Mondelēz 2023 Snacking Made Right Report: Letter from Chief Impact & Sustainability Officer

With 2030 on the horizon and 2025 quickly approaching, I’m genuinely inspired by the progress the Mondelēz International team has made over the past year to drive our upcoming goals and have a clear plan to achieve our longterm ambitions.

Over the past year, we’ve done critical work to reduce our climate impact. This includes developing a time-bound, net-zero carbon emissions roadmap and reduction plan linked to targets independently validated by the SBTi, scaling regenerative agricultural practices across our signature sourcing programs, and reducing carbon emissions at scale across our owned operations. This work lays the necessary groundwork for Mondelēz International to make progress against our long-term net-zero target, an aspiration I am so proud to see our Company deliver measurable progress against.

This important work and the progress detailed in this report would not have been possible without our committed people, our partnerships with suppliers and NGOs and our collaboration with industry coalitions, including the World Cocoa Foundation and Consumer Goods Forum. We are committed to work in genuine partnership to deliver impact.

The world is changing rapidly, demanding that we change with it, and we are committed to working on interrelated systemic issues. Particularly as supply of cocoa has been hindered this year largely due to weather with lower production causing a rise in the price of this important input, we have continued our focus on our cocoa sourcing program, Cocoa Life, to support our goal of a thriving and equitable cocoa sector that collaborates to combat interrelated system issues like deforestation, farmer poverty and child labor.

Through perseverance and diligence, we have built an end-to-end carbon emissions reduction roadmap, leveraging both tried-andtrue programs as well as new pilots associated with SBTi-validated emissions reductions targets. These efforts are helping us meaningfully reduce our emissions and give us a clear path forward as we progress against our long-term ambition.

We’ve also made strong progress toward our 2025 environmental and social goals, some of which we have already achieved or exceeded. Some highlights from 2023 I’m particularly proud to share include:

a. Scaling regenerative agricultural practices across our signature sourcing program, Cocoa Life, where our programs continue to make an impact to help eliminate deforestation and contributes to our Scope 3 carbon reductions. 
b. Sourcing approximately 99% of wheat volume needed for our European business biscuits production grown under the Harmony Charter ⁽¹⁾. 
c. Sourcing nearly half of electricity at manufacturing sites from renewables, up from more than 40% in 2022 ⁽²⁾. 
d. Slashing food waste from distribution by an impressive approximately (69)%.

This work creates value for our business and helps enable our future growth by making our business more resilient. Looking ahead, we aim to further sharpen, amplify and accelerate our impact across our priority areas. We are also focused on evolving to meet expanding regulatory requirements and remain committed to transparency in sharing our progress.

I am grateful for the passion, drive and ownership Mondelēz International team members bring to their roles every day. I am proud to work alongside them and the many others we collaborate with to drive positive impact at scale and continue to make progress in 2024.

Christine Montenegro McGrath 
SVP, Chief Impact & Sustainability Officer, 
Mondelēz International

_{⁽¹⁾ Goal and reported information for wheat volume sourced under Harmony is partially based on a mass balance approach, which means that, for a portion of our wheat flour volume needed to produce products under our biscuit brands in Europe, the equivalent volume of wheat needed for that portion is grown under the Harmony program.}

_{⁽²⁾ Reported information excludes developed-market gum brands, which were divested as of October 1, 2023 (which differs from previous years). We have recalculated our base year 2018 (where applicable) and most recent years 2021, 2022 and 2023 for year-over-year comparison. Reported information based on latest estimate; independent, third-party verification in-progress. Any updates, if needed, will be included in the ESG Datasheet. Once completed, SGS verification can be found in our ESG Reporting & Disclosure Reporting Archive.}

View the full 2023 Snacking Made Right Report