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Corporate Responsibility Report

Keurig Dr Pepper outlines strong progress toward ambitious corporate responsibility commitments

Burlington, Massachusetts, United States

Keurig Dr Pepper Inc. announced the release of its 2021 Drink Well. Do Good. Corporate Responsibility Report. The annual report showcases the Company's achievements across a range of environmental, social and governance (ESG) topics and highlights progress against its corporate responsibility goals.

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KDP's Drink Well. Do Good. platform is anchored by four key pillars: Environment, Supply Chain, Health and Well-Being and People and Communities. Notable 2021 achievements highlighted in the newly published report include:

  • Reducing virgin plastic: KDP remains on track to achieve its goals of using 30% post-consumer recycled (PCR) content across its packaging portfolio and converting 100% of packaging to be recyclable or compostable by 2025. In 2021, KDP eliminated its use of approximately 57 million pounds of virgin plastic by incorporating recycled plastic into KDP beverage bottles, supporting 11% use of PCR content across the Company's packaging portfolio, up from 2% the year prior. In addition, 92% of the Company's packaging is now recyclable or compostable. 
  • Building climate resilience: KDP is making progress toward building climate resiliency throughout its supply chain. In 2021, 61% of the Company's electricity was obtained from renewable sources. Building on its existing water stewardship commitments, earlier this year KDP announced its aspiration to achieve Net Positive Water Impact by 2050.  
  • Driving positive impact throughout the supply chain: KDP responsibly sourced 100% of its coffee and cocoa and, in 2021, achieved the goal it set in 2017 to responsibly source its brewers1. Additionally, the Company laid the groundwork to expand sustainable sourcing programs to additional agricultural ingredients and manufacturing supply chains, such as apples and corn. KDP also initiated projects to advance its new goal to support regenerative agriculture and conservation on 250,000 acres of land by 2030.
  • Accelerating innovation for health and well-being: In 2021, KDP increased to 56% the percent of its portfolio that provides positive hydration, making significant progress towards its goal established last year to reach 60%. Product innovations that contributed to this improvement included new brand extensions like Dr Pepper Zero Sugar and Green Mountain Coffee Roasters Brew Over Ice flavors. The Company continues to reformulate beverages to reduce sugar and calories, offer smaller portion sizes and expand distribution and access to better-for-you beverage options.
  • Supporting an engaged and inclusive culture: KDP continues to prioritize employee engagement and advancing a culture of inclusion. Almost 90% of employees participated in the Company's employee engagement survey, with KDP's overall engagement score increasing to 70% in 2021, up from 62% the prior year. After announcing new goals last year to increase female and people of color representation in director and above positions by 25% by 2025, the Company increased female representation in those levels to 28% in 2021, while people of color representation held steady at 17%. KDP's eight Employee Resource Groups continue to educate and inspire KDP employees to drive a culture of inclusion.

Monique Oxender, Chief Sustainability Officer, said: "The bar for ESG performance continues to rise, and we're embracing the challenges most relevant to our business, rather than letting them impede progress. We remain an agile company that focuses on where we can uniquely deliver the greatest impact, with long-term goals rooted in near-term action. I am proud of the substantial work of the entire KDP team to deliver results against our commitments and the collective progress we've made this year." 

This report was developed in accordance with the Global Reporting Initiative (GRI) guidelines and uses the framework of the UN Sustainable Development Goals. In addition, this report provides the Company's latest disclosures against the Sustainability Accounting Standards Board (SASB) Index and the Task Force on Climate-related Financial Disclosures (TCFD).

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(1) Facilities in our responsibly sourced brewer scope make up about 40% of our total current suppliers

www.keurigdrpepper.com/en/our-company/corporate-responsibility

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