Company: KHC
Filing Date: 2025-04-10
Form Type: PX14A6G
Source: 0001214659-25-005723
Chunk: 6

Company: Kraft Heinz Co
Filing Date: 2025-04-10
Form: PX14A6G
Chunk 6
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 Company stopped short of committing to any concrete changes in its
packaging strategy to reflect or address this reality. Instead, Kraft Heinz has simply shifted its language—now stating that it
is designing flexible packaging “. . . for the Future of Recycling” —despite no clear indication that U.S.
municipalities will have the capability to collect, sort, and recycle flexible packaging at scale in the foreseeable future. Without a
credible, well-funded plan to drive immediate improvements in U.S. recycling infrastructure, the Company risks being perceived as engaging
in sustainability greenwashing.

To have a viable potential to achieve its goal of 100% recyclable, reusable, or compostable (“RRC”) packaging, the Company
must urgently accelerate its transition away from problematic flexible formats while investing in improved recycling infrastructure. Without
robustly embracing flexible packaging reduction or elimination of its use, Kraft Heinz will be perpetually prevented from achieving its
100% RRC packaging goal, certainly by the original 2025 deadline and likely by any extended period.

Despite recently announcing its second major goal on packaging –
to reduce virgin plastic use by 20% by 2030 – Kraft Heinz’s overall plastic usage has actually increased in recent
years. While the Company highlights progress in increasing its collective use of recycled content across all packaging material
types — paper, glass, metal, plastic, etc. — the Company fails to separately report plastic packaging data, including reporting
virgin plastic use separately from overall plastic use, thus obscuring whether its actions are aligned with its public commitments. This
lack of clear disclosure is a concerning lapse in corporate responsibility that leaves investors in the dark about the Company’s
performance against critical plastic packaging goals.

RESPONSE TO KRAFT
HEINZ BOARD OF DIRECTORS’ STATEMENT IN OPPOSITION

In its opposition statement, Kraft Heinz asserts that it is making
progress toward its goal of reducing virgin plastic use. However, the Company reports disparate reduction figures for a handful of products
without providing the necessary context of the Company’s overall virgin plastic use to facilitate validation of this claim. This
lack of comprehensive and contextual reporting hinders a clear evaluation of whether or not the Company is making progress on its plastic
packaging commitments.

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https://www.kraftheinzcompany.com/esg/pdf/KraftHeinz-2024-ESG-Report.pdf,
p. 51

https://www.kraftheinzcompany.com/esg/pdf/KraftHeinz