our renewed purpose

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Chiquita Brands International

Corporate Social Responsibility Report 2009-2012

OUR RENEWEDPURPOSE


2/64CHIQUITA BRANDS INTERNATIONAL, INC. CORPORATE SOCIAL RESPONSIBILI TY REPORT 20092012

Table of Contents

CSR at Chiquita: Looking Back, Looking ForwardMessage from Our CEO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3Our Purpose . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Message from Our Board Chairwoman . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5Our Core Values . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6Co rpor ate Respon sibi li ty: O ur Year s of Co mm itm ent . . . . . . . . . . . . . . . . . . . . 7Chiquita: The Story . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8CSR People at Chiquita . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10Interv iew wit h Co rpor ate Res pon sibi li ty O f ficer . . . . . . . . . . . . . . . . . . . . . .11Our CSR Priorities 2012-2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13Our Sustainability Targets for 2020 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Chiquita People: The Key to Our SuccessCompliance Group: Helping to Ensure Ethical and Legal Conduct . . . . . . . . . 15Raising Awareness: Key Role of CSR Training and Education . . . . . . . . . . . . . 17Occupational Health and Safety: Progressing to Target Zero . . . . . . . . . . . . 18Live Chiquita!: Engaging Our Employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0COBALs Issues Registry: Handling Employee Concerns . . . . . . . . . . . . . . . . . 22Collaboration with Unions: Focu s on Women . . . . . . . . . . . . . . . . . . . . . . . . . 2 4

Environment and Sustainability: Journey with PurposeRainfo rest Al liance: 20 Years o f Co llabo ration . . . . . . . . . . . . . . . . . . . . . . . .28Carbon Foo tprint of B an an as: Wo rkin g with MIT . . . . . . . . . . . . . . . . . . . . . .30Sustainable Investment : New Ripening Center in the Netherlands . . . . . . . 32Water R is k and Foo tprint As sessm ent with W WF . . . . . . . . . . . . . . . . . . . . .34GAINProgram: Improving Lettuce Farming . . . . . . . . . . . . . . . . . . . . . . . . 3 6

North American Inland Logist ics: Sustainable Results . . . . . . . . . . . . . . . . . 37More Sustainable Container Fleet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40Mundimar s Waste to Energy Bi odi gester . . . . . . . . . . . . . . . . . . . . . . . . . . 4 1Passion Fr uit Pro ject : Wo rking wit h S mall Farmers . . . . . . . . . . . . . . . . . . . .43

Food Safety: Fresh Express Intense FocusJ am es Lugg Center S eeks Cont in uous I mprovement . . . . . . . . . . . . . . . . . . .47Fresh Express Wins Black Pearl Global Award . . . . . . . . . . . . . . . . . . . . . . . . 4 8Key F indings from Fresh Express Research Initiat ive . . . . . . . . . . . . . . . . . . . 49Fresh Express Adop ts Integrated F SSC 22000 . . . . . . . . . . . . . . . . . . . . . . . . 5 17 Steps of PreventionProgram for Fresh S al ad Produc ts . . . . . . . . . . . . . 52

Collaborations and PartnershipsOur Memberships and Participations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55Biodiversity Partnerships: With and for the Community . . . . . . . . . . . . . . . 56World Banana Forum and Global Social Compliance Programme . . . . . . . . . 58Ch iquita Receives REW E G ro ups Pro Pl an et Label . . . . . . . . . . . . . . . . . . . . .60

Appendix Cross Reference to Global Reporting Innitative Indicators . . . . . . . . . . . . . . 61

CSR Report 2012: Our Renewed Purpose (Contributors) . . . . . . . . . . . . . . . . 63



CSR at Chiquita:Looking Back, Looking Forward

Section at a Glance

This report covers the years 2009-2012. In this first chapter, we provide an overvi ew of our past corporate socialresponsibilit y (CSR) work, our policies and plans.

Like prior Chiquita CEOs, Ed Lonergan, who became our chief executive i n late 2012, and all of our B oard of Directors arestrongly suppor t the companys commitment to high ethical, leg al, social and envi ronmental standards. Take a momentto read the messages from our CEOandChairwoman of the Board.They both make one thi ng very cl ear: CSR makes goodbusiness sense.

Our CSR work started in 1992, shortl y after we were first approached by the Rainforest Alliance wit h a proposal to applyits sustainable a griculture standard and cert ification on banana farms. After testing the concept carefully, our

management in 1996 committed to achieving Rainforest Alliance certificat ion in all of our Latin American banana farms.

That was the beginning of an effort that has continued and expand ed over the past 20 years. In 1998, we formed ourCorporate Responsibilit y Steering Committee to propose, monitor and champion our commitment to high ethical, socialand environmental standards across the entire organization.

This committees first assignm ent was to craft Our Core Values.Today they are posted in every wor kplace and on the b ackof every b usiness card. Our Core Values set the standard for our conduct as a company and as empl oyees, and are thefoundation of our CSR work.

Over the years, we have integrated CSR into our operations, adopted external socia l and environmental standards, and

collaborated with many stakeholders, as summarized in the chart Corporate Responsibili ty: Ou r Years of Commitment.

None of this work can be accomplished without the continued support and par ticipation of many employeeswho helpshape our CSR work. We want to acknowledge and tha nk them for their many contributions in helping us shap e and tellthe Chiquita Story.

In aninterview,Manuel Rodriguez, our corporate responsibilit y officer, reflects on the challenges of implementing andsustaining CSR in a complex organization.



Dear Stakeholders,I am delighted to introduce this review of our longstanding e fforts in the area of Corporate Social Responsibil ity andSustainabil ity. It has been some time since we last updated our results and objectives, 2008 to be exact. This CorporateSocial Responsib ility Repor t covers the period 2009 to 2012 and provides details on our objectives and plans through2020. Moving forward, we expect to update our progress annually.

This report sheds light on a company which over two decades has wit h tenacity evolved a visi on of responsiblecitizenship and ethica l conduct. Long before I joined Chiquita, I was aware of this effort to lead an industr y with acontroversial history into a new era of high ethical stand ards and it was a key factor in my decision to join Chiquita.

Over the course of my professio nal career, I have come to see that companies can indee d do well by doi ng good; thatpeople, planet and profits, balanced well, are the foundation of a sustainable business over generations.

At Chiquita, Corporate Social Responsibility and Sustai nability are core commitments and are embedded in our Purpose.We believe that acting as a good citizen and providi ng a good return to shareholders are inseparable priori ties foroperating our business successfully each and every day.

In reviewing this repor t, several core themes stand out:

Purpose and Values: Our Purpose and Core Values orient al l we do, give meaning to our dai ly activi ties andprovide a guiding ethi cal orientation to everyone i n the company. Our employees take pride in what they do andbuild incredibly rewarding careers.

Vision: More than 20 years ago, a small group of employees envisi oned a better future for our industry a ndcompany. Many of those team members continue to lead the change, but wit h each year, our footprint grows asnew minds bring new ideas and opportuni ties to the framework established decades ago.

Message from Our CEO

Our team members have innovated, developed and embraceda multitude of partnerships, collaborations and local

initiatives that have empowered local communities and

delivered meaningful improvements to our company.Ed LonerganChief Executive Officer



Our Purpose Improve livesby producing healthy and convenient foods that taste great while creating oppor tunities

for our employees to grow and thrive.

Love our planet by continuing to reduce our environmental impac t and ultimately contribute to a worldcapable of effectively sustaining future generations.

Lead the industry and sustain profitable growth by creating value for our customers, consumers,communities, and other stakeholders.

Consistent Effort: 20 years of collaboration with the Rainforest Alli ance, 12 years operating under theFramework Agreement signed with the industr ys trade union federations, and nine years of continuous SA8000certificati ons of Chiquitas owned farms exemplify the long-term nature of our CSR work. We believe that longpartne rships and sustained commitments are the only way to reshape our footprint meaningfully

Creativity: Our team members have innovated, developed and embraced a multitude of partnershi ps,collaborations and local initiati ves that have empowered local communities and delivered meani ngfulimprovements to our compa ny.

Commitment: Since October 2012, I have witnessed first-hand the stea dfast conviction and resilie nt spiritwhich has kept this effort going through good a nd difficult times.

Such achievements are only possible be cause of the dedication and suppor t of the men and women working in the fieldsand in management every where across this organization. Inspired by their example, I will gladly build on the work of mypredecessors, providing leadershi p, encouragement and willing hands.

If we do well, we will harvest rewards in terms of business perform ance, as well as benefits for our employees,communities and the environment. Our new Statement of Purpose sends a signal that ethical conduc t and socialresponsibilit y are here to stay. And I hope that you will join me in my conviction that Chiquita is now better positi oned toimprove our business and face the challenge s ahead in ways that help sustain the natural resources of our planet todayand in the future. We welcome your comments and id eas on how to continue improving ou r performance. Pl ease write tous [email protected].

Thank you again for your gene rosity and for your interest in Chiq uita. We are grateful for your trust; it u nderpins all we d ohere.

Sincerely,

Edward F. LonerganPresident and Chief Executive OfficerChiquita Brands International
mailto:csr%40chiquita.com?subject=Chiquita%20CSR%20Reportmailto:csr%40chiquita.com?subject=Chiquita%20CSR%20Reportmailto:csr%40chiquita.com?subject=Chiquita%20CSR%20Report



Message from Our Board Chairwoman

While significant progress has been made, our Board of Directors,the management team and our employees know that our journey

is never complete, and we have set stretch goals for further

improvement in the years ahead across our operations.

Chiquita has substantially transformed our environmental and social performance in the more than 20 yearssince we initiated a comprehensive Corporate Social Responsibility and Sustainability program.

While significant progress has been made, our Board of Directors, the management team and our employeesknow that our journey is never complete, and we have set stretch goals for fur ther improvement in the yearsahead across our operations. This work is consistent with the companys duties a s a global citizen and is at thesame time a n essential component of our business strategy and the delivery of our stakeholders expectations.

The Board supports the publishing of a global Corporate Social Responsibility Report to enhance ourtransparency and acknowledge the many par tnerships and collaborations that enable us to contribute to thewell-being of the communities we ser ve.

We believe our stakeholders will be pleased to see the substantial progress made during this reporting period,and we look forward to communicati ng future progress.

Sincerely,

Kerrii B. AndersonChairwomanBoard of DirectorsChiquita Brands International

Kerrii B. AndersonChairwoman, Board of Directors


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Certification to

Leading Standards

Environment(Rainforest Alliance)

1992 Initial Rainforest Alliance Engagement

1994 First 2 owned farms certified inCosta Rica

2000-2012 100% owned banana farms

certified

201266% of pineapple volumes certified

201220 years with Rainforest Alliance

Labor

(SA8000)

2002 Owned farms certified in Costa Rica

2003 Owned farms certified in Colombia and

Panama

2004-2012 100% certification owned farms

Food Safety

(Global G.A.P.)

2003 Owned farms in Colombia,

Costa Rica & Panama certified

2005-2012 100% owned farms certified

Oversight & Compliance

1998 CR Steering Committee

1999 New Core Values

2000 Expanded Code of Conduct

2000 Corporate Responsibility Officer

with Board Oversight

2001 Code of Conduct Training Worldwide

2003 Annual Code of Conduct ComplianceCertification

2004 Independent Chiquita Helpline

2005 Chief Compliance Officer with

Audit Committee Oversight

2006 Online Compliance Training

2009 Global Sustainability Council

2011 Employee Volunteer Program

Stakeholder Engagement

2001 IUF/COLSIBA/Chiquita Agreement

2002 Business for Social Responsibility

2002 Ethical Trading Initiative

2003 Social Accountability International

Advisory Board

2004 Citizens of Americas Award

2004Nogal Project with Migros & GTZ

2005WWF Mesoamerican Reef

2007Corporate IFC Labor Advisory Group

2009 Biodiversity Partnership with REWE,

GIZ, CORBANA

2007 Global Social Compliance Program

Executive Board

2009 World Banana Forum Founding Member

2010 Carbon Footprint with MIT

2010 Fresh Express Wins Black Pearl Award for

Food Safety & Quality

2011 Womens Committee with IUF &

COLSIBA

2011 IPL/ASDA Join Nogal Project

2012 Water Footprint with WWF

Corporate Responsibility:Our Years of Commitment



Chiquita: The Story

Chiquita has been growing bananas in Latin America since 1899,

bringing a reliable year-round supply of this healthy, delicious fruitto consumers across the globe. Following our acquisition of FreshExpress in 2005, we have added another nutritious category to ourlegacy industry-leading Fresh Express packaged salads.

Our companys iconic blue label (featuring Miss Chiquita) is knownthe world over. But 114 years on, we recognize that our companyhasnt always behaved with the ethics and transparency we todayexpect from a company or ourselves. Much has been written orassumed about Chiquitas past not all of it correct. Here we tellour story, because acknowledging our complex past is the best way

to open an honest dialogue about our present and future.

Bananas are the worlds number one export fruit and the fourthmost important food crop after rice, wheat and maize. In order tomeet this demand, Chiquita has its own farms, works closely withindependent suppliers and sells more than 10 billion bananas eachyear. As such, Chiquita has a direct impact on the environment andcommunities in Latin America where approximately 40,000 menand women are employed in banana production on Chiquitas ownand supplier farms.

Over the last 20 years, Chiquita has actively invested in its social,as well as economic, responsibilities and developed a corporatesocial responsibility (CSR) program that includes the adoption ofauthoritative external standards and independent assessment ofour performance. We have obtained Rainforest Alliance cer tificationof our farms and those of many suppliers, and subsequentlyalso adopted Social Accountability Internationals SA8000 laborrights standard with the corresponding certification and annualassessment of all of our owned farms in Latin America. OurInternational Framework Agreement with global and regionaltrade unions sent a clear signal of our serious intent. These andother efforts have not only been good for the environmentand employees, they have also increased our ability to operatesuccessfully in a competitive marketplace. We now know thatacting as a good corporate citizen generates substantial returns onour investments, positive returns to shareholders and is inseparablefrom operating our business successfully.

In the past, our reputation was not what we aspire to today.Indeed, in our Corporate Responsibility Report issued in 2000(Page92), we acknowledged a number of the darker moments in our

history. And in our 2008 report(Page

34), we described the dilemma we facedin Colombia during the violent conflictsof the 1990s. We have learned fromthat history, and it has helped form thebasis of our commitment to high ethicalstandards.

Societal norms, technology and environmental awareness all haveadvanced significantly over the past decades, and that pace ofchange will only continue to quicken. Today, Chiquita has a newgeneration of leaders doing all they can to ensure we learn from

the lessons of the past and incorporate those learnings into all ofour operations.

But we also recognize the many positive things that the companyhas accomplished. Throughout our early history, we built railroads,houses, hospitals, ports, ships and all manner of infrastructure tobring bananas to global markets. We created thousands of jobs andcontributed to the social and economic development of many ruraland underserved areas of Latin America. We have contributed tothe control of malaria and provided schools, health care and yearround employment to thousands of local inhabitants wherever we

have engaged in banana production.

When nongovernmental organizations (NGOs) began championingthe notion of a better world for us all, our industry -- characterizedby labor-intensive farms in developing countries, and with areliance on overseas transportation of tropical fruit -- had to reflecton how to address these social and environmental issues.

The turning point came in the early 1990s when David McLaughlin,then general manager of our Costa Rican operations (now with theWorld Wildlife Fund), along with other like-minded colleagues,decided to test a pioneering plan conceived by the RainforestAlliance, an international NGO dedicated to conserving rainforestbiodiversity and ensuring sustainable livelihoods.

The Rainforest Alliance was created in 1987 and unlike any otherNGO at the time, was able to show companies like Chiquita how tochange working practices for the better -- better for business, theenvironment, employees and the communities in which theyoperated.
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We wish to express our gratitude to our pioneering colleagues at Chiquita who started us on our CSR journey:

Steve Warshaw,President and COO1996-2002

Jeff ZallaChiquitas firstCorporateResponsibility Officer2000-2003

David McLaughlinSenior DirectorEnvironmental andSocial Performance1997-2006

In 1991, nearly a decade before other NGOs became involved inthe banana industry, the Rainforest Alliance began urging bananaproducers to implement its new standard for sustainable bananaproduction. Certification would only be granted if farms met theRainforest Alliances strict environmental and social standards,as measured by independent annual audits with full access to allworkplaces, documents and employees. When the idea was firstpresented to the banana industry, there was much skepticismabout what seemed to be a long and unrealistic list of social andenvironmental requirements.

Yet in 1992, Chiquita became the first major banana companyto agree to collaborate with the Rainforest Alliance. Althoughimplementation of the system required considerable expense andeffort, Chiquita saw first-hand the many rewards of the program,from a healthier, more engaged and productive workforce to abetter product for the consumer.

In 1996, Chiquitas chairman committed to expanding the programto all of our owned farms. After an upfront investment of $20million and continued investment over the years, 100% of ourcompany-owned farms have been Rainforest Alliance Certifiedsince 2000 and today the majority of our supplier farms are alsoRainforest Alliance Certified. This certification is a signal thatChiquita bananas are grown with respect for the environment andthat our employees receive fair wages as well as enjoying goodworking conditions.

In 2001, our company signed an International FrameworkAgreement with two leading labor federations: the InternationalUnion of Food Workers(IUF) and COLSIBA, the coordinating body ofLatin American banana workers unions. This agreement has led toproductive and positive labor relations throughout our operations. Itis the only such agreement in our industry.

Another milestone was our adoption of Social AccountabilityInternationals SA8000 social standard and achieving SA8000certification on all our owned farms since 2004. Based on theprinciples of international human rights conventions, SA8000 is a

tool that guides us in applying these norms to practical work-lifesituations.

We have continued to build on our experience of working to meetindependent, third-party standards and independent assessmentsin our work with other organizations, such as the World WildlifeFund and the Massachusetts Institute of Technology (MIT). In recentyears we have seen our collaborations expand to include customersin Europe such as the retailers MIGROS and REWE, the Germangovernments Gesellschaft Fr Internationale Zusammenarbeit(GIZ) and the governments of the countries in which we producebananas. This report illustrates many of these initiatives.

The FutureIn October 2012 we welcomed a new CEO, Ed Lonergan. In hisprevious roles, Ed has been a strong advocate of sustainability.Ed was impressed by Chiquitas commitment to its people andhigh ethical standards, which is one of the reasons he joined thecompany. As he tells it:At Chiquita we are committed to growing and selling the besttasting bananas, produced under good working conditions by loyaland motivated employees. Our bananas are grown in a way thatis respectful of the environment and local communities, in strictcompliance with all applicable laws, consistent with being a goodand responsible citizen. But we also recognize that we still have muchwork to do to meet todays sustainability challenges, especially thoseof reducing greenhouse gas emissions and water use. In doing that,we will be guided by our new Statement of Purpose:

Improving Lives - Loving our Planet Leading our Industry

Over the course of my professional career, I have come to see thatcompanies can indeed do well by doing good that people, planetand profits, balanced well, are the foundation of a sustainablebusiness over generations.If we do well, we will harvest rewards in terms of businessperformance, as well as benefits for our employees, communities andthe environment. Our new Statement of Purpose sends a signal thatethical conduct and social responsibility are here to stay.

HIQUITA BRANDS INTERNATIONAL, INC. CORPORATE SOCIAL RESPONSIBILIT Y REPORT 20092012

Photo by: Jill Hatzai, WWF US
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CSR People at Chiquita

Corporate Responsibility OfficerManuel Rodrguez, Senior Vice President Government & International Affairs and Corporate Responsibility Officer

Corporate Compliance OfficerAllyson Bouldon, Vice President Chief Compliance Officer

Joint Compliance Committee*CEOs Operating Committee; Allyson Bouldon, Vice President Chief Compliance Officer; Juan Rivera, Vice President Internal Audit

Corporate Responsibility Steering Committee*Manuel Rodrguez, SVP Government & International Affairs and CR Officer. Chair

Allyson Bouldon, Vice President Chief Compliance Officer

Thelma Rockhold, Vice President, Corporate Human Resources

Jorge Solergibert, Assistant General Counsel, Latin America

George Jaksch, Senior Director, Corporate Responsibility and Public Affairs Europe & Middle East

Ed Loyd, Director of Corporate Communications and Corporate Social Responsibility

Karen Pati, Category Manager, North America

Jose Luis Valverde, Vice President Tropical Owned Production

Irene Sandoval Arce, Senior Communications and Corporate Responsibility Specialist

Nolan Quirs, CR Manager, Latin America

Ronald Romero, Director, Research and Development Tropics

CSR Sustainability TeamsLatin America

North America

Europe & Middle EastGlobal Sustainability Council

Responsible Sourcing Committee

*Meets 4 times a year



WHAT ARE THE KEY LESSO NS YOU DRAW FROMYOUR EXPERIENCE OF IMPLEMENTING

CORPORATE SOCIAL RESPONSIBILITY?

We continue to believe in the impor tance of a strongfoundation of our Corporate Social Responsibility andSustainability program:

Creation of our Core Values of Integrity, Respect,Opportunity and Responsibility, which are on our businesscards and posted in ever y workplace, was key. Our CoreValues serve as an ethical compass for every employee

Strict compliance with all applicable laws is fundamental

Active support from our CEO, Board, managers andemployees is essential. Building and maintaining a strongconsensus on the importance of our CSR work ensures thatwe remain focused as circumstances change

Adoption of external standards, with independentassessment of our performance, has been another essentialprinciple. Our work with the Rainforest Alliance andSA8000 standards has been critical to the credibility of ourcommitment

Regular training and education of everyone in our company

continues to be a cornerstone of our commitment to highethical standards

Dialogue and collaboration with civil society organizationsare incredibly valuable. Eleven years ago, we signed anInternational Framework Agreement with the InternationalUnion of Food Workers (IUF) and the coordinating body ofLatin American banana workers trade unions (COLSIBA),which is still the only such agreement in our industry. In

2009, we joined the World Banana Forum (WBF) as afounding member, as well as the Globa l Social Compliance

Programme (GSCP).

ARE CSR AND SUSTAINABILIT Y BECOMING MOREIMPORTANT TO CUSTOMERS AND CONSUME RS?

CSR and Sustainability issues are impor tant for consumers andretailers in many European countries, and leading NorthAmerican companies increasingly seek to integrate CSR intotheir business models, products a nd communications. A goodexample is the Global Social Compliance Programme whereretailers and suppliers work with an advi sory board of

nongovernmental organization (NGO), labor and academi crepresentatives to cooperate on high standards in theirbusinesses and supply chains. Chiquita is a member of GSCPsexecutive board.

IS YOUR COMPANYS CSR WORK PROVIDINGBUSINESS BENEFITS?

Undoubtedly, CSR and Sustainability increasingly drive businessopportunities and differentiate our products. CSR is animportant consideration for customers, investors and

employees. It helps us acquire and maintain customers,improves our access to the financial markets, and supp orts ourefforts to attract and retain top talent.

Our consistent focus on CSR has helped to strengthen thecompanys brand. Our work with the Rainforest Alliance sustained for over 20 years has been a significant factor,

Interview withCorporate Responsibility Officer

Manuel RodriguezCorporate Responsibility Officer

CSR and Sustainability are an integral part of our

company purpose and long-term strategy, which is

reflected in our CSR leadership structure...



as have our commitments to SA8000 and our 10-plus yearcollaboration with the IUF and COLSIBA trade union federations.

Sustainability has enab led us to reduce some operating costs. Tothe extent we reduce the use of energy and water, packagingand plastics, fertilizers and chemicals, we improve productivityand help our bottom line.

WHAT IS THE REACTION OF YOUR EMPLOYEES?

CSR is important to the men and women at Chiquita. They takepride in working for a company that they feel is doi ng the rightthing. Our employee surveys have demonstrated the importanceof our CSR program and their interest in participating. When werecently launched our online CSR training module, over 60percent of those responding expressed interest in parti cipatingactively in thi s work. Increasingly we invite t hem to contribute.Our CSR and Sustainability work is a lso a critical factor in ourrecruitment of employees.

Our new volunteer program has inspired many e mployees acrossthe world to support good causes in thei r local communities.

IN 2002, CHIQUITA SIGNED AN INTER NATIONALFRAMEW ORK AGREEMENT WITH THE IUF ANDCOLSIBA. WHAT IS THE STATUS OF THE AGREEMENTNOW OVER 10 YEARS LATER?

The Joint IUF/COLSIBA/Chiquita Review Committee meets atleast twice per year to oversee the application of this agreement,and I have partici pated in every meeting. Our constructivedialogue on labor relations has replaced the distrust anddisruptive confrontations of the past. Were pleased that allcollective bargaining agreements have be en renewed withoutmajor conflicts.

In 2011, we establ ished the IUF/COLSIBA/Chiquita WomensCommittee to promote gender e quality. This initiative was wellreceived at the 2012 World Banana Forum conference in Ecuador,

where we par ticipated in the First Women Banana WorkersEncounter.

HOW DO YOU MANAGE YOUR CSR EFFO RTS IN AGLOBAL ORGANIZATION?CSR and Sustainability are integral par ts of our companypurpose and long-term strategy, which is reflected in our CSRleadership structure and i nternal reporting process.

I report to the CEO. As chair of the Corporate ResponsibilitySteering Committee and corporate responsibility officer, I repor tquarterly to the CEO and Operating Committee, which owns themanagement responsibility for complia nce and corporateresponsibility. In addition, our broadly representative CRSteering Committee prioritizes issues and oppor tunities, andprovides guidance to the CEO, Operating Committee, businessunits and the Board. Our vice president and chief complianceofficer is also a member of the steering committee and active i nour CSR initiatives.

Our Board has created a new Food Safety, Technology andSustainability Committee, which has oversight andresponsibility over the CSR/Sustainability function.

To further enhance our structure at the local le vel, we haveformed several teams, such as the Global Sustainability Counciland Regional Sustainabil ity Teams in Europe, North America andLatin America.

WHAT WOULD YOU SAY ARE THE MAIN CHALLENGESFOR YOUR CSR WORK, MO RE THAN 20 YEARS AFTER

INITIATING THE JOURNEY?

While we have made good progress, exciting challenges remain:

To strengthen our employees involvement with more localCSR initiatives and broadly sharing creative CSR efforts

To make substantial progress toward our declared goals inSustainability as well as health and safety

To communicate more effectively to a wid er public aboutour CSR work

To roll out our Responsible Sourcing strategy in definedstages to our global procurement activities, building on ourexperience in the banana business.

See TheEconomistarticleon Chiquita.Please view our videoto learn more.
http://www.economist.com/node/21551500http://www.economist.com/node/21551500http://www.economist.com/node/21551500http://www.economist.com/node/21551500https://vimeo.com/channels/chiquitacsr/41706255https://vimeo.com/channels/chiquitacsr/41706255http://www.economist.com/node/21551500



Sustainability Primary focus: Emissions/Energy, Water Focus on 2020 reduction targets

Company-wide integration

Maintain farm certificati on programs

Build new and strengthen existing alliances

Suppliers Implement revised Responsible Sourcing strategy

Employees Engage employees: More information and parti cipation

Health and Safety: Target Zero program

Diversity program: Opportunities for women

Productive labor relations locally and with Framework Agreement partne rs

Sustain and strengthen legal and Code of Conduct compliance and training

External Stakeholders Active role in selected organizations

Regular reporting and communication on CSR work

Our Sustainability Targets for 2020

from a 2007 baselineWater: 15% fresh water use reduction

Emissions: 30% carbon emissions reduction

Our CSR Priorities 2012-2015



Chiquita People:The Key to Our Success

In implementing our CSR programs, we aim to foster a culture of ethical conduct and responsible citizenship throughout the

entire organization, reflecting our Core Valuesof Integrity, Respect, Opportunity and Responsibility and ourCode of Conduct.

The 20,000 men and women who work at Chiquita come from many countries and cultures and speak numerous languages a diverse community reflecting the international character of our company.

This part of our report illustrates how we inform employees about their rights and responsibilities, support their health andsafety at work, and encourage them to participate and express their opinions.

Complying with the law and our Code of Conduct is an essential foundation of our CSR work. We strive to make sure thateveryone in the company is aware of these principles and his or her corresponding personal responsibilities. Allyson Bouldon,our vice president and chief compliance officer, reports on the work of her department, with a special focus on the Compliance

Helpline and training programs.

Training and educatingour 14,000 banana production employees is a major part of our CSR work. Every manager, supervisorand worker receives in-person training every year, several times per year. This training goes far beyond the daily tasks toinclude topics such as:

Our Core Values

Rights and duties of employees

Health and safety

Environmental responsibilities

Respect in the workplace Use of the Helpline

Chiquitasoccupational health and safety(OHS) program is a cornerstone of our CSR work. In our 2008 Report, we highlightedthe commitment to high health and safety standards made by the senior managers responsible for our operations in LatinAmerica. The OHS team is even stronger now and continues to make substantial progress.

OurLive Chiquita!initiative began in 2011 and has engaged and motivated employees with remarkable results! Chiquitasnew Volunteer Time Off programenables employees to devote one paid day each year working on community projects,including many related to corporate responsibility and sustainability.

Productive and stable labor relationswith our workers and their representatives are essential for our business. Over 60 percentof Chiquitas banana production employees are members of trade unions, and we negotiate and renew collective bargainingagreements on a regular basis. Chiquitas International Framework Agreementsigned in 2001 with the global and regionaltrade union federations, the IUF (International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and AlliedWorkers Associations) and COLSIBA, the coordinating body of banana and agro-industrial unions, has continued to deliverconstructive dialogue and serves as an effective forum for the resolution of local union-management disagreements.

In 2011, the Joint Review Committee, which monitors the implementation of this agreement, founded theWomensCommitteewhich focuses on gender issues.

Section at a Glance
http://www.chiquita.com/The-Chiquita-Difference/Ethics-Codes-of-Conduct.aspxhttp://www.chiquita.com/The-Chiquita-Difference/Ethics-Codes-of-Conduct.aspxhttp://www.chiquita.com/The-Chiquita-Difference/Ethics-Codes-of-Conduct.aspxhttp://www.chiquita.com/Chiquita/documents/CSR/Overview%20of%20VTO%20activities%20Chiquita%20rev%2024%2010%202012%20(3).pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/Overview%20of%20VTO%20activities%20Chiquita%20rev%2024%2010%202012%20(3).pdfhttp://www.chiquita.com/The-Chiquita-Difference/Ethics-Codes-of-Conduct.aspx



Compliance Group: Helpingto Ensure Ethical and Legal Conduct

Chiquita is committed to conducting its business operationsethically and legally in the communities in which it does businessaround the world.

At Chiquita, we do not tolerate harassment or discrimination,as is clearly stated in our Code of Conduct. Harassment anddiscrimination against others based on age, race, national origin,gender, disability, union membership, pregnancy and similarfactors are prohibited. By policy, we also prohibit conduct that isoffensive and inappropriate, even if this behavior does not riseto the level of unlawful harassment. Bullying and mobbing areexamples of this type of offensive and inappropriate conduct.

Bribery and other illegal behaviors in commercial transactions arenot tolerated. In addition, prompt reporting of potential or actualconflicts of interest is required so that appropriate inquiry andresolution can occur.

Chiquitas Compliance Group provides Helpline reporting support,training, policy development and interpretation, and otherassistance to help ensure global compliance with key laws andregulations. The Group also helps to spread awareness of thecompanys ethical standards and commitment to corporate

responsibility, both within and outside of the organization.

The Groups key responsibilities include:

Helpline operation

Online and other training

Code of Conduct and other policy guidance and compliance

Key policy ownership and monitoring of related laws

Data privacy compliance

Foreign Corrupt Practices Act (FCPA) certificationsand reporting

FCPA and other anti-bribery, anti-corruption guidance

Conflict of Interest certifications and reporting

International trade sanction vendor screenings

Internal investigations

Records retention

Internal and external reporting

Compliance Program monitoring and effectiveness assessment

Compliance risk assessment.

Management encourages employees to raise questions andconcerns to supervisors, to Human Resources personnel, throughChiquitas Helpline and through other sources.

The Helpline claim categories are bribery/corruption, conflicts ofinterest, financial misconduct/fraud, human resources/employmentrelations, privacy and confidentiality, retaliation, and safety/security.

Chiquita is committed to conducting its business operations

ethically and legally in the communities in which it does

business around the world.

Allyson Bo uldonCheif Compliance Officer



The Chiquita Helpline is:

Operated by an independent third party. Phone calls andemails are received and initially processed by independentthird parties

A way to report concerns or ask questions with confidentiality(and anonymity where permitted by local law) protected to

the fullest possible extent Available by phone or email, 24/7, in any language. Collect

calls are accepted.

Helpline Reports By Year

2008 2009 2010 2011 2012

TotalReportsReceived

135 111 156 172 141

Claims are promptly investigated under the supervision of thecompanys chief compliance officer. Approximately 40 percent ofinvestigations result in some sort of corrective action includingimprovements to our policies and procedures. Depending on theseverity of the matter, corrective action can include disciplinarymeasures, up to and including termination. Corrective action is usedfor both substantiated and unsubstantiated claims as part of ourcommitment to an ethical workplace.

Chiquita does not tolerate retaliation against persons who raiseconcerns in good faith or who may participate in investigations,

whether as investigators, witnesses, decision makers or in otherroles. Anyone with concerns about retaliation is encouraged toreport them.

2012 Corrective Action*

Action Taken Total

Disciplined (other than termination) 28.4%

Termination 9%

Performance Improvement Plan 6.8%

Policy Review 20.5%

Reassignment/Transfer 3.4%

Training Required 31.8%

* Based on all 2012 closed (as of March 2013) cases, both substantiated and unsubstantiated.

Employee Training ProgramsTraining is a major part of Chiquitas effort to help all plant, officeand field employees understand their professional responsibilities.Training is provided through a variety of means including live,webcast, written and online courses. Extensive online training isprovided to our employees who have email access, which is a totalof over 3,925 active users. Each of these employees can expect toreceive between four and eight courses per year.

There were six online Compliance courses in 2011, up from fourthe previous year. The 2011 Compliance course completion rateswere 90 to 100 percent. Employee Relations training tripled to sixcourses in 2011, with completion rates of 93 to 100 percent. Someof the topics covered in these online trainings included conflictsof interest and gifts, insider trading, Chiquitas Code of Conduct,equal employment opportunity, data privacy, antitrust, creating aharassment-free workplace and preventing sexual harassment.

Chiquitas chief compliance officer has a direct reportingrelationship to the chair of the Board of Directors Audit Committee.Day-to-day reporting is to the senior vice president and generalcounsel. The Compliance Group works closely with the companysHuman Resources, Internal Audit, Corporate Communications, Legaland Corporate Social Responsibility Groups.

The chief compliance officer serves as a member of the CorporateResponsibility Steering Committee and chairs the companys

Compliance Committee. The companys Compliance Committeeconsists of our Operating Committee, which is composed of ourchief executive officer and his direct reports, as well as the vicepresident of internal audit and the chief compliance officer. TheCompliance Committee meets a minimum of four times each year.



Raising Awareness: Key Roleof CSR Training and Education

Every employee participates several times a year in training and information programs related to the ethical responsibilities of employeesand the company.This training began with Rainforest Alliance certification, was strengthened by the SA8000 social standard, which alsorequires employee training, and includes legal compliance and Code of Conduct training.

Here are the statistics of our in-person training program for the men and women working in banana production*:

2010 2011 2012

Social, Environmental, Good Agricultural Practices 23,584 32,811 29,845

Occupational Health and Safety 15,844 20,288 25,819

Company Regulations 2,012 1,485 1,934

Total 41,440 54,584 57,598

* For online training statistics for employees with email access (not included here), see thearticleon the work of our compliance department.



Worker health and safety at all of our locations around the world are very important to our company, our employees, their familiesand communities. Providing safe and healthy working conditions is one of our core social responsibility commitments and an essentialcomponent of the certification standards (Rainforest Alliance, SA8000 and GLOBALG.A.P.) we use in our tropical operations.

We believe that all injuries are preventable and are committed to practices that seek to ensuresafe and healthy working conditions in all company workplaces. Through Chiquitas injury-reduction initiatives, we continue to develop and refine programs to safeguard the health andsafety of our employees. Our target is zero occupational health and safety (OHS) incidents withinour operations, and we will not rest until we achieve this objective.

Our Safety Record 2009-2012

In 2008, our Latin America leadership publicly committed to making substantial improvementsin the conditions impacting the occupational health and safety of our employees and contractors.

Our progress since 2008 has been significant and continues into 2013:

Since 2008, we have deployed a full-time OHS specialist at each of our Latin American farm divisions and port operations

Our Latin American operations achieved a 62 percent reduction in health and safety incident rates between 2008 and 2012, asmeasured by the OSHA recordable incident standard. In 2012 there were more than 2,500 fewer safety incidents requiring medicaltreatment greater than first aid or days away from work across our Latin America operations compared to 2008. (OSHA is the U.S.governments Occupational Safety and Health Administration.OSHA aims to assure safe and healthful working conditions forworking men and women by setting and enforcing standards and by providing training, outreach, education and assistance.)

At our North American operations, new safety programs and a focus on employee engagement have led to consistent annualimprovements with a 12 percent reduction in OSHA recordable incident rates in 2012 compared to 2008, and a 40 percent reductionsince 2002

Several Chiquita facilities in North America and Latin America have achieved meaningful safety milestones as measured by hours ordays worked without a lost time incident.

We also acknowledge that sadly there were six contractor fatalities during the years 2008 to 2010 in our Latin America port operations.Since 2011 however, Chiquita has been free of employee or contractor fatalities at all company facilities due to the focused efforts of our20,000 employees and more than 3,000 contractors.

Key Factors Driving Our Improved Safety Results

Occupational Health and Safety:Progressing to Target Zero

2009 Salinas, California Plant - 3 million hours

2011 Morrow, Georgia Plant - 1 million hours

2011 Chicago, Illinois Plant - 1 million hours

2011 Puerto Barrios, Guatemala - 1 million hours

2011 Port Everglades, Florida - 1,000 days

2012 Grand Prairie, Texas - 1,000 days


2012 Macrolotes Facility, Guatemala - 1 million hours

2013 Morrow, Georgia Plant - 1 million hours


2013 Harrisburg, Pennsylvania Plant - 1 million hours

Chiquita Safety Milestones No Lost Time Incidents
https://www.osha.gov/index.htmlhttps://www.osha.gov/index.htmlhttps://www.osha.gov/index.html



Increased leadership focus in our Latin America operations:

Active management involvement at all levels

OHS targets included in leadership goals and keyperformance indicators

Significant time and resources invested in training events

Important investments in infrastructure and personalprotective equipment to maintain appropriate safe workingconditions in all operations

Management-employee safety committees in each location

Close coordination and collaboration between our NorthAmerica and Latin America OHS teams

Circulating monthly compliance and behavior audit results

Sharing best practices

Benchmarking against comparable companies and activities

All of Chiquitas NA and LA operations are using the OSHA

recordkeeping criteria Focus on root cause analysis

Training and program emphasis placed on primary types ofincidents incurred in the previous quarter and year.

Target Zero: Our OHS Destination2013 marks the launch of our Target Zero initiative at every Chiquitafarm, port, manufacturing location and distribution facility acrossNorth America and Latin America. Each launch was unique to thefacility and gave employees an opportunity to learn about the

initiative and for many an opportunity to sign a banner expressingtheir commitment to working safely.

Our objective is to have zero safety incidents. With the numberof people we employ, thats a challenge to achieve, but it is verypossible to make improvements every single year in how weoperate and in the number of incidents. To get there, we will striveto deliver a 10 percent reduction in employee injuries every year inevery location. Our Target Zero program provides clear guidance forall leaders of employees and will become our safety platform formany years to come.

Target Zero: Leader Expectations

Commitment Commit time to employee and contractor safety Show by your actions that Safety Is Important at Chiquita!

Educate Help broadly share knowledge on how to work and live

safely Provide training that is simple, practical and effective

Own and Develop Our Safety Culture Share in the belief that every incident is preventable Encourage and recognize employees for providing

improvement ideas

Perform Deliver a 10 percent reduction in employee injuries every year Recognize great performance

We are proud of our progress to ensure safe and healthy workingconditions in all company workplaces and are extremely committedto continued improvement. Ed Lonergan, Chiquitas new chiefexecutive officer, recently said it this way:

It has been a surprise to me how strong the safety practicesat Chiquita are. The good news is that we operate very well incomplicated situations and have made tremendous progress inthe last several years in improving the safety performance ofthis company.

My objective is to keep that momentum going with an ultimatetarget of zero employees being injured on the job. For 2013, andfor every year after, we want to reduce injuries by 10 percentper year. This will require that we learn from every incident andfocus on continually improving both our workplaces and ourprocesses.



Live Chiquita!:

Engaging Our EmployeesWith employees all over the world, Chiquita has rich diversity. The support and dedication of each and every employee isessential for the success of our company. We strive daily to create a work environment that reflects the companys purpose andvalues and inspires employees to help deliver that purpose and values in not only the places where we work, but across thecommunities where we live.

In 2011, the Live Chiquita! initiative was designed to create a company culture to inspire our most valuable assetouremployees. Live Chiquita! has three pillars to energize hearts, engage minds and encourage success.

Go Chiquita - Energize HeartsFoster a culture of health by providing employees and their families with the knowledge and tools to make sound nutritiondecisions and lead healthy lifestyles.

Be Chiquita - Engage MindsStimulate and engage our peoples spirit and minds. Be Chiquita speaks to what we invest and believe in for our employees:personal and professional development, diversity and employee safety by acting responsibly in the communities in which welive, work and operate.

Love Chiquita - Encourage SuccessEncourage success through storytelling.real stories about our consumers, employees, and products.

Employee SurveySince 2010, Chiquita has conducted annual employee surveys with the aim of measuring employees attitudes about thecompany and our work environment. The target audience of these surveys has been more than 2,500 employees with emailaccess globally. The response rate has exceeded 70 percent.

The survey indicated many employees want to be better informed about the companys CSR programs, and to have moreopportunities for personal participation. An important insight from the survey was that employees consider corporate

responsibility a significant source of motivation and engagement, and are proud of Chiquitas work to address social andenvironmental issues. Recently, 2,500 employees in Latin America, Europe and North America participated in our new onlinetraining on corporate responsibility and sustainability, and over 60 percent expressed an interest in personally engaging in ourCSR work.


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COBALs Issues Registry: HandlingEmployee Concerns

Banana production depends on people far more than mostother types of farming. Product quality, production cost and theproductivity of the land depend to a high degree on the menand women working in cultivation, harvesting and packing thebananas. Every type of work needs to be carried out with precisionand care.

In this setting, it is of great importance that the relationshipsamong managers, supervisors and workers be fair, respectfuland disciplined. Chiquitas Core Values of ethical conduct play animportant role in defining the behavior of all Chiquita employees,and set a standard for everyone in the company. Dealing fairlyand promptly with grievances and complaints is an importantaspect of good management-labor relations. While ChiquitasHelpline provides an effective method for handling complaints andconcerns, it is also necessary that employees and especially farmworkers have a local channel to address their concerns promptly.The importance of this for employees and the entire organization isconsiderable: Neglected complaints can become a major cause ofdissatisfaction and conflictive labor relations.

The labor relations department of COBAL, Chiquitas Costa Ricanorganization, has developed a system to address worker complaintssystematically and promptly: The Labor Relations Issues Registryand Resolution Tracking System.

COBALs operation is complex. It has more than 30 farmsdistributed in two provinces, of more than 6,000 hectaresand close to 4,000 employees. Labor relations involve 24permanent committees of employees, three trade unionsand two collective bargaining agreements. At regularmeetings, managers and worker representatives handleover 1,000 complaints and suggestions per year. Suchcomplexity motivated the creation of the Labor RelationsIssues Registry by Marco La Touche, COBALs labor relationsmanager, with the assistance of the divisions labor issuesanalyst and labor relations specialists. The operation of the

system involves worker representatives, farm managers,labor relations specialists and the labor relations analyst.

The COBAL system, which has been in operation since 2006,records all issues, assigns a level of urgency to each one,

tracks the action taken to resolve the issue, and records the dateof closure and the length of time for resolution. It has evolved intoan instrument to measure the performance of the organization inhandling worker complaints and concerns, and provides accurateinformation regarding the issues that concern employees.

The system has evolved substantially over the years and functionsas follows:

Worker representatives receive complaint or suggestion fromworkers

The issues are presented to the farm manager or the laborrelations specialist by worker representatives

At monthly meetings of worker representatives with the farmmanager and the labor relations specialist, issues which canbe resolved immediately by the farm manager are identified.For issues that cannot be resolved immediately, the parties

agree either on the solution, or on the time required bymanagement to respond regarding the feasibility of a solution.This agreement is recorded in a statement signed by themeeting participants

t the monthly Modelo farm committee meeting in October 2012, participants (left to right) are Dianaegura, farm manager; Rigoberto Montiel, field worker representative; Jos Yilder, packing stationorker representative; Adolfo Umaa, field worker representative; and Roberto Gonzlez, labor

elations specialist.



The agreement is recorded in the tracking system, whichpermits data entry in multiple locations by authorizedemployees. For each issue, the system creates a uniqueidentification number and records the person responsiblefor its resolution. Issues are classified by category, and areautomatically assigned a target resolution date according tothe type of issue. For example:

Issue Target Resolution Days

Minor Payroll Issue (25,000 C.) 7

Health and Safety 14

Worker Treatment 14

New Pedestrian Bridges 56

At the following monthly meeting of worker representativesand farm management, they evaluate the status ofpreviously recorded issues. An issue is closed when workerrepresentatives confirm its resolution

At a monthly meeting of farm managers and departmentheads, they address any issues delayed past the target date

At quarterly meetings with the engineering department,participants discuss ways to expedite infrastructureimprovements, since delays not only affect the well-being of

employees, but also product quality, productivity and safety In a recent development, the tracking system records the

actual issue resolution time and awards points on a 1 to 5scale, depending on whether resolution occurred early, ontarget or late. It establishes the score of the person responsible,and also calculates the score of the entire organization. Thisscore is a factor in the performance evaluation of managers.

In 2011, 303 meetings of COBAL management with workerrepresentatives took place with 98 percent of the 1,053recorded issues resolved by January 2012. In 2012, 993worker concerns were registered and 98 percent were resolvedby January 2013 (see 2012 Results).The benefits of thismethodical approach are becoming clear:

Since 2006 the interventions of the Ministry of Labor inresolving issues have decreased by over 70 percent (from 17cases in 2006 to 4 in 2011)

Managers and workers have become more skilled in dialogueand conflict resolution without the intervention or arbitrationby the authorities

Managers and supervisors are more committed to theprevention and resolution of conflicts

The representatives of workers are more focused ondealing with priority issues, quite different from the tactical

presentation of complaints of limited practical relevance, aproblem of the past.

This innovative system is contributing to the prompt and effectiveresolution of workers complaints and concerns, and is setting ahigh standard for the management of labor relations.

Worker ComplaintsCobal, Costa Rica, 2011

Percentage

Infrastructures 77%

Payroll Errors 11%

Collective Agreements 6%

Health and Safety 5%

Management Conduct 1%

At a meeting of the labor relations committee at Sixaola farm in October 2012,the Sitrachir union representatives are (on left from top) : Rene Garcia Miranda, gen-eral secretary; Luis Aguirre Gmez, assistant secretary; and Walter Capbell Gmez,conflict delegate. Participants for Chiquita are (on right from top) Roiner MoyaGarcia, farm manager, and Eliseo Obando Pimentel, labor relations specialist.

Participants at the permanent committee meeting at Canfin Farm in December 2012are (center) Enrique Barbaro Bucardo, permanent committee, delegate of Sitagahunion; (right) Martin Orozco Blandon, permanent committee, member of Sitagahunion; and (left) Fernando Montero Retana, Chiquita labor relations specialist.
http://www.chiquita.com/Chiquita/documents/CSR/Completion_of_Worker_Issues.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/Completion_of_Worker_Issues.pdf



Collaboration with Unions:Focus on Women

Women make an important contribution in Chiquitas banana

farming business. Approximately 2,800 women, equivalent to 16percent of total employees, are employed in production operationsin Latin America. In administrative and supervisory positions, thepercentage is higher at 21 percent.

In 2011, the company and trade unions formed the IUF/COLSIBA/Chiquita Womens Committee, which seeks improvement forwomen working in the banana farms. Its main goal is to promoteand reinforce a safe workplace, free of harassment, exclusion orinequality, and to improve the opportunities available to women bysupporting their personal and professional development.

Where It StartedIn 2001, Chiquita became the first and to date the only company in the sector to sign an International FrameworkAgreement with global and regional trade union organizations. Tounderline its importance, Juan Somava, Director General of theInternational Labour Organization (ILO), witnessed the signing oftheIUF/ COLSIBA/Chiquita Agreement on Freedom of Association,Minimum Labor Standards and Employment in Latin AmericaBanana Operations.He joined leaders of Chiquita; the InternationalUnion of Food, Agricultural, Hotel, Restaurant, Catering, Tobaccoand Allied Workers Associations (IUF); and the Latin AmericanCoordinator of Banana and Agro-industrial Unions (COLSIBA).

Since then, the Joint Review Committee has met at least twice ayear to oversee the application of this agreement and to handle anyissues that negotiations with local trade unions have not resolvedsatisfactorily.

In April 2011, the women participating at the Joint Review

Committee meeting identified the need and opportunity to worktogether constructively to tackle gender issues in banana farms,and formed the Womens Committee. Its founding members areSue Longley and Barbro Budin of the IUF; Iris Mungua, Adela Torresand Mireya Rodrguez of COLSIBA; Irene Sandoval, Sandra Camposand Marco La Touche of Chiquita.

At its first meeting in August 2011, the committee developeda report on the issues and actions to execute together, whichthey presented at the next Joint Review Committee Meeting. TheWomens Committee called for the following steps:

1) Strengthen Chiquitas policies to fur ther improve the workingconditions of women at company farms:a) Include a clause on improved conditions for women in the

IUF/COLSIBA/Chiquita Agreementb) Include the same clause in all collective

bargaining agreements

2) Develop an awareness and information campaign for womento advance technical skills, womens rights, health and safety, aswell as to provide role models, beginning with a pilot program

in Panama3) Develop plans to increase employment opportunities for

women

The IUF/COLSIBA/Chiquita Womens Committee is a good example that others could follow. It is the

outcome of a process of negotiations and joint work between unions and the company that has taken

place over more than 10 years. To date, Chiquita is the only company in the sector to make such acommitment.

The challenge, as with other parts of the agreement, is to get things applied on the ground so moving

ahead with a pilot project on womens employment will be a crucial next step.- Sue Longley, International Officer for Agriculture and Plantations, IUF
http://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/IUF-english.pdf



Work of the Committee A total of 10 meetings were held in 2011 and 2012

Committee members representing IUF, COLSIBA and Chiquita presented at two events in early 2012: the first World Meetingof Women Banana Workers and the World Banana Forum (WBF) in Guayaquil, Ecuador. Participants applauded the effortand suggested expanding the model to other banana companies

This innovative model is being included in the agenda of the WBF working group on labor rights and working conditions, tobe supported and replicated

Finalized the clause to add to the IUF/COLSIBA/Chiquita Framework Agreement

Discussed the implementation in 2013 of the pilot project in Panama focused on the improvement of conditions andopportunities for women, with the participation of the company, trade unions, workers and local leaders.

Iris Mungua, coordinator of COLSIBA, said: Other companies could get involved in similar initiatives because the issues are

similar, which means that the solutions may be shared and could work for the industry.

The most important achievement of the Committee has been to sit down at the dialogue table to express and share our pointsof view, including agreements and disagreements, added Ms. Mungua.

I think the Womens Committee is a model that allows us to develop specific processes focused on womens needs, so othercompanies will become interested and provide support, said Adela Torres Valoy, general secretary of SINTRAINAGRO (Colombia)and gender issues coordinator at COLSIBA. Our biggest achievement so far has been the completion of the clause for inclusion inthe Framework Agreement and collective bargaining agreements. We have been able to work very well together.

Gender Issues on Chiquitas Agenda

Chiquita does not tolerate discrimination or any form of harassment, as is clearly stated in the Code of Conduct:

At Chiquita, we do not tolerate harassment or any conduct which creates a work environment thatis considered intimidating, hostile or offensive. Likewise, unwelcome sexual flirtations, advancesor propositions, graphic or verbal comments about an individual, or sexually explicit or offensivejokes, unnecessary touching, and any other unwelcome verbal or physical conduct of a sexualnature is prohibited.

IUF/COLSIBA/Chiquita Womens Committee participants at the Banana Womens Summit - Guayaquil, Ecuador, in February 2012.Photo by Barbora Mrzkov, NaZemi,www.makefruitfair.org
http://www.makefruitfair.org/http://www.makefruitfair.org/http://www.makefruitfair.org/



The dialogue initiated over 10 years ago by the IUF/COLSIBA/Chiquita Framework Agreement has

matured and expanded. The parties are working together in a constructive spirit on new solutions.

The IUF/COLSIBA/Chiquita Womens Committee focusing on womens employment issues in banana

operations is an important example of a collaborative process that we expect will lead to more

concrete progress on the ground. This process distinguishes Chiquita from the rest of its competitors

in the banana industry.

- Stephen Coats*, Executive Director USLEAP - Labor Education in the Americas Project*Stephen Coats, who passed away recently, dedicated his life to improving the working and living condition offarm laborers in Latin America. He will be remembered for his passionate but always thoughtful and balanced

advocacy of the rights of workers, which has unquestionably advanced the well-being ofagricultural workers in the region.

Any harassment will not be tolerated, regardless of whether you are on company premises orare engaged in off-hours business-related functions, such as holiday parties or business travel.Harassment may be grounds for immediate dismissal, and it can subject both you and the companyto severe legal penalties.

We should each help foster a harassment-free work environment by speaking out when a co-workers conduct makes us uncomfortable. We strictly prohibit retaliation against employees who

report discrimination or harassment.

The role and rights of women emerged as a key area of focus when Chiquita adopted the SA8000 labor rights standard and in2000 included it in the revised Code of Conduct. This focus has been maintained by the rigorous process of annual SA8000 audits,our internal training and education programs, our zero tolerance approach to any violations, our Helpline and other systemsfor complaints and grievances, as well as our work with unions at local and international levels.

Establishing the joint Womens Committee has been a positive step for the banana industry. Its members from the IUF, COLSIBAand Chiquita are focused on making a better workplace environment and training available to women so they are ready to takeadvantage of opportunities in the years ahead.



Environment and Sustainability:Journey with Purpose

During the early 1990s, Chiquita began working with the Rainforest Alliance certificati on program, and embarked on thejourney toward sustainab le agriculture.

In 2009, our Corporate Responsibilit y Steering Committee initiated a company-wide Sustainabili ty initiative withprimar y emphasis on greenhouse gas emission s and water, and secondary focus on material s use and biodiversit y. Belowwe outline some of the sustainabi lity work that has since blossomed in many locat ions.

In February 2012, we celebrated20 years of collaboration with the Rainforest Alli anceat a public event at the FruitLogistica fair in Berlin, wi th the partici pation of Tensie Whelan, president of the Rainforest Alliance, and representativesof the par tners in our biodiversity par tnerships.

Since 2009, we have, with the expert assista nce of MIT (Massachusetts Institute of Technology), devel oped thecarbonfootprintof Chiquita bananas from field to the retail shelf.

Our European colleagues have also moved ahead in the search for sustainab ility solut ions. Our team in the Netherlands,for example, designed a new carbon-neutral banana ripening facility, which may well become a model forall such facilities.

We teamed up with WWF International to define the water footprintsof our Fresh Express salads and Chiquita bananas,to identify risks related to this precious resource and to highlight areas requiring priorit y attention.

Our Fresh Express packaged salads are primari ly grown in the western United States where fresh water is in short supply.

In this report, we profile the work of our agronomists in developing the GAIN projectto improve salad farming practi cesdesigned to minimize fertilizer and irrigation water use while maintaining product quality and field yields.

Our North American transpor tation depar tment has collaborated with the U.S. governments SmartWay initiative forseveral years to reduce the environmental impac t of our road transportation.

Ocean shipping contributes substantiall y to the carbon emissions of the banana lifecycle. Our logistics exper ts have madechanges to our container fleetthat are yielding major reduc tions in costs and emissions.

In Costa Rica, Mundima r, Chiquitas fruit processing plant, has installed a biodigesteras par t of an ambi tious Waste toEnergy program. The biodigester provides two ma jor benefits: e nsuring that the pla nts water is compliant with Costa

Ricas strict environmental laws, and generatin g electricit y from methane gas. This pioneering innovation wasinaugurated in 2011 with the president of Costa Rica in attendance.

Mundimar also developed a passion fruit juice projectwith the parti cipation of more than 100 smallfarmers in Costa Rica.

A lot of work, and much more to do!

Section at a Glance



Rainforest Alliance:20 Years of Collaboration

In 2012 Chiquita reached a milestone: 20 years of collaborationwith the Rainforest Allia nce probably one of the longestsustained relationshi ps between a company and an NGO. InFebruary 2012 at the international Fruit Logistica fai r in Berlin,Chiquita joined wit h representatives of the Rainforest Alliance,as well as leading retail ers MIGROS and REWE Group, incelebrating the 20th anniversar y as well as the powerful idea offarmers collaborating with like-minded civil societyorganizations and companies to improve the social andenvironmental impact of their activities.

From a cautious test on two farms has grown a ne twork of over40,000 hectares (98,840 acres) of Rainforest Alliance Certifie dbanana farms that i ncludes not only Chiqui tas owned farms inLatin America, but also over 200 local growers who supplyChiquita. All of these certified farms imple ment the SustainableAgriculture Network (SAN) Standard pione ered by theRainforest Alliance, which includes comprehensive social andenvironmental requirements. Independe nt exper ts on behalfof the Rainforest Alliance and other memb ers of the SAN auditfarms on an annual basis for compliance with these sta ndards.

1992 to 2012: Working with the Rainforest AllianceWhen the Rainforest Alliance first proposed that ba nanacompanies adopt its comprehensive social and environmentalstandards, this was a revolutionar y idea. After evaluating theconcept, Chiquita proceeded to qualify for Rai nforest Alliancecertificati on of all owned banana farms in Latin America, byimproving production practices and facilities, and trainingthousands of farm workers, supervisors and managers.Subsequently, Chiquita encouraged numerous independent

banana farms to become Rainforest Alliance Certified.

Rainforest Alliance certi fication has not only transformedfarms and production pract ices, but has also planted a seed ofenvironmental and social responsibilit y in the minds of manythousands of men and women working in banana product ion.We are grateful to the Rainforest Alliance for it s positiveinfluence, said M anuel R odriguez, Chiquitas corporateresponsibilit y officer.

Tensie Whelan, president of the Rainforest Al liance, agrees: The

Rainforest Alliance lau nched its banana program in 1990 inresponse to the social and environmental abuses on bana naplantations. Chiquitas commitment to Rainforest Alliancecertificati on over the past 20 years has helped transform thebanana industr y into a more sustainable model, improvingworking conditions while conser ving natural resources.

The Sustainable Agriculture Network (SAN)SAN Principles Management System

Wildlife Protection

Water Conservation

Working Conditions

Occupational Health

Community Relations

Integrated Crop Management Soil Conservation

Integrated Waste Management

For the detailed principles visit:http://sanstandards.org/sitio/subsections/display/7
http://sanstandards.org/sitio/subsections/display/7http://sanstandards.org/sitio/subsections/display/7



In his speech, Manuel Rodriguez poi nted to the impact of RainforestAlliance cer tification: Of the many changes, there is one whichstands out: the impact on the atti tudes of workers andmanagement, the result of regular training, but also of theexperience of impleme ntation.

2003: MIGROS and Chiquita Launch the Nature andCommunity Project

Chiquitas experience with Rainforest All iance certifi cation alsoopened the gates to productive partnership s with customers. In2003, Chiquita and leading Swiss retail er MIGROS joined in abiodiversit y partnershi p with the aim to protect and connectrainforest areas in Costa R ica. Soon a fter, the German governmentsGTZ (now Deutsche Gesellschaft fr Internationale Zusammenarbei tGmbH GIZ) became a partne r. More recently, the British retailerIPL/ASDA also joined t he partne rship. Thomas Schmid of MIGROSstates: We are committed to work toge ther for a common goal:Long-term conservation of the planets biodiversity for futuregenerations.

2008: REWE Group and Chiquita JoinForces in PanamaA second biodiversity par tnership was born in 2008, when GermanRetailer REWE and Chiqu ita agreed to work together in the Bocasprovince of Panama to conserve valuable wetlands and e ndangeredspecies, in cooperation with the local communit y, farmers andgovernment authorities. Soon after, REWE Group and Chiquitabroadened their scope of activitie s and entered in a developmentpartne rship with the Costa Rican federation of banana growers

(CORBANA) and the GIZ working on behalf of the Federal Ministryfor Economic Cooperation and Deve lopment (BMZ). In thiscooperation, the work of the project has been ex tended to theSixaola region of Costa Rica focusing on activi ties to improve theliving conditions of the communiti es in this border region ofPanama and Costa Rica.

Dr. Josef Lneburg of REWE Group remarks: This project is a

valuable component of our company-wide sustainability initiative.Dialogue and cooperation with local communitie s distinguish thispartne rship and are the keys to it s success.

A Bottom-Up Approach to Biodiversity ConservationThese par tnerships represe nt a bottom-up approach tobiodiversit y conservatio n, very di fferent from the top-downapproach that has sometimes consumed large resources withdisappointing results. Community participation is especiallyimporta nt, as expressed in our motto:

Conserving biodiversity, with the community and for thecommunity

In the latest development, Chiquita in 2011 together wit h otherlocal and international companies and organizations initiated thefoundation of Biodiversity Partnership Mesoamerica (BPM)in aneffort to encourage and assist the multiplication of similarpartnerships.

Please view our videoto learn more.

During the 20 years Chiquita has been working with the Rainforest Alliance, we have witnessed the

transformation of tens of thousands of hectares of Rainforest Alliance certified banana and pineapple

farms to improve everything from water quality to wildlife protection to worker housing. We look forward

to building on that progress with Chiquita, helping producers, consumers, and the planet, over the next

20 years.

- Tensie Whelan, president of the Rainforest Alliance
http://www.chiquita.com/Chiquita/documents/CSR/0807%20Fruit%20Logistica%20Event%20MR%20Speech%208a.pdfhttp://ecoalianzas.org/website/images/BPM%20ING.pdfhttps://vimeo.com/channels/chiquitacsr/50792313https://vimeo.com/channels/chiquitacsr/50792313http://ecoalianzas.org/website/images/BPM%20ING.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/0807%20Fruit%20Logistica%20Event%20MR%20Speech%208a.pdf



Carbon Footprint of Bananas:Working with MIT

Chiquita teamed up with Dr. Edgar Blanco of MIT (MassachusettsInstitute of Technology) and his team to explore the carb on footprintof bananas from farms in Latin America to retailers in North Americaand Europe.

The resulting study, published in 2011, not only has provided deepinsight into the greenhouse gas emissions from every pha se ofbanana production and transpor tation, but also has identified thegreatest opportuniti es for reducing emissions.

BackgroundIn 2006, Chiquitas North American transpor tation planning teampartne red with the Center for Transportat ion and Logistics (CTL) atMIT. Working wi th the carbon- efficient suppl y chains research groupled by Dr. Blanco and the manage ment of Shaws supermarket, theteam developed a carbo n footprint analysis for bananas from thetropics to markets in Nor th America. The study was completed inMarch 2009.

In May 2009, the Supply Chain Leaders in Action Association (SCLA)recognized Chiquita with the Circle of Excellence Award for its

Corporate Responsibility work a nd its initiative to measure itscarbon footprint from farm to retail with high-qual ity methodolog y.

Later in 2009, Chiquita became a founding member of the Glob alLeaders of Environmental Assessment and Performance (LEAP)consortium, in par tnership with CTL and the Material Science Lab ofMIT. Within the framework of this collaboration, Chiq uita decid ed toexpand the scope of the banana carbon footpri nt and incorporateEurope and Latin America as part of the analysis. In 2010, theanalysis integrating the data from farms in Latin America to marketsof North America and Europe was completed, including an ex ternal

peer review of the methodolo gy.

Previous carbon footprint measurements for bananas have differedwidely as calculati ons have not been based on standardizedmethodology. The MITChiquita study i ncludes the full rang e ofinput materials and Chiquitas shipping data, including the round-

trip records for banana ships. The team followed a process-basedmethodology that was consistent with Internationa l StandardsOrganization (ISO) standards for life cycle analysis and influencedby leading carbon-lab eling programs, such as thePAS 2050 (British Standards Instit ute 2008) standard used by theCarbon Trust.

Banana Carbon Footprint(Farm-to-Retail Distribution Center)

North America Europe

Per box (18.14 Kg / 40 lb) 17 Kg / 38 lb 23 Kg / 50 lb

Per Kg 1.0 Kg 1.3 Kg

Per banana* 160 g / 5.8 oz 220 g / 7.7 oz

*105 bananas per box

58%

8%5%

13%

16%

Refrigerants

Distribution Facilities

Production

Transportation

Packaging & Disposal

l

l

36%

13%7%

22%

22%

l

l

Refrigerants

Distribution Facilities

Production

Transportation

Packaging & Disposal

Europe

North America



Learning from the Carbon Footprint DataSince this information has become availab le, Chiquita has made considera ble progress in reducing greenhouse gasemissions:

Renewal of the container fleet, with reductions of emissions caused by refrigerants, reduced energy use, and climate-friendly equipment designs

The completion of a new carbon-neutral ripening facility, which provides a testing ground for climate-friendly technology

Progress in North America, as the Enivrontmental Protection Agencys SmartWay concept is applied to inland

transportation 37 percent reduction of the carbon emissions per box of bananas arising from ocean transportation from Latin America to

Europe during the 2009-2012 period.

However, this is only the beginning of a long-term effort to reduce carbon emissions and energy use, with bene fits forsociety and our company.

For more detail, see the Executive Summar y of the MIT Carbon Footprint Study.

1 Kg bananas = 1.3 Kg CO2e in Europe1.0 Kg in North America

Bananas: 560 g 1.3 Kg CO2e / Kg (various studies)

Apples: 100 g 1.5 Kg CO2e / Kg

Asparagus: 500 g 12 kg CO2e / Kg

Sugar: 300 g 600 g CO2e / Kg

1 banana = 225 g CO2e in Europe160 g in North America

Soft drink (sugared): 225 g per can, 360 g per glass bottl e

Smoothie: 209 g per 250 ml bottle

A large cappuccino: 235 g

A locally brewed pint of beer: 300 g

Hybrid car: 90 g CO2e / Km

Carbon Footprint: How Do Bananas Compare?

0

20

40

60

80

100

2009 2010 2011 2012

100

88

78

63

Carbon Emissions per Box of Bananas(Shipping Latin America to Europe, fuel use only)

Index 2009 = 100
http://www.chiquita.com/Chiquita/documents/CSR/0517_2013_Exec_Sum_MIT_CarbonFootprint_2011_MIT_FINAL.pdfhttp://www.chiquita.com/Chiquita/documents/CSR/0517_2013_Exec_Sum_MIT_CarbonFootprint_2011_MIT_FINAL.pdf



Sustainable Investment: NewRipening Center in the Netherlands

After many years of ripening Chiquita bananas in the Dutch townof Gorinchem, the company invested in one of the first (if not thefirst) carbon neutral banana ripening facilities in the world. Itspioneering design meets high standards of sustainability, productquality and employee well-being.

Benelux Director Franklin Ginus worked with Olaf Van Dooren, thecompanys technologist, to develop the new facility for ChiquitaNetherlands, which officially opened in November 2011. Thebuilding, which houses offices and ripening rooms, features several

state-of-the-art technologies: Patented reversed air technology

Patented Stop & Go technology

Na

our renewed purpose

Documents