March 31, 2010
Enhancing Our Commitment to a Sustainable Future 2010 Report
Related Studies & Resources
Business Roundtable member companies are committed to working with policymakers, NGOs and consumers to make their communities stronger and more sustainable, their products greener and more innovative and their operations cleaner and more efficient. Enhancing Our Commitment to a Sustainable Future 2010 tells their stories and explains what they are doing to promote better business and a better world.
DEAR BUSINESS LEADERS AND STAKEHOLDERS:
As Chair of Business Roundtable’s Sustainable Growth Initiative and on behalf of the members of Business Roundtable, I am proud to share with you the third annual Business Roundtable Sustainability Report — Enhancing Our Commitment to a Sustainable Future. In it, you will find innovative and practical business solutions from more than 90 of our chief executive officers (CEOs) to address the challenges of climate change and energy as well as other pressing sustainability issues.
Year after year, Business Roundtable members are building and expanding their efforts around sustainability. This year’s report includes more companies than ever before and highlights examples of how sustainability is helping to drive efficiency in operations as well as innovation and growth opportunities that deliver direct financial value. Each approach may be different, but the report demonstrates how sustainability has become part of ongoing business. For many companies, it is not only integrated into day-to-day operations but has become part of the culture and is clearly linked to ongoing success.
After reviewing Enhancing Our Commitment to a Sustainable Future, I believe you’ll appreciate the dedication and rigor with which many CEOs and their employees are working to make their companies more sustainable and to contribute to a better future for us all.
Michael G. Morris
Chairman, President and CEO
American Electric Power Company, Inc.
A. O. Smith
As North America’s leading supplier of residential and commercial water heating equipment and a major manufacturer of electric motors, A. O. Smith Corporation has been concerned with energy efficiency for more than 30 years. In 1976, during the first “energy crisis,” we introduced The Conservationist®, the first high-efficiency residential water heater, as well as a line of Conservationist® energy-saving motors.
Today, with energy efficiency and sustainability at the forefront of consumer attention, A. O. Smith remains committed to developing products that help its customers save energy and money. We were the first to introduce a commercial water heater capable of achieving 94 percent efficiency, and the Cyclone® line of water heaters is our best-selling commercial product. We followed with a line of 94 percent efficient residential water heaters designed for households that use large quantities of hot water. The company’s research into energy-efficient electric motors has resulted in new products for residential and commercial air conditioning applications as well as our Green Choice™ line of high-efficiency fractional horsepower motors for commercial refrigeration applications.
This year, we will introduce a wide array of new products: a hybrid-electric heat pump water heater, a unique hybrid gas water heating product, the highest-efficiency atmospheric water heater on the market, solar water heaters, high-efficiency pump motors for the swimming pool market and a high-voltage product that can help enhance system efficiency in commercial chiller applications.
The impact of these products can be sizable. In a recent white paper, our advanced engineering group determined if consumers replace their existing water heaters with high-efficiency designs, depending on the technologies chosen, annual savings could be as high as a 30 percent reduction in natural gas usage (the equivalent of the average annual gas consumption of 4.8 million homes) or a nearly 68 percent reduction in the amount of electricity needed (the equivalent of the average annual electricity usage of 18.7 million homes). These units would emit 118,071,305 tons of greenhouse gases per year — an annual reduction of 154,381,899 tons (or approximately 56.7 percent), equivalent to the emissions of 25.7 million cars, the energy use of 12.4 million homes or the greenhouse gas emitted by 30.2 coal-fired power plants.
A. O. Smith will continue to explore new technologies that offer the promise of improved energy efficiency, creating a positive impact on our environment and enhanced comfort and convenience for our customers worldwide.
Paul W. Jones
Chairman and CEO
ABB’s commitment to sustainability spans nearly 20 years and encompasses not only environmental but social considerations as well. Since its inception in 1992, the company’s Sustainability Affairs organization of more than 400 professionals has introduced and managed internal programs to reduce the use of hazardous materials, improve energy efficiency, and bolster health and safety at ABB facilities around the world.
Today, ABB is a leader in sustainable business practices. Since 2001, the company has used a triple bottom line approach to reporting financial, environmental and social performance inspired by the Global Reporting Initiative and has reported on environmental sustainability since 1993.
Our focus on sustainability has produced tangible results, often in the form of substantial cost savings. One facility in Florida, for example, cut energy consumption by 13 percent simply by more effectively controlling air conditioning and lighting systems. In 2008, the company as a whole increased its production volume by 20 percent while energy use remained virtually unchanged.
As substantial as these accomplishments are, our greatest contribution to making the world a better place lies in what we do for our customers. For example, ABB has delivered more than 15,000 generators and more than 6,000 transformers used in wind turbines around the world, and ABB control systems are being used to manage the world’s first commercial scale solar thermal power plants.
ABB is committed to eliminating waste and improving efficiency along the entire energy value chain. Our products optimize power plants to generate more power from less fuel, increase the efficiency of industrial motors that use one-fourth of all electricity, cut fuel consumption in ships by up to 20 percent, and reduce waste and downtime in a wide variety of process industries.
ABB’s low voltage drives alone save the equivalent of the energy used by more than 30 million homes every year and avoid the emission of more than 140 million tons of CO2.
In fact, if you look at the electric power delivery system from input fuel to end use, ABB technologies can improve the efficiency of the entire energy supply chain by 30 percent. This not only translates into significant economic savings but pays enormous environmental dividends as well.
Above all, we at ABB see ourselves as engaged members of the global community and the local communities where our 120,000 employees live and work. I am proud of our continuing effort to deliver “power and productivity for a better world.”
President and CEO, ABB Inc.
At Abbott, safeguarding the environment is an important part of our longstanding mission to improve people’s health. We are committed to doing our part to help address global climate change and have identified several strategic priorities in this area, including reducing greenhouse gas emissions and increasing our use of cleaner and renewable energy. We’re also focused on minimizing our environmental impact by conserving water and expanding the use of sustainable product packaging.
This continued commitment to sustainable business practices and environmental performance led to Abbott being named to the Dow Jones Sustainability World Index for the fifth consecutive year in 2009.
Environmental sustainability is integrated across our company. We take a results-oriented approach to our environmental work and have set measurable goals in our prioritized areas to track and report on our progress. A few examples of our efforts:
- Abbott has significantly reduced its dependence on fossil fuels and use of electricity in recent years, including reducing oil and coal use by 35 percent and electricity use by 32 percent.
- Abbott was the first Fortune 500 company to go “carbon neutral” with its U.S. auto fleet — the equivalent of taking 12,000 cars off the road. This is accomplished through the use of hybrids and other fuel-efficient vehicles and by purchasing verified carbon credits to offset remaining emissions.
- We are investing in renewable energy sources such as solar energy and installing energyefficient equipment at our facilities. We have also increased our use of cleaner energy, such as natural-gas-powered co-generation technology that produces electricity and uses waste heat to generate steam for heating and other purposes.
- Abbott is saving 1 billion gallons of water annually as a result of a comprehensive global effort to significantly reduce the use of water in our production processes.
- We are reducing the amount of packaging used in our products through more than 40 sustainable packaging initiatives across our nutrition, pharmaceutical and medical products businesses.
Looking ahead, all of Abbott’s businesses are committed to examining their manufacturing processes and product packaging to develop sustainable approaches that will further advance our environmental performance. We look forward to sharing our continued progress in the years to come.
Miles D. White
Chairman and CEO
Accenture’s approach to sustainability and corporate citizenship capitalizes on our people and their ability to help clients achieve high performance, and it reflects our responsibility to make a difference in the communities in which we live and work.
Our Sustainability Commitment
Last year, we significantly enhanced our commitment to environmental sustainability and stewardship. We set environmental reduction targets and achieved our initial target of a 25 percent reduction in carbon dioxide emitted per employee, measured against our FY07 baseline. We also used new technologies, such as telepresence, to reduce noncritical travel.
We achieved global International Organization for Standardization 14001 certification for 53 locations, remained on Dow Jones’ Sustainability North America Index for the fifth consecutive year and improved our Carbon Disclosure Project score significantly.
Additionally, we are a signatory of the United Nations Global Compact, we worked with the World Business Council for Sustainable Development on “Vision 2050: The New Agenda for Business” and, with the World Economic Forum’s Logistics and Transport group, we published the “Supply Chain Decarbonization” report.
Finally, in fiscal year 2009, we took our consulting, pro bono and financial-giving programs to a new level, aligning them around a single global theme, Skills to Succeed. The objective of Skills to Succeed is to help people develop skills that enable their participation in and contribution to the economies of the world.
With our corporate and public-sector clients, we are incorporating sustainability programs that can help drive business, improve performance and lead to long-term success. Our alliances, targeted research and innovation help clients respond to the pressures of climate change and adapt to a low-carbon economy, and we offer them sustainability training through the Accenture Supply Chain Academy’s Sustainability Curriculum.
Our work with smart grids helps the utilities industry respond to the challenges it faces, such as energy management, and increase its level of customer service. With Xcel Energy, we implemented the world’s first fully functional smart city, SmartGridCity™ in Boulder, CO. Additionally, the smart grid is at the heart of the Accenture Intelligent City Network, a by-invitation-only forum connecting utilities and cities to accelerate the deployment of smart grids.
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We are proud of our progress. Going forward, in true Accenture fashion, we will keep one foot in today, remaining closely tuned to challenges and changes — and one foot in tomorrow, working to make a sustainable difference in the long-term vibrancy and vitality of our people and communities.
William D. Green
Chairman and CEO
The ACE Group
At the ACE Group, a global insurance and reinsurance company, we recognize our responsibility not only to provide solutions that help clients manage risks associated with climate change but also to reduce our own environmental impact and make meaningful contributions to environmental causes.
Climate change is particularly important to the property and casualty insurance industry because natural catastrophes, such as hurricanes and other weather-related events, may be increasing in frequency and severity due to climate change and our business provides security against these property-related risks. Our industry also addresses the potential casualty liabilities that companies face as they respond and adapt to their changing environmental responsibilities.
ACE has been a pioneer in developing advanced environmental risk insurance solutions, including coverages for premises-based exposures, contractors’ and project pollution liability, and renewable energy and environmental cleanup projects. As organizations implement more green initiatives, ACE has responded with environmental engineering and consulting services, including Leadership in Energy and Environmental Design (LEED) consulting, and a property policy that enables rebuilding to a greener standard after a loss.
Our company also is focused on reducing its own carbon footprint around the world. As a partner in the U.S. Environmental Protection Agency’s Climate Leaders program, in 2008 ACE set a goal to reduce its global greenhouse gas emissions by 8 percent per employee by 2012. In 2009, through several energy and water conservation improvements and recycling efforts, our North American headquarters building in Philadelphia became the only LEED-certified existing building in the city.
To engage our more than 15,000 employees worldwide in our environmental efforts, ACE launched the ACE Green program. Nearly 200 local employee committees are taking steps such as powering off office equipment, reducing waste through recycling programs, and participating in volunteer cleanup days in their local communities. ACE also has adopted a purchasing policy in the United States that emphasizes products that either contain recycled material, are manufactured locally or reduce energy consumption.
The environment is a priority in our corporate philanthropy as well. For example, major grants from the ACE Charitable Foundations in 2009 are helping to improve sustainable agriculture in Peru, stabilize and diversify crops in Indonesia, and preserve sensitive lands across the United States.
In recognition of this range of environmental efforts, ACE was listed 9th in the banks and insurance sector and 103rd overall in Newsweek’s 2009 Green Rankings of the 500 largest U.S. companies.
To learn more about ACE’s environmental activities, please visit us at www.acegroup.com.
Evan G. Greenberg
Chairman and CEO
If we want to achieve lasting growth in the post-crisis world, all of us — businesses, governments and consumers alike — need to identify sustainable solutions for the challenges posed by global megatrends such as shifting global demographics, urbanization and energy scarcity. These challenges call for a new approach — one in which technology innovation plays a major role and environmental stewardship is a shared responsibility among all of us. Aluminum — and the sustainable ways we at Alcoa provide it — contributes in significant ways to a sustainable, growth-oriented future.
Aluminum is indeed a miracle metal. Strong yet lightweight, aluminum improves fuel efficiency and reduces emissions in cars, trucks and airplanes. In fact, lifecycle modeling shows that by 2030, emissions of the entire aluminum industry can be offset by the potential emissions savings from the transportation sector’s increased use of aluminum. In fast-growing urban areas, aluminum is an essential component of green buildings, mass transit and infrastructure. And its infinite recyclability makes it the preferred packaging material of consumers as it is able to stay out of landfills forever.
At Alcoa, we are continually setting the bar higher for ourselves when it comes to sustainable business. In 2009, we redoubled our efforts to integrate sustainability into our business strategy, across every group and business. By focusing on our carbon and energy footprint, the lifecycle of our products, and the opportunities for product and technology innovations to offer sustainable solutions for our customers, we’re challenging ourselves with aggressive targets and a broader mindset about improvement among our employees.
We committed to achieving a 25 percent reduction from 1990 levels in total direct greenhouse gas (GHG) emissions from our worldwide production by 2010. Alcoa reached that goal seven years ahead of schedule, and through 2009, we’ve achieved a 43 percent reduction in GHGs. We are constantly evaluating our energy portfolio with a preference for no- or low-carbon sources, and today, about 60 percent of our smelters are powered by clean, renewable hydropower.
Another important path to sustainability is recycling, which saves 95 percent of the energy used to make aluminum from ore, reducing about nine tons of CO2 per ton of virgin aluminum. Alcoa is helping to drive the industry’s aluminum can recycling rate to 75 percent by 2015, ensuring that more aluminum cans are back on store shelves in just 60 days. Infinitely recyclable, it’s no wonder that 73 percent of all aluminum produced in the past 120 years is still in use.
President and CEO
CEO Statements cont. A - B
In 1929, my grandfather founded a company based on values placing the customer first and viewing people as our greatest strength. For 80 years, Altec has been a world leader in providing products and services for the electric utility, telecommunications and contractor markets. We now offer those products and services in more than 100 countries throughout the world.
At Altec, we listen and create solutions for our customers, the latest of which is our commitment to sustainability on all levels: societal, economic and environmental. Our customers come to us with sustainability concerns, and we focus on supplying them with effective and innovative answers. We have taken Altec’s initial principles to a new level by acknowledging the tremendous challenges and opportunities we face to responsibly care for the environment and the communities in which we operate throughout the world.
Altec’s lead sustainability project is manufacturing units with hybrid and all-electric technology to reduce greenhouse gas emissions, fuel consumption and noise pollution. Our initial partnership with Eaton, Navistar International and the Hybrid Truck Users Forum to develop a diesel/electric hybrid utility vehicle yielded, after 200 million miles in the field, a reduction in fuel consumption and greenhouse gas emissions by 50 percent. In 2009, we partnered with Smith Electric Vehicles to produce the first all-electric bucket truck in the nation for our industry. We also offer biodegradable lubricants that are nontoxic and carry the highest available biodegradability rating. Our vacuum infusion fiberglass manufacturing uses 30 percent less resin and reduces styrene emission by more than 60 percent.
Every Altec facility actively engages in a recycling plan for steel, copper and machine tools used during manufacturing, including recycling steel plate skeletons, machine turnings and copper wire remnants. Altec’s electronic invoicing program provides paperless business transactions, and we maintain a strict policy of using recycled boxes and packaging when shipping materials. Lastly, Altec only purchases paper products from companies certified by the Sustainable Forestry Initiative.
Our societal commitment remains a central focus of our sustainability initiatives. Altec consistently works to promote safe work practices and reduce work site incidences. The Altec SENTRY Operator Safety Training Program trains and certifies equipment operators on safe and proper use of truck-mounted machines. In addition, Altec has established an alliance with the Occupational Safety and Health Administration to develop work safety programs focused on eliminating work site fall and electrocution hazards.
By creating products and initiatives to reduce greenhouse gas emissions, developing alternative energy products, and increasing fuel and operating efficiencies, Altec is establishing a sound environmental protection approach. We support sustainability throughout our products’ life cycles and aim to create environmental stewardship solutions that contribute to sustainable change and economic growth.
Lee Styslinger, III
Chairman and CEO
American Electric Power
Sustainability has become a priority at American Electric Power (AEP) as we evaluate our business processes, our relationships with stakeholders, our technology and our work force to ensure that we can meet the needs of today without sacrificing our future.
Those efforts took a giant step forward in 2009 as we built the world’s first integrated project to both capture and store carbon dioxide (CO2) from a coal-fueled generating plant. Developed with the help of our technology partner, Alstom, this validation project at our Mountaineer Plant in West Virginia is addressing one of the key issues in the electric utility industry — how to make domestic coal a more sustainable fuel.
Using Alstom’s chilled ammonia process, we are capturing CO2 from 20 megawatts of Mountaineer’s post-combustion gases and storing it about 1.5 miles underground in deep geologic formations. In December 2009, we received notification of a $334 million grant from the U.S. Department of Energy to fund up to 50 percent of the cost to expand the project to commercial scale and to capture and store approximately 1.5 million metric tons of CO2 per year from the plant.
As we focus on a more sustainable energy future, we can’t forget the infrastructure necessary to support that future. Before renewable energy can supply a significant portion of our energy needs, the United States must develop an efficient, extra-high-voltage (EHV) transmission grid to get that power to market. EHV transmission technology, pioneered in the United States by AEP, can deliver more energy in a smaller footprint than other transmission alternatives. AEP strongly advocates for the development of a robust EHV transmission network to allow our nation to take full advantage of its renewable energy potential.
Additionally, we must invest in technology to give individuals the tools to make wise energy choices. AEP is installing smart grid technology on more than 1.1 million meters to give customers more control over their energy usage and bills. As important, it will allow our company to operate more efficiently by reducing electricity lost in transport, improving reliability, reducing travel through automation and expediting restoration when we do have outages.
At AEP, sustainability is more than just focusing on the environment. It’s about people. We have intensified our stakeholder interaction efforts and are meeting regularly with both our fans and critics to ensure that we better understand their interests and they better understand ours. We also have stepped up efforts to improve our safety performance because we want every AEP employee to return home safely every day. By focusing on the interests of our employees, our partners, our communities and our investors today, we help ensure that we’ll be around to meet their needs tomorrow.
Michael G. Morris
Chairman, President and CEO
Anadarko is … Committed to Responsibility and Sustainability
Energy is fundamental to physical existence. It is as important as clean air, water and affordable food. We take our responsibility very seriously to find and produce the energy resources necessary for the world’s health and welfare. In doing so, Anadarko is committed to doing the right thing in a sustainable manner for our environment, for the safety of our employees and communities, and for the benefit of all of our stakeholders.
Demonstrating Our Commitment
In 2009, Anadarko was recognized on several occasions for our environmental performance. The company was named the Natural Gas STAR Processing Partner of the Year by the U.S. Environmental Protection Agency (EPA) and earned the Continuing Excellence Award from the EPA as well. Anadarko’s headquarters facility became the first office complex to earn Leadership in Energy and Environmental Design (LEED) Certification in The Woodlands, TX. In addition, Anadarko was recognized by the Carbon Disclosure Project for the company’s transparent approach to climate change disclosures and listed in Newsweek magazine’s Green Rankings.
Contributing to a Cleaner and More Secure Energy Future
As one of the largest natural gas producers in the United States, Anadarko is leading the way toward a cleaner, more secure energy future. Clean-burning natural gas is a great answer to many of the nation’s most challenging energy questions. It is the cleanest-burning hydrocarbon available. Its reliability makes wind and solar more viable by serving as a backup source of energy when the wind doesn’t blow and the sun dips below the horizon. Natural gas is domestic, as 97 percent of the natural gas used in the United States is produced in North America. It is the only realistic alternative to foreign oil as a source of transportation fuel. And it is abundant. With the advent of new shale gas plays in the United States, experts estimate there is more than a 100- year supply of natural gas that continues to grow with the development of new technology. No other energy resource offers all of these benefits and serves as a natural stimulus to the economy by creating jobs, tax and royalty revenue for local, state and federal government.
Anadarko is … Delivering Sustainable Value
We put our words into action every day. We are committed to our core values of integrity and trust, servant leadership, open communication and maintaining a commercial focus. We work to balance our exploration and production activities with sound environmental stewardship. Our employees understand the importance of conserving energy, giving back and volunteering their time to lift up our communities and support a sustainable future.
Chairman and CEO
Apache Corporation recognizes that climate change and energy usage are strongly linked. Two powerful goals focus our actions. We strive to optimize our own energy efficiency while at the same time providing a viable energy alternative — natural gas — that enables others to lower their emissions at the lowest possible cost. Society has good reasons to embrace natural gas at the expense of dirtier fuels. In North America, this abundant resource will provide greater energy security and transform the energy business as it creates jobs and wealth and reduces greenhouse gas (GHG) emissions.
Widespread and effective actions to reduce GHG emissions will fail unless they make economic sense. In a commodity business with expensive infrastructure, it’s a challenge to reduce emissions. Nevertheless, we are encouraged that Apache employees worldwide ask hard questions about our operations performance and leverage insights into solutions that create value and reduce emissions. We have undertaken significant engineering projects to realize our vision. At our North Sea Forties Field, we completed the installation of a gas ring main linking our facilities together in a manner that allows us to use field gas instead of diesel to fuel power generators and vastly reduces flaring. At our Western Desert Egypt operations, we recently completed a regional electrification project installing large natural gas turbines for power generation that allow us to retire hundreds of dirty diesel engines and make a significant reduction in emissions. At the Midale Field in Canada, we inject CO2 from third party coal gasification. In the United States, we are switching our field vehicle fleet of mostly pick-up trucks to natural gas fuel, and the Apache Tree Grant Program has funded planting 1.4 million trees. No doubt, we expect to do more.
The company plans to build significant new facilities, and we recognize that the best way to be efficient is to start with innovative designs that minimize both fuel use and emissions.
Apache tracks and reports its GHG emissions worldwide to the Carbon Disclosure Project as well as to authorities in Australia, Canada, the United Kingdom and the United States. As a growing company, it is unlikely that our gross GHG emissions will significantly decline, but as the world shifts to use more of our major product, natural gas, for power and vehicle transportation, total net emissions to the atmosphere will be reduced far more than our production emissions increase. We consider that progress.
G. Steven Farris
Chairman and CEO
ArvinMeritor, Inc., is a premier global supplier of a broad range of integrated systems, modules and components to original equipment manufacturers and the aftermarket for the transportation and industrial sectors. The company serves commercial truck, trailer and specialty original equipment manufacturers and certain aftermarkets and light vehicle manufacturers. Our sustainability strategy focuses on three broad performance areas.
Governance and Social Responsbility
Community service is ingrained in ArvinMeritor’s culture. Employees around the world support the company’s efforts to improve the communities in which we live and work, and each site has its own social responsibility strategy and plan of action for volunteerism and company engagement. Our charitable trust fund supports these efforts.
Our Board of Directors Committee on Environmental and Social Responsibility reviews our performance in these areas each year and charts our path forward.
Operational and Environmental Excellence
Our goal is to achieve best-in-class operational performance, including environmental and safety performance. In the environmental area, we track our performance and set goals using five metrics:
- Volatile organic compound emissions,
- Greenhouse gas emissions,
- Water consumption,
- Waste generation, and
- Waste recycling.
Today, our global facilities recycle 89 percent of all waste from operations.
Innovative Product Offerings
Our product development efforts are focused on product designs that reduce impact on the environment because they:
- Minimize the use of resources during their production;
- Have a longer useful life, reducing the impact of producing replacements; and
- Are designed to be recycled or reused at the end of their original lifecycle. Our remanufacturing business reconditions our parts and systems as well as those of other manufacturers, thus extending the life of parts.
The drive to reduce emissions and fuel consumption is spurring development and application of electric and hybrid-electric systems.
ArvinMeritor has two novel hybrid truck systems in development:
- Dual-mode hybrid-electric powertrain system for heavy-duty applications and
- Corner module electric drive system for medium-duty applications.
While both of these platforms are remarkably different in design and the market segments they serve, they share two important cornerstones — first, a holistic design approach that delivers substantial efficiency and total cost-of-ownership benefits beyond fuel usage from hybridization alone. Second, both systems are built on modular, similar electric drive platforms, which are optimized for the life and cost demands of the commercial vehicle industry.
Charles G. “Chip” McClure
Chairman, CEO and President
AT&T’s innovation and investment in this nation not only support economic recovery but they deliver sustainable environmental solutions to the country. Today, more than ever, our network connects people and businesses seamlessly and efficiently while minimizing our collective environmental impact and strengthening our connection to the world we all share. We’re committed to using our broadband network and global Internet Protocol data solutions as powerful tools to help millions of individuals and businesses reduce energy consumption and lessen reliance on fossil fuels.
We’ve also taken steps this past year to reduce our own environmental impact. We’ve furthered our efforts to lower our fleet emissions by deploying another 970 fuel-efficient vehicles in 2009. These vehicles are part of our pledge to deploy more than 15,000 alternative-fuel vehicles by 2019. Additional efforts include:
- Appointing our first director of energy to oversee AT&T’s companywide energy management efforts to reduce our energy consumption;
- Establishing an Energy Council responsible for advancing our energy strategy within the company and identifying and assessing ways to operate more efficiently; and
- Establishing and progressing toward a metric that measures our electricity usage intensity against the total amount of information transmitted over our network.
In addition, AT&T believes collaboration is vital in developing innovative approaches to measuring and improving energy efficiency. We’ve strengthened this commitment over the past year by:
- Joining the U.S. Department of Energy’s Save Energy Now LEADER program — an ambitious national public-private initiative to drive significant energy intensity and carbon emissions reductions across the U.S. industrial sector. Participating companies have pledged to reduce energy intensity by 25 percent or more over the next 10 years.
- Establishing the AT&T Business Sustainability Advisory Council to better quantify the carbon benefits of our products and services — and to help businesses make smarter sustainability investments. Joining us are the Carbon Disclosure Project, Cisco Systems, The Information Technology and Innovation Foundation, the University of Colorado Denver, and the University of Texas.
I take our commitment seriously, as does our Board of Directors. We’re proud of the progress we’ve made — but we know there’s more to be done. We’ve embraced this challenge with the same passion and leadership we bring to every part of our business to help build a better company, a better world and a more sustainable future.
Chairman and CEO
As a global leader in engineering and construction, Bechtel helps our customers find innovative and practical solutions to meet their sustainability goals. Our vision supports this approach — “we plan and act for the future, for the long-term good of our company, our customers and our world.”
As customers and policymakers address energy requirements in the years ahead, Bechtel brings deep experience in oil and gas production, oil refining, gas processing and liquefaction, and power generation technologies.
We apply technology to increase efficiencies; reduce and control air and water emissions; and apply environmental, safety and health principles to design, construction, commissioning and operations. On the Darwin, Australia, liquefied natural gas (LNG) plant, for example, we have worked with our LNG partner to implement the first use of more efficient aero-derivative gas turbines for driving refrigeration compressors at the plant. This innovation has now been adopted by other customers for improving new LNG plant design.
In power generation, we have been involved for more than 30 years in emerging technologies and renewable energy, with experience in carbon capture, solar thermal, photovoltaic, wind, geothermal, integrated gasification combined-cycle, energy-from-waste and biomass projects.
Recently, we were chosen to design and build one of the world’s largest solar thermal power complexes in California. It will generate enough electricity to run 140,000 homes and reduce carbon dioxide emissions by more than 450,000 tons per year — the equivalent of taking more than 75,000 cars off the road.
We help our customers reduce emissions of global warming gases on their traditional power projects as well. We are using state-of-the-art cleaner coal technology on a new power plant and are constructing others with advanced air quality control systems. We have long been a leader in the construction of nuclear power plants, which will bring clean energy to millions in the coming years.
We support our customers as well in meeting the highest internationally recognized environmental design and building standards, including BRE Environmental Assessment Method and Civil Engineering Environmental Quality Assessment and Award Scheme in the United Kingdom and Leadership in Energy and Environmental Design (LEED) in the United States. We achieved LEED Platinum certification at our Washington, DC, office.
We also are committed to hiring local suppliers whenever possible and training local workers in skills that will allow them to gain meaningful employment beyond the construction phase. For example, on the Angola LNG project, we trained more than 3,800 Angolans in basic job skills and nearly 1,000 in advanced craft skills. We provided capacity-building support to 27 local suppliers, many of which have provided materials for the project.
At Bechtel, we eagerly do our part to help our customers and communities wherever possible reach sustainability goals that will benefit all of us.
Riley P. Bechtel
Chairman and CEO
BNSF is committed to operating in a way that protects the environment, our employees, our communities and the economy overall.
Railroads are the most environmentally friendly and energy-efficient modes of surface transportation, and BNSF is among the industry’s leaders in protecting our air, land and water. With our strong commitment to protecting the environment and operating in the most efficient manner possible, BNSF plays a vital role in our nation’s economy while reducing emissions, saving fuel and relieving highway congestion. Our environmental stewardship contributes to the long-term sustainability of the communities we serve.
Climate change continues to be a major concern for the global community. BNSF is focused on the potential impact of changes in our climate and our role in protecting the environment. Each year, BNSF reduces GHG emissions by more than 30 million metric tons by moving shipments over rail rather than by truck.
Overall, shipping by BNSF can save Americans an average of 200 pounds of greenhouse gas emissions per American per year, which is the equivalent of planting 37 trees for each person living in the United States.
As our nation continues to explore additional ways to reduce emissions and bring greater energy independence, BNSF is working with manufacturers to develop locomotives that can get the job done with a lower impact on our environment. From fuel-saving, lower-emissions Gen-Set locomotives to liquid-natural-gas-powered hybrids to our development of an experimental hydrogen fuel cell locomotive, BNSF is improving emissions through the use of alternate energy where possible.
Additionally, BNSF’s newest diesel road locomotives are 15 percent more fuel efficient than older locomotives and produce fewer emissions. And almost all of BNSF’s locomotives are equipped with idle control technology that helps prevent excessive idling by shutting down the locomotive automatically.
We know we play an essential role not only in meeting today’s transportation needs but also in building a transportation network to serve future generations. This is why we work hard to minimize our impact on the planet; reduce energy consumption; maintain a commitment to safety; and contribute positively to our communities, the country and the economy. With lower emissions and fuel-efficient operations, “ship more by rail” is the answer to many of the challenges facing our nation’s infrastructure.
Matthew K. Rose
Chairman, President and CEO
The dream of more environmentally efficient air travel recently took flight when the new Boeing 747-8 and 787 jetliners lifted off the ground. These innovative airplanes are designed to be 16 to 20 percent more fuel efficient — and produce a much smaller carbon footprint — than the jetliners they replace.
Our company is committed to bringing the same technical leadership and innovation to addressing the serious issues of climate change and protecting our environment.
Boeing engineers and technicians, working with leading researchers and industries around the world, are pioneering ways to develop biofuels from algae and other feed stocks that do not compete with food crops for land or water. We have proven that these sustainable fuels, which have a smaller lifecycle carbon footprint than petroleum-based products, can efficiently power commercial flight. Now we are working closely with our government customers to explore sustainable biofuel applications for fighter and transport aircraft.
In applying innovations developed to meet complex aerospace and national-security challenges, we are working with the U.S. Department of Energy and local utilities to provide smart grid technology that will improve the efficiency and security of power-distribution systems. And we are adapting the clean technology that powers satellites and the International Space Station to produce the most efficient way to convert sunlight into electricity here on Earth.
Boeing employees demonstrate this same leadership spirit every day as they discover new ways to make our own operations cleaner and more efficient. Since 2002, on a revenue-adjusted base, we have reduced our CO2 emissions by 31 percent, cut our energy consumption by nearly onethird and reduced the amount of hazardous waste we generate by 38 percent.
Our actions go beyond our own products and factories. That’s why Boeing is working with suppliers, customers and competitors to improve the environmental footprint of the entire aerospace industry. This starts with research and development targeted at enhancing the environmental performance of our facilities, products, services and air-traffic systems; it even extends through recycling aircraft when they reach the end of their productive lives.
We recognize that climate change is a significant global issue. We also believe that the innovative spirit that conquered seemingly impossible challenges like putting humans on the moon will help us pioneer new technologies to reduce greenhouse gases, solve environmental issues and enable people around the world to continue to grow and prosper.
Chairman, President and CEO
CEO Statements cont. C
Sustainability is good business — it helps businesses become more effective, more efficient and more socially responsible.
Sustainability is here to stay. It is not a fad or a flavor of the month. The increased demands on natural resources and concerns over a diminishing supply have led to higher prices for these resources, stronger regulations around the world, and greater awareness and pressure from stakeholders. There are many reasons why a business decides to begin its journey to become more sustainable — from minimizing costs to becoming better stewards of the environment.
At CA, we look at sustainability as an opportunity to reduce our environmental impact in a way that also promotes economic growth and business success. This approach led us to develop CA ecoSoftware, technology that helps organizations measure and manage energy, carbon and sustainability more effectively and efficiently. Other organizations can take a similar path, looking for opportunities to provide products and services that enable their customers — both other businesses and consumers alike — to be more sustainable.
Over the last two years, CA has reduced its global footprint by more than 30 percent. By improving our overall efficiency, we also were able to significantly reduce our operating expenses. We accomplished much of this through the implementation of our energy and sustainablity software and additional sustainability projects such as:
- Real estate consolidation;
- Policies and procedures that support energy-efficient offices;
- New telepresence technology that reduces travel between offices;
- More energy-efficient Voice over Internet Protocol technology for telephony that supports our work-from-home/telecommuting programs;
- Enhanced recycling programs across global office locations;
- Updated supply chain policies to provide for more socially and environmentally friendly office products and materials; and
- New programs to minimize waste in our cafeterias and reuse organic material for landscaping.
CA has a long history of working closely with government and industry groups. To support our focus on environmental, economic and social challenges presented by climate change, we are working closely with Business Roundtable, U.S. Council on Competitiveness, the World Economic Forum, the U.S. Environmental Protection Agency’s Climate Leaders, World Resources Institute, the Global Reporting Initiative, the Carbon Disclosure Project and CNBC’s Carbon Council.
As a leading provider of information technology management software, CA is committed to being a corporate citizen that creates value for customers, shareholders, employees and other stakeholders through our dedication to grow the company in environmentally and socially sustainable ways.
William E. McCracken
Chairman and CEO
For more than 80 years, Caterpillar Inc. has been making progress possible and driving positive and sustainable change on every continent. With 2009 sales and revenues of $32.4 billion, Caterpillar is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines and industrial gas turbines. The company also is a leading services provider through Caterpillar Financial Services, Caterpillar Remanufacturing Services, Caterpillar Logistics Services and Progress Rail Services. More information is available at www.cat.com.
Caterpillar products, services and solutions are deeply embedded throughout the energy value chain, from extraction to processing and delivery. Our business interests and the energy and climate-related challenges and opportunities facing the world are deeply interconnected.
Caterpillar supports intelligent, responsible public policies addressing climate and energy solutions. A changing global climate has significant commercial and environmental implications, and many governmental and intergovernmental organizations are implementing mechanisms in attempts to reduce greenhouse gas (GHG) emissions. Energy consumption is rising rapidly, driven by worldwide population growth, swiftly developing economies, improving global living standards and the growing use of more energy-dependent technologies. We know we cannot address climate change in a vacuum and that there is no single solution to providing globally abundant, secure, clean and reasonably priced energy. Caterpillar advocates an international approach to solutions that involve all major emitting economies. We believe that innovation will lead the way to new sources of energy and improved use of existing, abundant resources.
Caterpillar provides solutions that make our customers’ businesses more viable, combining technologies and services in unique ways to address changing customer needs. By integrating sustainability into our products, services and solutions, we ultimately enhance customer value and competitiveness. We’re focused on helping our customers respond to their business challenges — such as improving job site safety, finding environmentally responsible and profitable uses for by-products and commodities, increasing material and energy efficiency, and reducing GHG emissions.
Caterpillar is committed to protecting the long-term health and safety of everyone at Caterpillar and the environment in which we operate. By focusing on safety and efficiency, we save money, reduce our environmental footprint and improve employee satisfaction.
Sustainable development drives business opportunities. Increasing efficiencies, reducing waste and profitably growing the business will create and capture value for our customers, investors, employees, suppliers and other stakeholders. Caterpillar makes sustainable progress possible.
James W. Owens
Chairman and CEO
June 2007, CB Richard Ellis (CBRE) adopted a companywide environmental stewardship policy, including the goal of being carbon neutral by the end of 2010. Since then, we have developed a comprehensive platform of sustainable practices and programs for use in our own operations and in the properties we manage for clients.
CBRE’s 2010 carbon neutrality goal demonstrates our desire to lead by example. Since announcing our goal, we have implemented our carbon measurement methodology in accordance with the Greenhouse Gas Protocol, the global standard for carbon accounting, and benchmarked our global carbon footprint in 2008 (based on 2007 emissions). We are currently engaged in measuring our 2009 emissions and evaluating the carbon market offerings for offsets that are both financially and socially responsible. We intend to purchase the appropriate offsets in the first quarter of 2011 to achieve zero net emissions in accordance with our stated goal.
We have come to understand that this initiative’s greatest opportunity lies in our ability to influence property owners and tenants in the 2.2 billion square feet of space we manage globally.
CBRE has used our experiences in our own operations to develop programs and practices that we can implement for our clients. These include:
- Employing sustainability standards in all U.S. operations with similar implementations planned in Asia Pacific and Europe, the Middle East and Africa
- Creating and implementing low- and no-cost sustainability practices in line with the fiscal prudence required by the current economy
- Developing and employing green leasing standards in our offices
- Identifying and shaping employee behaviors that support a greener CBRE culture
Our clients are served by more than 400 CBRE client services professionals who have obtained the Leadership in Energy and Environmental Design Accredited Professional (LEED® AP) designation, which signifies an advanced knowledge in green building practices. Additionally, thousands of CBRE professionals have participated in our advanced training on sustainable practices, products and behaviors.
CBRE has forged key relationships with nongovernmental organizations and environmental specialists around the globe, including The Climate Group, The Natural Resources Defense Council, the World Wildlife Fund and numerous others. These advisory relationships ensure our initiative is aligned with emerging environmental best practices.
As a result of these efforts, CBRE has become recognized as a leader in introducing innovative and market-leading sustainability programs and has been honored by numerous agencies and organizations.1
We are proud to be at the forefront of our industry in forging sustainable solutions that benefit both our clients and the environment.
1 Since inception of CBRE’s environmental initiative, third-party validation of CBRE’s environmental practices include being ranked among Newsweek’s top 50 greenest large companies in America, being named a U.S. Environmental Protection Agency’s ENERGY STAR Partner of the Year for three consecutive years (including recent recognition for Sustained Excellence), being awarded the U.S. Green Building Council’s Leadership Award for Organizational Excellence, and being recognized with CoreNet’s special commendation for Sustainable Leadership and Design — Development.
Promoting sustainability is not just about addressing climate variation, energy, water or any other single issue. It requires a balance among interconnected challenges, including social and economic considerations, using an integrated approach. While the scope and complexity of these challenges can be daunting, there is tremendous — perhaps unprecedented — motivation for innovation and positive change. CH2M HILL is committed to providing the leadership and action to enhance the sustainability of our own organization and the clients and communities we serve.
Our company’s effects on the environment, people and the economy result from two distinctly separate spheres of activity: the conduct of our internal operations and the delivery of client projects. As part of our work, we are helping communities around the globe identify forwardlooking, low-impact ways to plan and construct infrastructure and meet natural resource needs. Some of our most rewarding projects are in helping these distressed communities work through conflicting agendas and bewildering technical options.
As a leader in the industry and one of the first engineering and construction companies to publish a sustainability report in 2005, CH2M HILL continues a tradition of excellence and transparency in reporting on our internal operations related to sustainability. The environmental effects of our internal operations are managed primarily through environmental management system (EMS) programs based on International Organization for Standardization 14001 guidelines. Currently, CH2M HILL has established formal EMS programs in North America, Spain and Australia.
The following is a sampling of our efforts and results in improving the sustainability of our firm’s operations via our North American EMS program:
- We operate the buildings at our Leadership in Energy and Environmental Design (LEED)- certified headquarters campus and regularly assess our energy-conservation practices. All campus buildings feature water-efficient fixtures, motion sensors to control lighting, comprehensive recycling options, and use of recycled and local building materials.
- We achieved a 30 percent decrease in paper usage per person from 2005.
- We purchased renewable energy credits equivalent to 15 percent of total North American facilities energy use in 2008.
As a firm, we continue to support the United Nations Global Compact principles, the World Business Council for Sustainable Development, Water for People, Engineers Without Borders — USA and many other organizations that are advancing sustainable solutions in diverse settings. We promote sustainability as part of our choice to do business differently, which has long been CH2M HILL’s approach in our own operations and in finding and delivering solutions for our clients.
Chairman and CEO
Chevron shares the concerns of governments and the public about climate change and recognizes that the use of fossil fuels to meet the world’s energy needs contributes to an increase in greenhouse gases (GHGs) in the Earth’s atmosphere. Based on current projections,1 the world’s consumption of energy is expected to grow 44 percent between 2006 and 2030, with the majority of that energy provided by fossil fuels, even as lower-carbon alternatives emerge. As Chevron works to reduce GHGs, our collective challenge is to create solutions that protect the environment without undermining the growth of the global economy.
Our multifaceted response to climate change involves seeking ways to reduce greenhouse gases from the use of fossil fuels, expanding the use of alternative fuels and renewables, and improving energy efficiency. Our Action Plan on Climate Change, now in its seventh year of implementation, continues to guide our activities, including emissions reduction, efficiency improvements, research investments, business opportunities and advocacy positions. Specific examples include:
- In 1992, we established the Chevron Energy Index to measure our progress. Since then, we have increased the energy efficiency of our global business operations by 30 percent.
- The two primary sources of Chevron’s GHG emissions are combustion, which occurs during operations, and flaring and venting of natural gas, a byproduct of crude oil production. Chevron’s total GHG emissions in 2008 were 59.6 million metric tons of CO2 equivalent, which surpassed our goal of 62.5 million metric tons.
- Chevron remains committed in our efforts to reduce routine flaring and venting in our operations. Since 2003, we have reduced these emissions by roughly 15 percent. Chevron’s flaring reduction standard is aligned with the Global Gas Flaring Reduction Partnership, a voluntary initiative led by the World Bank that is active in several developing countries in which we operate. As a member of the Global Gas Flaring Reduction Partnership, Chevron is implementing projects in Angola, Kazakhstan, Nigeria and several other locations to make significant GHG reductions.
- Chevron’s Gorgon Project, off the northwest coast of Australia, will include the world’s largest commercial-scale GHG injection site. Up to 3.4 million metric tons a year of CO2 will be injected and stored. Over the life of the project, it is anticipated that approximately 120 million metric tons of GHG emissions will have been avoided.
- Chevron is the largest private producer of geothermal power in the world. Our Darajat III geothermal power plant will avoid an estimated 650,000 tons of CO2 equivalent per year by providing clean, renewable power in Indonesia. The project has been granted approval from the United Nations’ Clean Development Mechanism to qualify for Certified Emissions Reductions.
- Since 2000, Chevron Energy Solutions, a subsidiary, has developed hundreds of projects including energy-efficiency and renewable-energy projects for government, education and business institutions. Chevron Energy Solutions is the largest installer of solar power for educational institutions in North America.
To support Chevron’s policy positions, the company developed its Seven Principles for Addressing Climate Change.2 These principles are used to guide Chevron’s work internationally and in the United States to build consensus on climate-change policy. The seven principles include global engagement; energy security; maximize conservation; measured and flexible approach; broad, equitable treatment; enable technology; and transparency.
John S. Watson
Chairman and CEO
1 Energy Information Administration, International Energy Outlook 2009 — World Energy Demand and Economic Outlook, www.eia.doe.gov/oiaf/ieo/world.html
There’s no denying that climate change is real, and the time to act is now. At Coca-Cola, our energy management and climate protection program is a critical part of our global sustainability agenda.
We’ve measured our carbon footprint, and we’re taking action around the world to manage it. The largest component of our footprint is found in the refrigeration equipment used to keep our beverages cold.
Our goal is to improve the energy efficiency of our cooling equipment by 40 to 50 percent by the end of 2010. We’re also phasing out the use of hydrofluorocarbons (HFCs) in all of our new equipment by 2015. This commitment to eliminate the use of HFCs will result in carbon emissions reduction of 52.5 million metric tons over the life of our equipment — the equivalent of taking more than 11 million cars off the road for one year.
The second largest element of our climate footprint is our packaging. With packaging, our vision is zero waste. Recycling and reusing packaging materials are the keys.
Last year, we opened the world’s largest plastic bottle-to-bottle recycling plant. The facility will produce approximately 100 million pounds of food-grade recycled polyethylene terephthalate (PET) plastic each year — the equivalent of nearly 2 billion 20-ounce Coca-Cola bottles. Recycling and reusing PET plastic uses less energy and reduces waste and greenhouse gases.
We also are working to increase our use of renewable materials in packaging. This year, we’re introducing PlantBottle™ packaging to a number of markets around the world. This recyclable packaging is made with up to 30 percent plant-based PET plastic. Research conducted by Imperial College London has indicated that the carbon footprint of PlantBottle™ material is better than traditional PET plastic made from petroleum-based material.
In our bottling plants, we’re working to stabilize emissions systemwide while also achieving a 5 percent absolute emissions reduction in developed countries by 2015. We are committed to growing the business without growing the carbon in our manufacturing operations.
Our climate protection initiatives have environmental benefits, but they have business benefits too. Consuming less energy can reduce our emissions, but it also can reduce our costs. Integrating green technologies into our manufacturing and distribution processes enables us to better connect with our customers and consumers who increasingly value and prefer businesses and brands that respect the planet we all share. We know we have more work to do, but we feel certain we can make a difference in helping shape solutions to reduce climate change.
Chairman and CEO
As a “born global” technology consulting and services company, we understand the importance of being a responsible global citizen. With more than 78,000 employees and data centers in India, Asia, Europe, the Middle East and the Americas, we know our business can have a profound impact on the environment.
Cognizant is committed to leading our industry in energy conservation, recycling and responsible waste management. We adhere to industry best practices aimed at protecting the world’s environmental health, and we actively support national and international climate-change policies and protocols such as the U.S. Environmental Protection Agency’s Climate Leaders program and the Carbon Disclosure Project.
Our “Go Green” Initiative, launched in 2008, is a companywide initiative — spanning human resources, operations, information technology (IT), marketing and other functions — that coordinates sustainability projects worldwide. Through simple measures such as PC power management — placing some 50,000 PCs into hibernation mode after hours — we saved an estimated 18.75 million kilowatt hours of electricity, $2.5 million in costs and 22,000 metric tons of CO2 emissions annually. Overall, our energy reduction program using Six Sigma techniques has reduced our per-capita energy consumption by 20 percent, and we are aiming to reduce it even further.
We are investigating renewable energy such as solar and wind to power our large IT development centers. Server virtualization has meant a 35 percent reduction in new server procurement annually, further saving energy costs. And through telepresence, we anticipate a 10 percent reduction in business travel that will cut Scope 3 carbon emissions by 2,800 metric tons annually. Ultimately, we hope to bring all our experience and successes to our clients in the form of green outsourcing solutions.
Importantly, Go Green would not be possible without the passion and volunteerism of our employees. The Green Brigade was formed to bring this passion to the forefront and to encourage “being the change you want to see” — not waiting for instructions but starting something, no matter how small. Recent events included a 20-kilometer freedom ride in Chennai, India, with 350 bicyclists promoting bike riding, a green poetry competition and even a green song.
Perhaps the greatest impact is a “green way of life” that employees are carrying into their personal lives. We are proactively teaching our employees best practices for shrinking individual carbon footprints. Collectively, these measures ensure that we operate in an environmentally friendly manner and drive sustainable economic growth.
President and CEO
Comcast has been a “local” company since our founding almost 50 years ago. Our connection to the communities we serve has always been important to us. We know that as an industry leader, we have the ability to help make a lasting and positive impact in the communities in which our employees live and work.
In today’s global economy, efficient use of natural resources increasingly depends on integrating innovative technologies into our lives. Studies like the Global e-Sustainability Initiative’s Smart 2020 report show that use of communication technologies such as broadband can significantly reduce global carbon emissions by reducing energy and fuel consumption. Practical examples include telecommuting, teleconferencing, and business-to-business and business-to-consumer commerce. So in many ways, growing our business means growing possibilities for “sustainability” and protecting our natural resources.
In addition, Comcast is incorporating sustainable initiatives into our daily operations. We have initiated a successful work-at-home program for customer service agents. We promote ecobilling, e-proxy and paperless paychecks to conserve raw materials and energy. Our corporate headquarters building in Philadelphia earned Leadership in Energy and Environmental Design (LEED) Gold certification from the U.S. Green Building Council and is currently the tallest LEEDcertified building in America. Additionally, we operate the 12th largest commercial hybrid fleet in the nation, and we are committed to hybrids for all future passenger vehicle purchases.
Responsible energy use is the right thing to do for our country, our business and the environment. This April, Comcast will host the first-ever meeting of SEMI — the Smart Energy Management Initiative. The collaboration, organized by the Society of Cable Telecommunications Engineers, will explore sustainable products and procedures, energy-efficiency standards, and strategies to reduce the cable industry’s overall energy footprint. Additionally, we recently completed rigorous energy assessments of our U.S. data centers and will implement the recommended adjustments to reduce our energy consumption. We see these initiatives as our responsibility as an industry leader and a good corporate citizen.
We are determined to meet the challenges of the new global economy with the same level of entrepreneurial determination that’s defined our company for almost 50 years. With leadership and innovation, we can contribute solutions for today’s environmental challenges while creating a more technologically advanced tomorrow.
Brian L. Roberts
Chairman and CEO
At ConocoPhillips, we believe ensuring the availability of secure, affordable and reliable energy while addressing the growth of greenhouse gas (GHG) emissions represents one of the key challenges for our industry and for society in the 21st century. As an integrated energy company with a global presence, we take seriously both the risks and opportunities associated with climate and energy policy. We are preparing, investing and engaging to address this challenge.
We are preparing our existing businesses to succeed in a low-carbon business environment through implementation of a comprehensive, multiyear climate-change action plan. As part of this plan, we measure and forecast the GHG emissions from our facilities and our products. We integrate climate-change considerations, including the current and future cost of carbon, into project development and strategic planning. And we continue to search for ways to reduce our own emissions through energy efficiency and improved operating practices.
We are investing in the production of cleaner-burning natural gas today, the most GHG-friendly fossil fuel. We believe natural gas will play an important role in a low-carbon world. ConocoPhillips is a leading natural gas producer, and we continue to explore ways to apply our liquefied natural gas expertise to unlock stranded gas in remote regions of the world.
The company also is pursuing innovative business opportunities that could help bring lowercarbon energy to market. These include research and development investments in CO2 capture and storage, coal gasification, biofuels, and other alternatives.
We are actively engaging in the development of climate-change and energy policy in the United States and other areas in which we operate. In 2007, we became the nation’s first U.S.-based integrated energy company to call for a mandatory national framework to address GHG emissions. Since that time, we have worked to advance the development of environmentally effective and economically sustainable climate-change policy in the United States.
We continue to advocate for sound national energy policy based on the principles of energy supply diversity, greater energy efficiency, technological innovation and sound environmental stewardship.
Through preparation, investment and engagement, ConocoPhillips will continue to help build a more secure and sustainable energy future for our customers, our shareholders and our world.
James J. Mulva
Chairman and CEO
Our success as a global information technology (IT) and business solutions company is directly allied with our commitment to running an ethical and sustainable business. And we recognize that sustainability requires comprehensive corporate responsibility efforts that include how we partner with our clients, treat our employees, engage in our communities, impact our environment and govern our company.
Our newly created Corporate Responsibility Office integrates these efforts for a global approach to sustainability in the 21st century. We are pleased to have won two awards that highlight our commitment to sustainability:
- The National Eagle Leadership Institute’s Award in Corporate Responsibility for our culture change, leadership development and diversity efforts; and
- A new “Green Award” from the Northern Virginia Technology Council that honors our commitment to environmental sustainability.
As part of our overall commitment to corporate responsibility, and in an effort to meet the challenge of climate change and energy in the 21st century, we launched our GreenWay program. This program demonstrates both internally and externally how environmental programs save money, support environmental sustainability and impact the community and our employees.
Internally, CSC’s global environmental and sustainability efforts focus on companywide initiatives including reduction in energy, waste and employee travel; a commitment to recycling; and efforts to cut down on power consumption on our desktops, in our server rooms and in our facilities. We also have established a dedicated Corporate Environmental and Health Management Department to ensure that at each of our facilities, environmental, health and safety, and sustainability goals are set; priorities are met; and effective policy is championed from our Corporate Office.
Externally, we are continuing to build and enhance CSC’s green reputation in the marketplace through a suite of sustainability services that help our customers reduce waste, save energy and reduce costs. In addition, our approach to green supply chain management includes a blueprint that addresses critical environmental issues, resulting in performance, sustainability and profit improvements that provide competitive advantage for both our clients and ourselves.
We also offer thought leadership to support environmental action including “The Consumerization of Enterprise IT — Choices and Risks in Moving to the Cloud,” a comprehensive study tour by CSC’s Leading Edge Forum. Visit http://lef.csc.com/events/event_detail.aspx?id=5976.
At CSC, our corporate responsibility efforts are about much more than cost savings — we continue to envision and build a truly sustainable business into the next 50 years of our company’s existence.
Michael W. Laphen
Chairman and CEO
Climate change is a serious threat to our environment, and Cummins is taking action to reduce our emissions of greenhouse gases from our products and facilities. Not only is this good for the environment, but it is good for our business by saving money on our own energy costs and helping our customers achieve greater fuel efficiency.
Cummins’ mission demands that “everything we do leads to a cleaner, healthier, safer environment,” which is more than just an environmental objective. Cummins invests hundreds of millions of dollars each year on research and development with a recently heightened focus on technologies to improve engine efficiency and reduce harmful emissions.
A designated climate-change team puts our guiding principles into action by leading and driving greenhouse gas (GHG) reductions across our products and processes and helping to encourage collaboration with our employees as well as our customers, suppliers and communities. We have made good progress, but we can and will do more.
Cummins has taken and will continue to take climate-change actions independent of government action by:
- Introducing, in January 2010, clean-running diesel engines in North America that meet the most stringent emissions standards ever set by the U.S. Environmental Protection Agency (EPA) and are 5 percent more fuel efficient than heavy-duty engines designed just three years ago;
- Designing all new engines to run on a 20 percent blend of biodiesel fuel;
- Collaborating on 57 fuel economy projects with end customers that over the past six years have resulted in 49 million gallons of fuel saved and 495,000 metric tons of GHGs avoided;
- Continuing to reduce GHG emissions from our facilities beyond 2010 after meeting our 25 percent voluntary reduction goal with the EPA;
- Recycling and reusing more than 50 million pounds of engine-related material each year;
- Educating and empowering employees to make carbon reduction actions a priority at home and work; and
- Making the environment a global priority for volunteerism and philanthropy. Cummins and its Foundation encouraged a yearly environmental grant challenge running through 2014, resulting in 62 projects and 33,000 employee volunteer hours in 2009 alone. One such Cummins-led project powered households in a small rural Indian village by using our Gensets running on a locally available renewable energy source — vegetable oil from Pongamia trees.
Through innovation and action, Cummins intends to be part of the solution to climate change.
Theodore M. Solso
Chairman and CEO
CEO Statements cont. D - E
Energy and climate change are critical issues that affect Darden’s employees, guests, communities, supply chain and, indeed, the future of our business.
We work hard to use energy and water efficiently at our 1,800 Red Lobster, Olive Garden, LongHorn Steakhouse, The Capital Grille, Bahama Breeze and Seasons 52 restaurants. This reduces our climate footprint, saves money and enhances our competitiveness. But our interest in this area goes well beyond operational efficiency.
We see energy, climate change and water resources as interlinked issues. The basic ingredients for our business come from healthy oceans and healthy agricultural ecosystems. Studies predict that climate change will affect oceans and land-based agriculture in part by influencing weather patterns and the availability of water, which raises the risk of supply disruptions. These changes — along with increasing regulation of greenhouse gas emissions — have the potential to increase the costs of food and energy inputs to our business.
Energy, climate change and water also are important issues to our 170,000-plus employees, whose commitment and passion is the basis for our relationship with our guests and ultimately our success. Our employees want to know that Darden cares and that we are taking meaningful action on environmental challenges. We’ve tapped this enthusiasm by forming Green Teams at all our restaurants, through which some 10,000 employees are helping us cut energy and water use.
We’re taking a resource-focused approach to our sustainability strategy to reduce risks and harness opportunities related to energy and climate change by:
- Setting goals to reduce our per-restaurant energy and water use by 15 percent by 2015 and, long term, to send no waste to landfills.
- Reducing energy and water use in our restaurants and support operations. For example, we’ve upgraded to energy-efficient lighting in all our kitchens, and restaurants that implement the full suite of water-saving measures we’ve rolled out are estimated to cut their water use by 700,000 gallons per year.
- Collaborating with others in our value chain who are committed to finding energy-, waterand waste-reduction opportunities while maintaining an unwavering focus on food safety.
Some of these actions are recent and just beginning to show results, but they build on our heritage and values. For the future of our business as well as the future of the planet, our vision is to create a more sustainable business model along with a more secure and healthy food supply.
Clarence Otis Jr.
Chairman and CEO
John Deere has a proud history of innovative environmental stewardship and committed customer service. As a world leader in advanced products and services for agriculture, forestry, construction and turf care, our company faces both challenges and opportunities arising from global climate change and related policies.
Deere is focused on reducing global greenhouse gas emissions from its facilities and suppliers through partnerships with the U.S. Environmental Protection Agency’s Climate Leaders and SmartWay programs. Our worldwide operations are focused on improving energy efficiency and increasing the use of renewable-energy sources.
John Deere enables customers and communities to exist sustainably and productively in a world of finite natural resources. An example is the way we design equipment with respect for the environment:
- The E-Cut Hybrid Fairway Mower: The industry’s first hybrid fairway mower with electrically driven cutting units delivers more power with less noise and emissions.
- The ePremium Tractor: Its integrated high-voltage powertrain enables precision spraying and independent control of engine auxiliaries for increased efficiency.
- The 1490D Energy Wood Harvester: It compresses, wraps and cuts slash logs for biomass fuel. Each log provides one megawatt hour of energy, equal to the electricity produced by 100 liters of oil.
- CropSense® Soil Moisture Monitoring: Combining in-ground moisture sensors and an agronomic database, this technology helps growers better manage their irrigation needs and use water more judiciously.
As a member of the U.S. Climate Action Partnership, Deere advocates policies that recognize the role of the agricultural, forestry, and commercial and consumer sectors in mitigating climate change. In addition, we support policies that promote a robust market for verifiable offsets in emissions trading programs. Our company believes that a climate solution can — and should — provide more economic opportunities than risks for the economy, industry and our customers.
Global climate change — its causes and methods of mitigation and adaptation — present complex challenges and opportunities. This is particularly true in light of the world’s growing population and increasing demand for higher-value food, feed, fiber, fuel and energy.
As stewards of the land, John Deere is committed to a reduced carbon footprint and to a greater measure of environmental sustainability in our products, facilities and operations.
Samuel R. Allen
Chairman and CEO
At Deloitte — Deloitte Touche Tohmatsu and the member firms — allegiance to corporate responsibility and sustainability is demonstrated through investments in our people, the advice and services we provide our clients, the way we run our internal operations, and commitment to our communities. Deloitte’s contribution to a sustainable future is in both what we do as a global organization of 169,000 professionals and how member firms help their clients manage the transition to sustainable business models.
Operations. Deloitte monitors our most significant impacts on the environment and sets targets for improvement.
At Deloitte US, emphasis is shifting beyond the boundaries of the workplace. After introducing the original Office Greening Toolkit and individual office footprint assessment (“How green is your footprint?™”) in 2008, Deloitte US introduced the second green footprint survey, “How green is your other footprint?™,” which focuses on the home. Among the additional projects in Toolkit 2.0 are ones encouraging greening involvement within the community.
Deloitte US will continue to benefit from ongoing dialogue with our people by encouraging interaction through vehicles such as the Green Leadership Council, which serves as a feedback conduit to the organization, and the recently established GreenShare collaboration site.
Work with clients. Deloitte professionals around the world are engaged with clients in addressing the issues and managing the transition toward being a more sustainable enterprise — one that is environmentally responsible, economically profitable, engaged with our communities and that delivers value within the marketplace. Over the last year, we have worked with the World Economic Forum in developing its reports “Sustainability for Tomorrow’s Consumer” and “Driving Sustainable Consumption” as we seek to more fully understand the drivers and metrics that will make sustainable business real.
Commitment to communities. Worldwide, Deloitte shares a common commitment to supporting the communities in which we operate. The 15 largest member firms contributed almost $140 million in donations, pro-bono work and other support to charitable and nonprofit entities. Further, a number of programs are being developed with a focus on support for education and skills building of underserved young people.
Deloitte and its people are committed to the unending pursuit of sustainability. We are making progress on this journey, and we recognize there are many miles yet to be traveled.
James H. Quigley
CEO, Deloitte Touche Tohmatsu
Never in Dow’s history have our geographic position, operating segments and people been better aligned to deliver on our mission: to passionately innovate what is essential to human progress by providing sustainable solutions to our customers.
We are committed to protecting our planet because that commitment unlocks opportunities that are good for business and good for the world.
Essential to human progress is the need for sustainable, affordable energy. Innovation through chemistry is central to providing the clean energy needed to grow the economy, not the carbon. Separating these is among the most urgent issues of our time.
Over the past decades, three dramatic factors have changed the way the world thinks about energy: the volatility of oil and natural gas prices and its impact on the global economy, geopolitical instability in some oil-producing regions, and growing concerns about climate change and how our dependence on oil and other hydrocarbons is compromising the long-term health of the planet.
So how do we fuel economic growth while also addressing climate change and the consequences of our dependence on fossil fuels?
We believe there are four basic steps that answer that question head on: encourage aggressive energy efficiency and conservation, increase supply, and accelerate alternative and renewable energy technologies, all while reducing greenhouse gas emissions.
The simplest, most accessible and cheapest option is to increase energy efficiency and conservation. This also is the cleanest, the easiest to implement and the quickest way to extend our energy supplies while slashing carbon emissions.
Since 1990, Dow has reduced our energy intensity by 38 percent and reduced our absolute greenhouse gas emissions by 20 percent — well beyond Kyoto targets. This has prevented approximately 90 million metric tons of CO2 from entering our atmosphere — and our initial investment of $1 billion has delivered $9.2 billion in savings to our bottom line.
The challenge of climate change is ultimately something for chemistry to solve. For that reason, Dow plays an important role in driving innovations that contribute to the development and commercialization of alternative energy and carbon mitigation solutions, including solar, wind, biofuels, carbon capture and advanced batteries.
Dow is committed to working constructively with industry, government, communities, nongovernmental organizations and especially our customers across the world to develop new solutions and best practices that address the interrelated challenges of energy and climate change.
Andrew N. Liveris
President, CEO and Chairman of the Board
Global climate change continues to be a defining issue for our company and our world. As one of the largest emitters of carbon dioxide in the United States, Duke Energy has a special responsibility to address climate change and participate in the national dialogue on energy policy reform. To that end, we are:
- Helping our customers and communities become the most energy efficient in the world,
- Decarbonizing our generation fleet, and
- Advocating fair and effective climate legislation.
We are committed to building an intelligent, reliable power grid and providing our customers with universal access to energy efficiency. Simply put, increased efficiency means fewer emissions. In the rising cost environment we foresee in the decades ahead, helping customers manage energy consumption more efficiently will be critical to our success — and theirs.
Finding new and better fuel sources to generate electricity is another way we are transitioning to a low-carbon future. Duke Energy will have to retire and replace nearly every power plant we operate today within the next 40 years, due to normal aging. We will therefore rely on cleaner coal, natural gas, nuclear and renewable energy to meet demand for electricity in the years to come. In 2009, for example, we continued construction on two state-of-the-art advanced coal plants, began exploring the possibility of building a new nuclear station in the Midwest and brought another 364 megawatts of clean wind-powered generation on line.
We take a very active role in the global dialogue on how to aggressively, but responsibly, combat climate change. For instance, we support an economywide greenhouse gas reduction system that covers all emissions from fossil fuels. At the same time, we must protect customers from the electricity “rate shock” that could occur in certain parts of the country without a fair, national emissions reduction system.
Times are tough for many Americans. We believe shifting toward lower-carbon energy technologies can serve as the engine for our nation’s economic recovery. New energy investments put people to work, stimulate regional economies and help us reduce our dependence on foreign fuel.
Duke Energy remains committed to delivering energy in the most affordable, reliable and cleanest manner possible. It’s what our customers expect and future generations deserve.
James E. Rogers
Chairman, President and CEO
In 1994, DuPont acknowledged that there was sufficient evidence for global climate change so prudent action should be taken. Our first commitment was a 40 percent reduction as part of the U.S. Environmental Protection Agency’s Climate Wise Partnership. As of 2008, DuPont had implemented projects that cumulatively reduced our company’s greenhouse gas emissions by 230 million metric tons, equivalent to the annual emissions of more than 42 million passenger vehicles in the United States.
Like greenhouse gas emissions, energy use tends to grow as companies grow. But in 1999, we pledged to hold our total energy use flat, on absolute terms, at 1990 levels. Our current annual energy use is 13 percent below 1990 levels, an accomplishment that was achieved while we increased production by more than 45 percent. The resulting energy savings has reduced our costs by more than $3 billion.
While we believe that is important to continue to work on reducing our energy use and greenhouse gas emissions, DuPont is focused on delivering solutions that help our customers conserve and use energy efficiently. We also are investing in applying our science to develop technologies that enable alternative energy sources.
For example, in the building and construction industry, we produce building materials that contribute to greater energy efficiency of residential and commercial buildings. In the agricultural sector, our products help farmers produce more food with fewer inputs, reducing greenhouse gas emissions. Our seed business Pioneer Hi-Bred provides seeds that are increasingly resistant to adverse weather conditions, pest resistant, fertilizer efficient and high yielding, allowing farmers to continually produce more food and fuel per acre with fewer inputs.
We are developing next-generation, lower global-warming potential refrigerants for use in air conditioning and refrigeration systems in cars, homes, offices and commercial spaces. In the alternative energy arena, our scientists are developing advanced, high-performance fuels to expand fuel options for consumers and bio-based materials such as plastic from corn instead of oil. We also provide high-performance materials for wind turbines, photovoltaic solar panels and fuel cells. DuPont is contributing to greater efficiency in transportation through innovative, lightweight, high-strength polymers in automobiles and airplanes. And we continue to monitor emerging and growing markets in which we can bring unique solutions to market.
The challenges of climate change and energy warrant a serious response, and they also present growth opportunities for business. We will continue to bring the power of DuPont science and technology to bear on addressing these issues of global concern.
Chair and CEO
Today, Kodak’s business is focused on products at the intersection of digital image science and materials science. We continue to have market-leading film and entertainment products, but digital products now account for about two-thirds of our revenue. While digital changes many things, it does not change our commitment to responsibly manage energy usage and greenhouse gas emissions.
At Kodak’s largest manufacturing site, an energy-management program provides real-time energy data for decisionmakers while helping cross-functional teams to identify energyreduction opportunities. Even though the site operates a world-class tri-generation power plant capable of delivering almost double the energy from a unit of fuel than a traditional power plant, we have made significant investments to improve its efficiency. As we implement our vision of an industrial park that colocates our manufacturing with suppliers and other companies, we’ve enabled the use of this efficient power source by others.
Improvements such as these at all our worldwide facilities have contributed to Kodak achieving more than 40 percent reductions in both energy use and greenhouse gas emissions since 2002. But we won’t stop there. Kodak will strive to increase our reductions to 50 percent by 2012, with all emissions data reported in transparent and verifiable fashion through The Climate Registry.
Additional reductions will require us to tackle new challenges. We are committed to working with our suppliers and applying emerging tools and methodologies to expand our carbon emissions accounting beyond our own operations. And, although we are pleased with the energy-efficiency gains of many of our products, such as our dry lab system, we need to do more here as well. For this reason, in 2009, Kodak committed to achieving ENERGY STAR® certification on all eligible future products.
Through a dedication to achieving this and all our goals, we can improve products and energy use while reducing greenhouse gas emissions. We know that there always will be more to do, and we will continue to challenge ourselves because, as I have said before, at the heart of Kodak’s commitment to sustainability is a singular objective: continuous improvement in everything we do.
Chairman and CEO
Saving energy and reducing greenhouse gas (GHG) emissions to combat climate change are central to Eaton’s overall commitment to sustainability. More than a responsibility, we believe sustainability is pivotal to our future success, helping us to drive the energy-efficient power management solutions our customers need and the world demands.
Our efforts are guided by a longstanding philosophy of “doing business right,” which inspires how we live and work, how we design products, and how we manage our operations. In keeping with this philosophy, we are participants in Business Roundtable’s Climate RESOLVE and S.E.E. Change programs, in which we have pledged to reduce our GHG emissions by 18 percent, indexed for sales, by 2012. Progress is audited by a third party and reported in our Annual Report and on Eaton.com on a quarterly basis.
To reach our goal, we’re working in many areas, including:
- Eaton’s award-winning Green IT initiative is increasing the energy efficiency of our information technology infrastructure. In 2009, this program reduced annual GHG emissions by 3.5 million pounds.
- We’re using new technologies and processes to make our manufacturing plants around the world more energy efficient.
- Our new Asia Pacific Regional HQ building in Shanghai and recent expansion of our Electrical Sector HQ facility in Pittsburgh feature the latest energy-saving technologies.
- We’re developing our Vision Project into a working laboratory for new energy management ideas that may one day lead to a carbon-neutral manufacturing facility.
Just as important, Eaton helps others improve energy efficiency with our innovative products and solutions, including hybrid powertrains that boost fuel economy and reduce emissions in commercial vehicles, electrical power control systems for the efficient use of power in buildings and homes, hydraulic aircraft systems that reduce weight and save fuel, automotive superchargers for enhanced fuel economy, electrical and hydraulic products for solar power and wind turbine systems, and many more.
By “doing business right,” Eaton meets both our financial performance standards and the needs of our communities, employees, customers and future generations. The effective combination of power management technologies that Eaton delivers today — and that we are designing for tomorrow — provides a foundation to confront climate change while minimizing the negative economic impact of higher energy costs in a carbon-constrained world. In this environment, our opportunities are not reduced; in fact, they are measurably enhanced.
Chairman and CEO
Eli Lilly and Company
We subscribe to the Business Roundtable (BRT) position in balancing society, environment and economy, and we’ll partner with other BRT members to share and leverage best practices. At Eli Lilly and Company, we are committed to our employees, to the communities in which we operate and to the environment. We believe it is our responsibility to be good stewards of our natural resources so we can continue to make medicines that help people live longer, healthier, more active lives. Toward that end, we’re transparently communicating our natural resource goals and performance via lilly.com while partnering with independent, internationally recognized agencies to meet criteria for measurement and reporting.
Some examples of these commitments include:
Setting aggressive corporate (global) reduction goals. The following are 2013 targets with a 2007 baseline:
- Energy — 15 percent reduction (based on energy per square foot of facility space) — including an equal (15 percent) reduction in our greenhouse gas emissions
- Water — 25 percent reduction in our water intake
- Waste — 40 percent reduction in our waste to landfills
- Setting aside an energy, water and waste reduction capital fund for initiatives that contribute to the above goals. Since 2006, we’ve invested more than $25 million in these projects while returning a $13 million benefit from them yearly.
- Implementing green chemistry efforts that reduce the health and safety risks as well as the environmental burden of our processes. Our goal was to cut hazardous material purchases normalized by sales by one-third by 2010, compared with those in 2003. By 2007, our hazardous material purchases were more than 50 percent below the 2003 baseline.
Assessing our key business processes/operations to identify and address operations to meet those goals through operational changes and improvements. Key areas of focus include:
- Research and development,
- Facilities management, and
- Information technology.
Developing a corporate sustainability strategy that addresses:
- Employee engagement (fostering employee awareness, action, and grassroots initiatives);
- Partnering with government, nongovernmental agencies and environmental advocacy groups to ensure that we’re meeting external expectations and commitments; and
- Long-term incorporation of sustainability into our corporate strategy, business processes, supply chain and culture.
We’ll continue to aggressively improve our environmental sustainability performance, and we look forward to partnering with BRT on these opportunities.
John C. Lechleiter, Ph.D.
Chairman, President and CEO
We at EMC view climate change as an economic, social and public health challenge. There is much that can be done to reduce the danger, provided the world’s stakeholders act thoughtfully, rapidly and collaboratively.
EMC is pursuing an aggressive climate-change strategy to reduce greenhouse gas emissions from its global business operations. For more than two decades, we’ve made a point of building and maintaining our facilities using the most energy-efficient capabilities available, and we strive to source energy that is sustainable both environmentally and economically. We are working to shrink our carbon footprint by reducing the amount of transportation required in our operations and by investing in eConferencing technologies that enable many of our employees to conduct business without travel. Just as important, we make comprehensive use of our own products to maximize the energy efficiency of our data centers and research and development labs.
Around the world, many tens of thousands of enterprises rely on our technologies to build the resilient information technology (IT) infrastructures that form the information foundation of their businesses. We design these infrastructures to be highly energy efficient and to minimize the impact of the rapid and relentless growth of information that organizations are responsible for storing, securing and managing. Our virtualization technology, for example, enables a single computer to run multiple operating systems and applications. This enables servers and storage systems to achieve much higher use, which in turn means that our customers can use fewer machines and thereby use less electricity for power and cooling. We work with our major suppliers to help them measure their emissions, and we collaborate with the industry to develop standard protocols to account for those emissions.
We want to see the IT industry foster a greater sharing of knowledge about environmental sustainability and enable more people to come together through blogs, wikis and social networks to devise new approaches to mitigating climate change. We’re all living in what columnist and author Tom Friedman calls the “Energy-Climate Era.” How well we understand this new era, rise to meet its challenges and seize its opportunities will determine the state of our world for generations to come.
Joseph M. Tucci
Chairman and CEO
Earnst & Young
With operations in more than 140 countries and with more than 144,000 people globally, we at Ernst & Young are addressing energy and climate-change issues by reducing the environmental footprint on our organization and communities while helping clients seize the opportunities and mitigate the risks posed by climate change.
Dealing with climate change presents fundamental business issues that will evolve and increase in visibility and importance. As world leaders address these challenges, businesses will be faced with increased regulations and reporting requirements. The recent Copenhagen agreements to limit global temperature change illustrate how efforts to positively impact our environment could mean new rules for the business community. With the increased global focus on climate change and greenhouse gas reporting and the emergence of new legislation and regulations, it becomes important that we harmonize the current standards for carbon reporting while striving for a single, globally consistent framework under which companies report.
Within our own firm, we are driving five global environmental initiatives:
- Measuring our carbon footprint by collecting and analyzing data on business travel and facility energy consumption;
- Setting operational goals and key performance indicators that promote sustainable business practices;
- Putting in place an environmentally responsible travel policy;
- Establishing waste management guidelines; and
- Making our meetings more environmentally friendly, whether they take place in Seoul, São Paulo or San Francisco.
To support our clients, Ernst & Young’s Climate Change and Sustainability Services professionals are helping leaders at global companies ask the right questions to effectively respond to the opportunities and risks related to climate change. We are building a multidisciplinary team with our professionals from Tax, Advisory, Assurance and Transaction Advisory Services, whose combination of technical skills and deep subject matter knowledge can help our clients navigate this evolving landscape. This includes investing in the training of our professionals and creating opportunities for them to build their skills and experience addressing climate-change business issues.
No one has all the answers, but around the world, efforts are under way to start creating solutions today. The people at Ernst & Young have a passion for the environment. By channeling that energy with our own organization, with our clients and stakeholders, and with our communities, we are helping to build a better future for us all.
James S. Turley
Chairman and CEO
ExxonMobil’s primary role is to provide energy to sustain and improve standards of living for people worldwide. While the current global economic downturn has dampened world energy demand, our long-term projection is for demand to increase by almost 35 percent (2005–30), driven by growing population and economic growth, particularly in developing countries, even with substantial efficiency gains in all regions.
We are committed to taking on this challenge in a manner that reflects our culture of integrity while balancing the components of sustainability — economic growth, social development and environmental protection.
At ExxonMobil, we recognize our responsibility to help meet growing global energy needs while working to reduce the impact on the environment, and we see this as one of our key contributions to addressing the challenge of sustainability. Our strategy to achieve reductions in greenhouse gas (GHG) emissions is focused on increasing our own energy efficiency in the short term; advancing current proven emissions-reducing technologies in the medium term; and developing breakthrough, game-changing technologies for the long term.
Internally, new energy-efficiency technologies and day-to-day operational-efficiency activities generate significant energy savings and reduce GHG emissions. Since the launch of our Global Energy Management System in 2000, we have identified opportunities to improve energy efficiency by 15 to 20 percent at our refineries and chemical plants and have already implemented about 60 percent of these. Since 2004, we have invested $1.9 billion in activities to increase energy efficiency and have reduced GHG emissions in our operations. Steps taken in our programs since 2005 enabled ExxonMobil to reduce GHG by more than 8 million metric tons in 2009, the equivalent of taking 1.7 million cars off the roads in the United States.
We also are actively supporting initiatives to reduce consumer emissions from the use of our products. Our new generation of separator films can significantly enhance the power, safety and reliability of lithium-ion batteries — a breakthrough that could accelerate the more widespread use of energy-saving hybrid and electric vehicles. And bumpers, fuel tanks and other car parts made from advanced ExxonMobil plastics help reduce vehicle weight by about 10 percent, which can improve fuel efficiency by more than 5 percent.
Over the long term, we are collaborating with vehicle and engine manufacturers to develop breakthrough engine technologies that could produce step changes in fuel efficiency. We are working with partners to develop advanced biofuels from photosynthetic algae that are compatible with today’s gasoline and diesel fuels.
Being a successful business over the long term requires a thoughtful, proactive approach to each of these areas. By balancing the key drivers of sustainability, we are able to address today’s energy challenges while reducing environmental impacts around the world.
Rex W. Tillerson
Chairman and CEO
CEO Statements F - H
At FedEx, we’re very proud of our ability to move goods and information around the world fast and reliably. But we’ve learned over the years that what we do has a bigger outcome — our work actually creates new opportunities by removing the barriers between people, goods and ideas. This is a force we call Access, and we know through research that Access helps bring greater prosperity to people, businesses and nations all over the world. As we expand Access to build a better future, we take on a great responsibility — both as a steward of the Earth’s resources and as a citizen of the world. People trust us to come through for them, whether it’s delivering their shipments, providing online tools or supporting our communities. To meet the expectations of an increasingly connected world, we must try to be transparent about the actions we take as well. Our Global Citizenship is about those actions in four focus areas.
The first is People and Workplace. This is an area of highest priority because it’s our team members who work every day to meet the expectations of our customers and communities. Their hard work makes our business more sustainable, improves our environmental performance and helps us become better citizens of every community in which we work.
The second is Economics and Access. We work to expand Access, because more Access means stronger connections among the people and ideas that will make the world more sustainable and improve quality of life. We are undertaking research in concert with the Yale Center for Environmental Law & Policy, trying to find more common ground between free-trade advocates and environmentalists.
The third is Environment and Efficiency, in which every day we tap into our innovative roots to make our business and the world more sustainable and efficient. That spirit of innovation has produced the transportation industry’s largest fleet of hybrid-electric package delivery trucks and the nation’s largest rooftop solar electric system at our distribution hub in Woodbridge, NJ.
The fourth is Community and Disaster Relief. All over the world, we apply our resources — planes, delivery trucks, facilities and team members — to help communities recover from disasters as well as shape their own sustainable futures. We are making additional investments in organizations that support environmental sustainability at the community level. One example is EMBARQ, which helps cities around the world build transportation networks that are safe, clean, convenient and affordable.
Frederick W. Smith
Chairman, President and CEO
FMC Corporation, a chemical company with a 126-year history of innovation, believes our future depends on operating sustainable businesses that contribute to our global environmental quality. To us, this means developing market-driven products and technologies that protect our planet’s environment and reduce energy consumption while improving our own manufacturing operations to protect our employees and the local communities in which we operate.
We have reduced industrial wastes by 50 percent, greenhouse gas emissions by 7 percent and accident rates by 73 percent from our manufacturing sites worldwide since 2000. In the United States, we have reduced U.S. Environmental Protection Agency-designated priority chemicals in releases and wastes by 65 percent and 93 percent respectively since 2000. Working with local communities and government agencies, FMC has returned nonproductive brownfield sites back to active uses, creating thousands of new jobs and alleviating environmental hazards.
In developing countries, FMC is a source of both income and jobs by helping establish environmentally sustainable seaweed farms that supply our business. We have contributed to the world’s food supply by creating products that actually reduce chemical inputs while increasing crop yields. We also are reducing incidents of food-borne illness through our line of halogen-free disinfectants and sanitizers used to safeguard food products, packaging and food processing facilities.
In addition to waste reduction, sustainable farming and increased food safety measures, our range of new green chemistries includes lithium used to power hybrid and electric cars and soda ash used in the production of solar panel glass. We have commercialized new in situ remediation chemistry to quickly bring sites with contaminated soil back to sustainable use and reduce landfill burdens. We are developing products and technologies that cost-effectively remove critical air emissions, such as nitrogen and sulfur oxides, and mercury from fossil fuel sources as well as safer and more environmentally friendly chemistries to improve wastewater disinfection and oil and gas production. Our natural, sustainable biopolymers are replacements for petroleum derivatives across a wide range of consumer-packaged goods. New applications of our specialty chemistries have promise for reducing energy consumption by extending the life of roads, runways, dams and bridges.
FMC is committed to technological innovation that reinvents the way we produce our traditional chemistries. Three of every four dollars we spend on research is for new sustainable applications, such as the next generation of lithium power, or making our operations greener, such as converting waste methane to energy use. We believe it is incumbent upon us to continually look for ways that we can sustainably manage our future, safely steward our products and contribute to a greener globe.
President and CEO
FPL Group is the nation’s leading producer of renewable energy from both wind and solar power. In fact, if every utility were as clean as FPL Group, CO2 emissions from the electric power sector would be reduced by 49 percent and total U.S. carbon emissions by 20 percent — the equivalent of removing 8 out of every 10 vehicles from U.S. roadways.
NextEra Energy Resources, an FPL Group subsidiary, is the nation’s number one producer of wind energy. It operates nearly 9,000 wind turbines in 17 states and Canada. Our wind fleet can produce more than 7,500 megawatts of emissions-free electricity, enough to power more than 1.8 million homes and businesses.
NextEra is also the nation’s number one producer of solar energy. In California, it operates the largest solar thermal plants in the world, which have the capacity to supply emissions-free electricity to more than 230,000 homes at peak production.
Florida Power & Light Company (FPL), our rate-regulated electric utility, is one of the cleanest and most environmentally responsible utilities in the nation. FPL’s carbon dioxide emissions rate of 851 pounds per megawatt hour is 35 percent lower than the industry average of 1,319. We commissioned the largest solar photovoltaic power plant in the United States in 2009, and we’re also building two other commercial-scale solar energy centers in Florida. The new natural-gasfired, combined-cycle generating units at our West County Energy Center are among the world’s cleanest.
At FPL, we don’t just produce energy; we help conserve it, too. FPL is number one in the nation for energy efficiency and conservation, according to U.S. Department of Energy data. Our programs have avoided the need to construct 13 medium-sized power plants, more than any other utility. Our conservation efforts also extend to preserving Florida’s unique wildlife and ecosystem. Our activities include caring for sea turtles, enhancing habitat for American crocodiles and protecting manatees.
FPL Group’s carbon-free generation offsets more than 40 million tons of CO2 emissions per year, the equivalent of removing nearly 7 million cars from the road. Overall, more than 90 percent of the electricity we produce comes from low-emissions natural gas plants and no-emissions nuclear and renewable energy sites. Less than 5 percent of our power comes from coal.
At FPL Group, we take the challenges of energy security and climate change seriously. Our investments in low- and no-carbon electricity generation are leading the way to a sustainable future.
Lewis Hay, III
Chairman and CEO
Freeport-McMoRan Copper & Gold Inc.
To Freeport-McMoRan Copper & Gold Inc., sustainable development is about responsibly providing essential metals to current and future generations. We are at the base of a value chain on which society depends for advanced infrastructure applications, including highly efficient energy systems that can help address challenges posed by climate change.
We are an active member of the International Council on Mining & Metals and adhere to the council’s Policy on Climate Change. This includes reducing greenhouse gas emissions, promoting technical innovation in low-emissions technologies and contributing to the sustainable development of local communities in adapting to impacts of climate change. Freeport-McMoRan reports its overall sustainability performance following the Global Reporting Initiative guidelines and participates annually in the Carbon Disclosure Project.
Our commitment to sustainability is the foundation of our approach to climate change, and we are taking immediate action. Recognizing that climate change can pose risks and opportunities for our entire company, we have established a multidepartmental task force to address these issues and to evaluate associated business ramifications, from increased product demand and supply chain impacts to legislative proposals and requirements. For example, it is a reality that as a mine gets deeper and ore grades decrease, the movement of larger quantities of material over longer distances is required. We are engaging key suppliers to identify equipment improvements that could provide reductions in emissions and energy consumption while maintaining necessary production efficiency.
We have a sustainability target for all operations to implement energy-efficiency plans by the end of 2010. Operations with direct emissions exceeding 100,000 metric tons will develop and act on a plan to optimize fuel-related emissions with long-term production scenarios. As an illustration, our technology center has developed a method for the recovery of copper from solution using alternative anode technology, resulting in a 15 percent reduction of energy used for this process.
Freeport-McMoRan also is pursuing the installation of two renewable energy facilities on mining-related property by 2014, and we are making solid progress by leasing land at operating and closed sites for development of solar power generation projects. We also are sponsoring an important pilot project with the University of Arizona to determine the installation implications of solar energy systems on inactive tailings areas.
The integration of sustainability into our business strategy is a continuous process. Freeport- McMoRan is a dynamic company, and we are leveraging this quality in our journey toward sustainable development.
Richard C. Adkerson
President and CEO
As one of the world’s leading food companies, we’ve long been concerned about global climate change and the effect it could have on our ability to provide food for our customers around the globe.
That’s why, back in 2006, we set aggressive global goals to reduce our energy consumption and greenhouse gas emission rates by 15 percent by the end of fiscal 2010. Although we may fall a bit short, we believe the foundation has been laid for substantial improvements in the future.
Already, more than half of our U.S. manufacturing plants have attained these goals. And throughout the world, our employees are embracing sustainability. Whether it’s as simple as turning off the lights, or as sophisticated as installing solar panels and green roofs on our facilities, General Mills is working to trim our resource use.
Here’s a glimpse of some of the many ways we’re working to reduce our energy use:
- Leftover oat hulls from making Cheerios are being used to help fuel a power plant near Minneapolis that has the capacity to generate enough electricity to power 30,000 homes. We’re now building our own biomass burner that will generate enough steam from burning oat hulls to heat and power our oat milling facility near Minneapolis.
- In Social Circle, GA, we’re constructing a distribution center that will be one of the largest buildings to meet environmentally friendly Leadership in Energy and Environmental Design (LEED) standards. And we’re in the midst of building other General Mills facilities to meet LEED specifications.
- In Spain, our plant has switched to an electricity provider that uses only natural and renewable sources such as wind power.
- And we’ve rolled out a new computer-based transportation system that allows us to more efficiently deliver products from our manufacturing facilities to U.S. supermarkets. We’re saving energy and money.
Going forward, we will continue to work to reduce our carbon footprint by moving beyond our walls and expanding our efforts across the entire food value chain.
Our mission at General Mills is Nourishing Lives, which includes Nourishing Communities around the world and Nourishing the Future to help preserve the environment for generations to come.
We believe we can do well for our shareholders while doing good for our customers, our communities and our planet. That’s what sustainability means to us.
W.W. Grainger, Inc., with 2009 sales of $6.2 billion, is the leading broad line supplier of maintenance, repair and operating (MRO) products serving businesses and institutions in the United States, Canada, and Mexico with an expanding presence in Japan, India, China and Panama.
Sustainability means meeting the present generation’s needs without compromising the future generation’s ability to meet its own needs. For Grainger, sustainability also means expanding its green offering of MRO products. Green products help customers do business in an environmentally responsible manner while also helping to take costs out of their operations. The company’s government, health care and corporate accounts are the current target segments for offering sustainable solutions.
For instance, when administrators of one of the largest public school districts in the United States decided it was time to go green, Grainger helped them expand their knowledge of sustainable operations by establishing one model school as a benchmark for the other schools in the district. The green project required Grainger to work with 12 strategic suppliers to perform green assessments and provide sustainable solutions. This included lighting retrofits, lighting controls, HEPA filters, volatile organic chemical-free (No VOC) paint, recycling containers and LED exit signs.
Increasing Our Green Customer Offering
Grainger continues to focus on increasing its green product offering. In 2009, Grainger doubled its green product availability to approximately 8,000. This includes products across many categories that help save energy, reduce water use, improve indoor air quality and reduce waste. Grainger offers products that have third-party certifications, such as ENERGY STAR, NEMA Premium™, GreenSeal™ and GreenGuard®. Products that are not certified generally have other environmentally preferred attributes, such as reduced material use and lower energy consumption, or are manufactured from renewable resources or contain recycled content.
In 2008, 15 percent of Grainger’s U.S. customers purchased green products. As a result of ENERGY STAR products sold through Grainger in the United States, customers saved an estimated 152.4 million kilowatt hours per year, or electricity savings of $16.9 million.1 That is enough electricity to light every household in Washington, DC, for 115 days, and the carbon emissions reduction is equivalent to removing 19,500 cars from the road.
Setting the Pace in the MRO Space
Grainger is the first industrial distributor to have Leadership in Energy and Environmental Design (LEED)-certified facilities and now has 11 certified locations. LEED-certified facilities are not only more environmentally responsible but also reduce energy costs by 30 percent, water usage by 35–50 percent and overall waste by as much as 90 percent. In 2009, the certified locations include four branches; Grainger’s Lake Forest, IL, headquarters; two U.S. distribution center locations; and a new service center in Waterloo, IA. Grainger will continue to deliver sustainable results by pursuing LEED certification for its 15 largest locations.
James T. Ryan
Chairman, President and CEO
1 Estimated savings based on average energy use compared to the average energy use of nonqualified products. Actual savings may be higher or lower based on customer usage.
Over the past six years, Harrah’s Entertainment has systematically and systemically forged a leadership position on environmental sustainability within the gaming industry and across the nation. Our in-house CodeGreen programs, generated and led by our 70,000 team members, have paced our efforts. The passion that our employees share for environmental initiatives is energizing, and the results they have generated are real.
We have invested more than $60 million in 110 energy-efficiency projects, cut our carbon emissions by more than 230 million pounds per year, significantly decreased the amount of waste we produce and vastly increased our recycling. And we have found that promoting sustainability is a virtuous cycle — yielding returns not only for the public good but on our bottom line.
Almost all lights, inside and out, have been replaced with energy-efficient bulbs. Our energy systems have been upgraded, our thermostats reset, our use of resources reduced. As facilities are retrofitted, they are brought to sustainability standards, and new construction is being built to Leadership in Energy and Environmental Design (LEED) certification. Our Las Vegas properties have all achieved Travelife Sustainability certification.
Conservation programs have dramatically reduced water usage, in our buildings and on our landscaping. At Horseshoe Southern Indiana, Chariot Run Golf Course is an Audubon International-certified Cooperative Sanctuary, and in Las Vegas, a rebuild of our laundry facilities reduced water consumption by 72 million gallons per year, even as capacity was increased by 40 percent.
Employees launched recycling programs for everything from 640,000 annual gallons of waste vegetable oil from our kitchens to the conference supplies that guests use at conventions. Our teams have won local, regional and national environmental awards, and this year, our CodeGreen Team at Paris and Bally’s Las Vegas received the New Partner Gold Achievement Award from the U.S. Environmental Protection Agency’s (EPA’s) WasteWise program. At the corporate level, Harrah’s joined EPA’s Climate Leaders and WasteWise programs and helped to found both Conservation International’s Team Earth, encouraging worldwide education and involvement, and GreenChips, which promotes sustainability in our home region.
Now we are taking our effort to the front of the house, letting our 40 million guests know of our commitments and results and encouraging their participation and involvement in our sustainability efforts. We are proud that we are not only doing what is good for the environment but establishing leadership in our industry.
Chairman, President and CEO
Corporate Social Responsibility and Sustainability are important issues for The Hertz Corporation and its employees, customers and key stakeholders. As a car and equipment rental business, many of our processes and operations impact the environment. Given the nature of these industries, Hertz takes its role as a steward of the environment seriously and has established a Sustainability Program, which acts as the cornerstone of the company’s environmental commitment.
Dedicated to minimizing the impact of its operations on the environment, Hertz enacted a proactive Sustainability Program, which enables worldwide operations to strive for consistently sound environmental behavior. The objectives of Hertz’s Sustainability Program are based on principles of preventing and minimizing environmental impact from its operations and promoting continuous improvement of the program.
Hertz is the only rental car company to endorse the “CEO Climate Policy Recommendations to G8 Leaders.” The policy, signed by 100 CEOs and presented to Prime Minister Yasuo Fukuda of Japan on June 20, 2008, details how best to manage climate change after the Kyoto Protocol expires in 2012. This document was prepared in collaboration with the World Business Council for Sustainable Development and the Pew Center on Global Climate Change.
Hertz is proud to offer its customers The Green Collection, which is a group of pre-selected vehicles that are fuel-efficient and environmentally friendly. We have more than 35,000 vehicles that are reservable by specific make and model, including 5,000 hybrids. These cars have a U.S. Environmental Protection Agency highway fuel efficiency rating of 28 miles or more per gallon (based on the 2008 model year).
To further Hertz’s commitment to green car rentals, beginning in 2010, we will be offering our customers the opportunity to rent the LEAF, Nisson’s all-electric vehicle.
Hertz also offers Connect by Hertz, a car-sharing company that provides members the convenience of a car while shifting the fixed costs of car ownership to pay-as-you-go costs. Members are provided access to a fleet of vehicles distributed over a neighborhood or city with insurance, gasoline, maintenance and cleaning included in the membership usage charges. In addition to encouraging the use of mass and alternative transportation options, for every carsharing vehicle on the road, up to 14 personal vehicles are taken off the streets.
In 2009, Hertz partnered with OMI Industries to use their Fresh Wave indoor air quality (IAQ) product to neutralize odors in its rental fleet. Unlike other solutions on the market that merely mask odors, Fresh Wave IAQ completely neutralizes odors using only natural ingredients. Composed of natural plant extracts, the products are biodegradable and nontoxic, making it a true green product.
In collaboration with the developer of our NeverLost navigation system and Greenopia, Hertz now has an eco-friendly guide to green businesses. The Greenopia feature on NeverLost offers ecofriendly listings that have been analyzed by Greenopia according to their level of commitment to environmental initiatives on a scale of one to four Green Leaf Awards.
I encourage you to learn more about our green initiatives. Additional information can be found at www.hertz.com.
Mark P. Frissora
Chairman and CEO
Honeywell is dedicated to protecting the environment with a comprehensive and contemporary commitment to address some of the world’s toughest challenges. This is one of the central tenets of how Honeywell does business throughout the world.
Honeywell embraces its obligation of environmental stewardship through the pursuit of technology that is building a world that’s safer and more secure … more comfortable and energy efficient … more innovative and productive.
Environmental stewardship means acting in a way that is both productive and sustainable. In fact, Honeywell solutions and technologies expand sustainable capacity and improve the efficiency of products and processes, fostering “Sustainable Opportunity.”
Nearly 50 percent of Honeywell’s product portfolio is linked to energy efficiency. The United States could reduce its energy consumption 15 to 20 percent by immediately and comprehensively adopting existing Honeywell technologies.
We design products that help conserve energy, reduce waste, and protect our homes and offices. We help other companies become more efficient and productive with our products and solutions. Our corporatewide core processes identify and address risks and promote a culture of safety excellence.
Honeywell values its standing as a respected and responsible global business leader. Honeywell recognizes that environmental stewardship is behavior expected of corporate leaders today. It is a pillar of our reputation with the customers we serve.
Honeywell assists communities and companies in meeting the challenges posed by climatechange policies and requirements by reducing the consumption of fossil fuels.
Honeywell is a member of the U.S. Climate Action Partnership, an organization of business, climate and environmental groups that works with the federal government and other stakeholders to support policies that reduce greenhouse gas emissions.
Honeywell is working with the Clinton Climate Initiative (CCI) to help the world’s largest cities reduce their energy consumption and environmental impact. As one of four energy services companies involved at the outset of CCI’s Energy Efficiency Building Retrofit Program, Honeywell has already been chosen to upgrade facilities and cut carbon emissions for the cities of Johannesburg, London, Melbourne and Seoul.
We will continue to develop products and technologies that improve efficiency and lower greenhouse gas emissions. In 2007, Honeywell established five-year greenhouse gas and energyefficiency objectives for its internal operations. By 2012, Honeywell will reduce its greenhouse gas emissions by 30 percent and will increase its energy efficiency by 20 percent, both from a 2004 baseline year.
We participate in the U.S. Environmental Protection Agency’s Climate Leaders program. In December 2007, we joined the Chicago Climate Exchange, a voluntary, legally binding trading system.
Environmental responsibility is important to our long-term growth. Being a steward of the environment ensures economic sustainability for our shareowners and employees, and it enables continued development of products to meet the demands of an expanding global economy.
David M. Cote
Chairman, President and CEO
One of the many environmental, social and economic challenges we face this century is climate change. Climate change will impact HSBC’s customers, shareholders and employees, which is why it is a key focus for HSBC’s Corporate Sustainability strategy. HSBC is committed to the principles of Corporate Sustainability, which include sustained profitable growth, building enduring customer relationships, and managing the social and environmental performance of our operations.
Together with our customers, employees and communities, we can make a difference for our planet. Each year, HSBC continues to put measures in place to reduce energy, carbon, waste and water usage in our operations. The reduction of paper usage by both customers and employees, along with active engagement in communities in which we operate, represents the clear focus HSBC has on sustainability.
The HSBC Climate Change Center published 30 leading research papers last year providing detailed analysis for clients on climate policy, low-carbon sectors and emerging economies. Our investment of $125 million in electric vehicle provider Better Place makes it clear how serious we are in supporting the world’s transition to a lower-carbon economy.
This deal is one of the largest financial investments in clean technology in history. With the strong support of HSBC, Better Place is working to accelerate the global transition to sustainable transportation by enabling the widespread adoption of electric vehicles.
Climate Change Index
HSBC has tracked the performance of companies engaged in developing products and services that respond to a changing climate and used these data to launch the HSBC Global Climate Change Index in September 2007. The HSBC Global Climate Change Index reflects the quantitative performance of the companies best placed to profit from the opportunities presented by climate change. In August 2009, The New York State Common Retirement Fund selected this index, along with others, to invest $200 million in assets.
Carbon Disclosure Project
HSBC has continued to make significant progress in embedding sustainability across our business and operations. In 2009, we were rated number one in the financial sector and third overall by the Carbon Disclosure Project, demonstrating our well-developed approach to carbon data management and understanding of climate-change issues. In addition, Goldman Sachs ranked HSBC second globally as a climate leader in their 2009 report.
HSBC will continue to demonstrate leadership in the areas of energy and climate change as these issues impact our customers, shareholders, communities and employees.
Humana is committed to advancing sustainability initiatives that are guided by our commitment to do what is right for our members, our associates, our communities and the environment.
This year, we are working to implement our Corporate Social Responsibility plan, which outlines our overarching goals and commitments as well as specific initiatives that help reduce our impact on the environment and society in three core areas: healthy people, healthy planet and healthy performance. One component of the plan is our Sustainability Roadmap, which includes key initiatives such as taking an inventory of our Scope 1 and 2 carbon emissions as well as exploring ways to reduce our Scope 3 emissions from sources such as associate commuting and corporate travel. Additionally, our Sustainable Real Estate Portfolio Project brought together our engineers, construction managers and architects to develop a systematic framework for how we can “green” our entire building portfolio and operations.
We have also made valuable progress in engaging our associates in environmental sustainability. Many Humana associates participated in the Change the World, Start with ENERGY STAR campaign. They saved nearly $1 million in energy costs and reduced greenhouse gas emissions by more than 10 million pounds — 145 percent of our goal. Humana was among the top four percent of campaign leaders with 6.5 million pounds saved, ranking 20th out of 480 participating companies.
In addition, our partnerships and programs are helping drive environmental change in the communities where we live and work. Nationally, we are a member of the U.S. Green Building Council and Business Roundtable’s Climate RESOLVE initiative. In Louisville, Humana’s corporate headquarters city, we are a member of the Kentucky Excellence in Environmental Leadership (KY EXCEL) and Kilowatt Crackdown programs. Beyond Louisville our bike-sharing program, BCycle, in partnership with Trek, Crispin Porter + Bogusky and Denver Bike Share, is helping decrease carbon footprints while also reducing obesity.
These investments have already begun to have a positive impact. Our Chicago market office is Leadership in Energy and Environmental Design (LEED) Silver certified. For the third year in a row, Humana was named to the Dow Jones U.S. Sustainability Index, one of only two major health benefits companies to make the list, as well as the FTSE4Good Index and six KLD Indices.
We are proud of this progress to date and are committed to enhancing our results in all three areas — healthy people, healthy planet and healthy performance — as we strive to be an even stronger and more effective corporate citizen.
Michael B. McCallister
President and CEO
CEO Statements cont. I - L
For more than 40 years, IBM has been a leader among businesses working to make our world a better place, including a strong record of commitment to environmental leadership in all of our business activities. This commitment is now more important than ever — given the challenges presented by global climate change and the environmental and geopolitical issues surrounding energy use. The world, and our own company, can run a lot smarter and more efficiently as we deliver real solutions that will lead to more sustainable development and growth.
First: We are applying smarter solutions to improve our own operational efficiency. We are building on our early leadership in addressing climate change, in which our energy conservation actions from 1990 through 2005 reduced or avoided CO2 emissions by an amount equal to 40 percent of our 1990 emissions. We have made a commitment to extend these achievements by reducing CO2 emissions associated with our operational energy use by 12 percent between 2005 and 2012.
Second: IBM is bringing its rich history of innovation — in products, services and solutions — to assist businesses, governments and communities in transforming themselves to become more efficient and help the world develop in a more sustainable manner.
Let me cite some examples:
- We are helping to build smart traffic systems in cities from Stockholm to Singapore, reducing congestion and emissions, increasing fuel efficiency, and helping to make cities more livable.
- We are helping to deploy smart utility grids, connecting all components from generation to demand, reducing energy use, improving energy efficiency, integrating renewable energy sources and addressing climate change.
- We are applying real-time analytics to environmental systems data, turning mountains of data from disparate systems into intelligence, enabling smarter management of our natural resources and systems.
- We are helping develop and build intelligent transportation solutions that can optimize logistics planning, scheduling, routing and allocation to improve fuel use and reduce CO2 emissions.
All of these solutions are enabled by energy-efficient data centers that deploy highly efficient information technology hardware, virtualize workloads and aggressively conserve energy through a smart management approach linking equipment, building systems and data center operations.
To transform the world in which we live and to achieve both economic growth and societal progress, we must build a globally integrated, intelligent planet. IBM’s core value of pursuing innovation that matters — for our company and the world — has never been more central to our mission.
Samuel J. Palmisano
Chairman, President and CEO
Climate change is considered by many as the most pressing sustainability issue of our time. Ingersoll Rand continues to provide products and services that help customers reduce their energy use and greenhouse gas emissions, which directly helps to minimize the effects of climate change. At the same time, we are working to reduce the energy footprint of our own operations.
Whether the focus is reducing emissions, reducing energy costs, using products engineered to reduce material waste, or constructing or retrofitting a building to improve its energy efficiency, we offer a growing collection of products and solutions to help businesses and building owners meet their sustainability goals. We have more than 700 Leadership in Energy and Environmental Design (LEED)-accredited professionals, among the most of any industrial company in the world. We use that expertise to help our customers and our own facilities become more environmentally friendly.
We set public sustainability goals to drive continuous improvement in our company. Among our goals, we plan to reduce our energy use and greenhouse gas emissions by 25 percent over a 10- year period on a normalized basis. Internal programs and Green Teams designed to engage all employees are in place to help us achieve these goals.
To reach a broader audience in the community, Ingersoll Rand professionals speak at various events and on college campuses, offering energy-related thought leadership, new ideas, solutions and case examples sharing our unique knowledge about efficiency. Our Btu Crew and Sustainability Institute programs educate and engage young people in the basics of climate change and energy efficiency.
We partner with others to help address climate-change issues. We are members of Business Roundtable’s S.E.E. Change and Climate RESOLVE initiatives, the U.S. Environmental Protection Agency’s Climate Leaders and GreenChill programs, the U.S. Department of Energy’s Save Energy Now program, and the Clinton Climate Initiative.
Last November, we launched a program involving our top 500 global suppliers, representing 80 percent of our direct material spend, encouraging them to reduce the environmental impact of their business practices. We recently announced the creation of The Center for Energy Efficiency & Sustainability, focused on continuous improvements in greening our own operations. The Center will increase our innovation efforts with a goal of advancing technology, education and individual behavior by integrating sustainability throughout the business process.
Ingersoll Rand is well on its way to achieving sustainable business success through world-class environmental, health and safety performance in our workplaces, through our products and services, and for our communities.
Michael W. Lamach
President and CEO
With operations in the United States, Europe, Latin America, Russia, Asia and North Africa, International Paper (IP) manufactures paper and paper-based packaging products on a global scale. Developing these value-added products that people use every day requires a modern yet energy-intensive manufacturing process. Fortunately, more than 70 percent of the energy IP uses to power our U.S. mills comes from renewable and sustainable carbon-neutral biomass, leaving only 30 percent from fossil fuel. Though our greenhouse gas emissions are not significant on a national or global basis, IP tracks, reports and continues to reduce these emissions.
IP’s products do not release greenhouse gases during their use and also are highly recyclable. As a leader in the collection, recovery and recycling of paper and paperboard packaging, IP ensures that our industry continues to optimize this renewable resource by collecting, consuming and bringing to market more than 6 million tons (or approximately 10 percent) of all paper recovered annually in the United States.
We continue to undertake activities to reduce our environmental footprint and create additional energy-efficiency opportunities throughout our manufacturing process by:
Tracking and reporting greenhouse gas emissions from our global sites.
- We are a pioneering participant with the Carbon Disclosure Project, reporting enterprise emissions for seven consecutive years.
Committing to voluntary emissions reductions.
- As a member in the U.S. Environmental Protection Agency’s Climate Leaders program, IP is achieving our greenhouse gas emissions reduction target of 15 percent by 2010.
- We are a founding partner and participant in the Chicago Climate Exchange and are meeting our 6 percent greenhouse gas reduction target by 2010.
Investing in the future to reduce our use of fossil fuels and increase our use of bioenergy.
- We have invested more than $250 million since 2003 in new energy-efficiency and fuelreduction efforts.
- From 2000 to 2008, IP reduced gas and oil use per ton of paper produced by 49 percent and reduced our greenhouse gas emissions at U.S. mills by 30 percent.
At International Paper, we’re proud of our legacy of sustainability and environmental stewardship. Demonstrating our ongoing commitment to these efforts through continuous improvement is important — not just for our employees but for our customers, shareowners and neighbors in the communities in which we operate.
John V. Faraci
Chairman and CEO
At ITT, we recognize that a focus on sustainability is essential to protect the health of our environment and the health of business. As a global, multi-industry company and one of the world’s 1,000 largest businesses, ITT is uniquely positioned to help address some of the world’s toughest problems posed by climate change and ultimately turn these challenges into opportunities. We emphasize our commitment to sustainability not only through the products and technologies we provide but also through acting responsibly within our own operations and through our corporate citizenship efforts.
ITT is dedicated to uniting mission-critical products and technology with a desire to safeguard our planet’s climate, communities and resources. ITT’s business portfolio includes technology that will help the U.S. aviation industry become more “green” through conserving hundreds of pounds of fuel and millions of pounds of CO2 emissions per flight.
With pumping, treating and transporting water accounting for more than 20 percent of all global energy consumption, ITT strives to provide innovative and efficient water technologies that can significantly lower energy use by up to 50 percent. Additionally, ITT’s climate and emissions technologies can measure and monitor greenhouse gas emissions with unprecedented accuracy and scope, ensuring private- and public-sector compliance with global greenhouse gas commitments.
Internally, ITT is committed to preserving and enhancing our environment by reducing our consumption of natural resources and generation of waste and emissions. Over the past five years, we have achieved more than a 35 percent decline in the intensity of electricity consumption and reduced our water footprint by 30 percent.
While the sustainable focus of our business is primarily on climate-change and water issues, our philanthropic efforts focus on the social implications of both. ITT’s signature philanthropy program, ITT Watermark, leverages our full range of assets — talented people, sustainable products and financial resources — to make a sustainable mark in the world by providing safe water and sanitation to children and families in need. In the first three years of this effort (2008– 10), ITT has pledged more than $4 million to bring safe water, sanitation and hygiene education to 300 schools in the developing world and to provide access to safe water after disasters such as the recent earthquake in Haiti. We work with our nonprofit partners to do so.
ITT is committed to play a continuing role in developing sustainable solutions to pressing global problems such as climate change and to further expressing this dedication through our internal operations and philanthropic efforts.
Steven R. Loranger
Chairman, President and CEO
Johnson & Johnson
For companies, social responsibility is based on the idea that we seek to achieve our business goals in a way that also makes a positive impact on our world and on future generations. This is an important idea, and it is not a new one at Johnson & Johnson.
As a company broadly based in health care, we believe the health of the environment is essential to sustaining human health. That’s why our impact on the planet is not just a consideration when we make our products; it is an integral part of our business strategy.
Our commitment to social responsibility is founded in Our Credo, a document written more than 60 years ago by then-Chairman Robert Wood Johnson. It outlines our responsibilities to our customers, employees, the communities in which we live and work and, finally, our shareholders. It states clearly, “We must maintain in good order the property we are privileged to use, protecting the environment and natural resources.”
Acting on this, CO2 emissions from our facilities worldwide have declined by 15.9 percent compared to 1990; at the same time, our sales grew almost fivefold. In transportation, hybrid vehicles have further reduced our footprint and now account for a quarter of our U.S. sales fleet — among the largest hybrid fleets in the country. This year, installation of solar power at several facilities will help drive down our impacts even further.
These results are the fruit of long-term investments. Since 1987, we have set environmental goals and launched programs to reduce energy and water use, waste, paper, and packaging. As awareness of the threat of climate change grew through the 1990s, we set goals to reduce our carbon footprint and instituted a Climate-Friendly Energy Policy in 2003.
Since then, more than $200 million has been invested to improve energy efficiency and install co-generation and renewable energy at our sites — including solar, geothermal, landfill gas and biomass projects. Many Business Roundtable member companies have taken similar steps. While these environmental efforts have made a difference, they will not be enough to address global climate issues. Good public policy is important.
In 2007, Johnson & Johnson joined the U.S. Climate Action Partnership to support legislation on greenhouse gas emissions that institutes a market-based system to establish a price on carbon. Internationally, cooperation on climate change also is essential, and we actively support efforts to establish a strong global agreement. We believe good climate and energy policy will drive innovation, create green jobs and promote energy security.
The business sector can do a great deal to enhance our environment, but to achieve global goals, governments, business and community organizations need to work together. Our combined strengths are far greater than the sum of our parts. I firmly believe collaboration is the most important thing each of us can do to deliver a better, greener and healthier world for generations to come.
Chairman and CEO
Sustainability is a core value at Johnson Controls. Dating back to 1885 with Warren Johnson’s invention of the first electric thermostat, our company is recognized as an innovator in energy efficiency. Over the past 125 years, we have broadened our focus on energy efficiency to encompass buildings and vehicles.
Through the products we make and the services and solutions we deliver, our three business units help make our customers’ businesses and operations more sustainable:
- Building Efficiency works with customers to optimize the energy and operational efficiencies of buildings. We are actively involved in more than 500 renewable energy projects involving solar, wind and geothermal technologies. By providing real-time monitoring of our customers’ utilities spend and greenhouse gas (GHG) emissions, we help them make more informed operational choices about their facilities.
- Automotive Experience has responded to customer demands for new interior products and technologies, particularly for smaller and more energy-efficient vehicles. We continue to develop products using sustainable materials, such as soy foam, and focus on the lightweighting of interiors to make vehicles more fuel efficient.
- Power Solutions, through our joint venture with Saft, extended its market leadership in advanced battery technology for vehicles as the first and only company in the world producing lithium–ion batteries for mass-production hybrid vehicles. Federal and state grants, along with our own investments, will establish the first U.S. production facility for advanced battery technology and create more than 500 jobs in Holland, MI.
We focus on our own environmental performance with the same discipline that we apply to working with our customers. In 2009, we introduced a new environmental scorecard addressing resource efficiency, environmental management and sustainable product design. We remain committed as a signatory to the Copenhagen Communiqué and to the United Nations Global Compact’s Ten Principles. As a member of the Carbon Disclosure Project’s Supply Chain Program, we encourage our suppliers to determine and report their GHG emissions.
In 2009, Newsweek magazine ranked Johnson Controls as the 11th greenest company among America’s 500 largest corporations. We have been named to 16 sustainability indices including the Dow Jones Sustainability World and North America Indexes.
We are proud of our sustainability leadership and that our focus on energy efficiency supports global climate-change efforts.
Stephen A. Roell
Chairman, President and CEO
Climate change no longer needs an introduction. It is widely regarded as one of the most serious challenges the world faces. It has reached a tipping point in global awareness and demands a global response. KPMG International, through our member firms worldwide, is committed to being a driving force in environmental responsibility, raising awareness and contributing to global stewardship.
Consistent with that commitment, our U.S. firm, KPMG LLP, launched its Living Green initiative in late 2007 to achieve measurable improvements in our environmental performance over a three-year period. Our Living Green goals are substantive: to reduce our carbon footprint by 25 percent, paper use by 15 percent, energy by 5 percent and waste by 10 percent from our 2007 baseline. And we are well on our way to meeting — and likely exceeding — those targets.
KPMG is implementing sustainable business policies, processes and practices to reach our U.S. goals. For example, we recognize the importance of sustainable procurement and the environmental, social and economic impact of our purchasing decisions. As a result, we have created a procurement policy that requires all major suppliers to adhere to our Supplier Code of Conduct, a one-page document based on the United Nations Global Compact, of which KPMG LLP is a signatory.
We also ensure that all of our major office renovations and new construction projects are Leadership in Energy and Environmental Design (LEED) certified by the U.S. Green Building Council.
Fundamental to our efforts is the commitment of our people. KPMG partners and employees across the country have joined together to form Living Green Teams to help reduce the amount of waste we generate and natural resources we consume.
I am especially encouraged by the passion of our next generation of leaders for making the Earth a better place. This year, KPMG sponsored a business case study competition in which 40 teams comprising students from leading universities nationally submitted proposals describing how they would improve their school’s environmental practices. Their creativity and dedication bodes well for the future of us all.
KPMG’s focus on Living Green has helped all of us at KPMG better understand the impact of our environmental practices. Through the continued commitment of our firm and the ardent support of our people, we are dedicated to becoming a catalyst for improved environmental performance.
Timothy P. Flynn
Life Technologies (LIFE) is a global biotechnology tools company dedicated to improving the human condition. Our products and services accelerate scientific research and pave the way for revolutionary advances in areas such as personalized medicine, biofuels and biodiversity. We believe that a better understanding of biology will yield the answers to some of society’s most pressing problems, from scarcity of natural resources to the intractability of certain diseases. It is our mission to help find those answers.
We are proud of the role we play in moving science forward. However, we know that to be a truly great company, we also must be a responsible global citizen. We must reduce our environmental footprint by focusing on climate change, resource conservation and waste reduction. To that end, LIFE has taken several steps in recent years to become a more sustainable company:
- We have set an eco-efficiency goal of 25 percent reduction in our environmental impact for the 2008–12 period. In 2009, conservation projects resulted in reductions of 5 percent in energy use, 3.3 percent in CO2 emission and 18 percent in water intake.
- As we build new spaces or renovate our existing buildings, we adopt the Leadership in Energy and Environmental Design (LEED) standards. Our sites in Pleasanton, CA, and China are LEED certified, and our headquarters in Carlsbad, CA, and buildings under construction in Scotland and China are targeted for certification in 2010.
- We have implemented a design-for-environment program, which re-engineers our product development processes, reducing packaging waste, energy usage, toxic materials and our carbon footprint at every phase of development, from product ideation to end of life.
We have cut the use of expanded polystyrene in our cold-stored products by 30 percent. In partnership with the U.S. Environmental Protection Agency’s Climate Leaders program, LIFE has established a 2012 carbon reduction goal of 25 percent along with strategies on how to achieve it. We also participate in the Carbon Disclosure Project, providing transparency on our carbon emissions and potential impacts of climate change on our business.
LIFE is a member of the FTSE4Good Index Series and the Dow Jones Sustainability Indexes. Recently, we also were included in Bloomberg’s Maplecroft Climate Innovation Index as one of the 100 top-performing companies on carbon management and environmental innovation. In short, we value a culture that is deeply dedicated to the future of science, respects our environment and is committed to doing the right thing. Global citizenship is not a destination but a journey — one that LIFE will undertake for years to come.
Chairman and CEO
CEO Statements M - N
At Macy’s, Inc., we believe that contributing to a more sustainable environment is good business practice and the right thing to do for future generations. We also believe in taking a 360-degree approach to sustainability and renewability with our customers, associates and vendor partners.
Over the past two years, we have made significant progress and have taken dozens of tangible steps to reduce our impact on the environment. In part, we have:
- Installed active solar power systems at 40 Macy’s and Bloomingdale’s stores in California, Hawaii and New Jersey;
- Invested in energy-efficiency projects and consumption-reduction initiatives that reduced our total energy use by 10 percent (to top of a 9 percent reduction in the previous five years);
- Decreased our use of office/copy paper by 34 percent and marketing paper by 23 percent;
- Increased to 63 percent the proportion of recycled or certified paper used in our marketing materials and to 82 percent in our shopping bags;
- Encouraged nearly 1.5 million customers to review their credit card statements online versus on paper by mail;
- Initiated a program to divert 60 percent of the waste from our stores away from dumping in landfills;
- Launched an internal Web site, Green Living, so our 150,000+ associates can interact with the company on sustainability-related topics at work and home;
- Substituted biodegradable packing materials in place of foam peanuts in shipping products bought by customers online;
- Pioneered efforts to reduce the number of empty trucks on the nation’s highways through a coordinated program called Empty Miles Service that matches empty trucks/trailers with other shippers or carriers that can use the space.
Macy’s has been recognized by ForestEthics for reducing mailings and overall paper consumption. The U.S. Environmental Protection Agency has rated Macy’s as one of its top 20 partners for generating the most green electricity on site. And Newsweek ranked Macy’s in the top 50 greenest companies in America for its efforts with solar power, recycled paper and eco-friendly merchandise.
Three years ago, we inaugurated Turn Over a New Leaf to create more public awareness of sustainability. The National Park Foundation has benefited from a $7 million donation from our customers and our company during the first two years.
Although we are a 151-year-old company, we know we have more to learn and more to do in reducing our overall impact on the environment. We want Macy’s, Inc., to be a leader in the global effort to improve our climate, and we are moving forward with conviction.
Terry J. Lundgren
Chairman, President and CEO
The McGraw-Hill Companies
The need to address global climate change is growing more urgent. At The McGraw-Hill Companies, we are doing our part to become a greener company and build the architecture for a greener global economy.
We’re proud of the steps we are taking, and others have noticed our achievements. Last year, Newsweek named us one of the “Biggest Green Companies in America,” and this year, Corporate Responsibility Magazine recognized us for being among the “100 Best Corporate Citizens.”
To make McGraw-Hill a greener place across our businesses we have:
- Reduced paper consumption. As a result, last year we lowered the weight of our books by more than 3.5 million pounds.
- Participated in climate-change reports and corporate responsibility and sustainability indices, including the Carbon Disclosure Project, FTSE4Good Index Series Review and the Bloomberg Climate Change Index.
- Invested in green buildings. Our building in Dubuque, IA, has garnered Leadership in Energy and Environmental Design (LEED) Silver certification, and we are applying for LEED’s highest certification for our newest facility in India.
- Engaged our employees in reducing our carbon footprint. Employees in our offices around the world have created 25 Green Teams with a focus on helping shrink our footprint through enhanced office practices such as double-sided printing.
As businesses and consumers increasingly factor the environment into their decisionmaking, the need for benchmarks, standards, financial models, training programs and education will continue to grow. At McGraw-Hill, we are uniquely positioned to provide these services, which include:
- S&P’s growing list of clean energy and carbon-efficient indices. These indices provide investors with research and benchmarks so they can make investment decisions based on environmental as well as financial performance.
- Transitioning from book learning to digital, paperless learning through our educational materials. About 95 percent of our college textbooks are offered in digital form.
- McGraw-Hill Construction’s GreenSource magazine and Sweets’ Green Collection are helping lead the construction industry toward an era of more energy-efficient commercial and residential buildings.
For McGraw-Hill, this is just the beginning. In the years ahead, we will continue looking for new ways to reduce our carbon footprint and new ways to serve the financial, education and information needs that will underpin a new, greener global economy. This is all part of our ongoing dedication to help create a smarter, better world.
Harold McGraw III
Chairman, President and CEO
For more than 175 years, McKesson has created innovative products and services that make health care safer, higher quality and more efficient. It is this dedication to improving the health of the health care system that inspires our work to improve the health of our planet.
Our commitment to environmental sustainability is focused both on reducing our use of natural resources and ensuring our company’s long-term financial viability. Across our global operations, we maintain a steadfast commitment to comply with all environmental laws and regulations. But we don’t stop there. Just as we go the extra mile to ensure the safety and security of our products, services and people, we challenge ourselves to minimize our company’s impact on the environment.
Every other year, we publish a corporate citizenship report, which follows the Global Reporting Initiative guidelines and provides stakeholders with a full picture of our company’s social, environmental and financial performance. Our commitment to transparency is evident, and I encourage you to visit www.mckesson.com/citizenshipreport to listen to our story in the words of our internal and external stakeholders.
We are fortunate to operate a business with a relatively low environmental impact. Our company does not engage in heavy manufacturing or raw material extraction, nor do we practice onsite stationary combustion. In addition, 16 percent of our 32,000 employees work from home, eliminating their need to commute or work in a commercial building.
McKesson’s environmental sustainability journey, while still in its initial stages, has already yielded rewards for the planet and the company, including a better understanding of McKesson’s greenhouse gas emissions, cost savings and employee participation. In 2008, McKesson established an executive-level environmental council and then launched a network of 12 employee-led environmental councils at McKesson sites around the world. After only eight months, McKesson environmental councils were responsible for projects that not only reduced the company’s environmental impact but also resulted in nearly $100,000 in cost savings. In August of 2009, McKesson also unveiled its first Leadership in Energy and Environmental Design (LEED)-certified pharmaceutical distribution center located in the Chicago, IL, area.
We have consistently focused on getting a better understanding of the emissions produced from our businesses. In our last corporate citizenship report, we were able to report emissions from 28 percent of our U.S. facilities. In our 2009 fiscal year, we more than doubled the number of facilities included in our greenhouse gas emissions report, covering 64 percent of our U.S. commercial locations. In addition, we are now able to include CO2 emissions data from our airline business travel. Consistent with our efforts to gain a better understanding of the emissions produced from our businesses, we are working to improve our water usage data so that we can implement water-reduction efforts in the coming years.
Our planet’s environmental challenges, including climate change, will not be solved by one company alone. It will take all of us working together. At McKesson, we believe that a commitment to good corporate citizenship is a fundamental part of creating sustained value for both society and the company.
We are proud to join other Business Roundtable companies in building healthier communities, a healthier environment and ultimately, a healthier world.
John H. Hammergren
Chairman and CEO
Every day, more than 22,000 Medco employees advance innovations that are designed to deliver on the promise of making medicine smarter — raising the clinical quality of pharmacy practice while helping to reduce the overall cost of health care.
That includes a steadfast commitment to safety, environmental responsibility and sustainability. To minimize our impact on the environment, we have integrated energy-efficient equipment and technologies with sound energy-conservation practices across our operations nationwide.
As part of an overall commitment to responsible resource stewardship, Medco has formalized “standards for sustainability” with a set of performance expectations that, over a three-year period, serve as a blueprint across all of our facilities. Green Teams have been deployed to engage and energize employees — identifying and implementing opportunities to conserve energy, prevent waste and promote recycling.
Many of our locations have recycling rates surpassing 77 percent. We’ve eliminated the use of bubble wrap and increased the use of post-consumer recycled content in our packaging. Online reporting systems have dramatically reduced paper.
Our participation in the Carbon Disclosure Project allows us to monitor and assess our greenhouse gas emissions data.
We’ve also sent thousands of employees “home.” Medco’s successful Work @ Home program enables more than 2,500 employees to telecommute, avoiding an estimated 14,000 tons of greenhouse gas emissions annually. Using advanced technology and collaboration tools, our “Client Solution Centers” teleport Medco experts to client locations, averting the costs and environmental impacts of travel.
Medco’s next-generation mail-order facility in Whitestown, IN, is designed to become the world’s largest and most advanced automated pharmacy — and one of the most efficient. We have registered the project with the U.S. Green Building Council to earn Leadership in Energy and Environmental Design (LEED) certification, the nationally accepted benchmark for green buildings.
Of course, everything about mail-order pharmacy operations makes smarter medicine environmentally friendly. Each of the more than 100 million prescriptions we dispensed in 2009 was delivered to patients nationwide without the need to drive a single mile — a green idea that saves money as well as the environment.
David B. Snow, Jr.
Chairman and CEO
This has been a momentous year for Merck. In November 2009, we merged with our long-time partner Schering-Plough to create a new, global health care leader.
At today’s Merck, we are committed to improving health and well-being around the world and are inspired by the difference we can make in people’s lives through the innovative medicines, vaccines, and consumer health and animal products that we discover and produce. We believe that an important part of delivering on our mission of improving global human health is the protection of the environment and conservation of our natural resources.
Before our merger, both Merck and Schering-Plough were strongly committed to the efficient use of energy and energy conservation. In fact, the U.S. Environmental Protection Agency recognized both Merck and Schering with ENERGY STAR awards for their energy-conservation efforts.
As a company rooted in innovation, the new Merck remains committed to building on the history of both legacy companies by deploying energy-efficient technologies in the research, development and supply of our products. For example, we recently launched an innovative Best Practices Evaluation Tool that allows Merck sites to self-evaluate how well they are meeting energy-reduction goals and identify opportunities to improve.
Companywide, we build all new laboratories and offices to Leadership in Energy and Environmental Design (LEED) Silver requirements or the equivalent.
Last year, Merck and Schering inaugurated two of the largest solar panels in corporate America at its largest sites in New Jersey. We also are installing wind turbines at our U.K. manufacturing facility that will provide a significant portion of the site’s energy demand.
We are committed to transparent disclosure of our performance and approach, including through the Carbon Disclosure Project and our own external reporting. In 2009, Merck reported that it had exceeded its goal to reduce energy demand by 25 percent from a 2004 baseline through 2008. Merck also made a public commitment to reduce our global greenhouse gas emissions by 12 percent between 2004 and 2012.
Merck also is addressing the health implications posed by climate change, including the potential for increasing burdens of asthma and tropical diseases. The MSD Wellcome Trust Hilleman Laboratories, a joint venture between Merck and the Wellcome Trust, based in India, will focus on developing affordable vaccines for low-income countries and optimizing existing vaccines for developing world settings.
We know that the effects of climate change are global, and we continue to have a large research focus on the respiratory field. Here in the United States, the Merck Childhood Asthma Network is working with partners to support and advance evidence-based programs that improve the quality of life for children with asthma and their families.
Climate change is a global reality. Merck strongly supports the adoption of a national and/ or multinational framework to address climate-change challenges. However, we recognize that there is much the private sector can and must do now to address this important global issue. We at Merck remain committed to continuing our efforts both in our own operations and in partnership with others.
Richard T. Clark
Chairman, President and CEO
Motorola is working to be part of the solution to climate change and to reduce the environmental footprint of our products, operations and supply chain. We approach this by improving the environmental profile of our products, enabling our customers to be greener when using our products and making our facilities more energy efficient.
Motorola launched two environmentally conscious mobile phones in 2009 to help consumers reduce their eco-footprints. The world’s first CarbonFree®-certified mobile phone, the MOTO™W233 Renew, and the MOTOCUBO A45 Eco are both made from recycled post-consumer plastic water-cooler bottles and can be recycled at end of life.
We also have introduced the first CarbonFree®-certified universal mobile phone chargers that are energy efficient, enabling consumers to recharge their mobile phones with less impact on the environment. Smarter software also has been embedded in our mobile phones to alert the user when it’s time to unplug the charger so precious energy is not wasted in standby mode.
Our next-generation cable QIP set-tops consume less power, are half the size of their predecessors and achieve an estimated 12 to 20 percent carbon-footprint reduction across the product lifecycle compared to previous models. Also, our SURFboard® cable modems and Netopia® gateways are equipped with energy-saving features including ENERGY STAR power supplies.
Many of our customers have discovered cost savings with green technology that also enables them to reduce their environmental impact. For example, Motorola technologies streamline supply chains with radio frequency identification, avoid wasted journeys with integrated global positioning systems, and can enable more secure and coordinated smart grids.
In November 2009, we launched our take-back recycling program for U.S.-based enterprise customers including portable, mobile and infrastructure equipment. This program supports Motorola’s goal of making recycling simple for customers and consumers.
We also work to minimize the environmental impact of our operations. Since 2005, we have reduced our carbon footprint by 20 percent. In 2009, about 15 percent of Motorola’s global electricity came from renewable resources. Our goal is to increase our global purchase of electricity from renewable sources to 20 percent by 2010 and 30 percent by 2020. We’ve already made a commitment to buy renewable energy credits to achieve our 2010 goal.
Motorola’s innovative spirit is at work, creating more sustainable solutions for tomorrow’s lowcarbon and resource-constrained world. We invite you to learn more at www.motorola.com/environment.
National Gypsum is a “green” manufacturer by choice, committed to the development and implementation of sustainable green building policies, standards and practices and to attaining the highest level of ecological responsibility and energy-efficient technology.
To ensure the company meets its commitment to sustainability, it formed a Sustainability Council made up of members from all areas of the company — Sales & Marketing, Manufacturing, Engineering, Information Systems, Legal, Corporate Communications, Environmental Services, and Research and Development.
National Gypsum Company employs sustainable manufacturing practices and processes throughout its network of plants to minimize its environmental footprint.
- Company paper plants manufacture wallboard facer paper exclusively from recycled paper products.
- Where available, National Gypsum uses byproduct gypsum as the primary raw material at its wallboard manufacturing plants. Byproduct gypsum is produced when coal-fired power companies scrub their stack emissions. The byproduct of this process is calcium sulfate, or gypsum, which National Gypsum can use to produce wallboard. This frees landfills of thousands of tons of byproduct gypsum annually and allows National Gypsum to use the byproduct to make an essential building material.
The company’s products are exclusively protected against mold and moisture using the most advanced mold fighting technology available today. Our products have achieved the most stringent indoor air quality certifications, including GREENGUARD certification.
In 2009, the company developed a sustainability Web site — www.ngc-green.com — designed specifically to assist architects, suppliers and contractors with sustainable projects using National Gypsum products.
A new concept product, ThermalCORE Panels with Micronal PCM, is designed to maintain a consistent room temperature and reduce peak energy demands. The panels are made of microscopic acrylic beds containing paraffin wax. The wax changes phase from a solid to a liquid as the temperature changes.
The company has partnered with Duke Energy to help initiate one of the largest solar projects in the nation. The utility has placed five acres of solar panels on the roof of the company’s newest wallboard plant. This is the largest installation at an industrial site in North Carolina. The panels will collect enough energy from the sun to supply 160 average-sized homes.
Programs are under way to further reduce energy use at locations and to encourage associates to follow sustainable practices.
Thomas C. Nelson
Chairman, President and CEO
Nationwide’s On Your Side promise is to help our customers protect what matters most and help them build a secure financial future. It’s also been an 80-year commitment to invest in the communities in which we do business and the actions we take to minimize our impact on the planet. We don’t claim that doing the right thing has always been easy, but we can say that it’s always come naturally.
In 2009, we completed our first carbon-footprint study, and the findings are driving our changes:
- A majority of our carbon emissions come from electricity used at offices and data centers. We’re shrinking our carbon footprint through green construction, technology upgrades and a focus on reducing electricity consumption.
- We’re also building on our successes in reducing energy use. In 2008, the Uptime Institute gave Nationwide a Green Enterprise Information Technology award for using software that reduces the energy and space needed to run our data centers.
- Our new facility is downtown Des Moines, IA’s first Leadership in Energy and Environmental Design (LEED)-certified office, and one of our three Columbus, OH, office towers received LEED Existing Building certification.
- Through eDelivery, customers are going paperless by receiving account statements and other communications electronically. Last year, we partnered with American Forests to plant trees to recognize customers for going paperless.
- An eco-homeowner endorsement offered by our Scottsdale Insurance division covers physical damage to alternative-energy-generating systems and rebuilds damaged property to green building standards. Eco-friendly underwriting by Scottsdale provides coverage to eco-friendly industries, such as solar panel manufacturers.
Caring for Communities
We believe strong communities are sustainable communities:
- For 51 years, the Nationwide Insurance Foundation has positively influenced the quality of life in communities in which our customers, associates, agents and their families live and work.
- Our On Your Side Volunteer Network helps our associates give their time and talents to volunteer with nearly 1,200 nonprofits nationally.
- We’ve developed a tradition of outstanding partnership with organizations such as United Way, which has twice awarded us the Spirit of America Award, making us only the third company to receive the award twice.
- We helped establish the American Red Cross Annual Disaster Giving Program to help respond immediately with food, water and essentials when disasters strike.
- Working with media personality Tavis Smiley, we’re promoting economic empowerment and financial literacy.
It’s all about helping people, businesses and communities build a more secure tomorrow.
Navistar is committed to reducing carbon dioxide emissions and helping society make the best use of its energy resources by taking full advantage of the opportunities inherent in today’s clean diesel engines and other advanced, energy-efficient transportation technologies.
In our products and in our operations, energy efficiency is an essential business practice. We are a partner in the U.S. Environmental Protection Agency (EPA) Climate Leaders program and are proud to be active in Business Roundtable’s Climate RESOLVE program, which helps us focus on monitoring and reducing greenhouse gas emissions from our facilities as well as our products. We are finalizing our 2009 emission inventory and are committed to reducing our energy consumption, primarily through the use of more-energy-efficient equipment and by eliminating unnecessary power usage by existing equipment. Navistar was the first truck manufacturer to be certified by the EPA as both a SmartWay Transport Partner and a SmartWay Manufacturer.
Since producing the industry’s first smokeless diesel engine in 1989, Navistar has consistently met or surpassed federal goals for cleaning up diesel emissions. Our long-haul tractors use advanced aerodynamics to deliver a fuel economy advantage over their counterparts. We produced the first U.S. school buses and commercial vehicles to use hybrid-electric powertrains. Our hybrids and plug-in hybrids promise to achieve fuel economy gains of between 30 percent and 60 percent, which directly reduces carbon dioxide emissions.
In 2009, Navistar introduced the industry’s first hybrid four-wheel-drive commercial truck. We also were selected by the U.S. Department of Energy (DOE) to help develop the plug-in hybrid school bus into a vehicle capable of all-electric drive for extended periods and were recognized by President Obama for receiving a $39 million federal grant to develop and build all-electric delivery vehicles.
Under a 2010 agreement, we are partnering with DOE in using fuel efficiency and aerodynamics to achieve a 50 percent improvement in fuel efficiency, which will further reduce carbon dioxide emissions. Our unique solution to meeting the tough 2010 NOx standards set by the EPA reduces emissions in cylinder, eliminating the need to use liquid urea for NOx aftertreatment.
Our company knows that sound environmental practice, including the reduction of greenhouse gases, is essential to a safe and healthy workplace, so we strategically integrate product stewardship and environmental health. The result is lower absenteeism, improved productivity and reduced health care costs that benefit the entire organization while adding scientific knowledge to benefit the public.
Daniel C. Ustian
Chairman, President and CEO
Norfolk Southern is pleased to participate in Business Roundtable’s 2010 Sustainability Report. Our goal is to lead the transportation industry in fuel conservation, emissions reduction, efficient energy use, recycling, use of renewable materials and environmental partnerships.
To underscore that commitment, we have unveiled the latest in alternative energy locomotive technology, a prototype 1,500-horsepower switching locomotive, NS 999, which relies solely on rechargeable batteries for power with no diesel exhaust emissions.
As a member of the U.S. Green Building Council, we have committed to building three future intermodal terminal buildings in accordance with standards of Leadership in Energy and Environmental Design and applying for LEED certification. The terminals are part of our Crescent Corridor project, which will substantially reduce fuel consumption and greenhouse gas emissions.
At Norfolk Southern, we have taken the step of calculating and publicly reporting our carbon footprint, which is a measurement of the greenhouse gas emissions generated by our business operations. This is an important indicator that establishes a baseline for improvement and future goals. Disclosure demonstrates the seriousness of our intent to be good environmental stewards.
Improved information systems are helping us enhance our operating plan for running trains even more reliably and consistently. Combined with leading-edge locomotive fuel-saving technologies, these and other efforts have led to improvements in fuel economy of 10 percent over the last decade.
A systemwide lighting improvement project at 300 locations is reducing energy consumption and our carbon footprint at those locations. We also have increased research and development of alternative energy sources, including installation of wind turbines to power wastewater treatment plants.
We donated a conservation easement protecting more than 12,000 acres of forested land near Charleston, S.C. The property harbors endangered red-cockaded woodpeckers among one of the nation’s largest stands of longleaf pines. We’re delighted the land will be preserved for future generations.
Safety is Norfolk Southern’s first priority. Our employees have led the industry in safety for two decades. The company this past year launched an employee wellness program that complements our safety focus.
Our people have embraced responsible business practices that will help ensure the ongoing strength of our company, the livability of their communities, and the quality of their lives. For more information on these initiatives, as well as a detailed analysis of our carbon footprint, I invite readers to visit our environmental Web site at www.nscorp.com/footprints.
Nucor Corporation, as the largest recycler in the western hemisphere, has always been a “green” company. With our primary feedstock being scrap metal ranging from millions of automobiles to retired roller skates, we literally create new steel products from what others see as “junk.” Our quest for sustainability is rooted in being a safe, profitable, high-quality manufacturer of steel products. We have long recognized the importance of the environment in which we both live and operate.
This quest is collectively our corporate culture, but more importantly it is the responsibility of each Nucor employee. Some highlights of this journey are:
- 36 of our 49 divisions received our President’s Safety Award by achieving Occupational Safety and Health Administration (OSHA) rates less than 67 percent of the industry average.
- 13 divisions are recognized in the OSHA Voluntary Protection Program.
- 17 of our 18 steel mills are International Organization for Standardization (ISO) 14001:2004 certified.
- 21 of our 24 fabrication operations are ISO 14001:2004 certified.
- While already efficient, we have continued to reduce our corporate energy intensity for the last four years.
- More than 88 percent of our emission control dusts are recycled.
All of our product streams have high recycled content:
- Reinforcing bar and angles 99.9 percent
- Beams & sheet piling 82.9 percent
- Hot band and sheet 72.9 percent
- Plate 92.2 percent
- Company average 91.7 percent
- We have expanded high recycled content product ranges into Special Bar Quality products.
- Painting emissions from fabrications operations have been reduced by more than 80 percent by developing a water-based painting system.
- 75 percent less greenhouse gas (GHG) is emitted from Electric Arc Furnace recycling versus virgin ore processes.
We are a member of the U.S. Green Building Council and:
- Developed Life Cycle Assessments for major product lines.
- Are tracking harvested scrap metal locations for Leadership in Energy and Environmental Design (LEED) certification projects.
- We are a member of the United States Climate Vision Voluntary Program.
- We are a member of the Asia Pacific Partnership Steel Task Force, improving energy efficiency and technology transfer in the global steel industry.
- We are pioneering revolutionary Castrip Technology at two U.S. locations, casting and rolling sheet steel with more than an 80 percent reduction in required energy.
- 3 steel mills have achieved zero process water discharge status.
Nucor, as part of the U.S. Iron and Steel sector, continues to produce steel at levels above 1990 rates but with 29 percent lower GHG emissions. At Nucor, we continue to develop new technologies that put high recycled content products into new markets, thereby lowering overall GHG emissions.
Daniel R. DiMicco
Chairman, President and CEO
CEO Statements cont. O - R
Office Depot started addressing climate change and energy in 2005. In that year we made a $20 million investment in energy efficiency — retrofitting most of the lights in our retail stores, installing LED exits signs and implementing an energy management system. The results exceeded our expectations: Between 2005 and 2006 we reduced absolute carbon dioxide emissions by 10.1 percent and avoided more than $6.2 million in energy costs. The experience showed us that investing in efficiency pays.
More recently, in 2008 we built our first Leadership in Energy and Environmental Design (LEED) certified store in Austin, TX. The store obtained Gold certification from the U.S. Green Building Council and won the coveted award from Chain Store Age magazine as Environmental Store of the Year. Just as important, the energy savings and carbon-intensity reduction surpassed our expectations — in its first full year of operation, the store achieved 23 percent lower carbon intensity and helped us avoid approximately 17 percent in electricity costs. These results proved how beneficial a green building could be both environmentally and economically.
Based on these positive results, in Q1 2009, we announced a bold move to pursue LEED for Commercial Interiors (CI) certification for new Office Depot retail stores in North America, beginning in June 2010.
Energy-related features of our new LEED CI stores will include:
- Skylights (where applicable) to harvest daylight for 90 percent of the store;
- Reflective roof to prevent absorption of the heat from the sun and keep the interior of the store much cooler;
- ENERGY STAR-rated HVAC equipment that exceeds American Society of Heating, Refrigerating and Air-Conditioning Engineers standards;
- T5 energy-efficient lighting, which is 30 percent more efficient than typical retail lighting;
- Daylight and occupancy sensors, which reduce energy use;
- Green power purchases supplementing electrical use;
- An energy management system that tracks energy usage and trends; and
- 100 percent ENERGY STAR-rated building equipment and appliances.
Green facilities do not represent the only way Office Depot is addressing the challenges and opportunities presented by climate change and energy. We continue to invest in fuel efficiency and transportation optimization — an approach that helped us deliver absolute greenhouse gas reductions from transportation every year from 2006 to 2008. In fact, in 2010 we will take possession of compressed-natural-gas vehicles — and based on the results will evaluate transitioning more of our fleet to alt-fuel options.
We’ll continue to innovate in these and other areas as we implement Office Depot’s long-term environmental strategy to increasingly buy green, be green and sell green. To learn more about this strategy, please visit www.officedepot.com/environment.
Chairman and CEO
Our Commitment to Sustainability
At Owens Corning, we define sustainability as meeting the needs of the present without compromising the world that we leave to the future. This approach to business energizes our people, creates growth opportunities for our customers and drives value for our shareholders.
Sustainability is a core business strategy for us. We are focused on three strategic initiatives to achieve our goals:
- Greening our operations,
- Greening our products, and
- Accelerating energy-efficiency improvements in the built environment.
In Owens Corning’s operations, we are focused on continuous environmental-footprint reductions through employee engagement, capital investments and breakthrough manufacturing technologies. Over the past six years, we have reduced our global energy intensity by 17 percent.
Our new manufacturing processes for fiberglass use advanced glass melting and formulation technology, including industry-leading use of recycled glass that contributes to reduction in energy use, greenhouse gas and other emissions.
Owens Corning’s products have a significant positive impact on the environment. The company’s insulation is one of the most cost-effective technologies to save energy in buildings. In its first year of use, our fiberglass insulation saves 12 times the energy it takes to manufacture it and continues that energy savings for the life of the building.
Owens Corning’s composites business makes fiberglass reinforcements that enable more fuelefficient transportation and more durable infrastructure. We are the world’s largest supplier of glass reinforcements for wind turbine blades — a growing source of renewable energy.
Accelerating Energy Efficiency
Buildings are the largest energy-consuming segment of our global economy, more than industry and more than transportation. The World Business Council on Sustainable Development reports that buildings account for 30 to 40 percent of primary energy used in most countries — 40 percent in the United States. Our goal is to increase the energy efficiency of new and existing buildings by at least 50 percent and work closely with customers and partners to accelerate the market demand for energy efficiency and a greener-built environment.
Energy efficiency is the most cost-effective alternative fuel. We are working to unlock this fuel source in the United States by delivering energy-efficiency solutions to new homes, commercial buildings and the existing 80 million underinsulated homes. Greater efficiency eases the way for more economical renewable solutions such as wind and solar. Our insulation and composites businesses contribute to a future of reduced dependence on fossil fuels and the resulting environmental benefits and national security.
Michael H. Thaman
Chairman and CEO
As we chart the course for a sustainable energy future, our most powerful answer is coal. Coal alone has the scale and cost advantages to deliver what I call the “Three Es” — energy security, economic stimulus and environmental solutions. Achieving these goals is particularly crucial for the 3.6 billion people around the world who lack adequate access to power for the most basic needs: clean water, heat and light.
My company, Peabody Energy, is the world’s largest private-sector coal company at a time when coal is the world’s fastest-growing fuel. Peabody also is a global leader in clean coal solutions, advancing a dozen low-carbon and near-zero–emissions projects and partnerships in the United States, Asia and Australia. Our position provides a valuable perspective on global energy conditions, and it is clear that the causes of the recent crises are still with us. The global population is set to grow to 9 billion in the next quarter century; each one of these new citizens will seek the same modern energy we enjoy. At the same time, energy supplies are proving harder to find, more difficult to drill and more expensive to produce. The world has trillions of tons of low-cost coal. Reserves are vast and geographically diverse. And technologies can transform coal into transportation fuels and natural gas.
Coal also continues to power environmental progress. Since 1970, U.S. coal use and gross domestic product have tripled as regulated emissions have decreased by 84 percent per megawatt hour. The next generation of supercritical, gasification, and carbon capture and storage (CCS) technologies are bringing a near-zero–emissions future within reach.
World leaders and experts agree that coal with CCS is the low-cost, low-carbon solution. Nations have set aside more than $30 billion to accelerate projects worldwide. The Obama Administration recently formed a federal task force to deploy 5 to 10 commercial demonstration projects by 2016, G-8 leaders have called for 20 as early as 2011 and the International Energy Agency seeks 100 plants around the world in the next decade.
Peabody has committed tens of millions of dollars to advance signature green coal initiatives, from GreenGen in China to the Global Carbon Capture and Storage Institute and COAL21 in Australia to FutureGen and the National Carbon Capture Center in the United States. Working together, we can secure our energy future and advance our climate goals. Greater use of the world’s most sustainable fuel — coal — can bring people out of poverty and power green, highgrowth economies around the world.
Gregory H. Boyce
Chairman and CEO
PepsiCo’s commitment to sustainability — defined as Performance with Purpose — is integral to our corporate strategy. We look for ways to solve issues critical to our stakeholders and our business — chief among them, protecting the Earth’s natural resources. Currently we are on track to achieve the following time-bound goals: reductions in water consumption by 20 percent, electricity consumption by 20 percent and fuel consumption by 25 percent per unit of production by 2015 as compared to 2006.
As a company that is expanding across the globe, we are constantly innovating to manage our environmental footprint. That’s why we work to employ methods that reduce our energy draw, protecting the planet’s resources for future generations. From deploying alternative energy supplies for our operations to partnering with expert nonprofit and research groups, we have made significant progress:
- Our Frito-Lay plant in Modesto, CA, draws power from a five-acre solar concentrator field that generates nearly three-quarters of the heat used in the SunChips manufacturing process.
- We clean our Gatorade bottles with purified air instead of rinsing with water. It works so well that we’re spreading this to bottling plants around the world, saving billions of liters of water from going down the drain.
- We’ve developed Sustainable Engineering Guidelines based on Leadership in Energy and Environmental Design (LEED) standards, which we will apply to all new construction, expanding on our commitment to green building across PepsiCo.
- Aquafina’s Eco-Fina Bottle is one of the lightest half-liter bottles of any nationally distributed bottled brand in the market today, weighing just 10.9 grams, and uses 50 percent less plastic than similar Aquafina packaging produced in 2002.
- On average, PepsiCo’s coolers consume 48 percent less energy than 2004 models, and our vending machines use 44 percent less energy than 2004 models.
All in all, PepsiCo has saved more than 875,000 metric tons of greenhouse gas emissions since 2007 — the equivalent of removing more than 167,000 cars from the road, according to U.S. Environmental Protection Agency (EPA) calculations. This is part of the reason PepsiCo has been recognized by the EPA with the 2009 ENERGY STAR Sustained Excellence Award in acknowledgment of our continued leadership in protecting our environment through energy efficiency.
We work hard to improve our environmental performance and will continue to actively lead and engage in solutions to address global environmental issues. Together with our partners, we know we can make a powerful and tangible difference.
Indra K. Nooyi
Chairman and CEO
Praxair is committed to its Principles of Sustainable Development and is working to reduce its environmental footprint while helping customers worldwide to improve their environmental performance. Sustainable development is a key building block of our global strategy and is integrated into our global operations. Each year, at the corporate level and in each of our global businesses, we develop annual targets toward longer-term goals shaped by our Sustainable Development principles. I am particularly pleased to report significant successes from 2009 and some of our plans for 2010.
Customer Commitment and Environmental Innovation
We continue to listen to our customers and provide productivity solutions that reduce their costs and often improve their environmental footprints. For example, in the glass industry, our oxyfuel technology has helped reduce NOx emissions equivalent to 500,000 vehicles and helped reduce CO2 emissions equivalent to 70,000 households. Our industrial and special gases are components in products that produce solar energy, energy-efficient windows and clean water.
Praxair’s focus on customer advantage is matched by our rigorous internal productivity efforts. In 2009, we started to count environmental as well as economic savings. We already project annual savings of more than 16 million gallons of water and nearly 60 million kilowatt hours of electricity. This year, we will launch our second generation greenhouse gas goals, which run to 2020, covering all aspects of our footprint — operations, distribution, capital projects and offices — as well as our market solutions.
Employee Safety and Development
Employee and contractor safety is a corporate value. We regularly receive awards for the best safety performance in our industry. In employee development, we will increase efforts to attract and retain minorities and women in engineering and business, to reinforce our commitment to nurture talent, and to strengthen our culture of inclusion.
In 2009, Praxair extended our outreach to communities in need. We launched a very successful community engagement award to recognize and encourage the community engagement activities that are integral to our site operations around the world.
Sustainable Development Recognition
We are regularly recognized for sustainable development excellence in the socially responsible investment community. We were selected for the 2009 Dow Jones Sustainability World Index for the seventh consecutive year and for the 2009 global Carbon Disclosure Leadership Index, which made us one of just 50 global companies honored for transparency on the issue of climate change.
I take sustainable development seriously, and so does our Board. Our activity in this area helps to dignify us as a company and keeps us focused on our important mission of making the planet more productive.
Chairman, President & CEO
PricewaterhouseCoopers (PwC) is committed to advancing sustainability initiatives that are guided by a commitment to do what is right for our clients, our people, our communities and the environment.
At PwC, sustainability is embedded into our core business. Our firm is committed to accelerating climate change as a key issue in the marketplace and emphasizing that adapting to environmental change is connected to performance, long-term viability and overall reputation. Every day, our people work with leading global and national companies, helping them analyze the business risks and opportunities associated with climate change and develop carbon management strategies that meet business objectives. Our firm helps companies report on nonfinancial data, execute tax strategies that comply with environmental regulations and assess the life-cycle impact of their products — all of which prepare companies across industries to compete in a low-carbon economy. As the global advisor and report writer to the Carbon Disclosure Project, and as an organization that measures companies’ carbon emissions and tracks their emissions reduction strategies, PwC supports the accurate disclosure of greenhouse gas emissions to aid in financial decisionmaking.
Our expertise in sustainability and climate change is being leveraged to help create sustainable solutions for our own operations, which include more than 30,000 partners and staff in 76 offices across the country. PwC is concentrating resources in two areas: making smart investments that create energy efficiencies and driving behavioral change within the firm.
We have committed to reduce our carbon footprint 20 percent by 2012 and are making significant progress toward that goal. In the most recent full-year data available, PwC decreased carbon emissions by more than 30,000 metric tons, representing a 10 percent carbon-footprint reduction.
The investments and actions we have taken to achieve this goal include increasing use of videoconferencing technology to reduce travel; investing in new, energy-efficient printers; and conducting a national commuter survey to help determine our people’s travel emissions between home and work.
These investments have already begun to have a positive impact. Videoconference usage is up 27 percent within the last year alone, more than 10,000 employees have taken our national commuter survey and we have more than 40 active “green teams” in offices across the country. Additionally, in April 2009, Computerworld named PwC one of the Top Green IT Organizations.
We are proud of this progress to date and look forward to continuing to lead the development of sustainability strategies for our clients and our firm.
Dennis M. Nally
PricewaterhouseCoopers International Limited
Using our core value of integrity as a guide, the Principal Financial Group believes how we do things is every bit as important as what we do. To follow are a few examples.
Going Green — Inside and Out
The Principal® uses the U.S. Environmental Protection Agency’s ENERGY STAR program to track greenhouse gas emissions on a monthly basis. In 2008, the carbon footprint of The Principal was reported 30 percent lower than the target footprint of similar office users.
Our Principal Child Development Center is certified by the U.S. Green Building Council Leadership in Energy and Environmental Design (LEED). The Center’s construction and furnishings include the use of recycled and reused materials. Environmentally friendly practices are incorporated into the learning curriculum, ensuring the children attending the center understand the importance of conservation and the environment.
Our goal is to receive ENERGY STAR certification for office buildings that we own and occupy. We have made significant progress to date, with nine of our buildings ENERGY STAR-certified and two more likely to be certified in 2010.
In addition, we continue to support environmentally conscious projects, such as The Principal Riverwalk. Working closely with the Iowa Department of Natural Resources, this project encourages outdoor recreation through pedestrian and bicycle paths and plazas along the banks of the Des Moines River, connecting 300 miles of Central Iowa trails. The Principal Riverwalk is a gift to the city of Des Moines in honor of the 125th anniversary of the Principal Financial Group in 2004.
To continue finding new ways to improve our environmental contribution, a committee of leaders from across the company meets regularly to address sustainability issues.
Building for the Future
Principal Real Estate Investors embraces the movement toward green buildings for properties we invest in on behalf of our clients. We define and measure green features using the LEED Green Building Rating System™. Currently, we have eight LEED Accredited Professionals on staff, as well as a green task force that focuses on building and operating practices that are environmentally sustainable.
Paying It Forward
By working together with the Principal Financial Group Foundation, Inc., The Principal® serves as a responsible corporate citizen by giving to those in need in a variety of ways. In 2009, more than 4,600 employees of The Principal logged more than 31,000 hours of paid time off to volunteer in their communities.
Employees, agents and retirees of The Principal donated $2.44 million to United Way in 2009. With the company match, made possible by the Principal Financial Group Foundation, Inc., the company’s total contributions reached nearly $5 million.
All of these efforts help to sustain quality of life in communities in which we do business and our employees and customers live and work. We are very proud of the accomplishments The Principal has had to date and look forward to future opportunities to support environmental sustainability and social responsibility.
Chairman, President and CEO
Procter & Gamble
Procter & Gamble’s (P&G’s) commitment to sustainability begins with our Purpose: to touch and improve the lives of the world’s consumers, now and for generations to come. In fact, the Company’s growth strategy is linked tightly to our Purpose: we will grow P&G’s business by touching and improving more consumers’ lives in more parts of the world … more completely.
To execute this strategy and fulfill the Company’s Purpose, we must grow responsibly. As a result, sustainability is at the heart of P&G’s business model. We design our sustainability strategies to help make a meaningful difference — in the environmental footprint of our products or our operations, by helping children who most need our help, and by touching and improving the lives of our employees and external partners. We leverage the power and scale of our brands and our people — our two most important assets — to solve real problems facing the world.
To address the challenges of climate change, we are focusing on:
- Reducing the intensity of our greenhouse gas (GHG) emissions from our own operations. Our goal is to reduce CO2 emissions from our facilities by 20 percent per unit of production by 2012 (versus a 2007 baseline). Since 2007, we have achieved a 10 percent reduction in CO2 emissions and an 11 percent reduction in energy consumption. We will continue to drive progress with additional energy-efficiency measures by applying smart eco-designs, transitioning fuel sources to cleaner alternatives, and optimizing finished product transportation. As one example, our paper facility in Mehoopany, PA, implemented a proprietary process that recovers and reuses heat to reduce energy consumption by 422,000 gigajoules per year and CO2 emissions by 13,600 metric tons per year. The energy savings from this one project will be greater than the per-site energy consumption at 80 percent of our other facilities around the world.
- Helping consumers save energy and reduce their own GHG emissions through the development of sustainable products. This includes the development of new product technologies, such as cold-water washing, which delivers the same cleaning performance consumers expect from hot-water washing. If every household in the United States used cold water for laundry, the energy savings would be 70–90 billion kilowatt hours per year.
Our commitment to touch and improve the lives of the world’s consumers is stronger than ever, and we are making progress against the sustainability challenges facing the world today, including climate change. We will continue to disclose data on our CO2 emissions and energy use, reporting progress against our goals on an ongoing basis.
Robert A. McDonald
Chairman of the Board, President and CEO
At Rockwell Automation, we embrace and promote manufacturing’s crucial role in securing our economic future, improving standards of living and caring for our planet. Rockwell Automation is investing in advanced technology and training that will increase industrial productivity, flexibility and efficiency while lowering costs and making manufacturers more competitive. We also believe it is time for a strategy that deals head on with the realities that we all will face in the future. It is time to promote innovation for smart, safe and sustainable manufacturing.
We start with our own operations. Sustainable business practices are as embedded in our business strategies as they are in our values. We share our customers’ priorities for efficient use of resources, a cleaner environment, safe workplaces, and ethical business practices and relationships. We strive to be a leader in how we approach these issues.
For the ninth year in a row, we were accepted as a member of the FTSE4Good Index, a leading social responsibility investment index. We have been recognized by a variety of leading global and national organizations for our successes in sustainable practices including energy management, safety, human resources, ethics and supplier diversity.
Furthermore, as a leading provider of industrial automation, power, control and information solutions, Rockwell Automation helps manufacturers in a wide range of industries optimize their operations while making their production more sustainable — cleaner, safer and more energy efficient. Today’s technologies are converging to enable the next industrial renaissance. At the heart of this renaissance are advanced smart manufacturing technologies that blend the best in people, physical assets, business processes and data and seamlessly connect the plant floor to the enterprise, the supply chain and the customer.
Highly automated, advanced facilities help protect workers from job injuries, improve energy efficiency, and can better track and trace materials to help ensure consumers get safer, higherquality goods. Automation also will play a vital role in manufacturers’ ability to comply with pending carbon emissions regulations.
We give manufacturers a blueprint — or as we call it, a “greenprint” — that helps them measure and monitor energy consumption of individual energy-intensive assets, more effectively manage consumption patterns for the plant, predict the overall impact of production changes on energy use and emissions, and ultimately automate production for optimal energy consumption across the enterprise.
We help transform manufacturers from passive energy users into strategic managers of their energy and environmental resources, thus supporting our mission to make our customers more productive and the world more sustainable.
Keith D. Nosbusch
Chairman of the Board and CEO
Ryder has earned its reputation as a responsible company over its 76-year history by getting the right results, the right way. To Ryder, responsibility and sustainability mean that our core values and business objectives are aligned and that we remain cognizant of our social impacts. As such, below are some of the contributions Ryder is making to provide environmental leadership, ensure safe and efficient transportation, and support the communities in which our employees live and work.
Ryder is a U.S. Environmental Protection Agency SmartWay Carrier and Logistics Partner. We currently track utility use and greenhouse gas emissions from all Ryder-operated facilities in the United States and Canada. We have pursued our goal of zero land filling for more than a decade through the use of onsite and offsite recycling and reuse technologies. Our customers have access to the most energy-efficient vehicles, including specially configured tractors and trailers as well as hybrid trucks, designed to reduce fuel consumption and greenhouse gas emissions. Customers also have access to our proprietary fleet management and diagnostic technologies that help to improve fleets’ performance. Ryder has voluntarily participated in the Carbon Disclosure Project since 2008.
Commitment to Safety and Security
Ryder is an innovator in the implementation of an “activities-based” safety and security management system, which allows each Ryder location to develop a set of unique, proactive, monthly safety, health and security activities designed to improve overall safety performance. Ryder researches and deploys the latest technologies to improve safety, including onboard driver feedback and lane departure warning systems and forward sensing technology. In the interest of national security and as a responsible business entity, Ryder has initiated security programs to improve the security around our rental fleet. Ryder also completed its certification as a Third Party Logistics Provider in the Customs-Trade Partnership Against Terrorism for logistics operations in the United States, Canada and Mexico.
Delivering for Communities
Ryder makes contributions to nonprofit organizations through The Ryder Charitable Foundation. Since 1991, Ryder has been a significant philanthropic partner of the American Red Cross, providing financial support as well as supplying in-kind donations of trucks, sponsoring local Red Cross events and supporting local disaster relief efforts. In June of 2009, Ryder announced that it is committing $1 million over the next three years to support national and local disaster preparedness and response efforts, making it a member of the American Red Cross Annual Disaster Giving Program.
Chairman and CEO
CEO Statements S - T
Sustainability is a journey, and we have much to learn, plan, measure and do. We know that the actions we take today will have a great impact on the future and are critical to achieving our sustainability goals. That is why Sara Lee has adopted this Sustainability Statement, which is one of the guiding lights that help senior management run this company.
“Sara Lee is committed to promoting wellness and nutrition, supporting our communities, and protecting our planet in a manner consistent with our core values.”
On the wellness and nutrition front, we continued to introduce products that met our consumers’ evolving needs. In the United States, our Sara Lee brand introduced a line of high-protein, lower-sodium lunchmeats. Our Sanex team in Europe developed Sanex Zero%, a new shower gel formulated to enhance benefits to the skin while minimizing chemical additives. Our wellness progress also extends to our employee initiatives, as demonstrated by our employee safety metrics, which show a reduction in workplace safety incidents.
Our social responsibility efforts are anchored by our ethical standards, employee programs and community outreach. Our progress there is continued through the work of our Sara Lee Foundation, which supports programs focused on food availability and women’s self-sufficiency and also supports diversity through highly visible cultural programs. In addition, our Europeanbased Douwe Egberts Foundation focuses on improving the living conditions of coffee producers and their families.
Last year, we set corporatewide global environmental goals. We have tracked our performance in water, waste and energy use for several years and now have set and share our goals in these areas. We had significant success in water reduction (more than 20 percent since 2005) and in decreasing the percentage of waste sent to landfills (18 percent since 2005). We still have progress to make toward achieving our energy-reduction goals, and we are determined to meet them by 2012.
While we are striving to make a positive impact throughout the world, there are many challenges we will face on this journey. However, we cannot let these challenges dampen our spirit to be more sustainable or stop us from moving ahead with our programs and initiatives. Our efforts are certainly resulting in progress today, and they will continue to do so for many years to come.
Chairman and CEO
Can a business strategy focused on improving corporate sustainability play a pivotal role in improving economic prosperity? Many organizations are asking this question as we search for opportunities to optimize resources, reduce costs and deepen customer relationships.
We know that 2009 was a challenging year in many sectors of our global economy. Despite the downturn, sustainability has remained on the executive agenda precisely because of its potential to deliver tremendous business value. It’s not just the right thing to do; it’s the smart thing to do.
SAS continues to place significant emphasis on our corporate social responsibility, continually engaging employees for ideas and identifying improvement opportunities. Our employee engagement practices, from health care to expanded job opportunities, are one of the reasons why SAS was number one among Fortune’s 2010 100 Best Companies to Work For in the United States.
SAS has made great progress in reducing our environmental footprint. Our one-megawatt solar array is providing clean renewable energy to the public energy grid for the local utility. The power from our solar farm offsets carbon dioxide emissions produced from traditional sources by more than 1,600 tons annually — the amount of emissions produced by burning 167,000 gallons of gasoline.
Several construction projects at SAS offices around the world use low-environmental-impact design principles. Notably, we are pursuing Leadership in Energy and Environmental Design (LEED) certification for a new conference facility and a new cloud computing facility located at our global headquarters in North Carolina. We have targeted a 30 percent reduction of water use through rainwater collection/reuse and using highly efficient fixtures, a minimum of 20 percent reduction in energy use and a 75 percent recycling rate for all construction waste.
Never before has the motto “Think Globally, Act Locally” been so appropriate as it is in today’s eco-conscious and Net-connected world. Our employees are using social media to virtually connect with green interest groups and share best practices ranging from building efficiency to using software to measure and manage sustainability initiatives. I am proud of the environmental stewardship that SAS employees continue to demonstrate, from volunteer recycling programs to waste reduction initiatives at our conferences.
As we embark on a new decade, we’re eager to see companies compete to have the greenest, most efficient operations. This kind of environment fosters innovation and will ultimately lead to new technologies that position us for energy independence, sustainable growth and development, and leadership.
Siemens believes there is a broad consensus within the private and public sectors that a balance must be struck among the three key components of sustainability: environmental stewardship, economic development and social responsibility.
As a global technology leader employing more than 60,000 people in the United States, Siemens is working hard every day to achieve that balance. In providing the answers to society’s toughest challenges, such as addressing climate change and creating green jobs, Siemens acts on the principle that strong bottom-line growth must go hand in hand with responsible value creation.
And the marketplace is showing this to be the right approach. That’s why for the last several years Siemens has been:
- Developing the world’s largest portfolio of environmental products, solutions and services. Our environmental portfolio is growing at more than 10 percent per year and stood at $31 billion in 2009. We expect it will reach $35 billion in 2011, with solutions covering the entire energy conversion chain, water technologies and air pollution control, to name just a few areas.
- Investing $5.3 billion in research and development globally ($1.3 billion in the United States), with a quarter of this global total dedicated to green technologies in the Industry, Energy and Healthcare sectors. Of Siemens’ 56,000 global patents, about 14,000 of these are “green” or environmentally related. Siemens has more than 5,300 U.S. patents.
- “Walking the talk” when it comes to following sustainable practices within our own business. We have been included on the Dow Jones Sustainability Index for the 10th consecutive year. We’re number one in the Diversified Industrials Sector and proud of it!
Sustainability is already the engine of job growth and will become even more so in the future. Siemens Wind Power division, for example, has grown from one employee to 900 people in four years worldwide; in the American heartland, we are creating hundreds of manufacturing jobs in our wind power facilities in Iowa, Illinois and Kansas. In our Mobility Division, we recently added more than 200 jobs at our light rail manufacturing facility in Sacramento, CA, and stand poised to bring even more employment to produce high speed rail in the United States, all in a facility that is in large part solar powered.
Good corporate citizenship also is an important component of sustainability. Siemens in the United States invests $7 million annually in education initiatives from K–12 to college to encourage and nurture the country’s next generation of scientists and engineers. With efforts such as the Siemens We Can Change the World Challenge, we are encouraging young people to think about applying scientific solutions to the challenge of sustainability in their own communities. This year’s top three winners came from West Branch Middle School in Iowa, St. Phillip the Apostle School in Illinois, and Cape Hatteras Secondary School of Coastal Studies in North Carolina.
And in 2010, we are proud to sponsor the 3rd Annual Siemens Sustainable Community Awards with the U.S. Chamber’s Business Civic Leadership Center. These awards recognize communities and organizations that have shown strong commitment to achieving complementary economic, environmental and social goals that will help build long-term competitiveness and success.
Finally, sustainability means being ready to lend a helping hand at a moment’s notice when disaster strikes. Siemens and its employees, through its Caring Hands organization, donated well over $1 million in money and materials, such as LED flashlights, pocket ultrasounds, testing supplies, water filtration devices and portable generators, to aid the victims of the earthquake in Haiti in early 2010.
President and CEO
As one of the nation’s largest electricity producers, Southern Company is committed to providing energy that is affordable, reliable and environmentally responsible.
That commitment includes aggressive actions to develop cost-effective technologies to reduce greenhouse gas emissions and help our 4.4 million customers use energy more efficiently.
We continue to add programs to encourage and promote energy efficiency. Our investment in efficiency and demand-reduction initiatives is set to top $1 billion by 2020.
These efforts save customers money and also reduce the need for new generation, which in turn can limit carbon dioxide emissions.
Our installation of smart meters, currently at 2 million, continues at a rapid pace — about 4,500 a day — with a target of providing them for all our customers by 2012. These high-tech devices, which boost the efficiency of our system, have the added carbon-reducing benefit of eliminating the need for vehicular meter reading.
Because there is no single solution to the climate-change issue, our technology-driven activities are diverse, including clean coal generation, renewables and new nuclear power.
Southern Company is a key player in advancing technologies, including carbon capture and storage, to improve how we use coal, our most abundant fuel for generating electricity. We are proud to be the U.S. Department of Energy’s choice to operate the National Carbon Capture Center in Alabama. Our planned commercial-scale coal gasification plant in Mississippi will reduce emissions to a level comparable with natural gas. And we have a growing portfolio of research projects aimed at bringing carbon capture and storage closer to commercialization.
Our renewable energy initiatives include a biomass plant in Texas that will be among the nation’s biggest. We’re partnering with Ted Turner to pursue development of renewable projects, particularly solar power. And we are evaluating other renewable sources, such as offshore wind and geothermal energy.
We strongly support expanding nuclear power, which emits no greenhouse gases, and are adding the nation’s first next-generation nuclear units to our existing Vogtle site in Georgia.
Our efforts go well beyond power production. For example, Southern Company’s information technology department is out front in finding ways to reduce emissions by holding down computer-related energy usage.
We are delivering exciting new technologies that will both improve our business and address environmental challenges.
David M. Ratcliffe
Chairman, President and CEO
At State Farm®, our mission is to help people manage the risks of everyday life, recover from the unexpected and realize their dreams. Our core business is based on a simple principle: keeping promises to customers. We are fundamentally committed to the best interests of our policyholders and our communities.
We work collaboratively with strategic nonprofit organizations to deliver high impact, sustainable results. Two great examples are partnerships with Local Initiatives Support Corporation (LISC) and Habitat for Humanity‘s youth programs.
With State Farm loans, LISC made direct investments toward affordable housing and commercial development that incorporates green design elements to increase energy efficiency and sustainability of new and rehabilitated real estate in low-income neighborhoods. Projects include:
- The Margot and Harold Schiff Residences (Chicago, IL) provide permanent supportive housing for low-income disabled adults and former public housing residents. The Residences include multiple green design elements, such as roof-mounted wind turbines, solar thermal collectors and a rainwater recycling system, for which it received the Leadership in Energy and Environmental Design (LEED) Silver distinction.
- The Oddfellows Hall (Detroit, MI) was transformed by the Southwest Detroit Business Association. This formerly vacant building has green elements including geothermal heating, recycled flooring and an energy-recovery system.
State Farm and Habitat for Humanity partner in the Safe and Green Pilot Program. State Farm grants to two Habitat affiliates in Alabama will use safe and green building techniques to construct two homes, using a safe standard and a green standard. Best practices and lessons learned will be shared with State Farm, other Habitat affiliates, the Institute for Business and Home Safety, and the National Association of Home Builders.
The State Farm Youth Advisory Board, meanwhile, provided 56 grants to nonprofit organizations whose projects target environmental awareness and sustainability. Since 2008, more than $3.3 million has been given.
State Farm’s facilities demonstrate our belief that “a good neighbor is a green neighbor”™ by:
- Exceeding our 2012 greenhouse gas reduction goal and continuing to pursue reductions enterprisewide;
- Increasing to 85 our average ENERGY STAR rating for all major facilities; and
- Maintaining a building with 100 percent renewable energy. In 2009, the Austin Operations Center was ranked 41st in the U.S. Environmental Protection Agency’s ranking of top Fortune 500 purchasers of power generated from renewable resources.
State Farm remains a corporate leader because its daily business operations and community partnerships are based on financially sound, socially responsible and sustainable business practices.
Edward B. Rust Jr.
Chairman and CEO
By thoughtfully aligning Target’s business strategy with the needs of the global community and marketplace, we pursue profitable and sustainable growth through our unwavering dedication to social responsibility, economic well-being and environmental health.
Sustainability at Target has been a journey. We have a long-standing history with significant efforts driven by teams across the company that date back to the 1970s. As we strive to be good stewards of the environment, we are focused on using resources responsibly, eliminating waste, offering our guests sustainable choices, designing our stores to minimize our impact on the environment, and influencing our vendors and suppliers to embrace sustainable practices.
Some of our recent accomplishments include:
- Introducing a nationwide five-cent discount for every reusable bag guests use when shopping at our stores, helping keep plastic out of landfills;
- Investing millions of dollars in retrofitting nearly one-third of Target’s stores by the end of 2010 with high-efficiency lighting fixtures that reduce energy usage by an average of 10 percent per store;
- Saving more than 110 million kilowatts of energy in 2009 alone by reducing our afterhours store lighting;
- Increasing our number of Leadership in Energy and Environmental Design (LEED)-certified stores to five and leveraging rooftop solar panels for 21 stores, providing 20 percent of the stores’ power;
- Actively partnering with the U.S. Environmental Protection Agency as a member of the SmartWay program and significantly improving our distribution transportation procedures to improve fuel efficiencies; and
- Continuously evolving and broadening our merchandise assortment of eco-friendly products, helping guests live more sustainable lives.
While we are proud of our accomplishments, we recognize that we must be better for guests, team members, shareholders and communities by making a stronger commitment to reducing our environmental impact and offering more responsible choices to our guests. Waste, carbon reduction and water management are priorities for 2010, and we’re working toward setting meaningful goals. We take climate change seriously, and we are committed to reducing our global carbon footprint and offsetting our impact by increasing energy efficiency, piloting new technologies and transitioning to renewable energy sources over time.
We will continue to make progress on our environmental sustainability journey and to share our accomplishments as we continue to improve and innovate at Target.
Chairman, President and CEO
Thermo Fisher Scientific
At Thermo Fisher Scientific, our mission — to enable our customers to make the world healthier, cleaner and safer — is closely aligned with sustainability. Across more than 400 locations worldwide, we work to fulfill our mission through operational enhancements and innovative products that contribute to strong sustainability performance.
Globally, we apply our innovation to reducing energy consumption and greenhouse gas emissions and to developing products that help our customers do the same. But I’m just as proud of our award-winning local initiatives, in which dedicated teams are recycling, reducing waste and conserving energy, demonstrating their commitment to our mission — and protecting our environment.
Our energy-efficiency initiatives have yielded substantial savings. As just one example, lighting retrofits at 15 of our largest U.S. sites reduced electricity consumption by almost 7.7 million kilowatt hours (kWh) and prevented the release of 12 million pounds of carbon dioxide. In addition, innovative ventilation systems have replaced continuous exhaust systems with as-needed operation to maximize employee health protection and reduce energy use by 70,000 kWh per year.
Last year we implemented a utility management system in the United Kingdom, with adoption by our U.S. sites in 2010. The system supports our participation in the U.K. Carbon Reduction Commitment Program and U.S. Carbon Disclosure Project by monitoring and benchmarking energy use while identifying reduction opportunities. Our manufacturing facilities also began regular infrared testing for early identification of electrical switchgear overheating to maximize safety and energy efficiency.
As the world leader in serving science, we are at the forefront of addressing climate change and other environmental challenges by providing diverse products that help our customers meet their own sustainability objectives.
- Globally, leading energy providers use 2,500 of our continuous emissions monitoring systems to monitor and measure 3 billion metric tons of carbon dioxide emissions each year, data that is essential for reduction efforts.
- Nearly 22,000 of our handheld X-ray fluorescence analyzers are in use, analyzing soil at brownfields, detecting contaminants in toys and other consumer goods, and identifying metals to facilitate recycling.
- Thousands of our mass spectrometers and chromatographs are applied globally to water supply and soil testing, air monitoring and food safety, where they can detect pesticides, dioxins and emerging consumer threats like melamine.
In these ways and others, Thermo Fisher Scientific is committed to sustainability in our operations and products — just as we have always strived to enable our customers to make the world healthier, cleaner and safer.
Marc N. Casper
President and CEO
Tyco International is a diversified, global company that provides vital products and services to customers in more than 60 countries. Every day, we help make the world safer, more secure and more productive, and for our more than 100,000 employees around the world, protecting the environment is vitally important.
Tyco has set an ambitious goal to reduce greenhouse gas (GHG) emissions by 25 percent over the next five years, and we’ve made tremendous progress so far, in particular across our fleet and manufacturing operations. Our efforts to reduce energy use at our facilities have resulted in a decrease of 18 million kilowatt hours in annual energy consumption, which is comparable to removing 2,200 cars from the road or planting 3,400 trees. Also, our Allied Tube and Conduit facility in Harvey, IL, is finishing construction on a 500,000-square-foot building expansion project. Once complete, the facility will be Tyco’s first manufacturing site certified to the Leadership in Energy and Environmental Design (LEED) Gold rating by the U.S. Green Building Council.
In addition, we’re taking several steps across our fleet to reduce GHG emissions:
- Over the past year, Tyco’s fuel consumption in the United States decreased by about 429,000 gallons, equivalent to 3,900 metric tons of CO2e;
- In South Africa, we replaced our fleet of small pick-up trucks with more fuel-efficient sedans; and
- Now, we’re pilot testing a number of hybrid-electric vehicles across our European fleet.
In other parts of our business, Tyco research engineers and designers are developing products with less environmental impact. For example, in our Safety Products business, we manufacture fire suppression systems that offer alternatives to systems containing hydrofluorcarbons, a potent contributor to GHG emissions. Our Water business manufactures products used by customers to manage critical water resources.
Reducing waste is another key focus of our environmental efforts. SimplexGrinnell completed major changes to the packaging and shipping of its 4100U Fire Panel, eliminating 48 tons of steel per year. In addition, we use 100 percent recycled steel to manufacture ductile iron pipe in our Flow Control business and 40 percent recycled content steel to manufacture steel tubing in our Electrical & Metal Products business.
Our company-wide environmental efforts are strongly supported by our employees’ commitment and enthusiasm. At Tyco, we understand that doing our part to conserve energy and reduce GHG emissions is a shared responsibility, and it’s the right thing to do.
Edward D. Breen
Chairman and CEO
CEO Statements cont. U - Z
People rely on United Airlines to connect them to the largest cities and local communities across America and the world. We have a vital role in the economy — enabling tourism, facilitating commerce and stimulating job creation. This connection means more than providing safe, courteous, reliable air travel. It also means engaging in issues that have an impact on our industry and using our resources to make a difference on the environment and in our communities.
We take meaningful and fiscally responsible actions to reduce our impact on the environment while improving business results. We recently committed to a significant investment in our company’s future with a widebody aircraft order that will provide customers with state-of-the-art cabin comfort and reduce fuel use and environmental impact by nearly 33 percent. We continue to replace our ground support equipment with alternatively fueled or zero-emitting vehicles; use EcoPower Engine Wash to clean aircraft engines, which saves up to 3 million gallons of fuel a year; and implement operational initiatives to improve fuel efficiency and reduce costs.
Our future relies on sustainable alternatives to petroleum-based fuels, and we are doing our part in advancing the technology for such fuels. We signed memorandums of understanding to purchase alternative jet and diesel fuels derived from bio and synthetic feedstocks beginning as soon as 2012.
Protecting the environment is a shared responsibility. For customers, we launched a carbon offset program that enables individuals to offset their carbon emissions. Within our industry, we have taken a leadership role in advancing the Next Generation Air Transportation System, which will reduce CO2 emissions by up to 12 percent.
In our communities, we continue to strengthen our relationships and be a reliable partner. By donating air travel and cargo space, and through our volunteers and charitable contributions, we support organizations that help address the critical health care, educational, cultural and economic needs of our communities.
Corporate responsibility at United is about the way we work as a team to make every action count — improving our airline, positively impacting the environment and our communities, and better serving our customers.
Glenn F. Tilton
Chairman, President and CEO
Railroads are the freight transportation answer to reducing America’s emissions and related greenhouse gas emissions. Union Pacific’s ability to handle more traffic on our rail system benefits our customers, our communities and our country.
In addition to delivering the goods American families and businesses use every day, Union Pacific is playing a central role in supporting the renewable energy industry. We are delivering the materials our customers need to expand America’s natural gas pipeline network, generate more electricity from wind and support the growing demand for ethanol under the Renewable Fuel Standard.
Our operations touch nearly 7,000 U.S. communities, and we are working hard to reduce our environmental impact in each of them. For example, we have the cleanest locomotive fleet in the industry with more than 75 percent of our units certified under existing U.S. Environmental Protection Agency Tier 0, Tier 1 and Tier 2 emissions standards. And Union Pacific pioneered the Genset switching locomotive, which reduces nitrogen oxide emissions by 80 percent, particulate matter by as much as 90 percent and fuel use by 37 percent compared to older switching locomotives.
Reducing fuel consumption drives a smaller emissions profile. Union Pacific’s continued work to improve fuel efficiency — which is 20 percent better since 1998 — and reduce emissions is wide ranging. Examples include:
- Our Fuel Masters program, which rewards locomotive engineers for efficiently operating trains;
- Fuel Conservation Speed 50, a program that limits the use of higher-throttle notches on trains traveling faster than 50 mph;
- Our comprehensive process to reduce unnecessary locomotive idling time; and
- Implementing technology such as distributed power, GPS systems, virtual simulation training and ultrasonic wheel inspection of rail cars that not only contributes to creating a more fluid rail network but one that is safer, too.
Freight railroads help reduce highway congestion, which saves taxpayer dollars, improves transit times and increases driver safety. For example, a single Union Pacific double-stack train can take as many as 300 trucks off our highways.
Innovative thinking, technology development and the commitment of our people have been hallmarks of our nearly 150 years of service to America and are at the core of making Union Pacific one of the safest, most fuel-efficient and environmentally responsible modes of freight transportation.
Chairman, CEO and President
At United Technologies, we believe that business success and corporate responsibility go hand in hand. We embrace the highest ethical, environmental and safety standards while constantly working to reduce negative impacts and increase positive returns.
Sustainability is a priority in our operations, our supply chain and our products. Internally, we have been setting aggressive goals for improved environmental performance for nearly two decades. Since 1997, we have decreased our water consumption by 57 percent and our base energy consumption by 29 percent while the company doubled in size. Since 2007, United Technologies also has approved $116 million in energy and greenhouse gas reduction projects, already exceeding its $100 million reduction commitment for 2010.
United Technologies continues to set new standards in energy efficiency in the products it makes — from aircraft engines to elevators to HVAC units to fire detection systems. On the aerospace side, products like Pratt & Whitney’s Geared Turbofan engine delivers significant savings compared to today’s engines, including at least a 12 percent reduction in fuel burn, 55 percent reduction in nitrous oxide emissions and 50 percent reduction in engine noise. Our energy-efficient products made for commercial and residential buildings also have the potential to reduce environmental impacts globally.
Buildings account for 40 percent of energy use and greenhouse gas emissions that exist today; more than all the cars, trucks and buses on the road today. This provides United Technologies, one of the largest suppliers to the global building industry, with a tremendous opportunity. Our energy-efficient product lines — made by companies such as Otis (elevators), Carrier (HVAC), Fire and Security, and UTC Power (fuel cells) — are paving the way toward integrated building solutions. These products enhance overall building performance while lowering greenhouse gas emissions and energy cost, thereby having a significant and immediate impact on climate change.
United Technologies’ efforts toward sustainable practices also have been recognized externally. We’ve been named to the Dow Jones Sustainability Index every year since 1999. We were ranked first in Transportation & Aerospace and 38th overall in Newsweek’s inaugural Green Rankings, an evaluation of the greenest big companies in America. At United Technologies, sustainability is part of everything we do — from innovation to customer focus to shareholder value. At the forefront of innovation, we will continue to develop sustainable solutions to tomorrow’s problems.
Chairman and CEO
At Verizon, we believe our broadband and wireless networks can help our society work smarter and create a truly sustainable economy. We are committed to working on our own and with partners to achieve these goals.
We use our extensive supply chain and customer connections to reduce waste and promote the recycling of materials and products. In 2009, we set an industry standard by requiring that new telecommunications network equipment be at least 20 percent more energy efficient than comparable equipment already in place. We have established energy-efficiency tests and ratings to guide our suppliers in this effort, and we have invited other telecommunications companies to adopt these standards.
In addition, in the last year, our aggressive paperless billing program has increased the number of paperless bills by 14 percent. Throughout 2009, our HopeLine® program was responsible for collecting 1.1 million cell phones and recycling more than 15,000 pounds of batteries. Under our eTree initiative, we have planted almost 12,500 trees in exchange for shareowners’ opting for online delivery of our annual report. The cumulative environmental benefit of these and other conservation programs is equivalent to reducing gas consumption by more than 37 million gallons, or taking 60,000 passenger cars off the streets for one year.
More broadly, we are promoting the power of Verizon’s broadband, wireless and global Internet Protocol (IP) networks and services to reduce greenhouse gas emissions and create “smart” solutions that will help our customers be greener and more efficient. One recent study estimates that better use of information and communications technology could reduce greenhouse gas emissions by as much as 15 percent and save almost a trillion dollars in energy costs over the next 10 years. Verizon’s global IP networks are the foundation on which these e-commerce business models are based, and we offer a wide range of collaborative technologies, such as video conferencing and cloud computing, that help global enterprises work more efficiently. We also are working with entrepreneurs and developers on a new generation of wireless devices in which connectivity will be embedded in utility grids, transportation systems, buildings and appliances.
We approach the future with confidence and the firm belief that Verizon will continue to be a positive force in society and improve the quality of life for our customers, our communities and the environment.
For details, see our Corporate Responsibility Web page on the environment at http://responsibility.verizon.com/home/results/environment.
Ivan G. Seidenberg
Chairman and CEO
At Walmart, we’re making sustainability part of everything we do. It’s helping us find ways to operate in a more efficient and responsible manner. It’s also an important part of our mission to save people money so they can live better. We don’t believe that customers should have to choose between products they can afford and those that sustain our resources and protect the environment.
America needs comprehensive legislative policy that addresses energy efficiency and security, pollution reduction, and our national competitiveness. In the meantime, there are steps that companies like Walmart can take to make a difference.
We’re working aggressively to reduce our own environmental impact while engaging our suppliers, associates and customers around the world in our sustainability efforts so that they can do the same.
Increasing Energy Efficiency in Our Operations
We’re making significant progress on our energy-efficiency and renewable-energy goals for our facilities and fleet.
- We have 30 facilities in California and Hawaii with solar power installations and are purchasing 226 million kilowatt hours (kWh) of wind energy annually in Texas.
- We have an agreement in Japan to buy 1 million kWh of clean, renewable energy per year.
- Our ASDA trucking fleet in the United Kingdom has cut greenhouse gas (GHG) emissions by 40 percent through the use of new technology, consolidated supplier deliveries and increased use of rail transportation.
Removing GHG Emissions from the Products We Sell
The footprint of Walmart’s global supply chain is much larger than our own operational footprint and represents a more impactful opportunity to reduce emissions. As we help our suppliers reduce energy use, costs and carbon footprint, we’ll be helping our customers do the same thing.
- In February, Walmart committed to eliminating 20 million metric tons of GHG emissions from the life cycle of the products we sell around the world by 2015.
- In 2007, Walmart launched a pilot to cut supply chain emissions. Through this program, DVD suppliers reduced packaging and cut more than 28,000 metric tons of GHG.
- Walmart has sold more than 350 million compact fluorescent light bulbs in the United States alone. We estimate that during the life of these bulbs, our customers will save more than $13 billion and avoid producing more than 65 million metric tons of GHG emissions.
Engaging Suppliers, Partners and Consumers
Walmart and our supplier partners have a history of working together to create a more efficient supply chain. Our efforts to reduce energy are no different because we share common goals.
- Walmart helped establish the Sustainability Consortium, which brings together retailers, manufacturers, universities, and a number of government and nongovernmental organizations (NGOs) to develop metrics for measuring the environmental impacts of consumer products across their life cycle.
- Last year, Walmart announced that we would help lead the creation of a Sustainable Product Index to provide comprehensive information to consumers about the environmental impact of the products they buy.
We know that the biggest challenges facing our global society require all of us — business, NGOs, elected leaders and individuals — to work together and find solutions. We’ve made progress and look forward to accomplishing much more as we continue our sustainability journey.
President and CEO
For more than 100 years, Weyerhaeuser has sustainably managed one of the world’s most renewable, greenest resources — forests, trees and the products that come from them. Our North American timberlands are third-party certified to sustainable forestry standards. In Uruguay, where we’ve planted trees on former grazing land, new forest land sequestered 650,000 metric tons of carbon dioxide in 2008. Climate change and energy bring new attention to forest solutions. We are actively pursuing new ways to provide our customers with renewable choices and bring new, green products to the marketplace.
For example, biomass energy from sustainably managed forests is carbon neutral. To that end, we are working to convert biomass from our land into liquid fuels for transportation through our Catchlight Energy joint venture with Chevron. In solid fuels, we are working with Mitsubishi to assess the feasibility of a commercial-scale plant to make wood-based biopellets for energy production by utilities and industry.
These new energy ventures are simply an extension of what Weyerhaeuser’s been doing for decades: making the world better through continuous innovation in sustainable forestry practices and environmental stewardship. That includes using wood residuals and other organic byproducts from manufacturing and harvesting activities to fuel our manufacturing operations. In 2008, we met 75 percent of our energy needs with renewable, carbon-neutral biomass. In some cases, we even sold excess green energy back to the grid.
As we seek big breakthroughs in biomass energy, we also are focusing on the many little things that help the marketplace make better-informed, greener choices. For example, our wood products business makes green building easier than ever before. Weyerhaeuser’s entire iLevel product line recently received a “green” designation from the National Association of Home Builders Research Center. And we are working with Lenzing to develop novel, lyocell-based, nonwoven fabrics as a renewable alternative to petroleum-based materials.
And our homebuilding business, one of the nation’s largest, works closely with programs like Built Green™ and ENERGY STAR. By doing so, buyers of Weyerhaeuser homes can purchase one that is both environmentally friendly and budget friendly. In our California and Nevada markets, we call that LivingSmart®, and all our new homes feature comprehensive Earth-friendly and energy-saving design.
These are just a few examples of how Weyerhaeuser combines human ingenuity with one of the world’s most sustainable resources to improve lives and the planet we share. Learn more at www.wy.com/sustainability.
Daniel S. Fulton
President and CEO
For nearly 100 years, Whirlpool Corporation and our employees have strengthened the economic and social fabric of our communities, and for decades, Whirlpool has invested in technologies that help consumers save energy and water.
Whirlpool was the world’s first appliance manufacturer to announce a global greenhouse gas reduction target. And we continually strive to understand and manage the environmental effects of our business by creating new and innovative products that consume less energy and water, improving our processes and using materials that minimize the impact on the planet. In 2009, we introduced a front-load clothes washer that has one of the most efficient energy ratings available and can save U.S. consumers more than $1,000 in water and energy over the lifetime of the product. Also, more than 85 percent of the materials that make up our products can be recycled.
Energy use and conservation are among the most pressing issues facing society today. Demand for energy continues to rise and, in particular, peak electricity consumption drives disproportionately higher energy costs. Whirlpool believes appliances that can help manage this peak demand by connecting to a smart electricity grid will significantly help in the quest for energy conservation and global emissions reduction.
Smart appliances capable of reacting intelligently to signals from the smart grid and modifying their energy consumption will save consumers money on their home electric bills. This type of appliance also will help with the integration of inherently intermittent renewable energy sources, such as solar and wind power.
That’s why, in 2009, we announced our commitment to make all the electronically controlled appliances we produce — everywhere in the world — capable of receiving and responding to signals from smart grids by 2015. Our ability to successfully deliver on this commitment, in this timeframe, is dependent on the development by the end of 2010 of an open, global communication standard and appropriate policies that reward consumers, manufacturers and utilities for using and adding these new peak-demand-reduction capabilities.
We believe in this technology and its importance to current and future generations. It is for this reason that we have invited others in the appliance industry, government institutions, nongovernmental organizations, utility companies and technology companies to join us in making this commitment a reality.
Jeff M. Fettig
Chairman and CEO
Williams’ largest opportunity to reduce greenhouse gas (GHG) emissions is to help develop this country’s natural gas resources in an environmentally sound way. Natural gas will play a very important role in reducing GHG emissions as America continues to progressively embrace a more diversified energy supply.
At Williams, we believe natural gas resources can be developed in a way that minimizes the environmental footprint of production while providing a cleaner-burning fuel to heat homes and generate electricity, play a role as a transportation fuel, and provide reliable backup for intermittent wind and solar.
In addition to producing, processing and transporting cleaner-burning natural gas for growing electricity and heating markets in the United States, Williams continues to look for other opportunities to reduce GHG emissions.
Improving our energy efficiency — Williams is constantly reviewing operations and facilities to further identify projects to increase our energy efficiency — from employing the latest generation of turbines and using waste heat to generate electricity in our gas processing facilities to replacing the windows in our 52-story office tower. The less fuel we use, the fewer CO2 emissions are released. We are tracking and reporting our GHG emissions through our enterprisewide annual inventory.
Supporting new technology — The HAWK camera is a device that can quickly survey pipelines, facility piping and valves to find leaking components. Another example is the “green completion” process developed by Williams’ exploration and production employees that captures gas traditionally flared. This process helps protect air quality, conserve energy and recycle fluids. Williams also is beginning to use hybrid trucks in some of our field offices to reduce automotive emissions; converting one heavy-duty truck from diesel to natural gas is the pollution-reducing equivalent of removing 325 cars from the road. And we continue to look at other innovative potential projects that would help reduce GHG emissions, employing our engineering expertise and industry knowledge.
Participating in the development of climate-change and energy policies — Williams works with industry associations and directly with our state and federal representatives to encourage them to keep in mind the importance of natural gas as they implement a viable energy policy and how the design of a carbon tax or cap-and-trade system can best work for the U.S. economy and other specifics of climate-change policy.
In general, our response to global climate change will align with the way we manage, process and conserve resources, as well as how we protect ourselves, our communities and the environment. Williams will continue to deal proactively with both the challenges and opportunities presented by climate change and look for ways to enhance our existing GHG emission-reduction activities.
Chairman, President and CEO
World Fuel Services Corporation
World Fuel Services Corporation’s business operates at the crossroads of the energy and transportation industries. Carbon emissions from fuel consumed by ships, airplanes and automobiles feature prominently in the debate over pricing carbon in the area of global trade. We directly participate in many initiatives committed to mitigating the impact of these emissions, most notably the work of the Marine Environmental Protection Committee at the International Maritime Organization, the International Air Transport Association and the International Standards Organization. And while the issues are complex, the single recurring theme is that we aspire to create one sensible, consistent international standard for fuel emissions.
Ultimately, we believe dealing with global climate change is an issue of citizenship. As citizens of this company, our country and the world at large, we are stakeholders in ensuring a sustainable environment for now and generations to come. Stewardship of our planet’s resources is everyone’s responsibility, and sustainable economic growth can only be achieved if we have a sustainable environment.
Of course, the costs associated with transitioning the global economy to a carbon-neutral footing are enormous and, as we learned at Copenhagen, politically challenging. But there are important lessons to be learned from the global economic crisis. Excessive leverage and grossly mispriced risk created moral hazards that had catastrophic consequences. It is no less true with climate change and environmental sustainability. Failure to pay the true social and economic costs intrinsically associated with climate change creates a kind of universal moral hazard in which we continue to emit carbon at an artificially low price and accrue an enormous debt payable in the future. The prospect of environmental deleveraging on a massive scale is sobering and underscores the urgent need for the business community to work closely with the public sector to develop a more strategic long-term approach to global industrial policy.
At World Fuel, we believe sustainability must be more than a matter of corporate policy. It must be a mindset that helps drive behavior throughout the organization. We believe we have a responsibility to lead by example in our industry and help our customers and suppliers in the energy and transportation industries navigate an economically viable transition to a more carbon-neutral world.
Paul H. Stebbins
Chairman and CEO
At Xerox, our commitment to sustainability began in the 1960s as the right thing to do. That early commitment has led us on a fascinating journey. We pioneered two-sided copying, print-ondemand, the use of recycled paper in the office, recycling toner cartridges and the promulgation of tough sustainability standards for our paper suppliers.
The more we have integrated sustainability into our business operations, the more it has become a part of our DNA. Backed by leadership, innovation and partnerships, we continue to look for new ways to meet the needs of business while doing our part to minimize our impact on the environment.
Leadership: Xerox strives to be carbon neutral, to reduce the carbon footprint of our operations and that of our customers. Our company-wide effort to reduce energy use yielded an 18 percent reduction in greenhouse gas emissions since 2002 and a cost savings of more than $18 million. We’ve since increased the goal to a 25 percent reduction by 2012.
Innovation: We were an early leader in the sustainability movement because we thought it was the right thing to do for the environment. But we discovered something else along the way. Every one of our innovations ended up either saving us money or creating new markets and new revenue. We found, in other words, that we don’t have to choose between the environment and profit. We can do both. We can do both for our customers, too. Take for example our recent launch of the Xerox ColorQube™ — a multifunction printer that not only helps our customers cut their costs, but reduces the impact on the environment. It cuts the cost of color pages by up to 62 percent compared to traditional color laser printers. And ColorQube, whose non-toxic, cartridge-free, crayon-like sticks generate 90 percent less supplies waste, uses 9 percent less life cycle energy and produces 10 percent fewer greenhouse gases than comparable laser devices.
Partnership: Our partnership with the Nature Conservancy to promote sustainable forestry will help minimize forest loss and degradation that contributes approximately 15 percent of greenhouse gas emissions to the atmosphere each year. Tools and best practices will enable environmental scientists, forest managers and paper suppliers to work cooperatively toward sustainable forest management and preservation of biodiversity around the globe.
Proud as we are, we are far from satisfied. Xerox people are passionate about honoring the legacy we have been given and passing it on even stronger to those who will follow us.
Ursula M. Burns
As one of the largest transportation service providers in the world, the companies of YRC Worldwide strive to be good stewards of Earth’s natural resources. Efficient use of resources is good for our company and, most important, good for the environment.
Efficiency Is Key
Shipments flow through our service centers allowing us to effectively “carpool” shipments. By combining shipments and using trailer space, our best-in-class service center network drastically reduces empty miles. Reducing empty miles equals fewer trucks on the road, less congestion on our highways and lower emissions. In 2009, YRC integrated two of its networks, further reducing empty miles to industry-leading levels. Not only did the integration further optimize our network; it also reduced waste and emissions associated with duplicative operations.
Additionally, the companies of YRC Worldwide use intermodal strategies to reduce vehicle miles traveled. For decades, YRC Worldwide has partnered with rail carriers to make intermodal transportation a viable option.
When the trucks of YRC Worldwide take to the road, our goal is to make them as safe and efficient as possible. To reduce fuel consumption, we equip our trucks with speed governors to cap speeds at the most efficient levels, approximately 63 miles per hour. Trucks burn as much as one gallon of fuel per hour when idling. This is why we have installed anti-idling devices and use nearly 800,000 hotel room stays annually, which prevents our drivers from idling trucks during overnight rest periods.
Providing Customers with Real Numbers
Action taken by federal and state authorities indicates a new emphasis on monitoring greenhouse gas emissions. This is why we developed methodology to provide customers with a reliable carbon footprint associated with their shipments. In the less-than-truckload industry, this is no small feat.
In addition to being able to provide emissions information, YRC Worldwide recently partnered with Sustainable Travel International to offer customers the opportunity to purchase carbon offset credits, a first in the heavyweight shipment industry.
Partnering to Promote a Greener Future
The U.S. Environmental Protection Agency’s (EPA’s) SmartWay voluntary emissions program began with 15 shipping and business leaders to develop and improve the environmental performance in the freight sector. We were at that first meeting and have worked continuously with the EPA to develop and promote this important program. YRC Worldwide has been awarded the coveted EPA SmartWay Excellence Award in recognition of our achievements.
Additional information can be found at www.yrcw.com/green.
Chairman and CEO