EMBARGO: 00.01am British Summer Time (BST) Thursday 8th October 2009

FTSE 350 Carbon Disclosure Project 2009

CENTRICA AND RECKITT BENCKISER TOP THE CHARTS AS THIS YEAR’S UK CORPORATE CLIMATE LEADERS

But UK companies are lagging on targets to reduce GHG emissions, according to Carbon Disclosure Project

Interserve, National Grid, Royal Dutch Shell, Scottish & Southern Energy, Tesco, Unilever, United Utilities along with Centrica and Reckitt Benckiser were among the UK corporations leading efforts in both performance and disclosure to tackle climate change, according to this year’s Carbon Disclosure Project (CDP) FTSE 350 Report.

This year’s FTSE 350 Report, produced by PricewaterhouseCoopers LLP, shows UK companies are disclosing the highest ever levels of greenhouse gas emissions at 390 million metric tons of CO2-equivalent, equating to 61% of total UK emissions. Yet despite the significant influence they hold in the UK’s level of emissions, just 35% of the FTSE 350 disclosed emissions reduction targets. This is lower than the 51% of Global 500 companies reporting emission reduction targets to CDP.

The introduction of the Carbon Reduction Commitment in April 2010 was identified by 55% of responding UK companies as a risk, as well as being seen by 24% as an opportunity.

This year’s CDP FTSE 350 report included a new performance scoring pilot methodology. The performance scores measure corporations’ actual performance in responding to and reducing their contribution to climate change and is intended to complement the Carbon Disclosure Leadership Index (CDLI) which rates firms according to the level and quality of their disclosure and reporting on greenhouse gas emissions and climate change strategy data. This year, HSBC, Rio Tinto and Carnival take top positions in the CDLI. Nine of the ten top performing companies also featured in the CDLI (see below for full list of companies).

In 2010, CDP plans to formally incorporate the performance pilot into its analysis and perform a deeper level analysis of the performance actions disclosed by participants. This will provide investors with greater insight into how well companies are preparing to compete in a low carbon environment.

The best performing companies all shared the following traits:

They are taking effective action to manage risks and capitalise on new opportunities

Show carbon reduction activities that deliver results

Incorporate expected regulation into forward thinking and planning

Other key findings from 2009 FTSE 350 Report:

Reporting of emissions forecasts increased from 7% in 2008 to 30% in 2009, showing more companies are focusing on their future carbon exposure as regulation increases

Utilities leads as the strongest performing sector of the FTSE 350

67% of utilities companies have achieved positive results in emissions reduction and energy saving measures from carbon reduction programmes.

Carbon reporting continues to advance; the standard of disclosure has increased dramatically over the past four years since the FTSE 350 were first asked to report to CDP in 2005

Improved disclosure of emissions data with 55% of companies disclosing Scope 1* and 2 in 2009 compared to 47% in 2008

CDP maintained an overall response rate of 67% and an increase in responses from the FTSE 100 of 4%, suggesting that, despite the economic downturn, climate change remains high on the agenda

About CDP

The Carbon Disclosure Project, founded in 2000, represents some 475 global institutional investors, with more than US $55 trillion in assets under management. As an independent not-for-profit organisation, CDP collects key climate change data from some 2,500 companies around the globe and has assembled the largest corporate greenhouse gas emissions database in the world. CDP also works with multinational organisations to facilitate the collection of climate change relevant data for their supply chain.

*Scope 1: GHG emissions generated through the direct burning of fossil fuels Scope 2: GHG emissions generated from purchased electricity Scope 3: all other indirect emissions that include sources stemming from the company’s activities not owned or controlled, such as supply chain emissions and business travel

2009 Top Scoring and Largest non-responding FTSE 350 Corporations

Top scoring companies in the Carbon Disclosure Leadership Index

Top scoring companies on performance in CDP 2009

Largest non-responders in 2009 by market capitalization