American Eagle Outfitters (AEO), a US-based retailer, recently released its second environmental (Planet), social (People), and governance (Practices) report outlining the progress made through the company’s Building a Better World strategy. According to the report, AEO recycled 9 million gallons of water at laundries and reduced water use per pair of jeans produced by 38% in 2022, surpassing the initial water reduction goal one year early.
As shown by its initiatives and more than 20 years of ESG successes, AEO has placed a priority on social responsibility ever since it was founded. AEO’s dedication to improved oversight and performance has led to several developments over the past twelve months, including MSCI’s upgrade of AEO’s ESG rating from “BBB” to “A” and increased transparency along with SASB and TCFD-aligned sustainability reporting.
According to Jay Schottenstein, executive chairman of the board and chief executive officer, “performing well and doing right by our customers, associates, and communities is profoundly knit throughout the fabric of AEO. “To highlight increased openness and our continued commitment to creating a better society, we are happy to offer our second ESG report. Every day, we work to change our organization for the better to create a more just and sustainable future.
The report also features several fresh initiatives from AEO’s charity giving, which further supports initiatives that are significant to its clients and neighborhoods. The Aerie Real Foundation was formalized and expanded upon by AEO in 2022, building on the company’s decades-long legacy of giving to advance women’s empowerment, diversity, and sustainability.
The study shows that AEO has met or exceeded a number of environmental objectives intended to safeguard the environment and promote significant change throughout the retail sector. To reflect this progress, the company has added the following targets to its existing ones: committing to net-zero emissions by 2050; lowering virgin plastic by 50%; reducing total plastic footprint by 30% by 2028; and using sustainable sources for 75% of its energy needs. These targets include recycling 70% of the total water used in denim laundries by 2025; reducing its water footprint by 30% across its own operations, and strategic factories and mills; and reducing its water footprint by 30% by 2028.
