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Our progres against comitments and targets

The targets and commitments set out below are a mixture of ongoing projects, future aspirations, longer-term objectives and repeating annual aims. Targets with a defined period that were stated as met in last year’s report have been excluded. Commitments and targets are at a Partnership level unless otherwise stated.

COMMITMENTS AND TARGETS STATUS PROGRESS MADE DURING 2009/10 RELATED INFO

OUR PEOPLE

Aim to achieve an upper quartile score on percentage of Partners who agree/strongly agree for each question in the Partner Survey. Partially met; ongoing Page 12

15 questions from the May 2010 survey scored an upper quartile score. Of the remainder, five scored in the top 50% and eight in the bottom 50%, indicating that while there are some areas where Partner experience is meeting and exceeding expectations, there are also areas where we need to improve.

OUR CUSTOMERS, PRODUCTS AND SUPPLIERS

All own-brand supplier sites to register on Sedex and complete self-assessment; independently audit high-priority supplier sites Ongoing John Lewis: 1,237 registered, equivalent to 76%; 57% of registered sites completing self-assessment. Launched an audit framework for own-brand suppliers, fully identified high-priority suppliers and rolled out an independent third-party audit programme. Waitrose: 914 registered (96.1%); 92% of registered sites completing self-assessment. Audited all high-priority supplier sites. Page 15

Pre-agree terms of payment; pay promptly and fairly. Ongoing Payment terms are included in standard terms and conditions; we remain committed to the principles of the Prompt Payment Code. N/A

Waitrose: We are committed to nurture and develop smaller suppliers and strengthen relationships within the community. Ongoing Our local and regional sourcing covers nearly 2,500 locally and regionally sourced products from over 450 producers. We also invite local farmers into shops to meet customers, and to attend supplier conferences and industry workshops. These help smaller producers to understand food legislation and ensure best practice is shared throughout our supply chain. Page 16

Waitrose: To supply the best-quality produce in season, and when sourcing worldwide fruits, vegetables and flowers, aim to minimise environmental impact by working to achieve LEAF certification. Ongoing We sell more UK fruit and vegetables (relative to sales) than our competitors, and 100% of our fresh chicken, beef, pork, milk, eggs and cream are British. Waitrose is the only UK retailer to have all its British fruit, vegetable and major flower growers meeting the LEAF Marque certification standard, and we are working to extend the standard globally during 2010. Page 16

Waitrose: Maintain industry-leading standards on animal welfare. Ongoing Waitrose was named the UK’s Most Compassionate Supermarket 2009/10 by Compassion in World Farming. Page 16

Waitrose: We are committed to continue to only source fish from sustainable wild sources and responsibly farmed aquaculture. Ongoing Waitrose, alongside M&S, was named ‘best of the bunch’ in a Which? report on fish sustainability, labelling and supermarket policies in June 2010. Page 16

Waitrose: Work with suppliers on healthier everyday products. Ongoing Considerable work has taken place on saturated fat with reductions in desserts, biscuits and sandwiches. We have also switched to semi-skimmed milk in our coffee shops. Page 19

Waitrose: Continue to expand the Nutrition Advice service to meet demand for nutrition and health information. Ongoing We continue to provide nutrition and health information through our Nutrition Advice Service and recipe cards, and have extended our on-pack ‘traffic-light’ labelling to include percentage Guideline Daily Amounts (GDA). Page 19

Waitrose: Support the Roundtable on Sustainable Palm Oil (RSPO); develop a sustainable palm oil strategy. Ongoing Waitrose remains a member of the RSPO and has set a target to use only Certified Sustainable Palm Oil (CSPO) in own-brand products by the end of 2012. Page 17

Waitrose: Continue to support Fairtrade products through Fairtrade fortnight and in-store promotions, including dedicated point-of-sale materials and Fairtrade farmer stories. Ongoing We supported Fairtrade Fortnight in March 2010, and continue to build our Fairtrade offer. Waitrose became the first supermarket to exclusively stock the first Fairtrade cola, Ubuntu Cola. Page 18

John Lewis: In 2010, double the number of Fairtrade lines in both existing and new categories. On track In spring 2010, we launched Fairtrade-branded products in fashion. John Lewis has also been granted a Fairtrade licence to produce and import own-brand clothing products. Page 18

John Lewis: All outdoor furniture to be FSC-certified for 2010 season; extend timber sourcing policy to all wood-based furniture and non-furniture products. Met; ongoing All outdoor furniture sold in 2010 was FSC-certified. We remain committed to extending our timber sourcing policy to all woodbased products (see indoor furniture target below). Page 17

John Lewis: By 2015, 50% of our indoor furniture ranges will be FSC-certified. (Revised target). On track We have extended our timber programme to indoor furniture ranges (Living and Dining, Bedroom and Upholstery). Our target was previously 30% by 2012 but during 2009/10, we increased our ambition to 50% by 2015. Page 17