1、2019 BUSINESS ChiefExecutiveOfficerand ManagingPartner,WEFamilyOffices James Quincey 4 ChairmanandChiefExecutiveOfficer Caroline J. Tsay 1, 7 ChiefExecutiveOfficerandDirector, ComputeSoftware,Inc. David B. Weinberg 1, 6 ChairmanandChiefExecutiveOfficer, JuddEnterprises,Inc. BOARD OF DIRECTORS “ TheC

2、oca-ColaCompanyisbuiltforlong-term success.Thecompanyhasenduredchallenging historicalmomentsbeforebyremaininggrounded in its values. Today, our world is in one of those moments. Our Board of Directors is proud of thewaythemanagementteamismakingdecisions andleadingthroughthesetimes.Wearealso proudoft

3、heprogressthecompanyhasmadein the past decade, which has put us on a path to meettheneedsoftoday.Thecompanyisguided by purpose: to refresh the world and make a difference.Duringchallengingtimes,welearn, actandreflecttokeeppreparingforthefuture. Whenwefaceshort-termchallenges,we persevereitsinourheri

4、tage.” Maria Elena Lagomasino Lead Independent Director * RonaldW.Allenisnotstandingforreelection and will retire from the Board immediately following the2020AnnualMeetingofShareowners. 1. AuditCommittee 2. CommitteeonDirectorsand Corporate Governance 3. TalentandCompensationCommittee 4. ExecutiveCo

5、mmittee 5. FinanceCommittee 6. ManagementDevelopmentCommittee 7. PublicPolicyandSustainabilityCommittee Our Company Chairman however,thesearenotincludedinthemetric. EMPOWERING WOMEN Our 5by20 commitment to enable the economic empowerment of 5 million women entrepreneurs across our global value chain

6、 by2020isontracktoreachitstarget.Asof the end of 2019, the program has empowered over4.6millionwomen.Firstannouncedin 2010, the initiative sponsors programs that address business barriers faced by female entrepreneursaroundtheworld.In2019, we enabled the empowerment of 1,323,167 womena 53% increase

7、over the previous year.Wecollaboratewithgovernmentsand NGO partners to build and execute locally relevant programs, scaling those that are mostsuccessful. READ MORE: EmpoweringWomen GIVING BACK We want a better shared future for the communities in which we live and work, striving to have a positive

8、impact, especially intimesofneed.Wehavepledgedto give back 1% of our prior years operating income annually through direct company donationsandfundingthroughTheCoca-Cola Foundation.In2019,thosecombined effortscontributednearly$125million ($88millionfromTheCoca-ColaFoundation and$37millionfromTheCoca-

9、ColaCompany) todirectlybenefit294organizationsacross 129countriesandterritories.Thedonation totalin2019represented1.3%ofoperating income, focused in particular on the Foundations giving pillars of recycling, water and womens empowerment, contributing $18.8million,$20.8millionand$10.9million, respect

10、ively, to programs and projects in thesethreecategories. READ MORE: GivingBack Percentage of bottling partners that achieved compliance with our Supplier Guiding Principles 16 17 18 19 2020 GOAL 89% 87% 89% 92% 98% 16 17 18 19 2020 GOAL 90% 88% 89% 91% 95% Cumulative number of women entrepreneurs ec

11、onomically empowered across our global value chain 16 17 18 19 2020 GOAL 1.7M 2.4M 3.2M 4.6M 5M Percentage of the companys annual operating income invested back into local communities 16 17 18 19 2020 GOAL 1.2% 1.6% 1.5% 1.3% 1% Our Company Chairman water and sports drinks; juice, dairy and plant-ba

12、sed drinks; and tea and coffee). Inourconcentrateoperations,TheCoca-Cola Company typically generates net operating revenues by selling concentrates and syrups toauthorizedbottlingpartners. Our bottling partners combine the concentrates and syrups with still or sparkling water and sweeteners (dependi

13、ng on the product),toprepare,package,selland distributefinishedbeverages. Ourfinishedproductoperationsconsist primarily of company-owned or -controlled bottling,salesanddistributionoperations. We also operate retail outlets through Costa Limited, which operates nearly 4,000coffeehousesintheUnitedKin

14、gdom, China and other markets across Europe, AsiaPacific,theMiddleEastandAfrica. The companys portfolio also includes a coffeevendingbusiness,athomecoffee solutionsandaroastery. 1. TheCoca-ColaCompanyanditsbottlingpartners arecollectivelyknownastheCoca-Colasystem. TheCoca-ColaCompanydoesnotown,manag

15、eor controlmostlocalbottlingcompanies. Our Company Chairman andthisistheninth year that these principles have informed ourreportingprocess.Ourinvestors have also expressed interest in the Sustainability Accounting Standards Board (SASB),andCoca-Colaparticipatesonthe SASBAdvisoryGroup.Formoreinformat

16、ion about disclosure in this report, please see the GRI Index. CORPORATE GOVERNANCE AtTheCoca-ColaCompany,oursound business principles and practices foster an innovative and collaborative culture, which is committed to ethical behavior, accountability andtransparency.ThecompanysBoard of Directors ha

17、s a number of committees toassistindischargingitsduties.These include an Audit Committee, a Talent and Compensation Committee, a Committee on Directors and Corporate Governance, a Finance Committee, a Management Development Committee, a Public Policy and Sustainability Committee and an Executive Com

18、mittee.Thecharterforeachcommittee can be viewed on our website.Information about the companys corporate governance, including our Code of Business Conduct, CorporateGovernanceGuidelines,Certificate of Incorporation and Bylaws, is also on our website.Wereinterestedinhearingfrom stakeholdersandvaluest

19、akeholderfeedback. If youd like to contact us, visit our website. SUSTAINABILITY GOVERNANCE The Boards Public Policy and Sustainability Committee assists the Board in overseeing the companys policies and programs and related risks to the company that concern regulatory, public policy and corporate s

20、ocial responsibility matters, including progress againstthecompanyssustainabilitygoals. The Committees scope includes public issuesofsignificancethatmayaffectthe companys business, our shareowners, the broader stakeholder community or the generalpublic.Thisentailsevaluatingand reviewing information

21、pertaining to social, political and environmental trends, with oversight over sustainability goals and humanrightspractices. GOVERNANCE but we note an evolution in stakeholder expectations and potential impacts to our business in severalkeyareas.Forexample,climate change risk and resilience emerged

22、as an increasing concern for our own operations, as underscored by our risk process and the climatescenarioswehaveelaborated. Meanwhile, concerns about packaging are growing in importance for our stakeholders, andwerecognizethisissuecouldpotentially significantlyimpactourbusiness.These insightshavec

23、ontinuedtoshapeandinfluence ourworkonWorldWithoutWaste. This priority issues analysis will ensure that we take into consideration the changing social, environmental and economic context as we continuetoevolveourbusiness. 1. Thisanalysistookplaceduring2019,andassuchthis stakeholder view is not indica

24、tive of related impacts to the economyandsocietyfromtheCOVID-19globalpandemic. Learn more about our approach to stakeholder engagement here. Our Company Chairman inAfrica,hesharedourfocuson growing sustainably across the continent; and at the New York Stock Exchange, he celebrated the 100th annivers

25、ary of the companysinitialpublicofferingbyhighlighting ourplansforsustainablegrowth. INVESTORS We undertook a range of activity with investorsthroughouttheyear.InAugust 2019, along with 180 other CEOs, James Quincey signed the Business Roundtables statement on the Purpose of a Corporation to demonst

26、rate our commitmenttoallstakeholders.Andina follow-up in September, the company held an investor dialogue on Environment, Social, Governance-related topics at our London office,welcoming30investorsfromlarge andmedium-sizefirmsintheU.S.andEurope who own a collective 20% of total shares outstanding.Th

27、eeventfocusedonthe companys sustainable business strategy, exploring priority issues including sugar reduction, World Without Waste and watermanagement. Our Company Chairman andunflavoredandunsweetenedstillor sparklingbottledwater,includingmineralwater. smartwater in four new still varieties, which

28、are unsweetened, have electrolytes fortasteandnaturalflavors. LACFREE is a lactose-free line of dairy productsinBrazil,with17optionsofzerofat, zerosugarandzerolactoseyogurts. In India, our Vitingo brand is a clinically proven formula providing iron and six other micronutrients such as folic acid and

29、 vitamins A,C,B6andB12.Indiahasahighlevelof micronutrientdeficiency,especiallyamong womenandchildren. In Europe, we launched Aquarius, a new range of low-calorie, water-based functional drinks,eachwithakeyessentialmineral. ThesevariantsincludeLemon the longer-term impacts of a changing climate; and

30、potential changestomarketsinwhichweoperate. An overview of this assessment can be found here. BUSINESS CONTINUITY AND CLIMATE CHANGE A key part of our enterprise risk management isourBusinessContinuityPlanning(BCP) process, which has been critical to managing the impacts of climate change that we ar

31、e already experiencing while also anticipating whatmayaffectusinthefuture.Witha dedicated business continuity manager at each of our concentrate production sites, the team allocates at least 6,000 hours per year to this aspect of our risk management and planning.Whenthesecontinuityplansare triggered

32、 by an event such as severe weather, there are often losses and other impacts to operations.However,thisBCPprocesshelps tominimizetheselossesandimpacts. AGRICULTURE the rate at which the package is recovered; and its impacts if it isnotproperlymanagedwhendiscarded.We are working to make all of our p

33、ackaging more sustainable. Across our value chain, packaging accounts for 25%to30%ofourcarbonfootprint.Webelieve that locally appropriate circular economy solutions that turn old packaging into new packaging can reduce the climate footprint of our packaging and keep plastic products out ofthenatural

34、environment.BothourDesign andCollecteffortsfocusparticularlyonPET because its our highest-volume packaging material and its collection rate has historically lagged that of aluminum, our next biggest category,inmanymarkets. INNOVATING AROUND THE WORLD PET PET is a versatile, lightweight material that

35、 is highlyrecyclable.Itscarbonfootprintvaries from low to moderate depending on the input material(recycled,plant-basedorvirgin)and whetherthebottleiscollectedandrefilled orrecycled. 16 marketsofferbeveragespackagedin 100%recycledPET(rPET)bottles,withmore tocome.WaterbrandsinAustria,Belgium, Ireland

36、,Peru,thePhilippines,Switzerland, South Africa and Uruguay, among others, are now making water bottles entirely from recycledplastic. From the end of 2019, 7 out of 10 of all bottles in Australia are now being made entirelyfromrecycledplastic. In multiple markets, Sprite packaging was changed from g

37、reen to clear bottles, which makes them more valuable by improving the efficiencyoftherecyclingstream. 100% rPET will be used for all plastic bottles in Sweden beginning in 2020, eliminating the use of 3,500 tons of virgin plasticandreducingemissionsby25%. In Brazil, all 2-liter bottles across Trade

38、mark Coca-Cola,FantaandSpritebrandsaresold inrefillable“universalbottles”thatarethe sameshape,sizeandcolor,whichincreases theefficiencyofcollection,cleaningand filling.Thereusablebottlesarereplacing 200millionregularbottleseachyear. InadditiontoBrazil,refillablesareacritical part of our World Withou

39、t Waste strategy inmanymarkets.Inover25countries, refillablesmakeuphalformoreofour sales today, and in more than 50 countries, refillablescurrentlyrepresent25%ormore of the sales portfolio, including Germany, Chile, Colombia, Peru, Pakistan, Kenya, the PhilippinesandTanzania. Over 650,000 metric ton

40、s of CO2 emissionsequivalent to burning approximately1.5millionbarrelsof oilhave been averted through use of our PlantBottle, which incorporates 30%plant-basedmaterial.Aninnovative technology co-developed by Changchun Meihe Science and Technology and TheCoca-ColaCompanytoefficiently produce a renewa

41、ble material that can be used to make our PET plastic bottles isonestepclosertocommercialization. With our recent successful validation of the process at the “demo” scale, we are advancing to a future where PET plastic bottles can be made, in part, from woodwaste.Thesebottleswillremain 100% recyclab

42、le and will help us continue our progress toward an exciting future beyondfossilfuels. ALUMINUM Aluminum is lightweight, high-value, nearly infinitelyrecyclableandpreferredbysome consumers because its recycled at a relatively highrate.Itscarbonfootprintvariesfrom moderate to high depending on whethe

43、r it is made from energy-intensive virgin aluminum (andwhatthatenergysourceis)orrecovered aluminum. IntheU.S.,DASANIintroducedwaterinan aluminum can in 2019 and will introduce an aluminumbottlein2020.Togetherwitha hybrid plant-rPET bottle, increased recycled content, light-weighting, and package-les

44、s delivery, these changes will remove the equivalent of 1 billion virgin plastic bottles fromDASANIsproductionoverfiveyears. GLASS As a heavy, breakable and sometimes low- value material, glass is less attractive to recyclethanothermaterials.However,itcan bemanufacturedtobereadilyrefillableand has a

45、 low carbon footprint when collected andrefilled. CARTONS AND POUCHES Packages made of a combination of paper, plastic and foil have relatively low carbon footprints and are compact and lightweight, but they are only recyclable where infrastructureexists. BRING YOUR OWN PACKAGE Increasingly, many co

46、nsumers carry reusable bottles and cups, and were inventing a variety ofwaysforthemtoenjoyourproducts. 15 million drinks per day (5.5 billion peryear) are poured from approximately 52,000Coca-ColaFreestyleunitsinthe U.S.andothercountries.Weintroduced refillable,microchippedcupsthatinteract withCoca-

47、ColaFreestyleatselectcruise lines,amusementparksanduniversities. DASANI PureFill water dispensers, piloted in2017,providefilteredwatertouserswho bring their own bottles, with the option to addflavororcarbonation. 84 Bonaqua stations rolled out across Hong Kongin2019,allowingcustomerstofilltheir own

48、cups with Bonaquas assortment of flavoredwaters.Another404stationsare scheduled to be installed across the region in2020. In 2019 we partnered with TerraCycle on the Loop initiative, which is giving consumers theabilitytouserefillablecontainersfor a variety of beverages in Western Europe, including

49、our sparkling drinks and iced teas, throughaEuropeanretailer. 88% Globally, 88% of our packaging is recyclable, up from 85% at the end of 20171 20% recycled material in our packaging globally 10% recycled material in PET plastic packaging globally TRACKING PROGRESS 1.Onlyrecyclablewhereinfrastructureexists. Our Company Chairman a consumer education campaign; on-package messaging about recyclability and measurement and validation of the industrys progress byWorldWildlifeFund. We are a founding member of and majo