ENVIRONMENTAL CONCERN IS UNIVERSAL

Air pollutionWater pollutionPoor education provision Water shortages

Deforestation Guerrillas and drugsDesertificationPollution from agrochemicals

DesertificationSocial problemsAir pollution and waterSoil contamination

Deforestation Air pollution Contamination of waterSocial problemsErosion

Destruction of habitats Social problemsDesertification Biodiversity lossWater pollution

DeforestationErosionDesertification Water pollution Political problems

DeforestationBiodiversity lossWater pollutionSocial problemsSolid waste management

Water pollutionErosionRural exodusLand degradationDesertification

Land degradationDesertification Air pollution and waterSocial problems

ErosionWater shortagesDeforestation Social problemsDesertification

Pollution from agrochemicalsViolence Against WomenSoil contamination

COMUNICATION

“Currently, consumers impose their life principles on their purchasing habits. We bring purpose to our performance.”

Indra Nooyi

PERFORMANCE WITH PURPOSE • IF IT'S GOOD FOR ALL, IT IS GOOD FOR BUSINESS

Protect the Earth's natural resources

Motivate people to live in a more healthy manner

Invest in our people

Offer superior performance, financially sustainable.

ADOPTING A NEW SUSTAINABILITY STRATEGIC STRUCTURE

OUR MODEL TO DO BUSINESS

BUSINESS CODE

Environmental Policy, H&S Policy, Human Rights Policy, Supplier Code of Conduct, Agro Sustainability Policy, Packaging Sustainability Policy

OUR MODEL TO DO BUSINESS

BUSINESS CODE

Environmental Policy, H&S Policy, Human Rights Policy, Supplier Code of Conduct, Agro Sustainability Policy, Packaging Sustainability Policy

1. Sustainability Program per group of Suppliers

2. Specific Sustainability Programs : palm oil, sugar, wood products and others

3. ReCon Program for Suppliers

4. Credit program IFC Credit Corporation (funding institution)

5. Carbon Footprint with CDP (Carbon Disclosure Project) for Suppliers

1. Number of suppliers engaged and % of suppliers audited by SEDEX

2. Number of programs implemented with specific groups

3. Reductions Percentage based on hotlists of ReCon application

4. Number of suppliers which have joined the credit program, figures for investments in renewable energy

5. Percentage of registered packaging suppliers in the CDP.

• Creation of an open channel with the supplier, sharing good environmental, social and economical practices.

• Influence the chain for the decrease of environmental impact.

• Reputation Benefits• Benchmarking• Implement the water and carbon

footprint of direct suppliers.• Implement RECON and join tools that

promote the decrease of environmental impacts and improve productivity.

Engage the Suppliers

Volu

me

& C

ost (

high

)

Environmental Impact and Reputation (high)

Energy and FuelSeasoning and MachineryWheat Flour(I)

Film, Cocoa, Salt, Main Oil, WWTP, Waste Treatment Services, Third Party (maquilas), Co - Packers FleetAgriculture, Water, Transportation, Film, Main Oil, Sugar, Tetrapack, POP, Milk (I)Cardboard

Salt, Hoist Services (I) Surveillance Services andDining room Replacement

Cleaning Products, Waste Treatment Services (I)

POP

ENVIRONMENTAL IMPACT

Environmental Services, CO2 emissions, Water use, energy, carbon, efluents and residues

Type / Flow Agro Suppliers MP Ingredients MP Packaging Co-packers Machines Third-Part and Contractors

Selection of Suppliers

Questionnaire which considers the Suppliers Code of Conduct :1. Environmental Policy 2. H&S Policy 3. Human Rights Policy 4. Suppliers’ Code of Conduct

Contract

Clause of the Suppliers Code of Conduct Goals and Objectives with the Agro Sustainability Policy

Clause of the Suppliers Code of Conduct

Clause of the Suppliers Code of Conduct

Clause of the Suppliers Code of Conduct

• Risk Assessment

Clause of the Suppliers Code of Conduct

Objectives and Goals with the H & S Policy and Number of Incidents

Program Traceability Program for Sustainability

•SEDEX1

•RECON3

• SEDEX• CDP2

• RECON

• SEDEX• CDP• RECON

• Sustainability Filter and CApex

• Work Safety- Dupont

Audit Yes • Yes • Yes • Audit

Goal 2012 Traceability Program 100% of Potato Suppliers

Contract:100% of the ingredient Providers with the code of conduct100% Sedex registration

Contract:100% of the Packaging Providers with the code of conduct100% Sedex registration100% CDP Participaction15 Suppliers implement RECON in 2012

Contract:100% of the Co-Packers Providers with the code of conduct100% Sedex registration

Codes100% of providers with the code of conduct and knowledge of procedures for machines and equipment .

Codes100% of Contractors with the code of Conduct

2012Action Plan

ReCon Implementation for Suppliers

Pilot with packaging suppliers in Peru, Colombia, Chile and Brazil

RECON Results 2011

ReCon Implementation for Suppliers

Pilot with packaging suppliers in Peru, Colombia, Chile and Brazil

Carbon Disclosure Project Journey with suppliers

Incentive to sustainable attitudes in the production chain

1. Alignment of SACCAF stakeholders with PepsiCo Plan to Face Climate Change

2. Pilot Plant Implementation for the reuse of residual oil to produce biodiesel

3. Study of energy and fuel sources to replace fossil fuels in Plants and Fleets

4. Reduction of CO2 emissions by neutralization

5. Support for providers in adapting to climate change

6. Education activities and public awareness regarding environmental issues

7. Initiatives for access in areas of water scarcity

8. Energy and Water Positive Balance in projects

9. Agricultural Program on Climate Change

1. Number of people trained (attendance list)

2. Volume of fuel produced, performance analysis of targeted trucks and impact of biodiesel consumption

3. Percentage of fossil fuels replacement and performance analysis

4. Neutralized CO2 emissions

5. Monitoring the effectiveness of the models

6. Number of established partnerships and people impacted by the project

7. Number of people assisted and the increase of water availability

8. CO2 emissions, water consumption and quality

9. Number of people and operations impacted by the project, calculation of water and carbon footprints and environmental valuation report

• Support materials and physical space for training

• Partnerships with institutions for project development

• Partnerships for project development

• Unification of information on emissions for all operations

• Partnership with the Federal University of Ceará

• Partnerships with government agencies and non-governmental for diagnostics

• Partnerships with IFC and Trucost

PLAN TO FACE CLIMATE CHANGE:Carbon Inventory, Energy Efficiency, Water Efficiency and Scarcity

FACE CLIMATE CHANGE IS THE RIGHT WAY

Program to Face Climate Change

Stakeholder engagement with the company's purposes

Andreza AraujoSACCAF EHS Sustainability

Manager

THANKS!