Danone // 2020 Universal Registration Document

5 Social, Societal and Environmental Responsibility 5.3 Preserve and renew the planet ’ s resources 167 DANONE UNIVERSAL REGISTRATION DOCUMENT 2020 PILLARS AND COMMITMENTS ACTION PLANS AND OUTCOMES Preserving natural resources By 2021: • market 100% recycled PET bottles in all major Danone markets; By 2025: • use 50% recycled materials in all Danone’s packaging, notably plastic packaging (the initial target was fixed at 25%); • use 50% recycled PET (rPET) for the Waters Business (100% in Europe). Danone works to reintegrate recycled materials in its packaging and increase the use of renewable materials. In 2020, Danone achieved the following results: • 10.3% recycled materials on average in its plastic packaging (compared with 10.6% in 2019); • 19.8% recycled PET used on average by the Waters Reporting Entity (compared with 15.8% in 2019) and 25.5% in countries where local standards and regulations allow (compared with 20.5% in 2019); • 38.7% of rPET is used on average in the evian bottle range (compared with 31% in 2019). In 2020, Danone developed new, 100% rPET items in Europe, Mexico, Brazil and Indonesia. Furthermore, (i) all Volvic bottles in Germany, (ii) all small evian and Volvic bottles in France, and (iii) all evian takeaway bottles in the United Kingdomhave been 100% rPET since September 2020. Lastly, in order to reduce fossil resource use further still, Danone is accelerating the develop- ment of renewable and bio-basedmaterials. For example, the Company has launched bio-based plastic packaging for its EDP So Delicious brand in the United States (containing 80% bio-based PEHD) and its Les 2 Vaches brand yogurt pots in France, which are made in PLA. Furthermore, Danone has joined Nestlé Waters, PepsiCo and Origin Materials in the NaturAll Bottle Alliance to accelerate the development of 100% bio-PET by using biomass-based raw materials such as used cardboard, sawdust and wood chips in order not to compete with the agricultural land used to produce human foods or feed animals. Alongside its commitments, the Company is continuing to work actively with the Ellen MacArthur Foundation as well as in other alliances to accelerate the transition toward a circular economy, including the WWF. It has also signed a call for the creation of a United Nations treaty to address the problem of plastic pollution. Opportunities Danone innovates with its product distribution, with, for example, the Faire Bien yogurt brand in France, and its partnership with the Day by Day brand to experiment with bulk distribution, a method whose wider deployment is currently under study. Waste management Danone monitors waste production and its recovery through re- cycling, reuse, composting and waste-to-energy. The Company’s production sites seek to maximize the recovery rate for their waste through on-site sorting and staff training. To that end, these sites enter into agreements with subcontractors that can recover the various types of waste generated. 2019 2020 Industrial waste Total quantity of industrial waste (in ktons) 511 433 Ratio of total quantity of industrial waste per metric ton of product (in kg/tons) 13.8 12.3 Proportion of industrial waste recovered 90.1% 91.2% Packaging industrial waste Total quantity of packaging industrial waste (in ktons) 122 116 Ratio of total quantity of packaging industrial waste per metric ton of product (in kg/tons) 3.3 3.3 Proportion of packaging industrial waste recovered 95.3% 96.7% Proportion of plastic packaging waste recovered 95.8% 96.6% The amount of industrial waste generated per metric ton of product declined by 11% between 2019 and 2020, mainly due to a methodo- logical change at an Alpro site for the waste. In 2020, the recovery rate for industrial waste increased from 90% to 91% (Production Site Environment scope, see Methodology Note). The recovery rate for plastic packaging waste at the production sites totaled 96.6% in 2020 (compared with 95.8% in 2019). In 2020, 3.4% of post-industrial packaging waste was sent to landfill. The target is to achieve 0% by 2025.