Investing in Positive Impact - 2021 Report - The Kroger Co.
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2 2021 Zero Hunger | Zero Waste Foundation Report Letter from the President In 2020, the COVID-19 pandemic shined a light on what some have cautioned for years: our global food system and supply chain is fragile, disconnected and ripe for change. At The Kroger Co. Zero Hunger | Zero Waste Foundation, our mission to help create communities free of hunger and waste has never been more critical. We believe we will solve these problems— directed new grants to select portfolio for others to join our journey. As we look together. The national discourse and companies in our first cohort to help scale forward, we will continue to leverage our urgency to “build back better” is inspiring much-needed solutions to provide more collective passion and expertise to help creative new solutions. We admire the food for people in need. create a more equitable and sustainable strength of our national and local partners Our goal is to help food produced today food system. and the can-do spirit of social entrepreneurs fulfill its highest purpose: feeding people. across the country who are driving change. As a Foundation, we do this by enabling In 2020, we were humbled to be able systems that transform surplus food into to serve others through our Emergency healthy meals; increasing access to capital COVID-19 Response Fund and other grants. for innovators doing the same; convening Denise Osterhues We shifted our plans for the Innovation thought leaders to advance equitable President, The Kroger Co. Fund’s second open call to 2021, and we food access for all; and offering easy ways Zero Hunger | Zero Waste Foundation ZeroHungerZeroWasteFoundation.org
3 2021 Zero Hunger | Zero Waste Foundation Report Our Mission Established in 2018, the Zero Hunger | Zero Waste Our National Partners Foundation is a non-profit public charity designed to enable collective action, catalyze innovation and create a more equitable food system for all. We support organizations and innovators across the country who share our vision of a world where Feeding America Foundation for Food & Agriculture everyone has access to affordable, nutritious food and We support the Feeding America network of Research (FFAR) food banks that help direct meals to families in no surplus food is wasted. need. During 2020, Feeding America distributed The Foundation supports FFAR, which helps fill critical research gaps and invests in the future 6.1 billion meals (7.3 billion pounds of food), of science to support agriculture. By funding achieving a 55% increase in the number of people pioneering research, FFAR aims to increase served. Of the total, 40% received charitable food access to affordable and nutritious farm-grown assistance for the first time. food by supporting public-private partnerships in communities across the country. Meals on Wheels America The Recycling Partnership Meals on Wheels America wants all seniors to be Launched in 2020, The Recycling Partnership’s nourished with independence and dignity. Their Polypropylene Recycling Coalition provides mission is to empower local community programs catalytic grants to advance polypropylene to improve seniors’ health and quality of life so recycling in the U.S. Polypropylene, sometimes that no one is left hungry or isolated. In response referred to as No. 5 plastic, is used in food and to the COVID-19 pandemic, the Foundation’s non-food packaging and is in strong demand support provided grants to local Meals on as a recycled material to be made into new Wheels programs to feed and protect those products such as consumer packaging and most vulnerable. automotive parts. No Kid Hungry World Wildlife Fund (WWF) No Kid Hungry wants all children to have the The Foundation supports WWF’s Wild Classroom healthy food they need every day to thrive. Food Waste Warriors program, which teaches With the Foundation’s support, No Kid Hungry students the connection between food production, provides funds, training and hands-on technical food waste and habitat conservation. To date, assistance to high-need schools. During the this program has reached 100 schools (including COVID-19 pandemic, the campaign also provided 14 Title I and seven rural schools) and measured technical support and grants to organizations nearly 20,000 pounds of food waste. During across three states to enable emergency feeding the COVID-19 pandemic, the program shifted to programs when schools closed. engage virtually and share at-home activities. ZeroHungerZeroWasteFoundation.org
4 2021 Zero Hunger | Zero Waste Foundation Report How We Invested in Communities In 2020, the Zero Hunger | Zero Waste Foundation focused on our communities’ most urgent challenge: improving access to nutritious food for individuals and families struggling with the pandemic’s economic impacts. We also directed grants to support innovation and positive change for people and our planet. Contributing to the Capacity-building Sustainable Development Improve charitable Goals (SDGs) food system distribution Food assistance at national and Provide food for a month local levels or more for vulnerable $4.4M individuals and communities $1.7M Improving Food Access for All $11.1M Advocacy 2020 Improving stakeholder Total Impact Advancing awareness and Sustainable engagement in $16.5M waste reduction Food $1.6M Systems $3.7M $14.8M in giving aligned with Zero Hunger | Zero Waste Other Innovation 363 Advancing food system grants to organizations change through technology and innovation $2.1M $9M Pandemic relief in grants for national and local Support partners scaling COVID-19 relief school- and community-based Other Giving feeding programs during stay-at-home restrictions Supporting disaster relief $12M efforts and other nonprofit in customer donations directed $5M M = million to our communities organizations $1.7M ZeroHungerZeroWasteFoundation.org
5 2021 Zero Hunger | Zero Waste Foundation Report Lifting Local Communities The Zero Hunger | Zero Waste Foundation supports a wide Range range of community-based non-profit organizations and social $501,000+ $201,000 to $500,000 Less than $200,000 entrepreneurs who align with our mission to build a better food system that truly includes everyone. We work with national and local partners with big dreams. People who know their neighbors, love their communities and provide critical access to healthy food and other essentials. ZeroHungerZeroWasteFoundation.org
6 2021 Zero Hunger | Zero Waste Foundation Report Unlocking Critical Food Access Because of COVID-19 and its widespread economic impacts, more individuals and families in the U.S. turned to the charitable food system for help. The Foundation’s support helped partners meet this need by providing healthy meals in our communities. Emergency COVID-19 Response Fund The Farmlink Project In 2020, the Zero Hunger | Zero distribution models to protect health As pandemic-related shutdowns affected Waste Foundation directed a total of and safety. We also directed follow-on restaurants, travel and hospitality venues, more than $9 million in grant funding funding to members of the Foundation’s the risk of on-farm food loss increased for COVID-19 relief, helping national Innovation Fund cohort with ideas to dramatically. Fortunately, a group of and local organizations feed millions recover and distribute surplus food to Stanford and Brown students created struggling with hunger, including some vulnerable populations (see p. 8). The Farmlink Project, which used who relied on the charitable food system Throughout the year, we invited our technology, logistics and a network of for the first time in their lives. customers to Round Up their purchase volunteers to identify and redistribute Recognizing the rapidly increasing need to the nearest dollar—at Kroger- surplus food on farms. last spring, the Foundation established operated store checklanes across the The Foundation’s grant supported an Emergency COVID-19 Response Fund country—or donate online to support the process automation and development and directed $3 million to partners at Zero Hunger | Zero Waste Foundation of a new tool to streamline delivery Feeding America and No Kid Hungry to and, in turn, our local communities. operations. The Farmlink Project help provide critical meals as businesses During the pandemic-related national continues to help support COVID-19 relief and schools closed. coin shortage, this was an easy way for efforts today, delivering much-needed The remaining $6 million in Foundation Kroger’s associates and customers to produce to those struggling with hunger. grants was directed to support support our mission. The Farmlink Project’s goal is to community food banks and agency put themselves out of business— partners pivoting to new food democratizing access to local, fresh food while reducing agricultural surplus. For more information, Since inception, The Farmlink Project has please visit The Farmlink Project website delivered more than 30 million pounds of food across the country. ZeroHungerZeroWasteFoundation.org
7 2021 Zero Hunger | Zero Waste Foundation Report Changing Communities for the Better, Together It’s clear that we won’t end hunger until we collectively stop wasting food. We support non-profits and creative thinkers who, like us, imagine a world where all food produced serves its highest purpose: feeding people. ReFED Mid-Ohio Food Collective The Zero Hunger | Zero Waste For over 40 years, the Mid-Ohio Food Foundation directed $2 million in seed • Accelerate individual and collective Collective (MOFC) has been feeding The MOFC monitors progress regularly by funding to ReFED, a national non-profit action among food businesses, policy- more people than any other organization tracking the total number of customers and working to end food loss and waste in the makers and solution providers; and in central and eastern Ohio, serving households served and the total pounds U.S. by advancing data-driven solutions. • Deploy a multi-faceted nearly half a million people annually. of food distributed. They also monitor ReFED’s vision is a sustainable, resilient communications strategy to share Our grant will improve local network the number of individuals living at or and inclusive food system that makes the key learnings. transportation and help expand their below 200% of the Federal Poverty Level best use of the food we grow. existing data and analytics platform. in each county to help inform allocation The new ReFED Insights Engine— This system combines technology, data of resources. Our grant helped ReFED: available to the public—offers a food waste monitor, solutions database, impact collection and human-centered design • Develop the country’s most calculator and solution provider directory. to improve services and health outcomes comprehensive data and solutions hub in local communities. Mid-Ohio has been For more information, please visit for food waste; the Mid-Ohio Food Collective working tirelessly to develop FreshTrak, initially for use at the MOFC and funded For more information, please visit by the Zero Hunger | Zero Waste the ReFED website Foundation. The FreshTrak platform will be acquired by Feeding America, The Future of Food @SXSW modernized for network-wide use, and then made available to interested food bank members in late 2021. As part of the 2021 virtual South by Southwest (SXSW) festival, we presented The Future of Food@SXSW event. Experts from ReFED and Colorado State University, plus other thought leaders, innovators and investors, discussed ways to help improve food and agricultural systems. ZeroHungerZeroWasteFoundation.org
8 2021 Zero Hunger | Zero Waste Foundation Report The Innovation Fund The Foundation’s Innovation Fund provides philanthropic funding to social enterprises, entrepreneurs and creative thinkers with solutions that align with our mission to improve food security and prevent food waste. In a typical year, about 35% of food produced in the U.S. is unsold or uneaten. Much of this surplus food is left in growers’ fields or goes to landfills from homes, retailers, restaurants and hospitality venues. The Innovation Fund supports entrepreneurs developing new technologies and creative solutions to help end food loss and waste. Active Portfolio Companies in 2020 During the COVID-19 pandemic, the Foundation elected to postpone a planned Innovation Fund open call for proposals. Instead, we directed a total of $400,000 in new grants to members of our first group of portfolio companies able to continue operating during the pandemic. This funding was in addition to the $1 million the seven inaugural cohort members received collectively in 2019. Food Forest Imperfect Foods Replate Ripe Revival Seal the Seasons Cincinnati San Francisco Oakland, CA Greenville, NC Chapel Hill, NC Funding supports Meals The Foundation’s grant Replate works with long- During the COVID-19 This grant helped family on Wheels online grocery expanded access to grocery time donor partners to pandemic, Ripe Revival farms in the Northeast and delivery, a partnership delivery through Imperfect bring food directly to piloted a food delivery Pacific Northwest expand between Food Forest and Foods’ Reduced Cost Box the homes of community service and subscription- the locally grown frozen Produce Perks that provides Program, which provides members, prioritizing those based seasonal product line vegetable program that free grocery delivery twice low-income households who are vulnerable or sourced from local farmers. aims to increase economic weekly for food assistance- with discounted groceries. homebound. This funding With this grant, Ripe Revival opportunity for depressed eligible recipients. Through With the additional funding, helped Replate expand its added new product lines rural communities, reduce affordable delivery, the Imperfect Foods was able capacity to recover and to its assortment, including on-farm food loss, and service gave vulnerable to provide free delivery to redistribute donated food in shelf-stable pouches of increase access to seniors access to fresh, low-income seniors in the select markets for families soups, sauces, smoothies healthy food. Mobius and Winnow did not apply for 2020 nutritious food during the program nationwide. experiencing food insecurity. and meals. COVID-19 relief support but are important COVID-19 pandemic. members of our Innovation Fund portfolio. Total food waste impact of Prevention Recovery Operating the Innovation Fund portfolio companies during 2020: 5.4M 1.3M 400 160 pounds of food waste diverted meals donated to feed volunteers engaged jobs created from landfills our communities ZeroHungerZeroWasteFoundation.org
9 2021 Zero Hunger | Zero Waste Foundation Report 2021 Innovation Fund Cohort The Zero Hunger | Zero Waste Foundation launched the Innovation Fund’s second open call earlier this year, inviting Agua Bonita Grain4Grain Hanford, CA San Antonio, TX eligible innovators to apply for business support and funding makes ready-to-drink aguas frescas from uses patent-pending technology to upcycle totaling $2.5 million in grants. upcycled produce, served in culturally inspired brewers’ spent grain into a low-carb, high-protein and recyclable cans. and high-fiber flour. Upcycled food is the next frontier in Grantees also participated in a virtual food waste prevention. Processors workshop focused on investment Husky Beverages Journey Foods recover food that may otherwise readiness, technical skill development West Palm Beach, FL Austin, TX go to landfills, thereby encouraging and networking with a community of is an innovative brand featuring a sparkling solves food science and supply chain tea made from the “husk” of organic, upcycled inefficiencies with software to help companies the reintroduction and reuse of investors and mentors in and around coffee fruit. direct more surplus food to those who need it. food items into the supply chain. the food system. The innovators have Applicants were invited to submit exclusive access to the Foundation’s proposals with a business model that and Village Capital’s leaders and requires sourcing surplus food or food partners, as well as the option to apply byproducts and manufacturing them for follow-on funding. Matriark Foods NETZRO into new consumer-facing products. Cohort members are each eligible for Nyack, NY Minneapolis The Foundation—in collaboration with an additional $100,000 grant from upcycles farm surplus and fresh-cut remnants is a food technology platform for recovering into healthy affordable products for institutional industrial byproducts at scale that would Village Capital, the largest supporter the Innovation Fund based on the foodservice. otherwise be wasted into new of impact-driven, seed-stage startups achievement of identified program upcycled ingredients. in the world, and the Fund’s advisory milestones. At the end of the six‑month committee—selected 10 recipients. milestone period, two startups will Each startup received $100,000 in be selected by their cohort peers for upfront seed grant funding, totaling an opportunity to receive an additional reBLEND Renewal Mill an initial $1 million investment. $250,000 in funding. Denver Oakland, CA is a line of frozen smoothie pops packed with upcycles byproducts from food manufacturing re-harvested produce + superfoods and a bold into superfood ingredients and premium, mission to tackle food waste. plant‑based pantry staples. $2.5M Take Two Portland, OR The Spare Food Co. New York in grants is a plant-based food company that uses is an upcycled food technology platform that Rejuvenated Barley™—upcycled spent grain creates foods and drinks using overlooked and from beer production—in a line of nutritious unused ingredients sourced from barley milks and other products. growers and food processors. ZeroHungerZeroWasteFoundation.org
Thank you to our donors Join our Journey Visit ZeroHunger ZeroWasteFoundation.org Round up to the nearest dollar at checkouts across the Kroger family of stores Donate Add a tax-free donation of $1, $5, or $10 to your online grocery order Volunteer at your local food bank or community cleanup effort
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