GALLO RELEASES SUSTAINABILITY IMPACT REPORT SHOWCASING SIGNIFICANT MOVEMENT ACROSS ALL INITIATIVES

MODESTO, CA - September 18, 2024 - Celebrating a 90-year legacy of industry leadership, GALLO released its Sustainability Impact Report today. The comprehensive report highlights GALLO's significant achievements toward core sustainability goals, including reducing greenhouse gas emissions, developing systems and processes to implement lightweight glass and sustainable packaging across much of its portfolio, and championing diversity and inclusion initiatives.

Since its founding by Ernest and Julio Gallo in 1933, GALLO has kept sustainable practices as one of its core values. Today, a dedicated Sustainability Steering Committee - led by Chief Marketing Officer, Stephanie Gallo - guides the company's strategic direction, ensuring these values are integrated across GALLO's diverse product portfolio, including wines, spirits, ready-to-drink alcohol beverages, and beer.

"GALLO's commitment to our founders' vision has expanded to not only protecting the land for future generations, but also improving the quality of life for our employees and enhancing the communities where we work and live. This report traces our journey to operate sustainably from 1933 to today, starting with a special tribute to one of the earliest stewards of the environment, the late Robert J. Gallo, my uncle," said Stephanie Gallo, Chief Marketing Officer. "I am incredibly proud of the work GALLO continues to do in translating values into powerful operational successes."

Environmental Sustainability Innovations & Successes

GALLO remains dedicated to continuously improving its processes and sourcing strategies, reducing its carbon footprint, innovating on lightweight glass and sustainable packaging, and preserving natural resources. Some of the successes highlighted in the Sustainability Impact Report include:

• Process Water Management: An average of 141,164,601 gallons of process water is managed annually at the Livingston, California winery through an onsite water-to-energy plant.
• Renewable Energy: Across all GALLO sites, 13,566,104 kilowatt hours of electricity are generated annually from solar, co-generation from biogas (treatment of process water), and turbines.
• Repurposed Biodegradable Waste: 154,064 tons of biodegradable waste was repurposed annually across all sites, including composting 44,000 tons of organic and green waste and selling 109,000 tons as animal feed to local farmers.
• Increasing Circularity to Reduce Waste: GALLO set a goal for 85% of its primary packaging to be 100% recyclable by 2030. This increases circularity and reduces waste, while also targeting lower emissions. GALLO has already achieved this goal ahead of schedule, with a focus on the remaining 15% of the portfolio's primary packaging.
• Transportation Efficiency: Approximately 3 million over-the-road miles are being reduced annually due to closer proximity of products coming from GALLO's East Coast Regional Distribution Center in South Carolina.
• Landfill Diversion: GALLO is targeting diverting nearly 200,000 tons of glass from landfills annually through Halo Glass Recycling, the largest glass recycling facility in North America.
• Best-in-Class Lightweight Bottle (weighing 397 grams): Lightweight bottles require fewer raw materials and less energy in the manufacturing of the package, as well as less fuel to transport the package from the supplier to GALLO to customers, which reduces carbon emissions and saves resources.
• Industry Certifications: GALLO was the first winery in the U.S. to receive the International Standards Organization's ISO 14001 certification. Additionally, all of GALLO's California vineyards and wineries are certified under the California Sustainable Winegrowing Alliance program.

Commitment to Diversity and Inclusion

As a global company, GALLO seeks diversity in all its dimensions to build a stronger, more inclusive company. Set by GALLO's Diversity & Inclusion Council, the company's D&I priorities act as critical drivers to accelerate its journey by amplifying the values of an inclusive workplace. GALLO's goal is to create an internal environment that supports all in feeling valued for their own unique differences.

GALLO is also strengthening its collective impact through education and awareness initiatives led by seven Employee Resource Groups (ERGs). The ERGs, which are outlined in the report, provide opportunities for professional growth and learning, cross-functional collaboration, community engagement and volunteering, and leadership.

To access GALLO's Sustainability Impact Report, visit gallo.com/responsibility.

About GALLO

Founded in 1933 by brothers Ernest and Julio Gallo, GALLO is a family-owned company and global leader in wine, spirits, malt beverages, and RTDs. With a goal of serving joy in moments that matter, GALLO is deeply committed to sustainability and providing the highest quality products for every occasion. GALLO's entire portfolio is featured here: https://www.gallo.com/portfolio/

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