The Coca-Cola Company

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The Coca-Cola Company

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1. The Coca-Cola Company Sustainable Refrigeration For Commercial Applications Antoine Azar October 19th, 2009

3. Three Main Areas Of Focus

4. 4 This slide illustrates the FOUR biggest elements of our climate inventory: SME, Packaging, Manufacturing and Fleets. The methodology we use for computing (and/or estimating) these figures is the Greenhouse Gas Protocol (jointly developed by World Resource Institute and the World Business Council for Sustainable Development). That GHG protocol defines three “Scopes” for the emissions inventories: Scope 1 are the organizations direct GHG emissions (on-site emissions such as from combustion of fuels in boilers/generators). Scope 2 are the organizations indirect GHG emissions (emissions associated with purchased electricity or steam). Scope 3 is a voluntary category that includes other indirect emissions which are relevant to the organization’s business and goals. So I will point out that the two biggest categories of emissions that we include in our inventory are Scope 3. (because our customers mostly pay the electricity, and our suppliers embed the carbon I n the packaging we use) And…This slide illustrates the FOUR biggest elements of our climate inventory: SME, Packaging, Manufacturing and Fleets. The methodology we use for computing (and/or estimating) these figures is the Greenhouse Gas Protocol (jointly developed by World Resource Institute and the World Business Council for Sustainable Development). That GHG protocol defines three “Scopes” for the emissions inventories: Scope 1 are the organizations direct GHG emissions (on-site emissions such as from combustion of fuels in boilers/generators). Scope 2 are the organizations indirect GHG emissions (emissions associated with purchased electricity or steam). Scope 3 is a voluntary category that includes other indirect emissions which are relevant to the organization’s business and goals. So I will point out that the two biggest categories of emissions that we include in our inventory are Scope 3. (because our customers mostly pay the electricity, and our suppliers embed the carbon I n the packaging we use) And…

5. No longer purchase new cold-drink equipment using hydro-fluorocarbons in the insulation materials (eliminate direct emissions)… Completed since early 2006. Improve energy efficiency of our cold-drink equipment by 40% to 50% by 2010 (reduce indirect emissions)...On target. Phase out HFC refrigerant where commercially available/viable solutions exists (eliminate direct emissions)… ON GOING with our focus on CO2 technology.

6. Two Primary Sustainability Objectives Direct emissions = release the gas in the atmosphere directly: R134a is 1400 times more potent vs. CO2 Indirect emissions = electrical consumptions: HFC-free technologies (CO2 & HC) are 10% to 15% more efficient vs. current HFCs technologies. HFC-free technologies (CO2 & HC) proved to be, at least, as reliable as HFCs. Direct emissions = release the gas in the atmosphere directly: R134a is 1400 times more potent vs. CO2 Indirect emissions = electrical consumptions: HFC-free technologies (CO2 & HC) are 10% to 15% more efficient vs. current HFCs technologies. HFC-free technologies (CO2 & HC) proved to be, at least, as reliable as HFCs.

7. Refrigerant Selection – Why CO2? As of year 2000, we investigated 3 main technologies: Sterling, HC & CO2. Back in 2004, CO2 have been selected as TCCC’s preferred HFC-free technology based on the following main criteria: Energy efficiency & reliability, Safety & legal constraints, Environmental impact, Acquisition & life cycle cost, Equipment coverage (one single technology globally). In 2009, and to achieve faster HFC-free ramp-up, three years temporary authorization have been granted for the use of hydrocarbon technology in Europe and Japan.

8. Seven main suppliers: Sanden, Sanyo, Danfoss, Embraco, Frigoglass, ISA and VinService. Two to three additional suppliers in 2010. A total of around 75.000 CO2 units already deployed. Around 85.000 by end 2009. Excess of 20,000 hydrocarbon units already placed. By end 2010, the total number will be around 135.000 units. Plans are under evaluation for 2011 and beyond. These units are a mix of single door coolers (majority), double doors, open fronts, vendors and fountain. Field & lab tests showed high reliability and 7% to 15% higher energy performance compared to HFCs, depending on test conditions.

9. Outlook We are committed to a 100% HFC-free future. We are investigating options to re-engineer our supply chain and see how aggressively we can/should continue our scale-up of HFC-free refrigeration technology. That's where we know we need to be if we want to stay true to our beliefs. If we go alone, we risk encountering cost barriers and will not make a substantial difference for the climate. We have taken the lead and are taking on some of the costs only because we hope this is the start of a movement that will push all refrigeration users to move out of HFCs in the near future. This would bring down the cost and have a huge reduction in GHG emissions.

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