Environmental Stewardship

Best Management Practices
Jewel-Osco, a SUPERVALU company, remains committed to operating its business in full compliance with all applicable environmental regulations. A dedicated Environmental Affairs Department continually incorporates pollution prevention and resource conservation initiatives into daily operations, assisting our stores and distribution centers with operating strategies which minimize negative environmental impacts on communities we serve.

Properties and Operating Compliance
Each year, SUPERVALU purchases or leases hundreds of properties for new stores and fuel centers. Prior to acquisition, the Company’s environmental team completes thorough property due diligence reviews to avoid unnecessary liability. In some cases, the Company purchases and redevelops and remediates idle industrial or “brownfield” properties to put these impacted properties back into productive use. We are committed to maintaining compliance with all applicable federal, state and local environmental regulations for all of our retail and distribution center facilities. Many regulations – ranging from water resource management, air quality emissions and hazardous materials management – apply to our facilities and the environmental team offers an important resource to help ensure that the Company achieves its compliance objectives.

Energy Conservation Measures
Jewel-Osco continues its efforts to reduce electricity consumption through the incorporation of energy control technologies in existing facilities and the identification and application of energy conserving technologies in both new and existing facilities.
Some examples include:
Energy Reduction Initiatives
- Lighting Retrofits - Installation of high efficiency lighting systems
- Energy Management Controls - Installation of computer control hardware and software to help maximize efficiency of refrigeration, air conditioning, and electrical systems
- Vending Machine and Heater Controls - Utilizing motion sensors to allow vending machines and food "wrapper" heaters to operate only when necessary

Protecting the Ozone Layer
- Voluntarily joined the U.S. EPA “GreenChill” Advanced Refrigeration Partnership program in which the company agrees to use only non ozone-depleting refrigerants in all commercial refrigeration units

New Store Criteria Improvements
- Skylights in stores with lighting controls to minimize operation of sales floor lights
- ENVIROGAURD refrigeration systems to minimize refrigeration system energy use while operating at a lower refrigerant charge
- Use of environmentally-preferable refrigerants (HFCs) in new stores and remodels
- Use of high efficiency display cases that keep product temperatures constant while reducing energy usage

Waste Reduction
In an effort to reduce the amount of waste generated at store level, we continued to work with vendors and packaging companies to support the development and use of recyclable containers. Additionally, Jewel-Osco continues its policy of providing convenient plastic bag recycling centers in its grocery stores to encourage customers to recycle. These resources are used again in the manufacturing of plastic lumber, parking stops and curbing, and other useful products.

Recycling
Jewel-Osco introduced a company-wide recycling program in 1971. To this day, our stores and distribution centers continue to recycle plastic bags, corrugated cardboard, plastics, wooden pallets, cooking oil, meat and bone scraps, and even single-use cameras.
Since 1990, the company has recycled:
- Card board - 1 millions tons
- Plastics - 14,200 tons
- Fluorescent bulbs - 1.2 million units
- Truck/Trailer Tires - 19,200 units

Electronic and Computer Recycling
We continue to manage electronic and computer equipment, including batteries, as assets. Obsolete equipment and parts are inventories, palletized and shipped to recyclers which adhere to “zero landfill” policies. If the equipment cannot be sold for reuse, it is scavenged for recyclable parts, a policy which promotes resource conservation while minimizing potential future liability.

Climate Change and Emission Reductions
We perceive climate change, as it relates to global warming, to be a very real potential risk to the environment, which ultimately could affect our Company, our customers and our store neighborhoods. We see a great opportunity in targeting and achieving emission reductions that are practically attainable and fully compliant with all applicable environmental regulations. As an added benefit to our energy reduction measures, we continue to quantify, claim and trade Greenhouse Gas Emission Reduction Credits (ERCs). This initiative combines environmental stewardship with sound business practices.

Awards
Jewel-Osco continues to receive accolades for its resource conservation and sustainability efforts. In 2008, the company received the Illinois Environmental Protection Agency--Partners for Clean Air Award. This award recognizes voluntary actions to reduce air pollution.

Volunteerism efforts
The Jewel-Osco Earth Day Volunteer program drew more than 500 company managers to conduct Spring cleanup and conservation efforts at various sites, including locations in the cities of McHenry, Hogkins, Chicago, Itasca, Normal, Quad Cities, and Michigan City (Indiana). The company provided grants to local environmental groups and donated TREX benches made from recycled plastics. To kick off Earth Day, Jewel-Osco offered free re-usable “green” bags to the first 200 customers at every store. All of these efforts are part of the company’s long-standing commitment to raise recycling awareness and protect our planet.