Download our 2008 Sustainability Report Overview - PepsiCo

audits support our efforts, ensuring that we are continuallyreaching for more ambitious goals.WATER EFFICIENCY IMPROVEMENTin %BeveragesFoods20079.202008 13.6as compared to 2006 base yearELECTRIC EFFICIENCY IMPROVEMENTin %Beverages20073.702008 3.80as compared to 2006 base year3.90Foods1.002.70FUEL EFFICIENCY IMPROVEMENTin %BeveragesFoods200710.42.802008 13.65.20as compared to 2006 base year8.20In addition to our own efforts, we consistently rely onpartnerships that help us address the world’s environmentalchallenges. These relationships with a range of externalstakeholders provide us with additional insights, expertiseand knowledge on multiple aspects of sustainability. We willcontinue to actively lead and engage in key private-publicpartnerships to spur collaborative action and solutions thataddress the urgency of these issues.Water: At PepsiCo, we are committed to minimizing ourwater use through greater efficiency across our operationsand to ensuring that we source our water in ways that donot cause damage to local communities and ecosystems.Working closely with our suppliers, we are finding new waysto further reduce their water usage and to help avoid waterconflict with local communities.PepsiCo also collaborates with corporate peers to ensure thatwe are doing more, collectively, to reduce our impact on theenvironment. In 2008, Indra Nooyi, our chairman and chiefexecutive officer, joined select global leaders as a signatoryto the United Nations CEO Water Mandate and we areactively involved in supporting all elements of the mandate.Through the work of The PepsiCo Foundation, we continueto invest in sustainable water resource managementmethods, which positively impact both quantity and qualityof water supply. Since 2005, the Foundation and PepsiCoCorporate Contributions have committed more than$15 million to organizations working to bring safe waterto developing countries.Climate Change: We are working hard to reduce our useof energy and transform our businesses by replacing ourexisting use of oil, gas and fossil fuels in manufacturing withrenewable energy sources.We are actively moving towards having all our new facilitiesmeet the U.S. Green Building Council’s (USGBC) Leadershipin Energy and Environmental Design (LEED) standards — oneof the world’s most rigorous standards for green building.In an industry-leading move, we introduced our SustainableEngineering Guidelines (SEG) based on LEED standards.These guidelines ensure our buildings are constructed toenvironmentally sustainable standards and apply to all newconstruction as well as major remodels of existing buildingsglobally, where practical.By consistently making our manufacturing operations moreenvironmentally responsible, we are also making themmore economically efficient through our water and energyconservation processes and teams. For example, the Frito-Layplant in Modesto, Calif., installed a solar energy generatingsystem that powers the daily production of thousandsof bags of SunChips multigrain snacks. In Casa Grande, Ariz.,our teams are working toward the goal of taking the Frito-Layplant there off the power grid, or nearly so, and runningit almost entirely on renewable fuels and recycled water.Agriculture: Guided by our Global Sustainable AgriculturePolicy, PepsiCo is working across the agricultural supplychain to ensure our practices are efficient and sustainable.Continuous benchmarking against our industry peersensures we are adopting best practices — including watersavings techniques, waste reuse, soil protection and chemicaluse — throughout the diverse aspects of our business.One of the most exciting developments in our environmentalsustainability efforts has been on the packaging front. In 2008,we introduced a new half-liter bottle for our Aquafinaflavored waters, Lipton Iced Teas, and Tropicana juice drinks.The new bottle contains 20% less plastic than the previousbottle and its label is 10% smaller than before. These innovationsare taking nearly 6 million kilograms of packaging out ofthe system each year and reducing greenhouse gas emissionsby 18,000 metric tons annually. That’s equivalent to taking3,350 cars off the road annually.Our goal is to design and develop packaging systems that areenvironmentally responsible throughout their entire life cycle.We want to inspire consumers who are seeking ways to livemore environmentally sustainable lives by promoting recycling.In addition, we want to partner with leading organizations topromote sustainable packaging and recycling practices. Mostrecently, we have launched a global sustainable packagingpolicy and formed a Sustainable Packaging Council to furtherour efforts in this area.PepsiCo’s commitment to environmental sustainability — a keyplank of our Performance with Purpose mission — is part ofhow we do business every day. The steps we’ve taken tominimize our impact and institute more robust, enterprisewideprocesses to better track, manage and understand ourenvironmental footprint are helping us to do better eachday. With the expert knowledge, world-class skills andbreakthrough technology that empower our environmentalteams across the globe, I’m confident that this will lead tocontinuous progress.PepsiCo Corporate Citizenship Report 2008 9