HP 2015 Sustainability Report

Introduction

Environment

Society

Integrity

About this report

A new goal for a new company The energy that customers consume using our products accounts for a significant portion of our overall environmental impact. In 2014, to drive ongoing improvement, Hewlett-Packard Company set the goal of reducing the GHG emissions intensity of its product portfolio 10 by 40% by 2020, compared to 2010 levels. 11 As of October 31, 2015, the company had achieved a GHG emissions intensity reduction of 26%. During the first part of 2016, HP set a new goal to drive progress moving forward: Re- duce the GHG emissions intensity of HP’s product portfolio by 25% by 2020, compared to 2010. 12 This goal reflects the company’s personal systems and printing products and the potential for improvement in those areas, and no longer includes servers as in past years. It builds on a 50% reduction of product energy consumption that the company achieved between 2005 and 2010. 13 We will achieve this goal through continued design innovation —making products that do more while requiring less energy in use. Product energy efficiency We improve energy efficiency across our portfolio in various ways. Examples include more efficient central processing units in our PCs (see Advanced Micro Devices partnership ), enhanced printer toner technologies that require less energy to warm and use (see HP JetIntelligence ), longer lasting batteries, and user-controlled power-management options. Other examples of innovative products that are driving HP’s energy efficiency gains include: • Personal systems: Due in part to its slimmer size, the HP EliteDesk 800 G2 Desktop Mini uses 31% less energy than its predecessor and 92% less energy than the EliteDesk 800 G1 Ultra-Slim Desktop, while providing top-of-the-line, business-critical computing. Since 2010, HP has reduced the energy consumption of our personal system portfolio by 25% on average. 14 • Printers: In 2015, Hewlett-Packard Company launched five HP LaserJet printers rated by EPEAT at the Gold level in the United States, including the HP LaserJet Enterprise M506dn 15 , which uses up to 42% less energy than its predecessor. Since 2010, the energy consumption of the HP LaserJet portfolio decreased by 56% on average, 16 and that of the HP inkjet portfolio decreased by 20% on average. 17 • Product-as-a-service: HP Managed Print Services helps our customers reduce their printing-related energy use by up to 40%. Product use carbon and water footprint In 2015, 53% of Hewlett-Packard Company’s overall carbon footprint resulted from the energy, paper, and ink and toner cartridges that customers consume during product use. Of the total, 39% was due to electricity consumption. Greenhouse gas emissions related to product use fell by 15% compared to 2014, largely due to a continued shift from larger desktops to smaller, less energy-intensive desktops, notebooks, and tablets. Improve- ments in server energy efficiency and a decrease in printer sales also contributed to the overall reduction. The use of these products also represented 66% of the company’s water footprint, due to the considerable amounts of cooling water required during electricity generation as well as water use related to paper production. Water consumption associated with product use decreased by 14% compared to 2014. The main factor, similar to the carbon footprint, was the ongoing shift toward products such as smaller personal systems and notebooks and tablets that require less energy in the use phase.

GHG emissions from product use* (Hewlett-Packard Company) tonnes CO 2 e 2015 Personal Systems 11,600,000 9,100,000 Printers (energy) 3,700,000 3,600,000 Printers (paper and ink/toner cartridges) 6,700,000 6,400,000 Servers 6,100,000 4,900,000 Total 28,100,000 24,000,000 Product group 2014

* See relevant notes on page 70 .

Water consumption related to product use* (Hewlett-Packard Company) cubic meters 2015 Personal Systems 95,486,000 76,380,000 Printers (energy) 30,821,000 29,394,000 Printers (paper) 51,327,000 46,755,000 Servers 50,653,000 41,546,000 Total 228,287,000 194,075,000 Product group 2014

* See relevant notes on page 71 .

50 HP 2015 Sustainability Report

www.hp.com/sustainability