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Carbon Footprint in the Sweetener Sector - Sweetener Users ...

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<strong>Carbon</strong> <strong>Footpr<strong>in</strong>t</strong> <strong>in</strong> <strong>the</strong><br />

<strong>Sweetener</strong> <strong>Sector</strong><br />

Monday, February 22, 2010<br />

Miami, Florida


What is Dom<strong>in</strong>o Foods and our<br />

affiliates do<strong>in</strong>g?<br />

Agriculture<br />

Manufactur<strong>in</strong>g<br />

Packag<strong>in</strong>g<br />

Supply Cha<strong>in</strong><br />

Market<strong>in</strong>g


Company Overview<br />

Florida Crystals Corporation and <strong>the</strong> Sugar Cane Growers Cooperative have created <strong>the</strong> first fully <strong>in</strong>tegrated<br />

®<br />

sugar cane company <strong>in</strong> North America, tak<strong>in</strong>g products from field to shelf. The addition of <strong>the</strong> Dom<strong>in</strong>o , C&H ,<br />

®<br />

and Redpath brands has created a North American distribution capability.<br />

®<br />

Farm<strong>in</strong>g<br />

Ref<strong>in</strong><strong>in</strong>g<br />

Consumer Goods<br />

®<br />

Farms 180,000 acres <strong>in</strong> South<br />

Florida<br />

Operates 2000 pieces of farm<br />

equipment<br />

Crop is harvested between<br />

October and April<br />

Uses rice for crop rotation<br />

Operates three sugar mills and a<br />

rice mill<br />

Mills process 800,000 tons of raw<br />

sugar annually<br />

Operates ref<strong>in</strong>eries <strong>in</strong> New York,<br />

Baltimore, South Florida, New<br />

Orleans, San Francisco, Toronto<br />

Operates a 130 Megawatt<br />

cogeneration plant<br />

Produces more than 3,000,000<br />

tons of ref<strong>in</strong>ed sugar annually<br />

®<br />

®<br />

®<br />

Only sugar supplier with national brands<br />

Distribution channels <strong>in</strong>clude<br />

Ingredients, Food Service and Grocery<br />

customers<br />

Produces more than 1500 SKUs of both<br />

branded and private label products<br />

First Sugar Cane Company to produce<br />

certified organic sugar<br />

®<br />

Produces a full l<strong>in</strong>e of rice products,<br />

<strong>in</strong>clud<strong>in</strong>g half of all <strong>the</strong> rice consumed <strong>in</strong><br />

South Florida<br />

®


Our North American <strong>Footpr<strong>in</strong>t</strong>


Sugar Cane<br />

Environmentally Friendly<br />

Potential of 1 acre of Sugar Cane<br />

1. Displaces 4 tons of CO2<br />

2. Yields 4.5 tons of sugar<br />

3. Yields 800 gallons of ethanol<br />

4. Yields 10,000 KW of electricity


Florida Agricultural<br />

Operations<br />

Largest Biomass-to<br />

to-Electricity<br />

Facility <strong>in</strong> <strong>the</strong> Country<br />

One of <strong>the</strong> Largest Facilities <strong>in</strong> <strong>the</strong><br />

World


We Grow Our Energy Everyday!


Manufactur<strong>in</strong>g<br />

Energy Utilization<br />

Air Emissions<br />

Water management<br />

Waste Stream Management *<br />

* Goal is to divert over 2 million<br />

pounds per year from landfills


Energy needed to produce a<br />

“DRY PRODUCT”<br />

Total Spend for Fuel = $85,000,000<br />

Total Clean Water Used = 7,500,000<br />

gal/day<br />

@ 50% = 1,000,000,000 gal/year<br />

Total Raw Water Used = 72,500,000<br />

gal/day<br />

= 18,800,000,000 gal/year<br />

Goal = Energy usage reduction of 2%<br />

each year for 5 years


Packag<strong>in</strong>g<br />

Pouches – conversion to 100%<br />

recyclable material<br />

Reduce basis weight of fold<strong>in</strong>g cartons<br />

Reduce basis weight of all corrugate<br />

Package redesigns for warehouse and<br />

stag<strong>in</strong>g efficiencies


Supply Cha<strong>in</strong><br />

Consolidate Shipments<br />

Used tires are recycled (farm<strong>in</strong>g)<br />

Fully load all rail cars and bulk & liquid<br />

trucks<br />

Require vendors to have <strong>in</strong>itiatives<br />

Replace older equipment with newer<br />

more efficient equipment


INNOVATION DRIVERS: ‘Better-for-Me’ and<br />

‘Good-for-Me’ Products Cont<strong>in</strong>ue to be a Major<br />

Drivers!<br />

Drivers<br />

Mega Trend<br />

Health Concerns are Ga<strong>in</strong><strong>in</strong>g<br />

Momentum and Increas<strong>in</strong>g <strong>in</strong> Scope<br />

Driven by Obesity, Ag<strong>in</strong>g Populations<br />

and Food Intolerance<br />

Increased Skepticism for<br />

mass production<br />

techniques and food<br />

safety issues<br />

Behavioral Implications<br />

Consumers are avoid<strong>in</strong>g <strong>the</strong><br />

consumption of certa<strong>in</strong><br />

products on <strong>the</strong> basis of<br />

safety, poor nutritional<br />

value, or ethics<br />

Increased focus on <strong>the</strong><br />

<strong>in</strong>clusion of a wide range of<br />

nutrients, as opposed to<br />

avoid<strong>in</strong>g or moderat<strong>in</strong>g<br />

consumption <strong>in</strong>take<br />

Brand Market<strong>in</strong>g<br />

Implications<br />

• Cont<strong>in</strong>ued <strong>in</strong>creased demand for Organic/Natural products<br />

• Products that provide multiple health benefits<br />

• Products that comb<strong>in</strong>e healthy attributes<br />

Retailer Implications<br />

• Health Information will become a key sell<strong>in</strong>g po<strong>in</strong>t<br />

• Assist consumers <strong>in</strong> <strong>the</strong>ir quest for wellness with lifestyle advice, health<br />

promot<strong>in</strong>g and eco-friendly products that address health management<br />

Source: Datamonitor analysis, 2006


The <strong>Carbon</strong>free<br />

® Truth<br />

<br />

Ed<strong>in</strong>burgh Centre for <strong>Carbon</strong> Management (ECCM), Europe’s s premier expert <strong>in</strong><br />

carbon management performed full GHG and Lifecycle Assessments for f<br />

our<br />

sugar production which <strong>in</strong>cluded:<br />

primary <strong>in</strong>puts, farm<strong>in</strong>g, manufactur<strong>in</strong>g and packag<strong>in</strong>g<br />

f<strong>in</strong>al distribution to <strong>the</strong> customer.<br />

<br />

As a direct result of its renewable energy facility, Okeelanta operations o<br />

are<br />

considered carbon neutral on a stand-alone alone basis.<br />

<br />

With a surplus of <strong>in</strong>ternal RECs from renewable energy generation, , we are<br />

actually carbon negative.<br />

<br />

No o<strong>the</strong>r sugar company <strong>in</strong> <strong>the</strong> United States can make this claim. Moreover,<br />

it would be extremely rare to f<strong>in</strong>d any traditional manufactur<strong>in</strong>g company that<br />

can make this claim.


Florida Crystals – Now<br />

<strong>Carbon</strong>free<br />

®<br />

<br />

<br />

<br />

<br />

The first organic/natural sugar certified <strong>Carbon</strong>free® by<br />

<strong>Carbon</strong>Fund.org<br />

Made <strong>in</strong> <strong>the</strong> U.S.A.- grown, harvested and produced <strong>in</strong><br />

Florida<br />

Truly unique basis of <strong>Carbon</strong>free® certification - on our<br />

production of renewable energy (not purchased carbon<br />

offsets)<br />

Earth friendly and uniquely delicious!


Florida Crystals - Partner with <strong>the</strong> Environment<br />

<br />

<br />

<br />

<br />

<br />

We produce CLEAN ELECTRICITY. At Florida Crystals, we use our crops and urban<br />

wood waste as fuel to generate renewable electricity. We own and operate <strong>the</strong> largest<br />

renewable energy facility of its k<strong>in</strong>d <strong>in</strong> North America and one of <strong>the</strong> largest <strong>in</strong> <strong>the</strong> world.<br />

Efficient! ! Sugar cane ranks highest among all cultivated crops at captur<strong>in</strong>g solar<br />

energy <strong>in</strong> reusable form. Our renewable energy facility converts biomass (plant matter)<br />

to electricity. We recycle urban wood and vegetative waste and our leftover sugar cane<br />

fiber, called “bagasse” to produce clean, environmentally-friendly electricity that powers<br />

our sugar operations as well as 60,000 homes.<br />

Eco-friendly!<br />

Because we use local biomass as fuel, our facility elim<strong>in</strong>ates <strong>the</strong> e need for<br />

one million barrels of foreign oil per year. By reduc<strong>in</strong>g <strong>the</strong> use of harmful fossil fuels, we<br />

cut greenhouse gas emissions by hundreds of thousands of tons each year, help<strong>in</strong>g to<br />

reduce global warm<strong>in</strong>g.<br />

Conservation! Each year, we divert 900,000 tons of wood waste from landfills and a<br />

convert this o<strong>the</strong>rwise worthless waste to a valuable product, clean electricity. In do<strong>in</strong>g<br />

so, we conserve valuable landfill space -- 3.5 million cubic yards per year -- <strong>in</strong> urban<br />

communities.<br />

Local Economy! The cost of fuel accounts for 85% of <strong>the</strong> money spent by most power<br />

facilities. S<strong>in</strong>ce our fuel consists of locally grown and harvested sugar cane e fiber and<br />

locally collected recycled wood waste, we <strong>in</strong>vest that money <strong>in</strong> Florida. F<br />

Conversely, most<br />

fossil-fueled fueled power facilities send most of <strong>the</strong>ir money out of <strong>the</strong> state e or out of <strong>the</strong><br />

country.


INNOVATION: Florida<br />

Crystals <strong>Carbon</strong>free<br />

®


New Website – Educat<strong>in</strong>g<br />

<strong>the</strong> Consumer


New Website – Educat<strong>in</strong>g<br />

<strong>the</strong> Consumer

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