OUR BEER PRINT REPORT 2018 RAISING THE ON BEER RESPONSIBLY REFRESHING SUSTAINABLY BREWING COLLECTIVELY CRAFTED INTRODUCTION About This Report Welcome to the Molson Coors Our Beer Print Report 2018. This report provides an update on Our Beer Print 2025 goals that we launched last year. The report offers clear reference to our progress, including a selection of key stories and relevant highlights on material areas. The reporting scope covers Molson Coors Brewing Company’s (MCBC) direct operations: Molson Coors Canada, Molson Coors Europe, Molson Coors International and MillerCoors in the US. The report details our activities in the fiscal year from January 1 to December 31, 2017, with additional information on activities after that date where appropriate. All data and metrics CONTENTS FIND US HERE included in this report cover 100% of 2 Introduction MCBC’s activities and performance. 3 Message From Mark We have continued our commitment to Regional HQs 4 Brewing Passion Everywhere report against international frameworks, Primary breweries such as the Global Reporting Initiative 4 Growing Our Business With a Positive Beer Print (GRI) Standards, the Dow Jones Sustainability Index (DJSI), the Ten Principles of the UN Global Compact 6 RESPONSIBLY REFRESHING (UNGC), and alignment with the United 8 Inspiring Responsible Drinking Nations Sustainable Development 10 Ensuring Responsible Marketing Goals (UN SDGs). Full details of our Practices and Consumer Information 2017 performance, aligned to these 12 Driving Innovation global frameworks, are available in our Environmental, Social and Governance 14 SUSTAINABLY BREWING (ESG) Report. 16 Making the Most of Every Drop Our reporting, which includes our ESG Report, has been prepared in reference to 19 Reducing Our Carbon Footprint the GRI Standards. Assurance of the data 21 Promoting a Circular Philosophy contained within this report has been in Waste carried out by Corporate Citizenship in 23 Growing Best Practice in Agriculture accordance with ISAE3000. For full details of our 2017 performance, 26 COLLECTIVELY CRAFTED including the GRI Index, please see our 28 Recognition as a Great Place ESG Report. to Work for Our People For questions, contact us at corporate. 31 Being a Good Global Citizen [email protected] 34 Strengthening Our Supply Chain 2 MOLSON COORS OUR BEER PRINT REPORT 2018 IN THIS REPORT 2 Introduction 6 Responsibly Refreshing 14 Sustainably Brewing 26 Collectively Crafted Message From Mark Molson Coors is a company of dedicated people who worldwide to do so. Today we have reached zero waste aim to be First Choice for Consumers and Customers. As to landfill at 14 of our sites and intend to achieve this part of that ambition, we strive to leave a positive imprint across all of our brewing and major manufacturing everywhere we operate, with every pint of beer we brew. facilities by 2025. At our breweries, we plan to reduce That’s why, when we became one of the world’s largest our water usage by 2.1 billion gallons by 2025. But our brewers, we wanted to challenge the expected and show commitment to brewing sustainably doesn’t stop at our the world’s beer drinkers what’s possible. It’s this spirit brewery doors. We’re offering $2 million in incentives to that drove us to set ambitious sustainability targets for our growers who prioritize sustainability – and that only 2025 and demonstrate our commitment to the United helps amplify the positive environmental impact we are Nations Sustainable Development Goals (SDGs). making as a business. Since launching our goals a year ago, we’ve rallied our We believe we can also make a positive impact as an people behind them and embedded the goals across our employer and civic partner in the communities where we business. There’s a lot to be proud of in this year’s Our work and play. This means working in collaboration with Beer Print Report, and I’m pleased to share with you how our people and community members who Collectively we are making a positive impact in our communities and Craft a culture that encourages giving back to the our environment in our first year of reporting progress communities that help sustain our business. And it’s why against our 2025 goals. over the past two years we’ve invested almost $23 million in local communities and are working toward our goal of Our commitment to making great-tasting beers that making $100 million in contributions by 2025. are Responsibly Refreshing means going beyond just doing the right thing. We believe sharing a beer For me, these achievements demonstrate our with friends is one of life’s simple pleasures and we commitment to truly “Raise the Bar on Beer” and create a continuously work to help our consumers get the more sustainable future for our people, our communities most out of their enjoyment by promoting responsible and our planet. With our sights on 2025, we aim to carry drinking, providing nutritional information and driving on breaking new ground. Bit by bit. Beer by beer. And I innovation in great-tasting low- and no-alcohol products. look forward to sharing our progress. We’ve made a strong start on our journey with the launch of Coors Edge – our latest non-alcoholic brew in Canada – and we now offer low- and no-alcohol choices in 14 countries. Our plan is to expand this to all of our countries Mark Hunter, CEO and Vice Chair of the where we have brewing and selling operations by 2025, International Alliance for Responsible and we’re working to accelerate our efforts to achieve Drinking (IARD) this ahead of schedule. Molson Coors has a long history in Sustainable Brewing, and with this report we’ve had an exciting year of firsts. We’ve committed to align our 2025 carbon reduction targets with the established standards for science- based targets,1 making us one of nearly 430 companies 1 Source: sciencebasedtargets.org/companies-taking-action MOLSON COORS OUR BEER PRINT REPORT 2018 3 INTRODUCTION Brewing Passion Everywhere Beer is More Than What We Make – It’s Who We Are Global Priority National Brands* Champion Blue Moon Brands* With a story that starts in 1774, The Recipe Bergenbier we’ve spent centuries defining Our story combines three great brewing Coors Banquet Borsodi brewing greatness. With this families: Molson, Coors and Miller. Coors Light Through their expertise and recipes, Carling heritage, we’re more passionate Miller Genuine we have brewed a global family that Draft Coors Light than ever about making great beer. is taking the art of great beer to new Miller Lite Jelen And it’s this passion that gives us communities and fans around the world. a lasting connection to the people Staropramen Kamenitza who enjoy our beer. The Results Miller Lite As one of the world’s leading brewers Selection of Our Molson Canadian The Ingredients with a diverse range of brands, we’re Craft, Specialty proud to say that we’ve got a beer to * Nikšićko • 27 primary breweries* or Other Brands suit any taste. Ožujsko • 13 craft breweries Cobra Staropramen • 2 cideries** Creemore Springs • $11 billion net sales revenue and Franciscan Well * For a full list of all our $2.5 billion of excise tax Granville Island Molson Coors brands, • Approximately 17,200 Leinenkugel’s please visit our * One brewery is currently not operating. company website. full-time employees ** One cidery was closed in 2018. Sharp’s Doom Bar Growing Our Business With a Positive Beer Print In 2016, we became one of the largest brewers in the world with the acquisition and SUPPORTING THE SDGS integration of MillerCoors. This larger business meant more responsibility too. In 2017, The United Nations Sustainable inspired by the UN Sustainable Development Goals (SDGs), we used a materiality assessment Development Goals (SDGs) offer industries to zero in on our key areas of responsibility and further our commitment to Our Beer Print. and organizations an opportunity to align themselves to common goals that can Informed by the findings in our analysis, we developed and implemented a new strategy, change the way our world works. designed to take us beyond just doing the right thing and drive us toward doing the best thing. Since the launch of Our Beer Print 2025 strategy, our people have rallied behind our At Molson Coors, we’ve identified the most ambitious set of sustainability targets yet. goals most relevant to our business in the following sections: Responsibly It’s been a great year of embedding our goals across the business, and we’re excited to Refreshing, Sustainably Brewing, and share our first year of progress updates with you. We look forward to continuing a journey Collectively Crafted. aimed to ensure that every beer print we leave behind is a positive one. See our ESG Report to read more about how we arrived at the most important issues for Molson Coors. 4 MOLSON COORS OUR BEER PRINT REPORT 2018 IN THIS REPORT 2 Introduction 6 Responsibly Refreshing 14 Sustainably Brewing 26 Collectively Crafted Our Beer Print 2025 WHAT WE BELIEVE IN 2025 GOALS STATUS FIND OUT MORE Prevention of underage drinking and drunk driving in all our 9 countries Page 8 Responsibly countries where we have brewing and selling operations Refreshing: Enjoying One Partner with other global alcohol producers to achieve In progress Page 9 of Life’s Simple 10% reduction globally in harmful alcohol use Pleasures Responsible marketing and advertising of all our products In progress Page 10 Supporting the UN SDGs Deliver nutritional information, alcohol serving facts On 96 product labels; Page 11 and ingredients for all our products