2

Net neutral production

Conserving natural resources via net neutral production on all our products. We will do this within our production facilities, but also work with our co-manufacturers to drive this ambition together.

Net neutral production

Saving energy is not only good for the environment, it’s also good for the bottom line. Since 2010, our energy consumption has fallen from 380 CO2e/mt to 258 CO2e/mt – a drop of around 32%. Water consumption at our production facilities has nearly halved in the same period, down from 10.4 cbm/mt to 5.8 cbm/mt, a reduction of 44%. In addition, we have introduced a waste reduction program to report, track, and handle waste. At the same time, our efforts are geared towards reducing waste to a minimum. Initiatives are in place to deliver 100% recyclable packaging.

Our sustainability pillars

1

Sustainable sourcing

Conserving raw materials, packaging and finished goods via strategic sustainable sourcing to ensure we have a positive impact on biodiversity, healthy soils, and local farms. We will need to do this in close partnership with our suppliers and farmers.

2

Net neutral production

Conserving natural resource is via carbon neutral production on all our products.

We will do this by reducing and optimizing our use of energy, water, and waste within our production facilities, but also work with our co-manufacturers to drive this ambition together.

3

Naturally healthy food

Conserving nature's goodness via naturally healthy food. We will leverage our brands to educate and collaborate with consumers on a holistic diet good for us and for the planet. We will enhance our portfolio to give consumers more naturally healthy options – more of the good like nuts and whole grain and less of the bad like refined sugar and red meat.

4

Purposeful people

Growing and developing our people. Hero is a values-led family company, and that's reflected in our culture. We invest in training and development, and are committed to providing our people with what they need to thrive. Hero is an equal opportunity employer with programs in place that aim to make our workforce diverse and our workplaces inclusive and safe.

Using energy efficiently

We are working with external experts to identify opportunities to optimize our energy use at our production sites. They are visiting our sites, reviewing relevant documents, and interviewing site personnel before making recommendations about which technical measures are most appropriate for reducing our energy consumption – and consequently our carbon footprint.

Switching to renewable energy

In addition to using energy more efficiently, we are also exploring switching to purchasing renewable energy from the grid. In Germany, our erdbär business purchases green electricity from the grid for its headoffice. Since 2020, all the electricity used by Semper’s production facilities and offices in Sweden has been generated by hydropower, and our site in Switzerland is powered exclusively by hydropower.

“We can be proud of what we’ve done in terms of sustainability so far, but we can and should do more to have a bigger impact. We are all stakeholders in this. The planet demands it.”

Leopold Oetker

Member of the Board of Directors

Working towards zero waste

It takes energy to grow and transport food so, at Hero, we view food waste as a waste of energy, too. As part of our commitment to reduce our carbon footprint, we want to play our full part in minimizing food waste.

Cutting our water use

Water is a key ingredient in many of our products. We also require it for cleaning our manufacturing machinery and sites, and for cooling or heating ingredients and products. We do not yet have detailed data about the volume of water that we use across all our sites. As a first step, we are improving our data gathering processes so we have full oversight of our water footprint. This will help us take effective action to reduce water use and further contribute to actions we are already taking.