Human Rights Coffee ZERO-TOLERANCE INDICATORS # OF NONCONFORMITIES % OF TOTAL NONCONFORMITIES Nonconformities related to wage practices 161 54.4% All suppliers from which we purchase a product or service Nonconformities related to traceability requirements 57 19.3% are required to pledge compliance with our Supplier Nonconformities related to child labor 46 15.5% Code of Conduct. Our flagship ethical sourcing program, Nonconformities related to labor intermediaries 11 3.7% based on the Coffee and Farmer Equity (C.A.F.E.) Practices standard, is dedicated to monitoring 100 percent of our Nonconformities related to transparency 8 2.7% C.A.F.E.-approved, coffee supply chains, which today requirements 1 represents more than 400,000 farms around the world. 3 We also monitor all facilities in our first-tier, manufactured Nonconformities related to banned pesticides 7 2.4% goods supply chain. Nonconformities related to forced labor, abuse, or 6 2.0% A nonconformity is a breach of any one of Starbucks unethical recruitment practices zero-tolerance indicators. Multiple nonconformities could 296 100% be identified in a single location. In FY21, we verified or audited 525 coffee supply chains and identified 296 zero- 2 tolerance nonconformities in 88 supply chains. For each Manufactured Goods zero tolerance non-conformity brought to our attention through C.A.F.E. Practices, we swiftly addressed them by ZERO-TOLERANCE INDICATORS # OF NONCONFORMITIES % OF TOTAL NONCONFORMITIES working closely with our suppliers and our on-the-ground, third-party partners to pursue corrective actions, including, Nonconformities related to wage practices 19 63.3% where appropriate, providing remedy for the impacted individuals. For manufactured goods, we assessed 213 Nonconformities related to transparency 5 16.7% manufactured goods facilities and identified 30 zero- requirements tolerance nonconformities in 10 facilities. Access denial into facilities for audits and inspections 2 6.7% 1 Health and safety, including direct and immediate A “coffee supply chain” is a network of farms, mills, and warehouses. 2 6.7% We work with more than 1,100 coffee supply chains, which are endangerment made up of more than 400,000 individual farms. 2 Environmental impact 1 3.3% All coffee supply chains are verified or audited at regular intervals Forced labor 1 3.3% by approved, verification organizations and with oversight provided by SCS Global Services that includes additional audits. Child labor 0 0.0% While exceptions exist, as a general rule, we verify or audit all new supply chains and large-scale supply chains every year. Abuse and harassment 0 0.0% Returning or reverifying coffee supply chains are generally verified 30 100% approximately every two years. 3 Includes pesticides classified as Type 1a or 1b by the World Health Organization.
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