GLOBAL ENVIRONMENT REPORT 2020 Table of Contents Photo above: Boeing delivered 4.5 million units of personal President and CEO Message 1 protective equipment (PPE) and produced more than 40,000 face Leadership Message 2 shields as part of the company’s ongoing COVID-19 airlift efforts Report Summary 3 via Dreamlifters, the cargo carrier from the 787 family. Since the first Air 5 787 entered service in 2011, the 787 Water 15 family has saved more than 48 billion pounds (22 million metric tons) of Land 21 fuel, greatly reducing CO2 emissions. Awards 33 Cover photo: The 777X is the UN Sustainable Development Goals 34 most efficient twin-aisle jet ever developed, featuring a 72-meter Priorities 35 wing span that gives it enormous lift capability while minimizing Industry Analysis 37 drag thanks to its composite wing technology. The innovative wing tip Operating Environment 38 folds to accommodate any airport Environment Strategy 39 gate that today’s 777 serves. Governance 42 Forward-Looking Statements 43 Endnotes 44 TABLE OF CONTENTS MESSAGE FROM OUR PRESIDENT AND CEO At Boeing, we’re committed to environmental leadership—an important pillar of our broader sustainability strategy to help make the world a better place for future generations. Throughout the company, our You can learn more about our people are making ambitious global environmental efforts and strides to protect air, land, water our team members’ passion for and human health in partnership them in the pages of this report. with our stakeholders and in line with our customers’ needs. We have a responsibility to lead You can see examples of our in this area, and you have my progress across our innovative commitment that we will keep products and the conscientious improving for our teams, for our ways we build and service customers and our communities. them. We’re also identifying David Calhoun, opportunities to continuously President and improve, including adopting more Chief Executive Officer transparency and data in our technical reporting and achieving our ambitious environmental targets. PRESIDENT AND CEO MESSAGE | 1 TABLE OF CONTENTS LEADERSHIP MESSAGE We are committed to environmental excellence and transparency for all of our stakeholders, including employees, customers, investors, and communities around the world. We know our continued come. Perhaps most importantly, commitment to environmental environmental sustainability is sustainability—whether we’re critical to future generations— efficiently managing resources both to enable us to attract top or cutting the carbon footprint of talent and because we need to our products—is a key element leave the Earth in a good place to the company’s overall strategy. for those who will follow us. Innovation is part of Boeing’s DNA, and you will see how we We are committed to continuing apply that to the environment on this trajectory, even as in this report. We are designing the world grapples with the and building our products while coronavirus pandemic and social being mindful of emissions and justice. In fact, there are many conserving precious resources, valuable lessons to apply from including energy and water, while our current situation, namely significantly reducing waste. that responsible actions benefit everyone on the planet. We do this because it’s the right thing to do and because Bryan Scott, it will sustain our business and Vice President, our communities in the years to Environment, Health & Safety LEADERSHIP MESSAGE | 2 TABLE OF CONTENTS REPORT SUMMARY— BOEING’S APPROACH Boeing recognizes climate change is TO ENVIRONMENTAL SUSTAINABILITY a fundamental global challenge, and as we enable people to move freely across the planet we recognize the need to reduce the impact of flying. The fuel efficiency of flying continues to improve, and we are reducing carbon emissions from our business operations, using resources efficiently through innovative solutions across our product life cycle. This report provides a summary of the actions we achieved in 2019 toward our environmental aspirations. The following pages highlight stories of good stewardship of what all our stakeholders deserve: clean air, water and land. Our 2019 environmental sustainability achievements are based on commitments to the following: Products Operations Collaboration Governance Providing Sustainable Collaborating with Comprehensive innovative operations to partners globally to review and products improve the advance innovative assessment of the and services environmental environmental most significant to improve performance of our solutions. environmental environmental factories, work sites challenges performance. and supply chain. and risks. REPORT SUMMARY | 3 TABLE OF CONTENTS REPORT SUMMARY— Products 3D printing, is changing the way BOEING’S APPROACH The cover story of the new 777X we design and build products TO ENVIRONMENTAL demonstrates that Boeing’s with fewer raw materials, creating SUSTAINABILITY environmental performance less waste and improving fuel is closely linked to innovation efficiency in our products See( and technology (See page 6). story on page 30). Each newly developed Boeing Collaboration product is typically 15% to 25% Boeing’s environmental principles more efficient than the airplanes are applied to the product they replace. Read more about Boeing’s industry-leading fuel lifecycle value chain, working with efficient product offerings, partners, suppliers and industry enabling the industry to achieve a collaborators. Throughout global approach to carbon-neutral the pages of this report, you growth starting in 2020 and a will see examples of Boeing’s 50% reduction by 2050 (See support of environmental pages 37–40 to learn more about sustainability through STEM, Boeing’s collaborative efforts community involvement in green to reduce carbon emissions). infrastructure, land conservation, Our new airplanes exceed habitat restoration and resiliency. those industry standards. Our The stories in this report align commitment to environmental to Global Reporting Initiative sustainability doesn’t stop there. categories. In fact, Boeing’s product designs Governance enable disassembly of parts and Boeing’s governance includes materials recovery resulting in reviewing and assessing airplanes that are nearly 90% significant environmental recyclable by weight for parts challenges and risks to the reuse and scrap. Read about how company and industry, such Boeing works directly with airline as climate and policy change. customers to ensure airplanes are The company's environmental operated as efficiently as possible strategy and policies are guided through Boeing Global Services by the Environment, Health and (see page 26). Safety (EHS) Policy Council, Operations composed of Boeing's Executive Boeing has bold goals to reduce Council and led by the president companywide greenhouse gas and chief executive officer. The emissions by 2025. Read about EHS Policy Council ensures our 2019 progress on page 41. that strategy and performance In 2019, Boeing made strides in targets are set and monitored. securing more renewable energy The Board of Directors reviews to power its operations, building top-level, strategic operational on our strong track record. Two and compliance risks, which Boeing factories are powered includes environment-related by 100% renewable energy, risks. Our governance, strategy, and about half of Boeing’s total risk management, metrics and electricity consumption comes targets are summarized in this from carbon-free hydroelectric report and align to the Task Force and other renewable energy on Climate-related Financial sources. Since 2007, Boeing Disclosures (TCFD) core has reduced its emissions by elements. GHG emissions data 29% (See analysis on page is summarized in the notes 40). Read about how additive section and our CDP report (see manufacturing, also known as page 44). REPORT SUMMARY | 4 TABLE OF CONTENTS air Boeing airplanes bring the world closer together. We’re taking critical steps to design and build products with air quality in mind by reducing emissions, decreasing fuel use, promoting sustainable aviation fuel, and increasing the use of renewable electricity in our manufacturing facilities. AIR | 5 TABLE OF CONTENTS 777X ADVANCED The 777X is Boeing’s newest flow nacelles, together will help TECHNOLOGIES family of twin-aisle airplanes, the airplane to achieve 10% DRIVE EFFICIENCY the largest and most fuel lower fuel use and emissions and AND ENVIRONMENTAL efficient jet of its kind. With an 10% lower operating costs to PERFORMANCE optimized wingspan of more comparable aircraft in the market. than 72 meters—longer than today’s 777—and a simple Boeing has partnered with folding wingtip, the 777X delivers GE, which has developed the greater efficiency, significant fuel most advanced, fuel-efficient savings and complete airport commercial engine ever, the compatibility. GE9X. The GE9X engine will be more than 5% more efficient than Smart design and innovative anything in its class. new technologies on the 777X, including its fourth-generation Boeing began the flight testing carbon-fiber composite wing, all- phase of its rigorous test program new engines and natural laminar in January 2020. AIR | 6 TABLE OF CONTENTS AIRLINES FLY NEW BOEING Boeing began offering airline EYGYPTAIR, Etihad Airways and JETS HOME ON BIOFUEL customers the option to fly SAUDIA have used sustainable their new airplanes home on fuel on delivery flights under sustainable fuel in March 2019. this new program. Several other Alaska Airlines