Board of Directors Meeting Thursday, May 23, 2019 3:30 P.M

Board of Directors Meeting Thursday, May 23, 2019 3:30 p.m. – 5:30 p.m. Central Daylight U.S. Time McDonald’s Global Headquarters – Room CC37 Friday, May 24, 2019 8:00 a.m. – 12:00 p.m. Central U.S. Daylight Time McDonald’s Global Headquarters – Room CC37

AGENDA

Chair: Nicole Johnson-Hoffman, President

1. Call to Order Nicole Johnson-Hoffman

2. Roll Call of Board of Directors Members (3:30 – 3:35) Cheryl Clark

Producer Constituency Civil Society Constituency

____ Beef + Lamb New Zealand (Sam McIvor) ____ Solidaridad (Gert van der Bijl) ____ Canadian Cattlemen’s (Bob Lowe) ____ World Wildlife Fund (Tim Hardman) ____ National Cattlemen’s Beef Assoc. (Josh White) ____ National Wildlife Federation (Simon Hall)

Commerce and Processing Constituency Roundtable Constituency

____ Cargill (Gurneesh Bhandal) ____ CRSB – Canadian Roundtable (Monica Hadarits) ____ OSI Group (Nicole Johnson-Hoffman) ____ GTPS – Brazilian Roundtable (Beatriz Domeniconi) ____ Rabobank (Justin Sherrard) ____ MGSC – Colombian Roundtable (Juan Carlos Botero) ____ USRSB – U.S. Roundtable (Ashley McDonald) Retail Constituency

____ A&W Food Services of Canada (Lisa Hughes) Staff ____ Ahold Delhaize (John Laughead) ____ McDonald’s (Rickette Collins) ____ Ruaraidh Petre, GRSB Executive Director ____ Katie Ambrose, GRSB Managing Director Ex-officio ____ Josefina Eisele, GRSB Regional Director ____ Cheryl Clark, GRSB Director of Operations ____ Nicole Johnson-Hoffman, President ____ Leon Mol, Vice President ____ Ian McConnel, Secretary/Treasurer ____ Bob McCan, McFaddin Enterprises, Member-at-Large ____ Nicola Robinson, McDonald’s Corp, Member-at-Large ____ Dennis Laycraft, Canadian Cattlemen’s Assoc, Past President – CALL DENNIS

3. Affirmation of adherence to the GRSB Anti-Trust Policy (3:35 – 3:40) Ruaraidh Petre

4. Opening Remarks (3:40 – 3:45) Nicole Johnson-Hoffman

5. Consideration of April 24, 2019 Minutes (3:45 – 3:47) APPROVAL Board of Directors

6. Canadian Viresco Solutions, Inc. Presentation (3:47 – 5:30) INFORM Karen Haugen-Kozyra

Status and Gaps of Carbon Footprinting for Beef Production Systems

7. Dinner (Crowne Plaza Hotel – West Loop C) (6:30-8:00)

Friday, May 24, 2019 8:00 a.m. – 12:00 p.m. Central U.S. Daylight Time McDonald’s Global Headquarters – McDonald's Facility - CC37

AGENDA

Chair: Nicole Johnson-Hoffman, President

1. Call to Order Nicole Johnson-Hoffman

2. Roll Call of Board of Directors Members (8:00 - 8:05) Cheryl Clark

Producer Constituency Civil Society Constituency

Commerce and Processing Constituency Roundtable Constituency

____ A&W Food Services of Canada (Lisa Hughes) Staff ____ Ahold Delhaize (John Laughead) ____ McDonald’s (Rickette Collins) ____ Ruaraidh Petre, GRSB Executive Director ____ Katie Ambrose, GRSB Managing Director Ex-officio ____ Josefina Eisele, GRSB Regional Director ____ Cheryl Clark, GRSB Director of Operations ____ Nicole Johnson-Hoffman, President ____ Leon Mol, Vice President ____ Ian McConnel, Secretary/Treasurer ____ Bob McCann, McFaddin Enterprises, Member-at-Large ____ Nicola Robinson, McDonald’s Corp, Member-at-Large ____ Dennis Laycraft, Canadian Cattlemen’s Assoc, Past President – CALL DENNIS

3. Affirmation of adherence to the GRSB Anti-Trust Policy (8:05 – 8:10)

4. Opening Remarks (8:10 – 8:15) Nicole Johnson-Hoffman

5. Regional Roundtables and Country Initiatives Updates INFORM

5.1. GTPS (Brazil) (8:15 – 8:25) Beatriz Domeniconi 5.2. CRSB (Canada) (8:25 – 8:35) Monica Hadarits 5.3. USRSB (U.S.) (8:35 – 8:45) Ashley McDonald 5.4. MGSC (Colombia) (8:45 – 8:55) Juan Carlos Botero 5.5. ERBS (Europe) (8:55 – 9:05) Sarah Haire 5.6. MPCS (Paraguay) (9:05– 9:15) Juan Carlos Pettengill or Alfred Fast 5.7. New Zealand (9:15 – 9:25) Sam McIvor 5.8. Australia Beef Sustainability Framework (9:25 – 9:35)

6. Executive Committee Report (9:35 – 9:45) INFORM Nicole Johnson-Hoffman

7. Executive Director’s Report (9:45 – 10:00) Ruaraidh Petre

7.1. Strategic Plan Review INFORM

7.2. Sustainability Communications Summit Recommendations DISCUSSION/APPROVAL

8. Regional Director’s Report (10:00 – 10:10) Josefina Eisele

8.1. Latin America Regional Meeting INFORM

8.1.1. Latin American Sustainable Beef Vision Summit Agenda

9. Administrative Report

9.1. Financial Report (10:10 – 10:15) Ruaraidh Petre / Ian McConnel

9.1.1. GRSB Financials as of April 30, 2019 APPROVAL

9.2. New Zealand BOD Meeting (10:15 – 10:25) APPROVAL Ruaraidh Petre

9.3. 2019 Global Conference – Paraguay Presentation (10:25 – 11:00) INFORM MPCS

9.4. Membership (11:00 – 11:20) INFORM Cheryl Clark

9.4.1. New Members 9.4.1.1. Minerva 9.4.1.2. Tyson 9.4.1.3. Fatcows SRL 9.4.1.4. Cabana La Pastoriza 9.4.1.5. Meat & Livestock Australia

9.4.2. Accounts Receivable Update

10. Council Reports

10.1. Global Issues

10.1.1. GRSB-GTPS Joint Working Group on Forests (11:20– 11:10) INFORM Mauricio Bauer 10.1.2. GHG – (11:10-11:15) INFORM Ruaraidh Petre

11. Upcoming GRSB Member Engagement Opportunities REFERENCE (send information to [email protected])

11.1. Mesa Argentina de Carne Sustentable (MACS): Second Meeting of the Year : June 6, 10 –12 AM Argentina Time

11.2. Latin America Sustainable Beef Vision Summit, Hamburger University, Sao Paulo, Brazil, July 9-11, 2019

11.3. CRSB Annual General Meeting, Montreal, QC, September 18 &19, 2019

12. Other Business and/or Updates from Members (11:15 – 11:30)

13. Future Board of Directors Meetings

13.1. Board of Directors Meeting (call) – June 26, 2019 at 4:00 pm – 5:30 pm Central Daylight Time, 9:00 pm UTC

14. Adjourn

Attachments:

A. GRSB Anti-Trust Policy (p 5) B. 4-24-19 Board of Directors Minutes (pp 6-10) C. April 30, 2019 Financial Reports (pp 11-14) D. New Member Information Sheets (pp 15-19)

MEETING GUIDELINES

The purpose of the Global Roundtable for Sustainable Beef is to discuss sustainability issues related to the global beef system. Conversation and discussion about increasing industry sustainability are neutral and pro-competitive. While compliance with antitrust and other laws that govern participation in industry meetings is the responsibility of each participant, we ask you to follow both common sense and these simple guidelines to help us conduct our meeting according to good practices, and to ensure that your fellow participants are comfortable attending and actively participating.

DO adhere to the written meeting agenda.

DO NOT, in our organized meeting sessions, in informal discussions in the hallway, or in any other setting:

 discuss prices, rates, or other terms of trade among competitors;  engage in discussions that could result in o the allocation of customers or markets, o the fixing or stabilization of prices, o limitations on production, o boycotts of customers, suppliers, or rivals, or o agreements that would competitively disadvantage certain rivals;  discuss proprietary or other competitively sensitive information;  discuss or engage in coordinated behavior to maintain prices, profit margins, or stability in an industry;  engage in any other anti-competitive behavior or any discussion you feel might be inappropriate.

Thank you for following these few simple guidelines. They are provided to set the stage for a successful discussion of sustainability, not as a complete list of antitrust “don’ts” or legal advice. Should you have any concerns or questions about antitrust issues, your legal responsibilities, or your participation in industry meetings, you should seek advice from your own counsel. MINUTES GLOBAL ROUNDTABLE FOR SUSTAINABLE BEEF BOARD OF DIRECTORS APRIL 24, 2019

President Nicole Johnson-Hoffman called the Global Roundtable for Sustainable Beef Board of Directors conference call to order at 8:00 a.m. Central Daylight U.S. Time, Wednesday, April 24, 2019.

Board of Directors: Organization Representative Organization Representative Mesa Ganaderia Sostenible Juan Carlos A&W Food Services of Canada Lisa Hughes Colombia Botero Ahold Delhaize Not present McDonald’s Not present National Cattlemen’s Beef Beef + Lamb New Zealand Not present Josh White Association Canadian Cattlemen’s Association Bob Lowe Rabobank Justin Sherrard Canadian Roundtable for Anne Wasko National Wildlife Federation Simon Hall Sustainable Beef Cargill Gurneesh Bhandal Solidaridad Gert van der Bill Beatriz U.S. Roundtable for GTPS Ashley McDonald Domeniconi Sustainable Beef Nicole Johnson- OSI Group World Wildlife Fund Not present Hoffman

Ex-Officio Members:

Nicole Johnson-Hoffman (President), Leon Mol (Vice President) absent; Ian McConnel (Secretary/Treasurer) absent

Other Attendees: Bob McCan, Member-at-Large Nicola Robinson, Member-at-Large Sarah Haire, ERBS Dennis Laycraft – Past President Alfred Fast, MPCS Duanne Lammers, Hugo Sanchez, MPCS, Paraguay

Staff Present:

Katie Ambrose, Cheryl Clark, Josefina Eisele and Ruaraidh Petre

A verbal affirmation of adherence to the GRSB Anti-Trust Policy was received from those on the call.

Johnson-Hoffman welcomed everyone on the call. Today we will work on planning for the Communicators Summit. There are several on holiday this week.

Consideration of Minutes

There was a motion by McDonald and supported by Wasko that the minutes of the March 27, 2019 Board of Directors meetings be approved. Motion carried. GRSB BOARD OF DIRECTORS April 24, 2019 Page 2 of 5

Regional Roundtables and Country Initiatives Updates

GTPS: Domeniconi reported their general assembly is next week. Six initiatives will be presented on April 30th and they will record the event and share the communications materials. They have not decided who will take part in the Chicago meetings. They will have information to report at the BOD in Chicago.

CRSB: Wasko reported that the CRSB is starting their second round of consumer research and consumer perception on beef. They are reviewing fee structure for sustainable framework. They are being asked to speak to some groups that are new. There will be representation in Chicago from the CRSB.

USRSB: McDonald reported that their meeting is next week, and they will launch their beef industry framework. They had a membership vote on the framework with a 100 percent approval rating. Seventeen total diverse projects and pilots are in place. They will hear from everyone at the general assembly next week. If anyone is interested in the materials being provided at the general assembly, please contact McDonald. There are recognition supply chain programs processes that have been approved by the board and is currently on the website. The Feed and field to market projects continue to advance.

MGSC (Colombia): Botero reported that they have a new secretary working for and leading the MGSC. They are preparing a presentation for the meetings in Chicago. The regional roundtables are being organized. They continue to have problems with the deforestation of lands being blamed entirely on the beef industry. Local banks are asking what they are doing for sustainable agriculture credit lines.

ERBS (Europe): Haire reports that they have a meeting next week in Poland and they look forward to seeing everyone in Chicago.

MPCS (Paraguay): Sanchez reported that they had their first meeting in April with good participation in the roundtable. They are participating in the Chicago meeting and will provide more details about what is happening in Paraguay. They are waiting on an answer to hear if they are going to be the host for the global conference.

New Zealand: No report.

Australia Beef Sustainability Framework: No report.

Executive Committee Report Johnson-Hoffman reported that the Executive Committee has been focused on the preparation of the Strategic Session and the Sustainability Communicators Summit in Chicago in May. They are working on the balance of priorities and resources. Mark McCully will facilitate the Strategy Session. They will have discussions around funding and the location for the 2019 fall meeting and 2020 global meeting.

Executive Director’s Report

Petre reported that he is in Scotland today.

GRSB BOARD OF DIRECTORS April 24, 2019 Page 3 of 5

Overview of meeting schedule in binder.

Strategy Planning Meeting – What do we want to achieve over the next ten years? Communicators Summit – We will spend time focusing on the national resources of our principles. This will set a template on how we tackle issues and establish the beginning of an ongoing process.

Canadian Viresco Solutions, Inc. will participate and will meet with those that want to participate in the second phase of the project. Dial-in can be made available.

BOD – Thursday, May 23 afternoon to Friday, May 24 morning – we will be looking for an approval of the strategic plan and the board’s buy-in and input from both the Strategy Session and Communicators Summit. We need to provide a forward strategy on communication as well as a collection of tools to enable and empower those in the industry.

There was a motion by White and supported by Robinson that the participants of the Communicators Summit come to the board in Chicago with recommendations on the priorities and a strategy on communications. Motion carried.

Library request and questionnaire Videos to be added to website from roundtables and regions. If you have any available, please let us know and we will add to site.

The questionnaire is to prepare and have people’s ideas and opinions on current communications. We need to provide input in advance of the Communicators Summit. We will put in Survey Monkey and send to the members to complete.

Carbon Methodologies Technical Working Group Viresco Solutions, Inc. is making progress with their project. They are collating a lot of information from projects and tools used around the world. They are creating an overall picture of what is being used. The dairy industry has several initiatives in progress, and it would be good to work with them instead of two separate carbon methodologies. Our hope is to work with the dairy industry in the second phase of the project.

Regional Director’s Report

Eisele reports that she is coordinating the regional event in July in San Palo. The event will be held at McDonald’s University in San Palo with translation for Portuguese, Spanish and English. We expect to have 150 participants. Argentina has signed a letter of commitment and there is still additional outreach to occur. Paraguay is moving forward with their roundtable and making plans to host the global meeting. She will bring learnings from Chicago to San Palo.

Administrative Report

Financial Reports

Petre reported on the 2018 audit. The Executive Committee reviewed and recommended it to the Board to review. Petre suggested to look at changing auditor next year since we have used Scofield for several years.

GRSB BOARD OF DIRECTORS April 24, 2019 Page 4 of 5

Additional memberships will be reflected in next month’s report. The dues report is a little under budget but there are two companies at $15,000 each that are outstanding.

There was a motion by White and seconded by Sherrard to approve the 2018 audit as presented. Motion approved.

There was a motion by Wasko and seconded by White to approve the monthly financials as presented. Motion approved.

Meetings

New Zealand Board Meeting Ambrose reported that she has been in contact with New Zealand and has received an email that they are looking at the last week in October. Discussion around having the meeting during the north American holiday of Halloween and there is also an Angus meeting around this time. November 11th-15th is available for New Zealand. It was requested that everyone review their calendars and report back. Petre will report back to the Board and let them know what the response is from everyone.

2020 Global Conference Paraguay is making a video to propose hosting the conference in 2020 and it will be shared once it is available. Discussion will take place in Chicago.

Clark reports that are several large hotels. Transportation to and from airport and security is not an issue.

Membership Report

Clark reported that the Minerva membership application has been received and Tyson is being reinstated. Two large organizations at membership dues of $15,000 per year.

• The outstanding membership monies yet to be received for 2019 is $33,000. Two accounts at $15,000 each are expected.

Council Reports

Global Issues

GRSB-GTPS Joint Working Group (JWG) on Forests –No update.

Upcoming GRSB Member Engagement Opportunities

May GRSB Meeting Schedule, Chicago, IL • Strategy Session, Tuesday, May 21, 2019, Chicago, IL, 8am – 5:30pm Central U.S. Daylight Time • Communicators Summit, Wednesday, May 22nd, 2019, 8am – 5pm CDT and Thursday, May 23, 2019, 8am-12:15pm CDT, Chicago, IL • In-person Executive Committee Meeting – Thursday, May 23, 2019 1pm-3pm CDT, Chicago, IL GRSB BOARD OF DIRECTORS April 24, 2019 Page 5 of 5

• Latin America Meeting • SAI Platform, Chicago, IL June 26-28, 2019 • Latin America Sustainable Beef Vision Summit, July 9-11, 2019, Sao Palo, Brazil • CRSB Annual General Meeting, September 18 &19, 2019 in Montreal, QC

Other Business

None.

Future Board of Directors Meetings

• In-person Board of Directors Meeting – May 23rd, 2019 3:30pm-5:30pm CDT and Friday, May 24, 2019, 8am-12pm CDT, Chicago, IL

The meeting was adjourned at 10:31am Central U.S. Daylight Time.

Respectfully submitted,

Cheryl Clark Director of Operations

Global Roundtable for Sustainable Beef Balance Sheet April 30, 2019

ASSETS

Current Assets Cash in Operating - ML *02005 $ 302,804.87 Accounts Receivable 28,000.00

Total Current Assets 330,804.87

Other Assets CD US Bk Natl Asn 2.3% 10/3/19 247,420.24

Total Other Assets 247,420.24

Total Assets $ 578,225.11

LIABILITIES AND CAPITAL

Current Liabilities Accounts Payable $ 31,024.86

Total Current Liabilities 31,024.86

Capital Retained Earnings 102,693.04 Board Specified Reserve 225,000.00 Net Income 219,507.21

Total Capital 547,200.25

Total Liabilities & Capital $ 578,225.11

Unaudited - For Management Purposes Only 5/9/19 at 10:38:04.32 Page: 1 Global Roundtable for Sustainable Beef Aged Payables As of Apr 30, 2019 Filter Criteria includes: 1) Includes Drop Shipments. Report order is by ID. Report is printed in Detail Format.

Vendor ID Date Invoice/CM # 0 - 30 31 - 60 61 - 90 Over 90 days Amount Due

NLPA 4/30/19 2019-0104 16,291.67 16,291.67 4/30/19 2019-0118 2.00 2.00

NLPA 16,293.67 16,293.67

Ruaraidh Petre 4/30/19 2019-05 7,083.33 7,083.33

Ruaraidh Petre 7,083.33 7,083.33

SSCD 12/28/1 12302016 26,863.72 26,863.72 12/31/1 Scofield AJE #3 -11,765.46 -11,765.46 4/5/19 DM04052019 -7,610.40 -7,610.40

SSCD -7,610.40 -11,765.46 26,863.72 7,487.86

Wild Apricot 4/20/19 2018-43 160.00 160.00

Wild Apricot 160.00 160.00

Report Total 15,926.60 -11,765.46 26,863.72 31,024.86 5/15/19 at 10:46:20.00 Page: 1 Global Roundtable for Sustainable Beef Aged Receivables As of Apr 30, 2019 Filter Criteria includes: 1) Includes Drop Shipments. Report order is by ID. Report is printed in Detail Format.

Customer ID Invoice/CM 0-30 31-60 61-90 Over 90 days Amount Due Customer Date Bill To Contact Telephone 1

A&W Canada 2019-006 1,000.00 1,000.00 A&W Canada 4/29/19

A&W Canada 1,000.00 1,000.00 A&W Canada

Dawn Meats 2019-004 2,000.00 2,000.00 Dawn Meats 4/8/19

Dawn Meats 2,000.00 2,000.00 Dawn Meats

McDonald's 2019-001 20,000.00 20,000.00 McDonald's 3/19/19 Bob Langert Retail Tier 3

McDonald's 20,000.00 20,000.00 McDonald's

Tyson Foods 2019-005 5,000.00 5,000.00 Tyson Foods 4/15/19

Tyson Foods 5,000.00 5,000.00 Tyson Foods

Report Total 8,000.00 20,000.00 28,000.00 Page: 1 Global Roundtable for Sustainable Beef Income Statement Compared with Budget For the Four Months Ending April 30, 2019

Current Month Current Month Year to Date Year to Date Actual Budget Actual Budget Revenues Dues Revenues $ 45,000.00 $ 2,500.00 $ 324,916.67 $ 330,000.00 Grant Income 0.00 5,000.00 0.00 10,000.00 Contract revenue 0.00 0.00 0.00 0.00 Meeting Revenue 10,750.00 0.00 42,500.00 3,000.00 Global Conference Revenue 0.00 0.00 0.00 0.00 Interest Income 520.43 291.67 1,933.76 1,166.68

Total Revenues 56,270.43 7,791.67 369,350.43 344,166.68

Expenses Meeting Expenses 0.00 2,500.00 2,186.63 11,700.00 Staff Travel Expense - Meeting 1,178.60 0.00 1,808.55 3,500.00 Executive Director Contract 7,083.33 7,083.33 28,333.32 28,333.32 Executive Director Travel 122.00 2,916.67 10,796.90 11,666.68 Leadership Travel 0.00 416.67 187.17 1,666.68 Administrative Services 16,291.67 16,291.67 65,166.68 65,166.68 Office Supplies & Expense 0.00 62.50 117.98 250.00 Postage & Shipping Expense 2.00 29.17 4.44 116.68 Telephone Expense 140.53 166.67 537.09 666.68 Legal Fees & Expense 60.00 125.00 1,524.37 500.00 Audit Expense 0.00 0.00 4,960.00 6,000.00 Bank Charges & Fees 60.00 187.50 1,117.10 750.00 Communications 3,633.00 4,291.67 18,102.99 17,166.68 Contract Expenses 15,000.00 5,000.00 15,000.00 20,000.00 Global Conference Expenses 0.00 0.00 0.00 0.00

Total Expenses 43,571.13 39,070.85 149,843.22 167,483.40

Net Income $ 12,699.30 $ (31,279.18) $ 219,507.21 $ 176,683.28

For Management Purposes Only