As part of the Clinton Global Initiative, Cisco committed to a 10-percent reduction in the carbon dioxide emissions that result from our corporate air travel in FY07. To this end, we invested $22.2 million in collaboration technologies, implementing Cisco TelePresence, Cisco Unified Communications, and Cisco Shared Workspace capabilities in our locations worldwide.

Progress This Year

During FY07 Cisco’s year-over-year revenue rose 22.6 percent, substantially increasing our air-travel reduction challenge. However, air-travel data shows only a 5.6-percent increase in greenhouse gas emissions from FY06 to FY07. Normalized by sales revenue, our emissions from air travel fell by 14 percent during FY07. Cisco has therefore made progress in decoupling growth in revenue from the growth in emissions due to air travel. Cisco air-travel emissions metrics will be updated in FY08 to reflect the recent IronPort and WebEx acquisitions as well as Scientific Atlanta travel data.

During FY07 energy consumption in our operations grew by 5 percent while greenhouse gas emissions fell by 11 percent. The most significant greenhouse gas emissions reductions have been achieved at Cisco’s primary owned and operated sites, where we directly control the performance of buildings and procurement of electricity. Although energy consumption has increased overall, we have made energy efficiency gains relative to sales through the ongoing energy programs outlined above and by purchasing renewable energy.

Normalized by sales revenue, during FY07 our energy consumption and greenhouse gas emissions fell by 10 percent and 24 percent, respectively.

During FY07 Cisco became a signatory to the U.S. Environmental Protection Agency Climate Leaders program. During FY08 Cisco will undertake a review of the scope of our greenhouse gas emissions inventory to comply with the specific requirements of the Climate Leaders program. (Cisco’s Energy and Greenhouse Gas Emission Inventory is aligned with the International Greenhouse Gas Protocol’s Corporate Accounting and Reporting Standard and calculations provided by the World Resources Institute. FY07 data is for the same scope of Cisco’s sites as the data reported in FY06, which represents approximately 71 percent of Cisco’s business by number of employees. The analysis presently excludes data for Scientific Atlanta.) Cisco anticipates this will lead to an adjustment in the baseline for greenhouse gas emissions in future reports.

Read more about how Cisco is working to reduce energy consumption and greenhouse gas emissions:

• Carbon to Collaboration
• Cisco Connected Workplace
• Cisco Connected Real Estate
• Laboratories and Data Centers
• Green Power Purchasing
• Environmental Awareness 2007