cdp canada climate change report 2016 - altagas · low-carbon index in partnership with goldman...

CDP Canada Climate Change Report 2016Written on behalf of 827 investors with US$100 trillion in assets

CDP Report | December 2016

02

56%of Canada 200 corporations respond to their investors through CDP*

* The response rate of 56% (111 companies) is based on time of printing.

03

Important NoticeThe contents of this report may be used by anyone providing acknowledgement is given to CDP. This does not represent a license to repackage or resell any of the data reported to CDP or the contributing authors and presented in this report. If you intend to repackage or resell any of the contents of this report, you need to obtain express permission from CDP before doing so.

CDP has prepared the data and analysis in this report based on responses to the CDP 2016 information request. No representation or warranty (express or implied) is given by CDP as to the accuracy or completeness of the information and opinions contained in this report. You should not act upon the informa-tion contained in this publication without obtaining specific professional advice. To the extent permitted by law, CDP does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this report or for any decision based on it. All information and views expressed herein by CDP are based on their judgment at the time of this report and are subject to change without notice due to economic, political, industry and firm-specific factors. Guest commentaries where included in this report reflect the views of their respective authors; their inclusion is not an endorsement of them.

CDP, their affiliated member firms or companies, or their respective shareholders, members, partners, principals, directors, officers and/or employees, may have a position in the securities of the companies discussed herein. The securities of the companies mentioned in this document may not be eligible for sale in some states or countries, nor suitable for all types of investors; their value and the income they produce may fluctuate and/or be adversely affected by exchange rates.

‘CDP’ refers to CDP North America, Inc, a not–for-profit organization with 501(c)3 charitable status in the US and CDP Worldwide, a registered charity number 1122330 and a company limited by guarantee, registered in England number 05013650.

© 2016 CDP. All rights reserved.

Contents

04 Paul Simpson Chief Executive Officer, CDP

05 Executive summary

06 Communicating progress

08 Climate A List

09 Company scores

10 Appendix I: Scores and initiatives by company

18 Appendix II: Investor signatories and members

04

The Paris Agreement—unprecedented in speed of ratification—and the adoption of the Sustainable Development Goals (SDGs) marked the start of a new strategy for the world, with a clear message for businesses: the low-carbon revolution is upon us. By agreeing to limit global temperature rises to well below 2°C, governments have signaled an end to the fossil fuel era and committed to transforming the global economy.

The choice facing companies and investors has never been clearer: seize the opportunities of a carbon-constrained world and lead the way in shaping our transition to a sustainable economy; or continue business as usual and face serious risks—from regulation, shifts in technology, changing consumer expectations and climate change itself. CDP’s data shows that hundreds of companies are already preparing for the momentous changes ahead, but many are yet to grapple with this new reality.

Investors are poised to capitalize on the opportunities that await. Some of the biggest index providers in the world, including S&P and STOXX, have created low-carbon indices to help investors direct their money towards the sustainable companies of the future. Meanwhile, New York State’s pension fund—the third largest in the United States—has built a US$2 billion low-carbon index in partnership with Goldman Sachs, using CDP data.

With trillions of dollars’ worth of assets set to be at risk from climate change, investors are more focused than ever on winners and losers in the low-carbon transition. Information is fundamental to their decisions. Through CDP, more than 800 institutional investors with assets of over US$100 trillion are asking companies to disclose how they are managing the risks posed by climate change. Their demands don’t stop there: international coalitions of investors with billions of dollars under management are requesting greater transparency on climate risk at the AGMs of the world’s biggest polluters.

The glass is already more than half full on environmental disclosure. Over fifteen years ago, when we started CDP, climate disclosure was nonexistent in capital markets. Since then our annual request has helped bring disclosure into the mainstream. Today some 5,800 companies, representing close to 60% of global market capitalization, disclose through CDP.

Now, we are poised to fill the glass. We welcome the FSB’s new Task Force on Climate-related Financial Disclosures, building on CDP’s work and preparing the way for mandatory climate-related disclosure across all G20 nations. We look forward to integrating the Task Force recommendations into our tried and tested disclosure system and working together to take disclosure to the next level.

We know that business is key to enabling the global economy to achieve – and exceed – its climate goals. This report sets the baseline for corporate climate action post-Paris. In future reports, we’ll be tracking progress against this baseline to see how business is delivering on the low-carbon transition and enabling investors to keep score. Already, some leading companies in our sample—including some of the highest emitters—are showing it’s possible to reduce emissions while growing revenue, and we expect to see this number multiply in future years.

Measurement and transparency are where meaningful climate action starts, and as governments work to implement the Paris Agreement, CDP will be shining a spotlight on progress and driving a race to net-zero emissions.

The Paris Agreement and the SDGs are the new compass for business. Companies across all sectors now have the chance to create this new economy and secure their future in doing so. High-quality information will signpost the way to this future for companies, investors and governments—never has there been a greater need for it.

Measurement and transparency are where meaningful climate action starts, and as governments work to implement the Paris Agreement, CDP will be shining a spotlight on progress and driving a race to net-zero emissions.

Paul SimpsonChief Executive Officer, CDP

05

Executive summary

Investors and policymakers need robust data to build a stronger understanding of future risk and inform more strategic decision-making. Disclosure fosters transparency, aids benchmarking of performance, and creates a time series of information that helps the financial markets understand trends and how to prudently manage future risk.

Every year CDP requests climate change related disclosures from public companies on behalf of 827 institutional

investors with $100 trillion dollars in assets under management. CDP data is the world’s largest repository

of voluntary corporate environmental data, reported directly from the world’s largest and most influential

brands, providing powerful insight into how these companies view climate related risks in the context of their

business strategy and operations, and how they are managing those risks while seizing climate change–

related opportunities.

The Paris Agreement was a major milestone validating the fact that the world’s governments understand the

threat of irreversible climate change to their countries and their citizens. Recent electoral outcomes in the US and

UK, however, and the pending elections in EU countries are all raising questions about whether climate action

will continue to be a priority for national governments. While policy is vital in furnishing clarity, reducing risk to

investors, and providing a level playing field for companies, the reality is that companies, investors, cities, states

and regions are all taking action on climate change because the benefits of doing so are clear, and the risks of

failing to do so are unacceptable. While abrupt changes in the policy or political landscape could slow progress, it

is unlikely to halt it. This annual report aims to demonstrate, via CDP disclosures, the material climate-related risks

that are facing US & Canadian companies, and the actions companies themselves are taking that are helping

speed the transition to a low carbon economy.

Major findings include:

^ The majority of North American requested companies are responding; but more need to do so:

disclosure results show 348 companies in the S&P 500 reported their climate data through CDP, while 152

have not. In Canada, 111 of 200 requested companies reported their climate data through CDP, leaving 89

companies who have failed to do so.

^ Despite regulatory uncertainty, companies are recognizing and managing climate risks that are

impacting them now: in some instances, major global events have deprioritized climate action. This is not

reflected in corporate risk data, as companies are facing more significant risks on a shorter timeframe. 28%

of S&P 500 responding companies & 32% of Canadian responding companies have identified regulatory

uncertainty a risk to their business.

^ The mainstreaming of ESG continues: financial institutions and the investment community are developing

and launching new ESG related products and services, and seeing tremendous opportunities. ESG data, such

as CDP data, is increasingly being used in decision making. North American investors filed upwards of 30

resolutions this year which specifically mentioned CDP.

06

Communicating progress

Central to CDP’s mission is communicating the progress companies have made in addressing environmental issues, and highlighting where risks may be unmanaged. In order to do so in a more intuitive way, CDP has adopted a streamlined approach to presenting scores in 2016.

This new way to present scores measures a company’s progress towards leadership using a 4 step approach: Disclosure which measures the completeness of the company’s response; Awareness considers the extent to which the company has assessed environmental issues, risks and impacts in relation to its business; Management which is a measure of the extent to which the company has implemented actions, policies and strategies to address environmental issues; and Leadership which looks for particular steps a company has taken which represent best practice in the field of environmental management.

A

Leadership

Management

Awareness

Disclosure

A–

B

B–

C

C–

D

D–

F: Failure to provide sufficient information to CDP to be evaluated for Climate Change¹

The scoring methodology clearly outlines how many points are allocated for each question and at the end of scoring, the number of points a company has been awarded per level is divided by the maximum number that could have been awarded. The fraction is then converted to a percentage by multiplying by 100 and rounded to the nearest whole number. A minimum score of 75%, and/or the presence of a minimum number of indicators on one level will be required in order to be assessed on the next level. If the minimum score threshold is not achieved, the company will not be scored on the next level.

1 Not all companies requested to respond to CDP do so. Companies who are requested to disclose their data and fail to do so, or fail to provide sufficient information will receive an F, which signifies their failure to provide sufficient information to CDP to be evaluated for Climate Change. An F does not indicate a failure in environmental stewardship.

Disclosure 0–39% D–

40–74% D

Awareness 0–39% C–

40–74% C

Management 0–39% B–

40–74% B

Leadership 0–74% A–

A

07

The final letter grade is awarded based on the score obtained in the highest achieved level. For example, Company XYZ achieved 88% in Disclosure level, 76% in Awareness and 65% in Management will receive a B. If a company obtains less than 40% in its highest achieved level, its letter score will have a minus. For example, Company 123 achieved 76% in Disclosure level and 38% in Awareness level resulting in a C–. However, a company must achieve over 75% in Leadership to be eligible for an A and thus be part of the A List, which represents the highest scoring companies. In order to be part of the A list, a company must score 75% in Leadership, not report any significant exclusions in emissions and have at least 70% of its scope 1 and scope 2 emissions verified by a third party verifier using one of the accepted verification standards as outlined in the scoring methodology.

Public scores are available in CDP reports, through Bloomberg terminals, Google Finance and Deutsche Boerse’s website. CDP operates a strict conflict of interest policy with regards to scoring and this can be viewed at https://www.cdp.net/Documents/Guidance/2016/CDP-2016-Conflict-of-Interest-Policy.pdf

Comparing scores from previous years

It is important to note that the 2016 scoring approach is fundamentally different from the 2015 one, and different information is requested. A perfect relation between different year’s scores is impossible. The 2016 final score will be based on the 2016 response, and on the 2016 scoring methodology. However we have developed a visual representation which provides some indication on how 2015’s scores can be translated into 2016. To use this table a company can place its score in the table and see in which range it falls into in the current scoring levels. For more detailed instructions please refer to our webinar: https://vimeo.com/162087170 .

2015 performance score

2015 disclosure

D

D–

CC– B AB– A–

100

90

80

70

60

50

40

0

How 2015 scores can be translated into 2016

08

Climate A ListNorth America

UNITED STATES

Consumer Discretionary

Caesars Entertainment

Gap Inc.

General Motors Company

Johnson Controls

Las Vegas Sands Corporation

Consumer Staples

Coca-Cola European Partners

Colgate Palmolive Company

General Mills Inc.

Philip Morris International

Reynolds American Inc.

Financials

BNY Mellon

Goldman Sachs Group Inc.

Host Hotels & Resorts, Inc.

Macerich Co.

CANADA

Consumer Discretionary

General Motors Company

Energy

Vermilion Energy Inc.

Financials

Great-West Lifeco Inc.

Industrials

Canadian National Railway Company

Industrials

Lockheed Martin Corporation

Owens Corning

Republic Services, Inc.

Stanley Black & Decker, Inc.

Union Pacific Corporation

Waste Management, Inc.

Information Technology

Accenture

Alphabet, Inc.

Apple Inc.

Autodesk, Inc.

Cisco Systems, Inc.

EMC Corporation

Hewlett-Packard

Microsoft Corporation

Oracle Corporation

Materials

International Flavors & Fragrances Inc.

Praxair, Inc.

Sealed Air Corp.

The Mosaic Company

Utilities

PG&E Corporation

09

Company scores

10

Company Ticker Score Canada 200 Commit to Action initiatives

C O N S U M E R D I S C R E T I O N A R Y

Aimia Inc. AIM CN B • CP

Amaya Inc AYA CN F •

BRP DOO CN C •

Canadian Tire Corporation, Limited CTC/A CN A– •

Cara Operations Ltd CAO CN F •

Cineplex Inc. CGX CN F •

Cogeco Communications Inc. CCA CN B •

DHX Media Ltd DHX CN F •

Dollarama Inc DOL CN F •

Dorel Industries Inc. DII/B CN F •

EnerCare Inc ECI CN AQL, no score •

Entertainment One Ltd ETO LN F

^ General Motors Company GM US A • RE100

Gildan Activewear Inc. GIL CN C •

Hudson's Bay Co. HBC CN F •

Krug Inc. D

Linamar Corporation LNR CN F •

Lululemon Athletica Inc. LULU US B

Magna International Inc. MG CN D •

MARTINREA INTERNATIONAL INC. MRE CN C–

Quebecor Inc. QBR/B CN C •

Restaurant Brands International QSR CN AQL, no score •

RONA inc. RON CN C

Shaw Communications Inc. SJR/B CN F •

Thomson Reuters Corporation TRI US B •

Uni-Select Inc. UNS CN F •

^ A ListAQL answered questionnaire late

Commit to Action initiativesCP Price on CarbonCR Mainstream climate reportingDEF Remove deforestation from supply chainsEP Improving energy productivityPOL Responsible corporate engagementRE100 100% renewable powerSBT Science-based targetsSLCP Removing short-lived pollutantsTECH Technology partnershipsWATER Improve water security

Legend

Appendix IScores and initiatives by company


C O N S U M E R S TA P L E S

Alimentation Couche-Tard Inc. ATD/B CN F •

Cott Corporation BCB CN F •

Empire Company Limited EMP/A CN D •

George Weston Limited WN CN C •

Jean Coutu Group Inc PJC/A CN F •

Loblaw Companies Limited L CN C •

Maple Leaf Foods Inc. MFI CN C •

Metro Inc. MRU CN C •

Molson Coors Canada TPX/A CN No score, see Molson Coors Brewing Company

•

North West Company Inc. NWC CN F •

Saputo Inc. SAP CN C– •

SunOpta Inc. SOY CN C

11


E N E R G Y

Advantage Oil & Gas Ltd. AAV CN F

Africa Oil Corp AOI SS F

AltaGas Ltd. ALA CN B •

ARC Resources Ltd. ARX CN AQL, no score •

Athabasca Oil Corporation ATH CN F

Bankers Petroleum Ltd. BNK CN F

Baytex Energy Corp. BTE CN C

Bellatrix Exploration Ltd BXE CN F

Birchcliff Energy Ltd BIR CN F

BlackPearl Resources Inc PXX CN F

Bonavista Energy Corporation BNP CN AQL, no score

Bonterra Energy Corp BNE CN F

Cameco Corporation CCO CN C •

Canadian Natural Resources Limited CNQ CN C •

Canadian Oil Sands Limited COS CN F •

Cenovus Energy Inc. CVE CN A- •

CNOOC 883 HK F •

Connacher Oil and Gas Ltd CLC CN F

Crescent Point Energy Corporation CPG CN C •

Crew Energy Inc. CR CN F

Ecopetrol Sa ECOPETL CB D •

Enbridge Inc. ENB CN B •

Enbridge Income Fund Holding ENF CN No score, see Enbridge Inc.

•

Encana Corporation ECA CN D •

Enerplus Corporation ERF CN C

Freehold Royalties Ltd. FRU CN F

Gibson Energy Inc GEI CN F •

Gran Tierra Energy Inc. GTE US F

Husky Energy Inc. HSE CN B •

Imperial Oil IMO CN D •

Inter Pipeline Ltd. IPL CN F •

Ithaca Energy Inc IAE CN F

Keyera Corp. KEY CN B •

Lightstream Resources Ltd LTS CN F

Long Run Exploration Ltd LRE CN F

MEG Energy Corp. MEG CN AQL, no score •

Niko Resources Ltd. NKO CN D

NuVista Energy NVA CN F

Paramount Resources Ltd. POU CN F

Parex Resources Inc PXT CN F •

Parkland Fuel Corporation PKI CN F •

Pason Systems Inc PSI CN F •

Pembina Pipeline Corporation PPL CN F •

Pengrowth Energy Corporation PGF CN C

Penn West Exploration PWT CN F

Peyto Exploration & Development Corp. PEY CN F •

Prairiesky Royalty Ltd PSK CN F •

Precision Drilling Corporation PD CN F •

Prophecy Resource Corp. PCY CN F

Questerre Energy Corporation QEC CN F

Raging River Exploration Inc RRX CN F •

12


E N E R G Y continued

Seven Generations Energy VII CN B •

ShawCor Ltd. SCL CN C •

SouthGobi Resources Ltd. 1878 HK F

Suncor Energy Inc. SU CN B •

Surge Energy Inc SGY CN F

Touchstone Exploration Inc TXP CN F

Tourmaline Oil Corp TOU CN F •

TransCanada Corporation TRP CN B •

Trilogy Energy Corp TET CN F

Twin Butte Energy Ltd TBE CN F

Veresen Inc. VSN CN F •

^ Vermilion Energy Inc. VET CN A •

Whitecap Resources WCP CN F •


F I N A N C I A L S

Allied Properties REIT AP-U CN F •

Artis REIT AX-U CN F •

Bank of Montreal BMO CN B •

Bank of Nova Scotia (Scotiabank) BNS CN B •

Bentall Kennedy D

Boardwalk REIT BEI-U CN C •

Brookfield Asset Management Inc. BAM/A CN F •

Brookfield Canada Office Properties BOX-U CN F •

Brookfield Property Partners BPY-U CN F •

Canadian Imperial Bank of Commerce (CIBC)

CM CN C •

Canadian Real Estate Investment Trust REF-U CN AQL, no score •

Canadian Western Bank CWB CN F •

CAPREIT CAR-U CN F •

Central Fund of Canada Limited CEF/A CN F •

Chartwell Seniors Housing REIT CSH-U CN F •

Choice Properties Reit CHP-U CN No score, see Loblaw Companies Limited

•

CI Financial Corp. CIX CN F •

Colliers International CIG CN F •

Cominar Real Estate Investment Trust CUF-U CN F •

Crombie Real Estate Investment Trust CRR-U CN F •

CT Real Estate Investment Trust CRT-U CN No score, see Canadian Tire Corporation, Limited

•

Desjardins Group B

Dundee Real Estate Investment Trust D-U CN F •

E-L Financial Corporation Limited ELF CN F •

Element Financial EFN CN F •

Fairfax Financial Holdings FFH CN F •

Fairfax India Holdings FIH/U CN F •

First Capital Realty Inc. FCR CN C •

First National Financial FN CN F •



Legend


13


F I N A N C I A L S continued

FirstService Corp. FSV CN F •

Gazit Globe Ltd GZT CN AQL, no score •

Genworth MI Canada Inc. MIC CN No score, see Genworth Financial, Inc.

•

Granite Real Estate Inc GRT-U CN F •

^ Great-West Lifeco Inc. GWO CN A •

H&R Real Estate Investment Trust HR-U CN AQL, no score •

Home Capital Group Inc. HCG CN F •

IGM Financial Inc. IGM CN A– •

Industrial Alliance Insurance and Financial Services Inc.

IAG CN C •

Intact Financial Corporation IFC CN C •

Laurentian Bank of Canada LB CN D •

Manulife Financial Corp. MFC CN B •

Milestone Apartments Real Estate Investment Trust

MST-U CN F •

Morguard Corporation MRC CN F •

National Bank of Canada NA CN C •

ONEX Corporation OCX CN F •

Power Corporation of Canada POW CN B •

Power Financial Corporation PWF CN B •

RioCan Real Estate Investment Trust REI-U CN F •

Royal Bank of Canada RY CN C •

Smart Real Estate Investment Trust SRU-U CN F •

Sun Life Financial Inc. SLF CN C •

TD Bank Group TD CN A– • RE100

TMX Group Limited X CN F •


H E A LT H C A R E

Concordia Healthcare Corp CXR CN F •

Endo International plc ENDP US F •

ProMetic Life Sciences Inc PLI CN F •

Valeant Pharmaceuticals International, Inc. VRX US D •

14


I N D U S T R I A L S

Air Canada AC CN B •

Allseating Corporation D

ATS Automation Tooling Systems ATA CN C

Bombardier Inc. BBD/B CN F •

CAE Inc. CAE CN AQL, no score •

^ Canadian National Railway Company CNR CN A •

Canadian Pacific Railway CP CN B •

Chorus Aviation CHR/A CN F •

Finning International Inc. FTT CN AQL, no score •

Inscape Corporation INQ CN D

Keilhauer C–

MacDonald, Dettwiler and Associates Ltd. (MDA Corporation)

MDA CN F •

New Flyer Industries Inc NFI CN F •

Progressive Waste Solutions Ltd. WCN CN C •

Richelieu Hardware RCH CN F •

Ritchie Bros. Auctioneers Incorporated RBA CN AQL, no score •

SNC-Lavalin Group Inc. SNC CN C •

SPIN MASTER LTD TOY CN AQL, no score •

Stance Healthcare D

Stantec Inc. STN CN C •

Teknion Limited TEKNF US B

Toromont Industries Ltd. TIH CN D •

Transcontinental Inc. TCL/A CN C •

TransForce Inc. TFI CN F •

WestJet Airlines Ltd. WJA CN F •

WSP | Parsons Brinckerhoff WSP CN B •


I N F O R M AT I O N T E C H N O L O G Y

BlackBerry Limited BB CN C •

Celestica Inc. CLS CN B •

CGI Group Inc. GIB/A CN C •

Constellation Software Inc CSU CN F •

Davis + Henderson Corp DH CN F •

Descartes Systems Group DSG CN F •

Enghouse Systems ESL CN F •

OpenText Corporation OTEX US AQL, no score •

Shopify Inc SH CN AQL, no score •



Legend


15


M AT E R I A L S

Agnico-Eagle Mines Limited AEM CN D •

Agrium Inc. AGU CN F •

Barrick Gold Corporation ABX CN A– •

Canfor Corporation CFP CN F •

Cardero Resource Corp CDYCF US F

Cascades Inc. CAS CN F

Catalyst Paper Corporation CYT CN D

CCL Industries CCL/B CN B •

Centamin plc CEY LN F •

Centerra Gold Inc. CG CN C •

Chemtrade Logistics Income Fund CHE-U CN AQL, no score

Detour Gold Corporation DGC CN C •

Dominion Diamond Corp DDC CN F

Domtar Corporation UFS US D •

Eldorado Gold Corporation ELD CN C •

First Quantum Minerals Limited FM CN B– •

Franco-Nevada Corporation FNV CN D •

Goldcorp Inc. G CN C •

HudBay Minerals Inc. HBM CN C

IAMGOLD Corporation IMG CN C

Interfor Corp IFP CN F

Intertape Polymer Group Inc ITP CN F

Kinross Gold Corporation K CN C •

Lundin Mining Corporation LUN CN C •

Major Drilling Group International. MDI CN F

Methanex Corporation MX CN AQL, no score •

New Gold Inc. NGD CN C •

Norbord Inc. OSB CN F •

NovaGold Resources Inc. NG CN F •

OceanaGold Corporation OGC CN F •

Pan American Silver Corp. PAA CN F •

Potash Corporation of Saskatchewan Inc. POT CN C •

Resolute Forest Products Inc. RFP US B

Richmont Mines Inc RIC CN F

Royal Gold, Inc. RGLD US D •

Semafo Inc. SMF CN F

Sherritt International Corporation S CN F

Silver Wheaton Corp. SLW CN C •

Stella-Jones Inc SJ CN AQL, private score •

Tahoe Resources Inc. THO CN F •

Teck Resources Limited TCK/B CN B •

Turquoise Hill Resources Ltd TRQ CN No score, see Rio Tinto •

West Fraser Timber Co. Ltd. WFT CN D •

Winpak Ltd. WPK CN F •

Yamana Gold Inc. YRI CN C •

16



Legend



T E L E C O M M U N I C AT I O N S E R V I C E S

BCE Inc. BCE CN A– •

Manitoba Telecom Services MBT CN C •

Rogers Communications Inc. RCI/B CN B •

Telus Corporation T CN A– •


U T I L I T I E S

Alaska Hydro Corporation AKH CN F

Algonquin Power & Utilities Corporation AQN CN D •

ATCO Ltd. ACO/X CN F •

Brookfield Infrastructure Partner L.P. BIP US F •

Brookfield Renewable Power Inc. BEP-U CN F •

Canadian Utilities CU CN F •

Capital Power Corporation CPX CN C •

Emera Inc. EMA CN B •

Fortis Inc. FTS CN F •

Hydro One Inc H CN AQL, no score •

Just Energy Group Inc. JE CN F •

Northland Power Inc NPI CN F •

Pattern Energy Group Inc PEG CN F •

Superior Plus Corp. SPB CN F •

TransAlta Corporation TA CN B •

Transalta Renewables Inc RNW CN No score, see TransAlta Corporation

•

17

At HP, we are focused on creating a brighter future through our actions, solutions, and technologies that make life better for everyone, everywhere.

We believe sustainability is not only the right thing to do, but it is a powerful force for growth and innovation. It challenges us to think of new ways to reinvent solutions that truly amaze, and serves as a guiding principle in how we operate and do business.

As part of our sustainability efforts, we are continuing our strong legacy of transparency and leadership in reducing the environmental impact of our operations, supply chain, and products. That includes analyzing our complete carbon footprint, setting public goals to reduce GHG emissions, and taking steps to meet those goals and improve performance. For example, in 2016 we set three new goals. First, to use 100% renewable electricity in our global operations, with 40% by 2020. Second, to achieve zero deforestation associated with HP brand paper and paper-based product packaging by 2020. And third, to reduce the GHG emissions intensity of HP’s product portfolio by 25% by 2020, compared to 2010.

We’re pleased to support CDP’s efforts to promote greater accountability, drive transparency around climate change issues, and track the performance of companies around the world as we work together to create a low-carbon economy.

Nate HurstChief Sustainability & Social Impact OfficerHP Inc.

18

3. Investor signatories over time

’13’12’11’10’09’08’07’06’05’04’03 ’14 ’15 ’16

35

95 155

225

315

385

475

534

551

655

722

767

822

827

CDP investorsignatory assetsunder managementin US$ trillions

CDP investorsignatories

4.510

21

31

31

41

57

55

64

71

78

8792

95100

Appendix IIInvestor signatories and members

CDP’s investor program—backed in 2016 by 827 institutional investor signatories representing in excess of US$100 trillion in assets—works with investors to understand their data and analysis requirements and offers tools and solutions to help them.

COP 21 provided not only the opportunity but the obligation to go further on climate change. With more than 15 years’ experience, CDP understands disclosure now and how it is evolving globally and across sectors to provide peer to peer learnings. Last year, more than 50 percent of the largest listed G20 companies by market cap reported to CDP.

Our global data from companies and cities in response to climate change, water insecurity and deforestation and our award winning investor research series is driving investor decision-making. Our analysis helps investors understand the risks they run in their portfolios. Our insights shape engagement and add value not only in financial returns but by building a more sustainable future.

For more information about the CDP investor program, including the benefits of becoming a signatory or member, and to see a full list of current signatories, please visit https://www.cdp.net/en/investor/signatories-and-members

Africa 13

Asset Managers 363

Europe 382

Insurance 39

North America 223

Latin American & Caribbean 73

Others 13

Australia and New Zealand 67

Banks 158

Asia 71

Asset Owners 256

1. Investor signatories by location

2. Investor signatories by type

ABRAPP—Associação Brasileira das Entidades Fechadas de Previdência ComplementarACTIAMAegon N.V.Allianz Global InvestorsATP GroupAviva InvestorsAXA GroupBank of America Merrill LynchBendigo and Adelaide BankBlackRockBoston Common Asset Management, LLCBP Investment Management LimitedBritish Columbia Investment Management CorporationCalifornia Public Employees’ Retirement SystemCalifornia State Teachers’ Retirement SystemCalvert Investment Management, IncCapricorn Investment GroupCatholic SuperCCLA Investment Management LtdDexus Property GroupEtica SGRFachesfFAPESFundação Itaú UnibancoGeneration Investment ManagementGoldman Sachs Asset ManagementHenderson Global InvestorsHermes Fund ManagersHSBC Holdings plcInfraprevKeyCorpKLPLegg Mason, Inc.London Pensions Fund AuthorityMaine Public Employees Retirement SystemMorgan StanleyNational Australia BankNEI InvestmentsNeuberger BermanNew York State Common Retirement Fund Nordea Investment ManagementNorges Bank Investment ManagementOverlook Investments LimitedPFA PensionPOSTALIS—Instituto de Seguridade Social dos Correios e TelégrafosPREVIRathbone Greenbank InvestmentsReal Grandeza RobecoRobecoSAM AGRockefeller & Co.Royal Bank of CanadaSampension KP Livsforsikring A/SSchrodersSEB ABSompo Japan Nipponkoa Holdings, IncSustainable Insight Capital Management (SICM)TIAATerra Alpha Investments LLCThe Sustainability GroupThe Wellcome TrustUBSUniversity of CaliforniaUniversity of TorontoWhitley Asset Management

CDP investor members

19

Printing

Printed on Rolland ENVIRO100 Print which contains FSC-certified 100% post-consumer fibre, is EcoLogo and processed chlorine free accredited and is manufactured by Cascades using biogas energy.

Printed locally by The Thomas Group, New York, NY.

CDP North America Climate Finance Partner & Gold Sponsor

2016 Canada report sponsors

Global Scoring & Sustainability BPO Partner CDP North America Technology Partner & Silver Sponsor

Bronze Sponsors

Report managers

Maxwell McKenna CDP North America

Camila Montes de Oca CDP North America

Communications

Camilla Lyngsby [email protected]

CDP North America 127 W 26th Street Suite 300 New York, NY 10001 Tel: +1 212 378 2086 [email protected] www.cdp.net/USA

CDP contacts

Lance Pierce President CDP North America

Paula DiPerna Special Advisor CDP North America

Sara Law VP Global Initiatives CDP North America

Andrea Tenorio VP Disclosure Services CDP North America

Teresa Yung VP Finance & Operations CDP North America

Raina Aronowitz Director of Development CDP North America

For access to a database of public responses for analysis, benchmarking and learning best practices, please contact [email protected].

This report is available for download from www.cdp.net.

Our sincere thanks are extended to the following:

CDP North America Board of Directors Joyce Haboucha David Lubin Martin Whittaker Martin Wise David Wolfson

Tatiana Templewww.tatianatemple.com

Design

http://thestellardesign.com