Timberland’s Quarterly CSR Performance

In December, Timberland announced its CSR performance results for Q3 of 2011.  Highlights from this quarter’s performance are as follows, organized by Timberland’s four CSR pillars of climate, product, factories, and service:

Greenhouse Gas emissions
increased by 13% compared to Q3 2010. This change is primarily due to increases in air travel as our business rebounds, and related to efforts to integrate our business with VF Corp (VF acquired Timberland in September 2011). With forecasted business growth this year, we are targeting static emissions for our owned and operated facilities (and employee air travel) as compared with our year end 2010 result.

Helping to drive reduced environmental impact of our products is a continued focus on chemicals management in manufacturing.  In Q3 2011, our global average grams/ pair of volatile organic compounds (VOCs) used in footwear production was 59.0. We continue efforts to reduce VOC consumption by substituting high-VOC containing chemicals or reducing their use altogether if a substitute is not readily available.  We are also continuing to prioritize the use of environmentally-preferred materials in our products. In Q3 2011, 16.4% of materials in our apparel production were recycled, organic, or renewable (ROR).

In Q3 2011, no factories that Timberland sourced from received a “High Risk” rating.  33% of our suppliers had High Priority scores in Q3 2011, which is relatively the same as our Q2 2011 results.  Controlling working hours and effective wage calculation/payment processes were issues for 100% of the High Priority scores in Q3, and our sourcing managers are working closely with these suppliers to ensure that orders are not beyond realistic production capacity of the factories.

As of the end of Q3 2011, Timberland employees served a total of 78,241 hours (year to date) in their communities. The Hours Utilization Rate (HUR – the percentage of employee service hours used compared to total available according to the Path of ServiceTM program) year to date at the end of Q3 2011 was 36%, which is an improvement when compared to our Q3 2010 result of 28% HUR.

Additional Q3 2011 performance data and analysis can be found on the Goals & Progress section of Timberland’s CSR website.

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