Company Snapshot: The Kroger Co. 2015 Sustainability Report Review

Last Friday, Kroger released its anticipated 2015 Sustainability Report. In the report, its mission: improving today to protect tomorrow, was outlined and the company provided a comprehensive overview of everything it has accomplished in the past year. It focused on four main areas: economic, social, supply chain, and environment. The Company has truly accomplished some amazing tasks and has taken a lead in encouraging other supermarkets to do the same. The company realizes that the customers come first, but it also realizes the importance of its associates and the environment. Below I have listed some of the accomplishments that stood out in the report. To read the full report visit: http://sustainability.kroger.com/index.html

“We know shoppers have many choices about which companies they will reward with their business. Associates also have choices about where they work and where they will invest their talent and time to build and grow their career. How well a company takes care of its Associates, communities, and our planet is of increasing importance- to jobseekers, shoppers, our Associates, and society in general.” –CEO Rodney McMullen

Address
1014 Vine St Ste 1000
Cincinnati, OH 45202-1100

Telephone
(513) 762-4000

Internet Homepage
www.kroger.com

Total Current Stores
2,625 grocery stores
782 convenience stores
326 jewelry stores

Year Founded
1883

Total Revenue
$108.5 billion

Senior Executives
Rodney McMullen- Chairman and CEO
Michael Schlotman- CFO, Senior VP

Economic

• Largest traditional grocery retailer in US based on annual sales, and is #20 on the Fortune 500 listing of largest US companies.
• Employs more than 400,000 associates.
• 5^th largest pharmacy operator in the US.
• Largest florist in the world.
• In 2014, it created nearly 25,000 jobs and spent over $2.8 billion on capital projects.
• Paid over $1.6 billion to shareholders through dividends and stock buybacks.

Social

• In 2014, more than $280 million was donated in Kroger’s name.
• Over the past 5 years, more than $1.2 billion was donated in Kroger’s name.
• Donated the equivalent of 270 million meals to local food banks and other programs that serve the hungry.
• Provided more than $6 million to support local breast cancer programs.
• Hired 6,000 veterans and its Honoring Our Heroes Campaign generated more than $2.3 million in 2014.
• Excellent compensation for associates (i.e. competitive wages, health and wellness benefits, and an extensive health care plan).
• Nearly 35,000 employees participated in a walking and weight loss challenge. Together, 13.9 billion steps were taken and more than 9,700 pounds were lost.

Supply Chain

• Simple Truth, Kroger’s organic private label, reached $1.2 billion in sales in 2014.
• It is one of the largest natural food retailers in the US by sales volume.
• Updated its vendor code of conduct.
• Increased its procurement from fisheries in improvement projects by 119%.
• Since 2012, all of its farm-raised corporate brand seafood suppliers achieved and maintain the Global Aquaculture Alliance’s (GAA) Best Aquaculture Practice (BAP) level 2 certification.

Environment

• Reduced overall energy consumption by 35%.
• Saved more than 2.3 billion kWh; this is enough electricity to power every single home in Charlotte, NC, for one year.
• Increased organic waste diversion by 12%.
• A combination of composting, anaerobic digestion, and animal feed programs were utilized to divert 33,000 tons of food waste.
• In 2014, manufacturing plants reduced the amount of waste sent to landfills by 1.3 million pounds- 13.84% waste reduction from 2013.
• Saved over 1 billion plastic bags from being used since 2008.
• Sold 22 million reusable bags last year.