Starbucks Releases 11th Annual Global Responsibility Report at Annual Meeting of Shareholders
SEATTLE, March 21, 2012 - At its Annual Meeting of Shareholders, Starbucks Coffee Company (NASDAQ: SBUX) today announced the availability of its 11th annual Global Responsibility Report, outlining fiscal year 2011 performance in its effort to help communities thrive through ethical sourcing, environmental stewardship and community engagement. The interactive report is now available online at www.starbucks.com/GRreport.
"The release of this year's report at the Annual Meeting underscores our belief that the value of our company is directly connected to the values of our company," said Vivek Varma, Starbucks executive vice president of Public Affairs. "We believe it's critical that companies – including Starbucks – share the values of our customers and partners (employees) and demonstrate our commitment to those values in impactful ways that help our communities and planet thrive."
The 2011 report shows significant strides on the ambitious goals Starbucks set for itself in 2008. In a single year Starbucks more than doubled its community service – to 442,000 hours served as part of Global Month of Service – and more than tripled the availability of in-store recycling – now in more than 1,000 stores in the U.S. and Canada.
"While our progress is certainly significant thanks to the commitment of our partners and the communities we serve, we recognize there's room for improvement. These are bold goals and we are focused in our approach," said Ben Packard, Starbucks vice president of Global Responsibility. "By leveraging our scale for good, we can continue to make progress on major societal issues through innovation, customer engagement and policy leadership."
In addition, Starbucks exceeded or is on track to meet several of its bold goals in a number of key areas:
- Youth Action Grants: Starbucks again exceeded its 2015 community goal to engage 50,000 young people in community activities, by engaging more than 50,000 in 2011.
- Coffee Purchasing: Increased purchases of coffee sourced under C.A.F.E. Practices from 84% to 86% in 2011.
- Farmer Support: Starbucks provided $14.7 million to organizations that make loans to coffee farmers, working toward a goal of $20 million by 2015.
- Front-of-Store Recycling: Starbucks is now offering front-of-store recycling in 18% (more than 1,000) of stores in the U.S. in Canada – this represents a more than threefold improvement over the prior year. Starbucks continues to support local market testing and implementation to accelerate future front-of-store recycling.
- LEED® Certified Stores: Starbucks is now building 75% of new company-owned stores to achieve LEED® certification, working toward a goal of 100%.
- Renewable Energy: In 2010, Starbucks set a new goal to make 100% of the electricity used in global company-owned stores renewable energy equivalent by 2015. In 2011 Starbucks purchased the equivalent of 50%.
- Forest Carbon Programs: Continued work in coffee-growing communities in Chiapas, Mexico and Sumatra Indonesia through Starbucks partnership with Conservation International, demonstrating how coffee farmers can adapt to and address climate change while increasing their income.
- Recyclable Cup Solution: The Company is making progress toward its goal of developing comprehensive recycling solutions for paper and plastic cups by the end of 2012. Advanced recycling initiatives with the Third Cup Summit and the formation of the Paper Recovery Alliance with the Food Packaging Institute.
- Community Service: Starbucks put a special focus on community service for its 40th anniversary celebration. In 2011, Starbucks more than doubled the number of hours from the year before with 442,000 hours contributed. Starbucks is working toward its goal of generating one million hours annually by 2015.
- Energy Conservation: Starbucks is continuing to make progress against its goal for 25% energy reduction over 2008 levels by 2015, and has reached a 7.5% total decrease in 2011 over the 2008 baseline.
- Water Conservation: Although in-store water consumption has decreased more than 17% since 2008, water use increased 5% in 2011 over the year before. While some of the increase in water consumption was due to higher beverage sales, we believe consumption was primarily driven by a change in the blender pitcher rinsing processes, and Starbucks is taking proactive steps to address these issues moving forward.
"This year's report reflects our strong connection to the communities we serve," said Cecilia Carter, Starbucks vice president of Global Diversity Policy and Advocacy. "There has never been a more important time to serve as a catalyst for change in ways that make a positive difference."
While much progress has been made, the company still faces formidable challenges on the goal set in 2008 on reusable cups. Although Starbucks served more than 34 million beverages (1.89%) in reusable cups in 2011, it is resetting its goal of 25% of beverages made in reusable cups to 5% of beverages served in personal tumblers. Starbucks is focusing on attaining this new goal by 2015.
Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting the highest quality arabica coffee in the world. Today, with stores around the globe, the company is the premier roaster and retailer of specialty coffee in the world. Through our unwavering commitment to excellence and our guiding principles, we bring the unique Starbucks Experience to life for every customer through every cup. To share in the experience, please visit us in our stores or online at starbucks.com.
Please visit starbucks.com/responsibility to view the full Global Responsibility Report.
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