Electrolux recognised for climate leadership by CDP as company secures new sustainability credit
CDP, a non-profit organisation helping companies disclose their environmental impact, has recognised Electrolux for its climate leadership, just as the company signed a new €1bn credit line linked to its sustainability aims.
For the second year in a row, the Swedish home appliance manufacturer has earned a place on CDP’s elite “A List” for tackling water security. The non-profit runs a global system for investors, companies, cities, states and regions, and each year thousands of companies submit their annual climate disclosures for independent assessment against its scoring methodology.
Electrolux was among just 118 companies to make the CDP’s shortlist for 2021, picked from more than 3,000 leaders in the market. CDP also awarded it an “A-” score for its climate change work.
“We are proud to have our leadership on climate and water recognised by the CDP again this year,” said Vanessa Butani, VP Group Sustainability. “But at Electrolux, we want to do much more. We’re committed to reaching net zero carbon across our value chain and are working to promote water efficiency both in our operations and in the homes of consumers.”
In 2020, Electrolux reported a 70% reduction of carbon emissions in its operations and a 20% emissions reduction in the product use phase compared to 2015. In 2021, the company also joined the “We Mean Business” global call for climate action.
“Through significant demonstrable action to protect water resources, Electrolux is leading on corporate environmental ambition, action and transparency worldwide,” said a company spokesman, adding, “Our Leadership score on the CDP Climate questionnaire recognises our ambitious work toward climate neutral operations by 2030 and a climate neutral value chain by 2050.”
In other sustainability news, the company has also recently entered into a new €1bn multi-currency revolving credit line agreement with a group of 11 banks to support its sustainability goals.
The credit line was overwritten during syndication, allowing the company to increase the initial amount from €900mn to €1bn. The new facility, which has a five year maturity, refinances an existing €1bn syndicated facility due to mature in May 2023.
“We welcome the support offered by this credit facility,” said Vanessa Butani, VP Sustainability. “It reflects our commitment to continue to be an industry leader in sustainability, and is a confirmation of our sustainability credentials.”
The credit facility is linked to the Group’s “For the Better 2030” sustainability framework, as its margin is related to ambitions to be climate neutral in operations by 2030, to be a leader in low carbon energy-efficient products, and to ensure the health and safety of employees.
“It is a sign of Electrolux financial strength and credibility that we are able to achieve such a facility in today’s economic climate,” said Martin Bendixen, Group Treasurer.