Cardinal Health establishes goal to reduce Scope 1 and Scope 2 greenhouse gas emissions 50% by 2030

Rhea-AI Summary

On September 20, 2021, Cardinal Health (NYSE: CAH) announced a goal to reduce Scope 1 and Scope 2 greenhouse gas emissions by 50% by 2030. This commitment aligns with the Paris Agreement's climate goals. The company also plans to validate its Scope 3 emissions targets through the Science-Based Targets initiative. Environmental highlights include powering its global headquarters with renewable energy and expanding its Total Waste Management initiative, achieving significant waste reduction. Cardinal Health aims to enhance diversity by increasing the representation of women and underrepresented groups by 2030.

Positive

• Setting a target to reduce Scope 1 and Scope 2 GHG emissions by 50% by 2030.
• Utilizing renewable energy to power its global headquarters and logistics center by early 2022.
• Achieving a landfill avoidance of 750 tons through its Total Waste Management initiative.

Negative

• None.

DUBLIN, Ohio, Sept. 20, 2021 /PRNewswire/ -- Cardinal Health (NYSE: CAH) today announced it has established a goal to reduce Scope 1 and Scope 2 greenhouse gas (GHG) emissions 50% by 2030.

"We deliver products and services to improve the lives of people every day and our approach to doing business must help protect our planet for future generations," said Mike Kaufmann, CEO at Cardinal Health. "We're operating sustainably and responsibly so we can care for our people and our planet – today, and tomorrow."

Cardinal Health's announced Scope 1 and 2 targets align with what the latest climate science deems necessary to meet the goals of the Paris Agreement – limiting global warming to well-below 2°C above pre-industrial levels and pursuing efforts to limit warming to 1.5°C. Further, the company is assessing its Scope 3 emissions and working towards validation of a comprehensive Scope 1, 2 and 3 science-based target by the Science-Based Targets initiative (SBTi).

"As a global company, we can help create a healthier, more sustainable world," said Sarah Wills, Chief Corporate Affairs Officer at Cardinal Health. "I'm proud of the significant steps Cardinal Health is taking in setting and reporting on our enterprise GHG targets, as well as reducing our impact on the environment."

FY21 Corporate Citizenship Report
This enterprise GHG announcement is associated with the release of Cardinal Health's annual Corporate Citizenship Report today, which highlights certain of the company's ESG priorities and ongoing focus on creating a diverse, inclusive workforce.

Additional FY21 environmental highlights include:

• In 2021, Cardinal Health also announced it will use renewable energy to fully power its global headquarters and its National Logistics Center in Central Ohio, beginning in early 2022. Cardinal Health was one of Central Ohio's three founding partners of Smart Columbus Energy, an initiative of Smart Columbus designed to support the decarbonization of large businesses in the region, which pools customers' energy demands and allows procurement energy from Ohio-based wind and solar projects.
• Continued expansion of the company's Total Waste Management (TWM) initiative, previously initiated in FY20 to simplify and standardize waste management. In FY21, Cardinal Health extended TWM throughout its pharmaceutical distribution, specialty and global logistics businesses, and as a result:
• Increased landfill avoidance by 750 tons – about as much as four locomotives.
• Increased use of Waste-to-Energy, generating 412k kWh, enough to fuel 39 homes for a year.
• Published a report using the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) as a guide. Read the Cardinal Health TCFD report here.

Representation goals for 2030
As previously announced, Cardinal Health has set goals of increasing leadership representation of women and racial and ethnic populations among its workforce by 2030:

• Globally, increased representation of women at the manager level and above to 48% (up from 40%).
• In the U.S., increased representation of African American and Black employees at the manager level and above to 11% (up from 5%).
• In the U.S., increased representation of Asian, Latinx, Indigenous and all other ethnically diverse groups at the manager level and above to 23% (up from 17%).

Cardinal Health is continually refining its recruiting, development, succession planning and retention practices to ensure equitable access and opportunity. For more information on these Diversity, Equity and Inclusion (DE&I) goals, click here. 

Download the full Corporate Citizenship Report and learn more about Cardinal Health's corporate citizenship efforts here.

About Cardinal Health
Cardinal Health is a distributor of pharmaceuticals, a global manufacturer and distributor of medical and laboratory products, and a provider of performance and data solutions for healthcare facilities. With 50 years in business, operations in more than 35 countries and approximately 44,000 employees globally, Cardinal Health is essential to care. Information about Cardinal Health is available at cardinalhealth.com.

Contacts
Media: Erich Timmerman, erich.timmerman@cardinalhealth.com and (847) 887-1487
Investors: Kevin Moran, kevin.moran@cardinalhealth.com and (614) 757-7942

Cautions Concerning Forward-Looking Statements
This new release contains forward-looking statements addressing expectations, prospects, estimates and other matters with respect to our environmental, social and governance (ESG) related actions and initiatives that are dependent on future events or developments.  These statements may be identified by words such as "expect," "anticipate," "aim," "intend," "plan," "believe," "will," "should," "could," "would," "positioned," "project," "continue," "likely," "commit to" or other words or expressions of similar meaning, although not all forward-looking statements contain such terms.  Actual results may differ materially from those projected, anticipated or implied in forward-looking statements due to a variety of factors, including the risks and uncertainties described in our Form 10-K, Form 10-Q and Form 8-K reports and exhibits to those reports. Forward-looking statements in this report may include, without limitation, statements regarding: (i) strategies for implementing ESG-related programs and related plans, targets, and goals; (ii) commitments to climate-related programs and policies; (iii) expectations and priorities for ESG-related initiatives; and (iv) future ESG reporting.  This release reflects management's views as of September 20, 2021.  Except to the extent required by applicable law, we undertake no obligation to update or revise any forward-looking statement.  Forward-looking statements are aspirational and not guarantees or promises that goals, targets, or projections will be met, and no assurance can be given that any commitment, expectation, initiative, or plan in this report can or will be achieved or completed.  Investors are cautioned not to place undue reliance on any forward-looking statements. 

 

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SOURCE Cardinal Health

FAQ

What is Cardinal Health's GHG emissions reduction target for 2030?

Cardinal Health aims to reduce its Scope 1 and Scope 2 greenhouse gas emissions by 50% by 2030.

How is Cardinal Health contributing to sustainable energy initiatives?

Cardinal Health plans to use renewable energy to fully power its global headquarters and logistics center starting in early 2022.

What are Cardinal Health's diversity goals for 2030?

Cardinal Health aims to increase women in leadership to 48% and representation of African American and Black employees to 11% by 2030.

What is the significance of Cardinal Health's Corporate Citizenship Report?

The report highlights the company's ESG priorities and its commitment to sustainability and diversity.

When was Cardinal Health's announcement made?

The announcement was made on September 20, 2021.