Company: KHC
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001308179-25-000266
Chunk: 41

Company: Kraft Heinz Co
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 41
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 media investigations are challenging the legitimacy of product companies’ recyclable labels and mass balance circular content claims related to plastic packaging. In a lawsuit against ExxonMobil filed September 2024, the California State Attorney General alleged that the ISCC certification scheme is a false and misleading marketing scheme. Kraft Heinz is currently employing several types of recyclable labels on plastic packaging that are being legally challenged: “Store Dropoff,” “Check Locally,” and “Remove Label for Recycling.” Other major brands have stopped using such labels on their products. Kraft Heinz has promoted ISCC mass balance certificates to give the appearance of circularity for its plastic packaging. Store Dropoff: In September 2023, Bloomberg used trackers to prove that Nature Valley Granola Bars are not being recycled through “store drop off” but are being landfilled, incinerated, or exported. In May 2023, an ABC News Investigation garnered significant national negative media attention on the failure of store drop off schemes to recycle plastic bags and argued consumers were misled. The CA Recycling Commission’s 2021 letter stating California’s existing laws should be enforced and the “recyclable” word and symbol should be removed from plastic bags and films was cited. Check Locally: 2022 detailed assessments of plastic recycling by Greenpeace established that most plastic packaging, including packaging employed by Kraft Heinz, has very low acceptance rates for recycling (0 to 6% of U.S. population). It is deceptive to consumers and harmful to recycling systems to label such unwanted plastics as recyclable. Check Locally labels are banned by California’s Truth in Labeling Law. We believe Kraft Heinz should be truthful with consumers and not incorrectly label products that contribute to plastic contamination in curbside recycling systems and could incur potential legal liability due to deceptive advertising. BE IT RESOLVED:In the best interest of the company, shareholders request the board of directors issue a report by December 2025 including the factual basis for legitimacy of all recyclability and recycled content claims made on plastic packaging. The report should be prepared at reasonable cost, omitting confidential information. SUPPORTING STATEMENT:Proponents recommend the report be led by independent legal and technical experts who have no financial conflicts caused by working for the plastics or plastics recycling industry and include an assessment of the reputational, financial, and operational risks associated with continuing to make deceptive claims on recycled content of plastic products.

| 94 | 2025 Proxy Statement |

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