HESG Goals And Targets

We continue challenging ourselves to take a
forward-looking approach
to our ESG initiatives.

H Health

Tobacco Harm Reduction

£5bn by 2025

in revenue from New Categories
£2.9bn
2025

50m by 2030

consumers of our Non-Combustible products
22.5m
2030

E Environment

Circular Economy

<1% waste to landfill by 2025

% waste sent to landfill from direct operations
Reduced to 4.9%
2025

100% packaging

% reusable, recyclable or compostable by 2025
92%
2025

Water

35% less water use by 2025

33% less water use
2025

100% operations sites Alliance for Water Stewardship certified by 2025

36%
2025

Biodiversity & Ecosystems

Net Zero deforestation by 2025

of managed natural forests in our tobacco, paper and pulp supply chains
94%
2025

No gross deforestation

of primary native forests in our tobacco, paper and pulp supply chains
99.99%

Climate Change

50% CO2e emissions reduction by 2030

across our value chain – comprising Scope 1, 2 & 3 GHG emissions1
22.3%
2030

Net Zero by 2050

across our value chain – comprising Scope 1, 2 & 3 greenhouse gas (GHG) emissions
24%
2050

S Social

Human Rights2

Zero Child Labor

aiming for zero incidents in our Tobacco Supply Chain by 2025
Reduced to .038 Incidents
2025

Monitoring

% farms monitored for child labour in our Tobacco Supply Chain
99.99%

People, Diversity & Culture

Increase to 45% by 2025

proportion of women in management roles
41% women in management roles
2025

Zero Accidents

aiming for zero accidents Group-wide each year

Farmer Livelihoods2

Crop Diversification

% farmers in our Tobacco Supply Chain reported to grow other crops for food or as additional sources of income
92.8%

G Governance

Ethics & Integrity

Ethics SoBC Compliance

aiming for full adherence to our Standards of Business Conduct (SoBC)

Responsible Marketing

Full Compliance

aiming for full compliance with marketing regulations

Notes: 2022 (2021 for Scope 3) metrics with independent limited assurance by KPMG in accordance with ISAE 3000. See BAT ‘Reporting Criteria’ for key terms and definitions, on bat.com/sustainabilityreporting. Environmental and Health & Safety data is reported for the period 1 December 2021 to 30 November 2022. In 2022, BAT changed its CO2e emissions reduction baseline from 2017 to 2020, following SBTi approval of its near-term, 1.5°C-aligned, 2030 reduction target. 1) Compared to 2020 baseline. Comprises 50% reduction in Scope 1, 2 and 50% reduction in Scope 3 GHG (CO2e) emissions. Scope 3 emissions target includes purchased goods and services, upstream transportation and distribution, use of sold products and end-of-life treatment of sold products, which collectively comprised >90% of Scope 3 emissions in 2020. 2) BAT Group goals cover all tobacco used in Group combustibles & THP products (‘tobacco supply chain’). Group metrics, however, derive data from the BAT’s annual Thrive assessment, which includes the Group’s directly contracted farmers and those of its strategic third party suppliers, representing over 80% of the tobacco purchased by volume in 2022 (‘Tobacco Supply Chain’).

This summary includes results for Reynolds American Inc. that further demonstrates our sustainability commitment. Reynolds American Inc. is a wholly owned subsidiary of the global BAT Group and the U.S. parent company of R.J. Reynolds Tobacco Company, Santa Fe Natural Tobacco Company, Inc., American Snuff Company, LLC, R.J. Reynolds Vapor Company, and Modoral Brands Inc.

To learn more about BAT, please visit www.BAT.com