & Innovation

• Trodelvy (enhanced manufacturing process to reduce environmental footprint)

Awards & Recognition

• ESG IMPACT Award from Corporate Secretary/IR Weekly Magazine
• CDP Supplier Engagement Leader
• Patent for Humanity Award

Environmental Metrics

ESG Focus Areas

• Scientific Innovation
• Health Equity and Access
• People
• Sustainability

Environmental Achievements

• Exceeded 2023 annualized water-reduction goal by 225%, achieving a 19,350-cubic meters per year reduction in water usage.
• Exceeded 2023 project-based energy reduction goal by nearly a million kWh per year, saving or avoiding 15.8 million kWh per year of energy.
• 72% of worldwide facilities eliminated targeted single-use plastics in required areas by the end of 2023.

Social Achievements

• Advancing clinical trials investigating a twice-yearly injectable to prevent HIV transmission, with a strong emphasis on reflecting diverse populations.
• Brought Trodelvy® to thousands of people with cancer; approved for two types of metastatic breast cancer and has accelerated approval in the U.S. for metastatic urothelial cancer.
• Further reduced the median delivery time for CAR T-cell therapy to an industry-leading 14-day turnaround time in the U.S.
• Voluntary licensing programs provided access to HIV treatments to more than 20 million people in low-income and lower-middle-income countries.
• Donated nearly $300 million to multiple programs and partner efforts aligned with the mission.

Governance Achievements

• Active Board involvement in ESG oversight; majority of Board members have ESG experience.
• Updated Supplier Code of Conduct to address key ESG-related topics more comprehensively.
• Exceeded 2021 pledge to spend $1 billion with diverse suppliers from 2021 through 2025, exceeding that goal by spending over $1 billion between 2021-2023.

Climate Goals & Targets

Environmental Challenges

• Barriers to accessing life-changing medicines, including systemic barriers that prevent access to life-changing, life-saving therapies.
• Climate-related risks such as severe weather, drought, and wildfires impacting business continuity.
• Transition risks, including the implications of healthcare system net-zero initiatives.

Mitigation Strategies

• Partnerships with communities, universities, and advocacy groups to remove barriers to care and improve health equity.
• Assessments and scenario analyses focused on physical and transition risks.
• Integrating climate risk assessment and management into functional responsibilities and reporting to senior management and the Board.
• Investing in energy efficiency, adopting renewable energy, and transitioning the fleet to EV/low-emission vehicles.

Supply Chain Management

Supplier Audits: 90% of direct and indirect suppliers attested to the Supplier Code of Conduct by the end of 2023 (based on spend)

Responsible Procurement

• Gilead Supplier Code of Conduct
• Supplier inclusion initiatives
• Supplier decarbonization initiatives

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather
• Drought
• Wildfires

Transition Risks

• Regulatory changes
• Market shifts
• Healthcare system net-zero initiatives

Opportunities

• Energy efficiency
• On-site renewable energy generation

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Biotechnology & Pharmaceuticals Standard 2018, TCFD, UNGC, UN SDGs, CDP Climate

Certifications: LEED, SITES, My Green Lab

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 4: Quality Education
• Goal 5: Gender Equality
• Goal 6: Clean Water and Sanitation
• Goal 7: Affordable and Clean Energy
• Goal 9: Industry, Innovation and Infrastructure
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 17: Partnerships for the Goals

Gilead's initiatives contribute to these goals through various programs and commitments.

Awards & Recognition

• Ranked No. 1 among philanthropic funders of HIV-related programs by Funders Concerned About AIDS
• Ranked fifth for pharma/biotech in CNBC’s JUST Capital’s JUST 100
• Received score of 100 on Human Rights Campaign Corporate Equality Index
• Improved score to A- on CDP Climate
• Received 5-star rating from Newsweek America’s Greenest Companies
• Ranked in top tier of pharma companies on Zicklin Political Accountability Scorecard
• Best Energy Achievement in Life Sciences award from Business Energy Achievement

Environmental Metrics

ESG Focus Areas

• Climate Change
• Environmental Sustainability
• Social Responsibility
• Governance

Environmental Achievements

• Exceeded 2023 energy reduction goal by nearly 1 million kWh per year, saving or avoiding 15.8 million kWh per year of energy and $1.3 million in energy-cost avoidance.
• Completed Foster City Levee Improvement Project, improving flood protection against storm surges and sea level rise through 2050.

Social Achievements

• Not disclosed

Governance Achievements

• Established a robust governance structure for managing climate-related risks and opportunities, with Board oversight and executive compensation tied to ESG goals.

Climate Goals & Targets

Environmental Challenges

• Potential vulnerability of Foster City headquarters to sea level rise (mitigated by levee project)
• Healthcare system decarbonization commitments and related supplier requirements
• Potential loss of revenue in countries with net-zero targets
• Increased operating costs due to carbon pricing
• Potential energy supply disruptions from increased reliance on renewable energy

Mitigation Strategies

• Foster City Levee Improvement Project
• Net-zero operations ambition (Scope 1 and 2) by 2030
• Sourcing 100% renewable energy by 2025
• Achieving carbon net-zero operational GHG emissions by 2030
• Supplier engagement and responsible sourcing strategy to reduce Scope 3 emissions
• Energy efficiency measures and on-site solar installations
• Business Impact Assessment (BIA) framework to assess residual risks

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier engagement on climate-related issues

Climate-Related Risks & Opportunities

Physical Risks

• Extreme heat
• Average temperature increases
• Seasonal variation in rainfall
• Sea level rise

Transition Risks

• Carbon price
• Net-Zero Healthcare Systems
• Circular Economy
• Renewable Energy

Opportunities

• Cost savings from energy efficiency investments
• Enhanced corporate reputation
• Increased business resilience
• Cost savings from circular economy initiatives

Reporting Standards

Frameworks Used: TCFD, SBTi

Certifications: ISO 14064-3

Third-party Assurance: Third-party limited assurance for select data

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed