Water, solid waste, air and energy goals were established in fiscal year 2012 and are being measured against base year 2011 at company-owned and international manufacturing locations. Our packaging minimization goal was established in fiscal year 2012 and is to reduce packaging by 25 million pounds by 2020.

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Boundary and Measurement

The boundary of the report includes all entities that Hormel Foods “exercises control or significant influence with regard to financial and operating policies and practices,” as defined by the Global Reporting Initiative’s (GRI) Boundary Protocol, unless otherwise indicated. Water use, greenhouse gas (GHG) emissions and energy use data are from Hormel Foods manufacturing facilities in the U.S. and China. Employee data is from all U.S. manufacturing locations and corporate and research and development offices, but not international operations.

For our environmental data, we report the information by normalization on tons of production from each location in which we are gathering this information. Normalization helps account for variations in size and production at different facilities, and it provides an accurate picture of our efficiency improvements.

Our numerous suppliers, which are independent businesses, provide us with packaging materials, ingredients, transportation and animals for our operations. We do not publicly report on their performance because of the sheer breadth and variety of suppliers and because they operate as independent businesses. Both our suppliers and our joint ventures are required to follow government standards and are closely monitored by government regulatory agencies. Where applicable, we discuss these government standards in this report. For suppliers, we have established the Hormel Foods Supplier Responsibility Principles, a set of guidelines and expectations for our suppliers. For the independent family farmers who supply a majority of our hogs, we require producers and their employees who work with animals to participate in industry training and education programs.