Wal-Mart Will Measure Energy to Supply Seven Common Products

NEW YORK, NY, September 24, 2007 (ENS) - The energy it takes to create the DVDs, toothpaste, soap, milk, beer, vacuum cleaners and soda sold in Wal-Mart stores will be precisely measured, the giant retailer announced today.

Wal-Mart Stores has teamed up with the Carbon Disclosure Project to measure the amount of energy used to create these products throughout the Wal-Mart supply chain, including the procurement, manufacturing and distribution process in a pilot program to create opportunities for energy efficiency.

The pilot will focus on these seven product categories because they are ordinary products that customers commonly use, Wal-Mart officials said.

"This is an important first step toward reaching our goal of removing non-renewable energy from the products Wal-Mart sells," said John Fleming, executive vice president and chief merchandising officer, Wal-Mart Stores Division. "This is an opportunity to spur innovation and efficiency throughout our supply chain that will not only help protect the environment but save people money at the same time."

"The partnership between CDP and Wal-Mart is a significant milestone in corporate action to mitigate climate change," said Carbon Disclosure Project Chief Executive Paul Dickinson.

"By engaging its supply chain in the CDP process, Wal-Mart will encourage its suppliers to measure and manage their greenhouse gas emissions, and ultimately reduce the total carbon footprint of Wal-Mart's indirect emissions," he said.

Announcing the partnership today, Fleming said, "Two years ago, our CEO, Lee Scott, made a commitment. He said that Wal-Mart was going to become a more environmentally friendly company. And he laid out three goals: we would be supplied 100 percent by renewable energy; we would create zero waste; and we would sell products that sustain our resources and the environment."

"I'd love to be able to say that today we've accomplished every one of those goals," said Fleming. "But what I can say is that these goals are driving our business and our thinking each and every day."

One supplier, News Corp.'s Twentieth Century Fox Home Entertainment, has already initiated a supply chain analysis of the carbon impact of the production, manufacture and distribution of its DVDs.

More than 20 of Fox's key suppliers embraced the study by supplying detailed information on their energy use and greenhouse gas emissions. Fox found an eagerness among suppliers to share their emissions, initiate projects to reduce their climate impact and save money. The analysis led to an industry standard for measuring the carbon impact of DVDs and instructed the methodology for other consumer packaged goods.

"We are grateful to our suppliers for their input and participation. This is a learning process and the members of this group are pioneers addressing some of the biggest challenges in the world today," said Jim Stanway, senior director of Wal-Mart's Global Supply Chain Initiatives.

"With the help of our suppliers, CDP and other partners, we can better understand the impact of energy and our supply chain."

Wal-Mart Stores, Inc. operates Wal-Mart discount stores, Supercenters, Neighborhood Markets and Sam's Club locations in the United States. The company operates in Argentina, Brazil, Canada, China, Costa Rica, El Salvador, Guatemala, Honduras, Japan, Mexico, Nicaragua, Puerto Rico and the United Kingdom.

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