Refresh the World. Make a Difference - THE COMPANY

 
Refresh the World. Make a Difference - THE COMPANY
Refresh the World.
Make a Difference.

                  2020 Business &
THE     COMPANY   Environmental, Social and
                  Governance Report
Refresh the World. Make a Difference - THE COMPANY
Contents      Chairman   Our Response       Our          Our       Water      Our Portfolio/      World          Climate   Sustainable          People &    Operations       Data      Reporting
                  & CEO      to COVID-19   Priorities &   Company   Leadership    Reducing           Without                  Agriculture        Communities   Highlights     Appendix   Frameworks
                 Message                    Progress                             Added Sugar         Waste                                                                                 & SDGs

                                                                                 Our purpose and passion have
                                                                                 always been refreshment.
                                                                                 Being there when people enjoy and share in life’s
                                                                                 best moments. And as we and the world look to
                                                                                 renew ourselves, we must continue to work together
                                                                                 and strive to make the world a better place for
                                                                                 every person, everywhere.

                                                                                 3      Chairman & CEO Message                              46	Enabling Women:
                                                                                 5      Board of Directors                                      A Decade of Achievement
                                                                                 6      Our Response to COVID-19                            48	Supporting Micro-Businesses
                                                                                 8      Our Priorities & Progress                               in the Philippines
                                                                                                                                            49 Employee Safety & Health
                                                                                 12  At a Glance
                                                                                                                                            50 Diversity, Equity & Inclusion
                                                                                 13  How We Operate
                                                                                                                                            52	Promoting Racial Equity at Our Company
                                                                                 14  Financial Highlights
                                                                                                                                                and in Our Communities
                                                                                 15  Building a Total Beverage Company
                                                                                                                                            53	Giving Back to Communities
                                                                                 16	Innovating to Become a
                                                                                     Total Beverage Company                                 54 Operations Highlights
                                                                                 17  Governance & Management                                55 Asia Pacific
                                                                                 18	Priority Environmental, Social &                       56 Europe, Middle East & Africa
                                                                                     Governance (ESG) Issues                                57 Latin America
                                                                                 19  Stakeholder Engagement & Partnerships                  58 North America
                                                                                                                                            59	Global Ventures/
                                                                                 20 Water Leadership
                                                                                                                                                Bottling Investments Group
                                                                                 25	RAIN: A Decade of Clean Water
                                                                                     Projects Across Africa                                 60    About This Report

                                                                                 26     Our Portfolio/Reducing Added Sugar                  61  Data Appendix
                                                                                                                                            62	Financial & Portfolio Data
                                                                                 30	World Without Waste
                                                                                                                                            68 2020 Sustainability Goals
                                                                                 34	Addressing Climate Change and the
                                                                                                                                            70 Packaging
                                                                                     Circular Economy Through Public Policy
                                                                                                                                            71  Water
                                                                                 35 Climate                                                 72 Greenhouse Gas Emissions & Waste
                                                                                 39 	Supplier Engagements Advance                          73 Workplace, Safety & Giving Back
                                                                                      Climate Action                                        75	Human Rights, 5by20 & Agriculture

                                                                                 40     Sustainable Agriculture                             76    Assurance Statements

                                                                                 44     People & Communities                                81	Reporting Frameworks & Sustainable
                                                                                 45     Human Rights                                            Development Goals (SDGs)

The Coca–Cola Company                                                                2020 Business & ESG Report                                                                                       2
Refresh the World. Make a Difference - THE COMPANY
Contents      Chairman   Our Response       Our          Our         Water      Our Portfolio/   World       Climate   Sustainable     People &    Operations        Data        Reporting
                  & CEO      to COVID-19   Priorities &   Company     Leadership    Reducing        Without               Agriculture   Communities   Highlights      Appendix     Frameworks
                 Message                    Progress                               Added Sugar      Waste                                                                            & SDGs

                                                                                                                              Historians of the future will decide how the events of
                                                                                                                              2020 reshaped the world. I already know this—the year of
                                                                                                                              the pandemic has changed our business and our industry
                                                                                                                              in ways that will endure. We’ve learned much in the last
                                                                                                                              year, and it will help us continue to change for the better.

                                                                                                                              Today, when I reflect on 2020, one of the words that
                                                                                                                              comes to mind is resilience. Our people and our business
                                                                                                                              were resilient in the face of extraordinary challenges. Our
                                                                                                                              people quickly adapted to new conditions to support our
                                                                                                                              communities and our business.

                                                                                                                              We also showed great resolve in continuing to pursue
                                                                                                                              goals that did not change—all guided by the purpose of
                                                                                                                              our company: to refresh the world and make a difference.

                                                                                                                              Environmental, Social & Governance

                                                                                                                              Our environmental, social and governance (ESG) goals
                                                                                                                              are embedded in how we operate as a business—they
                                                                                                                              are part of our very foundation. In 2020, I was commonly
                                                                                                                              asked whether ESG goals would change or take a back
                                                                                                                              seat to other priorities during the crisis. The answer—then

                                                                    Chairman &
                                                                                                                              and now—is that ESG remains core to what we do.

                                                                                                                              For example, we continued our World Without Waste

                                                                    CEO Message
                                                                                                                              efforts in 2020, even in the midst of many temporary
                                                                                                                              disruptions. Across markets representing 30% of our
                                                                                                                              global volume, we offer 100% recycled plastic packaging
                                                                                                                              options in at least one brand. This number grew in 2020,
                                                                                                                              and we’re now offering packages made of 100% recycled
                                                                                                                              PET in around 30 markets.
                                                                    I’ve long believed that history
                                                                    provides lessons that can apply                           In 2020, we also developed a goal to reduce our use of
                                                                                                                              virgin PET by a cumulative 3 million metric tons globally
                                                                    to life today.                                            by 2025. This is the equivalent of taking out one whole
                                                                                                                              year’s worth of virgin plastic over the next five years.
                                                                                                                              And the Netherlands and Norway became the second
                                                                    Looking back, The Coca-Cola                               and third markets after Sweden to announce that we’ll
                                                                                                                              manufacture entire local portfolios in 100% recycled PET.
                                                                    Company has weathered
                                                                    many difficult times over its 135                         Packaging has a close link to climate, and 2020 also saw
                                                                                                                              important progress in defining our goals. The company
                                                                    years. Each time, we’ve turned                            supports a vision to be net-zero carbon by 2050, and
                                                                                                                              we have set a 2030 science-based target to reduce our
                                                                    adversity into opportunity.                               greenhouse gas emissions by 25% as compared to a
                                                                                                                              2015 baseline.
    JAMES QUINCEY
    Chairman and Chief Executive Officer
                                                                    In 2020, we experienced history                           We’ve been on a journey to drive progress against
                                                                    once again.                                               intersecting priorities like water and building resilient
                                                                                                                              communities. We’ve developed a science-based 2030

The Coca–Cola Company                                                              2020 Business & ESG Report                                                                                   3
Refresh the World. Make a Difference - THE COMPANY
Contents      Chairman    Our Response        Our          Our           Water      Our Portfolio/   World         Climate      Sustainable     People &      Operations     Data         Reporting
                  & CEO       to COVID-19    Priorities &   Company       Leadership    Reducing        Without                    Agriculture   Communities     Highlights   Appendix      Frameworks
                 Message                      Progress                                 Added Sugar      Waste                                                                                 & SDGs

    water strategy focused on achieving water security                Great brands begin with a deep understanding                     The Coca-Cola Foundation, total more than $90 million,
    where the company operates and sources ingredients.               of consumers, what they want and converting that                 benefiting more than 25 million people in 118 countries
    We will maintain 100% replenishment globally, focusing            insight into superior, quality products. We will continue        and territories.
    on improving watershed health in water-stressed areas             to grow our brands through focused execution and
    that are critical to the business and that support our            targeted innovation.                                             But the pandemic wasn’t the only crisis of 2020. Last year,
    agricultural supply chain. Since 2010, our water, sanitation                                                                       we were again reminded that there’s no place in our world
    and hygiene programs have also reached more than                  Despite the challenges we faced in 2020, we saw strong           for racism. We have a duty to strive for greater justice
    13.5 million people globally.                                     performance in key segments of our portfolio, including:         and equity within our own company as well as within the
                                                                                                                                       communities where we operate. Our pledge is that we will
    Finally, 2020 marked an exciting milestone in our social          • T
                                                                         rademark Coca-Cola returned to growth in the                 do our part to listen, learn and act. Our company must
    impact work. We surpassed our goal of enabling the                  back half of the year, with strong performance from            play a visible and proactive role in creating change.
    economic empowerment of 5 million women through our                 Coca-Cola Zero Sugar, which grew volume 4% for
    5by20® program, creating shared value for these women,              the year.                                                      A diverse and inclusive workplace is both the right thing
    their families and communities.                                                                                                    to do and a strategic business priority. Diversity fosters
                                                                      •	As consumers shifted to drinking more beverages               creativity, innovation and connection to the communities
                                                                         at home, we saw Simply and fairlife grow double digits        we serve. To that end, we have announced our 2030
    Changing to a Networked Organization                                 in North America.                                             aspirations:

    Our ongoing commitment to ESG goals in 2020 was an                •	Certain water brands saw strong growth, including             • To mirror the diversity of the markets we serve.
    example of where we left critical objectives unchanged—              AHA and Topo Chico Sparkling Mineral Water.
    indeed, we enhanced them.                                                                                                          •	In the United States, our ambition is to align our
                                                                      We also made strides in innovation. For example, we                 race and ethnicity representation to census data
    In other places, there were vast changes, including in the        introduced our first touchless Freestyle machines in the            across all job levels.
    way we operate our business.                                      United States, which allow consumers to choose and pour
                                                                      drinks from their phones in just a few seconds without the       • For our company to be 50% led by women globally.
    In 2020, we announced plans to build a new, networked             need to create an account or download an app.
    organization that combines the power of scale with the                                                                             In this report, we share data that reflects our company’s
    deep knowledge required to win in markets locally. Nine           We also continued to change the recipes of our beverages         current diversity across both race (in the United States)
    operating units were established to focus on regional             and reduce added sugar, along with offering smaller              and gender for the general employee population, as well
    and local execution, working closely with five marketing          portion sizes. We removed approximately 125,000                  as at the leadership level. We will continue to report this
    category leadership teams that span the globe.                    tons of added sugar on an annualized basis through               data annually.
                                                                      approximately 140 product reformulations in 2020. We’re
    This structure is supported by our new Platform Services          innovating and bringing drinks with additional benefits to       Finally, our resilience in 2020 gives me renewed
    organization and center functions, which collectively             market and promoting options with low or no calories.            confidence that our best years remain ahead. Thankfully,
    provide global services and expertise across a range of                                                                            a good starting point matters. As a system, we went
    critical capabilities.                                            Finally, we are on a journey to strengthen our marketing         into the crisis in a strong position. We are emerging
                                                                      efficiency and effectiveness. By improving our processes,        even stronger.
    Together, this networked organization will accelerate our         eliminating duplication and optimizing spending,
    transformation as a digitized, data-driven enterprise that        we will increase our effectiveness and fuel reinvestment
    can execute marketing, commercial, sales and distribution         in our brands.
    strategies in both the online and physical worlds.

                                                                      The Extraordinary Actions of 2020
    A Winning Growth Portfolio
                                                                      Our purpose is to refresh the world and make a difference.                               James Quincey
    We are positioning our portfolio for success, identifying         This guides us in good times and challenging times.
                                                                                                                                                   Chairman and Chief Executive Officer
    the right brands that will drive quality leadership and           During 2020, the Coca-Cola system focused on helping
                                                                                                                                                             April 20, 2021
    help us achieve our Beverages for Life vision. In 2020, we        communities through COVID-19 relief efforts around
    streamlined our portfolio to approximately 200 master             the world. These donations made by the system, when
    brands, allowing us to focus attention and resources on           combined with independent contributions from
    what we do best: brand building and innovation.

The Coca–Cola Company                                                                  2020 Business & ESG Report                                                                                        4
Refresh the World. Make a Difference - THE COMPANY
Contents            Chairman         Our Response            Our               Our            Water         Our Portfolio/    World             Climate         Sustainable      People &         Operations        Data              Reporting
                        & CEO            to COVID-19        Priorities &        Company        Leadership       Reducing         Without                           Agriculture    Communities        Highlights      Appendix           Frameworks
                       Message                               Progress                                          Added Sugar       Waste                                                                                                    & SDGs

    Board of                                                                                                                    “In 2020, the world weathered challenges that will forever shape
                                                                                                                                 history—and it is through these challenges that The Coca-Cola

    Directors
                                                                                                                                 Company is emerging even stronger. Our Board of Directors is
                                                                                                                                 proud of the company’s resilience and strong leadership in the
                                                                                                                                 face of adversity. The company took meaningful steps in 2020 to
                                                                                                                                 reorganize the business, creating a networked organization that
                                                                                                                                 is poised for growth. And these actions always remain grounded
                                                                                                                                 in strong values and purpose: to refresh the world and make a
                                                                                                                                 difference. This is especially meaningful now, and we look toward
                                                                                                                                 the future with confidence.”

                                                                                                                                Maria Elena Lagomasino
                                                                                                                                Lead Independent Director

    Herbert A. Allen4, 5, 6                       Marc Bolland1, 7                        Ana Botín 2, 5                        Christopher C. Davis3, 5               Barry Diller2, 4, 5, 6                Helene D. Gayle3, 7
    President, Chief Executive                    Head of European                        Executive Chair,                      Chairman,                              Chairman of the Board and             Chief Executive Officer,
    Officer and Director,                         Portfolio Operations,                   Banco Santander, S.A.                 Davis Selected Advisers-NY, Inc.       Senior Executive,                     The Chicago Community Trust
    Allen & Company Incorporated                  The Blackstone Group Inc.                                                                                            IAC/InterActiveCorp and
                                                                                                                                                                       Expedia Group, Inc.

    Alexis M. Herman3, 7                          Robert A. Kotick 5, 6                   Maria Elena                           James Quincey4                         Caroline J. Tsay1, 7                  David B. Weinberg1,6
    Chair and Chief Executive Officer,            Chief Executive Officer and             Lagomasino2, 3, 6                     Chairman and                           Chief Executive Officer and           Chairman and
    New Ventures LLC                              Director,                               Chief Executive Officer and           Chief Executive Officer,               Director,                             Chief Executive Officer,
                                                  Activision Blizzard, Inc.               Managing Partner,                     The Coca-Cola Company                  Compute Software, Inc.                Judd Enterprises, Inc.
                                                                                          WE Family Offices

    1   Audit Committee
    2   Committee on Directors and Corporate Governance
    3   Talent and Compensation Committee
    4   Executive Committee
    5   Finance Committee
    6   Management Development Committee
    7   ESG and Public Policy Committee

The Coca–Cola Company                                                                                          2020 Business & ESG Report                                                                                                            5
Refresh the World. Make a Difference - THE COMPANY
Contents      Chairman   Our Response        Our           Our          Water      Our Portfolio/    World         Climate     Sustainable     People &    Operations      Data       Reporting
                  & CEO      to COVID-19    Priorities &    Company      Leadership    Reducing         Without                   Agriculture   Communities   Highlights    Appendix    Frameworks
                 Message                     Progress                                 Added Sugar       Waste                                                                             & SDGs

    Our Response
    to COVID-19
    Throughout our history, The Coca-Cola Company has
    persevered through turbulent times—emerging stronger
    from world wars, natural disasters, economic crises
    and more. As COVID-19 spread in 2020, we mobilized
    quickly to safeguard the health and well-being of our
    employees; maintain the continuity and safety of our
    beverage production and delivery operations; ensure
    resiliency of our supply chain (including supporting
    suppliers); assist bottling partners and customers; and
    support communities. We also pivoted our operations,
    commercial strategies and innovation priorities to meet
    fast-changing market dynamics, all while advancing our
    sustainability goals.

    Protecting                                        Empowering                                       Assisting                                       Supporting
    Our People                                        Suppliers                                        Customers                                       Communities
    The safety and health of our people is            To maintain business continuity, our             Coca-Cola teams and bottling partners           The Coca-Cola Foundation has provided
    always a top priority. Around the world,          global Procurement team collaborated             collaborated with retail and foodservice        approximately $56 million to support
    local teams closely followed guidance             with bottling partners around the world          customers to weather the impact of the          COVID-19 relief efforts in communities
    from health authorities to protect our            on contingency planning for our supply           crisis and adapt to changing shopper            around the world. Combined donations
    employees across office, production,              chain. We worked with suppliers to adjust        behaviors, helping grocery stores               made by the Coca-Cola system, including
    distribution and retail facilities. In the        volumes to meet shifting consumer                meet elevated demand and supporting             independent donations from the
    early stages of the outbreak, nearly all          demands and manage the logistical                restaurants as they switched to takeout         Foundation, total more than $90 million.
    office-based associates shifted to remote         challenges of lockdowns and movement             and delivery models. Lockdowns
    work. Our production and distribution             restrictions. We also took several actions       triggered a digital buying boom in 2020.
    facilities continued to operate with              to help our suppliers through the crisis,        To support the surge in e-commerce,
    significant safety adjustments, such              including committing to accelerated              we concentrated on package sizes
    as expanded cleaning and sanitization             payment of invoices.                             that are fit-for-purpose for online sales;
    routines, reductions in person-to-person

                                                      $1B
                                                                                                       boosted investment in digital promotions;
    interactions and requirements for                           in financing and                       increased in-app visibility with e-delivery
    personal protective equipment (PPE).                        accelerated payment                    grocers; and piloted digitally enabled
                                                                processes offered
                                                                                                       fulfillment methods to manage orders
                                                                to suppliers
                                                                                                       and deliveries.

The Coca–Cola Company                                                                  2020 Business & ESG Report                                                                                    6
Refresh the World. Make a Difference - THE COMPANY
Contents       Chairman     Our Response         Our            Our           Water       Our Portfolio/    World          Climate     Sustainable     People &     Operations        Data        Reporting
                   & CEO        to COVID-19     Priorities &     Company       Leadership     Reducing         Without                    Agriculture   Communities    Highlights      Appendix     Frameworks
                  Message                        Progress                                    Added Sugar       Waste                                                                                  & SDGs

    Pivoting to Produce Needed                            Direct-to-Consumer (D2C)                            Contactless Innovations                          Supporting Vaccine Rollout
    PPE and Supplies                                      Delivery                                                                                             in Africa
                                                                                                              Safety and hygiene concerns fueled
    Bottling and concentrate plants in countries          An online platform, developed at the                contactless innovations, including the           The Coca-Cola Foundation has provided a
    including France, Brazil, Ireland, Swaziland          initiative of Coca-Cola Argentina, enabled          nationwide rollout of touch-free technology      $2 million grant to Project Last Mile to
    and Japan pivoted production to make hand             small retailers across Latin America to serve       for Coca-Cola Freestyle fountain dispensers      support the rollout of COVID-19 vaccines
    sanitizer for hospitals, clinics and nursing          customers safely without having to open             in the United States. In Japan, Coke ON          in Africa in 2021. Project Last Mile is our
    homes. The North America Operating Unit               their stores. When a shopper places an order        mobile app users can make touch-free             pioneering partnership to improve the
    teamed up with supply chain partners and              via the free Wabi app, the system pings             purchases on 30,000 vending machines in          availability of life-saving medicines across
    a national network of volunteers to produce           nearby retailers. The first retailer to accept      train stations, hospitals and other public       Africa by leveraging our system’s distribution
    and distribute protective face shields to             delivers the items to the shopper’s home in         areas. Buttons and dispensing slots on the       network and marketing capabilities. This
    healthcare workers and first responders.              30 minutes or less. Read more.                      machines were covered with antiviral and         partnership is a legacy of collaboration
                                                                                                              antibacterial film.                              between The Coca-Cola Foundation,
                                                                                                                                                               The Coca-Cola Company, the U.S. President’s
                                                                                                                                                               Emergency Plan for AIDS Relief (PEPFAR),
                                                                                                                                                               USAID, The Global Fund for HIV/AIDS, Malaria
                                                                                                                                                               and Tuberculosis, and The Bill and Melinda
                                                                                                                                                               Gates Foundation.

                                                                                                                         In North America, we provided $1 million in
                                                                                                                         support to restaurants by giving restaurant delivery
                                                                                                                         vouchers to more than 8,000 employees and
                                                                                                                         purchasing meals from foodservice customers as
    Access to Clean Water,                                Using Our Marketing Reach
                                                                                                                         a thank you to associates working hard during the
    Sanitation and Hygiene (WASH)                         to Promote Awareness                                           pandemic to produce our products. In Uzbekistan,
                                                                                                                         we supported small retail stores by producing
    During the pandemic, we worked with our
    nonprofit partners to boost our WASH
                                                          Coca-Cola locations around the world—
                                                          from Singapore to South Africa, Austria
                                                                                                                         and installing more than 1,500 protective plastic
    investments in many countries, including              to Australia, and Brazil to Belgium—used                       shields for checkout workers.
    Kenya, Tanzania and Ethiopia. In Uganda,              high-profile marketing assets, such as
    Coca-Cola Beverages Africa and the Ministry           billboards, trucks, packaging and social
    of Health distributed 5,000 hand-washing              media channels, to share messages of                           See more examples from around the world.
    stations in public, high-risk areas to protect        solidarity and gratitude to front-line heroes
    people against the spread of COVID-19.                and promote safety tips on behalf of public
                                                          health authorities and partner organizations.

The Coca–Cola Company                                                                         2020 Business & ESG Report                                                                                         7
Refresh the World. Make a Difference - THE COMPANY
Contents      Chairman   Our Response       Our               Our                  Water             Our Portfolio/    World                 Climate           Sustainable           People &       Operations               Data            Reporting
                  & CEO      to COVID-19   Priorities &        Company              Leadership           Reducing         Without                                 Agriculture         Communities      Highlights             Appendix         Frameworks
                 Message                    Progress                                                    Added Sugar       Waste                                                                                                                  & SDGs

                                                     Water                                                                                                                                   Reducing
                                                     Leadership                                                                                                                              Added Sugar

    Our
                                                     More than a decade ago, The Coca-Cola                                                   2020 GOAL                                       Sugar reduction remains a top priority.
                                                     Company set a pioneering goal to                                                            100%                                        As we continue to evolve as a total

    Priorities
                                                     replenish the water we use in our drinks                                                                                                beverage company and respond to
                                                     and their production. We also set                                   17   150%                                                           consumers’ desires for more choices
                                                     targets to use water more efficiently                                                                                                   across categories, we are reducing added
                                                                                                                         18   155%
    & Progress
                                                     and to treat all wastewater in our                                                                                                      sugar while providing more drinks with
                                                     production processes.                                               19   160%                                                           nutrition benefits; optimizing our mix
                                                                                                                                                                                             of products; offering smaller package
                                                     In each of the last six years, we met and                           20 170%                                                             choices; and providing consumers with
                                                     exceeded our 2020 replenish goal. At                                                                                                    clear nutrition information.
                                                                                                                         Percentage of water used in our finished
                                                     the same time, we have continued to                                 beverages returned to nature and communities2
    Our publicly reported                            improve the efficiency of our water use.                                                                                                We offer a wide range of beverages—
                                                     We now need only 1.84 liters of water per                                                                                               including sparkling soft drinks, water,
    sustainability goals drive                       liter of final product, a 19% improvement                                                                           2020 GOAL           coffee, tea, dairy, juices, sports drinks and
    us to continually improve,                       compared to 2010. While we are proud of                                                                                   25%           plant-based options. We track the results
    working in concert with                          our progress, this is short of our goal due                                                                                             of our sugar reduction efforts, the majority

    The Coca-Cola Company’s
                                                     to changes in our product and packaging                             17   15%                                                            of which stem from changes to our
                                                     portfolio. For example, producing more                                                                                                  sparkling beverage recipes and packaging
    approximately 225 bottling                       diverse product ranges and smaller or                               18   16%                                                            size reductions.
    partners in more than 200                        refillable packages requires more frequent
                                                                                                                         19   18%
                                                     cleaning and rinsing, which limits the                                                                                                  READ MORE: Our Portfolio/Reducing
    countries and territories.                       water efficiency in bottling production.                            20 19%                                                              Added Sugar
                                                     In addition, the pandemic reduced
                                                     production volumes in 2020, reducing the                            Percentage improvement in water efficiency
    Having passed the                                overall efficiency of production lines.
                                                                                                                         since 2010

    milestone of our 2020                                                                                                                                                                           Average sugar per 100 ml
                                                                                                                                                                                                    Unit case volume growth
    goals, we are working                            READ MORE: Water Leadership

    toward new, more ambitious                                                                                           Our New Water Strategy
    plans, including our 2025
    packaging goals, our 2030
                                                     13.5M+                                                              Our new 2030 water strategy                                                    2018          2019 3, 4
                                                     people provided access to
    climate goal and our new                         safe drinking water, sanitation and
                                                                                                                         recognizes the urgency of our growing
                                                                                                                                                                                                         2%              2%          2020
    2030 water strategy.                             hygiene since 20101
                                                                                                                         shared water challenges and the
                                                                                                                         interconnection of water and other                                              –2%                             –1%
                                                                                                                                                                                                                        –3%

                                                     1.75T+
                                                                                                                         priority goals. Our vision is to increase
                                                                                                                         water security where we operate, source
                                                                                                                         ingredients and touch people’s lives                                                                            –6%
                                                                                                                         by improving water availability,
                                                     liters of water replenished                                         quality, access and governance.
                                                     globally since 2012

                                                     1	Calculated with self-reported and internally validated data.     3	The company acquired Costa in January 2019. In 2019, with
                                                                                                                            the exception of ready-to-drink products, the company did not
                                                     2	As estimated working with our many external partners and            report unit case volume for Costa. However, unit case volume
                                                        using generally accepted, independently peer-reviewed               in 2020 includes both Costa ready-to-drink and non-ready-to-
                                                        scientific and technical methods. External assurance of 100%        drink products.
                                                        annual replenishment rate. Finished beverages based on global
                                                        sales volume. Water in production based on total system          4 A
                                                                                                                            verage sugar per 100ml for 2019 has been updated to reflect
                                                        consumptive use.                                                   a more complete data set.

The Coca–Cola Company                                                                                    2020 Business & ESG Report                                                                                                                         8
Refresh the World. Make a Difference - THE COMPANY
Contents             Chairman           Our Response                Our            Our              Water      Our Portfolio/    World           Climate       Sustainable         People &        Operations     Data         Reporting
                         & CEO              to COVID-19            Priorities &     Company          Leadership    Reducing         Without                       Agriculture       Communities       Highlights   Appendix      Frameworks
                        Message                                     Progress                                      Added Sugar       Waste                                                                                          & SDGs

    World Without                                                                                                                  Climate                                                 Sustainable
    Waste                                                                                                                                                                                  Agriculture
    We have a responsibility to help solve                                   DESIGN                                                Climate change is a priority issue for our              A sustainable and resilient agricultural
    the global packaging waste crisis.                                                                                             business, and as a global company, we                   supply chain has never been more critical
                                                                             Make 100% of our packaging recyclable
    That’s why, in 2018, we launched an                                                                                            have a long-standing strategy to reduce                 to our interrelated goals, especially
                                                                             globally by 2025—and use at least
    ambitious sustainable packaging                                                                                                our carbon footprint. We approach this                  around climate, water, human rights
                                                                             50% recycled material in our packaging
    initiative called World Without Waste.                                                                                         challenge by reducing the impact we                     and enabling women’s empowerment.
                                                                             by 2030.
    Three years into this journey, the global                                                                                      have on climate change; by identifying                  Since 2013, our goal has been to more

                                                                             90%                         11.5%
    conversation about plastic pollution—                                                                                          the risks a changing climate have on our                sustainably source our priority agricultural
    and calls for urgent, collaborative                                                                                            company; and by collaborating with key                  ingredients, including our main natural
    action—are intensifying. We continued                                                                                          stakeholders to amplify our actions.                    sweeteners, fruit juices, coffee, tea, soy
    to make progress in 2020, despite                                                                                                                                                      and timber products.
                                                                             of our packaging            recycled material
    the challenges from the pandemic.                                        recyclable globally 1       in PET plastic
                                                                                                                                   Our climate strategy supports our
                                                                                                         packaging globally2       sustainable agriculture, water and World                In 2020, we faced many challenges.
                                                                                                                                   Without Waste strategies. And our                       COVID-19 impacted the ability of our
    New Virgin Plastic                                                                                                             approach to climate governance responds                 suppliers to arrange on-farm
                                                                                                                                   to increased interest from investors and                assessments, as well as our ability
    Reduction Goal                                                           COLLECT                                               other stakeholders to provide disclosures               to meet with suppliers and farmers.
                                                                             Collect and recycle a bottle or can for               aligned with the Task Force on Climate-                 While this had an impact on our
    We have set a new goal to reduce                                         each one we sell by 2030.                             related Financial Disclosures (TCFD).                   performance in cane sugar and corn,
    our use of virgin plastic derived from                                                                                                                                                 we continued to make progress across
    non-renewable sources by a cumulative                                                                         2030 GOAL
                                                                                                                                   Having achieved our “drink in your hand”                most of our other priority ingredients.
    3 million metric tons over the next five                                                                         100%          goal to reduce relative carbon emissions
    years. In 2025, depending on business                                                                                          by 25% by 2020, against a 2010 baseline,                While we’re proud of the progress made
    growth, we project that we will use                                      18   56%                                              we are now working toward our 2030                      toward our ambitious 2020 goal, we
    approximately 20% less virgin plastic                                                                                          Science-Based Target to reduce absolute                 recognize that we have to push
    than we do today.
                                                                             19   60%                                              GHG emissions 25% by 2030. Our ambition                 forward with our integrated approach to
                                                                             20 60%2                                               is to achieve net-zero carbon emissions                 ensuring sustainable practices across
    READ MORE:                                                                                                                     by 2050.                                                our agricultural supply chain.
    World Without Waste                                                      Percentage of bottles and cans we refilled
                                                                             or helped recover equivalent to what we               Goals                                                   READ MORE: Sustainable Agriculture
                                                                             introduced into the marketplace
        READ MORE IN OUR WORLD                                                                                                     •	Reduce absolute GHG emissions
        WITHOUT WASTE REPORT                                                                                                          25% by 2030
                                                                                                                                                                                                                              2020 GOAL

                                                                             PARTNER                                               •	Ambition to achieve net-zero carbon                                                        100%
                                                                             Bring people together to support a                       emissions by 2050
                                                                                                                                                                                           13   8%
    1 Only recyclable where infrastructure exists.                           healthy, debris-free environment.
    2 T
       his result is preliminary and final numbers will be reported
                                                                                                                                   READ MORE: Climate                                      18   44%
      in the 2020 World Without Waste report.

    3	The calculation of progress toward our “drink in your hand”
                                                                                                                                                                        2020 GOAL          19   54%
       goal has been internally vetted using accepted and relevant
       scientific and technical methodologies, which are aligned
                                                                                                                                                                            25%            20 56%
       with GHG Protocol Scopes 1, 2 and 3. Due to the nature of our
       franchise bottling system, our manufacturing emissions are
       normally split between Scopes 1 and 2 for company-owned                                                                     17   19%                                                Progress toward our sustainable sourcing goal4
       facilities and Scope 3 for bottling partner facilities. However,
       in our “drink in your hand” calculations, we consider the full
       Coca-Cola system (including franchise bottling partners) in the
                                                                                                                                   18   21%
       calculation of our manufacturing, distribution and refrigeration
       emissions, in addition to the emissions from our ingredients
       and packaging.
                                                                                                                                   19   24%
    4	Data is based on supplier reporting according to our assurance                                                              20 25%
       requirements, which is consolidated and internally validated.
       Results can fluctuate due to changes in volumes and sourcing
       origins while we get new suppliers on board with our                                                                        Estimated percentage reduction of the carbon
       requirements.                                                                                                               footprint of the “drink in your hand” since 20103

The Coca–Cola Company                                                                                              2020 Business & ESG Report                                                                                                 9
Refresh the World. Make a Difference - THE COMPANY
Contents      Chairman   Our Response       Our                Our               Water             Our Portfolio/     World                 Climate            Sustainable            People &    Operations       Data        Reporting
                  & CEO      to COVID-19   Priorities &         Company           Leadership           Reducing          Without                                  Agriculture          Communities   Highlights     Appendix     Frameworks
                 Message                    Progress                                                  Added Sugar        Waste                                                                                                     & SDGs

    Human                                                                                                              Diversity, Equity &
    Rights                                                                                                             Inclusion
    Our commitment starts with our own                                                               20211 GOAL
                                                                                                                       Diversity, equity and inclusion (DEI) are                              Our Aspirations by 2030
    employees, making sure they have safe,                                                                             at the heart of our purpose, values and
    supportive and respectful workplaces
                                                                                                          98%          growth strategy. Our aspiration is to mirror
    where the dignity of every associate is                                                                            the diversity of the markets we serve and                              50% led by women globally
                                                    17    87%
    recognized. Our suppliers and system                                                                               to be 50% led by women globally by 2030.
    partners are also expected to embrace           18    89%                                                          We recently announced that, by 2030,                                   U.S. employee population across
    responsible workplace practices.                                                                                   our U.S. employee population across all job                            all job levels will align with census data
                                                    19    92%                                                          levels will align with census data by race                             by race and ethnicity
    In 2003, we set a goal that 98% of our                                                                             and ethnicity.
                                                    20 90%
    company locations and system bottlers

                                                                                                                                                                                              ~$800M
    and 95% of our direct and authorized             Percentage of bottling partners that achieved                     We are committed to increasing
                                                     compliance with our Supplier Guiding Principles
    suppliers will validate compliance                                                                                 transparency and disclosure, and we share
    with our Human Rights Policy and our                                                                               diversity metrics with senior leaders on a
    Supplier Guiding Principles (SGPs) by                                                            20211 GOAL        quarterly basis. Starting with this report,
    the end of 2020. The global pandemic,                                                                 95%          we are publicly providing representation                               spent by the Coca-Cola
    however, interrupted our in-person audit                                                                           by race2 and gender for our overall                                    system with diverse suppliers
    capabilities, leading to a decrease in          17    88%                                                          workforce and leadership, and we are also                              in the U.S. in 2020
    compliance percentages for 2020 and                                                                                providing data submitted to the U.S. Equal
    forcing us to push the goal date to the         18    89%                                                          Employment Opportunity Commission.
    end of 2021. As of Q4 2020, 93% of our
    company-owned facilities, 90% of bottlers       19    91%                                                          READ MORE: Diversity, Equity & Inclusion
    and 87% of suppliers reached compliance         20 87%
    with our Human Rights Policy and SGPs.
                                                     Percentage of direct suppliers that achieved
                                                     compliance with our Supplier Guiding Principles
    READ MORE: Human Rights

                                                     1	The global pandemic forced us to push the goal date from the   2	We are only reporting racial/ethnic data for our U.S. workforce,
                                                        end of 2020 to the end of 2021.                                   since some countries prohibit diversity tracking.

The Coca–Cola Company                                                                                 2020 Business & ESG Report                                                                                                              10
Contents      Chairman   Our Response       Our               Our                 Water            Our Portfolio/     World        Climate     Sustainable     People &       Operations              Data                 Reporting
                  & CEO      to COVID-19   Priorities &        Company             Leadership          Reducing          Without                  Agriculture   Communities      Highlights            Appendix              Frameworks
                 Message                    Progress                                                  Added Sugar        Waste                                                                                                 & SDGs

    Enabling                                                                                                            Giving
    Women                                                                                                               Back

                                                                                                                                                                       $1.2B+
    In 2010, we announced a global initiative                                           2020 GOAL                       The Coca-Cola Foundation is committed
    to enable the economic empowerment of                                                      5M                       to making a difference in communities
    5 million women entrepreneurs by the end                                                                            around the world. The convergence of
    of 2020. This initiative, known as 5by20®,       17   2.4M                                                          the COVID-19 pandemic and urgent calls
                                                                                                                                                                       donated by The Coca-Cola Foundation
    set out to address structural inequalities                                                                          for social justice in the U.S. and beyond
    and economic barriers that women                 18   3.2M                                                          created unprecedented levels of need
                                                                                                                                                                       since its inception in 1984
    entrepreneurs face by providing business                                                                            in 2020. The Coca-Cola Foundation
    skills training, mentoring networks,
                                                     19   4.6M                                                          stepped up its charitable giving and
    financial services and other assets to           20 6M+                                                             donations to respond, contributing
    support women and their businesses.                                                                                 $139.1 million—more than in any previous          1.9%2 of operating income
                                                     Cumulative number of women entrepreneurs
                                                     enabled around the world                                           year—to 432 organizations around the              invested back into local
    In 2013, we expanded the scope of                                                                                   world. Approximately $56 million of those         communities from

                                                     6M+
    5by20 to allow for independent                                                                                      donations targeted COVID-19 relief.               The Coca-Cola Company
    contributions by The Coca-Cola
    Foundation and other partners.                                                                                      READ MORE: Giving Back
                                                                                                                                                                          and The Coca-Cola
                                                                                                                                                                          Foundation—well above our
    By the end of 2020, we surpassed                                                                                                                                      annual goal of 1%.
    our goal, enabling the economic
    empowerment of more than                         We surpassed our goal,                                                In 2020, contributions
    6 million women.                                 enabling more than 6 million                                          totaled $186.1 million
                                                     women by the end of 2020.                                             ($139.1 million from
    READ MORE: Enabling Women
                                                                                                                           The Coca-Cola Foundation
                                                                                                                           and $47.0 million from the
                                                          400,000+1 women enabled                                          The Coca-Cola Company)
                                                          through community water
                                                          stewardship programs

                                                     1	USAID/Global Environment and Technology Foundation (GETF)
                                                        research on water access leading to time savings that is used                                                 2	This percentage was calculated excluding Bottling
                                                        for economic activity.                                                                                           Investments.

The Coca–Cola Company                                                                                  2020 Business & ESG Report                                                                                                         11
Contents               Chairman    Our Response           Our                 Our              Water         Our Portfolio/    World              Climate       Sustainable          People &         Operations          Data         Reporting
                           & CEO       to COVID-19       Priorities &          Company          Leadership       Reducing         Without                          Agriculture        Communities        Highlights        Appendix      Frameworks
                          Message                         Progress                                              Added Sugar       Waste                                                                                                    & SDGs

                                                      At a              How We        Financial          Building a Total        Governance &          Priority           Stakeholder Engagement
                                                     Glance             Operate       Highlights       Beverage Company          Management           ESG Issues               & Partnerships

    At a Glance

    Company Facts                                                                                                                The Coca-Cola System

    135 YEARS                        ATLANTA, GA                        200+                        ~200                         ~225                          ~900                          700K+                          ~30M
    of refreshing the                Global                             Countries and               Master                       Bottling Partners             Bottling                      Employed by the                Retail
    world and making a               Headquarters                       Territories Where Our       Brands                       Worldwide                     Plants                        Company and                    Customer
    difference                                                          Products Are Sold                                                                                                    Bottling Partners              Outlets

    Performance                                                                                     2020 Global Unit Case Volume by Operating Segment

    $33.0B                                         $235.9B                                          23%                          28%                           28%                           18%                            3%
    Net Operating Revenues                         Market Capitalization                            Asia Pacific                 Europe, Middle                Latin                         North                          Global
                                                                                                                                 East & Africa                 America                       America                        Ventures
    (2020, as reported)                            (As of 12/31/2020)

    Our Sustainability Business Priorities                                                          Retail Value                                               Volume Growth

                                                                                                                                                                    Total Company Unit Cases
                                                                                                                                              Emerging
                                                                                                                                                                    (in billions)
                                                                                                    Nutrition, juice,
                                                                                                    dairy & plant
                                                                                                                                              Coca-Cola
    Water                            Reducing                           World
    Leadership                       Added Sugar                        Without Waste
                                                                                                    Hydration,
                                                                                                    sports,
                                                                                                    tea &
                                                                                                    coffee

                                                                                                                                                                     26.7      27.7   28.2   28.6   29.2    29.3   29.2    29.6   30.3   29.0
    Climate                          Sustainable                        People &                    Sparkling
                                     Agriculture                        Communities                 flavors                                                            11       12     13    14     15       16       17    18    19     20

The Coca–Cola Company                                                                                            2020 Business & ESG Report                                                                                                           12
Contents            Chairman         Our Response              Our            Our          Water      Our Portfolio/    World           Climate        Sustainable        People &    Operations     Data      Reporting
                        & CEO            to COVID-19          Priorities &     Company      Leadership    Reducing         Without                        Agriculture      Communities   Highlights   Appendix   Frameworks
                       Message                                 Progress                                  Added Sugar       Waste                                                                                   & SDGs

                                                            At a         How We     Financial        Building a Total      Governance &       Priority        Stakeholder Engagement
                                                           Glance        Operate    Highlights     Beverage Company        Management        ESG Issues            & Partnerships

    How We                                                                                                                THE COCA-COLA SYSTEM¹

    Operate
                                                                                                                                                                  THE                      COMPANY
                                                                                                                                          Concentrates
    The Coca-Cola Company markets,                                                                                                         and Syrups                     INNOVATION, CREATION
    manufactures and sells:                                                                                                                                                   & MARKETING

    •b  everage concentrates and syrups
    • finished beverages (including

                                                                                   ~225
      sparkling soft drinks; nutrition,                                                                                                                                 Finished
      juice, dairy & plant; hydration,                                                                                                                                  Products
      sports, tea & coffee; and emerging                                                                        Bottlers
      categories).                                                            bottling partners
                                                                                 worldwide
    In our concentrate operations,
    The Coca-Cola Company typically

                                                                                   ~900
    generates net operating revenues by
    selling concentrates and syrups to
    authorized bottling partners.

    Our bottling partners combine                                              bottling plants
    the concentrates and syrups with                                             worldwide
    still or sparkling water and sweeteners
    (depending on the product), to                                                                                                          Distribution
    prepare, package, sell and distribute
    finished beverages.

                                                                                                                                              1.9B
    Our finished product operations consist
    primarily of company-owned bottling,
    sales and distribution operations.
                                                                                                                                            servings a day
    We also operate retail outlets through
    Costa Limited, which has nearly 4,000
    coffeehouses in the United Kingdom,
    China and other markets across Europe,
    Asia Pacific, the Middle East and Africa.
    The company’s portfolio also includes a
    coffee vending business, at-home coffee
                                                                                                                                     Customers & Consumers
    solutions and a roastery.

    1 T
       he Coca‑Cola Company and its bottling partners are
      collectively known as the Coca-Cola system. The Coca‑Cola
      Company does not own, manage or control most local
      bottling companies.

The Coca–Cola Company                                                                                     2020 Business & ESG Report                                                                                          13
Contents             Chairman               Our Response          Our                  Our               Water            Our Portfolio/    World         Climate        Sustainable       People &        Operations           Data      Reporting
                         & CEO                  to COVID-19      Priorities &           Company           Leadership          Reducing         Without                      Agriculture     Communities       Highlights         Appendix   Frameworks
                        Message                                   Progress                                                   Added Sugar       Waste                                                                                          & SDGs

                                                               At a         How We              Financial             Building a Total        Governance &      Priority        Stakeholder Engagement
                                                              Glance        Operate             Highlights          Beverage Company          Management       ESG Issues            & Partnerships

    Financial Highlights

                                                                                                                                                                                           2018                          2019                       2020
    (In millions except per share data)

    Summary of Operations

    Net operating revenues                                                                                                                                                         $   34,300                   $   37,266                  $   33,014

    Consolidated net income                                                                                                                                                               6,476                         8,985                       7,768

    Net income attributable to shareowners of The Coca-Cola Company                                                                                                                       6,434                         8,920                       7,747

    Per Share Data

    Basic net income                                                                                                                                                                   $    1.51                    $    2.09                   $    1.80

    Diluted net income                                                                                                                                                                     1.50                          2.07                        1.79

    Cash dividends                                                                                                                                                                         1.56                           1.60                       1.64

    Balance Sheet Data

    Total assets                                                                                                                                                                   $   83,216                   $   86,381                  $   87,296

    Long-term debt                                                                                                                                                                     25,376                           27,516                  40,125

                                          18     5%                        18      7%                                                             18   13%                                         18   73%
                                          19     6%                        19      13%                                                            19   9%                                          19   96%
    20 –9%                                                                 20 0%                                                              20 –2%                                               20 108%

    Organic Revenue Growth1                                                Operating Income Growth2                                           Diluted Net Income Per Share Growth3                 Adjusted Free Cash Flow Conversion Ratio 4

    1 O
       rganic revenue is a non-GAAP financial measure. Reported                net income per share declined 13% and grew 38% and 419% for                                                        For more Financial Data, see the
      net operating revenues declined 11%, grew 9% and declined 5%              the years ended Dec. 31, 2020, 2019 and 2018, respectively.
      for the years ended Dec. 31, 2020, 2019 and 2018, respectively.      4 A
                                                                              djusted free cash flow conversion ratio = free cash flow
                                                                                                                                                                                                   Data Appendix.
    2 R
       eflects comparable currency neutral operating income, which          adjusted for pension contributions divided by net income
      is a non-GAAP financial measure. Reported operating income             adjusted for noncash items impacting comparability. Adjusted
      declined 11% and grew 10% and 18% for the years ended Dec. 31,         free cash flow conversion ratio is a non-GAAP financial
      2020, 2019 and 2018, respectively.                                     measure.
    3 R
       eflects comparable currency neutral diluted net income per         Note: See page 63 for a reconciliation of non-GAAP financial
      share, which is a non-GAAP financial measure. Reported diluted       measures to our results as reported under GAAP.

The Coca–Cola Company                                                                                                         2020 Business & ESG Report                                                                                                    14
Contents      Chairman   Our Response         Our            Our          Water      Our Portfolio/     World         Climate       Sustainable     People &     Operations     Data      Reporting
                  & CEO      to COVID-19     Priorities &     Company      Leadership    Reducing          Without                     Agriculture   Communities    Highlights   Appendix   Frameworks
                 Message                      Progress                                  Added Sugar        Waste                                                                              & SDGs

                                            At a        How We     Financial        Building a Total      Governance &     Priority        Stakeholder Engagement
                                           Glance       Operate    Highlights     Beverage Company        Management      ESG Issues            & Partnerships

    Building a Total                                                                                     In 2020, we announced plans to reorganize our company
                                                                                                         and establish a portfolio of drinks that would be best positioned

    Beverage Company
                                                                                                         to grow in a fast-changing marketplace. As part of this new,
                                                                                                         networked global organization, we have reduced the number
                                                                                                         of master brands to approximately 200. We are curating a tailored
                                                                                                         collection of global, regional and local brands with the greatest
                                                                                                         potential to scale and grow.

         We reorganized our beverage lineup
         into five categories:

    Coca-Cola                              Sparkling                                Nutrition, Juice,                        Hydration, Sports,                       Emerging
                                           Flavors                                  Dairy & Plant                            Tea & Coffee

The Coca–Cola Company                                                                    2020 Business & ESG Report                                                                                      15
Contents        Chairman     Our Response         Our             Our             Water      Our Portfolio/     World            Climate      Sustainable       People &        Operations        Data         Reporting
                    & CEO        to COVID-19     Priorities &      Company         Leadership    Reducing          Without                       Agriculture     Communities       Highlights      Appendix      Frameworks
                   Message                        Progress                                      Added Sugar        Waste                                                                                           & SDGs

                          Innovating to Become a Total Beverage Company

    Since its birth at a soda fountain                     In 2020, we announced plans to reshape                 flavored sparkling water, Topo Chico                    and finding new ways to deliver our
    in downtown Atlanta in 1886,                           our beverage portfolio and transition                  Hard Seltzer and Coca-Cola Energy.                      products, such as the Wabi mobile app.
    The Coca-Cola Company has grown                        from 400 master brands to approximately                The portfolio reset also better positions
    through innovation. The company’s                      200—the ones that are best positioned                  us to nurture local innovations and propel
    iconic drink went from the fountain                    for growth and scale. We’re challenging                successful regional brands to the global                   “Our goal is to converge on
    into bottles before entering markets                   ourselves to think differently about                   marketplace.                                                 disruptive innovations that are
    around the United States—and,                          our brands, identifying the greatest                                                                                going to move the needle—not just
    eventually, the world.                                 opportunities and prioritizing our                     Our innovation teams are focused on                          in the marketplace, but at a scale
                                                           investments and resources.                             creating drinks that fit into our consumers’                 that’s relevant to The Coca-Cola
    More than a century later, we’re still                                                                        lives, including categories such as                          Company.”
    committed to innovation while staying                  Discontinuing some brands allows us to                 enhanced hydration and plant-based
    focused on our Beverages for Life                      invest in growing trademarks like Minute               drinks. And our innovation lens isn’t                       JAMES QUINCEY
    ambition to provide drinks for every                   Maid and Simply and to put more weight                 only focused on beverages—we’re                             Chairman and Chief Executive Officer
                                                                                                                                                                              The Coca-Cola Company
    occasion.                                              behind promising innovations like AHA                  also innovating packaging solutions

    AHA                                        Costa Coffee Ready-to-Drink                                                              Coca-Cola® with Coffee                       smartwater+

    Launched in 2020, our new line of          Following the successful 2019 launch         by consumers for the last 50 years.         Our breakthrough innovation, which           In early 2021, we launched this
    sparkling water comes in eight flavors     of Costa Coffee’s ready-to-drink cold        The beans that go into this blend are       sips like a Coke and finishes like a         new line of premium waters with
    with no sweeteners, no calories and        coffee in a can in both the UK and           always Rainforest Alliance certified—       coffee, piloted in Japan in 2018 and         unique ingredients and flavor
    no sodium. Some of them include            Poland, 2020 has seen the category           whether they are served in a can,           is now available in nearly 50 markets        extracts, such as ginseng and green
    a spark of caffeine. The brand also        continue to grow. The brand has              bottle, cup or pod.                         worldwide. It also has zero-sugar            tea, dandelion and lemon, and
    unveiled two new flavors in early          launched its range into markets                                                          options and is available in flavors such     ashwagandha (an ancient herb)
    2021: Raspberry + Acai and Mango +         including Switzerland, Ireland and                                                       as vanilla and caramel.                      and tangerine.
    Black Tea. In the fast-growing flavored    Costa’s second biggest market, China.
    unsweetened sparkling water
    category in North America,                 Within its first year, the ready-to-drink
    AHA showed strong results in its           range delivered strong performance.
    first year, carving out a market share     In China, ready-to-drink has helped
    of about 8% and outperforming              accelerate the Costa brand by
    competitors.                               creating opportunities to reach
                                               consumers in new coffee occasions—
                                               with distribution continuing to
                                               expand. In 2021, a strong new product
                                               development pipeline will build on
                                               the core range currently on offer.

                                               Costa Coffee’s ready-to-drink is made
                                               with the brand’s Signature Mocha
                                               Italia Blend; a recipe developed by
                                               the Costa brothers in 1971 and loved

                                                                                                                                                                          Read more stories            1   2   3 4 5 6

The Coca–Cola Company                                                                            2020 Business & ESG Report                                                                                                   16
Contents      Chairman    Our Response         Our            Our          Water      Our Portfolio/    World                Climate           Sustainable             People &    Operations        Data        Reporting
                  & CEO       to COVID-19     Priorities &     Company      Leadership    Reducing         Without                                Agriculture           Communities   Highlights      Appendix     Frameworks
                 Message                       Progress                                  Added Sugar       Waste                                                                                                     & SDGs

                                             At a        How We     Financial        Building a Total     Governance &              Priority            Stakeholder Engagement
                                            Glance       Operate    Highlights     Beverage Company       Management               ESG Issues                & Partnerships

    Governance & Management
    Corporate Governance                                The Committee reviews, at least annually,         For more about our approach to risk
                                                        all shareowner proposals, public policy           management and priority issues, see
                                                                                                                                                                                  Read about some of our recent
    At The Coca-Cola Company, our sound                 advocacy efforts, political contributions         Our Priority ESG Issues.
                                                                                                                                                                                  public policy initiatives, particularly
    business principles and practices foster            and charitable contributions to ensure
                                                                                                                                                                                  around waste reduction and climate
    an innovative and collaborative culture,            alignment with company policy. The
                                                                                                          Our Approach to Disclosure                                              change.
    which is committed to ethical behavior,             Committee reports regularly to the full
    accountability and transparency. The                Board on these matters. The Committee
    company’s Board of Directors has a                  also receives periodic updates on priority        We aim to provide stakeholders
    number of committees to assist in                   ESG issues, including information on              with complete, transparent and
                                                                                                          candid information in all our public                                 Political Contributions
    discharging its duties. These include               actions and progress toward goals.
    an Audit Committee, a Talent and                    Annually, the Committee conducts a                communications. This is our third annual
                                                                                                          Business & ESG Report, which combines                                The ESG & Public Policy Committee of our
    Compensation Committee, a Committee                 self-evaluation, which it presents to                                                                                  Board of Directors annually reviews and
    on Directors and Corporate Governance,              the full Board.                                   our financial data and sustainability
                                                                                                          progress and performance into one                                    approves our advocacy efforts, including
    a Finance Committee, a Management                                                                                                                                          all U.S. political contributions from both
    Development Committee, an ESG                       Our Board’s Talent and Compensation               publication. We also respond to the CDP
                                                                                                          climate and water questionnaires and                                 Political Action Committee (PAC) funds
    and Public Policy Committee and an                  Committee oversees human capital                                                                                       and, where allowed by applicable law, the
    Executive Committee. The charter for                management policies and strategies                make those disclosures publicly available.
                                                                                                          For this report, we have updated our                                 company’s general treasury funds. We
    each committee can be viewed on our                 across the company. This senior-level                                                                                  have always taken a bipartisan approach
    website. Information about the company’s            commitment and alignment drives the               priority issues matrix and continued
                                                                                                          to expand our disclosure, including around                           to political contributions, and we have
    corporate governance, including our                 top-down effect of ensuring company                                                                                    always evaluated our giving based on
    Code of Business Conduct, Corporate                 leaders are invested in building                  public policy, supply chain, and diversity,
                                                                                                          equity and inclusion. We also provide an                             our political engagement criteria, which
    Governance Guidelines, Certificate of               accountability.                                                                                                        we share publicly. Last year we updated
    Incorporation and Bylaws, is also on                                                                  index to the Task Force on Climate-related
                                                                                                          Financial Disclosures.                                               our political giving policy to ensure we
    our website. For more information or to                                                                                                                                    are evaluating a broader range of criteria.
    contact us, visit our website.                      Our ESG Approach Across
                                                                                                                                                                               Following the violent events that unfolded
                                                        the Coca-Cola System                              We recognize that there is a need
                                                                                                          for standardization across reporting                                 in the U.S. Capitol on January 6, 2021,
                                                                                                                                                                               The Coca-Cola Company and the
    ESG Governance                                      We pursue our ESG goals through a                 frameworks, and we’re continually
                                                                                                          evaluating reporting options and listening                           Coca-Cola Political Action Committee
                                                        concerted effort by The Coca-Cola
                                                                                                          to stakeholder feedback.                                             suspended political giving to further
    The Board’s ESG and Public Policy                   Company and approximately 225 bottling
                                                                                                                                                                               review how we best use our resources to
    Committee assists the Board in                      partners in more than 200 countries
                                                                                                          We have a robust reporting process                                   promote and advocate for the things we
    overseeing the company’s policies                   and territories. We aim to achieve
                                                                                                          that spans many years. This report is                                believe in and align with our company’s
    and programs and related risks to the               our ambitious goals to drive system1-
                                                                                                          prepared in accordance with the Global                               purpose and values. That review is still
    company that concern environmental,                 wide change. We have robust internal
                                                                                                          Reporting Initiative (GRI) Standards, a                              under way. Information on our political
    social, legislative, regulatory and                 processes and an effective internal
                                                                                                          globally recognized framework, and this                              contributions from the last few years is
    public policy matters, including progress           control environment that facilitate
                                                                                                          is the tenth year that these principles                              available on our website.
    against the company’s ESG goals.                    the identification and management of
    The Committee’s scope includes public               risks and regular communication with              have informed our reporting process.
    issues of significance that may affect the          the Board, our Chairman and CEO and               For more information about disclosure
                                                                                                                                                                                  The Coca-Cola Company was
    company’s business, our shareowners,                internal teams such as the Enterprise             in this report, please see the Reporting
                                                                                                                                                                                  recognized as a trendsetter
    the broader stakeholder community or                Risk Management team and Risk Steering            Frameworks. We also provide an index for
                                                                                                                                                                                  in political disclosures and
    the general public. This entails evaluating         Committee. Beyond this, our Stakeholder           the Sustainability Accounting Standards
                                                                                                                                                                                  accountability in the 2020 CPA-
    and reviewing information pertaining                Engagement function works with                    Board (SASB), and Coca-Cola participates
                                                                                                                                                                                  Zicklin Index, which is produced
    to social, political and environmental              business units, bottling partners, NGOs,          in the SASB Advisory Group.
                                                                                                                                                                                  annually by the Center for Political
    trends, with oversight over ESG goals               governments and people in communities             1 T
                                                                                                             he Coca-Cola Company and its bottling partners are
                                                                                                                                                                                  Accountability.
    and human rights practices.                         all around the world to identify risks              collectively known as the Coca-Cola system. The Coca-Cola
                                                                                                            Company does not own, manage or control most local
                                                        and progress toward our goals.                      bottling companies.

The Coca–Cola Company                                                                     2020 Business & ESG Report                                                                                                            17
Contents       Chairman     Our Response         Our                              Our                 Water            Our Portfolio/       World                Climate           Sustainable         People &        Operations              Data              Reporting
                   & CEO        to COVID-19     Priorities &                       Company             Leadership          Reducing            Without                                Agriculture       Communities       Highlights            Appendix           Frameworks
                  Message                        Progress                                                                 Added Sugar          Waste                                                                                                                 & SDGs

                                               At a                        How We          Financial              Building a Total            Governance &             Priority            Stakeholder Engagement
                                              Glance                       Operate         Highlights           Beverage Company              Management              ESG Issues                & Partnerships

    Our Priority ESG Issues
    Focusing on the highest-priority ESG
    issues for our company, system and
    stakeholders is a foundational step
    in how we conduct business and
    develop our corporate strategy.                                                                                                                                                                           Water Stewardship                  Packaging
                                                                                                                                                                                 Product Preferences,
    It is also foundational to how we                                                                                                                                            Health & Added Sugar

    evolve and report on our business
    and our ESG efforts. During 2019,
    we undertook a thorough review of                                                                                                                        Greenhouse
                                                                                                                                                           Gas Emissions
    our priority issues in collaboration
    with a cross-functional internal                                                                      Scarcity of
                                                                                                                                                                                                Economic
                                                                                                       Ingredients &
    team and key external stakeholders.                                                               Raw Materials
                                                                                                                                                                                               Downturns &
                                                                                                                                                                                                Periods of
    These stakeholders represented
                                                 Concern to Stakeholders

                                                                                                                                                                                               Uncertainty    Adapting &
    deep expertise across a range of                                                                                                                  Diversity, Equity &                                     Thriving in the Digital
                                                                                                                                                                Inclusion
    issues and sectors, including NGOs,                                                                                                                                            Human &                    Environment 1

    academia, some of our business                                                                                                                                          Workplace Rights

    partners, customers and beyond.
                                                                                                                          Social Unrest &
    We were guided by BSR, a leading                                                                                      Rising Inequality
    sustainability NGO.                                                                                                                                             Climate Change
                                                                                                                                                                    Risk & Resilience
                                                                                                          Deforestation
    In light of the COVID-19 pandemic                                                                                              Product Safety &                                 Changing Competitive
    and the increased spotlight on                                                                          Manufacturing              Quality                                      Environment
    social justice in the United States                                                                     Waste
                                                                                                            Management
    and around the world in 2020,
    we reviewed our assessment to                                                                                                       Political Uncertainties &
    determine if any of the priority                                                                                                           Regulation

    issues had shifted. Cross-functional                                   Competition for Talented         Third-Party Service
                                                                                                                                                      Information Protection &
    teams including our ESG,                                                  Employee Resources            Providers & Business
                                                                                                                                                      Cybersecurity
                                                                                                            Partners
    risk and public policy functions,
    along with our external partner
    BSR, evaluated the prior year’s                                                                                                    Current or Potential Impact to the Coca-Cola System
    assessment to determine if we
    should adjust any issue prioritization
    for current or potential impact to
    the Coca-Cola system. We leveraged        Many issues remained high priorities                                 events such as recessions                            inequality, further exacerbated                    process. Analyzing our priority
    market research and BSR’s expertise       since our last analysis, but we                                      and pandemics, and 2020 clearly                      by COVID-19, also increased in                     issues on a regular basis ensures
    to update stakeholder expectations.       noted an evolution in stakeholder                                    demonstrated that this was                           priority on the matrix. Lastly,                    that we take into consideration
                                              expectations and potential impacts                                   of increasing importance for                         GHG emissions shifted due to                       the changing social, environmental
    As a result, we have adjusted key         to our business in these several                                     both stakeholders and the                            increased expectations from                        and economic context as we
    issues on the matrix to better            areas. For example, adapting and                                     Coca-Cola system.                                    stakeholders and importance in                     continue to evolve our business.
    reflect current priority issues. Those    thriving in a digital environment                                                                                         our own operations, as underscored
    adjusted were: economic downturns         rose in importance for stakeholders                                  Meanwhile, the multiple social                       by our risk assessments and
    and periods of uncertainty; diversity,    and also became even more critical                                   injustices witnessed globally in                     climate scenario planning.
    equity and inclusion; social unrest       to our business, as has been                                         2020 underscored diversity, equity
    and rising inequality; greenhouse         demonstrated by the pandemic                                         and inclusion’s importance to                        Both the 2019 analysis and the
    gas (GHG) emissions; and adapting         impacts. Economic downturns and                                      stakeholders and impact to our                       2020 refresh are aligned with                      1	In our 2019 report, this issue was named “Digital
                                                                                                                                                                                                                              Disruption.” It has been updated to “Adapting and
    and thriving in a digital environment.    periods of uncertainty includes                                      business. Social unrest and rising                   our Enterprise Risk Management                        Thriving in the Digital Environment.”

The Coca–Cola Company                                                                                                     2020 Business & ESG Report                                                                                                                              18
Contents      Chairman    Our Response         Our            Our          Water      Our Portfolio/    World         Climate        Sustainable     People &     Operations       Data        Reporting
                  & CEO       to COVID-19     Priorities &     Company      Leadership    Reducing         Without                      Agriculture   Communities    Highlights     Appendix     Frameworks
                 Message                       Progress                                  Added Sugar       Waste                                                                                   & SDGs

                                             At a        How We     Financial        Building a Total     Governance &      Priority        Stakeholder Engagement
                                            Glance       Operate    Highlights     Beverage Company       Management       ESG Issues            & Partnerships

    Stakeholder                                         to drive collective action and build shared
                                                        opportunities for people and communities
                                                                                                          highlighted the interconnected nature
                                                                                                          of our world. It has demonstrated the
                                                                                                                                                             priorities assessments, which are
                                                                                                                                                             used to inform sustainability strategy,

    Engagement &                                        around the world.                                 pressing need for systemic change
                                                                                                          and created a greater sense of urgency
                                                                                                                                                             engagement, reporting and disclosure.
                                                                                                                                                             When engaging with stakeholders, we

    Partnerships
                                                        Multi-stakeholder collaboration is                for businesses to move the needle                  apply the principles of transparency,
                                                        especially critical if we intend to make          on environmental, social and governance            inclusiveness, consistency and
                                                        significant strides toward eliminating            initiatives. The pandemic also further             accountability to promote positive
                                                        plastic waste, reducing carbon emissions,         underscored the intersection of                    impact and create a virtuous cycle of
    At The Coca-Cola Company, we                        ensuring access to clean water and                The Coca-Cola Company’s own                        collaboration.
    believe that companies must play                    achieving racial equity. Throughout this          sustainability goals amidst the converging
    a role in creating the systemic                     report, we seek to demonstrate our                crises of climate change, social inequality        We take a similar collaborative,
    change necessary to achieve a                       ambition and leadership in the industry,          and economic uncertainty.                          multi-stakeholder approach to our efforts
    more just and equitable society,                    using our leverage on the most pressing                                                              to promote systemic change through
    a more sustainable economy                          global challenges that require broad              We are committed to engaging proactively           public policy.
                                                        collective action.                                with partners and stakeholders in all
    and a healthier planet.
                                                                                                          of the countries in which we operate.              READ MORE: Public Policy feature
                                                        If the COVID-19 pandemic has taught us            The insights and feedback of our key
    We also believe that businesses,
                                                        anything, it is that we cannot act alone.         stakeholders inform our sustainability
    governments, NGOs and civil society can
                                                        The deep vulnerabilities exposed have             strategy across our goals. Stakeholder
    achieve effective outcomes when working
                                                        been a moment of convergence that has             feedback is also fundamental to our
    together through meaningful partnerships

                                                                                                                                                             Learn about some of the other partnerships
                                                                                                                                                             we’ve formed or joined to make an impact

                            Key Partnership Events                                                                                                           on important issues including water, sugar
                                                                                                                                                             reduction, waste, climate and sustainable
                                                                                                                                                             agriculture.
                            The following are just some of the key events we participated in during 2020.

    WORLD ECONOMIC FORUM                                UN GLOBAL COMPACT                                 HUMAN RIGHTS CONFERENCE                            CERES

    At the World Economic Forum’s Annual                Each year, through the UN Global                  In October, we hosted (virtually) our              Also in October, Chairman and CEO
    Meeting in January, our Chairman and CEO            Compact, we participate in a range of             12th annual Business & Human Rights                James Quincey helped to unveil the
    and leaders of our sustainability teams             events surrounding the United Nations             Conference, in partnership with the                Ceres’ Roadmap 2030, a 10-year action
    met with leaders across government,                 General Assembly, including ESG-focused           U.S. Council for International Business,           plan for sustainable business leadership
    the private sector and civil society,               panel discussions. This year, it was held         the U.S. Chamber of Commerce and                   that aims to stabilize the climate, protect
    speaking on the role that corporations              virtually in September, and we were               the International Organization of                  water and natural resources, and build
    can play on critical issues ranging from            pleased to join more than 1,200 CEOs from         Employers. Michelle Bachelet, the UN               a just and inclusive economy. Quincey
    packaging waste reduction to water                  other companies in over 100 countries             High Commissioner for Human Rights,                called the roadmap “a bold action plan
    scarcity. Following that, as meetings               to sign the Statement from Business               presented the keynote address.                     for companies to grow and strengthen
    moved to a virtual format, we participated          Leaders for Renewed Global Cooperation,                                                              their businesses while taking on critical
    in a range of Forum events including the            supporting the UN mission and inclusive                                                              environmental and social issues.”
    Virtual Oceans Dialogue.                            multilateralism.

The Coca–Cola Company                                                                     2020 Business & ESG Report                                                                                          19
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