Environment, Health and Safety

Baxter's Environment, Health and Safety (EHS) organization manages and coordinates global programs and activities to reduce the company's environmental impacts, to create safe and healthy workplaces, and to advance product stewardship across Baxter.

This reporting year concludes performance against the company's EHS 2010 goals. Baxter recognizes the importance of aspirational targets and in 2011 launched its 2015 EHS goals, which integrate into the company's overarching sustainability priorities.

EHS results from 2010 include the following:

• Baxter reduced energy usage by 20% and associated greenhouse gas emissions by 29% since 2005, both indexed to revenue. During that period, global energy management initiatives have saved the company an average of more than $28 million annually.
• The company reduced waste generation 20% compared to 2005, indexed to revenue.
• Baxter reduced water usage by 10% in absolute terms and 31% indexed to revenue since 2005, exceeding the company's 2010 water-reduction goal of 20% indexed to revenue.
• Baxter improved employee safety significantly since 2005, including a 34% reduction in recordable case rate, a 45% decrease in cases with days lost rate, and a 36% reduction in days lost rate. This performance surpassed each of the three original 2010 injury rate goals the company set in 2005.

Internal Partnerships

The EHS organization works with a wide range of groups internally to enhance Baxter's EHS capabilities and performance, such as Corporate Communications, the Device Center of Excellence, executive and facility management, Human Resources, Purchasing and Supplier Management, and others. These partnerships are crucial to helping Baxter achieve progress against its EHS-related sustainability priorities and overcome the related challenges it faces, such as waste reduction. See Internal EHS Partnerships: Collaborating to Advance Sustainability.

Scope of Baxter EHS Reporting

• The environmental data included in this report are based on 104 reporting locations, of which 54 are manufacturing, 20 are warehouse and nonmanufacturing, and 30 are administrative, clerical or other. Several of the reporting units comprise multiple locations that report as a single entity. For example, in 2010, 37 renal distribution facilities reported as a single entity, as did Baxter's 73 North American plasma collection centers.
• The health and safety data included in this report are based on 287 reporting locations.¹
• Regional breakdowns for EHS data are as follows: Asia Pacific; Latin America; Europe, Middle East and Africa; and North America.
• The EHS information reported covers 100% of Baxter's operations.
• EHS data are revised to reflect acquisitions, divestitures and plant closings as well as to incorporate any corrections necessary due to additional data verification activities (such as related to the Chicago Climate Exchange (CCX, now IntercontinentalExchange) and EHS audits).

1	The scope of Baxter's health and safety data is different than the scope of the company's environmental data because Baxter's occupational injury and illness accounting includes smaller facilities that are not material to the company's overall environmental performance.