Sustainability Report 2010

Brewing a Better Future Contents Company profile Foreword

01 Foreword

IMPROVE UK is the UK’s leading brewer and maker 05 Green Brewer and an operating company of Heineken N.V. (), Brewing a Better 08 Green Commerce the world’s most international brewer. EMPOWER Future, Together 11 Engaging Employees Headquartered in Edinburgh, we employ around 13 Heineken Cares 2,300 people. As well as a brewer and cider maker, we manage around 1,300 pubs through our S&N As the UK’s leading brewer and cider maker, we As the first brewer to work with the Carbon Trust to IMPACT Pub Company business. draw on centuries of experience to produce a carbon footprint our products, we made clear that we 17 Responsible Consumption range of Britain’s best loved and . were dedicated to ensuring that our water and energy 17 Partnerships for Progress We are passionate about our & cider brands We are passionate about our brands but equally use is as efficient as possible. Whilst we may already and the services that we offer to our customers. passionate about being a responsible and have met some of our targets, we continue to find sustainable business. ways to improve upon our usage. Our unrivalled portfolio of brands includes Foster’s, Heineken, , Kronenbourg 1664, John Smith’s Last year, we committed to strengthening As a business committed to the UK, we are proud that and together with a full range of niche and our performance by embedding Heineken’s more than 95% of our beer sold in the UK is brewed speciality brands. comprehensive sustainability strategy for the in the UK. Demonstrating our commitment, we are next decade - Brewing a Better Future. This investing in world-class processes to raise brewing We have breweries in Manchester, Tadcaster Sustainability Report gives an overview of just standards in the UK. Last year, for example, we and Edinburgh and our cider business is based some of our 2010 achievements. invested heavily in the recently aquired production in . site in Herefordshire, resulting in Herefordshire Our achievements so far on this sustainability journey being classed as a global centre of excellence for are demonstrated in our being awarded the highest cider production. ranking of Platinum Plus in Business in the Community’s 2011 Corporate Responsibility Index (CRI). We are the We are a major customer of British agriculture; 30% of only alcohol company to achieve platimum plus. all apples and two-thirds of all cider apples grown in the UK are used by Heineken. All of the barley used in the In scoring so highly in the UK’s leading voluntary brewing of our beer in the UK is grown in the UK. benchmark of corporate responsibility, we have clearly demonstrated that sustainability lies at the heart of our Through our products, job creation and agricultural commercial strategy and has influenced our business commitment, Heineken UK provides £1 billion in tax model. As well as being one of only 15 companies to each year to the UK economy and over 0.5% of the achieve Platinum Plus ranking, we also achieved ‘Best UK’s GDP. in Food and Drink Sector’. Despite the challenging economic times in which Beer and cider have been part of the fabric of British we currently operate, I am proud that Heineken society for centuries and are an element of a normal, UK is demonstrating that we remain focused on social lifestyle for the vast majority of the population. transforming our business in order to have a positive But we recognise that alcohol misuse continues to impact on the society in which we operate. be a problem and so we are committed to leading by example, advocating responsibility in the UK alcohol industry. We are a founding member of the Portman Group and a major supporter of the Drinkaware Trust.

In 2010, as well as continuing to implement our own Stefan Orlowski responsible consumption strategies internally such Managing Director as Cool@Work, and working with our alcohol misuse Heineken UK partners, we are also leading the industry in the Government’s Public Health Responsibility Deal.

Heineken UK. Sustainability Report 2010 1 Brewing a Better Future is an exciting journey These Sustainable Six will enable us to realise our Brewing a Better Future that has only just begun. To realise our vision of Brewing a Better Future goals and ensure a more sustainable world, we will make positive sustainability is embedded across all aspects of and long-term investments in the environment, our business. communities, people and partnerships. To make sure we reach our destination, we have focused Heineken UK is well regarded as a responsible our actions and energy around three business and has a solid approach to managing strategic imperatives: sustainability issues, but to ensure that we are In April 2010, we proudly unveiled Brewing a Better Future, our comprehensive and continually challenging ourselves to go further, in integrated sustainability strategy for the next decade. It increases the scope and scale • Continuously Improve the environmental 2010, we compared our current performance in of our work on sustainability and gives substance to our long-term ambition to be the impact of our brands and business the UK against the Brewing a Better Future targets world’s greenest brewer. It also allows us to balance our need for financial sustainability • Empower our people and the communities and ambitions. in which we operate with the role we play in society. • Positively Impact the role of beer in society. We acknowledged the actions that were necessary to address gaps or maximise opportunities to From these, we have grouped 23 programmes position Heineken UK as a leader in sustainability. of work into six inter-related initiatives that We put forward our UK ambitions for all will enable us to realise our Brewing a Better 23 programmes and developed a plan for Future goals. 2011-2013, with clear measures and targets to track our progress. Embedding Brewing a Better Future into Heineken UK To make our journey actionable and achievable, Our journey is These 23 programmes are grouped into six we have taken some significant decisions that will Brewing summarised by strategic initiatives known as the Sustainable Six: enable us to fully integrate our sustainability plans a Better Future within the business. • Green Brewer • Green Commerce We believe that in delivering Heineken’s • Engaging Employees sustainability plans, we will be a valued and To be the Our long-term • Heineken Cares effective partner that exceeds our stakeholders’ World’s Greenest Brewer ambition • Responsible Consumption expectations. • Partnerships for Progress

Improve Empower Impact Three strategic Continuously improve Empower our people Positively impact imperatives the environmental and the the role of beer impact of our brands communities in society and business in which we operate

23 programmes grouped into six key initiatives Green Green Engaging Heineken Responsible Partnerships Brewer Commerce Employees Cares Consumption for Progress

Five Governance, Senior management incentives, enablers Reporting & transparency, Supplier Code, Communication & engagement

2 Heineken UK Sustainability Report 2010 3 Green Brewer We are always aiming to improve our energy efficiency and reduce carbon emissions and water Heineken UK Joins Courtauld Commitment Improve consumption in our breweries. We set stretching annual targets as saving energy and water increases our profitability and reduces our costs In 2010 Heineken UK Breweries and cider mills use large amounts of and environmental impact. become a signatory to water and energy and so central to Heineken’s the second phase of the ambition to being the World’s Greenest Brewer Due to the closure of two of our breweries in Courtauld Commitment - is to continuously improve the environmental Reading and Newcastle in 2010, and the opening of a cross-industry a new cider plant at Ledbury in the same year, it agreement to reduce impact of our brands and business. was almost impossible to set accurate targets for packaging waste. For many years, Heineken UK has recognised 2010. 2010 targets are therefore not included in both the business and environmental value of this year’s report, but are set for 2011 – 2013. The Courtauld Commitment came into effect in 2005 when 40 off trade retailers ensuring our operations are as efficient as Specific total energy consumption and brand owners, facilitated by the Waste Resources Action possible. We will always be compliant with Programme (WRAP), agreed two cross-industry targets on breweries, cider, soft drinks and environmental legislation and regulations, but packaging - to design out packaging waste growth by 2008 and to water plants deliver absolute reductions in packaging waste by 2010. also go much further to ensure that our Mj/hl beer + cider production processes are designed to make The second phase of the Commitment, which runs from 2010 to 2013 135.9 1.9 2012, expands the targets on packaging. These will not only include efficient use of available resources and minimise 2012 136.4 1.7 reducing the weight of packaging put onto the market each year 2011 142.8 environmental impact. but also to increase the recycled content and recycling rate of 2010 166.6 packaging, as well as reducing its carbon impact. There are further “We are actively involving 2009 161.7 targets on reducing supply chain waste and household food and our suppliers, so we can 2008 156.2 drink waste. work in partnership on • Target • Actual Heineken UK’s participation as a signatory to the Commitment, more sustainable products supports one of our priorities for Brewing a Better Future in the UK - and processes. We also Total energy consumption for Heineken UK ‘Green Packaging and Innovation’. encourage our employees increased from 161.7 MJ/hl in 2009 to 166.6 MJ/hl to suggest and implement in 2010. We are constantly aiming to be as Over the years Heineken UK has significantly reduced the amount energy efficient as possible, setting and meeting of packaging we use through the introduction of lighter versions. environmental improvements Lightweighting is a continual process but is only possible after it has challenging targets. However, in the year that to help us be best in class. been proven that the new package will maintain safety and hygiene we closed underperforming breweries Reading during filling, distribution and use. We are measuring our global and local carbon and Newcastle, it was very difficult to set total footprint, so we can optimise our emission energy efficiency, and thermal and electricity Through our work with WRAP and other signatories to the reductions throughout our supply chain.” consumption targets. Our total energy Courtauld Commitment, we look forward to further improving our performance in 2010 does not include energy performance. consumption for the now closed breweries at Paul Hoffman Reading and Newcastle, or the new addition of Supply Chain Director our cider plant at Ledbury. Heineken UK being more proactive in condensate recovery/ The breweries at Edinburgh, and steam trap management, improving maintenance Manchester have improved their total of boiler burners to improve boiler efficiency energy performance. and brewing at higher gravity. The specific thermal energy performance of The specific total energy performance of Heineken Heineken UK is better than the Heineken average UK is at the Heineken average of 166 MJ/hl. of 87.6 MJ/hl.

Thermal Energy Consumption Specific thermal energy consumption Thermal energy consumption for Heineken UK breweries, cider, soft drinks and increased from 81.6 MJ/hl in 2009 to 86.3 MJ/hl water plants in 2010. This increase was due to the poor Mj/hl beer + cider performance of the closing breweries in Reading 2013 71 1.9 and Newcastle, and the addition of the cider plant 2012 72 1.7 at Ledbury, which has a very high thermal energy 2011 74 consumption (275 MJ/hl). 2010 86.3 2009 81.6 The breweries at Edinburgh, Hereford and 2008 83.5 Manchester have improved their thermal energy performance. In Manchester this was done by • Target • Actual 4 Heineken UK Sustainability Report 2010 5 Electricity Consumption Direct and Indirect CO2 Emissions Types of fuels used In 2010, our total water consumption decreased Electricity consumption has remained at 8.9 kWh/ The total direct and indirect CO2 emission from Calculation of MJ per type of fuel from 4.35 hl/hl in 2009 to 4.01 hl/hl in 2010. hl since 2009. We did not improve upon our Heineken UK has increased from 9.5 kgCO2/hl in Through one of the Total Productive consumption in 2010 due to the performance of 2009 to 10.8 kgCO2/hl in 2010. This is higher Management projects, a large improvement was the closing Reading and Newcastle breweries, and than the Heineken average of 9.3 MJ/hl. Our made at Manchester brewery by changing from the addition of the cider plant at Ledbury. increase in CO2 emissions is directly related to kegging to canning, as well as through improved the increase in total energy consumption. housekeeping and leak management. The specific electricity performance of Heineken UK is just higher than the Heineken average of 8.7 Our carbon reduction strategy is mainly focused The specific water performance of Heineken UK kWh/hl. on switching fuel sources and on reducing is lower than the Heineken average of 4.53 hl/hl, carbon intensive operations, and at new site though we have not yet achieved our ambitious Specific electricity consumption Ledbury, strategies are based on green target of 2.93 hl/hl. • Gaseous fuels (LPG, natural gas, propane) breweries, cider, soft drinks and packaging, green cooling and sustainable • Liquid fuels (diesel, fuel oil, gasoil, kerosine) water plants buildings programme. With the exception off • Biogas kWh/hl beer + cider Caledonian Brewery in Edinburgh, all of our sites Specific water consumption have European Union Emissions Trading Scheme breweries, cider, soft drinks 2013 7.2 1.9 permits. and water plants 2012 7.2 1.7 The majority of fuels used are based on gaseous hl water/hl beer + cider 2011 7.6 fuels (76.8%), which are mainly used for thermal 3.77 2010 8.9 Direct and indirect CO2 emission 2013 energy production. Some thermal energy and 3.81 2009 8.9 breweries, cider, soft drinks and 2012 electricity are based on liquid fuels. Logistics 2011 3.87 2008 8.1 water plants are mainly powered by LPG and diesel. Biogas kg CO2/hl beer + cider 2010 4.01 incineration at Manchester and Tadcaster 2009 4.35 • Target • Actual 2013 8.5 breweries accounts for 1% of the total energy 2008 4.25 2012 8.5 consumption, but there is potential for biogas to 2011 8.9 generate 5.2% of total energy consumption, and • Target • Actual 2010 10.81 thus reduce CO2 emissions. 2009 10.02 2008 9.68 Water Consumption At Heineken UK we need water to brew beer, • Target • Actual make cider and package our products. Therefore, both water availability and quality are priorities for our business.

We release water once it has been used in the brewing process, with our sites producing large volumes of effluent. This requires treatment to minimise any possible environmental impact. Our Tadcaster and Manchester breweries have on-site effluent treatment plants which helps us increase business efficiency and reduce costs. Managing, treating and reducing water consumption is a high priority.

6 Heineken UK Sustainability Report 2010 7 Our effluent organic load to surface water Waste increased from 60 tons in 2009 to 90 tons in At Heineken UK more than 95% of our waste is 2010. The increase is caused by the addition of recycled. The predominant waste produced by Ledbury (20 tons organic load) and an increase our manufacturing sites is organic material in organic load at Tadcaster, the year following removed from beer during maturation and the treatment plant becoming fully operational, recovered as a fertiliser. The remaining waste, from 60 to 69 tons. mostly packaging, is largely recycled.

Non-recycled industrial waste for Heineken UK Effluent organic load to surface water decreased from 0.06 kg/hl in 2009 to 0.03 kg/hl ton COD in 2010, achieving our target of 0.04 kg/hl. 2010 90 The greatest improvements were made at 1.7 2009 60 Tadcaster, Manchester and Caeldonian 113.6 2008 150 Breweries, where all waste was diverted to energy from waste in 2010, which is classified • Actual as a recovery/recycling operation.

Green Commerce The specific non-recycled industrial waste Working with the Carbon Trust on carbon performance of Heineken UK is better than the footprinting over the last number of years has Heineken average of 0.84 kg/hl. given us an insight into the emissions associated with the wider supply chain, rather than just our Specific non-recycled industrial waste own manufacturing sites. production breweries, soft drink, cider and water plants Heineken UK is part of the workstream developing kg/hl beer + soft drink + cider + water the Heineken Baseline Carbon Footprint model to 2013 0.02 1.9 quantify Heineken’s global footprint. 2012 0.02 1.7 2011 0.02 0.8 We are bringing our experience of working with 0.04 2010 0.03 1.5 the Carbon Trust to carbon footprint two of our 2009 0.06 brands, Fosters Lager and Bulmers Original - 2008 0.04 recognising that each product that we make and • Target • Actual each packaging type has different amounts of carbon emissions and therefore different carbon footprints.

8 9 Engaging Employees Empower All Heineken UK colleagues are ambassadors for our Cool@Work Launch company and our brands and so we focus on creating and maintaining the right business environment to make As we expect all At Heineken UK integrity, health and safety and Heineken UK a great place to work. our employees to employee rights are embedded in our culture. be ambassadors for We aim to enable our employees to actively participate in responsible drinking Our most valuable asset is each and every one their community and educate them on responsibility and and to understand of our employees –as we know that our future sustainability issues. what responsible success relies heavily on our people delivering it. consumption means, For us, ensuring engagement with everyone in Heineken UK we launched Cool@ We are committed to ensuring our employees is at the core of creating a sustainable business. Internally, Work - a Heineken this means looking at many areas including health and safety workplace alcohol have the opportunity, encouragement, and information and prevention programme, which aims to improve and development, through to making sure we have a culture support to achieve their potential. To empower safety and health at work. our people and the communities in which we of trust and integrity which recognises the rights and responsibilities of us all. Externally, it is about our colleagues operate, we are engaging employees by The Cool@Work programme was rolled out in the UK in actively participating in their communities, making a September 2010 and is underpinned by the Heineken UK Alcohol focusing on three programmes: difference, and crucially, through this, learning more Policy which was updated in 2010. The Policy sets out our •Health & Safety about sustainability. role as a responsible employer, our rules about alcohol in the •Rights & Integrity workplace and our expectations of colleagues. We are committed •Employee Engagement & Education We understand that if we build employee understanding of to supporting employees who might have an alcohol misuse or the relevance of sustainability issues we can increase dependency problem. If an employee has an alcohol problem, employee pride in our company and encourage greater we encourage them to seek help. We put Counselling services ownership of these issues. This will help us strengthen the in place last year. “We are focused on making value and impact of our current approach. As part of the roll out, all colleagues received a Cool@Work Heineken UK a great place to reference card giving them a brief summary of the Policy, work! To achieve this, we are Our annual Climate Survey consistently shows that our as well as practical tips on responsible drinking. Colleagues dedicated to expanding our employees are positive about the way we manage and lead were encouraged to order the information cards for use at our organisations. They have a strong understanding and business events. activities around health and commitment to our business strategy; and a real belief in safety and employee our brands. In 2010, we were pleased to see a 10% positive With Cool@Work, colleagues are divided into three groups and development as well as increase in personal development which we identified as a targeted information and support is delivered to each group: ensuring we have a culture of trust and integrity key focus area for Heineken UK. which recognises the rights and responsibilities Green: The majority who consume alcohol in moderation and are responsible drinkers. of us all. In 2010, placing emphasis on helping everyone across our business improve their skills, enhance their careers and be a Amber: Those at risk of developing alcohol problems because of more connected and inclusive part of Heineken UK, we We are also striving to ensure that our their job activities or characteristics. employees are proud of our approach to launched a new development programme, which included an new set of Business competencies and a tool to support sustainability issues, and that, in turn, they Red: Individuals showing performance or health problems performance and development review - STAR Review. because of their alcohol consumption. There are a number of understand how they can help improve our supporting materials for line managers to use when dealing with sustainability performance and take personal Our HR Team consulted over 200 people across the business, colleagues who fall into this group – they can be accessed from action to increase the impact of our approach.” asking their views on what key skills and competencies the right hand menu. they thought everyone would need to achieve our vision Robin Pring of becoming the most admired operating company within Support materials for the Red and Amber groups are currently being developed and when finalised will be made available to HR Director the Heineken group. line managers and relevant colleagues. Heineken UK STAR Review has been supported by a number of development solutions, including an online development guide, STAR Port – our online development portal, and a range of workshops focussed on meeting specific development needs across Heineken UK’s business competencies. Personal development will continue to be a focus area for us in 2011.

10 Heineken UK Sustainability Report 2010 11 Health and Safety Accident frequency in production Community Involvement Heineken UK is committed to providing a safe, cases/100 FTE for all sites Heineken UK has a strong history of contributing Deuchars IPA, brewed at the Caledonian healthy and productive working environment. 2012 1.2 1.9 to our local communities. We focus on building Brewery in Edinburgh, announced a three-year Through Brewing a Better Future’s Health and 2010 1.7 long term relationships with communities sponsorship of Fringe and joined with Bulmers Safety Programme, we are expanding our 2009 0.8 where we have major Heineken UK sites and to co-sponsor the world famous Spiegeltent current Occupation Health & Safety activities 2008 1.5 aim to use local activities to strengthen venue. In 2010, we continued our association and effectively coordinating and sharing best stakeholder relationships and increase with the Edinburgh International Festival by • Target • Actual practice across the business. employee engagement. sponsoring the opening concert.

We believe that no activity is so important that it Accident severity in production Our grassroots community support targets local - In Manchester, Royal Brewery this year began cannot be done safely. Our safety improvement lost calendar days/100 FTE for all sites needs. We work with community foundations working with the Community Foundation for plan focuses on four key areas: effective to identify and support local projects that Greater Manchester, Forever Manchester, to 39 54 leadership, employee involvement, effective 2012 encourage health, well-being, self esteem and provide a new source of funding to groups in 22 systems and physical improvements. 2010 self-confidence especially through education, the Moss Side and Hulme areas. 3 2009 training and/or physical activity. The project Managers at all levels receive training on positive 2008 9 should encourage community pride, strengthen - In Tadcaster, John Smith’s Lionheart Fund has intervention, a programme designed to • Target • Actual networks or bring different parts of the supported local organisations including encourage action when unsafe behaviour is community together. Yorkshire Community Interest Company, observed. We also actively encourage and Rawson Spring Football Club, Rotary Club promote colleague involvement in safety through Rights and Integrity - In Scotland, we set up the Scottish & Newcastle of York and Hornsea Inshore Rescue. the development of our safety representatives At Heineken UK we aim to demonstrate our Fund in 2000 and since then have been able to and safety champions. integrity in all that we do. Ensuring integrity was support more than sixty local projects to date. - In Newcastle, the Fund, fully embedded in our culture, and to become One of the more recent projects the Scottish which was established as part of the brewery However, there was an increase in the number of aligned to the Heineken NV Code of Conduct, & Newcastle Fund has supported is Altogether closure, aims to benefit young people aged accidents to company personnel and associated Heineken UK launched a new Code of Business in the Park; contributing towards the cost of 18-25 in the city. Recently, the fund has helped lost days in 2010 compared to 2009. This Conduct at the end of 2010. a community celebration event promoting support The Newcastle United Foundation’s decrease in safety performance was as a result healthy lifestyles and training and employment Health Trainer, which is getting men back into of Heineken UK’s inclusion of the production The new Code formally expresses our opportunities in a socially deprived area sport by encouraging participation in football unit at Ledbury, and an increase in the number commitment to diversity, human rights and of Edinburgh. related activities to increase health and of accidents at Manchester and Tadcaster ethical business. It covers a number of areas, well-being initiatives. and Edinburgh. each stating the legal principle, ethical value or We are a high profile supporter of the practice that the Code is trying to promote or Edinburgh Festivals. In 2010 Heineken UK’s The addition of Ledbury in 2010 led to both stipulate, and then outlines the personal leading lager, Foster’s was sponsor of the world an increase in accident frequency from 0.8 responsibilities and behaviours considered renowned Edinburgh Comedy Awards which cases/100FTE in 2009 to 1.7cases/100 FTE necessary for colleagues to comply with the celebrated 30 Years of Discovering Comedy in 2010 and increased accident severity from Code. Adherence to the Code is contractual, Genius in the same year. 3 lost days/ 100 FTE in 2009 to 22 lost days/100 since Heineken UK requires colleagues to comply FTE in 2010. with legislation and reasonable instructions, and is applicable to all colleagues. At Royal Brewery Manchester, an unfortunate slip resulted in an accident with 117 lost days. Our Code of Business Conduct recognises Similarly, a fall due to severe weather conditions Heineken’s values: respect for individuals, society at Tadcaster Brewery also caused a high number and the environment; bringing enjoyment to life; of lost days. and a passion for quality. It helps us put into action these values and principles through our Although contractor accidents fall outside daily business activities. The Code also provides our reported KPIs, contractor safety is also information on key areas of business activity; very important to Heineken UK. The total outlines our minimum responsibilities; and number of contractor accidents decreased provides further details on where to go for from 11 accidents across all sites in 2009 to additional information or to report an issue. 9 accidents in 2010.

12 Heineken UK Sustainability Report 2010 13 In 2010 we piloted team based development Our cider business, Bulmers, accounts for: Our employees and growers now share a passion opportunities with an environmental conservation for producing our cider’s raw material in a organisation and as a result we now aim to roll - 10,000 acres of apple orchards in Herefordshire manner that is conducive to conserving out a conservation volunteering programme - 2,500 acres Bulmer owned farms biodiversity in tandem with producing a with colleagues in 2011. - 7,500 acres mature orchards on locally commercially viable crop. owned farms We match funds our employees’ charitable - 1,200 orchards currently being planted Encouraging a more sustainable way of working fundraising efforts and charitable donations. - Relationships with around 250 local farmers, must be justified through increased yield or We distributed £12,000 to charities in 2010 some third generation dating back to the 1920s reduced costs. Identifying a small number of through this fundraising support. innovative farmers who are prepared to work The contract for any given orchard is with us to trail new ideas or new apple varieties In 2010, we again achieved Business in the typically 25-30 years which directly benefits is essential in terms of engaging the broader Community’s CommunityMark standard – the UK’s precious agricultural jobs and promotes community. only national standard that publicly recognises sustainable planting. excellence in community investment. In 2010 a new project called the Herefordshire Without the support of local farmers, we would Orchards Network of Excellence was launched. Sustainable Agriculture not be able to grow sufficient bittersweet apples The project will design, organise, fund, run and We are proud to be committed to supporting UK to meet market demand and this has resulted in promote a series of innovative orchard trials and agriculture, sourcing locally and investing in vertically integrated supply with partnership new management techniques across selected world-class processes to raise brewing standards working with local farmers. Heineken UK has growers throughout Herefordshire. in the UK. We want to ensure that we have full committed to significant investment in research insight of where we source our raw materials and and development and provides a full time advisor understand how they meet brewing and to support farmers. sustainable sourcing criteria. Through strong partnerships with local farmers, - 30% of all apples grown in the UK are used by we have encouraged a more sustainable Heineken, and two thirds of all cider apples approach to orchard management, improving biodiversity and reducing use of harmful - All of the barley used in the brewing of chemicals. This partnership approach has been Heineken’s beer in the UK is grown in the UK recognised by the UK government, the National Farmers Union and other stakeholders - More than 95% of our beer sold in the UK is as exemplary. brewed in the UK We hold growers open days annually on our own - In 2010 we invested heavily in our new site in farms to demonstrate improved orcharding Herefordshire, seeing Hereford become techniques and we invest in agricultural research regarded as the global centre of excellence for to improve grower confidence in ongoing cider production. pesticide reductions.

14 Heineken UK Sustainability Report 2010 15 Responsible Consumption Case Study Impact Heineken UK has demonstrated industry leadership in Seeing is Believing changing behaviour through our support of the Government’s Responsibility Deal on alcohol. In addition to It is Heineken’s goal to positively impact the role signing up to a common set of pledges aimed at tackling In July 2010, we of beer in society. We will do this by promoting alcohol misuse and improving awareness of safe drinking worked with Business responsible consumption amongst all of our levels, we have made individual pledges which we believe will in the Community and build on our existing responsible drinking programme. Addaction, one of our stakeholders, and working closely with partners partners in tackling alcohol misuse, to to ensure that our business is well informed of the Heineken UK has led the industry on labelling and since 2005, arrange a Seeing is issues of alcohol misuse, enabling us to make voluntarily included the UK Chief Medical Officer’s Believing evening for decisions that will have a real impact. responsible drinking guidelines and unit content on our our Management Team. labels. Building on our proactive labelling of all UK bottles As the UK’s leading brewer and cider maker, and cans, we pledged as part of the Responsibility Deal to The evening was spent at a ‘wet hostel’ in Vauxhall and a it is hugely important to us that our brands are distribute 11 million branded glasses into the UK on trade Community Centre in Brent. The Management Team met with consumed in a responsible manner and we showing alcohol unit information by end of 2011. a variety of people affected by alcohol misuse including the residents of the wet hostel, ex addicts at the community centre recognise our duty to lead the industry in This pledge will educate drinkers in the on-trade by providing as well as a number of community specialists, such as police, encouraging responsible consumption. alcohol unit information on our draught beers and ciders, licensing officials and community organisers who are impacted by through the unit labelling of branded pint glasses – on drinks alcohol misuse in their daily lives. such as Foster’s, Strongbow, Heineken and John Smith’s. Addressing growing public concern about the links between strong ciders and irresponsible drinking, and as a direct result We have also pledged to aim to remove 100 million units of of our senior colleagues seeing first-hand the issues surrounding alcohol from the UK market each year through lowering the alcohol misuse at the Seeing is Believing event, the decision to strength of a major brand by 2013. We believe that publicly speed up the de-listing of Strongbow Black was taken. sharing this aim will influence and encourage our off-trade “We have a strong record customers to review their own-label portfolios as well as Stefan Orlowski, Managing Director, Heineken UK, who led the of implementing our own their broader alcohol fixture. visit, said: responsible consumption strategies and We believe we can be a valuable partner in tackling alcohol “It was a very valuable, at times challenging, but certainly great misuse by marketing our products responsibly, providing learning experience. It busted some myths and created a much encouraging others in the greater awareness among Heineken UK’s management team, consumers with information, and delivering education and and our commitment to integrating responsible consumption UK alcohol industry to responsible drinking programmes. address alcohol misuse.” into the way we do things.” We are a founding member of The Portman Group – The decision to de-list Strongbow Black followed the ongoing Kieran Simpson a self-regulating organisation which encourages and move to lead the way in terms of responsible marketing of our Corporate Relations Director challenges the industry to promote its products responsibly. cider portfolio, including the de-listing of White Lightning at the Heineken UK The Portman Group is recognised by Government for end of 2009. These de-listing decisions have had an impact on the delivering consistent improvements in the responsible company’s annual turnover, reinforcing our stance on responsible marketing of alcohol. drinking and commitment to integrating responsible consumption into our business. We based our own Responsible Marketing Policy on the Portman Group’s Code of Practice on the Naming, Packaging and Promotion of Alcoholic Drinks and Stefan Orlowski, Heineken UK’s Managing Director, In 2010, Heineken supported Addaction to establish a sits on the Portman Group Council. specialist alcohol service for ex-offenders attending Addaction’s Manchester Resettlement Service. The We are also a major supporter of The Drinkaware Trust - an Manchester Resettlement Service supports men and educational charity that aims to positively change the UK women with drink and drug problems who are returning to drinking culture. the City of Manchester after release from prison. The project looks to bridge the gap between prison and Partnerships for Progress community based-services for ex-offenders with an We also address alcohol misuse through Community alcohol or drug dependency. Currently, no programme like Partnerships. We have a strong track record of working this exists. There is no other programme which offers collaboratively in partnership with alcohol misuse charities dedicated support for ex-offenders in the community to such as Turning Point and Addaction. We have worked with address their problematic drinking, to help them avoid these partners for many years, strengthening our ability to relapse and maintain their recovery. support long term change.

16 Heineken UK Sustainability Report 2010 17 www.heineken.co.uk www.enjoyheinekenresponsibly.com