coca-cola corporate responsibility report 2013 2014

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Innovating for a Sustainable FutureOur journey in 2013

Corporate Responsibility &

Sustainability Report 2013/2014


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A JOINT CRS VISION

Developing strong commitments together

ME

WE

WORLD

Well-being

Responsible marketing

Women

Charitable contributions

Human and workplace rights

Water

Climate protection

Sustainable agriculture

Sustainable packaging

Active healthy living

Product portfolio

Community

Workplace

Water stewardship

Energy and climate change

Sustainable agriculture

Sustainable packagingand recycling

About this Report

REPORTING BOUNDARIES

AND STANDARDS

At CCE, we have committed to takinga broader view and considering the mostsignificant impacts of our value chain,as outlined in our sustainability plan. Tothis end, where stated, our value chaindata goes beyond our own operations.

For our own operations, unless otherwiseindicated, data in this report covers alloperations (production, sales/distribution,combined sales/production facilities,administrative offices and fleet) ownedor controlled by CCE, including ouradministrative offices in the United Statesand Bulgaria.

Our carbon footprint is calculated inaccordance with the WRI/WBCSDGreenhouse Gas Protocol and we usean operational consolidation approachto determine organizational boundaries.

The water-use data in this report refers toproduction facilities, where we have thegreatest water use. All financial data inthis report is in US dollars, unless otherwisestated. This report has been assured byDNV GL (see Factsheet 25) and is alignedwith the Global Reporting Initiative (GRI)G3 Guidelines, self-assessed at level B+.

The report also serves as ourCommunication on Progress (COP) forthe United Nations Global Compact andthe Water Stewardship Factsheet 21 serves

as our COP-Water, part of our endorsementof the UNGC CEO Water Mandate.

CCEsCorporate

Responsibilityand SustainabilityReport 2013/2014

is comprised ofa series of 25factsheets.

ABOUT THIS REPORT

This is Coca-Cola Enterprises (CCEs) ninth annual Corporate Responsibil ityand Sustainability (CRS) Report, providing a progress update on oursustainability plan and replacing CCEs 2012/2013 CRS Report.

This report is our most recent CRS disclosure and contains a full yearof data from January 1, 2013 to December 31, 2013 for our businessoperations covering eight Western European territories: Great Britain,

France and Monaco, Belgium, Luxembourg, the Netherlands, Norwayand Sweden and our offices in the United States and Bulgaria. Alsoincluded are illustrat ive case studies and business act ivities from 2014.

For news on our sustainability initiatives and further resources, see ourwebsite www.cokecce.com.

CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/201401/25
http://www.cokecce.co.uk/http://www.cokecce.co.uk/


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ABOUT THIS REPORT

MATERIAL INFORMATION

WHERE TO FIND IT

CCEs CRS programs are communicatedin a variety of publications:

This reportprovides an overview of CCEs

progress in 2013 against our commitmentsand future ambitions. It includes informationon our business, our governance andmanagement of CRS, our stakeholdersand the work we are doing in each of ourfocus areas.

In addition, Factsheets 9-23 focus specificallyon our sustainability plan commitmentareas. A review of our 2013 CRS KPIperformance data is on Factsheet 24.

ONLINE

www.cokecce.comOur corporate website has a CRS sectionwhich includes further detail on ourinitiatives, our CRS commitments and targets,a full GRI Index and indices showing ourcompliance with the United Nations GlobalCompact and its CEO Water Mandate,progress updates, details of awards andevents, our governance structure andcorporate CRS policies.

Country reportsEach of CCEs territoriesproduces a Coca-Cola System report inconjunction with The Coca-Cola Company,giving local information of how CCEs CRScommitments are being brought to life in ourcommunities. These reports can be foundonline at each of the following websites:

Great Britain:www.cokecce.co.uk

France (including Monaco):www.coca-cola-rse.fr

Belgium and Luxembourg:www.cocacolabelgium.be

The Netherlands:www.coca-colanederland.nl

Norway:www.cceansvar.no

Sweden:www.cceansvar.se

The Coca-Cola Companyprovidesmany sources of Coca-Cola systemsustainability information. In particular, itswebsite, www.coca-colacompany.com ,contains corporate codes and policieswhich inform CCEs own approach to CRS.

Its 2012/2013 Sustainability Report,www.coca-colacompany.com/sustainability, contains a summary of theglobal Coca-Cola System sustainability work.

For further information please [email protected].

MATERIALITY

In 2011, we undertook an internal and externalreview of our CRS aspirations and listenedto a wide range of stakeholders views andexpectations of how our business could

contribute to a more sustainable tomorrow.This work guided the development of oursustainability plan, Deliver for today; Inspirefor tomorrow (see Sustainability Plan below).The plan outlines our commitments andtargets in seven areas deemed to be of thegreatest materiality for CRS in our territories:Energy and Climate Change, SustainablePackaging and Recycling, Water Stewardship,Product Portfolio, Active Healthy Living,Community and Workplace. Progress againstour targets is measured by a set of KeyPerformance Indicators (KPIs). See Factsheet24 for 2013 KPI data.

Coca-Cola products are made by more than250 bottling partners worldwide on behalf ofThe Coca-Cola Company, which creates and

markets brands and trademarks andmanufactures syrups. As one of the licensed,independent bottling partners within theCoca-Cola System, CCE purchases, producesand packages beverages to sell and

distribute to retail and wholesale customers.Our relationship with The Coca-Cola Companyinfluences the way we work, our spheres ofresponsibility and how we determine ourmaterial issues. Our CRS commitments reflectour most significant sustainability impacts,as identified by our 2011 review, and arealigned with The Coca-Cola Company (seeA Joint CRS Vision overleaf).

We have made considerable progressagainst many of our commitments andhave learned a lot since our plan waslaunched. However, we also recognize that

CRS leadership has evolved. During 2014,we intend to review our plan to continueto develop our sustainability journey.

CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

CUSTOMERFOCUS

11,750 employees

8 territories inWestern Europe

Production/distribution

Marketplace execution

Community andcustomer brandmarketing

CONSUMERFOCUS

130,600 employees

Over 200 countriesworldwide

Brand ownership

Product developmentand innovation

Brand marketingand advertising

Long-termSustainable

Growth

A STRONG PARTNERSHIP

SUSTAINABILITY PLAN

Our sustainability vision

Deliver for todayOn our commitments and targets

Lead the industryIn Energy and Climate Change and

Sustainable Packaging and Recycling

Innovate for the futureOpportunities for innovation, collaboration

and partnership

Our strategic priorities

We will deliver for today, growinga low-carbon, zero-waste business,and inspire and lead change for amore sustainable tomorrow.
http://www.cokecce.com/http://www.cokecce.co.uk/http://www.coca-cola-rse.fr/http://www.cocacolabelgium.be/http://www.coca-colanederland.nl/http://www.cceansvar.no/http://www.cceansvar.se/http://www.coca-colacompany.com/http://www.coca-colacompany.com/sustainabilityhttp://www.coca-colacompany.com/sustainabilitymailto:[email protected]:[email protected]://www.coca-colacompany.com/sustainabilityhttp://www.coca-colacompany.com/sustainabilityhttp://www.coca-colacompany.com/http://www.cceansvar.se/http://www.cceansvar.no/http://www.coca-colanederland.nl/http://www.cocacolabelgium.be/http://www.coca-cola-rse.fr/http://www.cokecce.co.uk/http://www.cokecce.com/


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CEO Statement


INTERVIEW WITH JOHN F. BROCK

AND HUBERT PATRICOT

Q. In October 2014, CCEs sustainabilityplan will be three years old. Whathave you achieved so far?A. John F. Brock:When we launched oursustainability plan, we committed to becomea low-carbon, zero-waste business and

defined priorities for our sustainabilityleadership. The good news is weve madesome excellent progress and reducedthe absolute carbon footprint of our corebusiness operations by 23 percent(exceeding our original 15 percent target).

A. Hubert Patricot:In demonstratingleadership on sustainable packaging andrecycling, we made an important decisionto look outside of our traditional businessmodel. We invested $18 million in tworecycling joint ventures and, as a result,have significantly increased the amount

of PET plastic which can be reprocessedin Great Britain and France and secureda long-term supply of high quality recycledPET for our bottles.

Q. What have you learned andwhat challenges have you faced?A. Hubert Patricot:Weve learned a lot,particularly about the role that innovationand technology can play in accelerating thepace of change. Collaboration is critical we need to share intelligence, maximizeresources, and pool ideas if we are toaddress our challenges and create value

from our sustainability leadership. This wasthe focus of our first Sustainability InnovationSummit, held in October 2013. The eventprovided a valuable opportunity to learnfrom pioneers and influential thinkers.

A. John F. Brock:Our research has shownthat many in the wider business communitystill face hurdles in making the case for

sustainability. The companies that arecommitted to sustainability are seeingresults, but it still needs to be sold in tosome businesses. Additionally, whilewere ahead of plan in certain areas,weve found a number of our targets morechallenging to achieve than we originallyexpected. Renewable energy is a greatexample weve had some success, butare not currently on track to meet ourlong-term target. In 2014, well look againat our strategy and evaluate what successand leadership looks like.

Q. Why does sustainability remainat the heart of your business strategyin tough times?A. John F. Brock:We all face significantsocietal and environmental challenges suchas increased demand for natural resources,water scarcity and continued climatechange. Forward thinking businesseswill be able to turn these challengesinto opportunities. We are proud of theenvironmental leadership that weve beenable to demonstrate, yet we acknowledgethat stakeholder expectations continue to

increase, particularly on obesity, health andwell-being. We are making strides to createa positive impact through our support forlocal active lifestyle programs and our broadportfolio of no- and low- calorie beverages,but we know there is much more to do.

A. Hubert Patricot:Weve also seenmany business benefits from our work

on sustainability greater employeeengagement, enhanced efficiency andeffectiveness and stronger trust at a locallevel where we are proud to support ourcommunities and make a significantsocio-economic contribution.

Q. What role will technology play aspart of your sustainability agenda?A. Hubert Patricot:Technology is animportant enabler of collaboration, whichis becoming increasingly critical for asuccessful sustainability program. Ourpartnership with OpenIDEO enabled us

to utilize an open innovation platform todraw on the optimism, inspiration andideas of creative thinkers around the worldto develop powerful ideas about howto increase at-home recycling.

A. John F. Brock:Technology is also provingto be a powerful sustainability driver.Many companies are using smart, onlinetechnologies to measure and reduce theirenvironmental impact. Others are usingtechnology to design more sustainableproducts, packaging and services.

Coca-ColaEnterprises Chairman

and CEO, John F. Brock(right), and Executive VicePresident and President,

European Group,Coca-Cola Enterprises,Hubert Patricot (left)


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Q. Are expectations of businessand business leaders changing?A. John F. Brock:Ive seen how dramaticallyexpectations of business have changedin the last 20 years. Today, businessesare expected to take a wider view, to

make a profit, define their wider contributionto society and protect the planet.

A. Hubert Patricot:Successful organizationstake a holistic approach to defining valuefor both shareholders and stakeholders.Sustainability no longer works in isolation it touches all areas of business. In thefuture, the most successful businesseswill be those that put sustainability at theheart of business decision-making andcreate value from sustainability.

A. John F. Brock:As business leaders today,we need to ask ourselves what we wantto be remembered for. We need to drivesustainability and inspire change throughoutour own organizations and simultaneouslyaddress the concerns of future generations.

Q. Where do you seek inspirationfrom, as you look to inspire fortomorrow?A. John F. Brock:We learn from manydifferent organizations that are makinga strong business case for sustainability,embracing the transformative power

of innovation and reshaping theinterconnectivity between businessand society.

A. Hubert Patricot:We continue to takeinspiration from the sustainability leadershipshown by companies like Unilever, Kingfisher

and Zipcar, as well as organizations likethe EU Climate Leaders Group and theEllen MacArthur Foundation which isworking to demonstrate the potentialof the circular economy.

Q. Whats next on your sustainabilityjourney? Are there any particularareas you will target as you reviewyour commitments in the future?A. John F. Brock:Our sustainability agendadoes not stand still; it continues to evolveand stakeholder expectations continueto rise. In 2014 we will undertake a fullreview of our sustainability plan. Wellalso hold a second SustainabilityInnovation Summit and continue to exploreopportunities for collaboration across ourvalue chain. We know we have to accelerateour efforts and are determined to createvalue from our sustainability leadership inthe future.

John F. BrockChairman and CEOCoca-Cola Enterprises, Inc. (CCE)

Hubert PatricotExecutive Vice Presidentand President, European GroupCoca-Cola Enterprises, Inc. (CCE)

SUSTAINABILITY LEADERSHIP

Held Sustainability Innovation Summit,bringing together 250 delegates toexplore the role of innovation,collaboration and technology.

Included in Corporate Knights 2014list of Global 100 Most SustainableCompanies 1st of five food andbeverage companies.

ENERGY AND CLIMATE CHANGE Achieved an absolute reduction in the

carbon footprint of our core businessoperations by 23 percent since 2007.

SUSTAINABLE PACKAGINGAND RECYCLING Invested $12 million in Infineo, our joint

venture PET reprocessing plant withAPPE, and opened a new educationcenter, highlighting the benefits of acircular economy.

Achieved 32 percent recycled plastic(PET) in our PET bottles across our

markets by the end of 2013. Reached 46 million people through

consumer recycling campaigns,including Happiness Recycled.

WATER STEWARDSHIP Achieved our lowest-ever

water use ratio, with a reductionof 18 percent since 2007.

Ranked the most water-efficientbottler within the globalCoca-Cola System.

Received the new European WaterStewardship Standard in recognitionof our water stewardship work at our

Dongen and Chaudfontaine plants.

PRODUCT PORTFOLIO Introduced Sprite with stevia in

Great Britain and Nestea with steviain France and Belgium, containing30 percent less sugar.

Launched a new 250ml slimlinecan for Coca-Cola, Diet Cokeand Coca-Cola Zero in Belgium,Luxembourg, Sweden, Franceand Great Britain.

COMMUNITY

Invested more than $9 million incommunity programs to supportyoung people, encourage activelifestyles and protect the environment.

Reached more than 100,000 youngpeople through local partnershipsand our education centers.

ACTIVE HEALTHY LIVING Reached more than 900,000

people through our active lifestyleprograms and partnerships.

Announced the launch of Cityrides,a nationwide grassroots cyclingprogram for families in Norway anda new partnership with the SwedishSwimming Federation.

WORKPLACE

Received European Diversity Teamof the Year Award, recognizing theoutstanding contribution to deliveringchange in diversity and inclusion.

Achieved a 65 percent reduction inour lost-time accident rate since 2007.

SUSTAINABLE AGRICULTURE Established a Sustainable

Agriculture Steering Group andlaunched our Sustainable AgricultureGuiding Principles.

CEO STATEMENT AND HIGHLIGHTS CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

KEY 2013 ACHIEVEMENTS


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We operate17 manufacturing

plants and serve 170million people across

eight territories inWestern Europe.

Our Business


WHAT WE DO

At CCE, we manufacture and distributesome of the most popular beverage brandsin the world.

In 2013, we sold approximately 12 billionbottles and cans (or 600 million physicalcases) through over one million retailcustomers across our territories, generating

approximately $8.2 billion in revenue and$914 million of operating income. We area public company incorporated andheadquartered in the United States andpublicly traded on the New York StockExchange and the NYSE Euronext in Parisunder the symbol, CCE.

OUR PRODUCTS

Our product portfolio consists of over 40brands of non-alcoholic, ready-to-drinkbeverages, including some of the worldsmost recognized brands Coca-Cola,

Diet Coke, Coca-Cola Light, Coca-Cola Zero,Fanta and Sprite as well as a growingrange of water, juices and juice drinks,sports drinks, energy drinks andready-to-drink teas.

The Coca-Cola Company is our primarystrategic partner. While beverages ownedby The Coca-Cola Company and its affil iatesrepresent more than 90 percent of ourvolume, we also distribute brands for otherfranchise partners, including Capri Sun.

WHERE WE OPERATE

Serving 170 million people across eight territories in Western Europe,Coca-Cola Enterprises (CCE) is one of the worlds largest independent bottlersof Coca-Cola beverages. We operate in Great Britain, France, Monaco,Belgium, Luxembourg, the Netherlands, Norway and Sweden, have officesin the United States and Bulgaria and employ approximately 11,750 people.

Key

Regular sparkling

soft drinks

58%

No- and low-calorie

sparkling soft drinks

27%

100 percent juice 1%

Juice drinks 7%No- and low-calorie sparkling

soft drinks e.g.

Regular sparkling soft drinks e.g.

100 percent juice e.g.

Juice drinks e.g.

Energy drinks, sports and functional waters, water,

ready-to-drink teas e.g.

OUR PRODUCT PORTFOLIO AS SOLD BY VOLUME

Energy drinks 2%

Sports and

functional waters

1%

Water 3%

Ready-to-drink teasand other

1%


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OUR BUSINESS CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

OUR SUSTAINABILITY PLAN

Our business has environmental and socialimpacts across the life cycle of our productsfrom the sourcing and use of raw materialsand ingredients, to the manufacturing of our

products and their disposal. Our vision andgoals, set out in our sustainability plan, focuson reducing our impacts at each stage of ourvalue chain and making a positive dif ferenceto the communities in which we operate.

We have made solid progress in reducingenvironmental impacts that we cancontrol, including the amount of water andpackaging we use and the emissions fromour cold drinks equipment. Our 2020 visionis to deliver for today, growing a low-carbon,zero-waste business, and inspire and leadchange for a more sustainable tomorrow.

We are looking beyond our own operationsand are working to innovate, collaborateand partner with suppliers and customersto identify ways to continue to reduceimpacts across our value chain.

OUR MANUFACTURING

AND DISTRIBUTION PROCESS

Our supply chain

Ingredients:Approximately 95 percent of ourproducts are made from concentrates andsyrups supplied by our brand owners. Therest are finished products that we distribute.

We buy sugar, juices, mineral waters andcarbon dioxide to make our products(low-calorie sweeteners are already containedin the concentrates) and are working with oursuppliers to reduce the environmental impactsof these raw materials.

Packaging:Our packaging materials comefrom a range of approved suppliers. We areinnovating within our own business andworking with these suppliers to reduce theimpacts of the packaging materials we use.

Our business

Manufacturing:We use water and energy toproduce our beverages. We are focused onincreasing our operational efficiencies andminimizing our waste.

As an employer of approximately 11,750people, we provide jobs and pay taxes inthe countries and communities in whichwe operate.

Distribution:We manufacture and distributeour products locally, using road and rail. Wecontinue to optimize our network and are

working with our hauliers to increaseefficiencies and investigate new, low-carbonways to get our products to market.

Cooling and selling our products:Coolingour products uses energy and refrigerationgases, so we are increasing the efficiencyof our cold drinks equipment and purchaseonly HFC-free coolers.

The marketplace

Product portfolio:Our wide range ofproducts reflects the changing needs anddemands of our consumers across our

territories. With more than 40 brands, ourproducts include a wide variety of pack sizesand a high proportion of no- and low-caloriesoft drinks. We market our products in aresponsible way through on-pack labelingand other media.

Recycling:Our bottles and cans are 100percent recyclable. However, if they are notcollected for recycling, they become waste.We are working to increase recycling ratesacross our territories, which in turn will help

us to generate more material to turn intonew bottles and cans.

Community and active healthy living:Coca-Cola is a local product, made bylocal people and we have strong linkswith our communities. We aim to makea positive difference wherever wemanufacture and sell our products andto engage our communities in activelifestyle programs.

Factsheetnumber (No.)

Value chainprocess

No. 23SustainableAgriculture

No. 22Protecting andReplenishing

the Water We Use

No. 7Suppliers and Sustainability

No. 19SustainablePackaging

No. 9Product Portfolio

No. 10Responsible Sales

and Marketing

No. 20Recycling

No. 12Community

No. 11Active Healthy

Living

Ingredients ManufacturingPackaging RefrigerationDistribution Recycling

Our manufacturing and distribution process

Key

CCE EuropeanHeadquarters

Country head offices Bottling plants

US Headquarters,Atlanta, Georgia

BulgariaShared service center

Where we operate

No. 13 & 14

Diversity and WorkplaceNo. 15

Energy and Climate Change

No. 16Energy and

Renewable Energy

No. 17Transportation

and Distribution

No. 18Cold DrinksEquipment

No. 21Water Stewardship


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CASE STUDY

Working with Zero

In Norway, we are working with Zero,an independent, Oslo-based foundationwhich works with businesses andcommunities to help develop a low-emission society.

In 2013, we supported its eighth annualZero Emissions Conference, whichbrought together speakers from politics,business, public management andresearch organizations from around theworld to discuss and develop answers

to the challenges of climate change andhow they can be solved.

CASE STUDY

Sustainability Innovation Summit

In 2013, we held our SustainabilityInnovation Summit, bringing togetheran international group of influentialthinkers, suppliers and customers toexplore opportunities for collaboration,innovation and technology.

250 delegates heard pioneeringspeakers from a range of organizationsincluding the Ellen MacArthur Foundation,McKinsey & Co. and Goldman Sachsand participated in breakout sessionsexploring challenges such as packagingof the future and driving recycling, zero-carbon manufacturing and sustainabilityacross the value chain.

The Summit provided a forum where allinvolved could learn from each other andbe inspired to take meaningful action. Italso offered us valuable insight for our

2014 sustainability plan review. (For moreinformation see Factsheet 8.)

250people joined us at our

Sustainability InnovationSummit in 2013, to explorehow business can harnessinnovation, collaboration

and technology.

INTRODUCTION

We believe in having honest conversations and ongoing dialogue withour stakeholders. Our sustainability plan was developed by listeningclosely to their expectations, setting out stretching goals and addressingthe significant issues and concerns highl ighted across our value chain.

We know collaboration is essential, both to achieve our targets and forsociety as a whole. As a result, continuing engagement and partnership

with our local communities, NGOs, suppliers, customers and many othersis fundamental to our progress and future innovation.

OUR STRATEGY

We have developed a program ofstakeholder engagement to ensure weunderstand views and expectations,and are able to respond to raised issuesor potential concerns.

Our Stakeholders



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Communities

Continual development

of strong local partnerships

We have strong relationships with the

communities in which our bottling facilities

are located and our operations providejobs for approximately 11,750 people

across our territories. We have a wide

range of community programs and hold

local engagement events from our annual

CRS in Action Week, to site family days.

We are continually building on our

community engagement programs to

further involve community stakeholders.

Employees

Continual development

of internal CRS communications

Our employees are fundamental to

achieving our sustainability goals and

continually drive our performance forward,from upholding our sustainability values

within the communities where we operate to

direct involvement in specific CRS projects.

We have developed our Ambassador

program, to help our employees understand

more about our products, their ingredients

and our wider CRS aspirations. We also

share CRS news on our intranet iConnect,

in our internal magazine Contour and via

digital screens across our business.

Our bi-annual employee engagement

survey highlighted CRS as the second

highest driver of employee engagement.

Customers

Business engagement and CRS

collaboration

We have more than one million customers,

ranging from small independent retailers

to large international chains. Our strategicbusiness priority is to be their most valued

supplier, so we are constantly examining

and improving our processes to ensure we

are meeting their needs.

We set annual customer satisfaction targets

and measure our performance using

surveys such as those by the Advantage

Group. In 2013, we were rated the leading

consumer goods company in G reat Britain,

the Netherlands, Belgium and Sweden, and

the number two supplier in France.

In recent years we have also developed

partnerships with some of our key

customers to encourage consumers to

recycle more.

Non-governmentalorganizations

Ongoing dialogue to develop

and enhance CRS programs

We are a signatory to the UN Global

Compact and its CEO Water Mandate

and have also entered into a waterreplenishment partnership with WWF-UK.

We maintain relationships with a wide

range of national and local NGOs such

as those involved in active healthy living

and packaging recovery.

Academics andsustainability networks

Active participation and sharing

of ideas

Working with the academic and

sustainability community helps us remain

well-informed on sustainability thought

leadership. We have collaborated with the

University of Exeter, directly supporting itsOne Planet Sustainability Challenge for

MBA students. We also participate in the

European School of Management and

Technologys Sustainability Roundtable

and SustainAbilitys Engaging

Stakeholders network and we are a

member of the EU Corporate Leaders

Group on Climate Change.

Suppliers

Developing greater collaboration

and innovation

Our suppliers are important stakeholders

for us, helping us achieve our value

chain sustainability commitments. We

have continued to engage with them in

2013 by holding a supplier sustainabilityvirtual meeting to share our CRS goals,

progress and aspirations. Following

the success of this new approach,

we joined forces with The Coca-Cola

Company, to hold a supplier webinar

specifically focused on our Sustainable

Agriculture program.

KEY 2013 PARTNERSHIPS

Investment community

Providing improved value

chain disclosures

We disclose publicly to the Carbon

Disclosure Project and in recent years

we have expanded to the CDP Water

disclosure. We are included in the CDP

S&P 500 and continue to be members ofthe FTSE4Good Index. CRS forms a regular

part of each presentation we make to

financial analysts. In 2013, we were listed

tenth in Corporate Responsibility CR

Magazines 100 Best Corporate Citizens

and ranked first of the five food and

beverage companies listed in the

Corporate Knights 2014 Global 100 Most

Sustainable Companies.

Media and social media

Online reporting and interactive

CRS communication

We want to be transparent and to

develop open and innovative channels

of communication.

Our website (www.cokecce.com), ourinteractive Sustainability Map and

social media communications all help

to develop and enhance our connections

with stakeholders. We also communicate

our sustainability progress via @cokecce on

Twitter and we are exploring the use of open

innovation platforms with the launch of our

recycling challenge with OpenIDEO.

OUR STAKEHOLDERS

>$3.9bnspent with more than

13,400 suppliers in20131>1m

customers, fromsmall independentretailers to large

internationalchains

1stRanked first of the fivefood and beverage

companies listed in theCorporate Knights 2014

Global 100 MostSustainableCompanies

1Excluding concentrate spend

http://www.cokecce.com/http://www.cokecce.com/


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ActiveHealthy Living

05/25

Governance

Water Stewardship

Community

ActiveHealthy Living

Product PortfolioSustainable Packagingand Recycling

Our CRS Governance Structure

CCE CRSCommittee

CRS Advisory Council

Environmental Steering Committee

Internal CRS Network and Business Unit Leadership

Energy andClimate Change

SustainableAgriculture

Workplace

Fromlefttoright:VroniqueMorali,JanBennink,PhoebeWood,Cal Darden(Chairman),LauraBrightwell(CC

EExecutive

liaisonto

CRSComm

ittee),Joh

nF.Brock

,andAnd

reaSaia

.


INTRODUCTION

Our vision is to be the best beverage sales and service company.Corporate Responsibility and Sustainability (CRS) is core to thisvision and is a key component of our Operating Framework ourroadmap for long-term, sustainable growth.

We are committed to doing business responsibly because its the

right thing to do and is fundamental to the long-term sustainabilityof our business. As a result, our goal is to be a CRS leader in thefood and beverage industry and embed CRS principles into oureveryday decision-making.

CORPORATE GOVERNANCE

CCE has a strong corporate governancestructure. Our Board of Directors overseesthe interests of the company and itsshareholders and is supported by sevencommittees including our CRS Committeeand the Audit Committee which overseesour Ethics and Compliance function.

Being accountable and transparent is akey principle by which we operate. Ourapproach is set out in our CorporateGovernance Guidelines and Code ofBusiness Conduct (see www.cokecce.com).

CRS GOVERNANCE

Our CRS Committee meets five times a year.Its task is to guide and oversee our CRSstrategy and sustainability plan, reviewprogress and discuss emerging CRS issuesand stakeholder views. The Committee ischaired by CCE Board Director, Cal Darden.

Supporting our CRS Committee is our CRSAdvisory Council, chaired by Laura Brightwell,Senior Vice President of Public Affairs andCommunications, which also meets fivetimes a year. The Advisory Council is across-functional body comprising seniormanagers, who in turn chair steering groupsfor each CRS focus area (see Our CRSGovernance Structure). These include a newsteering group, established in 2013, onSustainable Agriculture (see Factsheet 23).

The Advisory Council is supported by anetwork of subject matter experts and CRSmanagers from across CCE.

CCEsCorporate

Responsibility andSustainabilityCommittee


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Safeguarding our futureGovernance is fundamental to ourbusiness, and without collaboration wesimply cant achieve this. Governance isabout aligning with stakeholders and

ensuring transparency and it comes withvisible policies, strong communicationsand support from the highest level rightthrough the organization. Thats why weare committed to building it into daily lifeat CCE.

T.J. Wolfe,

CCE VP Ethics & Compliance, Financial Reporting

Our Operating Framework

GOVERNANCE CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

Ethics and Compliance function. Employeescan also use a confidential and anonymoushotline with a single telephone numberacross all territories.

All incidents are investigated and reportedto the Boards Audit Committee. Seriousbreaches are discussed by the RIGHT Call

Committee, a cross-functional group ofsenior leaders, and by similar committeesin each geographic business unit. Of the123 reported violations in 2013, 103 weresubstantiated and resulted in actionsranging from written or verbal warningsto dismissal.

RISK MANAGEMENT AND

BUSINESS PLANNING

Social and environmental risks areconsidered strategic business risks and areassessed annually as part of our enterpriserisk model. Incorporated within the 361risksin our risk register are global environmentalissues such as climate change, waterscarcity, waste and pollution, and globalhealth and well-being trends.

Other risks include health and safety,supplier management, ethics and

compliance, and trust and reputation. Ourtop 18 risks are assigned to specific Boardcommittees and members of the ExecutiveLeadership Team (ELT) who chair thosecommittees.

As the ELT member responsible for CRS,Laura Brightwell is accountable for socialand environmental risks. These are reviewedannually by the Boards CRS Committee andrisks that could materially affect our businessand financial results are disclosed in Form10-K in CCEs Annual Report and quarterlyfinancial reporting.

In accordance with the precautionaryprinciple, CRS is considered within thedevelopment process for any major project,product or new investment and is built intoour annual business planning process.Progress against our sustainability planis reported every year.

ETHICS AND COMPLIANCE

At CCE, we follow our RIGHT Way modelof ethical values. Our actions, decisionsand behavior must always be RIGHT maintaining Respect, Integrity, Good

judgement, Honesty andTrust. These valuesare the foundation of our Code of BusinessConduct and are qualities that underpinour decisions and working practices. In

1 Consolidated from 43 risks following the 2013 risk review.

early 2014, we also joined The SupplyChain Initiative, which aims to promote fairbusiness practices in the food supply chain.

Code of Business Conduct

Our Code of Business Conduct outlines thebehavior we expect of every employee The RIGHT Way. The Code identifies 12guiding principles including: promotinghealth and safety in the workplace,complying with anti-corruption laws andupholding our environmental commitments.It is one of the ways we comply with the

ten universal principles of the UN GlobalCompact which CCE signed in 2007 andsupports compliance with the US ForeignCorrupt Practices Act and the UK Bribery Act.

The Code, published on our website(www.cokecce.com) and intranet, isunderpinned by a series of policies thatprovide additional guidance on issues suchas anti-corruption, insider dealing and gif ts,hospitality and entertainment.

Training

The Code is provided to all new employeesduring their induction and in 2013 ourRIGHT Way online training was rolled outto all employees with access to a PC. Thiswas more than 70 percent of CCE employees.In 2014, we aim to extend the training tonon-PC users. Further online modulesare provided as part of our Ethics andCompliance training curriculum. Additionaltraining in specialist areas is also offered.

Speaking up

For the Code to be effective, employeesmust be able to raise concerns without fear

of reprisal. Under our RIGHT Call process,employees who suspect a breach of theCode or one of our policies are encouragedto contact their own or a more seniormanager, or, if necessary, the HR, Legal or

CASE STUDY

iPhone app policy check-in

In 2013, we developed a phone app tosupport and further communicate our

CCE Gifts, Hospitality and EntertainmentPolicy. The app provides easilyaccessibleguidance onour corporateentertainmentpolicy. It offersan instantcheck foremployees,with help onwhat theyneed toconsiderin orderto comply.


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OUR STRATEGY

Our sustainable manufacturing strategyfocuses on:

Manufacturing excellence:developingand adopting high standards consistentlyacross our plants.

Our people:working in collaboration to

continually drive better performance. Innovation and investment:developing

technology and process efficienciesand improvements.

MANUFACTURING EXCELLENCE

Our aim is to achieve and continually driveexcellence and high operating standardsin our plants. We focus on efficiency andeffectiveness through a harmonizedmanagement and operational approach,rolling out consistent standards, newinnovations and best practice across ourterritories. We call this the CCE Way.

As part of this system, all our plants arecertified to the food safety standard,FSSC 22000, and 16 are certified to theinternationally recognized standards forhealth and safety, ISO 18001, andenvironmental management, ISO 14001.

We continue to explore opportunities toinnovate and enhance our approach. Forexample, we have piloted the new energymanagement standard, ISO 50001, atWakefield and East Kilbride in Great Britain,Dunkerque in France and Chaudfontaine

in Belgium and plan to incorporate lessonslearned in our management system updates.

INTRODUCTION

We manufacture more than 40 brands including some of themost popular soft drinks in the world Coca-Cola, Diet Coke,Coca-Cola Light, Coca-Cola Zero, Fanta and Sprite. We operate17 manufacturing sites in six countries, which includes a total of87 production lines and more than 4,600 employees.

Manufacturing is at the heart of our business. Our focus is on

excellence and efficiency, providing quality and value for our customersand protecting the safety of our employees and the environment inwhich we operate. In 2013, we invested $65 million in process andequipment innovation and improvements. We have also developedSustainability Master Plans for all our sites. Well continue to seekfurther improvements within our operat ions and in collaborat ionwith our suppliers.

This factsheet provides an overview of our sustainability approachwithin our manufacturing operations. For more detail on our specificworkplace safety, energy and renewable energy, water stewardshipand water protection programs, see Factsheets 14, 16, 21 and 22.

Our Manufacturing

18%and15%reduction in water and

energy use ratiosrespectively since 2007.

14 sitesachieved zero waste to landfill 65%reduction in lost-timeaccident rate since 2007

15%reduction in energyuse ratio since 2007

18%reduction in wateruse ratio since 2007


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OUR MANUFACTURING CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

We have also invested in low-carbon andrenewable energy with solar photovoltaicpanels installed in Great Britain at Edmonton,Sidcup, Wakefield and our new head office inUxbridge where they are linked to electriccar charging points.

In 2014, we plan to instal a CombinedHeat and Power (CHP) unit at Wakefieldin Great Britain and are continuing thepilot project between our Dongen plantin the Netherlands and a neighboringglass manufacturer, Ardagh, to testwhether we can capture and use wasteheat lost during glass production.

See Factsheet 16 for more detail on ourenergy and renewable energy strategy.

WASTE AND RECYCLING

We are committed to reducing andrecycling the waste at our manufacturingplants. The vast majority of this waste isreadily recyclable and for many years wehave operated a robust waste recyclingprogram based on raising awareness,monitoring waste data and separatingwaste at source.

In 2009, we set a target of zero wasteto landfill by the end of 2014. In 2013,14 sites had achieved this goal and99.5 percent of our overall waste wasbeing recycled or recovered compared

to 99.4 percent in 2012.

OUR PEOPLE

People and collaboration are key to oursuccess. We operate a strong networkof plant and national environment and safetymanagement teams, working togetherto focus on specific projects, corporategoals and targets as well as sharing newinnovations and efficiency measures.

We set environmental and safety targetsannually across the company. These aresupported by improvement plans andmonthly performance reviews at plant,country and senior leadership level. Plantdirectors and senior leaders are also madeaccountable and incentivized through theinclusion of CRS targets within personalobjectives and appraisals.

INNOVATION AND INVESTMENT

We devote a great deal of time, resourcesand investment to driving down our energyand water use. During 2013, we investedmore than $57 million in new productionlines and equipment and a further $8 millionin additional energy and water savingtechnologies, collectively providing savingsof $1.6 million, plus more than 7,200 tonnesof CO2e and 9,800 cubic meters (m

3) of water.This included new PET lines in Wakefield,Great Britain and Clamart in France.

We have invested in monitoring and targeting

systems and metering in our plants. Thisprovides operators with live data to monitorand benchmark water and energy use andidentify opportunities for improvement.

We have identified our top five techniquesfor saving water and energy and dedicatedteams are rolling these out across our plants.We have also adopted the Water and EnergySavers programs jointly developed by TheCoca-Cola Company and the World WildlifeFund (WWF) to help bottlers around the worldachieve new levels of efficiency. The waterprogram has been implemented at the

majority of our plants and six facilitieshave been certified as completing theenergy program.

WATER

Our water saving efforts focus on bothinnovation and encouraging the rightbehaviors. Recent projects include optimizingprocesses and procedures linked to watertreatment, manufacturing and cleaning, therinsing of containers and recycling andreclaiming water where possible.

As a result, in 2013, we were rated the mostwater-efficient bottler within the Coca-ColaSystem and achieved our lowest ever wateruse ratio of 1.35 liters of water used per li terof product produced, a 3.5 percentimprovement from 2012 (1.40l/l).

We seek both to conserve water withinour own operations and to protect our watersources. All our plants have completedSource Vulnerability Assessments (SVAs)

and Source Water Protection Plans (SWPPs)to ensure water is abstracted in asustainable way, whether from the groundor from the municipal supply.

In recognition of our high standards of watermanagement, we were the first to receivethe new gold-level European WaterStewardship (EWS) Standard at our facility inDongen in the Netherlands and our mineralwater plant in Chaudfontaine in Belgium.

See Factsheets 21 and 22 for more detailon water stewardship and water protectionand replenishment respectively.

ENERGY EFFICIENCY AND RENEWABLES

Fostering good behaviors is also at the heartof our energy-efficiency programs. We havea company-wide maintenance and air leaksurvey and repair program and carry outequipment upgrades to reduce energyuse. In 2013, these included installingenergy-efficient LED lighting, making ourbottle-blowers more efficient, convertingour packer ovens to gas, optimizing ourcompressed air systems and introducingconveyor sleep modes.

With these and other initiatives, in 2013 weachieved our lowest-ever energy use ratioof 76.83 kWh per 1,000 liters of manufacturedproduct, a reduction of nearly six percentsince 2012 (81.54 kWh).

CASE STUDY

Carbon Trust Standards

CCE holds the Carbon Trust Standard forgreenhouse gas reduction and in 2013was one of the first businesses to gainthe newly created Carbon Trust WaterStandard for efficient water use. Thesestandards are designed to recognize anorganizations commitment andachievements in carbon and water

management. Both awards applyacross our entireEuropeanoperation.

CASE STUDY

Manufacturing for the future

Between 2012 and 2013 we invested$100 million in our operations inNorway. Our plant has been completely

transformed with the installation of newlines, the latest in production equipmentand improvements to productionprocesses, enabling the plant to nowuse recyclable, non-refillablePET bottles.

Higher standards and more efficientequipment have had an outstandingimpact on both environmental and safetyperformance. Water and energy use in one

year have reduced by 13 and 14.5 percentrespectively and safety performance haschanged from being a plant with one ofthe highest accident rates in CCE in 2012to now having one of the lowest within CCEand the Coca-Cola System.

. I.


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OUR STRATEGY

Our sustainable procurement strategyfocuses on three pillars:

Our people:training our procurementteams on sustainability.

Our procurement processes:ensuringour processes support sustainablepurchasing decisions.

Our suppliers:encouraging oursuppliers to improve their ownsustainability performance.

OUR PEOPLE

In CCE, we have developed a bespokemodular training toolkit to equip ourprocurement teams with a goodunderstanding of what we mean bysustainability and how this affects ourpurchasing decisions. The toolkitcomprises of:

Module 1 CCEs sustainability journeyand commitments.

Module 2 CCEs expectations of suppliersand how to use our supplier scorecard.

Module 3 sustainability issues related tospecific commodities.

In 2013, we rolled out this program toprocurement teams in all of our territories.All of our procurement managers workingdirectly with suppliers have now receivedthis training, enabling them to work withsuppliers to identify opportunities, furtherdrive our sustainability ambitions and helpbuild long-term supplier value.

75%of our procurement

spend in 2013 was incountries where we

operate and 96 percentwas within the EU.

We held ourfour th Supplier

Sustainability meetingwith our suppliers

to invest igate wayswe can work together

to encourage innovationthroughout our

value chain.

We are working withour suppliers to improve

their sustainabilityperformance and reducecarbon emissions across

our value chain.

Suppliers andSustainability

INTRODUCTION

We recognize that our suppliers are essential partners in oursustainability journey. From analyzing our water and carbon footprint,we found that our most significant environmental impacts occuroutside of our own business, in our value chain.

We believe collaboration and innovation throughout our supply chainare essential in advancing our sustainable growth. We want to inspireand drive sustainable change with those we work with as well asthrough our own organization. We have embedded sustainabilityinto our procurement processes and supplier relationships, and havedeveloped additional programs to support strategic opportunitiesfor collaboration.

>$3.9bnWe spent more than$3.9 billion withapproximately

13,400 suppliersin 2013.

140We are working with 140 of

our key suppliers to reducecarbon emissions across eachstage of our value chain.


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SUPPLIERS AND SUSTAINABILITY

Bring suppliers togetherThis year we held our first ever suppliersustainability webinar as part of ourprocurement strategy. This was a greatopportunity to communicate ourexpectations and continue the dialoguewith our key suppliers. We want toencourage and help them to improve theirCRS performance and more specificallytheir carbon maturity, which is essential tohelp us reduce our carbon footprint acrossthe value chain.

Mlanie Leroy,

CCE Senior Manager, Strategic Procurement

A suppliers CRS Score is an important partof the SRM process, receiving the sameweighting as other SRM criteria. Outstandingperformance is recognized annually by ourSupplier of the Year awards. In 2013, our CRS

Supplier of the Year was one of our cold drinkequipment suppliers, ISA. Where the score islow, we work with the supplier to improvetheir score.

OUR PROCUREMENT PROCESSES

We have been working to embedsustainability criteria into all our procurementprocesses, from sourcing new suppliers totendering. We want to ensure that our

suppliers understand and adhere to ourown sustainability standards. To help us,we have a number of mechanisms in place.

Code of Business Conduct

Our Code of Business Conduct outlinesthe principles by which we operate withinCCE and how we work with our suppliers.The code is available on our website www.cokecce.com.

Supplier Guiding Principles

Our Supplier Guiding Principles (SGPs)set out the minimum requirements we

expect our suppliers to adhere to, includinglabor laws and regulations, health andsafety, human rights, environment andbusiness integrity (see below).

Our SGPs reflect and communicate ourown principles and emphasize theimportance of responsible workplacepolicies and practices, respect for humanrights and environmental protection.

SGPs are included in all new contractsand are being incorporated into currentmulti-year contracts during renewal. In 2013,

67 percent of our spend with suppliers wascovered by contracts containing our SGPs.The Coca-Cola Company works withindependent third-party auditors to regularlymonitor the SGP compliance of companieswhich supply to the Coca-Cola System. Inthe last three years, they have undertaken aseries of audits including over two thirds ofCoca-Cola Enterprises suppliers ofingredients and packaging.

Together with The Coca-Cola Company,CCE is a member of the AIM-PROGRESSforum a global group promoting

responsible sourcing practices and auditprogram design to align supplier audits andreduce duplication and costs for suppliers.Our audits are aligned with the forum andare recognized by its members. Similarly,

we recognize audits carried out on behalfof other signatory companies.

In 2013, we adopted The Coca-ColaCompanys Sustainable Agriculture GuidingPrinciples for suppliers of sugar beet andsugar cane as part of our sustainableagriculture program. We are now developingbespoke tools to support our sustainablesourcing strategy. (For more information seeFactsheet 23.)

OUR SUPPLIERS

Our aim is to work with our suppliers to

encourage them to improve their ownsustainability performance.

Our Supplier Relationship Management(SRM) process underpins the managementof our relationships with our key suppliers,helping to build collaboration and providemanagement focus. We use a frameworkto evaluate each suppliers performancebased on quality, cost and value, serviceand innovation, and corporate responsibilityand sustainability (CRS).

The CRS evaluation comprises two inputs:

Sustainability rating from an independentcompany, EcoVadis.

Results from our suppliers carbonchallenge.

EcoVadis

EcoVadis evaluates our suppliers on fourareas environmental, social, ethicaland supply chain management andundertakes a 360 degree review of theorganization. In collaboration with oursuppliers, this information is used to developaction plans to help them raise their ratingand create risk reduction plans.

Carbon Challenge

Our Carbon Challenge supports our carboncommitment. This three-stage program isdesigned to prioritize efforts and encouragesuppliers to progress along each stage oftheir carbon management journey.

The challenge starts by encouraging eachorganization to measure and manage itscarbon footprint, then to develop carbonimprovement plans and finally to sharecarbon information. Suppliers are directedtowards particular stages of the challenge to

reflect the carbon classification assigned tothe commodity or service they provide low,medium or high impact (see CCEs CarbonChallenge Process).

Supplier carbon impact category

Low

Measure

High

Measure,reduce

and share

Medium

Measureand reduce

CCEs carbon challenge process

Supplier spotlight

In 2013, we held a virtualsupplier sustainability meeting andwebinar to bring together our keysuppliers and continue our CRScollaboration and innovation dialogue.

More than 140 suppliers and 300 peopleparticipated in the meeting, whichfocused on sharing experiences andsupplier examples to showcase howorganizations have improved theirsustainability performance andcarbon footprint.

To extend and continue our discussions,we launched our online sustainabilityhub. Hosted by 2degrees, a sustainabilitynetwork organization, the hub hasenabled us to share and collaborateacross our value chain even further.

Supplier Guiding Principles

Our SGPs outline minimum requirementsand address the following key areas:

Laws and regulations

Child labor

Forced labor

Abuse of labor

Freedom of association andcollective bargaining

Discrimination

Wages and benefits Work hours and overtime

Health and safety

Environment

Demonstration of compliance


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THOUGHT LEADERSHIP

In 2013, we worked with the EconomistIntelligence Unitto explore how seniorbusiness leaders view the sustainabilitystrategies and commitments thatbusinesses are making and tounderstand what the key driversand barriers to success have been.

Sustainability Insights Learning from

Business Leaders 1highlighted that manycompanies are moving forward with theirsustainability activities, despite the recenteconomic downturn. The research alsohighlighted that:

Technology is proving to be a powerfulsustainability driver.

Leading companies are turning toa broader form of collaboration.

Innovative and disruptive businessmodels have the potential to impactthe way mainstream business

operates and address social andenvironmental challenges.

Building the right business caseremains challenging due to concernsabout the perceived high cost andlack of rate of return.

Our work with the Economist IntelligenceUnithas been important in highlighting theopportunities that exist as we progress onour sustainability journey.

INTRODUCTION

Innovate for the Future is one of three strategic priorities withinour sustainability plan. We are making good progress towards manyof our sustainability targets. However, we recognize that the sizeand scale of the sustainability challenges we face will require industryleaders to accelerate progress at a faster rate. We need to drive newopportunities for innovation, collaboration and partnership and inspirepeople to think differently both inside and outside our company.

OUR STRATEGY

We are focused on solutions that will take us beyond our four wallsbenefiting ourselves, broader industry and society as a whole through:

Thought leadership to explore and develop solutions to new issuesand challenges.

Collaboration and engagement with suppliers, customers andother stakeholders to drive innovation and unlock new ideasand opportunities.

Accelerating the pace of change by developing and harnessinginnovation and technology.

Innovatefor the Future


In October 2013,we held our first

Sustainability InnovationSummit to explore how

business can use innovation,technology and

collaboration for a moresustainable tomorrow.

1 For details of the findings, see www.cokecce.com/system/file_resources/93/report_-

_ACTUAL_FINAL.pdf
http://www.cokecce.com/system/file_resources/93/report_-_ACTUAL_FINAL.pdfhttp://www.cokecce.com/system/file_resources/93/report_-_ACTUAL_FINAL.pdfhttp://www.cokecce.com/system/file_resources/93/report_-_ACTUAL_FINAL.pdfhttp://www.cokecce.com/system/file_resources/93/report_-_ACTUAL_FINAL.pdfhttp://www.cokecce.com/system/file_resources/93/report_-_ACTUAL_FINAL.pdfhttp://www.cokecce.com/system/file_resources/93/report_-_ACTUAL_FINAL.pdf


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INNOVATE FOR THE FUTURE

COLLABORATION

The next era of sustainable business will bedefined by more meaningful collaboration with businesses working alongsidegovernment and civil society to identify the

innovation that is required for sustainability.We recognize that we are unable to meetour sustainability commitments by actingalone. In the search for solutions, we will bemore effective by looking outside our ownoperations and by working in partnershipacross our entire value chain. For thisreason, collaboration runs through allour sustainability activities.

As part of our Recycle for the Futureprogram, we continue to forge partnershipsto increase recycling. We have workedclosely with the University of Exeter to

understand recycling behavior and havelaunched a recycling challenge in partnershipwith OpenIDEO (see case study below).

Supplier collaboration is also a keycomponent of our sustainability strategy,whether in pursuit of low-carbon innovationwithin our manufacturing plants or indeveloping energy-efficient vendorsand coolers.

We are also working closely withmany different NGOs and communityorganizations. Projects include our river

replenishment work in Great Britain with

WWF-UK (see Factsheet 22) and our activelifestyle partnerships with the NorwegianRed Cross, the Swedish SwimmingFederation and Special Olympics (seeFactsheet 11).

ACCELERATING THE PACE OF CHANGE

Given the scale of the sustainabilitychallenges we face, we recognize theimportance of accelerating the pace ofchange. This will include consideration of howwe can use innovative new business models.

To support our commitment to reduce thecarbon footprint of the drink in your handby a third and to create a step-change inrecycling in two of our markets, we haveestablished two new joint business ventures.

Working with ECOPlastics in Great Britain

and APPE in France, we have invested over$18 million to create two new state of the artrecycling plants, Continuum in Great Britainand Infineo in France. As a result, at the endof 2013, we were able to include an averageof 32 percent recycled plastic (rPET) in ourPET bottles (see Factsheet 20).

We have also furthered our waterstewardship agenda by trialing innovativenew water-saving technologies includingthe use of electro-chemically activated waterand dry and semi-dry lubricants on ourmanufacturing lines (see Factsheet 21).


CASE STUDY

Sustainability Innovation Summit

In October 2013, we held our firstSustainability Innovation Summit,inviting an international group ofinfluential stakeholders to explorehow business can use innovation andtechnology, embrace new business

models and think differently as partof the shift to a low-carbon economy.

The event was attended by more than250 delegates including policy-makers,NGOs and industry leaders. Attendeesheard from a range of entrepreneurialand pioneering speakers from theEllen MacArthur Foundation, McKinsey& Co., Goldman Sachs, IBM andSalesforce.com.

The Summit explored howorganizations can drive the next era of

sustainable business and the importantrole that collaboration will have to play.

Our keynote speaker, Peter Schwartzfrom Salesforce.com, also highlightedthe important role of technology. Hesaid, The question of how we deploytechnology is quite fundamental to thequestion of sustainability.

Summit breakout sessions exploredtopics directly related to CCEs corebusiness including packaging of thefuture and how to drive consumerbehavior change on recycling.

The Summit provided an importantopportunity for CCE to hold a widerdiscussion about the role of businessand enable like-minded organizationsto share ideas and exploreopportunities for collaboration.

Today, we are responsible for workingoutside of conventional boundaries andconvening and leading a conversationthat will help to shape the future of ourbusiness and also the world aroundus, said Hubert Patricot, Executive

Vice President and President, EuropeanGroup, Coca-Cola Enterprises.

Video highlights from the Summit canbe found on www.cokecce.com

We will hold our second SustainabilityInnovation Summit in October 2014.

CASE STUDY

Recycle for the Future

Recycling is something in which everyonehas a role to play. It is arguably one of theeasier ways to contribute to protecting theenvironment. However, recycling rates intwo of our territories Great Britain andFrance still fall short of the Europeanaverage.

In 2013, we commissioned the Universityof Exeter to undertake a pioneeringsix-month study into recycling behaviors inthe home. The study observed 20households in Great Britain and France to

help understand the barriers to at-homerecycling. The study discovered that:

People dont make conscious decisionsabout recycling.

New thinking is required to helppeople form new habits.

Better information is needed toaddress common misconceptionsabout recycling.

There is an opportunity to leveragethe power of community throughdigital communication to encouragenew recycling habits.

In April 2014, we used the findings fromthis work to launch a new online recyclingchallenge in partnership with OpenIDEO,an online open innovation platform.

The partnership enabled CCE to drawinspiration from a wide variety of sourcesand generate a range of ideas andsolutions to encourage consumerrecycling at home.

Ideas will be evaluated by the OpenIDEOonline community and an Expert AdvisoryPanel, including representatives from

Casino, WRAP and Fostplus. We aim toselect at least one winning idea to bring tolife through a prototype, field-test or fullproject launch.

See more at www.openideo.com/challenge/

recycle-challenge
http://www.cokecce.com/http://www.openideo.com/challenge/recycle-challengehttp://www.openideo.com/challenge/recycle-challengehttp://www.openideo.com/challenge/recycle-challengehttp://www.openideo.com/challenge/recycle-challengehttp://www.cokecce.com/


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ProductPortfolio

In 2013,in Great Britain, welaunched Sprite withstevia, a zero-calorie

sweetener from naturalorigins, reducing the

sugar content by 30%.

OUR COMMITMENT

We will provide a wide variety of quality, refreshing beverageswith nutritional and ingredient information so consumers canmake informed beverage choices.

INTRODUCTION

We are fully engaged in the debate on obesity and the healthand well-being of the communities in which we operate. Whileno single food or drink is responsible for obesity, all caloriescount, including those in our products.

Obesity is a complicated problem. We are committed to playingour part and helping people find the right energy balance in theirdaily lives, balancing calories consumed and calories burned. Weare taking action by providing a wide range of product choices,including no- and low-calorie beverages in a variety of packagingsizes with clear nutritional information. We are also helping peopleto get active (see Factsheet 11).

OUR STRATEGY

Our product portfolio strategy hasthree priorities:

Offering greater choice: we areintroducing new products, reducingcalories and sugar across our rangeof products and raising awareness ofno- and low-calorie alternatives.

Providing more information: being openabout the calories and ingredients in ourproducts through clear guideline dailyamount labeling (see Factsheet 10).

Ensuring that our products are sold andmarketed responsibly (see Factsheet 10).

DEVELOPING OUR PORTFOLIO

We manufacture and distribute beveragesowned by other companies. To ensure asuccessful, balanced portfolio, we workwith The Coca-Cola Company and our otherbrand owners to develop and introduce newproducts and package sizes in line with ourstrategy. We try to ensure that each outlethas a range of choices available.

Our core sparkling brands such as Coca-Cola,Fanta and Sprite represent 29 percent ofthe products in our portfolio. We also havea wide range of no- and low-calorie softdrinks from Diet Coke, Coca-Cola Lightand Coca-Cola Zero to alternatives for themajority of our flavored drinks (nearly everyone of our full-sugar sparkling soft drinkshas a low-calorie alternative). The rest ofour portfolio consists of categories suchas waters, sports drinks, functional watersand energy drinks.

19%of our products arein small portion sizes(250ml packs or less)

54%of our full-sugarbrands haveno- or low-caloriealternatives1

1 CCEs full sugar brands, excluding water and hot drinks. Including water and hot drinks brands, this equals 56%. Our most popular

sugar brands (Coca-Cola, Fanta, Sprite) all have low-calorie alternatives and together these make up 90% of CCEs volume.


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PRODUCT PORTFOLIO CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

average calories per liter of our range ofsparkling soft drinks in Great Britain by fivepercent between 2012 and 2014 througha combination of reformulations andmarketing investments behind our

no-calorie and zero-sugar offerings.Smaller portion sizes

Another way we help consumers tomanage their calorie intake is to offer ourdrinks in smaller packages. 19 percent ofour products are now available in units ofless than 250ml, such as our 150ml cans,and we are looking to increase these smallerpackaging choices. In 2012, we introducedpocket-sized 375ml Coca-Cola, Diet Cokeand Coca-Cola Zero bottles to be soldalongside our 500ml bottles. In 2013,we launched a new 250ml can to help

consumers manage their calories (see casestudy below).

We have also limited our cup sizes forfountain beverages in France and Belgium,where we no longer sell branded cupslarger than 500ml in restaurants, leisureparks and most cinemas.

We continue to increase these percentagesby introducing reformulated versions of ourpopular drinks, by expanding sales ofour existing low-calorie products, and byensuring that no- and low-calorie products

are consistently distributed alongside ourregular soft drinks.

Since the European Union approved theuse of the naturally sourced, zero-caloriesweetener, stevia, in 2011, we have startedto use it in products such as Sprite andGLACEAU vitaminwater. We wil l continue toexplore opportunities to expand our portfoliousing stevia.

In 2013, no- and low-calorie reformulationsof existing products and additions whichhelp us to promote healthy choices included:

Sprite with stevia in Great Britain. Monster Absolute Zero.

GLACEAU vitaminwater, reformulatedwith stevia for 30 percent less sugar,and more recently with zero calories.

Since 2012, the Coca-Cola System inGreat Britain has voluntarily supportedthe British Governments calorie reductioninitiative, alongside a number of leadingfood retailers, restaurant chains and foodand drinks manufacturers. The initiative is akey part of the Public Health ResponsibilityDeal, enabling the Government, industry and

health groups to work together to tacklecomplex health challenges such as obesity.We have pledged that we will reduce the

CASE STUDY

New slimline 250ml can

In 2013, Coca-Cola introduced a newslimline 250ml can for Coca-Cola,Diet Coke and Coca-Cola Zero inGreat Britain, France, Belgium,Luxembourg, and Sweden. This newpack has been introduced in additionto the standard 330ml can and reflectsour commitment to offering consumersa greater choice in terms of caloriesand portion size. In Great Britain, thisinitiative forms part of our commitment

to the UK Governments caloriereduction pledge a voluntary initiativeby food and drink businesses to helptackle obesity.

Choice

We offer a wide product and packagingchoice so that people can decide whichof our beverages best meet their needsand lifestyles and we work with TheCoca-Cola Company to encourage peopleto make choices which balance theirnutritional needs.

The Coca-Cola Company is also using thepower and reach of its advertising to raiseawareness and provide information about

the calories in our products and what peopleneed to do to expend these. The 2013 Be OKadvertisement puts calories front and centerof brand communications to consumers,conveying that each can of Coca-Cola has139 calories and giving examples of some ofthe physical activities needed to burn theseoff, as well as promoting Coca-Cola Zero asa no-calorie alternative. The Grandfatheradvertisement encouraged our consumersto adopt a balanced lifestyle by taking thestairs and eating smaller portions, as ourgrandparents used to do.

The Coca-Cola Company will continue topromote the importance of energy balanceand active lifestyles in its 2014 advertising,particularly in conjunction with Coca-Colassponsorship of the FIFA World Cup in Brazil.

At CCE we continue to invest with TheCoca-Cola Company to develop grassrootsactive lifestyle and sports programs in everymarket in which we operate to ensure weare helping people to get active in theircommunities (see Factsheet 11).

Quality

We want to ensure that consumers trust ourproducts and are satisfied with the qualitywe offer. All our 17 production facilities areaccredited to the quality standard ISO 9001and Food Safety Standard FSSC 22000 andwe have response centers in every countryto constantly monitor consumer feedback. In2013, we received 115,086 consumer contactsof which 13 percent were related to productquality. This is equivalent to 1.24 productquality complaints per million units sold, areduction of nearly five percent since 2012.

No- and low-calorie beverages

541percent of the brands we sell have no-or low-calorie alternatives. Including waterand hot drinks these alternatives make up31 percent of the volume of drinks we sell3.

2 Covers CCEs wholly owned facilities, but we also require co-packers and other partners to have quality certification standards in place.3 Figures include water and hot drinks and are measured using unit cases.

In 2013,

we introduced 375ml

Coca-Cola, Diet Coke

and Coca-Cola Zero bottles

and 250ml slimline cans,

expanding our range of pack

sizes to help consumers

manage their calorie

intake.

CASE STUDY

ESFA reconfirmationof aspartame safety

Low-calorie sweeteners, if usedconsistently to replace caloricsweeteners, can contribute to weightloss and maintenance, and areimportant tools in the effort to tackleobesity. Aspartame is one of thesweeteners we use in no- andlow-calorie products such as Diet Coke,Coca-Cola Light and Coca-Cola Zero.It has been used in many everydayproducts, including confectionery,yogurt and soft drinks, for more than30 years and is made from two aminoacids that are also found naturally inhigh-protein foods like eggs and meat.

In December 2013, the European FoodSafety Authority (EFSA) published itsopinion on aspartame after a thoroughassessment of scientific research onthe sweetener, answering a requestby the European Commission tore-evaluate all food additives by 2020.EFSA reconfirmed aspartame is safeand that there is no need to change thecurrent Acceptable Daily Intake (ADI) foraspartame. This opinion aligns with thatof the World Health Organization andmore than 200 international studies,making it one of the most thoroughlytested ingredients.


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Responsible Salesand Marketing

OUR COMMITMENT

We will ensure that our products are sold and marketed in aresponsible way.

INTRODUCTION

With the influence of our marketing comes responsibility and we takeseriously the need to sell and market our products in a responsible way.

The Coca-Cola System is commit ted to being part of the solution andhelping to address the complex challenge of obesity. Over the pastyear it has been using its marketing and adver tising to provide clearinformation about the benefits and range of our beverages and thecalories in our products as well as encouraging people to get active.

We also aim to support and safeguard the role of parents and adultcarers as the gatekeepers of their childrens dietary choices, so weadhere to strict policies which ensure that the way we market ourproducts is appropriate and responsible and we do not market ourproducts to under-12s.

Wewant to

ensure that peopleknow what is in our

products and were oneof the first companies

to introduce GuidelineDaily Amounts(GDA) labeling.

OUR STRATEGY

CCE aligns with The Coca-Cola CompanysGlobal Responsible Marketing policy.Together, with the rest of our industry inEurope, we have signed up to a series ofclear, compelling and verifiable industry-widecommitments to market our productsresponsibly. These focus on:

Public education:providing consumerswith relevant information to encouragehealthy active lifestyles.

Consumer information:providing nutritioneducation on our packs.

Advertising and commercial communication:ensuring that we do not placecommunications in media aimed at children.

Primary schools:not engaging in any directcommercial activity in primary schools.

Promotions and choice:increasing thenumber of new beverages with no- and

low-calorie content and the choice andavailability of individual packaging sizes.

Research:contributing to public andprivate research into consumer behavioras appropriate.

PUBLIC EDUCATION

Through our European trade association,UNESDA, we have committed to increaseour involvement in educational programsaimed at providing consumers withrelevant information on healthy eatingand active lifestyles.

In 2013, the Coca-Cola System launchedan ongoing campaign in our territories which

Ouradvertisementsare never shownduring childrensprograming or

on websitestargeted at

children.

98%of our products haveon-pack GDA labeling


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PROMOTIONS AND CHOICE

Through UNESDA and our own sustainabilityplan commitments, we have pledged to

increase the number of new beverageswith no- or low-calorie content and lightversions of existing beverages as well asto increase the choice and availability ofindividual packaging sizes to help manageinformed consumption.

We have made strong progress againstthis commitment in 2013 with the launchof our new 250ml small can in Great Britain,France, Belgium, Luxembourg and Sweden,as well as the launch of Sprite with stevia,reducing the sugar content by 30 percent.For further information on our portfolio

developments, see Factsheet 9.

RESEARCH

Our commitments with UNESDA alsomean that we contribute to publicand private research into consumerbehavior and responsiveness to educationalcampaigns aimed at encouraging healthyeating and active lifestyles. In theNetherlands, for example, we are partneringwith the JOGG (youngsters of healthy weight)initiative, piloting a new multi-partnerapproach to help young people leadbalanced lives. (For more informationon our active lifestyle programs, seeFactsheet 11.)

reinforced our commitment to being partof the solution to obesity. This includedtelevision advertisements focused on theimportance of energy balance in managingweight. We will continue this messaging in

future advertising.

CONSUMER INFORMATION

Through UNESDA, we have committedto provide nutrition information as wellas on-pack calorie information per 100mland/or individual serving size.

To make the right choices, consumersneed to know what their food and drinkscontain and how this information relates toa balanced diet. In 2007, we were one of thefirst companies to introduce Guideline DailyAmount (GDA) labeling and were now

moving to the new EU Reference Intakes (RI)label. GDA labeling currently covers98 percent of the products we sell. Ourpack labels also include information oningredients and nutrition. We take advicefrom local and European Scientific AdvisoryCouncils and make no health claims unlessthese are scientifically proven. Productinformation is also available throughwebsites, care lines and consumerinformation centers in all the countrieswhere we operate.

We also provide extra information about

ingredients on pack labels to helpconsumers make the right personal choices.For example, our energy drinks carry astatement indicating that they are notsuitable for children and pregnant andbreast-feeding women, specific groupsfor whom caffeine is not recommended.

ADVERTISING AND COMMERCIAL

COMMUNICATION

Through UNESDA we have committed notto advertise in printed media, on websitesor during broadcast programs specificallyaimed at children.

We do not advertise or market any of ourproducts directly to children under 12. Thismeans that our advertisements are nevershown during childrens programing andwe do not undertake promotional activities

aimed at children under 12. We neverprovide free samples to children under12 unless an adult or carer is present.

At CCE, we recognize the growing use ofdigital and internet communications bychildren and support The Coca-ColaCompanys policies for responsiblemarketing of our products on the internetand via digital media. Our internet sites,content and related technologies aredesigned for visitors aged 12 or aboveand we use features and elements onour websites that appeal predominantlyto visitors over the age of 12.

SCHOOLS

As part of a global Coca-Cola policyand through UNESDA, we have committednot to undertake direct commercial activityin primary schools unless requested byschool authorities or parents. Although eachcountry in which we operate has differentpolicies on the distribution of our products insecondary schools, our commitments can besummarized as follows:

To ensure that a full range of beverages(including waters, juices and no- andlow-calorie products) is available inappropriate portion control sizes.

Non-branded vending: to includeeducational images and messages onvending machines to promote balanceddiets and to respect the commercial-freecharacter of schools.

Third-party distributors: to ensure thatthose responsible for the final distributionof our products to schools are aware ofthese commitments.

We have also signed the UNESDA initiative to

ensure that energy drinks are not marketedto under-16s.

Independentauditing in 2012-2013showed >95 percentcompliance rate with

UNESDAs industryresponsible marketing

guidelines.

Further reading

The Coca-Cola Company GlobalResponsible Marketing policy:www.coca-colacompany.com/stories/responsible-marketing-policy

The Coca-Cola Company Global SchoolBeverage Guidelines:www.coca-colacompany.com/stories/global-school-beverage-guidelines

The Coca-Cola Company ResponsibleMarketing Charter, Great Britain:www.coca-cola.co.uk/about-us/responsible-marketing.html

UNESDA Commitments to Act Responsibly:www.unesda.org/our-unesda-commitments-act-responsibly

UNESDA Digital Marketing Commitments:www.unesda.org/unesda-commitments

UNESDA Code for Energy Drinks and Shots:www.unesda.org/blog/code-conduct-energy-shots
http://www.coca-colacompany.com/stories/responsible-marketing-policyhttp://www.coca-colacompany.com/stories/responsible-marketing-policyhttp://www.coca-colacompany.com/stories/global-school-beverage-guidelineshttp://www.coca-colacompany.com/stories/global-school-beverage-guidelineshttp://www.unesda.org/our-unesda-commitments-act-responsiblyhttp://www.unesda.org/our-unesda-commitments-act-responsiblyhttp://www.unesda.org/unesda-commitmentshttp://www.unesda.org/blog/code-conduct-energy-shotshttp://www.unesda.org/blog/code-conduct-energy-shotshttp://www.unesda.org/blog/code-conduct-energy-shotshttp://www.unesda.org/blog/code-conduct-energy-shotshttp://www.unesda.org/unesda-commitmentshttp://www.unesda.org/our-unesda-commitments-act-responsiblyhttp://www.unesda.org/our-unesda-commitments-act-responsiblyhttp://www.coca-colacompany.com/stories/global-school-beverage-guidelineshttp://www.coca-colacompany.com/stories/global-school-beverage-guidelineshttp://www.coca-colacompany.com/stories/responsible-marketing-policyhttp://www.coca-colacompany.com/stories/responsible-marketing-policy


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Active HealthyLiving


OUR STRATEGY

We aim to raise awareness of thebenefits of moving more, more often.Through partnering with national andlocal organizations, we will continue todevelop our active lifestyle programs toget young people and their families andcommunities involved. We have at least

one major physical activity program inevery country where we operate.

ACTIVE LIFESTYLES

The Coca-Cola Company is using the powerand reach of its advertising to encouragepeople to be more active. Its most recentMovement is Happiness campaign is linkedto its FIFA World Cup sponsorship andpromotes the joy of movement. At CCE,we continue to invest, with The Coca-ColaCompany, to develop grassroots activelifestyle and sports programs to helppeople to get active in their communities.These include:

Special Olympics

We have a long-standing partnershipwith Special Olympics, the worlds biggestsports charity for children and adults withintellectual disabilities giving them thechance to get active, learn new skills andbuild their confidence through sport.

The Coca-Cola Company has sponsoredSpecial Olympics for 35 years and CCEis proud to add its support. Our partnershipbegan in Belgium in 1990 and extended toGreat Britain in 2010. Further partnershipswere formed in 2013 in France and the

We are working inpartnership withprograms such as

Olympic Moves in theNetherlands and Belgiumto encourage people tomove more, more often,and live healthier and

happier lives.

OUR COMMITMENT

We will encourage active healthy living by supporting physicalactivity and nutrition education programs.

INTRODUCTION

Obesity is a complex health challenge and we take the well-beingof our consumers and the communities in which we operateseriously. Being more physically active is one of the most importantthings people can do for their health and happiness.

Together with The Coca-Cola Company, CCE is investing in arange of active lifestyle and sports programs across our territories.From team sports like football to everyday activities like walking,swimming or running, we aim to offer people of all ages andbackgrounds the opportunity to move more, more often.

more than

900,000people reached throughour active lifestyle

programs in 2013


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ACTIVE HEALTHY LIVING CORPORATE RESPONSIBILITY ANDSUSTAINABILITY REPORT 2013/2014

schools and local companies, the schemedevelops and implements programs toencourage healthy lives.

Le Sport Ca Me Dit, France

In France, we sponsor Le Sport Ca Me Dit(I Like Sport), created in 2008 with supportfrom the Ministry of Sports and the FrenchNational Olympic Committee to providesimple ways for young people to take partin sports and games. Under the scheme,municipalities are offered equipment forsix different activities, all packaged in aone-meter cube and able to be set up veryquickly in streets, parks and other urbanspaces. The project has so far involved morethan 800,000 young people and currentlyope

coca-cola corporate responsibility report 2013 2014

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