Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced carbon footprint by 7.2% since 2014
• Achieved over 70% waste diverted from landfills
• 4,000 unusable pallets diverted from landfill in six months
• 180,000 kWh saved annually by replacing light bulbs
• 250,000 gallons of diesel pollution avoided through transportation changes
• Reduced corrugate usage and waste by 40% through VMI program
• Reduced CO2e emitted per kg of coffee sold by 10.2% (intensity reduction)

Social Achievements

• Invested $890,984 in farmers through DTVS program
• Provided education to farmers on pest management, planting techniques, and financial planning
• Raised $10,600 for the Ronald McDonald House
• Provided 50,000 meals for the Tarrant Area Food Bank
• Implemented employee sustainability program

Governance Achievements

• 83.9% of green coffee importers committed to UN Global Compact principles
• 90.3% of green coffee importers have company-wide environmental initiatives
• Responsibly sourced coffee constitutes 24% of portfolio (up from 17% in 2015)

Climate Goals & Targets

Environmental Challenges

• Reaching zero waste to landfill
• Reducing carbon footprint by 80% by 2050
• Increasing farmer productivity and efficiency
• Gaining efficiencies in transportation

Mitigation Strategies

• Implemented a pallet recycling program
• Partnered with third-party logistics providers to optimize truck routes
• Used telematics devices in vehicles to improve route efficiency
• Implemented Vendor Managed Inventory (VMI) program
• Provided training and resources to farmers
• Switched to a 3PL solution for long-haul fleet

Supply Chain Management

Supplier Audits: Sustainability surveys sent to top 100 non-coffee suppliers

Responsible Procurement

• Direct Trade Verified Sustainable (DTVS) program
• Responsibly sourced coffee
• UN Global Compact principles

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Social Responsibility
• Economic Viability

Environmental Achievements

• Achieved zero-waste goals in all roasting plants and distribution centers
• Diverted 79% of waste from landfills company-wide
• Reduced natural gas intensity
• Reduced on-road fuel consumption
• Reduced water intensity
• Reduced electricity intensity

Social Achievements

• Expanded direct trade program to 19,187 growers in six countries
• Invested $4.1 million in coffee growers and their farms
• Implemented Project D.I.R.E.C.T.™ to improve social and economic practices
• Empowered women in coffee farming
• Provided training and support to coffee growers

Governance Achievements

• Disclosures to CDP, GRI, ISS, and SBTi garnered support from stakeholders
• Advocated for business partners to comply with UN Global Compact principles
• Enhanced vendor code of conduct system to improve supplier visibility and accountability

Climate Goals & Targets

Environmental Challenges

• Achieving 100% sustainably sourced coffee
• Achieving 100% traceability to the farm level
• Addressing food security issues in coffee-growing communities
• Maintaining fair wages and full-time employee bonuses during crises

Mitigation Strategies

• Educating customers on the value of sustainably sourced coffee
• Using metrics and data to validate sustainably sourced distinctions
• Investing in training and technical assistance for coffee growers
• Building durable infrastructure to support coffee production
• Working with partners to improve traceability and transparency

Supply Chain Management

Supplier Audits: 100% of new suppliers surveyed for environmental and social criteria; 75% response rate

Responsible Procurement

• UN Global Compact principles
• Environmental and social criteria screening

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: LEED Silver Certification

Awards & Recognition

• LEED Silver Certification
• CDP Leadership Recognition

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• 11% CO2-eq emissions reduction compared to FY19
• 22% CO2-eq emissions reduction in Scope 1 and 2 GHG emissions compared to 2018 baseline
• 116% CO2-eq emissions reduction in Scope 3 GHG emissions compared to 2018 baseline
• 13M pounds total waste diverted (92% of waste diverted from landfill across all facilities; 100% zero-waste status achieved in roasting facilities since 2018)

Social Achievements

• Advanced food security in Colombia
• Supported farm infrastructure in Peru
• Empowered women in Rwanda
• Promoted diversified income in Nicaragua
• Gave back to communities affected by the pandemic through food donations and local sales in warehouses
• Provided employees with PPE and supported their shift to remote work
• 87 communities impacted by pop-up sales events

Governance Achievements

• Aligned carbon-reduction targets to the Science Based Targets initiative (SBTi)

Climate Goals & Targets

Environmental Challenges

• Global pandemic impacting business and sustainability initiatives
• Reduced demand for products due to restaurant closures
• Logistics complications associated with COVID-19

Mitigation Strategies

• Adapted practices to keep business strong and sustainability initiatives moving forward
• Created new efficiencies in distribution network (reduced carrier capacity, consolidated frozen facilities, shipped direct-to-restaurant, tested telematics)
• Offered products directly to consumers through pop-up sales at warehouses and branches

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Project D.I.R.E.C.T.™ program (direct trade with premiums for sustainability projects and training)

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI

Certifications: Rainforest Alliance Certified™, Fair Trade Certified™, Organic

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Partnership with NuZee to provide eco-friendly single-serve coffee options

Awards & Recognition

• Texan by Nature 2020
• Texas Monthly 2020
• CDP Supplier Engagement Leaderboard: top 7% for supplier engagement on climate change

Environmental Metrics

ESG Focus Areas

• Climate Change
• Responsible Sourcing
• Zero-Waste
• Supplier Engagement
• Community Development
• Human Rights

Environmental Achievements

• Reduced Scope 1 and 2 GHG emissions by 41% from a 2018 base year
• Reduced Scope 3 GHG emissions by 26% from a 2018 base year
• Reduced product delivery miles by 42% with the opening of the Rialto, CA distribution center
• Achieved 77% waste diversion from landfills company-wide
• Roasting facilities achieved "Zero-Waste" status (90%+ waste diversion)

Social Achievements

• Donated $42,048 worth of coffee and culinary products to food banks and community organizations
• Project D.I.R.E.C.T. program in Colombia fostered improvements in food security, water efficiency, and coffee tree renovations
• Empowered 200 women in Colombia with business training and microloans
• Provided 23,250 frost-resistant coffee plantlets to Brazilian producers
• Supported a sewing training center in Rwanda, training 39 women

Governance Achievements

• Listed on the Carbon Disclosure Project’s (CDP) Supplier Engagement Leaderboard with a "B" rating
• Aligned carbon-reduction targets to the Science Based Targets initiative (SBTi)

Climate Goals & Targets

Environmental Challenges

• Global supply chain disruptions
• Meeting ambitious Science Based Targets (SBTs) while navigating pandemic-related business fluctuations

Mitigation Strategies

• Opened new West Coast distribution center to improve efficiency and reduce transportation miles
• Increased reliance on rail transportation
• Implemented creative solutions to address supply chain challenges while maintaining sustainability goals
• Continued investment in programs and practices to achieve SBTs

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Direct Trade relationships
• Project D.I.R.E.C.T. program
• Collaboration with suppliers on climate action

Climate-Related Risks & Opportunities

Physical Risks

• Frost events (Brazil)

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Science Based Targets initiative (SBTi), GRI

Certifications: Rainforest Alliance Certified™, Organic, Fair Trade Certified™

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• TxN 20 for corporate conservation (3 consecutive years)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Waste Reduction
• Responsible Sourcing
• Community Engagement
• Employee Well-being
• Supplier Sustainability

Environmental Achievements

• Reduced GHG emissions by 27% from 2018 baseline (Scope 1, 2, and 3).
• Reduced Scope 1 and 2 emissions by 39% from 2018 baseline.
• Reduced Scope 3 emissions by 26% from 2018 baseline.
• Increased waste diversion from landfill to 79%.

Social Achievements

• Donated almost $20,000 in coffee and culinary products to food banks.
• Supported the National Organization on Disability (NOD).
• Launched a sustainability internship program.
• Implemented Project D.I.R.E.C.T.® program in Colombia, Brazil, Nicaragua, improving livelihoods of coffee growers.

Governance Achievements

• Included in CDP's 2022 A-List.
• Selected to CDP 2022 Supplier Engagement Leaderboard for the third consecutive year.
• Received the TxN 20 award from Texans by Nature for the fourth consecutive year.

Climate Goals & Targets

Environmental Challenges

• Global supply chain disruptions affecting traceability data.
• Rising fertilizer costs in Brazil.
• Criminal activity impacting coffee farms in El Salvador.
• Inflation and socio-political situation in Peru affecting coffee growers.

Mitigation Strategies

• Increased use of rail transportation.
• Partnering with mills at origin using renewable energy.
• Refurbishing brewing equipment through Revive Service & Restoration.
• Promoting food security through community food gardens in Peru.
• Providing technical assistance and training to coffee growers.

Supply Chain Management

Supplier Audits: 35 coffee suppliers and 64 allied suppliers signed standard agreements addressing environmental and social criteria.

Responsible Procurement

• Project D.I.R.E.C.T.®, Direct Trade, Fair Trade Certified™, Rainforest Alliance Certified™

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• CDP A-List, CDP Supplier Engagement Leaderboard, TxN 20 Award