Sustainability Scorecard June 6 th, 2012 by Sylwia LaBudde

GOAL Two (2) IOC speaking engagements/year on sustainability (in addition to the stakeholder meetings and FFA requirements of the individual plants) SCORING Ten (10) points for (2) two or more events Zero (0) points for less (2) than two events.

by Sylwia LaBudde GOAL Renew or initiate two (2) IOC Learners to Leaders Programs with an annual sponsorship donation SCORING Ten (10) points for two (2) or more events Zero (0) points for less than two (2) events.

by Sylwia LaBudde GOAL Once (1) per year, on an IOC marketing/business development basis, assess nutritional issues (slat content, low fat, lack of allergens) in designing products to address health and wellness SCORING Ten (10) points for one (1) or more assessment. Zero (0) points if no assessments took place.

by Sylwia LaBudde GOAL Company-wide goal to donate XX servings of product coordinated through Helping Hungry Homes (HHH) – does not include fundraisers 1 serving = 4 oz SCORING Ten (10) points for meeting goal

by Sylwia LaBudde GOAL Sponsor one (1) or more programs aimed at creating health and wellness culture in our communities Long term commitment – does not apply to single events SCORING Ten (10) points for the first program Two (2) points for each additional program – max points 20

GOAL Sponsor one (1) or more programs aimed at creating health and wellness culture within our employee population Long term commitment – does not apply to single events SCORING Ten (10) points for the first program Two (2) points for each additional program – max points 20 by Sylwia LaBudde

GOAL Complete one (1) new packaging reduction project per year SCORING A completed award application with supporting data must accompany incident notification to receive credit Ten (10) points for the first submission Two (2) points for each additional submission – max points 20 by Sylwia LaBudde

GOAL Reduce Notices of Violation to Zero SCORING Negative five (-5) points for each NOV Ten points (10) for Zero NOV's.

by Sylwia LaBudde GOAL Reduce ENERGY (electricity, natural gas, fuel oil) use 10% by May 1, 2016 using FY2008 as the baseline Normalized over production per 100 wt SCORING Ten (10) points for a reduction Zero (0) points for no change or an increase

by Sylwia LaBudde GOAL Reduce WATER ( total ) use 10% by May 1, 2016 using FY2008 as the baseline Normalized over production per 100 wt SCORING Ten (10) points for a reduction Zero (0) points for no change or an increase

by Sylwia LaBudde GOAL Reduce SOLID WASTE ( material to landfill ) 10% by May 1, 2016 using FY2008 as the baseline Normalized over production per 100 wt SCORING Ten (10) points for a reduction Zero (0) points for no change or an increase

by Sylwia LaBudde GOAL Participate in two (2) FFA or education events each year (speak, judge competition, sponsor) SCORING Ten (10) points for two (2) events Five (5) points for one (1) event

by Sylwia LaBudde GOAL Each facility will sponsor one (1) local community clean up event per year Employee participation at the event is required Visibility is the key (community should be aware of our clean up efforts) SCORING Ten (10) points for one (1) event One (1) point for each additional event - max 15 points total

by Sylwia LaBudde GOAL Each facility will participate in one (1) World Water Monitoring Challenge (WWMC) event Intent of the program is to educate and raise public awareness SCORING Ten (10) points for one (1) event Two (2) points for each additional event (not employees) – max 20 points

by Sylwia LaBudde GOAL Maintain a systematic program for animal welfare The program should be based on the AMIF Animal Handling Guidelines and include documented procedures, training, regulatory requirements, expert personnel, supplier expectations, and auditing. SCORING Ten (10) points for a complete program (verify each month) Zero (0) points for an incomplete program

by Sylwia LaBudde GOAL Achieve TQA certification for all live animal truck drivers SCORING Ten (10) points for 100% certification (verify each month) Zero (0) points for less than 100% certification (scoring may change)

by Sylwia LaBudde GOAL Achieve PQA Plus certification (including site assessments) for all live animal suppliers. SCORING Ten (10) points for 100% certification (verify each month) Zero (0) points for less than 100% certification (scoring may change)

by Sylwia LaBudde GOAL Meet or exceed Smithfield Foods benchmark DAW & DART rates based on annual results (previous calendar year – NOT fiscal) Must match what was reported to OSHA ( do not adjust once reported) SCORING One (1) point for each 10% progress towards a set goal - max 10 points total

by Sylwia LaBudde GOAL 10 hour general industry training by all safety personnel onsite (minimum 1 per location) Responsible for day-to-day management of safety Cannot be corporate personnel SCORING Partial credit (10/12) for each month that training was completed – max 10 points total

by Sylwia LaBudde GOAL Regular Safety Roundtable meetings at each facility SCORING Partial credit (10/12) for each month that meetings were held – max 10 points total

by Sylwia LaBudde GOAL Increase employee engagement to 25% by FY2015 Does NOT include the % of employees trained on safety topics Report actual engagement numbers (NOT % from the Safety Scorecard) SCORING Two (2) points for each 5% participation up to 25% One (1) point for each 15% over 25% - max 15 points total

by Sylwia LaBudde GOAL No product recalls of any type SCORING Ten (10) points for no product recalls Negative ten (-10) points for each recall

by Sylwia LaBudde GOAL Obtain 100% Global Food Safety Initiative (GFSI) certification SCORING Ten (10) points for 100% certification (verify each month) Zero (0) points for no certification.

by Sylwia LaBudde GOAL Obtain 100% USDA Process verified certification SCORING Ten (10) points for 100% certification (verify each month) Zero (0) points for no certification.

by Sylwia LaBudde GOAL Review annually to assure a wide variety of products for different diets and needs SCORING Ten (10) points annually when goal is met

by Sylwia LaBudde GOAL Conduct at least two (2) meetings per year with community stakeholders to highlight sustainability programs and obtain input Must present information on our Sustainability program One (1) organization per FY (no credit for repeated meetings with the same group) SCORING Ten (10) points for two (2) or more meetings Five (5) points for one (1) meeting

by Sylwia LaBudde GOAL Each facility to submit at least one (1) project each year for the Smithfield Foods Environmental Awards Program SCORING Ten (10) points for one (1) project One (1) point for each additional submission - max 15 points total

by Sylwia LaBudde GOAL Each facility to submit at least one (1) project to a third-party state or trade association environmental/sustainability awards program SCORING Ten (10) points for one (1) project Two (2) points for each additional submission - max 20 points total

by Sylwia LaBudde Individual locations Goals being scored Individual locations overall scores (100% if minimum requirements are met) Scores for individual goals

by Sylwia LaBudde

QUESTIONS? by Sylwia LaBudde Sustainability Scorecard June 6 th, 2012