Marks & Spencer (M&S) today presents its regular half-yearly update on its five year ‘eco-plan’, Plan A.

Since the last update (How We Do Business report published in June) M&S has made significant progress in all of the plan’s five areas – Climate Change, Waste, Sustainable Raw Materials, Fair Partner and Health. Highlights include:

Climate Change – M&S Energy, launched in October 2008, now has over 175,000 customers who are being rewarded for reducing energy use;

Waste – food waste is now being returned for processing into energy at three of M&S’ seven food depots with the remaining four going ‘live’ early in 2010;

Sustainable Raw Materials – last week M&S became the world’s first retailer to purchase Green Palm certificates to cover its entire palm oil usage;

Fair Partner – M&S store and head office staff raised £2.5million for hundreds of local charities across the country in only 125 days (May to September) as part of M&S’ 125 Fundraising Challenge;

Health – all confectionery has been removed from 50 per cent of belted till points in M&S stores with a commitment to remove sweets from all belted till points by 2012.

Of the original 100 commitments made when Plan A was launched in January 2007, 39 have already been completed, 24 of which have been extended to cover even tougher targets. 53 commitments are on or ahead of plan and seven are behind. One commitment – the use of crop derived bio-diesel – is on hold until sustainable suppliers of raw materials become available.

Sir Stuart Rose, Executive Chairman of M&S said: “Despite unprecedented global economic uncertainty, the business case for Plan A continues to strengthen.

“The plan is now cash positive with savings more than offsetting investments and, as well as delivering significant benefits for our business, stakeholders and the environment, Plan A is changing consumer behaviour.

“We now have over 175,000 customers benefiting from saving energy with M&S Energy, we’re saving hundreds of millions of carrier bags every year as our food customers turn to re-usable bags, and over a million people have received money-off vouchers in return for recycling clothes at Oxfam.

“We have only taken the first steps on a very long journey to becoming a sustainable company. Our business model will change over the next 10 years as we become part of a more sustainable economy. This means new products, new services and more sustainability-focused customers and employees.

”More Plan A highlights and achievements since June 2009:

Climate Change

• Thirteen M&S stores now use the latest low carbon refrigeration technology and by the end of the year M&S is targeting a further 90 existing store systems for upgrades to less polluting forms of traditional refrigerant gases;
• M&S has recently signed two new agreements to buy renewable energy from small-scale producers – an anaerobic digestion unit in South Lincolnshire and a new small-scale hydro scheme developed by Scotland’s leading meat and game smoker, Rannoch Smokery. These will provide approximately 15,000 MWh of renewable electricity each year, the equivalent to the electricity used by six large M&S stores;
• From January, M&S will be trialling electric vehicle charging points in selected stores in the South East to support BMW’s Mini E trial;
• M&S was recently awarded the Carbon Trust Standard for measuring, managing and reducing its carbon emissions;
• Last week M&S launched a virtual patchwork quilt which allows ‘patchers’ to push for decisive action at the UN Climate Change Summit. The online campaign invites customers, employees, investors, suppliers and anyone concerned for the wellbeing of future generations to create an individual patchwork which includes a personal image and a message to those taking part in December’s Copenhagen negotiations.

Waste

• M&S sponsored recycling programme Recyclebank is now operating in two boroughs – Maidenhead and Windsor and Halton. The scheme rewards residents that recycle with points that can be exchanged for money-off vouchers at M&S and other local stores;
• Following the success of the M&S and Oxfam Clothes Exchange, the scheme was extended this summer to encourage people to recycle their soft furnishings, including cushions, curtains, throws and bed linen.

Sustainable Raw Materials

• Earlier this year M&S became the first major UK food retailer to source only pole and line or line caught tuna for the products it sells – from sandwiches and ready meals, to fresh tuna steaks;
• Earlier this year M&S launched the first recycled plastic milk bottle produced completely in the UK. The bottles contain recycled HDPE (high density polyethylene) made from UK consumers’ old milk bottles.

Fair Partner

• M&S’ first three ‘Ethical Model Factories’ have been developed in Bangladesh throughout 2008/9 and results have shown how best practices can improve efficiency, quality and working conditions. M&S is encouraging all of its factories in the region to adopt this approach and has invited other retailers and brands to collaborate on the programme;
• M&S has announced it is developing a £200,000 sustainable garden in the heart of Leeds, working in partnership with Groundwork – the environmental regeneration charity. The money has been raised from the profits from M&S’ five pence carrier bag charge. The project, due for completion next year, will transform the city’s existing Victoria Gardens into a focal point for the local community.

Health

• All products in M&S cafes now carry calorie labelling following a successful trial in May 2009. M&S is currently reviewing how this could be extended into areas such as In-store Bakery.

Plan A continues to be recognised by third parties as a leading sustainability plan. Along with Unilever, M&S recently topped a global list of businesses which responsibly manage impacts on the natural environment by the United Nations Environmental Programme.

New initiatives to reduce packaging have resulted in M&S winning the 2009 Greener Package Award and the 2009 High Street Recycling Champion Award for M&S’ clothes hanger re-use scheme. In August M&S topped a BBC Wildlife Magazine survey of the most wildlife friendly supermarkets and at the RSPCA Good Business Awards M&S was awarded the Commitment to Fashion category.

Ends

Further information –Daniel Himsworth Corporate Press Office 0208 718 1618

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