Our community investment allows us to go beyond the impacts of our operations to help further enable the sustainable development of the communities we rely on.
Diageo has been investing in local communities for generations, building on the legacy of our brands' founders like John Walker and James Buchanan in Scotland who understood that it made business sense to protect and nurture the communities around them.
Our investment includes long-term, actively-managed programmes that help serve critical local needs; brand activity and cause-related marketing that engage consumers around charitable causes; local donations of employees' time and money; and investment from the Diageo Foundation, a UK-registered charity with a board of trustees which focuses on emerging markets. Some brands have launched their own longer-term funds, for example, the Arthur Guinness Fund which supports social entrepreneurs or Zacapa Bar 7, a micro-financing initiative in Guatemala.
We define our community investment programmes in five ways:
This year we invested 0.9% of our operating profit or £28.7 million, supporting causes as diverse as providing scholarships in Scotland, to funding water infrastructure in poor communities in Africa, to responding rapidly to disasters in Thailand, the Philippines and Australia.
Community investment by type (£000)
- £15,405 - Local interests and infrastructure1
- £5,751 - Responsible drinking projects (charitable projects only)
- £1,249 - Access to clean water
- £2,573 - Social entrepreneurship
- £2,846 - Skills and education
- £863 - Management costs
- Note that investment shown for local interests and infrastructure includes £8.1 million (2011 - £7.7 million) to the Thalidomide Trust and £1.5 million (2010 - £3 million) to The Thalidomide Foundation Ltd in Australia in support of a legacy commitment. Thalidomide is a drug which was distributed in the United Kingdom, Australia and New Zealand by the pharmaceutical subsidiary of the Distillers Company Limited (DCL). It was withdrawn after side-effects of the drug on unborn children were discovered. In 1986, Guinness acquired DCL and in 1997 merged with Grand Metropolitan to become Diageo. We are working voluntarily with thalidomide organisations, including making contributions to The Thalidomide Trust in the United Kingdom and to the Thalidomide Australia Fixed Trust in Australia. The contributions listed here are distinct from the litigation settlement achieved in July 2012 in Australia.
Community investment by region (£000)
- £3,763 - North America
- £16,115 - Europe1
- £2,640 - Africa
- £2,490 - Latin America and Caribbean
- £3,679 - Asia Pacific2
- Investment shown for Europe includes £8.1 million (2010 – £7.7 million) to the Thalidomide Trust in the United Kingdom. It also includes the full investment from the Diageo Foundation.
- Investment shown for Asia Pacific includes £1.5 million (2010 - £3 million) to The Thalidomide Foundation Ltd in Australia. The contributions listed here are distinct from the litigation settlement achieved in July 2012 in Australia. It also includes total investment from Global Travel and Middle East.
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