18 RESPONSIBLE SOURCING Performance Food Group is committed to managing our business in a socially responsible manner. We have an obligation to our customers, our investors, and our associates to address issues that impact our world and our global food system. We believe that working closely with our vendors can allow us to address the inherent ESG risks within global supply chains and identify opportunities for better ways to do business and create value for all our stakeholders. In this spirit, in fiscal 2021 we initiated an ESG Supplier Survey Program to facilitate deeper insight into areas of alignment and potential collaboration with suppliers across a variety of ESG matters. As part of this initiative, we launched an ESG supplier survey focused on assessing our suppliers’ efforts on key topics, including: • Environmental Management • Human Rights & Labor Management • Animal Welfare • Health & Wellness • Ingredient Transparency and Traceability • Farming, Production Methods, Suppliers of Suppliers The results of the survey will help PFG assess the ESG performance of our suppliers and determine where opportunities for collaboration and partnership exist, as well as to identify potential supply chain risks that need to be addressed. As part of our responsible sourcing program, we have implemented processes for monitoring and verifying third-party certification of environmental and socially responsible practices within our supply chains. These certifications ensure that risk is reduced across our supply chains and that our procurement strategy is aligned with consumer expectations and our commitment to promoting the adoption of sustainable food and foodservice products, practices and services. To monitor ESG-related certifications in our supply chain, a second survey was distributed specifically to suppliers of PFG-branded products. We are taking measures to drive sustainable and responsible sourcing of our food products and committed to working with our suppliers to ensure that 90% of PFG-branded beef, pork, poultry, seafood, coffee and tea are produced with verified environmentally sustainable and socially responsible practices by 2025 . In addition to working with suppliers with sustainability certifications, PFG-owned businesses directly implement responsible sourcing best practices with coffee farmers and their communities, where we have the opportunity to do so. Such is the case with PFG’s Coda Coffee Co., one of the best craft coffee roasters in the industry that is known not only for its wide variety of rich flavors but for its commitment to working with its growers to influence the implementation of sustainable growing practices, exceeding fair trade practices and sourcing the best beans from around the globe. Due to this vision and commitment to sustainability, Coda Coffee Co. has achieved Certified B Corporation ™ status since 2013, meeting rigorous verified standards of environmental and social performance. B Corp Certification is a highly selective status and to maintain certification, companies must undergo verification every three years.
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