Excellence in Environmental Stewardship

We rely on natural resources to run our business. Making efficient use of them and minimizing the environmental impact of our operations is critical to delivering our strategy. That’s why we are driving excellence in environmental stewardship for a sustainable tomorrow.

2022 Environmental Stewardship By The Numbers

0%

Achieved 2025 target of 30% renewable energy three years early.

0%

Reduction in waste to landfill.

0 tons

Anticipated annual emissions reduction by switching to hybrid and electric fleet.

0%

Increase in our water recycling rate.

Collectively, the actions any of us can take to be better stewards of natural resources, like water, will benefit the communities where we work and live, as well as the local economy.

-Bernd Meyer, Executive Vice President of Operations

Reynolds Breaks Ground on WaterHub Facility at the Reynolds Operations Center

In 2023, Reynolds broke ground on an advanced water recycling facility at its largest manufacturing plant, the Reynolds Operations Center (ROC). Once construction is complete, the WaterHub is expected to reclaim more than 60 million gallons of water per year, equivalent to the annual water supply of approximately 550 average U.S. households. One of the few projects of its size in the U.S. using advanced water reclamation technologies, the WaterHub will allow Reynolds’ operating facilities to reduce their dependence on potable water for factory utility operations.

Reynolds Operations Center Earns Alliance for Water Stewardship Certification

Good water stewardship is vital to running efficient operations. In 2022, the Reynolds Operations Center (ROC) in Tobaccoville, NC, earned the internationally recognized Alliance for Water Stewardship (AWS) certification, becoming the 17th BAT Group facility globally to receive the certification and one of only 250 organizations worldwide to earn the respected designation.

21%

Since 2017, we have reduced water withdrawal by 21%.

75 Million Gallons

Last year, more than 75 Million Gallons were recycled. That is an amount of water equivalent to the annual water supply of more than 680 U.S. Households.*

*According to the U.S. Environmental Protection Agency’s “How We Use Water” calculations.

Accelerating Our Progress With Renewable Energy & Electricity

We are working to reduce our greenhouse gas emissions and energy consumption to minimize our impact on the environment and increase business resilience to climate change risks. Our approach is shaped by our climate strategy, which is supported by ambitious goals and targets.

Our U.S. factories purchased 100% renewable electricity, an amount equivalent to the annual electricity consumption of about 20,000 U.S. households.* Through the use of renewable electricity, more than 80,000 tons of CO2 were avoided.

Our CO2 emissions have been reduced by the energy use of 20,000 homes

0
Homes

We avoided the emissions of more than 80,000 tons of CO2, equivalent to the energy use of approximately 20,000 homes for one year.

We harness natural sunlight with more than 70 solar tubes

0 Solar Tubes

We harness natural sunlight at our Reynolds Operation Center (ROC). We have installed more than 70 Solar Tubes that operate using solar energy to brighten interior areas.

*According to the U.S. Energy Information Administration, the average U.S. household consumes 11,000 kilowatt hours (kWh) per year.

Reducing And Recycling Waste

We are committed to using fewer resources, creating less waste, and enabling reuse and recycling.

At the same time, by improving the segregation of waste streams, we increased the recycling of our waste from 64% in December 2021 to 84% in November 2022 – the annual waste reporting period. This increase included more than 32 million pounds of materials like cardboard, plastics, aluminum cans, and organic materials to make compost.

Additionally, in 2022, our waste to landfill was reduced by 96% compared to 2021. During the fourth quarter, most of our facilities were zero waste to landfill including the Reynolds Operation Center (ROC), Whitaker Park, ASC Facilities in Clarksville and Memphis TN, ASC Taylor Brothers, and our headquarters – both in Winston-Salem, NC.

We have been making changes, both big and small, to reduce our waste. For example, we have eliminated unnecessary waste at our headquarters by replacing coffee cups, lunch trays and utensils with reusable alternatives.

15%
Our efforts to generate less waste resulted in achieving our 2025 target, reducing waste generation by 15%*,
three years ahead of schedule.

*15% reduction in waste generation from 2017 to 2025

Decarbonizing Our Operations

Achieving carbon neutrality requires an effective strategy driven by reducing emissions and supplemented by offsetting remaining emissions that cannot be avoided or absorbed.

As part of our strategy, in 2022, we offset remaining emissions through investments in high-quality, verified U.S. projects, like the Kite Hammock Improve Forest Management Project in Levy County, FL. This project allows the bottomland hardwood forest within the project boundaries to grow towards a mature, intact ecosystem that will enhance the carbon stock and achieve greenhouse gas reductions. This growth will further support the watershed and nesting habitat for the migratory Swallow-Tailed Kite, after which the project is named.

We are helping protect the
Nesting
Habitat

of the
Swallow
Tailed Kite
in Levy County, Florida

Carbon Neutral
Certifications*

We are proud that we have achieved Carbon Neutral Certification* at several of our manufacturing locations and are on track to certify all of our factories as carbon neutral by 2025.

We are focused on reducing our environmental impact in all areas of Operations and have embedded this mantra throughout manufacturing.

-Kelly Wilson, Director of Manufacturing, Taylor Brothers

*Carbon Neutral sites are externally verified as adhering to internationally recognized standards/carbon neutrality methodologies such as PAS 2060 and purchase carbon credits verified by third parties, to offset residual emissions for which immediate plans do not offer financially viable and/or real emission reductions.

**ASC Clarksville, ASC Taylor Brothers, ASC Memphis, and Bowman Gray Technical Center aligned to the guidelines of PAS 2060: 2014 in the period from December 1, 2021 to November 30, 2022.

Transitioning To A Hybrid & Electric Vehicle Fleet

In 2022, we replaced more than 280 internal combustion engine vehicles with hybrid vehicles organization-wide as our first phase to transition our 1,800+ sales and operations vehicle fleet to a mix of Ford hybrid and electric models.

 

This move will replace aging vehicles on a rolling basis over the next three years, resulting in a projected annual reduction of more than 1,000 tons of carbon emissions.

 

We are collaborating with Ford Pro to transition our current vehicle fleet to a mix of models, including the Escape SEL Hybrid, Explorer Limited Hybrid, Ford E-Transit and Ford-150 Lightning. Included in the 1,800+ fleet are nearly 50 light-duty Operations vehicles used across our manufacturing facilities, which will be transitioned to a combination of hybrid and electric models as part of this initiative.

 

“Our sales representatives average nearly 27,000 miles a year in their territories across the fifty states—that’s a lot of time on the road,” said Ed Mirana, SVP, National Sales and Strategic Accounts.

0 Tons Per Year

We anticipate to reduce emissions by approximately 1,000 tons per year.

With this move to hybrid vehicles, our sales and operations teams are driving progress on our sustainability ambitions.

-Ed Mirana, SVP, National Sales and Strategic Accounts.

Working Together To Clean Our Communities

Community outreach efforts are an important part of our sustainable business practices and our commitment to being a positive, connected contributor to the community. We have partnered with Keep America Beautiful for 40 years and are an active sponsor of the Cigarette Litter Prevention Program (CLPP). Each year, employees from across the country work together to clean and beautify their communities.

Reynolds Boulevard
Mill Creek

We are proud to continue our partnership with the Keep America Beautiful Cigarette Litter Prevention Program (CLPP).