British American Tobacco P.l.c. · LSE:BATS
British American Tobacco P.l.c — ESG Presentation (2020)
21 slides from British American Tobacco P.l.c's sustainability presentation, 2020
Slide 1: What ESG means at BAT
What ESG means at BAT IR & ESG Teams
Slide 2: Important information
Important information The information contained in this presentation in Forward-looking Statements The forward-looking statements reflect knowledge relation to British American Tobacco p.l.c. (“BAT”) and information available at the date of This presentation does not constitute an invitation and its
Slide 3: Important information
Important information Forward-looking Statements (continued) consolidation within the results of the BAT Group. purposes. This material does not constitute and To the extent any such financial information should not be construed as constituting an offer to Additional information concerning these and
Slide 4: We are building A Better Tomorrow
We are building A Better Tomorrow OUR PURPOSE: “TO REDUCE THE HEALTH IMPACT OF OUR BUSINESS”
Slide 5: Reducing the health impact of our business
Reducing the health impact of our business 1. COMMITTING TO PROVIDING ADULT CONSUMERS WITH A WIDE RANGE OF ENJOYABLE AND LESS RISKY PRODUCTS 2. CONTINUING TO BE CLEAR THAT COMBUSTIBLE CIGARETTES POSE SERIOUS HEALTH RISKS, AND 3. THE ONLY WAY TO AVOID THESE RISKS IS NOT TO START OR TO QUIT 4. ENCOURA
Slide 6: Our Purpose drives our growth strategy
Our Purpose drives our growth strategy OUR MISSION MUST WIN OUR PURPOSE KEY ETHOS STAKEHOLDER High Growth OUTCOMES Bold Segments & Priority Markets Consumers Stimulating Fast the Senses HOW TO WIN Society of New Adult Empowered Inspirational Remarkable Generations Foresights Innovation Employees Div
Slide 7: Creating value for all stakeholders
Creating value for all stakeholders Our ESG Agenda CONSUMERS SOCIETY H Reducing the HEALTH impact of our business CREATES SHARED E S G VALUE FOR Excellence in Delivering a positive Robust corporate ENVIRONMENTAL EMPLOYEES SOCIAL impact GOVERNANCE management SHAREHOLDERS CREATING SHARED VALUE FOR OUR
Slide 8: Driven by clear priorities
Driven by clear priorities H Reducing the HEALTH impact of our business CONSUMER CHOICE WORLD-CLASS SCIENCE STANDARDS & REGULATION E S G Excellence in Delivering a positive Robust corporate ENVIRONMENTAL SOCIAL impact GOVERNANCE management • Climate change • Human rights • Business ethics • Water an
Slide 9: With stretching targets
With stretching targets H Reducing the HEALTH • 50 million consumers of our non-combustible products by 20301 impact of our business • £5 billion in New Category revenues by 20251 E • Carbon neutral by 20302 Excellence in • Reduce water withdrawn by 35% by 20253 ENVIRONMENTAL • Eliminate use of unsu
Slide 10: Building on strong ESG foundations
Building on strong ESG foundations 2000-2005 2006-2010 2011-2015 2016-2019 2020 ESTABLISHING DEVELOPING EMBEDDING GROWING ACCELERATING SRTP Social Responsibility in Tobacco Production Supply chain sustainability strategy Diversity & Inclusion strategy 50% External CO2e by Scientific 2030 Panel Name
Slide 11: With ESG fully integrated in the business
With ESG fully integrated in the business MARKETING LEGAL OPERATIONS R&D HR FINANCE IDT H Reducing the health impact of our business Climate change Climate change Climate change Water and waste financial disclosures E Sustainable agriculture Leaf R&D Sustainable agriculture Circular economy Human ri
Slide 12: We are making good progress: reducing the health impact of our business
H We are making good progress: reducing the health impact of our business 2019 • 50 million consumers of our non- 11 million consumers CONSUMER combustible products by 20301 CHOICE New Category revenue • £5 billion in New Category revenue +37% to £1.3 billion2 by 20251 59 peer reviewed papers on • R
Slide 13: Case Study: Reducing our health impact through a unique multi-category approach
Case Study: Reducing our health impact through a H unique multi-category approach • We can lower our health Total Industry Total Industry footprint while generating Consumers 3 Non-Combustible WHILE WE’RE PROUD OF HOW rapid growth by Non- MUCH WE’VE ALREADY 69m Revenues3 transitioning combustible Co
Slide 14: We are making good progress: excellence in environmental management
E We are making good progress: excellence in environmental management 2017 2019 CLIMATE CHANGE Carbon neutral operations by 20301 864 782 (- 9.5%) (‘000 tonnes) WATER & WASTE Reduce water withdrawn -35% by 20252 5.19 4.51 (- 13.1%) (mn cubic metres) SUSTAINABLE 100% use of sustainable wood sources f
Slide 15: Case Study: Helping the planet and generating competitive advantage with our Circular Economy strategy
Case Study: Helping the planet and E generating competitive advantage with our Circular Economy strategy A cross functional team, led by the Management Board, will drive our circular economy strategy through all categories Reducing Ambitious Goals Waste Today for 20251 • Following trials, we plan to
Slide 16: We are making good progress: delivering a positive social impact
S We are making good progress: delivering a positive social impact 2017 2019 HUMAN 100% of suppliers subject to human rights RIGHTS supply chain due diligence1 46% 100% FARMER Enhance farmer livelihoods such as by 12–20% increase in LIVELIHOODS increasing yields and productivity N/A tobacco crop yie
Slide 17: Case Study: Increasing yields, cutting poverty & child labour and securing our leaf supply
Case Study: Increasing yields, cutting poverty S & child labour and securing our leaf supply by supporting our farmers Boosting New efficient Farm business Crop farmers’ profits technology management diversification training Developing new Helping our farmers Educating and Over 2,700 training tobacc
Slide 18: We are making good progress: robust corporate governance
G We are making good progress: robust corporate governance 2017 2019 BUSINESS 100% adherence to our Standards of ETHICS Business Conduct1 100% 100% (employee training) RESPONSIBLE 100% adherence to our Youth Action MARKETING Prevention Guidelines1 N/A 100% (markets aligned) REGULATION Principles for
Slide 19: Case Study: Ensuring consumers have access to less risky products with adequate regulation
Case Study: Ensuring consumers have access to less G risky products with adequate regulation We actively advocate for regulation that: Recognise relative risk and specific attributes Given the reduced-risk potential, this products should be regulated differently and separately from traditional combu
Slide 20: Building A Better Tomorrow
Building A Better Tomorrow OUR PURPOSE 50 MILLION* CARBON NEUTRAL* NON-COMBUSTIBLE PRODUCT CONSUMERS BY BY 2030 2030 TO REDUCE THE HEALTH IMPACT OF OUR BUSINESS *Internal company targets, CO2 neutral for Operations (Scope 1&2)
Slide 21: More information
More information Available at: https://www.bat.com/reporting GET IN TOUCH ir_team@bat.com sustainability@bat.com
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